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Human Resources Management

SYLLABUS UNIT I: Human Resource Function: Human Resource Philosophy Changing environments of HRM Strategic human resource management Using HRM to attain competitive advantage Trends in HRM Organisation of HR departments Line and staff functions Role of HR Managers. UNIT II: Recruitment & Placement: Job analysis : Methods - IT and computerised skill inventory - Writing job specification - HR and the responsive organisation. Recruitment and selection process : Employment planning and forecasting - Building employee commitment : Promotion from within - Sources, Developing and Using application forms - IT and recruiting on the internet. Employee Testing & selection : Selection process, basic testing concepts, types of test, work samples & simulation, selection techniques, interview, common interviewing mistakes, Designing & conducting the effective interview, small business applications, computer aided interview. UNIT III: Training & Development: Orientation & Training: Orienting the employees, the training process, need analysis, Training techniques, special purpose training, Training via the internet. Developing Managers: Management Development - The responsive managers - On-thejob and off-the-job Development techniques using HR to build a responsive organisation. Management Developments and CD-Roms - Key factor for success. Performance appraisal: Methods - Problem and solutions - MBO approach The appraisal interviews - Performance appraisal in practice. Managing careers: Career planning & development - Managing promotions & transfers.

UNIT IV: Compensation & Managing Quality: Establishing Pay plans : Basics of compensation - factors determining pay rate - Current trends in compensation - Job evaluation - pricing managerial and professional jobs - Computerized job evaluation. Pay for performance and Financial incentives : Money and motivation - incentives for operations employees and executives - Organisation wide incentive plans - Practices in Indian organisations. Benefits and services : Statutory benefits - non-statutory (voluntary) benefits Insurance benefits - retirement benefits and other welfare measures to build employee commitment.
UNIT V: Labour relations and employee security Industrial relation and collective bargaining, Trade unions Collective bargaining - future of trade unionism. Discipline administration grievances handling - managing dismissals and separation. Labour Welfare : Importance & Implications of labour legislations Employee health Auditing HR functions, Future of HRM function.


Human Resource Management: Evolution

1800 - Apprentice Schools started in US 1824 - Industrial library started 1898 - Factory school started at Weston House in US GE started training school for employees 1911 Scientific Management F Taylor 1914 18 world war I, Psychological tests conducted 1933 Hardward Business School prof.Elton Mayo published Howthorne experiment studies (1927-32) 1943 A. Maslows theory of motivation 1959 F. Herzberg motivation theory In India 1980 HRD momentum started - Udai Pareek,TV Rao

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.

National training Policy - Keeping up to date and enhancing professional knowledge and skills needed for better performance of organisations. -Promoting better understanding of professional requirements as well as sensitization to professional, socio economic, political environment in which work is done and bringing about the required attitudinal orientation. National training policy is developed on concept of systemic approach

Unit - I

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 discover 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.

Changing environment and Human Resource Management

With time role of resource managers have become more central. Changes are occurring at an increasing rate in todays world. The main changes that have increased the responsibility of human resource managers are Globalization trend, changes in the work environment and technological changes. Globalization from a business point of view means increase in the sales of the organization, increase in ownership, and increase in exports or manufacturing products for the markets abroad according to that markets requirement. Examples are firms like Apple, Dell and Mercedes Benz are known all over the world because of their marketing strategies that target people in almost all regions of the world. Following are the few reasons that force companies to market abroad - Sales expansion and Increase clientele in foreign markets, Reduce labor costs, Partnerships.

Strategic Human Resources Management

Strategy: Unified, comprehensive and integrated plan designed to ensure that the basic objectives of the organisation achieved. Strategic Management: Continuous, interactive ,cross functional process aimed at keeping an organisation as a whole appropriately matched to its environment. Basic steps of Strategic Management: Vision, mission and objectives External environment Internal environment Revise organisational direction Formulation of alternative strategies Selecting best strategy Strategic evaluation and control

Using HRM to attain competitive advantage

What really a company should do to maintain or to optimize its present business situation in its environment? Should it focus on its financial situation, its technology, or its human resources? To answer this question we should at first see what other researchers have concluded.

Guest 1990 says that if management trust their workers and give
them challenging assignments, workers in return will respond with high motivation, high commitment and high performance.

