HRM CH 1 & 2
HRM CH 1 & 2
HRM CH 1 & 2
OBJECTIVES:
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· Human resources management is concerned with the people dimension
of the organizational management.
· Human resource management is a pervasive activity, meaning a
universal activity in any type of organization : government, business,
education, health, defense, recreation, etc.
· The human resource is said to be the most important ( or critical) element
in an organization since people make the decisions concerning all other
organizational resources. Therefore, getting and keeping good people is
critical to the success of every organization, whether profit or non-profit,
public or private.
Some writers in the field and other management people may use such names
as "personnel", "personnel management", "manpower management", and
"employee relations" to say the same thing: human resource management.
o OBJECTIVES
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Personnel objectives: to assist employees in achieving their personal
goals, at least insofar as these goals enhance the individual’s
contribution to the organization.
o FUNCTIONS
Human resource management functions are the set of activities performed in
utilizing human resources for better achievement of organizational objectives.
Following are the major elements (Mondy & Noe, 1990):
2. Recruitment
Recruitment is the process of attracting individuals in sufficient numbers
and encouraging them to apply for jobs with the organization. It is the
process of identifying and attracting a pool of candidates, from which
some will later be selected to receive employment offers.
3. Selection
Selection is the process of choosing from a group of applicants the
individuals best suited for a particular position. Whereas recruitment
encourages individuals to seek employment with a firm, the purpose of
the selection process is to identify and employ the best qualified
individuals for specific positions.
4. Orientation
Orientation is the formal process of familiarizing new employees with the
organization, their job, and their work unit. Through orientation (also
called socialization or induction) new employees will acquire the
knowledge, skills, and attitudes that make them successful members of
the organization.
6. Compensation Administration
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Compensation administration refers to the administration of every type of
reward that individuals receive in return for their services. In its boarder
sense, compensation represents all sorts of rewards that individuals
receive as a result of their employment.
7. Performance Evaluation
Performance evaluation is a formal system of periodic review and
evaluation of an individual's job performance.
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traditionally referred to as personnel. These functions were performed without
much regard for how they related to each other. From this narrow view the
world has seen the emergence of what is now known as human resources
management.
1. Scientific Management
Scientific management is one of the classical schools of thoughts in
management. This approach was initially formulated with the aim of
increasing productivity and makes the work easier by scientifically studying
work methods and establishing standards.
Frederick W. Taylor played the dominant role in formulating this theory and he
is usually named as the father of scientific management. Scientific
management, sometimes called Taylorism, has a strong industrial engineering
flavor. Taylor himself was a mechanical engineer whose primary aim was
maximizing profits and minimizing costs of production. The guiding principle of
this school was "getting the most out of workers".
Taylor disliked wastage and inefficiency. During his time, in some working
areas, employees tended to work at a slower pace. And this tendency,
according to him, was a cause for less productivity and efficiency. Managers
were unaware of this practice because they had never analyzed the jobs closely
enough to determine how much the employees should be producing.
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Frederick Taylor rested his philosophy on some basic principles (Stoner &
Freeman, 1992):
1. The development of a true science of management, so that the best
method for performing each task could be determined.
2. The scientific selection of workers, so that each worker would be given
responsibility for the task for which he best suited.
3. The scientific training (education) of the worker.
4. Intimate, friendly cooperation between management and labour.
5. A division of responsibility between management and labour.
¨ techniques of production
¨ the most efficient method
¨ rigid rules of performance
¨ using the shortest time possible
¨ workers productivity /efficiency
¨ minimum cost of production hence maximum profit
¨ highly refined tools and materials
¨ training and closer supervision, etc.
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Nevertheless, the Taylor's model of motivation overlooked the human desire for
job satisfaction and the social needs of workers as a group, failing to consider
the tensions created when these needs are frustrated. Furthermore, the
emphasis on productivity and profitability led some managers to exploit both
workers and customers of the organization. As a result more workers started
to join labour unions to challenge the behavior of management.
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Informal organization is voluntary in origin, its purpose is not clear, it has no
hierarchy of positions and it ceases to exist when its members left. Many
workers get their satisfaction in the informal groups where they are treated as
individuals, not as a part of a machine in the plant. The friendliness and
recognition of their co-workers compensate for their impersonal treatment by
the large and complex formal organization.
