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MASTERS IN CONSTRUCTION

MANAGEMENT
MCW 1233
Human Resources Management in construction
Perspectives in Human Resource Management

Introduction
Human resources are the total knowledge, talents and aptitudes of an organisation as well as the values, attitudes, approaches and beliefs of
the individuals involved in the affairs of the organisation. It is the sum total of the inherent abilities, acquired knowledge and skills
represented by the talents and aptitudes of the persons employed in an organisation.

Evolution Of Human Resource Management


• Period of industrial revolution (1750 to 1850) – Industrial revolution marked the conversion of economy from agriculture based to industry
based. Modernization and increased means if communication gave way to industrial setup. A department  was set up to look into workers
wages, welfare and other related issues. This led to emergence of personnel management
• Post  Industrial revolution – The term Human resource Management saw a major evolution after 1850. Various studies were released and
many experiments were conducted during this period which gave HRM altogether a new meaning and importance.

With increase in technology and knowledge base industries and as a result of global competition , Human Resource Management is assuming
more critical role today . Its major accomplishment is aligning individual goals and objectives with corporate goals and objectives.

The Importance Of The Human Factor


Human factors examines the relationship between human beings and the systems with which they interact by focusing on improving efficiency,
creativity, productivity and job satisfaction, with the goal of minimizing errors.

• Proper utilization of other resources


• Help transform lifeless factors of production into useful products
• Can help organization achieve results quickly, efficiently & effectively
Perspectives in Human Resource Management

Challenges
Human resource management (HRM) is adopted by many companies because of its benefits. But at the same time, various
challenges and issues may emerge in front of managers of human resource department while performing their duties. They are
• Managing the Vision
• Internal Environment
• Changing Industrial Relations
• Building Organizational Capability
• Job Design and Organization Structure
• Managing the Large Work Force
• Employee Satisfaction
• Modern Technology
• Computerized Information System
• Managing Human Resource Relations

Inclusive Growth And Affirmative Action


Inclusive growth refers to the way people can contribute to the economic growth of a company and benefit from this growth.

Affirmative action refers to the policies that take gender, race, or ethnicity into account in order to promote equal opportunity.
It is a  is a program of positive action, undertaken with conviction and effort to overcome the present effects of past practices,
policies, or barriers to equal employment opportunity and to achieve the full and fair participation of women, minorities and
individuals with disabilities. This action may be voluntary and involuntary. 
Perspectives in Human Resource Management

Role Of Human Resource Manager


• Role analysis.
• Role specification.
• Workforce planning.
• Recruitment and selection of temporary and permanent staff as required..
• Training and development.
• Performance management.
• Compensation (remuneration).
• Legal issues.
• Managing employee payroll, benefits and compensation.
• Communicating with employees.
• Resolving disputes.
• Evaluating performance.
• Managing employee relations.
• Ensuring equal opportunities.
• Making sure staff facilities are suitable and well-maintained.

Human Resource
Human resources (HR) is the department within a business that is responsible for all things worker-related. That includes
recruiting, vetting, selecting, hiring, onboarding, training, promoting, paying, and independent contractors. HR is also the
department that stays on top of new legislation guiding how workers need to be treated during the hiring, working, and firing
process.
Perspectives in Human Resource Management

Policies
In Organizational context “Policy is a statement or general understanding which provides guidelines to member of the
organization for making decision in respect to any course of action. Business Policy defines the scope or spheres within
which decisions can be taken.

Objectives Of Hr. Policy


• To enable the organization to have adequate, competent and trained personnel at all level.
• To provide such conditions of employment that enable the personnel to develop a sincere sense of unity with the
organization and to carry out their duties in the most willing and effective manner.

Types Of Policies
• Originated policies: Made by top Management.
• Appealed policies: Made on request to certain situation, or if certain aspects are missing in the main policy.
• Imposed policies: Imposed by Govt & authorities.
• Specific Policy: Related to specific issues like Recruitment, Transfer, Promotion etc.
Perspectives in Human Resource Management

Computer Applications In Human Resource Management


Computers should be thought of as simply another human resources management tool, which when used properly, can help
you maximize the quality of the products and services you offer like your development program, your placement process. It
achieves its purpose by freeing you from time-consuming paperwork and giving you more time to interact with your guests.
The speed at which information can be processed and reported expedites decision making. When companies design
information systems that allow employees to perform more HR functions for themselves, the managers with human
resources responsibilities have more time to focus on the more strategic components of their jobs such as planning,
coaching, and counseling, ultimately making them a more effective partner in management decision making
Benefits
• The technology exists today to actually make an office paperless.
• That means no post-notes, no notepads, no phone rolodex, no day planner.
• Human resources functions such as recruitment, hiring, performance appraisals, compensation, and benefits
administration and training can all be done without paper.
• There are several benefits: Increased storage efficiency.
• More cost-effective Saves time.
• Improves the accuracy of data
• Maintains the security of data.
Perspectives in Human Resource Management

Human Resource Accounting


The American Association of Accountants (AAA) defines HRA as follows: ‘HRA is a process of identifying and measuring data
about human resources and communicating this information to interested parties’.
Flamhoitz defines HRA as ‘accounting for people as an organizational resource. It involves mea­suring the costs incurred by
organizations to recruit, select, hire, train, and develop human assets. It also involves measuring the economic value of people
to the organization
• Human Resources accounting, also known as Human Asset Accounting, involved identifying, measuring, capturing, tracking
and analyzing the potential of the human resources of a company and communicating the resultant information to the
stakeholders of the company.
• It was a method by which a cost was assigned to every employee when recruited, and the value that the employee would
generate in the future.
• Human Resource accounting reflected the potential of the human resources of an organization in monetary terms, in its
financial statements.
Needs Of HRA
• HR Accounting is very much needed to provide effective & efficient management within the organization.
• If there is any change in the structure of manpower, it is HRA which provides information on it to the management.
• HRA provides qualitative information & also assess the cost incurred in personnel.
• It gives a platform to the management by providing factors for better decision-making for future investment.
• The return on Investment on human capital is best evaluated through HRA.
• HRA communicates to the organization & public about the worth of human resources & also its proper allocation within the
organization.
• HR helps the management in developing principles by classifying the financial consequences of the various practices.
Perspectives in Human Resource Management

Valuation Approaches of Human Resource Measurement


there are mainly 2approaches;
• Cost based approaches
• Present Value of Future Earning

Cost Based Approaches

1. Historical Cost Approach


The cost of recruitment, selection, development are all capitalized and amortized over the useful life time of the employee.
This amortization may be dealt according to the situation.

Benefits:
• Easy to operate,
• Conforms with the matching principle,
• Similar to the treatment of other fixed assets

Shortcomings:
• Estimation of the useful life time may not be easy,
• The value of humans are generally increasing over time - but this method gives a declining picture,
• This method doesn’t actually measure the value but undermines it
Perspectives in Human Resource Management

• Replacement Cost Approach


The cost to replace the existing human resources are estimated. All costs incurred to attain the current level of competence of
an existing employee. Created from scratch
Benefits: Is present/ future oriented
Disadvantage: Not always possible to obtain such a measure (identical replacement), It is hence subjective

• Opportunity Cost Approach


based on economic concept which overcomes the deficiency in replacement cost app. Measured through competitive bidding
process within the entity.
Steps
1.The entity is divided in to investment centers
2.The investment centre managers bid for scarce employees they need within the entity
3.The maximum bid price may obtained by the capitalization of the excess profits generated by the employee

Present Value of Future Earnings


Lev and Schwartz (1971) proposed an economic valuation of employees based on the present value of future earnings,
adjusted for the probability of employees’ death/separation/retirement.
This method helps in determining what an employee's future contribution is worth today.
• According to this model, the value of human capital embodied in a person who is ‘y’ years old, is the present value of
his/her future earnings from employment and can be calculated by using the following formula(Vy) = Σ Py(t+1) Σ
I(T)/(I+R)t-yT=Y Y where E (Vy) = expected value of a ‘y’ year old person’s human capital T = the person’s retirement age
Py (t) = probability of the person leaving the organization I(t) = expected earnings of the person in period I r = discount
rate
Perspectives in Human Resource Management

Human Resource Audit


The HR Audit is the process of evaluating the performance of Human Resource Department and its activities undertaken, and
the policies followed towards the accomplishment of organizational goals.
The HR Audit is conducted to identify the lapses, shortcomings, gaps in the implementation of HR functions and suggesting the
remedial actions, if any.

Approaches to human resource audit

• Comparative: In this approach, the auditor identifies any company usually the competitor’s company as a model. Then the
results of the organization are compared with that of the model company.

• Outside Authority: The auditor uses the standard set as a benchmark by the outside consultant and then compares the
organization’s performance with that.

• Statistical: Under this approach, the auditor develops the statistical measures of performance for the existing
organization’s information, such as turnover rates, absenteeism.

• Compliance: Here the auditor checks the past actions of the company to ensure that those activities comply with the legal
requirements and is in line with the company’s policy and procedures.

• Management by Objective: under this approach, the auditors check the performance of HR personnel against the goals set
by the top management.
The Concept of Best Fit Employee

Introduction
Human Resources planning is a process by which management determine how the organization should move from its current
manpower position to its desired manpower position. Through planning, management strives to have the right number and
the right kinds of people, at the right place, at the right time, doing things, which result in both organization and the
individual receiving maximum long-run benefits HR planning is a mechanism created to forecast the required human resource
to perform a specific task. It also assesses the skill requirement of employees for each job. It is a complex task which
estimates the future demand and supply position of HR in the organization. Hence, it gives a picture of infinite future in
advance in terms of human resource requirement for the company.

Importance of Human Resource Planning

1. FUTURE PERSONNEL NEEDS


• Surplus or deficiency in staff strength • Results in the anomaly of surplus labor with the lack of top executives

2. COPING WITH CHANGE


• Enables an enterprise to cope with changes in competitive forces, markets, technology, products & government regulations

3. CREATING HIGHLY TALENTED PERSONNEL • HR manager must use his/her ingenuity to attract & retain qualified & skilled
personnel • Succession planning

4. PROTECTION OF WEAKER SECTIONS • SC/ST candidates, physically handicapped, children of the socially disabled & physically
oppressed and backward class citizens.
The Concept of Best Fit Employee

Forecasting human resource requirement


• The use of information from the past and present to identify expected future conditions.

Forecasting Methods
• Judgmental 
-Estimates—asking managers’ opinions, top-down or bottom-up
-Rules of thumb—using general guidelines
-Delphi technique—asking a group of experts
-Nominal groups(NGT)—reaching a group consensus in open discussion
-Brainstorming 

• Mathematical 
-Statistical regression analysis— Simple Linear & Multiple Linear Analysis
-Simulation models: Stochastic Models
-Productivity ratios—units produced per employee
-Staffing ratios—estimates of indirect labor needs
The Concept of Best Fit Employee

Supply And Demand


The important phase of human resource planning, forecasting demand and supply, involves using any number of
sophisticated statistical procedures based on analysis and projections.
At a more practical level, forecasting demand involves determining the numbers and kinds of personnel that an
organization will need at some point in the future.
Human resource (HR) demand forecasting is the process of estimating the future quantity and quality of people
required. 
HR Demand forecasting must consider several factors-both external as well as internal.
External factors Internal factors
 competition (foreign and domestic),  budget constraints,
 economic climate,  production levels,
 laws and regulatory bodies,  new products and services,
 changes in technology,  organizational structure,
 and social factors.  employee separations
 
 
The Concept of Best Fit Employee

Forecasting Techniques: :
1. Ratio-trend analysis
2. Regression analysis
3. Work study techniques
4. Delphi technique
5. Flow models

Supply forecasting
Human Resource supply forecasting is the process of estimating availability of human resource followed after demand for
testing of human resource. For forecasting supply of human resource we need to consider internal and external supply.
Internal supply of human resource available by way of transfers, promotions, retired employees & recall of laid-off
employees, etc. Source of external supply of human resource is availability of labour force in the market and new
recruitment.
external supply of human resource depends on some factors mentioned below.
• Supply and demand of jobs.
• literacy rate of nation.
• rate of population
• industry and expected growth rate and levels
• technological development.
• compensation system based on education, experience, skill and age
The Concept of Best Fit Employee

The most important techniques for forecasting of human resource supply are
Succession analysis and Markov analysis.

Succession analysis
Once a company has forecast the demand for labour, it needs an indication of the firm's labour supply. Determining the
internal labour supply calls for a detailed analysis of how many people are currently in various job categories or have specific
skills within the organization. The planner then modifies this analysis to reflect changes expected in the near future as a
result of retirements, promotions, transfers, voluntary turnover, and terminations.

Markov analysis
transition probability matrix is developed to determine the probabilities of job incumbents remaining in their jobs for the
forecasting period.
A transition matrix, or Markov matrix, can be used to model the internal flow of human resources. These matrices simply
show as probabilities the average rate of historical movement from one job to another.
The Concept of Best Fit Employee

Internal and External sources. Recruitment


Recruitment is the process of generating a pool of capable candidates applying to an organisation for employment (Gold,
2007).
Judging from the above definition of recruitment as given by professional and scholars, it is apparent that recruitment
borders or deals with the plan advertisement of exiting vacant position in an organization in order to wool or attract suitable
and qualify applicant to apply for the vacant position or offices for employment in the said organization. Based on the above
recruitment is a very specialized field in Human Resources practices as it involves techniques that will adequately identify
the pool of skilled and quality applicants

Methods of recruitment
1. Internal recruiting
• Job posting
• Promotion
• transfer

2. External recruiting
• Media Advertising
• E-recruiting
• Employment agencies and executive search firms
• Special event recruiting
• Summer internships
• College recruiting

The Concept of Best Fit Employee

Stages in recruitment process


(a) planning,
(b) strategy development,
(c) searching,
(d) screening,
(e) evaluation and control.
Internal recruitment External recruitment
Advantages of internal recruitment Advantages of external recruitment
• Reduce time to hire  Fresher skill and input
• Shorten onboarding times  Qualified candidates
• Cost less  Generation of creative ideas
• Strengthen employee engagement  Better growth
Disadvantages of internal recruitment  Competitive spirit
• Create resentment among employees and managers  Competitive spirit
• Leave a gap in your existing workforce Disadvantages of external recruitment
• Limit your pool of applicants  A limited understanding about the company
• Result in inflexible culture  Time consuming
   High costs
 Issues of Maladjustment
The Concept of Best Fit Employee

Selection
Mondy (2010: 136),
refers to selection as „the process of choosing from a group of applicants those individuals best suited for a particular
position in an organization.‟
It is is guided by predetermined selection criteria such as job descriptions, job specifications and job profiling and
commences after the recruitment process has been completed. Robbins et al. (2001), pointout that the objective of the
selection process is to match the applicants
‟ ability, knowledge,skills and experience with job requirements in a fair and legal manner.

