Omkar Anvekar

Strategic HRM & International Perspective

A) Long Answer

Q1) What do you mean by Strategic HR? Explain its significance/ Importance

1. HR Services HR services got boosted & they found a streamlined direction towards a new way of achieving
new goals of their organization.

2. HR Strategic Partnership An organization cannot be successes until there exists a collaborative partnership
among employee & companies’ higher management staff.

3. HR Compliance The success of an organization is strongly independent of its work staff. No success is
possible if you don’t oversight & manage your employment staff on a daily basis. The human resource
department must a communication with the entire employee on a daily basis.

4. HR Development Long term development of employee in the organization is key for success. To achieve
your future goals, you must be equipped with capable, talented and competent staff. That will support you
in your downfall & will stand stronger against any challenge.

5. Motivated Employees As per employee’s performance graph companies need to boost their motivation
level. Annual increment, employee of the month, employee of the years and promotions are the tactics to
appreciate your loyal employees. These little things motivate them and build strong relationships with
employees for the future as well.

6. Development of Flexible workforce The HRM strategic plan should include the activities to make flexible
workforce development. Strategic HRM includes the policy to convert your work into flexible one. Flexibility
in employee’s shifts, schedules and work location allow them to work freely. These relaxations will generate
more quality in their work & performance.

7. Employees’ Empowerment Strategic HRM, developed more enthusiasm in employee behavior. The
employee’s development includes some short courses, training sessions and short lectures that will change
employees into more skilled assets. These skill assets will be used in future against business competitors.

8. Positive Working Environment Strategic Human Resource Management, encourage positive work
environment within the organization. This environment will eventually brings rise in the employee’s
progressive & productive work graph. The positive work environment ensures the favorable benefits in
organizational aspects.

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Q2) Explain the impact of technological development of HRM

1.Better services to line manager Both HR and line managers primary interest is the success of the business.
The human resource’s main function is to support the workforce needs of the organization. Strategic
planning between HR and line managers is important for reviewing projections concerning future business
demands to determine whether to train current employees, to prepare them for promotion or to recruit
candidates with the higher level of skills to supplement the current employee knowledge database. Training
and developing the line managers in IT tools will, therefore, prepare the line managers for a number of
leadership tasks.

2.Enhancing management Human Resource IT tools that can supplement management and enhance
efficiency and effectiveness, which can lead to the success of the organization as a whole. For example,
currently, SuccessFactors Solutions has developed an HR IT tool of talent management for Hilton Worldwide,
which had a worldwide operational capacity. Organizations across the world are driving to improve
organizational performance regardless of the size of the organization or the industry.

3. Effective recruiting Nowadays, organizations have realized that effective recruiting cannot be done
without the use of IT. Organizations now use job portals on the internet to search for the best candidates
for the position. The process has been made effective with the use of the internet as many people come to
know of the offer and hence increases the probability of hiring efficient employees.

4. Data management and critical analysis Data management becomes easier when IT is used and it becomes
paper-free. Many of the monotonous work is no longer manual. This increases the efficiency of the work and
the effectiveness of it. Organizational performance can lead to the timely success of the business whether
in a stable or an unstable environment.

5. Inventory management tools and human resource management Entrepreneurs with business acumen
describe that the performance of an organization can be made more effective and efficient by customer
intimacy, operational efficiency, and leading edge. Customer needs must be met by customization and by
providing outstanding customer instances. For this purpose, organizations use HR IT tools to provide a
universal set of products and diversify the business by providing improved products and services.

6. Customer service and human resource management Organization performance can also be described by
evaluating the reliability of service and by understanding the quality of customers of the organization. Value
can come from providing a reliable service, so that the customers know that they will receive the service on
time, at the promised time, to a good standard of performance.

7. Career development and human capital management The career planning tool is a learning and
knowledge-based system that helps successful businessman around the world to manage their personal
development and career paths along with those of their employees. Performance evaluation and career
progression can be a key motivating factor for the employees to work effectively and efficiently.
Performance measurement and reward systems in an organization establish views of priority i.e. what is
important and what is not so important

9. Automation of HR processes Human resource management is an incredibly complex domain that involves
many processes. And it often happens that HR specialists spend too much of their precious time on mundane,

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monotonous activities instead of focusing on more serious issues. The implementation of technology into
the HR workflow frees the professionals from a great amount of routine work.

Q3) Explain the types of strategic HRM

Strategic HRM refers to HR that is coordinated and consistent with the overall business objectives in order
to improve business performance. According to Purcell (1999), SHRM focuses on actions that differentiate
the business from its competitors.

General HR strategies General strategies describe the overall system or bundle of complementary HR
practices that the organization proposes to adopt or puts into effect in order to improve organizational
performance. The three main approaches are summarized below.

1. High-performance management High-performance management or high-performance working aims to

make an impact on the performance of the organization in such areas as productivity, quality, levels of
customer service, growth and profi ts. High-performance management practices include rigorous
recruitment and selection procedures, extensive and relevant training and management development
activities, incentive pay systems and performance management processes.

2. High-commitment management One of the defi ning characteristics of HRM is its emphasis on the
importance of enhancing mutual commitment (Walton, 1985b). High-commitment management has been
described by Wood (1996) as: ‘A form of management which is aimed at eliciting a commitment so that
behaviour is primarily self-regulated rather than controlled by sanctions and pressures external to the
individual, and relations within the organization are based on high levels of trust.

