Hr Handouts

THE INDIAN INSTITUTE OF PLANNING AND MANAGEMENT

PART 1 – AN OVERVIEW Challenges for Today's HR

1. Globalization 2. Changing Faces of Business 3. Employees' Aspirations Mix 4. Work-Life Balance 5. Intense Competitiveness ( At Organisational and Individual

Levels) 6. Societal Changes and so on

In such and a scenario, HR becomes very important a part of any organization. For long HR was viewed as an 'Administrative Department' doing the daily tangible transaction related to Human Resources. But the present shift in the nature of the business is bringing a sharp change in the HR operations. From an Administrative Department, HR is now shaping up as a 'Strategic Department'. But there are few factors to be ensured before we can see HR playing that much-desired Strategic Role. Those factors are -

Fundamentals of Successful HR

1. Being Proactive 2. Treating HR as a Business 3. Seasoning Impulses (Going for Step-by-Step Decision Making) 4. Being a Part of the Strategic Decision Making Process.

PART 2 – GOAL ALIGNMENT

Have a look at the following model -

THE HUMAN RESOURCES DEPARTMENT ANIRUDDH BANERJEE


2.Business Goals

3./6./9./12Several Activities

4./7./10/13.Specialisation

5.Departments

14.Individual J obs

11.Teams

8.Groups

1.Business Objective

The model is explained below –

1. Business Objective ---(Broken into)--- 2. Business Goals --- (Can be Achieved through) - 3. Several Activities --- (Separated by)--- 4. Specialisation --- (Gives birth to)--- 5. Several Departments

5. Each Department --- (Will have) --- Departmental Goals --(Can be Achieved through) 6. Several Activities --- (Separated by )--- 7Specialisation --- (Gives birth to)--- 8. Several Groups

8. Each Group --- (Will have) --- Group Goals --(Can be Achieved through) 9. Several Activities --- (Separated by )--- 10. Specialisation --- (Gives birth to)--- 11. Several Teams

11. Each Team --- (Will have) --- Team Goals --(Can be Achieved through) – 12. Several Activities --- (Separated by )--- 13. Specialisation --- (Gives birth to)--- 14. Several Individual/Individual Jobs

This is how the goals at each level of the organisation should be designed (classroom examples should be emphasised here. If you can recall, we understood this model with the help mainly 3 three examples, i.e., the Al-Quida Example, IIPM’s goal example and an IT Company’s goal example). All the more, few factors should be remembered are –



1. Entire organisation functions as a circle,2. The goals at different layers can be ‘different’, but not

‘contradictory’,3. Different goals should be ‘complementary’ in nature,4. Proactive and periodical reviews are important to sustain this

goal-paradigm. PART 2 – JOB ANALYSIS

It’s a mechanism for systematic exploration of a job, related duties, responsibilities, accountabilities, skills and qualities required to perform that job. It’s a Job-focused tool, not the job-holder focused tool.

Following the model of Goal Alignment, we can easily find out how a particular JOB is to be created. It goes hand in hand with the Business Objective and plays as a part of the integrated system. Now, when we reach an Individual Job (14), that Job also will be having some objective of its own which will help the job-holder to meet the Team Goal; If the Team Goal is met, then only Group Goal cane be achieved, if the Group Goal is achieved only then the Department Goals can be achieved and only then the Business Goals can be achieved which will enable the organization to achieve the Business Objective! If you look at the model now, you will see, we’ve connected the model in backward-connection as well (14 – 11 – 8 – 5 – 2 - 1)



2.Business Goals

3./6./9./12Several Activities

4./7./10/13.Specialisation

5.Departments

14.Individual J obs

11.Teams

8.Groups

1.Business Objective

That’s why, the success of a particular Individual Job is very important for the Organisation, or else, the Business Objective can not be achieved. For the reason, analysing a job (Job Analysis) becomes imperative.

Methods of Job Analysis –

There are several methods of Job Analysis, namely – 1. Observation Method2. Diary Method3. Questionnaire Method4. Interview Method5. Group Interview Method6. Supervision Method7. Technical Support Method8. Expert’s Meet Method(For details of each of these methods, please refer to the class notes.)

Each of these methods has few positive things and few negative things. None of them stands as sacrosanct or absolutely full-proof. So the organisation has to adapt as per its own necessities. Most of the



organisations go for creating a combination between these methods to get a better analysis of a particular job.

However, once Job Analysis is done, data are gathered and they can be used for the further use. We can extend the goal alignment model and can see how a particular job is attuned with this model…

14.Individual J obs

16.J ob Specifications15.

