HRM - Full Sayalabus

Unit I Human Resource Management
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Meaning and Definition

HRM is a management function that helps managers recruit, select, train and develop members of an organisation.
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HRM Definition
A series of integrated decisions that form the employment relationship; their quality contributes to the ability of the organisations and the employee to achieve their objectives.
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HRM Definition
Is concerned with people dimension in management. Since every organisation is made up of people, acquiring their services, developing their skills, motivating them to higher levels of performance and ensuring that they continue to maintain their commitment to the organisation are essential to achieving organisational objectives.
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HRM Definition
Management is the planning, organising, directing and controlling of the procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organisational and social objectives are accomplished.
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Scope of HRM
HR Planning Job analysis and Design Recruitment and Selection Orientation and Placement, Training and Development Performance appraisal and Job Evaluation Employee and Executive Remuneration Motivation and communication Welfare, Safety and Health Industrial Relations (IR)
Importance of HRM
Social Significance Professional Significance Significance for individual enterprise
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Importance of HRM
Social Significance Balance the jobs available and job seekers Provide suitable and productive employment Maximise utilisation of the resources effectively Eliminate waste or improper use human resources Help people make their own decisions
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Importance of HRM
Professional Significance Maintain dignity of the employee as human Provide maximum opportunities for personal development Provide healthy relationship to different work groups Improve skills and capacities Minimise wrong postings, allocate work properly
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Importance of HRM
Significance for Individual Enterprise Create right attitude among employees through effective motivation Utilise the available human resources effectively Secure co-operation of the employees: achieve goals, psychological needs- love, affection, belongingness, esteem and self actualisation
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Difference between HRM & PM

HRM views people as an important source or asset to be used for the benefit of organisation, employees and the society. Philosophy of mutuality: mutual goals, mutual respect, mutual rewards and mutual responsibilities. Shifting to SHRM
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Difference
between HRM & PM
PM has limited scope and an inverted orientation Viewed labour as a tool for benefits of the organisation Personnel Dept not respected, no productive employees PM treated as routine activity meant to hire new employee and maintain personnel records Never part of strategic management of business.
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Dimension Personnel Human Resource
Employment Contract Rules

Guide to Mgnt. Action Behaviour referent
Written, delineated Clear

Procedures Norms/ Customs and Practices
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Aim to go beyond contract Outlook, Impatience Business Needs

Values/Missions
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Managerial/ Labour task

Key Relations
Monitoring
Nurturing
Customer Integrated Transformational Leadership Fast
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Labour Management Initiatives Piecemeal (slow) Management Role Transactional

Speed of decision
Slow
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Communication
Prized Management skill Selection Pay Conditions
Indirect
Negotiation Separate, Marginal task Job Evaluation (Fixed grades) Separately negotiated
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Direct
Facilitation Integrated, key task Performance based Harmonisation
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Labour Management
Collective bargaining contracts
Individual contracts
Job categories and grades

Job design
Many
Few
Division of labour Team work Manage climate and culture Learning companies
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Conflict handling Reach temporary truce Training & Controlled access Development to courses
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Intervention focus
Personnel procedures
Respect for employees
Wide rangingcultural, structural and personnel strategies Labour treated People are treated as tool: as assets to expendable and benefit replaceable organisation/ employees/society

Dimension
Shared interests
Personnel
Human Resource
Evolution
Organisational interests are uppermost Precedes HRM
Mutuality of interests
Latest in the evolution of the subject
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Objectives of HRM - 4
1. Societal: To be ethically and socially responsible to the needs and challenges of society while minimising the negative impact of such demands upon the organisation. 2. Organisational: To recognise the role of HRM in bringing about organisational effectiveness.
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Objectives of HRM
3. Functional:
To maintain the departments contribution at a level appropriate to the organisations needs.

4. Personal: To assist employees in achieving their personal goals, at least insofar as these goals enhance the individuals contribution to the organisation.
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HRM Objectives and Functions

HRM Objectives 1. Societal Supporting Functions 1.Legal Compliance 2.Benefits 3.Union management relationship
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HRM Objectives 2. Organisational Supporting Functions 1.Human Resource Planning 2.Employee Relations 3.Selection 4.Training & Development 5.Appraisal 6.Placement 7.Assessment
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HRM Objectives
Supporting Functions
1.Appraisal 2.Placement 3.Assessment
3. Functional
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HRM Objectives
Supporting Functions
1.Training & Development 2.Placement 3.Assessment 4.Compensation
4. Personal
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Image & Qualities of HR Manager

Fairness & Firmness Tact and resourcefulness Sympathy and consideration Knowledge of labour other terms Broad Social outlook Competence
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HR Policies
A policy is plan of action. Is a statement of intention committing the management to general course of action. Policy contains HR programmes, expression of philosophy and principles. Policy are required for basic needs, consistency in treatment & continuity
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Evolution of HRM
HRM emerged in 1970s Kautilyas Arthashastra in 4th BC Babylonian Code of Hammurabi 1800 BC minimum wage rate & incentive wage plan In India since 1920: First world war, emergence of trade union The Royal Commission (1931): Labour Welfare Officers : Selection of workers and settle grievances.
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Evolution of HRM
Factories Act (1948) Welfare officers compulsory in industries employing 500 employees IIPM Kolkata, NILM in Mumbai : (Jute and textiles) Second World War : increased expectations of the workers: IR and Personnel admn integrated as PM 1970: Shift from welfare to efficiency. 1980: HRM and HRD Challenges 1990: Human value and productivity through people. 2000: Shifting to SHRM
Demand & Supply Gap
Surplus
Demand
HRP
Compare Shortage
Surplus
Supply
Compare Shortage
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Forecasting Personnel Needs

