Mau HUMAN RESOURCE MANAGEMENT MBA, SECOND SEMESTER According to the New Syllabus of ‘Anna University, Chennai? Dr. Rajesh. R Ph.D., MBA HOD & Placement Officer Builders Engineering College, Tamil Naidu N Nithya MBA, M.Phil Assistant Professor ST. Joseph College of engineering Mohan Kumar M MBA HOD & Assistant Professor Sri Venkateswara College of Engineering and Technology THAKUR PUBLICATION PVT. LTD., CHENNAI -swar * Bengaluru * Dehradun * Emakulam * Hyderabad * * Ahmedabad * Bhopal * Bhuba + Jaipur * Jalandhar + Kolkata * Lucknow * Nagpur * Patna * Pune * Raipur * Ranchi * Rohtak *Human Resource Management = Dr. Rajesh. R CN Nithya {Mohan Kumar M Published by: Thakur Publication Pyt. Ltd. HO: Abhishekpuram, 60 Feet Road, Jankipuram, Lucknow-226021 ‘Mob.: 9235318591/95/94/97/25/24/22/17/20, 8957411424 Branch Office: House No. 8, Ambu Nagar, Main Road, Goverthanagiri, Avadi, Chennai-600071, ‘Mob.: 9543605656, 8144126950, 9543247241, 9543247130 www tpplorg.in : thakurpublication@ gmail.com Books are Available for Online Purchase at: $ppl.orgin, Download old Question papers from: www.questionpaper.org.in ISBN No. 978-93-5480-465-6 Printed at: Savera Printing Press on, Near AKTU, Lucknow-226031 E-mail: Ikospp @ gmail.com Mobile No. 9235318506/07 Copyright © Au Rights Reserved photocopying recording or otherwise), without he prioe writen permission of bth the copyright owner and the below mentioned pulisber ofthis book. “Dedicated ‘my Father” “Dedicated Almighty” “Dedicated to all my Students.” -Dr. Rajesh. R -NNithya -Mohan Kumar M a A eePreface his book of “Hluman Resource Management” provides an insight to the core concepts and relevant issues of Run resource management. This book describes how the human assets are being ‘Miaratona cbecives. This Book has been specially writen for students of ‘Anna University, Chennal. The book hasbeen divide employee tining and executive development, sel development and Il enable he readers to understand employee engagement and compensation pans. focuses on evaluation of employee's performance, various types of job change, coat a plyee's perfomance, various types of job change, contlling and Although. 1 ot of care hasbeen taken in ensring the preparation of ing ration of a conceptually accurate and err fice wk the room for npreveren i rever present Thr, spgeions for provement fis book we Plesee-malus st, thakurpublication@ gmaiLcom Website, worrtpplorgin Acknowledgement {would like to thank my ‘Lord Almighty’, my ‘Father’, fr leading me inal aspects and for abundaot support that bestowed upon me to complete this book: Deeps and my Guide Dr. G. Baranl & my Friends for thei suppor woton, Lave ad cre. 1 would lke 1 thank my Fay me and lightening my fe with spire 1 would ike to convey my heariest thanks to Er. Perumal Manimekalal College of Engineering, Koncripali How, the Management, te Principal, to my Department Faculty and All Staffs, for their continuous encouragement ia my academe pursuit -Dr. Rajesh. R ‘Students for inspitng me to take this work. I dedicate my hand work to my support and lve. 1am espes arts forthe 1 express my appreciation tall my Teachers for tee constant source of cooperation sll the completion of te work, 1 ake this opportoity to express my profound gratitude and deep regards to Dr. Saroj Kumar & Mrs. Veera their guidance, I would lke to thank all the people abo like to welcome constructive comments and ig ad improving the quality. accuracy of this book. who have Helped me daring the revision of his tet Suggestions made by reviewer for developing, ro Finally, {would extend to acknowledge the services ofthe whole team of Thakur Publication Pvt. L4d. and everyone who collaborated in producing this work - N Nithya ‘My heartfelt hanks to my Gurus, who gave us so ach knowledge and suppor throughout my life and today 1 1 thank my Family, Students and my Friends who have ‘supported in bringing out my knowledge to stand here as an auth. {would like wo express my gratitude to out Chairman, who have encouraged me to do this wonder also thank the Management Members, Principal and Staff Members of Sei Venkateswara College of Engineering and ‘Technology ~ Tirypachur, Thirwallu Ws my great pleasure wo express my sincere hanks to Thakur Publication Pvt Lid, and the entire team for ‘hei effort to publish this book, -Mohan Kumar MSyllabus Contents Det: Permpectivets Hamas Resource {36 BA4203: Human Resource Mamagement Unit: Perspectives in Human Resource Management ° lotion of Human Resource Management - The Importance of the Homan Capital - Role of Human Resource Manager ~Challenges for Human Resource Managers - Trends in Human Resource Policies — Comper Applications in Human Resource Management ~ Human Resource Accounting and Audit Unit: Human Resource Planning and Reerultment Neer ease Vim Femonag Vow RawaceRoploman-Sahing S09 sn ‘Demand Intemal and External Soures- Organisational Anraction. Recreiment,Seketion, Induction and ‘Socilistion- Theories, Methods and Process, Unit MI: Training and Development ° “Type of Trnning Methods -Pupose- Benefis- Resistance, Executive Devekopment Programme - Common Practices - Benefits ~ Self Development - Knowledge Manageme. Unit 1: Employee Engagement ° CCompenztion Plan ~ Reward ~ Mativaion ~ Application of Theories of Meaivation ~ Career Management ~ ‘Meatoring - Development of Mentor ~ Protégé Relaonshipe- Sob Satstcton, Employee Engagement, Factors Affecting Selection 3 233. Imporance of Secon! Objectives of $8 Selection 234. Dilference between Recusment and 59 * mporance of HR Accounting 3 Selection- Matos ot TA 7 235 Sletonhden ele in 2 eae u £14 RowaiigCmpnsion 101483 ‘i co 326 mpoceer TNA 3 E13. 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Ges of Bs apna 6 i 7 Objet ore se a 482, Cteisof ace Pn reioriwa Ho 412, Giri of Compensation \ adproblems of Transfer " Unit 5: Performance Evaluation Eten and Control “Meaning of Separation revtrmane Elation ‘ppc Separin UNIT 1 Nearing and Defisition Performance Evaluation Perspective in Human Resource Management RU aa Evalstion S59, Solutions Tor Performance Evaluation Problems S18, Industy Prices of Peformance Proce Model of Grievance Handling 192 Procedore ‘Gaevance Machinery under Indosial isthe most ercial and challenging tsk ofthe organisation, I wan previo Personnel managentent, Mesning and Definition of Transfer 552. PupoefReasons of Taster ae preva -n each and every oxzunisstion whether iis public of nt and non goverment, edvcatial oe1.13. Scope of Human Resource (Challenging Function: People are complex and dynamic in matr. {nega dane ery owe superna te cployec I hwy sea ash ‘Ongoing Process; The function of HRM cannot be restcted 9 particular me and date Is eesti ‘Srey department Therefore, ts cominvoas i nature and pracned every Second, Dou. day ahd Year the oranison is necessry forthe employees to perform wel put in commutes and bed meng which {Job Analysis and Job Description: These are prepared to hive qualified employees ‘quirements ofthe organisation and atizning definite fnetions to jobs. They sso ‘dispute resoltion, pievance ime period was tocauce of the Wagner ct The Act attaining with employers on maser ike salary. job sabi. Sk some ermployees to 2 vey smal extent Grades te peace ot con “Tig Muman Resource approach ices sha the main source of satsfacton ang motion of employeesnemsions instead of prov woul scicce contribute to management by giving new dim aa pea walle way of hiking seat the managers rol, ate of orn ‘sources with goals and policies, According to Kantowits and Sorkin, “Human factor isthe discipline Ut wes to optimise the relationship between technology snd the hum.” ifcance of human fates cir m= sero from the following points 1” Activates Non-Tuman Resources: Allth physical and financial resources of an organisa bythe human resources. Inthe absence of human resource, ll ober resources remain dormant and wiles Develops Competitive Advantages: Human resources canbe effectively used for developing competive Ar all thee endetvours are the product of human ‘fs, human resources canbe motivated to achive them. ‘Acts as a Source of Creative Ene ‘As such, human resources ae one ofthe mos important ase of the organisa respures active. Different types of activities are performed by them in diferent ‘marketing. production, finance and 3 on om who make ober mctonal fields ike enpecn i Hn Rese Managment (Ua) " 1.1.6. Objectives of Human Resource Management ives of HRM ae as follows To At n Scaring the Cae Se by he Organ: Tern im of 1M is wo ass te enploees a ‘iving te ee rasan pc ito dota exec come tan end. 2 Toi te Epes nar ePeral Gs rnin Grohe toy en cpt rls bu ely ts cape and deve bof eyes by wang Sek va enyscn she Sep sl pelo Ti ty ras Scefiemyeftheenloes tt aba nee be yay ethene tate anon 3) Toda Maximum Ulsan of Empane’s Pot The see of HR sin sb ncn of {tecivey athing Be il oe empayecs whe wok sparen in beep, Ts ps ity expe ope of be emgayn er eter of te gansta Se 4) To Procare Edel Employee win the Organ HRM focuses on maintaining the effective 5) To Enhance Job Satisfaction: Various programmes of himan resources we Implemented by the HRM In order to enhance the quality of life. This sausfactin ofthe employees. 6) To Improve employees. This ‘quality of werk ‘7, To Update the Employees regarding Managertal Policies: One ofthe most important dutics of HRM is 10 update the employees with the intemal pois, feedback of is the duty of HRM to make organization pleasant place for ional performance cannot be enhanced without improving the The HRM function also ensures fulfilment ofthe social responsibilty of the organisation towards the different groups of the society, whi tance: The erica ask of HRM ia every organisation is the assignment of date athe right time. This brings efficiency in the working sytem ef te ‘tganstion and enhances quality performance. 12) To Develop Harmony tn the Work Culture: {individual and organisational goal, This results {he employees forthe achievement ofthe desited HRM makes continuous effons to fill the gap between in building cordial relationship within the organisation and objectives ofthe organisation as a whole. 