Professional Documents
Culture Documents
HR PLANNING
HR is the process by which an organisation ensures that it has the right number and kind of people at the right place, at the right time, capable of effectively and efficiently completing those tasks that will help the organization achieve its overall objectives. an effort to anticipate future business and environmental demands upon and organization and to provide personnel to fulfil that business and satisfy that demand
Human resource planning must be integrated within the organizations strategic plans
Senior management must emphasize the importance of human resource planning Human resource planning must be based on the most accurate information available Human resource planning must be assigned or located within a central unit A clear plan must be developed with associated time-spans and scope of activity
It is the process by which management determines how an organization should move from its current manpower position to its desired manpower position. Through it management strives to have the right number and the right kind of people at the right places, at the right time, doing things which result in both the organization, and the individual receiving, maximum long-rang benefit
Nature of HR Planning
Ascertaining of the manpower needs An inventory of existing manpower Determine the shortfall of manpower Initiation of various organization programmes Acquisition ,utilization, improvement and preservation of the organization
Objective of HR Planning
and supply of HR To forecast future requirements for HR To provide control measures To link HRP with Organisational Planning To determine levels of Recruitment and Training
To estimate cost of Hr and Housing needs of Employees To provide a basis for MDP To facilitate productivity Bargaining To meet the needs of Expansion and Diversification programmes
To carry on its work and to achieve its objectives HRP identifies gaps There is need to replace employees HRP facilitates expansion and growth HRP helpful in effective utilization of HR and Technology
HRP is useful in anticipating Cost of HR which facilitates budgeting easier HRP facilitates Career and succession planning HRP helps in planning for physical facilities like canteen staff quarters etc
Employment situation Technological Changes Organizational Changes Demographic Changes Lead time Hiring costs Increased Mobility Shortage of Skills Legislative Controls Pressure Groups Systems Concepts
Process of HRP
Determine objective of HR planning Analyzing current manpower inventory Forecasting Demand for HR Forecasting supply of HR Estimating Manpower Gaps Action Planning Monitoring and Control
Quantitative Aspects Demand Forecasting Managerial Judgment Work Load Forecasting Supply Forecasting
Job Analysis
Job Analysis is a detailed and systematic study of jobs to know the nature and characteristics of people to be employed for each job This is a process of discovering and identifying the pertinent information relating to the nature of a specific job
Job Analysis
Job analysis is a formal and detailed study of jobs It refers to a scientific and systematic analysis of a job in order to obtain all pertinent facts about the job It is essentially a process of collecting and analyzing all pertinent data relating to a job
Job Identification Nature of job Operations involved in doing the job Material & Equipments to be used in doing the job Related with other jobs Personal attributes required to do the job
Job Redesign Work Standards Recruitment Selection Training Performance appraisal Job evaluation Safety
Organizational Design Human Resource Planning Recruitment and Selection Training and Development Performance Appraisal Career Path planning Job Design Job Evaluation Labour Relation Employee Counselling Health and Safety
Organisational Analysis Organising Job Analysis Programme Deciding the uses of Job Analysis Information Selecting Representative Jobs for analysis Understand Job Design Collection of Data Developing a Job Description Preparing a Job Specification
Job Description
Job Description is an organised factual statement of job contents in the form of duties and responsibilities of a specific job. Job description document discloses what is to be done ,how is to be done and why it is to be done.
Job Title Job Location Job Summary Duties to be performed Machines, tools and material Related to other jobs Nature of Supervision Working Environment
(2)Mutual Relations among Departments What are relations among departments in a company? -Analysis of jobs is conducted by Job Description. Job analysis includes each departments goals and functions. -Relationship among departments can be understood by using Job Description.
(3) Promotion and Career Path How does management explain promotion and career path* to employees? (*opportunity of promotion) -Promotion and career path are explained through Job Description. -Necessary ability and qualification to fulfill each job are clarified in Job Description.
(4) Determination of Salary Level How is salary level determined? What is the basis for salary? -Salary level is determined by contents and difficulty of each job described in Job Description. -Difficulty of each job is determined by job evaluation and job standards for typical jobs are established.
