Professional Documents
Culture Documents
SUBMITTED BY:
PREFACE
INDEX
1. INTRODUCTION OF H.RM
2. EVOLUTION OF THE HRM
3. DEFINITION OF HRM
4. DIFFERENCE BETWEEN PERSONNEL MANAGEMENT & HRM
5. OBJECTIVES OF HRM
6. FUNCTIONS OF HRM
7. HRM IMPLEMENTATION ACTIVITIES
8. NATURE OF HRM
9. FOCUS OF HRM
10.FORCES CHANGING HRM
11.EVALUTION OF HRM METHODS
(A) TRADITIONAL HRM
(B) STRATEGIC HRM
(C) TRADITIONAL Vs STRATEGIC HRM
12. HUMAN RESOURCE DEVELOPMENT
13. TEAM EFFECTIVENESS
14.HUMAN RESOURCE PLANNING
15.HRP SYSTEM
16.Performance appraisal
17.Motivation
18.Job design, job rotation, job enrichment
19.Organisational structure
20.Shift from traditional to new hrm
21.Hrm in the new millennium
22.Difficulties faced by hrm in Indian economy
23.Case study
24.Conclusion
25.Bibliography
26.thankyou
INTRODUCTION OF HRM
Human resources are the most valuable and unique assets of an organization. The
successful management of an organization's human resources is an exciting,
dynamic and challenging task, especially at a time when the world has become a
global village and economies are in a state of flux. The goal of HRM is to maximize
the productivity of an organization by optimizing the effectiveness of its
employees while simultaneously improving the work life of employees and treating
employees as valuable resources. Consequently, HRM encompasses efforts to
promote personal development, employee satisfaction, and compliance with
employment-related laws.To achieve equilibrium between employer and employee
goals and needs, HRM departments focus on these three general functions or
activities: planning, implementation, and evaluation.
EVOLUTION OF HRM
Key principles and practices associated with HRM date back to the beginning of
mankind. Mechanisms were developed for the selection of tribal leaders.More
advanced HRM functions were developed as early as 1000 and 2000 B.C.the
Chinese are known to be the first to use employee screening techniques, way back in
1115 B.C. And turns out it was not Donald Trump who started "the apprentice"
system. They were the Greek and Babylonian civilizations, ages before the medieval
times.With the Industrial Revolution, came the conversion of the US economy from
agriculture-based to industry-based. This led them to require an extremely well-
organized structure. Further, this led them to recruit a lot of people. More so, the
industrial revolution brought in maddening amounts of immigration. Again, to create
employment for all the immigrants, recruitment and management of the recruited
individuals gained vitality. As such, there was a blaring need for Human Resource
Management.
With the advent of "labour unions" in the 1790's, the power in the hands of the
employees multiplied considerably and increased at a rapid pace by the 1800s and
furthermore in the 1900s. This led to the HR department being more capable of
politics and diplomacy. The two feats that were quintessential to the importance of
HR were; the fact that it was the HR department that got the management and the
labor unions to come on common grounds. They basically worked on getting the
management to see things from the labor perspective and grant them medical and
educational benefits. The other would be Frederick W. Taylor's (1856-1915)
Scientific Management. This book had tremendous impact on attaining better
productivity from low-level production workers. The first corporate employment
department designed to address employee concerns was created by the B.F.
Goodrich Company in 1900. In 1902 National Cash Register formed a similar
department to handle worker grievances, wage administration, record keeping, and
many other functions that would later be relegated to HRM departments at most
large B.F. Goodrich Company were the pioneers in designing a corporate employee
department to address the concerns of the employees in 1900. National Cash
Register followed suit in 1902 by forming a separate department to handle employee
grievances, record keeping, wage management and other employee-related
functions. Personnel Managers started seeing more sunshine since the Wagner's Act
(aka National Labor Relations Act) in 1935. There was a shift in focus from
worker's efficiency to efficiency through work satisfaction, thanks to the Hawthorne
studies around the 1930s to 1940s.
During the 1930s and 1940s the general focus of HRM changed from a focus on
worker efficiency and skills to employee satisfaction. That shift became especially
pronounced after World War II, when a shortage of skilled labor forced companies
to pay more attention to workers' needs. Employers, influenced by the famous
Hawthorne productivity studies and similar research, began to emphasize personal
development and improved working conditions as a means of motivating employees.
In the 1960s and 1970s the federal government furthered the HRM movement with a
battery of regulations created to enforce fair treatment of workers, such as the Equal
Pay Act of 1963, the Civil Rights Act of 1964, the Employee Retirement Income
Security Act of 1974 (ERISA), and the Occupational Safety and Health Act of 1970.
Because of these acts, companies began placing greater emphasis on HRM in order
to avoid lawsuits for violating this legislation. These regulations created an entirely
new legal role for HRM professionals. Furthermore, during the 1970s, HRM gained
status as a recognized profession with the advent of human resource programs in
colleges.
By the end of the 1970s, virtually all medium-sized and large companies and
institutions had some type of HRM program in place to handle recruitment, training,
regulatory compliance, dismissal, and other related issues. HRM's importance
continued to grow during the 1980s for several reasons. Changing workforce values,
for example, required the skills of HRM professionals to adapt organizational
structures to a new generation of workers with different attitudes about authority and
conformity. Shifting demographics forced changes in the way workers were hired,
fired, and managed. Other factors contributing to the importance of HRM during the
1980s and 1990s were increasing education levels, growth of service and white-
collar jobs, corporate restructuring (including reductions in middle management),
more women in the workforce, slower domestic market growth, greater international
competition, and new federal and state regulations.
DEFINITION OF HRM
Definition 1 – Integration
Definition 2 – Influencing
Definition 3 – Applicability
HRM is management function that helps managers to recruit, select, train and
develop members for an organization. Obviously HRM is concerned with the
people’s dimensions in organizations.
Some experts says that there are no basic differences between Human Resource
Management and Personnel management. These experts say that the two terms –
HRM and Personnel management – have no difference in their meaning, and can be
used interchangeably. Well, there are many experts who have come up with many
differences between the two. The fancy word for “people.” The human resources
department within an organization, years ago known as the “personnel department,”
manages the administrative aspects of the employees. Human Resources are
Personnel pool available to an organization. The most important resources in any
organization are its human resources. Appropriate human resources assure an
organization that the right number and kind of people are available at the right time
and place so that organizational needs can be met. HRM is a much broader term as
compared to Personnel management, the difference between the two can be
described by the following definitions:
Defintion 1.
1. It is the process of managing people in organizations in a structured and
thorough manner. This covers the fields of staffing (hiring people), retention of
people, pay anand perks setting and management, performance management,
change management and taking care of exits from the company to round off the
activities. This is the traditional definition of HRM which leads some experts to
define it as a modern version of the Personnel Management function that was used
earlier.
