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Chapter 4 : Human Resource Management aspects of Food Industry

Introduction
Human resource management in food

industry is concerned with managing human resources. It focuses on the effective use of human resources of an organization. It is concerned with the development of a highly motivated and smoothly functioning work force. Definition : Human resource management is the process of developing, applying and evaluating the policies, procedures,

HRM areas in food sector


A new set of essential skills is on the horizon for

the food processing industry. As technology becomes more sophisticated, the need for workers with an educational/technical knowledgebase is anticipated to increase. There is currently limited industry marketing and promotion of the food processing industry with respect to specific job opportunities.

Retaining It is imperative

that retention become a key mandate of food processing industries.

Attrition is a general

decline in the workforce due to retirement or resignation.

Employee Training
Common standards for key positions

Improving the knowledgebase


Advancing the industrys competitiveness Conduct a series of workshops, open forums, and

other research efforts including food processors in differing regions Discuss related market information which may help companies expand and grow their businesses. Identify harmonized training standards Improve communication of regulatory issues

Human resource planning: Human resource planning is the process of determining manpower requirements of an organization for achieving the organizational goals

Staff recruitment:

Recruitment is a process of identifying sources of human forces and motivating them to apply for a particular job (or jobs) in an organization.

Staff selection: Selection is the process of choosing the most suitable candidates from among the applicants

Staff placement: Placement refers to induction of individuals and assigning of responsibility with reference to particular job.

Staff remuneration:

Remuneration consists of wages, salaries, commissions and bonuses paid to employees as compensation for their service.

The common practices

(i) Bonus on profits


(ii) Benefits of conveyance, house, electricity etc. (iii) Membership of clubs. (iv) Rights to buy shares of the company at

advantageous price. (v) Medical aid. (vi) Pension, gratuity and other deferred fringe payment.

Staff promotion: Promotion

means uplift of an employee to a senior position with better pay, better service condition, higher power, greater status and prestige

Staff motivation: Motivation is an inner

psychological force that activates and compels employees to behave in a particular manner.

Staff transfer: Transfer is the movement of an

employee from one job to another (or from one office to other) without any increase in pay, responsibility and status. Usually, transfer takes place between jobs (or offices) paying approximately the same salary to employees. A transfer may take place either at the intention of the employer or at the request of the employee concerned.

Staff appraisal: Performance appraisal

is a systematic way of judging the ability of an employee in performing his tasks. It is a process of evaluating the performance of an employee on a given job and his potential for future development.

Staff dismissal: Dismissal refers to the

termination of service of an employee It can be (a)Suspension (i.e., disciplinary action against an employee); (b) Discharge (i.e., permanent loss of job of an employee); (c) Lay-off (i.e., termination of service of an employee when there is no work in an organization).

Staff leadership: Staff leadership is the process of influencing the behavior of employees to work willingly towards the achievement of specified organizational goals.

Labor safety and welfare: A better work environment is to be provided to the workers in the following ways:

ventilation of fresh air ; light and drinking water ; Rooms, staircases and passages should be kept clean; Provision for extinguishing fire; Prevention of accidents, etc. Workers should also be provided with adequate welfare facilities,

such as, Medical facilities, Employees State Insurance, Pension, gratuity and other postretirement benefits, Canteen facilities, Recreational facilities, etc.

Industrial relation: It covers all sorts of

relationship that an organization must maintain for its smooth functioning.


Staff maintenance: Safety aspect Health aspect Welfare aspect

labor regulation
Agreement: agreement is the basis for employment

relation and this automatically excludes forced labor from the ambit of employment relations. Personal performance of work: the employee is committing him/her/self to render personal service for the benefit of the employer. Duration of employment: a contract of employment could be entered into either for definite period (for six months, for one year etc), or for indefinite period (i.e. for the life of the company), or for a specific assignment Employment security: Employees are at liberty to terminate the job with or without any cause, provided that they produce prior notice. Normal Working hours: -normal hours of work shall not exceed eight hours a day or forty eight hours a week