Bharatesh EDUCATION

Trust’S
(GLOBAL BUSINESS SCHOOL,belgaum)

ASSIGNMENT -
Subject:- Human Resources Management

SUBMITTED TO :=

PROF .sadaf s.
Date: 05-04-2011

SUBMITTED BY:-

Mr pratap m.majukar (Roll no.31)

Mr Asimamed kashanatti (Roll no.7)

MBA 2nd semester

MODULE-1 HRM (CHART)

S NO CONCEPT DEFINITION EXAMPLE KEY WORD

01 HR It is defined as the total Employees of the Total knowledge,
 knowledge, skills, creative company. skills, creative
ability, talents and aptitude ability, talents and
of an organizations work aptitude.
force.
02 HRM It is a skilfully employing HR Department of Employing,
people developing their a company ( they compensation,
resources utilising maintain the contribution to the
maintaining compensating employees of that goals of the
there services in tune with company) organization.
their job organizational
requirements with a view to
contribute to the goals of the
organization individual and
the society.
03 HRD According to Leonard HR developing Learning
Nadler HRD as “those department of experiences
learning experiences which TATA (which specific time and
are organised for a specific changes skills and behavioural
time and designed to bring ability of the changes.
about the possibility of employees
behavioural change”. according to the
requirement)
04 HRM “A set of proposals and One of the personal Proposals and
Policies actions that act as a objectives of actions, dealings
reference point for managers government is to with employees.
in their dealings with provide equal
employees”. employment
opportunities to the
people of minority
sections.
05 HRM A procedure is a well A student is Course of action
Procedures thought out course of action. required to specific manner
It prescribes the specific complete several And ‘Action
manner in which a piece of itemised steps in Guidelines’
work is to be done. order to register
Procedures are called him or herself for
‘Action Guidelines’. courses in a
University.
 Introduction to Human Resources Management

Information technology (IT)- A wonderful creation of man brought shifts in

our day to day life. Indian software professionals made significant strides in
the information technology industry of USA.

The answer to this question centered around the following areas:

 Getting the people who can make an organization.

 Enabling those people to acquired capabilities to make a successful
organization.
 Motivating those people to contribute their resourses continuosly for
running the organization successfully.

Meaning and definition of HRM

The total knowledge, skill, creative abilities, talents and aptitudes of an
organization’s workforce, as well as the value, attitudes and beliefs of the
individuals involved.

Definition of HRM

The field of management which has to do with planning, organising, directing

and controlling the functions of procuring, developing, maintaining and utilising
a labour force so that the organizational, social and individual goals are met.

Difference between personnel management and human resources

management.

Personnel management Human resources


1.Management of people employed
2.Employees are treated as economic
man & services are exchanged for
salary, wages
3.Employees are treated as cost centre. 3. Employees are treated as profit
4. Employees are mostly used for
organizational benefit.
5. Personnel mgmt is treated as
auxiliary function.
6. Actions are based on procedures.
7. Mgmt tasks are monitoring.
8. Decision is slow.
9. Communication is indirect.
10. Pay is based on job evaluation.
11. Mgmt role is transactional.
12. Job categories are many.
Features of Human Resources management
management
1.Management of employees’ ASK,
aptitude, creativity etc.
2.Employees are treated as economic
man & services are exchanged for
salary, wages
centres
4. Employees are utilized for multiple
benefits.
5. HRM is treated as strategic
function.
6. Action is based on business needs.
7. Tasks are nurturing.
8. Facilitates speedy decisions.
9. Communication is direct.
10.Pay is based on performance
evaluation.
11. Role is transformational
leadership.
12. Job categories & grades are few.
  HRM is concerned with employees both as individuals and as a group in
attaining goal concerned with behaviour emotional and social aspects of
personnel.
 Its concerned with the development of human resources i.e. knowledge,
capability, skills,potentialities and attaining and achieving employee
goals, including job satisfaction .
 It applies to the employee in all type of organisation in the
world(industry,trade
,service,commerce,economic,social,religious,political and govt.
Deparment) thus it is common in all types of organisations.
 HRM is a continuous and never ending process.
 It aim at attaining goals of organisation, individual and society in an
integrated approach.
 Organisational goals may be several growth and development in
additional to the profitability, productivity,innovation ,excellence etc.

Functions of HRM

The function of HRM can be broadly classified into two categories, viz....

I. Managerial function:-
1) Planning
It is a pre-determined courses of action planning pertains to formulating
strategies of personnel programmes and changes in advance that will
contribute to the organisational goal.
2) Organising
An organisation is a means to an end it is essential to carry out the
determined course of action. In the words of J.C massie an organisation is
a “structure and a process by which a co-operative group of human being
allocates its among the its members,and relationships and activities
towards a common objective.
3) Directing :
The next logical function after completing and organising is the executive
Of the plan the basic function of personnel management at any level is
motivating commanding leading and activating people.
4) Controlling :
 After planning organising and directing various activities of personnel
management the performance is to be verified in order to know that the
personnel functions are performed in conformity with the plan of an
organisation.

