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Viewed as a generic activity involving the management of other people’s labor in

production, human resource management (HRM) goes back to the dawn of human history.
The generic practice of HRM does not require a formal human resource department or any
specialized personnel staff.

The modern HRM department grew out of two earlier developments.

The first was the emergence of industrial welfare work. Starting in the 1890s, a number of
companies started to provide a variety of workplace and family amenities for their
employees, such as lunch rooms, medical care, recreational programs, libraries, company
magazines, and company-provided housing (Eilbirt 1959; Gospel 1992; Spencer 1984).
Frequently, a new staff position was created to administer these activities, called a ‘welfare
secretary,’ and women or social workers were often appointed. The impetus behind welfare
work was an amalgam of good business, humanitarian concern for employees, and religious
principle. German companies were pioneers in welfare work in the nineteenth century, but
employers in all the industrializing countries participated.

The second antecedent was the creation of some type of separate employment office. These
offices, often staffed by one or several lower-level clerks and supervisors, were created to
centralize and standardize certain employment-related functions, such as hiring, payroll,
and record-keeping. The introduction of civil service laws in several countries also led to
the creation of employment departments in various levels of government. A stand-alone
employment oYce reportedly existed in large European companies as far back as the 1890s.
Farnham (1921) 20 bruce kaufman reports, for example, that the German steel company
Krupp had a long-established Personnelbu¨ro to handle staff administration, while the
French steel Wrm Le Creusot had a similar Bureau de Personnel Ouvrier. The earliest
employment department in America is reported to have been established at the B. F.
Goodrich Co. in 1906 (Eilbirt 1959). The movement to create a separate employment
department in American Wrms started to coalesce in 1912 with the formation of the Boston
Employment Managers Association. Quickly the term ‘employment management’ became
the accepted descriptor for this new management function and in 1916 it had spread widely
enough to support the creation of a nationwide Employment Managers Association.

The First World War had a great impact on the development of the HRM function
throughout the industrial world (Eilbirt 1959; Kaufman 2004a). The major combatants
sought to harness their economies to maximum war production, greatly stimulating the
pressures to rationalize management and achieve higher productivity.
The rise of the employment management function is tightly linked with another seminal
development—the emergence of the doctrine and practice of scientific management (SM).

The engineers sought to use principles of science to increase the efficiency of business
production systems. Inevitably they were led to consider the ‘people’ side of production,
including methods of employee selection, job assignment, supervision, work pace, and


After the prospective employer studies the job description, application and resume, should
the information convince employer that the applicant has the ability to perform the job
he/she is applying for (in comparison with other candidates), then an interview is scheduled.

If the information does not convince that the individual is qualified to perform the job,
then an interview will not be scheduled.


The 6 most popular different approaches to conducting hiring interviews are as follows:


Those employers who want to ensure that they cover every important area and obtain all
key information prefer it. One advantage of this method is that it allows you to easily
compare candidates since all have been asked the same basic questions.

However, the guide does tend to deprive the interview of spontaneity and makes all
interviews similar. Sometimes interviewers become so anxious to ask the next question on
the form that they do not follow through on answers to previous questions and thereby fail
to obtain valuable information.

Sometimes interviews will become flexible and not necessarily ask every question on the
form. This is a very popular type of interview.


In this kind of interview, a lower ranking person in the company first of all screens the
applicants. If considered worthy for further consideration, they are passed on to the next
highest ranking person who interviews them and decides to pass them on or to hire them.

This method or procedure eliminates unqualified people before they take a senior manager's

The Personnel/Human Resource department screens out the obvious unqualified candidates
according to specific guidelines. All candidates who meet basic qualifications are
shortlisted and interviewed by at least two other representatives. These two may be Human
Resource specialists, the departmental head or members of the department that has the job
opening. No one interviewer can reject anyone. Each interviewer completes a summary
sheet for each applicant. When all interviews are done, the interviewers meet, compare
summary sheets and decide which candidates to present to the departmental manager for the
final decision.

The greatest limitation of this procedure is that it is time consuming, expensive and difficult
to schedule (depends on the availability of those designated to interview) once you realize
the interview is of this type, one needs to be patient for the results.


Instead of having each company representative interview an applicant separately, a group of

managers will interview you at the same time. This will be conducted as a conference with
one of the panelists acting as a chairman. After developing rapport, the panelists ask
questions. They follow no pattern, questions are unplanned and spontaneous. Follow up
enquiries may come from different panel members.

After interview, the panel will discuss the candidates and decide to hire or not to hire or
even delay its decision until it has seen other applicants. This kind of interview minimizes
the time managers will take from regular duties and allows interviewers to base comments
and comparisons on a uniform experience. Watch out not to be intimidated by panel
interviews. It is important as an applicant to expect that it will be a panel interview and
possibly be informed in advance who will sit on the panel.

However, this method is not usually used for first interview, but is most likely to be used
from the second interview onwards.


