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TABLE OF CONTENTS 1. 1.1 Introduction What is Management? Page No. 7 7
2 1.2 1.3 1.4 1.5 1.5.1 1.5.2 1.5.3 22.214.171.124 126.96.36.199 1.5.4 1.5.5 1.5.6 1.7 2. 2.1 2.2 2.2.1 2.2.2 2.2.3 2.2.4 2.2.5 2.2.6 2.2.7 2.3 2.3.1 2.3.2 2.3.3 2.3.4 2.3.5 2.4 2.5 2.6 2.7 2.8 2.9 2.9.1 2.9.2 2.9.3 2.9.4 2.9.5 2.9.6 2.9.7 2.10 2.10.1 2.10.2 2.10.3 3. Managerial Process Management Unit as a System Transformation Process and Elements of Managerial Process Main Items of Management Planning Function Organization Directing Motivation Managerial Leadership Managerial Communication Controlling Performance Appraisal Decision-Making The Role of Human Resource Item in Management Human Resources Management Defined Human Resources Management Goals Achieving high performance through people Enhancing motivation, commitment and job engagement Maximizing human capital advantage Utilizing knowledge management Resourcing of human resources Evaluating employees Managing and improving employees' relations Human Resources Management Activities Organization Design The employment relationship Resourcing Performance management Human resource development Reward management Industrial relations Health and safety Welfare services Provision of HR services including managing Human Resources Management Process Strategic Human Resources Management HRM policy Change management Competency based HRM Knowledge management Job and role analysis How HR Impacts on Organizational Performance Human Resources Management in Context Contingency theory Contextual factors Responses affecting people Orientation to Human Resource Polices and their Application in The Pharmaceutical Sector 8 9 10 11 11 14 16 16 18 19 20 21 22 27 27 27 28 28 29 29 29 30 30 30 30 30 30 31 31 31 31 31 31 32 32 32 32 32 32 32 32 32 35 35 35 36 38
3 3.1 3.2 4. 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.7.1 4.7.2 4.7.3 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 5. 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.8.1 5.8.2 5.8.3 5.8.4 5.8.5 188.8.131.52 184.108.40.206 220.127.116.11 18.104.22.168 22.214.171.124 126.96.36.199 188.8.131.52 184.108.40.206 220.127.116.11 18.104.22.168 22.214.171.124 Barriers to the implementation of HR strategies, Policies and Programs Example for Setting out the HR strategy and Policies On-the-job training Being prepared for the Employee’s First Day Orienting the New Employee Taking the Time to Get Acquainted Asking About a New Employees Experience Painting the Big Picture Identifying Your Initial Focus Knowledge, Skills, and Attitudes for Success Knowledge Skills Attitudes Training for Skills While Retaining Good Attitudes Developing New Employees Gradually Coaching, Counseling, and Mentoring Helping Others Determine the Source of the Problem Demonstrate Positive Regard Provide Meaningful Feedback for Learning Mentor for Long-Term Development Behavioral Checklist Definition and Nature of Human Resources Planning Human resource planning and business planning Hard and soft human resource planning Human Resource Planning and Manpower Planning Human Resource Planning Objectives The Human Resource Planning Process Limitations of Human Resource Planning The Organizational Context of Human Resource Planning Resourcing Strategy Objective Checklist Components of Resourcing Strategy Scenario Planning Estimating Future Human Resource Requirements Demand Forecasting Managerial of expert judgment Ratio Trend Analysis Work Study Techniques Forecasting Skill and Competence Requirements Supply Forecasting Analyzing Demand and Supply Forecasts Labor Turnover The Significance of Labor Turnover Survival Rate Half-Life Index 38 39 41 41 41 42 42 42 43 43 43 43 43 44 44 44 44 45 46 46 47 47 49 49 49 50 50 50 52 53 54 54 54 55 55 55 56 56 56 56 56 56 57 57 57 58 59
6.8.13 5.3 6.1 5.5 6.1 7.4 126.96.36.199 6.5.2 6.5.12 188.8.131.52.3 6.4 5.8 7.6.1 6. 184.108.40.206 6.4.8 7.2 220.127.116.11.18.104.22.168.3 22.214.171.124 126.96.36.199 6.16 5.2 7.4 6.6.7 6.10 7.1 6.4 6.5 6.5 6.6.2 5.6 7.5 188.8.131.52.14 5.2 184.108.40.206 7.9 5.9.15 220.127.116.11.5 6.6. 7.3 18.104.22.168 7.6 6.3 7.9.1 Stability Index Choice of Measurement Reasons for Turnover The Cost of Labor Turnover Benchmarking Labor Turnover Action Planning The Resourcing Plan The Recruitment Plan Employer of Choice Plans Job descriptions as a basis for effective performance appraisal and individual motivation Job Analysis Nature of Job Analysis Work Analysis Task-Based Job Analysis Competency Approach to Job Analysis Uses of Job Analysis Job Descriptions and Job Specifications Job Families and Organization Charts Job Analysis and HR Activities Job Analysis and Legal Assues Behavioral Aspects of Job Analysis Job Analysis Methods Observation Interviews Questionnaires Computerized Job Analysis The Job Analysis Process Planning Preparation and Introduction Conducting the Job Analysis Job Description and Job Specifications Job Description Components Job Specifications Writing Job Descriptions Writing Job Specifications The Recruitment and Selection Process Attracting Candidates Analysis of recruitment strengths and weaknesses Sources of candidates Decide who does what Write the copy Choose type of advertisement Plan the media Evaluate the response Outsourcing Recruitment Types of Interviews ( Individual interviews) Interviewing panels 59 59 60 60 60 61 61 61 61 66 66 66 66 67 67 67 68 68 69 70 70 71 71 71 71 71 71 72 73 73 74 74 74 75 75 77 80 80 80 81 81 81 82 82 82 82 82 .1 6.5.4 6.3 6.4 7.1.
5.1 8.1 8. 8.1 8.1.5 7.3 8.2 22.214.171.124.12 7.5 8.7 8.5.11 7.1 8.1.5 8.10 8.13 126.96.36.199 8.2 188.8.131.52.5.3 8.6 8.9 184.108.40.206 8.2 8.5.1 220.127.116.11 8.12 8.4 8.2 8.13 Selection boards Improving the Effectiveness of Recruitment and Selection References and Offers Confirming the offer Benefits of a Computerized Human Resource Information System HR Information Strategy Strategic decision taking Range of applications The Functions of a Computerized HR System Rating of "System Features" Main problems of computerized HR system and how to deal with them Involving line managers Developing an Information System Overall approach Preferred characteristics of an information system Choice of hardware Database management Software The development program Examples of Applications Recruitment Reward management Performance management Training administration (computer-managed learning ( Career management Absence control Equal opportunity monitoring Expert systems Auditing the System 83 83 83 84 86 86 86 86 87 87 87 88 89 89 89 89 90 90 90 90 92 92 92 93 93 93 94 94 94 PART ONE OVERVIEW OF THE MANAGEMENT PROCESS AND IT'S HUMAN NATURE .2 18.104.22.168.4 8.5.
Management.1 Introduction What is Management? It is a continuous social process to realize a specific objective through optimally utilizing available resources. exists as long as the society lasts. This implies that management is a type of sophisticated thinking.6 1. as managers are human. material and non-material resources: Figure 1. Management is a process. The social implication of management also refers to the fact that all of its activities are directed toward serving people and fulfilling their needs. These resources can be grouped into three categories. accordingly. as it is an on-going process in the sense that there are people requiring certain needs to be fulfilled products and services. 1. Composed of a set of practices.1. . utilizing human resources and physical resources. to have the best return. it is not physical but rather it is a mental process. The term "process" denotes the mutual inter-relationship and inter-dependency of these practices. This means that: * Management is a dynamic process.1 Resources Human Managers Specialists Technicians Personnel Material Capital Machines Equipment Raw Material Non-Material Ideas Information Techniques Methods * Management utilizes available resources at most to achieve its objectives − − − This means that management has to make the optimum use of these resources. * Management is a Social Process. * Management requires a set of resources in order to perform its activities. where it includes a number of people taking part in realization of the set objective. human. * Management is a Continuous Process. It is a human process.
2 Managerial Process Management as a mental process includes four phases that is. This requires managers to know how to deal with human resources. this programme aims to help managers to understand the realities of the human resource factor and relevant concepts. principles and policies that help utilize this resource for the sake of both organizational success and human resources' satisfaction.2.7 − The basic problem of management is related to the human resources and the manager's ability to utilize them. however but they are overlapping and iterative as shown below: Figure 1. organizing. 1. how to utilize such resources and how to provide satisfaction to individuals making up this human resources. Because of that. directing and controlling. planning.1 Planning Controlling Organizing Directing . These phases are sequential as referred above.
or other. The survival of the system is contingent upon realization of the objective for which the system was created in addition to its ability to operate an open system. A management unit could be looked at as a system.1 Educational System Social Objectiv e Economic Legal Political ENVIRONMENT The following is an elaboration on management unit as an open system.3.3. it affects the environment within which it operates and is affected by this is illustrated below: Figure 1. a laboratory. that is.8 1.2 Transformation process Inputs Human Resources Capital Technology Outputs System Technological Products and/or Service . These requirements represent the inputs of the system within which an interaction process occurs to process (transform) these inputs into products and or services. pharmaceutical department in the MOHP. and its components: * Inputs and Outputs of the System: To achieve its objectives the system acquires its basic requirements (resources) from its environment. This is applicable to a pharmacy. It has to operate as an open system if it gives high consideration to its environment. The closed system has no relationship with its environment.3 Management Unit as a System A system is an entity operating to achieve certain objectives it may be closed or open. whereas the open system is in a case of interaction with its environment. Figure 1.
DIRECTING. The comparison might result in modification of the objective. CONTROLLING . Figure 1.3.4 Transformation Process and Elements of Managerial Process Transformation process does not take place within the system in an automatic manner but in a purposeful fashion through managerial practice. There are many types of managerial practices all of which follow specific phases. that is: PLANNING. ORGANIZING.3 Inputs Transformation process System Operation Outputs Ressource s Services Feedback 1. inputs or transformation process within the boundary of the system itself.9 * Relationship of Inputs with Outputs (Feedback): Comparison of the System’s outputs with the objective for which the system is created is an important process to ascertain the degree of objective realization. This type of comparison is called feedback since it feeds the system with crucial information to be able to survive and remains viable through achieving its objective.
1 Main Items of Management Planning Function The concept of planning includes the identification of objectives and strategies.1 Transformation Process Modification in Inputs Outputs Service and/or product Comparison The system Managerial Practices Elements of Managerial Process Objectives Results Objective Identification Planning Forecasting Relationship Determination Responsibilities Authority Organizing Delegation Motivating Directing Leading Criteria Setting Controlling Performance Measurement 1. .10 Figure showing the management process in an open system organization Figure 1. procedures and rules.5.4. all of which are to be set within a specific time framework. program-designing as well as the elaboration of steps.5 1. policymaking.
1.1 Planning as a Basis for Managerial Process What are the proper objectives? What is the proper organization structure? Planning Objectives How to realize objectives What are the required physical resources? Decisions Ought to be made What are the required human resources? What is the required style of leadership? What are the elements of controlling criteria? .11 Objective identification is considered to be the most important phase of the managerial process in general. Figure 1.5.
the most important of which are social values.2 Organizing Organizing phase includes division of labor and tasks. determining responsibilities. competencies and span of supervision as well as clarifying communication lines and channels between and among various departments and sections. • Measurability: Objectives ought to be stated in measurable terms as much as possible. along with determination of their duties.5. • Realism: Objectives ought to be tied up to availability of facilities and volume of disposable organization resources.1. This may require certain modifications in the organizational objectives.5.e. • Clarity: Objectives ought to be conceived. as shown in the following illustration: Technological .12 Figure 1. on the basis of which clusters of similar and related jurisdictions emanate to form departments and sections (departmentalization). This is done with a view to facilitating work flow in an efficient manner and properly sequencing its steps. • Flexibility: Objectives ought to be adaptable relative to changing internal and external circumstance of the organization. social or economic) might reflect on the managerial unit and its performance. understood and specific. coordinating its parts to be performed according to the stated level of proficiency. • Employees Objective: Achieving employees’ personal objectives is to be instrumental in achieving objectives. coordinating their efforts and specifying their working relationships i.2 Objective Achievement and Its Relationship with Organization Viability Organization Educational Organization Legal Social Objective Political Competitor ENVIRONMENT Most important to assess environmental changes (technological. 1. It also includes distribution of work in each department and section to personnel allocated to them. such rules include: • Objectives ought to be congruent with the value system and orientation of the society. There are a set of rules that may to be observed when identifying objectives.
1 Main Objective Sub objective Relationships Determination Relationship Determination: Responsibility.5.2. Authority.13 Figure 1. Figure 1.2 Duties Environment Organization Working Tools and Methods Organization’s Objectives Manpower .2. Communication lines * Contents of Organization Process Duties (Tasks) Identification. Manpower (Number and Caliber) Determination.5. Specifying Working Tools Required to Manpower.
14 * Objectives and Tasks of the Organization? − How rationally could tasks be ordered? − W ً hat are the existing organizational parts that should be made use of for the purpose of performing various tasks? − W ً hat should be done to assign tasks to different persons? − How could work be designed in a way. and needs? − How can organization impact employees and vise versa? How employees could deal and interact with each other in a positive way? − How tasks could be performed in an economic and rational way? . compatible with employees desires abilities.
Authority Delegation 3Identifying and classifying Activities 1Organization’s Objectives 9.Controlling 2. .Personnel 4Homogenize Groups in relation to facilities 22.214.171.124 Directing 1. External forces include money and other rewards whereas internal forces include self-commitment and self-esteem. Nevertheless.Supporting objectives & policies Directing & Controlling Organizing Planning 126.96.36.199. This process may depend on internal or external forces. It involves decision making to direct people and coordinate between individuals. It requires managers to motivate individuals to communicate effectively and behave as a real leaders. Motivation means: Stimulating people to act using incentives or inducements.Leadership 6Communica tion lines & Information flow 5.3 Organization items in relation to the Managerial Process Feedback 7.1 Motivation This is the process of managing people in the work situation. the following illustration shows different human needs that work as inducing factors to motivate people in general.15 Figure 1.
5.2 Personal Authority (Acceptability)y) Personal Authority (Acceptabilit (Acceptability)y) y)y) Personal Authority (Acceptabili ty)y) Personal Authority (Acceptabilit y)y) Personal Authority (Acceptabil ity)y) Personal Authority (Acceptabilit y)y) Personal Authority (Acceptab ility)y) Personal Authority (Acceptability )y) Personal Authority (Acceptability) y) Personal Authority (Acceptability)y ) Personal Authority (Acceptability)y ) .1.3.1 Maslow's Hierarchy of Needs Self actualizing Needs Esteem Need Belonging Need Security Need Physiological Need Figure 188.8.131.52 Figure 1.3.
3.2 Managerial Leadership Leadership may be seen as a behavior that influences others in a way that satisfies their needs and helps achieve the organizational objectives. as shown in the following illustration: Figure 1. which differs because of differences in leadership styles.1 Personal Authority (Acceptability) y) Job Authority Expertise Authority This leadership behavior has its reflection on the dynamics of the decision making process.5.3. It relies on authority.2.17 1.5. as shown in the following illustration: . It may utilize different personal attributes including expertise authority.
in part. The role of communication in this respect however.18 Figure 1. because the managerial performance and organizational success is dependent.3.2 Leadership and its Impact on Decision Making Democratic Style Autocratic Style Degree of Use of Authority by the Leader Democracy Degree Degree of freedom and participation in responsibility and authority of a leader by subordinates Autocracy Degree Leader allows subordinat e to act as their jobs require Leader sets limits and asks subordinat es to make decisions Leader poses the problem and receives suggestions from subordinat es and he makes the decisions Leader presents the decision and encourages subordinat es in relation to that decision Leader explains the decision to subordinat es Leader makes the decision and announces it Leader makes the decision and announces it 184.108.40.206. on the effectiveness of managerial communication. is shown is in the following illustration: .4 Managerial Communication Managerial communication is a very crucial dimension of management process.
identification of differences between standards and actual results.5.5.1 Figure and Specification A. deal with human Degree of Degree of freedom and resources.5. Update job descriptions and This specifications as requires organization changes. .19 Figure 1. Periodically know how to review all jobs.5 Controlling This is another managerial item and its function aims at showing such diversion from the performance standards. corrective action in the Updating Job Descriptions1. and taking the right corrective action. Maintaining and right time. Relation freedom and participation Relationshi ships how to participation in in ps utilize such Determi responsibility responsibility and authority of Determina nation resources and authority a leader by tion and how to of a leader by subordinates subordinates provide Relations satisfaction hips to Determin individuals ation making up Relationships this human Determination resources.4.1 Model for Effective Communication Process Feedback Sender Thought Encoding Receiver Transmitti ng message through channel Reception Decoding Understand Behavior Situation: Communication Objective 1. specifying reasons of diversion and taking theV.5. It includes measurement of performance. managers to B.