Definition2.
It is the management of people in organizations from a macro perspective i.e.
managing people in the form of a collective relationship between management and
employees. This approach focuses on the objectives and outcomes of the HRM
function. What this means is that the HR function in contemporary organizations is
concerned with the notions of people enabling, people development and a focus on
making the “employment relationship” fulfilling for both the management and
employees.
OBJECTIVES OF HRM
1. Societal Objectives:
To be ethically and socially responsible to the needs and challenges of the society
while minimizing the negative impact of such demands upon the organization.
2. Organizational Objectives:
3. Functional Objectives:
4. Personal Objectives:
Benefits
Performance Appraisals
Employee Assessment
Functional Objectives (3) Performance Appraisals
Employee Assessment
Personal Objectives (5) Training & Development
Performance Appraisals
Compensation
Employee Assessment
HRM FUNCTIONS
In order to achieve the above objectives, Human Resource Management undertakes the
following activities:
1. Human resource or manpower planning.
2. Recruitment, selection and placement of personnel.
3. Training and development of employees.
4. Appraisal of performance of employees.
5. Taking corrective steps such as transfer from one job to another.
6. Remuneration of employees.
7. Social security and welfare of employees.
8. Setting general and specific management policy for organizational relationship.
9. Collective bargaining, contract negotiation and grievance handling.
10. Staffing the organization.
11. Aiding in the self-development of employees at all levels.
12. Developing and maintaining motivation for workers by providing incentives.
13. Reviewing and auditing man¬power management in the organization
14. Potential Appraisal. Feedback Counseling.
15. Role Analysis for job occupants.
16. Job Rotation.
17. Quality Circle, Organization development and Quality of Working Life.
1. Planning: Plan and research about wage trends, labor market conditions, union
demands and other personnel benefits. Forecasting manpower needs etc.
2. Organizing: Organizing manpower and material resources by creating
authorities and responsibilities for the achievement of organizational goals and
objectives.
3. Staffing: Recruitment & Selection
4. Directing: Issuance of orders and instructions, providing guidance and
motivation of employees to follow the path laid-down.
5. Controlling: Regulating personnel activities and policies according to plans.
Observations and comparisons of deviations.
ACQUISITION.
Acquisition duties consist of human resource planning for employees, which includes
activities related to analyzing employment needs, determining the necessary skills for
positions, identifying job and industry trends, and forecasting future employment
levels and skill requirements. These tasks may be accomplished using such tools and
techniques as questionnaires, interviews, statistical analysis, building skill
inventories, and designing career path charts. Four specific goals of effective human
resource planning are:
1. Sustaining stable workforce levels during ups and downs in output, which can
reduce unnecessary employment costs and liabilities and increase employee morale
that would otherwise suffer in the event of lay-offs.
2. Preventing a high turnover rate among younger recruits.
3. Reducing problems associated with replacing key decision makers in the event
of an unexpected absence.
DEVELOPMENT.
COMPENSATION.
Compensation, the third major HRM function, refers to HRM duties related to paying
employees and providing incentives for them. HRM professionals are typically
charged with developing wage and salary systems that accomplish specific
organizational objectives, such as employee retention, quality, satisfaction, and
motivation. Ultimately, their aim is to establish wage and salary levels that maximize
the company's investment in relation to its goals. This is often successfully
accomplished with performance based incentives. In particular, HRM managers must
learn how to create compensation equity within the organization that doesn't hamper
morale and that provides sufficient financial motivation. Besides financial
compensation and fringe benefits, effective HRM managers also design programs that
reward employees by meeting their emotional needs, such as recognition for good
work.
MAINTENANCE.
Human resource maintenance activities related to safety and health usually entail
compliance with federal laws that protect employees from hazards in the workplace.
Regulations emanate from the federal Occupational Safety and Health
Administration, for instance, and from state workers' compensation and
federal Environmental Protection Agency laws. HRM managers must work to
minimize the company's exposure to risk by implementing preventive safety and
training programs. They are also typically charged with designing detailed procedures
to document and handle injuries.
NATURE OF HRM
Human Resource Management is a process of bringing people and organizations
together so that the goals of each are met. The various features of HRM include:
A second important change affecting HRM was new organizational structures that
began to emerge during the 1980s and continued through the 1990s. Because many
companies began expanding their operations and diversifying their products and
services, the central decision-making system failed to respond quickly enough to
managers' needs and concerns. Therefore, companies started scrapping traditional,
hierarchical organizational structures in favor of flatter, decentralized management
systems. Consequently, fewer managers were involved in the decision-making
process and companies were adopting more of a team approach to management.
SCOPE OF HRM
1. Personnel aspect-
This is concerned with manpower planning, recruitment, selection,
placement, transfer, promotion, training and development, layoff and retrenchment,
remuneration, incentives, productivity etc.
2. Welfare aspect-
It deals with working conditions and amenities such as canteens,
creches, rest and lunch rooms, housing, transport, medical assistance, education,
health and safety, recreation facilities, etc.
The authors of Human Resources Management posit four factors, the "four Cs," that
should be used to determine whether or not an HRM department or individual
program is succeeding: commitment, competence, cost-effectiveness, and
congruence. In testing commitment, the HRM manager asks to what extent do
policies enhance the commitment of people to the organization? Commitment is
necessary to cultivate loyalty, improve performance, and optimize cooperation among
individuals and groups.
Competence refers to the extent to which HRM policies attract, keep, and develop
employees: cost-effectiveness, the third factor, measures the fiscal proficiency of
given policies in terms of wages, benefits, absenteeism, turnover, and
labor/management disputes. Finally, analysis of congruence helps to determine how
HRM policies create and maintain cooperation between different groups within and
outside the organization, including different departments, employees and their
families, and managers and subordinates.
Besides evaluating these internal aspects of HRM programs, companies also must
assess the effectiveness of HRM programs by their impact on overall business
success.
LEGAL INFLUENCES
The field of HRM is greatly influenced and shaped by state and federal employment
legislation, most of which is designed to protect workers from abuse by their
employers. Indeed, one of the most important responsibilities of HRM professionals
lies in compliance with regulations aimed at HRM departments. The laws and court
rulings can be categorized by their affect on the four primary HRM functional areas:
acquisition, development, compensation, and maintenance.
