Professional Documents
Culture Documents
MANAGEMENT
BY VISHWA BHATT
What is human resource ?
• The term human resource can be thought of as, the total knowledge,
skills, creative abilities, talents, competencies and aptitudes of an
organizations' work force, as well as the value, attitude, commitment
and beliefs of the individuals involved.
• Natural resource
• The term human resources are also regarded as human factor, human
asset, human capital and the like.
• The term labor and manpower had been used widely denoting mostly
the physical abilities and capacities of employees.
What is human resource management
• There are so many term that denote HRM , labor management, labor
administration, labor-management relation, employee – employer
relations, industrial relation, human resource management , human
capital management and so on….
• In simple sense, human resource management is employee people,
developing their resource, utilizing, maintaining and compensating
their services in tune with job and organizational requirement.
Definition of HRM:
• HRM as the field of management which has to do with planning,
organizing, directing and controlling the functions of procuring,
developing, maintaining and utilizing labor force such as –
A. Objectives for which the company is established are attained
economically and effectively
B. Objectives of all levels of human resource are served to the highest
possible degree,
C. Objective of society are duly considered and served
Functions of HRM
Functions of HRM
Managerial
Operative
1) Managerial functions:
I. Planning
II. Organizing
III. Directing
IV. Controlling
I. Planning :
• Pre determined course of action
• It determination of human resource programmes and changes in
advance that will contributed to org goals
• Involves planning of human resources, requirements, recruitment,
selection, training etc
• Forcasting human needs
II. Organizing
• Carry out the determined course of action
• Organization establishes relationship among the employees so that
they can collectively contribute to attainment of company goals
III. Directing
• Next logical function
• Leading and activating people
• HR manager has to co – ordinate with various mangers at different
levels as far as hrm is concerned
• Also co ordinate with other functions like management of material,
machine and money
IV. Controlling
• After P, O and D
• Controlling involves checking, verifying and functions are performed
in conformity with all plans and direction
• Actual with the plans
• If any correction is needed it should be treated in as manner like
taking interview
II. Operative functions
• Related to specific activity of HR viz, HR acquisition/employment,
development, compensation, engagement utilization, human relation, etc…
• recruiting and developing skilled labor is important for any company concerned
about competitiveness, productivity, quality and managing a diverse work force
effectively. Skill deficiencies translate into significant losses for the organization in
terms of poor-quality work and lower productivity, increase in employee
accidents and customer complaints. Since a growing number of jobs will require
more education and higher levels of language than current ones , HRM
practitioners and specialists will have to communicate this to educators and
community leaders etc. Strategic human resource planning will have to carefully
weigh the skill deficiencies and shortages. HRM department will have to devise
suitable training and short term programmes to bridge the skill gaps &
deficiencies.
• https://hrwale.com/2013/08/21/current-trends-in-human-resource-
management/
Unit 2 human resource planning
• What is HRP?
HRP is understood as the process of forecasting an organisation’s future
demand for, and supply of the right type of people in the right number
It is only after this that HRM department initiate the recruitment and
selection process
Sub system of total organisational planning
Process of HRP
• Forecasting personal need
• Assessing personal supply and matching demand – supply factors
through personnel-related programme
Environmental scanning
• Environmental scanning refers to the systematic monitoring of the external
forces influencing the managers monitor several forces but the following
are pertinent for HRP
• economic factors, including general and regional conditions.
• Technological changes, including robotics and automation.
• Demographic changes, including age, composition and literacy.
• political and legislative issues, including laws and administrative rulings.
• Social concern including child care, and educational facilities and priorities.
• By scanning environment for changes that will affect an organization,
managers can anticipate their impact and make adjustments early.
Organizational objectives and policies
• Specific requirements in terms of number and characteristics of
employees should be derived from organizational objective
• Once the organisational objectives are specified, communicated and
understood by all concerned, the fie department must specily its
objectives with regard to HR utilisation in the organisation, In
developing these djectives, specific policies need to be formulated to
address the following questions:
• 1. Are vacancies to be filled by promotions from within or hiring from
outside?
• 2. How do the training and development objectives interface with the
HR objectives?
• 3. What union constraints are encountered in HRP and what policies
are needed to handle these con-straints?
