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MADHAVAN) Definition: Brech: “HRM is that part of management which is primarily concerned with the human constituents of an organization”. Flippo: “HRM is concerned with the procurement, development, compensation, integration and maintenance of Human Resources in an organization towards accomplishment of organization goals. Therefore, HRM is the planning, organizing, directing and controlling of the performance of those operative functions”. Definition of National Institute of P.M (NIHRM): “is that part of management which is primarily concerned with human relationships in an organization”. Some basic concepts: (Scope).
HRM involves managing people at all levels in organizations Both as individuals and groups Both formal and informal relationships Developing people Not only controlling them Certainly not manipulating them Handling human beings is perhaps the most difficult job – calling for special training. Handling people is continuous in nature. What the organization has done to the people yesterday will affect the performance and relationships today and tomorrow. HRM aims at obtaining willing co-operation of the people. Subject is bound by many conventions, codes and ethics Very strictly bound by laws. The subject calls for intellectual approach and emotional approach.
Importance of HRM -- Some general points • • • It is admitted universally that the human factor is the most vital and complex to handle. Therefore, proper study of the subject is necessary. People are rational and reasonable – but not always. Only a professionally qualified person will be able to tackle both the situations. Understanding people is a rare science and art. Therefore an organized study is a must.
Qualities of a Human Resources Manager
• • • •
People are individually different in their abilities, ambitions, background, etc. People behave differently as individuals and as groups. The human element has negative potential also – means if they are not treated well they can damage the organization. On the other hand if they are treated well they can give performance which is far more than proportionate to the inputs given to them. This concept is known as “Output more than proportionate to the input”. Only human beings are capable of this.
Importance of HRM to the organization There has to be a specialized department to deal with human functions. Otherwise the remaining departments will pull the human functions in different directions
Only a full scale Human Resources department can make proper policies and implement them also Bridge between management and workers Spokesman of the organization to the outside world The liaison function with all agencies like district administration, public, judicial authorities, police, etc. – particularly with the government. Handling people who carry sensitive information is a very specialized job. Otherwise the organization would suffer.
Qualities of a Human Resources Manager • • • • • • • • • • • • Basic Intelligence All the qualities of a regular manager (plan, coordinate, control, delegate) Sound professional knowledge on operative functions and practical skills to implement them Basic desire and happiness to deal with people Basic honesty of purpose Good interpersonal skills – ability to build bridges, co-ordinate and liaise. Ability to handle sensitive information and emotions Analytical and yet sympathetic Empathy (ability to understand others’ points of view) Pleasing manners and approachable personality Problem solving attitude He should be fair and appear to be fair.
Obstacles or Impediments for Human Resources Management
• • •
Generally there is a belief amongst many technical executives that Human Resources management is a common sense subject and any body can handle that. If the recognition for the specialized skills and attitudes of HRM is low, then the effectiveness of Human Resources management comes down. Feudal approach of some organizations – not professional approach Too much of regulations from government and too many laws Problems of the unions Multi unions and rival unions within the same organization External leadership for unions Political affiliations of unions Absence of a national level regulatory body for Human Resources managers. NIHRM is only an affiliatory body. Many organizations do not strictly follow the qualification and experience requirements while recruiting HRM. The work force is heterogeneous – divided by regions, language, etc. Emotional type of reactions Non-develoHRMent of “one industry – one union” culture.
Functions of Human Resources Management •
Managerial functions like planning, organizing, controlling, etc. Operative functions – specialized functions of HRM like recruitment, selection, performance appraisal, etc.
2) 3) 4) 5) 6)
Human Resources function (matters of individuals, policy matters, factual problems) industrial relations (matters of group represented by union, collective problems, emotional problems) welfare (township, schooling, canteens, hospitals, transport, perquisites and all advances and allowances) general administration (discipline, handling of grievances, public relations, coordination with state legal and police authorities, estate protection, etc.) Maintenance of records Audits and research Human resource develpment.
Detailed list of Operative functions
Human Resources policies, objectives and laying down rules and regulations Manpower planning 1) preparation of job analysis, job description and job specification
2) 3) 4) 5) • •
• • • •
plan for wastage and shift requirements plan for recruitment lead time balance it against plant requirements divide the total manpower required into various grades and pay scales – provide for career planning also. Recruitment, selection and placement: This is the actual job of procuring people and placing them in position. Familiarizing them with the organization is also to be done. Performance appraisal 1) lay down proper norms for evaluation 2) introduce proper policies 3) proper formats 4) safe keep of appraisal records Wage and salary administration/compensation administration 1) fix pay scales according to the job requirements 2) make sure they are comparable with similar organizations. 3) Have a policy on overtime and incentives 4) Have a plan for periodical wage revisions Training and develoHRMent 1) plan for workers and officers separately as per requirements 2) formulate new packages for training based on specific requirements 3) have plans for training the efficient people as well as the inefficient people Promotion and transfers: Policies should be framed to encourage the individual and also to benefit the organization 1) merit should be recognized without letting down people who have served long 2) while transferring the individuals’ problems should not be overlooked. Discipline 1) To establish an efficient mechanism 2) To detect deviations in performance or behavior and deal with them effectively. Grievances 1) There should be a healthy system under which a workman who is genuinely affected can approach the management and set it right Industrial relations – to provide healthy relationship between management and workers Welfare administration General administration Relationship with neighbouring community Termination management refers to termination of employer, employee relationships on account of death, resignation, dismissal etc. Here the Human Resources function will have to effect settlement of accounts also
Towards society – “To preserve and advance the welfare of the society along with pursuit of organization goals”.• • • • Safety administration – to constantly review working conditions. Implementation of social security – implementing of schemes like P. To secure effectively and economically. Towards the profession – “To maintain highest standards of professional conduct”. Gratuity.. • • • Collateral Objectives Uphold the importance of human beings in an organization Provide job security and a safe atmosphere to work Provide interesting work Safe and healthy working conditions Optimum work load and commensurate wages Build liaison and links between management and labour Encourage good leadership on both sides Encourage healthy traditions and promote good culture Take care of the stability of the organization To promote loyalty and commitment of the people to the organization Maximise wealth of the organization and distribute it to everyone Bring Human Resources Management on par with any other function in the organization HUMAN RESOURCES POLICIES 5 . etc. safety practices.F. rest pauses. sickness patterns and make proper schemes. the integration of organizational growth and goals of the Human Resources in the organization. Legal administration – to handle legal matters initiated by the company and against the company Public relations OBJECTIVES OF HUMAN RESOURCES MANAGEMENT Core Objectives • Towards the organization to secure and maintain for the organisation. Towards people – “ to provide maximum develoHRMent of Human resources by giving full opportunity and support”. human resources capable of performing the organization objective. pension.
Bombrick – “Policies are the statements of the organisations overall purposes and plans of action – in various areas like Human Resources. According to Calhoon. It should help growth of the organization as well as the individuals Policies should be stable but should not become rigid. “Human Resources policies constitute guide to action. Their genesis (origin) lies in organisational values.A policy is a guideline for action. marketing. It should provide for flexibility in genuine cases The policy should be relevant both in the short term and long term . beliefs and philosophy”. finance. etc.” Uses of Policy (objectives) • • • • • • They set out clear ideas about how to proceed in a given situation They provide guidelines for planning and execution of day to day activities They are the vital link between the mission and objectives on the one hand and the practical realities on the other hand They help the management to maintain consistencies and uniformity They channelise the efforts of the people towards the goals of the organization They set up standards or norms for measuring performance Types of Policies (Objectives) General Company policies or overall policies Vs Specific policies External and internal policies (External policy regulates relationship between the company and the outside environment) Vertical and horizontal policies (superior subordinate relationship and relationship between two department at the same level) Oral and written policies (superiority of written policy – discuss) Formal and informal policy Central and local policy (head office directives and unit level working) Principles or guidelines for framing policies • • • • • 6 Policies should correspond to the general objectives and philosophy of the management They should be within the legal framework of the country – particularly labour laws.
