HUMAN RESOURCE MANAGEMENT CHAPTER-1 INTRODUCTION & CONCEPTS Concerned about people at work.

Human have capabilities, knowledge, skill, strength so, human are concerned as resource. Human resource means the human energy and capability possessed by employees of an organization. By human energy and capability we mean the knowledge, skill, attitudes, experience, motivation, physical and intellectual strength, potential for growth, and the like. The employees working in an organization are the owners and users of these resources. An employee offers the use of his or her resources for achievement of the objective of an organization in return for the economic and social gains received by him or her in the form of pay, status, recognition, and control over work situation, etc. In the course of his or her employment, every employee develops a stake in the organization, which, in turn, offers him or her a pledge in his safety, welfare, and growth. Definitions. Decenzo and Robbins: - HRM is a process consisting of four functions-acquisition, development, motivation and maintenance of human resources. These four functions are describe as getting people, preparing them activating them and keeping them. R.EWALTON: - HRM is the mutually between employees and employers, mutual goals, mutual influence, mutual respect, mutual rewards and mutual responsibilities. Donnelly and Gibson: - HRM is the process of accomplishing organizational objective by acquiring, retaining and terminating people in the organization. Human resource is concerned with the development of competence of employee, employers; improve culture for the growth and development of organization. CHARACTERISTIC OF HRM 1. It is a management of human resource. 2. Labor is liefful item, it must get humanistic approach 3. It is an approach. 4. It is new philosophy of management (paying more attention to the people at work, thinking of development, competence of the people, and right man in the right place. 5. It is co-operation from one and all. 6. It is a development of human resource. FUNCTION OF HUMAN RESOURCE MANAGEMENT / MAIN COMPONENTS OF HUMAN RESOURCE MGT. 1. Acquisitions / procurement / recruitment and selection. 2. Development. 3. Motivation. 4. Maintenance.

To acquire right type of employees in the organization, to run smoothly, related to manpower planning. Recruitment is a main component for the right type of employees. It is a process of giving information regarding vacancy in org, to the interested person. Then selection is done and finally placement is made. Only qualification, skill & knowledge are not sufficient to perform the work efficiently. Some training should be given to develop his competence. In order to cope with competition the development is needed. Motivation means to increase the willingness to work, performance evaluation, reward & punishment, appraisal. The key to higher productivity lies in creating a motivational climate, wherein the employee seems to be deriving satisfaction by doing a job. The maintenance function is related to retaining employees. This is an equally challenging function of HRM. This concerned with providing the saf3e working conditions and good work environment in the workplace that employees believe are necessary in order to maintain their commitment to the org. HUMAN RESOURCE MANAGEMENT SYSTEM Assets make things possible and people make thing happen Human Resource is a success factor. A system is required for development and utilization of human resource. This system is called HR Management System A system is a group of interrelated facts acting together to accomplish a goal. Purpose of HR is to attain commitment of employees, to enhance the competence of congruence of employee. HR System consists of three elements/components. 1. THREE COMPONENTS OF HRS INPUTS --------- A. includes elements human qualities, knowledge, skill and attitudes, experience, physical and mental abilities and socio-economic background. B. Organization business strategy, values about people and Employment, labor market, social values and unions. PROCESS------A. Acquisition. B. Development. C. Motivation. D. Maintenance. OUTPUT-------- A. QWL (quality of work life). B. Productivity. C. Readiness for change. D. Commitment, competence, closes relations and cost effectiveness.

2.

2.

H R M SYSTEM

-KNOWLEDGE -ABILITY -SKILLS -OTHER

-CHARESTRISTIC -Govt. Rules &Regulations -Organization policies -etc

ACQUISITION
DEVELOPMENT

MOTIVATION
MAINTANIANCE

-Quality Work Life -Productivity -Readiness for change -Commitment -Competence

QUALITY OF WORK LIFE. Quality of relationship, working environment, includes participations, work culture, job, involvement in decision making. Safe working condition like, free from pollution, safe in job security, level of satisfaction related with payment, policies, co-operation, opportunities exist for growth and development. PRODUCTIVITY. Maximizing output from given input, efficiency relationship to be planned and implemented to increase the productivity factors for improvement of productivity Factors for improvement of productivity Proper technology. Innovation--- the best way of doing job, new idea, etc, Learning own initiation, self-learning for self-development from friend, around people etc. Increased motivation---level of motivation to be increased etc. READINESS FOR CHANGE Why employees resist for change? For there job security, habit, interest, poor communication, threats to existing social relationship. Organization needs change in order to maintain their stability with ever changing environment. Management of change Education. Proper communication. Involvement of employees in decision making and formulating. Training & development. THE ACTIVITIES / AREAS OF HRM

Recruitment and selection. Training and development. Human resource planning. Provision of contract. Provision of fair treatment. Provision for equal opportunities. Performance appraisal. Employees counseling. Payment and reward of employee. Health and safety. Personnel research and information systems.

HUMAN RESOURCES MANAGEMENT ENVIRONMENT: H R M ENVIRONMENT

INTERNAL

EXTERNAL

-Organizational Goal and Policies -Organizational culture -Reward System -Labor Relation -etc.

-Political and legal -Technological factor -Socio-Culture forces -Economic forces -etc.

FUNCTION & ROLE OF HR MANAGER: Line Function Role Staff Function Role Representative Role Co-ordination Role Mediation Role Strategic Role

HUMAN RESOURCE PLANNING CHAPTER 2 Planning means looking ahead and deciding function for the future course of action. It is concerned with thinking in advance regarding what to do, how to do, when to do, which is to do. HR planning is concerned with greater utilization of human resource. Decision make on how, when, what types of employees to be required. Planning has become a major issue in the management of human resources. It affects how the organization responds to changing customer, industry, legal and competitive requirement. Planning what type and quality of human resources will likely be needed in the next twelve months is a little more difficult than forecasting material of equipment needs. Its also know as man power planning, human resource planning is a process of analyzing an organizations human needs under changing conditions and developing the activities necessary to satisfy these needs. Human resource planning also refers to as personnel planning, has been defined as the process of getting the right number of qualified people into the right job at the right time. In other word HRP is the the system of matching the supply of people internally (existing employees) and externally (those to be hired or search for) with the openings the organizations expects to have for a give time frame. HRP involves applying the basic planning process to the human resource needs of an organization. Once an organizational plans are made and specific objectives are set, the HRP process define the human resource needs to meet the organizational goal. DEFINITIONS: WENDELL FRENCH HRP is the process of determining an organizations human resource needs in relation to organizational goals and making plans to ensure that a competent, stable work force is employed. WERTHER AND DAVIS HRP systematically forecasts an organizations future supply of and demand for, employees. DALE YODER The process by which a firm ensures that it has right number of people, and the right kind of people, at the right places and at the right time, doing things in the organization. COLEMAN BRUCE P. Manpower planning is the process of determining manpower requirement and the means for meeting this requirement in order to carry out the integrated plans of the organization. HRP is concerned with the getting of right people at the right place and at the right time to achieve the organization goal. REASONS FOR HRP. 1. Future personnel needs: - predetermination of how many employees required in future. 2. Coping with change: - able to cope with changes themselves capacity to adopt with changes.

3. Determining talent: - various capabilities employees are required, level of skill and knowledge of employee to be determining, capable, competence and talent person are predetermined. 4. Equal employment opportunity: - this concept is very popular, no discrimination for employment, no male female. 5. Foundation for HRM functions: - refers to functions of HRM, acquisition, selection, transfer, training etc. done through HR Planning. IMPORTANCE OF HRP 1. Reduction of uncertainty: - Type of employees seeking would not avail in market at right time of requirement. Getting right type of person at right time. 2. Objective achievement: - right man and sufficient manpower at right time is required to achieved the goals. 3. Improve utilization of human resources. 4. Environmental adoption. HR Inventory: - no. of workers, qualification, training etc. Job analysis-- planner thinks whether the exist workers are capable and rules for selection, recruitment, competitor position takes into account. HRP prepares to adopt environment changes easily. 5. Achieving economics in hiring for manpower: - predetermination of required no. of employees for org. it minimizes the cost. 6. Control: - it sets standard for control purpose. APPROACHES TO HRP 1. Quantitative approaches or Top-Down approaches: - it uses mathematical and statistical techniques to determine manpower planning. Theoreticians, professional planner usually uses this approach in determining manpower planning in any org. 2. Qualitative approach or Bottom-Up approach: - under this approach interest, abilities and aspirations of employee are taken into consideration. HR practioners use this approach, existing no. of employees is evaluated and compared with future needs. STEPS IN THE PROCESS OF HUMAN RESOURCES PLANNING 1. 2. 3. 4. 5. 6. TO ASSESS THE CURRENT STATUS OF THE ORGANIZATION TO REVIEW THE ORGANIZATIONAL OBJECTIVES. TO FORECAST OF DEMAND FOR HUMAN RESOURCE. TO FORECAST OF INTERNAL AND EXTERNAL SUPPLY SOURCES. MATCHING THE FUTURE DEMAND AND SUPPLY. APPLICATION OF PLAN.

