HUMAN

RESOURCE
MANAGEMENT

What is management?

As a noun: it refers to individuals who

exercise leadership in an organization
As a Discipline: It refers to a body of knowledge
and practice
As a process: of planning, organizing, controlling,
leading etc.

Syllabus
Name of Paper:

Human Resource
Management

Syllabus
Module 1: Nature and Scope of HRM
Module 2: HR Planning
Module 3: Recruitment
Module 4: Selection, Placement and Induction
Module 5: Training and Development
Module 6: Internal Mobility & Career Planning
Module 7: Compensation- Wage & Salary Admin
Module 8: HR Records, HR accounting, HR Audit

Module 1: Nature and Scope of HRM

Module 2: HR Planning

Syllabus

Module 3: Recruitment
Module 4: Selection, Placement and Induction
Module 5: Training and Development
Module 6: Internal Mobility & Career Planning
Module 7: Compensation- Wage & Salary Admin
Module 8: HR Records, HR accounting, HR Audit

Books Recommended:
1) Personal & Human Resource Management
by P Subba Rao (Himalaya publications)
2) Human Resource Management
by Biswajeet Patnayak (PHI publications)

Relationship of OT and Other Related

Disciplines

Theoretical

Applied

OT

OB

Organizational
Theory
OD

Organizational
Behavior
P/HR

Organizational
Development

Personnel &
HR

Macro

Micro

Meaning of HUMAN RESOURCES

The total knowledge, skill,

creative abilities, talents and
aptitudes of an organizations
workforce, as well as the value,
attitudes and beliefs of the
individuals involved.

Definition of HRM
The field of management which
has to do with planning, organising,
directing and controlling the
functions of procuring, developing,
maintaining and utilising a labour
force so that the organizational,
social and individual goals are met.

Features of HRM
- HRM is concerned with employees both as
individuals and as a group in attaining goals
- Is concerned with the development of
human resource
- HRM covers all levels(top, middle, low) and
categories (unskilled, skilled, technical,
professional) of employees
- It appeals to the employees in all types of
organizations in the world

Features of HRM
- Is a continuous never ending process
- Integrated approach aiming at attaining
goals of individuals, organisations & society
- Is concerned with managing Human
Resource at work
- Central subsystem of an organization
- Aims at securing unreserved cooperation
from all employees

Similar Terms
= Labour Management
= Labour Administration
= Personnel Management
= Personnel Administration
= Human Capital Management
= Human Asset Management
= Employment Administration
= Employee Employer Relationship
= Industrial Relations

Functions of HRM
Managerial
Functions
- Planning

Operative
Functions
- Employment
- HR Development

- Organising

- Compensation

- Directing

- Human Relations

- Controlling

- Industrial Relations
- Recent Trends

Objectives of HRM
1) To create and utilise an able and
motivated workforce
2) To establish and maintain sound
organisational structure and desirable
working relationships
3) To secure the integration of
individuals and groups with the
organisation

Objectives of HRM
4) To create facilities and opportunities
for individual or group development
5) To attain effective utilisation of
human resources
6) To identify and satisfy individual
and group needs

Objectives of HRM

Social Objectives
Organisational Objectives
Functional Objectives
Individual Objectives

HRM Programming
HRM Objectives
HRM Policies
HRM Procedures
HRM Programmes

HRM Policy:
a set of proposals and actions that act
as a reference point for managers in
their dealings with employees
HRM Procedure:
a well thought out course of action.
It prescribes the specific manner in
which a piece of work is to be done

Role of Human Resources Manager

1) Conscience Role
2) The Counsellor
3) The Mediator
4) The Spokesman
5) The Problem Solver
6) The Change agent

Personnel
Role

Welfare
Role

Role of Personnel
Manager
Clerical
Role

Fire-Fighting
Role

Role of Personnel Manager

Personnel Role
a) Advisory
b) Manpower Planning
c) Training & Development
d) Measurement & assessment of
individual and group behavior

HUMAN
RESOURCE
PLANNING

HUMAN RESOURCE PLNNING

Def:

A process by which an organization should

move from its current manpower position
to its desired manpower position. Through
planning management strives to have the
right number and right kind of people at
the right place at the right time, doing
things which result in both organization
and individual receiving maximum long
run benefit.

