Professional Documents
Culture Documents
Assignment # 1
Submitted to:
Ms. Ayesha Kiyani
Submitted by:
(AH524979)
Question #1: Why HR is called the most important asset and competitive advantage
of any organization in the world?
Answer:
HUMAN RESOURCE
Human resource is a term used to describe the individuals who make up the workforce of an
organization, although it is also applied in labor economics to, for example, business sectors or
even whole nations. Human resources is also the name of the function within an organization
charged with the overall responsibility for implementing strategies and policies relating to the
management of individuals (i.e. the human resources). This function title is often abbreviated to
the initials 'HR'.
The origins of the function arose in organizations that introduced 'welfare management'
practices and also in those that adopted the principles of 'scientific management'. From these
terms emerged a largely administrative management activity, coordinating a range of worker
related processes and becoming known, in time, as the 'personnel function'. Human resources
progressively became the more usual name for this function, in the first instance in the United
States as well as multinational or international corporations, reflecting the adoption of a more
quantitative as well as strategic approach to workforce management, demanded by corporate
management to gain a competitive advantage, utilizing limited skilled and highly skilled
workers.i
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customers and are equally responsible for the profits of the company. This is common sense, but
many companies try to save money by reducing staff and/or hiring people that is not qualified
enough or who is not as experienced as required. That is why human resources professionals
are very important for any organization. They need to be able to find good candidates, train
them, evaluate them, and manage anything that has to do with them; to do this, they need to
know the organization they work for.
"The business's nature has shifted from a concentration on scarce financial capital to a
concentration upon scarce human capital." There is no doubt that financial capital is a key
strategic capital in the period of industrial society. In that time the economic growth depends on
the financial capital and work force. However, the strategic capital of today's society, the
information and knowledge society is human resource. Peter F. Drucker (1993) explains it as
follow: 'The most important, and indeed the truly unique, contribution of management in the
20th century was the fifty-fold increase in the productivity of the manual worker".ii
No matter what kind of company and organization we are talking about. Technology and
money are important, but women and men are the ones who make decisions, negotiate and
execute plans. That is why there are many jobs in HR available, even when the economy is
weak. Organizations understand the importance of HR management; good HR policies are
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necessary to be able to compete. Some jobs in HR include Vice-President Human Resources jobs
and Human Resources Manager jobs. There are also many other start-up positions for recent
graduates and less experienced job-seekers.iii
1. Physical capital resources include the firm’s plant, equipment, and finance
2. Organizational capital resources include the firm’s infrastructure, planning, controlling,
coordinating, and HR systems
3. Human capital resources include the skills, judgment, and intelligence of the firm’s
employees
This article will focus on the characteristics of the firm’s Human Resources, including all of the
knowledge, experience, skills, and commitment of a firm’s employee and their relationships
with each other and with those outside the firm and examine the Value, Rareness, Imitability,
and Organization (VRIO) framework for analyzing sources of competitive advantage, which
can provide Human Resources executives with the tools necessary to analyze how they can
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manage the function to develop a firm’s people as a source of sustainable competitive
advantage.
VALUE
Firms create value through either decreasing the cost or differentiating the product/ service so
they can charge at a premium price. The goal of Human Resource Executives is to create value
through the Human Resource function.
RARENESS
The value of the company’s Human Resource is important, but not sufficient as a competitive
advantage. If the same characteristic of Human Resource is found in many rivals then that
characteristic cannot be used as a source of competitive advantage. Valuable but common
characteristics of Human Resource provide only competitive parity. The challenge of Human
Resource executive is to examine and develop rare characteristics of the company’s Human
Resource to gain competitive advantage.
IMITABILITY
Valuable and Rare characteristic of a company’s Human Resources can provide above normal
profits for the company in short term, however if other firms can imitate these characteristics,
then over the time these characteristics will become competitive parity. The Human Resource
executives should attempt to develop and nurture the characteristics that cannot easily imitate
by the rivals. The point is focus to the importance of a unique history and culture of an
organization. This corporate history and culture will provide a foundation to create competitive
advantages which will be impossible to imitate.