Coff 1994 argues that human assets are a key source of sustainable advantage because of causal ambiguity and systematic information making them inimitable. Gratton 1997 identified six factors for success: the commitment of top management;

the motivation and aspirations of recruits;

the core capabilities of the management team; the teams aspiration; the teams ability to build and maintain alliances; the integration of the business into a global network.

The primary function of human resources today is to ensure the

effective and efficient use of human talent to accomplish an organizations goals and objectives. Using human resources as a

competitive advantage means analysing what factors are

necessary for the organizations long-term success. Relevant areas to review include: organizational design, key work processes

Hiring effective employees Promotion strategies

Defining competencies Performance measures Training and development Job analysis Career planning

Succession planning
Reward and recognition systems, Motivation and retention, Employee perceptions Customer perception of the organization and employees.

Recent trends/challenges faced by HRM .Talent Management

.Organisational Growth & Strategic HRM

. Organisational excellence through Leadership

. Impact of Mergers & Acquisitions on Human Resources . HRD in Cross-Cultural Environment

. Competency Mapping
. Building High Performance Culture . E- HR . Outsourcing Redefining Jobs and Work . Work-Life Balance in 24X7 Environment

A staff function

is a secondary business activity that supports the line functions of a business to achieve the objectives. In business management, staff functions are usually defined as all functions that are not line functions. The nature of this function is advisory. The people belonging to this function investigate, research, and give advice to their line managers.

Need: The Business world is changing very rapidly and each

day new kind of issues and problems are cropping up and it requires specialisation in these fields to deal with these everchanging conditions. As it is impossible for an individual to have specialization in each of these fields, there is a requirement of specialised people who can provide quick solutions and hence staff function proves beneficial. It provides the line function with advisory support. Thus helping a business organisation to work more efficiently and effectively.

1.Blame game between line and staff: The staff only proposes a plan; the function to implement that plan is of the line. If a plan fails the staff blames the line, and the line blames the staff. 2. Hostile environment can prevail: Some line managers don't like to get suggestions from staff members; sometimes, however, they are pressured into accepting staff plans. This creates friction between the two functions. A business can usually survive the failure of, or use substitutes for the staff function. Staff functions vary between businesses, but usually include activities like advertising, human resources, and plant maintenance.

A line function

is a primary business activity that negatively

affects income or the customer experience if it is interrupted. Line functions vary between businesses. These functions are directly related with the objectives of the enterprise. This function provides authority to line manager over the

subordinates. It is in the form of a series of steps and therefore

involves the scalar principle. The line of authority in organization should be as clear as possible. This line starts from the top management position to the subordinate positions.

The clearer this line is, the more effective the organization will be as each level gets to know its responsibility and what share that level has in decision making.

If the group of activities is a fundamental part of the organisation, set up to achieve its aims and objectives, it is called a line function. Such functions as production, purchasing and marketing are examples. These functions are often referred to as the 'primary group' of activities.

Emerging trends in the role of HR manager

(i).HR managers of future will have to stress upon overall development of human resources in all respects. (ii).The scope of human resource management will be extended to cover career planning and development, organization development, social justice etc. (iii).Enlightened trade unions will become an active participant in the organization and management of industry. (iv).The HR manager will be required to act as a change agent through greater involvement in environment and scanning and development planning. They will have to devote more time to promote changes than to maintain the status quo. (v).The HR function will become more cost-conscious and profit oriented. Instead of merely administering personnel activities, the personnel department will have to search out opportunities for profit improvement and growth.

(vi). Greater authority and responsibilities will be delegated to HR managers particularly in the field of employee welfare services. (vii). HR managers will have to continuously retrain themselves to avoid obsolescence of their knowledge and skills. The job of HR manager is becoming more challenging. They will have to be experts in behavioral sciences. They have to play a creative and development role. They have to acquire new skills, values, attitudes to face this challenging role.

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 manpower 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.

Unit - II

Job analysis
Job Analysis is a process to identify and determine in detail the particular job duties and requirements and the relative importance

of these duties for a given job. Job Analysis is a process where

judgments are made about data collected on a job, An important concept of Job Analysis is that the analysis is conducted of the

Job, not the person.

Purpose of Job Analysis The purpose of Job Analysis is to establish and document the 'job relatedness' of employment procedures such as training, selection, compensation, and performance appraisal.