1.1.7. HRM Functions [HRM fonction canbe classified im fllowing two categories: Cotesia] Manaprl Functone ‘Operon Fancine Ping ployee Orig Manat Rees Deelopment Pireing CongestionMBA Sco Semester (Human Resource Managemen) AUC the process of taking any sonnel programmes and and resolve employee grievances in a quick and proper way. 4) Coordinating: Coordination am ‘organisational objectives i pos ‘managers bu personnel dep can give suggestions fr improvere Controlling: Controlling is the process of examining and verifying if everthing is as er the set plans standards. Some of the means tvovgh which hum anal fasts ete special ates wich human eos poole hve 1 prom fr ech and 7 3 organisation. These vet ial candidates forthe attainment of objectives of ‘manpower planning. recruitment, selection, induction, and placement. ee jaded nthe employment function, 2) Human Resource Development: HRD is the pocedire of building an transforming the know ratty, and, et, according to the existing and upcoming requirements of Uc Job tad ngane ‘consis of perfomance evaluauon,trinng and development arc planing and development. ce 3:18. | Inclusive Growth and Affirmative Action {owt is refered oa inclusive growth when it relates to both pce and pattern of erowth, Both of them are [ppc and werefore should be considered together. Such a growth is necessary for achievog the growth i regarded necessary for th equal oppor ‘hat the hiring process Alt players wi 2 Action afe“eolor-conscius" ‘wrongdoings, whereas, EEO belonging Yo particular rot generally Eve preference to individals onthe basso jon Plans io or all he goverment departments and indestis that do 1t of work in pblicdomain to fon plan. Following are the three steps involved in formulation of in formulating an affirmative action plan involves the organisa simpson ofthe workforce by segmenting all are kept in one gt00 and 50-00, Following ii) Determining the percentage of protected individvsls inthe total labour market. While collecting this yes of information which must be considered bythe organisation, hich For example, what percentage of total managers ae females? What Aion Americans? What percentage of executives are Asian Americans? ot prce-das member for ach of a low3) Deeining Action pions: Te the organisa nging Wo protected class, ‘Pnaner that undersepresented sections of people become eligible for psically challenged individaas “The main conse of organization ist find out the extent of preference they should assign ‘elonging to protected class 1.19. Roles of HR Manager ‘Scr oles ar ful by HR manager. The nature and extent ofthese roles depend on what top management {Sod the safe want fom the HR manager Thee rales are peally identified for an HR manage, which ar as fellows:sce Sees ama Hee Magee AYE fy to automate HR systems, of competitive advantage nd processing capability withthe ory that this system i automatically combined with oer ‘conomical and smancr wothog ofthe eeanisaon by enabling quick azcess of employee database 30d ‘elated information by authorised persomnelMBA Sen Semester aman Reurce Management) AUC talent team of loyal and devoted employees forthe organisation in fue. luntary co-operation from the employees by motivation, participation, grievance litcium between job openings and applicants in tems of numbers, qualifications, soureseffecively by conserving ther physical and mental health. HRM plays very significant role inthe development ofa county in the following ways: use of psc, natural, and economic and valucs of its manpower, Less silled and ‘county. HRM ensures that human resource ofthe ‘employment. 1.1.12. Difference between Human Resource Management and Personnel Management | 5 Resposiiy [7 amaprneat Rae cremaibyorurerecaie# Ba Sco Semester (Haman Reine Mazemen) AUC Whim ome TRepoay Nal Fefomance | Te HAN, ad mle we Reson piel "a eane acer et Sie noted prema 1.1.14. Challenges and Issues ‘Some ofthe major challenges and 1) "Globalisation: Human Resource Management in int wowledge management i gaining importance as the wilson of knowledge is increasing. The challenge for HRM is tem of knowledge management that can 6) Changing Power Structure: Reducing the level sce omar deceased erga the Fresdom of 0 the concerned employees. especially in knowledge-based organisations thereby reducing the in of power. ng tuning programmes which are most suitable according to the ‘major challenge for the business, However, nal Culture: Developing. transforming and maintaining an energctic amd 4 difficult task due to Increasing focus on competency of human that modern methods of HRM are a hindrance in making maximim 8) Dynamle Organisatios ork 10) Changed Employee Expectations: Changes in the HR profile has resulted inthe changing desires and ‘equremens of personel. Atvactons soch as jb secunty, remuneration, housing aze no more able to fact cain and ‘Status of Profesionalisation of Human Resources Management ‘The process of professionalisaion requires knowledge, competent application, sci responsiblity. self these variables ae affected by a umber of iterating forces, whi ae 3) Professional bo Fora clear knowledge and understanding ofthe role of HR professionals one necds to erally examine the Jimportance and working of these organisations. sin India that speciale in ‘management wherein there are around 50,000 sdaissions Oo a yearly mg search study done by Akilesh and Sekar Uat HR professionals spend 3 lst relations discipline and handling grievances. Thus, personnel ionalTHR sues are detved from Bese seference [According to Brewster and Rkbell, “VR policies are se of proposals and actions that ‘out for manager atic deshings with employess” [According to Dale Yoder, “A poticy is a predetermined and accepted course of thought aid action that is ‘SSined ant exablsned a guide omar cteped goals and objectives” According to James H. Bambriek, “Policies are statements of the organisation's overall purposes and its ‘Sjecves in the various ares with which is operations re concemed ~ perenne, tance, prodecton, According te Armstrong, “Personnel policies provide sidelines fora variety of employment relationships and {Genuly the organisation's imenont in reeraiment. sclera development. prometion, compensation, ‘motivation. and itepraton of human sources 1.2.2. Objectives of Human Resource Policies UR policies are formulated to achiev the following objectives: 1). Prosiding Uniformity: Clary commuticnted HK policies sim a providing uniformity in messages and tereain. te manne rte depceoferplanceergansaons ces fundamental ine provided by the generat ‘se barpaning ig, and rewaeding famed by acompetentastorty and have no oficial anion led fom the Condbt ofthe membcrs ke talking potty icy shouldbe felt by HR manager, i the organisation clive ofthe organisation shosld be pesunded by the“Adequtely denoes the gals of the be conducted wih repute experience So alse ‘may face the condition wher 1.2.6. Importance of Human Resource P sone employer to the oth the customary practices in io stop employees Irom approaching the prefered superior to leave the tak ike tod, the HR policies presen the chaiol-command protocol, 3f various cour cases and the HR the organisations in reducing hiss, tion of employees forms the sal of employees as and hus. very mandatory part of every busines assoration, A fase tion completely depends onthe cst of manpower working in tha organisation ‘According to Flambotz, “Human resource accountng is the measurement of costs and value ofthe people for the organisation” 0 Stephen Knauf, “Human resource accounting i the measurement and quantification of human inputs such as ecrutng taining experience and commitment” ‘According to American Accounting Assocation Committe, “Human resource accounting is the process of cation and messing data bout human esoure, an communicating ths infomation otuersed pace luman resource accounting i an atempt to identify and report investments ‘made inhuman resource of an organisation tat are presenly aot accounted for in comeadonl seesunting rates” 1.3.2. Objectives of HR Accounting+ wll in advance which emp Hama Reuse Management (Ut) numa ssoutce expense et man asset slvies and Wages sto follow certain principles and | ps the organisation plan an estimated budget. cae agin os nig son con rennin 2) tm ower to etinate the value of human resources, an ozs [ocedure ws per the standard se bythe human resource Spar tenting of the accounting proces. Pilot esting means pre-checking the working of the system before fnlising nan rouces are wad in he bet eats wonterc: Tete sould bene he value of be aan sets wrkng nan ogssaton, HRA . ‘appropriate steps can be taken t0 preserve most tole changing requirement the orsnisation ‘Methods of HR Accounting ‘re difereot mehds that conuibule 10 human resource accounting system. These mets can be {Stas ergunston come lear about the economical eff 15 of the ua sures. ‘an employee cn be measured i financial erm ‘Now-Monetary Measurement Methods: Thee mods include tote features of human resource which ‘ant be atte monetarily, But they ae the erganisaton Grancally Fer example, he bev of te ‘mployees, their performance Weir atendance, their development their dedication, Scr copay 10 23 ‘rgaiational gas, te. Al these factors play avery important ole in ascsing the Value of he employees atl ‘also be use timate the monetary tenes tat may be incurred by the rpanisnon inthe fare. 1.3.4.1. Monetary Measurement Methods | “Moneaty measursment methods nea allows << eos Vaan bod = [euro irs pied Ne Seelam 1 Cost Method: Brummet, Flamboltz and Pyle developed dhe his ‘ocurred in the ae ae ns are develope and adequate database is availble f reat sep 15 the pitekimian sp Jones developed 5 er teehee per sarge amber of people an a mp 1h ae Bharat Heavy Elcericals Lid, (BHEL), Cement Corporation of al Corporation LU. (SPIO), resourses, The following hod ployecs at various hierarchical levels are calculated for the cps are involved im measuring the subsequent five year. “Then the present value ofthe wage and salary payments a the rte of retum feat. ‘epee nomen Rouse Managemen (Ut) I Efficiency Ratio = 1: The organisation's average rate of retum is equal to the ate of fears of the economy, H means tht the value of HR is equal ¥ the industy’s value enti ts ihe a tena aig oh rion re dust employee ean be determined by the current value ofthe services that he can prow ‘in he future dving is employment in the organisation, 13.42. Non-Monetary Measurement Methods Nonmonetary measurement methode ae a: follows ‘New ontry Mererement Neth a record of eapabilies. classifies employees as pe thee sills, ‘the easiest way by which they canbe evaluated. These abiliies ‘qualification, waiing acquired experience gained and cher ‘te basis of thee potemtiality the assessment is made about how much longer thie ise. 8) Ranking: Under is met iin ved on he ss foe or ate tec. Reig ane considered a8 anther form af