ORGANIZATION
Organization focuses and gives attention on systems. In Order for any characteristic of the
firm’s Human Resources to provide a source of sustained competitive advantage, the firm must
be organized to exploit the resource. Organization requires systems and practices that allow
human resources characteristics to bear the fruit of their potential advantages. This can include
the employee involvement to improve the system and process in the organization. In this
employee involvement, the employee can participate in the decision making and to utilize their
cognitive skills.
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CONSEQUENCES OF POOR HUMAN RESOURCE
Human Resources (HR) Planning is integral to the efficient running and continued success of
businesses, enterprises and even start-up companies. At times, many corporations and business
owners due to circumstances, certain business factors or extraneous issues have a badly
mismanaged top management tier and inconsequential HR departments. The resultant poor
human resource planning has an immediate and long-term impact on organizational
functioning, employee recruitment and management policies and corporate profitability.v
UNMOTIVATED EMPLOYEES
The indifferent attitude of top management and HR quickly filter across organizational levels
and employee hierarchies. Work ethics get affected, there are personality conflicts and
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teamwork becomes non-existent. There is gross underutilization of skills and capabilities of
experienced employees. Other talented professionals are not groomed in a generally negative
working environment. Poor motivation and lack of incentives and recognition lead to poor
performance and even production of poor quality of goods and services.
CONCLUSION
HR is called the most important asset because the organization run by the human being and
human resource are the image of any organization. If the employees are well trained and skilled
then they do work for the organization and show well performance and by which the
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organization earn profit as well as build good image in the competitive environment. The
employees struggled to get competitive advantage by get profit against the competitor.
Human resources are the most important assets a modern organization has because only human
beings can make, transfer and exercise knowledge. And also only human being s can create the
holistic values by planning all the other resources as a whole. So, human beings are the key
roles organization, organization should pay more efforts on HRD. Moreover, organizations
should conform to the new environment of the strategic plans. And the strategic plans of HRD
must relate with the organization's mission and objectives. All in all, people are an
organization's most precious resource, so, organization must attach importance to HRD.
Question #2: (a) What is meant by job analysis? Explain how you would conduct a
job analysis? And how can you make use of the information it provides?
Answer:
JOB ANALYSIS
Job Analysis is a process to identify and determine in detail the particular job duties and
requirements and the relative importance of these duties for a given job. Job Analysis is a
process where judgments are made about data collected on a job.
The Job; not the person An important concept of Job Analysis is that the analysis is conducted of
the Job, not the person. While Job Analysis data may be collected from incumbents through
interviews or questionnaires, the product of the analysis is a description or specifications of the
job, not a description of the person. vi
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training content
assessment tests to measure effectiveness of training
equipment to be used in delivering the training
methods of training (i.e., small group, computer-based, video, classroom...)
COMPENSATION
Job Analysis can be used in compensation to identify or determine:
skill levels
compensable job factors
work environment (e.g., hazards; attention; physical effort)
responsibilities (e.g., fiscal; supervisory)
required level of education (indirectly related to salary level)
SELECTION PROCEDURES
Job Analysis can be used in selection procedures to identify or develop:
PERFORMANCE REVIEW
Job Analysis can be used in performance review to identify or develop:
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METHODS OF JOB ANALYSIS
Several methods exist that may be used individually or in combination. These include:
A typical method of Job Analysis would be to give the incumbent a simple questionnaire to
identify job duties, responsibilities, equipment used, work relationships, and work
environment. The completed questionnaire would then be used to assist the Job Analyst who
would then conduct an interview of the incumbent(s). A draft of the identified job duties,
responsibilities, equipment, relationships, and work environment would be reviewed with the
supervisor for accuracy. The Job Analyst would then prepare a job description and/or job
specifications.
The method that you may use in Job Analysis will depend on practical concerns such as type of
job, number of jobs, number of incumbents, and location of jobs.
Duties and Tasks The basic unit of a job is the performance of specific tasks and duties.
Information to be collected about these items may include: frequency, duration, effort,
skill, complexity, equipment, standards, etc.