J ob Description

Here we can clearly see that based upon our analysis, we can come up with two different attributes of a particular job, namely, Job Description (15) and Job Specification (16). Job Description is a detailed written document that talks about the job content, nature of the job, timing of the job, responsibilities, accountabilities, posture of the job. While, Job Specification talks about the qualities and skills required for the job to be preformed. Further, the qualities required under the Job Specification can be divided into four major parts, namely –



16.J OB

SPECIFICATIONS

MANAGERIAL LEADERSHIP TECHNICAL BEHAVIOURAL

Now we are at a position to see, What an Individual Job means to us, How that can be performed, Which way it’s related with the organisation’s business goal.

But again, business goal is not static in nature. Due to the nature of the business, fundamentals of the organisation, fundamentals of the market, market composition, market competition etc, the business goal keeps on changing or altered. If the Business Goal is changed and altered, then it spreads a Shock Wave on the Goal Alignment model. The change at Business Goal must have impact in the Individual Job Goals as well. We need to analyse if the impact is considerable or not. If it indeed leaves greater impact, then we go for Job Evaluation (15). Job Evaluation is a systematic way of evaluating a particular job vis-à-vis the business goal and market fundamentals. If the result f Job Evaluation says that, we need changes in the particular individual job, then we go for Job Design (16). Job Design is actually redesigning the previous job based upon the need of the current hour. There are mainly three types of Job Design, which are Job Enlargement (17), Job Enrichment (18) and Job Morphing (19). Job Enlargement means horizontal integration of several jobs belonging to same level of the hierarchy.



Job Enrichment means vertical integration of several jobs belonging to different hierarchies. Job Morphing means a combination of the previous two, where a job is integrated with both horizontal as well as vertical integrations.

14.Individual J obs

17.J ob Enlargement

15.J ob Evaluation

14.J ob Specifications14.

J ob Description

16.J ob Design

19.J ob Morphing

18.J ob Enrichment

If any organisation goes for designing a particular job they might opt for any one of these three ways or a combination, depending upon the need of the hour. Whichever way they go, the newly designed job becomes the new Job Description for the future and accordingly Job Specifications are set. (Please refer to the class room examples for brighter understanding and clearer appreciation of the whole episode.)

PART 3 – MANPOWER PLANNINGManpower planning is a systematic mechanism to find out the status of human resources profile inside the organisation so that the organisation can ensure that there are right number and type of people present at the right time, at the right place and are doing the job rightly.



For an effective manpower planning, the following steps should be followed –

STOCK TAKING

DEMAND FORECASTING

SUPPLYANALYSIS

HRAP

STOCK TAKING – It means taking the stock or looking at the human inventory of the organisation. In most of the organisation, it’s done through HRIS (Human Resources Information System) where the data about each individual working inside the organisation are kept. This entire detailing can be based upon each division inside the organisation. Then under each division, the people’s data can be gathered and regularly updated on these major fonts – Name, age, designation, personal details, professional details, qualifications, achievements, awards, trainings, total experience, experiences with us, objections (if any) etc. etc! These data, combined together, will clearly depict what’s the human resources competency of the organisation and where it lacks! Then the management should do the following analysis –

What kind of industry we belong to? What are generally followed industry standards? What is our long term and short term business goals? What the shape of the human sources should look like for our

future goal? What are the necessary changes that we should bring in?



(Please refer to the graph-examples given in the class room.)

DEMAND FORECASTING – Once Stock Taking is done, we know where we stand today. Now analyse the future business goal and see what will be no and type of people we will be requiring and at which division. It means determine how the Demand side would look like with every specific detail.

SUPPLY ANALYSIS – Once demand is set, we need to see the supply side. It means, we need to identify each division singularly and determine its human inflow and outflow trend. Inflow sources can be recruitment into it, transfer into it, promotion into it, whereas outflow sources can be, transferring from it, promoting from it, sacking, retrenchment etc.

HRAP – Once we conduct an efficient demand and supply analysis, we can have mainly two possibilities – Positive Demand (which demands inflow of people) or Negative Demand (which demands outflow of people). Depending upon the nature of this result and depending upon our business fundamentals, we should determine the HRAP (Human Resources Action Plan). There can be several of them, like promotion, demotion, transfer, training and development, recruitment, retrenchment, VRS etc etc. HRAP should be finalised based upon the need of the hour.

