written by- Mrs NAMRATA VIJAY faculty in managment deptt

1. PREFACE
The fast changing global environment has made today‟s business environment highly uncertain,
complex and challenging. Global competitiveness is increasing. Many new themes have emerged
in business and management. New thinking and philosophies are taking place. Today, HRM is
intimately intertwined with business success and strategy. HRM has become a culture of higher
productivity progress. In fact we are living in HRM.
In many developing nations, HRM has become a national concern. Managers are
making attempts to use HRM strategies for attaining competitive success in the world markets. It
deals with the basics of human resource management. This book is written for the students in
Sikkim Manipal University studying at B.B.A. courses. In this book I aided summary of each
chapter and some questions related with contents according to SMU patterns.
I acknowledge with gratitude my thanks to the learned authors whose ideas created an
insight and vision for me and to whom I have made references in this book. I owe a great debt to
my family members and friends who have been a source of inspiration and help to me.
I am particularly grateful to respected Kuldeep sir and Mr. Surendra Sir, the Director of
Pace Academy, kota whose deep sense of professionalism, creative vision and boundless
enthusiasm aided me to write this book. I whole heartedly thanks to SMU team members which
made it possible for the book to be published in time and can serve as text book for BBA
syllabus.
NAMRATA VIJAY
1

2. Book- HUMAN RESOURCE MANAGEMENT
1- Nature and scope of HRM 2
2- Human resource planning 11
3- Job Analysis and Design 20
4- Recruitment, selection, orientation & placement
27
5- Training and development 39
2

3. Chapter-1 Nature and Scope of HRM
1.1 Importance of HRM:-
1.2 Roles of HR Manager
1.3 Principles of HRM
1.4 Scopes of HRM
1.5 Difference between HRM & PM
1.6 Objective of HRM
1.7 Organization of HR department
1.8 HRM model
3

4. HRM a series of integrated decisions that form the employment relationships; their quality
contributes to the ability of the organization and the employees to achieve their objectives.
Lawrence Appley describe the manager‟s job as “ Human relations job that functions
through several major activities and that “ Human relations is the beginning and the end of the
management job.” He stresses that management is the development of people are not the
direction of things.
1.1 Importance of HRM:-
1-Importance task of management:-
According to Saltonstall “The direct handling of people is, and always has been an integral part
of every line manager‟s responsibility.
2- Achievement of enterprising goals:-
Kenneth Galbraith says “people are the common denominator of progress.”
3- Realization of intrinsic abilities:-
HRM helps people utilize their inner power and potentials.
4- Satisfaction from work:-
HRM aims at getting effective results with people, it helps in their satisfaction and happiness.
5- Effectiveness and economy of operations:-
The central purpose of the personnel function is the promotion of effectiveness of the people
employed in the organization.
4

5. 1.2Roles of HR manager:-
Change Agent
Liaison
Spokesman Role
HR Manager Counsellor
Educator
Intellectual Discriminator
Leader
1.3 Principles of HRM:-
1- Principal of individual development
2- Principle of scientific selection
3- Principal of maintaining of high morale
4- Principal of motivation
5- Principal of fair reward
6- Principal of dignity of labour
7- Principal of cooperation and coo partnership
8- Principal of communication
9- Principal of social and national welfare
10- Principal of humanitarian treatment.
1.4 Scope of HRM:-
The scope of HRM is indeed vast. All major activities in the working life of a worker from the
time of his entry in to an organization until he leaves come under the purview of HRM. The
5

6. activities included are HR planning, job analysis and design, recruitment and selection,
orientation and placement, training & development, performance appraisal and job evaluation,
employee and executive remuneration, motivation and communication, welfare, safety and
health, IR etc.
Nature
Prospects of
of HRM HRM
Employee
Industrial
Human hiring
relation
resource
management
Executive
Employee employee
maintenance Employee training
motivation
Scope of HRM
1.5 Differences between HRM & PM:-
S.No. Dimension Personnel Management HRM
1 Employee contract Careful delineation of written Aim to go beyond
contact contract
2 Behaviour referent Norms/Customs and practices Value/Mission
3 Managerial task Monitoring Nurturing
4 Key relations Labour management Customer
5 Initiatives Peecemeal Integrated
6

7. 6 Speed of dimension Slow Fast
7 Pay Fixed grades Performance Related
8 Job design Division of labour Team work
9 Job category Many Few
10 Communication Indirect Direct
1.6 Objectives of HRM:-
 To create and utilize an able and motivated workforce, to accomplish the basic
organization goals.
 To establish and maintain sound organiasation structure and desirable working
relationships among all the member of organization.
 To secure the integration of individuals and groups within the organization.
 To create facilities and opportunities for individuals or group development so as to much
it within the growth of organization.
 To identify and satisfy individual and group needs by providing adequate and equitable
wages, incentives, employee benefits and social security and measures for challenging
work, prestige, recognition, security, status etc.
 To maintain high employee morale and sound human relations by sustaining ad
improving the various conditions and faculties.
 To provide an opportunity for expression and voice in management.
 To provide fair, acceptable and efficient leadership.
 To strength and appreciate the human assets continuously by providing training &
development programmed.
 To provide facilities and conditions of work and creation of favorable atmosphere for
maintaining stability of employment.
1.7 Organization of HR Department:-
7

8. Two issues become relevant in a discussion on organization of an HR department. They are-
I. Place of the HR
II. Composition of the HR department itself.
HRM objective Supporting functions
1- Societal objective Legal compliance
Benefits
Union- management relations
2- Organizational objective HR planning
Employee relations
Selection
Training & development
Appraisal
Placement
Assessment
3- Functional objective
Appraisal
Placement
Assessment
4- Personal objective Training & development
Appraisal
Placement
Compensation
Assessment
8

9. 1.8 HRM Model:-
Nature of HRM
HR planning
Job analysis
Recruitment
Selection
Placement
Training &
development
Remuneration
Motivation
Participative
management
Communication
Safety and health
Welfare
Promotion
IR
Trade unionism
Disputes & settlement
Future of HRM
Ethical issue in HRM
International HRM
9

10. Q-1. According to David an organization is nothing without…………..
(a) Finance (b) advertising (c) HR (d) all C.
Q-2 1- “personnel management is part of HR.”
2- “HR is part of personnel management”
(a) F/T (b) T/F (c) F/F (d) T/T B.
Q-3 Which is not work of HR manager?
(a)employee hiring (b) employee motivation (c)performance appraisal (d)data mining D.
Q-4 1- Fixed grade is to be given in HRM.
2- Fixed grade is to be given in PM.
(a) F/T (b) T/F (c) F/F (d) T/T A.
Q-5 Match-
1- HRM 2- Personnel management
(a) HRM (b) Nurturing (c) Fast decision (d) Few jobs
(e) Indirect communication
(a) 1-a, 2-c, 2-d, 2-e
(b) 2-a, 2-e, 2-d, 1-b, 1-c
(c) 1-a, 1-b, 1-c, 1-d, 2-e
(d) None C.
10

11. Chapter-2 Human Resource Planning
2.1 Meaning and definition:-
2.2 Objectives of HRP:-
2.3 Factors affecting HRP:-
2.4 Manpower planning:-
2.5 Problems in Human Resource Planning: -
2.6 Requisites for successful HRP:-
2.7 Summary
11

12. 2.1 Meaning and definition:-
HRP is the process by which an organization ensures that it has the right number and kinds of
people, at the right place, at the right time, capable of effectively and efficiently completing
those tasks that will help the organization achieve its overall objectives.
In simple words, HRP is understood as the process of forecasting an organization &
future demand for, and supply of the right type of people in the right number.
HRP is a subsystem in the total organization planning, organization
planning includes managerial activities that set the company‟s objective for the future and
determine the appropriate means for achieving those objectives.
The purpose of HRP is to assess where the organization as, where it is going, and what
implications these assessment have on future supplies of and demands for human resources.
According to Edwin B. Gester “ Human resource planning is a process including forecasting,
developing implementing and controlling by which a firm ensures that it has the right number of
people, and right kind of people and at the right place and at the right time for things for which
they are economically useful.”
2.2 Objectives of HRP:-
 Ensure optimum use of human resources currently employed.
 Avoid unbalanced in the distribution and allocation of manpower.
 Assess or forecast future skill requirements of the organization‟s overall objectives.
 Provide control measures to ensures availability of necessary resources when required.
 Control the cost aspect of human resources.
 Formulate transfer and succession policy.
12