HUMAN RESOURCE PLNNING

Def:

Is the process including forecasting,

developing and controlling by which a firm
ensures that it has the right number of
people and the right kind of people at the
right places at the right time doing work
for which they are economically most
useful.

Objectives of HR Planning
1) To recruit and retain the human resources of
required quantity and quality
2) To foresee the employee turnover and make the
arrangements for minimising turnover and filling up
of consequent vacancies
3) To meet the needs of programmes of expansion,
diversification etc
4) To foresee the impact of technology on work, existing
employees and future human resource requirements
5) To improve the standards, skill, knowledge, ability,
discipline

Objectives of HR Planning
6) To assess the surplus or shortage of human resources
and take measures accordingly
7) To maintain congenial industrial relations by
maintaining optimum level and structure of human
resources
8) To minimise imbalances caused due to non
availability of human resources of the right kind,
right number in the right time and right place
9) To make the best use of its human resources
10) To estimate the cost of human resource

Factors affecting HR Planning

Internal
Factors

External
Factors

Factors affecting HR Planning

Internal Factors
- Strategies of the company
- Human Resource Policy of the company
- Formal and Informal groups
- Job analysis
- Time horizons
- Type and quality of information
- Companys production operations policy
- Trade unions

Factors affecting HR Planning

External Factors
- Government Policies
- Level of Economic Development including
future supply of Human Resource
- Business environment
- Information Technology
- Level of Technology
- Natural Factors
- International Factors

Process of Human Resource Planning

Analysing the corporate and unit level strategies
Demand Forecasting
Supply Forecasting
Estimating the net human resource requirements
In case of future surplus- plan for redeployment etc
In case of future deficit- plan for future supply
Plan for recruitment, development, internal mobility
Plan to modify or adjust organisational plan

JOB DESIGN
&
JOB ANALYSIS

Job Design Def:

The process of deciding on the
content of the job in terms of
techniques, systems and
procedures & on the relationships
that should exist between the job
holder and his superiors,
subordinates and colleagues.

Factors affection Job Design

Feedback

Environmental
Factors

Organisational
Factors

Behavioural
Factors

Job
Design

Outcome

Organisational
Productivity
Employee
Satisfaction

Approaches to Job Design

Engineering approach
Human approach
Job Characteristics approach

JOB DESIGN OPTIONS

1) Job Rotation
movement of employee from one job
to another
2) Job Enlargement
adding more and different tasks to a
specialized job to provide greater
variety

JOB DESIGN OPTIONS

3) Job Bandwidth
Narrow job line: construction of job with
few tasks and responsibility
Broad job line: construction of job with a
wide variety and range of task and
responsibility
4) Job Enrichment
means adding duties and responsibilities
that will provide for skill variety, task
significance, autonomy etc.

JOB ANALYSIS
1) Job Terminology description of technical
terminology
2) Task a task is an action or related group of
actions designed to produce a definite result
3) Position is a group of similar tasks and
responsibilities assigned to one individual
4) Job a group of positions that are similar as
to the kind and level of work

JOB ANALYSIS
5) Occupation group of job that are similar
6) Job Analysis the process of determining, by
observation and study and reporting
pertinent information relating to the nature of
a specific job. It is the determination of the
task which comprise the job and of the skills,
knowledge, abilities and responsibilities
required of the worker of a successful
performance and which differentiate one job
from all others

JOB ANALYSIS
7) Job Description an organized, factual
statement of the duties, responsibilities of a
specific job
8) Job Specification a statement of the
minimum acceptable human qualities
necessary to perform a job properly
9) Job Classification a grouping of jobs on
some specified basis such as the kind of work
or pay

JOB ANALYSIS PROCESS

Human Resource Planning

Company Strategies

Teambuilding
Recruitment & Selection

Collection of
Information
Process of
Information
Drafting Job
Description
Drafting Job
Specification

