Subject Code: MB0043

Human Resource Management

MBA Sem.1

Human Resource Management

(Master of Business Administration Semester I)

Roll No.: Assignment Set:1 Subject Code: MB0043 Centre: Date of Submission:
Your name Roll no.

Subject Code: MB0043

Human Resource Management

MBA Sem.1

Question.1. What are the functions that HR attempts to fulfill in any organization. Answer: The Functions that HR attempts to fulfill in any organization are as follows: 1. Human resource planning: Estimating the need for resources in order achieve the desired business results. HR plans can be both short term/immediate as well as long term/strategic. The HR team partners with the line managers to understand the business goals and targets for the year and together plan the HR needs in order to meet the goals. 2. Acquisition of Human Resources: Staffing the organization, with the right mix of skills and competencies, at the right time. It also includes HR initiatives like promotions and internal job posting to fulfill this requirement for human resources. Staffing teams in organization are usually separate group of specialists who work closely with the line managers to understand the skills and competencies needed for the job and engage together to elect the best talent for the open position. 3. Training and employee development: Focuses in managing training activities to upgrade skills and knowledge as well as soft skills like the ream building and leadership. The training team is again a group of HR specialist who proposes the training program and consults with the line managers to ensure that the program achieves the desired outcomes. 4. Building performance management systems: Focuses on the right processes to set goals for performance as individual / teams and related measurement methods. This is core HR activity and is supported by the HR generalist. 5. Rewards systems: Establishing appropriate compensation systems and reward mechanism that would reward the desired outcome and results in accordance with the cooperate values. The again forms a part of HR generalists tasks. Hoe employees progress in a organization how they are paid w.r.t internal and external market factors, what employee benefits are offered are some aspects that this function redresses. 6. Human resources information systems: That would that would take care of operational transactions form the time an employee exits, like personal files, compensation administration, payroll, benefits administration and issuing letters and testimonials. That task is supported by as separate HR operation team who acts as an HR helpdesk and provides information to the employee/managers.

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Subject Code: MB0043

Human Resource Management

MBA Sem.1

Question.2. Discuss the cultural dimensions of Indian Work force. Answer: Cultural Dimension of Indian Work Force The foundation for understanding the unique work practices at a country level can be best is understood by first understanding the culture aspects of the countrys workforce. The pioneering work done by Dutch Scientist, Geert Hofstede is a useful tool in understanding the cultural differences used to differentiate countries. He identified five cultural dimensions around which counties have been clustered. The dimensions are: power distance, uncertainly avoidance, individualism, masculinity and long term orientation. Geert Hofstede dimension are based on research conducted among over 1000 IBM employees working globally. While their continued to be other studies like the GLOBE (Global leadership and organizational behavior Effectiveness) project and trompenaars framework, hofstedes model is most popular. Power Distance Power distance is the extent to which less powerful members of institutions and organizations accept that power is distributed unequally. Countries in which people blindly obey of superior have high power distance. High power distance countries have norms, values and beliefs that support: In equally is good; everyone has a place; some are high, some are low. Most people should be dependent on a leader, The powerful are entitled to privileges, and The powerful should yield the power India score 77 on power distance , indicating high power distance as a result of the inequalities both at the level of society as well as the at the workplace. Indian organization typically have hierarchical structures, policies yield power and subordination is acceptable. The dimension of high power distance at the workplace can be best understood as: People dislike work and try to avoid it Managers believe that they must adopt theory X leadership style, that is, they must be authoritarian, and force workers to perform and need to supervise their subordinated closely. Organizational structure and systems tend to match the assumption regarding leadership and motivation Decision making is centralized. Those at the top make most of the decision. Organization tends to have tall structures. They will have a large proportion of supervisory personal and the people at the lower level often will have low job qualifications Such structures encourages and promotes inequality between people at different levels.

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Subject Code: MB0043

Human Resource Management

MBA Sem.1

Uncertainty Avoidance Uncertainty avoidance is the extent to which people feel threatened by ambiguous situation, and have created beliefs and institutions that try to avoid these. India scores 40 indicating low to average uncertainly avoidance characterizes. Countries with low to average uncertainly avoidance have people who are more willing to accept that risks are associated with the unknown, and that life must go on in spite of this. Specifically, high uncertainly avoidance countries are characterized by norms, values and beliefs which accept that: Conflict should not be avoided Deviant people and ideas should be tolerated, Laws are not very important and need not necessarily be followed, Experts and authorities are not always correct and consensus is not important. Low uncertainty avoidance society such as ours have organization setting with less structuring of activities, fewer written rules, more risk taking by managers, higher labor turnover and more ambitious employees. Such an organization encourages employees to use their initiative and assume responsibility for their actions. Denmark and Great Britain are good examples of low uncertainty avoidance cultures. Germany, Japan and Spain typify high uncertainty avoidance societies. Individualism Individualism is the tendency of people to look after themselves and their family only. The opposite of this collectivism which refers to the tendency of people to belong to group and to look after other in exchange for loyalty India score 48 on individualism, indicating somewhat low scores, therefore tending towards a more collectistic society. Collectivist countries believe that: Ones identity is based on ones group membership, Group decision making is best and Group protect individuals in exchange for their loyalty to the group Organizations are collectivist societies tend to promote nepotism in selecting managers. In contrast, in individualism societies, favoritism shown to friends and relatives is considered to be unfair and even illegal. Further organizations in collectivist culture base promotions mostly on seniority and age, where as in individualist societies; they are based on ones performance. Finally in collectivist cultures, important decision are made by older and senior managers as opposed to individualist cultures, where decision making is an individuals responsibility. Individualism is common in the US, Canada, Australia, Denmark and Sweden. The people of India, Indonesia, and Pakistan & Number of South American countries exhibit collectivism.