Selection Process
Employer decisions about the selection of employees are central to the operation of organizations and to a series of
outcomes that matter to individuals, organizations, and society.
Managers who are involved in hiring employees need to understand the skills and abilities that are required in a particular
job and determine which candidates have those capabilities.
The Concept of Best Fit Employee

Steps in selection process


• Receiving application form
• Preliminary interview
• Selection test
• Selection interview
• Checking references
• Final selection
• Physical examination
• Job offer
• Job contract
• Evaluation

Induction
Induction is the process for welcoming newly recruited employees and supporting them to adjust to their new roles
and working environments. Starting a new job can be a stressful experience and new employees need help to settle in.
The induction programme will provide new employees with all of the necessary information, including local welcome
events and activities.
The Concept of Best Fit Employee

Need for induction


• Meet your key colleagues;
• Find your way around your workplace;
• Understand your terms and conditions of employment;
• Understand your role, key responsibilities and how you fit into your department/institution;
• Know what is expected of you and the way in which your work will be monitored;
• Know how you will be managed and supported to carry out your duties;
• Access local policies and procedures;
• Identify any training and development needs that have to be met to enable you to undertake your role effectively.

Types of induction
There are two types of induction,1)formal 2)informal
• Formal induction
Formal induction is a planned attempt to introduce new employees to the organization, job and the working environment.
This induction type may consume more time of the superiors to learn and deliver the new employees needs at the
beginning. At this type of program, new employee may get know, who are the most experienced person to have the solution
of the particular problem new employee might has. This will deliver fundamental things that new employees need to know.
Advantage of the formal induction program is organization will have the better chance to win the new employees’ loyalty at
the very beginning. And also new employee will have the chance to carry his/her works clearly, with less numbers of errors.
Also, new employee will fit to the organizational culture and the work group easily, and strongly.
The Concept of Best Fit Employee

Informal induction
Informal induction is not planned and is ad hock. New employees learn through trial and error method. They get familiar with
the work and work environment by them selves. This induction type will make the stress on new employee at the very
beginning, because of his/her not knowing things at the operations.
So in that case, new employee may leave the organization at the beginning.

Advantages of induction
• Saves a lot of time and company money
• Reduces employee turnover
• Ensures operational efficiency
• Makes the new employee feel respected and valued
• Provides the necessary information
• Helps establishing good communication
The Concept of Best Fit Employee

Socialization benefits
socialization is the process of being socially acceptable. This means, adopting the social norms, values, beliefs, culture,
tradition and social procedures is the socialization. Socialization helps the people to know the general social set up and
follow them so that they would not be socially excluded.
This makes individual acceptable to the organizational working culture. This takes place conveying important information
into three ways i.e. general information about job responsibility, review of organizational history, and detailed presentation
of organizational policies and procedures. Socialization process becomes complete when organizational culture is accepted
as individual personality. 

Importance of socialization
1. Employee orientation
2. Harmonious relation
3. Improved performance
4. Employee satisfaction
5. Organizational stability
6. Screen out deviant employees
The Concept of Best Fit Employee

Socialization process

1. Pre-arrival stage
This stage is also known as pre-entry stage. Employees know the basic information, knowledge, rules and regulation
regarding the job responsibilities before they join the organization. They accept organizational values, norms and work ethics
from their prior job experience. They get information regarding the organization through the recruitment and entire
selection process as well.

2. Encounter Stage
In this stage, employees compare their prior perceptions about organization, job and working environment with the reality.
the stage of confronting personal values, norms, understanding and perception with the organizational norms, values and
culture in socialization process is known as encounter stage.

3. Metamorphosis stage
In this stage, employee unlearn the old norms, values and culture to learn new one. Employees fully accept the
organizational norms and values. They change their behavior and mind set- up. Employees become comfortable to the
organizational environment. They internalize each and every work ethics and guidance to complete their job responsibilities.
They voluntarily accept any changes in their responsibilities, procedure and technology.
Manpower Planning

Introduction
Manpower planning is the process of estimating the optimum number of people required for completing a project, task or a
goal within time. Manpower planning includes parameters like number of personnel, different types of skills, time period etc.
It is a never ending continuous process to make sure that the business has the optimized resources available when required
taking into consideration the upcoming future projects and also the replacement of the outgoing employees. 
Manpower planning also includes the details like how and when will new employees be acquired. This whole process is done
keeping in view the goals of the organization, the future predictions for business and changing technology trends. This helps
the organization be prepared for the future with the correct manpower at their disposal for business prosperity.

Manpower Planning process


HR department of every company has to constantly keep an eye on the human resources that the company has. With every
possible event like change industry dynamics, increase in business requirements, skills required for a particular technology
etc, the need for having better resources increases. Each organisation needs manpower planning. An organisational unit is
started to accomplish certain goals. Which requires human resources with necessary qualification? These are provided
through effective manpower planning. Comprehensive manpower planning helps to optimise effectiveness of human
resources.
Manpower Planning

The process of manpower planning

1.Understanding the existing workforce: The HR department has to thoroughly understand the manpower available with
the company. They should examine the background, skill set, qualification, location etc of the entire work force so that
they have a good idea regarding the pool of talent which the company has.

2. Forecasting for the future: With constant changes in business requirements, companies must understand the future
trend and which type of employees would be best suited for their organization. Hence, companies must examine, evaluate
and forecast the type of employee workforce they want in the future years

3. Recruitment and selection: Depending upon the business requirements, manpower planning leads to a much more well
thought out recruitment and selection pattern. This totally depends upon the forecasts made and the business
requirements. Hence, candidates with better qualification, skill set, experience etc are shortlisted as employees to best
suit the future needs.

4. Training the employees: Employees who are a part of the organization are trained to have the best skills, knowledge
and understanding about the current job as well as the future requirements.
Manpower Planning

Importance of Manpower Planning


Manpower planning is an essential requirement for any business. It helps the company to be prepared well in advance for the
type of employees they would be requiring in their organization in the future. With constantly changing business
requirements, technological advancements etc the skills and knowledge of employees tend to become obsolete over a period
of time. Also, if a business is growing, then the workforce needs to be expanded if the company wants to have its business at
different locations, different business domains etc. If a company fails to prepare before hand, it can create issues in the
future and can collapse the business model for a company. Hence, timely preparation of manpower planning would always
help a business grow.

Organizing
• Organizations are systems created to achieve common goals through people-to-people and people-to-work relationships.
They are essentially social entities that are goal-directed, deliberately structured for coordinated activity systems
• Organizing is the process of defining and grouping activities, and establishing authority relationships among them to attain
organizational objectives.
• Organizing is the function that managers undertake to design, structure, and arrange the components of an organization’s
internal environment to facilitate attainment of organizational goals.
• Organizations are made up of people and their relationships with one another. Managers deliberately structure and
coordinate organizational resources to achieve the organization’s purpose.
• Organizing creates the framework needed to reach a company's objectives and goals.
Manpower Planning

Importance of Organizing

A comprehensive approach to organizing helps the management in many ways. Organizing aligns the various resources
towards a common mission.
• Efficient Administration
• Resource Optimization
• Benefits Specialization
• Promotes Effective Communication
• Creates Transparency
• Expansion and Growth

Steps In Organizing

• Identification of activities
All the activities which have to be performed in a concern have to be identified first. For example, preparation of
accounts, making sales, record keeping, quality control, inventory control

• Departmentally organizing the activities 


In this step, the manager tries to combine and group similar and related activities into units or departments. This
organization of dividing the whole concern into independent units and departments is called departmentation.
Manpower Planning

• Classifying the authority


Once the departments are made, the manager likes to classify the powers and its extent to the managers. This activity of giving
a rank in order to the managerial positions is called hierarchy. The top management is into formulation of policies, the middle
level management into departmental supervision and lower level management into supervision of foremen. The clarification of
authority help in bringing efficiency in the running of a concern. This helps in achieving efficiency in the running of a concern.
This helps in avoiding wastage of time, money, effort, in avoidance of duplication or overlapping of efforts and this helps in
bringing smoothness in a concern’s working.

• Co-ordination between authority and responsibility


Relationships are established among various groups to enable smooth interaction toward the achievment of the organizational
goal. Each individual is made aware of his authority and he/she knows whom they have to take orders from and to whom they are
accountable and to whom they have to report. A clear organizational structure is drawn and all the employees are made aware of
it.

Staffing
Staffing is the process of hiring eligible candidates in the organization or company for specific positions. In management, the
meaning of staffing is an operation of recruiting the employees by evaluating their skills, knowledge and then offering them
specific job roles accordingly. it is very important that each and every person should get right position in the organization so as
to get the right job, according to their ability, talent, aptitude, and specializations so that it will help the organization to
achieve the pre-set goals 
Manpower Planning

Steps in planning process

1. Manpower Planning
 Manpower planning can be regarded as the quantitative and qualitative measurement of labour force required in an
enterprise. Therefore, in an overall sense, the planning process involves the synergy in creating and evaluating the manpower
inventory and as well as in developing the required talents among the employees selected for promotion advancement
2. Recruitment
Recruitment is a process of searching for prospective employees and stimulating them to apply for jobs in the organization. It
stands for finding the source from where potential employees will be selected.
3. Selection
Selection is a process of eliminating those who appear unpromising. The purpose of this selection process is to determine
whether a candidate is suitable for employment in the organization or not. Therefore, the main aim of the process of
selection is selecting the right candidates to fill various positions in the organization. A well-planned selection procedure is of
utmost importance.
4.  Placement
Placement means putting the person on the job for which he is selected. It includes introducing the employee to his job.
Manpower Planning

5. Training
After selection of an employee, the important part of the programmed is to provide training to the new employee. With the
various technological changes, the need for training employees is being increased to keep the employees in touch with the
various new developments.
6. Development
A sound staffing policy provides for the introduction of a system of planned promotion in every organization. If employees
are not at all having suitable opportunities for their development and promotion, they get frustrated which affect their
work.
7. Promotions
The process of promotion implies the up-gradation of an employee to a higher post involving increasing rank, prestige and
responsibilities. Generally, the promotion is linked to increment in wages and incentives but it is not essential that it always
relates to that part of an organization.
8. Transfer
Transfer means the movement of an employee from one job to another without increment in pay, status or
responsibilities. Therefore this process of staffing needs to evaluated on a timely basis.
9. Appraisal and remuneration
Appraisal of employees as to how efficiently the subordinate is performing a job and also to know his aptitudes and other
qualities necessary for performing the job assigned to him. It also involves in determining remuneration which is one of
the most difficult functions of the personnel department because there are no definite or exact means to determine
correct wages.
Manpower Planning

Importance of Staffing
• Efficient Performance of Other Functions
• Effective Use of Technology and Other Resources
• Optimum Utilization of Human Resources
• Development of Human Capital
• The Motivation of Human Resources
• Building Higher Morale

Directing, And Controlling


Directing
The HR Manager can create plans, but implementing the plans smoothly depends on how motivated the people are. The
directing functions of HRM involve encouraging people to work willingly and efficiently to achieve the goals of the
organization. In simpler words, the directing functions of HRM entail guiding and motivating people to accomplish the
personnel programs.
The HRM can motivate the employees through career planning and salary administration by boosting the employee’s morale,
developing relationships, providing safety requirements, and looking after the welfare of employees.
In order to do this effectively, the HRM must identify the needs of the employees and the means and methods to satisfy them.
Motivation is a continuous process as employees have new needs and expectations when the old ones are satisfied.
Manpower Planning

Principles of Directing
1. Maximum Individual Contribution
One of the main principles of directing is the contribution of individuals. Management should adopt such directing policies that
motivate the employees to contribute their maximum potential for the attainment of organizational goals.
 
2. Harmony of Objectives
Sometimes there is a conflict between the organizational objectives and individual objectives. For example, the organization
wants profits to increase and to retain its major share, whereas, the employees may perceive that they should get a major share
as a bonus as they have worked really hard for it.
Here, directing has an important role to play in establishing harmony and coordination between the objectives of both the
parties.
 
3. Unity of Command
This principle states that a subordinate should receive instructions from only one superior at a time. If he receives instructions
from more than one superiors at the same time, it will create confusion, conflict, and disorder in the organization and also he
will not be able to prioritize his work.

4. Appropriate Direction Technique


Among the principles of directing, this one states that appropriate direction techniques should be used to supervise, lead,
communicate and motivate the employees based on their needs, capabilities, attitudes and other situational variables.
Manpower Planning

5. Managerial Communication
According to this principle, it should be seen that the instructions are clearly conveyed to the employees and it should be
ensured that they have understood the same meaning as was intended to be communicated.
 
6. Use of Informal Organization
Within every formal organization, there exists an informal group or organization. The manager should identify those groups and
use them to communicate information. There should be a free flow of information among the seniors and the subordinates as an
effective exchange of information are really important for the growth of an organization.
 
7. Leadership
Managers should possess a good leadership quality to influence the subordinates and make them work according to their wish. It
is one of the important principles of directing.
 
8. Follow Through
As per this principle, managers are required to monitor the extent to which the policies, procedures, and instructions are
followed by the subordinates. If there is any problem in implementation, then the suitable modifications can be made.
 
Manpower Planning

Importance of Directing
1. Initiates Action
2. Ingrates Efforts
3. Motivates Employees
4. Provides Stability
5. Coping up with the Changes
6. Effective Utilization of Resources

Controlling
Controlling is all about regulating activities in accordance with the plans formulated based on the objectives of the
organization. This is the fourth function of the HRM and completes the cycle. In this, the manager observes and subsequently
compares the results with the set standards.
Further, he corrects any deviations that might occur. Controlling is one of the important functions of HRM as it helps him
evaluate and control the performance of the department with respect to different operative functions. It also involves
appraisals, audit, statistics, etc.
Manpower Planning

There are several human resources controls used in human resources management to meet organizational goals :
• Performance appraisals
The first Human Resource Control we will focus on is the performance appraisal. A Performance Appraisal
is the process that evaluates an employee's performance against the standards set by the organization, documents the
performance and yields measurable information that can be used to provide valuable feedback to the employee
Types of appraisals
• Rating scale,
• native appraisals,
• 360 appraisals

• Discipline policies
 are policies that address employee behaviors and performance. Discipline policies involve corrective action steps to redirect
behavior or enhance the performance of employees who are not meeting goals

• Employee observations
is a physical observation of employee performance

• Employee training
is a process of identifying needed skills to perform a job or task and then developing a plan to teach the skills to employees.
Training can be in the form of skills training and professional development.
Manpower Planning

Importance of controlling
• Accomplishing Organizational Goals
• Judging Accuracy of Standards
• Making Efficient Use of Resources
• Improving Employee Motivation
• Ensuring Order and Discipline
• Facilitating Coordination in Action

Estimation
Process of estimating is the optimum number of people required for completing a project, task or a goal within
time. Estimation includes parameters like number of personnel, different types of skills, time period 
It is a never ending continuous process to make sure that the business has the optimized resources available when required
taking into consideration the upcoming future projects and also the replacement of the outgoing employees.
Estimation also includes the details like how and when will new employees be acquired. This whole process is done keeping
in view the goals of the organization, the future predictions for business and changing technology trends. This helps the
organization be prepared for the future with the correct manpower at their disposal for business prosperity.
Manpower Planning

The process of manpower planning estimating

1.Understanding the existing workforce: The HR department has to thoroughly understand the manpower available with
the company. They should examine the background, skill set, qualification, location etc of the entire work force so that
they have a good idea regarding the pool of talent which the company has.

