MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

Q1. Trace out the growth of Human Resource Management in India. Answer: HRM in India:

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As it stands today the Indian organization could not have hoped for more. In addition to being strategically positioned on the corporate world map as a low-cost, highly skilled destination, the Indian corporate is emerging as a base for committed, intelligent and a knowledgeable workforce. This has been achieved by the help of a strong foundation provided by the Indian education system at the primary, secondary, technical and at professional level. It is a undisputed fact that the Indian Institute of Technology, the National Institute of Technology and the famed India Institute of Management are among the world-class institutions to name a few. Quality education and research are encouraged on these campuses and across the country, which mould and contribute to the practices in Indian organizations.

The HRM practices in Indian organizations are a parody of sorts. There is a strong foundation that is a simple extension of the HR practices from the established western organizations and the developed countries. However there is a equally strong cultural impact on the hiring practices, compensation standards, benefits and statutory benefits, performance linked rewards and payout, which though in-step with international HRM practices have a flavour their own. We will discuss a few distinct differentiators that impact HRM practices in Indian organizations: The Indian culture is one that is deeply rooted in its societal and collectivistic values whereby there is a natural urge to collaborate at the workplace, work in teams and groups with ease. The diversity that is seen in the Indian society w.r.t. diverse religions and states are reflected in the ability of the Indian to accept diversity of views and thought without inhibitions. Not much effort needs to be expended to practice tolerance towards others points of view. The tolerance for ambiguity and uncertainty however is low in the Indian which requires a lot more detailing of jobs and roles and responsibilities. There is need therefore to establish definite boundaries of authority and responsibility.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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Work culture-wise, the natural ability to work hard and long hours, perseverance and the need to earn money impact the way the work is organised in Indian organizations. It is not uncommon for the Indian to compromise personal time with family / friends to instead attend to work and satisfy a customer. There is a overwhelming sense of service that manifests itself at the workplace.

Availability of a large educated group of individuals of different calibre of knowledge and skill allows the country to undertake different nature of work beginning with lower skilled activities such as BPOs(Business Process Outsourcing) and moving up the value curve to far more advanced activities ....KPOs (Knowledge Process Outsourcing).

Compensation and benefits costs continue to provide a competitive advantage for India making it a preferred business location the world over. There is a natural expressed need to belong. This again is typical of the Indian and has brought about a significant amount of customization of the workplace and its norms to allow for cultural events and activities through the year. There is a lot more scope for socializing that exists in the Indian organizations.

Current trend in the over populated urban part of the country are quickly fading out to tire 2 and tire 3 cities and town where the cost of living and wage levels are not as competitive, further expanding the Indian resource base for hiring and building talent, contributing to the overall gain of the country.

HRM in India however is not structurally well-researched and hence a lack of theoretical information to track and document its progress. Unlike in the emerged countries like the USA and the UK where the research networks are mature and well established. Research is yet at its infancy in India and there is a lot of dependence on the emerged countries in emulating best practices in the way people are hired and managed. Today the organizations of Indian origin have their unique HR strategies that work best for them. Work more and earn more is a common and accepted philosophy at the Indian workplace. Work is respected and revered and almost worshipped in Indian organizations. Benefits are basic yet equitable and adequate. There is a high focus on cash in hand as opposed to benefits and perks.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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Our statutory and legal frameworks, as a result, are a lot more liberal and less restrictive as compared to the emerged countries. An open society drives openness at the workplace and hypocrisy is largely discouraged, leading to well structured policies and processes that drive workplace behavior. Diversity for India is a challenge very different from its existence in the rest of the world. Diversity initiatives in India normally focus around challenges related to gender diversity. Its only in the past few years that there is a pattern of women in the Indian corporate. Today this is a key issue. There is a lot of strategizing and initiatives in all Indian MNCs as well as Indian domestic firms toward wooing this critical potential talent for organizational advantage.

Human Relations Movement Kautilya provides an account of the techniques of human resources management as early as 4th century B.C. in the "Artha-Shastra". As per the book, there existed logical procedures and principles in organizing labour namely the Shreni or guild system and in the principles of the cooperative sector. The wages were in terms of quantity and quality of work turned out and punishment for unnecessarily delaying the work or spoiling it. The writing of Kautilya provides an excellent discussion on staffing and personnel management, including the detailing of what today are called job descriptions, qualifications for jobs, methods of selection, employee and supervisor development, formally established incentive methods (Sarasa- saama- daana- bhedadanda- catura, the Carrot and Stick approach) and even the science of performance evaluation. The guild system was pioneered and closely followed by the establishment of the co-operative sector of craftsmen and traders organizing themselves to promote their professional interests. Numerous professional societies were similarly formed each establishing systematic procedures and policies to nurture their own interests.

