Transcript HUMAN RESOURCE MANAGEMENT Intoduction.ppt

HUMAN RESOURCE
MANAGEMENT
Acknowledgements
These notes have been prepared from the
books written by the following authors:
V.S.P Rao
Schwind, Das, Werther, Davis
Unit-I
Concepts & Perspectives of HRM;
HRM in changing environment, HRM
functions, Role of HR Practitioners;
HR Policies, Corporate objectives and
Human Resource Planning.
People are Different
Heterogeneous
Different reactions
Educated (New Technology)
Motivation level
Definition
Human resource may be defined as the
art of procuring, developing and
maintaining competent workforce to
achieve the goals of an organization in
an effective and efficient manner.
Features
Pervasive Force
Action Oriented
Individually oriented
People oriented
Development oriented
Integrating mechanism
Comprehensive Function
Auxiliary Service
Inter-disciplinary function
Continuous function
Scope of HRM
Personnel aspect
Welfare aspect
Industrial relations aspect
Misconceptions
1. Lack of expertise
2. Alienation from the mainstream
3. Fascination with latest fads
4. Lack of respect
Objectives of HRM
1. To contribute to organizational
effectiveness
2. To be efficient and cost effective
3. To be responsive to lager societal
concerns
4. To meet personal needs of its
employees
Objectives of HRM
1.
2.
3.
4.
5.
6.
7.
To help the organization reach its goals
To employ the skills and abilities of the
workforce efficiently
To provide the organization with well
trained and well motivated employees
To increase to the fullest the employee’s job
satisfaction and self-actualization
To develop and maintain a quality of work
life
To communicate HR policies to all
employees
To help maintain ethical policies and
behavior
Importance of HRM
1.
Enterprise Level
a)
2.
Individual Level
a)
b)
c)
3.
Retain best people in the organization
Promotes team work and spirit
Excellent growth opportunities
Work with diligence and commitment
Society Level
a)
b)
Employment opportunities
Scarce talents are put to best use
New Management Practices
1. Boundary less organization
2. Employee empowerment
3. Diminished corporate layers
4. Changed power base
5. New Manager a sponsor, a team
leader
6. Commitment building
Role of HR Manager
Changing from protector and screener
to the planner and change agent
Planning and implementing downsizing,
restructuring and other cost cutting
activities
HRM in India
Static
Legalistic
Ritualistic
History of HRM
1.
Industrial Revolution
Fragmented and Dull jobs, workers did portion
of the job, workers were glorified machine tools,
interests of workers not protected
2.
Scientific Management
Taylor advocated, work is broken down into
smallest mechanical elements and rearranging
them into efficient combination. Individuals
should be matched physically and mentally to
the requirements of the task. Piece rate system.
History of HRM
3.
Trade Unionism
Collective bargaining, unfair labor practices,
grievance handling, disciplinary procedures, pay
and benefits
4.
Human Relations Movement
Hawthorne experiments by Elton Mayo
demonstrated that employee productivity was
affected not only by the way the job was
designed and employee economically rewarded
but also by certain social and psychological
factors. Includes supervisory training programs,
strengthen bonds between labor and
management and counseling programs
History of HRM
5.
Human Resources Approach
Pet Milk theory that happy workers are
productive workers or happy cows give more
milk was rejected. Workers are unique with
their own needs and motivation levels. This
Approach assumes that job is the primary source
of satisfaction and motivation to the employees.
Emphasis on individual involvement in the
decisions made in the organization.
Human Resources Approach
People do not dislike work if they have helped
establish objectives
Theory Y- Most people can exercise a great deal
more self-direction, self-control and creativity than
are required in their current jobs
Manager’s job is to use untapped human potential
Manager should create a healthy, safe and
convenient environment
Manager should provide self-direction to the
subordinates
Expanding subordinates influence
Work satisfaction
Terminology
Management
HRM
Empowerment
HRD
Job Analysis
Employee Development
Case
Does Sincerity pay?
Environmental Challenges
Economic
Challenges
Government
and Legal
Challenges
Societal
Challenges
Human
Resource
Management
Technological
Challenges
Demographic
Challenges
Economic and Societal Challenges
1.
Economic Challenges
Global Trade Challenge
Challenge of Productivity Improvement
2.
Technological Challenges
Computerization
Automation
3.
Demographic Challenges
Increasing number of women in the workforce
Shift from Primary to Service jobs
Educational attainment of workers
Employment of older workers
More part time workers
Unemployment
4.
Cultural Challenges
Steps in Dealing with
Environmental Challenges
1. Monitor the environment
2. Evaluate the impact
3. Take proactive measures
4. Obtain and analyze feedback
Factors Influencing Personnel FunctionExternal
Technological
Economic
Political
Social
Local & Govt. Issues
Unions
Employer’s demands
Workforce diversity
Rao
Internal
Mission
Policies
Organizational Culture
Organizational
Structure
HR Systems
Three Dimensions of Personnel Management
Personnel
Management
Personnel
Aspect
Recruitment,
selection, placement
training, appraisal,
compensation,
productivity
Welfare
Aspect
Working
conditions,
amenities,
facilities,
benefits
Industrial
Relations
Aspect
Union-management
relations, disputes
settlement,
grievance handling,
discipline,
collective
bargaining
Functions of Personnel Management
Managerial Functions
Planning
Organizing
Directing
Controlling
Operative Functions
1. Employment
Job Analysis
HR Planning
Recruitment
Selection
Placement
Induction and Orientation
Functions of Personnel Management
2.
