1. Class Session 2 --- Principles & Policies Outline Line and Staff relationships Difference between Policies & Principles Policies--- Should we adopt them ???Benefits / Aims / Objectives of Personnel Policies Personnel Department--- Its Organization -Responsibilities & Place in the Organization Guidelines to formulate Policies ,Types of Policies, Matters to be included in Policy Formulation
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3. Line Staff Relationships in Orgn General Mgr Mkt Mgr Fin Mgr HR Mgr Prod.Mgr Dy Mgr Dy Mgr Dy Mgr Dy Mgr Officer Sales Officer Officer Officer Yellow – Staff Relationship Black – Line Relationship Asst Officer Asst Asst
19. Summary HRM is a tool that helps managers to plan, recruit, select, train, develop, remunerate, motivate and make maximum utilization of human and non human resources for the organization and society at large. “ One machine can do the work of fifty ordinary men. No machine can do the work of one extraordinary man.”- Elbert Hubbard
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25. Difference --Policies & Principles Policies Principles A PLAN of Action A fundamental truth established by research, investigation and analysis A statement of intention , more specific, and commits the management to a definite course of action Many principles have been established by practice, experience , and observation It does not spell out a detailed procedure Are facts which cannot be altered A well drafted policy should be flexible and broad enough for it to be applicable to varying situations They come handy in solving many vexing problems since they are universally true.
26. Difference --Policies & Principles Policies Principles It is a guide for managerial decisions and actions A guide for managers in formulating policies,programmes,procedures and practices Vary from organization to organization Applicable to all organizations since they are universally true. Policies must be stable. Are facts so they would remain facts only Policies must reflect goals & values of the organization existing. Principles do not reflect goals and values of the organization
27. Eg ---Privacy Policy of TCS Recruitment Policy of TCS is an equal-opportunity employer Personnel policy of ABB India – states that each employee would understand his role, take responsibility, and develop him according to the changing needs of job profile and organization. Policies Principles Some egs. – Policy of hiring people Policy on terms and conditions of employment- layoffs, strikes, remuneration hours of work, promotion, housing, uniform, medical assistance etc Some egs – Reuters Values Employee Diversity Building on our longstanding principles of integrity and freedom from bias, we value diversity.
28. Should Organizations Adopt Policies ?? Benefits / Aims / Objectives of Personnel Policies Basic needs of both organization and employees taken care of. Consistent treatment to all the employees Stability & Security of work environment Standard of Performance Builds employee loyalty and motivation Resolves Conflicts -- intrapersonal and interpersonal
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31. Types of Policies Jucius has identified 2 types Functional or Organizational – policies which are grouped for different categories of personnel eg- for the mgmt dealing with planning, organizing & controlling etc. Centralized – are planned for companies with several locations and are formulated at the Head Office Major Policy – pertain to overall objectives, procedures and control which affect an organization as a whole. They are formulated by the Board of Directors and framework is established within which major executives for the remaining policies necessary to carry out the major objectives of an organization. Minor Policy- cover relationships in a segment of and organization with considerable emphasis on details and procedures.