INTRODUCTION

HUMAN RESOURCE MANAGEMENT

DEFINITION AND MEANING

GARY DESSLER defines Human Resource Management as the process of

acquiring, training, appraising, and compensating employees, and of attending to their
labour relations, health and safety, fairness concerns, conducting job analysis
(determining the nature of each employee’s job)
* Planning labour needs and recruiting job candidates
* Selecting job candidates
* Orienting and training new employees
* Managing wages and salaries (compensating employees)
* Providing incentives and benefits
* Appraising performance
* Communicating (interviewing, counseling, disciplining)
* Training and developing managers
* Building employee commitment

Human resource management is the strategic approach to the effective and

efficient management of people in a company or organization such that they help their
business gain a competitive advantage. It is designed to maximize employee
performance in service of an employer's strategic objectives.

Human Resource is the most prospective and adaptable resource. Its effective
utilization is very important for nation. No society and no nation can be proud of its
human resource unless there is a systematic and sustainable development of capacities
of its people and convert the human resource into human capital. Human resource is
the most strategic resource and must be efficiently utilized to generate income and
wealth for a nation.
 Capital, Raw material, Labor, Markets and Machines are regarded as the most
important resources of organizations but men or human resources are treated as the
only crucial and dynamic factor of production. Though other factors of productions
are also important yet they are considered to be worthless without the involvement of
human factor.

The world-wide expansions of changing technologies, Indian Organizations

have realized the importance of training. Today, human resource is now a source of
competitive advantage for all organizations. Therefore, the training system in Indian
Industry has been changed to create a smarter workforce and yield the best results.
With increase in competition, every company wants to optimize the utilization of its
resources to yield the maximum possible results.

The following are the important operative functions of human resource

management employment, development, compensation and human relations.

Employment:
It is the operative function of Human resources management (HRM).
Employment is concerned with securing and employing the people possessing
required kind and level of human resources necessary to achieve the organizational
objectives. It covers function such as job analysis, human resource planning,
recruitment, selection, placement, induction and internal mobility.

Human Resource Development:

It is the process of improving, molding and changing the skills, knowledge,
creative ability, aptitude, attitude, values, commitment etc., based on present and
future job and organizational requirements.

Compensation:

It is the process of providing adequate and fair remuneration to the employees.

It includes job evaluation wage and salary administration, incentives, bonus, fringe
benefits, social security measures etc.
Human Relations:
Practicing various human resources policies and programs like employment,
development and compensation and interaction among employees create sense of
relationship between the individual worker and management, among workers and
trade unions and management.
The human resource management function is changing - perhaps more
radically than ever before. The HR function and its activities are being examined in
microscopic detail in many large organizations. Human resource processes, especially
those involving the collection and dissemination of information, are being
computerized and automated, potentially eliminating routine clerical activities. HR
information and knowledge is being linked and integrated with other information
systems, breaking down departmental barriers.

As HR processes become more easily measurable, the need for justification

and the means to do so become more obvious. Concepts such as the high performance
in organization and knowledge management offer HR specialists the chance to push
HRM to the fore. HR processes and their outcomes are central to these concepts and
the introduction of technology allows more exact methods of determining whether or
not human resource initiatives do affect the 'bottom line' and shareholder value.

Human Resource management (HRM) is the strategic approach to the

management of an organization's most valued assets - people. PEOPLE are the
important and valuable resources ever)' organization has in the form of its
employees. Dynamic people can make dynamic organizations. Efficient
employees can contribute to the effectiveness of the organization. Competent
and motivated people can make things happen and enable an organization to
achieve its goals.

Human resources are thus the most valuable and unique assets of every
organization. The successful management of an organization's human resources
is an exciting, dynamic and challenging task; especially at a time when the world
has become a global village and economies are in a state of flux.
 The scarcity of talented human resources and the growing
expectations of the modern worker have further increased the complexity of
the human resource function.

Even though specific human resource functions/ activities are the

responsibility of the human resource department, the actual management of the
human resources is the responsibility of all the managers in the organization. It
is therefore necessary for all the managers to understand and give importance to
the different human resource policies and activities in the organization.

