HRM Unit 2

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Human Resource Management

The practice of managing people in order to achieve better performance is called human resource
management. The effective management of people in an organization in a way that help their
business gain a competitive advantage is a part of HRM. It is designed to maximize employee
performance.
Basic Concepts of HRM
Several elements in HRM are considered cornerstones for framing effective HRM policies.
These are:-
Recruitment and Selection
The most visible element of HR is recruitment and selection. Selecting the best candidates to
work for the company is a key responsibility. When a job is created or an existing job opens up
the request for new hires usually starts. HR receives the job description and starts the recruitment
of candidates. Different selection instruments like interviews, assessments, reference checks, and
other recruitment methods are put to use. Pre-selection tools may also be used by HR.
Performance Management
Performance management is about helping people to perform better at their jobs. Employees
normally have a defined set of responsibilities. Performance management enables employees to
get feedback on their performance. The entire exercise revolves around reaching better
performance. Some examples of performance management are formal one-on-one performance
reviews or 360- degree feedback instruments. Organizations, normally, work with an annual
performance management cycle. This involves planning, reviewing, monitoring, and rewarding
employee performance.
Learning and Development
Learning and development can be really helpful in advancing the organization towards its long
term goals. It helps employees improve their performance. Many organizations have defined
budgets for learning and development efforts The 9- Box grid is an excellent framework that
connects performance management with learning and development activities.
Succession Planning
The process of planning contingencies in case key employees leave the company is called
succession planning. This is often based on learning and development efforts and performance
ratings. A talent pool of candidates, who are qualified and ready to fill positions in case of a
person leaves, is created. Good people management is about building and nurturing this pipeline.
Compensation and Benefits
The key to retaining and motivating employees is fair compensation. There are two types of
compensation - primary and secondary. Directly paid money is the primary composition. All
non-monetary rewards comprise secondary benefits.
The Need & Importance of HRM (Human Resource Management)
Employees are the most important asset of an organization; we all agree, right? On the other
hand, human resource management (HRM) plays a vital role in building an organization. So the
importance of HRM carries a higher value in the organizations.

The HR department is in charge of making sure employees feel safe, respected, and supported.
Great human resource management ensures that the HR department operates effectively and
efficiently. It also grows and evolves over time with constant upgrades. In this article, we will
deep dive into what is human resource management, the need for it, and the importance of
HRM.

The need for human resource management:

Human resource management is needed to cut out any issues related to employees, and the
overall diverse workforce in order to have a streamlined process and make the right hiring
decisions.

According to several statistics, people typically quit their employment as a result of a bad work-
life balance, compensation worries, professional progression challenges, or job instability. These
scenarios make human resource management a necessary part of the organization.

This is a critical part of every company and plays a significant role in human resource
management. HR managers oversee strategies to ensure the company meets its business
objectives while also making major contributions to corporate decision-making to hire the right
people. It helps to strategise goals better to achieve greater heights and an organizations success.
Training & development:

Employee development needs proper training and upskilling as it will benefit the organization in
achieving goals and objectives.Training in soft-skills that are indirectly related to the position
can be beneficial for the organization as well. For instance, training employees in cybersecurity
awareness can also have myriad benefits for both the organization and the individual employee,
no matter the industry

On the other hand, you can create tons of blogs, guides, and training material to help develop
your employees. Also, it helps the employee to contribute and grow as an individual.

Employee Relations:

One of the needs is to develop a great relationship between the employees and the employer,
which hrm takes care of. Also providing a positive work environment aids motivation and higher
productivity.

Human Resource Objectives

 Human resource management is the administration of human resources.


 Human resource management mainly denotes managing employees and recognizing their
needs to maintain an optimistic work culture.
 The co objective of HRM (Human Resource Management) is to effectively manage an
organization's workforce to achieve its strategic goals and objectives
 Some of the objectives of HRM include accomplishing organizational goals, work
culture, training and development, employee motivation, empowering employees, and team
coordination.
 Objectives of HR acquisition are planning, recruiting, selecting the most efficient
individuals, orientation, and placement.
 A functional objective is to uphold the contribution of different departments to support
the organization in achieving its objectives. Functional goals of HRM are:

o Recruitment and selection

o Training and development

o Performance management

o Employee relations
 It is important to recognize how the activities of the functional areas are linked with each
other.
Unit2.

Job Analysis:

Definition: The Job Analysis is a systematic process of gathering complete information about
the job duties and responsibilities required to perform a specific job. The job analysis is
concerned only with the job and not with the job holders, but however, the information about the
job is gathered from the incumbents.