Training & Development

Career Planning
Benefits

Performance Analysis
Job Evaluation
Wage and Salary levels

Job
Analysis

Internal Mobility
Discipline & Grievance
Work Scheduling

Sources of Job Analysis Information

From the employees who actually
perform the job
From other employees such as
supervisors and foremen
From outside observers specially
appointed to watch employees
performing job, such as a job analysts

Job Analysis Information and Facts

Job
Description

Job
Specification

Job Analysis Information and Facts

JOB DESCRRIPTION:containsinformationandfactsabout
-- Job identification: Job title, Location, Job code, Short
name, Department and Unit
-- Job summary: brief job comments, its authority,
responsibility, hazards etc
-- Relation to other jobs (relation with supervisors, peer)
-- Supervision giv/taken, Location in the hierarchy
-- Machine tools and equipments used
-- Condition of work, location of work, working hours,
posture, accuracy, health hazards, occupational disease,
etc
-- Hazards (accidental hazards)

Job Analysis Information and Facts

JOB SPECIFICATION:containsinformationandfactsabout
-- Education
-- Experience
-- Training
-- Judgement
-- Initiative
-- Physical effort
-- Physical skills
-- Communication skills
-- Emotional characteristics
-- Usual sensory demands like- vision, smell, hearing

Techniques for Data Collection for Job Analysis

i) Interviews
ii) Direct Observation
iii) Maintenance of log records
iv) Questionnaires
v) Critical incident techniques

RECRUITMENT,
SELECTION,
PLACEMENT &
INDUCTION
Please refer to the book

Human Resource
Training & Development

HRD in the organizational context as:

A process by which the employees of an
organization are helped in a continuous
planned way to:

i) Acquire or sharpen capabilities

required to perform various functions
associated with their present or
expected future roles

HRD in the organizational context as:

ii) Develop their general capabilities as
individuals and discover and exploit their
own inner potentials for their own or
organizational development purpose
iii) Develop an organizational culture in
which superior subordinate
relationship, team work and collaboration
among sub units are strong and
contribute to the professional well being,
motivation and pride of employees

Features of Human Resource Development

1) Is a systematic and planned approach for
the development of individuals in order to
achieve organizational, group and
individual goals
2) Is a continuous process for the
development of technical, managerial,
behavioral and conceptual skills and
knowledge
3) Develops the skills and knowledge not
only at the individual level, but also at
group and organizational level

Features of Human Resource Development

4) Is multi disciplinary. Draws inputs from

various disciplines
5) Is embodied with techniques and
processes
6) Is essential not only for manufacturing
and service industry but also for
information technology industry

Need For Human Resource Development

1) Changes in Economic Policies
2) Change in Job requirement
3) Need for Multi-skilled Human Resource
4) Organizational viability & transformation
process
5) Technological advances
6) Organizational complexity
7) Human relations

Objectives of HRD
- To prepare the employee to meet the present
and changing future job requirement
- To prevent employee obsolesce
- To develop creative abilities and talents
- To prepare employee for higher level jobs
- To impart new employees with basis HRD
skills
- To aid total quality management
- To ensure smooth and efficient working of
the organization

Functions of HRD
1)Performance Appraisal
2)Employee Training
3)Executive Development
4)Career Planning and Development
5)Succession Planning and Development
6)Organization change
7)Involvement in Social and Religious
Organizations
8)Involvement in Quality Circles
9)Involvement in Workers Participation in
Management

Techniques of Human resources Development

1) Performance Appraisal
2) Potential Appraisal
3) Career Planning
4) Career Development
5) Employee Training
6) Executive Development
7) Organizational Change
8) Organizational Development

Techniques of Human resources Development

9) Social and Cultural Programs
10) Workers Participation in Management
11) Quality Circles
12) Employee Counseling
13) Team Work
14) Role Analysis
15) Communication Policies and Practices

Techniques of Human resources Development

16) Monetary Rewards
17) Non Monetary Rewards
18) Employee Benefits
19) Grievance Mechanism

HRD outcomes
a) Training makes people more competent
b) There is greater clarity of norms and standards
c) People become more committed to their jobs
d) People develop greater trust and respect for each
other
e) Greater collaboration and team work
f) Helps induce multi-skills to employees

