You are on page 1of 90

People management function A broad

perspective
Context of the HR function
Overview of HRM and its role in the global
scenario
Meeting Human Resource Requirements
Talent Planning- Identifying roles,
responsibilities,
Talent Accessing
Induction & Placement - Creating the most conductive
environment
for the talent management

Employee Development
Performance Management and Career planning
To understand the role of managing Human
Resources to maintain an environmentally
sustainable business
To introduce the key activities associated
with the Human Resource Management
function.
1
ION
QUIZ 3 AT
NT
15% SE 10%
RE
P
PRESENTATION 2
QUIZ 2 10% 15%

QUIZ 1
10% END TERM
EXAM
40%
People in an organisation are
THE most important
resource, since it is THEY
who make or utilise the other
resources for the success of
the organisation.
" Successful corporate leaders recognise that their
competitive edge in today's market place is their people.
They also acknowledge that few organisations know
how to manage Human Resources effectively, primarily
because traditional management models are
inappropriate in our dynamic work environment. "
These systems operate throughout an employee's
membership of the Company, starting from the system of
Entry ( Recruitment and Selection ) through the
management of employment relationships (Rewards,
appraisal development, industrial relations, grievances and
discipline ) ; finishing with the These systems termination
of the relationship ( Retirement, resignation, redundancy
and dismissal ).
Identify the company Goal, Vision,
Mission, Strategy in line with their values
and culture

Create a work force to meet customer


needs and other environmental
expectations

Create a sustainability culture through


policies and practises which promote a
transitio Tr
n an
Mature Contribution sf
or
Self Discovery m
at
io
io

n
sit
n

80s 90s
tra
n

Leadership
Peripheral

n
io
2000s

at
60s/70s

m
or
sf
an
Tr
Re- Discover

2020s
Target Focal roles Skills
Audience
Peripheral Workers/ Record Keeper Labour Laws
Supervisors Controller Disciplinary
Industrial Sensitivity Training
Relations

Self Jr. Trainer Training


Discovery Management/ System Builder Motivational
Professionals Facilitator Counseling
MBO

Mature Sr. Managers / Process Organisation


Contribution Middle Facilitator Development
Management Service Leveraging IT
Provider Global HR
Diagnostics Outplacement
Restructuring Quality
Target audience Focal Roles Skills

Leadership Top management Innovation Business


External Audience Partnership Strategic
Partners Anticipation Networking

Re- Service Providers Network ROI


Discovery Partners manager Human Capital
Contingent workforce Q.A. Valuation
High networth Need analyst Coaching
individuals Strategist Coach Specialist Service
Manufacturing Service
Brawn Work Brain Work
Individual Brilliance Group Excellence
Restricted Markets Global Markets
Financial Capital Intellectual Capital
Operational Strategic partner
Reactive Proactive
Activity focus Solution focus
Short term Long term
Dictator Mentor
The need / Necessity
Scale of Activity
Competitive Pressures
Technology as a Driver
Service Orientation
Enlarging Aspirations
Managing Heterogenity
Environmental
sustainability
FUTUREWISE.

Issues before the


Individual
Working across cultures
Mobile homes
Meeting technological
changes
Thinking laterally
Prioritizing
life,relationships
Living by own values
Setting pace for oneself to
Specialist Generalist
Policy and procedure writer A good communicator
Current focus Current and future focus
Speaks HR-ese Speaks the language of business
Management-hierarchy focused Customer-
focused, good customer relations skills
Few financial/marketing skills Understanding
finance/marketing aspects of business
Stays within the box Thinks outside the box
Administrator Facilitator for better
environmental management
Factual communicator Mentor
A nationalist An Global worker for business
sustainability
Copyright 2007 Thomson South-
118 Western. All rights reserved.
Strategic issues in Corporate Sustainability

Managers need to think strategically and in futuristic terms


Taking calculated risks
Balancing between goal orientedness and flexibility
Emphasizing on detailed planning and foster implementation
Balancing between outsourcing and maintaining core competencies

