Human Resource Management

Dr. Karim Kobeissi Islamic University of Lebanon - 2014

Chapter 4 : Job Analysis, Strategic Planning, & Human Resource Planning

JobA job consists of a group of related tasks that must be performed for organization to achieve its goals.A job may be performed by one person, such as the president of the firm.A job may be performed by many people, such as machine operators in a large firm.

Job Vs PositionA position is the collection of tasks and responsibilities performed by one person.

In our firm, we have a supervisor, two analysts, and four marketers we have three types of jobs and seven positions.

Job AnalysisA job analysis is a process of doing an In-Depth analysis of a job and gathering information about the general tasks, or functions, duties, responsibilities and the outcome of a particular job. Its a process where we actually develop the content for the job which further share with the employee to make him aware about his duties & responsibilities A job analysis identifies the kind of person who should be hired for the job.

When Job Analysis Is PerformedJob analysis is performed at three specific times: 1) When the organization is founded and a job analysis program is initiated2) When new jobs are created 3) When existing jobs are changed significantly as a result of new technologies, methods, procedures, or systems.

Questions Job Analysis Should AnswerWhat physical and mental tasks does the worker accomplish?Where is the job to be accomplished?How does the worker do the job?What qualifications are needed to perform the job? What are the performance standards for this particular job?

Uses of Job Analysis Information

Job analyses provide data that forms the basis of the (1) job description and (2) job specification, both of which impact virtually every aspect of human resource management.

Job Description

Job Description is an important document, which is basically descriptive in nature and contains a statement of job Analysis. It provides both organizational information (like location in organizational structure, authority etc) and functional information (tasks, responsibilities, duties).

A Job Description should provide accurate, explicit and concise statements of what employees are expected to do, how they do it, and the conditions under which the duties are performed.

Items Frequently Included in a Job Description Major duties performedPercentage of time devoted to each dutyPerformance standards to be achievedWorking conditions and possible hazardsNumber of employees performing the jobTo whom the employees reportThe machines and equipment used for the job

Job Specifications

Job Specification is a statement which tells us minimum acceptable human qualities which helps to perform a job. It is a written statement of the educational qualifications, specific qualities, level of experience, and communication skills required to perform a job.

Job Specifications Components

A job specification has the following componentsTotal Experience: It includes the total number of years of experience required to perform the job. Generally it is written in a range e.g. 5-7 years etc.Education Qualification: It includes what degree, training or certification required for the job.Required Skills: This section includes physical, emotional, technical, and communication skills required performing a job and also including responsibilities involved in a job.

Job Analysis MethodsJob analysis is conducted in different ways according to an organizations needs and resources. Selecting a specific method should be based on how the information will be used, such as for job evaluation, pay increases, development, etc.

The most common methods of job analysis are: - QuestionnairesObservationInterviewsEmployee recordingCombination of methods

Conducting Job AnalysisRegardless of approach, the job analyst should before conducting job analysis, learn as much as possible about the job by reviewing organizational charts and talking with individuals familiar with the jobs to be studied.People who participate in job analysis should include, at a minimum: Job AnalystEmployeeEmployees immediate supervisor

Steps in Job AnalysisStep 1:Decide how youll use the information.Step 2:Review relevant background information.Step 3:Select representative positions.Step 4:Actually analyze the job.Step 5:Verify the job analysis information.Step 6:Develop a job description and job specification.

Problems If Job Specifications Are Exaggerated Job specifications should always reflect the minimum, not the ideal qualifications for a particular job. Otherwise, inflating the specifications might causes problems such as:Systematically eliminate minorities or women from consideration and the organization could be charged with discrimination. Ideal candidates will have to be compensated more than candidates with minimum skills. Job vacancies will be harder to fill because ideal candidates are more difficult to find than minimally qualified candidates.

Timeliness of Job Analysis Job requirements are changing so rapidly (due to technology ) that they must be constantly reviewed to remain relevant.

Job Analysis for Team Members With team design, there are no narrow jobs Work that departments do is often bundled into teams Last duty shown on standard job description, And any other duty that may be assigned, is increasingly becoming THE job description.

HR as a Strategic PartnerToday, HR professionals are shifting from an administrative and compliance role to that of a strategic partner with upper management HR helps determine the strategic capabilities of the companys workforce, current and future, to support the firms mission.

