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Human Resource Management in Adult Education (AECD 4123)

CHAPTER ONE

1. Human resource planning


1.1 Definitions
Human Resource Planning (HRP) is the process of forecasting the future human resource
requirements of the organization and determining as to how the existing human resource capacity
of the organization can be utilized to fulfill these requirements. It, thus, focuses on the basic
economic concept of demand and supply in context to the human resource capacity of the
organization.
It is the HRP process which helps the management of the organization in meeting the future
demand of human resource in the organization with the supply of the appropriate people in
appropriate numbers at the appropriate time and place.
Further, it is only after proper analysis of the HR requirements can the process of recruitment
and selection be initiated by the management. Also, HRP is essential in successfully achieving
the strategies and objectives of organization.

In other words, Human Resource Planning is responsible for arranging the right people for the
right job from all the available sources. And not only this, it also anticipates the vacancy arising
due to the promotion, transfer, retirement, termination, of an employee and thus, plans for the
manpower accordingly.

Immediate filling of vacancies reduces the idle time caused due to an employee turnover, and
hence the functioning of the business process remains unaffected.

The Human Resource Planning should not focus only on filling the vacant positions, but should
emphasize on hiring the right person for the right job. It also focuses on developing the skills of
an existing employee through an interactive training program, with the intention to make them
well equipped with the skills required in the future, for the attainment of the organization’s
objectives.

Human resource planning is the most important managerial function of an organization. It


ensures three main things:

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• It ensures adequate supply of human resources.

• It ensures proper quality of human resources.

• It ensures effective utilization of human resources.

HR planning at different levels

Human Resource Planning (HRP) may be done at different levels and for different purposes.
National planners may make a HR plan at the national level whereas the strategists at a company
may make a HR plan at the unit level. The HR Planning thus operates at five levels.

1. HRP at National Level: HRP at the national level helps to plan for educational facilities,
health care facilities, agricultural and industrial development and employment plans, etc. The
government of the country plans for human resources at the national level. National plans for HR
forecast the demand and supply of human resources at the national level. It also plans for
occupational distribution, sectoral and regional allocation of human resources.

2. HRP at the Sectoral Level: HRP at the sectoral level helps to plan for a particular sector like
agriculture, industry, etc. It helps the government to allocate its resources to the various sectors
depending upon the priority accorded to the particular sector.

3. HRP at the Industry Level: HRP at the industry level considers the output/ operational level
of the particular industry when manpower needs are considered.

4. HRP at the Unit Level: HR Planning at the company level is based on the estimation of
human resource needs of the particular company in question. It is based on the business plan of
the company. A manpower plan helps to avoid the sudden disruption of the company’s
production since it indicates shortages of particular types of personnel, if any, in advance, thus
enabling the management to adopt suitable strategies to cope with the situation.

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5. HRP at the Departmental Level: HRP at the departmental level looks at the manpower needs
of a particular department in an organization.

Need for human resource planning

Human resource planning is needed for foreseeing the human resource requirements of an
organization and supply of human resources. Its need can be assessed from the following points:

1. Replacement of Persons: A large number of persons are to be replaced in the organization


because of retirement, old age, death, etc. There will be a need to prepare persons for
taking up new position in such contingencies.

2. Labor Turnover: There is always labor turnover in every organization. The degree of labor
turnover may vary from concern to concern but it cannot be eliminated altogether. There will be
a need to recruit new persons to take up the positions of those who have left the organization. If
the concern is able to forecast turnover rate precisely, then advance efforts are made to recruit
and train persons so that work does not suffer for want of workers.

3. Expansion Plans: Whenever there is a plan to expand or diversify the concern then more
persons will be required to take up new positions. Human resource planning is essential under
these situations.

4. Technological Changes: The business is working under changing technological environment.


There may be a need to give fresh training to personnel. In addition, there may also be a need to
infuse fresh blood into the organization. Human resource planning will help in meeting the new
demands of the organization.

5. Assessing Needs: Human resource planning is also required to determine whether there is any
shortage or surplus of persons in the organization. If there are less persons than required, it will
adversely affect the work. On the other hand, if more persons are employed than the requirement,

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then it will increase labor cost, etc. Human resource planning ensures the employment of proper
workforce.

Objectives of human resource planning

The following are the objectives of human resource planning:

1. Assessing manpower needs for future and making plans for recruitment and selection.

2. Assessing skill requirement in future for the organization.

3. Determining training and the development needs of the organization.

4. Anticipating surplus or shortage of staff and avoiding unnecessary detentions or dismissals.

5. Controlling wage and salary costs.

6. Ensuring optimum use of human resources in the organization.

7. Helping the organization to cope with the technological development and modernization.

8. Ensuring career planning of every employee of the organization and making succession
programs.

9. Ensuring higher labor productivity.

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1.2 Human resource planning process

1. Determining the Objectives of Human Resource Planning: The foremost step in every
process is the determination of the objectives for which the process is to be carried on. The
objective for which the manpower planning is to be done should be defined precisely, so as to
ensure that a right number of people for the right kind of job are selected.

The objectives can vary across the several departments in the organization such as the personnel
demand may differ in marketing, finance, production, HR department, based on their roles or
functions.

2. Analyzing Current Manpower Inventory: The next step is to analyze the current manpower
supply in the organization through the stored information about the employees in terms of their
experience, proficiency, skills, etc. required to perform a particular job.

Also, the future vacancies can be estimated, so as to plan for the manpower from both the
internal (within the current employees) and the external (hiring candidates from outside) sources.

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Thus, it is to be ensured that reservoir of talent is maintained to meet any vacancy arising in the
near future.

3. Forecasting Demand and Supply of Human Resources: Once the inventory of talented


manpower is maintained; the next step is to match the demand for the manpower arising in the
future with the supply or available resources with the organization.

Here, the required skills of personnel for a particular job are matched with the job description
and specification.

4. Analyzing the Manpower Gaps: After forecasting the demand and supply, the manpower gaps
can be easily evaluated. In case the demand is more than the supply of human resources, that
means there is a deficit, and thus, new candidates are to be hired.

Whereas, if the Demand is less than supply, there arises a surplus in the human resources, and
hence, the employees have to be removed either in the form of termination, retirement, layoff,
transfer, etc.

5. Employment Plan/Action Plan: Once the manpower gaps are evaluated, the action plan is to be
formulated accordingly. In a case of a deficit, the firm may go either for recruitment, training,
interdepartmental transfer plans whereas in the case of a surplus, the voluntary retirement
schemes, redeployment, transfer, layoff, could be followed.

6. Training and Development: The training is not only for the new joinees but also for the
existing employees who are required to update their skills from time to time.

After the employment plan, the training program are conducted to equip the new employees as
well as the old ones with the requisite skills to be performed on a particular job.

7. Appraisal of Manpower Planning: Finally, the effectiveness of the manpower planning process


is to be evaluated. Here the human resource plan is compared with its actual implementation to
ensure the availability of a number of employees for several jobs.

At this stage, the firm has to decide the success of the plan and control the deficiencies, if any.

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Thus, human resource planning is a continuous process that begins with the objectives of Human
Resource planning and ends with the appraisal or feedback and control of the planning process.

1.3 Human resource planning components


Followings are the components of human resource planning:

 Estimating Manpower Requirement 


 Workload analysis
 Workforce analysis
 Absenteeism
 Labor turnover
 Recruitment & Selection
 Induction & development
 Personnel Development
 Ensuring quality to products & services
 Overall assessment & performance & fine- tuning 

1.4 Job analysis, description, and specification.


Job analysis is primary tool in personnel management. In this method, a personnel manager tries
to gather, synthesize and implement the information available regarding the workforce in the
concern. A personnel manager has to undertake job analysis so as to put right man on right job.

