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MU0010 Set I

Q1. What are the advantages of manpower planning? ANS: Manpower planning ensures optimum use of available human resources. 1. It is useful both for organization and nation. 2. It generates facilities to educate people in the organization. 3. It brings about fast economic developments. 4. It boosts the geographical mobility of labor. 5. It provides smooth working even after expansion of the organization. 6. It opens possibility for workers for future promotions, thus providing incentive. 7. It creates healthy atmosphere of encouragement and motivation in the organization. 8. Training becomes effective. 9. It provides help for career development of the employees. Manpower planning is a process of generating a plan, showing the demand for staffing over a period of time, based on assumptions bout productivity and costs associated with the employee. The supply of the resources available with in the hospital and the short falls, that may have to be supplemented from out side, are also estimated. Q2. Explain any three demand forecasting techniques. ANS: Demand Forecasting Techniques Forecasting is an expensive way to help a company plan and prepare for the future years. Forecasting is not fortune telling; it is but an educated guess of how much manpower will be required and utilized by a firm or organization. It is a tool used to help in budgeting and allocating finances or hiring employees as perfectly as possible. One of the important features of forecasting is the quality of manpower resources (knowledge, skill, values and competency, capacity etc) as well as the quantity of manpower resources. There is no right way of forecasting, but there are many different types of forecasting methods. Each one is specifically planned and designed to help different retail organization and it is up to each of them to choose the model which is best and most appropriate for them. Manpower planning is done based on the manpower forecasts. The common manpower forecasting techniques are: (1) Expert Forecasts This is a group forecasting method in which experts present their independently developed forecasts to the group. However, the experts do not meet each other. The group keeps refining their forecasts

until a group consensus is reached. This is called as the Delphi technique. In this method managers estimate future manpower requirements based on their experience and judgment.

(2) Trend Analysis This technique requires studying the past data of an organization. Based on the past forecast, utilization and requirement actually experienced in the business, the future forecast is made. For example, if an organization had 12 secretaries in the firm and this number were increasing by 1 secretary every year for the last 4 years. Then the trend analysis would forecast a requirement of 13 secretaries for the following year. That is one additional secretary for the year. Past data is used to make future predictions. Known or Independent variables are used for predicting unknown or dependent variables, using the trend equation called Predictive analysis. Based on trend equation, we find Line of Best Fit and then it is projected in a scatter diagram, dividing points equally on both sides. The time series analysis has three goals: (i) Forecasting (also called predicting), (ii) Modeling (iii) Characterization. The logical order in which to tackle these three goals depends on the key objective. The idea of deciding the order is to ensure that one task leads to another and /or justifies the other tasks. Sometimes the objective is getting better forecasts. Then the order is forecasting, modeling and characterization. Sometimes the objective is to understand and explain what is going on. Then modeling is the key, though out-of-sample forecasting may be used to test any model. Often modeling and forecasting proceed in an iterative way and there is no logical order in the broader sense. You may model to get forecasts, which enable better control, but iteration is again likely to be present. The trend equation is: Y^ = a + b X + E Y^ = Estimated value of Y a = Constant or Intercept b = slope of trend line X = independent variable E = Error term Explained variation means the extent to which the independent variable explains the relative change in the dependent variable. Higher the explained variation, lower the error value leading to accurate forecast.

R2 = Explained Variation 1- R2 = Unexplained Variation

Trend Analysis Line of Best Fit This process may be followed at the organization level as a whole or for parts of the organization based on department, location etc. Doing this at a granular with assumptions being documented and shared with the approving authority increases the forecast accuracy. The drawback is that you follow practices that you followed in the past. If the organization is experiencing the same rate of growth then this may work. But for extraordinary circumstances either good or bad for the organization, the trend analysis forecasting method often fails. Also this may build in turn the organization teeth to tail ratio unfavorable for making profits or enhancing profits. Teeth are the no. of employees who are directly into revenue earning jobs. E.g.: production employees, operations employees and sales staff. Tail is the no. of employees who are enabling the employees involved in directly revenue earning jobs. E.g.: secretaries, finance, administration & human resources. (3) Work Study Technique It is a technique that can be used when it is possible to apply work measurements to know how long operations should take and the amount of labor required. It is calculated in two ways. Work-Load Analysis Work-Force Analysis i) Work-Load Analysis One more method of forecasting is by evaluating the work load in a department or job role. This then enables deciding the no. of employees required for doing the job. This depends on the nature of the work load in a branch, department, or a division in a firm or organization.

