Professional Documents
Culture Documents
Answer Case Study 1: Human Resource Management
Answer Case Study 1: Human Resource Management
Answer
CASE STUDY 1
• Personnel policies constitute guide to action. They furnish the general standards or basis on
which decisions are reached.
• A policy is man-made rule or predetermined course of action that is established to guide the
performance of work towards the organization. It is a type of standing plan that serves to guide
subordinates in the execution of their work------------- Edwin B. Flippo.
• Policies include that body of understanding which makes the action of each member of group
in a given set of circumstances more predictable to other members. --------Haynes and Massie.
• Policies are general statement or understanding which guide or channel thinking in decision
making of subordinates. ------Koontz and O’Donnell.
• Personnel policies are statements of objectives for the guidance of management in its
relations with employees.
Policies stem from a wide variety of places and people. They are not created in a vacuum but
are based on a few principal sources, which determine the content and meaning of policies.
These are:
• The past experience of the organization.
• The prevailing practices.
• The attitude, ideals and philosophy of the board of directors.
• The knowledge and experience gained from handling personnel problems.
• Employees’ suggestions and complaints.
• Collective bargaining programme.
• State and national legislations.
• Changes in the country’s economy.
• International forces.
• Culture of the plant.
• The extent of unionism.
• The attitudes and social values of labour.
• The goals of the organization.
• The ethical points of view or the social responsibility.
STEPS IN POLICY
Management
Management for us means assuming responsibility for our stakeholders and delegating at the
right level. We achieve both predefined and individual goals regardless of personal preferences
and while maintaining equal opportunities, irrespective of origin, nationality, sex, sexual
orientation, religion or age. Managers challenge and motivate, in the same way as they
themselves are challenged and motivated.
Employment plan
The employment plan is discussed annually by the Board of Directors as part of the budget
meet-ing. In principle, we want to avoid any labour reserves. We cover peak times using
interdepartmen-tal support, overtime or temporary employees.
Staff development
We demand a high level of commitment and qualifications. We encourage the development of
technical and social skills through training and further education. Because we invest a lot in our
employees, we strive to maintain long-term employment relationships. We support young
people by offering apprenticeships and/or internships.
Social aspects
We offer progressive working conditions and competitive employee benefits. We also provide
as-sistance for employees who use public transport and help with health insurance provisions.
Smok-ing is only permitted in designated areas.
Salaries
Our system ensures that our salaries are competitive, gender-neutral and meet requirements.
The basic salary is the main component of the salary. In addition there is a variable component
which is dependent on the extent to which individually agreed targets are achieved and on the
operating performance of the company as a whole. More details are available in the
Employment Regulations.
Job structure
We offer a practical infrastructure with modern, if not fashionable, working tools. Depending
on the position, we are open to flexible working hours.
Information, communication and behaviour
Regarding information and communication, we practice the principle of reciprocity: actively
com-municate information and actively obtain information. We behave in a respectful, loyal,
open and honest manner, and act with integrity. We complete our tasks with dedication and to
the best of our knowledge.
Working environment
We work in an environment of mutual trust. We hold joint events to build team spirit and
mutual understanding.
CASE STUDY 2
Recruitment is understood as the process of searching for and obtaining applicants for jobs,
from among whom the rights people can be selected. Theoretically, recruitment process is said
to end with the receipt of applications, in practice the activity extends to the screening of
applications so as to eliminate those who are not qualified for the job.
Recruitment refers to the process of receipt of applications from job seekers. In reality, the term
is used to describe the entire process of employee hiring. These are recruitment boards for
railways, banks and other organization.
The recruitment process is one of the most fundamental value added HR Processes. The
recruitment is especially critical for managers in the organization. The managers use the
recruitment process intensively, and satisfaction with Human Resources is mostly about the
satisfaction with the recruitment process.
The recruitment process is sensitive to the external and internal changes, and it can be used as
the best indicator for the future HR trends. By careful analysis of HR Recruitment Measures,
the HR Management team can predict the trends in the job market simply.
Main Recruitment Process Goals
The recruitment process is designed to staff the organization with the new employees, and it
uses many different recruitment sources to attract the right talent in the defined quality and
within a defined time.
The recruitment process has several goals:
• Find the best talents for the vacancies
• Manage the recruitment sources
• Manage the vacancies in the organization
• Run the internal recruitment process
• Building the strong HR Marketing platform
• Co-operation with local and international universities
• Provide feedback about the trends in the job market
Most recruitment goals are not visible to managers directly, and they use just sourcing of the
job candidates as the main outcome from the recruitment process. HR has to use the other
outcomes from the recruitment process as it is the source of valuable information.
