Human Resource Development

Human Resource Development is the part of human resource

management that specifically deals with training and development of the
employees in the organization. Human resource development includes training
a person after he or she is first hired, providing opportunities to learn new
skills, distributing resources that are beneficial for the employee's tasks, and
any other developmental activities. HRD is the integrated use of training and
career development efforts to improve the performance of the individual or
group as well as overall organizational effectiveness. It develops the
competencies that employees need to perform the current jobs and prepares
them for future roles through planned learning activities. HRD focuses on
matching the needs of the individual and the organization.
While choosing the right person for the job and then retaining them has always
been the focus on the HR department, the emphasis of HRD is on motivating
and developing employees. This requires HR departments to create policies
and programs that lead to the development of the workforce and contribute to
the development or the organization. HRD refers to employee training, career
development, performance development, mentoring, coaching, tuition
assistance and other activities that are related to developing a workforce. HRD
is considered the key to higher productivity and better productivity because it
helps employees develop the knowledge, skills and attitudes an employer
wants in its employees. It can also increase job satisfaction for employees and
open lines of communication among team members.
Leonard Nadler defines HRD, “as those learning experiences which are
organized for a specific time and designed to bring about the possibility of
behaviour change.” (HRD) refers to the vast field of training and development
provided by organizations to increase the knowledge, skills, education, and
abilities of their employees. In many organizations, the human resources
development process begins upon the hiring of a new employee and continues
throughout that employee's tenure with the organization. human resource
development is the process of increasing the capacity of the human resource
through development. It is thus the process of adding value to individuals,
teams or an organization as a human system

Effectiveness and efficiency

HRD is a systematic and planned approach through which the efficiency of
employees is improved. The future goals and objectives are set by the entire
organization, which are well planned at individual and organizational levels.
HRD embodies with techniques and processes such as performance appraisal,
training, management development, career planning, counselling, workers’
participation and quality circles.
Human resource management (HRM) deals with procurement, development,
compensation, maintenance and utilization of human resources. HRD deals
with efficient utilization of human resources and it is a part of HRM.
Hiring qualified employees is just one aspect of an HR department’s job. In
order to retain talent and remain competitive, HR managers may also be
responsible for launching employee development initiatives. This could entail
additional on-the-job training, professional development programs, or
educational opportunities that allow employees to grow and develop in their
current roles—or prepare them for career advancement within the
organization. HR departments know that investing in training and development
benefits both employers and employees. For employers, it may mean higher
employee productivity, and lower turnover rates. For employees, seeing the
company invest in their development may help them feel more valued,
increase job satisfaction, and incentivize them to stay with the company.
Another aspect of the workplace that HR departments manage is employer-
employee relationships. With this function, HR departments strive to help
employers and employees see each other as mutual contributors to the
company, fostering a positive dynamic between the two. HR managers may
also help craft and determine company policies that ensure fairness and equity
in the workplace.
Elements of company culture may include sound hiring practices, ongoing
development, and strong employee relations. However, it’s not necessarily
something you can achieve and move on from. HR departments engage in
ongoing work to ensure that their company culture remains solid overtime. In
the employee on boarding process, HR managers may share the company’s
values, norms, and vision with employees—familiarizing them with the overall
ethos of the organization. Team outings, community building, and any reward
systems or recognition programs are additional ways HR departments might
keep employee motivation and morale high. Maintaining company culture also
means being equipped to identify any shortcomings within the organization
and having the ability to address them effectively.
 On the administrative side, HR departments oversee both mandated and
voluntary company benefits. While employers are required to provide
some benefits like Social Security, unemployment, and worker’s
compensation, other benefits like paid time off, disability income, and
gym reimbursements, are provided on a voluntary basis—and serve as
 additional incentive for potential and current employees to work at the
company.
 In addition to managing benefits, HR is responsible for protecting
employees’ safety at work—both physical and emotional. In the physical
sense, HR must ensure the workplace is free of danger typically through
worksite analysis and hazard prevention and control. HR may also
establish safety programs through risk management training and provide
information on procedures and protocol for any potential emergency
scenarios.
 Disciplinary procedures and terminations are delicate and sometimes
complicated matters. HR managers must know how to handle them
fairly and consistently to keep situations running smoothly and prevent
any additional conflict or escalation. This may involve having a clear
disciplinary process, whether that includes starting with a written
warning and increasing in severity with suspensions or demotions—or
following another proven system. Regardless of the specifics, HR
managers must have a set system in place to hold employees
accountable.
 HRD suggests to provide leadership skills training to supervisors and
managers to ensure that they're capable of managing their department
functions and their employees.
 Creating and sustaining a skilled workforce strengthens the relationship
between employer and employee. HR often develops the strategy and
implements the functional steps of employee training and development
programs. The key to strengthening the employer-employee relationship
sometimes rests on the type of resources and investment an
organization makes on behalf of its employees.
 HR supports a work environment where employees are fully engaged
workers, enthusiastic about their job duties and responsibilities.
Conducting employee opinion surveys is an effective way to measure job
satisfaction and morale. HR analyzes employee opinion survey results to
develop action plans for the organization’s leaders to improve in areas
that affect satisfaction and morale.
 HR workers ensure that the organization complies with federal state
employment laws.They also monitor compliance with applicable laws for
organizations that receive federal or state government contracts,
through maintaining applicant flow logs, written affirmative action plans
and disparate impact analyses.
 HR is involved in preparing wage and benefit spreadsheets for
negotiations. These spreadsheets contain scenarios that assist
 employers in determining the impact of incremental wage hikes; they
are useful in presenting the company's proposals during the collective
bargaining process.

Human Resource Development (HRD) is the framework for helping employees

to develop their personal and organizational skills, knowledge, and abilities.
Human Resource Development includes such opportunities as employee
training, employee career development, performance management and
development, coaching, mentoring, succession planning, key employee
identification, tuition assistance, and organization development. Before an
effort to improve the attitude of a person is tried or envisaged, the person
concerned should agree and have conviction that he requires a change in his
attitude and this is going to prove to his benefit, with respect of his career
development and success in his working life.The working conditions and the
culture of the organisation should offer to induce the employees to adopt
positive attitude and aptitude which works to motivate a person to do things
to meet the desired standard of behaviour and output to achieve the desired
targets of production and services assigned to his area of working. Well
planned HRD programmes enable the human resources planners to develop
people in accordance with the yardsticks of manning norms in the context of
technological advancements in industrial world. Human resource management
is impossible without human resource development. Therefore a number of
companies designate the human resource manager as HRD manager.
management should pay attention to the effects of the plans on attitude, value
and motives of people because in his opinion it was these factors that had a
bearing on the success of the plans. Some of the aspects covered in the HRD
mechanism are listed as follows.
i. Performance appraisal
ii. Potential appraisal
iii. Career planning
iv. Succession planning
v. Job rotation
vi. Job enrichment
vii. Rewards
viii. Organizational development.
HRD system is entirely designed keeping in view the contextual factors such as
size, technology, skill levels, and support for function. It does focus on
developing human resources at various levels (problem-solving capabilities
leading to increase employee productivity) and commitment. Although HRD
includes specialised functions, line people should be involved in various
aspects of HRD. Action is the sole responsibility of the line people and HRD
should strengthen their roles accordingly. The main purpose of HRD is to assist
the organisation to enhance its ‘enabling’ capabilities. These capabilities
include the following development of human resources, development of
organisational health, improvement of problem-solving capabilities,
development of diagnostic ability so that problems can be located quickly and
effectively to achieve increased employee productivity and commitment. A
system should have a monitoring mechanism through which the performance
of the system is measured. If the performance is not up to expectation,
corrective actions may be taken to overcome the problem. Monitoring
mechanism ensures that information reaches the person who is responsible for
bringing change in HRD system.
In order to achieve organizational goals in an effective and efficient manner,
HRD should focus on the following:
i. Developing people’s philosophy
ii. Monitoring HRD mechanism
iii. Encouraging HRD climate
iv. Working with unions
v. Conducting organizational environment surveys.
In a nutshell, it can be said that since people are the most valuable resources
for an organization, their development motivates them as well as makes them
capable of performing well, at any point of time or situation. On the other
hand, neglecting the same would result in obsolescence of their abilities.

Human resource planning (HRP)

Human resource planning (HRP) is the continuous process of systematic
planning ahead to achieve optimum use of an organization's most valuable
asset—quality employees. Human resources planning ensures the best fit
between employees and jobs while avoiding manpower shortages or surpluses.
Human resource planning (HRP) is a strategy used by a company to maintain a
steady stream of skilled employees while avoiding employee shortages or
surpluses. Having a good HRP strategy in place can mean productivity and
profitability for a company. There are four general steps in the HRP process:
identifying the current supply of employees, determining the future of the
workforce, balancing between labor supply and demand, and developing plans
that support the company's goals. Human resource planning allows companies
to plan ahead so they can maintain a steady supply of skilled employees. That's
why it is also referred to as workforce planning. The process is used to help
companies evaluate their needs and to plan ahead to meet those needs.
Find and attract skilled employees.
  Select, train, and reward the best candidates.
 Cope with absences and deal with conflicts.
 Promote employees or let some of them go.
Steps to Human Resource Planning
There are four general, broad steps involved in the human resource planning
process. Each step needs to be taken in sequence in order to arrive at the end
goal, which is to develop a strategy that enables the company to successfully
find and retain enough qualified employees to meet the company's needs.
 Analyzing Labor Supply
The first step of human resource planning is to identify the company's current
human resources supply. In this step, the HR department studies the strength
of the organization based on the number of employees, their skills,
qualifications, positions, benefits, and performance levels.
 Forecasting Labor Demand
The second step requires the company to outline the future of its workforce.
Here, the HR department can consider certain issues like promotions,
retirements, layoffs, and transfers—anything that factors into the future needs
of a company. The HR department can also look at external conditions
impacting labor demand, such as new technology that might increase or
decrease the need for workers.
 Balancing Labor Demand With Supply
The third step in the HRP process is forecasting the employment demand. HR
creates a gap analysis that lays out specific needs to narrow the supply of the
company's labor versus future demand. This analysis will often generate a
series of questions, such as:
Should employees learn new skills?
Does the company need more managers?
Do all employees play to their strengths in their current roles?
 Developing and Implementing a Plan
The answers to questions from the gap analysis help HR determine how to
proceed, which is the final phase of the HRP process. HR must now take
practical steps to integrate its plan with the rest of the company. The
department needs a budget, the ability to implement the plan, and a
collaborative effort with all departments to execute that plan.

