1 introduction to hrm hr = (knowledge, skill, creative abilities, talents, aptitude) m = (planning,...
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INTRODUCTION TO HRMHR = (Knowledge, Skill, Creative Abilities, Talents,
Aptitude)
M = (Planning, Organising, Staffing, leadings, Controlling,)
TRADITIONAL APPROACH : -
PERSONNEL MGT Command & control standardization consistency & conformity
NEW APPROACHES :-
HRM Greater freedom & support flexibility
DEFINITION :- Activities for providing & coordinating the human resources on an organization.
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I scientific MGT. Approach Constant Supervision
Needed. Scientific & Objective Approach Taylor
Emphasis on employee output High Degree of
Standardization.
Economic Man Motivation by economic & Financial
Incentives
Piece rate Time & Motion Study; Job Analysis; Wage
Incentives; Hygiene, training, Welfare & Recreational
Activities.
HISTORY OF HRM :-
1900s
20th Century
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II. HUMAN RELATIONS APPROACH
(1930 – 40) How Theory Studies :- Demerits
a) Oversimplification of behavior.
b) Did not recognize individual differences
c) Did not recognize need for job structure other factors not recognizes :--
i. Career developmentii. Job Enrichment iii. Caret Planning
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III. HUMAN RESOURCES APPROACH
1970S ORGANIZATIONAL GOALS & EMPLOYEE NEEDS COMPATIBLES
MOTIVATION
REWARDS PERFORMANCE
ORGANIZATION PERFORMANCE
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PRINCIPLES :-
a) Employees are assets (Time & Resources Investment)
b) Policies to cater to needs of employees
c) Conducive work environment for developing knowledge & skills.
FUNCTIONS OF HRMFUNCTIONS OF HRM1. MANAGERIAL
2. OPERATIUE
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MANAGERIAL FUNCTIONS :-
PLANNING ORGANILING STAFFING DIRECTING
Identifying HP
requirements,
Programs
Chain of
Command
Division of
Labor,
Assignment of
Responsibility
MPP,
Recruitment,
Selection.
Placement, T &
D, Career Dev
Directing
Available
resources
Towards ORG.
Goals
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CONTROLLING
Measurement & Rectification or Activities
OPERATIVE FUNCTIONS: SPECIFIC ACTIVITIES
1. EMPLOYMENT Job Analysis, HRM, Recruitment Selection, Placement, Induction,
2. HR Development T & D. Developing Skills, Knowledge, Attitude, Beliefs, Values, Performance
Appraisal, Career Planning, MGT. Development
3. COMPENSATION BASED ON JOB EVALUATION
a) Job Evaluation, b) Wage & Salary Admn, C) Incentives d) bones e) Fringe Benefits
4. EMPLOYEE RELATIONS Team Building, Motivating, Grievance handling, Discipline, counseling, QWL.
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ROLE OF HRM
Human Resources – A Competitive Advantage (Because of Knowledge Based, Service Oriented Business)
Human Resource
Accounting (Cost & Value)
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ROLE OF HR EXECUTIVE
1. SURVICE PROVIDES Information on available personnel, pay rates,
complex labor laws.
2. THE EXACUTIVE Recruitment, Compensation
3. FACILITATOR For T & D, Performance appraisal
4. CONSULTANT Advises about lack of motivation, training, grievances
5. AVDITOR Sees that all members perform their respective roles
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CAHLLENGES TO HR PROFESSIONSALS (KNOWLEDGE WORKERS)
1. WORKER PRODUCTIVITY Quality, Flexibility, Shorter product dev , Cycles Necessary
i. Revamping organizational culture & structure Tall structure disbanded, Business decisions takes in work place ,
ii. More autonomy gives
iii. Self manages work teams
2. QUALITY IMPORVEMENT Corporate culture Jack Welch
3. CHANGING ATTITUDES OF WORKFORCE No job security, Downsizing, Single global market, workforce diversity, glass ceiling (ICICI Bank), Family Friendly (EICHER, ONGC)
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4. IMPACT OF GOVT Globalisation, Formulation of
Labor laws
5. QWL Extent to which employee meets his professional
needs satisfaction / Achievement,
participation in decision making
6. Technology & Training Wireless & cellular
technology,
computer
technology demands T & D.