2. Forecasting for the future: With constant changes in business requirements, companies must understand the future
trend and which type of employees would be best suited for their organization. Hence, companies must examine, evaluate
and forecast the type of employee workforce they want in the future years

3. Recruitment and selection: Depending upon the business requirements, manpower planning leads to a much more well
thought out recruitment and selection pattern. This totally depends upon the forecasts made and the business
requirements. Hence, candidates with better qualification, skill set, experience etc are shortlisted as employees to best
suit the future needs.

4. Training the employees: Employees who are a part of the organization are trained to have the best skills, knowledge
and understanding about the current job as well as the future requirements.
Manpower Planning

Manpower Requirement
Manpower requirement entails an analysis of demand and supply of manpower. on the supply side, one has to take stock of
manpower according to field of specialization and levels of education as well as the enrollment across levels of education and
field of education in both the formal and the non-formal education sectors.
• Key to managerial functions- The four managerial functions, i.e., planning, organizing, directing and controlling are
based upon the manpower. Human resources help in the implementation of all these managerial activities. Therefore,
staffing becomes a key to all managerial functions.
• Efficient utilization- Efficient management of personnels becomes an important function in the industrialization world of
today. Setting of large scale enterprises require management of large scale manpower. It can be effectively done through
staffing function.
• Motivation- Staffing function not only includes putting right men on right job, but it also comprises of motivational
programmes, i.e., incentive plans to be framed for further participation and employment of employees in a concern.
Therefore, all types of incentive plans becomes an integral part of staffing function.
• Better human relations- A concern can stabilize itself if human relations develop and are strong. Human relations become
strong trough effective control, clear communication, effective supervision and leadership in a concern. Staffing function
also looks after training and development of the work force which leads to co-operation and better human relations.
• Higher productivity- Productivity level increases when resources are utilized in best possible manner. higher productivity
is a result of minimum wastage of time, money, efforts and energies. This is possible through the staffing and it's related
activities ( Performance appraisal, training and development, remuneration)
Manpower Planning

Factors influencing supply and demand of human resources


The factors influence the demand of human resource
(1) Employment trend in the organization for at least last five years to be traced
to determine the future needs.
(2) Organization has to find out the replacement needs due to retirement, death, resignation, termination etc.
(3) Improvement in productivity is yet another factor. To improve productivity organisation needs better employees with skills
and potential. Productivity leads to growth but depends on the demands for the product of the enterprise in the market.
Higher demand may lead to more employment of skilled personnel’s.
(4) Expansion of the organization leads to hiring of more skilled persons. The base of human resource forecast is the annual
budget. Manufacturing plan depends upon the budget. Expansion in production leads to more hiring of skills and technology.
The factors influence the supply of human resource
• According to Benjamin T (2013:1) competition is one of the factors that influence human resources supply.  He asserts that
the extent of competition in your industry affects your company’s ability to recruit qualified workers industry giants find
that candidates seek them out.
• organizational internal factor which can influence human resources supply.  Organization strategy includes organizational
financial strength.  The ability to do away with subcontracting and directly employ labour from the labour market on a
permanent employ basis.
• Economic forces also influence the supply of human resources which includes the growth rate and strategy, industrial
production, national and per capita incomes, money and capital markets, competitions, industrial labour and globilisation.
Manpower Planning

Role of HR manager
• Recruitment
It is the job of HR personnel to plan and devise strategic campaigns and guidelines for recruiting suitable candidates for
a required job description. They also have to serve as a mediator between the employer and the candidate and
communicate company policies and terms of the contract to the candidate before he is hired.
• Training

Training employee is important to help the new hires get acquainted with the organization’s work pattern. It is
imperative for the HR department to incorporate a training program for every new employee based on the skill set
required for their job. It will further also contribute towards employee motivation and retention.

• Professional development
Developing employees professionally is an added bonus for the employee as well as the organization. Enrolling the
employee to attend conferences, trade shows, seminars etc that may be in his personal interest will make the employee
feel cared-for and a vital part of the organization, thus increasing employee engagement. It will be beneficial to the
organization by way of the employee’s added skill set.
Manpower Planning

• Appraisals
Performance appraisals help in employee motivation by encouraging them to work to their fullest potential. It also
enables to give them feedback on their work and suggest necessary measures for the same. This helps employees to have
a clear view of what is expected of them and what they are delivering. They can thus, work better towards improving
their performance and achieving targets.

• Maintaining Work Culture


It is the duty of the HR to maintain a healthy, safe, and fun work environment to ensure a level of comfort amongst the
employees and eliminate any stressful or awkward atmosphere that may hinder the performance of the staff. It is vital to
have an efficient work atmosphere, because an individual’s performance a largely dependent on the surrounding he/she
working in.

• Resolving conflicts
The HR should be available at the disposal of the conflicting parties and hear out their issues without being judgmental.
Prior investigations are a must before passing any judgment. The HR head is not expected to discriminate or play favorites
in this matter and always deliver an unbiased and practical decision. A reimbursement in case of any loss caused and
strict actions against the defaulter should be practiced for effective conflict resolution by the HRM.
Manpower Planning

• Compensation and Benefits


Human resource managers provide guidance and direction to compensation and benefits specialists. Within this discipline,
human resources managers develop strategic compensation plans, align performance management systems with
compensation structure and monitor negotiations for group health care benefits.

• Management
Management is the most important job of an HR manager. It is what defines a good HR manager. Management extends
right from managing employees to managing the employers and the whole HR department as well.
The role of an HR manager is to manage, create, implement and supervise policies/regulations, which are mandatory for
every employee and also have knowledge of its appropriate functioning. Monitoring attendance and tracking leaves forms
a major chunk of the HR management function. There should be a proper management of the clock-in/out time to avoid
late arrivals and track overtimes and half-days. As mentioned before, the HR as a department should also be well
managed by the HR head. If the HR department itself is in a state of chaos, it cannot serve as a peacemaker for the other
departments.
Manpower Planning

Personnel Principles
According to Dale Yoder ‘a policy is pre-determined selected course— established as a guide towards accepted goals and
objectives’.
A personnel policy should have two types of objectives viz., general objectives and specific objectives. General objectives
express top management’s philosophy of human resources whereas specific objectives refer to specific activities like staffing,
training, wages and, motivation.

Objectives
• Optimum Use of Human Resources
• Training Of Everyone
• Sound Industrial Relations
• Payment of Fair Wages
• Security of Employment
Organization

Introduction
Organisation is a process of identifying and grouping the work to be performed, defining and delegating responsibility and
authority and establishing the relationships for the purpose of enabling the people to work most effectively.
A social unit of people that is structured and managed to meet a need or to pursue collective goals. All organizations have a
management structure that determines relationships between the different activities and the members, and subdivides and
assigns roles, responsibilities, and authority to carry out different tasks. Organizations are open systems--they affect and are
affected by their environment

Requirement of Organization
Drucker points out that effective leaders supply four basic requirements of any human
organization: communications, teamwork, self development, and development of others.

Communications
Is basic to leading an organization: think vision-casting, facilitating dialogue, encouraging two-way flow of
communication.

Teamwork
Any team is made up of individuals with diverse knowledge and skills. Team work is very much important in
facilitating organization goals
Organization

• Self-development 
Depends on the focus on contributions. When a leader asks, “What can I contribute?” They move directly into assessing
their strengths, their current skills and knowledge-base, and where they might need to grow.

• Development Of Others
The leader who focuses on their own contributions also stimulates the development of others. Others are spurred on by
example to develop themselves. That’s true whether the others are colleagues, supervisors, or those being supervised.
Growth—of both self and others—becomes an organizational expectation.

Organization structure
It is generally shown on an organization chart which shows the authority relationships between various functions in the
organization by showing who reports to whom

Types of organization structure


• Line organizations
Direct vertical relationships
• Staff organization
Provide service and advice to line
• Functional organization
mid way position between line and staff authority.
Organization

Line and staff organization


Organization

Functional organization
Organization

Organization Hierarchical charts


An organizational chart (often called organization chart, org chart, organigram(me), or organogram) is a diagram that
shows the structure of anorganization and the relationships and relative ranks of its parts and positions/jobs.
A company's organizational chart typically illustrates relations between people within an organization. Such relations
might include managers to sub-workers, directors to managing directors, chief executive officer to various departments,
and so forth. When an organization chart grows too large it can be split into smaller charts for separate departments
within the organization.

The different types of organization charts include:


• Hierarchical
It is an organizational structure where every entity in the organization, except one, is subordinate to a single other entity.
This arrangement is a form of a hierarchy. In an organization, the hierarchy usually consists of a singular/group
of power at the top with subsequent levels of power beneath them. This is the dominant mode of organization among
large organizations; most corporations, governments, and organized religions are hierarchical organizations with different
levels of management, power or authority.

• Matrix
It is an organizational structure in which some individuals report to more than one supervisor or leader, relationships
described as solid line or dotted line reporting. More broadly, it may also describe the management of cross-functional,
cross-business groups and other work models that do not maintain strict vertical business units or silos grouped by function
and geography.
Organization

• Flat Organization
It is an organizational structure with few or no levels of middle managementbetween staff and executives. An organization's
structure refers to the nature of the distribution of the units and positions within it, also to the nature of the relationships
among those units and positions. Tall and flat organizations differ based on how many levels of management are present in
the organization, and how much control managers are endowed with.

Organizational Chart Uses


An organizational chart has five principal uses:
• To Show Management Structure 
It shows the management structure of the organization at a glance. It can also show other organizational structures, such
as relationships between companies with common or affiliated ownership.
• To Show Other Organizational Structure 
Other hierarchies, such as business ownership structures, can be shown using org charts.
• As a Planning Tool 
Org charts are used to visualize and plan company reorganizations.
• An Employee Reference 
It provides a reference for employees to help them understand their role in the organization, who they report to, and who
reports to them.
• An Employee Directory 
Adding other information, such as headshots, telephone numbers and email addresses allows the org chart to also function
as an employee directory.
Organization

Staffing plan
It is a series of steps that are taken to confirm that an organization has two very important things determined: 1) the exact
number of roles and positions within the company and 2) workers with the right skill sets filling these positions. Depending on
the needs and size of the business, employees will be grouped by classification and/or department.

How to Create a Staffing Plan


1. Generate Comprehensive Job Descriptions and Lists of Requirements
2. Curate a Current Assessment of Current Employees
3. Analyze Turnover and Business Trends
4. Devise Alternative Staffing Plans

Types of staffing plan


• Short-Term Staffing
A short-term staffing plan focuses on the immediate needs of the company.
• Long-Term Staffing
Long-term staffing involves taking a proactive approach to your company's staffing needs. Most long-term staffing plans cover
at least one year. When determining such staffing needs, take into account past turnover, employees who may be retiring or
taking a maternity or other leave, expected growth and poorly performing staff members. Once you have a clear picture of
your expected staffing needs, you can develop a plan to help recruit the right talent.
Organization

• Succession Planning

Succession planning allows you to fully understand the duties and responsibilities of your management staff so you can train
internal candidates to be ready to step into a promotion immediately for experiencing management turnover.

• Strategic Staffing

Strategic staffing involves a combination of short-term, long-term and succession planning. This plan takes the company's
business plans into account to ensure that goals can be met from a talent perspective. Staffing levels are evaluated to
determine if there is a staffing surplus or deficit. Skills also should be assessed to determine if your existing team lacks the
ability and experience needed to help the company move forward. 

Importance of staffing plan


• Good Employees = Good Service
• Shorter Lines Benefit Customers
• Trained Employees Perform Better
• Smart Scheduling Streamlines Service
Organization

Development and Operation of human resources


Human resource development

Human resources development refers to an organization's focus on improving the knowledge, ability, skills, and other talents
of their employees. Companies that care about the success of their employees and want to improve company performance
recognize this is done by the skills of employees and will be willing to spend time and money on the growth and development
of their employees. It emphasizes on,

• Utilization of individuals to achieve organizational objectives

• All managers at every level must concern themselves with human resource management to attain for their objectives

Human Resource Development includes such opportunities as employee training, employee career development, performance
management and development, coaching, mentoring, succession planning, key employee identification, tuition assistance, and
organization development.

The focus of all aspects of Human Resource Development is on developing the most superior workforce so that the
organization and individual employees can accomplish their work goals in service to customers.

HRD concept was first introduced by Leonard Nadler in 1969 in a conference in US. “He defined HRD as those learning
experience which are organized, for a specific time, and designed to bring about the possibility of behavioral change”. 
Organization

Approach to be followed for developing human resources


The approach is based on the following steps:
• Setting up the strategic direction.
• Designing the human resource management system.
• Planning the total workforce.
• Generating the required human resources.
• Investing in human resource development and performance.
• Assessing and sustaining organizational competence and performance.

Functions of human resource development


the goals of the HRD systems are to develop:
• The capabilities of each employee as an individual.
• The capabilities of each individual in relation to his or her present role.
• The capabilities of each employee in relation to his or her expected future role(s).
• The dyadic relationship between each employee and his or her supervisor.
• The team spirit and functioning in every organizational unit (department, group, etc.).
• Collaboration among different units of the organization.
• The organization's overall health and self-renewing capabilities which, in turn, increase the enabling capabilities of
individuals, dyads, teams, and the entire organization.
Organization

Benefits of human resource development

• HRD (Human Resource Development) makes people more competent. HRD develops new skill, knowledge and attitude of the
people in the concern organisations.
• With appropriate HRD programme, people become more committed to their jobs. People are assessed on the basis of their
performance by having a acceptable performance appraisal system.
• An environment of trust and respect can be created with the help of human resource development.
• Acceptability toward change can be created with the help of HRD. Employees found themselves better equipped with
problem-solving capabilities.
• It improves the all round growth of the employees. HRD also improves team spirit in the organisation. They become more
open in their behaviour. Thus, new values can be generated.
• It also helps to create the efficiency culture In the organisation. It leads to greater organisational effectiveness. Resources
are properly utilised and goals are achieved in a better way.
• It improves the participation of worker in the organisation. This improve the role of worker and workers feel a sense of
pride and achievement while performing their jobs.
• It also helps to collect useful and objective data on employees programmes and policies which further facilitate better
human resource planning.
• Hence, it can be concluded that HRD provides a lot of benefits in every organisation. So, the importance of concept of HRD
should be recognised and given a place of eminence, to face the present and future challenges in the organisation.
Organization

Human Resource Operations


HR operations refer to services provided by an HR department to business operations. HR operations, or operational HR
services, include administrative services, recruitment, job analysis, and employee relationship management. These HR
practices are in place to support management and staff in their day-to-day business activities, and are important to meet an
organization's goal. Small businesses that do not need full-fledged HR operations often prefer to outsource the required
services. Large companies in which the scope of HR services is vast support in-house HR operations.

