Introduction of HRM Human resources may be defined as the total knowledge, skills, creative abilities, talents and aptitudes

of an organization's workforce, as well as the values, attitudes, approaches and beliefs of the individuals involved in the affairs of the organization. It is the sum total or aggregate of inherent abilities, acquired knowledge and skills represented by the talents and aptitudes of the persons employed in the organization. The human resources are multidimensional in nature. From the national point of view, human resources may be defined as the knowledge, skills, creative abilities, talents and aptitudes obtained in the population; whereas from the viewpoint of the individual enterprise, they represent the total of the inherent abilities, acquired knowledge and skills as exemplified in the talents and aptitudes of its employees. Human Resource Management: Defined Human Resource Management has come to be recognized as an inherent part of management, which is concerned with the human resources of an organization. Its objective is the maintenance of better human relations in the organization by the development, application and evaluation of policies, procedures and programmes relating to human resources to optimize their contribution towards the realization of organizational objectives. In other words, HRM is concerned with getting better results with the collaboration of people. It is an integral but distinctive part of management, concerned with people at work and their relationships within the enterprise. HRM helps in attaining maximum individual development, desirable working relationship between employees and employers, employees and employees, and effective modeling of human resources as contrasted with physical resources. It is the recruitment, selection, development, utilization, compensation and motivation of human resources by the organization. Human Resource Management: Evolution The early part of the century saw a concern for improved efficiency through careful design of work. During the middle part of the century emphasis shifted to the employee's productivity. Recent decades have focused on increased concern for the quality of working life, total quality management and worker's participation in management. These three phases may be termed as welfare, development and empowerment. Human Resource Management: Nature Human Resource Management is a process of bringing people and organizations together so that the goals of each are met. The various features of HRM include: ‡ It is pervasive in nature as it is present in all enterprises. ‡Its focus is on results rather than on rules. ‡ It tries to help employees develop their potential fully. ‡ It encourages employees to give their best to the organization. ‡ It is all about people at work, both as individuals and groups. ‡ It tries to put people on assigned jobs in order to produce good results. ‡ It helps an organization meet its goals in the future by providing for competent and well-motivated employees. ‡ It tries to build and maintain cordial relations between people working at various levels in the organization. ‡ It is a multidisciplinary activity, utilizing knowledge and inputs drawn from psychology, economics, etc.

Human Resource Management: Scope The scope of HRM is very wide: 1. Personnel aspect-This is concerned with manpower planning, recruitment, selection, placement, transfer, promotion, training and development, layoff and retrenchment, remuneration, incentives, productivity etc. 2. Welfare aspect-It deals with working conditions and amenities such as canteens, creches, rest and lunch rooms, housing, transport, medical assistance, education, health and safety, recreation facilities, etc. 3. Industrial relations aspect-This covers union-management relations, joint consultation, collective bargaining, grievance and disciplinary procedures, settlement of disputes, etc. Human Resource Management: Beliefs The Human Resource Management philosophy is based on the following beliefs: ‡ Human resource is the most important asset in the organization and can be developed and increased to an unlimited extent. ‡ A healthy climate with values of openness, enthusiasm, trust, mutuality and collaboration is essential for developing human resource. ‡ HRM can be planned and monitored in ways that are beneficial both to the individuals and the organization. ‡ Employees feel committed to their work and the organization, if the organization perpetuates a feeling of belongingness. ‡ Employees feel highly motivated if the organization provides for satisfaction of their basic and higher level needs. ‡ Employee commitment is increased with the opportunity to dis¬cover and use one's capabilities and potential in one's work. ‡ It is every manager's responsibility to ensure the development and utilisation of the capabilities of subordinates. Human Resource Management: Objectives ‡ To help the organization reach its goals. ‡ To ensure effective utilization and maximum development of human resources. ‡ To ensure respect for human beings. To identify and satisfy the needs of individuals. ‡ To ensure reconciliation of individual goals with those of the organization. ‡ To achieve and maintain high morale among employees. ‡ To provide the organization with well-trained and well-motivated employees. ‡ To increase to the fullest the employee's job satisfaction and self-actualization. ‡ To develop and maintain a quality of work life. ‡ To be ethically and socially responsive to the needs of society. ‡ To develop overall personality of each employee in its multidimensional aspect. ‡ To enhance employee's capabilities to perform the present job. ‡ To equip the employees with precision and clarity in trans¬action of business. ‡ To inculcate the sense of team spirit, team work and inter-team collaboration. Human Resource Management: Functions In order to achieve the above objectives, Human Resource Management undertakes the following activities: 1. Human resource or manpower planning.

2. Recruitment, selection and placement of personnel. 3. Training and development of employees. 4. Appraisal of performance of employees. 5. Taking corrective steps such as transfer from one job to another. 6. Remuneration of employees. 7. Social security and welfare of employees. 8. Setting general and specific management policy for organizational relationship. 9. Collective bargaining, contract negotiation and grievance handling. 10. Staffing the organization. 11. Aiding in the self-development of employees at all levels. 12. Developing and maintaining motivation for workers by providing incentives. 13. Reviewing and auditing man¬power management in the organization 14. Potential Appraisal. Feedback Counseling. 15. Role Analysis for job occupants. 16. Job Rotation. 17. Quality Circle, Organization development and Quality of Working Life. Human Resource Management: Major Influencing Factors In the 21st century HRM will be influenced by following factors, which will work as various issues affecting its strategy: ‡ Size of the workforce. ‡ Rising employees' expectations ‡ Drastic changes in the technology as well as Life-style changes. ‡ Composition of workforce. New skills required. ‡ Environmental challenges. ‡ Lean and mean organizations. ‡ Impact of new economic policy. Political ideology of the Govern¬ment. ‡ Downsizing and rightsizing of the organizations. ‡ Culture prevailing in the organization etc. Human Resource Management: Futuristic Vision On the basis of the various issues and challenges the following suggestions will be of much help to the philosophy of HRM with regard to its futuristic vision: 1. There should be a properly defined recruitment policy in the organization that should give its focus on professional aspect and merit based selection. 2. In every decision-making process there should be given proper weightage to the aspect that employees are involved wherever possible. It will ultimately lead to sense of team spirit, team-work and inter-team collaboration. 3. Opportunity and comprehensive framework should be provided for full expression of employees' talents and manifest potentialities. 4. Networking skills of the organizations should be developed internally and externally as well as horizontally and vertically. 5. For performance appraisal of the employee¶s emphasis should be given to 360 degree feedback which is based on the review by superiors, peers, subordinates as well as self-review. 6. 360 degree feedback will further lead to increased focus on customer services, creating of highly involved

It also makes employees identify with the firm and instils a sense of loyalty.workforce.Equities . Head and Hand i.. It will also contribute towards good staff retention rates.e. To conclude Human Resource Management should be linked with strategic goals and objectives in order to improve business performance and develop organizational cultures that foster innovation and flexibility. The career of the employees should be planned in such a way that individualizing process and socializing process come together for fusion process and career planning should constitute the part of human resource planning.End of Year Bonuses .Provision of Flexible Working Hours . Improvement of Compensation Packages One of the major functions of the HR department is to motivate employees. 10. There should be focus on job rotation so that vision and knowledge of the employees are broadened as well as potentialities of the employees are increased for future job prospects. If this function is performed well. More emphasis should be given to Total Quality Management. These compensation packages can come in the following ways. it will ensure effective utilization of resources and will lead towards continuous improvement in all spheres and activities of the organization.Awards . This role falls under the Staffing role of management. then it will ensure that employees are satisfied with the Company.Straight forward Promotion Schemes and Career Developments If the HR department includes these incentives. For proper utilization of manpower in the organization the concept of six sigma of improving productivity should be intermingled in the HRM strategy. (Handy. decreased hierarchies. 1999) . Positive aspects of Roles and Functions of the Human Resource Department Recruitment of Employees This is one of the most fundamental roles of the HR department. This is especially crucial in increasing stability within the organisation. economic and social considerations should also be taken into account.Salary Increments . This is because this function ensures that the Company under consideration selects the most skilful and competent person from a sea of applicants at that time. Research has shown that rewarding employees for good performance is the number one incentive for keeping up this trend. The HR department needs to evaluate performance of employees and those who have exceeded expectations should be compensated for their actions. . then the organisation will increase value consequently being on the right pathway to achieve its organisational and departmental goals and objectives. it will conform to customer's needs and expectations. The capacities of the employees should be assessed through potential appraisal for performing new roles and responsibilities. 7. TQM will cover all employees at all levels. This function involves evaluation of ability and competency of potential employees in relation to what the Company needs. It should not be confined to organizational aspects only but the environmental changes of political. we should feel by Heart.Holiday Offers . All the above futuristic visions coupled with strategic goals and objectives should be based on 3 H's of Heart. This can be done through rewards especially for those who have done well. avoiding discrimination and biases and identifying performance threshold. 11. 8. 9. think by Head and implement by Hand.

