Human Resources Management notes for BBA-III-Semester of Osmania University-2017

1. HUMAN RESOURCE
MANAGEMENT
PRESENTED BY
K.BALASRI PRASAD
B.Sc(KU), M.B.A(OU), NET(UGC)
ASSOCIATE PROFESSOR IN MANAGEMENT

2. UNIT II
Acquiring Human Resources: - Human Resource
Planning and Alignment – Job Analysis and Design,
Job Description, Job Specification and Job Evaluation, Job-
Restructuring – Job Rotation, Job Enlargement and Job
Enrichment. Recruitment and Selection – Placement –
Induction and Orientation. Line and Staff.

3. 3
Human Resource PlanningHuman Resource Planning
and Alignmentand Alignment

4. Ensuring the Fit (Alignment) between
HR and Organization Strategy
External Fit (or External Alignment)
Focuses on the connection between the business objectives and
the major initiatives in HR.
Internal Fit (or Internal Alignment)
Aligning HR practices with one another to establish a
configuration that is mutually reinforcing.

5. Strategic Flexibility
Organizational Capability
Capacity of the organization to act and change in pursuit of
sustainable competitive advantage.
Coordination flexibility
The ability to rapidly reallocate resources to new or changing needs.
Resource flexibility
Having human resources who can do many different things in different
ways.

6. Human Resource Planning (HRP)
Is the first component of HRM strategy
All other functional HR activities are derived from and flow out
of the HRP process.
Has its basis in considerations of future HR requirements in light
of present HR capabilities.
Is proactive in anticipating and preparing flexible responses to
changing HR requirements.
Has both an internal and external focus.

7. HR Planning Issues
Staffing Questions:
How do we manage staffing in times of recession or
expansion?
What impact does technology change, mergers or
relocation have on staffing issues?
Do we always have the right people in the right jobs at the
right time?
How do we get our human resources: buy them or make
them or both?

8. Major Objectives of HRP
Preventing understaffing and overstaffing
Ensure the organization has the right employees with the
right skills at the right place at the right time
Ensure the organization is responsive to changes in its
environment
Provide direction and coherence to all HR activities and
systems

9. Types of Planning
Aggregate Planning
Anticipating the needs for groups of employees in specific, usually lower
level jobs and the general skills employees will need to ensure sustained
high performance.
Succession Planning
Focuses on ensuring that key individual management positions in the
organization remain filled with individuals who provide the best fit for
these critical positions.

10. FORECASTING DEMANDFORECASTING DEMANDFORECASTING DEMANDFORECASTING DEMAND
Human Resource Planning Model
ConsiderationsConsiderations
• TechnologyTechnology
• Financial resourcesFinancial resources
• Organizational growthOrganizational growth
• Mgmt. philosophyMgmt. philosophy
ConsiderationsConsiderations
• TechnologyTechnology
• Financial resourcesFinancial resources
• Organizational growthOrganizational growth
• Mgmt. philosophyMgmt. philosophy
TechniquesTechniques
• Trend analysisTrend analysis
• ManagerialManagerial
estimatesestimates
• Delphi techniqueDelphi technique
TechniquesTechniques
• Trend analysisTrend analysis
• ManagerialManagerial
estimatesestimates
• Delphi techniqueDelphi technique
TechniquesTechniques
• HR inventoriesHR inventories
• Markov analysisMarkov analysis
• Skill inventoriesSkill inventories
• Replacement chartsReplacement charts
• Succession PlanningSuccession Planning
TechniquesTechniques
• HR inventoriesHR inventories
• Markov analysisMarkov analysis
• Skill inventoriesSkill inventories
• Replacement chartsReplacement charts
• Succession PlanningSuccession Planning
ExternalExternal
ConsiderationsConsiderations
• Wkforce changesWkforce changes
• MobilityMobility
• Govt policiesGovt policies
• UnemploymentUnemployment
ExternalExternal
ConsiderationsConsiderations
• Wkforce changesWkforce changes
• MobilityMobility
• Govt policiesGovt policies
• UnemploymentUnemployment
FORECASTING SUPPLYFORECASTING SUPPLYFORECASTING SUPPLYFORECASTING SUPPLY
BALANCINGBALANCING
SUPPLY ANDSUPPLY AND
DEMANDDEMAND
BALANCINGBALANCING
SUPPLY ANDSUPPLY AND
DEMANDDEMAND
(Shortage)(Shortage)
RecruitmentRecruitment
Full-time / Part-timeFull-time / Part-time
(Shortage)(Shortage)
RecruitmentRecruitment
Full-time / Part-timeFull-time / Part-time
(Surplus)(Surplus)
ReductionsReductions
• LayoffsLayoffs
• TerminationsTerminations
• DemotionsDemotions
• RetirementsRetirements
(Surplus)(Surplus)
ReductionsReductions
• LayoffsLayoffs
• TerminationsTerminations
• DemotionsDemotions
• RetirementsRetirements