Advantages of Multi - Skills

- To identify avenues of job rotation
- To assist in manpower planning
- Maximize utilization of manpower resources
- To take care of succession plan
- To remove monotony
- To keep morale high

Functions of HRD Managers

1) Role Analysis

10) Mgmt Development

2) H R Planning

11) Career Planning

3) Recruitment

12) Organi Development

4) Selection

13) Compensation

5) Placement

14) Social/ Cultural Progs

6) Induction

15) WPM

7) Appraisal

16) Quality Circles

8) Training

17) Counseling

9) Teamwork

18) Grievance Mechanism

Employee
Training

Definition
-Training refers to an organizations efforts
to improve an individuals ability to perform
-The organized procedure by which people
learn knowledge and/or skill for a definite
purpose
-The act of increasing the knowledge & skill
of an employee for doing a particular job
Thus training bridges the differences
between job requirements and employees
present specifications

Training enhances the 4 Cs

Competence
Commitment
Creativity
Contribution

Benefits of Training
- Improves profitability
- Improves job knowledge
- Aids organizational development
- Organizations become more effective
- Increases productivity
- Helps better decision making
- Helps individuals handle stress
- Improves communication between group
and individuals

Need for Training

1) To match employee specifications and
Job requirements
2) To Cope with Technological advances
3) To refresh knowledge and practice of
employees
4) To update employee knowledge
5) To provide behavioral insights

Need for Training

6) To enhance Human Relations
7) To fit employee for promotion
8) To prepare employee for change in job
assignment
9) To impress the employee that
management is interested in them
10) To kindle inventive intelligence
(creativity)

Advantages of Training
a) Increases the quality & quantity of production
b) Accomplishes basic safety needs
c) Little supervision needed
d) Minimize rate of accidents
e) Reduce dis-satisfaction
f) Minimize wastages
g) Organizational stability and flexibility
h) Smooth transfer of jobs
i) Tool for problem solving

Functions of HRD Managers

1) Role Analysis

10) Mgmt Development

2) H R Planning

11) Career Planning

3) Recruitment

12) Organi Development

4) Selection

13) Compensation

5) Placement

14) Social/ Cultural Progs

6) Induction

15) WPM

7) Appraisal

16) Quality Circles

8) Training

17) Counseling

9) Teamwork

18) Grievance Mechanism

Training Need Assessment

Recognize that a problem exists
Identification of the real problem
Considering the possible solutions

Training
Solutions

Non Training
Solutions

Training Need Assessment

Methods used to asses the training needs

1) Identifying specific problems

2) Anticipating future problems
3) Managements requirements
4) Observation
5) Interviews
6) Group conferences
7) Questionnaire survey

Training Need Assessment

Methods used to asses the training needs

8.Test or examinations
9.Check lists
10.Performance appraisal
11.Organizational / Departmental
requirements/weakness
12.Job specification and employee
specification

Training Need Assessment

Another way of doing need assessment

Organizational Analysis
Task Analysis
Man Analysis

Training Methods

On - the - job
Methods

Off - the - job

Methods

Training Methods
On-the-Job Methods
1) Job Rotation
2) Coaching
3) Job Instruction
4) Training through step by step
5) Committee assignments
6) Induction
7) Apprentice training
8) Deputation

Training Methods
Off-the-Job Methods
1) Vestibule School
2) Role Playing
3) Lectures
4) Conference
5) Case Study
6) T-Group
7) Business Games
8) Workshops/ Seminars

Steps in Training Program

Identifying Training Needs
Getting ready for the job (prepare Trainer)
Preparation for the learner
Application of training programs
Performance try out
Follow up

Evaluation of Training Program

1) Feed back Method

2) Survey Method
3) Before and after training
4) Before & after with control group

Evaluation of Training Program

Immediate assessment of trainees
reactions of the program
Trainees observation
Evaluation of trainee skills before and
after training
Measurement of improvement in trainees
job behavior
Cost-Benefit analysis
Measurement of specific behavior
(absenteeism, wastage, turnover etc)