The Department is also responsible for setting day to day objectives necessary for streamlining activities within the organisation and thus ensuring that work is not just done haphazardly. the Company was involved in two accounting scandals that tarnished its name and subsequently caused failure. This was because the company has experienced a lot of losses under his leadership. This goes to show that sometimes policies made by the HR department do not benefit the Company especially if the parties involved are considered as losses to the Company. It was initially very successful in its operations prior to that fateful year. However. This was an American Company that dealt with audits. In the year 2004. Negative Aspects of Functions and Roles of the Human Resource Department There are a number of problems that arise as the department goes about its activities Problems in Recruitment The department may sometimes be unable to adequately coordinate and incorporate all the employees needed in the Company¶s operations. One such example is the NHS. The HR department is also bestowed with the responsibility of planning future organisational goal in relation to people or clarifying these same goals to staff members. One important aspect of this is planning for employees in the organisation. This function of the department ensures that people in the organisation have a general direction which they are working towards. It is important that the organisation ensures that all the employees under its wing are just enough to increase value to the organisation. This Company has an employee Compensation policy that requires that one should be rewarded for the time they have served the Company. Organisations that have a clear direction are always more effective. those members of staff will be more result oriented rather than just working for the sake of it. it could have used these foreign nurses as temporary measure and put in place a strategy to train local nurses such that it could stop depending on those poor countries for supply of nurses. he left with a lot of money. the organisation was found to be wanting in its human resource department¶s functions. It was reported that he had with him about two hundred and ten million dollars. The Home Depot Company offers an end of year bonus. there will be poor motivation resulting from fatigue. But in the latter years of its operations. then the organisation stands too lose. because the Human Resource Department had put in place a policy that requires all members of staff to be given the incentive mentioned above. It must plan adequately to ensure that staff members are not too few either. 40% from Asian and African countries. The Company had no way out of this payment because HR had already passed that policy and they were bound by the law. Problems in Remuneration In the process of trying to motivate members of staff to perform better. This means that the organisation was draining medical personnel from those needy countries and using them for themselves. its shares fell by eight percent in the stock exchange and he deserved to leave the Company. The Company failed to plan well for the kind of employees it recruited. the Human Resource may make deals that eventually cause problems. Consequently. The Company was recruiting a large proportion of its employees. The Department must ensure that staff members are not too many because if they exceed this amount. This was witnessed when one of its employees in the Legal Department called Nancy Temple was fined in the Court of law for non adherence to . otherwise they will be overworking those who are already in place. Such a practice showed that the HR department had exercised bad judgement in its staffing function. basic salary and grant on stock shares as an incentive for some of its employees The CEO of the Company Robert Nardelli lost his job in the year 2007. Instead. Problems in Planning Sometimes the HR Department can employ people who may not contribute towards organisational principles. A classic example is the Arthur Andersen Company that fell apart in the year 2002. A case in point is the Home Depot.Planning in the Organisation The Human Resource Department is placed with the responsibility of ensuring that it plans adequately for all the organisation¶s future engagements that will involve people.

This should be made clear so that all can see the advantages at the individual level and not simply at the organizational level. The proper use of this resource could maximise production and achievement of organisational goals. It is important for an Organisation to keep up with industry trends otherwise it faces the danger of becoming obsolete. legal changes and changes in service delivery. who needs the training. . especially in the background of increasing competition. In so doing. then they would have realised that the employee did not adhere to Company principles and would therefore have terminated her employment. Beside this. It could improve this area by facilitating better use of time in all departments within the organisation. Improving Organisational Culture The Human Resource Department can try to improve organisational culture through a three step procedure. Here. Strategies to Improve Human Resource Department¶s Value to the Organisation Training and Internships It is not necessarily a guarantee that a candidate who did well in the recruitment exercise is the best in performing an organisation¶s functions. Making Better Use of Time The Human Resource is conferred with the responsibility of ensuring that all members of staff perform to their best ability. This problem could have been prevented if the HR department had evaluated this employee before hiring her and also evaluation should have been done during her performance. This is the purpose of placing them on internships. New employees need orientation into the Company¶s functions and can also improve some inefficiency that these new employees may have in relation to their skills. This is normally characterised by attendance of workshops and other forms of talks. This is especially so in the wake of technological advancements. The Department can do this by planning activities to be carried out in the organisation. Time is one of the most crucial yet intangible assets of the Company. The Company offers training for twelve moths. This would have made them very clear in the minds of employees and would have prevented the downfall of the Company. human the Human Resource Department will be ensuring that employees do not simply report to work and that the time spent at work is directly proportional to output. All the above tasks are placed under the Department of Human Resource because it is the one that will asses when training is needed. HR should try to explain to all staff members or stakeholder the advantage of transforming the culture in the organisation. In this stage. Training is also essential for members of staff who have been working for the organisation for a long time. HR should also be very intense on the organisational needs. The department should have ensured that they constantly communicate to members of staff about the goals and objectives of the Company on a day to day basis. where and by whom.accounting laws. In this step HR finds out what makes ups or what the company¶s culture is like. This aspect is a sure to improve value of the HR Department in the organisation. This is especially in regard to maintenance of the schedules. It can make schedules for the various activities that have to be done in the organisation and thus facilitate better flow of information. In addition to this. Training need not be restricted to improvement of skills. the Arthur Andersen Human Resource department also failed in its communication function to employees. An example of a company that adheres to this principle is Marks and Spencer retail chain outlet. it can also involve improvement of attitudes. HR should realise that personal fulfilment works better and therefore should try to ensure that the change is relevant to every staff member. the Company can also ensure that all members of staff are held accountable for not performing a certain task. Here new employees are taught all that is necessary to meet organisational goals and objectives then they can start work when they are ready to do so. If HR had been extremely critical. The first step of the process is observation. Training also increases motivation of employees and gives them that extra boost of energy needed to get them through tough times in their jobs.

it has to bear the burden of blame if an employee performs poorly like the Arthur Andersen Company. This are what are called µcries of despair¶ and HR should try its best to explain to staff members the need of changing the culture of the organisation. However. There should be calibration of data collected. This stage involves checking out the success features or the factors that can facilitate its success. The next step is the analysis of various aspects. In this step. Here. there is collection of data needed in making certain that culture changes. there should be reality checks which should be done often. Improvements to their role can be done by arranging training for staff members. Whether data gathered will be helpful or not and if it is too little or too much. It is possible that some may claim that they tried one or two strategies before and it did not succeed. Besides this. All these functions contribute towards organisational effectiveness. Conclusion The Human Resource Management team¶s main function is to manage people. they are also responsible for organising incentives or compensation packages to motivate employees. organising activities for the organisation and changing organisational culture. a deadline for execution and also the realised gains in relation to the change in culture. Staff members should be requested for data that will help change the culture. there are some negative aspects of HR. the HR department enriches the organisation through recruitment procedures and an example an effective HR team in this area is Tesco Ireland.Then HR should try to eliminate all inhibitions in staff member¶s minds. Through this scheme HR Department should be able to change the culture in the organisation and add value to it. There should also be continuous integration. . first of all. HR department also ensures that members of staff follow a general direction by frequently clarifying and reminding them of the organisation¶s goals. some policies made by the department may be detrimental to the Company like in the Home Depot Company¶s case. The analysis should involve assessing whether the information is sensible or not. There are positive and negative aspects of this function. Besides this. Staff members should be made to understand that there are no perfect situations for implementation of changes. Of course when trying to bring in change HR Department should have perceived benefits.

(vi) To search for talents globally and not just within the company. Recruitment is the process of identifying the sources for prospective candidates and to stimulate them to apply for the job. death and labour turnover. (v) To search or head hunt/head pouch people whose skills fit the company¶s values. PURPOSE OF RECRUITMENT Recruitment has three major purposes: 1) to increase the pool of job applicants with minimum cost. permanent disability. ³Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the organization. a pool of eligible and interested candidates is created for the selection of most suitable candidate. In addition. . transfers. to employ effective measures for attracting potential manpower in adequate number´.RECRUITMENT Recruitment means to estimate the available vacancies and to make suitable arrangements for their selection and appointment. employment exchange. OBJECTIVES OF RECRUITMENT The objectives of recruitment are as follows: (i) To attract people with multi-dimensional skills and experiences that suit the present and future organizational strategies. Recruitment is a process ³To discover the source of manpower to meet the requirements of staffing. termination. For these different sources of recruitment such as newspaper advertisement. It locates the source of manpower to meet the requirements and job specifications. (iv) To develop an organizational culture that attracts competent people to the company. DEFINITION OF RECREUITMENT According to Edwin Flippo. (b) Creation of new vacancies due to growth. are used. In recruitment. 2) To meet the organization¶s legal and social obligations regarding the demographic composition of its workforce. retirement. It¶s linking activity bringing together those with jobs and those seeking jobs. etc. In recruitment process available vacancies are given wide publicity and suitable candidates are encouraged to submit application so as to have a pool of eligible candidates for scientific selection. 3) To help increase the success rte of the selection process by reducing the percentage of applicants who are either poorly qualified or have the wrong skills. In the recruitment. expansion and diversification of business activities of an enterprise. internal promotions. (iii) To infuse fresh blood at all levels of the organization. Recruitment is a positive function in which publicity is given to the jobs available in the organization and interested candidates (qualified job applicants) are encouraged to submit applications for the purpose of selection. new vacancies are possible due to job respecification. Recruitment refers to ³Discovering potential applicants for actual or anticipated organizational vacancies. information is collected from interested candidates. Recruitment represents the first contact that a company makes with potential employees. NEED FOR RECRUITMENT The need for recruitment may be due to the following reasons/situations: (a) Vacancies due to promotions. (ii) To induct outsider with a new perspective to lead the company.