13. 2.3 Factors affecting HRP:-
External factor:-
1- Government policy: - policies of the government like labour policy, industrial relation
policy, policy towards reserving certain jobs for different communities etc
2- Level of economic development:- i.e. level of employment and education in the country.
3- Business environment: - external business environment factors influence the volume and
mix of production and thereby the future demand for HR.
4- Level of technology: - it determines the kind of human resources required.
5- International factors: - demand and supply of human resources in various countries.
Internal factor:-
1- Company policies and strategies: - company‟s policy and strategies relating to expansion,
diversification, alliances etc. determines the human resource demand in term of quality
and quantity.
2- Human resource policy: - HR policy of the company regarding quality of human
resources, compensation level, and quality of work life etc. influence human resources
plan.
3- Job analysis: - job description and job specifications determine the kind of employee
required.
4- Type and quality of information: - Any planning process needs qualitative and accurate
information.
5- Company‟s production operation policy: - company‟s policy regarding how much to
produce and how much to buy from outside to prepare a final product influence the
number and kind of people required.
13

14. 2.4 Manpower planning:-
All organizations plan to some extent, even though the plans may consist of no more
than a few general ideas carried around in the heads of top managers, and based on an
informal forecast derived from past experience known facts, common sense and a few
hunches. Our interest is in informal planning in which definite techniques and procedures are
used and written plans are produced.
Formal planning systems as viewed in the perspective of managing large scale
arrivals on the managerial scene overall master planning or corporate planning was given
impetus.
2.4 The planning process:-
HRP essentially involves forecasting personnel needs assessing personnel supply and
matching demand supply forecast through personnel related programmes. The planning
process related programmes the planning process is influenced by overall organizational
objectives and environment of business.
Organizational objectives and policies:-
HR plans need to be based on organizational objectives. Specific requirement in terms of
number and characteristics of employees should be derived from the organizational
objectives.
1- HR demand forecast: -
Demand forecasting is the process of estimating the future quantity and quality of people
required. The basis of the forecast must be the annual budget and long- term corporate plan,
translated in to activity levels for each function and department.
Demand forecasting must consider several factors- both external as well
as internal. Among the external factors are competition, economic climate, laws and regulatory
bodies, changes in technology, and social factors. Internal factors include budget constraints,
production levels, new products and services, organizational structure, and employee
separations.
2- Forecasting techniques:-
The techniques are:
1- Managerial judgment
2- Ratio-trend analysis
3- Work study technique
14

15. 4- Delphi technique
5- Flow models
1- Managerial judgment: - this technique is very simple. In this, managers sit together, discuss and
arrive at a figure which would be the future demand for labour. The technique may involve a,
bottom-up, or a „top-down, approach. In the first, line managers submit their departmental
proposal to top managers who arrive at the company forecasts. In the, top down, approach, top
managers prepare company and departmental forecasts.
2- Ratio-trend analysis: - This is the quickest forecasting technique. The technique involves
studying past ratios, say, between the number of workers and sales in an organization and
forecasting future ratios, making some allowances for changes in the organization or its methods.
3- Work study technique: - work study technique can be used when it is possible to apply work
measurement to calculate the length of operations and the amount of labour required. The starting
point in a manufacturing company is the production budget, prepared I terms of volumes of
saleable products for the company as whole, or volume of output for individual department. The
budgets of productive hours are then complied using standard hours for direct labors. The
standard hours per unit of output are then multiplied by the planned volume of units to be
produced to give the total number of planned hours for the period. This is then divided by the
number of actual working hours for an individual operator required. Allowances will have to be
made for absenteeism and idle time. Following is a highly simplified example of this procedure:
-
1- Planned output for next year 20,000 units
2- Standard hours per unit 5
3- Planned hours for the year 1, 00,000
4- Productive hours per man/year 2,000
5- Number of direct workers required 50
4- Delphi technique: - This technique is a method of forecasting is a method of forecasting personnel
needs. It solicits estimates of personnel needs from group of experts, usually managers. The HRP
experts act as intermediates, summaries the various responses and report the findings back to
experts. The experts are surveyed again after they receive this feedback. Summaries and surveys are
repeated are until the expert, s opinion begin to agree. The agreement reached is the forecast of the
personnel needs.
4- Flow models: - The simplest one is called the markov model. In this technique, the forecast will:
1. Determine the time that should be covered. Shorter length of time is generally more
accurate than longer ones.
2. Establish categories, also called states, to which employee can be assigned. These
categories must not overlap and must take in to account.
3. Count annual movements (also called, flows,) among states for several for several time
periods.
15

16. 3- HR supply forecast :-
Personnel demand analysis provides the manager with the means of estimating the number
and kind of employees that will be required. The next logical step for the management is to
determine whether it will be able to procure the required number of personnel and the supply
analysis covers-
1- Existing human resources
2- Internal sources of supply
3- External sources of supply
2.5 Problems in Human Resource Planning: -
Though HRP is beneficial to the organization, planners face significant problems or barriers
while formulating an HRP. The major ones are the following: -
1- Resistance by employers and employees:
Many employers resist HRP as they think that it increases the cost of manpower as trade unions
demand for employees, based on plan, more facilities and benefits including training and
development.
Trade unions and employees also resist HRP as they view that it increases the work load of
employees and prepares programme for securing the human resources mostly from outside.
2- Uncertainties: - uncertainties are quote prominent in human resource practices due to
absenteeism, seasonal employment, labour turnover etc.
3-HR practitioners are perceived as experts in handling personnel matters but are not experts in
managing business. The personnel plan conceived and formulated by the HR practitioners, when
entrapped with organizational plan, might make the overall strategic plan itself defective.
16

17. Environment
Organizational objective and
policies
HR needs forecast HR supply forecast
HR programming
HRP implementation
Control and evaluation of
programme
Surplus Shortage
2.6 Requisites for successful HRP:-
There are at least pre-requisites for successful HRP:
HRP must be recognized as an integral part of corporate planning the
planner of human resources must be aware of corporate objectives.
Backing of top management for HRP in absolutely essential.
HRP responsibilities should be centralized in order to co-ordinate
consultation between different.
Personnel records must be complete up to date and readily avalaible.
17

18. The techniques of planning should be those best suited to the data
available and the degree of accuracy required.
SUMMARY:-
HRP refers to the estimation of the number and the type of people needed during the ensuring
period. HRP is signification as it helps determine future personnel needs, ensures protection to
weaker sections, acts as a basis for other personnel functions, helps overcome resistance to
change and so on.
HRP is influenced by several factors, such as the type and strategy of environment
uncertainties, time horizons type and quality of information and type of jobs being filled.
The HRP is a 5-step process. The steps are-
1. Defining organizational objectives and policies.
2. Forecast of personnel needs and supplies.
3. HR programming
4. HR implementation.
5. Control and evaluation of programmes.
Q-1 HRP includes-
(a) Forecasting (b) developing (c) Implementing (d) all D.
Q-2 which internal factor affecting HRP-
(a) company policy (b) customers (c) Government (d) all A.
Q-3 which technique is fast for forecasting?
(a) Filed review (b) Work study (c) Ratio trend analysis (d) none C.
Q-4 1-HRP must be internal part of corporate planning.
2- HRP must be integrated part of corporate planning.
3- HRP must be external part of corporate planning.
(a) T/F/T (b) F/F/T (c) T/F/F (d) F/T/F D.
18