The most important piece of HRM legislation, which affects all of the functional
areas, is Title VII of the Civil Rights Act of 1964 and subsequent amendments,
including the Civil Rights Act of 1991. These acts made illegal the discrimination
against employees or potential recruits for reasons of race, color, religion, sex, and
national origin. It forces employers to achieve, and often document, fairness related
to hiring, training, pay, benefits, and virtually all other activities and responsibilities
related to HRM. The 1964 act established the Equal Employment Opportunity
Commission (EEOC) to enforce the act, and provides for civil penalties in the event
of discrimination. Possible penalties include forcing an organization to implement
an affirmative action program to actively recruit and promote minorities that are
underrepresented in a company's workforce or management. The net result of the all
encompassing civil rights acts is that HRM departments must carefully design and
document numerous procedures to ensure compliance, or face potentially significant
penalties.
In addition to the civil rights acts, a law affecting acquisition, or resource planning
and selection, is the Equal Pay Act of 1963. This act forbids wage or salary
discrimination based on sex, and mandates equal pay for equal work with few
exceptions. Subsequent court rulings augmented the act by promoting the concept
ofcomparable worth, or equal pay for unequal jobs of equal value or worth. The
important Age Discrimination in Employment Act of 1967, which was strengthened
by amendments in the early 1990s, essentially protects workers 40 years of age and
older from discrimination. The Fair Credit Reporting Act also affects acquisition
activities, as employers who turn down applicants for credit reasons must provide the
sources of the information that shaped their decision. Similarly, the Buckley
Amendment of 1974 requires certain institutions to make records available to
individuals and to receive permission before releasing those records to third parties.
The major laws affecting HRM development, or appraisal, training, and development,
are the civil rights act, the equal pay act, and the age discrimination in employment
act. All of those laws also affected the third HRM activity, rewards, or salary
administration and incentive systems. In addition, however, HRM reward programs
must comply with a plethora of detailed legislation. The Davis-Bacon Act of 1931,
for instance, requires the payment of minimum wages to nonfederal employees. The
Walsh Healy Public Contracts Act of 1936 ensures that employees working as
contractors for the federal government will be compensated fairly. Importantly,
the Fair Labor Standards Act of 1938 mandates employer compliance with
restrictions related to minimum wages, overtime provisions, child labor, and
workplace safety. Other major laws affecting rewards include: the Tax Reform Acts
of 1969, 1976, and 1986; the Economic Recovery Tax Act of 1981; the Revenue Act
of 1978; and the Tax Equity and Fiscal Responsibility Act of 1982.
Perhaps the most regulated realm of the HRM field is maintenance (or benefits),
safety and health, and employee/management relations. Chief among regulations in
this arena is the Occupational Safety and Health Act of 1970, which established the
Occupational Safety and Health Administration. That act was designed to force
employers to provide safe and healthy work environments and to make organizations
liable for workers' safety. The sweeping act has ballooned to include thousands of
regulations backed by civil and criminal penalties, including jail time and fines for
company executives. Also of import are state workers' compensation laws, which
require employers to make provisions to pay for work-related injuries, and forces
HRM managers to create and document safety procedures and programs that reduce a
company's liability. The Wagner Act of 1935 is the main piece of legislation
governing union/management relations, and is a chief source of regulation for HRM
departments. Other important laws related to HRM maintenance include: the Norris-
Laguardia Act of 1932, the Social Security Act of 1935, the Taft-Hartley Act of
1947, and the Landrum-Griffin Act of 1959.
ROLE OF HRM
1. Advisory Role: HRM advises management on the solutions to any problems
affecting people, personnel policies and procedures.
(A). Personnel Policies: Organization Structure, Social Responsibility,
Employment Terms & Conditions, Compensation, Career & Promotion,
Training & Development and Industrial Relations.
(B). Personnel Procedures: Relating to manpower planning procedures,
recruitment and selection procedures, and employment procedures, training
procedures, management development procedures, performance appraisal
procedures, compensation procedures, industrial relations procedures and health
and safety procedures.
3. Service Role: Personnel function provides services that need to be carried out
by full time specialists. These services constitute the main activities carried out by
personnel departments and involve the implementation of the policies and
procedures described above.
TRADITIONAL HRM
HRM is a staff function. HRM managers advise line mangers throughout the
organization. Furthermore, the company may need more or fewer employees and
managers from time to time. The HRM process is an ongoing procedure that tries to
keep the organization supplied with the right people in the right positions, when they
are needed. The HRM function is especially important given the current trend toward
downsizing.The HRM process includes seven basic activities:
2. Recruitment is concerned with developing a pool of job candidates in line with the
human resources plan. Candidates are usually located through newspaper and
professional journal advertisements, employment agencies, word of mouth, and visits
to college and university campuses.
Strategy:
“Strategy is a way of doing something. It includes the formulation of goals and set of
action plans for accomplishment of that goal.”
Strategic Management:
“Strategic Management is that set of managerial decisions and actions that determine
the long-term performance of a corporation. It includes environmental scanning,
strategy formulation, strategy implementation and evaluation and control.”
These to approaches indicate two factors in an organisational setting. The first one is
the human factor, their performance and competency and the later is the business
surplus. An approach of people concern is based on the belief that human resources
are uniquely important in sustained business success. An organization gains
competitive advantage by using its people effectively, drawing on their expertise and
ingenuity to meet clearly defined objectives. Integration of the business surplus to the
human competency and performance required adequate strategies.
Benefits of SHRM
1. Identifying and analyzing external opportunities and threats that may be crucial to
the company's success.
2. Provides a clear business strategy and vision for the future.
3. To supply competitive intelligence that may be useful in the strategic planning
process.
4. To recruit, retain and motivate people.
5. To develop and retain of highly competent people.
6. To ensure that people development issues are addressed systematically.
7. To supply information regarding the company's internal strengths and weaknesses.
8. To meet the expectations of the customers effectively.
9. To ensure high productivity.
10. To ensure business surplus thorough comopetency
Barriers of SHRM
Barriers to successful SHRM implementation are complex. The main reason is a lack
of growth strategy or failure to implement one. Other major barriers are summarized
as follows:
Point of Strategic HR
distinction Traditional HR
HRM THEORY:
Maslow’s model provides a rich and comprehensive view of human needs. It helps to
explain why people behave differently why some needs are motivating up to stage
what factors need to be looked into by managers when they want to inspire their
subordinates etc. It is small wonder that the theory has received wide recognition
particularly among practicing managers. This can be attributed to the theory’s
intuitive logic and ease of understanding. Proposition such as: a satisfied need is not a
motivator of behavior lower order have to be met first before trying to fulfill higher
order needs’ have found universal acceptance . Research in under developed
countries indicated the fact that workers give top priority to lower order needs ad
expect managers to take care of these.Despite the societal popularity, Maslow’s
model has been criticized on several grounds:
HRD is a process of organizing and enhancing the physical, mental and emotional
capacities of individuals for productive work.
