Human Resource Management

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INTRODUCTION

Management comprises planning, organizing, resourcing, leading or directing, and

controlling an organization (a group of one or more people or entities) or effort for the

purpose of accomplishing a goal. Resourcing encompasses the deployment and

manipulation of human resources, financial resources, technological resources, and natural

resources.

Management focuses on the entire organization from both a short and a long-term

perspective. Management is the managerial process of forming a strategic vision, setting

objectives, crafting a strategy and then implementing and executing the strategy.

Management goes beyond the organization internal operations to include the industry and

the general environment. The key emphasis is on issues related to environmental scanning

and industry analysis, appraisal of current and future competitors, assessment of core

competencies, strategic control and the effective allocation of organizational resources.

Management branches out to many fields. One of the most important branches is Human

Resource Management. Human resource management (HRM) is the strategic and coherent

approach to the management of an organizations most valued assets – the people working

there who individually and collectively contribute to the achievement of the objectives of

the business. The terms “human resource management” and “human resources” (HR) have

largely replaced the term “personnel management” as a description of the processes

involved in managing people in organizations

“Human resource management must be the route by which companies and employing

organizations can come to terms with the new situation. It provides the means by which

the fullest potential of employees can be developed and used for the benefit of both

themselves and their employers.”“

-Roger Farrance, CBE, President, Institute of Personnel Management

Human Resource management is evolving rapidly. Human resource management is both

an academic theory and a business practice that addresses the theoretical and practical

techniques of managing a workforce. In practice, Human Resource Management (HRM) is

the function within an organization that focuses on recruitment of, management of, and

providing direction for the people who work in the organization. Human Resource

Management can also be performed by line managers.

In the fast changing environment, globalization, competition, increased opportunities and

career orientation and many other factors have made the traditional approach to personnel

management obsolete. The present situation demands a complete and strategic approach to

HRM. HRM strategy must fit in the overall strategy of the organization because it involves

long-term implications. The modern approach to the management acknowledges the

interest of the employees *ƒ²*ƒ”€š the major stakeholders of the organization.

Human Resource Management deals with issues related to people such as:

1. Staffing

2. Training and Development

3. Motivation

4. Maintenance

STAFFING

Every step in HRM is of great importance and of them selection decisions stands out to be

the most important. Selection decision can be sub divided into the following functions:

” Determining the nature of the job to be filled

” Determining the type of personnel required

” Determining the sources of recruitment

” Determining the selection process

The first step in *ƒ²*ƒ”€š?placing the right man in the right job at the right time is

determining the nature of the job to be performed. In order to do the HR manager must

consult the concerned line manager and find out the specific nature of the job. Every step

in HRM is of great importance and of them selection decisions stands out to be the most

important. Selection decision can be sub divided into the following functions:

” Manpower Planning

” Selection and Recruitment

” Orientation

In its simplest terms workforce planning is getting “the right number of people with the

right skills, experiences, and competencies in the right jobs at the right time.” This

shorthand definition covers a comprehensive process that provides managers with a

framework for making staffing decisions based on an organization mission, strategic plan,

budgetary resources, and a set of desired workforce competencies.

Many organizations, both public and private, have developed models for workforce

planning. Putting aside variations in terminology, the processes are all very much alike. All

rely on an analysis of present workforce competencies; an identification of competencies

needed in the future; a comparison of the present workforce to future needs to identify

competency gaps and surpluses; the preparation of plans for building the workforce needed

in the future; and an evaluation process to assure that the workforce competency model

remains valid and that objectives are being met. This process is simple in outline but

depends on rigorous and comprehensive analysis of the organization work, workforce, and

strategic direction.

Workforce planning requires strong management leadership; clearly articulated vision,

mission, and strategic objectives; and cooperative supportive efforts of staff in several

functional areas. Strategic planning (GPRA), budget, and human resources are key players

in workforce planning. GPRA plans set organizational direction and articulate measurable

program goals and objectives. The budget process plans for the funding to achieve

objectives. Human resources provides tools for identifying competencies needed in the

workforce and for recruiting, developing, training, retraining, or placing employees to

build the workforce of the future.

The selection step converts the thought of *ƒ²*ƒ”€š?placing the right man in the right job

at the right time is determining the nature of the job to be performed. In order to do the HR

manager must consult the concerned line manager and find out the specific nature of the

job. A job is a collection of tasks and responsibilities that an employee is responsible to

conduct. Jobs have titles. Job descriptions are lists of the general tasks, or functions, and

responsibilities of a position. Typically, they also include to whom the position reports,

specifications such as the qualifications needed by the person in the job, salary range for

the position, etc. Job descriptions are usually developed by conducting a job analysis,

which includes examining the tasks and sequences of tasks necessary to perform the job.

The analysis looks at the areas of knowledge and skills needed by the job. Once the job

profile has been made, the characteristics of the candidate to fill in the job should be

determined. The next step is to decide the source from which we can procure the right

people. This could be either be from within the organization or from outside.

Once the job profile has been made, the characteristics of the candidate to fill in the job

should be determined. The next step is to decide the source from which we can procure the

right people. This could be either be from within the organization or from outside.

Many organizations have a policy of recruiting or promoting from within except in very

exceptional circumstances. Filling a job opening from within the organization has the

following advantages. Individuals recruited from within are already familiar with the

organization and its members and this knowledge increases the likelihood they will

success. A promotion from within fosters loyalty and inspires greater effort among

organization members. It is usually less expensive to recruit or promote from within than

to hire from outside the organization.

For external recruitment, Advertisement is a very important and common source of

recruitment. Companies advertise in widely circulated newspapers. Employment news is a

leading Government publication which serves as a source of external recruitment.

Sometimes advertisements are placed in magazines read only by particular groups. Other

sources of external recruitment can be:

Employment exchange: – Employment exchange, established in various cities as per public

policy, offer yet another important source of recruitment.

Placement agencies: – Some agencies and associations are established to supply candidates

in terms of the requirements. This is a good source for recruitment especially for

professional and managerial positions.

Educational institutions: – Some companies make special efforts to establish and maintain

constructive relationships with colleges so as to get the suitable qualified manpower.

Recommendations of present employees– Some companies ask the present employees to

recommend new recruits.

There are broadly four steps in the selection process and each step can further be

subdivided depending on the need.

1. Screening of application forms

Application forms are wealth of information and should be used wisely. It should be

interpreted correctly. The primary objective would be to eliminate applicants failing to

meet minimum qualifying requirements.

2. Tests: These include tests of intelligence, aptitude, ability and interest. Tests in

intellectual ability, spatial and mechanical ability, perceptual ability and motor ability have

shown to be moderately valid predictors for many semi-skilled and unskilled operative

jobs in the industrial organizations. Intelligence tests are reasonably good predictors for

supervisory positions. But the burden is on management to demonstrate that any test used

is job related. There are two sets of tests *ƒ²*ƒ”€š performance and psychological. The

following are some such tests:

Performance simulation tests– These tests are aimed to find out if the applicants can do the

job successfully by asking him to do it.

(i) Work sampling– It is an effort to create a miniature replica of a job. The applicants

demonstrate that they possess the necessary skills by actually doing the tasks.

(ii) Assessment center– In assessment centers, line executives, supervisors and qualified

psychologists evaluate candidates as they go through two to four days of exercises that

simulate real problems that the candidates are likely to encounter on the job.

Psychological test– Psychological tests are considered extremely beneficial. They can,

however, can be easily misused and misinterpreted by untrained people. Good tests are

useful in the right circumstances because they can provide an objective measure of people