5.5.1 Elements of performance Appraisal Elements pertaining to Expectations for degree of performance efficiency in future Elements pertaining to work behaviors Elements pertaining to Nature and Degree of performance Skills of communication.6. leadership. problem solving and decision making. Discipline and commitment to working hours Initiative and positive attitude toward performance and action Style of dealing with superiors and subordinates Skill in performing tasks Number of produced units.6 Performance Appraisal Figure 1.20 1. Perception and commitment to work systems and methods Observance of soundness and efficacy in using tools and machines . level of quality and time used.
however. as shown in the following illustration: . It is mainly concerned with problem. is affected by many factors such as post experience and limits of following the scientific methods of decision.making.5.solving. It cuts across different management functions.2 Components and Stages of Performance Appraisal System Setting organization objective Identifying objectives and areas of appraisal Developing performance criteria Identifying the most appropriate appraisal methods Explaining appraisal methods. to superiors and subordinates Training superiors on appraisal methods Evaluating and modifying (if required) the appraisal method in use 1.6 Decision-Making This is the essence of management.21 Figure 1.6. This process.
that the manager can programme as shown in the following Figure: Figure 1. may be related to problems occurring for the first time. such as the cultural context. prevailing values.22 Figure 1. as shown in the following illustration: .1 Experiment Selection How to select from among alternatives? Relying on the past experience Researching analyzing Decisions. economic. changeable or dynamic circumstances Usually.6. the decision-making process takes place within a certain environment and is affected by many variables. made for once or relatively infrequent Usually. made in stable conditions.6. or it may be related to routine problems. however. and technological factors. stable circumstances. Rely on relatively certain data Repetition of making the concerned decision Usually.2 Types of Decisions Non Programmed Decisions Programmed Decisions Depend on relatively uncertain data Usually. made in unstable conditions. Usually. Meanwhile.
23 Figure 1.3 Culture Contexts Prevailing values in organization Present Economic and Social conditions Values of a Decision maker Balancing Decision objective Decision Available Resources At the same time the decision-making process goes through different stages.6. as shown in the following illustration: .
24 Figure 1. methods…) Decision Negative Positive .6.4 Problem for which a Decision is to be made Formulation (1) Stage Laying down a framework Analyzing (2) Stage Information Collection Speculation (3) Stage Alternatives Identification Changing (4) Stage Alternatives Evaluation Ascertaining degree of correctness or faultiness (5) Stage Experimentation (Testing various ideas.
25 PART TWO THE ROLE OF HUMAN RESOURCE ITEM IN MANAGEMENT .
26 2. The Role of Human Resource Item in Management
This is the most critical factor in management, as it refers to the human side of management. It looks like "flash" in the individual body. It is the "soft item" as known in the Japanese management. The very simple feature of this item makes it a changeable factor, as every individual holds a very individual personality, and managers are expected to deal with each individual as a unique "entity", because of the individual differences. This makes it crucial for managers to handle this factor of the organization in a "scientific" way, starting with manpower planning to identify real needs of personnel, selecting the best individual for different jobs, and dealing with them, while on the job, according to effective policies, that maintain a balanced relationship between the individual and the organization (i.e. help achieving the organizational goals and provide individual job satisfaction). This part, however, concentrates on different aspects showing meaning, concepts and principles related to effective human resources management in order to furnish substantial "grounds" for successful human resources management of the pharmaceutical sector in Egypt. 2.1 Human Resources Management Defined
Human resource management (HRM) is a strategic and coherent approach to the management of an organization's most valued asset, the people working there, who individually and collectively contribute to the achievement of its objectives. Main features of HRM: • It emphasizes the strategic management of people (the human capital of the organization) which achieves the best 'fit' or integration between the organization’s activities and the HR strategies. • It is a comprehensive and coherent approach to the provision of mutually supportive employment policies and practices, i.e. the development of integrated HR policies and practices; • Its importance arises from the interest in gaining the commitment of individuals to the organization's mission and values - it is 'commitment-orientated; • It emphasizes the treatment of people as assets rather than costs - they are regarded as a source of a competitive advantage and as a human capital, invested in through learning and development opportunities; • Its approach to employee relations is "unitary" rather than "pluralist" - it is based on the belief that employees share the same interests with employers. • The performance and delivery of HRM as a line management responsibility. 2.2 Human Resources Management Goals
HRM aims at helping the organization to achieve success through people. HRM systems can be the source of organizational capabilities that allow organizations to learn and capitalize on new opportunities. It is concerned with meeting human capital requirements on the one hand and development of work capabilities: on the other hand. The specific goals of HRM are stated below:
27 2.2.1 Achieving high performance through people
The main objective of HRM is to contribute to the achievement of high performance levels through integration of HR and organizations strategies. Performance goals in the organization can be achieved through systems which take into account factors affecting individual performance and promote flexibility. They also include 'rigorous’ recruitment, effective selection procedures, performance-contingent incentives, compensation systems, management development policies, and training activities linked to the organizational goals. The individual performance level is a function of the individual ability, motivation and opportunity. This is based on the fact that people perform better when: • they are able to do so (they can do the job because they have the necessary abilities and skills; • they are motivated to do so (they do the job because they want to satisfy certain needs); • Their work environment provides the necessary support and avenues for expression (for example, functioning technology and the opportunity to be heard when problems arise). 2.2.2 Enhancing motivation, commitment and job engagement
An important goal of the HRM is to help the enhancement of motivation, commitment and job engagement as means of improving performance and retaining talented people. Motivation is the process of encouraging people to apply their efforts and abilities in ways that further the attainment of the organization's goals, as well as, the satisfaction of their own needs. Commitment is based on identification with the goals and organizational values. It is also based on the desire to belong to the organization and the willingness to display effort on behalf of it. Job engagement takes place when people are interested in and enthused to do their work. Additionally, HR is concerned with 'psychological contracting': that is, developing an employment relationship based on a positive psychological relationship that fulfills mutual expectations of employers and their employees and is supported by establishing a highinvolvement climate. The enhancement of motivation and commitment means that HRM has to be concerned with what can be described as ‘discretionary behavior’. This refers to choices that people at work often have about the way they do the job and the amount of effort, care, innovation and productive behavior they display in the work situation. Discretionary behavior is at the heart of the employment relationship, because it is hard for the employer to define high monitor and performance control the amount required for maintaining. Research results show that: • Performance is improved if employees can positively induct' discretionary behavior once in the work situation when their needs are met. • Discretionary behavior is more likely to occur when a lot of individuals have commitment to their organization and/or when they feel motivated to do so, and/or when they gain high levels of job satisfaction. • Commitment, motivation and job satisfaction, (either together or separately), are higher when people realize that policies can create a capable workforce, motivating valued behaviors and providing opportunities for participate.
28 • This positive experience will be higher if different HR policies are able to develop individual capabilities and motivation, in a reinforcing way. • The implementation methods and practices of HR policies by supervisory managers, and top managers enhance or weaken these policies’ effects to trigger discretionary behavior and develop positive attitudes. • The experience of success in high performance outcomes helps reinforce the establishment of positive attitudes in the organization. 2.2.3 Maximizing human capital advantage The main goal of HRM is to achieve human capital advantage, resulting from employing people with valuable knowledge and skills to create a competitive advantage for the organization. It means developing the organization's intellectual capital, that is, 'the accumulated stock of knowledge, skills and abilities that individuals possess” which the firm has built up over time, and can use as identifiable expertise. This, however, can be achieved when the organization succeeds in establishing the concept of "Knowledge management". 2.2.4 Utilizing knowledge management
Knowledge management aims at influencing the ways in which people store and share the wisdom and intellectual understanding accumulated in an organization regarding its processes, techniques and operations. This concept, however, is particularly applicable to the pharmaceutical organizations. 2.2.5 Resourcing of human resources
One of the fundamental HRM goals is to attract and retain the skilled, competent, committed and motivated workforce in the organization. This helps in creating intelligent organizations by hiring more talented staff. Organizational success depends on the talents of employees, including superior performance, productivity, flexibility, innovation, and the ability to deliver high levels of customer service. The most important thing that an organization can do to improve individual performance is to recruit and retain more. This means that the organization has to assess future people requirements and develop recruitment strategies, selection methods and talent management processes, ensuring the high quality of people joining the organization. Human resource development aims at increasing capabilities and potential of people through provision of learning and continuous development opportunities. This is achieved by ensuring that everyone in the organization has the knowledge and skills and reaches the level of competence required to carry out their work effectively, because performance of individuals and teams is subject to continuous improvement, and people are developed in a way that maximizes their potential for growth and promotion.
retention. Organizational development. performance appraisal rewarding. • Ensure equal opportunities to all people and enhance an ethical approach to be adopted. Job design.3 Human Resources Management Activities To achieve its objectives the HRM has to carry out the following activities: 2.3 Resourcing This HRM function is achieved through: • Human resource planning: to forecast future requirements of human resources in terms of numbers skill. is directed to improve organizational effectiveness so that management can adapt to change: and promote motivation and employees’ commitment to organization. 2. This is the role of employees' relations using the following techniques: • High commitment management practices which recognize employees as valued members and help develop a climate of cooperation and mutual trust. and competence.2 The employment relationship HRM also apply many policies to improve the quality of work relationships based on sticking to mutual trust and main items of the psychological contract. and for the levels of skill and competence reached. • Talent management: providing for the attraction. based on fairness and transparency.3.3.2. • Provide for a reasonable balance between the time people spend at work and time they spend outside the work situation.6 Evaluating employees One of the major HRM goals is to enhance motivation and commitment by introducing policies and processes that ensure that people are recognized. valued and rewarded for what they do and achieve.29 2.1 Organization Design Organization design: is mainly concerned with catering for all activities required. however provides a basis for selection. development and reward of high quality people. 2. grouping them in a way that encourages integration and cooperation. 2. work styles and aspirations. • Managing a diverse workforce by recognizing individual differences in employment needs. stimulating intrinsic motivation and job satisfaction.3. providing for effective communication and decision making in addition to flexibility to change.2. . • Enable employees to have a say in policy-making and influence decisions. 2.7 Managing and improving employees' relations It is important for management to maintain good relationships through partnerships with employees and the creation of teamwork.
•Non-financial rewards: providing employees with non-financial rewards such as recognition. .3. • Management development: providing development opportunities that will increase the capacity of managers to make significant contributions to fulfill organizational goals. 2. 2. and take necessary steps to improve performance.6 2.7 Welfare services Providing employees with different public services. increased responsibility and the opportunity for growth and progress.5 Human resource development This function aims at: • Organizational and individual learning: systematic development of learning processes. fair and transparent. providing employees with learning opportunities to develop their capabilities realize their potential and enhance employability. satisfying learning needs.4 Recruitment and selection: obtaining the number and type of people needed for the organization. • Career management: This includes planning and developing the careers of people who are promising and have potential. •Effective pay. restaurants and social activities). • Communicating: Transmitting information that may be of interest or concern to employees.4 Reward management •This function requires the following: Developing pay structures and systems that are equitable. 2. relating financial rewards to achieved results. to individuals (protection against illness) and to groups (cafeteria. • Giving employees the opportunity to have a say in management and decisions. It requires measuring and managing performance within agreed frameworks of objectives assessing performance.5 2. competency level.5 Industrial relations This is one of the major HRM activities. 2.30 • 2. to protect employees from preventable health hazards and accidents. skill and effort.6 Health and safety Ensuring that a healthy and safe working environment is provided. 2.3.3. It requires the following functions: • Managing and maintaining formal and informal relationships with employees and their organizations. Performance management This function aims at getting better results from individuals.
2. 2. it is important to ensure that HR strategies are integrated with business strategies in the same organization.9. performance appraisal policies. etc. applying HR procedures. 2.7 How HR Impacts on Organizational Performance The basic assumption underpinning the practice of HRM is that people represent the key resource. organization development.1 Strategic Human Resources Management Such strategies state intentions and formulate plans for HRM practices. 2. such as payment policies.5 Knowledge management This aims at capturing intellectuals to work in the organization and assure knowledge sharing to enhance organizational learning and performance.9.9. 2. recruitment. an appropriate range of HR policies and processes need to be developed and implemented effectively in order to improve the organization’s performance.8 Provision of HR services including managing Employment relationship. and operating HR information systems. including job redesign.31 2. to help job descriptions or setting role profiles and provide data that help in organization design. performance management. employee development and rewarding schemes. 2.. 2. administering HR policies.9. mechanisms and systems that help management to deal with environmental changes including the introduction of new schemes and reorganization as well as restructuring services to fit with the new situation. and organizational performance largely depends on them.9. .9 Human Resources Management Process The HRM processes in modern organizations concentrates on the following aspects: 2.3 Change management This includes different policies. employment policies. Therefore..9.2 HRM policy Such policies provide guidelines on how people are managed in the organization.6 Job and role analysis Analyzing the content and competency requirements of jobs or/and roles.4 Competency based HRM This includes the introduction of new competency frameworks that inform and support activities. training and rewarding.9. recruitment.
J Michael. London) Based on this simple model HR experts developed a much more detailed model which is shown the following illustration: . M Sheehan and M Metochi (2000a) Effective People Initial findings of the future of Work Survey. CIPD.7.9.1 Model showing the link between HRM and performance HR effectiveness Business strategy HR practices HR strategy HR outcomes Employee: competence commitment flexibility Quality of goods and services Productiv ity Financial performa nce (Source: D E Guest.32 This implies a clear relationship between HRM practices and organizational performance as shown in the next illustration: Figure 2.
resourcing (recruitment. CIPD. London) Accordingly HR can make an impact on performance by leading or contributing to: • Successful implementation of high performance work practices. selection and talent management). reward. particularly those concerned with job and work design. B Kayton and J Swart (2003) Understanding the People-and Performance Link.9. S Hutchinson. flexible working.33 Figure 2. • Development of a positive "psychological-contract" and introducing effective means to increase motivation and employees commitment. .2 The performance model Training & development Performance appraisal Career opportunity Job security Recruitment/ selection Ability and skill Pay satisfaction Motivation and incentive Work-life balance Opportunity to participate Organization commitment Motivation Job satisfaction Front line management implementing enacting leading controlling Discretionary behavior Performance outcomes Job challenge/ autonomy Team working Involvement Communication (Source: J Pnrcell. N Kinne. • Formulation and embedding of a clear vision and set of values (the big idea). and giving employees a voice in management. • Formulation and implementation of policies which meet individual needs and create "a great work place" • Provision of support and advice to line-managers regarding implementation of HR policies and practices. • Effective management of change and conflict resolution.7. employee development (increasing skills and extending the skills base).
