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HUMAN RESOURCE MANAGEMENT HUMAN RESOURCE MANAGEMENT ( H R M ) Definition 1 – Integration “HRM is a series of integrated decisions that form the employment relationships their !"ality contri#"tes to the a#ility of the organi$ations and the employees to achie%e their o#&ecti%es'( Definition 2 – Influencing “HRM is concerned with the people dimensions in management. Since every organization is made up of people, acquiring their services, developing their skills, motivating them to higher levels of performance and ensuring that they continue to maintain their commitment to the organization are essential to achieving organizational o !ectives. "his is true, regardless of the type of the organization # government, usiness, education, health, recreational, or social action.$ Definition 3 – Applicability “HRM planning, organizing, directing and controlling of the procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organizational and social o !ectives are accomplished.$ MEANING OF HRM: HRM is management function that helps managers to recruit, select, train and develop mem ers for an organization. % viously HRM is concerned with the people&s dimensions in organizations. HRM refers to set of programs, functions, and activities designed and carried out Core elements of HRM • P e o p l e : %rganizations mean people. 't is the people who staff and manage organizations. • M n ! e m e n t : HRM involves application of management functions and principles for acquisitioning, developing, maintaining and remunerating employees in organizations. • I n t e ! r t i o n " C o n s i s t e n # $ : (ecisions regarding people must e integrated and consistent. • I n f l % e n # e : (ecisions must influence the effectiveness of organization resulting into etterment of services to customers in the form of high quality products supplied at reasona le cost. • A p p l i # & i l i t $ : HRM principles are applica le to usiness as well as non) usiness organizations too, such as education, health, recreation and the like. O)*ECT+,ES O- HRM. / *. ' o # i e t l O & ( e # t i ) e s : "o e ethically and socially responsi le to the needs and challenges of the society while minimizing the negative impact of such demands upon the organization. +. O r ! n i * t i o n l O & ( e # t i ) e s : "o recognize the role of HRM in ringing a out organizational effectiveness. HRM is only means to achieve to assist the organization with its primary o !ectives. ,. F % n # t i o n l O & ( e # t i ) e s : "o maintain department&s contri ution and level of services at a level appropriate to the organization&s needs. 4. P e r s o n a l O b j e c t i v e s : To assist employees in achievin thei! pe!sonal oals" at least in so #a! as these oals enhance the in$ivi$%al&s cont!i'%tion to the o! ani(ation. This is necessa!y to maintain employee pe!#o!mance an$ satis#action #o! the p%!pose o# maintainin " !etainin an$ motivatin the employees in the o! ani(ation. SCOPE OF HRM: -rom Entr$ to the E+it of an employee in the organization Scope of HRM can e descri ed ased on the following activities of HRM. .ased on these activities we can summarize the scope of HRM into / different categories as mentioned elow after the activities. 0ets check out oth of them. HRM A#ti)ities – *. HR 1lanning +. 2o 3nalysis ,. 2o (esign 4. Recruitment 5 Selection 6. %rientation 5 1lacement 7. "raining 5 (evelopment /. 1erformance 3ppraisals 8. 2o 9valuation :. 9mployee and 9;ecutive Remuneration *<. Motivation **. =ommunication *+. >elfare *,. Safety 5 Health *4. 'ndustrial Relations , C te!ories of '#ope of HRM *. 'ntroduction to HRM +. 9mployee Hiring ,. 9mployee and 9;ecutive Remuneration 4. 9mployee Motivation 6. 9mployee Maintenance 7. 'ndustrial Relations /. 1rospects of HRM ROLE OF HRM *. A-)isor$ Role: HRM advises management on the solutions to any pro lems affecting people, personnel policies and procedures. a. Personnel Poli#ies: %rganization Structure, Social Responsi ility, 9mployment "erms 5 =onditions, =ompensation, =areer 5 1romotion, "raining 5 (evelopment and 'ndustrial Relations. . Personnel Pro#e-%res: Relating to manpower planning procedures, recruitment and selection procedures, and employment procedures, training procedures, management development procedures, performance appraisal procedures, compensation procedures, industrial relations procedures and health and safety procedures. +. F%n#tion l Role: "he personnel function interprets and helps to communicate personnel policies. 't provides guidance to managers, which will ensure that agreed policies are implemented. ,. 'er)i#e Role: 1ersonnel function provides services that need to e carried out y full time specialists. "hese services constitute the main activities carried out y personnel departments and involve the implementation of the policies and procedures descri ed a ove. 1

