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Human Resource
Management
MODULE -1
BBA
 Human resource management is concerned with the development and
implementation of people strategies, which are integrated with corporate
strategies, and ensures that the culture, values and structure of the
organization, and the quality, motivation and commitment of its members
contribute fully to the achievement of its goals.
 Definition: HRM is the process of acquiring, training, appraising, and
compensating employees, and of attending to their labor relations, health
& safety, and fairness concern.
 With the advent of resource centric organizations in recent decades, it has
become imperative to put “people first” as well as secure management
objectives of maximizing the ROI (Return on Investment) on the resources.
 This has led to the development of the modern HRM function which is
primarily concerned with ensuring the fulfillment of management
objectives and at the same time ensuring that the needs of the resources are
taken care of.
 In this way, HRM differs from personnel management not only in its
broader scope but also in the way in which its mission is defined.
 HRM goes beyond the administrative tasks of personnel management and
encompasses a broad vision of how management would like the resources
to contribute to the success of the organization.
 Human Resources are heterogeneous.(Different people, different
personalities, different needs, attitudes and values).
 Human resources are dynamic and behave differently.(They react to
the same situation in quite different ways).
 HR are the most important element in an organization. The effective
utilization of all other resources depend upon the quality ofHR.
 The term HR is wider than the term Personnel. HR include all
dynamic components of all the people at all levels in the
organization, whereas personnel means the employees working in
the organization.
 To help organization attain its goals by providing well trained and well
motivated employees.
 To employ the skills and knowledge of employees efficiently and
effectively, i.e., to utilize HR effectively.
 To enhance job satisfaction of employees by encouraging and assisting
every employee to realize his full potential.
 To establish and maintain productive, self-respecting and internally
satisfying working relationship among all the members of the
organization.
 To bring about maximum development of individuals by providing
opportunities for training and development.
 To maintain high morale and good HR within the organization.
 To help maintain ethical policies and behavior inside and outside the
organization.
 To recognize and satisfy individual needs and group goals by offering
appropriate monetary and non-monetary incentives.
 Traditionally the term personnel management was used to refer to
the set of activities concerning the workforce which included
staffing, payroll, contractual obligations and other administrative
tasks.
 In this respect, personnel management encompasses the range of
activities that are to do with managing the workforce rather than
resources.
 Personnel Management is more administrative in nature and the
Personnel Manager’s main job is to ensure that the needs of the
workforce as they pertain to their immediate concerns are taken
care of.
 Further, personnel managers typically played the role of mediators
between the management and the employees and hence there was
always the feeling that personnel management was not in tune
with the objectives of the management.
1. The procurement function- obtaining of a proper kind
and number of personnel necessary to accomplish an
organization’s goals.
2. The development function- personnel development of
employees, training.
3. The compensating function- securing adequate and
equitable remuneration to personnel.
4. The Integration function- an “integration” of human
resources with organization through job enlargement, job
evaluation, variable compensation plans, disciplinary
action programs.
5. The maintenance function- maintaining the physical
conditions of employees (health and safety measures) and
employee service programs.
As managers none of us would like to make the following mistakes:
 To hire the wrong person for the job.
 To experience high turnover .
 To find our people not doing their best.
 To waste time with countless and useless interviews.
 To be quoted under bad example of unsafe practices.
 To have some of your employees think their salaries are unfair and
inequitable relative to others in the organization.
 To allow a lack of training to undermine your department's effectiveness
 To commit any unfair labor practices .
The Industrial Revolution
Trade Unionism
Scientific Management
Industrial Psychology
HR Movement
Behavioral Science
Employee
Welfare
 The Industrial Revolution: Development of Machinery, Linking
power to machines, establishing factories etc.
 Trade Union: Workers formed their unions to improve their lots so
that management could be forced to redress grievances.
 Scientific Management: F.W.Taylor: (a) development of a true
science.(b) Scientific selection and training of workers.(C)
Friendly cooperation between management and workers.(d)
Development of every worker to hid fullestpotential.