The pressure has been for businesses to become 'lean and mean'. Customers are demanding more as new standards are reached through international competition. new methods of working are developed. global competition in the drug and pharmaceutical sectors is increasing. and practices it puts into effect). technology. 2. and teleworking (working from home with a networked computer) is increasing. lists of activities. accelerating the introduction of new technology.how work is organized. speeding up response times. often within a team working environment). managed and carried out.2 Contextual factors The main contextual factors that influence HR policies and practices are technology and competitive pressures. Knowledge workers are employed in largely computerized offices and laboratories. emphasizing quality and continuous improvement.10. This is assisted by easily transferable technology and reductions in international trade barriers. Different skills are required. the people it employs and its external environment) and what the organization does (how it is structured. culture. and technicians work in computer integrated manufacturing systems. policies and strategies.34 2. 2. As far as competitive pressures are concerned. downsizing and cutting out layers of management and supervision. Organizations are reacting to this competition by becoming "customer focused". suggesting approaches and provide guidelines for action. But it could result in deskilling and a reduction in the number of jobs (downsizing). and analyses of the HR department role are valid only if they are related to circumstances of the organization. The world of work has changed in many ways. New technology can therefore present a considerable threat to employees. New work environments such as call centers have become common. They may have to be managed differently from the clerks or machine operators they displace. The service industries have become predominant and manufacturing is in decline. including multi-skilling (ensuring that people have a range of skills that enables them to work flexibly on a variety of tasks. They are reducing permanent staff to a core of .10 Human Resources Management in Context HRM processes take place within the context of the internal and external organizational type of environment. Contingency theory is essentially about the need to achieve (fit) between what the organization is and what it wants to become (its strategy. goals.10. processes. The technology of the business exerts a major influence on the internal environment . The result may be an extension of the skill base of the organization and its employees. Descriptions in this programme can only be generalizations. They will be largely contingent on the environmental factors that affect them. The introduction of new technology may result in considerable changes to systems and processes. operating more flexibly and "losing cost". procedures.1 Contingency theory Contingency theory tells us that definitions of aims.
giving insufficient attention to the management of change and retraining staff. where through the extensive use of information technology A high proportion of marketing and professional staff mainly work from home. How is this reflected in the dug and pharmaceutical sector? This is a major question to be discussed. and the decentralization and devolution of decision making. increasing the use of peripheral workers (subcontractors. only coming into the office on special occasions to occupy their 'hot desks'. It looks at processes in organizations horizontally to establish how they can be integrated more effectively as well as streamlined. Another response to competitive pressures is business process re-engineering (BPR). temporary staff) and 'outsourcing' work to external service providers. These include slimmer and flatter organization structures in which cross-functional operations and team working have become more important. not least because it often neglected the human aspects. as well as pressure for the improvement of team working. It also emphasizes the importance of an integrated . They become the so-called 'flexible firms'. more flexible working patterns. .10. which examines the process that contains and links those functions together from initiation to completion. Re-engineering often promises more than it achieves.approach to the development and implementation of HR policies and employment practices. total quality and lean production initiatives. It can therefore form the basis for an organizational redesign exercise. and spending more time with their customers or clients. From an HR point of view. the outcome of a BPR exercise may well be the need to attract or develop people with new skills.a coherent . and is not regarded as highly as it once was. 2.3 Responses affecting people The responses to the increased use of technology and to economic and competitive pressures have changed the nature of people management in a number of ways. The aim is to reduce employment costs and enable the enterprise easily to increase or reduce the numbers available for work in response to fluctuations in the level of business activity.35 essential workers. The ultimate development of this process is the Virtual' firm or corporation.
36 PART THREE ORIENTATION TO HUMAN RESOURCE POLICIES AND THEIR APPLICATION IN THE PHARMACEUTICAL SECTOR .
To overcome these barriers it is necessary to: (1) Conduct a rigorous initial analysis The initial analysis should cover business needs.1 Barriers to the implementation of HR strategies. − The initiative is seen as a threat. or a PESTLE analysis (the political. legal and environmental contexts within which the organization operates). Implementation is also difficult if one initiative is implemented in isolation from other areas of HR practices. and both internal and external environmental factors. − Complex or ambiguous initiatives may be perceived differently by employees. − The perceived fairness of the initiative. The framework could be a SWOT analysis concentrating on strengths. . − There is a tendency for long-serving employees to cling to the status quo. they must be translated into policies and programmes with clearly stated objectives and deliverables.37 3. economic. on the other side. Orientation to Human Resource Polices and their Application in The Pharmaceutical Sector Orientation to human resources policies and their applicability in the drug sector is necessary because strategies tend to be expressed as abstracts. cost and benefits. (3) Gain support Particular care needs to be taken to obtain the support of top managers. − The extent to which existing processes could help to embed the initiative. especially in large organizations. technological. organization culture of the Drug sector. and weaknesses. − There are inconsistencies between organization strategies and values. of the organization on the one side and both opportunities and threats facing the organizations. The factors contributing to creating this gap include: − Employees in diverse organizations tend to accept initiatives perceived to be relevant to their own areas. line managers. Policies and Programs Barriers obstructing HR strategists and policies when implemented often result from a failure to understand vital changes in the Egyptian Drug sector. social. employees generally and Syndicate. to the extent that HR strategic initiatives are seen as irrelevant. It will be very hard to implement anything however if the practical problems are not dealt with. 3. (2) Formulate strategy The formulation should set out the rationale for the strategy and spell out its aims. as in the case of downsizing in a ‘life employment’ culture. − A bureaucratic culture that leads to inertia. − It is more difficult to gain acceptance of non-routine initiatives. and are counter-productive. − Employees will be hostile to initiatives if they are seen to be in conflict with the organization’s identity. − The extent to which senior management is trusted.
and when it should be completed. (6) Prepare action plans These should spell out what to be done. Cultural factors . (7) Project manage implementation This should be conducted by reference to the action or project plan. − Proposed arrangements for communication. − Project management arrangements. − Responsibility for each stage.possible helps or hindrances to implementation. It is essential to follow up and evaluate the results of the initiative.an assessment of the resource implications of the plan and the benefits that will accrue.2 Example for Setting out the HR strategy and Policies − − − The following is an example showing headings under which a strategy. • Content . training and change management. • Rationale . • Costs and benefits analysis . hostility and lack of supporting processes or resources. for the organization as a whole. and would involve monitoring progress and dealing with problems as they arise. and desirably. who does it. . policy and/or plans. • Implementation plan: − Action program. could be set out.38 (4) Assess barriers An assessment is required of potential barriers to implementation. especially those relating the indifference. consultation. Environmental factors and analysis (SWOT/PESTLE). attitude surveys. for line managers and for individual employees. 3. involvement. (8) Follow up and evaluate Nothing can be taken for granted.the business case for the strategy against the background of business needs and environmental / cultural factors. focus groups. − Resources required. (5) Manage change Change management processes should be used to gain acceptance for any new initiatives contained in the strategy.details of the proposed HR strategy. Follow-up can take place through interviews. • Basis : Business needs in terms of the key elements of the business strategy.
39 PART FOUR HUMAN RESOURCE DEVELOPMENT AND THEIR APPLICATION IN THE PHARMACEUTICAL SECTOR .
Whenever people leave. It is one of the best opportunities the organization has to affect the quality of the work team. Many lack one or more of these ingredients. Common courtesies. the job. new employees are expected to be nervous and curious about their new employer. or your designate. The kind of employees that people will become has a lot to do with the first few days on the job.2 Orienting the New Employee When should you begin orienting and training new people? The answer is. and internal red tape than the job itself. Make the first few minutes a friendly opportunity to teach about comfort issues: Where do I hang my coat? Where are the restrooms? How do 1 clock in? Where is my workstation? Who are my co-workers? . Although this process may be necessary. 4. interviewing. 4. they must be replaced—by another new person. co-workers. Toss the new employees into the current and see if they can keep their heads above water. The first day on a new job should be just as important to the employer. relevant experience. training can become nothing more than the old "sink or swim" method. and responsibilities. some leave and never come back. especially knowing how to pronounce the person's name. especially with how they are introduced to the workplace and trained to do their job. new employees also need a taste of the job and an opportunity to feel as though they have had a successful start. Some new employees also see videos or hear talks about the company philosophy. Many companies have employees spending the first day filling out forms and going through an "orientation" that is often more about benefits.40 4. Because a new employee's first day is so important. On-the-job training This is a development stage that concentrates on shifting experience in the work situation from one generation to another. and hiring is lost when somebody walks away. Often hiring is done to "fill a hole" in the staff. can go a long way toward making a new employee feel welcome. Let other employees know when the new employee is coming in and ask them to welcome the person on board. and orient each new employee. policies. Especially when an organization is short staffed. and the right skills. Some make it. the manager and the organization must be well prepared.1 Being prepared for the Employee’s First Day On their first day on a new job. This is the time for managers and team members to put their best foot forward and welcome the person who could become the organization's best employee. set aside time to meet. Some come in the door with great attitudes. supervisor. Yet there is no guarantee that the replacement will be any better than the one that just left! All the time spent reviewing applications. and safety issues. as soon as they walk in the door! Make sure that you. greet.
Sometimes you will find that having related experience means that the new employee will need to "unlearn" some habits that do not fit your culture. is worried about hiring people with experience at other airlines because it has worked so hard to build a unique culture. It is easy to fall quickly into "talking at" a new person. experiences. and supportive in that first meeting. So an important question to ask a new employee is "Have you ever done this kind of work before?" Questions such as "What did you like about that job?" and "What bothered you in that job?" can be great ways to begin learning about attitudes and values. and attitudes about work. Connect them with people who have a good attitude. You want all new hires to feel that they have made a good decision to join your team.41 That last question is an important one. If you find that the employee has worked in your industry before. perhaps for a competitor. the supervisor or trainer needs to learn a few things about the new employee before determining the best approach for training that individual. and who are willing to help them. you may know little more about the new person than her name.4 Asking About a New Employees Experience It is discouraging for anyone to be talked down to. What is our organization's ultimate goal? Why do customers choose us instead of the competition? Where does this job fit in with the larger operation? . If you are in the food service business. there is so much to explain and so little time. We all know how important first impressions are.5 Painting the Big Picture A critical part of that first interaction with a new employee is communicating the big picture. efficient. you may want new employees to report a little early or a little late. especially the new employee who brings related experience to the job. If your selection process is working well. or the "context" that the person will be working in. the person who walks in the door should have the right values and attitudes to be successful in your operation. But unless you were the interviewer.3 Taking the Time to Get Acquainted Each new employee comes with a unique set of strengths and weaknesses. 4. Why did she apply for this particular job? Is she from nearby? Docs she knows anyone else in the organization? What are her interests outside of work? 4. It is essential. If the start of a shift is really busy. One of the airlines companies. have them report well before the rush. Introduce them especially to people who are willing and able to answer questions if they get in a jam. For these reasons. you can use that information to help explain how your operation is like or different from the other. such as their closest new co-workers. that you learn something about the individual before jumping right in to job-related training. It is never too early to start thinking about employee retention. when you and their co-workers will have the time to prepare them to perform some part of the job when the rush comes. who are friendly. so be friendly. This is an opportunity to communicate that you want to help the new employee to be successful. for example. however. Make sure to take the time to introduce new employees immediately to a few people. 4. After all.
skills could include cooking. In a warehouse they could include using the computer to check the inventory. on-the-job training. and Attitudes for Success Success at work is a combination of having the right knowledge. 4. That is why it is important to identify in advance what the new person must master to be successful in the first week.7. 4.7.1 Knowledge Knowledge is the essential information that an employee either must have committed to memory or can locate quickly. developing appropriate skills. Then ask yourself. steps in a procedure. taking orders.7 Knowledge. and attitudes to perform a given job. or of one being moved to a new job. Attitudes are tricky because they depend in part on other people's interpretation. Even the best employees might not be able to remember everything that relates to the job. 4. 4. taking pride in personal appearance. important attitudes might include being punctual. Job knowledge might include passwords. identify the essential ingredients for a successful Week One. "What must a new person learn to make that successful first week a reality?" 4. In a retail operation. and demonstrating the desired attitudes for the job. and basic company policies. but they should know where to find that information. It is usually not reasonable to expect new employees to immediately possess all the right knowledge. it is easier to identify what to focus on first. Skills. In a restaurant. wanting to satisfy the customer.42 Having this understanding helps employees see the point of quality standards. Initial on-thejob training can then focus on a manageable list of knowledge. skills. You may want to create job aids for essential information that is too much to commit to memory or is used infrequently. and attitudes.7. and being willing to learn. If employees understand the history and importance of the company's renowned customer service. . they are less likely to treat customers in a hurried or indifferent manner.2 Skills Skills are what you expect the employee to actually do as part of the job. or nonexistent.3 Attitudes Attitudes are the behaviors or actions that demonstrate a person's beliefs or feelings about a situation. and taking money.6 Identifying Your Initial Focus When you are planning the initial training of a new employee. cleaning. By thinking about a job in these three categories. picture that the new person's first week has just ended and you are both pleased with how things went. Naturally. the skills required depend on the job in question. being able to read and understand paperwork and locating and moving stock. for example. Sometimes what looks like an attitude problem is really confusion or frustration resulting from poor. location of supplies. skills.
4. presumably. it should be pointed out that not all helping is done or should be done by managers. more skilled and competent people make your job as a manager a lot easier because you can delegate more responsibilities without worrying so much. It results in a three-way win for the organization. however. deals with ability issues. you will motivate them to better results. It is usually not possible for an individual to make the move from quadrant 1 to quadrant 2 on the whole job at once. Secondly. Coaching is similar to but not synonymous with counseling. they may move from bottom right (good attitude. and the employees. And if they arc not challenged enough.8 Training for Skills While Retaining Good Attitudes Most new employees start with a good attitude. and skills to help the organization in a wide variety of ways. Coaching. The key to employee development is building employee capacity at a pace that is both reasonable and challenging.9 Developing New Employees Gradually This positive movement should take place process by process. and mentor them for long-term career development. In most work groups. counseling deals with personal problems. they can end up in quadrant 3 (poor attitude. and Mentoring Helping people become more competent is an important part of any manager's job. Thus. Set the expectation early for each employee to become increasingly competent and valuable to the company. they wanted the job and.43 4. Before discussing specific procedures and skills.10 Coaching. It covers how you can coach others about performance problems. This can be seen on the performance variable diagram below. (If that is not true. but that is a recipe for low morale and high turnover. counsel them about personal problems.11 Helping Others This part is designed to help you develop others by helping them to resolve personal problems and enhance job competencies. If too much is thrown at new employees at one time. there may be a problem in the selection process. by helping others resolve their personal problems and develop their skill competencies. poor skills) because they feel overwhelmed. They both have the same objective: to improve the people's performance.) But many new employees probably do not yet have the good skills needed for their new job. First of all. yourself. 4. buddy systems develop in which more experienced people informally help new members develop necessary skills and offer them guidance when they have problems. It may seem easier just to slick the new guy on the job nobody else wants and leave him there. Counseling. knowledge. they want to keep it. It is better to teach new employees how to be successful at one part of the job first and then broaden their skills gradually. poor skills) to bottom left (poor attitude. When people need help mastering skills and . Your goal is to develop an employee who has the attitude. good skills) because they are bored. the general goal of training is for employees to develop job skills while retaining the good attitudes they brought to the organization. 4. After all.
For example. − Consider how the person might react and feel about the discussion.12 Determine the Source of the Problem What is the correct helping approach to take when others are not performing well? It depends upon what causes the problem. 4. . (4) Does the person know how to do a task? If not. and employees are still not able or willing to perform well enough. coaching is required. Although there are differences in coaching. it is time to try counseling to see if it is a personal problem. emotional. some that are within the control of the person experiencing difficulties and some that are not. Both coaching and counseling apply essentially the same problem solving process: listening and understanding. during. The following actions will help you apply these skills more effectively. (2) Does poor performance occur because others are not really sure what is expected of them? If so. Both also require the same behavioral skills: establishing a supportive climate. and educating employees to solve their own problems rather than assisting by doing it yourself. clarifying alternatives. drinking. determine how to eliminate the negative consequences. you can start by providing feedback. provide coaching or training. deciding on an action plan. For more on this see Chapter 7 on goal setting. common steps should be followed before. − Decide what type of coaching the situation requires. and implementing the action plan. and after these helping sessions. when someone doesn't know how to run team meetings. you can provide clear expectations. determine how to eliminate the positive reinforcement. − Think about the best way to present what you want to say to the person seeking help. * During the helping session: − Discuss the purpose of the session. (3) Is performance hampered by obstacles beyond the person's control? If this is the case.1 (1) Is the person aware that performance is unsatisfactory? If the answer is no. (6) Is poor performance being rewarded by positive consequences? If it is. If all of these steps have been taken to ensure good performance. − Try to make the person comfortable.44 figuring out how to apply instructions. identifying the problem. When someone has a problem. you can teach them how to do it and give them practice and feedback. counseling. however—attitude. solving problems jointly. Unsatisfactory performance often has multiple causes. determine how to remove the obstacles. active listening. or family-counseling is called for. These are summarized as: Guidance for Conducting Effective Helping Sessions * Prior to the helping session: − Acquire all the facts about the situation. (5) Is good performance followed by negative consequences? If yes. being nonjudgmental and understanding. Here are some questions you can ask to determine what type of help would be most appropriate. and mentoring.
