TIMSR

2011-12

Human Resource Management

Definition:

It means employing people, developing their resources, utilizing, maintaining and compensating their services in tune with the job and organizational requirements.

Understanding of HRM

HRM is a management function concerned with Hiring, Motivating, and Maintaining people in the organization.

It focuses on people in the organization. HRM is broad concept Personnel Management (PM) and Human Resource Development are part of HRM.

Human Resource Management: Nature Human Resource Management is a process of bringing people and organizations together so that the goals of each are met. The various features of HRM include:

Inherent part of management Pervasive function Basic to all functional areas People centered Personnel activities or functions Continuous process Based on human relations Result oriented

Human Resource Management: Scope The scope of HRM is very wide: 1. Personnel aspect-This is concerned with manpower planning, recruitment, selection, placement, transfer, promotion, training and development, layoff and retrenchment, remuneration, incentives, productivity etc.
1 | Page

TIMSR

2011-12

2. Welfare aspect-It deals with working conditions and amenities such as canteens, crches, rest and lunch rooms, housing, transport, medical assistance, education, health and safety, recreation facilities, etc. 3. Industrial relations aspect-This covers union-management relations, joint consultation, collective bargaining, grievance and disciplinary procedures, settlement of disputes, etc. Scope of HRM

HR Planning Job analysis and Design Recruitment and Selection Orientation and Placement, Training and Development Performance appraisal and Job Evaluation Employee and Executive Remuneration Motivation and communication Welfare, Safety and Health Industrial Relations (IR)

Human Resource Management: Objectives:

Objectives:Personal Objectives:To assist employees in achieving their personal goals, these goals enhance the individuals contribution to the organization.
2 | Page

TIMSR
Functional Objectives:-

2011-12

To maintain the departments contribution at a level appropriate to the organization's needs Organizational Objectives:To recognize the role of HRM in bringing about organizational effectiveness. Societal Objectives:To be ethical and socially responsible to the needs and challenges of the society. Minimizing the negative impact of such demands on organization. Human Resource Management: Objectives
To help the organization reach its goals. To ensure effective utilization & maximum development of human resources. To ensure respect for human beings. To identify and satisfy the needs of individuals. To ensure reconciliation of individual goals with those of the organization. To develop and maintain a quality of work life. To be ethically and socially responsive to the needs of society. To develop overall personality of each employee in its multidimensional aspect. To enhance employee's capabilities to perform the present job.

To equip the employees with precision and clarity in transaction of business. To inculcate the sense of team spirit, team work and inter-team collaboration To enhance employee's capabilities to perform the present job.

Functions of Human Resource management:

1. Getting the Best Employees.

Workforce Planning. Specifying Jobs & Roles. Recruiting.

2. Paying employees and providing Benefits.

Compensation & Benefits.

3. Training Employees.

Employee Orientation.
3 | Page

TIMSR

2011-12

Carrier Planning & Development. Leadership Development. Personal Development. Competency Management.

4. Ensuring Compliance to Regulations & Guidelines.

Personnel Policies & Records. Employee Laws & Statutes. Ethics.

5. Sustaining High Performance Employees.

Motivating and nurturing Talent. Employee Performance Management. Team Performance Management. Personal productivity. Retaining Talent.

Human Resource Management: Functions:In order to achieve the above objectives, Human Resource Management undertakes the following activities:

1. Human resource or manpower planning. 2. Recruitment, selection and placement of personnel. 3. Training and development of employees. 4. Appraisal of performance of employees. 5. Taking corrective steps such as transfer from one job to another. 6. Remuneration of employees. 7. Social security and welfare of employees. 8. Setting general and specific management policy for organizational relationship. 9. Collective bargaining, contract negotiation and grievance handling.
4 | Page

TIMSR
10. Staffing the organization. 11. Aiding in the self-development of employees at all levels. 12. Developing and maintaining motivation for workers by providing incentives. 13. Reviewing and auditing manpower management in the organization 14. Potential Appraisal. Feedback Counseling. 15. Role Analysis for job occupants. 16. Job Rotation. 17. Quality Circle, Organization development and Quality of Working Life

2011-12

Relationship of social science to HRM HRM deals with people and Social sciences refer to the collection of various sciences that aims to understand the nature of human behavior as individuals and in group. At the core of the social sciences are subjects such as psychology, sociology and anthropology generally grouped as behavioral sciences. It also includes other study of other subjects related to human activities such as history, political science and science of law. Social sciences play a very important role in making the HRM function effective by providing insight in to behavior of the people working in the organization. Specifically it helps companies in matters such as:

Motivating employees to act towards achievement of organizational objectives. Managing the relationships and behavior patterns of people working in groups to improve total group effectiveness. Selecting and training people to match the work requirements of the organization. Fostering innovation in the organization. Maintaining discipline and morale among the employees. Providing right kind of working environment to employees that promotes higher efficiency and satisfaction among employees. Improving leadership effectiveness in the organization

5 | Page

TIMSR
Images and qualities of good HR manager

2011-12

To have human approach to human problems Alert mentally & physically Fairness & Firmness Tact and resourcefulness Knowledge of labor other terms A good leader to guide the subordinates To have patience while dealing with problems Good communicator Broad Social outlook A mind with a capacity for creative thinking for analyzing situations and reasoning objectively. He should know problem solving technique and have an ability to inspire, motivate and direct employees A friendly approach with a pleasing personality Initiative and decision making ability Ability to generate trust among his colleagues A readiness to cooperate with the subordinates in times of difficulty

Challenges and tasks of HR Managers

Changing technology Economic and Industrial policy Changing international environment Changing profile of workers Changing needs and expectations of customers

Emerging issues in HRM

Increasing size of workforce Increase in education level Increasing aspirations of employees Technological advances
6 | Page

TIMSR

2011-12

Changes in political environment Changing Psycho-social system Computerized information system Mobility of professional personnel Change in legal environment Management of human relations

Human Resource Management: Futuristic Vision On the basis of the various issues and challenges the following suggestions will be of much help to the philosophy of HRM with regard to its futuristic vision: 1. There should be a properly defined recruitment policy in the organization that should give its focus on professional aspect and merit based selection. 2. In every decision-making process there should be given proper weight age to the aspect that employees are involved wherever possible. It will ultimately lead to sense of team spirit, team-work and inter-team collaboration. 3. Opportunity and comprehensive framework should be provided for full expression of employees' talents and manifest potentialities. 4. Networking skills of the organizations should be developed internally and externally as well as horizontally and vertically. 5. For performance appraisal of the employees emphasis should be given to 360 degree feedback which is based on the review by superiors, peers, subordinates as well as self-review. 6. 360 degree feedback will further lead to increased focus on customer services, creating of highly involved workforce, decreased hierarchies, avoiding discrimination and biases and identifying performance threshold. 7. More emphasis should be given to Total Quality Management. TQM will cover all employees at all levels; it will conform to customer's needs and expectations; it will ensure effective utilization of resources and will lead towards continuous improvement in all spheres and activities of the organization.

7 | Page

TIMSR

2011-12

8. There should be focus on job rotation so that vision and knowledge of the employees are broadened as well as potentialities of the employees are increased for future job prospects. Future HR Managers will have to align with Business objectives and make sure of the following:

Use workforce skills and abilities in order to exploit environmental opportunities and neutralize threats. Employ innovative reward plans that recognize employee contributions and grant enhancements. Indulge in continuous quality improvement through TQM and HR contributions like training, development, counseling, etc Utilize people with distinctive capabilities to create unsurpassed competence in an area

Due to the new trends in HR, in a nutshell the HR manager should treat people as resources, reward them equitably, and integrate their aspirations with corporate goals through suitable HR policies. Human Resource Management: Major Influencing Factors In the 21st century HRM will be influenced by following factors, which will work as various issues affecting its strategy:

Size of the workforce. Rising employees' expectations Drastic changes in the technology as well as Life-style changes. Composition of workforce. New skills required. Environmental challenges. Lean and mean organizations. Impact of new economic policy. Political ideology of the Government. Downsizing and rightsizing of the organizations.

8 | Page

TIMSR
Culture prevailing in the organization etc. Line and Staff Aspects of HRM Line manager

2011-12

A manager who is authorized to direct the work of subordinates and is responsible for accomplishing the organizations tasks. Staff manager A manager who assists and advises line managers. HR Roles and Responsibilities The HR Roles have to be adjusted to: keep HRM Function focused on tracking and implementing new trends in the industry keep HRM Function focused on helping the line management to implement improvements keep HRM Function focused on operational excellence keep HRM Function responsible for developing the Human Capital potential in the organization

The HR Responsibilities have to be adjusted to: Demonstrate the Line Management the will to keep the responsibility for the Human Capital cost keep the competitive advantage on the market (and not just the job market) demonstrate the will to drive the main HR Processes to keep the organization in the excellent health keep HRM Function supporting the Business Strategy to reach the business initiatives keep HRM responsible for the tasks resulting from the Business Strategy

9 | Page

TIMSR

2011-12

Policies
Policies are broad guidelines as to how the objectives of a business are to be achieved. A policy is predetermined and accepted course of thought and action to serve as a guide to

achieve goals.
It helps in decision making process. Policies are developed by the top management to assist the managers at various levels to deal

with the people at work. Types of policies

Functional Policies- It may be set up in the key areas like production,finance and marketing. External policies-It include those policies arising to meet the various pressure and requests of

forces outside the enterprise such as government and trade unions.