Figure: Employment Planning and the Strategic Planning Process

Demand for Labour

Define Organization Mission

Established corporate goals and objectives

Assess current Human resources HRMS & Job Analysis

Demand exceeds supply Compare demand for and supply of human resources Supply exceeds demand

Recruitment

Decruitment

Supply of human resources

1. Determining of existing manpower in organization takes help of HR Inventory system to assess. HR System: - individual inventory, personal information, name, birth of date, marital status, religion information etc, experience, qualification, and training. The items included in HR Inventory- skill age & sex educational level, work experience, training, language spoken overall abilities etc. detail information from A to Z of each and every individual working in organization. Benefits of HR Inventory To identify the skill available in the org. Helps in planning for selection, training, promotion and transfer of employees. Useful in deploying and utilizing the human resources. Helpful in business expansion and diversification. Identification of human resource related threats to the org. Human Resource Information System: - it provides excellent database to the planner and other. This system is designed to store information about the employees and the job. It provides information in a logical, valid and reliable data systematically to the planner and other for taking decisions on HR related manner. The items included in HRIS. Personal data: - name, address, marital status, phone, fax etc. Skill data: - education, training, languages etc. Position data: - when join the org. What position he holds and what he is at present. Compensation data: - remuneration and facilities provided to the employees. Benefits of HRIS Preparation of HR Inventory: - no. & kind of employees, overtime bill, absenteeism rate etc. can be provided here.

 Useful for forecast of future human resource requirement Useful for identifying training, promotion and transfer HRIS provide information regarding the skill manpower in the organization. In preparation of succession planning. Succession Planning: - identification of future needs of manpower in organization. No. Required out of organization and within the organization. Also help full in taking decision regarding the most success man to hold the position vacant.
MANAGEMENT SUCCESSION PLAN
ORGINISATION . DATE: .

Probability of Vacancy Within 1 year -------------A 1 to 3 Years-------------- B Beyond 3 Years ---------C

Position incumbent

(A) Ready Now

(B) Ready 1-3yer.

(C) Ready Bey. 3 yer

Contingency Plan

Benefits of succession planning Hiring from an organization for managerial post. Career shortages and skill for employees. Managerial shortage and skill deficiencies are predetermined Qualified people are systematically places in the right job. 2. To review the organizational objectives and revenue projection. 3. Forecasting Human Resources Demand. Demand forecasting means determining the future needs of human resources in the org. over and under employment is not conducive for org. Demand means how much manpower is required, quantitative as well as qualitative. Factor to considered for demand forecasting: 1.Organizational goals and objectives: Expansion of business. Introduce new products. Changes of technology. Replacement of modern/latest techniques. Planned organizational changes, structural change, establishment of extra department, branches, new plant in other place etc. Budgetary ceiling/limitation. 2.External environment factors: -

 Economic factors that are purchasing power of people increase when economic condition is sound or improving which affects the demand forecasting of HR. Political factor i.e. political stability affects demand forecasting Legal factors. Cultural factors included social system, norms and values also affects the demand forecasting. 3. Marketing plans: - Future revenue is important. It is possible by sales, sales forecasting and revenue forecasting should be considered into account. Revenue forecasting to be matched with HR forecasting. Demand forecasting techniques Judgment and experience Statistical analysis. Econometric model Delphi technique, where the different people are given opportunities to give their opinion and ideas on different issues. Work standard plan. Budgetary planning, preparing budget to carry on activities. 4. Forecasting Human Resource Supply. Here estimates the future supply of HR in the org. Sources of supplyinternally and external Internal sources of supplyHR Inventory. Probable additiontransfer, promotion, people returning from long leaves, higher studies. External sources of supply---who are not working present in organization they are only the probable employees in future. Sources are -----educational institutions and training center. Labor market, employment consultant, etc 5. Matching the future demand and supply More demand ------ hire the employees More supply----- lay off (retrenchment policy) 6. Application of plan.

CHAPTER 3 JOB ANALYSIS The first operative function of Human Resource Management is the procurement of personnel for the organization to full fill future job vacancies for making the hiring practices more effective, a knowledge about various jobs is a prerequisites for intelligent attack upon personnel problems. No proper selection of worker is possible with out the precise knowledge of the duties, responsibilities, authorities and conditions of work etc. so that right man can be placed on the right job. A thorough job study is required before procurement of the personnel. Job description and its analysis as the fundamental techniques for making the job study meaningful. Job analysis is an essential ingredient in designing sound personnel program. DEFINITIONS. According to TERRY job analysis is the process of critically examining the components of a job, both separately and in relation to the whole, in order to determine all the conditions and duties. In the words of FLIPPO, job analysis is the process of studying and collecting information relating to the operations and responsibility of specific job. According to MICHAEL J. JUCIUS, job analysis refers to the process of studying the operations, duties and organizational aspects of jobs in order to device specification, or as they are called by some job specifications. From the above definitions it is clear that job analysis process by which job, duties, responsibilities are defined and information of various factors relating to the job are collected and complied to determine the working conditions, nature of work, qualities of person to be employed on job, position of the job, opportunities available and authorities and privileges to be given on the job etc. Job analysis therefore provides information both of job and the jobholder. METHOD OF GENERATING JOB ANALYSIS INFORMATION 1. Observation method: - The person should be competent and capable of analyzing information through observation. The employees may not know that his work is being observed. An expert is required to generate information through observation. 2. Questionnaire method: - Information needed is put in a question form. Employees are asked to give the answer to those questions. Multiple choice questions should be given to simple literate persons while to educated persons some suggestions should be asked. Double meaning, ambiguous question should not be ask. 3. Interview method: - There should be a face-to-face interaction; it is possible to get pertinent information of a particular job. Their feelings, communicating capacity, what is inn their mind, intelligence, can be

4. 5. 6.

7. 8.

extracted by discussing with workers. In structure interview, all the question are pre-determine what they are going to ask in a systematic Way. In unstructured interview, what they are going to ask are not preplanned. They ask in a random way. Interview is a time consuming process experts should be hired for this purpose. Check lists methods: - A competent person prepares the checklist. This method requires the worker to check the tasks he performs from a long list of possible task statements. Conference or opinion of experts: - Experts are advice to give conference on a particular job. Experts give opinion of a particular job, what should be done to the job. Daily diary: - Jobholders are providing a diary to keep information of the job itself. The duty, responsibilities and other necessary are recorded in a diary. By looking diary, mgt. can know the knowledge required in a particular job. Record: - HR department maintains the record of the facts regarding job and the jobholders. The analyst collects the information from the record maintained by the personnel department. Participation method: - In this method the job analyst actually performs the job himself. In this way, he is able to obtain the first hand information about the job.

PRODUCTS OF JOB ANALYSIS 1. Job Description. It is a statement containing the different items related to the job, duties to be done on a particular job, working conditions, risk involved etc. are describe. Items of JD Job title, location, summary of duties, detailed statement of work o be performed, tools, equipment, machines, materials used, responsibility, hazards, relation to other job etc. 2. Job Specification. A statement of the human qualification necessary to do the job Items of the JS Education, experience, training, skill, special aptitude, initiative, responsibilities, analysis and judgment ability, mental and physical ability, and other character in person., communication skill. Etc. 3. Job Evaluation Job evaluation is a process of analyzing and describing positions, groping them and determining their relative value by comparing the duties of different positions in terms of their different responsibilities and other requirements. Methods of JE * Ranking method. * Grade system.

* Point system.

JOB DESIGN Job design refers to the way that a set of tasks, or an entire job, is organized. Job design helps to determine: What tasks are done, How the tasks are done, How many tasks are done, and In what order the tasks are done.

It takes into account all factors which affect the work, and organizes the content and tasks so that the whole job is less likely to be a risk to the employee. Job design involves administrative areas such as: Job rotation, Job enlargement, Task/machine pacing, Work breaks, and Working hours.

A well designed job will encourage a variety of 'good' body positions, have reasonable strength requirements, require a reasonable amount of mental activity, and help foster feelings of achievement and self-esteem. How can job design help with the organization of work?

Job design principles can address problems such as: Work overload, Work underload, Repetitiveness, Limited control over work, Isolation, Shift work, Delays in filling vacant positions, Excessive working hours, and Limited understanding of the whole job process.

Job design is sometimes considered as a way to help deal with stress in the workplace. What are features of "good" job design?

Good job design accommodates employees' mental and physical characteristics by paying attention to: Muscular energy such as work/rest schedules or pace of work, and Mental energy such as boring versus extremely difficult tasks.

Good job design: Allows for employee input. Employees should have the option to vary activities according to personal needs, work habits, and the circumstances in the workplace. Gives employees a sense of accomplishment. Includes training so employees know what tasks to do and how to do them properly. Provides good work/rest schedules. Allows for an adjustment period for physically demanding jobs. Provides feedback to the employees about their performance. Minimizes energy expenditure and force requirements. Balances static and dynamic work.

Job design is an ongoing process. The goal is to make adjustments as conditions or tasks change within the workplace. What are common approaches/Methods to job design?

Achieving good job design involves administrative practices that determine what the employee does, for how long, where, and when as well as giving the employees choice where ever possible. In job design, you may choose to examine the various tasks of an individual job or the design of a group of jobs. Approaches/methods to job design include: Job Enlargement: Job enlargement changes the jobs to include more and/or different tasks. Job enlargement should add interest to the work but may or may not give employees more responsibility. Job Rotation: Job rotation moves employees from one task to another. It distributes the group tasks among a number of employees. Job Enrichment: Job enrichment allows employees to assume more responsibility, accountability, and independence when learning new tasks or to allow for greater participation and new opportunities. Work Design (Job Engineering): Work design allows employees to see how the work methods, layout and handling procedures link together as well as the interaction between people and machines. What are the overall goals of job design?