In a globalized economy fueled by technological innovation, changing work

patterns, demographic or cultural shifts, and changes in customer behavior,
the life cycles of business designs and products are shortening – and
organizations must be able to adapt swiftly. Human capital is more flexible in
this regard than physical infrastructure or finance, and the strategies that a
business adopts to survive and thrive must take the management of this vital
human resource into account. Businesses are also appreciating the importance
of making a good first impression on their prospective employees, and
providing an incentive for them to fit into the organization and work
enthusiastically for its success. To win the human capital competition,
companies should use a strategic human resource plan as a roadmap to
achieve three- to five-year goals. Strategic plans influence the development of
tactical resource planning. For example, a human resources strategic plan may
include long-term aims to recruit and retain excellent staff with a high level of
technical expertise. The tactical plan would include detailed action plans with
completion due dates. For the strategic recruitment goals, the tactical program
might consist of short-term goals, such as benchmarking salaries via survey
data, or creating a social media campaign to identify and recruit technical
professionals. The plan may also target filling IT positions through international
recruiting.” Human resource planning is a two-phased process by which
management can project future human resource requirements and develop
human resource plans. It helps in proper recruitment and selection so that
right types of people are available to occupy various positions in the
organisation. It also facilitates designing of training programs for the
employees to develop the required skills in them. Thus, human resource
planning plays an important role in the effective management of personnel.
Systematic human resource planning provides lead time for the acquisition and
training of employees to meet future requirements. It is all the more crucial
because the lead time for procuring personnel is a time consuming process and
in certain cases, one may not always get the requisite type of personnel
needed for the jobs.Non-availability of suitable human resource may result in
postponement or delays in executing new projects and expansion programs,
which ultimately lead to lower efficiency and productivity. To overcome this,
an organisation must plan out its human resource requirements well in
advance so that it could compete effectively with its competitors in the
market.
Human resource planning is an important tool of Human Resource
Management as it helps in the following ways:
1. Human resource planning results in reduced labour costs as it helps the
management to anticipate shortages and/or surpluses of human resource and
correct these imbalances before they become unmanageable and expensive.
2. It serves as a basis for planning employee development that is designed to
make optimum use of workers’ skills within the organisation.
3. It enables identification of the gaps of the existing personnel so that
corrective training could be imparted. Thus, the training program becomes
more effective.
4. It leads to improvement in the overall business planning process.
5. It helps in formulating managerial succession plan as a part of the
replacement planning process which is necessitated when job-change plans for
managers are formulated. Besides, this exercise would provide enough lead
time for identifying and developing managers to move up the corporate
ladder.
6. It leads to a greater awareness of the importance of sound human resource
management throughout the organisation.
7. It serves as a tool to evaluate the effect of alternative human resource
actions and policies.
It is wise for the managers to anticipate the workforce requirements with
precision rather than getting burdened with unrequited workforce. Planning
prevents the business from falling into the trap of ill-equipped departments
with workforce which is a common concern among all industries. It Works
proactively as the expansion in the workforce market is not always in
conjunction with the workforce requirement of the organization in terms of
professional experience, talent needs, skills, etc. Organizations in growth phase
may face the challenge of meeting the need for critical set of skills,
competencies and talent to meet their strategic objectives so they can stand
well-prepared to meet the HR needs if they have planned well. Considering the
organizational goals, HR Planning allows the identification, selection and
development of required talent or competency within the organization.
Planning Provides organization with competent Personnel. It Enables
organization to optimally use manpower.

Strategic human resource development

Strategic human resource development is the connection between a
company’s human resources and its strategies, objectives, and goals. The aim
of strategic human resource management is to:
 Advance flexibility, innovation, and competitive advantage.
 Develop a fit for purpose organizational culture.
 Improve business performance.
In order for strategic human resource development to be effective, human
resources (HR) must play a vital role as a strategic partner when company
policies are created and implemented. Strategic HR can be demonstrated
throughout different activities, such
as hiring, training,and rewarding employees. Strategic HR involves looking at
ways that human resources can make a direct impact on a company’s growth.
HR personnel need to adopt a strategic approach to developing and retaining
employees to meet the needs of the company’s long-term plans.HR issues can
be a difficult hurdle to cross for many companies, there are all kinds of
different components that can confuse business owners and cause them to
make ineffective decisions that slow down the operations for their employees
as well as their business.
Companies are more likely to be successful when all teams are working
towards the same objectives. Strategic HR carries out analysis of employees
and determines the actions required to increase their value to the company.
Strategic human resource management also uses the results of this analysis to
develop HR techniques to address employee weaknesses.

The following are benefits of strategic human resource management:

 Increased job satisfaction.
 Better work culture.
 Improved rates of customer satisfaction.
 Efficient resource management.
 A proactive approach to managing employees.
 Boost productivity.
Strategic human resource management is key for the retention and
development of quality staff. It’s likely that employees will feel valued and
want to stay with a company that places a premium on
employee retention and engagement. Before you implement strategic human
resource management, you will need to create a
strategic HR planning process using the steps below:
1. Develop a thorough understanding of your company’s objectives
Since the success of strategic HR is dependent on how well it links to your
company’s goals, you need to have a thorough understanding of your aims,
objectives, and mission. You’ll need to be able to articulate both your short
and long-term plans for growth to the relevant HR personnel. Ensuring clear
communication of your company’s goals will make it easier for HR personnel to
formulate an effective resource management strategy.
2. Evaluate your HR capability
Evaluating your current HR capabilities will enable you to understand the
employees you have and how they contribute to fulfilling your goals and
objectives. Additionally, you should also undertake a skills inventory for every
employee. Skills inventories help you to discover which employees are experts
in particular areas.
It also helps you to identify the employees who have an interest in being
trained in a particular aspect of your company. A great time to asses skills is
during a performance review. However, the traditional performance review is
dying. Check out our guide on how to conduct an efficient and results driven
performance review while obtaining the skills inventory you need from your
employees!
3. Analyze your current HR capacity in light of your goals
An assessment of your HR capacity will help you to recognize barriers and
implement a plan of action to capitalize on opportunities and effectively deal
with threats. Strategic HR personnel will analyze the number of employees as
well as their skills and will work with senior leadership to identify ways to
better equip employees to serve the needs of your company.
4. Estimate your company’s future HR requirements
After an analysis of your company’s employees and skills has been done in
relation to your objectives, it’s time to forecast your HR needs. The forecast
should be done in relation to:
Demand – A prediction needs to be made in relation to the number of
employees with the associated skills that will be required in order for your
company’s future needs to be met.
Supply – Looks at the employees and skills that are currently available to help
your company achieve its strategic goals.
5. Determine the tools required for employees to complete the job
HR personnel need to liaise with the appropriate departments to find out how
the tools used by employees impact on their ability to perform their roles. For
example, an audit of hardware and software can be undertaken jointly with
the I.T department to identify gaps in tools that will facilitate a more organized
workforce.
6. Implement the human resource management strategy
After the analysis and forecast of your company’s HR requirements have been
completed, it’s time to start the process of expanding your workforce and
developing current workers to equip your company for future growth. You can
achieve the implementation of your human resource management strategy
by doing the following:
 Start with the recruitment stage – At this point, HR professionals begin
searching for candidates who possess skills that have been identified
during the HR strategic planning process.
 Organize a selection process – Interviews and other selection criteria
take place at this time. Interview questions such as “what are your salary
requirements?” and relevant tests will be used to assess whether the
candidate is suitable to carry out the role.
  Begin hiring applicants – Your company will make the candidate a job
offer after all appropriate checks have been carried out.
 Design onboarding and training – Employee Onboarding is a key
determining factor as to whether an employee remains with a company.
A comprehensive onboarding and training package must be put in place
to increase employee retention. Once you have onboard your
employees well, another important step to retaining them is to keep
them engaged!
7. Evaluation and corrective action
HR personnel should decide on a timeline to carry out a strategic HR
management review. This review will track the progress made and also identify
areas for improvement. The review should be measured against whether
changes are helping your company to achieve their goals. Corrective action
must be taken if strategic human resource management is failing to meet its
objectives.