Appealed Policies-It is formulated on the basis of the suggestions and complaints received

from the employees.

Internal policies-Internal policies those initiated by managers at various levels to guide the

subordinates. a)Basic policy-Used by the top managers and is very broad in scope and applicable to the organization as a whole. b)General policy-Used by the middle managers and is more specific. c)Departmental policy-Used by the lower level and is highly specific in nature. Formulation of HR policies
Preliminary investigation-Fact finding is usually delegated to a specialist who through

questioner, interview and other methods collect data from inside and outside the organization.
10 | P a g e

TIMSR
Environment scanning-Internal and external environment. Identification of policy areas-Managerial functions and functional areas. Analysis of alternative policies Participation of lower levels Approval of top management Implementation of a policy Policy appraisal

2011-12

Policies in various HR areas

Employment policies-

a)Minimum hiring qualifications b)Preferred sources of recruitment

Training and development policies-

a)Opportunity for development b)Basis for training Types of training

Transfer and promotion policies-

a)Rationale of transfer b)Seniority required for promotion

Compensation policies-

a)Minimum wages and salary b)Incentives plans

Integration and human relations policies-

a)Handling of grievances b)Discipline

Working conditions and welfare policies-

a)Safety program b)Standards of working conditions Benefits of policy

It assures consistent treatment to all personnel throughout the organization. 11 | P a g e

TIMSR
It serves as benchmarks of performance. It helps build employee motivation and loyalty. It helps resolve various conflicts.

2011-12

Continuity of action is assured even though top management personnel change.

Organization of HR department
HRM Small-scale Unit

Composition of HR department

Personnel Policies at ABB India

12 | P a g e

TIMSR
Role clarity Empowerment Take responsibility Competence development Clearly defined objectives for individual and the work team Personnel Policies at ABB India The local unions as natural co-operation partners Planning discussions held at least once a year Internal mobility and employee development

2011-12

Ethics, equal opportunities and an open and honest exchange of thoughts and ideas

Reliance Energys HR Policy

Align Hr policies to achieve organizational and business goals with firm belief that "Our

Employees are our Future".

Have empowered and accountable employees to take decisions in response to emerging

challenges and opportunities in a competitive environment.

The Wipro way Meet Your People Programme (MYPP): Wipro Listens & Responds (WLR): WLR Best People Manager Awards: Talent Review and Planning:

13 | P a g e

TIMSR
HRM MODELS-HARVARD MODEL OF HRM

2011-12

HRM MODELS-Guest MODEL OF HRM

Manpower Planning
What is Manpower?
Human Resources Personnel People at Work Manpower

Human Resource Planning

Human resources are regarded as the only dynamic factor of production. Other factors like

materials, methods, machines, money etc. are useless without their effective use by the human resources.
14 | P a g e

TIMSR
organization to use the other resources effectively.

2011-12

Thus, it is logical that there should be proper manpower or human resource planning in the

Planning is one of the basic functions of management of any organization. In commercial and

industrial undertakings, planning has been focused on profit making, procurement, production, marketing, quality control and only most recently, manpower.
Manpower planning has now been recognized as an important part of the overall planning of

any organization.
Without the procurement and maintenance of adequate number of personnel, it is not possible

to realize the goals of the organization.

Manpower planning is essential to put the plans of the organization into action for the

achievement of its goals or objectives.

Definition of HRP
HRP can be defined as the process of ensuring the right numbers of qualified people, into right

job at the right time to deliver the results in an efficient and effective manner.

Objectives of HRP
To maintain the required quantity and quality of human resources required for a smooth

and efficient functioning of the organization.

To forecast the turnover/ attrition rate To foresee the effects of technological changes on the requirement for human resource Optimize staffing To plan human resource needs at the time of expansion, diversification or closing a sick unit

Importance of HRP
Future personnel need-It helps to determine future personnel needs. Surplus or deficiency in

staff strength is the result of the absence of or defective planning.

All public sector organization find themselves overstaffed till 1980 At the same time many organization has no succession planning and resulted in a situation

where they function without CEO .

Part of strategic planning-All activities of HRM like planning, hiring, training and

maintaining must be merged with strategic management. In the beginning HRP provides a set of inputs into the strategic formulation process in terms of deciding whether the type and number of people are available to pursue a given strategy. Once the strategy is set, executives need to make resource allocation decisions, including those pertaining to structure, processes and human resources.
15 | P a g e

TIMSR

2011-12

So it checks the changes in organization design and structure affecting manpower need.
Creating highly talented personnel-With HRP proper training and development can be taken

care and eventually it helps to retain highly skilled employees who can otherwise easily leave the job for better opportunity an can create shortage . Another facet of the high talent personnel is management succession planning.
International strategies-HRP facilitates international expansion strategies. The HR

department needs to fill key jobs with the expatriates, motivate them and compensate them.
Foundation for personnel functions-HRP provides essential information for designing and

implementing personnel functions, such as recruitment,, selection, T & D, promotion etc.

Increasing investments in human resources-As an organization make investment in its

personnel either through direct training or job assignments, it is important that employees are used efficiently throughout their career.
So it helps to take steps to improve human resource contributions in the form of increased

productivity, sales etc.

Unite the perspectives of line and staff managers-It requires the input and co-operation of

all mangers within the organization. As no on knows better the needs of a particular unit than an individual manager responsible for the area.
Resistance to change and move-It is difficult to bring any change in the organization and to

implement on the employees as they resist to change so it is a necessary to plan.

It checks the rapid changes in technology, marketing, management etc. And the consequent

need for the new skills and new categories of employees.

It checks the changes in the government policies in respect to reservation, child labor, working

conditions etc.
It also checks the labor law affecting the demand and supply of labor. And pressure from trade

unions and politicians.

It offsets uncertainty and changes and helps to have right men at right time in the right place. It helps to anticipate the cost of salary enhancement and better benefits. To plan for physical facilities, working conditions and volume of fringe benefits like canteen,

schools, hospitals conveyance etc.

It facilitates the control of all the functions, operations, contribution and cost of human

resources.

Factors Affecting HRP

Type and strategy of organization Organisational growth cycles and planning 16 | P a g e

TIMSR
Environmental uncertainties Time horizon Type and quality of information Nature of jobs filled Outsourcing

2011-12

Type and strategy of organization-The type of organization is an important consideration as

it determine the production processes involved, number and type of staff needed. Ex. Manufacturing org. are more complex in the respect of those rendering services.
The strategic plan defines the org. HR needs.

Ex. A strategy of organic growth means that additional employees must be hired. Acquisition and mergers of the org. will need to plan for layoffs.
Organizational growth cycles and planning-Small org. in the embryonic stage may not have

personnel planning.
While planning is need to be done when the org. enters growth phase Mature org. focuses on retirement and retrenchment Declining org. plans for lay off and retrenchment only.

Example : NTPC Ltd

HR Plannining at NTPC will help the firm to grow organically and attain the goals timely. As NTPC Ltd plans to raise its capacity to 75,000 MW by 2017 from 30,644 MW now, the

company sees a need to recruit about 10,000 persons.

The company's personnel strength would grow to 28,000 by 2012, from about 25,000 now. By 2017, NTPC would have between 35,000 and 40,000 employees NTPC's annual

recruitment has been around 1,200. Net intake has been around 700. About 85 per cent of the people recruited were engineers,
NTPC has adopted 19 Industrial Training Institutes (ITIs) and is setting up seven new ITIs.

The company has taken it as a policy to get up an ITI for each of its greenfield projects

Factors affecting HRP

Environmental uncertainties-Hr managers operate in a highly unpredictable environment of

technology, political and economic changes and so are very careful in formulating recruitment, selection, T&D policies and programme.
Time horizon-HR managers have to do planning for different time horizon. Plans for org.

operating in an unstable environment must be for short period. Ex. Computers

17 | P a g e

TIMSR
whereas for stable environment org. need to plan long term . Ex. university

2011-12

Type and quality of information-The planning depend to a great extent on the information

provided through various sources. The quality and accuracy of information depend upon the clarity with which the org. decision makers have defined their strategy, organizational structure, budgets and production schedule etc.

HRP Process

HRP process: The planning process is influenced by overall organisational objectives and the

environment of business. HRP essentially involved forecasting human resource needs, assessing human resource supply and matching demand supply factors through human resource related programmes.

Environmental scanning
It refers to the systematic monitoring of the external forces influencing the organization like Economic factors Technological factors Demographic changes 18 | P a g e

TIMSR
Political & legislative issues Social concerns

2011-12

Organizational objectives & policies

Organizational objectives are defined by the top management and the role of HRP is to sub

serve the overall objectives by ensuring availability and utilization of human resource.

HR Demand Forecast
It is the process of estimating the future quantity and quality of people required to meet future

needs of the organization.

There are various forecasting techniques1. Managerial judgment 2. Ratio trend analysis 3. Work study technique 4. Delphi technique There are various forecasting techniques1. Managerial judgment-In this , mangers sit together, discuss and arrive at a figure which

would be the future demand for labor. The technique may involve a Bottom Up or a Top down approach.