Strategic Activities CEOs Want from HR Make workforce strategies integral to company strategies and goals Integrate goals of HR with goals of the organization.Understand finance and profits.Help line managers achieve their goals. Emphasize adding value by demonstrating that HR can produce a return on investment Human resource professionals demonstrate how HR impacts business processes to expand or shrink shareholder value.

The Strategic Planning ProcessProcess by which top management determines overall organizational purposes and objectives and how they are to be achieved.

The strategic planning process is a three steps activity.

The Strategic Planning Process (con)Determining the organizations mission and goals.2) Formulating StrategyManagers analyze the organizations current situation (SWOT) and then conceive and develop the strategies necessary to attain the organizations mission and goals.3) Implementing StrategyManagers decide how to allocate the resources and responsibilities required to implement those strategies between people and groups within the organization.

The Three Steps Of The Planning Process

Human Resource Planning The competitive organizational strategy of the firm as a whole becomes the basis for human resource planning.

Human Resource Planning is the systematic process of matching the internal and external supply of candidates with job openings anticipated in the organization over a specific period of time.

A . Requirements ForecastA requirements forecast determines the (1) number, (2) skills, and (3) locations of employees the organization will need at future dates to meet its goals.

Before human resource requirements can be projected, demand for the firms goods or services must be forecasted. This prediction is then converted into people requirements for the activities necessary to meet this demand.

Techniques for Forecasting Human Resource Requirements 1) Zero-base forecasting2) Bottom-up forecast 3) Relationship between volume of sales and number of workers required 4) Workforce planning software

1) Zero-Base ForecastingThe zero-base forecasting method uses the organizations current level of employment as the starting point for determining future staffing needs.If an employee leaves the firm for any reason, the position is not automatically filled and analysis determines whether the firm can justify filling it. The same analysis is done before creating new positions.

2) Bottom-Up Forecast In the bottom-up forecast, each successive level in the organization, starting with the lowest, forecasts its requirements to provide an aggregate forecast of employees needed.

This process is highly interactive as the estimated requirements from the previous level are discussed, negotiated, and re-estimated with the next level of management.

4) Workforce Planning Software Workforce planning software allows companies to forecast the number and kind of employees they will need at some point in the future.

Workforce planning software falls into two categories: - Short-term or operational workforce planning prepares for changes within months and is used with mergers and restructuring. - Longer-term, strategic workforce planning software helps users envision the workforce as far out as three to five years.

B. Availability ForecastThe availability forecast determines whether the firm can secure employees with the necessary skills, and from which sources. The human resource manager must look to internal sourcesthat is, current employeesand external sourcesmeaning the labor market, or a combination.

Human Resource Databases A human resource database contains employee information so management can make HR decisions.

Such information might include: work history and experience, specific skills and knowledge, licenses or certifications held, completed organizational training, education, performance evaluations, assessment of strengths and weaknesses, promotion potential, current job performance, field of specialization, job preferences, geographic preferences, career goals and aspirations, anticipated retirement date, and personal history.

Shortage of Workers ForecastedA shortage of personnel often demands: Innovative recruitingCompensation incentives Modified selection standardsSpecial training programs

Surplus of EmployeesWhen a comparison of requirements and availability indicates that a worker surplus will result, most companies look to alternatives to layoffs, but downsizing may ultimately be required.

Trends and Innovations: Alternatives to Layoffs Although layoffs can be a necessary cost-cutting measure, alternatives include:Restricted hiring policyEarly retirement Encouraging workers to use vacation timeSwapping employees Moving employees from full-time to 30 hours a week without reducing health benefits.Job-sharing arrangementsReduce the work week from five days to four Offer an unpaid holiday option

Succession PlanningSuccession planning is the process of ensuring that qualified persons are available to assume key managerial positions once the positions are vacant. Goal is to help ensure a smooth transition and operational efficiency.

Disaster Planning Planning should cover catastrophes that range from natural calamities, such as hurricanes, earthquakes, and floods to man-made crises: - how the company will respond when critical employees are suddenly unavailable for an extended period of time.

Manager Self-Service (MSS) MSS is the use of software and corporate network to automate paper-based processes requiring managers approval, record-keeping, or input, and processes that support managers job MSS helps managers develop and grow staff and assist employees in determining their career paths and developing required competencies

Employee Self-Service (ESS)ESS consists of Processes that automate formerly labor-intensive transactions for employees and HR professionals.