Goals can be in many difference areas and include:

Task Variety To alleviate boredom, avoid both excessive static body positions and repetitive movements. Design jobs to have a variety of tasks that require changes in body position, muscles used, and mental activities. Two methods are job enlargement and job rotation. For example, if an employee normally assembles parts, the job may be enlarged to include new tasks such as work planning, inspection / quality control, or maintenance. Alternatively, the tasks may include working in the same department, but changing tasks every hour. For example, in a laundry facility employees can rotate between various stations (sorting, washer, dryer, iron, etc) as long as it provides for a change in physical or mental expenditure. Work Breaks / Rest Breaks Rest breaks help alleviate the problems of unavoidable repetitive movements or static body positions. More frequent but shorter breaks (sometimes called "micro breaks") are sometimes preferable to fewer long breaks. During rest breaks, encourage employees to change body position and to exercise. It is important that employees stretch and use different muscle groups. If the employee has been very active, a rest break should include a stationary activity or stretching. Allowance for an Adjustment Period When work demands physical effort, have an adjustment period for new employees and for all employees after holidays, layoffs, or illnesses. Allow time to become accustomed to the physical demands of work by gradually "getting in shape." Employees who work in extreme hot or cold conditions also need time to acclimatize. Provide Training Training in correct work procedures and equipment operation is needed so that employees understand what is expected of them and how to work safely. Training should be organized, consistent and ongoing. It may occur in a classroom or on the job. Vary Mental Activities Tasks should be coordinated so that they are balanced during the day for the individual employee as well as balanced among a group of employees. You may want to allow the employee some degree of choice as to what types of mental tasks they

want to do and when. This choice will allow the employee to do tasks when best suited to their 'alertness' patterns during the day. Some people may prefer routine tasks in the morning (such as checklists or filling in forms) and save tasks such as problem solving until the afternoon, or vice versa.

What steps should I take when carrying out a job design project? Although there are many ways to carry out job design, the following stages are essential: Do an assessment of current work practices. Is job design needed or feasible? Discuss the process with the employees and supervisors involved and be clear about the process, or any changes or training that will be involved. Do a task analysis. Examine the job and determine exactly what the tasks are. Consider what equipment and workstation features are important for completing the tasks. Identify problem areas. Design the job. Identify the methods for doing the work, work/rest schedules, training requirements, equipment needed and workplace changes. Coordinate the different tasks so each one varies mental activities and body position. Be careful not to under or overload the job. Implement the new job design gradually. You may want to start on a small scale or with a pilot project. Train employees in the new procedures and use of equipment. Allow for an adjustment period and time to gain experience with the new job design. Re-evaluate job design on a continual basis Make any necessary adjustments. You may also want to establish a committee to represent the various groups involved. Job design should involve employees, unions, the health and safety committee and managers during the entire process. Participation of all parties increases communication and understanding. Be clear that purpose of the job design is to strengthen the operations and its workforce, not to eliminate jobs or sets of skills.

Recruitment, Selection and Socialization

It is the primary duty of the human resource department to promote and maintain an adequate qualified working force of various personnel necessary for maintaining the organization. Procurement functions of human resource department including three major sub-function. 1) RECRUITMENT: It is the process of searching for prospect employees and estimating them to apply for job in the organization. Recruitment is the process of discovering the potential applicants for actual organization vacancies. The main function of recruitment is to discover sources for manpower and to attract an educate number of prospective employees. Recruitment is a positive process because it increases the selection ratio by attracting a large number of applicants for the jobs. Recruitment enables the management to select suitable employees for the different job. Recruitment has as its major objectives developing and maintaining adequate manpower resources, with the required skill upon which the organization can depend when it needs personnel. In short, recruitment may means to discover sources of manpower and to attract an adequate number of prospective employees. According to EDWIN FLIPPO recruitment is the process of searching for prospective employees and stimulating them to apply for the jobs in the organization. According to ROBBINS recruitment is the discovering of the potential candidates for actual or anticipated organizational vacancies. SOURCES AND METHODS OF RECRUITMENT The sources of recruitment may be grouped into two Internal sources External sources INTERNAL SOURCES CONSIST OF FOLLOWING 1. Application bank 2. Promotion 3. Transfer 4. Relations/existing employee contact 5. Rejoin 6. Supervisor and managers recommendation. EXTERNAL SOURCES CONSIST OF FOLLOWING 1. Job center

2. Trade union 3. Placement consultant 4. Campus interview 5. Private selection consultant 6. Government employment exchange 7. Advertising & media ADVANTAGES OF INTERNAL SOURCES AND METHOD 1. Familiarity: The organization and its employees are familiar to each other. An organization knows the ability and skills of the candidates. 2. Better utilization of internal talent. 3. Economy: The cost of recruiting internal sources of recruitment is low. Cost of selection and training can be minimized. 4. A better employee-employer relationship is established labour turnover is reduced. Trade unions can be satisfied. 5. Internal recruitment is a source of encouragement and motivation for employees. For e.g. employees can look opportunity for promotion and transfer with a hope there by do their job well. DIS-ADVANTAGES OF INTERNAL SOURCES 1. Restricted choices: Internal recruitment restricted the option and freedom for the enterprise of company in choosing the most suitable candidates. The company may have to compromise on quality of its choice of candidates. 2. Absence of competitions: In the absence of competition from qualified candidates from outside employees are likely to export to automatic promotion by seniority. Thus, they may loose the drive for proving their worth. 3. Internal recruitment may often create unnecessary tensions and chances of favoritism etc. often lead to serious erosion of discipline as well. 4. It may negatively affect the morale of employees who fight for promotions. 5. Lack of outside experience and skill. ADVANTAGE OF EXTERNAL SOURCES: 1. Wide options: External sources bring a large number of applications. This will permit the enterprises to have a free hand in making the selection. 2. Infusion of new blood: The enterprise can expect to get fresh, talented candidates from outside. This means infusions of new blood new ideas into the enterprise represented by outside candidates. 3. Elements of competition Internal candidates have to compete with outside candidates for the vacancies. This is healthy feature from the point of view of the enterprise.

Dis- advantages of external sources:

1. Frustration among the existing employees:

Recruitment from outside may cause dissatisfaction and frustration among the existing employees who aspire for the jobs by promotion or transfer. This is likely to strain the relations between management and the employees. 2. High Expensive: The process of recruitment of candidates from outside involves considerable expense in the form of advertisement for vacancy screening and selection. 3. Time Consuming: External sources take more time then the internal since the enterprise has to publish about the vacancies or otherwise contact the sources and wait or their response. 4. Lack of Certainty: The prospective candidates from outside may or may not be good for the enterprise. There is no guarantee that the enterprise will be able to attract suitable applicants event after advertisement and other steps. 2) SELECTION:A planned recruitment programmed provides the organization with job-applicants from whom a required number of selections are made. Selection means a process by which the qualified personnel can be choose from the applicants who have offered their services to the organization for employment. Thus the selection process is a negative function because it attempts to eliminate applicants, leaving only the best to be selected. So, selection is the process in which candidate for employment are divided into two classes, first those who are to be offered employment and other those who are not. There for the selection is a process of choosing a person suitable for the job out of several persons. Selection process Preliminary interview Application blank Selection test Selection interview Medical examination Checking reference Job Offer

Types of interview 1) Structured interview 2) Unstructured 3) Semi structured Methods of interview 1) One-one interview 2) Panel interview 3) Group interview 4) Sequence interview

Interview process
Preparation for the interview Conduction the interview Close the interview Evaluate interview results 3) Socialization Socialization follows placement. Socialization consists of the introduction and orienting the new employee. When a candidate is finally selected he is issued the appointment letter and ask to join the company. Socialization is a follow up action of hiring and consult with the problem of introduction and orienting a new employee to the organization. To introduce properly and systematically to the company and its philosophy rules, objectives etc. by the supervisor to his follow workers. According to Billimoria introduction is a technique into the change surrounding & introduced to practice policies and purpose of the organization. The idea is to welcome new comer make him fill at hope and generate in him a felling of job". Purpose of socialization It promises a filling of belongingness of and loyalties to the org. It brings an agreement between organization goal and personal goal. It builds up new comers confidence in the org. It gives the new employees information regarding the company i.e. structure, products, policies, roles, facilities provide by the company, etc. It introduces new workers to the supervisor and follows workers with whom he has to work.