Several methods exist that may be used individually or in combination. These include:
Review of job classification systems Incumbent interviews Supervisor interviews Expert panels

Structured questionnaires
Task inventories Check lists Open-ended questionnaires Observation Incumbent work logs

Process of Job analysis

Organisational objectives Specific positions to be analysed Data collection of job analysis characteristics of job, required behavioral attributes, personal qualification

Preparation of job description functions, duties,

responsibilities, operations of job holder Preparation of job specification personal attributes - traits, skills, training, experience needed to carry out

IT and Computersied skill Inventory

The systems and processes at the intersection between Human Resource Management (HRM) and Information Technology

Human resource information management system

A computerized skills inventory for: Acquiring Storing Analyzing and Controlling the flow of information throughout an organization. The collection of information on aspects of work life as diverse as: Salary Payroll Compensation Leave Accidents Superannuation Employee Benefits

To reduce the manual workload of these administrative activities, organizations began to electronically automate many of these







Management Systems

The payroll module automates the pay process by gathering data on: Employee time and attendance Calculating various deductions and taxes Generating periodic pay cheques and employee tax reports

The work time system module gathers standardized time and work related efforts. The module provides broad flexibility in data collection methods, labor distribution capabilities and data analysis features.

The administration module provides a system for organizations to administer and track employee participation in benefits programs, typically encompasses: Insurance Compensation Profit sharing and retirement

The HR management module covers from application to retirement. The system records: Basic demographics and Address Data, Selection Training and Development, Capabilities and Skills Management Compensation Planning Records and Other related activities

Talent Management module

Analyzing personnel usage within an organization Identifying potential applicants Recruiting through company-facing listings Recruiting through online recruiting sites or publications that market to both recruiters and applicants.
Online recruiting

The Training module The system, normally called a Learning Management System it allows HR to: Track education Qualifications and Skills of the Employees As well as outlining what training courses, books, CDs, web based learning or materials are available to develop which skills.

Benefits of HRIMS
HRM functions and can greatly increase efficiency and response times of various traditionally labor and time-intensive human resource activities. Its applications are, therefore, almost endless. The system contains a program for tracking applicants, a skills inventory, a career planning program and employee service programs such as an electronic bulletin board.

Writing Job Specifications,

Standards and Requirements: The minimum qualifications needed to perform the essential functions of the job such as education,

experience, knowledge and skills. Any critical skills and expertise

needed for the job should be included. For example, for a receptionist, critical skills may be having: 1) A professional and courteous telephone manner 2) Legible hand-writing if messages are to be taken 3) The ability to handle a multiple-lined phone system for a number of staff members 4) the patience and endurance to sit behind a desk all day.

Job Location - where the work will be performed Equipment to be used in the performance of the job: For example, does your companys computers run in a Apple Macintosh or PC Windows environment?

Non-Essential Functions:
Functions which are not essential to the position or any marginal tasks performed by the incumbent of the position.

Salary Range: Range of pay for the position.

Keep each statement in the job description crisp and clear:

Use un-biased terminology: For example: use the "he/she" approach or construct sentences in such as way that gender pronouns are not required. Avoid using words which are subject to differing interpretations: Try not to use words such as "frequently," "some, "complex," "occasional," and "several."

If necessary, use explanatory phrases telling why, how, where or

how often to add meaning and clarity: For example: "Collects all employee time-sheets on a bi-weekly

Responsive and/or an improvisational organization

A responsive organization is an organization has the energy and creativity to response to a changing condition to do what needs to be done in response to that change.

Improvisational organization is a step beyond the responsive. An improvisational organization has the energy and creativity to response to a changing condition to do what needs to be done in

response to that change as a responsive organization. But it also

has the creativity and energy to adapt and to continue to do the original mission before the change imposed itself for as long as necessary. The improvisational organization is also capable of becoming creative to anticipate the unexpected by thoroughly knowing the why behind all that is done to change what is done to do what is needed. Here the response and improvisation comes from within the organization and its members

Customer responsive organisation

Select "customer" focused individuals

Use a structure with a low level of formalization (flexibility to deal

with customers) Use empowerment Use good listening skills Role clarity Display "helping" or Organizational Citizenship Behavior (OCB)

Employment Planning and forecasting

Employment / HR planning is to make predictions of
future needs of the organization according to the organization goals and develop action plans for meeting the needs in the future.HR Planning is part of the organizations strategic planning.

Human Resource Planning

Human resources are regarded as the only dynamic factor of production. Other factors like materials, methods, machines, money etc. are useless without their effective use by the human resources. Thus, it is logical that there should be proper manpower or human resource planning in the organization to use the other resources effectively.