rng live Ranking: Unde this ranking method, one person wit he highest vale and one with Selected. A similar procedure is flowed for al eter perions. This makes the hod, every employee is compared with ater employees and then the est oe ea eal be picked up from the beter oes.ie presence in the workers. As development of ro determines the dese ial ro sion and tod poten} assessment plays a ven ei nds upon bs potest. vino of x's pesosiy. Orgisaoes oowing atade se oo Sia of th employes he hee the sce napy ith he wodg condos thy wan serena as whe, ele These a cra Sot oceopiojecs. bye sy of tute, pancularjb {En india dere ons ht can be a {Bamgement cin alo ob ‘sown pont of view regarding the ff any event. There are various psychoph ‘and subjective proba becaeulsted 1.35. Importance of HR Accounting With the passage of tie, HRA. hot ocapied option Lo the investment made oa them by the organisation fof the Organisation: HRA serves as an indiator of the unt of investment made on the human resources of any organs measuring the amount of profits that may be eared i 5) Improves Process. value of human Negative EMfets ofthe Programmes: HRA system also helps the management in determining the negative effects of several Pempecive a Haman Reus 13.6. een (ai) % Issues/Problems of HR Accounting ‘Though thee are many advantages of HRA but there are cenain disadvantages also, Some of them areas ‘of an employee in any organisation snot cetin, But this uncenaity ‘the organisation, woubling the estimation of human resource accounting which of etre organisation, “Therefore, one can say that there isa lack of se-eamings of any oxgtistion, the performance of their human asset According to Biles and Schuler, “HR aut evaluates the HR activites in an organisation witha view to their effectiveness and ficiency” ‘According to Storey and Sisson, “HR aut is concered withthe gathering analysing information, ad thea ‘Deciding what actions need to be taken to improve perfomance”ina systematic ansersment ofthe seth omext of rgannatonal performance tool to measure an employer's compliance with its legal Septem Rare anchart any coerv cues that ight Be exe managing is workforce and an examination of the human resources polices, sane dfcencies and improve ways 10 achieve ‘cesta check the proper functioning of human resources working in an pling wot which states ahot he pope working inthe egainion, os ‘performed by them. If there is any gap in the the organisations expen or by sully conducted once ina year and i eared-ot either by the or ens oy the ential professional specialised in human resootee management, having an exact undertanding of ‘aking pared ty HR sud ae for report ean be detected and ered 1s that fin ease there i ny error Feppcine Manan Resoutce Magnet (Ut) Absenteeism: Absence of the employees ffom ther work is called absenteeism, Uno frequently taken by the employees not only affect the proper functioning of an organi lly ofthe employce vad the organisation, {iy Safety Records the words, HR audit can do wonders if applied to ll the departments ofan organisation. It should IR department but should extend its range to other departments as well. 1.4.4. Objectives of HR Aud Following ae the main objectives of HR joing ofthe HR department of the organisation. It evslustes the and procedures in human resource department and also evaluates ts ies the mistakes done by human resource while performing their tasks and provides suitable ive measures a 00m a possible ‘éepanment which need revival or improv the HR employees. AS a result if improvement le accordingly. perthe changing ould ake place ime-petio and regulary so that constant check ean be hept om the ofthe employeesresem les and fe departments ar following the of the deparmental manpower, This ‘Performance of he employe and compare Figee raee ft Ant te working saps td coon nr 9 Se iSeries belting te opin a | faflacnce the HR aang pros. organisationrole in analysing the functioning of HR. ace various competitions and prepare the prc make pace i ovement inthe rough adit plan aa te sage wetoe ‘Background ta and Mechanisms: HR audit can adopt performance development by the employees, cing Resare Magen AUC aa son Senet mi comers Ben Fu Emine 2) : 1 | supply and Demand Equation: I is dificult to find the right candidates forthe vacant ob UNIT 2 | ios Ista. The fate penpectve of he sey and demand of human rescues mit be roe = 6) Developing Positive Work Environment: The scope of HRP isnot merely restricted tothe procurement of human resources but it also includes maintaining proper and effective working conditions win the Concept of Best Fit Employee rgunsction in formulating the programmes, procedures and policies inorder to resources of the organisation. PME era 7 4: The first and foremost important esponsibility of HRP isto ‘lisation ofthe existing and future human resources within the organisation, resource planning tes to identify the gap within the existing impaning taining and sharpening sil. | 2.4.4, Factors Influencing Human Resource Planning | Vaio factors inience human resource planing. Tes actor canbe lsd as fllows: Face lata HR 21.2. Nature of Human Resource Planning Hor Leitner FP ad Gacy {ireeawns Degman f Rtn rans Remsen Teel Advcenens FR snl a of tfrtion tater ‘rung Ot tl Prioncomet et Fa ng 2 st te fm Te a TnvernalEctorsBelp i ‘ter hand eater acon highlight he tests2 mem se ts pi ne toni a ci ne stonehenge ch mata eam eh rer eg enna ceteris ene of employees. Human SE iSct tariznce the relationship between sizeof operation and the number of emp ‘Euourc planning ves an accurate figure ofthe numberof personne neded in four, Demand Forecasting Techniques an end nti ew: Naser sn i ‘the managers of different departments sit together 10 asses the spprach, the department “ee frepared by them only. Whereas, in topdown approach. Fauirement After that, forecast are analysed with departmental head goon Howes none [ttheseepprooches ar perfect ~ only the combination ofthese two approaches produces effective results the procedure of computing the rato between a paticular business facoe and the or example, the requirement of faclly in an educational insite wil esity has 20000 stents and 1000 lecturers the leave prior tone vera clearer pietre than end {geod technique of forecasting demand, that a demerit of voiding some emia elements sueh a5 up- ‘Faded technology and improved employe effectiveness. 3) Trend Analyst: The requirement of the manpower resources is bused on the tends of the organisation in ‘Standard Outpt per Hour Standard Hours per Penson ‘Therefore, standard output per hour is ot a all times a stable factor, bu learng, which may be trough examination, observing others and common the existing stall within the organisstio i ph same time peri is know as cohort. rmployees and focuses on the coor ‘2 "survival une’ inicting the employees ho have ig inthe organ 1m intemal Sources is mare and ala the present staff canoot be pany can look frit ia the external labour marketws prospective employees from outside The manpower [Natur of jobs and shld persons avaiable 24.55, Matching Supply and Demand ‘out any gop between abou supply fn for bsdging he gap. Th Following ze some of the euied inte shoe in. The probable de Employees equre for producing is poods and services while tds aa be used to match he demand and supply un part from restricted hing numberof ele ofthe ongaisation, iy Redueed Hours: In order to avoid the permanent reduction in workforce, reduction inthe numberof ‘working hours ean be a best lterative fr reducing houtly workers. Rasher thn having a tepulr 40, troduced. Such a redetion in working hours or example, th such as tne 9. wotkfore reduction, ee mete ep to eover-op the gap, if any ident In this psticular phase, the immed fn can help in determining some very imponant aspects,ma Scot Sener Hasan Rese Magen) AUC Importance of Human Resource ‘rite i following pins: yah eu st of sil ements and rapuman resource planning a8 defining the the rpaisation. ay he rs ‘modernisation, and growth ean be soe tfficient completion of tak by aransing righ quay of peor tackle the challenging neds. cost of various processes and ations 23) Helps in Budget Formulation: allows checking and assessing the sad on regarding huttan resoutes in tbe organisation, Por example, salary or ober benefits a counier-shecked ‘Sh planning is made forthe budget preparation of various departments of the organisation ation, ot the components ‘maintain proper balance of hua resources. Human ied nor shoul it be In exces. Too less human resource causes under- Ulisation of other or human resource. Human resource planning helps in conuoling this imbalance before tncontolabe and expensive 6) Helps in Training and Development of Employes: Due to consistent competition, there is re loyecs to make them capable enough forthe organisation. HRP ‘an effor to ain the interest ofthe candidates fa group of potential employees, withthe Flippo, “Recruitment isthe process of searching for prospective employees and bs in the organisation” According to Dale Yoder, “Recruitment is @ re Aiscover the sources of manpower to meet the requirements of the sting schedule and to employ effective measures for atracting that manpower in Ie efective selection of an efficent working ore” ‘mandaory forthe busines 10 grow, since a business whi the ncedd sil forthe ing Vacancies caused due to Sta Turnover: Every business fas For example chain sores ike Sainsbury's and ASDA 3) Changing Job Roles: Inthe prseot word, work is chan ‘vale today might tar redundant next year and a new St be constantly created and businesses will keep 08 recruiting new employees ‘Orpaisations practice motivating employees to go for more challenging and Nghe paid ots within the organison. The ones wh steed fo tve up nthe hcrchy df he replaced by new employees. : employees and also ls through trainings tors Affecting Recruitment ‘mainly affected by fllowing two types of factor Factors Aetng Rerlonent Enenal acer H ee] E a cannot be controlled by the organisation. ritment areas followsjimem pracces ae direct eh in hing. and employment. For example, duled eases, scheduled bes, physically a ultions which keep {Egslatew for reservation in employment for sch ‘nape ne fon ce y te Govern fii ae, os ON pes the fom to choose the pte ute by won’ the candidate does No ful iso inuenced by te recruitment policies of the Mi) Competitors: The recruitment ich op with the ‘competor. Generally. organisations change thir recruitment polices 10 ‘Sompetiton” policies, soa