MHC - Course Manual

London School of Commerce
MANAGING HUMAN CAPITAL
COURSE MANUAL
1
MANUAL CONTENTS
Page
Session 1 : An Introduction to Human Resource Management 4

& Its Evolution
Session 2 : Human Resource Planning 32
Session 3 : Job Analysis & Design 52
Session 4 : Recruitment 68
Session 5 : Selection 86
Session 6 : Training & Development 126

Page 1
Page
Session 7 : Compensation & Benefits 138
Session 8 : Employee Relations 177
Session 9 : Motivation 197
Session 11 : Change Management 218
Session 12 : Strategic Human Resource Management 238
Session 13 : A Roadmap for Preparing a Strategic Plan for HRM 257
Session 14 : The HR Value Proposition 271
Page 2
ANNEX
Annex 1 : Seminars
Annex 2 : Recommended Readings
Annex 3 : Sample Assignments & Sample Examination Papers
Annex 4 : Supporting Material
Page 3
SESSION 1 INTRODUCTION TO HUMAN RESOURCE
MANAGEMENT AND ITS EVOLUTION
HRM DEFINITIONS AND DOMAIN

Personnel Management
Human Resource Management
Human Resource Development
Human Capital Management
HRM AND COMPETITIVE ADVANTAGE
DISCUSSION QUESTIONS
S 1 / 01 . 28 Page 4
HRM DEFINITIONS
Debate prevails between precise definitions, but here are some definitions : -
The Institute of Personnel and Development (IPD) states, before being granted
Chartered status claimed : -
Personnel management is the part of the management concerned with people at work
and their relationships with an enterprise. Its aim to bring together and develop into an
effective organisation the men and women who make up an enterprise and, having
regard for the well being of the individual and of working groups, to enable them to
make their best contribution to its success.
S 1 / 02 . 28 Page 5
In particular, the Institute claimed that personnel management was concerned with the
development and application of policies governing :
-- Human resources planning, recruitment, selection, placement and termination

-- Education and training, career development
-- Terms of employment, methods and standards of remuneration
-- Working conditions and employee services
-- Formal and informal communication and consultation both through the
representatives of employers and employees and at all levels throughout the
enterprise
-- Negotiation and application of agreements on wages and working conditions ;
procedures for the avoidance and settlement of disputes.
S 1 / 03 . 28 Page 6
Personnel management is also concerned with the human and social implications of
change in internal organisation and methods of working, and of economic and social
changes in the community.
Human Resource Management is the term that is replacing Personnel Management, to

emphasise that this management function should optimise the deployment of an
organisations human resource.
According to Graham and Bennett (1998),

Human resources management concerns the human side of the management of
enterprises and employees relations with their firms. Its purpose is to ensure that the
employees of a company, i.e. its human resources, are used in such a way that the
employer obtains the greatest possible benefit from their abilities and the employees
obtain both material and psychological rewards from their work. Human resources
management is based on the findings of work psychology.
S 1 / 04 . 28 Page 7
Walton (1985) emphasises the mutuality between employers and employees :
Mutual goals, mutual influence, mutual respect, mutual rewards, mutual responsibility.
The theory is that policy of mutuality will elicit commitment which in turn will yield both
better economic performance and greater human development.
Beer & Spector (1985) emphasised a new set of assumptions in shaping their meaning of
HRM, this being a proactive system of wide intervention, with emphasis on fit linking
HRM with strategic planning and cultural change.
HRM dynamics have changed from the environmental influences in labour markets, leading
to emergent trends : -
According to Graham and Bennett (1998), other organisational changes that have affected
HRM in the West from the 1980s onwards, include :
S 1 / 05 . 28 Page 8
Individualism rather than collectivism as a consequence of the decline in the number
of employees belonging to trade unions
Wage systems based on personal contracts where a workers pay is set through
individual negotiation with the firm, as opposed to collective bargaining involving
trade unions
Increasing numbers of temporary and part-time employment
The idea that managers and workers have common interest in achieving company
goals
The need for cost-cutting and lean production methods due to increasing
international business competition
Flexible labour practices
Teamwork, the implementation of corporate values, company-wide (rather than

individual) learning and the idea of putting the customer first.
S 1 / 06 . 28 Page 9
According to Graham and Bennett (1998), the introduction of new production
technologies that depend heavily on multi-skilled, flexible working practices and
changing cultures resulted in personnel management being placed in increasingly
critical positions within organisations. Personnel work has become associated with
wider business functions and with business strategy. Therefore, personnel managers
have become more involved with general business management, empowerment of
workers, total quality management and organisational modification. Human resource
decisions have to be taken at the very top level of management within the company.
The following relationships and differences between HRM and personnel

management may be distinguished :
S 1 / 07 . 28 Page 10
Personnel management is practical, utilitarian and instrumental, and mostly
concerned with administration and the implementation of policies. HRM has
strategic dimensions and involves the total deployment of human resources
within the firm. The strategic approach to HRM involves the integration of
personnel and other HRM considerations into the firms overall corporate
planning and strategy. It is proactive, seeking constantly to discover new ways
of utilising the labour force in a more productive manner, thus giving the
business a competitive advantage.
HRM is concerned with the wider implications of the management of change

and not just the effects of change on working practices. It seeks to proactively
encourage flexible attitudes and the acceptance of new methods.
S 1 / 08 . 28 Page 11
Personnel management is reactive and diagnostic. It responds to changes in
employment law, labour market conditions, trade union actions, government
codes of practice and other environmental influences. HRM, on the other hand,
is prescriptive and concerned with strategies, the initiation of new activities and
the development of fresh ideas.
HRM determines general policies for employment relationships within the

enterprise. Thus, it needs to establish within the organisation a culture that is
conducive to employee commitment and cooperation. Personnel management
is primarily concerned with imposing compliance with company rules and
procedures among employees, rather than with loyalty and commitment to the
firm.
S 1 / 09 . 28 Page 12
The emergence of Human Resource Management (HRM) resulted from economic
pressures in the US and UK markets in the 1980s in the desire to create a conflict-free
workforce whereby employees and employers worked together towards the same goal.
This was necessary because competition was intensifying, new technology increased
the pace of business and the recognition that there was a strategic role for human
resource management to play. Thereby the concept of a matching model was proposed
whereby there was a strategic fit between HR and Business Strategy.
Therefore for HRM to be strategic, it had to encompass all areas of HR across the
organisation. This meant organisation wide commitments to HRM. In turn, the
effectiveness of organisations rested upon how strategy and structure was integrated
across the organisation.
S 1 / 10 . 28 Page 13
The effectiveness of organisations rested on how strategy and structure of the
organisation interrelated and a more flexible model was developed by Beer and his
associates (1984) at Harvard University. Their model is known as the map of HRM
territory.
The the map of HRM territory recognises the legitimate interest of stakeholders and
that the creation of HRM strategies would have to recognise these interests and fuse
them as much as possible into human resource strategy and ultimately the business
strategy.
Guest (1987) claimed that a combination of a set of propositions, which include

strategic integration, high commitment, high quality and flexibility created more
effective organisations.
S 1 / 11 . 28 Page 14
Strategic integration was defined as the ability to integrate HRM issues into their
strategic plans, to ensure that various aspects of HRM cohere and for line managers to
incorporate an HRM perspective into their decision-making.
High commitment was defined as being concerned with both behavioural commitment
to pursue agreed goals and attitudinal commitment reflected in a strong identification
with the enterprise.
High quality refers to all aspects of managerial behaviour, including management of

employees and investment in high quality employees, which in turn will bear directly
on the quality of the goods and services provided.
Flexibility is seen as being primarily concerned with what is sometimes called

functional flexibility but also with an adaptable organisational structure with the
capacity to manage innovation.
S 1 / 12 . 28 Page 15
Two important points cannot be overlooked.
1. It has raised questions about the nature of employment relationships.
2. Management of employee relations and the question of employee commitment to

the employment relationship remains at the centre of the debate.
Human resource management however defined, concerns the management of

employment relationships practiced in organisations by managers. The nature of the
organisation and the way it is managed, constitute the context within which HRM is
embedded, and thereby generate the tensions that HRM policies and practices tend to
resolve.
S 1 / 13 . 28 Page 16
THE HR CONTEXT
The understanding of HR issues and challenges depends upon perception and the
corporate ideology. This leads to contested interpretations almost all the time, because
the very nature of people makes HR Management complex which results in inherent
tensions across organisations.
These tensions arising from differing aims, interests and needs have to be continuously
resolved through managerial control so that the organisation can be orchestrated to
meet the diverse needs of its stakeholders.
S 1 / 14 . 28 Page 17
DEFINITION -- HRD
Human Resources Development means those learning experiences (purposeful

or intentional learning, not incidental learning) which are organised (learning
experience will need to be organised and need to support of the regular HRD
function), for a specific time (for the learner and the organisation to know
when a learning experience starts and when it is completed), and designed to
bring about the possibility of behaviour change.
American Society for Training and Development (ASTD)
S 1 / 15 . 28 Page 18
The role of the HR Developer falls into 3 main areas : -
1. Learning Specialist 2. Administrator 3. Consultant
Facilitator of learning Developer of HRD Advocate

personnel
Curriculum builder Expert
Instructional strategist Supervisor of HRD Stimulator
programs
Change agent
Maintainer of relations
Arranger of facilities and

finance
S 1 / 16 . 28 Page 19
WHAT IS OD ?
Organisational Development or OD is : -
Top management-supported, long-term effort to improve an organisations

problem-solving and collaborative diagnosis and management of organisational
culture with special emphasis on formal work-team, temporary team, and
inter-group culture with the assistance of a consultant-facilitator and the use
of theory and technology of applied behavioural research, including action
research.
(French and Bell, 1990)
S 1 / 17 . 28 Page 20
The role of the Human Resource Management, could be classified into 3 main areas, namely
HRD, HRU and HRE.
1. Development (HRD) 2. Utilisation (HRU) 3. Environment (HRE)

Training Recruitment Job Enrichment
Education Selection Job Enlargement
Development Placement Organisation Development
Appraisal (OD)
Compensation
Workforce Planning
This presents a simple framework which attempts to offer clarity into the domain of HRM.
S 1 / 18 . 28 Page 21
HUMAN CAPITAL MANAGEMENT
Today, the term Human Capital Management is replacing HRM in the belief that it is a more
strategic approach to people management is needed to facilitate business development and
growth, together with increasing employee productivity that is achieved through more effective
and efficient HR processes in part enabled by integrated HR Information Technology.
Whatever the terminology, it is the mindset of this vital business function that is important
whereby people are valued, people are treated as an asset rather than a company expense.
The term Human Capital refers to the collective competencies, knowledge, personality and
engagement and talent attributes across the organisation to produce economic value. The
development of Human Capital is the result of investment in education & training and the
combined workplace experience which produces knowledge, skills and appropriate attitudes
which are harnessed into an operating corporate culture.
S 1 / 19 . 28 Page 22
HR AND COMPETITIVE ADVANTAGE
Today with progressive globalisation, constant pressures to achieve and sustain

competitive advantage are with us.
Competitive advantage is achieved through differentiation, this requires a committed

workforce.
Organisation, to achieve competitive advantage, according to Guest (1987) require :
Strategic integration -- The ability of organisations to integrate HRM issues into

their strategic plans, to ensure that the various aspects of HRM cohere and for line
managers to incorporate an HRM perspective into their decision-making
S 1 / 20 . 28 Page 23
High commitment Being concerned with both behavioural commitment to
pursue agreed goals and attitudinal commitment reflected in a strong
identification with enterprise
High quality -- Refers to all aspects of managerial behaviour, including

management of employees and investment in high-quality employees, which in
turn will bear directly on the quality of the goods and services provided
Flexibility Primarily concerned with what is sometimes called functional

flexibility but also with an adaptable organisational culture with the capacity to
manage innovation.
S 1 / 21 . 28 Page 24
HRM should have an internal coherent approach, i.e. an alignment between each of the
main people management interventions selection, appraisal, rewards and
development.
S 1 / 22 . 28 Page 25
Beer et al (1984) developed a Harvard model/Four Cs model of HRM. This involves
stakeholder theory. In their model the effectiveness of the outcomes of HRM should be
evaluated under the following headings, often described as the Four Cs. In turn these
should support the competitive position of the organisation.
Commitment -- This concerns employees loyalty to the organisation,

personal motivation and liking for their work. The degree of employee
commitment might be assessed via attitude surveys, labour turnover, attrition
rates and absenteeism statistics and through interviews with workers who quit
their jobs.
S 1 / 23 . 28 Page 26
Competence -- This relates to employees skills and abilities, training
requirements and potential for high-level work. These may be
estimated through employee appraisal systems and the
preparation of skills inventories. HRM policies should be
designed to attract, retain and motivate competent workers.
Congruence -- Where management and workers share the same vision of the
organisations goals and work together to attain them. The
vision provides the guiding principles that govern the work
of the organisation, I.e. how things are done, when, by whom
and how enthusiastically. Internal communications, leadership
styles and working methods will affect the vision-sharing
within the organisation. Congruence is evident in the absence
S 1 / 24 . 28 Page 27
of grievances and conflicts in the organisation and in
harmonious industrial relations.
Cost effectiveness -- This concerns operational efficiency. Outputs must be

maximised at the lowest input cost and the organisation
must be quick to respond to market opportunities and
environmental change.
S 1 / 25 . 28 Page 28
Competitive Advantage, as opposed to competitive disadvantage can be achieved where : -
Contented, dedicated employees inspires excellence and value adds to the

business
Employee stability encourages sustained investment
Well entrenched shared values facilitate longer term development plans
A positive, supportive and energetic organisation culture attracts the best talent
and the company becomes the employer of choice that is recognised and
acclaimed by customers and other stakeholders
S 1 / 26 . 28 Page 29
Quality breeds quality
A good organisational climate enables the implementation of change,

strengthens core competences and enhances core values.
Today HRM or Human Capital Management as it has become a vital strategic role to
play in organisational success & competitive positioning.
S 1 / 27 . 28 Page 30
DISCUSSION QUESTION
HUMAN RESOURCE MANAGEMENT AND HUMAN CAPITAL MANAGEMENT ARE

JUST FASHIONABLE TITLES FOR PERSONNEL MANAGEMENT. DISCUSS.
IN YOUR COUNTRY OF ORIGIN, WHAT DO YOU CONSIDER THE EVOLUTION OF

HUMAN RESOURCE MANAGEMENT TO BE FOR
MEDIUM SIZE LOCAL COMPANIES
MULTI-NATIONAL ORGANISATIONS
Note : Opinions can be based upon the manual content but could be supplemented from
experience as well as holding discussions with HR Professionals.
S 1 / 28 . 28 Page 31
SESSION 2 HUMAN RESOURCE PLANNING
HR PLANNING -- A DEFINITION
THE HR CYCLE
EFFECTIVE HR PLANNING
HRP AND THE ORGANISATIONAL CONTEXT
ELEMENTS FOR HR PLANNING
S 2 / 01 . 20 Page 32
SESSION 2 HUMAN RESOURCE PLANNING
MAIN HRP ISSUES
THE LABOUR MARKET
HRP AT OPERATING LEVEL
DISCUSSION QUESTION
S 2 / 02 . 20 Page 33
HR PLANNING --- A DEFINITION
Human Resource (HR) planning is the process of identifying and quantifying current and
future people resources needs. It should also reveal deficiencies and limitations in an
organisations human resource competencies and capacity.
In simple terms, HR Planning is therefore the process by which management ensures that it
has the right people to enable the organisation to achieve its objectives.
HR Planning is a critical function of Human Resource Management because it is dedicated to

acquisition, utilisation, retention and development of enterprise human resource for
organisational sustainability.
HR Planning must take into account the succession requirements of the organisation and be
fully involved with the HR cycle.
S 2 / 03 . 20 Page 34
THE HR CYCLE
1. HR planning - identifies
existing & future needs
& priorities
8. Promotion or outplacement 2. Recruitment and selection --
Re-deploymnet for organisational identifies right people & sources
performance objectives them
7. Training and development 3. Induction Introduces new people

People Development knowledge, to the organisation on-boarding
attitude and skills
6. Performance appraisal Reviews 4. Job descriptions Clarifies

