Human Resource Management

Scope of HRM : The scope of HRM was limited to employment, maintenance of employees and payment
of wages and salary. The scope gradually enlarged to providing welfare facilities, motivation,
performance appraisal, human resources management, maintenance of human relations, strategic
human resources and the like. The scope has been continuously enlarging.
The Scope includes :
• Objectives of HRM
• Organization of HRM
• Strategic HRM
• Employment
• Development
• Wage and Salary administration
• Maintenance
• Motivation
• Industrial Relations
• Participative Management
• Recent developments in HRM

Human Behavior and HRM : The human behavior vary widely from employee to employee. This is
mostly due to the variations in individual perceptions, personalities, motivational levels and aptitude,
leadership styles of the managers, communication system in the organization, groups and their behavior
etc.
Personality : Personality is the sum total of ways in which an individual reacts to and interacts with
others. Personality traits of executive/manager/supervisor influence the behavior of the employees.
Personality traits determine the human behavior. People with traits like originality, confidence,
dependent etc perform better even in adverse conditions. People with irresponsibility, self-doubting,
uncommunicative, rude and unassertive traits perform poorly even in favorable conditions. Thus,
personality concept helps in functions like selection, development, motivation and firing.
Perception : Perception is a very complex cognitive process that yields a unique picture of the world, a
picture that may be quite different from the reality. Management of perception results in perceiving
accurately and being perceived accurately. Therefore, HR manager has to manage the employees in
order to make them perceive and being perceived accurately the various activities, people, objectives
etc.
Group Behavior : Employees work in a group. When they work in group, they produce more than what
they can produce individually due to the impact of the synergy. Hence, organizations prefer the
employees to work into groups. In addition, the individual needs like belongingness, trust and
confidence can also be satisfied. So, employees also prefer to work in group. The HR manager is
expected to manage the group behavior towards organizational goals.

Thus, the dimensions of an individual and group behavior make the HRM essential and significant.
Importance of HRM : Human resource plays a crucial role in the development process of modern
economics. It is often felt that though the exploitation of natural resources, availability of physical and
financial resources and international aid play prominent roles in the growth of modern economics, none
of these factors is more significant than efficient and committed manpower. It is in fact said that all
development comes from the human mind.

Role of HRM : HRM plays the most crucial role in the management of an organization. It plays important
role in the conversion process of inputs into outputs. Product design, quality maintenance, rendering
services etc depend upon the efficiency of human resources. Similarly, human resources plays critical
role in marketing the product and services. It also plays important role in managing finances and
information systems.

Objectives of HRM : Objectives are predetermined goals to which an individual or group activity in an
organization is directed. Objectives of personnel management are influenced by social objectives,
organizational objectives, functional objectives and individual objectives. Organizations can have
different objectives depending upon their area of work. But the fundamental objective is survival,
growth and profits.
Objectives of HRM are as follows :
• To create and utilize and able and motivated workforce to accomplish the organizational goals.
• To establish and maintain sound organization structure and the desirable working relationships
among all the employees.
• To secure the integration of the individual and groups within the organization by co-ordination
of the individual and group goals with those of the organization.
• To create facilities and opportunities for individual and group development so as to match it
with the growth of the organization
• To attain an effective utilization of human resources in the achievement of organizational goals.
• To identify and satisfy individual and group needs by providing adequate and equitable wages,
incentives, employee benefits, job security, social security, measures for challenging work,
prestige, recognition and status.

HRM Policy : Policy is a plan of action. It is a set of proposals and actions that act as a reference point for
managers in their dealings with employees. Personnel policies guide the course of action intended to
accomplish personnel objectives. Policies can be derived on the basis of following sources
• Past experience
• Existing practices and experience in other organization of the same nature
• Attitude/philosophy of the management at various levels, employees, trade unions etc
• Knowledge and experience gained by all line managers and personnel managers in
handling personnel issues
• Policies of the organization
HRM Procedure : Policies are general instructions whereas procedures are specific applications. A
procedure is a well thought out course of action. It prescribes the specific manner in which a piece of
work is to be done. Procedures are called as action guidelines. They are generally derived from policies.
Where policies define a broad field, procedure shows a sequence of activities within that area. The
emphasis is on chronological, step-by-step sequence of required actions to carry out a specific task.

