BOOK

HUMAN RESOURCES &

PERSONNEL MANAGEMENT

By

Williams B, Werther JR, Keith Davis Preston University 1

WELCOME

Introduction

Text Book/Reference Materials Contents Assessment

Quiz 10% Ass/PR 10% Mid Quarter Exam 25% Final Exam 50% Cp 05%

Rules of the class

Mobiles on “Silent” please “No class within class” please

HUMAN RESOURCE MANAGEMENT- 1

PARTS TO BE STUDIED

PART 1 - Challenges & FrameworkPART 2 - Preparation & SelectionPART 3 - Development & Evaluation

PART - 1

CHALLENGES & FRAMEWORK

CHAPTER 1 - The Human Resource FrameworkCHAPTER 2 - Environmental ChallengesCHAPTER 3 - International Challenges

HUMAN RESOURCES

DEFINITION

It is the set of individuals who make up the workforce of an organization, business sector or an economy. In other

words , they are the people that staff & operate an organization

PERSONNEL MANAGEMENT

DEFINITION

It is an administrative discipline of hiring & developing employees so that they become more valuable to the organization. It includes:-• Conducting job analyses• Planning personnel needs & recruitment • Selecting the right people for the job• Orienting &training • Determining and managing wages & salaries • Providing benefits & incentives• Appraising performance• Resolving disputes • Communicating with all employees at all levels

HUMAN RESOURCE MANAGEMENTDEFINITION

It is the process of managing the people in an organization in a structured & thorough manner

orIt is the organizational function that deals with issues related to people such as :-• Benefits & compensation• Hiring & recruitment• Performance management• Organization development• Employee motivation • Communication, training & administration• Safety, wellness, etc

CHAPTER - 1

THE HUMAN RESOURCE (HR)

FRAMEWORK

DIAGRAMMATIC VIEWCENTRAL CHALLENGE TO ORGANIZATION

Central ChallengesBetter Organizations

Global competitive challenges

Population-growth challenges

Unemployment challenges

Workforce diversity challenges

Social responsibility challenge

Ethical Challenges Medical, food, housing challenges

Unknown Challenges

TYPES OF HRM OBJECTIVES (Objs)

• Organizational Objs - HR management contributes to orgl effectiveness - HR department helps managers to achieve orgl objs - HR management is a continuous mean of assistance to the managers consonant to HR issues

• Functional Objs - HR management maintains the department’s contribution - HR management serves the org at appropriate level of orgl need - HR management, compatible to orgl demands can avoid the waste of orgl resources

TYPES OF HRM OBJECTIVES (Objs)

• Societal Objs - Ethically & socially responsible to the needs & challenges of society - Minimize the negative impacts of ethical & social demands - Utilization of resources in ethical manner to the benefit of the society well result in an uninterrupted unfolding • Personal Objs - Assist employees to achieve their personal goals, which contribute to organization - Help employees to enhance their professional career growth / building - Prevent dissatisfaction, rather will tower the employees moral & performance and result in dividends to both (individual & org)

SALIENT FEATURES OF HRM OBJs

• Carefully thought benchmarks/scales • Reflection of senior management’s intents • Balancing fundamentals of challenges from the org• Standards that ensures the towering of org’s performance, profit & survival

PURPOSE OF HRM

• To improve productivity contribution of the employees• To balloon the performance of the organization• To develop & make the employees responsible:-

- To implement organizational strategy - To craft ethical arrangement & practice- To create awareness about social obligations & norms

• To improve individual’s work contributions• To support the employees in their professional development• To determine & ensure the organization’s ultimate success

KEY ROLE ACTIVITIES OF HR• To achieve the purpose & objs, HR dept helps managers to obtain, develop,

evaluate, maintain & retain the right number & types of employees• HR activities are the actions to render & maintain an apt workforce for the orgs• HR dept of small org with limited budget & staff members, simply focuses on the

most important orgl activities• HR dept of large org focuses on full service activities• As the orgs grow larger, they tend to estimate the future & subsequent HR need

plans through an activity of “Human Resource Planning” ,which involves “Recruitment”

• During recruitment process, a pool of applicants is screened via selection process & selection individuals done who match with the needs under HR planning

• Newly selected individuals are oriented & trained to perform effectively & efficiently

• Depending the demand the activities like any change, placement, transfer , promotion, demotion, lay off & termination of employee is undertaken

KEY ROLE ACTIVITIES OF HR

• The employees development ,educates them new knowledge, skills & abilities which serves in both:-- Employees continued usefulness to the org- Employees personal /professional development- Employees personal advancement

• The individuals performance is appraised/judged which makes two indications:-- How well employees performed- How well HR activities carried out

• HR Dept plays a vital role in peace & particularly disturbed employees – employers relationship by :-- Responding to listen & collect employees demands- Negotiating & administering a labor agreement

KEY ROLE ACTIVITIES OF HR

• HR Dept cater for various employees compensation in the forms such as:-- Wages & salaries- Incentives & benefits- Rewards & awards- Punishment & penalties

• HR Dept carries out assessment of employees efficiency & effectiveness for their continued success

• HR Dept also carries out the control by evaluation of the effectiveness of each activity matching orgl objs

Management Objs• Societal Objs

• Organizational Objs

Supportive Activities • legal• Benefits • Union affairs

• HR Planning• Selection• Training & Development• Placement• Appraisal• Assessment• Employ Relationship