Managing the forecasted demand and surplus

Example : Forecasting at L&T The organisations follow more than one technique for forecasting their peoples needs.L&T, for example, follows bottom-up of management judgement and work study techniques for demand forecasting. Forecasting process in L&T begins during November of every year. The Department heads prepare their personnel estimates (based on details of production budget supplied to them) and submit the estimates to the respective personnel managers.

The personnel heads will review the estimates with the departmental heads and will send final

reports to Bombay office where centralized HR department is located. Estimates are reviewed by the HR department and final figures are made known to those personnel managers who
19 | P a g e

TIMSR

2011-12

initiate steps to hire the required number of people in the following year. The forecast is made for once in Five years, but is broken down to yearly requirements.

HR Demand Forecast
There are various forecasting techniques-

2 Ratio trend analysis- This is the quickest technique. It involves studying past ratios and forecasting future ratios making some allowances for changes in the organizations or its method.
There are various forecasting techniques 3 Work study technique-It is used when it is possible to apply work measurement to

calculate the length of operations and the amount required.

There are various forecasting techniques-

4 Delphi technique-It solicits estimates of personnel needs from a group of experts usually mangers. The HRP experts act as intermediaries, summarize the various responses and report the findings back to the experts. The distinguishing feature is the absence of interaction among experts.

Example : Maruti Suzuki

Plans to hire 950 people in 2010-11 for various roles and levels. We will add around 950 employees in 2010-11. Out of these 350 will be to the shop floor, and the rest will be hired from domestic engineering

and management institutes.

We're expecting to hire around 330 freshers. The hiring will be for various roles including management of the supply chain for the new line

at Manesar and the R&D team

HR Supply Forecast
Personnel Demand analysis provides the manager with the means of estimating the number

and kind of employees that will be required.

The next step for the management is to determine whether it will be able to procure the

required number of personnel and the sources for such procurement.

This information is provided by supply forecasting.Supply forecasting measures the number

of people likely to be available from within and outside an organisation, after making allowance for absenteeism, internal movements and promotions, wastage and changes in hours and other conditions of work.
The supply analysis covers1. Existing human resource 20 | P a g e

TIMSR
2. Internal sources of supply 3. External sources of supply

2011-12

Existing human resources

Present employees-Analysis of present employees is greatly facilitated by HR audits. It

summarise each employees skills and inventories.

Skills inventories-It consolidate information about non mangers in the organization Management inventories-This include work history, strength & weaknesses personal data

and career goals etc.

Internal supply-With the help of HR audits, planners can proceed with the analysis of

internal supply. The technique generally used for the purpose are inflows and outflows, turnover rate, absenteeism, movement among jobs.
External supply-The organization needs to look for prospective employees from external

sources for specific reasons like new blood need of expertise etc.

HR Programming
Once an organizations personnel demand and supply are forecast then the two must be

balanced in order that vacancies can be filled by the right employees at the right time.

HR Plan implementation
It requires converting an hr plan into action. A series of action programmes are initiated as

apart of HR plan implementation like recruitment, selection, T&D, the retention plan and the succession plan etc.

Control and Evaluation

The Hr plan should include budgets, targets and standards .It should also clarify

responsibilities for implementation and control, and establish reporting procedures which will enable achievements to be monitored against the plan.

BARRIERS TO HRP
HR practitioners are perceived as experts in handling personnel matters, but are not experts in

managing business.
People question the importance or making HR practices future oriented and the role

assigned to HR practitioners in formulation of organizational strategies.

There are people when needed offer handsome packages of benefits to them to quit when you

find them in surplus. When the task is so simple, where is the need for elaborate and time consuming planning for human resources.

21 | P a g e

TIMSR

2011-12

Conflict may exist between short term and long term HR needs. For example, there arises

a conflict between the pressure to get the work done on time and long term needs, such as preparing people for assuming greater responsibilities. Many managers are of the belief that HR needs can be met immediately because skills are available on the market as long as wages and salaries are competitive. Therefore, long time plays are not required, short planning are only needed.
There is conflict between quantitative and qualitative approaches to HRP. Some people

view HRP as a number game designed to track the flow of people across the department.
Non-involvement of operating managers renders HRP ineffective. HRP is not strictly an HR

department function. Successful planning needs a co-ordinated effort on the part of operating managers and HR personnel.
Resistance by employer Resistance by employees Resistance by trade unions Uncertainties Inadequacies of Information system Identify crisis Slow and gradual process

22 | P a g e

TIMSR

2011-12

23 | P a g e

TIMSR

2011-12

Job Analysis
Job Analysis in a Jobless World Job
Generally defined as a set of closely related activities carried out for pay. In other words, when the total work to be done is divided and grouped into packages, we call

it a Job. Job Analysis It is a systematic analysis of each job for the purpose of collecting information as to what the job holder does, under what circumstances it is performed and what qualifications are required for doing the job. Definitions of Job Analysis
Edwin Flippo: Job analysis is the process of studying and collecting information relating to

the operations and responsibility of a specific job.

The Nature of Job Analysis

Job analysis The procedure for determining the duties and skill requirements of a job and the kind of

person who should be hired for it. 1 Job description

A list of a jobs duties, responsibilities, reporting relationships, working conditions, and

supervisory responsibilitiesone product of a job analysis.

2 Job specifications
A list of a jobs human requirements, that is, the requisite education, skills, personality,

and so onanother product of a job analysis.

24 | P a g e

TIMSR

2011-12

Type of information collected:

Work activities Human behaviors Machines, tools, equipment, and work aids Performance standards Job context Human requirements

25 | P a g e

TIMSR
Uses of Job Analysis Information

2011-12

Recruitment and selection

Selection of people to recruit based on job requirements and human characteristics needed to

perform these jobs Training requirements

Training requirements based on job and required skills which are listed in the job

description Job evaluation / compensation Estimate value of each job and its appropriate compensation based on jobs required skill, education level, safety hazard, level of responsibility etc.
Relative worth of job determined to group jobs into different classes

Performance appraisal
Compares employees performance with standards which are derived from job analysis

Process of Job Analysis

26 | P a g e

TIMSR
I Strategic Choices:

2011-12

With regard to job analysis, an organization is required to make at least 4 choices: The extent of employee involvement in job analysis. The level of details of the analysis. Timing and frequency of analysis. Past-oriented versus future-oriented job analysis.

II Information Gathering: This step involves decisions on 3 issues viz;

What type of data is to be collected? What methods are to be employed for data collection? Who should collect the data?

III Information Processing:

Once the job information has been collected, it needs to be processed, so that it would be useful in various personnel functions. Specifically, job-related data would be useful to prepare job description and job specification. involved in a job.

IV Job description implies objective listing of the job title, tasks, duties and responsibilities

V Job specifications on the other hand, involve listing employee qualifications, skills and

abilities. These specifications are needed to do the job satisfactorily.

Job Analysis
Job Description
The preparation of job description is necessary before a vacancy is advertised. It tells in brief

the nature of a job. In other words, it emphasizes the job requirements.

Definition of Job Description

Edwin Flippo: Job Description is an organized factual statement of the duties and

responsibilities of a specific job. It should tell what is to be done, how it is done and why.
27 | P a g e

TIMSR

2011-12

Writing Job Descriptions

The Job Description

Job identification Job title: name of job Date: when the description was written Prepared by: who wrote the description Job summary Describes the general nature of the job Lists the major functions or activities Relationships (chain of command) Reports to: employees immediate supervisor Supervises: employees that the job incumbent directly supervises Works with: others with whom the job holder will be expected to work and come into

contact with internally.

Outside the company: others with whom the job holder is expected to work and come into

contact with externally.

Responsibilities and duties A listing of the jobs major responsibilities and duties (essential functions) Defines limits of jobholders decision-making authority, direct supervision, and budgetary

limitations.
28 | P a g e

TIMSR
Job Description Sample

2011-12

Job Specification
29 | P a g e

TIMSR

2011-12

Job specification is based on job description. It is a written statement of qualifications, traits,

physical and mental characteristics that an individual must possess to perform the job duties and discharge responsibilities effectively. Definition of Job Specification
Edwin Flippo: Job Specification is a statement of minimum acceptable human qualities

necessary to perform a job properly. Job Specification covers:

Educational and professional qualifications Skills Practical experience Physical fitness Special qualities required for performing the job Intelligence, judgement and initiative required for performing the job

Methods of Collecting Job Analysis Information

Techniques of Job Analysis Data

1. Personal observation 2. Sending out questionnaires 3. Maintenance of log records 4. Conducting personal interviews

Methods of Collecting Job Analysis Information: The Interview

30 | P a g e

TIMSR
Methods of Collecting Job Analysis Information: The Interview
Interview Guidelines

2011-12

The job analyst and supervisor should work together to identify the workers who know the

job best.
Quickly establish rapport with the interviewee. Follow a structured guide or checklist, one that lists open-ended questions and provides

space for answers.

Ask the worker to list his or her duties in order of importance and frequency of

occurrence.
After completing the interview, review and verify the data.