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Subject Code: MB0043

Human Resource Management

MBA Sem.1

Masculinity Masculinity refers to a situation in which the dominant values in a society are success, money and other material things. Hofstede measured this dimension on a continuum ranging from masculinity to femininity. India scores 56 tending to be closed to masculinity than feminity.In highly masculine societies; jobs are clearly defined by gender. There are mens jobs and womens jobs. Men usually choose jobs that are associated with long-term careers. Women usually choose jobs that are associated with short-term employment, before marriage. Ranking of Countries on Hofstedes Cultural Dimensions. Table 2.1 Comparative table containing the scores
Country Arab World Argentina Australia Brazil Canada China East Africa Germany Hong Kong India Netherlands NZ Norway Pakistan Philippines Poland Singapore Slovakia S.Korea UK US Vietnam West Africa Power Distance Index 80 49 36 69 39 80 64 35 68 77 38 22 31 55 94 68 74 104 60 35 40 70 77 Individualism 38 46 90 38 80 20 27 67 25 48 80 79 69 14 32 60 20 52 18 89 91 20 20 Masculinity 52 56 61 49 52 66 41 66 57 56 14 58 8 50 64 64 48 110 39 66 62 40 46 Uncertainty Avoidance Index 68 86 51 76 48 30 52 65 29 40 53 49 50 70 44 93 8 51 85 35 46 30 54 Long-Term Orientation

31 65 23 118 25 31 96 61 44 30 20 0 19 32 48 38 75 25 29 80 16

Question.3. Explain the need for Human Resource Planning system. Answer: Need of Human resource planning: Human resource planning is mandatory part of every organizations annual planning process. Every organization that plans for its business goals for the year also plans for how it will go about achieving them, and therein the planning for the Human resources. Human resource planning is the process of anticipating and carrying out the movement of people into, within, and out of the organization. Human resources planning is done to
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

achieve the optimum use of human resources and to have the correct number and types of employees needed to meet organizational goals. Thus, it is a double-edged weapon. If used properly, it leads not only to proper utilization, but also reduces excessive labor turnover and high absenteeism, and improves productivity. It can also be defined as the task of assessing and anticipating the skill, knowledge and labor time requirements of the organization, and initiating action to fulfill or source those requirements. Thus, if the organization as a whole or one of its subsystem is not performing to the benchmark, in other words, it is declining, it may need to plan a reduction or redeploys its existing labor force. The steps in the HRP process is a systematic set of activities carried out in a chronological manner. Each step needs to be evaluated and debated with all possible information gathered from the external as well as internal environment. Below Table highlights the steps in the process.

A. Purpose of Human Resource Planning: Human Resource Planning fulfills individual as well as organizational goals. What it essentially amounts to is striking a balance between the future human resources needs and the future enterprise needs. And this is done with the clear objective of maximizing the future return on investment in human resources. And this objective may be laid down for a short-term (i.e. for one year). B. Estimating/Forecasting the future Manpower Requirements: the first step in the process is to arrive at the desired organizational structure at a given point in time. Mapping this structure with the existing structure helps in identifying the gap in resources requirement. The number and type of employees needed have to be determined. In addition to the structure there are a number of external factors that affect this determination. They include business forecasts, competitor strategy, expansion plans, and product/skills mix changes, profit/revenue growth projections, in addition to management philosophy and government policies. This step also includes an analysis of the external labor/talent environment, its demographics, demand/supply of the required talent, and cost considerations.

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Subject Code: MB0043

Human Resource Management

MBA Sem.1

C. Auditing Human Resources: Once the future human resource needs are estimated, the next step is to determine the present supply of manpower resources. This is done through what is called Skills Inventory. A skills inventory contains data about each employees skills, abilities, work preferences and other items of information which indicate his worth to the company. Skills inventory are also referred to as competency dictionaries. This information is usually retained as part of the performance management system with the HR department. This step in the HRP system helps identify the existing profile of the manpower and its efficiency. It helps highlight where the organization is vs. where it ought to be. The step concludes with identifying clear gaps in the skills/ manpower mix required to meet the upcoming business objectives. D. Job Analysis: After having decided how many persons would be needed, it is necessary to prepare a job analysis. The recorded details of training, skills, qualification, abilities, experience and responsibilities, etc. as needed for a job are studied. Job analysis includes the preparation of job descriptions and job specifications. E. Developing a Human Resource Plan: This step refers to the development and implementation of the human resource plan, which consists in finding out the sources of labor supply with a view to making an effective use of these sources. Some important considerations at this point are: Specific roles/disciplines being hired for, of them which roles are pivotal for the business Competencies and capabilities needed Manager vs. employee hiring Hire internally vs. external sourcing Planning for new skills through training existing staff vs. hiring new teams In case of surpluses, planning for redeployment/ reduction in workforce as required Succession planning for key positions in the company Question.4. Elucidate the classification of wages in the Indian System. Answer: Classification of wages: The international labor organization (ILO) in one of its publication, classified wages as under: The amount necessary for mere subsistence; The amount necessary for the health and decency; and The amount necessary to provide a standard of comfort.
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

In India wages system is classified as follows: Minimum wages Fair wages Living wages Minimum wages A minimum wages has been defined by the committee as the wages which must provide not only for the bare substance of life, but for the preservation of the efficacy of the worker. For this purpose minimum wages must provide for some measure of education, medical requirement and amenities. In other words, minimum wages should provide for sustenance for the workers family, for his efficiency, for the education of his family members, for their medical care, for their amenities. It is very difficult to determine the minimum wages because condition varies from place to place, industry to industry and from worker to worker. However, the principles for determining minimum wages were evolved by the government and have been incorporated in the minimum wages act,1948,the important principles being that minimum wages should provide not only for the bare sustenance of life but also for the preservation of the efficiency of the workers by the way of education, medical care and other amenities. Fair wage It is the wage which is above the minimum wage but below the living wage. The lower limit of the fair is obviously the minimum wage; the upper limit is set by the capacity of industry to pay. Between these two limits, the actual wages should depend on consideration of such factor as: The productivity of labor The prevailing rates of wages in the same or neighboring localities; The level of the national income and its distribution; and The place of industry in the economy. Living wages One which should enable the earner to provide for himself and his family not only there re essentials of food, clothing and shelter but a measure of frugal comfort, including education for his children, protection against ill-health, requirement of essential social needs and a measure of insurance against the more important misfortunes including old age in other words, a living wage was to provide for a standard of living that would ensure good health for the worker and his family as well as a measure of decency, comfort, education for his children and protection against misfortunate. Generally ascertaining wages and deciding who to pay what is a activity undertaken in the beginning when an organization is set up. There on it are annual reviews to make correction per the countrys economic and market/industry trends.
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