Finding the best talents on the job market
This is the most important goal of the recruitment process. The HR Recruiters are paid for
delivering the candidates to managers, who make the final decision about hiring a new
employee.
The organizations are fighting for the best talents in the job market. HR Recruiters have to
develop the competitive approaches to make the attractive job offers. The candidates select the
organization, which is recognized for being modern and competitive. The job adverts and job
offers have to reflect this.
The managers love to hire the best employees available on the job market. They love to
interview motivated job candidates. The role of HR is to describe the real need to the manager.
Many times, the best job candidate is not the appropriate job candidate.
Recruitment Sources Management
The recruitment sources management is an extremely significant goal of the recruitment
process. The recruitment sources deliver the candidates for the selection procedure in the
organization. The better the candidates are; the higher quality job candidates can be hired. The
proper management of the recruitment sources has a significant impact on the competitive
advantage of the organization.
The better employees do not have to be more expensive, but the organization has to manage the
recruitment sources to attract the high quality job candidates.
Building the Strong Internal Recruitment Process
The external recruitment is not the only goal of the recruitment process. Building the strong
internal recruitment helps the organization to keep the best talents in the organization. The
employees have a chance to apply for a new job position, and they can change their career path.
The internal recruitment is a difficult HR topic as the managers have to allow their best
employees to take a new role within the organization. The role of Human Resources is in
allowing the best employees to rotate and in supporting the managers in developing the
successors.
HR Marketing
The HR Marketing is essential for the large organization, which need to attract many job
candidates. The large organization cannot hire just the experts; they have to attract many
university graduates. The graduates do select the employer by the strength of the brand name on
the job market and offered opportunities in the organization.
The HR has to design the recruitment activities, which support the name of the employer on the
job market. The organization has to build a positive brand name, and it has to promote the job
opportunities and excellent career paths.
A major internal factor that can determine the success of the recruiting programme is whether
or not the company engages in HRP. Effective HRP greatly facilitates the recruiting efforts.
Size is another internal factor having its influence on the recruitment process. An organization
with one hundred thousand employee will find recruiting less problematic than an organization
with just one hundred employees. Cost of recruiting is yet another internal factor that has to be
considered. Recruiting cost are calculated per new higher and fig. is considerable now-a-days.
Recruiters must, therefore, operate within budgets. Careful HRP and forethought by recruiters
can minimize recruitment costs. One cost-saving measure, for instance, is recruiting for
multiple job openings simultaneously. The best solution is to use proactive personnel practices
to reduce employee turnovers, thus, minimizing the need for recruiting. Evaluating the quality,
quantity and cost of recruitment helps ensure that it is efficient and cost-effective. Finally, an
organization registering growth and expansion will have more recruiting on hand than the one
which finds its fortunes declining.
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PROCESS ELEMENTS FOR ALL POSITIONS
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STEP 1
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STEP 4
ADVERTISING
[COPY/MEDIA PLAN] except for senior positions [ head hunting]
[ MUST REFLECT TRUTH, NO FALSE INFORMATION,
NO GENDER BIAS, NO DISCRIMINATION,NO AGE BAR, ETC]
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STEP 5
PERSONAL INTERVIEW
-INDIVIDUAL PER TO PER
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STEP 8
TESTING [ BEHAVIORAL]
-PSYCHOLOGICAL procedural element for all positions except senior position
-PERSONALITY procedural element for all positions except senior position
-ABILITY procedural element for all positions except senior position
-APTITUDE procedural element for all positions except senior position
-PSYCHOMETRIC procedural element for all positions
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STEP 11
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STEP 16
OFFERING EMPLOYMENT procedural element for all positions
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STEP 17
Recruitment is the process used by an organization to locate and attract job applicants in order
to fill a position. An effective approach to recruitment can help a company successfully
compete for limited human resources. To maximize competitive advantage, a company must
choose the recruiting method that produces the best pool of candidates quickly and cost
effectively. There are five steps to the process.
STEP 1: IDENTIFY THE JOB OPENING
This step would appear to be an easy one-just wait until an employee turns in a notice of
resignation. Many job openings are, in fact, identified in this way. A major problem with this
approach is that it may take the company a long time to fill the opening. For instance, it usually
takes six to eight weeks to notify and screen applicants, and a week or more to make a decision
regarding a job offer. After the decision is made, the selected candidate must give notice
(usually about two weeks) to his or her previous employer. Thus, the job in question is likely to
remain vacant for months, even if the process runs smoothly.
