HUMAN RESOURCES MANAGEMENT

Set of Organizational activities directed at attracting, developing, and maintaining an effective workforce The process of acquiring, training, terminating, developing, and properly using the human resources in an organization
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Lecture Notes for Business Introduction

The HRM Process

1. Human Resource Planning: Forecasting
Demand Supply and Job Analysis 2. Staffing the Organization: Recruitment, Selecting, and Orientation 3. Developing the Workforce: Training and Performance Appraisal 4. Compensation and Benefit: Wages and Salaries, Incentive and Benefit Program

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Lecture Notes for Business Introduction

Human Resource Planning

Job Analysis determining the tasks, the skills, abilities and responsibilities needed to perform the job Job Description a statement about a jobs duties Job Specification A statement of the human qualification needed to perform a job
Lecture Notes for Business Introduction

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Human Resource Planning

Forecasting the demand - estimating the personnel needs of organization Forecasting the supply of labour: Internal Supply External Supply Matching Demand with Supply
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Lecture Notes for Business Introduction

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Lecture Notes for Business Introduction

Recruiting
Recruitment Steps taken to staff an organization with the best qualified people Sources: Internal recruiting External recruiting from worker unions, university, employment agencies
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Lecture Notes for Business Introduction

Selection and Orientation

Selection evaluating and choosing the candidates. Selection Process: application form, Tests, and Interview
Orientation A procedure for providing new employees with basic background information about the firm

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Lecture Notes for Business Introduction

Training and Development

Training supplying the skills, knowledge, and attitudes needed by employees to improve their abilities to perform their job

On-the Job Training Off-the Job Training

Development preparing someone for the new and greater challenges and more demanding job
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Lecture Notes for Business Introduction

Performance Appraisal
Performance Appraisal appraising the employees performance in relation to job standards and then providing feedback to the employee Methods: Subjective Performance appraisal performance criteria and rating scale are not defined Objective Performance Appraisal performance criteria and the method of measurement Lecture are specifically defined Notes for Business
Introduction 9

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Performance Appraisal Results

Promotions job changes that lead to higher pay and greater responsibilities Transfers Lateral moves from one position to the other having similar pay and a similar responsibility level Demotion A movement from one position to another that has less pay or responsibility Separation departure of an employee from an organization
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Lecture Notes for Business Introduction

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Compensation
Compensation determining an employees performance initial wages, making changes to wages, and offering accompanying benefits Types: Direct Compensation an employees base pay and performance base pay Indirect compensation protection programs, private protection, and other benefits Wages Compensation based on time worked and number of units produced
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Lecture Notes for Business Introduction

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Motivating
Motivation the way drives or needs direct a persons behavior toward a specific goals Motivation Theories: Contemporary Theories:Maslows Hierarchy
Model, Theories X an Y, Two-Factor Theory, Expectancy Theory and Equity Theory

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Lecture Notes for Business Introduction

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Maslows Needs Hierarchy

Five needs arranged in a hierarchy: 1. Physiological Needs - biological need 2. Security Needs to be financially secure and protected against job loss 3. Social Needs to belong and to interact with other people 4. Esteem Need the need for self-respect and for respect from other 5. Self-Actualization Need the need to use and display ones full range competence
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Lecture Notes for Business Introduction

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Lecture Notes for Business Introduction

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McGregors Theory X and Theory Y

Theory X employees dislike work, responsibility, and accountability and employees must be closely directed and controlled to be motivated Theory Y want to be challenge like to display creativity highly motivated to perform well if given some freedom to direct or manage their own behavior Lecture Notes for Business
Introduction

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