HUMAN RESOURCE MANAGEMENT Unit – I Human Resource Management – Definition – Objects and functions – Role and structure of personnel function in organizations – Personnel principles and policies. Unit – II Human Resource Planning – Characteristics – Need for planning – HRP Process – Job analysis – Job design – Job description – Job specification Unit – III The Selection Process – Placement and induction – ‘Training and development – Promotion – Demotions – Transfers – Separation Unit - IV Wage and Salary Administration – Factors – Principles – Compensation plan – Individual – Group – Incentives – Bonus – Fringe benefits – Job evaluation – Wage and salary administration in relation to personal taxation. Unit – V Employee Maintenance and Integration – Welfare and safety – Accident prevention – Administration of discipline – Employee motivation – Need and measures Unit – VI Personnel Records/Reports – Personnel research and personnel audit – Objectives – Scope and importance.



HUMAN RESOURCES MANAGEMENT – AN INTRODUCTION Management of Men is a Challenging job. In any organisation, “The management of Man” is a very important and challenging job; It is important because it is getting a job done, not of managing but of administering a social system. The management of men is a challenging task because of the dynamic nature of the people. People are responsive; hey feel, think, and act, therefore, they cannot be like a machine or shifted and altered like a template in a room layout. They, therefore, need a tactful handling by management personnel. If manpower is properly utilized, it may prove a dynamic motive force for running an enterprise at its optimum results and also work as an excellence output for maximum individual and group satisfaction in relation to the work performed. Manpower management is a most crucial job because “managing people is the heart and essence of being a manager.” It is concerned with any activity relation to human elements or relations in organisatoin. Material elements, however, are beyond its domain. This view has been rightly summed up by J.M. Deitz (of Chicago). He observes: “A business or an industry can be thought of as an inter-weaving of human elements and material elements, with the human elements as the warp; while inter-locking and inter-weaving with this element are the material elements – the woof of the fabric. The wrap of the fabric is the human element appearing and reappearing, strength giving element holding the entire fabric together, and giving it life and a character of continuity.” A business cannot succeed if this human element is neglected. Importance of Human Resources Management

Yodder, Heneman had discussed about the importance of human resource management from three standpoints, viz, social, professional and individual enterprise.
(A) Social Significance: Proper management of personnels, enhances their dignity by satisfying their social needs, this it does by: (a) maintain a balance between the jobs available and the jobseekers. According to the qualifications and needs; (b) providing suitable and most productive employment, which might bring them psychological satisfaction; (c) making maximum utilization of the resource in an effective manner and paying the employee a reasonable compensation in pro portion to the contribution made by him; (d) eliminating waste or improper use of human resources, through conservation of their normal energy and health; and (e) by helping people make their won decisions, that are in their interests. (B) Professional Significance: By providing healthy working environment it promotes team work in the employees. This it does by: (a) maintaining the dignity of the employee as a ‘human-beings’ (b) providing maximum opportunities for personnel development; (c) providing healthy relationship between different work groups so that work is effectively performed (d) improving the employee’s working skill and capacity; (e) correcting the errors of wrong postings and proper reallocation work. (C) Significance for Individual Enterprise: It can help the organisatoin in accomplishing its goals by; (a) creating right attitude among the employees through effective motivation; (b) utilizing effectively the avail able human resources; and (c) securing willing co of the employees for achieving goals of the enterprise and fulfilling their


HUMAN RESOURCES MANAGEMENT – DEFINITIONS Walton (1985). love. of recognition. Coincidence of interest between stakeholders can be developed. The setting of goals and their acceptance by employees promotes voluntary co-operation and co-ordination. have attempted to define the Human Resource Management as. self-regulated behavior is achieved. Beer and Spector (1985) emphasized a new set of assumptions in shaping their meaning of HRM. This means that the determination of objectives. They also help in establishing the “character” BSPATIL . with emphasis of ‘fit. directly or indirectly contribute to the objectives of that organisation. Announced organizational goals invest work with meaning. it is process of stresses mutually between employers and employees in following ways: Mutual goals. mutual responsibility. purposes or goals is of prime importance and is a prerequisite to the solution of most management problems. The theory is that policies of mutuality will elicit commitment which in turn will yield both better economic performance and greater human development.4 own social and other psychological needs belongingness. linking HRM with strategic planning and cultural change. Objectives serve as standards. mutual rewards. esteem and self-actualization. mutual influence. People must have a purpose to do some work. People are social capital capable of development. Open channel of communication to build trust and commitment Goal orientation Participation and informed choice. affection. against which performance is measured. Objectives of Human Resources Management One of the basic principles of management is that: all the work performed in an organisatoin should. The objectives stand out as guidelines for organsiational performance . mutual respect. Objectives are pre determined ends or goals at which individual or group activity in an organisatoin is aimed. They help in setting the pace for action by participants. The formations of the objectives of an organisation is necessary for the following reasons: i) ii) iii) iv) Human beings are goal-directed. Proactive system wide interventions. in some way. Seek power equalization for trust and collaboration.

protecting women and children.5 of an organisatoin. Conditions of employment for all the members of an organisatoin which provide for satisfaction in relation to their needs. The continuity of the enterprise. and from faults inherent in a particular organizational structure. positions. Davis has divided the objectives of an organisatoin into two categories: (a) Primary objectives. and providing for aged personnel. b. Thirdly. Ralph C. Non-monetary objectives include prestige. The behaviour of individuals and groups in (iii) BSPATIL . Secondly. they relate to the satisfaction of the personal objectives of the members of an organisatoin through monetary and non-monetary devices. so that they may be motivated to work for the success of the enterprise. and (b) Secondary objectives. accountability. relate to the creation – and distribution of some goods or ser ices. Monetary objectives include profits for owners. and by defining clearly the responsibility. The secondary objectives aim at achieving the primary objectives economically. salaries and other compensation for executives. bringing comfort and happiness to society. friction may develop in an organisation. the goods and services required by the community/society. or usefulness of. in distribution and in finance. the objectives of personnel administration may be laid down as follows: (i) (ii) To achieve an effective utilization of human resources in the achievement of organisation goals. by reconciling individual/group with those of an organisation in such a manner that the employees feel a sense of involvement. status. In the absence of an integration. security. such as serving the customers honesty promoting a higher standard of living in the community. they relate to the satisfaction-of community and social objectives. in sals. Friction may result from political aspirations. a.m commitment and loyalty towards it. The goal of personnel function is the creating of a work force with the ability and motivation to accomplish the basic organizational goals. To secure the integration of the individuals and groups with an organisatoin. The effective utilization of people and materials in productive work. Primary objectives. rent for the landowners and interest for share/stock-holders. Friction produces inefficiency. authority for each job and its relation with other jobs/personnel in the organisatoin. (iii) (iv) According to the American Management Association. from difficulties in communication. The Personnel Department assists those who are engaged in production. wages and other compensation for employees. To establish and maintain an adequate organizational structure and a desirable working relationship among all the members of an organisatoin by dividing of organisatoin tasks into functions. The fulfillment of the primary objectives is contingent upon: (i) (ii) The economic need for. recognition. in the first instance. jobs. efficiently and effectively. Which may lead to its total failure. or some other psychic income.

Capable people should be picked upon the basis of the qualifications fixed. by showing an appreciation of work well done. v. and protection against such hazards of life as illness. Without clear-cut objectives. each indicating clear-cut authority. failing which a great deal of confusion may-arise. unemployment etc. To achieve these objectives. BSPATIL ..6 any organisation also involved frictions. (iv) To generate maximum individual / group development within an organisatoin by offering opportunities for advancement to employees through training and job education or by effecting or by offering retraining facilities. as also the relationship of the position with another. ii. vi. old age. Moreover. a wide-scale enquiry and consolation should be undertaken before their formulation and efforts should subsequently be made to develop a common understanding of the objectives among managers at various levels. tools and raw materials. Specificity and clarity are both important in defining the objectives. To recognize and satisfy individual needs and group goals by offering an adequate and equitable remuneration. so that the employees may work willingly and co-operate to achieve an organization’s goals. personality conflicts cliques and factions favoritism and nepotism. The goals to be achieved should be specially made known to all concerned in the language best understood by them. Since objectives have to be shared by many senior persons in an organisation. The objectives should also be comprehensive. iii. (v) (vi) Pre-requisites for the Achievements of the Objectives Setting up the objectives of an organisation may be the fullest contribution of human resources management for the achievement of the organisatoin of long and short term plans and of the operations of the organisation in an environment of high morale and vitality consistent with profit ability and social milieu with the ethical values of society and with the policies and regulations established by the country’s legislature. death. and by offering better chances for future advancement and training. responsibility and duties. disability. To maintain a high morale and better human relations inside an organisation by sustaining and improving the conditions which have been established so that employees may stick to their jobs for a longer period. Individual and group efforts/potentialities must be effectively utilized by providing suitable work opportunities. The objectives should be clearly defined. Willing co-operation of the people to achieve the objectives must be available by creating such feelings as “people work with us” rather than saying that “people work for us” The tasks of an organisatoin should be properly divided in accordance with a sound plan into functions and positions. the following pre-requisites must be satisfied: i. iv.personal jealousies and prejudices and idiosyncrasies. vii. economic and social security in the form of monetary compensation. the management of organizational records cannot be kept in balance. and the management of one section may interfere with that of another.

there can be – not standards by which to evaluate the performance of an individual or that of the whole organisation. service benefits and security against hazards of life and of employment and against the arbitrary actions of supervisors should be to employees. and yet others as ‘personnel administration functions’ and ‘Industrial Relation Functions’. the refining or revising of objectives is the most fundamental task of all managers at all levels. Accordingly. Whatever functions are listed therein. such as BSPATIL . the main objectives of these function is to bring together expertise in a scientific way and to create attitudes that motivate a group to achieve its goals economically. Such management is concerned with leadership in both groups and ‘individual relationship’ and ‘labour relations’ and ‘personnel management’. A properly prepared grievance handling procedure and disciplinary plan should also be available. Again. Suitable monetary and non-monetary incentives. On the other hand. It effectively describes the process of planning and directing the application. The ‘Industrial Relations’ functions. viz. Others have classified functions as general and specific functions. In fact.. viii. or on the basis of authority. Such functions involve all activities of employer-employee relationship.7 without clear-cut objective. in the form of adequate and reasonable pay-packets. “personnel administration” refers to “creating. personnel management undertakes all those activities which are concerned with human elements or relations as well as with material elements in an organisation. effectively and speedily. on the other. (ii) to assist in the programmes of personnel administration (iii) to develop a competent work force. are “not dire related to the function of ‘managing people’. developing and utilizing a ‘work group’ involves all types of inter of inter-personnel relationships between superiors sub-ordinates”. in the personnel management is required the following steps: (i) to conduct personnel research. and (vi) to establish and administer varies personnel services delegated to personnel department’ (b) Personnel Administration & Industrial Relations Functions Personnel administration functions relate to the functions of managing people from the lower to the upper level of the organisatoin and embraces policy determination as well as implementation of policies by the personnel at the lower levels. This types of classification of functions has been discussed as below: (a) The General and Specific Functions The ‘General’ type of functions. managerial functions and operative functions. Functions have also been classified on the basis of the capacities. an absence of objectives often leads to organizational disaster. CLASSIFICATION OF FUNCTIONS Various philosophers and experts have generally classified the functions into two major categories. development and utilization of human resource in employment. but refer to interactions between the management and the representatives of the unions”. PERSONNEL FUNCTION IN ORGANISATION Function of personnel management is the process of management of human resources in an organisation and is concerned with the creation of harmonious working relationships among its participants and bringing about their utmost individual development.

direction of payroll calculations. e. (b) Area of combined use of authority and persuasion. and (c) Area of maximum persuasion. orientation procedure. In their view. viz. (a) the “reductive” or “threat approach”. employment of individuals recommended by the personnel department in other departments... Managerial Functions “Management is a multi-purpose organ which has three jobs.” Thus. disciplinary action. arbitration. two of which are directly related to personnel managing a business: ‘managing managers and managing workers and the work S Lawrence Appley says that “Management is the accomplishment of results through the efforts of other people”. management may be thought of as the process of allocating an organisatoins inputs (human and economic resources) by planning. In the opinion of Harold Koontz. research. diagnosis. directing and controlling for the purpose of producing outputs (goods and services) desired by its BSPATIL . e. according to him: The typical staff function are indirectly related to action and characterized by development. interpretation. determining the number of participants in a training programmes. decisions. The latter approach is more close to “behavioral approach to management. etc. performance and instruction. the purpose of all these being to prevent conflict between the particulars. initiating disciplinary action. planning. establishment of disciplinary procedure.8 organisation of the union members. and (2) Operative functions. enforcement. etc. and (b) the “augmentative” or “source of help” approach.. collect bargaining. The functions generally classified as (1) Managerial functions. e.” They have classified his functions in to three categories thus: (a) Area of maximum authority. “It is the art of getting things done through people and with informally organized groups.. consultation. salary changes under the rules of the plant. application.g. control. (d) Functions According to the Degree of Authority Dale Henning and French made an interesting observation that “The personnel man is described in the text books and journals is like ‘Abominable Snowman’ much talked bout but seldom seen. investigation and recommendation and The typical line functions are related to command action and characterized by direction.g. 1. organizing. (c) Functions Classified on the Basis of Capacities Saltonstall suggests two approaches for the development of Line officiates. etc. negotiation of contracts. transfer rules. inter-departmental data gathering. etc..g. evaluation. grievance handling.

etc. “An organisation is a structure. reference calling). “many managers would agree that the effectiveness of their organisatoin would be at least doubled if they could discover how to tap the unrealized potential present in their human resources” (d) Coordinating and Controlling. “it is not just score-keeping. actuating or commanding) the subordinates at any level is a basic function of the managerial personnel.9 customers so that organisation job objectives are accomplished in the process. including application forms psychological tests. so that a unity of action in pursuit of a common purpose is achieved. It deals with specifically with such subjects as the determination of manpower requirements. (b) The development function is concerned with the personnel development of employees by increasing their skill through training so that job performance is properly achieved. medical check-up. (a) Planning is a pre-determined course of action. and maintaining an efficient work force.” (c) Directing (motivating. According to Allen. identifies relationships and integrates its activities towards common objectives. office and vestibule-training. BSPATIL . Coordinating refers to balancing timing and integrating activities in an organisation. developing. These functions are at known as service functions. compensating. strategies. It is not just plotting the course and getting location reports. regulating and verifying whether everything occurs in conformity with the plan that has been adopted. providing for educational and vocational counselling and appraising employee potential and performance are undertaken under this function. (a) The procurement function is concerned with the obtaining of a proper knd and number of personnel necessary to accomplish an organisation’s goals. transfers.” (b) Organizing: After a course of action has been determined. holding seminars and conferences. without it. discharge and separation. According to McGregor.c.” 2. selection and placement (comprising activities to screen and hire personnel. According to J.” Planning is the determination of the plans. but rather it is steering the ship. In the words of Terry. follow-up. and standards needs to accomplish the desired organisatoin objectives in fact. procedures. Drafting and directing training programmes for all levels of employees. an organisation should be established to carry it out. lay-offs. “Co-ordination deals with the task of blending efforts in order to ensure a successful attainment of an objective. the instructions issued and the principles established. Massie. Operative Functions The operative functions of personnel management are concerned with the activities specifically dealing with procuring.” In the words of Drucker: “The right organizational structure is the necessary foundation. work is performed with and through organisatoin personnel in an ever changing business environment.” (e) Controlling is the act of checking. It is greatly concerned with actions and remedial actions. programmes. policies. “it is a trap laid to capture the future” Terry is of the View that “planning is the foundation of most successful actions of any enterprise. their recruitment. a framework and a process by which a cooperative group of human beings allocates its tasks among its members. “planning today avoids crisis tomorrow. arranging for their on-the-job. induction. interviews. the best performance in all other areas of management will be ineffectual and frustrated.

10 (c) The compensation function is concerned with securing adequate and equitable remuneration to personnel for their contribution to the attainment of organizational objectives. Flippo rightly says: “The purpose of all of these activities is to assist in the accomplishment of the organization’s basic objectives. establishment of job classifications. yet difficult of the personnel management is to bring about an “integration” of human resources with organisatoin. the starting point of personnel management as of all management must be a specification of those objectives and a determination of the sub-objectives of the personnel function: The expenditure of all funds in the personnel departments can be justified only in so far as there is a net contribution toward company objectives. contract negotiations. and organisation interests. iii) Staffing the organisation. the principal activities of manpower management are: i) Setting general and specific management policy for relationships and establishing and maintaining a suitable organisatoin for leadership and co-operation. fall under this category. v) Incentivating. job descriptions and job analyses. developing and maintaining motivation for work. in a typical industrial relations and personnel department. “Integration” is concerned with the attempt to effect a reasonable reconciliation of individual. Functions related to wage surveys. Consequently. wage pans and policies. the most important. getting and holding prescribed types and number of workers. wage systems. (d) Integration function After the employee has been procured. BSPATIL . contract administration and grievances. vii) Industrial relations research.. merit ratings. Specific problems of maintaining the physical conditions or employees (health and safety measures) and employ service programmes are the responsibility of the personnel department. the establishment of wage rates and wage structure. providing opportunities for personnel development and growth as well as for requisite skills and experience. incentives and profit-sharing plans etc. vi) Reviewing and auditing manpower management in an organisatoin.” CLASSIFICATIONS OF PERSONNEL FUNCTIONS Below are give some important classifications of personnel functions made by experts in the field: Yoder’s Classification: According to Yoder. and to cope with inevitable conflicts that ensue. iv) Aiding the Self-development of employees at all levels. (e) The maintenance function deals with sustaining and improving the conditions that have been established. ii) Collective bargaining. societal. carrying out studies designed to explain employment behaviour and thereby effecting improvements in manpower management. his skill and ability developed and monetary compensation determined. finding.

(vii) Safety and institutional protection. 4. ideas and inquiries. consultative methods of management with tire objectives of: a. Health and Safety Education. wage and salary surveys. 3. Employee Services. Personnel Research: Continuing studied of all employee relations policies. Nelson classified seven functional categories as follows: i. medial care. demotions. namely: (i) Employment. (ii) To develop throughout the organisatoin an understanding of. (b) the scientific management influence the industrial relations emphasis. report preparing.. health. and (b) Obtaining the participation of operating groups and opportunity for creative analysis and initiative in carrying out their assigned tasks at all levels in the development and administration of the company’s personnel programme. Benefits and Services: Insurance. Wages. 6. Dale Yoder and Robert J. Training – Induction. and 7. and retirements plan administration. orientation. contract administration and grievances. (a the welfare’ approach. (iv) Job analysis and evaluation. (x) Research. record keeping. ii. (viii) Financial aids to employees. supervisory training and management development. Employment. iii. and separations.11 Yoder and Nelsons’ Classification: On another occasion. (xi) Employee-employer and community cooperation. in the organisation and planning of supervisory control. (vi) Health and Sanitation. 5. (iii) Formulation and direction of training programmes. BSPATIL . (v) Remuneration and incentives. transfer termination. Northcott’s Classification: After referring to three types of approach to the task. (ix) Employee service activities. hospitalization. placement. viz. policy formulation and general administration. Scott.F. and (xii) Labour union contracts and co-operation. Kindall prescribes the following functions for the personnel management: (i) To aid in the development of general overall management policies and methods. Improving leadership and supervision. vi. and an enthusiasm for. Clothier and Spriegel divide the functions of the personnel management into these specific categories. Selection and Training. personnel rating. programmes and practices. Industrial Relations. 2. vii. job analysis and description. Employment and Placement: Recruitment. Northcott gives the functions of personnel management thus: 1. reports and follow-up. Education. Wage and Salary Administration. selection. (ii) Promotion. Clothier & Spriegels’ Classification: Scott. on the basis of an enquiry regarding descriptions of 984 employee-relations jobs conducted in 189 companies. v. Kindall’s Classificatoin: A. on-the-job training. Collective Bargaining: Contract negotiation. iv. and in the communication of orders. Departments Administration Programme: Planning. Job evaluation.

(b) Development of promotional ladders by means of job analysis. (xi) Communication with employees. workable methods of measurement of their accomplishments. credit union administration. including State employment services. (c) Assistance for in-company transfer. to participate in all collective bargaining activities. (viii) Hours and conditions of works. (b) Approval of action. that the company’s approved policies and practices of personnel administration are executed properly. (v) To make certain. Straus’s and Sayles’ Classification: (i) Recruitment. (vi) To establish and maintain contacts with labour movement. overtime. (vii) To aid in the interpretation of the management’s policies to employees and employees’ point of view and attitude to the management and. (iv) To formulate. college and school recruiting. (e) BSPATIL . (ii) Job Analysis. (iv) Employment Records: (a) Maintenance of job histories. (ii) Administration and supervision. career development (d) Assistance for lay-offs and plant closing through job searches for redundant personnel. (iii) Compensation and Appraisal Plans: (a) Design and implementation of personnel appraisal plans. to keep itself informed and. projecting future company needs. (xii) Research work. and (b) simple. (b) Wage administration (c) Control of merit increases. employment agencies. and (f) Manpower planning. (v) Employee Benefit Programmes: (a) Administration of life insurance. skill inventories and aptitude and education information. disability and compensation payments. job Description and Job Evaluation: (a) Development of methods that will facilitate personnel placement and assignment of money values to skill and experience. in collaboration with the supervisory and executive organisation policies for personnel administration and to implement those policies approve by the management in accordance with the best plans and practices of personnel administration. (v) Wage and salary administration. in collaboration with the appropriate line personnel to merchandize the company and the jobs to employees. (d) Recreation and athletic programmes. and (c) Position guides for organizational planning and information for new placements. and (xiii) Relations with local business and community organisation. authorities. and (b) Maintenance of wage and hour records. (ix) Health and safety. and to advise all the departments of the company on the development of sound labor relations. and responsibilities. (e) Labour market surveys and projection of potential shortages. Carey’s Classification: Carey outlines the common functions of the personnel management as: (1) Organisation for personnel administration. in collaboration with the supervisory and executive personnel. (b) Screening and testing techniques. Selection c Placement: (a) Contact with and evaluation of advertising media. vacation payment incentive earning. (iv) Training employee development. (x) Benefits and employee security matters. (iii) Employment.12 (iii) To aid the executive and supervisory organisation in developing (a) clearly written outlines of functions. (c) Suggestion and saving plans. including physical examination. (d) Design and installation of incentive and bonus plan and (e) Administration of deferred compensation plans such as profit sharing and bonus plans. pension and health and welfare benefits. wherever possible. (vi) Force adjustment. (vii) Relation between employees and management. output records.

preventive medicine. and mechanical engineering) of production. jobs and tasks. Organizational Planning. Organizational Planning. industrial psychology. Employee Records. and Personnel Research and Personnel Audit. policy manuals. This BSPATIL . II. photography. (b) Company guards and protection services. (vi) Special Services Safety inspection: (a) Safety plans and controls. alcoholic). (g) Community referrals (psychiatric. Motivation and Incentives. Employee Services and Benefits. (i) A determination of the needs of an organisation in terms of a company’s short and long-term objectives. Staffing and Employment The staffing process is a flow of events which results in a continuous manning of organizational positions at all levels – from the top management to the operative level. and the formation of a homogeneous. IX. development and designing of an organizational structure through the fixing of the responsibility and authority of the employees. first aid. (ii) (iii) II. V. Development and Task Specification Staffing and Employment. (c) Staff reception areas. Training and Development. VIII. VI. Wage and Salary Administration. Development and Task Specification “Organizational planning” is concerned with the division of all the tasks to be performed into manageable and efficient units (departments. and (h) Counselling service. engineering. The planning. the functional areas of personnel management may be set forth as below: I. III. Labour or Industrial Relations. cohesive and effectively interacting informal group. Compensation. Developing inter-personal relationship through a division of positions. FUNCTIONS OF PERSONNEL MANAGEMENT On the basis of the various functions which the personnel management generally undertakes. divisions or positions) and with providing for their integration. printing house organs. (f) Company medical services. VII. I. employee clubs. keeping in view the external environment and public policy. deciding about the nature of product to be manufactured. and (d) Communication services. including fire-fighting. IV. new releases and instructional manuals. the creating of a healthy and fruitful inter-personal relationship. utilization of technology (industrial.13 Cafeteria. so that organizational goals may be effectively achieved. Both differentiation and integration are vital for the achievement of pre-deter mined goals.

resignation. A number of device and sub-systems are used in the systems designs to manage the staffing process. Separation process is concerned with the serving of relation ship with an employee on grounds of resignation. sick leave of absence. the making up of final recommendations to the line management and the sending of offers and rejection letters. (ii) Recruitment is concerned with the process of attracting qualified and competent for different jobs. Exit interviews of employees are arranged. or for recruiting and hiring new personnel with appropriate qualifications. These are: i) Planning tables and charts. the development of new sources. and death. placement induction and orientation. retirement.14 process includes manpower planning. and the need for attracting a large number of potential applicants so that a good selection may be possible. disability. causes of labour turnover are to be analyzed and advice is given to the line management on the causes of and reduction in labour turnover. discharge. promotions. (i) Manpower planning is a process of analyzing the present and future vacancies that may occur as a result of retirements. This includes the identification of existing sources of the labour market. (iii) Selection Process is concerned with the development of selection policies and procedures and the evaluation of potential employees in terms of job specifications. his qualifications and personality needs. future development opportunities. philosophy. products. transfers. developing sources of applicants. just and equitable promotion policy and procedure have to be developed. and an analysis of present and future expansion or curtailment in the various departments. lay-off. goodwill in the market and in the community. promotions and separations. death. (v) Induction and orientation is meant the introduction of an employee to the organisatoin and the job by giving him all the possible information about the organization’s history. demotions. (viii) BSPATIL . policies. This is done by developing transfer policies and proc counselling employees and line management on transfers and evaluating transfer policies and procedures. For this purpose. interview techniques. evaluation of applicants. authorization for planning. objectives. for advertising openings. disability. keeping in view the job requirements. transfers. Plans are development of present employees. or other reasons. (iv) Placement is concerned with the task of placing an employee in a job for which he is best fitted. a fair. which have to be evaluated to find out whether they have been successful. employee referral systems. discharges. evaluation and selection of personnel in terms of job specifications. and by introducing him to other employees with whom and under whom he has to work. line managers and employees have to be advised on these policies. (vii) Promotion is concerned with rewarding capable employees by putting them in higher positions with more responsibility and hither pay. discharge or retirement. (vi) Transfer process is concerned with the placement of an employee in a position in which his ability can be best utilized. lay-off. This process includes the development of application blanks. valid and reliable tests. employment decisions.

and programmes for managerial. ii. iii) Interviews. performance appraisal plans. BSPATIL . v) Reference checks. reading and participation in the activities of the community. IV. classifying jobs into various categories and then determining their relative value in various categories. This process includes: (i) The determination of training needs of personnel at all levels. techniques and programmes are chalked out. the supply and demand conditions in labour market. the cost of living. and viii) Exit interviews III. during off-hours (including attendance at school/college/professional institutes). taking into consideration certain facts such as the ability of the organisation to pay. iv) Psychological tests. their implementation evaluated. skill training employee counselling. wage and salary surveys have to be conducted. The performance appraisal is concerned with evaluating employee performance at work in terms of pre-determined norms/ standards with a view to developing a sound system of rewards and punishment and identifying employees eligible for promotions. Compensation. For developing a wage and salary programme. and their effectiveness evaluated.15 ii) Application blanks. Wage and Salary Administration It is concerned with the process of compensation directed towards remunerating employees for services rendered and motivating them to attain the desired levels of performance. The components of this process are: i. Job Evaluation through which the relative worth of a job is determined. and (ii) Self-initiated development activities (formal education). vi) Physical examination. and report submitted to the concerned authorities. The incentive compensation plan includes non-monetary incentives which have to be developed. Wage and salary programme which consists of developing and operating a suitable wage and salary programme. and the wage and salary levels in other firms. This is done by selecting suitable job evaluation techniques. professional and employee development. Training and Development It is a complex process and is concerned with increasing the capabilities of individuals and groups so that they may contribute effectively to the attainment of organizational goals. administered and reviewed from time to time with a view to encouraging the efficiency of the employee. iv. wage and salary rates have to be determined and implemented. For this purpose. vii) Performance reviews. iii.

unemployment and workmen’s compensation. a communication system is developed. The line management has to be advised on the implementation of the plan and on the need. VI. and e. and housing. morale and attitude surveys are undertaken. b. free or at subsidized rates. d. and procedures for the safety and health of the employees are developed. symbols of status) is formulated. Suitable policies and programmes are framed and efforts are made to administer these services satisfactorily. (iii) Medical services include the provision of curative and preventive medical and health improvement facilities for employees. Payments for time during which not work is done – paid vacation or bonus in lieu of vacation. get – ready time. a plan for non-financial incentives (such as recognition. lunch periods. free or otherwise. Pensions.16 v. expenses of hospitalization. A periodical medical check-up of employees. educational. Employee Records BSPATIL . techniques. The line management has to be advised on the general nature of the problems which the employees may face from time to time. the line management is advised on the implementation and operation of safety programmes. paid sick and maternity leave. policies. insurance. For this purpose. voluntary retirement benefits. travel time. gratuities and such other payments as are agreed upon – death benefits. privileges. Motivation is concerned with motivating employees by creating conditions in which they may get social and psychological satisfaction. Employee Services and Benefits These are concerned with the process of sustaining and maintaining the work force in an organisation. contribution to employees’ provident funds. (ii) Employee counselling is the process through which employees are given counsel in solving their work problems and their personal problems. and the effectiveness of the safety programmes evaluated periodically. For this purpose. the health of human organisatoin diagnosed and efforts are made to improve human relations in the organisation. sickness. sports and games. payment for holidays. transport and canteen facilities. The effectiveness of such programmes has also to be evaluated. Paid rest periods. the causes of accidents have to be investigated and data collected on accidents. training has to be given to first line supervisors and workers in safety practices. They include: (i) Safety provision inside the workshop. V. (v) Fringe benefits and supplementary items are made available to employees in the form of: a. c. wash-up time. employees educational expenditure and special wage payments ordered by the courts. (iv) The recreational and other welfare facilities include entertainment services like film shows. training in hygienic and preventive measures are undertaken. Old age survivor’s and disability benefits. Profit-sharing benefits. areas and ways an means of improving the morale of employees. accident and medical care.

