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UNIT : 1
INTRODUCTION
VERY SHORT QUESTION ANSWER
1 MARK
TRUE OR FALSE
1. The main Function of Human Resource Management is to sell the products.
(a) True
(b) False
Ans : (b) False
2. The legal environment has little impact on human resource management decision making.
(a) True
(b) False
Ans : (b) False
3. In smaller companies, line managers assume a larger role in effective human resource management practices.
(a) True
(b) False
Ans : (a) True
4. Product differentiation will create a competitive advantage if the firms consumers are willing to pay enough to cover extra production costs.
(a) True
(b) False
Ans: (a) True
5. The occurrence of employee-centered outcomes can increase the likelihood of human resource management-related lawsuits.
(a) True
(b) False
Ans: b) False
OBJECTIVES QUESTION ANSWER
1. In the 'matching model' of HRM, what is meant by 'Cost driven HRM'?
(a) Where a strategic planning process does not exist, but people are viewed as a resource.
(b) Where a strategic planning process exists, but people are viewed as a cost.
(c) Where a strategic planning process does not exist, and people are viewed as a cost.
(d) Where a strategic planning process exists, and people are viewed as a resource.
Ans : (b) Where a strategic planning process exists, but people are viewed as a cost.
2. Objectives of training is-
(a) Increased morale
(b) Increased productivity
(c) Favourable reaction to change
(d) All of the above
Ans: (d) All of the above
3. of an employee is the process of evaluating the employee performance of the job in terms of the requirements of the job.
(a) Merit Rating
(b) Job evaluation
(c) Job analysis
(d) Performance appraisal
Ans: (a) Merit rating
4. People with a strong desire to satisfy higher order needs perform their best when placed on jobs that were high on certain-
(a) Dimensions
(b) Circumstances
(c) Issues
(d) Performance
Ans: (a) Dimensions
5. Which of the following attributes should be posses by the personnel manager?
(a) Intelligence
(b) Educational skill
(c) Discriminating skill
(d) All of the above
Ans : (d) all of the above
6. What is the name of the approach that suggests that HR strategy should be matched to business strategy?
(a) Best performance
(b) Best fit
(c) Best approach
(d) Best value
Ans: (b) Best fit
7. Which one of the following does not include under the functions of human resource management?
(a) Planning
(b) Recruitment
(c) Organising
(d) Profitability
Ans: (d) Profitability
SHORT QUESTION ANSWER
1. Give the concept of Human resource Management?
Ans: HRM is a process of making the efficient and effective use of human resources so that the set goals are achieved.
The National Institute of Personnel Management (NIPM) of India has defined human resource/personnel management as "that part of management which is concerned with people at work and with their relationship within an enterprise. Its aim is to bring together and develop into an effective organization of the men and women who make up an enterprise and having regard for the well-being of the individuals and of working groups, to enable them to make their best contribution to its success".
Thus, HRM can be defined as a process of procuring, developing and maintaining competent human resources in the organization so that the goals of an organisation are achieved in an effective 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 organization for achieving its set goals.
2. Give two objectives of Human Resource Management?
Ans: (a) To help the organisation to attain its goals effectively and efficiently by providing competent and motivated employees.
(b) To develop and maintain the quality of work life (QWL) which makes employment in the organization a desirable personal and social situation.
3. What is human resource development?
Ans: Human Resource Development is the continuous process of improving the capabilities required to achieve organizational and individual goals. It is a broader concept than Human Resource Management. Generally, it consists of several sub-systems such as appraisal; counselling, training, rewards, and welfare, quality of work life etc.
It is also most important for the welfare of both the employees and employer. In simple words, HRD is an organized learning experience aimed at matching the organizational need for human resource with the individual need for career growth and development.
4. Give two importance to Human Resource Planning.
Ans: 1. To carry on its work and to achieve its objectives, every organisation requires employees with adequate knowledge, experience and aptitudes. Human Resource Planning is helpful in selection and training activities.
2. There is a need to replace employees who retire, die, resign and become incapacitated due to injury. Provision for replacement of personnel can be made through Human Resource Planning.
5. Give two objectives of career planning?
Ans: i. To provide and maintain appropriate manpower resources in the organisation by offering careers, not jobs.
ii. To provide an environment for the effectiveness, efficiency and growth of its employees and motivating them to contribute effectively towards achieving the objectives of the organisation.
6. Mention two methods of recruiting employees?
Ans: 1. Direct: In this method, recruiters visit colleges and technical schools, e.g., Infosys, the Tata group, IBM, Siemens and several other companies maintain continuous relationship with institutions to hire students for responsible positions. Internships and walk-in interview are other methods of direct recruitment.
2. Indirect: This involves advertising in newspaper, radio, T.V., journals etc., advertising can be very effective if its media is properly chosen.
7. What is job design?
Ans: Job design is the process of deciding on the contents of a job in terms of its duties and responsibilities. In the methods to be used in carrying out the job, in terms of techniques, system and procedures, and in the relationship that should exist between the job- holder and his Superiors, subordinates and colleagues.
It is a deliberate and systematic attempt to structure the technical and social aspects of work so as to improve technical efficiency and a job satisfaction. It established matching between the job requirement and human attributes. Aim of job design is to integrate the needs of the individual and the requirement of the organisation.
Needs of the individuals refers to job satisfaction and requirement of organisation means the high productivity, technical efficiency and quality of work. Today educated and creative employee demanded for well-designed jobs, therefore, job rotation, job enlargement and job enrichment are introduced in the organisation, to retain the employee or to attract them towards the organisation.
8. Give the Difference between job description and job specification.
Ans: Job description is the measure of job whereas job specification is the measure of the job-holder. Job description is the summary of the duties, responsibilities and other characteristics of the job whereas job specification is a statement of the qualities and qualifications required in the job holder to perform the job properly. Job specification assists the management in selecting a match for the job.
Job description tells what is to be done and what is the nature of job, whereas job specification tells what attributes are needed in the person handling the job. Job description helps the candidate to understand the requirements of the job which are to be fulfilled by him and it also helps him in making self-appraisal by comparing his actual performance with job description. Job description assists the management in appraising the performance of the employees.
9. Give two limitations of performance appraisal.
Ans: 1. If the factors included in the assessment are irrelevant, the result of merit rating will not be accurate.
2. Different qualities to be rated may not be given proper weightage in certain cases.
10. What is training?
Ans: The dictionary meaning of training is "imparting instruction in a particular art, profession or occupation." In Public Administration, "training means conscious efforts made to improve the skills, powers and intelligence of an employee and to develop his attitudes and value system in a desired direction.
According to M.P. Sharraa, "In the context of Public Administration, training is rather specified and vocational, intended to increase a person's skill in some particular kind of work, while education is general and aim at the broadening of the mind."
11. What are the goals of performance appraisal?
Ans: Recognize the efforts and contributions of current staff.
Reward staff with compensation directly linked to performance. Motivate staff to improve performance. Orient staff towards goal achievement. Retain key employees through the use of competitive compensation programs. Attract quality employees with an effective performance management system.
12. Define conflict.
Ans: "Conflict is an interpersonal process that springs from disagreements over the goals to attain or the methods to be used to accomplish those goals".
"It is a process in which an effort is purposely made by one person or unit to block another so as to frustrate others in attaining goals". -Stephen Robbins.
13. What is the purpose for conducting selection interview?
Ans: The overall purpose of selection interviews in an organization are as follows-
a. Help to obtain additional information from the applicant
b. Facilitate giving general information to the applicant such as company policies, job, products manufactured etc.
c. Help to build the company's image among the applicants.
14. Explain the role of audit in Human Resource Management.
Ans: Role of Audit in the human resource management is most important. There is no legal provision to carry out human resource audit. But conscious employers voluntarily use it as a tool for evaluation and control of human resource function.
Evaluation and critical review of human resource function is no less important than that of accounting and finance function. Therefore, human resource audit is most essential to check the organisational performance in the management in the human resources.
15. Define Empowerment?
Ans: Empowerment is a set of measures designed to increase the degree of autonomy and self-determination in people and in communities in order to enable them to represent their interests in a responsible and self-determined way, acting on their own authority. I is the process of becoming stronger and more confident, especially in controlling one's life and claiming one's rights. Empowerment as action refers both to the process of self-empowerment and to professional support of people, which enables them to overcome their sense of powerlessness and lack of influence, and to recognize and use their resources. To do work with power.
16. What is Downsizing?
Ans : Downsizing is a strategy used to reduce the size and scope of a business in order to improve its financial performance, usually by laying off employees or closing less-profitable divisions. Downsizing is the permanent reduction of a company's labor force through the elimination of unproductive workers or divisions. Downsizing is a common organizational practice, usually associated with economic downturns and failing businesses. Cutting jobs is the fastest way to cut costs, and downsizing an entire store, branch or division also frees assets for sale during corporate reorganizations.