• • • They should be reasonable. professional association. coordination abilities. On the other hand the modern world has grown so complex that a person cannot discharge his duties effectively only on the strength of his personal intuitions. Not all the people who have personal attributes are able to become Human Resources managers. It is quite difficult to impart these faculties by formalized training. willingness to work with people are in -born. training. there are many aspects of HRM where inborn qualities are very helpful. TRAINING AND DEVELOHRMENT “The process by which inputs are given to an individual to improve himself” – training. acceptable and ethically (morally) sound They should be dynamic and should adapt to change It should correspond well with the policies of other functional areas within the organization. Therefore. 7 . Either they do not have professional qualification or they may not have experience and exposure or merely they may not get the opportunity at all. training and exposure are certainly necessary to function effectively as a Human Resources manager (or as any other manager). Therefore. etc. Thus it is incorrect to say Human Resources Managers cannot be made. opportunities. At the same time mere training cannot transfer a skill to any one who does not have basic aptitude. Whether Human Resources Managers are born or made? Many Human Resources traits like emotional stability. The above factors are certainly important. A HRM with fine inborn qualities will be greatly benefited by the addition of experience. HRMs are both born and made. Is Human Resources management a profession? McFarland has defined profession as follows: Existence of an organized body of knowledge Formal methods of training and transferring knowledge Professional association Well defined codes for conduct Emphasis in ethical standards Since HRM is meeting all the requirements it is certainly a profession. A lot of formal qualification.
In other words. Difference between management education. “Training is what the organization gives to the individual. Areas of training Where a person does not know – knowledge training Where a person knows but does not do – skills training Where a person knows but does not care – attitude training Where a person forgets often – periodical refresher training For a right person – training in understanding and insight.“DeveloHRMent is the effect of training on the individual”. Learning Principles involved in training 8 . Distinguish Training 1) Leads to skill improvement and attitudes 2) Applicable to lower levels 3) The effect is immediate and measurable and qualitative 4) Effect lasts for a short time 5) Mostly prompted by external requirements motivation Development Also knowledge Managerial levels Long range Long duration Internal Note: In real life both the words are used interchangeably. DeveloHRMent is what the individual does with it or how the individual applies the training”. These programs are mostly in house with the help of external experts and even academic institutions. Many good companies have programs for new recruitees even for a full year. develoHRMent and training Management education Imparted by universities and regular academic institutions – the program is highly academic and only knowledge inputs – leads to the award of suitable degree at the end. Management Training Organized by the industries and such other organization – catering to improvement of existing Human Resources as well as to train up freshly recruited managers.
First one to benefit the individual and secondly to benefit the organization. wastage. quality. performance appraisal records complaints from the market like delivery slippage. machinery. ii) Importance given to training function: The head of the training department should be a senior level person and he should report to the Chief Executive of the organization. classrooms. iv) Permanent and Expert Faculty v) Financial Support: There should be a sizeable budget for training and the training chief should have the power to spend it.• • • • • People will improve if they are given some spells of introspection from the burden of routine work – training does that People will improve if there is no threat for them to admit that they require improvement People will do better if they are given a feedback about how they are doing at present and given professional help People require constant and periodical exposure to better techniques and concepts People learn not only from trainers. iii) The infrastructure support: Regular staff. etc. training within industry and training outside industry (TWI and TOI). etc. i) Training objectives: The objective should be twofold. etc. customer complaints regarding quality complaints from service mechanics. but also from other members of the training group Important principles involved while setting up the training and develoHRMent department of an organization training is classified as. case study materials. complaints from unions survey conducted specially for the purpose . audio visual equiHRMent. vi) Publishing a Calendar of Events vii) Identification of training needs: This is a continuous exercise – the data could be generated from • • • • • 9 indices regarding performance of the organization – like production.
Marketing Director. Demonstration – Illustrated lecture – supported by audio visual equiHRMent – it is also called training through eyes and ears. actual events and field the actual elements. take decisions and face the results. Simulation – The conditions of real situation are replicated (reproduced) as closely as possible. Normally most organizations ask the trainee to take up a complicated person on his return and complete the same. One of the popular ways is to ask the trainee officers themselves to give a write up about the usefulness of the program and its impact on him. Field trip – First lecture. they discuss the problems and each group makes a presentation to the large group. then the group is taken to the actual field to see the actual people. But in executive develoHRMent. Finance Director. and they are asked to discuss the problem by playing the role. Buzz groups or syndicates: A problem is given to a large group – then the group is broken into smaller groups. Role Play -. the principle of syndicate is combined here. The member has to play the event. etc. Methods or techniques of training: Methods can be classified as trainer centered (no scope for participation by learner) and learner centered – where participation from learners is involved.viii) Measuring the effectiveness of training: This is easy in skill related training like apprentice training. This method is good for building up attitudes and interpersonal skills. Lecture – Oldest method – ideal for classroom situations – to pass on large quantities of theoretical inputs in short time – even today it supplements all other techniques.Suitable for small groups – a live situation is given to the group. The members are allotted different roles like Chairman of the company. Case study – A written description of the problem is given to the group. demo about the concepts. Normally simulation is used 10 . Many organization follow different methods. But many times. ix) Applying the effects of training after returning to job: This is the most difficult part of the training. qualitative methods have to be used. Each individual has to analyse the problem and find solutions.
Example: To discuss principles of industrial relations. The learners are preferably from inter disciplinary areas (not exactly from one discipline). This is normally conducted by experts who are extremely good at the job as well as on the training techniques. For each question from the audience all the four experts would give replies based on their own experience. “Tell. These ideas are collected during spontaneous discussions and free from official grades or levels. Demonstrate.when the cost or risk of the real situation is too high. They suggest improvements – normally supported by theoretical inputs also. ask him to do and suggest corrections”. This is a highly structured and highly formal so as to suit large groups. Colloquy or panel discussion – Here the group of experts handling different aspects of the same subject are assembled and presented before an audience. But the hope is certain discussions will produce or provoke a useful spark in some other member of the group which will lead to the solution. The learners attempt to solve the problem by generating and collecting ideas from the group. The arrangement is that the audience will ask questions and each question will be answered by all the experts one by one. They are presented before the audience. The suggestions may be practical. Example: Road Driving training on computer. Vestibule – When a large number of persons have to be trained on skilled type of jobs. Brainstorming -. a union leader and a government labour officer. This method also involves a blend of classrooms and on the job. Under this method many batches could be trained simultaneously or successively. On the job training – (putting the person on the job) – ask him to do the job and observe – by trainers.Developed by Alex Osborne in 1938. Example: Apprentices Training. A group of learners are assembled and a problem is given to them. In an office situation the manager assembles a group 11 . a lawyer. Symposium – Many experts deliver talks on a given subject without participation from the audience. impractical or outrageous (silly). Suitable when divergent expert views are required to be presented to a large audience in a short time. we may get a Human Resources manager. This fits in with the “earliest maxim or dictum“ (Gold Rule) of training. this method is useful. The brainstorming technique is used extensively in practical situations also. Debate – Helps conceptual clarity – people argue for and against a title.