Methods of Collecting Job Analysis Information: Questionnaires

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

Methods of Collecting Job Analysis Information: Observation

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 31 | P a g e

TIMSR
Of little use if job involves a high level of mental activity

2011-12

Methods of Collecting Job Analysis Information: Participant Diary

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

Methods of collecting data

Quantitative Techniques:

The methods of collecting job-related data, described above, are used by most employers. But there are locations where these narrative approaches are not appropriate. For example there is a desires to assign a quantitative value to each job so that jobs can be compared for pay purposes, a more quantitative approach will be appropriate. The position analysis questionnaire, mgt. position description questionnaire, and functional job analysis and the three popular techniques of job analysis. 1.Position Analysis Questionnaire: The Position Analysis Questionnaire (PAQ) is a highly specialized instrument for analyzing any job in terms of employee activities. The PAQ contains 194 job elements on which job are created depending on the degree on which an element is present. These elements are grouped into 6 general categories. They are:
Extent of use Importance of the job Amount of time Possibility of occurrence Applicability Special Code

2.Management Position Description Questionnaire (MPDQ): The MPDQ is a highly structured questionnaire containing 208 items relating to managerial responsibilities,
32 | P a g e

TIMSR

2011-12

restrictions, demands and other miscellaneous position characteristics. These 208 items are grouped under the 13 categories they are:
Product, Mktg. and Financial Strategy Planning. Co-ordination of other organizational units and personnel. Internal business control. Products and services responsibility. Public and Customer relations. Advanced consulting. Autonomy of actions. Approval of financial commitments. Staff service. Supervision. Complexity and stress. Advanced financial responsibility Broad personnel responsibilities. Functional Job Analysis (FJA): FJA is a worker-oriented job analytical approach which

attempts to describe the whole person on the job. The main features of FJA include the foll.:
The fundamental distinction must be made between what has been done and what employees

need to do to get things done. For example, bus crew do not carry passenger but they drive vehicle and collect fare.
Jobs are performed in relation to data, people and things. In relation to things, employees draw on physical resources; and in relation to people,

employees drawn on interpersonal resources.

Job Design
Job design is defined by Michael Armstrong,

as the process of deciding on the content 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. Two important goals of job design
33 | P a g e

TIMSR
quality of product/service etc. and

2011-12

To meet the organizational requirements such as higher productivity, operational efficiency,

To satisfy the needs of the individual employees like interests, challenges, achievement or

accomplishment, etc. Poorly designed jobs often result in

Boredom Increased turnover Reduced motivation Low levels of job satisfaction Less than optimal productivity Increase in organizational costs

Techniques of Job Design

Job Simplification
This requires that jobs be broken down into their smallest units and then analyzed. Each resulting subunit typically consists of relatively few operations. These subunits are then

assigned to workers as their total job. This is done so that employees can do these jobs without much specialized training. Many small jobs can also be performed simultaneously, so that the complete operation can be done more quickly. Time and motion studies are often used for work simplification. Advantages of Job Simplification
Requires less training Less costly unskilled labour Increase in speed

Job Enlargement: (Horizontal)

It involves the addition to or expansion of tasks in the job and job becomes a meaningful

operation.
It is the strategy adopted by many organizations to combat the ill-effects of division of labor. Its focus is on enlarging the contents of jobs by adding tasks and responsibilities. It involves expansion of the scope and width of the job by means of assigning certain

closely related operations.

34 | P a g e

TIMSR

2011-12

E.g. a clerk in an office doing typing work may be also assigned tasks of drafting simple

letters, sorting mail and filling of papers. This will reduce his boredom and make him satisfied with the job. His efficiency will also improve. Job Enrichment: (Vertical)
It is a direct outgrowth of Herzbergs Two Factor Theory of Motivation. It is therefore based on the assumption that in order to motivate personnel, the job itself must

provide opportunities for achievement, recognition, responsibility, advancement and growth.

It involves the vertical expansion of jobs by increasing the amount of worker

responsibilities associated with the positions.

E.g. a worker who previously only loaded boxes for delivery into a trailer may be given the

responsibility of verifying that the customer order is correct.

Through job enrichment, autonomy, responsibility and control becomes part of a workers job. This in turn leads to greater feelings of satisfaction, higher motivation and increased

productivity.

Job Rotation
This refers to the movement of an employee from one job to the another over a designated

period of time.
Jobs themselves are not actually changed, only the employees are rotated among various jobs. An employee who works on another job for some days or months and returns back to the first

job.
This would relieve the employee from boredom and monotony, improves the employees

skills regarding various jobs and prepares the employee to meet the contingencies.
This is also intended to improve workers self-image and provides personal growth. However, job rotation can have a very limited potential. It does not change the basic nature of jobs. Rather an employee is asked to perform several

monotonous jobs in place of a single job.

Therefore, the employees who want a challenging and satisfying job still feel frustrated. Moreover, frequent rotation of employees may cause interruptions in the work routine of the

organization. Approaches To Job Design: Scientific Management Approach (F.W. Taylor) 35 | P a g e

TIMSR
Behavioral Approach (Herzberg) Socio-technical System Approach

2011-12

Scientific Management Approach: The earliest approach to job design is the rational approach or industrial engineering approach

propounded by F. W. Taylor, the father of Scientific Management.

The standardization of jobs into the single best way by which they can be performed. The training of workers in the single best way to perform the job. The specialization of labor leading to expertise in small narrow jobs. The systematic and specific determination of job description for each job. Monetary compensation should be used to reward successful performance of the job.

Behavioural Approach
During 1950s, Herzbergs research popularized the notion of enhancing need satisfaction

through what is called job enrichment.

One widely publicized approach to job enrichment uses the Job Characteristics Model. This

model is based on the view that three key psychological states of a job incumbent affect motivation and satisfaction of the job. The three states are

Experienced meaningfulness worth of the work Experienced responsibility Knowledge of results Understanding how effectively he/she is performing the job

So the more these three states are experienced, the more job incumbent will feel internal work motivation.

Socio-Technical System Approach

The major thrust of the socio-technical approach to job design is that both the technical

system and the accompanying social system should be considered when designing jobs.
According to this concept, jobs should be designed by taking a holistic or systems view of

the entire job situation, including its physical and social environment.
In order to create jobs, which have this supportive relationship, work teams, not individual

jobs, must be studied.

Job design through socio-technical approach requires the combined efforts of employees,

supervisors and union representatives in analyzing significant job operations.

36 | P a g e

TIMSR

2011-12

Recruitment and Selection

MEANING RECRUITMENT
Placing the RIGHT PERSON in RIGHT PLACE at RIGHT TIME. Recruitment refers to a process of finding and attracting applicants for employment. It is the

process of generating a pool of capable people to apply for employment to an organization.

Recruitment is the first step in the employment of labor. It is considered as the most important function of personnel administration because if right

people are not hired to execute the plans, even the best plans of the organization may fail. Definition of Recruitment
Recruitment is the process of seeking and attracting a pool of people from which qualified

candidates for job vacancies can be chosen. ----Byars and Rue

Recruitment is the process of searching for prospective employees and stimulating them to

apply for jobs in the organizations. ----Edwin B. Flippo What is Recruitment?

Recruitment is the process of attracting a group of people from which qualified candidates can

be selected to fill a job vacancy.

Recruitment policy is concerned with quantity and qualification of manpower. It also gives

guidelines for the staffing process.

The aim of an effective recruitment program is to attract the best people for the job.

Factors affecting recruitment

37 | P a g e

TIMSR

2011-12

All organizations do recruitment but the extent may differ according to

Size of the organization Employment conditions in the community Organizations ability to find and retain good performing people Working conditions and salary and benefits provided by the organization Rate of growth of organization Future expansion and production programmes of the organization Cultural, economic and legal factors

SOURCES OF RECRUITMENT

Sources of recruitment
Internal Employees from within the organization are hired to fill a job vacancy. It is normally used for higher level jobs. External Employees from outside sources are hired to fill a job vacancy. It is normally used for lower level jobs or in cases where requirements are not fulfilled

by existing personnel.

Sources of Internal Recruitment

Transfer-It involves the shifting of an employee from one job to another, one department

to another or from one shift to another. It is a good source of filling vacancies with employees from overstaffed department
Promotion-It leads to shifting an employee to a higher position, carrying higher

responsibilities, facilities, status and pay. Many companies follow the practice of filling the higher jobs by promoting employees who are considered fit for such positions.
Retired employees-Some retired employees may be willing to come back to work on a

part time basis.

Former employees- Sometimes, people who have left the organization for some reason or

the other are willing to come back and work for higher emoluments.

Advantages of Internal Recruitment

38 | P a g e

TIMSR
Employees are motivated to improve their performance Morale of the employees is increased Industrial peace prevails in the enterprise because of promotional avenues

2011-12

Filling of jobs internally is cheaper as compared to getting candidates from external source A promotion at a higher level may lead to a chain of promotions at lower levels in the

organization
Transfer or job rotation is a tool of training the employees to prepare them for higher jobs Transfer has the benefit of shifting workforce from the surplus departments to those where

there is shortage of staff.