Organizational Structure
Organization is a set of economic and social entities in which a number of persons perform various tasks
in order to attain common goals. At the same time it helps individual to accomplish personal objectives
which they cannot achieve alone. Organization design deals with structural aspect of organization. It
aims at analyzing roles and relationship so that collective efforts can be explicitly organized to achieve
specific tasks.

Steps in designing organization structure : It is essential to carry out the analysis of present and future
circumstances and environmental factors before the organizational structure is designed. The next step
is detailed planning and implementation. Organization analysis is the basis for organizational design and
the process of defining aims, objectives, activities and structure of an enterprise. Organization analysis
includes an analysis of the following aspects
• External environment – economic, political, legal etc
• Overall aims and purpose of the enterprise – survival, growth, profit maximization etc
• Objectives – Specific aims or targets to be achieved
• Activities – Assessment of work being done and what needs to be done if the company is to
achieve goals
• Decisions to be taken across horizontal and vertical dimensions
• Relationship – from the viewpoint of communication
• Organization structure – includes grouping of activities, span of management, management
levels etc.
• Job structure – job design, job analysis, job description, job specification etc
• Organization climate – Working atmosphere of the enterprise. It includes teamwork and
cooperation, commitment, communication, creativity, conflict resolution, participation,
confidence and trust
• Management style – includes democratic, autocratic
• Human resources – includes availability of human resources marked by skill, knowledge,
commitment, aptitude etc.

Line and staff relationship : The relationship with which the managers in an organization deal with one
another are mainly classified into 2 categories : line and staff. Line and staff are often used in ways that
are loose and unclear. Operating managers/departments are frequently substituted for line and auxiliary
and serviced departments are used for staff.
Line relationship : The relationship existing between two managers due to delegation of authority and
responsibility and giving or receiving of instructions/orders is called as line relationship. Thus, line
relationship generally exists between a superior and subordinate. Line refers to those positions of an
organization which have responsibility, authority and are accountable for accomplishment of primary
objectives.
Staff relationship : It is practically impossible for all line managers to perform all their functions and
concentrate on all activities including management of people in their respective departments. This gives
rise to securing advice and help from specialists. This creates staff relationship. The relationship
between two managers is said to be a staff relation when it is created due to giving and taking advice,
guidance, information, help, assistance, counseling etc. in the process of attaining goals.

• Thus, the staff managers analyze problems, collect information and develop alternate
suggestions and help the line managers to make right decisions quickly. The staff reduce the
work load of the line managers and allow them to concentrate on their operative issues.

Role of HR Manager : HR Manager plays a vital role in the modern organizations. He plays various
strategic roles at different levels in the organization. The roles include
• The Ethical role : Role of a humanitarian who reminds the management of its morals and
obligations to its employees.
• The Counsellors’ role : Counsel and Help employees solve their personal problems like health,
marital, family, mental, physical etc
• The Mediator role : role of a peace-maker to settle disputes between employees and
management by acting as a communication link between them
• The Spokesman : Act as spokesman for the organization
• The problem solver : Solve problems related to the issues that involve HRM and overall long
range organization planning
• The Change event : To introduce changes in various existing programmers
• Other roles like welfare role, clerical role, fire-fighting role etc.

Qualities of HR Manager : The functions of personnel manager vary from organization to organization
both in nature and degree. So, the qualifications required for a personnel manager differ from
organization to organization depending upon its nature, size, location etc. However, the qualities and
qualifications which will be applicable in general can be summarized as follows
The personnel manager like any other manager must have qualities like initiative, resourcefulness,
depth of perception, maturity in judgement, analytical ability etc. Freedom from bias would enable the
personnel manager to take an objective view, both from management and workers. He must thus have
intellectual integrity. Moreover, the personnel manager should be thorough with labor laws. An
understanding of human behavior is essential to the personnel manager. He must be familiar with the
human needs, wants, hopes and desires, values, aspirations etc. without which adequate motivation is
impossible.
The Personnel manager should also posses other personnel attributes like
• Intelligence : includes leadership, skills to communicate, articulate, moderate, understand etc.,
command over language, mental ability and tact in dealing with people intelligently, including
the ability to draft agreements, policies etc.
• Educational skills : Learning and teaching skills as he has to learn and teach employees about
organizational growth, need for and mode of development of individuals.
• Discriminating skills : Ability to discriminate between right and wrong, just and unjust, merit and
demerit
• Executing skills : He is expected to execute management’s decisions regarding personnel issues
with speed, accuracy and objectivity. He should be able to streamline the office, set standards of
performance, co-ordinate, control etc.
• Experience and training : Past experience. Training in psychological aspects, legislation and
personnel management and general management
• Professional attitude
• Qualifications