The company determines what is the end behaviour that is expected of the participants at the end of the program. There are many variations of sensitivity labs. before committing the people to training. Useful for self develoHRMent. Minimum of oral instruction.This is learning by discovery. Experiential Learning -. Nowadays this technique is used in blend with many other techniques. It rests on three pillars – job analysis. Programmed instruction (or) programmed learning – In this method a lot of homework or research is done about the objectives of the training program. who have worked together in the same organization. MANPOWER PLANNING – J. But this method calls for enormous skills on the part of the trainer or the facilitator. they are likely to be retained for a very long time. According to that the course details and training materials are printed and issued to the participants. job description and job specification. the objectives are clear. May be once in a day the trainer reviews the progress of the trainees. comfortably seated. 12 . Each member is asked to comment on his plus and minus points and all other members are asked to give their opinions about this person (both plus and minus).D / J. They apply the Brainstorming technique and solve the problem. The advantage of this method is.of subordinates and other managers and gives a practical problem to them. One popular version is the members (say around 14-20) are assembled in a room. the course material is permanently available with the participants and one participant is not affected by the pace at which the other participants learns.S Manpower Planning is an important function of HRM. Sensitivity Training – (Sensitivity Labs) – It is used for personality development of participants. he can improve. Based on the feedback. they discover some important facts about themselves and about the problem. The basic idea is the members of the group should have personally interacted with each other and should be in a position to give helpful comments and criticisms about the behaviour of each other. Normally used in T groups meaning Training Groups – means that a group of participants who have known each other for a fairly long period like a team of managers.A / J. Here a group is asked to do a problem and as they are doing. He should be able to conduct the session without leading to personalised attacks and quarrels on each other. Since the facts are self learnt.
physical setting. Maurice Cummins has summarised both JA and JD “as a statement of the purpose.Jucius. duties and responsibilities of a particular job”. What is collected in Job Analysis? • • • • • • • • • • Job identification – job title. Job specification: Definition by Flippo “It is a statement of minimum acceptable human qualities necessary for the proper performance of the job”. alternate titles. duties etc. Operations involved – what a typical worker does. JD is in summary form. scope. refers to Job Analysis as “process of gathering information about the operations. etc.Time and motion study. code name. Example: How the material moves from previous job to this job and to the next job emphasis on reporting relationships and responsibility aspects Difference between JA and JD: JA is in work sheets form. sequence of movements for the material or the man Significant characteristics of the job – location. 13 . Thus it is referring to the characteristics of the job holder and not the job. special hazards and discomforts Materials used – both solid and liquid substances Machinery/tools/equiHRMent used Physical and mental attributes required The content of responsibility Requirement to work in shifts Details of supervision Job Description: Generally. the tasks of involved How the job is actually performed? -. about a job and the organizational aspects of a job”. JD is the process of writing it. JD adds some features to job analysis like • • • organizational aspects – where the job is located in the organization relationship between the previous and next jobs. Job Description: Flippo: “The immediate product of job analysis is job description”. the purpose of compiling JA is to make JD. JA is the process of collecting information.
communication. height. Observation: The oldest method – from the days of scientific management movement. vision. All the analysis is done along with him. language skills basic perception abilities – voice. This is very useful to analyse jobs which have lot of routine elements built around a few critical elements. Here the focus is on exceptional factors. Check List: This also is filled by the incumbent (worker). Critical incident method: This is not a normal analysis. But a lot of back ground work will have to be done by the job analyst. age and experience aspects mental attributes like analytical ability. This reveals many factors which could be missed in other techniques. Scrutinized by job analyst at a convenient place and time. The recording is done over a long period. Normally suited for routine jobs. strength. etc. JA & JS: Complete knowledge of the jobs 14 . ability to keep awake at night qualification. like aggression. Here the job analyst stands near the operator and writes his observations. Uses or importance of JD. concentration etc. Interview: Writing is done by the analyst but not the incumbent of the job. Conference method: Here the supervisor also gets involved. Normally handled by mail. emotional traits. physical attributes like physique. creativity. interpersonal skills. hearing etc. Participation technique: The job analyst does the work with his own hands along with the regular workmen and records. this is a good method to supplement all other methods. boldness social characteristics like leadership abilities. Best suited for short cycle operations with predictable activities. Self recording diary: The worker himself writes the job analysis – is partially structured – some portions left unstructured. It is easier for him to fill up check list than questionnaire. Therefore. Methods of doing JA: Questionnaire: It is simple and easy to handle.
It is very difficult for the management to use a worker in more than one trade or skill This reduces the worker to the level of machines by laying down very specific operations. Some minus points (Demerits): • • It is a very time consuming and expensive job When each job role is specified. etc. cost. It becomes a legal document for the workers – to argue in collective bargaining These documents can be accurate only for the workmen jobs – very defective if applied to managerial positions. movements. Basic document for counselling Helps in measuring job satisfaction and improving it These documents lead to job evaluation which is the corner stone in wage salary administration For health and safety aspects For job redesign and reengineering. Beach: “HRP is a process of determining and assuring the organization that the organization will have adequate number of qualified persons available at the right time. Basic document for recruitment. reporting relationships. They would refuse to do even minor variations. selection and placement For promotion and transfers For training and development For systems and procedure improvements They serve as measurements for assessing performance in all areas like production. performing the jobs that meet the requirements of the organization and providing satisfaction to individuals concerned. MANPOWER PLANNING (or) HUMAN RESOURCE PLANNING (MPP) ( REMAINING TOPICS) Dale S. Relationship between various jobs Good for detecting organizational ills like structural problems. duties.” Coleman: “MPP is the process of determining the manpower requirements and the means of meeting these requirements in order to carry out the integrated plan of the organization. quality. etc. the workers would like to stick to it.” Dale Yoder: He emphasizes that MPP comprises of four aspects 1) determining the requirements 2) assured supply of proper people 3) their training and development 15 • • • . etc.
– Provide for controllable variables like machine capacity and be prepared for non controllable variables (government policy) – Keep reserve for expansion and growth – Make trend projections or any other technique for unpredictable changes in manpower – Keep provisions for promotions and transfers – It is a continuous and dynamic job Time horizon – Any good organization must have a short term and long term plan. Assessing existing inventory: If it is a running organization. grade-wise. External Supply Factors: (Quantity additions) – the population factors • • 16 . etc. qualification-wise. etc. Long term means five years and more – consider factors like change in investments/capital. designation-wise. They do not add to the numbers – also called quality additions.The objectives should aim at the satisfaction of the organization and of the individual. age-wise. change in technology. Forecast of supply Internal Supply Factors: Like promotions and transfers within the organization. death etc. general economic prosperity of the country. this step becomes important.4) how well the organization utilizes them Basic steps in MPP • • • Ascertain the objectives of MPP – the MPP objectives should aim at both quantity and quality aspects -. skillwise. The objectives should cover both short term and long term requirements and should form integral part of overall company objectives. – Productivity of the people – This sum total has to be balanced against machine availability – Provide cushions for the effects of learning curve (means people work slower in the beginning of a project and pick up speed and expertise as they go along) – Provide for shifts/leave and absenteeism – Provide a percentage for manpower wastage like resignation. etc. change in market. Short term means about two years – consider factors like machine capacity. The Human Resources Manager should gather full data regarding the availability of existing people. The objectives should also indicate a clear policy regarding compensation (salary) matters. changeover from a closing project to a new project etc. work sampling and workload measurements – Establish a base for manpower projections – is it volume of production – volume of expected sales. Demand forecast – The most important factor is JA & JD – also work study.
