HUMAN RESOURCE MANAGEMENT

Name Gihan Anuruddha Sandaruwan

Batch - 33

Human Recourse Management Page

1
 Acknowledgment
I express my sincere gratitude to all the following individuals those who contributed towards
the success fully completion of my second assignment in Human Resource Management.

At the very beginning my gratitude goes to my parents as they provide necessary guidance and
other facilities to follow my program. Then my gratitude to Dr. Dilina, lecture in Human Resource
Management as he gave all necessary guidance in friendly manner.

Finally I would like to like to thank staff of ESOFT as they provide necessary support during
the period of assignment.

Human Recourse Management Page

2
 Executive Summary

I did analyze on kando.com and identify the problems and week arias of that company and I gave
solution for those problems according to case and I suggest new methods to the company

Human Recourse Management Page

3
Contents
Acknowledgment............................................................................................................. 1
Executive Summary.......................................................................................................... 2
Task 01 (1.1).................................................................................................................. 4
Task 01 (1.2).................................................................................................................. 7
Figure 1.1 Functions of HRM.......................................................................................... 8
Task 01 (1.3)................................................................................................................ 10
Task 01 (1.4)................................................................................................................ 13
Task 02 (2.1)................................................................................................................ 14
Task 02 (2.2)................................................................................................................ 16
Task 02 (2.3)................................................................................................................ 16
Task 02 (2.4)................................................................................................................ 20
Task 03 (3.1)................................................................................................................ 20
Task 03 (3.2)................................................................................................................ 22
Task 03 (3.3)................................................................................................................ 24
Task 03 (3.4)................................................................................................................ 24
Task 04 (4.1)................................................................................................................ 25
Task 04 (4.2)................................................................................................................ 26
Task 04 (4.3)................................................................................................................ 26

Human Recourse Management Page

4
Task 01 (1.1)
A personnel management and human resource management is that personnel management basically
deals with the employees. That is, their payroll, recruitment, employment laws, maintaining good
employee- employer relationship and activities connected with it therefore, personnel management
mainly works around industrial/employee/ Labour relations and actives connected with handling,
negotiations, enforcement of labour statute, looking after welfare of employees. On the other hand,
human resource management deals with the management of the work force, training, focused on best
utilizing the man power by understanding their strength and weaknesses and engaging them in different
occupations so that their productivity can be increased. Therefore, training and development and
employee engagements are part of it.

Development of sales force and staff in other department

Evaluate the existing staff

Identify the week areas of the staff
Develop the attitudes of employees
Introducing the monitoring system (KPI,) and rewording system (performers appraisal system)
Training the staff, specially employees who are underperforming according to the KPIs
Motivating the staff

Human Recourse Management Page

5
As a first step evaluate the sales force and staff in other departments. And decide whether and how to
grow the staff.

Identify the week areas of employees and develop their attitude. People with positive attitudes have
certain personality traits. They are caring, confident, patient, and humble. They have high expectations
of themselves and others. They anticipate positive outcomes.

The benefits of positive attitude

Increases productivity
Fosters teamwork
Solve problems
Improves quality
Increases profits
Fosters better relationships with employers, employees, and customers
Reduces stress

An introduce monitoring system, key performance indicators

This is the process of comparing a performance against a benchmark to assess current performance and
generate a plan to drive improvement in order to drive performance towards the expected level. A key
performance indicator (KPI) is the measure of a process that is critical to the success of an
organization.

Plan

Establish benchmarking roles and responsibilities.

Identify the process to benchmark

Analyze

Record performance levels

Is there a performance gap and if so, identify the reasons for the difference.

Act

Set performance targets, then develop and implement.

Human Recourse Management Page

6
Review

Monitor performance against the performance targets.

Introduce the performance appraisal system

Motivation is the process that energizes employees and propels them to pursue their goals.
Performance appraisals have a strong motivational impact. If the employees dont have a clear
understanding of how they are performing. They cant motive to make any improvements. When
managers take the time and effort carefully review, analyze, document, and discuss performance
with employees, the underlying message to the employees is that theyre important and valuable,
and this alone is quite rewarding.

