Human Resource Management : Session 1

Introduction to Human Resource Management

 What do you
wish to learn
from the
“You can get capital and erect
buildings, but it takes people
course of
to build a business”- Thomas J Human
Watson, Founder of IBM Resource
Management?
 DISCUSSION

EMPLOYEES – A COST OR
AN ASSET
 How do we
define an
organization?
 Organisation as input – output system

Acquiring
inputs from Conversion Exporting to
Output
environment process environment

Using financial By human

By human
resources by resources
resources
human
resources
 Organization

Organization consists of people with formally

assigned roles who work together to achieve
the organization’s goals
 Manager

A person who is responsible for

accomplishing the organization’s goals, and
who does so by managing the efforts of the
organization’s people
Functions of Management Process

Planning Staffing Controlling

Organizing Leading
 What are the resources an
 organization has?
 Human Resource Management

The process of acquiring, training, appraising,

and compensating employees, and of
attending to their labor relations, health &
safety, and fairness concerns
 Why HRM is Important to All
Managers?
To Avoid Personnel Mistakes

To Improve Profits and Performance

You May Spend Some Time as an HR Manager

You may end up as your own human resource manager

Evolution of HRM
 Evolution of HRM
Human
Paternalistic Resource
Commodity Concept Concept
Concept • Protective • Employees are
• Labor is attitude towards most valuable
commodity workers asset

Factor of Humanitarian Emerging

Production Concept Concept
Concept • Organization is • Employees are
• Workers are like a social system partners in the
machine tool company
Responsibilities of HR Manager
Activity -1
• Job Analysis • Recruitment
• Job Design • Human Resource Planning
• Selection • Promotion/Demotion/
• Development Transfer/ Incentives
• Training • Orientation
• Compensation • Placement
• Performance Management • Employee Welfare
• Grievance handling
 HRM functions

Planning Organising Directing Controlling MANAGERIAL

O
HR Appraisal & Integration & IR
HR
maintenance
P
Acquisition Development Compensation
IR system E
HR planning HRD system Performance Integration of Discipline R
Training appraisal HR Grievance
Recruitment
Motivation redressal
A
Selection Management Base
development compensation Empowerment Manageme T
Placement
Induction Organisation Incentives Participation nt of I
development benefits Communication disputes
HR mobility
V
Safety & health E
HR Information system Stress
management
HR records
HR research
HR audit
HR valuation
 Responsibilities of HR Manager

Analysis and Recruitment Training and Performance

design of work and selection development management

Employee data
Compensation Employee Personnel
and information
and benefits relations policies
systems

Compliance Support for

with laws strategy
 Analysing and Designing Jobs

 This function involves the activities of job analysis and job

design.

 Job analysis is the process of getting detailed information

about jobs.

 Job design is the process of defining the way work will be

performed and the tasks that a given job requires
 Recruiting and Hiring Employees

 Based on job analysis and design, an organization can determine the kinds
of employees it needs

 With this knowledge, it carries out the function of recruiting and hiring
employees

 Recruitment is the process through which the organization seeks applicants

for potential employment

 An organization makes selection decisions in order to add employees to its

workforce, as well as to transfer existing employees to new positions.
 Training and Developing Employees

 Organizations provide ways for their employees to broaden or deepen

their knowledge, skills, and abilities

 Training is a planned effort to enable employees to learn job-related

knowledge, skills, and behaviour

 Development involves acquiring knowledge, skills, and behaviours that

improve employees’ ability to meet the challenges of a variety of new
or existing jobs, including the client and customer demands of those
jobs
 Managing Performance

 Managing human resources includes keeping track of how well employees are
performing relative to objectives such as job descriptions and goals for a
particular position.

 The process of ensuring that employees’ activities and outputs match the
organization’s goals is called performance management

 Then various measures are used to compare the employee’s performance over
some time period with the desired performance

 Often, rewards are developed to encourage good performance

 Planning and Administering Pay &
Benefits
 The pay and benefits that employees earn play an important role in
motivating them

 Decisions about pay and benefits can also support other aspects of an
organization’s strategy

 It includes decisions about salary, wages, bonuses, commissions and

other performance-related pay

 Other decisions involve retirement plans, insurance which have

implication for organization’s performance & employee motivation
 Maintaining Positive Employee Relations

 Organizations often depend on human resource professionals

to help them maintain positive relations with employees

 This function includes preparing and distributing employee

handbooks that detail company policies and, in large
organizations, company publications such as a monthly
newsletter or a website on the organization’s intranet
Managing & Using Human Resource Data

 All aspects of human resource management require careful and discreet

record keeping, from processing job applications, to performance
appraisals, benefits enrolment, and government-mandated reports

 Data about employees can show, for example, what kinds of employees
tend to perform best in particular positions, and in which departments the
need for hiring will be most pressing, etc.