45 − Establish a non-defensive climate characterized by open communication and trust. − Praise positive aspects of performance. − Mutually define the problem (performance or attitude). − Mutually determine the causes. Do not interpret or psychoanalyze behavior; instead, ask questions, such as, "What's causing the lack of motivation you describe?" − Help the other person establish an action plan that includes specific goals and dates. − Make sure expectations are clearly understood, − Summarize what has been agreed upon. − Affirm your confidence in the person's ability to make needed changes based upon his or her strengths or past history. * After the session: Follow up to see how the employee is progressing. Modify the action plan if necessary. 4.13 Demonstrate Positive Regard
When you coach, counsel, and mentor others you are engaging in a helping relationship. For a helping relationship to be successful it is important to hold the person being helped in "unconditional positive regard." This means that you accept and exhibit warm regard for the person needing help as a person of unconditional self-worth—a person of value no matter what the conditions, problems, or feelings. If you can communicate this regard, it provides a climate of warmth and safety because the person feels liked and prized as a person. This is a necessary condition for developing the trust that is crucial in a helping relationship. 4.14 Provide Meaningful Feedback for Learning
Feedback about the consequences of their actions is necessary for people to learn what is working or not working and then change those actions to become more effective. Effective feedback alone can increase performance and positive personal development. There are a number of reasons: First, feedback can induce a person who previously had no goals to set some, and goals act as motivators to higher performance. Second, where goals exist, feedback tells people how well they're progressing toward those goals. Third, favorable feedback is a positive reinforcement. Fourth, if feedback indicates inadequate performance, this knowledge may result in increased effort or suggest ways to improve performance. Fifth, feedback often induces people to raise their goal sights after attaining a previous goal. Finally, providing feedback conveys that you care how they're doing. The application of feedback in the coaching, counseling, and mentoring processes involves four actions in the following sequence. Describing observed behaviors and the results. Assessing the impact of the observed behaviors in terms of organizational vision and goals. Predicting the personal consequences for the person involved if no changes take place. Recommending changes for improving behavior. The characteristics of effective feedback are summarized as: * Characteristics of Effective Feedback
46 − Descriptive rather than evaluative. − Specific and data-based rather than general. − Directed toward controllable behaviors rather than personality traits or characteristics. − Solicited rather than imposed. − Close lo the event under discussion rather than delayed for several months. − Occurs when (he receiver is most ready lo accept it. − Suggests rather than prescribes avenues for improvements. − Is intended lo help, not to punish. 4.15 Mentor for Long-Term Development
The role of a mentor is to help another person achieve his or her career goals. More experienced people formally pair up with less experienced ones to help show them the ropes and provide emotional support and encouragement on an ongoing basis. In essence, being a mentor means serving as someone's permanent coach and counselor. Some companies, such as IBM, have formal mentoring programs in which pair assignments are made. Others, such as AT&T, rely on informal mentoring because they think it is more flexible and effective. Mentors help others reduce the stress caused by uncertainty about how to do things and deal with challenging assignments. They are also a source of comfort when newer, lessexperienced people just need to let off steam or discuss career dilemmas. For new organization members, mentoring sessions can help them gain a better understanding of the organization, its goals, and advancement criteria. They may also become more politically savvy and avoid potential career traps and dead ends. In general, mentors strive to help others live up to their full potential and encourage them to be more proactive in managing their careers. 4.16 Behavioral Checklist The following skills are important for helping others. Use them when evaluating your own helping skills and those of others. To Help Others Improve: − Ask questions to help discover sources of problems. − Actively listen to employees and slum genuine interest. − Demonstrate unconditional positive regard by suspending judgment and evaluation. − Seek to educate rather than to assist. − Accept mistakes and use them as learning opportunities. − Provide meaningful feedback. − Encourage continual improvement. − Recognize and reward even small improvements. − Model the behaviors desired. − Help develop action plans for improvement.
48 PART FIVE MANPOWER PLANNING (MANPOWER PLAN) .
49 5. It should identify core competences. It can therefore play an important part in strategic human resource management. This type of plans is based on assessments of the future requirement for these qualities. scientists in a product development division. The former is based on quantitative analysis in order to ensure that the right numbers of certain kind of people are available whenever needed. and behave in the expected way. and hence answers two basic questions: first. and pharmacists required for the Registration Division or for NODCAR laboratories in the coming 20 years. and (3) Create interactive links between business objectives and the manpower planning activities'. The strategic planning process should define projected changes in both the scale and types of activities carried out by the organization. or it is 'the process of ensuring that the human resource requirements of an organization are identified and plans are made for satisfying those requirements'. how many people are needed? And second. who are committed to the organization and their work. The human resources plan is derived from the strategic business plans. the planning process could focus on specific areas of activity in the organization where forecast future people requirements. "Soft human resource planning" is concerned with securing the right people with the right attitudes and motives. human resource planning should be and be an integral part of business planning system. But there are often limits to that type of planning such as the clarity of the plans and feasibility of developing integrated human resource plans that flow from them. in terms of numbers and skills. based on some scenarios. 5. Human resource planning however concentrates on three important activities: (1) Identify and acquire the right number of people with the proper skills. It is based on the belief that people are the most important strategic resource in any organization. as it interprets them in terms of people requirements. It addresses human resource needs both in quantitative and qualitative terms. It there is no clear business strategy. .2 Hard and soft human resource planning A distinction can be made between 'hard' and 'soft' human resource planning. and analysis of performance management outcomes. Definition and Nature of Human Resources Planning This is the forecast of size and nature of human resource required for the organization in the future to achieve its strategic goals. and skill required to achieve the organization objectives. for example. human resource planning may make broad assumptions about the future needs for people. Also it may influence the business strategy by drawing attention to ways in which people could be developed and deployed more effectively to further the achievement of business goals It also focus on any other problems to ensure that people required will be available and will be capable of making the necessary contribution. 5.1 Human resource planning and business planning Conceptually. what sort of people are needed? Human resource planning also looks at broader issues relating to the ways in which people are employed and developed in order to improve organizational performance. (2) Motivating employees to achieve high performance. Alternatively.
emphasize team spirit. design jobs in a way that provide intrinsic motivation. beliefs and behaviors'. flexibility and retention plans. the starting point could be demand and supply forecasts. This means a shift from an approach reconciling numbers of available employees with existing jobs. where reliable quantitative techniques are used to forecast supply and demand. which form the basis for the resourcing strategy. Alternatively.3 Human Resource Planning and Manpower Planning Human resource planning is more concerned with broader issues regarding employment of people. with a process starting anywhere in the planning cycle. policies and employee development strategies. de-emphasizing hierarchies and status differentials. • Anticipating problems resulting from potential surpluses or deficits of people. It may be circular rather than linear. . increasing employment security. to another approach concerned with skills. rewarding people on the basis of organizational performance. to integrate corporate goals and employee values. hut it can also lead to the development of retention plans. 5. regarding key skills. Such approaches derive from a rational top-down view of planning. that help the organization's to adapt to an uncertain and changing environment. expertise and competencies. and enacting organization-specific values and a culture that bind the organization pants together. • Improving people utilization strategies by introducing more flexible systems of work. This requires formulating retention. • Reducing dependency on external recruitment. • Developing a well trained and flexible workforce.50 This can result in plans for improving the work environment. The analysis of labor turnover may feed into the supply forecast. than the traditional quantitative approaches of manpower planning.4 Human Resource Planning Objectives The human resource planning system in any organization depends largely on the organization context but in general it aims at: • Attracting and maintaining the number of people required with the appropriate skills. 5. Soft human resource planning 'more explicitly focus on creating the right organizational culture. human resource development and manpower deployment. They can also lead to the creation of strategies concerned with creating high commitment and create functional flexibility.5 The Human Resource Planning Process The process of human resource planning (as illustrated below) is not necessarily a linear one. providing opportunities to develop skills and careers and adopt a 'Total Reward' approach focusing on-financial 'Transactional' and non. starting with the business strategy and flowing logically through to resourcing.financial 'relational’ rewards. 5.
5.51 Figure 5.1 The Human Resource Planning Process Business strategic plans Resourcing strategy Scenario planning Demand/ supply forecasting Labor turnover analysis Work environment analysis Human resource plans Operational effectiveness analysis Resourcing Retention Flexibility Productivity Work environment .
What may emerge is simply a broad statement of intent. These processes are summarized below: • Business Strategic Plan: Defining future activity levels and initiatives demanding new skills. • Labor Turnover Analysis: Analyzing actual labor turnover figures and trends as an input to supply forecasts. Resourcing decisions may be based on scenarios riddled with assumptions that may or may not be correct and cannot be tested. • Resourcing Strategy: Planning to achieve competitive advantage by developing intellectual capital . or based on unproven beliefs about the future. the utilization of people and the scope for increasing flexibility to respond to new and changing demands. The degree to which human resource planning can be carried out systematically will depend on the nature of the organization. But these steps must take into account the following shortenings: (1) Human resource planning is based on forecast. 5. • Setting plans to match human supply to human demand. and taking steps to become An 'employer of choice'. the approach to human resource planning might have to rely on broad scenarios rather than precise forecasts. • Scenario Planning: Assessing in broad terms where the organization is going in its environment and the implications for human resource requirements. about (for example) building the skill base. . rather than deliberate. in terms of the scope it provides for them to use and develop their skills and achieve job satisfaction. There is much to be said for a systematic approach to developing resourcing strategy. scenario planning. then formal planning might be appropriate. • Demand Supply Forecasting: Estimating the future demand of for people (numbers and skills). This means that business strategy may be evolutionary.employing more capable people than rivals. there will often be reservations about the extent to which this process can be formalized. It may contain statements. But because of the factors mentioned above. • Work Environment Analysis: Analyzing the environment in which people work. • Forecasting future availability of people or future supply of people. If it is not. ensuring that they develop organization specific knowledge and skills. Resourcing strategy may be equally vague. that are little more than rhetoric. • Operational Effectiveness Analysis: Analyzing productivity. policy-making activities and certain techniques that are not fully accurate and their reliability is limited.6 Limitations of Human Resource Planning Human resource planning includes the following Steps: • Forecasting future demand on people. although this could be sufficient to guide resourcing practice generally and would be better than nothing at all. and assessing the number of people likely to be available from within and outside the organization. it may be fragmented. If the future is fairly predictable. demand and supply forecasting and labor turnover analysis.52 It is difficult to assume that there is a well articulated business plan as a basis for the HR plans. intuitive and incremental.
the stocks and flows of people from within the organization who may be promoted. Organizations operating (in turbulent environments in which future activity levels are difficult to predict) may rely on ad hoc and short term measures to recruit and maintain people. − The 'Shift' of policy priorities and strategies within organizations.e. (4) It is seem as investigatory activity by which the human resource implications of particular problems and change situations can be explored and the effects of alternative policies and actions are investigated. so that steps can be taken to deal with them.7 The Organizational Context of Human Resource Planning Human resource planning takes place within the context of the organization. (2) 5. or redeployed to meet future needs of manpower. business and the external environment. i. The main source for obtaining people required according to HR plan is the labor markets in which the organization is operating which is distinguished includes: (A) The internal labor market. even these organizations may benefit from these aspects of human resource planning that are concerned with policies concentrating on attracting and retaining key staff. and the labor supply in these markets may vary considerably. (9) Its predictions are often based on broad scenarios. It depends on forecasting future people requirements and implementing plans to satisfy these requirements. It is also affected by the degree to which forecasts are accurate. . assessed and controlled. (3) It highlights problems and provides a base that help rasping to unforeseen events. the external local. (B) The external labor market.53 It is better regarded as a regular monitoring activity. (5) It has little value when reconciled with the complex and frequently changing nature of manpower. because the ability to make these estimates must be severely limited by the difficulty of predicting the influence of external events. will be contingent on the extent to which management recognizes that success. (D) Manpower shortage need to be identified. as they often prefer pragmatic adaptation than conceptualization. through which human resource stocks and flows and their relationship to business needs can be better understood. regional. and there is a gap between theory and practice in HR planning arising from: − The impact of change and the difficulty of predicting the future. trained. rather than on specific supply and demand forecasts. (E) A part of the human resource planning process may be set on the assumption of 'make or buy' manpower policy. − Distrust displayed by many managers of theory planning concepts. (6) The typical concept of human resource planning (as a matter of forecasting the long term demand and supply of people) fails. and the approach adopted. national and international markets from which different types of people can be recruited. (C) There are usually a number of markets. (7) Human resource planning is more likely concentrate on what skills will be needed in the future rather than concentrating on providing solutions for present problems. (8) It involves making short term forecasts and predict activity levels and skill requirements with a limited degree of accuracy. by developing more attractive 'employment propositions'. The extent to which it is used. However. (10) It does not seem to be commonly practiced as a key HR activity.e. i.
and resourcing strategy recognizes that external recruitment. or as trainees. A 'buy' policy means that more reliance is placed on recruiting from outside 'bringing fresh blood into the organization'. The selection and recruitment of workers best suited to meeting the needs of the organization ought to form a core activity.8.8 5. the resourcing strategy should attempt to provide answers to the following questions: • In the light of the business plan. what does the organization need to do about it? • Is there any scope to make better use of people and to increase employment flexibility? • Is there any danger of downsizing? If so. how the organization is going to deal with it? . The concept that the strategic capability of an organization depends on its resource capability in the shape of people provides the rationale for resourcing strategy. 5. how many people are needed in key operational or functional areas. 5.they tend to be much more mobile. upon which most other HRM policies geared towards development and motivation is built. the organization deploys its people in ways that maximize the added value they supply.54 (F) A 'make' policy means that the organization prefers to recruit people at a juniors. there may be little choice . Firms that can predict people requirements fairly accurately may rely more on developing their own staff once they have been recruited. These people will have a wider and deeper range of skills. depending on the situation and the type of people involved. The aim of this strategy is ensuring that the organization can achieve competitive advantage by employing more capable people than its rivals. It retains them by providing better opportunities and rewards than others. organizations tend to mix the two policies together. knowledge and potential for future training’. where will the organization be able to find them? • What is needed for developing a skill base in the organization? • What is needed to identify people with potential. and rely mainly on promotion from within and training programs to meet future manpower needs. When dealing with knowledge workers. and behave in ways that maximize their contribution.1 Resourcing Strategy Objective The objective of HRM resourcing strategies is 'to obtain the right basic workforce endowed with the appropriate qualities. (H) Management consultancies and specialists typically fall into this category. Furthermore.8. and developing their abilities? • Does the organization have a problem in attracting or retaining key staff? If so. and by developing a positive psychological contract which increases commitment and creates mutual trust. The organization attracts such people by being 'the employer of choice'. (G) A highly entrepreneurial organization operating in turbulent conditions will rely entirely on external recruitment. In practice. skills.2 Checklist Nevertheless. in both short and long term? • What type of skills are need in the future? • Will the organization be able to meet its needs from the existing resources? • If not.