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STATEGIC HRM
Optimum Utilization of Human Resources to Achieve set Goals
& Objectives in Alignment with Organizational Strategy &
Strategy of other functional areas like Finange, MKT.
1. Designing HR goals in alignment with organizational goals.
2. Identifying HR required.
3. Developing HR internally or acquiring form outside.
4. Conception & Implementation of new HR initiatives to Accomplish organizational Goals.
EG. IT INDUSTRY
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ORGANIZATION STRUCTURE & HRM Changes in environment Legal, Population, Technological, Economic, Market
THEY DISTURB ORGANIZATION EQUILIBRIUM
Depends on Organizational Structure in 1950s firms in U. K. divided into : -
a) MECHANISTIC ORGANIZATION Rigid structor directive & Rules, Centralization of Authority, bureaucracy, static environment.
Power & Authority in few hands tasks & duties clearly specified vertical Inte Raction. E. G. Public Sector Companies
a) ORGANIZATION STRUCTURE Flexibility, Value for knowledge, Decentralized style of management, Low levels of Authority & Formalization, Decisions taken by lateral consultations, no cumbersome rules & regulations,
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FORMAL & INFORMAL
ORGANIZATIONS
FORMAL Reporting Channels & Work Relations Pre-defined,
Accountability & Responsibility Fixed.
INFORMAL Without any Formal Goals or Objectives, AD-
HOC Collection of Employees, share common
Interests, Ideas, Information,
Free flow of Information & Ideas
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TALL & FLAT ORGANIZATIONAL STRUCTURES
TALL More hierarchical levels, Narrom span of control, close
supervision, Continuous Interaction, Strained Superior – Subordinate
Relations, Decision Making lies with superior, decision making
before centralized.
FLAT Wide span, Fewer hierarchical levels, Delegation of
Authority, Empowerment of Employees to take Decisions at lower
Levels, efficient & well Trained teams.
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STUCTURE DETERMINED BY
1. Organizational Goals
2. Administrative Requirements
3. Employee Capabilities & Needs
4. Performance & Production Demands
5. Size of Firm
6. Competitive Forces
7. Economic Conditions
8. History & Culture.
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RESPONSIBILITY AUTHORITY ACCOUNTABILITY
i. Should improve organizational working
ii. No overlap of responsibilities
iii. Limits of responsibility to b fixed.
ACT, Exert influence, Make decisions, Right to give orders, Power to exact obedience,
Employee's answerability on using authority in discharging responsibility
Carry out duties Assigned
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Line & Staff Functions
Core Activities Support functions
Manufacturing Marketing HRM Finance
Service oriented business E.G. Finance Line ? Staff ? / Insurance B.P. O.
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LINE – STAFF CONFLICT :-
LINE
i. HR encroaches; in union-mgt. Negotiations
ii. HR does not provide sound, Balances advice; Not acquainted
with markets; Business, Products, Production; Not
Accountable for end results.
iii. HR takes credit & steals limelight.
iv. HR does not see the whole picture.
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STAFF
i. Line is prejudices & biased against HR
ii. Line does not understand value & importance of staff
functions
iii. Line does not known how to make effectives use of HR
functions
iv. Line function is closed to innovations & experimentation
v. HR not given enough freedom & power.
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HR professionals should change a bout perceptions
i. Understanding business & Markets better
ii. Stating limitations of line functions
iii. Building atmosphere of trust & transparency
iv. Taking active roles in designing tae strategy of the organization.
Role of HRD in an organization Role of HRD in an organization
i. SPECIALISH Advises management on people related issues; conveys management decisions to employees; implementing initiatives for the betterment of employees.
ii. FACILITATOR Design & Implementation of activities like training, management.
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DEVELOPMENT, PERFORMANCE APPRAISAL
III. Change agent Adequate knowledge of technology,
sociology, psychology, O.B. Business, markets, competitors.
IV. Controller Ensure compliance to various laws &
regulations.