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Master of Business Administration – MBA (Human Resource) Semester 1

Q.1 List and explain the sources of recruitment?

Ans: Before an organization actively begins to recruit applicants it should consider the most
likely source of the type of employees it needs. Some companies try to develop new sources
while most try to tackle the existing source they have. These sources, accordingly, may be
termed as –internal and external sources. These sources are described as below:-

Internal sources

An internal source is one of the important sources of recruitment. The employees already
working in the organization may be more suitable for higher jobs than those recruited from the
outside. The present employees may help in the recruitment of new persons also. Internal
sources include the following:

• Present Employees:

Promotion and transfer from among the present employees can be a great source of
recruitment.

a) Transfer: Transfer involves shifting of persons from present jobs to other similar
places. These do not involve any change in rank, responsibility and prestige. The
numbers of persons do not increase with transfer but vacant posts may be attended to.

b) Promotions: Promotion refers to shifting of persons to positions carrying better
prestige, higher responsibilities and more salaries. The higher position falling vacant
may be filled up from within the organization. A promotion does not increase the
increase the number of person in the organization. A person going to get a higher
position will vacate his current position. Promotion avenues motivate employees to
improve their performance so that get promotion to higher positions.

• Employee Referral:

Employee referral can be a good source of internal recruitment. Employees can develop
good prospect for their families and friends by acquitting them with the advantage of a
job with the company furnishing letters of introduction and even encouraging them to
apply. This source is usually, one by the most effective methods of recruiting because
many qualified people are reached to the company at a very low cost. But a major
limitation of employee referral is that the referred individuals are likely to be similar in
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types to those who are already working in the organization. This may lead to informal
group based on religion, sex or race.

• Former Employees:

Former employees are another internal source of recruitment. Some retired employees
may be willing to come back to work on a part time basis or recommended someone who
would be interested in working for the company. Sometimes people who have left the
company for some reason or the other are willing to comeback and work. An advantage
of this is that the performances of these people are already known.

• Previous Applicants:

Although not an internal source, in the true sense, those who have previously applied for
jobs can be contacted by mail. This is a quick and an inexpensive way to fill an
unexpected vacancy. This is a very suitable method for filling the professional openings.

External Sources:

Every organization has to use external sources for recruitment to higher position when existing
employees are not suitable. More persons are needed when expansion are undertaken. Those
methods are as follows:

• Advertisement: Advertisement is the best method of recruiting persons for higher and
expensive jobs. The advertisements are given in local or national press, trade or
professional journals. The requirements of jobs are given in the advertisements. The
prospective candidate evaluates themselves against their requirement of jobs before
sending their application.

• Employment exchange:

Employment exchange run by the government are also a good source of recruitment.
Unemployed persons get themselves registered with these exchanges. The vacancies may
be notified with the exchanges, whenever there is a need. The exchanges are a suitable
source of recruitment for filling unskilled, semi-skilled, skilled and operative posts. The

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job seeker and the job givers are brought together into contact by the employment
exchange.

• Unsolicited Application

Person in search of employment may contact employers through telephone, by post or in
person. Generally, employers with good reputation get unsolicited applications. If an
opening is there or is likely to be there then these persons are considered for such jobs.
Personnel dept. may maintain a record of unsolicited applications. When jobs suitable for
these persons are available these are considered for employment.

• Professional organization

Professional organizations maintain complete bio-data of their members and supply it to
companies on demand. These organizations also act as exchange between the members
and recruiting firms. Firms may seek clarification and clear doubts about persons they
want to recruit.

• Data banks

The recruiting firms can prepare a data bank about various persons in different fields.
They can collect information from educational institutions, employment exchanges,
professional organizations etc.

• Casual callers:

Management may appoint persons who call casually on them for meeting short-term
demand. This will avoid following regular procedure of selection. These persons are
appointed for a shot period only. They need not be paid retrenchment or lay off
allowance. It is economical.

