The document provides an overview of human resource management systems (HRMS) and their importance for growing companies. It discusses various HR functions like recruitment, employee appraisal, training, and leave/payroll management. It presents a case study of a company that expands and needs to recruit more employees, highlighting the recruitment process and documents required. Key topics covered include the recruitment cycle and sources, performance appraisal methods, training objectives and approaches, and using an HRMS to manage employee data and skills for internal transfers.

1. Sushil S Mundada

2. Agenda
 My Introduction
 Introduction to Business Applications (BA)
 Introduction to HRMS
 Recruitment – Technique
 Employee Appraisal
 Employee Training
 Leave Accounting and Payroll
 Case study on Recruitment
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3. Success in the IT Industry
Communication
Technology
(Verbal,
(Software or
Written,
Programming
Interpersonal,
skills)
etc)
Domain (Application or
System knowledge)
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4. Introduction to BA
 Applications to satisfy business needs
 Simplifies and supports the business
 Examples:
 Human Resource Management System
 Sales and Distribution Management System
 Production Planning Control System
 Banking System
 Customer Relationship Management System
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5. The Story begins…
 Three young guys named Raj, Rahul and Rajiv are
studying in IIT, Mumbai. In their final year they come
up with a idea to develop mobile based software
applications for health services.
 All three of them decide to form a company
“HealthSoft Application Services Pvt. Ltd.” setup in
Pune
 They work hard and come up with their first product
which becomes a hit in the market.
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6. After few years
 Initially the three friends are only ones working for
the company
 After few years the company adds few more products
and also the number of employees go up to 150
 With growth come newer challenges – there are
interpersonal issues, it is difficult to track the
responsibility areas of the employees as well as the
three owners, the recruitment cost keeps increasing,
employees keep complaining of low salaries
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7. The bigger challenges
 In midst of all this chaos, the company does well but
its growth rate slows down. The three friends keep
wondering what is wrong since they seem to do
everything right.
 The sales team is bringing in the projects, the
development team executes the project with
perfection, the testing team does great work as well.
 So what exactly is missing…???
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8. Nailing the challenge
 After a lot of deliberation, the three friends
understand what needs to be corrected…They had not
really planned for the most important resource of their
organization – the HUMAN RESOURCE
 They decide to hire an experienced Human Resource
Manager – Sam, to create the HRMS (Human Resource
Management System) for their organization
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9. Introduction of HRMS
 Sam explains HRM is the organizational function that deals
with issues related to people such as
 compensation
 hiring
 performance management
 organization development
 safety and wellness
 benefits
 employee motivation,
 communication
 administration
 training and development
 HRMS provide a link between human resource
management and information technology
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10. Recruitment
 Raj informs Sam that they have successfully bid for a
new project and they will need to hire 25 more
resources within next 2 months
 Sam decides to design the recruitment process which
is the process of
 attracting,
 screening, and
 selecting
qualified people for a job at an organization or firm.
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11. Internal Sources
 Transfers: From one department to another
 Promotions: The employees are promoted from one department
to other (or same) based on experience
 Upgrading and Demotion of present employees
 Retired and Retrenched employees
 The dependents and relatives of Deceased employees and
Disabled employees
 Advantage: Recruitment from internal sources save time and
costs of the organizations as the people are already aware of the
organizational culture and the policies and procedures
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12. External Sources
Source Advantage
Press Advertisements Wide reach
Educational Institutes - Campus Increases employment
Recruitment
Placement Agencies Wide options and short turn around
time
Government employment exchanges Cheaper
Labour contractors Source manual labour
Unsolicited applicants Create talent pool or database
Employee referrals/Recommendations Increase loyalty of existing employees
E-portals Increased reach
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13. Recruitment Process
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14. Factors Affecting Recruitment
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15. Employee Appraisal
 Performance appraisal rates the employees in terms of
their performance
 It defines and measures the performance of the
employees and the organization as a whole
 It is a tool for accessing the performance of the
organization
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16. Need for Appraisal
 Review the performance over a given period of time
 Judge the gap between actual and desired performance
 Diagnose the training and development needs
 Provide information for promotions, transfers etc.
 Provide clarity of the expectations and responsibilities
of the functions
 Reduce the grievances of the employees
 Strengthen the relationship and communication
