Perspective Fifteen steps to a complete human resource program

Too many rms take a piecemeal approach

Whenever he thought about it he felt terrible. And so, at last, he came to a fateful decision. He decided not to think about it. Winston Smiths approach in Orwells Nineteen Eighty-Four bears more than a passing resemblance to the attitude of too many companies toward human resource planning. Decisions on evaluations, wage rates, promotions, transfers and dismissals are too often taken on the spur of the moment and in response to a particular crisis. Moving away from such a piecemeal approach can improve both morale and productivity. When a rms employees are happy, efcient, well trained and properly paid, its customers are more likely to be happy, too. (1) Establish short- and long-term goals. These must be in line with other phases of the organizations operations. (2) Forecast the external environment. Both national and international economic conditions will have a signicant impact, not only on the future operations of the company, but also on its human resource needs. The technological needs of a rm also change constantly. (3) Project short-term and long-term human resource needs. Questions to ask include: How many unskilled employees will the company need? How many semi-skilled? How many skilled? How many engineers? What kind of work will be handled by technology? What kind of retraining programs will be needed? (4) Assess present human resources. Determine the number of employees performing each task and the qualications of present employees to perform other tasks. The training of current staff to perform other tasks that are outside the scope of their abilities should also be assessed. (5) Assess the employment market. How large is the workforce? How big will it be in the future? How many employees are needed now? How many in the future? What is the competition for those employees? (6) Assess the anticipated employee turnover due to retirement, resignations, illness, 37

Abstract Almost everyone agrees that human resources will play a key role in company success in the next century, but too few rms take a systematic approach to human resource planning. Barron Wells and Nelda Spinks, of the University of South-Western Louisiana, USA, provide a 15-step checklist for a comprehensive human resource program.

Management Development Review Volume 10 Number 1/2/3 1997 pp. 3739 MCB University Press ISSN 0962-2519

Fifteen steps to a complete human resource program

Management Development Review Volume 10 Number 1/2/3 1997 3739

Author/s

injuries, death and other such factors. What about promotions, demotions and transfers? Things to consider include: Which skills will become obsolete? Which employees can be retrained? Whose services will no longer be needed? What about contingency plans for restructuring, downsizing and rightsizing in times of local, national and international economic emergencies? The skills of the workforce must t the needs of the organization, now and in the future. (7) Recruitment includes: Making employment opportunities known to qualied individuals. Preparing accurate job descriptions/specications. Preparing accurate specications of employee qualications. Preparing an extensive description of the organization. Explaining benets, compensation plans and employment tenure. (8) Regarding employee selection, things to consider include: Are the job application forms comprehensive enough? Are the interview questions and techniques appropriate? Do you set tests? What about rsums and references? (9) Induction begins when the applicant is hired, and should continue until the employee is comfortable about areas of responsibility and authority, requirements of work, procedures for operation, methods of receiving compensation, requirements for receiving benets, and so on. It should also include introduction to fellow employees and the amenities at the rm. (10) Provide training programs. Training programs yield many direct benets to the organization, such as a more competent and efcient workforce, fewer recruiting problems in obtaining qualied employees and fewer problems with employee relations. Training programs also communicate to employees that the organization is concerned about their welfare. Attendance should be voluntary (a program that is forced on staff is not likely to develop positive attitudes). While the company will usually view 38

training programs as a long-term investment, they should offer some immediate benets to employees. They should be held during working hours and positive results communicated to help staff to appreciate the value of the program and to anticipate future programs. (11) Develop compensation, hours, conditions and benets programs. Employees want a method of compensation that reects their value and contribution to the company. However, employees should be aware of certain basic economic principles. The nancial concerns of a company must be communicated openly to employees, as secrecy can lead to problems. Management should allow staff to participate in selecting compensation plans that will benet both parties. Participation can be a key to better employee relations. Management should be aware that deciencies in working hours, working conditions and employee benets are continuous sources of antagonism. Employees overlook above-average provisions. (12) Provide employment security. Total job security is impossible. However, without some sense of security, employees cannot concentrate fully on the higher-level needs that enhance a rms productivity. Communication is important here. Reassurance will also come from training programs which will keep skills and abilities current. (13) Develop appraisal, promotion, lay-off and dismissal policies. Better results are achieved when policies exist for these matters and when these policies are communicated clearly to a workforce before an occasion arises for their use. The key to successful performance appraisal is to structure the session so that both parties will view it as a problem-solving process instead of a faultnding process. The overall purpose of performance appraisals is to increase organizational effectiveness and productivity. However, the most important single purpose is to let employees know where they stand. Nothing in these sessions should promote negative employee attitudes. With demotions, redundancies and dismissals, clarity and fairness are important. Again, employees must know where they stand. When

Fifteen steps to a complete human resource program

Management Development Review Volume 10 Number 1/2/3 1997 3739

Author/s

necessary, assistance should be given to employees to help them collect benets or nd new work. No employment laws or union agreements should be violated. (14) Obtain employee attitudes. An ongoing human resource program must be responsive to the feelings, needs, beliefs, concerns, fears and attitudes of staff. Attitude surveys should be conducted frequently enough for their results not to be outdated, but not so frequently as to become a nuisance or a burden. For the results of a survey to be valid, employees must be allowed to respond without their identity being known. A survey should not be conducted unless it is to be heeded and used in the administration process; future surveys will be ques-

tioned if employees see no positive results from previous ones. (15) No program is perfect. Flaws in human resource programs need to be corrected, just as in any other program. Even a good program becomes outdated and obsolete. Most of the points outlined in this article appear to be straightforward and easy to implement. Do not be deceived. Human resource management is rarely so uncomplicated. If it were, few of us would have been attracted to it in the rst place.
This prcis is based on an article by Barron Wells and Nelda Spinks in Strategic Direction, October 1996, pp. 21-24.

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