Significantly, these practices also respected the principles of the division of labour, which can easily be traced to the caste system that even today is a inseparable part of the Indian cultural system. The society got divided into Individuals engaging themselves in activities such as teaching, sacrifice or state management were designated as Brahmins While those specializing in fighting were termed as Kshatriyas.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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Individuals engaged in the areas of trade, business and agriculture were called Vaishyas and Those devoting themselves in manual work were known as Shudras.

Herein hereditary facilitated the transfer of skills and training from one generation to another. Quickly even specialized skills became hereditary suchas goldsmiths, weavers, potters, blacksmiths, carpenters, hunters, charioteers, snake charmers, architects, sculptors, armourers identified as separate communities by themselves. Between the employer and employees justice and equity laid a sound foundation for successful enterprise. During the medieval period, India experienced aggressions for around 700 years, during the Mughal rule. While trade and commerce flourished, majority of the artisans and the craftsmen remained poor and lived simple lives compounded by the large and joint family system that prevailed. Low wages, oppressive political conditions and poor physique characterised the workplace. Nothing significantly changed during the British rule. Oppression and poor working conditions prevailed in all industries and intensified in the tea estates that were the key focus of the British for obvious reasons that tea was a key export product. This prevailed till the enactment of the Factory Act of 1881. This coincided with the waves of industrialization and urban growth that India witnessed. The Act brought about the first set of formal guidelines and rules that the industries had to comply with. Workers employed in the factories were allowed a week off-day and provisions were made for supervision, quality and hours of work. Sadly the act also established the minimum age of children for employment to be seven years and the maximum working hours for them to not exceed seven hours a day and only in the day-shift. This set the stage for the organization of employees to ensure fair work and pay and in 1890, the first labour organization Bombay Mill Hands Association was established. In 1905, the printers' Union at Calcutta and in 1907, the Postal Union at Bombay were established. The Madras Labour Union was organized thereafter in 1918. The Central Labour Board was established in 1922 to bring together the different unions in the Bombay city and the All India Trade Union Congress was organized. The formal implementation of the Indian Trade Unions Act took place in 1926, one more landmark in the history of industrial relations in the country. There was a large scale expansion of the trade union movement after the Second World War - especially after the independence. The union-government interactions significantly stepped up to accommodate for the removal of the war-time restrictions on strikes, formation of three more central labour organizations and the competition among them and the use of adjudication rather than collective bargaining techniques to resolve issues. In 1960, 45 percent of the total industrial workforce was claimed to be unionised. Today, the total membership is estimated to be around 4.3 million i.e., 28 percent of total workforce.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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The post-independence period also marked the formation of the Personnel Department in different public and private sectors. Under the Factories Act, 1948, employers had to employ a Welfare Officer in a factory employing 500 or more workers. Similarly the Mines Act, 1952, empowers the Government to specify employment of welfare officer/officers. While welfare constituted a large part of the responsibilities of the Personnel department, there were other tasks and responsibilities that were assigned as well. The responsibilities included other varied functions including the employment of suitable people, workplace safety and driving awareness, training and wage and salary administration. The Personnel department however operated in a somewhat isolated manner and executed tasks as assigned by the head of the organization / core business teams. The interactions with the other heads of departments were limited and only on a need-based rationale. In the past two decades the workforce in India has evolved rapidly to emerge as a nation of intelligent, skilled and highly aware and mature professional, who stand shoulder-to-shoulder with the professional from the world over. The workplace is an equitable one which believes in the values of respect for the individual and aspiration to be the best in the world. The role of the Human Resources function can no longer be ignored or sidelined. It is viewed as a strategic partner and has found a place at the top management table. The Head of Human Resources function is selected with as much care and attention as the CEO and is consulted in all business decisions, irrespective of its direct/ indirect implications to human resources. Being a HR professional is a conscious decision that a individual takes early in his / her life and pursues it with dedication and commitment.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

Q2. What are the factors that impact recruitment in organizations? Answer:

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The ability to identify the correct talent for not just the role/job but also from the organizational values perspective can be summarised as the key recruiting challenge. Figure 4.1 below provides the framework used in organizations to plan and staff the human resources requirements of the company.

