human resource management

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Page 1: Human resource management

Presentation by –

Mayank Patel

Page 2: Human resource management

Employment or Personnel Planning: The process of deciding what positions the firm will have to fill and how to fill them.

For executives the term used is ‘succession planning’.

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Trend analysis◦ The study of a firm’s past employment needs

over a period of years to predict future needs. Ratio analysis

◦ A forecasting technique for determining future staff needs by using ratios between a causal factor and the number of employees needed.

◦ Assumes that the relationship between the causal factor and staffing needs is constant

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Scatter plot ◦ A graphical method used to help identify the

relationship between two variables.

Size of Hospital Number of (Number of Beds) Registered Nurses

200 240

300 260

400 470

500 500

600 620

700 660

800 820

900 860

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Figure 5–3

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Computerized forecasting: Determination of future staff needs by projecting sales, volume of production and personnel required to maintain this volume of output, using software packages.

Which ever method you use Managerial Judgment will play a big role.

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Qualification inventory: manual or computerized record listing employee’s education, career and development interest, languages, special skills and so on to be used in selecting inside candidates for promotion.

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Personnel replacement Chart: Company records showing present performance and promotability of inside candidates for the most important position.

Position replacement card: A card prepared for each position in a company to show possible replacement candidates and their qualification.

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Central Recruitment office Vs Decentralize recruiting

Recruitment Effectiveness50 - New hires100- Offers made (2:1)150- Candidates interviewed (3:2)200- Candidates invited (4:3)1200- Leads generated (6:1)

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Job Posting: Publicizing an open job to employees (often by literally posting it on bulletin boards) and listing its attributes, like qualifications, supervisor, working schedule and pay rate.

Rehiring Succession Planning: The ongoing process of

systematically identifying, assessing and developing organizational leadership to enhance performance.

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Advertising: media, construction (aida) Employment agencies: Government,

Private Outsourcing white collar & other jobs Executive recruiters On demand Recruiting services (charges

on the bases of working hour) College Recruiting Employee referral Online

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The Media (a) News paper Times

Appointment Employment news, Sandesh, Divya Bhaskar, Gujarat Samachar Classified, appointment

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(b) TV & Radio For TV ( Local Channel

advertisement ex. Angel Broking on in cable net)

For Radio (Military officers, Insurance agent, Radio jockey)

(C) Journals and Technical Magazines

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Compiling Headline Name of organization; The job; The person required qualifications

experience etc.; The pay and benefits offered; The Location; The action to be taken. (Note : from

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AIDA model ◦ Attention◦ Interest ◦ Desire◦ Action

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EMPLOYMENT AGENCIES

Government

Agencies

Private

Agencies

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Every state has a public, state run employment service agency.

These agencies are an important source of Blue-collar and White-collar workers.

Applicants for unemployment are required to register and to make themselves available for job interviews.

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Just go and register your name. No charge taken from Government

agencies. Company will contact you through Letters or

mail.

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Private employment agencies are important sources of clerical, white-collar and managerial personnel.

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SOURCES OF REVENUE FOR

PRIVATE AGENCIES

• TAKE CHARGES FROM CLIENT COMPANY

• TAKE CHARGES FROM CANDIDATES.

• TAKE CHARGES FROM CLIENT COMPANY AND CANDIDATES BOTH.

Sources : United Consultants

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Executive recruiters are special kind of Employment consulting agency who provides the work force to the Firms.

For the Executive recruitment, which

includes crucial Executive and Technical position so for the Executive recruitment headhunters may be the only option

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For this activity the clients of Executive recruiters are getting their fees.

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They have many contacts, sufficient data of Previous and current Employees, who working in different fields, so any firm can ask any kind of candidates who suits for their firms and Executive recruiters will find that particular candidates.

To hire Executive through Headhunter that will save time of company and as a same time this activity will reduce the cost of Advertisement for job.

Executive recruiters will test all candidates before placing them on job so because of that Employee will perform properly in field and reduce the rate of Employee turnover .

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The main thing which, as Employer we have to know is fee charges of recruitment of employees.

Generally in Every firms charges of recruitment is pre decided. It is always base on the designation of Employee.

Ex ;- In career mosaic consulting service, the charges of fee is already decided like,

up to 1,00,000 salary 10% Up to 2,00,000 salary 20% Above 3,00,000 salary 30%

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Talk to some other firm’s clients. Get the name of two to three companies for whom the firm has recently completed recruitment. And ask such question as “ Placement was good or not?’’

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Generally in time of Executive recruitment Every companies want to hire competitors current or previous Executive or they can go for lower level companies Executive.

