Listen with your full attention ,look for the good in others,have a sense of humor,and say thank you

for a well done job. Paul Smucker

A sneak into the history...

Industrial revolution era Trade unionism era Scientific management era(FW Taylor & Henry Ford) -Hawthorne studies Human relations movement era(Elton Mayo) Behavioral sciences era Systems approach and Contingency theory

Economic policies and changing trends...LPG

De-nationalization of enterprises and creation of global companies and global networks. Shakeout of long-dominant domestic industry leaders

Deregulation of capital and financial markets as well as highly protected industrial sectors

Ctd..

Expansion of markets and brand visibility Boom in services across a host of industries Need to remain competitive in respect of attracting investment, goods and services.

Outcomes.

Economic stabilization and restructuring of the whole economy More economically interdependent countries( FDI interlocking economies, increased free trade)

Less control on the flow of capital, information and technology across borders by the Governments

Definition-HR and HRM

HR-The total knowledge, skills, creative abilities, talents and aptitude of an organisations workforce , as well as the value ,attitudes and beliefs of the individuals involved.

HRM- A management function which aims to ensure the availability of a competent & committed workforce The process of managing human talent to achieve organisations objectives.

Evolution of HR Management
HR FOCUS
1900-1920 Employee well being

HR ACTIVITY
Health and safety programs Employee counseling and testing, Anti union campaigns

1920-1940 Task design, efficiency and

impact of work, Unionization, Major labor laws

1940-1960 Employee benefit and

compensation, Specialised personnel functions Government intervention

Benefits, T& D dept, labor relations, Wage increase, Pension MBO,quality circles, Employee involvement, Employee rights issues Job Enrichment, IT, outplacements, integrated task teams

1960-1980 Employee participation,

1980-2000 Employee recognition, handling

displacement, technology , changing demographic work force Strategic HR planning

Beyond 2000

Transition from service and support to consultative and leadership role, culture development

Paradigm shift.
Characteristic
Organization O structure Tall

20th Century
The pyramid Flat

21st Century
The web or network

Focus
Style

Internal
Structured

External
Flexible

Resources
Operations Reach

physical assets
Vertical integration Domestic

HR and information
Virtual integration Global

Strategy

Top down(TD)

TD and Bottom up

Factors affecting HRM

Internal Environment External Environment Internal

Vision and mission Functions and process Organizational structure Internal power relationships and TUs O culture and Business ethics

Ctd

External Environment

Social, technological, economic, political, demographic - STEPD/PESTD

Important legislations of India. Coverage ,administration and benefits

1923-Workmens Compensation act 1926-Trade Union act 1935-Minimum wages act 1936- Payment of wages act 1947- Industrial dispute act 1948- Factories act 1948- ESI act 1961-Maternity Benefit act 1965-Payment of Bonus Act 1972-Payment of Gratuity act

Evolution of the concept of HRM

Hard HRM: The Commodity Concept The factor of Production concept Soft HRM: The Goodwill concept The Humanitarian concept Motivation and leadership People/talent Management, HCM

Managerial and Operational Functions

POSD(L)C
Planning and organizing Staffing and retaining Leading Developing and Enabling Motivation and Compensation Maintenance Integration Function Handling emerging issues

Functions of HRM
Managerial functions-PODC Operative functions
Procurement
Job analysis, HRP, R &S, placement and induction, transfer, promotion , separation

Development
Performance appraisal,

Compensation
Job evaluation Wage and salary administration, Bonus, incentives, perks and benefits

T& D, Career planning and Development

Integration & Maintenance

Maintenance: Health and safety Social security Welfare schemes Personnel audit

Integration: Motivation Grievance redressal

Collective bargaining
Conflict management

Role of HR
Line Manager- A manager who is authorized to direct the work of the sub ordinates and is responsible for accomplishing the organisations tasks Staff manager-a manager who assists and advises line managers Roles: Coordinator-motivator-assistance advisorycounselor-mediator-problem solver-change agent

Objectives of HRM

To help the organization reach its goal To employ the skills and abilities of the workforce effectively To provide the organization with well trained and well motivated employees To increase to the fullest the employee's job satisfaction and self actualization To develop and maintain a quality of work life(QWL) To communicate HR policies to all employees To be ethically and socially responsive to the needs of the society

HRM Process
Competence building HR Planning

Managing corporate Culture

Recruitment & Selection

Leadership & Teambuilding

Compensation / remuneration / Wages & Salary admn.