II. Operative function:-

The operative functions of human resources management are related to specific

activities of personnel management viz....

finance marketing materials

technology HRM information

Production

1) Employment:
It is the first operative function of HRM its a concerned with securing and
employment the people possessing the required kind and level of human
resources necessary to the achieve the organisational objective it covers
such as job analysis human resources planning required placement
internal mobility.
I. Job analysis
II. Human resources planning
III. Recruitment
IV. Selection
V. Placement
VI. Induction and orientation
2) Human resources development:
It is the process of improving moulding and the changing the skill
knowledge creative ability attitude values commitment etc based on
present and future job and organisational reruirement.
I. Performance appraisal
II. Training
III. Management development
IV. Career planning and development
V. Internal mobility
VI. Transfer
VII. Promotion
VIII. Demotion
IX. Change and organisation development

3) Compensation :
It is the process of providing adequate equitable and fair remuneration to
the employee. Its include job evaluation wage and salary administration
And bonus security measures etc..
I. Job evaluation
II. Wage and salary administration
III. Incentive
IV. Bonus
V. Fringe benefits
VI. Social security measures

4) Human relations:
Practicing various human resources policies and the programmes like
employment development and the compensation and the inter action
among employee create a sense of relation between the individual
worker and the management .

5) Industrial relations:
Its refers to the study of relations among employees employer
government and trade unions industrial relations include....
 Indian labour market
 Trade unionism
  Collective bargaining
 Industrial conflicts
 Workers participation in management and
 Quality circles

6) Recent trends in HRM:

HRM has been advancing at the fast rate the recent trends in HRM
include:
 Quality of worklife
 Total quality in human resources
 HR accounting audit and research and
 Recent techniques of HRM

Nature of human resources management

People in any organisation manifest themselves not only through

individual selections interaction when individual come their workplace
they come with not only through group interaction.
I. Complex dynamism
 Physiological
 Psychological
 Sociological and
 Ethical beings
II. A social system
III. A challenging task

Scope of human resources management

The scope of human resources management in the modern days in vast....

the scope of HRM was limited to employment and the maintenance of
and payment wage and salary.

The following of scope human resources management include....

 Objective of HRM
 Organisation of HRM
 Strategic of HRM
  Employment
 Development
 Wage and salary development
 Maintenance
 Motivation
 Industrial relations
 Participative management and
 Recent development in HRM.

Objectives of HRM

 SOCIETIAL OBJECTIVES

 ORGANIZATIONAL OBJECTIVES

 FUNCTIONAL OBJECTIVES

 PERSONAL OBJECTIVES

1) To create and utilise an able and motivated workforce

2) To establish and maintain sound organisational structure and desirable

working relationships

3) To secure the integration of individuals and groups with the organisation

4) To create facilities and opportunities for individual or group development

5) To attain effective utilisation of human resources

6) To identify and satisfy individual and group needs

Definition of HRM policy

A policy is a plan of action Brewster and richbell defined HRM policies
as “a set of proposal and action that act as a point for management their
dealings with employees”.” personnel policies policies contribute guides
to action . they furnish the general standards .
 HRM Policies

 Need for Policies:

 Minimises favouritism

 Sets standards for performances

 Creates loyalty / enthusiasm

 Promotes stability

 Basic needs of Organisation & employees are taken into account

 Resolves conflicts

Characteristics of HRM policies:

 Related to objectives

 Easy to understand

 Precise

 Stable as well as Flexible

 Based on facts

 Appropriate number

 Just, fair & equitable

 Reasonable. Review

Advantages of HRM policies

 Facilitates delegation

 Increases independence in decision making

 Better control without friction & conflict

  Serves as standard for efficiency

 Creates confidence

 Speedy Decisions

 Acts as a coordinating device

Coverage of HRM policies

a) Social responsibility
b) Employment policies
c) Promotion policies
d) Development policies
e) Relations policies

Role of human resources management:

Human resources management plays the most crucial role in the

management of an organisation human resources play crucial role in the
conversion process of inputs into outputs. Product design quality
maintenance .the role of HR at TCS is present as following.......

Performance discussions and

Allocation to projects
performance management all
(domestic/overseas)
center

Recruitment The centre manager Training

(technical/behavioral

Career
development
Line and staff responsibility role of personnel manager and HR
manager:
The relationship which are managers in an organization deal with one an
are broadly classified in to two categories viz…..line and staff are often in
used way that are loose and unclear.

I. Line relationship:
The relationship existing between two manager due to delegation
of authority and responsibility and giving or receiving instruction
are order called line relationship.

II. Staff relations:

The staff concept is probably as old as organization it self. It is
virtually impossible by busy line management to perform all their
function and concentrate on all activities including management of
the people in their respective department.

The line and staff relationship of HRM:

I. Human resources management is a line responsibility

II. Line needs assistance in managing men
III. Human resources management is a staff function

The line and staff relationship in an organization:

 Managing director

general manager

------------------------------------------------------------------
Manager finance
Manager production Manager research & MANAGER
development HRM

Deputy manager R&D Deputy

Deputy manager Deputy manager
HRM
production
finance

Officers
officers officers
officers

assistants
assistants assistants
workforce

Qualification and qualities of HR managers

1) Personal attributes
2) Educational skills
3) Discriminating skills
4) Executing skills

Evaluation and development of HRM

The history of development of HR management in india is comparatively
of recent origin. But kautilya had dealt with some of the important
 aspects of human resources management in his arthasastra 400 BC
government in those days adopted only since independence.

