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HUMAN RESOURCE MANAGEMENT

HUMAN RESOURCE MANAGEMENT


Course Objective : To ensure a clear understanding of

Personnel Policies and Practices in order to have maximum and effective utilization of human resources
Methodology : Interactive Lectures , Class Presentations ,

Assignments , Class Discussions , Role Plays , Exercises, Case Study etc


Sessions to be Covered : 14 Sessions Suggested Readings

Aswathappa Stephen Robbins P. Subba Rao Mammoria Dessler , Dr. S S Khanka

Magazines

Human Capital, Harvard Business Review Indian Journal for Training & Development

EVALUATION
Semester Exam Topics for Presentations Attendance Class participation

60 Marks 20 Marks 10 Marks 10

Marks

Presentation rules, topics and tentative dates will be given to CR of the class with groups.

Class Session 1---Human Resource Management


Outline Definition Meaning of HRM Objectives of HRM Functions of HRM Scope of HRM Role of HRM Challenges of HRM in Indian Economy / Modern

Management Relationship with other social sciences Approaches to HRM / Interdisciplinary approach

You can burn my factories and I will rebuild those, but take away my people and my company has nothing.

- Soichiro Honda
(Honda Motor Company)

You can get capital and erect buildings but it takes people to build business. - Thomas J Watson
(The Founder of IBM)

You can have the best strategies and the most forward looking vision, but unless you have the best people, you cannot translate your vision into a reality. -Kumar Mangalam Birla
(Chairman AV Birla Group)

SOME POINTS TO PONDER


An organization is only as good as its

people. Eg: Google, Taj Hotels, TATA


It is at the heart of the whole

management course. Because without it, you can never get anything else done.

Definition - Applicability

HRM is managing (planning, organizing directing and controlling) the function of employing, developing, compensating & utilizing human resources, resulting in the creation & development of human & industrial relations which would shape the future policies & practices of human resource management, with the view to contribute proportionately(due to them) to the individual, organizational and social goals. (P Subha Rao)

Meaning of HRM
In simple words, HRM is concerned

with people management- to select, to recruit, to train and develop individuals for the organizations they work for.

Trying to select right person, at the right

place for the right job.

Similar terms used for HRM


Personnel management

Personnel administration
Labour management Employment administration Industrial relations Human Capital Management

Human Asset Management


Human Resource Development

Scope of HRM
HR plannin g Industri al Relatio ns Job design & analysi s

Very Vast

Covers all major


Employ ee Hiring

HRM

Employee Maintenan ce Employe e Motivatio n

Employee & Executive Remunerati on

activities in the working life of a worker from time an individual enters into an organization until he or she leaves comes under the purview of HRM

SCOPE OF HRM
Activities
HR Planning
Job Analysis JD &JS- Eg: L & T infotech written &

specific JD Job Design eg- Bajaj Auto- job rotation and job enrichment
Employees Hiring --Recruitment & Selection
Orientation & Placement, Training & Development

Eg Nucor steel, team work practiced.

SCOPE OF HRM cont


Performance Appraisals, Job Evaluation

Eg- Bajaj Auto- 1-behaviour 2.on results, TCS Successful completion of projects
Employee and Executive Remuneration

Eg - Infosys prefers low base of salary & individual negotiation, Godrej Infotech salary structure is fixed + variable pay
Employee Maintenance Motivation, Communication

Eg : BPOs ,Reliance PLI for its employees with international consumers


Industrial Relations Welfare, Safety& Health

eg ONGC, M & M, Maruti & Suzuki

Differences between PM & HRM


Dimension 1. Employment Contract 2. Rules 3. 4. 5. Behaviour referent Managerial task Management Role Personnel Management Human Resources Management Careful delineation of written Aim to go beyond contract contracts Importance of guiding clear rules Can do outlook, impatience with rule Norms/customs/practices Values/mission Monitoring Transactional Nurturing Transformational leadership

6. Job design 7.
8. 9.

Division of labour Temporary settlement


Controlled access to courses Labour is treated as a tool which is replaceable Interests of the org. are uppermost

Team work Manage climate & culture


Learning organization People are treated as an asset to the organization Mutuality of interests

Conflict handling
T&D Respect for employees

10. Shared interests

HRM OBJECTIVES AND FUNCTIONS


Societal
Organizatio nal Functional

Personal objective

HRM OBJECTIVES & FUNCTIONS


HRM Objectives
Societal Objectives Reservation in Hiring Organizational Objectives

Supporting Functions
Legal Compliance Benefits Union Management Relations HRP Employee Relations

HUL - enabling Human Asset of the company to deliver outstanding business performance.