In these informal and shifting groupings, leaders arise. They are not elected or
appointed, they have no legal standing, but they assume leadership roles on
the basis of their colleagues' esteem, and together they constitute the informal
authority structure.
After several studies and investigations Elton Mayo and his associates tried to
show that workers primarily respond to group, not as individuals. It follows,
then, that administrators should not deal with workers as individual units,
isolated from those they work with, but as members of work groups subject to
group pressure.
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The environment of an organization consists of the conditions, circumstances,
and influences that affect the organization's ability to achieve its objectives.
Every organization exists in an environment that has both external and
internal components. As such, a human resource management programme
functions in a complex environment both outside and inside the organization.
Human resource managers therefore should be aware that rapid changes are
occurring within the environment in which organizations operate.
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The technological environment includes advances in sciences as well as new
developments in products, processes, equipment, machinery and other
materials that may affect an organization.
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The task environment of an organization consists of individuals, groups, and
organizations that directly affect a particular organization but are not part of it.
The task environment refers to the specific environment of an organization and
may include (Barney, 1992):
The customer The Competitor
T he supplier · The Partner
The Regulators · The Owners
All these elements are much close and specific to a given organization.
Whereas the elements of the general environment affect virtually all
organizations in the society, the elements of the task environment are pertinent
(more relevant) to a specific organization.
· Mission
Mission is the organization's continuing purpose or reason for its existence.
Each management level should operate with a clear understanding of the firm's
mission. The specific organizational mission must be regarded as a major
internal factor that affects the tasks of human resource management.
· Policy
A policy is a predetermined guide established to provide direction in decision
making. As guides, rather than hard and fast rules, policies are somewhat
flexible, requiring interpretation and judgment in their use. They can exert
significant influence on how human resource managers accomplish their jobs.
Although policies are established for marketing, production, and finance, the
largest number of policies often relate to human resource management. Some
potential policy statements that affect human resource management are:
- To provide employees with a safe place to work
- To encourage all employees to achieve as much of their human potential as
possible
- To provide compensation that will encourage a high level productivity in both
quality and quantity.
- To ensure that current employees are considered first for any vacant position
for which they may be qualified.
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· Organizational Culture
CHAPTER TWO
JOB ANALYSIS
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A job in an organization is created when tasks, duties and responsibilities
justify hiring of one or more people for accomplishing the organizational
purposes. A Job according to Mondy and Noe (1990) consists of a group of
tasks that must be performed for an organization to achieve its goals. A job
may need the services of one individual, such as that of the Prime Minister or
the services of ten or more, as might be the case with ministers in a country.
In a work group consisting of an auditor, two chief accountants, and three
accounting clerks, there are a total of three jobs and six positions. A
position is the collection of tasks and responsibilities performed by one
person; there is a position for every individual in an organization (Mondy &
Noe, 1990). If a job is so fundamentally important in an organization, what
then is a job analysis?
Job analysis is the systematic process of determining the skills, duties and
knowledge required for performing jobs in an organization (Mondy & Noe,
1990). It is an important human resource technique and is also a method that
enables to obtain information regarding jobs available in the organization.
The major purpose of job analysis is to provide answers to the following six
important questions ( Mondy & Noe, 1990).
1. What physical and mental tasks does the worker accomplish?
2. When is the job to be completed?
3. Where is the job to be accomplished?
4. How does the worker do the job?
5. Why is the job done?
6. What qualifications are needed to perform the job?
The job facts are gathered, analyzed and recorded with respect to the job as it
exists. Moreover, job analysis is conducted after the job has been designed, the
necessary training has been given to the employees to perform job. According
to Mondy & Noe, 1990, job analysis is performed on three different
accessions.
These are:
1) It is done when the organization is founded and a job analysis
program is initiated for the first time.
2) It is performed when new jobs are created
3) It is used when jobs are changed significantly as a result of new
technology, methods, procedures, or systems.
