Human Resource Management-An Overview

download Human Resource Management-An Overview

of 45

Transcript of Human Resource Management-An Overview

  • 8/3/2019 Human Resource Management-An Overview

    1/45

    ASTHA JOSHI

    M.B.A.-1st sem.

    MONIRBA

  • 8/3/2019 Human Resource Management-An Overview

    2/45

    Once the managers have planned andorganized their business operations, thenext important function that they performis that of STAFFING. The staffing functionis closely associated with the concept ofHUMAN RESOURCE MANAGEMENT. Humanresource is the most important asset of anorganization which transforms the variousorganizational inputs into outputs andenables the organization to achieve theirobjectives.

  • 8/3/2019 Human Resource Management-An Overview

    3/45

    The managerial function of STAFFING isdefined as filling and keeping filledpositions in the organization structure.This is done by identifying work-forcerequirements, inventorying the peopleavailable and recruiting ,selecting,placing , promoting , appraising,planning the careers of, compensating andtraining both candidates and current jobholders so that they can accomplish theirtasks effectively and efficiently.

  • 8/3/2019 Human Resource Management-An Overview

    4/45

    Human resource management is the process

    of ensuring that the competent people areavailable ,they are able to achieveorganizational goals ,and their energy and

    abilities are used effectively

    The basic function of human resourcemanagement is to see that the right person is

    placed at the right job. It deals with planning ,organizing, directing and controlling thehuman resource so that it effectivelycontributes to the overall goals of the

    organization.

  • 8/3/2019 Human Resource Management-An Overview

    5/45

    Employee Labor Unions A labor union is anorganization that represents workers and seeks toprotect their interests through collective bargaining. Inunionized organizations ,many HRM decisions aredictated by collective bargaining agreements, whichusually define things such as recruitment sources

    ;criteria for hiring, promotions etc.

    Government Laws-An organizations HRM practices areaffected by a countrys laws. For example, decisionsregarding who will be hired or which employees will bechosen for a training program or what an employeescompensation will be must be made without regard torace , color, age , sex or national origin. Exceptions canoccur only in special circumstances.

  • 8/3/2019 Human Resource Management-An Overview

    6/45

    DEMOGRAPHIC TRENDS- The statistics areclear that by 2020 more than half of the

    working population will be more than 40% inIndia. More women are entering theworkplace. It is required by the state that thedisabled should be given opportunity to work

    more regularly. The directive principles of theconstitution require that the SC and ST shouldbe given special treatment while beingeducated and when asked to join any

    organization.

  • 8/3/2019 Human Resource Management-An Overview

    7/45

    Emphasis on human element

    Facilitates leadership

    Facilitates control

    Motivation to work

    Increase in overall efficiency oforganization

    Development of potential managersEnables the organization to face

    competition

  • 8/3/2019 Human Resource Management-An Overview

    8/45

    The following sequence of steps mustbe followed in the staffing OR humanresource management process:1)HUMAN RESOURCE PLANNING

    2)RECRUITMENT - DECRUITMENT

    3)SELECTION

    4)INDUCTION AND ORIENTATION

    5)TRAINING AND DEVELOPMENT6)PERFORMANCEMANAGEMENT/PERFORMANCE APPRAISAL

    7)RE-ALLOCATION

    8)SEPARATIONS

  • 8/3/2019 Human Resource Management-An Overview

    9/45

    Human resource planning is the process bywhich managers ensure that they have theright number and kinds of capable people inthe right places and at the right times.Through planning, organizations avoid

    sudden people shortages and surpluses. HR planning entails two steps:1) Current Assessment-Managers begin HR

    planning by taking inventory of the current

    employees .This inventory usually includesinformation on employees such asname,education,training ,experience...etc

  • 8/3/2019 Human Resource Management-An Overview

    10/45

    An important part of a current assessment isjob analysis, an assessment that defines a job

    and the behavior necessary to perform it.Using the information from the job analysismanagers develop job descriptions and jobspecifications.

    2)MEETING FUTURE HR NEEDS-Future HR needsare determined by the organization's mission, goals, and strategies. Demand for employeesresults from demand for the organization's

    products or services.