Example: In BPOs, if an agent can handle 18 calls in a day of about 25 minute duration. If 2 lakh calls are received in a month, then the workload is evaluated on a per day basis. Calls receivable per hour are plotted. Then the no. of employees required to service those number of calls is calculated. Also the service level is considered. Some clients do not want to keep their customers on hold for more than 1 minute, in such cases the service level may be taken as 100%. This requires for staffing additionally such that the customers are not on hold for more than 1 minute. Staffing is decided to ensure per hour manpower adequacy to support the service level required by the client. The client understands the cost involved and is willing to pay for a higher service level. Based on all the above inputs the workload evaluation technique allows forecasting manpower demand. ii) Work-Force Analysis In workforce analysis a sufficient margin for absenteeism, labor turnover and idle time on the basis of past experience is made. This allows for completing the total job at hand undertaken by an organization despite the challenges of labor turnover or absenteeism. The organization needs to make reasonable prediction of labor turnover or absenteeism. However, if the actual labor turnover or absenteeism exceeds the predicted value, then it puts the business under loss. This could mean the profits of the company reducing or the company experiencing a loss. As we all know that a business organization with high overheads cannot sustain losses for more than a certain number of weeks or months depending on the business. This would mean many people go jobless if the company happens to shut down. Therefore the workforce analysis has to be done with caution and by an experienced person with data validated for the past periods. Also the forecasting person, needs to be able to keep in mind any seasonal variations and special events that are likely to occur for the predicted period. Demand forecasting is a very responsible job. The entire organizations future depends on this. The organization leaders get involved to ensure that the demand forecasts are realistic and there is a reasonable buffer built in, so as to be able to sustain any deviations without a severe compromise in profitability or credibility with the client.

Q3. Describe the major approaches of talent development. Q4. Distinguish between internal and external sources of recruitment. Ans: Many organizations use a combination of both internal and external sourcing alternatives to deliver business support services. Sourcing the candidate from within the organization is known as internal source ofrecruitment and sourcing candidates from other sources is known as external source of recruitment. Internal Sourcing External Sourcing

Proficient planning and execution of these multi-sourcing strategies requires efficient control and change management. The sourcing strategy must accomplish a proper balance between business drivers such as cost, quality of services, transformation, business agility and control. Organizations should focus on aligning these solutions with short-term and long-term business goal, as well as the strategic and planned initiatives across their business units. The success of sourcing alternatives depends on the strategic alignment of sourcing internally. 1. Internal Sourcing

When you hire staff or contract staff who is working or was working with your organization earlier, then it is called as internal sourcing. An internal source is considered for: Promotions Availability of competent resources within the organization are given first preference and considered for filling the vacancies at higher levels by way of promotions. Transfers In case of excess hiring or businesses slowing due to various reasons in one branch of an organization and shortage of employees in another branch, organizations consider transferring surplus employees to meet the shortage of staff in the other branch rather than sourcing externally. Temporary Staff Many organizations appoint temporary staff for short projects. At the end of such projects organization often try to retain efficient resources by deploying them to available positions in other roles. Retired Employees Sometimes organizations prefer to re-employ their retired employees due their immense experience and knowledge and lack of suitably skilled and efficient candidate matching their requirement for the job opening. Advantages of Internal Sourcing The advantages of internal sourcing are: Reduces cost of recruitment. Reduces cost of training, induction and orientation. The time to transfer to the new role may be shorter. The past performance track record of the employee is known. Motivates employees and provides experienced competent people for the job role. Stability of employment can be ensured for the candidate.

Disadvantages of Internal Sourcing Limits the options for selection. Lack of new ideas and approaches from outside the business. Creates another vacancy by moving the candidate from current job. May discourage the candidates not appointed.

2. External Sourcing When you hire staff or contract staff who has never worked with your organization earlier, then it is called as external recruitment. Examples are: Advertisements in Media Advertisements of the job openings in newspaper and journals magazines are generally used as a source of external recruitment.