This information is tabulated skill wise. The Human Resources manager should identify a few very bright officers who are good enough for the top positions in the organization. etc. Skill wise – how many fitters. Grade wise – how many junior managers and senior executives The Human Resources department must plan to fill up those vacancies which are going to fall vacant. selection. etc. The new person (called replacement) should be positioned at least a few months before the existing incumbent will go away. railway stations. schools and houses – law and order – willingness of labour to move to different destinations – resistance to outside labour – law and role of government – social security measures (ESI. placement. PF. grade wise. recruitment. • Career Grooming or Executive Grooming: This is particularly relevant for top positions. welders. The action starts much before the wastage would take place. Such people are 17 . etc. It involves stages like advertisements.) Actual Implementation – this is the physical process of bringing the people in. – this should be linked with compensation plans (salary) – the time lag between advertisement and actual positioning of candidates should be taken into account – wastage should also be restored – – – – – – Periodical review and course correction Performance appraisal Merit rating – Incentives Improvement of workmen’s performance – Through Training Succession Planning: • • • • • Any good Human Resources department must compute the number of people who are going to leave the services in the next few years. etc. so that the work will continue smoothly. airports.• present employment trends availability of educational training institutions vocational guidance institutions availability of part time labour competition from nearby industries availability of infrastructure like roads.
Some other wastage are partially predictable like retirement on health grounds (medical terminations) and voluntary retirements (a person is allowed to go with complete retirement benefits much before the age of 58 – 60). Importance of manpower planning: • 18 Manpower Planning is a fundamental exercise. dismissals. etc. The Human Resources department must carefully study these figures for the past period and make trend projections for the future. This will be helpful for succession planning. It will be difficult to establish trend projections.groomed in many ways take over the top management in due course of time. a good Human Resources manager should recruit a few persons extra to offset the effect of wastage. There are known or predictable wastage such as superannuating or retirement or termination at the end of contract period. exposure to different projects run by the company planned job rotations. to give knowledge in various functional areas frequent interaction with the top management including attending the board meetings project such officers to customers. including training abroad identify them publicly at suitable meetings. occasions. a ratio could be built between predictable and unpredictable wastage and to be applied in manpower calculations. When a recruitment and selection takes place. However. jumping the bond are totally unpredictable. Slippages (mistakes) in MPP are costly and take long time to rectify . suppliers and even collaborators give them all possible training. Some other wastage like death and resignations. Executive grooming has 3 major objectives to groom bright officers to fill top key positions of the company from officers within to safeguard bright officers from going away to competitors Wastages Wastage refer to reduction in number. as the next generation management.
The various activities of manpower planning 2.• • • • • • • • • • MPP is required to make optimum use of manpower To balance machine availability against MP Plan for promotions and transfer Plans for contingencies – both expected and unexpected The organization can focus on short term requirements and develop proper orientation for the long term MPP is a good tool to evaluate MP matters. to the industry and the country as a whole Turn over: . Turnover Ratio helps the management 1. One is = People left/people recruited in that batch. To find out in which trade maximum losses take place 5. It is 2 ratios. 2. the worse is the HR management. To detect other organization problems 4. To carry out the actual measurement 4. To find out standards / establish standards for measuring the effectiveness of the above activities 3. Manpower planning has many elements like policy. To find out the success of any recruitment effort. In general and proactivity in particular MPP ensure right man for the right job The value of any Human Resources department depends on how well the MPP has been done MPP is helpful in detecting many problems of the organization MPP is helpful to the organization. Manpower Audit The function of Manpower audit is to identify: 1. Normally calculated with reference to a year or with reference to a selection lot. The soundness of wage and salary administration (Compensation) 3. this is calculated as a proportion of existing total strength or with reference to the people who joined as new entrants. PERFORMANCE APPRAISAL 19 . the physical positioning of the people. demand forecasts. supply forecasts. quality and quantity factors. The higher the turn over rate. Its modern term is Attrition. It refers to the rate at which employees are leaving the organization. For manpower planning in those areas.Turn over is a part of Manpower planning. Another ratio is = People left in a year / Total Strength of the organization.
If there is a dispute about a person’s performance. against the trait attendance one boss may take a subordinate as unsatisfactory for 5 days absence in a year whereas another may rate the same situation as very good. the bosses may be unduly influenced by the jobs performed by the subordinates in the month of January and February. The dossier gives a bird’s eye view of a person’s performance over the years. Effect of last few jobs: If the performance appraisal is written up in the month of March. the courts may call for PAR dossier For determining incentives and wage increases For promotions For transfers and job rotations For determining training needs For executive grooming To determine the effectiveness of the company’s recruitment over the years To get comprehensive view of a department’s performance To detect organization ills Gives feedback to a person about his own performance as judged by his superiors Pitfalls (or) Problems (mistakes while writing PAR) Excessive leniency or strictness amongst the raters – some raters think that they should rate their subordinates very strictly (not to exceed 4 out of a rating scale of 6) whereas some other bosses do not mind giving six to a large no. of subordinates. Differing standards amongst raters. It is also a legal document. This will lead to chaos. Uses or Importance of PAR system: There is no real alternative. Halo effect: means if a subordinate is good at one thing (public speaking) the boss credits him as being good at many other things also (like performance on the job). For example. - - - 20 . In the presence of written record only oral assessment will prevail. It is filled in a written format once in an year (in some companies may be once in 6 months – generally once in a quarter for probationers) and filed in a PAR dossier. He may not remember his performance in previous June or July.It is a systematic evaluation of the performance of each employee and officer in an organization as written up by his superior.
He supplements and helps the superior in his weak areas. This will avoid the problem of differing standards in between raters Help matrix: Good organizations generally give guidelines about various aspects of the appraisal – this is printed along with the appraisal form Review by the next higher one level or two levels of management – this will avoid personal bias of the superiors. Therefore. In any case. the subordinates get unduly high ratings. Example: In attendance 10 days absence after exhausting leave is considered unsatisfactory. he may be called up by the top management to explain (out of a rating scale of 1 to 6 if he gives 6). Playing God: People act in funny ways when they sit in judgement over another person’s future. Besides Engineers do have a very general hesitation for paperwork. the subordinate may lose his promotions and pick up quarrel with the boss. In such cases. On the other hand if he rates the subordinate at one or two. it is not an assessment of actual performance of the subordinate. rejections. Constant training to raters Give proper guidelines about what is poor. Personal Likes and Dislikes: The personal relationship between the boss and subordinate influences the appraisal ratings. Maintain performance diaries on a monthly basis – to reduce problems of getting influenced by the last few jobs done. above average etc. - - - General Problem of workload: Top executives find it difficult to find time for writing PAR. Alignment of weakness and strengths: Sometimes the subordinate may be strong in those areas where the superior is weak. on each item factor of appraisal. etc. average. number of tasks completed. Some of them resort to victimization. to avoid trouble. delivery slippages) or should then assess the subordinate based on traits like honesty. Most of them develop kindly or godly attitudes and try to give good ratings. quality. effectiveness. How to remedy the defects (or) pitfalls? Good policy framework and it should be well pursued. co-operation. Assess traits or performance: Bosses do not know whether they should assess the subordinate on the performance (volume of production. many bosses give them the mid point ratings or 4 or 5.- Central Tendency: If a boss rates a subordinate as exceptional. But only two days’ absence is considered average and no absence is good etc. 21 .