Process of Job Analysis

1. Defining the objectives: The foremost step in the process of job analysis is defining the objective
of the job analysis. The objective could be either of the following:
o Redesign the job description
o Revise the compensation program
o Change the organization structure
o Redesign the job in a particular department. Once the objective is selected, it should be well
communicated to the top management because with its support only, the changes can be made in
the organization.
2. Preparing the job Analysis: After setting an objective, the kind of jobs that are to be analyzed are
selected, whether the clerical jobs, managerial jobs, division specific job, etc. Also, the members
who are included in the analysis and the methods to be used are identified.At this stage, the
complete review of the existing job description is done to have a fair insight of the duties,
responsibilities, organization chart, working conditions, hazards, etc. that exist in a particular set
of jobs.
3. Performing the Job Analysis: The next stage in the process of job analysis is to perform or begin
with the job analysis. Here, the sufficient time should be allotted for collecting the job details
from the employees. The information from the employees can be collected through
questionnaires, interviews, or through an observation method. Once the information gets
collected it needs to be sorted on the basis of its nature, division, department.
4. Designing Job Descriptions and Job Specifications: At this stage, the job analyst prepares a draft
of the job description and the specifications. After sorting of the information, the changes that
need to be made in the jobs is identified and is written on paper. Once the draft gets prepared, it
is circulated to the managers, supervisors, and the employees.
5. Control Job Descriptions and Job Specifications: This is the last step in the process of job
analysis wherein the job descriptions, and the specifications are timely checked and modified
according to the changing needs of the organization.
The job analysis results in the job description and the job specification. The Job description
comprises of job duties, the level of responsibilities, working conditions, etc. and whereas the job
specification tells about the skills, education, background, qualification, training, communication
skills required to perform a specific job.

What is recruitment?
Recruitment refers to the process of identifying, attracting, interviewing, selecting, hiring and

onboarding employees. In other words, it involves everything from the identification of a staffing

need to filling it.

What is recruiting in HRM?


Human Resource Management, otherwise known as HRM or HR for short, is the function of

people management within an organization. HR is responsible for facilitating the overall goals of

the organization through effective administration of human capital — focusing on employees as

the company's most important asset.

Recruitment is the first step in building an organization's human capital. At a high level, the

goals are to locate and hire the best candidates, on time, and on budget.
What does recruitment involve?
While the recruitment process is unique to each organization, there are 15 essential steps of the

hiring process. We’ve listed them here, but for a detailed exploration of these steps, check out

our page on Hiring Process Steps:

 Identify the hiring need

 Devise a recruitment plan

 Write a job description

 Advertise the position

 Recruit the position

 Review applications

 Phone Interview/Initial Screening

 Interviews

 Applicant Assessment

 Background Check

 Decision

 Reference Check

 Job offer

 Hiring

 Onboarding

Types of recruiting
There are several types of recruiting. Here’s an overview:

Internal Recruiting: internal recruiting involves filling vacancies with existing employees from

within an organization.
Retained Recruiting: When organization hire a recruiting firm, there are several ways to do so;

retained recruiting is a common one. When an organization retains a recruiting firm to fill a

vacancy, they pay an upfront fee to fill the position. The firm is responsible for finding

candidates until the position is filled. The organization also agrees to work exclusively with the

firm. Companies cannot, in other words, hire multiple recruiting firms to fill the same position.

Contingency Recruiting: like retained recruiting, contingency recruiting requires an outside firm.

Unlike retained recruiting, there is no upfront fee with contingency. Instead, the recruitment

company receives payment only when the clients they represent are hired by an organization.

Staffing Recruiting: staffing recruiters work for staffing agencies. Staffing recruiting matches

qualified applicants with qualified job openings. Moreover, staffing agencies typically focus on

short-term or temporary employment positions.

Outplacement Recruiting: outplacement is typically an employer-sponsored benefit which helps

former employees transition into new jobs. Outplacement recruiting is designed to provide

displaced employees with the resources to find new positions or careers.

Reverse Recruiting: refers to the process whereby an employee is encouraged to seek

employment with a different organization that offers a better fit for their skill set. We

offer Reverse Recruiting Days to help workers with this process. At our Reverse Recruiting Days

we review resumes, conduct mock interviews, and offer deep dives into specific job roles.

Recruitment Process
The major steps of the recruitment process are stated as:

1. Job Design
2. Opening Job Position
3. Collecting and Presenting Job Resumes
4. Job Interviews
5. Job Offer
Job Design
Job design is the most important part of the recruitment process. The job design is a phase about
the design of the job profile and a clear agreement between the line manager and the HRM
Function.

The Job Design is about the agreement about the profile of the ideal job candidate and the
agreement about the skills and competencies, which are essential. The information gathered can
be used during other steps of the recruitment process to speed it up.

Opening Job Position


The Opening of the Job Position is generally the job of the HR Recruiter. Skilled and
experienced HR Recruiter should decide about the right mix of recruitment sources to find the
best candidates for the job position. This is another key step in the recruitment process.

Collecting and Presenting Job Resumes


The next step is collecting of job resumes and their pre-selection. This step in the recruitment
process is very important today as many organizations lose a lot of time in this step.

Today, the organization cannot wait with the pre-selection of the job resumes. Generally, this
should be the last step done purely by the HRM Function.

Job Interviews
The job interviews are the main step in the recruitment process, which should be clearly designed
and agreed between HRM and line management.