Before crafting your strategy, know your organization thoroughly. Understand

the organization’s goals, current positions, current workforce, and workforce
strengths. Ask yourself: “Can your organization’s internal capabilities deliver on
its business goals?” To understand the organizational hierarchy and structure,
talk to your employees and find out if they are motivated and/or if they have
challenges. Once you have identified potential threats and opportunities, it is
time to develop a strategy. The strategy should be simple, yet include all
aspects of human resources development. It should also be communicated to
individuals from other departments who must be involved in implementing the
strategy. Implementation of most HR strategies require a considerate amount
of resources. It is important that you evaluate the company’s current and
required monetary and logistic resources. Match the two and check for
deviations. If there is a lack of resources, analyze ways to obtain funding.
Having the resources and having a perfect strategy would not be worth it if
action is not taken. Implementation is the most important part of a developing
a human resources strategy. Putting your plans into action and seeing the
process through to completion is essential.Once you start putting your strategy
into action, keep track of the progress. Check for changes to be made along the
way. Once you notice any change in performance, or deviation from the plan,
identify the root cause of the issue and ensure it gets correctly in a timely
fashion.Identifying the cause is not enough; you need to take corrective action.
Create a backup plan to ensure that performance results are back on track with
the original strategy. In some cases, a modified strategy may be necessary to
reach the desired goal.
The first step in the human resource planning process is to assess your current
staff. Before making any moves to hire new employees for your organization,
it’s important to understand the talent you already have at your disposal.
Develop a skills inventory for current employees. It is important to assess both
company’s demand for qualified employees and the supply of those employees
either within the organization or outside of it. It is needed to carefully manage
supply and demand. Demand forecasting is the detailed process of determining
future human resources needs in terms of quantity—the number of employees
needed—and quality—the caliber of talent required to meet the company's
current and future needs. Supply forecasting determines the current resources
available to meet the demands. With your previous skills inventory, you’ll
know which employees in your organization are available to meet your current
demand. Matching the demand and supply is where the hiring process gets
tricky—and where the rest of the human resources management planning
process comes into place. Develop a plan to link organization’s demand for
quality staff with the supply available in the market. After determining
company’s staffing needs by assessing your current HR capacity and
forecasting supply and demand, it’s time to begin the process of developing
and adding talent. Talent development is a crucial part of the strategic human
resources management process. The recruitment phase of the talent
development process, you begin the search for applicants that match the skills
your company needs. Once connected with a pool of qualified applicants,
interviews is conducted and skills evaluations to determine the best fit for
organization. After hiring new employees, bring them on board. Organize
training to get them up to speed on company’s procedures. Once human
resource management process plan has been in place for a set amount of time,
evaluate whether the plan has helped the company to achieve its goals in
factors like production, profit, employee retention, and employee satisfaction.

Elements of HRD system

There are a number of elements that are considered cornerstones for
effective HRD systems. These cornerstones are:
 Recruitment & selection
 Performance management
 Learning & development
 Succession planning
 Compensation and benefits
 Human Resources Information Systems
 HR data and analytics
The request for new hires usually starts when a new job is created or an
existing job opens up. The direct manager then sends the job description to HR
and HR starts recruiting candidates. In this process, HR can use different
selection instruments to find the best person to do the work. Usually,
employees have a defined set of responsibilities that they need to take care of.
Performance management is a structure that enables employees to get
feedback on their performance – with the goal to reach a better performance.
Usually, companies work with an annual performance management cycle,
which involves planning, monitoring, reviewing, and rewarding employee
performance. The outcome of this process enables the categorization of
employees in high vs. low performers and high vs. low potentials. If employees
struggle to perform well in certain areas, learning and development can help to
improve their performance. Learning & development (L&D) is led by HR and
good policies can be very helpful in advancing the organization towards its
long-term goals. Many organizations have pre-defined budgets for L&D efforts.
This budget is then distributed amongst employees, with trainees, future
leaders, and other high potentials often receiving more training opportunities
than others. Succession planning is the process of planning contingencies in
case of key employees leaving the company. If, for example, a crucial senior
manager quits his/her job, having a replacement ready will guarantee
continuity and can save the company significant money. Another one of the HR
basics is compensation and benefits. Fair compensation is key in motivating
and retaining employees. Compensation can be split up in primary
compensation and secondary compensation. Primary compensation involves
directly paid money for work, which often is a monthly salary and sometimes
performance-based pay. The Human Resource Information System, or HRIS. An
HRIS supports all the cornerstones we discussed above. For example, for
recruitment and selection an Applicant Tracking System, or ATS, is often used
to keep track of applicants and hires. Learning Management System (LMS) is
used for the distribution of content internally, and other HR systems are used
to keep track of budgets and training approvals. The last of the HR basics
revolves around data and analytics. The last half decade, HR has made a major
leap towards becoming more data-driven. The Human Resource Information
Systems we just discussed is essentially a data-entry system. The data in these
systems can be used to make better and more informed decisions.

HRD acquisition
There are three main stages in implementing an effective HRD model:
 needs analysis
 design and implementation of training initiative
  evaluation of the training initiative
The aim of a needs analysis is to identify the knowledge, skills, and abilities
needed by employees to achieve effective job performance. An effective needs
assessment enables those areas that need training initiatives. The needs
analysis should also be aligned with the organizations mission so that any
intervention enables increases in productivity and performance. Organizational
analysis involves determining what is needed at the organizational level to
make the organization effective. The job analysis level involves aligning job
descriptions with training needs and the individual analysis level identifies
those people who need training. In designing and implementing training
initiatives, it is important to clearly define training objectives to evaluate and
monitor the success of the training. It is also important to evaluate
motivational change because research suggests that self-efficacy is an
important predictor of future performance. In conclusion, it is vital that
organizations invest in effective HRD systems in order to effectively leverage
talent. Implementing an effective HRD plan that is built on instructional
systems theory can increase individual and organizational effectiveness. It is
important that organizations align their training initiatives with the strategic
plan of the organization and determine what is needed at the organization, job
and individual level.

The following factors explain the need for HRD in every organisation:
1. HRD is needed to develop competencies of the people in the organisation in
terms of knowledge, skills, capabilities and attitudes. Competent employees
are a great necessity for every organisation, whether it be a profit-making
organisation or non-profit-making organisation.
2. HRD is needed to bring about system-wide changes in the organisation. It is
made up of several mutually dependent sub-systems or parts such as
procurement, development, performance appraisal, man-power planning, job-
environment etc. The sub-systems are linked with one another by feed-back
loops. As a result, a change in one subsystem produces a reverberating effect
on all other sub-systems. While the traditional human resource development
methods such as training, job rotation etc. are inadequate to bring about over-
all development of human resources, the HRD programmes do this by bringing
about a system-wide change and thereby enrich the entire socio-technical
system.
3. HRD is needed to mitigate some of the evil effects of the modern factory
system such as long hours of work, production of standardised products, loss
of skill, neglect of human factor, ill-treatment of workers or treating workers as
machines etc. But HRD treats workers as human beings, enriches their roles,
satisfies their needs of advancement, growth, self-respect, recognition,
creativity and autonomy. HRD assures workers about their future through
career development plans. HRD thus enables every individual in the
organisation to discover, develop and use his/her capabilities to a fuller extent
so as to achieve individual and organisational goals.
4. HRD is needed to provide a favorable climate in the organization. It develops
a new climate in the organization by replacing the old values by the new ones
and by making the individuals in the organisation more open, independent,
authentic, creative and cooperative in their behavior.
Importance of Human Resource Development
Human resource development is a newly emerging study in the field of
management.
This newly emerging study in the field of management is fast driving out the
traditional term personnel management’ and substituting a new term ‘human
resource development’.
HRD is a process by which the employees of an organisation are helped in a
continuous and systematic way to –
(a) Acquire or develop capabilities required to perform various functions
relating to their present and future roles.
(b) Improve their general capabilities as individuals, discover and exploit their
available potential for their own and organisational development purpose.
(c) Improve supervisor-subordinate relationship, teamwork and collaboration
among different departments in an organisational culture and to contribute to
the welfare, motivation and pride of employees. Human resource development
therefore is defined as the total knowledge, skills, creative abilities, talents and
aptitudes of an organisation’s workforce as well as the values, attitudes and
beliefs of the individuals involved.
Human resource development process is facilitated by mechanisms or sub-
systems like performance appraisal, training, organisational development,
potential development, job rotation, welfare and reward. People are helped to
acquire new competencies through the various systems continuously.

HRD and Restructuring of Organisations:

In past in most of the companies the organisational structure was very
complicated. There were many hierarchy levels from top to bottom. The
authority used to flow from boss to the person at lower levels in more time. It
used to reduce the effectiveness of the structure. Now due to development of
managerial skills the focus is on flat organisation.
HRD and Global Competition:
Due to liberalisation of world economies many multinational corporations have
entered in different countries through export, licensing, consultancy,
collaboration, joint venture, merger and acquisition and foreign direct
investment. These have increased the level of competition in almost every
country. It has become difficult to carry-out the business effectively. It has
become a question of bread and butter for everybody in business.

Technological Changes and HRD:

Due to development of science and technology industrialization started.
Further improvement in these brought better machines and techniques. Due
to globalisation pressure the focus is on cost reduction, short production time,
quality of products and services. In this situation unskilled person cannot
deliver the goods as per expectations.

HRD and Employee Empowerment:

In present global markets the MNCs are operating a number of foreign
subsidiaries located in different countries. It has been felt that such type of
business can be managed if company is having motivated, talented and
dedicated manpower. This is not possible to get such type of manpower. For
this management has to put sincere efforts to procure, develop and motivate
employees.

HRD and Outsourcing:

In present time it has become a need of the business to provide goods and
services with lower cost. This compelled many companies to outsource their
non-core activities. This helped to develop the concepts of tele-working and
flexible timing. Now focus has been shifted to physically handicapped workers,
women and workers from rural and backward areas.

