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HUMAN RESOURCE MANAGEMENT- 1

BOOK

HUMAN RESOURCES
&
PERSONNEL MANAGEMENT

By

Williams B. Werther, JR. Keith Davis


PARTS TO BE STUDIED

PART 1 - Challenges & Framework


PART 2 - Preparation & Selection
PART 3 - Development & Evaluation
PART - 1

CHALLENGES & FRAMEWORK

CHAPTER 1 - The Human Resource Framework


CHAPTER 2 - Environmental Challenges
CHAPTER 3 - International Challenges
HUMAN RESOURCES

DEFINITION
It is the set of individuals who make up the workforce of
an organization, business sector or an economy. In other
words , they are the people that staff & operate an
organization, with different Skills, to Achieve the Major Goals
/ Objectives of the Company
PERSONNEL MANAGEMENT

DEFINITION

It is an administrative discipline of hiring & developing employees so


that they become more valuable to the organization. It includes:-
• Conducting job analyses
• Planning personnel needs & recruitment
• Selecting the right people for the job
• Orienting & training
• Determining and managing wages & salaries
• Providing benefits & incentives
• Appraising performance
• Resolving disputes
• Communicating with all employees at all levels
HUMAN RESOURCE MANAGEMENT
DEFINITION
It is the process of managing the people in an organization in a
structured & thorough manner to improve their performance and
achieve major Goals / Targets of the company
OR
It is the organizational function that deals with issues related to
employees such as :-
• Benefits & compensation
• Hiring & recruitment
• Performance management
• Organization development
• Employee motivation
• Communication, training & administration
• Safety, wellness, etc
CHAPTER - 1

THE
HUMAN RESOURCE (HR)
FRAMEWORK
DIAGRAMMATIC VIEW
THE CENTRAL CHALLENGES TO ORGANIZATIONS
Global competitive
challenges

Population-growth Unemployment
challenges challenges

Workforce diversity Social responsibility


challenges Central Challenges: challenge
Better Organizations

Ethical Challenges Medical, food, housing


challenges

Unknown Challenges
TYPES OF HRM OBJECTIVES (Objs)
• Organizational Objs
• HR management contributes to orgl effectiveness
• HR department helps managers to achieve orgl objs
• HR management is a continuous mean of assistance to
the managers of All Divisions to resolve HR issues
• Functional Objs
• HR management maintains the department’s contribution
• HR management serves the org at appropriate level of
orgl need
• HR management, compatible to orgl demands can avoid
the waste of orgl resources
TYPES OF HRM OBJECTIVES (Objs)
• Societal Objs
• Ethically & socially responsible to the needs & challenges of society
• Minimize the negative impacts of ethical & social demands
• Utilization of resources in ethical manner to the benefit of the society
will result in an uninterrupted unfolding / operations

• Personal Objs
• Assist employees to achieve their personal goals, which contribute to
organization
• Help employees to enhance their professional career growth / building
• Prevent dissatisfaction, rather will tower the employees morale &
performance and result in dividends to both (individual & org)
SALIENT FEATURES OF HRM OBJs

• Carefully thought benchmarks/standards/scales


• Reflection of senior management’s intents
• Balancing fundamentals of challenges from the org
• Standards that ensures the towering of org’s
performance, profit, growth & survival
• Implementation of the Govt. Laws/Rules/Standards
PURPOSE OF HRM DEPARTMENT