Human Resource Planning

HR Planning is one of the basic functions of management of any organization. In commercial and industrial undertakings, planning has been focused on profit making, procurement, production, marketing, quality control and only most recently, manpower.

HR planning has now been recognized as an important

part of the overall planning of any organization. Without the procurement and maintenance of adequate number of personnel, it is not possible to realize the goals of the organization. HR Planning is essential to put the plans of the organization into action for the achievement of its goals or objectives.

E. W. Vetter, Human resource planning is the process by which the management determines how an organization should move from its current manpower position to its desired manpower position. Through planning the management strives to have the right number and the right kinds of people at the right places, at the right time,

to do things which result in both the organization and the

individual receiving the maximum long-range benefit.

E. Geisler, Human Resources planning is the process including forecasting, developing and controlling by which a firm ensures that it has the right number of people and the right kind of people at the right places, at the right time doing work for which they are economically most useful.

Leon Megginson, Human resource planning is an integrated approach to performing the planning aspects of the personnel function in order to have a sufficient supply of adequately developed and motivated people to perform the duties and tasks required to meet organizational objectives and satisfy the individual needs and goals of organizational members.

Coleman, Human resource planning is the process of determining manpower requirements and the means for meeting those requirements in order to carry out the integrated plan of the organization.

To ensure the attainment of organization goals. Meeting future HR needscritical to success. To improve the efficiency of human resources. Rational use of peoplerecruitment and development. To motivate employees. Meeting the needs of self-actualization-training and development.

Types of HR Planning:
Long-term plan: 5years and above. Mid-term plan: 2 to 4 years. Short-term plan: 1 year.

Human Resources planning Nature/Features/Characteristics Ascertaining manpower needs in number and type of job. It presents an inventory of existing manpower of the organization. Helps in determining the shortfall or surplus of manpower. Initiation of various organizational programmes. Acquisition, utilization, improvement and prevention of human resources.

Human Resources: Need/Importance/Advantages/ It checks the corporate plan of the organization. It helps to face the shortage of certain categories of employees and/or variety of skills despite the problem of unemployment. The rapid changes in technology, marketing, management etc. and the consequent need for new skills and new categories of employees. The changes in organization design and structure affecting manpower demand.

The demographic changes like the changing profile of workforce in terms of age, sex, education etc. The government policies in respect to reservation, child labour, working conditions etc. The labour laws affecting the demand for and supply of labour. Pressure from trade unions, politicians, sons of soil etc.

It offsets uncertainty, change and helps to have right men at right time and in right place. it provides scope for advancement and development of employees through training, development etc. It helps to anticipate the cost of salary enhancement, better benefits etc.

To plan for physical facilities, working conditions and volume of fringe benefits like canteen, schools, hospitals, conveyance, child care centers, quarters, company stores etc. It gives an idea of type of tests to be used and interview techniques in selection based on the level of skills, qualifications, intelligence, values etc. of future human resources. It helps to find out and develop various HR initiatives resources to meet the organizational needs. It facilitates the control of all the functions, operations, contribution and cost of human resources.

Factors Affecting Human Resource Plan

External Factors

Internal Factors

External Factors
Governments policies Level of economic development including future supply of HR Business environment Level of Technology Natural Factors

Internal Factors
Policies and strategies of the company Human resource policy of the company Formal and Informal groups Job Analysis Time Horizons (long term or short term) Type and quality of information Companys production operations policy Trade Unions

Problems in Human Resource Planning

Resistance by employer Resistance by employees Resistance by trade unions Uncertainties Inadequacies of Information system Identify crisis Slow and gradual process Co-ordination with other management functions Integration with organizational plans

Process in Human Resource Planning:

1. Analyzing organizational plans 2.Demand forecasting Managerial Judgement Statistical Techniques ratio analysis and econometric models Work study techniques Employment trends Replacement needs Growth and expansion Productivity

3. Supply Forecasting
Existing inventory Potential losses temporary/permanent Potential additions

4. Estimating the net human resource requirement 5. In case of future surplus plan for redeployment, retrenchment and lay-off


In case of future deficit forecast the future supply of human resources from all sources with reference to plans of other companies

7. Plan for recruitment, development and internal mobility if future supply is more than or equal to net human resource requirements. 8. Plan to modify or adjust the organizational plan if future supply will be inadequate with reference to future net requirements.