5) 7) Rating scale method: Most popular method. The system is easy to operate because the rater has to put only tick marks. 3) Checklist method: Here the superior has to rate the subordinate by ticking a statement in the checklist ie. 2) Paired comparison method: This is also a ranking method. The rater has to indicate his choice from within the group of statements. A group of experts will later on assign weightage and convert them into final ratings. Field review method: After getting the PARs the HRM meets the raters. raters’ bias reduce. The final rating of the person depends on how many times he was judged better than others. The rater must tick the sentence or phrase which is most appropriate.). variations between departments could be reduced. Rating scale is used in 2 versions. The rater is asked to rate the subordinate with reference to these factors. one by one in a limited group (in the same dept. (Explain) Methods of PAR system (Techniques): 1) Ranking Method: Here the rater compares the performance of one rater against all others and places him in a simple rank order. 4) Forced Choice Method: It is an improvement over checklist. This method is the simplest to operate but highly subjective. finally the rater is asked to indicate a total opinion – by using this technique. 6) Critical Incident method: A list of factors or requirements which are critical to the job are first arrived at. discusses with them and arrives at the final ratings. But it is extremely difficult to construct a good checklist sometimes it may take a few years to perfect a checklist suitable to the organization.. In this method the Human Resources department does the scoring (conversion of tick marks into marks) and therefore. Promote openness and reduce the element of secrecy. In this method. Here the phrases or statements are assembled in groups – some of them favourable some of them unfavourable.Have an overall moderation at company level – the Human Resources manager along with top management reviews PAR. One is using numbers ranging from 1 – 22 . The tendency is not to compare performance but people as a whole. After rating the subordinates by using many different techniques. department by department. The rater compares one ratee against all other members. Adopt MBO method of evaluation. This will reduce problems of uniform overrating in some departments and underrating in other departments. This technique is used in combination with every other method. for each aspect of the ratee’s performance a set of standard phrases (or) sentences are given.
below average. wage surveys and related issues”. Ideally each organization should determine how much of openness can be in built on their PAR system. WAGE AND SALARY ADMINISTRATION Beach: “ The establishment of an the implementation of sound policies and practices of employee compensation. very good. 11) Confidential Report System: The term is used when the PAR system of an organization is totally secretive – a subordinate never comes to know what is his rating. The report is likely to be very spontaneous and natural but comparisons between two ratees become very difficult. 12) M. etc. 9) Essay appraisal: Superior is asked to write in freestyle. this technique tries to measure his probable performance on the post to which he is likely to be promoted. good. 8) Assessment center: The HRM meets all related people (not only the immediate superior) and collects ratings about a particular ratee.O – Refer to detailed notes. Therefore. Example. development and maintenance of wage structures. Then a final rating is arrived at. Assessment centere method is ideally suited for this purpose.6 for example and the other is using phrases like exceptional. Components of Wages: i) ii) iii) iv) 23 Basic Pay – for the skill Increment – for continued learning of the skill year after year Incentive – for efficiency Dearness Allowance – for cost of living . average. But many good organizations want to know the potential of a candidate for serving in a higher position. etc. the production planning people. the quality managers. opinions are collected from his own boss. design managers. in the case of a production manager. It includes such areas as job evaluation. 10) Potential appraisal: A PAR system deals only with past performance.B. wage changes.
– not related to efficiency or skill. – to meet additional cost of living in metros Social Security Schemes – like ESI and PF and pension Welfare – fringe benefits – perquisites (all other allowances and loans) like transport. – allowance for rent C.A. medical facilities. Should there be an efficiency bar what should be the actual quantum of the increment? What should be the pay differentials (means the gap between two cadres or gap between one pay scale and the other)? For each job the highest point in career should be fixed – what is the highest cadre for each job? For example. Fix the increments. whatever be his salary. housing. JOB EVALUATION Methods of Job Evaluation 24 - - - - - . a medical officer of a manufacturing organization cannot become the CEO.A. of jobs and total positions as per MPP.v) vi) vii) viii) ix) x) Overtime – for clearing extra workload which cannot be done during normal hours H. should the incremental slab be 15 or 10. There should be a balance between reporting relationships and pay as far as possible – means the bosses generally should get more pay than the subordinates. Should there be fixed increments or flexible increments.R. comparative merits and Payment by time rate Vs. Bonus – sharing the profit. schooling. This is the starting point of pay scales. Any policy on compensation should be in tune with the overall company policies and the Human Resources policies The organization should have a clear policy on overtime and incentives. etc. Piece rate: demerits – refer book. The financial worth of each and every job should be ascertained based on job evaluation. After the financial worth of all the jobs is ascertained it should be fitted into the cadres. Important principles of Wage and Salary Administration: The jobs that call for equal effort/skill/knowledge should be classified into one cadre Find out the total no. These are given to enhance quality of work life – also called QWL.C. The pay scale should be adequate in number to provide for promotional avenues. Fix the actual pay scales.
25 . It removes wage inequalities because it links the job worth to the wages. Particularly specialized organizations. The important factors of each standard job and the marks for them are furnished in the manual. It discourages exceptional workers. Therefore. the employer should breakdown each job in his organization into important factors and design marks or weightages. highly skilled. Point Rating Method: This system uses internationally standardized manuals. under this method. this is rarely done There are practical problems like difference of opinion between experts in assigning weightage in the comparative norms. People stick to the job as done at present. it can be used along with other methods. the relative worth of each job is measured and given a rank. However. etc. the employer develops indigenous standards instead of relying on international manuals. the manual gives the detailed breakdown factors of standard jobs and their marks. Here the employer assembles a group of experts who will choose the key jobs within the organization. However. Very subjective method.• • • • Ranking: Throughout the organization. In other words. JE tends to curb creativity. Then convert them into financial values. The greatest defect of JE it has no way of measuring actual performance on the job. Grading Method: Classify the jobs according to categories like skilled. Factor comparison Method: The manuals may not offer accurate weightage in the case of many jobs. semiskilled etc. The next step is to convert these marks into financial values. factor by factor and give relative weightage. Not good. It leads to inflexibility. Otherwise. Difficulties with Job Evaluation: Heavy time and cost factors Union problems JE methods should be constantly updated with technology changes. Merits of Job Evaluation: It is the only logical and systematic way of doing wage and salary administration An exercise in JE stabilizes internal norms and standards. break them into factors and assign weightage – compare all other jobs against these key jobs. there would be chaos in measuring what each job is expected to do. Against these data. Not a comprehensive method.
medical benefits. Review the job evaluation periodically and make corrections. Leave benefits. Whether JE alone can fix wages? Or factors other than JE which influence wages: • • • • • • • • • Capacity of the unit to pay Prevailing wage rates in competitor’s units Demand and supply factors Ability of the employees to bargain Cost of living Employees’ job experience (sometimes you have to pay more than the JE rates to get an experienced person) Employee’s actual performance on the job Legal factors (like min. technical reps. semiskilled. Helpful for recruitment For promotions For job rotation and training It is the basis for resolving job anomalies.) Social factors (like the employer has to pay enough salary for the minimum subsistence of the workmen’s family) -. Incentive Schemes: 26 . Jobs are properly classified as unskilled. Gratuity. etc. It ensures proper wage cadres and classifications – also wage differentials. Wage Agreement . industrial engg.Most organization have periodic agreements between unions and management (say once in 4 or 5 years) to revise wages and salaries of all the Human Resources in the organization (collective bargaining notes). wage anomalies (high job paid low. PF. low job paid high) and such other complaints. Clear objectives Publicize the JE scheme proposals and gain acceptance of all parties Choose the key jobs carefully Adopt a proper technique of JE Develop proper norms and standards for comparison Constitute a proper term to carryout JE – Human Resources representative. How to proceed with Job Evaluation? Steps in J.E. and workers reps.normally this is bound to be more than the JE rates. wages act. It forms the basis for any collective bargaining or union management negotiations. etc. Reps.