  • 8/3/2019 Human Resource Management-An Overview

    11/45

    After assessing both currentcapabilities and future needs ,managerscan estimate areas in which the

    organization will be understaffed oroverstaffed. Then they are ready toproceed to the next step in the HRMprocess.

  • 8/3/2019 Human Resource Management-An Overview

    12/45

    The process by which a job vacancyis identified and potential employees arenotified.

    It is a process of locating, identifying andattracting capable applicants.

    Main forms of recruitment throughadvertising in newspapers, magazines,trade papers and internal vacancy lists,internet, company websites, professionalrecruiting organisations.

  • 8/3/2019 Human Resource Management-An Overview

    13/45

    Job description outline of the roleof the job holder OR a written statementthat describes a job.

    Job specification A written statementof the minimum qualifications that aperson must possess a given jobsuccessfully.

    Applicants may demonstrate theirsuitability through application form, letteror curriculum

  • 8/3/2019 Human Resource Management-An Overview

    14/45

    In addition to recruitment,

    another approach to control labor supplyis DECRUITMENT, which is not a pleasant

    task for any manager.

    DECRUITMENT means reducing an

    organizations workforce.

  • 8/3/2019 Human Resource Management-An Overview

    15/45

    OPTION DESCRIPTION

    Firing Permanent Involuntary termination

    Layoffs Temporary involuntary termination; maylast only a few days or extend to years.

    Attrition Not filling openings created by voluntaryresignations or normal retirements.

    Transfers Moving employees laterally ordownward

    Reduced workweeks Having employees work fewer hours per

    weekEarly Retirements Providing incentives to older and more

    senior employees for retiring beforetheir normal retirement date.

    Job sharing Having employees share one full timepositions

  • 8/3/2019 Human Resource Management-An Overview

    16/45

    The process of screening job applicantsto ensure that the most appropriatecandidates are hired.

    Applicants short listed most suitable candidates selected

    Selection process varies according to organisation

  • 8/3/2019 Human Resource Management-An Overview

    17/45

    The basic sequential order followed inconducting a selection procedureconsists of following steps:1)Job specifications or realistic Jobpreview-It is a preview of a job that providesboth positive and negative information aboutthe job and the company.2)Application form3)Preliminary interview

    4)Conducting testsa)Ability or Intelligence testsb)Aptitude testsc)Personality tests

  • 8/3/2019 Human Resource Management-An Overview

    18/45

    d)Performance tests5)Cross checking6)Formal interview-in depth interviewa)STRUCTURED INTERVIEW-the interview asks a

    set of prepared questions.

    b)SEMISTRUCTURED INTERVIEW-the interviewerfollows an interview guide but may also askother questions.

    c)UNSTRUCTURED INTERVIEW- this is not aplanned interview and is not based onsystematic ,pre-defined list of questions.

    7) Medical examination8)Employment decisions9)Job offer

  • 8/3/2019 Human Resource Management-An Overview

    19/45

    For good selection, the information aboutthe applicant should be both valid andreliable. In selection, VALIDITY is the

    degree to which the data predict thecandidates success as a manager. The

    information should also have a highdegree of RELAIABILITY -a term that

    refers to accuracy and consistency .

  • 8/3/2019 Human Resource Management-An Overview

    20/45

    The selection of the best person for the jobis only the first step in building aneffective management team.

    ORIENTATION involves theintroduction of new employees to theenterprise-its functions, tasks and people.Large firms usually have a formal

    orientation program that explains thefeatures of the company like- history,products and services , general policies andpracticesetc.

  • 8/3/2019 Human Resource Management-An Overview

    21/45

    Employee training is an important HRMactivity. As job demands change, employeeskills have to change. It can be defined as

    a planned effort to facilitate employeelearning of job related behavior in order toimprove employee performance.Managers

    of course , are responsible for decidingwhat type of training employees need,when they need and in what form thattraining should take place. On an average,major IT companies spend $1 billionannually on training.

  • 8/3/2019 Human Resource Management-An Overview

    22/45

    TYPE INCLUDES

    GENERAL Communication skills, computer systemapplication and programming, customerservice, management skills and

    development, executive development,personal growth , sales, supervisory skillsand technological skills and knowledge.