Environment This may have a significant impact on the physical requirements to be able
to perform a job. The work environment may include unpleasant conditions such as
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offensive odors and temperature extremes. There may also be definite risks to the
incumbent such as noxious fumes, radioactive substances, hostile and aggressive people,
and dangerous explosives.
Tools and Equipment Some duties and tasks are performed using specific equipment
and tools. Equipment may include protective clothing. These items need to be specified
in a Job Analysis.
Relationships Supervision given and received. Relationships with internal or external
people.
Requirements The knowledge, skills, and abilities (KSA's) required to perform the job.
While an incumbent may have higher KSA's than those required for the job, a Job
Analysis typically only states the minimum requirements to perform the job.
To review other companies’ descriptions of similar jobs. I may even want to check out a book
containing job descriptions in order to locate standard duties for specific positions like
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secretary, executive assistant, accountant, clerk, etc. Use these resources to get a few ideas on
how to word your job description, and how to generate a list of minimum qualifications.
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WRITE A JOB DESCRIPTION (USING DATA TAKEN FROM JOB ANALYSIS)
Once the job analysis has been completed you will be in a better position to:
However, the data extracted from Job Analysis is used to write job specifications. One can either
follow the company’s model for a job description, or can use any other template. Remember to
include a ―revised on date‖ and a mention who made the revision at the bottom of the job
description to help make sure that personnel is using the most up-to-date revision.
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Question #2: (b) Describe the types of information typically found in job
specifications.
Answer:
JOB SPECIFICATION
When compiling the job description you should focus entirely on the functional or operational
side of the position in question. There may be some simple information here, job title, for
example, but it is important that you are clear about what the role entails. It is also important
not to give a false impression of the job to prospective candidates.
The purpose of the job should be clearly stated. This is more than the job title. It is a sort of
overview of the role, for example, 'To maintain all software applications within the business.'
Beyond this, the next step is to outline the main duties associated with the position. This should
not go into minute detail, but should provide enough information to give any applicants a good
feel for what will be required of them.
Other information to be included in the job description might be whom the successful applicant
would be reporting to. It is also important to be clear about any key working conditions, such as
the hours worked, shift patterns and so on. Think about any aspects of the job itself, which
would be central to its successful delivery. Another example might be to state that the job will
require the successful applicant to spend up to 5 nights a month working and living away from
home.vii
As its name suggests, this where you need to think very carefully about the type of person you
are looking for with regard to the job in question. At this point, managers need to be mindful of
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the implications of Employment Legislation. Nothing within the person specification should be
seen to be discriminating either directly or indirectly against any of the six categories specified
in the law.
Having said that, you can state anything you want within the person specification, providing
that you can justify it in terms of the job in question. That is why you should concentrate on the
job description first and then think about the type of person required second. You can, for
example, specify a maximum height, if the job involves working in a confined space, such as for
cabin staff on an aero plane. This can be justified on grounds of health and safety, as someone
too tall would be required to spend each shift stooping.
The person specification should contain information about things like any qualifications
required. These could be academic, professional, or practical (such as clean driving license).
Sometimes companies are looking for someone who has previous experience in a similar role.
Managers should think carefully about the skills, abilities, and aptitudes they are looking for
from the person. Something as basic as cheerful disposition is always good for those, say,
working on reception in a hotel. Try, however, to avoid just putting in clichéd wish-list words:
'Must be a good team player'. This is not necessary if the job is sitting at a desk inputting data
into a machine all day. viii
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It also helps in designing training and development programs.
It helps the supervisors for counseling and monitoring performance of employees.
It helps in job evaluation.
It helps the management to take decisions regarding promotion, transfers and giving
extra benefits to the employees.
Question #3: Do you think job rotation is a good method to use for developing
management trainees? Why or why not?
Answer:
JOB ROTATION
Job rotation is an approach to management development where an individual is moved through
a schedule of assignments designed to give him or her a breadth of exposure to the entire
operation. Job rotation is also practiced to allow qualified employees to gain more insights into
the processes of a company, and to reduce boredom and increase job satisfaction through job
variation.