3. High-involvement management As defi ned by Benson et al (2006): ‘High-involvement work practices are
a specifi c set of human resource practices that focus on employee decision making, power, access to
information, training and incentives.’ The term ‘high involvement’ was used by Lawler (1986) to describe
management systems based on commitment and involvement, as opposed to the old bureaucratic model
based on control. The underlying hypothesis is that employees will increase their involvement with the
company if they are given the opportunity to control and understand their work.

Specific HR strategies

Specific HR strategies set out what the organization intends to do in areas such as:

1. Human capital management – obtaining, analysing and reporting on data that inform the direction
of value-adding people management, strategic, investment and operational decisions.

2. Corporate social responsibility – a commitment to managing the business ethically in order to make
a positive impact on society and the environment.

3. Organization development – the planning and implementation of programmes designed to enhance

the effectiveness with which an organization functions and responds to change.

4. Talent management – how the organization ensures that it has the talented people it needs to
achieve success.

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5. Learning and development – providing an environment in which employees are encouraged to learn
and develop.

6. Knowledge management – creating, acquiring, capturing, sharing and using knowledge to enhance
learning and performance.

7. Resourcing – attracting and retaining high quality people.

Q4) Difference between strategic and traditional HRM

BASIS FOR COMPARISON HRM SHRM

Human resource management (HRM) SHRM is a managerial function which implies
implies the governance of manpower of the framing of HR strategies in such a way to
Meaning
organization in a thorough and structured direct employees efforts towards the goals of
manner. the organization.
Nature Reactive Proactive
Responsibility lies with Staff specialist Line manager
Approach Fragmented Integrated
Scope Concerned with employee relations Concerned with internal and external relations
Time horizon Short term Long term
Basic factor Capital and products People and knowledge
Change Follows change Initiates change
Accountability Cost center Investment center
Control Stringent control over employees It exhibits leniency.

05) Differentiate between Domestic HRM and International HRM.

1. Increased functional activities: In order to manage human resources across countries, the functional
activities of human resource departments increase multi--fold. These activities include managing
expatriation, cross-country relocation, international taxation, trans-national labour legislation, etc.

2. Functional heterogeneity: Since an MNE operates in diverse business environments with wide variations
in government policies, culture, and regulatory environments, it has to carry out a variety of HRM functions,
such as recruitment and selection, performance evaluation, managing compensation, and training and
development, with considerable heterogeneity. Satisfying various stakeholders, such as the employers,
business partners, and the host country governments with effective human resource management in cross-
country settings is indeed a challenging task.

3. Increased involvement in employees’ personal lives: Managing expatriates involves relocating their
entire families across countries: this is an important factor in ensuring employees’ satisfaction as satisfied
employees are crucial to effective output. Relocating includes preparing not only the employees but their
entire families, including spouse and children, to develop an understanding and appreciation for cross-
cultural environment and equip them for potential cultural shock.

4. Enhanced risks Since human resource activities involve relocation of employees and their families across
a country, which requires substantially higher costs in terms of their travel, training, and relocation expenses,
the consequences of under- performance of expatriates or their premature return from international
assignments is much higher compared to domestic assignment.

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5. Increased influence of external environment: Like all other activities in international business, managing
human resources is also influenced by external environment. The diversity of cultural, regulatory, financial,
and political environments requires considerable adaptations in a firm’s HRM strategy. International
managers have to take into account the cultural differences in values, expectations, behaviors, negotiation,
and communication styles of international workforce while designing organizations and recruiting, selecting,
training, motivating, compensating, evaluating, and controlling of employees.

Q6) Explain the Environmental Scanning in HRM

In simple words, environment comprises all those forces which have their bearing on the functioning of
various activities including human resource activities. Environment scanning helps HR manger become
proactive to the environment which is characterised by change and intense competition. Human resource
management is performed in two types of environments- internal and external.

A) Internal Environment These are the forces internal to an organisation. Internal forces have profound
influence on HR functions. The internal environment of HRM consists of unions, organizational culture and
conflict, professional bodies, organisational objectives, polices, etc. A brief mention of these follows.

1.Unions: Trade unions are formed to safeguard the interest of its members/workers. HR activities like
recruitment, selection, training, compensation, industrial relations and separations are carried out in
consultation with trade union leaders.

2.Organisational Culture and Conflict: As individuals have personality, organizations have cultures. Each
organisation has its own culture that distinguishes one organisation from another. Culture may be
understood as sharing of some core values or beliefs by the members of the organisation “Value for time”
are the culture of Reliance Industries Limited. HR practices need to be implemented that best fit the
organisation’s culture.

3.Professional Bodies: Like other professional bodies, the NIPM as the HR professional body regulates the
functions of HR practitioners in India. For this the NIPM in of ethics which the HR practitioners are expected
to declare their allegiance to the code (see Figure 2.2). Thus, professional bodies also influence HR functions
of an organization.

B) External Environment: includes forces like economic, political, technological, demographic etc. these
exert considerable influence on HRM. Each of these external forces is examined here.

1.Economic: forces include growth rate and strategy, industrial production, national and per capita incomes,
money and capital markets, competitions, industrial labour and globalisation. All these forces have
significant influence on wage and salary levels. Growing unemployment and reservation in employment also
affect the choice for recruitment and selection of employees in organisations.

2.Political: environment covers the impact of political institutions on HRM practices. For example,
democratic political system increases the expectations of workers for their well being.

A. Legislature: This is called Parliament at the central level and Assembly at the state level A plethora of
labour laws are enacted by the legislature to regulate working conditions and employment relations.

B. Executive: It is the Government that implements the law. In other words, the legislature decides and the
executive acts.

