HRM Notes
HRM Notes
HRM Notes
concepts
definition
HRM is a distinctive approach to employment
management
which
seeks
to
achieve
competitive advantage through the strategic
deployment of a highly committed and capable
workforce, using an array of cultural, structural
and personnel techniques. (Storey,1995).
HRM is a managerial perspective which argues
the need to establish an integrated series of
personnel policies to support organizational
strategy. Buchanan and Huczynski, 2004).
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Area/components
Nature of HRM
Broader Function
People Oriented
Action Oriented
Development Oriented
Continuous Function
Future Oriented
Objectives of HRM
To help the organization reach its goals.
To ensure effective utilization and maximum
development of human resources.
To ensure respect for human beings. To
identify and satisfy the needs of individuals.
To ensure reconciliation(consistence) of
individual goals with those of the
organization.
To achieve and maintain high morale
among employees.
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Objectives of HRM
To provide the organization with welltrained and well-motivated employees.
To increase to the fullest the employees
job satisfaction and self-actualization.
To develop and maintain a quality of work
life.
To be ethically and socially responsive to
the needs of society.
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Functions of HRM
Human resource or manpower planning.
Recruitment, selection and placement of
personnel.
Training and development of employees.
Appraisal of performance of employees.
Taking corrective steps such as transfer
from one job to another.
Remuneration of employees.
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Functions of HRM
Social security and welfare of employees.
Setting general and specific management
policy for organizational relationship.
Collective bargaining, contract negotiation
and grievance handling.
Staffing the organization.
Figure
Managerial
Planning,
organizing, staffing,
directing, controlling
Operative
Employment,
training and
development,
remuneration,
working condition,
motivation
Advisory
Advice to top
management,
advice to
department
head
PM
Written contracts
Strict with rules
and regulation
HRM
Beyond contracts
desire for change
and excitement
Behavior norms
Customs &
practices
Values / mission
Managerial task
with respect to
labor
Monitoring
Nurturing
Key relations
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PM
Slow
Transactional
Division of labor
Controlled access
HRM
Fast
Transformational
Teamwork
Learning
organizations
Conflict handling
Temporary
solutions
Management
action
Clear rules
Need based
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Significance/Importance of HRM
Corporate Level
Significance at Professional Level
Significance at Social Level
Significance at National Level
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HR System
EXTERNAL ENVIRONMENT
THREATS AND OPPORTUNITIES
INPUT
PROCESS
INTERNAL
OUTPUT
ENVIRONMENT
FEEDBACK
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Cultural Diversity
Workforce Diversity
Language Diversity
Economic Diversity
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Ethical Issues in HR
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Role of HR Manager
The conscience role reminding the
managements of its moral obligations to its
employees.
The counselor role counselling the employees
and offering suggestions to solve the problems of
the employees like marital, health, children
education etc to enable the employees
concentrate on their work.
The mediator role settling the disputes
between employees and the management by
acting as a communication link between them.
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Role of HR Manager
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Qualities of HR Manager
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Unit: 2
Planning
HR
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HR Planning
For Diversification Strategy, the HR planning
needs to concentrate on additional human
resources of different categories.
In case of Acquisitions & Mergers, the HR
planning has to work on reduction of human
resources of managerial positions.
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IMPORTANCE OF HRP
It offsets uncertainty and change.
It provides scope for advancement and
development of employee through T &D.
It facilitates the formulation of budgets in an
organization.
It helps to plan for the physical facilities and
working conditions.
It helps to take steps to improve the employee
contributions in the form of increased
productivity, sales turnover etc.
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HRP IN NEPAL
Poor tradition of HRP
Lack of assessment of current human
resource
Missing demand forecast
Missing supply forecast
Mismatch of demand and supply
Over staffing and under staffing
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HR INVENTORY
Human Resources Inventory is an inventory of
skills of human resources currently employed in
the organization. It tells management what
individual employees can do.
The profile of the human resource inventory can
provide information for identifying current or future
threats to the organization's ability to perform.
It is necessary for a firm to identify the current
capability and skills of their employees.