These possibilities are then ordered to produce a series of internally consistent pictures of alternative futures. 5.4 Scenario Planning Scenario planning is sometimes described as a formal strategic planning technique. and asking them to interpret what this means in terms of their human resource needs. The assessments may have to be made in the absence of any articulated business plan. • Setting flexibility Plans: Planning for increased flexibility in the use of human resources to enable the organization to make the best use of people and adapt swiftly to changing circumstances.8. and thus involve questioning top management and key managers on how they see the future. the direction in which the organization is going and the likely implications this has on people requirements. . • Setting relation plans: Preparing plans for retaining people needed for the organization. based upon an analysis of likely changes in the internal and external environment. Scenario planning is simply a more or less formalized process for establishing a view about any changes that can be foreseen to the scale and type of activities in the organization and to its structure.5 Estimating Future Human Resource Requirements Scenario planning is in some situations. concerned with estimating future people requirements. the management has to prepare longer term plans for meeting them by attracting high quality candidates as the 'employer of choice'. Assessments also have to be made on likely changes in the external environment as it may affect the labor market.8.' The creation of a scenario involves making broad assessments of likely internal developments.55 5. If needs cannot be satisfied from within the organization. however. The aim is to obtain a better understanding of the possible situations that may have to be dealt with in the future.8. Resourcing strategy provides the basis for these plans. within the framework of business needs. and for identifying any external environmental changes that are likely to affect it. It will. It can be described as follows: 'scenario planning tries to open minds to a range of possibilities that organizations may have to confront. A scenario can be defined as 'an imagined sequence of future events'.3 Components of Resourcing Strategy Such resourcing Strategy is made up of: • Resourcing Plans: Preparing plans for finding people from within the organization and/or setting training programs to help people learn new skills. be more strongly based if it is underpinned by a process of scenario planning. Attempts can usefully be made to produce demand and supply forecasts. and to determine what action to be taken in cases of human resource deficit or surplus. but it can also be regarded as an informal approach to thinking about the future in broad terms. It is an intellectual process that seeks to identify issues and examine the possible consequences of events. whenever it is feasible and appropriate. 5.
or a merger or acquisition. 5. 5.8. either information technology of computerized manufacturing.5. having made some allowance for changes in organization or methods.8.8. or decisions on 'downsizing'. and decide how many people are needed. The ideal basis of the forecast is an annual budget and longer term business plan. So far as possible.5. translated into activity levels for each function and department.4 Work Study Techniques Work study techniques apply work measurement to calculate how long operations should take and the number of people required. and forecasting future ratios. In a manufacturing company the sales budget would be translated into a manufacturing plan giving the numbers and types of products to be made in each period. Activity level forecasts are then used to determine (in this example) direct labor requirements and the forecast ratio of in directs to directs would be used to calculate the number of indirect workers needed.3 Ratio Trend Analysis This is carried out by studying past ratios between.5. This judgment should. It simply requires managers or specialists to Sit down.5 Forecasting Skill and Competence Requirements Forecasting skill requirements is largely a matter of managerial judgment. Details are required of any plans or projects that would result in demands for additional employees or different skills: for example setting up a new regional organizational. 5.8. however. This can be no more than guesswork unless there is reliable evidence available of Forecast increases in activity levels or new demands for skills. creating a new sales department.8. and possibly downsizing. be exercised on the basis of a careful analysis of the impact of projected product market developments and the introduction of new technology.8.5. as a result of a cost reduction drive.56 5. think about future workloads. or developing new products or services. new technology leading to increased productivity.1 Demand Forecasting Demand forecasting is the process of estimating the future numbers of people required and the likely skills and competences they will need.5. plans should also be reviewed that could result in rationalization. 5.5. the number of direct (Production) workers and Indirect (Support) workers in a manufacturing plant.6 Supply Forecasting . Work study techniques for direct workers can be combined with ratio trend analysis to calculate the number of indirect workers needed.2 Managerial of expert judgment This is the most typical method of forecasting that may be linked to some form of scenario planning. From this information the number of hours to be worked by each skill category to make the quota for each period would be computed. a business process re-engineering exercise. 5.
as in the following example: 1 2 3 4 5 6 5. As this is rarely the case. Computerized planning models can be used for this purpose. internal movements and promotions. plans. 5.57 Supply forecasting measures the number of people likely to be available from within and outside the organization. skills and potential. Mathematical modeling techniques aided by computers can help in the preparation of supply forecasts in situations where comprehensive and reliable data on stocks and flows can be provided. not essential to rely on a software planning package. the analysis of the numbers of leavers and the reasons why they leave provides information that will indicate whether any action is required to improve retention rates.8. however.7 Analyzing Demand and Supply Forecasts The demand and supply forecasts can then be analyzed to determine whether there are any deficits or surpluses.8. The forecast will be based on: • An analysis of existing human resources in terms of numbers in each occupation. • Sources of supply from within the organization. . • Forecast changes to existing resources through internal promotions. having allowed for attrition (labor wastage and retirements). • Sources of supply from outside the organization in the national and local labor markets. It can prompt further investigations to establish underlying causes and identify remedies. consideration is given to the following aspects of labor turnover: − significance. • Forecast losses to existing resources through attrition (the analysis of labor wastage as described in the next main section of this chapter is an important aspect of human resource planning because it provides the basis for plans to improve retention rates). More importantly. − The reasons for turnover. Its − Methods of measurement.5. effect of changing conditions of work and absenteeism. The basic forecasting calculations can be carried out with a spreadsheet that sets out and calculates the number required for each occupation where plans need to be made. so that calculations can be made on the number of people lost who may have to be replaced.5.8 Number currently employed Annual wastage rate. and if unavoidable downsizing. − What it costs. retention. − How to benchmark rates of turnover.based on past records Expected losses during the year Balance at end year Number required at end year Number to be obtained during year (1-5 ) Labour Turnover 70 10 Per Cent 7 63 75 8 The analysis of the numbers of people leaving the organization (labor turnover or wastage) provides data for use in supply forecasting. This provides the basis for recruitment. In this regard. absenteeism. however. and changes in hours and other conditions of work. they are seldom used. It is.
Alternatively.5. When assembling and analyzing labor turnover figures. turnover is a normal part of organizational functioning. For human resource planning purposes. such as knowledge or highly skilled workers. There are a number of ways of measuring labor turnover. a company employing 150 people might have had an annual wastage rate of 20 per cent. it is a simple matter to work out that if a company wants to increase its workforce by 50 people from 150 to 200. as described below.58 5. especially in times of heavy recruitment. combined with an ability to secure employment elsewhere. meaning that 30 jobs had become vacant during the year. an analysis of trainees who . and the labor turnover rate is 20 per cent (leading to t loss of 30 people). Thus. The turnover index is also suspect if the average number of employees upon which the percentage is based is unrepresentative of recent trends because of considerable increases or decreases during the period in the numbers employed.9 The Significance of Labor Turnover The rates of labor turnover provide a graphic illustration of the turbulence within an organization. it could have been restricted to a small sector of the workforce . the company would have to recruit 90 employees during the following year in order to increase and to hold the workforce at 200 in that year (50 extra employees. The labor turnover index (sometimes referred to as the employee of labor wastage index) is the traditional formula for measuring wastage. The main objection to the measurement of turnover in terms of the proportion of those who leave in a given period is that the figure may be inflated by the high turnover of a relatively small proportion of the workforce. but this could have been spread throughout the company.8. although each of these had to be filled 10 times during the year. This wastage formula may be simple to use but it can be misleading. On the other hand.only 20 jobs might have been affected. It can also be used to make comparisons with other organizations which typically adopt this method. and while excessively high turnover may be dysfunctional.8.5. a certain level of turnover is to be expected and can be beneficial to an organization.' Obviously recruitment. and unless they are understood. These are totally different situations. plus 40 to replace the 20 per cent wastage of the average 200 employees employed). it is important to obtain information on the incidence for different categories of employee. 5. High rates of attrition can destabilize a business and demotivate those who attempt to maintain levels of service and output against a background of vacant posts. It is calculated as follows: Number of Leavers in a Specified Period (Usually 1 Year) X100 Average Number of Employees during the Same Period This method is commonly used because it is easy to calculate and to understand. Thus. low job satisfaction. then if this trend continues. especially those who are most difficult to attract and retain. inaccurate forecasts would be made of future requirements and inappropriate Actions would be taken to deal with the problem. induction and training costs all rise with an increase in labor turnover. covering all occupations and long as well any-short service employees.10 Survival Rate A method of analyzing turnover that is particularly useful for human resource planners is the survival rate: the proportion of employees engaged within a certain period who remain with the organization after 50 many months or years of service. Turnover may be a function of negative job attitudes.
13 Choice of Measurement . The distribution of losses for each entry group. 220.127.116.11 Leavers as a percentage of total entrants Time 5. and therefore shows the degree to which there is continuity of employment. or cohort. a survival rate of 50 per cent.8.5.8. can be plotted in the form of a 'survival curve' as shown below basic shape of this curve has been found to be similar in many situations. in comparison with one where the majority of employees are short service. 10 of the original cohort of 20 trainees are still with the company.11 Half-Life Index A simpler concept derived from survival rate analysis is the half-life index.12 Stability Index The stability index is considered by many to be an improvement on the turnover index the formula is: Number with 1 year's service or more X100 Number employed 1 year ago This index provides an indication of the tendency for longer service employees to remain with the company. 18.104.22.168.59 have completed their training might show that after two years. Comparisons can then be made for successive entry years or between different groups of employees. in order to show where action may have to be taken to counter undesirable wastage trends. although it has been observed that the peak of the curve may occur further along the time scale and/or may be lower when it relates to more highly skilled or trained entry cohorts.8. But this too can be misleading because the index will not reveal the vastly different situations that exist in a company or department with a high proportion of long serving employees. which is defined as the time taken for a group or cohort of starters to reduce to half its original size through wastage (five years in the above example). Figure 5.
to identify problem areas and to provide a foundation for supply forecasts.60 It is difficult to avoid using the conventional employee (Labor) turnover index as the easiest and most familiar of all methods of measurement. A human resource planning exercise requires detailed information on the length of service of leavers. . but it needs to be supplemented with some measure of stability.
− More opportunity to develop skills. 5. this should stimulate action to .coming. 5. Judgment is required to sort out genuine complaints from unjustified or exaggerated ones. testing etc). and it is desirable to gain a more comprehensive picture of the views of existing employees through attitude surveys. − Personal . − Bullying or harassment. − Better prospects (career move).5. − Direct cost of introducing replacements (induction course. so that where those feelings are justified. illness. The following factors should be considered: − Leaving costs . but if there is a build-up of information that suggests this may be the case. something can be done about them. It is up to the Interviewer to probe skillfully and sensitively to establish reasons for dissatisfaction or unhappiness. − Poor relationship with colleagues. output. − Poor relationships with manager/team leader. − Opportunity cost of time spent by line managers and other staff in providing training. Exit interviews should aim to elicit opinions on any specific reasons for dissatisfaction under any of the above non-personal headings.8.16 Benchmarking Labor Turnover Labor turnover rates provide a valuable means of benchmarking the effectiveness of HR policies and practices in organizations. − More security. moving away from area etc.8.pregnancy.payroll costs and personnel administration of leaver. − Opportunity cost of time spent by HR and managers in introducing new starters.15 The Cost of Labor Turnover Labor turnover can be costly. This may be difficult if it is a behavioral matter. They do not tell the whole story. An analysis of reasons should take place and trends be noted. customer satisfaction and support etc. the problem cannot be ignored. General issues can be addressed by reviewing employment and reward policies and practices. such as bullying.5. others will not. − Direct cost of recruiting replacements (advertising. − Loss arising from reduced input from new starters until they are fully trained. issues affecting particular managers should also be tackled.8. − Better working conditions. − Opportunity cost of time spent by HR and line managers in recruitment. The reasons for leaving can be classified under the following headings: − More pay. interviewing. However.5. sales. − Loss of the input from those leaving before they are replaced in terms of contribution.14 Reasons for Turnover An analysis of the reasons for leaving derived from exit interviews will provide useful information on which to base retention plans. not to persuade them to stay. but if turnover is significantly higher than in comparable organizations. cost of induction manuals etc). exit interviews are not completely reliable. − Direct cost of training replacements in the necessary skills.61 5. Exit interviews aim to establish why people are leaving. Some leavers will be forth.
which may include flexibility arrangements as discussed later or home working. adapting working hours and arrangements and leave policies. by reference to assessments of potential and a skills database. when they are needed. The latter should contain a regularly updated list of employees with the sort of skills needed by the organizationdecisions are then made on what steps should be taken to the top. as described below. * Internal Resourcing The first step is to analyze the availability of suitable people from within the organization. and provide additional experience and training to.3 Employer of Choice Plans The recruitment plan should include plans for attracting good candidates by ensuring that the organization will become an 'employer of choice'. − How the recruitment program will be conducted. 5.9. redeploy. flexibility and downsizing. − The likely sources of candidates such as schools. 5. eligible staff. for example. 5. colleges of further education. or widening the recruitment net to include. Benchmarking can be carried out by networking with other organizations.9. − Employment conditions which address work-life balance issues by. However. to recruiting them externally.62 investigate why this is the case and to do something about it. universities. training and careers. more women re-entering the labor market. Plans need to be prepared in the areas of resourcing. . This could be achieved by such means as generally improving the image of the company as an employer and by offering: − Better remuneration packages. − Plans for tapping alternative sources. well as the learning opportunities it provides. Plans can also be made to make better use of Existing employees. the internet etc. possibly forming a 'Club' to exchange information regularly. such as part-timers. 5.9. − Enhanced future employability because of the reputation of the organization as one that employs and develops high quality people. and to attracting high quality candidates (becoming 'the employer of choice'). and providing child care facilities or vouchers To meet the needs of those with domestic responsibilities. the plans often have to be short term and flexible because of the difficulty of making firm predictions about human resource requirements in times of rapid change. − More opportunities for development.9 Action Planning Action plans are derived from broad resourcing strategies and more detailed analysis of demand and supply factors.1 The Resourcing Plan This needs to consider approaches to obtaining people from within the organization.2 The Recruitment Plan This will incorporate: − The numbers and types of employees required to make up any deficits. advertising. for example.
dividing pay and benefits between them according to the time each works. − Part-timers may be less committed than full-time employees. Consideration can also be given to making more use of subcontractors or outsourcing work. job sharing. − Rates of labor turnover may be higher among part-timers. or less frequently working alternate weeks. of those who cannot work full-time . − Higher productivity on repetitive work because part-time workers can give more attention to their work during their shorter working day. such as research and development scientists or engineers or it specialists. Job sharing also means that a wider employment pool can be tapped. the introduction of a 'twilight shift'. − Better utilization of plant and equipment by. to establish permanent staffing levels to meet minimum or normal levels of demand and rely on temporary staff to cover peaks. − Reducing employment costs. by employing a certain percentage of temporary staff at the periphery. * Job Sharing Job sharing is an arrangement whereby two employees share the work of one full-time position.4 Better facilities and scope for knowledge workers. because it suits the needs of individuals. and to the introduction of more flexible working arrangements.9. − Improving the utilization of employees' skills and capacities. The two main new trends in temporary working are first. Golden hellos' (sums of money paid upfront to recruits). Generous relocation payments.63 − − − 5. may find it more difficult to vary their hours of work. The disadvantages of using part-time workers are: − Part-timers are generally less willing to undertake afternoon or evening work. and second. − Lower unit labor costs because overtime levels for full-time workers are reduced. * Use of Part-Time Workers The advantages of using part-time workers are as follows: − More scope for flexible working hours. This means identifying the scope for using alternatives to full-time permanent staff. or employing more temporary workers. and may be less mobile. Greater continuity results because if one-half of the job sharing team is ill or leaves. to develop a 'two-tier' workforce in order to provide greater job security for the core workers. − Increasing Productivity. The advantages of job sharing include reduced employee turnover and absenteeism. Job sharing can involve splitting days or weeks. − Helping to achieve downsizing smoothly and in a way which avoids the need for compulsory redundancies. the expansion of home working or teleworking. * Flexibility Plan The flexibility plan aims at: − Providing for greater operational flexibility. the sharer will continue working for at least half the time. The flexibility plan can be based on a radical look at traditional employment patterns. which could include increasing the number of part-timers. for example.