they ean compete inte market. necessary to enhance the efficiency of recruitment amps in fue. I Internal Factors: The factors that can be regulated by the organisation itself are called intemal fast, eee foyer, therefore, organisation try to make use of that exe cost, isting workforce in the eranisaon scruiting internally: im eve pion Rpt evel postion log he which nates of vant job ae pote at inporant ng the number and type ves for employmentof recite | source a he source beatse they he To rtm © work on a part whohave | Mn rl eh sei ae be beneficial. Recruiting form work etic. hse who ter aungece at eine Hhely feet wc eed 40 Os ows: w cach ter very well The otzaisstion is aware of be i ‘he ober hand, employees are also aware of thatthe company does | ire fesh applicants present outside. Existing employees may lack dyna transfered they may contin to work and behave in the similar ways a that ofthe previous ton: Employees possibly assume an automatic promation on the basis of seniority s¢ ‘competition from competem candidates present ouside: Therefor, they may have 20 rove them apn and again. among employees who aspire for promotion to 8 who ar nol promoted dap and cy become the job positions from ouside through he fllowing methods or techni n these methods, the recruiters are Sento edveatonl and pierce ‘Various diet methods are: chen ty ae) sting: Scouting is 3 method in which representatives are sent by the human resource depart those places where recruitment activities are going on. They gel in contact mith the powpee ai fo trough an inal intersiew "Job seers in whieh 3 mise pot im has become equally vibrant, energetic and reatve iy prove = brief a ‘organisation wants to each a large target group and estes a good numberof qualified invades who are cosmopolitan in isuibaion 1) Employees Trade AssocationsClubs: Meetings, conferences, seminary and her social functions of employee trade asocitionvclbs are more ways of spotting sable candidates ‘iy Professional Associations: Professional astociationvPodies of msjor profesionals like Doctor, Engineers, Auiors, Chartered Accountants, and Managers sso provide abundant opportune co over potential candidates for technical, slenifc nd manager cadre vacances. 4 Tirms have established good reputation on productivity. efficiency, cad Sarmony. Many fis have made effons to discover appropriate candidates from such Kans jo computer staff engineers and exectives, These private agencies work as middlemen id employer. ls: These are also knowa a¢ Employment or Labour Exchanges. jobs and jo information longwith'3 wide range of services such as ‘ounslling. jobs searching, and information abo the labour macht. workers and py rates, ions or Recruiting Firms or Executive Recruiters: They keep nie ation records about employed execuves. These consling firms suggest highly competent ual for managerial, marketing, and prodscion engineers" pois, ¥) Trade Unions: Trade unions offer manal and skied workers in ample quantity. In few organisations formal agreements are made wo give priority to the candidates recommended by the wae non dng tent proce ‘These organisations such as private clubs and scil organisations might ko supply employees like who are physically handicapped, widowed or marred women, aged personsox See aan Rese NARS) AUC lites fom a huge pot sys ails and knowledge ea be cleced Wo ee the Presea, hode of washing. mal employees are encouraged © work scare of career promt A competitive sums 1 and compete with external ie wold ass am employee 10 Work nthe xzansaion ty ean Jove new He This tan easy work hiring ons ou se considerably Theis employees is 3 He-consming summing: Advenising, scene. whole procedure aces Tobe Fepeate i the 1: Present employees who have given a lo of time in service may oppose the process of iliog ‘up vacancies from outside the organo. The fecling that their services have not been valved By the ‘eteanisation demnivates cm, and they start lesingtnteest i perfonning the jb. 44) Uncertainty: There is uncertainty tat rn wil be able to hie the igh candidates. It may end ‘up hiring unsuitable candidates who may no beable Yo aus ito Ue ew segs 22.53, _Internal versus External Recruitment 2.2.6. Importance of Recruitment Importance of recruitment 35 follows 8 the fate effectiveness ofthe individ also asesses the effectiveness of vay Types of job apliants Meaning and Definition of Selection in refers toa proces, picted-p fom the poo! of job applicants posesing the performed te a {ppican For ajo ‘According to Schermerhorn, Huot, abd Osborn, “Sletion i a series of eps trom “screening to final hiring of the new employee” ™ i applicant According to Steven P, Robbins and Mary Coulter, “Selestion isthe process of screning ob ‘rvore that the mow appropiate candats ae Med i According to Dale Yoder, "Selston isthe process by whi ‘lance those whe willbe offered employment nd those who envionment facie affecting selection ar as follows iuaa scl Sees Haman Rese Manage) AUC . ew complined structure signifianly require a Sonal secre ino Bee a fom top to bottom. ren pF ‘ dpaimen Fein wes wares Wi he th scl pes a See eo sd ea oe ion process is infuen seal infaenced by Ie hin the seit wade some socal by po! of apa Ian bean fective process wr Compete apa for 3 ses jo pion. Shen compre wah etl pplians Beste selection ratio. W) Speed of Decsion-Maki bythe time provided for making the selection ‘by stil following the Selection policies and Atcision. Organisations procedures, 2) External Environmental Factors: External vironmental factors which influence selection process lade affected by the nature of the labour market as ‘mpl, there are very few applicants having als affect he execution of the selection procedure in an organisation. 2.3.3. Importance of Selection/ Objectives of Selection 4) Generates Information about Candidate: Selection also helps in extracting information regarding the candidate with a view to compar him wit her eadidates nord fan bein terms of money, ime and any oth the pasiage of time, employee may lose interest and misrepresented news pening to the in an immense loss in the long nun, Hence, continous observation of the rind the jo ns is necessary for an effective selection concept Bes Ft Employee nt 2) a Netioas SyServie yest 2.3.5. Selection Procedure/ Steps in Selection Process Screening of Applicants (Ap Seren erening of applicants includes filing up the application the applicants Such at personal sed im order to get the right intining a permanent record of the spplicnts, ony those candstes ae allowed for sand he standards e bythe organisation lo than the vacant poston, organisation goes nly fr few cose anda, oe . 2) Selection Tests: the selection process, to generate the required ‘Sinddtes who ae not qualifed tor the ine. mation provided by the applicants n the application forma, A non ners af ir apa abies, pesca ec whch examination cvalutes wheter We candidat po ee tats oF not Tt denies the detisiencies ofdates at the ie generally performed references ay ands ‘uit or some othe important pool Gi rsat supposed to be of rach importance dh “tivabl information, which canna be obiine Hiring Decisions o Approval by APP® Se recommended f o procedure. A psychological testis Mie ruppose to be there fora secs ‘ane the selective psyeological elements “The jrimary reason of conducting the test in ceetion reds Fey cated capes and skills of individuals. As human se hey need to be ndertod ination 10 ech eT td compliested in rayne F, Caso," pycolgicl tet isa nndarisd mens of son According to Cronbach, persons According t side” 2361. Types of Tests Selevon tess ean be elasifed a follows and precisely evaluat difference fc inercomecte to each oe semaie procedure forcoarng the behaviour of (0 oF ore Ee "These capitis may include. Visual luting the zrowt vel achieved by an individual on some¥ i ame an important Source of ML Btum, “A testis 2 stmple of an aspect of an invia'sBehaviou, performance nl | of dimensions ofan "These ta le ete igence Tests: These tests are mae (or the Inttigence Te sts are made for the purpose of evaluating vations pechenson, and jodgeme ee peng a bane ia tt valuatng the capably ided proper waning. led a mechani ai arial problems witoat wig ny he employes for example oy oaclite sil ol communion sl cooling sndyea ejecve tess evaluate te persona 2.462. _ Standards for Sletion Tests soup on wbich it being conducted. Fa tac of Boon workers who are not much iterate procedures to conduct the test ae requ aiid nd xp pet 3) Cuaes People: ist eed hy ole nd exe pe Yale oP penne! hve pert in tii wo 2 vesonble 4) Preparation: A complex st reared very eficienly a fl Validity: Validity of fe evens oF) {deseloped withthe help of re-examination of ea = fro erm Sry otber method to evaluat he ufo of the ated tothe capability of an organisation to auc ‘qualified applicants or every vacant postion, 2.363. Advantages of Tests ‘Advantages of various see ‘Selection test has an advanage over other test 3 it canbe conducted for a large ame time. Seleetion testis the ony technique to save the Une a mney of om large pool 4) GoalSpecific and Target-Oriented: In order wo evaluate @ panicular characteristic ofthe individual, vai jon tests are used by the organisations. For example, achievement lest can be wel to Uncover the existing performance of the applicants, on the eter hand aptitde test are considered for eluting the prospective performance. 