Unit 1
Introduction to Human Resource Function of Management
Human Resource Management (HRM) is the term used to describe formal structures devised for the management of people inside an organization. The responsibilities of a human resource manager fall into three primary areas: staffing, employee compensation and benefits, and defining/designing work. Essentially, the motive of HRM is to maximize the productiveness of an organization by optimizing the effectiveness of its employees. This mandate is unlikely to change in any fundamental way, despite the ever-increasing pace of change in the business world. As Edward L. Gubman discovered in the Journal of Business Strategy, "the basic mission of human resources will always be to acquire, develop, and retain talent; align the workforce with the business; and be an excellent contributor to the business. Those three challenges will never change."
Definitions of HRM
In simple words, HRM is a method of making the efficient and effective use of human resources so that the set goals are achieved. Let us also consider some necessary definitions of HRM.
According to Flippo “Personnel management, or say, human resource management is the planning, organising, directing and controlling of the procurement development compensation integration, intenance, and separation of human sources to the end that individual, organisational and social objectives are accomplished”.
The National Institute of Personnel Management (NIPM) of India has defined human resource/personnel management as “that part of management which is concerned with humans at work and with their relationship within an enterprise. Its purpose is to deliver collectively and boost into an advantageous employer of the men and ladies who make up an organization and having regard for the well-being of the persons and of working groups, to enable them to make their best contribution to its success”.
According to Decenzo and Robbins “HRM is concerned with the humans dimension in management. Since every organisation is made up of people, acquiring their services, developing their skills, motivating them to higher levels of performance and making sure that they proceed to hold their commitment to the organisation are essential to achieving organizational objectives. This is true, regardless of the type of organisation-government, business, education, health, recreation, or social action”.
Thus, HRM can be described as a procedure of procuring, creating and keeping competent human resources in the organisation so that the goals of an organisation are completed in a positive and efficient manner. In short, HRM is an art of managing people at work in such a manner that they give their best to the employer for achieving its set goals.
Objectives of human resource management
The primary objective of HRM is to ensure the availability of right people for right jobs so as the organisational goals are achieved effectively. The objectives are-
1. To help the organisation to attain its goals effectively and efficiently by providing competent and motivated employees.
2. To utilize the available human resources effectively.
3. To increase to the fullest the employee’s job satisfaction and self-actualisation.
4. To develop and maintain the quality of work life (QWL) which makes employment in the organisation a desirable personal and social situation.
5. To help maintain ethical policies and behaviour inside and outside the organisation.
6. To establish and maintain cordial relations between employees and management.
Functions of Human Resource
Human resources (HR) professionals conduct a wide variety of tasks within an organizational structure. A brief review of the core functions of human resource departments will be useful in framing the more common activities a human resource professional will conduct. The core functions are discussed below:
Figure: Functions of HRM
a) Staffing
This includes the activities of hiring new full-time or part-time employees, hiring contractors, and terminating employee contracts. Staffing activities include:
- Identifying and fulfilling talent needs (through recruitment, primarily)
- Utilizing various recruitment technologies to acquire a high volume of applicants (and to filter based on experience)
- Terminating contracts when necessary
- Maintaining ethical hiring practices and aligning with the regulatory environment
- Writing employee contracts and negotiating salary and benefits
b) Development
On-boarding new employees and providing resources for continued development is a key investment for organizations, and HR is charged with maintaining a developmental approach to existing human resources. Development activities include:
- Training and preparing new employees for their role
- Providing training opportunities (internal training, educational programs, conferences, etc.) to keep employees up to date in their respective fields
- Preparing management prospects and providing feedback to employees and managers
c) Compensation
Salary and benefits are also within the scope of human resource management. This includes identifying appropriate compensation based on role, performance, and legal requirements. Compensation activities include:
- Setting compensation levels to match the market, using benchmarks such as industry standards for a given job function
- Negotiating group health insurance rates, retirement plans, and other benefits with third party providers
- Discussing raises and other compensation increases and/or decreases with employees in the organization
- Ensuring compliance with legal and cultural expectations when it comes to employee compensation
d) Safety and Health
Achieving best practices in various industries include careful considering of safety and health concerns for employees. Safety and health activities include:
- Ensuring compliance with legal requirements based on job function for safety measures (i.e. hard hats in construction, available counseling for law enforcement, appropriate safety equipment for chemists, etc.)
- Implementing new safety measures when laws change in a given industry
- Discussing safety and compliance with relevant government departments
- Discussing safety and compliance with unions
e) Employee and Labor Relations
Defending employee rights, coordinating with unions, and mediating disagreements between the organization and its human resources is also a core HR function. Employee and labor relations activities include:
- Mediating disagreements between employees and employers
- Mediating disagreements between employees and other employees
- Considering claims of harassment and other workplace abuses
- Discussing employee rights with unions, management, and stakeholders
- Acting as the voice of the organization and/or the voice of the employees during any broader organizational issues pertaining to employee welfare
Difference between Human Resource Management and Human Resource Development
The differences between HRM and HRD are highlighted below-
Basis of difference | HRM | HRD |
| Human Resource Management refers to the application of principles of management to manage the people working in the organization. | Human Resource Development means a continuous development function that intends to improve the performance of people working in the organization. |
2. Nature | It is a management function. | It is a subset of Human Resource Management. |
3. Objective | To improve the performance of the employees. | To develop the skills, knowledge and competency of employees. |
4. Concerned with | It is concerned with people only | It is concerned with development of the entire organization. |
5. Function | The functions of HRM are reactive and are usually applied to gaining holistic organizational goals. | The functions of HRD are proactive and have to be applied consistently to enhance the productivity of employees. |
6. Process | Most HRM processes are routine and have to be carried out as and when the need arises. | HRD processes are ongoing and not occasional. |
7. Dependency | HRM is an independent entity in itself. It comprises of different sections inclusive of recruitment and retention, HRD, compensation, performance, appraisal management, etc. | HRD is a subsystem of HRM and draws many functions, attributes, and processes from HRM. |
8. Goal | The objective of HRM is related to improving the overall performance of employees. | HRD goals are usually connected with skill development, knowledge enhancement, and increasing the competency of employees. |
KEY TAKEAWAYS
- HUMAN RESOURCE MANAGEMENT (HRM) IS THE TERM USED TO DESCRIBE FORMAL STRUCTURES DEVISED FOR THE MANAGEMENT OF PEOPLE INSIDE AN ORGANIZATION. THE RESPONSIBILITIES OF A HUMAN RESOURCE MANAGER FALL INTO THREE PRIMARY AREAS: STAFFING, EMPLOYEE COMPENSATION AND BENEFITS, AND DEFINING/DESIGNING WORK.
The scope of human resource development is as follows-
(i) Recruiting the employees within the dimensions and possibilities for developing human resources.
(ii) Selecting those employees having potentialities for development to meet the present and future organisational needs.
(iii) Analysing, appraising and developing performance of employees as individuals, members of a group and organisations with a view to develop them by identifying the gaps in skills and knowledge.
(iv) Help the employees to learn from their superiors through performance consultations, performance counselling and performance interviews.
(v) Train all the employees in acquiring new technical skills and knowledge.
(vi) Develop the employees in managerial and behavioural skills and knowledge.