between superior – subordinates
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17. Appraisal Methods
 Top-Down Employee Performance Evaluations
 Peer-to-Peer Employee Performance Evaluations
 Self-Assessment Performance Reviews
 360 Degree Appraisal
 Team Performance Appraisal
 Rank and Yank Strategy
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18. Problems or Limitations while
conducting appraisals
 Halo effect
 Horn effect
 Central tendency
 Leniency and strictness
 Spill over effect
 Fear of loosing subordinates and spoiling relations
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19. Employee Training
 Objectives of Training - availability of a skilled and willing
workforce to an organization
 Individual Objectives – help employees in achieving their
personal goals
 Organizational Objectives – assist the organization with its
primary objective by bringing individual effectiveness
 Functional Objectives – maintain the department’s
contribution at a level suitable to the organization’s needs
 Societal Objectives – ensure that an organization is
ethically and socially responsible to the needs and
challenges of the society
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20. Training methods
On-the-job (OTJ) Training Off-the-job (OTJ) Training
• Job Rotation • Computer Based Training
• Mentoring • Lectures
• Coaching • Labs
• Distant Learning
• E-Books
• Coaching
• Seminars/Workshops
• Group Study
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21. Training Benefits
 Increased job satisfaction and morale
 Increased efficiencies in processes, resulting in
financial gain
 Increased capacity to adopt new technologies and
methods
 Increased innovation in strategies and products
 Reduced employee turnover
 Enhanced company image
 Risk management, e.g., training about sexual
harassment, diversity training
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22. Case study
 HealthSoft has decided to expand operations further
 Its managers know that they have to expand its
employment from 175 to 500 in next 1 year. In addition, the
company branch at Nasik, needs to be closed, due to low
performance.
 But then there are a few employees, employed at Nasik
office, who have very good management skills; and a few
who are technically skilled. These employees are the
company’s assets & wouldn’t want to lay them off.
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23. Case Study (contd.)
 The H.R managers are in a fix , in deciding the techniques
to be used to increase employee strength in Pune, from 175
to 500.
 Suggest suitable business process that can be used for
recruitment in Pune. Specify the different input
documents(detailed documents) that are necessary for
your specified business process & also suggest any
supporting reports that can be obtained from your
specified business process.
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24. Solution Approach – First collect the direct
stated facts
 The company decided to expand its operation
 Now the second part of the case study says - the company
decides to close operations in Nasik. There are a few heads in
Nasik, the company wish to retain, as assets.
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25. Solution Approach – Second collect the
unstated facts
 Indications of a hiring process.
 The HR co ordinates with different departments
fo0r their demands of filling new employees. All
the respective department heads fill their
requirements in the ERP system, under HR -
Recruitment module.
 HR decides to have a policy of Internal Hire for
such potential candidates and shift its potential
good candidates from Nasik location to Pune
location
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26. Different input documents
 The input data is: An employee requisition form from various
departments stating the requests for hiring respective positions
needed.
 The company HR may also use ERP - HR module to find suitable
candidates to shift from Nasik to Pune, using the following
search/report criterion.
 Reports required for hiring processes:
 No of vacancies
 Job descriptions - requirement of experience, skills, age, salary,
position etc.
 Interview dates - Recruitment drives
 Resume bank - application pools
 Specify details about external and internal sources, recruitment
process, and new trends in recruitment 26

27. Supporting reports
 The reports used for Inputs from any ERP software:
 Employee details - personal and official like name, address,
family details, age, official such as - department details,
reporting structure, etc.
 Employee Skills
 Employee Experience summary.
 Employee’s performance rating, based on their appraisal
score.
 Employee salary structure
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28. Important questions
1. What is HRM (Human Resource Management)? In HRM,
which policies and practices carried out by management?
2. What is recruitment? What are the internal and external
factors for recruitment?
3. What are the different methods of recruitments? Explain
with example. Differentiate between external and
internal recruitment? Advantages and Disadvantages of
each.
4. What is purpose of recruitment?
5. Discuss stages of recruitment process? Explain the
process of recruitment with diagram?
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29. Important questions
 What are the different types of leaves?
 Define appraisal process. List any four
objectives of Employee Appraisal
 List any four Traditional methods of Appraisal.
 What are the problems appear in appraisal?
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30. Important questions
 Which are methods and technique of training?
What is on job training and off job training?
 What are inputs in training and development?
 What are the objectives of Employee Training?
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