Campus Selections in Institutions Various colleges and institutions are a good source of recruiting well qualified executives, engineers, medical staff etc. Employee Referrals Organizations encourage internal employees by providing benefits for referring friends and relatives for some position in their organization. Consultants They identify candidates matching the job profile and charge a fee for providing candidates till you find the right candidate who accepts the offer. Data Banks Organizations collect CVs of candidates from different sources likeemployment exchange, training institutes etc. and screen and shortlist the candidates. When the business grows and if the business is manpower intensive, then additional resources are required. Therefore external recruitment is done. This is the only way to scale up the business. Also it brings in a freshness of thought and perspective. Capable people from the worlds best organizations bring best practices with them. They bring the culture of performance and meritocracy. External recruitment has many advantages. If the job role requires tremendous experience (e.g. 15 years), it is better to hire someone externally than to wait for people in your own organization with 4 years experience to gain 11 more years of experience. Q5. What are the advantages of carrying out Human Resource Accounting? ANS: The benefits of Human Resource Accounting. It is in fact difficult to imagine how an organisation could effectively hire, train, appraise, compensate or use its human resources without the kinds of information derived from job analysis" The importance of human resources within an organization is becoming increasingly understood in today's rapidly changing and uncertain business environment . In order to assist employees in helping an organisation to reach its strategic business goals, effective human resource managers often gather job related information in a job analysis and job description, which is vital to creating or re-designing jobs which provide employees with a high level of job satisfaction . The basic human resource activity of gathering detailed information about a particular job's duties, tasks and responsibilities, can help organisations achieve strategic goals more efficiently and effectively by avoiding both duplication and overlapping of work in jobs. 1. The adoption of the system of HRA discloses the value of human resources. This helps in proper interpretation of Return on Capital Employed. Such information would give a long term perspective of the business performance which would be more reliable than the Return on Capital Employed under the conventional system of accounting.

2. The maintenance of detailed record relating to internal human resources(i.e. employees) improves managerial decision-making specially institutions like direct recruitment versus promotions; transfer versus retention retrenchment or relieving versus retention; utility of cost reduction programs in view of its possible impact on human relations and impact of budgetary control on human relations and organizational behavior. Thus, the use of HRA will definitely improve the quality of management. 3. The adoption of the system of HRA serves social purposes by identification of human resources as a valuable asset which will help prevention of misuse and under use due to thoughtless or rather reckless transfers, demotions, layoffs and day-to-day maltreatment by supervisors and other superiors in the administrative hierarchy; efficient allocation of resources in the economy ;efficiency in the use of human resources; and proper understanding of the evil effects of avoidable labor unrest / disputes on the quality of internal human resources. 4. The system of HRA would no doubt, pave the way for increasingly productivity of human resources, because, the fact that a monetary value is attached to human resources and that human talents devotion and skill considered as valuable assets and allotted a place in the financial statements of the organization, would boost the morale, loyalty and initiative of the employees, creating in their mind a sense of belonging towards the organization and would act as a great incentive, giving rise to increased productivity. Q6. Mr. Aravind works at K&D Company. Recently two fellow team members were shifted to another team and their work was handed over to him. This affected his performance and also left him dissatisfied. Finally, he forwarded his resignation letter to the HR Department. The HR Manager decided to conduct an exit interview with Mr. Aravind. What questions do you think that the HR manager would want to ask Mr.Aravind?

MU0010 Set II
Q1. What benefits does an organization get out by setting up an academy? By setting up an academy, an organisation can get following benefits: Reduced hiring costs As lesser number for employees will be hired by using consultants and more number of students will be hired from the training academy, the hiring cost is reduced. Also, the organisation generates revenue on every candidate trained. Reduced training cost During the training period the candidates are not paid salary, so the cost of salaries paid during the training period is saved. Reduced training period Train to Hire process completely concentrates on training the new candidates, only the selected candidates are paid at the end of the training. As a large chunk of the training is conducted by the academy, the training period of the company reduces substantially. Their go-live time is the shortest. Improved bench strength The organisation has ready replacements available in case of employee turnover or any additional manpower required for expansion. The academy always has excess people than what the organisation requires. This gives the organisation the flexibility to backfill at short notice and expands the business in the shortest possible time.

