Chapter No. 1


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Human Resource Management

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Chapter No. 1

  1. 1. CHAPTER 01 Human Resources Management or Personnel Management is defined as Planning, Organizing, Directing and Controlling of the procurement, development compensation, integration, maintenance and separation of human resources to the end that individual, organizational and societal objectives are accomplished.
  2. 2. <ul><li>Planning: </li></ul><ul><li>Effective Managers need to spend more time on Planning. Planning for Human Resource Manager means determination in advance of a personnel program that will contribute to goals established for the enterprise and for that purpose involvement/participation of Human Resources Manager is must. </li></ul>
  3. 3. <ul><li>Organizing : is process of designing the structure of relationships among jobs, personnel and physical factors. </li></ul><ul><li>Directing: is also known as “motivation”, “actuation” or “command” is linked to getting people to go to work willingly and effectively. </li></ul>
  4. 4. <ul><li>Controlling : concerns with regulating activities in accordance with the personnel plan, which in turn was formulated on the basis of analysis of fundamental organization goals. </li></ul>
  5. 5. <ul><li>Procurement: is concerned with the obtaining of the proper kind and number of personnel necessary to accomplish the organizational goals. It deals with determination of human resource requirement and their recruitment selection and placement. The hiring process includes: applications screening, tests, checking references and conducting interviews. </li></ul>
  6. 6. <ul><li>Development: deals with increase of skills through training that is necessary for proper job performance. This activity of development is important because of change in technology, re-alignment of jobs and increasing complexity of managerial task. </li></ul>
  7. 7. <ul><li>Compensation: is defined as the adequate and equitable remuneration of personnel for their contributions to organizational objectives. It covers job evaluation wage policies, wage systems and extra compensation plans. </li></ul>
  8. 8. <ul><li>Integration: it is concerned with an attempt to effect a reasonable reconciliation of individual, societal and organizational interests. It covers grievances, disciplinary action and labor unions. </li></ul><ul><li>Maintenance: is concerned with physical condition of the employee to be maintained including health and safety. </li></ul>
  9. 9. <ul><li>Separation: The first function of Human Resources Manager is hire/secure employee; the last should be separation and return of that person to the society in good shape. The separation covers: retirement, layoff, discharge etc. </li></ul>
  10. 10. <ul><li>CHALLENGES OF A MODERN HURMAN RESOURCES MANAGER </li></ul><ul><li>changing Mix of workforce </li></ul><ul><ul><li>Increased No: of minority members entering occupations with greater skills </li></ul></ul><ul><ul><li>increasing levels of formal education for entire workforce </li></ul></ul><ul><ul><li>more female employees (flexible working hours + sharing of jobs by 2-3 or more people) </li></ul></ul><ul><ul><li>more married female employees </li></ul></ul><ul><ul><li>more working mothers </li></ul></ul><ul><ul><li>increasing majority of white-collar employees in place of blue-collar </li></ul></ul>
  11. 11. <ul><li>Changing personal values of the workforce </li></ul><ul><ul><li>Work ethics : has spiritual meaning in America which includes punctuality, honesty, diligence fringe benefits linked with skills required for the job. </li></ul></ul><ul><ul><li>Flexi time : allows flexibility of working hours. Flexi time was 1st started in Germany and then by other countries. </li></ul></ul><ul><ul><li>Redesigning of job. </li></ul></ul><ul><ul><li>Benefits to the Employer : due to Flexi time: </li></ul></ul><ul><ul><ul><li>Enhanced productivity </li></ul></ul></ul><ul><ul><ul><li>Reduced absenteeism </li></ul></ul></ul><ul><ul><ul><li>Improved morale and reduced turn-over. </li></ul></ul></ul>
  12. 12. <ul><li>changing expectations of citizen-employees </li></ul><ul><ul><li>improved quality of working life </li></ul></ul><ul><ul><li>right of speech </li></ul></ul><ul><ul><li>right of privacy </li></ul></ul>
  13. 13. <ul><li>Changing level of productivity </li></ul><ul><li>Problems of declining productivity in America: </li></ul><ul><li>various federal regulations adding to cost without enhancing productivity (e.g., environment health and safety) </li></ul><ul><li>such laws led to increase in female employees </li></ul><ul><li>American Managers have short term profit orientation and postponing research and development </li></ul>
  14. 14. <ul><li>Increase in the services sector than manufacturing sector. </li></ul><ul><li>Adversial relationship with labor unions reduced cooperation and decrease in productivity </li></ul><ul><li>Employees’ alienation decrease productivity. This attitude is because of high job insecurity, narrow and meaning less job, autocratic managers who deny employee participation in decisions regarding quality of work </li></ul><ul><li>No discrimination against workers aged 40 to 70 years. </li></ul>
  15. 15. <ul><li>Maintenance : Occupational Safety and Health Act 1970 (enforces standards through inspection and fines) </li></ul><ul><li>Separation : </li></ul><ul><ul><li>Social Security Act, 1935 (retirement benefits and unemployment compensation to those laid off by firms. </li></ul></ul><ul><ul><li>Employee retirement Income Security Act, 1974 (pensions + ownership of shares) </li></ul></ul>
  16. 16. <ul><li>Changing demands of government </li></ul><ul><ul><li>National Legislation – P/M is more legalized society: </li></ul></ul><ul><ul><li>Federal Law relating to: </li></ul></ul><ul><ul><li>Procurement: </li></ul></ul><ul><ul><ul><li>Civil Rights Acts 1964 (no discrimination on basis of race, color, religion, nationality & sex) </li></ul></ul></ul><ul><ul><ul><li>Equal opportunity Act, 1972 (direct court action) </li></ul></ul></ul><ul><ul><ul><li>Rehabilitation Act, 1973 (to hire handicapped people) </li></ul></ul></ul>
  17. 17. <ul><ul><li>Development </li></ul></ul><ul><ul><ul><li>National Apprenticeship Program Act, 1937 </li></ul></ul></ul><ul><ul><ul><li>Manpower Development & Training Act, 1962 </li></ul></ul></ul><ul><ul><ul><li>Civil Rights Act, (1964) relates to training program. </li></ul></ul></ul>
  18. 18. <ul><ul><li>Compensation </li></ul></ul><ul><ul><ul><li>Davis – Bacon Act, 1931 – (minimum wages for govt. construction work) </li></ul></ul></ul><ul><ul><ul><li>Fair labor standards Act, 1938 (sets minimum wages + overtime hours in commerce </li></ul></ul></ul><ul><ul><ul><li>Equal Pay Act, 1963 (Equal pay for men and women for same job) </li></ul></ul></ul><ul><ul><ul><li>Civil Rights Act, 1964 (applies to pay) </li></ul></ul></ul>
  19. 19. <ul><ul><li>Integration </li></ul></ul><ul><ul><ul><li>National Labor Relation Act (Wagner) 1935 (gives right to form unions on employer) </li></ul></ul></ul><ul><ul><ul><li>Labor Management Relations Act 1947 (obligation for proper bargaining on Unions) </li></ul></ul></ul><ul><ul><ul><li>Civil Rights Act, 1964 (applies to discipline Age Discrimination Act, 1967. </li></ul></ul></ul>
  20. 20. <ul><li>changing new technology (NT) </li></ul><ul><li>changing size of organization </li></ul>