Building employee commitment

There is an old proverb, "ask and you shall receive".

These days, the proverb might be more aptly changed to,

"give and you shall receive". In today's working environment, organisations must increase their dedication to staff and levels of leadership if they wish to achieve employee commitment.

Way back in the last century, 'commitment' was not an issue - one became 'committed' the moment one signed on the dotted line"In those days, joining an organisation (particularly a large one) was seen as a career/life move. However, because of globalisation, full time employment

is transitory. The result is that employee commitment is

not bought with a salary (nor is it expected), but rather

earned through the actions of the people who lead the


Bob Selden, Director of National Learning

Institute, US, defines employee commitment simply as staff being, "continually motivated to

achieve results and satisfied to see their future

with the organisation over time."

Employee commitment is based on a number of factors:

Sufficiency of pay, benefits and rewards Family oriented policies and actions Quality of the supervisory relationship Favorable developmental training and experiences Promotions Clearly stated guidelines defining appropriate work

behaviour and job demands

Employee commitment is based on a number of factors:

Participation in goal setting
Receipt of performance feedback Supportive communications with immediate supervisors and upper management Procedural justice in performance-appraisal decisions Evaluative and objective measures of performance


i. Employee input to decisions ii. Employee participation in problem-solving iii. Information sharing iv. Constructive feedback v. Teamwork and collaboration vi. Meaningful and challenging work vii. Employment security


Human Resources approach
Human Relations approach

High involvement approach


Management commitment
Long-term view

Supervisory support
Union support

Training & Development


How do organisations promote and support the commitment of its people? In "Built to Last" clearly demonstrated that, "Visionary companies pursue a cluster of objectives, of which making money is only one - and not necessarily the primary one, But they are equally guided by a core ideology. The crucial variable is not the content of a company's ideology, but how deeply it believes its ideology and how consistently it lives, breathes and expresses it in all that it does. This last point is the responsibility of the leader and is the essence of employee commitment.

Factors to be considered to measure the Employee commitment

Motivating Factors - those things that provide people with real motivation at work Satisfying Factors - those things that keep people happy

and satisfied at work

Leadership - how well the people are provided with

direction, leadership, and a sense of "team"

Customer Focus - how well the people are servicing and reaching customers (both external and internal)

Sources, Developing and Using application forms Internal :

Data bank Regular, Recommendations Employee referrals Internal candidates

Portals Manpower consultants Advertisements Campus recruitment Job fairs Head hunting

There are several basic types of resumes used to apply for job openings. Depending on your personal circumstances, choose a chronological, a functional, combination, or a targeted resume. A chronological resume starts by listing your work history, with the most recent position listed first. Your jobs are listed in reverse chronological order with your current, or most recent job, first. Employers typically prefer this type of resume because it's easy to see what jobs you have held and when you have worked at them. This type of resume works well for job seekers with a strong, solid work history.

A functional resume focuses on your skills and experience, rather than on your chronological work history. It is used most often by people who are changing careers or who have gaps in their employment history.
A combination resume lists your skills and experience first. Your employment history is listed next. With this type of resume you can highlight the skills you have that are relevant to the job you are applying for, and also provide the chronlogical work history that employers prefer.

A targeted resume is a resume that is customized so that it specifically highlights the experience and skills you have that are relevant to the job you are applying for. It definitely takes more work to write a targeted resume than to just click to apply with your existing resume. . A mini resume contains a brief summary of your career highlights, qualifications. It can be used for networking purposes or shared upon request from a prospective employer or reference writer who may want an overview of your accomplishments, rather than a full length resume.

Seven key elements to prepare resume

1. HEADING. A heading should include your name, address and home and office telephone number. Placement of the heading (lefthand side, centered or right-hand side) is a personal preference. 2. OBJECTIVE. The objective should include what you expect to do, your strengths, and the results you plan on producing. 3. EDUCATION. The highest level degree should be listed first, then indicate your course of study/major, name of school and date degree was obtained. After this, you can list any prior degrees that you obtained.

4. SKILLS AND ABILITIES. This area focuses on accomplishments. All accomplishments should support the objective. When listing accomplishments, you should identify the situation, use action verbs to define what you did, list what resulted and state the significance in quantifiable terms.