MANAGEMENT
DEVELOPMENT

Management Development:
A systematic process of
growth and development by
which the managers
develop their abilities to
manage

Objectives of Management Development

1) To overhaul the management machinery
2) To improve the performance of managers
3) To identify persons with potential for
higher positions
4) To increase morale
5) To keep the executives abreast with the
developments
6) To improve thought process and analytical
ability
7) To stimulate creative thinking
8) To broaden outlook

ON the Job Techniques

Methods of Management Development

Coaching
Job Rotation
Under Study
Multiple Management

OFF the Job Techniques

Methods of Management Development

Case study
Incident method
Role Playing
In Basked method
Business game
Sensitivity training
Simulation
Grid training
Conferences
Lectures

Recent Developments

Methods of Management Development

Electronic MDPs
Multimedia MDPs

PERFORMANCE
APPRAISAL

Meaning of Performance Appraisal

Performance appraisal is a method of
evaluating the behavior of employees in
the work spot, normally including both
the quantitative and qualitative aspects
of job performance
The process of Performance
Appraisal helps the employee and the
management to know the level of
employees performance compared to
the standard/pre-determined level

Some Important features of

Performance Appraisal
-- PA is a systematic description of an
employees job-relevant strengths and
weaknesses
-- The basic purpose is to find out how
well the employee is performing the job
and to establish a plan for improvement
-- PA are arranged periodically according
to a definite plan
-- PA is a continuous process

PURPOSE for Performance Appraisal

1)To Create and maintain a
satisfactory level of performance
2)To contribute to employee growth
and development
3)To help the superiors to have a
proper understanding about their
subordinates
4)To facilitate fair and equitable
compensation based on
performance

PURPOSE for Performance Appraisal

5)To facilitate for testing and validating
the selection process
6)To provide information for making
decisions regarding lay-off,
retrenchment etc
7)To ensure organizational
effectiveness through improved
standards
8)To guide the job changes

Evaluation Process
Establish performance standards
Communicate performance expectations
to employees
Measure actual performance
Compare actual with standards
Discuss the appraisal with employees
If necessary, initiate corrective action

Content of Performance Appraisal

1) Regularity of Attendance

12) Area of Stability

2) Self Expressing: Written and Oral

13) Initiative

3) Ability to work with others

14) Technical Skills

4) Leadership style and abilities

15) Creative Skills

5) Technical Ability/ Knowledge

16) Areas of Interest

6) Ability to grasp new things

17) Judgment Skills

7) Reasoning Ability

18) Integrity

8) Originality and Resourcefulness

19) Honesty and Sincerity

9) Capability for assuming responsibility 20) Job Knowledge

10) Level of acceptance of subordinates

21) Organizational knowledge

11) Knowledge of Systems & Procedures 22) Quality of suggestions

Methods of
Performance Appraisal

Traditional
Methods

Modern
Methods

Methods of Performance Appraisal

Traditional Methods
1) Straight ranking method
2) Graphic rating scales
3) Paired comparison method
4) Grading
5) Forced choice distribution method
6) Checklist method
7) Critical incident method
8) Group appraisal method
9) Free form or Essay method
10) Confidential reports

Methods of Performance Appraisal

Modern Methods
1) Behaviorally Anchored Rating
Scales
2) Management by Objectives
3) Human Resource Accounting
4) Assessment Center
5) Psychological Appraisal

How to construct BARS

1)Collect critical incidents
2)Identify performance dimensions
3)Reclassification of incidents
4)Assigning scale values to the
incidents
5)Producing the final instrument

Problems of Performance Appraisal

Halo Effect
Error of Central tendency
Leniency and Strictness
Personal Prejudice
The Recency Effect

CAREER PLANNING
AND
DEVELOPMENT

Meaning of Career Planning

A Career is a sequence of separate but

related work activities that provides
continuity, order & meaning in a persons
life
according to Edwin B Flippo

Meaning of Career Planning

Terms in Career Plan
-- A career path is the sequential pattern of jobs
that form a career path
-- Career goals are the future positions one
strives for as a part of a career
-- Career planning is the process by which one
selects career goals and the path to these goals
-- Career development is those personal
improvements one undertakes to achieve a
personal career plan