Human Resource All rights reserved


Management Oxford
Globalisation
Corporate re-organisation
Managing change - New Organisations forms
Embracing new technology and processes for creating a sustainable
business
Responding to the changing markets
Changing demographics and quality of work force
Changed employee expectations
New Industrial Relations approach with a renewed focus on people
Managing talent or Human Capital to align to the goals of the business
Containing costs
STAFFING
1. Strategic Human Resource
Planning.
2. Talent accessing
3. Selection
MAINTENANCE TRAINING & DEVELOPMENT
1.Safety & Health HRM 1.Orientation
2.Employee training
2.Communication GOALS
3.Employee Relations 3.Employee Development
4.Career development
MOTIVATION

1.Motivation theories & Job design


2.Performance appraisal
3.Rewards & Compensation
4.Employee benefits

ROLE OF HRM
CULTURA

E TECHNOLOGICAL
L I
UNION
X S N
T T
E E
R ECONOMI ORGANISATION R
AL
N C CULTURE &
N
A CONFLICT A
L L
POLITICAL - PROFESSIONALI
LEGAL SM

HRM AND ITS


Linking HRM with strategic goals and
objectives to improve business
performance and develop organizational
cultures fostering innovation and flexibility.
Defines the organisations intentions and
plans on how its business goals should be
achieved through people.
n
tio
ni
efi
D

Strategy is deciding where to go


and the means to get there.
Strategy is a declaration of
intent.
External Formulate Business Internal
environment Strategy Strengths &
Weaknesses

Identify Employee Competencies


and Behaviors that HR must
deliver to achieve the strategy

Formulate HR Policies & Activities that will lead


to these Employee Competencies and Behaviors
Because an organization must have
people who are involved in the
development of the business strategy,
understand it, are committed to it, and
can make a contribution to its success

04/27/17 TE Murphy 27
There are three levels
of strategic planning -

Corporate
Strategy

Business Business Business


Strategy Strategy Strategy

Functional
Strategies
Corporate-level strategy
Identifiesthe portfolio of businesses
that, in total, comprise the company
and the ways in which these businesses
relate to each other.
Diversification strategy
Vertical integration strategy
Consolidation strategy
Geographic expansion strategy
Business-level/competitive strategy
Identifies
how to build and strengthen the
businesss long-term competitive position
in the marketplace.
Cost leadership
Differentiation
Focus
Functional strategies
Identify
the basic courses of action
that each department will pursue in
order to help the business attain its
competitive goals.
It is how an organization uses
its people to help form and
execute its business strategy
BUSINESS MASTERY
Business acumen
Customer orientation
External relations

HR MASTERY CHANGE MASTERY


Knowledge of policies Problem solving skills

and mastery of practice Innovation &

in HR systems Creativity
PERSONAL CREDIBILITY
Trust
Courage
Lived values
It is the use of HRM policies to promote
the sustainable use of resources within
organisations and more generally
promotes the causes of environment
sustainability

Marhatta & Adhikari


-
Cultural
Organizational
Policies and Practices
Recruitment and Selection
Training and Development
Performance Management
Reward System

04/27/17 TE Murphy 35
Includes the estimation of how
many qualified people are necessary
to carry out the assigned activities,
how many people will be available
and what, if any thing must be done
to ensure that personnel supply
equals personnel demand at the
appropriate point in the future.
Process of anticipating and making
provision for the movement (flow) of
people into, within, and out of an
organization.
Planning so that the organization has the
right number of people, right kind of
people, at the right time, in the right
place.
Organisational expansion &
diversification
Improves business planning
Input to strategic planning
Handle technological / Social
Changes
Helps prepare people for the
future
Helps evaluate effects of HR
policies and functions
Helps build a reservoir of
talent
2007 Thomson/South-
240
Western. All rights reserved.
This requires converting an HR plan into action. We do it
by :