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C. Judiciary: This is like a watchdog above the two. It ensures that both the legislature and the executive
work within the confines of the constitution and also in the overall interest of the people. These affect, in
one way or the other, all HR activities from planning to placement to training to retention and maintenance.

C) Technological Environment Technology is a systematic application of organized knowledge to practical

tasks. Technological advances affect the HR functions in more than one way: First; technology makes the job
more intellectual or upgraded. Third, job becomes challenging for the employees who cope with the
requirements of technology Fourth, technology reduces human interaction at the work place. Finally job-
holders become highly professionalized and knowledgeable in the job they perform.

D)Demographic Environment variables include sex, age, literacy, mobility, etc. Modem work force is
characterized by literate, women and scheduled caste and scheduled tides workers. Now, workers are called
knowledge workers’ and the organisations wherein they work are called ‘knowledge organisations’. As such,
the traditional line of distinction between manual and non-manual workers is getting blurred. Employees
are demanding parity in remuneration and responsibility among various categories and levels of employees.

Q7) Explain the Process of strategic in HRM planning

In order to improve the strategic alignment of staff and other resources, it’s essential to understand how a
strategic HR planning process works. At its most basic level, strategic human resource planning ensures
adequate staffing to meet your organization’s operational goals, matching the right people with the right
skills at the right time.

1. Assess current HR capacity The first step in the human resource planning process is to assess your current
staff. Before making any moves to hire new employees for your organization, it’s important to understand
the talent you already have at your disposal. Develop a skills inventory for each of your current employees.

2. Forecast HR requirements Once you have a full inventory of the resources you already have at your
disposal, it’s time to begin forecasting future needs. Will your company need to grow its human resources
in number? Will you need to stick to your current staff but improve their productivity through efficiency or
new skills training? Are there potential employees available in the marketplace? It is important to assess
both your company’s demand for qualified employees and the supply of those employees either within the
organization or outside of it. You’ll need to carefully manage that supply and demand.

A. Demand forecasting Demand forecasting is the detailed process of determining future human resources
needs in terms of quantity—the number of employees needed—and quality—the caliber of talent required
to meet the company's current and future needs.

B. Supply forecasting Supply forecasting determines the current resources available to meet the demands.
With your previous skills inventory, you’ll know which employees in your organization are available to meet
your current demand. You’ll also want to look outside of the organization for potential hires that can meet
the needs not fulfilled by employees already present in the organization.

C. Matching demand and supply is where the hiring process gets tricky—and where the rest of the human
resources management planning process comes into place. You’ll develop a plan to link your organization’s
demand for quality staff with the supply available in the market. You can achieve this by training current
employees, hiring new employees, or combining the two approaches.

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3. Develop talent strategies After determining your company’s staffing needs by assessing your current HR
capacity and forecasting supply and demand, it’s time to begin the process of developing and adding talent.
Talent development is a crucial part of the strategic human resources management process.

A. Recruitment In the recruitment phase of the talent development process, you begin the search for
applicants that match the skills your company needs. This phase can involve posting on job websites,
searching social networks like LinkedIn for qualified potential employees, and encouraging current
employees to recommend people they know who might be a good fit.

B. Selection Once you have connected with a pool of qualified applicants, conduct interviews and skills
evaluations to determine the best fit for your organization. If you have properly forecasted supply and
demand, you should have no trouble finding the right people for the right roles.

C. Training and development After hiring your new employees, bring them on board. Organize training to
get them up to speed on your company’s procedures. Encourage them to continue to develop their skills to
fit your company’s needs as they change. Find more ideas on how to develop your own employee onboarding
process, and then get started with this onboarding timeline template.

D. Employee remuneration and benefits administration Keep your current employees and new hires happy
by offering competitive salary and benefit packages and by properly rewarding employees who go above
and beyond. Retaining good employees will save your company a lot of time and money in the long run.

E. Performance management Institute regular performance reviews for all employees. Identify successes
and areas of improvement. Keep employees performing well with incentives for good performance.

F. Employee relations A strong company culture is integral in attracting top talent. Beyond that, make sure
your company is maintaining a safe work environment for all, focusing on employee health, safety, and
quality of work life.

4. Review and evaluate Once your human resource management process plan has been in place for a set
amount of time, you can evaluate whether the plan has helped the company to achieve its goals in factors
like production, profit, employee retention, and employee satisfaction. If everything is running smoothly,
continue with the plan, but if there are roadblocks along the way, you can always change up different aspects
to better suit your company’s needs.

Q8) Explain the Global Human Resource Management / Global HR

With the advent of globalization, organizations - big or small have ceased to be local, they have become
global! This has increased the workforce diversity and cultural sensitivities have emerged like never before.
All this led to the development of Global Human Resource Management.

1.Staffing and Recruitment The primary functions of human resource managers involve the recruitment,
hiring and retention of skilled and qualified employees. The tasks involved in executing these functions
include preparing a job description, interviewing potential candidates, extending employment offers and
discussing compensation packages.

2.Salaries and Compensation Packages Globalization has forced human resource managers to adapt to new
methods of offering compensation and benefits to a company's employees. The balance between

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compensation and benefits for the firm's employees is a crucial human resources function that involves
developing an awareness of the desires and needs of a diverse workforce.

