HUMAN RESOURCE

1. (GROUP PROJECT)
BBA - 7
FOUNDATION UNIVERSITY INSTITUTE OF
ENGINEERING AND MANAGEMENT SCIENCES
HUMAN RESOURCE
SUBMITTED BY
 SAIFULLAH MALIK
 BILAL AHMAD
 IBRAHEEM ANSER
 RAHEEM ANSER
 KHALID RAZZAQ
 HUSSAIN UD DIN
SUBMITTED TO
 MR. HUMAYOUN NAEEM
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2. TOPIC
MODERN HR TRENDS
COMPARISON OF LOCAL AND INTERANTIONAL PRACTICES
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3. □ INTRODUCTION
In the past the business environment, trading patterns and markets were
stable, technology was static, customers were brand loyal, speed in getting
to market did not matter, competition was limited to sectors and regions
and hierarchies were generally accepted in all walks of life. Since 1960’s
the world has witnessed a tremendous change. Customers desire that
business do it better, faster and cheaper. The employees want to control
more than the “ stop” button on the assembly line. The twentieth century
saw nations around the world become part of the global village, with
trade barriers between them reduced or removed completely.
Globalization of trade and economy are taking deep roots in developing
countries .The holistic paradigm shift to a single global company has
opened up new economic opportunities. Events of the last five years of the
previous century have focused attention on knowledge industries. Quality
human resources have therefore become an important base with which to
respond to the emerging environment.
A look at the trends in managing people reflects that attracting, managing,
developing talent and retaining people has emerged to be the single most
critical issue in view of the enormous opportunities spun off by the
market. The knowledgeable professional is innovative, business savvy,
quick on the uptake, has an instinctive ability to network and possesses
unbridled ambition. He is propelled by an urge to experiment, scan new
avenues that can spur his creativity. The knowledgeable professional will
bring a qualitative change in an organization, which has strong values,
robust performance ethic and provides challenging work. This has forced
the companies to proactively take measures on three fonts. First,
companies create an organizational atmosphere where talent can bloom.
Second, they put in place systems that help to benefit from their potential
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4. and third, they build a reward and recognition mechanism that provides
value to the employees.
The more traditional usage within the corporation and business refers to
the individuals within the firm or agency and to the portion of
organization that deals with hiring, firing, training and other personal
using typically referral as ” human resource management”.
Pakistan is a developing country with a low literacy rate .It lacks the
infrastructure and resources to enhance its human resource capital. The
private sector contribution towards the human resource development
particularly at middle and lower levels is negligible. Thus it is the public
sector, which mainly caters for the human resource development at the
aforementioned levels. In the private sector there are well-established and
well-reputed institutions providing quality education in all spheres of
human resource development but there are very few and expensive. Only
the rich can benefit from these institutions. Similarly the government has
institutions spread over length and breadth of the country but too less for
everyone to benefit. However the overall quality of the trained human
capital is good and can be favorably compared with any multinational
organization working within the country and abroad.
The succeeding paragraphs highlight the modern trends in HR
management at international and local levels
 HUMAN RESOURCE MANAGEMENT RESPONSIBILITY
The major purpose of the HRM is to increase and improve the productive
contribution of personnel to the organization in more ethical, social and
administratively responsible way. This purpose emerged from commonly
called industrial relations, personnel administration, industrial psychology
and personnel management. HRM is not just another personnel
management fad. Research shows that its aim is to create a whole
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5. organizational culture that binds workers to the company’s objectives with
full professional commitment integration and quality work. They perform
following functions:-
a) Selection and Recruitment
b) Dealing with Redundancy.
c) Industrial and employees relations.
d) Maintenance of personnel data and record.
e) Employee’s benefits and compensation.
f) Confidential advice to the workforce in relation to work.
g) Career management and development.
h) Competency mapping
i) Performance Appraisal Periodical and annual.
a) SELECTION AND RECRUITMENT:
The performance of any organization largely depends on its employees
and leadership available at various tiers. If they gel well as a team they
will produce good results. On the contrary if the relations are acrimonious
the results achieved will be disastrous. Putting in place a winning
combination for any organization is very important factor for its success.