Recruitment, Selection & Placement


Training & Development
Retraining & Redeployment
Retention planning
Downsizing planning
Control and evaluation
ORGANISATIONAL ENVIRONMENTAL
Uncertainties
Growth Plans/ Strategies Government Policies/
Legislations
Culture
Demographic trends
Resources and competencies
Technologies
available
Economic factors
Strengths
Composition
Competition
of Human Capital
PHASE 1
Investigating : Gathering & analysing data from
external/internal environment in order to establish HR
objectives
PHASE II
Forecasting : Establishing forecast for HR supply & demand
Phase III
Planning/Implementing : Designing & implementing plans
and action programs that will enable the organisation to
achieve the established HR objectives
Phase IV
Evaluating
Scanning &
Monitoring
of
Environment Forecasting
Demand &
Organisation
Supply of HR
Strategy &
Goals
Developing HR
Plans and
Programs
Environmental Scanning
Thesystematic monitoring of the
major external forces influencing the
organization.
Economic factors
Competitive trends
Technological changes
Political and legislative issues
Demographic trends
Culture Audit in Values, Beliefs and Attitude
Audits of the culture and quality of work life in an
organization.
Competencies People as a Strategic
Resource
Identifying the Core Competencies of the organistaion

Compositons The Human Capital


Architecture
Identifying the composition of the work force of the
organistaion
FORECASTING
FORECASTINGDEMAND
DEMAND BALANCING
BALANCING
Considerations
Considerations Techniques
Techniques SUPPLY
SUPPLYAND
AND
Technology Trend DEMAND
DEMAND
Technology Trendanalysis
analysis
Financial resources Managerial
Financialresources Managerial (Shortage)
(Shortage)
Organizational estimates Recruitment
Organizationalgrowth
growth estimates Recruitment
Mgmt. Delphi
Delphitechnique Full-time
Full-time/ /Part-time
Mgmt.philosophy
philosophy technique Part-time
Contractual
Contractual
Techniques
Techniques Considerations
Considerations
HR Workforce (Surplus)
(Surplus)Reductions
HRinventories
inventories Workforce Reductions
Markov changes Layoffs
Markovanalysis
analysis changes Layoffs
Skill Mobility Terminations
Skillinventories
inventories Mobility Terminations
Replacement Govt
Govtpolicies Demotions
Replacementcharts
charts policies Demotions
Succession Unemployment Retirements
SuccessionPlanning
Planning Unemployment Retirements

FORECASTING
FORECASTINGSUPPLY
SUPPLY
Top-management support
Active involvement of line
managers and co-ordination
between line managers and HR
function.
An excellent up-to-date HRIS
Periodic review and revision of the
forecasting techniques and the
forecasts
Without long range planning
concentration becomes focused on
Quantitative
Quantitative
Methods
Methods

Forecasting
Forecasting Demand
Demand

Qualitative
Qualitative Methods
Methods
DELPHI
MANAGERIAL
TECHNIQUES
JUDGEMENT

WORK STUDY RATIO-TREND


TECHNIQUES ANALYSIS
Managers estimate future human resources
requirements using their experience and
judgments to good effect

Simplest way
Based on managerial judgement
Managers / Supervisors give their
requirements. Can be a bottoms up or
top-down approach
None of these processes are accurate
Most suitable for small organsiatons
The opinions (judgments) of
supervisors, department
managers, experts, or others
knowledgeable about the
organizations future
employment needs.
HR needs can be estimated by examining
past trends. Past rates of change can be
projected into the future or employment
growth can be estimated by its
relationship with a particular index
This is the quickest forecasting technique
Study the ratio of personnel to sales of
the organization
Then forecast future ratios making some
allowances for changes in the
organization or processes
Trend Analysis

Forecasting labor demand based on


an organizational index that best
predicts human resource needs and
projects human resource demand out
to the target year(s).
BUSINESS
FACTOR
LABOR
PRODTY
= HR
DEMAND
YEAR (SALES IN 000) (SALES/EMPLOYEE) (NO. OF EMPLOYEES)

