Human Resource management

The application of Human Resource Management

principles is the same to other management functions
like accounting and finance or even IT

The health sector in many parts of the world is still
weighed down by the superiority of government power
involved in the sector. This has had the impact of
slowing down human resource changes as opposed to
other sectors

Human Resource Management the
management of an organizations most
valued asset the people working there who
individually and collectively contribute to the
achievement of the organizations objective.


To improve the productive
contribution of people to the
organization in an ethical and socially
responsible way

HR Managers administer the contract of
employment which is the legal basis of the
employment relationship within that
framework.


Managing resourceful humans require a
constant balancing between meeting human
aspirations of people and meeting the
strategic and financial needs of the business.
The Strategic Nature HRM must
be
forward-thinking, support the
business strategy, and assist the
organization in maintaining
competitive advantage.

Strategic Environment
Governmental Legislation
Labor Unions
Management Thought
Governmental Legislation
Laws supporting employer and employee
actions
Labor Unions
Act on behalf of their members by negotiating
contracts with management
Exist to assist workers
Constrain managers
Affect non unionized workforce
Four basic
functions:
Staffing
Training and
Development
Motivation
Maintenance
Integration
implies employee relations to align the interest of employees, the
management and the union.
Industrial relations
Participation
Communication

Maintenance
Ensures a continuation of able and willing workforce.
Health and safety
Welfare

Separation
Returning personnel to the society when they are no
longer required by the organization through retirement,
redundancy, discharge or any other form of termination.

Employment and personnel administration
Ensures the organization meets the legal requirements within
which personnel policies, practices and procedures operates.

Human resource planning ensures that

it has the right number and kinds of people

at the right place

at the right time

capable of effectively and efficiently completing
those tasks that will help the organization
achieve its overall strategic objectives.

Recruitment - finding and engaging the
people to fulfil organizations needs.

It is hiring the best qualified candidate for the
job from within or outside the organization, in
a timely and most cost effective manner.

In order for an organization to succeed in
their business, it has to have the right people.

Therefore, the quality of people in an
organization determines its success hence
the significance of recruitment.
Internal recruitment refers to identification of workers
within the organization to fill vacant positions.
Advantages:
1. Boosting employee morale:

2. Less costly:

3. Improves profitability:
Disadvantages

1. Risk of stagnancy of ideas:

2. Risk of weaknesses flourishing:
External recruitment refers to identification of
workers outside the organization to fill vacant
positions.

Advantages
1. New skills and knowledge:

2. Impact of more liveliness:

Disadvantages
1. Costly:
2. Time consuming: It can be time consuming getting
the right fit.



1. Overtime: The current employees are made
to work extra time and are paid for that.
Payment can be in monetary terms or in
time-off from work, depending on the
organizations HR policies.
2. Temporary employees: This applies mostly
when deadlines have to be met. Additional
hands are hired since subjecting workers to
overtime would not be of great help.
3. Consultants: This category of human
resource are usually highly specialized and
freelance in status. Their spectrum range
from individual entities to large companies
as suppliers of their expertise.

The Employment Act 2007 and government
requirements outlined by the Revenue Authority
describes the payment rates for certain categories
of employees as well as taxation rates for each
category for those handled under the 4 alternative
ways of recruitment outlined above.
Should Include the following:
Name and address of the employee

Name of the employer

Job title and description of position

Date of employment commencement

Form & duration of contract

Place of work

Hours of work

Pay/Remuneration & other benefits
Intervals of payment- monthly, weekly etc

Terms & conditions relating to:
i. Entitlement to annual leave and pay
ii. Sick leave entitlement
iii. Pensions & pension schemes
iv. Length of notice either party is obliged to give.

Where terms of employment change, a
revised contract stating the changes is
made in writing and the employee given a
copy.

On termination, the employer should keep
the contract for a period of 5 yrs.

Policies are broad guidelines governing
relatively important actions in an
organization.

HR policies can be expressed as overall
statements of the organization philosophy
and of its values.
HR policies enable organizations carry out
their objectives in the desired manner they
create order.

They ensure employees are informed of the
employers expectations.

They protect the common interest of all
parties in the organization
Organizational structure
Employment policy
Human resource development
Staff relations
Benefits policy
Other policies may include: Recruitment,
Selection and Placement policies, Staff Rules
and regulations, Separation policies,
Termination procedures, Communication etc

Is concerned with assisting employees to
develop up-to-date skills, knowledge, and
abilities

Orientation and socialization helps
employees to adapt

Four phases of training and development
Employee training
Employee development
Organization development
Career development
A process of adaptation to a new work role.

Adjustments must be made whenever individuals
change jobs

The most profound adjustment occurs when an
individual first enters an organization.
Induction is normally done during the
probation period that runs for 3-6months.
Orientation may be done by the supervisor,
the HRM staff or some combination.

Formal or informal, depending on the size of
the organization.

Covers such things as:
The organizations objectives
History
Philosophy
Procedures
Rules
HRM policies and benefits
Fellow employees
Employee training
a learning experience designed to achieve a
relatively permanent change in an individual
that will improve the ability to perform on the
job.


