Master of Business Administration-MBA Semester 1

MB0027 – HRM - 4 Credits

(Book ID: B0909)

Assignment Set- 1 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Write a short note on Hawthorne Studies.

Frederick Taylor, who died in 1915, did not live to see the employee motivation studies that
were conducted at Western Electric’s Hawthorne plant, near Chicago, Illinois, from 1927 to
1932. However, the founder of the scientific school of management would have no doubt
been interested in the results. The Hawthorne studies undercut a core pillar of Taylorism--
the notion that workers were motivated purely by economic gain.

Researchers from Western Electric and Harvard University led the Hawthorne studies.
(General Electric originally contributed funding, but they withdrew after the first trial was
completed.) The studies were intended to examine the influence of environmental variables
on a group of production workers. The group of workers was divided into two subgroups: a
test group, which would undergo environmental changes, and a control group. The members
of the control group would work under normal, constant environment conditions.

The researchers began by manipulating the lighting of the test group. When lighting for the
test group was increased, their productivity increased--but the productivity of the control
group increased, as well. This result was somewhat unexpected, since the lighting at the
workstations of the control group had not been altered.

The researchers then decreased the lighting at the test group’s workstations. Surprisingly,
both the test group and the control group continued to improve their productivity. There were
no decreases in productivity until the light was reduced to the point where the workers could
barely see. The researchers concluded that light did not have a significant impact on the
motivation of production workers. This led General Electric, a light bulb manufacturer, to
withdraw their funding.

The next experiment utilized a mainstay of scientific management: incentive-based,

piecework system. The researchers expected, according to the conventional wisdom of the
day, that this would inspire the employees to dramatically increase their pace. However,
rather than working as fast as they could individually, the workers calibrated themselves as a
group. Employees who worked more slowly than average were derided as “chiselers.”
Employees who attempted to work faster than the group were called “rate busters.” In other
words, any significant deviation from the collectively imposed norm was punished.

These results were, of course, a major blow to the position of scientific management, which
held that employees were only motivated by individual economic interest. The Hawthorne
studies drew attention to the social needs as an additional source of motivation. Taylor’s
emphasis on economic incentives was not wholly discredited, but economic incentives were
now viewed as one factor--not the sole factor--to which employees responded.
Q.2 Trace the growth of Trade Union Movement from Factories Act 1881 to Factories

Act 1948.

The growth of trade unions in India started way back in 1850 when the economic conditions

of labor was poor, The industry was dominated by the Capitalism, and the industrialists were

more concerned about the productivity. Long working hours, Low wedges, poor living

conditions and exploitation by the management was common in the industry. Slowly in many

parts of the country the workforces united and Factories Act 1881 was incorporated with a

ban on Child labor, and conditions in working hours and improved working conditions.

In next phase many trade unions were incorporated in the country under the leadership of

Mahatma Gandhi in other parts of the country like West Bangal, Ahamdabad, Punjab and

others. All India trade union federation was formed. After independence this took the shape

of Indian Factory Act 1948 with regulation on working conditions, working hours, and other

facilities at workplace.

Q.3 Elaborate the HR planning System

Human Resource planning can be defined as a process by which an organization ensures

that it has the right number and kinds 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 or in other words HRP can be defined as planning for the future personnel

needs of an organization, taking into account both internal activities and factors in the

external environment.

Need and Importance of HRP

Human resource Planning translates the organization objectives and plans into the number

of workers needed to meet these objectives. The need and importance of HRP is as follows:

 HRP helps in determining the future manpower requirements and avoids problems like

over staffing or understaffing in the organization.  HRP helps in tackling with the factors

like competition, technology, government policies etc. that generates changes in the job
content, skill requirements and number and types of personnel required.  Now a days

there is a demand of exceptional intellectual skills while the existing staff becomes

redundant, the HR manager has to attract and retain qualified and skilled personnel and also

required to deal with issues like career development, succession planning for which he takes

the help of HRP.  A proper and realistic human resource plan is needed to ensure equal

employment and promotional appointments to the candidates fro weaker sections, physically

handicapped and socially and politically oppressed citizens.  HRP provides valuable and

timely information for various designing and execution of personnel functions like

recruitment, selection, transfers, promotions, layoffs, training and development and

performance appraisal.  It helps the organization to anticipate imbalance in human

resources, which in turn will facilitate reduction in personal costs.  HRP facilitates planning

for future needs which will help in better planning of assignments to develop managers and

to ensure the organization has a steady supply of experienced and skilled employees.