Internal sources of recruitment: Promotions. External sources: (a) Newspaper advertisement (b) Advertisement in Professional magazines (c) Employment Exchanges (d) Campus 27 . Bhagoliwal “it is the process of attracting potential employees to the company”. job rotations. It is the process of searching prospective employees and stimulating them to join the organization. SELECTION. PROMOTION AND TRANSFERS RECRUITMENT According to Dr. PLACEMENT. improving their loyalty with the organization and as also the organization knows the candidate very well. INDUCTION. scrutinize them and make broad waste summaries of applicants. transfers. But it has the advantage of motivating the existing employees.i) ii) iii) iv) v) vi) vii) viii) Simple piece rate Taylor’s differential piece rate scheme Halsey Rowan Budeaux multiple piece rate Merricks Gantts task/bonus plan Group Incentive Scheme RECRUITMENT. It involves stages such as: Stages in recruitment: From MPP identify vacancies Identify job details and specifications Identify sources of recruitment or sources of possible manpower – both internal and external sources Notify in the press and such other avenues Send application forms to interested candidates Receive application forms. It is also defined as a series of steps taken to identify the job seeker and bringing him in contact with the company. These do not add up to the total Human Resources already available in the organization.
The candidates are subjected to a series of elimination processes and the final ones are chosen.those who will be offered employment and those who will not. SELECTION Dale Yoder “the process by which candidates for employment are divided into 2 categories . Thus the selection process is a Negative process”.recruitment (e) Other field trips (f) Competitors (g) Part time manpower (h) Contract manpower (I) Unions (j) Recommendations by existing employees (k) Unsolicited applications or stray recommendations or contacts (l) Professional placement agencies (m) Professional associations. in terms of quantity and quality (2) time lag . Selection means choosing a few out of the many candidates available.how much time it takes to offer a good candidate (3) cost aspects.how many candidates it has successfully offered. stages in selection • Scrutinizing the application • Calling the eligible candidates for test/interview • Constitution of Boards for test/interview • Administering the test • Administering the interview • Medical/Physical examination • Negotiating the salary aspects • Checking references • Issue of Appointment order Steps in selection: make a detailed scrutiny of eligible candidates fix up suitable tests and interviews fix proper tools and standards and experts for conducting test interviews call the candidates administer the tests in proper atmosphere interpret the test results and screen administer the interview and select – elicit all clarification during interview fix up compensation package verify character and antecedents (previous employers’ reports) medical examination issue the appointment order How to measure effectiveness of selection process:28 . An employer should constantly evaluate the sources of his recruitment with regard to their effectiveness such as (1) what is the yield .
unsatisfactory salary. reporting relationship. Over a period of years if the organization has not got the required no. There are many areas in which each organization must develop its own standards and measures the effectiveness of their manpower planning. find out whether you got the required no. the Human Resources department will have to place the candidates with due consideration to many special factors such as (a) the candidates’ preference for the station in which to work (b) Financial considerations like advance increments (c) Administrative aspects like independent charge. The organization (Department Head) receives the new employee on the first day and brief him about the organization. etc. The time lag should be a few weeks.further analyze the job specification. the audit should focus on further analysis like mistakes in specification/notification. But if the organization is large and many vacancies have to be filled. Induction Programme A systematic program organized by the employer for familiarizing a new entrant with a job with the organisation and the connected social aspects. his future. the quality of testing and interviewing etc. For a few days or weeks.. he becomes loyal to the organization. terms and conditions not clear etc. his work. Otherwise. the work practices. PLACEMENT The process of actually fitting the appointed candidate to the job. INDUCTION Induction is the process by which a newly appointed candidate is accustomed or acclimatized with the professional and social environment of the job. 29 . The process of positioning the candidate in the actual position.After the selection is over. he is not expected to work on the job but expected to familiarize himself with the Company. of people consistently.. This is not a big issue if there are few vacancies only. his department. etc. his department and the culture and traditions of the company. his work. This program serves two purposes (a) the individual gets organized inputs about the company. of people. He is then introduced to his colleagues in the department. the organization should analyze the causes and take action. He is not asked to jump into work (b) If the correct first impressions are created. designation. If the organization has not got the right quality . another area of audit is the time lag between notification and actual position of the candidates.
business. 30 . tools. Specific Orientation: Done by departmental bosses for about a week. PROCEDURE FOR INDUCTION PROGRAMME There are Three Basic Stages . cooling systems etc.a kind of on the job training come familiarisation. First welcome by Proper Executives. 1st Stage: department. drawings. components. Introducing to other colleagues II. jigs and fixtures. 4. the locations. inter-personal and sociological background of the job. Introductory Orientation: Generally one day duration. Candidate is told by trainee manager or PR manager (with the help of documentary). 3. The company’s history and evolution its product. details of machines. I. Technical details. normally it takes half work and half briefing . Actual technology. 4th Stage: Introductory Orientation by the PRO or Training Specific Orientation by immediate boss. Market Standing. speeds and feeds.Objectives of Induction Programme 1. Not to allow to scope for a fresh appointed to get ideas from an existing disgruntled (dissatisfied) employee of the organisation. done by Pr Department or training department. 2nd Stage: 3rd Stage: Department. Further Orientation by Human Resources Follow -up orientation if there is need. To help him get into technical. Organisational chart. locations and layout of the plant technologies employed. 2. To have a structured method / procedure for welcoming a newly joining individual and giving him a right orientation about the organisation and his role in the organisation.Probably 4 Stages. To help synchronize his objectives and organisational objectives.
• What to do in the event of IR problems. Managerial Aspects Leave granting powers. exit and entrance. safety aspects leave entitlements IV. • Culture and traditions of the organisation on various matters. • Unique operating Practices. • All classifications on benefits like salaries and perks. canteen. • General behavioural tips. first aid. Working Conditions: Working hours. Welfare Details or Perks: Salary and increments. transport. Good companies have printed brochures containing all these details. VI. and span of control. Give details of JA & JD on the shop floor. Encourage him to ask questions. • All loans and advances. technical powers. officers club etc. The reward and punishment systems. overtime. salary. uniforms. township etc. Further Orientation: • General Do’s and Don’ts. Important policies and rules.up Orientation: Meet the person after a time gap may be 6 months and interact with him. 31 . ESI. company hired accommodation. Find out whether he has any new problems and try to resolve. Follow . Based on his inputs. Find out whether the induction programme was alright. • Social Security schemes. who are his subordinates. • Career advancement: • Festivals and functions celebrated in the company standard operating practices. holidays. reporting relationships. financial powers. V. PF. tea-beaks. make improvements to your induction programme. and Gratuity.III. Scope for further education etc. identification badges. Security Components. • Other facilities like school fees. what are the confidential matters. hospital.