17. Define Human resource information System?
Ans: Human resource information system (HRIS) can be defined as a software or online solution that is used for data entry, data tracking, and the data management of all human resources operations of an organization. With the world of work in a state of continuous, digital flux, HR systems and processes need to adapt to a world that is datafied, technology-driven, and people-centric. Human resource information systems have evolved over the last decade as well to embrace these new trends at work.
18. Mention two Working Components of HRIS?
Ans: 1. Database management: The core offering of most human resource information system solutions is a ready-access database where all employee information can be stored and managed effectively. The HR team (or anyone managing the portal) can easily input all personnel data into the system. The point is to be able to access all this data and relevant metric from it on demand from anywhere across the globe The kind of data stored on the system ranges from compensation information, emergency contact details, and education history to present contact information, learning metrics, and performance review scores. The database forms the heart of all HR functions and could prove to be an effective online or cloud- hosted backup for a largely paperless office.
2. Time and labor management: Monitoring the clocking hours of every single employee is a time-intensive task. With a majority of offices today allowing employees to either punch in biometrically or log on to input their own hours, this daily dose of data needs effective management.
Managers can now approve leave requests, and the data can be directly linked to payroll. A non-intrusive but efficient human resource information system can thus keep a close tab on punctuality and attendance.
19. Define Human resource Accounting?
Ans: Human resources are considered as important assets and are different from the physical assets. Physical assets do not have feelings and emotions, whereas human assets are subjected to various types of feelings and emotions. In the same way, unlike physical assets human assets never gets depreciated.
Therefore, the valuations of human resources along with other assets are also required in order to find out the total cost of an organization. In 1960s, Rensis Likert along with other social researchers made an attempt to define the concept of human resource accounting (HRA).
Flamhoitz defines HRA as 'accounting for people as an organizational resource. It involves mea-suring the costs incurred by organizations to recruit, select, hire, train, and develop human assets. It also involves measuring the economic value of people to the organization'.
20. Give two Objectives of HRA?
Ans: 1. Providing cost value information about acquiring, developing, allocating and maintaining human resources.
2. For better decisions about people, based on improved information system.
LONG QUESTION ANSWER 5 MARKS
1. Explain the need for human resource development?
Ans: Need for HRD are-
1. Changes in Economic Policies in 1991
2. Changing Job Requirements
3. Need for Multi-skilled Human Resources
4. Organizational Complexity
5. Human Relations
6. Organizational Viability and Transformation Process
7. Technological Advances.
2. Differentiate between performance appraisal and job evaluation.
Ans: Performance Appraisal
(i) Meaning: Performance appraisal refers to knowing of the level of performance of employees working in an organisation.
(ii) Relation: It concerns with individuals because the level of their performance is to be determined.
(iii) Objective: Its objective is to provide basis for promotion, transfer, training, etc.
(iv) Basis of Policies: Policies regarding training, promotion, transfer etc. are formulated on its basis in an organisation.
Job Evaluation
(i) Meaning: Determining of the relative worth of different jobs of an organisation is called job evaluation.
(ii) Relation: It is concerned with the job and not individuals. Worth of each job is determined.
(iii) Objective: Its main objective is to determine remunerations for different jobs.
(iv) Basis of Policies: Remuneration policy of an organisation is determined on its basis.
3. Discuss the importance of Human Resource Planning.
Ans: Need and Importance of Human Resource Planning-
(i) To carry on its work and to achieve its objectives, every organisation requires employees with adequate knowledge, experience and aptitudes. Human Resource Planning is helpful in selection and training activities.
(ii) Human Resource Planning identifies gaps in existing manpower in terms of their quantity and talent
(iii) There is need to replace employees who retire, die, resign and become incapacitated due to injury. Provision for replacement of personnel can be made through Human Resource Planning.
(iv) Human Resource Planning facilitates the expansion and diversification of an organisation.
(v) Human Resource Planning creates awareness about the effective utilisation of human resources throughout the organisation. It helps to reduce wastage of manpower. It also helps in judging the effectiveness of human resource policies and programmes of management.
4. What are the objectives of career planning?
Ans: i. To provide and maintain appropriate manpower resources in the organisation by offering careers, not jobs.
ii. To provide environment for the effectiveness, efficiency and growth of its employees and motivating them to contribute effectively towards achieving the objectives of the organisation.
iii. To map out careers of various categories of employees suitable to their ability, and their willingness to be 'trained and developed for higher positions.
iv. To have a stable workforce by reducing absenteeism and employee turnover.
v. To cater to the immediate and future human resources need of the organisation on a timely basis.
vi. To increase the utilisation of managerial reserves within organisation.
5. Management of men is a challenging job. Explain?
Ans: "The Management of Man" is a very important and challenging job; important because it is a job, not of managing 'men,' but of administering a social system. The management of men is a challenging task because of the dynamic nature of the people. No two persons are similar in mental abilities, traditions, sentiments, and behaviour; they differ widely also as groups, and are subject to many and varied influences. People are responsive; they feel, think, and act; therefore, they cannot be operated like a machine or shifted and altered like a template in a room layout.
They, therefore, need a tactful handling by management personnel. If manpower is properly utilised, it may prove a dynamic motive force for running an enterprise at its optimum results and also work as an elixir for maximum individual and group satisfaction in relation to the work performed. Manpower management is a most crucial job because "managing people is the heart and essence of being a manager." It is concerned with any activity relating to human elements or relations in organisation. Material elements, however, are beyond its domain. This view has been rightly summed up by J. M. Dietz (of Chicago). He observes "A business or an industry can be thought of as an inter-weaving of human elements and material elements, with the human elements as the warp; while inter-locking and inter-weaving with this element are the material elements the woof of the fabric. The warp of the fabric is the human element appearing and reappearing, the strength giving element holding the entire fabric together, and giving it life and a character of continuity." A business cannot succeed if this human element is neglected.
6. Discuss the basic objectives of human resource management effectiveness?
Ans: The basic objectives of human resource management effectiveness may be explained as follows-
1. To maintain high morale and good human relations within the organisation.
2. To help the organisation attain its goods by providing well- trained and well-motivated employees.
3. To bring about maximum individual development of members of the organisation by providing opportunities for training and advancement.
4. To develop and maintain a quality life.
5. To secure the integration of all the individuals and groups with the organisation by reconciling individual.
6. To help maintain ethical policies and behaviour inside and outside the organisation.
7. To recognise and satisfy individual needs and group goals by offering appropriate monetary and non-monetary incentives.
Management is primarily dealing with human beings and its problem. But it is no doubt; management is the development of people, not the direction of things.
7. Briefly describe the importance of motivation?
Ans: i. Leads to high performance
ii. Enhances morale.
iii. Increases productivity.
iv. Reduces Turnover/absenteeism.
v. Induces cooperation and team spirit.
vi. Helps in assuming responsibility and working in disciplinary manner
vii. Helps in better utilisation of resources.
viii. Helps achieve organisational goals.
8. Explain the main characteristics of staffing?
Ans: Main Characteristics of Staffing are-
1. Staffing is an integral part of the management process.
2. It is required in each and every organisation. It is a pervasive function.
3. It is concerned with attracting and retaining people.
4. It is the function of every manager and not simply of Human Resource Department.
5. It is a continuous function because needs of an organisation keep on changing and some people leave the organisation from time to time.
9. Explain the role of audit in Human Resource Management?
Ans: Role of Audit in the human resource management is most important. There is no legal provision to carry out human resource audit. But conscious employers voluntarily use it as a tool for evaluation and control of human resource function. Evaluation and critical review of human resource function is no less important than that of accounting and finance function. Therefore, human resource audit is most essential to check the organisational performance in the management in the human resources.
In recent years, role of human resource audit has increased due to the following reasons-
1. Now-a-days trade union have more powerful and playing more active role in human resource management. They often question management's competence in industrial relation. Management can meet this challenge through human resource audit.
2. Role of human resource audit is essential due to rising labour cost and increasing opportunity for competitive advantage in human resources management.
3. In order to protect employee interest central and state governments intervene more the activities of human resource management here audit of human resource is helpful in avoiding such intervention of government.
4. As an organisation grows, continuous feed-back is required to improve the performance of its personnel. Human resource audit provides the required feedback. It is necessary in a diversified and decentralised organisation.
5. Growing proportion of technical, professional and women employees creates more difficult problems in human resources. Audit is required to tackle these problems. Other important role of human resource audit is that, it encourages greater responsibilities and professionalism among members of the HR department It improves the professional image of the HR department.