(vii) Planning for employees’ career and introducing developmental programmes.
(viii) Planning for succession and develop the employees.
(ix) Changing the employees’ behaviour through organisation development.
(x) Employee learning through group dynamics, intra and inter team interaction.
(xi) Learning through social and religious interactions and programmes.
(xii) Learning through job rotation, job enrichment and empowerment.
(xiii) Learning through quality circles and the schemes of workers’ participation in the management.
Functions of human resource development
Some of the significant functions of human resource development are discussed below-
Figure: Functions of HRD
1. Performance Appraisal:
Employees’ performance appraisal or merit-rating is an important function of the HRD. This is necessary for the HRD to assess the relative efficiency of various workers as reflected in their performance of their jobs. While job evaluation is concerned with the rating of the job to be performed, performance appraisal or merit-rating is concerned with the rating of the workers on their jobs. HRD has to perform this function to analyse and classify the differences amongst the workers vis-a-vis job standards.
2. Employee Training:
The next function of the HRD is to provide proper training to its employees or workers. Training is the act of increasing the knowledge and skills of an employee for doing a particular job. Training is considered to be the corner-stone of sound personnel administration. The employees could be systematically and scientifically trained, if they are to do their jobs effectively and efficiently.
3. Executive Development:
Another important functions of the HRD is to provide for executive development in the organization. Executive development is the programme by which executive capacities to achieve desired objectives are increased. Programme must be related to development of various inter-related matters, factors and needs.
Executive capacities involve different individual abilities of present and prospective managers at different levels of management. The desired objectives include objectives of the concern, its executives and the persons to be managed.
4. Career Planning and Development:
The next function of HRD is career planning and development. Career planning is a systematic process by which an individual selects his career goals and the path to these goals. From the organisation’s point of view, career planning means helping the employees to plan their career in terms of their capacities within the context of the organisation’s requirements. Career planning and development involve formulation of an organizational system of career improvement and growth opportunities for employees from the time of their appointment in the organization to their retirement time.
5. Successful Planning and Development:
The HRD is also required to perform the function of planning and development of the business of the organization in successful manner. For this purpose, it has to plan every aspect of its organization and develop the same successfully.
6. Organisational Change and Development:
Another main function of the HRD is the organizational change and development. It involves organizational diagnosis, team building, task force and other structural and process interventions such as role development, job enrichment, job re-designing etc.
7. Involvement in Social and Religious Organisation:
The HRD manager should arrange for social and religious programmes and enable the employees to learn from each other. Such programmes enable the employees to interact closely with each other, open up their cognitions, share the strengths etc.
8. Involvement in Quality Circles:
Quality Circle is a self-governing group of workers with or without the supervisors who voluntarily meet regularly in order to identify, analyse and solve problems of their work field. This process of solving problems voluntarily enables the workers to learn decision-making and problem-solving skills from each other.
9. Involvement in Workers’ Participation in Management:
The participation of workers in management enables the representatives of both the management and the workers to share and exchange their ideas and view-points in the process of joint decision-making in the organization. The joint decision-making process creates a plat-form for mutual learning and development. Therefore the HRD managers should encourage the workers to participate in the management of the organisation.
KEY TAKEAWAYS
- EMPLOYEES’ PERFORMANCE APPRAISAL OR MERIT-RATING IS AN IMPORTANT FUNCTION OF THE HRD. THIS IS NECESSARY FOR THE HRD TO ASSESS THE RELATIVE EFFICIENCY OF VARIOUS WORKERS AS REFLECTED IN THEIR PERFORMANCE OF THEIR JOBS.
Human resource planning (HRP) is the continuous process of systematic planning ahead to achieve optimum use of an organization's most valuable asset—quality employees. Human resources planning ensures the best fit between employees and jobs while avoiding manpower shortages or surpluses. Human resource planning is a process via which the right candidate for the right job is ensured. For conducting any process, the foremost vital task is to develop the organizational objective to be achieved via conducting the said process.
Nature of human resource planning
The nature of HR planning are discussed below-
I. Assessing Future Personnel Needs:
Whether it is surplus labour or labour shortage, it gives a picture of defective planning or absence of planning in an organization. A number of organizations, especially public sector units (PSUs) in India are facing the problem of surplus labour. It is the result of surplus labour that the companies later on offer schemes like Voluntary Retirement Scheme (VRS) to eliminate surplus staff. Thus, it is better to plan well about employees in advance. Through HRP, one can ensure the employment of proper number and type of personnel.
II. Foundation for Other HRM Functions:
HRP is the first step in all HRM functions. So, HRP provides the essential information needed for the other HRM functions like recruitment, selection, training and development, promotion, etc.
III. Coping with Change:
Changes in the business environment like competition, technology, government guidelines, global market, etc. bring changes in the nature of the job. This means changes in the demand of personnel, content of job, qualification and experience needed. HRP helps the organization in adjusting to new changes.
IV. Investment Perspective:
As a result of change in the mindset of management, investment in human resources is viewed as a better concept in the long run success of the enterprise. Human assets can increase in value as opposed to physical assets. Thus, HRP is considered important for the proper planning of future employees.
V. Expansion and Diversification Plans:
During the expansion and diversification drives, more employees at various levels are needed. Through proper HRP, an organization comes to know about the exact requirement of personnel in future plans.
VI. Employee Turnover:
Every organization suffers from the small turnover of labour, sometime or the other. This is high among young graduates in the private sector. This necessitates again doing manpower planning for further recruiting and hiring.
VII. Conformity with Government Guidelines:
In order to protect the weaker sections of the society, the Indian Government has prescribed some norms for organizations to follow. For example, reservations for SC/ST, BC, physically handicapped, ex-servicemen, etc. in the jobs. While planning for fresh candidates, HR manager takes into consideration all the Government guidelines.
VIII. International Expansion Strategies:
International expansion strategies of an organization depend upon HRP. Under International Human Resource Management (IHRM), HRP becomes more challenging. An organization may want to fill the foreign subsidiary’s key positions from its home country employees or from host-country or from a third country. All this demands very effective HRP.
Human Resource Planning – Quantitative and Qualitative Dimensions:
A) Quantitative dimensions of HR planning
Variables Determining the Quantity of Human Resources:
1. Population Policy:
Some population policies operate by influencing the factors responsible for growth such as fertility, marriage and mortality. These are known as population influencing policies. Another category of policies known as responsive policies are implemented to adjust to observed population trends with the help of programmes like health, nutrition, education, housing, etc. The aim of population policies is to achieve an optimum population for enhancing the country’s development.
2. Population Structure:
The structure or composition of the population is determined by two factors, sex composition and age composition.
(i) Sex Composition:
Sex ratio is the ratio of males to females in the population. It is the basic measure of the sex composition of the population of any area. Higher the number of females, higher will be the population growth rate in future.
(ii) Age Composition:
It is the distribution of population by age groups. Age composition is the result of past trends in fertility and mortality. The supply of labour depends on age composition as economically active population falls in range of 15-65 age groups.
3. Migration:
Net migration is another factor which causes changes in the population. Age and sex composition determine the natural growth in population, but for calculating the overall changes in population it is important to consider net migration also.