Trend Analysis studying variations in firms
employment levels over the last few years.
Ratio Analysis making forecasts based on

historical ratio between Causal factor (like sales volume) and the number of employees required
The Scatter Plot two variables are related Computerized Forecasts more variables taken
into consideration
Determining the relationship between hospital size and number of nurses

1000
Size of hospital (no. of beds) 200 300 400 500 600 700 800 900
Number of Nurses 240
900 800 700 Number f nurses
260 470 500 620 660 820 860
600 500 400 300 200 100 0
Hospital Size (no. of nurses)
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Forecasting supply of inside candidates Manual systems and Replacement charts Computerized information systems The matter of privacy Forecasting the supply of outside candidates From magazines From web portals etc
Any Queries???
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Summing up
Definition Difference between HRM & PM Evolution Objectives Scope Importance HR policies Demand & Supply forecasting techniques
Unit II
Employment of Human Resources
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Managing Human Resources

Human Resource (HR) Planning The process by which managers ensure that they have the right number and kinds of people in the right places, and at the right times, who are capable of effectively and efficiently performing their tasks. Helps avoid sudden talent shortages and surpluses.
Steps in HR planning:
Assessing current human resources Assessing future needs for human resources
Developing a program to meet those future needs
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Current Assessment
Human Resource Inventory
A review of the current make-up of the organizations current resource status Job Analysis
An assessment that defines a job and the behaviors necessary to perform the job.
Knowledge, skills, and abilities (KSAs)
Requires conducting interviews, engaging in direct observation, and collecting the self-reports of employees and their managers.
Job Analysis & Design
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Objectives
Establish and document the job relatedness of employment Produce a basic job description of the job to facilitate the selection of appropriate personnel Determine training needs Form work groups and teams Determine compensation Evaluate performance Improve quality and productivity
Various aspects of a job to be analyzed

Duties and tasks Environment Tools and equipment Relationship Requirements
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Job Description
JD is a written statement of the duties, responsibilities, required qualification, and reporting relationships of a particular job. It includes the information about working conditions, equipment used, knowledge, and skills needed, and relationships with other positions.
Produce an outline of the broad responsibilities (rather than detailed tasks) involved in the job.
Job Specification
Specifies the minimum acceptable qualifications required by the individual to perform the task efficiently. It also specifies not only educational qualifications but also certain personality characteristics that may be required specifically for a job.
Someone will need to do the job as defined in the task analysis and job description.
Job Evaluation
The relative value of each job in an organization. It basically serves the purpose of compensation procedures. It is useful to tool for making decisions about the compensation to be attached with a particular position.
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Job Design
Job design has emerged as an important area of job analysis. It is based on growing conceptual and empirical base and has command research attention and is being widely applied to actual practice of management
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Job Rotation
An alternation to boredom in work place is job rotation. Job rotation implies moving of employees from one job to another without any fundamental change in the nature of job. The employee may be performing different jobs that are of similar nature.
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Job Enlargement
It involves adding more tasks to a job. It is horizontal expansion and increase jobs scope and gives a variety of tasks to the jobholder. It is essentially adding more tasks to a single job. It definitely reduces boredom and monotony by providing the employee more variety of tasks in the job.
Job Enrichment
Another approach to designing jobs is job enrichment. Job enrichment involves vertical expansion of job by adding more responsibilities and freedom to it. Job enrichment is the type of expansion of a job that gives employees more challenge, more responsibility, and more opportunity to grow and contribute his or her ideas to the organization's success.
Recruitment
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Definition & Meaning

How to Attract a Pool of Candidates Who are Qualified, Diverse, and Interested in the Job You Have Open Recruitment is the process of acquiring applications for specific positions to be filled in the organization. In other words it a process of searching for and pooling of applications for jobs, so, that the right people may get selected. A process for searching for prospective employees and stimulating and encouraging them to apply for jobs in the organization.
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Sources of Recruitment
Internal Sources
Promotions from within Employee referral Former employees Previous applicants
External Sources
Walk-in/write-in Advertising Employment exchanges Campus Recruitment Professional Associations
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The 5 Ws of Recruitment
What is the job / Position ? Who do you want to fulfill this requirement ? Where will you find the person/people to do it .? What will you do to make them volunteer for your organization? Why will they volunteer for you ? ( i.e what will motivate them to come on board with you . ?)
Recruitment Procedure
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Retain your employee to create the difference

The secret to employee attraction is employee retention. If a compnay has what it takes to keep its existing employees satisfied and productive, it similarly has what it takes to bring in new talent.
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Selection
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Selection
Selection involves a series of steps by which the candidates are screened for choosing the most suitable persons for vacant posts. The process of selection leads to employment of persons who possess the ability and qualifications to perform the jobs, which have fallen vacant in an organization. The basic purpose of the selection process is to choose right type of candidates to man various positions in the organization. In order to achieve this purpose, a wellorganized selection procedure involves many steps and at each step, unsuitable candidates are rejected.
The Challenge
Selection is a critical process Locating The Right Person Requires a huge investment of money to get right types of people. Structure of Selection Process that helps companies to test for fit Employment Tests to rightly judge the capabilities of candidates Selecting people who possess the ability and qualifications to perform the jobs.
Selection Procedure
Preliminary Interview Application Blank/ Receiving Applications Screening of Applications Employment Test
Intelligent tests Aptitude tests Personality tests Projective tests Interest tests Achievement tests Other tests
Selection Interview (Structured/Unstructured/Stress) Physical Examination Checking References Final Selection

Placement Procedures
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Objectives
Remove fears
The job, its content, policies, rules and regulations. The people with whom he is supposed to interact The terms and conditions of employment
Creates a good impression