The term job rotation can also mean the scheduled exchange of persons in offices, especially in
public offices, prior to the end of incumbency or the legislative period. This has been practiced
by the German green party for some time but has been discontinued.
At the senior management levels, job rotation - frequently referred to as management rotation,
is tightly linked with succession planning - developing a pool of people capable of stepping into
an existing job. Here the goal is to provide learning experiences which facilitate changes in
thinking and perspective equivalent to the "horizon" of the level of the succession planning.
For lower management levels job rotation has normally one of two purposes: promotability or
skill enhancement. In many cases senior managers seem unwilling to risk instability in their
units by moving qualified people from jobs where the lower level manager is being successful
and reflecting positively on the actions of the senior manager. Many military jobs use the job
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rotation strategy to allow the soldiers to develop a wider range of experiences, and an exposure
to the different jobs of an occupation.
Many businesses, small and large, are attempting to improve work design systems by
incorporating a job rotation strategy. Job rotation exists when employees rotate across many
positions, in varying intervals and durations, in order to gain exposure to different roles and
functions. When implementing a job rotation program, companies can have employees rotate
only within their home department or across positions in many departments. Although job
rotation strategies may not be practical for all businesses, strategies that are implemented across
lower-level and less specialized positions provide many advantages to businesses and
employees.
BURNOUT REDUCTION
The first advantage of job rotation is burnout reduction. When employees perform the same job
functions each day without variation, they are likely to experience greater feelings of fatigue,
apathy, boredom, and carelessness. Burnout is detrimental to businesses because it tends to
promote decreased productivity, increased absenteeism, and increased likelihood of turnover,
which all lead to organizational dysfunction. However, when employees rotate across different
positions regularly, they experience less boredom, greater task variety, and decreased feelings
of needless repetition.
EMPLOYEE SATISFACTION
The second advantage of job rotation is increased employee satisfaction. Business owners know
that when employees are not satisfied with professional endeavors, they feel demotivated,
unhappy, and irritated, which are detrimental to productivity. However, by allowing
employees to engage in job rotation, employees are likely to experience greater satisfaction by
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identifying strengths and weaknesses. Furthermore, employees are able to test many positions
and subsequently focus on rotating between positions that enhance performance capacity,
which increases their sense of worth and importance within the company.
EMPLOYEE MOTIVATION
The third advantage of job rotation is increased employee motivation. It is important for
business owners to provide opportunities to increase employee motivation because greater
motivation promotes higher levels of organizational commitment and desire to grow within the
company. When employees are given the opportunity to rotate between different positions,
they enhance and improve their skills, abilities, and competencies, which leads to better job
performance and greater likelihood of promotional advancement. Furthermore, employees that
are engaged with a number of different positions throughout a company experience increased
appreciation for coworkers and the interrelation between positions, which decreases animosity
and enhances organizational commitment.
TWOFOLD
The last benefit is twofold, and it is an indirect benefit of job rotation. Job rotation strategies
reduce employee burnout, increase employee satisfaction, and increase employee motivation
and organizational commitment. These three benefits cumulatively influence a business's
turnover rate and workplace injuries. Turnover is greatly reduced because employees do not
experience the fatigue, boredom, and dissatisfaction associated with performing the same job
every day. This, in turn, greatly increases an employee's level of awareness and attention to
detail, which decreases the likelihood of workplace injury or stress.
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JOB ROTATION FOR DEVELOPING MANAGEMENT TRAINEES
In past job rotation was taken with different perspectives, from studying past literature we can
argue that job rotation is helpful for Management training officers (MTO's) to develop their
career. The previous literature of Job rotation was focusing on different areas; let's have a look
what they say. Macleod (2006)says, through job rotation we can improve products flexibility,
employee's satisfaction and reduce the risk of musculoskeletal disorders (MSDs). Job rotation is
a process which decreases employee's monotony, fatigue and boredom created by mass
production and job specialization (Yoder et al. 1958). Job rotation can be used to develop a good
schedule for work (Carnahan et al.). It develops the workers' skills where they can be used in
the absence of other workers.