8), Record for Future: Select ess aes asa recordkeeping tol forthe organisation, which can be hep for ns. Analysing the out lection tests may tel in the formation the content and administration of the test. I becomes ty finding the gap between the actual and the test performance ofthe candidates, 23.6. Disadvantages of Tests cs they sles from afew disadvantages also, which ar as follows Selection tests are not very effective from the aspect of cost to choose poo ced plenty of time snd money to prepare a selection ‘and eliable or no, ection tess are no. vidal. Partly, they ean rather than those who scored below “Tests can only be used asa suppleme such as aplication forms and interiews, tue pre-planned tests and they cannot be modifi frequently to dition, sice itis an impersonal technique it may fail noice the har essential fra jb performance many umes, capable of making cent percent ests and is wsers ae etcised for discrimination against sidered as a threat to the privacy. Sometimes, such om looking towards the positive aspects of este Developing a Test Programme ime tinvlves earful planing. research, testing, procedural knowledge, Prosramme may also require services of psychological taper sed tial methods. The diferent steps required inthe development os sound 1) Deciding the Objectives of Testing Programme: The fit st Pin the development ofa test progrimme involves determining te objectives of he programme, There rs cam be various objectives of atest programme Such hiring, uaiing or counseling of individuals. Inthe beginning, the programme may Be descloved for fee jobs and then canbe gradually extended to oer obs in the organization,spa Svnd Somer Maman Rescue NARI A. Shievement ce “Analysing Test Results Fly, marks bind by he eae se ts ‘eaten cc Ont bss fh sessment ial devon taken aso eet rect he i nanagement a he’ are hele eptin mind wile wsing cae ents Nor should Be purposeful exchange of ideas, the answering of questions and Concept Bes Fa Eplye ( ‘Types of Interviews views, which are used for obtaining various Information and evstste IS knowledge, ee on a variety of hses. Employment interviews can be enchant Type ot nteniewe interview can be conducted at any place by HR personnel to obtain the fundamental and non job related information unstructured interview provides fredom to the candidates so that they [Knowledge in various topiesfiel, their background, expectations, intrest, ee 2 3m Between the candiste and the line le. Coce interviews can be divided ‘ale axe amped at gathering the information which slso used 10 verily the informat red Interview: Formal and suuctured interviews strictly follow all the formalities ated to conducting of interview such as determination of value, tie, panel of informing the candidates officially, ete. They are pre-planned and same time, For example, in eases, where ther ac 4 lage umber of candidates for interview on the sume day, group interview facilitates the interviewers with 3 to evaluate a large numberof eandidates Ii ato a time-saving tool for the ergannoion ‘Group interview also provides an opportunity to evaluate the Behasiou of a candidat in group ing Interview: Job and probing interviews are mainly desiened for evaluating the snowledge wih respect 10 Ue duis, faction, Job methods, ertcal problems, ways (0 resolve shoe problemsams Reuse Maen AUC epenin ore nies + ‘Cotati Beenie vein terms of time and money. {5 tu sometimes, an intriew gets feted eriewe, his way of imteracton fale orn, ubering perce mation may be obtained trough mall questonnaites, expel negative vibes tothe applicans.10 £0 Well wid ts can Planned nd prese ances of pena ba chips ding pli) ae ying Teak he po se of the | According to Gary ester, “Orin be amused treme oft | fomaton tou the Gr According o Robert Le Mathis, “Osean sth roses of planed nrdacton of employes heir co-workers, and the organisation”. os be i 3 procedure for providing new employces with basic background tion Approaches: The variety of sleton approaches and test represent tat hee is 20 one pet hose the manages oot vibe 2 CantngOnnentona enment raison meant as ends 0 cane fat yenced by the designated pet yone has its Purposes of Induction veto programmes are considered by management of various ratio geet fresh employees formally tough a posed, ion process has assessed the trining nesds ofthe employees another chance to repeat programmes make it possible for the expanisaton to educate the ‘alety precautions to be used, and make them accustomed © informal groups. This, ‘vale an atiude among th enployees are crested withthe help ofinducton propramnes. | 2.4.3. ‘Types of Induction Following ar sme of the major types of eientaton 2.4.1. Meaning and Definition of Induction ‘uses Des Onenen folten used as means of etfective leaningconcept Bes Fe Emplene(Uit2) to Robert Kreitner, “Organisational socialisation is the process of transfor 5 cores ea transforming outers ita ora resources in an easy 1 cry ‘entation 41 process by which newly — hited employees 1 ofgansation” 2.4.6. Importance of Induction ‘The varios importance of indution is as follows 1)" Reduces Labour Turnover vice tDeempoyee i allowed vo develop negave opinions foward the ob uring tis ine, Ne an be induced to quit organisation, Labour turnover can te restisted 10 ‘ndoton programme, during the ely phase ofthe new employee's peril of service shows ig alues, and principles of the ering the val ves laming the skills and abilities for performing the job by self-experence, the bel of indveton programme 3 ‘of new member, his dedication towards organisation's Fnterpesonl communion withthe new empl ith the onpanisation. It generally Includes three sages as shown in Comme le —— 72° clearly slates that every individual who has just joined the organisation has sand expectations. When experienced people enter an organisation they big i values of previous organisation. Wi her diecly enters the organisation from information related to the organisational | ethics ofthe new organisation, nse ganisaton, sci . Encounter Stage: Once the candidate {he organisation. For example, when 2 peso reach on top. Th fdjustment kes place when 2 person takes the ‘organisation. dled. Thus, the pers now vals otherwise hema‘The ifferent methods which can be used to transfer the organisations norms and values othe employees ave ed on their experince res it wil requie the founders, and other practi me ‘ate by these stores ater than the things written in the organisational documents ress and strengthen the rica ohich objectives are of utmost i the tp performers are order to adress and recognise the members of a culture or sub-culture, languages are used allure i confirmed when these languages are the customers sup {5 common tread which binds the members of diferent alisation makes the employee eel comfortable inthe ms ofthe company so that hn pc pyr cma srlnd Vreeland een ives jb satisfaction to new employees because they ae able to to 2s and also realise the basis on which their performance will be el ing a nl wah | the soi 50 8 |asec ena em AU evelopment Training and Executive D' SS ceviment select ig. res in, of ‘Teining veal behaviour and Knowledge of ployee for monsansgerl peso: joyce performance on a cure According to tt John Bernardin, “Training i any attempt to improve employes se? held job oF one rete of an employee for ‘According to Edwin B. Flippo, “Training isan ac of increasing the knowledge and ski doing paneula job the continous, systematic development among all According to Planty, Cord and Eferson, “Tsing is of employees of that knowledge an the company” 3.1.2. Features of Training Features of training ae a fol cenain leaning objectives Makes Optimal Use of Opportunities for in improving the quality ‘work quality and leads to sel (6) Exploring the Inner Set: The skills bat cues | ie of ines show ti to make maximum wilisation of their potential and abilaes lp mot onlin achieving ose bene ich » » raining fa ply tel lemme capt to neil recited purpose of provi king him peoficient ‘eeating employees a hum beings not 2 way that the working conditions ean be improved ‘enhancing thei interpersonal sls ides that. the people enlisted for the ment. research and evelopment nance, opeaion min ‘manufacturing and human resources management ee folowing reasons: ‘Job Criteria with Employee Spica An employee may ied enovgh when comeae “ering ml Ecce Deep (Ui 3) = ke very bsic_purpose of every employees ar rest ase bout ie carer progres. Tring times nd ete deco a Fron sal nnd byw crs: te ogntaton, Tape wre ape cine pap en =m envionment in which 827 Geely br tebcieomnuene: — am only be increased istional Excellence: Trning sharpens the existing skis of te emplyes Deter perormance of accidents lower bekion emeltiveerpnston wih asked werfase AN ie nent ty ereatng apo fected and shied wane whos eles rin dependent om mprovsren Inca fe achieved by slice re several types of timing and them ae as follows 1 Induction Training: Indoction training, also bi inroduce the new employees tothe organisation and omforable and setling them ‘development programmes that are followed by the companies. Some of the people wh . en teining is Ur mode by Which We 2 orientaton training is conducted with angi to tre. This raining plays avery import oe fn fon. Unde this 3), Knowledge Tral they are go ‘Ths, knowledge i given to new empl and understanding regarding any particular issue of the ergo 10 poe eller, bt alo el that fortes prepares the orga Is that we require by ny. These sbils such as selfsmanagement, co parted through letures, workshops, ou is Kind of taining progra usally given othe employces who can und "There ate few methods by "whi ne duration, 40 tha they ean ‘ond performers cn lao guide othero the » una seco Senet Hama Resse Magnet AUC development programme of i prod oe cOnDa0Y PY ‘Smt Tas ‘syascacs ein Sr i ae on i sis aa tear cea ae under the gu tow ofthe corporations. Some of ‘Job Instruction Training (IT): Unde evince . To be performed during the jo dons wo be performed dig em Soon as possible of “earning wile ering” In hs metho sm exper ‘perience penon gives his knowledge and skills tothe tice who dss olen ‘Tanec has completed appreniceship programme, trainee can apply fr the perma the employees ae gven ie opportunity to , When he epost oat rom oe parent o ano about the ‘Separment of from one division fem on pete itl por St promatons im which the employers ae promoted from lover level 10 hi engine eters si elven eierag ean Sat mos van Lede ing the usinees to perform the responsibilities of jon of his senior in furor. In this method, wben the superior or mana Tring nd Executive Development 3) sepa trom th ogpistion due othe reasons of tansers, rsenaton,reiemen ec, aloe to tat employe wo has recived ining unde him This mtd flees ee the sense that the manager ean select employee from his Jepatnen for ners, a ing is given by a specialised and experienced person, esto, occ whe yey eee Ba ne Senegal whe bee edo eee Hy without the prove the knowledge of the new employees. Some af the imparting technical knowledge to the new employees, lecture ion, ideas and hypoth 8 various teaching aids is, chan papers, visual ads, ‘simplest method of providing knowledge to the tsinee iwation ofthe job that may have happened inthe vable thing. any serious enquiry that may have adversely ict. Several realistic examples can be lle the situations accordingly. By this, the organisation ‘may happen on the job and how they have to del with bis method is used i those industries where on-the-job taining ean be expensive Case Study: Under this method, the real business cases are framed and they are provided to wainees s have to disc 