The management considers the state of the labor market and takes into account of what he can afford to pay and the value of the worker to him. The workers willingness for employment at the rate offered implies that they agree to work at that rate; through they have had no part in fixing it. 1. Collective bargaining It is still in the initial stage in India. Although it is a desirable development in the relation between management and labor, it cannot be imposed upon either side by compulsion and should evaluate naturally from within. 2. Voluntary arbitration In voluntary arbitration, both parties agree to refer their dispute agreed arbitrator and his award becomes binding on the parties. 3. Wage Legislation Wages are fixed according to the law in some industries. The central government and state government may fix minimum wages under the minimum wages act 1948 for the industries in which workers are exploited or too unorganized to protect their own interest. In order to advise them in the matter of fixing minimum wages, the government appoints minimum wages committees and the advisory boards. The committees and the advisory boards consist of equal number of workers and employers representative and also independent members whose number should not exceed onethird of the total number of members. 4. Conciliation The industrial dispute act 1947, provide for consideration in case of dispute between employee and worker. If an agreement is reached in the course of conciliation proceeding, it becomes binding on the parties and takes effects from the date agreed upon or from the date on which it is signed by the two parties. In case no agreement is reached, the conciliation officer sends a full report on the proceeding. On the receipt of the report, the Govt. may decide to refer the case to industrial tribunal for award. 5. Adjudication Labor courts and industrial tribunal are set up under the industrial disputes act 1947. On studying the awards one gets the impression that the adjudication are attempting to justify their decision in social and ethical terms. At the same time, there is desire to satisfy both parties to dispute, and therefore. Economics factors such as capacity to pay, unemployment, profit, condition of the economy or welfare of the industry concerned, are given due prominence.

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Subject Code: MB0043

Human Resource Management

MBA Sem.1

6. Wages Board The board is appointed by govt. and consist 7 members. 2 - Management 2- Labor 2 Independent member 1 Chairmen

The board is expected to take into account the needs of the specific industry in a developing economy, the special feature of industry, the requirement of social justice and the necessity for adjusting wage differential in such a manner as to provide incentives to workers for advancing their skill. Its recommendation may be accepted by the govt. either completely or partly and may be statutorily imposed on the industry in question, or may be rejected. Question.5. Ms. S. Sharma is the General Manager HR of a private educational group. She is planning for the promotion policy for the faculty members. The norms are also ruled by the government policy and criteria. Moreover the options to promote are limited. Suggest Ms. Sharma the alternative way to vertical promotion. What are the challenges in implementing that option? Answer: Promotion: A few companies do have a clear cut policy while certain organizations issue circulars as and when they need. Many companies develop policies over a period of time through settlements and agreements with the employees/unions. In promoting employees consideration should be given for establishment of the horizontal or vertical promotion. The desirability of securing assistants who complement rather than supplement their superiors is the major point in a successive plan which is an integral part of manpower planning. Let us understand only two types of promotion Vertical & Horizontal promotion. Horizontal promotions are considered an alternative to this by certain organizations. Under this policy, an employee may be transferred from a position in one department to a position of higher rank in another department or to the same rank in a different department if the transfer gives him an opportunity to acquire greater knowledge and wider experience. E.g. if a Senior Lecturer cannot get promotion in a particular Department for obvious reasons, he may be transferred as Registrar of the University or as Controller of Examinations or Director of Distance Education. However, there is one difficulty. Unless the person is quite dynamic and intelligent, he may find the new assignment a tough one and irksome. To some, it may be a cause for frustration. However, for many, Horizontal promotion even if it is only a paper promotion is a challenge since it allows them job rotation. The Next question to be answered is the type of man to be promoted. There is a natural
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

tendency for an executive to select as his assistant one who has the same or similar abilities as his own. This may not result in most efficient combination. It is often observed that the assistant may imbibe the weaknesses of the Boss. Promotion is a part of the general problem of selection. Promotion is also closely linked with Training, Post-training Placement, development and incentives. Promotions and transfer make employees flexible. In Vertical Promotion, employees are promoted from one rank to the next higher rank in the same department or division. This is based on the belief that this leads to effective utilization of experience gained in the same department. It also gives an opportunity to the employees to go up while increasing their specialization in their area of operation. However, it has got one disadvantage. The vacancies may be very few in a department. Ms. Sharma can promote faculty member to a professor, but in this case a biggest challenge for Ms. Sharma is, a lecturer working in particular department may not become a professor or the head of department unless his superiors die /retire/ resign. This makes the person frustrated. Besides, this type of promotion limits a persons contact with other departments and does not permit him enhance his knowledge / expertise with each years experience. Because his experience would be one or two year knowledge multiplied by 10 to 15 years rotation. If he does not get his promotion at the right time since the room at the top is limited he will also start disliking his job/organization as a result, he becomes counter-productive. Question.6 ABC is an organization that wants to revise the HR policies. Before doing that it wants to have some details about the following: What the employees think about the company? What do they think, in the company is going well? What practices in the company they think are not doing well? Get the feedback on managerial effectiveness. Suggest the suitable method to collect the employee opinion and explain the method.

Answer: The list of methods to collect the employee opinion 1. The manager/executives impressions. 2. The guided interview. 3. The unguided interview. 4. A combination of the guided and unguided interview. 5. An analysis of company records. 6. The "listening-in" process. 7. The employee satisfaction survey questionnaire. 8. A combination of any of the foregoing methods. Measurement of Employee Satisfaction Morale can be measured by assessing attitudes and job satisfaction. As it is intangible
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