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HR INVENTORY
A competency mapping or skill inventory
evaluates all aspects of the person with
respect to the job role to be performed by
the person. It evaluates knowledge, skills,
attitude, reflection of attitude that is
behavior and possibly values where as
skill mapping is restricted to just that skill.
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HR INVENTORY
Skills can be developed through paid and
unpaid work experiences, volunteerism,
hobbies, work experiences, and through
everyday experience in life.
A skills inventory report shows an
employee which skills he or she
possesses and at what proficiency level.
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Succession planning
Succession planning is nothing more than
having a systematic process where
managers identify, assess and develop their
staff to make sure they are ready to assume
key roles within the company.
Having this process in place is vital to the
success of the organization because the
individuals identified in the plan will
eventually be responsible for ensuring the
company is able to tackle future challenges.
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Succession planning
These "high potential" candidates must be
carefully selected and then provided training
and development that gives them skills and
competencies
needed
for
tomorrow's
business environment. Another reason its
important is because these high potentials will
one day become the leaders of the Company.
This is why their development needs to
incorporate a broad range of learning
opportunities in your organization.
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Forecasting methods
Expert Forecasts: This includes formal
expert surveys, informal decisions and the
Delphi technique.
Trend Analysis: Manpower needs can be
seen through the past practice of the firm
or organization keeping the principle year
as a basis and a central tendency of
measure.
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Forecasting methods
Work Load Evaluation: This depends
on the nature of the work load in a
branch, department, or a division in a firm
or organization.
Work Force Evaluation: As production
and the time duration are to be kept in
mind, allotments have to be made for
getting the total manpower requirements.
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JA Methods
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PURPOSE OF JA
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Two outcomes of JA
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Job Design
Job design is defined as the process of deciding
on the content of a job in terms of duties and
responsibilities of the job holders, on the
methods to be used in carrying out the job, in
terms of techniques, systems and procedures
and on the relationships that should exists
between the job holder and his superiors,
subordinates and colleagues. Factors affecting
job
design
are
organizational
factors,
environmental factors and behavioral factors.
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Recruitment
Recruitment is defined as a process to discover
the sources of manpower to meet the
requirements of the staffing schedule and to
employee effective measures for attracting that
manpower in adequate numbers to facilitate
effective selection of an efficient workforce.
Recruitment is the process of searching for
prospective employees and stimulating them to
apply for jobs in the organization.
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Recruitment
Difference between recruitment & selection.
Recruitment precedes selection and it is only finding
and developing the sources of prospective
employees and attracting them to apply for jobs in
an organization.
Selection is the process of finding out the most
suitable candidate to the job out of the candidates
attracted i.e. recruited.
Determining the number and kind of human
resources required is the first step in employment
process and is known as HRP. The second step is
recruitment and the third step is selection.
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Sources of Recruitment
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Sources of Recruitment
A. Internal sources
1. Present employees
2. Retrenched / retired employees
3. Empyoee referrals
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Sources of Recruitment
B.
1.
2.
3.
4.
5.
6.
7.
8.
External sources
Campus recruitment
Private employment agencies / consultants
Public employment exchanges
Professional organization
Data banks
Casual applicants
Similar organizations
Trade unions
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1.
2.
3.
4.
5.
6.
7.
Employee referrals
Walk-in
Consult-in
Head hunting
Mergers and acquisitions
E-recruitment
Outsourcing
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Recruitment Techniques
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Recruitment Techniques
A.
1.
2.
3.
Traditional techniques
Promotions
Transfers
Advertising
B.
1.
2.
3.
Modern techniques
Scouting (searching)
Salary and perks
ESOPs
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Recruitment Process
Recruitment process is the process of identifying and
attracting job seekers so as to build a pool of qualified
job applicants.
An ideal recruitment programme is the one that attracts a
large number of qualified applicants who will survive the
screening process and accept positions when offered.
The individuals responsible for the recruitment process
must know how many and what type of employees are
needed, where and how to look for individuals with the
appropriate
qualifications
and
interests,
what
inducements to use for various types of applicant groups.
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Recruitment Process
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Recruitment Process
1.
2.
3.
4.
5.
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Recruitment Process
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Selection
Selection is the process by which an
organization chooses from a list of applicants
the person or persons who best meet the
selection criteria for the position available,
considering current environmental conditions.