Job rotation provides a learning opportunity through which MTO's will able to develop their
career. Workers are one of the most important assets that any company possesses
(Tharmmaphornphilas & Norman, 2007). Therefore research on job rotation has been focused
that it is the process of management of employees and to develop their career (Campion et al.,
1994; Hall, 1984; Wexley and Latham, 1981).
Seibert SE et al. (2001) declared job rotation as cross-training, through which employees of any
type of department can learn variety of job skills it is also a practical approach to improve and
expand the job assignments. It is also on-the-job training system to cultivate the future of
management trainee by transferring from one department to another department to increase
their understanding and credentials in different areas (Seibert SE et al. 2001). Job rotation can be
also considered as an alternate for job designing, (Dunning et al. 2005).
When organization implementing job rotation then they must keep in mind about employees
work experience quality rather than quantity. Organization should keep care about employee's
interest, capacity and arrangement of timing, when organization plan for next rotation
(Campion et al., 1994).Therefore again and again job rotation may not be productive; factors
such like employees learning attitude, background, and task similarity should be taken in
consideration for job rotation process.ix
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JOB ROTATION AND EMPLOYEES LEARNING
The relationship between job rotation and employees learning show, that if there is job rotation
then MTO,s will get opportunity of learning. Several models (Campion et al., 1994, Eriksson &
Ortega, 2002) link Job Rotation to employees learning. Erikson and Ortega (2006) explained job
rotation with some theories, according to employees learning theory rotation will make
employees more versatile, employer learning theory says by job rotation employer would able
to know about employees capability. By taking job rotation as an employee's learning tool in an
efficient way, it develops employee (MTO) abilities. According to Campion et al. (1994) job
rotation offer two different effects, first an employee who get rotation opportunity he gets
experience more quickly than other who do not avail rotation. Hence it is a good tool for career
development. Secondly if an employee who gets rotation opportunity acquires experience in
more areas as compare to those who do not get this opportunity. Employees must rotate when
they learn more about their old job, but if new technology is introduced in organization than
employee should focus more on their current job (Ortega, 2001). According to employee
learning theory, employees that are rotate more gain more experience than others. (Eriksson &
Ortega, 2002). Jaime Ortega has clearly explained that there is positive relation between job
rotation and employees learning. According to Jaime Ortega Job rotation provide an
opportunity to employer to learn about employees abilities, It is a learning phenomena and
much profitable than specialization, learning theory claim that employee should be rotated if he
has learnt enough about his current job (Jaime Ortega 2001).By applying statistical tools we
have found that there is a positive relation between job rotation.
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skills. (Stites-Doe). Job rotation is a process of on-the job Training for improving the skills and
understanding of the management trainee. (Chang, 2009)
To learn new ways of cooperating and planning in organization, this will not make effective in
present responsibilities, but will also help them in creating new practices for future (Boud &
Garrick, 1999). Different researcher argue that learning is now important for organization to
survive against competitor (Senge, 1990; Argyris, 1993; Schein, 1993; Boydell et al. 199). They
argue that learning has more importance because organizations have to response quickly to
external environment changes. (Marsick & Watkins, 1999; Chivers et al., 2000). Organization
must anticipate the environment and to highlight the changes to survive in market. Some
scholars say that due to change in external environment, new technology and product arising in
market for those organizations have to acquire new skills and knowledge. Learning is also
important for organizational survival and it also a give competitive advantages to organization.
Question #4: Describe the significance of on-job and off-job training methods in
organizations with examples. What major benefits each of these training methods
provide to employees and organization?
Answer:
TRAINING
The term training refers to the acquisition of knowledge, skills, and competencies as a result of
the teaching of vocational or practical skills and knowledge that relate to specific useful
competencies. The quality of employees and their development through training and education
are major factors in determining long-term profitability of a small business. If you hire and keep
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good employees, it is good policy to invest in the development of their skills, so they can
increase their productivity. Training often is considered for new employees only. This is a
mistake because ongoing training for current employees helps them adjust to rapidly changing
job requirements.