 It creates a sense of securities for the worker in his job by impressing the ideas of the worker. Socialization has great significance in a underdeveloped country like Nepal, where the percentage of illiteracy is very high. The new workers find him completely at sea when by force of circumstance he has to sift from rural area to urban area or industrial area. It is of no use trying to push a handbook of certificate, certified rules and regulations into his hand and expecting him to turn out into a loyal and efficient employee, he needs a short and simple induction conducted by someone who speaks his own language. The good socialization has following three elements: Introduction and information On the job information Follow up interview Modern Socialization Process 1) Pre-arrival stage: - before they actually come to the organization they learn many thing at his own about the organization. It may be from friends, literature, interviews examination etc. they have preside from ideas about he organization from outside. 2) Encounter stage: - They encounter by the reality with their perception of interest, work environment, discipline rules and regulation they find different in organization. Here new employees perception and real condition will be encountered. 3) Change stage: - after encounter they must determine some sort of changes is necessary. Here new employees have to change themselves on the basis of organization need. 4) Outcome: Good productivity Commitment Turnover
Productivity

Pre-arrival Stage

Encounter Stage

Metamorphosis stage

Commitment

Turnover

Now every company develops its own procedure as per its needs. Usually following steps are considered. Time and place given to worker to report a work. Welcome to the organization by supervisor and department head. Completion of administrative work Departmental orientation i.e. introduction to department Verbal explanation to printed material This method is mostly used in developing countries like Nepal

Chapter 5 Training & Development

Knowledge and skill acquired by the employees previously may not be suitable at present. Technological changes occur frequently. Additional skill and knowledge has to be injected to the employees. Changes in technology, changes in value, and changes in environment differ the capability of the employees. Develop manpower skills and knowledge for further purpose is development. Immediate change in skill and knowledge to the lower level employees is training. Below the managerial level is training & above it is development. Training It is an organized procedure by which people learns skill and knowledge for definite purpose. It is an investment for the development of human resource. In achieving the changes in human behaviors for non-managerial employees. They need technical knowledge and skill. Training is always for your short direction and concerned with job purpose. Training changes quality of work of the employee. Training is an important part of human resource development. It enhances capabilities required to improve performance in the present job. It involves positive changes in knowledge, skill and attitude of employees to increase their efficiency and effectiveness on the job. Training is a systematic program to increases the knowledge, skill and ability of the workers to perform specific job. Training is different from education and development because education is concerned with increase in general and subject knowledge and understanding of the total environment. On the other hand training is concerned with increasing the knowledge and understanding of a particular job. Development is concerned with the growth of the employees from all the sides. Development program seek to develop skill and competency for future jobs while training program are directed towards maintaining and improve current job. Thus, training serves as a balancing between employee's capability and job requirements. It transforms the behavior of the individual and improves performance of employee.

Principle of Training 1. The training program should be designed so as to achieve objective and need of the organization. 2. Training program should be less expensive. 3.Training program should be developed for all in the organization and not for a particular group.

4. Training program should be pre planned and well organized taking in view the objective of training program. 5. Training program should be designed according to size, nature and financial position of the company. 6. The program should be flexible enough so that it may be adjusted to the changing circumstances. 7. The training program is conduct by senior and experienced supervisor or executive of the company 8. Theoretical and practical aspects of training should be given due consideration whole preparing training programs. 9. Program should be designed taking in view the interest of both employer and employees. 10. It is not essential to follow a single method of training for all the employees. The purpose of training is to develop the employees and therefore, more than one method may be followed for different groups. 11. Sufficient time should be provided to practice what the employees have learned. 12. The training must be related to the desire of the trainee. For e.g.: -wages, better job, status and promotion, etc. 13. Practice is highly essential to effective training. 14. Training must be transferable. 15. Training requires feedback. Methods of Training There are mainly two methods of training followed by Nepalese groups. They are as such: A. On-the-Job Training. -> Experiential category. B. Off-the-Job Training. -> Informational category. A. On-the-Job Training: On-the-Job method is probably the most common approach to training. The objective of On-the-Job Training is to bring the employees to at least a minimum acceptable standard of performance in the shortest possible time. It has the advantages of giving first hand knowledge and the experience. It permits the trainee to learn under actual equipment and in the environment of job. This method is simple and many organizations use this method. It is relatively cheap and less time consuming. We can also say it is learning, by doing method. Here, in this method experts will give idea to perform the job as a result they learn quickly. Procedure of conducting On-the-Job Training 1. Departmental head 2. Select supervisor who can give training to the newly selected employees. 3. Assemble all necessary equipment, tools, and procedure sheets, working materials and supporting items. The department head or supervisor may follow various method of on-the-job training

a. Unspecific Job: - The most common and formal on-the-job training program is training for specific job. It may be followed by: (I) Coaching (II) Understudy. b. Position Rotation: - The main purpose of the rotation training is to construct background for the trainee. If trainee is rotate periodically from one job to another he may acquire a generic background. c. Special Project: - Under this method the trainee may be asked to perform special assignment. Thereby he learns to work procedure. Sometime a task force is created consistent of number of training representation different function in the organization, so trainee not only acquire knowledge about the assigned activities but also learn how to work with others. d. Selective Reading: - Individual in the organization can gather advance their knowledge and background through selective reading. Many executives become member of professional association and they exchange their ideas with trainee. Various business organizations maintain libraries for their own executives. So the reading may include professional journal and books. e. Apprenticeship: - Many skill traders like plumbers, electrician, workers, and etc. seek for a job and they have to go to apprenticeship trainings programs before they actually join the organization then only they may get the job. Institutions run this type of programs. f. Job instruction Training: - This method is directly related to specific work situation and is designed for supervisors to train operatives. Same as during IInd world war training is given to supervisor and they train the workers. It is the systematic step-by-step approach to on-the-job training to teach to task. A supervisor may follow the following step: (i) Preparing the trainees by teeing about the jobs and overcoming their uncertainties. (ii) Presenting the instruction by giving essential information in a clear manner. (iii) Having the trainees try out the job to demonstrate their understanding. (iv) Placing the workers into the job. g. Internship Training: - Student of technical subject generally undergoes internship training given only to skilled and technical person. The goal is to combing practical experience with theoretical knowledge. Under this method trainee is worked as an employee for temporally period in the organization B. Off-the-Job Training It is sometimes necessary to get people away from the work environment to a place where the frustrations of work are eliminated. This enables the trainee to study theoretical information or be exposing to new and innovative ideas. Off-the-job training covers no. of techniques. a. Lecture Method: - The Lecture Method is the most commonly used techniques for training employees. This method is supplemented with audio visual, motion picture on television. Some lecture involves all one-way communication while some may allow trainees to participate by asking questions or providing argument/ comments.

b. Audio-Visual Method: - A variety of audio-visual are available to train as including film, audio-tapes, audio-visual are typically use to supplement other training techniques including lecture and self directed learning method. Training and address a variety of topic such as motivational techniques performance appraisal technique, leadership skill, and teamwork etc. c. Self Direct Learning Method: - Here, the trainee takes responsibility of learning the necessary knowledge & skills at his/her own speed can be driven to the trainee including the topic of study, objectives, learning strategy etc. In certain cases trainee work without direct supervision. They let their own speed, objective, learning environment, etc. Generally the training departments role is to provide assistance and materials to trainees. d. Conference Method: - This is also an old method but still very popular training method. Conference may include session that divided conference into small groups of four or five groups for intensive discussion. These small groups that report back to the whole conference with their conclusion or suggestion and questions. Here the role of trainee is to motivate the trainee at last all the ideas and opinions of the trainee are recorded by trainees. e. Program Instruction Method: - In this method reading manual or book is given to the trainees, which contains the knowledge, and information, which is very essential for the organization. Many question and problems are given and they have to answer all these questions. The instructor drives immediate feedback. Most programmed instruction builds in the important learning principles. (i) Specifying what is to be learned. (ii) Breaking down the learning topic into small steps. (iii) Presenting each step to the trainee and requiring him/her to respond to each step. (iv) Testing the trainees learning at each step-by responding to question. (v) Providing immediate feedback to the trainees. (vi) Testing the level of skill or knowledge acquire by trainee, at the end of training. f. Simulation Method: - Simulation is the presentation of real situation of the organization in the training session. It covers situation and complexities and role for the participants. Simulation activities or techniques includes following training activities: (i) Case study Method: - Most business students are very familiar case analysis. A training method often used in management training to improve skill of trainee. Trainees are asked to read a case report that describes the organizational, social, technical aspect of the organization. Each trainee prepares a report in which he/she describe the problems and after solution and suggestion. The trainees role is to facilitate the group learning and to help trainee. (ii)Role Playing: - Role Playing is commonly used in training. A recent study indicates that 49.1 of companies reported using role-plays for employees training. This method is used to teach such as oral communication, interpersonal style, leadership style and feedback review etc. (iii) Gaming: - Gaming involves several teams each of which is given a firm to operate for a number of periods. Usually a period is a shot one. Here in this method each team makes decision on various methods such as fixation of price level of production inventory level etc. (iv) Computer Modeling: - Use of computer to train employee is becoming increasingly more common among organization specially, for training a technical skill. At 1997

involves estimated that 40.1 of US organization with more than 100 employees indicated that they used computer based training. Computer based training are available for service person repairperson and pilots. (v) Vestibule Training: - Vestibule labs can be created to simulate real environment. Here, trainee launches their job on the equipment they will be assigning on the job. An attempt is made to duplicate as nearly as possible the actual material, equipments and condition found in real work place. (iv) Sensitivity Training: - This is very popular for management training. A small group of about to 14 individuals work together to develop interpersonal as team building skills. In an unstructured setting trainee focus on describes issue at interest or concerned to them. The trainee generally does not structure the discussion. In the discussion trainee provide feedback to one another about interpersonal style in order to help each other.

Management Development The rapid advancement in technology, social development, new political parties and policies and the pressure of competition demand a shift to new techniques, which are ever riding elements in growth and survival. There is a strong need of those leader managers of the organization who can demonstrate the necessary managerial skills. Management development is a planted systematic and continues process of learning & growth. Only taking a course attending lectures and conference cannot develop a manager. But management develop implies development of people or executives of different attitudes, talents, need and motivations. The management development is necessary to help managers to keep up with technological development to build high moral at different levels and to help them to create all idea interpersonal relation in the organization. In this word of Michale J Executive development is the program by which executive capacities to achieve desire objective are increased. In above definition Mr. Michale has written that program must be related to development of various interrelated method, factors, and needs. Executive capacity involves different individuals abilities of present & prospective managers at different level of management. The desire objective include the objective of the concern its executives and the sessions to be managed though it is believed that it is the responsibility of all the line managers to train their immediate subordinate in an organization & guide them in their own self development. Objective of Management Development Executive development is an attempt at improving individuals managerial effectiveness through a planned process of learning. The primary objectives of executive development are as follows: (i) To provide adequate leaders. (ii) To increase the efficiency of performance of existing executives. (iii) To train managers for higher assignment who show potential for growth.