19. Q-5 HRP consists ----------- steps.
(a) 2 (b) 4 (c) 6 (d) 5 D.
19

20. Chapter-3
Job Analysis and Design
3.1 Meaning and definition
3.2 Process of job analysis
3.3 Methods of job analysis
3.4 Job Design
3.5 Techniques of Job Design
3.6 Summary
20

21. 3.1 Meaning and definition:-
“Job analysis is the process of studying and collecting information relating to the operation and
responsibilities of a specific job. The immediate products of this analysis are job descriptions and
job specifications”.
Job analysis is a systematic exploration of the activities within a job. It is a basic
technical procedure One that is used to define the duties, responsibilities and accountabilities of a
job.
A job is a collection of tasks that can be performed by a single employee to contribute to the
production of some product or service provided by the organization. Each job has a certain
ability requirements associated with it. Job analysis is the process used to identify these
requirements.
Job analysis involves the following steps: -
1. Collecting and recording job information.
2. Checking the job information for accuracy.
3. Writing job description based on the information.
4. Using the information to determine the skills, abilities and knowledge that are required on
the job.
5. Updating the information from time to time.
Job Analysis
Job Analysis
A process of obtaining all pertinent
job facts
Job Description Job Specification
A statement containing items A statement of human qualification
 Job title necessary to do the job usually
 Location contains such items as-
 Job summary  Education
 Duties  Training
 Machine, tools and equipment  Judgment
 Materials and forms used  Initiative
 Supervision given or received  Physical effort
 Working conditions  Physical skills
 Hazards  Responsibilities
 Communication skills
 Sensory demands
21

22. 3.2 Process of job analysis: -
Strategic choices
Gather information Uses of job description and
job specification
1-Personnel planning
2-Performance appraisal
Process information 3-Hiring
4-T&D
5-Job evaluation
6-Work scheduling
Job description 7-Career planning
Job specification
1- Strategic choices: -with regard to job analysis, an organization is required to make at
least 5choices: -
The extent of employee in job analysis
The level of details of the analysis
Timing and frequency of analysis
Past oriented structure-oriented job analysis
Sources of job data
2- Information gathering: - With regard to the methods for data collection, there are
several of them, but the more prominent of them are-
Observation
Interview
Questionnaire
Checklist
Technical conference
Dairy method
With regard to the persons employed to collect data, it may be stated that 3 types of individuals
are used. They are-
1-Trained job analysis
2- Supervisors
3- Job incumbents
22

23. With regard to the methods for data collection, there are several of them, but the more prominent
of them are-
1. Observation
2. Interview
3. Questionnaire
4. Checklist
5. Technical conference
6. Diary method
3- Process information:-
Once the job information has been collected, it needs to be processed, so that it would be
useful in various personnel function, specifically, job-related data would be useful to prepare
job description and job specification.
Job description implies objective listing of the job title, tasks, duties and
responsibilities involved in a job. Job specification on the other hand involves listing of
employee qualifications, skills and abilities.
4- Purpose of job analysis: - Job related data obtained from a job analysis programme are
useful in HRP, employee hiring training, job evaluation, and compensation performance
appraisal; computerize PI, safety and health.
3.3 Methods of job analysis:-
1- Direct observation:-
Observation is made on various tasks, activities, the pace at which tasks are carried out, and the
way different activities are performed.
2- Interview: -
Face to face interview is an effective way to collect job information. A standard format is used to
record the data. There are 2 types of interview- individual and group.
3- Questionnaire and checklist: -
Using this method, job holders are sent a structured questionnaire on which they check or rate
items they perform on their job from long lists of possible task items.
4-Employee log: -
Employee describes his daily work activities in a diary or log. It is not a popular method. It also
adds to the work load of employee & it is time consuming and provides incomplete data.
5-Conference of experts: -
Using these method supervisors, staff specialists and technicians having considerable knowledge
and experience about the jobs are interviewed by the analyst.
23

24. 6-Method analysis: -
It provides a description of how to do the job, it examines the specific body
Movements and procedural steps that are used to perform a particular task.
7- Diary method: -
This method requires the job holders to record in detail their activities each day.
this method is time consuming because the recordings of tasks may have to be
spread over a number of days.
3.4 Job Design:-
Jog design integrates work content (tasks, function, relationship) the rewards (extrinsic and
intrinsic) and the qualification required (skills, knowledge, abilities) for each job in a way that
meets the needs of employees and the organization.
Job design involves 3 steps-
1. The specification of individual tasks
2. The specification of method of performing each task.
3. The combination of tasks in to specific jobs to be assigned to individual.
3.5 Techniques of Job Design:-
1- Work simplification:-
In this technique, the job is simplified or specialized. A given job is broken down in
to small subparts and each part is assigned to one individual.
Work simplification involves-
Mechanical pacing of work.
Repetitive work process.
Working on only one part of a product.
Predetermining tools and techniques.
Restriction interaction among employees.
Few skills requirement.
2- Job rotation:-
Job rotation refers to the movement of an employee from one job to the jobs themselves are
not actually changed only the employees are rotated among various jobs. An employee who
works on another job moves to and works on another job for some hours/ days / months and
backs up to the first job.
24

25. This measure relieves the employee from boredom and monotony improves employee,
skills regarding various jobs and prepares the competent employees to meet the
contingencies. Thus measures also improves worker‟s itself image and personal growth.
According to Hertzberg, job rotation is merely “substituting one zero for another zero.”
3- Job Enlargement: -
Job enlargement involves expanding the number of tasks or duties assigned to a given job.
Job enlargement is naturally opposite to work simplification. Adding more tasks or duties to
a job does not mean that new skills and abilities are needed to perform it.
There is only horizontal expansion Herzberg said that job enlargement is simply “
adding zero to zero” meaning that one set of boring task (zero ) is simply added to another set of
boring task (zero). Job enlargement is said to contribute to employee motivation but the claims is
not validated to in practice.
4- Job Enrichment:-
Job enrichment seeks to improve both task efficiency and human satisfaction by building in
to people; s jobs quite specifically greater scope for personal achievement and recognition
more challenging and responsible work and more opportunity for individual advancement
and growth.
An enriched job will have more responsibility autonomy (vertical enrichment), more
variety of tasks (horizontal enrichment) and more growth opportunity. The employee does
more planning and controlling with less supervision bur more self evaluation.
It may be stated that job enrichment benefits employees and organization in terms of
increased motivation, performance, satisfaction, job involvement and reduced absenteeism.
5- Autonomous or self –directed teams-
A self directed work team is an intact group of employees who are responsible for a whole
„work‟ process or segment that delivers a product or service to an internal or external
customer.
6- High-performance work design:-
It is a means of improving performance in an environment where positive and demanding
goals are set. It starts from the principle of autonomous group working and develops an
approach which enables groups to work together in situation where the rate of innovation is
high.
25

26. SUMMARY:-
Job analysis is the process of studying and collective information relating to the operations.
The data thus collected, will be useful for preparing job description and job specification. Job
description lists job title, duties, machines, and equipment involved working conditions
surrounding a job, and the like.
Job analysis is a four step sequential process. The step involved are-
(1) Selected jobs for analysis.( 2) Gather information, process information (3) job description
(4) job specification .
Job design effects employee productivity, motivation and satisfaction., work simplification,
job rotation, job enlargement, job enrichment, autonomous group working, high performance
work design are the popular technique of job design.
Q-1 Inviting the application of applicants‟ process is called-
(a) Selection (b) Appraisal
(b) Recruitment (d) a&c C.
Q-2 Which factor affects recruitment?
(a) Political social (b) labour
(b) HRP (d) all
D.
Q-3 Which test determines the potential of employees?
(a) Ability test (b) Aptitude test (c) personality test (d) interview B.
Q-4 Recruitment proceeds-
(a) Selection (b) orientation (c) induction (d) all D.
Q-5 Match orientation-
a- Formal 1- experienced employee induction
b- Individual 2- structural programme
c- Serial 3- seeks ratify character
d- Investiture 4- develop homogenous
(a) A-2, b-1, c-3, d-4
(b) A-4, b-1, c-2, d-3
(c) A-2, b-4, c-1, d-3
(d) A-1, b-2, c-4, d-3 C.
26