RELATIONSHIP - HRM ACTIVITIES TO ORGL OBJs

RELATIONSHIP - HRM ACTIVITIES TO ORGL OBJs

Management Objs• Functional Objs

• Personal Objs

Supportive Activities • Placement• Appraisal• Assessment

• Training & Development• Placement• Appraisal• Compensation• Assessment

RESPONSIBILITY OF HR ACTIVITIESHR RESPONSIBILITIES• Basic Responsibility Basically, each manager is responsible for HR mangt

activities. Managers remain involved with planning ,selection, orientation, training, development, evaluation, compensation & other HR activities

• Dual Responsibilities In case an HR dept is created, both the operational managers & HR experts have dual responsibilities for employees performance

• Delegation Responsibility In case of serious disruption in their work due to HR assignments , it maybe reassigned or delegated to another individual / specialised dept

• Full Responsibility The delegation of such assignments to a manager does not reduce his responsibilities

DEPARTMENTAL COMPONENTS• Sub Departments / Sections Responsible to provide specialized services,

recruitment & selection• Training Wing Responsible for training & development of staff to achieve• Staff Wing Responsible for union affairs, welfare, ceremonies & other social

functions

ORGANIZATION OF HR DEPT

President

Production ManagerOffice MangerChief AccountantSales Manager

Human Resource Administrator

ClerkClerk

Secretary

HIERARCHY-JOB WITHIN LARGE HR DEPT

President

Vice President of HR

Middle or 1st level Manager

Departmental Workers

Manager Employment

HOD

ManagerCompensation

Manager Trg &

Development

Manager Safety

Manager Emply &

Labour relations

Recruiter Analysis Clerks Specialist CounsellorTrainers Others

SERVICE ROLE OF HR DEPT • Service Dept HR is a service dept that exists to assist org, its managers

workers • Authority HR managers and specialists being a member of service dept do

not have the authority to manage other dept • Staff Authority HR managers and specialists have staff authority to advise

not direct other managers • Line Authority This authority also called the operation managers has the

right to direct the operations of dept that distributes the org ‘s products & services

• Seeking Advice To avoid the disruptive consequences managers, usually consider the HR dept’s advice & follow

• Functional Authority This authority makes the final decision in specified situations & allows the other dept to make the decisions in cases of highly technical or routine decisions such as reward & punishment cases etc.

• Dual Responsibilities Both HR & line managers are responsible for employees productivity & as well as quality of work

DIAGRAMMATIC VIEWHRM MODEL

Compensation

&

Protection

Preparation&

Selection

Employee Relation

&Assessment

Framework & Challenges

Development &

Evaluation

OBJECTIVES•Societal

•Organizational•Functional•Personal

OR

GA

NI

ZA

TI

ON

Al

SOCIETAL

PROFESS

IONA

l

• FRAMEWORK & CHALLENGES - Central challenge is to asst org in improving its effectiveness & efficiency

- Other challenges pop up from :-

+ Within the org such as securing larger budget /shares of org’s resources + The environment in which the org operates such as domestic & international competitors or changing demands of the workers

• PREPARATION & SELECTION - To build a human resource information, the data are gathered about each job & org’s future HR needs- Managers using said data can design the jobs making them more productive satisfactory- Estimates of future HR needs enable managers & depts proactive in recruitment &selection of fresh employees/workforce

HRM MODEL

• DEVELOPMENT & EVALUATION

- New employees are oriented to org’s policies & procedures- Placed on job & seek both on job & other professional trainings- Based on information data , the needs are determined for employees training, development & career counseling exercises- Formal performance appraisals conducted to evaluate employees, at times

• COMPENSATION & PROTECTION

- Modern compensation management goes beyond pay through lucrative compensation package according to the level of employees productivity

- Orgs protect their employees from occupational hazards through such as health safety programs & safe work environments

• EMPLOYEE RELATION & ASSESSMENT- Maintaining an effective workforce is more than a compensation package - Information communication links are established with employees to satisfy them & increase the org’s productivity- Assessments of various situations & integrated relationship prevent the

employees from joining the self helping groups called “Unions”

HRM MODEL

PROACTIVE VS REACTIVE HRM SALIENT FEATURES

• Proactive HRM Approach

- Problem are anticipated - Corrective actions taken before a problem arises- Effective & efficient solutions are more likely to be found- A cost effective approach as the prevention takes place before a problem that may never take place- Improves / enhances the productivity & conserves the org’s resources- Imply superior financial performance of the org

• Reactive HRM Approach

- Wait for feedback & then respond- A costly approach as the cure takes place after problem- Interrupts the floe of productivity & raise the use of org’s resources- Involves hiccups in the org’s financial performance

VIEWPOINTS OF HRM UNDERLYING THEMES /APPROACHES

• Strategic Approach HR management must contribute in the strategic success of the org, otherwise resources tend to be wasted

• Human Resource Approach HR management must pay careful attention to the needs of employees as priority to ensure the org’s prosper growth

• Management Approach HR management must serve managers& employees through its management expertise. The performance of each worker is the result of supervisor/ manager & HR Dept

• System Approach HR management takes place within a large system of an org , therefore, its efforts be evaluated consonant to its contribution to the org’s productivity

• Proactive Approach HR management must increase its contribution to the employees & the organization by anticipating challenges before they arise

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