To set-up an HR Department

in an Organization

Shalini K K
June 2009
What company expects from HR

Balance Forces

2
HR Mission

To facilitate the alignment of human capital with organizational

goals.

3
The Building blocks of HR

HUMAN RESOURCES

HUMAN
HUMAN ORGANIZATI
ORGANIZATI PERSONAL
PERSONAL
PERSONAL
PERSONAL RESEARCH
RESEARCH
COMP& EMP
EMP TRAINING
TRAINING &
& PERFORMANC
PERFORMANC ORGANIZATIO
SELECTION
SELECTION & INFORMATION
& INFORMATION ORGANIZATIO
RESOURCE
RESOURCE ON/
ON/ JOB
JOB MANAGEMENT
MANAGEMENT SYSTEM
SYSTEM ASSISTANCE
ASSISTANCE DEVELOPME
DEVELOPME E
E N
N
PLANNING DESIGN &
& STAFFING
STAFFING BEN NT MANAGEMENT
MANAGEMENT DEVELOPMENT
DEVELOPMENT
PLANNING DESIGN NT

INTERNAL
INTERNAL EXTERNAL
EXTERNAL
COMPLAINCE
COMPLAINCE ISSUES,POLICIES
ISSUES,POLICIES COMMUNICATIO
COMMUNICATIO COMMUNICATIO
COMMUNICATIO
PROCEDURES
PROCEDURES N
N N
N GRIEVANCE
GRIEVANCE RESOLUTION
RESOLUTION

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HR Planning

 Planning for Future Balance by comparing the number of needed

employees to the number of present employees who can be
expected to stay with the organization, which leads to experienced
and capable personnel.
 Planning for recruiting or laying off employees.
 Planning for the development of the employees to be sure the
organization has a steady supply of experienced and capable
personnel.

5
Organization / Job design

Defining how tasks, authority and systems will be organized and

integrated across organization units and the individual jobs.

6
Selection and staffing

 Job descriptions, selection tools, mode of selection, background

checks to be designed.
 Internal and external recruitment policies to be designed.
 Templates of appointment letter, offer letter and reference forms to
be introduced.
 Recruitment manual to be made.

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Personnel Management

 Determine the compliance issues - wages and hours of work,

leaves of absence including maternity leaves, harassment, and
others.
 Policies and procedures manual- cover everything from
establishing the company as an at-will employer to benefits.
 Employee files- Application for Employment form or resume, any
insurance forms that the employee may have signed, and
performance appraisals.
 Recordkeeping - HRIS, confidential records, other forms to be
maintained.
 Employee handbook to be designed compliance with state
regulations and that the policies and the way they are written
are in the best interests of the company.
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Contd…

 Check if basic policies are in place. These can be thought of as

grouped into conditions of employment, benefits, and disciplinary
processes.
 Check if there is a balance between stated corporate and employee
rights and obligations.
 Ensure all the required postings, forms, and documentation
required by the respective governmental agencies
 Canteen- Coupons , contractor details, budget for canteen and
other forms to be kept in place.

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Personal research & Information
system

 Information function- Changes in policies, changes in benefits, even

changes in laws must be communicated to all employees.

 Employee communications - handbook, newsletter, recognition programs,

announcements, electronic communication.
 Internal communications -policies and procedures, management development,
management reporting.

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Compensation & Benefits

 Compensation - methods, consistency, market to be designed.

 Mandated benefits like PF, ESI,Gratuity, worker's compensation
has to be planned.
 Optional group benefits i.e. insurance, time off benefits, flexible
benefits, retirement plans, employee assistance programs, perks to
be designed.
 Payroll (i.e. internal vs. external options, compliance) needs to
assessed and maintained.

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Employee Assistance

 Employee relations - labor agreements, disciplinary procedures,

employee recognition, providing personal problem solving,
counseling to individual employees.
 Union/ Labor relations- ensuring healthy union/organization
relationships.
 Safety and health of employee

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Training and Development

 Induction, training, staff development, tuition reimbursement, career

planning, succession planning, sabbaticals need to kept in place.
 Templates for training calender, training modules and proposals to
be designed.

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Performance Management

 Performance appraisal, performance evaluation, competency

mapping ..etc to be maintained.
 KRAs of each employee to be designed.
 The necessary templates such as appraisal form, competency
mapping form needs to be kept in place.
 Keep a check on absenteeism, tardiness, turnover, poor quality,
missed deliveries, and poor productivity.

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Organization Development

 Assuring healthy inter, intra-unit relationships and helping groups

initiate and manage change.
 Managing change during mergers , acquisitions, recession ..etc.

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Thank You