MGT501 Shorts From 1 To 22
MGT501 Shorts From 1 To 22
MGT501 Shorts From 1 To 22
PARISHY
MGT501 HUMAN RESOURCES MANAGEMENT
SHORT NOTES FROM LEC 1 TO 22 BY PARISHY
PLANNING
Planning is specifying and deciding of appropriate actions in advance to achieve the goals.
ORGANIZING
Organizing is the coordination of all organizational resources needed to achieve the goals.
LEADING
Leading is directing, encouraging, motivating and communicating with employees, individually and in groups.
CONTROLLING
Controlling means to get job done in the given time?
EFFICIENCY
It is a ratio of input and output. (Doing things right).
EFFECTIVENESS
It is the degree to which the organizations out put correspond to the needs and wants of the external environment.
SYNERGY
This concept states that the whole is greater then the sum of its parts. i.g. 2+2=5 (fifth unit is synergic affect)
PERSONALITY
The unique combination of physical behaviour/traits that describes a person?
PERCEPTION
Perception is the mental process to pay attention.
ATTITUDE
It consist of feelings, believes and behaviors?
ETHICS
Rules and principles that define right and wrong conduct.
STAKE HOLDERS
All individuals and groups that are directly or indirectly affected by an organization’s decision.
INDIVIDUALS
Individuals are important units of any organization.
PROACTIVE RESPONSE
iv. virtual teams
WORKFORCE DIVERSITY
Any difference among people: age, profession, sexual orientation, life style, tenure with the organization or position.
Sources of Workforce Diversity
i. older workers
ii. gender
iii. education
iv. religious and culture
v. disabilities
vi. immigrants
vii. education and skills
viii. marketing
ix creativity
x. flexibility
iv. developing employees
v. retaining employees
HR MANAGEMENT
Simply it is management of human or people or it is process of working with different resources in such a way to accomplish
organizational goals.
CHALLENGES OF HRM IN A CHANGING ENVIRONMENT
i. Environmental Challenges
· rapid change
· workforce diversity
· globalization
· technology
· legislation
· skill shortage
ii. Organizational Challenges
· controlling costs
· improving quality
· creating distinctive capabilities
· restructuring
iii. Individual Challenges
· productivity
· empowerment
· brain drain
· job insecurity
· matching people
HR MANAGER
An organization’s member who perform management function.
TYPES
i. Strategic Manager (Senior/Top manager)
ii. Tactical Manager (Middle manager)
iii. Operational Manager (Lower level or line manager)
BASIC FUNCTIONS
1. Planning
2. Organizing
3. Staffing
4. Leading
5. Controlling
MANAGERIAL SKILLS
i. Technical Skills (knowledge of proficiency)
ii. Humans Skills (ability to work well)
iii. Conceptual skills. (Ability to think)
ROLES OF MANAGERS
i. Inter-Personal Roles (done by line manager)
· Figurehead (duties that are symbolic in nature)
ii. Informational Roles (done by middle manager)
· Monitor (collect information from organizations)
iii. Decisional roles (done by top manager)
· Entrepreneur (manager initiate new projects)
HR PLANNING
GOAL
Is to keep a stable workforce that meets needs of the organization
STRATEGIC PLANNING
It is process by which top management determines overall organizational purposes and objectives and how they are to
be achieved.
BENEFITS OF PLANNING
1. helps in planning job assignments
2. helps cope with fluctuation in staffing
3. identifies recruiting needs
4. provides other useful information
IMPORTANCE OF HR PLANNING
1. globalization of business
2. new technologies
3. changing skill levels in the workforce
4. changing demographic of the workforce
5. legal developments
5. EMPLOYEE AND LABOUR to maintain good relations b/w managers and staff
RELATIONS
6. HUMAN RESOURCE RESEARCH to search efficient/capable workers from the market
7. INTER RELATIONSHIP OF HRM all functions are highly inter related
FUNCTIONS
ORGANIZATION
(A systematic arrangement of people to accomplish some specific task)
· Why to work in organization?
People can be more productive by working in groups then alone?
· What is organizational behaviour?
It is concerned with the actions of people at work.
TYPES
i. Formal Organization (official part of organization)
ii. Informal organization (un official part of organization)
COMPONENTS
i. Task
ii. People
iii. Structure
iv. Technology
CHALLENGES of today’s organization?
i. technology
ii. diverse workforce
iii. multiple stakeholders
iv. responsiveness
v. rapid changes
vi. globalization
ENVIRONMENT OF HRM
BASIC FACTORS OF INTERNAL ENVIRONMENT
1. mission
2. policies
3. corporate culture
4. management style of upper managers
5. employees
6. informational organization
7. other units of organization
1. labour force
2. leagal consideration
3. society
4. unions
5. share holders
6. competition
7. customers
8. technology
9. economy
WHY UNDERSTNDING THE LEAGAL ENVIRONMENT IS IMPORTANT?