5.listed on a separate sheet. Prior to using someone as a reference, you should get their permission. Be sure the pertinent information WORK HISTORY. This section should include the title of the position you held, the name company, location (city and state), years employed and a brief description of the position. Give the broad aspects of your position, the details can be discussed in an interview. Under no circumstances should you falsify information. 6.PROFESSIONAL. This section may list professional organizations in which you have been affiliated. It is recommended you leave out information related to religious or political affiliation or conversational activities.
7.REFERENCES. References should not be listed on your resume. You can, however, indicate that references are available upon request. You should have references (address and telephone number) is correct.

Some tips to prepare resume

Be sure your resume has a professional appearance. It is fine to be creative when developing your resume, but be sure the final product is professional. Avoid flashy colored paper, pictures, etc. White and cream colored paper and the most

Keep your resume to one or two pages in length. Make your resume easy to read. Use on-inch margins on the top, bottom, and sides of resume.

Keep your resume clear and concise. -Do not misspell words. -Use proper grammar. -Use everyday language. -Avoid acronyms. All tenses should agree. (Present experiences should be described in the present tense, and past experience should be described in the past tense.) -Capitalize section headings. -Keep sentences short under 12 words. -Do not write in paragraphs. Be honest. Do not exaggerate. -Single space within sections. Double space between sections. Format your resume according to strengths. Start with a career objective first, and make it specific. Follow with the skills or accomplishments that strengthen your qualifications. Be consistent with the format. Arrange your resume on chronological order by listing experiences and education in date order, beginning with the most recent and working backwards.

Outline work experience. Work experience can be paid on nonpaid. Remember to include volunteer experience. Identifying these activities will enhance your resume. List all work responsibilities. Look at each responsibility, describe the tasks performed, the problems you had, how you solved them and the outcome. It is very important to quantify wherever possible. Give examples. For greater emphasis on skills and/or accomplishments, summarize them up front. Edit your resume many times to make it as effective as possible. Use a dictionary and thesaurus to improve word choice Have someone else proofread your resume. Produce your resume in a manner that can be easily changed.

Online recruitment
Tools ,techniques and challenges HR Trends Candidates want an individual relationship with the employer. Common to hear about the skills shortage Huge growth seen the last 5 years around online recruitment tools for candidates Recruitment is now about customer relationship management It is still a war for talent, people are using latest weapons It is a "zero sum" game between your company and everyone else competing for similar talent Up to 25% of existing eRecruitment vendors will be acquired or go out of business in the next 3 years.

Online Recruitment
The tools, techniques and challenges

HR trends
Candidates want an individual relationship with the employer Common to hear about the skills shortage Huge growth seen the last 5 years around online recruitment tools for candidates Recruitment is now about customer relationship management It is still a war for talent, and now the most advanced practices are the latest weapons Up to 25% of existing eRecruitment vendors will be acquired or go out of business in the next 3 years

Improve your online recruitment process

1. Think of the candidate when building your corporate careers site 2. Make your hiring process transparent 3. Ensure all job descriptions are consistent on the careers site, and on job boards if used 4. Ensure your careers site appears in search engine results for your company name and key products 5. Join social networking and start searching 6. Attend major business conferences with sales teams to attract and listen to potential candidates

Employee Testing & selection

Recruitment is defined as a process to discover the sources of manpower to meet the requirement of the staffing schedule and to employ effective measures for attracting that manpower in adequate numbers to facilitate effective selection of an efficient workforce Selection procedure is the system of functions and devices adopted in a given company to ascertain whether the candidates specifications and requirements are matched with the job specification and requirements or not.

Selection Process
Source Written Examination Preliminary Interview Group discussion Psychometric tests Final interview Functional manager & HR decision Management decision Reference check Medical examination Issue of offer letter

Constraints and Challenges for recruitment: Poor image Unattractive job Conservative internal policies Restrictive government policies

Basic testing Concepts

selection process involves applicant testing and the kinds of tests to use. A test is a standardised, objective measure of a persons behaviour, performance or attitude. It is standardised because the way the test is carried out, the environment in which the test is administered and the way the individual scores are calculated are uniformly applied. It is objective in that it tries to measure individual differences in a scientific way, giving very little room for individual bias and interpretation.