• Labour contractor:

It is quite common to engage contractors for the supply of labour. When workers are
required for short periods and are hired without going through the full procedures of
selection etc. contractors or jobbers are the best sources of getting them.

• Campus recruitment:

Colleges and universities, research laboratories are also an useful source of recruitment
for recruiters. The IIMs and IITs are on the top list for the recruiters. Also some

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companies are bound to recruit a number of candidates from these colleges every year.
But it is an expensive method.

Apart from these soruces like trade unions, gate recruitment, walk ins, write ins, talk in,
competitors are useful sources of recruitment.

Q.2 Write a note on objectives of training?

The training objectives are laid down, keeping in view the company’s goals and objectives. But
the general objectives of any training programme are as follows:

1. The basic objective of training is to help develop capacities and capabilities of
employees- both new and old by upgrading their skills and knowledge so that the
organization could gainfully avail of their services better for higher grade professional,
technical, sales or production from within the organization.

2. Training aims to help existing employees in improving their levels of performance on
their present job assignments. In case of new employees, training has its objective to
provide them with basic knowledge and skills they need for an intelligent performance of
their specific tasks.

3. The aim of training are not only providing new knowledge and job skills to the
employees, but creating in them self consciousness and a greater awareness to recognize
their responsibilities and contribute their very best to the organization they serve.

4. Sometimes, it may not be possible for the management to fill in some important work
position from outside. Under such condition, the apprenticeship programmes aiming at
improving the skills of the present employees come to the aid of the company to tide over
the position by making available their requirement of the personnel from within the
organization.

5. The main objective of training is to bring about efficiency and effectiveness in an
organization, so that the organization may remain competitive market situation and for
the achievement of the organizational goal.

6. Training plays a significant role in dynamic companies which are more than often on the
run for their survival, to bring about technological changes like automation, highly
mechanized and computer oriented system, which may in their turn create new problems,
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new methods, new procedures, new equipments, new skills and knowledge, new product
and services- all these make the functioning of training a must in an organization as
otherwise, the employees will find themselves to be helpless to handle new jobs and
adopt themselves to the change, they may feel frustrated and compelled to leave their
jobs.

Q.3 What are the different career development activities? Explain.

Ans: A variety of career development activities and tools exist for use in organizations. HR
manager should be familiar with these components because the manager often serves as internal
consultants responsible for designing the career developing system. Some of the activities
described are individual career planning tools and others are commonly used for organizational
career management.

A variety of career development activities are available for use. Some of the more
popular ones include:

1. Self assessment tool: These are usually technology enabled on-line ( on the corporate
internet) tools that form part of the performance appraisal system and allow the
individual to identify areas of strengths and parallelly identify career path that would
leverage these strength the best. E.g. career planning workbooks, career workshops
hosted by organizations from time to time.

2. Individual counseling: Formally the process allows for individuals to discuss this as
part of the performance management process with their immediate managers and share
and take feedback on the appropriateness of the choice and how to go about pursuing it.
Often managers recommended relevant other managers and leaders who the employee
can link with seek and seek advice and support. Organizations also provide for formal
“mentoring programs” to which an employee can enroll and sign up a mentor who can
then provide the support and counseling on the best career option and how to achieve it.

3. Information service: Organization have established policies on what skills and
experience that each job in the organization requires. Jobs with similar skills and
experience are clubbed together to create parallel career paths. These are typically called
career ladders or career paths and they help an employee identify what his option are for
future growth and identify the appropriate one based on his personal skills and
capabilities. These career paths would be supplemented with additional information on

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skills and experience that one must have each role in the career path. An employee
aspiring to pursue a career option would need to dedicate time and effort and the
expenses towards acquiring the same.

4. Initial employment programs: Organizations also run internship and apprenticeship
programs wherein the individuals aspiring to do a particular job can spend time as a
temporary employee to explore interest and skill fitment for the job.

5. Organizational assessment programs: Organizations can proactively establish formal
processes wherein an employee can volunteer to participate and understand him/her self
and hi/her strengths. Through the use of Assessment centre organizations can help an
employee identify areas for improvement and means of building those skills. So he can
achieve his career plans. Certain organizations offer psychological testing instruments
which profile the employee’s strength and roles and responsibilities he/she will best fit
into.