Employee development
future-oriented training, focusing on the
personal growth of the employee.
:

On-the-job training methods
Job Rotation
Understudy Assignments

Off-the-job training methods
Classroom lectures
Films and videos
Simulation exercises
Vestibule training
The design of an organizations compensation
system may have a critical impact on the ability
to achieve its strategic goals. The reward
system can influence:

Who is attracted to and/or remains with the
organization
An employees motivation
The organizations operating costs
Efficiency
Quality
Performance
Cost

Fairness

Compliance
Financial rewards include:
wages
bonuses
profit sharing
pension plans
paid leaves
purchase discounts

Non-financial rewards emphasize making life
on the job more attractive; employees vary
greatly on what types they find desirable.
Attract and motivate people with the
necessary characteristics to succeed in their
jobs.

Retain employees who are satisfied.

Reward employees for effort, loyalty,
experience and achievement
Payroll is the sum of all financial records of
salaries for an employee, wages, bonuses and
deductions.
Payroll plays a major role in an organization
for several reasons.
From an accounting perspective
From an ethics in business viewpoint
Good employee morale requires payroll to
be paid timely and accurately
The primary mission of the payroll
department is to ensure that all employees
are paid accurately and timely with the
correct withholdings and deductions

It is a process of continually feeding back to
subordinates information regarding their
work performance.

Purposes of a Performance
Management System
Feedback - let employees know how well they
have done and allow for employee input.

Development identify areas in which
employees have deficiencies or weaknesses.

To Inform staff how their current performance is
being rated

Identify staff who deserve salary increases

Locate staff who need additional training

Identify candidates for promotion
Possibility of advancement often serves
as a major incentive for superior
managerial performance with promotions
being the most significant way to
recognize superior performance.
Promotions should be fair based on
merit and untainted favoritism.
Staff bypassed for promotion frequently
feel resentful which affects morale and
productivity.
It is important to consider discrimination
against women, the aged and minority
groups.

it is important to understand what motivates
people. High performance is achieved by well-
motivated people who are prepared to exercise
discretionary effort.

In order to motivate people, it is important to
appreciate how motivation works.

Motivation and money
Money is a powerful motivating force because it is
linked directly or indirectly to the satisfaction of
many needs.

Money may in itself have no intrinsic meaning, but it
acquires significant motivating power because it
comes to symbolize so many intangible goals
It is important to consider other factors of
motivation other than money.

Is managing and maintaining the
employment relationships which involve
handling pay-work bargain, employment
practices, terms and conditions of
employment, issues arising from employment,
etc.

Employers want engagement and
commitment whereas the employees want a
say in how much they are rewarded, terms
and conditions of employment, security,
healthy and safe work environment etc.


Good employee relationships results into improved
staff morale and commitment, fewer grievances,
increased productivity and better control of labour
costs.

There are three groups of parties to the employment
relationship who duly interact with each other in all
circumstances:
The employers and employees
The umbrella employee representatives (COTU in Kenya)
and umbrella employer representatives (FKE in Kenya)
The state agencies (Ministry of Labour in Kenya).
Other bodies which play a role in the employment
relationship also include:
Staff associations
Employers (industry) associations e.g. KAM
Various institutions and agencies e.g. Human Rights or
gender rights movements
The HR function
Workers indiscipline
Poor working conditions
Managements intolerant attitude towards
workers
Inadequate pay structure
Heavy work loads
Poor attitude of supervisors lack of
human relations skills
Unfair labour practices victimization,
dismissals
Introduction of new technology without
adequate preparation

Is handling grievances should provide a guideline
and the approach in dealing with them.
Employees should:
Be given fair hearing by the immediate
supervisor/management concerning any
grievances they wish to raise.
Have the right to appeal to more senior
management against a decision made by
their immediate supervisor.
Have a right to be accompanied by a
fellow employee of their own choice when
raising a grievance or appealing against a
decision.

It is a requirement by the laws of labour, that
employers provide several types of insurances for
the employees.
In Kenya WIBA is compulsory insurance that
all employers must take for their employees.
These differ in scope and magnitude by
region, by country, by industry/sector and by
organization.

The scope follows what is governmentally
defined but the magnitude is controlled by a
myriad of factors including the organizational
culture, the size of the organization and the
relevance of the defined risks.
The process by which an employee terminates or is
terminated from employment.

There are several ways depending on the
prevailing circumstances, these include:-
Lay offs
Resignation
Dismissal or discharge
Retrenchment
Retirement
Redundancy
Demotion
A staff member can be terminated due to the following
offences but is not restricted to only them.
On grounds of ill health and based on certification by a
recognized medical practitioner

As a result of a consistently unsatisfactory performance, as
outlined in the Staff Policies Manual of the organization.

Absence from duty without leave, or failure to report for
duty at the end of a leave period without valid reasons.

As a result of dishonesty involving organizations property
or misuse of the organizations resources.

Insubordination, acts of sabotage, subversion

Conviction by court of law of a criminal offence

Engagement in activities likely to compromise discipline, or
bring the organization into disrepute.


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