Psychometric testing describes arrange of exercises used by employers to gauge an

individual's aptitude or personality. Used correctly, the test gives an additional insight into
candidates and will verify points coming out of interview. Psychometric tests usually form
part of an overall selection process, whether at an assessment centre, or beforehand at the
interview stage.
Psychometric Testing - Ability Tests.

Ability test measure one or more of the following skills: numerical, verbal reasoning,
spatial awareness and diagrammatical reasoning. The tests used depend on the type of role
for which you are being assessed. You might do better in some types of tests than in others.

Verbal and numerical tests are used to select graduates for a wide range of jobs, including
most business and management functions.

Diagrammatic tests are used mainly for computing/IT jobs. Most tests are timed and are
designed so that you will be unlikely both to complete them and to get everything right. If
you are unable to finish majority of the test it will be difficult to achieve a high score.
Getting the balance right between speed and accuracy is important. The best advice is to
work as quickly and accurately as possible and avoid guessing just in case negative marking
is used (i.e. the number of incorrect answers is deducted from the number of correct ones, to
give a net score.)

Tests are generally bought from specialist companies; the recruiter then decides what the
pass score will be depending on the demands of the job. You could theoretically sit exactly
the same answers yet pass one and fail the other because they set different pass marks.

Psychometric Testing - Personality Tests.

Employers sometimes use personality tests to assess if you have the personal qualities for
the job. Different roles require different attributes. You could answer questionnaires of this
type in exactly the same way for different employers and be acceptable to one and not
another. Sometimes you are given a series of statements and asked to mark the one that is
most (M) like you and the one least (L) like you. The thing to remember is not to try to
anticipate the employer's requirements.

There are built-in checks to ensure your answers are consistent. Answers honestly; there are
no right or wrong answers.
I don't feel that time is wasted on planning.
I feel uneasy in the company of unconventional people.
If I'm annoyed with someone I don't show it.

How Psychometric Tests are used in selection procedure.

The part that tests play in getting you the job will vary greatly. For some employers, test
scores have major significance; others look at candidates' test scores alongside other
evidence. Some employers may use tests to 'cream off' high-scoring applicants but for many
other it may be enough for your scores to fall within, or slightly below the average group.

The earlier in the selection procedure you are asked to sit a test, the more influential it will
be to your eventual selection. It is important to begging tests in the best possible frame of
mind. If you do not feel well on the day of a testing session, try to rearrange it. If there is
any factor that may affect your performance (e.g. a disability or if English is not your first
language) inform testers in advance so that this can be taken into account.


Essentially, an Assessment Centre is a place where a number of candidates are brought

together by an employer for assessment. It could be an employer's premises or hired
premises outside the work enviroment.

The range of assessment is detailed later but importantly, for the employer, it gives them a
chance to see how a candidate performs not only individual but with other people.
Typically, they take place after:

• Review of an application Form or CV.

• Some form of initial assessment.

The initial assessment is usually an interview (either face to face or on the phone) or, less
commonly, a Psychometric Test. Assessment centers can last a few hours or up to two days,
detailed below are all the components that make up a centre. Usually, they will not include
everything we mention.

You will either be sent a program of events before you attend or will receive one when you

What to wear to the Assessment Centre

Unless told, specifically otherwise, dress as you would if you were attending an interview.
Obviously, if you have an overnight stay you would take a change of shirt, etc. Some
organizations such as emergency services and armed forces, will have physical exercise and
will tell you what to bring, ensure you read your joining instructions carefully.

Travelling Expenses
The payment of travel expenses is normally mentioned before the event. If it isn't, then it is
perfectly acceptable to make enquiries. If expenses aren't covered (for assessment centres
they usually are) then you will have to make a decision on whether you want/can afford to
go ahead.

Unsafe condition on the part of employee- improper equipment
Hazardous work
Inadequate safety
Lack of ventilation

Unsafe Act:
Personal protective equipment
No fence
Moving dangerous equipment

Other causes:
Bad working condition
Dominant supervisors
Carelessness in operating machines
Young persons
Night shift
Addicted to alcoholism and drug
Work under stress
Insecure job

Situation factor

Personnel Selection- Psychological

Alcoholic and drug addict

Safety training – new machines

Environmental factors – overcrowding faulty arrange
Involving employees in safety
Willful participation
Safety committee
Safety campaign
Safety habits
Motivating safety behavior


‘Freedom from risk or danger

Individual health
Prevention of accidents
Mechanism devices

-Depends upon the nature and size of company

Safety Programs:

Employer and employee – inadequate supervision (fault in mgt systems) – poor training/

Effective safety programme is to provide effective safety facility

Continuous supervisor should be appointed (safety policy of organization should be
determined by top management who must be continuouisly involved in monitoring safety

Management and supervision must be made fully accountable for safety performance

Management and supervision must be made fully accountable for safety performance

All employers should be given through training in safe methods

Appraisal of employee in attitude in safety program

Safety education and training safety consciousness build up favorable attitude.