Values: Adopt proactive HRD measures, which encourage values of openness, trust,
autonomy, proactivity and experimentation.
TEAM EFFECTIVENESS
A team is defined as a reasonably small group of people, who bring to the table a set
of complementary and appropriate skills, and who hold themselves mutually
accountable for achieving a clear and identifiable set of goals.
The second criteria, is that the team should still be able function effectively after
they have completed their task. It should not be torn apart by dissension.
Finally, effectiveness is judged by whether the team feels satisfied with its efforts.
If the team members are pleased with their efforts, if the experience has been a good
one, if time spent away from their normal work has been worth the effort, the team
has likely been effective.
What then are the factors that contribute towards an effective team?
There are three areas of group behavior that must be addressed for teams to be
effective. The team must work hard..The team must have the right mix of skills to
bring to the table. These skills include technical, problem solving and interpersonal
skills. The team must be able to develop appropriate approaches to problem solving.
This depends on developing a plan of attack and using appropriate techniques for
analysis. The following factors contribute to hard work, skill development and
effective problem solving strategies:
The task itself should be seen as being worthwhile. It needs to be a whole piece of
work with a clear and visible outcome so that people can feel a sense of ownership.
The outcome of the task should be perceived as being important to other people's
lives. It should affect others in the organization or impact on the external
customer.
The job should provide the team with an opportunity for self-regulation. They
should decide how the work is to be done. Meaningful feedback should be
provided on the how well the team is performing.
When challenging goals are set the team will mobilize its efforts to find
innovative ways to achieve feats that may have been considered impossible.
Providing a challenging job is the most important motivator to sustain group
effort.
Goals provide a sense of direction to the team so that when conflict occurs it is
possible to channel the conflict more constructively by returning to the goals for
direction.
The team needs to buy in to the goals. They must have the opportunity to buy in
and commit to achieving the goals. Goals need to be challenging, but not
impossible to achieve. They also need to be measurable so that progress towards
achieving them can be monitored and results confirmed.
The rewards need to suit the personal characteristics of the people on the team.
Whatever form the reward takes, it is important that group effort be recognized.
One should avoid the destructive effect of trying to single out individuals from
the group, when there has been a group effort.
The right mix of skills should be brought to the task at hand. It is also a question
of carefully reviewing the job to determine what relevant skills is required and
selecting staff so that the team has the right balance. Providing relevant training
then makes up any shortfall in skills.
Technical skills are required. For teams who are trying to improve a process that
cuts across department boundaries, each function should be represented. One
should achieve a balance of skills. This means avoiding having a preponderance
of skills and experience in one specialized area. Sheer numbers may weigh the
solution towards the dominant group.
In the case of permanent work teams it is likely that team members will not have
all the task relevant skills at the onset. When the group is new, it is likely that
members will bring narrow skills learned in their old roles. They will need to
develop broader skills for the new job. To ensure that this is done, training and
coaching should be provided.
The members of the team need to have problem solving and decision-making
skills as well as technical skills. When a business is making its first venture into
team based work, it is likely that people will not have a good grasp of the
techniques related to problem analysis and solution.
These relevant skills must be acquired, so it will be necessary to provide training.
Over a period of time staff will become experienced in problem solving
techniques and the organization will develop a repertoire of skills among the staff
so this training will not always be necessary.
Interpersonal skills are also important. This is not as obvious as it may sound.
Most people do not listen well. Listening is much more than being quiet when
some else is talking. Active listening is required. Many people do not speak to the
point but ramble on or go off at a tangent. Most people do not take criticism well
and tend to be defensive about their own opinions.
The most critical rules pertain to attendance, open discussion, using an analytical
approach, not pulling rank over other members, planning the work and sharing
work assignments. This will ensure that the work is done well and done on time.
For the team to be able to develop an appropriate strategy, it must have a clear
definition of the problem, know what resources it has available and the limits, and
understand the expectations. It must then develop a problem-solving plan, based
on the approach suggested in the section on continuous improvement.
When this does not happen, people are passive. Their skills and knowledge are
not utilized and they waste their time.
Another approach is to phase the implementers into the team so that the
membership changes prior to the implementation. Whatever approach is used one
should remember that the idea is to implement a solution and not to produce a
report.
Work teams are different in that they are a fixed part of the organization. They
have an ongoing function, which is to control a set of activities that make up a
discrete operation in the overall business process. They need to focus on the critical
factors in their process and to control these factors to ensure a quality product.
It is only after HRP is done, that the company can initiate and plan the recruitment
and selection process.
HRP facilitates the realization of the company’s objectives by providing right type
and right number of personnel.
Cope with change: HRP enables an enterprise to cope with changes in competitive
forces, markets, technology, products and government regulations. Such changes
generate changes in job content, skills demands and number of human resources
required.
Creating highly talented personnel: Since jobs are becoming highly intellectual and
incumbents getting vastly professionalized, HRP helps prevent shortages of labor
caused by attritions. Further technology changes would further upgrade or degrade
jobs and create manpower shortages. In these situations only accurate human
resource planning can help to meet the resource requirements. Further HRP is also an
answer to the problems of succession planning.
Protection of weaker sections: A well-conceived personnel planning would also
help to protect the interests of the SC/ST, physically handicapped, children of
socially oppressed and backward classes who enjoy a certain percentage of
employments notwithstanding the constitutional provisions of equal opportunity for
all.
Resistance to change & move: The growing resistance towards change and move,
self evaluation, loyalty and dedication making it more difficult to assume that
organization can move its employees everywhere. Here HRP becomes very important
and needs the resources to be planned carefully.
HRP SYSTEM
Business Environment
Business Environment
Manpower Programming
Manpower Implementation
Union Constraints
Rightsizing organization
Automation needs
It is the process of estimating the future quantity and quality of people required.
Internal Factors: -
Budget constraints
Production levels
Organizational structure
Employee separation
External Factors: -
Competition environment
Economic climate
Technology changes
Social Factors
Management Judgment: In this techniques managers across all the levels decide the
forecast on their own judgment. This can be bottom-up or top-down approach and
judgments can be reviewed across departments, divisions and top management can
conclude on final numbers of manpower required.
Delphi Techniques: This technique solicits estimates from a group of experts, and
HRP experts normally act as intermediaries, summarizes various responses and report
the findings back to experts.
Flow Models: This technique involves the flow of following components. Determine
the time required, Establish categories, Count annual movements, Estimate probable
transitions. Here demand is a function of replacing those who make a transition.
This process measures the number of people likely to be available from within and
outside the organization after making allowance for absenteeism, internal movements
and promotions, wastages, changes in hours and other conditions of work.
