Essentials of HRM

June 2022
Question 1
Answer 1:
Introduction:
Human resource is one of the important departments of an organization, that recruit, hire, and
manage the manpower of the organization. Since recruitment is the basis of hiring and
retaining skilled, experienced, and talented employees in the firm, this process needs to be
well researched, planned, and monitored. Thus, one can say that planning is an essential part
of recruitment, and even for an organization, which involves the fulfillment of organizational
goals. It makes sure each department has surplus manpower to accomplish its goals.
Identifying the positions, skills, and knowledge required by those roles, and the current
workforce's performance level is all part of determining the human resources a business
requires. Thus, the HR demand technique helps to predict the future requirements of
employees.
Concepts and Application:
Any organization's human resource department is unquestionably vital. As a result, every
company must have the correct number of employees at the right time in the right location.
The right needs of human resources are quite important to plan the workforce efficiently. The
annual budget and long-term corporate plan, as well as activity levels for each function and
department, must serve as the foundation for the forecast. The sales budget would be turned
into a production plan in a manufacturing company, indicating the number and type of
products to be produced during each period. The number of hours that each skilled category
must labor in order to meet the quota for each period would be calculated using this
information. The next logical step after selecting the hours is to determine the quality and
amount of personnel. Various techniques are used by organizations for human resource
forecasting, majorly all these techniques are categorized into two parts:
1 Qualitative Method
2. Quantitative Methods

1. Qualitative Methods:
These methods are based on the skills, knowledge, areas of expertise, and interests of all
employees. Qualitative methods focus on the quality of employees rather than the number of
manpower in the company. Qualitative projections rely on managerial judgment on a more
personal level, identifying internal needs and then bidding for or training the necessary
talents. There are different techniques incorporated in the qualitative method, as mentioned
below:
 a) Experts Forecast: The technique wherein sometimes organizations outsource the HR
services for analysis and recruitment process is known as expert forecasts. People in
the HR department take advice from experts for forecasting the requirements of the
employee. They might check with internal experts within the organization or could
hire external experts.
b) Management Forecasts: In this type of technique, managers from various
departments have appointed the tasks of predicting the future requirements of
recruiting employees. They plan the type of skills, talent, and experience candidates
must the hired for the coming future to meet the meet organizational goals.
c) Delphi Technique: In this technique team of experts has the responsibility of
forecasting demand. These experts share the reviews and feedback. This process
continues till all the HR experts agree on the predicted requirements of human
resources. A summary is prepared based on the analysis done by the experts and then
discussed with the top management, if further revision is required then the same
process continues, or if everyone agrees then the particular forecast is used.

2. Quantitative Method: In the quantitative method, research-based on numbers, statistics, and

mathematical assessment is done. The outputs generated by quantitative methods are more precise and
detailed since they are backed by previous data and analysis. The quantitative types of techniques are
mentioned below:
a) Trend Analysis method: Trend analysis is the examination of a company's previous
employment demands through time in order to forecast future needs. The objective is to identify
trends that are likely to persist. It gives you a rough approximation for hiring the employees. This
technique uses past trends in the organization based on the hiring of employees, production
necessities, sales revenue, etc. Experts in the HR department review the previous data and form a
trend based on the going trend, analyze the same for preparing the forecast This trend could also be
based on the current market scenario and whether the current staff is capable to fulfil the supply.
b) Ratio Trend Analysis: The ratio trend analysis as the name suggests computes the ratio of past
data based on time series. This technique involves considering previous data and calculating their
ratios, which can be used to prepare a forecast of employees required in the future based on the factors
involved in ratios. For example: If production last year was 40000, and employees were 200, then the
ratio is 1:200, which means 1 employee makes 500 products. If next the demand is increased, due to
which production has to be increased up to 60000, then more employee is required to fulfill the
demand. Suppose the no. of employee is x the according to ratio trend analysis
1:200 = x: 60000,
x = 300
Thus, now required employees as per the new forecast will be 300.
d) Work Study Method: The technique where workload as per the task is calculated and the
time required for completing the task is predicted. When it is possible to utilize work
measurement to compute the length of procedures and the amount of labour required, work-
study approaches can be used. The production budget, which is established in terms of
volumes of saleable items for the company as a whole or volumes of output for individual
departments, is the beginning point of a manufacturing company. The budgets for productive
hours are then created using regular work hours. The total number of planned hours for the
time is then calculated by multiplying the standard hours per unit of production by the
projected volume of units to be produced. The total number of operators required is then
divided by the number of actual working hours for each operator.
For example, if an organization plans to produce 50000 units,
standard working hours needed to produce each unit = 2 hours
Estimated manhours required to complete the target =50000 x 2 = 100000 hrs
Productive man-hours per year =2000 hrs

Estimated number of workers = Estimated manhours required to complete target production

Productive manhours per year
= 100000
2000
= 50
The number of workers required is 50.