The job interview should discover the job candidate, who meets the requirements and fits best
the corporate culture and the department.

Job Offer
The job offer is the last step of the recruitment process, which is done by the HRM Function, it
finalizes all the other steps and the winner of the job interviews gets the offer from the
organization to join.

Recruitment Techniques
Recruitment techniques are the means or media by which management contacts prospective
employees or provide necessary information or exchange ideas or stimulate them to apply for
jobs.
Recruitment techniques are:
1. Internal Methods: They are for recruiting internal candidates. These include methods like:

(a) Promotion & Transfers


(b) Job Posting
(c) Employee Referrals

2. Direct Methods: These include sending travelling recruiters to educational and professional
institutions and employees’ contacts with the public.
(a) Campus Recruitment
Sources of Recruitment
A source from where candidates are identified, attracted and selected can be classified into two:
Internal Sources and External Sources.

Modes of Recruitment are:

1. Transfers
2. Promotions
3. Retired and Retrenched Employees
4. Employee Referrals
5. Job Postings
6. Deceased and Disabled Employees
7. Campus Recruitments
8. Management Consultants
9. Advertisements
10. Trade Associations
11. Walk in Interview
12. Job Fairs

Internal Sources
This approach includes recruiting, developing and promoting the employees from within the
organization. Internal recruitments are cost-effective, more reliable as the organization is aware
of the candidate’s skillset and knowledge and it also motivates the employees and increases their
commitment towards the organization. Internal sourcing can be done in the following ways:

Transfers
An employee may be shifted from one job to another internally generally of the same level. The
roles and responsibilities of the employees might change but not necessarily the salary. This
helps the employees to get motivated and try something new, helps them break the monotony of
the old job and encourages them to grow by gaining more knowledge.

Promotions
As recognition of their efficiency and experience the employees are moved from a position to a
higher position. There is a change in their duties and responsibilities accompanied with a change
in salary and status. It helps the employee to grow vertically in the organization. It refrains him
from leaving the company for greener pastures.

Retired and Retrenched Employees


Retired and retrenched employees may also be recruited back in case there is high demand and
shortage of supply in the industry or there is sudden increase in work load. These employees are
already aware of the processes, procedures and culture of the organization hence they prove to be
cost effective.
Employee Referrals
In this case each employee of the company acts as a recruiter. The employees are encouraged to
recommend the names of their friends or relatives working in other organizations. For this they
are even rewarded monetarily.

The benefit of employee referral is that the potential candidate gets first hand information about
the job and organization culture from the already working employee. Since he knows what he is
getting into he is expected to stay longer in the organization. Also since the credibility of those
who recommend is at stake, they tend to recommend those who are highly motivated and
competent.

Job Postings
The Company posts the current and expected vacancy on bulletin boards, electronic media and
similar common portals. This gives an opportunity to the employees to undertake career shift and
help them grow within the company.

Deceased and Disabled Employees


In order to make the families of the deceased and disabled employees self-sufficient their
relatives or dependents may be offered a job in case of any vacancy.

Advantage of Internal Sourcing


 Internal recruitment is less time consuming and economical.

 It is reliable as the organization is aware of the employee’s knowledge and skill set.

 There is no need of induction and training as the employee is already aware of the processes,
procedures and culture of the organization.

 It increases the motivation level of the employees as they look forward to getting a higher job
in the organization instead of looking for greener pastures outside.

 It boosts the morale of the employees, improves their relations with the organization and
reduces employee turnover.

 It develops the spirit of loyalty in the employees, ensures continuity of employment and
organizational stability.
Disadvantage of Internal Sourcing
 Internal sourcing prevents new blood, originality and innovative ideas from entering the
organization.

 The scope is limited as not all the vacancies can be filled by the limited pool of talent available
in the organization.

 The position of the person who is transferred or promoted falls vacant.

 It can create dissatisfaction amongst the rest of the employees as there can be bias or partiality
in promoting an employee in the organization.
External Sources
New candidates are recruited from outside the organization by different means and methods. It is
more commonly used than internal sources. External recruitments are helpful in acquiring skills
that are not possessed by the current employees; it also helps to bring onboard employees from
different backgrounds that get a diversity of ideas on the table.

Campus Recruitments
When companies are in search of fresh talents and are focusing on knowledge, communication
skill and talent than experience, they approach management colleges, technical institutes etc. The
company makes a presentation about its organization in order to attract the students.

Whoever finds it matching with their career plans applies for the job. These applicants are then
made to go through series of selection processes like analytical and psychological tests, group
discussions, interviews etc before the final selection is done.

Management Consultants
Management consultants act as representatives of the employer. They perform the recruitment
function on behalf of the client company by charging them fees or commissions. These
consultants are able to tailor their services according to the specific needs of the clients thus
relieving the line managers from their recruitment function.

Advertisements
This media of recruitment is very popular and commonly used as it reaches out a wide range of
people. It can also be targeted at a specific group or a particular geographic area by choosing a
specific newspaper, radio channel etc. e.g Business journal.