To ensure safe work performance for each employee.

Safety officer and his role:

Formulate safety procedure, safety policy, safety requirements and standards of the

Promote schemes to guarantee observance of legal requirements

To act as chairman/ secretary or in any other capacity on the works safety committee
Promote formation of such committee where they don’t exist

To administer safety education, training, publicity at various levels of companies operation

To investigate causes of industrial injuries and circumstances leading to accidents

To act in liaison with governmental and non governmental agencies

To co-ordinate safety efforts of the company in every possible way.

To assess critically safety performance of the organization and if necessary conduct safety
training programs and feedback sessions

To perform the job of a sales man of safety to the top executives and as a technician
planner, organizer and stimulates to safety.

Strategic Planning & HR management

Strategy is a company’s plan for how it will balance its internal strengths and weaknesses.
With external opportunities & threats in order to gain and sustain a competitive advantage.

Strategic management involves the following process

• Defining the company’s vision, mission & purpose

• Identifying the company’s internal strengths & weaknesses
• Analyzing the opportunities & threats existing in the external environment
• Formulating strategies that will match strengths and weaknesses with the opportunities &
• Implementing the strategies
• Evaluation & control to measure achievement
• Strategic HRM- integration of HRM with strategic goals & corporate strategy ,
• So as to improve business performance & achieve organizational goals
• The HR function is accepted as strategic business partner - in formation &
implementation of the company strategies through planned HR activities
• Strategic HRM is based on the belief that Human resources are uniquely important to
sustained business success.

• The aim of strategic HRM is to ensure that the culture, style & structure of the
organization, quality commitment & motivation of employees contribute fully to the
achievement of objectives
• Traditionally HRM is viewed as a staff or advisory function and strictly operational
• HR’s were managed by the specialists with the countries laws and the company’s rules
and regulations
• Strategic HRM – managing HR is mostly by line managers , HR policies, practices &
activities are aligned with the objectives & strategies of the organization.
• HR encompasses all those activities affecting the behaviour of individuals in their efforts
to implement strategic needs of the business.

Role of strategic HRM

• A highly quality & dedicated workforce enables the organization to compete on the basis
of market responsiveness, product & service quality & technological innovation
• In any business strategy, people are more crucial than plans
• HR is equal in both formulation and implementation

HRM’s Role in strategy formulation and implementation

• A company’s overall strategic plan is formulated by identifying, analyzing and balancing

its external opportunities and threats with its internal strengths and weaknesses
• HRM participates in strategy formulation process by supplying information – strength &
• The unique human resource capabilities serve as a driving force in strategy formulation
• An excellent strategy will fail to achieve business goals in the absence of competent and
motivated workforce
• The following diagram shows the link between HRM and Performance

HRM in IT sectors

• Changes in technology have altered employment and occupational patterns

• IT-Major implications on HRM, jobs and organizational structures will have to be
• Firms or organizations need to be more competitive
• IT- requires more quality staff – technology and skill become obsolete fast
• Need continuous updating of knowledge and skill
• Hiring, developing and retaining HR’s is more crucial in IT
• Companies face skilled labor crunch
• Developing talent
• HR in infosys –everyone who works at the company are called ‘OUR PEOPLE’
Changing nature of work

• India and china – outsourcing hub for the developed world.

• Major shift from manual automotive
• Knowledge work
• As the organization is becoming increasingly knowledge based, new human resource
practices and policies are needed.
• Knowledge employees need autonomy, challenging job, immediate feedback and rewards
• Workplace romances and affairs
• WORKFORCE DIVERSITY: age, gender, education, language values organizations
become heterogeneous.
• Various attitudes, motives and other personal characteristics

• More women joining the workforce

• Employees prefer less secure but high paying jobs in multinationals and other private
sector concerns
• Mobility of employees – technology revolution, better transport facility
• Employees are now aware of their rights in the workplace impact of diversity
• Diversity as a competitive advantage/ conflict is a great challenge for HR
• Women workforce is a challenge, flexible work schedule, child care facility, maternity
leave, transfer to husbands place of posting
• Aging workforce- better healthcare facility
• Remove sex discrimination
• Changing values of youth -loyalty – challenge to retain
• Centralized to decentralized

Tomorrow’s HR Today

Expectations on HR professionals are soaring

- Transactional role to transformational role
- Need to play the role of change agent
Cultural adaptation
• Initiatives- implementing new program, projector, procedures, strategic planning
• Process- first identify core processes – improve through work simplification - value
added assessments
• Cultural changes – Identity of the firm is transformed both for employees & customers
• Designations Gen Y feels that why only the fancy titles be limited to grey haired
• E.g.: mentors, gardeners, chief fun officers, chief servants and the like are becoming
fashionable with the senior management.
• ‘Cool designer’, ‘Imaginer’, ‘Quality missionary’