1. Discuss intrapreneurship in detail. When entrepreneurship describes activities within affirm or a large organisation, it is referred to as intrapreneurship. Intrapreneurship may include corporate venturing, when large entities spin-off organisation. In 1992, The American Heritage Dictionary acknowledged the popular use of a new word, intrapreneur, to mean A person with a large organisation who takes direct responsibility for turning an idea into a profitable finished product trough assertive risk-taking and innovation. Intrapreneurship is today a tool used by corporate to harness the true potential of their high performers which integrates risk-taking and innovation approaches apart from reward and motivational techniques which were usually thought as only possible by entrepreneurs. Intrapreneurship is the practice of entrepreneurship by employees with an organisation. Features of Intrapreneurship Entrepreneurship involves innovation, the ability to take risk and demonstrate creativity. An entrepreneur will be able to look at things in novel ways. He will have the capacity to take calculated risk and to accept failure as a learning point. An intrapreneur thinks like an entrepreneur looking out for opportunities, which profits the organisation he/she is employed with. Intrapreneurship is a novel way of making organisations more profitable where imaginative employees entertain entrepreneurial thoughts. It is in the interest of an

organisation to encourage intrapreneurs. Intrapreneurship is a significant method for companies to reinvent themselves and improve performance. Intrapreneurship and employee engagement The highest form of employee engagement is possibly intrapreneurship. Organisations can benefit from engaged employees, by listening to them, understanding their needs, thoughts and plans, allowing employees to practice intrapreneurship and create wealth for themselves and the organisation. 2. List the tips for successful career planning. Career planning is not an activity that should be done once -- in high school or college -- and then left behind as we move forward in our jobs and careers. Rather, career planning is an activity that is best done on a regular basis -- especially given the data that the average worker will change careers (not jobs) multiple times over his or her lifetime. And it's never too soon or too late to start your career planning. Career planning is not a hard activity, not something to be dreaded or put off, but rather an activity that should be liberating and fulfilling, providing goals to achieve in your current career or plans for beginning a transition to a new career. Career planning should be a rewarding and positive experience. Here, then, are 10 tips to help you achieve successful career planning. 1. Make Career Planning an Annual Event Many of us have physicals, visit the eye doctor and dentist, and do a myriad of other things on an annual basis, so why not career planning? Find a day or weekend once a year -- more often if you feel the need or if you're planning a major career change -- and schedule a retreat for yourself. Try to block out all distractions so that you have the time to truly focus on your career -- what you really want out of your career, out of your life. By making career planning an annual event, you will feel more secure in your career choice and direction -- and you'll be better prepared for the many uncertainties and difficulties that lie ahead in all of our jobs and career. 2. Map Your Path Since Last Career Planning One of your first activities whenever you take on career planning is spending time mapping out your job and career path since the last time you did any sort of career planning. While you should not dwell on your past, taking the time to review and reflect on the path -- whether straight and narrow or one filled with any curves and dead-ends -- will help you plan for the future. Once you've mapped your past, take the time to reflect on your course -- and note why it looks the way it does. Are you happy with your path? Could you have done things better? What might you have done differently? What can you do differently in the future? 3. Reflect on Your Likes and Dislikes, Needs and Wants Change is a factor of life; everybody changes, as do our likes and dislikes. Something we loved doing two years ago may now give us displeasure. So always take time to reflect on the things in your life --not just in your job -- that you feel most strongly about. Make a twocolumn list of your major likes and dislikes. Then use this list to examine your current job and

career path. If your job and career still fall mostly in the like column, then you know you are still on the right path; however, if your job activities fall mostly in the dislike column, now is the time to begin examining new jobs and new careers. Finally, take the time to really think about what it is you want or need from your work, from your career. Are you looking to make a difference in the world? To be famous? To become financially independent? To effect change? Take the time to understand the motives that drive your sense of success and happiness. 4. Examine Your Pastimes and Hobbies Career planning provides a great time to also examine the activities you like doing when you're not working. It may sound a bit odd, to examine non-work activities when doing career planning, but it's not. Many times your hobbies and leisurely pursuits can give you great insight into future career paths. Think you can't make a hobby into a career? People do it all the time. The great painter Paul Gauguin was a successful business person who painted on the side. It actually wasn't until he was encouraged by an artist he admired to continue painting that he finally took a serious look at his hobby and decided he should change careers. He was good at business, but his love was painting. 5. Make Note of Your Past Accomplishments Most people don't keep a very good record of work accomplishments and then struggle with creating a powerful resume when it's time to search for a new job. Making note of your past accomplishments --keeping a record of them -- is not only useful for building your resume; it's also useful for career planning. Sometimes reviewing your past accomplishments will reveal forgotten successes, one or more which may trigger researching and planning a career shift so that you can be in a job that allows you to accomplish the types of things that make you most happy and proud. 6. Look Beyond Your Current Job for Transferable Skills Some workers get so wrapped up in their job titles that they don't see any other career possibilities for themselves. Every job requires a certain set of skills, and it's much better to categorize yourself interns of these skill sets than be so myopic as to focus just on job titles. For example, one job-seeker who was trying to accomplish career planning found herself stuck because she identified herself as a reporter. But once she looked beyond her job title, she could see that she had this strong collection of transferable skills -- such as writing, editing, researching, investigating, interviewing, juggling multiple tasks, meeting goals and deadlines, and managing time and information-- skills that could easily be applied to a wide variety of jobs in many different careers. 7. Review Career and Job Trends

