Basics f HRM

Basics of Human

Resource Management

Human Resource Management

Managerial function that tries to

match an organization’s needs

to the skills and abilities of its

employees.

HR Manager’s Responsibilities

HRM Process

Purpose of HRM

Four Basic Functions of HRM

•Recruitment & Selection/Hiring

•Compensation & Benefits

•Training & Development

•Performance Management

Recruitment & Selection

Recruitment & Selection

Human

Resource

Planning

Recruiting Job

ApplicantsSelection

Provides For

Identifying Job Need

Why does the organisation need new staff?

A process of job analysis is needed

to identify the need for new staff

It could be that there is no need and staff

could just be organised better

Analysing the Job

What will the job involve?

Skills analysis – what competenceswill be needed for the job?

Specifying the job – what’s needed to be done?

Describing the job – main activities, training provided, terms, location described.

Specifying the person – qualifications, experience, skills needed

Job Analysis - JA

JA is a systematic investigation of the tasks,duties and responsibilities necessary to do a job.

This stage is where the key documents involvedin recruitment and selection are created:

The job description – JD The person specification - JS

These documents are crucial for working out if you have the ‘right’ candidate.

Uses of Job Analysis

Job Analysis

Training requirements

Job Evaluation

(Wage & Salary

Decisions

(Compensations)

Performance Appraisal

Recruiting & Selection Decisions

Job Description &

Job Specification

Example of Job Description

JOB TITLE:_____ OCCUPATIONAL CODE: ________

REPORTS TO:___ JOB NO. : ___________________

SUPERVISES:___ GRADE LEVEL: _______________

AS ON DATE :_________

FUNCTIONS:

________________________________________________________

______________________________________________

DUTIES AND RESPONSIBILITIES:

________________________________________________________

______________________________________________

JOB CHARACTERISTICS:

________________________________________________________

______________________________________________

Example of Job Specification

JOB TITLE: __________________________

EDUCATION:_________________________

PHYSICAL HEALTH: ________________________________________________________________________________________________________________________

APPEARANCE: ____________________________________________________________

MENTAL ABILITIES: _______________________________________________

SPECIAL ABILITIES: _______________________________________________

PREVIOUS WORK EXPERIENCE: ________________________________________________________________________________________________________________________

SPECIAL KNOWLEDGE & SKILLS:_____________________________________

OTHER : ________________________________________________________

Recruitment

Searching for, and obtaining, potential job

candidates in sufficient numbers and quality,

and at the right cost, for the organization to

select the most appropriate people to fill its

jobs.

How to Recruit

Internal External

Job Postings

Newsletters

Succession

Planning

HRIS

Employee Referrals

Application

Database

Advertising

Employment Agencies Govt. employment exchange

Private agencies

Head-hunters

Colleges and

Universities

Referrals / Word of

Mouth

Job posting sites

Social Media

SELECTION / HIRING

Selection is the process of gathering information

for the purposes of evaluating and deciding who

should be hired, under legal guidelines, for the

short and long term interests of the individual

and the organization.

THE SELECTION PROCESS

Initial screening interview

The Application form

Employment tests

Comprehensive Interview

Background checking

Medical /Physical examination

Final Job Offer

Steps in Selection Process

Selection Tools

Employment Tests

Interviews

Type of Tests

Mental

Mechanical

Job knowledge

Work sampleObjective

Projective

Situational

Aptitude Achievement Personality

Types of Interviews

Unstructured / Non-directive

Structured / Patterned

Panel

Group

Stress

Behavioural (BDI)

Situational (SI)

Interviews using other media

Employee Orientation

Orientation Process

The process of adapting new employees

to the organization.

Orientation Methods

Using an Employee Handbook

Conducting a Tour of Facilities

Involvement of Co-Workers

Follow-ups

Training & Development

Training & Development

Is a function of human resource

management concerned with

organizational activity aimed at bettering

the performance of individuals & groups

in organizational settings.

