Module II

Human Resource Development

T.Y.B.Com – Semester – VI
HRM
Dr. P.K.Soni
Syllabus

 HRD – Concept, Functions

Training – Concept, Process of identifying training and
development needs, Methods of Training and
development, Evaluating Training Effectiveness
 Performance Appraisal – Concept, Benefits, Limitations,
Methods
Potential Appraisal – Concept, importance
 Career Planning - Concept importance
Succession Planning – concept and need
Mentoring – Concept , importance
Counselling – concept and techniques
HRD Concept and Functions
 Definition : “HRD is the integrated use of training and development,
organisational development, and career development - to improve
individual and, group and organisational effectiveness”
 Scope / Functions of HRD:
1) Performance Appraisal
2) Promotion
3) Training and Development
4) Career Development
5) Organisational Development
6) Motivation
7) Employee Welfare
8) Human Resource Information
9) Mentoring
Training – Concept
 Definition :
“Training consists of planned programmes undertaken to
improve employee knowledge, skills, attitudes and social
behaviour so that the performance of the organisation
improves considerably”
 Meaning:
It is viewed as a short term learning process by which
employees acquire the technical knowledge and skills
necessary to perform efficiently their tasks and
responsibilities.
Importance of Training and
Development
1) Innovation
2) Corporate Image
3) Efficiency
4) Team work
5) Motivation
6) Competitive Advantage
7) Customer Satisfaction
8) Absenteeism Reduction
9) Employee turnover reduction
10) Benefits to employees
 Process of identifying training needs
 A training need arise when 1.
there is gap between 2.
expected performance of an 3.
employee (or a group of
employees) and the actual
performance. 4.
 Training needs can be 5.
identify through 6.
performance reviews, and
appraisal system, feedback 7.
from the superiors or
employees, customer 8.
satisfaction surveys etc.
Analysing organizational needs
Analysis of strategies and tasks
Analysis of training needs of
individual employees
Develop a training plan
Decision on training method
Communication with
employees
Implementation of training
programme
Review of training out come
Methods of training
On- the- Job methods Off- the – job – methods
 Job Rotation  Management games
 Role play
 Understudy
 In-basket training
 Mentoring  Case study
 Coaching  Sensitivity training
(Laboratory or T-Group
 Counselling Training)
 Apprenticeship  Assessment centres
 Planned Progression  Reading
 Conferences
 Evaluation Training Effectiveness
 Training involves time
effort and money.
Therefore, it is advisable to
find out the effectiveness of
training programme i.e.
Benefits of training
programme to organisation
and to the employee.
 The methods of evaluating
training effectiveness.
1) Observation
2) Test-retest
3) Pre-post performance
4) Test control method
5) Kirkpatrick’s four level
model
i) Reaction ii) Learning
iii) Behaviour iv) Results
Performance Appraisal
Concept Benefits / Uses / Purposes
 In the words of Wayne 1. Performance Feedback
Cascio “Performance 2. Training and development
appraisal is the systematic 3. Motivation
description of an
4. Promotion and Transfer
employee’s job relevant
strengths and weaknesses” 5. Human Resource Planning
6. Documentary evidence
7. Effective communication

https://www.youtube.com/watch?v=JbplaTF_kiw
Limitations of Performance Appraisal
 Halo effect
 Horn effect
 Central Tendency
 Cost factor
 Problem of leniency
 Problem of strictness
 Spillover effect
 Personal bias
 Paper work
Methods of performance appraisal
Traditional Modern
 Check list  Role Analysis
 Confidential Report  Assessment Centres
 Critical Incident Method  MBO
 Ranking Method  Bell Shaped Curve Method
 Graphic Rating Scale  360 degree appraisal
 Narrative essay  Human Resource
Accounting
Potential Appraisal
Concept
 It is a future oriented
appraisal, whose main
objective is to identify and
evaluate the potential of the
employees to assume higher
positions and responsibilities
in the organisation.
 It refers to the identification
of the hidden talents and skills
of an employee.
Importance
 Identification of Strength and
weaknesses
 Identification of training needs
 Retention of competent
employees
 Motivation to employees
 Assigning Challenging Projects
 Succession planning
 Healthy work culture
 Developing confidence in
employees
 Career Planning and Development (CPD)
 Employees join an organization to fulfill their career
goals and aspirations and organizations provide
opportunities to fulfill them.
 Where there is a mismatch between the two, employees
experience dissatisfaction and withdraw from the
organization to join another where such opportunity
exists.
 It underlines the need for career planning. It helps the
employees to achieve a better match between their
career goals and the opportunities available in the
organization.
 Stage # 1. Analysing Employee’s Needs and
Aspirations:
Communication of Career Information:
Career Counselling:
Stage # 2. Analysing Career Opportunity:
Stage # 3. Matching Needs and Opportunities:
Stage # 4. Action Plan and Periodic Review:
Career Planning and Development (CPD)
 Career Planning : is the systematic process by
which a person selects career goals and means
to achieve them.
 Example of career path
 For Management Personnel - Trainee –
Junior executive – Asst. Manager – Sr.
Manager – Dept. Manager –Vice President –
CEO
 For unskilled worker – Unskilled worker –
semi skilled – skilled – specialist – foreman
 Career Development : is a continuous process
of developing one’s career within the same
organisation or in another. It involves training,
moving to higher responsibilities, and career
advances.
 HR Manager help employees in career
development .
Importance of CPD
To the employees To the organisation
 Career Selection  Reduction in employees
 Career up gradation turnover
 Motivated employees
 Improvement in
performance  Higher efficiency
 Job satisfaction
 Corporate image
 Competitive advantage
 Improve mental health
 Facilitate succession planning
 Reduce monotony and
 Attracts and retain talented
frustration
employees
Succession Planning
 Meaning :  Need for succession planning
It is a process of making 1) Grooming of Successors
arrangements to fill up key 2) Attract and retain
organisational positions competent employees
including that of CEO. 3) Motivation
 Steps in Succession planning
4) Ensures filling up of key
1) Identification of the positions
positions 5) Support of stakeholders
2) Identification of successors
6) Corporate Image
3) Grooming of successors
7) Competitive Advantages
Mentoring
Meaning :  Importance of Mentoring
It is a process of guiding and 1) Aids in decision making
coaching the mentees for 2) Better communication
improving individual, group and
3) Improve Competency of
organisational effectiveness. It is
mentee
considered as method of human
resource development. 4) Discipline
Mentoring Programme 5) Improve efficiency
i)Deliberate learning 6) Facilitates Team work
ii) Failure and success stories 7) Goodwill
iii) Practical personal examples 8) Competitive Advantages
iv) Positive attitude 9) Organisational objectives
V) Support from top management
 Counselling
 Meaning
It is a discussion with an
employee of a problem that
usually has emotional content in
order to help the employee to
cope with it.
 The main objective of
counselling are to enable
employees to develop self
confidence, understanding self
and others, self control and the
ability to work efficiently.
 When counselling is required
 Career problem
 Performance issues
 Behavioural issues
 Slipping deadlines
 Family problems
 Problem with adjusting
organisation culture
 Lack of team spirit
Counselling
Benefits Techniques
1. Improvement in 1) Directive counselling
employees performance 2) Non Directive counselling
2. Reduction in employees 3) Participative counselling
absenteeism 4) Sub techniques
3. Enhance quality of a) Active listening
decision making
b) Relaxation exercises
4. Innovation
c) Showing interest and
5. Improve relations attention