 Industrial Psychology: It stressed on matching of employees skills
with job. Contributions made to analyze the jobs in terms of their
mental and emotional requirement and development of testing
devices.
 HR Movement: Researches focused on the attitude and feelings of
workers and their influence on productivity. The role of informal
groups in industry were highlighted. It was suggested that
interpersonal relationships should be improved.
 Behavioral Science: Research in anthropology
, sociology, psychology, etc. has provided the subject matter for
HRM. Behavioral Science era led to the development of new
techniques of motivation and leadership e.g., employee
participation, 2 way communication, management by objectives
etc.
 Employee welfare: With the dawn of welfare era, scope of HRM
increased. It is not only concerned now with recruitment,
selection, and training of employees. It manages employee
benefits programmes and industrial relations system in industry.
Staffing
Training and Development
Motivation
Maintenance
Managerial
Function
Operative
Function
Planning
Organizing
Directing
Controlling
Procurement
Development
Compensation
Integration
Maintenances
Job Analysis
HR Planning
Recruitment
Selection
Placement
Induction
Transfer
Promotion
Separation
Performance Appraisal
Training
Executive Development
Career Planning &
Development
Job Evaluation
Wage & Salary
Administration
Bonus & Incentives
Payroll
Motivation
Job Satisfaction
Grievance Redressal
Collective Bargaining
Conflict Management
Employees’ Partiicipation
Discipline
Health
Safety
Social Security
Welfare Schemes
HR Records
HR Research
HR Audit
 Staffing - Process through which organization ensures it always has
proper number of employees with appropriate skills in right jobs at right
time to achieve organizational objectives.
 Job analysis - Systematic process of determining skills, duties, and
knowledge required for performing jobs inorganization.
 Human resource planning - Systematic process of matching the internal
and external supply of people with job openings anticipated in the
organization over a specified period of time .
 Recruitment - Process of attracting individuals on a timely basis, in
sufficient numbers, and with appropriate qualifications, to apply for jobs
with an organization.
 Selection - Process of choosing from a group of applicants the individual
best suited for a particular position and the organization.
The Changing Environment of
HRM
Companies dealing across the nation : Sony, Apple, Nike, Mercedes
Benz, Infosys, TCS etc.
Benefits to the consumer: Variety of products and services at
low cost (Ex: From computer to car).
Threat: More competent and knowledgeable people required,
Outsourced from other countries.
Ex: Indian IITS, Engineers move abroad for projects.
Strategic HRM
Creating High-Performance Work system
Managing technology
What is a Policy:
 A policy is a predetermined course of action established as a guide toward
accepted objectives and strategies of the organization.
 A vision is formulated, business processes are analyzed, and policy and
procedure systems to support the vision are born. As policies and
procedures are written, approved, published, and implemented, the
company’s vision is articulated.
Manpower planning
 Manpower Planning which is also called as
Human Resource Planning consists of putting
right number of people, right kind of people at the
right place, right time, doing the right things for
which they are suited for the achievement of goals
of the organization. Human Resource Planning
has got an important place in the arena of
industrialization. Human Resource Planning has
to be a systems approach and is carried out in a set
procedure.
Need of Manpower Planning
1. Shortages and surpluses can be identified so that quick action can
be taken wherever required.
2. All the recruitment and selection programmes are based on
manpower planning.
3. It also helps to reduce the labour cost as excess staff can be
identified and thereby overstaffing can be avoided.
4. It also helps to identify the available talents in a concern and
accordingly training programmes can be chalked out to develop
those talents.
5. It helps in growth and diversification of business. Through
manpower planning, human resources can be readily available and
they can be utilized in best manner.
6. It helps the organization to realize the importance of manpower
management which ultimately helps in the stability of a concern.
Objectives of manpower
planning
 Demonstrate skills in conducting training needs analysis.