E. Though costly. Whenever any vacancy arises. management may not find suitable candidate in place of the one who had retired. transfer from head office to branch office.Individuals who left for some other job. 2) Transfers: . it provides wide choice as it attracts a large number of suitable candidates from all over the country. It is an excellent source of recruiting . External recruitment is one way of bringing into the organization that has new skills or abilities and different way of approaching job task. 1) Promotions: . A message containing general information about the job and the organization is placed in various newspapers. Newspaper advertising typically generates a large applicant flow. Various positions in the organization are usually filled up by promotions of existing employees on the basis of merit or seniority or a combination of both. management follows the policy of internal promotions. This may be with a view to introducing the µnew blood¶ in the organization. Private sector is able to attract many aspirants.At times. which can be solved only by a manager who has proceeded on long leave. EXTERNAL SOURCES As the term implies the external source of recruitment is of potential workers who are not currently member of the organization.College Campuses are another very popular recruitment source.When management faces a problem. facilities. might be willing to come back for higher wages incentives. A transfer may be either temporary or permanent. An advantage with these sources is that the performance of the person/employee is already known. depending the necessity of filling jobs. 2) Campus Recruitment: . Promotion means shifting of an employee to a higher position carrying higher responsibilities. After the problem is solved.SOURCES OF RECRUITMENT The sources of recruitment may be grouped into: Internal sources External sources INTERNAL SOURCES: As the term implies internal source of recruitment is for those who are currently members or the organization. status and salaries. The best example for newspaper advertisement is the Times of India¶s Asscent supplement which comes on every Wednesday and contains both domestic as well as international jobs. 4) Recalls: . The growth of Management institutes. It usually includes new entrants to the labour force the unemployed and people employed in the other organization seeking the change. Under this circumstances management may decide to call retired manager with new extension. it may be decided to recall that person. 3) Retirements: .Transfer refers to a change in job assignment. 5) Former employees: . Following are the most common external source of managerial recruitment. It may involve a promotion or demotion. somebody from within the organization may be looked into. or no change in terms of responsibility or status. following are the internal sources of recruitment. Company managements have to use eternal sources for the recruitment of supervisory staff and managers as and when necessary. his leave may be extended. 1) Newspaper Advertisement:-Newspaper advertisements are overwhelmingly popular source of recruitment. after meritorious service.g. IIts and Regional Engineering Colleges has provided a popular source of recruitment.In order to motivate the existing employees.

6) Walk-ins. 6) Promotions by seniority may not be always beneficial to the organization. Talk-ins is now becoming popular and the applicants are required to meet the employer for detailed talks. More and more organizations are placing information about open positions on the World Wide web. Hiring managers can meet multiple candidates and conduct on-the-spot interviews.The Internet has quickly become a very popular source of employment advertising. 7) Internal recruitment is a quick and more reliable method. A large and fast growing proportion of employers use the internet as a recruitment tool.The most economical approach for recruitment of candidates is direct applications. 2) It prevents the entry of young blood in the organization.Job fairs are very effective. they charge a fee. which the agency then passes along to its clients. 5) It may encourage favoritism and nepotism. it is imperative to respond quickly with invitations for in-plant interviews of qualified candidates. If a job fair results in just one hire it is usually cost effective.naukri. Clients may be either employed or unemployed.com. etc. The "job fair" company will typically advertise in local media to attract qualified applicants. 4) Job Fairs: . The applicant is not required to submit any applications. www. day and timing during which the applicant can µwalk in¶ for an interview. Fees may be charged to either or both the client seeking a job and the company seeking applicants. 3) It tends to encourage existing employees to put in greater efforts and to acquire additional qualification. 5) Internal recruitment helps to raise the morale of employees and develop cordial relations at the managerial levels. 6) It reduces labour turnover as capable employees get promotion within the organizations.The firm contacts an organization whose main purpose is locate job seekers. Most employment advertisement firms can also post the jobs on the Internet. however. 3) Promotion to certain key post may not be possible due to non-availability of competent persons. Some of the examples are www. The job seekers submit applications or resumes directly to the employer. The advertisement mentions date. 4) The organization will not be able to attract capable persons from outside if internal sources are used extensively.management trainees. This means there is motivation to employee to develop and reach to higher positions. 5) Employment Agencies: . A job fair is an event sponsored by a "job fair" company who charges a fee to participating employers. ADVANTAGES OF INTERNAL RECRUITMENT 1) Internal recruitment is economical. DISADVANTAGES OF INTERNAL RECURITMENT 1) Internal promotions create a feeling of discontent among those who are not promoted. 2) The present employees already know the company well and are likely to develop a loyalty for the same. The promising students get job security immediately after securing degrees due to such campus interviews/recruitment.monster. 3) Recruitment through internet: . Because the applicants may be interviewing with multiple employers. Write-ins are those who send written inquiries. There are many web sites through which recruitment takes place. .com. Agencies can either be public or private. 8) People recruited from within the organization do not need induction or training. Write-ins and Talk ins:. These applicants a raked to complete application forms for further processing. Currently employers can post their openings to any of several newsgroups for free. This source is quickly growing in popularity. The company provides the agency with information about the job. 4) It provides security and continuity of employment.

In brief. DISADVANTAGES OF EXTERNAL SOURCE OF RECRUITMENT 1) External recruitment leads to labour turnover particularly of skilled. Their loyalty to the organization may be adversely affected. experienced and ambitious employees. 3) Selection can be made in an impartial manner as large number of qualified and interested candidates are available. 2) The relations between employer and employee deteriorate leading to industrial disputes and strikes. 4) Employees feel frustrated due to external recruitment and their morale is adversely affected. ADVANTAGES OF EXTERNAL SOURCE OF RECRUITMENT 1) Entry of young blood in the organization is possible. internal methods of recruitment should be used to extent possible but too much dependence on internal methods is undesirable and may prove costly to the organization in the long run. 2) Wide scope is available for selection. 5) The management can fulfill reservation requirements in favour of the disadvantaged section of he society. This facilitates selection of people with rich and varied experience. 4) Scope for heartburn and jealousy can be avoided by recruiting from outside. . 3) The present employees may lose their sense of security.

the development of job analyses. ³Selection is the process in which candidates for employment are divided into two classes ± those who are to be offered employment and those who are not´. Thus. . The objective of the selection decision is to chose the individual who can most successfully perform the job from the pool of qualified candidates. Further. Selection is the process of collecting and evaluating information about an individual in order to extend an offer of employment. human resource planning and recruitment are necessary prerequisites to the selection process. The selection procedures are the system of functions and devices adopted in a given company to ascertain whether the candidate¶s specification is matched with the job specification and requirements or not. Selection of skilled personnel reduces the labour cost and increases the production. It is the process of logically choosing individuals who posses the necessary skills. absenteeism and monotony shall not be experienced in their severity in the organization. thus reducing the time and cost of training considerably. have been clearly specified (job analysis. 3) Absence of Personnel Problems: . IMPORTANCE OF SELECTION The importance of selection may be judged from the following facts:1) Procurement of Qualified and Skilled Workers: . Skilled workers help the management to expand the business and to earn more profits and in turn management compensates. the organization can develop different training programmes for different persons on the basis of their individual differences.MEANING AND DEFINITION OF SELECTION Selection is one of the most important of all functions in the management of personnel. Selection is next to recruitment. benefits etc. leaving the best to be selected.Proper selection of candidates reduces the cost of training because qualified personnel have better grasping power. ³Right man at the right job´ is the basic principle in selection. Many problems like labour turnover.Proper selection of personnel reduces personnel problems in the organization. It is in the interest of the organization in order to maintain the supremacy over the other competitive firms. The selection procedures cannot be effective until and unless: 1) Requirements of the job to be filled. selection is the process of choosing a person suitable for the job out of several persons. the management has to perform the function of selecting the right employees at the right time. Selection is more closely related to recruitment because both are concerned with processing individuals to place them in a job. abilities and personality to successfully fill specific jobs in the organization. searching for prospective employees and stimulating them to apply for jobs in an organization. mental.Scientific selection facilitates the procurement of well qualified and skilled workers in the organization. etc) 2) Employee specifications (physical. the workers with high wages. The breakdown in any of these processes can make even the best selection system ineffective. 3) Candidates for screening have been attracted. They can understand the technique of work better and in less time. Selection of skilled personnel also facilitates the expansion in the size of the business. and behavioral. Thus selection process is negative function because it attempt to eliminate applicants. In short. Selection means a process by which the qualified personnel can be choosen from the applicants who have offered their services to the organization for employment. 2) Reduce Cost of Training and Development:. social. After identifying the sources of human resources. etc) have been clearly specified. Labour relation will be better because workers will be fully satisfied by the work. In the words of Dale Yodev.