Ideally, organizations should attempt to identify job openings well in advance of an announced
resignation. The HRM department should plan for future openings in both the short and long
term. The projection of future openings provides organizations with the time needed to plan and
implement recruitment strategies so that they do not fall prey to the "must-hire-by-last-week"
syndrome. The HR plan should answer at least the following questions:
• Are any newly budgeted positions opening soon?
• Is a contract under negotiation that may result in the need for additional hires?
• What is the amount of expected turnover in the next several months?
STEP 2: DECIDE HOW TO FILL THE JOB OPENING
The first question to ask after determining that an opening exists is "Do we need to find a new
person to fill the vacant position?" Sometimes it is unnecessary to staff a vacant position
because the firm can rely on other alternatives. For instance, it may be more prudent to provide
overtime opportunities to current workers to complete the needed work. Other alternatives
include job elimination and job redesign (i.e., incorporating the tasks of the vacant position into
currently existing positions). If the firm chooses to fill the vacancy, it must address two issues:
(1) whether to outsource, and (2) in the absence of outsourcing, whether to recruit candidates
internally or externally.
STEP 3: IDENTIFY THE TARGET POPULATION
Now the organization must determine what types of individuals it is looking for to fill the
vacant positions. To address this question, an organization must define its target population.
Two issues arise here: (1) specifying worker requirements and (2) deciding whether to target a
certain segment of the applicant population.
An organization must identify specific requirements of the job: the duties, reporting
relationships, salary range for hiring, and competencies required of a new worker (e.g.,
education, experience, knowledge, skills, and abilities). Ideally, much of this information will
have been gathered during a job analysis and thus be contained in the job description. If not, the
recruiter should gather it from the hiring manager. An organization must also decide at this
point whether to target all qualified applicants or to focus its recruitment efforts on certain
segments of the qualified applicant population.
When recruiting internally, the issue is this: Should the company post the job so that all
qualified employees can be considered? Or should the company select certain high-potential
employees and groom them for the position? When recruiting externally, the company must
decide whether to inform all potential applicants or target certain types. Companies may reap
advantages when they target members of certain groups. Another strategy is to target graduates
of specific schools that have exceptionally strong programs in the functional areas of concern.
Additionally, some companies target top-performing employees working for other companies.
Recruitment of such individuals poses some unique problems, however; these individuals may
be difficult to reach because they are not actively seeking a new job. Moreover, the practice of
pirating employees from other firms raises some serious ethical questions.
STEP 4: NOTIFY THE TARGET POPULATION
Once an applicant population has been targeted, the company must determine how to notify
these individuals of the vacant position. A variety of recruitment methods may be used for
communicating vacancies. A firm can benefit from both low-involvement and high-
involvement strategies at this stage of the recruitment process. Low-involvement strategies are
things such as corporate sponsorship or advertisements of the company's product or service may
influence applicants' positive perceptions of that firm and therefore increase applicant attraction,
but do not specifically identify a job opening. High-involvement recruitment strategies involve
things such as detailed recruitment advertisements or employee endorsements, which occur
when potential applicants meet with current employees to hear more about their experiences
with that company. Both low-involvement and high-involvement strategies have a positive
effect on the number of applicants who apply for jobs with an organization and on the quality of
the applicants who apply.
When choosing a specific way to notify the target population, different recruitment methods
may be used. Some popular options are internal job postings; newspaper, radio, and television
advertisements; trade magazine advertisements; Internet job sites; college campus interviews;
and current employee referrals. The choice of which to use depends on the number of positions
to be filled, the cost of each recruitment method, the characteristics of the target audience, and
economic conditions.
The more positions to be filled, the more widely the firm may choose to advertise, perhaps
using a newspaper or radio advertisement. Costs differ for recruitment methods and a firm may
be willing to invest more in recruitment when suitable applicants are difficult to find or when
poor hiring decisions may be costly. The characteristics of the target audience influence
recruitment method; for example, using an Internet posting would be fruitless if most of the
applicant pool is unlikely to have access to a computer. Poor economic conditions, where
unemployment is high, will result in higher numbers of job applicants and possibly a lower
average level of quality of applicants. In this situation, to avoid spending an inordinate amount
of time weeding through applications, firms must discourage all but the best applicants from
applying.
STEP 5: MEET WITH THE CANDIDATES
Finally, the most qualified candidates are brought in for interviews and other assessment
procedures. These serve both selection and recruitment purposes. From a selection perspective,
they give the firm a chance to further assess the candidates' qualifications. From a recruitment
perspective, they provide the candidates with an opportunity to learn more about the
employment opportunity.