Compensation to Top Management:

Human resource development process contributes to achieve good
performance from employees and of organisation as a whole and helps to
increase value of share of shareholders. This approach has not been adopted in
India until now but in future it may be accepted.

HRD Job Satisfaction:

Organisation where favourable climate for learning is created and facilities for
training and development, career development and proper guidance are
provided the employees take initiative to learn more. This way they attempt to
improve their skills, knowledge, aptitude and competencies. With higher
degree of talents they are in position to perform their tasks without any
difficulty.

HRD and Employee Turnover:

Through HRD efforts the employees become competent and motivated. They
work in a good organisational climate. They are satisfied at their work and
facilities provided to them. They know their career path and try to achieve
through sincere efforts.

Bright Future of HRD Research:

To manage the business more effective and better than their competitors the
management of the firms has realized that HRD process can help them a lot.
Further to find out more and better HRD methods and intervention, research
in HRD areas is needed. It is possible when the top level management is having
HRD-oriented approach.
In the organisational context, HRD is a process in which the employees of an
organisation are continuously helped in a planned manner to –
1. Acquire or sharpen their capabilities that are required to perform various
functions associated with their present or expected future roles;
2. Develop their general capabilities as individuals, so as to discover and exploit
their inner potentials for their own or organisational development purposes;
3. Develop organisation culture in which superior- subordinate relationships,
team work and, collaboration among sub-units are strong and contribute to
the professional well-being, motivation and pride of employees.

(a) To stabilize itself

(b) To grow
(c) To diversify the products or services
(d) To renew itself to become more effective
(e) To improve its systems, products and services
(f) To change and become more dynamic
(g) To play the role of a leader.
Employees feel the need of knowledge, skills attitudes and values to perform
the task efficiently. We call these competencies. Higher degree of
competencies is required for higher degree and quality of job performance.
Hence to achieve the goals in the changing situation, it is necessary to develop
competencies continuously in an organization.
In the present competitive situation to survive, grow and excel, the competent
and motivated employees are essential. To maintain the growth level over a
period of time, competencies of employees need to be sharpened or
developed as organization operates in the changing environment.
The organizations are interested to develop their business though products or
services. They want to bring effectiveness in the organization through cost
reduction, delay reduction, better customer satisfaction, service promptness
and better quality. Hence for these, the organization needs to develop its
human resource competencies to perform better.

Training and development

Effective training begins well before a trainer delivers an individual training

session and continues after that training session is complete. Training can be
viewed as a process comprised of five related stages or activities: assessment,
motivation, design, delivery, and evaluation. Within each of these five areas,
this online guide offers strategies with the potential to enhance training
efforts, methods for achieving those strategies, and references to supporting
literature. Each section of the guide builds on the previous sections, reflecting
the process by which trainers move through the steps of developing,
delivering, and evaluating training.
Explore five stages of the training process:

Assess :Motivate :Design :Deliver :Evaluate

Training and development process is an organizational activity aimed at

improving the performance of the individuals and groups of employees in the
organizational settings. It is an organized activity for increasing the knowledge
and skills of the employees. It involves systematic procedures for transferring
technical and management skills to the employees. Training process is an
important activity both for the organization as well as for the employees. Skills
acquired by the employees through training are assets for the organization.
The enhancement of the skills also provides the employees job security as well
as opportunities for career advancement.
In the modern industrial environment, where technological development is
outpacing all other things, there is a continuous need for systematic training
and development of the employees. Through ‘training’ employees are taught
specific skills while through ‘development’ employee’s personality and
management skills are enhanced.
Necessary
Advancement in technologies
Demanding customers
Thrusts for boosting productivity
Requirements for improving the motivation levels
Needs for improving the quality of output
Necessities for effectiveness in management.

Objectives of a training programme

To prevent obsolescence in the organization
To improve employees knowledge for doing specific job
To impart skills to the employees systematically so that they learn the same
quickly
To impart multi skills in the employees so that they become capable of
handling different jobs
To bring about the change in attitude of the employees towards organization
and the fellow employees
To improve the overall performance of the organization by inculcating
technological discipline in the employees
To train the employees in efficient handling of materials, plant and equipment
To educate employees towards conservation of resources, pollution
prevention and avoidance of wastages
To provide safety as well as occupational health training to the employees for
man and equipment health and safety
To develop management skills in the employees so that they are prepared to
take up higher responsibilities and position
Benefits of training
Training of employees is costly but the ultimate cost is much more if an
organization ignores to train its employees. Hence investment in training is
necessary since the training brings a number of benefits to the organization as
well as to the employees.
The benefits to the organizations are listed below.
Faster learning of new skills
Increased productivity
Standardization of procedures
Reduced need of supervision
Increased motivation and morale of the employees
Economy of operations
Managerial development
The benefits to the employees are as follows.
Increase of the confidence level
Learning of new skills
Helps in career advancement and higher earnings.
Developing resilience to change
Improving safety at the
workplace
Helping in teamwork and hence improving interpersonal relationship

Improved employee performance – the employee who receives the

necessary training is more able to perform in their job. The training will
give the employee a greater understanding of their responsibilities
within their role, and in turn build their confidence. This confidence will
enhance their overall performance and this can only benefit the
company. Employees who are competent and on top of changing
industry standards help your company hold a position as a leader and
strong competitor within the industry.

Improved employee satisfaction and morale – the investment in

training that a company makes shows employees that they are valued.
The training creates a supportive workplace. Employees may gain access
to training they wouldn’t have otherwise known about or sought out
themselves. Employees who feel appreciated and challenged through
training opportunities may feel more satisfaction toward their jobs.

Addressing weaknesses – Most employees will have some weaknesses

in their workplace skills. A training program allows you to strengthen
those skills that each employee needs to improve. A development
program brings all employees to a higher level so they all have similar
skills and knowledge. This helps reduce any weak links within the
company who rely heavily on others to complete basic work tasks.
Providing the necessary training creates an overall knowledgeable staff
with employees who can take over for one another as needed, work on
teams or work independently without constant help and supervision
from others.

Consistency – A robust training and development program ensures that

employees have a consistent experience and background knowledge.
The consistency is particularly relevant for the company’s basic policies
and procedures. All employees need to be aware of the expectations
and procedures within the company. Increased efficiencies in processes
results in financial gain for the company.

Increased productivity and adherence to quality standards –

Productivity usually increases when a company implements training
courses. Increased efficiency in processes will ensure project success
which in turn will improve the company turnover and potential market
share.

Increased innovation in new strategies and products – Ongoing training

and upskilling of the workforce can encourage creativity. New ideas can
be formed as a direct result of training and development.

Reduced employee turnover – staff are more likely to feel valued if they
are invested in and therefore, less likely to change employers. Training
and development is seen as an additional company benefit. Recruitment
costs therefore go down due to staff retention.

Enhances company reputation and profile – Having a strong and

successful training strategy helps to develop your employer brand and
make your company a prime consideration for graduates and mid-career
changes. Training also makes a company more attractive to potential
new recruits who seek to improve their skills and the opportunities
associated with those new skills.
Training can be of any kind relevant to the work or responsibilities of the
individual, and can be delivered by any appropriate method.

Identify Training Needs Of Employees

1. Decide What You Are Trying To Achieve
Some folks place evaluating employees’ baseline knowledge before goal
setting, but your data will be much richer if it has context. Decide on
organizational goals and objectives for your company before gathering
employee data to decide where to spend your valuable training time.
2. Identify The Knowledge, Skills, And Abilities Needed To Meet Your
Objectives
As your company grows and changes (and the world right along with it), your
employees may have gaps in their knowledge, skills, and abilities.
This step carefully breaks down and articulates what employees need to know,
understand, and are able to do at the end of training to meet your stated
goals. These learning objectives for individuals help further guide and focus
your training.
3. Figure Out What Employees Know
Piggybacking on step two, take your list of knowledge, skills, and abilities, and
determine where on the spectrum your employees fall. Give employees a
chance to show what they know (and identify any gaps) before you start
designing your learning programs.
4. Talk To Employees
Take the time to ask employees what they need to do their jobs better. Are
they happy in their work, and, if not, what might make them happier?
Encourage open feedback by separating these conversations from any type of
HR setting. Make it clear that you are really interested in setting goals and
objectives for training that match employee needs, not deciding who gets the
next pay cut. This can help you find deficiencies you would have never thought
to check.
5. Talk To Managers
Managers are the bridge between executives and workers. As such, they have
a unique perspective on how things are going in the boardroom and on the
street.
Talk to your managers to see what they feel it can be improved on and what
can be put on the back burner.
6. Decide On The Data Points That Are Valuable To Your Team
In the collected data, what do you want to focus on? If employees across the
board think that lunch is too short, but that doesn’t meet your goal of
implementing more efficient bidding or invoicing process, don’t focus on lunch
for now.
7. Evaluate Your Current Training Resources
Once you figure out what employees know and have taken the temperature of
your managers, it’s time for you to figure out what training resources are
already in place to support progress towards your objectives, and what needs
fine-tuning (or scrapping altogether).
8. Match Your Training To Your Needs
Matching your training to your needs means making sure you have the right
amount of training, focused on exactly what employees need in order to meet
your organizational goals from step one. Because employees have so little time
for training as it is, you want to make sure they are getting what they need,
when they need it