While an organization might have established techniques of their own to hire, there is no easy, fool-proof method for assessing a candidate even if for the simplest job. The time that todays organizations spend on this activity in not just planning for it but also its execution. The length and complexity of the modern selection procedure are tangible evidence of this fact.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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Recruitment or manpower selection process is the first step in the employment of talent and the methods through which this talent is brought into a job has much to do with the ultimate success or failure of such employment. It is a strange paradox that on one hand we have a surplus of educated talent available in the market awaiting employment while on the other hand organizations struggle to find the right talent. Therefore the employability of the educated talent is fast emerging as the single largest challenge, for India at least.

Therefore recruitment has been regarded as the most important function of human resources administration, because unless the right type of people are hired; even the best plans, organization charts and control systems would be rendered ineffective. Careful recruitment of employees is particularly important in India for at least two key reasons: (a) it is not easy to fire a employee. It has both societal as well as legal implications. Labour Court adjudicating such disputes would determine whether the termination of service was justified and to order reinstatement if such order was appropriate. Organizations have to maintain clear documentation of the performance of an employee which is objectively and fairly recorded to ensure that the employee was given adequate opportunity to do the job and was supported by the employer in this effort. Failure to carry out this procedure undermines the case if it goes to any judicial court. (b) the chances of mismatching the job and the person are much higher in India. With resumes that carry fictitious information this challenge is compounded. Under these conditions, the pressure to properly match a candidate to a job is only one-sided, that is, from employer's side only. Factors Affecting Recruitment All organizations, whether large or small, do engage in recruiting activity, though not to the same intensity. Few factors that impact the nature of recruitment: i. The size of the organization- the smaller the organization the more the need to carefully scrutinize the candidate for a job and the fitment to the organizational culture. The risk in case of job-candidate mismatch can prove equally expensive for a smaller organization as compared to the larger one.

SMU Roll No. 571111211 (ASHA JYOTHI SAJJA)

MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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ii.

The employment conditions in the country where the organization is locatedcritically impacts the recruiting strategy. The methods for recruiting, the selection tools that are most suited and the legal framework that bear on the employer are some aspects that need to be considered.

iii.

The affects of past recruiting efforts which show the organization's ability to locate and keep good performing people- constantly reviewing the effectiveness of the recruiting methods and the selection tools used, evaluating the success at-work of the new recruits are some methods used by organizations to ensure that quality hiring practices are in-place. working conditions and salary and benefit packages offered by the organization this may influence turnover and necessitate future recruiting; (v) The rate of growth of organization- the phase in the life-cycle of the firm is a measure of the recruiting effort

iv.

v.

The level of seasonality of operations and future expansion and production programmes ensuring that the recruitment numbers come from a well-planned Human Resource Plan is critical to ensure that there is no over-hiring or under-hiring of the required talent to achieve the organizational objectives. Cultural, economic and legal factors these too affect the recruiting and selection methods that are used.