The Five Step -Training & development

Process

Training Methods

On-the-job Training

Apprenticeship Training

Simulated Training

Classroom Training

Distance Learning

Computer Based Training

Case Based Method

Business Games

Role Plays

Types of Training

Performance Management

Performance Appraisal

Evaluating an employee’s current and/or

past performance relative to his or her

performance standards.

Performance Management

The process that consolidates goal setting,

performance appraisal & development into a

single, common system, the aim if which is to

ensure that the employees performance is

supporting the company’s strategic aims.

Performance Management, Not

Performance Appraisal

Performance appraisal can be defined as the formal

assessment and rating of individuals by their

managers at usually an annual review meeting.

It should be distinguished from performance

management, which is a much wider, more

comprehensive and more natural process of

management that aims to clarify mutual expectations

and emphasizes the support role of managers, who

are expected to act as coaches rather than judges

and focuses on the future.

The Performance Appraisal Process

Establish performance standards with employees

Mutually set measurable goals

Measure actual goals

What to measure: Work output (quality and quantity), Personal

competencies and/or Goal (objective) achievement

How we measure: rating scales, ranking methods and other techniques

Compare actual performance with standards

Discuss appraisal with employees

If necessary initiate corrective measure

Uses of Performance Appraisals

Human Resource Planning

Recruitment and Selection

Training and Development

Career Planning and Development

Compensations Programs

Internal Employee Relations

Assessment of Employee Potentials

Who Should Do the Appraising?

Self-Rating

Subordinates

360-Degree

Feedback

Potential

Appraisers

Immediate

Supervisor

Peers

Customers

Team members

Appraisal Period

Annual

Six months / Bi-annual

Appraisal can be done once or twice a

year but feedback should be continuous

and intermittent!

Performance Appraisal Methods

1. Rating Scales

2. Critical Incidents

3. Essay

4. Work Standards

5. Ranking

6. 360 degrees

7. MBO

1. Rating Scales

Rates according to defined factors

Job factors and personal factors

Judgments are recorded on a scale

Many employees are evaluated quickly

2. Critical Incidents

Written records of highly favorable and

unfavorable work actions

Appraisal more likely to cover entire

evaluation period

Does not focus on last few weeks or

months

3. Essay

Brief narrative describing performance

Tends to focus on extreme behavior

Depends heavily on evaluator's writing

ability

Comparing essay evaluations might be

difficult

4. Work Standards

Compares performance to predetermined

standard

Standards - normal output of average worker

operating at normal pace

Time study and work sampling used

Workers need to know how standards were

set

5. Ranking

All employees from group ranked in

order of overall performance

Paired comparison is a variation

Comparison is based on single criterion,

such as overall performance

6. 360-Degree Evaluation

Multi-rater evaluation

Input from multiple levels with firm and

external sources

Focuses on skills needed across

organizational boundaries

More objective measure of performance

Not easy to manage

360o

feedback

7. Management by Objectives (MBO)

Involves setting specific measurable goals with

each employee and then periodically reviewing

the progress made.

1. Set the organization’s goals.

2. Set departmental goals.

3. Discuss departmental goals.

4. Define expected results (set individual goals).

5. Performance reviews.

6. Provide feedback.

Problems in Performance Appraisals

Lack of objectivity

Bias

Leniency/Strictness

Central Tendency

Recent Behavior Bias

Personal Bias (stereotyping)

Manipulating the evaluation

Reward System

Total Reward

Total Reward includes all types of reward – non-financial as well as financial, indirect as well as direct, intrinsic as well as extrinsic.

These embrace everything that people value in the employment relationship and are developed and implemented as an integrated and coherent whole.

Total Rewards

All of the tools available to the employer that may be used to attract, motivate and retain employees. Total rewards include everything the employee perceives to be of value resulting from the employment relationship.

There are five elements of total rewards:1. Compensation

2. Benefits

3. Work-Life

4. Performance and Recognition

5. Development and Career Opportunities