To achieve this objective the human resource managers have to lay down
the job description and selection criterion for each appointment and
secondly to select a suitable person available in the market. The jobs are
widely advertised on electronic and print media. The organizations also
have their websites that give further details including the companies
profile. The applicants are asked to send their CV’s on line. The HR
managers get a wide choice for selection. The best ones are selected. Some
organization carryout selection through videos. The selection interviews
are conducted by technical experts who can be from with in the
organization or hired from the market. This procedure is followed
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6. internationally as well as locally in most of the companies. However some
companies particularly in the public sector still follow the old procedures
where in the merit becomes the first casualty. Some organizations in the
private sector also hire people on the basis of personal knowledge and
references without advertising the job and without specifying the selection
criteria.
b) EMPHASIS ON TEAM WORK:
Importance of the teamwork is getting wide recognition. The managers
think that no individual can perform a job individually and in isolation. It
has to be teamwork. Thus emphasis on teamwork is getting due
recognition. The companies have designed compensation structure, which
rewards team performance in addition to individual performance. This is
being practiced internationally as well as locally.
c) IMPROVEMENT IN QUALITY OF WORK LIFE:
Companies are constantly striving to enhance the quality of work life and
also the personal life of its employees. The facility is also extended to the
families. These facilities also include in house health clubs, yoga and
meditation centers to relieve stress, sports and cultural activities,
employees get together with or without families, day care centres and
many more facilities are being provided by the companies. Some local
companies are providing these facilities while most are still following the
old system wherein improvement in quality of work life is not given any
importance. However there is a realization and the change for the better is
expected sooner than the later.
d) IMPROVEMENT IN INTERPERSONAL SKILLS:
During the past the top down communication model was being used for
passing the orders and instructions. This is undergoing a major change
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7. .The companies are now encouraging people to voice their opinion and
feelings. In addition the companies hold open house sessions, mentoring
on line chats. Internet have emerged to be communication enablers.
e) CHANGES IN THE NATURE OF THE SOCIETY:
The society has undergone a revolutionary change during the last one
decade. Unprecented changes have happened in the western society.
Technology advances are transforming communication and access to
information .The retired population is growing while the working
population is diminishing, global economies are increasingly becoming
interdependent, the ethnic and religion mix is transforming, the divide
between haves and have not is widening, decision making has become
very complex, preference to individuals rather than the family groups,
increasing customers and employees demand and climate of a change and
uncertainty have made the job of HR managers very challenging and
difficult. These changes have taken place mainly in the developed world.
The developing countries like Pakistan have also witnessed the change.
They are also very seriously thinking of measures to cope with today’s
challenges.
f) CHANGING IN THE NATURE OF WORK:
The changes in the society have significantly impacted the nature of work.
There is a trend towards flexible working to include part-time, working
from home and mobile office. Decreasing job security, company loyalty
and unemployment are encouraging mid-life career changes and self
employment. Demographic changes and global trades are leading to
sectoral shifts from manufacturing and production to service leisure
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8. industries. There are ever increasing pressure to work in collaboration and
to establish partnerships. Private sector organizations are becoming more
powerful and influential in area previously controlled by the public sector
such as pension, transport and health care. This trend is slowly and
gradually finding its way in some private corporations.
g) CONCEPT OF TELEWORKING:
Teleworking or telecommunicating, a rare privilege in 1990 has taken
work places by storm. A giant computer company repots that 55% of its
employees not only telecommunicate, they work from home all the time.
New York city publishing company allows telecommuting two days a
week and employees can bargain for more. This is in vogue around the
world, however its use in Pakistan is very rare. The companies prefer to
have the employees at their workplace rather than at home. Never the less
that time is not far away when telecommunication will be introduced.
h) FLEXIBLE WORK HOURS:
In the developed countries the concept of flexible time is taking roots.
Flexible work hours, flexible four-day workweeks, flexible time off, fix
appointment and the most important trend of all; paid time off (PTO)
allows employees to take time off when they need the time as it
consolidates sick leave, personal time and vacation time into a bank of
days, for employees to use. Additionally trends such as bringing baby or
the family pet to the office also fall within this workplace flexibility. This
trend has not yet been introduced in Pakistan.
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9. i) WORKING TRENDS:
The employees remain available all the time through the use of
technology. They shop at workplace and take brief break to play on line
games. They do their banking at work and their work accounting at home.
To compensate the use of the office time for personal work the employees
work at home. The new generation of employees never stop working.
Although this interferes with downtime, relaxing time and work-life
balance yet most employees see it as a way of life. This is a common
practice in Pakistan as well.
j) IMPACT OF TECHNOLOGY:
No HR trend list will be complete without an explicit mention of the
impact of technology on all aspects of management .The technology has
transformed the way in which HR managers inter act with employees.
Safeguarding sensitive information about the employees and the
company’s business has become very essential. The HR managers need a
plan to prevent it. Therefore the HR managers have to be very well versed
with it to enable them to effectively control it. The information stored has
to be protected to prevent its theft .The impact of technology both
positive and negative is being observed in the country. In fact there is
hardly any company where technology is not being used beneficially.
Latest technologies are being need in Pakistan both in public and private
sectors. Infact the use of technology in Pakistan is at par with any
developed country all over the world
k) EMPLOYEES TRAINING AND DEVELOPMENT:
This decade has seen the rise of technology-enabled opportunities for
training, employee development and training meetings and seminars.
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10. Podcasts, teleseminars, online learning, screen capture and recording
software and webinars provide employee development opportunities.
