human resourse management module 2 gcc

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    Paradigm Shift in HRM

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    Personnel Function Points of

    distinction

    HRD

    Maintenance oriented Orientation Development oriented

    An independent function with

    independent sub-functions

    Structure Consists of inter-dependent parts

    Reactive function, responding to

    events as and when they take

    place

    Philosophy Proactive function, trying to

    anticipate and get ready with

    appropriate responses

    Exclusive responsibility of

    personnel department

    Responsibility Responsibility of all mangers in

    the organisation

    Emphasis is put on monetary

    rewards

    Motivators Emphasis is on higher-order

    needs such as job stretch and

    challenge, creative and problem

    solving, people empowering

    Improved performance is theresult of improved satisfaction

    and morale

    Outcomes Better use of human resourcesleads to improved satisfaction and

    morale

    Tries to improve the efficiency of

    people and administration

    Aims It tries to develop the

    organisation as a whole and its

    culture

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    Effectiveness of Human Resources

    Management

    Organizational HealthEmployeecontribution and satisfaction

    Human Resource Accounting - Cost and Value

    of HR Human Resource Audit Examination,

    Evaluation of Policies, procedures, practices to

    determine the effectiveness. Human Resource ResearchEvaluating the

    effectiveness and developing the appropriate.

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    EMERGENCES OF HRM1. Non-Hierarchical Structure

    2. Attitude and Emotions, but not just skill and knowledge

    3. Team design and analysis1. Leader-directed

    2. Working Group

    3. Leader/Member

    4. Rotating/Shared Leadership

    5. Self-Directed4. Employee Referrals

    5. Employees for Lease

    6. Outsourcingbody shops

    7. Moon Lighting by Employees part time/business.8. Dual Career Groups women empowerment

    9. Flexi Time core working, flexible timings.

    10. Employees proxy another person qualified.

    11. Careers in HRM

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    What is Knowledge Management

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    Knowledge management is a systematic,

    explicit and deliberate building, renewal and

    application of knowledge to maximize an

    enterprise knowledge - related effectiveness

    and returns from its knowledge assets.

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    Knowledge Management

    Data

    Information

    Knowledge

    wisdom

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    Data, Information

    The term data means groups offacts and figuresthat represent the qualitative or quantitative

    attributes of a variable or set of variables.

    Data are often viewed as the lowest level of

    abstraction from which information and knowledgeare derived.

    46 years, 160cm, 90 Kgs, Jimmy

    The organized data are information. Jimmy Age-46, Height- 160 cm,Weight90 Kg

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    Knowledge, Wisdom

    The processed information in the actionableform is referred to as knowledge.

    90 Kg of weight for a person with 160 cm of

    height is more, he must reduce the weight. The knowledge becomes wisdom when it is used

    for a good cause of a large number of people.

    Daily exercise, morning walk and Yoga etc. help

    people reduce weight and keep themselves fitand healthy.

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    Knowledge Management Process

    1) Identify -competencies

    2) Collect knowledge, skills, expertise

    3) Select assessment of value standard

    requirements4) Store nuggets, classify, include

    5) Share make it acceptable for employees

    6) Apply activities, decision making, exploiting

    opportunities7) Customer acceptance new/developed

    8) Create stage- observation, feedback, brainstorming, success and failures.

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    Virtual Organization and HRM

    Virtual Organization is a Social network in whichall the horizontal and vertical boundaries are

    removed. It consists of individuals working out of

    physically dispersed workspaces, or even

    individuals working from mobile devices and not

    tied to any particular workspace. It is the

    coordination ofintense structure, consisting

    primarily ofpatterns and relationships, and thisform needs the communication and information

    technology to function.

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    Characteristics of Virtual Organizations

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    3-6

    Role of HR in a virtual organisation

    A virtual organisation is a network of companies or employees connected bycomputers. Virtual workers work from home, hotels, their cars, or wherever

    their work takes them. The human resource function plays a unique role in a

    virtual organisation:

    v Psychological fit: The lack of face-to-face interaction in a virtual

    organisation, virtually compels HR professionals to determine thepsychological fit between different units initially.

    v System alignment: Given the lack of physical proximity, it becomes even

    more critical that the organisation's mission, vision and measures be aligned

    and that all parties are familiar with these issues; the HR function can play an

    important role in this task.v Reconsider rewards: In a virtual unit, very few permanent positions exist.

    In many cases, the organisation will be staffed with workers having

    different motivational forces. So rewarding each entity in an effective way

    becomes an important job.Cont

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    3-7

    v Reconsider staffing needs: In a virtual organisation, mostemployees work on a contractual basis. Finding people with requisite

    skills, knowledge and motivation levels becomes an important activity.

    v Build partnerships: Virtual, teams have to be built from scratch

    paying attention to their unique requirements. The concept of

    employment needs to be replaced by the concept of 'partnership'

    especially when most tend to work independently away from the

    permanent employees or owners of the organisation

    v Develop leaders: Leaders become the major forces for building

    trust, creating a mission and instilling a sense of belonging to theorganisation. HR can play a major role in ensuring that leaders assume

    these responsibilities and meet them in an effective way.

    Role of HR in a virtual organisation

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    Learning Organizations

    Organizations learn through the learning of theiremployees.

    A learning organization is one in which lives and breathes

    knowledge acquisition and skill development the

    ultimate extension of learning on the job.