 HR analytics use quantitative tools and scientific methods to analyse data

from human resource databases and other sources to make evidence-
based decisions that support business goals
 Ensuring Compliance with Labour
Laws
 The government has many laws and regulations concerning the treatment
of employees

 These laws govern matters such as equal employment opportunity,

employee safety and health, employee pay and benefits, employee
privacy, and job security, etc.

 Government requirements include filing reports and displaying posters, as

well as avoiding unlawful behaviour

 Most managers depend on human resource professionals to help them

keep track of these requirements
Role of HRM in Organizational
Performance
 Strategic Human Resource
Management

Formulating and executing human resource

policies and practices that produce employee
competencies and behaviors the company
needs to achieve its strategic aims
HR Mission of
Bank of Baroda
 Strategic Human Resource
Management

Pinpoint the Decide HR

Set the firm’s
employees policies &
strategic aims
behaviors & skills practices
 HR and Performance

•Ensuring that HR function is delivering

HR Department Lever services sufficiently

•Setting and controlling firm’s

Employee Costs Lever compensation, incentives & benefits

•Setting up policies and practices to

Strategic Lever produce employee competencies & skills
 HR, Performance and Sustainability

 It is about measuring companies in terms of maximizing profits

but also on their environmental and social performance as well
 HR and Employee Engagement

 Employee Engagement refers to being psychologically involved

in, connected to, and committed to getting one’s jobs done

 Committed employees experience high level of connectivity with

their tasks

 Leadership development programs, employee recognition,

internal communication, employee development, compensation &
other policies facilitate employee engagement
NEW HR ROLES IN MODERN
ORGANISATIONS

• Recruiters • Labor Relation specialists

• Diversity officer • Employee welfare officers
• Job Analysts • Happiness officer
• Compensation Managers • Talent management specialist
• Training or learning and • HR Analytics officer
development specialists
 Competencies for HR Professionals
 Leadership & Navigation

 Ethical Practice

 Business Acumen

 Relationship Management

 Consultation

 Critical Evaluation

 Global and Cultural Evaluation

 Communication
 Line and Staff Aspects of Human Resource
Management

Authority is the right to make decisions, to direct the work of

others, and to give orders. Managers usually distinguish
between line authority and staff authority.
 Line and Staff Managers
 Line authority
gives you the right
to issue orders

 Staff
authority
gives you the right
to advise others in
the organization
 Line Manager’s HR Management
Responsibilities (1 of 3)
 Placing the right
person in the right
job

 Starting new
employees in the
organization
(orientation)
 Line Manager’s HR Management
Responsibilities (2 of 3)

Training employees for jobs that are new to them

Improving the job performance of each person

Gaining creative cooperation and developing smooth working

relationships

Interpreting the company policies and procedures

 Line Manager’s HR Management
Responsibilities (3 of 3)

 Controlling labor cost

 Developing the abilities of each person

 Creating and maintaining departmental morale

 Protecting employees’ health and physical conditions

 The Human Resources Department

FIGURE 1-1 Human Resource Department Organization Chart Showing

Typical HR Job Titles
Source: “Human Resource Development Organization Chart Showing Typical HR Job Titles,” www.co.pinellas.fl.us/persnl/pdf/orgchart.pdf. Courtesy of Pinellas
County Human Resources. Reprinted with permission.
Trends Shaping Human
Resource Management
 Trends in Human Resource Management

 Workforce Demographics and Diversity Trends

 Trends in How People Work

 Improving Performance at Work: HR as a Profit Center

 Globalization Trends

 Economic Trends

 Technology Trends
 More on HR Technology Trends

 Thereare 5 main types of digital technologies driving HR

professionals to automation:
• Social Media

• Mobile Applications

• Gaming

• Cloud Computing

• Data Analytics (as known as Talent Analytics)