Role of HR M n !ers ./o- $0 *. H%m nit ri n Role: Reminding moral and ethical o ligations to employees +. Co%nselor: =onsultations to employees a out marital, health, mental, physical and career pro lems. ,. Me-i tor: 1laying the role of a peacemaker during disputes, conflicts etween individuals and groups and management. 4. 'po1esm n: "o represent of the company ecause he has etter overall picture of his company&s operations. 6. Pro&lem 'ol)er: Solving pro lems of overall human resource management and long)term organizational planning. 7. C2 n!e A!ent: 'ntroducing and implementing institutional changes and installing organizational development programs /. M n !ement of M npo3er Reso%r#es: .roadly concerned with leadership oth in the group and individual relationships and la or)management relations. Role of HR M n !ers .F%t%re0 *. 1rotection and enhancement of human and non)human resources +. -inding the est way of using people to accomplish organizational goals ,. 'mprove organizational performance 4. 'ntegration of techniques of information technology with the human resources 6. ?tilizing ehavioral scientists in the est way for his people 7. Meeting challenges of increasing organizational effectiveness /. Managing diverse workforce FUNCTIONS OF HRM ALONG WITH OBJECTIVES HRM O&(e#ti)es '%pportin! HRM F%n#tions Social % !ectives @,A 0egal =ompliance .enefits ?nion Management Relations %rganizational % !ectives @/A Human Resource 1lanning 9mployee Relations Recruitment 5 Selection "raining 5 (evelopment 1erformance 3ppraisals 1lacement 5 %rientation 9mployee 3ssessment -unctional % !ectives @,A 1erformance 3ppraisals 1lacement 5 %rientation 9mployee 3ssessment 1ersonal % !ectives @6A "raining 5 (evelopment 1erformance 3ppraisals 1lacement 5 %rientation =ompensation 9mployee 3ssessment Managerial Fun !i"n# "$ HRM *. Pl nnin!: 1lan and research a out wage trends, la or market conditions, union demands and other personnel enefits. -orecasting manpower needs etc. +. Or! ni*in!: %rganizing manpower and material resources y creating authorities and responsi ilities for the achievement of organizational goals and o !ectives. ,. 't ffin!: Recruitment 5 Selection 4. Dire#tin!: 'ssuance of orders and instructions, providing guidance and motivation of employees to follow the path laid)down. 0' C"n!r"lling: Reg"lating personnel acti%ities and policies according to plans' O#ser%ations and comparisons of de%iations Oper tion l F%n#tions of HRM *. Pro#%rement: 1lanning, Recruitment and Selection, 'nduction and 1lacement +. De)elopment: "raining, (evelopment, =areer planning and counseling. ,. Compens tion: >age and Salary determination and administration 4. Inte!r tion: 'ntegration of human resources with organization. 6. M inten n#e: Sustaining and improving working conditions, retentions, employee communication 1' Se%ara!i"n#: Managing separations ca"sed #y resignations2 terminations2 lay offs2 death2 medical sic3ness etc' CHA44ENGE' OF HRM IN INDIAN ECONOM5 or CHA44ENGE' OF MODERN MANAGEMEN/ *. G l o & l i * t i o n : - Browing internationalization of usiness has its impact on HRM in terms of pro lems of unfamiliar laws, languages, practices, competitions, attitudes, management styles, work ethics and more. HR managers have a challenge to deal with more functions, more heterogeneous functions and more involvement in employee&s personal life. &' C " r % " r a ! e R e - " r g a n i ( a ! i " n # : - Re"rgani(a!i"n rela!e# !" )erger# an* a +ui#i!i"n#, -"in! .en!ure#, !a/e ".er, in!ernal re#!ru !uring "$ "rgani(a!i"n#' In !0e#e #i!ua!i"n#, i! i# *i$$i ul! !" i)agine ir u)#!an e# !0a! %"#e a grea!er 0allenge $"r HRM !0an re"rgani(a!i"n# i!#el$' I! i# a 0allenge !" )anage e)%l"1ee#2 an3ie!1, un er!ain!ie#, in#e uri!ie# an* $ear# *uring !0e#e *1na)i !ren*#' 4' N e 5 O r g a n i ( a ! i " n a l $ " r ) # : - T0e 6a#i 0allenge !" HRM ")e# $r") !0e 0anging 0ara !er "$ ")%e!i!i"n#' T0e ")%e!i!i"n i# n"! 6e!5een in*i.i*ual $ir)# 6u! 6e!5een "n#!ella!i"n# "$ $ir)' Ma-"r ")%anie# are "%era!ing !0r"ug0 a ")%le3 5e6 "$ #!ra!egi allian e#, $"rging# 5i!0 l" al #u%%lier#, e! ' T0e#e rela!i"n#0i%# gi.e 6ir!0 !" ")%le!el1 ne5 $"r)# "$ "rgani(a!i"nal #!ru !ure, 50i 0 0ig0l1 *e%en* u%"n a regular e3 0ange "$ %e"%le an* in$"r)a!i"n' T0e 0allenge $"r HRM i# !" "%e 5i!0 !0e i)%li a!i"n# "$ !0e#e ne5l1 ne!5"r/e* rela!i"n# )"re an* )"re, in %la e "$ )"re ")$"r!a6le 0ierar 0i al rela!i"n#0i%# !0a! e3i#!e* 5i!0in !0e "rgani(a!i"n# $"r age# in !0e %a#!' 4. C 2 n ! i n ! D e m o ! r p 2 i # s o f 6 o r 1 f o r # e : - =hanges in workforce are largely reflected y dual career couples, large chunk of young lood etween age old superannuating employees, working mothers, more educated and aware workers etc. "hese dynamic workforces have their own implications for HR managers and from HRM point of view is a true challenge to handle. 6. C 2 n ! e - e m p l o $ e e e + p e # t t i o n s : - >ith the changes in workforce demographics, employee e;pectations and attitudes have also transformed. "raditional allurements like !o security, house, and remunerations are not much attractive today, rather employees are demanding empowerment and equality with management. Hence it is a challenge