Net migration = total immigrants – total emigrants
A positive net migration will lead to a rise in population growth rate while negative net migration will reduce the growth rate of population. Migration can be both interregional and international.
4. Labour Force Participation:
The population of any country consists of workers and non-workers. The workers are the people, usually in age group of 15-65, who participate in economically productive activities by their mental or physical presence.
These include:
i. Employers,
Ii. Employees,
Iii. Self-employed persons, and
Iv. Those engaged in family enterprises without pay.
The others in the population are the non-workers such as students, infants, elderly, beggars, retired people, inmates of jail or mental institutions, unemployed, etc. They do not contribute to any productive economic activity. It is the changes in the working population which affect the growth of human resources. The number of people who are unemployed but available for work also impacts the availability of labour.
Qualitative Aspects/dimensions of Human Resource Planning:
The quantitative dimensions help to ascertain human resources in numbers while the productive power of human resources is assessed by the qualitative dimensions. For example, there may be hundreds of applicants for 20 vacancies, but out of these only a few may meet the quality standards required for the job.
Factors which determine the quality of human resources are:
1. Education and Training:
The quantity and quality of education and training received by human resources impacts their knowledge and skills. Education and training are important for the upliftment of both individual and society. It can be of two types, formal and informal. Formal education is imparted through schools and colleges while informal education and training takes place through on-the-job training methods. Formal education stresses the transfer of theoretical knowledge, while informal education emphasizes on practical application of knowledge.
2. Health and Nutrition:
Health and nutrition along with education are vital for Human Resource Development. Health and nutrition impact the quality of life, productivity of labour and the average life expectancy. Health status is determined by:
(i) Purchasing power of people.
(ii) Public sanitation, climate and availability of medical facilities.
(iii) People’s understanding and knowledge of health, hygiene and nutrition.
3. Equality of Opportunity:
Not all segments of people comprising human resources get equal employment opportunities. There is bound to be some discriminationThe most common forms of discrimination are:
(i) Social discrimination – Discrimination on basis of gender, religion or social standing.
(ii) Economic discrimination – Discrimination based on financial positions or possession of wealth by the sections of workforce.
(iii) Regional discrimination – These are in form of discrimination between rural and urban population or between people belonging to different regions/ states.
Discrimination affects the quality and productivity of the human resources belonging to different sections of the population. The privileged classes get access to best education, nutrition and health facilities while underprivileged are deprived of their right share in the development process. For the overall, well rounded development of the country’s human resources, effective policies need to be implemented to deal with the problem of discrimination.
Job analysis - Job description - Job specification
Job Analysis is the starting point of recruitment and selection. It is a systematic process of collecting and studying information about the various jobs in the organisation.
Edwin Flippo defines "lob analysis is the process of studying and collecting information relating to the operations and responsibilities of a specific job,"
Job analysis consists of two areas:
- Job Description
- Job Specification
Figure: Job specification areas
I. Job Description
Job description gives details of the job in respect of job title, duties and responsibilities, location of the job, working conditions, and other relevant details describing the job. It is an overall summary of job requirements. The job description describes every aspect of the job. Job description once prepared is reviewed periodically and revised in the light of changing conditions.
According to Edwin Flippo "a job description is an organised, Tactual statement of duties and responsibilities of a specific job. In wne, it should tell what is to be done, how it is done and why. It is a standard of function, in that it defines the appropriate and authorised content of a job."
Contents of Job Description:
Figure: Job description content
1. Job identification:
It gives details relating to the job title, code number of the occupation, location, name of the division/department, location and the unit where the job exists. This part of job analysis helps to identify the job and to provide designation to job holder.
2. Job Summary:
It gives brief details of the job contents in terms of tasks or activities to be performed. Also, brief details are stated relating to the hazards and discomforts relating to the job.
3. Duties and Responsibilities:
It indicates the duties to be performed-what, how and why of a job. It also describes job responsibilities relating to custody of valuables and records, supervision and training of subordinates, and other responsibilities towards effective performance of the job.
4. Relationship with Other Jobs:
It indicates internal (within the organisation) relationship of the job with other jobs that are horizontal, vertical and diagonal. It also indicates external relationship such as relationship with customers, dealers, Government officials, trade associations, etc.
5. Machines and Tools:
It states the type of machines, tools and equipments that are to be used for the performing the job activities, Therefore, candidates who can handle the machines and tools properly are considered for selection.
6. Supervision:
It indicates the extent of supervision which the job is subject to from higher levels, and the extent of supervisions which the job holder has to exercise over subordinates. Designations of immediate superior and subordinates may also be stated.
7. Social Environment:
The social environment prevailing in the organization may be stated in the job description. Such description enables to job holder to adjust with the social environment at the work place
8. Working Conditions:
The working conditions are also a part of the job description. The working conditions include:
- Health hazards such as ventilation, illumination, nerve strain, eye strain, noise, heat, dust and other occupational hazards.
- Location such as factory/office, inside/outside, solitary team oriented, underground/on-ground, etc.
- Posture such as standing, sitting, lifting, walking, stopping etc.
- Rest Period such as the number of rest periods, and the duration of each rest periods or breaks.
- Speed of work such as fast or moderate or slow.
- Timings such as single shift, rotational shift, day, night, overtime, peak loads, etc.
Uses of Job Description:
- It facilitates job grading and classification.
- It provides the base for preparing job specification, thus facilitating recruitment and selection.
- It enables the newly appointed candidate's decision to accept or reject the job.
- It ensures proper orientation to the newly selected employees.
- It enables proper placement of employees on the job.
- It facilities proper performance appraisal.
- It enables promotion and transfer of employees.
- It enables employees to adopt health and safety measures.
- It helps to develop work procedures.
- It assists in career planning and development of employees.
- It facilitates employee counselling and guidance.
- It enables the organisation to design compensation and incentive plans.
- It helps to develop effective training and development programmes.
- It helps to avoid or minimise accidents.
- It helps to reduce employee grievances.
II. Job Specification
It gives details of the candidate who is supposed to do a particular job with reference to qualities, qualifications, experience, gender, family background, etc. It is an overall written summary of employee requirements. Job specification provides a standard of an employee for possessing the required qualities and qualities to perform the iob efficiently and effectively.
Edwin Flippo defines "job specification is a statement of the minimum acceptable human qualities necessary to perform a job properly."
Contents of Job Specification
Figure: Contents of job specifications
- Mental Characteristics – It includes general intelligence, aptitude, mental alertness, ability to concentrate, analytical reasoning, logical reasoning, creativity and innovativeness, etc.
- Personal Characteristics- It includes age, gender, education, work experience, leadership qualities, pleasing personality and manners, communication skills, dispute solving skills, technical skills, conceptual skills, etc.
- Physical Characteristics - includes height, health, hearing, vision, voice, poise, motor coordination, physical stamina, etc.
- Social and Psychological Characteristics – It includes emotional stability, cooperativeness, human skills, conversational skills, social relations, introvert/ extrovert, social citizenship behavior, etc.
Elements of job specification
The elements included in job specifications differ from organization to organization and from job to job. However, elements like age, gender, education, health, experience, and skills are invariably included in job specification for all types of jobs in all organizations. The essential and desirable elements of job specifications are discussed below-
- Essential characteristics which are generally mandatory in nature, such as the minimum and maximum age of the job applicant, minimum qualifications (especially in public/Govt. Organisations), and height and weight (military). There is no flexibility in modifying such characteristics.