ESS applications can free up valuable HR staff time, reducing administrative time and costs.

Job DesignJob design is a step that follows job analysis and is the the process in which the work is structured, and specific tasks and responsibilities are designated to individuals or groups. Job design dictates the manner in which work tasks are arranged, to arrive at the maximum efficiency and optimal outcomes.

Difference Between Job Analysis and Job Design

Job analysis involves the evaluation and analysis of a job, in terms of the tasks, responsibilities, skills, tools, knowledge and expertise required to fulfil the job requirements successfully.

Job design dictates the manner in which work tasks are arranged to arrive at the maximum efficiency and optimal outcomes.

Job design follows job analysis, and the purpose of both job analysis and design is to create the best fit among the companys needs and individual with the right skills, knowledge and capabilities to deliver to those needs.

Job EnrichmentJob enrichment involves making basic changes in the content and vertical level of responsibility of a job to provide greater challenges to the worker, often improving job performance and satisfaction.

Job EnlargementChanges in scope of job to provide greater variety to worker

Job RotationJob rotation, or cross-training, moves employees from one job to another to broaden their experience. Often required for higher-level tasksCan be effective in protecting a company against the loss of key employees.

ReengineeringReengineering involves a firms radically rethinking and redesigning its business processes to become more competitive.Reengineering aims to achieve dramatic improvements in critical measures of performance such as:CostQualityServiceSpeed

DownsizingDownsizing is a business strategy to reduce costs, most often through a reduction in payroll.

**A job is a group of tasks that must be performed for an organization to achieve its goals. It may require the services of one person or many. *Job analysis provides a summary of a jobs duties and responsibilities, its relationship to other jobs, the knowledge and skills required, and working conditions under which it is performed.

Job analysis is conducted after the job design, worker training, and performance of the job is underway.Facts about the job as it currently exists are gathered by asking questions similar to those posed in this slide. Then, the answers are analyzed and recorded. **The job description details major duties, the percentage of time devoted to each duty, performance standards, working conditions and potential hazards, the number of employees performing the job and to whom they report, and the equipment used on the job.**At the minimum, the employee and the employees immediate supervisor should participate in job analysis.

Large organizations may have one or more job analysts, small organizations may use line supervisors, and other organizations my hire consultants.**If todays employees change careersnot just jobs three times in their lives, streamlined methods of providing accurate and timely job analysis must be developed. *In many firms today, people are being hired as team members so they must do whatever is needed to complete a given project. **Most forward-thinking HR professionals have changed the way they work, bringing a much deeper and broader understanding of business issues to the table.*Strategic planning is the process by which top management determines overall organizational objectives and how they are achieved. HR executives are highly involved in this process as the company may need to diversify or downsize to gain competitive advantage in the marketplace.

*If a firm manufactures personal computers, activities can be stated in terms of the number of units to be produced, number of sales calls to be made, number of vouchers to be processed, etc. *Some are qualitative and others are quantitative.

One of the most useful predictors of employment levels is sales volume.

The relationship between demand and the number of employees needed to be positive, as seen in this slide. *

***When an employee surplus looks likely, most companies consider alternatives to layoffsas well see in the next slide. *At times, layoffs can be a necessary cost-cutting measure but they can generate increased turnover, create anxiety among remaining staff, lower morale, and decrease productivity. More popular alternatives include: a restricted hiring policy that reduces the workforce by not replacing employees as people leave, early retirement, swapping employees within the construction market, and reducing a full-time employee to 30 hours a week without losing health benefits***use of software and the corporate network to automate tasks that were previously done by HR.

There are distinct levels of self-service:-Basic MSS automates paper, workflow, and processes associated with routine transactions, such as awarding pay increases, arranging transfers, and approving vacation time and travel expenses. -More advanced processes include recruiting, compensation planning, and performance management.

*Employee self-service (ESS) consists of processes that automate previously labor-intensive transactions for both employees and HR professionals, reducing administrative time and costs.

In a recent survey by CedarCrestone, 60 percent of respondents have pay-related self-service applications and 59 percent use benefits-related self-service. ***Job design also includes job enlargement, which provides workers with greater variety by increasing the number of tasks the worker performs, all at the same level of responsibility.

Both job enrichment and job enlargement are used when workers have progressed as far as they can in their present jobs or who are burning out.