For this Executive Recruiters are the best way and this activity can be done through two way

formal recruitment Informal recruitment

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Online recruitment is the only medium through which an employer can post a job listing in a few minutes. Responses received are rapid and detailed too.

Hence, the time spent on hiring is reduced by as much as 65%.

one survey found that on a typical day,more that 4 million people turn to the web looking for the jobs.

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Using web recruitment systems like recruitment websites or job sites also play a role in simplifying the recruitment process.

Such websites have facilities where prospective candidates can upload their CVs and apply for jobs suited to them.

Such sites also make it possible for recruiters and companies to post their staffing requirements and view profiles of interested candidates.

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Search and respond to resume postings online.

Constantly monitor resume postings. Use criteria builders. Find resumes to match specifications. Setup interviews. Add graphics (like company logos) and

active hyperlinks to your corporate web site.

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Send mass e-mail to candidates direct from your desk top.

enhance newspaper advertisements by providing candidates with an online application facility.

Provide facts about company culture, environment, practices and recruitment processes, thus giving the company a higher visibility.

Receive, sort and shortlist online resumes.

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The term Campus Recruitment refers to the system where various organizations visit to the college (campuses) to recruit bright youngsters to work for them.

Students, who are keen on beginning their professional career as soon as they finish studies, find the opportunity knocking at their doors.

They can thus get the training and acquire professional skills immediately after college. This is good opportunity to enter the job market as entry otherwise becomes difficult.

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The various stages of the selection process remain generally the same for these companies, with some slight variations. This could be in the form of an additional or fewer number of stages for some companies.

The following are the stages that students normally go through as a part of Campus Recruitment:

(i) Aptitude Test    (ii) GD    (iii) Interviews

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Sending an employer’s representatives to college campuses to prescreen applications and create an applicant pool from the graduating class is an important source of trainees.

But on campus recruiting is expensive and time consuming.

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The campus recruiter has two primary goals:◦ The main one is to determine whether a

candidate is worthy of further consideration.◦ The other aim is to attract a good candidates.

Employers naturally look among their employees for those who can do the best job of identifying top applicants and filling vacancies.

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Many college students get their jobs through college internships.

Internships can be a win-win situation for both student and employers.

Employer can use the interns to make useful contributions while evaluating them as possible full-time employees.

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It is one kind of Agreement between Company and Agency where Agency is bound to provide manpower (employee) to the company as and when required at the responsibility of the Agency.

MEANING OF CONTRACT

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As agency is responsible for all its recruitment so they proceed in the following way.

Sources :M/s AP Security(pvt) ltd

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TAKE THE INTERVIEW

Told rules and regulations of agency and company.

Guide him regarding the work which he has to do in the company.

Sources :M/s AP Security(pvt) ltd

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Address proof of the Candidates. Police clearance certificate. Two photographs.

Sources :M/s AP Security(pvt) ltd

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After this all procedure if the Candidate is perfect for the job then Agency give letter to the Candidate which he has to present in that company.

He receive I-card from the Agency as well as from the company..

Sources :M/s AP Security(pvt) ltd

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Company Contract AgencyAppoint different Candidates

Sources :M/s AP Security(pvt) ltd

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Authority: The right to make decision, direct others work and give orders.Line Manager: A manager who is authorized to direct the work of subordinates and responsible for accomplishing the organization goals.Staff Manager: A manager who assists and advise line managers.HR managers are generally staff managers. They are responsible for assist and advice other line managers in issues related to HR.

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Line authority: direct his own department & other service area.

Implied authority: authority because of virtue of others. Ex: direct access with top mgt.

Functional Control: as a coordinator of personnel services.

Employee advocacy

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“Interrelated components working together to collect, process, store and disseminate information to support decision making, coordination, control, analysis and visualization of an organizational human resource management activities.”

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“The procedure for determine the duties and skills requirement of a job and the kind of person who should be hired for it.”

Means Job description & Job specification

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“ A list of a job’s duties, responsibilities, reporting relation ship, working condition and supervisory responsibilities- one product of a job analysis.”

Such as- Job title, Location, Job summary, Duties, Machines, tools and equipments, material and forms used, supervision given or received, working condition, hazards.

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A list of job’s human requirement that is the requisite education, skills, personality and so on another product of a job analysis.”

Such as- education, experience, training, initiative, physical efforts & skills, communication skills etc.

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Recruitment & Selection Compensation Performance appraisal Training Discovering Unassigned Duties

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Strategic Choice- (Determine the data needed & collection method for it)

Review Relevant back Ground(Organization chart & Process Chart)

Select Representative Position

Collect the job related data & analyze it

Verify the information with worker or supervisorJob Description & Job Specification

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Input fromPlant manager

In put from Suppliers

Job under Study Inventory Control clerk

Information Out put to Plant manager

Inventory Out put to Plant Manager

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Interview Questionnaire Observation Participant Dairy

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Information sources◦ Individual employees◦ Groups of employees◦ Supervisors with

knowledge of the job Advantages

◦ Quick, direct way to find overlooked information.

