ASSIGNEMENT: HRD STRATEGIES AND SYSTEM

QUESTION NO:1
SUGGEST INTERVENTION STRATEGIES FOR TWO DIFFERENT HRD SUBSYSTEMS UNDER THE CONDITION OF PLANNED CHANGE => HRD functions are carried out through its systems and sub systems.The HRD needs of an organization changes with changing conditions. Various types of organizational needs described above may change, resulting in the need for change in HRD interventions. Therefore, it is useful to prepare a comprehensive HRD plan for the organization. Such a plan should indicate the HRD mechanisms to be used, their phasing, their interlinkages, and expected synergistic effects. For example, when Larsen & Toubro introduced the HRD system in 1974-75 a complete blueprint was prepared for the introduction and strengthening of various HRD mechanisms. A new performance appraisal system was planned to be introduced simultaneously with training to all officers on feedback and counselling. Training was further strengthened with linkages to appraisals. Subsequent introduction of a potential appraisal system was also planned. Similarly, organizations like the State Bank of India (SBI) and its associate banks, Crompton Greaves Ltd. (CGL), Sundaram Fasteners Ltd. (SFL), Bharat Earth Movers Ltd. (BEML), and Indian Oil Corporation (IOC) are other examples of organizations starting HRD in a planned way. Following is the brief discussion on intervention strategies for two HRD Sub-Systems under the condition of planned change:-

Performance Appraisal Performance Appraisal is the systematic evaluation of the performance of employees and to understand the abilities of a person for further growth and development.

A growing number of front running organizations like Ford, Microsoft and Sun Microsystems, have adopted a performance appraisal model in which best-toworst ranking methods are used to identify poor performers. The identified poor performers are then given a time period during which they have to show an improvement in their performance. In cases where the employee fails to improve his performance he is asked to leave the organization gracefully and a severance package is offered to him. If the employee refuses to leave then his service is terminated and no compensation is offered. This system is called rank and yank strategy. Advocates of this system feel that it continually motivates employees to better their performance since nobody would like to be included in the poor performance band. But the flip side of this strategy is that employees become too competitive and team spirit is not nurtured.

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ASSIGNEMENT: HRD STRATEGIES AND SYSTEM

Objectives of Performance Appraisal Performance Appraisal can be done with following objectives in mind: 1. To maintain records in order to determine compensation packages, wage structure, salaries raises, etc. 2. To identify the strengths and weaknesses of employees to place right men on right job. 3. To maintain and assess the potential present in a person for further growth and development. 4. To provide a feedback to employees regarding their performance and related status. 5. To provide a feedback to employees regarding their performance and related status. 6. It serves as a basis for influencing working habits of the employees. 7. To review and retain the promotional and other training programmes. HRD INTERVENTION INTO PERFORMANCE APPRAISAL: Performance Planning (includes employee goal setting / objective setting) Ongoing Performance Communication Data Gathering, Observation and Documentation Performance Appraisal Meetings Performance Diagnosis and Coaching

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ASSIGNEMENT: HRD STRATEGIES AND SYSTEM

Traditional Methods of Performance Appraisal 1. ESSAY APPRAISAL METHOD This traditional form of appraisal, also known as Free Form method involves a description of the performance of an employee by his superior. The description is an evaluation of the performance of any individual based on the facts and often includes examples and evidences to support the information. A major drawback of the method is the inseparability of the bias of the evaluator. 2. STRAIGHT RANKING METHOD This is one of the oldest and simplest techniques of performance appraisal. In this method, the appraiser ranks the employees from the best to the poorest on the basis of their overall performance. It is quite useful for a comparative evaluation.