& classifies performance for profiling, each role to be fulfilled
recognition & reward
5. Mentoring, Coaching and

counselling to get the best
out of the Human Capital resource
S 2 / 04 . 20 Page 35
EFFECTIVE HUMAN RESOURCE PLANNING
The power achieved in organisations which are expert in the management of human resource
planning is considerable. Whatever the area of activity, organisations that get results are those
that know how to get the right people into the right place at the right time and how to manage
and deploy them effectively once they are there.
Usually this involves :
Identifying the strategic importance of HR planning to an organisation.
Identifying the kinds of human resources that are needed to fulfill the planned
objectives, quantitatively in terms of numbers and deployment and qualitatively
in terms of competences, aptitudes, skills and attitudes.
Identifying where the organisation lacks human talent.
S 2 / 05 . 20 Page 36
Using a range of techniques to define job roles.
Developing a process of recruitment and selection to place individuals in

positions and teams where they can exercise those talents.
Evaluate recruitment and selection practices.
Clarifying responsibilities and communicating objectives to ensure that the performance of

teams and individuals links in with the objectives of higher-level units of the organisation.
Making provision for the flow of people into, within and out of the organisation.
Growing the capacities of individuals and teams in purposeful ways that relate to the
present and future plans of the organisation.
Work within the budget cycle of the time for future human resource budgeting
requirements.
S 2 / 06 . 20 Page 37
HRP AND THE ORGANISATIONAL CONTEXT
Procedures for HRP must install a system of established policies and practices and this
cannot be avoided.
This means that clarification of strategy based upon business strengths, the design of an
effective organisation structure and a system of HRP to provide the link between
organisational objectives and organisation structure.
This link provides a framework within which a systemic and systematic approach can be
given to recruitment and selection ; within defined policies.
S 2 / 07 . 20 Page 38
HRP AT ORGANISATIONAL LEVELS SHOULD AT LEAST BE : -
An analysis of existing staffing, the staff inventory and the staff record system
Forecasts of HR future needs over a defined timescale against a labour market

supply forecast. This will involve scenario planning for organisational change
and incremental improvements in staff development that will be necessary
A forecast of actual staffing needs to achieve organisational ambitions the

Demand forecast
An Action Plan of Recruitment and Selection to reconcile Supply and Demand.
S 2 / 08 . 20 Page 39
CURRENT PRACTICE
The current practice of devolving HRP to company section heads is now common place.
All section heads with responsibility for subordinate staff must : -
Know their people requirements for the future
Recognise the importance of Recruitment and Selection and become closely

involved unit
Assess the effectiveness of current policies and processes for recruitment with a
view to improvement
Improve the methods used and the techniques / skills in staff selection
Providing expanded employment opportunities for minority groups & the disabled
In turn this helps to drive organisational performance and contribute to the achievement of
the Strategic Intent for the organisation.
S 2 / 09 . 20 Page 40
ELEMENTS FOR HR PLANNING
STRATEGIC INTENT
CORPORATE OBJECTIVES
AUDIT OF EXISTING
HR TALENT STRUCTURAL
DESIGN STAFFING DEMAND
ANTICIPATED FORECASTS
CHANGES & DRIVERS LABOUR POOL
STAFFING SUPPLY ACTION

FORECAST PROGRAMMES POLICIES & PROCESSES
JOB RECRUITMENT TRAINING & MANAGEMENT REDEPLOY- REDUNDANCY TRANSI-

ANALYSIS & SELECTION NEEDS ANALYSIS DEVELOPMENT MENT TIONING
INDUCTION COMPETENCY SUCCESSION

AUDIT PLANNING
RECONCILIATION OF STAFFING NEEDS BUDGET
S 2 / 10 . 20 Page 41
HR Planning must be set against a backcloth of organisational culture and organisational
climate.
From organisation to organisation, the scope of the HR Plan will differ in terms of content,
time and dependency.
S 2 / 11 . 20 Page 42
THE MAIN HRP ISSUES ARE : -
Successful Planning
Recruitment issues in relation to sourcing & speed
Skills strategies in the labour market
Changes in the competencies needed in order to remain effective & productive
Staff retention difficulties
One Root cause is considered to be in Selection procedures but others are centred around
recruitment, remuneration, training & development and employee relations.
As staff turnover increases so does the direct labour cost to the organisation, it wastes
management time, affects morale and the job satisfaction of those affected. In turn this may
impact upon customer satisfaction and business results. Therefore HR Planning cannot be
ignored, it has a strategic contribution to make to organisational performance.
S 2 / 12 . 20 Page 43
THE LABOUR MARKET
INTERNAL SUPPLY
The HR Department should have skills inventories and competency frameworks for the
existing inventory of human talent. This may not be updated if internal systems to capture
such data are absent or ineffective.
A Human Resource Information System is important so that an analysis of renewal or

replacement can be achieved. This is also an important indicator to management that the
HR department is on top of their game and moreover we are aware of the resources
available. In planning the future of the business labour stability and certainty is important,
therefore the availability of employee data is essential.
S 2 / 13 . 20 Page 44
EXTERNAL SUPPLY
The labour force availability will be a function of the economic position of the country, in
times of recession there is more availability and labour costs soften. Unemployment rates
also have a bearing on such matters.
The Demographic trends in the Labour Supply and the workforce diversity have also to be
factored in.
Those entering the labour market as school and university graduates have to be compared
to those leaving employment or even entering retirement, so that knowledge of the labour
force is at hand.
S 2 / 14 . 20 Page 45
However the real issue is availability of people who match the competency requirements of
the organisation at the levels in the organisational hierarchy. Normally this is manifest as a
labour shortage, which requires the HR planner to be creative in searching and securing the
required talent to meet company labour needs.
This may include employing people on partial contracts, employing temporary workers,
contract staff, outsourcing and expanding existing worker hours.
S 2 / 15 . 20 Page 46
PREDICTING LABOUR DEMAND -- QUANTITATIVE APPROACH
A simple method is to use an index, based upon sales, or a similar factor which best predicts human
resource needs, then plot this against the labour productivity ratio, compute this for the last 5 years and then
forecast future demand, as shown below.
YEAR SALES IN LABOUR PRODUCTIVITY = HUMAN RESOURCE

ACTUALS $ 000s (SALES PER EMPLOYEE) DEMAND
(Year 1 to 5) (NUMBER OF EMPLOYEES)
1 2351 14.33 164
2 2613 11.12 235
3 2935 8.34 352
4 3306 10.02 330
5 3613 11.12 325
FORECAST
6 4176 11.50 363
7 5860 11.50 509
8 6500 11.50 565
NB : This is a rough tool because assumptions must be made about future sales in years 6, 7 & 8 and also about
sales per employee.
S 2 / 16 . 20 Page 47
QUALITATIVE APPROACH TO LABOUR DEMAND FORECASTING
The Quantitative approach needs to be modified with management forecasts from supervisors,
departmental managers and other experts about the organisations future employment needs.
To reduce the subjectivity of these forecasts, judgements need to be summarised and a final
forecast made based upon a composite group. This technique is known as the Delphi Technique.
The composite demand can then be applied to staffing tables of all organisational jobs with the
number of employees currently occupying those jobs and then make projections of future
employment requirements. This needs to be take into account those people who have transitional
between hobs through re-deploymnet and/or promotion.
This analysis will help with assessing staff for succession and those who are ready as potential
replacements. This headcount needs to then be assessed by the skills and competencies required to
meet organisational growth objectives.
Forecasting future labour demand is therefore more complex than first thought because there are a
number of contingent variables.
S 2 / 17 . 20 Page 48
To assess the current staff inventory who may be ready to take up new positions and in fact replace
others who may leave or be redeployed / promoted a simple matrix can be used to assess the quality
of people employed.
ASSESSMENT MATRIX
A B C
PROMOTABLE NEEDS NOT FITTED TO
NOW DEVELOPMENT SUPPORT POSITION
1. Superior Performance
2. Above Average Performance
3. Acceptable Performance
4. Poor Performance
NB : The staff by department can then be entered into the main body of the matrix
S 2 / 18 . 20 Page 49
HUMAN RESOURCE PLANNING -- ORGANISATIONAL LEVEL
The domain of HRP will vary from organisation to organisation. This role maybe absorbed into
the general management function of HRM or be specified as a specialist function within the
HR Department.
Those working in this area will need to be fully appraised of the legal frameworks for
employment and the mandated codes of conduct for employees.
Operationally HRP will also include : -
Job analysis, job specifications and job descriptions
People profiling
Recruitment
Selection & Screening methods
Interviews & Interview plans
Selection decisions and criteria for assessment
Induction and follow-through
Socialisation Processes
A periodic review of the effectiveness of policies and operational processes will be expected.
S 2 / 19 . 20 Page 50
HR PLANNING IS AT THE EPICENTRE OF HUMAN RESOURCE MANAGEMENT ?

WHY IS IT SO IMPORTANT ?
HOW CAN THE MANAGEMENT OF HR PLANNING BECOME MORE EFFECTIVE ?
S 2 / 20 . 20 Page 51
SESSION 3 JOB ANALYSIS AND DESIGN
THE IMPORTANCE OF JOB ANALYSIS
JOB ANALYSIS REQUIREMENTS
THE JOB DESCRIPTION
PERSON SPECIFICATIONS
S 3 / 01 . 16 Page 52
THE IMPORTANCE OF JOB ANALYSIS
Job Analysis is an essential for effective staff selection. It also provides a basis for subsequent
processes such as : -
Performance Appraisal
Training
Reward Systems
Staff Development
Work Design
The Study of Working Conditions and Work Challenges
S 3 / 02 . 16 Page 53
The importance of Job Analysis to Line Managers must be stressed because detailed
information is needed for the workflow processes to be understood. Moreover it helps in
making intelligent hiring decisions. Each Line Manager is responsible for ensuring each
individual in performing satisfactorily, so therefore a clear understanding of tasks required
for each job is essential.
S 3 / 03 . 16 Page 54
JOB ANALYSIS REQUIREMENTS
Job Analysis requires an assessment of : -
The skills needed to do the job
Special aptitudes required
Technical Knowledge
Essential Qualifications to perform the job role
The present duties of the post (unless a new post)
How the job functions have been affected by technological innovation
Elements of the job that might be carried out more efficiently by another
position
S 3 / 04 . 16 Page 55
The physical and social environment, contact inside and outside the organisation
Equipment required
The line of command
Future prospects for holders of the post
Change that may affect the job in the future
S 3 / 05 . 16 Page 56
JOB DESCRIPTION
The HR Planner in preparing a job description must know : -
The main purpose of the job
The main accountabilities
Outputs expected
Processes involved
Interactions with others
Competencies required
Essential qualifications for holders of the post
S 3 / 06 . 16 Page 57
A SIMPLE TEMPLATE FOR A JOB DESCRIPTION
Job title
New / Existing Position
Department / Section / Location
Function of the Department
Main Purpose of the Job
Competencies Desired
Qualifications Required
Specific Duties and Responsibilities
Most Challenging Elements of the Job
S 3 / 07 . 16 Page 58
Specific Limitations to Authority
Responsibility and Reporting Relationships
Performance Indicators
Functional Interface
Wage / Salary Indication and Financial Package
Signed by HOD / Section
Date prepared
Ref. No.
S 3 / 08 . 16 Page 59
PERSON SPECIFICATIONS
Linked to the job description should be a specification of the ideal candidate to hold the post.
Education and qualifications
General intelligence and special aptitude
Personality
Experience
Interests
Motivation and Personal Energy
S 3 / 09 . 16 Page 60
PERSON SPECIFICATIONS --- RODGER AND MUNRO
The person specification will list skills, attributes, knowledge and abilities required from the
ideal candidates.
Two well used models for such specifications are : -
Rodgers (1952) seven point
Munros five - plan
Its aim is to answer two questions What abilities should the ideal applicant have ? and
What should he / she be like ?.
S 3 / 10 . 16 Page 61
According to Rodgers Seven Points are : -
1. Physical make-up : health, appearance, bearing and speech

2. Attainments : education, qualifications, experience
3. Intelligence : intellectual capacity
4. Special aptitudes : mechanical, manual dexterity, facility in use of own words and
figures
5. Interests (including those outside work) : Intellectual, practical, construction, physical
activity, social, artistic
6. Disposition : Acceptability, influence over others, steadiness, dependability, self-
reliance
7. Circumstances : Any special demands on the job, such as the ability to work unsocial
hours, travel abroad.
S 3 / 11 . 16 Page 62
According to Munro, there are Five Points which must be taken into account. The prospective
employees
1. Impact : The effect the employee will have on the organisation in terms of existing
workforce and the influence they will be able to exert
2. Qualifications : Relating to the attainment category of the seven-point plan what they
have achieved academically and the experience they can bring with them
3. Brain and abilities : Not only what they have achieved but what they have the ability to
achieve
4. Motivation : The commitment the job is likely to elicit from them and their enthusiasm
and willingness to learn
5. Adjustment : Their ability to adapt to new surroundings and to quickly achieve a top
level of performance
S 3 / 12 . 16 Page 63
PERSON SPECIFICATIONS --- PERSONAL SKILLS AND COMPETENCIES
The following may be considered in addition to those mentioned earlier : -
Team Building Ability

-- Build relationship with others
-- Make time for others
-- Encourage others
-- Enhancing the capabilities of others
-- Provide feedback to others
-- Managing others
-- Fairness
S 3 / 13 . 16 Page 64
-- Communications skills
-- Prioritising objectives
-- Morale and productivity
-- Conflict resolution
-- Inspiring others
Communicating
-- Encourage understanding
-- Identify the information needs of listeners
-- Reinforce points
-- Promote understanding
-- Act in response to feedback
-- Acting assertively : for example, taking a leading role
S 3 / 14 . 16 Page 65
-- Acting assertively : for example, taking a leading role
-- Acting strategically : for example, clearly relating goals to the aims of the
organisation
-- Behaving ethically : for example, resolving ethical dilemmas
-- Focusing on results : for example, setting objectives
-- Influencing others : for example, handling others emotion without
becoming personally involved
-- Managing personal learning and development : for example, learning from
ones mistakes and those of others
-- Thinking and taking decisions : for example, analysing
-- Conceptualising : for example, identifying problems and understanding them
All of these are of course challenging to test at the selection stage, moreover, the list is
almost endless. In summary, technical skills, interpersonal effectiveness and critical /
strategic thinking are very important pragmatic criteria.
S 3 / 15 . 16 Page 66
THE APPROACH TO JOB ANALYSIS DESIGN IS VERY PROCEDURAL

BECAUSE EXISTING SYSTEMS AND METHODS ARE WELL DEFINED. COULD
YOU PROPOSE A MORE CREATIVE WAY TO ACHIEVE THIS HR PROCESS ?
SHOULD COMPANIES FIT PEOPLE TO JOBS OR JOBS TO PEOPLE ? JUSTIFY

YOUR ANSWER.
S 3 / 16 . 16 Page 67
SESSION 4 RECRUITMENT
RECRUITMENT AND SELECTION DEFINED
THE NEED FOR RECRUITMENT
RECRUITING FROM INSIDE THE ORGANISATION
RECRUITING OUTSIDE THE ORGANISATION
RECRUITING SITES
COST OF RECRUITMENT
S 4 / 01 . 18 Page 68
RECRUITMENT AND WORK PATTERNS
RECRUITMENT AND THE LAW
S 4 / 02 . 18 Page 69
RECRUITMENT AND SELECTION DEFINED
RECRUITMENT is the PROCESS OF ATTRACTING NEW PEOPLE TO

THE ORGANISATION
SELECTION is the PROCESS OF IDENTIFYING A PARTICULAR

PERSON TO FILL A PARTICULAR POST FROM
EITHER WITHIN OR OUTSIDE THE
ORGANISATION
S 4 / 03 . 18 Page 70
Both should integrate with other aspects of the HR Function eg. : -
Resource Planning
Training & Development
Competence Assessment
Performance Review
Career Management
Reward Strategy
Both have to appreciate the demand and current supply within the labour market.
S 4 / 04 . 18 Page 71
THE NEED FOR RECRUITMENT
The rationale for recruitment is multi-faceted. People are the lifeblood of the organisation.
To explore the motives for recruitment, the following list is appropriate.
Recruitment is designed to : -
Support organisational development & growth

Fill job vacancies
Innovate with new ideas, skills and experiences
Enable process re-engineering initiatives
Combat staff attrition rates
Avoid the Peter principle (ie. To promote people to a level where they have
become incompetent)
S 4 / 05 . 18 Page 72
Resource the organisation after economic downturn and periods of redundancy
Ensure a relevant labour pool to meet changing market conditions
Hire new talent
Ensure adequate headcount to achieve job functions and responsibilities
S 4 / 06 . 18 Page 73
RECRUITING FROM INSIDE THE ORGANISATION
Benefits of recruiting-from-within policy : -
Capitalises on past investments in current employees
Rewards past performance and encourages continued commitment to the

organisation
Signals to employees that similar efforts by them may lead to promotion
Saves time in comparison to recruiting externally
Communicates through HR, that there is an internal job market
S 4 / 07 . 18 Page 74
INTERNAL METHODS OF LOCATING QUALIFIED JOB CANDIDATES
Human Resources Information System (HRIS)
Database systems containing the records and qualifications of each employee that can be
accessed to identify and screen candidates for an internal job opening.
Job Posting and Bidding
Posting vacancy notices and maintaining lists of employees looking for upgraded
positions on the company intranet.
S 4 / 08 . 18 Page 75
OUTSIDE SOURCES OF RECRUITMENT
Media Advertisements Labour unions
Unsolicited applications and resumes Public employment agencies
Internet recruiting Private employment agencies
Employee referrals Temporary help agencies
Executive search firms
Educational institutions
Professional organisations
S 4 / 09 . 18 Page 76
EFFECTIVENESS OF RECRUITMENT SOURCES
The following are considered to be the best sources of recruitment : -
Employee referrals
College recruiting
Executive search firms
Professional associations
Media Advertisements
Direct applications, unsolicited
Private employment agencies
Public employment agencies
S 4 / 10 . 18 Page 77
RECRUITING WEBSITES
www.topjobsites.com
www.alec.co.uk
www.employnetguide.com
www.flipdog.com
www.careerbuilder.com
www.hotjobs.com
www.monster.com
This is just a selection of established sites for recruitment and job seekers. You may wish to
search further to sites which cover your geographic recruitment requirements.
S 4 / 11 . 18 Page 78
DIFFERENT WORK PATTERNS
Different work patterns are evolving, which the HR recruiter must be aware of : -
Provision of Childcare Facilities
Flexible Working Days
Job Sharing
Hot Desking
2 Shift Working
Part Time Workers
Working From Home
Short-term Contracts
S 4 / 12 . 18 Page 79
THE COST OF RECRUITMENT
The total cost of recruitment is rarely calculated, and when it is, the result of the calculation is
much higher than originally thought.
Consider the following formula : -