(iv) To prepare them for adaptation of environmental ideological and technological change. (v) To develop unity of management team. (iv) To develop managerial skills in executives. Quality of human resources in additional to quantity of human resources. The method of forecasting human resource demand includes: a. Managerial Judgment: - This method uses expert opinion to predict the future. The main focus is on evaluation of employees performance and promo ability as well as management and career development. Three approaches are there to think about their future workload, future capabilities of employees and decide on the number and type of human resource to be required. In the bottom up approach concerned supervisor sends their proposal to the top officials who compare there with the organization plan and make necessary adjustment and finalize them. Similarly in the top down approach, management prepares the requirements and sends that information down. b. Statistical Techniques: - These techniques are used in large organization. The main two types of statically techniques used for human resource planning are: (i) Ratio Trend Analysis (ii) Economic Models. c. Work, Study Techniques: - Work, Study is particularly suitable for production line work and short term estimated. d. Analyzing the Human Resource Supply: - After forecasting human resource needs net human resource requirement. In term of number and components are to be determined for a future date and supply forecast for that date. To forecast the supply of human resources the difference between potential loss and potential addition is to be added or subtract on the case may be the present inventory of human resources. If surplus is estimated in some jobs, the organization has to plan for redeployment. It deficit is estimated; management has to forecast the future supply of human resource from various sources. e. Matching the Demand and Supply: - The, another process is human resource pplanning to match the demand & supply of human resources. The result of this effort pinpoints shortages or over standing both in number and in kind. Method of Management Development Program There are two type of Method for management development program, which are: 1) On-the-Job Method 2) Off-the-Job Method 1) On-the-Job Method: - On-the-job method is very popular method. After 1950, different industries give more emphasis to management development program. On-thejob method gives more emphasis to the organization, because the worker remains in their organization and learn while doing the job. (i) Under Study Method: - Managers are given assignment temporarily to do the work and their work performance is evaluated and the skill full manpower gives suggestion when they felt that is needed. By this way, manager will learn. (ii) Job Rotation: - Manager should be able to perform different activates when he moves to the higher level. He may not be expert but should have functional knowledge.

Job Rotation helps to enhance the knowledge and ideas of different department due to help of their job rotation method; the manager would gain more knowledge & idea. (iii) Coaching: - They give information, responsibility, duties and problems to perform these methods. The duty is the best way to perform the job. This type of method is popular in small organization. (iv) Multiple Management: - Some managers are selected and they constitute junior board of executives. Some assignment problem is given to them. Junior boards of execution are asked to solve the problem formulate strategy, prepare plan, prepare personal policy etc. 2) Off-the-Job Method / Classroom Method. (i) Basket Method: - In Basket Method, Basket means file. A file continent different correspondence & documents is provided to the group or individual they are asked to study the files and documents and ask to give decision. They can ask to furnish for further information. The authority will supply additional information. They have to give their recommendation after analyzing the files. The recommendation after analyzing the files. The recommendations of different groups are compiled and again there will be discussion. (ii) Management Games: - It is play ground where different competitor computes for selling the product. Team of the student compete agents each other to achieve given objectives. Here management games consist of several teams of 2 to 6 members. The team represents different companies competing in the same market. Team takes decision regarding production, price, research, marketing and profit maximization in the given environment. At last, instructors give the result after concluding. (iii) Incident Method: - In this method, incident is put before the manager for discussion. Here, the role of instructor is to provide feedback whenever required and suggest the manager according to their need. (iv) Transactional Analysis: - Dr. Exic develops this method. It is a pry biological term. It will help to understanding your behavior and necessary to understand echo. According to this method there are three types of echo. They are: a. Child Echo. b. Adult Echo c. Parental Echo Child echo means no compromise. Adult echo means they are better what they say and to be accepted his opinion by use. Parental echo means echo of parents, parents want to be convince their childrens by showing love & affection. Here according to these method expert guides to accept adults ego method. (v) Sensitivity Development: - It is designed to know others feeling, attitude, emotion etc. How to apply this method: a. Face to face discussion. b. 8 to 16 members in a group. c. No agenda d. Opening to other. e. The participant should give the feedback. f. The trainer would introduce plan of action & activates

Evolution of Training Program Evolution means feedback. It is necessary to get the feedback after training is given for that evaluator may follow following Methods or Techniques: (1) Reaction of Trainee: - This method id fulfilled may ask direct question to the trainees. (2) Learning: - The method is fulfilled by distributing the questionnaire before training and after training and it is evaluated after training is completed. (3) Behavior Change: - In this method the purpose of evaluator is to change the behavior of employee, working style, talking with people, and motivation should be changed.

Chapter -6
Motivation Productivity of an organization depends on the people who work in an organization give the motivation or encourage your employees to achieve the productivity quality and objectives. Given the same input if employee works hard they produce more. Now how to make people work more or better. Here, organization may apply the different method to get the work done from their employees. There is always an understanding of what motivates employer to work hard. There fore, motivation is an investment to act to move toward the goal. In industrial settings motivation means to make subordinates to act in the interest of an organization in desired manners. To motivate is to induce, persuade, and simulate an employee to act or move in a particular manner, which may help in attaining an organization objectives. Motivation may be defined as a planned managerial process, which stimulates employee to work the best of their capabilities for the most effective and efficient manner for realization of common objectives of an organization by providing them with motives to work for achievement of goal. In short motivation means to increase the willingness to work. The term motivation has been defined from Latin word motive, which means to urge to do or not to do something. It represents the force that moves people and forces them to do act. Motivation is something that motivates a person into action and continuous him in the course of action. It is psychological techniques, which really influence the employee & their behavior. Best performance can be achieved from the staff only by creating them the necessary desire to do so. Creation of this desire is performance. This means making the worker to take interest in the work. Manager can buy mans time, He can buy mans physical presence but difficulty is how to get his enthusiasm, willingness, loyalty etc to work. Motivation is important to generate willingness, initiative etc to use their ability and performance their work. According to Micale Jucious, Motivation is the act of stimulating some one or owns self to get a desired course of action, to push the right buttons to get desired action. According to Flippo, Motivation is the process of attempting to influence others to do your will through the possibility of game or reward. It is clear from the above definition that motivation is a process of motive employee and it is towards the attainment of objective. Motivation is one of the most important factor for determine organization efficiency every superior in the organization must motivate his subordinate for the right type of behavior. The performance of human beings in the organization is totally dependent on the ability & motivation. Therefore, expert has given formula to measure the performance. Performance = Ability X Motivation Importance of Motivation 1. Best utilization of resource. 2. Will to Contribute.

3. Reduction in labors problem. 4. Effective production & Productivity. 5. Improvements of skill & knowledge. 6. Better image as good employer. 7. Fulfillment of workers needs & wants. Type of Motivation a. Positive Motivation: - It is based on reward formulate or policy of reward. Positive motivation consists of praise, prestige, promotion, pay cheque and positive impact on employees. Therefore, some experts use to say 5ps pf motivation. b. Negative Motivation: - Under this motivation employer motivate their employees on the basis of force and fear. c. Extrinsic Motivation: - This type of motivation is concerned with the external motivators. For e.g. pay, status, health and insurance, & other benefits. d. Intrinsic Motivation: - This type of motivation is concerned with internal feelings for e.g.: - Job responsibility, participation, accomplishment of job, personal care of employees, maintaining the relation with employees. It is very difficult to understand motivation force. Motive of employee cannot be identified but organization experts are trying to find out the motivational force through the expression and the behaviors of employee. Individual or employee themselves sometimes are not aware of the motives. Determinants of motivation a. Individual\Employees: - under this expert try to find out their needs, aim and satisfaction levels. b. Organizational Components: - Under this employer considers organization structure, task, technology, facilities, organization environment which motives the employee. c. External Variables: - Under this, experts try to find out external environment, which affected the employee motivation. How to create proper motivation climate (i) Create condition where workers energy are not expanded totally in meeting their basic needs. (ii) Create climate for interdependent worker rather than dependency. (iii) Create competitive climates through reorganization of good work. (iv) Create a productive climate through personal efforts. (v) Create a climate for solving rather than avoidance. (vi) Motivate individually through guidance and counseling. Techniques of motivation employees (i) Clarify the task (ii) Create a consistent environment. (iii) Determine the desired behavior of staff or employee. (iv) Determine the type of rewards to be used. (v) Provide positive feedback to staff or employee. (vi) Encourage personal goal and its clarification. (vii) Remove organization obstacles, difficulties, etc.

Motivation Theories: Equity theory of Motivation John Stacey Adams, workplace and behavioural psychologist, put forward his Equity Theory on job motivation in 1963. There are similarities with Charles Handy's extension and interpretation of previous simpler theories of Maslow, Herzberg and other pioneers of workplace psychology, in that the theory acknowledges that subtle and variable factors affect each individual's assessment and perception of their relationship with their work, and thereby their employer. Awareness and cognizance feature more strongly than in earlier models, as does the influence of colleagues and friends, etc, in forming cognizance, and in this particular model, 'a sense of what is fair and reasonable'. We each seek a fair balance between what we put into our job and what we get out of it. Adams calls these inputs and outputs. We form perceptions of what constitutes a fair balance or trade of inputs and outputs by comparing our own situation with other 'referents' (reference points or examples) in the market place. We are also influenced by colleagues, friends, partners in establishing these benchmarks and our own responses to them in relation to our own ratio of inputs to outputs. Outputs are typically all financial rewards - pay, salary, expenses, perks, benefits, pension arrangements, bonus and commission - plus intangibles recognition, reputation, praise and thanks, interest, responsibility, stimulus, travel, training, development, sense of achievement and advancement, promotion, etc.