In certain advertisements company name, job description and salary packages are mentioned.
There are blind advertisements as well where no identification of the firm is given. These
advertisements are published mostly when the organization wants to fill an internal vacancy or
planning to displace an existing employee.

Human Resource Planning (HRP):


Human resource planning (HRP) is the continuous process of systematic planning 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.

There are four key steps to the HRP process. They include analyzing present labor
supply, forecasting labor demand, balancing projected labor demand with supply, and
supporting organizational goals. HRP is an important investment for any business as it allows
companies to remain both productive and profitable.

What Is Human Resource Planning (HRP) Used For?


Human resource planning allows companies to plan ahead so they can maintain a steady supply
of skilled employees. The process is used to help companies evaluate their needs and to plan
ahead to meet those needs.
Definition: The Human Resource Planning Process critically analyses, forecasts, and
allocates human resources as per business goals. It assists organizations in estimating their
existing as well as future manpower requirements.

Process of HRP:

The process is time-consuming. As it covers the addition/elimination of the job positions.


Thus, managers need to conduct an in-depth analysis to estimate manpower requirements.

We can compile the complete process into seven steps. The initial five steps in the Human
Resource Planning Process include:

 Identification
 Analysis
 Implementation of the action plan

However, the last two steps consist of ‘Training‘ and ‘Control’ of the appointed staff.

The HR managers use the HRP process as a base for managerial decision-making. Also, it is a
vital element that facilitates succession planning in the long term.

Need for Human Resource Planning

An organisation must plan out its human resource requirements well in advance so that it could
complete effectively with its competitors in the market. A well thought-out-human resource plan
provides adequate lead time for recruitment, selection and training of personnel. It becomes 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 manpower may result in postponement or delays in executing new
projects and expansion programmes which ultimately lead to lower efficiency and productivity
further. To be specific, the following are the needs for human resource planning:

1. Shortage of Skills: These days we find shortage of skills in people. So it is necessary to plan for
such skilled people much in advance than when we actually need them. Non-availability of
skilled people when and where they are needed is an important factor which prompts sound
Human Resource Planning.
2. Frequent Labor Turnover: Human Resource Planning is essential because of frequent labor
turnover which is unavoidable by all means. Labor turnover arises because of discharges,
marriages, promotion, transfer etc which causes a constant ebb and flow in the workforce in the
organisation.
3. Changing needs of technology: Due to changes in technology and new techniques of production,
existing employees need to be trained or new blood injected into an organisation.
4. Identify areas of surplus or shortage of personnel: Manpower planning is needed in order to
identify areas with a surplus of personnel or areas in which there is a shortage of personnel. If
there is a surplus, it can be re-deployed, or if there is a shortage new employees can be procured.
5. Changes in organisation design and structure: Due to changes in organisation structure and
design we need to plan the required human resources right from the beginning.

Objectives of Human Resource Planning

The objective of human resource planning is to ensure the best fit between employees and jobs,
while avoiding manpower shortages or surpluses. Human resource planning is a sub-system of
the total organizational planning. It constitutes an integral part of corporate plan and serves the
very purpose of organization in many ways. The primary purpose of human resource planning is
to prepare for the future by reducing organizational uncertainty in relation to the acquisition,
placement, and development of employees. Human resources planning is done to achieve the
optimum use of human resources and to have the right types and correct number of employees to
meet organizational goals.

The main objectives of Human Resource Planning are:

1. Achieve Goal: Human Resource Planning helps in achieving individual, Organizational &
National goals. Since Human resource planning is linked with career planning, it can able to
achieve individual goal while achieving organisational and national goal.
2. Estimates future organizational structure and Manpower Requirements: Human Resource
Planning is related with number of Personnel required for the future, job-family, age distribution
of employees, qualification & desired experience, salary range etc and thereby determines
future organisation structure.
3. Human Resource Audit: Human resource planning process is comprised of estimating the future
needs and determining the present supply of Manpower Resources. Manpower supply analysis is
done through skills inventory. This helps in preventing over staffing as well as under-staffing.
4. Job Analysis: The process of studying and collecting information relating to operations and
responsibilities of a specific job is called Job analysis. Job analysis is comprised of job
description and job specification. Job description describes the duties and responsibilities of a
particular job in an organized factual way. Job specification specifies minimum acceptable
human qualities necessary to perform a particular job properly.

Importance of Human Resource Planning


1. Human resource planning is a continuous process – Human Resource Planning is a
continuous process by which management ensures that it has the right personnel, who are
capable of completing those tasks that help the organization, reach its objectives.

2. Human resource planning links people to company’s mission, vision, goals and
objectives – Rigorous Human Resource Planning links people management to the
organization’s mission, vision, goals and objectives, as well as its strategic plan and
budgetary resources.