vi.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

Q3. State the major career development activities found in organizations

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While the general notion is that most Career development programs are often instituted to meet the unique needs of particular employees, the benefits for the organization are immense. This is one reason why organizations continue to invest time and resources on it despite the fact that it does not offer immediate measurable benefits. Although many different groups and issues may be targeted for career development, some of the more common programs are those that focus on work-family issues, outplacement, entrenched employees, late-career employee, disadvantages employees, fast track employees and managers. Work-Family Programs focus on supporting employee manages their personal as well as work related challenges in a balanced manner. Increasing use of flexible work schedules, work from home options, opening of more on-site or company-sponsored child-care centers, and greater use of paid leave for fathers and adoptive parents are some common practices in this area. There are also more focused programs that focus on managing gender diversity at the workplace and set goals for advancing women into senior management positions. And is truly amazing is the increasing pattern of companies holding managers accountable for meeting these goals. There are specific workshops and training programs mandated for managers to help them initiating and implementing them. Relocation Assistance and hiring practices redresses the challenges associated with employee relocation on account of a career move. The support provided by firms in assisting spouse of employees with opportunities within the company, linking them with job placement consultants as well as sponsoring the cost of re-training or picking up a new skill. The amount and nature of support could vary from company to company. Some firms have altered their policy to allow for hiring both spouses while they may not be allowed to work in the same department/team. Work Life balance Seminars and flexible HR practices wherein organizations design programs to help employees manage their work-family conflicts and coping strategies. Especially prevalent in the ITES/BPO organizations where the work-life balance is a concern. This practice is now part of most organizations where the increasing work pressure is driving companies to help employees cope with personal pressure. Various stress management workshops and stretch- exercise schedules are practiced to help employees cope with stress. Lifestyle management workshops too are becoming popular in larger organizations. Organizations are also changing their practices for recruitment, travel, transfer, promotions, scheduling hours, and benefits to meet the needs of the larger number of dual career couples.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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Flexible Work schedules are being increasingly instituted at the workplace. These include flextime, job sharing, part time work, working from home, compressed workweeks, temporary workweeks etc... Such programs enable employees to address their work and family concerns and reduce their potential stress or conflicts between their various life roles. Telecommuting has become very popular. This provides for organizational as well as employee related advantages. Some difficulties with telecommuting are communication problems with other employees, limited access to necessary supplies and equipment and family interruption. Outplacement Program during retrenchment and downsizing is a professionally managed process in most organizations. The objective here is to assist the effected employees in making the transition to new employment. It could involve re-skilling for new, more relevant skills per market demand so finding a new job is easier. Companies might tie up with training institutes and provide the skills training. Else the company might prefer to reimburse the cost of re-skilling directly to the impacted employee for a course of his/her choice. Outplacement services would also involve working with placement agencies and recruitment firms to provide interviewing opportunities for the employees. Outplacement programs stress the importance of self confidence and individual career planning beneficial for middle or late-career employees who are being laid off. Special Programs for Women, Minorities and Employees with Disabilities: With organizations increasingly tapping into this critical talent pool, more employees in these special categories are entering the workforce. This calls for special focus on the importance of assisting these employees with their career needs. Fast Track employees are now being increasingly identified as stars with high potential for bright future in the organization. The identification and development of these employees requires organizations to exert efforts to build and monitor special programs that cater to this special audience. These employees are identified in a formal process and are placed on a fast track program. The objective here is to enable them to move to senior positions quickly. As is with all other such initiatives, this initiative helps in retaining this critical talent. Among other activities that target this group they are offered quicker job changes and more challenging job assignments.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

Q4. What are the major problems faced in benefits management Answer:

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Managing employee Benefits is a critical part of the entire compensation policy and particularly so as the cost is completely borne by the company. There is no scientific way of ascertaining its impact on factors such as employee satisfaction and employee retention or productivity for that matter. In designing Benefits packages organizations need to pay attention to the following aspects: Legal and local laws of the land that require statutory compliance The positioning of Benefits in the total compensation strategy Are the benefits provided consistent with the long term strategic business objectives and plans Are our benefits meeting the needs and expectations of the employees and their dependents Are we competitive w.r.t. the choice of benefits, adequacy and equity and costs vs. the industry / our competitors

The components of a benefits package are commonly practiced as; Security and Health Benefits which focuses on the provisions made by the employer w.r.t. Life Insurance, Worker Compensation, Accident Insurance, Medical Insurance for self and dependents (where different companies could differently categories dependents, some might include parents as dependents, some might limit it to spouse and children only), other medical coverage, Provident and Pension Plans, Severance Pay etc.. Organizations might even have other health benefits programs like Health Check-up Camps, Dental Camps and other employee wellness initiatives. The modern organizations of today provide for on-campus gymnasium facilities or the reimbursement of gymnasium / health club membership. Other reimbursement plans like reimbursement of telephone bills and broadband bills where these facilities might not be entirely used for business purposes alone. Reimbursement of conveyance costs including providing for pick-up and drop facilities for their employees. Also included are catering of lunch and snacks in addition to sophisticated on-campus food-courts and even departmental stores, all with the objective of helping the employee manage better work - life balance. Another popular benefit is the provision for crche facilities for the infants of employees. While the larger companies can afford a oncampus or adjacent crche which is for the children of only the employees, other companies allow for the reimbursement of the cost of crche for their employees children. Organizations like Cognizant and IBM go a step further by organizing for Childrens camp during the school vacations. Organizations also provide for employee counseling/ assistance programs and facilities. Some might tie-up with professional counselors to provide remote/ over phone/email counseling services, while some other companies provide for on-campus employee assistance