There are two outcomes of job analysis:

1. Job description
2. Job specification

The information collected under job analysis is:

1. Nature of jobs required in a concern.


2. Nature/ size of organizational structure.
3. Type of people required to fit that structure.
4. The relationship of the job with other jobs in the concern.
5. Kind of qualifications and academic background required for jobs.
6. Provision of physical condition to support the activities of the concern. For example-
separate cabins for managers, special cabins for the supervisors, healthy condition for
workers, adequate store room for store keeper.

Advantages of Job Analysis

1. Job analysis helps the personnel manager at the time of recruitment and selection of right
man on right job.
2. It helps him to understand extent and scope of training required in that field.
3. It helps in evaluating the job in which the worth of the job has to be evaluated.
4. In those instances where smooth work force is required in concern.

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5. When he has to avoid overlapping of authority- responsibility relationship so that


distortion in chain of command doesn’t exist.
6. It also helps to chalk out the compensation plans for the employees.
7. It also helps the personnel manager to undertake performance appraisal effectively in a
concern.

A personnel manager carries analysis in two ways:

a. Job description
b. Job specification

JOB DESCRIPTION is an organized factual statement of job contents in the form of duties and
responsibilities of a specific job. The preparation of job description is very important before a
vacancy is advertised. It tells in brief the nature and type of job. This type of document is
descriptive in nature and it constitutes all those facts which are related to a job such as:

1. Title/ Designation of job and location in the concern.


2. The nature of duties and operations to be performed in that job.
3. The nature of authority- responsibility relationships.
4. Necessary qualifications that are required for job.
5. Relationship of that job with other jobs in a concern.
6. The provision of physical and working condition or the work environment
required in performance of that job.

Advantages of Job Description

 It helps the supervisors in assigning work to the subordinates so that he can guide and
monitor their performances.
 It helps in recruitment and selection procedures.
 It assists in manpower planning.
 It is also helpful in performance appraisal.
 It is helpful in job evaluation in order to decide about rate of remuneration for a specific
job.
 It also helps in chalking out training and development programs.

Job specification is a statement which tells us minimum acceptable human qualities which helps
to perform a job. Job specification translates the job description into human qualifications so that
a job can be performed in a better manner. Job specification helps in hiring an appropriate person
for an appropriate position. The contents are:

 Job title and designation


 Educational qualifications for that title
 Physical and other related attributes
 Physique and mental health
 Special attributes and abilities
 Maturity and dependability

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 Relationship of that job with other jobs in a concern.

Advantages of Job Specification

 It is helpful in preliminary screening in the selection procedure.


 It helps in giving due justification to each job.
 It also helps in designing training and development programs.
 It helps the supervisors for counseling and monitoring performance of employees.
 It helps in job evaluation.
 It helps the management to take decisions regarding promotion, transfers and giving extra
benefits to the employees.

Concept and meaning of human resource management (HRM)


Human resource management may be defined as a process in which human resources are
recruited and mobilized in such a way that it helps in achieving the objective of the organization.
HRM is concerned with the people dimension in management under which the consideration is
given towards recruitment and selection, development, motivation and maintenance of human
resources in an organization. Therefore, human resource management is an art of managing and
mobilizing people in the organization Features of Human Resource Management
 Human Resource Management Is A Management of An Individual
 Human Resource Management Is A Continuous Process
 Human Resource Management Is A Dynamic Function
 Human Resource Management Is a Universal Function
 Human Resource Management Is A Strategic Approach.
 Human Resource Management Is Future-oriented
Components or Elements of Human Resources Management
Human resource management is a process which involves around four basic functions-
acquisition, development, motivation and maintenance of human resources. These basic elements
are the key steps for achieving organizational goals.
1. Acquisition: Acquisition function is concerned with recruitment and selection of manpower
requirement for an organization.
2. Development: It is concerned with imparting knowledge and skill to perform the task
properly.
3. Motivation: Motivation includes job specification, performance evaluation, reward and
punishment, work performance, compensation management, discipline and so on.

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4. Maintenance: It is concerned with the process of retaining the employees in the organization.
This requires that the organization should provide additional facilities, safe working conditions,
friendly work environment, and satisfactory labor relations.
Importance and Objectives of Human Resource Management
 Effective Utilization of Resources

 Maintaining good relations between employer and management.

 Development of Human Resources

 Respectful Environment for Human Beings

 Goal Harmony [ Individual goal & Organizational goals.

 Employee Satisfaction

 Employee Discipline and Moral

 Organizational Productivity
Functions and Roles of Human Resource Department/Manager
1. Managerial Functions of Human Resource Department Managerial function is
concerned with the activities performed by top management in the organization.
 Planning
 Organizing
 Directing/leading
 Controlling
2.Operative Functions of Human Resource Department Operative function is concerned with
day-to-day management of organizational activities and human resources.
 Employment
 Development
 Compensation
 Motivation
 Maintenance
 Personnel record
 Industrial relation or employee relation

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2. Advisory Functions of Human Resource Department Human resource manager has


specialized knowledge, education and training in managing human relations. So, he/she
can provide advice on matters relating to human resources of the organization. The
advice may be to the top management or departmental heads.
Concept and Meaning of Human Resource Planning
Human resource planning is one of the crucial aspects of human resource management because it
helps to ensure the needed manpower for organizational goal. Balancing demand and supply of
workers Controlling cost of human labor Formulating policies on transfer, succession, relocation
of manpower Ensuring right kind of people at the right time and right place.
Characteristics of Human Resource Planning
 Future Oriented
 Continuous Process
 Optimum Utilization of Human Resources
 Right Kinds and Numbers
 Determination of Demand and Supply
Human Resource Planning Approaches
Quantitative Approach
It is also known as top down approach of HR planning under which top level make and efforts
to prepare the draft of HR planning. It is a management driven approach. The focus of this
approach is to forecast human resource surplus and shortages in an organization. In this approach
major role is played by top management.
Qualitative Approach
This approach is also known as bottom up approach of HR planning under which the
subordinates try to prepare the draft of HR planning. Hence, it is also called sub-ordinate-driven
approach. It is concerned with matching organizational needs with employee needs. In this
approach, major role is played by lower level employees.
Mixed Approach
This is called mixed approach because it combines both top-down and bottom-up approaches of
HR planning. In fact, the effort is made by employees and the management equally. There is an
equal participation of each level of employees of the organization.

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Concept and Meaning of Job Design


Job design is a process through which job-related data are revealed and the contents as well as
methods of performing different tasks are specified. It plays a key role in bringing organizational
productivity and employee motivation at work. Job design is a process by which required and
job-related information is gathered to determine different tasks to be included in the job.
Methods of Job Design
1. Classical Approach
Under this approach, the job is designed in the basis of organizational requirements. Its purpose
is to simplify the tasks and break them down into small work units. The primary focus of this
approach is planning, standardizing and improving human effort at work in order to optimize
organizational productivity.
2.Socio-technical Approach
This is another important approach of job design in which social and technical aspects of the
organization are considered. Under it, jobs are designed according to individual needs and
organizational requirements. Furthermore, this approach considers both job-related technical
systems as well as accompanying social forces of the job. The technical and social aspects of job
are analyzed in order to create jobs which have supportive relationship.
3. Behavioral Approach
Behavioral approach is concerned with behavioral factors such as: autonomy, variety, task
identity, task significance, feedback mechanism etc. It means the above-mentioned behavioral
factors are analyzed and considered while designing the jobs under this approach.
Concept and Meaning of Job Analysis
Job analysis collects and analyses the information related to jobs and various aspects of jobs. Job
analysis is a process of gathering or collecting information relating to job description and job
satisfaction. It is the systematic process of gathering and organizing the information relating to
various aspects of job, which describes the job contents and minimum job requirements in terms
of skills, efforts, responsibilities and working conditions.