(5) Job Evaluation and Standards What makes us understand differences among jobs and more difficult (that is, higher salaried) job ? -Difficulty of each job is determined by job evaluation and job standards for typical jobs are established. -Salary level is determined by contents and difficulty of each job described in Job Description. (6) Performance Measurement What is the basis for performance measurement? -Performance is measured compared with performance planning in Job Description.
(7) Training Needs How can the management find training needs of employees? -Difference between planning and performance is regarded as training needs of employees. (8) Selection of Human Resources How should the management find and select employees? -Excellent performers can be found by the difficulty of jobs they try and the result of performance measurement
Job Specification
Job specification is also a document which states the minimum acceptable human qualities necessary to perform a job properly. Job specification translate the job description into human qualification and some other levels of performance for successful performance of the job
Job Description is a functional description of what the job entails. And define the purpose and scope of a job. It is a written record it contains title, location, duties, responsibilities, working conditions, hazards and relationship with other jobs.
Job specification is a statement of the minimum acceptable human qualities required for the proper performance of a job. It includes physical, mental, social, psychological and behavioral characteristics of a person
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Recruitment
Recruitment is the process of searching the candidate for employment and stimulating them to apply for job s in the organization Recruitment refers to the attempt of getting interested applicants & creating a pool of prospective employees so that the management can select the right person for the right job from this pool.
External Sources Press Advertisements Educational Institutions Placement Agencies Employment Exchanges Labour Contractors Unsolicited Applicants Recommendations Recruitment at Factory gate Online Management Consultants
Recruitment Process
Requisitions for recruitment from other department Locating and Developing the sources of Required number and type of employees Identifying the prospective employees with required characteristics Communicating the information about the organization, the job and the terms of conditions of service. Encourage the identified candidates to apply for jobs In the organization. Evaluating the effectiveness of recruitment process.
Internal Source
Merits
Employees Motivation Increase Moral Industrial Peace Cheaper Prepare employees for higher jobs Shifting Workforce from surplus department
Demerits
Scope of fresh talent is reduced Employees become lethargic Frequent transfers reduce productivity
External Sources
Merits
Qualified Personals Wider Choice Fresh Talent Competitive Spirit
Demerits
Dissatisfaction from existing staff Lengthy Process Costly Uncertain Response
What is Selection?
Selection is the process of choosing the most suitable persons out of all the applicants. Selection is a process of matching the qualifications of applicants with the job requirements. It is the process of weeding out unsuitable candidates and finally identify the most suitable candidate. The purpose of Selection is to pick up the right person for every job. Selection is negative process as it rejects a large number of unsuitable applicants from the pool.
Selection
The next step after recruitment is the selection of candidates for the vacant positions from among the applicants Selection is the process of
choosing the appropriate candidate from the obtained applications to match the requirements of the job
EFFECTIVENESS
EFFICIENCY
LEGALLY COMPLIANT
Selection
The goal of selection isnt always to find applicants who have the most of a given quality
Selection is the search for an optimal match between the job and the amount of any particular characteristic that the applicant may possess
Eg. depending on the job, more intelligence always isnt better than less
Selection
Challenging to cope with all possible objectives of a selection system One of the initial tasks is to identify which objective is most important for its circumstances
Design of the selection process has to be based on
Create stable Work force Keep rate of Absenteeism low Keep labour turnover low Moral of employees are high Higher efficient employees are higher Achieve objective efficiently Rate of Industrial Accidents will be low Higher job satisfaction
Factors of Selection
Many factors in the external and internal environment influence selection The amount and type of selection process is influenced by various internal characteristics, viz.