38 on how they would have tackled that situation. This method ty method and is one ofthe very common ways of imparting knowledge based on sctal ves the manager a snapshot of lamer’ ability to perform the executive functions and roles ico-ecorded andthe concerned candidates ae lesied om the rasan of ‘and ables such sof problem-solving ability ime management ee ed rmethod of communicating thoughts to a large number of audiences who are asa conference. Expers from specifi fields come together to ahan they ee so obtain answers to thee questions if they have any, “Seminar” is *Secd Plat” which means itis a base ground for gaining People who not only: prepare o share thet ideas and explore is focused on any particulat topic, learners ae ale 1 respond effectively.Tone and Conve Devlpment (U3) Scot Semester (man Resor Manger) AUC Under swing meio. employes are aed whe the organsae, Ths, he pret te trining cess" “S| tho, employees are Glee Fay Tw ‘tnd th ere ho peda donee = tuls OWE GAINS wera w Saal ae spins created by people or machines. soutien, apreniceship.metonng ee 34.73. Advantages and Disadvantages of On-the-Job and Off-the-Job Training ‘Desaig Tring and Dede eae T Frese Taian Pepa (6) races might feel prewrsed fw wowing amore experienced employee“Te tines engaged for his proramie sold hae pect ine rire JM also have jctves, and ls working envionment He 4) Increases Employee's Confidence: The tained th nd perform the tasks quikly and hoe who ae slow leamer and performers 7). Minimum Need of Supervt supervisor: a the employee him 9) Improves Understanding Power: ‘which hei involved. One can und Teaincd Employees will be Lured by Competitors: Many small scale industes ty to avoid training of lyees se they are aad of the Tact that once the employ ion or not. Thou. the avsssnet i doe systematically i en lp teem soins of rorces avaiable win. he workers ae able to do thei jos in appropriate ways and in ect Se Inosedge about the companys bi good commonication and crea any tak and thus bongs certain probe rst thee ort i opment proces esto do thir work tothe best of ther oat on ee-mork and non-economieal metods nyees to work efficienly. This Helps the ‘posts confidence of the employees, who culty. Hence, employees Ean confidence and 2 wind person is operating machinery, there will be no need of enought do a pod job the workload of supervision, it becomes easier for them penton beter understanding of the procedure in fw, which helps in and media sited enteppises avoid Waning and des clopmeat programs “investment incured in these programmes is very high. Sometines te oon these smaand medium-scale companis, et. Sch an ook of se ons bit aio advenely alec he pov ofthe ene unable to provide sutiient Aitficul or tese concerns reconcilement. to adopt altogether new approsshes for der such circumstances, one may adopt new sls without fear of being mocked pon. and encouraging interaction onthe subject. if and geting op| Tainan Execute Develo 3), Task Anni obey ces with thes Acconting to Alison Rowett, “Trsing need assess ‘Opinions and ideas froma variety of sources om performance ecb er new systems an eho that arcs which are lagging behind meth the performance ofthe waekers i measured simply by which employees perform an how well hey perfor obierer who is Leeping heen eye om the pformance ‘which an employee inunderaking lerviews Interview is one of the most import tools 19 asess the nee for taining. tn the proces of interview, the sm tin is asked from different souees 50 that the information which i revealed 2) Toenhance effectiveness of employees 3) Topeodace qualitative goods and services, 44) To accomplish the goals and object trainings would be evaluate. between sil thatthe employee poseses andthe sills meee 30 that he ca nd expense incur i the using programe. a anistonal strategic plan, the area where they lsh an analred by the a deeming ring ees cgi he ng Conference: Another method use it ‘employees ist organise problem slving meetings at regula utes of his workers while sot corte grain feedtack and formance interes, These eos general et Mfectve training ned analysis Sind gaps required ina effective Tine Dicarsor Top mgt z Tap TWA Stir Oe T t Dewy Trig OOo Repo TWA Rept v | gore: Prasat TNA ‘Step S: Collet the Information: Collection of information mast be alloted enough time and vigilant dally no needed fort is the mont crucial ep of TNA because in ang the need for taining sented, ment, tere mst he evidence 50 thatthe need ean be vated jous advantages if the objectives of ain ae ‘ae follows : Develop Training Plan: The on-the-job or off eet th reparation of TNA Report: The interity ofthe sn et of the organisation wou ence, being wel preazed forthe meet ‘management would be interested in seeing and Uicussing the report on ara 3.2.6. Importance of TNA Following isthe importance of raining needs assessment: 1) ‘Taining ad various such developments required for growing professionally are identified by TNA. ime on neces trainings by making sure that only those trainings are conducted forthe participants and would deliver desired resus, and waning projet of unity arses among employ ing fora given job position, of TINA, management programmes can give due importance to taining and development ‘employees and asian required resources for condctng professional and technical taining, ‘TNA aids in reducing the deviation inthe way of thing that exes between employees participating ia ardng their expectations and needs. 1 provides an extra lp when Both supervisors recovered inte survey pric ote wainng 2) Implementing TWA requires alt of me a itis implemented at enterprise and therefore a ot ‘of efforts and costs are required 3) Dye to ack of suppor, comminen and panicipation of top management TWA. there is possitility of Jenlifying needs that are unreal. ms not conducted propel. te organisation x erticised of wating and over-usng funds on needless TNA will highlight heir inadequacies, they might resist it lect the importance of TNA and may consider tuning more elective comparatively,“ening ed Executive Develop U3) a 3.34. Approaches of Traini doe trough the following approaches: Donald Kirkpatrick designed a model which explains the taining evaluation by the ser unan Reeure Nanas) AUC uaa sen Sem eed of te oe oe pley-makers ba 8 ad “of the most crucial e ities ef be ring Eoin formants oP se of wining det a8 ay ae « otha iflraton Be Stet or enining programme and wo ase ihe als of ight fh earning acquired by the panicipants sed with the help of paper: about what the talness silecing infor for assessing te inspira ‘veg tt re ea tt tes teeis of noe pear. aa a swe he gt stn forthe ing nee identi. ie sopgr to the management in aking deisions ve and exercises used athe wine POETS. fesourees availble i order to make thee optimum ines whether ono he tating programe trowel ire oma iim, 3.3.3. Levels of Evaluating Trai ring programme canbe 3s) Outcome Evaluation: It notes galing and vil tng and ising infomation regarding the taining outcomes considered to be the most vital part of the evaluation. For making outcome aioe ive, careful preparation nceds to be dune beforehand. . ae ots plan i executed, iti sd to have been implemented. rising and aalysing 3, 4) A raised for measuring the effectiveness efficiency of evaluation process and important stage in ralaaion, However ‘Appraisal of he net analysis. kn this, cost and sages of cost-benefit are as ing suchas tan?’ fee, materials facilities oF any efits such as employee retention fare determined.supa second Sees aman Reser Managed AUC 4) ROM in Training: Aer Kirkpatrick ts Js (te appre of wing vation. in he wang la on the basis of or even the rough tiniog oer vo he “an be ebsined by Une amount of refor ing to measure and estimating he Dene of ning pose i ee eFRON fe taining cn be calculated Benefit Cakeuated Programme Cost so Estimated “The higher the rato of result to cori, the greater wil be profit tothe organisation +100 Rerum on lavestment(%)= ‘any research, They are used (0 cole the most acca information. tof the organisations. ‘Generally. tests include pe of questionnaire for guherag the informatio related to eganting employee sttade about workplace, policies, iro. To ae the chan de, belore-and-aher programme ‘measurements ie dove Justo, but these are not used often The ‘on ouside rd pany can organise the which cannot be acquired from the Interviews. An interview ‘questionnaire but for conducting an interview, interviewer should be et answers to those _r0up discussion in wbich group lly designed to seek qualitalive judgments on a specific fd i also helps the evaluators “amongst them. For observation 10 should have proper taining. 6 the training evaluation. I tes lt of time to ation, However. this perception is wrong as most ofthe dt is collected ‘ogrammes. (designing, developing. and delivering. U these phases are imation peneated at these pases can at as valuable toute of data dareg the evaluation phase, ve Development 0 human resource, abd in this competing global 2 predominant lin i an i neve rand executes who are eapble of ean ad ping ‘to match fast-changing needs are required in such a business environment. * roa According to Dale S. Beach, “Managerea clpment a sytem proces of wing ‘which individuals gain and apply knowled; A zi se etic sights and aturades to manage orientation effectively”, ldes the proscsses by which managers and executives bs but alo capacities fr fuure managerial asks" ‘means by which a person cotivates ith which the ansipated raul of anager. iS an ongoing procedure, spanning the whole zement perwoencl of an organisation. However in india, managemect pesioie activity, filing to fulfil the desired organisa ered management development to be a systematic and Organisational gas a sce ae in a comiaueus sate of chan requiring manage to te eve aly tuple Sd ethane tir sls and Knowledge Meuse evelopment processes Pinses Jones re diese toons temiing Wore stitch te orgnisaon ms mangers and see lopment of management are given below ecm of every mange tut his poston, sn espns within he =o ty to analyse in onder to pinpoint the problems and make ated inses, problems s that anda setereins o corespaing compen ak the equed action ih elect obs laws fnancal scoutng sd bie Saison manager problems and be acquainted wih, and be aware of the fom and terpersonal relationships in performing, management Tein and Eective Developmen Ua 3) 3.4.4. Process of Exec nin hang he oh pal of cele hea pp mangement etlopment popanns. Gp Pe deputing him ae razemt slope rcopmeninvlves