Selection Training and Development Appraisal Placement Assessment

Functional Objectives
Reliance KRA based on PMS & career mapping exercise, Personal Objectives Eg- Motorola a development

Appraisal
Placement Assessment Training and Development Appraisal, Placement, Compensation

HRM Objectives at Wipro


To respect the individual, as people are the

greatest assets To govern individual & company relationships with the highest standard of conduct & integrity. To be close to the customer through employees To achieve & maintain leadership in people management

Functions of HRM
Managerial functions Operative functions

Planning
Organizing Directing

Employment
HRD Compensation Human relations Industrial relations

Controlling

Managerial functions of HRM


Planning- formulating HR strategies, plan &

research about wage trends, labour market etc


Organizing- manpower and resources
Directing- motivating, commanding, leading &

activating people
Controlling to regulate the activities

Operative functions of HR
STAFFING Job analysis, HRP, Recruitment, Selection, Placement, Induction, Internal Mobility Competency profiling, Training and development, Performance & potential management, Career management, 360 degree feedback Job design, Work scheduling, Job evaluation, Compensation administration, Incentives and benefits

DEVELOPMENT

COMPENSATION & MOTIVATION

Operative functions of HR (contd.)


MAINTENANCE
Health, Safety, Welfare, Social security Employment relations, Grievance, Discipline, Trade unions, Participation, Collective bargaining HRIS(Human Resource Information System), HR audit, HR scorecard, International HRM, Workforce Diversity

INTEGRATION

EMERGING ISSUES

Role of HR Manager
Functional Role Service Role Spokesman Problem Solver

Change Agent

Role of HR Manager
Role of HR at TCS
Performan ce mgmt

Role of HR in Satyam computers


Resource Match Resources allocation

Allocatio ns to projects

The centre manager


Recruitme nt

Training/ career developm ent

Employee

development Employee retention

Evolution of HRM in India

Period
1920s -1930s

Development Status
Beginning

Outlook
Pragmatism of Capitalist Technical, legalistic Professional, Legalistic, Impersonal Philosophical

Emphasis
Statutory, Welfare, paternalism Introduction of Techniques Regulatory, Conforming, Standards on functions

Status
Clerical

1940s -1960s 1970s-1980s

Struggling for reorganization Achieving sophistication

Administration Managerial

1990s

Promising

Human values, productivity through people

Executive

source :- C.S.V.Ratnam & B.K. Srivastava, PM & HRM,p.5

Approaches to HRM Interdisciplinary Approaches

Systems approach to study HRM


Objectives & organization of HRM

Strategic HRM

Employment HRD Compensation mgmt Human Relations IR Recent trends in HRM

CHALLENGES OF HRM IN INDIAN ECONOMY / CHALLENGES OF MODERN MANAGEMENT


World becoming a Global Village eg-GE,

Ranbaxy, Glaxo, TCS


New Organizational Structures- Virtual ,

boundary less , flat , Wipro diversfication soaps,edible oils etc ; M&As


Diverse workforce- eg. Teenagers, Nuclear

families, working mothers etc; Gen Y

CHALLENGES OF HRM IN INDIAN ECONOMY / CHALLENGES OF MODERN MANAGEMENT


Change in Employee Expectations-

more of benefits People Focus concept of flexi time, TCS joined Tata Mgmt Training Center for balance scorecard & other systems like PMS Employee Engagement Eg: Sun Microsystem, M & M Attrition Eg: BPO, IT industries

Summary
No computer can substitute human brain, no

machines can run without human intervention & no organization can exist if it cannot serve peoples needs.
HRM is a study about the people in the

organization-how they are hired, trained, compensated, motivated & maintained.