Functions of HRM

A. Managerial Functions : influence the operative functions

1. Planning : Involves planning of human resources, requirements, recruitment, selection, training

etc. It also involves forecasting of personnel needs, changing values, attitudes and behavior of
employees and their impact on the organization.
2. Organizing : Structure and process by which a co-operative group of human beings allocates
tasks among its members, identifies relationships and integrates its activities towards a common
objective.
3. Directing : Motivating, commanding, leading and activating people.
4. Controlling : Verification of the performance in order to know that the personnel functions are
performed in conformity with the plans and directions of the organization. It also involves taking
corrective measures, auditing.

B. Operative Functions :
1. Employment : It deals with securing and employing the people possessing the required kind and
level of human resources necessary to achieve the organizational objectivities. It includes
A. Job Analysis : Process of study and collection of information relating to the operations and
responsibilities of a specific job.
• Collection of data, facts, ideas relating to various aspects of job including men,
machines and materials.
• Preparation of job description and specification, job requirements and employees
specifications
• Providing guidelines, plans for job design
 B. HR planning : Process of assuring that the organization will have adequate number of
qualified persons, available at proper times, performing jobs which would meet the needs of
the organization and would provide satisfaction for the individuals involved.
C. Recruitment : Process of searching for perspective employees and stimulating them to apply
for jobs in an organization.
• Identification of existing sources of applicants and developing them
• Creation/identification of new sources of applicants.
• Stimulating the candidates to apply for jobs in the organization.
• Seeking balance between internal and external sources

D. Selection : Process of ascertaining the qualifications, experiences, skills, knowledge etc of an

applicant with a view to appraising his stability to a job. It includes
• Framing and developing application blanks
• Creating and Validating valid and reliable testing and interview techniques
• Checking and verifying academic record, references, employment record
• Medical examination policy
• Letter of appointment / rejection
• Employing the selected candidates who report on duty

E. Placement : Process of assigning the selected candidates with the most suitable job

F. Induction and Orientation : Techniques by which new employees are rehabilitated in the
changed surrounding and introduced to the philosophy, practices, policies, purposes and
people of the organization

2. Human resources Management : Process of improving, moulding and changing the skills,
knowledge, creative ability, aptitude, attitude, values, commitment etc, based on present and
future job and organizational requirements. It includes
A. Performance Appraisal :
B. Training
C. Management Development
D. Career Planning and Development
E. Internal Mobility
F. Transfer
G. Promotion
H. Demotion
I. Change and Organization development

3. Compensation :
A. Job Evaluation
B. Wage and Salary Administration
C. Incentives
D. Bonus
 E. Fringe Benefits
F. Social Security Measures

4. Human Relations : It is the process of interaction among human beings. Human relations is an
area of mgmt in integrating people into work situations in a way that motivates them to work
together productively, co-operatively and with economic, psychological and social satisfaction. It
includes

Understanding & applying models of perception, personality, learning, intra and inter personal
relations, inter and intra group relations.

Motivation, Moral boosting, developing communication & leadership skills, Redressing

grievances, Disciplinary cases, Counselling, Providing comfortable work environment, Improving
quality of work

5. Industrial Relations : Refers to the study of relations among employees, employer, government
and trade unions. It includes
• Indian labour market
• Trade unionism
• Collective bargaining
• Industrial conflicts
• Workers’ participation in management
• Quality circles

6. Recent Trends in HRM : It includes

• Quality of work life
• Total quality in HR
• HR accounting, audit and research
• Recent techniques in HRM
Strategy Management

Strategy : A strategy is a way of carrying out some activity which includes formulation of goals and
action plans for accomplishing that goal. The concept of strategy originated from Greek term strategia
which means the art or science of being general. Effective Greek generals needed to lead an army, win
and hold territory, protect cities from invasion, destroy the enemy, etc. Each objective needed a
different deployment of resources. The Greeks knew that the strategy was more than fighting the battle.
Effective generals had to determine the right lines of supply, decide when to fight and when not to, and
manage army’s relationships with the citizen, politicians and diplomats. Effective generals had,
therefore, to plan and act. For Greeks, strategy had both a planning component and an action
component.
e.g. Increasing the sale of company products by 10% is one of the goals of the company. This goal can be
attained by reducing the price of the product, improving the quality and/or design of the product.
Reducing the price, improving the quality and/or design are the strategies. Strategy, in simple terms, is
unified course of action to achieve the goal. It is a unified, comprehensive and integrated plan designed
to ensure that the basic objectives of the organization are achieved.