ts separ shenia eee at Frnt and foremost a management developmeat potential maragenal requirement Step 3: Formulating Strateges for Development of M: ‘ecsion about the method of proceeding. with the pro ‘of management fnctons, technological advanceme ‘on the management development tvs, lure of management development are generally focused around the individual rganisations choose to adopt a peederigned developmem programme with s. Management development programmes can ‘wstomised for each organisation. On the other hand, some ther Organon’ of ample 9p ensure aval, prtnies for ee manages to dele themselves init profession wid ima 1 Termalitis. Haring capacity of managers andthe opportunites at thei disposal may be different fur diferent manager, For example, some manages may have high levels of movin and enhasasm for sciang vee teth employees ) Mentoring: satel Feng el evel rethe 346. Common Fema xen ae] Sane Tate Comoe corm teen — AAG1. OnetheJob Methods Varwus oth job mets ict he 1). Gaschlag: tn this meta. the trainee is Sache by a supervsce who insets the tance ana ants 2) Role elated knowledge 1 bi sleplaying is 4 tobigue that lps the execu Iveta enables ines t ef imaginary experiences hat of management develope ‘ery use technigos, puiclarly for developing an executive's decision ftom Ta dh technic, raioes are Sevekpe using a group pees to understand individuals beter. This through le playinga Scot Semests yan Resse Mangement) AUC 4 tn Tega meta el dev ein ing pln hte aaa (cree be carlton) bss nena cous fej “This meted bel to develop crgaisalional ability, quick hinking and responses, and it to aes Behaviours. 0 good use 1) Simlaton:Simlation effectively helps to develop decision-making skills, which can be Put 0 for solving problem i the shores possible tie. ri Training: The managerial gid, a sit phase tect sigue, was concep by RR. Blake ad Jane S. r 1 styles; these styles represent different scene dc Tas echigue ned ins pena’ yee: bene itis iil bing show radial vo oa si ty to modify his altitudes, as and when need tion from a lecturer 0 the audience. I is used for [Pveraes real problems forthe trainees o ache. Taines might also be provided a writen asignment that ecificlly mention the aims, target dates, actin plans andthe mame ofthe supervisor for Keeping an eye on the asignmeat unt its completion, 3.4.7. Benefits/Importance of Executive Development Importance of executive development is as olows: 1 motes and maintains good elation between managers and labour by fostering better understanding of ‘organisational rales and policies, ineludig the conect interpretation and implementation ofthe collective bargaining apreemeats. '5) promotes and helps to maintain excellent employe relation by providing taining with regard to interpersonsl relationships, inpring them to achieve beter perfomance by undrsanding tt suzngl, weakness and ‘enonal charters, and by encouraging them to mainainpoperstitde towards ii ori: 3.48. Limit of Executive Development “Though a company many benefits fom these development proce ‘of administration development precedure Some of linitains are ss 1) Lack of Top Ms port: Each and every function taking place in an organisation nceds he fvidance and supe higher authority. Without the cooperation and coordination of hight! Sony oom Pecone «i ifie In snlen ean Bat ope but there are several drawbacks "uted to transmit more nowledge in short time is one-way transmission of information and strategies. 5). Absence of Job Security: When an organist ‘employees, i obviously lowers down the ‘which in tim negatively affects the develo evelopment. te vigorously in any development Creating a suitable atmosphere for the waiees during management develop to Change: Change is the necesi changes have to be accepted by all thee very few competent employees. who rable fects tbe management de sy are fenced within te perience. ny development programme in making any developmen yf time. Ths, 10 aan the ergata lowever, the minaeoicr There are two ways in cessful, These ata allows ofthe establishment 3 proce employees. Fo this, Fequred among the employees throughout the organisation. "Any lind of riscommuniaion about the changes taking place Hn the company may adversely flee pose jateome of the management develop retirements achieve their predefined objectives and meet the deadlines. Any laws inthe action plan can cout heavily tothe organisation as well trois sa. Tha een mectngs en bcodae woven te popesel be soe Zot petty shld te given oe employee ocnps Me des tou te te devon to provide a work security and steadines tots ited growth opportunities are available inthe company which kep the lopment a their chances of geting promotion jb respoaibilies and are unable to get any lon: Absence of job secur and les chancs of promotion makes the employe reso Sink abut ether apes of his ie sucha fay, end. ea Tere, ees whi is tars nde Ne Deviopmeat Devcon “is concerl wil ean ere and conceal knowl of manson Relevance FFaiang. poemanes we more mie a ent a os maga a Foe =5 Gat Te mala pono nag agen To wan ped obec, (5) Ovenaion | The inn plane we scaly wate rams Be Fon fy pens pone neal Tring sft vlan ba obligate Tor be eployes fu te sands of he oman. Ti corel betecn tearing poe al] Jereer" advancement oncerain 10 te employes, ion of Self-Development als refemed to as personal develop ual, The concep of vledevelopent i both feel. A spitalist con considers iin terms of making new records Selfdevelopment can be defined as development of one's stiles. Hower development ofan individual may Self development ean be atsibuted ‘eran personal objectives. Manage them. According to Stewart, “Self-development is defined as individuals improving ther knowledge, skills, and abilities through their own self-iected efforts." According to Pedler, Bourgoyne and Boydell, “Sei-development is defined as personal development, with the employee) taking primary responsibility fr her orbs owa leaming and for choosing the hens 3.5.2. Need of Self-Development “The ned fr slf-dvelopment rises du 1 folloing reson 1) Generally all anager jbs demand high level of selFdevelpment. However, with changes in Be envionment, tere is increasing requirement fora cresive and fete speach, 2) Despite work pre 3) Cerain managerial Such roles demand challenges uals asiing o move iat more challenging roles ao require sel-development arioly we? thy ae switching Ferween ifleetcareoplons loom, parcaly 5) Abigh evel af self-developmen is eqied when te marsger snes whem mre ene, cei resourefl and creative etc rece ie changes demand even grater capacity for slf-developmest logical changes, new makes, modified crpanisaton sivctve ce imme | | “iin snd Escotive Dosen 3.5.3. Objectives of Self-Development : lopment eset peace-loving human being hakng sensible and ws cxf ret aspects of ‘work with others with the sense of collaboration, cos ime so that unworthy elements donot get the bene eric, bu 0 preset oneself as, iden a eng tatty dotceee dynamic and eneeing aming and inculcating profesional sls its maxi {ep human values on te basis of deep understanding of dferat cures, ces, nd leress, and attentiveness so that all acts and advancement. ini aude 9) To develop good habits which can save time, money, energy and emotions, ‘ae performed completely, 8) Developing constructive and opt es of Self-Development velopment is qui cant when it comes to managerial success. Managers have ‘makes principles ofself-dvelopmentan import leaning concept. Following are the principles of 1) People have the respon People tend to lean efetiv for gaining new competence, People come to know about selFisight ater knowing the candid views of ethers ‘When leaing is experienced dite, it becomes more effective rather than when is received second hand, es are needed by people for having greater personal achievernent and creativity inter entire ae greater opportunites than people believe, Emotions and fetings form import element of person's ie, 8). Relationship with othe people can generally be improved beyond one's imagination, and 9) People must ty to understand their own uniqueness. 3.5.5. Stages of Self-Development Figure 3 ) Selig SeltDeselpment Objectives: Esablstig. [—Gamogar cater ome eas ee] | tice atl eal 3) Udentifying Development Needs: Identifying the skis and knowledge necessary” for the c accomplishment of objectives. 4) Constructing the Development Plan: Perform an Sasa analysis regiding the infomation obained fom eee ‘personal audit and detemine various development goals and gaps. The development plan depends on these taps. The personal growth plan direcly encourages the perio to engage in self development plan oases his accomplishment nd wil provide work-related programme. TdSees (Hansa Ree Maagemt) AUC ‘Training and Executive Develupatent (Unit 3) Moa Se See a son and cause wastage of ti hey gin lal, Tht a an i ria point cont deen of «an be inponed though the Johar window. 3p that ner tarsi ich dsl. Tele une Ae eine eyo cole. ope ans tl frees, seminars and welaop ae ao heist ned prion and i ther persons ubo ae contibts to baling felng of ssfaction when wor in bration nd with sappn fees. In he peat dymuic worl, the Keowledge of a individual moe easton now aprecite te sgifieace of enplyers’ itv avatge an el'developmen is the best method fo achieving A capa of stig developsat gals fer hmsllThe lope same, itis que od so. Unite conventions titing one does information and he way they pei at wih the (quadrant can emerge » te uli that promate negative bea es, oul be ecg Wh te lp of ew sal © ope Neha Ae te ea teed i expose, be manger my, of : ele byte sili bis eave Fal, i ifomaton ghee by sever bases process i pit ia srg at 2 incre atin raises goa conn tse eile by aber bsess press is kown should maarenee Suh inerang fi involes bases le, css ae Bsns nepal shy, toured sugges conan insets oie a dere hen it come 2 bseratins, research suds, e. Ths, know onibted by lems, ea for sharing wi secret management isthe acquisition of valle infraon ‘assem n impo gl fr managing ti ies process an deprtens, as Masato time Sone ofthe ators harating eg when teaches the a storage of he According to Horwitch and Armacst, “KM is the ceaton, extraction, wanformation m8 28 ‘rect knowledge ad information nore 1 design beter policy, modify action, and deli According to Nancy C. Sha the systematic proces of eeating, maining end nara a8 “rgansatin to make the bes ase of knowledge to eae busines value ad generate competi 3.6.2. Features of Knowledge Management) son slong with expertise, experince of indvidoals, and wedge manageme 44) Work teams and expen need to work ogethe under knowledge management. 