Human resource-management book @ bec doms bagalkot mba


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Human resource-management book @ bec doms bagalkot mba

  1. 1. 1Human-Resource-Management BSPATIL
  2. 2. 2 HUMAN RESOURCE MANAGEMENTUnit – I Human Resource Management – Definition – Objects and functions – Role and structure of personnelfunction in organizations – Personnel principles and policies.Unit – II Human Resource Planning – Characteristics – Need for planning – HRP Process – Job analysis – Job design –Job description – Job specificationUnit – III The Selection Process – Placement and induction – ‘Training and development – Promotion – Demotions –Transfers – SeparationUnit - IV Wage and Salary Administration – Factors – Principles – Compensation plan – Individual – Group –Incentives – Bonus – Fringe benefits – Job evaluation – Wage and salary administration in relation to personaltaxation.Unit – V Employee Maintenance and Integration – Welfare and safety – Accident prevention – Administration ofdiscipline – Employee motivation – Need and measuresUnit – VI Personnel Records/Reports – Personnel research and personnel audit – Objectives – Scope and importance. BSPATIL
  3. 3. 3 UNIT – I HUMAN RESOURCES MANAGEMENT – AN INTRODUCTIONManagement of Men is a Challenging job. In any organisation, “The management of Man” is a very important and challenging job; It is importantbecause it is getting a job done, not of managing but of administering a social system. The management of men is achallenging task because of the dynamic nature of the people. People are responsive; hey feel, think, and act,therefore, they cannot be like a machine or shifted and altered like a template in a room layout. They, therefore, needa tactful handling by management personnel. If manpower is properly utilized, it may prove a dynamic motive forcefor running an enterprise at its optimum results and also work as an excellence output for maximum individual andgroup satisfaction in relation to the work performed. Manpower management is a most crucial job because “managing people is the heart and essence of being amanager.” It is concerned with any activity relation to human elements or relations in organisatoin. Material elements,however, are beyond its domain. This view has been rightly summed up by J.M. Deitz (of Chicago). He observes: “Abusiness or an industry can be thought of as an inter-weaving of human elements and material elements, with thehuman elements as the warp; while inter-locking and inter-weaving with this element are the material elements – thewoof of the fabric. The wrap of the fabric is the human element appearing and reappearing, strength giving elementholding the entire fabric together, and giving it life and a character of continuity.” A business cannot succeed if thishuman element is neglected.Importance of Human Resources Management Yodder, Heneman had discussed about the importance of human resource management from threestandpoints, viz, social, professional and individual enterprise. (A) Social Significance: Proper management of personnels, enhances their dignity by satisfying their social needs, this it does by: (a) maintain a balance between the jobs available and the jobseekers. According to the qualifications and needs; (b) providing suitable and most productive employment, which might bring them psychological satisfaction; (c) making maximum utilization of the resource in an effective manner and paying the employee a reasonable compensation in pro portion to the contribution made by him; (d) eliminating waste or improper use of human resources, through conservation of their normal energy and health; and (e) by helping people make their won decisions, that are in their interests. (B) Professional Significance: By providing healthy working environment it promotes team work in the employees. This it does by: (a) maintaining the dignity of the employee as a ‘human-beings’ (b) providing maximum opportunities for personnel development; (c) providing healthy relationship between different work groups so that work is effectively performed (d) improving the employee’s working skill and capacity; (e) correcting the errors of wrong postings and proper reallocation work. (C) Significance for Individual Enterprise: It can help the organisatoin in accomplishing its goals by; (a) creating right attitude among the employees through effective motivation; (b) utilizing effectively the avail able human resources; and (c) securing willing co of the employees for achieving goals of the enterprise and fulfilling their own social and other psychological needs of recognition, love, affection, belongingness, esteem and self-actualization. HUMAN RESOURCES MANAGEMENT – DEFINITIONS BSPATIL
  4. 4. 4 Walton (1985), have attempted to define the Human Resource Management as, it is process of stressesmutually between employers and employees in following ways:Mutual goals, mutual influence, mutual respect, mutual rewards, mutual responsibility. The theory is that policies ofmutuality will elicit commitment which in turn will yield both better economic performance and greater humandevelopment. Beer and Spector (1985) emphasized a new set of assumptions in shaping their meaning of HRM. • Proactive system wide interventions, with emphasis of ‘fit; linking HRM with strategic planning and cultural change. • People are social capital capable of development. • Coincidence of interest between stakeholders can be developed. • Seek power equalization for trust and collaboration. • Open channel of communication to build trust and commitment • Goal orientation • Participation and informed choice.Objectives of Human Resources Management One of the basic principles of management is that: all the work performed in an organisatoin should, in someway, directly or indirectly contribute to the objectives of that organisation. This means that the determination ofobjectives, purposes or goals is of prime importance and is a prerequisite to the solution of most managementproblems. Objectives are pre determined ends or goals at which individual or group activity in an organisatoin isaimed. The formations of the objectives of an organisation is necessary for the following reasons:i) Human beings are goal-directed. People must have a purpose to do some work. Announced organizational goals invest work with meaning.ii) Objectives serve as standards, against which performance is measured.iii) The setting of goals and their acceptance by employees promotes voluntary co-operation and co-ordination, self-regulated behavior is achieved.iv) The objectives stand out as guidelines for organsiational performance . They help in setting the pace for action by participants. They also help in establishing the “character” of an organisatoin. Ralph C, Davis has divided the objectives of an organisatoin into two categories: (a) Primary objectives, and (b) Secondary objectives. a. Primary objectives, in the first instance, relate to the creation – and distribution of some goods or ser ices. The Personnel Department assists those who are engaged in production, in sals, in distribution and in finance. The goal of personnel function is the creating of a work force with the ability and motivation to accomplish the basic organizational goals. Secondly, they relate to the satisfaction of the personal objectives of the members of an organisatoin through monetary and non-monetary devices. Monetary objectives include profits for owners; salaries and other compensation for executives; wages and other compensation for employees; rent for the landowners and interest for share/stock-holders. Non-monetary objectives include prestige, recognition, security, status, or some other psychic income. Thirdly, they relate to the satisfaction-of community and social objectives, such as serving the customers honesty promoting a higher standard of living in the community, bringing comfort and happiness to society, protecting women and children, and providing for aged personnel. BSPATIL
  5. 5. 5 b. The secondary objectives aim at achieving the primary objectives economically, efficiently and effectively.The fulfillment of the primary objectives is contingent upon: (i) The economic need for, or usefulness of, the goods and services required by the community/society. (ii) Conditions of employment for all the members of an organisatoin which provide for satisfaction in relation to their needs, so that they may be motivated to work for the success of the enterprise. (iii) The effective utilization of people and materials in productive work. (iv) The continuity of the enterprise.According to the American Management Association, the objectives of personnel administration may be laid downas follows: (i) To achieve an effective utilization of human resources in the achievement of organisation goals. (ii) To establish and maintain an adequate organizational structure and a desirable working relationship among all the members of an organisatoin by dividing of organisatoin tasks into functions, positions, jobs, and by defining clearly the responsibility, accountability, authority for each job and its relation with other jobs/personnel in the organisatoin. (iii) To secure the integration of the individuals and groups with an organisatoin, by reconciling individual/group with those of an organisation in such a manner that the employees feel a sense of involvement,m commitment and loyalty towards it. In the absence of an integration, friction may develop in an organisation. Which may lead to its total failure. Friction produces inefficiency. Friction may result from political aspirations, from difficulties in communication, and from faults inherent in a particular organizational structure. The behaviour of individuals and groups in any organisation also involved frictions- personal jealousies and prejudices and idiosyncrasies, personality conflicts cliques and factions favoritism and nepotism. (iv) To generate maximum individual / group development within an organisatoin by offering opportunities for advancement to employees through training and job education or by effecting or by offering retraining facilities. (v) To recognize and satisfy individual needs and group goals by offering an adequate and equitable remuneration, economic and social security in the form of monetary compensation, and protection against such hazards of life as illness, old age, disability, death, unemployment etc., so that the employees may work willingly and co-operate to achieve an organization’s goals. (vi) To maintain a high morale and better human relations inside an organisation by sustaining and improving the conditions which have been established so that employees may stick to their jobs for a longer period.Pre-requisites for the Achievements of the Objectives Setting up the objectives of an organisation may be the fullest contribution of human resources managementfor the achievement of the organisatoin of long and short term plans and of the operations of the organisation in anenvironment of high morale and vitality consistent with profit ability and social milieu with the ethical values ofsociety and with the policies and regulations established by the country’s legislature.To achieve these objectives, the following pre-requisites must be satisfied: BSPATIL