Additionally, during this decade, as the technology-enabled delivery
options expanded, so did other training and development opportunities
and definitions including increased expectation for learning transfer to the
job. On line learning, earning an online degree or credits and all forms of
web enabled education and training provide options that employees never
had when training occurred in the classroom. Employers are saving
millions of dollars in employee travel expenses and the employee’s access
to the training does not walkout the door at the seminars ‘s end. This is
the decade when employers experiment with classroom training in a
virtual world called second life. You can expect even more progress and
experimentation in the years to come. The corporations in Pakistan
dedicate a specified budget for the development and training of the
employees.
l) IMPACT OF SOCIAL SECURITY SCHEMES:
The government and employees are at logger’s head as regards the
employees benefit scheme. Particularly the health policy, bonuses,
insurance employees are more powerful. It also allows the workers unions
to go for strike in order to compel the employees to come to the terms.
This is a nightmare for the HR managers. They have to really demonstrate
their management skills to arrive at a reasonable benefit pakage. In
Pakistan this is a serious problem both in the public and private sectors.
This has adversely affected the quality of work and the relations between
the employer and the employees.
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11. m) THE TREND OF GLOBALIZATION, OUTSOURCING AND
OFFSHORING:
Availability and access to latest technologies lower taxation rates in other
countries, availability of trained and cheaper manpower have encouraged
the business houses of developed countries to relocate their business in
developing/under developed countries. This has benefited the both .The
company’s also resort to outsourcing where the trained manpower is
available cheaply.
The trend of globalization, outsourcing and off shoring has posed a very
big challenge to HR managers who have to hire and manage employees
all over the world. They have to remain in touch with local employment
agencies and also learn, respect and obey the laws and custom of the host
countries. Some leading companies of Pakistan have also resorted to
globalization, outsourcing and off- sharing. They are doing it successfully
as well.
n) EVALUATION OF PERFORMANCE:
The employer all over the world like to evaluate the performance of their
employees. This is very important to gauge the company’s efficiency level.
The HR managers work very closely with the leadership at different tiers
to implement the annual evaluation plan. In Pakistan the leading
companies have this system in place. However mostly the employers do
not bother to reduce to writing the annual performance of the employees.
The HR managers do maintain personal data of the employees that is
periodically updated but it does not have any performance evaluation
system in place.
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12. o) REDUNDANCY:
All organizations whether public or private are passing through difficult
and uncertain times. The recession in the global economy and the related
financial crisis are having a great impact on both the government and
private sectors. HR managers reacted to this crisis by large-scale
redundancy program and also by freezing the new employees. HR
managers have to rationalize the cost reduction through down sizing and
other measures. They have to also ensure that trained manpower is
retained and the redundant employees are employed elsewhere. In order
to regain the confidence of the employees the HR managers have to
reassure the employees that they are the most valued assets of the
company. This is a very important and difficult responsibility of the HR
team. In Pakistan the downsizing in public and private sectors has drawn
very strong reaction from the employees. The employees have resorted to
strikes and protest. They have also gone to the courts to get their legal
rights. The HR team serves as a link between the management and the
employees. The opinion of the senior employees in the hierarchy of any
organization should be valued in the light of their experience and
professional expertise. HR needs to make some appropriate
recommendations to the management so as to get the company out of the
unforeseen and unpleasant business situations.
p) CONCLUSION:
The 21st century has brought with it enormous opportunities but also
enormous pressures. The companies will have to improve the
productivity of their employees to ensure the industrial development.
There is a worldwide consensus on human resource being one of the
major means of increasing efficiency, productivity and prosperity of the
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13. company. As the time moves on steadily and relentlessly there is a need
for the manager to review the challenges of the latest trends.
Realistically, it is now been said that we have moved to the era of not just
change, but an accelerated rate of change. As compared to the past the 21st
century corporations are getting to be globally market driven ones which
invest “anywhere and share every where” in their conceptualization.
At a practical level we must anticipate and prepare for the likely HR
challenges in general that exists, or may be expected in the coming future.
The future of HR manager will have to show their professional excellence
to handle the issues of recruitment, impact of technology, social problems
of modern era, improvement in the quality of life and training and
development of the employees. Organization seeking to change the
product or technology to meet the demands of competitive scenario will
largely depend on the expertise and resumefulness of the HR managers to
provide qualified and competent manpower. Another challenge which Hr
managers will be faced with pertains to the welfare and morale of the
employees. Competitive salary package, Healthy living environments,
recognition of the employees contribution and retention of experienced
workers in the organization will go a long way in achieving the desired
targets. The HR managers will have to act as a bridge between the
managing director and the employee and maintain a judicious balance
between the two without compromising the interest of anyone. This
indeed is a tall order for HR managers to handle in the fast changing
world.
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