Role of Personnel Manager

Personnel Role

a) Advisory

b) Manpower Planning

c) Training & Development

d) Measurement & assessment of individual and group behavior.

Importance of human resources management

Human resources plays a crucial role in the development process of
modern economics. Author lewis observed “thera are great differences in
development between countries which seem to have roughly equal
resources so it is necessary.
 Human resources in the nation’s well being
 Man vis-à-vis machine
 Personnel management and general management
 HR system is a central sub- system
 Social significance
 Professional significance
 Significance for individual enterprise

SR. No Concept Definition Example Keywords

1 Human Resource The Process Analyzing an
 Planning for Identifying organization’s
an HR needs,
organization’s development
current and and
future human implementation.
resource
requirements,
developing
and
implementing
plans.
2 Objectives of HRP Optimum
Utilization,
control cost,
motivation
3 Benefits/Importance
of HRP
4 Man Power Job analysis,job
Estimation description, job
specification

5 Recruitment
6 Selection, placement
& induction
7 Types of tests
8 Types of interview
9 Retirement/separation
Human Resource Planning:

It is the systematic & continuous process of analyzing an organization’s human

resource needs under changing and integrating this analysis with the
development of personnel policies appropriate to meet these needs.

Objectives of HRP:

i. To ensure optimum use of human resources currently employed.

ii. To avoid balances in distribution & allocation of human resources.
 iii. To assess or forecast future skill requirements of organizations over all
objectives.
iv. To provide control measure to ensure availability of necessary resources
when required.
v. To control cost aspect of human resources.
vi. Personnel Motivation.
vii. Meeting personnel requirement.
viii. Recruit and retain the HR of Required quantity and quality.
ix. To make best use of HR.
x. To access the surplus (profit) or shortage of HR and take measures
accordingly.

Benefits of HRP:

SR. No For Employees For Organization

1 Competitive pay and Right Structure and

benefits people

2 Training, growth and Developed HR

development

3 Reduced redundancy Improved morale

4 Continuity of job Productivity gains

5 Job Satisfaction Improved Customer

Satisfaction

6 Friendly work culture Retention of employees,

lowering hiring costs

HRP PROCESS:

Human Resource Planning

Forecasting Human Resource Comparing requirement Forecasting

Requirements And availability Human

Availability

Demand =supply Surplus of workers Shortage of workers

No Action Restricted hiring, Recruitment

Reduced hours, early retirement,

layoff, downsizing Selection

STEPS in HRP:

i. Analyzing organizational plans

ii. Demand Forecasting: Forecasting the overall Human resource
requirements in accordance with the organization plan.
iii. Supply forecasting: obtaining the data and information about the
present inventory of HR and forecast the future changes in HR
inventory.
iv. Estimating the net human resource requirements.
v. In case of future surplus, plan for redeployment, retrenchment and lay
off.
vi. In case of future deficit, forecast the future supply of HR from all
sources with reference to plans of other companies.
vii. Plan for recruitment, development and internal mobility if future
supply is more than or equal to the net HR requirements.
viii. Plan to modify or adjust the organization plan if future supply will be
inadequate with reference to future net requirement.

Man Power Estimation:

Job Analysis: Systematic Process of determining the skills, duties, and

knowledge required for performing jobs in an organization.

Determines type of person needed to fill each job through

a) Observation
b) Interviews
c) Structured questionnaire
d) Technical conference
e) Employer log: details (skills required) provide a basis for job
description and job specification.

Job Analysis: A basic Human Resource Management Tool :

Tasks Responsibilities Duties

Job Description Human resource

Planning.

Job Analysis Recruitment.

 Job Specification selection.

Training and
development.

Safety and health.

Knowledge Skills Abilities Legal considerations.

Job analysis for teams.

Performance Appraisal.

Compensation and
benefits.

Uses of Job Analysis:

i. Determine relative worth of jobs.

ii. Ensure companies do not violate equal pay for equal work.
iii. Aid supervisor and employee in defining duties and responsibilities of
each employee.
iv. Provide justification for existence of the job and where it fits into the rest
of the organization.
v. Determine recruitment needs and information necessary for employment
decisions.
vi. Serve as the basis for establishing career development programs/paths.
vii. Serve to convey to potential job application what will be expected.

Job Description:

A statement of what a job holder does, how it is done and why it is done-covers
job content, environment and conditions of employment.

Roles and responsibilities

A job description may include relationships with other people in the
organization: Supervisory level, managerial requirements, and relationships
with other colleagues.
Goals
A job description need not be limited to explaining the current situation, or
work that is currently expected; it may also set out goals for what might be
achieved in future.
Limitations

Prescriptive job descriptions may be seen as a hindrance in certain

circumstances.

 Job descriptions may not be suitable for some senior managers as they
should have the freedom to take the initiative and find fruitful new
directions.
 Job descriptions may be too inflexible in a rapidly-changing organization,
for instance in an area subject to rapid technological change.
 Other changes in job content may lead to the job description being out of
date.
 The process that an organization uses to create job descriptions may not
be optimal.

Job Specification:

A statement of minimum acceptable qualifications needed to perform a job

successfully. It is also referred to as person specification.