The decision on how much work can be subcontracted is mainly an operational one. − The degree to which subcontractors will be able to meet delivery and quality requirements . * Flexible Hour Arrangements Flexible hour arrangements can be included in the flexibility plan in one or more of the following ways: − Flexible daily hours. Such working times. This has to be clarified for income tax. * Home Working and Tele-working Home-based employees can be employed in such jobs as Consultants. * The potential drawbacks include: − The legal status of subcontractors. − Reduced overheads. Its aim is to achieve greater flexibility.64 but want permanent employment. * Subcontracting Subcontracting enables: − Resources to be concentrated on core business activities. − Flexible weekly hours. − Flexibility and productivity to be increased. The arrangement does. programmers or various kinds of administrative work. Tele-working involves people working at home with a terminal which is linked to the main company or networked with other outworkers. but the flexibility plan should cover the implications of subcontracting on employment levels and employee relations. Designers. however. has to be taken to ensure that they are regarded as self-employed for income tax and national insurance purposes). These may follow an agreed pattern day by day according to typical or expected work loads. − Flexible daily and weekly hours: varying daily or weekly hours or a combination of both to match the input of hours to achieve the required output. Tele-workers can be used in a number of functions such as marketing. − Lower employment costs if the home workers are self-employed (care. the careful selection and training of Teleworkers. − Job security for core employees to be enhanced. national insurance and employment legislation purposes. allocating adequate resources to them and monitoring the operation of the system. however. providing for longer weekly hours to be worked at certain peak periods during the year. . rapid access to skills and the retention of skilled employees who would otherwise be lost to the company. The disadvantages are the administrative costs involved and the risk of responsibility being divided.it may be more difficult to control their work. analysts. The advantages of these arrangements are: − Flexibility to respond rapidly to fluctuations in demand. finance and IT. − Employment costs to be reduced. depend for its success on the involvement and education of all employees (full-time and Tele-workers). − Negative reactions from employees and trade unions who prefer work to be kept within the company.
65 unlike daily or weekly arrangements. may fluctuate between a minimum and a maximum. Compressed working weeks in which employees work fewer than the five standard days. Annual hours: scheduling employee hours on the basis of the number of hours to be worked. with provisions for the or reduction of hours in any given period. according to the demand for goods or services. − − .
66 PART SIX JOB DESCRIPTION AND PERFORMANCE APPRAISAL IN THE PHARMACEUTICAL SECTOR .
not just on personal perceptions of managers. the industrial engineering approach of lime and motion studies is useful in work analysis. An understanding of changes in the nature of jobs in organizations is developed through the job analysis. This analysis can be conducted on a department. − Machines and equipment used.1 Job descriptions as a basis for effective performance appraisal and individual motivation Job Analysis Both workers and jobs in organizations change over time.1. It is a systematic way to gather and analyze information about job content and human requirement of that job. what is done in one department can be looked at in relation to work activities performed elsewhere in the organization. That certainly would be true as office support jobs. Although the terms job and position are often used interchangeably. − Interactions with others.67 6. supervisors. or individual level. activities. − Working conditions. development of job descriptions and job specifications. are examined. Because organizations are changing and jobs vary in different organizations. such as the secretarial job. Increasingly. Analyzing work activities and processes may require looking at what capabilities individuals need as well as what they do. At one level. − Performance standards. business process. it is being recognized that jobs can be analyzed on the basis of both tasks and competencies. duties. and the context in which jobs are performed. and abilities needed. context. there are two positions (one for each person) but just one job (word processing operator). and output of a job. − Knowledge. Job analysis and design must be based on facts and data. 6. Information that can be helpful in making the distinction includes the following: − Work activities and behaviors. and employees.2 Work Analysis Work analysis studies the workflow. A job is a grouping of common tasks. 6. At another level. A position is a job performed by one person. . skills.1 Nature of Job Analysis This is the basic building block of HR management. and responsibilities. − Financial and budgeting impact. there is a slight difference in emphasis. Thus. 6. It has become evident in many organizations that analyzing what employees do in their jobs is vital to maintaining organizational competitiveness. − Supervision given and received. Job analysis usually involves the process collecting information about job characteristics that differentiate it from other jobs. managers and found that design and analysis require greater attention than in the past. if there are two people operating word processing equipment.1.
so that job descriptions . and responsibilities performed in a job.5 Uses of Job Analysis Effective HR management demands that job analysis be the foundation for a number of other HR activities. who provides data. but they have difficulty identifying what they mean by attitude. Because both tasks and duties describe activities. if one of the employment supervisor's duties is to interview applicants. rather than on the tasks. Leadership. and abilities. It also encourages employees to develop competencies that may be used in diverse work situations. Because the task-based approach is much more common. while continuing to be relevant in areas where jobs remain taskbased. it may be more relevant to focus on the competencies used. For example. Job responsibilities are obligations to perform certain tasks and duties. Technical expertise. Examples of the competencies used in organizations vary widely. The process of analyzing jobs in organizations requires planning of several factors. the remainder of this chapter concentrates on this traditional job analysis process. Competencies are basic characteristics that can be linked to enhanced performance by individuals or teams of individuals. As the following figure indicates. and who conducts the analysis and uses the data. A task is a distinct. Development of employees focuses on enhancing their competencies. The competency approach uses some methodologies to help supervisors identify examples of what they mean by attitude and how those factors affect performance. 6. duties. job analysis may change in order to address the changing nature of broader and looser jobs in some areas. it is not always easy or necessary to distinguish between the two. The competency approach focuses on linking business strategies to individual performance efforts. rather than preparing them for moving to specific jobs.1. The competency approach considers how the knowledge and skills are used.4 Competency Approach to Job Analysis There is a growing interest in focusing on the competencies that individuals need in order to perform jobs. identifiable work activity composed of motions. duties. one task associated with that duty would be asking questions. This shift emphasizes that it is the capabilities that people have that truly influence organizational performance.3 Task-Based Job Analysis Analyzing jobs based upon what is done on the job focuses on the tasks. The competency approach also attempts to identify the hidden factors that are often critical to superior performance. rather than being boxed into a job. whereas a duty is a larger work segment composed of several tasks that are performed by an individual. 6. and responsibilities composing a job. Ultimately.1.68 6.1. The groupings of competencies may include knowledge. Adaptability. but they often include the following: Team orientation. many supervisors talk about employees' attitudes. For instance. In this way they can develop capabilities useful throughout the organization as it changes and evolves. some of the considerations are how it is to be done. Instead of thinking of individuals having jobs that are relatively stable and can be written up into typical job descriptions. skills.
KSAs include education.69 and job specifications can be prepared and reviewed. why it is done. 6. It identifies what is done. and mental and physical requirements. If employees know what is expected and how performance is to be measured. experience. job specifications list the knowledge. An organization chart depicts the relationships among jobs in an organization. skills. Once those decisions are made. and responsibilities of a job. it is often helpful for communicating with employees to group the jobs into job families and display them on an organization chart. and abilities (KSAs) an individual needs to perform a job satisfactorily. In identifying job families. In most organizations. The most fundamental use of job analysis is to provide the information necessary to develop job descriptions and specifications. then several results are linked to a wide range of HR activities. A job family is a grouping of jobs with similar characteristics. 6. Figure 6. Performance standards should flow directly from a job description. There are various ways of identifying and grouping job families. A brief overview of each section follows next. and—briefly—how it is done. significant emphasis is placed on measuring the similarity of jobs. Organization charts have traditionally been hierarchical that show the reporting relationships for authority and responsibilities. a more detailed discussion appears later. they have a much better chance of performing satisfactorily. .1 Figure showing Decision in the Job Analysis Process Methods Questionnaires Interview Observations Diaries/ Logs Data Resources Employees Supervisors Managers Conducted by: HR Specialists Outside Consultants Supervisors /Managers Prepared into: Job Description Job Specification Reviewed by: HR Specialists Managers / Supervisors Employees While the job description describes activities to be done. A job description indicates the tasks.3 Job Families and Organization Charts Once all jobs in the organization have been identified. not necessarily what qualifications the current employee possesses. showing what the job accomplishes and how performance is measured in key areas of the job description. where it is done. the charts can help clarify who reports to whom. duties.2 Job Descriptions and Job Specifications In most cases. It is important to note that accurate job specifications identify what KSAs a person needs to do the job. work skill requirements.2. personal abilities. the job description and job specifications are combined into one document that contains several different sections.
as the following figure indicates. current number of jobs and positions. based on job analysis. But even if" legal requirements did not force employers to do job analysis. to jobs involving more difficult tasks. By identifying the functions currently being performed and calculating the time being spent to perform them.70 6. and therefore more pay. job analysis information is used to determine job content for internal comparisons of responsibilities and external comparisons with the compensation paid by competing employers. Safety. an employer may be using requirements that are not specifically job related. . Organizations use job analysis to identify job specifications in order to plan how and where to obtain employees for anticipated job openings. is at the heart of many other HR activities.4 Job Analysis and HR Activities The completion of job descriptions and job specifications. Current job descriptions provide the basic details necessary for this internal assessment. and Security Job Analysis Job Description Recruiting Performance Appraisal Job Specifications Selection Training and Development Compensatio n HR Planning: HR planning requires auditing of current jobs. managers and HR specialists can redesign jobs to eliminate unnecessary tasks and combine responsibilities where desirable. Information from job analysis can be used to give more weight. duties. and reporting relationships of the jobs.3. and responsibilities. including such items as the jobs available.1 Job Analysis and Other HR Activities Union Relations HR Planning Health. whether recruited internally or externally Compensation: Job analysis information is vital when determining compensation. Figure 6. As part of identifying appropriate compensation. Without a systematic investigation of a job. Recruiting and Selection: Equal employment opportunity guidelines clearly require a sound and comprehensive job analysis to validate recruiting and selection criteria. effective HR management would demand it.
Employees and managers also tend to inflate the importance and significance of their jobs. managers and HR specialists can work together to identify the health and safety equipment needed. The performance-appraisal process should then tie to the job description and performance standards. The 1978 Uniform Selection Guidelines make it clear that 1IR requirements must be tied to specific job-related factors if employers are to defend their actions as a business necessity. regulations. job descriptions. realistic performance standards can also reduce communication problems in performance appraisal feedback among managers. as well as developing and maintaining current and accurate job descriptions.4. both managers and employees hope that "puffing up" their jobs will result in higher pay levels. These laws indicate that the percentage of time employees spend on routine. and employees. Job specification information can point out areas in which employees might need to develop in order to further their careers. manual. Again. in part because job analysis can identify the difference between what is currently being performed in a job and what should be done. One-result of the ADA is increased emphasis by employers on conducting job analysis. Performance Appraisal: With performance standards to compare what an employee is supposed to be doing with what the person actually has done. This information helps determine whether someone should be classified as exempt or nonexempt under the wage/hour laws.3 Having identified the essential job functions through a job analysis.5 Behavioral Aspects of Job Analysis A detailed examination of jobs. Because job analysis information is used for compensation purposes. 6. Job analysis involves determining what the "core" job is. a job analysis identifies the percentage of time spent on each duty in a job. while necessary. The Americans with Disabilities Act (ADA). Developing clear. From the information gathered. an employer must be prepared to make reasonable accommodations. and court cases in preceding chapters is the concept that legal compliance must focus on the jobs that individuals perform. specify work methods. The Americans with Disabilities Act (ADA) has increased the emphasis on job analysis. a job analysis helps (he supervisor explain that job to a new employee. and train workers. in identifying possible job hazards and working conditions associated with the job. and job specifications. Wage/ Hours Regulations. a supervisor can determine the employee's performance level. can be a demanding and threatening experience for both managers and employees. Typically. or clerical duties affects whether they must be paid overtime for hours over forty per week. supervisors. HR managers and their organizations must identify job activities and then document the steps taken to identify job responsibilities. some employees may fear that an analysis of their jobs . Also. Information from job descriptions and job specifications can also help in career planning by showing employees what is expected in jobs that they may choose in the future. 6.1 Job Analysis and Legal Issues Permeating the discussion of equal employment laws. the core job duties and KSAs must be considered. Safety and Health: Job analysis information is useful.71 Training and Development: By defining what activities make up a job.
A standardized interview form is used most often to record the information. Observation may be continuous or based on inter mittent sampling. 6.1 Observation are ation and When the observation method is used. A survey instrument is developed and given to employees and managers to complete. 6. questionnaires. both the employee and the employee's supervisor must be inter. a manager. researchers have developed computer job analysis systems.6. The interview method can be quite time-consuming. the questionnaire method assumes that employees can accu rately analyze and communicate information about their jobs. depending on the situ the organization. combining the interview with one of the other methods is suggested. Perhaps the most effective way to handle anxieties is to involve the employees in the revision process.72 will put a "straitjacket" on them.6.4 Computerized Job Analysis As computer technology has expanded. Frequently. interviews. Combinations of these approaches frequently are used. 6. An important feature of computerized job analysis ized sources is . Thus. Employees may vary in their perceptions of the jobs. Having a well-written and well-communicated job description can assist employees by clarifying what their roles are and what is expected of them. and specialized methods of analysis.viewed to obtain a complete understanding of the job. job analyst. 6. However. The major advantage of the questionnaire method is that information on a large number of jobs can be collected inexpensively in a relatively short period of time. observation may be more useful for repetitive jobs and in conjunction with other methods. 6. or industrial engi neer observes the individual performing the job and takes notes to describe the tasks and duties performed. Professional and managerial jobs often are more complicated to analyze and usually require longer interviews.6.3 Questionnaires The questionnaire is a widely used method of gathering data on jobs. Common methods observation. limiting their creativity and flexibility by formalizing their duties.2 Interviews The interview method of gathering information requires that a manager or HR specialist visit each job site and talk with the employees performing each job. it does not necessarily follow that analyzing a job will limit job scope or depth. Each of these methods is discussed in some detail next. For these reasons. For these reasons. However. Use of the observation method is limited because many jobs do not have complete and easily observed job duties or complete job cycles. especially if the interviewer talks with two or three employees doing each job. and even in their literacy. the questionnaire method is usually combined with interviews and observations to clarify and verify the questionnaire information.6.6 Job Analysis Methods Job analysis information can be gathered in a variety of ways.
6.73 the specificity of data that can be gathered. Therefore. Maybe it is just to update job descriptions. following appropriate management and professional psychometric practices. the .5. 6. regardless of the job analysis methods used. All of this specific data is compiled into a job analysis database. These systems have banks of job duty state ments that relate to each of the task and scope statements of the questionnaires. Another objective could be to redesign the jobs in a department or division of the organization.1 Planning It is crucial that the job analysis process be planned before beginning the gath ering of data from managers and employees. Or.5 The Job Analysis Process The process of job analysis must be conducted in a logical manner. Probably the most important con sideration is to identify the objectives of the job analysis. Also. The following figure illustrates basic stages of the process. The stages for a typical job analysis are outlined here. but they may vary with the methods used and the number of jobs included.6. 6. a multistage process usually is followed. the objective could be to change the structure in parts of the organization to align it better with busi ness strategies. it may include as an outcome revising the compen sation programs in the organization. A computerized job analysis system often can reduce the time and effort involved in writing job descriptions.
2 Preparation and Introduction Preparation consists of identifying the jobs under review. B. IV. C. C. the job analysis can be conducted.5. organization charts. B. Gather job analysis data. Another task in the identification phase is to review existing documentation.1. Update job descriptions and specifications as organization changes. they should be sorted by job family and organizational unit. Periodically review all jobs. Identify objectives of job analysis.74 Figure 6. A crucial step is to communicate and explain the process to managers. Finalize job descriptions and recommendations. The data also should be reviewed for completeness. Planning the job analysis A. and follow-up may be needed in the form of additional interviews or questions to be answered by managers and employees. Once details from job analysis have been compiled.6. .5. 6. Maintaining and Updating Job Descriptions and Specification A. B. Explanations should address the natural concerns and anxieties people have when someone puts their jobs under close scrutiny and anticipate issues likely to arise. affected employees. The methods selected will determine the timeline for the project. Sufficient time should be allotted for obtaining the information from employees and managers. previous job analysis information.5. and other industry-related resources all may be useful to review. Identify jobs and methodology. Review existing fob documentation. II. B.3 Conducting the Job Analysis With the preparation completed. 6. III. Review drafts with managers and employees. V. This step allows for comparison of details from similar jobs throughout the organization. Identify recommendations D.1 Stages in the Job Analysis Process I. Preparing and Communicating the Job Analysis A.6. Developing Job Descriptions and Job Specifications A. such as union stewards. Conducting the Job Analyses A. Obtain top management support. Communicate process to managers and employees. and oilier concerned people. B. Review and compile data.6. Existing job descriptions. Draft job descriptions and specifications.