3. Human resource planning is forward looking process – Human resource planning is a


forward-looking function. It occupies a pivotal place in successful human resource
management programme. It ensures that people are available to extend their willing hands
towards the development endeavours of an organization.
4. Human Resource Planning is Value Addition in Competition and Economic Downturn – In
the times of great economic turbulence, the importance of human resource planning is more
apparent than ever. A short-sighted lay-off, intended to temporarily reduce overhead, can
result in much heavier long-term costs. We may regret letting people go when we are
spending time and money to hire and train new staff. Plus, we lose profits when we lose
experienced, knowledgeable and talented employees.

Increasing environmental instability, demographic shifts, changes in technology, and


heightened international competition are changing the need for and the nature of human
resource planning in several organizations in India and across the world.

Problems Faced in Human Resource Planning

Some of the major problems faced in human resource planning are as follows:
1. People perceive that people are available in abundance in our labour surplus economy. Then,
why to spend time and money in forecasting human resources? Surprisingly, this perception
about human resource planning is also held by the top management.

2. Another problem in human resource planning is that the demand for and supply of human
resources is not cent percent accurate. Experience suggests that longer the time horizon for
forecasting human resource requirements, greater is the possibility of inaccuracy in estimates of
human resource needs

3. Various types of uncertainties like labour turnover, absenteeism, seasonal employment, market
fluctuations and changes in technology render human resource planning ineffective. The reason
being these uncertainties, make human resource forecast mere a guess far from reality.

4. Sometimes human resource planning suffers from a conflict between quantitative and quali-
tative approaches used for it. Some people view human resource planning as a mere numbers
game to track the flow of people across the departments and in and out of the organisation.
Conversely, others take a qualitative approach focusing on the quality of human resources like
career planning development, skill, morale, etc.

5. Generally, human resource personnel are perceived as experts in handling personnel matters.
But, they are not experts more than often. Hence, human resource requirements estimated by
such people are not realistic ones. The organisational plans based on such estimates are
endangered to be flopped.
6. As human resource planning is based on data relating to human resources, the same is not
maintained in a proper manner in some of the industrial organisations. Then, in the absence of
reliable data, it becomes difficult to develop effective human resource plans.

Requisites for Successful HRP (Human Resource Planning)


1. HRP must be recognized as an integral part of corporate planning
2. Support of top management is essential
3. There should be some centralization with respect to HRP responsibilities in order to have co-
ordination between different levels of management.
4. Organization records must be complete, up to date and readily available.
5. Techniques used for HR planning should be those best suited to the data available and degree
of accuracy required.

6. Data collection, analysis, techniques of planning and the plan themselves need to be constantly
revised and improved in the light of experience.

Selection Process: Definition, Meaning Steps in Selection Process

Selection is choosing the most suitable candidates from those who apply for the job. It is a

process of offering jobs to desired candidates.

Meaning of Selection In Human Resource Management

Selection is the process of choosing from the candidates, from within the organization or

from outside, the most suitable person for the current or future positions.

Selection means choosing a few from those who apply. It is picking up applicants or candidates

with requisite qualifications and qualities to fill jobs in the organization.

Definition of Selection in HRM

Selection is the process of choosing from the candidates, from within the organization or

from outside, the most suitable person for the current or future positions.
Dale Yoder said, “Selection is the process by which candidates for employment are divided into

classes those who will be offered employment and those who will not.”

David and Robbins said, “Selection process is a managerial decision-making process to predict

which job applicants will be successful if hired.”

Most managers recognize employee selection as one of their most challenging and important

business decisions.

The selection process involves making a judgment – not about the applicant but about the

fit between the applicant and the job by considering knowledge, skills, abilities, and other

characteristics required to perform the job selection procedures are not carried out

through standard patterns and steps in this.

8 Steps in Selection Process

The selection process typically begins with the preliminary interview; candidates complete

the employment application.

They progress through selection tests, employment interviews, and reference and background

checks. The successful applicant receives a company physical examination and is employed if

the results are satisfactory.

Several external and internal factors impact the selection process, and the manager must

consider them in making selection decisions.

Typically, the selection process consists of the following steps, but not all organizations need to

go through all these steps as per the organization’s requirements. Some steps can be skipped

while performing the selection process.


8 steps in the selection process are;

1. Initial Screening

2. Completion of the Application Form

3. Employment Tests

4. Job Interview

5. Conditional Job Offer

6. Background Investigation

7. Medical/Physical Examination

8. Permanent Job Offer

1. Initial Screening

The selection process often begins with an initial screening of applicants to remove individuals

who do not meet the position requirements.

At this stage, a few straightforward questions are asked. An applicant may be unqualified to fill

the advertised position but be well qualified to work in other open positions.

The Purpose of Screening is to decrease the number of applicants being considered for selection.

Sources utilized in the screening effort.

A personal Resume presented with the job application is considered a source of information that

can be used for the initial screening process. It mainly includes information in the following

areas:

 Employment & education history.

 Evaluation of character.

 Evaluation of job performance.


Advantages of Successful Screening

If the screening effort is successful, those applicants that do not meet the minimum required

qualifications will not move to the next stage in the selection process.