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Objectives of Job Analysis


Job Description
Job description is a job profile which describes the contents, environment and condition of jobs.
It provides information relating to activities and duties to be performed in a job. It differentiates
one job from another by introducing unique characteristics of each job.
Job Specification
It includes the information relating to the requirements of skills and abilities to perform a
specific task. The job specification statement identifies the knowledge, skills, abilities needed to
perform that task effectively.
Job Evaluation
Job analysis also provides required information which are necessary for evaluating the
worthiness of jobs. After the preparation of job description and job specification statements, it
assists for the evaluation of actual performance against the predetermined standard.
Steps Involved in Job Analysis or Job Analysis Process
 Information Collection through different methods such as interview, observation,
questionnaire.
 Review Background Information on the basis of collected data to assess the job
 Analysis of Job by Collecting Data
 Develop Job Description
 Develop Job Specification
Concept and Meaning of Job Evaluation
Job evaluation is concerned with a process of establishing value of different jobs. job evaluation
provides a basis for ranking or grading different jobs and developing a pay structure for them.
Job evaluation is the rating of job in an organization which attempts to compare the relative
intrinsic value of each job and forms a job hierarchy.
Importance and Features of Job Evaluation

 Job evaluation helps to rate the job


 Job evaluation helps to determine pay structure
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 Job evaluation helps in bringing harmonious relation between labor and management

 Job evaluation helps to minimize the cost of recruitment and selection


 Job evaluation helps to determine the cost and rate of production
 Job evaluation helps to determine the requirement of training and development
 Job evaluation helps to minimize cost

Concept and Meaning of Job Specification


Job specification is a document or statement which spells out the minimum levels of
qualification, skills, physical and other abilities, experience, judgement and attributes required to
perform the efficiently and effectively. Job specification is prepared along with job description
statement to explain the minimum acceptable human qualities necessary to perform the task
effectively. It specifies the physical, psychological, personal, social and behavioral
characteristics of each job-holder.
Contents of Job Specification Statement
 Required Level of Education
 Health and Physical Fitness
 Appearance - outlook of an employee
 Mental and Other Abilities
 Experience.
Concept and Meaning of Recruitment
Recruitment process begins after preparing HR planning and conducting job analysis.
Recruitment is a process of identifying and preparing potential candidates to fill the application
form. Recruitment may be defined as a process of bringing right people for right position, at the
right time to perform organizational activities in order to achieve the objectives.
 Recruitment process identifies different sources of manpower supply,
 Recruitment assesses their validity,
 Recruitment process choose the most suitable source and
 Recruitment process invites applications from prospective candidates.
Factors Affecting Recruitment
 Size of the organization

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 Recruiting Policy- how many candidates from outside the organization.


 Image or goodwill of the organization
 Image of job
 Labor market
 Unemployment rate of particular area

Recruitment Process or Steps of Recruitment Identifying


The HR Requirement Assess the requirement of human resource in an organization to carry out
the organizational mission, goals and objectives.
Identifying Possible Sources of HR Supply
 The probable sources are identified for generating a pool of qualified candidates.
Communicating the Information,
 the potential candidates are informed about vacancy announcement.
Receiving Application
 Recruitment process ends receiving the application forms dropped by different applicants
who are interested to apply for a job. It provides a pool of candidates for selection.
Internal Sources and Methods of Recruitment
Internal sources refer to recruiting employees from within the organization.
Promotions
 It refers to promoting or upgrading an employee who is already existed in the pay roll and
contributed for organizational performance.
Transfers
 Under it, employees are internally recruited through transfer from one work place to
another.
 Recalling of laid-off employees.
Advantages of Internal Recruitment
 Increases employee Moral
 Increases Labor Relation
 Enables Better Selection
 Economy
 Better Performance of employees.
 Employee Development
 Less Time
Disadvantages of Internal Recruitment
 Limited Choice
 Implementation of Traditional System - limits the scope of fresh talent in the
organization.
 No Opportunity to fresh talents

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 Favourism – giving opportunity to friends, & relatives.


 Limited Internal Sources for the supply of candidates.
 Costly – Payment of higher salary and benefits to promoted and transferred
personals.

Methods of External Recruitment


External recruitment is concerned with generating a pool of qualified candidates through external
sources of employment. Under it, following methods of recruitment are adopted. 
1. Direct Recruitment
Direct recruitment refers to a process of recruiting qualified candidates from external sources by
placing a notice of vacancy in an organization's notice board. The detail of the job will be
specified on the notice board. this method is useful for the recruitment of blue-collar, white-
collar, and technical workers. This method of recruitment is suitable when there is high supply of
human resources in the market.
2.Casual Callers
This method of recruitment is concerned with using previously applied candidates as a source of
recruitment. The applications already available in the employment office are used as sources of
prospective candidates. In other words, applications from individuals who are already recorded
in the employment list can be referred as new applicants and the best suited candidates are
selected for the job. This method avoids the costs of recruiting people from other sources.
2. Advertising
Advertising is one of the most common and popular methods of external recruitment under
which the job vacancy is announced through different print and electronic media. When the
qualified and experienced employees are not obtained from other sources, advertisement method
is used to attract the best qualified and experienced personnel. Usually, most of senior positions
in organization are filled by this method. The job description and specifications are specified in
the advertisement to allow self-screening.
3. Employment Agencies
Employment agencies run by private, public or government sectors are regarded as an important
source of recruitment for unskilled, semi-skilled and skilled jobs. The agencies are likely to have

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a list of qualified candidates in their records, and they render their service as per the requirement
from other organizations for employment.
4. Schools, Colleges and Universities
It is also known as campus recruitment. Under this method of external recruitment, educational
institutions such as schools, colleges and universities offer opportunities for recruiting fresh
candidates. Most educational institutions provide placement services where the prospective
recruiters can review credentials and interview the interested graduates.
5. Labor Contractors
Labor contractors are an important source of recruitment under which workers are recruited
through contractors. However, this method of recruitment is not used by many business firms
and organizations.
6. Recommendations
It is closely concerned with employee referrals. Under this method of external recruitment,
applicants are introduced by friends and relatives. In fact, many employers, operating at a small-
scale operation, prefer to take such persons as they are acquainted with backgrounds and
credentials of prospective employees.
Advantages of External Recruitment
1. Wider Choice
2. Qualified Personnel
3. Fresh Talent
4.Competitive Spirit
5.Widens opportunity for all.
Disadvantages of External Recruitment
I. Too much Expensive Dissatisfaction for existing employees.
II. It is too Long Process
III. Adaptability Problem with the old employees.
IV. Competition with the new employees.
V. Reduce Moral of old workers
Concept and Meaning of Selection

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Selection is a process of choosing the most qualified and suitable candidate to fill organizational
vacancies. The process of selection provides an employment opportunity to the persons who
possess the abilities and qualifications to perform a specific job.
Selection Process
 Application Form Evaluation

 Screening Application

 Selection Tests

 Selection Interview

 Reference Check

 Medical Check

 Final Employment Decision


Concept and Meaning of Selection Test
A selection test is a systematic and standardized procedure of sampling human behavior in order
to obtain qualified applicants for organizational activities. It is used to assess the ability, aptitude
and personality of prospective candidates. Selection test is conducted in order to select a right
person for the right job who will be capable of performing organizational activities if hired.
Types of Selection Tests
A. Intelligence Test
Intelligence test is used to judge the mental ability of the candidates
B. Aptitude Test
It measures the probability of performing the job in terms of how often and how well.
C. Personality Test
It is the measurement of personal characteristics of the candidates. It is also known as personality
inventory.
D. Interest Test
The personal interests such as like and dislikes are identified by interest test.
E. Situational Test
It evaluates whether a particular candidate can perform the job in a given situation.
F. Honesty Test