Supply Analysis covers:
Personal data
Skills
Special Qualifications
Salary
Job History
Company data
Capabilities
Special preferences
Work History
Strengths
Weaknesses
Promotion Potential
Career Goals
Personal Data
Internal Supply: -
Productivity level
External Supply: -
New blood,
New experiences
Organizational growth
Diversification
Recruitment & Selection: Employees are hired against the job vacancies. Based on
the manpower demand and supply forecasts made, hiring of employees is initiated
based on supply forecasts. For this internal and external sources of manpower are
utilized. A formal selection board is established to interview and select the best of the
candidates for the required vacancies. Finally the selected employees also need to be
placed on proper jobs.
Training and Development: The training and development program is charted out to
cover the number of trainees, existing staff etc. The programs also cover the
identification of resource personnel for conducting development program, frequency
of training and development programs and budget allocation.
Retraining and Redeployment; New skills are to be imparted to existing staff when
technology changes or product line discontinued. Employees need to be redeployed
to other departments where they could be gainfully employed.
Retention Plan: Retention plans cover actions, which would reduce avoidable
separations of employees. Using compensation plans, performance appraisals,
avoiding conflicts, providing green pastures etc, can do this.
Downsizing plans: Where there is surplus workforce trimming of labor force will be
necessary. For these identifying and managing redundancies is very essential.
Career counseling
Accelerated promotions
Strategic recruitment
SUCCESSION PLANNING
CAREER PLANNING
. JOB ANALYSIS
JOB:
Job Analysis is a process of collecting information about a job. The process of job
analysis results into two sets of data.
Job Description
Job Specification
Job Evaluation.
Remuneration:
Performance Appraisal:
Personnel Information:
Strategic Choices: -
Level of details of job analysis: The nature of jobs being analyzed determines the
level of details in job analysis. If the purpose were for training programs or assessing
the worth of job, levels of details required would be great. If the purpose is just
clarification the details required would be less.
Sources of Job Data: For job analysis number of human and non-human sources is
available besides jobholder himself. Following can be sources of data available for
job analysis.
Observation
Interview
Questionnaires
Checklists
Technical Conference
Diary Methods
Supervisors
Job Incumbents
Processing Information: -
Once the job information is collected it needs to be processed, so that it would be
useful in various personnel functions. Specifically job related data would be useful to
prepare job description and specifications, which form the next two processes of job
analysis.
Observation: Job Analyst carefully observes the jobholder and records the
information in terms of what, how the job is done and how much time is taken. It is a
simple and accurate method, but is also time consuming and inapplicable to jobs
involving mental activities and unobservable job cycles. The analysts must be fully
trained observers.
Checklists: It is more similar to questionnaire but the response sheet contains fewer
subjective judgments and tends to be either yes or no variety. Preparation of checklist
is a challenging job itself.
Diary Methods: In this method jobholder is required to note down their activities day
by day in their diary. If done faithfully this technique is accurate and eliminates errors
caused by memory lapses etc.
2. I – Importance of Job
3. T – Time
5. A – Applicability of Job
The primary advantage of PAQ is that it can be used to analyze almost every job.
This analysis provides a comparison of a specific job with other job classifications,
particularly for selection and remuneration purposes. However PAQ needs to be
completed by trained job analysts only rather than incumbents.
PAQ and MPDQ yield standardized information about the worker and the job.
It is a worker oriented job analytical approach, which attempts to describe the whole
person on the job.
JOB DESCRIPTION
“Job Description implies objective listing of the job title, tasks, and responsibilities
involved in a job.”
2. Job Summary
4. Supervision specification
6. Work conditions
7. Work hazards
Job Title
Region/Location
Department
Objective
1. Up to date
5. Easily understandable
6. State job requirements
JOB SPECIFICATIONS
1. Physical Characteristics
2. Psychological characteristics
3. Personal characteristics
4. Responsibilities
5. Demographic features
Further the job specifications can be divided into three broad categories
Essential Attributes
Desirable Attributes
JOB EVALUATION
Job Evaluation involves determination of relative worth of each job for the purpose
of establishing wage and salary differentials. Relative worth is determined mainly
on the basis of job description and job specification only. Job Evaluation helps to
determine wages and salary grades for all jobs. Employees need to be compensated
depending on the grades of jobs which they occupy. Remuneration also involves
fringe benefits, bonus and other benefits. Clearly remuneration must be based on the
relative worth of each job. Ignoring this basic principle results in inequitable
compensation. A perception of inequity is a sure way of de-motivating an employee.
2. Wage Survey
3. Employee Classification
Analytical Methods
Point Ranking Methods: Different factors are selected for different jobs with
accompanying differences in degrees and points. Factor Comparison Method: The
important factors are selected which can be assumed to be common to all jobs. Each
of these factors are then ranked with other jobs. The worth of the job is then taken
by adding together all the point values.
Non-Analytical Methods
Ranking Method: Jobs are ranked on the basis of its title or contents. Job is not
broken down into factors etc.
Job Grading Method: It is based on the job as a whole and the differentiation is
made on the basis of job classes and grades. In this method it is important to form a
grade description to cover discernible differences in skills, responsibilities and other
characteristics.
JOB DESIGN
“Job Design integrates work content (tasks, functions, relationships), the rewards
and qualifications required including skills, knowledge and abilities for each job in a
way that meets the needs of employees and the organization.”
Organizational factors:
Environmental Factors:
Behavioral Elements:
Feedback
Autonomy
Use of Abilities
Variety
Work Simplification: Job is simplified or specialized. The job is broken down into
small parts and each part is assigned to an individual. To be more specific, work
simplification is mechanical pacing of work, repetitive work processes, working
only on one part of a product, predetermining tools and techniques, restricting
interaction amongst employees, few skills requirement. Work simplification is used
when jobs are not specialized.
Job Rotation: When incumbents become bore of routine jobs, job rotation is an
answer to it. Here jobs remain unchanged, but the incumbents shift from one job to
another. On the positive side, it increases the intrinsic reward potential of a job
because of different skills and abilities needed to perform it.
4. Job enrichment assumes that workers want more responsibilities and those
workers who are motivated by less responsibility, job enrichment surely de-
motivates them
JOB SATISFACTION
Job inherent factors: Type of work, Skills, Occupational status, Geography, Size of
plant
WORK SAMPLING
Meaning of Work Sampling Work sampling is based on the theory that the
percentage of the number of observations on a particular activity is a reliable
measure of the percentage of the total actual time spent on that activity.Work
sampling operates by an observer taking a series of random observations on a
particular "thing" of interest (machine, operating room, dock, etc.) to observe its
"state" (working, idle, sleeping, empty, etc.). When enough samples are taken, an
analysis of the observations yields a statistically valid indication of the states for
each thing analyzed. Assume, for example, that you wish to determine the
proportion of time a factory operator is working or idle. Also assume that 200
random observations were made of the operator and during 24 of these he or she
was observed to be idle. Therefore, you find that the individual is working 176/200
= 88% of the time.