10. What are the different objectives of HRM?
Ans: 1. Societal Objectives: To be ethically and socially responsible to the needs and challenges of the society while minimizing the negative impact of such demands upon the organization.
2. Organizational Objectives: To recognize the role of HRM in bringing about organizational effectiveness. HRM is only means to achieve to assist the organization with its primary objectives.
3. Functional Objectives: To maintain department's contribution and level of services at a level appropriate to the organization's needs.
4. Personal Objectives: To assist employees in achieving their personal goals, at least in so far as these goals enhance the individual's contribution to the organization. This is necessary to maintain employee performance and satisfaction for the purpose of maintaining, retaining and motivating the employees in the organization.
11. Differentiate between training and development.
Ans: Although training is often used in conjunction with development, the terms are not synonymous. Training typically focuses on providing employees with specific skills or helping them correct deficiencies in their performance. For example, when an organisation is introducing new equipment, they may give training to their workers regarding how to use that equipment on their job. In contrast, development is an effort to provide employees with the abilities the organisation will need in the future.
1. In training, the focus is solely on the current job while in development, the focus is on both the current job and the jobs that employees will hold in future.
2. The scope of training is on individual employees, whereas the scope of development is on the entire work group or organisation.
3. Training is job specific and addresses particular performance deficits or problems, while development is concerned with the workforce's skills and versatility.
4. Training tends to focus on immediate organizational needs and development tends to focus on long-term requirements.
5. The goal of training is fairly quick improvement in workers' performance, whereas the goal of development is the overall enrichment of the organisation's human resources.
12. What are the various objectives of HRD?
Ans: 1. Work Opportunity: HRD provides an opportunity and a systematic framework for the development resource in the organisation for full expression of their talents.
2. Development of Traits: HRD is associated with the development of total personality so that these can show and use their talent for the benefit of the organisation.
3. Ability development: HRD makes capable employees. Thus they can develop their capability by which they can do their present job easily.
4. Creative Motivation: HRD manager motivates employees and improve their level of performance.
5. Good Relation: HRD manager stresses the need of coordination which is used for the benefits of himself and for the benefits of those who come in their contact.
6. Develop team spirit: HRD manager develops the spirit of teamwork; team work for it is used for the effective cooperation and coordination of each employee which ultimately checks industrial unrest.
7. Organisational Growth: HRM manager is responsible for developing health, culture and effective work plan which always result in more profitability.
13. What is the importance of HR audit?
Ans: Importance of HR Audit-
1. To ensure the effective utilization of an organization's human resources.
2. To review statutory compliances with a myriad of administrative regulations.
3. To instill a sense of confidence in management and the human resources function that it is well managed and prepared to meet potential challenges.
4. To maintain or enhance the organization's and the department's reputation in the community.
5. To perform a "due diligence" review for shareholders or potential investors/owners.
14. Explain the importance of management development.
Ans: Management development is necessary for the following reasons-
1. Today, labour-management relations are complex. Workers are better educated and more aware. More competent managers are needed to manage to modern workforce.
2. Management needs education and training to understand and adjust to changes in socio-economic forces. Changes in public policy, social justice, industrial democracy, ecology, cultural anthropology are the main socio-economic changes.
3. Management of state enterprises, public utilities and civic bodies improve operational efficiency,
4. The size and complexity of organisations are increasing. Managers need to be developed to handle the problems of complex organisations in the face of increasing competition.
5. Management development programmes are required to train and develop professional managers.
6. Business and industrial leaders are increasingly recognition their social and public responsibilities.
15. Discuss the objectives of management development.
Ans: Management Development means development of the managerial activities or development of manager, as manager play an important role in the management.
Objectives of management development is-
1. To provide opportunities to executives to fulfil their career aspiration.
2. To sustain good performance of manager to prepare him for higher jobs in future.
3. To ensure required number of managers with the needed skills to meet the present and anticipated future needs of the organisation.
4. To ensure that the managerial resources of the organisation are utilised optimally.
5. To improve the performance of manager at all levels of activities.
6. To replace elderly executive who have risen from the ranks by highly competent and academically qualified professionals.
16. Explain five Activities under HRM? (VVI)
Ans. 1. Integrating Organizational Planning with Human Resources Requirement: For effective human resource management human resources requirement are to be considered while planning for the organisation. Increased attention is to be provided to the human resources requirement and their development. These are to be given priority. For expansion of the plant or starting new ventures the top management has to consider the human resource requirement.
The kind, number and quality of human resources have to be considered and decision accordingly to be taken. The method of their procurement, appraisal, salary structure and other benefits and rewards, health and safety provisions are to be planned and decided while planning for the organisation.
Organisational planning must be closely integrated with the human resources requirements of the organisation. The organisational strategy for launching quality product is to be linked with the HR needs, their appraisal system, training and development, salaries and other benefits that will improve quality of the product and put as ahead with the rivals in the competition. The strategic human resource management is the clue to success in business.
2. Human Resource Planning: Human resource planning is one of the most important activities of the human resource management. Human Resource Planning helps in meeting the requirements for the organisation. It enables the management to make forecast for human resources and to design the policies for their procurement in the broader interests of the organisation and to make sure the position of the staff to meet the challenges of the changing business and industrial environment. In the modern times everything is fluid what will happen tomorrow, nobody knows. Everything is changing with greater speed than before. The economy, technology, number and quality of workforce etc. are undergoing sea changes. Organisations are therefore to make planning of human resources carefully to meet the challenges thrown out by these factors. Job analysis, job description and job specification are the part of human resource planning. It helps the organisation to decide on training and development of the present staff, their salary structure, other benefits, promotional channel which enable the staff to plan for their careers and anticipate the future requirements of the staff for the organisation.
3. Acquisition of Human Resources: Acquiring human resources is yet another activity of Human Resource Management. It is to be done very carefully because everything depends on the people. Quality of the product and prestige of the organisation depends on them. Organisation has to acquire the people with multidimensional skills and experiences. The young people have to be preferred at every level of the organisation. Organisation must nurture a culture that attracts people towards it. Organisation may go for global recruitment to attract better talent and men and women with capabilities. Higher starts to talented people may attract them. Human resource recruitment plan should be tailored in such a fashion that it suits to the organisational objects. Managers having functional expertise must be recruited who can integrate with the attitude and culture of the organisation. Human resource manager must perform the head- hunter's job in inducting suitable and most fit persons for the organisation. Psychographic testing techniques e.g.: Thomas Profiting, Myers-Brigg may be used for recruitment. These tests help in knowing behaviour and psychology of the candidates. There are many techniques to acquire people for the organisation. It is up to the enterprise to make a choice of suitable method for acquisition of human resources. It depends on the size and type of organisation.
4. Managing Performance: Good performance by the employees creates a culture of excellence which benefits the organisation in the long run. This activity includes evaluation of jobs and people both, managing gender bias, career planning, devising methods of employee satisfaction etc. The efforts are to be made to integrate the individual aspirations with the objectives of the organisation. Organisation has to make clear a way for career advancement for talented and hard working people and as for as possible plateauing of their career should be avoided. Fear of any kind from the minds of the employees should be removed so that they give the best to the organisation. Allow free flow of information. Communication network should be designed in such a way that no one should be allowed to become a hurdle. This enables the managers to take correct decisions and that too quickly.
5. Motivation: Motivating the people at work play a magic. Stimulating people to work hard is the most important phenomenon. Innovative and creative instinct has to be recognized. This recognition pays. Liberal attitude towards employees and subordinates work wonders. Motivation is an important phenomenon. Human resources should be treated with utmost care. For better returns the motivation of employees and subordinates become essential.
17. Explain the role of HR manager?(vvi)
Ans: 1. Compensation and Benefits: Human resource managers provide guidance and direction to compensation and benefits specialists. Within this discipline, human resources managers develop strategic compensation plans, align performance management systems with compensation structure and monitor negotiations for group health care benefits. Examples of human resource manager responsibilities include monitoring Family and Medical Leave Act compliance, and adherence to confidentiality provisions for employee medical files. Human resource managers for small companies might also conduct open enrollment for employees' annual elections pertaining to health care coverage.
2. Training and Development: Employee training and development includes new hire orientation, leadership training and professional development. Human resource managers conduct periodic needs assessments to determine when training is necessary, and the type of training necessary to improve performance and productivity. They examine employee performance records to identify areas where employees could improve through job skills training or employee development, such as seminars or workshops on leadership techniques. They also play an integral role in implementing employee development strategy and succession planning based on training and professional development. Succession planning draws on the manager's knowledge of employee development, training and future business needs to devise career tracks for employees who demonstrate the aptitude and desire for upward mobility.