• To improve productivity contribution of the employees


• To balloon the performance of the organization
• To develop & make the employees responsible:-
– To implement organizational strategy
– To craft ethical arrangement & practice
– To create awareness about social obligations & norms
• To improve individual’s work contributions
• To support the employees in their professional development
• To determine & ensure the organization’s ultimate success and
• To ensure full compliance of the Govt. Laws, Rules and
Standards
KEY ROLE ACTIVITIES OF HR OF A Co.
1. To achieve the purpose & objs of the Co; HR dept helps managers to
obtain, develop, evaluate, maintain & retain the right number & types of
employees
2. HR activities are the actions to render & maintain an appropriate
workforce for the orgs
3. HR dept of small org with limited budget & staff members, simply focuses
on the most important orgl activities
4. HR dept of large org focuses on full service activities and achievement of
corporate major Goals
5. HR dept tries its best to maintain cordial Union-Mangt relations
6. HR dept undertakes training & devlopt of employees/workers
7. HR dept undertakes performance appraisal of each employee & group
8. HR dept prepares its information system for smooth flow of all informn
KEY ROLE ACTIVITIES OF HR
9. As the orgs grow larger, they tend to estimate the future &
subsequent HR need plans through an activity of “Human
Resource Planning” ,which involves “Recruitment”
10. During recruitment process, a pool of applicants is screened via
selection process & selection of individuals done who match
with the needs of the Co; under HR planning
11. Newly selected individuals are oriented & trained to perform
effectively & efficiently
12. Depending the demand the activities like any change,
placement, transfer , promotion, demotion, lay off &
termination of employee is undertaken
KEY ROLE ACTIVITIES OF HR

• The employees development, educates them new knowledge,


skills & abilities which serves in both:-
– Employees continued usefulness to the org
– Employees personal /professional development
– Employees personal advancement
• The individuals performance is appraised/judged which makes
indications that:-
– How well employees performed
– How well HR activities carried out
• HR Dept plays a vital role in peace & particularly disturbed
employees – employers relationship by :-
– Responding to listen & collect employees demands
– Negotiating & administering a labor agreement
KEY ROLE ACTIVITIES OF HR
• HR Dept cater for various employees compensation in the forms
such as:-
– Wages & salaries
– Incentives & benefits
– Rewards & awards
– Punishment & penalties
• HR Dept carries out assessment of employees efficiency &
effectiveness for their continued success
• HR Dept also carries out the control by evaluation of the
effectiveness of each activity matching orgl objs
• HR Dept also ensures full compliance of the Govt. Laws, Rules &
Standards by all sections/divisions of the company
RELATIONSHIP - HRM ACTIVITIES TO
ORGL OBJs
Management Objs Supportive Activities
• Societal Objs • legal
• Benefits
• Union affairs

• Organizational Objs • HR Planning


• Selection
• Training & Development
• Placement
• Appraisal
• Achievement of org goals
• Employ Relationship
RELATIONSHIP - HRM ACTIVITIES
TO ORGL OBJs
Management Objs Supportive Activities
• Functional Objs • Placement
• Appraisal
• Assessment

• Personal Objs
• Training & Development
• Placement
• Appraisal
• Compensation
• Assessment
RESPONSIBILITY OF HR ACTIVITIES
HR RESPONSIBILITIES
• Basic Responsibility: Basically, each manager is responsible for
HR mangt activities. Managers remain involved with planning,
selection, orientation, training, development, evaluation,
compensation & other HR activities
• Dual Responsibilities: in case an HR dept is created, both the
operational managers & HR experts have dual responsibilities for
employees performance
• Delegation Responsibility: In case of serious disruption in their
work due to HR assignments, it may be reassigned or delegated
to another individual / specialised dept
• Full Responsibility: The delegation of such assignments to a
manager does not reduce his responsibilities
RESPONSIBILITY OF HR ACTIVITIES
DEPARTMENTAL COMPONENTS
• Sub Departments / Sections: Responsible to provide specialized services,
recruitment & selection
• Training Wing: Responsible for training & development of staff to achieve
better performance of each employee/group of workers and organizational
goals
• Staff Wing: Responsible for union affairs, welfare, ceremonies & other social
functions
ORGANIZATION OF HR DEPT

President

Sales Manager Chief Accountant Office Manger Production Manager

Human Resource Administrator

Secretary

Clerk Clerk
HIERARCHY- JOB WITHIN LARGE HR
DEPT

President

HOD Vice President of HR

Manager Trg Manager Emply


Middle OR 1st level Manager Manager Manager
& &
Manager Employment Compensation Safety
Development Labour relations