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Honesty test measures to what extent the information provided by the prospective candidates is
accurate
Concept and Meaning of Interview
An interview is a face-to-face interaction between interviewer and interviewee. Interview is a
procedure designed to obtain information through the exchange of ideas and the answering of
queries. It attempts to secure maximum amount of information that cannot be obtained from
other methods
Steps Involved for Conducting Interview or Interview Process
Preparation
Under this an interview schedule or plan for the interview is prepared.
Conducting
The prepared plans and actions are implemented which is called conduction of the interview.
Evaluation
In this the information received from the interviewee or candidate is evaluated
Types of Interview
A. Preliminary Employment Interview – For Collecting preliminary data.
B. Final Selection Interview – at the time of final selection.
C. Follow-up Placement Interview - to provide the selected applicant with permanent duties
and responsibilities
D. Exit Interview-at the time of leaving the organization.
2. Types of Structured Interview - follows a standard list of questions or plan. Unstructured
Interview follows a list of questions which are not prepared in advance.
 The Stress Interview - to evaluate the patience of an employee.
 The Depth Interview - for higher level or managerial jobs.
 Board Interview - one candidate is interviewed by a group of experts
 Group Interview -, a group of candidates are interviewed at a time

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CHAPTER TWO
Concept, Meaning and Nature of Human Resource Development (HRD)
Human Resource Development (HRD) is a process of developing skills, competencies,
knowledge and attitudes of people in an organization. The people become human resource only
when they are competent to perform organizational activities HRD imparts the required
knowledge and skill in them through effective arrangement of training and development
programs.
Nature Of HRD
 HRD is a continuous process
 HRD is a well-integrated system
 HRD provides better quality of life.
 HRD focuses on all round development of human resources
Importance of Human Resource Development (HRD)
1.HRD Develops Competent HR
2.HRD Creates Opportunity for Career Development
3.Increase in Employ Commitment
4.Gives Job Satisfaction
5. Change Planning & Management in an organization.
6. Opportunities for Training and Development
7. Performance Improvement.
Concept and Meaning of Training
Training can be defined as an on-going process of teaching new employees the basic skills they
need to perform their task effectively and efficiently. Training is a short-term skill development
campaign intended to impart the basic skills of work to middle and lower level employees. It
focuses on teaching operational skills to the technical persons.

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Objectives of Training
 To Increase Knowledge
 To Increase New Skill
 To Change the Attitude of Workers
 To Improve Organizational Performance
 To Make Workers for Efficient Use of Resources
 To Reduce Accidents
 To Provide Better Opportunity for Workers
 To Increase Productivity and Profit
Training Process or Steps Involved for Conducting Training
I. Identifying Training Needs
II. Establish Specific Objectives
III. Select Appropriate Methods
IV. Implement Programs
V. Evaluate Program
VI. Feedback
Techniques or Methods of Training
1. On-the-job Training (OJT)
OJT is the most commonly used method of employee training which is concerned with the
philosophy,
"Learning by doing". OJT method is suitable for imparting operative or technical skills to
operative personnel. Following methods may be used under on-the-job training:
 Apprenticeship training
 Jon instruction training
 Program instruction
 Coaching and counselling Internship
Advantages of On-the-Job Training:
 Generally, more cost effective
 Less disruptive to the business - i.e. employees are not away from work
 Training with equipment they are familiar with and people they know can help them

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 Gain direct experience to a standard approved by the employer


 On the job training is also productive, as the employee is still working as they are
learning
 It is directly in the context of job
 It is often informal
 It is most effective because it is learning by experience
 Trainees are highly motivated
 It is free from artificial classroom situations
Disadvantages of On-the-Job Training:
 Trainer may not be experienced enough to train
 It is not systematically organized
 Poorly conducted programs may create safety hazards
2. Off-the-job Training
Off-the-job training is another method of employee training which is concerned with the
arrangements organized away from organizational work station. It takes place outside the work
station and is mostly classroom base. Class room lecturers Films - Simulation exercise - Program
instruction.
Concept and Meaning of Motivation
The term "Motivation" is derived from the Latin word "Movire" meaning to move. Motivation
thus, is to move to do or not to do something. Motivation is one of the essential aspects of HRM
which is concerned with the process of inducing, inspiring, organizing and stimulating
employees to do the better job in organization. Motivation activates people for better job
performance and high productivity. Motivation is a step-by-step process that prompts an
individual into action. The three basic elements of motivation are: needs, drives and goals.

Techniques or Methods of Motivation


 Participation in management decision making and planning activities.
 Behavioral Motivation - enhancing employee's behavior
 Money and Financial Benefits
 Forming Work Group with the same interest.
 Additional Profit-Sharing Plans for employees.

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 Skill Based Pay of higher-level jobs and salary.


 Flexible Return to employees based on performance.
 Putting employees as Representation of management.
Importance of Motivation
 Effective Utilization of Human Resources
 Effective Utilization of Other Resources
 Willingness To do a particular Work
 Acceptance for Changes in organizational environment.
 Enhance good Public Image
 Co-operation Between Employees
 Requires no Supervision
 Brings Organizational Effectiveness
Concept and Meaning of Job Satisfaction
Job satisfaction can be defined as an employee's attitude towards the job. It is not same as
motivation, rather it is concerned with the attitude and internal state of an individual regarding a
particular job. It is a pleasurable feeling that results from an employee's perception of achieving
the desired level of need or satisfaction
Effects of Job Satisfaction
 Job satisfaction increases efficiency and effectiveness at work.
 Job satisfaction helps to reduce employee's absenteeism.
 Job satisfaction promotes harmonious employee's relation.
 Job satisfaction enhances organization's productivity and employee’s satisfaction.
 Job satisfaction helps to decrease employee's turnover.
 Job satisfaction helps to improve the image of the organization.

Factors Affecting Job Satisfaction


 Employee's Expectation About Job
 Reward and Punishment
 Working Condition
 Communication in the organization.
 Personal Ability, Interest, Attitude.

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 Work Groups or work teams [ Co-workers]


 Style of Supervision.

CHAPTER THREE
Concept and Meaning of Performance Appraisal
Performance appraisal is a process of identifying, measuring and managing employee's
performance in order to enhance organizational efficiency and effectiveness. Performance
appraisal systematically evaluates the personality and performance of each employee so that the
productivity can be measured in terms of efficiency and effectiveness. The primary purpose of
performance appraisal is to facilitate the orderly determination of an employee's worth in
comparison to his/her fellow employees and expected level of performance.
Importance of performance appraisal in an organization:
 Performance appraisal helps supervisors to assess the work performance of their
subordinates.
 Performance appraisal helps to assess the training and development needs of employees.
 Performance appraisal provides grounds for employees to correct their mistakes.
 Performance appraisal provides reward for better performance.
 Performance appraisal helps to improve the communication system of the organization
 Performance appraisal evaluates whether human resource programs being implemented
in the organization have been effective.
 Performance appraisal helps to prepare pay structure for each employee working in the
organization.
 Performance appraisal helps to review the potentiality of employees so that their future
capability is anticipated.
Performance Appraisal Process
 Establishment of Performance Standards
 Communication of Standards to Employees
 Measure Actual Performance
 Comparison of Actual Performance with Standards

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 Discuss Appraisal with The Employee


 Taking of Corrective Action
Purposes and Uses of Performance Appraisal
 Promotion
 Transfers
 Remuneration Administration
 Training and Development
 To determine Supervision is required or not
Responsibility for Appraisal
Often the human resource department is responsible for coordinating the design and
implementation of performance appraisal programs. However, it is essential that line managers
play a key role from beginning to end. These individuals usually conduct the appraisals, and they
must directly participate in the program if it is to succeed. Several possibilities exist with regard
to the person who will actually rate the employee.
Immediate Supervisor
An employee’s immediate supervisor has traditionally been the most logical choice for
evaluating performance and this continues to be the case. The supervisor is usually in an
excellent position to observe the employee’s job performance and the supervisor has the
responsibility for managing a particular unit. When someone else has the task of evaluating
subordinates, the supervisor’s authority may be undermined. Also, subordinate training and
development is an important element in every manager’s job and, as previously mentioned,
appraisal programs and employee development are usually closely related
Subordinates
Historically, our culture has viewed evaluation by subordinates negatively. However, this
thinking has changed somewhat. Some firms conclude that evaluation of managers by
subordinates is both feasible and needed. They reason that subordinates are in an excellent
position to view their superiors’ managerial effectiveness. Advocates believe that this approach
leads supervisors to become especially conscious of the work group’s needs and to do a better
job of managing. In the higher education environment, it is a common practice for instructors to
be evaluated by students.
Peers and Team Members