Job Specification Information:

The first step in the program of job specification is to prepare a list of all jobs in
the company and where they are located. The second step is to secure and write
up information about each of the jobs in a company. Usually, this information
includes:

1. Physical specifications
2. Mental specifications,
3. Emotional and social specifications
4. Behavioral specifications.
 RECRUITMENT:
Definition: process of identifying and hiring best qualified candidate from
within or outside of an organization for a job vacancy in a most timely and cost
effective manner.

Objectives:
i. Attract People with multi dimensional skills and experience that suit the
organization present and future organization strategies.
ii. To Induct outsiders with a new perspective to lead the company.
iii. To infuse flesh blood at all levels of the organization.
iv. To develop an organizational culture that attracts competent people to the
company.
v. To search or head pouch people whose skills fit the company’s values.
vi. To devise methodologies for assessing psychological traits.
vii. To seek out non conventional development of talents.
viii. To search for talent globally and not just within the company.
ix. To design entry pay that competes on quality but not on quantum.
x. To anticipate and find people for position that do not exists yet.

Subsystems of recruitment:

i. Finding out and developing the sources where the required number and
kind of employees are or will be.
ii. Developing suitable techniques to attract the desirable candidates.
iii. Employing the techniques to attract candidates.
iv. Stimulating as many candidates as possible.

Factors Affecting Recruitment:

a) Internal Factors:
b) External factors
a) Internal Factors:
i. Employer’s brand
ii. Company’s pay package
iii. Organization culture
iv. Career planning and growth
v. Company’s size
 vi. Company’s operations.
vii. Company’s growth rate
viii. Cost of recruitment
ix. Company name and fame
b) External factors:
i. Socio economic factors.
ii. Supply and demand factors.
iii. Employment rate
iv. Labour market condition
v. Political legal and government.
vi. Information system.

Recruitment sources:
Internal sources:
i. Transfers
ii. Promotions
iii. Upgrading
iv. Demotion
v. Retired employees
vi. Dependents and relatives deceased employees.

External Sources:
i. Press advertisements
ii. Educational institutes
iii. Placement agencies/outsourcing
iv. Employment exchanges
v. Labour contractors
vi. Unsolicited applicant.
vii. Employee referrals
viii. Recruitment at factory gate.

Recruitment techniques:
Recruitment techniques are the means or media by which management
contacts prospective employees or provide necessary information or
exchange of ideas or stimulates them to apply for job.
 Management uses different types of techniques to stimulate internal and
external candidates
Those techniques are;
i. Promotions
ii. Transfers
iii. External candidates
iv. Present employees
v. Advertising
vi. Create employment brand.

Advertising
 A classic employment recruitment technique is the "help wanted"
advertisement in your local newspaper. While you can still utilize this form of
recruitment, an online ad can be more cost-effective and reach a broader
audience. Ads placed on job websites or on your business website can draw
potential employees from a wider geographic area. For targeted recruitment,
you can place ads on industry specific job boards.
Career Fairs
 For entry-level jobs, career fairs can help you recruit recent graduates and
individuals who want to change careers. Some colleges and universities sponsor
on-campus career fairs that can help you recruit well-educated employees for
your business. Job fairs also provide an easy way to collect resumes to help fill
future vacancies.

Database
Maintain a database or filing system for potential employees based on resumes
collected at career fairs, from your website or from manual submissions. When
looking to fill a vacancy, review your file of resumes for potential applicants
and send queries to possible candidates. This recruitment method can help fill
vacancies faster at a lower overall cost than starting a fresh recruiting effort.
Employment Agencies
 If you are searching for employees with specific skills, you may want to
work with a recruiting agency that screens and potentially tests applicants based
on the skills you require. While the initial cost of utilizing an employment
agency may be high, the long-term reward of a well-placed, highly capable
employee can be greater than the initial recruitment cost.
Internal Recruiting
 Internal recruiting is an effective method of filling vacancies. Existing
employees have an established track record that can be matched to a current
vacancy. Even if the employee needs some additional training to fulfill all the
position requirements, companies gain valuable employee relation benefits by
hiring from within. Promoted employees may demand lower compensation than
those hired from external sources; in addition, you decrease turnover by
providing advancement opportunities.
Employee Referrals
 Your existing employees can be a great source of providing recruitment
referrals. They may know of a good match for a vacancy that would not respond
to more traditional recruitment methods. Many potential employees are working
for other companies and are not actively looking for employment, but may be
enticed to change employment for the right opportunity. You should encourage
employee referrals by providing bonuses for all new hires employed based on a
referral.
Centralized and Decentralized Recruitment:
Centralized: all function of recruitment is performed at central office.
Decentralized: recruitment function is divided unit/zonal level etc.
Some organizations like commercial banks resort centralized recruitment,
whereas Indian railways resort decentralized recruitment.

Merits And Demerits:

i. Average cost of recruitment per candidate should be less.
ii. More expertise.
iii. Ensures uniformity among HR of various zones.

Advantages of Centralised Structure Advantages of Decentralised

For Organisations Structure For Organisations

 Senior managers enjoy greater  Senior managers have time to

control over the organisation. concentrate on the most
important decisions (as the other
decisions can be undertaken by
other people down the
 organisation structure.

 The use of standardised  Decision making is a form of

procedures can results in cost empowerment. Empowerment
savings. can increase motivation and
therefore mean that staff output
increases.