and subjective concept, it cannot be directly measured or evaluated. Employees may be unwilling to express their feelings of satisfaction or dissatisfaction with their job to the management is no longer a valid assumption. Todays employees and workplaces allow for a lot more transparency and open door philosophy seen in most organizations allow for employees to openly voice their views. Measuring morale ranges all the way from the "hunch" /general "feeling", to more scientific efforts such as employee satisfaction surveys. Also the liberated employee of today feel very comfortable looking for a new job in another company rather than be unhappy and work in a company where hes unhappy. It is important to study the commonly used methods for measuring morale; however increasingly the employee satisfaction survey is the most preferred method in most organizations. General Impression of the Manager Some managers may not be able to tell you how they know the morale of their men, but they enjoy such an intimate relationship with them that they do know what their attitudes are. They usually know how to get things done according to the methods they have been taught, but few of them have had any special training in evaluating morale as such. Some executives are inspirational leaders and capable of developing a high morale, but few of these are trained in observing and evaluating morale standards. Executives should be encouraged to strive to sense the morale situation and should be aided by more accurate tools that are available. Guided Interview The guided interview is based on the hypothesis that employees answers to certain questions will reveal their attitudes. The questions selected are presumed to be the ones that will call forth a true picture of how the employees feel. This series of questions is usually rather large. The interviewer seeks to direct the interview in such a manner as to secure the answers that will reveal the desired information. The guided interview is a useful method of investigating the morale of managers or other groups that are small in comparison with the employees as a whole. The Unguided Interview This technique for measuring morale is based upon the assumption that, if employees are allowed to talk freely, they will reveal a true situation not so much by the exact thing complained of or discussed as by the interviewers ability to relate what is said to basic causes. It is also assumed that, if the employee himself is permitted to talk through a given problem or work situation without special prompting or questioning by the interviewer, he usually will become aware of the logic or lack of logic in the situation and choose for himself the appropriate line of action. This is usually a long and time taking process as all employees need to be interviewed and the time taken in a un-guided approach is a lot more. Often the employee will need to be spoken to at-length before the true issues are unearthed. This is one reason this is not a very popular method. The method of employee-attitude analysis is designed both to correct an unfavorable situation and to
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

secure information regarding the status of morale within the group. Though it is an expensive method of measurement than the questionnaire method, it not only provides a means of interpreting morale but at the same time is used to build morale. A Combination of the Guided and Unguided Interview To combines the two methods, the interviewer may start with the guided interview, which should be focused around understanding challenges in specific areas and not be general conversations. The interviewer is then invited to discuss any subject that he may like to talk about. During the guided interview some persons tend to bring in material that has no special significance in relation to the information sought. The interviewer should make note of the key issues that are emerging and then ask focused questions to better understand the issue. During the guided interviews more details need to be unearthed. The interviewer must make it a point to validate information received from one employee with all the others. This is an effective way to ensure that there are no personal misgivings that is impacting the employees morale. Company Records and Reports These are usually prepared by the HR Department at regular intervals with the assistance of managers and Department Heads. Generally, grievances and complaints tend to reveal the state of morale of a group. Excessive absenteeism or drop in quality of work and adherence to set quality and process norms are signs of tardiness and serve as an index of general or specific morale issues. We need to be watchful when there is a sudden drop in this measure. Employee turnover is a good indicator of employee unrest or morale. This type of analysis is difficult and is not always reliable as an index of morale because it may not be possible to reveal the managerial deficiencies that are not directly interpretable in terms of morale. Listening-in by a Trained Observer Whiting Williams of Cleveland, Ohio has developed the listening-in" technique to the extent that it would be appropriate to call it the "Whiting Williams Method". He associated with the porkers at work and during recreational periods. He personally possessed the ability to make his observations largely objective. But it is difficult to secure individuals who possess the required scientific approach to do this work. Such observers are prone to report what they think their employers want them to find rather than the true situation. As a whole, this type of investigation of the morale status of employees is not satisfactory. The Survey Questionnaire Method This method is generally used to collect employee opinions about the factors which affect morale and their opinion about the leadership. Morale or employee satisfaction surveys are generally conducted with a view to:

1. Finding out what employees really think; 2. Finding out what, in the company, they think is working well and what is not; 3. Solicit feedback on managerial effectiveness;
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

4. Determining the clarity of company vision/objectives and the top management commitment to it; and 5. Finding out what employee is most unhappy about. This questionnaire is usually a scientifically developed instrument and well tested for validity and reliability. These include multiple choice, dichotomous (yes or no)" and open-ended questions. Conducting the Survey Organizations often engage outside consultants to conduct the entire survey. There are a lot of reasons to do this: Make the survey credible wherein employees share correct feedback As they are experts, they help determine the type of questions to be used depending on the objectives of the survey. The survey itself is carried out anonymously; the employee is not required to divulge his/her name and personal information Analysis and generation of survey report is a specialized activity. In some cases the companys representatives may give the employees the questionnaires in a stamped envelope, planning them on a table and permitting the employees to get them if they wish to, or having a fellow employee distributed them. The stamped envelopes are frequently addressed to some management consultant or college professor who tabulates the results. The consultant then analyses the data to generate a number of reports. The reports can be generate for each department, for manager with more than 20 team members, for the company, etc.. The management usually shares the findings with all the employees, highlighting the strengths and the areas for improvement. Action plans for improvement are also shared so employees are aware of the managements commitment towards improving workplace morale and employee engagement. The survey is usually conducted once a year. The important part of this initiative is the action that is taken after the survey results come on. Each department head meets with his team of managers and they together analyze the report and the data for the department and identify areas of low scores. Brainstorming exercises then help identify what actions can improve employee morale in these areas. Sometime action-planning teams are formed from among the employees and they drive the action areas. For example if the report identifies that rewards and recognition is a concern area for the team, then the taskforce focuses on establishing ways and means to improve reward systems and recognition methods. The taskforce would recommend a rhythm for quarterly or monthly rewards and identify categories for the reward (like quality, productivity, highest sales, customer appreciation). More and more reward systems encourage employee to nominate their peers rather than the managers identifying and giving awards away. All nominations are reviewed finally by a panel and the most deserving nominee is awarded. Organizations track Survey scores year on year. Most organizations tie the scores to managerial effectiveness and use it as a measure to assess managers for promotions, potential for future senior roles etc.
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

Human Resource Management

Master of Business Administration Semester I

Roll No.: Assignment Set: Subject Code: MB0043 Centre: Date of Submission:
Your name Roll no.