Disadvantages◦ Distorted information

Interview formats◦ Structured

(Checklist)◦ Unstructured

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Information source◦ Have employees fill

out questionnaires to describe their job-related duties and responsibilities.

Questionnaire formats◦ Structured checklists◦ Opened-ended

questions

Advantages◦ Quick and efficient

way to gather information from large numbers of employees

Disadvantages◦ Expense and time

consumed in preparing and testing the questionnaire

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Information source◦ Observing and noting

the physical activities of employees as they go about their jobs.

Advantages◦ Provides first-hand

information◦ Reduces distortion of

information Disadvantages

◦ Time consuming◦ Difficulty in capturing

entire job cycle◦ Of little use if job

involves a high level of mental activity.

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Information source◦ Workers keep a

chronological diary/ log of what they do and the time spent in each activity.

Advantages◦ Produces a more

complete picture of the job

◦ Employee participation Disadvantages

◦ Distortion of information

◦ Depends upon employees to accurately recall their activities

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Job identification Job summary Responsibility and duties Authority of incumbent Standard of performance Working Condition Job Specification

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Specification for Trained Personnel : Focus on traits like length of previous service, quality of relevant training, and previous job performance.

Specification for Untrained personnel: Focus on physical traits, personality, interests, or sensory skills that imply some potential for performing or for being trained to do the job.

Specification based on Judgment Specification based on statistical analysis

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Job enlargement: Assigning workers same level activities thus increasing the number of activities they perform.

Job enrichment: Redesigning jobs in a way that increasing the opportunity for the worker to experience feeling or responsibility, achievement, growth & recognition.

Job Rotation: Systematically moving workers from one job to another.

Techniques of Job design

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Dejobbing:Broadening the responsibilities of company’s job & encouraging the employees not to limit them selves to what's on their job description.

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Internal factors leading to dejobbing◦ Flatter organizations◦ Work teams

External factors leading to dejobbing.◦ Rapid product and

technological change

◦ Global competition◦ Deregulation,◦ Political instability, ◦ Demographic

changes

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Strategic Human Resource Management

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Strategy is a way of doing something. Strategy includes formulation of goal and

set of action plans for accomplishment of that goal.

So, strategy includes both planning and action.

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“ Strategic Management is the set of managerial decisions and actions that determines the long term performance of a corporation. It includes environmental scanning, strategy formulation, strategy Implementation, evaluation and control. The study of strategic management, therefore, emphasis monitoring and evaluating environment opportunities & threats in the light of corporations strength & weaknesses.”

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ProgrammersBudgets

Procedures

Corporate _________

Business Unit_________Functional

External

Internal

Strategic Control

Process & Performance

EnvironmentalScanning

StrategyFormulation

StrategyImplementation

Evaluation & Control

Strategic Management ProcessStrategic Management Process

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Area includes market standing, innovation, productivity, physical & financial resources, profitability, managerial performance & development, work performance & attitude and social responsibility.

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Growth Strategies(1) Internal growth(2) Horizontal Integration(3) Horizontal related diversification(4) Conglomerate diversification

Un related diversification(5) Vertical integration in related or unrelated

business(7) Strategic alliance

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Stability Strategy

Retrenchment Strategies:Rid from specific business situation. Turnaround: GNFC Liquidation

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Business Level Strategy◦ In what industries or businesses should we

be operating?◦ How should we compete in chosen industry

or business?

Functional Level Strategy

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Stra. FormulationStra. Formulation Stra. ImplementationStra. Implementation

Is positioning force Is positioning force before actionbefore action

Is managing force Is managing force during the actionduring the action

Focus on effectivenessFocus on effectiveness It focus of efficiencyIt focus of efficiency

It is a Primary an It is a Primary an intellectual processintellectual process

It is a Primary an It is a Primary an operational processoperational process

It require good initiative It require good initiative & analytical skill& analytical skill

It requires special It requires special motivation & leadership motivation & leadership skillskill

It requires co-ordination It requires co-ordination among a few individualamong a few individual

It requires co-ordination It requires co-ordination among many personsamong many persons

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I. Establish target & standards II. Measure the performance in relation to

targetIII. Analyze the deviation from acceptable

tolerance limitIV. Execute modification where necessary

and are feasible

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Role In Strategy Formulation HRM is unique position to supply

competitive intelligence The strength & weaknesses of company’s

human resources can have a determining effect on the viability of company’s strategic option