Need for Career Planning

1)To attract competent persons and to retain them
in the organization
2)To provide suitable promotional opportunities
3)To enable the employees to develop and make
them ready to meet future challenges
4)To increase the utilization of managerial reserves
within an organization
5)To correct employee placement
6)To reduce employee dissatisfaction and turnover
7)To improve motivation and morale

Process of Career Planning and Development

Analysis of individual skills, knowledge etc
Analysis of career opportunities both within and
outside the organization
Analysis of career demands of the incumbent
Relating specific jobs to different career
Formulating career strategy covering areas of
change and adjustment
Preparing and implementing action plan

Succession Planning
It is to identify, develop and
make the people ready to
occupy higher level jobs as and
when they fall vacant.

Career Development
There are four steps in establishing career
development system:
1) Needs defining the present system
2) Vision determining new direction and
possibilities
3) Action plan deciding on practical first
steps
4) Results maintaining the change

Career Development Actions

i) Job Performance
ii) Exposure
iii) Resignations
iv) Change the job
v) Career Guidance

INTERNAL
MOBILITY
Promotion,
Transfer and
Demotion

PROMOTIONS
Promotion is advancement of an employee
to a better job better in terms of greater
responsibility, more prestige or status,
greater skill & increased rate of pay/ salary
Promotion is the upward reassignment of
an individual in an organization's
hierarchy, accompanied by increased
responsibilities, enhanced status and
usually with increased income though not
always so

PROMOTIONS

The main conditions of promotions are:

i) Reassignment of higher level job to an
employee than what he is presently
performing
ii) The employee will be delegated with
greater responsibility and authority
iii) Promotion normally accompanies
higher pay

Types of Promotion
1) Vertical Promotion
2) Upgradation
3) Dry Promotion

Purpose of Promotion
1)To utilize employees skill, knowledge at
appropriate organizational levels
2)To develop competitive spirit and inculcate a
zeal in employees
3)To develop competent internal source of
employees ready to take up jobs at higher levels
4)To promote employees self development and
reduce turnover
5)To promote feeling of content
6)To promote interest in training
7)To build loyalty and boost morale
8)To reward committed and loyal employees

Bases of Promotion
-- Merit as a Basis of Promotion
-- Seniority as a Basis of Promotion

Promotion Program
It must be consistent, impartial and a
planned activity
1) Establish a plan of jobs
2) Trace transfer routes
3) Prepare the employee for advancement
4) Communicate the policy
5) Keep records
6) No force to be used
7) Proper ratio (new recruits and own employees promoted)

TRANSFER
A transfer is a change in job assignment. It
may include a promotion, demotion, or no
change at all in responsibility and status

Horizontal or lateral movement of a person

in an organization

Reasons of Transfer
1)To satisfy organizational requirements
2)To satisfy the employees needs
3)To properly utilize the services on an employee
4)To adjust the workforce of one plant with another
5)To replace an employee
6)To help employees work according to their
convenience
7)To avoid interpersonal conflict
8)To avail training else where
9)To minimize fraud, bribe etc
10)To punish the employee

We Have:
-- Inter-departmental transfer
-- Intra-departmental transfer

Types of Transfer
a) Production Transfer
b) Replacement transfer
c) Rotation transfer
d) Shift Transfer
e) Remedial Transfer
f) Penal transfer

Demotion
Is the assignment of an individual to a job
of lower rank and pay involving lower level
of difficulty and responsibility
Causes of Demotion:
Adverse organization condition
Performance of a person
Disciplinary action

(layoff)

WAGE & SALARY

ADMINISTRATION

Wage & Salary Administration

Wage and salary administration
is essentially the application of a
systematic approach to the
problem of ensuring that
employees are paid in a logical,
equitable and fair manner.

Wage:
the remuneration paid by the employer
for the services of hourly, daily, weekly
and fortnightly employees.