Main thing of developing the performance appraisal system is to determine the organizations
objectives. These are then translated into departmental and then individual position objectives-
working with employees to agree their personal performance targets. Job description and
responsibilities - explain how the role and responsibilities contribute to wider goals. Objectives
should be reflective of the organizational goals and provide linkages between employee and
organizational performance. The process ensures that employees understand how their personal job
performance contributes to the overall performance of the company.

Main aspect of developing a performance appraisal system is training for those individuals involved
as raters. This training needs to focus on the process of managing, motivating and evaluating
employee performance.

Motivating the employees

There are two types of motivation, internal motivation and external motivation. Internal motivation
is drive and attitude. Attitude is the key to getting the response you want from others.

External motivators are such as money, societal approval, fame or fear. Example for that fear of
getting spanked by parents and fear of getting fired at works. External motivation can also take the
form of incentives, bonuses, commission, recognition, etc. The major advantage of incentive
motivation is work very well as long as incentive is strong enough.

Motivation comes from within, such as pride, a sense of achievement, responsibility and belief. The
greatest motivator is belief. When people accept responsibility, everything improves: quality,
productivity, relationships and teamwork. A few steps to motivate others:

Give recognition

Human Recourse Management Page

7
 Give respect
Make work interesting
Be a good listener
Throw a challenge

Action plan

i. Develop a sense of pride through training.

ii. Reward performance.
iii. Set well-defined, clear goals.
iv. Set high expectations.
v. Set clear, measurable benchmarks.
vi. Evaluate the needs of others.
vii. Set a good example by being a positive role model, build the self-esteem of others.

Task 01 (1.2)
Human resource management function

i. Tasks
ii. Training and development
iii. Performance management
iv. Employee relations
v. Employee relations
vi. Working in partnership with functional areas
vii. Involvement of line managers
viii. Ethical issues
ix. Equality of opportunity

HRM functions are carried out by the HR managers to fulfil the goals and objectives of the
organization. As illustrated in Figure 1.1, they perform two sets of functions, managerial functions and
operative functions. All the managers, irrespective of their departments, perform these functions.

Functions like planning, organizing, staffing, directing and controlling constitute the core managerial
functions of an organization. The specific activities performed under each of these functions are
explained as follows:

Planning it involves the process of predetermining the personnel programs that are necessary to attain
the organizational goals. The steps involved in planning are

Human Recourse Management Page

8
 Establishing goals and objectives to be achieved
Developing rules and procedures
Determining plans and forecasting techniques

Functions of HRM

Operative Functions
Managerial Functions
Procurement
Planning
Development
Organization
Compensation
Staffing
Maintenance and motivation
Directing
Integration
Controlling
Industrial Relations

Figure 1.1 Functions of HRM

Organizing the men and material in order to accomplish those plans. Organizing is a process through
which the firm establishes its structure and determines the authority, responsibility and accountability
of each member in relation to the job. Thus, organizing involves

Giving each member a specific task

Human Recourse Management Page

9
 Establishing departments and divisions
Delegating authority and communication
Creating a system to coordinate the works of the members

Staffing this function deals with the creation and maintenance of human resources through
employment, compensation, benefits, training and development, and industrial relations measures. The
steps involved in the staff function are

Determining the type of people to be hired

Recruiting prospective and selecting the best ones from them
Compensating the employees
Training and developing the employees
Setting performance standards and evaluating the employees performance
Counselling the employees

Directing direction is the several activities like communication, leadership and motivation. Directing,
as a function. It includes the following activities:

Getting work done through subordinates

Ensuring effective two-way communication for the exchange of information with the
subordinates
Motivating subordinates to strive for better performance
Maintaining the group morale

Controlling - controlling is the process of checking the efficiency of the individuals and the groups in
fulfilling the plans and goals through follow-up measures. It is essential for continuous improvement in
the managerial activities. The processes involved controlling is:

Establishment of standard performance

Measurement of actual performance
Comparison of actual performance with the standard one to find the deviation
Initiation of corrective actions, if there are any deviations

To be involved with over-al strategy, HR needs to be aligned with the organization. One Harvard
survey found that 80% of HR departments lack a strategic planning process that spending with the
organizational strategy (Norton, 2001)

Human Recourse Management Page

10
Fulfilling business and organizational goals is at the transformational HR. where transformational HR
is in place, the HR function is directly involved in developing, refining, and implementing an
organizations strategic goals. An organization can measure its success only if its end goals are well
defend.