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A major strength of using peers to appraise performance is that they work closely with the
evaluated employee and probably have an undistorted perspective on typical performance,
especially in team assignments. Organizations are increasingly using teams, including those that
are self-directed. The rationale for evaluations conducted by team members includes the
following:
 Team members know each other’s’ performance better than anyone and can, therefore,
evaluate performance more accurately.
 Peer pressure is a powerful motivator for team members.
 Members who recognize that peers within the team will be evaluating their work show
increased commitment and productivity.
 Peer review involves numerous opinions and is not dependent on one individual.
Problems with peer evaluations include the reluctance of some people who work closely
together, especially on teams, to criticize each other.
On the other hand, if an employee has been at odds with another worker he or she might really
“unload on the enemy,” resulting in an unfair evaluation. Another problem concerns peers who
interact infrequently and lack the information needed to make an accurate assessment.
When employees work in teams, and their appraisal system focuses entirely on individual results,
it is not surprising that they show little interest in their teams. But, this problem can be corrected.
If teamwork is essential, make it a criterion for evaluating employees; rewarding collaboration
will encourage teamwork.
Self-Appraisal
If employees understand their objectives and the criteria used for evaluation, they are in a good
position to appraise their own performance. Many people know what they do well on the job and
what they need to improve. If they have the opportunity, they will criticize their own
performance objectively and act to improve it.
Customer Appraisal
Customer behavior determines a firm’s degree of success. Therefore, some organizations believe
it is important to obtain performance input from this critical source. Organizations use this
approach because it demonstrates a commitment to the customer, holds employees accountable,
and fosters change. Customer-related goals for executives generally are of a broad, strategic
nature, whereas targets for lower-level employees tend to be more specific. For example, an

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objective might be to improve the rating for accurate delivery or reduce the number of
dissatisfied customers by half. It is important to have employees participate in setting their goals
and to include only factors that are within the employees’ control.
3.4 Issues in performance appraisal
performance appraisal is constantly under a barrage of criticism. The rating scales method seems
to be the most vulnerable target. Yet, in all fairness, many of the problems commonly mentioned
are not inherent in this method but, rather, reflect improper implementation. For example, firms
may fail to provide adequate rater training or they may use appraisal criteria that are too
subjective and lack job-relatedness. The following section highlights some of the more common
problem areas.
 Appraiser Discomfort
 Lack of Objectivity
 halo error: Evaluation error that occurs when a manager generalizes one positive
performance feature or incident to all aspects of employee performance, resulting in a
higher rating
 horn error: Evaluation error that occurs when a manager generalizes one negative
performance feature or incident to all aspects of employee performance, resulting in a
lower rating.
 Leniency: Giving an undeserved high-performance appraisal rating to an employee.
 Strictness: Being unduly critical of an employee’s work performance.
 central tendency error: Evaluation appraisal error that occurs when employees are
incorrectly rated near the average or middle of a scale.
 Recent Behavior Bias
 Personal Bias (Stereotyping)
 Manipulating the Evaluation
 Employee Anxiety
Methods of performance appraisal
Managers may choose from among a number of appraisal methods. The type of performance
appraisal system used depends on its purpose. If the major emphasis is on selecting people for
promotion, training, and merit pay increases, a traditional method, such as rating scales, may be

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appropriate. Collaborative methods, including input from the employees themselves, may prove
to be more suitable for developing employees.
360-degree feedback evaluation method: Popular performance appraisal method that involves
evaluation input from multiple levels within the firm as well as external sources.
rating scales method: Performance appraisal method that rates employees according to defined
factors.
critical incident method: Performance appraisal method that requires keeping written records of
highly favorable and unfavorable employee work actions.
essay method: Performance appraisal method in which the rater writes a brief narrative
describing the employee’s performance.
work standards method: Performance appraisal method that compares each employee’s
performance to a predetermined standard or expected level of output.
ranking method: Performance appraisal method in which the rater ranks all employees from a
group in order of overall performance.
forced distribution method: Performance appraisal method in which the rater is required to
assign individuals in a work group to a limited number of categories, similar to a normal
frequency distribution.
behaviorally anchored rating scale (BARS) method: Performance appraisal method that
combines elements of the traditional rating scale and critical incident methods; various
performance levels are shown along a scale with each described in terms of an employee’s
specific job behavior.
results-based system: Performance appraisal method in which the manager and subordinate
jointly agree on objectives for the next appraisal period; in the past a form of management by
objectives.
Characteristics of an Effective Performance Appraisal System:
When you are trying to adopt an effective appraisal system for your company, there are certain
factors to be kept in mind. However, what works for someone else may not be right for your
company. A good appraisal system satisfies these characteristics according to your requirements.
1. Clear Objectives

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Employee performance appraisals should have a clear goal. There must be a predefined set of
factors to evaluate employees based on their skill sets Which obviously must be clear what the
managers aim to get out of these appraisals.

2. Well Defined Performance Criteria


Employees must have a clear idea of what they are being evaluated. Good appraisal systems have
a set of procedures and standards for the performance of each individual. For instance, a fresh
graduate cannot be evaluated against someone with years of experience.
3. Accuracy & Reliability in Results
An effective performance appraisal also helps a company to make clear, data-driven & informed
decisions. The data (or results) of any appraisal must be reliable and valid, and they must be
presented in an unambiguous manner. Accurate insights will also help a company gain the trust
of its employees.
4. Post Appraisal Interview
Post appraisal interviews are important because they help the employees to get direct feedback
from their superiors or managers. These interviews also help the managers decide if any training
or skill development programs are needed. Employee grievances can also be addressed during
this interview.
5. Time-Saving
A good appraisal system is one that saves time as well as cost. Also, this helps a company to get
the maximum benefit. Instead of wasting all their time on managerial tasks, HR personnel could
focus on other important jobs.
6. Continuous Feedback
Modern appraisal systems have done away with the annual performance review model. Instead,
that model has been replaced with a system wherein managers give continuous (read-
periodical) feedback to their employees. This helps the employees fill in their weaknesses from
the start and improve upon them.
7. Focusing on What Matters

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A good appraisal system evaluates employees on various factors. However, an employee’s work
performance and competency are of utmost importance. Subjective factors, such as personal
behavior, attitude & personality come secondary to an employee’s skill set.
8. Match Your Goals
Appraisal systems should be designed according to the functioning of your company. For
instance, if you are using a 360-degree feedback approach, feedback should be taken from only
those who have worked closely with the employee overtime. It’s good to practice to be
innovative with appraisals so they match your company’s working policy.

Concept and Meaning of Reward Management

Reward means a thing given to any one because of his contribution to organization. Rewards and
incentives contribute to strategy implementation by shaping individual behavior in the
organization. Reward is defined as the total return given by an employer to an employee for
rendering his/her services towards the organizational objectives. This is the overall return from
the work.

Types of Rewards

Intrinsic Rewards and Extrinsic Rewards

 Intrinsic rewards are the satisfactions that an individual obtains from the job itself.
 Extrinsic rewards are the benefits provided externally in term of money.

Financial Rewards and Non-financial Rewards

Financial rewards mean those direct and indirect payments that enhance an employee's well-
being. Direct payment consists of salary, wages, commissions, incentives, bonus, allowances etc.
Indirect payment includes pensions, medical insurance, paid leaves, paid sick leaves, purchases,
discounts etc.