Performance Management

Nature and Scope of HRM

Nature::Pervasive, action oriented, individually oriented, future oriented, development oriented, continous, comprehensive function, interdisciplinary and integrating function Personnel aspect-MPP, Recruitment , selection.. Welfare aspect Education, Health and safety, canteen facilities Industrial relations aspect- Participative management , collective bargaining, grievance and disciplinary procedure, settlement of disputes

Importance of HRM

Attract and retaining talent Train people for challenging roles Develop skills and competencies Promote team spirit Develop loyalty and commitment Increase productivity and profits Improve job satisfaction Enhance standard of living Generate employment opportunities

Challenges of HRM

Increasing diversity in the work force Global Competition Corporate re organisation Managing talent or human capital Managing employee expectations Embracing new technology Responding to the market (TQM, Six Sigma, Re- engineering) Maintaining ethical standards

Strategic HRM
Definition-Formulating and executing HR policies and practices that produce the employee competencies and behaviour the company needs to achieve its strategic aim Ex-HDFC- 4 core values(operational excellence, customer focus, product leadership, people)

Strategic HRM
It is an Action plan for growth & survival A Pattern of planned HRD activities intended to enable an organization achieve its goals It is linking HRM with strategic goals & objectives to improve business performance and develop a culture that fosters innovation & flexibility

To Formulate strategies to exploit profitable opportunities and maximize ROI

Role of HR in Strategy
Strategy Formulation Information supply for formulating plans Co. strengths,weaknesses,competitors,legislatio nscustomers,complaints Strategy implementation Competent and willing work force to execute strategy -Restructuring and downsizing in a positive way, linking rewards to performance, enhancing skills and retraining employees , Quality improvement efforts,reducing welfare costs

Strategic Decisions and its Implication on HRM

EXAMPLE Airlines(expansion plans) Add new type of equipment-Training Grow through acquisition- Selection, Training Compensation, Outplacement Take on additional indebtedness to prevent takeover Compensation ( R ) , Outplacement (forced reduction) EXAMPLE Automobile (Tata Nano) Seek new location for manufacturing plant- Transfer, Recruitment & Selection , Training & Development Pursue low cost competitive strategy - Compensation , Labor relations , Training

Example-Strategic HRM at Essar steels

HR strategies implemented: Right sizing HR Developing a learning culture through continous learning Web based CRM Introduction of open house Executive leadership camp to develop corporate pride among the employees Introduction of Willy Korf Innovation award scheme Regular training with a target of seven mandays per year

Traditional and strategic HR

Point of Distinction
Focus Role of HR Initiatives Time Horizon

Traditional HR
Employee Relations Transactional change follower and respondent Slow ,reactive , fragmented Short term

Strategic HR
Partnership with internal and external customers Transformational change leader and initiator Fast, proactive and integrated Short, medium and Long (as required)

Control
Job design Key investments Accountability

Bureacratic roles, policies , procedures

Tight division of labour, independence , specialisation Capital, products Cost centre

Organic flexible , whatever is necessary to succeed

Broad, flexible, cross training teams People, knowledge Investment centre

Paradigm shift in people management

Structure--Non-Hierarchical structure Human relations--Attitude and Emotions Job--Team design and analysis, contract jobs, flexi hours, job sharing, moon lighting, telecommuting, compressed work hours, self rostering, sabbaticals Post Retirement jobs, reemployment facility No long a recruiters market Bench marking

HRM Development models

Matching model / Best fit- Michigan school (1984)- defined HR cycle Fombrun,Tichy and Devanna Harvard frame work Beer(1984),Watson, Boxall (1992)-alignment of competitive strategies and personnel policies, role of line managers Best practice or outcome model Walton (1985) commitment & culture, mutual goals ,mutual respect and responsibility Contingency model Business & HR strategies Further development by David guest , John storey , Karen Legge , John Purcell

Fombruns HRM model

Contributors: Fombrun, Tichy and Devanna

Recruitment

Performance Appraisal

Reward

Development

Organisational effectiveness

Harvard model of HRM

Stakeholder interests: Government Community Union Employee groups HRM policy choices:
Ee influence HR flow Reward system Work system

HR outcomes:
Commitment Competence Congruence Cost-effectiveness

Long term consequences

Individual well being O effectiveness Societal well being

Situational factors:
Workforce characteristics Business strategy & conditions Labour market Law & societal values Management philosophy

The Warwick model of HRM

Outer context: Socio economic Technical Political-legal Competitive

Business strategy content: Objectives Product market Strategy & tactics

Inner context: Culture Structure Task-technology Business outputs

HRM context: Role Definition Organisation HR outputs

HRM content: HR flows Work systems Reward system Ee relations

Drivers of Contemporary Indian HRM Trends

Drivers of Contemporary Indian HRM Trends

HR practices to success
Employment security as a way of building commitment Selective recruitment to hire the right person Self managed teams and decentralization as basic elements of O design Extensive training and retraining Reduced distinctions based on status Extensive sharing of information Learning organizations Knowledge management (techno centric, organizational and ecological)

Recruitment & Selection - Redefined Ex. Head hunting & Body shopping Training - Education , Retraining, Unlearning, Refresher courses, New areas, Innovative ways Performance appraisals - 360 degree, Potential appraisal , Reverse, Career & Development focus Rewards - Compensation - CTC transparency, pay for performance , Lumpsum concept

Emerging trends & New practices

CONT.D
Mentoring & Reverse mentoring Empowerment or emotional ownership Team & team building Initiating ethical work culture Promoting sound organizational culture Contract employment/Part time/Temps Communication network free flow & transparent QWL Fun Internal unions/Shift in CB issues

HRM - Current issues

Work

force Diversity - Mixed work force: Different nationalities /Expatriates Woman bosses/Employees Employer - Employee rights Work & family relations WLB(work life balance) Changing demographics Productivity & Competitiveness

Discussion
Present scenario of HRM in India and the challenges. Real time case studies.