Factors affecting Human Resource Planning

HRP is a dynamic and on going process. The process of updating is not very simple, since

HRP is influenced by many factors, which are as follows:  The type of organization

determines the production process and number and type of staff needed.  The human

resource needs of an organization depend on the strategic plan adopted by it. For e.g. the

growth of a business calls for hiring of additional labor, while mergers will need a plan for

layoffs.  Organization operates under different political, social environment and has to

carefully formulate the HR policies and so the HR manager has to evolve suitable

mechanism to deal with uncertainties through career developments, succession planning,

retirement schemes etc.  HRP also depends on the time periods and accordingly the short

and long-term plans are adopted. And this time span is based on the degree of

environmental uncertainties.  The type and quality of information used in making

forecasting is an important factor influencing HRP. Accurate and timely human resource

information system helps in getting better quality personnel.  HRP is required to ensure
that suitable candidates should be appointed at the right kind of job.

So these are some of the factors that affect the human resource planning.

Limitations of Human Resource Planning

 It is very difficult to ascertain future manpower requirements of an organization, as future

is always uncertain.  It is more relevant to the countries that face the problem of scarcity of

human resources.  It is a time consuming and costlier process.  It is beneficial in the

organizations that adopt a professional approach and at the same time are conscious about

the changing environment.  HRP is beneficial where adequate skilled manpower is

available. .  HRP is also made difficult in the organizations that have a very high labor

turnover.

Q.4 Discuss the Multiple Person Evaluation Methods.

The above-discussed methods are used to evaluate employees one at a time. In this section
let us discuss some techniques of evaluating one employee in comparison to another. Three
such frequently used methods in organization are – ranking, paired comparison and forced
distribution.

Ranking method

This is a relatively easy method of performance evaluation. Under this method, the ranking
of an employee in a work group is done against that of another employee. The relative
position of each employee is tested in terms of his numerical rank. It may also be done by
ranking a person on his job performance against another member of the competitive group.
The quintessence of this method is that employees are ranked according to their levels of
performance. While using this method, the evaluator is asked to rate employees from
highest to lowest on some overall criterion. Though it is relatively easier to rank the best and
the worst employees, it is very difficult to rank the average employees. Generally, evaluators
pick the top and bottom employees first and then select the next highest and next lowest and
move towards the average (middle) employees. The longstanding limitations of this method
are:

 The ‘whole man’ is compared with another ‘whole man’ in this method. In practice, it
is very difficult to compare individuals possessing varied behavioral traits.
 This method speaks only of the position where an employee stands in his group. It
does not tell anything about how much better or how much worse an employee is
when compared to another employee.
 When a large number of employees are working

, ranking of individuals becomes a tosticating issue.

  There is no systematic procedure for ranking individuals in the organization. The
ranking system does not eliminate the possibility of snap judgments.

In order to overcome the above limitations a paired comparison technique has been
advanced by organizational scholars.

Paired comparison method

Ranking becomes more reliable and easier under the paired comparison method. Each
worker is compared with all other employees in the group; for every trait the worker is
compared with all other employees. For instance, when there are five employees to be
compared, then A’s performance is compared with that of B’s and decision is arrived at as to
whose is the better or worse. Next, B is also compared with all others. Since A is already
compared with B, this time B is to be compared with only C, D and E. By this method when
there are five employees, fifteen decisions are made (comparisons). The number of
decisions to be made can be determined with the help of the formulae n (n-2). Ranking the
employees by the paired comparison method may be illustrated as shown in the Table 10.7.

For several individual traits, paired comparisons are made, tabulated and then rank is
assigned to each worker. Though this method seems to be logical, it is not applicable when
a group is large. When the group becomes too large, the number of comparisons to be
made may become frighteningly excessive. For instance, when n=100, comparisons to be
made are 100 (100-2) = 100 (98) = 9800.

Trait: ‘Quantity of work’

Table: Employee Rated

As compared to A B C D E

A + – + –

B – + – +

C + – + –

D – + – –

E + – + +

Forced distribution method

Under this system, the rater is asked to appraise the employee according to a
predetermined distribution scale. The rater’s bias is sought to be eliminated here because
workers are not placed at a higher or lower end of the scale. Normally, the two criteria used
here for rating are the job performance and promotability. Further, a five point performance
scale is used without any mention of descriptive statements. Workers are placed between
the two extremes of ‘good’ and ‘bad’ performances. For instance, the workers of outstanding
merit may be placed at the top 10% of the scale. The rest may be placed as – 20% —good,
40% —outstanding, 20% —fair and 10% —fair. To be specific, the forced distribution
method assumes that all top grade workers should go to the highest 10% grade; 20%
employees should go to the next highest grade and so on.
Job performance as the criterion apart, another equally important factor in this method is
promotability. Employees may be classified according to their promotional merits. The scale
for this purpose may consist of three points – namely, quite likely promotional material,
may/may not be promotional material and quite unlikely promotional material.