2001 Rs. 3,306 10.02 330


2002 Rs. 3,613 11.12 325
2003 Rs. 3,748 11.12 337
2004 Rs. 3,880 12.52 310
2005 Rs. 4,095 12.52 327
2006 Rs. 4,283 12.52 342
2007* Rs. 4,500 12.52 360
2008* Rs. 5,000 13.00 385 *Projected figures
Used when it is possible to apply work measurement to
calculate the length of operations and the amount of
labour required. e.g. Volume of output vs. output per
productive hour from where we derive number of people
required taking into account absenteeism , machine down
time, etc.
Workstudy techniques for directworkers can be combined
with Ratio Trend Analysis to forecaset for indirect workers,
establishing the ratio between the two categories.
e.g. Planned outpur for year 20,000 units
Standard hrs/unit 5 hours
Planned hours for the year 100000
Productive hrs/person year(allowing for machine
breakdown, absenteeism, etc 2000
Therefore, number of direct workers 50 {Planned hours
divided by Productive hours per person}
An attempt to decrease the
subjectivity of forecasts by
soliciting and summarizing the
judgments of a preselected
group of individuals.

The
final forecast represents a
composite group judgment.
It solicits estimates of personnel needs from
a group of experts, usually managers
The HR personnel act as intermediaries,
summarises the varous response and reports
the finding s back to the experts
The experts opinions are surveyed again
after they receive this feedback. Summaries
and surveys re repeated ntil the experts
opinion begin to agree
The agreement reached is the forecast of the
personnel needs
The distinguishing feature of the Delphi
Technique is the absence of interaction
among experts
Skill Inventories
Markov Analysis
Replacement Charts
Succession Planning
Skill Inventories & Qualification
Inventories
Files of personnel education, experience,
interests, skills, etc., that allow managers
to quickly match job openings with
employee backgrounds.
Markov Analysis
A method for tracking the pattern of
employee movements through various
jobs.
Replacement Charts
Listings of current jobholders and
persons who are potential replacements
if an opening occurs.
Succession Planning
The process of identifying, developing,
and tracking key individuals for
executive positions.
Sources of External Labor Supply

Fresh output of Experienced


the educational people in other
system organisations
In Similar industries
In Dissimilar
industries
Factors Influencing the External
Labor Supply:
Demographic changes in the population
National and regional economics
Education level of the workforce
Demand for specific employee skills
Population mobility
Governmental policies
Balancing supply
and demand
Acquisition of personnel
Effective Utilization
redeployment
methods improvement
training to prevent obsolescence
Development and Improvement
training and development
performance management systems
Retention
proper remuneration
long-term career planning
healthy employee relations
good working environment
Not all the methods are appropriate for all
organizations. The HR practitioner must make
choices about which methods suit the
organization. The following factors should be
considered:
Stability and certainty
Availability of data
Number of employees
Resources available
Time horizon
Credibility to management
the process of
studying and
collecting information
relating to the
operations and
responsibilities of a
specific job. The
immediate products of
this analysis are job
It is the process of gathering job
information by breaking the job down
into its component elements.
OBJECTIVE: to identify
tasks and responsibilities the job
consists of
knowledge, skills & abilities required

environmental conditions surrounding

the job.
A process of Obtaining all pertinent job facts

Job Title Education


Supervision Experience/Training
(Given/Received) Judgment
Location Initiative
Job Summary Physical effort
Duties/Responsibilities Communication Skills
Machinery / Tools/ Unusual Sensory
Equipment used Demands
Working Conditions -Sights/Smell/Hear
Hazards Emotional Characteristics

JOB ANALYSIS
STRATEGIC CHOICES

GATHER INFORMATION
USES OF JOB DESCRIPTION
AND JOB SPECIFICATION

HUMAN RESOURCE PLANNING


PROCESS INFORMATION PERFORMANCE APPRAISAL
HIRING
TRAINING & DEVELOPMENT
JOB EVALUATION &
JOB DESCRIPTION COMPENSATION
HEALTH & SAFETY
EMPLOYEE DISCIPLINE
WORK SCHEDULING
JOB SPECIFICATION CAREER PLANNING

PROCESS OF JOB ANALYSIS


Job
JobRequirements
Requirements

Recruitment
Recruitment Determine
Determinerecruitment
recruitmentqualifications
qualifications

Provide
Providejob
jobduties
dutiesand
andjob
job
Selection
Selection specifications for selection process
specifications for selection process

