Human Resource Management

1. Describe HRP process.

Human Resource Planning
E.W. Vetter viewed HRP as “a process by which an organization should move from its current
manpower position to desired manpower position. Though planning management strives to have the
right number and right kind of people at the right place at the right time, doing things which result in
both the organization and the individual receiving maximum long-run benefit.”

HRP is also called as Manpower planning, Personnel planning, Employment planning

Importance of HRP:
The significance of HRP can be assessed by going through the following things.
1. Increase in the size of business:
2. Effective recruitment and selection policy:
3. Effective employee development programmed :
4. Reduction in labor:
5. Efficient work force:
6. Avoiding disruption in production:
7. Good industrial relation:
8. National policy on employment:

Process of human resource planning consists of the following steps:

 Analyzing organizational plans.
 Demand fore casting.
 Supply fore casting.
 Estimating the net human resource requirement.
 In case of future surplus, plan for redeployment, retrenchment and lay-off.
 In case of future deficit, fore cast the future supply of human resources from all sources
with reference to plans of other companies.
 Plan for recruitment, development and internal mobility if future supply is more than or
equal to net HR requirements.
  Plan to modify or adjust the organizational plan if future supply will be adequate with
reference to future net requirements.

Process of Human Resource Planning:

2.Discuss the method of collecting job analysis information.

Job Analysis Methods: Methods of Data Collection for Job Analysis
Job analysis is based on job data. Hence the question: how to collect job related data? A variety of
methods are available for collecting job data.The method that was historically linked to the concept of
job analysis was observation supplemented by the interview.

In recent years, questionnaires, check lists, critical incidents, diaries, personnel records and technical
conference method have also been experimented for collecting job-related data. A brief description of
each method is in order.

Observation:
Under this method, data is collected through observing an employee while at work. The job analyst
on the basis of observation carefully records what the worker does, how he/she does, and how much
time is needed for completion of a given task. This is the most reliable method of seeking first hand
information relating to a job.

This method is suitable for jobs that consist primarily of observable physical ability, short job cycle
activities. The jobs of draftsman, mechanic, spinner or weaver are the examples of such jobs.
However, the flip side of this method is that this method is not suitable for jobs that involve
unobservable mental activities reveal overlaps and grey areas and have not complete job cycle.
That it is time consuming is it’s yet another handicap. Given these, the job analyst needs to be quite
skillful in collecting data about jobs with a high degree of discretion or decision content. Training can
make the job analyst skillful.

Interview:
In this method, the job analyst directly interviews the job holder through a structured interview form
to elicit information about the job. This method is found suitable particularly for jobs wherein direct
observation is not feasible. By way of directly talking to the job holder, the interviewer job analyst
may extract meaningful information from the job holder about his/her job.

However the interview method is both time consuming and costly. Particularly, the professional and
managerial jobs due to their complicated nature of job, require a longer interview’ This may also be a
possibility that bias on the part of the analyst and the job holder i.e., the respondent may cloud the
accuracy and objectivity of the information gathered through interview. Nonetheless, the
effectiveness of the interview method will depend on the ability of both interviewer and respondent in
asking questions and responding them respectively.

The following guidelines, as outlined by Carrol L. Shartle, Otis and Lenhert, may help the interviewer
make his/her interview more effective:

a. Introduce yourself to make the worker know who you are and why you are there.

b. Allay the worker’s fear whatsoever by showing keen interest in both him/her and his/her job.

c. Do not advise the worker how to do the job.

d. Try to talk to the worker in his/her language, to the extent possible.

e. Do not create confusion between the work and the worker.

f. Make a full — fledged job study within the objectives of the programmes; and

g. Verify the job information whatsoever obtained.

Questionnaire:

Questionnaire method of job data collection is desirable especially in the following two situations:

First, where the number of people doing the same job is large and to personally interview them is
difficult and impracticable.

Second, where giving enough time to employees is desirable to enable them to divulge and explore
the special aspects of the jobs.

In this method, the employee is given structured questionnaire to fill in, which are then returned to the
supervisors. The supervisor, after making the required and necessary corrections in the information
contained in the questionnaire, submits the corrected information to the job analyst. Questionnaire
provides comprehensive information about the job.
Information so obtained can be quantified and processed in the computer. The greatest advantage of
the questionnaire method is that it enables the analyst to cover a large number of job holders in the
shortest possible time. However, the method suffers from certain shortcomings as well.

In the absence of direct rapport between the job analyst and the employee, both cooperation and
motivation on the part of the employee tends to be at low level. Often employee due to lack of
training and skill, do not express the job related information in a meaningful and clear fashion. As
such, job related data tends to be inaccurate. Moreover, the method is time-consuming and costly.

Checklists:
The checklist method of job data collection differs from the questionnaire method in the sense that it
contains a few subjective questions in the form of yes or no. The job holder is asked to tick the
questions that are related to his/her job. Checklist can be prepared on the basis of job information
obtained from various sources such as supervisors, industrial engineers, and other people who are
familiar with the particular job.