Strategic Management : Strategic management is the process of formulating, implementing and

evaluating business strategies to achieve organizational objectives.
The company (refer above example) has to scan the environment in order to know the total demand for
their product, existing products of all other organizations, gap between demand and supply, prices and
features of other similar products, customer preferences etc. This information will help the organization
to find out the opportunities provided and threats/challenges posed by the external environment.
Similarly, the organization should also analyze its internal resources in order to know its strengths in
various areas. For example, the organization has skilled and committed human resources, reliable
suppliers of input, and bankers to provide the finance at low cost. Then the organization may rely on
these strengths and go for the price reduction strategy, create demand for low priced product and
increase the sales. These decisions and actions are known as strategic management.

Strategic management can be defined as a set of managerial decisions and actions that determine the
long-term performance of an organization. It includes environmental scanning, strategy formulation and
implementation, and evaluation and control.
Strategic management involves following steps :
1. Analyze the opportunities and threats or constraints that exist in the external environment.
2. Formulate strategies that will match the organization’s strengths and weaknesses with the
environmental threats and opportunities.
3. Implement the strategies.
4. Evaluate and control activities to ensure that the organization’s objectives are achieved.
Strategic Management Process : The four steps stated above constitute the strategic management
process. It begins with the scanning of the external environment and the internal environment and ends
with monitoring the activities of the organization.

Environmental Strategy Strategy Evaluation

Scanning Formulation Implementation and Control

Corporate Strategy
External
Formulation
Programmes Strategic Control
Business Unit Strategy
Budgets Process and
Formulation
Procedures Performance
Functional Strategy
Internal
Formulation

Feedback

Environmental Scanning : Environment of an organization consists of external and internal factors.

Environment needs to be scanned in order to determine trends and projections of factors that will affect
fortunes of the organization. Scanning must focus on task environment. Not that elements outside the
task environment are ignored, but they receive less attention. Scanning helps identify threats and
opportunities prevailing in the environment. In formulating a strategy, a company seeks to take
advantage while minimizing the threats. What might be threat to one company may be opportunity for
another.

Environmental scanning is Careful monitoring of a firm's internal and external environments for
detecting early signs of opportunities and threats that may influence its current and future plans.

Environmental scanning is a process of gathering, analyzing, and dispensing information for tactical or
strategic purposes. The environmental scanning process entails obtaining both factual and subjective
information on the business environments in which a company is operating or considering entering.
There are three ways of scanning the business environment:
Ad-hoc scanning - Short term, infrequent examinations usually initiated by a crisis
Regular scanning - Studies done on a regular schedule (e.g. once a year)
Continuous scanning (also called continuous learning) - continuous structured data collection
and processing on a broad range of environmental factors
Most commentators feel that in today's turbulent business environment the best scanning method
available is continuous scanning because this allows the firm to act quickly, take advantage of
opportunities before competitors do and respond to environmental threats before significant damage is
done.
Environmental scanning usually refers just to the macro environment, but it can also include industry,
competitor analysis, marketing research (consumer analysis), new product development (product
innovations) or the company's internal environment.

Macro environment scanning involves scanning Economy, Government, Legal, Technology, Ecology,
Socio-cultural, Potential suppliers, Stakeholders.

When an issue is detected, there are generally six ways of responding to them:
• opposition strategy - try to influence the environmental forces so as to negate their impact - this
is only successful where you have some control over the environmental variable in question
• adaptation strategy - adapt your marketing plan to the new environmental conditions
• offensive strategy - try to turn the new influence into an advantage - quick response can give
you a competitive advantage
• redeployment strategy - redeploy your assets into another industry
• contingency strategies - determine a broad range of possible reactions - find substitutes
• passive strategy - no response - study the situation further

Strategy Formulation : Strategies are formulated at three levels.