3. Effective Employee Relations: Although the employee relations specialist is responsible for investigating and resolving workplace issues, the human resource manager has ultimate responsibility for preserving the employer-employee relationship through effective employee relations strategies. An effective employee relations strategy contains specific steps for ensuring the overall well- being of employees. It also ensures that employees have a safe working environment, free from discrimination and harassment. Human resource managers for small businesses conduct workplace investigations and resolve employee complaints. Human resource managers may also be the primary contact for legal counsel in risk mitigation activities and litigation pertaining to employee relations matters. An example of risk mitigation handled by a human resource manager includes examining current workplace policies and providing training to employees and managers on those policies to minimize the frequency of employee complaints due to misinterpretation or misunderstanding of company policies.
4. Recruitment and Selection: Human resource managers develop strategic solutions to meet workforce demands and labor force trends. An employment manager actually oversees the recruitment and selection processes; however, an HR manager is primarily responsible for decisions related to corporate branding as it relates to recruiting and retaining talented employees. For example, a human resource manager in a health care firm might use her knowledge about nursing shortages to develop a strategy for employee retention, or for maintaining the current staffing levels. The strategy might include developing an incentive program for nurses or providing nurses with cross-training so they can become certified in different specialties to become more valuable to the organization. Corporate branding as it relates to recruitment and retention means promoting the company as an employer of choice. Human resource managers responsible for this usually look at the recruitment and selection process, as well as compensation and benefits to find ways to appeal to highly qualified applicants.
VERY LONG QUESTION ANSWER 10 MARKS
1. What is the nature of Human Resource Management?
Ans: The emergence of human resource management can be attributed to the writings of the human relation thinkers who attached great significance to the human factor. Lawrence Appley remarked, the personnel department in discharging this responsibility.
The nature of the human resource management has been highlighted in its following features-
1. Inherent Part of Management: Human resource management is inherent in the process of management. This function is performed by all the managers throughout the organization rather that by the personnel department only. If a manager is to get the best of his people, he must undertake the basic responsibility of selecting people who will work under him.
2. Pervasive Function: Human Resource Management is a pervasive function of management. It is performed by all managers at various levels in the organization. It is not a responsibility that a manager can leave completely to someone else. However, he may secure advice and help in managing people from experts who have special competence in personnel management and industrial relations.
3. Basic to all Functional Areas: Human Resource Management permeates all the functional area of management such as production management, financial management, and marketing management. That is every manager from top to bottom, working in any department has to perform the personnel functions.
4. People Centered: Human Resource Management is people centered and is relevant in all types of organizations. It is concerned with all categories of personnel from top to the bottom of the organization. The broad classification of personnel in an industrial enterprise may be as follows: (i) Blue-collar workers (i.e. those working on machines and engaged in loading, unloading etc.) and white- collar workers (i.e. clerical employees), (ii) Managerial and non- managerial personnel, (iii) Professionals (such as Chartered Accountant, Company Secretary, Lawyer, etc.) and nonprofessional personnel.
5. Personnel Activities or Functions: Human Resource Management involves several functions concerned with the management of people at work. It includes manpower planning, employment, placement, training, appraisal and compensation of employees. For the performance of these activities efficiently, a separate department known as Personnel Department is created in most of the organizations.
6. Continuous Process: Human Resource Management is not a one shot function. It must be performed continuously if the organizational objectives are to be achieved smoothly.
7. Based on Human Relations: Human Resource Management is concerned with the motivation of human resources in the organization. The human beings can't be dealt with like physical factors of production. Every person has different needs, perceptions and expectations. The managers should give due attention to these factors. They require human relations skills to deal with the people at work. Human relations skills are also required in training performance appraisal, transfer and promotion of subordinates.
2. What are the objectives of HRM?
Ans: According to Scott, Clothier and Spriegal, ?The objectives of Human Resource Management, in an organization, is to obtain maximum individual development, desirable working relationships between employers and employees and employees and employees, and to affect the moulding of human resources as contrasted with physical resources. The basic objective of human resource management is to contribute to the realisation of the organizational goals. However, the specific objectives of human resource management are as follows-
(i) To ensure effective utilisation of human resources, all other organizational resources will be efficiently utilised by the human resources.
(ii) To establish and maintain an adequate organizational structure of relationship among all the members of an organization by dividing of organization tasks into functions, positions and jobs, and by defining clearly the responsibility, accountability, authority for each job and its relation with other jobs in the organization.
(iii) To generate maximum development of human resources within the organization by offering opportunities for advancement to employees through training and education.
(iv) To ensure respect for human beings by providing various services and welfare facilities to the personnel.
(v) To ensure reconciliation of individual/group goals with those of the organization in such a manner that the personnel feel a sense of commitment and loyalty towards it.
(vi) To identify and satisfy the needs of individuals by offering various monetary and non-monetary rewards.
In order to achieve the above objectives, human resource management undertakes the following activities-
(i) Human Resource Planning, i.e., determining the number and kinds of personnel required to order to achieve the above objectives, human resource management undertakes the following activities-
(i) Human Resource Planning, i.e., determining the number and kinds of personnel required to fill various positions in the organization.
(ii) Recruitment, selection and placement of personnel, i.e., employment function.
(iii) Training and development of employees for their efficient performance and growth.
(iv) Appraisal of performance of employees and taking corrective steps such as transfer from one job to another.
(v) Motivation of workforce by providing financial incentives and avenues of promotion.
(vi) Remuneration of employees. The employees must be given sufficient wages and fringe benefits to achieve higher standard of living and to motivate them to show higher productivity.
(vii) Social security and welfare of employees.
3. Explain the Functions of HRM?
Ans: The two important functions of human resource
management-
(1) Managerial Functions
The human resource manager is a part of the management of the enterprise. So he must perform the basic managerial functions of planning, organising, directing and controlling in relation to his department.
These functions are briefly discussed below-
I. Planning: To get things done through the subordinates, a manager must plan ahead. Planning is necessary to determine the goals of the organisation and lay down policies and procedures to reach the goals. For the human resource manager, planning means the determination of personnel programs that will contribute to the goals of the enterprise, i.e., anticipating vacancies, planning job requirements, job descriptions and determination of the sources of recruitment.
II. Organising: Once the human resource manager has established objectives and developed plans and programs to attain them, he must design and develop organisation structure to carry out the various operations.
III. Directing: The plans are to be put into effect by people. But how smoothly the plans are implemented depends on the motivation of people. The direction function of the human resource manager involves encouraging people to work willingly and effectively for the goals of the enterprise. In other words, the direction function is meant to guide and motivate the people to accomplish the personnel programs. The human resource manager can motivate the employees in an organisation through career planning, salary administration, ensuring employee morale, developing cordial relationships and provision of safety requirements and welfare of employees.
IV. Controlling: Controlling is concerned with the regulation of activities in accordance with the plans, which in turn have been formulated on the basis of the objectives of the organisation. It involves the observation and comparison of results with the standards and correction of deviations that may occur. Controlling helps the HR manager to evaluate and control the performance of the HR department in terms of various operative functions. It involves performance appraisal, critical examination of HR records and statistics, and HR audit.
(2) Operative Functions
The operative functions are those tasks or duties which are specifically entrusted to the human resource department. Such functions of human resource department are discussed below-
1. Employment: The first operative function of the human resource department is the employment of proper kinds and number of persons necessary to achieve the objectives of the organisation. This involves human resource planning, recruitment, selection, placement, etc., of the personnel. Before these processes are performed, it is better to determine the personnel requirements both in terms of number and quality of the personnel. Recruitment and selection cover the sources of supply of labour and the devices designed to select the right type of people for various jobs. Induction and placement of personnel for their better performance also come under the employment or procurement function.
II. Development: Training and development of personnel is a follow up of the employment function. It is the duty of management to train each employee properly to develop technical skills for the job for which he has been employed and also to develop him for the higher jobs in the organisation. Proper development of personnel is necessary to increase their skills in doing their jobs and in satisfying their growth need. For this purpose, the human resource departments will device appropriate training programs. There are several on-the-job and off- the-job methods available for training purposes. A good training program should include a mixture of both types of methods. It is important to point out that human resource department arranges for training not only of new employees but also of experienced employees to update their knowledge in the use of latest techniques.
III. Compensation: This function is concerned with the determination of adequate and equitable remuneration of the employees in the organisation for their contribution to the organisational goals. The personnel can be compensated both in terms of monetary as well as non-monetary rewards. Factors which must be borne in mind while fixing the remuneration of personnel are their basic needs, requirements of jobs, legal provisions regarding minimum wages, capacity of the organisation to pay, wage level afforded by competitors, etc. For fixing the wage levels, the human resource department can make use of certain techniques like job evaluation and performance appraisal.
IV. Appraisal: Performance appraisal is the systematic evaluation of the performance and contribution of each employee for taking important personnel decisions. The results of performance appraisal are used in determining training needs, and taking decisions about transfer and promotion of employees. The HR Manager designs the appraisal systems and arranges for training of managers in carrying out systematic appraisal of employees.