Adjust and adapt to new demands of the job Get along with people Get off a good start
Organizational issues
History of the Company Names and titles of key executives Probationary period Disciplinary procedure Employee hand book Safety steps Prof Mamatha, VVISM Etc.
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Objectives (Contd)
Employee benefits
Pay scales Vacation, holidays Rest pauses Training avenues Counseling Insurance, medical and retirement benefits To supervisors To co-workers To trainers To employee counselors Prof Mamatha, VVISM
Introduction
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Objectives (Contd)
Job duties
Job location Job tasks Job safety needs Overview of jobs Job objectives Relationships with other jobs
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INDUCTION
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Orientation / Induction
Transitioning a new employee into the organization.
Work-unit orientation
Familiarizes new employee with work-unit goals
Clarifies how his or her job contributes to unit goals

Introduces he or she to his or her coworkers
Organization orientation
Informs new employee about the organizations objectives, history, philosophy, procedures, and rules.
Includes a tour of the entire facility
Promotions, Demotions, and Transfers

Promotions refer to upward movement of an employee from the present position to another one with increased responsibilities, pay, status, and prestige. A transfer is a change of job assignment. It may be linked with promotion or there may not be any change at all in a status of responsibilities. Transfer is horizontal move. Demotion is the downward movement of an employee in the organizational hierarchy with lower status and pay. Prof Mamatha, VVISM 64
Separations, Downsizing, Layoff & Retrenchment
Separations:
Long leave of absence Resignations Retirement Death
Downsizing, Layoff & Retrenchment:

Suspension of an employee Dismissal of an employee Exit interviews
QUERIES!!!
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Summingup
HRP Job Recruitment Selection Placement Induction/Orientation Promotions, Transfers, Separation, VRS, etc
Unit III
Development of Human Resources
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Training & Development

VVISM, PGDM II SEM, HRM
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Definition of Training and Development

Training is an individual means to help him to learn how to carry out his present job satisfactorily.
Development can be defined as preparing the individual for a future job -John P. Jkenny
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Purpose of Training
2400 years ago, Confucius declared: "What I hear, I forget. What I see, I remember. What I do, I understand.
The purpose of training is to provide information and skills that participants will use in the real world. Participants must be actively involved during the session if they're going to integrate and remember the information
Development
Development isn't restricted to training it's anything that helps a person to grow, in ability, skills, confidence, tolerance, commitment, initiative, inter-personal skills, understanding, self-control, motivation, and more.
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Why Training a bird with wings

INFOSYS Next Generation Excellerators
Excellent Communication Skills Adaptive, Adept Consistent, Flexible Informed, Inspired, Imaginative Efficient, Human, Honest Respect for Competition Empowered to scale new domains People committed to enhancing quality ventures every day Simple solutions to complex problems World Changer, Value creator Powered by intellect and driven by values
Training & Development Distinctions

Learning Training Dimension Who What Why When Non-managers
Technical Mechnaical Oper.
Development Managers Theoretical Conceptual ideas General knowledge Long run

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Specific job related info. Short term
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Goal of Training & Development

Microsoft
The goal of Training & Development at Microsoft is to achieve an optimal match between each employee's professional growth and Microsoft's business objective
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TRAINING CYCLE
Step 1 Identifyin g learning requireme nts Step 5 Evaluating Training Step 2 Establishi ng learning objectives
Step 4 Delivering training
Step 3 Designing and planning

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Exercise What topics will you decide for Senior Managers, Middle, Staff and workers -Reasons
Communication Skills .Effective Decision Making Skills .Building High Performance Teams to complete projects .Proactive steps to overcome Organizational negativity .Developing Creative Strategies for complex problems .Building effective Inter & Intra-personal relationships to get results .Time Management skills .Emotional Intelligence at work .Leadership without Authority .Professional Assertive Communication .Stress Management skills .Conflict Resolution Techniques
Assignments
Groups Articles Games
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Learning Theory
A relatively permanent change in behaviour that occurs as a practice or experience Bernard Bass
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Learning Curves
1.Standard learning curve
( assumption that all learners are alike in their acquisition of knowledge and the task to be learned or information to be acquired is fairly straight forward)
2. Differing rates of learning

(Those who have difficulty in relating the task to their past experience and knowledge, who are not suitably motivated or or are affected by other psychological constraints have a slower start e.g.:APDISCOM)
3. Learning Plateau
(Learners reach a of standstill-wrong assumption of limit of capacity-learner absorbing/un learning Solution-Analyse, reinforce, incentive, bridge )
On-the-Job Training
Advantages No specific facilities needed Real life situation/not simulated Productivity Trainee establishes relations from start No off-the-job cost Learning can be controlled Disadvantages Risk to machines and increase in scrap Part-time instructor may lack skill in training Lack of time due to pressure of production Psychological pressure before experienced workers
Off -the- Job Training

ADVANTAGES
Relaxed atmosphere,away from home and work, no distractions Specific difficulties are easier to explore Test hypotheses and ideas in low risk environment Improves morale and motivation for selfdevelopment
DISADVANTAGES
Cost of external facilities Difficulty of simulating work problems Resistance of trainees being away from home(lengthy training)
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The Three Classifications of Information

1.Must know
(Essential for success/TNA/e.g.:safety rules, hygiene requirements)
2.Should know
(Relates directly to must know, and elaborates e.g.:other practices/not statutory))
3.Could know
(Useful background /not directly assist in its effective execution, e.g.:historical details, future areas of interest, general information)
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How Adults Learn?

1.Learning is a voluntary process (Benefit,T-interesting) 2. Responsibility increases learning
(increase, learning/retaining)
3. Learning builds on existing knowledge

(learning capacity-range of experiences,T-background)
4. Learning moves from simple to complicated

(step-by-step,bridging new knowledge to old, verify)
5. Each person learns at his own pace

(let the flower blossom on its own)
6. Adults learn best by doing(provide opportunities to do use

the learning, case, game, role play)
It is vital to a valuable education that independent critical thinking be developed in the young human being, a development that is greatly jeopardized by overburdening him too much and with too varied subjects. Overburdening necessarily leads to superficiality. Teaching should be such that what is offered is perceived as a valuable gift and not as a hard duty -Albert Einstein
Thank you..
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Setting Objectives
Why set objectives?
1. Provide direction(what is to be achieved) 2. Emphasize standards(e.g..20 min,5 mistakes) 3. Provide consistency (e.g..overall dev.section)
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Difference between Aims and Objectives
Aims: General purpose which provides a direction or statement of intent-desired outcome

e.g.: aiming at a target
Objective:spells out how and when this is attained-fairly explicit

e.g.:hitting the bulls eye
Who decides the Course Objectives?