  6. 6. 6 i. Capable people should be picked upon the basis of the qualifications fixed. ii. Individual and group efforts/potentialities must be effectively utilized by providing suitable work opportunities, tools and raw materials, by showing an appreciation of work well done, and by offering better chances for future advancement and training. iii. Willing co-operation of the people to achieve the objectives must be available by creating such feelings as “people work with us” rather than saying that “people work for us” iv. The tasks of an organisatoin should be properly divided in accordance with a sound plan into functions and positions, each indicating clear-cut authority, responsibility and duties, as also the relationship of the position with another. v. The goals to be achieved should be specially made known to all concerned in the language best understood by them. Specificity and clarity are both important in defining the objectives. The objectives should also be comprehensive. vi. Since objectives have to be shared by many senior persons in an organisation, a wide-scale enquiry and consolation should be undertaken before their formulation and efforts should subsequently be made to develop a common understanding of the objectives among managers at various levels.vii. The objectives should be clearly defined, failing which a great deal of confusion may-arise. Without clear-cut objectives, the management of organizational records cannot be kept in balance, and the management of one section may interfere with that of another. Moreover, without clear-cut objective, there can be – not standards by which to evaluate the performance of an individual or that of the whole organisation. Again, an absence of objectives often leads to organizational disaster. On the other hand, the refining or revising of objectives is the most fundamental task of all managers at all levels.viii. Suitable monetary and non-monetary incentives, in the form of adequate and reasonable pay-packets, service benefits and security against hazards of life and of employment and against the arbitrary actions of supervisors should be to employees. A properly prepared grievance handling procedure and disciplinary plan should also be available. PERSONNEL FUNCTION IN ORGANISATION Function of personnel management is the process of management of human resources in an organisation andis concerned with the creation of harmonious working relationships among its participants and bringing about theirutmost individual development. Such management is concerned with leadership in both groups and ‘individualrelationship’ and ‘labour relations’ and ‘personnel management’. It effectively describes the process of planning anddirecting the application, development and utilization of human resource in employment. In fact, personnelmanagement undertakes all those activities which are concerned with human elements or relations as well as withmaterial elements in an organisation. Whatever functions are listed therein, the main objectives of these function is tobring together expertise in a scientific way and to create attitudes that motivate a group to achieve its goalseconomically, effectively and speedily.CLASSIFICATION OF FUNCTIONS Various philosophers and experts have generally classified the functions into two major categories, viz.,managerial functions and operative functions. Others have classified functions as general and specific functions, andyet others as ‘personnel administration functions’ and ‘Industrial Relation Functions’. Functions have also beenclassified on the basis of the capacities, or on the basis of authority.This types of classification of functions has been discussed as below:(a) The General and Specific Functions BSPATIL
  7. 7. 7 The ‘General’ type of functions, in the personnel management is required the following steps: (i) to conductpersonnel research, (ii) to assist in the programmes of personnel administration (iii) to develop a competent workforce, and (vi) to establish and administer varies personnel services delegated to personnel department’(b) Personnel Administration & Industrial Relations Functions Personnel administration functions relate to the functions of managing people from the lower to the upperlevel of the organisatoin and embraces policy determination as well as implementation of policies by the personnel atthe lower levels. Accordingly, “personnel administration” refers to “creating, developing and utilizing a ‘work group’involves all types of inter of inter-personnel relationships between superiors sub-ordinates”. The ‘Industrial Relations’ functions, on the other, are “not dire related to the function of ‘managing people’,but refer to interactions between the management and the representatives of the unions”. Such functions involve allactivities of employer-employee relationship, such as organisation of the union members, negotiation of contracts,collect bargaining, grievance handling, disciplinary action, arbitration, etc., the purpose of all these being to preventconflict between the particulars.(c) Functions Classified on the Basis of Capacities Saltonstall suggests two approaches for the development of Line officiates, viz., (a) the “reductive” or “threatapproach”; and(b) the “augmentative” or “source of help” approach. The latter approach is more close to “behavioral approach tomanagement.”Thus, according to him:  The typical staff function are indirectly related to action and characterized by development, consultation, planning, interpretation, evaluation, diagnosis, research, investigation and recommendation and  The typical line functions are related to command action and characterized by direction, control, decisions, enforcement, application, performance and instruction.(d) Functions According to the Degree of Authority Dale Henning and French made an interesting observation that “The personnel man is described in the textbooks and journals is like ‘Abominable Snowman’ much talked bout but seldom seen.” They have classified hisfunctions in to three categories thus: (a) Area of maximum authority, e.g., direction of payroll calculations, orientation procedure, transfer rules, etc. (b) Area of combined use of authority and persuasion, e.g., establishment of disciplinary procedure, inter-departmental data gathering, determining the number of participants in a training programmes, etc; and (c) Area of maximum persuasion, e.g., salary changes under the rules of the plant, employment of individuals recommended by the personnel department in other departments, initiating disciplinary action, etc.The functions generally classified as (1) Managerial functions, and (2) Operative functions. 1. Managerial Functions BSPATIL
  8. 8. 8 “Management is a multi-purpose organ which has three jobs, two of which are directly related to personnel managing a business: ‘managing managers and managing workers and the work S Lawrence Appley says that “Management is the accomplishment of results through the efforts of other people”. In the opinion of Harold Koontz, “It is the art of getting things done through people and with informally organized groups. In their view, management may be thought of as the process of allocating an organisatoins inputs (human and economic resources) by planning, organizing, directing and controlling for the purpose of producing outputs (goods and services) desired by its customers so that organisation job objectives are accomplished in the process, work is performed with and through organisatoin personnel in an ever changing business environment.(a) Planning is a pre-determined course of action. According to Allen, “it is a trap laid to capture the future” Terry is of the View that “planning is the foundation of most successful actions of any enterprise.” Planning is the determination of the plans, strategies, programmes, policies, procedures, and standards needs to accomplish the desired organisatoin objectives in fact, “planning today avoids crisis tomorrow.”(b) Organizing: After a course of action has been determined, an organisation should be established to carry it out. According to J.c. Massie, “An organisation is a structure, a framework and a process by which a cooperative group of human beings allocates its tasks among its members, identifies relationships and integrates its activities towards common objectives.” In the words of Drucker: “The right organizational structure is the necessary foundation; without it, the best performance in all other areas of management will be ineffectual and frustrated.”(c) Directing (motivating, actuating or commanding) the subordinates at any level is a basic function of the managerial personnel. According to McGregor, “many managers would agree that the effectiveness of their organisatoin would be at least doubled if they could discover how to tap the unrealized potential present in their human resources”(d) Coordinating and Controlling. Coordinating refers to balancing timing and integrating activities in an organisation, so that a unity of action in pursuit of a common purpose is achieved. In the words of Terry, “Co- ordination deals with the task of blending efforts in order to ensure a successful attainment of an objective.”(e) Controlling is the act of checking, regulating and verifying whether everything occurs in conformity with the plan that has been adopted, the instructions issued and the principles established. It is greatly concerned with actions and remedial actions. “it is not just score-keeping. It is not just plotting the course and getting location reports; but rather it is steering the ship.”2. Operative FunctionsThe operative functions of personnel management are concerned with the activities specifically dealing withprocuring, developing, compensating, and maintaining an efficient work force. These functions are at known asservice functions.(a) The procurement function is concerned with the obtaining of a proper knd and number of personnel necessary to accomplish an organisation’s goals. It deals with specifically with such subjects as the determination of manpower requirements, their recruitment, selection and placement (comprising activities to screen and hire personnel, including application forms psychological tests, interviews, medical check-up, reference calling), induction, follow-up, transfers, lay-offs, discharge and separation, etc.(b) The development function is concerned with the personnel development of employees by increasing their skill through training so that job performance is properly achieved. Drafting and directing training programmes for all levels of employees, arranging for their on-the-job, office and vestibule-training, holding seminars and conferences, providing for educational and vocational counselling and appraising employee potential and performance are undertaken under this function.(c) The compensation function is concerned with securing adequate and equitable remuneration to personnel BSPATIL