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Selection
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TYPES OF TESTS
Types of tests
Aptitude Tests
Achievement Tests
Situational Tests
Interest Tests
Personality Tests
Multi dimensional Tests
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Selection Process
Aptitude Tests
Measures whether the candidate has the
capacity or the tatent ability to learn a given job if
given adequate training.
IQ Tests
Capacity for comprehension, reasoning,
numbers, memory etc.
IQ = Mental Age X 100
Actual Age
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Selection Process
IQ Tests
Candidates with high level of IQ can learn the
complicated issues easily and fast.
Easy to train such candidates for new jobs, new
assignments, new technology etc.
EQ Tests
Emotional involvement and commitment of the
employees determine their contribution to the
company.
EQ = Emotional Age X 100
Actual Age
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Selection Process
Skill Tests
Useful to select candidates to perform
design jobs etc.
Mechanical Aptitude Test
Capacities of spatial visualization,
perceptional speed and knowledge of
mechanical matter.
For Apprentices,Technicians etc
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Selection Process
Psychomotor Tests
Measure abilities like manual dexterity,
motor ability and eye hand coordination.
Useful for selecting workers for repetitive
operations like packing, assembly etc.
Clerical aptitude tests
Measure ability to do office work.
Includes spelling, computation, copying etc.
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Selection Process
Achievement Tests
For experienced candidates
For measuring specific achievements/accomplishments
of candidates
Job knowledge test Testing in the knowledge of the
particular job. E.g. A lecturer applied for Accounts asked
questions on Balance sheet, Books of accounts etc.
Work sample test Portion of the actual work given to
the candidate as a test. Above example, the lecturer
asked to deliver a lecture on principles of accountancy.
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Selection Process
Situational tests
Evaluating the candidate in a similar real life
situation. Asked either to cope with the
situation or solve critical situations of the
job.
Group discussion
Simulation
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Selection Process
Interest tests
Assumption is that there is a high correlation
between the interest of a candidate in a job and
the success achieved in the job.
These tests are inventories of the likes and
dislikes of candidates in relation to work, job,
hobbies etc.
Can find out the area of occupation the
candidate is interested.
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Selection Process
Personality tests
To discover clues to an individuals value
system, emotional reaction, maturity etc.
Expressed in traits like Self Confidence,
Emotional control, Decisiveness, Initiative,
Impulsiveness etc.
Objective tests- Most personality tests are
objective and can be scored objectively.
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Selection Process
Personality tests
Projective tests Candidates asked to project
their interpretation of certain standard stimulus
situations based on ambiguous pictures, figures
etc.
Disadvantages of personality tests Can be
faked by sophisticated candidates. To some
extent, can be countered by repeating the same
question in different parts to measure
consistency.
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Selection Process
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Selection Process
Final Interview
Most essential step in the selection
process.
Interviewer matches the information
obtained about the candidate in the earlier
steps to the job requirements through
observations during the interview.
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selection tools
References
Interview
Work history
Physical ability tests
Paper and pencil test
Background and information.
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Placement
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Placement
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Independent jobs
Sequential jobs
Pooled jobs
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Problems in placement
a)
b)
c)
d)
e)
Employee expectations
Job expectations / description
Change in technology
Changes in organizational structure
Social and psychological factors
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a)
a)
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unit:3
Developing
HR
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Growth of organisation
Development of work culture
Developing potentialities
Growth of employees
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Induction/ORIENTATION/SOCIALIZATION
Induction is the process of receiving and
welcoming a new employee and give the basic
information to settle down quickly and happily
and start the work
Introducing the new employee to the job, job
location,
other
employees,
organization,
surroundings etc
Lack of information, lack of knowledge about the
requirements of the job, lack of knowledge about
the new environment etc disturb new employees
Gains more significance as the turnover rate
increases among new employees
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Induction/ORIENTATION/SOCIALIZATION
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Pre-arrival Stage
Encounter Stage
Metamorphosis Stage
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Mentoring
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In summary
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Empowerment
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Empowerment
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Leadership Development
Leadership
Development
is
leadership
qualities, including communication, ability to
motivate others, and management, to an
individual who may or may not use the learned
skills in a leadership position.