3.Training and Development The training and development of employees is crucial to their professional
success. Human resource managers must ensure that employees have the time and materials to learn about
the company's processes and methods. For companies undergoing globalization, human resource managers
must also carry out the function of teaching employees about the legal and cultural differences in their new
environments

4.Administrative Tasks Human resource managers must understand how to accomplish the various
administrative tasks that come with overseeing a global workforce. Human resource staffers often act as a
buffer between management's decisions and the impact on employees. These staffers must communicate
the processes behind payroll enrollment, expense reports, vacation time and health insurance benefits to
employees when they come on board and when management decides to change these procedures..

5.Legal Compliance A major function of human resource management in a global company involves an
understanding of local labor laws that regulate practices such as minimum wage, workweek hours, health
benefits and paid vacations. Human resource managers must also develop an understanding of employment
tax law in their jurisdiction. National, regional and local governments may choose to impose employment
taxes on the company, so the human resources manager must grasp these laws and communicate their
impact to senior management.

6.Continuing Professional Development Closely related to training is HR's function in professional

development. But whereas training needs are centered around the organization's processes and procedures,
professional development is about providing employees with opportunities for growth and education on an
individual basis. Development often entails moving an employee between departments so that he or she
gains skills in multiple areas.

7.Benefits and Compensation While the management of benefits and compensation is a given for human
resources, the globalization of companies in the twenty-first century has meant that HR must now adapt to
new ways of providing benefits to an organization's employees. Non-traditional benefits such as flexible
working hours, paternity leave, extended vacation time and telecommuting are ways to motivate existing
employees and to attract and retain new skilled employees.

09) Explain the features of labor management

1. Labour means Human Exertion: Labor means only human exertion and not the exertion of the cattle or
machine. Labour always involves the mental or physical pain and sacrifice. For example, when a man works
and is busy for a few hours, he becomes tied and so he needs rest.

2. Labour is Perishable: The labour power withheld once is lost forever and cannot be stored. It cannot be
regained. A day without work is gone irrevocably. As there is no stock, the labourer has to sell his labour
immediately irrespective of the price. Labour is a flow of service of labourer.

3. Labour has low Bargaining Power: Usually labourers have no reserve and are compelled to accept low
wages. But the development of the trade unions has considerably improved the bargaining power of the
labour in recent times.

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4. Labour has Intelligence and Judgment: Labour is something more than mere toil and exertion, for
labourers being human beings, have intelligence and judgement and further the toil and exertion can be
more easily undertaken by machines rather than by men. Thus the distinguishing mark of labour as factor of
production is the exercise of intelligence and judgment.

5. Labour restricted by Social Factors: The labour as human beings have much attachment to the language,
custom, religion, place, culture etc., and consequently they do not move out so easily.

6.Labour is an active factor of production Other factors like land, capital are passive, but labour is an active
factor of production. Being a human being, this factor has its own feelings, likes and dislikes, thinking power,
etc. We can achieve better quality and level of production, if land and capital are employed properly in close
association with Labour. So without labour, we cannot imagine the smooth conduct of production.

6. Labour has imperfect mobility Labour doesn't move easily from one occupation to another because of
several factors like family and cultural background, limited educational and technical skills, lifestyle, housing
and transport problems, language barrier, adaptability to new environments, etc.

10) Explain different tools related strategic Human Resource Management

Strategic Human Resource Management is the practice of aligning business strategy with that of HR practices
to achieve the strategic goals of the organization. The aim of SHRM (Strategic Human Resource
Management) is to ensure that HR strategy is not a means but an end in itself as far as business objectives
are concerned. The idea behind SHRM is that companies must “fit” their HR strategy within the framework
of overall Business objectives and hence ensure that there is alignment between the HR practices and the
strategic objectives of the organization.

1. Key Performance This catalog provides an extensive list of key performance indicators (KPI) for HR
function. You can immediately utilize this valuable tool as part of your performance management process.

2. Competency-based Interview Questions is one of useful tools to screen potential high performing
candidates. This downloadable file contains sample of competency-based interview questions. It describes
competency definition, behavior indicators of competency, and a series of competency-based questions.

3. HR Audit Questionnaire This downloadable file contains explorative and insightful questions need to be
delivered when you would like to conduct HR Audit. This tool will surely help you enhance the performance
of your HR team.

4. Employee Satisfaction Survey This downloadable file contains question items that can be used in
Employee Satisfaction Survey. The questions explore five key dimensions: company, job, manager (superior),
workgroup, career opportunity, and employee benefit. This survey can be deployed on a regular basis (via
annual survey for example) and will be very instrumental in portraying true dynamics of employee
satisfaction level.

5. Competency Development Guidebook This guidebook provides a comprehensive guideline to develop

competency catalog. After describing a clear understanding about competency concept, this guidebook
explores detailed activities need to be done to create and develop competency catalog.

6. Performance Scorecard Template for HR Manager This excellent template displays Table of KPI for HR
Manager. After explaining key result areas and KPIs for HR Manager, this template also describes the formula

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to calculate KPI score. This template can immediately be used as “Performance Contract Agreement” for HR
Manager.

7. Tool to Evaluate HR Effectiveness This downloadable file contains a series of coherent questions to be
used in HR Service Users Survey. This survey is designed to explore the effectiveness of HR function and
service delivery in the eyes of its customers (employees).

8. Employee Development Plan Guidebook This guidebook provides an extensive list of development
activities to enhance your competency level. Thus, this guidebook will be very useful if you have an intention
to write an Individual Development Plan to sharpen your future performance.

Q11) Elaborate the 5-P model of Strategic HRM.

Human Resource function has evolved as a strategic business partner from its traditional passive transaction
processing role. The central purpose of strategic HR function is to "improve the performance of the
company's workforce to support overall corporate goals.