Types of tests
Intelligent tests - They measure the incumbents
learning ability and also the ability to understand instructions and make judgments. The basic objective of intelligence tests is to pick up employees who are alert and quick at learning things so that they can be offered adequate training to improve their skills for the benefit of the organisation. Intelligence tests do not measure any single trait, but rather several abilities such as memory, vocabulary, verbal fluency, numerical ability, perception, spatial visualisation, etc.

Types of tests
Aptitude tests - Aptitude tests measure an
individuals potential to learn certain skills clerical, mechanical, mathematical, etc. These tests indicate whether or not Employee Testing and Selection an individual has the ability to learn a given job quickly and efficiently. In order to recruit efficient office staff, aptitude tests are necessary. Clerical tests, for example, may measure the incumbents ability to take notes, perceive things correctly and quickly locate things, ensure proper movement of files

Types of tests
Personality tests - Personality tests are used to











behaviour, introversion, etc.

There are three types of PIP tests:

Projective tests, Interests tests, Preference tests

Achievement tests: Work sampling tests Simulation tests: Simulation activities Assessment center: Extension of work samples Examples of the simulated exercises based on real-life, included in a typical assessment centre are as follows: In basket exercise, leaderless group exercise, Business games, Individual presentation, structured interview

Graphology tests: Graphology involves using a trained evaluator to examine the lines, loops, hooks, strokes, curves and flourishes in a persons handwriting to assess the persons personality and emotional make-up. Polygraph (lie-detector) tests, Integrity tests

Selection techniques
Telephone interview Written test Group discussion Preliminary Interview Psychometric tests Final interview Cross functional interview Functional & HR manager decision Management descion

Common interviewing mistakes

i. Favour applicants who share his own attitudes; ii. Find it difficult to establish rapport with interviewees,

because he himself does not possess good interpersonal skills;

iii. Not be asking right questions and hence not getting relevant responses; iv. resort to snap judgements, making a decision as to the applicants suitability in the first few minutes of the interview.

Too often interviewers form an early impression and spend the

balance of the interview looking for evidence to support it;

v.May have forgotten much of the interviews content within minutes after its Conclusion; vi. May have allowed himself to be unduly influenced by associating a particular personality trait with a persons origin or cultural background and that kind of stereotyping/generalising ultimately determining the scores of a candidate (stereotyping). For example, he may feel that candidates from Bihar may find it difficult to read, write and speak English language and hence not select them at all! vii. May allow the ratings to be influenced by his own likes and dislikes (bias)

Designing & conducting the effective interview

Evaluation Termination Information Exchange Reception Preparation

Types of Interview
Non-directive interview Directive interview OR Structured Situational interview Stress interview Behavioural Interview Panel Interview

Small business applications, computer aided interview






Unit - III

Orientation & Training

Orientation or induction is the task of introducing the new employees to the organisation and its policies, procedures and rules. During this time, the new employee is provided with

information about the company, its history, its current

position, the benefits for which he is eligible, leave

rules, rest periods, etc.

Induction serves the following purpose

Removes the fear
Create good impression

Valuable sources of information

Steps in induction programme

i. Welcome to the organisation. ii. Explain about the company. iii. Show the location/department where the new recruit will work. iv. Give the companys manual to the new recruit. v. Provide details about various work groups and the extent of unionism within the company. vi. Give details about pay, benefits, holidays, leave, etc. Emphasise the importance of attendance or punctuality. vii. Explain about future training opportunities and career prospects. viii. Clarify doubts, by encouraging the employee to come out with questions. ix. Take the employee on a guided tour of buildings, facilities, etc. Hand him over to his supervisor.

Training process Principles behind the training process

Training efforts must invariably follow certain learning-oriented guidelines Modeling Copying - videotapes, case study etc. Motivation Reinforcement (Positive reinforcement consists
of rewarding desired behaviours)

Feedback Spaced practice (Duration) Whole training (Detailed &logical) Active practice(Practice makes a man perfect)

Training Need analysis Factors to be considered before TNA

Organisational analysis Organisational objectives Environment Organisational climate Resources Task Analysis or Role analysis Person Analysis

Job instruction training (preparation, presentation, performance try out and follow up) Coaching Mentoring

Mentoring Functions
Career functions: Career functions are those aspects of the relationship that enhance career advancement Sponsorship, Exposure, Coaching, Protection, Challenging assignments

Psychological functions: Psychological functions are

those aspects that enhance the mentees sense of competence, and identify effectiveness in a professional Role Role modeling Accepting and confirmation Counseling Friendship

Merits: There is an excellent opportunity to learn Constant guidance helps the mentee to be on track using facilities to good advantage Demerits: It may create feelings of jealousy among other workers who are not able to show equally good performance If mentors form overly strong bonds with trainees, unwarranted favoritism may result. This can have a demoralising effect on other workers, affecting their work performance in a negative way.