3. PAIRED COMPARISON A better technique of comparison than the straight ranking method, this method compares each employee with all others in the group, one at a time. After all the comparisons on the basis of the overall comparisons, the employees are given the final rankings. 4. CRITICAL INCIDENTS METHODS In this method of Performance appraisal, the evaluator rates the employee on the basis of critical events and how the employee behaved during those incidents. It includes both negative and positive points. The drawback of this method is that the supervisor has to note down the critical incidents and the employee behaviour as and when they occur. 5. FIELD REVIEW In this method, a senior member of the HR department or a training officer discusses and interviews the supervisors to evaluate and rate their respective subordinates. A major drawback of this method is that it is a very time consuming method. But this method helps to reduce the superiors personal bias. 6. CHECKLIST METHOD The rater is given a checklist of the descriptions of the behaviour of the employees on job. The checklist contains a list of statements on the basis of which the rater describes the on the job performance of the employees.

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ASSIGNEMENT: HRD STRATEGIES AND SYSTEM

7. GRAPHIC RATING SCALE In this method, an employees quality and quantity of work is assessed in a graphic scale indicating different degrees of a particular trait. The factors taken into consideration include both the personal characteristics and characteristics related to the on-the-job performance of the employees. For example a trait like Job Knowledge may be judged on the range of average, above average, outstanding or unsatisfactory. 8. FORCED DISTRIBUTION To eliminate the element of bias from the raters ratings, the evaluator is asked to distribute the employees in some fixed categories of ratings like on a normal distribution curve. The rater chooses the appropriate fit for the categories on his own discretion.

Modern-Method of Performance Appraisal ASSESSMENT CENTRES An assessment centre typically involves the use of methods like social/informal events, tests and exercises, assignments being given to a group of employees to assess their competencies to take higher responsibilities in the future. Generally, employees are given an assignment similar to the job they would be expected to perform if promoted. The trained evaluators observe and evaluate employees as they perform the assigned jobs and are evaluated on job related characteristics.

The major competencies that are judged in assessment centres are interpersonal skills, intellectual capability, planning and organizing capabilities, motivation, career orientation etc. assessment centres are also an effective way to determine the training and development needs of the targeted employees.
BEHAVIORALLY ANCHORED RATING SCALES Behaviorally Anchored Rating Scales (BARS) is a relatively new technique which combines the graphic rating scale and critical incidents method. It consists of predetermined critical areas of job performance or sets of behavioral statements describing important job performance qualities as good or bad (for eg. the qualities like inter-personal relationships, adaptability and reliability, job knowledge etc). These statements are developed from critical incidents. In this method, an employees actual job behaviour is judged against the desired behaviour by recording and comparing the behaviour with BARS. Developing and practicing BARS requires expert knowledge. HUMAN RESOURCE ACCOUNTING METHOD Human resources are valuable assets for every organization. Human resource
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ASSIGNEMENT: HRD STRATEGIES AND SYSTEM

accounting method tries to find the relative worth of these assets in the terms of money. In this method thePerformance appraisal of the employees is judged in terms of cost and contribution of the employees. The cost of employees include all the expenses incurred on them like their compensation, recruitment and selection costs, induction and training costs etc whereas their contribution includes the total value added (in monetary terms). The difference between the cost and the contribution will be the performance of the employees. Ideally, the contribution of the employees should be greater than the cost incurred on them. 360 DEGREE PERFORMANCE APPRAISALS 360 degree feedback, also known as 'multi-rater feedback', is the most comprehensive appraisal where the feedback about the employees performance comes from all the sources that come in contact with the employee on his job. 360 degree respondents for an employee can be his/her peers, managers (i.e. superior), subordinates, team members, customers, suppliers/ vendors anyone who comes into contact with the employee and can provide valuable insights and information or feedback regarding the on-the-job performance of the employee.

360 degree appraisal has four integral components: 1. Self appraisal 2. Superiors appraisal 3. Subordinates appraisal 4. Peer appraisal. Self appraisal gives a chance to the employee to look at his/her strengths and weaknesses, his achievements, and judge his own performance. Superiors appraisal forms the traditional part of the 360 degree appraisal where the employees responsibilities and actual performance is rated by the superior. Subordinates appraisal gives a chance to judge the employee on the parameters like communication and motivating abilities, superiors ability to delegate the work, leadership qualities etc. Also known as internal customers, the correct feedback given by peers can help to find employees abilities to work in a team, co-operation and sensitivity towards others.