Inputs are typically: effort, loyalty, hard work, commitment, skill, ability, adaptability, flexibility, tolerance, determination, heart and soul, enthusiasm, trust in our boss and superiors, support of colleagues and subordinates, personal sacrifice, etc.

People need to feel that there is a fair balance between inputs and outputs.

If we feel are that inputs are fairly and adequately rewarded by outputs (the fairness benchmark being subjectively perceived from market norms and other comparables references) then we are happy in our work and motivated to continue inputting at the same level. If we feel that our inputs out-weigh the outputs then we become demotivated in relation to our job and employer. People respond to this feeling in different ways: generally the extent of demotivation is proportional to the perceived disparity between inputs and expected outputs. Some people reduce effort and application and become inwardly disgruntled, or outwardly difficult, recalcitrant or even disruptive. Other people seek to

improve the outputs by making claims or demands for more reward, or seeking an alternative job.

David c McClelland's motivational needs theory

American David Clarence McClelland (1917-98) achieved his doctorate in psychology at Yale in 1941 and became professor at Wesleyan University. He then taught and lectured, including a spell at Harvard from 1956, where with colleagues for twenty years he studied particularly motivation and the achievement need. He began his McBer consultancy in 1963, helping industry assess and train staff, and later taught at Boston University, from 1987 until his death. McClelland is chiefly known for his work on achievement motivation, but his research interests extended to personality and consciousness. David McClelland pioneered workplace motivational thinking, developing achievement-based motivational theory and models, and promoted improvements in employee assessment methods, advocating competency-based assessments and tests, arguing them to be better than traditional IQ and personality-based tests. His ideas have since been widely adopted in many organizations, and relate closely to the theory of Frederick Herzberg. David McClelland is most noted for describing three types of motivational need, which he identified in his 1988 book, Human Motivation:

achievement motivation (n-ach) authority/power motivation (n-pow) affiliation motivation (n-affil)

David McClelland's needs-based motivational model These needs are found to varying degrees in all workers and managers, and this mix of motivational needs characterizes a person's or manager's style and behavior, both in terms of being motivated, and in the management and motivation others. The need for achievement (n-ach) The n-ach person is 'achievement motivated' and therefore seeks achievement, attainment of realistic but challenging goals, and advancement in the job. There is a strong need for feedback as to achievement and progress, and a need for a sense of accomplishment. The need for authority and power (n-pow) The n-pow person is 'authority motivated'. This driver produces a need to be influential, effective and to make an impact. There is a strong need to lead and for their ideas to prevail. There is also motivation and need towards increasing personal status and prestige. The need for affiliation (n-affil) The n-affil person is 'affiliation motivated', and has a need for friendly relationships and is motivated towards interaction with other people. The affiliation driver produces motivation and need to be liked and held in popular regard. These people are team players.

McClelland said that most people possess and exhibit a combination of these characteristics. Some people exhibit a strong bias to a particular motivational need, and this motivational or needs 'mix' consequently affects their behaviour and working/managing style. Mcclelland suggested that a strong n-affil 'affiliationmotivation' undermines a manager's objectivity, because of their need to be liked, and that this affects a manager's decision-making capability. A strong n-pow 'authoritymotivation' will produce a determined work ethic and commitment to the organisation, and while n-pow people are attracted to the leadership role, they may not possess the required flexibility and people-centred skills. McClelland argues that n-ach people with strong 'achievement motivation' make the best leaders, although there can be a tendency to demand too much of their staff in the belief that they are all similarly and highly achievement-focused and results driven, which of course most people are not. McClelland's particular fascination was for achievement motivation, and this laboratory experiment illustrates one aspect of his theory about the affect of achievement on people's motivation. McClelland asserted via this experiment that while most people do not possess a strong achievement-based motivation, those who do, display a consistent behaviour in setting goals: Volunteers were asked to throw rings over pegs rather like the fairground game; no distance was stipulated, and most people seemed to throw from arbitrary, random distances, sometimes close, sometimes farther away. However a small group of volunteers, whom McClelland suggested were strongly achievement-motivated, took some care to measure and test distances to produce an ideal challenge - not too easy, and not impossible. Interestingly a parallel exists in biology, known as the 'overload principle', which is commonly applied to fitness and exercising, ie., in order to develop fitness and/or strength the exercise must be sufficiently demanding to increase existing levels, but not so demanding as to cause damage or strain. McClelland identified the same need for a 'balanced challenge' in the approach of achievement-motivated people. McClelland contrasted achievement-motivated people with gamblers, and dispelled a common pre-conception that n-ach 'achievement-motivated' people are big risk takers. On the contrary - typically, achievement-motivated individuals set goals which they can influence with their effort and ability, and as such the goal is considered to be achievable. This determined results-driven approach is almost invariably present in the character make-up of all successful business people and entrepreneurs. McClelland suggested other characteristics and attitudes of achievement-motivated people:

achievement is more important than material or financial reward. achieving the aim or task gives greater personal satisfaction than receiving praise or recognition. financial reward is regarded as a measurement of success, not an end in itself. security is not prime motivator, nor is status. feedback is essential, because it enables measurement of success, not for reasons of praise or recognition (the implication here is that feedback must be reliable, quantifiable and factual). achievement-motivated people constantly seek improvements and ways of doing things better.

achievement-motivated people will logically favour jobs and responsibilities that naturally satisfy their needs, ie offer flexibility and opportunity to set and achieve goals, eg., sales and business management, and entrepreneurial roles.

McClelland firmly believed that achievement-motivated people are generally the ones who make things happen and get results, and that this extends to getting results through the organization of other people and resources, although as stated earlier, they often demand too much of their staff because they priorities achieving the goal above the many varied interests and needs of their people.

Victor Vroom's Expectancy Theory of Motivation (1964)

Vroom presents us with the idea that people are influenced by the expected results of their actions. In one sense, what we do depends on what we believe we will gain from doing it. In Vroom's model three variables are identified, as described in the table below. Vroom's Variables Variable Description The motivational force / effort with which the individual will Force pursue a particular course of action. The attractiveness, or unattractiveness, to the individual of the outcome of that course of action. This is often given a grade of between +1 & -1.

Valence

+1 indicating an outcome which is highly attractive to the individual -1 indicating an outcome which is highly unattractive to the individual

0 indicating an outcome which is of no concern / interest to the individual and is therefore neither attractive nor unattractive. The individuals expectation, the perceived probability, that such an outcome will be achieved. This is also often expressed as a value between 1 & 0

Expectancy

1 indicating complete confidence that the outcome will be achieved. 0 indicating the perception that the outcome is impossible to achieve.

Vroom proposes that Motivational force is a function of Valence & Expectancy; this can be best conveyed by the formula. Force = Valence x Expectancy F=VxE Lets us consider the following example.

Example 1 Sales Department Example Let's consider one initiative to motivate staff, the offer of promotion within a sales department if certain sales targets are met. For one member of staff this is a highly attractive (Valence = + 0.9), but their portfolio of clients and past performance means they perceive achievement of the outcome, e.g. the sales target, almost impossible (Expectancy = 0.1). By applying the formula we see that the motivational force will be : F=VxE F = 0.9 x 0.1 = 0.09 Alternatively, another member of staff finds the possibility of promotion reasonably attractive (Valence = + 0.6), and based on their portfolio of clients, and past sales performance, they feel reasonably confident that they will achieve the sales target set (Expectancy = 0.8). Here we see that the motivational force is far stronger in comparison: F=VxE F = 0.6 x 0.8 = 0.48 The above example further underlines the individual nature of motivation, in that what might appear to be a universally appropriate means of motivating people, can actually have significantly differing effects on each individual.

ERG Theory
To address some of the limitations of Maslow's hierarchy as a theory of motivation, Clayton Alderfer proposed the ERG theory, which like Maslow's theory, describes needs as a hierarchy. The letters ERG stand for three levels of needs: Existence, Relatedness,

and Growth. The ERG theory is based on the work of Maslow, so it has much in common with it but also differs in some important aspects. Similarities to Maslow's Hierarchy Studies had shown that the middle levels of Maslow's hierarchy have some overlap; Alderfer addressed this issue by reducing the number of levels to three. The ERG needs can be mapped to those of Maslow's theory as follows:

Existence: Physiological and safety needs Relatedness: Social and external esteem needs Growth: Self-actualization and internal esteem needs

Like Maslow's model, the ERG theory is hierarchical - existence needs have priority over relatedness needs, which have priority over growth. Differences from Maslow's Hierarchy In addition to the reduction in the number of levels, the ERG theory differs from Maslow's in the following three ways:

Unlike Maslow's hierarchy, the ERG theory allows for different levels of needs to be pursued simultaneously. The ERG theory allows the order of the needs be different for different people. The ERG theory acknowledges that if a higher level need remains unfulfilled, the person may regress to lower level needs that appear easier to satisfy. This is known as the frustration-regression principle.