Subject Code: MB0043

Human Resource Management

MBA Sem.1

Question.1. Discuss the factors affecting recruitment? Answer: Factors Affecting Recruitment All organizations, whether large or small, do engage in recruiting activity, though not to the same Intensity. Few factors that impact the nature of recruitment i. The size of the organization-the smaller the organization the more the need to carefully scrutinize the candidate for a job and the fitment to the organizational culture. The risk in case of Job-candidate mismatch can prove equally expensive for a smaller organization as compared to the larger one. ii. The employment conditions in the country where the organization is locatedcritically impacts the recruiting strategy. The methods for recruiting, the selection tools that are most suited and the legal framework that bear on the employer are some aspects that need to be considered. iii. The affects of past recruiting efforts which show the organizations ability to locate and keep good performing people- constantly reviewing the effectiveness of the recruiting methods and the selection tools used, evaluating the success at-work of the new recruits are some methods used by organizations to ensure that quality hiring practices are in-place. iv. Working conditions and salary and benefit packages offered by the organization this may influence turnover and necessitate future recruiting. v. The rate of growth of organization- the phase in the life-cycle of the firm is a measure of the recruiting effort. vi. The level of seasonality of operations and future expansion and production programmes Ensuring that the recruitment numbers come from a well-planned Human Resource Plan is critical to ensure that there is no over-hiring or under-hiring of the required talent to achieve the Organizational objectives. vii. Cultural, economic and legal factors these too affect the recruiting and selection methods that are used.

Question.2. Right Time is a watch manufacturing company. It has hired 20 people

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Subject Code: MB0043

Human Resource Management

MBA Sem.1

recently for the company. They will be involved in manufacturing, assembling of watches. They will be using different machines and tools for this. What type of training is best for them. What may be the advantages and limitations of the training method? Answer: Types and Techniques of Training As discussed above, training methods have a number of overlapping objectives. They have to be chosen carefully and in relation to the programme design objectives. The main objectives of individual training methods could be: demonstration of value, developing interest and finally appeal to senses Demonstration of Value: Complete demonstration of job requirements enables the trainee to grasp the meaning of ideas, concepts, or procedures visually. Such a method can be used effectively as an aid to overcome the "breakdown of communication". Trainees remember things that they see and hear, much longer than they do information they receive through talks or reading alone. Engaging trainee Interest: One of the important factors to be kept in mind in choosing a method is its ability to hold and arouse the interest of the trainee in the learning situation. A trainee has to consider alternative methods of presenting training material to participants in order to stimulate their interest and facilitate retention of the matter. For instance, if traditionally the matter has been presented through lectures, perhaps audio visual methods could be used, or instead project work be assigned which would mean learning by doing or researching the subject oneself. Appeal to multiple senses: From the trainers point of view, it would be beneficial to utilize as many of the trainers senses as possible, in order to improve retention of learning. The trainer has to understand and identify the problem area i.e., he has to examine whether there is a problem with the manner in which the task is done. Secondly, selecting the appropriate method would be dependent on the level of the trainee in an organizations hierarchy. Finally, before selecting a training method, the trainer should keep in mind about cost effectiveness. Depending on the learning outcome, and the process by which it is attained, it is possible to categorize the various methods into several groups. Methods of Training:
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

On- the-job trainings Vestibule/Classroom training Apprenticeships programme Work Simulation Methods Knowledge-based Methods Experimental Methods

On-the-job trainings are best for them. Since most jobs in an organization can be learned in a relatively short period of time, this method is the most widely used. It has the advantage of strongly motivating the trainee to learn since it is located in the artificial situation of a classroom. The fact that the success of the system depends almost entirely upon the immediate supervisor, the trainer, means that the personnel unit has a major responsibility for making a good, effective teacher out of every supervisor. The supervisor typically follows a set procedure (as illustrated in the table) in training an employee to perform a particular task. The suggestions accompanying each step are general guides evolved from both experience and research. The following table depicts the Training Procedure Step Instructor preparation Suggestions 1. Divide task into logical parts to create lesson plans. 2. Select teaching techniques e.g., demonstration. 1. Place trainee at ease. 2. Relate training to trainee needs e.g. promotion. 1. Present overview of task. 2. Proceed from known to unknown, easy to difficult. 3. Adjust pace to individual differences. 4. Go through task and explain each step. 5. Have trainee tell instructor what to do. 1. Have trainee explain each step prior to execution. 2. Be aware of learning plateaus to sustain motivation. 3. Provide feedback on progress. 1. Positively reinforce continuously at start. 2. Move to variable positive reinforcement schedule as trainee matures.

Training preparation Presenting the task

Try out Performance

Follow-up

Advantages The main advantage of on-the-job training is that the trainee learns on the actual equipment in use and in the true environment of his job. Secondly, it is highly economical since no additional personnel or facilities are required for training. Thirdly, the trainee learns the rules, regulations and procedures by observing their day-to-day applications. Fourthly, this type of training is a suitable alternative for a company in which there are almost as many jobs as there are employees. Finally, it is most appropriate for teaching the knowledge and skills which can be acquired in a relatively
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

short period i.e., a few days or weeks. Disadvantages The principal disadvantage of on-the-job training is that instruction is often Highly disorganized and haphazard and not properly supervised. This is due to such reasons as the inability of the experienced employee to impart skills to the trainee, the breakdown of the job for the purpose of instructions, and the back of motivation on the part of the trainee to receive training. Further, the other drawback is the low productivity, especially when the employee is unable to fully develop his skills. Question.3. Write a note on 360 degree appraisal method. Answer: 360 Degree Appraisal

Typically, performance appraisal has been limited to a feedback process between employees and managers. However, with the increased focus on teamwork, employee development, and customer service, the emphasis has shifted to employee feedback from the full circle of sources depicted in the diagram below. This multiple-input approach to performance feedback is sometimes called "360-degree assessment" to connote that full circle. There are no prohibitions in law or regulation against using a variety of rating sources, in addition to the employees Manager, for assessing performance. Research has shown assessment approaches with multiple rating sources provide more accurate, reliable, and credible information. For this reason, HR Management supports the use of multiple rating sources as an effective method of assessing performance for formal appraisal and other evaluative and developmental purposes. The circle, or perhaps more accurately the sphere, of feedback sources consists of Managers, Peers, subordinates, customers, and ones self. It is not necessary, or always appropriate, to include all of the feedback sources in a particular appraisal program. The organizational culture and mission must be considered, and the purpose of feedback will differ with each source. For example, subordinate assessments of a Managers performance can provide valuable developmental guidance, peer feedback can be the heart of excellence in teamwork, and customer service feedback focuses on the quality of the teams or agencys results. The objectives of performance appraisal and the
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Subject Code: MB0043