One strong positive point in favor of the forced distribution method is that by forcing the
distribution according to predetermined percentages, the problem of making use of different
raters with different scales is avoided. Further, this method is appreciated on the ground that
it tends to eliminate rater bias. The limitation of using this method in salary administration
however, is that it may result in low morale, low productivity and high absenteeism.
Employees who feel that they are productive, but find themselves placed in a lower grade
(than expected) feel frustrated and exhibit, over a period of time, reluctance to work.

Other methods of appraising performance include: Group Appraisal, Human Resource

Accounting, Assessment Centre, Field Review, etc. These are discussed in the following
sections:

Group appraisal

In this method, an employee is appraised by a group of appraisers. This group consists of

the immediate supervisor of the employee, other supervisors who have close contact with
the employee’s work, manager or head of the department and consultants. The head of the
department or manager may be the Chairman of the group and the immediate supervisor
may act as the Coordinator for the group activities. This group uses any one of multiple
techniques discussed earlier. The immediate supervisor enlightens other members about the
job characteristics, demands, standards or performance, etc. Then the group appraises the
performance of the employee, compares the actual performance with standards, finds out
the deviations, discusses the reasons therefor, suggests ways for improvement of
performance, prepares an action plan, studies the need for change in the job analysis and
standards and recommends changes, if necessary.

This method eliminates ‘personal bias’ to a large extent, as performance is evaluated by

multiple rates. But it is a very time consuming process.

Human resource accounting

HRA is a sophisticated way to measure (in financial terms) the effectiveness of personnel
management activities and the use of people in an organization. It is the process of
accounting for people as an organizational resource. It tries to place a value on
organizational human resources as assets and not as expenses. The HRA process shows
the investment the organization makes in its people and how the value of these people
changes over time. The acquisition cost of employees is compared to the replacement cost
from time to time. The value of employees is increased by investments made by the
company to improve the quality of its human resources such as training, development skills
acquired by employees over a period of time through experience, etc. When qualified,
competent people leave an organization; the value of human assets goes down. In this
method, employee performance is evaluated in terms of costs and contributions of
employees. Human resource costs include expenditure incurred by the company in hiring,
training, compensating and developing people. The contributions of human resources is the
money value of labour productivity. The cost of human resources may be taken as the
standard. Employee performance can be measured in terms of employee contribution to the
organization. Employee performance can be taken as positive when contribution is more
than the cost and performance can be viewed as negative if cost is more than contribution.
Positive performance can be measured in terms of percentage of excess of employee
contribution over the cost of employee. Similarly negative performance can be calculated in
terms of percentage of deficit in employee contribution compared to the cost of employee.
These percentages can be ranked to ‘Zero Level’ as shown in the Table below.

Rank Percentage of surplus/Deficit of

Rating contribution to cost of employee
1. Extremely good performance Over 200
2. Good performance 150 – 200
3. Slightly good performance 100 – 150
4. Neither poor nor good 0 – 100
5. Slightly poor performance 0
6. Poor performance 0 to (— 50)
7. Extremely poor performance (—50) to (—100)

This technique has not developed fully and is still in the transitionary stage.

Assessment centre

This method of appraising was first applied in German Army in 1930. Later business and
industrial houses started using this method. This is not a technique of performance appraisal
by itself. In fact it is a system or organization, where assessment of several individuals is
done by various experts using various techniques. These techniques include the methods
discussed before in addition to in-basket, role playing, case studies, simulation exercises,
structured in sight, transactional analysis, etc.

In this approach individuals from various departments are brought together to spend two or
three days working on an individual or group assignment similar to the ones they would be
handling when promoted. Observers rank the performance of each and every participant in
order of merit. Since assessment centres are basically meant for evaluating the potential of
candidates to be considered for promotion, training or development, they offer an excellent
means for conducting evaluation processes in an objective way. All assessees get an equal
opportunity to show their talents and capabilities and secure promotion based on merit.
Since evaluators know the position requirements intimately and are trained to perform the
evaluation process in an objective manner, the performance ratings may find favor with
majority of the employees. A considerable amount of research evidence is available to
support the contention that people chosen by this method prove better than those chosen by
other methods. The centre enables individuals working in low status departments to
compete with people from well-known departments and enlarge their promotion chances.
Such opportunities, when created on a regular basis, will go a long way in improving the
morale of promising candidates working in less important positions.

Field Review Method

Where subjective performance measures are used, there is scope for rater’s biases
influencing the evaluation process. To avoid this, some employees use the field review
method. In this method a trained, skilled representative of the HR department goes into the
‘field’ and assists line supervisors with their ratings of their respective subordinates. The HR
specialist requests from the immediate supervisor specific information about the employees
performance. Based on this information, the expert prepares a report which is sent to the
supervisor for review, changes, approval and discussion with the employee who is being
rated. The ratings are done on standardized forms.