Thus, while the ERG theory presents a model of progressive needs, the hierarchical aspect is not rigid. This flexibility allows the ERG theory to account for a wider range of observed behaviors. For example, it can explain the "starving artist" who may place growth needs above existence ones. Implications for Management If the ERG theory holds, then unlike with Maslow's theory, managers must recognize that an employee has multiple needs to satisfy simultaneously. Furthermore, if growth opportunities are not provided to employees, they may regress to relatedness needs. If the manager is able to recognize this situation, then steps can be taken to concentrate on relatedness needs until the subordinate is able to pursue growth again.

Implementation of motivation in human resource management In each and every organization employees increase motivation skill to get better performance from their employee. Therefore, employees may use certain motivation

theories which give human resource manager an idea about employee with the help of motivation theory employer may be able to get or know: a. Identifying and understanding employee need. b. Examining the range of employee behavior. c. Clarifying goals and performance expectation. d. Ensuring that reward is closely related to performance. e. Ensuring that reward satisfies employee need. Motivation and performance Motivation is now considered as an important force behind the performance of employees. In simple way an employees performance can be defined interaction between ability and motivation therefore formula may be. Job performance = Ability * Motivation Steps for motivation and performance (i) Set the standard of performance. (ii) Examine the need and expectation of employee. (iii) Direct, guide, control and lead employees expectation as per the requirement of performance. (iv) Formulate a suitable performance evaluation system. (v) Formulate reward and punishment system based on wide range of incentive. (vi) Relate the performance appraisal system together with reward and punishment system constantly. These are the few steps given by some experts to maintain the employee & their performance for better productivity. Frustration and Conflict According to Luthans, Frustration access when a motivated, dame is blocked before an employee reach a desire goal. According to Richard, frustration refers to a psychological reaction to an abstraction to goal oriented behavior. When problem arise in the interpersonal relation, frustration and conflict arise. Thus, they are inevitable feature of organizational life. Employees needs are not filly satisfied, their goals are not achieve, and because of what dissatisfaction arise in the organization. Their dissatisfaction and tension will interfere in the job performance of employee. Therefore, when the employees are blocked or dissatisfied then non-attainment of goal immerges and employee will be frustrated. Whatever may be the reason; if frustration and conflict are not managed well they may adversely affect the mental health of manager and also t6he health of organization. Therefore frustration adversely affects the motivation of employees and the health of the organization. Its impacts on performance are also negative. It should be properly managed to increase the effectiveness in performance and employee. Barriers, which are the main causes of frustration a. Hostile supervisor.

b. Limited Resources. c. Unclear relation. d. Monotonous job. e. Unpleasant Working condition f. Economic insecurity. g. Lack of interest for the job. h. Goal differences. Forms of Frustration 1. Constructive 2. Defensive a. Aggression: - (i) Displacement (ii) Negatishi (iii) Fixation. b. Withdrawal.: - (i) Regression (ii) Repression (iii)Flight (iv) Resignation c. Compromise: - (i) Identification (ii) Rationalization. Job Satisfaction A good management is always interested in having and maintained a better work force, which is loyal to the other and its objective. It is possible only when employee feel inspired by the organization job satisfaction refers to an employee genera; attitude towards his job. According to experts job satisfaction is a positive emotional state returning from the approval of ones job or job experience. To the extent that a persons job fulfill his needs and its expectation values, the job will be satisfied. There are two major theories of job satisfaction. (a) Herzberds theory (b) Needs fulfillment theory According to Herzbers theory only part of esteem needs and self-actualization needs act as a factor of job satisfaction. Under the need fulfillment theory a person is satisfied if he felts that he wants. The more satisfied he is when he gets it and dissatisfied he is when he does not get it. Satisfaction is an emotional feelings a job is a type of position with in the organization. Therefore, job satisfaction is a employees positive emotional response to job or aspects of job. For Example. Promotion, supervision, working condition and work group are aspects of job. Job satisfaction indicate employee attitude towards the job. Relationship between job satisfaction and performance Here it was found that groups which were more satisfied with their jobs, they company and their pay and job status where not necessarily those which were better performance because job satisfaction is one of the important determinant of employee morale. More job satisfaction means high. Morale, which may be related to higher performance. The general opinion is that job satisfaction results in higher performance.

The relation between job satisfaction and performance may discuss, under the following different situation. 1) High performance and low job satisfaction. 2) Low performance and high job satisfaction. 3) High productivity and high job satisfaction. 1) High Performance and low job satisfaction: This situation may arise when techniques of scientific management such as times study, motion study, improve tools are applied to an organization. To improve productivity of other factor without any expectation of reward to individual or employee. 2) Low Performance and high job satisfaction: This situation is possible where supervisors or managers are of views that workers should be happy regardless of the effect on the productivity. 3) High Performance and high job satisfaction: This possibility may be that where their two variables are co-related with each other. It is the most favorable arrangement. The first two situations are short life where as third one is permanent and desirable. Methods of improving job satisfaction:1) Improve working condition. 2) Build up employee morale. 3) Occupation level. 4) Job content. 5) Pay and promotional opportunity. 6) Improve communication. 7) Leadership. 8) Educational Level. 9) Transferring employee.

PERFORMANCE APPRAISAL

People are differing in their abilities and attitudes. These differences are natural to a great extent and cannot be eliminated completely by giving them education and training. There will always be some differences in the quality and quantity of work done by different employees. Therefore, it is necessary to know the differences so that it may develop certain new program in the organization for those employees who pose better potentials so that they may be developed to accept the challenges. It is important to first define what is mean by performance; we can say that performance is defined as the record of outcomes produced on specific job function or activity during a specific time period. Appraisal means to evaluate or examine the things, Therefore performance appraisal is a systematic formal, appraisal, evaluation of an employees performance on the job and his/ her potential for assuming future responsibilities. Performance appraisal, personal rating merit rating or performance evaluation is one of the most important function of HRM. The HRM should know the differences in ability and attitude to develop various development programs in the organization to have an effective work force. Performance implies productivity measured in terms of effectiveness and efficiently performance appraisal is the process of evaluation of employees ability, i.e. ability to do work spirit of cooperation, managerial ability, self-confidence, initiative, intelligence etc. According to F.Cascio,Performance approval is the systematic description of the job relevant strength and weakness of an individual or group. According Wendell French Performance approval is the formal systematic arrangement of how well employers are performing their job in relation to establish standard and the communication of that assessment of the employees. Need and Uses of Performance Appraisal The information collected form performance appraisal is most widely used for compensation performance improvement staffing decisions, promotion, transfer, discharge, training need analysis, employees development and research and development. 1) Performance Management and Compensation: Supervisors or manager to mange the performance of employees may use performance appraisal information. Appraisal data can indicate employee performance, weakness which manager can refer to set goals and target levels for improvement of employees. Here to motivate employees to improve their performance and achieve their target goal supervisor or manager can use incentive such as performance to improve the effectiveness of employee.

2) Internal Staffing: Performance appraisal is also used to make staffing decision. The decision in where finding employees to fill up position in the organization or reducing the number of employees that exists in certain position. Many organizations use performance appraisal data to decide which employee to be promoted to fill up opening vacancy and which employee to return. Many Company used performance appraisal data to make decision about reducing the work. 3) Training Need Analysis: In one survey nearly 90% of respondent indicate that their forms use appraisal data to determining employee need for training and development 100 % of company including digital IBM, now used subordinate to execute their supervisors all managers. Much company has specific training modules based on appraisal rating for several job functions. 4) Supervising Understanding: Periodic appraisal encourage supervisor to absurd the job performance of there subordinates and takes and interest in helping them. This facility indicated mutual understating between supervisors and subordinated. 5) Reward Management: Performance appraisal serves as bases for decision regarding compensation towards and punishment. The linkage between effortsperformance rewards increases the motivation of employees. 6) Performance Feed Back: Performance appraisal is helped to find out strength and weakness of employees feedback can be given to employees about their performance rating. Future potential of employee can be identified and corrective action can be initiated to help employees and improve performance. Performance Appraisal Process 1) Determining Objectives: It is advisable to set the objectives of the performance appraisal. There may be two objectives of performance appraisal either to evaluate the actual performance of the individual on the job as to determine the potential of individuals to higher jobs or both. 2) Establishing Standard Performance: Now in second step it is necessary to establish the standard of performance against which their performance should be compared. The standard should be -------- to understand and they can be related to performance on the present job or to judge potential for future jobs. 3) Communicate Standards to Employees: The subordinates should be communicated about eh standard expected form them. Communication takes place when the information transformed by the managers in received and understand by the subordinate. Satisfactory feedback ensures that the information communicated by the manager has been received and understand. Under this step approval should be appointed. 4) Measure Actual Performance: The appraisal starts collecting the necessary information relating to jobs and the worked. Approval forms should be different

5)

6)

7)

8)

for different type of job. Under this step appraises may collect data from different sources that is personal observation, internal reports and special reports. After collecting this information approval evaluates the strength of employees by applying any of the methods of performance appraisal and estimates theyre potential for future development. Compare Actual Performance with Standard Performance: Under this step the actual performance is compelled with the standard comparison. Comparison is done to determine deviation if any between standard and actual performance. If appraisal finds any deviation it may be described as performance gap. Discuss the Approval With Employee: The apropos after completing the rating process discussed the situation process with the supervisor, union representative, top level management and then to the employee and define the performance level. This provides performance feedback to the employee. Specifically, discussion with employee has three goals: To Change behavior of employee if not meeting. To mountain the behavior if meeting. To recognize superior performance Corrective Action: The appraiser prepares the rational report and submits it to the review committee, which reviews the report and accepts it. Reviewer (Who do the review) interviews the employee on the basis of the report. The reviewer submits the report to the top executives who design various development programs or take corrective action to minimize the performance gap and to maintain the performance. Follow Up: The review of performance approval and the corrective points should be made frequently as a fellow up program. It should must probably be made yearly a half yearly.