11. Quantitative Approach: Trend Analysis
Forecasting labor demand based on an organizational index:
Select a business factor, e.g. sales, that best predicts human resources
needs.
Plot the business factor in relation to the number of employees to
determine average labor productivity.
Compute labor productivity for the past five years.
Project human resources demand out to the target year(s).

12. Example of Trend Analysis of HR Demand
1999 Rs. 2,935 8.34 352
2000 Rs. 3,306 10.02 330
2001 Rs. 3,613 11.12 325
2002 Rs. 3,748 11.12 337
2003 Rs. 3,880 12.52 310
2004 Rs. 4,095 12.52 327
2005* Rs. 4,283 12.52 342
2006* Rs. 4,446 12.52 355
BUSINESS LABOR HR
FACTOR PRODTY
DEMAND
YEAR (SALES IN ‘000) (SALES/EMPLOYEE) (NO. OF EMPLOYEES)
*Projected figures
÷ =

13. Qualitative Approaches to Demand Forecasting
Management Forecasts
The opinions (judgments) of supervisors, department managers, experts,
or others knowledgeable about the organization’s future employment
needs.
Delphi Technique
An attempt to decrease the subjectivity of forecasts by soliciting and
summarizing the judgments of a preselected group of individuals.
The final forecast represents a composite group judgment.

14. Internal Supply Forecasting ToolsSkill Inventories
Files of personnel education, experience, interests, skills, etc.,
that allow managers to quickly match job openings with
employee backgrounds.
Replacement Charts
Listings of current jobholders and persons who are potential
replacements if an opening occurs.

15. Forecasting Supply of Employees: External
Labor Supply
Factors Influencing the External Labor Supply:
Demographic changes in the population
National and regional economics
Education level of the workforce
Demand for specific employee skills
Population mobility
Governmental policies

16. Sources of Information About External Labor
Markets
Department of Labor publications
State and local planning and development agencies
Chambers of Commerce
Industry and trade group publications
State and local employment agencies

17. Elements of The HR Plan
Acquisition of personnel
Effective Utilization
redeployment
methods improvement
training to prevent obsolescence
Development and Improvement
broad-based training and development
performance management systems
Retention
proper remuneration
long-term career planning
healthy employee relations
good working environment

18. Requisites for Successful HRP
HRP must be seen as equally vital as business planning
Top-management support
Periodic review and revision of the forecasting techniques and the
forecasts
Without long range planning concentration becomes focussed on
short-term needs resulting in “crisis management” reactions
Active involvement of line managers and co-ordination between line
managers and HR function

19. Job Analysis
A systematic process of gathering information about work, jobs and
the relationships among jobs.
The chronological steps in effective Work/Job analysis:
1.What are the required outcomes/measures for assessing strategy
execution.
2. What are the essential tasks , activities, behaviours required to
meet or exceed the requirements.
3. What are the necessary knowledges, skills, abilities and other
characteristics or competencies required to perform the activities.
4. How are Jobs/Work be defined? Where does the work get done
to maximize efficiency /effectiveness?

20. Job Analysis contd…….
The critical competencies like Knowledge, Abilities, Skills and
other characteristics (KASOCs) necessary to perform the tasks
must be identified.
Knowledge refers to an organized body of information, usually of a
factual or procedural nature applied directly to the performance of a
function.
An Ability refers to demonstrated competence to perform an
observable behaviour or a behaviour that results in an observable
product.
A Skill is a competence to perform a learned, psychomotor act, and
may include manual, verbal or mental manipulation of data, people,
or things.

