Module-1

Concepts of HRM and HRP

 COURSE OUTCOMES
 CO1 – Illustrate the importance, objectives and functions of Human Resource
Management.

 CO-2 - Develop an understanding and importance of human resource planning as

well as its role.

 CO-3 – Critically analyse the objectives, methods and principals involved in

performance appraisal.

 CO-4 – Breakdown and Analyse the purpose and basis of promotions & transfers.

 CO-5 - Acquaint students with the latest developments in Human Resource

Management to adapt to the changing business environment
 INTRODUCTION TO HRM

 On completion of this module, you will be able to:

 Bring out the meaning and significance of HRM

 State the objectives and functions of HRM
 Explain the roles, duties and responsibilities of a HR Manager
 Understand the importance of HRP
 Calculating the HR requirement
HUMAN RESOURCES MANAGEMENT

 Human resource management is

management functions that help managers’
recruit, select, train and develop organization
members.
 Definition:
According to Edwin B. Flippo, “Planning,
organizing, directing and controlling of
procurement, development, competition,
integration, maintenance, and separation of
human resource to the end that individual,
organizational and social objectives are
accomplished”.
SIGNIFICANCE/IMPORTANCE OR NEED OF
HRM
Better
Facilitates relations
Objective professional between union
growth and
management

Helps an Identifies Allocating the

individual to person for the jobs to the right
work in a team future person

Improves the
economy
Nature of HRM

Inherent Part of Management

Pervasive Function

Basic to all Functional Areas

People-Centered

Personnel Activities/Functions

Continuous Process

Based Human Relations

Objectives of HRM
Social Objectives

Organizational Objectives

Professional objectives

Individual
objectives
 Functions of HRM

Functions
of HRM

Manageria
Operative
l
Functions
Functions
Planning
Managerial Functions
Organising Directing

Coordinating Directing
 Operative Functions
1. Employment

2. Human Resources Development

3. Compensation

4. Human Relations

5.Industrial Relations
 Operative Functions
 Human Resource Development
 Employment  Performance Appraisal
 Job Analysis  Training
 Human Resource Planning  Career Planning and
Development
 Recruitment
 Transfer
 Selection
 Compensation
 Placement
 Job Evaluation
 Induction and Orientation  Wage and Salary
 Internal Mobility Administration
 Incentives
 Bonus
 Fringe Benefits
 Social Security Measures
 Operative Functions
 Human Relations
 Industrial Relations
 Understanding and applying the
models of perception,  Indian labour market
personality, learning, intra and  Trade unionism
inter-group relations
 Collective bargaining
 Motivating the employees
 Industrial conflicts
 Boosting employee morale
 Worker’s participation in
 Developing communication management
skills, developing leadership
skills  Quality circles
 Redressing employee
grievances
 Handling disciplinary cases
 Providing comfortable working
environment
 Strategic Human Resource Management

 SHRM is alignment of strategic business

goals of the organisations with human
resources, so as to foster innovation and
improve motivation, satisfaction,
productivity and eventually overall
performances.
 Strategic human resource management is
the practice of attracting, developing,
rewarding, and retaining employees for
the benefit of both the employees as
individuals and the organization as a
whole.
 Traditional HR versus Strategic HR
Point of Distinction Traditional HR Strategic HR
Focus Employee Relations Partnership with internal and
external customers
Role of HR Transactional change Transformational change
follower and respondent leader and initiator
Initiatives Slow, reactive, fragmented Fast, proactive and
integrated
Time Horizon Short term Short, Medium and Long
term (as required)
Control Bureaucratic- roles, policies, Organic-flexible, whatever is
procedures necessary to succeed
Job Design Tight division of labour, Broad, flexible, cross
independence, specialization training teams
Key Investment Capital, products People, Knowledge
Accountability Cost Centre Investment Centre
Responsibility for HR Staff specialists Line Managers
Strategic Human Resource Management