Since an expert is handling the appraisal process, in consultation with the supervisor, the
ratings are more reliable. However, the use of HR experts makes this approach costly and
impractical for many organizations.

Q.5 Write a note on different theories for Managing Compensation [10]

Managing compensation throughout the different levels of the organization

. Workplace views of compensation are often tied to perceptions of quality of life, security,

status, workplace value, and fairness. Compensation is among the most complex and

heated topics in business settings. It is important, therefore, that students examine

methods by which compensation is managed, or sometimes mismanaged, using

workplace examples. This perspective will be our classroom focus, as it will provide

students with tools and experiences that can be directly applied to the workplace. Managing

a compensation program initially requires an understanding of technical skills used by HR

professionals: Job Analysis, Job Evaluation, assessing pay grades, salary surveys, et

al. These skills will be developed over the term of this course. However, far more than a

quantitative study or a major expense to a bottom line, compensation management

also requires that professionals make difficult strategic-level choices that can have

tremendous impact on the livelihood of employees, a company’s culture or its financial

future.

Professionals who design and implement comprehensive direct and indirect pay programs

are often required to balance conflicting variables. These variables include internal

pressures for cost containment, the financial interests of employees, external competition for

talented employees, executives’ roles in shaping organizational cultures, ethical

considerations, the role of government, and the influence of long-range business plans.

During the term of this course, the effects of these variables on compensation

management will be discussed and debated. While this course provides an overview of

employee benefits programs (indirect compensation), the main focus will be forms of direct

pay.
Q.6 Write the advantages and limitations of Job Evaluation Method.

Answer:

Job Evaluation Methods

There are three basic methods of job evaluation: (1) ranking, (2) classification, (3) factor comparison.

While many variations of these methods exist in practice, the three basic approaches are described

here.

Ranking Method

Perhaps the simplest method of job evaluation is the ranking method. According to this method, jobs

are arranged from highest to lowest, in order of their value or merit to the organization. Jobs also can

be arranged according to the relative difficulty in performing them. The jobs are examined as a whole

rather than on the basis of important factors in the job; and the job at the top of the list has the highest

value and obviously the job at the bottom of the list will have the lowest value.

Jobs are usually ranked in each department and then the department rankings are combined to

develop an organizational ranking. The following table is a hypothetical illustration of ranking of jobs.

Table: Array of Jobs according to the Ranking Method

Rank Monthly salaries

1. Accountant Rs 3,000

2. Accounts clerk Rs 1,800

3. Purchase assistant Rs 1,700

4. Machine-operator Rs 1,400

5. Typist Rs 900

6. Office boy Rs 600

The variation in payment of salaries depends on the variation of the nature of the job performed by the

employees. The ranking method is simple to understand and practice and it is best suited for a small

organization. Its simplicity, however, works to its disadvantage in big organizations because rankings

are difficult to develop in a large, complex organization. Moreover, this kind of ranking is highly

subjective in nature and may offend many employees. Therefore, a more scientific and fruitful way of

job evaluation is called for.

Classification Method

According to this method, a predetermined number of job groups or job classes are established and

jobs are assigned to these classifications. This method places groups of jobs into job classes or job

grades. Separate classes may include office, clerical, managerial, personnel, etc. Following is a brief

description of such a classification in an office.

(a) Class I - Executives: Further classification under this category may be Office manager, Deputy

office manager, Office superintendent, Departmental supervisor, etc.

(b) Class II - Skilled workers: Under this category may come the Purchasing assistant, Cashier,

Receipts clerk, etc.

(c) Class III - Semiskilled workers: Under this category may come Stenotypists, Machine-operators,

Switchboard operators, etc.

(d) Class IV - Semiskilled workers: This category comprises Daftaris, File clerks, Office boys, etc.

The job classification method is less subjective when compared to the earlier ranking method. The

system is very easy to understand and acceptable to almost all employees without hesitation. One

strong point in favor of the method is that it takes into account all the factors that a job comprises. This

system can be effectively used for a variety of jobs.

The weaknesses of the job classification method are:

* Even when the requirements of different jobs differ, they may be combined into a single category,

depending on the status a job carries.

* It is difficult to write all-inclusive descriptions of a grade.

* The method oversimplifies sharp differences between different jobs and different grades.

* When individual job descriptions and grade descriptions do not match well, the evaluators have the

tendency to classify the job using their subjective judgments.

Factor Comparison Method

A more systematic and scientific method of job evaluation is the factor comparison method. Though it

is the most complex method of all, it is consistent and appreciable. Under this method, instead of

ranking complete jobs, each job is ranked according to a series of factors. These factors include

mental effort, physical effort, skill needed, supervisory responsibility, working conditions and other

relevant factors (for instance, know-how, problem solving abilities, accountability, etc.). Pay will be

assigned in this method by comparing the weights of the factors required for each job, i.e., the present

wages paid for key jobs may be divided among the factors weighed by importance (the most

important factor, for instance, mental effort, receives the highest weight). In other words, wages are

assigned to the job in comparison to its ranking on each job factor.