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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kiosks manned by professional counsellors visiting the facility 2-3 times a week. Some organizations might insist on few benefits to be contributory where the employee might need to bear part of the cost. The challenge in managing benefits is that while it costs a lot it is often taken for granted by the employees. The dilemma of finding the right balance of benefits and cash compensation is a ongoing one. Like for Compensation, Benefits too are benchmarked by organizations and implemented keeping the market practices and trends in view. The key to leveraging the investment made by organizations on benefits can be got by adequate communication making employees aware of them. It includes, providing clarity on how to apply for and claim benefits, as well as hold road-shows show-casing the benefits and what the employee can avail of. It focuses on to remind the employees that they are part of the total compensation package. Most large and medium sized organizations manage compensation and benefits through state-ofthe-art HRMS (Human Resource Management Systems) and the corporate intranet portals. Employee can enrol on-line for the benefits, ask queries, look up the policies and review the outstanding and balance status of the various benefits. They can view deadlines, apply for the various benefit claims and track reimbursement status on-line. This brings a lot of empowerment to the employee as well as awareness of the total benefits that he/she and their dependents are eligible for. Some common metrics used to assess the investments made by a company on Benefits: a) Annual cost of benefits for all employees b) Cost per employee per year c) Percentage cost of payroll d) Percentage cost of total costs In these times of economic challenges organizations are closely tracking the investments and driving efficiency.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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Q5. Assume yourself as an HR Manager of a publishing house. You find that the morale of the employees is generally low. What steps would you take to improve employee morale? Answer: Morale : It may be defined as the possession of a feeling on the party of the employee of being accepted and belonging to a group of employees through adherence to common goals and confidence in the desirability of these goals. Morale can be broadly divided into three categories: Off the job satisfaction-Expected from work such as income, security, and stature in the community, the second concerns On the job satisfaction: comes from job interest, opportunity for advancement and status within the organization, and the third group concern Personal satisfaction: comes from the job such as growth, achievement powers, job expertise etc Morale refers to esprit de corps, a feeling of enthusiasm, zeal, confidence in individuals or groups that they will be able to cope with the tasks assigned to them. The result of high morale generally results in the high efficiency of the organization.

Morale can be measured by assessing attitudes and job satisfaction. As it is intangible and subjective concept, it cannot be directly measured or evaluated. Employees may be unwilling to express their feelings of satisfaction or dissatisfaction with their job to the management is no longer a valid assumption. Todays employees and workplaces allow for a lot more transparency and open door philosophy seen in most organizations allow for employees to openly voice their views. Measuring morale ranges all the way from the "hunch" /general "feeling", to more scientific efforts such as employee satisfaction surveys. Also the liberated employee of today feel very comfortable looking for a new job in another company rather than be unhappy and work in a company where hes unhappy. It is important to study the commonly used methods for measuring morale, however increasingly the employee satisfaction survey is the most preferred method in most organizations. 1. The manager/executive's impressions. 2. The guided interview. 3. The unguided interview. 4. A combination of the guided and unguided interview.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

5. An analysis of company records. 6. The "listening-in" process. 7. The employee satisfaction survey questionnaire. 8. A combination of any of the foregoing methods.

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Measurement of Employee Morale There are other signs of low morale that an organization can watch out for as indicators that employees are not happy. Over a period of time certain measures have proven to be early warning signs of drop in employee morale. Dale Yoder and others pointed out the following as signals of low morale: 1. Employee unrest increase in the grapevine gossip and group-ism. 2. High rate of absenteeism sudden increase in absence in a certain team or a department 3. Tardiness drop in sales number, productivity or quality of work 4. High employee turnover increased attrition, usually seen as a pattern in a particular team or a manager. 5. Grievances increase in employee complaints and escalation to HR or to the senior management. 6. Need for discipline increased incidents of misbehaviour or misconduct where employee is directing it towards the management or his manager 7. Fatigue and monotony complaints and general low morale directed towards daily work responsibilities. These are early signs of employee disengagement and organizations can easily track these metrics for teams and identify problem groups early in the process. It is a key responsibility of the HR team to track these metrics and work with the managers of the respective teams to ensure that corrective measures are in place. A lot of the workplace morale is the outcome of the managerial style of the manager and how he/she treats and works with his/her team. A theory X, authoritative approach usually impacts employee morale negatively. Managerial coaching is seen as a very effective method for impacting employee morale. Organizations engage mentors and coaches for managers. They work independently with the managers and use the survey report results to identify concern areas and focus on developing managers capabilities in these areas.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