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ASSIGNEMENT: HRD STRATEGIES AND SYSTEM

Self assessment is an indispensable part of 360 degree appraisals and therefore 360 degree Performance appraisal have high employee involvement and also have the strongest impact on behavior and performance. It provides a "360-degree review" of the employees performance and is considered to be one of the most credible performance appraisal methods. 360 degree appraisal is also a powerful developmental tool because when conducted at regular intervals (say yearly) it helps to keep a track of the changes others perceptions about the employees. A 360 degree appraisal is generally found more suitable for the managers as it helps to assess their leadership and managing styles. This technique is being effectively used across the globe for performance appraisals. Some of the organizations following it are Wipro, Infosys, and Reliance Industries etc. MANAGEMENT BY OBJECTIVES The concept of Management by Objectives (MBO) was first given by Peter Drucker in 1954. It can be defined as a process whereby the employees and the superiors come together to identify common goals, the employees set their goals to be achieved, the standards to be taken as the criteria for measurement of their performance and contribution and deciding the course of action to be followed. The essence of MBO is participative goal setting, choosing course of actions and decision making. An important part of the MBO is the measurement and the comparison of the employees actual performance with the standards set. Ideally, when employees themselves have been involved with the goal setting and the choosing the course of action to

be followed by them, they are more likely to fulfill their responsibilities.

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ASSIGNEMENT: HRD STRATEGIES AND SYSTEM

THE MBO PROCESS

Designing the Training And Development Through HRD Intervention Key activities include: Setting objectives Selecting the trainer or vendor Developing lesson plans Selecting methods and techniques Preparing materials Scheduling training Objectives Three parts: Performance What is to be done e.g., Increase upper body strength Assemble a chair Catch a football pass Graduate from college
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ASSIGNEMENT: HRD STRATEGIES AND SYSTEM

Conditions Conditions under which performance is done e.g., using standard conditioning equipment using a screwdriver and hammer at a full run under man-to-man coverage without cheating or outside help

Criteria
The level of acceptable performance e.g., by 25 percent within one year within one hour without mistakes at least 80% of the time without penalties within 5 years and with a B average HRD Interventions Selecting the Trainer Training competency How well can he/she train? If they cant train, why are they employed? Subject Matter Expertise How well is the material understood? If No Subject-Matter Experts (SMEs) are Available Use a team to train Use programmed instruction or CBT Train your trainers You are training subject matter experts to be trainers You are not training trainers to be SMEs Preparing Lesson Plans Content to be covered Activity sequencing Selection/design of media Selection of trainee activities Timing and phasing of activities Method(s) of instruction Evaluation methods to be used

1. Selecting Training Methods Consider the following: Program objectives Time and money available Resources availability Trainee characteristics and preferences
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ASSIGNEMENT: HRD STRATEGIES AND SYSTEM

2. Training Materials Program announcements Program outlines Training manuals and textbooks Training aids, consumables, etc. 3. Scheduling Training Must be done in conjunction with: Production schedulers Shift supervisors Work supervisors/managers Trainees Training During Normal Working Hours Issues to consider: Day of week preferred Time of day Peak work hours Staff meeting times Required travel Training After Working Hours Are workers/trainees getting paid? If so, by whom? What about personal commitments? What do you do for shift workers? Registration and Enrollment Issues How, when, and where does one register? Who is responsible for logistics? Travel Lodging Meals Etc. How do one cancel/reschedule?

CONCLUSION In this chapter we have seen the definition of HRD, various systems and subsystems, the HRD processes and the sub processes. The sub systems and sub processes are not discussed in detail since the very purpose of this work is to provide a quick and brief understanding of HRD rather than discuss them exhaustively. It is to be noted that body of knowledge relating to the sub themes mentioned above are already available in some form or the other. The HRD sources and the Bibliography given towards the end of this book may be used for further reading and elaboration.

SUBMITTED TO: Dr. BIPASHA CHETIYA BARUA

BY:TONMOY BORAH (ROLL NO:21,MBA(PT) 3RD YEAR