Human Resource Management

MBA Sem.1

particular aspects of performance that are to be assessed must be established before determining which sources are appropriate. We shall discuss the contributions of each source of ratings and feedback. In addition, precautions are listed to consider when designing a performance management program that includes 360-degree assessment. Superiors: Evaluations by superiors are the most traditional source of employee feedback. This form of evaluation includes both the ratings of individuals by Managers on elements in an employees performance plan and the evaluation of programs and teams by senior managers. What does this source contribute? 1. The first-line Manager is often in the best position to effectively carry out the full cycle of performance management: Planning, Monitoring, Developing, Appraising, and Rewarding. The manager may also have the broadest perspective on the work requirements and be able to take into account shifts in those requirements. 2. The superiors (both the first-line Manager and the senior managers) have the authority to redesign and reassign an employees work based on their assessment of individual and team performance. 3. Most Government employees in a national survey felt that the greatest contribution to their performance feedback should come from their first- level Managers. What cautions should be addressed? 1. Research demonstrates that appraisal programs that rely solely on the ratings of superiors are less reliable and valid than programs that use a variety of other rating sources to supplement the managers evaluation. 2. Superiors should be able to observe and measure all facets of the work to make a fair evaluation. In some work situations, the Manager or rating official is not in the same location or is supervising very large numbers of employees and does not have detailed knowledge of each employees performance. 3. Managers need training on how to conduct performance appraisals. They should be capable of coaching and developing employees as well as planning and evaluating their performance. Self-Assessment: This form of performance information is actually quite common but usually used only as an informal part of the Manager-employee appraisal feedback session. Managers

frequently open the discussion with: "How do you feel you have performed?"
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Human Resource Management

MBA Sem.1

In a somewhat more formal approach, Managers ask employees to identify the key accomplishments they feel best represent their performance in critical and non-critical performance elements. In a 360- degree approach, if self-ratings are going to be included, structured forms and formal procedures are recommended. What does this source contribute? 1. The most significant contribution of self-ratings is the improved communication between Managers and subordinates that result. 2. Self-ratings are particularly useful if the entire cycle of performance management involves the employee in a self-assessment. For example, the employee should keep notes of task accomplishments and failures throughout the performance monitoring period. 3. The developmental focus of self-assessment is a key factor. The self-assessment instrument (in a paper or computer software format) should be structured around the performance plan, but can emphasize training needs and the potential for the employee to advance in the organization. 4. The value of self-ratings is widely accepted. More than half of government employees felt that self-ratings would contribute "to a great or very great extent" to fair and well-rounded performance appraisal. 5. Self-appraisals should not simply be viewed as a comparative or validation process, but as a critical source of performance information. Self-appraisals are particularly valuable in situations where the Manager cannot readily observe the work behaviors and task outcomes. What caution should be addressed? 1. Research shows low correlations between self-ratings and all other sources of ratings, particularly manager ratings. The self-ratings tend to be consistently higher. This discrepancy can lead to defensiveness and alienation if managers do not use good feedback skills. 2. Sometimes self-ratings can be lower than others. In such situations, employees tend to be Self-demeaning and may feel intimidated and "put on the spot." 3. Self-ratings should focus on the appraisal of performance elements, not on the summary level determination. A range of rating sources, including the self-assessments, help to "round out" the information for the summary rating.

Peers:
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Human Resource Management

MBA Sem.1

With downsizing and reduced hierarchies in organizations, as well as the increasing use of teams and group accountability, peers are often the most relevant evaluators of their Colleagues performance. Peers have a unique perspective on a co-workers job performance and employees are generally very receptive to the concept of rating each other. Peer ratings can be used when the employees expertise is known or the performance and results can be observed. There are both significant contributions and serious pitfalls that must be carefully considered before including this type of feedback in a multifaceted appraisal program. What does this source contribute? 1. Peer influence through peer approval and peer pressure is often more effective than the traditional emphasis to please the boss. Employees report resentment when they believe that their extra efforts are required to "make the boss look good" as opposed to meeting the units goals. 2. Peer ratings have proven to be excellent predictors of future performance. Therefore, they are particularly useful as input for employee development. 3. Peer ratings are remarkably valid and reliable in rating behaviors and "manner of performance," but may be limited in rating outcomes that often require the perspective of the Manager. 4. The use of multiple Raters in the peer dimension of 360-degree assessment programs tends to average out the possible biases of any one member of the group of Raters. (Some agencies eliminate the highest and lowest ratings and average the rest.) 5. The increased use of self-directed teams makes the contribution of peer evaluations the central input to the formal appraisal because by definition the Manager is not directly involved in the day-to-day activities of the team. 6. The addition of peer feedback can help move the Manager into a coaching role rather than a purely judging role. What caution should be addressed? 1. Peer evaluations are almost always appropriate for developmental purposes, but attempting to emphasize them for pay, promotion, or job retention purposes (i.e., the rating of record) may not be prudent. The possible exception is in an award program as opposed to performance appraisal. 2. Peer input can be effectively used for recognition and awards. 3. There is a difference of opinion about the need for anonymity of the peer evaluators.

4. Generally, it is advised that the identities of the Raters be kept confidential to assure honest feedback. However, in close-knit teams that have matured to a
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Human Resource Management

MBA Sem.1

point where open communication is part of the culture, the developmental potential of the feedback is enhanced when the evaluator is identified and can perform a coaching or continuing feedback role. 4. It is essential that the peer evaluators be very familiar with the team members tasks and responsibilities. In cross-functional teams, this knowledge requirement may be a problem. In these situations, the greatest contribution the peers can make pertains to the behaviors and effort (Input) the employee invests in the team process. 5. The use of peer evaluations can be very time consuming. When used in performance ratings, the data would have to be collected several times a year in order to include the results in progress reviews. 6. Depending on the culture of the organization, peer ratings have the potential for creating tension and breakdown rather than fostering cooperation and support. A very competitive program for rewarding individuals in the agency will often further compromise the value of peer rating systems. 7. Employees and their representatives need to be involved in every aspect of the design of appraisal systems that involve peer ratings. Subordinates: An upward-appraisal process or feedback survey (sometimes referred to as SAM for a "Subordinates Appraising Managers") is among the most significant and yet controversial features of a "full circle" performance evaluation program. Both managers being appraised and their own superiors agree that subordinates have a unique, often essential, perspective. The subordinate ratings provide particularly valuable data on performance elements concerning Managerial and Managerial behaviors. However, there is usually great reluctance, even fear, concerning implementation of this rating dimension. On balance, the contributions can outweigh the concerns if the precautions noted below are addressed. What does this source contribute? 1. A formalized subordinate feedback program will give Managers a more comprehensive picture of employee issues and needs. Managers and Managers who assume they will sufficiently stay in touch with their employees needs by relying solely on an "open door" policy get very inconsistent feedback at best. 2. Employees feel they have a greater voice in organizational decision making and, in fact, they do. Through managerial action plans and changes in work processes, the employees can see the direct results of the feedback they have provided.