- Desirable characteristics which are generally flexible in nature, such as experience, family background, and gender. The desirable characteristics are flexible in nature. However, such characteristics are desirable for satisfactory performance of the job.
Uses of Job Specification:
- It facilitates selection of the employees depending on the mental, physical, and personal qualities.
- It helps in providing training to improve the knowledge and skills of those candidates who lack the same for effective performance of the job.
- It enables the organisation to design compensation plans based
- On qualifications and experience of the candidates.
- It helps in proper placement of the candidates on the job depending upon the qualities and qualifications.
- It enables the organization to provide proper designation to the employees based on their qualifications and experience.
- It facilitates in counseling the employees to acquire higher qualifications, thus facilitating career planning and succession planning.
KEY TAKEAWAYS
JOB ANALYSIS IS THE STARTING POINT OF RECRUITMENT AND SELECTION. IT IS A SYSTEMATIC PROCESS OF COLLECTING AND STUDYING INFORMATION ABOUT THE VARIOUS JOBS IN THE ORGANIZATION.
The role of human resource planning in an organisation are discussed below-
Figure: Role of HRP
I. Assessing Future Personnel Needs:
Whether it is surplus labour or labour shortage, it gives a picture of defective planning or absence of planning in an organization. A number of organizations, especially public sector units (PSUs) in India are facing the problem of surplus labour. It is the result of surplus labour that the companies later on offer schemes like Voluntary Retirement Scheme (VRS) to eliminate surplus staff. Thus, it is better to plan well about employees in advance. Through HRP, one can ensure the employment of proper number and type of personnel.
II. Foundation for Other HRM Functions:
HRP is the first step in all HRM functions. So, HRP provides the essential information needed for the other HRM functions like recruitment, selection, training and development, promotion, etc.
III. Coping with Change:
Changes in the business environment like competition, technology, government guidelines, global market, etc. bring changes in the nature of the job. This means changes in the demand of personnel, content of job, qualification and experience needed. HRP helps the organization in adjusting to new changes.
IV. Investment Perspective:
As a result of change in the mindset of management, investment in human resources is viewed as a better concept in the long run success of the enterprise. Human assets can increase in value as opposed to physical assets. Thus, HRP is considered important for the proper planning of future employees.
V. Expansion and Diversification Plans:
During the expansion and diversification drives, more employees at various levels are needed. Through proper HRP, an organization comes to know about the exact requirement of personnel in future plans.
VI. Employee Turnover:
Every organization suffers from the small turnover of labour, sometime or the other. This is high among young graduates in the private sector. This necessitates again doing manpower planning for further recruiting and hiring.
VII. Conformity with Government Guidelines:
In order to protect the weaker sections of the society, the Indian Government has prescribed some norms for organizations to follow. For example, reservations for SC/ST, BC, physically handicapped, ex-servicemen, etc. in the jobs. While planning for fresh candidates, HR manager takes into consideration all the Government guidelines.
VIII. International Expansion Strategies:
International expansion strategies of an organization depend upon HRP. Under International Human Resource Management (IHRM), HRP becomes more challenging. An organization may want to fill the foreign subsidiary’s key positions from its home country employees or from host-country or from a third country. All this demands very effective HRP.
IX. Having Highly Talented Manpower Inventory:
Due to changing business environment, jobs have become more challenging and there is an increasing need for dynamic and ambitious employees to fill the positions. Efficient HRP is needed for attracting and retaining well qualified, highly skilled and talented employees.
Steps in Human Resource Planning
Six steps in human resource planning are-
Figure: Steps in HR planning
1. Analyze Organizational Objectives:
The objective to be achieved in future in various fields such as production, marketing, finance, expansion and sales gives the idea about the work to be done in the organization.
2. Inventory of Present Human Resources:
From the up to date human aid information storage system, the current number of employees, their capacity, performance and potential can be analysed. To fill the various job requirements, the internal sources (i.e., employees from within the organization) and external sources (i.e., candidates from various placement agencies) can be estimated.
3. Forecasting Demand and Supply of Human Resource:
The human resources required at different positions according to their job profile are to be estimated. The available internal and external sources to fulfill those requirements are also measured. There be proper matching of job description and job specification of one particular work, and the profile of the man or woman should be suitable to it.
4. Estimating Manpower Gaps:
Comparison of human aid demand and human aid supply will furnish with the surplus or deficit of human resource. Deficit represents the number of people to be employed, whereas surplus represents termination. Extensive use of proper training and development programme can be performed to upgrade the skills of employees.
5. Formulating the Human Resource Action Plan:
The human resource plan depends on whether there is deficit or surplus in the organization. Accordingly, the plan may be finalized both for new Selection, training, interdepartmental transfer in case of deficit of termination, or voluntary retirement schemes and redeployment in case of surplus.
6. Monitoring, Control and Feedback:
It often involves implementation of the human resource action plan. Human assets are allocated according to the requirements, and inventories are up to date over a period. The plan is monitored strictly to identify the deficiencies and remove it. Comparison between the human resource plan and its authentic implementation is done to ensure the appropriate action and the availability of the required number of employees for various jobs.
Factors influencing Human Resource Planning
The factors that influence human resource planning are discussed under the following heads-
Figure: factors of HRP
External Factors:
i. Government Policies – Policies of the government like labour policy, industrial relations policy, policy towards reserving certain jobs for different communities and sons-of the soil, etc. affect the HRP.
Ii. Level of Economic Development – Level of economic development determines the level of HRD in the country and thereby the supply of human resources in the future in the country.
Iii. Business Environment – External business environmental factors influence the volume and mix of production and thereby the future demand for human resources.
Iv. Level of Technology – Level of technology determines the kind of human resources required.
v. International Factors – International factors like the demand for resources and supply of human resources in various countries.
Vi. Outsourcing – Availability of outsourcing facilities with required skills and knowledge of people reduces the dependency on HRP and vice-versa.
Internal Factors:
i. Company policies and strategies – Company policies and strategies relating to expansion, diversification, alliances, etc. determines the human resource demand in terms of quality and quantity.
Ii. Human resource policies – Human resources policies of the company regarding quality of human resource, compensation level, quality of work-life, etc., influences human resource plan.
Iii. Job analysis – Fundamentally, human resource plan is based on job analysis. Job description and job specification determines the kind of employees required.
Iv. Time horizons – Companies with stable competitive environment can plan for the long run whereas the firms with unstable competitive environment can plan for only short- term range.
v. Type and quality of information – Any planning process needs qualitative and accurate information. This is more so with human resource plan; strategic, organisational and specific information.
Vi. Company’s production operations policy – Company’s policy regarding how much to produce and how much to buy from outside to prepare a final product influence the number and kind of people required.
Vii. Trade unions – Influence of trade unions regarding number of working hours per week, recruitment sources, etc., affect the HRP.
Essentials of a Good Human Resource Planning
The essentials of good human resource planning are discussed below-
i. There should be a proper linkage between HR plan and organizational plan.
Ii. Top management support is essential.
Iii. Proper balance should be kept between the qualitative and quantitative approaches to HRP.