Organizational objectives HR functions

Increase productivity Increase employee engagement
Faster better team work
Provide training to employees
Speed up the process of onboarding
Improve competitiveness Strategic compensation
Organizational planning for internal
promotions
Performance ratings
Achieve better measurement of business Capture and provide access to more work force
performance analytics
Reduce costs Increase employee retention
Improve sustainability Reduce transactional paperwork and use
electronic routing and approval processes

To align apparent goals of the organization with departmental goal first educate the employees about
the connection between their efforts, company success and their goals. Employee expectation become
more realistic after educate.

Support employees with resources to achieve goals through motivational seminars, books and speakers.

Make incentives on the path to goal achievement attractive and make company goals challenging.

Task 01 (1.3)
Line managers are those managers to whom individual employees or team directly report and who have
responsibility to a higher level of management for those employees or team. Typically their
management responsibilities would include:

People management

Human Recourse Management Page

11
 Managing operational costs
Providing technical expertise
Organization work allocation
Monitoring work processes
Checking quality
Dealing with customers/clients
Measuring operational performance
Conducting performance appraisal
Involvement and communication
Discipline and grievances
Recruitment and selection in conjunction with HR

Line managers are responsible for:

Ensuring that any staff experiencing performance difficulties are managed appropriately and
working with the employee to identify measures that could be used to improve performance.
Ensuring the staff member has a full understanding of the consequences of not improving.
Setting realistic and measurable standards of performance to include an action plan,
incorporating targets, standards, deadlines and further support.
Setting a reasonable time frame within which improvement is expected.
Setting up a regular progress review meeting during the review period.
Providing reasonable support, adequate supervision and encouragement so all employees can
achieve their objectives.
Making clear the areas in which the individuals performance is below expectation.
Trying to identify any problems or reasons for the underperformance.

Line managers responsibilities related to human resource managerial functions.

1. Planning and organizing

The manager is responsible for planning the aims, objectives and priorities of their work area (and
communication this to their team and to colleagues as appropriate).

http://www.ed.ac.uk/school-departments/human-resources/learning-development/annual-review

Promoting equality and diversity

Managers should familiarize themselves and comply with equality legislation in addition to promoting
equality and diversity.
Human Recourse Management Page
12
http://www.ed.ac.uk/school-departments/equality-diversity

Treat all staff fairly

Create an inclusive culture for all staff
Enable all staff to develop to their full potential

Leading, developing and managing people

The manager should provide excellent leadership to help people perform at their best, through
motivating and developing them to achieve high performance.

Effective communication/regular meetings

Manager should ensure the staff knows what they need to know in order to perform well in their jobs;
and to ensure they can tell you (and each other) what you need to know.

Regular scheduled one-to-one meetings with each of the member of staff are recommended to discuss
activities, priorities, progress and problems.

Enabling good performance:

Provide clear guidance, instruction, advice or coaching for the job.

Managing attendance

Ensure every member of the team are clear about attendance expectation (e.g. how much flexibility in
working hours) and how report unplanned absence.

Explain your local arrangements for approval of annual leave.

Maintain records of annual leave and sickness absence.
Report all sickness absences (or other unplanned leave) to school HR.
Consult HR and consider occupational health referral if sickness or other absence levels are
giving cause for concern.

Managing discipline and complaints:

Disciplinary matter should be dealt with promptly and appropriately.

Human Recourse Management Page

13
Task 01 (1.4)
Legislation that are affect to the organization and human resource management

Consumer laws

Having a good understanding of consumer laws gives to customers of mind and build trust in business.

Health and safety

Having a clear focus on health and safety reduces the likelihood of pain and injury the workplace
ensuring the wellbeing of employee and preventing expensive lost-time injuries.

Work place regulations

Health and safety reporting
Prevent pain and injury
Workplace emergence\y planning
Crisis management

The environment

Environmentally-conscious business are often more efficient and have lower operational costs.

Resource management act for business

Sustainability
Understanding Eco labels and sustainability claims

Employment regulations

Salary (minimum salary)

The employment relations act for employers

Human rights legislation

Human rights legislation is put in place to protect from discrimination. It seeks to guarantee people
equal treatment regardless of certain identified characteristics (called prohibited grounds of
discrimination) that have attracted historical stereotyping or bias relation to employment.