27. Chapter-4
RECRUITMENT, SELECTION, ORIENTATION &
PLACEMENT
4.1 Meaning and definition of recruitment
4.1.2 Objective of Recruitment
4.1.3 Factors affecting Recruitment
4.1.4 Recruitment Process
4.1.5 Sources of Recruitment
4.2 Selection
4.3 Orientations
4.3.1 Factors covered in orientation programme
4.3.2 Orientation programme
4.3.3 Requisites of an effective programme
4.4 Placement
4.5 Summary
27

28. 4.1 Meaning and definition of recruitment:-
It is the process of finding and attracting capable applicant for employment. The process begins
when new recruits are sought and ends when their applicants are submitted. The result is a pool
of applicants from which employees are selected. The result is a pool of applicants from which
new employees are selected.
According to Flippo “Recruitment is the process of searching for prospective employees and
stimulating them to apply for jobs in the organization.
On the basis of above definition , it can be said that “recruitment involves identifying sources of
potential employees, informing people of job opening, and attracting applicants who have the
requisite qualification to perform the job.
Human Resource Determine Job analysis
Planning recruitment and
selection needs
4.1.2 Objective of Recruitment:-
The objective of recruitment are-
1. To attract people with multi dimensional skills and experience that suits the present and
future organizational strategies.
2. To induct outsiders with a new perspective to lead the company.
3. To infuse fresh blood at all levels of the organization.
4. To search people whose skills fit the company values.
5. To search for talent globally and not just within the company.
6. To anticipate and find people for positions that does not exist yet.
7. To develop an organizational culture that attracts competent people to the company.
4.1.3 Factors affecting Recruitment:-
External Factors Internal factors
Supply and Recruitment
demand policy
Unemployment Recruitment HRP
rate Size of the firm
Labour market Cost
4.1.4 Recruitment
Political social
Process:- Growth and
Sons of soil expansion
28
Image

29. Recruitment is an important function in HRP. The recruitment process consists of the following
steps-
1. Recruitment process begins when the personal department receives requisition for
recruitment from any department of the company. The personal requisitions contain
details about the position to be filled, no. of the person to be recruited, the qualification
and duties of person‟s terms and conditions of employment etc.
2. The next step is assessment of personnel requirements through job descriptions and job
specifications.
3. Locating and developing the sources of required no. & type of employees.
4. Identifying the prospective of employees with particular combinations of skills,
experience, education, and other personal attributes.
5. Communicating the information about the organization, the job, the terms and conditions
of service, and applicable laws and regulations.
6. Encouraging the identified candidates to apply for jobs in the organization candidates
should not be discouraged to apply for a position because of their sex, race, age or other
traits.
7. Evaluating the effectiveness of recruitment process.
Recruitment process can be defined by other steps-
1. Recruitment policy:
It specifies the objective of recruitment and provides a framework for the
implementation of the recruitment programme. It also involves the employer
commitment to some principle as to find end employ the best qualified [persons for
each job to retain the most promising of those hired, etc.
2. Recruitment organization:
The recruitment may be centralized like public sector bank or decentralized.
3. Sources of recruitment:
Various sources of recruitment may be classified as internal and external.
4. Methods of recruitment:
Recruitment techniques are the means to make contract with potential candidates, to
provide them necessary information and to encourage them to apply for jobs.
5. Evaluation of recruitment programme:
The recruitment process must be evaluated periodically. The criteria for evaluation
may consists cost per applicant.
4.1.5 Sources of Recruitment:-
29

30. There are two sources of recruitment-
(A) Internal sources-
Internal sources refer to the present working force of a company.
1. Promotion- a promotion means appointing an employee to a position of greater
responsibilities.
2. Past employees- an organization may also consider in the past but quit voluntarily or
due to retrenchment and want to return if the organization likes to re-employee.
3. Transfer- a transfer involves the shifting an employee from one job to another
without changing responsibilities.
4. Dependents- dependents and relatives of and disabled employees may also be hired.
5. Apprentice- persons working as apprentice in the company may also be hired
wherever a clear vacancy exists there.
(B) External sources:-
Robbins remark “It may be necessary to bring some new ideas, knowledge and enthusiasm.
1. Advertisement- it is widely used method of attracting persons. It is frequently used
for skilled workers, clerical and higher staff.
2. Employment exchanges- employment exchanges provide information about job
vacancies to the job seekers and help employers in finding suitable candidates.
3. Educational institutions- schools, colleges and universities a all levels offer
opportunities for recruiting recent graduates or new diploma recipients.
4. Private employment agencies- private agencies are believed to offer positions and
applicants of a higher caliber.
5. Professional bodies- the source consists of the management consultants, executives
search, trade associations or professionals institutes.
6. Employee referrals- present employee of a concern may also recommended friends
or relatives for jobs. Employees also take care to recommend a good candidate
because such a recommendation reflects on the recommender.
30

31. 4.2 Selection:-
4.2.1 Meaning and definition:-
Selection is the process of picking individuals with requisite qualifications and competence to fill
jobs in the organization.
“Selection is the process of differentiating between applicants in order to identifying those with
a greater likelihood of success in a job.”
Recruitment and selection are two crucial steps in the process and are often used
interchangeably.
There is fine distinction between the two steps. While recruitment refers to the process of
identifying and encouraging prospective employees to apply for jobs.
Selection is concerned with picking the right candidates from a pool of applicants.
External environment
4.2.2
Internal environment
Preliminary interview
Selection test
Employment interview
Reference and background
Analysis
Selection decision
Physical examination
Employment contract 31
Evaluation

32. 1. Preliminary interview: - it helps reject misfits for reasons which did not appear in the
application forms. It is also called courtesy interview is a good public relations exercise.
Selection tests: - generally tests are used to determine the applicant‟s ability, aptitude and
personality.
Ability test assist in determining how well an individual can perform tasks related to the jobs.
Aptitude test An help determine a person‟s potential.
Personality tests are given to measure a prospective employee‟s motivation to function in a
employee‟s motivation to function in a particular working environment.
2. Employment interview: - The next step in the selection process is employment interview.
An interview is conducted at he beginning and at the end of a formal, in-depth conversation
conducted to evaluate the applicants‟ acceptability.
3. Reference and background checks: - Many employers request names address and
telephone numbers or reference for the purpose of verifying information and background
information on an application.
4. Selection decision: - after obtaining information through the preceding steps selection
decision. The most critical of all the steps must be made. The other stages in the selection
process have been used to narrow the number of candidates. The final decision has to be made
from the pool of individual who pass the tests, interviewer and checks.
5. Physical examination: - after the selection decision and before the job after offer is made,
the candidate is required to undergo a physical fitness test. The results of the medical fitness
test. The results of the medical fitness test are recorded in a statement and are preserved in the
personnel records.
6. Job offer: - the next step in the selection is job offer to those applicants who have crossed
all the previous hurdles. Job offer is made through a letter of appointments.
7. Contracts of employments: - after the job offer has been made and the candidates accept
the offer, certain documents need to be executed by the employer and the candidates.
There is also a need for preparing a contract of employment the basic information that should
be included in a written contact of employment.
Job title
Duties
Date when continuous employment starts and the basis for calculating service
Rate of pay, allowances, overtime and shift rates. Methods of payments
32

33. Hours of works including lunch break and overtime and shift arrangements.
Holiday arrangements.
4.3 Orientations: -
Orientation also called induction is designed to provide a new employee with the
information he or she needs to function comfortably and effectively in the organization.
“A formal definition of orientation is planned introduction of employees to their jobs,
their co-workers and the organization.”
Orientation conveys 3types of information
1. General information about the daily work routine.
2. A review or the organization‟s history objective, operations and products or
services.
3. A detailed presentation, organizations, polices , work rules and employee benefits.
4.3.1 Factors covered in orientation programme: -
Organizational issues: -
History of employer
Organization of employer
Name and titles of key executives
Employers title and department
Layout of physical facilities
Probationary period
Product or service provided
overview of production process
Company policies and rules
Disciplinary regulations
Employee hand work
Safety procedure and enforcement
Employee benefits: -
Pay scale and paydays
Vacations and holidays rest breaks
Training and education benefits
Counseling
Insurance benefits
Retirement programme
Introduction: -
33