Iv. Involvement of operating managers is necessary.
v. Proper alignment between short-term HR plans and long-term HR plans should be there.
Vi. HR plan should have in-built flexibility in order to adopt environmental uncertainties.
Vii. Time period of HR plan should be appropriate to needs and circumstances of the organization.
Job Analysis – Process
The steps involved in job analysis process are discussed below-
Figure: Job analysis process
1. Determination of Uses of Job Analysis:
Job analysis begins with determination of uses of job analysis. Job analysis has variety of uses. Earlier it was used for recruitment and selection and later its coverage increased. Therefore, before analysing the job, the organization should define the uses of job analysis. Because, without knowing the purpose, required information cannot be collected. In large organizations, it is undertaken in comprehensive, systematic and in written form. But in small organizations the process is generally informal and is used for limited purposes.
2. Strategic Choices in Job Analysis:
There are certain strategic choices with regard to job analysis which are described below:
(a) Employees Involvement:
Before analysing the job, it is advisable to know the extent of employee’s involvement in the job, because a job holder knows better about the job and it is easy to collect the information about the job from job holders. But the question is whether job holder should be involved in the process as there are every possibilities of inflating the duties and responsibilities of his job by the job holder. If employees are not involved, they tend to become suspicious about the process undertaken by the organization. Therefore, extent of employees involvement in the job should be understood along with the adverse effect on employees before job is being analysed. Action should be taken to convince the employees, the object of conducting the job analysis programme and their co-operation should be sought.
(b) Level of Details of Analysis:
Job analysis may be made in-depth or it can be completed without going in to the details. It is therefore necessary to define the level of details of analysis. Generally, objectives and use of analysis determine the level of details of analysis along with nature of job. Job of routine nature with limited responsibilities requires fewer details whereas dynamic and non-repetitive job requires detailed analysis.
(c) Frequency and Timing of Analysis:
Frequency of job analysis and time during which analysis is to be undertaken is also another important factor to be considered while analysing the job.
Generally job analysis is conducted under the following circumstances:
(i) When an organization is newly established or new job is created in an organization or
(ii) When job restructuring and rationalization is initiated in the organization or
(iii) When there is no relation between job demand and remuneration or
(iv) When there is a change in technology, method & procedure of doing a job.
(d) Past Oriented vs. Future Oriented:
Generally job analysis is made on the basis of past performance. But due to rapid change in the technology a future oriented approach may have to be initiated depending upon the change in the nature of job requirements. Future oriented job analysis allows an organization to initiate the process of acquiring and developing employees in advance. For example in many organizations, typewriters are replaced with computers and organization have to prepare & develop their employees accordingly.
3. Information Collection:
The next step to be followed in the process of job analysis is information collection for job analysis which involves the following sub steps:
(a) Type of Information to be Collected:
In deciding the type of information to be collected, all details about the job need to be gathered. It may be related to description of work like why, when and how, task is performed, machines, tools, and equipment used, job contents, personal requirement of job holder etc.
(b) Method to be adopted to Collect the Information:
With regard to method to be applied to collect the data, there are several methods like observation, interview method, questionnaires, checklists, technical conference etc. Use of a particular method depends on type of information required for job analysis.
(c) Persons Involved in Information Collection:
Persons generally involved for gathering information are – trained job analysts, supervisors, job incumbents or job holders. Trained job analysts maintain objectivity, consistency in information collection and reporting but intrinsic factors of job may be missed by them. Supervisors ensure speedy collection of information and there will be better familiarity with job contents and contexts but they have time constraints and they lack skill required for job analysis. Job holders provide information with greater familiarity but their opinion may be biased and they lack skills in providing relevant information for job analysis. However, type of persons to be involved in the process of data collection ultimately depends on the purpose of job analysis and the nature of job to be analysed.
4. Information Processing, Job Description and Job Specification:
The last step in the process of job analysis is processing of information collected which involves editing and classification of information in to different relevant components which are helpful in the preparation of job description and job specification. Job description refers to the description of duties, responsibilities, and requirement of a particular job. Job specification is the statement that describes the minimum acceptable qualifications that a job holder should possess to perform the job successfully.
Tools and Techniques
The tools and techniques/ methods for job analysis are discussed below-
Figure: Tools and techniques of job analysis
1. Questionnaire:
This is a widely used method for collecting data pertaining to job. The questionnaire is structured in such a fashion that all data about nomenclature of jobs, description of duties, machines and equipment used, working conditions etc. can be collected. The questionnaire is filled both by employees/subordinates and supervisors. The questionnaire should be very clear, understandable and relevant. If the questionnaire is not able to bring out responses of employees/managers, it should be discarded and fresh questionnaire should be made.
2. Written Narratives:
In this system, the employee keeps a daily record of major duties performed, marking the time when each task is started and finished. This forms the basis of narratives which become a tool in getting the information relating to different jobs. They may be incomplete and unorganized, thus you need to supplement it with interviews etc.
3. Observations:
In this method the job analyst personally observes the job while people are doing it. He checks the tasks performed on the job, the pace of work, working condition, job hazards involved etc. in any one work cycle. Based on these observations he makes a job analysis. This method has one major limitation. It is that the analyst has to be very careful about what information to observe and what not to observe. Also after observation, he should know how to analyse.
4. Interviews:
The analyst in this method personally interviews the employees while they are performing the job. A standard format is used to collect data collected from different employees. The analyst asks standard job related questions. These interviews are often used with observation tool to clarify all questions related to the jobs being analysed. In this analysis, employees may not always come out with the real information about job but an intelligent analyst has the ability to shift relevant information from irrelevant one.
Distinguish between Job Description & Job Specification
The differences between job description and job specifications are discussed below-
Sl no | Job description | Job specification |
| Job Description is a concise written statement, explaining about what are the major requirements of a particular job. | The statement which explains the minimum eligibility requirements, for performing a particular job is known as Job Specification. |
2. Contents | Job title, duties, tasks and responsibilities involved in a job. | Employee's qualification, skills and abilities. |
3. Prepared from | It is prepared from Job Analysis. | It is prepared from Job Description |
4. Describes | It describes jobs. | It describes Job Holders. |
5. Comprises of | Designation, place of work, scope, salary range, working hours, responsibilities, reporting authority etc. | Educational qualifications, experience, skills, knowledge, age, abilities, work orientation factors, etc. |
KEY TAKEAWAYS
- WHETHER IT IS SURPLUS LABOUR OR LABOUR SHORTAGE, IT GIVES A PICTURE OF DEFECTIVE PLANNING OR ABSENCE OF PLANNING IN AN ORGANIZATION. A NUMBER OF ORGANIZATIONS, ESPECIALLY PUBLIC SECTOR UNITS (PSUS) IN INDIA ARE FACING THE PROBLEM OF SURPLUS LABOUR. IT IS THE RESULT OF SURPLUS LABOUR THAT THE COMPANIES LATER ON OFFER SCHEMES LIKE VOLUNTARY RETIREMENT SCHEME (VRS) TO ELIMINATE SURPLUS STAFF.