Disadvantages of Internal Recruitment

When vacancies are filled through internal promotions, the scope for fresh talent is reduced The employees may become lethargic if they are sure of time bound promotions Frequent transfers of employees may reduce the overall productivity of the organization If the employees are promoted for higher position than again the vacancy is created for lower

level

Sources of External Recruitment

The various sources of external recruitment are:

Advertising Employment agencies Employee referrals Schools, colleges and professional institutions Labor unions Casual applicants Professional organizations or recruiting firms or executive recruiters Indoctrination seminars for college professors Leasing Voluntary organizations

1. Advertising

Advertising helps in more selective recruitment.

39 | P a g e

TIMSR

2011-12

Advertisements can be placed in media read only by particular groups. More information about the company, job and job specifications can be given in the ad so that people who do not fulfill requirements dont apply.

An advertisement should include the following important information:

Nature of business and size of organization The nature of job Location or place of work Tasks and responsibilities attached to the position Reporting hierarchy and work culture Emoluments, benefits and other facilities available Requirements of the job in terms of qualification, knowledge, skills and experience Last date to respond Ways to respond- by e-mail, telephone or post

2. Employment Agencies
An employment agency is a company that matches workers to open jobs. Employment agencies are classified as Public In many states, the public employment agencies are considered good, particularly

in the fields of unskilled, semi-skilled and skilled jobs.

Private In the professional and technical areas, most of the work is in the hands of

private agencies. 3. Employee Referrals

Employees working in an organization recommend their friends or acquaintances for vacant

positions in the organization.

This is a good source of recruitment, especially for lower and middle level management. Employees working in an organization recommend their friends or acquaintances for vacant

positions in the organization.

When labor market is tight, employers offer their employees bonus or prizes for referrals that

are hired and stay with the company for a fixed duration.
The drawback of this method is that it promotes nepotism, i.e. people of one caste or

community are employed who may not be suitable for the job.
4. Schools, Colleges and Professional Institution 40 | P a g e

TIMSR
They provide opportunities to recruit their students.

2011-12

They run placement services where complete bio-data of the students are available. Employers can view the details of the students and interview them for management trainees or

probationers.
Educational institutions are a good source of potential employees for entry level jobs. 5. Casual Applicants/ Unsolicited applicants Unrequested applications are received at the organizations gate or through e-mail. These form

a good source of recruitment.

Companies may keep record of applications received from candidates who made direct

enquiries about the vacancies in the organization.

This information is properly arranged and stored for future use when there are new vacancies

in the organization 6 Indoctrination Seminars for Colleges Professors

These seminars are organized to discuss the problems of companies and employees. Professors are invited to take part in these seminars. Plants and banquets are shown to them to impress them. The purpose is that they speak good about the company and help it in getting the required

personnel. 7 . Leasing
Leasing means hiring candidates on contract basis. This source of recruitment is used to handle short-term fluctuations in personnel needs. In this employees are hired on an hourly or daily basis. The firms gains well trained personnel. There is no responsibility of pension, insurance or other fringe benefits.

8. Voluntary Organizations Voluntary organizations like private clubs, social organizations might also provide employees handicaps, widowed or married women, old persons, retired people, etc., in response to advertisements. Advantages of external recruitment
Qualified personnel-By using it, the management can make qualified and trained people to

apply for vacant jobs in the organization

41 | P a g e

TIMSR
management has a wider choice while selecting the people for employment

2011-12

Wider choice- When vacancies are advertised widely, a large number of applicants apply. The

Fresh talent-The insiders may have limited talents. External sources facilitate infusion of

fresh blood with new ideas into the enterprise . This will improve the overall working of the enterprise.
Competitive spirit- If a company can tap external sources, the existing staff will have to

compete with the outsiders, they will work harder to show better performance. Disadvantages of external recruitment
Dissatisfaction among existing staff- External recruitment may lead to dissatisfaction and

frustration among existing employees. They may feel that their chances of promotions are reduced
Lengthy process- Recruitment from outside takes a long time. The business has to notify the

vacancies and wait for applications to initiate the selection process

Costly process- it is very costly to recruit staff from external sources. A lot of money has to

be spent on advertisement and processing of applicants

Uncertain response- The candidates from outside may not be suitable for the enterprise.

There is no guarantee that the enterprise will be able to attract right kinds of people from external sources.

Recent Trends

OUTSOURCING

Advantages:

Company need not plan for human resources much in advance. Value creation, operational flexibility and competitive advantage turning the management's focus to strategic level processes of HRM Company is free from salary negotiations, weeding the unsuitable resumes/candidates. Company can save a lot of its resources and time

E-RECRUITMENT

Advantages:

Low cost.
42 | P a g e

TIMSR

2011-12

No intermediaries Reduction in time for recruitment. Recruitment of right type of people. Efficiency of recruitment process. Gives a 24*7 access to an online collection of resumes. Online recruitment helps the organizations to weed out the unqualified candidates in an automated way followed by the organizations today. Poaching means employing a competent and experienced person already working with another reputed company in the same or different industry; the organization might be a competitor in the industry.

POACHING/RAIDING Buying talent (rather than developing it) is the latest mantra being

Head hunting- The companies request the professional organizations to search for the best

candidates particularly for the senior executive positions. The professional organizations search for the most suitable candidates and advise the company regarding the filling up of the positions.
Body shopping- Professional organization and Hi- tech training institutes develop the pool of

human resources for the possible employment. These professional and training institutes are called body shoppers and these activities are known as body shipping. The body shopping is used mostly for computer professionals Recruitment policy
The recruit and selection process starts after estimating the human resource requirements. Recruitment is the process of searching for potential employees and encouraging them to

apply for jobs in the organization.

Ethical practices should be followed during recruitment such as the use of truth in hiring.

Recruitment and Selection Policies Selection Policy To start the process of selection, three initial requirements must be satisfied. They are
There must be authority to select. There must be a standard of personnel with which potential employees can be compared. Selection procedure is a series of steps to know more about the applicant

Recruitment Practices in India

The various sources of recruitment in India are 43 | P a g e

TIMSR
Within the organization Badli or temporary workers Employment agencies Casual callers Applicants introduced by friends and relatives in the organization Advertisements Labor contractors

2011-12

All public sector organizations have to consider candidates sponsored by employment

exchanges. Purpose & Importance Of Recruitment Attract and encourage more and more candidates to apply in the organization. Create a talent pool of candidates to enable the selection of best candidates for the organization. Determine present and future requirements of the organization in conjunction with its personnel planning and job analysis activities. Recruitment is the process which links the employers with the employees. Increase the pool of job candidates at minimum cost. Help increase the success rate of selection process by decreasing number of visibly under qualified or overqualified job applicants. Help reduce the probability that job applicants once recruited and selected will leave the organization only after a short period of time. Meet the organizations legal and social obligations regarding the composition of its workforce. Begin identifying and preparing potential job applicants who will be appropriate candidates. Increase organization and individual effectiveness of various recruiting techniques and sources for all types of job applicants

44 | P a g e

TIMSR

2011-12

SELECTION
MEANING SELECTION Once the recruiting effort has developed a pool of candidates, the next step in the HRM

process is to determine who is best qualified for the job. This step is called the selection process .
It is the process of picking individuals ( out of the pool of job applicants) with requisite

qualifications and competence to fill jobs in the organization.

Selection Techniques
Initial or preliminary interview

Application blank or blanks

Check of references

Psychological tests

Employment interview

Approval by the supervisor

Physical examination

Induction or orientation

Preliminary Interview
This is a short interview and is used to eliminate unqualified candidates. Generally, there is no paper work at this stage.

45 | P a g e

TIMSR
application blank to complete.

2011-12

If the applicant looks like he can qualify for existing job openings, he or she is given the

Application Blank
Application blank is used to get information from prospective applicant to help management

to make a proper selection.

It quickly collects the basic data about a candidate. It is also useful to store information for future use. An application forms consists of Biographical data Educational achievements Salary and work experience Personal items Names and addresses of previous employers, references, etc.

Check of References
References are used in most selection processes. During the selection process it is believed that former employers, friends and professional

personnel give reliable evaluation of applicant.

Reference checks are generally made by mail or telephone and sometimes personally also.

Psychological Tests
Most organizations do not use psychological tests for selection. But larger the size of the firm, more are the chances of using psychological tests. Larger companies that can afford to conduct psychological tests do so to have a more detailed

and accurate selection procedure.

Smaller companies are more dependent on interviews. Ex. Aptitude test, personality test etc.

Selection test
Reliability and validity of selection tests Reliability-For any predictor to be useful, it must possess an acceptable level of reliability or

consistency of measurement. This means that the applicant's performance on any given selection device should produce consistent scores each time the device is used. If the test is
46 | P a g e

TIMSR

2011-12

reliable, any single individual's score should remain fairly stable over time, assuming that the characteristics it is measuring is also stable.
Validity- Higher reliability may mean little if the selection device has low validity, that is if

the measures obtained are not related to some relevant criterion such as job performance. For example just because a test score is consistent is no indication that it is measuring satisfactory and unsatisfactory performance on the job.
There are three specific types of validity Content validity-It is the degree to which the content of the test, as a sample, represent all

the situations that could have been included. A simplified example of a content valid test is a typing test for a secretarial position.
Construct validity-It is the degree to which a particular trait is related to successful

performance of the job. These traits are usually abstract in nature, such as a measure of intelligence. This type of validity is usually conducted by observing various behavior of the applicants and measuring how these behavior or traits relate to the job.
Criterion related validity- It is the degree to which a particular selection device accurately

predicts the important elements of work behavior. These measures reveal the relationship between some score ( test) and Job performance ( managerial effectiveness)

Interviewing
Interview is the interaction between the interviewer and the applicant. It is the most common method of selection. It is a good method to get accurate information about the applicant.