  9. 9. 9 for their contribution to the attainment of organizational objectives. Functions related to wage surveys, establishment of job classifications, job descriptions and job analyses, merit ratings, the establishment of wage rates and wage structure, wage pans and policies, wage systems, incentives and profit-sharing plans etc., fall under this category. (d) Integration function After the employee has been procured, his skill and ability developed and monetary compensation determined, the most important, yet difficult of the personnel management is to bring about an “integration” of human resources with organisatoin, and to cope with inevitable conflicts that ensue. “Integration” is concerned with the attempt to effect a reasonable reconciliation of individual, societal, and organisation interests. (e) The maintenance function deals with sustaining and improving the conditions that have been established. Specific problems of maintaining the physical conditions or employees (health and safety measures) and employ service programmes are the responsibility of the personnel department.Flippo rightly says: “The purpose of all of these activities is to assist in the accomplishment of the organization’sbasic objectives. Consequently, the starting point of personnel management as of all management must be aspecification of those objectives and a determination of the sub-objectives of the personnel function: The expenditureof all funds in the personnel departments can be justified only in so far as there is a net contribution toward companyobjectives.”CLASSIFICATIONS OF PERSONNEL FUNCTIONS Below are give some important classifications of personnel functions made by experts in the field: Yoder’s Classification: According to Yoder, in a typical industrial relations and personnel department, theprincipal activities of manpower management are: i) Setting general and specific management policy for relationships and establishing and maintaining a suitable organisatoin for leadership and co-operation. ii) Collective bargaining, contract negotiations, contract administration and grievances. iii) Staffing the organisation, finding, getting and holding prescribed types and number of workers. iv) Aiding the Self-development of employees at all levels, providing opportunities for personnel development and growth as well as for requisite skills and experience. v) Incentivating, developing and maintaining motivation for work. vi) Reviewing and auditing manpower management in an organisatoin. vii) Industrial relations research, carrying out studies designed to explain employment behaviour and thereby effecting improvements in manpower management.Yoder and Nelsons’ Classification: On another occasion, on the basis of an enquiry regarding descriptions of 984employee-relations jobs conducted in 189 companies. Dale Yoder and Robert J. Nelson classified seven functionalcategories as follows: i. Departments Administration Programme: Planning, report preparing, policy formulation and general administration. ii. Employment and Placement: Recruitment, selection, placement, orientation, personnel rating, job analysis and description. iii. Training – Induction, on-the-job training, supervisory training and management development. BSPATIL
  10. 10. 10 iv. Collective Bargaining: Contract negotiation, contract administration and grievances. v. Wage and Salary Administration, Job evaluation, wage and salary surveys. vi. Benefits and Services: Insurance, health, hospitalization, medial care, and retirements plan administration.vii. Personnel Research: Continuing studied of all employee relations policies, programmes and practices.Northcott’s Classification: After referring to three types of approach to the task, viz., (a the welfare’ approach, (b)the scientific management influence the industrial relations emphasis, Northcott gives the functions of personnelmanagement thus: 1. Employment; 2. Selection and Training; 3. Employee Services, 4. Wages; 5. IndustrialRelations; 6. Health and Safety Education; and 7. Education.Scott, Clothier & Spriegels’ Classification: Scott, Clothier and Spriegel divide the functions of the personnelmanagement into these specific categories, namely: (i) Employment; (ii) Promotion, transfer termination, demotions,and separations; (iii) Formulation and direction of training programmes; (iv) Job analysis and evaluation; (v)Remuneration and incentives; (vi) Health and Sanitation; (vii) Safety and institutional protection; (viii) Financial aidsto employees; (ix) Employee service activities; (x) Research, record keeping, reports and follow-up; (xi) Employee-employer and community cooperation; and (xii) Labour union contracts and co-operation. Kindall’s Classificatoin: A.F. Kindall prescribes the following functions for the personnel management: (i) To aid in the development of general overall management policies and methods, in the organisation and planning of supervisory control, and in the communication of orders, ideas and inquiries. (ii) To develop throughout the organisatoin an understanding of, and an enthusiasm for, consultative methods of management with tire objectives of: a. Improving leadership and supervision; and (b) Obtaining the participation of operating groups and opportunity for creative analysis and initiative in carrying out their assigned tasks at all levels in the development and administration of the company’s personnel programme. (iii) To aid the executive and supervisory organisation in developing (a) clearly written outlines of functions, authorities, and responsibilities, and (b) simple, workable methods of measurement of their accomplishments. (iv) To formulate, in collaboration with the supervisory and executive organisation policies for personnel administration and to implement those policies approve by the management in accordance with the best plans and practices of personnel administration. (v) To make certain, in collaboration with the supervisory and executive personnel, that the company’s approved policies and practices of personnel administration are executed properly. (vi) To establish and maintain contacts with labour movement, to keep itself informed and, wherever possible, to participate in all collective bargaining activities, and to advise all the departments of the company on the development of sound labor relations. (vii) To aid in the interpretation of the management’s policies to employees and employees’ point of view and attitude to the management and, in collaboration with the appropriate line personnel to merchandize the company and the jobs to employees. Carey’s Classification: Carey outlines the common functions of the personnel management as: (1) Organisationfor personnel administration; (ii) Administration and supervision; (iii) Employment; (iv) Training employeedevelopment; (v) Wage and salary administration; (vi) Force adjustment; (vii) Relation between employees andmanagement; (viii) Hours and conditions of works; (ix) Health and safety; (x) Benefits and employee securitymatters; (xi) Communication with employees; (xii) Research work; and (xiii) Relations with local business andcommunity organisation. BSPATIL
  11. 11. 11 Straus’s and Sayles’ Classification: (i) Recruitment, Selection c Placement: (a) Contact with and evaluation ofadvertising media, employment agencies, including State employment services, college and school recruiting; (b)Screening and testing techniques, including physical examination; (c) Assistance for in-company transfer, careerdevelopment (d) Assistance for lay-offs and plant closing through job searches for redundant personnel; (e) Labourmarket surveys and projection of potential shortages; and (f) Manpower planning, projecting future company needs. (ii) Job Analysis, job Description and Job Evaluation: (a) Development of methods that will facilitate personnelplacement and assignment of money values to skill and experience, (b) Development of promotional ladders bymeans of job analysis; and (c) Position guides for organizational planning and information for new placements. (iii) Compensation and Appraisal Plans: (a) Design and implementation of personnel appraisal plans; (b) Wageadministration (c) Control of merit increases; (d) Design and installation of incentive and bonus plan and (e)Administration of deferred compensation plans such as profit sharing and bonus plans. (iv) Employment Records: (a) Maintenance of job histories, skill inventories and aptitude and educationinformation; and (b) Maintenance of wage and hour records, output records, overtime, vacation payment incentiveearning. (v) Employee Benefit Programmes: (a) Administration of life insurance, pension and health and welfare benefits;(b) Approval of action, disability and compensation payments; (c) Suggestion and saving plans, credit unionadministration; (d) Recreation and athletic programmes; (e) Cafeteria, employee clubs; (f) Company medical services,first aid, preventive medicine; (g) Community referrals (psychiatric, alcoholic), and (h) Counselling service. (vi) Special Services Safety inspection: (a) Safety plans and controls; (b) Company guards and protectionservices, including fire-fighting; (c) Staff reception areas; and (d) Communication services, photography, printinghouse organs, policy manuals, new releases and instructional manuals.FUNCTIONS OF PERSONNEL MANAGEMENTOn the basis of the various functions which the personnel management generally undertakes, the functional areas ofpersonnel management may be set forth as below: I. Organizational Planning, Development and Task Specification II. Staffing and Employment; III. Training and Development; IV. Compensation, Wage and Salary Administration; V. Motivation and Incentives;VI. Employee Services and Benefits;VII. Employee Records;VIII. Labour or Industrial Relations; andIX. Personnel Research and Personnel Audit.I. Organizational Planning, Development and Task Specification“Organizational planning” is concerned with the division of all the tasks to be performed into manageable andefficient units (departments, divisions or positions) and with providing for their integration. Both differentiation andintegration are vital for the achievement of pre-deter mined goals.(i) A determination of the needs of an organisation in terms of a company’s short and long-term objectives, utilization of technology (industrial, engineering, industrial psychology, and mechanical engineering) of BSPATIL
