9380bhrm Module 2

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Amity School of Business

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SEMESTER V

HUMAN RESOURCE MANAGEMENT

(BBAHR-30501)

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Module II: Acquisition ofHumanResources

Objectives, Policies and Process of

Human Resource Planning, Job Analysis, Job Description, Job

Specification,

Recruitment, Selection,

Induction, Placement.

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QUESTIONS TO ANSWER What is the importance of doing HRP? Outline

its process.

How job analysis is done? What are the

outcomes of job analysis? Illustrate with the helpof an example.

Does recruitment differs from selection? Explainthe various sources of recruitment in detail.

Elaborate the selection process in detail. Whatare the different types of selection tests?

Short notes: Induction and placement.

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Assignment Question Writing offer letter, appointment letter,

confirmation letter, promotion/transfer

letter and analysing the difference amongall.

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INTRODUCTION The success of an organisation depends largely on the

quantity and quality of its human resources.

No organization can be successful in the long run withouthaving the right kind of people doing the right jobs at theright time.

Procurement of the right kind and right number of personnelis the first OPERATIVE function of HRM.

Human resource management begins with Human ResourcePlanning/ Manpower Planning.

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HRP / MPP Human resource planning is defined as the process by which

management determines how an organization should movefrom its current manpower position to its desired manpower

position.

HRP is the process of determining manpower needs andformulating plans to meet these needs.

HRP is a forward looking function. It tries to assess humanresource requirements in advance keeping the productionschedules, market fluctuations, demand forecasts etc. in thebackground.

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In the words of Stainer, Manpower planning is the strategyfor acquisition, utilization, improvement and preservation ofan organizations human resources. It is aimed atcoordinating the requirements for and the availability ofdifferent types of employees.

Human resource plans are made for varying time periods, i.e.,short term plans covering a time frame of 2 years and long

term plans encompassing a period of 5 or more years.

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Business Vision and

StrategyExternal forces

requiring restructuring

Technological

change

Stakeholder

expectations

BUILDING FOR

THE FUTURE

CAPABILITIES

NEEDED

Manpower

flows

CONTINUITY

PLAN

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Needs ofthe

organisation

Needs ofthe

individual

continuity and growthof human capital

performance

potential flexibility commitment retention innovation

fair rewards challenging work good working environment information feedback meeting career aspirations providing transferable skills

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Major Objectives of HRP

Ensure the organisation has the right employees

with the right skills at the right place at the righttime.

Ensure the organisation is responsive to

changes in its environment.

Provide direction and coherence to all HR

activities and systems.

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OBJECTIVES OF HRP To ensure optimum use of existing human resources.

Preventing understaffing and overstaffing.

To forecast future requirements of human resources.

To provide control measures to ensure availability of HR. To link HRP with organizational planning.

To assess the surplus and shortage of human resources.

To anticipate the impact of technology/changes on jobs andHR.

To determine levels of recruitment and training.

To promote employees in a systematic manner.

To meet the need of expansion and diversificationprogrammes.

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Forecasting HR Requirements Estimate of numbers and kinds of

employees the organization will need at

future dates. Demand for firms goods or services must

be forecast.

Forecast is then converted into peoplerequirements( Judgement method, Markov

analysis, replacement chart, skill inventory,

experts forecast).

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TECHNIQUES OF HR DEMANDFORECASTING

HR DEMANDFORECASTINGTECHNIQUES

ManagementJudgment

Ratio Trend Analysis

Flow Models

Delphi Technique

Others

Work StudyTechniques

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1. Managerial Judgment- managers sit together,discuss, and arrive at a figure which would bethe future demand for labour. The techniquemay involve a bottom-up or a top-down

approach.

2. Ratio-trend Analysis- the technique involvesstudying past ratios like between the number

of workers and sales in an organisation andforecasting future ratios making someallowances for changes in the organization orits methods.

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3.Work Study Techniques this technique can

be used when it is possible to apply work

measurement to calculate the length of

operations and the amount of labor required.Allowance will have to be made for absenteeism

and idle time.

4. Delphi Technique it solicits estimates of

personnel needs from a group of experts,

usually managers. The HRP experts act as

intermediaries.

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5. Flow Models the simplest one is Markov

model.

Determine the time that should be covered.

Establish categories, also called states, to which

employees can be assigned.

Count annual movements (flows) among states

for several time periods. Estimate the probability of transition from one

state to another.

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Forecasting HR Availability/Supply Determining whether the firm will be able

to secure employees with the necessary

skills, and from what sources theseindividuals may be obtained.