PART 4 – RECRUITMENT AND SELECTION

Organisations go for Recruitment and Selection only when they are convinced that the there’s Positive Demand and they need to increase the inflow of the people for a particular requirement. Factors that Influence any Organisation’s Recruitment and Selection Process –

Goodwill of the company Nature of the labour market Nature of the industry Business goal Nature of the economy Budget available Time available

Recruitment is a positive process where, for a particular vacancy, the no of suitable candidates are maximised, whereas, Selection is a negative process where, out of the available prospects/ candidates/ applicants/ applications, the right on fitting into the right requirement are appointed through massive filtration.



Recruitment – if we have to maximise the no of suitable candidates for a vacancy, then we have to look for the sources through which we can get the best of the applicants. The sources can be of two types, INTERNAL SOURCES and EXTERNAL SOURCES.

Internal Sources - Own Employees Own Website Employee References Applicants Pool

External Sources – Campus Placement Agencies Advertisements Outside References Head-hunting/ Roping Job Fest etc.

The end of Recruitment gives us maximum no of suitable applicants ready to be filtered and selected. So the negative process starts here. The selection process should go like this –

1. Comprehensive knowledge of the requirement – it means, before starting the selection process, we should know the nature of requirement in detail. So the Job Description and Specifications should be clear and absolute.

2. Selecting the selectors – ‘who will select?’ is a predominantly important question to be answered and answered with supreme conviction. Because, if the selectors’ selection is wrong, then the entire selection goes wrong. Hence, select the selectors carefully. So we should start with the selectors’ Job Specifications (their managerial, technical, leadership and behavioral qualities + experience + previous success track record etc.) Then compare ‘Job Specifications of the vacancy’ and ‘Job Specifications of the selectors’. It’s tough to get all the qualities present at a high rate in one individual, so we go for a pool or panel of selectors who will be absolutely comprehensive. Plus, a waited-average-rating scale should be fixed, because a technical selector’s rating on managerial skills can’t be as trustworthy as a managerial expert’s view on it and vice-versa. Once these are done, proceed forward -

3. Screening – here the JD and JS are tightened and candidates are filtered through CVs only to a greater extent. The filtered candidates pass to the next round.



4. Test – ‘test’ is a sample of performance. There can be mainly four types of tests, like – Aptitude Test, Technical test, Psychological Test and Situational or Case-Handling Test.

5. Group Activities – here the candidates are judged on their group skills through several group games or group discussions. Few candidates are thrown out here, and remaining ones proceed to the next round.

6. Interviews* – interviews have mainly two purposes a) all those qualities which are checked in the previous rounds are personally validated and b) all those qualities which aren’t checked yet are checked here. There can be mainly two types of interviews – a) Multiple Candidates Interview (where 3/4 candidates are interviewed at a time for a proper ‘inter-view’ and one-time-evaluation as well.) and b) Individual Interview (where candidates are interviewed in a one-at-a-time basis). Many candidates are rejected here, only the remaining ones go to the next round.

7. HR Round – here HR validates several HR fundamentals (documentation, experience proof, negotiation, salary proof, psychological stability etc). The candidates who pass this round, go to the next round.

8. Medical9. Reference Check10. Offer Letter – only the surviving ones here are offered the

Appointment Letters who are ready to start their work for us. party time

*HOW TO CONDUCT A SUCCESSFUL INTERVIEW – (From the recruiters’ point of view)Before the Interview –

Comprehensive knowledge of the requirement – it means, before starting the interview process, we should know the nature of requirement in detail. So the Job Description and Specifications should be clear and absolute.

Selecting the Interviewers – ‘who will select?’ is a predominantly important question to be answered and answered with supreme conviction. Because, if the selectors’ selection is wrong, then the entire selection goes wrong. Hence, select the selectors carefully. So we should start with the selectors’ Job Specifications (their managerial, technical, leadership and behavioral qualities + experience + previous success track record etc.) Then compare ‘Job Specifications of the vacancy’ and ‘Job Specifications of the selectors’. It’s tough to get all the qualities present at a high rate in one individual, so we go for a pool or panel of selectors who will be absolutely comprehensive. Plus, a



waited-average-rating scale should be fixed, because a technical selector’s rating on managerial skills can’t be as trustworthy as a managerial expert’s view on it and vice-versa.

Make sure that the place out the interview is nice and comforting Study the candidate’s credentials Study the candidate’s result in the previous rounds

During the Interview – Break the Ice Observe Encourage him to talk, Listen, Analyse Make records, Don’t offend, Decide, End with honesty,

After the interview – Combine the observations. Make Conclusive record.


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