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Fundamentals of Human Resources

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Introduce yourself 4

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Department in which you work



An achievement your are proud of

Answer One of the following questions:

What questions about Fundamentals of HRM do you have?
What do you want out of this program?
Have you been to previous HRM training? Comments?

Chapter One: Introduction to HRM

Chapter Two: Strategic Human Resources Planning
Chapter Three: Recruitment and Selection
Chapter Four: Jobs
Chapter Five: Training and Development
Chapter Six: Performance Management and Appraisal
Chapter Seven: Compensations
Chapter Eight: Employees Relations
Training Materials
Chapter One
Introduction to HRM

The practice of human resource

management (HRM) is concerned
with all aspects of how people are
employed and managed in the
Human Resources Management

Managers must find ways to get the highest level

of contribution from their workers. And they will
not be able to do that unless they
are aware of the many ways that their under-
standing of diversity relates to how well, or how
poorly, people contribute.
HR Department Organizational Chart
Businesses look both internally and externally
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Human Resource Management is a series of

integrated decisions that form the employment
relationship; their quality contributes to the
ability of the organizations and the employees
to achieve their objectives.

Human Resource Management The process of

attracting, developing and maintaining a
talented and energetic workforce to support
organizational mission, objectives and
Human Resources Management

Human Resources (HR) Management

The management function devoted to acquiring, training,
appraising, and compensating employees.

Strategic Human Resource Management

The linking of the human resource function with the
companys strategies to accomplish that strategy.
Human Resources Management
Case Study
Human Resources Management Processes
Cooperation of HR with Operating
HR Unit Managers
Develops legal, effective Advise HR of job openings
interviewing techniques Decide whether to do own final
Trains managers in conducting interviewing
selection interviews Receive interview training from HR
Conducts interviews and testing unit
Sends top three applicants to Do final interviewing and hiring
managers for final review where appropriate
Checks references Review reference information
Does final interviewing and hiring Provide feedback to HR unit on
for certain job classifications hiring/rejection decisions
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Changing Roles of HR Management

Note: Example percentages are based on various surveys.
Human Resources and Change
It is generally much easier to kill an organization
than change it substantially.

Kevin Kelly, Out of Control
Human Resources and Change

So where to start? Who can make THE difference,

who really has POWER, who must change FIRST
and WHY
Chapter Two
Strategic Human Resources Planning
HR Planning Process
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HR Planning Process

HR Strategies
The means used to anticipate and manage the
supply of and demand for human resources.
Provide overall direction for the way in which HR
activities will be developed and managed.
Strategic Plan

Human Resources
Strategic Plan

HR Activities
Scanning the External Environment

Environmental Scanning
The process of studying the environment of the
organization to pinpoint opportunities and threats.
Environment Changes Impacting HR
Governmental regulations
Economic conditions
Geographic and competitive concerns
Workforce composition
Internal Assessment of the Organizational
Auditing Jobs and Skills
What jobs exist now?
How many individuals are performing each job?
How essential is each job?
What jobs will be needed to implement future
organizational strategies?
What are the characteristics of anticipated jobs?
Internal Assessment of the Organizational
Organizational Capabilities Inventory
HRIS databasessources of information about
employees knowledge, skills, and abilities (KSAs)
Components of an organizational capabilities
Workforce and individual demographics
Individual employee career progression
Individual job performance data
Forecasting HR Supply and Demand

The use of information from the past and present to
identify expected future conditions.
Forecasting Methods
Estimatesasking managers opinions, top-down or bottom-up
Rules of thumbusing general guidelines
Delphi techniqueasking a group of experts
Nominal groupsreaching a group consensus in open discussion
Forecasting HR Supply and Demand

Forecasting Methods (contd)

Statistical regression analysis
Simulation models
Productivity ratiosunits produced per employee
Staffing ratiosestimates of indirect labor needs
Forecasting Periods
Short-termless than one year
Intermediateup to five years
Long-rangemore than five years
Human Resource Management System
An integrated system providing information used by HR
management in decision making.
Purposes (Benefits) of HRMS
Administrative and operational efficiency in compiling HR
Availability of data for effective HR strategic planning
HR Workflow: increased access to HR information
Designing and Implementing an HRIS

HRIS Design Issues

What information available and what is information
To what uses will the information be put?
What output format compatibility with other systems
is required?
Who will be allowed to access to the information?
When and how often will the information be needed?
Accessing the HRIS

An organizational (internal) network that operates over the Internet.
An Internet-linked network that allows employees access to information
provided by external entities.
Web-based HRIS Uses
Bulletin boards
Data access
Employee self-service
Extended linkage
Chapter Three
Recruitment and Selection
Recruitment and Selection

is the process of generating a pool of capable people to
apply for employment to an organization.
is the process by which managers and others use specific
instruments to choose from a pool of applicants a
person or persons most likely to succeed in the job(s),
given management goals and legal requirements.
Differentiation between recruitment and
Recruitment Selection
1. It the process of searching the candidates for It Involves the series of steps by which the
employment and stimulating them to apply candidates are screened for choosing the most
for jobs in the organization. suitable persons for vacant posts.
2. The basic purpose of recruitments is to create The basic purpose of selection process is to choose
a talent pool of candidates to enable the the right candidate to fill the various positions in
selection of best candidates for the the organization.
organization, by attracting more and more
employees to apply in the organization.
3. Recruitment is a positive process i.e. Selection is a negative process as it involves
encouraging more and more employees to rejection of the unsuitable candidates.
apply .
4. Recruitment is concerned with tapping the Selection is concerned with selecting the most
sources of human resources. suitable candidate through various interviews
and tests.
5. There is no contract of recruitment Selection results in a contract of service between
established in recruitment the employer and the selected employee.
Recruitment Needs Are Of Three Types

the needs arising from changes in organization and
retirement policy.
Anticipated needs are those movements in personnel,
which an organization can predict by studying trends in
internal and external environment.
Resignation, deaths, accidents, illness give rise to
unexpected needs.
Recruitment Process

Prepare job Conducting

Identify description Advertising Arrange interview
the Short-listing
vacancy and person the vacancy interviews and decision
specification making
Job analysis


Application form

Written examination

Selection Process Flowchart Preliminary interview


Medical examination

Reference checks

Line managers decision
Recruiting Evaluation Pyramid
HR Responsibilities

Planning and Recruitment
HR Responsibilities

Sources of Recruitment
External Recruitment

1. Advertisements : a popular method of seeking recruits

as many recruiters prefer advertisements because of
their wide reach. Advertisement in local or national
newspapers and trade and professional journals

2. Educational Institutions : Direct recruitment from

educational institutions for jobs which require technical
or professional qualifications has become a common
External Recruitment

3. Professional or Trade Associations :These services may

consist of compiling job seeker's lists and providing
access to members during regional or national
conventions. Further, many associations publish or
sponsor trade journals or magazines for their members.

What else??
Internal Recruitment

1. A promotion is the transfer of an employee to a

job that pays more money or one that enjoys
some preferred status. A promotion involves
reassignment of an employee to a position having
higher pay, increased responsibilities, more
privileges, increased benefits and greater
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