34. To supervisors
To trainers
To co-workers
To employee counselor
Job duties: -
Job location
Job tasks
Job safety requirements
Overview of jobs
Job objectives
Relationships to other jobs
4.3.2 Orientation programme: -
A firm needs to make four strategies before designing its orientation programme. They are-
1. Formal or informal
2. Individual or collective
3. Serial or disjunctive
4. Investiture or divestiture
1- Formal or informal:-
In informal orientation, new hires are directly put on the jobs and they are expected to a
acclimate themselves with the work and the organist ion.
In contrast, orientation can be formal like the management has a structured programme which
is executed when new employees join the organization.
2- Individual or collective: -
The individual approaches are likely to develop far less homogenous views than
collective orientation. Individual orientation is more likely to preserve individual
differences and perspectives; It is an expensive and time consuming process. It also
denies sharing anxieties with fellow appointees.
Collective orientation of the new hires solves the problems most large organization
tends to have the collective orientation approach.
3- Serial or disjunctive: -
Orientation becomes serial when an experienced employee inducts a new hire.
The experienced employee acts as a tutor and model for the new hire.
34

35. Disjunctive orientation almost stands on the other side of the spectrum, such induction
is likely to produce more inventive and creative employee because the new hire is not
burdened by traditions.
4- Investiture or divestiture: -
Investiture orientation seeks to ratify the usefulness of the characteristics that the person
brings to the new job. The new hires are given freedom to select their office furnishings
and subordinates and to make other decisions that will reflect on their performance.
Divestiture orientation on other hand, seeks to make minor modifications in
the characteristics of the new hire, and he is selected based on his performance, or
potential.
4.3.3 Requisites of an effective programme: -
1. Prepare for new employee
2. Determine information new employees want to know.
3. Determine how to present information.
4. Completion of paper work.
4.4 Placement: -
Placement is the task to match positions with people so that each individual is assigned to
the position where he is likely to make the best use of his abilities consistent with the
requirements of his job.
It is the process of assigning a specific job to the candidates selected by the company. It
involves assigning a specific rank and responsibilities to an individual.
In the words of Pigors and Myres “Placement consists in matching what the supervisors
has reason to think the new employee can do with what the job demands, imposes and
offers of pay rate, interest etc.
In essence, placement refers to assigning rank and responsibility to an individual, identifying him
with a particular job. Its objectives are to fit the new employees to the job demand proper
placement helps to the job demands. Proper placement helps to improve employee morale and to
reduce employee turnover, absenteeism, and accidents.
35

36. Collect details about the employee
Construct his or her people
Which subgroup profile does the individual profile best fit
Compare subgroup profile to job family profile
Which job family profile does subgroup profile best fit?
Assign the individual to job family
Assign individual to specific job.
ASSESMENT CLASSIFICATION MODEL
36

37. SUMMARY:-
Recruitment is the process of searching for and obtaining applications so as to build pool of job
seekers from whom the right people for the right jobs may be selected.
Recruitment is a five-step process. The steps are-
1. Planning
2. Strategy development
3. Searching
4. Screening
5. Evaluation and control
Selection refers to the process of picking the right candidates from the pool of applications.
Selection is an eight step process, commencing from preliminary interview and ending with
evaluation and control. Two alternative method of selection are participants‟ selection and
employee leasing.
Orientation is the planned introduction of new employee to their jobs, their co-workers
and the organization. The main purpose of introduction is to relieve the new employee from
possible anxiety and make him or her feel at home on the job.
After orientation comes placement, placement refers to the assignment of a new
employee to his or her job. Where the jobs are sequential or pooled, HR specialists must
be assessment classification model for placing newly hired employees.
Q-1 Inviting the application of applicants‟ process is called?
(a) Selection (b) appraisal (c) recruitment (d) a&c C.
Q-2 Which factor affects recruitment?
(a) Political social(b) labour (c) HRP (d) all D.
Q-3 Which test determine the potential of employee?
(a) Ability test (b) aptitude test (c) personality test (d) interview B.
Q-4 Recruitment proceeds?
(a) Selection (b) orientation (c) induction (d) all D.
37

38. Q-5 Match orientation-
(a) Formal 1. Experienced employee introduction
(b) Individual 2. Structural programme
(c) Serial 3. Seeks to ratify characteristics
(d) Investiture 4. Develop homogenous view.
(a) A-2, b-1, c-3, d-4
(b) A-4, b-1, c-2, d-3
(c) A-2, b-4, c-1, d-3
(d) A-1, b-2, c-4, d-3 C.
38

39. Chapter-5
TRAINING AND DEVLOPMENT
5.1 Meaning and definition:-
5.2 Training and Education differentiated:-
5.3 Inputs in training and Development:-
5.4 Methods and techniques of training
5.5 Types of training
5.6 Evaluation of training programme
5.7 Performance Appraisal
5.8 Objective of performance Appraisal
5.9 Appraisal process
Summary
39

40. 5.1 Meaning and definition:-
Training and development refers to the imparting of specific skills, abilities and knowledge to an
employee.
A formal definition of training& development is-
“It is any attempt to improve current or future employee performance by increasing an
employee‟s ability to perform through learning, usually by changing the employees attitude or
increasing his or her skills and knowledge. The need for training and development is determines
by the employees performance deficiency, Computed as follows.”
T&D need = standard performance- actual performance
5.2 Training and Education differentiated:-
Training Education
Application Theoretical orientation
Job experience Classroom learning
Specific tasks General concepts
Narrow perspective Broad perspective
5.3 Inputs in training and Development:-
1. Skills: - A worker needs skills to operate machines like, Motor skills refer to
performance of specific physical activities. Interpersonal skills known as people skills
are needed to understand oneself by the help of listening, persuading and showing an
understanding of other‟s feelings.
2. Education: - The purpose of education is to teach theoretical concept and develop a
sense of reasoning and judgment education is more important for managers and executive
than workers.
3. Development: - Another component of a training and development programme is to
development which is less skill oriented but stresses on knowledge.
4. Ethics: - There is need for imparting greater ethical orientation to a training and
development programme. There is no denial of the fact that ethics are largely ignored in
40

41. business. Unethical practices abound in marketing, finance and production function in an
organization.
5. Attitudinal changes: - Attitude affect motivation, satisfaction and job commitment
negative attitudes need to be converted positive attitudes.
Changing attitudes is difficult because-
Employees refuse to change
They have prior commitments
Information needed to change attitudes may not be sufficient.
6. Decision making and problem solving skills:-
It focuses on, methods and techniques for making organizational decision and solving
work related problems. Learning related to decision making and problem solving skills
seeks to improve trainees abilities to define and structure problem, collect and analyze
information, generate alternative solutions and make an optimal decision among
alternatives.
5.4 Methods and techniques of training:-
1. Job instruction training (JIT): -
Many jobs consist of a logical sequence of steps. This step-by-step learning has been
called JIT. It involves listing all necessary steps in the jobs, each in its proper sequence. It
involves four steps-
Preparing the trainees
Presenting the job operations
Applying the trying out the instructions
Following the training
2. On the job (OJT): -
This method refers the employees in an actual work situation and makes them appear to
be immediately productive.
41