3. The feedback from subordinates is particularly effective in evaluating the Managers interpersonal skills. However, it may not be as appropriate or valid
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Human Resource Management

MBA Sem.1

for evaluating task-oriented skills. 4. Combining subordinate ratings, like peers rating, can provide the advantage of creating a composite appraisal from the averaged ratings of several subordinates. This averaging adds validity and reliability to the feedback because the aberrant ratings get averaged out and/or the high and low ratings are dropped from the summary calculations. What caution should be addressed? 1. The need for anonymity is essential when using subordinate ratings as a source of performance feedback data. Subordinates simply will not participate, or they will give gratuitous, dishonest feedback, if they fear reprisal from their Managers. If there are fewer than four subordinates in the rating pool for a particular manager, the ratings (even though they are averaged) should not be given to the Manager. 2. Managers may feel threatened and perceive that their authority has been undermined when they must take into consideration that their subordinates will be formally evaluating them. However, research suggests that Managers who are more responsive to their subordinates, based on the feedback they receive, are more effective managers. 3. Subordinate feedback is most beneficial when used for developmental purposes. It also can be used in arriving at the performance rating of record, but precautions should be taken to ensure that subordinates are appraising elements of which they have knowledge. For example, if a managers performance plan contains elements that address effective leadership behaviors, Subordinate input would be appropriate. It may not be appropriate for the employee to appraise the Managers individual technical assignments. 4. Only subordinates with a sufficient length of assignment under the manager (at least one year is the most common standard) should be included in the pool of assessors. Subordinates currently involved in a disciplinary action or a formal performance improvement period should be excluded from the rating group. 5. Organizations currently undergoing downsizing and/or reorganization should carefully balance the benefits of subordinate appraisals against the likelihood of fueling an already tense situation with distrust and paranoia. Customers: Setting Customer Service Standards requires agencies to survey internal and external customers, publish customer service standards, and measure agency performance against these standards. Internal customers are defined as users of products or services supplied by another employee or group within the agency or organization. External customers are outside the organization and include, but are not limited to, the general public. What does this source contribute?
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MBA Sem.1

1. Customer feedback should serve as an "anchor" for almost all other performance factors. Combined with peer evaluations, these data literally "round out" the performance feedback program and focus attention beyond what could be a somewhat self-serving hierarchy of feedback limited to the formal "chain of command." 2. Including a range of customers in the 360-degree performance assessment program expands the focus of performance feedback in a manner considered absolutely critical to reinventing government employees, typically, only concentrate on satisfying the standards and expectations of the person who has the most control over their work conditions and compensation. This person is generally their Manager. Service to the broader range of customers often suffers if it is neglected in the feedback process. What caution should be addressed? 1. With few exceptions, customers should not be asked to assess an individual employees performance. The value of customer service feedback is most appropriate for evaluating team or organizational output and outcomes. This feedback can then be used as part of the appraisal for each member of the team. The possible exceptions are evaluations of senior officials directly accountable for customer satisfaction and evaluations of individual employees in key "front line" jobs personally serving internal or external customers. 2. Customers, by definition, are better at evaluating outputs (products and services) as opposed to processes and working relationships. They generally do not see or particularly care about the work processes, and often do not have knowledge of how the actions of employees are limited by regulations, policies, and resources. 3. Designing and validating customer surveys are an expensive and timeconsuming process. The time and money are best spent developing customer feedback systems that focus on the organization or work unit as a whole. In India the use of the 360 degree as a performance assessment tool has not found many followers. Companies like Wipro and even IBM use it for middle and senior managers only and it is used purely for developmental purposes only. The concerned manager receives the feedback directly and he can then work with a mentor or his own manager to identify development areas and improve on them.

Question.4. Given below is the HR policy glimpse of Zoom Video, a multimedia company
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MBA Sem.1

1. It offers cash rewards for staff members 2. It promotes the culture of employee referral and encourages people to refer people they know, maybe their friends, ex. colleagues, batch mates and relatives. 3. It recognizes good performances and gives good titles and trophies to the people who perform well and also felicitates them in the Annual Day of the company. 4. Identify what all aspects does it take care of, based on different levels of Maslows need hierarchy? Answer: Maslows Need Hierarchy Theory Maslows theory of basic needs draws chiefly from human psychology. He arranged the human needs of an individual in a hierarchical manner. Maslow proposed an individuals motivation as a predetermined order of needs which he strives to satisfy. The company Zoom video`s policy take care of following aspects of Maslow`s theory: 1. Offers cash rewards for staff members Its-Physiological Needs: These needs are cyclic. In other words, they are satisfied for only a short period; then they reappear. And its also Safety Needs: If the physiological needs are relatively satisfied, a set of needs emerge for protection against danger and threats. In an ordered society, a person usually feels safe from extremes of climate, tyranny, violence and so on. 2. It promotes the culture of employee referral and encourages people to refer people they know, maybe their friends, ex.colleagues, batch mates and relatives. Its-Social Needs: If the physiological and safety needs are fairly satisfied, the needs for love and affection and belongingness will emerge and the cycle will repeat itself with this new centre. If he is deprived of these needs he will want to attain them more than anything else in the world. An individual desires affectionate relationships with people in general and desires to have a respected place in his group. 3. It recognizes good performances and gives good titles and trophies to the people who perform well and also felicitates them in the annual day of the company. Its-Esteem needs: Everyone has a need for self-respect and for the esteem of others. This result in the desire for strength, confidence, prestige, recognition and appreciation. These egoistic needs are rarely completely satisfied. The typical industrial and commercial organization does not offer much opportunity for their satisfaction to
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Human Resource Management