1. Corporate level
2. Business Unit level
3. Functional level

Corporate level Strategy : This is formulated by the top level management of an organization made up
of more than one line of business. The major questions that need to be asked at this level are – What
kind of business should the company be engaged in? What are the goals and expectations for each
business? How should resources be allocated to reach the goals?
In formulating corporate level strategy, the company should decide where it wants to be in future in
areas like market standing, innovation, productivity, physical and financial resources, managerial
performance and development, worker performance and attitude, social responsibility etc.

Typical corporate level strategies have

1. Growth strategy : Internal growth, horizontal/vertical integration, conglomerate diversification,
Strategic alliance, mergers
2. Stability strategy
3. Retrenchment strategy : Turnaround, Disinvestment, Liquidation

Business level strategy : While major question on corporate level is, “In whit kind of business should the
company be operating in?”, the appropriate question at business unit level is, “How the company should
compete in the chosen area of operation?”. A business unit is an organizational subsystem that has a
market, a set of competitors, and a goal distinct from those of the other subsystems in the group. A
single company that operates within one industry is also considered as a business unit. For instance, an
independent company that builds and sells buildings is considered as a business unit. In such an
organization, the corporate level and business level strategies are same.

Functional level strategy : Each business unit will consist of several departments, such as
manufacturing, sales, finance and HR. Functional level strategies identify the basic course of action that
each of the department must pursue in order to help the business unit to attain its goals. In formulating
functional level strategies, managers must be aware that the different functions are interrelated. Each
functional area, in pursuing its purpose, must mesh its activities with the activities of other
departments. A change in one department will invariably affect the way other departments operate.
Hence, the strategy of one functional area cannot be viewed in isolation. Rather, the extent to which all
functional strategies are integrated determines the effectiveness of the unit’s business strategy.

Strategy Implementation : Strategies formulated need to be implemented. Implementation of

strategies is often more difficult than their formulation. Although implementation is the logical step to
formulation, the two differ in following ways.
Strategy Formulation Strategy Implementation
- It is positioning forces before the action. It is managing forces during the action.
- It focuses on effectiveness. It focuses on efficiency.
- It is primarily an intellectual process. It is primarily an operational process.
- It requires good initiative and analytical skills. It requires special motivation & leadership skills.
- It requires coordination among a few individuals. It requires coordination among many people.

Implementing strategies requires actions such as altering sales territories, adding new departments,
closing facilities, hiring new employees, changing organization’s pricing strategies, developing financial
budgets, formulating new employee benefits, establishing cost control procedures, changing advertising
strategies, transferring managers among departments, building better MIS.

Strategic Evaluation : The strategic management process results in decisions that can have significant
and long-lasting consequences. Erroneous strategies can cause severe penalties and can be very
difficult, if not impossible, to reverse. Strategy evaluation, therefore, assume greater relevance. Strategy
evaluation helps determine the events to which the company’s strategies are successful in attaining its
objectives. Basic activities involved in strategic evaluation are
1. Establishing performance targets, standards and tolerance limits for the objectives, strategies
and implementation plans.
2. Measuring the performance in relation to the targets at a given time. If outcomes are outside
the limits, inform managers to take necessary actions.
3. Analyze deviation from acceptable tolerance limits.
4. Execute modifications where ever necessary and feasible.

Strategy evaluation can be a complex and sensitive task. Too much emphasis on evaluating strategies
may be expensive and even counter-productive. No manager wants to be evaluated too closely. Little or
no evaluation can create even worse problems.
Importance of strategic management : Strategic management offers both financial as well as non-
financial benefits to an organization which practices it.
1. Allow identification, prioritization and exploitation of opportunities.
2. Provides an objective view of management problems.
3. Represents a framework for improved coordination and control of activities.
4. Minimize the effects of adverse conditions and changes.
5. Allow major decisions to better support established objectives.
6. Allow more effective allocation of time and resources to identified opportunities.
7. Allow fewer resources and lesser time to be devoted to correcting erroneous or adhoc
decisions.
8. Create a framework for internal communication among personnel.
9. Helps to integrate the behaviors of individuals into a total effort.
10. Provides a basis for the clarification of individual responsibilities.
11. Gives encouragement to forward thinking.
12. Provides a co-operative, integrated and enthusiastic approach to tackling problems and
opportunities.
13. Encourages a favorable attitude towards a change.
14. Gives a degree of discipline and formality to the management of a business.