Quality Circles
Quality circle is a people building philosophy based on the premise that an employee doing a particular job is biggest expert of that field and thus is in a better position to identify, analyse and resolve the work related problems through their innovative and unique ideas. By solving their work related problems, the employees reduce the rejection rate, rework and thus their mental tensions are reduced, enabling them to work with total commitment and dedication. It is a voluntary group of employees, who are doing the same or similar type of job, meet together on a regular’ basis to identify, analyse and solve their work related problems leading to improvement in their work, performance and- enrichment of their work life. The number of circle members could vary from 5 to 15 but the ideal size of a circle is 7 or 8 members. The number of members should be such that the circle is effective.
Features of quality circles
1. People Building Philosophy – A quality circle is a homogeneous group. The number of employees in a quality circle is between six to ten and they generally come from a particular area. It consists of small group of persons who normally work at the same place and perform similar work. Every member and the management have the sincere desire to help others to grow and develop. They must look out for the development and growth of everyone working in the organisation.
2. Voluntary Group – No coercion or pressure is brought on any member to join or not to join. Nor can any member be barred from joining quality circles. Quality circles are voluntary associations of persons having common cause. Members must understand that quality circles are formed for their benefit—they are completely free to take or not to take advantages of it.
3. Participative Program – Quality circles represent collective effort. Every one working in the organisation must get a chance to say what is in his mind. Everyone should have interest and value for the projects chosen for quality circles. The circle as a whole should receive recognition for any achievements accomplished by it.
4. Supportive Management – Quality circles need the encouragement to grow and mature. Management must be willing to give support, advice and also some commitment in the beginning. Members normally meet once in a week for about one hour in consultation with the manager. Each quality circle is managed by an elected leader and the manager/supervisor may act as the leader.
5. To Improve the Performance – Collective and participative efforts must result in the improvement of quality, productivity and performance. Cost and wastage must be reduced as a result of quality circles. The whole organisation must gain both quantitatively as well as qualitatively.
6. Enrichment of Work life – Apart from team culture and attitudinal changes, the quality circles must result in improved working environment, happier relations and greater job satisfaction.
7. To Identify and Resolve Work Related Problems – Members of quality circles identify their problems through brainstorming sessions. Then they start analysing the problems through statistical quality control techniques and problem solving methods. A unique feature of Quality Circles is that they do not pass on the decision without interacting with other levels of functional agencies.
8. The focus is on quality related problems.
Objectives of quality circles
(i) To develop, enhance and utilise human resources effectively;
(ii) To improve quality of products/services, productivity and reduce cost of production per unit of output;
(iii) To satisfy the workers’ psychological needs for self-urge, participation, recognition etc., with a view to motivating them. Accomplishment of this objective will ensure enhancement of employee morale and commitment;
(iv) To improve various supervisory skills like leadership, problem solving, inter-personal and conflict resolution; and
(v) To utilise individual imaginative, creative and innovative skills through participation, creating and developing work interest, including problem solving techniques etc. Achievement of these objectives effectively requires the use of certain techniques.
(vi) To make use of the knowledge and skills of the workers.
(vii) To develop good relations between workers and managers and create cordial industrial relations.
Kaizen
Kaizen is a Japanese term meaning "change for the better" or "continuous improvement." It is a Japanese business philosophy regarding the processes that continuously improve operations and involve all employees. Kaizen sees improvement in productivity as a gradual and methodical process. Kaizen (Continuous Improvement) is a strategy where employees at all levels of a company work together proactively to achieve regular, incremental improvements to the manufacturing process. In a sense, it combines the collective talents within a company to create a powerful engine for improvement.
The Kaizen approach consists of 5 founding elements:
- Teamwork,
- Personal discipline,
- Improved morale,
- Quality circles,
- Suggestions for improvement.
Talent Management and Leadership Development
Talent management is the systematic process of identifying a vacant position, hiring A suitable candidate, developing the skills and expertise of that candidate to match the position and retaining them to achieve long-term business objectives.
Some of the importance of talent management is-
1. It helps businesses improve performance
2. It allows companies to stay competitive
3. It drives innovation
4. It helps form productive teams
5. It decreases turnover
6. It leads to strong employer branding
7. It motivates others to grow
Talent Management Model
Figure: Optimal workforce model
Source: expert360.com
1. Planning
Planning aligns your talent management model in line with the overall goals of the organization. Only with the correct planning can you ensure that you seek talent with the right skills and experience. In addition, it assesses current employees to see what is working well for the company.
2. Attracting
Attracting talent is all about branding your company as an employer. You’ll need to find ways to increase visibility in ways that allow you to present company as a best place to work. The main consideration here is to make your business more approachable.
3. Developing
The development part of the model involves taking steps to help talent grow within the company. Talent management also looks at what will keep employees at your company enthusiastic and willing to go the extra mile. It is necessary to provide employees with value.
4. Retaining
Another purpose of talent management is to keep people at your company for longer. Employees need to continue feeling that the company is an enjoyable, meaningful place to work. Through training and other types of engagement, employees have the chance to create a career without leaving the company.
5. Transitioning
After hiring and developing their skills, you need to plan for employees’ transitions.
Leadership development
Leadership development refers to activities that improve the skills, abilities and confidence of leaders. Programmes vary massively in complexity, cost and style of teaching. According to Baldwin and Ford (1988), the success of leadership development is influenced heavily by the quality of the programme, level of support and acceptance from superiors, and the characteristics/learning style of the person being developed.
Role of human resource in leadership development are-
- Leadership training and development
Managers perform the crucial role of encouraging and empowering their teams. The more comfortable your leaders are with taking charge, the more motivated the rest of your employees will be. The process can begin with offering training and development opportunities for leaders, encouraging them to fill their skills gaps. HR can take an active role in impacting leadership development by celebrating leaders’ strengths and identifying where they can do better. They can also be instrumental in suggesting courses or offering mentoring opportunities to suit.
2. Promotion systems
Businesses often promote people with advanced technical skills in leadership roles. The issue with this is that technical skills don’t necessarily translate into excellent leadership skills. HR needs to be aware of the impact poor leadership can have on staff morale and efficiency, and plan ahead to avoid this.
3. Employee-centric approach
HR should ensure that an employee-centric approach is maintained when it comes to developing leadership. Managers at all levels need to follow a people-centric leadership model, and HR needs to facilitate this.
4. Helping managers take a team-based approach
Comprehensive management is about more than performance reviews and workflows. It’s about inspiring teams and motivating them to do their best work. Your business’ management team will keep employees happy through good leadership. This comes back to having an effective promotion, hiring and training systems in place to ensure the right people progress into the right leadership roles.
5. HR and senior management collaboration
When it comes to business success, HR needs to identify what leadership roles affect business strategy. By identifying what roles are correlated with strategy, you’ll understand the individuals you need to work alongside with, in order to create and execute effective strategies.
HRD as a Business Partner
HR business partners are human resources professionals who help align an organization’s ‘people strategy’ with their ‘business strategy.’ They help senior leaders envision, develop, and execute an HR strategy that supports their growth, performance, and future objectives. An HR business partner supports the business managers through the alignment of HR activities with the organizational strategy. The HRBP helps solve business issues through the people side of the business. Crucial skills are business acumen, digital integration, people advocacy, strategic aptitude, and understanding of HR, data analytics skills, and excellent stakeholder management.
