HRM Unit 2

UNIT – 2UNIT – 2

Human Resource Planning (HRP)Human Resource Planning (HRP)

HRP includes estimation of how many qualified people are necessary to carry out the assigned activities, how many people will be available and what, if anything, must be done to ensure that personnel supply equals personnel demand at the appropriate point in the future.

- Terry L. Leap and Michael D. Crino

Human resource planning is a planning is a process of determining and assuming that the organisation will have an adequate number of qualified persons, available at the proper times, performing job which meet the needs of enterprise and which provide satisfaction for the individuals involved. - Beach

To Accompany Russell and Taylor, Operations Management, 4th Edition, 2003 Prentice-Hall, Inc. All rights reserved.

Objectives HRPObjectives HRP

Ensure adequate supply of manpower as and when required. Ensure proper use of existing human resources in the organisation. Forecast future requirements of human resources with different levels of skills. Assess surplus of shortage, if any, of human resources available over a specified period of time. Anticipate the impact of technology on jobs and requirements for human resources. Control the human resources already deployed in the organisation.


HRP ProcessHRP Process

1. Analysing Organisational Plans and Objectives

2. Analysing Objectives of Human Resource Planning

3. Forecasting Demand for Human Resources

4. Forecasting Supply of Human Resources

5. Matching Demand and Supply

6. Monitoring and Control


Human Resource Information System (HRIS)Human Resource Information System (HRIS)

HRIS refers to a computerised system that aids the processing of information relating to human resource management. It is a system of gathering, classifying, processing, recording and disseminating the information required for effective management of human resources in an organisation. HRIS forms an integral part of the Management Information System (MIS). HRIS collects and analyses data relating to human resources of the organisation. The input of HRIS include the information relating to employees, their abilities, qualitifications, potentialities, creative instincts, age, sex, their jobs, pay scales, organisational objectives, policies and procedures, etc.


HRP AdvantagesHRP Advantages

1. It is both time saving and cheaper device.

2. It gives accurate information relating to human resources.

3. It makes information readily available as and when desired.

4. It acts as a decision support system.

5. It establishes strong management control.


Job AnalysisJob AnalysisJob analysis is the process of getting information about jobs: specially, what the worker does; how he gets it done; why he does it; skill, education and training required; relationship to other jobs, physical demands; environmental conditions”.

- Jones and Decothis

Job analysis as the process of studying and collecting information relating to the operations and responsibilities of a specific job. The immediate products of this analysis are job descriptions and job specifications”. - Edwin B. Flippo


Job Description: Job description is a written statement showing job title, tasks duties and responsibilities involved in a job.

Job Specification: Job specification also known as man or employee specification is a statement of minimum acceptable qualities required in a job incurrent for the effective performance of the job.


JOB ANALYSIS

Job Specification Job Description

Job Title: A Title of the Job

Job Activities: Tasks

performed, materials used.

Working Conditions: Light,

Heat, Noise.

Social Environment: Size of

work group members etc.

Personal Characteristics: Age,

Sex, Education.

Physical Characteristics:

Length, Weight, Vision.

Mental Characteristics: General

intelligence, Memory,

Judgment.

Social & Psychological

Characteristics: Emotional

Stability, Initiative, Creativity.


Job EvaluationJob EvaluationJob evaluation is a comparative process of establishing the value of different jobs in a hierarchical order. It allows one to compare jobs by using common criteria to define the relationship of one job to another. This serves as basis for grading different jobs and developing a suitable pay structure for them. It is important to mention that job evaluation cannot be the sole determining factor for deciding pay structures because job evaluation is about relationships, and not absolutes.


Job DesignJob DesignJob design as “the process of deciding on the contents of a job in terms of its duties and responsibilities, on the methods to be used in carrying out the job, in terms of techniques, systems and procedures, and on the relationships that should exist between the job holder and his superiors, subordinates and colleagues”.