The steps involved in factor comparison method may be briefly stated thus:

* Select key jobs (say 15 to 20), representing wage/salary levels across the organization. The

selected jobs must represent as many departments as possible.

* Find the factors in terms of which the jobs are evaluated (such as skill, mental effort, responsibility,

physical effort, working conditions, etc.).

* Rank the selected jobs under each factor (by each and every member of the job evaluation

committee) independently.

* Assign money value to each factor and determine the wage rates for each key job.

* The wage rate for a job is apportioned along the identified factors.

* All other jobs are compared with the list of key jobs and wage rates are determined.

An example of how the factor comparison method works is given below:

Table: Merits and Demerits of Factor Comparison Method

Merits

Demerits

* Analytical and objective.

* Reliable and valid as each job is compared with all other jobs in terms of key factors.

* Money values are assigned in a fair way based on an agreed rank order fixed by the job evaluation

committee.
* Flexible as there is no upper limitation on the rating of a factor.

* Difficult to understand, explain and operate.

* Its use of the same criteria to assess all jobs is questionable as jobs differ across and within

organizations.

* Time consuming and costly.

Point method

This method is widely used currently. Here, jobs are expressed in terms of key factors. Points are

assigned to each factor after prioritizing each factor in the order of importance. The points are

summed up to determine the wage rate for the job. Jobs with similar point totals are placed in similar

pay grades. The procedure involved may be explained thus:

(a) Select key jobs. Identify the factors common to all the identified jobs such as skill, effort,

responsibility, etc.

(b) Divide each major factor into a number of sub factors. Each sub factor is defined and expressed

clearly in the order of importance, preferably along a scale.

The most frequent factors employed in point systems are:

I. Skill (key factor): Education and training required, Breadth/depth of experience required, Social

skills required, Problem-solving skills, Degree of discretion/use of judgment, Creative thinking;

II. Responsibility/Accountability: Breadth of responsibility, Specialized responsibility, Complexity of the

work, Degree of freedom to act, Number and nature of subordinate staff, Extent of accountability for

equipment/plant, Extent of accountability for product/materials;

III. Effort: Mental demands of a job, Physical demands of a job, Degree of potential stress.

The educational requirements (sub factor) under the skill (key factor) may be expressed thus in the

order of importance.

Degree Define

1. Able to carry out simple calculations; High School educated

2. Does all the clerical operations; computer literate; graduate

3 Handles mail, develops contacts, takes initiative and does work independently; post graduate

Assign point values to degrees after fixing a relative value for each key factor.
Table: Point Values to Factors along a Scale

Point values for Degrees Total

Factor 1 2 3 4 5

Skill 10 20 30 40 50 150

Physical effort 8 16 24 32 40 120

Mental effort 5 10 15 20 25 75

Responsibility 7 14 21 28 35 105

Working conditions 6 12 18 24 30 90

Maximum total points of all factors depending on their importance to job = 540

(Bank Officer)

4 Find the maximum number of points assigned to each job (after adding up the point values of all

sub-factors of such a job). This would help in finding the relative worth of a job. For instance, the

maximum points assigned to an officer's job in a bank come to 540. The manager's job, after adding

up key factors + sub factors' points, may be getting a point value of, say 650 from the job evaluation

committee. This job is now priced at a higher level.

5 Once the worth of a job in terms of total points is expressed, the points are converted into money

values keeping in view the hourly/daily wage rates. A wage survey, usually, is undertaken to collect

wage rates of certain key jobs in the organization. Let's explain this:

Table: Conversion of Job Grade Points into Money Value

Point range Daily wage rate (Rs) Job grades of key bank officials

500-600 300-400 1 Officer

600-700 400-500 2 Accountant

700-800 500-600 3 Manager I Scale

800-900 600-700 4 Manager II Scale

900-1,000 700-800 5 Manager III Scale

Merits and Demerits

The point method is a superior and widely used method of evaluating jobs. It forces raters to look into

all keys factors and sub-factors of a job. Point values are assigned to all factors in a systematic way,

eliminating bias at every stage. It is reliable because raters using similar criteria would get more or

less similar answers. "The methodology underlying the approach contributes to a minimum of rating

error" (Robbins, p.361). It accounts for differences in wage rates for various jobs on the strength of job

factors. Jobs may change over time, but the rating scales established under the point method remain

unaffected.