Human resource operations functions


• Employee and Labor Relations HR Functions
Operational HR activities within the employee and labor relations functional area can range from developing an employee
complaint process to investigating employment-related claims and handling union employee grievances. Also, operational HR
activities for employee relations may also include coordinating employee outings, awards banquets and recognition
ceremonies.
• Compensation and Benefits HR Functions
the operational side of compensation and benefits includes processing payroll, monitoring sick and vacation leaves and
employee leave balances under the Family and Medical Leave Act. Also, compensation and benefits specialists coordinate
open enrollment for employee health coverage and process benefits paperwork for new employees as well as employees who
are leaving the company.
Organization

• Training and Development HR Functions


HR functions in the training and development area include scheduling new employees for orientation, delivering orientation
classes, providing training to employees on specific job tasks or assigning seasoned employees to be job coaches or mentors.

• Safety and Risk Management HR Functions


operational tasks as maintaining safety logs and interacting with state and federal government inspectors who enforce
safety regulations. Also, they are typically responsible for HR functions such as assessing workplace risks and participating in
the HR planning process for risk mitigation, which could range from attending meetings with company lawyers or being the
point of contact for legal matters.

• Recruitment and Selection HR Functions


The operational activities are the day-to-day tasks that help the company achieve its workforce planning goals, for example,
attracting screening and selecting candidates.
Organization

Managerial Staffing
Staffing your company correctly will determine how well your business operates. Either you or your managers must oversee
the hiring process, so that you can match hiring practices to the needs of your company. All of your functions as an owner or
manager depend on the quality of your recruitment and retention procedures.

Managerial staffing can be defined as one of the most important functions of management. It involves the process of filling
the vacant position of the right personnel at the right job, at right time.

Staffing Process

1. Manpower Planning

2. Recruitment

3. Selection

4. Placement and Induction

5. Training and Development


Organization

Importance of Staffing
• Efficient Performance of Other Functions
• Effective Use of Technology and Other Resources
• Optimum Utilization of Human Resources
• Development of Human Capital
• The Motivation of Human Resources
• Building Higher Morale

Function of staffing
• The first and foremost function of staffing is to obtain qualified personnel for different jobs position in the organization.
• In staffing, the right person is recruited for the right jobs, therefore it leads to maximum productivity and higher
performance.
• It helps in promoting the optimum utilization of human resource through various aspects.
• Job satisfaction and morale of the workers increases through the recruitment of the right person.
• Staffing helps to ensure better utilization of human resources.
• It ensures the continuity and growth of the organization, through development managers.
Organization

Recruitment

Recruitment is the process of finding and hiring the best-qualified candidate from within or outside of an organization for a
job opening in a timely and cost-effective manner. The recruitment process includes analyzing the requirements of a job,
attracting employees to that job, screening and selecting applicants, hiring, and integrating the new employee into the
organization.
Stages for Recruitment in Human Resources
There are several important stages that most organizations use when recruiting employees. The recruitment stages include:
• Job analysis: The human resources representative needs to review and analyze what they need the new employee to do
in the open position. From that analysis, the representative needs to build a job description, which describes the
essential duties of the job. The representative also needs to set minimum qualifications, and define a salary range.
• Advertise the open position: The search begins for applicants through networking, advertising, or other search methods
in order to find applicants who match the job requirements.
• Screening applicants: Screening involves testing skills and/or personalities. It also includes the assessment of the
applicant's motivation and their fit with organizational requirements through the interview process.
• Finalising
The applicant is offered a job which includes a compensation package,once the candidate has accepted the offer the
organization helps with the introduction of new employee.
Organization

Sources of recruitment
Internal Sources
Internal sources of recruitment refer to hiring employees within the organization through −
•Promotions
•Transfers
•Former Employees
•Internal Advertisements (Job Posting)
•Employee Referrals
•Previous Applicants

External Sources
External sources of recruitment refer to hiring employees outside the organization through −
•Direct Recruitment
•Employment Exchanges
•Employment Agencies
•Advertisements
•Professional Associations
•Campus Recruitment
•Word of Mouth
Organization

Selection strategies
The human resources department must choose which selection strategies it will adopt to screen candidates and find the
best person for each job. The human resources director can choose from among standard selection strategies or combine
elements of several to create one that works best for her individual business.

• Knowledge, Skills and Abilities


One of the more traditional selection methods is to make choices based on knowledge, skills and abilities This selection
method begins with job analysis. The human resources department analyzes each job and creates a job specification that
lists all required knowledge, skills and abilities needed to perform the job. The final step is to process all job applicants
using those assessment tools.

• Outsourcing
Outsourcing is a selection strategy that human resources departments might adopt for hiring executives, temporary
employees or for positions requiring a specialized skill set. The most common strategy is to hire search firms to recruit,
conduct assessments, check references, perform initial interviews and screen the large application pools.

• Multistage Selection Strategies


A multistage selection strategy combines a number of assessment tools as part of the process. The human resources
department is responsible for validating each assessment tool and ensuring that it is legitimately related to the
requirements of the open position. Examples of different stages in a multistage selection strategy are personality tests,
skills tests, interviews and sample work performances.
Organization

• Conjunctive Selection Strategy


When the human resources department uses a conjunctive model, it administers multiple assessment tools in a series of
stages. If a person does poorly on an initial assessment, he is eliminated from the pool of applicants. When using this
strategy, assessment tools must be carefully ordered so that a candidate is not eliminated based on a less important criteria
than one that is assessed later in the process.

• Compensatory Selection Strategy


This method administers all assessment tools to applicants at the same time -- or at least all of them are administered before
a candidate is eliminated or selected. The scores of all assessment tools are combined to give each applicant a composite
score

Selection Process
Organization

Placement and Training


The industry is always on the lookout for students who are vibrant, energetic individuals and ready to accept challenges,
attentive, a good academic background, fast learners, open to learning even at work and more importantly, good
communication skills.
Training and Placement  is provided to guide students to choose right career and to give knowledge, skill, and aptitude and
meet the manpower requirements of the Industry.Equipping the students with relevant and conceptualized professional
skills and guiding them towards a bright future and career.

Types Of Training
• Technical or Technology Training
• Quality Training
• Skills Training
• Soft Skills Training
• Professional Training and Legal Training
• Team Training
• Managerial Training
Organization

Placement 
It is a process of assigning a specific job to each of the selected candidates. It involves assigning a specific rank and
responsibility to an individual. It implies matching the requirements of a job with the qualifications of the candidate.

Importance of placement
 It improves employee morale.
 It helps in reducing employee turnover.
 It helps in reducing absenteeism.
 It avoids misfit between the candidate and the job.
 It helps the candidate to work as per the predetermined objectives of the organization.

Process of placement
• Collect details about the employee
• Construct his or her profile
• Which subgroup profile does the individual’s profile best fit?
• Compare subgroup profile to job family profiles
• Which job family profile does subgroup profile best fit?
• Assign the individual to job family
• Assign the individual to specific job after further counselling
Human Relations and Organizational Behavior

Introduction
Human relations are an integral process through which the individual’s attitudes and work are combined or integrated.
• Purpose of human relations is to help in working more effectively with other people in organizations.
• Production increases with a better social climate.
• Customer relations endeavors to promote, and increase the contact between the business and the individuals in the
community.
• Effective communication is vital especially in establishing good human relationships.
• Communication refers to the process of conveying thoughts , ideas, information and facts by speech, writing
• Workplace relationships provide a source of employee motivation, which is important to maintaining productivity.
Organizational behavior (OB) is the academic study of the ways people act within groups. Its principles are applied primarily in
attempts to make businesses operate more effectively.
The study of organizational behavior includes areas of research dedicated to improving job performance, increasing job
satisfaction, promoting innovation, and encouraging leadership. Each has its own recommended actions, such as reorganizing
groups, modifying compensation structures, or changing methods of performance evaluation.
Human Relations and Organizational Behavior

Individual Psychology

It is a body of theories of the Austrian psychiatrist Alfred Adler, who held that the main motives of human thought and
behaviour are individual man’s striving for superiority and power, partly in compensation for his feeling of inferiority. Every
individual, in this view, is unique, and his personality structure—including his unique goal and ways of striving for it—finds
expression in his style of life, this life-style being the product of his own creativity. Nevertheless, the individual cannot be
considered apart from society; all important problems, including problems of general human relations, occupation, and love,
are social.

This theory led to explanations of psychological normality and abnormality: although the normal person with a well-developed
social interest will compensate by striving on the useful side of life (that is, by contributing to the common welfare and thus
helping to overcome common feelings of inferiority), the neurotically disposed person is characterized by increased inferiority
feelings, underdeveloped social interest, and an exaggerated, uncooperative goal of superiority, these
symptoms manifesting themselves as anxiety and more or less open aggression. Accordingly, he solves his problems in a self-
centred, private fashion (rather than a task-centred, common-sense fashion), leading to failure. All forms of maladjustment
share this constellation. Therapy consists in providing the patient with insight into his mistaken life-style through material
furnished by him in the psychiatric interview.
Human Relations and Organizational Behavior

Approaches to job design and job redesign


Job design

1. Job Enlargement:
Job enlargement consists of making a job larger in scope by combining additional task activities into each job through
expansion. 
2. Job Enrichment:
job enrichment is concerned with designing jobs that includes a greater variety of work content, require a higher level of
knowledge and skill, give worker more autonomy and responsibility, and provide opportunity for personal growth.
3. Job Simplification:
In case of job simplification, a job is broken down, to the extent possible, into smaller parts as is done in assembly line
operations.
4. Job Rotation:
In job rotation, a worker moves from one job to another, at the same level, that has similar skill requirements Job rotation
reduces boredom and monotony through changing employee’s activities.
5. Quality of Work Life (QWL):
QWL refers to the favourableness or unfavourableness of a total job environment for people. The elements included in a QWL
programme like open communication equitable reward system, employees’ job security and satisfaction, participative
management, development of employee skill
6. Job Analysis:
Job analysis is a statement mentioning who will do what.
Human Relations and Organizational Behavior

Job redesign
It is an effort where job responsibilities and tasks are reviewed, and possibly re-allocated among staff, to
improve output. Redesigning jobs can lead to improvements in both productivity and in job satisfaction.

Approaches to job redesign

• Clarify exactly what is being done today versus the job description, and identify any difficulties in
completing work.
• Determine skills of the employees and their level of fit with their current positions.
• Re-allocate tasks so that employees have a better fit between their skills, interests, and position
requirements. Then provide training as needed to get employees ready for their new responsibilities.
• Implement the program by providing a new job description to each employee and having them focus
on the task of revised position.
• Revisit regularly to make sure the redefined positions are in a good fit for the skills of the staffs involved
Human Relations and Organizational Behavior

Self-managing work
Self-directed work teams consist of employees from various departments who collaborate on a specific project. These
employees bring their expertise to the group to develop a product, design a process or initiate a product launch. Self-
directed work teams meet regularly to discuss the progress of their project. Each team member shares her knowledge with
the team and learns from her colleagues. Self-directed teams require several characteristics to succeed.

Self-Managed Teams
A self-managed team is a group of employees that's responsible and accountable for all or most aspects of producing a
product or delivering a service. Traditional organizational structures assign tasks to employees depending on their specialist
skills or the functional department within which they work. A self-managed team carries out supporting tasks, such as
planning and scheduling the workflow and managing annual leave and absence, in addition to technical tasks. Management
and technical responsibilities are typically rotated among the team members.

Benefits of Self-Managed Teams


Self-managed teams have greater ownership of the tasks they perform and the end product or service they deliver. Self-
managed teams tend to be loss costly and more productive than employees working within a traditional hierarchical
structure because the team performs both technical and management tasks. Team members may also fill in for each other to
cover holidays and absences. Decisions made by self-managed teams are more effective because they're made by the people
who know most about the job.
Human Relations and Organizational Behavior

Successful self-directed teams assign responsibility to all members of the group. This joint responsibility allows each member
to feel fully invested in the success of the project. This creates a sense of ownership for each team member. As the team
members feel more fully invested, they work harder to see the project succeed. These team members invest more time and
resources outside of the team meetings to analyze different actions and research potential ideas. This investment increases
the success of the project.

Self-managing work advantages


• Joint Responsibility
• Interdependence
• Empowerment
• Common Goal
Human Relations and Organizational Behavior

Teams
A team is any group of people organized to work together interdependently and cooperatively to accomplish a purpose or a
goal.

Importance Of Teams
• Apply a mix of skills that go beyond the scope of any one individual
• Solve complex problems that take more than one mind
• Generate new ideas
• Coordinate individual activities towards a common bigger goal
• Provide support and help to  team members
• Give people a sense of belonging
• Enhance communication
• Help people to learn from each other and develop
• Generate commitment.

Types of team
Three common types of teams include functional or departmental, cross-functional, and self-managing .
Human Relations and Organizational Behavior

Functional or Departmental Teams. 


Groups of people from the same work area or department who meet on a regular basis to analyze customer needs, solve
problems, provide members with support, promote continuous improvement, and share information.

Cross-Functional Teams. 
Groups of people who are pulled together from across departments or job functions to deal with a specific product, issue,
customer problem, or to improve a particular process are cross-functional teams. These are often teams with a specific goal
with an end date.

Self-Managing Teams. 
Groups of people who gradually assume responsibility for self-direction in all aspects of work is called self-managing teams.
Self-managing teams work together to reach a goal without a great deal of oversight.

Intergroup
Intergroup relations refers to interactions between individuals in different social groups, and to interactions taking place
between the groups themselves collectively.
Research on intergroup relations involves the study of many psychological phenomena related to intergroup processes
including social identity, prejudice, group dynamics, and conformity among many others. Research in this area has been
shaped by many notable figures and continues to provide empirical insights into modern social issues such as social
inequality and discrimination.
Human Relations and Organizational Behavior

Conflict in organizations
Organizational Conflict or otherwise known as workplace conflict, is described as the state of disagreement or misunderstanding,
resulting from the actual or perceived dissent of needs, beliefs, resources and relationship between the members of the
organization. At the workplace, whenever, two or more persons interact, conflict occurs when opinions with respect to any task
or decision are in contradiction.

Types of conflict
• Relationship Conflict: The conflict arising out of interpersonal tension among employees, which is concerned with the
relationship intrinsically, not the project at hand.
• Task Conflict: When there is a discord, among members regarding nature of work to be performed is task conflict
• Process Conflict: Clashes among the team members due to the difference in opinions, on how work should be completed, is
called process conflict.