 Decisions can be made to  People lower down the chain

benefit the organisations as a
whole. Whereas a decision made
by a department manager may
benefit their department, but
disadvantage other departments.
have a greater understanding of
the environment they work in
and the people (customers and
colleagues) that they interact
with.  This knowledge skills and
experience may enable them to
make more effective decisions
than senior managers.

 The organisation can benefit  Empowerment will enable

from the decision making of
experienced senior managers.
departments and their employees
to respond faster to changes and
new challenges. Whereas it may
take senior managers longer to
appreciate that business needs
have changed.

 In uncertain times the  Empowerment makes it easier

organisation will need strong for people to accept and make a
leadership and pull in the same success of more responsibility.
direction. It is believed that
strong leadership is often best
given from above.

Recruitment Process:

The recruitment and selection is the major function of the human resource
department and recruitment process is the first step towards creating the
competitive strength and the recruitment strategic advantage for the
organizations. Recruitment process involves a systematic procedure from
sourcing the candidates to arranging and conducting the interviews and requires
many resources and time. A general recruitment process is as follows:

Identifying the vacancy: 

The recruitment process begins with the human resource department receiving
requisitions for recruitment from any department of the company. These
contain:

 Preparing the job description and person specification.

 Locating and developing the sources of required number and type of

employees (Advertising etc).

 Short-listing and identifying the prospective employee with required

characteristics.

 Arranging the interviews with the selected candidates.

 Conducting the interview and decision making

1. Identify vacancy

2. Prepare job description and person specification

3. Advertising the vacancy

4. Managing the response

5. Short-listing

6. Arrange interviews

7. Conducting interview and decision making

 The recruitment process is immediately followed by the selection
process i.e. the final interviews and the decision making, conveying the
decision and the appointment formalities. 

Cost Benefit analysis of recruitment:

• Many aspects of recruiting can be evaluated- the effectiveness of

recruiters- organization sets goals to recruiting by types of employees.
For ex-a goal to a recruiter may be to hire 350 unskilled and semi skilled
employees, or 100 techs, or 100 machinists or 100 managers per year.
Then the organization decides who the best recruiters are. They may be
those who meet or exceed quotas and those whose recruits who stay with
the organization and are evaluated well by their superiors.

Sources of recruits can also be evaluated. For ex in a college campus

recruiting the organization can divide the number of job acceptances by
the number of campus interviews to compute the cost per hire at each
college

• The methods of recruiting that are used by a company can be evaluated

along various dimensions.
• In addition the organization can calculate the cost of each method(like
advertising) and divide it by the benefits it yields(acceptance of offers).
• The organization can also examine how much accurate job information
was provided during the recruitment process

Selection, Placement and induction:

Selection: Choosing the most appropriate candidates and offering them jobs.

Selection: Selection is the process of obtaining and using information about

job applicants in order to determine who should be hired for long- or short-
term positions.

Essentials of Selection:
 Procedure:

i. Someone should have the authority to select, this authority comes

from the employment requisition, as developed by an analysis of the
work load and work force.
ii. There must be some standard of personnel with which a prospective
employees may be compared(job description and job specification)
iii. There must be sufficient number of applicants from whom the
required number of employees may be selected.

Significance of selection procedure:

i. Organizational goals largely depend on selection program.

ii. It is crucial, complex, and continuing process.
iii. The employee contribution and commitment.
iv. Employee-employer relations will be congenial (friendly).
v. Valuable assets to the organization.

Organizational Relationship:

i. Tasks and responsibilities for accepting and rejecting the

candidates should be laid down.
ii. Personnel department should eliminate the unsuccessful candidates
as they should not spend on them.
iii. Candidates who can meet job requirements should be made
available promptly.
iv. Line executive has the authority to accept or reject a candidate.
v. It is the duty of the personnel department to rightly select and place
the candidate.
vi. If he is not satisfied he should give the views to the supervisor.

Selection Process Flowchart:

Job analysis
Recruitment/development bases for selection

Application form
Written exam
Preliminary interview
Business games/tests
Medical exam
Reference checks
Line manager’s decision
Employment

Various types of tests:

Tests are classified into five types. They are

i. Aptitude tests: these tests measure whether an individual has the capacity
or latent ability to learn a given job if given adequate training. Aptitude
can be divided into general and mental ability or intelligence and specific
aptitudes such as mechanical, clerical, manipulative capacity.
ii. Achievement tests: these tests are conducted when applicants claim to
know something as these tests are concerned with what one has
accomplished. These tests are more useful to measure the value of
specific achievement when an organization wishes to employ experienced
candidates. These tests are classified into job knowledge test and work
sample test.
iii. Situational test: This test evaluates a candidate in a similar real life
situation. In this test the candidate is asked either to cope with the
situation or solve critical situations of the job. It includes group
discussion, in basket.
iv. Interest test: these tests are inventories of the likes and dislikes of
candidates in relation to work job, occupations, hobbies and recreational
activities.
v. The purpose of this testis to find out whether a candidate is interested or
disinterested in the job.
vi. Personality tests: these tests prove deeply to discover clues to an
individual’s value system, his emotional reactions and maturity and
characteristic mood. they are expressed in such traits like self confidence,
 tact, emotional control, optimism, sociability patience, fear, distrust,
initiative. It includes objective test, projective test, ink blot test.