Cost of Recruitment per employee (RC)
RC = AC + AF + RB + NS + SI + IM + TC + S&B + OPT Time

X taken to fill
H position
NS = No Shows after acceptance

OPT = Optimal Reference Time (Learning Curve)
AC = Advertising Costs SI = Selection Interview

AF = Agency Fees IM = Internal Meetings to discuss candidates
RB = Referral Bonuses TC = Tracing & Coaching
H = Total Number Hired H = Total Number Hired
Even then, a number of qualitative factors have also to be taken into further consideration. In short,
recruitment cost is greater than most managements appreciate.
S 4 / 13 . 18 Page 80
RECRUITMENT AND THE LAW
This will vary country to country. Be aware of
Employment Legislation
Health and safety at work
Rights of people at work
Equality (pay, treatment, gender, opportunities, age, disability, race)
Legal protection against discrimination (direct on grounds of equality), indirect
manually focuses job descriptions which exclude specific groups)
Procedures for dealing with offenders
Legal protection for young people who are under 18 years.
S 4 / 14 . 18 Page 81
CONTRACTS OF EMPLOYMENT
Another legal issue concerning recruitment is that of contracts of employment. A common

law contract of employment usually arises when an individual applies for a position, the
employers specifies the terms of that employment and if they are agreed, a contract is
concluded.
Implied terms in a contract of employment are those terms that are so obvious that it would
be ridiculous to specify them or where they are necessary to give effect to the contract and it
could not work without them.
In many countries, legislation requires that the terms of contract of employment must be
stipulated in writing and be made available to the employee within a specified time period. If
there are any alterations made to those terms and conditions of employment required by law
to be in writing notification must, by law, be given to the employee.
S 4 / 15 . 18 Page 82
The terms to be stipulated are :
The name of the employer and the employee

The job title if the employer requires flexibility then this should be
stipulated in the contract or refer to an attached job description
The date of commencement of employment
Scale of remuneration and the intervals when paid for example, monthly. If
payment is not made, then the contract is deemed to have been breached.
Normal hours of work
Holiday entitlement and holiday pay
S 4 / 16 . 18 Page 83
Particulars of any pension or pension scheme
Terms and conditions regarding incapacity due to injury or sickness
The period of notice This must not be less than any statutory period which
applies in employment legislation
Disciplinary rules and procedures and grievance procedures.
You should also consider legislation which governs the employment of part-time, fixed term
and temporary staff.
S 4 / 17 . 18 Page 84
COMPANIES INTERNATIONALLY CONSIDER RECRUITMENT TO BE THE

BIGGEST CHALLENGE FOR HR PROFESSIONALS TO ATTRACT NEW TALENT.
WHY IS THIS SO ?
WHAT MEASURES CAN BE INTRODUCED, IF ANY, TO MAKE RECRUITMENT

MORE EFFECTIVE ?
IF YOU WERE REQUIRED TO PRODUCE A PLAN TO RECRUIT NEWLY-QUALIFIED

GRADUATES INTO A MANAGEMENT TRAINING SCHEME FOR A MULTI-
NATIONAL ORGANISATION, HOW WOULD YOU PROCEED ?
S 4 / 18 . 18 Page 85
SESSION 5 SELECTION
MATCHING PEOPLE & JOBS
THE SELECTION PROCESS CRITERIA
DIFFERENT TYPES OF TESTS
EFFECTIVENESS OF SELECTION METHODS
INTERVIEWING METHODS
GROUNDRULES FOR EMPLOYMENT INTERVIEWS
S 5 / 01 . 40 Page 86
A TYPICAL INTERVIEW SEQUENCE
ROLE PLAY
INDUCTION
INDICATORS OF EFFECTIVENESS IN THE RECRUITMENT

& SELECTION PROCESS
S 5 / 02 . 40 Page 87
MATCHING PEOPLE AND JOBS
SELECTION
The process of choosing individuals who have relevant qualifications to fill

existing or projected job openings.
SELECTION CONSIDERATIONS
Person-to-job fit : job analysis identifies required individual competencies for job
success.
Person-to-organisation fit : the degree to which individuals are matched to the culture
and values of the organisation.
S 5 / 03 . 40 Page 88
THE SELECTION PROCESS CRITERIA
An ideal selection process should meet at least 3 criterias : -
Validity
Reliability
Acceptability
Validity
The requirement for the test to really be able to achieve productive validity, that is the
extent to which the test results will predict subsequent job performance. We must
ensure that the test really is valid in that it tests what it claims. It is useful to apply
these tests on current employees to ensure content validity and measurement of
relevant constructs (eg. honesty & creativity).
S 5 / 04 . 40 Page 89
Reliability
The tests will give consistent results which are comparable overtime, even when used
by different HR people.
Acceptable
Tests should be acceptable to the candidate in order to create a favourable impression
of the organisation they are seeking to join and be mindful of the level of stress
imposed.
The use of tests will be influenced by the volume of the applicants, so therefore testing
should also be cost-effective, unambiguous, clear in terms of purpose and fair. Most
organisations will also seek to achieve standardisation in the way in which tests are
administered.
S 5 / 05 . 40 Page 90
Selection interviews may include : -
Selection tests to test the skills required in a job, eg. use of specific tool
Group selection tests of problem-solving and leadership. This can be expensive and are
usually used in managerial instances.
Assessments a range of formal selection procedures administered to groups of

individuals with a number of observers presents.
Psychological tests these are specialists-administered tests of individual attitudes,

personality, aptitudes and general intelligence. In addition, the extent of
conscientiousness, self-confidence, openness, adaptability and agreeableness can be
assessed.
S 5 / 06 . 40 Page 91
DIFFERENT TYPES OF TESTS
The occupationally relevant tests which you may be likely to encounter in a selection process
include : -
Attainment tests designed to measure specific knowledge or skills in particular field,

eg. Typing tests.
Aptitude tests designed to measure specific capabilities such as mechanical or musical

ability.
Interest tests designed to identify areas of activity or thought particularly attractive to

the individual.
Assess the combination of sensory and muscular abilities of an individual for

example, where there is a need for a high level of manual dexterity or hand/eye
coordination.
S 5 / 07 . 40 Page 92
Trainability tests designed for use in selecting for specific jobs. They ask
individuals to perform a specific job-related task, in which prior instruction has been
given.
General reasoning ability tests these attempts to measure the individuals general
capacity to learn or acquire knowledge, particularly of an abstract type. Testers and
those interpreting the scores need substantial training.
Work samples simulation of the real work situation such as an in-tray exercise,
where individuals must prioritise a list of tasks to be completed.
Psychometric tests personality instrument used in both selection and development

contexts. Some address specific areas such as motivation whilst others can give a
personality profile which could be used as part of the assessment of suitability for a
particular role.
S 5 / 08 . 40 Page 93
The increasing use of psychometric testing reflects trends in business which include a desire
for organisation to look further than the individual and to consider measures of team working
and organisational culture.
S 5 / 09 . 40 Page 94
PSYCHOMETRIC TESTS
Psychometric tests deal with measurable factors. Psychometric tests measure individual
differences against statistically-based norms and are generally categorised under ability and
personality. There are three types : -
Aptitude tests test such skills as manual dexterity, mental arithmetic, programming
aptitude, typing and so on. They may also assess an applicants potential to do these
things. Typically, they are used for certain manual jobs and clerical occupations, or for
those requiring keyboard skills.
Personality tests are prepared by psychologists. Usually, they require an instant

response to questions. These are less frequently-used, but may be relevant for jobs
requiring a high degree of communication or interpersonal skills.
S 5 / 10 . 40 Page 95
Ability tests (often referred to as intelligence tests) assess such things as vocabulary,
numeracy, imagination, logic and problem-solving skills (eg. How to cross a ravine
using a hairnet, a piece of chewing gum and a copy of the Readers Digest). Ability
tests are sometimes used in the recruitment of school or college leavers who have
limited employment histories. These measure a persons current ability to undertake the
role and include achievement tests to evaluate accumulated skills and knowledge.
Graphology Experts analyse the candidates handwriting to discover personality

traits. The study of a persons handwriting as a way of assessing potential recruits has
taken hold in some areas of Europe, particularly France, but is seldom used in the UK
and US (it has been officially discredited by the British Psychological Society). Many
occupational psychologists suggest that this technique lacks reliability but it is
fashionable in some countries.
S 5 / 11 . 40 Page 96
In some countries, such as France, candidates are regularly asked to submit an example of
their handwriting with their application and they fully expect this to be viewed by a
graphologist.
S 5 / 12 . 40 Page 97
WORK-RELATED ASSESSMENT
Work-related assessment includes a number of techniques.
Case studies Applicants are presented with a situation that they might face if they
got the job, such as planning a conference, reading a balance sheet or carrying out
an in-tray exercise (where candidates prioritise a list of tasks).
Assessment centres Candidates spend one or more days together and are assessed
on group interaction, presentation skills, leadership qualities and problem-solving
abilities.
Work experience Candidates are invited to do the advertised job for a day. Their
suitability may then be assessed by their potential managers, peers and anyone else
directly affected by their performance.
Often these forms of assessment are used to try to predict future performance and so are
sometimes used to select people for management training schemes or as a means of
identifying needs for future training and development.
S 5 / 13 . 40 Page 98
THE EFFECTIVENESS OF SELECTION METHODS
It is considered that a combination of methods is appropriate, but the most effective methods
considered to result in good employment decisions are :
Work samples
References and recommendations
Unstructured and structured interviews
Assessment centres
These are the main methods of value, followed by

Aptitude tests
Personality tests
General tests of Cognitive Ability
All in addition to the Biographical information given and medical fitness and drug tests. It is
important to note that checks on references, verifying schools attended and degrees earned
and contacting people who have given references reduce the risk of wrong selection.
S 5 / 14 . 40 Page 99
INTERVIEWING METHODS
Non-directive Interview
The applicant determines the course of the discussion, while the interviewer refrains
from influencing the applicants remarks.
Structured Interview
An interview in which a set of standardised questions having an established set of
answers is used.
Situational Interview
An interview in which an applicant is given a hypothetical incident and asked how he
or she would respond to it.
S 5 / 15 . 40 Page 100
Behavioural Description Interview (BDI)
An interview in which an applicant is asked questions about what he or she actually did
in a given situation.
Panel Interview
An interview in which a board of interviewers questions and observes a single
candidate.
Computer Interview
Using a computer program that requires candidates to answer a series of questions
tailored to the job. Answers are compared either with an ideal profile or with profiles
developed on the basis of other candidates responses.
Video Interviews
Using video conference technologies to evaluate job candidates technical abilities,
energy level, appearance, and the likes before incurring the costs of a face-to-face
meeting.
S 5 / 16 . 40 Page 101
GROUND RULES FOR EMPLOYMENT INTERVIEWS
Establish an interview plan
Establish and maintain rapport

Be an active listener
Pay attention to non-verbal cues
Provide information freely
Use questions effectively
Separate facts from inferences
Recognise biases and stereotypes

Control the course of the interview
Standardise the questions asked
S 5 / 17 . 40 Page 102
SELECTION INTERVIEWS
Prepare questions in advance to cover person and job specifications then questions for the
following question areas can be included : -
Responsibilities Ask candidate about previous positions and levels of responsibilities.

Follow a logical sequence through to their current position, which is usually the one you
want to spend most time on. Look for signs of progression and promotion. Look for
indications of success and failure.
Education There may be a need for specific qualifications in the job or you may be
seeking a general level of attainment either way, it is wise to ask candidates to bring
proof of qualifications with them. This can apply even at a senior level where candidates
may feel the pressure to have a degree when realistically it is their experience you are
interested in.
To check up on the existence of qualifications, the annual edition of British Qualifications
(Pitman) can be a useful reference giving the telephone number and address of most
institutes.
S 5 / 18 . 40 Page 103
Personal Interests These can tell you a little about the character of the individual. Are
they outgoing and willing to work as a member of a team or do they excel at seeing
through projects on their own ?
How committed are they to work or do they have an overriding passion which will
consume any spare time ?
Their interests may demonstrate skills not tested in their career, eg. Individuals holding
positions within voluntary organisations which require them to organise large or disparate
groups of staff.
Motivation for the job and loyalty to present / previous organisation It is important
that you know why someone wants a job and that the motivator is either there within the
job or can be introduced. Loyalty to previous or present employer is important to test as it
will help to give some insight into the loyalty you are likely to get should you employ the
candidate.
S 5 / 19 . 40 Page 104
Interpersonal style In most positions, there is a need to work with others in the
department or to liaise with other departments or to deal with clients and customers.
The level and amount of interaction will vary and this will affect the importance placed
on in during selection. There are those individuals who are excellent at conveying good
interpersonal skills at interview but who are very different in a working situation.
S 5 / 20 . 40 Page 105
CONDUCTING THE INTERVIEW
Tips : -
Dont talk too much (20% of the time is a useful yardstick)
Dont make the interview too long (about an hour is just about right)
Ask open-ended questions (Why ? Who ? What ?)
Try to avoid questions which beg a yes or no answer
Build up a rapport with the candidate and do your best to relax him or her,
explaining the form that the interview will take. Ensure that the candidate is
physically comfortable and that the content and manner of your questioning
does not intimidate them.
S 5 / 21 . 40 Page 106
Avoid exploring sensitive topics such as religious or political affiliations,
marital circumstances and place of origin, which could lead to accusations of
discrimination
Do not allow external activity (telephone calls or shop floor emergencies, for
example)
Conclude the interview on a positive note
Take notes in the course of the interview and immediately after it
Note your initial impressions of the applicant but try not to prejudge the
person : You should take care not to rule out individuals who do not
immediately look right for the job.
S 5 / 22 . 40 Page 107
QUESTION TYPES
Question Type Example Use
Open What made you decide to apply Encourages interviewee to talk. Assesses ability
for this post ? to describe and explain.
I believe you were made redundant For checking facts but little else.
Closed from your last job ?
When did you move to For checking facts particularly if interviewee is

Specific Singapore ? evasive or vague.
What would you do if a To measure decisiveness and ability to think on

Situational customer complained ? ones feet. Sometimes frowned on as being stressful
and ineffective.
Dont you think that we are To be avoided tends to confirm you prejudice.
Leading very weak on research in this
country ?
S 5 / 23 . 40 Page 108
Question Type Example Use
Reflective Export it overseas ? Could you To help the person being interviewed expand the
expand on that ? point.
Stress Do you want my job ? Do not use. It achieves nothing and puts the
interviewee at an unfair disadvantage.
Can you explain to us how Encourages interviewee to give more in-depth