• 4. How to enrich employee's job? Should the routine and boring jobs
continue or be eliminated?
• 5. How to downsize the organization to make it more competitive?
• 6. To what extent production and operations be automated and what
can be done about those displaced?
• 7. How to ensure continuous availability of adaptive and flexible
workforce?
HR Demand forecast
• Demand forecasting is the process of estimating the future quantity
and quality of people required
• The basis of the forecast must be the annual budget and long-term
corporate plan, translated into activity levels for each function and
department. In a manufacturing company, the sales budget would be
translated into a production plan giving the number and type of
products to be produced in each period. From this information, the
number of hours to be worked by each skilled category to make the
quota for each period, would be computed. Once the hours are
available, determining the quality and quantity of personnel will be
the logical step.
• Demand forecasting must consider several factors- both external as
well as internal. Among the external factors are competition (foreign
and domestic), economic climate, laws and regulatory bodies,
changes in technology, and social factors. Internal factors include
budget constraints, production levels, new products and services,
organizational structure, and employee separations. Demand
forecasting is common among organizations, though they may not do
personnel-supply forecasting.
• Several good reason :
(1) quantify the jobs necessary for producing a given number of goods,
or offering a given amount of service
(2) Determine staff mix is desirable in the future
(3) Staffing level in different part of organization
(4) Prevent shortage of people
(5) Monitor compliances
Forecasting technique
• managerial judgement
• Ratio trend analysis
• Regression analysis
• Work force technique
• Delphi technique
• Flow models
• Others
1 managerial judgement
• Bottom up : Line manager submit their proposal to top management
• Top down : Top management to down
2 ratio trend analysis
• Ratio trend analysis involves studying past ratios and forecasting
future ratio making some allowances for changes in the organization
or its method
• This technique involves studying past ratios, say, between the number
of workers and sales in organization and forecasting future ratios,
no. of employees ratio
year
production inspector inspector:production
Evaluation
Planning Searching and control
Strategy Screening
development
1 recruitment planning
• Number
• Type of applicants to be contacted
1 number of contacts
Likely to contact more number of applicants
Companies calculated yield ratio (yRs)
• Type of Contacts
This refers to the type of people to be informed about job openings.
The type of people depends on the tasks and responsibilities involved
and the qualifications and experience expected. These details are
available through job description and job specification.
2 strategy development
• Make or buy (make : hire less skill , buy : hire skilled and professional)
• Technological sophistication (scan international and national level
through technology )
• Where to look ( local and regional markets )
• How to look : how to look refer to the method or sources of
recruitment (internal and external )
• When to look (time laps data)
Step 3 searching
Search activation : line manager verify the vacancy does exist and will
not exist
• Result in the flood of application and/or resumes
• Those who pass are invited for interview and unsuccessful applicants
must be sent letter of regret
Selling : communication here, organization walk a tightrope, talking
media,
Low creditability (employment exchange) high creditability ( adv in
magazine)
Selection of medium or media needs to be done with lot of care
Step 4 screening
• Screening of applications can be regarded as an integral part of the
recruiting process, though many view it as the first step in the
selection process.
• Even the definition on recruitment, we quoted in the beginning of this
chapter, excludes screening from its scope. However, we have
included screening in recruitment for valid reasons. The selection
process will begin after the applications have been scrutinized and
shortlisted.
• Firing of professors in a university is a typical situation.. Applications
received in response to advertisements are screened and only eligible
applicants are called for an interview! Interview is conducted by a
selection committee comprising the Vice-Chancellor, Registrar and
subject experts. Here, the recruitment process extends upto
screening the applications. The selection process commences only
later.
• The purpose of screening is to remove from the recruitment process,
at an early stage, those applicants who are visibly unqualified for the
job. Effective screening can save a great deal of time and money. Care
must be exercised, however, to assure that potentially good
employees are not lost and that women and minorities receive full
and fair consideration and are not rejected without justification. In
screening, clear job specifications are invaluable.
• The purpose of screening is to remove from the recruitment process,
at an early stage, those applicants who are visibly unqualified for the
job. Effective screening can save a great deal of time and money. Care
must be exercised, however, to assure that potentially good
employees are not lost and that women and minorities receive full
and fair consideration and are not rejected without justification. In
screening, clear job specifications are invaluable.