A good personal leadership development
program should enable you to develop a plan
that helps you gain essential leadership skills
required for roles across a wide spectrum from
a youth environment to the corporate world
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Leadership Development
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Area
Training
Content
Purpose
Duration
For whom
Development
Mostly for
managerial
personnel
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Importance of Training
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Importance of Training
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100
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103
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105
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Objectives of Training
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Objectives of Training
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Performance appraisal
Exit interviews
Quality circles proceedings
Customer survey / satisfaction data
Attitude survey of individuals
Random work sampling of individuals
Rating scales
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On-the job
Off-the job
Job rotation
Coaching
Job instruction(step by step)
Committee assignments
Vestibule training
Role play
Lecture methods
Conference / seminar
Programmed instruction
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Job Rotation
Involves movement of the trainee from one
job to another. The trainee receives job
knowledge and gains experience in each
assignment.
Advantage - Trainee able to understand the
problems of employees on other jobs and
respect them.
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Internship
Internship involves training the colleges or universities
pass outs about the practical aspects of their study.
This method of training provides a chance to the
students to implement the theoretical concepts that
they have learnt during their study.
Thus it balances the theoretical and practical aspects
of the study.
Professional likes chartered accountants, BBA, MBAs,
company secretaries and doctors are given training
through this method.
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Vestibule Training
Actual work conditions are simulated in a
class room.
Equipment, materials, files, documents etc
used in actual job performance are used
in training.
The duration ranges from days to a few
weeks.
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Management development
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Job skills
Level of motivation and confidence
Opportunity to move up in the hierarchy
Level of job performance/rewards
Team work, mentoring and empowerment
Managerial
decision
making
and
implementation.
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Training Procedure
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Training Procedure
1.
2.
3.
4.
5.
6.
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Advantages of Training
1.
2.
3.
4.
5.
6.
Increased productivity
Improvement in quality
Heightened employee morale
Reduced supervision
Reduced accidents
Increased organizational stability
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133
1.
2.
3.
4.
5.
Test-retest method
Pre-post performance method
Experimental-control group method
Time series analysis method
Structured interview method
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Unit: 4
Performance Appraisal
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Performance Appraisal
Meaning & Definition
Performance appraisal is a method of evaluating
the behavior & performance of employees in the
workplace.
It includes both the qualitative & quantitative
aspects of performance.
It indicates how well the employee is fulfilling the
demands of the job.
Performance should not be confused with effort.
Performance is always measured in terms of
results.
Performance appraisal is the systematic
description of an employees job-relevant
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strengths and weaknesses.
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Performance Appraisal
Meaning & Definition
The basic purpose is to find out how well the
employee is performing the job and establish a
plan of improvement.
Appraisals are arranged periodically according to
a definite plan
Performance appraisal is not job evaluation. It
refers to how well someone is doing the
assigned job. Job evaluation determines how
much a job is worth to the organization and ,
therefore, what range of pay should be assigned
to the job
Performance appraisal is a continuous process
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in large scale organizations.
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Contents of Performance
Appraisal
Regularity of attendance
Ability to work with others
Leadership style & abilities
Initiative
Technical skill
Ability to grasp new things
Reasoning ability
Originality & resourcefulness
Integrity
capability to assume responsibility
Knowledge of systems & procedures
Quality of suggestions offered for improvement
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360 Performance
Appraisal
The appraiser is any person who has knowledge
about job content, the contents to be appraised
and is capable of determining what is more
important & what is relatively less important. The
appraiser is connected to the appraisee in some
way and can observe the employee while
performing the job.
The typical appraisers in 360 Performance
Appraisal are employees themselves (self
appraisal), supervisors in the same department,
supervisors in other departments, subordinates,
peers, users of service & consultants.
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360 Performance
Appraisal
Peers peer appraisal may be reliable if
the work group is stable over a reasonably
long period of time and performs tasks
that require interaction.
Subordinates in organization where the
relationships between superiors &
subordinates are cordial, the concept of
superiors rated by subordinates is
practiced.
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360 Performance
Appraisal
Self appraisal employees appraise their own
performance when they are able to understand
the objectives their expected to achieve &
standards by which they are to be evaluated.