reasoning. facts may come to light which are useful for comparison with the job requirement and employee specifications. aptitude and the like for judging whether a given applicant is or is not suitable for the job. word fluency etc. 4) Screening Application Form: .SELECTION PROCEDURE Selection procedure employs several methods of collecting information about the candidate¶s qualification. After the close date of the recruitment. salary. This interview usually of short duration and is aimed at obtaining certain basic information with a view to identifying the obvious misfits or unqualified. Applications will not be accepted after the close date. aptitude test measures individuals capacity or talent ability to learn a job if he is given adequate training. The applicants who have not furnished the required information may also be rejected. to measure the candidates aptitude. Therefore. Thus preliminary interview is useful as a process of eliminating the undesirable and unsuitable candidate. the Job Expert for the hiring department and Human Resources will screen the application forms for minimum education and qualification requirements.Application Form is also known as application blank. 3) Preliminary Interview: . physical and mental ability.Job analysis is the basis for selecting the right candidate. knowledge in various disciplines. nature and behaviour. job description. Every organization should finalize the job analysis. verbal comprehension. vocabulary.The organization have to conduct written examination for the qualified candidates after they are screened on the basis of the application blanks so as to measure the candidate¶s ability in arithmetical calculations. Work experiences. At each step. the selection procedure is not a single act but is essentially a series of methods or stages by which different types of information can be secured through various selection techniques. A recruitment date may be extended if there are no qualified candidates. the data become a part of the employee¶s record. 2) Application Form: . Recruitments can also be open until the position is filled. The technique of application blank is traditional and widely accepted for securing information from the prospective candidates. Educational information. expected salary and allowances etc. job specification and employee specification before proceeding to the next step of selection.Information given in the application form is used for selection purposes. personal details. experience. to know the candidate¶s attitude towards job.Preliminary or initial interview is often held in case of ³at the gate´ candidate. Intelligence test measures the individuals capacity or reasoning. numbers. in this situation. The information is generally required on the following items in the application forms: Personal background information. general knowledge and English language. he is given an application form for being filled out by him. Selection procedure is lengthy and time consuming particularly in the case of supervisory post. knowledge. If the candidate seems to possess the basic minimum requirements for efficient job performance. Where application forms are use. 5) Written test:. . The applicant who seems to be not fit for the job on the basis of information given in the application blank is rejected out rightly at this stage. Following are the steps/ procedures of selection: 1) Job Analysis: . applicants are reviewed and interviewed on a regular basis until an eligible candidate can be selected and appointed to the available position.

If reference is checked in the correct manner. the probation period or trial period is a transition period at the end of which management has to take decision whether the employee should be made regular or discharged from the job. it is matching of what he imposes(in strain. the personnel department will engage in checking references. pay scales. and his assignment to that job. and sometime from co-workers. Thus. who is well versed with the applicant¶s job performance.If a candidate successfully overcomes all the obstacles or tests given he would be declared selected. According to Pigors and Myres. Placement is not an easy process. In this step the interviewer matches the information obtained about the candidate through various means to the job requirements and to the information obtained through his own observation during the interview. absenteeism and accident rate and improves the morale. nor lower job should be offered to the new employee. ³Job first.´ A proper placement reduced the employee turnover. 2) The job should be offered to the man according to his qualifications. . This is the most essential step in the process of selection. 7) Reference Checks: .After completion of the final interview. It is very difficult for a new employee who is quite unknown to the job and environment. Thus. companionship with other promotional possibilities etc. Interview must be conducted in a friendly atmosphere and the candidate must be made to feel at ease. A good reference check used sincerely fetches useful and reliable information to the organization.The candidates who have crossed the above hurdles are required to go for the medical examination.Final interview is usually followed by testing. One the employee is selected he should be placed on a suitable job. the interviewee should also be given a chance to ask questions if he so likes. This is very important because of a person of poor health cannot work competently and the investment in him may go waste. Candidates are required to give the name of reference in their application forms. he is confirmed as a regular employee of the organization. A appointment letter will be given to him mentioning the terms of employment. 8) Physical Examination: . a thorough medical examination is essential. working condition) and what offers is the form of pay roll. For this reason. 9) Selection: . The interviewer should not ask unwarranted questions which make the candidate nervous. about the job and the organization. a great deal can be learned about a person that an interview or tests cannot elicit. These references may be from the individuals who are familiar with the candidate¶s academic achievement or from the applicant¶s previous employer. The basic objective of the interview is to measure the applicant against the specific requirements of the job. post on which selected etc. if the employee show a good performance. At the end of the probation period. placement may be defined as ³the determination of the job to which an accepted candidate is to be assigned. the employee is generally put on a probation period ranging from one year to two years. MEANING AND DEFINITION OF PLACEMENT Placement means offering of the job to the finally selected candidate. Neither higher. man next´ should be the principle of placement. PRINCIPLE OF PLACEMENT Following principles are followed at the time of placement of an employee: 1) The man should be placed on the job according to requirements of the job. It being the two way communication. It is matching of what the supervisor has reason to think he can dos with the job demands(job requirements).6) Final interviewing: . The job should not be adjusted according to the qualifications or requirements of the man.

He should also be made aware of the penalties if he commits a wrong. . 4) While introducing the job to the new employee. an effort should be mad to develop a sense of loyalty and cooperation in him so that he may realize his responsibilities better towards the job and the organization.3) The employee should be made conversant with the conditions prevailing in the industry and all things relating to the job.

Though the organization prefers to fill up the vacancies by the external candidates through the selection procedure. knowledge etc. Promotion is the reassignment of a higher level job to an internal employee with delegation of responsibilities and authority required to perform that higher job and normally with higher pay. Saiyadain. development programmers and in team development areas.better in terms of grater responsibility. If the organization prefers to fill a vacancy only by the internal candidates. 3) Promotion normally accompanies higher pay. they can be filled up by the internal or external candidates.´ . Is such upward movement of an employee a promotion? Or it is purely selection? It is purely a selection. 4) To promote employee¶s self development and make them await their turn of promotions. 5) To promote a feeling of content with the existing conditions of the company and a sense of belongingness. 3) To develop competent internal source of employees ready to take up jobs at higher level in the changing environment. knowledge. efficiency and aptitude as measured from educational. The merits of merit system of promotion are: . 2) To develop competent spirit and inculcate the zeal in the employees to acquired the skills. Promotion may be temporary or permanent depending upon the organizational needs and employee performance.Paul Pigors and Charles A. the main conditions of promotion are:1) Reassignment of higher level job to an employee than what he is presently performing. Myers. greater skills and especially increased rate of pay or salary.Arun Monappa and Mirza S. the internal candidates may also apply for post and may be tested and selected for higher level job in the organizational hierarchy at par with external candidates. enhanced status and usually with increased income though not always so. Such upward movement can be said as promotion. 9) To get rid of the problems created by the leader of workers¶ unions by promoting them to the officer¶ levels where they are less effective in creating problems. 2) The employee will naturally be delegated with greater responsibility and authority than what he has had earlier. Thus. Merit as a basis of promotion:Merit is taken to denote an individual employee¶s skills. training and past employment record. accompanied by increased responsibilities.Promotion When there are vacancies in an organization.´ . It reduces labour turnover. required by higher level jobs. Definition:³Promotion is advancement of an employee to a better job. 8) To reward committed and loyal employees. 7) To build loyalty and to boost morale. more prestige or status. it assigns that higher level job to the selected employee from within through promotion tests. knowledge at the appropriate level in the organizational hierarchy resulting in organizational effectiveness and employee satisfaction. 6) To promote interest in training. ability. ³The upward reassignment of an individual in an organizational hierarchy. Purpose of promotion:Organizations promote the employee with a view to achieve the following purposes:1) To utilize the employee¶s skills.

In spite of these merits. It result in maximum utilization of human resources in an organization 2) Competent employees are motivated to exert all their resources and contribute them to the organizational efficiency and effectiveness 3) It works as golden hand-cuffs regarding employee turnover. 2) It denominates the young and more competent employees and results in employee turnover particularly among the dynamic force. They are: 1) Measurement or judging of merit is highly difficult.1) The resources of higher order of an employee can be better utilized at a higher level. trainee. . 2) Many people. 5) Senior employees will have a sense of satisfaction to this system as the older employees are respected and their inefficiency cannot be pointed out. 6) It minimizes the scope for grievances and conflicts regarding promotion. efficiency but not the future success. 3) It kills the zeal and interest to develop as everybody will be promoted with or without improvement. researcher. 3) Every party trust the management¶s action as there is no scope for favoritism and discrimination and judgment. 4) Organizational effectiveness may be diminishes through the deceleration of the human resource effectiveness as the human resource consists of mostly undynamic and old blood. for all-round development. This system is also based on the custom that the first in should be given first chance in all benefit and privileges. The logic behind considering the seniority as a basis of promotion is that there is a positive correlation between the length of service in the same job and the amount of knowledge and the level of skill acquired by an employee in an organization. 3) The techniques of merit measurement are subjective. 2) There would be full support of the trade unions to this system. 4) Further it continuously encourages the employees to acquire new skill. 5) Judging the seniority though it seems to be in the theoretical sense. Hence. 4) Merit denotes mostly the past achievement. Senior as a basis of promotion Seniority refers to relative length of service in the same job and in the same organization. length of service not only by days but hours and minutes will crop up. particularly trade union leaders. experience as apprentice trainee. it is highly difficult in practice as the problems like job seniority. Advantages of seniority as a basis of promotion are: 1) It is relatively easy to measure the length of service and judge the seniority. Despite these advantages the merit systems suffer from some demerit. this system also suffers from certain limitations. company seniority. They are: 1) The assumption that the employees learn more relatively with length of service is not valid as this assumption has reverse effect. 4) It gives a sense of certainty of getting promotion to every employee and of their turn of promotion. zonal/regional seniority. distrust the management¶s integrity in judging merit. knowledge etc. service in different organizations. the purpose of promotion may not be served if merit is taken as sole criteria for promotion. In other words employees learn up to a certain age and beyond that stage the learning ability of the cognitive process diminishes. 7) This system seems to reserve the purpose in the sense that employees may learn more with increase in the length of service.