Understanding with HRM law is important for three reasons:
i. it helps the company to do the right thing
ii. it helps the company to realize the limitations of the HR and leagal departments.
iii. And it limit potential liability
a. Line Authority
Line authority entitles a manager to direct the work of an employee. It is the employer-employee authority relationship that extends from
top to bottom. A line manager directs the work of employees and makes certain decisions without consulting anyone.
c. Functional control
The authority applied by a personnel manager as a coordinator of personnel activities. Here the manager acts as “the right arm of the
top executive.”
Legal context of HR decisions
Compliance with the law is the right thing to do. The primary requirement of these laws is to mandate good management practice.
Considerable financial liabilities can occur when HR laws are broken or perceived to be broken.
Legal environment and considerations can influence potential and prospective as well as current employees of the organization to
Prospective Employees.
Employment discrimination
To make an employment decision, not on the basis of legitimate job-related factors...Any employment decision: hiring, promotions, pay,
discipline, etc fail to use job-related factors (e.g., essential job qualifications, job performance, etc.), and for employment decisions
Instead, of legitimate factors employer uses false stereotypes and prejudices.
Fair employment
The laws affecting HRM can be divided into two broad categories: equal employment opportunity (EEO) laws and other laws.
The concept of equal employment opportunity has undergone much modification and fine-tuning since the passage of the Civil Rights
Act in 1964.
Affirmative action
A strategy intended to achieve fair employment by urging employers to hire certain groups of people who were discriminated against in
the past Steps that are taken for the purpose of eliminating the present effects of past discrimination
Human resource decisions that were made in the past may no longer be feasible.
This law requires the same pay for men and women who do the same job in the same organization. Basically this law provides protection
against discrimination based upon sex.
This act prohibits discrimination based on race, color, sex, religion, or national origin.
The Americans with Disabilities Act (ADA), passed in 1990, prohibits discrimination
Every executive department and agency that administers a program involving federal financial assistance will require adherence to a
policy of nondiscrimination in employment as a condition for the approval of a grant, contract, loan, insurance, or guarantee.
Reasons For Conducting Job Analysis
• Staffing
• Legal Considerations
2. Compensation
3. Performance Appraisal
4. Training
Job analysis:-
It is the procedure through which you determine the duties and nature of the jobs and the kinds of people who should be
hired for them.
b. Questionnaire
c. Observation
· Position analysis questionnaire (PAQ) is a questionnaire used to collect quantifiable data concerning
the duties and responsibilities of various jobs.
· Department of labor procedure (DOL) is a standardized method for rating, classifying, and comparing
virtually every kind of job based on data, people, and things.
· Functional job analysis: Rates a job on data and identifies performance standards and training
requirements.
· Employees
· Supervisor
· Manager
· Supervisor/Manager
Job Identification:-
Contains the job title, the FLSA stats, date and possible space to indicate who approved the description, the location of
the job.
It is the process of systematically reviewing human resource requirements to ensure that the required number of
employees, which the requires skills, is available when they are needed.
This method users the organization’s level of employment as the starting point for determining future
staffing needs.
A forecasting method in which each successive level of the organization, starting with the lowest,
forecasts its employee requirements in order to , ultimately, provide an aggregate forecast of
employment needs.
it can assist in forecasting HR requirements. The relationship between sales demand and the number
of employees needed is a positive one.
3. simulation:-
Forecasting HR requirements :-
A requirements forecast is an estimate of the numbers and kind of employees the organization will need at future dates
in order to realize its goals.
Forecasting HR Availability:-
Determining whether the firm will be able to secure employees with the necessary skills and from what sources these
individuals may be obtained is called an availability forecast.
· Layoffs
Succession Planning:-
The process of ensuring that a qualified person is available to assume a managerial position one the position is vacant.
Succession development:-
It is the process of determining a comprehensive job profile of the key positions and then ensuring that key prospects
are properly developed to match these qualifications.
HR hiring process:-
· Recruitment
· Selection
· Socialization
Job evolution:-
It is used to evaluate the importance of job by considering its contribution towards achievements of the objectives of
organization.
Recruitment:-
It refers to the process of attracting potential job applicants from the available labor force.