Once the checklist is prepared, it is then sent, to the job holder to check all the tasks listed in the list
he/she performs. He/she is also asked to mention the amount of time spent on each task by him/her
and the type of training and experience required to do each task. Information contained in checklist is,
then, tabulated to obtain the job-related data.

Like questionnaire method, the checklist method is suitable in the large organisations wherein a large
number of workers are assigned one particular job. Since the method is costly and, therefore, is not
suitable for small organisations.

Critical Incidents:
This method is based on the job holder’s past experiences on the job. They are asked to recapitulate
and describe the past incidents related to their jobs. The incidents so reported by the job holders are,
then, classified into various categories and analysed in detail. Yes, the job analyst requires a high
degree of skill to analyse the incidents appropriately described by the job holders. However, this
method is also time-consuming one.

Diaries or Log Records:

In this method, the job holder is asked to maintain a diary recording in detail the job-related activities
each day. If done judiciously, this method provides accurate and comprehensive information about
the job. This overcomes memory lapses on the part of the job holder. As recording of activities may
spread over several days, the method, thus, becomes time-consuming one.

The disadvantage associated with this method is that it remains incomplete because it does not give
desirable data on supervisor relationship, the equipment used and working conditions prevalent at the
work place.

Technical Conference Method:

In this method, a conference is organised for the supervisors who possess extensive knowledge about
job. They deliberate on various aspects of the job. The job analyst obtains job information from the
discussion held among these experts/supervisors. The method consumes less amount of time.
However, the main drawback of this method is that it lacks accuracy and authenticity as the actual job
holders are not involved in collecting job information.
It is seen from the preceding description that no single method is complete and superior. In fact, none
of the method is to be considered as mutually exclusive. The best data related to a job can be obtained
by a combination of all methods described above.

Before we skip to the next content, a brief mention about the problems faced with job analysis is in
order.

The problems that may crop up while conducting job analysis are:

1. Lack of support from the top management.

2. Relying on one source and method of data collection.

3. Non-trained and non-motivated job holders who are the actual source of job data.

4. Distorted information/data provided by the respondents i.e., the job holders because of non-
preparedness on their part.

3.Explain in detail about Competency-based Pay.

Competency Based Pay
What is Competency-Based Pay?
Competency-based pay is a pay structure that compensates employees on their skill set, their
knowledge, and their experience. Competency-based pay is an alternative to pay based on job title
and position. Competency-based pay is meant to encourage employees to contribute to the company
by improving upon their skills.

What is a Competency-Based Pay Plan?

A competency-based pay plan is a tool used to measure an employee’s skill level, knowledge of their
job, and their past experiences. Employees are then paid based on their merits. It does away with the
normal hierarchical way that business is traditionally done and encourages employees to take charge
of their own work. It motivates them to reach the pay-rate that they desire.

Competency-Based Pay Pros and Cons

Competency-based pay has both its advantages and its disadvantages. Knowing these aspects of
competency-based pay will help you determine if it would be right for your company. The following
are some examples of the different competency-based pay pros and cons.
Pros
 It’s a great motivator for employees. Instead of basing pay on seniority and job level, the
employee is left to achieve as much as they are willing to. If they motivate themselves, an
employee can accomplish amazing things for the company. There is no longer a ceiling or a
limit as to how far they can climb if they just buckle down and do it.
 It will help to reinforce your company’s culture. Competency-based pay encourages a culture
of self-motivation and self-improvement within the company. It will now be a company of
employees who are actively seeking to improve their skills and find new ways to contribute to
the company. Competency-based pay helps to tie your company’s culture directly to the
success of the company.
  It improves transparency within the company. Your company will become more transparent
because they will know what is expected of them and what they are getting with a
competency-based pay system. They will understand what they have to do to improve at their
job and how they can get rewarded for it.
 Employee retention will go up. Employee turnover is costly for a company, and a
competency-based pay plan helps to curb that. When an employee feels that their skills and
knowledge are important to the company, they are more likely to stick around.
Cons
 It’s a subjective pay system. As your company strays away from a traditional pay system
things become more open to interpretation and that opens the door for subjectivity into the
equation. The actions of an employee might not be judged correctly or, worse, overlooked.
 It opens the door for favoritism. Employees may start to see favoritism when one worker gets
rewarded more than another. Employees might think that they are being treated unfairly and
might think their skills are not being recognized by the company.
 It may create an improper measurement system. A system determining what skills are
important to a company or what skills translate to productivity can be tricky and can lead to
errors in the system.
Why Use Competency-Based Pay?
A competency-based pay plan can be a great motivator for an employee and will help them take their
work to the next level. As it does not follow the traditional paying system, competency-based pay is
quite different from how most companies do work. However, it might just be the change that your
employees need to improve their work. One of the best ways to determine if competency-based pay
would work best for your company is by reading over the pros and cons of competency-based pay
listed above. They can help you see the possible outcomes to this system and if you should apply to
your own business.