Types of Interviews
Preliminary interview These interviews are used for initial screening of applicants to know

whether to proceed for a detailed interview or not. The applicant is given job details during the interview.
Stress interview Pressure is created on the applicants to know how they handle stress. It

helps to get an insight into the personality of the applicant which would not be possible in tension free situations.
Depth interview These interviews cover the complete life history of the applicant like work

experience, academic qualifications, health interest, hobbies, etc. It is good for executive selection.
Patterned interview These interviews are a combination of direct and indirect questioning

of the applicant. The interviewer knows which areas should be queried in detail and he also encourages the candidate to talk freely.

Interview Process:47 | P a g e

TIMSR

2011-12

Before starting the interview, the important areas for asking questions should be worked out. The candidates application form should be examined to find his/her skills, incidents and

experiences which are related to important areas for asking questions.

The interviewer should make the candidate relaxed by starting with questions that are not

directly related with the job.

After the candidate is relaxed, the interviewer should ask the questions related to the job. Now the interviewer should make a tentative decision about the candidate. Approval by the Supervisor At this stage, we can reach the conclusion about which candidate should be hired. Physical Examination Physical examination is done to check whether the applicants physical capabilities match

with the job requirements or not.

The three basic objectives of physical examination are: To determine the applicants physical capabilities. To protect the company from needless claims under workers compensation laws. To stop communicable diseases from entering the organization. Induction It is the process of introducing the new employee to the organization. According to a report, more than half of voluntary resignations occur within the first six

months.
A good induction program helps to take care of this problem and reduce the costs associated

with it.
Difference Between Recruitment And Selection

The differences between the two are: 1. Recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organization WHEREAS selection involves the series of steps by which the candidates are screened for choosing the most suitable persons for vacant posts. 2. The basic purpose of recruitments is to create a talent pool of candidates to enable the selection of best candidates for the organization, by attracting more and more employees to apply in the organisation WHEREAS the basic purpose of selection process is to choose the right candidate to fill the various positions in the organization.
48 | P a g e

TIMSR

2011-12

3. Recruitment is a positive process i.e. encouraging more and more employees to apply WHEREAS selection is a negative process as it involves rejection of the unsuitable candidates. 4. Recruitment is concerned with tapping the sources of human resources WHEREAS selection is concerned with selecting the most suitable candidate through various interviews and tests. 5. There is no contract of recruitment established in recruitment WHEREAS selection results in a contract of service between the employer and the selected employee.

49 | P a g e

TIMSR

2011-12

Orientation
Orientation is a systematic and planned introduction of employees to their jobs, their co-

workers and the organization.

Orientation programme
Formal-The management has a structured programme which is executed when new employees

join the firm.

Informal-In this the new hires are directly put on the jobs and they are expected to adjust

themselves with the work and the company.

Formal orientation is elaborate and is spread over a couple of weeks or months It consist of three stages-

1 A general introduction to the company, often given by the HR department. 2 Specific orientation to the department and the job, typically given by the employees supervisor. 3 Follow up meeting to verify that the important issues have been addressed and employees questions have been answered.
Individual-orienting each person separately but it is time consuming and costly affair. Collective-Orienting new hires in groups. It is suitable for large organization as lots of new

hires join.
Serial-When an experienced employee induce a new hire which acts as a model for the new

hire. It maintain traditions and customs.

Disjunctive-Such induction is likely to produce more inventive and creative employees as the

new hire is not burdened by traditions.

Investiture-It seeks to ratify the usefulness of the characteristics that the person brings to the

new job. Most high level appointments follow this approach.

Divestiture It seeks to make minor modifications in the characteristics of the new hire,

though he or she was selected based on his or her potential for performance.

Steps
Welcoming to the organization Explain about company 50 | P a g e

TIMSR
Show the location/department where the new recruit will work Give the company manual to the new recruit

2011-12

Provide details about various work groups and the extent of unionism within the company Give details about pay, benefits, holidays, leave etc. Explain future training opportunities and career prospectus Clarify doubts, by encouraging the employees to come with the questions Take employee on a guided tour of building, facilities, etc. Hand him over to his supervisor.

Objective
To help the new comer to overcome his shyness To build new employees confidence To develop the new entrants a sense of belonging and loyalty To foster a close relationship To prevent false impression and negative attitude of the new employees To give the new comers necessary information like canteen, locker room. Rest periods and

leave rules etc

Socialization process

51 | P a g e

TIMSR

2011-12

Advantages
It helps to build two way communication It facilitates informal relations and team work Induction is helpful in supplying information about the organization, job, and welfare of

employees
Proper Induction will reduce employees grievances, absenteeism and labor turnover Induction helps to develop good public relations and improve the overall morale of employees An Induction program proves that the company is taking a sincere interest in getting him off

to a good start PROBLEMS

Employee is overwhelmed with too much information in a short time. Employee is overloaded with form to complete Employee is asked to perform tasks where there are high chances of failure that could

needlessly discourage the employee.

Employee is thrown into action too soon. Employee s wrong perceptions because of short periods spent on each job.

Induction Programme at Maruti Suzuki

Objective: The objective of this program is to facilitate smooth induction of the new 52 | P a g e

TIMSR

2011-12

employee into their place of work . This program attempts to orient the new employee on a few important parameters, which are listed below: Overview of Maruti and Suzuki Building understanding of the car market in India and various segments Understand MSILs product range and positioning in each segment Understanding the basics in the automobile industry Overview of each Maruti model and the MSIL Advantage Overview of the selling process and how to uncover needs of a customer to do need based

selling
Role of financing as a sales tool and the various financing options available Ensuring personal effectiveness, Understand the attributes of a good employee

Placement
It refers to the allocation of people to the job. It includes initial assignment of new employees,

and promotion, transfer or demotion of present employees.

Placement problems
Jobs can be classified into three categories Independent-In this jobs , the activities of one worker have little bearing on the activities of

other worker. Ex. sales

Sequential-Activities of one worker are dependent on others. Ex. Assembly lines Pooled- There is high interdependence among activities. It is the team work which matters.

Ex. Project teams

Employee placement

In this model, details about the employees' skills, interest, past performance and biographical

details are collected.

The individual is then placed in a specific subgroup. While placing, care must be taken to

match characteristics of the individual with those of the subgroup.

Just as individuals are placed in subgroups, each subgroup having identical characteristics. The next step is to match subgroups profiles with job- family profiles to determine the

likelihood of success and satisfaction in a particular job family.

53 | P a g e

TIMSR
job family after further counseling and possible assessment.

2011-12

Once assignment to a job family is made, individuals can be placed in specific jobs within the

TRAINING AND DEVELOPMENT

Training is expensive. Without training it is more expensive. - Nehru Definition
The systematic development of the knowledge, skills and attitudes required by an individual

to perform adequately a given task or job -----Michael Armstrong

The act of increasing knowledge and skills of an employee for doing a particular job

-----Edwin B. Flippo

Training
Training is the process of altering probability of goal attainment. It involves changing of Skills Attitude Knowledge

employee behavior and attitudes in a way that increase the

OBJECTIVES OF TRAINING
Acquiring intellectual Knowledge Acquiring Manual skills Acquiring Problem-solving skills To prepare the employee both new and old to meet the present as well as the changing

requirements of the job and the organization.

To prevent obsolescence To impart the new entrance the basic knowledge and skill they need for an intelligent

performance of definite job.

To prepare employees for higher level tasks. To assist employees to function more effectively in their present positions by exposing them

to the latest concepts, information and techniques and developing their skills they will need in their particular fields.

54 | P a g e

TIMSR
positions

2011-12

To build up a second line of competent officers and prepare them to occupy more responsible

To broaden the mind of senior managers by providing them with opportunities for an

interchange of experiences within and outside with a view to correcting the narrowness of outlook that may arise from over specialization
To develop the potentialities of the people for the next level job. To ensure smooth and efficient working of a department To ensure economical output of the required quality. To promote individual and collective moral, a sense of responsibility, co-operative attitudes

and good relationships.