(i) Grievance handling policy and procedures are developed.” According to Calhoon Personnel policies constitute guides to action. grievances absenteeism. Personnel Research and Personnel Audit This area is concerned with: (i) A systematic inquiry into any aspect of the board question of how to make more effective an organisatoin’s personnel programmes – recruitment. (iii) Data relating to quality. Policy and planning are. aptitudes. alter or improve existing personnel policies. Collective bargaining has to be developed so that all the disputes may be settled by mutual discussions without recourse to the law court. working conditions and employee employer relationship. development. and to observe and comply with. PERSONNEL PRINCIPLES AND POLICIES The dictionary meaning of “policy” is a “plan of action” and that “plan” is a policy. if need be.17 In employee records complete and up-to-date information is maintained about employees. giving merit pay. leave. labour turnover. They furnish the general standards or bases on which decisions are reached. VIII. accidents etc. productivity. results of tests and interviews. selection. and a proper system of reward and punishment is developed. rewards and punishments. It is a type of standing plan that serves to guide subordinates in the execution of their tasks. after finding out the nature and causes of grievances. philosophy. programmes and procedures. so that these that that is.” “Policies are statements of the organization’s over-all BSPATIL . special interests. human resources. Labour Relations By labour relations is meant the maintenance of healthy and peaceful labour-management relations so that production/work may go on undisturbed. promotions. leave. Such records include information relating to personal qualifications. strikes. synonymous. the labor laws of the country and acquaint the line management with the provisions which are directly concerned with organisatoin. utilization of. and accommodiation to. which are collected and supplied to the top management so that it may review. wages. therefore. (ii) Procedures and policies and finding submitted to the top executive. “A policy. (ii) Rules and regulations are framed for the maintenance of discipline in the organisation. at the time of making transfer/promotions. (iv) Morale and attitude surveys. or sanctioning leave. the records may be Utilized. and locating the most delicate areas of dissatisfaction. lock-outs. job performance. concepts and principles.” says Flippo. (iii) Efforts are made to acquire a knowledge of. “is a man-made rule of pre-determined course of action that is established to guide the performance of work to ward the organisatoin objectives.. Such bargaining negotiating and administering agreement relating to wages. VII. They furnish the general lies in an organization’s values.

thus. (iii) To provide such conditions of employment and procedures as will enable all the employees to develop a sincere sense of unity with the enterprise and to carry out their duties in the most willing and effective manner. Personnel policies are: (i) The key-stone in the arch of management and the life-blood for the successful functioning of the personnel management because. indicating specifically what the organisation proposes to do and.18 purposes and its objectives in the various areas with which its operations are concerned – personnel. employee services and benefits. finance. They translate the goals of an organisation into selected routes and provide general guidelines that both prescribe and proscribe programmes which. These define the intentions of the organisatoin and serve as guidelines to give consistency and continuity to total operations. Thus. training. (ii) To ensure that its employees are informed of these items of policy and to secure their co for their attainment. personnel policies are those that individuals have developed to keep them on the rack towards their personnel objectives. Management policies are developed by working organisatoins to keep them on course headed and directed toward their organizational objectives. employee records. wage and salary administration. there cannot be any lasting improvements in labour management relations. In contrast to these. The aims of personnel policies should be/are: (i) To enable an organisatoin to fulfill or carry out the main objectives which have been laid down as the desirable minima of general employment policy. developing. competent and trained personnel for all levels and types of management. labour relations and personnel research. motivation. without these policies. and (iii) A positive declaration and command to an organisation. (ii) The statements of intention indicating and agreement to a general course of actions. The statement of specific objectives should refer to the various activities of personnel administration connected with staffing. Aims and Objectives of Personnel Policies A management’s personnel policy should have two types of objectives. dictate practices and procedures. (iv) To provide and adequate. selected course established as a guide towards accepted goals and objectives… They establish the framework of guiding principles that facilitate delegation to lower levels and permit individual managers to select appropriate tactics or programmes. redefine. and production marketing and so on. in turn. personnel policies refer to principles and rules of conduct which “formulate.” Yoder observes: “A policy is a per-determined. The statement of general objectives should express the top management’s basic philosophy of human resources and reflect its deep underlying convictiosn as to the importance of people in an organisatoin and of the management activity which deals with people. suggests the values and viewpoints which dominate the organization’s actions. break into details and decide a number of actions” that govern the relationship with employees in the attainment of the organisation objectives. general and specific. BSPATIL .

By enforcing discipline on the basis of co-operative understanding and a humane application of rules and regulations. an BSPATIL . (xi)To provide for the payments of fair and adequate wages and salary to workers so that their healthy co-operation may be ensured for an efficient working of the undertaking. By developing management leadership which is bold and imaginative and guided and by moral values. and To create a sense of responsibility. which however shall not take place in technical. b. (vi) To provide for a consultative participation by employees in the management of an organisation and the framing of conditions for this participation. for the claims-of employees as human beings. (vii) To provide an efficient consultative service which aims at creating mutual faith among those who work in the enterprise. (ix)To provide security of employment to works so that they may not be distracted by the uncertainties of their future. Favoritism and discrimination are thereby minimized. joint management councils. (x) To provide an opportunity for growth within the organisation to persons who are willing to learn and undergo training to improve their further prospectus. and e. c. and by performance appraisal discussions. (viii) To establish the conditions for mutual confidence and avoid confusion and misunderstanding between the management and the workers. Need for Personnel Policy Personnel policies need be specifically created because of the following reasons: (i) The basic need and requirements of both an organisation and its employees require deep thought. who should be guaranteed production of their fundamental rights and offered enough scope developing their potential.19 (v) To protect the common interests of all the parties and recognize the role of trade unions in the organisation. The management is required to examine its basic-convictions as well as give full consideration to practices in other organisatoins. and d. work committees. a. etc.. by developing suggestion plans. By providing and a humane application of rules and regulations. financial or trading policy. on the part of those4 in authority. (xii) (xiii) To recognize the work and accomplishments of the employee by offering non-monetary incentives. (ii) Established policies ensure consistent treatment of all personnel throughout organisatoin. By effectively delegating the human relations aspects or personnel functions to line managers.

(vi) Policies are “control guides for delegated decision making”. (iii) Make the organisation a co-ordinated team through a proper co ordinate and administration of different departments and divisions. In order that he may stick to his job. control and direction of the entire organisation without destroying the initiative of the individual employee. but not identical. that there is a minimum amount of friction and unproductive or unnecessary work. (i) Put the right man in the right place by a car selection and placement to make sure that the is physically. goals. such as fair compensation. recognition for results achieved. so that they do their present work very efficiently. but the organisation continues and along with it continue the policies.” (ii) Train everyone for the job to be done. so that their accomplishments are limited to their ambitions and abilities. so that “there will be the minimum number of square pegs in round holes. policies serve as standards or measuring yards for evaluating performance. the management must balance the needs. objectives and values of both the employees and the employees. Types of Personnel Policies BSPATIL . so that they qualify for better jobs. each employee should have sound incentives for work.’ Principles of Personnel Policies In designing personnel policies. facilities and working conditions. and when they help people to grow within an organisation. (vi) Look ahead. “that recur frequently and under similar. (v) Sound policies help to build employee enthusiasm and loyalty. incentive. for the better the tools. They seek to ensure consistency and uniformity in decisions on problems. The tenure of the office of any manager is finite and limited. and this continuity of policies promotes stability in an organisation. and opportunity and hope for advancement in the organisation. plan ahead for more and better things: Superior products should be produced and distributed. recognition. The actual results can be compared with the policies to determine how well the members of an organisation have lived up to their profees intentions.20 (iii) A certainly of action is assured even though the top management personnel may change. (iv) Supply the right tools and the right conditions of work. This calls for proper planning and organisation. they are based on the following principles. Since these policies are rules of conduct. This is specially true when they reflect established principles of fair play and justice. This calls for research and a policy of continuing product planning and development. circumstances. and these should be attractive and meet the demands of consumers. (v) Give security with opportunity. the larger the output produced with the same human effort at lower costs so that. mentally and temperamentally fit for the job he is expected to do and that the new employee may be reasonably expected to develop into a desirable employee. reasonable security. ultimately the higher wages may be paid and more good jobs provided. (iv) Because they specify routes towards selected goals.

Such policies are formulated by the Board of Directors. procedures and control which affect an organisatoin as a whole. They cover in a general way nearly every phase of an enterprise and its product and methods of financing. objectives and values. (iii) It must be reasonably stable but not rigid. It should be the result of a careful analysis of all the available. organizing and controlling or for management dealing with personnel planning. i. Policies may also be classified as major and minor. e.g. for the management dealing with personnel planning. clear and easily understood by everyone in the organisatoin so that what it progress to achieve is evident. formulation and to prevent the promulgation of numerous. (ii) It should be written in order to preserve it against loss.. be in tune with the challenge of changes in the environment and should have a built-in resilience for adjustment from time to time. it would be tantamount to insubordinations. differing and temporary oral policies from multiple sources. its marketing and personnel. Peter Drucker has observed: “The policies of an enterprise have to be balanced with the kind of reputation an enterprise wants to build up with special reference to the social and human needs. positive. Essential Characteristics/ Tests of a Sound Personnel Policy The main features of a good personnel policy are: (i) The statement of any policy should be definite. its organizational structure. BSPATIL . (v) It should indicate that the management knows that workers prefer to deal with the management on an individual basis. and a framework is established within which major executive fit the remaining policies necessary to carryout the major objectives of an organisation. The its pre-grouping of policies are those policies which are grouped for different categories of personnel. (ix)It must provide a two-way communication system between the management and the employees that the latter are kept informed of the latest developments in the organisatoin and the employers are aware of the actions and reactions of the employees on particular issues. They are formulated at the head office and apply through out the organisatoin. viz.. Jucium identifies two types. evaluated. (iv) It must be supplementary to the over-all policy of an organisatoin. to stimulate careful consideration before its.e. (vi) It should recognize the desire of many workers for recognition as groups in many of their relationships. Major policies pertain to the over-all objectives. functiona or organisation grouping of policies. assessed and revised and shluld.21 There are various types of policies. there fore. (vii) (viii) It should be formulated with due regard for the interests of all the concerned parties – the employees and the public community. plant location. and the centralized policies. The centralized policies are framed for companies with several locations. it should be periodically reviewed. organizing and controlling or for management concerned with functions of procuring developing and utilizing manpower. for if departmental policy is made such as to come into conflict and violate the company policy.

. and the role of trade unions should be restricted only to this areas. (v) Employees suggestions and complaints: (vi) Collective bargaining programmes. (iv) The knowledge and experience gained from handling day-to-day personnel problems. which determine the content and meaning of policies.e. benefits and services. recruitment. (xii) (xiii) (xiv) (xv) It must have not only the support of the management but to the co-operation of employees at the ship floor level and in the office. compensation. i. There are: (i) The past practice of an organisation. In matters of industrial relations. economic and social justice for the employees and for the community at large. though. The are not created in a vacuum but are based on a few principal sources. BSPATIL . and must be consistent with professional practice and philosophy. Before evolving such a policy. and philosophy of the Board of Directors. It must make a measurable impact. terms and peculiarities of every department of an enterprise. top management and middle and lower management. with the spirit rather than the letter of the law.22 (x) It should be consistent with public policy. slight variations may be permitted in specific policies relation to staffing. It should be uniform throughout the organisatoin. (xi)If should be generally known to al interested parties. ideals. especially in the field of the three R’s of personnel management viz. in the light of local conditions. policies should not prescribe detailed procedures. (xviii) Except in rare cases. (iii) The attitudes. (vii) (viii) State the national legislation. (ii) The prevailing practice among sister concerns in the neighborhood and throughout to country in the same industry. Changes in the company (ix)International forces. retainment. Sources of Personnel Policies Policies stem from a wide variety of places and people. It should be progressive and enlightened. (xvi) (xvii) It should have a sound base in appropriate theory and should be translate into practices.. such as may operate in times of wars. which can be evaluated and qualified for the guidance of all concerned. so that the intentions and settled course of an organisation are appreciated in terms of public opinion from the standpoint of national. trade unions should be consulted. and retirement.

on the other hand. relationships in segment of an organisation. BSPATIL . Minor policies. (xi)The extent of unionism. (xii) (xiii) (xiv) The attitudes and social values of labour.23 (x) The culture of the plant and its technology. its social and political environment. and The goals of the organisatoin. The ethical points of view or the social responsibility of the organisatoin toward the public. its business environment.

transfer. the management of materials. Stainer defines manpower planning as “Strategy for the acquisition. MANPOWER PLANNING DEFINED “Manpower Planning and “human resource planning” are synonymous. the most important is “M” for men or human resources. selection.. and (d) Planning the necessary programmes of requirements. (a) Forecasting estimates based upon the specific future plans of a company. Human resources are utilized to the maximum possible extent in order to achieve individual and organizational goals. (c) Anticipating manpower problems by projecting present resources into the future and comparing them with the forecast of requirements to determine their adequacy. attitudes and benefits of an individual involved…… It is the sum total of inherent abilities. An organization’s performance and resulting productivity are directly proportional to the quantity and quality of its human resources. Human resource or manpower planning is “the process by which a management determines how an organisation should move from its current manpower positon to its desired manpower position. both quantitatively and qualitatively. improvement. the pharse manpower planning was widely used. It relates to establishing job specifications or the quantitative requirements of jobs determining the number of personnel required and developing sources of manpower” According to Wickstrom. In any organisation. methods. promotion. motivation and compensation to ensure that future manpower requirements are properly met. to do things which result in both the organisation and the individual receiving the maximum long-range benefit. machines. development. utilization. talents and aptitudes of an organization’s work force.” Of all the “Ms” in the management (i. skills creative abilities.e. human-resources planning consists of a series of activities. a management strives to have the right number and the right number and the right kinds of people at the right places.based. In the past. acquired knowledge and skills represented by the talents and aptitudes of the employed persons. (b) Making an inventory of present manpower resources and assessing the extent to which these resources are employed optimally. motive power). utilization.” Coleman has defined human resource or manpower planning as “the process of determining manpower requirements and the means for meeting those requirements in order to carry out the integrated plan of the organisation. as well as the values.24 UNIT – II Human Resource Planning – Characteristics – Need for planning – HRP Process – Job analysis – Job design – Job description – Job specification HUMAN RESOURCES PLANNING Importance of Human Resources The concepts of “Manpower” or “human resource” is meant as “the total knowledge. and preservation of an enterprise’s human resources. training. Through planning. at the right time. viz. money. but not the emphasis is on human resource planning which is more broad.. BSPATIL .

(v) The nature of the present work force in relation to its changing needs also necessitates are recruitment of new labour. die or become incapacitated because of physical or mental ailments. promotions. the competitive position of a firm which bring it more business arising from improvements effected in the slump period. reduces excessive labour turnover and high absenteeism. human resource planning is a very important function. If used properly. improves productivity and aids in achieving the objectives of an organisation. These are provided through effective manpower planning. marriage. requirements and existing employment and allied features of manpower. It is as necessary as planning for production. less job satisfaction. knowledge. lower production. a rising standard of living – which calls for larger quantities of the same goods and services as also for new gods. or capital investment. If there is a surplus. high cost of production and constant headaches of for the management personnel. (vi) Manpower planning is also needed in order to identify areas of surplus personnel or areas in which there is a shortage of personnel. skills. To meet the challenge of a new and changing technology and new techniques of production. human resource planning is unavoidable. Therefore. for the success of an enterprise. it leads to disruption in the flow of work. or own peril. (c) They should develop procedures and technique to determine the requirements of different types of manpower over period of time form the standpoint of organisation’s goals. cash organisation needs personnel with the necessary qualifications. (b) They should report periodically man power objectives. Stainer recommends the following nine strategies for the man power planners: (a) They should collect. (iii) Human resources planning is essential because of labor turnover which is unavoidable and even beneficial because it arises from factors which are socially and economic ally sound such as voluntary quits. which can be neglected only at hits own peril. (iv) In order to meet the needs of expansion programmes which become necessary because of increase in the demand for goods and services by a growing population. maintain and interpret relevant information regarding human resources. or factors such as seasonal and cyclical fluctuations in business which cause a constant ebb and flow in the work force in many organisation. BSPATIL . it is as necessary as planning for production. discharges. marketing. marketing. or who retire. (ii) Since a large number of persons have to be replaced who have grown old.25 Human resources planning is a double-edged weapon. NEED FOR HUMAN RESOURCE PLANNING The necessity of Human resource planning for all organizations is for following reasons: (i) To carry on its work. work experience and aptitude for work. it leads to the maximum utilization of human resources. it may be made good. there is a constant need for replacing such personnel otherwise the work would suffer. it can be redeployed. and the rate of growth of the organisation. and if there is shortage. Faultily used. existing employees need to the trained or new blood injected in an organisation.

(g) They should evaluate the procurement. Process of Human Resource Planning Human resource planning process is one of the most crucial complex and continuing managerial functions. (d) Planning job requirements and job descriptions. job skills. plans Work force requiremen ts by occupation al categories job skills. upgrading.26 (d) They should employ suitable techniques leading to effective allocation of work with a view to improving manpower utilization. in recruitmen t. (c) Auditing human resources. (e) Developing a human resource plan. and selecting needed . Inventory by occupationa l categories. transferrin g. (f) They should develop and employ methods of economic assessment of human resources reflecting its features as income-generator and cost and accordingly improving the quality of decisions affecting the manpower. promotion and loss to the organ is an control these processes with a view to maximizing individual and group performance without involving high cost. (e) They should conduct research to determine factors hampering the contribution of the individuals and groups to the organisatoin with a view to modifying or removing these handicaps. Long-Ra nge Objective s and Overall requireme nts for human Inventory of present human Net New human resources requiremen Action programm es for recruiting & selecting needed Proced for evaluation effectivene ss of human resources Short term goals. It may be rightly regarded as a multi-step process of human resource planning such as: (a) Deciding goals or objectives. demographi c Needed replaceme nt or BSPATIL Plans for developing. promotion and retention of the effective human resources. and (h) They should analyse the dynamic process of recruitment. (b) Estimating future organizational structure and manpower requirements.

ministerial staff.e. such as the applications for employment. weekly-rated or monthly-rated). government policy. personnel. a detailed job-description for each position such as stenographers who may belong to various departments e. product and human skills mix. as well as a change in the number of employees needed... marketing. (ii) The job-family. expansion and growth. such as manual workers (i. It may be noted that for purposes of manpower planning. but. according to Sikula. etc. management philosophy. managers and other executives. The total number has to be classified on some basis. an emphasis on future instead of present arrangement. For this estimate. (b) An expansion following enlargement and growth in business involves the use of additional machinery and personnel. “In effect.. the main dimensions to be taken into consideration are: (i) The total number of personnel available.e. (d) The use of mechanical technology (such as the introduction of automatic controls. and a re-allocation of facilities. specialists and skilled and unskilled workers. and a re-allocation of facilities. this could be obtained from they pay-rolls and other personnel records. Forecasting is necessary for various reasons. Forecasting provides the basic premises on which the manpower planning is built. or the mechanization of materials handling functions) necessitate changes in the skills of workers. the number and type of employees needed have to be determined. BSPATIL . all of which call for advance planning of human resources. sex-wise distribution etc. (c) Changes in management philosophies and leadership styles. “the ultimate mission or purpose is to relate future human resources to future enterprise needs so a to maximize the future return on investment in human resources. the main purpose is one ‘ of matching or fitting employee abilities to enterprise requirements. Plans have to be made for this purpose as well. and competition. clerical employees. Human Resource Planning System (A) Objectives of Human Resources Planning Human resource planning fulfils individual. public relations. all of which call for advance planning of human resources. such as: (a) The eventualities and contingencies of general economic business cycles (such of additional machinery and personnel. changes in the quantity or quality of products or services require a change in the organisation structure. Many environmental factors affect this determination. organizational and national goals. (e) Very often.g. i. (B) Estimating the Future Organizational Structure of Forecasting the Manpower Requirements The management must estimate the structure of the organisation at a given point in time.27 Fig. finance. daily-rated. They include business forecasts. general administration. design and structural changes.

ii. which are needed for a job. (D) Job Analysis After having decided how many persons would be needed. is to decide on the policy – should the personnel be hired from within through promotional channels or should it be obtained from an outside source. (C) Auditing Human Resource Once the future human resource needs are estimated.28 (iv) Age distribution of the employees. 30-45 years. or professional diploma holders. counsel and pressurize the operating management to plan and establish objectives. RESPONSIBILITY FOR HUMAN RESOURCE PLANNING The responsibilities of the Personnel department are having the responsibilities in man power planning which have been stated by Geisler in the following words: i. 46 years and above. or with specialized knowledge in the field of marketing. etc. (E) Developing a Human Resources Plan This step refers to the development and implementation of the human resource plan. and whether under-graduate. therefore. This has been discussed in the later sections of this chapter. etc. skills. which records details of training. available in the present departments. iii. Arts. it is necessary to prepare a job analysis. or MBAs or graduates in Science. engineering. abilities work preferences and other items of information which indicate his overall value to the company. (vi) The salary range. which consists in finding out the sources of labour supply with a view to making an effective use of these sources.To assist. post-graduate. A skills inventory contains data about each employee’s skills.To monitor and measure performance. Job analysis includes the preparation of job descriptions and job specifications. BSPATIL . finance. Commerce.To collect and summarize data in total organizational terms and to ensure consistency with long-range objectives and other elements of the total business-plan. The best policy which is followed by most organisatoins is to fill up higher vacancies by promotion and lower level positions by recruitment from the labour market. This is done through what is called “Skills Inventory”.. against the plan and keep the top management informed about it. experience and responsibilities. the next step to determine the present Supply of manpower resources. computer programming or engineering work. say in the age-groups 20-29 years. such as a person with 5 years 10 years experience in a particular branch/job. and iv.To provide the research necessary for effective manpower of organizational planning. etc. qualification abilities. (v) Qualification and experience desired. The first thing.

signaling. It is of fundamental importance to manpower management programmes because of the wider applicability of its results. the skills and knowledge). job modifications.29 Manpower Plan – Component The manpower plan can be broken down into three components: i. transfer and promotion of personnel ‘Basically. “Work” is an organisatoin primary function. copying and comparing activities. and clearly divides duties and responsibilities. Under data are included synthesizing. an d the writing of job descriptions. coordinating.e.” iii. to meet the gap between the internal resource and estimated need by external recruitment. Recruitment plan. Training and Development plan to utilize fully the human resources of the organisation and to develop the potential resources. for it defined labour needs in concrete terms and co ordinates the activities of the work force. determination of proper compensation. it provides a realistic basic for the hiring. iii. Things are concerned with setting up. Job Re-engineering: Job analysis provides information which enables us to change jobs in order to permit their being manner by personnel with specific characteristics and qualifications. it helps in salary and wage administration. speaking. ii. in almost every phase of employee relations. Selection: By indicating the specific requirements of each job (i. compiling. persuading. Wage and Salary Administration: By indicating the qualifications required for doing a specified job and the risks and hazards involved in its performance. and establishing the production standard which the employee is expected to meet. job evaluation. computing. It also helps in charting the channels of promotion and in showing lateral lines of transfer. manipulating. serving and taking instructions. reducing unit labour costs. The information provided by JA is useful. Organisation and Manpower Planning: It is helpful in organizational planning. The ‘basic work activities’ may relate to three categories – Data. negotiating. training. feeding-off bearing and handling. ii. and aims at improving efficiency. diverting. PURPOSE AND USES OF JOB ANALYSIS A comprehensive JA programmes is an essential ingredient of sound personnel management. This takes two forms: (a) Industrial engineering activity. It is the major input to forecasting future human resource requirements. Recruitment. work simplification methods and improvements in the place of work and its measurement. precision working. driving – operating. JOB ANALYSIS Developing an organisation structure results in jobs when have to be staffed. if not essential. motion study. People and Things. which is concerned with operational analysis. and BSPATIL . instructing. analyzing. Job analysis is used as a foundation for job evaluation. the goals is to match the job requirements with a worker’s aptitude.. supervising. i. Forecasting – estimating future needs and stock taking of available resources in the organisation. placement. iv. People relate to monitoring. abilities and interests. operating-controlling.

physical setting. Employee Training and Management Development: Job analysis provides the necessary information to the management of training and development programmes. union jurisdiction. co-ordination or dexterity. physical strength. (ii) Significant characteristics of a job: Its location. supervision. Nature of operation – lifting. including its code number. mental capabilities. CONTENTS OF JOB ANALYSIS A job analysis provides the following information: (i) Job identification: Its title. (vii) Job Analysis BSPATIL . or leadership from and for a job. (vi) Required personnel attributes: Experience. v. weighing test results. hazards and discomforts: (iii) What the typical works does: Specific operations and tasks that make up an assignment. increased efficiency and better productivity. removing. funds. their simplicity. patterns of promotions. Health and Safety: It provides an opportunity for identifying hazardous conditions and unhealthy environmental factors so that corrective measures may be taken to minimize and avoid the possibility of accidents. and equipment a works uses: Metals. confidence and trust. yarns. setting up and many others. opportunities for advancement. setting up and many others. cleaning. social skills. (v) How a job is performed. grains. physical demands. feeding. training. which takes into consideration human capabilities. drilling. Performance Appraisal: It helps in establishing clear-cut standards which may be compared with the actual contribution of each individual.30 (b) Human engineering activity. aptitudes. feedings. It also helps in checking application information. their relative timing and importance. (iv) Which materials. and in checking references. It helps it to determine the content and subject matter of in-training courses. removing. vi. washing. essential co-operation. apprenticeship. routine or complexity. handling. and prepares the ground for complex operations of industrial administration. the responsibility or safety of other for property. vii. drilling. interviewing. plastics. driving. driving. Job relationship Experience required. directions. both physical and psychological.

Personal characteristics. location. Step 1: Collection of Background Information Step 2: Selection of Representative Position to be Analyzed Step 3: Collection of Job Analysis Data Step 4: Developing A Job Description Step 5: Developing Job Specification TECHNIQUES OF JOB ANALYSIS DATA BSPATIL . (g) Materials and forms used (h) (i) Conditions of work Hazards (accident hazards) Job Specification A statements of the human requirements for doing a job (a) Physical make-up Characteristics or (b) (c) Psychological characteristics. its hazards and discomforts) (c) Duties performed (says the what. viz. supervision of other workers.. (f) Machines. department and unit where it exists) (b) Job Summary (gives a quick capsule explanation of the contents of a job. etc. tools.31 (A Process for Obtaining All Pertinent Job Facts) Job Description Statement containing items such as: (a) Job Identification (job title. name of division. (e) Other factors of a demographic nature THE STEPS IN JOB ANALYSIS There are basic steps required for doing a job analysis. (d) Responsibilities. alternative name in use.) (d) Relation to other jobs (gives how many persons may be supervised). training of subordinates. occupational code. also describes and worker’s responsibilities in regard to custody of money. how and why of a job. (e) Supervision given/taken (helps in locating a job in the job hierarchy). equipment (what type of tools/equipment material is used).