    Intellectual manufacturing and marketing

    Recognition and acceptance of knowledge as competitive

    advantage

    Rapid change Adopt L P G Cultural unification

    Increased customer awareness

    Change in employees attitude towards change.

    Increased innovation, creations, outcome of research.

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    Characteristics of Learning

    Organizations.

    1) Learning approaches to strategy

    2) Participative policy making

    3) Informing, information systems, automate

    4) Formative accounting and control5) Internal exchange

    6) Reward flexibility

    7) Enabling structures

    8) Boundary workers as environmental scanners9) Inter-company working

    10)Learning culture

    11)Self-development for all

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    3-12

    Benchmarking

    Effective implementation of TQM requires benchmarking. The essence of

    benchmarking is striving to be the best of the best in ones area of

    operations. It is a continuous process of measuring products, services and

    practices against the toughest competitors or industry leaders with the aim

    of mutual improvement.

    Reengineering

    The primary focus of TQM is on continuous improvement or ongoing

    incremental change. Reengineering is all about achieving this. Actually

    speaking, reengineering takes place when more than 70 per cent of the

    work processes in an organisation are evaluated and altered. The focus is

    on simplifying operations and making them more efficient and customer

    oriented.

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    Difference Between Union &

    Nonunion Workers Unions have long been associated with

    manufacturing jobs and other blue-collar

    occupations, but workers in other fields are also part

    of unions, including airline pilots and professionalathletes. Unions have the express purpose of

    improving compensation and working conditions for

    the employees that they represent. While in many

    cases they have accomplished this, corruption hastainted some unions. There are significant

    differences between union and non-union workers

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    Collective Bargaining

    Union workers are covered by a collective bargaining

    agreement. This is also known as a contract, and it is

    negotiated between representatives of the

    management of the company and the union

    representatives. This contract governs all aspects of theworking relationship between the two parties. Non-

    union workers generally are not covered by a contract.

    It is up to the employee to negotiate his own terms of

    employment with the company management. Unionsbring the power of the group to the bargaining table.

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    Pay Differences

    At one time, the pay differences betweenunion and non-union workers was more

    substantial, particularly in the mid- to late-

    1970s. The recession of the early-'80s

    required many unions to give substantial wage

    and benefit concessions, reducing this

    difference. During the '90s and 2000s, the

    increase in wages has been similar for unionand non-union workers. Union members often

    enjoy better benefits, particularly health

    benefits.

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    Contract Employment

    An employment contract covers any situations wherean employee could be fired or disciplined. The

    contract also outlines the processes that must be

    used to discipline an employee whose performance

    is not up to the employer's standards. A non-unionemployee is subject to "employment at will,"

    meaning that either the employer or employee can

    terminate the relationship at any time. Most

    companies have their own guidelines and policies fordiscipline of non-union employees, but these policies

    can change at any time the employer wishes, with no

    input from the employees.

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    Costs

    A union employee must pay union dues and other fees,

    such as admission fees to join a union. These fees canbe sizable, and are not negotiable. Unions also

    traditionally have engaged in political activities in order

    to further their cause. However, not all union

    employees support their unions' political views. A

    union member can ask that his dues not be used for

    political purposes, but he may feel pressure to go

    along. Non-union workers may have to pay the fees if

    the majority of their co-workers are represented by a

    union, but usually non-union workers do not pay to

    work for their employer.

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    The Difference Between Union &

    Nonunion Companies

    Union or unionized companies are businesses

    that hire employees that belong to a union, a

    legal organization that represents the

    employees and manages, at least in part, thehiring process. There are different types of

    unions, based on the industries they work

    within, and companies that work with unionshave several common qualities that differentiate

    them from businesses that do not use union

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    Rules and Guidelines

    Unions are responsible for creating many differentrules in the industries they are a part of. Some of

    these rules apply to employees and the training they

    must go through, but many also apply to the

    companies that hire union workers. These companiesmust provide workplaces that promote worker safety

    and health. Of course, good companies will work

    toward these aims anyway, and state or central

    governments have their own safety rules. But unionsoften add extra guidelines to make sure that workers

    will not be mistreated or put in danger

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    Compensation

    Union workers, on average, are paid more thanemployees who are not part of unions. This means

    that union companies must expect to pay more in

    compensation. Many companies balance this by

    offering fewer benefits to employees, but only up toa point; most unions also require companies to offer

    certain benefits, such as health insurance. This is one

    reason that unions are popular among employees,

    and it is also a key point of negotiation between

    companies and unions

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    Pricing

    In general, companies that work with unions havehigher payroll costs, whether from extra

    compensation or simply the costs of negotiation and

    meeting union guidelines. But companies want to

    make profits for shareholders and businessexpansion, so union companies often incorporate

    strategies to offset these extra costs. Often they raise

    prices on their services or products, or cut costs

    throughout departments. This can lead to higherprices for consumers, but it can also help foster

    company innovation and efficiency.

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    Representation

    Companies that work with unions also have a

    detailed representation policy. Unions use their

    representatives to negotiate for higher wages or

    other changes. The companies involved in unionizedindustries create representation plans for themselves

    as well. Often state and central laws outline this

    representation process so both sides can negotiate

    without bias or confusion. Companies withoutunions can also have representation policies, but

    they are rarely maintained as strictly.