Factors Influencing Organizational Conflict


• Unclear Responsibility
• Interpersonal Relationship
• Scarcity of Resources
• Conflict of Interest
Human Relations and Organizational Behavior

Causes of Organizational Conflict


• Managerial Expectations
• Communication Disruption
• Misunderstanding
• Lack of accountability

Ways to Manage Conflicts in Organization


• Handle the conflict positively.
• Formation of official grievance procedure for all members.
• Concentrate on the causes rather than their effect, to assess conflicts.
• Parties to conflicts should be given an equal voice, irrespective of their position, term or political influence.
• Active participation of all the parties to conflict can also help to counter it.
Human Relations and Organizational Behavior

Leadership-Engineer as Manager
The effective engineering leader instills an action-oriented mindset into everything they do. They are focused on doing the right
things and getting things done. In short, the effective engineering leader is able to achieve goals that are self-initiated or set by
other stakeholders.
Engineering managers are responsible for developing the overall concept of a new product or for solving the technical problems
that prevent the completion of a project .Engineering managers supervise the work of their employees, set schedules, and
create administrative procedures.
Engineering projects are challenging. Even a simple project involves finding new technical approaches and finding creative ways
to achieve results. When engineering leaders play an active role during every step in a project, the process goes more smoothly
and results are better for the team, business, and end user.

Leadership involves proactive innovation and development. Instead of looking at a project in terms of its “limited resources,”
the leader seeks ways to improve upon what’s available and what’s assumed. First and foremost, the leader communicates. He
or she is the model of expected behavior, ethics, and potential.

Managers are responsible for tangible resources like tools and components, while leaders encourage people to deliver on the
potential on those resources.  senior engineers need to combine both the management and leadership perspective. This requires
greater attentiveness to “soft skills” the most important of which may be oral and written communication. It is up to the leader
to keep the lines of communication open and address any misunderstandings.
Human Relations and Organizational Behavior

Decision making
Decision making refers to making choices among alternative courses of action. Individuals throughout organizations use the
information they gather to make a wide range of decisions. These decisions may affect the lives of others and change the
course of an organization. Therefore, increasing effectiveness in decision making is an important part of maximizing your
effectiveness at work. Decision making is a choice from among two or more alternative courses of action, or objects, giving
due regard to the advantages and disadvantages of supporting information about each.. leaders and workers in every
organization should be influenced by their policy and decisions while working together to attain strategic goals and
objectives.Decisions are taken to support organizational growth. The whole fabric of management, i.e. its day to day
operation is rightly built on managerial decisions.
The decision making process involves the following steps:
• Curious Observation
• Existence of Problem
• Goals & Planning
• Search, Explore & Gather the Evidence
• Generate Creative & Logical Alternative Solutions
• Evaluate the Evidence
• Make the Educated Guess (Hypothesis)
• Challenge the Hypothesis
• Reach a Conclusion
• Suspend Judgment
• Take Action
Human Relations and Organizational Behavior

Significance of human relation and organizational

We can define human relations as relations with or between people, particularly in a workplace or professional setting. Since
many companies’ organizational structures depend upon people working together, positive human relations skills reduce
conflict in the workplace, thereby making the workplace more productive. Organizational structures refer to the way a
company arranges people, jobs, and communications so that work can be performed.
The main significance of human relations are
• Improved employee satisfaction
• Reduced unscheduled absences
• Increased productivity
• Employee Motivation
• Positive Perception
• Company Loyalty
Developing effective human relation skills is crucial to establishing and maintaining productive business relationships. Good
communication and attention from managers typically lead to increased levels of productivity and job satisfaction. Human
relations skills make working in groups and teams possible. Increased opportunities for understanding among diverse groups is
one of the benefits of a business environment that fosters open and sincere communication. Establishing an attitude of respect
toward employees as human beings may result in more positive working conditions and loyalty towards the company.
When employees and customers are treated with respect, they are more likely to feel good about maintaining an existing
business relationship. Turnover is often linked to poor relationships between employees and managers.
Human Relations and Organizational Behavior

Significance of organizational behavior

According to Stephen P. Robbins, "Organisational behaviour (OB) is a field of study that investigates the impact that
individuals, groups, and structure have on behavior within organizations, for the purpose of applying such knowledge toward
improving an organization's effectiveness.“

OB is concerned with understanding, applying and controlling of behavioural and structural knowledge of an organisation for
organisation's effectiveness. Management function includes Planning, organising, leading and controlling where people are
involved in different roles (interpersonal roles, informational roles, and decisional roles) and different capacities. Therefore,
for an organisation to succeed it is very important for it to understand its organisation's culture, people by way of
understanding their perception, attitudes, motivation, personality, key personality characteristics relevant to workplace,
learning, job satisfaction, etc through theories of motivation, learning, and reinforcement. And mould their dissatifaction to
satisfaction, motivate them to achieve desired results, provide them appropriate work culture, growth opportunities, punish
their inappropriate behaviour, and infusing learning environment and leadership.
Human Relations and Organizational Behavior

Individual In Organization

• The individuals play an important role in the functioning of the organization. The members of an organization must be
induced, coerced or forced to participate in it.
• People participate in the organizations when they are going to gain something out of them.
• The degree of their identification with the organization depends on the nature and intensity of the motives for
participating in them.
• The success of an organization depends not only on the proper coordination and cooperation of its members but also on the
cooperation of others.

The individuals play an important role in the functioning of the organization. People tend to identify themselves with the
organization in which they participate. There is a close affinity between people's motives on the one hand and their
identification with the organization on the other. The degree of their identification with the organization depends on the
nature and intensity of the motives for participating in them. The individual's identification with the organization is stronger
if a number of individual needs are satisfied in it, the organization goals are perceived as shared, the prestige of the
organization is perceived to be the greater, there is greater frequency of interaction in the organization and there is less
competition within the organization. The individual motives play an important role in the fulfillment of organization goals. An
organization is said to have attained equilibrium when it is able to maintain the continued contribution of all its participants
–members and others by providing them various kinds of inducements to work for its success.
Human Relations and Organizational Behavior

Motivation
Motivation is one of the most important concepts inhuman relations. In most organizations, it is common to hear the refrain
that a particular employee is not motivated and hence his or her performance has taken a backseat. This is the reason
companies spend humungous amounts of money in arranging for training sessions and recreational events to motivate the
employees. Motivation can be understood as the desire or drive that an individual has to get the work done. For instance,
when faced with a task, it is the motivation to accomplish it that determines whether a particular individual would complete
the task according to the requirements or not. Further, the absence of motivation leads to underperformance and loss of
competitiveness resulting in loss of productive resources for the organization. It is for this reason that the HR managers
stress on the employees having high levels of motivation to get the job done.

There are many theories of motivation and the ones being discussed here are the Herzberg’s hygiene theory, Maslow’s
need hierarchy theory, and McGregor Theory X and Theory Y.
• Herzberg’s Hygiene theory states that for employees to be motivated, certain conditions need to exist and the absence
of these conditions or the hygiene factors demotivate the employees. The point that is being made in this theory is that
the presence of hygiene factors is a precondition for performance and is not a determinant of performance. On the other
hand, the absence of these factors actually demotivates the employee. Hence, the bottom line is that companies should
have the basic conditions under which employees work fulfilled so that there is no drag on the performance.
Human Relations and Organizational Behavior

• Maslow’s need hierarchy theory postulates that individuals are motivated according to a hierarchy of needs which start
from satiation of basic needs and then go on to need for recognition and finally, the need to actualize one’s vision and reach
the highest stage of personality. The point that is being made in the theory is that individuals progress from one stage to the
other depending on how well the needs at each stage are met. So, organizations have to ensure that employees’ needs are
taken care of at each level so that by the time the employee reaches the top of the ladder, he or she is in a position to
actualize them.

• McGregor’s theory of motivation alludes to the carrot and stick approach that is favored by many managers. This theory
states that employees can be motivated by a dual pronged strategy of rewarding them for good work and punishing them for
bad work. The opposites of these reactions mean that employees have a strong incentive to do well as opposed to doing
badly.

Role of motivation in organization behavior


 As organizational theory states, employees need to be motivated to actualize their potential and there are several ways of
enabling them and empowering them to do so. These include the role of reward systems in motivating employees according to
their needs for extrinsic or external motivation and by providing them opportunities that appeal to their intrinsic or internal
motivation needs. The other factors that motivate employees are the kind of job that they are asked to perform, the added
benefits like extended vacations and perquisites like company provided accommodation and funding for kids schooling as well
as provision of medical insurance coverage for the employees and their families. In recent years, there has been lot of emphasis
on motivating employees by organizing offsite events and fun and recreation events where the employees let their hair down
and indulge in the much-needed stress relieving activities.
Human Relations and Organizational Behavior

Overall importance of motivation

• Puts human resources into action


• Improves level of efficiency of employees
• Leads to achievement of organizational goals
• Builds friendly relationship
• Leads to stability of work force

Personality And Creativity


• Personality is the particular combination of emotional, attitudinal, and behavioral response patterns of an individual.
• Personality plays a key role in organizational behavior because the way that people think, feel, and behave affects many
aspects of the workplace.
• An individual will handle a situation based on his/her personal values and personality traits. These traits are developed
throughout a person's lifetime and cannot be easily changed.
• Traits such as openness, emotional stability, and agreeableness all predict that an individual will have less conflict, work
better in teams, and have positive attitudes about his or her work.
• People with this type of personality should be placed in situations where they would be working with or leading others. Those
who do not have these traits will have less motivation and be more negative when they are placed in these same situations.
Human Relations and Organizational Behavior

Creativity

• Creativity is the act of turning new and imaginative ideas into reality.
• Creativity involves two processes: (i) Thinking (ii)Producing
• Creativity in organizations focuses on achieving innovation, competitive advantage and social benefits by enhancing the
‘level’ of creativity in the organization.

Creativity Involves
• Concepts: ideas and/or technologies
• Competences: skills and abilities of individuals (and the opportunity to use these skills in the organization).
• Connections: the relationships which individuals, teams and organizations create (networks). Sustained by
collaboration and can be re-configured as new ideas emerge/are created.
Human Relations and Organizational Behavior

Group Dynamics
Group dynamics deals with the attitudes and behavioral patterns of a group. Group dynamics concern how groups are formed,
what is their structure and which processes are followed in their functioning. Thus, it is concerned with the interactions and
forces operating between groups.
Group dynamics is a branch of social psychology which studies problems involving the structure of a group. The interactions
that influence the attitudes and behaviour of people when they are grouped with others through either choice or accidental
circumstances.

Objectives
• To identify and analyze the social processes that impact on group development and performance.
• To acquire the skills necessary to improve individual and group performance in an organizational context.
• To build more successful organizations by applying techniques that provides positive impact on goal achievement.

Principles
• The members of the group must have a strong sense of belonging to the group.
• Changes in one part of the group may produce stress in other person, which can be reduced only by eliminating or allowing
the change by bringing about readjustment in the related parts
• The group arises and functions owing to common motives.
• Groups survive by placing the members into functional hierarchy and facilitating the action towards the goals
• The intergroup relations, group organization and member participation is essential for effectiveness of a group.
• Information relating to needs for change plans for change and consequences of changes must be shared by members of a
group.
Human Relations and Organizational Behavior

Elements Of Group Dynamics

• Communication
• Content Vs Process
• Decision
• Influence
• Task Vs Relationships
• Roles
• Membership
• Feelings
• Norms
• Group Atmosphere
• Group Maturity
Human Relations and Organizational Behavior

Team Working
Teamwork holds a highly valuable place in organizations, with teamwork among employees every bit as important as
collaboration among members of a sporting team. Importance of team work:

Problem Solving
• Teamwork is important due to the problem-solving energy.
• Using teamwork, team members pool their collective ideas together to generate unique ideas for dealing with problems.

Communication
• Teamwork is the backbone of effective communication within a company.
• Teamwork promotes conversation between employees regarding the task at hand, possibly preventing employees from
working in opposite directions.

Cohesion
• Cohesion is an important byproduct of teamwork within a company. This cohesion could be the result of increased
chemistry, trust or both from working on projects as a team.
• Cohesion from teamwork can greatly increase the work- flow speed of a company.

Learning
• When employees work together as a team within a company, every employee learns from one another.
• employees from different departments may learn information from each other regarding the limitations and possibilities of
those departments.
Human Relations and Organizational Behavior

Communication And Negotiation Skills


• Being able to communicate effectively is the most important of all life skills.
• Communication is simply the act of transferring information from one place to another, whether this be vocally, written
visually or non-verbally.
 
Communication Skills Include:
• Speaking appropriately with a wide variety of people whilst maintaining good eye contact
• demonstrate a varied vocabulary
• listen effectively
• present your ideas appropriately
• write clearly and concisely
• work well in a group

Negotiation
• Negotiation is a method by which people settle differences. It is a process by which compromise or agreement is reached
while avoiding argument.

Basics Of Negotiation
• There must be at least two or more parties involved.
• There is a common interest between parties.
• Have definite goals and objectives.
• Allow adequate time for the process.
Human Relations and Organizational Behavior

Basic Elements Of Successful Negotiation


• Positive Attitude
• Knowledge of the Negotiation process
• An understanding of people
• A grasp of your subject
• Creativity: settle on a solution before you negotiate
• Communication skills

Negotiation Process
• Relate : Building a relationship
• Explore : Interests of both sides
• Propose: One concrete proposal addresses all underlying interests
• Agree : Compromising & create alternatives

Five Ways To Negotiate Effectively


• Learn to flinch
• Recognize that people often ask more than they expect to get
• The person with the most information usually does better
• Practice at every opportunity
• Maintain your walk away power
WELFARE MEASURES

Introduction

Employee welfare entails everything from services, facilities and benefits that are provided or done by an employer for the
advantage or comfort of an employee. It is undertaken in order to motivate employees and raise the productivity levels.
In most cases, employee welfare comes in monetary form, but it doesn’t always bend that way. Other forms of employee
welfare include housing, health insurance, stipends, transportation and provision of food. An employer may also cater for
employees’ welfare by monitoring their working conditions.  it has huge benefits for both employer and employee. Under the
principles of employee welfare, if an employee feels that the management is concerned and cares for him/her as a person and
not just as another employee, he/she will be more committed to his/her work. Other forms of welfare will aid the employee of
financial burdens while welfare activities break the monotony of work.
An employee who feels appreciated will be more fulfilled, satisfied and more productive. This will not only lead to higher
productivity but also satisfied customers and hence profitability for the company. A satisfied employee will also not go looking
for other job opportunities and hence an employer will get to keep the best talents and record lower employee turnover.
WELFARE MEASURES

Compensation
Compensation is the total cash and non-cash payments that you give to an employee in exchange for the work they do for
your business. It is typically one of the biggest expenses for businesses with employees. Compensation is more than an
employee’s regular paid wages. It also includes many other types of wages and benefits.