32 The determination of job tasks. (ii) Sending out Questionnaire : The method is usually employed by engineering consultants. Direct observation is especially useful in job that consist primarily of observable physical ability. the concomitant skills and abilities necessary for successful performance. Not only will individual employees perform far more varied and skill jobs but through the resulting quantitative and qualitative performance improvements organizations will become far more competitive. and working conditions. (i) Personal observation: The materials and equipment used. Moreover. Then idea in issuing questionnaires is to elicit the necessary information from job – holders so that any error may first be discussed with the employee and. for example: Increasing motivation Commitment Placating discontent and alienation Improving the flexibility of employee utilization BSPATIL . JOB DESIGN The enthusiasm with which HRM has been embraced by many working with in the theory and practice of job design is founded upon its prediction and promise that individuals will be provided with stimulating and enrich jobs. (iii) Maintenance of log records. marking the time at which each task is started and finished – But this system is incomplete. may be submitted to the job analyst. (iv) Personal interviews: may be held by the analyst with the employees. Properly drafted questionnaires are sent out to job-holders for completion and are returned to supervisors. (iii) Maintenance of Log Records: The employee maintains a daily diary record of duties he performs. But the method is time-consuming and costly. Hence. and answers to relevant questions may be recorded. that is the discrete and autonomous active interventions made by management in the employment relationship designed to increase performance by. (ii) Sending out questionnaires. like the jobs of draftsman. and (iv) Conducting personal interviews. it is time-consuming. one of the most important components of organizational effectiveness and economic prosperity is the attention and details paid to the design of work tasks. and an understanding of what the work involves are the facts which should be known by an analyst. after due corrections. mechanic. spinner or weaver. for it does not give us any desirable data on supervisor relationship the equipment used. THE TWO APPROACHES TO JOB DESIGN The first approach is a focus. the working conditions and probable hazards. and the responsibilities inherent in the job can be obtained through such methods or approaches as the following: (i) Personal observation. However. the information received is often unorganized and incoherent.

) and functional information (what the work is). if training and in hiring people with required skills. BSPATIL . and assigning responsibility. coordinating. (iv) It is basic document used in developing performance standards. particularly if the process starts at the executive level. Though job description is not assessment. analyst. authority etc. A job description enables the manager to frame suitable questions to be asked during an interview.” The former concerns such functions as planning. which are useful in planning recruitment. It is particularly helpful when the application form is used as a tool for eliminating the unfit personnel. (v) Establishing a common understanding of a job between employers and employees. such as: (i) Preliminary drafts can be used as a basis for productive group discussion. (v) It can be used for job evaluation. and supervisor with a clear idea of what the work must do to meet the demands of the job. which the latter concerns the quality of performance itself. It provides the worker. “Job description” is different from “ performance assessment. a job description helps us in: (i) Job grading and classification (ii) Transfers and promotions (iii) Adjustments of grievances. etc.33 Position or Job Description (ID) “Job description” is an important document which is basically descriptive in nature and contains a statements of job analysis. major responsibilities. it provides an important basis for establishing assessment standards and objectives. quits. It provides both organizational information (location in structure. (iii) It can be used to orient new employees toward basic responsibilities and duties. operating and adjusting machinery (ix)Time and motion studies. USES OF JOB DESCRIPTION Job description has several uses . It defines the scope of job activities. (vii) (viii) Indicating faulty work procedures or duplication of papers. According to Zerga. a wage and salary administration technique. (ii) It aids in the development of job specifications. Maintaining. Job Description describes the ‘jobs’ not the ‘job holders’ the movement of employees due to promotion. and positioning of the job in the organisatoin. (vi) Investigating accidents. would create instability to job description if people rather than jobs are described. (iv) Defining and outlining promotional steps.

tools and equipment define each major type or trade name of the machines and tools and the raw materials used. BSPATIL . The job title identifies and designates the job properly. It also gives an ideal of the vertical relationships of work flow and procedures. moisture. etc. obtaining inside the organisation. division. Studies of health and fatigue Scientific guidance Determining jobs suitable for occupational therapy.34 (x) Defining the limits of authority (xi)Indicating case of personal merit. oily conditions etc. Second. indicate the name of the department where it is situated – whether it is the maintenance department. Components or Contents of Job Description: A job description contains the following data: (i) Job identification. It is regarded as the heart of a job. or Organizational Position which includes the job title. department. (iv) Relation of other jobs: This helps to locate the job in the organisatoin by indicating the job immediately below or above it in the job hierarchy. it serves as a summary to orient the reader towards an understanding of detailed information which follows. (vii) Working conditions usually give us information about the environment in which a job holder must work. odour. First it provides a short definition which is useful as additional identification information when a job title is not adequate. (iii) Job duties and responsibilities give a comprehensive listening of the duties together with some indication of the frequency of occurrence or percentage of time devoted to each major duty. and the extent of supervision involved – general. plant and code number of the job. and who is supervised directly? (ii) Job summary serves two important purposes. etc. (xii) (xiii) (xiv) (xv) (xvi) (xvii) Facilitating job placement. dust. heat.. (vi) Machine. and Providing performance indicators. These include cold. Providing hiring specifications. fumes. (v) Supervision: Under it is given the number of persons to be supervised along with their job titles. The department. The location givers the name of the place. intermediate or close supervision. alternative title. The portion of job description gives answer to two important questions: to what higher level job is jobs accountable. division. It gives the reader a “quick capsule explanation” of the content of a job usually in one or two sentences. It tells us what needs to be done? How it should be done? And why is should be done? It also describes the responsibilities related to the custody of money the supervision of workers and the training of subordinates. mechanical shop. wetness.

(ix)When job descriptions are written for supervisory jobs. “should be avoided . sorts out. concise and readily understandable picture of the whole job. their possibilities of occurrence. routes and distributes mail. LIMITATION OF JOB DESCRIPTION BSPATIL . i. “collects.. task sequence or importance. (iii) Indicate the extent of direction received and supervision given. Others feel that these should be written in terms of goals or result to be achieved.” (iv) Accuracy and simplicity are emphasized rather than an elegant style. (v) Brevity is usually considered to he important but is largely conditioned by the type of job being analysed and the need for accuracy. and used by many companies. (ii) Paragraphs are numbered and arranged in a logical order. (vii) Job descriptions. the main factors (such as manning.35 (viii) Hazards give us the nature of risks to life and limb. Although there is no set way of writing of job description.” “interviews the candidates. The British Institute of Management Publication adds four more guidelines: (i) Give a clear. DEVELOPING JOB DESCRIPTIONS OR GUIDELINES FOR WRITING A JOB DESCRIPTION Opinions differ on how to write job descriptions. cost control.. (ii) Describe in sufficient detail each of the main duties and responsibilities. Job descriptions are written by Personnel Departments or its representatives.g. (vi) Examples of work performed are often quoted and are useful in making the job description explicit. (iii) Sentences are begun with an active verb. the following pattern is fairly typical. (viii) Statements of opinion. etc. (i) A paragraph is allocated to each major task or responsibility. etc. in terms of functions performed. “types letters. Some experts are of the view that these should be written in detail and in terms of work flow. in other words as performance standards (or what is popularly known as “management by objectives”) the prevalent thinking is that job ‘descriptions should be written’ in terms of duties and responsibilities.) are identified and listed.e. often incorporate details of the faults which may be encountered in operator tasks and safety check-points. Each factor is then broken down into a series of elements with a note on the supervisor’s responsibility. particularly when they are used as bases for training. (iv) Ensure that a new employee understands the job if he reads the job description. e. such as “dangerous strantions are encountered.

which include health.36 The job specification takes the job description and answers the question “What human traits and experience are needed to do the job well?” it tells what kind of person to recruit and for what qualities that person should be tested. strength. motor co-ordination. Training and Employment service. “Plans and carries out policies relating to all phases of personnel activities. voice. Job specification are developed with the co-operation of the personnel department and various supervisors in the whole organisation. Its description for a Personnel Managers’ job is as follows: “Personnel Manager: Director Personnel. They are intended to serve as a guide in hiring and job evaluation. Job specirfications translate the job description into terms of the human qualifications which are required for a successful performance of a job. published by the U. ingenuity. mechanical. Job specifications are mostly based on the educated guesses of supervisors and personnel managers. analytical ability. hand and foot co-ordination. endurance. The personnel department co-ordinates the writing of job descriptions and job specifications and secures agreement on the qualifications required. Personnel supervisor. experience and language ability. They give their opinion as to who do they think be considered fro a job in terms of education. age-range. cooperativeness. eye. intelligence. education. resourcefulness. unusual sensory qualities of sight. e) Other features of a demographic nature. skill in dealing with others. which are age. responsibility for the safety of others. conversational ability. vision. good and pleasing manners.S. These specifications relate to: a) Physical characteristics. such as personal appearance. which include supervision of others. smell hearing. mental concentration and alertness. extroversion or introversion. and colour discrimination. height. training etc. sex. c) Personal characteristics or traits of temperament. leadership. emotional stability. one of he most extensive “judgmental” approaches to developing job specification is contained in a Dictiornay or Occupational Titles. poise. aggressiveness or submissiveness. employee relations. and checking of references. b) Psychological characteristics or special aptitude which include such qualities as manual dexterity. initiative and drive.” BSPATIL . judgment. As a guide in hiring. responsibility for production. manager. etc. aptitude. responsibility for generating confidence and trust: responsibility for preventing monetary loss. weight. they deal with such characteristics as are available in an application bank. d) Responsibilities. adaptability. process and equipment. body size. with testing interviews.

At each stage. The thoroughness of the procedure depends upon three factors. etc. These are intended as screens. Yoder and others have suggested goals. employment tests. what her faulty or safe. In words. completion of application form. no-go’ gauges. A procedure may be compared to a series of successive hurdles or barriers which an applicant must cross. facts may come to light which may lead to the rejection of the applicant. while the unqualified are eliminated. First. an effective selections programme is a non-random process become those selected have been chosen on the basis of the assumption that they are more likely to be “better” employees than those who have been rejected. but also results in heavy expenditure on the new employee and the loss that may be incurred by the organization in case the job-occupant fails on his job. comprehensive interview. extent of formality. The objective of selection process is to determine whether an applicant meets the qualifications for a specific job and to choose the applicant who is molt likely to perform well in that job.37 UNIT – III The Selection Process – Placement and induction – Training and development – Promotions – Demotions – Transfers – Separation. and they are designed to eliminate an unqualified applicant at any point in the process. This information is secured in a number of steps or stages. This technique is known as the successive hurdles technique. According to Yoder. because of faulty selection affects not only training period that they may be needed. technological issues. an effective policy must assert “why” and “what” aspects of the organizational objectives” ESSENTIAL ELEMENTS OF SELECTION PROCEDURE The selection procedure adopted by an organization is mostly tailor made to meet its particular needs. the nature of selection. background investigations physical examination and final employment decision to hire. cost factors. beginning with an initial screening interview and concluding with the final employment decision. The traditional selection process includes: preliminary screening interview. BSPATIL . SELECTION POLICY On formulating a selection policy. “ Thus. The complexity of a process usually increases with the level and responsibility of the position to be filled. due consideration should be given to organizational requirements as well as technical and profession dimensions of selection procedures. Candidates are screened by the application of these tools. The hiring procedure is not a single act but it is essentially a series of methods or steps or stages by which additional information is secured abut the applicant. THE SELECTION PROCESS SELECTION PROCEDURE In the Human Resource Management the selection procedure is concerned with securing relevant information about an applicant. Not all selection processes include all these hurdles. Selection processes or activities typically follow a standard pattern. Qualified applicants go on to the next hurdle. “the hiring process is of one or many ‘go.

in modern times. 2. 6. A proper placement of a worker will have impact on: BSPATIL . Physiological testing to explore the surface area and get an objective look at a candidate suitability for a job. and his assignment to that job. (c) There must he a sufficient number of applicants from whom the required number of employees may be selected. A reference check.38 Second. graphology. The longer the period. Application blank – a fact-finder which helps one in learning bout an applicant of life history. if the following preliminary requirements are satisfied. beforehand. A well conducted interview to explore the facts and get at the attitudes of the applicant and his family to the job. therefore. as developed by an analysis of the work-load and work force. PLACEMENT AND INDUCTION After an offer of employment the first stage in procurement function is placement of the individual on the new job and orienting him to the organisation. It is a matching of what the supervisor as reason to think he can do with a job demands. etc. The hiring procedures are. the greater the uncertainty in the minds of the selected candidate about his future. it is a matching of what he imposes and what he offers in the form of pay roll. This authority comes fro the employment requisition. 7. Reception or preliminary interview or screening. physiognomy. while coming to hiring decisions. there should be avail able. astrology. STEPS IN SELECTION PROCEDURE There is no shortcut to an accurate evaluation of a candidate. i. generally long and complicated. 4. (b) There must be sonic standard or personnel with which a prospective employee may be compared. The hiring process can be successful. “Placement” may be defined as the determination of the job to which an accepted candidate is to be assigned. 5. Third. However. A physical examination – health and stamina are vital factors in success... Many employers make use of such techniques and pseudo-sciences as phrenology. promotional possibilities etc. the policy of the company and the attitude of the management: As a practice sonic companies usually hire more than the actual number needed with a view to removing the unfit persons from the jobs. Final selection approval by manager. and communication of the decision to the candidate. 3. a comprehensive job description and job specifications as developed by a job Analysis. companionship with others. (a) Some one should have the authority to hire.e. The following is a popular procedure though it may be modified to suit individual situation: 1. These are considered to be unreliable measures. the length of the probationary or the trial period.

To develop defensive behaviour To develop courageous To make them a self confident person It helps to minimize the reality shock The importance of induction expected by the new comer may be as followed 1. provided that during this period his work been found to be satisfactory. Opportunity to be creative and original 7. 2. which may range from one to two years. then after his employment may be regularized. Lucrative Salary PROCEDURE FOR INDUCTION Any organization has an obligation to make integration of the individual into the organization as smooth and anxiety – free as possible. OBJECTIVES OF ORIENTATION To avoid the insecure feeling of a new comer joins in organisation. ORIENTATION. 6. Social status and prestige – reorganization by others. To develop a strong feeling about the work place and work environment. This can be achieved through a formal or informal BSPATIL . Opportunities for advancement. 5. 3. 4. policies and purpose of the organisation.39 Reduces employee turnover Absenteeism Accident rates Improves morale After selection. INDUCTION Induction is a technique by which a new employee is rehabilitated into the changed surroundings and introduced to the practices. Opportunities to use special aptitudes and educational background. the employees will be generally put on a probation period. Responsibility. Challenge and adventure.

40 placement orientation programme depends on the size of the organisatoin and the complexity of the individuals new environment. manuals. employees hand books. (iii) The administrative work like vacations. Development is a related process it covers not only those activities which improve job performance but also those which bring about growth of the personality. suggestion system should be covered. employee training and development is not only an activity that is desirable but also an activity that an organisatoin must commit resources to if it si to maintain a viable and knowledgeable work force. probationary period. It an rapidly changing society. DIFFERENCE BETWEEN TRAINING AND DEVELOPMENT BSPATIL . there might not appear any difference between them. medical absences. picture stories. introduction to the department. ‘education’ and development’ are three terms frequently used. The procedure should basically follow theses steps: (i) The new person needs time and a place to report to work. It is application of knowledge. but different persons have used these activities in different wages. pamphlets. Inadequate job performance or a decline in productivity or changes resulting out of job redesigning or a technological break-through require some type of training and development efforts. help individuals in the progress towards maturity and actualization of their potential capacities so that they become not only good employees but better men and women. flyers. It give people an awareness of the rules and procedures to guide their behaviour. MEANING FOR TRAINING AND DEVELOPMENT Training is a process of learning a sequence of programmed behaviour. And the two processes cannot be separated from ‘development’. comics. but when a deep thought is given. On the face of it. Employee Training To improve the effectiveness of every organisatoin they need to have well trained and experienced people to perform the activities that have to be done. and cartoons. it is necessary to raise the skill levels and increase the versatility and adaptability of employees. house journals. (iv) Department orientation like get-acquainted talk. training is not important. (v) Verbal explanations must be supplemented by variety of printed materials. In all ‘training there is some ‘education’ and in all ‘education’ there is some ‘training’. the importance or employee development also increases. As the jobs become more complex. etc. there appears some differences between them. It attempts to improve their performance on the current job or prepare them for an intended job. There is no model induction procedure but each industry develop their own procedures as per its needs. departmental functional explanations and job instructions should be informed. Precise definitions are not possible and can be misleading. ‘Training’. But when this is not the case. (ii) It is very important that the supervisor should welcome the employee to the organization. If the current or potential job \occupant can meet this requirement.

To Improve Quality by good relationship between employer and employee To Help a Company fulfill its Future Personnel Needs To Improve Organizational Climate. superannuation voluntary retirement. In the words of Campbell. while development involves a broader education for long-term purposes. To Increase Productivity by the performance. (iv) Employment of inexperienced. stated set purpose. and d) “When” learning occurs. while “development” refers to philosophical and theoretical educational concepts.41 “Training is short-term process utilizing a systematic and organized procedure by which non-managerial personnel learn technical knowledge and skills for a definite purpose. ii. “training course are typically designed for a short-term. v. vi. To Improve Health and Safety Obsolescence Prevention Personal Growth Need for training – arises from more than one reason like: (i) An increased use of technology in production. vii. disease. iv. while development involves managerial personnel. techniques and use of sophisticated tools and equipment.” Training and development differ in four ways: a) “What” is learned. new or badly labour requires detailed instruction for an effective performance of a job. Training is designed for non-managers. (v) Old employees need training to enable them to keep abreast of the changing methods. iii.” “Training” refers only to instruction in technical and mechanical operations. BSPATIL . b) “Who” is learning. Development is a long-term educational process utilizing a systematic and organized procedure by which managerial personnel learn conceptual and theoretical knowledge for general purpose. such as the operation of some piece(s) of machinery. promotion within the organization and change of occupation or job. for accidents. i. NEED FOR BASIC PURPOSES OF TRAINING The need for the training of employees would be clear from the observations made by the different authorities. c) “Why” such learning takes place. (ii) Labour turnover arising form normal separations due to death or physical incapacity. (iii) Need for additional hands to cope with an increased production of goods and services.

establishes and evaluated instructional programmes. complaints. reduces the rate of turnover. revision and suggestions for corporate educational endeavours. earning power and job security. which plans. it enables employees to develop and rise within the organisation. This success has been achieved by a tendency in many quarters to regard training as a panacea. It is actively and intimately connected with all the personnel or managerial activities. (b) The personnel department. Training is a practical and vital necessity because. who provide feedback. Indeed. who implement and apply developmental procedure. Importance of Training Training is the corner-stone of sound management. heightens the morale of the employees. for it makes. and develop their potential. and (d) Employees. authority can be delegated and stimulus for progress applied to employees. The management is benefited in the sense4 that higher standards of quality are achieved. Further. moreover. with all its many activities functionally inter-related. (c) Supervisors. Creation of a Desire for Training The employees can be persuaded to be interested in training programmes in one of the following three ways: BSPATIL . employees more effective and productive. It moulds the employees’ attitudes and help them to achieve a better co with the comp any and a greater loyalty it it. our national superiority in manpower productivity can be attributed in no small measures to the success of our educational and industrial training programmes. The importance of training has been expressed in these words: “Training is a widely accepted problem-solving device. It enable management to resolve sources of friction arising from parochialism. which frames the training policy. trained employees make a better and economical use of materials and equipment. (vs Need for maintain the validity of an organization as a whole and raising the morale of its employees. reduce waste and spoilage of raw material and produce quality goods.” Responsibility for Training Training is the responsibility of four main groups: (a) The top management. grievances and absenteeism. reduce supervision time. and increase their “market value”. apart from the other advantages mentioned above. for it helps in reducing dissatisfaction. Training.42 (vi) Need for enabling employees to do the work in amore effective way. therefore wastage and spoilage are lessened. to reduce learning time. (vii) Need for reduction grievances and minimizing accident rates. It is an integral part of the whole management programme. to bring home to the employees the fact that the management is not divisible. a satisfactory organizational Structure is built up. and the need for constant supervision is reduced.

the trainee will be more eager to learn training if training promises answers to problems or needs he has an employee. The individual who perceives training as the solution.43 1. Rewards for the application of learned behaviour are most useful when they quickly follow the desired performance. A successful training programme presumes that sufficient care has been taken to discover areas in which it is needed most and to create the necessary environment for its conduct. is well versed in the principles and methods of training. individual do things that give pleasure and avoid things that give pain. Certain general principles need be considered while organizing a training programme. 2. and is able to appreciate the value of training in relation to an enterprise. may have a disruptive effect upon the learning experience of the trainee than positive reinforcement. and since it consumes time and entails much expenditure. Learning sin roe effective where there is reinforcement in the form of rewards and punishments. If no satisfaction is received. Negative reinforcement. Training that requests the trainee to make changes in his values. to problems will be more willing to enter into a training programme that will the individual who is satisfied with his present performance abilities.. i. The selected trainer should be one who clearly understands his job and has professional expertise. the action will not be repeated. the action will be repeated.’ i. 3. 7.e. through application of penalties and heavy criticism following inadequate performance. BSPATIL . it is necessary that a training programme or policy should be prepared with great through and care. usually achieves better results if the trainee is encouraged to participate. In other words. For example: 1. possesses a pleasing personality and a capacity for leadership. attitudes.e. awards tend to be more effective for changing behaviour and increasing one’s learning than punishments. Principles or Concepts of Training Since training is a co process and not a one shot affair. for it should serve the purposes of the establishment as well as the needs of employees. if satisfies is received. In the long run. 5. A trainee may change his behaviour in compliance with the forced demands of his superiors or others with more power than the trainee possesses. 4. 3. the greater will be the reinforcement of the new behaviour. 2. The larger the reward for good performance following the implementation of learned behaviour. Trainees in work organisation tend to be most responsive to training programmers when they feel the need to learn. and social beliefs. Trainees will change their behavior if they became aware of better ways of performing (more productive or otherwise more satisfactory ways) and gain experience in the new pattern of behaviour so that it becomes their normal manner of operation. has an aptitude and ability for teaching.. that they will receive personal benefits as a result of their new behaviour. after an action. They will respond programmes involving changed behaviour if they believe that the resulting modification in the behaviour is in their own interest. 6.

8. The trainee should be provided with ‘feedback’ on the progress he is making in utilizing the training he has received. As Miller has stated, “If a person with the required abilities is to improve his performance, he must (i) know what aspect of his performance is not up to par; (ii) know precisely what corrective actions he must take to improve his performance.” The feedback should be fast and frequent, especially for the lower level jobs which are often routine and quickly completed. 9. The development of new behaviour norms and skills is facilitated through practice and repetition. Skills that are practiced often are better learned and less easily forgotten. 10.The training material should be made as meaningful as possible, because if the trainee understands the general principles under lying what is being taught, he will properly understand it better than if he were just asked to memorize a series of isolated steps. Steps in Training Programmes “Training programmes are a costly affair, and a time consuming process. Therefore, they need to be drafted very carefully. Usually in the organisation of training programmes, the following steps are considered necessary; 1. Discovering or Identifying the training needs. 2. Getting ready for the job. 3. Preparation of the learner 4. Presentation of operations and knowledge. 5. Performance try-out 6. Follow-up and Evaluation of the programme. 1. Discovering or Identifying Training Needs Identification of training needs must contain three types of analyses – organizational analysis, operations analysis, and man analysis.

Organizational analysis centers primarily upon the determination of the organization’s goals. Its resources, and the allocation of the resources as they relate to the organizational goals. The analysis of the organizational goals establishes the framework in which, training needs can be defined more clearly. Operations analysis focuses on the task or job regardless of the employee doing the job. This analysis includes the determination of the worker must do – the specific worker behaviour required – if the job is to be performed effectively. Man analysis reviews the knowledge, attitudes and skills of the incumbent in each position and determines what knowledge, attitudes or skills he must acquire and what alterations in his behaviours he must make if he is to contribute satisfactory to the attainment of organizational objectives.
Will Berlines and William McLarney say that discovering training needs involves five tasks: (a) Task Description Analysis


1. List the duties and responsibilities or tasks of the job under consideration, using the Job Description as a guide. 2. List the standards of work performance on the job. (b) Determining Training Needs 1. Compare actual performance against the standards. 2. Determine what parts of the job are giving the employees trouble – where is he falling down in his performance? 3. Determine what kind of training is needed to overcome the specific difficulty or difficulties. THE TRAINING NEEDS BEEN IDENTIFIED TO SOLVE THE SPECIFIC PROBLEMS AS FOLLOWS: (i) Identifying Specific Problems: Such problems are: productivity, high costs, poor material control, poor quality, excessive scrap and waste, excessive labor-management troubles, excessive grievances, excessive violation of rules of conduct, poor discipline, high employee turnover and transfers, excessive absenteeism, accidents, excessive fatigue, fumbling discouragement, struggling with the job; standards of work performance not being met, bottlenecks in production, deadlines not being met, and delayed production. Problems like these suggest that training may be necessary. For this the task the workers should be closely observed and the difficulties found out. (ii) Anticipating Impending and Future Problems: bearing on the expansion of business, the introduction of new products, new services, new designs, new plant, new technology and of organizational changes concerned with manpower inventory present and future needs. (iii) Management Requests: the supervisors and managers make specific request for setting training programmes, though this method is simple and a correct evaluation of the employees performance deficiencies can be made, but often such recommendations maybe built on faulty assumptions; and requests may not coincide with each other or organizational goals. (iv) Interviewing and Observing the Personnel on the Job: Inter viewing personnel and direct questioning and observation of the employee by his superiors may also reveal training needs. (v) Performance Appraisal: An analysis of the past performance records of the perspective trainee and comparing his actual performance with the target performance may provide clues to specific interpersonal skills that may need development. (vi) Questionnaires: Questionnaires may be used for eliciting opinions of the employees on topics like communication, satisfaction, job characteristics, their attitude towards working conditions, pay, promotion policies tec. These will reveal much information about where an employee’s skills and know-ledge are deficient. (vii) Checklist: The use of checklist is a useful supplement to interviews and observations. Through it, more reliable information can be obtained and the data got are quantifiable. This facilities evaluation the training programme’s effectiveness. (viii) Morale and attitude Surveys: An occasional personnel may be conducted to forecast future promotions, skill requirements, and merit rating, to initiate informal discussions


and an examination of records and statistics regarding personnel, production, cost, rejects and wastages. All these generally reveal the potential problems to be tackled through training programmes. (ix)In addition, tests of the interpersonal skills through handling of posed cases and incidents, may also reveal training needs.

Discovering or Identifying training needs (Through organizational operations manpower analysis, etc. Getting ready for the job Preparation of the learner (Create desire & prepare accordingly) Presentation of operations and knowledge (Applications of TRG techniques) Performance Try-out Follow-up (Rewards and feedback)

Fig. Sequence of Training Programme Support Materials for Training A variety of tools and equipment are utilized to impart effective training. these are: (a) Lectures (learning by hearing supplemented by reading assignment); conferences, seminars and staff-meetings (learning by participation); demonstrations (learning by seeing); and short courses, through coaching. (b) Role-playing (learning by doing) and job rotation (learning by experience). (c) (Case or Project studies and problem-solving sessions (learning by personal investigation.) (d) Use of pamphlets, charts, brouches, booklets, handbooks, manuals, etc. (e) Graphs, pictures, books, slides, movie projectors, film strips, tape recorders etc. (f) Posters, displays, notice and bulletin boards. (g) Reading rooms and libraries where specified books and journals are maintained for reference and use. (h) Under-study and visits to plants.


47 (i) Correspondence courses under which knowledge about business law. retailing and many other similar subjects may be imparted. The methods of training as follows: On-the-Job-Training (OJT) Job Instruction Training (JIT) Vestibule Training Training by experienced workmen Classroom or Off-the-Job-Training like lecture conferences group discussion. marketing. (j) Teaching machines. In fact. office procedures. It s difficult. to say which or the methods or combination of methods is more useful than the other. Training Methods / Techniques The forms and types of employee training methods are inter-related. statistics. if not impossible. industrial management. and each is suitable for a particular situation. case studies role playing programme instruction T-group training Chart Classification of Training Methods (a) On the job (c) Demonstration (e) Apprenticeship (f) Classroom (g) Other training (b) Vestibule (d) Simulation Lectur es Conferen ce Case study Associatio ns Audiovisual Aids BSPATIL . which offer new techniques and ideas to their members. (k) Membership of professional or trade associations. methods are multi-faceted in scope and dimensions.

which show how it is to be done and why. this type of training is a suitable alternative for a company in which there are almost as many jobs as there are employees. such as coaching under study job rotation internship apprenticeship MERITS OF ON-THE-JOB-TRAINING Trainee learns of the actual equipment in use and in the true environment of his job. extensive job analysis. Thirdly. the trainee learns the rules. and prior assessment of the trainee’s job knowledge. a few days or weeks. it is most appropriate for teaching the knowledge and skills which can be acquired in a relatively short period. Along side such step is also listed a corresponding “Key point”. each in proper sequence. This method is also knows as “training through step-by-step learning. therefore.Training (OJT) There are a variety of OJT methods. it is highly economical since no additional personnel or facilities are required for training. say. This includes putting him at case. Fourthly.48 On-the-Job. DEMERITS OF ON-THE-JOB-TRAINING Instruction is often highly disorganized. regulations and procedures by observing their day-to-day applications. The JIT method requires skilled trainers. The job instruction training process is in four steps: (i) The preparation of the trainee for instrucotn. He can. Job Instruction Training (JIT) This method is very popular in the States for preparing supervisors to train operatives. be easily sized up by the management.” It involves listing all necessary steps in the job. These steps show what is to be done. training schedules. BSPATIL . Finally. emphasizing the importance of the task and giving a general description of job duties and responsibilities. Secondly.

though the cost may be reduced by getting some productive work done by trainees while in the school. conferences. who knows how to teach. This techniques enables the trainee to concentrate on learning the new rather than on performing an actual job. it demands a skilled trainer and can interfere with production and quality. Trained instructor. The correct method can be taught without interrupting production. This method is of limited value for the jobs which utilize equipment which can be duplicated.49 (ii) Presentation of the insturciotns. An additional investment in equipments is necessary. It permits the trainee to practice without the fear of supervisors’ / co-workers’ observations and their possible redicule. distractions are minimized. The JIT methods provides immediate feedback on results. particularly when many employees have to trained for the same kind of what that same time. CLASS-ROOM OR OFF-THE-JOB METHODS BSPATIL . Vestibule training (or Training-Centre Training) It is a classroom training which is often imparted with the help of the equipment and machines which are identical with those in use in the place of work. (iii) Having the trainee try out the job to show that he has understood the instructions. and (iv) Encouraging the question and allowing the trainee to work along and the trainer follows up regularly. if there are any errors they are corrected. case studies. Training is generally given in the form of lectures. This includes positioning the trainee at work site. and provision of extra practice when required. giving essential information in a clear manner. MERITS OF THE VESTIBULE TRAINING Training is given in a separate room. telling and showing him each step of the job. can be more effectively utilized. stressing why and how each step is carried out as it is shown. It is a very efficient method of training semi-skilled personnel. Demerits of the Vestibule Training The splitting of responsibilities leads to organizational problems. role-playing and discussion. The training situation is somewhat artificial. quick correction of errors. However.