Users / customers in service organizations,
employee performance relating to behavior,
promptness, speed, accuracy etc can be
evaluated by the users or customers.
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360 Performance
Appraisal
Consultants sometimes consultants may
be engaged for appraisal when employees
or employers do not trust supervisor
appraisal & the management does not
trust self appraisal & other form of
appraisal. The consultants are trained and
they observe the employees at work for a
sufficiently long period of time.
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Methods of Performance
Appraisal
1.
2.
3.
4.
5.
6.
7.
8.
9.
Traditional methods
Graphic rating scales
Ranking method
Paired comparison method
Forced distribution method
Checklist method
Critical incident method
Essay or free form appraisal
Group appraisal
Confidential reports
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Methods of Performance
Appraisal
1.
2.
3.
4.
5.
Modern methods
Behaviorally anchored rating scales
Assessment centre
Human resources accounting
Management by objectives
Psychological appraisals
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Traditional Methods of
Performance Appraisal
1.
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Traditional Methods of
Performance Appraisal
1. Graphic rating scales
The qualities in respect of workmen could be
quantity and quality of work, job knowledge,
attitude, dependability, initiative etc.
The rating scale used could be continuous
rating scale or discontinuous rating scale. In
continuous scale, the points are in a particular
order. For e.g 0 to 5 i.e. 0,1,2,3,4,5 where 5 is
the highest.
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Traditional Methods of
Performance Appraisal
1. Graphic rating scales
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Traditional Methods of
Performance Appraisal
2. Ranking method
The employees are ranked from best to worst
on some characteristics.
The rater first finds the employee with the
highest performance & employees with the
lowest performance.
The rater then selects the next highest and next
lowest and so on until all the employees in that
group are rated.
Relatively easy and inexpensive but reliability
and validity open to doubt.
Another limitation is the size of the difference
between the various
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Traditional Methods of
Performance Appraisal
3. Paired comparison method
Traditional Methods of
Performance Appraisal
4. Forced Distribution method
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Traditional Methods of
Performance Appraisal
5. Checklist method
Three types simple checklist, weighted
checklist, forced choice method.
Simple checklist - The checklist consists of a
large number of statements concerning
employee behavior.
Rater checks to indicate if the behavior is
positive or negative to each statement.
The performance is rated on the basis of
number of positive checks.
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Traditional Methods of
Performance Appraisal
5.
Checklist method
Weighted checklist it involves weighting different
items in the checklist to indicate that some statements
are more important than others.
Usually the weights are not given to the supervisors
who appraise but are computed and tabulated by
someone else, may be the HR person.
The performance ratings are multiplied by the weights
of the statements and then added up.
Expensive to design and may consume more time
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Traditional Methods of
Performance Appraisal
5. Checklist method
Forced choice method large number of statements in
groups are prepared. Each group consists of four
descriptive statements out of which two are most
descriptive i.e. favorable and two are least descriptive
i.e. unfavorable.
The actual weightage of statements are kept secret. The
appraiser asked to select one statement that mostly
describes employee behavior and one statement from
the unfavorable statements.
Eliminates or greatly reduces the raters personal bias.
Raters not properly trained will find difficult to choose
among statements.
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Traditional Methods of
Performance Appraisal
6. Critical incident method
The supervisor continuously records the critical incidents
of the employee performance or behavior relating to all
characteristics, both positive & negative in a specially
designed notebook.
The supervisor rates the performance on the basis of
notes taken.
This method is more objective than subjective & hence
helps in reducing the bias in evaluation.
One drawback is the critical incident may not be defined
in the same manner by all raters.
Sometimes the employee might have done something
critically good and excellent but the supervisor may not
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Traditional Methods of
Performance Appraisal
7.
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Traditional Methods of
Performance Appraisal
8. Group appraisal
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Traditional Methods of
Performance Appraisal
9. Confidential reports
A traditional method is to assess the
performance confidentially.
The superior appraises the performance based
on observations, judgement & intuitions.
The employee is not informed about the report.
Not in use these days.