Everyone makes his or her own job and career opportunities, so that even if your career is shrinking, if you have excellent skills and know how to market yourself, you should be able to find a new job. However, having information about career trends is vital to long-term career planning success. A career path that is expanding today could easily shrink tomorrow -- or next year. It's important to see where job growth is expected, especially in the career fields that most interest you. Besides knowledge of these trends, the other advantage of conducting this research is the power it gives you to adjust and strengthen your position, your unique

selling proposition. One of the keys to job and career success is having a unique set of accomplishments, skills, and education that make you better than all others in your career. 8. Set Career and Job Goals Develop a roadmap for your job and career success. Can you be successful in your career without setting goals? Of course. Can you be even more successful through goal-setting? Most research says yes. A major component of career planning is setting short-term (in the coming year) and long-term (beyond a year) career and job goals. Once you initiate this process, another component of career planning becomes reviewing and adjusting those goals as your career plans progress or change and developing new goals once you accomplish your previous goals. 9. Explore New Education/Training Opportunities

It's somewhat of a clich, but information really does lead to power and success. Never pass up chances to learn and grow more as a person and as a worker; part of career planning is going beyond passive acceptance of training opportunities to finding new ones that will help enhance or further your career. Take the time to contemplate what types of educational experiences will help you achieve your career goals. Look within your company, your professional association, your local universities and community colleges, as well as online distance learning programs, to find potential career-enhancing opportunities-- and then find a way achieve them. 10. Research Further Career/Job Advancement Opportunities One of the really fun outcomes of career planning is picturing yourself in the future. Where will you be in a year? In five years? A key component to developing multiple scenarios of that future is researching career paths.

Q2. What are the steps involved in manpower planning? ANS: Five Steps in Manpower Planning Manpower planning requires that an estimate of the present and future needs of the organization should be compared with the available manpower and future predicted manpower. Appropriate steps are then taken to bring demand and supply into balance. The outcome of this planning is a well 'thought out' and logical manpower demand plan for varying dates in the future which can then be compared with the crude manpower supply schedules. The comparisons will then indicate what steps should be taken to achieve a balance. The 5 steps in the manpower planning process are: Evaluate present manpower inventory Manpower forecasting Develop a manpower sourcing plan or retrenchment plan Manpower allocation Building requisite competencies

1. Evaluate Present Manpower Inventory

It is very important to evaluate the present manpower status before making a forecast for future manpower planning. To evaluate the present manpower status a department by department analysis and a job-role by job-role analysis is conducted to arrive at the required manpower versus the available manpower. This is accumulated across the organization at different levels and departments. The final report will consolidate and state the required manpower versus the available manpower in terms of the quantitative analysis. Another analysis on the qualitative side conducted similarly shows the competencies required versus competencies available for each of the job roles. This provides the present manpower inventory. There may be excess or deficit or in extremely few cases just the right number quantitatively. The report on the qualitative front may rarely have a 100% match between required competencies versus available competencies. 2. Manpower Forecasting Manpower planning is done based on the manpower forecasts. Thecommon manpower forecasting techniques are: (i) Expert Forecasts: This includes formal expert surveys, informal decisions and the Delphi technique. (ii) Trend Analysis: Manpower needs can be seen through the past practice of the firm or organization keeping the principle year as a basis and a central tendency of measure (iii) Work Load Evaluation: This depends on the nature of the work load in a branch, department, or a division in a firm or organization. (iv) Work Force Evaluation: As production and the time duration are to be kept in mind, allotments have to be made for getting the total manpower requirements. (v) Other Methods: A few mathematical models with the help of computers are also used to forecast manpower needs.