Different types of interviews:

1) Preliminary interview
2) Core interview
3) Decision making interview

1) Preliminary interview:

a)Informal interview: this is the interview which can be conducted at any

place by any person.

b)Unstructured interview: in this interview the candidate is given the

freedom to tell about himself by revealing his knowledge on various areas,
his background, interest.

2) Core interview: It is normally the interaction between the candidate and

the line executive or experts on various areas of job knowledge, skill, talent.

a) Background information interview: this interview is intended to collect the

information which is not available in application form.

b)Job and probing Interview: this interview aims at testing the candidate’s
job knowledge about duties, activities, methods of doing the job.

c)Stress interview: This interview aims at testing the candidate’s behavior

and level of withstanding during the period of stress and strain.

d)Group Discussion Interview:

e)Formal and structured interview.

f) Panel Interview.

g)_Depth Interview

3)Decision making Interview:

After the candidates are examined by the experts in the core areas of the job,
head of the department conducts interview, mostly through informal
discussion.

The Interview Process

Employers can avoid most hiring mistakes by simply spending a little more
time preparing for the interview in advance. To do a wonderful job of
preparing for interviewing and present one's company professionally the
following points must be considered: 

Before the Interview

1) Determine your options - Which skills are vital as opposed to convenient. 
2) If other people are going to be involved in the interview process, make
sure they have taken the time to prepare for the interview. Each person
should have a couple of overlap questions to provide insight on the
prospective employee’s responses. 
3) Have company information available for candidates. 
4) Allow plenty of time for the interview. 
5) Have detailed information about the candidate. 

During the Interview

1) Interview the person, not the skill set. 
Ask questions that are, broad, open-ended, job-related, objective,
meaningful, direct, clear, understood & related. 
2) Be open and honest with the candidate. 
3) Tell the candidate what to expect in the hiring process. 
4) Tell them your expectations: career advancement, training, duties,
experience expected, the direction the department is headed in. 
5) Show the candidate where they would fit into the organization. 
6) Don't talk money. 

Closing the Interview 

1) Insure that you and the candidate have concluded on common ground. 
2) Ask if she/he has any other questions. 
3) At the end of the interview, if you are interested in the candidate, let them
know. 
4) Review the next steps with a clear and honest timetable (and stick to it). 
 5) Be friendly and honest to the end of the interview; don't give false
encouragement or go into details for rejection. 

After the Interview

1) take time to update the next person in the interview process. 
2) Discuss the candidate’s reaction and interest. 3) Rate the applicant on a 1-
5 scale as a potential employee. 
Qualities of successful interview:

The Interviewer to be successful, should possess the qualities like elderly

outlook, social detachment, intelligence, emotionally matured, interest in
understanding human behavior.

Medical exams: certain jobs require certain physical qualities like clear
vision, perfect hearing, unusual stamina, tolerance of hard working
conditions, clear tone etc., medical examinations reveals whether candidate
possess these qualities.

Reference checks: after completion of final interview and medical

examination, the personnel department will engage in checking references.

These checks help you confirm information on the candidate's application form
and resumes. You will also gain greater insights into the candidate's skills,
knowledge and abilities from someone who has actually observed the candidate
perform.  

It is important that during the interview process, you obtain consent from the
applicant to contact their references and ask employment-related questions. A
common mistake managers often make is asking candidates to choose their
references.  Instead, you should tell the candidates that you wish to speak to the
people who actually supervised them.  It is good practice to speak to two or
three work-related references. If the candidates’ current employers do not know
they are seeking work elsewhere, and then go to the previous employers.

Before making the calls, it is good practice to make a list of questions so that
you are asking the same set of questions, giving you a consistent frame on
which to base your decisions. All questions should be job-related and legal. You
cannot ask questions during a reference check that you are prohibited from
asking during an interview.

Final Decision by the Line Manager concerned: the line manager makes final
decision whether to select or reject candidate.
 Placement and Induction:

Placement: the process of assigning the selected candidate with the most
suitable job it is matching employee’s specification with job requirements.
This function include

i. Counseling the personal manager regarding placement.

ii. Conducting follow up study, appraising the employee performance in
order to determine employee adjustment with job.
iii. Correcting misplacements if any.

Retirement and separation:

Superannuation: means attainment of such age by the employee as is fixed

in the contract or conditions of service as the age on attainment of which he
has to leave the employment.

Retirement: Termination of a service of an employee other than on

superannuation.

Types of retirement:

i. Forced retirement: employee violate rules of organization as

mentioned in the standing orders, such employees are forced to retire
from their services before the age of superannuation.
ii. Premature retirement: employee become disable due to disease,
illness, accident or due to personal problems. management may give
him the option of retirement.
iii. Compulsory retirement: This include the inclusions of terms of
termination of employment in contract. Example; defense-after15
years of service, person has to retire from his post.
 iv. Voluntary retirement/golden hand shake scheme:  An employee, who
has attained the age of 50 years or who has completed 20 years of
qualifying service, may retire from service, by giving a notice of not
less than three months, in writing, direct to the appointing, authority,
with a copy marked to his immediate superior Officer.  Before giving
such notice he may satisfy himself by means of a reference to such
authority, that he has completed the required minimum number of
years or qualifying service. 