For example. The latter idea is better and is convenient to operate How much vacancies will be filled by open recruitment (outside candidates) and how much will go by promotion? The organization has to decide whether it would recruit Human Resources at the lowest level and keep on promoting them as and when they grow up.- Induction programme must be modified to suit the level of the appointee. Some companies have a rule that for one vacancy only 6 candidates will be called/considered What is the line of promotion . junior officers. except under exceptional circumstances What is the minimum time gap for promotion from one cadre to another? For example a company may stipulate nobody will be eligible for promotion unless he completes 4 years in the existing grade (for example) Zone of promotion . Please see text book for a detailed discussion on Promotion by Seniority Vs Merit General rules regarding good promotion scheme: • • • • • • • • • The organization has to have a proper promotion policy and publicize it well The policy should cater to different segments/areas of people like there should be a separate policy for senior officers. PROMOTION According to Spriegel “A Promotion is the movement of an employee to a job that pays more money or that enjoys some preferred status”. June of every year. If he moves within the same level it is “horizontal promotion”. etc. status and pay”. Pigors and Myers “the advancement of an employee to a better job. If the promotion involves only higher responsibilities without higher pay. They do not recruit candidates at senior levels from the open market. If he goes up the hierarchy it is known as “Vertical Promotion”. in terms of more responsibility. it should be made clear that a junior 32 . .for one vacancy how many people will be considered. many good organization recruit officers only at junior levels and slowly promote them to senior levels. Whether the promotion will be effected based on arising of clear vacancies like death or retirement of the existing incumbent or promotions will be given without reference to vacancies Whether the promotions will be awarded as and when vacancies arise or only once a year say. then it is known as “Dry Promotion”.for each trade/category of Human Resources? For example.Make sure to pay full salary for induction period. highly skilled/unskilled workmen. supervisors.
Most companies have a policy of not insisting on notice period for relieving a probationer. He can’t go to court claiming Promotion. This is recorded in the appointment order. There are some companies which have a policy of keeping even promoted people on probation. During this period his performance is closely observed and he is intimated and at the end of the probation period. TRANSFER Michael Jucius “Transfer refers to changes in job in which pay.throughout his career The qualification/eligibility criteria should be made clear for each post and should be strictly adhered to Legal position on Promotion .Punishment transfers (e) Human Resources transfers .To give the employee greater experience and exposure by transferring him to different areas (d) Remedial transfers . Type of Transfers: (a) Production Transfers . If performance is unsatisfactory.To fill in wastages like superannuation or resignation of existing incumbents (c) Versatility transfers . status and job conditions of the new job are approximately same as the old”. he is issued with a letter of confirmation (if his performance is satisfactory).Based on employee’s request How to make a good transfer scheme: o The organization should have transfer policy applicable to various levels o The policies should be well publicized . (b) But he can invoke legal remedy if he has been denied promotion by violating the management’s own promotion policy.and implemented without exceptions o Have special examination of employees’ difficulties if the transfer involves movement out of station 33 .(a) No employee can claim promotion as a matter of right. That means. he is put on probation for a period of six months or 1 year. he is reverted to the earlier post.as per requirements of the job (b) Replacement transfers . the appointment could be terminated from either side without giving any notice or reason. Probation: Whenever a person is selected from the open market.• • Human Resources officer may reach only Director of Human Resources position or something less than that .
This is due to unforeseen circumstances . the employer has a temporary inability to provide employment to all.If someone is taken for a contract period say 2 or 3 years. • • • • 34 . etc.The particular employee’s services are just no longer required VOLUNTARY RETIREMENT Objectives: To give an employee. who is advanced in age and who has served for a long period . assault. accumulation of stocks.Some organizations have this scheme persons who have completed 20 years of service and above 45 years of age for example may leave on voluntary retirement.. etc.for misconduct like theft.Due to reasons of illness.after reaching a certain age say 58 or 60 Medical termination . . raw material shortage.also called retirement .the employer suddenly finds he has more people than necessary . Lay off . Retrenchment .this is done after proper enquiry Resignation Super annuation . Completion of contract .a chance for retiring much ahead of his retirement date with good terminal benefits.due to power shortage.so he retrenches the junior most people giving them ½ month’s wages for every completed year of service. They will be given some extra lumpsum money over and above the usual benefits which is not taxable. This is the special feature of this scheme. So he lays off some of the people Death Discharge . etc. at the end of the contract period his services get separated Voluntary Retirement . These are the following ways: • • • • • • Dismissal .o The criteria for transfer should be clear o The courts will generally not interfere with transfers as long as the conditions of the new job are same and there is no victimization SEPARATION There are many different ways in which the employer-employee relationship may get terminated.
6. promotion.or at least remove such problems for the future o Training . The scale of benefits differs from one organisation to another but generally the VRS employees get: a. 3. etc. Payment for the period yet to be served.to ascertain the candidate’s mind for promotion Exit Interview . The application will be scrutinized by par and the final decision to accept an application rests with the management. So it is better than resignation. The employer weeds out generally inefficient employees or surplus employees. 8. Employee should put in long service (eg. He should be advanced in age (eg. His gratuity for period already served. Terms and Conditions of VRS: 1. TESTS AND INTERVIEWS Tests and interviews are conducted on many occasions for selection for placement . It is also called “golden hand shake scheme”.advising an employee about his specific problems either at the time of joining or any time during the career on important occasions like transfer. Ex-gratia payment towards VRS (for past service) . o o o o 35 . 4. b. The terminal benefits payable under VRS are exempt from Income Tax to a large extent. c. change of station. 20 yrs of service).to ascertain and choose which employee is suitable for a particular training program o counseling . Generally such vacancies are not filled up by promotion or otherwise till business improves.generally another amount equivalent to gratuity. d. Other benefits applicabe.if possible persuade him to stay . The general trend is one month salary for every year of service still left. 7. job rotation. 50 yrs old). Once in a year the employer (Human Resources Manager) will call for application under VRS. 5.- If the organisation wants to reduce manpower for business reasons or for weeding out inefficient employees voluntary retirement scheme (VRS) is introduced. 2.to know why an employee is leaving an organization .
It will precede all other measures of assessing suitability o It can clearly show the distinction between 2 candidates o It acts as an effective screening device .the questions should not be subjective 2) Reliability . effectiveness in communications.all forms of Psychological tests .it should not be favourable to any group/class of individuals . Only interview can measure “will-do” factors (what he is capable of doing further .the test should measure what it aims to measure 3) Validity . Disadvantages o One can’t see the personal impact of candidates which is possible only during interview o Tests measure only “can-do” factors (what the candidate is capable of doing at present).like interpersonal ability measuring tests. etc. 7) Knowledge vs Ability tests Some advanced Psychological Tests: 1)Verbal ability tests 2) Numerical ability tests 3) Abstract reasoning tests 4) Mechanical ability tests 5) Electrical Ability tests 6) Language skills both reading/writing and speaking tests 7) Repetitive skills tests. etc. hearing tests.that is.his future potential) 36 . 2) Paper tests vs Performance tests 3) Achievement tests (what he can achieve at present) vs Aptitude tests (future potential) 4) Speed tests (a large number of questions to be answered speedily) vs Power tests (accuracy is more important in answering a limited number of questions) 5) Individual tests vs Group tests (the tests are administered to a group) 6) Personality tests .the test should have been validated by scientific processes over many different kinds of populations and have been proved to be accurate. Hence subjectivity or favouratism is bound to be less o It is a best way of measuring candidates’ ability or suitability to do the job. Its success depends on three important factors 1) Objectivity .Types of Tests: 1) Trait-measuring tests like music tests. etc. it can serve as one obstacle to reduce and eliminate number of candidates. Advantages of Tests o It is a written record not a visual or oral assessment. Definition of Psychological Testing by Blum and Naylor “is measuring standardized sample of human behaviour”.