Show whether the needed employees

may be obtained from within the company,from outside the organization, or from a

combination of the two sources.

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HR Supply Forecast

To determine whether management will be

able to procure the required number of

personnel and the sources of such

procurement.

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Supply forecast

Existing

Source of employees

Internal source

Of employees

External source

Of employees

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1. Existing Human Resources analysis ofpresent employees is done by HR audits. the audits ofnon managers (skill inventories), and those of

management (management inventories). The result isa catalogue of each employees skills and abilitieswhich facilitates planners a comprehensiveunderstanding of the capabilities found in theorganisations workforce.

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2. Internal sources of supply the techniques

used are:

a) Inflows and Outflows

Sources of inflows are transfers and promotions,

and the sources of outflows are resignation,discharge, demotion, retirement, and

promotion.

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b) Turnover rate turnover rate is the traditionaland simple method of forecasting internal

supply.

No. of separations during 1 year

Average no. of employees during the year

c) Conditions of work and absenteeism changesin conditions of work as weekly working hours,

overtime policies, length and timing of holidays,

retirement policy, shift system etc.

X 100X 100

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d) Productivity level any change in productivitywould affect the number of persons required per

unit of output.

e) Movement among jobs some jobs are sources

of personnel for other jobs in way of promotions

and upward movements.

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3. External Supply the reasons are

new blood and new experience,

organizational personnel need, growth and diversification

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HR Programming

Once an organizations personnel demand and

supply are forecasted, the two must bereconciled or balanced in order that vacancies

can be filled by the right employees at the right

time.

Comparing requirements and availability willComparing requirements and availability willlead to HR programming, HRP implementationlead to HR programming, HRP implementation

and control and evaluation of program leadingand control and evaluation of program leading

to either surplus or shortage of staff.to either surplus or shortage of staff.

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HR Plan Implementation

converting an HR plan into action.

Recruitment, Selection, Placement

Training and Development Retraining and Redeployment

Retention Plan

Succession Plan

Control and Evaluation

The HR plan should include budgets, targets andstandards. It should also clarify responsibilities forimplementation and control.

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JOB ANALYSIS Job analysis is a formal and detailed study of jobs.

It refers to a scientific and systematic analysis of a job in order

to obtain all pertinent facts about the job.

Job analysis has defined as, the process of determining byobservation and study the tasks, which comprise the job, themethods and equipment used, and the skills and attitudesrequired for successful performance of the job.

Job analysis is essentially a process of collecting andanalyzing data relating to a job.

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PROCESSOF JOB ANALYSIS

OrganizationalAnalysis

a. Organizationalcharts.

b. Classspecifications.

c. Work flows charts

Organizing JobAnalysis Programme

Deciding uses of JAinformation

Selecting theRepresentative Jobs

a. Number of jobs tobe analyzed.

b. Priority ofdifferent jobs.

Collection of JobInformation

a. Direct observationb. Interviews.

c. Questionnaire.

d. Past records.

e. Critical Incident

JobDescription

JobSpecification

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Job Analysis

Tasks Responsibilities Duties

Job

Analysis

JobDescriptions

Job

Specifications

Knowledge Skills Abilities

Human Resource

Planning

Recruitment

Selection

Training and

Development

Performance Appraisal

Compensation and

Benefits

Safety and Health

Employee and Labor

Relations

Legal Considerations

Job Analysis for

Teams

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Job Analysis

Job description

A statement containing items

Such as

Job title

Location

Job summary

Duties

Machines, tools, equipments

Materials and forms usedSupervision given/received

Working conditions

hazards

job specification

A statement of human qualifications

Necessary to do the job.

EducationExperience

Training

Judgment

Initiative

Physical effort

ResponsibilitiesCommunication skills

Emotional characteristics

Sensory demands such as sight,

smell, hearing

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Reasons ForConductingJob Analysis

Staffing would be haphazard if recruiter didnot know qualifications needed for job.

Training and Development if specificationlists a particular knowledge, skill, or ability, andthe person filling the position does not possessall the necessary qualifications, training and/or

development is needed. Compensation and Benefits value of job

must be known before dollar value can beplaced on it.

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Reasons ForConductingJob Analysis (Continued)

Safety and Health helps identify safety and

health considerations Employee and Labor Relations lead to moreobjective human resource decisions

Legal Considerations having done job

analysis important for supporting legality ofemployment practices

Job Analysis for Teams today, individuals dowhat has to be done to complete the task

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EqualEmployment

HRPlanning

Performance

Appraisal

Recruitment Selection

HR

Research

Employee

& Labor

Relations

Compensation

& Benefits

Safety &

Health

HR

DevelopmentJob Analysis

Uses of Job analysis

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RECRUITMENT Accordingly to Flippo, Recruitment is the process of searching for

prospective employees and stimulating and encouraging them toapply for jobs in an organization.