Departmental Workers
Recruiter Analysis Clerks Trainers Specialist Counsellor Others
SERVICE ROLE OF HR DEPT
• Service Dept: HR is a service dept that exists to assist org, its managers workers
• Authority: HR managers and specialists being a member of service dept do not have
the authority to manage other dept
• Staff Authority: HR managers and specialists have staff authority to advise not direct
other managers
• Line Authority: This authority also called the operation managers has the right to
direct the operations of dept that distributes the org ‘s products & services
• Seeking Advice: To avoid the disruptive consequences managers, usually consider the
HR dept’s advice & follow
• Functional Authority: This authority makes the final decision in specified situations &
allows the other dept to make the decisions in cases of highly technical OR routine
decisions such as reward & punishment cases etc; in line with the Standards &
Regulations of the company in order to avoid any disruptive action of the Union.
• Dual Responsibilities: Both HR & line managers are responsible for employees
productivity & as well as quality of work
DIAGRAMMATIC VIEW OF HR DEPT ROLE
HRM MODEL

Framework
& Challenges

Employee Preparation
Relation &
& Selection
Assessment OBJECTIVES
•Societal
•Organizational
•Functional
•Personal

Compensation
Development
& &
Protection Evaluation

SOCIETAL
HRM MODEL

• FRAMEWORK & CHALLENGES


– Central challenge is to asst org in improving its effectiveness & efficiency
– Other challenges pop up from :-
– Within the org such as securing larger budget /shares of org’s resources
– The environment in which the org operates such as domestic & international
competitors or changing demands of the workers
• PREPARATION & SELECTION
– To build a human resource information, the data are gathered about each
job & org’s future HR needs
– Managers using said data can design the jobs making them more
productive & satisfactory
– Estimates of future HR needs enable managers & depts proactive in
recruitment & selection of fresh employees/workforce
HRM MODEL
• DEVELOPMENT & EVALUATION
– New employees are oriented to org’s policies & procedures
– Placed on job & seek both on job & other professional trainings
– Based on information data, the needs are determined for employees
training, development & career counseling exercises
– Formal performance appraisals conducted to evaluate employees perdiclly
• COMPENSATION & PROTECTION
– Modern compensation management goes beyond pay through lucrative
compensation package according to the level of employees productivity
– Orgs protect their employees from occupational hazards through such as
health safety programs & safe work environments
• EMPLOYEE RELATION & ASSESSMENT
– Maintaining an effective workforce is more than a compensation package
– Information communication links are established with employees to satisfy
them & increase the org’s productivity
– Assessments of various situations & integrated relationship prevent the
employees from joining the self helping groups called “Unions”
PROACTIVE VS REACTIVE HRM
SALIENT FEATURES
• Proactive HRM Approach
– Problems are anticipated in each dept/section
– Corrective actions taken before a problem arises
– Effective & efficient solutions are more likely to be found
– A cost effective approach as the prevention takes place before a problem
that may never take place
– Improves / enhances the productivity & conserves the org’s resources
– Imply superior financial performance of the org
• Reactive HRM Approach
– Wait for feedback from managers/employees & then respond
– A costly approach as the cure takes place after problem
– Interrupts the flow of productivity & raise the use of org’s resources
– Involves hiccups in the org’s financial performance
VIEWPOINTS OF HRM
UNDERLYING THEMES /APPROACHES
• Strategic Approach: HR management must contribute in the achievement
of strategic objectives of the org, otherwise resources tend to be wasted
• Human Resource Approach: HR management must pay careful attention to
the needs of employees as priority to ensure the org’s prosper growth
• Management Approach: HR management must serve managers &
employees through its management expertise. The performance of each
worker is the result of supervisor/ manager & HR Dept
• System Approach: HR management takes place within a large system of an
org , therefore, its efforts be evaluated consonant to its contribution to the
org’s productivity
• Proactive Approach: HR management must increase its contribution to the
employees & the organization by anticipating challenges before they arise
THANK YOU

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