When job vacancies exist, the first place that an organization should look for placement is within itself. The major forms
of the internal recruitment include:-
5. unemployed
a. Advertising
c. Recruiters
d. Internships
Alternatives to Recruitment;-
a. Outsourcing
b. Contingent workers
d. Overtime
Yield Ratios:-
The effectiveness of the recruitment process also depends upon the acceptability of the yield ratio.
Contingent workers:-
It is also known as part-timers, temporaries and independent contractors, comprise the fastest-growing segment of our
economy.
Selection:-
It is the process of choosing from a group of applicants those individuals best suited for a particular position.
o Education
o Competencies
o Experience
4. Interview
SELECTION TESTS
A. Employment Tests
· Standardization:
· Objectivity
· Norms
· Reliability
· Validity
a. Criterion-Related Validity
b. Content Validity
c. Construct Validity
B. Job Interviews
I. Interview Planning
A. Background Investigations
This step is used to check accuracy of application form through former employers and references. Verification of education and legal
status to work Credit history Criminal records is also made.
Negligent hiring has become a critical concern in the selection process. An employer can be held responsible for an employee’s unlawful
acts if it does not reasonably investigate applicants’ backgrounds and then assigns potentially dangerous persons to positions where they
can inflict harm.
After obtaining and evaluating information about the finalists in a job selection process, the manager must take the most critical step of
all: making the actual hiring decision. The person whose qualifications most closely conform to the requirements of the open position
should be selected.
C. Physical Exam
After the decision has been made to extend a job offer, the next phase of the selection process involves the completion of a physical
examination for the successful applicant.
If physical test/exam proves eligibility of the candidate as per requirement of the job, final offer is made to applicant by the concerned
department or supervisor in the concerned department.
Notification to Candidates:
successful and unsuccessful—as soon as possible. Any delay may result in the firm losing a prime candidate,
E. Selecting Managers
While selecting mangers for the organization, organizations can hev three ptions which are:
All of these approaches are having some pros and cons let’s discuss them briefly:
I. Parent-Country Nationals
Advantages
Disadvantages
Advantages
Disadvantages
· Hiring HCN’s limits opportunities for PCN’s to gain overseas experience.
If required talent is not available in home or host country than national s of the third country can be hired as mangers.
Advantages
· Salary and benefits requirements may be lower than for PCNs
· TCNs may be better informed than PCNs about the host country.
Disadvantages
· TCNs may not want to return to their own countries after assignment.
F. Socialization:
• Influences performance
A. Socialization
Employee orientation programs provide new employees with the basic background information required to perform their jobs
satisfactorily.
• Welcome party
• Job rotation
I. Purposes of Socialization
Socialization formats are unique to each firm. However, some basic purposes include emphasizing these areas: the employment situation
(job, department, and company), company policies and rules, compensation and benefits, corporate culture, team membership, employee
development, dealing with change, and socialization.
a. The Employment Situation
A basic purpose, from the firm’s viewpoint, is to have the new employee become productive as quickly as possible.
Every job within an organization must be performed considering the guidelines and constraints provided by policies and rules.
Employees will have a special interest in obtaining information about the reward system.
d. Corporate Culture
e. Team Membership
A new employee’s ability and willingness to work in teams is most likely determined before he or she is hired.
f. Employee Development
Employees should know exactly what is expected of them and what is required by the firm for advancement in the job or via
promotion.
Employees at all levels must learn to effectively deal with change in order to survive in their jobs.
h. Socialization
In order to reduce the fear that new employees may experience, attempts should be made to integrate the person into the
informal organization.
a. Pre-arrival Stage:
This stage explicitly recognizes that each individual arrives with a set of organizational values, attitudes, and expectations.
b. Encounter Stage:
Upon entry into the organization, new members enter the encounter stage. Here the individuals face the possible dichotomy
between their expectations about their jobs, their coworkers, their supervisors, and the organization in general and reality.
c. Metamorphosis Stage:
Finally the new member must workout any problems discovered during the encounter stage. This may mean going through
changes.