  12. 12. 12 production, deciding about the nature of product to be manufactured, keeping in view the external environment and public policy.(ii) The planning, development and designing of an organizational structure through the fixing of the responsibility and authority of the employees, so that organizational goals may be effectively achieved.(iii) Developing inter-personal relationship through a division of positions, jobs and tasks; the creating of a healthy and fruitful inter-personal relationship; and the formation of a homogeneous; cohesive and effectively interacting informal group.II. Staffing and Employment The staffing process is a flow of events which results in a continuous manning of organizational positions atall levels – from the top management to the operative level. This process includes manpower planning, authorizationfor planning, developing sources of applicants, evaluation of applicants, employment decisions, placement inductionand orientation, transfers, demotions, promotions and separations, retirement, lay-off, discharge, resignation,disability, and death, (i) Manpower planning is a process of analyzing the present and future vacancies that may occur as a result of retirements, discharges, transfers, promotions, sick leave of absence, or other reasons, and an analysis of present and future expansion or curtailment in the various departments. Plans are development of present employees, for advertising openings, or for recruiting and hiring new personnel with appropriate qualifications. (ii) Recruitment is concerned with the process of attracting qualified and competent for different jobs. This includes the identification of existing sources of the labour market, the development of new sources, and the need for attracting a large number of potential applicants so that a good selection may be possible. (iii) Selection Process is concerned with the development of selection policies and procedures and the evaluation of potential employees in terms of job specifications. This process includes the development of application blanks, valid and reliable tests, interview techniques, employee referral systems, evaluation and selection of personnel in terms of job specifications, the making up of final recommendations to the line management and the sending of offers and rejection letters. (iv) Placement is concerned with the task of placing an employee in a job for which he is best fitted, keeping in view the job requirements, his qualifications and personality needs. (v) Induction and orientation is meant the introduction of an employee to the organisatoin and the job by giving him all the possible information about the organization’s history, objectives, philosophy, policies, future development opportunities, products, goodwill in the market and in the community, and by introducing him to other employees with whom and under whom he has to work. (vi) Transfer process is concerned with the placement of an employee in a position in which his ability can be best utilized. This is done by developing transfer policies and proc counselling employees and line management on transfers and evaluating transfer policies and procedures. (vii) Promotion is concerned with rewarding capable employees by putting them in higher positions with more responsibility and hither pay. For this purpose, a fair, just and equitable promotion policy and procedure have to be developed; line managers and employees have to be advised on these policies, which have to be evaluated to find out whether they have been successful. (viii) Separation process is concerned with the serving of relation ship with an employee on grounds of resignation, lay-off, death, disability, discharge or retirement. Exit interviews of employees are arranged, causes of labour turnover are to be analyzed and advice is given to the line management on the causes of and reduction in labour turnover. BSPATIL
  13. 13. 13 A number of device and sub-systems are used in the systems designs to manage the staffing process. These are: i) Planning tables and charts; ii) Application blanks; iii) Interviews; iv) Psychological tests; v) Reference checks; vi) Physical examination; vii) Performance reviews; and viii)Exit interviewsIII. Training and DevelopmentIt is a complex process and is concerned with increasing the capabilities of individuals and groups so that they maycontribute effectively to the attainment of organizational goals. This process includes:(i) The determination of training needs of personnel at all levels, skill training employee counselling, andprogrammes for managerial, professional and employee development; and(ii) Self-initiated development activities (formal education), during off-hours (including attendance at school/college/professional institutes); reading and participation in the activities of the community.IV. Compensation, Wage and Salary Administration It is concerned with the process of compensation directed towards remunerating employees for servicesrendered and motivating them to attain the desired levels of performance. The components of this process are: i. Job Evaluation through which the relative worth of a job is determined. This is done by selecting suitable job evaluation techniques, classifying jobs into various categories and then determining their relative value in various categories. ii. Wage and salary programme which consists of developing and operating a suitable wage and salary programme, taking into consideration certain facts such as the ability of the organisation to pay, the cost of living, the supply and demand conditions in labour market, and the wage and salary levels in other firms. For developing a wage and salary programme, wage and salary surveys have to be conducted, wage and salary rates have to be determined and implemented, and their effectiveness evaluated. iii. The incentive compensation plan includes non-monetary incentives which have to be developed, administered and reviewed from time to time with a view to encouraging the efficiency of the employee. iv. The performance appraisal is concerned with evaluating employee performance at work in terms of pre- determined norms/ standards with a view to developing a sound system of rewards and punishment and identifying employees eligible for promotions. For this purpose, performance appraisal plans, techniques and programmes are chalked out, their implementation evaluated, and report submitted to the concerned authorities. v. Motivation is concerned with motivating employees by creating conditions in which they may get social and psychological satisfaction. For this purpose, a plan for non-financial incentives (such as recognition, privileges, symbols of status) is formulated; a communication system is developed, morale and attitude surveys are undertaken, the health of human organisatoin diagnosed and efforts are made to improve human BSPATIL
  14. 14. 14 relations in the organisation. The line management has to be advised on the implementation of the plan and on the need, areas and ways an means of improving the morale of employees.V. Employee Services and Benefits These are concerned with the process of sustaining and maintaining the work force in an organisation. Theyinclude: (i) Safety provision inside the workshop. For this purpose, policies, techniques, and procedures for the safety and health of the employees are developed; the line management is advised on the implementation and operation of safety programmes; training has to be given to first line supervisors and workers in safety practices; the causes of accidents have to be investigated and data collected on accidents; and the effectiveness of the safety programmes evaluated periodically. (ii) Employee counselling is the process through which employees are given counsel in solving their work problems and their personal problems. The line management has to be advised on the general nature of the problems which the employees may face from time to time. (iii) Medical services include the provision of curative and preventive medical and health improvement facilities for employees, free or otherwise. A periodical medical check-up of employees, training in hygienic and preventive measures are undertaken. (iv) The recreational and other welfare facilities include entertainment services like film shows, sports and games; and housing, educational, transport and canteen facilities, free or at subsidized rates. Suitable policies and programmes are framed and efforts are made to administer these services satisfactorily. The effectiveness of such programmes has also to be evaluated. (v) Fringe benefits and supplementary items are made available to employees in the form of: a. Old age survivor’s and disability benefits, unemployment and workmen’s compensation; b. Pensions, gratuities and such other payments as are agreed upon – death benefits, sickness, accident and medical care, insurance, expenses of hospitalization, voluntary retirement benefits. c. Paid rest periods, lunch periods, wash-up time, travel time, get – ready time; d. Payments for time during which not work is done – paid vacation or bonus in lieu of vacation, payment for holidays, paid sick and maternity leave; and e. Profit-sharing benefits, contribution to employees’ provident funds, employees educational expenditure and special wage payments ordered by the courts.VI. Employee Records In employee records complete and up-to-date information is maintained about employees, so that these thatthat is, the records may be Utilized, if need be, at the time of making transfer/promotions, giving merit pay, orsanctioning leave. Such records include information relating to personal qualifications, special interests, aptitudes, results oftests and interviews, job performance, leave, promotions, rewards and punishments.VII. Labour RelationsBy labour relations is meant the maintenance of healthy and peaceful labour-management relations so that production/work may go on undisturbed. (i) Grievance handling policy and procedures are developed, after finding out the nature and causes of grievances, and locating the most delicate areas of dissatisfaction. BSPATIL