Probing that occurred ? information.
S 5 / 24 . 40 Page 109
A TYPICAL INTERVIEW SEQUENCE
Stages and purpose of the questions Response
1. Setting the climate
Tell us a little bit about yourself My career history is . . . & all my experience and
qualifications are related to IT, and its implementation. My
interest in this field started at school when I was an active
member of the IT club..
Purpose
Relax the candidate
Looking for logical progression of interest,

skills, qualifications and ambitions to match
with this job.
S 5 / 25 . 40 Page 110
2. Check career history
I see from your application form that you Yes, setting up the customer service on line feedback
have been in customer services. Could you system
explain the type of skills needed for that ?
The skills needed are :
Purpose
Looking for depth of skill / knowledge and Listening to the person, what is possible and what is not and
experience.
trying to solve the problem as soon as possible. It is
important to let the customer know about progress of their
complaint.
S 5 / 26 . 40 Page 111
Have you the competence ? My career history is . . . & all my experience and
qualifications are related to IT, and its implementation.
My interest in this field started at school when I was an
active member of the IT club..
How did you get on with your immediate I have always got on well with people and respect
supervisor ? other peoples views. If there is a problem, I try find out
why and look for ways to solve it. An example is . .
Purpose
This means. Do you get on with people and
work at solving any disagreement ?
S 5 / 27 . 40 Page 112
3. Aspirational and expansive
Where do you see yourself in 5 years time ? I would like to progress to Network and IT manager. I
would like to gain the necessary experience and additional
qualifications, but I believe I have the ability and
Purpose motivation to do this and my experience of web design
will be an asset to this end
This means that you have realistic expectations
and that you know about the company, its
market and where you might add value through
your skills and experience.
I have all the relevant skills and experience that

matches with your job description. I have improved the
Why should we hire you ? operation at my last employer with 20% less technical
problems recorded and I successfully introduced and ran
effectively an IT helpdesk system.
Purpose My experience in the area of web design I believe will be
This means. What you can bring to the helpful if the company was considering an online
company that helps us, and sets you apart from marketing strategy .. which I understand it is.
others.
S 5 / 28 . 40 Page 113
4. Close
Are there any questions you would like to How many evenings would I be expected to work ?
ask us ?
Purpose
To ask you again about any possible Do you offer any further sponsorship for training so I can
constraints eg. Working unsocial hour. develop my Management skills and also do a specialist
However, they also expect you to ask relevant networking course ? I understand you are considering
questions about their company to test your expanding in this area .
understanding of its structure and plans and for
you to decide on your degree of fit with them.
S 5 / 29 . 40 Page 114
ROLE PLAY EXERCISE
INTERVIEW QUESTIONS & ANSWERS
Objective : To understand & evaluate the organisational purpose of asking particular questions & to
consider possible interviewee responses.
(Note : At an interview, the expectation is that the interviewee would have researched the Company and knows
about it, its market and some of its plans.)
Working in pairs : Discuss the issues below, and then write down the answers (20mins in total)
a. Write out the reasons why the organisation is asking those questions.
b. Write out what you think are suitable short answers to the questions.
Stages and purpose of the questions Responses :
Setting the climate
Tell us a little about yourself
S 5 / 30 . 40 Page 115
Check career history against specific criteria
I see from your application form that you have

been in . . . Could you explain the type of skills
needed for that ?
How did you get on with your immediate

supervisor ?
S 5 / 31 . 40 Page 116
Aspirational and expansive
Where do you see yourself in 5 years time ?
Why should we hire you ?
Close
Are there any questions you would like to ask us ?
S 5 / 32 . 40 Page 117
ASSESSMENT OF ROLE PLAY
Good Average Poor
Level of Confidence
Articulation Level
Body Language being Consistent with the Spoken Word
Experience
Aptitude
Achievements
Motivation
Personality
Work-related Skills
Ambition
Other Comments
S 5 / 33 . 40 Page 118
REACHING A SELECTION DECISION
Selection Considerations :
Are the people to be hired able to achieve to their highest potential in accordance to the needs of
the organisation ?
At what grade or wage level to start the successful candidate and how does this impact upon
other already employed in the organisation ?
Should selection be for employee-job match, or should advancement potential be considered at

this time.
Should those not qualified but qualifiable in the future be considered ?
Should overqualified individuals be considered ?
How long can we expect the candidate to stay with the organisation ?
Who needs to give the final approval for letter of offer and terms of employment to be released ?
S 5 / 34 . 40 Page 119
INDUCTION
Induction Checklist
1. In advance of the arrival of the appointee, have you :
Sent maps of location, transport details, parking ?
Sent explanatory material about the organisation / department ?
Arranged and briefed a mentor and any other people involved in the induction programme ?
Altered reception ?
2. At the end of the first day, has the new staff member :
Been given a desk / workstation ?
Toured the location ?
Met key people in the team ?
Had a first explanation of what is involved in the job ?

Had ample opportunity to ask questions ?
S 5 / 35 . 40 Page 120
Had a long session with his or her mentor ?
Been told who they are responsible to ?
3. At the end of the first week, has the new member of staff :
Been discreetly looked after during meal breaks ?
Discussed the job description with you ?
Met any key people not men on the first day ?
Had the chance to get on grips with some real work ?

Had the opportunity to discuss any doubts or difficulties ?
Had feedback from his or her mentor and from you ?
4. At the end of the first month, has the new member of staff :
Had a discussion with you to set targets for review in two/three months time ?
Met key clients / suppliers / contacts in other departments ?
S 5 / 36 . 40 Page 121
Had feedback from you, as line manager, on their initial work ?
Agreed a training plan with you ?
5. At the end of the first three months, has the new member of staff :
Completed any initial training necessary ?
Had several coaching sessions with you where performance is discussed ?
Undertaken the full range of duties in the job description ?
S 5 / 37 . 40 Page 122
INDICATORS OF EFFECTIVENESS IN THE RECRUITMENT AND
SELECTION PROCESS
These are not readily apparent and not always easy to identify. However some useful ideas are : -
Staff turnover after employment is confirmed
Staff turnover within the probationary period
Absenteeism ; days on medical leave, time-keeping
Work Attitude
Work Errors
Wastage
Accidents on the Job
S 5 / 38 . 40 Page 123
Response Time (Responsiveness)
Customer Complaints
Internal Grievances
Disciplinary Actions
Promotions and Staff Development
Dismissals
S 5 / 39 . 40 Page 124
RECRUITMENT OFTEN APPEARS AT THE TOP OF THE LIST AMONG HR

PROFESSIONALS AS BEING THE MOST SIGNIFICANT CHALLENGE WHY IS
SELECTION OF NEW MANAGEMENT STAFF SO DIFFICULT ?
EVEN WITH THE MOST SOPHISTICATED METHODS OF SELECTION, NEWLY-

APPOINTED STAFF TEND TO LEAVE THEIR NEW EMPLOYERS, ITS JUST A
MATTER OF TIME. DISCUSS WHY THIS OCCURS.
S 5 / 40 . 40 Page 125
SESSION 6 COMPENSATION & BENEFITS
EMPLOYEE COMPENSATION - PAY
EQUITY THEORY & FAIRNESS
HOW DOES PAY INFLUENCE ATTITUDE & BEHAVIOUR
MERIT PAY AWARDS
LINKING PAY TO PERFORMANCE THE RATIONALE
EMPLOYEE BENEFITS
S 6 / 01 . 12 Page 126
EMPLOYEE COMPENSATION PAY
Pay is a symbol of success, it is important as a comparison to others and is often used in
this way as a benchmark for achievement.
From the employers point of view, pay is instrumental in attaining strategic goals.
Pay has a major impact on employee attitudes and behaviours.
Pay decisions can be broken into two major areas :

Pay structure is composed of considerations related to both pay level and
job structure.
Pay level is the average pay in organisations, excluding benefits.
Job structure is often defined by the relative pay for jobs in organisations (ie. the
range of pay often expressed by salary grades).
Pay policies are attached to jobs, not individuals, in order to make the process more
manageable and equitable.
S 6 / 02 . 12 Page 127
EQUITY THEORY & FAIRNESS
Equity theory describes a process in which people evaluate the comparative fairness of their
pay to that of other people.
A person will compare his or her ratio of perceived outcomes (eg. Pay, benefits etc) to
perceived inputs (eg. Education, effort, experience) to the ratio of a comparison other.
This is a natural process which is sensitive and for which HR management must be fully
aware.
If the persons ratio is higher, rationalisation will often occur to account for the perceived
overpayment. However, if the persons ratio is lower, then morale & work output is
affected and people leave the organisation. Payment Equity is very different to uphold
without periodic reviews. People will make internal and external comparisons to search
for fairness. Market pressures have a direct influence on pay levels including labour
market competition, roles for highly skilled short-supply people and also the industry.
S 6 / 03 . 12 Page 128
All of this leads to employers adapting efficiency wage theory to justify higher wage costs
on the belief that if you pay more, you get better performance.
However this can conflict within the basis for Equity Theory.
Pay surveys conducted by organisations will determine the benchmark for pay rate ranges in
relation to job role, position and function.
From these surveys, pay policy reviews can be conducted to ensure market pay rate
alignment.
From an employee perspective, remuneration rates, adjustments, bonuses and other forms of
compensation are seen to be bureaucratic and often inflexible with too many layers of
management being involved.
Management are also reluctant to update job descriptions and job ratings owing to the time
and cost involved. Consultants are sometimes appointed to complete a periodic review.
S 6 / 04 . 12 Page 129
HOW DOES PAY INFLUENCE EMPLOYEES ATTITUDE AND BEHAVIOUR ?
Reinforcement Theory -- in Thorndikes Law of Effect, a response followed by a reward is

more likely to recur in the future. The importance of a persons actual experience in receiving
the reward is critical. If high performance is followed by a reward, high performance is likely
to be repeated. The belief is that pay and performance are directly co-related, especially in
buoyant market conditions.
Expectancy Theory -- The perceived link between performance and pay, will connect with
reinforcement theory because an expectation has been created which is difficult for the
employer today or withhold in the future.
It is critical to think the implications of these actions before they begin. It is the responsibility
of HR Managers to be aware and advise accordingly, otherwise in the longer term morale
issues may be encountered.
S 6 / 05 . 12 Page 130
MERIT PAY AWARDS
Merit pay links performance-appraisal ratings to annual pay increases. The focus is on
identifying individual differences in work performance. The majority of information on
performance is collected from the immediate supervisor. There is then a process of linking
pay to performance results.
The size and frequency of pay increases are most often determined by performance rating
but needs to maintain the integrity of pay structure and policies.
A disproportionate number of high-performance ratings can inflate compensation costs as

well as create future expectations.
Collective management responsibility is needed to ensure that merit pay awards are equitable,
justified and recognised by a wider range of stakeholders.
If considered inequitable, it will impact upon morale and teamwork, especially if the way in
which the level of merit award given is not transparent to all those affected.
S 6 / 06 . 12 Page 131
Some organisations adapt profit-sharing schemes, so everyone can benefit on a mutually
agreed points based system, whereby if the organisation flourishes, so do the employees. If
this is team-based, then the distribution of reward can be perceived to be more equitable.
However, one motivational issue is that the payout to employee is often deferred.
Alternatively stock/share ownership can be distributed for cashing-in at a later prescribed

date. This does achieve an ownership mindset, but also it reinforces recognition of
achievement for the company. Work levels and commitment levels are then maintained.
S 6 / 07 . 12 Page 132
LINKING PAY TO PERFORMANCE -- THE RATIONALE
Sustained Motivation
Staff retention, on the job commitment
Productivity levels are maintained
Cost Savings resulting from lower employee attrition rates
Organisational Objectives can be attained
Employee buy-in to a performance-based culture
Organisational Climate of winning is powerful reinforcement in the work
place
THIS ALL DEPENDS UPON COMPLETE TRANSPARENCY UPON HOW TO MEASURE

PERFORMANCE. THE SUCCESS IS LINKED TO THE AMOUNT OF PAYOUT AND
THE MAINTENANCE OF THIS POLICY FOR THE FUTURE.
S 6 / 08 . 12 Page 133
EMPLOYEE BENEFITS
MANDATED BENEFITS
In some countries, the welfare state has protected employee through

Social Security
Medical Treatment
Unemployment Compensation
Disability Insurance
Retirement Pensions
Workers Compensation for job related injuries
Redundancy Payments
normally provided tax-free, depending upon status.
This is reassuring for employed persons who may become disadvantaged through loss of
employment.
S 6 / 09 . 12 Page 134
COMPENSATION FOR TIME NOT WORKED
Public Holidays (varies from country to country)

Vacation Time Allowed (30 days is common)
Medical Leave (for short-term illness)
Long Term Sick Leave Programmes (eg. Full salary up to 26 weeks)
Maturity and Fraternity Leave
S 6 / 10 . 12 Page 135
OTHER TYPES OF BENEFITS -- NON MANDATED
Family Health Plan with Medical Insurance Cover

Health Plans for Retirees
Life and Disability Insurance
Private Pension Plans
Educational Assistance for Individuals
Child Care Assistance
Staff Purchasing Privileges
Non-Monetary Performance Incentives
Scheduled Training and Staff Development
S 6 / 11 . 12 Page 136
DISCUSSION QUESTION
FROM AN INDIVIDUAL PERSPECTIVE, HOW DO YOU DEFINE THE BENEFITS OF

RECEIVING PAY FROM AN EMPLOYER ?
WHAT ARE YOUR THOUGHTS ABOUT RECEIVING MERIT BONUSES ? IS PAY

AND JOB SECURITY LINKED ?
FROM AN EMPLOYER PERSPECTIVE, WHAT IS THE PURPOSE ACHIEVED BY

MAKING PAYMENT TO EMPLOYEES ?
S 6 / 12 . 12 Page 137
SESSION 7 TRAINING & DEVELOPMENT
TRAINING & DEVELOPMENT DEFINED
A SYSTEMATIC APPROACH TO TRAINING & DEVELOPMENT
CHARACTERISTICS OF SUCCESSFUL TRAINERS
TRAINING METHODS
TRAINING TEAMS
EVALUATING TRAINING PROGRAMMES
DISCUSSION QUESTION
S 7 / 01 . 25 Page 138
TRAINING & DEVELOPMENT DEFINED
Training is the effort initiated by an organisation to foster learning among its members. It
tends to be narrowly focused and oriented toward short-term performance outcomes.
Development is the effort that is oriented more towards broadening an individuals
knowledge and skills for the future responsibilities and for the development of the
individual in the organisation.
However, the terms are used together and interchangeably.
S 7 / 02 . 25 Page 139
A SYSTEMATIC APPROACH TO TRAINING & DEVELOPMENT
FOUR PHASES
NEED ASSESSMENT
PROGRAMME DESIGN
IMPLEMENTATION
EVALUATION
S 7 / 03 . 25 Page 140
PHASE 1 : CONDUCTING THE NEEDS ASSESSMENT
ORGANISATION ANALYSIS
An examination of the environment, strategies, future goals and resources of the
organisation to determine where training emphasis should be placed.
TASK ANALYSIS
The process of determining what the content of a training program should be on
the basis of a study of the tasks and duties involved in the job.
PERSON ANALYSIS
A determination of the specific individuals who need training.
S 7 / 04 . 25 Page 141
DESIGNING THE TRAINING PROGRAMME
INSTRUCTIONAL OBJECTIVES
Represent the desired outcomes of a training programme
Performance-centered objectives
Provide a basis for choosing methods and materials and for selecting the means
for assessing whether the instruction will be successful
S 7 / 05 . 25 Page 142
TRAINEE READINESS AND MOTIVATION
STRATEGIES FOR CREATING A MOTIVATED TRAINING ENVIRONMENT :
Use positive reinforcement in communication
Eliminate threats and punishment
Be flexible
Have participants set personal goals
Design interesting instruction
Breakdown physical and psychological obstacles to learning
S 7 / 06 . 25 Page 143
CHARACTERISTICS OF SUCCESSFUL TRAINERS
Knowledge of the subject
Adaptability
Sincerity
Sense of Humour
Interest
Clear Instructions
Individual Assistance
Enthusiasm
Engagement with the Trainers
S 7 / 07 . 25 Page 144
TRAINING METHODS FOR NON-MANAGERIAL EMPLOYEES
On-The-Job Training (OJT)

Apprenticeship Training
Cooperative Training, Internships and Governmental Training
Classroom Instruction
Programmed Instruction
Audio-visual Methods
Computer-based Training and E-Learning
Simulation
S 7 / 08 . 25 Page 145
On-The-Job Training
Method by which employees are given hands-on experience with instructions from
their supervisor or other trainer.
Apprenticeship Training
System of training in which a worker entering the skilled trades is given thorough
instruction and experience, both on and off the job, in the practical and theoretical
aspects of the work.
Cooperative Training
Training programme that combines practical on-the-job experience with formal
educational classes.
S 7 / 09 . 25 Page 146
Internship Programmes
Programmes jointly sponsored by colleges, universities, and other organisations that
offer students the opportunity to gain real-life experience while allowing them to
find out how they will perform in work organisations.
Computer-Assisted Instruction (CAI)

A system that delivers instructional materials directly through a computer terminal
in an interactive format.
Computer-Managed Instruction
A system normally employed in conjunction with CAI that uses a computer to
generate and score tests and to determine the level of training proficiency.
S 7 / 10 . 25 Page 147
ADVANTAGES OF WEB-BASED TRAINING
Learning is self-paced
Training comes to the employee
Training is interactive
New employees do not have to wait for a scheduled training session
Training can focus on specific needs as revealed by built-in tests
Trainees can be referred to on-line help or written material
It is easier to revise a computer programme than to change classroom-training
materials
Record keeping is facilitated
The computer programme can be linked to video presentations
The training can be cost-effective if used for a large number of employees
S 7 / 11 . 25 Page 148
TRAINING METHODS FOR MANAGEMENT DEVELOPMENT
On-The-Job Experiences
Seminars and Conferences
Case Studies
Management Games
Role Playing
Behaviour Modeling
S 7 / 12 . 25 Page 149
ON-THE-JOB EXPERIENCES
Coaching
Understudy Assignment
Job Rotation
Lateral Transfer
Special Projects
Action Learning
Staff Meetings
Planned Career Progressions
S 7 / 13 . 25 Page 150
CASE STUDIES
The use of Case Studies is most appropriate when : -
Analytic, problem-solving and critical thinking skills are most important
The situations are complex and participants need time to master them
Active participation is desired
The process of learning (questioning, interpreting and so on) is as important as

the content
Team problem-solving and interaction are possible
S 7 / 14 . 25 Page 151
When using Case Studies . . .
Be clear about learning objectives and list possible ways to achieve the
objectives
Decide which objectives would be best served by the case method
Identify available cases that might work, or consider writing your own
Set up the activity including the case material, the room and the schedule
Follow the principles of effective group dynamics
Provide a chance for all learners to take part and try to keep the groups small
S 7 / 15 . 25 Page 152
When using Case Studies . . .
Stop for process checks and be ready to intervene if group dynamics get out of
hand
Allow for different learning styles
Clarify the trainers role
Bridge the gap between theory and practice
S 7 / 16 . 25 Page 153
ROLE PLAYING
Successful role play requires that instructors : -
Ensure that group members are comfortable with each other