New employee socialization or orientation covers the activities involved in introducing a new employee to the organization and to his or
her work unit.
a. HRM Department:
HRM department can conduct the orientation in order to socialize the newly hired employees with the working
environment of the organization.
b. Supervisor:
Immediate supervisor of particular department can also be the source of informing the employees about the culture,
rules, procedures and policies of the organization.
c. Peers:
Peers and coworkers of the new hires can perform the orientation function in order to tell the expectation of
employers and requirements of the organization as can also answer the queries raised from the employee side.
d. Organizational culture:
Every organization has its own unique culture. This culture includes longstanding, and often unwritten, rules and
regulation; a special language that facilitates communication among members; shared standards of relevance as to the
critical aspects of the work that is to be done;.
e. CEO:
The CEO’s first responsibility is to welcome new employees aboard and talk to them about what a good job choice
they made. The CEO is in position to inspire these new employees by talking about what it is like to work for the
organization.
a. Introduction:
b. Job Duties:
It provides job related information like, Job location Job tasks Job safety
requirements
c. Organizational Issues:
include; History of employer, organization of employer, name & titles of key executive, employee’s titles and departments,
layout of physical facilities, probationary period.
d. Employee Benefits:
This part provides the information about the benefits that are offered by
the organization like; Pay scales & paydays, vacations rest break, training & education benefits, counseling, housing facilities,
insurance benefits, retirement program,
Hiring process is completed here because orientation or the socialization process is the last step of hiring.
B. Training
Training is a process whereby people acquire capabilities to aid in the achievement of organizational goals.
C. Development
All efforts to provide employees with the abilities the organizations will need in the future
Learning is a relatively permanent change in behavior that results from direct or indirect experience.
• Learning organization
Learning organizations are firms that recognize the critical importance of continuous performance-related.
B. Training Defined:
Training typically focuses on providing employees with specific skills or helping them correct deficiencies in their performance.
I. Challenges in Training
“What are our Training needs?” and “What do we want to accomplish through our TRAINING efforts?”
Phases of Training
a. Phase 1: Needs Assessment & Establishing Objectives
In order to compete effectively, firms must keep their employees well trained. The first step in the Training process is to determine
Training needs.
Organizational Analysis:
It is an examination of the kinds of problems that an organization is experiencing and where they are located within
organization.
Task/Operational Analysis:
An operational analysis identifies the kinds of the skills and behaviors required of the incumbents of a given job and the
standards of performance that must be met.
Personal Analysis:
The objective of the personnel analysis is to examine how well individual employees are performing their jobs.
What are the advantages that are being faced by the organization due to absence of that skill?
• Importance of skill:
Would there be real difference in skill level in case the training program is conducted.
Determining Training Needs:
Following sources can help organization to assess either there is a need for Training or not.
· Self-assessments
· Observation
Objectives are desired end results. In human resource, clear and concise objectives must be formulated
The training program that results from assessment should be a direct response to an organizational problem or need. These are
summarized below:
a. Location Options
b. On the job: Training is at the actual work site using the actual work equipment
c. Off the job: Training away from the actual work site. Training is at a Training facility designed specifically for Training
• Lecture
The Lecture is an efficient means of transmitting large amounts of factual information to a relatively large number of people at
the same time.
• Case method
A Training method in which trainees are expected to study the information provided in the case and make decisions based on it.
• Simulations
Simulators are training devices of varying degrees of complexity that duplicate the real world.
• Apprenticeship
This type of training refers to the process of having new worker, called an apprentice, work alongside and under the direction
of skilled technician.
• Internships
Internships and assistantships provide training similar to apprenticeship training; however’ assistantships and internships
typically refer to occupations that require a higher level of the formal education than that required by the skilled trades.
• Discussions
Conferences and group discussions, used extensively for making decisions, can also be used as a form of training
• Games
Simulations that represent actual business situations are referred to as business games.
• Role playing
A Training method in which participants are required to respond to specific problems they may actually encounter in their jobs.
• Computer-based
Computer based training is a teaching method that takes advantage of the speed, memory, and data manipulation capabilities of
the computer for greater flexibility of instruction.
• Multimedia
Multimedia is an application that enhances computer-based learning with audio, animation, graphics, and interactive video.
• Virtual reality
It is a unique computer-based approach that permits trainees to view objects from a perspective otherwise impractical or
impossible.
• Video Training
The use of videotapes continues to be a popular Training method. An illustration of the use of videotapes is provided by
behavior modeling.
• Vestibule training
Training that takes place away from the production area on equipment that closely resembles the actual equipment used on the
job.
• Lack of confidence
• Participants’ Opinions:
inexpensive approach that provides an immediate response and suggestions for improvements.
• Behavioral Change:
Tests may indicate fairly accurately what has been learned, but they give little
Still another approach to evaluating training programs involves determining the extent to which stated objectives have been
achieved.
• Benchmarking
Benchmarking utilizes exemplary practices of other organizations to evaluate and improve training programs. It is estimated
that up to 70 percent of American firms engage in some sort of benchmarking.
Value is the measure of impact and positive change elicited by the training.