Senior Management
(Without the backing of senior management there can be little hope of acceptance of any training program-integral part of the companies philosophy)
Line Management
(must feel direct benefit-involve line management in developing content and course objectives)
Delegates
(win the hearts and minds of delegates-tell the benefits of the
course)
Points to consider in Setting Objectives

1. Realistic 2. Relevant 3. Positive 4.Certain 5.Justifiable
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Performance Appraisal - Definition

Performance Appraisal is a process of evaluating an employees performance of a job in terms of requirements Performance Appraisal is a process of estimating or judging the value, excellence, qualities or status of an object, person or a thing Performance Appraisal is a process of evaluating the performance and qualifications of the employees in terms of the requirements of the job for which he is employed for purposes of administration including placement, selection for promotions, providing financial rewards and other other actions which require different treatment among the members of a group as distinguished from actions affecting all members equally
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Importance and Purpose of PA

PA provides useful in making decisions regarding various personal aspects such as promotions, merit increases etc. PA forms a basis for judging the effectiveness of personnel subdivisions such as recruiting, selection, training & Compensation PA helps easier for managers to see which employees need training and counseling. PA seeks to provide adequate feedback to each individual for his or her performance PA purports to serve as a basis for improving data to managers with which they may judge future job assignments and compensation
Objectives of Performance Appraisal

To enable an organisation to maintain an inventory of the number and quality of all managers and to identify and meet their training needs and aspirations To determine increment rewards, and provide a reliable index for promotions and transfers to positions of greater responsibility To maintain individual and group development by informing the employee of his performance standard
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Objectives of Performance Appraisal

To suggest ways of improving the employees performance when he is not found to be upto the mark during the review period To identify training and development needs and to evaluate effectiveness of training and development programs
To plan career development, human resources planning based on their potential.
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Criterias for assessing performance
Quality Quantity Timeliness Cost effectiveness Need for Supervision Interpersonal impact Training
Approaches to Performance Appraisal

A Casual, unsystematic and often haphazard approach This method was used in the past, main basis being seniority or quantitative measures of quality and quantity of output for the personnel Traditional and highly systematic measurement Employee characteristics, employee contributions. The ratings obtained of separate personnel are comparable. Behavioral approach, emphasing mutual goal setting Supervisor judges and at times critizes the personal. Emphasis has been laid both by the appraiser and the appraisee.
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Methods, Techniques or Tools for appraising performance
Methods include Traditional and Modern Methods
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Methods of Performance Appraisal

Traditional Method
Modern Method
Straight Ranking Method Man-Man Comparison Method
Assessment Centre
Graphic Rating Scales Forced Choice Description Method Forced Distribution Method Check Lists
Free Form Essay Method Critical Incidents Group Appraisal Field Review Method Prof Mamatha, VVISM
Appraisal by Results or Management by Objectives Human Asset Accounting Method Behaviourly Anchored Rating Scales
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Traditional methods of Performance Appraisal
Straight Ranking Method

This is the oldest and simplest method of Performance appraisal, by which man and his performance are considered as an entity by the rater. Employees are appraised in order of merit and placed in a simple grouping. This is the simplest method of separating the most efficient from the least efficient.
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Man-Man Comparison Method:

This technique was used by the USA army during the I World War. By this method, certain traits are selected for the purpose of analysis such as Leadership, dependence and initiative. A scale is designed by the rater for each factor. Each man to be rated is compared with the man in the scale and certain scores are awarded to him. This method is used in job evaluation, and also known as Factor comparison method.
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Grading method:
Under this system, the rater considers certain features and marks them accordingly to a scale. Selected features may be analytical ability, co-operativeness, dependability, job knowledge, judgement etc
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Graphic or linear Rating Scale:

Most commonly used method of Performance appraisal Each person to be rated in this type Employee characteristics such as initiative, leadership, dependability, attitude, creativity, decisiveness etc will be considered for rating Employee contribution includes quantity of work, quality of work, responsibilities, target achievers, attitude towards superiors etc These traits are evaluated on a continuous scale and the rating is generally subjective.
Forced Choice Description Method:

This method was evolved with a great deal of research conducted for the military services during World War II. This attempts to correct a raters tendency to give consistently high or low ratings to all the employees. In this the rating elements are sets of pair phrases relating to job proficiency or personal qualifications.
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Forced distribution Method

This method evolved by Joseph Tiffin after statistical work. This is used to eliminate or minimise raters bias, so that all personnel may not be placed at the higher end or lower end.
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Checklist
Under this method, the rater does not evaluate employee performance. He supplies reports about the employees to the HR department Checklist points include
Is the employee really interested in his job? Is he regular on his job? Is he respected by his subordinates? Does he show uniform behaviour to all? Does he give recognition and praise to employees for work done well? Does he ever make mistakes?
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Free Essay Method

Under this method, the supervisor makes a free form, open-ended appraisal of an employee in his own words and puts down his impressions about the employee. No attempt is made to evaluate an employee in a quantitative manner.
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Critical Incident Method:
This method was developed following research conducted by the armed forces in the US during World War II. The basis of this method is the principle that there were certain significant acts in each employees behaviour and performance which make all the difference between success and failure on the job. The supervisor keeps a written record of the events that can be easily be recalled and used in the course of a formal appraisal. Feedback is provided about the incidents during performance review session. The collected incidents are then ranked in order of frequency and importance This method provides an objective basis for conducting a discussion of an individuals performance
Group Appraisal Method:

Under this method, employee are rated by an appraisal group consisting of their supervisor or three to four other supervisors who have some knowledge of their performance. The supervisor explains to the group the nature of his duties and the group then discusses the standards of performance for that job. Advantage of this method is simple and no bias but this is time-consuming.
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Field Review method:

Under this method, a trainer employee from the personnel department interviews line supervisors to evaluate their respective subordinates. The supervisor is required to give his opinion about strengths and weaknesses The appraiser takes complete details and the supervisor maintains record of this for each personnel. This system is useful for a large organisation,
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Modern methods of Performance Appraisal
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Management by Objectives (MBO)

This method has been evolved by Peter Drucker. MBO is potentially a powerful philosophy of managing and an effective way of operationalising the evaluation process. MBO seeks to minimise external controls and maximise internal motivation through goal setting between the manager and the subordinate and increasing the subordinates own control of his work. This strongly reinforces the importance of allowing the subordinate to participate actively in the decisions that affect him directly
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Management by Objectives (MBO)
MBO has defined as

A system approach to managing the organisation, where those accountable for directing the organisation first determine where they want to take the organisation. A process requiring and encouraging all key management personnel to contribute their maximum by achieving the overall objectives An effort to blend and balance all the goals of all key personnel and An evaluation mechanism
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Objectives of MBO

The objectives is to change the behaviour and attitude towards getting the job done. It is management system and philosophy that stress goals rather than methods It provides responsibility and accountability and recognised that employees have needs for achievement and self fulfilment.
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Management by Objectives - Process
MBO has five steps

Set organisation goals Joint goal setting Performance reviews Set checkposts Feedback
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Benefits of MBO
MBO helps and increases employee motivation because it relates overall goals to the individuals goals and helps to increase an employees understanding of where the organisation is and where it is heading
Managers are more likely to compete with themselves than with other managers. This will reduce internal conflicts MBO reduces role conflict and ambiguity.
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Benefits of MBO
MBO forces and aids in planning MBO identifies performance deficiences and
enables the management and the employees to set indivisualised self improvement goals and thus proves effective in training and development of people.
MBO helps the individual manager to develop
personal leadership, especially skills of listening, planning, counselling, motivating and evaluating
Assessment Centre Method

The assessment centre concept was initially applied to military situations by Simoniet in the German Army in 1930s and the War selection board of the British Army in the 1960s. The purpose of this is to test the candidates in a social situation using number of assessors and variety of procedures. In this process, many evaluators join together to judge employee performance in several situations with the use of variety of criteria. Assessments are made to determine employee potential for purpose of promotion. Assessment is generally done with the help of couple of employees and involves a paper and pencil test, interviews and situational exercises.
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Purpose of Assessment Centres
To measure potential for first level supervision, sales and upper management positions and also for higher levels of management To determine individual training and development needs of employees To select recent college students for entry level positions To make an early determination of potential To assist in implementing affirmative action goals
Human Asset Accounting Method
This refers to activity devoted to attaching money estimates to the value of a firms internal human organisation and its external customer goodwill. This is not very popular because two types of variable measures must be made over several years to provide the needed data for the computation of the human asset accounting.
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Behaviourly Anchored Rating Scales (BARS)

This is a new appraisal technique which has recently developed. This provides better , more equitable appraisals as compared to other techniques The procedure of BARS is usually five stepped

General critical incidents Develop performance dimensions Reallocate incidents Scale of incidents Develop final instrument
Advantages of Behaviourly Anchored Rating Scales (BARS)

A very accurate gauge, since BARS is done by experts in the technique Clear standards Feedback Independent dimensions Rater independence
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After studying this chapter, you should be able to:

1. Compare employers traditional and career planningoriented HR focuses.
2. Explain the employees, managers, and employers career development roles.

3. 4. 5. Describe the issues to consider when making promotion decisions. Describe the methods for enhancing diversity through career management. Answer the question: How can career development foster employee commitment?
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The Basics Of Career Management

Career Management Career Development
Employees Careers
Career Planning
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The Employers Role in Career Development

Realistic Job Previews Networking and Interactions
Challenging First Jobs
Employers Role
Mentoring
CareerOriented Appraisals
Job Rotation
Managing Promotions and Transfers

Making Promotion Decisions
Decision 1: Is Seniority or Competence the Rule?
Decision 2: How Should We Measure Competence?
Decision 3: Is the Process Formal or Informal?
Decision 4: Vertical, Horizontal, or Other?
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Career Management and Employee Commitment

Comparing Yesterdays and Todays Employee-Employer Contract
Do your best and be loyal to us, and well take care of your career.
Old Contract:
Do your best for us and be loyal to us for as long as youre here, and well provide you with the developmental opportunities youll need to move on and have a successful career.
New Contract:
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Career Management and Employee Commitment (contd)

Commitmentoriented career development efforts
Career Development Programs
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Career Management and Employee Commitment (contd)

Career Development Programs
Commitmen t-Oriented Career Developmen t Efforts
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Attracting and Retaining Older Workers

Create a Culture that Honors Experience
HR Practices for Older Workers
Offer Flexible Work
Offer Part-Time Work
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Taking Steps to Enhance Diversity: Womens and Minorities Prospects

Take Their Career Interests Seriously
Institute Flexible Schedules and Career Tracks
Eliminate Institutional Barriers
Eliminate the Glass Ceiling

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Improve Networking and Mentoring

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Identify Your Career Anchors