Improving Morale

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There are a number of measures which can be used to control the warning signals of low morale. The following are the positive measures to be taken to bring job satisfaction to the employees and reconcile individual interests with the interests of the organization. 1. Creation of whole jobs Under this method, complete jobs are assigned to the employees. The complexity of a job should be increased so that it may appeal to their higher needs. 2. Job enrichment Job enrichment tries to deal with dissatisfaction by increasing job depth. Under this, individual employees may be given responsibility for setting their own work pace, for concerning their own errors, and/or for deciding on the best way to perform a particular task 3. Building responsibility into a job Employees should be encouraged to participate and if possible be held responsible for taking decisions. Some delegation of responsibility from the manager tot he employee could be useful in improving employee ownership 4. Managerial effectiveness - This can be achieved by: i) Developing work groups; ii) Improving the social contacts of the employees- time away from work in team building and fun activities; iii) Managerial coaching discussed above iv) Employee stress management activities 5. Flexing working hours Flex time / work from home provisions allow employees to arrange their work hours to suit their personal needs and life-styles. This is particularly suited to situations with fluctuating workloads. Flex time employees are responsible for co-ordinating their functions with other employees and thereby have more responsibility and autonomy. 6. Rotation of jobs This reduces employee's boredom which arises out of the monotonous nature of his work. 7. Incentive and Profit-sharing plans- Morale can be improved by effective incentive and profitsharing schemes. Incentive schemes are effective in improving workplace morale. They need to carefully designed (preferably by experts) well communicated and implemented to be effective. In addition to its economic aspects, profit-sharing has also psychological aspects relating to friendly move by the management in providing the employees an opportunity to participate in the profits. Morale can also be improved by adapting several other measures such as employee contest, special recognition and awards to long service employees and training the managers in how to manage people.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

Q6. Explain the general procedures followed in the case of a disciplinary action. Answer:

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Procedure for Disciplinary Action: Though there is no specific procedure to be followed. Different organizations use a variety of formal and informal methods to resolve these matters. The following steps are recommended a) An accurate statement of the disciplinary problem. b) Collection of data or facts supporting the report of the offence. c) Review policy and past similar incidents. d) Identify corrective action to implement; take legal counsel to ensure that the local laws of the land are not in conflict e) Apply the action f) Follow-up on the disciplinary action. a. Accurate Statement of the Problem: The first step is to ascertain the problem by seeking answers to the following questions: 1. Does this case call for a disciplinary action? 2. What, exactly, is the nature of the violation or offence? 3. Under what-conditions did it occur? 4. Which individual or individuals were involved in it? 5. When, or how often, did the violation occur? In other words, an executive must first find out that a violation has occurred and that is entirely the fault, or at least partially the fault, of one or more subordinates. The next step is to determine and state the nature of the alleged violation of a rule, a regulation, a policy; to determine whether a request or order has been ignored or broken, and assess the seriousness of the specific offence which has been committed. It is also necessary to know exactly who and what was involved in the violation-whether a particular individual or group. Finally, it is desirable to know when and/or how often the violation occurred.

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MASTER OF BUSINESS ADMINISTRATION - SEMISTER -1 MB0043 HUMAN RESOURCE MANAGEMENT

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b. Collection of data or facts support the report of the offence: Before any action is taken in a case, it is essential to gather all the facts about it. A thorough examination of the case should be made within the stipulated time limit. The facts gathered should be such as can be produced before a higher authority, if and when needed.

c. Review policy and past similar incidents: The kind of penalty to be imposed for an offence should be determined beforehand. Should it be simple reprimand, a financial or non-financial penalty? Or should it be demotion, temporary lay-off or outright discharge?

d. Identify corrective action to implement; take legal counsel to ensure that the local laws of the land are not in conflict: When a decision has been taken to impose a penalty, the punishment to be awarded should be such as would prevent a recurrence of the offence. If the punishment is lighter than it should be, it may encourage the violation of the same rule or another; if it is greater than it should be, it may lead to a grievance.

e. Apply the action: The application of the penalty involves a positive and assured attitude on the part of the management. "If the disciplinary action is a simple reprimand, the executive should calmly and quickly dispose of the matter. But when severe action is called for, a fortnight, serious and determined attitude is highly desirable.

f. Follow-up on Disciplinary Action: The ultimate purpose of a disciplinary action is to maintain discipline, to ensure productivity, and avoid a repetition of the offence. A disciplinary action should, therefore, be evaluated in terms of its effectiveness after it has been taken. In other words, there should be a more careful supervision of the persons against whom a disciplinary action has been taken.

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