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Modern Methods of
Performance Appraisal
1. BARS Behaviorally Anchored Rating Scales.
It combines the techniques employed in the
critical incident method & weighted checklist
rating scales. It involves 5 steps.
Step 1: Collect critical incidents People with
knowledge of the job describe specific examples
of effective & ineffective behavior related to job
performance.
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Modern Methods of
Performance Appraisal
1. BARS Behaviorally Anchored Rating Scales
Step -2: Identify performance dimensions The
critical incidents are broken into a small set of key
performance dimensions. Some of the performance
dimensions are technical competence, handling
customer relationship, meeting day-to-day deadlines.
While developing varying levels of performance for
each dimension (anchors), specific examples of
behavior should be used which could later be scaled
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in terms of good, average,
below average etc.
Modern Methods of
Performance Appraisal
1. BARS Behaviorally Anchored Rating Scales
Step 3 : Reclassification of incidents Another group
of people having knowledge about the job reclassify
the critical incidents. They are given the definition of
job dimension and told to assign each critical incident
to the dimension that it best describes. Incidents for
which the agreement is below 75% are discarded as
being too subjective.
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Modern Methods of
Performance Appraisal
1. BARS Behaviorally Anchored Rating Scales
Step 4: Assigning scale values to the incidents Each
incidents is then rated on a one-to-nine scale with respective
how well it represents performance on the appropriate
dimension. A rating of one represents ineffective performance
& the rating of nine indicates very effective performance. The
second group of participants usually assigns the scale values.
Means & standard deviations are calculated for the scale
values to each incidents. Incidents that have standard
deviations of 1.5 or less are retained.
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Modern Methods of
Performance Appraisal
1.
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Modern Methods of
Performance Appraisal
2.
3.
Assessment Centre
The assessment of several individuals is done by
various experts by using various techniques like in
basket, role plays, case studies, simulation etc.
Human Resources Accounting
It deals with the cost vs contribution of human
resources to the organization. The cost includes the
cost of hiring, training & development & the wages &
benefits given. The contribution is the money value of
employee service measured by labor productivity,
value addition etc. The performance is positive if the
contribution exceeds the cost and can be measured in
terms of percentage excess.
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Modern Methods of
Performance Appraisal
4. Management by objectives
MBO is a process where by the superior &
subordinate jointly identify common goals,
define each individuals areas of responsibility
in terms of results expected and then use this
measure for assessing the contribution. MBO
focuses attention on goals that are tangible,
verifiable & measurable.
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Modern Methods of
Performance Appraisal
5.
Psychological Appraisal
It consists of in-depth interviews, psychological tests,
discussions with the employee, discussions with the
superiors, subordinates & peers and reviews of other
evaluation.
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Uses of Performance
Appraisal
Enables management to make effective decisions
and / or correct the earlier decisions relating to the HRM
issues like HR planning, fixation of salary & benefits,
placement/placement adjustment decisions, identification of
training needs, career planning & development etc.
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Uses of Performance
Appraisal
4. Compensation adjustments Many
organizations base their pay increases &
bonuses upon merit which is determine
through performance appraisals
5. Placement decisions Promotions, transfers,
demotions are based on performance.
6. Training & development needs Poor
performance may indicate the need for
retraining. Good performance may indicate
untapped potential that should be developed.
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Uses of Performance
Appraisal
7. Career planning & development Performance
feedback guides career decisions about
specific career paths.
8. Staffing process deficiencies Good or bad
performance may indicate the strengths or
weaknesses in the HR departments staffing
procedures.
9. Job design errors Sometimes, poor
performance may be an indication of ill
conceived job designs and may need
immediate diagnosis.
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Uses of Performance
Appraisal
10. EEO Accurate performance appraisals takes
care that internal placement decisions are not
discriminatory
11. Employee counseling Sometime, the
performance may be influenced by the external
environment such as family, health, finance
etc. When uncovered through performance
appraisals, the HR department can provide
assistance in the form of counseling the
employee and find solutions to the problems.
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EMERGING ISSUES IN PA
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4.
5.
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Unit: 5
Compensation
The terms wages /salary/compensation are often
used as synonyms.
The term wage is usually associated with
contractual employee whose pay is calculated
according to the number of hours worked/units
produced.