Technical/ Functional Competence
Security
Managerial Competence
Autonomy and Independence
Creativity
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Coaching & Mentoring
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Personal Coaching
Personal Coaching is a distributed training and development method where individuals regularly interact with and are accountable to a personal coach for an extended period of time, to achieve agreed learning outcomes
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Mentoring
Mentoring is a tool that organizations can use to nurture and grow their people. It can be an informal practice or a formal program. Protgs observe, question, and explore. Mentors demonstrate, explain and model. The following assumptions form the foundation for a solid mentoring program.
Deliberate learning is the cornerstone. Both failure and success are powerful teachers. Leaders need to tell their stories. Development matures over time. Mentoring is a joint venture.
Mentoring is distinct from coaching

Mentoring
Broad long-term level-distant cross-functional providing guidance
Coaching
Job specific Short-term Level-close Same-function Giving advice
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Mentoring is distinct from coaching Mentors Nurture whole person Draw forth untapped talent Encourage & Inspire Guide from the heart Accelerate learning & empowerment Coaches Provide job coaching Focus on job skills Groom for a particular position Evaluate performance Reward job learning
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Evolution
Traditional New Age
Focus on career Focus on leadership advancement Mentee (protg) driven Mentor as protector Multiple mentors Single mentor Democratic, potentially Clone look-alike, think helpful to every member of alike, act-alike workforce Elitist Knowledge needs Process centred Mentees are often better educated & technically Mentors are older, wiser, Prof Mamatha, VVISM 136 competent more experienced
Why Mentoring
Encourages knowledge sharing Both parties Develop Encourages teamwork Addresses specific issues or skills Supplements on-the-job training Promotes leadership development
-Global Findings 75% executives said mentoring played a key role in their career ASTD Survey of CEOs states that one of the top three factors in their career was mentoring ..Account Temps survey 96% executives said that mentoring is an important developmental toolAccount Temps survey Mentoring programs have been proven to improve retention by 20-30% ASTD 71% of Fortune 500 companies use mentoring to make learning occur in their organizations (1996)
Zone of Impact
Knowledge
What? Why?
Habits Behavior Mindset Skills

How To? Want To
Attitude & Desire

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Mentor- Mentee Relationship

A dynamic association or pairing between an individual who needs to learn and another who is willing to help and guide the learner.
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Stages in the Development of Mentoring Relationships

Stage 1: The mentor and recipient become acquainted and informally clarify their common interests, shared values and professional goals. Stage 2: The mentor and recipient communicate initial expectations and agree upon some common procedures and expectations as a starting point. Stage 3: Gradually, needs are fulfilled. Objectives are met. Professional growth takes place. New challenges are presented and achieved. This stage may last for months or years. Stage 4: The mentor and recipient redefine their relationship as colleagues, peers, partners and/or friends.
Mentoring Environment
Interpersonal chemistry is important
Sense of mutual comfort and equality With self-confident people - differences may in fact provide learning experience
Need for ground rules & shared expectations

how, when, where to meet and specific terms for review and evaluation
Friendship can get in way of objectivity

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Types Of Mentoring
Situational Mentoring
Short, isolated episodes Often casual, one-time events Responsive to current needs of mentee and/or present situation A mentor-initiated intervention Voluntary Loosely structured, flexible Mentee revealed needs Mentor may have more than one role in relationship with mentee (supervision, parent, friend)
Informal Mentoring
Formal Mentoring Programs

Driven by organizational needs A method for matching mentors with (or assigned to) mentees Of fixed duration and based on goal achievement
Methods of Mentoring
The Standard/ Traditional method The Peer Mentoring Method The Team Mentoring Method
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4 Types of Coaching
1. 2. 3. 4. Counseling Encouraging & Mentoring Training Confrontation
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What Mentoring is not

a guarantee of advancement an unlimited resource on tap a job locating service a means of bypassing supervisors a mechanism for providing favouritism or unfair advantage a way of working outside the system A fix for
seniority/age disparity gender differences personality clashes different wavelengths
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When mentoring
Deliberate learning is the cornerstone Success and failure are powerful teachers Leaders need to tell their stories Development matures over time Mentoring is a joint venture
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"The best mentors are the people in your life who push you just a little bit outside your 'comfort zone.' " -- Leigh Curl
Mentor Competencies
Trustworthy and open High Integrity Active listener Catalyst for learning Commitment builder Enthusiasm to share
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Tell me, and Ill forget. Show me, and I may remember. Involve me, and Ill understand.
The four Cs of Coaching

Confidence
Control Concentration Commitment
To be a good coach you need to:

Motivate your staff empower your employees Hone your communication skills Counsel your staff stop problem situations before they get out of hand Exercise good judgment Utilize available talent they will be motivators for other staff
"People will forget what you said. People will forget what you did. But people will never forget how you make them feel."
Bonnie Jean Wasmund
Dilemmas
Can Mentoring save us money or improve
profitability? Shall we allow employees to spend time on mentoring others when we are thinly resourced? What if the Mentoring framework becomes a session to talk personal problems ? What if the Mentor-Mentee engagement is not bearing fruit
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Mentoring Myths
Mentoring is something a mentor does to a protg
A good mentor can literally save a life Mentors should be of the same ethnic background as their protgs Mentoring is a special, enhance type of management coaching Anyone can benefit from being mentored
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Evaluation Of A Mentor Program