Promotion disappointment some employees:Some employees who are not promoted will be disappointed when their colleagues with similar qualifications and experience are promoted either due to favoritisms or due to lack of systematic promotion policy. Employee may develop negative attitude and reduce their contributions to the organization and prevent organizational and individual advancement. Benefit of promotion:1) Promotion places the employees in a position where an employee¶s skills and knowledge can be better utilized. are made eligible for promotion and then merit is taken as the sole criteria for selecting the employee for promotion from the eligible candidates. 3) Minimum merit and seniority:In contrast to the earlier methods. But their are several incidents where employees refuse promotions. say five years. and when trade union leader feel that promotion causes damage to their position in trade union. They are disappointment of the candidates. There are several ways in striking the balance between these two basis. promotion that level where the employee feels that he will be quite incompetent to carry out the job. it creates certain problems. 4) It increases interest in acquiring higher qualifications. 6) Ultimately it improves organizational health. But trade union favour seniority as the sole basis for promotion with a view to satisfy the interests of majority of their members.Thus the two main basic of promotion enjoy certain advantages and at the same time suffer from certain limitations. 2) Measurements of seniority and merit through a common factor. A balance between seniority and merit should be struck and a new basis is to be developed. 2) It creates and increases the interest of the other employees in the company as they believe that they will also get their turn. Seniority-cum-merit Management mostly prefers merit as the basis of promotion as they are interested in enriching its human resources. minimum score of merit which is necessary for the acceptable performance on the future job is determined and all the candidates who secure minimum score are declared as eligible candidates. Problems with promotion:Though promotions benefit the employee and the organization. . Some employee refuse promotion:There is a general tendency that employee accept promotion. refusal of promotions etc. delegation of unwanted responsibilities. Candidates are selected for promotion based on their seniority only from the eligible candidates. These include promotion together with transfer to an upward place. a combination of both of them may be regarded as an effective basis of promotion. in training and in self development with a view to meet the requirement of promotion 5) Promotion improves employee morale and job satisfaction. Hence. 3) It creates among employees a feeling of content with the existing conditions of work and employment. Hence a combination of both seniority and merit can be considered as the basis for promotion satisfying the management for organizational effectiveness and employees and trade union for respecting the length of service. Most of the commercial bank in India has been following this method for promoting the employees from clerk¶s position to officer¶s position.viz:1) Minimum length of service and merit:Under this method all those employees who complete the minimum service.

But. But the employee concerned does not transgress the job classification. and a change in designation. the status only increases without a corresponding increase in pay or responsibilities. potentiality etc. . together with a change in the nature of the job. A promotion is vertical when a canteen employee is promoted to an unskilled job. promotions may be classified into the following types: 1) Horizontal Promotion:. Promotion policy Every organizational has to specify clearly its policy regarding promotion based on its corporate policy. Depending on which elements increase and which remain stagnant. a lower division clerk is promoted as an upper division clerk. guidance and follow-up regarding promotional opportunity.The other problems associated with the promotion are: some superiors will not relieve their subordinates who are promoted because of their indispensability in the present job and inequality in promotional in different departments. it should also contain reinforcing the future chances in the mind of rejected candidates and a provision for challenging the managements decision and action by employee or union within the limits of promotion policy. Types of Promotion As already noted. This type of promotion is referred to as upgrading' the position of an employee. prestige and pay. In other cases. and regions of an organization 5) It should insure open policy in the sense that every eligible employee should be considered for promotion rather than a closed system which consider only a class of employees 6) It should contain clear cut norms and criteria for judging merit. knowledge etc. 2) It should be fair and impartial. regions and categories of jobs. 2) Vertical Promotion:. The concerned employee naturally transgresses the job classification. favoritism etc. In other words it should not give room for nepotism. The promotee may be given one or two annual increments. and the other elements remain stagnant. job requirement and acquiring the required skills. 3) Dry Promotions:. a promotion involves an increase in status. The characteristics of a systematic promotion policy are: 1) It should be considered the sense that policy should be applied uniformly to all employees irrespective of the background of the persons. length or service. encouragement.. responsibilities and pay. 3) Systematic line of promotion channel should be incorporated 4) It should provide equal opportunities fro promotion in all categories of jobs. Promotion problems can be minimized though a career counseling by the superiors and by formulating a systematic promotion policy.This type of promotion results in greater responsibility. 7) Appropriate authority should be entrusted with the task of making final decision 8) Favoritism should not be taken as a basis for promotion 9) It should contain promotional counseling.Dry promotions are sometimes given in lieu of increases in remuneration. Designations are different but no change in responsibilities. only the pay increases. departments.This type of promotion involves an increase in responsibilities and pay. For example. in certain cases.

This leads to transfers. (3) Rectification of poor placement: Transfers are necessary for the rectification of poor placement made in the initial period. Here.´ However transfer is viewed as change in assignment in which the employee moves from one job to another in the same level of hierarchy requiring similar skill involving approximately same level of responsibility. demotion is a downward job reassignment whereas transfer is a latter or horizontal job reassignment. Workers demand transfers when the climate of the place of work is not suitable to them. The productivity of an employee may decline due to monotony of his or her job. Thus promotion is upward reassignment of job.different departments/sections. (9) Giving punishment for negligence: Transfers are sometimes made as a punishment for negligence and indiscipline on the part of an employee. Here. Workers are transferred from surplus department to another department where there is shortage of staff. . To break this monotony. same status and same level of pay. responsibility. (7) Solution to poor performance: Transfers are. (5) Meeting mutual needs of employees: Transfers are. (8) Avoiding fatigue and monotony: Transfers are made for avoiding fatigue and monotony of work in the case of employees. Female employees want transfer to join their husbands. transfer is treated as a better alternative to outright dismissal. Shortage of employees or increase in the work in one department due to different reasons leads to transfer of employees from other departments to that department. It may involve a promotion. made in order to meet the mutual needs of two employees. the employee is transferred. sickness. He is transferred to a new place or post and is given an opportunity to improve his performance at a new place. (2) Providing training to employees: Transfers are made for providing opportunities to employees for training and development. (4) Satisfying personal needs of employees: Transfers are necessary in order to satisfy the personal needs (personal difficulties) of the employees. For example. Purposes of transfer:The transfer in an organization may be due to any one of the following reasons: (1) Variation in the volume of work: Transfers are necessary due to variation in the volume of work in . sometimes. It is a type of mutual exchange and is usually accepted by the management. Similarly. and education of children and so on. transfers are basically for the convenience of employees. (6) Meeting organizational needs: Transfers are necessary in order to meet the organizational needs developed out of expansion programmers or fluctuations in work requirements or changes in the organizational structure or dropping of existing product lines. Such transfers take place especially among female employees.Transfer Meaning:Transfer is defined as ³ a lateral shift causing movement of individuals from one position to another usually without involving any marked change in duties. They include family problems. demotion or no change in job status other than moving from one job to another. made when the worker fails to perform his job efficiently. sometimes. skills needed or compensation´ Transfer is also defines as ³the moving of an employee from one job to another. senior and experienced workers and supervisors are transferred to new plants/factories in order to manage the work smoothly. transfers are necessary in order to utilize the services of an employee in the best possible manner.