1. Strategy as a Plan Planning is something that many managers are happy with, and it's something that
comes naturally to us. As such, this is the default, automatic approach that we adopt – brainstorming options
and planning how to deliver them. This is fine, and planning is an essential part of the strategy formulation
process. Our articles on PEST Analysis , SWOT Analysis and Brainstorming help you think about and identify
opportunities; the article on practical business planning looks at the planning process in more detail; and
our sections on change management and project management teach the skills you need to deliver the
strategic plan in detail.

2. Strategy as Ploy Mintzberg says that getting the better of competitors, by plotting to disrupt, dissuade,
discourage, or otherwise influence them, can be part of a strategy. This is where strategy can be a ploy, as
well as a plan. For example, a grocery chain might threaten to expand a store, so that a competitor doesn't
move into the same area; or a telecommunications company might buy up patents that a competitor could
potentially use to launch a rival product.

3. Strategy as Pattern Strategic plans and ploys are both deliberate exercises. Sometimes, however, strategy
emerges from past organizational behavior. Rather than being an intentional choice, a consistent and
successful way of doing business can develop into a strategy. For instance, imagine a manager who makes
decisions that further enhance an already highly responsive customer support process. Despite not
deliberately choosing to build a strategic advantage, his pattern of actions nevertheless creates one.

4. Strategy as Position "Position" is another way to define strategy – that is, how you decide to position
yourself in the marketplace. In this way, strategy helps you explore the fit between your organization and
your environment, and it helps you develop a sustainable competitive advantage.

5. Strategy as Perspective The choices an organization makes about its strategy rely heavily on its culture –
just as patterns of behavior can emerge as strategy, patterns of thinking will shape an organization's
perspective, and the things that it is able to do well. For instance, an organization that encourages risk-taking
and innovation from employees might focus on coming up with innovative products as the main thrust
behind its strategy. By contrast, an organization that emphasizes the reliable processing of data may follow
a strategy of offering these services to other organizations under outsourcing arrangements.

12) Explain Strategic HR plan different method

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Methods of Forecasting HRP A variety of techniques and processes have emerged during the course of time
with regard to the forecasting of human resources’ needs. Some of these are simple, whereas others are
complex and sophisticated. Quite a number of organisations rely greatly on guesses and opinions and, very
often, on managerial decisions. On the contrary, many organisations, particularly the big ones, make use of
statistical analysis, mathematical tables and other forms of quantification of needs.

i. Trend Analysis: A common forecasting procedure in forecasting human resources’ needs is based on
extrapolations of the perceived trends. The emphasis in the procedure is on the current trend based on
experiences of the past. Many future trends, including those relating to the number of employees, hours of
work, employees’ skills and potentialities, their mobility, labour cost and compensation, can be discerned
from the existing direction of change.

ii. Ratio Analysis: makes forecasts of human resources’ needs on the basis of the ratio between selected
causal factors such as volume of sales and number of employees needed, or between quantity of output and
number of employees required for the production of that quantity. Information from trend analysis is useful
in working out the ratio. The method is based on the assumption that productivity will continue to remain
the same.

iii. Scatter Plot: Under this technique, a graphical representation is made to identify the relationship
between two variables such as business activities and staffing levels. If the sales increase, there will be a
corresponding change in the number of employees required. Such a graphic representation may be made in
respect of other sets of variables also.

iv. Macroeconomic Modelling: Computer-based macroeconomic modelling programmes are often used to
predict future workforce needs. This type of programme uses various economic indicators to determine how
a workforce must grow or shrink in response to changes in the labour market. The programme may or may
not include analysis of past economic trends.

vi. Computerized Forecast: Under this technique, the future manpower needs are determined by projecting
the firm’s sales, quantity of production and the personnel needed to maintain the required volume of output
using computers and software. The technique is more useful in determining personnel needs on the basis of
clearly set goals such as the level of projected sales and production.

vii. Work-Study Technique: This technique is based on the volume of operation and work efficiency of
personnel. It is applicable where it is possible to measure the increase or decrease in operation and the
number of workers required. The planned output is determined by taking into account the standard output
per hour and standard hours per person.

viii. Nominal Group Technique:It is a decision-making method used among groups of different sizes in the
quest for a quick decision. The decision in the method is through the process of voting. Under it, the opinion
of every member of the group is considered, but the final forecasting is made on the basis of the estimate
receiving the highest number of votes.

13) Describe the model of strategic HRM.

1.Corporate strategy: This strategy is formulated at the top management level. This strategy may be
influenced by both internal and external environmental forces.Internal environment: Internal environmental
forces play a pivotal role in formulating a corporate strategy as well as business strategy.

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2.External environment: Some external forces also affect corporate and business strategies. Among these
forces, competition and government regulations play the most significant roles.

3.Business strategy: The next stage of, strategic human resource management after formulating the
corporate strategy is a business strategy. This strategy is formulated for each business unit as per its overall
objectives.

4.Human resource strategy: The main function of strategic human resource management is to formulate a
well-conceived HR strategy incorporating HR planning and job design approaches.

5.Employee separation: This process is a key strategic issue for the separation, employees leave the
organization smoothly but at this, operations do not suffer or important professional relationships do not
hamper

6.Laws regulating employees: Sometimes regulating authority imposes an embargo on recruitment

promotion, pay scale of the organizations and so on. Thus SHRM activities are affected,

7.HR information systems (HRIS): For making an effective HR strategy some relevant information is
essential. Through a strong HRIS, the decision makers may make a human resource strategy and perform
other HR functions

B) Shorts Notes

Q1) Role of HR

1. Hiring from within and from outside Hiring is one of the key Human Resources roles. An important
distinction is that between hiring from outside vs. hiring from within. Through employee training and smart
succession planning, companies can create a so-called talent pipeline.