Role of HRM in Strategic Management : The role of HRM in formulating and implementing strategies is
very crucial. It is the people who formulate and implement strategies and people are supplied by HRM.
Role in Strategy formulation : Strategy formulation is preceded by environment scanning. Scanning
helps identify threats and opportunities prevailing in the external environment. HRM is of great help in
locating opportunities and threats. HRM is in a unique position to supply competitive intelligence that
may be useful in strategy formulation. Details regarding advanced incentive plans being used by
competitors, opinion-survey data from employees that elicit information about customer complaints,
and information about pending legislation like labor laws or mandatory health insurance are some
examples. The strengths and weaknesses of a company’s resources can have a determining effect on the
viability of a company’s strategic options. Unique HR capabilities serve as a driving force in a strategy
formulation. A company may build its new strategy around a competitive advantage stemming from its
human resource.
Role in Strategy formulation : HRM supplies the company with a competent and willing workforce
which is responsible for executing strategies. HR today is heavily involved in the execution of the
company’s downsizing and restructuring strategies, through outplacing employees, instituting
performance-linked pay plans, reducing health-care costs and retraining employees. In an increasingly
competitive global market place, instituting HR practices that build employee commitment can help
improve an organization’s responsiveness.
Job Analysis
Job Analysis - Definition
It is a process of collecting information about a job which results into Job Description and Job
Specification.
It is a process of studying and collecting information relating to the operations and responsibilities
of a specific job. The outcome of this process is Job Description and Job Specification.

Job analysis involves steps like

Collecting and recording job information
Checking this information for accuracy
Writing job description based on this information
Determine the skills, abilities and knowledge required on the job
Updating the information from time to time

Job Description involves : Job title, Location, Job summary, duties, Machines/tools and equipments,
Materials and forms used, Supervision given or received, working conditions, hazards

Job Specification involves human qualifications necessary to do the job such as Education, Experience,
Training, Judgement, Initiative, Physical efforts and skills, Responsibilities, Communication skills,
Emotional characteristics, sensory demands such as sight, smell, hearing

Process of job analysis :

Strategic Choices
Gather information
Process information
Job description
Job specification

Strategic Choices : With regard to job analysis, an organization is required to make at least five choices :
The extent of employee involvement
The level of details of analysis
Timing and frequency of analysis
Past-oriented and future-oriented job analysis
Sources of job data

Gather information : It involves decision on three issues :

1. What type of data is to be collected?
Work activities, Machines/Tools/Equipments, Job context, Personal requirements
2. What methods are to be employed for data collection?
Observation, Interview, Questionnaire, Checklist, Technical conference, diary method
3. Who should collect data?
Trained job analysts, Supervisors, Job incumbents

Process information
Job description
Job specification
Uses of Job description and specification
Personnel planning
Performance appraisal
Hiring
Training and development
Job evaluation and compensation
Health and safety
Employee discipline
Work scheduling
Career planning

Potential Problems with Job Analysis

Support from top management
Single means and source
No training and motivation
Activities may be distorted
Job Design
Job Design - Definition
• It integrates work content (tasks, functions, relationships), and the qualifications required (skills,
knowledge, abilities) for each job in a way that meets the needs of employees and the
organization.
• Process of deciding on the content of job in terms of duties and responsibilities of the jobholder,
on the methods to be used in carrying out the job, in terms of techniques, systems and procedures
and the relationship that must exist between the jobholder and his superiors, subordinates and
colleagues.
• Next step to Job analysis

Job Design involves following steps

The specification of individual tasks
The specification of methods of performing each task
The combination of tasks into specific jobs to be assigned to individuals

The design of jobs has a critical impact on organizational and employee objectives. From the
organization’s perspective, the way tasks and responsibilities are grouped can affect productivity costs.
Jobs that are not satisfying or are too demanding are difficult to fill. Boring jobs may lead to higher
turnover. For an employee, motivation and job satisfaction are affected by the match between job
factors (content, qualifications and reward) and personal needs, Therefore, thoughtful design of jobs
can help both the organization and its employees achieve their objectives.