Lectures are formal organized talks by the training specialist. particularly if he listener is uninformed or awestruct by the lecturer. concepts. Lectures (or Class-Room Instruction): Lectures are regarded as one of the most simple ways of imparting knowledge to the trainees. (iv) It is difficult to stimulate discussion following a lecture. Role-playing 6. the attention of listeners drifts.50 “Off-the-job-training” simply means that training is not a part of everyday job activity. The lecture method can be used for very large groups which are to be trained within a short time. clarifying an summarizing. Programme Instruction 7. 1. thus reducing the cost per trainee. principles. (ii) A clear and vigorous verbal presentation requires a great deal of preparation for which management personnel often lack the time. The actual location may be in the company class rooms or in places which are owned by the company. or principles. theories and problem-solving abilities are to be taught. which often becomes unpalatable to the listener. or in universities or associations which have no connection with the company. LIMITATIONS OF LECTURE SYSTEM (i) The learners are passive instead of active participants. BSPATIL . Illustrating the application of rules. Case Studies 5. (iii) The attention span of even a well-motivated and adequately informed listener is only from 15 minutes to 20 minutes so that in one course of an hour. especially when facts. the most important uses of lectures include: Reducing anxiety about upcoming training programmes or organizational changes by explaining their purposes. Introducing a subject and presenting an overview of its scope. The lecture method violates the principle of learning by doing. reviewing. T-Group Training. These methods consist of: 1. Presenting basic material that will provide a common back ground for subsequent activities. In training. (v) The untrained lecturer either ramples or packs far too much information in the lecture. the formal superior or other individual specific topics. Conferences 3. Group Discussions 4. attitudes. Lectures 2.

(viii) Through a skilful lecturer can adapt his material to the specific group. defines the general trends and guides the participants to certain conclusions. conducted in accordance with an organized plan. (iv) Valuable working material may be provided to the trainees by actual files. he finds it difficult to adjust it for individual differences within a group. Training conference 3. in which the leader seeks to develp knowledge and understanding by obtaining a considerable amount of oral participation of the trainees. Directed discussion 2. Seminar conference 3. ramifications and complexities of a particular job or work or task. The chairman of the seminar summaries the contents of the papers and the discussion which follow their reading. (ii) It may be based on the statement made by the person in charge of the seminar or on a document prepared by an expert. A collateral object is to help them develop sills in using their knowledge. In case study method the trainee is expected to: (i) Master the facts. A seminar is conducted in many ways: (i) It may be based on a paper prepared by one or more trainees on a subject selected in consultation with the person in charge of the seminar. The trainees read their papers. (d) Case Studies (or Learning by doing): This method was first developed in the 1880s by Christopher Langdell at the Harvard Law School to help students to learn for themselves by independent thinking and by discovering in the ever-tangled skein of human affairs. become acquainted with the content of the case. The trainees may consult the files and bring these to the seminar where they may study in detail the various aspects. Seminar or Team Discussion: This is an established method for training. (iii) The person is charge of the seminar distributes in advance the material to be analyzed in the form of required readings. It is a formal meeting. It may be a part of a study or related to theoretical studies or practical problems. principles and ideas which have lasting validity and general applicability. the participating individuals ‘conver’ to discuss points of common interest to each other.51 (vi) The presentation of material should be geared to a common level of knowledge. The seminar compares the reactions of trainees. and this is followed by critical discussion. BSPATIL . Three types of conferences are 1. The Conference Method: In this method. A conference is basis to most particeipative group-centred methods of development. encourages discussion. who is invited to participate in the discussion. (vii) It tends to emphasis the accumulation and memorization of facts and figures and does not lay stress on the application of knowledge. 2.

The merits of the methods are: Trainees learn at their own pace. The materials to be learned are broken down into small units. and It brings about desired changes in behaviour and attitudes.52 (ii) Define the objectives sought in dealing with the issues in the case. (v) Screen the alternatives using the objectives as the criteria. (vii) (viii) Define the controls needed to make the action effective. BSPATIL . and a variety of specialized terms. a Venetian psychiatrist. Human sensitivity and interactions are stressed. It is a useful method to project the living conditions between learning in the classroom and working on a job and creating a live business situation in the classroom. particularly in areas like human relations. (iii) Identify the problems in case and uncover their probable causes. He coined the terms “role-playing. (vi) Select the alternative that is most in keeping with the stated objectives. “psychodrams”. The knowledge of results is immediate. (e) Role-playing: This method was developed by Moreno. proposed. Immediate feedback is available. Instructors are not a key part in learning. with emphasis on learning human relations skills through practice and insight into one’s own behaviour and its effect upon others. or desired course of proceedings pertaining to the learning or acquisition of some specific skills or general knowledge. It has been defined as “a method of human interaction which involves realistic behaviour in the imaginary situations.” The Role-playing method merits are: Learning by doing is emphasized.” “role-reversal”. “socio-drama”. Trainee interest and involvement tend to be high. It develops skills and ability to apply knowledge. (iv) Develop alternative co of action. (f) Programmed Instruction (or Teaching by the Machine Method): Programmed instruction involves a sequence of step which are often set up through the central panel of an electronic computer as guides in the performance of a desired operation or series of operation. and To ‘role play’ the action to test its effectiveness and find conditions that may limit it. It incorporates a pre-arranged.

53 Active learner participation takes place at each step in the programme. employees on certain highly skilled jobs are given retraining when they are called back to work. tapes. An advanced study is not possible until preliminary information has been acquired. STEPS TO INCREASE TO IMPROVE EFFECTIVENESS OF TRAINING The training programmes can be made effective and successful if the following hints are considered. and The cost of creating any such programme is very great. This evaluation should from a well-defined set of performance standards toward which each trainee should be directed. Individual differences can be taken into account. 1. because of illness. to keep them active in all-found skills. Philsophical and attitudinal concepts and motor skills cannot be taught by this method. Specific training objectives should be outlined on the basis of the type of performance required to achieve organizational goals and objectives. An employee. Demerits of the methods are: The impersonality of instructional setting. Audio-visual aids – records. Unnecessary. such training is needed. (g) T-Group Training: This method of training is a technique of composition of audio visual aids and planned reading programmes. accident or incapacity due to age. and the company may desire to retrain him rather than discharge him. Only factual subject matters can be programmed. There is a high level of learner motivation. an audit of personal needs compared with operational requirements will help to determine the specific training needs of individual employees. on which an employee is working. Economic depression or cyclical variations in production create conditions in which employment stabilization may be achieved by having a versatile work-force capable or performing more than one job. Some employees are engaged in a confined phase of a particular task and lose their all-round skills in a particular trade. Training can be imparted at odd times and in odd places. Hence. and films are generally used in conjunction with other conventional teaching method. BSPATIL . Technological changes may make a particular job. During prolonged lay-off periods. may no longer be able to do his share of the work he performed when he was in normal health.

the training may be postponed or cancelled till improvements are visible. he should be significantly rewarded for his efforts. 11. Attempt should be made to determine if the trainee has the intelligence. For this purpose. He should be provided with opportunity to practice the newly needed behaviour norms. maturity. 4. Any distractions. 10. 2. MANAGEMENT DEVELOPMENT Management development is mainly having two main tasks 1. As a trainee acquires new knowledge.The trainee should be provided with personal assistance when he encounters learning obstacles. 3. a systematic performance appraisal is helpful in assessing the potential of managers and their training needs. constructive feedback. The trainee should be helped to see the need for training by making him aware of the personal benefits he can achieve through better performance. BSPATIL . The improvement of management performance and the organization of management succession. flexibility should be allowed in judging the rates of progress in the training programme. The training programme should be planned so that it si related to the trainee’s previous experience and background. PURPOSE AND OBJECTIVE OF MANAGEMENT DEVELOPMENT The respective output variable expected by this management development programmes are: (i) Knowledge change. and motivation to successfully complete the training programmes. skills or attitudes and applies them in job situations.54 2. should be removed.The trainee should be provided with regular. 8. The support of the upper levels of management should he obtained before applying training at lower levels. 6. 9. An assessment of an organization’s requirements is made so that suitable training and development programmes are designed and initiated to help managers to realize their full potential and serve their organisation better. Therefore. a combination of training methods should be selected so that variety is permitted and as many of the senses as possible are utilized. If necessary. in the way of training environment. It should be recognized that all the trainees do not progress at the same rate. If deficiencies are noted in these respects. This background should be used as a foundation for new development and new behaviour. Attempts should be made to create organizational conditions that are conductive to a good learning environment. If Possible. 7. It should be made clearly why changes are needed. the personal involvement or active part of the trainee should be got in the training programmes. He should be helped to discover the rewards and satisfactions that might be available to him through changes in behaviour. 5.

(iv) Performance change. Facilitating sound “promotion-from-within” policies and practices. Keeping the company abreast of technical and e conditions. Ensuring that the qualifications of key personnel become better known. There are certain forces which may retard further growth but these may offset or the direction of their movement changed. and (v) End-operational results (the last two changes being the result of the first three changes) The MDP is implemented in the organisation with the expectation of the following end-results: Improvement in technical performance. Making an organisation more flexible by an increased versatility of its members. Development seldom takes place in a completely peaceful and relaxed atmosphere. Improvement in inter-departmental cooperation. Stimulating junior executives to do better work. Growth involves stresses and strains. Imporiving organizational structure. Development requires a clear-out setting of the objectives and goals. Participation is essential for growth BSPATIL . Improvement in supervision and leadership at each level.55 (ii) Attitude change. Highlighting an individual’s weaknesses. Increased understanding of their behavioural attitudes. Attracting good men. Creating reserves in management ranks. (iii) Behaviour change. and ‘Broadening’ key men in the middle cadre. MANAGEMENT DEVELOPMENT CONCEPTS The number of development concepts are expressed as follow: There is no time limit for learning There always exists some gap between actual performance and capacity.

DEMOTIONS.56 Feedback from both the superior and the group. continuous service. PROMOTIONS. MANAGEMENT DEVELOPMENT PROGRAMME – COMPONENTS Looking at organization’s objectives Ascertinign development needs. He may derive increased personal satisfaction and income from his work. Preparation of Manpower Inventory Planning of individual development programmes. better status/prestige. According to Scott and Clothier: “A promotion is the transfer of an employee to a job which pays more money or one that carries some preferred status”. which commands better pay/wages. a higher status or rank. loyalty. To recognize an individual’s performance and reward him for his work so that he may have an incentive to forge ahead. Employees will have little motivation if better jobs are reserved for Outsiders. Responsibility as a role for the organizational efficiency. TRANSFERS AND SEPARATION Promotion – Definitions “Promotion” is a term which covers a change and calls for greater responsibilities. Appraisal of present management talents. therefore. responsibility. hours and work and facilities. Programme evaluation. individual is necessary of reorganization. BSPATIL . To promote job satisfaction amont the employees and give them an Oppoirtunity for unbroken. A promotion may be defined as an upward advancement of an employee in an organization to another job. To increase an employee’s organisation effectiveness. and usually involved higher pay and better terms and conditions of service and. THE OBJECTIVES OF PROMOTION To put the worker in a position where he will be of greater value to the company and where. and a higher rank. and a sense of belonging on the part of the employees when it is brought home to them that they would be promoted if they deserve it. Establishment of training and development programmes. To remove a worker from his job as an alternative to avoid the embarrassment of firing or demoting him. To buildup morale. better working environment. and higher opportunities/challenges. and authority.

Trace transfer routes 4. To create among employees a feeling of contentment with their present conditions and encourage them to Succeed in the company. Up or Out Promotion 3.57 To provide a process of “selective socialization Employees whose personalities and skills enable them to fit into an organisation human relations programme tend to stay on. TYPES OF PROMOTIONS 1. Multiple Chain Promotion 2. Statement of the promotion policy. The factors to the considered for promotions Length of service Education Training course completed Previous work history Based on ability Hard work Cooperation Merit BSPATIL . 5. they are: 1. Detailed personal and service records are kept ready. To attract suitable and competent workers for the organisation. 3. while those whose personalities with those of the organisation tend to leave. Dry Promotion PROMOTION POLICY The promotion policy should consists six elements. 2. Prepare employees for advancement through the provision of some trainings. Policy communication 6. Establish a plan of jobs.

cannot do their job properly. In other words. methods and practices. inefficiency or resignation. demotions are made quite BSPATIL . violations of which would subject an employee to demotion. leading to a defensive behaviour on the part of the person demoted. (iv) If violations are discovered. there should be consistent and equitable application of the penalty. and When. It is used as a punitive measure when there are serious branches of duty on the part of an employee when it is often a preliminary to a dismissal. (iii) There should be a competent investigation of any alleged violation. When an employee is demoted. Such demotions are not a black mark against an employee. old bands are unable to adjust. Inadequacy on the part of the employees in terms of job performance. demotion refers to the lowering down of the status.58 Honesty DEMOTION – DEFINITION Demotion’ has been defined as “the assignment of an individual to a job of lower rank and pay usually involving lower level of difficulty and responsibility. Turnbull and Stone demotion practice is having a five-fold as: (i) A clear and reasonable list of rules should be framed. or insubordination because such action will not improve the performance of the individual. because of ill health or personal reasons. poor attendance record. emotional turmoil. Heneman. or when employees. Hence. When a demotion will be practice in an organisation? : The factors considered for the demotion are: When departments are combined and jobs eliminated. (v) There should be provision for review. Demotion is also used as a disciplinary measure. employees are often required to accept lower-level position until normalcy is restored. following his promotion. salary and responsibilities of an employee. Only discipline and training can set the things right. attitude and capability – as happens when an individual finds it difficult to meet job requirements standards. A demotion should never be made as a penalty for a violation of the rules of conduct. Demotions have a serious impact on need fulfillment. there is compiling. Needs for esteem and belonging are frustrated. because of a change in technology. preferably by the immediate supervisor. his pride suffers a more severe jolt than it does when he is superseded by his junior. (ii) This information should be clearly communicated to employees. Demotion Policy: According to Yoder.

the reallocation of or reduction in the workforce due to a shortage or a surplus in same section so that lay-offs may be avoided. and changes in the organizational structure. by shifting him from one job to another so that he may have ample Opportunities for gaining a varied and broader experience of work. It generally does not involve a promotion demotion or a change in job status other than movement from one job or place to another.59 infrequently. filling in of the vacancies which may occur because of separations or because of the need for suitable adjustments in business operations. Such transfers are known as versatility transfer. Such transfers are known as plant transfer and are generally effected on humanitarian grounds to ensure that persons who have been long in service of an organisation are not thrown our of employment. Such transfers are called remedial transfers. To increase the versatility of the employee. fluctuations in work requirements. status and responsibility are the same. section. for example. where his capacities would be better utilized. TRANSFER – DEFINITION Yoder and associates have defined transfer as “a lateral shift causing movement of individuals from one position to another usually without involving any marked change in duties. the purpose being to give some relief to an old employee from the heavy pressure of work. responsibilities.” A transfer is a horizontal or lateral movement of an employee from one job. when he feels uncomfortable on the job because of his dislike of his boss. shift. skills needed or compensation. BSPATIL . To meet an employee’s own request. department. particularly when one is closed down for reasons beyond the control of the employer. Such transfers are known as shift transfer. THE REASONS FOLLOWED IN TRANSFERS ARE: To satisfy such needs of an organisation as arise out of a change in the quantity of production. To replace a new employee by an employee who has been in the organisation for a sufficiently long time. or because better opportunities for his future advancement do not exist there. or because of family circumstances which may compel him to change the place of his residence. To utilize properly the services of an employee when he is not performing satisfactorily and adequately and when the management feels that he may be more useful or suitable elsewhere. Many managers prefer to discharge employees rather than face the problems arising from demotion. or his fellow workers. Such transfers are known as replacement transfers. the introduction of new lines of production the dropping of existing product lines. To help employees work according to their convenience so far as timings are concerned. To adjust the workforce of one plant with that of another. plant or position to another at the same or another place where his salary. an employee is transferred from night shift to morning shift or from the first to the second shift (as in the case of women workers who may like to look after their children and do the necessary domestic work in the morning hours).

Discharge and dismissal. Resignation: Resignations may be put in voluntarily by the employees on grounds of health. under which either a difficult trade union activist or intriger or sealawyer may be transferred to a remote branch or office where he cannot continue his activities. BSPATIL . TRANSFER POLICY A good transfer policy should consist the following factors: Specifically clarify the types of transfers and the condition under which these will be made. or where there is a system of annual intake of management trainees such transfers are common here the employee holds a certain job for a fixed tenure but he is made to more from job to job with a view to enabling him to acquire a variety of experience and skills and also to ensure that he does not get involved in politicking informal groups. Intimate the fact of transfer to the person concerned well in advance. or for reasons of marriage (frequent in case of young girls): or they may be compulsory when an employee is asked to put in his resignation if he wants to avoid termination of his services on the ground of gross negligence of duty on his part. In senior administrative services of the Government and also in industries. divisions/plants. The employee may be separated from the pay roll of a company as a result of: 1. Lay-off 1. Suspension and retrenchment. or maladjustment with company policy and officers. physical disability. Indicate the basis for transfer – i. Be in writing and duly communicated to all concerned. whether it will be based on seniority or aon skill and competence or any other factor. 3. Transfer for the maintenance of a tenure system. and 4.. Not be made frequent and not for the sake of transfer only. and is also preferred by the employee to the grim alternative of disciplinary action. better opportunities else where.60 To penalize the employee transfers are also done. or some serious charge against him. Indicate whether transfers can be made only within a sub-unit or also between departments. In Government organizations. Resignation. SEPARATIONS – DEFINITIONS “Separation” means cessation of service of agreement with the organisation for one or other reason. this practice is widespread. Locate the authority in some officer who may initiate and implement transfers.e. 2. Decide the rate of pay to be given to the transferee.

proper rule should be framed to govern them. especially if the letter states the cause of the discharge. preventing promotion.61 2. The action taken should be bonafide and is neither a punitive measure nor a case of victimization. and physical unfitness. To demonstrate that a discharge is justified and does not arise out of unfair discrimination or personal prejudice of the supervisor. A discharge becomes necessary: (i) When the volume of business does not justify the continuing employment of the persons involved. (iii) A Memorandum bearing on the efforts made by the foreman to help the defendant to overcome his weakness. adverse attitude towards the organisation. (ii) Permanent records of ratings of the defendant’s traits maintained by persons other than the foreman. infraction of rules. Many causes may account for it. wastefulness. Discharge: A discharge involves permanent separation of an employee from the pay-roll for violation of company rules or for inadequate performance. dishonesty. destructive negligence. Discharge Procedure: To avoid unnecessary grievances arising form discharges. dishonesty. (v) A copy of nay warning that had been sent him. personal conduct. The following elements should be present in a discharge programme: (i) The reasons for discharge should be clearly stated. laziness. Discharge are generally made in accordance with the Standing Orders. (ii) When a person fails to work according to the requirements of the job either because of incapacity or because he has deliberately slowed down on work. Cause of Discharge: A discharge seldom arises from a single impulsive act. (iv) A memorandum bearing on the efforts made by the foreman to help the defendant to overcome his weakness. BSPATIL . (iii) When an individual forfeits his right to a job because of his violation of a basic policy often involving the safety of others. lack of co-operation. (c) Other Causes: Carelessness. frequent absences without leave. the morale and discipline of a group. drunkenness. insubordinations. un cleanliness. following evidence needs be produced: (i) Permanent records of all merit ratings made by the supervisors. promotion. or because there is no suitable place where he can be transferred. carelessness or indifference. violation of rules. lack of specific skill. (vi) The latter of discharge. Some of these are: (a) Frequent Causes: Inefficiency. (b) Infrequent Causes: Accidents. tardiness in starting work.

1947 defines retrenchment as the “termination by the employer of the services of workmen for any reason”. Retrenchment: It means a permanent termination of the services of an employee for economic reasons in going concern. or continued ill-health. The general rule is that in this process. It carried with it certain penalties. loss of benefits and. The Industrial Disputes Act. A worker can be retrenched if the following conditions are satisfied: (a) He has been given 3 month’s notice in writing. or on the closure and winding up of a business. The term is applied to continuing operations where a part of the work force is found to be superfluous. DISMISSAL A dismissal is the termination of the services of an employee by way of punishment for some misconduct. For reasons of discipline. in charge of initiating discharge action. an employee is given an opportunity to explain his conduct and to show cause why he should not be dismissed. which ensures that punishment is not Out of all proportion to the offence. Suspension This a serious punishment. Before his services are terminated. a workman may be suspended without prejudice during the course of any enquiry. and is generally awarded only after a proper enquiry has been conducted. etc. 3. indicating the reasons for retrenchment. (iv) The facts regarding the violations of the rules and regulations should be carefully analyzed. should be fully conversant with rules and regulations of the organisation. (iii) The supervisor. It must be noted that termination of services as a punishment given by way of disciplinary action. or he has been paid wages in lieu of such notice for the period of the notice. (v) Line officials should handle the discharge affairs. or retirements either voluntarily or on reaching the age of superannuation. (viii) A discharged employee needs a reasonable notice or an equivalent of pay in lieu of notice. BSPATIL . During suspension. such as difficulty of re-employment.62 (ii) The individual concerned should be adequately informed about the reasons for his discharge. does not constitute retrenchment. (vi) There should be a well-thought – out procedure for setting the discharge case. or for unauthorized and prolonged absence from duty. the employee receives a subsistence allowance. there should be no violation of what is known as the principle of natural justice. in certain cases. the loss of a part of the provident fund. and the period of notice has expired. (vii) Adequate provision should exist for review of the discharged employee’s case.

63 (b) The worker has been paid. (e) Production delays. the employee is expected to be called back in the foreseeable future. (b) Seasonal fluctuations in markets and loss of sales. a lay-off means the failure. Lay-off A lay-off refers to an indefinite separation of the employee from the pay roll due to factors beyond the control of the employer. compensation which is equivalent to 15 days’ average pay for every completed year of continuous service or any part thereof in excess of 6 months. (d) Shortage of raw material. refusal or inability of an employer to provide employment to a workman whose name is borne on the muster roll of his establishment. (c) Accumulation of stocks or financial slump. at the time of retrenchment. BSPATIL . Thus. It involves a temporary or permanent removal from the pay-roll of persons with – surplus skills. 4. It is resorted to as a result of some such bonafide reasons as factors which are beyond the control of the employers: (a) Breakdown of machinery. coal and power. (c) Notice has been served on the appropriate government authority and the permission of such authority has been obtained. The purpose of a lay-off is to reduce the financial burden on an organisation when human resources cannot be utilized profitably. and (f) Other technological reasons.

64 UNIT . i. an optimal balancing of conflictin personnel interests so that the satisfaction of employees and employers is maximized and conflicts minimized. BSPATIL . Its secondary objective is the establishment and maintenances of an equitable labour – cost structure.e. The chances of favoritism (which creep in when wage rates are assigned) are greatly minimized.. motivation and rewards. Employees’ morale and motivation are increased because a wage programmes can be explained and is based upon facts. (b) To employees: They can systematically plan for an control their labour costs. WAGE AND SALARY ADMINISTRATION The activities of wage and salary administration are: Job evaluation Analysis or Relevant organizational problems Development and maintenances of wage structure Establishing rules for administering wages Wage payments Incentives Profit sharing Wage changes adjustments Supplementary payments Control of compensation and other related items Nature and Purpose The basic purpose of wage and salary administration is to establish and maintain an equitable wage and salary structure. The wage and salary administration is concerned with the financial aspects of needs. Job sequences and line of promotion are established wherever they are applicable.IV Wage and Salary Administration – Factors – Principles – Compensation plan – Individual – Group – Incentives – Bonus – Fringe benefits – Job evaluation – Wage and salary administration in relation to personal taxation. The objectives of the Wage and Salary Administration are mentioned as below: (a) For employees: Employees are paid according to requirements of their jobs.

these units pay only the minimum wage rates required by labour legislation. It attracts qualified employees by ensuring an adequate payment for all the jobs. The Wage Determination Process The Wage Determination process steps are: Performing job analysis Wage surveys Analysis of relevant organizational problems forming wage structure Framing rules of wage administration Explaining these to employees Assigning grades and price to each job and paying the guaranteed wage. Steps involved in Determination of Wage Rate Factors Influencing Wage and Salary Structure and Administration The wage policies of different organizations vary somewhat. Often. A wage and salary administration reduces the likelihood of friction and grievances over wage inequities. Job Analysis Wage Legislation Job Description & Job Evaluatio n Wage surveys & Relevant organisatio Wage Structure Rules administrati on Performance standards Difference administrati on Wage payment Fig. and recruit marginal labor.65 In dealing with a trade union. It enhances an employee’s morale and motivation because adequate and fairly administered wages are basic to his wants and needs. they can explain the basis of their wage programme because it is based upon a systematic analysis of job and wage facts. some units pay well above the going rtes in the labour market. At the other extreme. BSPATIL . Marginal units pay the minimum necessary to attract the required number and kind of labour.

The cost of living. (vi) There should be a clearly established procedure for hearing and adjusting wage complaints. A job carries a certain wage rate. responsibility or job or working conditions. effort. regardless of who fills them.e. The prevailing market rate. Living wage. it may take the form of closely integrated sequences of job promotion. This may be integrated with the regular grievance procedure. (v) An equitable practice should be adopted for the recognition of individual differences in ability and contribution. in others. it may be a wage incentive plan. depending upon his ability a contributions. such as skill. and mental and physical requirements. Job requirements. (iii) The plan should carefully distinguish between jobs and employees..66 A sound wage policy is to adopt a job evaluation programme in order to establish fair differentials in wage based upon differences in job contents. it still others. the pay should be the same. with in-grade increases. The labor market criterion is most commonly used. Every employee should be informed of his own BSPATIL . For some units. Exceptions sometimes occur in vary high-level jobs in which the job-holder may make the ob large or small. i. and a person is assigned to fill it at that rate. this may take the form of rate ranges. and Psychological and Sociological factors Principles of Wage & Salary Administration The commonly suggested principles governing fixation of wage and salary are: (i) There should be a definite plan to ensure that differences in pay for jobs are based upon variations in job requirements. Managerial attitudes. (vii) The employees and the trade union. Besides the basic factors provided by a job description and job evaluation. those that are usually taken into consideration for wage and salary administration are: The organisation’s ability to pay. if there is one. should be informed about the procedure used to establish wage rates. Productivity. (iv) Equal pay for equal work. Trade Union’s Bargaining power. if it exists. if two jobs have equal difficulty requirements. (ii) The general level of wage and salaries should be reasonably in fine with that prevailing in the labour market. Supply and demand or labour.

(viii) The wage should be sufficient to ensure for the worker and his family reasonable standard of living. This theory (1817) states that “The labourers are paid to enable them to subsist and perpetuate the race without increase or diminution. If the fund was large. the number of works would decrease – as many would die of hunger. It has been recognized that “money is the only from of incentive which is wholly negotiable. when that happened the wage rates would go up. collective bargaining or by public or State regulation. appealing to the widest possible of seekers…. also knows an ‘Iron Law of Wages. (ix)The wage and salary structure should be flexible to that changing conditions can be easily met. wages would be high. and this would bring down the rate of wages. including the need for self-actualization. The demand for labour and the wages that could be paid them were determined by the size of the fund. If the wages fall below the subsistence level. disease. (x) Prompt and correct payments of the dues of the employees must be ensured and arrears of payment should not accumulate. His basic assumption was that wages are paid out of a pre-determined fund of wealth which lay surplus with wealthy persons as a result of savings. This fund could be utilized for employing labourers for work. including payments at piece rates. if it was small.” was propounded by Davit Ricardo (1772-1823). their numbers would increase as they would procreate more. Monetary payments often act as motivators and satisfiers interdependently of other job factors. and of the wage and salary structure. How wages are determined has been the subject of several theories of wages.67 position. etc. malnutrition. (xi)The wage and salary payments must fulfill a wide variety of human needs. The Surplus Value Theory of Wages BSPATIL . Wages are fixed mainly as a result of individual bargaining. cold.” The theory was based on the assumption that if the workers were paid more than subsistence wage. Wages Fund Theory This theory was developed by Adam Smith (1723-1790). There may be payment by time or payment by results. Workers should receive a guaranteed minimum wage to protect them against conditions beyond their control. and many would not marry. wages would be reduced to the subsistence level. Secrecy in wage matters should not be used as a cover-up for haphazard and unreasonable wage programme.” Theory of Wages Different methods of wage payment are prevalent in different industries and in various countries. The main element in these theories may be summed up as follows: Subsistence Theory This theory.