Recruitment involves attracting and obtaining as many applicationsas possible from eligible job seekers.

Recruitment is a positive function as it seeks to develop a pool ofeligible person from which most suited ones can be selected.

Recruitment refers to the process of receipt of applications from job-seekers.

Recruitment involves identifying sources of manpower and

stimulating them to apply for jobs in the organizations.

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RECRUITMENT NEEDS

PLANNEDANTICIPATED UNEXPECTED

CHANGES IN

ORGANISATION

RETIREMENT POLICY

PREDICT BY STUDYING

TRENDS IN INTERNAL

AND EXTERNAL

ENVIRONMENT

RESIGNATIONS,DEATHS,

ACCIDENTS & ILLNESS.

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RECRUITMENT POLICY IT SPECIFIES THE OBJECTIVES OF

RECRUITMENT AND PROVIDES A

FRAMEWORK FOR THEIMPLEMENTATION OF THE

RECRUITMENT PROGRAMME.

IT INVOLVES EMPLOYERSCOMMITMENT TO:

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FRAMEWORK OF

RECRU

ITM

ENT AND SELECTIONRECRUITMENT

ADVERTISEMENT

APPLICANTS

ORG. GOALS

WORKLOAD ANALYSIS &

MANPOWER REQUIREMENT

JOB ANALYSIS

JOB DES. & JOB SPEC.

SELECTION PROCESS

APP. FORM

STESTS

INTERVIEW

REF. CHECKS

MEDICAL EXAM

SELECTED CANDIDATES

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Recruitment Process

HRPHRP

Employee requisitionEmployee requisition

Determination of StrategyDetermination of Strategy

Evaluation of sources of recruitmentEvaluation of sources of recruitment

Implementation of recruitment methods and strategiesImplementation of recruitment methods and strategies

Feedback and ControlFeedback and Control

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InternalRecruitment

Sources

Transfers

EmployeeReferrals

Retired

Employees

Job

Posting

Dependants

of deceased

employees

Promotions

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Internal Recruiting

Pros

Easier to access

candidates

Motivates employees

Reduces training and

ramp up time

Faster Less expensive

Increases job security

Cons

Insufficient internal laborsupply when in growth

mode Ripple/domino effect

Cumbersomeprocedures to ensurefairness

Become inbred, loseflexibility

Constrainsorganizational agility

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ExternalRecruitment

Sources

Walk-inEmploymentexchanges

Competitors/

poaching

Gate

hiring

Advertisements

Campus

recruitment

OutsourcingOutsourcing

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External Recruiting Pros

Promotes new ideas,

viewpoints, skills Increases all forms of

diversity

Save on training if right

hires are made

Allows for rapid growth

Useful to initiate

business turnaround

Cons

Expensive

Can take longer thaninternal hiring

Always the risk of hiring

someone who is not

successful

Limits internal promotionopportunities

Can create internal

morale problems

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Selection

Selection is the process of picking

individuals (out of the pool of jobapplicants) with requisite qualifications and

competence to fill jobs in the organization.

Selection is the process of differentiatingbetween applicants in order to identify and

hire those with a greater likelihood of

success in a job.

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Development Bases for selectionBases for selection

Application/Resume/CVJobJob Analysis

Written ExaminationWritten Examination

Preliminary InterviewPreliminary InterviewBusiness Games/TestsGames/Tests

Final Interview

Medical ExaminationExaminationReference Checks

Job Offer

Placement

HR Plan

Recruitment

Assess the fit betweenthe job and the candidate

REJECTED

APPLICANTS

SELECTION PROCESSSELECTION PROCESS

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Application Blank

Application blank or form is the most common methodsused to collect information on various aspects of theapplicants academic, social, demographic, work elatedbackground and references. It includes-

Personal data Marital data

Physical data

Educational data

Employment data Extracurricular activities data

references

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Selection Strategies

Paper screening

Carefully match job requirements to candidatequalifications

Interviewing

Structured, semi-structured, open-ended

Behavioral/situational interviewing

Background investigations

References, prior employment, educational

requirements, identity verification, criminal background,

physical examinations, drug testing.

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Selection Tests

job seekers who pass the screening and thepreliminary interview are called for tests.

Personality tests ( like thematic apperceptiontest etc.)