Once job descriptions and specifications have been completed and reviewed by all appropriate individuals. and (3) physical requirements and/or working conditions. they summarize job analysis information in a readable format and provide the basis for defensible job-related actions. the job analysts will prepare draft job descriptions and job specifications. .6. Overviews of the most common components are presented next. 6. job descriptions are distributed by the HR department to managers. Writing this section is the most time-consuming aspect of preparing job descriptions." * Essential Functions and Duties. When finished. reporting relationships. department. a system must be developed for keeping them current.6 Job Specifications The next portion of the job description gives the qualifications needed to perform the job satisfactorily. 6. The second part is the general summary which is a concise statement of the general responsibilities and components that make the job different from others. duties. supervisors. in which the job title. 6. the entire process.6.6. * Identification. organizations have found that having managers and employees write job descriptions is not recommended. They also serve individual employees by providing documentation by management that identifies their jobs. and responsibilities performed.5. The first part of the job description is the identification section. The job specifications typically are stated as (1) knowledge. It is important that each supervisor or manager review the completed description with individual employees so that there is understanding and agreement on the content that will be linked to performance appraisals. beginning with job analysis. location. describe the essence of the job.5. as well as to all other HR activities. The third part of the typical job description lists the essential functions and duties. Generally.4 Job Description and Job Specifications The output from analysis of a job is used to develop a job description and job specifications. it is advisable to note other information that is useful in tracking jobs and employees through a human resource information system. and abilities. Otherwise. precise statements on the major tasks.5 Job Description Components A typical job description contains several major parts.75 At this stage. (2) education and experience. may have to be repeated in several years. Usually. Together. One HR specialist has characterized the general summary statement as follows: "In thirty words or less. and date of analysis may be given.5. It contains clear. * General Summary. and employees. The components of the job specifications provide information necessary to determine what accommodations might and might not be possible under Americans with Disabilities Act regulations. skills. The drafts should be relatively complete and identify areas where additional clarifications are needed.
76 * Disclaimer and Approvals. Job titles should be descriptive of job functions performed. .8 Writing Job Specifications Job specification can be developed from a verity of information sources. among other functions. The general format for an essential function statement is as follows: (1) action verb. Obviously. so that the job description is not viewed as a "contract" between the employer and the employee. The miscellaneous clause typically listed last is included to assure some managerial flexibility. Furthermore. It is important to use precise action verbs that accurately describe the employee's tasks.7 Writing Job Descriptions All HRM literature focuses attention on the importance of well-written job descriptions. duties.6. The final section on many job descriptions contains approval signatures by appropriate managers and a legal disclaimer. If a job requires an accounting supervisor to prepare several reports. Legal compliance requires that they accurately represent the actual jobs. (2) to what applied. specific functional duties should be grouped and arranged in some logical pattern. 6.5. and responsibilities. This disclaimer allows employers to change employees’ job duties or request employees to perform duties not listed. not what the ideal candidate would have. 6. It is ADA important average duties so that the most essential (in criticality and amount of time spent) be listed first and the supportive or marginal ones listed later within that framework.5. the job analysis process provides the primary starting point. the job specifications listed should reflect what is necessary for satisfactory job performance. statements relating to the preparation of reports should be grouped together.6. But any job specification included must be based on what is really needed to perform a job. (3) what/how/how often. There is a real art to writing statements that are sufficiently descriptive without being overly detailed.
77 PART SEVEN RECRUITMENT AND SELECTION .
but setting an unrealistically high level for candidates increases the problems of attracting them. interviewing. outsourcing recruitment. Part seven covers the main features of the recruitment and selection process in the areas of obtaining and selecting candidates under the following headings: defining requirements. A role profile listing competence. Understating requirements can be equally dangerous. It is natural to go for the best. advertising. assessment centers. But more information may be required to provide the complete picture for advertising and briefing candidates on terms and conditions and career prospects. a. These provide the basic information required to draft advertisements. but it happens much less frequently. advertising. brief agencies or recruitment consultants. Selecting candidates: Sifting applications. final stages. The three stages of recruitment and selection are: Defining requirements: Preparing job descriptions and specifications. qualifications and offers. In addition. improving the effectiveness of recruitment and selection. offering employment. Attracting candidates: Reviewing and evaluating alternative sources of applicants. The biggest danger to be avoided at this stage is that of overstating the competencies and qualifications required. inside and outside the company. A role profile will set also out output expectations and competency requirements for interviewing purposes 'competency-based recruitment is considered in more detail below). Defining Requirement The number and categories of people required should be specified in the recruitment program. Requirements for particular positions are set out in the form of job descriptions and person specifications. types of interviews. there will be demands for replacements or for new jobs to be filled. educational and experience requirements produces the job criteria against which candidates will be assessed at the interview or by means of psychological tests. obtaining references. and assess candidates. attracting candidates.78 7. and these demands should be checked to ensure that they are justified. using agencies and consultants. preparing contracts of employment. assessing candidates. the number and quality of employees required to satisfy the human resource needs of the company. It may be particularly necessary to check on the need for a replacement or the level or type of employee that is specified. skill. and results in dissatisfaction when they find their talents are not being used. at minimum cost. The best approach is to distinguish between essential and desirable requirements. which is derived from the human resource plan. testing. The Recruitment and Selection Process The overall aim of the recruitment and selection process should be to obtain. deciding terms and conditions of employment. references. − − − − − − − − .
able to cope with change. one of the traditional classification schemes can be used. interests . physique. attainments . administering fairly complex paperwork processes. steadiness. * The fivefold grading system: The fivefold grading system covers: impact on others . occupations of family. job evaluation. A basic approach is to set out and define the essential or desirable requirements under the key headings of competences. of course. general intelligence . work experience. Additional information can be provided on specific demands. appearance.acceptability. The most familiar are the seven-point plan> The seven-point plan The seven-point plan covers: physical make-up . manual dexterity. social. identify and solve problems and 'think on one's feet'. Circumstances .education.physical make-up. qualifications and training and experience. able to make sense of issues.domestic circumstances. artistic. job analysis. experience. to exercise self-control and to learn new behaviors. It is. able to maintain appropriately directed energy and stamina. counseling techniques. lo be flexible and to handle uncertainty. disposition . vocational training. inputting data to computers. (1) Work-based competences: * Essential in: all aspects of recruitment including test administration. physically active. dependability.intellectual.mechanical.79 When the requirements have been agreed. appearance. selfreliance.education. able to communicate well. influence over others. * Desirable in: administering OPQ test. . special aptitudes . qualifications. they should be analyzed under suitable headings. * Behavioral competencies: able to relate well to others and use interpersonal skills to achieve desired objectives. There are various ways of doing this. facility in the use of words or figures.fundamental intellectual capacity. necessary to spell out separately the terms and conditions of the job. speech and manner. practical. constructional. * Qualifications/experience: Alternatively. bearing and speech. conducting training sessions. able to influence the behavior and decisions of people on matters concerning recruitment and other personnel or individual issues. interviewing techniques. orally and on paper. acquired qualifications . focus on achieving results.health.
teamwork. personal drive. and places more emphasis on the dynamic aspects of the applicant's career. tests and assessment centers. ability to stand up to stress and ability to get on with people. Adjustment emotional stability. communication skills. A competencies approach can help to identify which selection techniques. The competencies used for recruitment and selection purposes should meet the following criteria: o They should focus on areas in which candidates will have demonstrated their competency in their working or academic life . The framework can be defined in terms of work-based competences. are most likely to produce useful evidence. and that those characteristics will be described in terms which both can understand and agree. o It facilitates a closer match between the person's attributes and the demands of the job. o They can be assessed in a targeted behavioral event interview in which. in some ways. It provides the information required to conduct a structured interview in which questions can focus on particular competency areas to establish the extent to which candidates meet the specification as set out in competency terms. such as psychological testing or assessment centers. o It can underpin the whole range of recruitment techniques . for example. The advantages of a competency-based approach can be summarized as follows: o It increases the accuracy of predictions about suitability. * Using a competency-based approach: A competency-based approach means that the competencies defined for a role are used as the framework for the selection process. . (earn membership and analytical ability.application forms. The competencies therefore become a fundamental part of the selection process. but increasingly.e. his or her consistency and determination in following them up. interviews. o It helps to prevent interviewers making 'snap' judgments. motivation the kinds of goals set by the individual.g. if team management is a key competence area. The fivefold grading scheme is simpler.g. Both can provide a good framework for interviewing. interviewers are using a competency-based approach. and success in achieving them. candidates can be asked to give examples of how they have successfully built a team and got it into action. leadership. which refer to the personal characteristics and behavior required for successful performance in such areas as interpersonal skills. e. leadership. initiative.80 innate abilities . which refer to expectations of what people have to be able to do if they are going to achieve the results required in the job. It can also include definitions of required behavioral competencies. The benefit of taking a competencies approach is that people can identity and isolate the key characteristics which would be used as the basis for selection. the seven-point plan has the longer pedigree. o They can be used as criteria in an assessment centre.natural quickness of comprehension and aptitude for learning. achievement motivation. * Choice of system: Of these two systems. o They are likely to predict successful job performance.
opportunities for education and training. If. pay. This means looking at the alternative sources mentioned above and confirming. These need to be compared with the competition in order that a list of what are. and outsourcing to consultants or agencies. The aim of the study might be to prepare a better image of the organization for use in advertisements.1 Attracting Candidates Attracting candidates is primarily a matter of identifying.2 Analysis of recruitment strengths and weaknesses The analysis of strengths and weaknesses should cover such matters as the national or local reputation of the organization. the first question to ask is whether an advertisement is really justified. When making the choice.81 A competency approach along these lines can provide the most effective means of identifying suitable candidates as part of a systematic selection process. If there are no people available within the organization the main sources of candidates. the labor market is a buyer's market. selling points can be drawn up as in a marketing exercise. The objectives of an advertisement should be to: Attract attention . Consideration should be given as to whether it might be better to use an agency or a selection consultant. that they will not do. then the organization that is selling itself to candidates must study their needs in relation to what it can provide.the strengths and weaknesses of the organization 3s an employer. Advertising is the most obvious method of attracting candidates. although some organizations with powerful equal opportunity policies (often local authorities) insist that all internal candidates should apply for vacancies on the same footing as external candidates.it has to communicate in an attractive and interesting way information about the job. evaluating and using the most appropriate sources of applicants. However. the company. in the latter sense. brochures or interviews. in cases where difficulties in attracting or retaining candidates arc being met or anticipated. it may be necessary to carry out a preliminary study of the factors that are likely to attract or repel candidates . refer to the three criteria of cost. 7. are advertising. . create and maintain interest . the terms and conditions of employment and the qualifications required. in which the preferences of potential customers are compared with the features of the product in order that those aspects that are likely to provide the most appeal to the customers can be emphasized. preferably on the basis of experience. but they are also buying what the organization has to offer.it must compete for the interest of potential candidates against other employers. Security of employment. the intrinsic interest of the job.3 Sources of candidates First consideration should be given to internal candidates. speed and the likelihood of providing good candidates. in a sense. Or it might have the more constructive aim of showing where the organization needs to improve as an employer if it is to attract more or better candidates and to retain those selected. selling themselves. Candidates are. in effect. employee benefits and working conditions. Nevertheless. career prospects. 7. 7. and the location of the office or plant.
7. such as career prospects. The simplest and most obvious approach is to set out the job title in bold type. It can devise an attractive house style and prepare layouts that make the most of the text. such as growth or diversification. Do not use box numbers . the scope and scale of activities. Add any selling points.qualifications. and any other areas of interest to potential candidates. there is much to be said for using an advertising agency. No one will admit to not having either of them. Moreover. The name of the company should be given. This will vary from candidate to candidate. and the other details about the job and the rate of pay should provide them with enough information about the sort of experience required.82 Stimulate action . These have no real meaning to candidates. The headline is all-important. − the job. They are cheap but suitable only for junior or routine jobs. − the pay and benefits offered. Create interest in the job but do not oversell it. The essential features of the job should be conveyed by giving a brief description of what the job holder will do and.the message needs to be convoyed in a manner that will not only focus people's eyes on the advertisement but also encourage them to read to the end. − the location. An agency can provide expertise in producing eye-catching headlines and writing good copy. an agency can advise on media.6 Choose type of advertisement The main types of advertisement are the following: Classified/run-on. 7.5 Write the copy A recruitment advertisement should start with a compelling headline and then contain information on: − the organization. There is no point in overstating requirements and seldom any point in specifying exactly how much experience is wanted. determination and initiative. Phrases such as 'proven track record' and 'successful experience' are equally meaningless. Be careful about including a string of personal qualities such as drive.4 Decide who does what When planning a campaign or recruiting key people. help in response analysis and take up the burden of placing advertisements. the logo and any 'white space' round the advertisement. − the person required . it can advise on ways of achieving visual impact by the use of illustrations and special typographical features. − the action to be taken. with no white space in or around the advertisement no paragraph spacing or indentation. . Finally. 7. use a consultant. as far as space permits. experience etc. in which copy is run on. The qualifications and experience required should be stated as factually as possible. as well as prompt a sufficient number of replies from good candidates.if you want to remain anonymous.
and semi-display can be much more effective than run-on advertisements. They are fairly cheap.7 Plan the media An advertising agency can advise on the choice of media (press. Professional and trade journals can reach your audience directly. The popular press can be used to reach staff such as sales representatives and technicians. Full display.10 The individual interview is the most familiar method of selection.83 Classified/semi-display. 7. television) and its cost. Types of Interviews ( Individual interviews) 7. The most typical situation is that in which a personnel manager and line managers see the candidate at the same time. Agencies should be briefed carefully on what is wanted. This has the advantage of enabling information to be shared and reducing overlaps. which are bordered and in which any typeface and illustrations can be used. It can be cheaper to advertise. Cost per reply is the best ratio.8 Evaluate the response Measure response to provide guidance on the relative cost-effectiveness of different media. The so-called 'quality papers' are best for managerial. They are usually quick and effective but quite expensive. 7. Local papers are obviously best for recruiting office staff and manual workers. If only one interviewer is used. technical and professional jobs. . Agencies can charge a fee of one month salary for finding someone.10. The interviewers can discuss their joint impressions of the candidate's behavior at the interview and modify or enlarge any superficial judgments. They can be expensive but obviously make the most impact for managerial. It involves face-to-face discussion and provides the best opportunity for the establishment of close contact-rapportbetween the interviewer and the candidate. 7. They produce unsuitable candidates from time to time but the risk is reduced if they are clear about your requirements. paragraphs can be indented and white space is allowed round the advertisement.1 Interviewing panels Two or more people gathered together to interview one candidate may be described as an interviewing panel. in which the headings can be set in capitals.9 Outsourcing Recruitment Most private agencies in Egypt deal with high qualified staff. 7. professional and technical jobs. there is more scope for a biased or superficial decision. hut results can be erratic and it may be advisable to use them to supplement a national campaign. and this is one reason for using a second interviewer or an interviewing panel.
the period of time in employment. of course. The factual information is straightforward and essential. * References.11 Improving the Effectiveness of Recruitment and Selection The first requirement is to take great care in specifying the competences and behavioral characteristics required of employees. entirely useless. the reason for leaving (if relevant). Applicants often withdraw.2 Selection boards Selection boards are more formal and. All they prove is that the applicant has at least one or two friends. . Their only advantage is that they enable a number of different people in have a look at the applicants and compare notes on the spot. convened by an official body because there are a number of parties interested in the selection decision. It is simply necessary to confirm the nature of the previous job. possibility. 7. This is normally ‘subject to satisfactory references' and the candidate should. The disadvantages are that the questions tend to be unplanned and delivered at random. in fact. privileged as long as they are given without malice and are factually correct). Wherever possible.purpose and method: The purpose of a reference is to obtain in confidence factual information about a prospective employee and opinions about his or her character and suitability for a job. although they would be fully competent in the less formal or less artificial situations that would face them in the job. or to obtain a lever with which to persuade their present employers to value them more highly. Opinions about character and suitability are less reliable and should be treated with caution. 7.10. They can also underestimate the qualities of those who happen to be less effective in front of a formidable board. a provisional decision to make an offer by telephone or in writing can be made. Previous or present employers who give references tend to avoid highly detrimental remarks either out of charity or because they think anything they say or write may be construed as slanderous or libelous (references are. Selection boards tend to favor the confident and articulate candidate. The second is to use a wider range of methods to identify candidates who match the specification. the salary or rate of pay and. the prejudices of a dominating member of the board can overwhelm the judgments of the other members. structured interviewing techniques should be adopted as described . but in doing so they may miss the underlying weaknesses of a superficially impressive individual. the attendance record. especially those whose only purpose in applying for the job was to carry out a test marketing operation. If there is more than one eligible candidate for a job it may be advisable to hold one or two people in reserve. be told that these will be taken up. larger interviewing panels. At the very least. of course.12 References and Offers After the interviewing and testing procedure has been completed. Personal referees are. As noted earlier. and the candidates are unable to do justice to themselves because they are seldom allowed to expand.84 7. usually. psychological tests should be used to extend the data obtained from the interview. the predictive quality of the traditional interview is limited. The reason is obvious.
why not)? Telephone references may be used as an alternative or in addition to written references. If brief details about the job are included (these may be an extract from the advertisement – they should certainly not be an over-elaborate job description). They may take the form of an invitation to write a letter confirming the employment record and commenting on the applicant's character in general. and the applicant has passed the medical examination required for pension and life assurance purposes or because a certain standard of physical fitness is required for the work. The great advantage of a telephone conversation is that people are more likely to give an honest opinion orally than if they have to commit themselves in writing. previous employers can be asked to express their views about the suitability of the individual for the job. how well can existing or ex-employers judge the suitability of someone they may not know particularly well for another job in a different environment? More factual answers may be obtained if a standard form is provided for the employer to complete. The contract of employment should also be prepared at this stage. especially if they are standardized. by telephone if possible.85 Written references save time. But allowance should be made for prejudice and a check should be made. The questions asked on this form could include: − What was the period of employment? − What was the job title? − What work was carried out? − What was the rate of pay or salary? − How many days' absence over the last 12 months? − Would you re-employ (if not. Opinions have to be treated with more caution. Unless the job and companies are identical. Employer references are necessary to check on the facts given by the prospective employee.13 Confirming the offer The final stage in the selection procedure is to confirm the offer of employment after satisfactory references have been obtained. It may also save time to use the telephone. Poor or grudging references must create some alarm. . and it is worth comparing it with a reference from another employer (two employment references are desirable in any case). A very glowing reference may arouse suspicion. But this is asking a lot. 7. if only because they ore so infrequent.