Human Resource Development
Performance Appraisal
Training
Management Development
Career Planning and Development
Organization Development
3.
Compensation
Job Evaluation
Wage and salary administration
Incentives
Bonus
Fringe benefits
Social security measures
Functions of Personnel Management
Human relations
5. Effectiveness of Human resource
Management
4.
Organization health
Human resource auditing, audit and research
Personnel Policy
Brewster and Richbell defined Personnel
policies as “a set of proposals and actions
that act as a reference point for managers in
their dealings with employees. Personnel
policies constitute guides to action. They
furnish the general standards or bases on
which decisions are reached. Their genesis
lies in an organization's values, philosophy,
concepts and principles”.
E.g. equal employment opportunity to
minorities
Procedures
Procedures are action guidelines. They
are derived from policies.
Advantages of Personnel Policies
Delegation
Uniformity
Better control
Standards of efficiency
Confidence
Speedy decisions
Coordinating devices
Obstacles in Administering Personnel
Policies
Reluctant managers
Conflicts in policy specially employment
Difficult to review and update
Freedom to managers dangerous
Characteristics of Personnel
Policy
Related to objectives
Easy to understand
Precise
Stable and flexible
Based on facts
Appropriate number
Just, fair and equitable
Reasonable
Review
Coverage of Personnel PoliciesMichael Armstrong
Social responsibility
Equity
Consideration
Quality of Work Life
Employment policies
Promotion policies
Development policies
Relations policies
Line and Staff Relationships
Line Relationships exists between
superior and subordinate. Line refers to
those positions of an organization which
have responsibility, authority and are
accountable for accomplishment of
primary objectives.
Line and Staff Relationships
Staff Relations
When positions are created to secure advice,
guidance, information, help or assistance,
counseling etc. in the process of attaining
organizational goals
Staff authority is advisory. A staff manager
helps serve, investigate, plan, solve special
problems, supports line effort, provides ideas
and has special expertise.
Personnel Management- Line or Staff
The personnel management is a line
management responsibility but a staff function.
Personnel managers perform the various
functions of personnel management viz.
employment, training, development, wage and
salary administration, motivation, grievance
redressal, workers’ participation in
management, collective bargaining etc.
Also personnel managers perform certain staff
functions relating to management of personnel
like advising, assisting, guiding, suggesting,
counseling and providing information to line
managers.
Human Resource Planning
The process of getting the right number
of qualified people into the right job at
the right time.
Objectives
Forecast personnel requirements
Cope with changes
Use existing manpower productively
Promote employees in a systematic
manner
Benefits
Reservoir of Talent
Prepare people for future
Expand or contract
Cut costs
Succession Planning
HRM at Different Levels
1. National level
2. Sectoral Level
3. Industry Level
4. Unit level
5. Departmental level
6. Job Level
The Process Of HRP
1. Forecasting the demand for Human
resources
2. Preparing Manpower Inventory
3. Determining Manpower Gaps
4. Formulating Manpower Plans
Human Resource Planning
(cont’d)
Small Business and HR Planning Issues
Attracting and retaining qualified outsiders
Management succession between
generations of owners
Evolution of HR activities as business
grows
Family relationships and HR policies
HR Planning Process
Manpower Plan: Strategies
Recruitment Plan
Redeployment Plan
Redundancy plan
Training Plan
Productivity Plan
Retention Plan
Control Points
Benefits of HR Planning
Better view of the HR dimensions of business
decisions
Lower HR costs through better HR management.
More timely recruitment for anticipate HR needs
More inclusion of protected groups through planned
increases in workforce diversity.
Better development of managerial talent
Responsibility for HRP
Prof. Geisler outlined the responsibilitiesAssist and counsel operating managers to
plan and set objectives
Collect and summarize manpower data
keeping long run objectives and
organizational interests in mind
Monitor and measure performance against
the plan and keep top management informed
Provide proper research base for effective
manpower and organizational planning
Problems in HRP
Accuracy
Support
Number’s game
Indian Organizations
Inadequate records
Improper retrieval systems
Non-computerized personnel information
Current technologies and knowledge not put
to use optimally
Changes in labor market
Difficulties in forecasting resignations, deaths,
turnovers etc.
Guidelines
Objectives
Top Management Support
Manpower Inventory
Human Resource Information System
Coordination
Suggested Readings:
1. Dessler, Gary, Human Resource Management, Pearson
2.
3.
4.
5.
6.
7.
8.
9.
Education Asia, New Delhi.
Rao, V.S.P., Human Resource Management-Text & Cases,
Excel Books, New Delhi.
Ramaswamy, E; Managing Human Resources, Oxford
University Press, New Delhi
Irancevich, John, Human Resource Management,
Irwin/McGraw Hill.
Casio, Wayne F; Managing Human Resources, McGraw Hill
Inc.
Subba Rao, P; Essentials of Human Resource Management
& Industrial Relations, Text, Cases & Games, Mimbai,
Himalaya Publishing House.
Mondy R.W; Noe, R.M., Premeaux, S.r. and Mondy J.B;
Human Resource Management, Prentice Hall Inc.
Saiyodain, Human Resource Management, TMH, N.Delhi.
Aswthappa, Human Resource Management, TMH, N.Delhi.