HUMAN RESOURCE

MANAGEMENT

Prepared: DAUD
Referece: WP Nel, METS 2nd Ed
 HUMAN RESOURCE
MANAGEMENT
 This involves all the activities and procedures used to attract, acquire, develop and retain
employees in order to achieve the goals of the organisation.
 Human resource function is a staff function.
 The Employment Equity Act and the Skills Development Act are examples of acts that have an
affect on the human resource planning of organisations in South Africa.

 Human resource management functions:

• Staffing (HR planning, recruitment, selection)
• Human resource development ( training etc)
• Performance management
• Pay and benefits
• Labour relations
 1. H U M A N R E S O U RC E P L A N N I N G
 The process of systematically reviewing and forecasting current and future
human resource needs.
 Takes cognisance of both the internal and external environments.
 The internal environment refers to the factors within the organisation that
impact human resource planning such as skills availability.
 The external environment are the external influences outside the control of the
company that impact human resources planning such as laws and legislations.
 The HR plan must take into consideration the human resources objectives,
employment equity plans and the external business environment in which the
organisation operate.
 Skills of engineers should be given more consideration when crafting the
strategy of human resources in an advance technological company.
 The HR department does not usually decide on the qualifications and skills of
an engineer to be recruited in the different departments such as maintenance
department.
 H U M A N R E S O U RC E P L A N N I N G
 The HR planning process entails:
• Review the strategic business plan
• Develop a strategic HR plan
• Set HR objectives
• Compile skills profile
• Conduct HR forecasting
• Develop employment equity plans
• Develop HR action plans
• Implement HR action plans
• Monitoring and evaluation
 HUMAN RESOURCE FORECASTING
 Two types: supply forecasting and demand
forecasting
• Supply forecasting: concerned with the probability of
the availability of the present employees in the future
to meet human resource needs.
• Internal supply and external supply
• Demand forecasting: conducted to determine the total
number of employees required.
 2. RECRUITMENT
 Recruitment can be internally or externally.

 Internal: position filled within the company.

• Merits:
• Employee motivation,
• Employee familiar with firm’s procedures & rules
• Managers know candidates’ abilities

 External: outside candidates fill the post

• Through adverts in newspapers, internet, holding open houses, at universities or
using other employment agencies.
• Merits: new inputs, ideas, expertise
• Demits: learning lag, resentment from current employees and expensive.
 3. SELECTION

 once a pool of candidates has been identified, valid and reliable selection
tools are used to pick the right candidate.

 There are different selection methods:

• Interview: the most popular method either as
• Individual: one person conducts the interview. Bias, wrong decision and personal
feelings are the main demerits.
• Panel: several interviewers interview applicants.
• more objective and fair
• other methods are physical ability test, performance test, paper test
 4. TRAINING AND DEVELOPMENT
 Training is aimed at equipping employees with the necessary skills to effectively
perform their duties.

 Development is aimed at building on the staff skills so that they can take on new
duties and responsibilities.

 There is continuous and rapid change in business environments that calls for
continuous training and development of employees and managers. For that matter, there
is need to continuously train and develop employees and managers in South African
business environment.

 The changes in the business environment can be internal or external:

• Internal: new systems, procedures, policies, techniques and methods
• External: competition, globalisation, legislation and new technologies
 TRAINING
 The training process has the phases:
• Training needs analysis or skills audit. Carried out to assess whether
there is a gap between ideal performance and current performance.

 Tools for the analysis are:

• Business and performance data
• Trend and market analysis
• Interviews
• Focus groups
• Questionnaires

 Training Design and Development: designing and developing a

training programme that will address the identified needs.
• These comprises:
• Training objectives
• Course development
• Training techniques
• Training plan
Training Presentation: creation of a learning environment.
• Constitutes:
• Learning environment
• Facilitation – classroom instruction, on-the-job training or
apprenticeships

Training Evaluation: to measure and determine whether the

training objectives have been met.
• The framework has the levels:
• Reaction evaluation
• Learning evaluation
• Behaviour evaluation
• Results evaluation
 5. PERFORMANCE
 Performance management is not merely about appraising the performance of
employees. The aim of performance management is not only to identify employee
shortfalls but rather to create an environment in which improved performance can be
achieved.
 Performance planning: developing a framework on which performance management
can be implemented.
 Performance plan should indicate:
• Purpose of the job
• Critical performance areas
• Tasks
• Performance standards
 For optimal performance, managers must provide the opportunity and support for
employee performance.
 P E R F O R M A N C E E VA L UA T I O N

Performance evaluation is the assessment of employee

performance according to the set standards.

Evaluation rating errors to avoid:

• Bias, prejudice and stereotyping – evaluate employee based
on personal belief on gender, race, religion etc
• Trait assessment – reliance on characteristics not related to
the job and difficult to measure.
• Halo effect – concentration and allowance of either
employee’s good or weak attributes influence all other ratings.
• Leniency – regarding employees as good performers and
allocating high scores.
 Strictness – believing all employee performance is below standard
and allocating low marks.
 Central tendency – all employees are rated as average performers.
 Errors of logic – incorrectly grouping tasks not necessarily related
but only appear to be related and allocating the same marks to each
task.
 Similarity – appraiser uses the same rule he/she would use to
assess himself/herself when rating employee.
 Contrast – appraiser compares himself/herself to employee and
gives low marks in areas of difference.
 Political considerations – the appraiser deliberately adjusts his/her
appraisal for specific reasons.