Control of Manpower
Control of manpower is about putting the right number of people at the right
place with suitable skills. Controlling Manpower time and doing the right things
for which they are suited for the achievement of goals of the company.
Manpower control are also done to innovate more effective methods to
harness the final output of the manpower which is important in any business
of any type. The major tasks involved in devising the rational control of
manpower resources are aimed to maintain a full employment of the able
population and also strike a clean balance in between the available manpower,
the macroeconomic requirement for labor, and to set up the manpower
efficiently.To generalize the criterion for the sensible distribution and
efficient control of manpower resources on a macroeconomic scale; is the
fulfillment in the arranged time of ideal rates of extended generation and
the maximum fulfillment of society’s needs with insignificant inputs of work
and full employment of the capable population. Manpower control is a
business concept that describes how effectively a business utilize its
manpower or employees. Companies commonly use the concept of manpower
control to evaluate output in relation to labour costs. Additionally, they use
this concept to find new ways to more effectively harness the output of labour.
Manpower control relates to the strategies, tools and methodologies that an
organization relies on to determine its total workload at a given moment. This
type of review helps companies assign work based on competence and
seniority, determine who reports to whom and ensure efficiency in the way
personnel perform tasks and make decisions. The practice helps senior
leadership establish occupational rules to combat sluggishness and
misunderstanding---two operating ills that often reduce productivity and
profitability. Human resources managers work in tandem with business-unit
managers to analyze tasks, calculate the number of man-hours needed and set
reasonable deadlines to complete duties. Effective manpower control is critical
to human resource demand and supply forecasting, labor cost management
and small-business growth. The objective is to ensure employees possessing
the right skills are in the right place at the right time. Evaluation techniques,
such as comparing productivity in relation to labor costs, are used to
determine how successfully a small business is managing its human capital
resources.
The advantages of the control of manpower can be enlisted in following
points:
 Effective cost reduction
 Transparency in performing tasks
 Prevention of wastage of time and extra money
 Limited wastage in case of necessary and additional resources
 Targeted goals of the organisation can be achieved at a much faster pace
than before.
 Effective and efficient managing of staff requires a broad process of
manpower control.
It constitutes one of the major strategies to enhance and improve work
performance, this it does by removing deficiencies and preventing
deficiencies from occurring. Manpower control helps the organisation to
 tap efficiently talents which will help to integrate both the individual and
organisational goal. This will consequently minimise some of the problems
associated with low productivity, absenteeism and labour turn- over. These
reasons have made manpower control to become a major arrangement
preoccupation in organisations. Moreover, the process of manpower
control includes analysis of level of skill in the organisation (skill inventory),
analysis of current and expected vacancies due to retirement, discharges,
transfers, promotions; sick leaves, leaves of absence or other reasons and
analysis of current and expected expansions. This also indicates that plans
have to be made internally by the Human Resources Department for
training and development of present employees, for advertising job
opening, recruiting and hiring new people.
There are several human resources controls tools used
 Performance appraisals
 Discipline policies
 Employee observations
 Employee training
A performance appraisal is the process that evaluates an employee's
performance against the standards set by the organization, documents the
performance and yields measurable information that can be used to provide
valuable feedback to the employee.
Discipline policies are policies that address employee behaviors and
performance. Discipline policies involve corrective action steps to redirect
behavior or enhance the performance of employees who are not meeting
goals.

Problem of preservation and utilization of manpower in Nepal

A person if works overseas have to move from one country to another and this
way a person is not able to stick to one thing. Such type of fluctuation in work
is a great barrier and diverts one’s mind, affecting the work to a larger extent.
The person remains void of enjoying all the traditional festivals like Diwali,
Lohri, and Christmas and so on. One has to work incessantly without any
occasional holiday. This also sometimes frustrates a person and thus affects
the work quality. One may either do not feel safe overseas. No friends, no
family, no social life and all such things should be taken into notice beforehand
and should be prepared emotionally before leaving for abroad. As every
country has it’s own culture, beliefs, and values, understanding all those
immediately is very difficult. So suffering from cultural shock, the difference in
the behaviour pattern of people from different countries is a great
disadvantage of working abroad. Developing countries can struggle to develop
because their best-skilled labour leaves the economy. Thus it becomes hard to
break the cycle of losing the best workers

 Less tax revenue from losing income tax. Young workers aged 25-60
make the biggest contribution to a nation’s finances because they pay
income tax, but don’t receive pensions or education spending. Baltic
countries with large net emigration are forecast to see a rise in
dependency ratio – the number of pensioners to the working-age
population.
 Decline in competitiveness. A shortage of skilled labour can push up
wages faster than productivity. Remittances sent home can also cause
appreciation in the exchange rate. Remittances can also lead to lower
labour supply as those who receive remittances have less incentive to
work for a low hourly wage.
 Loses potential entrepreneurs. Those who emigrate tend to be the
ablest and willing to take risks. Migrants are potential entrepreneurs
who, if they stayed in the country of origin, might set up a business
which would contribute to economic growth and create employment
 It can lead to a shortage of key skilled workers. It is often skilled workers
(nurses, doctors, engineers who find it easiest to emigrate to countries
with higher incomes). This can leave the original country short of
workers.
 Reduces confidence in the economy; people aspire to leave rather than
stay.
 Non-economic costs. If young skilled workers emigrate, it can have an
effect on political and social institutions – with a lower representation of
young, aspirational graduates in political institutions.
 Lower growth. Even allowing for the impact of remittances, net
emigration has caused GDP to be lower than it would have been without
net emigration.

Problems to utilize of redundant human resource

Redundant manpower happens when a business experiences a sudden boom
that is followed by a sudden decline. The result is employees who are getting
paid to do nothing. Redundant human resource can lead to serious financial
problems and even bankruptcy if too much money is being wasted on wages.
 High costs
The biggest expenditure for any company is its workforce. Yet, it’s highly
unlikely that an employer would want to pay this large expense to a workforce
that doesn’t have any work to do. You will notice that you’re overstaffed if you
see that your labor costs remain high but your sales revenue is decreasing. This
is a big warning sign. If not addressed, it can lead to serious financial problems
or even bankruptcy.
 Lack of engagement
Typically, when an organization is overstaffed, there is not enough work to go
around for everyone. You see that employees have more time on their hands
and tasks are few and far between. This can lead to employees feeling
disengaged and also result in low levels of commitment towards the company.
Employee morale is low, and although there are plenty of staff, the business
suffers.
 Layoffs
If a company is overstaffed, it’s likely that it’ll have to consider laying off
employees. This can either be temporary or permanent, depending on the
business’s growth potential. As such, it can cause serious financial problems for
employees. Although this is the worst-case scenario, layoffs save money and
hence save the business from going under.

Human resource control techniques

The Human Resource Controlling includes planning, assessment and control of
both, the performance of the employees, as well as the staff working in Human
Resources. Here it is important, that on the one hand the internal structure of
the company will be screened, as well as the market conditions. As usual in
Controlling, a distinction is made according to plan, measure, and finally
development of further steps to develop. Employees can be defined as a cost
factor, value-added potential and as a stakeholder group. HR controlling
ensures that competitive advantage can be developed and risks should be
early identified and avoided for the company.
Its responsibilities include :
– Ensuring a high quality reporting
– Creation of transparency
– Efficiency improvements
– Determining value added of all HR measures
HR Controlling instruments
The following instruments are known in the field of HR controlling :
• Staff reports
• Performance measurement systems
• Balance Scorecard
• Benchmarking
• Controlling Competence
• Human Capital Management
  Statistical analysis,
 Human asset valuation,
 Training and development, Performance appraisals,
 Attitude surveys,
 Management audit
Strategic HRC can contribute to the strategic planning and decision-making
process done by management. Furthermore, strategic HRC evaluates corporate
initiatives in order to ensure a sustainable future for the company by
controlling HR in both quantitative and qualitative terms. The main tasks of
strategic HRC are the integration of HR within the corporate strategy, long-
term HR planning, evaluation of the implementation-rate regarding the
corporate strategy, and entrepreneurial orientation of HRM. Related
instruments of HRC on the strategic level are, for instance, HR portfolios or HR
risk-management.

Approach of HRD
1.Strategic HR framework approach
Business strategy, organizational capabilities and HRD practices are the main
elements in this approach . Aims to leverage HRD practices to build critical
organizational capabilities that enable organization to achieve its goals 
Framework offers specific tools and path to identify how an organization
leverage its HR practices
2. Integrative framework approach
Propounded by Yeung and Berman (1997) Identified 3 paths through which
HRD practices can contribute to business performance, they are Building
organizational capabilities, Improving employee satisfaction, Shaping
customer andThis approach emphasis on focusing the entire human resource
development system taking into account the synergies existing among all
human resource development practices
3.Human capital appraisal approach
Propounded by Friedman (1998)  According to him, there are 5 stages in
management of human capital. They are: Clarification stage Assessment stage
Design stage Implementation stage Monitoring stage. There are 5 areas of
human capital management; Recruitment Retention & Retirement Rewards &
performance management career development, succession planning and
training Organizational structure and human capital enablers
Stages in managing human capital is examined along with the areas of human
capital management in order to ensure that each of the area are fit to
respective strategies
4.People Capability Maturity Model (PCMM)
Curtis and team (1995) developed this approach for software organizations 
Aims to provide guidance on how to improve the ability of software
organizations to attract develop motivate organize and retain the talent
needed to steadily improve their software development capability  PCMM
states that organization improves people management practice through initial,
repeatable, defined, managed and optimizing levels of maturity. Each of
maturity level comprises of several Key Process Areas (KPA) that identify
clusters of related work practices  When performed collectively these Key
Process Areas (KPAs) achieve a set of goals considered important for enhancing
work force capability
5.Integrated Systems approach
It envisaged separate HRD department for effective designing and
implementation of Human Resource Development Systems  It views strategy
as the starting point and focused on all systems to achieve business goals and
employee satisfaction  It aimed at synergy, phased evolution of HRD function
and includes most of the elements of the Human Capital approach.
6.HRD Score card Approach
Propounded by Dr T V Rao (1999)  An HR scorecard attempts to provide a link
between HR operations and a company's business targets.  The approach says
that human resource development interventions in order to make right
business impact should be mature in terms of human resource development
systems, competencies, culture and business linkages  Managers use an HR
Scorecard to measure the HR function’s effectives and efficiency in producing
employee behavior which helps in achieving the company’s strategic goals.