Performance
Performance Provide
Provideperformance
performancecriteria
criteriafor
for
Appraisal evaluating employees
evaluating employees
Appraisal

Training
Trainingand
and Determine
Determinetraining
trainingneeds
needsand
anddevelop
develop
Development instructional programs
instructional programs
Development

Compensation
Compensation Provide
Providebasis
basisfor
fordetermining
determining
Management employees
employees rateof
rate ofpay
pay
Management
Nature of: Basis for:
Job Analysis
What
Whatemployee
employeedoes
does
Why
Whyemployee
employeedoes
doesitit Determining
Determiningjob
jobrequirements
requirements
How
Howemployee
employeedoes
doesitit

Job Description
Summary Employee
Employeeorientation
Summarystatement
statementofofthe
thejob
job orientation
List Employee
Employeeinstruction
Listof
ofessential
essentialfunctions
functionsofofthe
the instruction
job
job Disciplinary
Disciplinaryaction
action

Job Specification
Personal Recruitment
Personalqualifications
qualificationsrequired
required Recruitment
in
interms
termsof
ofskills,
skills,education
educationand
and Selection
Selection
experience
experience Development
Development
is a conscious effort to organise tasks,
duties and responsibilities into a unit of
work to achieve a certain objective. It is an
out growth of job analysis that improves
jobs through technological and human
considerations in order to enhance
organisation efficiency and employee job
satisfaction
Job design is a process that attempts to
satisfy both technological and human
considerations simultaneously.
Job-Based Approaches
Specialisation & Standardisation
Operations and production management
Person-based Approaches
Job enlargement
Job enrichment
Job rotation
Team-based Approaches
Sociotechnical enrichment
Quality systems/circles
Rearrange
existing tasks in
the job Add new
Add new tasks responsibility

Include THE JOB Include


work done work done
AND ITS
before the after the
job
TASKS job
Increase Increase closure
feedback on of tasks
performance Eliminate
dissatisfying
tasks from job
HR Planning Macro

Job Design Micro

Job Analysis

Job Description Job Specification

Other HRM Activities


(Recruitment, Selection, Performance
appraisal, Training, Compensation)

Productivity, QWL,
Legal Compliance
ROLE ANALYSIS

Job = List
Role Analysis of duties
= Job + Relationship

PURCHASE MANAGER

Maintaining
Quality Control Finance
Monitor

Suppliers
Budgeting
Review
HR

Production
Buying Raw Material Supervising Juniors
Transport Logistics
ROLE ANALYSIS WILL CONSIST OF

Patterns of expected Sentiments of an


Interactions
Behaviour Individual
BENEFITS OF ROLE ANALYSIS

Leads to role clarity since it indicates -

Those functions that require priority attention

The critical functions that are relevant at present and

also in the future

Can indicate what the job contributes to the

organization
Describing a job in terms of the
measurable, observable, behavioural
competencies an employee must exhibit
to do a job.
Traditional Job analysis focuses on
what is accomplished on duties and
responsibilities. More job focused.

Competency analysis focuses on


how the worker meets the jobs
objectives or actually accomplishes the
work. More worker focused and what
he/she be competent to do
TRADITIONAL JOB ANALYSIS vs COMPETENCY APPROACH

JOB ANALYSIS LEADS TO COMPETENCY MODEL LEADS TO

Long lists of tasks and the skills / A Distilled set of underlying personal

knowledge required to perform each characteristics


of those tasks
Data generation from outstanding
Data generation from subject performers in addition to subject matter
matter experts; job incumbents experts and other job incumbents

Effective Performance Outstanding Performance

Traditional Job analysis focuses on Competency analysis focuses on


WHAT is accomplished on duties and HOW the worker meets the jobs objectives or
responsibilities. More job focused. actually accomplishes the work. More worker
focused and what he/she be competent to do
COMPETENCIES ARE

Demonstrable characteristics of the person that enables performance.

Job competencies are always observable and measurable behaviours


comprising part of a job.
Support from Top Management
Single means and source
No training or motivation
Activities may be
distorted
Flexibility