21. Job Analysis contd…….
Other personal characteristics include various personality
characteristics , attitudes, or physical or mental competencies needed
to perform the job.
Major Goals for Job Analysis:
Job Analysis should be the description of observables .
Job Analysis should describe work behaviour independent of the
personal characteristics of particular people who perform the job.
Job Analysis data must be verifiable and reliable.

22. Major Job Analysis products:
There are numerous products that can be derived from Job
Analysis.
The most frequently and commonly used products include ‘Job
Description’ and ‘Job Specification’.
Job Description:
It defines the job in terms of its content and scope.
Include information on job duties, tasks, activities, behaviours,
and/or responsibilities.
An identification of critical internal and external customers,
equipment to be used on the job, working conditions,
relationships with co-workers, and the extent of supervision
required is also typical in Job Description.

23. Major Job Analysis products contd….
Job Specification:
Job Specification consist of KASOCs needed to carry out the
job tasks and duties. Specific educational requirements (Ex:
MBA), certifications or licenses or other qualifications are often
stipulated as job specifications.
Job Design:
Work analysis is also used to redesign jobs and to determine how jobs
relate to one another.
Job Design deals with the allocation and arrangement of organizational
work activities and tasks into sets where a singular set of activities
constitutes a ‘job’ and is performed by the job incumbent. Job
restructuring or redesign consists of reallocation or rearrangement of the
work activities into different sets.

26. JOBJOB
EVALUATIEVALUATI
ONON

27. • A job evaluation is a systematic way of
determining the value/worth of a job in
relation to other jobs in an organization.
• It tries to make a systematic comparison
between jobs to access their relative worth for
the purpose of establishing a rational pay
structure.

28. MERITS OF J/E
•Harmonious relationship between employees
and manager.
•Standardization
•Relevance of new jobs
•Specialization
•Helps in selection of employees

29. DEMERITS OF J/E
•Problem of adjustment
•Unrealistic
•Organisational Limitations
•Opposition by workers
•Subjective

30. JOB EVALUATION HELPS FOLLOWING
PURPOSES:
 It helps in devising an acceptable wage.
 It helps in the proper placement of workers in job.
 It helps the personnel department to recruit the right person for
a job since requirement of each job are clearly indicated.
 It helps in formulating the internal training plan.
 It helps to avoid wage and other discrimination for similar jobs
in same organisation or a group of organisations under the same
management.

31. METHODS OF Job
Evaluation
•Qualitative Method
• Ranking or Job Comparison
• Grading or Job Classification
•Quantitative Method
• Point Rating
• Factor Comparison

32. 1. RANKING METHOD
• Simplest form
• Each job as a whole is compared
with other and this comparison of
jobs goes on until all the jobs
have been evaluated and
ranked.
• All jobs are ranked in the order of
their importance from the
simplest to the hardest or from
the highest to the lowest.

34. 2. GRADING METHOD
• Also known as classification method
• A job grade is defined as a group of
different jobs of similar difficulty or
requiring similar skills to perform
them.
• Job grades are determined on the
basis of information derived from job
analysis.
• The grades or classes are created by
identifying some common
denominator such as skills, knowledge
and responsibilities.

36. 3. POINT RATING
• Jobs are broke down based on
various identifiable factors such as
skill, effort, training, knowledge,
hazards, responsibility, etc.
Thereafter, points are allocated to
each of these factors.
• Weights are given to factors
depending on their importance to
perform the job.
• The sum of points gives an index of
the relative significance of the jobs
that are rated.

38. 4. FACTOR COMPARISON
• Instead of ranking complete jobs,
each job is ranked according to a
series of factors. These factors
include mental effort, skill
needed, responsibility, working
conditions, etc.
• Pay will be assigned in this method
by comparing the weights of
factors required for each job.
• Wages are assigned to the job in
comparison to its ranking on each
job factor.