Techniques for Human Resource Forecasting

Forecasting is a technique that uses historical data as inputs to make informed
estimates that are predictive in determining the direction of future trends.
1.Managerial Judgement
Under this method, firstly experienced managers estimate the manpower
requirements for their respective departments. This is done on the basis of
their knowledge of expected future workload and employee efficiency. At last,
the top management then aggregates and approves the departmental
estimates. This is a very easy and time-saving method.
2.Work-study Method
This method uses time and motion study to analyze and measure work. Such
studies help the managers to decide the standard time for per unit work.
3. Ratio- Trends Analysis
This method helps to calculate the ratios on the basis of past data. Firstly, it
calculates the future ratios on the basis of the time series
analysis/extrapolation, after making allowances for the changes in the
organization, method, and jobs, if any.
Extrapolation is mathematical extensions of past data into the future time
period. Moving averages and exponential smoothing can help for projections.
The company estimates the demand for human resources on the basis of
ratios.
4.Mathematical Models
A mathematical model shows the relationship between independent variables
and the dependent variables. These models express various factors influencing
manpower needs in the form of a formula.
There are several types of models, e.g., regression, optimization models,
probabilistic models, etc. These are complex and suitable only for
large organizations.
Future demand for human resources depends on several factors, some of
which are given below:
(a) Employment Trends
By comparing and analyzing the staff during the past five years, the company
can judge it’s trends in the manpower.
(b) Replacement Needs
These depend on firstly retirement, and then on death, resignation, and
termination of employees. Its assessment is on the basis of past experience
and retirement situation in the future.
(c) Productivity
Improvements in productivity effects manpower needs. better utilization of
existing manpower is one method of securing gains in productivity.
Automation and computerization is another method of productivity
improvement. It will affect both the quantity and quality of manpower.
Matching of skills with job requirements is the third method. Hence, Job
analysis techniques are helpful in such a matching.
5.Regression Analysis
This is similar to ratio-trend analysis in that forecast is based on the
relationship between sales volume and employee size. However, regression
analysis is more statistically sophisticated. A firm first draws a diagram
depicting the relationship between sales and workforce size. It then calculates
regression line – a line that cuts right through the center of the points on the
diagram. By observing the regression line, one can find out number of
employees required at each volume of sales.
6.Delphi Techniques
Delphi Technique Named after the ancient Greek Oracle at the city of Delphi,
the Delphi technique is a method of forecasting personnel needs. It solicits
estimates of personnel needs from a group of experts, usually managers.
The human resource planning (HRP) experts act as intermediaries, summarize
the various responses and report the findings back to the experts. The experts
are surveyed again after they receive this feedback. Summaries and surveys
are repeated until the experts’ opinions begin to agree. The agreement
reached is the forecast of the personnel needs. The distinguishing feature of
the Delphi technique is the absence of interaction among experts.
7.Flow Models
Flow models are very frequently associated with forecasting personnel needs.
The simplest one is called the Markov model. In this technique, the forecasters
will:
 Determine the time that should be covered. Shorter lengths of time are
generally more accurate than longer ones. However, the time horizon
depends on the length of the HR plan which, in tum, is determined by
the strategic plan of the organisation.
 Establish categories, also called states, to which employees can be
assigned. These categories must not overlap and must take into account
every possible category to which an individual can be assigned. The
number of states can neither be too large nor too small.
 Count annual movements (also called ‘ flows’) among states for several
time periods. These states are defined as absorbing (gains or losses to
the company) or non-absorbing (change in position levels or
employment status). Losses include death or disability, absences,
resignations and retirements. Gains include hiring, rehiring, transfer and
movement by position level.
 Estimate the probability of transitions from one state to another based
on past trends. Demand is a function of replacing those who make a
transition.
There are alternatives to the simple Markov model. One, called the semi-
Markov, takes into account not just the category but also the tenure of
individuals in each category. After all, likelihood of movement increases with
tenure. Another method is called the vacancy model, which predicts
probabilities of movement and number of vacancies. While the semi-Markov
model helps estimate movement among those whose situations and tenure
are similar, the vacancy model produces the best results for an organisation.
8.Other Forecasting Techniques
New venture analysis will be useful when new ventures contemplate
employment planning. This technique requires planners to estimate HR needs
in line with companies that perform similar operations. For example, a
petroleum company that plans to open a coal mine can estimate its future
employment needs by determining employment levels of other coal mines.

There are several good reasons to conduct demand forecasting. It can help:
(i) quantify the jobs necessary for producing a given number of goods, or
offering a given amount of services;
(ii) determine what staff-mix is desirable in the future;
(iii) assess appropriate staffing levels in different parts of the organisation so as
to avoid unnecessary costs;
(iv) prevent shortages of people where and when they are needed most; and
(v) monitor compliance with legal requirements with regard to reservation of
jobs.

HRD requirement according to industry occupation

The human resources are more critical to the success of the organizations in
the services sector as compared to their importance in the manufacturing
sector. The primary reason for this is that human resources are considered as
an asset and a source of competitive advantage in the services sector whereas
they are yet another factor of production in the manufacturing sector.
The HRD function in the manufacturing industries is often concerned with
payroll, administrative work and mediating between the management and the
workers. Mostly, the manufacturing companies lean on the HRD function in
times of labor unrest and strikes. On the other hand, the HRD function is
pivotal to the success of the service sector companies as they are seen as
enabling and empowering the employees in the services sector.
The point here is that in the service sector companies, the HRD function plays a
more important role as the chief sources of competitive advantage in these
companies are the human resources. In the services sector like the financial
and technology companies, the brand value is measured according to the level
of intellectual capital which is a derivative of the contribution of the human
resources in the company.
Further, the services sector runs on human resources whereas the
manufacturing sector uses machines and equipment as the key aspect of
production. This means that the HRD function in the services sector has to
ensure that the human resources are enabled and fulfilled to actualize their
potential. Especially with the prevalence of the RBV or the Resource Based
View of the firm that treats human resources as being central to the
functioning of companies, the services sector employs different methods and
procedures to fulfill this aspect. On the other hand, the manufacturing
companies are still in the process of orienting their strategies towards the RBV
and in many cases, they might not be able to do so since the mode of
operation is fundamentally different from that of the services sector.
Finally, the manufacturing companies have classification of employees into
blue collar and white collar roles which creates a barrier to the way in which
they are treated and they in turn demand their rights. On the other hand, the
services sector has only white collar roles which mean that labor arbitration
and mediating between organized unions and the management is virtually
non-existent. This is an important and crucial distinction which often
determines the differing perceptions of the HRD function in these sectors.
In conclusion, contemporary management theory has evolved to a point where
the HRD function is being crucial in all sectors and the coming years might see
a paradigm shift in the way human resources are conceptualized with the
advent of knowledge worker in both manufacturing and services.

Major Issues and challenges of HRD in civil service in Nepal:

HRD continues to be a serious concern while designing and undertaking reform
initiatives for improving effciency, capability and effectiveness of the civil
serviceand strengthening public service delivery. The major issues that surface
in achievingHRD in the civil service are related to:
a)Inadequacy and imbalanced coverage;
perceived inadequacy of HRD programs in terms of quantity and quality;
missing. HRD continues to be a serious concern while designing and
undertaking refor initiatives for improving effciency, capability and
effectiveness of the civil service and strengthening public service delivery.
b)Inadequacy of policies and programs:
In fact, there is not any composite HRD policy to guide the management of the
civil service, except having some policies and directives relating to transfer,
promotion, training and scholarship in a fragmented manner. Despite the
offering of educational and training opportunities in an increased number, a
large number of civil servants, particularly those at subordinate levels (who
constitute some 90% of total civil servants) and those working in feld offces
outside the capital city (constituting some 70% of total civil servants) are
relatively deprived of such opportunities.
d) Missing linkages: HRD is a concern for both individuals and organization. It
means career development for individuals to achieve their career goals on the
one hand and meeting of competency requirements of organizations to help
achieve the organizational goals or strategy on the other. HRD programs,
particularly those relating to training and education, remain to be undertaken
in ways where individuals can achieve their career goals and organizations can
also achieve their organization goals simultaneously. In fact, HRD efforts in the
civil service have not so far been directed towards ensuring an integration
between individual and organizational concerns. Consequently, many training
and educational programs are feared to be deviated from the needs of both
individual civil servants and the organizations they are working in.
e) Missing coordination among major policy-makers and HRD service
providers:
A variety of actors are engaged in HRD in the civil service in various roles like
policy-makers, coordinator and service providers. While policy makers allege
that the local education and training providers are not doing well in designing
and undertaking their HRD programs in line with the needs of jobs and
organizations, it is generally argued that the lack of a national HRD policy for
civil service is the main reason for such expectation gaps. Many training
institutions in particular are offering their programs on the basis of either
general development needs of civil servants or theoretical coverage of the
subject-matter. In many cases, training institutions are not able to assess the
needs of their clientele organizations in the absence of their HRD plans and
policies. Moreover, the mobile nature of the service of the civil servants, who
are required to move from one job to another frequently, makes it diffcult for
both work organizations and training providers to predict the long-term
development needs of the civil servants.
f) Lack of development of mindset: With an increasing demand for good
governance, Nepal’s civil service is to be changed in terms of its nature and
capacity. This obviously demands changes in the mindset of civil servants so
that they hold attitudes and behave in ways that are compatible with the need
for transparency, accountability, gender and inclusion sensitivity, service-
orientation and development-orientation to promote citizen-administration
interface by shedding the traditional image of being a self-serving snob and
elite class of the society. Moreover, Nepal is undergoing far reaching state
reform processes such as federalization and upgradation from the current
status of a less developed nation to that of a developing nation. Whatever HRD
policies and programs are devised and practiced, they are yet to be tuned to
the need for building mindset of civil servants in response to the emergent
demands within and outside the country
g) Inadequate learning orientation: Effectiveness of any HRD initiative largely
depends upon how effcient developers are in designing and undertaking
development programs to generate learning on the part of those to be
developed and how the latter participate in their development process with
necessary learning orientation and positive attitudes for self-development.
Very few civil servants seem to have faith in learning and development of
competency for their overall enhancement of interest in civil service. Some
civil servants do not seem to have any professional career goals and they often
seem to be searching for opportunities that can fulfll their immediate needs of
wellbeing such as transfer to the place of choice, promotion to higher position,
monetary benefts, etc.
h) Low utilization of developed competencies: Nepal’s civil servants in general
are viewed as competent in performing their respective job responsibilities
despite the low level of efforts to develop their competencies. However, they
often seem to have a feeling of being misplaced in the job with respect to their
job attitudes and competencies. In many cases, they are placed on the job for
which they are not educated or trained. In fact, both individual civil servants
and organizations have not given much attention to the suitability of persons
in terms of required competencies for getting transferred or placed on the
particular job as the placement and transfer decisions are based on non-job
related considerations (like need for favor in exchange of loyalty, privileges
offered by the job, etc.).
i) Ineffectiveness of performance evaluation: Though a system of periodic
performance evaluation, mostly on an annual basis, is practiced, it remains
to be used as an important tool for undertaking HRD initiatives for both
organizations and civil servants through the feedback on performance gaps as
well as development potentials. The appraisal process has been limited to a
ritual process to fulfll formalities to be completed for the periodic promotion
of civil servants.
j) Poor quality of training: Training programs being offered by the local training
institutes are occasionally found to be far from the reality of work situation
and needs of jobs and job holders. They tend to be more of theoretical nature
as most of the training courses are designed without an assessment of training
needs. However, training institutions hold the view that their training need
assessment efforts are constrained due to the absence of prerequisite
conditions (like availability of clear job description, human resource policy and
organization development) in their clientele work organizations. As they argue,
employees are not placed on the job for which they are trained and trainees
too do not hold the type of learning attitudes that are required to take benefts
from the training. Addressing these issues poses serious challenges for all
those engaged in HRD-related activities in the civil service. Moreover, the lack
of clarity in the role of the government in running both regular and
development affairs of the state has also emerged as an issue to be addressed
in articulating the type of HRD policy and programs required for developing
capability of the civil service in Nepal.
 Difference of PM and HRM.
PM HRM

Narrow focus- People as input Broad concept- People as strategic resources

Only concerned on personnel problems Address overall HR related development concerns

Routine functions Strategic functions

Control oriented- Discipline, order and functions System oriented- Growth, Participation and
Rewards
Restricted communication RTI Provision

Ends- Employee satisfaction only Ends- Achieving goals and maintaining Results

Utilization and maintenance present in Nepal

Human Capital is the sum total of knowledge, skills, experience and other
relevant workforce attributes residing in people of an organization responsible
for efciency, effectiveness and productivity. Planning and implementation of
human resource management functions i.e. acquisition, development,
utilization and maintenance of human talents in the organization to ft to the
job requirement is the human capital management. human resource
management should have strategic focus on acquiring and utilization of the
champions from the market, or at least need to develop champions through
training and development. We will never be free from challenges. Things are
changing very fast and we need to be adaptive to the changes. Otherwise our
skills will become obsolete. Therefore, continuous learning, development of
people etc are necessary in any organisation. Hiring right persons with the
right aptitude and attitude is essential to solve most of the problems in
organisations. In the meantime, it is also important to educate people, teach
them the right way to do things, and motivate them in terms of rewards and
compensation and proper feedback for higher level of performance and
productivity. HR management is in fact people management. Devising
retention strategies, developing HR policies and overseeing effective
implementation, ensuring employee motivation and satisfaction and
succession planning are some of the ways of managing people. HR
development is about linking organisational objectives to individual career
development planning. Training programs, skill enhancement and developing
career path for staff are the major parts of HR development.
With startups, what I have observed is that they are young and run on ideas
only. They have limited knowledge about how an organisation should be run
and what it takes to become a key player in the future.
Succession planning is a systematic approach to build the leadership pipeline,
develop successors and identify the suitable candidates and fill in the critical
positions by most competent human resources in case of retirement,
resignation and so on. After identifying the potential successors, an action plan
for the following activities is important like training, coaching and mentoring,
feedback, job rotation, etc. But the implementation aspect of succession
planning in any organisation is more important than simply having a policy.
Maintenance function of human resource management is concerned with
protecting and promoting the physical and mental health of employees. ... In
order to achieve these objective several types of fringe-benefits such as
housing, medical and, educational facilities, conveyance facilities etc. Although
little information is given on the methodology of data collection, it seems that
data on existing skills is mainly collected in interviews, in which former
combatants indicate what kind of skills they have acquired. The literature on
empirical research methodologies discusses a range of reasons why the data
obtained from self-reporting may not be reliable. In addition, it appears that a
rather narrow view is taken in terms of skills variety. Reference is made
implicitly to (formal) vocational, technical and basic general skills. The world of
skills, however, is diverse. Human capabilities and competencies relate to
knowledge, abilities, skills, values, attitudes and norms. These are the results of
intentional learning, learning-by-doing, and the socialization process in the
education and training system, as well as the employment system. The
development of human capabilities takes place at three levels: the cognitive,
affective, and psychomotor levels. The cognitive area includes knowledge,
understanding, problem solving and theory, and distinguishes between formal
and idiosyncratic knowledge. Formal knowledge refers to knowledge and skills
that can be transmitted in written or verbal instructions; the level of skills can
be measured in exams or tests. Idiosyncratic experience is characteristic of
many skills acquired while performing difficult tasks. During their work, people
develop a task-specific know-how that is indispensable for doing a good job.
Yet this know-how cannot be formalized and written into work instructions. At
the affective level human resource formation comprises emotions, attitudes,
values and norms. Socialization effects such as punctuality, respect for
authority, self-reliance, attitude towards work, and the ability to make
decisions may be induced at the level of the family, school or at work. Taking a
broad view on skills and human competencies (and accounting for cognitive,
affective and psychomotor skills), a more rigorous methodology may reveal
some skills and qualifications in ex-combatants that can be of benefit to the
individual and to society during demobilization. Policies for effective allocation
of demobilized workers in the labor market and job placement measures, as
well as policies to promote self-employment, require analysis of available skills
according to their relevance in different labor market segments and
occupations. Former combatants may be employed in the formal or informal
sector as workers or as managers; they may start their own enterprise or work
on their own farm. These different tasks and occupations require different
patterns of skills and competencies. One can distinguish between
vocational/technical, management and entrepreneurial skills. Several
preconditions are required for the actual use of skills. First, available skills of
exfighters can only be used productively if there exists a demand for these
skills, and employment opportunities are provided in the relevant occupations
in the civilian sector. Second, the former soldiers must feel the motivation and
incentive to work in the particular occupation. Effective utilization of existing
skills, abilities and competencies requires supportive policies and
complementary measures helping former soldiers to make use of their skills in
civilian life. These measures, interventions and policies refer to both the supply
and demand side of the labor market. On the supply side of the labor market,
skill verification for former soldiers who have acquired marketable skills,
enhances their competitiveness. Job placement and counseling programs may
help veterans find existing jobs. Furthermore, there is evidence that the
ambitions, aspirations and preference patterns of ex-fighters cannot always be
met by opportunities. Counseling can assist individuals in becoming aware of
and accepting the limitations, adjusting preferences to opportunities, and
taking initiatives. On the demand side of the labor market, the issue of creating
jobs must be faced where jobs are unavailable. The economic situation in
conflict-affected countries is generally not conducive to employment, making
the total employment task a challenge. On top of that, structural adjustment
and economic reform programs implemented by governments in many post-
conflict countries tend to increase unemployment, at least in the short-term.
human resources formation tends to have positive effects on the supply of
entrepreneurial activity and enhances the capacity and the willingness to
invest, innovate and imitate by applying new discoveries and ideas. The
availability of technical skills is an important factor in technology choice and
utilization in a firm. Furthermore, since employment opportunities in post-
conflict countries are rare, most ex-combatants have to turn towards self-
employment in the informal sector. In order to start a small enterprise,
individuals must be motivated, have a positive attitude toward self-
employment and should posses entrepreneurial and managerial capacities.
These variables tend to be positively related to training. An important first step
in achieving effectiveness and efficiency in human resource management
during demobilization and reintegration is to identify existing skills of former
combatants. Qualifications, skills and competencies may be classified
according to different criteria depending on the nature of the task to be
performed. In contrast, military specific or even weapon-specific skills are not
useful in the civilian sector. Becker refers to the military sector as the producer
of general skills. "The military offers some forms of training that are extremely
useful in the civilian sector.For example, a machinist trained in the army finds
his skills of value in steel and aircraft firms and others that are only of minor
use to civilians, i.e. astronauts, fighter pilots, and missile men.