Types of compensation include:


• Base pay (hourly or salary wages)
• Sales commission
• Overtime wages
• Tip income
• Bonus pay
• Recognition or merit pay
• Benefits (insurances, standard vacation policy, retirement)
• Stock options
• Other non-cash benefits

How to determine compensation of employees


• Research
• Accomplishments
• Previous wages
• Available funds
• Benefits
WELFARE MEASURES

Safety And Health


Itis a system means the part of the Organization's management system which covers:
• the health and safety work organization and policy in a company
• the planning process for accident and ill health prevention
• the line management responsibilities and
• the practices, procedures and resources for developing and implementing, reviewing and maintaining the occupational
safety and health policy.
The system should cover the entire gambit of an employer's occupational health and safety organization

The key elements of a successful safety and health management system are:

1. Policy and commitment


The workplace should prepare an occupational safety and health policy programme as part of the preparation of the Safety.
Effective safety and health policies should set a clear direction for the organisation to follow. They will contribute to all
aspects of business performance as part of a demonstrable commitment to continuous improvement. Responsibilities to people
and the working environment will be met in a way that fulfils the spirit and letter of the law. Cost-effective approaches to
preserving and developing human and physical resources will reduce financial losses and liabilities.
WELFARE MEASURES

2. Planning
The workplace should formulate a plan to fulfil its safety and health policy as set out in the Safety Statement. An effective
management structure and arrangements should be put in place for delivering the policy. Safety and health objectives and
targets should be set for all managers and employees.

3. Implementation and operation


For effective implementation, organisations should develop the capabilities and support mechanisms necessary to achieve
the safety and health policy, objectives and targets. All staff should be motivated and empowered to work safely and to
protect their long-term health, not simply to avoid accidents.There should be a planned and systematic approach to
implementing the safety and health policy through an effective safety and health management system. The aim is to
minimise risks. Risk Assessment methods should be used to determine priorities and set objectives for eliminating hazards
and reducing risks. Wherever possible, risks should be eliminated through the selection and design of facilities, equipment
and processes.

4. Measuring performance
The organisation should measure, monitor and evaluate safety and health performance. Performance can be measured
against agreed standards to reveal when and where improvement is needed. Active self-monitoring reveals how effectively
the safety and health management system is functioning. Self-monitoring looks at both hardware (premises, plant and
substances) and software (people, procedures and systems, including individual behaviour and performance). If controls fail,
reactive monitoring should find out why they failed, by investigating the accidents, ill health or incidents, which could have
caused harm or loss
WELFARE MEASURES

5. Auditing and reviewing performance


The organisation should review and improve its safety and health management system continuously, so that its overall safety
and health performance improves constantly. The organisation can learn from relevant experience and apply the lessons.
There should be a systematic review of performance based on data from monitoring and from independent audits of the whole
safety and health management system. These form the basis of complying with the organisation’s responsibilities under the
2005 Act and other statutory provisions. There should be a strong commitment to continuous improvement involving the
development of policies, systems and techniques of risk control

GPF

GPF or General Provident Fund account is a provident fund account which is available for government employees.The
accumulations in the fund is paid to the government employee at the time of superannuation or retirement.
GPF is provident fund account where only government employees can be members. The government employees contribute a
certain percentage of their salary and are entitled to the accumulated fund at the time of retirement.
Private company employees are not entitled to be a member of GPF.
General Provident Fund is savings solution for government employees where contribution is made into the GPF account in
regular instalments by the employees from their salaries and they earn interest on it.
The sum collected is paid to the employees at the time of retirement or when they stop working with the government. The
employees can also nominate someone at the time of opening their account.
WELFARE MEASURES

EPF

The EPF scheme basically aims at promoting savings to be used post-retirement by various employees all over the country.
Employees’ Provident Fund or EPF is a collection of funds contributed by the employer and his employee regularly on a monthly
basis. The employer and employee contribute 12% each of the employee’s salary (basic + dearness allowance) to the EPF. These
contributions earn a fixed level of interest.
Employee Provident Fund is a very important tool of retirement planning. The tax free interest (compounding) and the maturity
ensures a good growth of your money. If continued for a very long term, it can help immensely in meeting ones retirement goal.

Benefits
• PF Entitles for Pension Too
• Insurance Benefit
• Marriage, Education need for self, child or any sibling
• Medical Emergency
WELFARE MEASURES

Group Insurance
Group insurance is an insurance that covers a defined group of people, for example the members of a society or professional
association, or the employees of a particular employer. Group coverage can help reduce the problem of adverse selection by
creating a pool of people eligible to purchase insurance who belong to the group for reasons other than the wish to buy
insurance, which might be because they are a worse than average risk. Grouping individuals together allows insurance
companies to give lower rates to companies, Providing large volume of business to insurance companies gives greater
bargaining power for clients, resulting in cheaper group rates.

How It Works
The cost of a group health plan is shared by everyone in the group, and by the employer and employees. In other words,
these plans cost less because there are more people in them. ... Employees pay a portion of their own health insurance
premiums. The employer pays a portion of the employee  health insurance premiums

Benifits
• It facilitates small scale organisations,where workers may find difficult to buy individual schemes
• Lower cost
• Coverage can be extended to unlimited number of staffs
• Increases productivity and also increases team spirit
WELFARE MEASURES

Housing – Pension
Housing
Access to affordable and quality housing is central to community wellbeing. Apart from meeting the basic need for shelter, it
provides a foundation for family and social stability, and contributes to improved health and education outcomes and a
productive workforce. Thus, it enhances both economic performance and social capital. An efficient type of housing is seen
when an area is planned with a specific housing plan. A housing plan addresses various issues i.e. social discrimination,
provision of facilities, distance from work place, etc.

Benefits of housing
• Economic Development
• Create Jobs
• Attract Both Employers and Employees
• Increase Consumer Spending 
• Increase Government Revenues 

From being a problem to be tackled by building more number of houses by the government sector, shelter activity must now
become means of mobilizing the motivations, energies and resources of the people so as to lead more and sustainable
development at a faster rate. Shelter must be treated not as an activity to be carried out in isolation but as an important
integral factor for attaining economic growth with stability of the country with special emphasis on the economically weaker
sections of the society.  For removing the existing bottlenecks in housing sector and planning for attaining sustained economic
growth with stability in housing sector in coming years, the policy makers, researchers, academicians, planners etc. should
take into account certain well established norms before making policy decisions.
WELFARE MEASURES

A pension is a fund into which a sum of money is added during an employee's employment years, and from which payments
are drawn to support the person's retirement from work in the form of periodic payments. A pension may be a "defined
benefit plan" where a fixed sum is paid regularly to a person, or a "defined contribution plan" under which a fixed sum is
invested and then becomes available at retirement age.

Types of pension plan


• Employment-based pensions
A retirement plan is an arrangement to provide people with an income during retirement when they are no longer earning a
steady income from employment. Often retirement plans require both the employer and employee to contribute money to a
fund during their employment in order to receive defined benefits upon retirement. It is a tax deferred savings vehicle that
allows for the tax-free accumulation of a fund for later use as a retirement income. Funding can be provided in other ways,
such as from labor unions, government agencies, or self-funded schemes.

• Social and state pensions


Many countries have created funds for their citizens and residents to provide income when they retire (or in some cases
become disabled). Typically this requires payments throughout the citizen's working life in order to qualify for benefits later
on. A basic state pension is a "contribution based" benefit, and depends on an individual's contribution history.

• Disability pensions
Some pension plans will provide for members in the event they suffer a disability. This may take the form of early entry into
a retirement plan for a disabled member below the normal retirement age.
 
WELFARE MEASURES

Benefits
For employees
• Lower management fees
• Increased savings through payroll deductions
• Immediate tax saving
• Tax-sheltered accumulation of invested amounts
• Access to leading investment managers
• Investment solutions for everyone

For employers
• Foster retention and attraction of employees
• Maximize tax-effectiveness of compensation
• Simple administration

Laws Related To Welfare Measures


International labour law is the body of rules spanning public and private international law which concern the rights and duties
of employees, employers, trade unions and governments in regulating the workplace. The International Labour
Organization and the World Trade Organization have been the main international bodies involved in reforming labour markets.
The International Monetary Fund and the World Bank have indirectly driven changes in labour policy by demanding structural
adjustment conditions for receiving loans or grants. Issues regarding Conflict of laws arise, determined by national courts,
when people work in more than one country, and supra-national bodies, particularly in the law of the European Union, has a
growing body of rules regarding labour rights.
Management and Development Methods

Introduction
Management development is concerned with improving the performance of managers in their present roles and preparing
them to take on greater responsibilities in the future. It has been described by Mumford and Gold (2004) as 'an attempt to
improve managerial effectiveness through a learning process’.

A systematic approach to management development is necessary because the increasingly onerous demands made on line
managers mean that they require a wider range of developed skills than ever before.

A management development policy provides guidelines on the approach an organization adopts to the development of its
managers. It is operationalized by a management development strategy. Mabey and Thompson (2000) state that management
development policy consists of three variables: 1) the existence of written management development policy statements, 2) the
degree of organizational priority given to management development, and 3) who takes responsibility for driving management
development in the organization (the individual or the organization).
Management and Development Methods

Wages And Salary


Wages and salaries are the remuneration paid or payable to employees for work performed on behalf of an employer or
services provided.
Wages and salaries are typically paid directly to an employee in the form of cash or in a cash equivalent, such as by cheque or
by direct deposit into the employee's bank account or an account directed by the employee.

Difference between salaries and wages


No.
1.
Basis for comparison Salary Wages
  Meaning A fixed pay that an individual draws A variable pay that an individual
 
 
  for the work done by him on an draws on the basis of hours spent
  annual basis. in completing the certain amount
    of work.
 
2.
Skills Skilled personnel Semi Skilled personnel
 
3.
Type of cost fixed variable
4.
Rate of payment Fixed rate Wage rate
5.
Basis of payment Performance basis Hourly basis

6.
Nature of work Administrative-office work Manufacturing-process work
Management and Development Methods

Objectives Of Wage And Salary Administration


1. To recruit persons for a firm
2. To control payroll costs
3. The satisfy people, to reduce the incidence of quitting, grievances and fractions over pay and
4. To motivate people to perform better.

Principles of Wage and Salary Administration:


5. Wage policy should be developed keeping in view the interests of all concerned parties viz., employer, employees, the
consumers and the society.
6. Wage and salary plans should be sufficiently flexible or responsive to changes in internal and external conditions of the
organisation.
7. Efforts should be made to ensure that differences in pay for jobs are based on variations in job requirements such as skill,
responsibility, efforts and mental and physical requirements.
8. Wage and salary administration plans must always be consistent with overall organizational plans and programmes.
9. Wage and Salary administration plans must always be in conformity with the social and economic objectives of the country
like attainment of equality in income distribution and controlling inflation, etc.
10. These plans and programmes should be responsive to the changing local and national conditions.
11. Wage and salary plans should expedite and simplify administrative process.
12. Workers should be associated, as far as possible, in formulation and implementation of wage policy.
13. An adequate data base and a proper organizational set up should be developed for compensation determination and
administration.
14. The general level of wages and salaries should be reasonably in line with that prevailing in the labour market. against
conditions beyond their control.
Management and Development Methods

Components Of Wage And Salary


An average employee in the organized sector is entitled to several benefits-both financial as well as non-
financial. To be specific, typical remuneration of an employee comprises:
Wages and Salary: Wages represent hourly rates of pay, and salary refers to the monthly rate of pay, irrespective
of the number of hours put in by an employee. Wages and salaries are subject to annual increments. They also
differ from employee to employee, and depend upon nature of job, seniority, and merit. Incentives:
Also called ―payments by results‖, incentives are paid in addition to wages and salaries. Incentives depend upon
productivity, sales, profit or cost reduction efforts.
There are: i) Individual incentive schemes and ii) Group incentive programmes. Individual incentives are
applicable to specific employee performance. Where a, given task demands group effort for completion,
incentives are paid to the group as a whole. The amount is later divided among group members on an equitable
basis.
Fringe Benefits:
These include such motley crowd of employee benefits as provident fund, gratuity, medical care,
hospitalization, accident relief, health and group insurance, canteen, uniform, recreation and the like.
Perquisites: These are allowed to executive and include company car, club membership, paid holidays,
furnished house, stock option scheme and the like. Perquisites are offered to retain competent executives.
Non-monetary Benefits : These include challenging job, responsibilities, recognition of merit, growth prospects,
competent supervision, comfortable working conditions, job sharing and flexi time.
Management and Development Methods

Employee Benefits
Also known as perks or fringe benefits, are provided to employees over and above salaries and wages. These employee benefit
packages may include overtime, medical insurance, vacation, profit sharing and retirement benefits, to name just a few.

Why are employee benefits important?


Offering benefits to your employees is important because it shows them you are invested in not only their overall health, but
their future. A solid employee benefits package can help to attract and retain talent. Benefits can help you differentiate your
business from competitors.
Employee benefits can improve your company’s bottom line by engaging employees to participate in wellbeing programs.
Healthier employees mean reduced healthcare costs for your organization. Employees with fewer health risks experience
fewer sick days, fewer trips to the doctor, and spend more time working in your organization, bringing their best selves to
work every day.

Types of Employee Benefits


• Medical Insurance
Medical insurance covers the costs of physician and surgeon fees, hospital rooms, and prescription drugs. Dental and optical
care might be offered as part of an overall benefits package. It may be offered as separate pieces or not covered at all.
Coverage can sometimes include the employee's family (dependents).
Employers usually pay all or part of the premium for employee medical insurance. Often employees pay a percentage of the
monthly cost. The cost of insurance through an employer
Management and Development Methods

• Disability Insurance
Disability insurance replaces all or part of the income that is lost when a worker is unable to perform their job because of
illness or injury. This benefit is not commonly offered. There are two main types of disability insurance:
• Life Insurance
Life insurance protects your family in case you die. Benefits are paid all at once to the beneficiaries of the policy — usually a
spouse or children.
You can get life insurance through an employer if they sponsor a group plan. Company-sponsored life insurance plans are
standard for almost all full-time workers in medium and large firms across the country. You can also buy it privately, but this is
usually more expensive.
• Retirement Benefits
Retirement benefits are funds set aside to provide people with an income or pension when they end their careers. Retirement
plans fit into two general categories:
• Paid Time Off
Paid time off (also referred to as PTO) is earned by employees while they work. The three common types of paid time off are
holidays, sick leave, and vacation leave.
Most employees earn these as separate benefits. About 10 percent of Minnesota employers offer consolidated PTO. This
combines sick leave and vacation into one account for the employee to use as needed.
• Fringe Benefits
Fringe benefits are a variety of non-cash payments are used to attract and retain talented employees. They may include tuition
assistance, flexible medical or child-care spending accounts (pre-tax accounts to pay qualified expenses), other child-care
benefits, and non-production bonuses (bonuses not tied to performance).
Tuition reimbursement can be an especially important benefit if you plan to take classes in your personal time. This can be a
great way to advance in your career. Most firms offering tuition assistance require that courses are related to job duties.
Management and Development Methods

Employee Appraisal And Assessment


An employee performance appraisal is a process—often combining both written and oral elements—whereby management
evaluates and provides feedback on employee job performance, including steps to improve or redirect activities as needed.
Documenting performance provides a basis for pay increases and promotions. Appraisals are also important to help staff
members improve their performance and as an avenue by which they can be rewarded or recognized for a job well done. 
Performance appraisal is supposed to be a developmental experience for the employee and a 'teaching moment' for the
manager.
Types of appraisals
• Traditional
In a traditional appraisal, a manager sits down with an employee and discusses performance for the previous performance
period, usually a single year. The discussion is based on the manager's observations of the employee's abilities and performance
of tasks as noted in a job description. The performance is rated, with the ratings tied to salary percentage increases.
• Self-Appraisal
the self-appraisal is used in the performance appraisal process to encourage staff members to take responsibility for their own
performance by assessing their own achievements or failures and promoting self-management of development goals.
• Employee-Initiated Reviews
In an employee-initiated review system, employees are informed that they can ask for a review from their manager. This type
of on-demand appraisal is not meant to replace a conventional review process. Rather, it can be used to promote an attitude of
self-management among workers.
• 360-Degree Feedback
360-degree feedback in the performance appraisal process refers to feedback on an employee's performance being provided by
the manager, different people or departments an employee interacts with (peer evaluation), external customers, and the
employee himself.
Management and Development Methods

Employee Assessments
Employee assessments are an effective tool for managing employee performance. On some occasions, assessments can cause
anger and negativity, particularly if an employee feels the evaluation was personally critical. However, it is important to
conduct assessments to help your workers grow professionally as your company strives to reach its objectives.