The word compensation applies to the remuneration
that is paid for a fixed period and does not depend
upon the number of hours worked.
It is associated with the white collar worker. Certain
theories were propounded for determination of
wages but these could not stand the test of time.
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compensation
Compensation refers to all forms of
financial return and tengible services and
benefits that employees of an organization
receive as pert of the employment
relationship.
Employees sell their skills and ideas in
order to fulfill their primary needs, and
employers hire them to achieve their
organizational goals.
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Compensation structure
A) Intrinsic rewards
B) Extrinsic rewards (Type)
Indirect compensation
Indirect compensation
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A) Non-analytical methods
Ranking method
Job classification (grading method)
B) Analytical methods
Point (rating)method
Factor comparison methods
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1) Productivity of workers
2) Ability to pay
3) Government
4) Labor union
5) Cost of living
6) Demand and supply of labor
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Minimum Wages
The minimum amount of compensation an
employee must receive for performing labor.
Minimum wages are typically established by
contract or legislation by the government. As
such, it is illegal to pay an employee less than
the minimum wage.
Wage rate established by collective bargaining or
by government regulation, specifying the lowest
rate at which workers may be employed. A legal
minimum wage is one mandated by government
for all workers in an economy, with few
exceptions.
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Incentive system
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Government organizations
Private sector organization
Private banks and financial institutions
Non- Government organizations
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Retirement programme
Retirement pensions are usually in the form
of a guaranteed life annuity, which insures
against the risk of longevity.
The different types of pensions are:
Employment-based pensions (retirement
plans).
Social and state pensions.
Disability pensions.
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Retirement benefits
Retired government officials are provided
with retirement and pension benefits in
order to ensure a regular income and a
secure future.
These financial benefits result in a feeling
of independence as they assure a decent
standard of life after retirement.
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Executive compensation
The process of selecting and hiring senior
executives capable of motivating people and
leading a company to its goal can be
challenging. With concerned investors closely
monitoring company performance, todays
businesses are under tremendous pressure to
retain qualified executives once they hire them.
Executive Compensation is negotiated between
the potential executive and the employer.
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Social welfare
The well-being of the entire society. Social
welfare is not the same as standard of
living but is more concerned with the
quality of life that includes factors such as
the quality of the environment (air, soil,
water), level of crime, extent of drug
abuse, availability of essential social
services, as well as religious and spiritual
aspects of life.
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Incentive compensation
Incentive compensation can be defined as
a practice of compensating employees
based on their performance and their ability
to meet their organizations performance
goals.
Additionally, an incentive compensation
plan is said to be well-designed, if it makes
each department or individual focus on and
administer proper control over its field of
activities.
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OHAS Provision
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Common Hazards
Industrial injuries
Industrial accidents
Mechanical and chemical hazards
Biological hazards
Psychosocial hazards etc.
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EMERGING PRACTICES
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Objectives of IR
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Approaches to IR
Psychological Approach
Sociological Approach
Human Relations Approach
Non-Violence , Truth and Trusteeship
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Actors of HR
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Employee Association
Employers join what are called employer
associations/employer federations/trade
associations.
Like trade unions, employer associations
are made up of businesses and employers
and who all pay annual fees for their
benefits.
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Higher wages
Better benefits
Better working condition
Increased job security
Meet regularly with union representatives
Be fair , but dont away the farm.
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OUTPLACEMENT
Professional coaching, practical guidance
and essential facilities to help people
move to the next stage in their careers,
either within their current organizations or
elsewhere.
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Conflict management
Conflict management is the process of
limiting the negative aspects of conflict
while increasing the positive aspects of
conflict.
The aim of conflict management is to
enhance learning and group outcomes,
including effectiveness or performance in
organizational setting (Ra him, 2002,
p. 208).
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Resolving conflicts
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Dismissal Redundancy
Redundancy happens when a person is told to leave the
job because his skills are of no more use to the
organization. This may happen due to many reason, for
example,
A merger between two firms results in surplus job.
A business is losing sales and wants to cut the
production level or cost and may lay off employees
The product is taken out of production altogether
Maybe new machinery is introduced and it requires
different skills and qualifications to operate it.
It is also known as retrenchment.
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