It is well known that jobs are more than a collection of tasks recorded on a job analysis schedule and
summarized on a job description. Jobs are the foundation of organizational productivity and employee
satisfaction or lack thereof. How well jobs are defined will play an increasingly important role in the
success, even survival, of the organization during the next millennium. As the numbers of new workers
coming into the labor market slows and the international competition increases, well designed jobs will
become even more important in attracting and retaining a motivated workforce, which is capable of
producing high quality products and services.

Factors affecting Job Design

• Organizational factors
§ Characteristics of task : Job design requires assembly of a number of tasks into a job. An
individual may carry out one main task which consists of a number of interrelated
functions. On the other hand, a group of workers can carry out a task or a set of tasks.
The internal structure of each task consists of three elements : planning, execution and
evaluation. Responsibility in a job is measured by the amount of authority someone has
to put to carry out the given task. The ideal job design is to integrate all the three
elements.
§ Work flow : The flow of work in an organization is strongly influenced by the nature of
the product or service. The product or service usually suggests the sequence and
balance of jobs if the work is to be done efficiently. After the sequence of jobs is
determined, the balance between jobs is established.
§ Ergonomics : it is concerned with designing and shaping jobs to fit the physical abilities
and characteristics of individuals so that they can perform their jobs effectively.
 Ergonomics help employers to design jobs in such a way that workers’ physical abilities
and job demands are balanced.
§ Work Practices : Work practices are set of ways of performing work. These methods
may arise from tradition or the collective wishes of employees. Either way, the HR
department’s flexibility to design job is limited especially when such practices are part of
a union-management relationship. Failure to consider work practices can have
undesirable outcomes.
• Environmental factors
§ Employee abilities and availability : Efficiency of work must be balanced against the
abilities and availability of the people who are to do the work. Considerable thought
must be given as to who will actually do the work.
§ Social and cultural expectations : Jobs must be designed to meet social and cultural
expectations of workers like hours of work, holidays on religious occasions, vacations,
rests breaks, management styles, worker sophistication and attitudes.
• Behavioral factors
§ Feedback : Individuals must receive meaningful feedback about their performance,
preferably by evaluating their own performance and defining the feedback.
§ Autonomy : Autonomy is being responsible for what one does. It is the freedom to
control one’s responses to the environment. Jobs that give workers authority to make
decisions will provide added responsibilities, which tend to increase the employee’s
sense of recognition and self-esteem. Absence of autonomy can cause employee’s lack
of interest or poor performance
§ Use of abilities : The job must be perceived by individuals as requiring them to use
abilities they value in order to perform the job effectively.
§ Variety : Lack of variety may cause boredom which may lead to fatigue and mistakes in
turn. By injecting variety into jobs, personnel specialists can reduce errors caused by
fatigue.

Techniques of Job design

§ Work simplification : The job is more simplified or specified. A given job is broken down into
small sub-parts, and each part is assigned to an individual. It involves mechanical pacing of work,
repetitive work processes, working on only one part of a task, predetermining tools and
techniques, restricted interactions among workers, few skill requirements. Work simplification is
adopted when job designers feel that jobs are not specialized enough. The technique is
defective in the sense that over-specialization results in boredom which in turn can result into
mistakes and other problems.

§ Job rotation : It refers to movement of an employee from one job to another. This relieves
employee from boredom and monotony, improves employee’s skills regarding various jobs,
prepares competent employees and provides personal growth. A frequent job rotation is not
advisable as it may have negative impact on employee’s effectiveness and enthusiasm.

§ Job enlargement : It involves adding more and different tasks to a specialized job to provide
greater variety. It tackles dissatisfaction and reduces monotony by increasing variety and scope
 of tasks. It leads to specialization and improves worker satisfaction, quality of production and
overall efficiency of the organization.

§ Job bandwidth : Another approach is narrow job design and broad job design. Narrow job
design deals with the construction of a job with a few tasks, responsibilities etc. Broad job
design deals with the construction of a job with a wide variety and range of tasks and
responsibilities.

§ Job enrichment : It means adding duties and responsibilities that will provide for skill variety,
task identity, task significance, autonomy and feedback on he job performance. It tries to deal
with dissatisfaction by increasing job depth as work activities from a vertical slice of the
organization unit are combined in one job.