Human resource management is involved in managing the human resources

with a focus on expanding customer base which would transform into profits to
the company. HRM concerned with the personnel policies and managerial
practices and systems that influence the workforce. In broader terms, all
decisions that affect the workforce of the organization concern with the human
resource management function. HRM functions are broadly classified into two
categories:

- Managerial Functions

- Operative Functions
MANAGERIAL FUNCTIONS

Managerial functions include planning, organizing, directing and

controlling. The operative functions of HRM are related to specific activities of
HRM such as recruitment, development, employee relations, compensation, and
performance appraisal and evaluation. These activities are performed regardless
of whether the organization is a private company or a public enterprise, a
government agency or a non-profit group. Some of these activities may be
combined or may take different forms depending on the size and function of the
overall organization, but each one is a fundamental part of human resource
management.

OPERATIVE FUNCTIONS

The operative functions of human resource management are those

operational duties or functions, of human resource department, implemented by
HR Managers. The operative functions of HRM encompass a wide range of duties:

 Employment

 Procurement

 Development

 Compensation

 Maintenance

 Industrial relations

 Integration.

HR policies are based on the organizational culture and objectives and they
define the role of the HR department in an organization. They determine
the relationship between the management and the employees and the, way the
employees are treated and valued in the organization. HR procedures help the
management in implementing the HR policies.
 Human resource management takes place within a business environment that
is increasingly global in its reach. Globalization is a hotly debated subject with many
implications on the practice of HRM, both within and between countries. The
allocation of human resources depends on comparative issues such as international
competitiveness and productivity, factors that are themselves dependent upon a wide
range of variables. Foreign inward investment and subcontracting can bring benefits
in terms of increased employment opportunities, earnings and economic development
but this may be at the expense of comparatively low pay, poor working conditions and
denial of employment rights. However, along with a trend towards reduction of
trading barriers and encouragement of international trade, there is an increasing call
for worldwide regulation of labour issue.

Many practitioners and academicians have neglected HRM's environmental

context, preferring to concentrate on technical detail. This is consistent with criticisms
of traditional personnel management for its narrow focus on functional or 'micro'
matters such as recruitment. In fairness, however, it must be recognized that personnel
managers have always required a detailed knowledge of employment legislation,
together with an understanding of industrial tribunals and trade union organization.
Nevertheless, this represents a restricted selection from the wide range of
environmental factors impacting on people management.

The essence of HRM lies in the competitive advantage to be gained from

making the most of an organization's human resources. However, it is obvious that we
are constrained by the availability of suitable people - a factor that is heavily
dependent on environmental variables such as:

 The effect of inflation on the perceived value of wages

 The traditions of local business culture
 The particular nature of national employment markets
 These variables have a 'macro' effect on the utilization of human resources
 Competitors' utilization and demand for human resources
 Multinational organizations and strategic alliances leading to restructuring or
integration on a global basis
  Economic and legislative actions by governments
 Resistance or co-operation from trade unions
 Pressure on senior managers to cut costs and maximize shareholder value

Human Resource Development

Human Resource Development is the framework for educating and mentoring

employees to develop their personal and organizational skills, knowledge, and
abilities. Human Resource Development includes skill enhancing programmes viz
employee training, employee career development, performance management and
development, coaching, succession planning, key employee identification, tuition
assistance, and organization development. The focus of all aspects of Human
Resource Development is on developing the most superior workforce so that the
organization and individual employees can accomplish their work goals in service to
customers.

Human Resource Department in Visakhapatnam Port Trust

This department includes number of functions which are as follows:

1. Training and Development – It includes technical, soft skills and process related
to performance of the job.

2. Process and Policies – It contains all the rules and regulations that need to be
followed to by the employees.

3. Appraisal and Increment – It is formal feedback to the employees about their

performance and the conduct of the work.

4. Induction – It involves the information to the new employees about the

company, new job and the departments.

5. Key result area (KRA) – It is the measurement quantifiable of output for

the role of responsibilities. . . .
6. Employee separation- includes registration and dismissal.
7. Joining formalities- takes place when a new employee joins the company.
8. Computerization
9. Helpdesk
10. Employee verification-takes place at the time of joining if the new
employee.
11. Surveys.
12. Project trainees
13. Counseling and grievance handling-both are different as counseling
basically helping out in personal problems whereas, grievances
handling involves the handling of complaints that the employees has
towards the management.
 TRAINING AND DEVELOPMENT

THE ESTABLISHMENT OF TRAINING PROFESSION

With the outbreak of World War II, the industrial sector was once again asked to
retool its factories to support the war effort. As has happened in World War I, this
initiative led to the establishment of new training programs within larger
organizations and unions. The feudal government establishment the training within
industry (TWI) service to co-ordinate training programs across defense-related
industries. TWI also trained company instructors to teach their company instructors
to teach their programs at each plant. By the end of the war, the TWI has trained over
23000 instructors, awarding over 2 million certificates to supervisors from 16000
plants, unions and services.