Companies utilizing expensive selection procedures put more effort into screening to reduce

costs.

2. Completion of the Application Form

Application Blank is a formal record of an individual’s application for employment. The next

step in the selection process may involve having the prospective employee complete an

employment application.

This may be as brief as requiring only an applicant’s name, address, and telephone number.

The application form gives a job-performance-related synopsis of applicants’ life, skills, and

accomplishments.

3. Employment Tests

Personnel testing is a valuable way to measure individual characteristics. Hundreds of tests have

been developed to measure various dimensions of behavior. The tests measure mental abilities,

knowledge, physical abilities, personality, interest, temperament, and other attitudes and

behaviors. Evidence suggests that tests are becoming more prevalent for assessing an applicant’s

qualifications and potential for success.Tests are used more in the public sector than in the

private sector and in medium-sized and large companies than in small companies. Large

organizations are likely to have trained specialists to run their testing programs.
4. Job Interview

An interview is a goal-oriented conversation in which the interviewer and applicant exchange

information.

The employment interview is especially significant because the applicants who reach this stage

are considered the most promising candidates.

Interview Planning

Interview planning is essential to effective employment interviews.

The physical location of the interview should be both pleasant and private, providing for a

minimum of interruptions. The interviewer should possess a pleasant personality, empathy, and

the ability to listen and communicate effectively.

He or she should become familiar with the applicant’s qualifications by reviewing the data

collected from other selection tools.

5. Conditional Job Offer

A conditional job offer means a tentative job offer that becomes permanent after certain

conditions are met.

A conditional job offer is usually made if a job applicant has passed each step of the selection

process.

In essence, the conditional job offer implies that if everything checks out – such as passing a

certain medical, physical, or substance abuse test – the conditional nature of the job offer will be

removed, and the offer will be permanent.


6. Background Investigation

Background Investigation is intended to verify that information on the application form is correct

and accurate.

This step is used to check the accuracy of the application form through former employers and

references. Verification of education and legal status to work, credit history, and criminal record

are also made.

Personal reference checks may provide additional insight into the information furnished by the

applicant and allow verification of its accuracy.

7. Medical/Physical Examination

After the decision to extend a job offer, the next phase of the selection process involves

completing a medical/physical examination.

This examination determines an applicant’s physical fitness for essential job performance.

Typically, a job offer is contingent on successfully passing this examination.

8. Permanent Job Offer

Individuals who perform successfully in the preceding steps are eligible to receive the

employment offer. The hiring decision should be made by the manager in the department where

the vacancy exists.

Ways of Making an Effective Employee Selection

All companies, irrespective of size, make hiring mistakes, but here are a few tips experts /suggest

to help avoid making them.

1. Determine the criteria a candidate must meet.

2. Hiring without testing


3. Hiring after the first interview

4. Underestimating the unemployed.

5. Poor or no reference checking

6. Avoid hiring out of desperation.

7. Watch out for fascination.

8. Carefully evaluate candidates recommended by employees and associates.

9. Do not blindly promote from within

Determine the criteria a candidate must meet.

Before filling a position, the HR manager of a company must clearly define the skills,

experience, character, ‘educational background, work experience, technical skills, and

competencies they must possess.

Hiring without testing

Skill testing is a must. Every job has some form of measurable, objective performance standard.

Identify it and test for it.

Some tests can indicate if a job candidate meets the required criteria. With these pre-hire

screening tools, a recruiter can test the knowledge of potential hires before they are extended an
offer.

Hiring after the first interview

It is important to have several interviews with the same person — and not to hire from one

interview. The person may not present the same later, and the HR manager may get fresh insights

from different meetings.


Underestimating the unemployed.

A person who does not have a job at the Vnoment may be the right fit for the position. They are

plenty of good talent out there that are not hired.

Poor or no reference checking

It is important to know how to conduct a detailed ‘reference check.

A proper reference check verifies job skills and the behavioral fit in which the person operates. It

is essential to conduct an extensive background investigation and reference checks.

Avoid hiring out of desperation.

Too many hiring decisions are made out of operation.

The following scenarios occur repeatedly; a key manager quits and must be replaced now; rapid

growth forces a company to fill positions without enough forethought; programmers are so

scarce that anyone will do.

If we hire employees in haste, we may find out later that the recruits are not trustworthy or

competent.

If an HR manager cannot conduct a thorough, timely hiring process, hire a temporary or leased

employee or borrow an employee from another company.

Watch out for fascination.

A series of surveys have revealed that during the hiring process, most interviewers made their

decision up or down within the first 10 minutes of the interview.

They then spent the next 50 minutes internally justifying that decision. We buy cars in the same

way.
First, we choose the car we want to buy from an emotional standpoint and then search for

objective data to justify that emotional decision.

We all know that facts tell, but emotions sell. The recruiter can guard against obsession by

having coworkers interview prospects, group interviews, and follow-up interviews.

Carefully evaluate candidates recommended by employees and associates.

Just because someone recommends someone they think would be highly capable for a particular

position doesn’t mean they are qualified.