42. There are a variety of OJT methods: -
1. ‘Coaching’ or ‘understudy’: - Here the employee is trained on the job by his
immediate superior. This method is also widely used at top management levels. This
method may also be called helper system. The coaching may simply involve having
the trainee observe his supervisor so as to develop the skills necessary for doing
work.
2. Vestibule training: - This training is conducted away from the actual work floor.
Worker are trained on special machines in a separate locating i.e. classrooms. The
vestibule school is run by the personnel department. Here the working environment is
artificial but it is just like the actual conditions.
3. Classroom lectures: - It is most widely used method of training. It involves speaking
or presently information to large number of trainees usually from prepared notes.
There are two variations of this method, „talk and discussion‟. Talk involves
encouraging trainees to raise questions so as to maintain interest in the topic.
Lecture is a means of “telling” trainees something.
4. Role playing: - Role playing stresses modification of behavior through practice in
“doing” instead of through verbal behavior; explicitly role plying is most suitable for
human relation problems and least appropriate for technical problems. The advantage
of role playing arises in so far as it encourages participation and involvement,
improves a wrong pattern of behavior, enables trainees to see themselves in other
fellows‟ sheers and stresses a diagnosis of the problem and reactions of other
individuals.
5. Case studies and incidents: - case studies provide facts regarding a business situation
summarizing experience situation not raising problems. They teach trainees to handle
similar situation arising in future. It conceptualize the dynamic nature of business and
provide confidence to look for alternatives measures for solving the problem and
taking decisions.
The incident method relates to the practical problem solving process. In this
method, an incident is given for discussion and facts and find solutions.
5.5 Types of training: -
5.5.1 Induction or orientation training: - Induction or orientation may be
defined as a process of guiding and counseling the employee to familiars
42

43. him with job situations. The induction process accomplishes several
objectives including information of a favorable impression and attitudes
development.
5.5.2 Rank and file job training: - it is based on similarities in training on
several specific jobs. This type of training can be imparted in a classroom
or on the job. It is performed by a foreman or a group leader. This method
consists of four steps. Including preparation of athe worker presentation
of the operation, trying out performance and follow-up.
5.5.3 Craft training: - Craft training demands highly complex, generalized
knowledge, attitudes and skills and hence is more time consuming, craft
training may be in the form of a helper to a craftsman or formal
apprenticeship or a company training programme.
5.5.4 Supervisory training: - Supervisory training consists of job methods
training (JMT) and job relation training(JRT) the JMT helps the
supervisors to improve methods in their department, while the JRT helps
the supervisors to improve methods in their department, while the JMT
helps the supervisors to improve methods in their departments while the
JRT helps them in handling human relations problems in their
departments.
5.6 Evaluation of training programme: -
Evaluation of training programme provides assessments of various methods and
techniques, sells training to management identifies the weakness of training
programmes and helps to accomplish the closest possible correlation between the
training and the job.
There are numerous criteria for evaluation including enhanced output, minimized
production time for a unit of output reduced time for training, reduced scrap and
wastage, improved quality of output, improved morale, decline in absenteeism,
turnover and accidents and reduction in overhead and burden.
According to yodder etal there are several techniques for assessing
effectiveness of training programmes. These programmes can be evaluated by
discontinuing them, using checklists, employing attitude and rating scales, using cost
accounting administering tests and plotting learning.
First, training programme can b evaluated by observing what happens
when they are discontinued.
43

44. Secondly, checklists also provide an effective measure for evaluating
training programmes, they have been largely used to assess the performance of a
conference leader of participation of conference members.
Thirdly attitude and rating scales can be used to assess the efficacy of training.
The participants may be asked to indicate the draw backs of training.
Fourthly the cost accounting techniques can be used to assess the effectiveness of
training programmes. Substantial savings emerging from the programme indicate
their effectiveness.
Fifthly, psychological tests can also be used to predict training for various jobs.
Indeed, careful use of these tests can prove of immense help in selecting individual
who can profit markedly for training and minimizing the proportion of training failure
tests can be assess their effectiveness.
Lastly hearing curves have been found very useful in assessing effectiveness
of training. A learning curve can be plotted for each trainee.
The results of training programmes should be reported after their evaluation in terms
of the number trained each month for specific jobs along with percent of employees
receiving training.
In the opinion of kirk Patrik training can be evaluated at four levels.
1. Reaction – How well did the trainees like the programme.
2. Learning- What was learned by the trainer.
3. Behavior- What learning was transferred to job?
4. Results- What results were observed and what benefits accrued t the organization.
5.7 Performance Appraisal
Meaning: -
Performance appraisal may be understood as the assessment of an individual‟s
performance in a systematic way, the performance being measured against such
factors as job knowledge, quality and quantity of output, initiative a leadership
ability, supervision, dependability, co-operation, judgment versatility, health and the
like.
Definition: - It is a systematic evaluation of the individual with respect to his or her
performance on the job and is or her potential for development.
A more comprehensive definition is: -
“Performance appraisal is a formal, structural system of measuring and evaluating
and employees job related behaviors and outcomes to discover how and why the
44

45. employee is presently performing on the job and how the employee can perform
effectively in the future.”
Job analysis Performance Performance appraisal
standard
Describe work and Translate job Describes the job relevant
personnel requirement of requirements in to levels strength and weakness of
a particular job. of acceptable or each individual.
unacceptable
performances
5.8 Objective of performance Appraisal : -
1. To effect promotions based on competence and performance.
2. To confirm the services of probationary employees upon their completing the
probationary period satisfactorily.
3. To assess the training and development needs of employees.
4. To decide upon a pay raise where regular pay scale have not been fixed.
5. To let the employees know where they stand in so far as their performance is
concerned and to assist them with constructive criticism and guidance for the
development.
6. To improve communication.
7. Performance appraisal provides a formal for dialogue between the superior and
subordinate, and improved understanding of personal goals an concerns.
8. Finally, Performance appraisal can be used to determine whether HR programme
such as selection, training and transfers have been effective or not.
45

46. Table 5.8.1
Multiple purpose of performance assessment: -
General application Specific purpose
Identification of individual needs
Performance feedback
Determining transfers and job assignment
Identification of individual strength and
development needs.
5.9 Appraisal process: -
Objective of performance appraisal
Establish job expectations
Design an appraisal programme
Appraisal programme
PERFORMANCE APPRISAL PROCESS
Performance interview
Use appraisal data for appropriate
purpose 46

47. 1. Objective of appraisal: - Objectives of appraisal include effecting promotions and
transfers, assessing training needs, awarding pay increase, and the like. The emphasis in all
theses is to correct the problems. In the system approach appraisal aims at improving the
performance instead of merely assessing it towards this and appraisal system seeks to
evaluate opportunity factors, opportunity factors include the physical environment such as
noise, ventilation and lighting, available resources as human and computer assistance.
2. Establish job expectations: - The second step in the appraisal process is to establish job
expectations. This includes informing the employee what is expected of him or her on the
job. Individual should not be expected to begin the job until they understand what is expected
of them.
3. Design appraisal programme; - Designing an appraisal programme poses several factors
like formal & informal appraisal, raters, problems &evaluation etc.
4. Appraise performance: - The last to be addressed in the process of designing an appraisal
programme, is to determine method of evaluation.
Methods
Past oriented Future oriented
Rating scales MBO
Checklists 360 appraisal method
Forced choice method
Psychological appraisal
Forced distribution method
Critical incident method Assessment centers
BARS
Field review method
Annual confidential reports
Essay method
47

48. 1. Rating scales: - This is the simplest and most popular technique for appraising
employee performance. The typical rating scales consist of several numerical scales, each
representing a job related performance criterion. Such as dependability, initiative, output,
attendance, attitude, cooperation and the like.
2. Checklist: - Under this method, a checklist of statements on the traits of the
employee of himself is prepared in 2 columns „yes‟ or „no‟. The benefit of a checklist is
economy and loss is including suspect ability of raters ability.
3. Forced choice method: - in this, the rate is given a series of statement about an
employee. This statement arranged in block of two or more and the rater indicates which
statement is most or least descriptive of the employee. This approach is known as the
forced choice method because the rater is forced to select statements which are
readymade.
4. Forced distribution method: - This method seeks to overcome the problem by
compelling the rater to distribute the rates on all points on the rating scale. The method
operates under an assumption that the employee performance levels conforms to a normal
statistical distribution.
5. Critical incident method: - it has generated a lot of interest these days. The
approach focuses on certain behavior of an employee that makes all the difference
between effective and non-effective performance of a job.
6. BARS:- (behavioral anchored rating scales):- Behaviorally anchored scales
sometimes behavioral expectation scales, are rating scales whose scale are rating scales
whose scale whose scale points are determined by statement of effective and ineffective
features.
Areas of performance to be evaluated are identified and defined by the people who
will use the scales.
The scales are anchored by descriptions of actual job behavior that, supervisors
agree.
BARS are developed to provide results which subordinates could use to improve
performance
48