RECRUITMENT
MEANING OF RECRUITMENT:
Recruitment is understood as the process of searching for and obtaining applicants for
jobs, from among them the right people can be selected. Though theoretically
recruitment process is said to end with the receipt of applications, in practice the
activity extends to the screening of applications so as to eliminate those who are not
qualified for the job.
4. Reduce the probability that job applicants once selected would leave shortly
External Factors:
Image
Internal Factors
Recruitment Policy (Internal Hiring or External Hiring?)
Size of the Organization (Bigger the size lesser the recruitment problems)
Cost
RECRUITMENT PROCESS
Recruitment Planning
Number of contacts
Types of contacts
Technological Sophistication
Where to look
How to look
Present employees
Employee referrals
Former Employees
Previous Applicants
Advertisements
Employment Exchanges
Campus Recruitment
Walk-ins Interviews
Consultants
Contractors
Displaced Persons
Competitors
Searching
Source activation
Selling
Screening of Applications
Salary Cost
Advertisement Cost
Producing Supporting literature
Consultant’s fees
Recruitment Cost
Image projection
INTERNAL RECRUITMENT
Advantages Disadvantages
1. Less Costly 1. Old concept of doing things
4. Employee morale and motivation is 5. Morale problem for those not promoted.
enhanced
EXTERNAL RECRUITMENT
Advantages Disadvantages
1. Benefits of new skills and talents 1. Better morale and motivation associated
with internal recruiting is denied
2. Benefits of new experiences
3. Compliance with reservation policy 2. It is costly method
becomes easy
3. Chances of creeping in false positive
4. Scope for resentment, jealousies, and false negative errors
and heartburn are avoided.
4. Adjustment of new employees takes
longer time.
SELECTION:
Selection is the process of picking up individuals (out of the pool of job applicants)
with requisite qualifications and competence to fill jobs in the organization. A formal
definition of Selection is as under
Recruitment Selection
1. Recruitment refers to the process of 1. Selection is concerned with picking up
identifying and encouraging the right candidates from a pool of
prospective employees to apply for applicants.
jobs.
2. Selection on the other hand is negative
2. Recruitment is said to be positive in in its application in as much as it seeks
its approach as it seeks to attract as to eliminate as many unqualified
many candidates as possible. applicants as possible in order to
identify the right candidates.
2. Selection Tests: Jobseekers who past the preliminary interviews are called for
tests. There are various types of tests conducted depending upon the jobs and the
company. These tests can be Aptitude Tests, Personality Tests, and Ability Tests
and are conducted to judge how well an individual can perform tasks related to the
job. Besides this there are some other tests also like Interest Tests (activity
preferences), Graphology Test (Handwriting), Medical Tests, Psychometric Tests
etc.
4. Reference & Background Checks: Reference checks and background checks are
conducted to verify the information provided by the candidates. Reference checks
can be through formal letters, telephone conversations. However it is merely a
formality and selections decisions are seldom affected by it.
5. Selection Decision: After obtaining all the information, the most critical step is
the selection decision is to be made. The final decision has to be made out of
applicants who have passed preliminary interviews, tests, final interviews and
reference checks. The views of line managers are considered generally because it
is the line manager who is responsible for the performance of the new employee.
7. Job Offer: The next step in selection process is job offer to those applicants who
have crossed all the previous hurdles. It is made by way of letter of appointment.
8. Contract of Employment: After the job offer is made and candidates accept the
offer, certain documents need to be executed by the employer and the candidate.
Here is a need to prepare a formal contract of employment, containing written
contractual terms of employment etc.
1. Detailed job descriptions and job specifications prepared in advance and endorsed
by personnel and line management
1. Perception: We all perceive the world differently. Our limited perceptual ability
is obviously a stumbling block to the objective and rational selection of people.
3. Validity: A test that has been validated can differentiate between the employees
who can perform well and those who will not. However it does not predict the job
success accurately.
4. Reliability: A reliable test may fail to predict job performance with precision.
Training Education
Application oriented Theoretical Orientation
Training Development
Training is skills focused Development is creating learning
abilities
Training is presumed to have a Development is not education
formal education dependent
Training needs depend upon lack or Development depends on personal
deficiency in skills drive and ambition
Trainings are generally need based Development is voluntary
Training is a narrower concept Development is a broader concept
focused on job related skills focused on personality development
Training may not include Development includes training
development wherever necessary
Training is aimed at improving job Development aims at overall
related efficiency and performance personal effectiveness including job
efficiencies
Need of Training
Individual level
Group level
On the Job Trainings: These methods are generally applied on the workplace while
employees is actually working. Following are the on-the-job methods.
It is often informal
It is least expensive
1. Job Rotation: In this method, usually employees are put on different jobs turn
by turn where they learn all sorts of jobs of various departments. The objective is to
give a comprehensive awareness about the jobs of different departments. Advantage
– employee gets to know how his own and other departments also function.
Interdepartmental coordination can be improved, instills team spirit. Disadvantage –
It may become too much for an employee to learn. It is not focused on employees
own job responsibilities. Employees basic talents may remain under utilized.
Off the Job Trainings: These are used away from work places while employees are
not working like classroom trainings, seminars etc. Following are the off-the-job
methods;
It is systematically organized
It is often formal
It is least expensive
1. Classroom Lectures
2. Audio-Visual
a. Simulation
b. Case Studies
c. Sensitivity Trainings.
3. Programmed Instructions
5. Laboratory Training
7. Unions influence
1. Management Commitment
“It is a Planned Introduction of employees to their jobs, their co-workers and the
organization per se.”
2. Organization Profile
Purpose of Orientation
1. Formal or Informal
2. Individual or Group
3. Serial or Disjunctive
4. Completion of Paperwork
Orientation was the informal information giving that made the recruit aware of the
comfort issues - where the facilities are, what time lunch is and so forth.How long
should the induction process take?
It starts when the job ad is written, continues through the selection process and is not
complete until the new team member is comfortable as a full contributor to the
organization's goals.
We only employ new people one at a time - how can we induct them?
There are some issues, which cannot wait - they vary according to your situation.
Perhaps a buddy system on the job may be the best way to deal with these. Other
subjects may be incorporated with refresher training for current staff, or handled as
participant in an outside program. Perhaps some can wait until there are groups of
people who have started in the last few months
Change Management
What is creativity?
What is innovation?