Hence, we can say that using HR forecasting according to the requirements and situation in
the organization, can be very beneficial for the growth of the organization. Post pandemic
working culture has changed immensely. Working from home and working from anywhere
has become a new norm. Now the HR department has increased the monitoring. That’s better
to forecast demand based on required working hours to fulfill the target. This can be done by
analyzing the previous data and matching it up with current requirement scenarios. Therefore,
the work-study method will be suitable.

Conclusion:

Hence HR demand forecasting plays an important part in achieving the organizational goals.
By utilizing research and deep assessment.

Question 2:

Answer 2:

Introduction:

The process of welcoming newly hired employees and assisting them in adjusting to their new
positions and working surroundings is known as induction. Starting a new work can be
stressful, and new employees need help adjusting to their new surroundings. In many cases,
an employee's induction process determines whether or not he will enjoy his time at a
company. Employee induction is the initial step in orienting new workers to the organization
and training them for their tasks. Induction is the process of introducing and orienting new
employees to the company culture, as well as demonstrating how interconnected they are to
everyone else.

Concept and Analysis:

The major goal of the induction process is to make new joinee familiar with the organization
and help him or her understand the organization’s culture, vision, mission, and objectives.
The employees are provided with information about their roles and responsibilities according
to their profile, and expectations from them being a part of the organization.
Moreover, rules and regulations of the company are shared with employees during the
induction. The mandatory compliances, code of conduct, ethics, and secrecy are also shared,
so that employees may get informed in detail about the security and privacy terms which are
an integral part of an organization. There are certain steps that are important to conduct an
effective induction for new employees, these steps are mentioned below:
1. Gathering Employee information:
For an employee, Induction Day is the first in the organization post joining. Hence, the
very first step involves the collection of employees’ details such as id proof, address
proof, previous experience certificate, educational certificates, etc. So that data can be
recorded in the company system. Also, it will help to generate employee IDs for company
access.

2. Object and Goal Identification:

The objective of induction must be clear and properly planned before conducting the
induction. Required data related to organization details, company structure, vision,
mission, and goals must be arranged in a systematic way in form of a formal presentation.
This will help to understand employees about the organization very well.

3. Connecting with Audience:

While conducting an induction, it is very important for an HR person to connect with the
people present for induction. They must feel welcomed and warm, on their induction day,
so that they feel enthusiastic about joining the organization.

4. Precise Content:
The information shared with employees should precise and informative. It should be
neither too long nor too short. Details must be cross verified and examined prior to
induction.

5. Mode of Induction:
There could be various modes using which induction can be conducted. Induction can be
conducted one-on-one, or in a group, form depending upon the situation. Most of the
time, induction is conducted with a group of people who join on the same day, which is
generally conducted in the conference hall of the organization. With the pandemic, the
induction process has also changed. Most of the inductions are now conducted online.
However, many companies prefer to give a tour of their organization, giving a large
demonstration of the working style of the company.

6. Seeking feedback:
Even if this is the last step but is one of the important steps of the induction wherein the
employees are asked about their experience in the induction round. This helps to
understand HR about employee experience and views on the induction they received. It is
recommended to conduct feedback round post-induction day and after three months of
completion of the employee so that they can get a detailed review from the employees.
This will help them to find out the areas for improvement.

With the evolution in organizational culture, induction has not just remained up to the
joining process of employees, collecting their details, and sharing organization
information. But it has now become an experience, wherein an employee goes through
the system, structure, and ethics of the company.
To make induction an effective experience, HR must focus on giving employees a secure
feeling about their decision of joining the organization. This can be done by planning a
 company tour or introduction round, where the new employees interact with existing
employees department-wise and get familiar with them. This will remove the
awkwardness among the employees, which is especially found among the freshers. Since
it’s their first job fresher get nervous and take a lot of time to gel into the company
system.
Providing a welcome kit, this could be a company T-shirt, cap, or stationery set, to a new
employee is also a lucrative form of induction, which makes employee satisfaction go
higher.
Also aligning a buddy program which can help the onboard training for the new joiners.
For example, on Netflix, there is a buddy program where new employee can choose their
own project. This helps to strengthen employee motivation and confidence. They are also
aligned with a mentor. Also, the new joiners are aligned with their mentors in bingo-style
which makes this process more interesting and engaging for all.
Hence, involving a creative side in the induction process, it can become more effective
and impressive for employees.