ON-JOB TRAINING
On-the-job training takes place in a normal working situation, using the actual tools, equipment,
documents or materials that trainees will use when fully trained. On-the-job training has a
general reputation as most effective for vocational work.
On-the-job training focuses on the acquisition of skills within the work environment generally
under normal working conditions. Through on-the-job training, workers acquire both general
skills that they can transfer from one job to another and specific skills that are unique to a
particular job. On-the-job training, typically includes verbal and written instruction,
demonstration and observation, and hands-on practice and imitation. In addition, the on-the-job
training process involves one employee—usually a supervisor or an experienced employee—
passing knowledge and skills on to a novice employee.
Co-operative education – university students alternate study semesters with paid work
terms where they work on projects and gain job skills.
Internship – a short-term position with an emphasis on education, not employment.
In-house training – the employer offers formal or semi-formal sessions to help you learn
new systems, applications, procedures or work duties.
External training – the employer sends you to an off-site training program to help you
learn new systems, applications, procedures or work duties. Some employers may send
you to college or university courses.
Computer-based training – you receive training through interactive computer software.
Video learning – you watch videos to learn new information.
Mentoring – you’re paired with a more senior employee and given personal coaching to
help you get up to speed.
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Job rotation – you rotate through several positions in a company, so that you have a
good feel for various parts of the enterprise. For example, some banks have new
managers rotate through positions as tellers, customer service reps, loans officers and
financial planners.
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involved in their jobs. Higher job satisfaction ultimately results in reduced turnover and
higher productivity.
Training reduces the need for employee supervision. Not only does skill-based training
teach employees how to do their jobs better, but it also helps them work more
independently and develop a can-do attitude.
Improves morale of employees- Training helps the employee to get job security and job
satisfaction. The more satisfied the employee is and the greater is his morale, the more
he will contribute to organizational success and the lesser will be employee absenteeism
and turnover.
Less supervision- A well trained employee will be well acquainted with the job and will
need less of supervision. Thus, there will be less wastage of time and efforts.
Fewer accidents- Errors are likely to occur if the employees lack knowledge and skills
required for doing a particular job. The more trained an employee is, the less are the
chances of committing accidents in job and the more proficient the employee becomes.
Chances of promotion- Employees acquire skills and efficiency during training. They
become more eligible for promotion. They become an asset for the organization.
Increased productivity- Training improves efficiency and productivity of employees.
Well trained employees show both quantity and quality performance. There is less
wastage of time, money and resources if employees are properly trained.
Training of employees takes place after orientation takes place. Training is the process of
enhancing the skills, capabilities and knowledge of employees for doing a particular job.
Training process moulds the thinking of employees and leads to quality performance of
employees. It is continuous and never ending in nature.x
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Organization Culture - Training and Development helps to develop and improve the
organizational health culture and effectiveness. It helps in creating the learning culture
within the organization.
Organization Climate - Training and Development helps building the positive
perception and feeling about the organization. The employees get these feelings from
leaders, subordinates, and peers.
Quality - Training and Development helps in improving upon the quality of work and
work-life.
Healthy work-environment - Training and Development helps in creating the healthy
working environment. It helps to build good employee, relationship so that individual
goals aligns with organizational goal.
Health and Safety - Training and Development helps in improving the health and safety
of the organization thus preventing obsolescence.
Morale - Training and Development helps in improving the morale of the work force.
Image - Training and Development helps in creating a better corporate image.
Profitability - Training and Development leads to improved profitability and more
positive attitudes towards profit orientation.
Decision Making-Training and Development aids in organizational development i.e.
Organization gets more effective decision making and problem solving. It helps in
understanding and carrying out organizational policies
Good Leaders:-Training and Development helps in developing leadership skills,
motivation, loyalty, better attitudes, and other aspects that successful workers and
managers usually display.
OFF-JOB TRAINING
Employee training at a site away from the actual work environment. It often utilizes lectures,
case studies, role playing, simulation, etc. See also on the job training.
Off-the-job training takes place away from normal work situations — implying that the
employee does not count as a directly productive worker while such training takes place. Off-
the-job training has the advantage that it allows people to get away from work and concentrate
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more thoroughly on the training itself. This type of training has proven more effective in
inculcating concepts and ideas.