Non-financial rewards are those employee benefits that do not enhance an employee's financial
wellbeing. Preferred lunch hours, preferred office furnishing, parking spaces, impressive job
title, desired work assignments, own secretary etc. are some of its examples.

Performance Based Rewards and Membership Based Rewards

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Performance based rewards are such benefits which are provided on the basis of an employee's
job performance ability. Membership based rewards are those rewards that are paid on the basis
of being a member of an organization. It means, the basis of allocating rewards is employee's
organizational membership.

Criteria for Distributing Rewards

 The level of job performance ability of an individual.


 The effort contributed by an individual towards organizational objectives
 Seniority - those individuals who have served relatively for longer period
 Skills Held, - individuals having special skills
 Job Difficulty - the complexities of the job

CHAPTER FOUR

Managing conflicts
The word “conflict” tends to generate images of anger, fighting, and other ugly thoughts that
leave people bruised and beaten. Conflict isn’t uncommon in the workplace, and it isn’t always
good. But it isn’t always a bad thing, either. Let’s talk a little bit about what conflict is and how
we think about it.
Conflict is a perception—meaning it only really exists if it’s acknowledged by the parties that are
experiencing it. If Teresa and Heitor have a heated discussion about the path the company should
take to win more customers, but they walk away from the disagreement unfazed and either don’t
think about the issue again or think the issue is resolved, then no conflict exists. If Teresa and
Heitor both walk away feeling that their ideas weren’t heard by the other, that the other is wrong,
that the other needs to come around to a better point of view.... then conflict exists.
Teresa’s and Heitor’s situation could be viewed as a competition rather than conflict. Some
people use competition and conflict interchangeably; however, while the terms are similar, they
aren’t exactly synonymous. Competition is a rivalry between two groups or two individuals over
an outcome that they both seek. In a competition there is a winner and a loser. Teresa might want

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to attract more customers by a direct mail campaign and Heitor may be championing a television
campaign. They may be competing for a finite amount of marketing budget, and if Heitor’s idea
is rewarded, then he is the competition’s winner. Teresa is the loser. They may shake hands after
the fact, shrug it off and go on to compete another day.
Conflict is when two people or groups disagree, and the disagreement causes friction. One party
needs to feel that the other’s point of view will have a negative effect on the final outcome.
Teresa may feel strongly about direct mail campaigns because she’s done several with great
results. Heitor may feel television is the way to go because no one reads their mail anymore—it
just gets thrown out! Each of them may feel that the other’s approach is a waste of the marketing
budget and that the company will not benefit from it. Teresa will jump in and prevent Heitor
from trying to further his goal for television advertising, and Heitor will do the same to Teresa.

Conflict can be destructive to a team and to an organization. Disadvantages can include:

 Teams lose focus on common goals


 Winning eclipses any other goals of the group
 Judgement gets distorted
 There is a lack of cooperation
 Losing members lack motivation to continue participation

But if managed well, conflict can be healthy and spark creativity as parties try to come to
consensus. Some of the benefits of conflict include:

 High energy
 Task focus
 Cohesiveness within the group
 Discussion of issues

There has been plenty of conflict over how conflict is viewed in the workplace over the years.
Just like our concept of teams, our concepts of managing people and how they’re motivated, our
concepts of stress in the workplace have changed as we’ve learned.

Traditional View

Early in our pursuit of management study, conflict was thought to be a dysfunctional outcome, a
result of poor communication and lack of trust between co-workers. Conflict was associated with
words like violence and destruction, and people were encouraged to avoid it at all costs.

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This was the case all the way up until the 1940s, and, if you think about it, it goes right along
with what we thought we knew about what motivated people, how they worked together and the
structure and supervision we thought we needed to provide to ensure productivity. Because we
viewed all conflict as bad, we looked to eradicate it, usually by addressing it with the person
causing it. Once addressed, group and organization would become more productive again.

Many of us still take the traditional view—conflict is bad and we need to get rid of it – even
though evidence today tells us that’s not the case.

The Human Relations View

Since the late 1940s, our studies of organizational behavior have indicated that conflict isn’t so
thoroughly bad. We came to view it as a natural occurrence in groups, teams and organizations.
The Human Relations view suggested that, because conflict was inevitable, we should learn to
embrace it.

But they were just starting to realize, with this point of view, that conflict might benefit a group’s
performance. These views of dominated conflict theory from the late 1940s through the mid-
1970s.

The Interactionist View

In the Interactionist View of conflict, we went from accepting that conflict would exist and
dealing with it to an understanding that a work group that was completely harmonious and
cooperative was prone to becoming static and non-responsive to needs for change and
innovation. So, this view encouraged managers to maintain a minimal level of conflict, a level
that was enough to keep the group creative and moving forward.

The Interactionist View is still viable today, so it’s the view we’re going to take from here on as
we discuss conflict. We know that all conflict is both good and bad, appropriate and
inappropriate, and how we rate conflict is going to depend on the type of conflict. We’ll discuss
types of conflict next.
4.3. Types of Conflict

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In literature, fledgling writers learn that there are many different kinds of conflict that arise in
literature. One might see a plot that outlines the “man vs. man” scenario, and another might be
“man vs. nature.”  When examining workplace conflict, one sees that there are four basic types,
and they’re not terribly different from those other conflicts you learned in freshman literature
except that they all deal with conflict among people. They are:
Intrapersonal: conflict within the individual/organization/nation (for example, who cannot
make decisions).
Interpersonal: conflict among two or more individuals/organizations/nations (for example, an
argument between the two parties).
Intragroup: conflict within the members of same group.
Intergroup: conflict between two or more groups (for example, between two different camps of
groups or nations).

4.2 stages of conflicts


The conflict process—that is, the process by which conflict arises—can be seen in five stages.
Those stages are:
 Potential opposition or incompatibility
  Cognition and personalization
  Intentions
   Behavior
   Outcomes

POTENTIAL OPPOSITION OR INCOMPATIBILITY

THE FIRST STAGE IN THE CONFLICT PROCESS IS THE EXISTENCE OF CONDITIONS THAT ALLOW
CONFLICT TO ARISE . THE EXISTENCE OF THESE CONDITIONS DOESN ’T NECESSARILY GUARANTEE
CONFLICT WILL ARISE . BUT IF CONFLICT DOES ARISE , CHANCES ARE IT’S BECAUSE OF ISSUES
REGARDING COMMUNICATION , STRUCTURE , OR PERSONAL VARIABLES .

 Communication. Conflict can arise from semantic issues, misunderstanding, or noise in the


communication channel that hasn’t been clarified. For instance, your new manager, Steve, is
leading a project and you’re on the team. Steve is vague about the team’s goals, and when you

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get to work on your part of the project, Steve shows up half the way through to tell you you’re
doing it wrong. This is conflict caused by communication.
 Structure. Conflict can arise based on the structure of a group of people who have to work
together. For instance, let’s say you sell cars, and your co-worker has to approve the credit of all
the people who purchase a vehicle from you. If your co-worker doesn’t approve your customers,
then he is standing between you and your commission, your good performance review, and your
paycheck. This is a structure that invites conflict.
 Personal variables. Conflict can arise if two people who work together just don’t care for each
other. Perhaps you work with a man and you find him untrustworthy. Comments he’s made, the
way he laughs, the way he talks about his wife and family, all of it just rubs you the wrong way.
That’s personal variable, ripe to cause a conflict.

Cognition and Personalization

In the last section, we talked about how conflict only exists if it’s perceived to exist. If it’s been
determined that potential opposition or incompatibility exists and both parties feel it, then
conflict is developing.

If Joan and her new manager, Mitch, are having a disagreement, they may perceive it but not be
personally affected by it. Perhaps Joan is not worried about the disagreement. It is only when
both parties understand that conflict is brewing, and they internalize it as something that is
affecting them, that this stage is complete.

Intentions

Intentions come between people’s perceptions and emotions and help those who are involved in
the potential conflict to decide to act in a particular way.