41. GAINING ACCEPTANCE
 TOP MANAGEMENT MUST EXPLAIN THE AIM AND USES OF THE
PROGRAMME TO THE EMPLOYEES AND UNIONS

42. CREATING JOB EVALUATION
COMMITTEE
As it is not possible
for a single person to
evaluate all key jobs

43. EVERY JOB NEED NOT BE EVALUATED.THIS MAY BE TOO TAXING AND
COSTLY.CERTAIN KEY JOBS IN EACH DEPARTMENT MAY BE
IDENTIFIED.WHILE PICKING UP THE JOB CARE MUST BE TAKEN TO
ENSURE THAT THEY REPRESENT THE TYPE OF WORK PERFORMED IN THAT
DEPARTMENT…..

44. ANALYSING AND PREPARING
JOB DESCRIPTION
This requires the preparation of a job description and
also an analysis of a job that needs for successful
performance….
A job description summarizes the duties of a position and
states the essential responsibilities…..
This requires the preparation of a job description and
also an analysis of a job that needs for successful
performance….
A job description summarizes the duties of a position and
states the essential responsibilities…..

45. SELECTING THE METHOD OF
EVALUATION
Four Methods Of Job Evaluation
The Most Important Method Of
Evaluating The Jobs Must Be
Identified Now, Keeping The Job
Factors As Well As Organisational
Demands In Mind

46. EXAMPLE OF SELECTING
EVALUATION METHOD

47. CLASSIFYING JOBS
The relative worth of various jobs in an
organisation may be found out after
arranging jobs in order of importance using
criteria such as:
5
5
3
4
Skill
Requirements
Experience
Needed
Condition Under Job
Performed
Type Of Responsibility To Be
Shouldered
Degree Of Supervision
Needed
5 Amount Of Stress
Caused By Job
3
Weights can be
assigned to each
such factor. When
we finally add all
the weights, the
worth of a job is
determined. The
point may then be
converted into
monetary ones.

48. REVIEWING PERIODICALLY
 In the light of changes in the environmental
conditions(technology,products,services,etc.) jobs need
to be examined closely.
 The traditional clerical functions have undergone a rapid
change in the sectors like banking,insurance,and
railways,after coumputerisation.
 New job description need to be written and the skills
needs of new jobs need to be duly incorporated in the
evaluation process.
 Employees may feel that all the relevant job factors-
based on which their pay has been determined-have not
been evaluated properly.

49. NEED FOR JOB
EVALUATION

51. Meaning
• Job rotation refers to a management tool in
which an individual, usually a trainee, is
taken from one department to another over
a period of years. This allows the individual
to train on different aspects of the job.

52. Introduction
• Job rotation involves an employee changing positions
within the same organization and eventually returning to
the original position
• Job rotation is the best way to keep the employees away
from boredom
• Job rotation helps trainees to apply their:
• - knowledge
• - abilities
• - Interests

53. DefinitionDefinition
• A job design technique in which employeesA job design technique in which employees
are moved between two or more jobs in aare moved between two or more jobs in a
planned mannerplanned manner
• Job rotation is a management techniqueJob rotation is a management technique
that assigns trainees to various jobs andthat assigns trainees to various jobs and
departments over a period of few yearsdepartments over a period of few years

55. Task Rotation
• It takes place in jobs that involve a high
degree of physical demands on the body or
extremely tedious job.
• Employees are periodically removed from
these mentally stressful or physically
demanding tasks to a less demanding task
for a while to give them a break.
• Ex: A spot welder on a production line
working 10 hrs. shift for 4days a week is
shifted to the maintenance or tool shop

56. Process Rotation
• It is the process of laterally moving an
employee to different geographical location
• The purpose behind this type of rotation is
to personally professionally developing the
employee by exposing her to new
knowledge, skills and perspectives.
Ex: A junior executive at a multinational
consulting firm sent as the company's
advance executive training program to
different geographical location.

57. Job rotation in constructing agencyJob rotation in constructing agency

58. Objectives
1.1. Reducing Monotony of the jobReducing Monotony of the job
2.2. Succession PlanningSuccession Planning
3.3. Creating right-Employee Job FitCreating right-Employee Job Fit
4.4. Exposing Workers to All Verticals of theExposing Workers to All Verticals of the
CompanyCompany
5.5. Testing Employee Skills and CompetenciesTesting Employee Skills and Competencies
6.6. Developing a Wider Range of WorkDeveloping a Wider Range of Work
ExperienceExperience