Provide protections for participants and beneficiaries in group health plans, including limiting
exclusion for preexisting conditions and general health conditions. Also establishes privacy protections
for employees against unauthorized disclosure of health related information.
Human Recourse Management Page
14
Regulates the status of employees (versus independent contractors) and provides for a minimum wage
and overtime unless the employee meets an exempt an exempt classification.

Prohibits wage discrimination by requiring equal pay for equal work of the same skills, effort, and
responsibilities.

Task 02 (2.1)
Human resources planning is method for achieving a desired result. Goals or objectives are specific
results that want to achieve. Planning is thus the process of establishing objectives and courses of
action prior to taking action.

Planning provides a sense of purpose and direction. It is a comprehensive framework fro making
decisions in advance. It also facilitates the organizing, leading, and controlling functions of
management. Planning: allows to make decisions ahead of time, it helps to provides a unifying
framework against which to measure decision, and thus helps you avoid piecemeal decision making.
Planning also helps identify potential opportunities and threats, and facilitates control. It is concerned
with the end (what is to be done) as well as with means (how it is to be done).

Benefits of HR planning
Helps in planning job assignments
Helps cope with fluctuation in staffing
Identifies recruiting needs
Provides other useful information

Planning includes forecasting

Forecasting is carried out in two basic areas which are demand forecast of workforce for organization
and supply forecast for the organization.

Forecasting hu8man resource requirements

A requirements forecast is an estimate of the numbers and kinds of employees the organization will
need at future dates in order to realize its goals.

Zero-base forecasting

This method uses the organizations current level of employment as the strting point for determining
future staffing needs. The key ro zero-base forecasting is a thorough analysis of human resource needs.

Bottom-up approach

Human Recourse Management Page

15
A forecasting method in which each successive level of the organization, starting with the lowest, and
forecasts its employee requirements in order to, ultimately, provide an aggregate forecast of
employment needs.

Surplus of employees forecasted

When a comparison of requirements and availability indicates a worker surplus will result, restricted
hiring, reduced hours, early retirements, or layoffs may be required to correct the situation.

a. Restricted hiring

When a firm implements a restricted hiring policy, it reduces the workforce by not replacing employees
who leave.

b. Reduce hours

Reaction to a declining demand can also be made by reducing the total number of hours worked.
Instead of continuing a 40-hour week, management may decide to cut each employees time to 30
hours.

c. Early retirement

Early retirement of some present employees is another means of reducing the supply of supply of
workers.

d. At times, the firm has no choice but actually lay off part of its workforce.

Succession planning and development

a. Succession planning

The process of ensuring that a qualified person is available to assume a managerial position ones the
position is vacant.

Requirements for effective HR planning

Successful HR planning requires:

HR personal understand the HR planning process

Top management is supportive

The communication between HR staff and line management are healthy

The HR plan is integrated with the organizations strategic business plan

Human Recourse Management Page
16
Task 02 (2.2)
HR planning process:

a. Determine the organizational mission

It states organizations overall purpose and basic business scope and operations it provides information
like, why does our organization exist? Unique contributions can it make?

b. Scan the organizational environment

This is also known as SWOT analysis through this process organizations identify different
opportunities available in the market and the threats that can be faced by the organization, and the
weaknesses and strengths possessed by organizations are also measured and identified through this
process.

c. Set strategic goals:

d. To achieve the overall mission or purpose of the organization it is required to set specific long-
term and short term objectives and goals. The goal can be defined as desired outcomes to
accomplish mission. Following are the characteristics of effective goals.
Specific
Challenging
measurable
e. formulate a strategic plan:

Courses of action is designed to meet strategic goals, also specifies functional or departmental goals are
selected at this step.

Task 02 (2.3)
A. Recruitment:

Recruiting refers to the process of attracting potential job applicants from the available labor force.
Every organization must be able to attract a sufficient number of the job candidates who have the
abilities and aptitudes needed to help the organization to achieve its objectives. An effective employee
selection procedure is limited by the effectiveness of recruiting process. Outstanding job candidates
cannot be selected if they are not included in the applicant pool.

Human Recourse Management Page

17
The recruitment process also interacts with other personnel functions, especially performance
evaluation, compensation training and development and employee relations. Recruiting is typically a
human resource function.

