1. HUMAN RESOURCES DEVELOPMENT
A METHODOLOGY FOR ORGANISATIONAL CLIMATE ESTIMATION

2. OFTEN ASKED QUESTIONS ? Are we in the right business ?
Do we have the right people ?
Are we in the right industries ?
Are we in the right states ?
Given the same country climate, why are we where we are ?
is it because we have/lack
Purpose
Values
Standards of behaviour
Strategy

3. Organisations are driven by human capital and it is crucial to have a scientific look at this factor of production

4. HRM & HRD
HRM
- deals with optimum utilization of human capital integrative & supportive
HRD
- deals with development and upgradation of human capital

5. HRM takes the stock of human capital as given and tries to optimally allocate it among different processes/activities such that output is maximized.
HRD tries to bring about qualitative changes in this stock of human capital in accordance with the needs of the organization and corporate objectives. It tries to mould the stock as per requirements.

6. Why Study Human Resources Management
Human Resources Management (HRM)
The process of managing human resources (human capital and intellectual assets) to achieve an organization’s objectives.
“Why Study HRM?”
Staffing the organization, designing jobs and teams, developing skillful employees, identifying approaches for improving their performance, and rewarding employee successes—all typically labeled HRM issues—are as relevant to line managers as they are to managers in the HR department.

7. OPERATIVE FUNCTIONS OF HRM
AN ILLUSTRATION
MANAGERIAL FUNCTIONS
OF HRM
OBJECTIVES & POLICIES
OF HRM
OPERATIVE FUNCTIONS OF HRM
COMPENSATION
MGT
EMPLOYMENT
HR DEV
HUMAN RELATIONS
Org design
Perf. app
Planning
Motivaton
Job eva
Training
Morale
Recruitment
Job design
Wage
Career pl
Job satisfaction
Selection
Perks
Communication
Induction
Job analysis
Quality of life
Grievance
Placement
Discp. action

8. Manage the Budget Allocate Budget Project planning Implement Monitor
expenses
Manage the team
Liaise with
Other Depts.
Development
Schedule of
implementation
Appraisal
Get strategy
vetted by Board
Move the Committee
Manager’s Mind Map
Sanction
Monitoring
Report
preparation
Processing
Outgo of funds
Manage enquiries
Design appropriate
Instruments
Deal with
customers
Detailing

9. Human Resources Management

10. Recruitment

11. Recruitment
The process by which a job vacancy is identified and potential employees are notified.
The nature of the recruitment process is regulated and subject to employment law.
Main forms of recruitment through advertising in newspapers, magazines, trade papers and internal vacancy lists.

12. Recruitment Job description – outline of the role of the job holder
Person specification – outline of the skills and qualities required of the post holder
Applicants may demonstrate their suitability through application form, letter or curriculum vitae (CV)

13. Selection

14. Selection
The process of assessing candidates and appointing a post holder
Applicants short listed – most suitable candidates selected
Selection process – varies according to organisation:

15. Selection Interview – most common method
Psychometric testing – assessing the personality of the applicants – will they fit in?
Aptitude testing – assessing the skills of applicants
In-tray exercise – activity based around what the applicant will be doing, e.g. writing a letter to a disgruntled customer
Presentation – looking for different skills as well as the ideas of the candidate

16. Employment Legislation

17. Employment Legislation
Increasingly important aspect of the HRM role
Wide range of areas for attention
Adds to the cost of the business
Even in a small business, the legislation relating to employees is important – chemicals used in a hairdressing salon for example have to be carefully stored and handled to protect employees.

18. Discrimination Crucial aspects of employment legislation: Race Gender
Disability
Disability is no longer an issue for employers to ignore, they must take reasonable steps to accommodate and recruit disabled workers.
Copyright: Mela,

19. Discipline

20. Discipline Firms cannot just ‘sack’ workers
Wide range of procedures and steps in dealing with workplace conflict
Informal meetings
Formal meetings
Verbal warnings
Written warnings
Grievance procedures
Working with external agencies

21. Development

22. Development
Developing the employee can be regarded as investing in a valuable asset
A source of motivation
A source of helping the employee fulfil potential

23. Training

24. Training Similar to development: Provides new skills for the employee
Keeps the employee up to date with changes in the field
Aims to improve efficiency
Can be external or ‘in-house’

25. Rewards Systems

26. Rewards Systems
The system of pay and benefits used by the firm to reward workers
Money not the only method
Fringe benefits
Flexibility at work
Holidays, etc.