Marginal Productivity Theory This theory was developed by Phillips Henry Wicksteed (England) and John Bates Clark (USA). wages are based upon an entrepreneur estimate of the value that will probably be product by the last or marginal worker. job differential and individual differences tend to be determined by the relative strength of the organisation and the trade union. basic wages. land. the labor was an article of commence. When a trade union is involved. According to this theory. shelter. Elion Jacques have presented their views or wages and salaries. clothing. and the surplus went to the over. pension plans. The Internal Wage Structure: Social norms. fringe benefits. Wage and Salaries and Motivators Money often is looked upon as means of fulfilling the most basic need of men. the prestige-attached to certain jobs in terms of social status. on the basis of research studies and action programmes conducted by them. to be utilized for paying other expenses. Under this theory. wages are determined by the relative bargaining power of workers or trade unions and of employers. As long as each additional worker contribute more to the total value than the cost in wages. and the norms of span of control and demand for specialized labor all affect the internal wager structure of an organization. propounded this theory. it pays the employer to continue hiring. and supply of labour. where this becomes uneconomic. customs prevalent in the organisation and psychological pressures on the management. The result is that the employer has a larger share in profit as has not to pay to the non-marginal workers. According to this theory. Briefly such theories are: The Employee’s Acceptance of Wage Level: This type of thinking takes into consideration the factors which may induce an employee to stay on with a company. labour is the residual claimant. which could be purchased on payment of ‘subsistence price.. Robert Dubin. Consequently workers are paid what they are economically worth. traditions. viz. The Bargaining Theory of Wages John Davidson propounded this theory.’ The price of any product was deter ruined by the labour time needed for producing it. transportation. Food. the need to maintain internal consistency in wages at the higher levels the ratio of the maximum and minimum wage differentials. insurance. In other words. education and Other physical maintenance and security factors are made available through the purchasing power provided by BSPATIL . but much less. Residual Claimant Theory Francis A Walker. capital and entrepreneurs Wages represent the amount of value created in the production which remains after payment has been made for all these factors of production. The labourer was not paid in proportion to the time spent on work. In other words. The size and prestige of the company the power of the union.68 This theory owes its development to Kari Marx (1849-1883). it assumes that wages depend upon the demand for. the employer may resort to superior technology. the wages and benefits that the employee receives in proportion to the contribution made by him – all have their impact. According to him. Behavioural Theories Many behavioural scientists – notably industrial psychologists and sociologists – like Marsh and Simon. there were four factors of production/business activity. labour.

salaries are influenced by the size of a company by the specific industry. (iv) The amount paid is tied into the base salary in such a way that the combined earning are equitable both in relation to internal and external standards. (d) Company recreational area (swimming pool and gymnasium). BSPATIL . Of these.69 monetary income-wages and salaries. bonuses. The bonuses may average from 30 per cent to 50 percent of the basic salary. The sales effected. made are also taken into account. (b) Counsel and accountants to assist in legal. tax and financial problems. Straight salaries. (v) The amount paid reduced drastically whenever an individual experiences a real and continuing decrease in performance effectiveness. Moreover. bonuses based on performance. Merit increases. air transport. (vi) The amount paid is based on an easily understandable system of allocation. and in part by the contribution of the incumbent to the process of decision-making. The salary is determined by mutual agreement between the individual and the employer. Such payments are in the form of (a) Medical care. The industries that are more highly constrained by governmental regulation (banks. These bonuses operate most effectively in increasing motivation when the following conditions exist. Bonuses are also aid to executives at a certain percentage of the profits. and the individual is provided with complete information on the relationship between bonus and performance. basic pay. stock purchase plans and profit-sharing are used to compensate major executives. (iii) The amount paid is closely related to the level of company performance. reduction in expenses and the profits. (i) The amount paid is closely related to the level of individual performances. (ii) The amount paid after taxes represents a clearly noticeable rise above the base salary level. railroads. (vii) The amount paid is based on an easily understandable system of allocation. and the individual is provided with complete information on the relationship between bonus and performance. public utilities) pay relatively less than those that are more free to carry on their business (private firms). The bigger the firm. cost of living increases. and other forms of monetary recognition for achievement are genuine motivators. the straight salary is the most common method. COMPENSATION PLAN For the higher management. the greater is the compensation paid to the executives. life insurance. However. (c) Facilities for entertaining customers and for dining out. executive are compensated for the various expenses incurred by them. and other wage increases unrelated to an individual’s own productivity typically may fall into maintenance category. for taxation take away a major portion of their salary. the cost of production.

some already initiated actively. It has been defined differently by different authors. and BSPATIL . Incentives do not create but only aim to increase the national momentum towards Productivity. it is a method of sharing gains in productivity with works by rewarding them financially for their increased rate of output”. Objectives of Wage Incentive Schemes Wage incentive schemes aim at the fulfillment of one or more of 1 following objectives: (i) To improve the profit of a firm through a reduction in the unit costs of labour and materials or both: (ii) To avoid or minimize additional capital investment for the expansion of production capacity. The are designed to stimulate human effort by rewarding the person. which can possibly motivate human beings towards better and greater performance. over and above the time rated remuneration for improvements in the present or targeted results. The term incentive has gradually acquired a wide connotation and includes all the possible factors. According to Sun. We give below a few of these definitions.70 (e) The cost of the education and training of executives. “It is a term which refers to objectives in the external situation whose function is to increase or maintain. “it is any formal and announced programme under which the income of an individual. Wage Incentives – Definition The term wage incentives has been used both in the restricted sense of participation and in the widest sense of financial motivation. this definition is based on the principle that “an offer of additional money will motivate workers to work harder and more skillfully for greater part of the working time. conveyance and servants. and allowances for business magazines and books.” According to Hummel and Nicker son: “It refers to all the plans that provide extra pay for extra performance in addition to regular wages for a job. a plant work force of all the employees of a firm are partially or wholly related to Some measure of productivity output.” Florence observes: “It refers to increased willingness as distinguished from capacity. (iii) To increase a worker’s earnings without dragging the firm in a higher wage rate structure regardless of productivity. Simultaneously. (f) Free well-furnished accommodation.” “A wage incentive scheme is essentially a managerial device of in creasing a worker’s productivity. which will result in a stepped-up rate of output. “wage incentives are extra financial motivation. and either in duration or in intensity. Such a payment may also be called payment by results. scholarships for their children. besides economic gains. a small group.” According to the National Commission Labour.” We may define a wage incentive as a system of payment under which the amount payable to a person is linked with his output. In the words of Scott.

If employers. and consequently there is a cut in the expenditure on supervision. Merits or Wage Incentive Schemes Such schemes are regarded as beneficial to both employers and workers. payment by result may generally be relied upon to yield increased output. better production scheduling and performance control. 1. (ii) A works study associated with payment by result is a direct stimulus to workers to improve the organisation of work and to eliminate lost time and other waste. Demerits of Wage Incentive Plans: (i) Quality tends to deteriorate unless there is a stricter system of checking and inspection. Merits of Wage Incentive Plans: (i) When well-designed and properly applied. (iii) Labour and total cost per unit of output can be estimated more accurately in advance. Types of Wage Incentive Plans Wage Incentive plans may be discussed as (i) plans for blue-collar workers. the need for a vigorous supervision is reduced. Incentive Plans for Blue-Collar Workers: For Individuals: (A) Short-Term Plans These systems may be broadly classified into three categories: (a) Systems under which the rate of extra incentive is in proportion to the extra output. They are accepted as a sound technique for the achievement greater production on the ground that workers would work at their best if they are offered monetary rewards for good performance.71 (iv) To use wage incentives as a useful tool for securing a better utilization of manpower. (b) Systems under which the extra incentive is proportionately at a lower rate than the increase in output. (ii) plans for white-collar workers. lower the cost of production and bring a higher income to the workers. (iv) Less direct supervision is needed to keep output up to a reasonable level. BSPATIL . (v) The confliction interests of employers and employees are unified. Increased efficiency and smooth working can therefore be promoted and sustained. and (iii) plans managerial personnel-because each of these categories of employees has separate and distinct needs and specific plans tailored for each may prove beneficial. and a more effective personnel policy. and (c) Systems under which the rate of incentives is proportionately higher than the rate of increase in output.

ii. If they are too low. There must be proper machinery for handling grievances. Halsey Premium Plan. The 100 per cent Premium Plan.72 (ii) Payment by result may lead to opposition or restriction on output when new machines and methods are proposed or introduced. relations with the trade union. Great care should be taken in setting up standards to avoid rates that are too loose or too tight. Some Important Wage Incentive Plans : The chief incentive plans are: i. The management should train supervisors all the way down line so that foremen and department managers are able to deal with problems within their won departments. (iv) The amount and cost of clerical work increases. The management should avoid actions that resemble “rate cutting” because of the need to change methods and rates from time to time. This may call for procedures for the participation of employees and negotiations with the trade union. It is essential that the management pay in proportion to output. (viii) It is difficult to set piece or bonus rates accurately. (vii) Jealousies may arise among workers because some are able to earn more than others or because fast workers are dissatisfied with the slower or older works in the group. they. Rowan Premium Plan. This is because of the hear that the job may be restudied and earnings reduced. (iii) When paid by result. iv. workers may be under pressure to work too hard and become dissatisfied. and if too high. workers and to regard their highest earnings as norms. and therefore. once this output has risen above that required amount guaranteed pay. may slacker their efforts to avoid a revision of rates. (vi) Some workers tend to over-work and thus undermine their health. (v) There is a danger of disregarding safety regulations and thereby increasing the rate of accidents. BSPATIL . The management should avoid any action that may be interpreted as unfair. which includes workers-management confidence. Management should not introduce an incentive system until it has taken action to ensure full understanding of what is involved. Halsey-Weir Premium Plan. iii. A successful wage incentives plan should consist of the following key points: The management should recognize that the effectiveness of an incentive depends on the total situation. the quality of communication and of supervision and the traditions in an industry. press for a considerable higher minimum wage.

vii. (i) Halsey Premium Plan: This is a time-saved bonus plan which is ordinarily used when accurate performance standards have not be established. Taylor’s Differential Piece Rate Plan. ix. xii. Accelerating Premium Systems. (c) From the point of view of the administration. the policy is one of drift. Merric’s Multiple Piece Rate Plan. offers extra pay to efficient workers. Merits The merits of this are: (a) It guarantees a fixed time wage to slow workers and. (b) The cost of labour is reduced because of the percentage premium system. (ii) Halsey-Weir Premium Plan: This plan is similar to the Halsey Premium Plan except that 50 percent of the time saved in given as premium to worker. viii. at the same time. x. Profit Sharing. Gnatt Task Plan Emerson Efficiency Plan Co-Partnership System. the piece rate of pay gradually decreases with increased production. Formula : Bonus = ½ x Time Saved x Hourly Rate BSPATIL . The Bedeaux Point Plan. vi. the worker is left alone to decide whether or not to produce more after the standard ahs been reached. xi. for. Demerits The disadvantages of the plan are: (a) It depends upon past performance instead of making new standards.73 v. (b) The workers can beat the game by spurting on certain jobs to capture a premium and soldiering on other jobs to rest under the protection of the guarantee of day wages. (d) As the wages are guaranteed. it does not create any heartburning among such workers as are unable to reach the standard. (c) The plan in simple in design and easy to introduce. in this plan.

(viii) The Gnatt Task and Bonus Plan: This plan has been devised by H. is based on the principle of low piece rate for slow worker and a higher piece rate for higher production. He who finishes the task in 8 hours has 100 percent efficiency. Workers completing the job within the standard time or in less time receive wages for the standard time plus a bonus which ranges from 20 percent to 50 percent of the time allowed and not time saved. and (iii) when the standard is exceeded. to remove the fear of wage cut. a higher piece-rate is paid but there is no bonus. the bonus comes to 20 percent of BSPATIL . the time saved is expressed as a percentage of the time allowed. instead of two. (vii) Merrie’s Multiple Piece Rate System: This system. he simply gets his time rate without any bonus. only the minimum guaranteed wage is to be paid. this wage + 20% of time rate will be paid as a bonus. but the plan differs from Taylor’s Plan in that it offers three graded piece rates. Gnatt and is the only one that pays a bonus percentage multiplied by the value of standard time. there are also three stages of payment: (i) Below the standard performance. (iv) The 100 percent Premium Plan: A definite hourly rate is paid for each task-hour of work performed. The worker is paid the full value of the time saved.74 (iii) Rowan Premium Plan: In the Rowan Plan. It differs from the 100 percent plan in that the basic unit of the time is the minute termed as B. When a worker fails to turn out the required quantity of a product. This bonus goes on increasing till. Every job is expressed in terms of Bs (after Bedeaux). Under this system. No bonus is paid a worker unless he attains 662/3 percent efficiency.L. his efficiency is 50 percent. The remuneration based on efficiency rises gradually. Output standards and time standards are established for the performance of each job. to give sufficient incentive to workmen to induce them to produce up to their full capacity. they are given a higher rate to enable them to get the bonus. Efficiency is determined by the ratio between the standard time fixed for a performance and the time actually taken by a worker. and second. (ix)Emerson Efficiency Plan: Under this system. Under this plan. (ii) Above 83% and upto 100% of standard output – same piece rate + 20% of time rate. a standard time is established for a standard task. and the hourly rate of pay is increased by that percentage so that total earnings of the worker are the total number of hours multiplied by the increased hourly wages. too. at which stage he receives a nominal bonus. The day wage is assured. when he achieves 100 percent efficiency. There is one rate for those who reach the standard. which means that a job should be completed in so many minutes. The plan is identical with the straight piece-rate plan except for its higher guaranteed hourly rate and the use of task time as a unit of payment instead of a price per piece. (v) The Bedeaux Point Plan: This plan is used when carefully assessed performance standards have been established. There is not sudden rise in wages on achieving the standard of performance. (i) Upto. if the period of 8 hours is the standard time for a task and if a worker performs it in 16 hours. (vi) Taylor’s Differential Piece-Rate Plan: This system was introduced by Taylor with two objects: First. fixed time rates are guaranteed. (ii) at the standard performance. and (iii) Above 100% of standard output – same piece rate but no bonus. Thus. say 83% of standard output a piece-rate + 10% of time rate as bonus.

” Features of Profit-Sharing: The main features of the profit-sharing schemes are: (a) The agreement is voluntary and based on joint consultation made freely between the employers and the employees. The payment of the existing standard wages of labour. the following factors are present. shares responsibilities. a. b. Prof. therefore. By giving them a voice in the management of the factory it raises their status as well. As they have become partners in the business. not only does a workers share in the profits of the undertaking but he also takes part in its control and. Under this system. The payment of a fixed rate of interest on capital. The ‘value added’ by manufacturer 3. At 120 percent efficiency. (B) Long – Term Wage Incentive Plans This is classified into three types: 1. e. fixed in advance of the profit. Bonus can also be calculated on the increased value of sales where this result is obtained by increased production. The payment for a part of the worker’s labour by the allotment of a share in the capital. A standard output 2. c. The Group Incentive Plans are usually: (i) The Profit sharing schemes. and (ii) The Scanlan Plan. Seager observes: “Profit-sharing is an arrangement by which employees receives a share. There are different degree of this partnership and control allowed to the operatives in different cases. BSPATIL .75 the guaranteed wage. a worker receives a bonus of 40 percent and at 140 percent efficiency the bonus is 60 percent of the day wage. but in complete co-partnership system. (x) Co-Partnership System: This system tries to eliminate friction between capital and labour. The sharing in the control of the business by the representatives of labour. The division of the surplus profit between capital and labour in an agreed proportion. d. they try to make it a very profitable enterprise. The system arouses and sustains the interest of the workers in their work. (xi)Accelerating Premium Systems: These are the systems which provide for a guaranteed minimum wage for output below standard. (i) Profit Sharing Profit-sharing is regarded as a stepping stone to industrial democracy.

(d) To attract desirable employees and retain them. mongthly. and (h) To demonstrate some measure of social justice to employees. (d) The agreement on profit-sharing having been mutually accepted. such as tenure or satisfy some other condition of service which may be determined by the management. (g) To ensure employee security. (f) To provide a group incentive for a larger output.e. (e) To encourage employee thrift.g. severance or under withdrawal provisions during employment). (f) The amount to be distributed depends on the profits earned by an enterprise. (e) The amount to be distributed among the participants is computed on the basis of some agreed formula. quarterly. is binding and there is no room on the part of the employer to exercise discretion in a matter which is vital to the employees. thereby reducing the rate of turnover... (g) The proportion of the profits to be distributed among the employees is determined in advance. death. biannually or annually). which is to be applied in all circumstances. (c) Combination by which a part of the profit is paid in cash and a pan is deferred and placed in the employee’s account in a trust fund. stock of future credits of some amount over and above the normal remuneration that would otherwise be paid to employees in a given situation.76 (b) The payment may be in the form of cash. Types of Profit-Sharing: Employee profit-sharing is often regarded by employers as a supplementary benefit programme. three basic of profit-sharing plans are in use: (a) Current (cash) profits are paid directly to employees in cash or by cheque or in the form of stock as soon as profits are deter mined (e. Forms of Profit-Sharing BSPATIL . (c) To instill a sense of partnership among employees and employers and to increase employee interest in the company in which he works. Objectives of Profit-Sharing (a) To promote industrial harmony and stabilization of the work force. disability. Although plans differ widely as to specific details. (b) Deferred profits are credited to employee accounts to be paid to the time of retirement or in particular circumstances (i. (b) To eliminate waste in the sue of materials and equipments. (c) The employees should have some minimum qualifications.

” The United States Chamber of Commerce include five categories of services and benefits under the term fringe benefits. Units Basis 4. significance or connotation. survivor benefits. The chief area of disagreement is between “wages” and on the one hand and between “fringes” and “company personnel services” on the other. by the provision of medical and other services. health insurance. for example.” Wage Supplements. This is fairly obvious in the case of public parks. . lunch periods.” “Welfare Expenses. etc.’ Benefits that have no relation to employment or wages should not be regarded a fringe benefits. for there is no agreement among the experts on its precise meaning. low-rent housing.” The International Labour Organisation has defined “fringe benefits” as under. (ii) Pension and group insurance. waste-up time.” “Subwages” or “Social Charges. etc. The term encompasses a number of benefits – paid vacation. and public and fire protection.” “Perquisites other than Wages. “Wages are often augmented by special cash benefits. Locality Basis 3. and welfare payment. (iv) Payment for time not worked – vacations and holidays..” It is difficult to define what a fringe benefit is. The Glossary of Current Industrial Relations and Wage Terms has defined fringe benefits as “Supplements to wages received by workers at a cost to employers.which usually add upto something more than a “fringe” and is sometimes applied to a practice that may constitute a dubious benefits for workers. Industry Basis 2. There are also differences on whether the bi which have been legally provided for should be included among the “fringes”. These are: (i) Legally required payments – old age pension.” Different tern have been used for these benefits. and payments made under the Workmen’s Compensation Act. such as “Fringe Benefits. “Non-Wage Labour Costs” or “Selected Supplementary Compensation Practices. pension. low-cost meals. and BSPATIL . Such additions to the wage proper are sometimes referred to as ‘fringe benefits. unemployment insurance. Department Basis 5. separation pay. (iii) Paid rest periods. Individual Basis Fringe Benefits – Definition These benefits are usually known as “fringe benefits” as they are offered by the employer to the employee as a “Fringe. sanitation services. In addition. disability pension.” “hidden payroll”. health and insurance plans. workers commonly receive such benefits as holidays with pay.77 Profit-sharing may be on1. even though they may constitute a significant part of the workers’ total in come.

fuel etc. that is. and which are not in the form of wages. legally sanctioned payments on social security schemes. But wages are always fixed and paid regularly. workmen’s compensation. A labour cost is a “fringe” only when is an avoidable factor. fringe benefit represents a labour cost for the employer. welfare cess. Sometimes. It is a benefit which supplements to a worker’s ordinary wages and which is of value to them and their families in so far as as it materially increases their retirement. They boost the earnings of the employees. Only the legal or union-imposed or voluntary non-wage costs. Thirdly. Fringe benefit is primarily a means in the direction of ensuring. everything which a company spends over and above “straight time pay” should be considered a fringe benefit. Firstly. Belcher defines these benefits as “any wage cost not directly include payments for non-working time. and subsidized housing and related services. when it can be replaced by money wages without detriment to a worker’s productive efficiency. a fringe benefit – subsidizing non-vegetarian meals taken in the factory canteen is not a fringe benefit for vegetarian employees. to be termed a ‘fringe benefit. Special Features of Fringe Benefits It will be noted that there is some difference between ‘wages and fringe benefits’. maintaining and increasing the income of the employee. which are provided for workers. Secondly. effort on merit of an employee. water..” We may define fringe benefit thus. etc. for example. cultural and recreational needs of workmen. maternity benefits are offered to female works who have put in a prescribed period of service with a particular employer. wages are directly related to the work done and are paid regularly – usually weekly. are those payments or benefits which a Worker enjoys in addition to the wages or salary he receives. not on the basis of the hard work or long hours of work put in by an employee but on the basis of length of service. It is a fringe benefit when it is enjoyed by all the employees. Fringe benefits. these benefits are not given to workers for nay specific jobs they have performed but are offered to them to stimulate their interest in their work and to make their job more attractive and productive for them. a fringe is never a direct reward geared to the output. BSPATIL . The term also includes the monetary equivalent of free lighting. are considered to be fringe. It is offered. and put extra spending money in their hands. Fourthly. medical. ecudational. sex. for it is an expenditure which he incurs on supplementing the average money rates due to his employees who have been engaged on the basis of time schedules. and the contributions may by employees under such voluntary schemes as cater for the post-retirement.78 (v) Christmas bonus. For example.” Cockman views employees benefits as “those benefits which are supplied by an employer to or for the benefits of an employee. which can be computed into money wages. salaries and time-rated payments. the hazards of life he encounters in the course of his work. profits and bonus. on the other hand. the larger the fringe benefits he enjoys. fortnightly or monthly. In the circumstances. Fifthly. his sickness.’ a labour cost should be in tended by an employer as a benefit desired by his staff. the longer an employee’s period of service.

however.’ So it is a process by which jobs in an organization are appraised. It involves. pension. it is. company purchasing services. To increase and improve employee morale and create a helpful and positive attitude on the part of workers towards their employees. skills required. authority relationships. a formal and systematic comparison of jobs in order to determine the worth of one job relative to another. definitely constitute a fringe benefit. Job evaluation on the other hand. so that a wage or salary hierarchy result. Subsidized meals. medical insurance or separation pay. a fringe must constitute a positive cost to the employer and should be incurred to finance an employee benefit. for a strong trade union generally constrains an employer to adopt a sound benefits-and-services programme for his employees. but if it is given to supplement his wages. in other words. The work ‘Services’. BSPATIL . as in the case of holiday pay. it is not a fringe.79 Sixthly. To make the organisatoin and dominant influence in the lives of its employees with a view to gaining their loyalty and co operation. But since the terms are also used inter changeably. workers medical examination. they are not merely so but are a substantial part of the expenditure incurred on wage and salary administration. they are synonymous. To recognize the official trade union’s bargaining strength. The word ‘Benefit’ applies to those items for which a direct monetary value to the employee can be easily ascertained. JOB EVALUATION TECHNIQUES Job analysis describes the duties of a job. particularly those which an individual cannot himself provide for. To provide for the needs of employees and protect them against certain hazards of life. For example the expenditure incurred on providing better lighting arrangements with a view to increasing a worker’s efficiency is not counted as expenditure incurred on fringe benefits. refers to such items as athletics. housing etc. Though these benefits are known as fringes. They are better known now as ‘Benefits and Services’ rather than as ‘Fringe Benefits’. and additional relevant information. The Objectives of Fringe Benefits and Services Programmes An organisation designs and establishes a benefits-and-service programme to achieve the following ends: To keep in line with the prevailing practices of offering benefits and services which are given by similar concerns. If the benefit in creases a worker’s efficiency. encouraging them to greater productive efforts. To recruit and retain the best personnel. even though the workers may gain financially as a result of their increased efficiency flowing fro the provision of better lighting facilities. on the other hand. legal aid. uses the information in job analysis to evaluate each job – valuing its components and ascertaining relative job worth. To improve and furnish the organizational image in the eyes of the public with a view to improving its market position and bringing about product acceptance by it. conditions of work.

Objectives of Job Evaluation According to L.” The Bureau of a Labour Statistics.. Report the objectives of job evaluation are: To secure and maintain complete. such as skills.S. defines job evaluation as “an attempt to determine and.L. “job evaluation is a process of deter mining the relative worth of the various jobs within the organisatoin. The evaluation may be achieved through the assignment of points or the use of some other systematic method for essential job requirements. skills.” Kimball and Kimball define job evaluation as “an effort to determine the relative value of every job in a plant to determine what the fair basic wage for such a job should be. sys that “job evaluation is the evaluation rating of jobs to determine their position in the job hierarchy. It is the quantitative measurements of relative job worth for the purpose of establishing consistent wage rate differentials by objectives means. community or industry. being a foundation for the setting of wages.L. It presents and effort to determine the relative value of every job in a plant.” It the words of the Netherlands Committee of Experts on Job Evaluation “job evaluation is a method which helps to establish a justified rank order of jobs as a whole. which is the task of employee rating. It does not set the price of a job.” According to Wendell French. grouping them and determining their relative value by comparing the duties of different positions in terms of their different responsibilities and other requirements. and to determine what the fair basic wage for such a job should be. accurate and impersonal descriptions of each distinct job or occupation in the entire plant. It is not evaluation the merit of the worker who is doing the work. U. To provide a standard procedure for determining the relative worth of each job in a plant.A. To ensure that like wages are paid to all qualified employees for like work.80 Definition of Job Evaluation Below are given some important definitions of job evaluation: The I. BSPATIL .O.” The relative worth of a job means relative value produced. To determine the rate of pay for each job which is fair and equitable with relation to other jobs in the plant. The variables which are assumed to be related to value produced are such factors as responsibility. it merely fixes its relatives worth. so that differential wages may be paid to jobs of different worth.O. Job evaluation is the only one of the starting points for establishing the relative differentiation of base wage rates. It measures the differences between job requirements. It rates the job and not the qualities of the individual workers on the job. effort and working conditions. We may define job evaluation as a process of analyzing and describing positions. compare demands which the normal performance of a particular job makes on normal workers without taking into account the individual abilities or performance of the workers concerned. experience and responsibility. the objective being the setting of pay for management purposes.

It would be unwise to adopt an occupational wage for each total of point values. It may help in removing inequalities in existing wage structures and in maintaining sound and consistent wage differentials in a plant or industry. To provide a factual basis for the consideration of wage rates for similar jobs in a community and in an industry. thus establishing a clear basis for negotiations. of wage bargaining by more impersonal and objectives standards. The elements selected for rating purposes should be easily explainable in terms and as few in number as will cover the necessary requisites for every job without any overlapping. Only point values and degrees of each element should be discussed. job evaluation principles are: Rate the job and not the man. the method often facilitates fitting them into the existing wage structure. employees’ selection. any discussion of money value should be avoided. The method replaces the many accidental factors. In the case of new jobs. In providing a yardstick. BSPATIL . In talking to foremen and employees. training and numerous other similar problems. Each element should be rated on the basis of what the job itself requires. and it improves labour-management relations and worker’s morale. The method helps in removing grievances arising out of relative wages. Maximum co-operation can be obtained from employees when they themselves have an opportunity to discuss job ratings. and objective method of ranking jobs relative to one another. The elements should be clearly defined and properly selected. Any job rating plan must be sold to foremen and employees. occurring in less systematic procedures.L.O publication claims following advantages for job evaluation: Job evaluation is a logical and. The success in selling it will depend on a clear-cut explanation and illustration of the plan. Advantages of Job Evaluation An I. the method simplifies discussion of wage demands and enables differences in wage to be explained and justified. by which workers’ complaints or claims can be judged. to some extent. To many occupational wages should not be established.81 To promote a fair and accurate consideration of all employees for advancement and transfer. placement. Principles of Job Evaluation Programme According to Kress. and To provide information for ‘work organisation. Foremen should participate in the rating of jobs in their own departments.