Someone in the organization needs to be responsible for:
Moving the mentor program forward in a positive direction Providing opportunities for mentors to share their experiences and their views about the effectiveness of the mentor program Providing opportunities for recipients of mentoring to share their views about the effectiveness of the mentoring program Addressing any problems or unmet needs that emerge during the course of the year.
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Continued
Some orgainsations might hold: Hold informal but regular social gettogethers over lunch Hold more formal quarterly or monthly meetings Hold brief reports which are written or given orally Using a timeline for the current year
Mentor's role in experiential learning is like that of birds guiding their young in leaving the nest; they support without rescuing, provide scaffolding, and have the courage to let learners fail!!
Summing Up
Training Performance Appraisal Mentoring Career Planning Mgt Development, Organization Development, Executive Development
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Unit IV
Management of Human Resources & Industrial Relations
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COMPENSATION PACKAGE
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What is Compensation ?
Compensation is the process of directly and indirectly rewarding employees on a current or deferred basis, for their performance of assigned tasks.
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Objectives of Compensation
Legal Compliance with all appropriate laws and regulations Cost effectiveness for the organization Internal, External and Individual equity for employees
Performance enhancement for the organization
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Compensation Types
DIRECT
Base Pay Wages Salaries
INDIRECT
Benefits Medical Insurance Paid time off Retirement Pensions Workers Compensation
Variable Pay Bonuses Incentives Stock Options
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Division of Compensation Responsibility

HR Manager
Develops Administers Compensation system Conducts job evaluation and wage surveys Develops wage / salary structures and policies and
Line Manager
Attempt to march
performance and rewards Recommend pay rates
and increment based on guidelines from HR unit Evaluate performance employee based
compensation purposes
COMPENSATION STRATEGIES
Compensation Philosophies
Strategic Compensation Design Compensation and Organizational Culture
Cost Effectiveness and Labour Market

Positioning
Competency Based Pay Broadbanding and Career Development

Compensation Philosophy
ENTITLEMENT Seniority Based Across the board raises PERFORMANCE No raises for length of service No raises for longer service poor performers Guaranteed movement of scales Industry comparisons only Santa Claus Bonuses Market adjusted pay structure Broader Industry comparisons Bonuses tied to performance results
Changing Compensation Strategies

Yesterday
Fixed salary Bonuses/perks executives only for
Today
Variable pay as add-on to salary Variable pay emerging throughout organization Flexible benefits Industry-based career, moving around Flatter team-based organizations Total compensation (Look at benefits, too)
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Tomorrow
Low fixed salary, variable pay more
Variable pay common throughout the organization Portable benefits Skill-based, employment Network organizations interim virtual
Fixed benefits, reward long tenure Company-based career moving up Hierarchical organizations Cookie cutter pay plans
Customized, integrated pay systems; pay, benefits, intangibles

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Quartile Strategy
Third Quartile Above-Market Strategy
(25% of firms pay above and 75% pay below)
Maximum
Second Quartile Middle-Market Strategy

Medium
First Quartile Below-Market Strategy

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Minimum
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Outcomes from Competency Based Systems

Organization-Related Outcomes
Greater workforce flexibility
Employee-Related Outcomes
Enhanced employee understanding of Organisational big picture Greater employee selfmanagement capabilities Improved employee satisfaction Greater employee commitment
Increased effectiveness of work Team Few bottlenecks in work flow Increased worker output
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DESIGNING EFFECTIVE COMPENSATION PROGRAM

Job Analysis (Job Descriptions, Job Specifications)
Job Evaluation
Pay Surveys
Pay Policies
Pay Structures
Performance Appraisal
Individual Pay
Implementation, Communication, Monitoring
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Salary Structure
Job Evaluation Results Pay Survey Data
Develop Market Line
Identify Different Pay Structures Establish Pay Grades
Revise Pay Grades and Ranges as Needed Compare Current Pay to Pay Ranges
Compute Pay Ranges
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COMPENSATION POLICIES AND PROCEDURES

Know what the competition is doing and benchmark your structure to reflect competitive practices for retention and recruitment purposes.
Salaries should reflect level of responsibility employees may have in the organization.
Form a compensation committee (preferably represented by management and employees). Contd...
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COMPENSATION POLICIES AND PROCEDURES

Create a structure where salaries and any increases reflect company performance as espoused by the compensation committee. Develop and document a general company policy and strategy for pay increases. Liaison with the compensation committee for review, adjustments and approval.
Team Based Compensation

Types of Team Incentives
Same size reward for each team member Different size rewards for each team member
Criteria for Best Team Work

Significant interdependence exists among the work of several individuals, and team work and co-operation is absolutely essential.
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Contd.. 175
Team Based Compensation

Difficulties exist in identifying exactly who is responsible for different levels of performance. Management wants to create or reinforce team work and co-operation among employees Rewards are seen as being allocated in a fair and equitable manner.
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Collective Bargaining
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The Collective Bargaining Process

What Is Collective Bargaining?
Both management and labor are required by law to negotiate wages, hours, and terms and conditions of employment in good faith.
What Is Good Faith Bargaining?

Both parties communicate and negotiate. They match proposals with counterproposals in a reasonable effort to arrive at an agreement. Neither party can compel the other to agree to a proposal or to make any specific concessions.
Classes of Bargaining Items

Categories of Bargaining Items
Mandatory Items
Voluntary Items
Illegal Items
Impasses, Mediation, and Strikes

An Impasse
Usually occurs because one party is demanding more than the other will offer.
Sometimes an impasse can be resolved through a third partya disinterested person such as a mediator or arbitrator. If the impasse is not resolved:
The union may call a work stoppage, or strike, to put pressure on management. Management may lock out employees.
Strikes
Economic Strike
Unfair Labor Practice Strike
Types of Strikes
Wildcat Strike
Sympathy Strike
Grievances
Grievance
Any factor involving wages, hours, or conditions of employment that is used as a complaint against the employer.
Sources of Grievances
Discipline
Seniority Job evaluations Work assignments Overtime Vacations Incentive plans Holiday pay Problem employees
Summing Up
Compensation & Benefits Employee Grievances Collective Bargaining
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Unit V
Competitive Advantage
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People Capability Maturity Model - PCMM
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EMPLOYEE EMPOWEREMENT
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Employee Empowerment
Participative management has become key word in empowerment The most important concept of empowerment is to delegate responsibility to the lowest level in organization. The management must trust & communicate with employees
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BASIC ASPECTS
Authority Control Responsibility Accountability Ownership
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Human Resource Systems (Rewards, Training)
Organizational Values /Leadership Action
Empowerment
Continuous improvement Actions
Competitive Strategy, Productivity, Customer service
Organizational Structural Job Design
FACILITATORS OF EMPOWERED TEAMS
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Distinct Features
Share various management and leadership functions They plan control and improve their own work processes Set their own goals, inspect their own work Coordinate with other teams Take responsibility for quality
Knowledge Management
VVISM
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Management Vs Knowledge
Management is an art of getting things done through others. An area as justified beliefs about relationships among concepts relevant to that particular area.
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Knowledge Management???
Doing what is needed to get the most out of knowledge resources. KM is related to Intellectual Capital.
(IC = Human Capital + Structural Capital) HC - Body of knowledge company possesses SC - Everything remains when employees go home.
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Forces Driving KM
Increasing domain complexity Accelerating market volatility Intensified speed of responsiveness Diminishing individual experience
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Alternative views of knowledge