  15. 15. 15 (ii) Rules and regulations are framed for the maintenance of discipline in the organisation, and a proper system of reward and punishment is developed. (iii) Efforts are made to acquire a knowledge of, and to observe and comply with, the labor laws of the country and acquaint the line management with the provisions which are directly concerned with organisatoin. Collective bargaining has to be developed so that all the disputes may be settled by mutual discussions without recourse to the law court. Such bargaining negotiating and administering agreement relating to wages, leave, working conditions and employee employer relationship.VIII. Personnel Research and Personnel AuditThis area is concerned with: (i) A systematic inquiry into any aspect of the board question of how to make more effective an organisatoin’s personnel programmes – recruitment, selection, development, utilization of, and accommodiation to, human resources; (ii) Procedures and policies and finding submitted to the top executive. (iii) Data relating to quality, wages, productivity, grievances absenteeism, labour turnover, strikes, lock-outs, accidents etc., which are collected and supplied to the top management so that it may review, alter or improve existing personnel policies, programmes and procedures; (iv) Morale and attitude surveys.PERSONNEL PRINCIPLES AND POLICIES The dictionary meaning of “policy” is a “plan of action” and that “plan” is a policy. Policy and planning are,therefore, synonymous.“A policy,” says Flippo, “is a man-made rule of pre-determined course of action that is established to guide theperformance of work to ward the organisatoin objectives. It is a type of standing plan that serves to guide subordinatesin the execution of their tasks.” According to Calhoon Personnel policies constitute guides to action. They furnish thegeneral standards or bases on which decisions are reached. They furnish the general lies in an organization’s values,philosophy, concepts and principles.” “Policies are statements of the organization’s over-all purposes and itsobjectives in the various areas with which its operations are concerned – personnel, finance, and production marketingand so on.” Yoder observes: “A policy is a per-determined, selected course established as a guide towards accepted goalsand objectives… They establish the framework of guiding principles that facilitate delegation to lower levels andpermit individual managers to select appropriate tactics or programmes. In contrast to these, personnel policies arethose that individuals have developed to keep them on the rack towards their personnel objectives. Managementpolicies are developed by working organisatoins to keep them on course headed and directed toward theirorganizational objectives. These define the intentions of the organisatoin and serve as guidelines to give consistencyand continuity to total operations. Thus, personnel policies refer to principles and rules of conduct which “formulate, redefine, break into detailsand decide a number of actions” that govern the relationship with employees in the attainment of the organisationobjectives. Personnel policies are: (i) The key-stone in the arch of management and the life-blood for the successful functioning of the personnel management because, without these policies, there cannot be any lasting improvements in labour management relations; (ii) The statements of intention indicating and agreement to a general course of actions, indicating specifically what the organisation proposes to do and, thus, suggests the values and viewpoints which dominate the organization’s actions; and BSPATIL
  16. 16. 16 (iii) A positive declaration and command to an organisation. They translate the goals of an organisation into selected routes and provide general guidelines that both prescribe and proscribe programmes which, in turn, dictate practices and procedures.Aims and Objectives of Personnel Policies A management’s personnel policy should have two types of objectives, general and specific. The statement ofgeneral objectives should express the top management’s basic philosophy of human resources and reflect its deepunderlying convictiosn as to the importance of people in an organisatoin and of the management activity which dealswith people. The statement of specific objectives should refer to the various activities of personnel administrationconnected with staffing, training, developing, wage and salary administration, motivation, employee services andbenefits, employee records, labour relations and personnel research.The aims of personnel policies should be/are: (i) To enable an organisatoin to fulfill or carry out the main objectives which have been laid down as the desirable minima of general employment policy; (ii) To ensure that its employees are informed of these items of policy and to secure their co for their attainment; (iii) To provide such conditions of employment and procedures as will enable all the employees to develop a sincere sense of unity with the enterprise and to carry out their duties in the most willing and effective manner. (iv) To provide and adequate, competent and trained personnel for all levels and types of management; (v) To protect the common interests of all the parties and recognize the role of trade unions in the organisation; (vi) To provide for a consultative participation by employees in the management of an organisation and the framing of conditions for this participation, which however shall not take place in technical, financial or trading policy. (vii) To provide an efficient consultative service which aims at creating mutual faith among those who work in the enterprise. a. By developing management leadership which is bold and imaginative and guided and by moral values; b. By effectively delegating the human relations aspects or personnel functions to line managers; c. By enforcing discipline on the basis of co-operative understanding and a humane application of rules and regulations; and d. By providing and a humane application of rules and regulations; and e. (viii) To establish the conditions for mutual confidence and avoid confusion and misunderstanding between the management and the workers, by developing suggestion plans, joint management councils, work committees, etc., and by performance appraisal discussions; (ix) To provide security of employment to works so that they may not be distracted by the uncertainties of their future; (x) To provide an opportunity for growth within the organisation to persons who are willing to learn and undergo training to improve their further prospectus; BSPATIL
  17. 17. 17 (xi) To provide for the payments of fair and adequate wages and salary to workers so that their healthy co- operation may be ensured for an efficient working of the undertaking; (xii) To recognize the work and accomplishments of the employee by offering non-monetary incentives; and (xiii) To create a sense of responsibility, on the part of those4 in authority, for the claims-of employees as human beings, who should be guaranteed production of their fundamental rights and offered enough scope developing their potential.Need for Personnel PolicyPersonnel policies need be specifically created because of the following reasons: (i) The basic need and requirements of both an organisation and its employees require deep thought. The management is required to examine its basic-convictions as well as give full consideration to practices in other organisatoins. (ii) Established policies ensure consistent treatment of all personnel throughout an organisatoin. Favoritism and discrimination are thereby minimized. (iii) A certainly of action is assured even though the top management personnel may change. The tenure of the office of any manager is finite and limited; but the organisation continues and along with it continue the policies; and this continuity of policies promotes stability in an organisation. (iv) Because they specify routes towards selected goals, policies serve as standards or measuring yards for evaluating performance. The actual results can be compared with the policies to determine how well the members of an organisation have lived up to their profees intentions. (v) Sound policies help to build employee enthusiasm and loyalty. This is specially true when they reflect established principles of fair play and justice, and when they help people to grow within an organisation. (vi) Policies are “control guides for delegated decision making”. They seek to ensure consistency and uniformity in decisions on problems, “that recur frequently and under similar, but not identical, circumstances.’Principles of Personnel Policies In designing personnel policies, the management must balance the needs, goals, objectives and values of boththe employees and the employees. Since these policies are rules of conduct, they are based on the followingprinciples. (i) Put the right man in the right place by a car selection and placement to make sure that the is physically, mentally and temperamentally fit for the job he is expected to do and that the new employee may be reasonably expected to develop into a desirable employee, so that “there will be the minimum number of square pegs in round holes.” (ii) Train everyone for the job to be done, so that they qualify for better jobs, so that their accomplishments are limited to their ambitions and abilities, so that they do their present work very efficiently. (iii) Make the organisation a co-ordinated team through a proper co ordinate and administration of different departments and divisions, that there is a minimum amount of friction and unproductive or unnecessary work. This calls for proper planning and organisation, control and direction of the entire organisation without destroying the initiative of the individual employee. (iv) Supply the right tools and the right conditions of work, for the better the tools, facilities and working conditions, the larger the output produced with the same human effort at lower costs so that, ultimately the higher wages may be paid and more good jobs provided. BSPATIL