(vi) When job evaluation is applied for the first time in any organisation. BSPATIL . the evaluation of a job today is made on the basis of job factors. nurse and typist.82 The method may leas to greater uniformity in wager rates. (iii) A job frequently favours groups different form those which are facoured by the market. The information collected in the process of job description and analysis may also be sue for the improvement of selection. These differences are wider in cases in which the average pay offered by a company is lower than that prevalent in other companies in the same industry or in the same geographical. rapid changes in technology and in the supply and demand of particular skills have given rise to problems of adjustment. Limitation of Job Evaluation These are. thus simplifying wage administration. Some of these may be more and others less than the rate determined by job evaluation. Therefore. and division of labour and such other factors. “the jobs which tend to rate high as compared with the market are those of janitor. Weaker groups are better served by an evaluation plan than by the market. it creates doubts and often fear in the minds of those jobs are being evaluated. transfer and promotion procedures on the basis of comparative job requirements. information systems. the former places the emphasis not on force but on enquiry. (vii) A large number of jobs are called red circle jobs. (ix)When job evaluation results in substantial changes in the existing wage structure. These need to be probed. while craft rates are relatively low. It may also disrupt the existing social and psychological relationships. They observe. (iv) Job factors fluctuate because of changes in production technology. and may be costly. and does not reflect the tiem job value in future. requires specialized technical personnel. (ii) Substantial differences exist between job factors and the factors emphasized in the market. Such information also reveals that works are engaged in jobs requiring less skill and other qualities than they posses. This is evident from the observations of Kerr and Fisher. In other words. (v) Higher rates of pay for some jobs at the earlier stages than other jobs or the evaluation of a higher in the organizational hierarchy at a lower rate than another job relatively lower in the organizational hierarchy often give rise to human relations problems and lead to grievances among those holding these jobs. (viii) Job evaluation takes a long time to install. (i) Though many was of applying the job evaluation technique are available. thereby pointing to the possibility of a making more efficient use of the plant’s labor. continuing attention and frequent evaluation of a job are essential. the possibility of implementing these changes in a relatively short period may be restricted by the financial limits within which the firm has to operate.

’ (ii) Specific job requirements (such as skill. therefore. different basses of comparison between rates occur. Therefore. Often a rater’s judgment is strongly influenced by present wage rates. although they may be useful. easily understood. The process is initially based on judgment and. simple. unless it is carried to a detailed point used by company. Demerits (i) As there is no standard for an analysis of the whole job position. (2) The grading of job classification system. effort and responsibility) are not normally analyzed separately. Merits: (i) The system is simple. The usually adopted technique is to rand jobs according to “the whole job” rather than a number of compensable factors. Sometimes. (1) The ranking systems. because they utilize non-quantitative methods of listing jobs in order of difficulty and are. BSPATIL . and easy to explain to employees (or a union). fewer forms and less work. a series of grades or zones are established. The first two systems are popularly known as the non-analytical or non-quantitative or summary systems. tends to be influenced by a variety of personnel biases. A more common practice is to arrange all the jobs according to their requirements by raging them and then to establish the groups or classification. The Ranking Systems Mechanism: Under this systems.83 Basic Job Evaluation Methods / Systems There are four basic. traditional systems of job evaluation. and all the jobs in the organisation are arranged into these. therefore. (3) The point system. or in the reserve order. (ii) It is far less expensive to put into effect than other systems. it is suitable for small organizations with clearly defined jobs. all jobs are arranged or ranked in the order of their importance from the simplest to the hardest. each successary to have job descriptions. because they use quantitative techniques in listing the jobs. The last two systems are called the analytical or quantitative systems. and requires little effort for maintenance. (iii) It requires less time. 1. and (4) The factor comparison system.

Key jobs are assigned to an appropriate grade level and their relationship to each other studied. After establishing the grade level. For examples. Grade descriptions are the result of the basic job informaotn which is usually derived from a job analysis.84 (iii) The system merely produces a job order and does not indicate to what extent it is more important than the one below it. Merits: (i) This method is simple to operate and understand. Certain jobs may then be grouped together into a common grade or classification. Job Classification or Grading Method Under this system . (v) Classification of all Jobs. which include all the major departments and functions and functions and cover all the grades. After formulation and studying job descriptions and job specifications. clusters or groups. General grade descriptions are written for each job classification. for it does not take much time or require technical help. and BSPATIL . General jobs may then be grouped together into a common grade or classification. usually derived from a job analysis. level must be distinct form the grade level adjacent to it. About 10 to 20 jobs are selected. (iv) Grading the key jobs. a number of pre-determined grades or classificaiotns are established by a committee and then the various jobs are assigned within ech grade or class. responsibilities. Mechanism: The following five steps are generally involved: (i) The preparation of job descriptions. each job is assigned to an appropriate grade level on the basis of the complexity of duties. clerks in another. arranged in order of importance from high to low. or related to. 2. It only gives us its rank or tells us that it is higher or more difficult than another. Jobs are classified by grade definitions. it should represent a typical step in a continuous way and not big jump or gap. (iii) If an organisation consists of 500 people holding to different jobs. this method makes it easier for them to understand rankings. (ii) The use of fully described job classes meets the need for employing systematic criteria in ordering jobs to their importance. junior officers in higher class. know ledge and experience can be identified by the process of job analysis. (iii) Selection of grades and key jobs. Since many workers think of jobs in. but it does not indicate how much higher or more difficult. All the jobs in the same grade receive the same wage or range of rates. jobs are grouped into classes or grades which represent different pay levels ranging from low to high. which gives us basis job information. (ii) The preparation of grade descriptions. menials may be put into one class. the jobs might be broken up into perhaps 5 classes. Common tasks. at the same time. non-supervisory responsibilities and supervisory responsibilities. and the top executive in the top class. and finally these are used as standard for assigning all the other jobs to a particular pay scale. so that different levels or grades of jobs may be identified. Each grade.

and assigned to. Then they are ranked according to their mental requirements. and so forth. and determine into which classes each job should be placed. it represents an advance in accuracy over the ranking method. Under this method. This class description broadly reflects level of education. 3. The sum of these points gives us an index of the relative significance of the jobs that are rated. (v) They system is rather rigid and unsuitable for a large organisation or for very varied work. the judgment in respect of whole range of jobs may produce an in correct classification. mental skill. (iv) The grouping of jobs into classification makes pay determination problems administratively easier to handle. It entails deciding which jobs have more of certain compensable factors than others. and for which the pay rates are such as are agreed upon and are acceptable to both management and labor. The point system is based on the assumption that it is possible to assign points to respective factors which are essential for evaluating an individual’s job. Essentials of Success of Job Evaluation Programmes BSPATIL . Pay grades are determined for . (v) It is used in important government services and operates efficiently but it is rarely used in an industry.85 described class by class. Next they are rank according to their ‘responsibility’. 4. the corresponding number of points of each factor is added and an overall point value is obtained. it still leaves much to be desired because personal evaluations by executives (unskilled in such work) establish the major classes. The Points System This method is the most widely used type of job evaluation plan it requires identifying a number of compensable factors (i. each job is ranked several times-once for each compensable factor selected. Here. various characteristics of jobs) and then determining degree to which each of these factors is present in the job. Then these ratings and combined for each job in an over-all numerical rating for the job.e. (iv) It is difficult to know how much of a job’s rank is influenced by the man on the job. the analyst or the Evaluation Committee selects some ‘key’ or ‘benchmark’ jobs for which there are clearly understood job descriptions and counterparts in other organizations. (iii) It is relatively difficult to write a grade description. Once the degree to each factor is determined. (ii) Since no detailed analysis of a job is done. profit impact or some combination of these. all the job classification. For example. The Factor Comparison Method Under this system.. The system becomes to operate as the number of jobs increases. jobs may be ranked first in terms of the factor ‘skill’. A different number of points is usually assigned for each degree of each factor. Demerits: This system suffers from the following defects: (i) Although. jobs are evaluated by means of standard yard sticks of value.

(v) Whatever plan or system is selected for each group will arouse some fears or apprehensions. According to the findings of the International Relations Sections of the Princeton University. BSPATIL . and the management should endeavour to involve a broad range of employees from a number of departments. they will certainly not be able to convince the employee. The evaluation of new and changed jobs. the chances of success are doubtful. and departmental heads. office workers. A centralized coordination of the scheme. In order that a job evaluation system works efficiently. the utmost care must be exercised to ensure that human as well as technical aspects are taken into account. The management’s aims are clear to all concerned and that not only the manual workers but also all levels of supervision and management employees fully understand its implications. departmental meetings and letters to employees’ homes. and be able to explain to their people the purpose of the plan and how it works. For example.86 When it is finally decided to install a formal system of job evaluation irrespective of which system is decided upon. the details of the administration of the plan should be as simple as possible. utilizing employee publications. for it they are not convinced that it is useful. principles and procedures to anyone who wants to understand them. (a) It must be carefully established by ensuring that: i. The following measures may be adopted. They should understand it. salesmen. Otherwise. notice boards. the following conditions are necessary for the successful operation of a job evaluation programme. and All the relevant internal and external factors have been taken into account in arriving at the final form of the scheme. (ii) Supervisors as a group should receive a thorough training in advance of the actual introduction of the plan to enable them to explain the policies. (b) It must have the full approval and continued support and backing of the top management. (c) It must have obtained the acceptance of trade unions. The wages that are offered must be at or about the prevailing rte in order that there may be a successful completion for capable people. (d) Adequate administrative control must be set up to ensure: i. To overcome these. it is necessary that all those who are concerned with job evaluation should be fully conversant with the techniques and implications of the different available systems. it would be difficult to work out a plan equally applicable to factory workers. They must accept the desirability of the plan. ii. (iv) Separate pay structures should be maintained for major groups of employees. (iii) The management must give the widest publicity to every phase of the programme. ii. (i) Supervisors should have full knowledge of the system.

for example. It should.e. If they are not. a scheme becomes too inflexible because of the narrow covered of he job descriptions. (f) Before launching a job evaluation programme certain issues should be decided beforehand. if possible. in wage rate determination (employment market conditions. developed jointly by the company and the trade unions.. wage differentials. 2. Some Suggestions We suggest the following measures and steps for improving the working of evaluations programmes. Promotions within a grade become more serious.. which cannot be ignored if the scheme is to be successful. iv. e. ii. reflect those forces which are important in the market. 3. The details of a scheme should be drawn up in such a way that they do not conflict with other provisions of Collective Agreement such as. The conduct of wage surveys to provide the necessary information about the intra-plant ranges. A proper control of individual rate ranges. therefore. and the relative bargaining power of the management and the trade union) must be recognized and taken into consideration while launching a job evaluation programme. Any anticipated changes in methods should be carried out before a scheme is installed and all modifications in it should be resisted until it becomes fully established. 1. 6. 4. Which category of employees are to be covered (i. whether hourly padi job or salaried job employees) and upto what range? Who will evaluate a job – outside consultants or trade analysts or the personnel of the personnel department? How will the employees be consulted in regard to the method of putting the programme through? and Does a proper atmosphere exist for launching of the programme? BSPATIL . The scheme should be sold to all concerned and suggestions sought. The scheme should be introduced on a plant-to-plant basis than applied to a whole industry. sex. seniority clauses and grievances procedure.g. workers tend to feel more insecure and cling to their present jobs because they may not have the qualification for another job. It is of major importance that the number of job titles and classifications be kept to a minimum. (e) The importance of factors. A job evaluation scheme should be chosen cautiously. 5. it is highly desirable that any scheme adopted should be agreed to and.87 iii. relative supply of and demand for labour. iv. other than job content. If the workers in a plant are unionized. bargaining power of the parties and job conditions. There are: i. iii. This is because it is difficult to standardize jobs throughout an industry unless the plants in it are so familiar that they can be treated as being virtually a single firm. It should be devised and administered with due regard to the conditions of the employment market. geographical wage differentials. Moreover.

B. especially in the unorganized sector of economy. (d) Differences in the nature of employment and occupations. which may be due to inborn quality. the extent of unionization and the relative bargaining power of the employers and workers. Wage differentials arise because of the following factors: (a) Differences in the efficiency of the labor.) within a job grade is easier to administer than one which establishes rate ranges and has no fixed ratios. 9. yet the main features of the Indian wage structure may be stated thus: “As a characteristic of the unorganized labour market. Despite the fact the Constitution of India enjoins upon the State to direct its policy towards securing “equal pay for equal work” for men and women. and the requirements of social justice also directly or indirectly affect wage differentials. etc. In preparing job descriptions it is sound practice to emphasize in the them the things which make on job different from another rather than to find a comprehensive statement all the duties of the jobs. (b) The existence of non-competing groups due to difficulties in the way of the mobility of labour from low paid to high paid employments. The prevailing rates of wages.” The tendency appears to be towards the elimination of wage differentials because of government interference through the fixation of the minimum wages and. not on the ground that the work done is unequal but on the BSPATIL . and conditions under which work may be done. through the appointment of Wage Boards and pressures from trade unions. educations. individual bargaining and wage discrimination have tended to persist in India. the general economic. industrials and social conditions in a country and a host of other subject and objective factors operating at various levels. and even in the organized and unorganized sections in industry. the extent of authoritarian regulations and the centralization of decision-making. 8. Wage differentials by sex are quite common. the rate of growth in productivity. The essence of successful administration of a scheme is flexibility. Wage Differentials in India Due to the paucity of relevant data on wage differentials. the capacity of an industry to pay. Both economic and social reasons account for this phenomenon. the needs of an industry in a developing economy. A scheme is better administered by the Individual Relations staff of a company than by the Industrial Engineers who may have developed it. and this is better understood by those engaged in industrial relations work than Industrial Engineers. (c) Differences in the agreeableness or social esteem of employment. The nature and the extent of wage differentials are conditioned by a set of factors such as the conditions prevailing in the market. it is not possible to analyze them in India. A scheme which provides for single rates and for definite ratios between the rates for classes of workers (A. of late. 10. personal differentials because of job selling. awards of some industrial Tribunals provide for “different wages for men an women workers. C.The better the state of industrial relations the easier it is to introduce a job evaluation scheme. customs and traditions.88 7.

that the cost of employing women workers is higher.” As regards inter-firm and inter-industry differentials in India. the former were quite important and frequent in the past. however. particularly in the jute mill industry. there has been a tendency towards the elimination of inter-firm differentials. BSPATIL . Of late.89 ground that the wages of women workers support a smaller family. The forces which tend to eliminate inter-personal differentials in the country operate in this case as well.

the objective of maintenance and integration are to facilitate production. to achieve a Sound. (3) Socialization or rationalization of industrial by making the state itself a major employer. and adjusts their conflicting interests. to safeguard the rights and interests of both labour and management by enlisting he cooperation of both. it protects some and restrains others. and BSPATIL . and imbalanced.industrial relations in a country are intimately connected with the form if its political government and the objectives of an industrial organisation may change from economic to political ends. and tries to evolve a healthy social order. through good and harmonious industrial relations. (d) To establish and nurse the growth of an Industrial Democracy based on labour partnership in the sharing of profits and of managerial decisions. (f) To establish government control of such plants and units as are running at a loss or in which production has to be regulated in the public interest. so that an individual’s personality may grow to its full stature for the benefit of an industry and of the country as well. lockouts and gheraos by providing reasonable wages. According to Kirkaldy. harmonious and mutually beneficial relationship between employers and employees. (c) To raise productivity to a higher level in an era of full employment by lessening the tendency to high turnover and frequent absenteeism. (b) To avoid industrial conflict or strife and develop harmonious relations. The State endeavors to correct. In other words. improved living and working conditions. as far as is possible and practicable. industrial relations are designed (a) To safeguard the interests of labour and of management by securing the highest level of mutual understanding and good will among all those sections in the industry which participate in the process of production.” He divides the objectives of industrial relations into four categories. (1) Improvement in the economic conditions of workers existing state of industrial management and political government. (2) Control exercised by the state over industrial undertaking with a view to regulating production and promoting harmonious industrial relations. (e) To eliminste.90 UNIT – V Employee Maintenance and Integration – Welfare and safety – Accident prevention – Administration of discipline – Employee motivation – Need and measures EMPLOYEE MAINTENANCE AND INTEGRATION Objectives of Employee Maintenance and Integration through Industrial Relations In addition to their primary objective of bringing about good and healthy relations between employers and employees. disordered and maladjusted Social order with a view to reshaping complex social relationships following technological advances. which are an essential factor in the productivity of workers and the industrial progress of a country. It also controls and disciplines both employees and employers. . strikes. and fringe benefits.

for better and more amenities and welfare schemes. a such ancillary organisation as trade unions and employers’ associations. Provision is made for internal communication. and the government – interact within the social and economic environment that prevails at a particular time. be restated in the following way (a) The Workers’ Organizations: These are mainly political in situations – associations of employees formed and maintained for the specific purpose of wresting concessions from employers. or tradition. the variations in their sizes.91 (4) Vesting of a proprietary interest of the workers in the industrial in which they are employed. As a matter of fact. Workers and their Organisation: Here. their power is used to fetter a management’s discretion and pressure it into yielding to their demand for better and higher wages. practice. assistance and regulation of working condition working communities. usage. Managers and their Organisation: Here. qualification skills and attitudes to work. which has strong political and emotional overtimes. that every industrial relations system creates its own complex of rules and regulations which govern the place of work and the working community.” Dunlop has added a new dimension to these inter—relations. in their working conditions. there may be laws and awards of courts. Role of the Government: Here. then. composition extent of specialization they impose. They acquire power. If political objected are likely to contribute to disunity in the trade union movement. Participants/ Variables in Maintenance and Integration The industrial relations system is an organisation of recognized major variables which exert a controlling influence on them. the personal characteristics workers. ii. i. written or sanctioned by customer. Yoder observes: “Industrial relationship is the designation of a whole field of relationships which exist because of the necessary collaboration of men and women in the employment process of an industry. committees or tribunals. It is obvious. iii. there are there major variables (participants) in industrial relations. managers and government” On this basis. status and authority by reason of the support they enjoy of their members. employers. These rules and regulations may take a variety of forms in different systems. defined as the complex of inter-relations among workers. a trade union if often looked upon as a conflict association. the extent of official intervention. it would be necessary to provide better and more effective safeguards and exercise greater restraint in order to avoid such a situation. etc. for improvement. their cultural and educational attainments. the emphasis is on the members of organizations. BSPATIL . These three groups – workers. The characteristics of the participants in industrial relations may. or which may be the result in government policies or intervention. teams. He says “Indus trial societies necessarily create industrial relations. etc. the emphasis is on the role and responsibilities of governmental agencies. the emphasis is on work groups. therefore. for the structure of status and authority. there may be agreements.

industrial life creates and series of social relationships which have an impact only on the relations between employers and employees but also on the industry as a whole and on the community at large. and (3) Development and growth of industrial democracy. an inherent aspect of industrial life. industrial tribunals. In the strictest sense. for better or worse. that is. well-organized. An industry is a social world in miniature. and make use of a direct system of communication for their orders and directives. (c) The Government: This is a very large bureaucratic organisation. This relationship is enforced and maintained through labour courts. The promotion of healthy labour – management relations presupposes (a) The existence of strong. and assist in the workers’ increased participation in decision-making.92 (b) The Employers’ Organisation: These are voluntary bureaucratic institutions which are hierarchical in nature and which place reliance on specialization and division of labor for the attainted of their objectives. and political life of the whole community. investigating and enquiry committees. we are concerned with the first category. price fixation and disposition profits. the concept includes the relationship between employer and employee in the course of the running of an industry. However. supervisory staff. the economic. the phrase industrial relations is generally the narrower sense. which lay down principles. (1) Development of healthy labour – management relations. norms. These organisation help bring about a greater sense of job security among the employees. the relationship which emerges from the day-to-day association of management and labour. Here. As an association various persons – workers. This association often affects and influences. All these are placed on the statue book and have to be observed by workers and employers as well. and may project itself into spheres which may cover the areas of quality control. it refers to. management and employers – it creates an industrial relationship. democratic and responsible trade unions and associations of employers in an industry. and keeps an eye on both groups to keep each in line. marketing. Industrial relations are. It tries to regulate the relationships of employers and employees. (a) Labour-management relations at plant and industry level. employer-employee relationships. rules and regulations. wage boards. (b) Group relations among various groups of workers. In its wider sense. The main purposes of industrial relations are: (1) Development of healthy labour – management relations. They co-ordinate their activities through a system of graded authority. particularly in those decision which affect the terms and BSPATIL . and give awards. (c) Community relations between industry and society. and may be classified under the following categories. therefore. in other words. Aspects of Employee – Employer Integration It should be noted that the concept of industrial relations has a very wide meaning and connotation. (2) Maintenance of industrial peace and avoidance of industrial strife. though it may often be a democratic one as well.

(2) Maintenance of Industrial Peace: Industrial harmony and peace can be established if: (a) A machinery for the prevention and settlement of industrial dispute is provided in the form of legislative enactments and administrative action (for example. national tribunals. (c) The government has the power to maintain the status quo. labour courts. consultation and negotiation on matters of common interest to both industry and labor. (b) Collective bargaining and a willingness to accept voluntary arbitration. the Code of Efficiency and Welfare. ensure that labour has a dignified ‘role to play in society. (d) There is provision for bipartite and tripartite forms of the settlement of disputes which operate on the basis of the Code of Discipline in Industry. courts of enquiry. Grievance Redressal Procedure and the grant of voluntary recognition to trade unions by industrial organizations. and on the basis of Model Standing Orders. the Trade Union Act. plant discipline and satisfactory trade union relations. and Industrial Employment Act). the Code of Conduct. to step up their productivity. after a dispute has been referred to an adjudicator. the Code of Conduct. (c) The welfare work undertaken by the government. They also to create favourable conditions for negotiations. or when it is urgent and in the public interest to so refer disputes for adjudication. and (f) Implementation and Evaluation Committees are created and maintained for the specific purposes of ensuring the implementation of agreements. (b) The government has armed itself with appropriate powers to refer disputes to an adjudicator when the situation gets out of control and the industry is faced with economic collapse because of strikes. conciliation officers and conciliation boards. settlements and awards. to serve as a BSPATIL . and (e) There is provision for bipartite and tripartite forms of the settlement of disputes which operate on the basis of the Code of Discipline in Industry. and exercises it when id discover that. consultations discussions with employers so that these may gave the way to better labour-management relations. Collective bargaining. a strike or lockout continues. and voluntary arbitration. and on the basis of Model Standing Orders. to assist in the administrations of labour laws and agreements. Collective bargaining pre-supposes an equality of a between two contending groups which are in conflict with each and prepares the ground for mutual trust and goodwill which ensure fair discussion. works committees and joint management councils. the trade unions and employers creates and maintains good and labour – management relations and paves the way for industrial peace. and that strike or lockout is likely to adversely affect the economic life of the community or create chaotic conditions in an industry. (iii) Industrial Democracy: An Industrial democracy can be established in a country if (a) There are Joint Management Councils which endeavour to improve the working and living conditions of employees. to encourage suggestions from workers.93 conditions of their employment. the Code of Efficiency and Welfare. and of looking into any violations of statutory provisions of the various labor laws. the Industrial Disputes Act. Grievance Redressal Procedure and the grant of voluntary recognition to trade unions by industrial organizations. are the principal items which determine the quality of industrial relation. industrial tribunals.

particularly if we bear in mind the fact that the environmental grievances of works have a profound influence on industrial relations. the other. industrial relations should be based on an integrated and synthetic approach. to which workers may adjust and adopt themselves while they are at work in an organization. (b) There is a recognition of human rights is an industry – a recognition of the fact that “labour is no longer an article r a commodity of commerce” which can be bought and disposed of at the whims and caprices of an employer. In a dynamic society. the workers are human beings who should be treated as human beings.94 channel of communication between management and workers. between authority and workers. programme trends and needs. or by whatever title he is designated. between the profit motive and social gain. At the same time he provides efficient service in the operation of several centralized services. or that of a social workers in a factory. between discipline and freedom. may be satisfied. so that he may be free from domination. the group and the community. and improvement in management methods and practice and (d) There is suitable material and social environment. improvements in research and in techniques of manufacture. so that he – may develop into a good citizen. which would improve or harm labor-management relations. trade union officials or government officials. and their urge for self – expression. to create in latter of sense of participation in the decision – making process and a sense of belonging to an organisation. cultural and psychological understanding on the one hand and restraining the conflict or struggle complex on. INDUSTRIAL RELATION PROGRAMME Today’s professional industrial relations director. improvements in the production design an process of manufacture. he keeps other executives informed about new discoveries. in the materials and equimen used layoug and methods of work. The philosophy behind industrial relations in a democratic set-up is to ensure the dignity and welfare of the individual. between bargaining and cooperation. for it is this environment which would stimulate or depress them. (b) Policy awareness. regimentation or arbitrary authority. and should aim at the development of a common social. who should allowed to develop and keep their self-respect. It is obvious from the foregoing that the function of industrial relations is to bring about solutions of conflicts between labor and management – conflicts between objectives and values. and BSPATIL . no longer views hi job as personalizing management. which is influenced by three main considerations (a) Individualized thinking. He looks upon his departments as an adjunct to management supervision at all levels. including special studies of technology developments in the industry elsewhere in following capital intensification within the framework of the same technology. or a union buster. through association with the management. A successful industrial relations programme reflects the personnel viewpoint. whether this authority is exercised by a management. The factors contribute to higher productivity are improvement in the effort skills of the workers. (c) There is increased labour productivity. so that understand and appreciate their role in the organisation to they belong. and these solutions should be in the interests of the individual.

while expected group reaction balances what we know of human nature in groups against in individual’s situation in the light of the policy that have been formulated and implemented. wage survey and pay schedules. In all these different circumstances. The functions of the industrial relations staff are: (i) (ii) (iii) (iv) (v) (vi) (vii) (viii) (ix) (x) (xi) (xii) (xiii) (xiv) Administration. health. Recruitment and employment of workers and other staff. supervision and coordination of industrial relations policies and programmes. Employment testing. housing cafeteria programmes and social clubs. Safety services. Performance reports or merit ratings. management and production committees. including group health insurance. including first aid training Group activities. from the top executives and staff to the line and supervisory personnel. Policy awareness underscores the idea of the consistency of treatment and the precedent value of any decision which a management takes. mechanical aptitude tests and achievement tests. including overall direction of job analysis. Medical and health services. The drafting of regulation rules. BSPATIL . Individualized thinking makes it imperative for the administrator to consider the entire situation in which the affected individual is placed. Placement. Training of apprentices. including overall organisation. including induction and assignment. interpretation. The industrial relations director generally has several assistants who help him to perform his functions effectively. including intelligence tests. Suggestion plans and their uses in labour.95 (c) Expected group reaction. Scope of Industrial Integration Work The Staff employed in the industrial relations department should know the limitations within which it has to function. Employee counselling on all types of personnel problems educational. Liaison with outside groups and personnel departments as well as with various cadres of the management staff. foremen and executives. and their construction and Position classification. vocational. salary and wage administration. or behaviour problems. production workers. and he usually reports directly ‘to the president or chairman of the board of directors of an organisation. laws or orders. reality demands that all the three aspects of he personnel viewpoint should be considered at once in terms of the levels of management – from the top to the bottom.

it must necessarily derive its authority from the line organisation. A system of procedures is essential if intention is to be properly translated into action. fiscal research and analysis Benefit. Besides. The procedures and practices of industrial relations department are the “tools of management” which enable a supervisor to keep ahead of his job that the time keeper rate adjuster. from top to bottom (c) Adequate practice should be developed by professionals the field to assist in the implementation of the policies of organisation. require a multi-dimensional approach.96 (xv) (xvi) Employee relations. chemical. EMPLOYEE WELFARE AND SAFETY Employee Safety Employee welfare. therefore. modern industry is characterized by complicated mechanisms. before any emergency arises. Its importance had increased because of large-scale industrialization in which human beings are subject to mechanical. and analyses of labour turnover. The purpose of such policies is to decide. (b) Sound Personnel Polices: These constitute the business philosophy of an organisation and guide it in arriving at its human relations decisions. They look upon prevention of accidents basically as an engineering problem to be tackled through proper designing of mechanical safety devices. (xviii) Employee records for all purposes. retirement and pension programmes An idea of an industrial relations programme in a typical industrial organisation may be had from Chart. and settling grievances. safety and health problems at work have been engaging attention of the psychologists. electrical and radiation hazards. Public relations (xvii) Research in occupational trends and employee attitudes. collective bargaining representatives. sociologists and industrial engineers Psych are concerned with the theoretical considerations of accident causation and the research into accident control. training and education of the employee: and the social and psychological factors that influence the individual’s behaviour in general. In fact. (xix) (xx) Control of operation surveys. Engineers and safety officers usually render necessary practical advise on certain aspects of safety in industry. chairman or vice president of an organisation. what shall be done about the large number of problems which crop up every day during the working of a organisation. through proper selection. Policies can be successful only when they are followed at all the levels of an enterprise. Functional Requirements of a Successful Industrial Relations Programme The basic requirements on which a successful industrial relations programme is based are (a) Top Management Support: Since industrial relations is a functional staff service. BSPATIL . grievance reporter and merit rater. This is ensured by providing that the industrial relations director should report to a top line authority – to the president. accident prevention and safety are inter related and.