Select and prepare the role players by introducing a specific situation
To help participants prepare, ask them to describe potential characters
Realise that volunteers make better role players
Prepare the observers by giving them specific tasks (such as evaluation or
feedback)
Guide the role-play enactment through its bumps (since it is not scripted)
Keep it short
Discuss the enactment and prepare bulleted points of what was learned
S 7 / 17 . 25 Page 154
BEHAVIOUR MODELING
An approach that demonstrates desired behaviour and gives trainees the chance to
practice and role-play those behaviours and to receive feedback
Involves FOUR basis components : -
Learning Points
Model for the desired behaviour
Practice and role play
Feedback and reinforcement
S 7 / 18 . 25 Page 155
TEAM TRAINING
In training teams, there are two dimensions to be considered : -
Process Dynamics
Behavioural Demands
Process Dynamics include meeting skills, decision-making skills & presentation skills
which are achieved through brainstorming, negotiation, task evaluation and problem-
solving. In most cases, this will involve information management and project planning
driven by creative inputs to achieve desired outcomes.
Behavioural Dynamics include establishing norms through the team formation and built
for team performance. The management of diversity through effective communications
and achieving resolution for conflict is part of the team tracking process.
S 7 / 19 . 25 Page 156
EVALUATING THE TRAINING PROGRAMME
CRITERION 1 : REACTIONS
Participant Reactions :
The simplest and most common approach to training evaluation is assessing trainees.
Did you like this programme ?
Would you recommend it to others who have similar learning goals ? What
suggestions do you have for improving the programme ?
Should the organisation continue to offer it ?
S 7 / 20 . 25 Page 157
CRITERION 2 : LEARNING
Checking to see whether they actually learned anything : -
Testing knowledge and skills before beginning of a training programme gives a

baseline standard on trainees that can be measured again after training to determine
improvement
However, in addition to testing trainees, test employees who did not attend the
training to estimate the differential effect of the training.
S 7 / 21 . 25 Page 158
CRITERION 3 : BEHAVIOUR
Transfer of Training
Effective application of principles learned to what is required on the job
Maximising the Transfer of Training
Feature identical elements

Focus on general principles
Establish a climate for transfer
Give employees transfer strategies
S 7 / 22 . 25 Page 159
CRITERION 4 : RESULTS
Utility of Training Programmes

The benefits derived from training
Return on Investment
Viewing training in terms of the extent to which it provides knowledge and skills that
create a competitive advantage and a culture that is ready for continuous change.
Benchmarking
The process of measuring ones own services and practices against the recognised
leaders in order to identify areas for improvement
S 7 / 23 . 25 Page 160
Plan : Conduct a self-audit to identify areas for benchmarking
Check : Analyse data
Act : Establish goals, implement changes, monitor progress, and redefine
benchmarks.
S 7 / 24 . 25 Page 161
DISCUSSION QUESTION
SOME ORGANISATIONS BELIEF THAT TRAINING IS A COST AND NOT AN

INVESTMENT BECAUSE THE BENEFITS ARE RARELY MANIFEST IN IMPROVED
ON-THE-JOB PERFORMANCE. DISCUSS.
WHAT MOTIVATES TRAINING IN ORGANISATIONS ?
S 7 / 25 . 25 Page 162
SESSION 8 EMPLOYEE RELATIONS
COMMON APPROACHES
THE DOMAIN OF EMPLOYEE RELATIONS
THE PSYCHOLOGICAL CONTRACT
HRM AND EMPLOYEE RELATIONS
PARTNERSHIPS IN EMPLOYMENT
EMPLOYEE REPRESENTATION & TRADE UNIONS ROLE
HR STRATEGIES FOR DELIVERING AN EFFECTIVE
PSYCHOLOFICAL CONTRACT
S 8 / 01 . 14 Page 163
COMMON APPROACHES
Overtime four approaches to Employee Relations have been in evidence :
ADVERSARIAL
The organisation determines direction and employees are expected to deliver to these
employee needs. Employees only exercise power by not falling in line.
TRADITIONAL
A good day to day working relationship, management directs and the workforce reacts
through elected representatives.
PARTNERSHIP
The organisation involves employees in the determination of policies and plans, but
retains the right to manage.
S 8 / 02 . 14 Page 164
POWER SHARING
Employees are closely involved in strategic decision taking and business operations.
The approach adapted will depend upon the historical position of the business and the
philosophy of the organisation concerning employment and employees.
S 8 / 03 . 14 Page 165
THE DOMAIN OF EMPLOYEE RELATIONS
The domain of Employee Relations is concerned with : -
achieving a conclusive and stable relationship with employees that will reduce
conflict and dispute to a minimum
Sustaining commitment through close involvement and communication with

employees
Achieving a common interest in pursuing the strategic purpose of the business,

based upon shared values across the organisation.
S 8 / 04 . 14 Page 166
THE PSYCHOLOGICAL CONTRACTS
This term is difficult to define, but important to understand. The psychological contract
between employer and employee concerns the assumptions, expectations, promises and
mutual obligations between an organisation and its employees.
It is dynamic, it accumulates and is under scrutiny as employees will re-evaluate the gap
between expectations and what is delivered as part of life as an employee.
The important fact is that management must be fully aware of this and ensure that the HR
function attends to this people agenda, because good staff relations will convert to good
business results, ie. Happy staff = happy customers, happy customers = happy shareholders.
S 8 / 05 . 14 Page 167
The psychological contract will depend upon : -
trust
trusted dependencies
trusted relationships
perceptions of fairness
delivery on actual and implied promises
This reflects all aspects of the relationship between employer and employee which very
often is housed in the HR Dept, but in fact is an organisation wide responsibility, only
enabled through the facilitation of the HR Dept.
The key aspects of this relationship are : -
recognition and reward
S 8 / 06 . 14 Page 168
on-the-job satisfaction
training, skills development and technological affinity
inter and intra functional relationships
managerial relationships in the hierarchy

sense of security and well-being
Physical environment
All of which adds up to the total employment experience
S 8 / 07 . 14 Page 169
HRM AND EMPLOYEE RELATIONS
The role involves engaging with all functions and functional needs to define and
coordinate strategies to promote the psychological contract and in so doing improve
involvement and communication as well as produce positive impressions of the HR
function from a multitude of stakeholders. This is important for organisational health and a
winning performance culture.
The ambition for HRM should be : -

Winning the hearts and minds of employees
Secure employee loyalty and commitment
Achieving employee identity connections with the company
Align the interests of management with all levels of the organisation to achieve
unity
S 8 / 08 . 14 Page 170
Open & transparent solution based communications without the need to resort
to more official channels which involve official representation
Treating people as individuals
Engagement, engagement, engagement
Flexibility in working arrangements
Emphasis on teams and team-working
This movement is for many organisations a paradigm shift from what may have been.
However, the benefits are employee retention, lower staff attrition rates and a positive
work culture.
In so doing, HRM and Industrial Relations can work more closely, rather than with the
more traditional approaches which resorts to a traditional system of Industrial Relations for
handling disputes, grievances, discipline, safety and pay resolution issues.
Today the priority seems to be moving away from using the traditional industrial relations
system.
S 8 / 09 . 14 Page 171
PARTNERSHIPS IN EMPLOYMENT
This notion is idealistic and may be an ambition which has difficulty in delivering
organisational ability. Another way of explaining this is to say that such partnerships are a
journey which may not reach a destination because such partnerships must be worked at to
achieve shared goals, shared values, a binding culture with shared learning where effort is
shared along with information. This as you may appreciate is a tall order.
S 8 / 10 . 14 Page 172
EMPLOYEE REPRESENTATION
Collective Bargaining has diminished considerably, companies prefer to deal with
individuals, moreover communication has become easier and more meaningful. However
in large organisations, where access to the right channels may be difficult, some
administrative machinery must be in place to offer reassurance.
TRADE UNIONS
The decline in trade union membership has occurred and the role is changing beyond the
workplace, offering a range of services such as advice on pensions, insurance, financial
services while continuing the traditional role of grievance representation and bring claims
under employment protection or on health & safety legislation. In time, the union may
move towards a more social partnership with employees to develop policies for national
employment because they are well-placed to do so in assessing the balance between
fairness, productivity and investment.
S 8 / 11 . 14 Page 173
HR STRATEGIES FOR DELIVERING AN EFFECTIVE PSYCHOLOGICAL
CONTRACT
Learning, Training and Development Opportunities and Provision

Career Management, Promotion, Job Security
Open Communication and ease of access to employment information
Practices to be adopted include : -

Presenting the good and bad aspects at job interviews
At induction, present vision, mission, core values, standards of expected
performance
An updated Employee Handbook
The message about performance management approaches to business
The use of personal development plans and self-managerial learning
S 8 / 12 . 14 Page 174
Define performance expectations related to core values
The importance of team working
Two way communication points of contact
The basis for reward
Grievance handling
All of which must cover the People Agenda .
S 8 / 13 . 14 Page 175
EXPLAIN WHAT YOU UNDERSTAND TO BE THE TERM PSYCHOLOGICAL

CONTRACT. DISCUSS AREAS WHERE THERE MAY BE GAPS BETWEEN
EMPLOYEE EXPECTATIONS AND EMPLOYER DELIVERABLES.
IF YOU WERE REQUIRED TO HEAD EMPLOYEE RELATIONS DIVISION WITHIN A

LARGE HR DEPARTMENT OF A RETAIL BANK WHICH HAS DOMINANT MARKET
LEADERSHIP, WHAT ROLE WOULD YOU FULFILL ?
S 8 / 14 . 14 Page 176
SESSION 9 MOTIVATION
FACTORS THAT INFLUENCE MOTIVATION AND DRIVE

PERFORMANCE
CLASSICAL THEORIES
MCGREGOR
MASLOW
ARGRYRIS
HERTZBERG
S 9 / 01 . 20 Page 177
FACTORS THAT INFLUENCE MOTIVATION AND DRIVE PERFORMANCE
From an employees perspective, within the work environment, the following appear to
be critical in keeping staff well-motivated : -
Organisational Energy and the Working Environment
Empowerment
Enablement
Satisfaction through Meeting Individual Needs
Achieving Progress towards Longer-term Aspirations
Opportunities to Achieve & Job Satisfaction
Open Communication
The Expectation of Future Reward and The Total Compensation Package
Career Prospects, Personal Growth
Status
S 9 / 02. 20 Page 178

When recruiting top talent, three factors are considered to be prime motivators : -
Great Company (or Brand)

Great Job
Compensation & Lifestyle
Great Company means their values & culture, managerial leadership, strong
performance, challenges, market leadership, talented people.
Great Job means freedom and autonomy with exciting challenges, good career
advancement as well as a feel-good factor with the boss.
Compensation & Lifestyle involves the total reward packages and its future potential,
location for work and work-life balance.
S 9 / 03 . 20 Page 179
CLASSICAL MOTIVATION THEORY
McGregor : Theory X and Theory Y
Maslow : Hierarchy of Needs
Argyris : Interpersonal Development and Job Enlargement
Herzberg : Hygiene Factors in Job Enrichment
Mayo : The Hawthorne Experiments
S 9 / 04 . 20 Page 180
McGregor : Theory X and Theory Y
Theory X : Most people dislike work and if at all possible, will avoid it. For this
reason, tight controls must be in place which coerce the employee onto giving of his or
her best.
It is only outside pressure on an employee that can guarantee good performance.
Theory Y : Most people want to work, just as they want to rest and play. Given the
opportunity, therefore, employees will take responsibility and give of their best at work.
They do not have to be directed from the outside ; rather they need the freedom and
space to realise their own potential at the same time as pursuing organisational goals.
S 9 / 05 . 20 Page 181
McGregor -- Theory X
Assumes immaturity of workforce

May have been appropriate to old-style manufacturing plants
Stick no longer works in developed countries
Carrot on the contrary is very potent in a materialistic society but can be a de-
motivator
Approach implies management by fear
Unions may still favour this approach because it can give them a power-base
uniting the workforce against a coercive management
S 9 / 06 . 20 Page 182
McGregor -- Theory Y
The Carrot should be replaced by Psychological Manipulation

(defined in terms such as self-fulfillment, creativity or the whole person)
The Stick should be replaced by Persuasion
Fear should be replaced by Empathy (the exploitation of individual

needs)
Modern managers feel much more comfortable with this approach because it
has been the basis for much modern thinking in terms of job design and the
pushing of responsibility further down the line. Certainly this theory suits the
concept of the knowledge worker much better.
S 9 / 07 . 20 Page 183
McGregor -- Theory Y
People need the security and certainty that Theory X provides replaced by
something in a Theory Y approach, typically Structure and Direction .
S 9 / 08 . 20 Page 184
Theory Z
Theory Z is a philosophy of management which stresses employee participation in all

aspects of company decision-taking, responsibilities are shared between management and
workers so that employees have a sense of ownership for the business which results in
positive attitudes and behaviour in individuals.
This, as a simple example could be seen in Japanese Quality Circles, but more importantly
it adopts a participative, open, management style, involving employees and/or self-directed
work teams. This gives employees empowerment and more responsibility for the outcome
of their efforts, in so doing employee loyalty is strengthened. Both Abraham Maslow and
William Ouchi have contributed to this thinking.
S 9 / 09 . 20 Page 185
Maslow -- Hierarchy Of Needs
Physical Needs
Basic Survival Needs : Food, Shelter, Water, Rest etc.
Safety Needs
Instinct for Self-Preservation : Needs to feel secure and free from danger
Social Needs
Need for Belonging and to Be Wanted : Acceptance, Affection, Love, Social
Interaction etc.
Ego Needs
Need for Esteem : Acknowledgement and Respect
Self-Actualisation
Need for Personal Fulfillment : Need to realise full potential as a people in all
respects
S 9 / 10 . 20 Page 186
MASLOWS HIERARCHY OF NEEDS
Individual Model
Self-
Actualisation
Needs
Ego Needs
Social Needs
Safety and Security Needs
Physical Needs
S 9 / 11 . 20 Page 187
Organisation Model
Growth
Acquisition
Ego Needs
Public Gestures
Sponsorship
Corporate Social Responsibility
Social Needs
Well-Regarded
As A Good Employer / Company
Safety and Security Needs

Avoidance of Threat of Takeover Profit
Corporate Governance
Physical Needs
Survival of the Organisation Positive Cash
Flow
S 9 / 12 . 20 Page 188
Maslow -- Hierarchy Of Needs
The important point is to note the level of Needs of your subordinates
Motivation can then be targeted to satisfy that level of need
In other for a higher level of need to be met, the lower levels must be met first
Satisfaction of A Need means that the next level up becomes the prime
motivator
Only unsatisfied needs act as motivators
The implications is that Job Design can play a part (once basic needs are met).
S 9 / 13 . 20 Page 189
Argyris Psychological Maturity Factors
Argyris starts from the premise that jobs are not designed in a way that enables
employees to achieve self-actualisation.
Three limitations exist : -

-- Degree of Individual Maturity
-- Interpersonal Competence
-- Nature of Business Organisation
Individual Maturity has 7 steps in his view : -

-- From Infant Passivity Towards Adult Activity
-- From Dependence Towards Relative Independence
-- From Limited Behaviours To Many Different Behaviours
S 9 / 14 . 20 Page 190
From Erratic, Shallow, Brief Interests to More Stable, Deeper Interest
From Short Time Perspective to Long Time Perspective
From a Subordinate Social Position to An Equal or Super-Ordinate Social

Position
From Lack of Self-Awareness to Self-Awareness and Self-Control
In Argyris view : Traditional Management Approaches and the Lack of Interpersonal

Competence Act as Barriers to the Achievement of Full Maturity and Fail to
arouse Their Full and Psychological Energy (for example : people do not plan
ahead).
S 9 / 15 . 20 Page 191
In Such An Environment, People become Mechanoid In Response Not
Complaining Particularly But Confining To Routine Tasks. Argyris calls this
Pseudo-Health .
Effective Management Must Try To Overcome This By : -