Intelligence tests Interests tests

Graphology test

Polygraph tests

Medical tests

Drug tests

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SELECTIONTESTS

APTITUDE TESTS***Potential of a

Candidate to learn a

New job or skill,

IQ LEVEL.***

ACHIEVEMENTTESTS

***What a person can

Do i.e. the skills

And training. The

Person hadAlready acquired***.

PERSONALITY

TESTS***pen & paper test

To judge the

Psychological

Make-up of a

Person i.e. probe

Individual value

System ,maturity .etc.

INTEREST TESTS***inventories of a

persons likes and

Dislikes in relationTo work i.e.

Identify the kind of

Work that will

Satisfy him.***

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TYPES OF INTERVIEWS

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TYPES OF INTERVIEWS

1. Structured Interview :A preset standardized

questions

2. Unstructured Interview : is largely unplanned and

the interviewee does most of talking.3. Mixed Interview

4. Behavioral Interview : Evaluation is based on the

solution and approach of the applicants.

5. Stressful :A series of harsh, rapid fire questions

intended to upset the applicant.

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Effective Interviewing - candidateDo:

Prepare research the company.

Know your achilles heel and have a response. Remember: role playing with integrity.

Have a list of5 pieces of information you want to

be sure to get across.

Listen.

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Confirming the Selection

Formal references Informal, network references and contacts

Criminal background investigation (Criminal

Offender Record Investigation) Physical examination

Verify credentials (degrees, licenses, etc.)

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The Job Offer

Conditional offer subject to verifications,physical exam, references

Salary considerations: Market requirements for skill level

Internal market considerations

Clarify probationary period and consequencesof failure

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PLACEMENT

EMPLOYEE IS PUT TO A SPECIFIC JOB FOR WHICHHE HAS BEEN SELECTED.

IN MOST OF THE COMPANIES EMPLOYEES AREFIRST PUT ON A PROBATIONARY PERIOD AFTERWHICH THEY ARE MADE PERMANENT.

PROCESS OF ASSIGNING A SPECIFIC JOB TOEACH ONE OF THE SELECTED CANDIDATES.

ASSIGNING A SPECIFIC RANK ANDRESPONSIBILITY TO AN INDIVIDUAL

MATCHING THE REQUIREMENTS OF A JOB WITHTHE QUALIFICATIONS OF A CANDIDATE.

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INDUCTION/ORIENTATION

PROCESS OF RECEIVING AND WELCOMINGAN EMPLOYEE WHEN HE FIRST JOINS THE

COMPANY. PUTTING HIM AT EASE SO THAT HE DONT

FEEL LIKE AN ALIEN IN A NEWENVIRONMENT.

ACQUAINTING HIM

WITH THEBASICINFORMATION HE NEEDS TO SETTLE DOWN

QUICKLY.

HAPPILY START WORK AND FOSTER ACLOSE AND CORDIAL RELATIONSHIP.

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OBJECTIVES OF INDUCTION

HELP THE NEWCOMER OVERCOME HIS

INHIBITIONS. BUILD UP CONFIDENCE IN THE ORG.

DEVELOP A SENSE OF BELONGINGNESSAND LOYALTY.

PROVIDE OPPORTUNITY TO INTERACTWITH OTHER FELLOW EMPLOYEES.

MAKE HIM AWARE ABOUTORGANISATIONAL DETAILS.

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HRHR

representativerepresentative

Specific job locationSpecific job location

And DutiesAnd Duties

Organisational issuesOrganisational issues

Employee benefitsEmployee benefits

Introduction to staffIntroduction to staff

SupervisorSupervisor

SpecialSpecialAnxiety reductionAnxiety reduction

programsprograms

ToTo

PlacementPlacement

Formal Induction ProgramFormal Induction Program

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BENEFITS OF

ORIENTATION

REDUCED

ANXIETY

EFFICIENT

USE OF

RESOURCES HIGH

COMMITMENT

BETTER

PERFORMANCE

REDUCED

TURNOVER

REDUCED

ROLE

AMBIGUITY

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Requisites forE

ffective InductionProgram

Prepare for New employees.

Determine information new employeeswant to know.

Determine how to present information.

Completion of paperwork.

Evaluation of induction program.

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Impediments to Induction program

Supervisor who is entrusted with the job is not

trained or is too busy.

Employee is overwhelmed with too muchinformation in a short time.

Employee is overloaded with forms to complete.

Initially employee may be given menial taskswhich discourage him.

Employee may develop wrong perceptions

because of inadequate induction program.

Documents

9380bhrm Module 2