mines. unsafe and insufficient lighting arrangements. leading to acute ailments or permanent handicaps. In other words. railways. It must arise in the course of employment in a factory or an industrial establishment. Total disablement. is a disablement. he is entitled to compensation. ports and docks. factors and BSPATIL . An employee may fall from a height while engaged on a particular assignment. An industrial accident may be defined as “an occurrence which Interrupts or interferes with the orderly progress of work in an industrial establishment”. etc. and fast moving production lines.97 intricate job requirements. and injure an employee. He self inflicted injuries or injuries inflicted with the consent person cannot be regarded as accidents. It is always sudden gradual process does not constitute an accident. employ and which would entitle such employee to compensation under Workmen’s Compensation Act. Industrial Accident and Industrial Injury The life of industrial workers is full of risks and hazards. Moreover event or occurrence should be so to which a definite time. An industrial in has been defined as “a personal injury employee which has been caused by an accident or an occupations disease. or he may be caught in a machine while working or he may fall against an machine. and which arises out of. whether temporary or permanent. through accidents. or explosive used carelessly may explode. inadequate ventilation. Causes of Accidents Accidents are usually the result of a combination of factors. while a permanent partial disablement is that which reduces his ability to earn income from an employment which he was capable of under at the time the accident occurred. The injuries may be caused as a result of any unsafe activity. which incapacitates a workman makes it impossible for him to engage in any work which he capable of performing at the time of the accident which resulted that disablement. or in the course of. each one of which may very from situation to situation combination may be of unsafe acts and equipment. Both types of disablement may be temporary or pert A temporary partial disablement reduces the earning capacity of individual in the employment in which he was engaged when he sustained an injury at the time of the accident. or defective plant or shop lay out. Every year lakhs of employees are injured in factories. He is entitled to compensation only to the extent to which his ability to earn is reduced impair. or insufficient space for movement inside the plant or shop. In these circumstances. of people. or act on their part or chance occurrences (like walking past a plate-glass window just as someone hits a ball through it) or as a result of some unsafe work conditions or unsafe acts of employees themselves. data and place can be assigned. or parts of a machine having a horizontal protruding motion may strike against him. Such incapacity may be partial or total. Accidents may result in disablement or death. One of the important consequences of all this is increased dangers to human life. According to the Factories Act of is ‘an occurrence in an industrial establishment causing bodily injury to a person which makes him unfit to resume his duties in the next 48 hours”. Disablement – whether partial or total – way take the from loss of ability to work or to more. it is an unexpected event neither anticipated nor designed to occur. 1923” Nature of Accidents The nature of an accident may vary from industry to industry. on the other hand.

when improper personal protection equipment is installed. 1. They do not usually occur during the early hours of the work day. of one sort or another. mental and emotional imbalances are at the root of several accidents. Thus. ness. when mechanical or construction designs are defective and unsafe. Fatigue often has a psychological origin. and may jhdfkjdf gdsflgkdgdf gdsfgkdjgkdfglkdfdf dkjdfkd kjdjdsd fgjdskgjdgkd dk gdkgj dkgjdkgdkg dg ddsg dg dgdkgdkgdfddsfgj gdskjd ds s social prestige. etc. anxiety. unsafe conditions include (i) (ii) (iii) (iv) (v) (vi) (vii) (viii) (ix) Improperly guarded equipment. and when control devices.98 conditions. Such causes are associated with defective plants. (c) Psychological climate of the work place: also affects the accident rate. and bad location Improper illumination – glare. Defective equipment. buildings. which have been installed to make the operations of machines safe and accident free are lacking or defective. and frustration. unsafe conditions and unsafe acts on the part of employees. boredom. Psychological. overloading. insufficient light. around. These can be termed ‘technical causes’. materials. work in some departments (like personnel) is inherently safer than the work (line production department). They arise when there are improper or inadequate safety guards on machines. lack of self-co-incidence. equipment. monotony. It has been rightly said that an accident does not have a single cause but a multiplicity of causes. 142) BSPATIL . are the biggest cause of accidents. They are more frequent during the night shift. congestion. Similarly. (b) Work schedules: Accidents increase late in the day. tool. The psychological factors associated with accidents are fatigue. Hazardous arrangement or procedure in. According to safety experts there are three basic causes/factors that contribute to accidents in organisation. Unsafe storage. impure air source Poor house-keeping The other work related causes of accidents are: (a) The job itself: Some jobs are inherently more dangerous than others. Emotionally disturbed and mentally pre-occupied persons meet more accidents than a normal person. Unsafe Conditions (work – related causes): These. machines or equipment.(Page No. such as the job of craneman in comparison to that of the foreman. Inadequate safety devices Wrong and faulty lay out. which are often closely related. or when there is an absence of proper maintenance and supervision of these devices. overwork. Chance occurrences. This is due partly to fatigue partly to the fact that night is the when one requires rest. Improper ventilation – insufficient air charge. when machines break-down.

(d) Unsafe Acts: These acts may be the result of the knowledge or skill on the part of the employee, certain bodily and wrong attitudes. These acts include acts like: (i) (ii) (iii) (iv) (v) (vi) (vii) (viii) (ix) (x) (xi) (xii) Operating without authority Failing to secure equipment or warning other employees of possible danger. Failing to use safe attire or personal protective equipment Throwing materials on the floor carelessly. Operating or working at unsafe speeds, either too fast or too low. Making safety devices inoperative by removing, adjusting disconnecting them. Using unsafe equipment, or using equipment unsafely. Using unsafe procedures in loading, placing, mixing, combining. Taking unsafe positions under suspended loads. Lifting improperly. Cleaning, adjusting, oiling, repairing, etc. motive a dangerous equipment. Distracting testing, abusing, starting, quarreling, day dreamining, horseplay.

3. Other Causes : These causes arise out of unsafe situational and climate conditions and variations-such as bad working conditions, rough and slippery floors, excessive glare, heat, humidity, dust and fume-laden atmosphere; very long hours of work; unsatisfactory behaviour of domineering supervisor; excessive noise and carelessness in the handling of such inflammable materials such as gasoline, oil and grease, explosives, etc. Certain broad conclusions can be drawn on the basis of experience and studies undertaken by psychological, such as: (i) (ii) (iii) (iv) (v) (vi) Young, untrained and new workers generally injuries more frequently than older, train experienced employees. Those addicted to alcoholism and drugs, and those suffer from boredom and fatigue or indulge in exhibitionism, generally account for a higher rate of accidents. Unmarried employees generally have more accidents married employees. Accidents are more frequent during the night shift Women employees have a better safety record than – male counterparts. Workers who work under stress, or who feel their jobs are threatened or insecure, seem to have more accidents those who do not.

SAFETY EDUCATION AND TRAINING Employees should be taught the principles of first aid, the need for avoiding machine hazards, for taking precautions to prevent the outbreak a fire, for using hand tools properly and for


protecting his eyes. Safety publicity should be undertaken by displaying posters screening films, and by arranging safety suggestion schemes. Safety Contests: Some companies encourage safety competitions among their departments with a view to bringing a reduction in the number of accidents. Disciplinary Action : to enforce plant rules governing safety, employees are reprimanded, fined, laid off or even discharged are found guilty of any violations. While positive motivation to ensure the observance of safety rules is looked upon as the approach to the problems of safety, a negative motivation, in form of punishment, does have its own proper place in safety programmes. Accident Analysis and Tabulation: The safety director must investigate and report on every accident. He should, moreover periodically summaries all the injuries which have been sustained employees during a particular period of time, and classify the plant-wise, department-wise, and shift-wise. He should classify the causes and kinds of those injuries, and mention whether they were disabling or not. Records are useful because they help to identify the areas in which further action is called for the achieve improvement in safety programmes and compare the records with the past ones. Statutory Provision for Safety in India The Factories Act contains specific provisions for the safety of workers. These are referred to in sections 21 to 40. They are Fencing of Machinery: it is obligatory on the part management to fence machinery with guards of a subs construction, which shall be maintained and kept in position when any part of the machinery is in motion. Work on or Near Machinery in Motion: Any examination, adjustment or lubrication of nay part of an operating machine shall be effected or carried out by a specially trained male worker wearing tight-fitting clothing. This worker, however, shall not handle a belt on a moving pulley. (a) If the belt is more than fifteen centimeters in width; (b) Unless the belt joint is either laced or flushed with the belt; (c) Unless the pulley is normal for the purpose of a drive and not a fly-wheel or a balance wheel; (d) Unless the belt, including the joint and the pulley rim, is in a state of good repair; (e) Unless there is a reasonable clearance between the pulley and any fixed part of a machine or structure; (f) Unless a secure foothold and, where necessary, a secure handhold are provided for the operator; and (g) Unless the ladder to be used for carrying out any examination, adjustment or lubrication of any part of a machine is securely fixed or lashed or is firmly held by another person. No woman or adolescent is allowed to clean, lubricate or adjust any part of a machine which is in motion if it is likely to expose her or him to the risk of injury from nay moving part.


Employment of Adolescents on Dangerous Machines: No adolescent shall be allowed to work on any machine which posses a danger to him unless. (a) He has been fully instructed to beware of the particular danger that is likely to arise from the machine and to observe the necessary precautions; and (b) He has received training on that machine or is under the supervision of a person who has a thorough knowledge of and experience in working on, the machine. Striking Gear or Device for Cutting off Power: in every factory, a suitable striking gear or other efficient mechanical appliance shall be provided and maintained. Driving belts, when not in use, shall not be allowed to rest or ride on a shaft in motion Suitable devices for Cutting off power in an emergency shall be provided and maintained in every work room. When a device, which is likely to be inadvertently shifted from the “off” to the “on” position, is provided in a factory to cut off Power arrangements should be made to lock it in a safe position with a view to preventing any accidental starting of the transmission machinery or any other machines to which the device is fitted. Self-Acting Machines: No transverse part of self-acting machine and no material carried thereon shall be allowed to run on its outward or inward transverse within a distance of 45 centimeters from any fixed structure which is not a part of the machine. Prohibition of Employment of Women and Children Near Cotton-Openers: No woman or child shall be employed in any part of a factory to press cotton when a cotton-opener is at work. But if the feed end of a cotton-opener is in a room which is separated from the delivery-end by a partition extending to the roof or to such height as the factory inspector may specify in writing, women children may be employed in that part of the room in which feed end is situated. Hoists and Lifts: In every factory, hoists and lifts shall be good mechanical construction and of sound material; and they shall be sufficiently strong and properly maintained. Every hoist-way lift-way shall be adequately protected by a proper enclosure fitted with gates. The maximum safe working load shall be clearly indicated on every hoist or lift. A heavier load shall not be allow be carried on that hoist or lift. Lifting Machines, Tackles, Chains and Ropes: In every factory, lifting machines, tackles, chains and ropes shall be of good construction and of sound material. The shall be free from def and strong enough to carry the necessary loads. Revolving Machinery: In every room in which grinding jobs carried on, a notice indicating the maximum working speed of, machine shall be fixed near it. Pressure Plant: In any operation which is carried on pressure which is higher than the atmospheric pressure, effective measures should be taken to ensure that the safe working pressure is not exceeded. Floors, Stairs, and Other Means of Access: All doors, step, stairs, passages and gangways shall be of sound construction a shall be kept and maintained in a state of good repair; and they shall be free of obstructions. No substance, which is likely to cause a person to slip, shall be kept near them. Necessary provision should be made for secure handhold fencing to ensure the safety of persons working at a place from where he is likely to fall from a distance exceeding two meters.


Exit doors shall not be locked or fastened and shall be capable of being easily opened. tank vat. Proper means of escape shall be provided every industrial establishment. shall be securely covered or securely fenced. gas. all practical measures shall be taken to prevent such explosion by a. The removal or prevention of accumulated dust. The exclusion or effective enclosure of all possible sources of ignition. d. Precautions Against the Use of Portable Electric Lights: In any factory: (a) No portable electric light or nay other electric appliance of a voltage exceeding 24 volts shall be permitted for use inside and chamber. which may be a source of danger. flue. pit or opening in the floor. b. b. flue. tank. Precautions Against Dangerous Fumes: No person employed in a factory shall be allowed to enter any chamber. pit. e. shall be distinctly marked in red letters in a language that is understood by workers. and f. pit. tank. An effective enclosure of the plant or machinery used in the process. it shall not be used till it has been suitably repaired or altered. or confined place. through which persons can escape in the event of a fire. no lamp or light other than the one which is flame-proof. and they shall be so constructed as to open outwards.102 Pits and Openings in Floor: In every factory. every fixed tank. fume or vapour of such nature and to such an extent that is likely to explode on ignition. c. gas or fume. so that they can easily make their escape when a fire breaks out. Precautions in Case of Fire: The following precautions shall be taken a. (b) If any inflammable gas. tank. in any factory. fume or dust is likely to be present in such chamber. or flue is provided with a manhole of a large enough size of with similar other means of egress. vat. Excessive Weights: No person shall be employed in an to lift. pit. or confined place. Safety of Building and Machinery: When a building or machinery poses a danger to workers. Every door. flue or such other confined place in which dangerous fumes are likely to be present to such an extent as to constitute a hazare unless such chamber. All the exits should be easily and freely accessible to all the workers in every place in the factory premises. BSPATIL . window or other exit. vat. and c. A the workers shall be trained in the routine to be followed in the event of a fire in the factory premises. carry or move any load which is so heavy as to cause him a possible injury. vat. shall be permitted to be used therein. (c) Explosive or Inflammable Gas or Dust: When. Any manufacturing process produced dust. it would be preferably if a siren is sounded so that workers may recognize the signal as an indication that a fire has broken out somewhere in the factory premises. Proper arrangements shall be made to raise an alarm in the event of a fire. pit.

BSPATIL .” According to the Webster’s Dictionary the word discipline means it is the ‘training that corrects. regulations and procedure which are deemed to be necessary to the attainment of an objective. and willingly recognize that. The Characteristics of Discipline may be noted as below It is determinative and positive willingness which prompts individuals and groups in congruence. According to Ordway Tead: “discipline is the orderly conduct of affairs by the members of an organisation who adhere to its necessary regulations because the desire to co-operate harmoniously in forwarding the end which the group has in view. To give seek direction and responsibility To create an atmosphere of respect for the human personality and human relations and To increase the working efficiency and morale of the employees so that their productivity is stepped up. It is negative approach which encourages individuals to undertake some activities and which restrains then form undertaking others. Discipline – Meaning It observed the rules. To impact an element of certainly despite several differences in informal behaviour patterns and other related changes in an organisation To develop among the employees a spirit of tolerance and a desire to make adjustments. Aim and objective of Discipline To obtain a willing acceptance of the rules. to do this their wishes must be brought into a reasonable unison with requirements of the group in action. the cost of production brought down and the quality of production improved. It is also the exercise of restraint or the enforcement of penalties of the violation of group regulations.103 Administration of Discipline The word discipline connotes that the members of the group should reasonably confirm to the rules and regulations which have been framed for it or by it so that every one may benefit by them. moulds. strengthen or perfects’. it is force or fear of force which restrains an individual or a group form doing things which are to be destructive of the group objectives. It is a punitive or a big stick approach. regulations and procedures of an organization so that organizational goals may be attained.

violate the rights of the individual. The right of every person to develop his higher abilities and to make use of them. The main causes of indiscipline are Non-placement of the right person on the right job. Positive or Self – Impose Discipline is also called as co-operative discipline or determinative discipline. must not. which a person is called upon to accept. To right of every individual to have recognition of his contribution to the common good. and The right to security of service. however. The right of every man to justice and hair play. The right of every man to have a voice in his own affairs. to the solution of common problems.104 Form and Types of Discipline 1. which includes his right to contribute. Undersirable behaviour of senior to the sub-ordinates Favoritism been used at the time of performance appraisal Lack of up-ward communication Weak. 2. Causes of Indiscipline and Misconduct The rules of discipline. incompetent and distrustful leadership Defective supervision Lack or proper drawn rules and regulation The “drive and rule” policy of the management Illiteracy and low intellectual level of workers Workers reaction towards the rigidity and multiplicity of rules Workers personnel problems Bad working conditions BSPATIL . To right to get fair wages for the work he has done. to the best of his ability. flexible. Enforce or Negative Discipline it is also known as Punitive. These rights are: The right of every man to be treated as an individual and respected as a person. Corrective or autocratic discipline.

Basic Ingredients or Guidelines of a disciplinary action: The principles ingredients of a sound disciplinary system are Correct location of responsibility Proper formulation and communication of rules Rules and regulation should be reasonable Equal treatment should be maintained Disciplinary action should be taken in private.105 Inborn tendencies to violate the rules Absence of futures thinking Errors of judgement by the top management Discrimination based on caste. Undesirable management practices Improper coordination. languages. gender. delegation of authority Psychological and sociological reasons Principles for Maintenance of Discipline Yoder. Turnbull and Harold Stone have outlined the principles for maintenance of Discipline are: With the consultation of representative of employees rule should be framed. Rules should be appraised at frequent and regular intervals Rules should very with changes in the working conditions of employees Uniform enforcement of rules will bring the effectiveness Advance intimation regarding the violation of rules must be handled Extreme caution should be exercise to ensure that infringements are not encouraged. Importance of promptness in taking disciplinary action Innocence is presumed Get the facts Action should be taken in cool atmosphere Natural justice should be followed BSPATIL . colour. Heneman.

It most generally does something to reduce the restlessness. a lack. meaning ‘to move’. the organism does something.106 After a disciplinary action has been taken the supervisor should treat his subordinate in a normal manner Don’t Backdown when you are right.. An accurate statement of the disciplinary problem should be prepared 2. According to the Encyclopedia of management: “Motivation refers to degree of readiness of an organism to pursue some designated goal. to alleviate yen. activates. to migrate force. or moves and directs or channels. and implies the determination of the nature and locus of the forces. including the degree of readiness. Selection of tentative penalties to be imposed 4.” Objective of Motivation The purpose of motivation is to create conditions towards the people who are willing to work with – Zeal BSPATIL . Implementing the penalty 6. Collection of data or facts bearing on the case must be organized 3. Follow-up on disciplinary action EMPLOYEE MOTIVATION : Usually one or more of these words are included in the definition: Desires Wants Aims Goals Drives Motives Incentives ‘Motivation’ is a Latine word. Once in the grip of a motive. Negative motion should be handled in a positive manner. Human motives are internalized goals within individuals as Bereson and Steiner: ‘A motive is an inner state that energizes. The choice of the penalty should be decided 5. Procedure for disciplinary action The specific procedures should be followed at the time of disciplinary action are: 1. a force. behaviour toward goals’ According to Standford and Wrightman describe a motive thus: ‘it is a restlessness. to remedy the lack. Motivation defined by Lillies: “It is a stimulation of any emotion or desire operating upon one’s will and prompting or driving it to action”.

Initiative Interest Enthusiasm High personal and group moral satisfaction With the sense of responsibility Loyalty and discipline Pride and confidence In a cohesive manner

With the all above said factors the goals of an organisation are achieved effectively.

Classification of Motives According to Murray, motives been classified into five types: 1. Homeostatic Motives (such as motives for thirst, hunger, rest, sleep); 2. Sexual Motives are powerful motives and their influence upon work behaviour can be very pronounced; 3. Emotional Motives (such as fear, anger, range, hate, terror, anexiety, love, etc.). Individual commit themselves to occupations, jobs, organizations and work groups as a result of their emotional motives; 4. Intrinsically Motivated Behaviour (such as curiosity, cognition); and 5. Social Motives (achievement motivation and affiliation motivation) Types of Motivation 1. Positive or Incentive Motivation: According to Flippo, ‘Positive motivation is a process of attempting to influence other to do your will through the possibility of gain or reward”. According to Peter Drucker, “the real and positive motivators are responsible for placement, high standard of performance, information adequate for self control and the participation of the workers as a responsible citizen in the plant community.

2. Negative for Fear Motivation
3. Extrinsic Motivation like promotion, status, fringe benefits, retirements plans, health insurance schemes, holidays and vacation. 4. Intrinsic Motivation are praise, responsibility, reortanisazation, esteem, power, status, competition and participation are examples of such motivation. Steps in Motivation Jucius has observed and adopted the following steps in motivation:


1. Sizing up situation, requiring tools 2. Preparing a set of motivating tools 3. Selecting and applying an appropriate motivation 4. Following up the results of the application Management Technique Design to Increase Motivation Management generally use financial and non financial motivation techniques to motivate their employees. 1. Financial Motivaiton 2. Non – Financial Motivation like Appraisal, praise and prestige Status and price Compensation Delegation of Authority Participation Job Security Job Rotation Job Enlargement Job Loading Job Enrichment Reinforcement Quality of work life

Guidelines for Motivating Employees and the Managers: Some of the suggestions for the guidance of motivating the people are listed below: Management should treat the people with respect and honesty To achieve to goal sub-ordinate should equipped with the proper instruction and guidelines They should maintain the concrete feed back system Management should avoid the dissatisfies into the job Management should set fair, achievable goals and communicate to the employees The people should know the feed back system


All such techniques like MBO, Job enrichment and morale maintenance, job analysis, must be implemented. The Position in India In the Indian context, it may be said that physiological needs are still dominant in many industries as in developed countries. As for safety needs these take the firm of job security, security against hazards of life and security have been designed to satisfy some of these needs. As for the higher social needs, they are not easy to satisfy. However, close relationships are built with at least some fellow workers. Ego needs are satisfied to a very limited extent; whereas self-realization or self-actualization takes place very seldom. The Changing Nature or Human Needs As Maslow pointed out, “Each need is not completely exclusive of other needs, but the individual’ s concentrations of interests in seen as variable and changing.” As satisfaction in one area is obtained, interest moves to another focus. The effect of the progressive need fulfillment is to suggest that while all individuals are need-oriented and their needs have some common basis, not every individual feels the same needs at a given point of time. Study undertaken by the USA Deptt. Of Labour has brought out certain interesting observations, e.g., “Interesting work” was placed on the top. “Enough information to get the job done was second in importance. In composite figures, more than 50% of the employees were “while collar personnel. Fein has provided an analysis of the data, regarding differences in job expectations of the composite worker, and blue-collar workers than for white-collar employees. On the other hand,” interesting work” and “enough authority” appeared particularly to be of lesser importance to most blue-collar workers than was true of the composite workers.

Hofstede, in an international study of employees in seven occupational levels in 16 countries, has concluded as follows:
The professions exhibited urgent needs for self-actualization and esteem (achievement and reputation). Managers had self-actualization esteem and social needs. Technicians had a mixture of self-actualization, esteem, social security and physiological needs. Clerical workers were most concerned about social needs; and Unskilled workers sought for security and physiological needs.

Hofstede further said that, “It would be a mistake to conclude that ever employee’s needs and expectations are identical to those of other employees. differences appear by occupation, and it should be expected that differences occur within individuals.” On the basis of this study, a hierarchy seems to appear based upon the organizational level of the employee Perhaps certain needs are met as the individual rises up on the hierarchy, and other needs become more urgent.
Need (Tension) achievem ent Search for satisfyin Perceptio n of ways of Attempts to attain goals Frustrati on Goal


when three individuals expect to get a pay raise on a particular day. day-dreaming. which would satisfy certain needs. Frustration refers to the blocking or thwarting of goal attainment. For example. annoyance. frequent changes of jobs. etc. for example. This type of behaviour is known as “Constructive behaviour” On the other hand. For this purpose. excessive complaining. resourceful and problem-solving attitude for he satisfactions of his need. He may either intensify his efforts.” which generally occurs when the drive for need satisfaction is thwarted. jealousy. while C may be patient and continue to work in the hope that he will receive his raise when conditions are normal. ma/-adapted person or a social inadequate. he tries different ways to relieve his tension. Non-rational defensive behaviour is that of which the individual is either not aware or over which he has little or no BSPATIL . French has defined the defence mechanism as “a non-rational attempt to avoid the loss of some satisfier. He is said to posses a mature behaviour and personality. it leads to a release of tensions and the satisfactions of needs when this is not so. they are said to use their defence mechanism. “it is a threatening deprivation. a frustrated behaviour develops in the form of discouragement. It should that when a goal-directed behaviour is successful. and show hostility towards the management. discontentment. and that of drinking by indulging in illicit distillation. or may adopt substituted goals. This term has been used by psychologists because it serves to protect an individual’s feeling self-worth in the face of continue frustration. This type of behaviour is called “defensive behaviour” He may. or he may recognize his perception of the problem. vexation. or he may satisfy his sex desire in illicit relations. According to Maslow. he is known as an adaptive or an adjusted person. irritation. Some are very easily affected by frustration. lying. A may think of leaving the job and take up employment elsewhere.110 Perception of Alternative goal Attempts to attain goals Goal achievements Defensive behaviour Fig. an d if they do not get it because the weak financial position of the company. Men’s tolerance of frustration varies considerably. excessive withdrawal from work. When people adopt non-rational ways of behaviour to face frustration. Consequently. when one is incapable of satisfying. B may grumble. one person may adopt a behaviour which is quite different from that of another. other are less so. want to get rich quickly by gambling or robbery. Unsatisfied Needs Lead to Defensive Behaviour Non-attainment of the goal. wasteful and destructive behaviour. When an individual satisfies his needs in a manner which is acceptable to society and which satisfies his “ego”. bargging. under the same circumstances. he becomes disorganized. He is goal-oriented and generally adopts and flexible. or satisfied them in a manner that is unacceptable to society. Since his needs are not satisfied. he is known as a maladjusted. and adopts unproductive measures to show his frustration. is productive of many serious problems. or fails to satisfy his particular needs.

e. exhibits a direct aggressive responsive. either towards the sources which caused frustration (as for example a bullying supervisor or an unsympathetic management) and this may not only take the form of individual action but also of concerted action by a group or organisation of workers. For example. It may take the shape of demonstrations. in turn. and quarrels with his wife who. (e) In labour-management relations. and employee may adopt go-slow tactics as a protest against a decision of the management. punishes the child. It may normally be external. It occurs when a person attempts to achieve something that he is not capable of achieving it is a positive step.” In other words. in contrast to consciously decided upon courses of action chosen from alternatives. an employee. This behaviour does not represent and effective problem-solving strategy. For example: (a) When a child is frustrated in a game. he may break toys. ways of thinking and behaving in circumstances of frustration. or abuse him and run away. are self-deceptive and serve to protect an individual’s self concept. leads to apathy or anomie. It is reaction in response to frustration involving some kind of attack direct out ward. or cause damage to. or he may undermine his own reputation by indulging in gossip and other malicious behaviour. i. a worker may be dismissed or victimized by his employer for taking part in trade union activity. or he may hit the boss. it is neither flight from the scene of work nor a kind of internal withdrawal which. who “gets mad” at an inspector for rejecting parts manufactured in his department. an employee goes home. even physical to inflict and injury on. the barrier to goal attainment or something closely associated with it. who develops into an agitator on his job because of material problems at home. BSPATIL . “Scapegoating” is blaming a particular person for one’s own problems or sense of insecurity for various reasons.111 control. (3) Fixation. (2) Regression. (c) A foreman. All these are instances of direct aggression Indirect or displaced aggression is directed against a scapegoat which (or which) has no direct relation to the reasons for frustration. which are not effective problem – solving approaches. is said to have displaced his aggressive response from his home to his job. (d) When reprimanded by his boss. (b) An unsatisfied worker may misuse or even damage a machine and become un-co-operative and antagonistic to his fellow-workers. Lawshe and others have classified defence mechanism into four types: (1) Aggression. and (4) Resignation Aggression is one way in which frustration can be shown. On the other hand. These are referred to as defence mechanism. one may find it inadvisable or perhaps impossible to attack directly the real source of one’s discontent and so one picks up some innocent person or object against whom or against which to express one’s frustration. beat his companion. strikes.