-- Honesty and Openness in style (descriptive non-evaluation feedback)
-- Jobs can be Enlarged ie. Horizontally stretched. This does not necessarily
increase skill or responsibility but does mean that functions must interact more
thereby encouraging social interaction .
-- By this approach, better use is made of the individuals intellectual and

interpersonal ability.
The Organisation Should Then Be Able To Develop.
S 9 / 16 . 20 Page 192
Herzberg -- Hygiene Factors
Herzbergs work was aimed particularly at knowledge workers and their

need to achieve something at work.
He went on to prove that such employees will only work if they can achieve,
otherwise they will merely go-through-the-motions .
Proposed : -
Adam Theory of needing to avoid physical deprivation
Abraham Theory the need for man to realise his human potential for
perfection.
S 9 / 17 . 20 Page 193
ADAM seeks the avoidance of dissatisfaction and is basically concerned with the
job environment. He likes clear rules, good working conditions, job security,
reasonable pay etc. These factors Herzberg called Hygienes or Maintenance
Factors.
ABRAHAM -- seeks satisfaction through the job itself, through the work content.
He likes achievement, recognition, responsibility, advancement etc. These factors
Herzberg called Motivator or Growth Factors.
Herzberg proposed a system of job enrichment, making the job larger with the
addition of more tasks and thereby increase the accountability of individuals for their
own work. In so doing, it was proposed to give employees job freedom by giving
additional authority and also to make available control information to employees not
just the supervisor. Job enrichment therefore was a new formula for employee
motivation.
S 9 / 18 . 20 Page 194
In more recent times, two more terms have been evolved : -
Job Enlargement --- developing a job to include new aspects of work which
provide the opportunity for the employees psychological growth
Empowerment -- giving employees the information and authority to make

decisions which were previously made by their managers or superiors
S 9 / 19 . 20 Page 195
FROM THE COLLECTIVE THEORIES OF MOTIVATION IN THE WORKPLACE,

LIST AND JUSTIFY THE MOST IMPORTANT CONCEPTS YOU FEEL RELEVANT
IN YOUR DOMAIN OR CONTEXT TO SUSTAIN EMPLOYEE MOTIVATION.
PROPOSE YOUR OWN THEORY OF MOTIVATION TO BE CALLED THEORY

ABC.
S 9 / 20 . 20 Page 196
SESSION 10 PERFORMANCE MEASUREMENT
& MANAGEMENT
PURPOSE OF PERFORMANCE MANAGEMENT
STRATEGIC IMPORTANCE OF PERFORMANCE APPRAISAL
FUNCTIONS OF PERFORMANCE APPRAISAL
PERFORMANCE MEASURES CRITERIA
PERFORMANCE RATING
APPROACHES TO PERFORMACE MEASUREMENT
WHO IS RATING PERFORMANCE
S 10 / 01 . 21 Page 197
ENHANCING THE MEASUREMENT ON EMPLOYEE PERFORMANCE
THE PERFORMANCE APPRAISAL INTERVIEW
THE 9 BOX GRID FOR TALENT DETERMINATION
A TEMPLATE FOR PLANNED ACTION
DISCUSSION QUESTION
S 10 / 02 . 21 Page 198
PURPOSES OF PERFORMANCE MANAGEMENT
Strategic Purpose
Any performance-management system would align employee behavior with the
organizations strategic intentions.
Administrative Purpose
Performance-management information is used for such HR administrative decisions as pay
raises, promotions, retention/termination, layoffs, and recognition of individual
performance.
Developmental Purpose
Performance management can be used to develop employees who are effective or
ineffective at their jobs.
S 10 / 03 . 21 Page 199
STRATEGIC IMPORTANCE OF PERFORMANCE APPRAISAL
Assessing Consistency Between Organisational Strategy and Job Behaviour at All

Levels in the Organization
Assessing Consistency Between Organisational Values And Behaviour of Individuals

At Work
Assessing Work Performance

-- Defining Performance
-- Empowering Employees
-- Measuring Performance
-- Feedback and Coaching
Management Of Performance
Determining Talent For Talent Management
S 10 / 04 . 21 Page 200
FUNCTIONS OF PERFORMANCE APPRAISAL
Performance Appraisal as an Employee Development Tool for : -
Reinforcing and Sustaining Performance
Improving Performance
Determining Career Progression Goals
Determining Training Needs
Building a Performance Based Culture
S 10 / 05 . 21 Page 201
Performance Appraisal as an Administrative Tool : -
Linking Rewards to Performance, e.g. increments & annual bonus
Evaluation of HRM Policies and Programs through Performance

Improvements
Aligning all Business Units through one Standardised Performance Appraisal

System and this is a very challenging task.
S 10 / 06 . 21 Page 202
PERFORMANCE MEASURES CRITERIA
Strategic congruence is the extent to which the performance-management system

elicits job performance that is congruent with the organizations strategy, goals
and culture.
Validity is the extent to which performance measure assesses all the relevant, and
only the relevant, aspects of performance. It is also called content validity.
Validity is concerned with maximizing the overlap between actual job

performance and the measure of job performance
S 10 / 07 . 21 Page 203
Reliability refers to the consistency of the performance measure
-- The consistency among the individuals who evaluate the employees
performance.
-- Internal consistency reliability is important. This is the extent to which all

of the items rated are internally consistent.
-- The measure should be reliable over time and not be contaminated.
Acceptability refers to whether the people who use the performance measure
accept it. It is affected by the extent to which employees believe the performance
management system is fair and accepted by all.
Specificity is the extent to which the performance measure gives specific guidance
to employees about what is expected of them and how they can meet these
expectations. This is very important.
S 10 / 08 . 21 Page 204
PERFORMANCE RATING
Freedom from Bias is the Main Concern
-- Legal Issues of Fairness
* Race Differences
* Age Differences
* Gender Differences
-- Freedom from Rating Errors

* Leniency Errors / Tendencies
* Severity Errors / Tendencies
* Central Tendency Errors
* Halo Errors / Tendencies
Practicality
The reality of the dimensions to be measured.
S 10 / 09 . 21 Page 205
APPROACHES TO PERFORMANCE MEASUREMENT
The comparative approach to performance management consists of techniques that

require the rater to compare an individuals performance with that of others.
Ranking is one of the techniques that arrives at an overall assessment of the

individuals performance.
Simple ranking requires managers to rank employees within their departments

from highest to lowest.
Alternation ranking consists of a manager looking at a list of employees,

deciding who is the best and then who is the worst and so forth.
S 10 / 10 . 21 Page 206
Forced Distribution The forced distribution method requires the managers to
put certain percentages of employees into predetermined categories.
Paired Comparison The paired-comparison method requires managers to

compare every employee in the work group, giving an employee a score of one
every time he or she is considered the higher performer. Employees are ranked
by how many points they receive.
S 10 / 11 . 21 Page 207
WHAT IS BEING MEASURED?
Psychological & Personality Traits ?
Organisational Based Behavior in the Work Place ?
Results Against Key Performance Indications ?
Decisions have to be made so that the performance system is well-grounded.
S 10 / 12 . 21 Page 208
WHO IS RATING PERFORMANCE?
Self-Evaluation
Peer Evaluation
Subordinate Evaluation
Boss Evaluation
Customer Evaluation
360-Degree Appraisals
Clearly a combination of evaluations can provide a more comprehensive assessment

and this is referred to as the 360 degree feedback.
S 10 / 13 . 21 Page 209
The purpose is to give each individual an opportunity to understand the strengths and
weaknesses and to contribute insights into areas of work performance and behaviour
which need professional development.
If administered well, this is a good tool, but if not managed well, it can damage morale
and operating culture. The challenge is to select the feedback tools and processes, select
the rates, know how to use the feedback and review it. Such feedback should be processed
into a larger well-defined performance management system.
S 10 / 14 . 21 Page 210
ENHANCING THE MEASUREMENT OF EMPLOYEE PERFORMANCE
Training Evaluators is essential
-- Rater Error Training should be minimised

-- Frame-Of-Reference (FOR) Training to ensure raters really understand
the process
-- Information-Processing Approaches
-- Observation Training is needed for Behavioral Analysis
Feedback to Evaluators is required
S 10 / 15 . 21 Page 211
THE PERFORMANCE APPRAISAL INTERVIEW
These are conducted by many organisations, normally on an annual basis, using same form
of appraisal system.
The purpose is to give feedback and use this review as a basis for personal development +
compensation, position and reward reviews.
Types of Appraisal Interviews

-- Tell and Sell
-- Tell and Listen
-- Problem Solving
S 10 / 16 . 21 Page 212
Problems with the Appraisal Interview
-- Disagreement and Defensiveness
-- Multiple Purposes are served in one session
-- Impression of Management in the Feedback Process which may cause
negativity
The Performance Appraisal Interview should : -

Give specific feedback
Give clarity on subordinate acceptance
Set clear goals for the future
and therefore be a constructive, objective, impartial managerial review
which takes into account a range of parameters for assessment.
It should minimise anxiety for both managers and those managed.
S 10 / 17 . 21 Page 213
THE 9-BOX-GRID FOR TALENT DETERMINATION
Some organisations are moving the HR Practices towards Talent Management in the belief that
development of internal talent may be more effective than external recruitment.
This Grid is yet another means of assessing performance of managers across the organisations
and within divisions.
The grid is shown below are used by managers to assess subordinates staff.
PERFORMANCE AT WORK
POTENTIAL FOR
Low Medium High

GROWTH
High High Performance ;

High Potential Talent
Medium
Low
There are problems of rating, as the consequences can affect career development. Furthermore
there are real challenges exposed for those in the low-low box and how these people can be
managed!
S 10 / 18 . 21 Page 214
FOLLOWING UP ON THE PERFORMANCE ASSESSMENT
- A TEMPLATE FOR PLANNING FUTURE ACTION
Performance Timescale Key Changes Tasks to be Responsibility Review Periods

Management Completed
Strategic
T1 T2 T3 T4
Initiatives
Strategic
Initiative (1)

Strategic
Initiative (2)

Strategic
Initiative (N)

S 10 / 19 . 21 Page 215
DISCUSSION QUESTION
THE MEASUREMENT AND MANAGEMENT OF EMPLOYEE PERFORMANCE

PROVIDES ORGANISATIONS EITHER IMPLICITLY OR EXPLICITLY.
DISCUSS THE POTENTIAL ISSUES AND CHALLENGES THAT CONFRONT HR

PROFESSIONALS IN ACHIEVING THIS IMPORTANT PROCESS.
S 10 / 20 . 21 Page 216
MANAGING HUMAN CAPITAL IN PROGRESSIVE ORGANISATIONS REQUIRES
SYSTEMS AND PROCESSES TO ACHIEVE A MEANS TO MEASURE PERFORMANCE,
WHY IS THIS NOW SO IMPORTANT AND WHAT PROGRESS IS BEING MADE ?
IMAGINE YOU HAVE BEEN PLACED INTO THE 9-BOX GRID FOR PERFORMANCE
ASSESSMENT INTO THE FOLLOWING POSITIONS :
1. MEDIUM POTENTIAL FOR GROWTH AND HIGH PERFORMANCE

AT WORK
2. HIGH POTENTIAL FOR GROWTH AND MEDIUM PERFORMANCE
AT WORK
HOW WOULD YOU INTERPRET THIS FROM THE FOLLOWING PERSPECTIVES :

* YOUR RESPONSE TO THIS ASSESSMENT
* WHAT IMPROVEMENTS AT WORK DO YOU NEED TO MAKE
(IF ANY)
S 10 / 21 . 21 Page 217
SESSION 11 CHANGE MANAGEMENT
WHAT IS CHANGE
EXTERNAL & INTERNAL FORCES FOR CHANGE
APPRECIATING CHANGE
WHY PEOPLE RESIST CHANGE
THE ROLE OF THE CHANGE AGENT
MANAGERIAL ACTIONS TO REMOVE RESISTANCE TO CHANGE
S 11 / 01 . 20 Page 218
FORCE FIELD ANALYSIS
THE LEWIN 3 STEP APPROACH TO CHANGE
CHANGING ORGANISATION CULTURE
S 11 / 02 . 20 Page 219
WHAT IS CHANGE
There is nothing so constant as change, it is an organisational reality requiring attention

in people, process, structure, systems and technology.
Change Management is often a unit with an HR Department and it is part of the HR

agenda.
Also, change is an integral part of every managers job, making the job of management
complete.
S 11 / 03 . 20 Page 220
EXTERNAL FORCES FOR CHANGES
MARKET PLACE adapt to changing consumer desires
COMPETITION responding to or pre-empting competition strategy & tactics
GOVERNMENT LAWS AND REGULATION frequent impetus for change
TECHNOLOGY source of change in almost all industries
ECONOMIC uncertainties economic performance about interest rates, budget

deficits, and currency exchange rate risk.
All derived in the main from the PESTEL factors, General Market Trends and
Competition.
S 11 / 04 . 20 Page 221
INTERNAL FORCES FOR CHANGES
Originate from the operations of the organisation
Forces may include new strategy, workforce change, new equipment, employee attitudes,
change in leadership and corporate ambition
The reality is that most managers will become agents for change as part of their managerial
role.
S 11 / 05 . 20 Page 222
INITIATING CHANGE:
Identifying organisational areas that will be impacted
Planning the change and planning the management of change
Putting the change process in motion
Assessing employee resistance to change
Transitioning the change
Setting Milestones for achievement
Using an Implementation Planning System
S 11 / 06 . 20 Page 223
APPROACHING CHANGE
Take small steps, not bold strokes to achieve the buy-in of all involved.
Communicate vision and mission where the organisation must be

Keep communicating to all people connected to the organisation regular updates
(communication, communication, communication)
Inform and involve people in the decisions, the stages and the changes
Sell the benefits of the change to people and co-create change with them
Identify your change champions people that are influential and who will welcome
change
Train, counsel & educate people through the change to reduce fear or animosity
Reward people for change (praise, recognition and financial)
Review progress and announce success

S 11 / 07 . 20 Page 224
WHY PEOPLE RESIST CHANGE
Individual self interest
Security of Employment
Dont think the changes will work
Dont think that they will cope with the new tasks of technology
Fear of the unknown
Loss of status or position of power
Loss of friends
Loss of money
Break up of existing teams and familiar working patterns
Move away from existing areas
Lack of trust in the change
S 11 / 08 . 20 Page 225
THE ROLE OF A CHANGE AGENT !!
Explain what the change is and why its important / why things will be better !!
Lead by example and take ownership of problems
Encourage participation and the team to take ownership of solving problems build the
team
Be enthusiastic
Praise
Build relationships with all who are affected by the change and try to win them over
Train and support people through the change
Update people on what is happening
Review progress and listen to what people are saying !!
Adapt if necessary, but dont lose sight of the objective of the change !!
S 11 / 09 . 20 Page 226
MANAGERIAL ACTIONS TO REDUCE RESISTANCE TO CHANGE
Education and Communication
Communicate with employees to help them see the logic of change
Educate employees through one-on-one discussions, memos, group meetings, or
reports.
Appropriate if source of resistance is either poor communication or misinformation.
Must be mutual trust and credibility between managers and employees.
Participation
Allows those who oppose a change to participate in the decision.
Assumes that they have expertise to make meaningful contributions.
Involvement can reduce resistance, obtain commitment to seeing change succeed, and
increase quality of change decision.
S 11 / 10 . 20 Page 227
Facilitation and Support
Provide supportive efforts such as employee couselling or therapy, new skills training,
or short paid leave absence.
Can be time consuming and expensive.
Negotiation
Exchange something of value to reduce resistance.