One has to infer what the other person meant in order to determine how to respond to a statement
or action. A lot of conflicts are escalated because one party infers the wrong intentions from the
other person. There are five different ways a person can respond to the other party’s statements
or actions.

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 Competing. One party seeks to satisfy his own interests regardless of the impact on the other
party.
 Collaborating. One party, or both, desire to fully satisfied the concerns of all parties involved in
the conflict.
 Avoiding. One party withdraws from or suppresses the conflict once it is recognized.
 Accommodating. One party seeks to appease the opponent once potential conflict is recognized.
 Compromising. Each party to the conflict seeks to give up something to resolve the conflict.

BEHAVIOR

Behavior is the stage where conflict becomes evident, as it includes the statements, actions and
reactions of the parties involved in the conflict. These behaviors might be overt attempts to get
the other party to reveal intentions, but they have a stimulus quality that separates them from the
actual intention stage.

Behavior is the actual dynamic process of interaction. Perhaps Party A makes a demand on Party
B, Party B argues back, Party A threatens, and so on. The intensity of the behavior falls along a
conflict-oriented continuum. If the intensity is low, the conflict might just be a minor
misunderstanding, and if the intensity is high, the conflict could be an effort to harm or even
destroy the other party.

Outcomes

Outcomes of a conflict can be either functional or dysfunctional:

 Functional outcomes occur when conflict is constructive. It may be hard to think of times when
people disagree and argue, and the outcome is somehow good.  But think of conflict, for a
moment, as the antidote to groupthink. If group members want consensus, they’re bound to all
agree before all the viable alternatives have been reviewed. Conflict keeps that from happening.
The group may be close to agreeing on something, and a member will speak up, arguing for
another point of view. The conflict that results could yield a positive result.
 Dysfunctional outcomes are generally more well-known and understood. Uncontrolled
opposition breeds discontent, which acts to sever ties and eventually leads to the dissolution of
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the group. Organizations meet their ultimate demise more often than you’d think as a result of
dysfunctional conflict. People who hate each other and don’t get along can’t make decisions to
run a company well.

4.4 sources of conflicts

Organizational sources of conflict are those events or factors that cause goals to differ.
Personality conflicts, irritating as they may be, don’t actually qualify as an organizational source
of conflict. They may be the most aggravating part of your day and, certainly, they’re something
organizations need to watch for if it interferes with daily work, but these organizational sources
produce much bigger problems. Those sources are

     Goal incompatibility and differentiation


     Interdependence
     Uncertainty and resource scarcity
     Reward systems

Goal Incompatibility and Differentiation

Organizational sources of conflict occur when departments are differentiated in their goals. For
instance, the research and development team at an electronics company might be instructed to
come up with the best new, pie-in-the-sky idea for individual-use electronics—that thing
consumers didn’t know they needed. The R&D team might come up with something fantastic,
featuring loads of bells and whistles that the consumer will put to excellent use.

Then, the manufacturing team gets together to look at this new design. They’ve been told that
management likes it, and that they need to build it by the most economical means possible. They
start adjust the design, saving money by using less expensive materials than what were
recommended by the R&D team. Conflict arises.

Goal incompatibility and differentiation is a fairly common occurrence. The manufacturing team
disagrees with research and development. The sales department feels like the legal department is

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there to keep them from getting deals signed.  Departments within the organization feel like they
are working at cross-purposes, even though they’re both operating under the assumption that
their choices are best for the company.

Interdependence

Interdependence describes the extent to which employees rely on other employees to get their
work done. If people all had independent goals that didn’t affect one another, everything would
be fine. That’s not the case in many organizations.

For instance, a communication department is charged with putting together speaking points that
help their front-line employees deal with customer questions. Because the communications
department is equipped to provide clear instructions but are not necessarily the subject matter
experts, they must wait for engineering to provide product details that are important to the final
message. If those details are not provided, the communication department cannot reach their goal
of getting these speaking points out on time for their front-line staff to deal with questions.

The same holds true for a first-, second-, and third-shift assembly line. One shift picks up where
other leaves off. The same standards of work, production numbers, and clean-up should be
upheld by all three teams. If one team deviates from those standards, then it creates conflict with
the other two groups.

Uncertainty and Resource Scarcity

Change. We talked about it as a source of stress, and we’re going to talk about it here as an
organizational source of conflict. Uncertainty makes it difficult for managers to set clear
directions, and lack of clear direction leads to conflict.

Resource scarcity also leads to conflict. If there aren’t enough material and supplies for every
worker, then those who do get resources and those who don’t are likely to experience conflict.
As resources dwindle and an organization has to make do with less, departments will compete to

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get those resources. For instance, if budgets are slim, the marketing department may feel like
they can make the most of those dollars by earning new customers. The development team may
feel like they can benefit from the dollars by making more products to sell. Conflict results over
resource scarcity.

Reward System

An organization’s reward system can be a source of conflict, particularly if the organization sets
up a win-lose environment for employee rewards.

For instance, an organization might set a standard where only a certain percent of the employees
can achieve the top ranking for raises and bonuses. This standard, not an uncommon practice,
creates heavy competition within its employee ranks. Competition of this nature often creates
conflict.

Other forms of rewards that might incite conflict include employee of the month or other major
awards that are given on a competitive basis.

Conflict can occur between two employees, between a team of employees, or between
departments of an organization, brought about by the employees, teams, or organizations
themselves. Now that we understand conflict, we’re ready to take on negotiation. It’s different
from conflict, but it’s easy to see how some of the skills one uses to be a great negotiator are
snatched from conflict resolution.
4.5 conflict management
Five Methods for Managing Conflict
Conflict has many sources in the workplace. It is borne out of differences and will arise in any
situation where people are required to interact with one another. Dealing with conflict effectively
is a key management skill. This article outlines five different approaches to conflict management
and the situations they are most appropriate for.
1.Accommodation: This is a lose/win situation. The accommodation approach is generally used
when one party is willing to forfeit their position. It is best used in situations where:

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 One party wishes to indicate a degree of fairness.


 People wish to encourage others to express their own opinion.
 The issue or problem is more important to the other party concerned.
 It is more important to safeguard the relationship rather than argue about the issue.
3. Compromise: This is a win/lose – win/lose situation, i.e. everyone involved gains and
losses through negotiation and flexibility. Each will win some of what they desire while
at the same time giving something up. The main goal of this approach is to find common
ground and maintain the relationship. Compromise is best used:

 To achieve an agreement when all parties have equal power.


 To reach a temporary resolution in more complicated matters.
 To achieve a settlement when time or other circumstances are constrained.
3.Avoidance: This is a lose/lose situation. Neither party acts to address the issues involved in the
conflict, meaning that it will remain unresolved. This approach is best used:
 If all concerned feel that the issue is a minor one and will be resolved in time without
any fuss.
 When the parties need a chance to cool down and spend time apart.
 If other people are able to resolve the conflict more effectively than the parties
concerned.
 When more time is needed before thinking about dealing with the issues.
 If the impact of dealing with the situation may be damaging to all parties involved.
4. Competition: This is a win/lose situation. One party attempts to win the conflict through
dominance and power. This approach is best used:
 When all other methods have been tried (and failed).
 In emergency situations when quick, immediate and decisive action is called for.
 In situations where, unpopular changes need to be applied and discussion is not
appropriate.
5. Collaboration: This is a win/win situation. It is the most effective but most difficult way
of managing differences. It requires trust and commitment on all sides to reach a

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resolution by getting to the heart of the problem. All parties need to be willing to
empathize and try to understand each other’s situation. Collaboration is most appropriate:
 When all parties are willing to investigate alternative solutions together that they may not
necessarily have thought of on their own.
 When trying to get to the source of problems that have continued for a long time.
 When upholding objectives that cannot be compromised on any side while still
preserving the relationship.
 When parties from different backgrounds and experiences are involved.
CHAPTER FIVE
CURRENT ISSUES IN HUMAN RESOURCE MANAGEMENT