3. Develop a Manpower Sourcing Plan or Retrenchment Plan Once the current inventory is compared with the future manpower forecasts then the manpower sourcing or retrenchment plan is drawn. The sourcing plan includes recruitment, selection, placement, hiring temporary staff and outsourcing. The retrenchment plan involves sending show-cause notices to bottom performers called bottom scraping, asking people to leave the organization by providing the requisite severance allowance, allowing employees to go on a sabbatical and finally out-placing employees in other organizations to reduce the manpower. It is harder to retrench manpower. The need for retrenchment could also be minimized by very objectively approving any additional manpower. 4. Manpower Allocation & Retention Manpower allocation helps in managing the impact of deficits and excess in manpower supply through promotions, transfers and job-rotations. Enhancing manpower utilization requires managing the dynamics of leadership and motivation. Manpower retention would mean taking necessary steps to ensure that the organization provides a conducive-atmosphere to the employees to perform and keeps each employee engaged. 5. Building Requisite Competencies Once the future manpower forecasts are compared to the current inventory, there may be some gaps in competencies amongst the available internal resources for them to qualify for the future manpower forecasts. In such cases organizations may choose to develop resources through training programs. A

training calendar is designed to ensure competencies of existing staff are enhanced to meet the future manpower forecasts. Additional training programs may be designed when organizations are diversifying or expanding. Training programs may be designed to train existing resources on the latest improvements and advancements in technology or the related business subject. Training is provided to improve the knowledge, skill and capability of the employee. Q3. Describe the different types of selection interviews. ANS: INTERVIEWS An interview helps in assessing the applicants profile and comparing it with the job profile for suitability. Some candidates may provide false information in their applications, just to gain employment. The other advantage of an interview is the employer can sell his organization and the job to the candidate during the course of the interview. There are several types of interviews these are described below. Preliminary Interview Preliminary interview are brief , first round interviews that aim to eliminate the applicants who are obviously unqualified for the job. These interviews are generally informal and unstructured and are conducted even before the candidates fill in the application blanks. Selection Interview: A selection or core interview is normally the interaction between the job applicant and the line manager or experts, when the applicants job knowledge, skills, talent, etc, are evaluated and ascertained. The Selection Interview can be of the following types: 1. Formal & structured Interview 2.Unstructured Interview 3. Stress Interview 4. Group Interview method 5. Panel Interview 6. In-depth Interview Decision Making Interview: After the applicants knowledge in the core areas of the job is evaluated by experts, including line managers in the organization, the applicants are finally interviewed by the departmental heads and the HR function.

Q4. What are the major causes of employee turnover? ANS: Employee Turnover Causes Salary Scale This is the most common cause of the turnover rate being so high. Employees are in search of jobs which pay well. If the companies which they are working in don't offer good salaries, they tend to hunt for jobs that pay them considerably well. In order to resolve this problem, the employers should make it a point to offer salaries that would be competitive enough to retain and attract well-qualified and talented personnel. Unsatisfactory performance appraisals is also one of the reasons for employees leaving a company. Benefits Employees always flock to companies who offer more benefits. There are many employees who are not aware of the benefits that are provided to them in their compensation package. The employers need to reduce their bureaucratic procedures in order for the employees to receive the best available benefits without any difficulty. They should make a note of what all benefits other organizations are providing, which may attract their current employees.

Advancements and Promotion Policies This is the prime reason why many mid-level executives leave the company. Due to no potential opportunity for advancements or promotions, they prefer other companies which may provide them with higher posts and increased compensation packages. The companies need to evaluate and modify their promotion policies in a fair way which would enable promotions for candidates only on the basis of employee performance. Working Environment This is also one of the main causes for employee turnover. Employees prefer to work in an environment which is suitable for them. This is the most common reason why they jump from company to company in just a few months. If they find an appropriate work environment in a specific company, they may work in the same organization for several years. Working Procedures The companies should analyze and alter their work procedures and policies in a way which would enable employees to use their full potential and even gain significant work experience. There are many cases where employees have left the company due to no projects or assignments which do not

require their full potential. Employees would certainly leave if they don't get experience and are just placed on the 'bench'. These are some of the principal causes of employee turnover which can surely be avoided by the organizations after taking some necessary steps to better their in-house services towards employees. However, there are many more causes; such as lack of employee motivation, work pressure, job stress, partiality and favoritism, employee egos and attitudes, poor employee management, etc.