We have seen many occasions where someone was hired without going through the usual

evaluation process simply because another employee or colleague recommended them.

Follow the usual channels and requirements when anyone-no matter how highly recommended-

seeks to work for the organization.

Do not blindly promote from within

It is widely believed that the HR manager should recruit employees from within the organization.

The best performers are not always the most qualified candidates for a specific job. This is

especially true when promoting to the management level. Simply because someone is

particularly adept at handling a certain function doesn’t mean they are capable of managing

others. It is important to remember the Peter Principle.

Selection Tests – Meaning and Definitions


The selection tests aim at measuring such skills and abilities in a worker that are decided by
job analysis to be essential for successful job performance. A test is an instrument designed
to measure selected psychological factors.

Selection tests are defined as under:

Cronbach defines it as, “A test is a systematic procedure for comparing the behaviour of two
or more persons.”
Milton M. Blum opines, “A test is a sample of an aspect of an individual’s behaviour,
performance and attitude.”

Selection Tests – 5 Important Categories of Selection Test


Tests used in selection can be classified into five categories, namely:

1. Achievement,

2. Aptitude,

3. Interest,

4. Personality and

5. Intelligence tests.

1. Achievement Tests:
Achievement tests measure the job knowledge of the applicants in the areas such as
marketing, HR and economics. When an applicant claims to know something, an
achievement test is given to measure how well he/she knows it. It is for this reason that
achievement tests are also known as proficiency tests or performance tests.

Achievement tests are a refinement of the work sample technique and are used to measure
what the applicant actually can do and what tasks he/she can perform right now. Adaptability
tests, abstract reasoning tests, Stanford-Binet Scales, Miller Analogies Test and Purdue test
for machinists and machine operators are some of the examples of such tests. Similar tests
are available in shorthand, calculating machines, operating calculators, simple mechani cal
equipment, dictating and transcribing apparatus.

2. Aptitude Tests:

Aptitude tests are also known as potential ability tests and specific cognitive tests and are
used to measure the latent ability of a candidate to learn a given job if he/she is given the
required training. Aptitude tests have special significance where the new recruit has little or
very less experience along the lines of the job opening.

3. Interest Tests:
Interest in a job or task contributes to success on the job. A person interested in his/her job is
likely to do better than one who is indifferent or uninterested. Interest tests have been
designed to discover a person’s field of interest and to identify the kind of work that will
satisfy him/her. They are in a sense inventories of the likes and dislikes of the people of
some occupations.

Most widely used interest scales are ‘Kuder Preference Record’, ‘Strong Vocational Interest
Blank’, mechanical reasoning tests and so on.
4. Personality Tests:

These tests aim at measuring the basic make-up or characteristics of an individual. They
assess his/her introversion motivation, emotional reactions, emotional maturity, stability,
mood, value system, ability to adjust, interpersonal relations, self-image, self- confidence,
ambition, tact, optimism, decisiveness, sociability, objectivity, patience, fear, distrust,
suspicion, judgement, dominance, impulsiveness, integrity, stability and so on. Industrial
psychologists usually emphasise the ‘big five’ personality dimensions as they apply to
personnel testing.

► Steps in Selection Process


1. Preliminary interview
2. Receiving applications & Screening
3. Selection test
4. Employment interview
5. Medical examination
6. Reference check
7. Final selection (appointment letters)

1. Preliminary interview (Initial Screening)


The primary purpose of the preliminary interview is to ensure whether the applicant is physically & mentally
fit for the job.

In preliminary interviews, candidates are asked questions related to their prior experience, education, taste,
age, etc.

Those candidates who are successful in the preliminary interview are asked to fill out the blank application
form.

It helps in shortlisting of the appropriate and plausible applicants and elimination of the inadequate or ill-
suited work searchers in light of the application forms.

2. Receiving Applications (Filling out blank application form)


Blank application forms are the printed form of the company. For different job roles, there are different forms
because for each post, people of different qualifications are required.

While preparing the application form, two things must be kept in view:-

 The form should convey the maximum possible information.


 The questions should be directly related to the post.
3. Selection Test (Employment Test)
“Selection tests are conducted to check the area knowledge of candidates for the respective jobs. These
tests enable the management to bring out the suitable and right person for the job”

The selection Test might be an online or an offline test. In this test, a wide scope of inquiries might be asked
to decide the knowledge in character, personality, and manual abilities of the individual.

Types of Selection Test:


Popular Exam/Tests used for the selection of employees are as follows:

◉ Intelligence Test: It estimates a competitor’s capacity to learn. It is a psychological test. These tests target
estimating the overall degree of insight of the candidate. This is finished by estimating the IQ of the
candidate. Furthermore, they likewise measure the scope of capacities like mathematical capacity, jargon,
memory, and verbal familiarity.

This tests the mental ability of the candidate. These tests measure the learning ability of candidate & their
thinking power to make quick decisions on crucial points.