86 PART EIGHT COMPUTER APPLICATION IN HUMAN RESOURCES .
These benefits will only be achieved in full if a strategic and organization view is taken of HR information requirements. thus facilitating the development of an integrated and coherent approach to HR management. 8. starting from basic employee records and extending to highly sophisticated 'expert' systems which focus on fundamental HR decision areas. enabling personnel people to access and analyses information quickly to put their ideas and plans to the test .1 HR Information Strategy The HR strategy of an organization in relation to HR information is concerned first: with the use of computerized information for strategic decision making. human resources requirements. not just cutting costs.87 8. 8. eliminating low-value tasks while still enabling the function to provide efficient administrative services. (6) Analysis of productivity levels.2 Range of applications There is an immense range of applications to choose from. 8. (3) Determination of future development and training needs.1.it helps in the identification of the benefits of HR strategies in terms that the business can recognize as adding value. (4) Determination of the performance and personality characteristics of the people who will be successful in the organization. (4) Reduce the workload of the HR function. .1 Strategic decision taking The strategic areas involving computerized information and the knowledge gained from analyzing that information includes macro concerns about organization. Specifically the information may focus on areas such as: (1) Organization development.1. (2) Human resources plans. If the system is simply used to automate certain aspects of HR administration such as record keeping it will not realize its full potential. second: with the range of applications which should be included in the system and finally with the provision to line managers of the facility to have direct access to any personnel data they need to manage their own teams in a devolved organization. employee development and organizational health. (3) Provide essential data for strategic HR decision taking. and the utilization of human resources. (2) Provide a conduit to link HR policies and processes throughout the organization. (5) Assessment of the 'health' of the organization. (7) Analysis of the scope for cutting down the number of employees. Benefits of a Computerized Human Resource Information System A human resource information system can: (1) Enable the HR function to provide better services to line management.
(5) Production of standard letters and contracts. An effectives system will have the following features: (1) Meets business needs.2 Rating of "System Features" The systems features rated highly by organizations are: (1) Employee records. (10) Appraisal records. (4) Sophisticated modeling tools for such activities as human resources planning and reward management.1 The Functions of a Computerized HR System The basic functions of a computerized HR system are to: (1) Hold personal details about individual employees including career history.2. The additional 'functionality' that a system can incorporate comprises: (1) The recording and analysis of absence. pay and benefits. (7) Jobs /skills matching. (9) Attendance recording. (3) Produce reports summarizing different aspects of this information. (8) Workforce planning. (6) Absence recording and monitoring. (6) ‘What-if' modeling. attendance and labor turnover (2) Recruitment and training administration. (3) Shift or roster planning. including grade. (2) Hold details about employees' jobs. (3) Sick pay and maternity pay calculations.88 8. which enable the system to be used to support strategic decision-making. (2) Lip evaluation. hours. or more commonly they maintain a direct link. . (10) Disciplinary recording.2. 8. skills and qualifications. (4) Equal opportunity monitoring. locations. job description or role definition. (6) Systems may be completely integrated with payroll. (4) Organization charting. The features that were not so highly rated were: (1) Psychometric testing. (8) Enquiries. (7) Annual leave records. (5) Linkages to the internet or to the internal intranet.1.1. (11) Salary modeling. (3) Job evaluation. (2) Payroll. leave and absence records. (5) Succession planning. (9) Training needs analysis.
Reliability. Good supplier support. Lack of clarity about Ensure that care is taken in specifying responsibilities and responsibilities for spelling out how information can be used supported by generating information on training and continuing guidance (a ‘help line’ to a systems how the system can be used or networks manager is a good idea) to generate useful information Inadequate reporting (1) Define report specifications carefully in advance. Good reporting facilities.89 (2) (3) (4) (5) (6) (7) 8. (2) Why different pieces of data are collected. Value for money. (3) Advise managers on how they can use the system to their benefit. dissatisfaction (3) Check views about the quality of reports and amend them as necessary. Main problems of computerized HR system and how to deal with them: Computer system problems and solutions Problems Solutions Poor data quality Pay particular attention to getting accurate data into the system by training and monitoring. (3) Links to other systems. Lack of understanding of the Provide ‘contextual training’ covering: system by users (1) Data sources (who provides the data and in what form).2 User-friendliness. . to contribute or maintain (2) Ensure that managers can access the system easily. capability .this is an aspect (2) Take care in designing report layouts and contents on or system that causes mot the basis of surveys of user needs. Land equate coding of data Take care in setting up coding structures and train users in producing unhelpful reports how to use codes. information possibly via the intranet. Flexibility. Line managers resent having (1) Minimize form filling.
5. • Database management.3 Involving line managers The strategy for extending the system to line managers will clearly be entirely dependent on the organization's policies for devolving personnel decisions to them.4 8. • Prepare a high-level statement of requirement.4. its implementation will be much more likely to take place if the information required by line managers is made available. 8. either because this is happening generally within organizations or because of the special advantages of having a distributed and easily accessible system for personnel application. • Identify the options available to meet the HR business requirements. It will be vital to ensure that the hardware is appropriate to the organizational requirements in that PCs and terminals are provided where needed and are linked together in a network as required. • The degree to which the system is integrated with the payroll. But the number of networked PC systems using either mini or microcomputers in increasing.90 8.2 Preferred characteristics of an information system The preferred characteristics of an information system include: • Direct input of data at source. not just a dedicated expert. • The development program. (2) Define what outputs are required from the system in the form of information and reports. • Systems able to deal with administrative processes. But if this is the policy.1 Developing an Information System Overall approach The following are the typical stages in the development of a computerized HR information system: (1) Establish the current and future needs of the business and how these impinge on HR. The detailed points to be considered when developing a system are: • The choice of hardware.5 Choice of hardware There may be no choice of hardware-some systems are still linked to a mainframe computer.4. • Systems that provide the information needed by line managers in an easily understood format. • Prepare a recommendation on how to proceed for executive approval and buy-in. and the implications for information systems. • Systems that can be used by the 'occasional user'. 8.1 Database management . 8. not simply a management information system. • The choice of software. 8.
i. retirement. through and out of each group. training administration and job evaluation.e.5. on time and within the budget.3 (1) (2) (3) (4) (5) The development program The 10 steps required to develop and implement and information system are: Determine objectives. or out of each level of the system. Prepare a business case for the system. setting out the benefits and the costs. contacts and addresses and employee transactional data. (10) Provide training to all users to ensure that they can operate and get the most out of the system. (6) Select the system in the form of the hardware and the software required. The software houses are constantly innovating and developing their products and between them provide something for everyone. through. resignation (uncontrolled losses). early retirement (controlled losses) .5. pay details. The base data is likely to be of much better quality if it is used in such day-to-day processes as recruitment.transfers out. Prepare a requirements specification which will set out in detail what the system is expected to do and how the company would like to use it. 8. 8. (9) Control the project against the implementation program to ensure that it delivers what is required.: • Flows in -recruitment. Carry out a feasibility study to consider applications and their likely costs and benefits.4 Examples of Applications * Personal records These can include personal details. the program or set of programs that develops and uses the database and database application. there is a lot to be said for having an integrated system. Although many organizations have separated the payroll and purely personnel applications.5. Particular attention has to be paid to the database management system. * Human resource planning An information system can be used to model the effects on groups of people within the organization of change over time in the numbers and structure of each group and movements into.2 Software There is a massive and almost bewildering choice of software packages for application programs to provide information and generate reports. (11) Monitor performance to ensure that the system lives up to expectations. (8) Involve users to ensure that everyone who will benefit from the system can contribute their ideas and thus feel that it is their system rather than one imposed upon them.a self-describing collection of integrated personnel records. The user has considerable freedom in defining the number and type of flows required whether into. transfers in. (7) Plan the implementation program to ensure that the objectives will be achieved within a given time scale and in line with the cost budget. job details. • Flows out . 8. employment contracts.91 The system should be founded on a database . performance appraisal.
Human resources planning is an interactive process which is always using output from one part of the process to influence another part of the process. − Forecast future employee requirements. − Control employee budgets. Profiling models can be used to: − Monitor and analyze employee utilization. competences and experience of the individuals they employ. training and career planning. − Monitor movements in expenditure on pay and other employee benefits and carry out sensitivity tests on the impact of different pay assumptions. promotion. * Employee scheduling An information system can be used to provide an integrated system for matching the numbers of employees to business needs. The provide a critical input to other areas of human resource decision making such as policies on recruitment. − Flex employee budgets on the basis of revised activity level forecasts. − Test the effects of moving some activities to different times of the year and analyze their predicted impact on the employment profile. These can be compared with estimates of current and future requirements to identify areas where recruitment or training action is required. * Employee profiling Profiling is a particular aspect of employee scheduling concerned with the matching of staff to workloads and ensuring that the right number of people are available to meet fluctuations in activity levels over time. Profiling techniques are used where there are measurable volumes of work that can be costed and forecast with reasonable accuracy.92 * Employee turnover monitoring and control Computer models can monitor and help in the control of employee turnover. The process of scheduling human resources to meet output in processing targets is becoming increasingly complex with the availability of more flexible ways of deploying people. Profiling can be linked with employee budgeting control in the sense that the use of people is both constrained and influenced by the cash budget and performance and employee establishment targets. . − Synchronize the recruitment of permanent and temporary employees with forecast workloads. * Skills inventories and audits Many organizations need to store detailed information about the skills. Periodical audits can be carried out by the information system of the skills and competences available in the organization. redeployment.
A system can also: − Analyze and report on average pay or pay distributions by job. The database can be used in more advanced applications to assist in establishing selection profiles with the standards against which potential job holders can be assessed in order that the right people can be appointed to or promoted into jobs. promotions and pay levels. − Calculate the effects of attrition. − Calculate comp-ratios to show how average pay in a range differs from the target pay. analyzing proposals against the budgets and calculating the cost of performance-related pay awards in accordance with different assumptions about amounts and the distribution of awards within a budget. − Management reports. − Administer pay reviews. producing review forms. − Assist in job evaluation. offers and rejections.5.5.7 Performance management An information system can help to operate performance management. − Retrieval and amendment of those details.93 * Competency modeling Competency modeling brings together organization planning and performance management data to establish the skills or competencies required to do particular jobs. − Matching CVs to person specifications for short-listing purposes. 8. analysis of response by media and monitoring recruitment costs. invitations to interview.5. − Generate instructions to adjust pay as well as letters to individuals informing them of their increases. grade. generating forms. analyzing and reporting on the result of performance reviews showing the distribution of people with different degrees of potential or performing at different levels.5 Recruitment A recruitment system can carry out the following tasks: − Storage of applicants' details. age or length of service.8 Training administration (computer-managed learning ( A system can be used for training administration by: . 8. 8. and highlighting individuals with particular skills or special promise. Profiles can then be developed by the computer and matched to assessments of current job holders or job applicants. − Letter writing acknowledgements.6 Reward management The system can be used for pay modeling and to carry out a number of reward administration activities.5. − Forecast future payroll costs on the basis of assumptions about numbers. − Provide information to line managers which will guide them to their pay decisions. 8. − Link with internet recruiting process.
routings. second. Recording and monitoring training expenditure against budget. Generating instructions and notes for guidance for all concerned with providing or undergoing on-the-job training programs. first. − Get employees to explain the reason for late arrival.94 − − − − − − − − − − − Storing e-learning modules on the database. Handling correspondences about training courses.out time and the hours actually worked. − Can be linked to the payroll system for pay and bonus calculation purposes and to a flexible working hours system. responsibilities for giving training. Career management 8. with assessments of organizational requirements as generated by the human resource planning models and. The system does this by analyzing the progression of individuals and comparing the results of that analysis. continuation or development training programmes. including syllabi.5. 8. − Enable employees to record the time spent on particular jobs. . Storing data on standard or individually tailored induction. Producing reports summarizing current and projected training activities and calculating the output of training programs .10 Absence control Absence control can be carried out with the help of computerized time recording and attendance systems which: − Record clocking-on or. Storing progress reports and monitoring achievements against training objectives. Identifying suitable training courses to meet training needs. Analyzing the training recommendations contained in performance review reports to identify collective and individual training needs. or any other absence. − Provide team leaders with a statement showing the length and reasons for absence.this can be linked to human resources planning models including those designed to determine the input of trainees required for training schemes. test procedures and progress reporting.5. which enables trainers to select an appropriate module or mix of modules to meet a specified learning need. early departure. Advanced systems link information obtained from clocking-on or -out direct to a screen in team leaders' offices so that they can have instant information on how many people are at work and on the incidence of lateness. Making arrangements for off-the-job courses. with the outputs of the performance management system. Informing employees about the arrangements for courses.9 A system can help in the implementation of career management policies and procedures which embrace both career planning and management development.
what does the system do. regular audit of the system should be carried out to obtain answers to these questions: − Is the system being used efficiently and effectively? − Are there any barriers to the effective use of the system? − Does the technology enable managers or merely dictate to them? − Are there any aspects of the system which are causing dissatisfaction in the HR department. which.5. and how well does it do it? What additional functions might be useful? − How effective are the systems links. service and location. This is done by: − Defining the evaluation rules. − Programming the computer to ask appropriate questions concerning each factor in a job to enable it to apply the evaluation rules. with senior management or line managers? − Are there any problems with data inaccuracy? − Are reports accurate. job grade. Expert systems are developed through a process of knowledge engineering which starts from a knowledge base containing facts and a body of expertise about the use of those facts. − Storing the information in the computer's memory so that it can be called to the screen or printed at any time. 8.5.95 8. This information can be analyzed to produce data on the distribution of ethnic minorities by occupation. the use of data in different applications? .12 Expert systems Knowledge-based software or expert systems are computer programs which contain knowledge about particular fields of human activity and experience. − Grading and ranking jobs. age. through linkages and rules built into the system design. An expert system can produce a list of suitable candidates for promotion by using information from the database. − Applying the rules consistently and determining the factor score for the job.11 Equal opportunity monitoring The system can store records of the ethnic composition of the workforce. 8. What can loosely be described as expert systems are also used in job evaluation applications where they make use of a database of job analyses and evaluations in order to make consistent judgments about evaluation scores. can help solve human resource management problems.13 Auditing the System As suggested by Robinson.5. helpful and used for decision-making? − What is the functionality of the system? That is.