Off the job training involves employees taking training courses away from their place of work.
This is often also referred to as "formal training". Off the job training courses might be run by
the business' training department or by external providers.
Day release (where the employee takes time out from normal working hours to attend a
local college or training centre)
Distance learning / evening classes
Revision courses (e.g. in the accountancy profession, student employees are given blocks
of around 5-6 weeks off on pre-exam courses)
Block release courses - which may involve several weeks at a local college
Sandwich courses - where the employee spends a longer period of time at college (e.g.
six months) before returning to work
Sponsored courses in higher education
Self-study, computer-based training (an increasingly popular option - given that
attendance at external courses can involve heavy cost)
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Ethics: Today's society has increasing expectations about corporate social responsibility.
Also, today's diverse workforce brings a wide variety of values and morals to the
workplace.
Human relations: The increased stresses of today's workplace can include
misunderstandings and conflict. Training can people to get along in the workplace.
Quality initiatives: Initiatives such as Total Quality Management, Quality Circles,
benchmarking, etc., require basic training about quality concepts, guidelines and
standards for quality, etc.
Safety: Safety training is critical where working with heavy equipment , hazardous
chemicals, repetitive activities, etc., but can also be useful with practical advice for
avoiding assaults, etc.
Sexual harassment: Sexual harassment training usually includes careful description of
the organization's policies about sexual harassment, especially about what are
inappropriate behaviors.
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As many courses or seminars invite employees form other companies to attend, this
would allow employees to network and perhaps drum-up business.
Use of specialist trainers and accommodation
Employee can focus on the training - and not be distracted by workxi
Answer:
PERFORMANCE MANAGEMENT
Performance management encompasses two different categories of management. In one
category the performance of the company is analyzed as whole, on the other hand the
employee’s performance is analyzed, or in more explanatory terms an analyst views the
complete performance of a company along with evaluating the efficiency of managers as well as
the heads of companies in achieving goals on the other hand a system is created to evaluate
employee performance to assist them in reaching rational objectives to ensure that the
organization executes tasks in a better way.
Performance management consist activities that ensure that organization goals and
objectives are being met in an effectual and proficient way.
It focuses on the routine of work of the organization, different departments, the process
in building products/service and employees.
Experts say that: ―Employee performance management works best when work is planned and
goals are consistent. This may mean having a clear way to communicate regarding work
expected at the moment and upcoming work. Planning also includes defining expectations of
the employee so that he or she is not broadsided by evaluation criteria not included in
planning.‖
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Setting goals
Planning work
Offering Feedback/reviews
Offering opportunities to learn more in a particular field
Rewarding employees who perform well.
Performance Planning: This is the point where the goals and objectives are recognized
Performance Coaching: This is where a manager intervenes, to give feedback and amend
performance
Performance appraisal: This is where individual performances are formally documented and
the feedback is delivered.xii
A performance problem is any gap that is between the Actual Results and the Desired Results
whereas performance improvement is any effort that is targeted at closing the gap between
Desired Result & Actual Result. However other organization development definitions are
somewhat dissimilar; the Government Office of Personal Management (US) signify that,
―Performance Management consists of a system or process whereby: Work is planned and
expectations are set, Performance of work is monitored, Staff ability to perform is developed
and enhanced, Performance is rated or measured and the ratings summarized and Top
performance is rewarded.‖
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APPLICATION OF PERFORMANCE MANAGEMENT
The principles of performance management are required wherever people interact with their
surroundings to generate the desired outcomes. The performance management approach is
regularly used in the workplace but it can apply wherever people network for instance, society
as a whole, schools, community meetings, sport teams, governmental organizations, political
settings, parties etc. The laws of behavior are same everywhere in the world in spite of the
cultures being varied. Authors Armstrong & Baron (1998) define performance management as
―A strategic and integrated approach to increasing the effectiveness of organizations by
improving the performance of the people who work in them and by developing the capabilities
of teams and individual contributors.‖
The most known performance management system is known as the Self-Propelled Performance
Process (SPPP) It is a self-inspired performance process and has the following characteristics:
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It helps employees to utilize their own talents
EMPLOYEES DEVELOPMENT
―Employees must also be given ways to grow and develop in their field. This means giving
opportunities to work on harder projects, pairing less-skilled employees with expert employees,
and offering team models where employees can direct and make decisions. Greater
responsibility and opportunities to advance in one’s field are essential to maintaining happy
and productive employees.‖ Rewards are a big component in performance management.