  18. 18. 18 (v) Give security with opportunity, incentive, recognition. In order that he may stick to his job, each employee should have sound incentives for work, such as fair compensation, recognition for results achieved, reasonable security, and opportunity and hope for advancement in the organisation. (vi) Look ahead, plan ahead for more and better things: Superior products should be produced and distributed, and these should be attractive and meet the demands of consumers. This calls for research and a policy of continuing product planning and development.Types of Personnel Policies There are various types of policies. Jucium identifies two types, viz., functiona or organisation grouping ofpolicies; and the centralized policies. The its pre-grouping of policies are those policies which are grouped fordifferent categories of personnel, e.g. for the management dealing with personnel planning, organizing and controllingor for management dealing with personnel planning, organizing and controlling or for management concerned withfunctions of procuring developing and utilizing manpower. The centralized policies are framed for companies withseveral locations. They are formulated at the head office and apply through out the organisatoin. Policies may also be classified as major and minor. Major policies pertain to the over-all objectives,procedures and control which affect an organisatoin as a whole. They cover in a general way nearly every phase of anenterprise and its product and methods of financing, its organizational structure, plant location, its marketing andpersonnel. Such policies are formulated by the Board of Directors, and a framework is established within which majorexecutive fit the remaining policies necessary to carryout the major objectives of an organisation.Essential Characteristics/ Tests of a Sound Personnel PolicyThe main features of a good personnel policy are: (i) The statement of any policy should be definite, positive, clear and easily understood by everyone in the organisatoin so that what it progress to achieve is evident. (ii) It should be written in order to preserve it against loss, to stimulate careful consideration before its, formulation and to prevent the promulgation of numerous, differing and temporary oral policies from multiple sources. (iii) It must be reasonably stable but not rigid, i.e., it should be periodically reviewed, evaluated, assessed and revised and shluld, there fore, be in tune with the challenge of changes in the environment and should have a built-in resilience for adjustment from time to time. (iv) It must be supplementary to the over-all policy of an organisatoin, for if departmental policy is made such as to come into conflict and violate the company policy, it would be tantamount to insubordinations. Peter Drucker has observed: “The policies of an enterprise have to be balanced with the kind of reputation an enterprise wants to build up with special reference to the social and human needs, objectives and values. (v) It should indicate that the management knows that workers prefer to deal with the management on an individual basis. (vi) It should recognize the desire of many workers for recognition as groups in many of their relationships. (vii) It should be formulated with due regard for the interests of all the concerned parties – the employees and the public community. (viii) It should be the result of a careful analysis of all the available. (ix) It must provide a two-way communication system between the management and the employees that the latter are kept informed of the latest developments in the organisatoin and the employers are aware of the actions and reactions of the employees on particular issues. BSPATIL
  19. 19. 19 (x) It should be consistent with public policy, i.e., with the spirit rather than the letter of the law, so that the intentions and settled course of an organisation are appreciated in terms of public opinion from the standpoint of national, economic and social justice for the employees and for the community at large. (xi) If should be generally known to al interested parties. (xii) It must have not only the support of the management but to the co-operation of employees at the ship floor level and in the office. (xiii) Before evolving such a policy, trade unions should be consulted. In matters of industrial relations; and the role of trade unions should be restricted only to this areas. (xiv) It should be progressive and enlightened, and must be consistent with professional practice and philosophy. (xv) It must make a measurable impact, which can be evaluated and qualified for the guidance of all concerned, especially in the field of the three R’s of personnel management viz., recruitment, retainment, and retirement. (xvi) It should be uniform throughout the organisatoin, though, in the light of local conditions, slight variations may be permitted in specific policies relation to staffing, compensation, benefits and services. (xvii) It should have a sound base in appropriate theory and should be translate into practices, terms and peculiarities of every department of an enterprise. (xviii) Except in rare cases, policies should not prescribe detailed procedures.Sources of Personnel Policies Policies stem from a wide variety of places and people. The are not created in a vacuum but are based on afew principal sources, which determine the content and meaning of policies. There are: (i) The past practice of an organisation; (ii) The prevailing practice among sister concerns in the neighborhood and throughout to country in the same industry; (iii) The attitudes, ideals, and philosophy of the Board of Directors, top management and middle and lower management. (iv) The knowledge and experience gained from handling day-to-day personnel problems. (v) Employees suggestions and complaints: (vi) Collective bargaining programmes; (vii) State the national legislation. (viii) Changes in the company (ix) International forces, such as may operate in times of wars; (x) The culture of the plant and its technology, its business environment, its social and political environment; (xi) The extent of unionism; (xii) The attitudes and social values of labour; (xiii) The ethical points of view or the social responsibility of the organisatoin toward the public; and BSPATIL
  20. 20. 20 (xiv) The goals of the organisatoin.Minor policies, on the other hand, relationships in segment of an organisation. BSPATIL
  21. 21. 21 UNIT – II Human Resource Planning – Characteristics – Need for planning – HRP Process – Job analysis – Job design –Job description – Job specification HUMAN RESOURCES PLANNINGImportance of Human Resources The concepts of “Manpower” or “human resource” is meant as “the total knowledge, skills creative abilities,talents and aptitudes of an organization’s work force, as well as the values, attitudes and benefits of an individualinvolved…… It is the sum total of inherent abilities, acquired knowledge and skills represented by the talents andaptitudes of the employed persons.” Of all the “Ms” in the management (i.e., the management of materials, machines,methods, money, motive power), the most important is “M” for men or human resources. In any organisation, Human resources are utilized to the maximum possible extent in order to achieveindividual and organizational goals. An organization’s performance and resulting productivity are directlyproportional to the quantity and quality of its human resources. MANPOWER PLANNING DEFINED “Manpower Planning and “human resource planning” are synonymous. In the past, the pharse manpowerplanning was widely used; but not the emphasis is on human resource planning which is more broad- based. Humanresource or manpower planning is “the process by which a management determines how an organisation should movefrom its current manpower positon to its desired manpower position. Through planning, a management strives to havethe right number and the right number and the right kinds of people at the right places, at the right time, to do thingswhich result in both the organisation and the individual receiving the maximum long-range benefit.” Coleman has defined human resource or manpower planning as “the process of determining manpowerrequirements and the means for meeting those requirements in order to carry out the integrated plan of theorganisation. Stainer defines manpower planning as “Strategy for the acquisition, utilization, improvement, andpreservation of an enterprise’s human resources. It relates to establishing job specifications or the quantitativerequirements of jobs determining the number of personnel required and developing sources of manpower” According to Wickstrom, human-resources planning consists of a series of activities, viz., (a) Forecasting estimates based upon the specific future plans of a company; (b) Making an inventory of present manpower resources and assessing the extent to which these resources are employed optimally; (c) Anticipating manpower problems by projecting present resources into the future and comparing them with the forecast of requirements to determine their adequacy, both quantitatively and qualitatively; and (d) Planning the necessary programmes of requirements, selection, training, development, utilization, transfer, promotion, motivation and compensation to ensure that future manpower requirements are properly met. Human resources planning is a double-edged weapon. If used properly, it leads to the maximum utilization of human resources, reduces excessive labour turnover and high absenteeism; improves productivity and aids in achieving the objectives of an organisation. Faultily used, it leads to disruption in the flow of work, lower production, less job satisfaction, high cost of production and constant headaches of for the management personnel. Therefore, for the success of an enterprise, human resource planning is a very important function, which can be neglected only at hits own peril. It is as necessary as planning for production, marketing, or own peril, it is as necessary as planning for production, marketing, or capital investment. BSPATIL