Skills required as business partner are-
1. Sales mind-set
Apart from their knowledge of how business works – HR Business Partners need to have a sales mind-set. They must be able to sell their proposals to seasoned employees and C-level executives.
2. Results-driven
This important skill goes hand-in-hand with sales mind-set. HR Business partners need to be results-oriented in order to successfully plan and execute strategies of company’s business interest.
3. Project Management
Since HR Business Partners are expected to propose and manage initiatives related to HR that will result in accomplishing company-wide goals, it is not surprising that they are expected to possess some project management skills.
4. Organization
Organizational skills such as time management and self-discipline are crucial for a successful HR Business Partner. To achieve the optimal outcome of a proposed initiative, one needs to carefully schedule and timely execute the steps of a plan.
5. Communication
The importance of good communication skills cannot be undermined for any role in HR, and especially for HR Business Partner. As human resources are a “people” department, HR professionals need to be good listeners, communicators and presenters.
6. Strategic thinking
Strategic thinking is of utmost importance to an HR Business Partner. As these professionals either sit on Board of Directors or are in touch with C-level officials in some other way, they are co-creating decisions that shape up the company’s business success.
7. Leadership
An HR Business Partner is in charge of comprehensive projects that include a lot of people, from C-level executives and managers to the rest of the workforce. This means that you need someone that can lead by example and eliminate the main reasons for disengagement.
Visionary and Transforming Leadership
Visionary leaders mobilize teams or followers to work toward their vision and they need structure and organization to guide them. Having a vision for the company means they have mapped out a path in their mind, and they need to communicate this path to their employees in order to set plans in motion.
Features of visionary leadership are-
1. Resilience
One of the leadership qualities of a visionary leader is resilience. Visionary leaders adapt well in terms of any adversity. Problems in an organization or any workplace culture shift can make it difficult for any leader to adapt. It is when a visionary leader shows resilience and keep the morale and motivation of the organization high. People look upto to their leaders, which is why a leader can lose their motivation, especially when it's a difficult situation. Visionary leaders take calculated risks in such situations and endure uncertainty.
2. Risk Takers
Change demands risks. And more than that, it demands courage and decision-making ability. Leaders who are quick to understand this takes calculated risks and adapt to the changing work trends. Risk-taking comes with a perspective that is logical and analytical but not necessarily rational. That is why visionary leaders often have to deal with social pressures and, even at times, self-doubt. They are eager to take their chances with optimism and weighing the pros and cons. They intend to transform the world for the greater good, and that is where they drive the energy from.
3. Visionary Leaders Takes Responsibility
A leader is accountable for their actions. The decisions they make will always have an impact on the people that are following them. Hence, visionary leaders take the responsibility. They can make or break any organization. An organization has many aspects to it. Most importantly, some finances help the projects to move forward. One mistake and the whole business can fall apart. Therefore, leaders who have a vision with significant risks or different ideas from others must ensure responsibility for their actions.
4. They're Collaborative
When a leader has a vision, they cannot fulfill it alone. They need the support of others to make it a reality. It is only possible by active team collaboration and keeping everyone involved in the whole process. We hear leaders speak of cooperating with their teams to get results. Collaboration goes a step further, connecting the talents of individuals you collaborate with to the priorities and expectations that will promote growth and progress. Collaboration involves synergizing the relationships you have and providing ways for others to display their best work and mindset.
5. High Emotional Intelligence
To work towards the visionary goal, you need a team. To keep the team motivated along the journey, a leader must understand their emotional triggers and empathize with them. Having a healthy view of the effects the vision and purpose will have on others helps leaders to develop empathy and concern as they push through the goals. It is essential to understand their perspective and be there when needed. Another aspect is self-regulation to stay motivated and relax during any adversity. Leaders who have a vision for the future are high on emotional intelligence.
Transformational leadership
Transformational leadership is a leadership style which leads to a transformation in the team members of a leader. Transformational leadership is how leaders transform teams or organizations by creating, communicating and modelling a vision for the organization and inspiring employees to strive for that vision. Transformational leaders are change agents who energize and direct employees to a new set of corporate values and ethics. A few examples of transformational leadership are as follows:
1. Adolf Hitler, Mahatma Gandhi, Nelson Mandela etc are all transformational leaders who have inspired and motivated people to have a common vision to being together.
2. In business, prominent names like Steve Jobs, Walt Disney, Bill Gates, Ratan Tata etc have inspired people with their poise, grace and business skills.
Elements of Transformational Leadership
The basic elements under transformational leadership which can help leader motivate and change team members are as follows:
1. Individual Mentoring: Transformational leadership is when a leader mentors or coaches a subordinate individually based on his or her skill sets. It considers the strengths and weaknesses of an employee, and the leader helps them by supporting them to improve.
2. Encourage Creativity: Transformational leadership style encourages team members to be more creative, take risks, think about new ideas etc. This enables employees to keep on thinking about new solutions which helps in achieving the overall goal of the team.
3. Inspirational Motivation: A good leader always motivates employees by inspiring them to keep on learning new skills and become stronger. Transformational leadership drives employees to understand future goals, set high standards and complete the tasks purposefully.
4. Influence by Leading: Transformational leadership approach requires a leader to lead by example by setting a high standard of values, ethics and skills to gain the trust of his or her subordinates.
Transformational Leadership steps for Leaders
There are four steps of transformational leadership which can help leaders boost employee morale.
1. Develop a strategic vision: Transformational leaders establish a vision of the company’s future state that encourages employees to achieve the objective which they didn’t think possible. It creates a purpose or super ordinate goal that energizes and unifies employees.
2. Communicate the vision: Transformational leaders communicate meaning and elevate the significance of visionary goal to employees. They frame messages around the purpose with appeal that captivates employees and other stakeholders.
3. Model the vision: Transformational leadership requires modelling the vision is walking the talk. Leaders communicate the significance and their commitment towards vision via doing activities consistent with their words.
4. Build commitment to the vision: Transformational leadership requires building commitment by involving employees in the process of shaping the organization’s vision. They keep the enthusiasm going by enacting the vision and staying on course.
HRIS (Human Resource Information Systems)
HRIS stands for Human Resources Information System. The HRIS is a system that is used to collect and store data on an organization’s employees. In most cases, an HRIS encompasses the basic functionalities needed for end-to-end Human Resources Management (HRM). It is a system for recruitment, performance management, learning & development, and more.
Benefits of an HRIS
Using an HRIS has a number of clear benefits. That’s why companies of all sizes implement this tool to support their people operations. Centrally, the HRIS holds employee information. A wide range of employee data is then easily accessible, in one system.
- Record-keeping. An HRIS is a record-keeping system that keeps track of changes to anything related to employees. The HRIS can be seen as the single source of truth when it comes to personnel data.
- Compliance. Some data is collected and stored for compliance reasons. This includes material for the identification of employees in case of theft, fraud, or other misbehaviours, first contact information in case of accidents, citizens identification information for the tax office, and expiration dates for mandatory certification. All this information can be stored in the HRIS. It is essential that data is stored safely and securely, in line with GDPR regulations.
- Efficiency. Having all this information stored in one place not only benefits accuracy but also saves time. Some companies still keep a lot of data about employees as physical paperwork. Finding the right folder, and locating the right sheet, can take up a lot of staff time.