However, the greatest rewards are in the monetary form that could be either in salary raises or
even bonuses when the employee’s perform well. Also employees who are considered qualified
to work in a higher level of their work field should also be placed in such positions, that are
higher in rank and have a greater share of responsibility, with an increase in the share of pay of-
course.
Organizations should make sure while conducting a performance management process that
they focus as much on the positive performances as they do on the negative ones. The rewards
announced for positive performances should be tangible; otherwise the organization runs the
risk of being known as a ―negative action‖ organization only.
The job mission statement is actually a definition of the job, in terms of the purpose of the job
keeping in view the product, scope and customers. The objective of this analysis is specifically
to determine the standards of employee performance and key goals for each work position.
After the commitment analysis is the work analysis of a specific job, in terms of the structure of
the job along with reporting and job description. In any case that a job is not available, then an
analysis of the system can be done to draw up a description of the job. The aim of this analysis
is to establish the constant critical objectives as well as the performance standards of all the jobs.
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BENEFITS ACHIEVED WITH PERFORMANCE MANAGEMENT (WHEN ORGANIZATION
IS ALREADY IN PROFITS)
―Planning and setting goals in performance management also creates a system of predictable
rewards for good performance, and consequences for poor performance. This way the employee
can reasonably assume the consequences of work performance, whether good or bad.‖ The
management of systems performance or employees smoothes the process in the successful
delivery of operational and strategic goals; there is a visible and instant connection that links the
use of performance management programs or software’s and the organizational results and
improved business.
The usage of integrated software’s rather than spreadsheet based recording systems proves to
deliver better and significant returns on investment when calculating employee performance.
These results can be derived through a range of direct as well as indirect sales benefits along
with operational efficiency benefits. These results also help in unlocking the dormant
prospective in each employee’s work day, that is the time that each employee spends in the
office, not doing their assigned work/job. Such benefits include the following:
MOTIVATING WORKFORCE
High confidence in bonus payment process
Improving employee engagement because everyone understands how they directly
contribute to organizations high level aims and objectives
Creates transparency in the achievement of goals
Professional development programs work better when aligned directly with achieving
business level goals
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Optimizing incentive plans to particular goals for over achievement and not just
standard business.
It also happens that employees tend to feel that end of the year reviews/performance appraisals
consist of criticisms of the work done in the past year, which was not candidly discussed with
the employee’s. Employees are considered to benefit more from consistent models of
performance management assessments as these give people time to take in hand any issues and
change them.
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REFERENCES
i http://en.wikipedia.org/wiki/Human_resources
ii http://www.writework.com/essay/human-resources-most-important-assets-
modern-organization
iii http://www.articlesbase.com/human-resources-articles/human-resources-the-
most-important-asset-3090210.html
iv http://bizcovering.com/employment/role-of-hr-in-gaining-competitive-
advantage/
v http://www.ehow.com
vi http://www.hr-guide.com
vii http://www.helpwithmanagement.com/employees/write-job-descriptions-
person-specs.php
viii http://www.helpwithmanagement.com/employees/write-job-descriptions-
person-specs.php
ix http://www.articlesbase.com/training-articles/job-rotation-as-career-
development-mechanism-for-management-trainee-officers-mtos-3948197.html
x www.cookeryonline.com/Thesis/Training... - Im Cache - Ähnliche Seiten
xi http://wiki.answers.com/Q/What_are_the_advantages_and_disadvantages-of-
off-the-job-training
xii http://www.mba-tutorials.com/human-resource-management/456-
performance-management.html
xiii http://en.wikipedia.org/iki/Business_performance_management
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