  22. 22. 22 NEED FOR HUMAN RESOURCE PLANNING The necessity of Human resource planning for all organizations is for following reasons:(i) To carry on its work, cash organisation needs personnel with the necessary qualifications, skills, knowledge, work experience and aptitude for work. These are provided through effective manpower planning.(ii) Since a large number of persons have to be replaced who have grown old, or who retire, die or become incapacitated because of physical or mental ailments, there is a constant need for replacing such personnel otherwise the work would suffer.(iii) Human resources planning is essential because of labor turnover which is unavoidable and even beneficial because it arises from factors which are socially and economic ally sound such as voluntary quits, discharges, marriage, promotions, or factors such as seasonal and cyclical fluctuations in business which cause a constant ebb and flow in the work force in many organisation.(iv) In order to meet the needs of expansion programmes which become necessary because of increase in the demand for goods and services by a growing population, a rising standard of living – which calls for larger quantities of the same goods and services as also for new gods; the competitive position of a firm which bring it more business arising from improvements effected in the slump period; and the rate of growth of the organisation, human resource planning is unavoidable.(v) The nature of the present work force in relation to its changing needs also necessitates are recruitment of new labour. To meet the challenge of a new and changing technology and new techniques of production, existing employees need to the trained or new blood injected in an organisation.(vi) Manpower planning is also needed in order to identify areas of surplus personnel or areas in which there is a shortage of personnel. If there is a surplus, it can be redeployed; and if there is shortage, it may be made good. Stainer recommends the following nine strategies for the man power planners:(a) They should collect, maintain and interpret relevant information regarding human resources.(b) They should report periodically man power objectives, requirements and existing employment and allied features of manpower.(c) They should develop procedures and technique to determine the requirements of different types of manpower over period of time form the standpoint of organisation’s goals;(d) They should employ suitable techniques leading to effective allocation of work with a view to improving manpower utilization;(e) They should conduct research to determine factors hampering the contribution of the individuals and groups to the organisatoin with a view to modifying or removing these handicaps.(f) They should develop and employ methods of economic assessment of human resources reflecting its features as income-generator and cost and accordingly improving the quality of decisions affecting the manpower.(g) They should evaluate the procurement, promotion and retention of the effective human resources; and(h) They should analyse the dynamic process of recruitment, promotion and loss to the organ is an control these processes with a view to maximizing individual and group performance without involving high cost. BSPATIL
  23. 23. 23Process of Human Resource Planning Human resource planning process is one of the most crucial complex and continuing managerial functions. Itmay be rightly regarded as a multi-step process of human resource planning such as: (a) Deciding goals or objectives; (b) Estimating future organizational structure and manpower requirements; (c) Auditing human resources; (d) Planning job requirements and job descriptions; (e) Developing a human resource plan. Fig. Human Resource Planning System(A) Objectives of Human Resources Planning Human resource planning fulfils individual, organizational and national goals; but, according to Sikula, “the ultimate mission or purpose is to relate future human resources to future enterprise needs so a to maximize the future return on investment in human resources. “In effect, the main purpose is one ‘ of matching or fitting employee abilities to enterprise requirements, an emphasis on future instead of present arrangement.(B) Estimating the Future Organizational Structure of Forecasting the Manpower Requirements The management must estimate the structure of the organisation at a given point in time. For this estimate, the number and type of employees needed have to be determined. Many environmental factors affect this determination. They include business forecasts, expansion and growth, design and structural changes, management philosophy, government policy, product and human skills mix, and competition. Forecasting provides the basic premises on which the manpower planning is built, Forecasting is necessary for various reasons, such as: (a) The eventualities and contingencies of general economic business cycles (such of additional machinery and BSPATIL
  24. 24. 24 personnel, and a re-allocation of facilities, all of which call for advance planning of human resources. (b) An expansion following enlargement and growth in business involves the use of additional machinery and personnel, and a re-allocation of facilities, all of which call for advance planning of human resources. (c) Changes in management philosophies and leadership styles. (d) The use of mechanical technology (such as the introduction of automatic controls, or the mechanization of materials handling functions) necessitate changes in the skills of workers, as well as a change in the number of employees needed. (e) Very often, changes in the quantity or quality of products or services require a change in the organisation structure. Plans have to be made for this purpose as well.It may be noted that for purposes of manpower planning, the main dimensions to be taken into consideration are: (i) The total number of personnel available, this could be obtained from they pay-rolls and other personnel records, such as the applications for employment. The total number has to be classified on some basis, such as manual workers (i.e., daily-rated, weekly-rated or monthly-rated); clerical employees, ministerial staff, managers and other executives; specialists and skilled and unskilled workers; sex-wise distribution etc. (ii) The job-family, i.e., a detailed job-description for each position such as stenographers who may belong to various departments e.g., finance, marketing, personnel, public relations, general administration, etc. (iv) Age distribution of the employees, available in the present departments, say in the age-groups 20-29 years; 30-45 years; 46 years and above. (v) Qualification and experience desired, such as a person with 5 years 10 years experience in a particular branch/job; and whether under-graduate, post-graduate, or MBAs or graduates in Science, Commerce, Arts, engineering, or professional diploma holders, etc; or with specialized knowledge in the field of marketing, finance, computer programming or engineering work. (vi) The salary range, etc.(C) Auditing Human Resource Once the future human resource needs are estimated, the next step to determine the present Supply of manpower resources. This is done through what is called “Skills Inventory”. A skills inventory contains data about each employee’s skills, abilities work preferences and other items of information which indicate his overall value to the company.(D) Job Analysis After having decided how many persons would be needed, it is necessary to prepare a job analysis, which records details of training, skills, qualification abilities, experience and responsibilities, etc., which are needed for a job. Job analysis includes the preparation of job descriptions and job specifications. This has been discussed in the later sections of this chapter.(E) Developing a Human Resources Plan This step refers to the development and implementation of the human resource plan, which consists in finding out the sources of labour supply with a view to making an effective use of these sources. The first thing, therefore, is to decide on the policy – should the personnel be hired from within through promotional channels or should it be obtained from an outside source. The best policy which is followed by most organisatoins is to fill up higher vacancies by promotion and lower level positions by recruitment from the labour market. BSPATIL
  25. 25. 25RESPONSIBILITY FOR HUMAN RESOURCE PLANNING The responsibilities of the Personnel department are having the responsibilities in man power planning whichhave been stated by Geisler in the following words: i. To assist, counsel and pressurize the operating management to plan and establish objectives; ii. To collect and summarize data in total organizational terms and to ensure consistency with long-range objectives and other elements of the total business-plan; iii. To monitor and measure performance, against the plan and keep the top management informed about it; and iv. To provide the research necessary for effective manpower of organizational planning. Manpower Plan – Component The manpower plan can be broken down into three components: i. Forecasting – estimating future needs and stock taking of available resources in the organisation. ii. Recruitment plan, to meet the gap between the internal resource and estimated need by external recruitment; iii. Training and Development plan to utilize fully the human resources of the organisation and to develop the potential resources. JOB ANALYSIS Developing an organisation structure results in jobs when have to be staffed. “Work” is an organisatoinprimary function. The ‘basic work activities’ may relate to three categories – Data, People and Things. Under data areincluded synthesizing, coordinating, analyzing, compiling, computing, copying and comparing activities. Peoplerelate to monitoring, negotiating, instructing, supervising, diverting, persuading, speaking, signaling, serving andtaking instructions. Things are concerned with setting up, precision working, operating-controlling, driving –operating, manipulating, feeding-off bearing and handling. PURPOSE AND USES OF JOB ANALYSIS A comprehensive JA programmes is an essential ingredient of sound personnel management. It is the majorinput to forecasting future human resource requirements, job modifications, job evaluation, determination of propercompensation, an d the writing of job descriptions. It is of fundamental importance to manpower managementprogrammes because of the wider applicability of its results. The information provided by JA is useful, if notessential, in almost every phase of employee relations. i. Organisation and Manpower Planning: It is helpful in organizational planning, for it defined labour needs in concrete terms and co ordinates the activities of the work force, and clearly divides duties and responsibilities. ii. Recruitment, Selection: By indicating the specific requirements of each job (i.e., the skills and knowledge), it provides a realistic basic for the hiring, training, placement, transfer and promotion of personnel ‘Basically, the goals is to match the job requirements with a worker’s aptitude, abilities and interests. It also helps in charting the channels of promotion and in showing lateral lines of transfer.” iii. Wage and Salary Administration: By indicating the qualifications required for doing a specified job and the risks and hazards involved in its performance, it helps in salary and wage administration. Job analysis is used as a foundation for job evaluation. BSPATIL