Definition
Training is the formal and systematic modification of behavior through learning which occurs as a result of education, instruction, development and planned experience. Development is any learning activity, which is directed towards future, needs rather than present needs, and which is concerned more with career growth than immediate performance. DEVELOPMENT Management Development activities attempt to instill sound reasoning processes to enhance ones ability to understand and interpret knowledge. Training & Development Training
Increases job skills- specific skills Short term perspective Job centered The role of a trainer is very important

Development
It shapes attitude overall growth Long term perspective Career Centered Internally motivated for self development

55 | P a g e

TIMSR
Purpose/NEED OF T&D

2011-12

No one is a perfect fit at the time of hiring and some training & development must take place. Planned development programs will return values to the organization in terms of :

increased productivity reduced costs Morale

Flexibility to adapt to changing requirements Moulds employees attitude Helps them achieve better co-operation Creates greater loyalty to the organization Reduces wastage and spoilage Improves quality

Advantages of Training 1. Leads to improved profitability and/or more positive attitudes toward profits orientation. 2. Improves the job knowledge and skills at all levels of the organization. 3. Improves the morale of the workforce. 4. Helps people identify with organizational goals. 5. Helps create a better corporate image. 6. Fasters authentically, openness and trust. 7. Improves the relationship between boss and subordinate. 8. Aids in organizational development. 9. Learns from the trainee. 10. Helps prepare guidelines for work.

Benefits to employees
Self confidence Safety Higher earning Promotion 56 | P a g e

TIMSR
adaptability New skills Personal growth High morale Better quality of work Higher productivity Cost reduction Reduced supervision Less learning period Fewer accidents Brings loyalty

2011-12

Disadvantages of training
1. Can be a financial drain on resources; expensive development and testing, expensive to operate 2. Often takes people away from their job for varying periods of time; 3. Bad habits passed on 4. Narrow experience

Training process

Organizational Objectives and Strategies: The first step in the training process in an

organization is planning i.e. the assessment of its objectives and strategies.

What business are we in? At what level of quality do we wish to provide this product or service? Where do we want to be in the future?

It is only after answering these and their related questions that the organization must assess the strengths and weakness of its human resources.
Needs Assessment: Needs assessment diagnoses present problems and future challenges to be

met through training and development.

Needs assessment occurs at two levels-group and individual. An individual obviously needs

training when his or her performance falls short of standards, that is, when there is performance deficiency. Inadequacy in performance may be due to lack of skill or knowledge
57 | P a g e

TIMSR

2011-12

or any other problem. The problem of performance deficiency caused by absence of skills or knowledge can be remedied by training.
Assessment of training needs occurs at the group level too. Any change in the organizations

strategy necessitates training of groups of employees. For example, when the organization decides to introduce a new line of products, sales personnel and production workers have to be trained to produce, sell and service the new products. Training can also be used when high scrap or accident rates, low morale and motivation, or other problems are diagnosed.

Training needs identification

Before an Organization lays out the plan for training, it needs to analyze the organizational objectives, assess the employee needs and train the employees accordingly. Training needs can be identified with the help of Thayer and McGhee model. It is based on the following three factors:
Total Organization Analysis Task analysis Man analysis

58 | P a g e

TIMSR
Training Need assessment

2011-12

Organizational analysis:
1. Analysis of objective: short term & long term 2. Resource utilization analysis: human, physical & financial 3. Environmental scanning: social, economical, political, technological 4. Organizational climate analysis: turnover & absenteeism ratio

Task & Role analysis

Job Components Operations & conditions of job Skills, knowledge, attitude Methods Standards It is the third component in identifying training needs. It helps to identify whether the individual employee requires training and if so, what kind of

training.

The primary sources of such information are-------1) Observation at place or work, examination of job schedules. 2) Interviews with superiors and employees, 3) Personnel records 4) Production reports 5) Poor performers Person potential 59 | P a g e

TIMSR
Training process

2011-12

Training and Development Objectives: Once training needs are assessed, training and

development goals must be established. Without clearly-set goals, it is not possible to design a training and development programme and, after it has been implemented, there will be no way of measuring its effectiveness. Goals must be tangible, verifiable, and measurable. This is easy where skills training is involved. Behavioral objectives like attitudinal changes can be more difficult to state. Nevertheless, clear behavioral standards of expected results are necessary so that the programme can be effectively designed and results can be achieved.

Areas of Training
The Areas of Training in which training is offered may be classified into the following categories:

Knowledge Here the trainee learns about a set of rules and regulations about the job, the staff and the products or services offered by the company. The aim is to make the new employee fully aware of what goes inside and outside the company. Technical Skills The employee is taught a specific skill (e.g., operating a machine and handling computer) so that he can acquire that skill and contribute meaningfully. Social Skills The employee is made to learn about himself and other, develop a right mental attitude, towards the job, colleagues and the company. The principal focus is on teaching the employee how to be a team member and get ahead. Techniques This involves the application of knowledge and skill to various on-the-job situations. In addition to improving the skills and knowledge of employees, training aims at clouding employee attitudes: When administered properly, a training programme. It will go a long way in obtaining employee loyalty, support and commitment to company activities.

Training process
Designing Training and Development Programme: Every training and development

programme must address certain vital issues i) who participates in the programme? ii) who are the trainers? iii) what methods and techniques are to be used for training? iv) what should be the level of training? 60 | P a g e

TIMSR
v) what learning principles are needed? vi) where is the programme conducted?

2011-12

Types and Techniques of Training

Training methods are chosen according to the requirements of the program design. The main objectives of individual training methods are: Demonstration value: Complete demonstration of job requirements help the trainees to

understand the meaning of ideas, concepts and procedures.

Trainees remember things that they see and hear much longer than things that they only hear

or see.

Developing Interest
An important factor to be kept in mind while choosing a training method is its ability to hold

the interest of the trainee in the learning situation.

The trainer should choose training methods that increase trainees interest and help him to

retain the matter.

For e.g., if lecture method is being used, then audio-visual methods can be used or project

work could be given to encourage learning by doing.

Appeal Too Many Senses

It is important to utilize as many of the trainees senses as possible. This helps in better

retention of learning.
The trainer should be able to understand and identify problem areas. He should be able to select the appropriate method based on the level of the trainee in the

organization hierarchy.
The training method should be cost effective as well.

Training Budgets
A training budget has to be prepared for each internal programme and it includes: Cost of facilities like training room, food, transport, guest faculty, and teaching material. Wages and salary of employees who participate in training and remain absent from their

regular jobs.
The trainer should plan his training activities in advance so that normal work is not disturbed. In in-house training a large amount of work has to be done regarding course design,

preparation of teaching material, administrative arrangements, etc.

61 | P a g e

TIMSR
finding his temporary replacement, etc. have to be considered.
Training methods are a means of achieving the desired objectives. Each method is suitable for a particular situation.

2011-12

In case of external programmes organizational factors like releasing the participant from job,

The choice of teaching method depends on many factors like competence of instructors,

importance to the participants, program design, etc.

Implementation of the Training Programme: Once the training programme has been

designed, it needs to be implemented. Implementation is beset with certain problems. In the first place, most managers are action-oriented and frequently say they are too bust to engage in training efforts.
Secondly, availability of trainers is a problem. In addition to possessing communication skills,

the trainers must know the companys philosophy, its objectives, its formal and informal organization, and the goals of the training programme. Training and development requires higher degree of creativity than, perhaps, any other personnel specialty.
Scheduling training around the present work is another problem. How to schedule training

without disrupting the regular work? There is a problem of record keeping about the performance of trainee during his or her training period. This information may be useful to evaluate the program of the trainee in the company.
Programme implementation involves action on the following lines: Deciding the location and organizing training other facilities. Scheduling the training programme. Conducting the programme. Monitoring the progress of trainees. Evaluation of the Programme: The last stage in the training and development process is the

evaluation of results
Structured interviews with supervisors are used to get feedback on training. Experimental and control groups are also created to find the impact of training. Two groups

are randomly prepared. Training is provided to the experimental group while no training is provided to the control group. If results of experimental group are a lot better than those of the control group, training is considered successful.

Evaluation of Training
Training evaluation is done to
Judge the ability of the participants to perform the jobs for which they were trained. Find defects or faults in training provided. 62 | P a g e

TIMSR
Find whether the trainee requires any extra training.

2011-12

Find the training requirements of the participants to the meet job requirements.

There are four basic categories of outcomes that can be measured:

Reaction: It is evaluating the trainees reaction to the programme. Learning: It is finding whether the trainee learnt the principles, skills and facts taught by the

trainer.
Behavior: Whether the trainees on-the-job behavior changed after training. Results: What results have been achieved after training.

How to evaluate Training effectiveness?

Reaction

Did the trainee like the program?

Behavior Whether the trainee behavior on the job changed because of the training program? Learning

Did the trainee learn?

Results

What final results have been achieved

Responsible for Training

Top Mgmt Frames the Training policy HR Dept plans, establishes and evaluates Supervisors implement and apply development procedure Employees provide feedback, revision and suggestions

Methods/ TYPES OF TRAINING

On the job: Job Rotation, Committee assignment, Coaching, job instruction training,

Apprenticeship
Off the job: Vestibule, Role playing, Lecture, Case discussion, Conference,

Simulation

On-the-Job Training

63 | P a g e

TIMSR

2011-12

On-the-job training (OJT) refers to new or inexperienced employees learning through

observing peers or managers performing the job and trying to imitate their behavior.

Coaching
Coaching refers to the activity of a coach in developing the abilities of coaches or clients. Coaching methods includes both theoretical and practical sections. Where motivational

speeches are done theoretically, workshop, seminars come under practical methods.

Job instruction training

Step by step structured training method in which a trainer

(1) prepares a trainee with an overview of the job its purpose, and the results desired, (2) demonstrates the task or the skill to the trainee, (3) allows the trainee to mimic the demonstration on his or her own (4) employee does the job independently (5)follows up to provide feedback and help. Ex. Prepares supervisor to train operatives.