Resignation:
A resignation is the formal act of giving up or quitting one's office or
position. A resignation is a personal decision to exit a position, though
outside pressure exists in many cases.
Types of resignation:
1) Voluntary resignation
2) Non voluntary resignation.

Discharge: management initiative to separate an employee, but not

necessarily a punishment.

Reasons for discharge:

i. Alcoholism
ii. Willful violation of rules
iii. Carelessness
iv. Dishonesty
v. Violent acts
vi. inefficiency

Dismissal: employee separation is result of punishment for misconduct.

An employee can be removed or dismissed from service, on the ground of

misconduct which has led to his conviction on a criminal charge. Employees,
who had been in continuous unauthorized absence from duty for more than 5
years, may be removed from service. 

Suspension:

A suspension is an action which places an employee for disciplinary reasons

in a temporary status without duties and pay. A suspension, regardless of
duration, is a significant action and considered a severe disciplinary action.
Ordinarily, it is a final step in the progressive disciplinary process before
removal action and is accompanied by a warning to the employee that a
further violation of rules could result in removal. 

A suspension prevents an employee from performing work and denies salary

for the suspension period. Therefore, a suspension may not be imposed for
indebtedness or for performance-related factors in no disciplinary situations. 

The period of suspension is normally expressed in calendar days and seldom

exceeds 30 days. Employee's adverse action protection differs between a
suspension for 14 calendar days or less and a suspension for more than 14
calendar days.

Lay off:

Lay off is the temporary suspension or permanent termination of

employment of an employee or (more commonly) a group of employees
for business reasons, such as when certain positions are no longer necessary
or when a business slow-down occurs. Originally the term layoff referred
exclusively to a temporary interruption in work, as when factory work
cyclically falls off. The term however nowadays usually means the
permanent elimination of a position, requiring the addition of "temporary" to
specify the original meaning.

.
 Module #3 Training and
Development

Training: Training is a systematic process by which employees learn skills,

knowledge, abilities or attitude to perform organizational and personal goals.

It includes:

i. Identification of training needs of individuals and the organization.

ii. Developing suitable training programs.
iii. Imparting requisite job skills and knowledge to the employees.
iv. Evaluating the effectiveness of training programs.

Training is a vital phase of management control. It helps in reducing accidents,

eliminating wastages and increasing the quality of work.

Training & Development:

i. Training and development are terms which are sometimes used

interchangeably.
ii. Development has seen as an activity associated with managers.
iii. In contrast training as a more immediate concern and as been associated
with improving the knowledge and skill of non managerial employees in
a present job.
iv. Training which a vehicle for HR development is is concerned with
improving the skills of the employees and enhancing their capacity to
cope with the ever changing demands of the work situation.

Induction Training:
i. The introduction of the new employee to the job is known as
induction. It is the process by which new employees are introduced
to the practices, policies and purposes of the organization.
ii. Induction follows placement and consist of the task of orienting or
introducing the new employee to the company, its policy and its
position in the economy.
 iii. Induction literally means helping the workers to get on with his
own environment.

An induction process properly designed should serve the following

purposes:
i. To help the newcomer to overcome his natural shyness, any
nervousness.
ii. To integrate the new employee into the organization and
develop a sense of belonging which is a strong motivational
force.
iii. To supply information about the nature for workforce,
conditions of service and welfare facilities.
iv. Neglecting the area of induction may lead to labour turnover,
psychological tension and grievances.

Need For Training:

1. Rapid technological innovations impacting the workplace have made it

necessary for people to consistently update their knowledge and skills
2. People have to work in multidimensional areas , which usually demand
far more from their area of specialization.
3. Change in the style of management.
4. Due to non-practical collage education.
5. Lack of proper and scientific selection procedure.
6. For career advancement.
7. For higher motivation and productivity.
8. To make the job challenging and interesting
9. For self and development
10. For employee motivation and retention
11. To improve organizational climate
12. Prevention of obsolescence
13. To help an organization to fulfill its future manpower needs.
14. To keep in pace with times
15. To bridge gap between skills requirement and skills availability
16. For survival and growth of organization.
Importance of Training
Training is crucial for organizational development and success. It is fruitful to
both employers and employees of an organization. An employee will become
more efficient and productive if he is trained well. Training is given on four
basic grounds:

1. New candidates who join an organization are given training. This training
familiarizes them with the organizational mission, vision, rules and
regulations and the working conditions.
2. The existing employees are trained to refresh and enhance their
knowledge.
3. If any updating and amendments take place in technology, training is
given to cope up with those changes. For instance, purchasing new
equipment, changes in technique of production, computer impartment.
The employees are trained about use of new equipments and work
methods.
4. When promotion and career growth becomes important. Training is given
so that employees are prepared to share the responsibilities of the higher
level job.