2. Attraction and selection When hiring an external candidate, attracting and selecting the right people is
crucial. It is HR’s role to maintain a good selection ratio. The selection ratio is a recruitment metric that refers
to the number of hired candidates divided by the total number of candidates. It is up to HR to make sure
that sufficient candidates are attracted and eventually the right people are hired.

3. Employment testing is the responsibility of HR to test how suitable candidates are for a job. Although this
is something that is often outsourced to professional testing-providers, the process should be managed by
HR. While vendors will try to sell you all kinds of assessments (of course), scientific literature shows that only
a few are truly effective. These include IQ tests, work test, conscientiousness tests, the structured interview,
and assessment by colleagues.

4. Formal performance appraisal Employees are tested to make sure that they will perform to the best of
their ability in their new role. Performance appraisal also called performance review or evaluation is a
method to evaluate the job performance of the employee. In most companies, this is an annual or bi-annual
event.

5. Compensation and contingent pay Fair compensation is a key Human Resource Management role. Work
is not done for free. Compensation that is seen as fair will motivate employees to do their best and to stay
with the company. In our article on HR best practices, we closely examine contingent compensation.

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6. Employee benefit management Employees work for more than just pay. Creating the right benefits for
employees is crucial in retaining key talent. We know from the literature that at a certain point extra pay
doesn’t make employees happier. However, the right benefits might. Common benefits are extra holidays,
a learning and development budget, extra paternity leave, a childcare budget, et cetera.

7. Promotion rules In line with hiring from within, setting rules for promotion is also one of the
responsibilities of HR. Promotions are usually based on merit and/or seniority. They are part of an effective
succession planning and are a great way to retain top performers who are eager to learn and develop
themselves.

Q2) Repatriation Process

Before elaboration on the stages in the repatriation process, it is useful to understand that on completion of
the overseas assignment, the MNC brings the expatriate back to the human country, although not all foreign
assignments end with a transfer to home- rather the expatriate is re-assigned to another international
assignment.

1.Challenging of re-entry: Repatriation poses certain problems more intense than those encountered at
expatriation. Infarct, assignee views expatriation as sort of reward for impressed performance but
repatriation is perceived as the end of a honeymoon on his or her career. Challenging of re-entry relate to
the individual assignee as well as the MNC

2.Individual perspective: Challenges from the assignee perspective include personal and professional. From
a personal perspective, the assignee experience reverse culture shock. The returnee expects that the country
would remain the same when he or she had left. But after repatriation the assignee finds that things are not
the same.

3.Challenges from organization Perspective: As is too well known majority of the returnees consider
quitting the organization. Considering the investment made on training, position, maintaining the assignee
while on assignment, his or her quitting will adversely effect the MNC ‘s bottom line. Often loss of the
multinational becomes gain for a rival

4.Establish regular contact Employees on assignment will be focused on adjusting to life abroad and building
relations in the host country, but it may help for them to be in regular contact with the home site so that
they do not feel cut-off. Particularly where longer-term assignments are concerned, it’s likely there will be
changes at the home country site.

5: Involve them socially Involving returning employees in all aspects of organisational life is extremely
helpful. Invite returning employees – and their partners where possible – to social functions and events. This
will go a long way to remind them that they are still part of the organisation and the team

Q3) Employee Separation/ Repatriation Career

Employee separation is a sensitive issue for any organization. Usually, an employee leaves the organization
after several years of service. Thus, the permanent separation of employees from an organization requires
discretion, empathy and a great deal of planning. An employee may be separated as consequence of
resignation, removal, death, permanent incapacity, discharge or retirement. The employee may also be
separated due to the expiration of an employment contract or as part of downsizing of the workforce.

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Organizations should never harass the employees, especially in the case of resignation, just because they are
quitting the organiza-tion

Reasons for Separation of Employees

1.Voluntary Separation which normally begins after a request is placed in this regard by the employee, can
happen due to two reasons: professional reason and personal reason. We shall now discuss these reasons
in detail.

2.Professional reasons Employees may seek separation when they decide to seek better positions,
responsibilities and status outside the present organization. Efficient employees would seek to expand their
realm of knowledge and skills continuously by working in different capacities/positions in various
organizations. In their quest for greater responsibility, power and status, they may seek separation from the
organization.

3.Personal reasons The important personal reasons for voluntary separation are relocation for family
reasons like marriage of the employees and health crisis of family members, maternity and child-rearing. For
instance, when working women get married, they often prefer to settle in the partners place of occupation.
Similarly, an employee may seek voluntary separation to look after the child or parent.

4.Involuntary Separation As mentioned earlier, an involuntary separation is caused by the factors which
remain beyond the purview of the employees. However, these factors may be classified broadly into health
problems, behavioral problems and organizational problems. We shall now discuss these factors in detail

5.Health problems Major health problems crippling the employees may make them invalid or unfit to
continue in the profession. For instance, accidents causing permanent disabilities and illness of the
employees like brain stroke and other terminal illnesses can lead to their involuntary separation. Death of
employees is another factor which results in their involuntary separation.

6.Behavioral problems an employee's objectionable and unruly behaviour within the organization may also
lead to his involuntary separation from the organization. When the employees behaviour is unethical or
violates the code of conduct in force, the organization may initiate disciplinary actions, which may eventually
result in his termination. This may constitute an act of involuntary separation. Consistent failure to reach
performance goals by an employee can also result in his involuntary separation.