Strategic Focus

Strategic Change Agent

Partner

System People

Administrative Employee
Expert Champion

Operational Focus
 Human Resources Planning

 Human Resource Planning is a

systematic process of
determining the future
manpower requirements of an
organization and the means
for meeting those
requirements in order to
carry out the integrated plan
of the organization. It involves
estimating the size and make-
up of the future workforce.
 Importance of Human Resource Planning
 It helps in identifying the right type of people who will  The demographic changes like changing
contribute towards achieving the organizational objectives.
Human Resource Planning will enable getting such people at profile of work force, in terms of age,
right time and cost, which is so critical. gender, education etc and changes in
 HRP evaluates and even modifies organization’s strategic
government policies in respect of
plan. It provides a clear picture of human resource supply reservations, child labour, working
from various sources and enables the organization to recruit conditions etc affect the demand for and
the prospective employees from the most suitable source.
Thus, it helps the organization to implement its strategies supply of human resources.HR plan predicts
effectively without risks and uncertainties. these changes and makes necessary
 The changing business processes and consequent strategic
adjustments in meeting HR requirements of
alliances like expansion, diversification, restructuring etc an organization.
results in changes in organization structure affecting
manpower demand. HRP plays an important role in  Changes in labor laws, pressure from trade
projecting these events and preventing uncertainties and
having right size of human resources. unions, and political parties influence the
demand for and supply of human resources.
 The HRP enables the organization to cope with the changes
in the competitive forces, market, technology and HR plan helps in assessing the right kind of
government regulations. Such changes generate change in the employees for the right position.
job content, skill demand, number and type of persons, for
this the HRP takes up the responsibility to recruit right type
 It is also required to identify areas of
of people.
 Benefits of HRP
 It verifies the corporate plan of the
organization.
 It offsets uncertainty and changes to
the maximum extent possible and
enables the organization to have
right men at the right time and in the
right place.
 It provides scope for advancement
and development of employees
through training, development etc.
 It helps to anticipate the cost of
salary enhancement, better benefits
etc.
 It helps to take steps to improve human
resources contributions in the form of
increased productivity, sales, turnover
etc.
 It facilitates the control of all the
function, operations, contribution and
cost of human resources.
 To plan for facilities, working conditions
and the volume of fringe benefits like
canteen, schools, hospitals, conveyance,
child care centers, company stores etc.
 It causes the development of various
sources of human resources to meet the
organizational needs.
Objectives of Human Resource Planning

Forecast
personnel Cope with
requirement changes
s

Promote
Use existing
employees in
manpower
a systematic
productively
manner
The Process of Human Resource Planning/Steps in
Human Resource Planning
 Steps in HRP

1. Analysing the Corporate and Unit Level

Strategies

2. Demand Forecasting

3. Supply Forecasting

4. Estimating the Net Human Resource

Requirement
 Steps in HRP cont’d….

5. Incase of Future Surplus plan for Redeployment, Redundancy,

Retrenchment

6. Incase of Future Deficit plan for forecast the Future Supply of

Human Resources from all Source

7. Plan for Recruitment, Development and Internal Mobility if

Future Supply is More than or Equal to Net HR Requirement

8. Pan to Modify or Adjust the Organisational Plan if Future

Supply will be Inadequate with reference to Future Net
Requirements
 JOB ANALYSIS
 Job analysis is a formal and detailed

Job Analysis
examination of jobs. Itis a systematic
investigation of the tasks, duties and
responsibilities necessary to do a job. Job Tasks
 A job consists of a group of tasks that must
be performed for an organisation to achieve
its goals. A task is an identifiable work
activity carried out for a specific purpose, for
Job Duties
example, typing a letter.
 A duty is a larger work segment consisting Job
of several tasks (which are related by some
sequence of events) that are performed by an
Responsibilities
individual, for example, pick up, sort out and
deliver incoming mail.
 Job responsibilities are obligations to
perform certain tasks and duties.
 PROCESS OF JOB ANALYSIS

Selection of
Organisational representative Collection of job
analysis positions to be analysis data
analysed

Preparation of Preparation of
job description job specification
 JOB DESCRIPTION

 Job description (JD) is a written statement of what the job holder does, how it is done,
under what throwing on job environment and conditions of employment. It is descriptive
in nature and defines the purpose and scope of a job. The main purpose of writing a job
description is to differentiate the job from other jobs and state its outer limits.

 A job description usually covers the following information: 

 Job title: Talks about the job title, code number, and the department where it is done. A good title will
closely approximate the nature of the work content and will distinguish the job from others.

 Job summary: A brief write-up about what the job is all about.

 Job activities: A description of the tasks done, facilities used, extent of supervisory help, etc.

 Working Conditions: The physical environment of job in terms of heat, light, noise and other hazards.

 Social Environment: Size of work group and interpersonal interactions required to do the job.
SPECIMEN OF JOB DESCRIPTION
 JOB SPECIFICATION

 Job specification summarises the

human characteristics needed for
satisfactory job completion. It tries
describe the key qualifications
someone needs to perform the job
successfully. It spells out the important
attributes of a person in terms of
education, experience, skills,
knowledge and abilities (SKAs) to
perform a particular job.
SPECIMEN OF JOB SPECIFICATION FOR THE POSITION
OF COMPENSATION MANAGER
COMPARISON OF JOB DESCRIPTION JOB SPECIFICATION
Job Description Job Specification

It contains general information about the job itself, including It lists out the educational qualifications, training, experience, 
the title, location, summary, duties, working conditions, who skills, and competencies, etc. someone would need to do the
the person would report to, etc.  job. 

It measures the tasks and responsibilities that would come with It outlines what the employee must be capable of doing in order
this job.  to succeed in this specific job. 

This type of information can be used when creating a pool of this helps any potential employee to self-
candidates and then selecting people to interview, identifying assess their own qualifications to do the job.  The Job Spec will
and setting up training, and eventually evaluating the also provide further insight into the position ultimately
performance.  strengthening a checklist for recruiters to reference when setting
up and conducting interviews. 
Thank You