May be necessary when resistance comes from a powerful source.
Potentially high costs and likelihood of having to negotiate with other resisters.
Manipulation and Cooptation

Manipulation is covert attempts to influence such as twisting or distorting facts,
withholding damaging information, or creating false rumours.
S 11 / 11 . 20 Page 228
Co-optation is a form of manipulation and participation.
Inexpensive and easy ways to gain support of resisters.
Can fail miserably if targets feel theyve been tricked.
Coercion
Using direct threats or force.
Inexpensive and easy ways to get support.
May be illegal. Even legal coercion can be perceived as bullying.
S 11 / 12 . 20 Page 229
FORCE FIELD ANALYSIS LEWIN
A useful framework to examine and pre-empt resistance to change is Force Field Analysis.
FORCE FIELD DIAGRAM
An issue is held in balance by Driving Change Issues
and Restraining forces
Driving Forces Restraining Forces
Organisations are dynamic systems. For Change Against Change
weak
Successful change means a shift
forward to form a new equilibrium
weak
Forces = persons, ideas, habits, moderate

customs and attitudes
strong force
Approach:
Equilibirium
Examine balance of power
Identify key players
Identify opponents & allies
Identify how to influence each Sources & Power Base Sources & Power Base
S 11 / 13 . 20 Page 230
THE LEWIN 3 STEP APPROACH TO CHANGE
1. Unfreezing
2. Changing
3. Refreezing
1. Unfreezing
Preparing for the needed change by:
-- Increasing the driving forces that directly behavior away from the status
quo
-- Decreasing the retraining forces that push behavior towards the status quo
-- Mobilising commitment to change
-- Leading the change through communicating purpose, benefits and the

vision for the future
S 11 / 14 . 20 Page 231
2. Changing
-- Moving to a new level equilibrium by introducing planned changes, step by step
with a well conceived, adequately resourced change management plan.
-- spread the message of revitalisation
-- nurture support and consensus
3. Refreezing
-- Make the change permanent
-- Re-stabilise the new situation
-- Reinforce the benefits being derived
-- Reward milestone achieved
-- Dont look back
-- Institutionalise changes achieved
-- Restate policies
-- Secure systems and structures
S 11 / 15 . 20 Page 232
Through Stage 2 and Stage 3, these will be opponents to the change, so change
management must work on their perceptions and beliefs. Also, there are hidden
opponents who will give force value only to the change but do not actually support it,
these people need more information to be continued.
The acceptance of change is like iceberg, much lies beneath the surface and the waters
may be troubled. It is wise to activate the rationale for resistance well in advance to
ensure the change management communications are well-crafted and that benefits in
terms of time, cost and quality are made known.
S 11 / 16 . 20 Page 233
CHANGING ORGANISATION CULTURE
This is one of the most difficult challenges which management of a mature organisation may
face because :-
Culture is resistant to change because it is made up of relatively stable and

permanent characteristics, rituals and behaviors
Strong cultures are particularly resistant to change
The Situational Factors makes cultural change more likely :-

A dramatic crisis occurs
Leadership changes hands
Organisation is young and small
Culture is weak already
S 11 / 17 . 20 Page 234
HOW CAN CULTURAL CHANGE BE ACCOMPLISHED ?
It requires a comprehensive and coordinated strategy

-- Unfreeze the current culture using Lewins ideas
-- Implement new ways of doing things
-- Reinforce those new values
Recognise change, if it comes, is likely to be slow
Protect against any return to the old, familiar practices and traditions
Ensure it has top management support and leadership
S 11 / 18 . 20 Page 235
A ROADMAP TO CULTURAL CHANGE
Conduct an independent analysis to identify cultural elements needing change.

Make it clear to employees that the organisations survival is legitimately threatened if
change is not forthcoming.
Appoint new leadership with a new vision, with agents of change with a strong base
Initiate a reorganisation, with changes to structure
Introduce new stories and rituals to convey the new vision
Change the selection and socialisation processes and the evaluation and reward systems to
support the new values
Monitor, review and report success
S 11 / 19 . 20 Page 236
DISCUSSION QUESTION
WHY MUST ORGANISATION CHANGE ?
WHY IS CHANGE OFTEN CHALLENGING ?
HOW CAN EFFECTIVE MANAGEMENT ACHIEVE CHANGE ?
S 11 / 20 . 20 Page 237
SESSION 12 STRATEGIC HUMAN RESOURCE MANAGEMENT
WHAT IS STRATEGIC HRM

STRATEGIC HR PARTNERSHIP
THINGS TO AVOID AS A STRATEGIC HR PARTNER
HOW HR BUSINESS PARTNERS MAY BE ASSESSED BY THE

BUSINESS UNITS
SHRM ACHIEVING A CULTURAL FIT
IMPLEMENTING SHRM
EVALUATING SHRM
S 12 / 01 . 19 Page 238
WHAT IS STRATEGIC HRM
The traditional role played by the Personnel Department was to serve the organisation as a
staff function supplying conventional services to the main department of the organisation, e.g.
Finance, Production, Research and Development Operations and Marketing.
The strategic role of HRM requires an involvement in business strategy so that there is a
strategic fit between HR practices and the firms overall business strategy.
Strategic HRM involves HR professionals providing HR products & services to business

units within the firm, often through HR Relationship Managers who are sometimes referred
to as HR Partners.
In this way, HR is fully involved with the business from both a strategic and operational
perspective in the common pursuit of business performance objective. The outcome is to
enhance the effectiveness and efficiency of business operations with the business unit
customers.
S 12 / 02 . 19 Page 239
The ambition for HRM through this approach is to enhance the firms ability to acquire,
develop, deploy and retain human talent for relevant business activities.
This means the HR Department must be transferred in terms of outlook, engagement,

people, processes and structure. It requires administrative efficiency, centralised services
and proactive HR practices.
Strategic HRM requires an HRM mindset and practice of HR partnership with

business units
This requires working together on a People Agenda to secure a positive

psychological contract with all employees
S 12 / 03 . 19 Page 240
Close working relationships in the business are essential
HR professionals must be active and visible in the business units as a combined

involvement for business performance
HRM is involved in delivering the Vision, Mission and Values of the organisation
through working with the business units.
HRM is fully represented at board level in business strategy decisions
HRM is therefore strategically integrated with the business through

-- Staffing, staff development, staff welfare
-- Staff appraisal
S 12 / 04 . 19 Page 241
-- Performance Management
-- Compensation
-- Training
-- Promotion
-- Work Systems
-- Recruitments, Recognition & Reward
HR practices are therefore comprehensive, fully engaged with the business to provide in
partnership a complete HR solution.
S 12 / 05 . 19 Page 242
STRATEGIC HR PARTNERSHIP
This vital role must be managed well from the outset to avoid criticism and associated
office politics.
If the HR Department is to adopt Strategic HRM it must follow through on this promise
across the organisation.
To establish effective HR partnerships, the guidelines are :-
Start small
Initiate meetings with a focused agenda
Act as a Facilitator to involve the business units
Establish credibility to gain respect and trust
Get experience in the business line, understand the business
Act responsibly
Ground yourself in the reality of the business
Keep your Promises
S 12 / 06 . 19 Page 243
THINGS TO AVOID AS A STRATEGIC HR PARTNER
Do Not Push Hrs Own Agenda, The Business Units Will Resent This
Do Not Talk About Problems In Other Business Units
Do Not Agree To Undeliverable Things
Do Not Make Your Client Dependent On You, It Is A Partnership
Do Not Play Politics
Do Not Gossip
Remember you are in a position of TRUST and other business unit heads will talk
among themselves about HR relations !!
S 12 / 07 . 19 Page 244
HOW HR BUSINESS PARTNERS MAY BE ASSESSED BY THE BUSINESS
UNITS
Anticipation Anticipating customer needs in the business

Engagement The extent to which HR really connects with the
business meaningfully
Reliability The dependable and accurate performance of the HR
activity
Responsiveness Indications of a willingness to help and provide prompt
service
Assurance Displaying skills and knowledge that generate trust and
Empathy Providing caring, individual attention; that is, adding to
the personal touch through specific actions, indicating
to business unit customers that you care about them
and their problems.
NOTE : It will be Expected that the HR Business Partners Will Be Pro-Active !

S 12 / 08 . 19 Page 245
The purpose of shortage HRM is to secure integration with the business units as
customers.
The linkage is not just for people administration
The HR Professionals are an integral part of strategic planning at business unit

level, but they have to earn this position.
S 12 / 09 . 19 Page 246
IMPERATIVES
The success of strategic HRM will only be achieved if :-
The top team understand and act upon the strategic imperatives associated with the
employment, development and motivation of people.
The Human Resource Director is playing an active and respected role as a business
partner.
On the involvement, commitment and co-operation of line managers and staff generally
has achieved the necessary buy-in .
There is no magic formula, strategic HRM is complex and needs to have willing partners
to really make it work, which means professional HR Professionals and business unit
heads who have a People Agenda as a priority at all times.
Top management must be realistic about the feasibility V the desirability of achieving
this approach to HRM.
S 12 / 10 . 19 Page 247
STRATEGIC HRM INTERVENTION ACHIEVING A CULTURAL FIT
To achieve success with the intervention of strategic HRM, then the biggest challenge is to
align with the existing corporate culture, therefore the following approaches would be
achieved.
Being helpful in a person-centred way, sharing active participation

Realising that organisations place value on constructive relationships
Achieving early approval for proposals made
Avoiding confrontation and dealing with matters on a group or team basis
Reading the power structure of the organisation to gain support for this change in
approach. The HR Director will play an important role here too.
S 12 / 11 . 19 Page 248
Being visuable and enabling the business units to realise the achievements which
are valued by their staff
Being flexible in behavioral terms to accommodate the business units needs as an

internal customer.
S 12 / 12 . 19 Page 249
IMPLEMENTING STRATEGIC HRM (SHRM)
There must be a board level mandate to adopt SHRM which would have been in response to a
proposal from the HR Division. This would be discussed and agreed for action by the board as a
collective decision.
Thereafter the implementation plan must be processed with the division for cascading down the
organisation and across the business units.
It must be ensured that the strategy as a as agreed at board level is manifested on the ground !
Therefore the approach should be to :-
Avoid complex initiatives and communications
Realise that people will only adapt new ideas and practices if they are deemed
relevant to them and their business purpose
Realise that there may be resistance to change
S 12 / 13 . 19 Page 250
Ensure the intervention can blend with the prevailing culture and is seen to be
purposeful, beneficial and equitable
Realise as well that inertia will lead to partial fulfillment of the approach to be
implemented.
S 12 / 14 . 19 Page 251
It is wise to be aware that there could be real barriers to implementation and to plan for
these in advance.
Such barriers occur for:-
Lack of understanding
No buy-in to the purpose to be served
Discrediting the initiative as non-relevant to the organisation
Valuing SHRM only as a new fad like TQM, MBO etc which didnt work well
Failure to realise the practical problems with trying to achieve new standardised
processes across the organisation (e.g. performance management). The reality, even
to define talent using SHRM can cause very real practical problems.
S 12 / 15 . 19 Page 252
Not being able to get line managers in business units to really take ownership became it
places new demands, upon them when there is a business to run
Not realising that the whole SHRM initiative reads adequate resourcing and time to be
accepted before it can make a real contribution.
S 12 / 16 . 19 Page 253
EVALUATING STRATEGIC HUMAN RESOURCE MANAGEMENT AS AN
ORGANISATIONAL INTERVENTION
From the outset, the strategic initiative of SHRM should have :-

Confirmed the purpose to be achieved
Defend the processes involved
Aspired people with responsibility, authority and empowerment to act
Agreed what can and should be measured
Set-up a system for review
Know the value to be added to the business as a whole
It is important then to check if these imperatives are working and working as well as can
be expected by obtaining feedback from the business units on the reality and functionality
that they have experienced to-date.
S 12 / 17 . 19 Page 254
From an employees perspective working within the business units who notionally should be in
a strategic partnership with HRM, the evaluation may be :-
The real contribution to the psychological contract

Meaningful increase in motivation and commitment
Extending skills and personal development
attending to personal / career needs
Career management and competency development
Compensation and reward
Equitable performance assessment
Improving employee relations
The agenda is substantial. The HR Division must realise that to achieve SHRM that they
must develop a relationship approach to the business and treat Business Line Heads as
their customer in the full understanding that there is a customers customer, that is the
staff force within each business unit.
S 12 / 18 . 19 Page 255
WHY DO ORGANISATIONS SEEK TO ACHIEVE INNOVATION IN THE APPROACH

TO HUMAN RESOURCE MANAGEMENT THROUGH THE INTRODUCTION OF
SHRM?
HOW DO YOU FEEL THE PSYCHOLOGICAL CONTRACT BETWEEN EMPLOYEES

AND EMPLOYER CAN REALLY SUPPORT SHRM ?
S 12 / 19 . 19 Page 256
A ROADMAP FOR PREPARING A STRATEGIC PLAN
SESSION 13
FOR HRM AND HR PROCESS RE-ENGINEERNG
STEP-BY-STEP GUIDE
MAKING A NEW HR STRATEGY PROPOSAL THE KEY STAGES
HR PROCESS RE-ENGINEERING
S 13 / 01 . 14 Page 257
THE ROADMAP FOR PREPARING A STRATEGIC PLAN FOR HRM
The following takes a step-by-step approach to achieving a structured Strategic Plan.
Step 1. The HR Vision, Mission & Values and HR Competencies

Step 2. HR Stakeholders
Step 3. Assessing facts about the current HR environment, both internal and
external to produce a SWOT Analysis that is actionable.
Step 4. Setting assumptions about existing and future internal and external HR
environmental conditions relevant to the achievement of the plan, state
clearly the critical factors for success.
Step 5. Assess HR resources available currently.
S 13 / 02 . 14 Page 258
Step 6. Setting timescales for HR planning and implementation (YR 1, 2, 3,
4, 5).
Step 7. Deciding new HRM objectives and change to existing HR
objectives.
Step 8. Reviewing HR resource needs to meet new HR objectives.

NOTE Step 9. Determining alternative HR strategies & initiatives to accomplish these
objectives.
Step 10. Setting criteria to evaluate alternative HR strategies.
NOTE See Next Section on Making a HR Strategy Proposal
S 13 / 03 . 14 Page 259
Step 11. Selecting a chose strategic route for the HR division, with initiatives and
actions.
Step 12. Laying down HR policies as rules to guide the selected strategy.
Step 13. Changes to structure and communications.
Step 14. Preparing implementation plans, processes, procedures and
responsibilities.
Step 15. Establishing controls to monitor & evaluate performance progression
with measurement.
Step 16. Preparing for contingencies if assumptions are unfulfilled or if HR
strategies are over or under achieved.
Step 17. The HR Budget and periodic budget reviews.
S 13 / 04 . 14 Page 260
MAKING A NEW HR STRATEGY PROPOSAL THE KEY STAGES
1. Define the New HR Strategy

1.1 What is involved
1.2 Why is it needed and the Main Benefits to the business
1.3 Implications for the business if it is adopted
2. Suitability of the HR Proposal

2.1 What will happen if no change
2.2 Links to the Strategic Intent of the organisation as a whole
2.3 Links to Internal and External environment
2.4 The Tangible Outcomes
S 13 / 05 . 14 Page 261
3. Acceptability
3.1 Expected HR Costs and Returns
3.2 Risks Involved and How to Reduce these (Risk Mitigation)
3.3 Acceptability to Stakeholders
4. Feasibility
4.1 HR Resources and Competencies Needed
4.2 Ability to Implement at Company and Industry Levels
4.3 HR Implementation Team
5. Timing
5.1 Start Date
5.2 GANTT Chart of Phased Implementation, with Timescales and
Milestones for Achievement
5.3 Completion Date
S 13 / 06 . 14 Page 262
6. Request for funding & approval
NOTE : This may need to be filtered informally before making the final
proposal. The simplest checklist should involve What, Why, Where,
When, How and The Outcomes !!
S 13 / 07 . 14 Page 263
HR PROCESS RE-ENGINEERING
ESSENTIAL STEPS
1. Define the Target Processes

2. Know the Existing Position
3. Challenge Underlying Assumptions
4. State the Desired Position
5. Implement Change
6. Monitor and Measure the Impact
7. Staff Activities Neededd
8. Apply Selected Tools
9. Allocate Responsibility
10. Have Tangible Outcomes
S 13 / 08 . 14 Page 264
STEP ACTIVITIES TOOLS RESPONSIBILITY OUTCOMES
1 Define key HR Brainstorming, Champion for HR re- Prioritise re-

Define the activities at customer focus engineering + steering engineering goals
Target processes groups committee
Processes
Prioritise key
processes
Break processes
into manageable
chunks
Involve subject
matter experts
S 13 / 09 . 14 Page 265
2 Conduct workflow Workflow Assessment team (HR Flow map of existing

The analysis (Who does analysis, activity and line managers) processes and their
Existing what, when, where, analysis, systems performance in terms
Position how) audit, focus of cost and quality
groups, interviews
Audit existing
constraints in
systems
Determine problems in
current processes from
customers and
administrators
perspective
Identify key
measurements
related to process
(eg. Cost, Quality,
Time, Re-Work etc)
S 13 / 10 . 14 Page 266
3 Challenge each Visioning, Process team + Identify

Challenge activity in the current scenario, building, assessment team + opportunities for
Underlying process (why is it brainstorming, technical team meaningful
Assumptions done, why is it done critical thinking improvement
there, why is it done
then, why does that
person do it, why is it
done this way etc)
Challenge current
policies, practices
and philosophy
Explore alternative
delivery methods
Cut across functional
silos
Incorporate and
leverage information
technology
S 13 / 11 . 14 Page 267
4 Benchmark other Benchmarking, Process team + technical Design new

The Desired companies conflict resolution, team processes, select best
Position issues resolution, information
Integrate separate simulation, technology to
processes consensus building support process,
determine impact of
Finalise specification new processes
of new information
systems
Draft new process

flows
Assess potential
impact of new process
(cost/benefit, risk etc)
S 13 / 12 . 14 Page 268
5 Implement incremental Benchmarking, Process team + technical Design new