(12) To provide relief and to punish employees: Transfers may be made in order to give relief to the employees who are overburdened or are working under heavy risks or tension over a long period. Versatile operations are valuable assets during rush periods and periods when work is dull. shift and remedial. are intended to avoid imminent lay-offs. Transfers may also be affected on special requests from employees. on certain occasions transfers are made for indulging in undesirable activities. Such transfers are also called shift transfers. 3. too. Versatile transfers may be used as a preparation for production or replacement transfers 4) Shift Transfers:Generally speaking. 5) Remedial Transfers:Remedial transfers are affected at the request of employees and are.(10) Rectification of poor personal relations: The relations between the worker and his superior may not be smooth and cordial. unless they are transferred to another department. and is designed to retain long-service employees as long as possible. Those designed to remedy the problem of poor placement. Specifically. of senior employees. versatility. Some request a transfer to the second shift or the night shift in order to avail the free time during the day to take up part time jobs. at the bank. 2. 2) Replacement Transfers:Replacement transfers. They may be made as a disciplinary action for serious mistakes on the part of employees. One method to solve this problem is to transfer the worker from that department to some other suitable department. A replacement transfer programmed is used when all the operations are declining. Problem employees are transferred to some other jobs or to remote places. particularly. therefore. Similarly. This practice is widespread mainly in government offices and police department. This may affect the work of the department. Clerical employees in banks. transfers may be production. although this is not permitted by law. Transfers between shifts are common. such transfers being made mostly on a rotation basis. transfers may be classified into three types: 1. (11) Providing convenience to employees: Transfers are made to help employees to work according to their convenience. for example. Types of Transfers Broadly speaking. a shortage or surplus of the labour force is common in different departments in a plant or several plants in an organization. Transfers affected to avoid such imminent lay-offs are called production transfers. 1) Production Transfers:As mentioned earlier. industrial establishments operate more than one shift. are transferred from one section to another over a period of time so that they may acquire the necessary skills to attend to the various activities. A junior employee may be replaced by a senior employee to avoid laying off the latter. 3) Versatility Transfers:Versatility transfers are effected to make employees versatile and competent hi more than one skill. This transfer may be necessary for removal of the incompatibilities between the worker and his/her boss or between one worker and the other. Surplus employees in a department have to be laid off. Those designed to enhance training and development. Remedial transfers take place because the initial placement of an employee may have been faulty or the worker may not get along with his or . Those making possible adjustment to varying volumes of work within the firm. called personal transfers. replacement.

lines of activity. 2) Due to fluctuation in quality of production and thereby in work load. viz. a) Temporary transfers: reasons for the company initiated temporary transfers are: 1) Due to temporary absenteeism of employees. 3) To improve the employee job satisfaction. 1) Employee initiated transfer:These transfers are also known as personal transfers. 5) To avoid conflict with his superior. a) Temporary transfers: The reasons for employee initiated temporary transfers are: 1) Due to ill health or involvement of employee in accidents.reasons for the company initiated permanent transfer are: 1) Changes in the quality of production. . organizational structure as discussed earlier. opportunities for advancement to a higher level job. 2) Company initiated transfer:Transfer is also at the initiative of the company.her supervisor or with other workers in the department. If the job is repetitive. If most of the employees working under the same superior request for a transfer. employee initiated transfer. 3) Due to short vacations. He or she may be getting too old to continue in his or her regular job. Reasons for transfer: Transfers are of basically of three categories. Employee prefers transfers: 1) Due to chronic ill health or permanent disablement caused by accident. 2) To improve the versatity of employees. b) Permanent transfers:There are several reasons for employee initiated permanent transfers. b) Permanent transfer: . 4) In order to relive him from the monotony or boredom caused due to doing the same job for year together. the situation should be corrected by other means like developing that superior in interpersonal skills etc. These transfers are primarily in the interest of the employee and according to his convenience and desire. the worker may stagnate and would benefit by transfer to a different kind of work. technology. 3) With a view to correct his wrong placement. Employee may not be interested with the work or working condition or environment of his present job and hence may require a transfer. 2) Due to family problems like taking care of domestic affairs in his native place. 2) If the function of an employee is against the public interest. 6) With a view to search for challenging and creative job. 3) Public initiated transfers:Public also initiate the transfers generally through the politicians/ government for the following reasons: 1) If an employee¶s behavior in the society is against the social norms order-processing if he indulges in any social evils. 7) With a view to search for job with opportunities for advancement to a higher level job. opportunities for financial gains etc. this transfer can be classified into temporary and permanent transfers. They can be classified into temporary and permanent. Further. 4) To minimize bribe order-processing corruption. or the type of job or working conditions may not be well-adapted to his or her present health or accident record. 2) Due to family problem like taking care of old parents. rather than transferring the subordinates. 3) Due to other adhoc problem like pursuing higher education. and company initiated transfer and public initiated transfers.

they improve employee¶s morale. seniority. Some employees may be transferred frequently because of political victimization and company initiated transfer of some employees may be stopped due to political favoritism. knowledge etc. . As such organization may find it difficult to manage the transfer policy. that are to be allowed to the employee in the new job. 10) Other facility to be extended to the transferee like special leave during the period of transfer. line managers administer the transfers and personnel managers assist the line managers in this respect. Allowances. 9) Specification of pay. job satisfaction.The majour drawback of public initiated transfer is the politicalisation of the issue. Systematic transfer policy should contain the following items: 1) Specification of circumstances under which an employee will be transferred in the case of company initiated transfer. They are: 1) Adjustment problem to the employee to the new job. Thus. Transfer policy: organization should specify their policy regarding transfers. 7) Norms to decide priority when two order-processing more employees request for transfer like priority of reasons. Similarly. 5) Reasons which will be considered for personal transfers their order of priority etc. subordinates may also request fro transfer even for the petty issues. Further they prepare the employee to meet the organizational exigencies and meet the fluctuation in business and organizational requirements. they enhance human resource contribution to organizational effectiveness. Problems of transfer: Despite these benefit some problems are associated with transfers. commitment and contribution. Otherwise superiors may transfer their subordinates arbitrarily if they do not like them. place. Most of the people may ask for transfer to risk less and easy job and places. This drawback is more severe in government departments and public sector unit. Merit. length of service. they correct erroneous placement and interpersonal conflicts. environment. 2) Specification of superior who is authorized and responsible to initiate a transfer 3) Jobs from and to which transfers will be made based on the job specification. these problems can be minimized through formulating a systematic transfer policy. Benefit of transfer: Transfers benefit both the employees and the organization. 4) The region order-processing unit of the organization within which transfer will be administrated. and increase employees job satisfaction. Generally. However. superior and colleageoues. 2) Transfer from one place to another cause which inconvenience and cost to the employees and his family members relating to housing. 8) Specification of basis for transfer like job analysis. Transfer reduce employee¶s monotony. It causes frustration among employees. 4) Company initiated transfer result in reduction in employee contribution 5) Discriminatory transfer affects employees¶ morale. description and classification etc. 6) Reasons for mutual transfer of employees. 3) transfer from one place to another result in loss of Mondays. boredom etc. education to children etc. benefit etc. Special allowance for packaging luggage. transportation etc. Further they improves employee¶s skills. Thus.

knowledge and aptitude suit to the job requirements.Demotion The remaining type of internal mobility is demotion. 2) Specification of a superior who is authorized and responsible to initiated a demotion 3) Jobs from and to which. Demotion policy: Organization should clearly specify the demotion policy. This is one of the extreme steps and as such organizations rarely use this measure. withdrawal of some lines of products. 5) It should provide for open policy rather than a closed policy. organizations resort to economy drives. merit order-processing both. Consequently organizations minimize the number of employees. organizations demote them to the lower level jobs where they are suitable. Such employees may be demoted to the lower level jobs where their skill. It is the opposite of promotion. Job satisfaction etc. there should be a systematic demotion policy. 7) Specification of nature of demotion i. If the existing employees do not develop themselves to meet those new requirements. 6) It should contain clear cut norms for judging merit and length of service.. whether it is permanent order-processing temporary if it as a disciplinary action it should also specify the guidelines for determining the seniority of such demoted employee. Demotion is the reassignment of a lower level job to an employee with delegation of responsibility and authority required to perform that lower level job and normally with lower level pay. . closure of certain department order-processing plants. demotions will be made and specification of lines order-processing ladders of demotion. Though the demotion seems to be simple it adversely affects the employee morale. 3) New technology and new methods of operation demand new and higher level skills. Some employees selected for higher level jobs may prove to be incompetent I doing that job. In most cases employees are promoted to the level of the incompetence. 4) Employees are demoted on disciplinary grounds. Systematic demotion policy should contain following items: 1) Specification of circumstances under which an employee will be demoted. some of the employees promoted on those bases may not meet the job requirements of the higher level job. 2) Adverse business conditions: Generally adverse business conditions force the organization to reduce quality of production. like reduction in operations. teacher handling 10TH class were demoted to the level of 8TH class teachers when the syllabus were revised and the teachers were found misfit even after training in one school in Andhra Pradesh. Hence. indisciplinary cases. In addition.e. Otherwise the superiors demote the employees according to their whims and fancies. Junior employees will be retrenched and senior employees will be demoted under such conditions. But. 4) Specification of basis for demotion like length of service. Need for demotions: Demotions are necessary for following reasons: 1) Unsuitability of the employee to higher level jobs: Employees are promoted based on the seniority and past performance. For example. as it reduces employee status not only in the organization but also in the society in addition to reduction in responsibility authority and pay. Organizations use demotion less frequently as it affects employee career prospects and morale.