    SPECIFIC Basic life/work education, diversity/culturalawareness, managing change, leadership

    product knowledge, publicspeaking/presentation skills, teambuildingetc.

  • 8/3/2019 Human Resource Management-An Overview

    23/45

    TRADITIONAL TRAINING METHODS:

    1)On-the job

    2)Job rotation

    3)Mentoring and coaching

    4)Experimental exercises

    5)Workbooks/Manuals

    6)Classroom lectures

  • 8/3/2019 Human Resource Management-An Overview

    24/45

    TECHNOLOGY BASED TRAININGMETHODS:

    1)Videotapes/audiotapes/DVD/CD-ROM

    2)Videoconferencing / teleconferencing

    /satellite TV

    3)E-learning

  • 8/3/2019 Human Resource Management-An Overview

    25/45

    Although employee training can be

    done in traditional ways, manyorganizations are increasinglyrelying on technology based

    training methods because of theiraccessibility, cost and ability todeliver information.

  • 8/3/2019 Human Resource Management-An Overview

    26/45

    1)It increases the skills of the employee.

    2)It enhances their motivation to work

    3)It provides job satisfaction to the

    employees4)The need for constant supervision by

    supervisors is reduced

    5)The managers can devote more time inlooking over other strategic matters.

  • 8/3/2019 Human Resource Management-An Overview

    27/45

    While training improves the skills of aperson on the present job, developmentimproves the skills of a person on the

    future jobsite. It improves the ability ofa person to assume jobs of higher skillsand responsibility. It can be defined aslong- term training designed to

    increase an employees jobeffectiveness and to develop his or herability to assume greater jobopportunities.

  • 8/3/2019 Human Resource Management-An Overview

    28/45

    Managers need to know whether theiremployees are performing their jobsefficiently and effectively or whether

    there is a need of improvement. Thatswhat a PERFORMANCE MANAGEMENTSYSTEM does. It is a system thatestablishes performance standards that

    are used to evaluate employeeperformance.

  • 8/3/2019 Human Resource Management-An Overview

    29/45

    It is the process of definingexpectations for employees

    performance ,measuring ,evaluating and recordingemployee performance

    relative to those expectationsand providing feedback to theemployees.

  • 8/3/2019 Human Resource Management-An Overview

    30/45

    1)WRITTEN ESSAY+simple to use

    -may be better measure of evaluators writingthan of employees performance.

    2)CRITICAL INCIDENT+behavior based

    -time consuming

    3)GRAPHIC RATING SCALE+provides quantitative data, not time consuming

    -doesnt provide in-depth information

  • 8/3/2019 Human Resource Management-An Overview

    31/45

    4)BARS(behaviorally anchored rating scale)

    +focuses on specific and measurable job behaviors

    -time consuming, difficult to develop

    5)MULTIPERSON COMPARISON

    +compares employees with one another

    -difficult with large number of employees

    6)MBO

    +focuses on goal

    -time consuming

    7)360-degree appraisal

    +thorough

    -time consuming

  • 8/3/2019 Human Resource Management-An Overview

    32/45

    1)It helps managers in finding out candidatessuitable for promotions, demotions ortransfer.

    2)It helps in identifying candidates who need tobe further trained and motivated to achievethe desired standards.

    3)It allows the subordinates to assess their

    own performance , analyze their strengthsand weaknesses, promote further theirstrengths and overcome the weaknesses.

  • 8/3/2019 Human Resource Management-An Overview

    33/45

    The employees, after they are ranked inaccordance with their performance are groupedinto three different categories.i.e. employees

    eligible for PROMOTIONS,DEMOTIONS OR

    TRANSFERS.

    1)PROMOTIONS-Employees ranked high in order ofranking on the ranking scale are promoted to

    assume positions of higher responsibility.Promotions must be very carefully done as theyare likely to develop a feeling of resentmentamongst those who have not been promoted.

    -Demotions i e reverting the

  • 8/3/2019 Human Resource Management-An Overview

    34/45

    2)DEMOTIONS-Demotions , i.e., reverting theemployees to lower positions should be actedupon as a last resort if the managers are left

    with no other choices as this very seriouslyhampers the employee moral and incentive towork towards the achievement oforganizational goals.