Internal Factors
Development & implementation of large-scale selection efforts is costly Larger organizations with economic means deploy complex selection systems Sufficient number of job vacancies are needed to recover the costs of developing expensive selection system
Internal Factors
In structurally complex organizations with many job titles but very few occupants, time needed to recover the money invested in selection system may take many years Attitude towards hiring from within is also an important determinant of the kind of selection system that an organization develops
External Factors
Organizations are subject to the legal framework of the country Size of the labour markets Composition of the labour markets Availability of local labour markets Economic, social, and political pressures on a community
when unemployment rates are low, its difficult to identify, attract, hire the no. of people required
Selection Procedure
Preliminary Interview Receiving Applications Screening of Application Employment Test Physical Examination Checking Reference Final Selection
Physical Examination
Placement
Selection
The next step after recruitment is the selection of candidates for the vacant positions from among the applicants Selection is the process of
choosing the appropriate candidate from the obtained applications to match the requirements of the job
Methods of Selection
(a) Tests: 1. Aptitude Tests: Mental or Intelligence test Mechanical test Psycho-motor test 2. Trade/Proficiency tests: - Job Knowledge test - Work sample test
3. Personality Tests: Objective test Projective test Situation test 4. Interest Tests:
Selection Outcomes
JOB PERFORMANCE
RIGHT CANDIDATE
Correct Decision
UNSUITABLE CANDIDATE
Correct Decision
UNSUITABLE CANDIDATE
RIGHT CANDIDATE
Wrong Decision
Wrong Decision
ACCEPT
REJECT
Outcomes of Selection
Positive Outcomes
selecting the right candidate rejecting unsuitable candidate
Negative Outcomes
Job applications are reviewed; those who do not match the required basic criteria are rejected Applicants have to complete application blanks Application blanks ask for enough information to determine whether the applicant is minimally qualified for the position
Preliminary Screening
Personal information Educational Qualification Work Experience Salary Personality Items (strength, weakness, career goals) Reference Checks
Preliminary Screening
Employment Tests
A mechanism (either a paper-pencil test or a simulation exercise) that attempts to measure certain characteristics of applicants
Very expensive to develop a test & many employers purchase existing tests These devices should be validated before it is actually used to make selection decisions
Employment Tests
The type of test that is ultimately used will depend on a no. of factors
budgetary constraints complexity & difficulty of the job the size & quality of applicants KSAOs required by the job
Intelligence Tests
logical reasoning, judgement, memory general mental ability, GK word fluency, verbal comprehension numbers, analytical skills
Employment Tests
Aptitude tests
measure an individuals ability to learn a given job when given proper training also termed proficiency or knowledge tests measure the job-related proficiency & knowledge test the applicants likely responses to real life business situations include GD, simulated business games, etc
Achievement tests
Situational tests
Employment Tests
Interest tests
help in identifying & understanding the degree of interest of the applicant in a job they are generally inventories of the likes & dislikes of candidates vis a vis
Personality tests
are intended to assess an individuals value system, emotions, maturity, self confidence, optimism, decisiveness, other personality traits the least reliable of employment tests
Test is an objective and standardize sample of certain qualities Identify talent of individual Reduce the cost of selection and placement To know the aptitude of candidate Healthy Basis for comparing applicants background
Limitation
Test measure only a part of the test information for correct decision Cant predict the chances of success Candidate can be nervous No test can measure the complex combination of characteristics required.
Development of test
Analyze the job Selection of Test Procedure Preliminary tryout and refinement Validation of test procedures Combination of test into a battery Administration of Tests
Interview
Selection procedure designed to predict future job performance on the basis of applicants oral responses to oral inquiries Interviews help in assessing the candidate and validating the information provided in his application Forms a part of the recruitment process employer can sell his organization & the job to the candidate
Interview
halo effect opinion, values, perception of the interviewer timing and setting of the interview can also influence outcome Can only test the personality of the candidates
structuring the interview to be reliable and valid training managers to use the best available interviewing techniques
Significance of Interview
Evaluate various aspects of personality Evaluate to judge the candidate correctly Cheaper and time saving Mental and social makeup of candidate
Interview procedure
The extent to which the applicants previous work experience resembles the work in the post to be filled in The applicant normal working tempo The applicant social background, education and achievement The applicants initiative and decision making skills The applicant attitude towards authority and descipline
Preliminary Interview
Brief first round interviews that aim to eliminate the applicants who are obviously unqualified for the job Generally informal and unstructured interviews Conducted even before the candidates fill in the application blanks More obvious facts and information can be gathered Enables managers to quickly evaluate the candidate
Selection Interview
Non-structured
interviewer asks questions as they come to mind no set format to follow more open ended questions candidates are more comfortable tend to be more subjective
Structured
questions are specified in advance the responses may be rated for appropriateness of content based on thorough job analysis
Structured interviews
Structured interviews are generally more valid as theres no scope for subjectivity The same set of questions are asked to all the candidates, which helps in better evaluation Can also help inexperienced interviewers to ask questions and conduct useful interviews Dont always leave the flexibility to pursue points of interest as they develop
Interview
In-depth interview suitable for high-end technology, high-skill jobs Experts in the relevant area test the candidates knowledge and understanding of the subject and assess his expertise Panel interview candidate is interviewed simultaneously by a group (or panel) of interviewers Interviewers can be from various departments Improves cross-functional interactions & reduces subjectivity
Induction/Orientation
Definition:
Orientation or induction is the process of receiving and welcoming an employee when he first joins a company and giving in the basic information he needs to settle down quickly and happily and start work.