Even for old workers. skill. productivity. As stated earlier. In brief. Organizational efficiency. placed and introduced he or she must be provided with training facilities. The programme should be conducted by a senior and experienced supervisor or executive of the concern or by the training director who is incharge of the training section under personnel department. problem solving ability or attitudes etc. training is not a one step process but is a continuous or never-ending process. MEANING AND IMPORTANCE:After an employee is selected. behaviour. changes. Training refers to the teaching and learning activities carried on for the primary purpose of helping members of an organization. 6. 7. Training makes newly recruited workers fully productive in the minimum of time. New machines. skills. A reward should be provided at the conclusion of the training such as promotion or a better job so that employees may be motivated. In other words training improves. Training is the responsibility of the management as it is basically for raising the efficiency and productivity of employees. new methods and new techniques are introduced in the production. 2. Hence. In short training is the act of improving or updating the knowledge and skill of an employee for performing a particular job. Training programme should be less expensive. marketing and other aspect of business. progress and development to a greater extent . Training is necessary due to technological changes rapidly taking place in the industrial field. the main purpose of training is to develop the human resources present within the employees. It comes next to recruitment and selection. 4. It is not essential to follow the single method of training for all the employees. DEFINITION OF TRAINING:According to Edwin Flippo. In fact. The purpose of training is to achieve a change in the behaviour of those trained and to enable them to do their jobs in a better way. Training is for developing overall personality of an employee. Sufficient time should be provided to practice what has been learned by the employees. Training is a short-term educational process and utilizing a systematic and organized procedure by which employees learn technical knowledge and skills for a definite purpose. job and the organization where he is working. The trainees will acquire new manipulative skills. training is necessary to refresh them and enable them to keep up with new methods and techniques. 5. Training programme should be developed for all in the organization and not for a particular group. moulds the employee¶s knowledge. Training is the most important technique of human resource development.EMPLOYEE TRAINING INTRODUCTION:Training plays an important role in human resource development. to acquire and apply the knowledge. training is the watchword of present dynamic business world. Training is the act of increasing the knowledge an skill of an employee for doing a particular job. training is ³the act of increasing the knowledge and skill of an employee for doing a particular job´. 3. and attitude towards the requirements of the job and organization. Training should be followed by a reward. The purpose of training is to develop the men and therefore more than one method may be followed for different groups. It also creates positive attitude towards fellow employees. aptitude. PRINCIPLES OF EMPLOYEE TRAINING:A sound training programme must possess the following characteristics: 1. training is important to develop the employee and make him suitable to the job. Training programme should be designed taking in view the interests of both employer and employees. no organization can get a candidate who exactly matches with the job and the organizational requirements. Trained employees would be a valuable asset to an organisation. technical knowledge. abilities and attitudes needed by a particular job and organization.

will not be complete until they are manned by employees possessing skill to operate them. crossing the human relations approach.) and to maintain human relations. inter-personal and intergroup conflicts etc. OBJECTIVES/PURPOSES OF EMPLOYEE TRAINING:1) To raise efficiency and productivity of employees and the organization as a whole. 2) To create a pool of well trained. extension of operations to various regions of the country or in overseas countries. It is a must for raising efficiency of employees. managements of most of the organizations has to maintain human relations besides maintaining sound industrial relations although hitherto the managers are not accustomed to deal with the workers accordingly. Human relations: Trends in approach towards personnel management has changed form the commodity approach to partnership approach. . knowledge. computerization and automation. organization should train the employees to enrich them in the areas of changing technical skills and knowledge from time to time. diversification and expansion. Organizational complexity: With the emergence of increased mechanization and automation. Training is also necessary to equip the old employees with the advanced disciplines. Adoption of latest technological means and methods. This creates the complex problems of co-ordination and integration of activities adaptable for and adaptable to the expanding and diversifying situations. i. the need for training arises due to the following reasons: I. If the organisation does not adapt itself to the changing factors in the environment. mechanization. organisation of most of the companies has become complex. IV. techniques or technology. Organizational objectives like viability. Organizational viability and the transformation process: The primary goal of most of the organizations is that their viability is continuously influenced by environmental pressure. VI. manufacturing of multiple products and by-products or dealing in services of diversified lines. capable and loyal employees at all levels and thereby to make provision to meet the future needs of an organization. behaviour etc. Change in the job assignment: Training is also necessary when the existing employee is promoted to the higher level in the organisation and when there is some new job or occupation due to transfer. If the organisation desires to adapt these changes. This situation calls for training in the skills of co-ordination. NEED FOR EMPLOYEE TRAINING:The need for training of employee is universally accepted and practical training in the form of information. first it has to train the employees to impart specific skills and knowledge in order to enable them to contribute to the organizational efficiency and to cope with the changing environment. integration and adaptability to the requirements of growth. V. So training in human relations is necessary to deal with human problems (including alienation.e. So today. attitude. Specifically. So. stability and growth can also be achieved through training. III. Training is needed to fill these gaps by developing and moulding the employee¶s skill. Technological advances: Every organization in order to survive and to be effective should adopt the latest technology. to the tune of the job requirements and organizational needs.. Training is necessary in the present competitive and ever changing industrial world. it will lose its market share.depend on training. II. To match the employee specifications with the job requirements and organizational needs: Management finds deviations between employee¶s present specifications and the job requirements and organizational needs. This means to maintain and improve the work performance of employees. instructions and guidance is given to all categories of employees.

For this. 2) JOB TRAINING:Job training relates to specific job which the worker has to handle. In addition. methods to be used and precautions to be taken while performing the job. To improve the quality of production and thereby to create market demand and reputation in the business world. instructions to be followed. information booklets are issued and short informative films are shown. to give safety and security to the life and health of employees. In addition. to develop balanced. For example. It gives information about machines. The manager should handle the problem with treatment that corrects the outlook rather than giving punishment. absence without prior sanction or smoking in a ³No smoking´ area or not using safety devices while operating dangerous machines. The manager should criticize the act and not the individual. . 4) 5) 6) 7) 8) TYPES OF EMPLOYEE TRAINING:1) INDUCTION (ORIENTATION) TRAINING:Induction training is basically for introducing the organisation to newly appointed employees. He should motivate concerned individual to correct his behaviour. For induction training. Here. This training develops skills and confidence among the workers and enables them to perform the job efficiently. the behaviour of employee cannot be changes simply by disciplinary action. To develop certain personal qualities among employees which can serve as personal assets on long term basis.3) To provide opportunities of growth and self-development (career planning) to employees and thereby to motivate them for promotion and other monetary benefits. 5) CORRECTIVE TRAINING:Corrective training is necessary when employees violate company rules and procedures. 3) TRAINING FOR PROMOTION:Promotion means giving higher position. In addition. process of production. To develop positive attitude and behaviour pattern required by an employee in order to perform a given job efficiently. techniques and procedures for raising efficiency. To meet the challenges posed by new developments in the field of science and technology. Training must be given for performing duties at a higher level efficiently. This training is specific. training is given after promotion and before actually joining the new assignment. It gives information about new developments and techniques to trainees and enables them to use new methods. the purpose of training is to improve the culture of the organisation. information and experience of persons occupying important executive positions. healthy and safety attitudes among the employees. 4) REFRESHER TRAINING:The purpose of refresher training is to refresh the professional skills. To avoid accidents and wastages of all kinds. This facilitates easy and quick adjustment with the new job and also develops new insight into the duties and responsibilities assigned. Induction training creates favourable impression on the newly appointed employees and this impression remains in their mind over a long period. In other words. lecture by personnel manger/HRD manger is also arranged. precise and of short duration. It creates a feeling of involvement in the minds of newly appointed employees. It is a very short informative type of training given immediately after joining the organization.

Some of these are new methods. this question is crucial.SELECTION OF TRAINEES:Once you have decided what training is necessary and where it is needed. The supervisor provides feedback to the trainee on his performance and offer him for suggestions for improvement. A limitation of this method of training is that the trainee may not have the freedom or opportunity to express his own ideas. Under this method. provides feedback information and corrects the trainee. . TRAINING GOALS:The goals of the training program should relate directly to the needs outlined above. The trainer appraises the performance of the trainee. Goals should include milestones to help take the employee from where he or she is today to where the firm wants him or her in the future. c) JOB INSTRUCTION:This method is also known as training through step by step. is the most commonly used method. The training programmes commonly used to train operative and supervisory personnel are discussed below. This method gives an opportunity to the trainee to understand the problems of employees on other jobs and respect them. Employee failure in the program is not only damaging to the employee but a waste of money as well. ON-THE-JOB TRAINING METHODS This type of training. Training an employee is expensive. It is also important that employees be motivated by the training experience. The problem of transfer of trainee is also minimized as the persons learns on-the-job. Though this method of training is common in training managers for general management positions. the next decision is who should be trained? For a small business. and to make the most efficient use of resources possible. coaching. Selecting the right trainees is important to the success of the program. On-the-job training methods include job rotation. a) JOB ROTATION:This type of training involves the movement of the trainee from one job to another. while others are improvements over the traditional methods. The trainee learns under the supervision and guidance of a qualified worker or instructor. trainees can also be rotated from job to job in workshop job. it is important to carefully select who will be trained. The trainee receives job knowledge and gains experience from his supervisor or trainer in each of the different job assignments. b) COACHING:The trainee is placed under a particular supervisor who functions as a coach in training the individual. Therefore. Allowing employees to participate in setting goals increases the probability of success. a number of programmes are available. On-the-job training has the advantage of giving first hand knowledge and experience under the actual working conditions. Training programs should be designed to consider the ability of the employee to learn the material and to use it effectively. the trainer explains to the trainee the way of doing the job. These programmes are classified into on-the-job and off-the-job training programmes. job instruction or training through step-by-step and committee assignments. job knowledge and skills and allow him to do the job. especially when he or she leaves your firm for a better job. Under this method. also known as job instruction training. the individual is placed on a regular job and taught the skills necessary to perform that job. Often the trainee share some of the duties an responsibilities of the coach and relieves him of his burden. Setting goals helps to evaluate the training program and also to motivate employees. METHODS OF EMPLOYEE TRAINING:As a result of research in the field of training. Course objectives should clearly state what behavior or skill will be changed as a result of the training and should relate to the mission and strategic plan of the company.