Structural Changes
Cultural Changes
Change Defined
"Change is the window through which the future enters your life." It's all around you,
in many types and shapes. You can bring it about yourself or it can come in ways
True success and long-term prosperity in the new world depends on your ability to
adapt to different and constantly changing conditions. The strategic selection of the
best strategic positioning in the playing field, or the Business Space, your firm must
take is complicated by the fact that the characteristics of the Business Space change
over time. Today, the world is a different place than it was yesterday. "At certain
points, the difference becomes material. Successful firms recognize change. Very
successful ones anticipate it."8Evolutionary (Planned) Change versus
Revolutionary Action
Creating Change for Improvement and Competitive Advantage
Change creates opportunities, but only for those who recognize and seize it. "Seeing
is the first step, seizing the second, and continuously innovating is the third." 5
Innovation redefines growth opportunities. Successful change efforts are those where
the choices both are internally consistent and fit key external and situational
variables. "You have to find subtle ways to introduce change, new concepts, and give
feedback to people so that they can accept and grow with it."4
Anticipating Change
PERFORMANCE APPRAISALS
“It is formal, structured system of measuring, evaluating job related behaviors and
outcomes to discover reasons of performance and how to perform effectively in
future so that employee, organization and society all benefits.”
Performance feedback
Promotion
Retention / Termination
Recognition
Lay offs
Training Needs
Goal Identification
HR Systems Evaluation
Reinforcement of organizational
needs
Documentation Validation Research
For HR Decisions
Legal Requirements
5. Performance Interviews
Numerous methods have been devised to measure the quantity and quality of
performance appraisals. Each of the methods is effective for some purposes for some
organizations only. None should be dismissed or accepted as appropriate except as
they relate to the particular needs of the organization or an employee. Broadly all
methods of appraisals can be divided into two different categories.
1. Rating Scales: Rating scales consists of several numerical scales representing job
related performance criterions such as dependability, initiative, output, attendance,
attitude etc. Each scales ranges from excellent to poor. The total numerical scores
are computed and final conclusions are derived. Advantages – Adaptability, easy to
use, low cost, every type of job can be evaluated, large number of employees
covered, no formal training required. Disadvantages – Rater’s biases
3. Forced Choice Method: The series of statements arranged in the blocks of two or
more are given and the rater indicates which statement is true or false. The rater is
forced to make a choice. HR department does actual assessment. Advantages –
Absence of personal biases because of forced choice. Disadvantages – Statements
may be wrongly framed.
4. Forced Distribution Method: here employees are clustered around a high point
on a rating scale. Rater is compelled to distribute the employees on all points on
the scale. It is assumed that the performance is conformed to normal distribution.
Advantages – Eliminates Disadvantages – Assumption of normal distribution,
unrealistic, errors of central tendency.
5. Critical Incidents Method: The approach is focused on certain critical behaviors
of employee that makes all the difference in the performance. Supervisors as and
when they occur record such incidents. Advantages – Evaluations are based on
actual job behaviors, ratings are supported by descriptions, feedback is easy,
reduces recency biases, chances of subordinate improvement are high.
Disadvantages – Negative incidents can be prioritized, forgetting incidents, overly
close supervision; feedback may be too much and may appear to be punishment.
10. Essay Method: In this method the rater writes down the employee description in
detail within a number of broad categories like, overall impression of performance,
promoteability of employee, existing capabilities and qualifications of performing
jobs, strengths and weaknesses and training needs of the employee. Advantage – It
is extremely useful in filing information gaps about the employees that often occur
in a better-structured checklist. Disadvantages – It its highly dependent upon the
writing skills of rater and most of them are not good writers. They may get
confused success depends on the memory power of raters.
11. Cost Accounting Method: Here performance is evaluated from the monetary
returns yields to his or her organization. Cost to keep employee, and benefit the
organization derives is ascertained. Hence it is more dependent upon cost and
benefit analysis.
Ranking Methods: Superior ranks his worker based on merit, from best to
worst. However how best and why best are not elaborated in this method. It is easy
to administer and explanation.
Establish new goals and new strategies for goals not achieved in previous year.
Consistency between strategy and job behavior: Performance appraisal not only is
a means of knowing if the employee behavior is consistent with the overall strategies
focus but also a way of bringing to the fore any negative consequence of the strategy
– behavior fit. Thus the performance appraisal system is an important mechanism to
elicit feedback on the consistency of the strategy – behavior link.
2. Uniformity of appraisals
4. Trained Raters
8. Avoid rating problems like halo effect, central tendency, leniency, severity etc.
10. No room for discrimination based on cast, creed, race, religion, region
etc.
Nature of HR Audit
Basis of HR Audit
(Personnel Research)
1. Wage Surveys
4. Supervisor’s effectiveness
5. Industrial settlements
6. Job Analysis
7. Job Satisfaction Survey
9. Attitude Surveys
Benefits of HR Audit
HR Audit must cover the activities of the department and extend beyond because the
people problems are not confined to HR department alone. Based on this HR audit
can be spread across following four different categories.
Absenteeism
Accidents
Attitude Surveys
Approaches to HR Audit
MOTIVATION
A result of internal and external processes to the individual that arouse enthusiasm
and persistence to pursue a certain course of action
A process that starts with a physiological deficiency or need that activates behavior or
a drive that is aimed at a goal or an incentive.
Meaning of Motivation
Motivation is a set of forces that cause people to behave in certain ways.
1. Individual Needs
4. Increased performance
6. Reassessment of needs
Importance of Motivation
Challenges of Motivation
High productivity
Theories of Motivation
Early Theories
Workers could be more efficient by telling them how they were to do a job
Human Relations Model: Elton Mayo’s human relations model stressed on social
contacts as motivational factor. Greater importance was given to informal groups.
However too much reliance on social contacts to improve productivity was a major
drawback.
Contemporary Theories
Reinforcement categories
ERG theory emphasizes more on three broad needs that is existence, relatedness and
growth. Its hypothesis is that there may be more than one need operating at the same
time. ERG theory further states that when a higher level need is frustrating, the
individual’s desire to increase lower level needs takes place. Thus ERG theory
contains frustration-regression dimension. Frustration at higher level need may lead
to regression at lower level need.
Fredrick Herzberg states that the motivation concept is generally driven by two
factors of motivators of job satisfactions and hygiene factors about job
dissatisfaction. Motivators are generally achievement, recognition, the work itself,
responsibility, advancement and growth, which are related to job satisfaction.
Hygiene factors deal with external factors like company policy, supervision,
administration and working conditions, salary, status, security and interpersonal
relations. These factors are known as hygiene factors or job dissatisfiers, job context
factors.