V. Maintenance (Working Conditions and Welfare) : Merely appointment and training of people is not sufficient, they must be provided with good working conditions so that they may like their work and work-place and maintain their efficiency. Working conditions certainly influence the motivation and morale of the employees.
These include measures taken for health, safety, and comfort of the workforce. The human resource department also provides for various welfare services which relate to the physical and social well- being of the employees. These may include provision of cafeteria, rest rooms, counselling, group insurance, education for children of employees, recreational facilities, etc.
VI. Motivation: Employees work in the organisation for the satisfaction of their needs. In many of the cases, it is found that they do not contribute towards the organisational goals as much as they can. This happens because employees are not adequately motivated. The human resource manager helps the various departmental managers to design a system of financial and non-financial rewards to motivate the employees.
VII. Personnel Records: The human resource department maintains the records of the employees working in the enterprise. It keeps full records of their training, achievements, transfer, promotion, etc. It also preserves may other records relating to the behaviour of personnel like absenteeism and labour turnover and the personnel programs and policies of the organisation.
VIII. Industrial Relations: These days, the responsibility of maintaining good industrial relations is also discharged by the human resource manager. The human resource manager can help in collective bargaining, joint consultation and settlement of disputes, if the need arises. This is because of the fact that he is in possession of full information relating to personnel and has the working knowledge of various labour enactments. The human resource manager can do a great deal in maintaining industrial peace in the organisation as he is deeply associated with various committees on discipline, labour welfare, safety, grievance, etc. He helps in laying down the grievance procedure to redress the grievances of the employees. He also gives authentic information to the trade union leaders and conveys their views on various labour problems to the top management.
IX. Separation: Since the first function of human resource management is to procure the employees, it is logical that the last should be the separation and return of that person to society. Most people do not die on the job. The organisation is responsible for meeting certain requirements of due process in separation, as well as assuring that the returned person is in as good shape as possible. The human resource manager has to ensure the timely release of retirement benefits to the retiring personnel in time.
4. What are the future Challenges before managers?
Ans: Because of continuous changing socio-economic, technological and political conditions, the human resource managers of the future shall have to face more problems in the management of labor. The human resource managers of today may find themselves obsolete in the future due to changes in environment if they do not update themselves some of the important challenges which might be faced by the managers in the management of people in business and industry are discussed below-
1. Increasing Size of Workforce: The size of organizations is increasing. A large number of multinational organizations have grown over the years. The number of people working in the organization has also increased. The management of increased workforce might create new problems and challenges as the workers are becoming more conscious of their rights.
2. Increase in Education Level: The governments of various countries are taking steps to eradicate illiteracy and increase the education level of their citizens. Educated consumers and workers will create very tough task for the future managers.
3. Technological Advances: With the changes coming in the wake of advanced technology, new jobs are created and many old jobs become redundant. There is a general apprehension of immediate unemployment. In the competitive world of today, industry cannot hope to survive for long with old technology. The problem, of unemployment resulting from modernization will be solved by properly assessing manpower needs and training of redundant employees in alternate skills.
4. Changes in Political Environment: There may be greater Government's interference in business to safeguard the interests of workers, consumers and the public at large. Government's participation in trade, commerce and industry will also pose many challenges before management. The Government may restrict the scope of private sector in certain areas in public interest. It does not mean chances of co- operation between the Government and private sector are ruled out. In fact, there will be more and more joint sector enterprises.
5. Increasing Aspirations of Employees: Considerable changes have been noted in the worker of today in comparison to his counterpart of 1950s. The workers are becoming more aware of their higher level needs and this awareness would intensify further in the future workers.
6. Changing Psychosocial System: In future, organizations will be required to make use of advanced technology in accomplishing their goals while satisfying human needs. In the traditional bureaucratic model, the organizations were designed to achieve technical functions with a little consideration given to the psychosocial system. But future management would be required to ensure effective participation of lower levels in the management of the organization system.
7. Computerized Information System: In the past, the automation of manufacturing processes had a major effect upon the systems of production, storage, handling and packaging, etc. More recently, there has been and in the future there will be the impact of revolutionary computerised information system on management. This revolutionary development would cover two primary areas of personnel management which are as follows-
(a) The use of electronic computers for the collection and processing of data, and (b) The direct application of computers in the managerial decision making process.
8. Mobility of Professional Personnel: Organizations will expand the use of boundary agents whose primary function will be achieving coordination with the environment. One interesting fact will be an increase in the mobility of various managerial and professional personnel between organizations. As individuals develop greater technical and professional expertise, their services will be in greater demand by other organizations in the environment.
9. Changes in Legal Environment: Many changes are taking place in the legal framework within which the industrial relations systems in the country are now functioning. It is the duty of the human resource or personnel executive to be aware of these changes and to bring about necessary adjustments within the organizations so that greater utilisation of human resources can be achieved. This, indeed, is and would remain a major challenge for the personnel executive.
10. Management of Human Relations: On the industrial relations' front, things are not showing much improvement even after so many efforts by the government in this direction. Though a large number of factors are responsible for industrial unrest but a very significant cause is the growth of multiunions in industrial complexes having different political affiliations. Under the present conditions, it appears that inter-union rivalries would grow more in the coming years and might create more problems in the industry. Management of human relations in the future will be more complicated than it is today. Many of the new generation of employees will be more difficult to motivate than their predecessors. This will be in part the result of a change in value systems coupled with rising educational levels. Greater skepticism concerning large organizations and less reverence for authority figures will be more common. Unquestioning acceptance of rules and regulations will be less likely.
5. Explain the Functions of a Human Resource Manager?
Ans: A human resource manager, charged with fulfilling the objectives of an organization, should be a leader with high intellectual powers, a visionary and a philosopher who provides the initiative to shape the future in terms of leading the human beings in an organization towards more prosperous and progressive policies.
1. Human Resource Man as an Intellectual : The basic skill in the human resource field as compared to technologists or financial experts is the skill to communicate, articulate, understand and above all, to be an expert when it comes to putting policies and agreements in black and white. The personnel man's skill lies in his command over the language. A personnel man has to deal with employees and he must possess the skills of conducting fruitful and systematic discussions and of communicating effectively. He should also be in a position to formulate principles and foresee the problems of the organization. This means that he would require the mental ability to deal with his people in an intelligent manner as well as to understand what they are trying to say.
2. Human Resource Man as an Educator: It is not enough that a human resource man has command-over the language, which, however, remains his primary tool. He should be deeply interested in learning and also in achieving growth. Basically, human beings like to grow and realise their full potential. In order to harmonise the growth of individuals with that of the organization, a personnel administrator must not only provide opportunities for his employees to learn, get the required training and assimilate new ideas but also he himself should be a teacher. A personnel man who simply pushes files and attends labour courts for conciliation purposes and other rituals of legal procedure for the settlement of industrial disputes is not a personnel administrator of the future.
3. Human Resource Man as a Discriminator: A human resource administrator must have the capacity to discriminate between right and wrong, between that which is just and unjust and merit and nonmerit. In other words, he should be a good judge when he sits on a selec tion board, a fair person when he advises on disciplinary matters and a good observer of right conduct in an organization.
4. Human Resource Man as an Executive: The human resource man must execute the decisions of the management and its policies with speed, accuracy and objectivity. He has to streamline the office, tone up the administration and set standards of performance. He has to coordinate the control functions in relation to the various other divisions and, in doing so he should be in a position to bring unity of purpose and direction in the activities of the personnel department. He must ask relevant questions and not be merely involved in the office routine whereby the status quo is maintained. He should have the inquisitiveness to find out causes of delay, tardy work and wasteful practices, and should be keen to eliminate those activities from the personnel functions which have either outlived their utility or are not consistent with the objectives and purposes of the organization.
5. Human Resource Man as a Leader: Being basically concerned with people or groups of people, and being placed in the group dynamics of various political and social functions of an organization, a Human resource man must not shirk the role of leadership in an organization. He, by setting his own example and by working towards the objectives of sound personnel management practices, must inspire his people and motivate them towards better performance. He should resolve the conflicts of different groups and build up teamwork in the organization.
6. Human Resource Man as a Humanist: Deep faith in human values and empathy with human problems, especially in less developed countries, are the sine qua non for a Human resource man. He has to deal with people who toil at various levels and partake of their joys and sorrows. He must perform his functions with sensitivity and feeling.