superintendents. d) CONFERENCE OR DISCUSSION:It is a method in training the clerical. professional and supervisory personnel. 2. such as the production manager. doing and practice. This increases their pay and status. CHANCES FOR PROMOTION:Training also qualifies the employees for promotion to more responsible jobs. 1. examine and share facts. ideas and data. maintenance engineers.d) COMMITTEE ASSIGNMENTS:Under the committee assignments. learning to use new kinds of equipment and adjusting to major changes in job contents and work relationship. the trainee is separated form the job situation and his attention is focused upon learning the material related to his future job performance. The instructor organizes the material and gives it to a group of trainees in the form of a talk.adapting himself to new work methods. the lecture must motivate and create interest among the trainees. Off-the-job training methods are as follows: a) VESTIBUTE TRAINING:In this method. This type of training is commonly used for training personnel for clerical and semi-skilled jobs. The success of this method depends on the leadership qualities of the person who leads the group. and draw conclusions. Training can be used in spotting out promising men and in removing defects in selection process. 4. INCREASE IN WAGE EARNING CAPACITY:Training helps the employees in acquiring new knowledge and job skills. The participants feel free to speak in small groups. This method is mostly used for developing interpersonal interactions and relations. quality control inspectors. Theory can be related to practice in this method. costs and time involved are reduced. It develops team work. training increases their market value and wage earning power. ADVANTAGES OF EMPLOYEE TRAINING:Training is advantageous not only to the organization but also to the employees. The duration of this training ranges from days to a few weeks. It helps in choosing the most appropriate individuals for different jobs. JOB-SECURITY:Continued training can help an employee to develop his ability to learn. The trainees solve the problem jointly. This method of training involves action. The participants play the role of certain characters. workers and the like. To be effective. all of which contribute to the improvement of the job performance. mechanical engineer. a group of trainees are given and asked to solve an actual organizational problem. in that the discussion involves two-way communication and hence feedback is provided. Discussion has the distinct advantage over the lecture method. b) ROLE PLAYING:It is defined as a method of human interaction that involves realistic behaviour in imaginary situations. An advantage of lecture method is that it is direct and can be used for a large group of trainees. test assumptions. Thus. There is an opportunity for freedom of expression for the trainees. c) LECTURE METHOD:The lecture is a traditional and direct method of instruction. foreman. actual work conditions are simulated in a class room. files and equipments those are used in actual job performance are also used in training. Since the trainee is not distracted by job requirements. In this way. he can place his entire concentration on learning the job rather than spending his time in performing it. Material. OFF-THE-JOB METHODS Under this method of training. FOLLOW UP OF SELECTION PROCEDURE:Training is a follow up of selection procedure. . 3. This method involves a group of people who pose ideas.

a) ANALYSING JOBS AND MEN:If the men are less capable to perform the particular jobs they can be given training to increase their skills. v.. Jobs and worth of the men should be analysed through job analysis and performance appraisal.´ Evaluation leads to controlling and correcting the training programme. Training makes the fresh and old employees more skilled and accurate in performance of their work. REDUCTION IN COST OF PRODUCTION:If the employees are given proper training the need for supervision is lessened. morale. teaching methods etc. sales turnover and the like. viz. 6. A well trained employee is self-reliant in his work because he knows what to do and how to do it. reactions. trainer¶s ability and trainee ability are evaluated on the basis of quantity of content learned and time in which it is learned and the learner¶s ability to use or apply. growth. the content he learned. Training programmes differ on the basis of many individual characteristics of the organisations and the employees usually in the organisation of training programmes.. LEARNING:Training programme. BETTER PERFORMANCE:Training brings about an improvement of the quality and quantity of output by increasing the skill of the employees. learning and change in the job behaviour of the department/organization in the form of increased productivity. and to the individual goals like development of personality and social goals like maximizing social benefit. depth of the course content. ULTIMATE VALUE:It is the measurement of ultimate result of the contributions of the training programme to the company goals like survival. The most important step is to make a thorough analysis of the entire organisation. organization and ultimate value. and to assess the value of training in the light of that information. profitability etc. quality. JOB BEHAVIOUR:This evaluation includes the manner and extent to which the trainee has applied his learning to his job. i. b) IDENTIFYING PRODUCTION PROBLEMS:- . The following steps are taken to organise the training programme: 1) IDENTIFYING THE TRAINING NEEDS:Training programme should be set up only after having decided the decided the clear-cut objective in mind. ii. job behaviour. its operations and manpower resources available in order to find out ³the trouble spots´ where training may be needed. iii.5. ORGANISED TRAINING PROGRAMME IN AN INDUSTRY:It is not possible to suggest a training programme equally good for each and every organisation. Hamblin suggested five levels at which evaluation of training can take place. method of presentation. learning. Training does not eliminate the need for supervision but it reduces the need for detailed and constant supervision. iv. REACTIONS:Training programme is evaluated on the basis of trainee¶s reactions to the usefulness of coverage of the matter. ORGANISATION:This evaluation measures the use of training. A training programme should be established only when it is felt that it would assist in the solution of specific operational problems. EVALUATION OF TRAINING PROGRAMME:The process of training evaluation has been defined as ³any attempt to obtain information on the effects of training performance.

Trainee should be given the proper background information before he starts learning new job skills and knowledge. Generally no single session should last longer than two hours. Trainer should explain the trainee the importance of the job. high rate of absenteeism. high cost. He should be able to divide the job into logical parts so that he may teach one part at a time without losing his perspective of the whole. 2) GETTING READY FOR THE JOB:Following are the steps taken in this regard: a) IDENTIFYING THE TRAINEE:Under this step it is to be decided who is to be trained. its relationship with the work flow and the importance of training. purpose of the training. the trainer must have a clear-cut picture of the objectives of training in mind. As because training must be based upon the needs of the organization therefore. d) TRAINING MATERIAL:There should always be the training material with the instructor. Instructor must be well-qualified and may be obtained from within or outside the organization. lectures and seminars etc. review and reference. It should be decided beforehand what is to be taught and how. poor quality. trainee¶s learning capacity and the training media used. should be identified to indicate the need for training. For supervisory and executive personnel On-the-job and Off-the-job methods such as role-playing. This may be prepared in the training section with the help of supervisors. if any.Production problems like low productivity. A trainee should be trained for the kind of job he likes and is suitable to perform. On-the-job and apprenticeship training may be awarded. labour turnover etc. Careful screening of candidates for training raises the effectiveness of the training work. c) PREPARATION OF TRAINER OR INSTRUCTOR:The success of the training programme much depends upon the instructor. The time of training whether before or after or during working hours should be decided by the personnel manager taking in view the loss of production and benefits to be achieved by training. The proper selection of trainees is very important to obtain permanent and gainful results of training. He should also encourage the question from the trainees. who is to be trained ± the new comer or the older employee or the supervisory staff or all of them selected from different departments. c) COLLECTING OPINIONS:Opinions should be obtained from the management and the working people through interviews or through questionnaire regarding necessary and desirable training programmes. to skilled and semiskilled workers. Unskilled workers may be trained on the job. Trainer needs professional expertise in order to fulfill his responsibility. The written material should be distributed among the trainees so that they may come prepared in the lecture class and may be able to understand the operation quickly and remove their doubts. It should not be in a vacuum. Training materials may include some text or written materials as a basis for instruction. Different methods of training may be suggested for the different levels of personnel. may be recommended. b) SELECTION OF TRAINING METHOD:Now it is advisable to lay down which method is to be adopted fro the training. 3) PREPARATION OF THE LEARNER:This step consists: . e) TRAINING MATERIAL:The length of training period depends upon the skill of the trainees.

b. The supervisor should have a constant vigil on the person still facing any difficulty on the job. and vii. PERFORMANCE TRY-OUT:Under this. FOLLOW-UP:On the completion of training programme trainees should be placed to the job. The learner should be told of the sequence of the entire job and why each step in its performance is necessary instructions should be given clearly. In stating the importance of ingredients of the job and its relationship towards flow. the trainee is asked to go through the job several times slowly. ii. PRESENTATION OF OPERATIONS AND KNOWLEDGE:This is the most important step in a training programme. . In familiarizing him with the equipment. iii. The trainer should clearly tell. completely and patiently. d. Then the trainee is asked to do the job. vi.i. he must be given full guidance by the immediate supervisor and should be initiated to ask questions to remove the doubts. gradually building up skill and speed. materials tools and trade terms. finding out what the learner already knows about his job or other jobs. In explaining he is being taught. Mistakes are corrected and if necessary some complicated steps are taken for the trainee for the first time. In explaining why of the whole job and relating it to some job the worker already knows. The putting the learner at case so that he does not feel nervous because of the fact that he is on a new job. illustrate and question I order to put over the new knowledge and operations. In planning the learner as close to his normal working position as possible. iv. explaining him each step. The trainee is then tested and the effectiveness of a training programme evaluated. In creating interest and encouraging questions. v. show. Trainer should demonstrate or make use of audio-visual aids and should ask the trainee to repeat the operations c.

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