- HR strategy. The HRIS permits the tracking of data required to advance the HR and business strategy. Depending on the priorities of the organization, different data will be essential to track. This is where the HRIS shines.
- Self-Service HR. A final benefit is the ability to offer self-service HR to employees and managers. This enables employees to manage their own affairs. When done right, the HRIS can offer a good employee experience. Keep in mind that not all HRIS systems offer this in a user-friendly manner!
HRIS functions
There are different kinds of HRIS systems and software. Because an HRIS encompasses all the functionalities for HR, all separate functionalities are part of the system. These functionalities include:
- Applicant Tracking System (ATS):
This software handles all the company’s recruiting needs. It tracks candidate information and resumes, enables recruiters to match job openings to suitable candidates from the company’s application pool, and helps in guiding the hiring process.
2. Payroll:
Payroll automates the pay process of employees. Contractual data and information on new hires is often entered into this system – sometimes combined with time & attendance data – and at the end of the month, payments orders are created.
3. Benefits administration:
Another functionality of the HRIS is benefits management. Employee benefits are an important aspect of compensation and are also managed in this system. More advanced systems offer an employee self-service model for employee benefits. In this case, employees can select the benefits they are looking for themselves.
Incorporation of career development
Career development is the process of managing life, learning and work over the lifespan. It applies to everyone: children think about what they want to do as adults and start to form ideas about work and adult life during their early childhood development. Career development refers to a set of programmes designed to match an individual’s needs, abilities, and career goals with current and future opportunities in the organization. Since career development focuses on future opportunities, it has essentially a long-term orientation.
The focus of career development is on the following:
(i) Obtaining relevant information about individual employees’ interests and preferences;
(ii) Matching individuals’ career interests and aptitudes to job requirements;
(iii) Providing career path information to employees to enable them to make their career plans;
(iv) Providing financial inducements and facilities to employees for acquisition of new skills and capabilities;
(v) Developing a suitable T&D programme both within the organisation and outside to help employees improve their career.
Many organizations take initiatives to help the employees in managing their careers.
1. Career Planning Workbooks:
Workbooks are prepared by organizations to guide their employees individually through systematic self-assessment of values, interests, abilities, goals and personal development plans.
2. Career Planning Workshops:
a. Career workshops offer experiences similar to those provided by workbooks.
b. Workshops have the added advantage of providing a chance to compare and discuss attitudes, concerns and plans with others.
c. While some workshops focus on current job performance and development plans, others deal with life career plans and value.
d. Career workshops help people assume responsibility for their own career.
e. The workshops help the employees learn how to make career decisions, set career goals, and create career options.
f. Career workshops build confidence and self-esteem in employees.
3. Career Counselling:
It is the process of discussing with employees their current job activities/performance, their personal and career interest and goals, their personal skills and appropriate career development activities. Career counselling is usually voluntary. Career counselling may be provided by HR managers, line managers, specialized staff counsellors or consultants outside the organization.
Internal consultancy and Linkage to knowledge management
Internal consultant is considered as an employee of the company who is capable of giving strategic insights into the company matters, and is available for any advisory role that the company might desire from them on any specialized domain. Internal consultants are also to resolve any business issues, organizational restructuring issues, implement changes & supporting the internal clients for a shared kind of organization.
Advantages:
1. It saves up on the cost associated on hiring an external consultant to understand the company, do a research & then go for suggestive improvements.
2. Since the internal consultants are people from the same organization, they are familiar with the work culture & employees there, so easier to approach employees
3. The internal consultants also are considered to be specialized in a specified domain, thus the information given by them can be crucial for change management in the organization.
Disadvantages:
1. Not only the consultants other employees must also be able to transfer the ideas that are there into implementation.
2. Often the results that are suggested by the IC’s may be biased towards the organization or the department he is working in.
3. An internal consultant may have an extra burden of responsibility apart from the work that he is doing. Thus it may hamper productivity.
Case study
Harsha and Franklin both of them are postgraduates in management under different streams from the same B-School. Both of them are close to each other from the college days itself and the same friendship is continuing in the organization too as they are placed in the same company, Hy-tech technology solutions. Harsha placed in the HR department as employee counsellor and Franklin in the finance department as a key finance executive. As per the grade is concerned both are at the same level but when responsibility is concerned Franklin is holding more responsibility being in core finance.
By nature, Harsha is friendly in nature and ready to help the needy. Franklin is silent in nature ready to help if approached personally and always a bit egoistic in nature. They have successfully completed 4 years in the organization. And management is very much satisfied with both of them as they are equally talented and constant performers.
Harsha felt that now a day’s Franklin is not like as he uses to be in the past. She noticed some behavioural changes with him. During general conversations, she feels that Franklin is taunting her that she is famous among the employees in the organization, on the other hand, he is not even recognized by fellow employees.
One morning Mr. Mehta General Manager Hy-tech technology solutions shocked while going through the mail received from Franklin about his resignation. Mr. Mehta called Harsha immediately and discussed the same as she is close to Franklin. By hearing the news Harsha got stunned and said that she does not know this before she also revealed here current experience with him. Mr. Mehta who does not want to lose both of them promised her that he will handle this and he won’t allow Franklin to resign.
In the afternoon Mr. Metha took Franklin to Canteen to make him comfortable after some general discussion he starts on the issue. Franklin, after some hesitation, opened his thinking in front of Mr. Mehta. The problem of Franklin is
1) when he comes alone to canteen the people from others don’t even recognize him but if he accompanied by Harsha he gets well treated by others.
2) one day Both of them entered the company together the security in the gate wished them but the next day when he came alone the same security did not do so.
3) Even in meetings held in the office, the points raised by Harsha will get more value so many times he keeps silent in the meeting.
It happens to Franklin that he has to face such degradation in each day of work which totally disturbs him. Franklin also questioned that ” Harsha and myself have the same qualification, from the same institute, passed out in the same year both with first class. We have the same number of experiences in this organization. Moreover, the responsibilities with me are more valuable than those of Harsha. After all these things if I am been ignored or unrecognized by the fellow employees my ego does not allow me to continue here”.
By listening to this statement Mr.Metha felt that it is not going to be very difficult to stop his resignation. Mr. Mehta explained Franklin the reasons for such partial behaviour of the employees. After listening to Mr. Mehta Franklin said sorry for his reaction and ready to take back his resignation. And he called Harsha and spoke with like before.
KEY TAKEAWAYS
- QUALITY CIRCLE IS A PEOPLE BUILDING PHILOSOPHY BASED ON THE PREMISE THAT AN EMPLOYEE DOING A PARTICULAR JOB IS BIGGEST EXPERT OF THAT FIELD AND THUS IS IN A BETTER POSITION TO IDENTIFY, ANALYSE AND RESOLVE THE WORK RELATED PROBLEMS THROUGH THEIR INNOVATIVE AND UNIQUE IDEAS.
References
- Personnel and Human Resource Management – A M Sharma (Himalaya Publishing House)
- Personnel Management and Industrial Relations- R S Davar (Vikas Publishing House)
- Human Resource Development and Management- Biswanath Ghosh (Vikas Publishing House)
- Personnel Management – C.B. Mamaria, S V Gankar (Himalaya Publishing House)
- Human Resource Management – AShwathappa