7. Human Resource Man as a Visionary: While every leading function of an organization must evolve its vision of the future, the primary responsibility for developing the social organization towards purposive and progressive action fall on the personnel man. He should be a thinker who sets the pace for policy-making in an organization in the area of human relations and should gradually work out new patterns of human relations management consistent with the needs of the organization and the society. He must ponder on the social obligations of the enterprise, especially if it is in the public sector, where one has to work within the framework of social accountability. He should be in close touch with socio-economic changes in the country. He should be able to reasonably forecast future events and should constantly strive to meet the coming challenges.
6. What is the process of HRP?
Ans: It is the HRP process which helps the management of the organization in meeting the future demand of human resource in the organization with the supply of the appropriate people in appropriate numbers at the appropriate time and place. Further, it is only after proper analysis of the HR requirements can the process of recruitment and selection be initiated by the management. Also, HRP is essential in successfully achieving the strategies and objectives of organization. In fact, with the element of strategies and long term objectives of the organization being widely associated with human resource planning these days, HR Planning has now became Strategic HR Planning.
Though, HR Planning may sound quite simple a process of managing the numbers in terms of human resource requirement of the organization, yet, the actual activity may involve the HR manager to face many roadblocks owing to the effect of the current workforce in the organization, pressure to meet the business objectives and prevailing workforce market condition. HR Planning, thus, help the organization in many ways as follows-
* HR managers are in a stage of anticipating the workforce requirements rather than getting surprised by the change of events.
* Prevent the business from falling into the trap of shifting workforce market, a common concern among all industries and sectors.
* Work proactively as the expansion in the workforce market is not always in conjunction with the workforce requirement of the organization in terms of professional experience, talent needs, skills, etc.
* Organizations in growth phase may face the challenge of meeting the need for critical set of skills, competencies and talent to meet their strategic objectives so they can stand wellprepared to meet the HR needs.
* Considering the organizational goals, HR Planning allows the identification, selection and development of required talent or competency within the organization.
It is, therefore, suitable on the part of the organization to opt for HR Planning to prevent any unnecessary hurdles in its workforce needs. An HR Consulting Firm can provide the organization with a comprehensive HR assessment and planning to meet its future requirements in the most cost-effective and timely manner.
An HR Planning process simply involves the following four broad steps-
1. Current HR Supply: Assessment of the current human resource availability in the organization is the foremost step in HR Planning. It includes a comprehensive study of the human resource strength of the organization in terms of numbers, skills, talents, competencies, qualifications, experience, age, tenures, performance ratings, designations, grades, compensations, benefits, etc. At this stage, the consultants may conduct extensive interviews with the managers to understand the critical HR issues they face and workforce capabilities they consider basic or crucial for various business processes.
2. Future HR Demand: Analysis of the future workforce requirements of the business is the second step in HR Planning. All the known HR variables like attrition, lay-offs, foreseeable vacancies, retirements, promotions, pre-set transfers, etc. are taken into consideration while determining future HR demand. Further, certain unknown workforce variables like competitive factors, resignations, abrupt transfers or dismissals are also included in the scope of analysis.
3. Demand Forecast: Next step is to match the current supply with the future demand of HR, and create a demand forecast. Here, it is also essential to understand the business strategy and objectives in the long run so that the workforce demand forecast is such that it is aligned to the organizational goals.
4. HR Sourcing Strategy and Implementation: After reviewing the gaps in the HR supply and demand, the HR Consulting Firm develops plans to meet these gaps as per the demand forecast created by them. This may include conducting communication programs with employees, relocation, talent acquisition, recruitment and outsourcing, talent management, training and coaching, and revision of policies. The plans are, then, implemented taking into confidence the mangers so as to make the process of execution smooth and efficient. Here, it is important to note that all the regulatory and legal compliances are being followed by the consultants to prevent any untoward situation coming from the employees.
Hence, a properly conducted process of HR Planning by an HR Consulting Firm helps the organization in meeting its goals and objectives in timely manner with the right HR strength in action.
7. Explain the Need of Human resource in an Organisation?
Ans: Human resources is important to organizations in myriad areas, ranging from strategic planning to company image. HR practitioners in a small business who have well-rounded expertise provide a number of services to employees. The areas in which HR maintains control can enhance an employees' experience throughout the workforce while strengthening business operations.
1. Strategic Management: HR improves the company's bottom line with its knowledge of how human capital affects organizational success. Leaders with expertise in HR strategic management participate in corporate decision-making that underlies current staffing assessments and projections for future workforce needs based on business demand.
2. Wages and Salaries: HR compensation specialists develop realistic compensation structures that set company wages competitive with other businesses in the area, in the same industry or companies competing for employees with similar skills. They conduct extensive wage and salary surveys to maintain compensation costs in line with the organization's current financial status and projected revenue.
3. Analyzing Benefits: Benefits specialists can reduce the company's costs associated with turnover, attrition and hiring replacement workers. They are important to the organization because they have the skills and expertise necessary to negotiate group benefit packages for employees, within the organization's budget and consistent with economic conditions. They also are familiar with employee benefits most likely to attract and retain workers. This can reduce the company's costs associated with turnover, attrition and hiring replacement workers.
4. Safety and Risk Management: Employers have an obligation to provide safe working conditions. Workplace safety and risk management specialists from the HR area manage compliance with U.S. Occupational Safety and Health Administration regulations through maintaining accurate work logs and records, and developing programs that reduce the number of workplace injuries and fatalities. Workplace safety specialists also engage employees in promoting awareness and safe handling of dangerous equipment and hazardous chemicals.
5. Minimizing Liability Issues: HR employee relations specialists minimize the organization's exposure and liability related to allegations of unfair employment practices. They identify, investigate and resolve workplace issues that, left unattended, could spiral out of control and embroil the organization in legal matters pertaining to federal and state anti-discrimination and harassment laws.
6. Training and Development: HR training and development specialists coordinate new employee orientation, an essential step in forging a strong employer-employee relationship. The training and development area of HR also provides training that supports the company's fair employment practices and employee development to prepare aspiring leaders for supervisory and management roles.
7. Employee Satisfaction: Employee relations specialists in HR help the organization achieve high performance, morale and satisfaction levels throughout the workforce, by creating ways to strengthen the employer-employee relationship. They administer employee opinion surveys, conduct focus groups and seek employee input regarding job satisfaction and ways the employer can sustain good working relationships.
8. Recruitment and Onboarding: HR recruiters manage the employment process from screening resumes to scheduling interviews to processing new employees. Typically, they determine the most effective methods for recruiting applicants, including assessing which applicant tracking systems are best suited for the organization's needs.
9. Hiring Processes: HR professionals work closely with hiring managers to effect good hiring decisions, according to the organization's workforce needs. They provide guidance to managers who aren't familiar with HR or standard hiring processes to ensure that the company extends offers to suitable candidates.
10. Maintaining Compliance: HR workers ensure that the organization complies with federal state employment laws. They complete paperwork necessary for documenting that the company's employees are eligible to work in the U.S. They also monitor compliance with applicable laws for organizations that receive federal or state government contracts, through maintaining applicant flow logs, written affirmative action plans and disparate impact analyses.
8. Explain the various scope of Human Resource Management?
Ans: The different activities that come within the scope of human resource management are discussed below-
1. Human Resource Planning (HRP): It is the first step of human resource management. HRP is a process through which the company makes an assessment of the present manpower-the number of people employed, number of post vacant, whether there is excess or shortage of staff and prepares plans and policies to deal with them accordingly. It also estimates the future man power requirement. It matches the supply and availability of manpower with the company's purpose and makes the best person available for the job.
2. Job Analysis: An important task of HRM is job analysis. It provides the basis for recruitment, training and development of staff. Every job is analysed to identify the inherent requirement of the job - "what the job demands of a worker". Job analysis provides a detailed picture of the nature of job, the skill and abilities required to perform the job, the duties and responsibilities of the worker required for the job.
This helps in the process of recruitment and selection, to appoint the appropriate person for the job and also facilitates arranging training and development programme for the employees to match their skill and abilities with the job requirement.
3. Job Evaluation : It forms the basis of wage and salary determination. Different jobs are compared and evaluated to determine the relative importance of different jobs within the organization. The jobs are compared, graded and ranked. Job evaluation determines how much pay to be affixed to the particular job on the basis of their importance in the organisation functioning. This helps to determine a fair wage and salary and to determine a rational pay structure.
4. Recruitment and Selection: The company on the basis of human resource planning and job analysis identifies the requirement of personnel and explores different internal and external sources from where manpower can be acquired. This process is called recruitment. The right person is selected and put to work.
The selection process involves steps like receiving applications, tests, interviews, medical examination and final selection. Right selection and placement provides employee satisfaction which improves their productivity and efficiency and benefits the organization.
5. Performance Appraisal: It is a systematic method of evaluating the performance of employees. This helps to assess the efficiency, strength and weakness of the employees. It is a controlling process whereby the employees' performance is matched with the standard level of performance and remedial measures taken in case actual performance does not meet the standard.