Candidates should be provided with information about the company and the job. Failure to
provide a sufficient amount of information could be detrimental to the recruiting process. For
example, it may be interpreted by the candidates as an attempt to evade discussion of
unattractive job attributes, or it may be viewed as an indication of the recruiter's disinterest in
them. Without specific information, applicants might accept a job offer without knowing about
aspects of it that might affect their long-term job satisfaction, or they may refuse an offer
without knowing about some of the job's attractive attributes.
CASE STUDY 3
Navin AGM materials, is fuming and fretting. He bumped into Kiran, GM Materials, threw the
resignation letter on his table, shouted and walked out of the room swiftly.
Navin has reason for his sudden outburst. He has been driven to the wall. Perhaps details of the
story will tell the reasons for Navin’s bile and why he put in his papers, barely four months after
he took up his assignment.
The year was 2005 when Navin quit the prestigious Sail plant at Mumbai. As a manager
material Navin enjoyed the power. He could even place an order for materials worth Rs 25 lakh.
He needed nobody’s prior approval.
Navin joined a pulp making plant located at Pune as AGM Materials. The plant is owned by a
prestigious business house in India. Obviously perks, designation and reputation of the
conglomerate lured Navin away from the public sector.
When he joined the pulp making company, little did Navin realize that he needed prior approval
to place an order for materials worth Rs 12 lakhs. He had presumed that he had the authority to
place an order by himself worth half the amount of what he used to do at the mega steel maker.
He placed the order material arrived, were recived, accepted and used up in the plant.
Trouble started when the bill for Rs 12 lakh came from vendor. The accounts department
withheld payment for the reason that the bill was not endorsed by Kiran. Kiran rused to sign the
bill as his approval was not taken by Navin before placing the order.
Navin felt fumigated and cheated. A brief encounter with Kiran only aggrarated the problem.
Navin was curtly told that he should have known company rules before venturing. Navin
decided to quit the company.
It doesn’t look like the company has an orientation programmed or it is ineffective.
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Although these sessions should be welcoming, orientations for new employees should also be
more than a feel-good gesture. They should also be more than an instructional session that
provides essential human resources, benefits, and payroll information for new employees. The
most effective orientations help new employees understand what will be expected of them and
prepare them for the organization's work culture.
Orient the expectations of new employees
Managing expectations has long been a mantra of salespeople, account executives, and others
whose responsibilities are focused primarily outside the organization. Expectation management
falls on human resources managers as well. Managing expectations can start as early as during
new-employee orientations.
In new-employee orientations, the HR manager is essentially bringing new employees'
expectations in line with the organization's expectations. Accurately aligning these sets of
expectations in the first weeks of employment helps employees become productive more
quickly and ensures that they enjoy greater job satisfaction throughout their tenures. Some
studies suggest that well-executed new-employee orientations can also:
1 Lengthen the time that employees stay with a company.
2 Enhance staff cooperation and communication.
3 Improve client-customer relations because staff members have better work attitudes.
Communicate the organization's big picture
Where is your organization going? Even if your company has not made a formal strategic
planning document, it has communicated some important long-term goals. Too often, however,
these goals aren't shared with new employees whose efforts help determine whether the
organization's goals are met. Therefore, it should come as no surprise that employees, even
entire departments, sometimes operate under disparate assumptions about the company's
priorities and objectives.
All new employees, from entry-level staff members to senior executives, should view
themselves as members of an organization-wide team working toward a defined and united
goal. Certainly new employees need to understand their specific roles, but first they need to
understand the big-picture objectives of the organization, including objectives such as:
1 Is the organization striving to be an industry innovator?
2 Is the organization working to develop an international presence?
Whatever the objectives, new employees should be given a brief introduction to your
organization's goals. If you can, provide a copy of your annual report or a company brochure
that explains your organization's goals. With a bigger-picture perspective, employees are better
equipped to understand their specific role as it relates to long-term objectives.
Describe the unspoken company culture
Company culture can't be fully captured in job descriptions or employee manuals, because
culture is both explicit and unspoken. Most employees determine what behaviors are acceptable
as the organization evolves. However, an effective orientation can help new employees
transition more easily into the unique culture of your organization.
Even in highly conventional corporate cultures, it's preferable to share the unspoken aspects of
company culture to ensure that all new employees understand their work environments. Don't
make the mistake of assuming that cultural nuances are obvious or that new employees will
raise questions if they're unsure about what to wear or when to arrive at work.
