Professional Documents
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JNTU HYDERABAD
MBA SEMESTER – II
Resources
Management
The ‘Human’ Advantage
The ‘Resources’ part
Resources: 5 ‘M’s of Management
Manpower
Money
Materials
Machinery
Methods
The ‘Human’ part
How a ‘Human’ is different from other resources
Has life
Has a head (brain) and heart to think and feel
Knows language(s) & Can communicate
Can understand and follow (instructions)
Can learn and retain knowledge
Is trainable and can train others
Can think, analyze and decide
Can Manage and Lead
Can Develop skills and Grow
Can gain experience and add value etc.
The ‘Management’ part
Management/managing essentially involves five basic
functions
POSDCORB
The ‘Human’ Advantage
– Peter Drucker
Definition of HRM by Various Authors
12. Works as the Central Subsystem: HRM works as the central subsystem
of an organization and it permeates all types of functional
management, viz. production management, marketing management
and financial management.
Why HRM is important?
1. Placing the right person in the right job at the right time
HRM
Manageria
Operative
l
Functions
Functions
Managerial Functions of HRM
Managerial
HR
(1) Planning
It is a predetermined course of action
A process of determining the organizational goals and
formulation of policies and programmed for achieving them
It is future oriented; concerned with clearly charting out
the desired direction of business activities in future
Forecasting is the key element; managers of all functions
depend on the Planning Function
Managerial Functions of HRM
(2) Organizing
It is a process by which the structure and allocation of jobs are
determined
Therefore, it involves several things such as
o Establishing departments – dealing complex relationships
o Assigning specific tasks to the team below
o Delegating authority to team members
o Establishing channels of authority and communication
o Coordinating the work of entire team etc.
Managerial Functions of HRM
Operative
HR
Operative
HR
Compensatio
Procurement Development Integration Maintenance
n
Induction/
Job Analysis HR Planning Recruitment Selection Placement
Orientation
Job Job
Description Specification
HR OPERATIVE FUNCTIONS – (1) PROCUREMENT
job and the knowledge, skills, abilities, i.e., KSAs and other
JA and JD Formats
HR OPERATIVE FUNCTIONS – (1) PROCUREMENT
Operative
HR
Performance Career
Training & Management Change & Org.
Mgt. and Planning &
Development Development Dev.
Appraisal Development
Internal
Mobility
Operative
HR
Fringe benefits
Social security measures etc.
HR OPERATIVE FUNCTIONS – (3) COMPENSATION
Disablement benefits/allowance
Dependent benefits
Operative
HR
Human Industrial
Relations Relations
HR OPERATIVE FUNCTIONS – (4) INTEGRATION
Industrial conflicts
Worker’s participation in management and
Quality circles
HR OPERATIVE FUNCTIONS – (5) MAINTENANCE
Operative
HR
Employee
Research & HR Record- Welfare All Other
Health &
Audit keeping Schemes Facilities
Safety
HR OPERATIVE FUNCTIONS – (5) MAINTENANCE
Demographic Trends
Generation “Y”
Trends Shaping
Human Resources
Retirees
Nontraditional Workers
TRENDS SHAPING HUMAN RESOURCE MANAGEMENT
Workforce Demographics and Diversity Trends in India
• On one hand there is recession and huge job losses; on the other
hand there is an acute shortage of skilled workforce.
• This has been identified as a hurdle in achieving the demographic
dividend.
• Hospitality sector is expected to require around 2,00,000 trained
people whereas the supply is less than 10% of it.
• Core sectors like Power and Petroleum have also been reporting
severe skills shortages.
• The growth in other sectors like manufacturing, retail, financial
services etc. also require skilled manpower which is in shortage
• Some employers find Generation Y or Millennials a challenge to
deal with, which can be a worldwide phenomenon.
TRENDS SHAPING HUMAN RESOURCE MANAGEMENT
Cohorts of Generations
• Baby Boomers: Baby boomers were born between 1946 and 1964.
They're currently between 59-77 years old
• Gen X: Gen X was born between 1965 and 1979/80 and are currently
between 43-56 years old
• Gen Y: Gen Y, or Millennials, were born between 1981 and 1994/96.
They are currently between 27-42 years old
• Gen Y.1 27-31 years old
• Gen Y.2 31-42 years old
• Gen Z: Gen Z is the newest generation to be named and were born
between 1997 and 2012/15. They are currently between 10-25 years old
INDIAN POPULATION – AGE WISE BREAKDOWN
(Demographic Groups as a Percent of the Workforce, 1992–2024)
WORLD POPULATION – AVERAGE AGE
https://www.nexdigm.com/doing-business-in-india/population.php
DISTRIBUTION OF WORKFORCE ACROSS
ECONOMIC SECTORS: 2010-2020
TRENDS SHAPING HUMAN RESOURCE MANAGEMENT
Trends in how people work
7. Execute/Implement
Steps to create a HR scorecard
There are Five Steps :
1. Create an HR Strategy Map
2. Identify HR Deliverables
Processes: …Continued
3. Rewards.
4. Managing diversity.
5. Recruitment and selection.
• The act requiring equal pay for equal work, regardless of sex.
Age Discrimination in Employment Act of 1967 (ADEA)
1. Descriptive analytics
Assessing behavior
Spotting anomalies
1. Identifying the patterns and anomalies within the data that raise
methods.
Types of HR Analytics
There are multiple diagnostic analytics techniques, including::
Data drilling: Taking information from a more general overview and
providing a more granular view of the data.
Data mining: Extracting patterns from data to help predict future events
Probability theory: Quantifying uncertain measures of random events
Regression analysis: Determining which variables will impact an
outcome
Correlation analysis: Tests the relationships between variables
Statistical analysis: Collecting and interpreting data to determine
underlying patterns
Types of HR Analytics
3. Predictive analytics estimates what might happen in the future; it forecasts
future outcomes.
The process involves categorizing past and present data to isolate patterns,
correlations, and irregularities followed by estimating a model to predict what
will occur in the future.
Then the model’s accuracy is evaluated by applying it to new data. Predictive
HR analytics support better HR decisions. It translates historical data gathered
from areas, such as job skills, employee engagement, productivity, resumes,
etc. into forecasts about what to expect in the future.
These predictions furnish HR leaders with information that will improve
decision-making in areas such as hiring the right candidates, bridging the skills
gap, and retaining top talent.
Types of HR Analytics
4. Prescriptive analytics
Prescriptive analytics is the final and most complex stage of the analytics
journey that transfers predictive analytics into ideas for what to do next.
A general prescriptive analytics definition would be the targeted
recommendation for decision options and actions based on the findings of
predictive analytics. It offers options for where and how to act to achieve
success.
Prescriptive analytics relies on big data and uses an assortment of technical
tools, including:
Machine learning
Algorithms
Artificial intelligence
Pattern recognition
Examples of HR Metrics
https://www.aihr.com/blog/14-hr-metrics-examples/
https://www.aihr.com/blog/hr-metrics-cheat-sheet/
UNIT – I Completed