 Formulate strategies for addressing identified training needs, prepare
and design training modules and develop curriculum for training
course and cost estimates.
 Demonstrate the abilities to have the human resources development
plan approved by the appropriate decision making body.
 Design different training programmes to meet specific needs of
particular group.
 Formulate detailed implementation schedule.
 Design evaluation tool.
 Implement training and development activities, programmes and
plans.
 Write a professional report.
 Demonstrate knowledge on using relevant analytical tools for planning.
 Policy manuals are developed to help staff and management teams run
the organization.
 In best use situations, policies play a strategic role in anorganization.
 They are developed in light of the mission and objectives of the company
and they become the media by which management’s plans, rules, intents,
and business processes become documented and communicated to all
staff.
 Carefully drafted and standardized policies and procedures save the
company countless hours of management time.
 The consistent use and interpretation of such policies, in an evenhanded
and fair manner, reduces management's concern about legal issues
becoming legal problems.
 To provide fair, acceptable & efficient leadership
 To provide an opportunity for expansion & voice in management
 To strengthen & appreciate the human assets continuously by providing
training & developmental programs
 To provide facilities & conditions of work & creation of favorable
atmosphere for maintaining stability of employment
 To attain an effective utilization of human resources in the achievement
of organizational goals, etc
Employment Policies
These are the policies that guide hiring practices, orientation of new
employees, compliance with employment laws, and confidentiality.
Employment Status & Records
These are the policies that define such issues as employment
classifications, access to personnel files and guidance on how
background checks and performance reviews are to be performed.
Employee Benefits
These are policies that explain employee benefits such as insurance,
vacations, holidays, leave, and employee reimbursements.
Payroll
These are policies that are related to salary and wage administration
including deductions, pay advances, and time keeping.
Workplace Guidelines
These policies are quite varied and their purpose range from defining
certain work arrangements such as flex time and telecommuting to offering
guidelines on the use of company assets and record retention.
Employee Conduct
These policies are guidelines that control employer behavior and conduct
on the job. The mainstay of this section is a code of conduct but also
important are policies regarding substance abuse, smoking, harassment, and
workplace violence.
E-Policies
These policies guide staff in the use of the organization’s information
technology. Policies defining acceptable and prohibited activities and use of
e-mail and the Internet make up a majority of these policies
Human Resource Management

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Human Resource Management

  • 2.  Human resource management is concerned with the development and implementation of people strategies, which are integrated with corporate strategies, and ensures that the culture, values and structure of the organization, and the quality, motivation and commitment of its members contribute fully to the achievement of its goals.  Definition: HRM is the process of acquiring, training, appraising, and compensating employees, and of attending to their labor relations, health & safety, and fairness concern.
  • 3.  With the advent of resource centric organizations in recent decades, it has become imperative to put “people first” as well as secure management objectives of maximizing the ROI (Return on Investment) on the resources.  This has led to the development of the modern HRM function which is primarily concerned with ensuring the fulfillment of management objectives and at the same time ensuring that the needs of the resources are taken care of.  In this way, HRM differs from personnel management not only in its broader scope but also in the way in which its mission is defined.  HRM goes beyond the administrative tasks of personnel management and encompasses a broad vision of how management would like the resources to contribute to the success of the organization.
  • 4.  Human Resources are heterogeneous.(Different people, different personalities, different needs, attitudes and values).  Human resources are dynamic and behave differently.(They react to the same situation in quite different ways).  HR are the most important element in an organization. The effective utilization of all other resources depend upon the quality ofHR.  The term HR is wider than the term Personnel. HR include all dynamic components of all the people at all levels in the organization, whereas personnel means the employees working in the organization.