Some unspoken aspects of company culture to share are:
1 Dress code What's the norm for the dress code?
2 Internal communication Is vertical communication encouraged or frowned upon?
3 Phone etiquette Do employees routinely forward their phone calls to voice mail?
4 Parking Are there any unspoken rules about where employees can park?
5 Lunch Do most employees eat in or out? Are there good places to eat nearby?
6 Work hours Are work hours fixed or flexible?
7 Extracurricular activities Are there groups of employees that get together outside work?
8 Attitudes Are work teams more cooperative or more competitive?
Share the routine details
As a seasoned HR professional, you probably already use a comprehensive checklist to ensure
that new employees receive and complete all required documentation, from W-4 forms to
insurance forms to e-mail account requests. Unfortunately, the sheer volume of this paperwork
can eclipse the routine information that new employees need on their very first day.
To help new employees get started, be sure that they know:
1 The layout of your office or campus A tour is preferable, but at the very least provide a user-
friendly map.
2 The location of the restrooms Inform them of the locations of restrooms near their work
areas.
3 Names and contact information of two coworkers Give them the contact information of two
coworkers in their department, besides their immediate supervisor or hiring manager.
Outline the employee's specific role
The best way for new employees to become productive quickly is by immersing themselves in
their new positions.
Immerse new employees in their jobs For positions with formal training, immersion is easy.
New employees simply pass from orientation to training, often in the same day. For positions
without formal training, role immersion can be more difficult.
Too often, supervisors and managers aren't available when new employees start, so employees
are left with little more to do than read the company handbook during their first few days on the
job. This can be confusing, especially for new employees who are expecting a challenging, fast-
paced environment.
Introduce new employees to their jobs The best employee orientations conclude with
introductions to each employee's specific job role. If several employees in a single role have
been hired at one time, this introduction can occur in a group setting. Otherwise, new
employees should receive one-on-one introductions from their managers or team leaders as part
of their orientation.
Orient employees for success
Starting a new job always involves a learning curve, but effective orientations can help new
employees make the transition by equipping them with:
1 An understanding of company goals.
2 An appreciation for the company's unique culture.
3 Routine information to get started.
4 An introduction to their role within the organization.
Employees who are well oriented to the company and to their jobs are ready to begin making a
significant contribution.
##########################################
Q4) If you were Navin what would have you done?
1.DISCUSS THE PROS/CONS OF THE CURRENT SYSTEM AND THE NEED FOR
REVISION FOR THE SAKE OF OPERATION EFFICIENY.
CASE STUDY 4
Bitter it may taste, shrill it may sound, and sleepless nights it may cause, but it is true. In a
major shake up Airbus. The European aircraft manufacturers has thrown a big shock to its
employees. Before coming to the details of the shock, a peep into the company’s resume.
Name Airbus
Created 1970
President CEO : Vijay M.
Employees 57000
Turnover 26 Bn (Euro)
Total Aircraft sold (Feb 2007) 7187
Delivered 4598
Headquarters Paris (France)
Facilities 16
Rival Boeing
Airbus announced on February 27, 2007 that it would shed 10,000 jobs across four European
contries and sell six of its unit. N the same day the helpless workers did what was expected of
them – downed tools and staged protests. The protesting workers at Airbus’s factory at Meaulte,
northern France, were seen picketing outside the factory gate after holding up production a day
earlier. To be fair to Airbus, its management entered talks with unions before the job loss and
sale was formally announced. But the talks did not mollify the agitated workers.
Job sheating and hiring of units are a part of Power and restructuring plan unleashed by Airbus
to save itself from increasing loss of its ground to the arch rival, Boeing Co.
Airbus Power & Strategy was first mooted in October 2006 but sparkled a split between France
& Germany over the distribution of job losses and the placement of future ones. Later the two
countries agreed to share both job losses and new technology.
The power and plan, if finalized, would mean a 3 per cent reduction to Airbus’s 55000
employee strength.
Q1) Why should Power and focus on shedding jobs to save on cost?
It is a mean to save the company and carry on the good work.
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Q2) Are there no alternative strategies?
THRER ARE ALTERNATIVES BUT THE FUNDING IS THE MAJOR CONSTRAINT.
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Q3) Will the proposed shedding of jobs and scale of six units help airbus survive the
intense competition from Boeing?
YES, THIS IS THE EXACT SITUATION.
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Q4) Comment on the whole issue?
THES WHOLE ISSUE COULD HAVE BEEN AVOIDED, IF THERE WAS AN
EFFECTIVE STRATEGIC PLANNING.