59. Advantages
1)1)Provides an opportunity to broaden one’sProvides an opportunity to broaden one’s
knowledgeknowledge
2)2)Avoiding fraudulent practiceAvoiding fraudulent practice
3)3)Increases Satisfaction and Decreases AttritionIncreases Satisfaction and Decreases Attrition
RateRate
4)4)Helps Individuals Explore Their InterestsHelps Individuals Explore Their Interests

60. Disadvantages
1.1.Reduces uniformity in qualityReduces uniformity in quality
2.2.Frequent interruptionFrequent interruption
3.3.Misunderstanding with the unionMisunderstanding with the union
membermember
4.4.Staff members have fear ofStaff members have fear of
performing different tasksperforming different tasks
effectivelyeffectively
© PhotoDisc

62. Process of job rotation
1)Plan everything in advance.
2)The employees going in for job rotation
should be mentally and physically
prepared or otherwise they will not
work in newer condition.
3)Check the performance as well as
qualification of worker so that the new
environment suits him.

64.  The concept of job enrichment was developed by Fredrik Herzberg in the 1950s.
 Job enrichment involves providing an employee with more responsibility for a job
and challenges the individual’s skills at work.
 Enrichment involves increasing the decision-making authority and encouraging
the employee with their tasks.

66. The characteristics or features of job enrichment are:-
Nature of Job : Job enrichment is a vertical expansion of the job.
Objective : The objective of Job enrichment is to make the job more lively and
challenging.

67. Positive Results : Job enrichment gives positive results if the workers are
highly skilled.
Direction and Control : Job enrichment encourages self-discipline.

68. The importance or merits or advantages of job enrichment are:-
 Job enrichment is useful to both the workers and the organization.
 The worker gets achievement, recognition and self-actualization.
 The worker gets a sense of belonging to the organization.
 The worker finds the job meaningful.
 Job enrichment reduces absenteeism, labour-turnover and grievances.
 It motivates the workers to give best performance.

69. The shortcomings or demerits or limitations of job enrichment are:-
 In many cases, job enrichment does not give the expected results.
 It makes many changes in the job. So many workers oppose it.
 It has limited use for highly skilled managers and professionals.
 The consent of workers is not taken before implementing job enrichment.
 Managers force the workers to accept job enrichment, which is not good.

70. Job Enlargement

71. Job enlargement
• Job enlargement expands a job
horizontally. It increases job scope; that is,
it increases the number of different
operations required in a job and the
frequency with which the job cycle is
repeated.

72. Job enlargement
• By increasing the number of tasks an
individual performs, job enlargement
increases the job scope, or job
diversity.

73. Job enlargement
• Instead of only sorting the incoming
mail by department, for instance, a
mail sorter's job could be enlarged
to include physically delivering the
mail to the various departments or
running outgoing letters through
the postage meter.

74. HUMAN RESOURCE
MANAGEMENT
RECRUITMENT
AND
SELECTION
CHAPTER NO. 3

75. HUMAN RESOURCE
MANAGEMENT
BUSINESS
OBJECTIVES
RECRUITMENT
HR PLANNING
JOB DESCRIPTION JOB SPECIFICATION
JOB ANALYSIS

76. RECRUITMENT
The Process of generating a pool of qualified candidates for
a particular job.
The Process of discovering potential candidates.
OR

77. RECRUITMENT GOALS
11
Attract the Qualified Applicants.
22
Encourage Unqualified Applicants to self-
select themselves out.

78. RECRUITMENT IS A TWO
WAY STREET
RECRUITMENT
Organization is Looking
for a Qualified
Applicants
Applicants are Looking
for the Potential
Emplacement
Opportunities

79. RECRUITMENT PROCESS
ORGANIZATION CANDIDATE
Generate candidate pool via internal
or external recruitment methods
Vacant or New position occurs
Evaluate Candidates via Selection
process
Impress Candidates
Make Offer
Acquire Employment Experience
Receive Education and choose
Occupation
Search for Job Openings
Apply for jobs
Impress Company during Selection
process
Evaluate Jobs and Companies
Accept or Reject Job Offers

80. STRATEGIC RECRUITING
DECISIONS
HR PLANNING
DECISIONS
STRATEGIC
RECRUITING
DECISIONS
DECISIONS ON
RECRUITING
SOURCES/METHODS
 How Many Employees Needed
 When Needed
 Special Qualifications
 Where to Recruit: Internal/External
 Who to Recruit: Flexible Staffing
Options
 Nature of Job Requirements
 Advertising Choices
 Recruiting Activities