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Role in Strategy Implementation HRM supplies the workforce for executing

the strategy Role in down sizing & restructuring

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Environment of Human Resource Management

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External Environment Political & Legal Economic Technological CulturalInternal Environment Unions Organization Culture & conflicts Professional Bodies

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The legislature The executive The judiciary

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Suppliers Competitors Customers Industrial labor

Commitment to industryProtective LegislationStatusEmployment patternUnionization

Impact of Globalization

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Jobs tends to become more intellectual or upgraded

Increase obligation of training For technologically upgraded employees

jobs are rewarding Technology has impact on human

relationship Jobs holder become highly professional and

knowledgeable

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Culture create the type of people who become member of the organization

The attitude of worker to word work is the result of cultural background

Time dimension has its roll in culture Work ethics, achievement needs & effort

reward expectation are result of culture

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Personal activities are influenced by union Wage agreement is signed by union Few organization has one union, few has

more than one. Ex: in Calcutta Corporation has about 100

Most union have political linkages

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Personal Goal Vs Organizational goal Personal ethics Vs organizational ethics Rights Vs duties Authority Vs accountability Discipline Vs Autonomy Obedience Vs self respect

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NIPM: National Institute if Personnel management

NIPM supply academic input to HR professionals

NIPM offers post graduate diploma in personnel management

It also laid down certain code of ethics for HR professionals

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Enacted Environment: Out of external environment the

environment that organization creates for it self is called enacted environment

The positive benefit of enacted environment is it makes organization proactive

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Domain and Domain Consensus: It is a part of environment which the

organization carves out for itself. It is an activity of defining territory out of

environment All stakeholders must be agree with domain

Task Environment: This significant portion has greatest impact

on domain It includes range of product offered,

technology employed & strategies against competitors.

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Organization are not bricks, machinery or inventories. They are people…..

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MANAGERIAL FUNCTIONS

Planning

Organising

Directing

Controlling

OPERATIVE FUNCTIONS

Staffing

Development

Compensation

Motivation

Maintenance

Integration

Emerging Issues

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STAFFING Job analysis, HRP, Recruitment, Selection, Placement, Induction, Internal Mobility

DEVELOPMENTCompetency profiling, Training and development, Performance & potential management, Career management, 360 degree feedback

COMPENSATION & MOTIVATION

Job design, Work scheduling, Job evaluation, Compensation administration, Incentives and benefits

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MAINTENANCE Health, Safety, Welfare, Social security

INTEGRATIONEmployment relations, Grievance, Discipline, Trade unions, Participation, Collective bargaining

EMERGING ISSUES

HRIS, HR audit, HR scorecard, International HRM, Workforce Diversity

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“Human Resource Management is the planning, organizing, directing and controlling of procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organizational and social objectives are accomplished.”

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Personal Management• Viewed labor as tool.• Personnel department was not treated with

respect• Personnel functions was treated as a routine

activity meant to hire new employee & maintain record.

• It was never considered as a part of strategic management process

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Human Resource Management HRM views people as an important source or

assets to be used for benefit of organization, employee & society.

Distinct philosophy of Mutual goal, Mutual respect, Mutual reward & Mutual responsibility.

In 1990 The American Society of Personal Administration (ASPA) changed its name to Society for Human Resource management (SHRM).

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Societal Objectives: Be ethical & socially responsible

Organizational Objectives: Role of HRM in bring about organizational effectiveness

Functional Objectives: To maintain departments contribution at a level appropriate to organizational need.

Personal Objectives: To assist employee in achieving their personal goal.

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Owner / manager

ProductionManager

Sales Manager

OfficeManager

Accountant

Personnel Assistant

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Chairman/ MD

Director Production

Director Finance

Director Personnel/HRM

Director R & D

Director Marketing

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Director – Personnel/HRM

Manager Personnel

Manager Administration

Manager HRD

ManagerIR

HRP

HIRING

Grievance handling

Compensation

PR

Medical

Canteen

transport

Legal

Appraisal

Training &Development

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Fairness & firmness Tact & resourcefulness Sympathy & consideration Knowledge of labor & other terms Broad Social outlook Academic qualification

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Policies ensure consistent treatment Policies promote stability Policy serves as standard of performance Sound policies help to build employee

motivation & loyalty Sound policy help to resolve interpersonal

and inter group conflicts.

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Past practices Prevailing practices in rival companies Attitude & philosophy of founder & top Mgt. Attitude & philosophy of middle & lower

Mgt. The knowledge & experience gained by

handling day to day personal problem.

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Principle of individual development Principles of scientific selection Principle of free flow of communication Participation Principles of fair remuneration & Incentive Principle of dignity of labor Principle of labor Management cooperation Principle of team sprit Principle to contribution of National

Prosperity