Scope of HRD
Human resources management deals with procurement, development,
compensation, maintenance and utilization of human resources. HRD deals
with the development of human resources for efficient utilization of these
resources in order to achieve the individual, group and organizational goals.
Thus, the scope of HRM is wider and HRD is part and parcel of HRM. In fact,
HRD helps for the efficient management of human resources. The scope of
HRD invades into all the functions of HRM. The scope of HRD includes.
i. Recruiting the employees within the dimensions and responsibilities for
developing human resources.
ii. Selecting those employees having potentialities for development to meet
the present and the future organizational needs.
iii. Analyzing, appraising and developing performance of employees as
individuals, members of a group and organizationalwith a view to develop
them by identifying the gaps in skills and knowledge.
iv. Help the employees to learn from their superiors through performance
consultation, performance counseling and interviews.
v. Train all the employees in acquiring new technical skills and knowledge.
vi. Develop the employees in managerial and behavioral skills and knowledge.
vii. Planning for employee’s career and introducing developmental programs.
Planning for succession and develop the employees.
ix. Changing the employees behavioral through organizational development.
x. Employees learning through group dynamics.
xi. Learning through social and religious interactions.
xii. Learning through job rotation, job enrichment and empowerment.
xiii. Learning through quality circles and schemes of workers participation in
the management

HR invontary
Human Resource Inventory consists of information about the characteristics of
organization members. This focuses on the past performance and future
potential and the objective is to keep management up to date about the
possibilities for filling a position from within. Inventory is a term that is use to
count tangible objects like goods and raw materials. The inventory of human
resources is also prepared in the same way but it is not simply the counting of
heads that are available at present but cataloguing the present and future
potentials. The human resources of the organization are divided into
managerial and non-managerial categories, the skills inventory is related with
non-managerial employees and the management inventory is related with the
management personnel. The process of preparing a human resource inventory
involves the determination of personnel whose inventory is to be made,
cataloging the factual information of each employee, systematic and detailed
appraisal of these employees and a thorough study of the individuals who have
potential for growth. Human Resources Inventory is an inventory of skills of
human resources currently employed in the organization. It tells management
what individual employees can do. The profile of the human resource
inventory can provide information for identifying current or future threats to
the organization's ability to perform .It is necessary for a firm to identify the
current capability and skills of their employees
Walter S. Wikstrom proposed that organizations keep 3 types of records that
can be combined to maintain a useful human resources inventory.
1.Management Inventory Card
It includes both an organizational history of the employee and cues on how she
might be used in the future. It can include details like :
 Age,
 Year of Employment,
 Present Position,
 Duration of current Posting,
 Performance Ratings,
 Strengths and Weaknesses,
2.Position Replacement Form
This record focuses on position centred information rather than people
centred information. The position information form is helpful in determining
what would happen to a present position, if the current incumbent is moved to
some other post or leaves the organization.
3.Management Manpower Replacement Chart
The current incumbent’s performance rating and promotion potential can be
easily compared with those of the other employees when a company is trying
to determine which individual would most appropriately fill a particular
position

Human resource maintenance

Employees’ maintenance has wider dimensions than wage, welfare and
safety plans in workplace. Meanwhile, it doesn’t imagine the employees’
expectations are the same in every organization, and it seems to recognize
these expectations is not easily. When it is discussed about employees’
maintenance, it is needed to study the various aspects of individuals, group,
and organization desires, and to care individual differences in workplace.
The HR maintenance system as the dependent variable consists on preventive
actions, medical care actions, welfare services, retirement actions, and
insurance actions. Organizational commitment as the independent variable
consists on affective commitment, continuance commitment, and
normative commitment. Generally, HR management is summarized to 5
elements: output system; actions process; input system; internal and
external environmental condition; and feedback. HR management system
which is placed on actions process is categorized into 4 subdivisions:
1. HR recruitment system;
2. HR development system;
3. HR maintenance system; and
4. Effective use of HR
HR maintenance is the process of designing safety, medical care plans and
welfare actions. Beside these dimensions, there are intangible
emotional and conceptual dimensions that their assessment is difficult.
However, HR maintenance system consists of following actions:
life insurance, and so on .Employees’ maintenance has wider dimensions
than wage, welfare and safety plans in workplace. Meanwhile, it doesn’t
imagine the employees’ expectations are the same in every organization,
and it seems to recognize these expectations is not easily. When it is
discussed about employees’ maintenance, it is needed to study the various
aspects of individuals, group, and organization desires, and to care individual
differences in workplace. Employees’ maintenance has wider dimensions
than wage, welfare and safety plans in workplace. Meanwhile, it doesn’t
imagine the employees’ expectations are the same in every organization,
and it seems to recognize these expectations is not easily. When it is
discussed about employees’ maintenance, it is needed to study the various
aspects of individuals, group, and organization desires, and to care individual
differences in workplace.
Employee Maintenance refers to the maintenance of employee master data.
]po[ allows the management of employee data such as contact information,
cost involved and share of compound costs. The sum of monthly costs for an
internal resource will be broken down to an hourly rate that is used to
calculate costs on activities (project tasks, RFC's, incidents, etc.)
Its function includes:
1. Worker Orientation
2. Physical working conditions
3. Motivation
4. Performance evaluation
5. Compensation Administration
6. Management-labor relations & movement
Maintenance function of human resource management is concerned with
protecting and promoting the physical and mental health of employees. In
order to achieve these objective several types of fringe-benefits such as
housing, medical and, educational facilities, conveyance facilities etc. are
provided to the employees.
The HR maintenance system as the dependent variable consists on preventive
actions, medical care actions, welfare services, retirement actions, and
insurance actions. Organizational commitment as the independent variable
consists on affective commitment, continuance commitment, and normative
commitment. Generally, HR management is summarized to 5 elements: output
system; actions process; input system; internal and external environmental
condition; and feedback. HR management system which is placed on actions
process is categorized into 4 subdivisions:
1. HR recruitment system;
2. HR development system;
3. HR maintenance system; and
4. Effective use of HR (Mirsepasi, 2001). HR maintenance (the third subdivision)
is the process of designing safety, medical care plans and welfare actions
.Beside these dimensions, there are intangible emotional and conceptual
dimensions that their assessment is difficult.

Major programs carry out by govn in HRD

HRD is related to the development of the types of job competencies that are
required on the part of individuals as demanded by their respective jobs in the
organization. HRD in Nepal’s civil service has been undertaken in different
forms though the focus is on training and education of different types as
follows:
• Educational courses – general and specialized
• Training courses on general subjects or those related to jobs
• Job transfer / job rotation
• Promotion to higher level position
• Supervisory coaching and counselling
Education and training
Civil servants are provided with opportunities to pursue higher education of
degree /diploma level and other exposure visits depending upon the
availability of opportunities through different sources like development
partners and education institutes on the scholarship or funding support basis.
They are also sent to a few educational institutes, local and foreign, with the
funding support of the government. Civil servants are generally nominated for
such opportunities on a competitive basis considering the relevance of the
course to their job, existing performance level of the candidates,
potentialities to develop and other criteria including the minimum service
experience requirement.
Civil servants are provided with varied job experiences through periodic job
transfers that help them not only to utilize their existing and potential
capacities but also to develop new job-related competencies. Civil servants can
have a shift to a new job after serving two years in one organization and
likewise, they are also encouraged to gain work experience in different
geographic locations by offering additional marks, according to the remoteness
of the locations, during the assessment of their competencies for promotion.
Promotion in civil service has been used as a method of enriching one’s job
and responsibilities to develop new job competencies as well as to utilize
personal potentialities. One underlying assumption for this is that an employee
gets prepared to assume the responsibility of the higher position after passing
a certain period of time in the current position.
Civil servants are occasionally offered opportunities to engage in special
assignments within the organization or outside, either as a separate
assignment or as supplementary to their present job. This helps them to gain
new practical experiences and confdence and develop new competencies.
Supervisory roles as those of a coach, a counselor or a guide, though not
recognized as a deliberate HRD method, have been making contributions to
developing the types of knowledge, skills and attitudes required by the job on
the part of the subordinate staff.
In recognition of the view that the staff development process is not complete
without the development of their psychological properties like optimism,
positive attitudes and motivated mindset, some measures of recognition are
also adopted by provisioning annual civil service awards, medal from the state,
and annual additional salary increment.
Performance evaluation has been practiced mainly to measure the relative
adequacy of job competencies required for the promotion of the civil servant
to a higher position, despite being a tool for identifying staff development
needs and offer feedback for maintaining or improving the job performance.
The civil service law has provisioned one 18-point code of conduct, besides
the 9-point moral responsibilities for civil servants which ultimately aims at
regulating and socializing their behaviors within certain administrative norms
such as punctuality, timely completion of duties, discipline and obedience,
conformance to basic human values, equality in behaving and respecting
people from different communities and regions, etc.