49. 7. Field review method: - This is an appraisal by someone outside the assessed own
departments, usually someone from the corporate office or the HR department. The
method is primarily used for making promotion decision at the managerial levels.
8. Annual confidential records: - it is maintained mostly in government
departments though its application in the industry is not ruled out. The approach had
some items-
Attendance
Self-expression
Ability to work
Leadership
Initiative
Technical ability
Ability to understand
Responsibility
Judgment
Integrity
Ability to reason.
9. Essay method: - In the essay method, the rater must describe the employee within
a number of broad categories, such as
The rater‟s overall impression of the employee‟s performance
The promotability of the employee
The jobs that the employee is now able qualified to perform
The strength and weakness of the employee and,
The training and development assistance required by the employee.
10. MBO: - The MBO concept, as was conceived by Drucker, reflects a management
philosophy which values and utilizes employee contributions.
The first step is to establish the goals each subordinate is to attain. In some organization,
superior and subordinates work together to establish goals. In others, superiors establish
goals for subordinates. The goals typically refer to the desired outcome to be achieved.
The second step involves setting the performance standard for the subordinate in a
previously arranged time period. As subordinates perform, they know fairly well what
there is to do, what has been done, and what remains to be done.
The third step, the actual level of goals attainment is compared with the goals
agreed upon. The evaluator explores reasons for the goals that were not met for the goals
that were exceeded.
The final step, involves establishing new goals and new strategies for goals not
previously attained.
49

50. At this point, subordinate and superior involvement in goal setting may change.
Subordinates who successfully reach the established goals maybe allowed to participate
more in the goal setting process the next time. The process is repeated.
11. 360-degree appraisal: - As stated earlier, where multiple raters are involved in
evaluating performance, the technique is called 360- degree appraisal. The 360-degree
technique is understood as systematic collection of performance data on an individual or
group, derived from a number of stakeholders- the stakeholders being the immediate
supervisors, team members, customer‟s peers, and self.
The 360- degree appraisal provides a broader perspective about an employee‟s
performance. In addition the technique fascinates greater self- development of the
employee to compare his perceptions about self with perceptions of others. Besides, the
360- degree appraisal provides formalized communication links between an employee
and his customer. It makes the employee feel much more accountable to his internal or
external customers. The technique is particularly helpful in assessing soft skills possessed
by employees. By design, the 360-appraisal is effective in identifying and measuring
interpersonal skills, customer satisfaction and team-building skills.
12. Psychological Appraisal: - When psychologists are used for evaluations, they assess an
individual‟s future potential and not past performance. The appraisal normally consists of
in-depth interview, psychological tests, discussions with supervisors and a review of
other evaluations. The psychologists then writes an evaluation of the employee‟s
intellectual, emotional, motivational and other related characteristics that suggest
individual potential and may predict future performance.
13. Assessment centers: - An assessment centre is a central location where managers may
come together to have their participation in job-related exercise evaluated by trained
observers. The principles idea is to evaluate managers over a period of time, say one to
three days, by observing their behavior across a series of select exercises or work
samples. Assess are requested to participate in basket exercises, work groups, computer
simulations, role-playing, and other similar activities which require the same attribute for
successful performance.
50

51. SUMMARY: -
Performance appraisal refers to the assessment of an employee‟s actual performance,
behavior on jobs, and his or her potential for future performance appraisal has several
objectives but the main purpose are to assess training needs, to effect promotions, and to
give pay increases.
Appraisal of performance proceeds in a set pattern. The steps involved are defining
appraisal objectives, establishing, job expectations, designing the appraisal programme,
conducting performance interview, and using appraisal data for different HR activities.
Training and development activities are designed considerable cost not
withstanding to impart specific skills abilities and knowledge employees. Training refers
to impart in g specific skills, education is the process of theoretical learning in
classrooms. Development refers to leaning opportunities designed to help employees
grow and employees differ. A programme of T&D is important as it tends ability and
flexibility and to an organization.
Q-1 Standard performance - actual performance gives the result of-
(a) T&D (b) performance appraisal (c) T&D need (d) evaluation C.
Q-2 Match-
1- Training (p) job experience
2- Education (q) classroom learning
(r) General concepts
(s) Application
(a) 1-p, 2-q, 2-r, 1-s
(b) 1-q, 1-r, 2-p, 2-s
(c) 1-p, 2-r, 1-q, 2-s
(d) None A.
Q-3 Which are inputs in training and development:
1. Skills 2. Concepts 3. Education 4. Principles 5. Ethics
(a) 1,2,5 (b) 4,5 (c) 1,3,5 (d) 1,2,4 C.
51

52. Q-4 An appraisal by an outside assessors is called-
(a) Annual confidential records
(b) Field review methods
(c) Essay method
(d) BARS B.
Q-5 BARS-
(a) Behaviorally anchored review scales
(b) Behaviorally anchored review summary
(c) Behaviorally assessment review scales
(d) Behaviorally anchored review scales
(e) Behaviorally anchored rating scales D.
52

53. REFERENCS-
1. Ashwathapa K. 3rd Edition Human Resource Management & Personnel Management.
2003.
2. Sudha G.S. „ Human resource Management‟ 2008-09.
3. Dwivedi R.S. “Managing Human Resource & Personnel Mnanagment in indian
Enterprises. 1997
4. Patnayak Bishwajeet „ Human Resource Devlopment‟
53

54. Chapter-2 Human Resource Planning
2.1 Meaning and definition:-
2.2 Objectives of HRP:-
2.3 Factors affecting HRP:-
2.4 Manpower planning:-
2.5 Problems in Human Resource Planning: -
2.6 Requisites for successful HRP:-
2.7 Summary
54

55. 2.1 Meaning and definition:-
HRP is the process by which an organization ensures that it has the right number and kinds of
people, at the right place, at the right time, capable of effectively and efficiently completing
those tasks that will help the organization achieve its overall objectives.
In simple words, HRP is understood as the process of forecasting an organization &
future demand for, and supply of the right type of people in the right number.
HRP is a subsystem in the total organization planning, organization
planning includes managerial activities that set the company‟s objective for the future and
determine the appropriate means for achieving those objectives.
The purpose of HRP is to assess where the organization as, where it is going, and what
implications these assessment have on future supplies of and demands for human resources.
According to Edwin B. Gester “ Human resource planning is a process including forecasting,
developing implementing and controlling by which a firm ensures that it has the right number of
people, and right kind of people and at the right place and at the right time for things for which
they are economically useful.”
2.2 Objectives of HRP:-
 Ensure optimum use of human resources currently employed.
 Avoid unbalanced in the distribution and allocation of manpower.
 Assess or forecast future skill requirements of the organization‟s overall objectives.
 Provide control measures to ensures availability of necessary resources when required.
 Control the cost aspect of human resources.
 Formulate transfer and succession policy.
55

56. 2.3 Factors affecting HRP:-
External factor:-
6- Government policy: - policies of the government like labour policy, industrial relation
policy, policy towards reserving certain jobs for different communities etc
7- Level of economic development:- i.e. level of employment and education in the country.
8- Business environment: - external business environment factors influence the volume and
mix of production and thereby the future demand for HR.
9- Level of technology: - it determines the kind of human resources required.
10- International factors: - demand and supply of human resources in various countries.
Internal factor:-
6- Company policies and strategies: - company‟s policy and strategies relating to expansion,
diversification, alliances etc. determines the human resource demand in term of quality
and quantity.
7- Human resource policy: - HR policy of the company regarding quality of human
resources, compensation level, and quality of work life etc. influence human resources
plan.
8- Job analysis: - job description and job specifications determine the kind of employee
required.
9- Type and quality of information: - Any planning process needs qualitative and accurate
information.
10- Company‟s production operation policy: - company‟s policy regarding how much to
produce and how much to buy from outside to prepare a final product influence the
number and kind of people required.
56

