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Unit 1 HRM: HRD Processes:

HR Planning, selection, appraisal, training, career planning and


compensation.

Human Resource Planning

Human Resource Planning HR planning involves job analysis and forecasting the demand for and supply of labor. Job Analysis Systematic analysis of jobs in an organization Job Description Systematic evaluation of the duties, working conditions,tools, materials, and equipment related to the performance of a job Job Specification Description of the skills, abilities, and other credentials Dr.C.Vijaya Banu required by a job
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Human Resource Planning


Assessing Current Human Resources Assessing Future Human Resource Needs

Developing a Program to Meet Needs


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HR Planning
We have found the gap, how do we fill this void? How much time should we spend on identifying the right person? Lets follow the trail of what it takes to hire a new team member in an oganization.

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The Human Resource Planning Process


Perform Job Analysis

Forecast Demand for Labor

Forecast Internal Supply of Labor

Forecast External Supply of Labor

Develop Plan to Match Demand with Supply

Forecasting HR Demand & Supply


Replacement Charts Listing of each managerial position, who occupies it, how long that person will likely stay in the job, and who is qualified as a replacement

Employee Information System (or Skills Inventory)


Computerized system containing information on each employees education, skills, work experiences, and Dr.C.Vijaya careerBanu aspirations 6

Matching HR Supply & Demand


After comparing future demand and internal supply, managers can make plans to manage predicted shortfalls or overstaffing. If a shortfall is predicted: New employees can be hired. Present employees can be retrained and transferred into understaffed areas. Individuals approaching retirement can be convinced to stay on. Labor-saving or productivity-enhancing systems can be installed .
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Staffing the Organization


External Staffing
The process of acquiring staff from outside the company

Internal Staffing
The process of promoting staff from within the company
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Internal Searches

School Placement

Employee Referrals

Employee Leasing

Recruitment Sources

Temp Services

Employment Agencies

Advertisements
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Recruiting Human Resources


Recruiting
Process of attracting qualified persons to apply for open jobs

Internal Recruiting
Practice of considering present employees as candidates for job openings

External Recruiting
Practice of attracting people outside an organization to Dr.C.Vijaya Banu 10 apply for jobs

Selecting Human Resources


Application Forms (Blanks) Tests Interviews Other Techniques

Validation
Process of determining the predictive value of Dr.C.Vijaya Banu 11 information

Developing Human Resources


Orientation
Process of introducing new employees to the organization so that they can become effective contributors more quickly.

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Reliability
Degree to which selection tool measures the same thing consistently Can be a test or an interview Same questions need to be asked.

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Validity
Relationship between selection tool and appropriate criterion What a selection technique measures and how well it measures Must be proven and relevant to job
Eg: keyboarding skills for data entry clerk.

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The Effectiveness of Interviews


Prior knowledge about an applicant Attitude of the interviewer The order of the interview Negative information The first five minutes The content of the interview The validity of the interview Structured versus unstructured interviews
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The main approaches to attracting applicants can be summarized as follows:


Walk-ins
Employee referrals Advertising Websites Professional associations Educational associations Professional agencies

E-recruitment (general recruitment agents/ companies own sites)


Word-of-mouth

Recruitment and Attraction when forming its recruitment plans and choice of media.These might include: Cost Time taken to recruit and select Labour market focus, for example: skills, profession or occupation Mobility of labour geographic and occupational Legislation on sex discrimination, race discrimination and disability

Job description

Personnel description

Assessment centres are designed to yield


information that can be used to make decisions concerning suitability for a job.

They provide a fuller picture by combining a range


of techniques.

General methods used include group discussions,


role plays and simulations, interviews and tests.

Candidates attending an assessment centre will be


observed by assessors who should be trained to judge candidates performance against criteria contained within the competency framework.
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Performance Appraisal and Feedback


Performance Appraisal
The evaluation of employees job performance and contributions to their organization.

Performance Feedback
The process through which managers share performance appraisal information, give subordinates and opportunity to reflect on their own performance, and develop, with subordinates, plans for the future.
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Performance Appraisal and Feedback


Objective appraisals
Assesses performance based on facts (e.g., sales figures).

Subjective appraisals
Assessments based on a managers perceptions of traits, behavior, or results.
Graphic rating scales Behaviorally anchored rating scales (BARS) Behavior observation scales (BOS) Forced ranking systems
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Who Appraises Performance?