Methods: 1) Absolute Methods a) Essay b) Check list c) Forced Choice d) Critical Incident e) 360 Appraisal f) Rations Scale g) BARS (Behavior Anchor Rating Scales) 2) Comparison Method a) Individuals Ranking b) Group Order Ranking c) Paired Comparison 3) Objective / Result Management by Objectives (MBO) 360 Appraisals

The Most comprehensive term of feedback that has gained popularity recently is 360 appraisals and it involves employees, supervisors, other higher level managers, subordinated etc. Such appraisal seeks to evaluate all sides and facts of an employee performance to gain the maximum amount of information available to them, sources (higher level managers, subordinated, peers etc) who observe that person in action. The objectives are to provide complete picture of the employees behavior as possible in order to provide an assessment that both developmental and informative. Reward Management 1) Meaning 2) Goals of rewards 3) Types of rewards 4) Qualities of rewards 5) Criteria for distribution rewards Reward Management 1) Meaning: According to Michael Armstrong Reward Management is essentially about designing, implementing is maintaining pay system which helps to improve organization. Reward consists of pay benefits services, job related benefits. Pay consists of wages and salaries. Benefits consist of Payment in addition to pay i.e.; holidays, vacations, pension, bonus, leave pay etc. Service consists of housing, food, and transport facility, children education. Job related services consist of promotion, more responsibility, job freedom, separate office, personal security, better working etc. 2) a) b) c) d) e) 3) a) b) c) Goal of rewards Management Acquire Competent employee Motivate Employee Ensure Equity Legal Compliance Cost effectiveness Types of Reward System Intrinsic and extrinsic Financial and non financial Performance based and membership based

1) Intrinsic: It is related to job satisfaction. It may be promotion, extra facilities 2) Extrinsic: It is related to money. It can be financial and non financial. Extrinsic Reward Financial Reward Non- financial Reward

Performance Based

Membership Based

a) Financial Reward: It consists of wage, salary, incentives, bonus, commission, holiday payment, pension etc. b) Non-Financial Reward: It consists of office furniture, separate office, job title; won business card, own personal secretary. Therefore, this nonfinancial reward is status based. Performance based reward It conserve of incentives, commission, bonus, peace work etc. 4) a) b) c) d) e) f) 5) a) b) c) d) e) f) Qualities of Reward Importance of employee Equitable Flexibility Visibility Competitive Cost Effective Criteria for Distributing Reward Seniority Skills head Performance Job difficulty Discretionary time Collective bargaining

Compensation Concept and Meaning The first vital component of any reward system is compensation plan; compensation has a close link with employee performance. Most of the managers still rely on financial reward as important methods to motivate, employee and enhance their performance. The benefits of a well design compensation plan are many. Many experiments were done in the past to assess the effectiveness of the compensation schemes as a method to improve originations performance. Similarly a variety of compensation schemes were designed and used by organization. The result of this experiment varied. However it was established by these experiments that financial reward

has a positive impact on employees satisfaction and performance. A flexible approach through compensation is necessary because of the change needs of employee and growing work force diversity. Therefore, compensation refers to all forces of financial reward received by employee. It arises from their performance. According to Milkonch, compensation refers to all forms of financial return; tangible services and benefits employee receive as a part of an employment relationship. According to T.N Chhabra, Compensation refers to a wide range of financial and non-financial reward to employee for their services render to the organization. Types of Compensation Direct Benefits Pay Base pay merit pay incentive indirect services

Determiners of compensation 1) Legal frame work 2) Union pressure 3) Organization compensation policies 4) Performance based 5) Job Evaluation 6) Competition 7) Organization Position 8) Equality 9) Cost of Living Steps in compensation management 1) Job Analysis - Job Description - Job Specification 2) Job Evaluation 3) Wage and salary survey 4) Pay structure Job Evaluation: the basic factors of job evaluation are: a) Duties and responsibilities of the job b) Skills required

c) Efforts needed for the job d) Working condition of the job Methods a) Job Ranking Methods: - Each job is compared with other job to determine the overall rank for this purpose specialist reviews the job analysis information. b) Job Grading Methods:- Under this method, grade is the group of different job requires similar skills, efforts and responsibilities. Specialist assign grade to each job. c) Point Method: - Under this method specialist assign points or marks to each jobholder according to his performance. Incentive Incentives are monetary benefits paid to employees in recognition of their outstanding performance. They can be defined as variable rewards granted according variation on the achievement of specific task or result. Incentive are direct compensation for performance they link reward to performance to enhance productivity. The management can think various incentives system. A number of incentive system can be derived to incurable and motivate employees to be more productive. There are incentive system, which is focused on individual performance and group performance. An individual incentive plan is designed to reward for individual employees for his/her performance. There are the most common types of incentive plan. An example of individual incentive. Plan is the place rate system, production bonus, commission, etc. Under individual incentive system pay is determined by employees performance. A potential problem that may be found in the use of individual incentive is the social pressure on the employee applied by his/ her fellow worker to restrict output. Group incentive plan design enhances performance under such group incentive system. Pay is based on group performance. Group incentive payment includes group income sharing, lump sum bonus etc. These are some problems in this incentive scheme. Inefficiency of single employee cannot identify in-group activities. Hence such efficiency is also rewarded. Organization incentives produce reward for all employees performing in the organization because reward is linked to the overall performance of the organization. The only goral is to motivate the employee towards goal achievements. Organizational incentive payment includes profit sharing, differed sharing, lump sum bonus etc.

DISCIPLINE Concept The place of discipline cannot be ignored in the industrial economy of a country. A discipline, work force can meet the challenges of the production and can achieve. The

organization objectives in a better way. It promotes co-operation among workers and the moral of people at work. It is an inner feeling fro the worker to observe the discipline in the industry and contribute their sincere efforts in eh interest of the organization. Discipline in simple word means working, co-operating and behaving in a normal and orderly way. It means following of rules and regulation. It is inner feeling of an individual that prompts him to work in a systematic and orderly manner without any direction from any one. For an industrial organization discipline means to follow rules regulation and procedure systematically by its workers in the manner in which they are prepared and converged. According to Robbins,Discipline refers to a condition in the organization when employees conflict themselves in accordance with the organization rules and standards of acceptable behavior. Discipline is a force that prompts an individual or group to observe the rules, regulation and procedure which are seems to be necessary for the effective functioning of an organization.

Objectives 1) Acceptance: To obtain a willing general acceptance of the rules, regulation and procedure of an organization so that organizational goals may be attained. 2) Adjustment: To develop amount the workers the feeling of co-operation, a sprit of tolerance and a desire to make adjustment, so as to get the work done in odd circumstance too. 3) Direction: To give and seek direction and responsibility so that the work is done in a responsible manner. 4) Human Relation: To create an atmosphere of respect for the human personality and human relation and to maintain good industrial relation. 5) Efficiency: To provide the industrial moral and efficiency among the workers to get the best results at the minimum cost. Types of Discipline a) Self impaired discipline (Positive Discipline) It involves the creation of an attitude and organization climate in which employee willingly confirm to rules and regulation. Positive discipline emphasizes the concept of self-discipline and self-control. b) Negative Discipline Negative discipline use different forces to secure the desire action. It is also known as autocratic discipline. It insists penalties in care of violation of any sales. Penalties may be inform of warnings, fines, lay off, demotion or transfer.

Management should use both positive and negative approaches. An employee should be given first of all and opportunity for positive discipline if he fails to respond negative discipline should be improved/ used. Types of Discipline Problems 1) Attendances: A serious disciplinary problem-facing manager is undoubtly. Absenteeism, herding, sick leave and other aspects of attendance are the foremost problem in an organization. 2) On the Job Behavior: This type of discipline problem includes in subordinate, lighting, gambling, carelessness and the main burning problem is of alcohols and drugs. 3) Dishonesty: - one study found that 90% of the surveyed organizations would discharge employees for theft. Similarly 88% would discharged those employee who were found to have wrong information an their employment application. It is assumed that an employee who lies once cannot be trusted and must therefore be separated from the organization. 4) Outside activities: - includes unauthorized strike, working for a competing organization, outside criminal activities like smuggling. Courts have recently acted to protected employees from punishment by mgt for the off-the job actions. However, off the job activities must fall within the acceptable standards of the organization. General guidelines in administrating discipline 1) Make disciplinary action corrective. 2) Make disciplinary action progressive. 3) Discipline should follow the hot-stove rule 4) Follow natural justices.

Disciplinary Action: The management starts the procedure for taking disciplinary action against worker by giving him, charge sheet. Charge sheet is not a punishment. It is merely notice of a charge. That the worker is responsible for some misconduct. 1) 2) 3) 4) 5) Procedure for disciplinary action An accurate statement of the disciplinary problem Collection of data or facts Selection of tentative penalties Choice of penalties Application of penalty

6) Follow up on the disciplinary action. In case of progressive disciplinary action following steps are taken. 1) Oral warning 2) Written warning 3) Suspension or layoff 4) Pay cuts 5) Demotion.