B. Source of recruitment:
1) External recruitment
2) Internal recruitment

1. Internal recruiting sources:

When job vacancies exist, the first place that an organization should look for placement is within itself.
An organizations present employees generally feel that they deserve opportunities to be promoted to
higher level positions because of their service and commitment to organization. More over
organizations have opportunities to examine the track records of its present employees and to estimate
which of them would be successful. Also recruiting among present employee is less expensive that
recruiting from outside the organization. The major forms of the internal recruiting include:

1. Promotion from with in

2. Job posting
3. Contacts and referrals

Promotion

Promoting entry level employees to more responsible positions is one of the best ways to fill job
vacancies and important reason why company should have a human resource planning system. An
organization that has human resource planning system uses succession plans and replacement charts to
identify and prepare individuals for upper level positions. Skills inventories are useful in identifying
individuals who have the potential for advancement, and individuals desire to be promoted can be
assessed in the performance appraisal review a promotion from within policy is intrinsic to career
development and human resource planning. A promotion from within policy can stimulate great
motivation among employee, and this motivation is often accompanied by a general improvement in
the employee morale.

Advantages of internal recruitment:

1. Provides greater motivation for good performance

2. Provides greater opportunities for present employees
3. Provides better opportunities to assess abilities
4. Improves moral and organizational loyalty
5. Enables employees to perform the new job with little lost time.

Human Recourse Management Page

18
Disadvantages of internal recruitment:

1. Creates a narrowing thinking and stale ideas

2. Creates pressures to compete
3. Creates homogeneous workforce
4. Chances to miss good outside talent requires strong management development programs special
to train for technology.

External recruiting sources:

A board variety of methods are available for external recruiting. An organization should carefully
assess the kind of positions it wants to fill and select the recruiting methods that sre likely to produce
the best results.

External sources of recruitment

There are some employee needs that a firm must fill through external recruitment. Among them are:
filling entry-level jobs, acquiring skills not possessed by current employees, and obtaining employees
with different backgrounds to provide new ideas.

a. Schools and vocational schools

b. Colleges and universities
c. Unemployed
d. Older individuals
e. Military personnel
f. Self-employed workers

External recruitment methods

a. Advertising

A way of communication the employment needs within the firm to the public through media such as
radio, newspaper, television, industry publications, and the internet.

b. Employment agencies

An organization that helps firms recruits employees and, at the same time, aids individuals in their
attempt to locate jobs.

c. Recruiters

The most common use of recruiters is with technical and vocational schools, community colleges, and
universities.
Human Recourse Management Page
19
 d. Special events

It is a recruiting method that involves an effort on part of a single employer or group of employers to
attract a large number of applicants for interviews.

e. Unsolicited walk-in applicants

If an organization has reputation of being a good place to work, it may be able to attract good
prospective employees without extensive recruitment efforts.

f. Open houses

Firms pair potential hires and managers in a warm, causal environment that encourages on-the-spot job
offers.

g. Event recruiting

Attend the events that the people you are seeking go to.

h. Virtual job fairs

Individuals meet recruiters face-to-face in interviews conducted over special computers that have
lenses that transmit head-and-shoulder images of both parties.

Advantages of external recruitment:

1. Provides new ideas and new insights

2. Provides greater diversity and helps achieve goals by making affirmative action easy
3. Provides opportunities to handle rapid growth if the organization
4. Opportunities to get people with up-to-date knowledge education and training

Disadvantages of external recruitment:

1. It is more expensive and time consuming

2. Destroys incentives of present employees to strive for promotion
3. More chances to commit hiring mistakes due to difficult applicant assessment that will lead to
wastage of resources.

Task 02 (2.4)
Selection process

Selection is the process of choosing a group of applicants those individual best a particular position.
Most managers recognize that employee selection is one of their most difficult, and most important,

Human Recourse Management Page

20
business decisions. This process involves making a judgment not about the applicant, but about the fit
between the applicant and the job by considering knowledge, skills and abilities and other
characteristics required to perform the job selection procedures are not carried out through standard
pattern and steps in this. Process can vary from organization to organization some steps performance
and considered important by one organization can be skipped by other organization.