Conclusion:

Thus, from the above discussion, we can understand that the induction process is very
important for employees and even for the organization. Since an effective gives a strong
impression to employees that they are in a growing and sustainable organization. It boots
employees’ motivation level and makes them feel more energetic to show their skills in
the organization. Therefore, the major focus should be on making new joiners
comfortable in their new job and environment.

Question 3
Answer 3(a):
Introduction:
An individual who is working with an objective to attain a certain level in his or her career seeks
career planning. Career planning is an approach which in which a person tries to accomplish career
goals by strengthening their skills and overcoming their weaknesses. Career planning is an ongoing
process, which is based on the skills, talent, knowledge, experience, and interests of a particular
person. Career planning is a continuous practice where the person who is working on a certain level
for a long time, could focus on achieving the next and higher level of the job.
Concept and Application:
Planning a career takes a lot of time and effort for an individual. This totally depends on the efforts
and capabilities of an individual to perform well in various situations and fulfill the tasks assigned to
him. The process of career planning is divided into various steps, as mentioned below:
1. Self-assessment:
This is the step of career planning where an individual tries to understand and finalize his
career interests and choose a particular path for his or her career to fulfill his requirements.
This assessment is generally done based on the interests, aspirations, and skills of the
individual.
 2. Identifying Career choices and Aspirations:
Once an individual has performed a self-assessment, he or she may be able to understand
which career path is suitable for them. This can be done by comparing the various career
paths and analyzing whether that career will fulfill the career aspirations of the individual or
not. Once an individual understands his or her interests, then training and skill development
according to that career aspiration is acquired.

3. Aligning requirements and opportunities:

In this step, an individual tries to explore his or her career options that fulfill his requirements.
A career aspirant tries to find out most suitable job opportunity according to his needs, skills,
education, and talents. An individual can opt for short-term and long-term options in terms of
his or her career growth aspects.

4. Formulating a plan of action:

This is one of the important steps in career planning since in this step individual tries to start
working on the career plan built as per previous evaluation and planning. The particular tries
to achieve his goals, these goals could be short-term or long-term depending upon the current
job opportunity received by the individual.

5. Evaluation of Process:
The process wherein the individual assesses whether he or she is in the correct direction of
their aspired career or not, is known as the evaluation process. This process helps them to
understand the milestone they have achieved in their career path and the mistakes made by
them during the career path.

Conclusion:

Hence, from the above discussion, we can define that career planning is very important for
planning the right career that fulfills the requirements and interests of the individual.
Career planning is important since it allows you to see what you want to accomplish with
your life. Family members, friends, seniors, counselors, and teachers can assist you in
obtaining the answers to your inquiries as well as provide you with options to consider.
Career planning may assist anyone, at any age, in finding solutions to their problems.

Answer 3 (b)
Introduction:
In every organization, every position has its significance especially in the case of the position on a
higher level and in top management. If one person leaves in such a position, then it becomes vital to
replace that person with effective leadership skills, experience, and suitable knowledge. Thus, the
development program where a righteous successor fills up that key position in an organization is
known as succession planning. Succession planning involves finding the correct person having high
leadership skills, a problem-solving attitude, and who serves the purpose efficiently. Many times
organization prefers to hire an employee within the organization itself rather than selecting someone
from outside, since it is cost-effective, and the person knows the organization very well from his last
job position.
Concept and Application:
Many times organization prefers to hire an employee within the organization itself rather than
selecting someone from outside, since it is cost-effective, and the person knows the organization very
well from his last job position. If a company acknowledges a valuable employee's leadership potential
and allows them to advance in their career, they are less likely to leave.
Ensuring that the correct people are in charge decreases turnover by giving the rest of your team a lift
in morale. It's reassuring to know that the company is still in capable hands.
There are some major objectives that should be kept in mind while planning for a successor:

• Firstly, the HR manager should identify those key and vital positions in the organization, and
find out the skills and abilities required to fulfill the responsibilities of that particular position.
• HR manager should create backup plans in case of an emergency situation, suppose if a
person from key position leaves, then in such situation HR manager must be ready with an
immediate solution.
• HR managers must respond quickly to any possible changes in organizational structure in the
coming future. Forecasting may help in such kinds of situations.
• Skill development programs must be prepared, and regular performance evaluations must be
done in order to find out prospects for key positions in the organization.
• Individual career development programs must be provided to employees.

Conclusion:
Since succession planning is one of the important parts of HR functioning, proper planning must be
done. With help of an effective plan, a suitable candidate can be appointed for a vital role in the
organization. This is also cost-effective for the organization, since finding a new prospect is more
time, cost, and effort taken. If done systematically, an efficient plan can lead to achieving an
organization to new levels.