Perspectives on Knowledge
Subjective View
Objective View
Knowledge as a state of mind
Knowledge as practice
Knowledge as an object
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Knowledge as access to information
Knowledge as capability
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Subjective View
It is socially constructed through interactions with individuals. Knowledge is viewed as an ongoing accomplishment, which continuously affects and is influenced by social practice.
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Objective View of Knowledge

It is independent of human perceptions and can be structured in terms of a priori categories and concepts. Consequently, knowledge can be located in the form of an object or a capability that can be discovered or improved by human agents.
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Types of Knowledge
1. Procedural or Declarative Knowledge 2. Tacit or Explicit Knowledge 3. General or Specific Knowledge
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Procedural or Declarative Knowledge

Procedural knowledge focuses on beliefs relating sequences of steps or actions to desired/undesired outcomes. Declarative knowledge is know what, where as procedural knowledge may be viewed as know how.
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Tacit or Explicit Knowledge

Explicit knowledge typically refers to knowledge that has been expressed into words and numbers. Such knowledge can be shared formally and systematically in the form of data, specifications, manuals, drawings, audio and video tapes, computer programmes, patents, and the like. Cont
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Tacit or Explicit Knowledge

Tacit knowledge includes insights, intuitions and hunches. This knowledge is difficult to express and formalize, and therefore difficult to share.
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Talent Management
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TALENT MANAGEMENT
Talent Management is a powerful tool that helps a Company stand out against the Competition. It is a key business process that focuses on how the Company manages and invests in their people to meet the business needs. With it, the Company can make the best use of their talent and support the associates development consistently worldwide.
BUILDING ON PEOPLE
The future of the Company depends on clear and aligned business goals and the right people to successfully implement its strategy. Our Talent Management process ensures that we identify and match talent with Business requirements, so that we have the leaders ready and in place to achieve our goals.
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ROLE OF MANAGERS IN TM
A significant part of ensuring a successful future relies on the role that our current managers play in identifying and developing their future successors. The TM Process supports Managers in addressing skill and ability gaps and provides action plans to close these gaps.
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IDENTIFICATION OF TALENT
Managers identify key positions and high potential people and review individual potential against position requirements. Talent Management is the process for identifying our leadership needs and assessing candidates worldwide.
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TALENT MANAGEMENT PROCESS

A concrete idea of the requirements of our key positions Objective assessments of individual capabilities Alignment of each candidates potential and possible professional development.
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TALENT MANAGEMENT PROCESS

Individual Development plans to strengthen the talent pool. A strong pool of candidates for key positions Plans to resolve succession gaps or blockages
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TALENT MANAGEMENT INTERFACES

Talent Management, Performance Management, Leadership Development and Compensation Management work together to ensure that skilled leaders are in place to meet our business challenges.
TALENT MANAGEMENT
Identifies talent requirements based on business challenges Assesses individual and organizational potential Reviews talent and identifies key associates for key positions- short and mid term
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TALENT MANAGEMENT
Defines coaching and development plans and developmental moves Initiates filling of gaps through outside recruiting Identifies Future Leaders (long term candidates for key positions )
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LEADERSHIP DEVELOPMENT
Grows our talent internally Reinforces a culture of continuous learning Provides leadership education and on-the-job development
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TALENT MANAGEMENT
Talent Management provides a crossfunctional, bottom-up leadership identification and development process owned by line management. TM continually identifies leadership requirements, potential leaders and developmental and hiring needs
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Summing up
PCMM Levels HR Practices Knowledge Management Talent Management
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End of Syllabus
All the Best
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HRM - Full Sayalabus

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Unit I Human Resource Management

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Meaning and Definition

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Difference between HRM & PM

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between HRM & PM

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Difference between HRM & PM

Employment Contract Rules

Written, delineated Clear

Aim to go beyond contract Outlook, Impatience Business Needs

Difference between HRM & PM

Managerial/ Labour task

Labour Management Initiatives Piecemeal (slow) Management Role Transactional

Difference between HRM & PM

Difference between HRM & PM

Collective bargaining contracts

Job categories and grades

Difference between HRM & PM

Respect for employees

Difference between HRM & PM

Organisational interests are uppermost Precedes HRM

Latest in the evolution of the subject

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To maintain the departments contribution at a level appropriate to the organisations needs.

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HRM Objectives and Functions

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HRM Objectives and Functions

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HRM Objectives and Functions

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HRM Objectives and Functions

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Image & Qualities of HR Manager

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Demand & Supply Gap

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Forecasting Personnel Needs

Ratio Analysis making forecasts based on

Determining the relationship between hospital size and number of nurses

Number of Nurses 240

900 800 700 Number f nurses

260 470 500 620 660 820 860

600 500 400 300 200 100 0

Hospital Size (no. of nurses)

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Managing Human Resources

Developing a program to meet those future needs

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Job Analysis & Design