Human Resource Management faced significant challenges in organizations. In short HRM is


process of recruiting, selecting employees, providing proper orientation and induction, imparting
proper training and developing skills. HRM also includes employee assessment like performance
appraisal, facilitating proper compensation and benefits, encouragement maintaining proper
relations with labor and with trade unions and taking care of employee’s safety, welfare and
health by complying with labor laws of the state or country concerned. HRM tries to put people
on assigned tasks in order to have good production or results. Basically, we can say that HRM is
a multidisciplinary activity, utilizing knowledge and inputs drawn from psychology, economics
etc. HRM main focuses on outcomes and not on rules. The Human Resources challenges and
Functions every year change. Today HR Departments are mainly facing the challenges regarding
Recruitment, Selection, Retain the employees, Leadership Development and Corporate Culture
etc.
Today era HR Department facing too much critical situation in the organization. Through the
Human Resource Department to solve out the challenges easily achieve the organizational goals
and objectives and easily meet the competition also. All challenges facing by HRM shown in
(Figure). Today era to much challenges faced by the Human Resource Management shown in
(Figure) to solve out this challenge it’s very important by the HR Department to achieve the
organizational goals, objectives and meet the competitions as following-:
Table 1.1 Challenges facing by HRM
COMPETITIVE CHALLENGES HUMAN RESOURCES EMPLOYEE CONCERNS
Globalization

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Technology Planning Age distribution


Managing Charge
Staffing Gender Issues
Human Capital
Responsiveness Recruitment Educational Issues
Cost Containment
Job Design Employees Rights
Training Privacy Issues
Appraisal Work Attitudes
Communication

I. Competitive Challenges-: Competitive challenges are those challenges create of hard


competition, globalization, and changes in technology.
• Globalizations- Globalization refers to the Human Resource Management are need to take
hard steps to play challenging roles and meet to competitions. Today the business environment
has become highly changing in nature survive by the organizations. To impact the company
through the competitions in a special industry plays a very prominent role in the Human
Resource functions and activities.
• Technology –Technology refers to adopts the new methods and approaches to minimize the
wastage and full utilization of resources. Through the technology deals with the creation and use
of technical means and their interrelation with life. But HR managers facing the new problem if
our competitors adopt the new technology so HR Departments enhance the responsibility to
understand the new technology and used in own organization and trained the employees also.
• Managing Change- that challenges also facing by HR Managers. Managing change is a
systematic approach to dealing with the transition or transformation of an organization’s goals,
process or technologies. HR managers making the strategies for effecting change, controlling
change and helping people to adapt to change
• Human Capital-Human capital refers to the skills, knowledge and experience possessed by an
individual in the organization that means HRM according to people knowledge, skill and
performance identify and appoint Right Person on the Right job.
• Responsiveness- HR Managers given quickly response against the particular problems facing
by the organizations.
• Cost Containment- Every organization wants to maximum profit on minimum cost above all
points considered by the HR Departments and minimize the cost, full utilization of resources.

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II. Human Resources- Human Resources means consider the human beings as valuable assets
of the organization concerned on the people how to recruit, select, trained and retain the
employees in the organization.
• Planning- HR Department make the plan to identifies current and future human resources
needs for an organization to achieve its goals.
• Recruitment- HRM invite the application pools to requirements of job. People looking for new
jobs, HR managers select that people and appointed on the job.
• Staffing- HR departments Selected the eligible people according to their knowledge, skills and
experience.
• Job Design-Job design is core function of HRM and it is related to the specification of
contents, methods and relationship of jobs in order to satisfy technological and organizational
requirements as well as social and personal requirements of the job holder or the employee.
• Training and Development- Training and development is a subsystem of an organization
which emphasize on the improvement of the performance of individuals and groups. Training
enhances the knowledge to doing a particular job.
• Performance Appraisal- Appraisal is a periodic process that assesses an individual employee’s
job performance and productivity in relation to certain pre-established criteria and organizational
objectives.
• Compensation- In the organization HRM safe the interest of employees and provides them
regular paid wages and benefits. Compensation is the monetary benefits given to an employee or
worker giving their services to an organization.
• Communication-HR management provides the valuable information to employees about the
organization’s goals, mission, vision and objectives. It’s a process to exchanges the information,
news and ideas.
• Benefits-In benefits included medical, insurance housing allowance vacation pay and sick pay
etc.
• Labor Relations- Above all points considered by HRM build strong relationships between
employees and employers. In other words, we can say that HRM play a vital role between the
both parties.

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III. Employee Concerns-Human Resource main focuses only on peoples because in Human
resource management concerned how to recruit, select provides training and retained the people
in the organization.
• Background Diversity- Diversity means similarities and differences among employees in
terms of age, cultural background, physical abilities, race, religion, gender etc. Diversity makes
the work force heterogeneous.
• Age Distribution-In this HR managers included age, length of service and educational level.
• Gender Issues-Gender issues in HRM are an area in gender studies that has not being given
serious attention.
• Educational Levels-The broad purpose of the HRM function in any educational organization
is to attract, develop, retain and motivate personnel in order to achieve the school’s mission.
• Employee Rights- All employees have basic rights in the workplace-including the right to
privacy, fair compensation and freedom of discrimination.
• Privacy Issues-An employee’s right to privacy has become a ubiquitous topic in employment
laws.
• Work Attributes-Human Resource Management will have a firm educational foundation
regarding the functions of human resources and ability of multitasks, Leadership abilities and
engaging presentation skills.
• Family Concerns- One of the main challenges that Human Resource Management is also
facing to how satisfy employee’s so time to time provides the family medical leaves, family trips
etc.
5.1 equal employment opportunity
Definition of equal employment opportunity

Equal employment opportunity is a concept that emphasis that opportunities in employment


should be freely available to all citizens irrespective of a person’s ethnic origin, political
association, religion, sex, race, color, gender, pregnancy, spirituality, belief, disability, military
status, genetic information and age that has no bearing on his qualification, performance, and
ability.

The equal employment opportunity does not guarantee to hire a potential employee; instead, the
purpose is that no one is rejected based on any discrimination.
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Equal employment opportunity or EEO is a right of every potential employee that safeguards his
interest during all the employment decisions. These include

 Hiring
 External and internal recruiting
 Compensation
 Interviewing job candidates
 Termination
 Applications for employment
 Pay scale
 Pre-employment testing
 Benefits
 Background investigations
 Working conditions
 Perquisites
 Lay-off or downsizing
 Exercising of legal rights
 Demotions
 Promotions
 Transfers
 Disciplinary actions
 Leave management
 Dress and appearance

The advantages of equal employment opportunity are as follows

1. CREATES EQUALITY WITHIN THE ORGANIZATION

It is a hard fact that people belonging to a minority or specific ethnic culture often face
discrimination, and it is this concept that can help to remove it altogether and create equality
within the organization

2. PROMOTES DIVERSITY

The concept of equal employment opportunity promotes a culture of diversity and encourages
every employee to work in a harmonious atmosphere irrespective of their origin

3. EMPLOYEE RETENTION

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Companies that promote equal employment opportunity leads to employee satisfaction and
engagement that automatically results in employee retention

4. SEARCH UNIQUE TALENT

Because of discriminatory policies, several companies are unable to hire talent that could have
otherwise proved beneficial. Removal of biased thoughts encourages searching and hiring of the
unique ability that would automatically prove a blessing in the long run

5. STRONG BRAND IMAGE

Organizations with policies like equal employment opportunity can create and maintain a strong
and compelling brand image amongst its target audience and the industry as people tend to look
upon such companies that leave a positive mark on others.

5.2 WOMEN'S QUESTION

Despite these in creditable advances, women still have to face a lot of challenges. Lack of
security to gander biases and pregnancy discrimination. These hurdles create mental disturbance
and personal crisis but HRM focuses on all problems facing by women

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