On the negative side, the point method is complex. Preparing a manual for various jobs, fixing values

for key and sub-factors, establishing wage rates for different grades, etc., is a time consuming

process. According to Decenzo and Robbins, "the key criteria must be carefully and clearly identified,

degrees of factors have to be agreed upon in terms that mean the same to all rates, the weight of

each criterion has to be established and point values must be assigned to degrees". This may be too

taxing, especially while evaluating managerial jobs where the nature of work (varied, complex, novel)

is such that it cannot be expressed in quantifiable numbers.

 Master of Business Administration-MBA Semester 1
MB0027 – HRM - 4 Credits

(Book ID: B0909)

Assignment Set- 1 (60 Marks)

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Mention and briefly explain different sources of recruitment

Every organisation has the option of choosing the candidates for its recruitment processes

from two kinds of sources: internal and external sources. The sources within the organisation

itself (like transfer of employees from one department to other, promotions) to fill a position

are known as the internal sources of recruitment. Recruitment candidates from all the other

sources (like outsourcing agencies etc.) are known as the external sources of The

recruitment.

Some Internal Sources Of Recruitments are given below:

1. TRANSFERS
The employees are transferred from one department to another according to their efficiency
and experience.

2. PROMOTIONS
The employees are promoted from one department to another with more benefits and
greater responsibility based on efficiency and experience.

3. Others are Upgrading and Demotion of present employees according to their

performance.

4. Retired and Retrenched employees may also be recruited once again in case of shortage
of qualified personnel or increase in load of work. recruitment such people
save time and costs of the organisations as the people are already aware of the

organisational culture and the policies and procedures.

5. The dependents and relatives of Deceased employees and Disabled employees are also

done by many companies so that the members of the family do not become dependent on

the mercy of others.

Some external sources of recruitment are:

1. PRESS ADVERTISEMENTS
Advertisements of the vacancy in newspapers and journals are a widely used source
of recruitment. The main advantage of this method is that it has a wide reach.
2. EDUCATIONAL INSTITUTES
Various management institutes, engineering colleges, medical Colleges etc. are a
good source of recruiting well qualified executives, engineers, medical staff etc. They
provide facilities for campus interviews and placements. This source is known as
Campus Recruitment.
2. PLACEMENT AGENCIES
Several private consultancy firms perform recruitment functions on behalf of client
companies by charging a fee. These
agencies are particularly suitable for recruitment of executives and specialists. It is also
known as RPO (Recruitment Process Outsourcing)

3. EMPLOYMENT EXCHANGES
Government establishes public employment exchanges throughout the country.
These exchanges provide job information to job seekers and help employers in
identifying suitable candidates.

4. LABOUR CONTRACTORS
Manual workers can be recruited through contractors who maintain close contacts with the
sources of such workers. This source is used to recruit labour for construction jobs.

5. UNSOLICITED APPLICANTS
Many job seekers visit the office of well-known companies on their own. Such callers are
considered nuisance to the daily work routine of the enterprise. But can help in creating the
talent pool or the database of the probable candidates for the organisation.

6. EMPLOYEE REFERRALS / RECOMMENDATIONS

Many organisations have structured system where the current employees of the organisation
can refer their friends and relatives for some position in their organisation. Also, the office
bearers of trade unions are often aware of the suitability of candidates. Recruitment
Management can inquire these leaders for suitable jobs. In some organizations these are
formal agreements to give priority in recruitment to the candidates recommended by the
trade union.

7. RECRUITMENT AT FACTORY GATE

Unskilled workers may be recruited at the factory gate these may be employed whenever a
permanent worker is absent. More efficient among these may be recruited to fill permanent
vacancies.

Q.2 Write a note on guided and unguided interview

Guided Interview

When the aim of an enquiry is to gather information about the opinions of a particular person
(an expert, a representative member of a group) in order to gain qualitative insights into a
problem, guided interviews are used. Guided interviews contain only open-ended questions,
and the questionnaire is only used as a guideline for the interview, the conversation between
interviewer and interviewee does not have to follow it strictly. Guided interviews generate
qualitative data, which is why the number of interviews usually is limited, and quantitative
conclusions cannot be drawn.

Q.3 Discuss the techniques to motivate employees.

It is a costly mistake to get lost in the false theory that more money equals happy

employees.Believing this is costing you valuable time, revenue, employees...and even threatening

your own job. Cash will always be a major factor in motivating people and a solid compensation plan

is critical to attracting and keeping key personnel. But the key is that additional cash is not always the

only answer and in many cases not even the best answer.Too many bonus or commission checks get

cashed, spent and forgotten just that quickly. Grocery stores and gasoline stations are among the

necessary stops that

seem to get in the way of using your extra cash on something special for you.

