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Chapter 5 Human Resources Management and Staffing


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Chapter 5 Human Resources Management and Staffing

  2. 2. Overview & DefinitionHRM is the management of variousactivities that are designed to enhance theeffectiveness of the manpower in anorganisation in the achievement oforganisational goals.Human Resource Management (HRM)may be defined as the function ofplanning for human resource needsandrecruitment, selection, development, compensation and evaluation ofperformance to fill those needs.
  5. 5. HUMAN RESOURCE PLANNING Human Resource Planning is the process of determining future human resource needs relative to an organisation’s strategic plan and devising the steps necessary to meet those needs.Parts of HRM1) Forecasting Manpower Demand2) Forecasting Manpower Supply3) Human Resource Actions
  6. 6. HUMAN RESOURCE PLANNINGRESOURCE DEMAND FORECASTING RESOURCES SUPPLY FORECASTINGLong Range1. Strategic Plans 1. Current Inventory2. Demographics 2. Productivity Levels3. The Economy 3. Turnover Rate4. Technological Trends 4. Absenteeism Rate5. Social Trends 5. Movement among Jobs RateShort Range1. Production Schedules / Budgets a. Time Series b. Ratios c. Work Standards2. Affirmative Action / Equal Employment Opportunity (EEO) Goals3. Relocations/Plant Closings HUMAN RESOURCE ACTIONS 1. Hiring 2. Training 3. Career Management 4. Productivity Program 5. Reduction in Force
  7. 7. MANAGER INVENTORY CHART General Manager (GM) Production Finance Marketing Personnel Manager Manager Manager Manager-------------------- ---------------------- ------------------------- ---------------------------- Akhil Sehgal L.K.Krishna D.Srinivasa Rao Sarita (42,5,D) (39, 4, A) (41, 2,C) (40, 4, B) Nagarjuna Rajesh Saini Anita Roy (45,7,B) Anjali (45,7,B) (41,3,D)--------------------------- (44,7,D) ------------------------- ------------------------- ------------------------- A.M.Kumar J.K.Mittal (50, 8, D) Mohith Kalyani Aditya (39, 4, B) (43,4,B)--------------------------- (45,9,D) N.Shivani ------------------------- ------------------------- (44,6,A) Sreejith--------------------------- Meera Iyer (40, 2, A) G.Akhilesh (50,6,C) (30,2,B)--------------------------- H.Lavanya A – Immediately Promotable (27,1,C) B – Promotoable in 1 Year C - Potential for further promotion 42= Age, 5 = Years in Position D- Satisfactory, but not promotable E – Terminate
  8. 8. Advantages of Manager Inventory Chart1. Clear Idea about staffing situation.2. Clear indication on future supply of managers3. Reduces migration or resignations.4. Identifies not performing employees and to be trained or replacement.5. Managers can be transferred from one dept. to another department and helps weak dept.’s.
  9. 9. DISADVANTAGES OF MANAGER INVENTORY CHART1. Doesn’t show position to which one can be promoted. Not necessarily fit for other dept.(E.g. - Sales to Purchase Dept.)2. Data insufficient for Fair Assessment of an individual3. Updating chart Time Consuming and requires a lot of effort.4. Top Level Managers fear losing to competent subordinates to other organisational units.
  10. 10. STAFFINGStaffing is defined as filling andkeeping filled, positions in theorganisation.Take into account internal factors of thefirm such as Personnel Policies, Climate inOrganisation, Appraisal System.For example with changes in technologyneed for hiring workers who can work withhigh technology demands.
  11. 11. Recruitment Recruitment is the process of identifying and attempting to attract candidates who are capable of filling job vacancies appropriately. To attract those applicants who are best qualified to fill the vacancies. Effective selection depends on effective recruitment.Sources of Recruitment1. Internal Recruitment2. External Recruitment
  12. 12. Advantages of Internal & External Recruitment Internal Recruitment External Recruitment•Familiarity of candidate with Influx of new ideas.organisation’spolicies, procedures and Candidates who areculture recruited from competitors provide valuable information•Available information and about competitors moves andobservation by superiors strategies.facilitates easier selection. Facilitates recruitment of•Selection and socialisation of candidates with diverse skills,job incumbents involves less expertise and vasttime and money. experience.•Enhances employee moraleby offering opportunities forupward mobility.•Prevents high –qualityemployees from leaving theorganisation.
  13. 13. Disadvantages of Internal and External Recruitment Internal Recruitment External RecruitmentLack of new ideas. •Lack of reliable information increases the probability ofNeed for expensive training committing mistakes inprograms selection.Can breed nepotism and •Expensive processpolitical maneuvers. •Orientation process mayLeads to “Ripple Effect” consume a lot of time.May leave unsuccessful •Breeds resentment amongcontenders disgruntled. aspiring internal candidates.
  14. 14. External Recruitment Advertising Educational Institutions Employment Agencies Voluntary Applicants Referrals by Current Employees
  15. 15. Recruitment ProcessPerform Design Job Develop a Attract a SelectJob Description Job Pool of the BestAnalysis Specification Applicants Recruits Job Analysis 1. Analysing the environment (nature of competition, customers etc.) in which employees work. 2. Determining duties and responsibilities to be discharged. 3. Observing and recording the various tasks of the job as they are actually performed.
  16. 16. Job AnalysisJob Analysis is often done through interviews, direct observation or by using a questionnaire that is completed by the person current holding the job and his immediate supervisor. It forms the basis for Job Description and Job Specifications.Systematic Job Analysis1. Functional Job Analysis (FJA)2. Position Analysis Questionnaire (PAQ)
  17. 17. Functional Job Analysis (FJA)1) The data, people and jobs pertaining to individuals job.2) Methods and techniques that the individual uses on the job.3) Tools and equipment used by the worker.4) Products and services produced by the worker.First three dimensions – Input and Job Activities.Fourth dimension – Output and Job Performance
  18. 18. Components of Job Analysis Job Description Job Specification (Emphasis is on the job) (Emphasis is on the individual) Objectives of the Job •Minimum qualificationWork to be performed requiredSkills needed •Listing of skills, education and work experience neededResponsibilities involved to perform the job.Relationship of the job toother jobsWorking conditions
  19. 19. Position Analysis Questionnaire (PAQ)1. The sources of information that are critical to Job Performance.2. Information processing and decision- making critical to Job Performance.3. The amount of physical activity and skill required for the job.4. Physical working conditions and reactions of individuals to those conditions.5. Other characteristics of the job, such as work schedules and work responsibilities.
  20. 20. SELECTION PROCESS1) PRELIMINARY SCREENING2) APPLICATION BLANK3) SELECTION TEST – Intelligence tests, personality tests, knowledge tests, performance tests.4) COMPREHENSIVE TESTS - Structured, Semi-structured, Unstructured5) REFERENCE CHECK-Mail, Phone, Person6) PHYSICAL EXAMINATION7) MAKING THE SELECTION
  21. 21. SOCIALISATIONSOCIALISATION-Process of adaption by new employee is referred as Socialisation Process.A. Initial Socialisation – occurs during recruitment, selection, and during introductory training efforts by firm.B. Extended Socialisation – aims at making recruit feel that he or she is an integral part of the company.