6. Developmental programs: these focuses on the effort of the employee towards helping
the employees to achieve his career goals. The assessment centre, job rotation programs,
in-house trainings, tuition refund plans, and mentoring, all prove effective tools to help
the individual along.

No matter what tools are used for career development, it is important that
employees develop and individualized career plan.

Q.4 Discuss some steps that are commonly practiced for motivating employees.

Ans: Some commonly practiced motivation steps are listed below:

1. Clearly analyzing the situation requiring motivation:

Every employee needs motivation. It is the primary responsibility of the manager to work
closely with each of his team members and identify the motivating factors that drive
effort and performance in them. Organizations usually have an annual process that allows
for conversation around career plans and aspirations. Managers needs to use this process
effectively and refer to it on-going to ensure that the employee and manager in the
thinking. Managers need to be aware that personal goals and aspiration could be selfish.
Given that the business cannot be sacrificed at the cost of employee motivation, a
balanced view is important. It is good to involve others in analyzing so the appropriate
action can be taken.

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2. Have a motivation tool kit:

Managers supported by HR, must have a list of motivational initiative from which she/he
could select and supply specific tools of motivation. A manager from his personal
experience should prepare a list of what devices are likely to work with that type of
people and how he/HR/the organization can support it.

3. Selecting and applying the appropriate motivator:

Assigning the right motivation technique is important. It is a good idea to involve the
individual and have him decide on what will best satisfy his needs. Give him an
understanding of the organization’s total goals and the part that he is contributing.
Motivation must establish attainable goals; therefore breaking up long term goal in to
smaller and short time bound goals are recommended. All along the manager needs to be
prepared in-case the employee’s aspiration are contrary or conflicting with the
organizational goals.

4. Follow up and review:

The process usually provides for on-going review. The primary objective is to ascertain if
an employee has been motivated or not. If not, some other techniques could be adopted.
Use rewards promptly and apply when results are good. Rewards must be tied to the
specific result and to commensurate with the contribution. A secondary purpose of
follow-up is to evaluate motivation plans for future guidance.

Q.5 Describe the grievance handling procedure?

Ans: The following steps depicts how the grievances of the employees can be redressed:

• Receiving the grievance: the manner and attitude with which the manager receives the
complaints of the grievance is important. The basic premise is that the manager should at
the outset assume that the employee is fair in presenting his/her complaint. The complaint
should not be prejudiced on the basis of past experience with this or other employees.
When an employee approaches the manager with a issue the manager needs to make
himself available to listen it all out and provide him/her the undivided attention. Research
confirms that managers who are more task oriented, as contrasted with managers who
were more people oriented, tended to experience a significantly higher number of
grievances being filed in their units.

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• Reviewing the grievances: Once a complaint is received all facts supporting the issue
need to gathered. Proper record keeping such as performance rating, job rating, attending
records, and suggestions are reviewed. In addition, with the increasingly legal implication
of the modern labour management relations, the manager should keep records on each
particular grievance. All action taken, discussion with the employee, summary and what
is agreed to all of it needs to be recorded.

• Analysis and decision: With the problem defined and facts in hand, the manager must
now analyze and evaluate them, and come to some decision. It is important for the
manager to involve others in the process to ensure that it is fair and is the best solution.
The manager must include the views of his own subordinates as he might not be aware of
all the implication of the problem and its resolution. Involving HR too is a recommended
process in all organization. HR can seek the finance or legal counsel if required, before
any decision is taken. All involved in the decision, making process needs to be aware that
decision may create an undesirable precedence within the department as well as the
company.