Salary:
the remuneration paid to the clerical and
managerial personnel employed on
monthly or annual basis

Earnings:
are the total amount of remuneration
received by an employee during a given
period

Nominal Wage:
It is the wage paid or received in
monetary terms. Also known as money
wage

Real Wage:
is the amount of wage arrived after
discounting nominal wage by the living
cost is the purchasing power of money

Take home salary:

is the amount of salary left to the
employee after making authorized
deductions

Minimum Wage:
remuneration which may be sufficient
to enable a worker to live in reasonable
comfort, having regard to all obligations
to which an average worker would
ordinarily be subject to

Living Wage:
is the highest amount of remuneration
and naturally it would include the
amenities which a citizen living in a
modern civilized society is entitled to
expect

Fair Wage:
fair wages are equal to that received by
workers performing work of equal skill,
difficulty or unpleasantness

Incentive Wage:
is the amount of remuneration paid to a
worker over and above the normal wage
as an incentive contribution to the
increased production or saving in time or
material

Objective of Wage and

Salary Administration
To acquire qualified competent personnel
To retain the present employees
To ensure desired behavior
To keep labor and administrative costs
To facilitate pay roll
To pay according to content & difficulty

Factors Affecting Wage/Salary Levels

1) Remuneration in Comparable Industries
2) Firms ability to Pay
3) Cost of Living
4) Productivity
5) Union Pressure and Strategies
6) Government Legislations

Wage Legislation

Job Analysis

Job Description &

Specification

Job
Evaluation

Wage survey,
analysis of
organizational
problems

Wage Structure

Rules of
Administration

Differential
Employee Appraisal

Performance Standards

Wage Payments

Wage Determination Process

Wage board and

Pay Commissions
Wage policies are formulated by the
following institutions in India:
1) Collective Bargaining
2) Wage Boards
3) Pay Commissions

INCENTIVES
-- It refers to a plan that provide extra
pay for extra performance in addition
to regular wage for a job.
-- Incentive Scheme is a plan or
programme to motivate an individual
or group performance

Types of Incentives

Extrinsic

Intrinsic

Types of Incentives
Extrinsic
I} Direct Compensation
-- Basic wage or salary

-- Overtime and Holiday premiums

-- Performance bonus
-- Profit sharing
-- Stock Options

Types of Incentives
Extrinsic
I} Direct Compensation
II} Indirect Compensation
-- Protection Programs
-- Pay for time not worked
-- Services

Types of Incentives
Extrinsic
I} Direct Compensation

II} Indirect Compensation

III} Non Financial Compensation

-- Preferred office furnishing
-- Preferred lunch hours
-- Preferred work assignments
-- Assigned Parking spaces
-- Business Cards
-- Own Secretary
-- Impressive Job Titles

Types of Incentives
Extrinsic

Intrinsic

I} Direct Compensation
II} Indirect Compensation
III} Non Financial Compensation

1) Participation in Decision Making

2) Greater job freedom and direction
3) More responsibility
4) More interesting work
5) Opportunity for personal growth
6) Diversity of activities

Important Wage Incentive Plans

1)Halsey Premium Plan
2)Halsey Weir Premium Plan
3)Rowan Premium Plan
4)The Bedeaux Point Plan
5)Taylors Differential Piece Rate Plan
6)Emerson Efficiency Plan
7)Accelerating Premium Systems
8)Profit Sharing
9)Gnatt Task Plan
10)Merries Multiple Piece Rate Plan

Human Resource
Records &
Reports

Meaning of Records:
Records refer to the informational
documents utilized by an organization
to carry out its functions.
Types of Records:
Two types --- Conventional and Modern
Conventional: papers, cards, charts, files,
blue prints etc
Modern: Video, audio cassettes, magnetic
tapes, floppy, diskettes etc

Importance of Records
1)To supply information required by
management
2)To identify training needs
3)To use them for succession planning
4)To know validity of employment tests and
interviews
5)To take personnel decisions like transfer,
promotion etc
6)To maintain up to date data about
everything in organization

Some examples of Records

Employee turnover record
Absenteeism record
Accident frequency and severity
Scrap-loss record
Employee requests
Grievance records
Personnel inventories
Time standards and output records
Cost of training methods
Employee use of services such as canteen
Payroll data
Health records
Suggestions records

Principles of Record Keeping

a)The purpose for which the record is kept
must be justifiable
b)Records must be capable of verification
c)Records must be classified
d)The requisite information must be
available when needed
e)Records must be produced and
maintained at a reasonable cost
f) Records must be precise

Reports
A report is an account or statement
describing in detail an event, a happening
or evaluating an enterprise or product etc.