Implement approach conflict resolution, team processes, select best
Change issues resolution, information
simulation, technology to
Conduct pilot testing consensus building support process,
determine impact of
Implement new new processes
systems integration
Market the program,

create curiosity,
implement trial use
Offer training to
support users
Manage resistance
Anticipate and address

morale problems
S 13 / 13 . 14 Page 269
Monitor + Capture business Activity analysis, Full-time program staff Monitor progress
Measure impact of HR cost analysis, and impact
the Impact processes before and customer service
after re-engineering survey, focus
groups
Measure business
impacts, not just
budget and milestones
in programs and
activities
Separate short-term
from long-term impact
S 13 / 14 . 14 Page 270
SESSION 14 THE HR VALUE PROPOSITION
INTRODUCTION
THE 5 ELEMENTS OF THE HR VALUE PROPOSITION
DISCLOSING THE 5 ELEMENTS
EVALUATION OF HR VALUE BASED COMPETENCIES
COMPETENCY DOMAINS FOR HR PROFESSIONALS
S 14 / 01 . 12 Page 271
THE HR VALUE PROPOSITION
The following session is a precis of an important book written by Dave Ulrich called the
HR Value Proposition which is well acknowledged by HR Professionals and provides
insight and substance to this important area of management.
It is claimed that HR effectiveness often considers qualitative Key Performance Indicators,

but overlooks the definition of value and the value that HR Professionals deliver to the
organisation.
The correct perspective is to talk to HR customers to define value perceived and value
derived. The reality is that the HR Departments value should be based upon the business,
not with HR products, services and processes.
If HR is to create value, then one key ingredient is competitive advantage, but HR will
only claim such value if the human capital abilities and organisational capabilities are
really superior as a result of HR intervention.
S 14 / 02 . 12 Page 272
THE 5 ELEMENTS OF THE HR VALUE PROPOSITION
To really deliver value, Ulrich claims that the following are needed : -
Ensuring HR Professionalism
Building HR Resources
Crafting HR Practices
Knowing the Realities of the Business
Serving All Stakeholder Groups, internally and externally
Herein lies a huge challenge. If you were to rate an HR Department you are familiar with
on the above points, you may find the HR function lacking, mainly because HR is not
really embedded into the organisation as a strategic partner.
S 14 / 03 . 12 Page 273
Disclosing The 5 Elements
The interpretation of the 5 elements can be reviewed according to the following criteria :-
1. Ensuring HR Professionalism
Clear role definitions
Staff who show HR competency & confidence
Investment in HR staff through training & development
2. Building HR Resources
Has a well-defined strategic planning process
Aligns HR investments to business objectives & purpose
Builds an HR organisation that is resourced for business strategy
S 14 / 04 . 12 Page 274
3. Crafting HR Practices
Managing people-based processes in a way to add value to the
business
Manages performance management in a way that the business units
know it adds value
Ensure HR information systems and processes add value
Review work processes to add value
4. Knowing the Realities of the Business

Understanding the commercial realities of the business to adopt HR
practice accordingly
S 14 / 05 . 12 Page 275
5. Serving Stakeholder Groups
Establishes an employee value proposition

Help Line Managers deliver business strategy
Making market connections with customers through employees
Creating shareholder value for investors
S 14 / 06 . 12 Page 276
EVALUATION OF HR VALUE BASED COMPETENCIES
The following criteria could be used to rate an HR Department or one you currently
familiar with, or may become familiar with, in the future.
THE NEED FOR IMPROVEMENT
Low High
1 2 3 4 5
1. HR strategy blends with organisational culture
2. HR is an effective manager of large-scale change
3. Contribution to business decision-taking
4. Involvement in critiquing strategy proposals for the business
5. Creating organisational unity
6. Accuracy and timely completion of HR work
7. Good relationships with the business units as internal clients
8. Good communicator
S 14 / 07 . 12 Page 277
THE NEED FOR IMPROVEMENT
Low High
1 2 3 4 5
9. Turn around time for staffing ie. Recruitment

10. Provision for organisational learning
11. Design structures and work processes
12. Design performance measurement systems that work well
13. Understanding of legal frameworks for employment
14. Knowledge of the business value chain
15. Market Knowledge
16. Application of Technology to HR processes
S 14 / 08 . 12 Page 278
COMPETENCY DOMAINS FOR HR PROFESSIONALS
1. Strategic Contribution
2. Personal Credibility
3. HR Delivery
4. Business Knowledge
5. HR Technology
DEFINING THESE DOMAINS
1. Strategic Contributions
Knowing how people must behave to achieve goals and out-perform the
competition
Building a culture for information sharing
Facilitate decision making
S 14 / 09 . 12 Page 279
Develop an internal communication plan
Elicit feedback
Serve on Cross-functional teams
Apply Six Sigma Methodology to improve effectiveness of HR practices
2. Personal Credibility
Be non-judgemental
Visualise complex problems
Develop strategic thinking
Develop interpersonal skills. Get feedback and translate it into action
Develop presentation skills
Know how to empathise
S 14 / 10 . 12 Page 280
3. HR Delivery
Work with the business lines
Work with individuals on personal development plans
Get feedback from a mentor or coach on behaviour
Get feedback from the business lines on expectations
Link with high performance individual
4. Business Knowledge
Interview leading thinkers for each component of the company value chain
Aim to transfer internal best practices
Know the industry
Know the competitor
Know your marker position
Know the business environment
Know how the business works
S 14 / 11 . 12 Page 281
5. HR Technology
Chart the flow of HR information in your HR Department
Know the points of technology interface
Know the technology weaknesses
Experiment with employee portals, also from other companies
S 14 / 12 . 12 Page 282
ANNEX 1 SEMINARS
Page 1
6 SEMINARS IN TOTAL ARE PLANNED FOR THIS MODULE TO
COVER POTENTIAL SYLLABUS DISCUSSION QUESTIONS
PROPOSED AT THE END OF EACH SESSION.
ASSESSMENT BASED SEMINARS SHOULD ALSO BE HELD FOR

ASSIGNMENT PREPARATION, REVISION AND EXAMINATION
BRIEFING.
Page 2
ASSESSMENT SEMINARS SEQUENCE
1. ASSIGNMENT PREPARATION
2. ASSIGNMENT OUTLINES -- PRESENTATION
3. REVISION OF SYLLABUS FROM FRONT SHEETS OF EACH

SESSION (TOPICS 1 TO 7)
4. REVISION OF SYLLABUS FROM FRONT SHEETS OF EACH

SESSION (TOPICS 8 TO 14)
5. EXAMINATION BRIEFING
6. EXAMINATION BRIEFING
Page 3
SEMINAR 1 : ASSIGNMENT PREPARATION
EXPECTATIONS
University Protocols
Structure of a Good Assignment
Content Expected
Referencing to meet Academic Requirements
Examples from previous courses
Conclusion How to make this effective
Using Appendices
Student Students produce A Roadmap to address the assignment question of
Task
choice
Page 4
SEMINAR 2 : ASSIGNMENT OUTLINE PRESENTATION
1. Students Are Required To Present The Plan For Their HR Assignment
2. Students Will Be Selected For Presentation Depending Upon Class Size
3. Group Feedback From Peers Will Be Obtained
4. Critique Given By Tutor
5. Tutor Explains How The Assignment Is Marked And The Criteria Used For
Assignment Evaluation
Page 5
SEMINAR 3 : REVISION OF SYLLABUS
TOPICS 1 TO 7
Page 6
SEMINAR 4 : REVISION OF SYLLABUS
TOPICS 8 TO 14
Page 7
SEMINAR 5 & 6 : EXAMINATION BRIEFINGS
Protocols
Examination Techniques
Tutor Expectations
The Content Of A Good Answer
Sample Questions & Answer Discussions
Criteria For Marking Examination Answers
Page 8
ANNEX 2 RECOMMENDED READING
Page 1
Armstrong, M (2009), Armstrongs Handbook of Human Resource Management
Practice, (11th ed), Kogan Page
Beardwell, I. (2007), Human Resource Management : A Contemporary

Approach, (5th ed), Prentice Hall
Brewster, Sparrow, vernon (2007), International Human Resource Management,

Chartered Institute of Personal Development
Dessler, G (2008), Human Resource Management, Prentice Hall
Price, A (2007), Human Resource Management, (3rd ed), Thomson Learning
Sisson, K. and Storey, J (2000), Human Resource Management, Blackwell.
Toorington, D., Taylor, S. and Hall, L. (2008) Human Resource Management,

(7th Ed) Financial Times / Prentice Hall
Ulrich D. and Brockbana W. (2005), The HR Value Proposition, HBS Press
Page 2
FURTHER READING
Page 3
Armstrong, M (2001), A Handbook of Human Resource Management Practice (9th
ed), Kogan Page
Beardwell, I. , Holden, L. (1997), Human Resource Management : A

Contemporary Perspective, Pitman
Beer, M., Spector, B. (1985), Corporate wide transformations in human resource

management, in Walton, R.E., Lawrence, E.R. (eds), Human Resource
Management Trends and Challenges, Harvard Business School Press
Bratton J., Gold J. (2003), Human Resource Management : Theory and Practice,
Palgrave Macmillan
Corbridge, M., Pilbeam S., (2002), People Resourcing : HRM in Practice, Prentice
Hall
Dessler, G. (1999), Essentials of Human Resource Management, Prentice Hall
Dessler, G. (2001), A Framework for Human Resource Management, Prentice Hall
Page 4
Guest, D. (1987), Human Resource Management Trends and Industrial Relations,
Journal of Management Studies, Vol. 24, No. 5, p. 377 397
Handy, C. (1994), Understanding Organizations, Penguin, 4th edition
Huselid M et al, (2001), The HR Scorecard : Linking People, Strategy and

Performance, Harvard Business School press
Legge, K. (1989), Human Resource Management : A Critical Analysis, in J. Storey

(ed), New Perspectives on Human Resource Management, Routledge
Mullins, L. J. (1999), Management and Organisational Development, Pitman

Publishing, 5th Edition
Handy, C. (1994), Understanding Organizations, Penguin, 4th edition
Huselid M et al, (2001), The HR Scorecard : Linking People, Strategy and

Performance, Harvard Business School Press
Page 5
Legge, K. (1989), Human Resource Management : A Critical Analysis, in J. Storey
(ed), New Perspectives on Human Resource Management, Routledge
Mullins, L. J. (1999), Management and Organisational Development, Pitman

Publishing, 5th Edition
Pinnington, A., and Edwards, T., (2000), Introduction to Human Resource

Management, Oxford
Price, A. (2004), HRM in a Business Context, Thomas
Rodger, A. (1952), The Seven Point Plan, London : National Institute of Industrial
Psychology
Senge, P. (1990), The Fifth Discipline : The Art and Practice of the Learning
Organisation, Doubleday
Torrington, D., Hall, L., Taylor, S. , (2002) Human Resource Management, Prentice
Hall
Page 6
ANNEX 3 SAMPLE ASSIGNMENT QUESTIONS AND
SAMPLE EXAMINATION PAPERS
Page 1
ANNEX 3 : ASSESSMENT
Sample Assignment Questions
Sample Examination Questions
Page 2
SAMPLE ASSIGNMENT QUESTIONS
1. For an organisation of your choice, explain the historical development and

current market contexts, together with the profile of the companys human
capital.
State the current HR issues and challenges faced and propose an outline plan to
address them.
2. Select one topic within the field of human resource management and prepare
and submit 10 Powerpoint Slides to contain this topic. Your presentation is
intended for new graduate trainees as part of their training prorgramme. Ensure
that you introduce the topic well and indicate the thought leaders in this field
from academic and business sources.
Page 3
3. As a new employee in the HR Division of an International company, you are
required to complete a project on Recruitment and Selection. You can state
your own terms of reference and make proposals upon how to achieve them.
4. Describe the classical theories of Motivation and then from these theories,
propose a hybrid theory which may combine the most meaningful
characteristics from a range of these theories.
5. In your home country, apply Maslows Hierarchy of Needs as an MBA

graduate entering the first corporate position as an Assistant Manager in the HR
or Marketing Department.
6. You are required to present a paper at a senior HR management meeting on the

subject of Change Management, advising your audience of the dynamics of this
subject.
Page 4
SAMPLE EXAMINATION PAPER ( 1 )
Answer 2 Questions from 5. Time allowed : 2 hours
1. Select anyone area of Human Resource Management, explain the key concepts
it contains and then discuss typical challenges which organisations face in
achieving effective management of this area.
2. If you were appointed as the Head of Human Resource Management for an

International company, outline the agenda that you would have to attend to
within the first 3-months of your appointment.
3. Explain the optimum strategic contribution of Human Resource Management to

the achievement of corporate objectives in an organisation facing exponential
growth.
Page 5
4. Outline a template for a Human Resource Plan, and state the essence of a valid
system for Human Capital Recruitment & Selection.
5. Recruitment is a significant challenge for HR Managers Human Capital

Retention is also a perpetual HR issue..Explain why these difficulties prevail.
Page 6
1. Explain how the HR function can be expected to add value to the organisations
performance as the business moves from Personnel Management to Strategic
Human Resource Management.
2. Outline the main sections of a strategic plan for Human Resource Management
and show how you would propose new HR initiatives to top management for
approval.
3. Explain the purpose of Performance Management and discuss the challenges

faced in organisation who seek to achieve it effectively.
Page 7
4. Explain the term Psychological Contract and show how the HR Department
responsibility for employee relations has an important role to play.
5. Selection Processes have been designed to appoint the best candidates for the
job, but do they really work well --- Discuss.
Page 8
1. Explain why, in your opinion, there has been in many companies a movement
away from traditional personnel management to strategic Human Resource
Management. In preparing your answer, explain clearly the differences in
approach to this core management function.
2. Explain in detail the difference between a job description and a person

specification and why they are closely related.
3. Compensation and Benefits is an important part of the HR function, explain

what is involved and the challenges faced in managing this domain.
Page 9
4. Select either Change Management or Performance Management and describe
the challenges HR professionals face in discharging services in this area to their
internal HR customers.
5. How should Human Resource Management ensure that their division delivers
value to the organisation.
Page 10
ANNEX 4 SUPPORTING MATERIAL
Page 1

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London School of Commerce

MANAGING HUMAN CAPITAL

Session 1 : An Introduction to Human Resource Management 4

Session 2 : Human Resource Planning 32

Session 3 : Job Analysis & Design 52

Session 6 : Training & Development 126

Session 7 : Compensation & Benefits 138

Session 8 : Employee Relations 177

Session 9 : Motivation 197

Session 11 : Change Management 218

Session 12 : Strategic Human Resource Management 238

Session 13 : A Roadmap for Preparing a Strategic Plan for HRM 257

Session 14 : The HR Value Proposition 271

Annex 2 : Recommended Readings

Annex 3 : Sample Assignments & Sample Examination Papers

Annex 4 : Supporting Material

HRM DEFINITIONS AND DOMAIN

HRM AND COMPETITIVE ADVANTAGE

-- Human resources planning, recruitment, selection, placement and termination

Human Resource Management is the term that is replacing Personnel Management, to

According to Graham and Bennett (1998),

Increasing numbers of temporary and part-time employment

Flexible labour practices

Teamwork, the implementation of corporate values, company-wide (rather than

The following relationships and differences between HRM and personnel

HRM is concerned with the wider implications of the management of change

HRM determines general policies for employment relationships within the

Guest (1987) claimed that a combination of a set of propositions, which include

High quality refers to all aspects of managerial behaviour, including management of

Flexibility is seen as being primarily concerned with what is sometimes called

1. It has raised questions about the nature of employment relationships.

2. Management of employee relations and the question of employee commitment to

Human resource management however defined, concerns the management of

Human Resources Development means those learning experiences (purposeful

American Society for Training and Development (ASTD)

1. Learning Specialist 2. Administrator 3. Consultant

Facilitator of learning Developer of HRD Advocate

Arranger of facilities and

Top management-supported, long-term effort to improve an organisations

(French and Bell, 1990)

1. Development (HRD) 2. Utilisation (HRU) 3. Environment (HRE)

Today with progressive globalisation, constant pressures to achieve and sustain

Competitive advantage is achieved through differentiation, this requires a committed

Organisation, to achieve competitive advantage, according to Guest (1987) require :

Strategic integration -- The ability of organisations to integrate HRM issues into

High quality -- Refers to all aspects of managerial behaviour, including

Flexibility Primarily concerned with what is sometimes called functional

Commitment -- This concerns employees loyalty to the organisation,

Cost effectiveness -- This concerns operational efficiency. Outputs must be

Contented, dedicated employees inspires excellence and value adds to the

Employee stability encourages sustained investment

Well entrenched shared values facilitate longer term development plans

A good organisational climate enables the implementation of change,

HUMAN RESOURCE MANAGEMENT AND HUMAN CAPITAL MANAGEMENT ARE

IN YOUR COUNTRY OF ORIGIN, WHAT DO YOU CONSIDER THE EVOLUTION OF

HRP AND THE ORGANISATIONAL CONTEXT

ELEMENTS FOR HR PLANNING

MAIN HRP ISSUES

THE LABOUR MARKET

HRP AT OPERATING LEVEL

HR Planning is a critical function of Human Resource Management because it is dedicated to

7. Training and development 3. Induction Introduces new people

6. Performance appraisal Reviews 4. Job descriptions Clarifies

5. Mentoring, Coaching and