Orientation
Introduction of a new employee to his/her job and the organization. A program designed to help employees fit smoothly into an organization; also called socialization. Orientation or socialization is designed to provide new employees with the information needed to function comfortably and effectively in the organization.
1. 2.
3.
It conveys three types of information: General information about daily work routine. Review of organizations history ,purpose operations, and products or services and contribution of employees job to the organizations needs. Presentation of organizations policies, work rules and employee benefit.
Types of Orientation
1.
2.
Objectives:
1. To help the new come to overcome his shyness To build new employees confidence To develop the new entrants a sense of belonging and loyalty To foster a close and cordial relationship To prevent false impression and negative attitude of the new employees To give the new comers necessary information like canteen, locker room. Rest periods and leave rules etc
Advantages:
It helps to build two way communication It facilitates informal relations and team work Induction is helpful in supplying information about the organization, job, and welfare of employees Proper Induction will reduce employees grievances, absenteeism and labor turnover Induction helps to develop good public relations and improve the overall morale of employees An Induction programme proves that the company is taking a sincere interest in getting him off to a good start
Brief history and operations of the company. Products and services of the company. The companys organization structure. Location of departments and employee facilities. Policies and procedures of the company. Rules, regulations and daily work routines. Grievance procedures. Safety measures Standing orders and disciplinary procedures Terms and conditions of service including wages, working hours, over time, holidays etc. Suggestion schemes Benefits and services for employees. Opportunities for training and promotions transfers etc.
PROMOTION
Promotion refers to advancement of an employee to a higher post carrying greater responsibilities, higher status and better salary. It is the upward movement of an employee in the organization's hierarchy, to another job commanding greater authority, higher status and better working standards.
Promotion Policy
Promotion policy should be in writing Promotion policy should be understood by all It may also lay down that if senior person is not selected for promotion, he will be told the reason for this
Employees assessment and confidential reporting system should be objective Every employee should have faith in the promotion policy It is induced for better performance to get promotion Promotion policy must be flexible Sound promotion policy demands that internal staff should be given fair chance of promotion before posts are filled from external source
Act as an incentives Recognition to an employee Increase job satisfaction of employees Increase the effectiveness of the organization Help to keep an effective force of employee Develops employees loyalty
Criteria of Promotion
Transfer
A transfer refers to a horizontal or lateral movement of an
employee from one job to another in the same organization without any significant changes status and pay. It has been
1. To meet organizational needs 2. To satisfy employee Needs 3. To better utilization of Employees 4. To make the Employee More versatile 5. To adjust the work force 6. To provide Relief 7. To Punish Employees
Types of Transfers
1.
Production Transfer 2. Replacement Transfer 3. Versatility Transfer 4. Remedial Transfer 5. Shift Transfer
Transfer Policy
It must be put in written and should meet the following requirement: Transfer policy should specify clearly the type and circumstances under which transfer will be done It should lay down the basis for transfer It should indicate the executives responsible for initiating and approving the transfer It should prescribe whether the transfer can be made only within the department or also between the different departments It should prescribe whether when an employee is transferred ,his previous seniority credit will be retained
Demotion
Demotion implies the assignment of an employee to a job of lower rank with lower pay. It refers to downward movement pf an employee in the organizational hierarchy with lower status and lower salary. It is downgrading process and a serious type of Punishment, hence it should be used tactfully and only when it is absolutely necessary.
Seperations
Separation of an employee takes place when his service agreement with the organization come to an end and the employee the organization. It may occur due to resignation, death, dismissal and layoff. Following are various forms of separations. Resignation Retirement Layoff Retrenchment Dismissal
Retirement
Retirement of an employee is an important event in his life and also has an important impact on the organisation where he worked for a major portion of his life . Retirement may be of the following kinds: Compulsory Retirement Forced Retirement Premature Retirement