Assignment 1

Subject: Peoples Management

Q-1: - What is SHRM? Explain the importance of SHRM?

 Strategic human resource management means formulating
and executing human resource policies and practices that
produce the employee competencies and behaviours that
company needs to achieve its strategic aims
HRM (Human resource management) focusses only on day-
day activity like selecting the employee or workforce,
focussing on their training and development programme,
promotion related to human resource whereas SHRM
(Strategic human resource management) focusses on long
term growth of both the employee and the company.

Importance of SHRM
 It increases job satisfaction.
 It provides better work culture in an organisation.
 It helps in forecasting future human resource needs in an
organisation.
 It helps in improving customer/client satisfaction rating.
 It helps in boosting the productivity of the human resource.
 It helps in creating a proactive approach in managing
employees.
 It helps in reaching the business goal.
 It helps in providing the competitive edge to the company as
compared to other company.
Q-2: - Explain diagrammatically the Human Resource Planning
Process.

First step: - Environment Scanning - In order to calculate the

number, they first try to scan the environment like what are the
forces which are operating outside the organisation or
influencing the organisation like economic factors, technological
changes, demographic changes, political changes, legislative
changes, social concern.
Second step: - Organisation goals and objectives- They try to
define what is the objective and goal and policy of the
organisation. They recruit human resource keeping in mind the
goal and objective of the company. They try to fill the post either
by internal hiring or by external shortlisting.
Third Step (a): -HR needs forecast- Demand forecasting is the
process of estimating the future quantity and quality of people
 required keeping in mind the annual budget and long-term
corporate plan (goal and objectives).
Forecasting Techniques
 Managerial Judgement- All the managers sit together they try
to discuss and they try to find out how many labours and
workforce is required.
 Ratio-Trend Analysis- In this analysis process they try to
compare past data of how many workforces was required to
achieve the total sale of that particular year and in the same
ration they try to calculate workforce required in future for a
predefined sale value.
 Work study technique- In this technique they try to study each
and every kind of work in an organisation and calculate the
total number of workforces required for that particular work.
 Delphi technique- In this technique team of experts (
Shareholders/Board of Directors/Experts hired by board of
directors)analyse the number of workforce required by the
organisation and submit their finding individually after that
they keep on discussing among themselves till they all agree
to a single workforce number required by the organisation.

Third Step (b)-HR supply forecast- Supply forecasting measures the

no. of people likely to be available from within and outside an
organisation, after taking consideration of people who are going to
retire, internal movements and promotions.
Fourth Step: -HR Programming- After personnel demand and supply
are forecast the vacancies should be filled at right time with right
employees.
Fifth Step: - HRP Implementation- In this step we convert HR plan
into action by recruitment, selection and placement of employee by
giving them training and development along with plan to retain the
employee.
Sixth Step- Control and evaluation of programme- In this step we
establish the reporting procedures. Identifying who are in post and
those who are in pipeline. In this step they try to evaluate whatever
amount is spent on recruitment and in training process is it up to
the mark or not.

Seventh Step- Shortage Recruitment and selection- In this case if

there is shortage of workforce then they do the recruitment process
by inviting the application and shortlisting the right human
resource.

Eight Step- Surplus Restricted Hiring Reduced Hours VRS, lay off
etc.- In case of recession or if a company doesn’t need the entire
available workforce or if they don’t want to add any workforce due
to any circumstances in that case, they either restrict the hiring or
ask their employee to work for reduced hours and accordingly they
are paid or they give volunteer retirement and even in worse case
they layoff few off their employees.

Q-3: - Define Employee hiring. Explain the steps of hiring process.

 Hiring is the process of reviewing applications, selecting the
right candidates to interview, testing candidates, choosing
between candidates to make the decision and performing
various pre-employment tests and checks.

Steps of hiring process

1. Identify the hiring need: - During expansion mode or in
case of new project company try to hire new workforce.
Company tries to identify whether they have to fill the
vacant post with new staff or from within the
organisation.
2. Devise a recruitment plan: - In this step organization will
try to identify how this newly form position will align
with the goals and objectives of the organisation. All the
members of the hiring team have to agree with the need
of new position.

3. Write a job description: - In job description it is

mentioned what will be the roles and responsibility,
duties, education qualification, age limit, Quota system if
any against each advertise job.

4. Advertise the position: - Organisation first try to identify

the potential candidate within the organisation if they
couldn’t find suitable candidate for the post then they go
for external candidate by advertising the job in
newspaper, career website, company website.

5. Recruit the position: - In case of simple job opening,

hiring manager directly reach out to the desirable
candidates via LinkedIn, social media. It help the
organisation to generate the application from good
candidate and getting the best candidate for that
position.

6. Review Applications: - Every organisation has well

planned mechanism to receive the application. They
receive application either by links, emails or by applicant
tracking system.
7. Phone Interview/Initial screening: - In this step hiring
team calls the candidate selected for interview process
and cross check with them about the detail they have
submitted in the application form.

8. Interviews: - Depending on the size of the organisation

and the hiring committee, they take 2-3 rounds of
interview like one to one, panel interview, sequential
interview. In interview they try to check whether
candidate have the required skills, knowledge required
for the post along with whether the candidate is ready to
join their organisation within the time limit fixed by the
hiring team.

9. Applicant Assessment: - After completion of the

interview, they put few top candidates who have cleared
interview round to wide range of tests like personality
characteristic, problem solving capabilities, logical
reasoning, reading comprehension, emotional
competence.

10.Background Check: - In this step, hiring team try to

see whether that candidate is a genuine candidate or
not. Hiring team try to review the candidate record like
criminal record, employment history.

11 Decision: - Hiring team shortlist the top candidate which

is best for their organisation. Hiring team try to shortlist
1-2 extra candidate in case their final choice candidate
back out.
 12 Reference Check: - In application there is a column
where we have to write the reference.

13 Job offers: - Finally job offer with all the necessary

points handed over to the successful candidate.

14 Hiring: - Candidate after serving the notice period in

their last company join the company.

15 On boarding : - Necessary process of boarding is done by

the HR.

Q-4: - Define Value Chain Analysis. What are its basic concepts?
 Value chain analysis is a way to visually analyse a company's
business activities to see how the company can create a
competitive advantage for itself.
 Value chain analysis helps a company understands how it adds
value to something and subsequently how it can sell its
product or service for more than the cost of adding the value,
thereby generating a profit margin.
Basic Concepts of Value Chain Analysis: -
1. Primary Activities: - Primary activities are directly
concerned with creating and delivering a product. They
can be grouped into five main areas:
 Inbound logistics
 Operations
 Outbound logistics
 Marketing and Sales
 Services People Management
2. Support Activities: - Support activities assist the primary
activities in helping the organisation achieve its
 competitive advantage. There are four main areas of
support activities: procurement, technology
development (including R&D), human resource
management, and infrastructure (systems for planning,
finance, quality, information management etc.).
They Include: -
 Firm infrastructure
 Human resource management
 Technology development
 Procurement

Q-5: - What are the steps in the process of Strategy Evaluation?

Explain.
 Strategy Evaluation: - It is the final phase of strategic
management.
 Strategy Evaluation is as significant as strategy formulation
because it throws light on the efficiency and effectiveness of
the comprehensive plans in achieving the desired results.
 The significance of strategy evaluation lies in its capacity to
coordinate the task performed by managers, groups,
departments etc, through control of performance.
The process of Strategy Evaluation consists of following steps-: -
 Fixing benchmark of performance
 Measurement of performance
 Analysing Variance
 Taking Corrective Action