In most cases, job analysis is carried out because of changes in the nature of
jobs. It is used to prepare both job descriptions and job specifications. The
job description is a written statement that explains the title, duties,
responsibilities, working conditions, and other aspects of a specified job. Job
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specification, on the other hand, describes the skill, knowledge, work
experiences required to perform the job. (Milkovich & Bourdean, 1991)
As can be seen above, a major use of job analysis data is in the area of human
resource planning. Since jobs in an organization are different in nature, each
requires different knowledge, skills and experiences. Hence, effective human
resource planning can only take place when these job requirements are taken
into account.
Performance standards are developed from job information and then actual
employee performance is measured (Werther & Davis, 1996). It is important to
note here that employee would be evaluated in terms of how well they
discharge their responsibilities specified in the job descriptions. Thus,
performance appraisal, which is based on job analysis information, enables
organization to measure employee performance against written standard and
provide feedback concerning their contribution.
Jobs that require greater knowledge, skills, and abilities should be worth more
to the organization. For example, the relative value of a teaching job that calls
for doctorate's degree normally would be higher than that of a teaching job that
requires a master's degree.
Human Resource
Planning
Recruitment
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Tasks Responsibilities Duties Selection
Human Resource
Development
Job Performance
Description Appraisal
Job Compensation
Analysis and Benefits
Job
Specifications Safety and
Health
Employee and
Labour Relations
Knowledge Skills Abilities
Human Resource
Research
Equal
Employment
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materials and duplication of effort, reduction in fatigue, increased
employee commitment and responsibility and consequently to improve the
performance of the employee. These studies, therefore, enable the job
analyst to think in terms of designing/ redesigning jobs to achieve the above
objectives (Chateerjee, 1995).
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purpose of the job analysis. The job information collected by using one or more
job analysis methods allow management to draw up a job description, job
specifications and job standard.
Job Descriptions
Information collected by using one or more job analysis techniques allows
management to develop job descriptions. A job description is a written
statement of what employee does, how it is done and why it is done. In other
words, the job description contains the total requirements of the job, i.e. who,
what, where, when why and how.
According to Mondy and Noe (1990), among the items frequently included in a
job description is:
- Major duties performed
- Percentage of time devoted to each duty.
- Performance standards to be achieved.
- Working conditions and possible hazards.
- Number of employees performing the job and how they report to.
- The machines and equipment used on the job.
Within an organization, all the job descriptions should follow the same format,
although the form and content may differ from organization to organization. A
sample of job description for a secretary in an-organization is provided in the
exhibit (Mondy & Noe, 1990) below.
JOB SUMMARY
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Performs clerical and administrative duties for a manager and often one
or more staff members of a major function.
NATURE OF WORK
Performs a wide variety of office duties including most of the following:
a. Typing correspondence, report, manuscripts, graphs, charts, etc., from
notes, dictating machine, and/or hand written drafts proficiently and
with minimum, direction and instructions.
b. Receiving telephone calls and visitors skillfully and handling incoming
mail efficiently.
c. Originating routine correspondence and handling inquiries, and routing
& non-routine inquiries and correspondence to proper persons.
d. Establishing and maintaining department files and records.
e. Assuming responsibility for arranging appointments and meetings,
screening calls, and handling personal and confidential matters for
superior.
f. Assembling, organizing, processing, and evaluating data and reports;
operating office machines needed for accomplishing this.
g. Performing administrative duties and special projects as directed, such
as collecting and compiling general reference materials and information
pertaining to company, division, or department practices and
procedures.
QUALIFICATIONS
h. High school education or its equivalent plus three years of clerical
experience, and a typing skill of at least 60-WPM. Demonstrated
proficiency in English grammar, punctuation, spelling, and proper word
usage.
A Job Description
Job description outlines what the jobholder is actually supposed to do how he
does it and why it is done. Although the contents of the job description vary,
most job descriptions include:
- Job Identification
- Date of the Job Analysis
- Job Summary
- Duties Performed
Job Specification
Job description and specification are essential documents when management
begins recruiting and selecting employees. According to Werther and Davis,
1996, a job description defines what a job is; it is a profile of the job, on the
other hand, job specification describes the job demands on the employees
who do it and the human skills that are required. It is a profile of human
characteristics needed by the person performing the job. These requirements
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include experience, training, education, and the ability to meet physical and
mental demands (Werther & Davis 1996). In other words, job specification is
identification of knowledge, skill and attitude needed to perform a particular
job. It is important to not here that since job descriptions and specifications
both focus on the job, job specifications are often included as one section of job
description. For example, the qualifications required for the job of "secretary II"
include typing at least sixty words per minute and demonstrated proficiency in
English. This type of information, as stated earlier, is extremely important in
recruiting and selection process.