27. Trade Unions

28. Trade Unions
Importance of building relationships with employee representatives
Role of Trade Unions has changed
Importance of consultation and negotiation and working with trade unions
Contributes to smooth change management and leadership

29. Productivity

30. Productivity Measuring performance:
How to value the workers contribution
Difficulty in measuring some types of output – especially in the service industry
Appraisal
Meant to be non-judgmental
Involves the worker and a nominated appraiser
Agreeing strengths, weaknesses and ways forward to help both employee and organisation

31. Figure 1–4 Productivity Enhancements

32. Summary of HR Functions

33. Recent Trends in Human Resource Management

34. Competitive Challenges and HRM
The most pressing competitive issues facing firms:
Going global
Embracing new technology
Managing change
Managing talent, or human capital
Responding to the market
Containing costs

35. Competitive Advantage through People
Core Competencies
Integrated knowledge sets within an organization that distinguish it from its competitors and deliver value to customers.
Sustained competitive advantage through people is achieved if these human resources:
Have value.
Are rare and unavailable to competitors.
Are difficult to imitate.
Are organized for synergy.

36. Challenge 1: Going Global (cont’d)
Corporate Social Responsibility
The responsibility of the firm to act in the best interests of the people and communities affected by its activities
Impact on HRM
Different geographies, cultures, laws, and business practices
Issues:
Identifying capable managers and workers
Developing foreign culture and work practice training programs.
Adjusting compensation plans for overseas work

37. Challenge 1: Going Global
Globalization
The trend toward opening up foreign markets to international trade and investment
Impact of globalization
“Anything, anywhere, anytime” markets
Partnerships with foreign firms
Lower trade and tariff barriers
NAFTA, EU, APEC trade agreements
WTO and GATT

38. Challenge 2: Embracing New Technology
Knowledge Workers
Workers whose responsibilities extend beyond the physical execution of work to include planning, decision making, and problem solving.
Knowledge-Based Training
Online instruction
“Just-in-time” learning via the Internet on company intranets

39. Influence of Technology in HRM
Human Resources Information System (HRIS)
A computerized system that provides current and accurate data for the purposes of control and decision making.
Benefits:
Store and retrieve of large quantities of data.
Combine and reconfigure data to create new information.
Institutionalization of organizational knowledge.
Easier communications.
Lower administrative costs, increased productivity and response times.

40. HRM IT Investment Factors
Fit of the application to the firm’s employee base.
Ability to upgrade Increased efficiency and time savings
Compatibility with current systems
Availability of technical support
Time required to implement and train staff members to use HRIS
Initial and annual maintenance costs
Training time required for HR and payroll

41. Challenge 3: Managing Change
Types of Change
Reactive change
Change that occurs after external forces have already affected performance
Proactive change
Change initiated to take advantage of targeted opportunities
Managing Change through HR
Formal change management programs help to keep employees focused on the success of the business.

42. Challenge 4: Managing Talent, or Human Capital
The knowledge, skills, and capabilities of individuals that have economic value to an organization.
Valuable because capital:
is based on company-specific skills.
is gained through long-term experience.
can be expanded through development.

43. Challenge 5: Responding to the Market
Total Quality Management (TQM)
A set of principles and practices whose core ideas include understanding customer needs, doing things right the first time, and striving for continuous improvement.
Six Sigma
A process used to translate customer needs into a set of optimal tasks that are performed in concert with one another.

44. Challenge 5: Responding to the Market (cont’d)
Reengineering and HRM
Fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in cost, quality, service, and speed.
Requires that managers create an environment for change.
Depends on effective leadership and communication processes.
Requires that administrative systems be reviewed and modified.

45. Challenge 6: Containing Costs
Downsizing
The planned elimination of jobs (“head count”).
Layoffs
Outsourcing
Contracting outside the organization to have work done that formerly was done by internal employees.
Offshoring
The business practice of sending jobs to other countries.

46. HR-Leadership: emerging models
LEADS MODEL L E A D S
LISTENING
EMPOWERING
ADAPTING
DELIVERING
SELF-UNDERSTANDING

47. HR-Leadership: emerging models
GROW MODEL G R O W
GOALS
REALITY
OPTIONS
WILL

48. HR_Leadership: emerging models
BOOST MODEL B O S T
BALANCE
OBSERVE
OWNERSHIP
SPECIFIC
TIME

49. Thank You