Q5. What are the major hindrances that one encounters while carrying out manpower planning? ANS: The major obstacles in manpower planning are as follows: Non Optimal Utilization of Manpower The biggest obstacle for manpower planning is the fact that organizations cannot optimally use their manpower once manpower planning begins. During man power planning, the number of resources required for a job is decided based on the total work load, the process to be followed and the criticality of the job. Once the analysis is done, it is decided that one person can only handle a certain portion of the workload and hence for any additional workload, additional resources need to be hired proportionately. Over a period of time, the total workload may change, the processes may change, the criticality of the job may change and new technological innovations may make the job far easier to accomplish. However when the same employees are asked to step up the productivity, they resist accepting any additional workload and resist even deployment of new technology, hence making it hard for the management to maximize the use of their manpower. This makes the organizational processes ineffective or inefficient and hence the organization as a whole become ineffective or inefficient and loses out to competition which may be able to remain lean in terms of number of resources and highly effective and efficient. Absenteeism Every organization has witnessed an increase in absenteeism. This has lead to errors creeping in the manpower planning exercise. If the plan stated that 4 employees are required to manage the total workload, increased degree of absenteeism leads to the partial failure of the manpower planning exercise. Lack of Employable Labor People are not employable. The slow pace of acquiring business required competencies by people at large also result in low employee productivity. All manpower planning is done basis a certain productivity level considered as a benchmark. And low productivity has negative implications for manpower planning. Modern Manpower Control and Review Processes Any increase in manpower is to be approved by the top most levels of the management today. Manpower budgets created on the basis of manpower planning act as control mechanisms to keep the manpower cost and headcount under certain defined limits.

Usually the productivity of any organization is calculated using the formula: Productivity = Output / Input. Example: 5 products are sold during the day/ 8 hours of effort put in during the day. i.e., the sales productivity of the employee is 5 products per day. But a rough guide of employee productivity used today is: Employee Productivity = Total Production / Total no. of employees Example: 50 products are sold during the day/12 employees were responsible for selling 50 products during the day. i.e., the sales productivity of each employee is 4.17 products per day. The rate of manpower turnover, exit interviews and absenteeism are sources of measuring dissatisfaction level of manpower. To eliminate employee dissatisfaction and to ensure better utilization of resources a study of the reasons causing the dissatisfaction level is required. Overtime is paid to employees due to real shortage of manpower, inefficient management or improper utilization of manpower. Manpower planning requires a study of the overtime statistics. The current pace at which business is done today is very fast. Many organizations either do not have data or are overwhelmed with data. Non availability and non utilization of the data are also reasons for complicating the situation. In some organization even the existing technologies available for manpower planning are not optimally used. This also creates obstacles in manpower planning. Example: Business Scenario for Obstacles in Manpower Planning (Lack of employable labor) The entire BPO industry is suffering with this scenario of lack of employable labor. In a dynamic business scenario, manpower planning is critical to organizational growth and stability. It is integral to recruiting, retaining, retraining and redeployment of talent. Linked to business needs of the organization, the process of manpower planning is much more complicated than it seems. Manpower planning involves developing skills and competencies of existing employees to meet market demands which can change with time. Manpower planning also requires having a contingent plan in place in case of any eventuality (talent shortage). Out of every 100 candidates interviewed only 10 of them are employable. Majority of them are unemployable by the BPO industry. Its a known fact in the BPO industry. The manpower planning exercise requires BPO companies to budget for travel to the interiors of the state, travel to other states. It also needs to budget for providing new joiners with relocation allowance. It has to make provision for some joining bonuses as well when the hiring by all companies was at its peak. It decided to lower the level of hiring and spend additional time on training candidates. It needed to engage external organizations to evaluate the voice and accent capability or the potential of the candidate in order to validate its own findings with that of an independent agency, so that no potential candidate was rejected and no candidate who was not trainable was hired.

Q6. Ms. Lalita Singh has joined Triumphant India Private Limited. As an HR Manager, how would you prepare an induction programme for her?

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