1. Recognition/Attention. When your employees accomplish something they have

achieved something. Your recognition is appreciation for that achievement. I believe that
most managers don't give enough recognition because they don't get enough. Therefore, it
doesn't come natural to do it. If this applies to you, you need to drop this excuse like a bad
habit! Become a giver! Look at the price. Recognition is free!

2. Training. Is training ever finished? Can you possibly overtrain? NO and NO. For whatever

reasons, too many people feel "My people have already been trained" or "I've got good

people...they only need a little training." But training never ends. Schedule "tune- up" training
sessions. These should be led by you or by a supervisor with help from specific employees

who show a particular strength in the skills taught. I know this takes time, but these types of

training sessions will continually enhance the performance of your people and the

productivity of your business.

3. Good Work Environment. A recent industry study shows just how inaccurate your results
can be. Employers were asked to rank what they thought motivated their people
and then employees were asked to rank what really did motivate them.

Employers felt "working conditions" was a nine (or next to last) in terms of importance. What
did the employees say? Number two! Working conditions are very important to the way
employees feel about where they work.

Cosmetically, does your office look nice? Are there pictures on the walls, plants and fresh
paint among other features that generally make people feel good about their environment?
Does their work space have enough room or are they cramped in a "sardine can?" What
about furniture? Is the desk the right size, chair comfortable? Is there file space and do they
have the miscellaneous office supplies needed for maximum performance? Is the
temperature regulated properly so they don't feel they're in the Amazon jungle one minute
and the North Pole the next?

4. Leadership Roles. Give your people leadership roles to reward their performance and
also to help you identify future promotable people. Most people are stimulated by leadership
roles even in spot appearances. For example, when visitors come to your workplace use this
opportunity to allow an employee to take the role of visitors guide.

A great place to hand out leadership roles is to allow your people to lead brief meetings.
Utilize your employees' strengths and skills by setting up "tune up" training sessions and let
one of your employees lead the training. The best time to do this is when new people start.

Or, assign a meeting leader after someone has attended an outside seminar or workshop.
Have them lead a post show, briefing the other employees regarding seminar content and
highlights.

Have your employees help you lead a project team to improve internal processes.

5. Team Spirit. Have a picture taken on your entire staff (including you!), have it enlarged
and hang it in a visible spot. Most people like to physically see themselves as part of a group
or team.

When running contests in your area, try to create contests and affiliated activity that are
team driven. People driving to reach goals together definitely enhance team spirit solely
because they must lean upon others and be prepared to be leaned on.

One very effective idea for me has been building a collage of creative ideas with the "Team"
theme. All employees are responsible for submitting a phrase referring to TEAM on a weekly
rotation. Each of these ideas (such as TEAM: Total Enthusiasm of All Members or There is
no I in Team) is placed on a wall, creating a collage of Team-oriented phrases. Don't have
one person responsible for this...do it as a team.
6.Social Gatherings. Scheduled offsite events enhance bonding which in turn helps team

spirit, which ultimately impacts your positive work environment. Halloween costume parties,

picnics on July 4th, Memorial Day or Labor Day, and Christmas parties are only some of the

ideas that successfully bring people together for an enjoyable time. Some others that I've

used with equal success are softball games (against other companies or among employees,

depending on staff size), groups going putt-putt golfing or movie madness.

7. Stress Management. There are many articles and books available on the subject. Make
this reference material available to your people. Make sure they know it is available and
encourage them to use it.

If possible, have an in-house seminar on stress management techniques. So that production

time is not lost, you might consider having a brown bag luncheon with a guest speaker on
this subject. Because stress is an ongoing concern, anytime is a good time for a seminar like
this to take place.

Be as flexible as you can with breaks during the course of the day.

Q.4 Explain in detail the disciplinary –Action Penalties.

Q.5 Explain the importance of grievance handling

Maintaining quality of work life for its employees is an important concern for the any
organisation. The grievance handling procedure of the organisation can affect the
harmonious environment of the organisation. The grievances of the employees are related to
the contract, work rule or regulation, policy or procedure, health and safety regulation, past
practice, changing the cultural norms unilaterally, individual victimization, wage, bonus, etc.
Here, the attitude on the part of management in their effort to understand the problems of
employees and resolve the issues amicably have better probability to maintain a culture of
high performance. Managers must be educated about the importance of the grievance
process and their role in maintaining favorable relations with the union. Effective grievance
handling is an essential part of cultivating good employee relations and running a fair,
successful, and productive workplace. Positive labor relations are two-way street both sides
must give a little and try to work together. Relationship building is key to successful labor
relations.

Precautions and Prescriptions

The management should take care of following aspects to develop a culture of trust and
confidence upon the employees.

1. Always ensure that the managers involved in the grievance handling procedures have a
quiet place to meet with the complainant.
2. Always ensure that managers have adequate time to be devoted to the complainant.