3) Job Actual
Actual
Job Correction of
Job Performance
Performance Deviations
standard
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evaluating the performance of each employee, the supervisor can compare
the actual performance of each person with the written standard.
Performance appraisals can never become fully objective, but the usage of
written standards helps to make them more objective (Chatterjee, 1995).
JOB DESIGN
Jobs are the foundation of organizational productivity and employee
satisfaction. How well jobs are designed will play an important role in the
realization of organizational objectives. Well-designed jobs, therefore, enable to
attract and retain motivated employees capable of discharging their work
responsibilities.
Organizational Elements
- Mechanistic approach
- Work flow
- Work practices
- Ergonomics
Mechanistic Approach
This approach involves identifying every task in a job so that task can be
arranged to minimize the time and expended by workers. Once task
identification is complete, a limited number of tasks are grouped into a job.
The result is specialization: Specialized jobs lead to a short job cycle, the time
to complete every task in a job. The mechanistic approach stresses efficiency
in effort, time, labour costs, training and employee learning time.
Work Flow
The product or service usually suggests the sequence of and balance between
jobs if the work is to be done efficiently. For example, the frame of a car must
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be built before doors can be added. Once the sequence of jobs is determined,
the balance between jobs is established.
Ergonomics
Environmental Elements
Job design can also be influenced by workers social and cultural expectations.
Working hours, holidays, religious beliefs, management styles, are some of the
factors that must be considered when designing jobs. Failure to consider these
social expectations can create dissatisfaction, low motivation, low quality of
work life and the like.
Behavioral Elements
Jobs cannot be designed by using only the elements that aid efficiency.
Instead, job designers draw heavily on behavioral research to provide a work
environment that helps satisfy individual needs. Any job, according to
Scarrpello and Ledvinka (1988) can be described in terms of five core
dimensions. These are:
Skill variety. The extent to which the job requires a variety of activities,
skills, and talents to carry out the work.
Task identity. The extent to which the job allows its employees to
complete whole tasks rather than just parts of tasks.
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Task significance. The extent to which the job can be regarded as
important to others inside and outside the organization.
Feedback. The extent to which the job allows its employees to obtain
clear and direct knowledge about how well they perform.
Further more, there are factors that play a vital role in job design or
redesign. These are:
Technology
Economic Factors
Economic factors also affect job design. If management believes that job
redesigning can improve output and the level of workers satisfaction, it
must consider the adequacy of the firm's other resources. Since job
redesign is an expensive undertaking, the management must carefully
balance the benefits of job design or redesign with its costs.
Union Pressure
The philosophy, policy, and strategy of the union can affect Job design or
redesign. The contact between union and management specifies and
defines the type of jobs and the duties and responsibilities of employees. In
most cases, unions may perceive job redesign to be attempts by
management to squeeze more work out of the workers without increasing
wages.
Employees' Potential
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The abilities, attitudes, and motivation of the organization's workers must
be considered when planning to design or redesign a job. Designing a job
that would be far more complex than the ability level of employees available
to do it wouldn't make sense unless they are willing to be trained or new
employees with the necessary capabilities can be hired (Mondy & Noe,
1990).
Management Philosophy
The general organizational policies and strategies can determine the degree
to which job redesign is possible. Top management must be convinced
regarding the beneficial outcomes of the job redesign before it is
undertaken.
Job Rotation
This technique refers to the movement of employees from one job to another. It
is important to bear in mind that jobs themselves are not actually changed only
the employees are rotated. As Werther and Davis (1990), stated rotation
breaks the monotony of highly specialized work by calling on different skills
and abilities. The organization benefits because workers become competent in
several jobs rather than one. Learning and developing new skills,
helps the worker's self-image
provides personal growth, and
Makes the worker more valuable to the organization (Werther & Davis,
1996).
On the other hand, according to Chatterjee (1995), job rotation is not without
its drawbacks. The main drawbacks are:
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has to spend more time answering questions and monitoring the work of the
recently rotated employee.
Job Enlargement
Job Enrichment
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