• Response: Often it might not be possible to provide a positive solution to the problem. If
the solution decided is decided is adverse to the employee’s views, attention needs to be
given to the method of communication. Employees dislike managers who will take no
stand, good or bad. Clearly communicating the message as such information as possible
about the decision making process helps in establishing credibility to the process used to
make the decision. The manager can also invite HR or his manager sit in the conversation
with the employees. As far as possible this should happen in a face to face meeting. In the
event an employee wishes to take appeal beyond to the next stage of the procedure he
must be allowed to do so. The manager must have the opportunity to explain his decision
to the other members so they can take a well –informed decision.

• Follow up: The objective of grievance procedure is to resolve a disagreement between an
employee and the organization. Open communication is important for this process. The
purpose of phase is to determine whether the employee feels that the problem has been
sufficiently redressed. If follow up reveals that the case has been handled unsatisfactorily,
then redefinition of the problem, further fact finding , analysis, solution and follow up are
required. At this stage the manager can step aside and allow someone else in a position of
authority like the HR or the manager’s manager to lead the process and close it.

The grievance handling procedure

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Principles suggested by the Indian Institute of personnel management for addressing
grievances are as follows:

• A grievance should be dealt within the limits of the first line manager.

• The appellate authority should be made clear to the employee so that if he cannot
get satisfaction from his immediate manager, he should know the next step.

• The grievance should be dealt speedily.

• In establishing a grievance procedure, if the grievance is against an instruction
given by the superior in the interest of order and discipline, the instructions must
carried out first and then only employee can register his protest.

Q.6 Write a note on types of groups?

Ans: Groups are commonly classified on the basis of purpose and goal; extent of structuring;
legal organization or setting. Classification of group on a very broad basis is done by grouping
people with similar skills or competencies together.

Characteristics of the group:

1. All groups have leaders.

2. All groups have followers.

3. They strive toward some common goal.

4. They have ideas about what it takes to achieve the goal.

5. Attempt to satisfy some form of members needs.

There are mainly two types of groups exists in an organizational structure. They are Formal
work group and in formal work group.

• Formal Work group:

Formal work group’s work together constitutes the whole organization. Therefore
following are the characteristics of formal work groups:

• They are sanctioned by some authority.

• There is prescribed division of labour.

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• Individuals are assigned specific responsibilities.

• There are stable and consistent personal interaction and

• Provisions are made for rewarding the group members.

All formal work groups have a designated leader who supervises the work of the group
members, monitors performance, provide feedback and training and is responsible for group
performance to a higher authority in the organization. He holds both the responsibility as well
as the authority to deliver the expectation from the group. How the leader goes about executing
this depends on the leadership style of the person. It would span from a completely autocratic to
a completely collaborative approach. No style can be discarded. As the nature of work, the
amount of supervision and the skills required in the work assigned to the group differs the style
would differ. Sometimes group members may or may not have a say in the objectives, rule of
behavior, task assignments, or performance standard of the group. Examples are the professors
in an academic department of a college, a surgical team in a hospital etc.

•Informal Work Group:

Informal work group exist in formal as well as informal organizations. Informal groups
are loosely organized groups such as cricket teams and social clubs that arise apart
from the formal organization to which members of informal groups may belong. They
exist because the formal groups established within the organization often fail to satisfy
all of the human needs to a sufficient degree. From the prospective of the employee,
informal work groups provide a source of satisfaction for security needs, social needs,
and esteem needs.

1. Informal work group and Security needs:

Informal groups help to support their members and to protect them from outside
pressure and authority. The group insulates the individual from a hostile working
environment. For example there might be informal group of south Indians in an
organization. When people first enter an organization, they may feel considerable
anxiety. Their surroundings are unfamiliar, the job is new, and the future is
uncertain. New employees often seek out an existing group to join for help in the
orientation process.

2. Informal work groups and Social needs:

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Many jobs restrict communication and interaction among workers. This makes it
difficult for people to form work friendship and to satisfy their needs for
companionship. People want to feel they belong and it easy to feel such
identification with small social groups in which relationships are based on shared
interest and values. In most offices, social groups are inevitable occurrences.
Social group members enjoy each other’s company as the work performed. They
many also eat lunch as a group take breaks at the same time or share a social life
outside the organization.

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