Withdrawal can be a symptom of serious psychological disorder. rationalization and projection. Regression is essentially not acting one’s age. and therefore. Frustrated people tend to give up constructive attempts at solving their problems regress to primitive nd childish behaviour. It is. Similar when a manager is annoyed and frustrated by may throw a “transfer tantrum. According to Brown. by cursing and swearing or engaging in violent exercise or horse-play of an aggressive nature. and it often manifests itself in the from of hostility or rage and in a variety of other Ways. or emotional control. may be engaging in a form of emotional insulation. It is interesting to note that in the USA. Compromise involves altering one’s objectives either actually or symbolically. Workers whose jobs provide little in the way of need satisfaction may withdraw in the form of excessive absences. or turnover. He says: “A worker may fear his boss because the boss holds his fate in his hands…The resentful worker may pick up a quarrel with his wife. For example. and it may be the only recourse that people may know. kick the cat. when people lose hope of achieving their goals in a particular situation and. home-sickness. It consists of sublimation. and tries to protect himself on an unrealistic self-concept. latenesses. viz. It consists of sublimation. and the type of bhaviour exemplified by the manager who continues to increase penalties. pouting. It involves the individuals in withdrawing from the kind of problem-solving effort of which he is capable. withdraw from reality and the source of frustration – leaving the entire matter in the hands of fate.. Compromise involves altering one’s objectives either actually or symbolically. regression and emotional insulation. the blind and stubborn refusal to accept new facts when experience as shown the old ones to be untenable. therefore. a person who cannot start his care proceeds to kick it is demonstrating regressive behaviour. Brown ways. The person avoids the situations which prove frustrating.” It occurs after prolonged frustration. beat the children or. therefore. the activity does not reduce tension. The withdrawal may be physical (leaving the scene). Emotional insulation occurs when one does not expose on self emotionally. Fixation is an attempt to gratify a need in a manner which has been proved fruitless. but more likely it is internalized and manifested in apathy. “Fixation can freeze old and habitual responses and prevent the use of new and more effectual ones” it is activity of persisting in the old way of doing things even when unsuccessful. the common symptoms of fixation in an industry are “the inability to accept change. The symptoms regressive behaviour are crying. who is always very correct in his dealings with others in the company but never extends himself personally and never extends in informal contacts or activities. For example. Resignation or apathy may be defined as the “state of giving up or withdrawing from one’s involvement in a particular environmental station. more constructively. a few companies have in stalled a dummy resembling the boss in a special where a frustrated Worker may go and punch away at it in order to release his pent up feelings.” Aggressive behaviour is wasteful and destructive. Withdrawal may be of two types. work off his feelings by chopping wood. rationalization and projection. essential that a person must be helped to attain his goal and satisfy his needs in some way or the other. the manager.112 Brown gives some good examples of displaced aggression. horse-play. BSPATIL .

but not necessarily true. chronically unhappy and often fatalistic. he may claim that are unrealistic and therefore unimportant. Social service activities by women may substitute for motherhood. Sabotage. Thus. remodeled office elsewhere on the ground that he needs “to be close to the boss for quick communication. Obsessive thinking refers to a condition in which a person enlarges. one protects one’s “ego” by giving related but irrelevant reasons or excuses to “explain away” the failure or below-par performance. taking care of children is something that is a socially desirable compromise activity. generally one which is on a higher ethical plane and socially more acceptable. a particular situation which causes frustration or anxiety. indulging in rationalization. behaviour. The sour-grape rationalization describes the tendency which impels one to conclude that h the failure in achieving the goal did not matter at all because the goal was really not worthwhile. Projection involves ascribing one’s behaviour to another individual. his obsession with them may be carried to an extreme.113 In Sublimation. In other hand. an unfaithful husband accuses his wife of infidelity or an irritable person accuses another of being irritable. monotonous job requiring little in active thinking may continually mull Over personal or company problems. For example. consciously or unconsciously. specific problems or situations which he has experienced. he may say that he would not have more time for its completion. or running away from. In rationalization. as when employees. a person who attempts to justify a behaviour which. a department head may not move to a larger. is undesirable is. when a manager fails to get some scheduled job completed. he chances of obsessive thinking might be lessened.” Although the real reason may be his fear of losing status and influence”. who feel that their abilities are inferior to those of their coworkers. a substitute goal is adopted. Some of the other types of defence mechanisms are: Attention-getting: This device is generally used when one wants to agin the recognition. out of all realistic proportions. he may blame the foreman for not supplying the raw materials in time. appreciation or attention of one’s boss or group by putting a number of insignificant questions or by referring to minor problems. In this way. For example. For example. or when a jobs is not completed by an employee. If a job is redesigned. he tries to satisfy his attention need. Compensation is a situation in which an individual with feelings of inadequacy either real or imagined – exerts himself with extra effort in an attempt to overcome his insecure feelings. when a manager fails to achieve quality objectives. even though strenuous efforts have been made for their satisfaction. explanations for specific. may work particularly hard in certain jobs in order to prove that they can do as well. Rationalization may take two forms: the “sour-grape” and “sweet-lemon” forms. BSPATIL . Fight involves an actual leaving. Though the problems are nto especially grave. stealing or striking are other mechanisms which may be employed when some needs have not been satisfied. For example. an individual employed in a dull. even undesirable. or if a person is allowed to talk it over with other employees. One becomes apathetic. It may be positive. Depression is the situation which develops when one has exhausted all one’s energies to gain need satisfaction. he feels. For example. Rationalization refers to an attempt to give plausible (rational). the sweet-lemon rationalization represents an attempt at identifyi9ng something good about a situation in which the failure occurs.

mucous colitis. It is an almost automatic response whereby one loses awareness of certain incidents that would arousne anxiety in him if they were present in his consciousness. which is his excuse for the non of ill task. Thus an unpleasant situation with the superior may quickly “forgotten” by a subordinate. pushy. Physical reactions to stress and conflict may develop psychosomatic reactions. overcritical and sometimes power-hungry because of their feelings of inadequacy.114 A superior who has a disagreeable personality may overcompensate in any kind of attempts to practice good “human relations” with subordinated. asthma. For example. Compensation is negative. Conversion symbolizes a psychological process where by emotion frustrations are expressed in bodily symptoms of pain or malfunctions. he may develop a headache. pay fever. as when persons become aggressive. when an employee is unable to finish a scheduled task entrusted to him because to some. He may develop some fear. The tensions that come anger or resentment can be internalized as a duodenal ulcer or hypertension. Repression is a mechanism that happens without one’s willing it. migraine BSPATIL . guests who are expected at home.

on grievances and on the disciplinary action taken against employees. PERSONNEL RECORDS AND REPORTS Significance of Records and Reports A record is a piece of writing or a chart which provides ready information and which preserves evidence for future reference or use. or on wage rates occurring or prevailing in an organisation. promotions. and they are meant for long-term use. In the absence of reliable records and reports. discharge dismissals. on the results of physical examinations. scrap loss. The are needed:” (i) To supply the information required by government agencies on the rate of accidents. for they enable it to get information with a view to taking timely decisions on issues pertaining to the different aspects or personnel management. etc. selection. pensions. (iii) To enable personnel manager to prepare training and development programmes. (ii) To conduct research in the field of industrial relations. employee benefits-and-services programmes. provident fund contributions. man days lost. dismissals. the rate and extent of absenteeism and labor turnover. it would be paralyzed. information on job analysis. lay-offs. Records By the term records is meant the preservation of information in files and documents. strikes or lockouts. The importance of records and reports for the management of an organisation cannot be over – emphasized. on large-scale absenteesims or turnover. Essential of a Good Record To be reliable and effective a record should be clear about the following : BSPATIL .115 UNIT – VI Personnel Records/Reports – Personnel research and personnel audit – Objectives – Scope and importance. and/or recruitment. and (v) To keep and maintain up-to-date data on leave. They are generally prepared and compiled from reports. (iv) To review and revise pay scale. on transfers. salaries. in fact. test scores. safety and a prevention measures and procedures. transfers. expenditure incurred on employees benefits and services cases of indiscipline. for the employer and the employee. on the interviewers’ notations. on wages. for it would not know where the organization’s weakness lies and what precautions to take to set matters right. They contain. We give below a specimen on an employee record maintained by a well-known organisation in India. suggestion schemes and a host of other activities in which an organisation is involved. on employee training and development and periodical appraisals. labour disputes cost of the recruitment of employees and of training methods. evaluation and description. the management would not be able to function. promotions.

a happening. a report should satisfy some conditions. REPORTS A report is an account or statement describing in detail an event. Its upkeep and maintenance should not be costly. both in qualitative and quantitative terms. transfers. promotions. accidents. It should be clearly worded and easily comprehensible BSPATIL . It outlines and describes what has happened frequently. so that proper action may be taken on it. who puts it up to one of the top executives.116 The objectives for which it is maintained should be clearly and adequately stated. To be useful. It should make specific recommendations It should be timely. These are: It should deal with a specific objectives It should dwell on the issues referred to the person making it The person who makes the report should collect the data and interpret it honestly A report should contain data on all the aspects of personnel management. It also contains the observations and comments of the person who is called upon to make a report on items of special significance in manpower management. detailing the procedure to be followed for maintaining and dealing with records. benefits and services. or evaluating and enterprise or a product that is proposed to be manufactured. Some particular person should be entrusted with the re of maintaining records A procedural manual should be maintained. lay off. recruitment. It should be kept under lock an key to ensure that it is not mislaid or pilfered. etc. or tampered with. It should be maintained in such a manner that the information it contains is easily accessible. It should be easily identified and differentiated from another record. a situation. It should be consistent with the requirements for which it is maintained and should be easily available. It should be periodically reviewed and brought up to date. Essentials of Good Report The submission of a report on a particular issue is the responsibility of the person appointed for the purpose. month or year and includes many statistical series containing data on employment. The records of different kinds of information should be kept and maintained in separate files and dockets for ready reference. It may also be sent by an immediate supervisor to his depart mental head. It is generally written or submitted periodically-every week. Duplication of entries in different records should be avoided.

from recruitment to retirement. is dependent upon available information. “The performance of people is a complex product of personnel interest. leader ship. supervisions. and 4. are inter-related to compose the total system. to get answers to such questions as: “Why did it happen?” and “What happened?” 3. commitment and expectations on the one hand. personnel audit or periodical reviews of the effectiveness of a management o Personnel Records/Reports are concerned with: (a) The measurement of the effectiveness of personnel programmes and activities. procedures and practices to determine the effectiveness of personnel management. an examination and verification of accounts and records.” Importance of Personnel Audit In modern times. and (b) The determination of what should or should not be done in the future as a result of such measurement. personnel and industrial relations audits have been widely accepted as tools with which managers can control the programmes and practices of the personnel and industrials relations departments. working condition. and its scope is as wide as the field of personnel management.” Objectives of Personnel Audit The objectives of a personnel audit are: 1. opportunity and challenge) on the other. 2. The effectiveness of a personnel programme. To evaluate the personnel staff and employees. like that of personnel research. In other words.117 It may include illustrative points to strengthen the observations made in it. It should be reader oriented. PERSONNEL AUDIT An audit is. The importance of a personnel audit has increased in recent years because of the following reasons. no part of that system can be ignored. properly speaking. “the primary purpose of personnel audit is to know how the various units are functioning and how they have been able to meet the policies and guidelines which were agreed upon. for the end-product of an evaluation should be to formulate plans for corrections or adjustments. To review the whole system of management programmes in which a management develops. that is. qualifications. and to assist the rest of the organisation by identifying the gap between objectives and results. To evaluate the extent to which line managers have implemented the policies which have already been initiated. According to Gray. and of the employment environment (including working assignments. allocates and supervises human resources in an organisation with a view to determining the effectiveness of these programmes. To seek explanation and information. BSPATIL . Personnel auditing refers to an examination and evaluation of policies. Because manager-employee relationships.

some of these are: The Number of Employees: Very small units. Status of an industrial Relations Manager: If he participates in top management plans. which intervenes more often and more extensively now. and the increasing expenditure incurred on the industrial relations department – these are the factors which have influenced and encouraged the trend in favour of a personnel audit. In the words of the National Industries Conference Board of the United States. hiring. the need for personnel audit is largely influenced by several conditions. “the top management is interested in auditing all the programmes relating to employees. it examines the concept of “people management” by supervisor at all levels. to control manpower management by an organisation with a view to protecting the interests of the employees. it assumes that the management of human resources involves much more than the practice of recruiting. Communication and Feedback: An effective two-way communications system often reduces the need for a formal audit. as a result of which a management now feels that the employees’ participation in the activities of an organizations. Location and Dispersion: The need for a formal audit is directly related. changes in the skills of technical and professional workers. or the channels through which they are administered. discussions and decisions. require comparatively little in the way of a formal audit. The changing role of the government. as a result of which they often question managerial competence in industrial relations. has a tremendous influence on the working of that organisation. the need for a formal audit may be less frequently felt. to the number of isolated plants. It represents a “whole man” approach. The increasing role played by trade unions and their strength. Organizational Structure: Continuing feedback is facilitated if an organisation has a personnel department.118 A change in managerial philosophy and theory. and their identification with it. regard less of where they originate. the greater the value of a regular and formal audit. that is. providing them with better working conditions and ensuring their economic security. reports. because of the very small number of persons they employ. Scope of Personnel Audit The scope of a personnel audit is very wide.” The field of personnel audit includes: BSPATIL . retaining and firing employees. Administrative Style – the greater the delegation of authority and decentralization of power. Need for Personnel Audit According to Yoder. The rising wages.

Recruitment.119 Job analysis. Management development. Industrial Relations and research Records to be Used The main records and statistics used in a personnel audit are: (a) Time standards (b) Cost records (c) Test scores. Training. Testing. Labour relations. Morale development. Promotions and transfers. BSPATIL . (d) Training scores (e) Interview records. Employee benefit and services. Employee communication Employee counseling Wage and salary administration Collective Bargaining Personal Management. Rating. Selection.

Comparisons between departments and other companies. internal data indicators – wage and salary surveys. a report is presented. which are: “average in the levels of employee turnover or absenteeism. and (l) Payroll data. covering statistical information on the activities performed.” Methods of Analysis The methods for analysis data and information are: Comparison of various time periods.120 (f) Work stoppages. By a perusal of this report a great deal of useful information can be had about personnel activities. job analysis and descriptions. grievances. (i) Grievance reports. In other words. (h) Accident reports. the costs and expenditure involved. Ratio analysis. both quantitative and qualitative yardsticks should be used for purposes of evaluation. products and departments. (j) Turnover reports. the results achieved. (g) Medical reports. generally in accordance with the needs of each organisatoin. cost figures for each major activity or function. attitude or morale surveys on particular subjects or topics may be conducted. this personnel audit is conducted periodically. Frequency and Types of Audit It is a common practice to have an annual evaluation or audit. accident frequencies. At the end of each calendar or fiscal year. BSPATIL . productivity indications for certain jobs and/or machines. labour cost per unit of output. For example. suggestions. In some organizations. a d comparisons of objectives and accomplishments. Trend lines. and evaluation data regarding instruments. frequency distributions and statistical correlations. or special reports may be prepared on such issues as grievances. Monappa and Saiyadain provide a number of yardsticks and indices. Graphical is pictorial displays. for example. the working or seniority rules of the effects of overtime practices and collective bargaining agreements. employees’ state insurance scheme stabilities. (k) Unit labor costs. however. Classification of data by kinds of employees. staffing and manning tables.

The following items should be contained in the report: 1. Summary and conclusion. and (c) He is objective in that he personally will not become a party to recommended changes. after the audit work is over. He can diagnose ills and recommended treatment. It should avoid the journalistic style. It should be signed by all members making the audit. He can recommended. 7. Summary: this is more complete than summary and conclusions at the beginning of the Report. in which the entire report is summarized for the top executives. make use of graphic techniques where appropriate. Appendix. Other data should be included in the appendix. The advantages of having an outside auditor are that: (a) He has a background of knowledge of what other are doing in similar situations. In other cases. (ii) He must receive top management’s support. 2. This includes supporting data that would be too voluminous to appear in the body of the Report. within a reasonable time. in which a major dividsion is covered as a special section. the services of outside experts are engaged.121 Two practices are generally followed while conducting a personnel audit. be presented in a factual manner that is readily available for future reference. the audit is conducted by those employed in the organisatoin itself-generally by auditors or accounts. 5. and not be any longer than is necessary. be based solely on the findings. PERSONNEL RESEARCH BSPATIL . Each section should be complete. In some cases. What appointing an outside auditor certain conditions should be kept in mind regarding his work. Preface giving a brief statement of the objectives 4. The Audit Report The report should invariably be submitted. but the patient must provide the will to get well. The former is known as internal audit. 3. and should contain as many supporting data as are practical without making it too voluminous. Table of Contents. (b) He has a professional attitude toward his work. 6. Certain aspects of an audit report may be made available to the employees/Other phases of the audit may be appropriate to give only to top management. The report proper. (i) He cannot work miracles. while the latter is designated external audit. but the acceptance of his recommendations rests with management. (iii) He cannot and should not relieve management of its responsibility for making the decisions.

processes and practices. and the investigation is conducted in terms of that design. It is parsimonious. moreover. Applied or operational research. it identifies methods and techniques for the solution of problems with the minimum cost. It is objectives. includes what is widely described as Research & Development (or R & D). stresses the need for a clear and practical explanation of a phenomenon. (c) It supplements knowledge and extends the frontiers of under stnding. It is basic or pure when it is designed to bring about an understanding of a phenomenon for its own sake – for the sake of understanding alone. “searching investigations. so that it can be made use of in ht every-day affairs of life. it is the task of searching for. assumptions or hunches.” Personnel research. Its other characteristic are: (a) It is a planned and designed investigation and analysis (b) It is conducted in a systematic manner to check. ‘Research’ is different from ‘causal observation’ in that is uses systematic investigation and objectives analysis instead of nay causal or informal means. according to Jucius. An analysis of data provides the basis for generalizations and conclusions. “research is a shortcut to knowledge and understanding which can replace the slower. that is.” he points out. which involves efforts to prove or improve the usefulness and applicability or new products. It is systematic. The essential characteristic of research is its method or point of view. it recognizes and limits bias and prejudice in every step of the process. that is. that is. Applied research.” In other words. it can be used independently by several researches at the same time. that is. research has been classified as basic or pure and applied. BSPATIL . It is reputable. facts to the end that personnel problems may be solved or principles and laws governing their solution derived. and analyzing. it seeks to answer specific questions and is not merely and accumulation of unstructured observations. on the other hand. more precarious road of trial and error in experience. re-assessments and revaluations. “It implies. it begins with a comprehensive design or plan. Such research is most likely to emphasis complex relationships and analysis. Type of Research On the basis of the emphasis laid on any analysis of information and data. It is a purposive and systematic investigation designed to test carefully considered hypotheses or thoughtfully framed questions.122 Meaning and Characteristics According to Yoder. re-examinations. research is purposive: that is. verify or disprove clues.

or which sometimes are discovered after decades. absenteeism. descriptive or analytical. it is useful for everyone who is concerned with personnel problems – labour. the general public. The scope of such research may very from the very simply to the very complex. To evaluate the effects and results of current policies. attitudes and leadership. Coverage of Personnel Research Area Research in manpower and human resources covers all those specific areas which are the subject matter of personnel administrations. it reports on what was or is rather than on why. training and development. or form the short and inexpensive to the long and costly. and measurement devices. Research is immensely valuable in developing more effective personnel practices. or against which. To appraise proposed policies. be they large or small.123 Analytical research is needed to provide the theoretical framework and background on which. for example. research is related to the following aspects of personnel management. management. are so vital to the effective operation of an enterprise that they are conducted almost as a mater of course. programmes and practices. To discover ways and means of strengthening the abilities and attitudes of at a good or a high level and on a continuing basis. The concept of research can be applied to all organizational studies. To keep the management abreast of its competitors by replacing old products by new products. human or non-human. government agencies and consumers. The personnel researcher seeks to discover the basic relationships which may lead to improved personnel decision-making in such areas as turnover. Research. To provide an objective basis for a revision of current policies. events and behavioral patterns. It is obvious then that the need for personnel research stems fro the requirements of finding the most efficient manner of handling people – related employment concerns Personnel research is the means of bringing about the end stage of improved performances its fundamental purpose is to improve the philosophy and practice of personnel administration and manpower management. programmes and activities. moreover. total knowledge and operational practices can be based or judged. More specifically. major or minor. compensation levels and BSPATIL . human relations and labour management relations: To measure and evaluate present conditions. Such research is basically descriptive. dimension and scope. old techniques by new techniques and old organizational practices by new organizational practices. Most studies reveal that the four most dominant areas of research are selection. To predict future conditions.” In fact. Objectives of Personnel Research Research is a multipurpose tool which is used to help solve a variety of organizational problems. Surveys and analysis of the statistics of a company’s in functioning. provides the most efficient relationships which otherwise might never have been observed or verified. that is. broad or narrow in perspective. programmes and practices.

2. Survey research. utilizing an extended time span of longitudinal dimension” (2) Case Studies: These consist of analytically investigating the relationships which are significant in a particular situation or set of circumstances. 3. turnover. a careful analysis and thoughtful generalization may be derived from it. training and development.124 structure. are: 1. Historical studies. and survey questions are designed to collect data. opinion measurements. Managerial selection and development and general employee motivation have generally been identified as the two main human resources areas which are in the greatest need of additional research. Of the various alternatives available. possible causes and related efforts is BSPATIL . 6. managerial obsolescence. motivation. Usually the techniques/methods or tools. (3) Survey Research: In a survey research. Certain research hypotheses are established. Simulation. attention is concentrated on the collection of original data by administering a questionnaire or conducting a structured interview. Methods and Tool of Personnel Research Various methods and tools may be used in the conduct of personnel research. and 7. employee morale. The correlation among observed phenomena. in-depth investigation of key incidents or situations. and interviews are conducted with former employees. The essential feature of this method is “its systematic investigation. The main merit of this method is that it enables the researcher to make a thorough. job satisfaction. Field or action research. appraisal. effort and cost. Mathematical models. The general practice is to choose the technique which promises to yield quality with the least difficulty. which endows it with a broader significance and application. organizational effectiveness. a choice has to be made of research designs. grievance handling. assessment of managerial potential. 4. wage structure. Although the precise meaning of the findings of a case study is limited to its unique past situation. labour relations and collective bargaining. (1) Historical studies: Past records and documents are systematically investigated. Personnel research areas are often identified in terms of high or low appearance: selection. accident rates. Case studies. counselling and retirement. Individual case studies may lead to the formulation of general hypotheses which would be useful in laying a foundation for additional or more intensive future research. Almost all big organizations maintain records of the various personnel problems – absenteeism. while its demerits is that it is historical in nature and does not necessarily represent general conditions. training effectiveness. Statistical studies 5. etc. which are available for research.

and of collective bargaining. (d) Personnel departments of commercial and industrial under takings. purchasing. trends. Their use is becoming increasingly widespread because of the development of high-speed modern electronic data-processing equipment. They help us to develop and test the designs and sequences of equations which tentatively describe the behaviour of interacting variables in terms of mathematical notations. This method is time-consuming and costly. and (e) Time departments. and these are gained from an active interaction which would not have been possible under passive observation. either independently or in conjunction with personnel departments. mathematical manipulation. means. classification and interpretation of mathematical data and quantitative information. They lay emphasis on the importance of quantification. (b) Government agencies – departments of labour and employment (c) Private consultants. regressions and correlations. measures of dispersion. individuals or sophisticated research organizations. and conclusions are drawn. It involves difficult design problems. (6) Simulation: Computers have popularized design which involve simulation. of marketing. The personnel researchers. bureaus of business research. They may use averages. social research institutions or centres. Research Procedure A researcher has to follow a certain research procedure: Defining the problem Designing the Objectives Collection of Data’s Formulation of Data’s BSPATIL . are (a) Academic bodies – universities. hiring and training of personnel. It is used to study problems of production and inventory control. medians. modes. These mathematical models also help us to examine comparatively simple and extremely complex relation – ships and evolve decision-rules of wide applicability. (7) Field or Action Research: This method has been most effectively used in understanding group behaviour in communities and working – organizations. for-the observer himself becomes a variable in the process of observation. who utilize these methods or tools. (4) Statistical Studies: These studies deal with the collection. and has been criticized on the ground that its application may emphasize the importance of the collection of data and not the importance of analyzing these data and formulating a theory on their basis. The process begins with the statement of a hypothesis.125 then computed. analysis. and statistical inference. This self-involvement on the researcher gives him new insights. (5) Mathematical Models: Mathematical models are generally used in research to explain the relationships among the variables that are to be examined.

major interest in the field of personnel and labour relations. finding and experiences are generally reported in a number of publications brought out by an organisatoin. (b) Those having a specialized focus on one or more of these. educational institutions. We close this discussion with an observation of Jucius. and in a number of other journals. and (c) Journals covering wider interests. but should be properly made use of. which include reports on research in the manpower management area. private research groups. plans. research calls for a cosmopolitan attitude and inter-disciplinary cooperation. and specialists in business administration. mathematicians. conference proceedings and monographs. political science and other areas should also be laid under contribution in so far as research is concerned. The assistance that can be rendered by trade unions and other organisatoins – for example. The specialists who try to build a fence around all aspects of research do themselves and industry a serious disfavor. The initial responsibility is that of the personnel department which.126 Classifies. technical or business magazines they are also covered in seminar reports. analyses and interprets the information Draws conclusion Sources of Personnel Research Information The result of research projects. Yoder classifies these into three categories: (a) Those professing a. Psychologists. Responsibility for Research Research is not the sole responsibility of any one particular group or departments in an organisation. should be assisted by line super visors and executives at all level of management. economists.” BSPATIL . sociologists. and governmental agencies – should not be ignored. Rather. however. He says: “The field of research requires the resources of several types of researches and different kinds of tools. To seek answers through the methodology and principles of a single specialty is to build upon a weak foundation.

This part of cross-channel sniping reflects how completely relations between British and French unions have broken down.Explain the employees welfare and safety provision in according to the industrial practice. 15 is compulsory 9. 14. 8. 4. Accident prevention methods and practice – Discuss PART – B (4 x 15 = 60) Answer any Four questions Question No. 6. as the acrimonious dispute over the transfer of work from However’ plant in eastern France to Scotland rumbles on.000 jobs. southern England. 5. NRM improves the Life cycle of employees – comment. The propaganda material of Britain’s inward invested agencies certainly stresses the relative freedom of Britain’s ‘hire and fire’ workplace culture and the relatively low labor costs. But some British trade unionists are now recalling it. and the subsequent devaluation of sterling. Job specification 11. 10. But it also illustrates the difficulty facing unions in dealing with the ebb and flow of jobs across the European Community as a wage of recession induced restructuring begins. 12. 2. Explain the wages and salary administrations methods and policies practices in India. with the loss of more than 3. and list out the objectives of HRM Discuss the characteristics and the process of HRP.Training and development is a unavoidable expenses in the organisation Agree(or) Disagree.Analysis the following case and answer the questions CASE THOMSON Consumer Electronics. BSPATIL .Brief about the role and importance of a.3: HUMAN RESOURCE MANAGEMENT Time : 3 Hours 1. the state – owned French group. 13. Maximum Marks: 100 PART – A ( 5 x 8 = 40) Answer any Five questions Define HRM.Brief discuss about the wage and salary administration practices in India. 7. The event scarcely merited a mention at the time on either side of the channel.How to Personnel Research and Personnel Audit helps the Personnel Manager to improve the organizational effectiveness? 15. many continental European works and politicians fear that capital will be sucked in the “Hong Kong of Europe” at their expense. 3. Explain Job analysis and Job Description and highlight the importance of these elements in HRM Detail about the selection process in Recruitment? Detail about the need and importance of Training and development in organisation. Following the British out-put from the Maastricht Social chapter. last year rationalized its European operations by closing its Ferguson television plant in Gosport.127 MODEL QUESTION PAPER PAPER 2. Define Job Evaluation? Brief about the necessity of job evaluation systems. Job design b.

000 in Spain. where one country loses jobs and another gains them. that differential cost of redundancy is likely to be a factor. It is based on long-established factors which Hoover. Britain has always been the most population destination for new international investment within the EC and that has not changed markedly in recent years. Britain has always had a relatively unregulated labour market which used to be qualified by strong trade unions. If. Mr. are more complex. things. Spain an Germany agreement on a redundancy package has to be reached with workplace representative before closure is allowed. Britain also loses out form its relatively low skill base and poor educational standards. That is partly because the UK pays for health care though general taxation while employees have to bear a large part of health care costs in several continental countries. Analyse the Hoover decisions form a competitive labour market perspective and a radical perspective. On “beggar-my-neighbor” industrial restructuring within the EC.128 But the reality is that neither the opt-out nor the devaluation were factors in Hoover’s decision to shift jobs to Scotland. To what extent is the Hoover decision a vindication of British government policies to deregulate the labour market? BSPATIL . These are usually about 15 percent of wage costs compared with more than 50 percent in many other EC countries. was factor in the company’s decision. 1. new international investment has not been the source of such tension. a particularly foot-loose US investor in Europe. Until German care workers started to worry about the Japanese care industry investing in Britain. compared with 45 percent in France. president of Hoover Europe. dragging down labour standards elsewhere. has scarcely materialized in the EC because low wages are usually canceled out by low productivity.000 compared with £ 47. said yesterday that non-wage labour cost of only 10 percent in Scotland. now considerably weakened. and is unlikely to be much of an issue over coming years as that new investment will not be plentiful. as seemed possible yesterday. Hoover’s decision is unlikely to herald any significant increase in Britain’s comparative advantage. William Foust. British Leyland Daf decides to keep open its Belgain and Dutch plants and close only its British plant. But the decision was also influenced by fact that the Soottish plant had spare capacity. British wages are also low by EC standards. Britain has often lost out in such restructuring precisely because it is easier and cheaper to close plants in Britain than in most EC countries. In the Thomson case at Gosport the average redundancy payment was £ 7. 2. for example. This clearly was just one factor in Hoover’s decision but it is not something that the social chapter directly affects. has often found attractive in the past. one reason behind Ford’s decision to switch more of its R & D work to Germany. In Holland. but the real advantages enjoyed by the UK is low non-wage labor costs. The “social dumpling” theory that capital will flow to areas where labour is cheapest and least protected. But as the Thomson Electronics case illustrates.

What do you consider to be the implications of the Hoover case for the practice of HRM? ************ BSPATIL .129 3.

Sign up to vote on this title
UsefulNot useful