81. SOURCES OF RECRUITMENT
INTERNAL
SOURCES
EXTERNAL
SOURCES
SOURCES OF
RECRUITMENT

82. Internal Recruiting
Data base
Promotions and
Transfers
Job Posting &
Bidding
Employee
Referrals
Re-recruiting former
Employees & Applicants
INTERNAL
SOURCES
SOURCES OF RECRUITMENT

83. SOURCES OF RECRUITMENT Cont . . .
Schools Colleges &
Universities
Labor
Unions
Media Sources
Employment Agencies
EXTERNAL
SOURCES

84. INTERNET RECRUITING METHODS
INTERNET RECRUITING
METHODS
1. Job Boards
2. Employer Web
Sites

85. RECRUITING EVALUATION Cont . . .
300 Applicants
100 Final Interviews
50 Offers
25 Hires
Initial Contacts/Final Interview
(Yield ratio = 3:1)
Final Interview/Offers
(Yield ratio = 2:1)
Offers/Hires
(Yield ratio = 2:1)
Using Yield Ratios to Determine Needed Applicants:

86. CONSTRAINTS ON RECRUITMENT
Image of the Company
Attractiveness of Job
Internal Organizational Policy
Recruitment Cost

87. BUSINESS
OBJECTIVES
RECRUITMENT
HR PLANNING
JOB DESCRIPTION JOB SPECIFICATION
JOB ANALYSIS
SELECTION

88. SELECTION
Or

89. BASIC SELECTION
CRITERIA
BASIC
SELECTION
CRITERIA
Formal Education
Experience and Past Performance
Physical Characteristics
Personality Characteristics

90. SELECTION PROCESS
Initial screening
Completed application
Medical/physical examination if
required (conditional job offer
Comprehensive interview
Employment test
Permanent job offer
Reject Applicant
Background Examination
if required
Conditional job
offer
Passed
Passed
Passed
Passed
Passed
Able to perform
essential elements
of job
Fail to meet minimum
qualification
Failed to complete job
application or failed job
specification
Failed Test
Failed to impress
interviewer and / meet
job expectations
Problem
encountered
Unfit to do essential
elements of job

91. SELECTION METHODS
The Three most Common Methods
used are:

92. THOUGHT OF THE DAY
“If an HR person is trying to
choose people for an
organization, knowing their
values is very important-if they
are not consistent with the
organization’s values they are not
likely to stay very long.”
Professor, Roger Collins.

93. PLACEMENT
Placement is a process of assigning a
specific job to each of the selected
candidates.
It involves assigning a specific rank
and responsibility to an individual.
It implies matching the requirements of
a job with the qualifications of the
candidate.

94. PLACEMENT SIGNIFICANCE
It improves employee morale.
It helps in reducing employee
turnover.
It helps in reducing absenteeism.
It helps in reducing conflict rates.
It avoids misfit between employee
and the job

95. PLACEMENT BENEFITS
Good results on job.
Getting along with the people
easily and proving themselves.
Keeping his spirits high and
reports for the duty regularly.
Learning the work and excel in the
job.
Avoid mistakes and errors.

96. INDUCTION
 The process through which a new
employee integrated into an organization
learning about its policies and culture.
The process through which a new recruit is
introduced into the job.
Removes fear from the mind, creates a
good impression about the organization and
acts as a valuable source of information

97. INDUCTION OBJECTIVES
To give new comer necessary information.
To build new employee confidence in the
organization.
To helps in reducing labour turnover and
absenteeism.
It reduces confusion and develops healthy
relations in the organization.
To develop among the new comer a sense of
belonging and loyalty to the organization.

98. ADVANTAGES OF INDUCTION
Creates good impression.
It takes less time to familiarize.
Increase productivity.
Cost reduction
Builds and strengthens two way
communication channel in the
organization.
Reduces labour turnover and
absenteeism.

99. Components of Induction
It includes:
1.Company history.
2.Product of the company.
3.Personnel policies.
4.Rules and regulations.
5.Safety policies.
6.Employee counseling.