Steps in employee assessments


Management and Development Methods

Employee Services
Many organizations offer different types of employee services to attract and retain employees. These services provide
assistance to employees in a variety of ways to improve their work and personal life. Along with standard fringe benefits such
as health care and paid time off, many employers are creating more ways to keep employees satisfied. 
Some employee services are
• Flexible work schedules
• Wellness programme
• Child care
• Product service discounts
• Educational assistance
• Medical coverage
• Heaith insurance
• Retirement plan
• Holiday pay
Management and Development Methods

Safety And Health Management


A safety and health management system means the part of the Organisation's management system which covers:
• the health and safety work organisation and policy in a company
• the planning process for accident and ill health prevention
• the line management responsibilities and
• the practices, procedures and resources for developing and implementing, reviewing and maintaining the occupational
safety and health policy.
The system should cover the entire gambit of an employer's occupational health and safety organisation.

The key elements of a successful safety and health management system are:
1. Policy and commitment
The workplace should prepare an occupational safety and health policy programme. Effective safety and health policies
should set a clear direction for the organisation to follow. They will contribute to all aspects of business performance as part
of a demonstrable commitment to continuous improvement. Responsibilities to people and the working environment will be
met in a way that fulfils the spirit and letter of the law. Cost-effective approaches to preserving and developing human and
physical resources will reduce financial losses and liabilities.
Management and Development Methods

2. Planning
The workplace should formulate a plan to fulfil its safety and health policy as set out in the Safety Statement. An effective
management structure and arrangements should be put in place for delivering the policy. Safety and health objectives and
targets should be set for all managers and employees .

3. Implementation and operation


For effective implementation, organisations should develop the capabilities and support mechanisms necessary to achieve the
safety and health policy, objectives and targets. All staff should be motivated and empowered to work safely and to protect
their long-term health, not simply to avoid accidents.There should be a planned and systematic approach to implementing the
safety and health policy through an effective safety and health management system. The aim is to minimise risks. Risk
Assessment methods should be used to determine priorities and set objectives for eliminating hazards and reducing risks.
Wherever possible, risks should be eliminated through the selection and design of facilities, equipment and processes.

4. Measuring performance
The organisation should measure, monitor and evaluate safety and health performance. Performance can be measured against
agreed standards to reveal when and where improvement is needed. Active self-monitoring reveals how effectively the safety
and health management system is functioning. Self-monitoring looks at both hardware (premises, plant and substances) and
software (people, procedures and systems, including individual behaviour and performance). If controls fail, reactive
monitoring should find out why they failed, by investigating the accidents, ill health or incidents, which could have caused
harm or loss. 
Management and Development Methods

5. Auditing and reviewing performance


The organisation should review and improve its safety and health management system continuously, so that its overall safety
and health performance improves constantly. The organisation can learn from relevant experience and apply the lessons.
There should be a systematic review of performance based on data from monitoring and from independent audits of the whole
safety and health management system. These form the basis of complying with the organisation’s responsibilities under the
2005 Act and other statutory provisions. There should be a strong commitment to continuous improvement involving the
development of policies, systems and techniques of risk control.

Benefits
A safe and healthy workplace not only protects workers from injury and illness, it can also lower injury/illness costs, reduce
absenteeism and turnover, increase productivity and quality, and raise employee morale. In other words, safety is good for
business. Plus, protecting workers is the right thing to do.

Special Human Resource Problems


Humans have always been complex and having to manage people has always been tricky. Now, the digital age has added even
more complexity to human resource management, like the transparency of social media, the persistence of software updates,
and the remoteness of international teams.
This makes human resources a difficult job that’s faced by many challenges. It also means that identifying and
overcoming human resource challenges is time, money and effort well spent, since the greatest asset a business can boast are
its employees.
Management and Development Methods

Most common challenges faced by HR professionals

1. Attracting top talent


Attracting and retaining the best talent takes discernment, time, and a whole lot of work o attract the right individuals, you
need to know the requirements of the job and the organization. But as job roles and expectations keep changing, and
organizational culture keeps adapting, this task becomes increasingly difficult.

2. Embracing change with grace and ease


It’s well-known that humans are afraid of change. The unknown brings about feelings of uncertainty and anxiety.
This makes the large responsibility of adapting employees for change, one of the most recurring challenges faced by HR
professionals. Human resources are tasked not only with managing employee morale, happiness, and cooperation through
change but also with constantly upskilling employees to meet the changing needs of the business.

3. Developing the leaders of tomorrow


Not all teams perform at the same level, and this is usually because of the team leader. Many employees consider leaving
their jobs because of a poor relationship with their direct manager. That’s why it’s critical to source and develop talented and
inspiring leaders.
Management and Development Methods

4. Fostering a culture of continuous learning


Today, crowds of employees leave their jobs with the key reason being a lack of development opportunities.
training is the golden drawcard for keeping employees stimulated, engaged and loyal.

5. Managing diversity with local in mind


In this case  challenges are , like managing diverse cultures in a local team. While adhering to local policies and procedures,
HR must also create a workplace that is comfortable, welcoming, and free of conflict – for everyone.

6. Looking After Health and Safety


High levels of stress cannot be sustained. Not only does labor law govern these concerns, but they’re also of great importance
to general employee wellbeing. Because health in the workplace isn’t just about hygiene and safety.
 
7. Creating a Quality Employee Experience
It’s not uncommon to find high staff turnover in fast-paced companies. Because even though they might manage to hire the
best employees, keeping them around becomes the next obstacle and one of the greatest human resource challenges.
Management and Development Methods

Productivity In Human Resources


Employee productivity (sometimes referred to as workforce productivity) is an assessment of the efficiency of a worker or
group of workers. Productivity may be evaluated in terms of the output of an employee in a specific period of time.
The successful economic performance of an enterprise is a prerequisite for the growth and security of its employees. The role
of productivity, therefore, assumes great importance.
Improving productivity has always been a live issue for management. As the profitability of an organization mostly depends on
improvement in productivity.  Therefore, managers are always striving to find ways for achieving the target of improved
productivity.
Productivity is usually defined mechanically, as the ratio between input and the output. But, it is, in fact, an organizational
challenge encompassing the human, cultural, technological and moral aspects. It is an all-out effort in every sphere of activity
of the organization.  An effort towards achieving the target of the most efficient management of all the available resources.
Management and Development Methods

There are several means to improve workplace productivity. Some of them are mentioned below:
1. Innovative and high-performing employees: For HR managers, the biggest challenge in maintaining team productivity is to
hire, develop and retain employees which are self-motivated, agile, have good capabilities and are continuous learners.
2. Effective management: Even the best employees cannot perform effectively without the presence of a proper support and
supervision system. A great manager is another important productivity factor. Leaders define the direction, goals, roles and
purposes of the workforce and also prioritise them. They are also instrumental in providing the much needed tools and
resources for employee development. HR must step in when they find that managers are the weak link in ensuring productivity
and try to develop great managers.
3. Performance metrics: Having an effective system for measuring and reporting processes and performance aids in
reinforcing individual and team goals. Proper feedback and results help in achieving continuous improvement.
4. Effective rewards: Coupling performance and goals directly with monetary and non-monetary benefits can play a major
role in ensuring high employee productivity.

Factors That Affect The Productivity


1) Lack of material
2) Labour strikes
3) Delay in arrival of materials
4) Financial difficulties of the owner
5) Unclear instruction to labourer and high absentism of labours
6) Bad weather (e.g. rain, heat, etc.)
7) Non discipline labour and use of alcohol and drugs
8) Bad leadership
Management and Development Methods

Labour Productivity
• Technological improvement, better organization and management, the development of better method of production by labor
and management, greater ingenuity and skill by labor are the responsible for the increase in productivity.
• Actually, productivity measures the contributions of all the resource factors – men, material, machines, and management.

Guidelines For Improving The Labour Productivity


1.Properly training to the labours
2.Motivation to workers towards project completion
3.On time payment to the workers
4.Systematic flow of work
5.Properly , clearly & in time supervision 6.Maintain work discipline
7.Facilities to the labourers
8.Premonsoon plan to avoid work stop
9.Maximum use of machinery and automation system
10.Advance equipment planning 

Measuring Labour Productivity


Single-factor Measures-- Output / (Single Input), output/machine, output/capital, output/energy,
All-factors Measure-- Output / (Total Inputs)
9. 
Management and Development Methods

Single Factor Approach to Measuring Productivity

 Capital – [Number of products produced ]


[asset value ]

 Materials - [Number of products produced ]


[ dollars spent on materials ]

 Direct Labor - [ Number of products produced ]


[ direct labor-hours ]

 Overhead - [ Number of products produced ]


[ dollars spent on overhead ]
Management and Development Methods

Innovative Approach To Designing And Managing Organization


Design is now an essential tool for managing a company; a tool that improves functioning of the whole organization in different
areas.

For survival, innovation is almost obligatory (Drucker, 1999). An innovation process “connects upstream idea valuation to
downstream production and release to market.” Once a well-defined innovation strategy that aligns with business goals is in
place, the next step will entail managing it effectively. Like any business function, innovation can be managed.
Innovation is an important source of growth and a key determinant of competitive advantage for many organizations. Achieving
innovation requires the coordinated efforts of many different actors and the integration of activities across specialist functions,
knowledge domains and contexts of application. 

Organizational design is actually a formal process of integrating people, information and technology. Organizational
structure is the formal authority, power and roles in an organization. Organizational size, organizational life cycle, strategy,
environment and technology work together to form a complete organization.

Elements in organizational design


• Work Specialization.
• Departmentalization and Compartments
• Chain of Command
• Span of Control
• Centralization and Decentralization
• Formalization of Elements.
Management and Development Methods

Approaches
The Classical Approach
Max Weber, Frederick Taylor, and Henri Fayol were major contributors to the so called classical approach to organizational
design. They believed that the most efficient and effective organizations had a hierarchical structure in which members of the
organization were guided in their actions by a sense of duty to the organization and by a set of rational rules and regulations.
When fully developed, according to Weber, such organizations were characterized by specialization of tasks, appointment by
merit, provision if career opportunities for members, routinization of activities and a rational, impersonal organizational
climate.

The Task Technology Approach


A different set of variables internal to the organization are prominent in the task technology approach to organizational design
that emerged in the 1960s. Task technology refers to the different kinds of production technology involved in making different
kinds of products.
Classical studies conducted in the mid 1960s by Joan Woodward and her colleagues found that an organization’s task technology
affected both its structure and its structure and its success. Woodward’s team divided about 100 British manufacturing forms
into three groups according to their respective task technologies: (1) Unit and small batch production, (2) large batch and mass
production and (3) process production.
Management and Development Methods

Other Approaches

• Accessing the scope and goals of the organization.


• Accessing the strategy and environment of the organization.
• Analyzing the structure and configuration of the firm.
• Accessing the process and people.
• Analyzing coordination, control and incentives.
• Designing the architecture and sequence of change.
• Implementing the change—who should do what when.

Benefits

• Clarity
• Growth
• Adaptability
• Opportunity
Management and Development Methods

Managing New Technologies


Since technology is such a vital force, the field of technology management has emerged to address the particular ways in which
companies should approach the use of technology in business strategies and operations. Technology is inherently difficult to
manage because it is constantly changing, often in ways that cannot be predicted. Technology management is the set of policies
and practices that leverage technologies to build, maintain, and enhance the competitive advantage of the firm on the basis of
proprietary knowledge and know-how.
Technological change is a combination of two activities invention and innovation. Invention is the development of a new idea
that has useful applications. Innovation is a more complex term, referring to how an invention is brought into commercial usage.

How to Manage New Technology


• Learning About New Advances
-Keep your eyes open for new technologies that might assist you.
-Evaluate the technology against your strategy.
-Ask lots of questions and make yourself the knowledge expert if you think the technology might be useful. 

• Implement New Advances


-Outline the benefits and risks of the change
-Begin with a limited test of the technology.
-Document a communication plan
-Plan a fallback path.
Management and Development Methods

Total Quality Management (TQM)


It is a participative, systematic approach to planning and implementing a constant organizational improvement process. Its
approach is focused on exceeding customers' expectations, identifying problems, building commitment, and promoting open
decision-making among workers.
What elements make up a TQM approach?
• Ethics
• Integrity
• Trust
• Training
• Teamwork
• Leadership
• Recognition
• Communication

Principles
• Focus on customers
• Employee involvement
• Process centered
• Integrated system
• Strategic and systematic approach
• Decision-making based on facts
• Communication

Management and Development Methods

Benefits of Total Quality Management


•The benefits arising from the implementation of a Total Quality Management in an organization are:This will increase the awareness of quality
culture within the organization.
•A special emphasis on teamwork will be achieved.
•TQM will lead to a commitment towards continuous improvement.

Essential requirements for successful implementation of TQM

• Commitment: Quality improvement (in all aspect) must be everyone’s job in the organization. An apparent commitment
from the top management, breaking down the barriers for continuous quality improvement and steps required to provide an
environment for changing attitudes must be provided. Training and support for this should be extended.
• Culture: There should be proper training to effect the changes in attitude and culture.
• Continuous Improvement: Recognize improvement as a continuous process, and not merely a one-off program.
• Customer Focus: Perfection in service with zero defectives and full satisfaction to end-user whether it’s internal or external.
• Control: Ensure monitoring and control checks for any deviation from the intended course of implementation.
Management and Development Methods

Phases of TQM

• Planning Phase: This phase is the most crucial phase of total quality management. Under this phase, employees have to
come up with their respective queries and problems which need to be addressed. The employees apprise the management
of different challenges which they are facing in their day to day operations and also analyze the root cause of the
problem. They need to do the required research and collect significant data which would help them find solutions to all
the problems.