The benefits of training:

1. Improves morale of employees- Training helps the employee to get job

security and job satisfaction. The more satisfied the employee is and the
greater is his morale, the more he will contribute to organizational
success and the lesser will be employee absenteeism and turnover.
2. Less supervision- A well trained employee will be well acquainted with
the job and will need less of supervision. Thus, there will be less wastage
of time and efforts.
3. Fewer accidents- Errors are likely to occur if the employees lack
knowledge and skills required for doing a particular job. The more trained
an employee is, the less are the chances of committing accidents in job
and the more proficient the employee becomes.
4. Chances of promotion- Employees acquire skills and efficiency during
training. They become more eligible for promotion. They become an
asset for the organization.
5. Increased productivity- Training improves efficiency and productivity of
employees. Well trained employees show both quantity and quality
performance. There is less wastage of time, money and resources if
employees are properly trained.
 Determining the Training needs:
McGhee and Thayer recommend the following three tier approach to
determine the training needs.
i. Organizational analysis: to determine where training emphasis
should be placed within the organization.
ii. Operations analysis: to decide what the training should consist of
requiring a study of what a person should be taught if he is to
perform his task with the maximum effectiveness.
iii. Man analysis: to determine who needs to be trained and what skills,
knowledge or attitudes should be augmented or improved.

Levels of training:
i. Training is required at different levels, namely, for unskilled
workers, semi skilled workers, skilled workers ,office staff,
supervisory staff and managerial personnel.
ii. Unskilled workers require training in proving methods of
handling their work just like skilled workers.
iii. For increased labour costs in industry today, make it important
that even an apparently simple job should be carried out in the
most economical manner.
iv. Training of these workers must be on the job itself and can
only be given by their immediate superiors, foreman etc.

Methods of Training:
1. The telling Method: lectures are delivered similar to the classroom
session. this method is very suitable for communicating information
quickly.
2. The showing method: the trainer actually gives a demonstration of the
various techniques.
3. The role playing method: this method is a useful training technique as it
helps in developing the skills of the trainee. The trainee here participated
actively in the learning process.
4. The discussion technique: involves the participation of the trainee in the
actual work. He is allowed to ask any related questions. Sometimes cases
are also used for actual situations. these methods generate discussion
between the trainee and the trainer.

Various specific training methods:

 On job Training: The most frequently used method in smaller
organizations that is on the job training. This method of training uses
more knowledgeable, experienced and skilled employees, such as
mangers, supervisors to give training to less knowledgeable, skilled, and
experienced employees. OJT can be delivered in classrooms as well. This
type of training often takes place at the work place in informal manner. 
1) Off job training:
The employee is sent to another location outside the business to
learn a skill or acquire important knowledge. Off-the-job training
may include (1) lectures and demonstrations; (2) simulations, role-
plays and games; (3) self-study; (4) attending external courses, for
example, on day-release;
The advantages of off-the-job training are:
(1) specialists can be used to instruct the employees;
(2) training can be more concentrated;
(3) it is more suitable for theoretical instruction;
(4) it can be less stressful. 
3)Understudy method: In this method each executive is assigned an
understudy or an assistant who in addition to his regular duties, is
expected to acquire some familiarity with the tasks and practices of
his superior.
4) Case study:
A case study is a description of a real or imagined situation which
contains information that trainees can use to analyze what has occurred and
why. The trainees recommend solutions based on the content provided.

Advantages of Training:

1. Organization

i. Improve Profitability
ii. Job knowledge and skills
iii. Morale of work force
iv. Foster authencity, openness and trust.
v. Organization development
vi. Carrying organization policies.
vii. Labour management
viii. Helps employees adjust to change
ix. Aids in handling conflicts.
x. Help in keep cost down in many areas like production, personnel and
administration.

2. Individual:
 i. Better decision and problem solving.
ii. Motivational variables of recognition, achievement, growth,
responsibility and operationalised.
iii. Achieving self development and self confidence.
iv. Help to handle stress, tension, frustration and conflict.
v. Improve leadership knowledge, communication skills and attitude.
vi. Increase job satisfaction and recognition
vii. Sense of growth in learning.
viii. Helps to eliminate fear in attempting new task.

3. Advantages in HR, Intra and Intergroup:

i. Improves communication between groups and individual.

ii. Orientation of new employees.
iii. Provides information on government laws, rules, regulations and
administrative policies.
iv. Interpersonal skills
v. Improve morale
vi. Builds cohesiveness in groups
vii. Provides good climate for learning, growth and co ordination.
viii. Makes organization a better place to work.

Training Objectives:

i. To prepare the employee both new and old to meet the present as
well as the changing requirements of the job and the organization.
ii. To prevent obsolescence.
iii. To impart the basic knowledge and skill they need for an intelligent
performance of definite job.
iv. To prepare for higher level tasks
v. To assist employees to function more effectively in their position
by exposing them to latest concepts, information and techniques
and developing the skills they will need in the particular fields
vi. To build up second line officers and prepare them to occupy more
responsible positions.
vii. To develop the potentialities of people for the next level job
viii. To ensure smooth and efficient working of a department
ix. To ensure economical output of required quality.
x. To promote individual and collective morale, sense of
responsibility, cooperative attitude and good relationship.

Training Stages:

1. Need assessment:
 • Organization analysis.
• Job analysis
• Employee analysis
• Department analysis

2. Program design:

• Instructional objectives
• Learning principles
• Teaching principles
• Training principles
• Content design

3. Implementation:

• On job methods
• Off job methods
• Characteristics of the instructors
• Conduct of the program

4. Evaluation:

• Reaction
• Learning
• Job behavior
• Organization
• Ultimate value