Methods / Techniques Job DesignMethods / Techniques Job Design

1. Work Simplification

2. Job Rotation

3. Job Enrichment

4. Job Enlargement


WORK DESIGNWORK DESIGN

Job RotationJob Rotation(relief from (relief from boredom)boredom)

Job EnrichmentJob Enrichment(Increased (Increased

responsibility)responsibility)

Job Job SimplificationSimplification

(Breaking down (Breaking down into small sub-into small sub-

parts)parts)

Job EnlargementJob Enlargement(Extension of work (Extension of work

plus additional plus additional tasks to obtain a tasks to obtain a complete unit)complete unit)


RecruitmentRecruitmentRecruitment is the generating of applications or applicants for specific positions to be filled up in the organisation. In other words, it is a process of searching for and obtaining applicants for jobs so that the right people in right number can be selected.

Flippo has defined recruitment as “a process of searching for prospective employees and stimulating and encouraging them to apply for jobs in an organisation.


Sources of Recruitment

Internal Sources External Sources

1. Present Employees

2. Employee Referrals

3. Former Employees

4. Previous Applicants

1. Employment Exchange

2. Advertisements

3. Employment Agencies

4. Campus Recruitment

5. Word-of-Mouth


Recruitment ProcessRecruitment Process

1. Recruitment Planning

2. Strategy Development

3. Searching

4. Screening

5. Evaluation and Control


SelectionSelectionSelection is the process of choosing from among the candidates from within the organisation or from the outside, the most suitable person for the current position or for the future position.

Selection is hiring the best candidate from the pool of applications. It refers to the process of offering jobs to one or more applicants/candidates from the applications received through recruitment. In other words, it is the process of picking the suitable candidates from the pool of job applications to fill various jobs in the organisation.


Selection Methods / ProcessSelection Methods / Process

1. Preliminary Interview

2. Application Blank

3. Selection Tests

4. Selection Interview

5. Reference Checks

6. Physical Examination

7. Final Selection


PlacementPlacementPlacement is understood as assigning jobs to the selected candidates. Assigning jobs to employees may involve a new job or different job. Thus, placement may include initial assignment of job to new employee, on transfer, promotion or demotion of the present employees. In this section, placement refers to the assignment of jobs to new employees only.


InductionInductionInduction is welcoming a new employee to the organisation. In other words, it is a well orchestrated event to socialise the new entrant with the people and the work environment in a particular organisation.

According to Michael Armstrong, “Induction is the process of receiving and welcoming an employee when he first joins a company and giving him basic information he needs to settle down quickly and happily and start work”.


Performance AppraisalPerformance AppraisalPerformance appraisal is the process of making an assessment of the performance and progress of the employees of an organisation. Once an employee has been inducted into the organisation and given the necessary training, the next step is to assess his performance periodically. Such an assessment would indicate whether he is efficient or not. Performance appraisal is also known as ‘merit rating’ or ‘efficiency rating’.


Performance progress of employeePerformance progress of employee1. Knowledge of work

2. Extent of co-operation with colleagues and superiors

3. Initiative

4. Quality of work 10. Honesty

5. Target attainment 11. Ambition

6. Aptitude

7. Degree of skill

8. Discipline

9. Punctuality


Objectives of Performance AppraisalObjectives of Performance Appraisal1. Salary Increase

2. Promotion

3. Training and Development

4. Feedback

5. Pressure on Employees


360 Degree Appraisal360 Degree AppraisalA 360 degree appraisal is a type of employee performance appraisal in which subordinates, co-workers, and managers all anonymously rate the employee. A 360 degree appraisal is a type of employee performance review, where a staffer's work for a specific period of time is discussed and critiqued. The 360 degree process is different in that it obtains feedback from co-workers and subordinates, instead of just from the direct supervisor. The goal of the process is to better understand how the employee is functioning as part of the team, and to improve the ways team members work together.


Potential AppraisalPotential AppraisalThe potential appraisal refers to the appraisal i.e. identification of the hidden talents and skills of a person. The person might or might not be aware of them. Potential appraisal is a future – oriented appraisal whose main objective is to identify and evaluate the potential of the employees to assume higher positions and responsibilities in the organizational hierarchy. Many organisations consider and use potential appraisal as a part of the performance appraisal processes.


Methods of Performance AppraisalMethods of Performance Appraisal

1. Ranking method

2. Graphic scale rating method

3. Forced choice method

4. Essay appraisal method

5. Paired comparison method

6. Field review method

HRM Unit 2

Education

Transcript of HRM Unit 2