Steps in the selection process

1. Initial screening
2. Application blank
3. Pre-employment testing
4. Interviews
5. Background checks
6. Conditional job offers
7. Medical exam/drug test
8. Final selection decision

Task 03 (3.1)
Motivation

Motivation is the inner drive that directs a persons behavior toward goals. Motivation can be defined
as a process which energizes, directs and sustain human behavior. In HRM the term refers to persons
desire to do the best possible job or to exert the maximum effort to perform assigned tasks. An
important feature of motivation is that it is behavior directed towards goal. Motivation is important in
getting and retaining people. Motivation tools act as the glue that links individuals to organizational
goals, in addition, make individuals go beyond the job and be creative.

The motivation process begins with a need, an individuals perception of a deficiency. For instance, an
employee might feel the for more challenging work, for higher pay, for time off, or for the respect and
admiration of colleagues. These needs lead to thought processes that guide an employees decision to
satisfy them and to follow a particular course of action. If an employees chosen course of action results
in the anticipated out comes and reward, that person is likely to be motivated by the prospect of a
similar reward to act the same way in the future. If the employees action does not result in the
expected reward,, he or she is unlikely to repeat the behavior. Thus, the reward acts as feedback
mechanism to help the individual evaluate the consequences of the behavior when considering futures
action.

Performance appraisal is a system of review and evaluation of an individual or teams job performance.
An effective system assesses accomplishments and evolves plans for development. Performance

Human Recourse Management Page

21
management is a process that significantly affects organizational success by having managers and
employees work together to set expectation, review results, and reward performance. Its goal is to
provide an accurate picture of past and/or future employee performance. To achieve this, performance
standards are established.

Steps in the performance appraisal process

1. Identify the specific performance appraisal goals

2. Establish job expectations (job analysis)
3. Examine work performed
4. Appraise performance
5. Discuss appraisal with employee

Pay-for-performance

Pay for performance refers to any compensation method that ties pay to the quantity or quality of work
the person produces. Variable pay plans are ply for performance plans that put a portion of the
employees pay at risk, in return for the opportunity to earn additional pay. Gain sharing plans are
group incentive plans that engage many or all employees in a common effort to achieve productivity
goals.

The role of money

Money can be motivational tool in the organization because it is used as source to fulfil different
needs.it affects several needs, not just existence needs. Money is used to prove and enhance the identity
people it influences the self-perceptions.

Improving reward effectiveness

Effectiveness of the rewards can be improved by considering the following factors.

1. Link rewards to performance

2. Ensure rewards are relevant
3. Use team rewards for interdependent jobs
4. Ensure rewards are valued
5. Beware of unintended consequences

Money as a motivator

According to Maslow and Alderfer, pay should prove especially motivational to people who have
strong lower-level needs. If pay has this capacity to fulfill a variety of needs, then it should have good
potential as a motivator.
Human Recourse Management Page
22
Task 03 (3.2)
The appraisal period

Performance evaluations are typically prepared at specific intervals. In most organizations these
evaluations are made ether annually or semiannually. The appraisal period may with each employees
date of hire, or all employees may be evaluated at the same time.

Job evaluation

Job evaluation means systematically determining relative worth of jobs to create job structure. An
attempt to identify inputs that are most valuable to the organization & to develop job hierarchy based
on which jobs have more or less of those dimensions

Job evaluation method:

The essence of compensation administration is job evaluation and the establishment of the pay
structure.

a. Ranking method:

Raters examine the description of each job being evaluate and arrange the jobs in order according to
their value to the company. This method requires a committee typically composed of both
management and employee representative to arrange job in a simple rank order from highest to
lowest. No attempts are made to break down the jobs by specific weighted criteria. The committee
members merely compare two and so on until all the jobs have been evaluated and ranked

b. Classification method:

A job evaluation method by which a number of classes or grades are defined to describe a group of jobs
is known as classification method. The classifications are created by identifying some common
denominator skills, knowledge, responsibilities with the desired goal being the criterion of a number
of distinct classes or grades of jobs.

c. Factor comparison method:

Raters need not keep the entire job in mind as evaluate; instead, make decision on separate aspects, or
factors, of the job. A basic underlying assumption is that there are five universal job factors: (1) Mental
requirements, (2) Skills, (3) Physical requirement, (4) responsibilities, and (5) working conditions. The
Human Recourse Management Page
23
committee first rank each of the selected benchmark jobs on the relative degree of difficulty for each of
the five factors. Then, the committee allocates the total pay tares for each job to each factor based on
the importance of the respective factor to the job. A job comparison scale, reflecting rankings and
money allocations, is developed next. The raters compare each job, factor by factor, with those
appearing on the job comparison scale. Then place the jobs on the chart in an appropriate position.

d. Point method:

Raters assign numerical values to specific job components, and the sum of these values provides a
quantitative assessment of a jobs relative worth. The point method requires selection of job factors
according to the nature of the specific group pf jobs being evaluated. After determining the group of
jobs to be studies, analysts conduct job analysis and write job description. Next, the analysts select and
define the factors to be used in measuring job value and which become the standards used for the
evaluation of jobs.

Job pricing

1. Pay grades the grouping of similar jobs together to simplify the job pricing process. Plotting
jobs on a scatter diagram is often useful in determining the appropriate number of pay grades.
2. Wage curve the fitting of plotted points in order to create a smooth progression between pay
grades
3. Pay ranges includes a minimum and maximum pay rate with enough variance between the
two to allow some significant pay difference.
4. Broad banding a technique that collapses many pay grades (salary grades) into a few wide
bands in order to improve organizational effectiveness.

Task 03 (3.3)
Performance appraisal is a system of review and evaluation of an individual or teams job performance.
Performance appraisal serves two types of the objectives one is to make the evaluation decisions and
other is to provide the need assessment source for the training and development if there is a gap
between actual and expected performance.

a. Human resource planning in assessing a firms human resources, date must be available that
describe the portability and potential of all employees, especially key executives.
b. Recruitment and selection performance evaluation ratings may be helpful in predicting the
future performance of job applicants.
c. Training and development a performance appraisal should point out an employees specific
needs for training and development. By identifying deficiencies that adversely affect
performance, human resource and line managers are able to develop T&D programs that permit
individuals to build on their strength and minimize their deficiencies.
d. Career planning and development career planning and development may be viewed from
either an individual or organizational viewpoint.
Human Recourse Management Page
24
Task 03 (3.4)
Monitoring performance

1. Planning for the year ahead;

2. Monitoring and measuring the employees performance;
3. Providing regular feedback both positive and corrective;
4. Coaching and training;
5. Formal performance review (also known as performance appraisal)

Monitoring and measuring performance:

The second stage monitoring and measuring focuses on observing, measuring and recording the
employees performance throughout the year.

1. Recognizing and rewarding great performance

2. Identifying any issue and problems and dealing with them as they arise
3. Managing poor performance
4. Rating the employees performance during the formal performance review

During the planning stage of the performance management process, the employer and employee should
agree on expectations and goals for the year ahead, including performance measures and how the
employer will monitor performance. Right from the start, the employee is clear about what the
employer is looking for and what information is being used to measure their performance.

Monitoring methods

1. Observation the own plus feedback from other staff or contractors

2. Review of records kept by management.
3. Review of records received from other companies

Task 04 (4.1)
Mostly people leave the organization or organizations have to face high turnover rate due to different
reasons like employees are not satisfied with benefits provided or the recognition is not provided or the
recognition is not provided for extraordinary perfumers these causes should be overcome so that
employee loyalty can be increased. Following ways can be used to avoid the high turnover of employee

Use recognition

Some employees highly value day-to-day recognition from their supervision, peers and team members
because it is important for their work to be appreciated by others. Recognition helps satisfy the need
people have to achieve and be recognize for their achievement.

Human Recourse Management Page

25
Use positive reinforcement

Positive reinforcement programs rely on operant conditioning principles to supply positive

reinforcement and change behavior. Experts claim it is better to focus on improving desirable behaviors
rather than on decreasing undesirable ones.

Empower employees

Empowerment means giving employees the authority, tool and information they need to do their to do
their jobs with greater autonomy, as well as the self-confidence to perform new jobs effectively.
Empowerment boosts employees feelings of self-efficacy and enables them to use their potential more
fully.

Task 04 (4.2)

Human Recourse Management Page

26
Task 04 (4.3)

Human Recourse Management Page

27
Human Recourse Management Page
28
Human Recourse Management Page
29