• Doing Phase: In this phase, a solution for the identified problems in the planning phase is developed by the employees.
Strategies are devised and implemented to crack down the challenges faced by employees. The efficiency and
effectiveness of solutions and strategies are also evaluated in this stage.

• Checking Phase: Under this phase, a comparison analysis of before and after is done in order to assess the effectiveness
of the processes and measure the results.

• Acting Phase: This is the last phase of the cycle, in this phase employees document their results and prepare themselves
to address other problems.
Management and Development Methods

Concept Of Quality Of Work Life


Quality of work life is a concept which talks about the overall focus on employee as a person rather than just the work done
by him/her. Quality of Work Life is becoming an increasingly popular concept in recent times. It basically talks about the
methods in which an organization can ensure the holistic well-being of an employee instead of just focusing on work-related
aspects.

Importance of quality of work life


Quality of work life (QWL) is a fact that an individual’s life can’t be compartmentalized and any disturbance on the personal
front will affect his/her professional life and vice-versa. A good work life balance is also what motivates an employee the
most to perform well at his or job and also spend quality time with the family. Therefore, organizations have started to focus
on the overall development and happiness of the employee for their motivation and reducing his/her stress levels without
jeopardizing the economic health of the company. A good time management schedule helps employees balance their work
and personal life. 

Ways to achieve quality of work life

1. Providing Job Security: If an employee is confident that his job is secure, they are much more relaxed and can perform
better. It gives them a confidence that even if something goes wrong by mistake, their job will not be at stake
2. Rewards and recognition: If an employee is awarded for a good performance, its helps them to perform even better.
The leadership and top management must ensure recognition of the efforts of subordinates.
Management and Development Methods

3. Flexible work timings: Flexibility during working hours is something which is appreciated by employees. This gives
employees a chance to do their work and also work on certain important personal commitments. This significantly contributes
to improving the quality of work life for an employee. Companies also promote a compressed work week concept.
4. Increased employee participation: Involving employees in discussions, strategies & feedback is something which helps
increase the employees QWL & contribution towards a particular role.
5. Open communication: Transparency between management and employees & effective team management gives them
confidence as they are updated with the business and also feel at ease being approachable
6. Career growth plans: Discussing the future of the employee in the company, interesting aspects of the job, career
development etc are all appreciated by employees
7. Job enrichment: Companies which are able to enrich the job with new tasks, better learning & training, more
opportunities etc are more likely to keep employees happy at work.
Levels Of Change In The Organizational
Development

Introduction
Organizational development (OD) is a field of study that addresses change and how it affects organizations and the individuals
within those organizations. Effective organizational development can assist organizations and individuals to cope with change.
Strategies can be developed to introduce planned change, such as team-building efforts, to improve organizational functioning.
While change is a “given,” there are a number of ways to deal with change -- some useful, some not. Organizational
development assists organizations in coping with the turbulent environment, both internally and externally, frequently doing so
by introducing planned change efforts.

Requirements Of Organizational Development


An organizational development program uses employee training to improve organizational functioning and help employees
develop their skills so they can be of greater benefit to the organization. Organizational development is important in meeting
established goals, and for growth and gaining market share. Even for organizations not focused on financial goals, like non-
profits, organizational development can increase the organization’s reach and help it do more good in the community or help
more people

Here are some essentials of a successful organizational development program.


Levels Of Change In The Organizational
Development
1. Training aligned to goals.
The foundation of any successful OD program is to make sure that the training is consistent with the organization’s mission,
vision, and goals. Growth and development won’t meet objectives without this alignment — you may reach goals, but they
won’t be your goals.
2. Leadership committed to the process.
Organizational development begins at the top. If the leadership isn’t committed to the process, they shouldn’t expect their
employees to be committed either. Executive coaching will help leadership get on board so they can support the process as it
moves through the rest of the organization.
3. Communication is effective at all levels.
Being able to communicate the principles and skills needed to reach organizational goals is essential, and no one should be left
out of the communication process. Written, spoken, and video communication are all important and should be consistent,
clear, and targeted to different positions and departments so that everyone knows where they fit and how to do their part to
help the organization develop.
4. High quality of training and coaching.
Organizational development will only be as good as the coaching and training employees get, so the highest quality of training
and coaching is necessary in order to move an organization forward in significant ways. Not only are many training programs
dull, but also many are not even effective at teaching people how to improve and develop their skills. Make sure you have high
quality training in place if you want the initiative to succeed.
5. Taking a long term view.
Most organizations have short- and long-term goals. Focusing on only short-term goals doesn’t give organizations the chance
they need to develop over time. Meeting short-term goals is one step in the process, but taking a longer view will be more
comprehensive and lead to more growth over time.
Levels Of Change In The Organizational
Development

System Design And Methods For Automation And Management Of Operations

System design
It the  is the process of defining the architecture, modules, interfaces, and data for a system to satisfy specified requirements.
Systems design could be seen as the application of systems theory to product development. There is some overlap with the
disciplines of systems analysis, systems architecture and systems engineering.

More than designing a structure, it involves:

• Understanding the imperative for change and the environment


• Understanding the business processes, workflows, roles and responsibilities, volumes of work, activity analysis and
resources
• Designing and testing new models or structures
• Planning and managing the transition from the old structure to the new
• Implementing and monitoring the change
Levels Of Change In The Organizational
Development

Developing policies

The process of developing policy is an activity that generally involves research, analysis, consultation and synthesis of
information to produce recommendations. It should. involve an evaluation of options against a set of criteria used to assess each
option.

Policies are high-level documents developed by management to transmit its guiding strategy and philosophy to employees.
Management and business process owners are responsible for the organization and design of policies to guide it toward success.
Policies apply a strong emphasis to the words of management. They define, detail, and specify what is expected from employees
and how management intends to meet the needs of customers, employees, and stakeholders.

In the context of developing change Action Research is a useful method for facilitating organizational change by collaborating
and involving the client in the entire process of diagnostic, problem identification, experiential learning, and problem-solving
process.
In other words, the process of developing policy requires three distinctive stages which are consistent with the Lewin’s Model
which describes the three stages of change.
• Diagnosing the need for change (unfreezing)
• Introduction of an intervention (moving)
• evaluation and stabilization of change (refreezing)
Levels Of Change In The Organizational Development

Some other policies are


• A Systematic Approach to Problem Resolution and Dealing with the Challenges of Business
• Helps in Analysis of Issues and Developing the Interventions Accordingly
• Facilitating a Learning Culture
• Key Involvement of Senior Leaders and Various Stakeholders
• Facilitates Collaboration
• evaluation in Performance Improvement in all areas

Practices And Establishing Process Pattern

Practices for effective organizational change


• Have a strong narrative and theory of change that binds everything you do.
• Build coalitions of change by appealing to people’s self-interest. 
• Engage everyone to co-produce change.
• Open the space for challenge and critique.
• Be honest with the insights.
• Deliver value early and often.
• Be prepared to ‘pivot’ to adapt to changing contexts.
• Leading change in partnership.
• Find different ways to sustain attention.
Levels Of Change In The Organizational Development

Establishing Process

• Unilateral action
At this extreme on the power distribution continuum, the organization change is implemented through an emphasis on the
authority of a man’s hierarchical position in the company.
The use of unilateral authority to introduce organization change appears in three forms.

• By Decree.
This is probably the most commonly used approach, having its roots in centuries of practice within military and government
bureaucracies and taking its authority from the formal position of the person introducing the change. It is essentially a “one-
way” announcement that is directed downward to the lower levels in the organization. 

• By Replacement.
Often resorted to when the decree approach fails, this involves the replacement of key persons. It is based on the assumption
that organization problems tend to reside in a few strategically located individuals, and that replacing these people will bring
about sweeping and basic changes

• Sharing of power
More toward the middle of the power distribution continuum, as noted earlier, are the shared approaches, where authority is
still present and used, yet there is also interaction and sharing of power.
Levels Of Change In The Organizational Development

• By Group Decision Making.


Here the problems still tend to be defined unilaterally from above, but lower-level groups are usually left free to develop
alternative solutions and to choose among them. The main assumption tends to be that individuals develop more commitment
to action when they have a voice in the decisions that affect them. The net result is that power is shared between bosses and
subordinates, though there is a division of labor between those who define the problems and those who develop the solutions.

• Delegated authority
At the other extreme from unilateral authority are found the delegated approaches, where almost complete responsibility for
defining and acting on problems is turned over to the subordinates.

Establishing pattern
I. Pressure & arousal
This initial stage indicates a need to shake the power structure at its very foundation. Until the ground under the top managers
begins to shift, it seems unlikely that they will be sufficiently aroused to see the need for change, both in themselves and in
the rest of the organization

II. Intervention & reorientation


III. Diagnosis & recognition
Levels Of Change In The Organizational Development

Competency Upgradation And Their Assessment


Competency assessment is defined as any system for measuring and documenting personnel competency. The goal
of competency assessment is to identify problems with employee performance and to correct these issues before they affect
organisation.

Competency assessment methods


• Direct observation helps identify and prevent any performance problems
• Monitor records (e.g. review worksheets and logs prepared by the employee).
• Review and analyze quality control records and results of proficiency tests performed by the employee being evaluated.
• Retest or recheck results to compare results among personnel; discrepancies should be resolved.
• Assess knowledge or problem-solving skills using case studies. Employees are asked to respond orally or in writing to
simulated technical problems.
Steps in assessment methods
1. The assessor contacts the employee in advance to inform them that the assessment will be done at a prearranged time.
2. The assessment is done while the employee is performing tasks using routine samples.
3. The assessment is done by a specifi ed method previously described and is recorded in a logbook.
4. The results of the assessment are shared with the employee.
5. A remedial action plan is developed defi ning required retraining. The plan should be written and the manager must ensure
that the plan is understood by the employee. The plan should outline specifi c steps to be taken to resolve or correct the
problem with related deadlines. Needed resources should be clearly outlined in the plan. For example, the employee may
need an updated version of the SOP.
6. The employee is asked to acknowledge the assessment, related action plan, and reassessment
Levels Of Change In The Organizational Development

New methods of training and development

1. Technology-Based Learning
Common methods of learning via technology include:
Basic PC-based programs
Interactive multimedia - using a PC-based CD-ROM
Interactive video - using a computer in conjunction with a projector
Web-based training programs

2. On-The-Job Training
Jumping right into work from day one can sometimes be the most effective type of training.
Here are a few examples of on-the-job training:
• Read the manual - a rather boring, but thorough way of gaining knowledge of about a task.
• A combination of observation, explanation and practice.
• Trainers go through the job description to explain duties and answer questions.
• Use the intranet so trainees can post questions concerning their jobs and experts within the company can answer them.
On-the-job training gives employees motivation to start the job. Some reports indicate that people learn more efficiently if
they learn hands-on, rather than listening to an instructor. However, this method might not be for everyone, as it could be very
stressful.
Levels Of Change In The Organizational Development

3. Coaching/Mentoring
Coaching/mentoring gives employees a chance to receive training one-on-one from an experienced professional. This usually
takes place after another more formal process has taken place to expand on what trainees have already
learned.Coaching/mentoring gives trainees the chance to ask questions and receive thorough and honest answers - something
they might not receive in a classroom with a group of people.

4. Lectures
Lectures usually take place in a classroom-format.
It seems the only advantage to a lecture is the ability to get a huge amount of information to a lot of people in a short amount
of time. It has been said to be the least effective of all training methods. In many cases, lectures contain no form of interaction
from the trainer to the trainee and can be quite boring. Studies show that people only retain 20 percent of what they are
taught in a lecture.

5. Role Playing
Role playing allows employees to act out issues that could occur in the workplace. Key skills often touched upon are negotiating
and teamwork.
A role play could take place between two people simulating an issue that could arise in the workplace. This could occur with a
group of people split into pairs, or whereby two people role play in front of the classroom.
Role playing can be effective in connecting theory and practice, but may not be popular with people who don´t feel
comfortable performing in front of a group of people.
Levels Of Change In The Organizational Development

6.Case Studies
Case studies provide trainees with a chance to analyze and discuss real workplace issues. They develop analytical and problem-
solving skills, and provide practical illustrations of principle or theory. They can also build a strong sense of teamwork as teams
struggle together to make sense of a case.

7.Films & Videos


Films and videos can be used on their own or in conjunction with other training methods.
To be truly effective, training films and videos should be geared towards a specific objective. Only if they are produced
effectively, will they keep the trainees attention. They are also effective in stimulating discussion on specific issues after the
film or video is finished.

8.Planned Reading
Basically planned reading is pre-stage preparation to more formal methods of training. Some trainees need to grasp specific
issues before heading into the classroom or the team-building session.
Planned reading will provide employees with a better idea of what the issues are, giving them a chance to think of any
questions beforehand.
Levels Of Change In The Organizational Development

Performance Management
Performance management is a process that provides feedback, accountability, and documentation
for performance outcomes. It helps employees to channel their talents toward organizational goals

Process
• Stage 1: Pre- Requisites  
The first stage is at the organization level, where the management describes the holistic view and defines overall objective of
formulation of the company, what are their long term vision, what are the values on which they stands for, and what is the
mission the company is chasing.  

• Stage 2: Performance Planning


There are three important attributes of performance planning:
i. Results
ii. Behaviors, &
iii. Development Plan

• Stage 3:  Performance Execution


• Stage 4:  Performance Assessment
• Stage 5:  Performance Review
• Stage 6:  Performance Renewal and Reconstructing
Levels Of Change In The Organizational Development

A performance management system includes the following actions.


• Developing clear job descriptions and employee performance plans which includes the key result areas (KRA') and
performance indicators.
• Selection of right set of people by implementing an appropriate selection process.
• Negotiating requirements and performance standards for measuring the outcome and overall productivity against the
predefined benchmarks.
• Providing continuous coaching and feedback during the period of delivery of performance.
• Identifying the training and development needs by measuring the outcomes achieved against the set standards and
implementing effective development programs for improvement.
• Holding quarterly performance development discussions and evaluating employee performance on the basis of performance
plans.
• Designing effective compensation and reward systems for recognizing those employees who excel in their jobs by achieving
the set standards in accordance with the performance plans or rather exceed the performance benchmarks.
• Providing promotional/career development support and guidance to the employees.
• Performing exit interviews for understanding the cause of employee discontentment and thereafter exit from an
organization.
Levels Of Change In The Organizational Development

Benefits Of Performance Management


• Regularly providing open and transparent job feedbacks to the employees.
• Establishing a clear linkage between performance and compensation
• Providing ample learning and development opportunities by representing the employees in leadership development
programmes, etc.
• Evaluating performance and distributing incentives and rewards on a fair and equated basis.
• Establishing clear performance objectives by facilitating an open communication and a joint dialogue.
• Recognizing and rewarding good performance in an organization.
• Providing maximum opportunities for career growth.
Thank You

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