RAHUL SINGHIntroduction to HRM

Definition of HRMHuman resource management is to make the most productive use of human resource to the greatest benefits of the organization and individuals. Organization: profits and social commitments.Individuals: development and achievement

Human Resources Management

Competitive Challenges and Human Resources ManagementThe most pressing competitive issues facing firms:Going globalEmbracing technologyManaging changeDeveloping human capital Responding to the market Containing costs

Going GlobalGlobalizationThe trend toward opening up foreign markets to international trade and investment.Impact of GlobalizationPartnerships with foreign firmsAnything, anywhere, anytime marketsLower trade and tariff barriersNAFTA, EU, APEC trade agreementsWTO and GATT

Going Global (contd)Impact on HRMDifferent geographies, cultures, laws, and business practicesIssues:Identifying capable expatriate managers.Developing foreign culture and work practice training programs.Adjusting compensation plans for overseas work.

Embracing New TechnologyKnowledge WorkersWorkers whose responsibilities extend beyond the physical execution of work to include planning, decision making, and problem solving.The Spread of E-commerceThe Rise of Virtual Workers

Influence of Technology in HRMHuman Resources Information System (HRIS)Computerized system that provides current and accurate data for purposes of control and decision making.Benefits:Store and retrieve of large quantities of data.Combine and reconfigure data to create new information.Institutionalization of organizational knowledge.Easier communications.Lower administrative costs, increase productivity and response times.

Major Uses For HR Information Systems

The importance of HRMPeople is the key factor of production.Productivity is the key to measure a nations economic growth potential, and labor quality is the key to improving productivity.Competition today is the competition for talents.Since man is the most uncontrollable and unpredictable variable of all production variables, organizational success depends on the management of people.

National Culture and HR PracticesIndian HR Practices

High power-distance cultures create:Hierarchical organizational structures. Loyal and committed subordinate workers.Autocratic relationships between managers and subordinates.

Indian HR PracticesResumes seek strong educational background.

Employee referrals (predominantly used for middle and senior management).

Succession planning (predominantly used for middle and senior management).

Elaborate employment tests related to the job, especially at entry level.

E-recruitment: Naukri.com was the first e-portal established in 1998 (naukri means job in Hindi ).

Indian HR PracticesNewspaper advertisements are used to brand the company to potential applicants.

Newspaper advertisements will specify age and gender requirements.

Personal questions will be asked in interviews/resumes about:

AgeMarital statusFamily plans (women planning to start a family) Family background Caste backgroundPhotos to be includedVerification of educational certificates

Training PracticesTraining (future orientation):Education is extremely valued, and training is an extension of it.Entry point training programs (3 to12 months of orientation).Ongoing training programs. Development programs (promotions involve training).In-house training centers are a common feature in Indian organizations.

Compensation and Benefits

In addition to a base salary, compensation includes:House rent allowance (HRA*).Medical allowance.Dearness allowance (DA*).Leave travel allowance (LTA*).Commuter allowance.* These allowances are frequently referred by their acronyms

Several categories of leave (vacation) exist:Sick leave: 7 days (medical certificate required).Casual leave: 7 days (for personal and family emergencies, requires prior permission of boss). Employees can take maximum 2 days at a timeAnnual leave: 3 weeks (after one year of employment).Federal holidays: About 20 days.

GROWTH OF HUMAN RESOURCE HRM in India could be traced back to the period after 1920, when emphasizes was on worker welfare.In 1931, the royal commission on labor suggested the appointment of labor officer to protect workers interests .Appointment of labor officer

The second world warEnactment of Industrial dispute ActEnactment of Factories Act1960 and after..

FIRST PHASEImmediately after independence the focus was on four reasons : Maintain disciplinePrevent their formation of and break-up the leadership of trade unionism.Prevent their formation of and break-up the leadership of trade unionismHandle recruitment and terminationKeep some form of attendance and personnel records.

SECOND PHASEIN 1960S, Indian industrialization got a fillip with the rise of the public sector. Hence 3 more functions were added i.e.,Labor welfareParticipative managementIndustrial Harmony

In this period, the human relations movement of the west also had its impact on Indian organization.

THIRD PHASEIn 1970, the people management functions was neatly divided into two :Personnel officerEstablishment officers

Fourth PhaseIn 1976, birth of worker training institute and attitudinal development

Fifth PhaseIn 1985, organization shifted towards making HR Department separately.HRD and personnel function were clubbed together.

Sixth phaseIn early 1990s :HRM was seen as strategyMotivation and stress were considered to bring change in HRMFocus on organization objectives

Seventh PhaseIn the mid of 1990s, sub specialization like :Industrial RelationsTraining & DevelopmentInformation system

Eight phaseHRM is not selective management any moreIt became the part of Corporate Strategy formulation and strategy implementation team

Later Arrival of HRM in IndiaLate arrival of factory systemLow status of industrial workerProfessionalization of Human resource ManagementSocial responsibilities of Business Change of government attitude

Qualities of Human Resources ManagersResponsibilitiesAdvice and counselServicePolicy formulation and implementationEmployee advocacy

CompetenciesBusiness masteryHR masteryChange masteryPersonal credibility

Human Resource Competency ModelSource: Arthur Yeung, Wayne Brockbank, and Dave Ulrich, Lower Cost, Higher Value: Human Resource Function in.Business Mastery Business acumen Customer orientation External RelationsPersonal Credibility Trust Personal relationships Lived values Courage

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