Job rotation
Job rotation is an approach to management development where an individual is moved

through a schedule of designed to give him or her a breadth of exposure to the entire operation.
Job rotation is also practiced to allow qualified employees to gain more insights into the

processes of a company, and to reduce boredom and increase job satisfaction & skill enhancement through job variation.

Committee assignments
Under the committee assignments a group of trainees are given and asked to solve an actual organizational problem. The trainees solve the problem jointly. It develops team work. Apprenticeship Programme
Many companies have their own apprenticeship programme. Here the workers are employed

and given a small stipend to learn the job first. After the training is completed they are recruited in the industry.
The advantages of apprenticeship are A skilled workforce is maintained. Training results in immediate return. 64 | P a g e

TIMSR
The workmanship is good.

2011-12

The hiring cost is lower because of reduced turnover and lower production costs. The employees become more loyal and growth opportunities are more.

In-Company/External Programmes
The company has to take a decision regarding participation in programmes offered by external

agencies like educational management institutes, government institutions and consultant programmes as compared to conducting in-house programmes.
In house training may be good when number of employees is large, but for small number of

employees in house training may not be possible.

But the cost aspect should also be considered. Many employees can be trained in-house at the

cost equal to sending an employee to a external programme.

The advantages of external programmes are

They provides a fresh approach to an organization. Employees learn different techniques and skills than those offered by in-house programmes. Advantages of On-the-job Training
The trainee learns on the actual equipment and in true job environment. It is economical as no extra personnel and facilities are required. The trainee learns the rules, regulations and procedures by observing day-to-day working. It is suitable for a company with number of jobs equal to the number of employees. Suitable for teaching the knowledge and skills that can be learnt in a short period of time.

Disadvantages of on-the-job Training

Instructions are disorganized and unsystematic and not properly supervised. This may be due to Inability of the experienced employee to provide skills to the trainee. Breakdown of the job for the purpose of instructions. Lack of motivation on the part of the trainee. Low productivity if the employee is not able to fully develop his skills.

Off the job training

65 | P a g e

TIMSR
work. This is often also referred to as "formal training".

2011-12

Off the job training involves employees taking training courses away from their place of

Off the job training courses might be run by the business' training department or by external

providers.
- Use of specialist trainers and accommodation - Employee can focus on the training - and not be distracted by work

Table on Training Procedure

Simulation Methods
In this technique, the actual job conditions are created as nearly as possible. This technique is commonly used in the aeronautical industry. The most widely held simulation exercises are case study, role playing and vestibule training

Vestibule Training
In this method, it is tried to create on-the-job situations in a classroom. In this form of training, classroom training is provided with the help of equipments and

machines which are similar to those used at the workplace.

This helps the employee to concentrate on learning rather than performing the job. Theoretical training is given in the classroom whereas practical work is conducted on the

production line. Ex. Clerks, machine operator, testers, typists etc. Advantages of Vestibule Training
The trainee is free from the confusion and pressure of the work situation, so he can better

concentrate on learning.
A specific level of skill can be achieved more quickly because of specialized learning

situation.
Proper time and attention is given to training. Individualized instruction can be given. Training activities do not disturb the regular process of production.

Disadvantages of Vestibule Training

1. The division of responsibilities leads to organizational problems. 66 | P a g e

TIMSR
2. An extra investment is done on equipment.

2011-12

Role Plays
Trainees act out characters assigned to them. Information regarding the situation is provided to the trainees. Focus on interpersonal responses. Outcomes depend on the emotional (and subjective) reactions of the other trainees. The more meaningful the exercise, the higher the level of participant focus and intensity.

Knowledge Based Methods

In this technique, trainees are exposed to concepts and theories, basic principles, and pure and

applied knowledge in any subject area.

The main aim is to make trainees aware of the fundamentals. The examples of this method are lectures, seminars, workshops, films and training, group

discussions, etc.

Lecture
Training is basically incomplete without lecture. When the trainer begins the training session

by telling the aim, goal, agenda, processes, or methods that will be used in training that means the trainer is using the lecture method Main Features of Lecture Method: Inability to identify and correct misunderstandings Less expensive Can be reached large number of people at once Knowledge building exercise Less effective because lectures require long periods of trainee inactivity Need and Importance of Management Development
Executive development is defined as improving an individuals managerial effectiveness

through a planned process of learning.

The change in an individual should occur in following areas: Knowledge change Attitude change Behavior change Performance change 67 | P a g e

TIMSR
End results

2011-12

The success of executive development depends on the following factors:

Trainees personal characteristics like intelligence and motivation. His actual learning efforts

These two variables are affected by the following factors:

Formal organization Leadership climate Cultural factors

Organizations perform management development to achieve the following results:

Improve technical performance. Improve supervision and leadership. Improve inter-departmental cooperation Find an individuals weaknesses. Attract good people. Encourage promotion from within policies. Make sure that the qualifications of key personnel become better known. Create reserves in management ranks. Make an organization more flexible by making its members more resourceful and

multipurpose.
Improve organizational structure. Encourage junior executives to do better work.

Training fails due to the following reasons:

The benefits of training are not clear to the top management. The top management does not give reward to the supervisors for conducting training. The top management does not systematically perform the tasks of planning and budgeting. The middle management does not get proper incentive from top management and hence does

not account for training in production scheduling.

68 | P a g e

TIMSR
implemented in the organization.
Trainers provide limited counseling and consulting services.

2011-12

Off-the-job training sometimes teaches techniques or methods which are not practically

Training programs can be made effective and successful by taking care of the following factors:
Specific training objectives should be framed. It should be determined whether the trainee has the necessary intelligence, maturity and

motivation to complete the training program.

The trainee should be made to understand the need for training and the personal benefits

achieved by changes in behavior that take place after training.

The training programme should be planned in such a way that it is related to the trainees

previous experiences and background.

Organizational conditions should be favorable for a good learning environment.

69 | P a g e

TIMSR

2011-12

Career Planning
Career planning whats that?? Career planning consists of activities and actions that you take to achieve your individual career goals
A career can be defined as a sequence of positions, roles or jobs held by one person over a

relatively long time span.

It represents an organized path taken by an individual across time and space with a horizon. Concept of Career Career path : Sequential pattern of jobs that form a career. Career Planning refers to the process by which an individual selects career goals and the path

to these goals. Deeper insight

It is the life- long process a person goes through to learn about himself such as purpose, personality interests skills talents Develop a self- concept, learn about careers, and work situations Make a career choice, while developing and coping social skills

Career planning : An ongoing process Here You

Explore your interests and abilities Strategically plan your career goals Create your future work success by designing learning and action plans to help you achieve

your goals.
The major focus is matching personal goals and opportunities that are realistically available. Career planning is building bridges from ones current job/career to next job/career. Well-conceived career plan is flexible to accommodate changing opportunities for

development
70 | P a g e

TIMSR
Benefits of Career Planning to an Organization
Ensures availability of resources for future Enhances organizational ability to attract & retain talent Ensures growth opportunity for all Handles employee frustration Understand his own strength & weaknesses Better knowledge of career opportunities Choose a career that suits his lifestyle. Plan his career in long term perspective Opportunity to change his career plan as per changing environment

2011-12

How important is career planning?

People leave an organization due to lack of career growth Deeper focus on an employees aims and aspirations Degree of clarity Helps in identifying handicaps & the blind spots to overcome Significant motivator Key retention tool Critical human resource strategy High-level vision and goals of company are clearly made known to employees Growth of an organisation is intrinsically linked with the growth of an individual Matching organization vision & employees aspirations is must

Whose responsible for planning ones career?? Individual Organization

Career stages

71 | P a g e

TIMSR

2011-12

Exploration- it is a career stage that usually ends in ones mid twenties as one makes the

transition from college to work. This stage has the least relevance from the organizational point of view as it happens prior to employment
Establishment- It is the stage in which one begins to search for work. It include getting ones

first job. It takes many years to search for a right job. The problem of this stage include making mistakes , learning from those mistakes and assuming increased responsibility.
Mid career stage- This stage is marked by a continuous improvement in performance,

leveling off in performance. Remaining productive at work is a major challenge of career at this stage.
Late career- In this stage one is no longer learning about his or her job. He is not expected to

try to outdo his or her levels of performance from previous years. This stage is usually a pleasant stage. The employee enjoys playing a part of the elder statesperson. The employee can rest and gain the respect of younger employees

Process of career planning

Analysis of individual skills, knowledge , abilities, aptitudes etc. Analysis of career opportunities both within and outside the organization Analysis of career demands on the incumbent in terms of skills, Knowledge, abilities etc and

in terms of qualifications, experience and training received.

Relating specific jobs to different career opportunities Establishing realistic goals both short and long term Formulating career strategy covering areas of change and adjustments Preparing and implementing action plan including acquiring resources for achieving goals

Career Planning is NOT

Leaving the decision to chance Getting information and never deciding Going along with someone elses plans

Its OUR future. WE need to make our career decision!!

72 | P a g e

TIMSR

2011-12

73 | P a g e