Job Rotation Apprenticeship Training Committee Assignments

Special purpose training

Vestibule training (actual work conditions are simulated) Role plays Lecture method Conference / Discussion approach Programmed instruction Training on internet - Self learning

Developing Managers
Management development is the process in which managers/executives acquire not only skills and

competencies in their present jobs but also capabilities

for future managerial tasks.

Executive Development
Executive or management development is a planned, systematic and continuous process of learning and growth by which managers develop their conceptual and analytical abilities to manage.

Features of Executive Development Programme

It is a planned effort to improve executives ability to handle a variety of assignments It is not a one-shot deal, but a continuous, ongoing activity It aims at improving the total personality of an executive It aims at meeting future needs unlike training, which seeks to meet current needs It is a long term process, as managers take time to acquire and improve their capabilities It is proactive in nature as it focuses attention on the present as well as future requirements of both the organisation and the individual.

Executive Development has become indispensable to modern organisations in view of the following reasons:

Executive Development is an invaluable investment in the

long run. It helps managers to acquire knowledge, skills

and abilities
Helps executives to realise their own career goals and aspirations in a planned way. The rich experience that they gain over a period of time would help them step into the shoes of their superiors.

Improves their analytical skills The special courses, projects, committee assignments, job rotation and other exercises help managers to have a

feel of how to discharge their duties without rubbing

people (subordinates, peers, superiors, competitors,

customers, etc.) the wrong way.


Steps in organising Executive Development Programme

Analysing the organisational objectives
Appraising the present management talent

Inventory of manpower
Planning individual development plan

Establishing development programmes


Decision-making skills (a) In-basket (b) Business game (c) Case study Interpersonal skills (a) Role play (b) Sensitivity training (c) Behaviour Modeling

Job knowledge

a) On-the-job experiences (b) Coaching

(c) Understudy Organisational knowledge (a) Job rotation (b) Multiple management General knowledge (a) Special courses (b) Special meetings (c) Specific readings Specific individual needs (a) Special projects (a) Special projects (b) Committee assignments

Other Off-the-Job Methods


Group Discussions

Programmed Instructions

Training Technique and Suitability

Job Rotation To develop diversified skills and broaden the outlook of an Executive Understudy To aid succession planning by developing the skills of juniors according to a pre-set plan

Multiple Management To assist managers in expanding their outlook and knowledge in various functional areas

Training Technique and Suitability

Case Study To develop analytical, reasoning and problem-solving skills Role Playing To translate theoretical knowledge into action plans and to promote good human relations skills among trainees Behaviour Modeling To teach inter-personnel and cognitive skills In-basket To promote situational judgement and social sensitivity

Training Technique and Suitability

Business Games To develop smart thinking, quick reactions, initiative, organising and leadership skills Sensitivity Training To promote self awareness and its impact on others Conference To improve and expand knowledge, attitudes and develop interpersonal skills Lecture To impart conceptual knowledge to a large audience within a short span of time.

Performance Evaluation or Appraisal is the process of deciding how employees do their jobs. Performance refers to the degree of accomplishment of the tasks that make up an individuals job. It indicates how well an individual is fulfilling the job requirements.

The appraisal is a systematic process involving three steps: a. Setting work standards. b. Assessing employee's actual performance relative to these standards. c. Offering feedback to the employee so that he can eliminate deficiencies and improve performance in course of time.

Features of Performance Appraisal System

Establishes a plan for further improvement Periodical it is a future oriented activity Is not job evaluation It forces managers to become coaches rather then judges Performance appraisal may be formal or informal. informal evaluation is more likely to be subjective and influenced by personal factors. The formal system is likely to be more fair and objective, since it is carried out in a systematic manner

Individual evaluation Multiple person evaluation 1. Confidential report 9. Ranking 2. Essay evaluation 10. Paired comparison 3. Critical incidents 11. Forced distribution 4. Checklists 5. Graphic rating scale 6. Behaviourally anchored rating scales 7. Forced choice method 8. MBO

Other methods 12. Group Appraisal 13. HRA 14. Assessment centre 15. Field review