◉ Aptitude Test: It estimates the up-and-comer’s capacity to acquire new abilities. Aptitude tests are
otherwise called potential capacity tests and explicit mental tests and are utilized to measure the inert
capacity of a possibility to become familiar with a given work in the event that he/she is given the necessary
training. Aptitude tests help in distinguishing characteristics or deformities in the candidate’s tactile or
mental ability.

◉ Personality Test: It estimates the general character of the up-and-comer as far as feelings, responses,
development, esteem frameworks, and so forth. A selection method measures the character qualities of
candidates that are connected with future work execution. Character tests ordinarily measure at least one of
five character aspects: extroversion, passionate solidness, suitability, principles, and receptiveness to
encounter.

These tests judge the psychological ability of any person. These tests check an individual’s motivational
level, traits, integrity, sympathy, sensitivity, etc. In a Personality test, the various controversial situation is
presented to the person.

◉ Trade Test: It estimates the competitor’s current level of information and capability. A trade test helps
measure the current genuine abilities of a person. It likewise measures the level of information and
capability in the space of calling or specialized training.

◉ Interest Test: It recognizes the up-and-comer’s areas of interest. Interest in a task or assignment adds to
success on the job. An individual interested in his/her occupation is probably going to show improvement
over an impassive or uninterested. one. Interest tests have been intended to find an individual’s field of
interest and to recognize the sort of work that will fulfill him/her.

◉ Motor Tests: these tests check the hand-eye coordination of the prospective employees.

4. Employment Interview (Selection Interview)


An interview is the oral examination of candidates for a job or employment. To give remarks, the interviewer
matches the information obtained about the candidate from previous rounds and to the information obtained
through his own observations during the Interview.
Employment interviews are done to distinguish an up-and-comer’s range of abilities and capacity to work in
an organization exhaustively. The reason for an employment talk with is to discover the reasonableness or
suitability of the up-and-comer and to give him a thought regarding the work profile and what is generally
anticipated of the expected worker. This is a formal and top to bottom discussion with the competitor and it
is led to testing the appropriateness of the up-and-comer.

Types of Interview:
Several types of interviews are commonly used depending on the nature and importance of the job position
to be filled within an organization.

◉ Structured Interview: In a structured interview, a list of questions asked by the interviewer is prepared in
advance on the basis of an analysis of the job.

◉ Unstructured Interview: In this type of interview, a list of questions asked by the interviewer is not
prepared in advance. All interview questions are asked as to what comes to the interviewer’s mind.

◉ Panel Interview: In the panel interview, the candidate is screened by a group of interviewers who are
specialists in their respective fields. Panel call upon the candidates one by one and assess their qualities.

◉ Stress Interview: In most Stress Interviews, the interviewer deliberately creates a situation that puts the
candidate under considerable stress. Frequent interruptions, criticism of a candidate’s opinion, keeping silent
for an extended period of time, tense questions are some of the methods of creating stress.

5. Medical Examination
Those Candidates/applicants who have crossed the previous stages are sent for a physical examination or
medical examination.

There are three objectives of medical examination:-

 Physical fitness for the job concerned.


 To protect the business organization from infectious diseases.
 To check excessive expenditure on the treatment of employees.

6. Reference Check
After medical examination, information is gathered from that person whose name is figured in the column of
“reference”.

This information is related to the character history, social relation, background, etc, of the candidate. To
obtain this information the employer may contact the candidate’s past or present employers.

This is done to check the believability of the data given by the workers. This is likewise done to assemble
extra data about the applicant.

A personal investigation assists businesses with confirming a competitor’s case on work history, address
confirmation, instruction check, criminal record, hole check, and reference check.

The corporate world had seen a couple of high-profile exits in the past because of deception of realities.
7. Final Selection or appointment letter:-
If the candidate successfully cleared the medical examination or reference check, then the process of final
selection is started.

At this stage, every one of the individuals associated with the course of choice meets and takes official
choice in regards to the choice of up-and-comers.

Selection is a process of choosing from a pool of candidates the person who is most likely to meet the criteria
of the job purpose. Criteria such as; Matches people with jobs and Predicts future success on the job.

Once the list of final selected candidates is finalized then the job offer is given to the selected candidate.

For the job offer, an appointment letter from the company is handed over. If the selected candidate accepts
the job offer, then he becomes an employee of the organization.

◉ Job Offer
Making a proposition for employment is the last phase of recruitment and selection. When an up-and-comer
is chosen, he/she will be given a deal letter, which depicts the assignment, work area, job, obligations,
compensation, benefits, and a couple of terms connected with the organization arrangements.

In this progression of the selection test the candidates who have passed every one of the past obstacles, a
proposition for employment is made to them through the letter of arrangement or affirmation. The letter
contains a date from which the person has to join.

◉ Contract Of Employees
An agreement of business is an understanding between a business and representative and is the premise of
the working relationship. It is consequently normal practice to have a composed assertion given to all
workers to incorporate the entirety of this data. After the proposition for employment is made the length of
business settled upon by both the gatherings is executed.

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