Morale is attitudes of individuals and groups towards their work environment and
towards voluntary cooperation to the full extent of their ability in the best possible
interest of the organization.
Morale Motivation
1. Composite of feelings, attitudes 1. Motivation moves person to
and sentiments that contribute action.
towards general satisfaction at
workplace. 2. A Process of stimulating
individuals into action to
2. A Function of freedom or accomplish desired goals.
restraint towards some goal.
3. A Function of drives and needs.
3. It mobilizes sentiments.
4. It mobilizes energy.
4. Morale reflects Motivation.
5. Motivation is a potential to
develop morale.
PERSONNEL POLICIES
Basic Needs: Personnel policy helps the management to think deeply about basic
needs of organization and the employees.
Motivation & Loyalty: Personnel policies help build employee motivation and
loyalty.
Fair Play & Justice: Personnel policies reflect established principles of fair play
and justice.
Workers’ participation may be taken to cover all terms of association of workers and
their representatives with the decision-making process, ranging from exchange of
information, consultations, decisions and negotiations to more institutionalized forms
such as the presence of the workers’ members on management or supervisory boards
or even management by workers themselves.
1. Board Level
2. Ownership
3. Complete Control
4. Staff Councils
5. Joint Councils
6. Collective Bargaining
8. Suggestion Schemes
9. Quality Circles
Benefits of Participation
2. Motivates employee
ORGANIZATIONAL DOWNSIZING
Retrenchment:
Lay Offs
Lay of is inability of the employer to provide employment to workers due to
circumstances beyond his control such as shortage of power, coal, breakdown of
machinery, natural calamity etc. It is not a termination of service. Lay off
compensation can be claimed as a statutory right by the worker if he has completed
one year of continuous service or has worked for 240 days on the surface or 190 days
underground in 12 calendar months. Compensation payable is half of the wages.
VRS are announced when there is a huge pool of old aged manpower occupying
senior positions amounting to surplus. Many organizations are providing liberal
incentives to leave before age of superannuating. VRS in other words is a retirement
before the age of retirement.
Organisation Charts:
The organization charts are the sample and an understandable way showing the
formal organization structure-It gives a clear overview of the shape and structure of
an organization.It is an order and the design of an organization captured in a visual
form.It is a blue print or a basis for proper conceptualization, further thinking, a
discussion board for further modifications without affecting the actual changes.
Formal Organisation
Informal Structure
The informal organization is the network, unrelated to the firm's formal authority
structure, of social interactions among its employees. It is the personal and social
relationships that arise spontaneously as people associate with one another in the
work environment. Matrix StructureIn a matrix organization, teams are formed and
team members report to two or more managers. Matrix structures utilize functional
and divisional chains of command simultaneously in the same part of the
organization, commonly for one-of-a-kind projects. It is used to develop a new
product, to ensure the continuing success of a product to which several departments
directly contribute, and to solve a difficult problem. By superimposing a project
structure upon the functional structure, a matrix organization is formed that allows
the organization to take advantage of new opportunities.
Divisional Structure
IMPORTANCE OF HRM
In the 21st century HRM will be influenced by following factors, which will work as
various issues affecting its strategy:
• Size of the workforce.
• Rising employees' expectations
• Drastic changes in the technology as well as Life-style changes.
• Composition of workforce. New skills required.
• Environmental challenges.
• Lean and mean organizations.
• Impact of new economic policy. Political ideology of the Govern¬ment.
• Downsizing and rightsizing of the organizations.
• Culture prevailing in the organization etc.
On the basis of the various issues and challenges the following suggestions will
be of much help to the philosophy of HRM with regard to its futuristic vision:
1. There should be a properly defined recruitment policy in the organization that
should give its focus on professional aspect and merit based selection.
6. 360 degree feedback will further lead to increased focus on customer services,
creating of highly involved workforce, decreased hierarchies, avoiding
discrimination and biases and identifying performance threshold.
7. More emphasis should be given to Total Quality Management. TQM will cover
all employees at all levels; it will conform to customer's needs and expectations; it
will ensure effective utilization of resources and will lead towards continuous
improvement in all spheres and activities of the organization.
8. There should be focus on job rotation so that vision and knowledge of the
employees are broadened as well as potentialities of the employees are increased for
future job prospects.
9. For proper utilization of manpower in the organization the concept of six sigma of
improving productivity should be intermingled in the HRM strategy.
10. The capacities of the employees should be assessed through potential appraisal
for performing new roles and responsibilities. It should not be confined to
organizational aspects only but the environmental changes of political, economic
and social considerations should also be taken into account.
11. The career of the employees should be planned in such a way that
individualizing process and socializing process come together for fusion process and
career planning should constitute the part of human resource planning.
3. New Organizational forms: - The basic challenge to HRM comes from the
changing character of competitions. The competition is not between individual
firms but between constellations of firm. Major companies are operating through a
complex web of strategic alliances, forgings with local suppliers, etc. These
relationships give birth to completely new forms of organizational structure,
which highly depend upon a regular exchange of people and information. The
challenge for HRM is to cope with the implications of these newly networked
relations more and more, in place of more comfortable hierarchical relationships
that existed within the organizations for ages in the past.
7. Renewed People Focus: - The need of today’s world and business is the people’s
approach. The structure, strategy, systems approach which worked in post war era
is no more relevant in today’s economic environment which is characterized by
over capacities and intense competition. The challenge of HR manager is to focus
on people and make them justifiable and sustainable.
8. Managing the Managers: - Managers are unique tribe in any society, they
believe they are class apart. They demand decision-making, bossism, and
operational freedom. However in the post liberalization era, freedom given to
managers is grossly misused to get rid of talented and hard working juniors. The
challenge of HRM is how to manage this tribe? How to make them realize that the
freedom given to them is to enable them make quick decisions in the interest of
the organization and not to resort to witch-hunting.
9. Weaker Society interests: - Another challenge for HRM is to protect the interest
of weaker sections of society. The dramatic increase of women workers,
minorities and other backward communities in the workforce has resulted in the
need for organizations to reexamine their policies, practices and values. In the
name of global competition, productivity and quality the interests of the society
around should not be sacrificed. It is a challenge of today’s HR managers to see
that these weaker sections are neither denied their rightful jobs nor are
discriminated against while in service.
The Client
The client is a leading global automotive OEM headquartered in Japan, with
operations across the United States, Canada and Mexico and over 25,000
employees.
Business Need
Manual procedures and disparate data sources led to inefficient processes and
low productivity
Challenges
Business/Process
Architecture/Technology
Benefits
REFRENCES
1. www.google.com
2. HUMAN RESOUCE MANGEMENT TEXT & CASES BY V.S
RAO.
3. Case studies of HRM.