3. Explain manager's role, the policy and the procedures clearly in the grievance handling
procedure.

4. Fully explaining the situation to the employee to eliminate any misunderstanding and
promote better acceptance of the situation complained of.

5. Try to let employee present their issues without prejudging or commenting

6. Do use a positive, friendly ways to resolve the crisis than punitive steps, which disturb the
system.

7. Do remain calm, cool, collected during the course of the meeting.

8. Always focus on the subject of the grievance than allied issues.

9. Don't make threats manage the grievances.

10. Never make use of allegations against personalities.

11. Be aware of the staff member's potential concerns to the possible repercussions of
raising a grievance.

12. Don't become angry, belligerent, or hostile during grievance handling procedure.

13. Do listen for the main point of arguments and any possible avenue to resolve the
grievance.

14. Listen and respond sensitively to any distress exhibited by the employees.

15. Eliminating the source of the irritation or discomfort being complained of.

16. Reassure them that the managers will be acting impartially and that your hope is to
resolve the matter if possible.

17. Don't "horse trade" or swap one grievance for another (where the union wins one,
management wins one). Each case should be decided on its merits.

18. Avoid usage of verbosisms like "it will be taken care of."

19. Ensure effective, sensitive and confidential communication between all involved.

20. Take all possible steps to ensure that no victimization occurs as a result of the grievance
being raised.

21. The investigator or decision maker acts impartially, which means they must exclude
themselves if there is any bias or conflict of interest.

22. All parties are heard and those who have had complaints made against others are given
an opportunity to respond.

23. Try to look upon the problem on different angles for appropriate understanding.
24. Ensuring that there is proper investigation of the facts and figures related the problem
under concern.

25. Consider all relevant information in the investigation process.

26. Ask the staff member their preferred resolution option, although it is important to make it
clear that this may not be a possible outcome.

27. Be aware of the limits of authority of the person who involved in the grievance handling
procedures.

28. If the manager feels that he/she is not the appropriate person (senior manager) to deal
with the issue refer the complainant to the appropriate person as soon as possible.

29. Try to get a better idea of whether the alleged discrimination or harassment happened or
didn't happen.

30. Tell them exactly what they are supposed to have done, to whom and explain, why this
may be seen as discrimination/harassment or as inappropriate.

31. Grievances are preferably to be settled informally at the level of the employee's
immediate supervisor.

32. Try the level best to involve team members to resolve the crisis at unit level itself.

33. Avoid as far as possible the union involvement in conflict resolution situation process.

34. Follow documentation the procedures, of all necessary steps taken to resolve the
problem/complaint.

Conclusion

To a great extend the aggravation of industrial problems depends on manager's approaches

and attitude in effective handling of employees grievances. Care should be taken in the way
managers approaches the problem and perceiving the pros and cons of the situation. The
conflict management approaches include the win-win strategy that help in the healthy
organisational practices and which reflects the strong organisational culture. The
cooperation from both parties is the pre-requisite to handle the problem and effective
settlement of the grievances. Conscious use of professional self can help managers in the
conflict handling situations grievance redressal process.

Q.6 Explain Managerial grid in detail.

Managerial grid model

The Managerial Grid Model (1964) is a behavioral leadership

model developed by Robert Blake and Jane Mouton. This model

identifies five different leadership styles based on the

concern for people and the concern for production. The

optimal leadership style in this model is based on Theory Y.

A graphical representation of the Managerial GridAs shown

in the figure, the model is represented as a grid with

concern for production as the X-axis and concern for people

as the Y-axis; each axis ranges from 1 (Low) to 9 (High).

The five resulting leadership styles are as follows:

The impoverished style (1,1)

In this style, managers have low concern for both people

and production. Managers use this style to avoid getting

into trouble. The main concern for the manager is not to be

held responsible for any mistakes, which results in less

innovative decisions.

The country club style (1,9)

This style has a high concern for people and a low concern

for production. Managers using this style pay much

attention to the security and comfort of the employees, in

hopes that this would increase performance. The resulting

atmosphere is usually friendly, but not necessarily

productive.

The produce or perish style (9,1)

With a high concern for production, and a low concern for

people, managers using this style find employee needs

unimportant; they provide their employees with money and

expect performance back. Managers using this style also

pressure their employees through rules and punishments to

achieve the company goals. This style is based on Theory X,

and is commonly applied by companies on the edge of failure.

The middle-of-the-road style (5,5)

Managers using this style try to balance between company

goals and workers' needs. By giving some concern to both

people and production, managers who use this style hope to

achieve acceptable peformance.

The team style (9,9)

In this style, high concern is paid both to people and

production. As suggested by the propositions of Theory Y,

managers choosing to use this style encourage teamwork and

commitment among employees. This method relies heavly on

making employees feel as a constructive part of the company.