It helps the management in their decision-making relating to promotion, pay hike that may be rewarded if the employee meets standard or outperforms the standard. It also helps the management to decide about the training and development needs for employees, who needs up gradation and development of skill.
6. Training and Development: Human resource management is concerned with arrangement of training and development programme for the newly appointed staff as well as for existing employees. This helps to enhance the qualitative and quantitative performance of the work force. Training helps the employees to cope up with the changing technological and other internal and external work situations. Training and development make employees excel in their present post as well as make them competent for future higher job responsibilities.
7. Employee Compensation: Human resource management performs the function of determining the pay structure for different employees on the basis of qualification, efficiency, experience, nature of the job. It also determines rewards and incentives to be paid for their contribution towards the organisation.
8. Employee Motivation: Motivation of employees is essential for retention and sustenance of employees within the organisation. Motivation plays an important role in management of personnel. It helps to improve productivity of personnel. There are different ways by which employees may be encouraged. Recognition and reward for performance, promotion, pay-hike, and other monetary and non-monetary rewards motivate the employees.
9. Employee Welfare: Human resource management focuses on the welfare of employees by providing canteen facilities, creches, rest and lunch rooms, housing, transport, medical assistance, education, health and safety, medical care, sickness benefits, recreation facilities.
It aims at improving the quality of work life by providing a better environment worth working, job security, flexible working hours, eliminating workplace hazards, which will have a positive impact on the productivity and quality of work. Along with monetary benefits provided to employees these non-monetary benefits improves the morale of the employees and motivates them.
10. Industrial Relation: Labour unrest, conflicts between the work groups and between workers and management over issues like low wage, bad work environment are common problems that must be handled carefully by establishing a balance between the worker's interest and interest of the organisation and management. Human resource management considers establishment and maintenance of harmonious and cordial relation between employer and employees.
This is achieved through careful interactions with labour or employee unions, addressing their grievances and settling the disputes effectively through negotiation, joint consultation, collective bargaining, in order to maintain peace and harmony in the organization.
9. Explain the skills needed to become a HR manager?
Ans: 1. Communication skills: The most often mentioned skill in HR job openings are communication skills. Communication is essential in Human Resource Management, as the HR professional is the link between the business and the employee. On the one hand, you are an activist for employees, and on the other hand, you represent the employer. This requires great communication skills. In addition to this role, you are also a source of information for employees. When they have questions regarding taking a day off or any other employment issue, they will come to you. Being able to efficiently handle their questions and complaints is key to most generalist roles.
2. Administrative expert: Administrative tasks remain a major part of the HR role. Administrative duties involve areas like employee leave, absence, absence files, the in- and outflow of employees, payroll and other topics.
Despite the rise of digital HR and the increase in automation of HR tasks, administrative duties still haven't disappeared (yet). They are mentioned as an integral part of the job in many of the job postings. Being an administrative expert helps in entering data in a precise manner.
3. HRM knowledge and expertise: Unsurprisingly, HRM knowledge and expertise is also mentioned as an essential HR skill. Previous work experience, or an educational background in Human Resource Management or Industrial and Organizational Psychology are very helpful. HRM knowledge helps in doing most of the other skills and competencies mentioned in this article. It helps to understand recruitment, selection, absence procedures, data reporting, and other personnel processes. An educational background in psychology or HRM often also helps to develop the soft skills that are helpful in communication and coaching.
4. Proactivity: Proactivity is often considered more of a personality trait than a skill. However, it is certainly something you can develop over time. As an HR professional, you are the connection between the employer and the employee, therefore proactivity can help you in spotting potential problems early and preventing them from escalating. In line with this, proactive Human Resource Management is preferred over reactive HRM. Proactive HRM helps to plan and align the core HR tasks in a way that offers the most value to the business. We recently published an article about this called Strategic Human Resource Management.
5. Advising: One of the key HR skills is advising different stakeholders. You need to able to advise both employees, line managers, and senior managers on personnel issues. These issues can be very operational, for example creating a re-integration plan for an employee or helping a senior manager with the formulation of an email to the department. More tactical issues are the organization and advising in restructuring efforts. Strategic advice involves the alignment of HR practices to align more with the business. This advice also has to be communicated. This is where the previously mentioned communication skills and coaching skills come in.
6. Coaching: Coaching skills are helpful when it comes to one-on-one or group sessions to spread information or train people. This happens in training and development situations, but also in onboarding, re-integration, conflict resolution, and in assisting frontline managers with people issues. These coaching skills are most often developed on-the-job or in external coaching training.
7. Recruitment and selection: Another often mentioned HR skill (obviously) involves recruitment and selection. Finding qualified candidates, selecting the best, and exploring if there's a match between the candidate, the company (culture), and the manager is one of the most important HR tasks.
8. HRIS knowledge: Human Resource Information Systems are the digital counterpart of the soft-side of Human Resource Management. Most information regarding hiring, performance evaluation, payroll, rewards and benefits, and more are registered in one or more HRIS. Large organizations usually have standard providers like SAP (with SuccessFactors) or Oracle. Smaller companies work with smaller providers. Knowledge of an HRIS is a prerequisite for most senior HR jobs and one of the top technology skills HR professionals need today. It's hard to understand these systems without having hands-on experience in them. They are, however, relatively simple and intuitive to work with.
10. Explain the various policies and forms of HR?
Ans: Workplace Policies: Some laws require employers to communicate workplace information to employees in writing. In the absence of a specific requirement, employers should also implement policies that communicate company expectations and benefits. While the contents of your company's handbook will depend on a number of factors, including your company's size, industry, and location, consider including these key policies:
1. At-will employment: This statement reiterates that either you or the employee can terminate the employment relationship at any time and for any reason, as long as the reason is a lawful one. It is a best practice to prominently display this statement in the beginning of your employee handbook (except in Montana, where at-will employment is not recognized). Reinforce at-will status in your handbook acknowledgment form as well.
2. Anti-harassment and non-discrimination: These policies prohibit harassment and discrimination in the workplace. Non- discrimination laws are governed by federal, state and local provisions, so review your applicable law and account for all appropriate protections.
3. Employment classifications: It is a best practice to clearly define employment classifications, such as full-time, part-time, exempt or non-exempt since an employee's classification can dictate eligibility for benefits and overtime pay.
4. Leave and time off benefits: These policies address a company's rules and procedures regarding holidays, vacation, sick, and other types of time off benefits, or leave required by law (such as voting leave, family leave, and domestic violence leave) or company policy. Check your state and local law to ensure all leave requirements are included in your employee handbook.
5. Meal and break periods: A policy on meal and break periods informs employees of the frequency and duration of such breaks as well as any rules or restrictions related to break periods. Rest periods, lactation breaks, and meal periods must be provided in accordance with federal, state and local laws.
6. Timekeeping and pay: A timekeeping policy informs employees of the method for recording time worked and the importance of accurately recording their time. A policy on paydays lets employees know the frequency of paydays, the methods available for receiving pay, and any special procedures for when a payday falls on a holiday or when an employee is absent from work.
7. Safety and health: Safety policies describe safety and emergency procedures and require employees to report work-related injuries immediately. Additionally, some regulations under the Occupational Safety and Health Act require employers to have specific policies and programs in place if certain workplace hazards exist (such as a hazard communication program if certain chemicals are present in the workplace).
8. Employee conduct, attendance and punctuality: Attendance policies make it clear that employees must be ready to work at their scheduled start time each day and provide procedures for informing the company of an unscheduled absence or late arrival. It is also a best practice to have policies on standards of conduct, drug and alcohol abuse, disciplinary action, confidentiality, conflicts of interest, and workplace violence.
Forms & Documents
Employers must maintain certain records to comply with federal, state, and local laws and to help administer HR policies and practices. Depending on the nature of the form, these documents should either be retained in the employee's personnel file, or a separate confidential file. Here are some key forms to consider:
9. Hiring forms: There are a variety of forms that can help you identify qualified candidates during the pre-hire process, such as a job application and candidate evaluation form. Once a candidate is hired, you must complete certain new hire paperwork, including a Form W-4 and a Form I-9. Additionally, certain notices must be provided to new hires.
10. Receipt of company property: If you provide employees with equipment, tools, or other company property, use this form to document what was provided to the employee. This can help ensure that all property is returned and accounted for at the time of separation.
11. Handbook acknowledgments: When an employee signs this form, he or she acknowledges that they are responsible for reading and complying with all company policies. Obtain signed acknowledgments when you first issue the handbook, at the time of hire for new employees, and whenever you make changes to the handbook.
12. Leave of absence: Have employees submit requests for time off or other types of leave in writing. In some cases, the federal government or your state government may provide sample forms, such as those used for Family and Medical Leave Act (FMLA) purposes.