  26. 26. 26 iv. Job Re-engineering: Job analysis provides information which enables us to change jobs in order to permit their being manner by personnel with specific characteristics and qualifications. This takes two forms: (a) Industrial engineering activity, which is concerned with operational analysis, motion study, work simplification methods and improvements in the place of work and its measurement, and aims at improving efficiency, reducing unit labour costs, and establishing the production standard which the employee is expected to meet; and (b) Human engineering activity, which takes into consideration human capabilities, both physical and psychological, and prepares the ground for complex operations of industrial administration, increased efficiency and better productivity. v. Employee Training and Management Development: Job analysis provides the necessary information to the management of training and development programmes. It helps it to determine the content and subject matter of in-training courses. It also helps in checking application information, interviewing, weighing test results, and in checking references. vi. Performance Appraisal: It helps in establishing clear-cut standards which may be compared with the actual contribution of each individual. vii. Health and Safety: It provides an opportunity for identifying hazardous conditions and unhealthy environmental factors so that corrective measures may be taken to minimize and avoid the possibility of accidents. CONTENTS OF JOB ANALYSISA job analysis provides the following information: (i) Job identification: Its title, including its code number; (ii) Significant characteristics of a job: Its location, physical setting, supervision, union jurisdiction, hazards and discomforts: (iii) What the typical works does: Specific operations and tasks that make up an assignment, their relative timing and importance, their simplicity, routine or complexity, the responsibility or safety of other for property, funds, confidence and trust; (iv) Which materials, and equipment a works uses: Metals, plastics, grains, yarns, feedings, removing, drilling, driving, setting up and many others. (v) How a job is performed. Nature of operation – lifting, handling, cleaning, washing, feeding, removing, drilling, driving, setting up and many others. (vi) Required personnel attributes: Experience, training, apprenticeship, physical strength, co-ordination or dexterity, physical demands, mental capabilities, aptitudes, social skills; (vii) Job relationship Experience required, opportunities for advancement, patterns of promotions, essential co- operation, directions, or leadership from and for a job. BSPATIL
  27. 27. 27 Job Analysis (A Process for Obtaining All Pertinent Job Facts) Job Description Job Specification Statement containing items such as: A statements of the human requirements for doing a job (a) Job Identification (job title, location, (a) Physical make-up or Characteristics occupational code, alternative name in use, name of division, department and unit where it exists) (b) Job Summary (gives a quick capsule (b) Psychological characteristics. explanation of the contents of a job, its hazards and discomforts) (c) Duties performed (says the what, how (c) Personal characteristics. and why of a job; also describes and worker’s responsibilities in regard to custody of money, supervision of other workers, training of subordinates, etc.) (d) Relation to other jobs (gives how many (d) Responsibilities. persons may be supervised). (e) Supervision given/taken (helps in (e) Other factors of a demographic nature locating a job in the job hierarchy). (f) Machines, tools, equipment (what type of tools/equipment material is used). (g) Materials and forms used (h) Conditions of work (i) Hazards (accident hazards) THE STEPS IN JOB ANALYSISThere are basic steps required for doing a job analysis, viz.,Step 1: Collection of Background InformationStep 2: Selection of Representative Position to be AnalyzedStep 3: Collection of Job Analysis DataStep 4: Developing A Job DescriptionStep 5: Developing Job Specification TECHNIQUES OF JOB ANALYSIS DATA The determination of job tasks, the concomitant skills and abilities necessary for successful performance, andthe responsibilities inherent in the job can be obtained through such methods or approaches as the following: (i) Personal observation; (ii) Sending out questionnaires; BSPATIL
  28. 28. 28 (iii) Maintenance of log records; and (iv) Conducting personal interviews.(i) Personal observation: The materials and equipment used, the working conditions and probable hazards, and anunderstanding of what the work involves are the facts which should be known by an analyst. Direct observation isespecially useful in job that consist primarily of observable physical ability, like the jobs of draftsman, mechanic,spinner or weaver.(ii) Sending out Questionnaire : The method is usually employed by engineering consultants. Properly draftedquestionnaires are sent out to job-holders for completion and are returned to supervisors. However, the informationreceived is often unorganized and incoherent. Then idea in issuing questionnaires is to elicit the necessary informationfrom job – holders so that any error may first be discussed with the employee and, after due corrections, may besubmitted to the job analyst.(iii) Maintenance of Log Records: The employee maintains a daily diary record of duties he performs, marking thetime at which each task is started and finished – But this system is incomplete, for it does not give us any desirabledata on supervisor relationship the equipment used, and working conditions. Moreover, it is time-consuming.(iv) Personal interviews: may be held by the analyst with the employees, and answers to relevant questions may berecorded. But the method is time-consuming and costly. JOB DESIGN The enthusiasm with which HRM has been embraced by many working with in the theory and practice of jobdesign is founded upon its prediction and promise that individuals will be provided with stimulating and enrich jobs.Not only will individual employees perform far more varied and skill jobs but through the resulting quantitative andqualitative performance improvements organizations will become far more competitive. Hence, one of the mostimportant components of organizational effectiveness and economic prosperity is the attention and details paid to thedesign of work tasks. THE TWO APPROACHES TO JOB DESIGN The first approach is a focus, that is the discrete and autonomous active interventions made by management inthe employment relationship designed to increase performance by, for example: • Increasing motivation • Commitment • Placating discontent and alienation • Improving the flexibility of employee utilizationPosition or Job Description (ID) “Job description” is an important document which is basically descriptive in nature and contains a statementsof job analysis. It provides both organizational information (location in structure, authority etc.) and functionalinformation (what the work is). It defines the scope of job activities, major responsibilities, and positioning of the jobin the organisatoin. It provides the worker, analyst, and supervisor with a clear idea of what the work must do to meetthe demands of the job. “Job description” is different from “ performance assessment.” The former concerns such functions asplanning, coordinating, and assigning responsibility, which the latter concerns the quality of performance itself.Though job description is not assessment, it provides an important basis for establishing assessment standards andobjectives. BSPATIL
  29. 29. 29 Job Description describes the ‘jobs’ not the ‘job holders’ the movement of employees due to promotion, quits,etc. would create instability to job description if people rather than jobs are described. USES OF JOB DESCRIPTIONJob description has several uses , such as: (i) Preliminary drafts can be used as a basis for productive group discussion, particularly if the process starts at the executive level. (ii) It aids in the development of job specifications, which are useful in planning recruitment, if training and in hiring people with required skills. (iii) It can be used to orient new employees toward basic responsibilities and duties. (iv) It is basic document used in developing performance standards. (v) It can be used for job evaluation, a wage and salary administration technique.A job description enables the manager to frame suitable questions to be asked during an interview. It is particularlyhelpful when the application form is used as a tool for eliminating the unfit personnel. According to Zerga, a jobdescription helps us in: (i) Job grading and classification (ii) Transfers and promotions (iii) Adjustments of grievances; (iv) Defining and outlining promotional steps; (v) Establishing a common understanding of a job between employers and employees. (vi) Investigating accidents; (vii)Indicating faulty work procedures or duplication of papers; (viii)Maintaining, operating and adjusting machinery (ix) Time and motion studies; (x) Defining the limits of authority (xi) Indicating case of personal merit; (xii)Facilitating job placement. (xiii)Studies of health and fatigue (xiv)Scientific guidance (xv)Determining jobs suitable for occupational therapy; (xvi)Providing hiring specifications; and (xvii)Providing performance indicators. BSPATIL