5) Social interaction als leads to knowledge creation. isthe main pillar of organisational effectiveness 3.6.3. "Elements of Knowledge Management ‘Te vee basi elements of knowledge management a: aes and problems in te organisation. This is the tid element of knowlege mana owledge wblisation. Usage and sharing of knowledge lads to is grows, unlike other resources which ‘et depleted after usage. 3.6.4. Importance of Knowledge Management ore _ ee: ss sce 8 a ng sn ‘eatlier faced by previous associates. ‘Preventing the challenges which were ee Sopot infmation record ine dase Ung ance SES pod Canine cossan a cpu of eins nue the intended growih- sisation or individ’ accumulated information fses inva inimiss the time and cous inveved nieces Oy providing ved inreearch of experts canbe used for future pr ed nai) ‘What do you understand by the em el developmeat? Dine sive devon Sut be een ling he deo Elaborate the n S i ~ Deseibe the steps Esplin varios guidespe are Magee AUC supa sot Sense amen Recre MaNe Sustaining Employce Interest Sustaining Employ 4.1.1. Meaning and comre ‘termining febonnel A tpi! compensation ef an enployee comes | compe ‘According to Gary “Compensation means al frms of payor ewads ging employes and aising . from their employment” } 9 plan, then the employees wil st id mor one-phase mplyess eal inal conden, ——- “According to Terry Leap, “Compensation sa toad term pertsning to fnancial rewards reetived by Persons Chrough their employment reatonsip with an organisation” provide to employees in return for Metin and motivate employees”. 41.2. Characteri 2) Timeliness: Compe taken for payment of compensation ay produce detriment 3) Perfo ld be based on the performance ofthe employee. It mk ‘De employee and sens the ight mestge to her meters of th organisation. ‘oe heir wages ae 0 ‘eteminat of compensation, 4) Durability: Some tyes of eompensations are more valuable and ha For example, non-monetary compensation such as autonomy, challenging ss, accounta Tasting effect ax compared to monary compensation ‘lon an oui na deep the masket where they are working i. I the frm in the market and will be goo. But if ing paid by the other organisations. Pay ates ato which eons to sme Lind of nds. shouldbe kept in mind beast compensation requires fod inacosteffetve way }ee a ™ yualified and » ect i ete ing tas techs tepea 2 crantgennereceeremmter iter | Satara ther eshte edt en crates lar soy mao zo Khe sould te pido 1a high postion which requires igh a ih lower 7) Allowances: Allowances canbe defined ‘On the other hand, a person with lowe ay be ited, predetermined or it may be able, and Tully tata en below lowanc is tat allowance which is Yan employer in monetary services given by te allowances ven 1 the vey canoe employes temps ellen eco, Nay an eee i) Howe Rent Allowance employes by hs enployer rh scam open 18) Convesance Allows allowance which sien employes to compen he expen ther efforts and to ensure that tbe employees Incurred onthe conveyance to perform ther dts, i ™ ime. Compensation plan completes the entire Travel Allowance (LTA): This allowance Mand revisng the salaries, wages and ies. The amount of allowance depends on the ») Fixed Medial Atlowance: This allowan dle ofthe actual amount of expend ven othe employees who liv in big ete. The ing in nes given to employees by the employer in onder to help 10 employees by the employer so that fe monetary benefits pail to woekmen in recognition of ter 2 "able rewards ganed Wo variations In the the money benefits which arp fo worker evar of ate abo kon a8 payments by ress. Incentive systems ae wae fat nk A ed gly cen ao motte the ative. H promotes Sense of loyally among those employen es can be monetary and non-monetary in nature. = According to Burrack and 00d performance. An incentive ‘ommonetary rewards or prizes scheme i 2 plan or prograrmes 19 metivate individual for os frequently bil on monetary rewards, bt maya include a vaety of According to Kem ‘ways. An incentive se incentive system and Thiagarajan, "An incentive is someting that influences people to actin certain em is collection of incentives and a set of procedures for using tem, Orgassareny ‘motivate Uc employe 4.2.2. Types of Incentive Schemes ‘The two diferent categories ‘Monetary Incentives: Monetary the working hours fr an employee are 42 hours in # sin areas under, 6) Overtime Pay: It isthe amount of compensation that an employee receives if he works for extra hou ives are tose Incentives which are pad nthe form of money o¢ beyond his normal working houts. For example,of incentives which are not paid inthe form 22) Non-Monetary Incentives: Non-mionetary incentive ate hose to the employee. Although non-monetary in ithe employees to work hank to achier he ivan plans. Teas sm 1 iene sear in acl svads employe on te | comin facet | pes of plans which come jyes to save time 28d the completion of 2 ‘provides the bonus of the time being saved, by comparing the "me actualy taken forthe ‘ompledon of tak’ snd time alloted for that ask cna seventy per cen Standard sare SO per ent snd he el oyer pa goes othe elo + aman Rescuse Moagenet) AUC ‘Suining Employee ner (U4) ii) Rowan Premium Plan: iv) Bedaux Plan: Under this arangement, each work ii) Gant bee ETT ne an rem Se a dd SB in be saved by him. This type of scheme provides addtional ban employees nt and the TimeTaten Bonus=TimeSavede——_TimeTilen_ SS Sodan Tineor Tine Aiowei OM Rae not ve any assurance abut the payment spr tne be of hours actully takes ving ity the worker's hourly ne standard minutes, which are caled "Bede Points” tine and motion study. Therefore, one hour inched 6 ‘ate per hour is also ealeulted. The work Points earned in exces of 6 per host maliped hourly rte. I the worker is notable to achieve his specie ges he For example, for every one percent se 240 times {ie in income 8 compared to one perceive in income under the staigh peserag tee wae Tuas have been reached, higher rates star applying. Same lope is appiaie oe gh andar hour sytem, mr System: Under this scheme, the rat er cen escalation inthe ime rae er increase in Outpt above the standard cer unit of time i higher. For example, ings of an employee for everyone per cent 1880, FW. Tay -m. Under this system, two piece ries ae fixed. Lan i achieve the requized standard. High piece ate system either required standan ot more than required standard, Use decided asa percentage of 2) Time allowed forthe job and time tken to complete the job, 1) Actual output the standard utp or introduced diferent igcerate ‘te sytem i ued for those who are plied on those who ave schcved the efficiency of an employer i 3 the piece rate below the standard snd 120% above the “Merrick’s Multiple Plce-Rate System: Merck's muliple pece-ate system i a system, which was oped 10 overcome the shoncomings of the Taylor's Differential Piece Rate Syriem, ka Meicks lan, thee pecs rates are fied forthe ob ll the rates are fite at sbove the nommal evel. They es ‘an be represented as flows snd Bonus Plan: Iwas given by HL. Its te only plan in which percentage of iplied by the vale of standard tine. time rates are guaranteed inthis plan, Job the bonpoxseunoon vn es 10 Wok ih al ay em wottatt Be tr makes the Workplace Sen Ti Si taveeurein cee | scree work anda he ue tine as sve | sy misop. energie atitade aMONE te Worker, 4, 3) Boosts Employee Morale: Incentives also infuses 2eal and enetEe | 2) Prompts Safety at Workplace: lncent hereby avoiding any isk ol work makes employees cc Increae Emplye Comment Th nie eh A ces asa sm in any exaion apretedend aed — ‘aol ons and ve rewards 0 ter emploney ne a ee epyee 0 mieve te se objectives of) te tl conten | ©) Decreases the Total Expenses of Organisation: The iceie system ss © rede the ol ox of ‘ortanitation, by motivating the employees o increase te elie and to rece labour. | Ie quite evident at people W Ferman in the job for longer timespan, if heir bard work i ale and appes pproach also reduces te labour tumove ao, itl. et Creates Team Spirit: Incentive system promotes beter efficiency and production, reduces stesful work ‘environment and facilitates in building eam spit among employees. 4.2.4. Disadvantages of Incentives | incrvs are dnvanageoes beso Leads to Increased Expenses: The quality ofthe product or service cannot be assured in the absence of fit and vigilant supervision. The proces of sit monitoring ad sipervison creases the expenses ot | the organisation, Danger of Aces Santini oo ea te env enlyss go yond te | ghee en i Fs See on x mar cgeis on eb, epi | col mining inusies. | Jeslousy amoog, Workers: The woress who perform well are being reward | in comparison to those who are not able perform well Tis creates a feeling of | workers whose performances low. 3). Leads to Higher Labour Costs Incentive systems us ‘when they ar being paid by the results pope maki 4) Creates Feet exceptionally wel Jealousy among ate fecing of fear inthe worker, in ease any technologie uperadation is implemented inthe organisation. : For example, introduction of new machine develops a fecing of fear among the workers that whether 6 they wil beable to produce high output as road fer ping incentives wil mentee ak aot machines Cre Po) me eats trotue, keeping in ture Financial resources of an organisation. According oI. Keser, “Compensation management refs o payment systems which deme employee ‘wages or slay, direct and indice rewards” According to Tapomey Deb, “Compensation managers sem of compensating individual forthe ‘work they perform in such a way that te organisation fs act, esi, and roivate them wo perform purpose of compensation managemes tract the workfore from the compe Sometimes premium wager arc required to te fers demand and supply of labour inthe market, 2) To Motivate Employees: Compensation mans agement motivates employees work hard in onder to improve their productivity a wel a that of the onantation eanisstons, 4, Finally, a payment system should be as per the eat should establish 3 suitable relationship betmcen ot necessary that, i employees are given high wages they will tency: Compensation management sims at maining bo internal and extemal equity employes. Internal equty ean be achieved by id employees’ performance on the job whereas ea 8 job similar tall ergarisatons. Compensation ‘ispanty pemsining to compensation of aspeifie wok a8 relted Wo ther erganinons 4.33. Process of Compensation Management Compe ——— ——— z ‘Wap at Sag Saney = ros z