Many defense-related companies established their own training departments

with instructors trained by TWI. These departments designed organized and
coordinated training across the organization. In 1942, the American Society of
Training Directors (ASTD) was formed to establish some standards within this
emerging profession. At the time, the requirements for full membership in ASTD
included a college or university degree plus 2 years of experience in training or a
related field, or five years of experience in training. A person working in training
function or attending college qualified for associate membership.

TRAINING:

According to Flippo, training is the act of increasing the knowledge and skills
of an employee for doing a particular job. Training may be defined as a planned
programme designed to improve performance and bring about measurable changes in
knowledge, skills, attitude and social behavior of employees.
 Training is concerned with imparting and developing specific skills for a
particular purpose. Training is the process of learning a sequence of programmed
behavior. The behavior being programmed, is relevant to a specific phenomena, that
is a job. Training is the process of increasing the skills of an employee for doing a
particular job.

Characteristics of Training
1. Increases knowledge and skills for doing the job.
2. Bridges the gap between jobs needs and employee skills, knowledge and behavior.
3. Job-oriented process, vocational in nature.
4. Short-term activity designed essentially for operatives.

DEVELOPMENT:

It refers broadly to the nature and direction of change induced in employees,

particularly managerial personnel/human resources, through the process of training
and education. Development is considered to be more general than training and it is
aimed towards management people. Usually the intent of development is to provide
knowledge and understanding that will enable people to carry out non-technical
organisational functions more effectively, such as problem-solving, decision-making
and relating to people.

DIFFERENCE BETWEEN TRAINING AND DEVELOPMENT

Training is a short-term process utilizing a systematic and organized procedure

by which non-managerial personnel learn technical knowledge and skills for a definite
purpose.

Development is a long-term educational process utilizing a systematic and

organized procedure by which managerial personnel learn conceptual and theoretical
knowledge for general purposes.
 Thus, training is meant for operatives and development is meant for managers.
Training tries to improve a specific skill relating to a job, whereas development aims
at improving the total personality of an individual. Training is a one shot-deal whereas
development is an ongoing, continuous process. Training is a result of outside
motivation, whereas development is mostly a result of internal motivation. Training
seeks to meet the current requirement of the job, whereas development seeks to meet
the future needs of the individual and job. Thus training is a reactive process, whereas
development is a proactive process.

APPROACHES FOR TRAINING AND DEVELOPMENT

APPROACHES FOR TRAINING AND DEVELOPMENT

MODERN APPROACH TRADITIONAL APPROACH

TRADITIONAL APPROACH:

Most of the organizations before never used to believe in training. They

were holding the traditional view that managers are born and not made. There were
also some views that training is a very costly affair and not worth. Organizations used
to believe more in executive pinching. But now the scenario seems to be changing.

MODERN APPROACH:

The modern approach of training and development is that Indian

Organizations have realized the importance of training. Training is now considered as
more of retention tool than a cost. The training system in Indian Industry has been
changed to create a smarter workforce and yield the best results.

TRAINING AND DEVELOPMENT OBJECTIVES:

The principal objective of training and development division is to make sure

the availability of a skilled and willing workforce to an organization. In addition to
that, there are four other objectives: Individual, Organizational, Functional, and
Societal. Training provides solutions to work related problems and issues and also
improves work culture in organizations. It is a technique to improve skills and
abilities of employees to effectively perform their duties. It is a tool available with the
organization to influence the Behavior of its employees and make them more dynamic
way.

OBJECTIVES OF TRAINING AND DEVELOPMENT

Individual Organizational Functional Societal

Objectives Objectives Objectives Objectives

Individual Objectives -- help employees in achieving their personal goals, which in

turn, enhances the individual contribution to an organization.

Organizational Objectives – assist the organization with its primary objective by

bringing individual effectiveness.