7.Organizational problems Organizational problems are another important factor that contributes to the
involuntary separation of employees. The poor financial performance of an organization may cause it to
terminate the services of some of its employees as part of cost control measure. Such terminations are also
classified as involuntary separation. Similarly, automation, organizational restructuring and rationalization
can also result in employee termination, discharge or layoff, broadly called involuntary separation.

Q4) Trade Union Recognition System

The underline idea of former trade union is to negotiate and bargain with employers to improve the service
and employment conditions of workers on their behalf. This collective bargaining process can be possible
only when employer recognises a trade union as bargaining agent and agree to negotiate with it because it
is difficult to negotiate with multiple trade unions in a single organisation.

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The Trade Union Act, 1926, the only Central Law, which regulates the working of the unions does not have
any provision for recognition of trade union. Some attempts were made to include compulsory recognition
in the Trade Union Act in 1947, 1950, 1978 and 1988, but it could not be materialised.

1. Election by Secret Ballot: Under which system, all eligible workers of an establishment may vote for their
chosen union, elections to be conducted by a neutral agent, generally the Registrar of Unions, in a manner
very similar to the conduct of general elections. Once held, the results of the elections would remain valid
for a minimum period, usually two years.

2. Check-Off method: Under which each individual worker authorises management in writing to deduct
union fees from his wages and credit it to the chosen union. This gives management concrete evidene about
the respective strengths of the unions. But the system is also prone to manipulation, particularly collision
between management and a favoured union.

3. Verifiction of union membership method by the labour directorate as adopted as a resolution in the same
session of the ILC and used widely in many establishments. This process is carried out by the labour
directorate, which on the invitation of unions and management of an organisation or industry, collects
particulars of all unions in a plant, with regard to their registration and membership. The claim lists of the
unions, their fees books, membership records and account books are scrutinised for duplicate membership.
Under a later amendment, unions also with lists of members in order to avoid dual membership.

4. Rule of Thumb or intelligent guessing by management or general observation to assess union strength,
either by the response at gate meetings, strikes or discussions with employees. This is not a reliable method,
particularly in large establishments and can also be subject to change at short intervals. Of the above
methods the first one is universally accepted method used all over the world but there has been no
consensus amount among the trade unions on that in India.

Q5) Outsourcing of HR

Outsourcing is a force behind the virtual organization movement. Outsourcing is simply obtaining work
previously done by employees inside the company from sources outside the company. If someone has
specialized in an activity which is not strategically critical to our business – and is able to do that cost
effectively, it is better to get it from outside.

1. Application Service Provider: A host of companies specialise in providing hardware and software
applications to support large organisations, including application vendors like PeopleSoft, Oracle, etc. which
have developed application packages (PeopleSoft HRMS, Oracle HRMS), for supporting human resource
activities in an organisation. They install, customise and provide support for running these applications. The
major disadvantage with ASP is the costs associated with application software. Secondly, the successful
implementation of the application software is doubtful.

2. Business Process Outsourcing The major difference between BPO and ASP is that in BPO, the client is in
direct contact with the employees through call centres or support centres. MNCs generally opt for BPO as
they operate in many countries and employ a large number of people. While certain firms wish to retain the
power to control human resources, others hand over the power to the service providers.

3. Total HR Outsourcing: In this type of outsourcing, the entire HR function is run by the service provider.
There is no specific HR department in the organisation. The client organisation only has senior HR

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professionals who are also HR- strategists. A host of non-strategic functions and employee contact is done
by the service provider.

4. Hiring Services: Recruitment and selection are the human resource services through which knowl-edge
carriers from outside are brought into a company. External market gets its supply of human resources or
knowledge carriers mainly from three sources, viz., the households, academic institutes, and industries.

5. Developmental Services: In the area of outsourcing of external developmental resources, compa-nies buy
explicit market developed knowledge. Since there are many other organizations who are experimenting with
newer innovations in the area of management processes, an organization can enhance the capability of its
employees by giving them exposure to those practices of other compa-nies. Further, there are economy of
scale in acquisition and compilation of such information.

Q6) Performance appraisal of an expatriate

Performance management may be understood as a process that enables an MNC to evaluate and facilitate
continuous improvement of individuals, subsidiary units and corporate performance, against clearly defined,
pre-set goals and targets. Obviously, performance management is comprehensive in as much as it includes
assessment of the performance of not only individuals but the activities of the firm and its subsidiaries too.
But we focus mainly on assessment of expatriate performance.

1.Linking with organizational strategy: Performance management becomes an internal part of corporate
strategy. Besides, contributing to enhanced performance, performance management identify employee with
high potentials, facilitates performance-reward linking and delineates employee needs for development. All
these offer vital inputs for formulation and execution of strategies.

2.Setting individual performance goals: It is critical, in the international context, to closely link unit goals to
individual/team especially at the top and senior management levels. Goals are the future outcomes that
individuals and organizations desire and strive to achieve. Popularly, goals seek to serve three specific
purposes:
1. Guide and direct behavior in the direction of the goal.
2. Offer benchmarks for employees to strive towards excellence.
3. Reflect what the employees and managers consider as important.

3.Variables impacting performance: Performance of an expatriate depends on several variables which are
distinct from the performance of an employee working in his or her home country. Performance of the non-
expatriate is influenced by job extrinsic factors (for example, working condition, company policy) and job
intrinsic factors (example, challenging job, career prospects). An expatriate’s performance depends on
several other variables figure. In addition to job extrinsic and job intrinsic factors.