Figure 12.6

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Information Sources
Objective Production Data Personnel Data Absenteeism Turnover Judgement Data Rating Scales Comparison Methods

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Methods
Rating Scales Graphic Rating Scale Employee Comparison Rank Order Paired Comparison Forced Distribution Behavioural Checklists
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BEHAVIOURAL CHECKLISTS
Written essays Critical incidents Graphic rating scales Behaviorally anchored rating scales (BARS) Multiperson comparisons Management By Objectives (MBO) 360 Degree feedback
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360 Degree Performance Appraisal


360 Degree Performance. Combination of self, peer, supervisor, and subordinate performance evaluation

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Rater Biases
The halo effect The error of central tendency The leniency and strictness biases

Personal prejudice
The recency effect

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Guidelines for Effective Performance Evaluation Interviews


Emphasize positive aspects of employees performance Tell each employee that the evaluation session is to improve performance, not to discipline Conduct the performance review session in private with minimum interruptions

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Guidelines for Effective Performance Evaluation Interviews (cont)

Review performance formally at least annually and more frequently for new employees or those who are performing poorly

Make criticisms specific, not general and vague


Focus criticisms on performance, not on personality characteristics

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Training and Development


Training
Teaching organizational members how to perform current jobs and helping them to acquire the knowledge and skills they need to be effective performers.

Development
Building the knowledge and skills of organizational members to enable them to take on new duties and challenges.
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Training and Development

Figure 12.4

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Types of training
Interpersonal skills Technical Business Mandatory Performance management Problem solving/Decision making Personal

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Types of Training
Classroom Instruction
Employees acquire skills in a classroom setting.
Includes use of videos, role-playing, and simulations.

On-the-Job Training
Employee learning occurs in the work setting as new worker does the job.
Training is given by co-workers and can be done continuously to update the skills of current employees.
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Types of Development
Varied Work Experiences
Top managers have need to and must build expertise in many areas.
Employees identified as possible top managers are assigned different tasks and a variety of positions in an organization.

Formal Education
Tuition reimbursement is common for managers taking classes for MBA or job-related degrees.
Long-distance learning can also be used to reduce travel and other expenses for managerial training.
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Employee training methods


Traditional Training Methods On-the-job Job rotation Mentoring and coaching Experiential exercises Workbooks/manuals Classroom lectures
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Technology-BasedTraining Methods
CDROM/ DVD/Videotapes/ Audiotapes Videoconferencing/ teleconferencing/ Satellite TV E-learning or other interactive modules.
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Definition
Effective

Career Planning

is about finding a job that works for you, matching who you are to the life you are going to lead. John Lees
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You are
Qualifications & Experience

Talents & Skills

Values & Passions

Personality & Preferences


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And more

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Career development Career defined The sequence of positions held by a person during his or her lifetime. Career development Provides for information, assessment, and training, Helps to attract and retain highly talented people Boundary less career A career in which individuals, not organisations, define career progression and organisational loyalty Dr.C.Vijaya Banu 40

Suggested Content of Career Plan


Key Motivating Factors Your Values Your Vision Your Strengths (and how to keep your weaknesses in check) Your Development Needs SMART Goals and Rewards on the way Resources needed and support mechanisms Potential Difficulties Timescales (!!!) and Reminders Dr.C.Vijaya Banu

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Career Planning and Development


B. Some Important Current Issues 1. Career plateaus

2. Glass ceiling
3. Work/Nonwork issues

e.g., work/family conflicts


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Providing Compensation & Benefits


Compensation
Set of rewards that organizations provide to individuals in return for their willingness to perform various jobs and tasks

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Determining Basic Compensation


Basic Compensation
The base level of wages or salary paid to an employee Wages: Compensation in the form of money paid for time worked Salary: Compensation in the form of money paid for discharging the responsibilities of a job

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Determining Basic Compensation


Pay Surveys in Compensation
Method used to obtain information about compensation paid to employees by other employers

Job Evaluation
Methods for determining the relative worth of jobs in order to set compensation levels

Establishing a Pay Structure


Compensation for different jobs is based on the organizations assessment of the relative value to the organization of each job class.
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Performance-Based Compensation
Merit Pay Plan
Performance-based pay plan basing part of compensation on employee merit

Skill-Based or Knowledge-Based Pay


Performance-based pay plan rewarding employees for acquiring new skills or knowledge

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Team & Group Incentive Systems


Gainsharing Program
Group-based incentive plan that gives rewards for productivity improvements

Profit Sharing
Group-based incentive plan in which employees are paid a share of company profits

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Indirect Compensation & Benefits


Benefits
Compensation other than wages and salaries

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Mandated Protection Plans


Protect employees when their income is threatened or reduced by illness, disability, death, unemployment, or retirement. Unemployment Insurance: Mandated coverage protecting employees who are laid off Social Security: Mandated federal retirement program Workers Compensation Insurance: Legally required insurance covering workers who are injured or become ill on the job
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Optional Protection Plans


Protect employees in the same manner as mandatory plans, except companies can choose whether or not to provide them.

Private Pension Plan: Prearranged company pensions provided to retired employees

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REFERENCE BOOKS
1. Gary dessler,Human Resource management,Pearson education. 2. K.Aswathappa, Human Resource and Personnel Management-Text and cases,Tata McGraw hill, 3. C.B.Mamaoria and S.V .Gankar, Personnel Management and Industrial relations,Himalaya publications
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