    3)TRANSFERS-When the employees are notable to perform well at a particular job, they

    should be transferred to other departmentswhere the job activities are more suitable totheir skills and interest.

  • 8/3/2019 Human Resource Management-An Overview

    35/45

    Managers must develop a compensationsystem that reflects the changing natureof work and the workplace in order to

    keep people motivated. Organizationalcompensation can include manydifferent types of rewards and benefits,such as wage and salary add-ons

    ,incentive payments and other benefitsand services.

  • 8/3/2019 Human Resource Management-An Overview

    36/45

    1)SKILL BASED PAY SYSTEM-It reward

    employees for the job skills andcompetencies they demostrate.Underthis system, an employees job title

    doesn't define his or her pay category;skills do.

    2)VARIABLE PAY SYSTEM-A pay system inwhich an individuals compensation iscontingent on performance.

  • 8/3/2019 Human Resource Management-An Overview

    37/45

    Where the employees are not able tocope up with the working environmentin the organization and the training

    programs also prove to be ineffective inenhancing their work skills, it is in theinterest of both the organization andthe individuals that these employees

    separate themselves from thisenterprise and join anotherorganization where their job potentialcan be better exploited.

  • 8/3/2019 Human Resource Management-An Overview

    38/45

    1)MANGING DOWNSIZING:-Downsizing is theplanned elimination of jobs in an organization.When an organization has too many employees-which can happen when an organization is facedwith declining market share, has grown too

    aggressively or has been poorly managed-oneoption for improving profit is to eliminate someof those excess workers.

  • 8/3/2019 Human Resource Management-An Overview

    39/45

    2)MANAGING WORKFORCE DIVERSITY:-

    a)Recruitment-To improve workforcediversity, managers need to widen theirrecruiting net.

    b)Selection-When a diverse set of applicants

    exists ,managers must ensure that theselection process does not discriminate.

    c)Orientation and Training-The outside-insidetransition is often more challenging for

    women and minorities than for whitemales. Many organizations provide specialworkshops to raise diversity awarenessissues.

  • 8/3/2019 Human Resource Management-An Overview

    40/45

    3)MANAGING SEXUAL HARRASMENT:-It can be defined as any unwanted action or

    activity of a sexual nature that explicitly orimplicitly affects an individuals employmentperformance or work environment.

    The sexual harassment of women at

    workplace bill was passed in 2006.92% womensaid that sexual harassment had a detrimentaleffect on their work.

    In such cases the manager

    must understand that the victim doesntnecessarily have to be the person harassed butcould be anyone affected by the offensiveconduct.

  • 8/3/2019 Human Resource Management-An Overview

    41/45

    For such cases :-

    1)Employees should be educated on sexualharassment matters.

    2)Organizations need to ensure that noretaliatory actions such as cutting backhours or assigning back-to-back work shiftswithout a rest break-are taken against aperson who has filed harassment charges.

  • 8/3/2019 Human Resource Management-An Overview

    42/45

    Smart managers recognize thatemployees dont leave their families

    and personal lives behind when they

    come to work. Hence manyorganizations are offering FAMILY FRIENDLY BENEFITS(benefits thataccommodate employees need for work

    life balance).They have introducedprograms such as on site child care,summer day campus, job sharing ..etc.

  • 8/3/2019 Human Resource Management-An Overview

    43/45

    HR costs are skyrocketing, especially thecosts of employee health care andemployee pensions. Organizations arelooking for ways to control these costs.

    1)Employee Health Care costs-a)By sponsoring health and wellness

    programs

    b)Promoting healthy life stylec)Increasing the amount of health insurance

    or by firing people- who smoke.

  • 8/3/2019 Human Resource Management-An Overview

    44/45

    2)EMPLOYEE PENSION PLAN COSTS:-The days when companies could afford to give

    each employee a broad based pension thatprovided a guarantee retirement incomehas changed. Pension commitment hasbecome such a enormous burden thatcompanies can no longer afford them. Infact, the corporate pension system has beendescribed a "fundamentally broken.Its not

    just struggling companies that haveeliminated employee pensions plans, lots ofbig companies like Motorola ,Lock headMartin-no longer provide pensions.

  • 8/3/2019 Human Resource Management-An Overview

    45/45

    THANK YOU