13. Reasonable accommodation requests: Federal and some state laws require employers to provide reasonable accommodations for applicants and employees with disabilities, or sincerely held religious beliefs and practices. While employees aren't required to make reasonable accommodation requests in writing, employers should thoroughly document the request, all communications regarding the request, and the resulting accommodation.
14. Performance and discipline: Document all performance and disciplinary events, whether positive or negative. This includes annual performance reviews, recognitions received, promotions, and disciplinary action, such as written and oral warnings and performance improvement plans.
15. Business expenses : If employees travel for work, or incur other business-related expenses, have them maintain an expense log and submit reimbursement requests in writing.
11. Explain the differences between HRM and HRD?
Ans: 1. Meaning: HRM is a set of policies, practices and programmes designed to maximize both personal and organisational goals. It is a process by which people and organisation are bound together in such a way that both of them are able to achieve their objectives whereas HRD is an essential ingredient of any human resource system poised to achieve productivity, quality, efficiency and effectiveness.
2. Status: HRD is at the centre of HRM. Therefore, HRM is wider in scope as compared to the HRD. HRM includes the strategies relating to identifying and developing persons, retaining suitable persons, creating work culture, educating managerial personnel etc. on the other hand HRD is an integrated system consisting of interdependent sub systems of performance appraisal, potential appraisal, counselling and monitoring, training, building morale, development of team work etc.
3. Aims: HRM aims for the selection of right type of personnel for right jobs, it helps to build a team spirit where employees satisfy their aspirations by developing themselves and contribute to the accomplishment of organisational goals whereas HRD aims to develop employee in accordance with his aspirations and potentialities on one hand and the company's requirements on the other hand. HRD programmes are described as training and development programmes.
4. Responsibility: HRM is the responsibility of HR manager whereas HRD is the responsibility of all the managers in the organisation.
5. Tools and Techniques : The tools and techniques used under HRM are, identifying and developing persons, retaining suitable persons, creating work culture, educating managerial personnel on the other hand the tools and techniques of HRD are performance appraisal, potential appraisal, counselling and monitoring, training, building morale, development of team work etc.
6. Aspects: HRM has three aspects like Personnel, Welfare and Industrial Relations Aspect. On the other hand the HRD has two aspects Micro and Macro.
7. Orientation: HRM is basically employee oriented. It does not mean that employees do not benefit by it. It only means when employees feel satisfied after meeting their needs and aspirations, they will whole heartedly work for the accomplishment of organisational goals on the other hand HRD is concerned with employees as individuals as well as groups. It deals with the development of potentialities and skills of the employees.
12. Explain the various emerging challenges of HRM?
Ans: Challenges of Human Resource Management are-
1. Managing Workforce Diversity: An important challenge that human resource managers face involves workforce diversity, i.e., the increasing heterogeneity of organisations with the inclusion of employees from different groups such as women, physically disabled persons, retired defence personnel, backward classes, ethnic groups, etc. Whereas globalisation focuses on differences between personnel from different countries, workforce diversity addresses differences among people within the same country. For instance, more and more women have been joining the organisations in India and women executives have also been occupying important positions at the middle and top levels in the organisations. This in itself is a challenge for organisations as, traditionally, the Indian society has been male dominated. Workforce diversity has significant implications for the management. The managers will be required to shift their approach from treating each group of workers alike to recognizing differences among them and following such policies so as to encourage creativity, improve productivity, reduce labour turnover and avoid any sort of discrimination. When workforce diversity is managed properly, there would be better communication, better human relations and congenial work culture in the organisation.
2. Meeting Aspirations of Employees: There has been a rise in the proportion of employees in today's industries who belong to the younger generations whose aspirations are different from those of the earlier generations. Today's workers are more careers oriented and are clear about the lifestyle they want to lead. Considerable changes have been noted in the career orientation of the employees. They are becoming more aware of their higher level needs and this awareness would intensify further among the future employees. The managers would be required to evolve appropriate techniques to satisfy the higher level needs of the employees and develop suitable plans for their career advancement.
3. Empowerment of Employees: There has been a general change in the profile of workforce in industrial and other organisations. The organisations in future will get better qualified and career oriented young employees. The proportion of professional and technical employees will also increase as compared to the blue collared employees. They will seek greater degree of participation in goal setting and decision-making and also demands greater avenues of self-fulfilment. To respond to these demands, organisations will have to be redesigned or restructured to empower the employees so that they have sufficient autonomy or freedom to take decisions while performing their jobs. Empowerment involves giving the employees more information and control over how they perform their jobs. Various techniques of empowerment range from participation in decision- making to the use of self-managed teams. In future, organisations will follow team structures which will pave the way for empowerment of lower levels. Empowerment would be all the more necessary to speed up the process of decision-making, make use of environmental opportunities and to serve the customers and society better.
4. Management of Human Relations: Management of human relations in the future will be more complicated than it is today. "Many of the new generation of employees will be more difficult to motivate than their predecessors. This will in part be the result of a change in value system coupled with rising educational levels. Greater skepticism concerning large organisations and less reverence for authority figures will be more common. Unquestioning acceptance of rules and regulations will be less likely." Since workforce in future will comprise better educated and self-conscious workers, they will ask for the higher degree of participation and avenues for self-fulfilment. Moreover, the proportion of professional and technical employees will increase in relation to blue-collar workers. The ratios of female employees in the total workforce wall also rise. Integration of women within managerial ranks might itself be a problem. Money will no longer be the sole motivating force for majority of the workers. Non-financial incentives will also play an important role in motivating the workforce. In short, human resources will be treated as assets which will appear in the Balance Sheets of business organisations in future.
5. Dynamic Personnel Policies and Programs: The Human Resource Manager of tomorrow will not only look after personnel functions, but will also be involved in human resource policies and programs for the entire organisation. Similarly, human resource management is not merely going to be an exclusive job of the HR Manager, but every executive in the organisation would be made responsible for the effective management of people in his unit.
Thus, management of human resource will receive greater attention of all managers from top to bottom. The human resource manager would play a key role in the formulation of personnel policies, programs, plans and strategies of the organisation. Every HR program will have to be properly planned and directed by the human resource manager in consultation with the line and functional managers.
6. Building Responsive Organisation : The Human Resource Manager will have to contribute tremendously to the building up of responsive organisation. Creating adaptive customer-oriented organisation would require soliciting employees' commitment and self- control and encouraging empowerment of employees.
Instead of imposing himself as the traditional boss, the future manager will have to think of himself as a 'team-leader', 'internal consultant' and 'change facilitator'.
7. Creating Dynamic Work-Culture: The human resource manager will have to mobilise a new work ethic so as to assist the top management in setting up and enforcing quality standards. Greater efforts will be needed to achieve group cohesiveness because workers will have transient commitment to groups. As changing work ethic requires increasing emphasis on individuals, jobs will have to be redesigned to provide challenge to the employees. Flexible starting and quitting times for employees [flexitime] may become necessary.
8. Building Core Competence and Creating Competitive Advantage: The human resource manager has a great role to play in developing core competence by the firms. A core competence is a unique and unimitable strength of an organisation which may be in the form of human resources, marketing capability, or technological capability. If the business is organised on the basis of core competence, it is likely to generate competitive advantage. Because of this reason, many organisations have restructured their business by divesting those business activities which do not match core competence or acquiring those business activities which fit their core competence such as Gujarat Ambuja acquiring cement companies and Reliance Industries acquiring yam companies. In fact, organisation of business around core competence implies leveraging the limited resources of the firm. It needs creative, courageous and dynamic leadership having faith in the organisation's human resources. In today's globalized market piece.
9. Outsourcing HRM Functions: These days, many organisations are outsourcing routine HRM functions so as to focus on strategic HR issues that affect corporate performance and shareholder value. The HRM functions which are of routine type and can be safely outsourced include recruitment, selection, compensation, job evaluation, training, etc. Outsourcing of such functions would enable the management pay greater attention to core business activities.
The term 'outsourcing' means getting some service from external service providers or agencies rather than performing it within the organisation. This practice is called Business Process Outsourcing (BPO). The basic feature of BPO is that companies hire out on contract those services or tasks which fall outside the area of their 'core competence'.
10. Technology: An organization's technology is the process by which input are transformed into output by its workforce. Revolution in technology and ether technological innovations which adversely affect the interests of the workforce and there occupational mobility There is a need to upgrade abilities of employees if the organization want to survive in a competitive world market.
Hazardous, risky, and repetitive jobs could be handed over to sophisticated robots. The old concepts of work have under gone dramatic change. The changes have been coming so fast that organizations have realized that they must perform and prepare for a great range of human resource flexibility.
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