(e) make notes ads the candidate as he leaves .o The candidate can fake the tests particularly in objective tests . Types of interviews: 1) Direct interview vs non-direct interview 2) Patterned interview vs non-patterned interview (that is the interview board plans step by step what to ask vs no such planning.it is also the only way to elicit further information about the candidate. the board decides based on each previous answer of the candidate 3) stress interviews (the board puts the candidate through stressful situations to see his grit . perseverance .like group discussion 6) Selection interview 7) Promotion interview 8) Placement 9) Counseling etc. we may get confused at the end of the interview after seeing all candidates Difficulties in Testing & Interviewing 37 . there is no detailed planning. responsibility.that is he can guess what is the aim of the test and feed his answers accordingly Definition of Interview “Richard Kalhoon” An interview does make three contributions 1) it is the only way to see the candidate in action. Disadvantages: 1) Bias 2) Lack of knowledge about the subject or about the job requirements by the Board 3) How to judge a candidate in 5 or 10 minutes? 4) Differing standards and perceptions of interviewers 5) Projection of interviewer’s personality on to the candidate . joining time.a group of officers interview the candidates 5) Group interview .as done in military interview) vs Supportive interview (the board tries to know and find out whatever the candidate knows with a supportive style) 4) Board interviews .that means the interviewer likes a candidate who behaves or thinks like the interviewer 6) Halo effect (because he talks well. his manners and bearing 2) to see how he interacts and responds and 3) the only way to assess “will-do” factors like motivation. the Board thinks he can do well) How the employer should prepare for the interview? Review background of the candidates 2) Determine objectives of the interview and inform all board members 3) Decide on uniform standards 4) Actual conduct of the interview (a) create helpful setting (b) seek personal clarifications and official queries (c) observe both knowledge and behaviour (d) decide on salary. etc.which means a group of candidates is assessed at a time .otherwise.
There are a few conceptual but more practical defects in tests and interviews wrong objectives/wrong tests . If there is vast difference between them.combine them with other factors They measure only sample behaviour . Over a period of years if the organization has not got the 38 .without knowing the relevance malpractice by professionals if a person has done the test already in another organization. They can’t guarantee his performance on the job Tests/interviews are more good at predicting failure than success.can’t be effectively found out by tests/interviews How to make tests/interviews successful? Remember they are only screening devices (see point (i) above) Use them as supplementary tools . of people. then there is something wrong Take balanced/experienced executives on the board Choose correct professionals Take points from para IX and X Analyze the results of past tests/interviews. Out of the suitable candidates who should be selected .keep looking for new clues all the time Take a test which is suitable for the job It should be reliable and should have been validated Decide on standards/scoring The requirements as indicated in the advertisement or press notification should be kept in view Compare test results vs interview results. they can easily locate a unsuitable candidate. That is.choice of defective standards/norms board members may not have uniform standards/ideas some organizations test for prestige sake . it is easy for him next time .particularly the psychological tests the competence of the tester is also a big question All tests/interviews can guarantee the candidate’s performance during test/interview. Did they yield good candidates? Are they continuing with us? Is their performance satisfactory? Should we change the tests/interview methods now? Certain common measuring and techniques and processes:After the selection is over find out whether you got the required no.
another area of audit is the time lag between notification and actual position of the candidates. the audit should focus on further analysis like mistakes in specification/notification. factors at work etc. Three golden rules regarding accidents: 1) Accidents just do not happen. 3) Accidents get caused when you expect them least..) 1) 2) 3) 4) 5) 6) 7) 8) Monotony and repetitive work Fatigue and physical exhaustion Faulty layout Faulty design of machines Defective systems and processes Lack of training Lack of precautions in handling dangerous substances Accident prone situations (like high tension wire openly passing through factory roof) 9) Accident prone workman 10) Absence of safety systems 11) Failure of safety systems Costs of Accidents: 39 . ACCIDENTS AND SAFETY Accident (as per Factories Act) As per ID Act “Any occurrence which causes bodily injury to a person making him unfit to resume duty within 48 hours”. 2) All accidents are preventable.required no. But managerially.further analyze the job specification. They are caused by your mistake. terms and conditions not clear etc.. If the organization has not got the right quality . The time lag should be a few weeks. unsatisfactory salary. In fact it is possible to complete a full normal life without encountering even a single accident. “Any untoward incident which causes impairment (reduction of capacity) to (a) the person (b) the materials (c) the machinery or (d) to the process. of people consistently. There are many areas in which each organization must develop its own standards and measures the effectiveness of their manpower planning.. the organization should analyze the causes and take action. accidents have much larger meaning. others mistakes or system mistakes. Otherwise. the quality of testing and interviewing etc. Causes of accidents: ( Also classify as human factors.
work practices. 4) We continue to keep the workmen who have become less capable due to accident 5) Breakdown in mutual trust between employer – employee – disturbed IR – probably the greatest cost 6) Bad publicity and image loss 7) Unwillingness to take up risky jobs in future 8) Cost of production lost on that date 9) Disturbance in production sequence – production hold up.1) Loss of man-days. safety consciousness and safe habits Build up a safety department Constant training Preventive maintenance – particularly on holidays. etc. Fix responsibility and prevent repetition After each accident. How to reduce accidents? • • • • • • • • • • • • Investigate each accident and find out the cause. Identify hazardous materials and pay special attention Reduce monotony and introduce job variety wherever possible Display do’s and don’ts near all the machines and such other points Standardize material handling systems. explore the systems and correct them Promote safety awareness. The total responsibility is on the employer (he should have disallowed work to such a workman). the workmen will not offer the machine for maintenance Observe safety day or week (3rd November – Bhopal Gas Tragedy) Institute awards and such other financial and non-financial incentives for safe workmen. materials. During working days. MORALE 40 . etc. machines and materials 2) Injury to employee and compensation for the same 3) Financial losses like repairing the machine – compensation under the act. Role of Law: Factories Act Safety officer (1 for every 1000) Under ESI Act and workmen compensation available for disablement the employer cannot say that the workman did not follow safety precautions. 10) Consequential losses like market loss. machines. safe habits. etc. customer loss and loss of face with competitors.
non political etc. it is the bond that the members of a group have towards each other and towards the organization. Non-financial motivators have the effect of achieving great attachment and loyalty from the employees towards the organization. In simple words. Morale Indices: 1) 2) 3) 4) 5) 6) 7) 8) Production and productivity Quality aspects and the extent of rejections and reworks Waste extent Slippages in delivery schedules General level of discipline Absenteeism No. of grievances.refer O. Non-monetary Incentives: Any organization should have a proper blend of financial and nonfinancial motivators. collectively towards all aspects of their work and organization. 12) Labour and managers turnover 13) How the employees speak about the company in public places 14) Public image Some measuring techniques: Study all the above records Analyze counseling reports Study exit interview reports Study the performance appraisal reports Study the reports given during training sessions Attitude surveys by experts and Industrial Espionage (spying) .B. Partially non-financial motivations: 41 . Blum and Naylor: “The set of attitudes that the members of the group hold about a group and the overall organization objectives”. suggestions Court cases by management on workmen and by workmen on management 9) Work stoppages and reasons for them 10) General level of industrial relations 11) Attributes of the union – single union. Notes on how to improve How to improve morale? motivation.It is the concept that describes the level of favourable and unfavourable attitudes of the Human Resources in a group.
homeopathy. safety awards. Promotions Good training opportunities Sponsorships to clubs and premier bodies Opportunities for attending important conferences. performance related awards Recognition for achievements of the employee not related to the organization like stamp collection. functions. etc. Sponsoring tickets for important events Fully non-financial: Oral praise Letters of appreciation – a copy of which would be kept in the personal file Awards like suggestion. public service Citations in the in house journals Recognition during public functions of the organization Giving gifts which are useful to the house Permission for family members to visit the premises Mentioning in public the achievements of the children of employees Bravery awards for outstanding acts of bravery Job rotations and transfers to preferred departments 42 .
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