57. 2.4 Manpower planning:-
All organizations plan to some extent, even though the plans may consist of no more
than a few general ideas carried around in the heads of top managers, and based on an
informal forecast derived from past experience known facts, common sense and a few
hunches. Our interest is in informal planning in which definite techniques and procedures are
used and written plans are produced.
Formal planning systems as viewed in the perspective of managing large scale
arrivals on the managerial scene overall master planning or corporate planning was given
impetus.
2.4 The planning process:-
HRP essentially involves forecasting personnel needs assessing personnel supply and
matching demand supply forecast through personnel related programmes. The planning
process related programmes the planning process is influenced by overall organizational
objectives and environment of business.
Organizational objectives and policies:-
HR plans need to be based on organizational objectives. Specific requirement in terms of
number and characteristics of employees should be derived from the organizational
objectives.
4- HR demand forecast: - Demand forecasting is the process of estimating the future quantity
and quality of people required. The basis of the forecast must be the annual budget and long-
term corporate plan, translated in to activity levels for each function and department.
Demand forecasting must consider several factors- both external as well
as internal. Among the external factors are competition, economic climate, laws and regulatory
bodies, changes in technology, and social factors. Internal factors include budget constraints,
production levels, new products and services, organizational structure, and employee
separations.
5- Forecasting techniques:-
The techniques are:
6- Managerial judgment
7- Ratio-trend analysis
8- Work study technique
9- Delphi technique
10- Flow models
57

58. 5- Managerial judgment: - this technique is very simple. In this, managers sit together, discuss and
arrive at a figure which would be the future demand for labour. The technique may involve a,
bottom-up, or a „top-down, approach. In the first, line managers submit their departmental
proposal to top managers who arrive at the company forecasts. In the, top down, approach, top
managers prepare company and departmental forecasts.
6- Ratio-trend analysis: - This is the quickest forecasting technique. The technique involves
studying past ratios, say, between the number of workers and sales in an organization and
forecasting future ratios, making some allowances for changes in the organization or its methods.
7- Work study technique: - work study technique can be used when it is possible to apply work
measurement to calculate the length of operations and the amount of labour required. The starting
point in a manufacturing company is the production budget, prepared I terms of volumes of
saleable products for the company as whole, or volume of output for individual department. The
budgets of productive hours are then complied using standard hours for direct labors. The
standard hours per unit of output are then multiplied by the planned volume of units to be
produced to give the total number of planned hours for the period. This is then divided by the
number of actual working hours for an individual operator required. Allowances will have to be
made for absenteeism and idle time. Following is a highly simplified example of this procedure:
-
1- Planned output for next year 20,000 units
2- Standard hours per unit 5
3- Planned hours for the year 1, 00,000
4- Productive hours per man/year 2,000
5- Number of direct workers required 50
4- Delphi technique: - This technique is a method of forecasting is a method of forecasting personnel
needs. It solicits estimates of personnel needs from group of experts, usually managers. The HRP
experts act as intermediates, summaries the various responses and report the findings back to
experts. The experts are surveyed again after they receive this feedback. Summaries and surveys are
repeated are until the expert, s opinion begin to agree. The agreement reached is the forecast of the
personnel needs.
8- Flow models: - The simplest one is called the markov model. In this technique, the forecast will:
1. Determine the time that should be covered. Shorter length of time is generally more
accurate than longer ones.
2. Establish categories, also called states, to which employee can be assigned. These
categories must not overlap and must take in to account.
3. Count annual movements (also called, flows,) among states for several for several time
periods.
6- HR supply forecast :-
Personnel demand analysis provides the manager with the means of estimating the number
and kind of employees that will be required. The next logical step for the management is to
determine whether it will be able to procure the required number of personnel and the supply
analysis covers-
58

59. 4- Existing human resources
5- Internal sources of supply
6- External sources of supply
2.5 Problems in Human Resource Planning: -
Though HRP is beneficial to the organization, planners face significant problems or barriers
while formulating an HRP. The major ones are the following: -
2- Resistance by employers and employees:
Many employers resist HRP as they think that it increases the cost of manpower as trade unions
demand for employees, based on plan, more facilities and benefits including training and
development.
Trade unions and employees also resist HRP as they view that it increases the work load of
employees and prepares programme for securing the human resources mostly from outside.
2- Uncertainties: - uncertainties are quote prominent in human resource practices due to
absenteeism, seasonal employment, labour turnover etc.
3-HR practitioners are perceived as experts in handling personnel matters but are not experts in
managing business. The personnel plan conceived and formulated by the HR practitioners, when
entrapped with organizational plan, might make the overall strategic plan itself defective.
Environment
Organizational objective and
policies
HR needs forecast HR supply forecast
HR programming
HRP implementation
Control and evaluation of
programme 59

60. 2.6 Requisites for successful HRP:-
There are at least pre-requisites for successful HRP:
HRP must be recognized as an integral part of corporate planning the
planner of human resources must be aware of corporate objectives.
Backing of top management for HRP in absolutely essential.
HRP responsibilities should be centralized in order to co-ordinate
consultation between different.
Personnel records must be complete up to date and readily avalaible.
The techniques of planning should be those best suited to the data
available and the degree of accuracy required.
SUMMARY:-
HRP refers to the estimation of the number and the type of people needed during the ensuring
period. HRP is signification as it helps determine future personnel needs, ensures protection to
weaker sections, acts as a basis for other personnel functions, helps overcome resistance to
change and so on.
HRP is influenced by several factors, such as the type and strategy of environment
uncertainties, time horizons type and quality of information and type of jobs being filled.
The HRP is a 5-step process. The steps are-
6. Defining organizational objectives and policies.
7. Forecast of personnel needs and supplies.
8. HR programming
9. HR implementation.
10. Control and evaluation of programmes.
60

61. Q-1 HRP includes-
(a) Forecasting (b) developing (c) Implementing (d) all D.
Q-2 which internal factor affecting HRP-
(a) company policy (b) customers (c) Government (d) all A.
Q-3 which technique is fast for forecasting?
(a) Filed review (b) Work study (c) Ratio trend analysis (d) none C.
Q-4 1-HRP must be internal part of corporate planning.
2- HRP must be integrated part of corporate planning.
3- HRP must be external part of corporate planning.
(a) T/F/T (b) F/F/T (c) T/F/F (d) F/T/F D.
Q-5 HRP consists ----------- steps.
(a) 2 (b) 4 (c) 6 (d) 5 D.
61

62. Chapter-3
Job Analysis and Design
3.1 Meaning and definition
3.2 Process of job analysis
3.3 Methods of job analysis
3.4 Job Design
3.5 Techniques of Job Design
3.6 Summary
62

63. 3.1 Meaning and definition:-
“Job analysis is the process of studying and collecting information relating to the operation and
responsibilities of a specific job. The immediate products of this analysis are job descriptions and
job specifications”.
Job analysis is a systematic exploration of the activities within a job. It is a basic
technical procedure One that is used to define the duties, responsibilities and accountabilities of a
job.
A job is a collection of tasks that can be performed by a single employee to contribute to the
production of some product or service provided by the organization. Each job has a certain
ability requirements associated with it. Job analysis is the process used to identify these
requirements.
Job analysis involves the following steps: -
6. Collecting and recording job information.
7. Checking the job information for accuracy.
8. Writing job description based on the information.
9. Using the information to determine the skills, abilities and knowledge that are required on
the job.
10. Updating the information from time to time.
Job Analysis
Job Analysis
A process of obtaining all pertinent
job facts
63