4.Compensation packages: Contribute to performance considerably whether an employee is working on the

home country or is an expatriate posted in a foreign location. Expatriate’s performance Is influenced by the
type of task too. Home office moral and physical support is vital in expatriate performance. Host
environment, as it is prevailing in Afghanistan and Iraq, hardly enhance performance.

5.Appraising the performance: Appraising performance is a routine job but involves three key decisions
areas: specifying on performance criteria, identifying the appraisers, and deciding on the frequency of
appraisal. Generally, performance criteria in any organization include outcomes and behaviors. Appraisers
in an MNC include immediate managers/supervisors, team members and clients.

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6.Providing Feedback : Feedback refers to the information provided to the assessed about work behavior
and outcomes. It helps control the work behavior of employees by directing their behavior through the
provision of necessary feedback for corrective action. The task of assessing performance and providing
feedback in MNCs is compounded by time and distance. Physical distance between headquarters and
subsidiary is long and time zones are different.

7.Opportunities for improvement: Performance feedback also helps in highlighting the need for training and
development. Conducting appraisal, offering feedback and organizing training and developmental programs
are all parts of performance management. These activities seek to provide opportunities to expatriates to
improve, socialize, and adjust to local environment ably.

Q7) Strategic issue in Recruitment

If recruitment and retention of new employees were an easy task, businesses wouldn't hire recruiters and
human resources departments. The HR department of a business typically faces several challenges in
recruiting new employees. A business's ability to overcome these challenges is dependent on several factors
including the economy, the competence and commitment of the recruiter and the attractiveness of the
company to new employees.

1.Hiring Manager Issues According to human resources firm The Adler Group, many human resources
departments have difficulties with the hiring manager and other recruitment personnel. Often, the person
in charge of designing job descriptions or making the final decision about who is hired puts in insufficient
effort to find the most qualified candidate, picks a candidate based upon personal characteristics rather than
professional competence or fails to use effective interview tactics. For this reason, some HR departments
opt to play a more direct role in recruitment or use a full-time hiring manager within the department.

2.Quality of Candidates Candidate quality is almost always an issue, particularly in a changing economy
where new technologies, awareness of global economics and increasing educational requirements are in
high demand. High-quality candidates are quickly snapped up, and it can be difficult to lure them to a new
job, particularly if the job doesn't have a topnotch benefits package. When the hiring process itself takes a
long time, the best candidates are sometimes offered -- and opt to take -- a job from another firm. Further,
many businesses do not have a hiring and recruitment strategy and instead simply seek a new employee
when there's a vacancy.

3.Job Incentives Compensation, benefits and working environment are all significant factors in employee
recruitment. In a tough economy, many businesses cutback benefits, which makes it much more difficult to
attract the best candidates. HR departments often have to find creative strategies to make a job or job listing
more appealing.

4.Employee Retention is as important as recruitment, and many employees leave their jobs for greener
pastures only a few months after starting. Corporate culture and working environment play a major role in
retention. Further, when a benefits package isn't excellent, employees may leave as soon as they get a better
offer. HR departments are often tasked with the challenge of screening employees for loyalty and
determining whether an employee is likely to leave in the first year.

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5.Recruiting Cost are a component of cost-per-hire measurements, which employers strive to control by
considering how they attract applicants and which applicants the company is most eager to attract. Social
media and networking are popular and typically low-cost methods for recruiting candidates. However,
recruiters must sift through hundreds, sometimes thousands of online applications to determine which
applicants have the requisite skills for the job.

6.Communication It's no secret that communication is necessary for employers to achieve recruiting and
retention goals. However, communication between HR and line managers is critical for talent acquisition and
talent management. Talent acquisition and talent management refer to the life cycle of recruiting qualified
applicants, selecting candidates deemed suitable in terms of qualifications and company culture, and
sustaining an engaged workforce.

7.Employer of Choice Designation An employer of choice is the company people want to work for -- these
companies are the ones that make the "Best of Employers" lists year after year because they treat their
employees well. Employers of choice have low turnover, coveted positions, excellent benefits and a sound
business reputation based on the company's success and how they treat their customers.

Q8) HR Digital Dashboard

The HR Dashboard is the visual representation of the metrics that an HR manager needs to keep a track of
to judge the performance of different organizational departments. Apart from the records of personnel, it
includes the business performance dashboard, marketing dashboard, sales dashboard, finance dashboard,
etc.

1.Employee Headcount: The number of employees working in different departments at different positions
along with the number of years of experience is recorded.

2.Recruitment and Staffing: The number of positions lying vacant in different departments for different
levels in the organization along with the number of vacancies already filled in by the personnel is maintained.

3.Payroll: The payroll cost is recorded Viz. Payroll cost per team, payroll cost by different levels, payroll cost
by different departments in the organization.

4.Employee Time: The employee’s arrival time, departure time, working time, absenteeism is recorded.

5.Attrition: Keeping a track of the number of layoffs, either forcefully or voluntary from different
departments in the organization.

6.Incentives and Commissions: The amount of incentives to be paid with respect to the cost incurred on an
employee, Incentives to be paid out of a given budget is maintained by the HR team.

7.Exit Interviews: The record of the number of employees leaving the organization and keeping a proper
data about the reason behind their departure.

8.Skills: The individual competencies along with the possession of unique skills is recorded.

9.Compensation: The amount of compensation to be paid to each employee performance wise and category
wise is computed.

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