  • 5.  To help organization attain its goals by providing well trained and well motivated employees.  To employ the skills and knowledge of employees efficiently and effectively, i.e., to utilize HR effectively.  To enhance job satisfaction of employees by encouraging and assisting every employee to realize his full potential.  To establish and maintain productive, self-respecting and internally satisfying working relationship among all the members of the organization.  To bring about maximum development of individuals by providing opportunities for training and development.  To maintain high morale and good HR within the organization.  To help maintain ethical policies and behavior inside and outside the organization.  To recognize and satisfy individual needs and group goals by offering appropriate monetary and non-monetary incentives.
  • 6.  Traditionally the term personnel management was used to refer to the set of activities concerning the workforce which included staffing, payroll, contractual obligations and other administrative tasks.  In this respect, personnel management encompasses the range of activities that are to do with managing the workforce rather than resources.  Personnel Management is more administrative in nature and the Personnel Manager’s main job is to ensure that the needs of the workforce as they pertain to their immediate concerns are taken care of.  Further, personnel managers typically played the role of mediators between the management and the employees and hence there was always the feeling that personnel management was not in tune with the objectives of the management.
  • 7. 1. The procurement function- obtaining of a proper kind and number of personnel necessary to accomplish an organization’s goals. 2. The development function- personnel development of employees, training. 3. The compensating function- securing adequate and equitable remuneration to personnel. 4. The Integration function- an “integration” of human resources with organization through job enlargement, job evaluation, variable compensation plans, disciplinary action programs. 5. The maintenance function- maintaining the physical conditions of employees (health and safety measures) and employee service programs.
  • 8. As managers none of us would like to make the following mistakes:  To hire the wrong person for the job.  To experience high turnover .  To find our people not doing their best.  To waste time with countless and useless interviews.  To be quoted under bad example of unsafe practices.  To have some of your employees think their salaries are unfair and inequitable relative to others in the organization.  To allow a lack of training to undermine your department's effectiveness  To commit any unfair labor practices .
  • 9. The Industrial Revolution Trade Unionism Scientific Management Industrial Psychology HR Movement Behavioral Science Employee Welfare
  • 10.  The Industrial Revolution: Development of Machinery, Linking power to machines, establishing factories etc.  Trade Union: Workers formed their unions to improve their lots so that management could be forced to redress grievances.  Scientific Management: F.W.Taylor: (a) development of a true science.(b) Scientific selection and training of workers.(C) Friendly cooperation between management and workers.(d) Development of every worker to hid fullestpotential.  Industrial Psychology: It stressed on matching of employees skills with job. Contributions made to analyze the jobs in terms of their mental and emotional requirement and development of testing devices.  HR Movement: Researches focused on the attitude and feelings of workers and their influence on productivity. The role of informal groups in industry were highlighted. It was suggested that interpersonal relationships should be improved.
  • 11.  Behavioral Science: Research in anthropology , sociology, psychology, etc. has provided the subject matter for HRM. Behavioral Science era led to the development of new techniques of motivation and leadership e.g., employee participation, 2 way communication, management by objectives etc.  Employee welfare: With the dawn of welfare era, scope of HRM increased. It is not only concerned now with recruitment, selection, and training of employees. It manages employee benefits programmes and industrial relations system in industry.
  • 16. Job Evaluation Wage & Salary Administration Bonus & Incentives Payroll
  • 17. Motivation Job Satisfaction Grievance Redressal Collective Bargaining Conflict Management Employees’ Partiicipation Discipline
  • 18. Health Safety Social Security Welfare Schemes HR Records HR Research HR Audit
  • 19.  Staffing - Process through which organization ensures it always has proper number of employees with appropriate skills in right jobs at right time to achieve organizational objectives.  Job analysis - Systematic process of determining skills, duties, and knowledge required for performing jobs inorganization.  Human resource planning - Systematic process of matching the internal and external supply of people with job openings anticipated in the organization over a specified period of time .  Recruitment - Process of attracting individuals on a timely basis, in sufficient numbers, and with appropriate qualifications, to apply for jobs with an organization.  Selection - Process of choosing from a group of applicants the individual best suited for a particular position and the organization.
