3. DEFINITON OF HR-ACCOUNTING
American Accounting Association (1980) has
defined human resource accounting as follows:
“Human resource accounting is the process of
identifying and measuring data about human
resources and communicating this information to
interested parties”
According to Flameouts,
“Human resources accounting is the
measurement of costs and value of the people for
the organization”
HR-ACOUNTING & BARS
5. OBJECTIVES
OF HR- ACCOUNTING….(2)
4) Attract and retain qualified people
5) Enable management of the organization to
effectively monitor the use of human
resources.
6) To aid in the development of management
principles and proper decision making for
the future.
HR-ACOUNTING & BARS
7. NEED & IMPORTANCE
HR-ACCOUNTING
Managerial Decision Making
Enhances Quality of
Management
Helps the Efficient Allocation
of Resources
Increases Human asset
Productivity
Improves Morale, Cooperation,
Job Satisfaction
Human Asset Control
HR-ACOUNTING & BARS
8. DISADVANTEGES OF HR-
ACCOUNTING
1. No availability of standard
2. Opposition of trade union
3. Expenditure on HRA
4. Variety of method create
confusion
5. Uncertainty about continuance
of employees
6. Lack of perfect knowledge about
future earning of HR
HR-ACOUNTING & BARS
9. INTRODUCTION OF BARS
( Behaviorally Anchored Rating Scale )
Meaning of BARS :
Behaviorally Anchored Rating scales (BARS) are
scales used to rate performance for employees.
It was developed by ‘Smith’ and ‘Kendall’ to
provide a better methods of
rating employees. It differs
from “ standard ” rating scales in
one central respect, in that it
focuses on employee performance
HR-ACOUNTING & BARS
11. IMPORTANT OF BARS
( Behaviorally Anchored Rating Scale )
Important
of BARS
Analysis
Performance of
Working
Understanding
Positions of
Behaviors
Employee
Individuals
Behavior Display
Benefit of
Employee and
Organization
Help to analysis
Salary,
Incentive and
Promotion
HR-ACOUNTING & BARS