Essentials of a good Report

i) Should deal with a specific objective
ii)Should dwell on the issues referred
iii)Data collected should be interpreted
honestly
iv)Should make specific recommendations
v)Should be timely
vi)Should be clearly worded
vii)Should be reader oriented

Human Resource
AUDIT

AUDIT:
An audit is a review and
verification of completed
transactions to see whether they
represent a true state of affairs of
the business or not.

HR audit refers to:

1)The measurement of the
effectiveness of the human resource
managements mission, objective,
strategies, policies, procedures,
programmes and activities
2)The determination of what would or
should not be done in the future as
a result of such measurement.

Objectives of HR audit
1)To review the whole system of
management programmes
2)To seek explanations and information
3)To evaluate the extent to which line
managers have implemented the
policies
4)To evaluate the personnel staff and
employees

Areas of HR Audit
1)Mission statement relating to HRM
2)Objectives, goals & strategies of HRM
3)Accomplishments of HRM
4)Programmes of HRM
5)HRM policies
6)Role of HRM in TQM

Human Resource
Research
Personnel Research

Human Resource Research Personnel research

the task of searching for and analyzing

of facts to the end that personnel
problems may be solved of principles
and laws governing their solution
derived

Objectives of HR Research
1)To measure and evaluate present
conditions
2)To predict future conditions and
behavioral patters
3)To evaluate the effects and results of
current policies
4)To appraise proposed policies
5)To keep management abreast of its
competitors
6)To discover new means of strengthening
the abilities and attitudes of employees

Need of HR Research
1)To build upon existing knowledge
2)Evaluation of proposed
programmes, practices, activities
3)Evaluation of current and new
policies
4)Anticipation of personnel problems

Human Resource
Accounting

Human Resource Accounting:

Is the process of identifying and
measuring data about human
resources and communicating this
information to interested parties
It deals with investments in peoples
and with economic results of those
investments

Thus it essentially involves:

a) Measurement and valuation of
human resources
b) Communicating the relevant
information to management and
external users

Knowledge
Management

Knowledge:
Is the capacity for effective action. The
organized data are information. the
processed information in the actionable
form is referred to as knowledge

Wisdom:
The knowledge becomes wisdom when
it is used for a good cause of a large
number of people

Hierarchy of Knowledge
Wisdom
Knowledge
Information
Data

What is Knowledge Management

a systematic, explicit and
deliberate building, renewal and
application of knowledge to
maximize an enterprise knowledgerelated effectiveness and returns
from its knowledge assets

Knowledge Management helps the

organization to:
Improve organizational effectiveness
Improve the returns
Build competencies/ competitive advantage
Create greater value for core business
See the opportunities and exploit them

Four Dimensions of Intellectual Capital

1)Human Capital : skills, knowledge, attitude,
abilities, values etc of organizations people

2)Structural Capital: explicit rules based

knowledge embedded in the organizations work

process, systems encoded in written policies,
shared databases of best practices, patents,
copyrights

3)Social Capital: it is reflected in the ability of

groups to collaborate and work together. Social
capital makes workers into colleagues

4)Customer Capital: captures all client

relationships

Environmental
Scanning of
HRM
Legal

External
Technology
Internal
Orgi
Objectives

Marketing

Political
Orgi
Politics

HRM

Finance
Economic

Social

Customers

Trade
Unions
Production

Orgi
Structure

HR in
country

Kindly refer to the

TEXT books for indepth knowledge of the
subject and to be better
prepared for the exams.

THANKYOU
Presented By:

Rakesh. N

Ph:9739664822
Email:rakesh.nagaraj@rediffmail.com