  • 21. Companies dealing across the nation : Sony, Apple, Nike, Mercedes Benz, Infosys, TCS etc.
  • 22. Benefits to the consumer: Variety of products and services at low cost (Ex: From computer to car). Threat: More competent and knowledgeable people required, Outsourced from other countries. Ex: Indian IITS, Engineers move abroad for projects.
  • 23. Strategic HRM Creating High-Performance Work system Managing technology
  • 24. What is a Policy:  A policy is a predetermined course of action established as a guide toward accepted objectives and strategies of the organization.  A vision is formulated, business processes are analyzed, and policy and procedure systems to support the vision are born. As policies and procedures are written, approved, published, and implemented, the company’s vision is articulated.
  • 25. Manpower planning  Manpower Planning which is also called as Human Resource Planning consists of putting right number of people, right kind of people at the right place, right time, doing the right things for which they are suited for the achievement of goals of the organization. Human Resource Planning has got an important place in the arena of industrialization. Human Resource Planning has to be a systems approach and is carried out in a set procedure.
  • 26. Need of Manpower Planning 1. Shortages and surpluses can be identified so that quick action can be taken wherever required. 2. All the recruitment and selection programmes are based on manpower planning. 3. It also helps to reduce the labour cost as excess staff can be identified and thereby overstaffing can be avoided. 4. It also helps to identify the available talents in a concern and accordingly training programmes can be chalked out to develop those talents. 5. It helps in growth and diversification of business. Through manpower planning, human resources can be readily available and they can be utilized in best manner. 6. It helps the organization to realize the importance of manpower management which ultimately helps in the stability of a concern.
  • 27. Objectives of manpower planning  Demonstrate skills in conducting training needs analysis.  Formulate strategies for addressing identified training needs, prepare and design training modules and develop curriculum for training course and cost estimates.  Demonstrate the abilities to have the human resources development plan approved by the appropriate decision making body.  Design different training programmes to meet specific needs of particular group.  Formulate detailed implementation schedule.  Design evaluation tool.  Implement training and development activities, programmes and plans.  Write a professional report.  Demonstrate knowledge on using relevant analytical tools for planning.
  • 28.  Policy manuals are developed to help staff and management teams run the organization.  In best use situations, policies play a strategic role in anorganization.  They are developed in light of the mission and objectives of the company and they become the media by which management’s plans, rules, intents, and business processes become documented and communicated to all staff.  Carefully drafted and standardized policies and procedures save the company countless hours of management time.  The consistent use and interpretation of such policies, in an evenhanded and fair manner, reduces management's concern about legal issues becoming legal problems.
  • 29.  To provide fair, acceptable & efficient leadership  To provide an opportunity for expansion & voice in management  To strengthen & appreciate the human assets continuously by providing training & developmental programs  To provide facilities & conditions of work & creation of favorable atmosphere for maintaining stability of employment  To attain an effective utilization of human resources in the achievement of organizational goals, etc
  • 30. Employment Policies These are the policies that guide hiring practices, orientation of new employees, compliance with employment laws, and confidentiality. Employment Status & Records These are the policies that define such issues as employment classifications, access to personnel files and guidance on how background checks and performance reviews are to be performed. Employee Benefits These are policies that explain employee benefits such as insurance, vacations, holidays, leave, and employee reimbursements. Payroll These are policies that are related to salary and wage administration including deductions, pay advances, and time keeping.
  • 31. Workplace Guidelines These policies are quite varied and their purpose range from defining certain work arrangements such as flex time and telecommuting to offering guidelines on the use of company assets and record retention. Employee Conduct These policies are guidelines that control employer behavior and conduct on the job. The mainstay of this section is a code of conduct but also important are policies regarding substance abuse, smoking, harassment, and workplace violence. E-Policies These policies guide staff in the use of the organization’s information technology. Policies defining acceptable and prohibited activities and use of e-mail and the Internet make up a majority of these policies