Functional Objectives – maintain the department’s contribution at a level suitable to

the organization’s needs.

Societal Objectives – ensure that an organization is ethically and socially responsible

to the needs and challenges of the society.
ADVANTAGES OF TRAINING:

The contributions of imparting training to accompany should be readily apparent. The

major values are:

i. INCREASED PRODUCTIVITY- An increase in skill usually results in an

increment in both quality of output. However, the increasingly technical nature of

modern jobs demands systematic training to make possible even minimum levels of

accomplishment.

ii. HEIGHTENED MORALE: Possession of needed skills helps to meet such basis

human needs as security and ego satisfaction. Collaborate personnel and human

relations programs can make a contribution towards morale, but they are hollow

shells if there is no solid core of meaningful work down with knowledge, skill and

pride.

iii. REDUCED SUPERVISION: The trained employee is one who can perform with

limited supervision. Both employee and supervision but greater independence is not

possible unless the employee is adequately trained.

iv. REDUCED ACCIDENTS: More accidents are caused by deficiencies in

equipment and working conditions. Proper training in both job skills and safety

attitudes should contribute towards a reduction in accident rate

v. INCREASED ORGANIZATIONAL STABILITY: The ability of an

organization to sustain its Effectiveness despite the loss of key personnel can be

developed only through creation of a reservoir of employees. with multiple skills to

permit their transfer to jobs where the demand is highest.

 NEED FOR THE STUDY

A majority of the international business activities depends heavily on the port.

Port plays a key role in transporting cargo, which cannot be handled otherwise. It
started with engagement of 60,000 personnel in 1930 after a short period of time the
total personnel engaged in ports across the world has risen to 10 lakh in numbers.

It has attached a large number of heavy industries like HINDUSTAN

SHIPYARD LIMITED, HPCL, RASTHRIYA ISPAT NIGAM LIMITED ,
COROMANDEL FERTILISERS Ltd that were established in Visakhapatnam only
because of port facilities , to study the activities of this organization in such
organizations , human resource development is the important concept. In such
conditions no firm that wishes to survive and prosper can ignore the need for
TRAINING AND DEVELOPMENT (T&D). T&D is used to trap the hidden qualities
in people in order to make them to accomplish new functions leading to
organizational and individual goals.

Hence it appeared very vital to study the activities of this organization. VPT is
the only organization which has contributed to the natural harbor facilities and partly
to the efficient management zeal, to understand the organization’s business
thoroughly which contributed to the success of the VPT and to know the performance
of VPT inspired me to take up the study of its employee training and development.

SCOPE OF THE STUDY

The study was limited to the personnel department and HRD department of
VISAKHAPATNAM PORT TRUST; it contains seaway feasibility and port profile,
structuring of major ports and import-export, history of ports in India and Human
Resource Development department details. It covers some of the aspects related to
training and development practice in VISAKHAPATNAM PORT TRUST.
 OBJECTIVES OF THE STUDY

1. To understand the employees’ perception about training and development.

2. To examine the effectiveness of training in overall development of skills of

workforce.

3. To examine the impact of training on the workers.

4. To study the changes in behavioral pattern due to training.

5. To know the existing practices of training & development &recent trends.

6. To promote suggestions to improve training and development practices based on

the observations made through this study.

7. To know the employee’s opinion and response on Performance Appraisal System

in VPT.

8. To know the factors which are crucial in imparting quality training to human

resources in Visakhapatnam Port Trust for evaluation of their effectiveness.

9. To analyze the drivers of motivation and quality enhanced when employees are

given upgradation training or technical training.

 RESEARCH METHODOLOGY

Research Methodology is a contextual framework for research, a coherent and

logical scheme based on views, beliefs, and values, that guides the researchers.

Research methodology is the framework of specific procedures or techniques used to

identify, select, process, and analyze information about a topic. In a research paper, the
methodology section allows the reader to critically evaluate a study’s overall validity
and reliability. The methodology section answers two main questions: How was the
data collected or generated?, How was it analyzed? 

For the purpose of achieving data effectively the information consists of two types of
data. The diagram is as follows:

DATA COLLECTION

PRIMARY DATA SECONDARY DATA

1. Information from various

publications and journals.

2. Personnel report of VPT.

3. News, magazines.