MBA Sem.1

employees at the lower levels. And also it is Self-actualization needs: The term "selfactualization" was coined by Kurt Goldstein and means, to become actualized in what one is potentially good at. A person may achieve self Actualization in being the ideal fitter, supervisor, mother or an eminent artist. People who are satisfied with these needs are basically satisfied people and it is from these that we can expect the fullest creativeness. A sound motivational system to be successful must take care of this hierarchy of needs of the team members in order to work efficiently. It must cover basic as well as higher needs and it must be flexible to cater to changes in the environment. Question .5. Describe the emerging employee empowerment practices. Answer: Emerging employee empowerment practices In todays organizations the focus is moving towards collaboration at the workplace. One of the most common instruments established in large organizations has be the Employee Suggestion Schemes (ESS). The ESS has proved effective in allowing employees a discrete method of voicing their opinions and suggestion for what can be better managed in the company. The management invites the employees suggestions on all/any issue that is a source of irritation for the employees including topics mentioned in 13.3 above are open for comment. What however is different is that the employee is encouraged to frame it as a suggestion and make a recommendation for a change, rather than the classic fault finding approach about what is going wrong or what is not working well. There are ESS forms/ templates that are left in common places or the employee can download from the company intranet and fill in the suggestion for change and drop it in boxes left common places like the coffee area or the lunch rooms etc. These suggestions are then collated by the HR team and on a quarterly basis the suggestion committee meets to review all of the suggestions received. The Suggestion committee includes line managers, HR representative and Finance and Facilities & Administration team members and senior management representative who can provide the necessary guidance for approval of the suggestions. The committee meets and discusses each suggestion in depth and evaluates the scope for implementation of the suggestion. The feasibility of implementing the suggestion and its other implications are evaluated closely and the suggestion accepted/set aside for future review/rejected. There are awards given away for excellent ideas that help the company optimize costs, productivity and improve quality, customer satisfaction etc.

The HR then communicates the suggestion committee report with all employees through a mail or during the employees Open-house sessions. The employees open
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Human Resource Management

MBA Sem.1

house also called the all hands meeting is one more communication forum effectively used by the senior management of a company to connect with its employees. This usually is a quarterly or a half-yearly meeting to which all employees are invited. There is a brief sharing of the companys performance and the rest of the time devoted to answering any queries that employees might have on any issue that concerns the company and its employees. This is often followed with by an informal interaction over lunch/breakfast, where once again employees can speak to the senior executives and ask general questions. Often employees might not feel comfortable asking tough questions in an open forum, hence there are drop-boxes provided where the employee can write and drop a question or an opinion that he wants the senior management to answer. The employee need not mention his name on the question slip. If the senior management is unable to answer a question then and there the same is reviewed subsequently by the senior management and a response shared with all employees over mail or posted on the notice board or on the intranet site for everyone to read. Some organizations also operate an email communication method where any employee who has a query or an observation can write his question to the mail alias and obtain a response. Usually the HR is the custodian of this mail id and they do the necessary review to suitably answer the questions and seek the managers inputs on a as needed basis. The concept of taskforce is also a common mechanism that organizations use to build cross-functional teams (with one representative each from each department) that will work on concerns that are commonly voiced. For example a leading medical transcription company wanted to review its incentive policy and in order to have a collaborative approach put together a team of employees one each from each of the departments including representatives from HR and Finance. The team was provided with all the historical information they would need and were given all of 6 weeks to work on the project and make a presentation to the senior management of the company. After the first presentation to them and having incorporated the feedback received the taskforce then presented the new scheme to the employees. Finally it was approved as a policy and made effective. Todays organizations therefore adopt a collaborative approach to employee issues. While the technology companies are more informal the traditional brick-and-motor companies have formal processes. Whatever the approach whether formal or informal employees are encouraged to open-up and ask questions and perform as contended employees.

Question.6. Write a note on directive, permissive and participative type of leadership.

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Human Resource Management

MBA Sem.1

Answer: The classification: a) The Directive type b) The Permissive type c) The participative type Was given by Chirs Argyris. There are other types such as Positive and Negative. Positive is Power THROUGH the people and negative is Power OVER the people. In 1939, a group of researchers led by psychologist Kurt Lewin set out to identify different styles of leadership. While further research has identified more specific types of leadership, this study was useful in establishing three major leadership styles. Authoritarian Leadership (Autocratic) Authoritarian leaders are those who provide clear expectations of what needs to be done, when it should be done, and how it should be done. Authoritarian leaders usually make decisions independently with little or no input from the rest of the group. Very evidently decision-making was less creative under authoritarian leadership. Lewin also found that it is more difficult to move from an authoritarian style to a democratic style than vice versa. The leader was viewed as controlling, bossy, and dictatorial. Authoritarian leadership is best applied to situations where there is little time for group decision making or where the leader is the most knowledgeable member of the group. Participative Leadership (Democratic) Lewins study found that participative (democratic) leadership is generally the most effective Leadership style. Democratic leaders offer guidance to group members, but they also participate in the group and allow input from other group members. While it is possible that this style productivity is lower than that in the authoritarian group, but the contributions were of a much higher quality. This could also be more time taking. Participative leaders encourage group members to participate, but retain the final say over the decision-making process. Group members feel engaged in the process and are more motivated and creative. Delegative (Laissez-Fair) Delegative leaders offer little or no guidance to group members and leave decisionmaking entirely to group members. While this style can be effective in situations where group members are highly qualified in an area of expertise, it often leads to poorly defined roles and a lack of motivation. Transformational Leader
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Human Resource Management

MBA Sem.1

Transformational leaders offer a purpose that transcends short-term goals and focuses on higher order intrinsic needs (as discussed above). This results in followers identifying with the needs of the leader. The four dimensions of transformational leadership are: Charismatic Leader Charismatic Leader is the degree to which the leader behaves in admirable ways that cause followers to identify with the leader. Charismatic leaders display convictions, take stands and appeal to followers on an emotional level. This is about the leader having a clear set of values and demonstrating them in every action, providing a role model for their followers.

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