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for HRM to redesign the profile of workers, and discover new methods of hiring, training, remunerating and motivating employees. 78 N e 3 I n - % s t r i l R e l t i o n s A p p r o # 2 : - 'n today&s dynamic world, even unions have understood that strikes and militancy have lost their relevance and unions are greatly affected y it. "he trade union mem ership has fallen drastically worldwide and the future of la or movement is in danger. "he challenge efore HRM is to adopt a proactive industrial relations approach which should ena le HR specialist to look into challenges unfolding in the future and to e prepared to convert them into opportunities. ,8 R e n e 3 e - P e o p l e F o # % s : - "he need of today&s world and usiness is the people&s approach. "he structure, strategy, systems approach which worked in post war era is no more relevant in today&s economic environment which is characterized y over capacities and intense competition. "he challenge of HR manager is to focus on people and make them !ustifia le and sustaina le. 8. M n ! i n ! t 2 e M n ! e r s : - Managers are unique tri e in any society, they elieve they are class apart. "hey demand decision)making, ossism, and operational freedom. However in the post li eralization era, freedom given to managers is grossly misused to get rid of talented and hard working !uniors. "he challenge of HRM is how to manage this tri eC How to make them realize that the freedom given to them is to ena le them make quick decisions in the interest of the organization and not to resort to witch)hunting. :. 6 e 1 e r ' o # i e t $ i n t e r e s t s : - 3nother challenge for HRM is to protect the interest of weaker sections of society. "he dramatic increase of women workers, minorities and other ackward communities in the workforce has resulted in the need for organizations to ree;amine their policies, practices and values. 'n the name of glo al competition, productivity and quality the interests of the society around should not e sacrificed. 't is a challenge of today&s HR managers to see that these weaker sections are neither denied their rightful !o s nor are discriminated against while in service. *<. C o n t r i & % t i o n t o t 2 e s % # # e s s o f o r ! n i * t i o n s : - "he iggest challenge to an HR manager is to make all employees contri ute to the success of the organization in an ethical and socially responsi le way. .ecause society&s well eing to a large e;tent depends on its organizations. STRATEGIC HUMAN RESOURCE MANAGEMENT: 'tr te!$: “Strategy is a way of doing something. 't includes the formulation of goals and set of action plans for accomplishment of that goal.$ 'tr te!i# M n !ement: “3 1rocess of formulating, implementing and evaluating usiness strategies to achieve organizational o !ectives is called Strategic Management$ 7e$ini!i"n "$ S!ra!egi Manage)en!: “Strategic Management is that set of managerial decisions and actions that determine the long)term performance of a corporation. 't includes environmental scanning, strategy formulation, strategy implementation and evaluation and control.$ "he study of strategic management therefore emphasizes monitoring and evaluating environmental opportunities and threats in the light of a corporation&s strengths and weaknesses. 'teps in 'tr te!i# M n !ement: *. E n ) i r o n m e n t l ' # n n i n ! : 3nalyze the %pportunities and "hreats in 9;ternal 9nvironment +. ' t r t e ! $ F o r m % l t i o n : -ormulate Strategies to match Strengths and >eaknesses. 't can e done at =orporate level, .usiness ?nit 0evel and -unctional 0evel. ,. ' t r t e ! $ I m p l e m e n t t i o n : 'mplement the Strategies 4. E ) l % t i o n " C o n t r o l : 9nsure the organizational o !ectives are met. IMPORTANCE 8 BENEFITS OF STRATEGIC MANAGEMENT • 3llows identification, prioritization and e;ploration of opportunities. • 1rovides an o !ective view of management pro lems. • Represents framework for improved co)ordination and control • Minimizes the effects of adverse conditions and changes • 3llows ma!or decisions to etter support esta lished o !ectives • 3llows more effective allocation of time and resources • 3llows fewer resources and lesser time devoted to correcting ad hoc decisions • =reates framework for internal communication • Helps to integrate the individual ehaviors • 1rovides asis for the clarification of responsi ilities • 9ncourages forward thinking • 9ncourages favora le attitude towards change. ROLE OF HRM IN STRATEGIC MANAGEMENT Role in 'tr te!$ Form%l tion: HRM is in a unique position to supply competitive intelligence that may e useful in strategy formulation. (etails regarding advanced incentive plans used y competitors, opinion survey data from employees, elicit information a out customer complaints, information a out pending legislation etc. can e provided y HRM. ?nique HR capa ilities serve as a driving force in strategy formulation. Role in 'tr te!$ Implement tion: HRM supplies the company with a competent and willing workforce for e;ecuting strategies. 't is important to remem er that linking strategy and HRM effectively requires more than selection from a series of practice choices. "he challenge is to develop a configuration of HR practice choices that help implement the organization&s strategy and enhance its competitiveness. HUMAN RESOURCE DE E!OPMENT Definition 1: Organizing and enhancing capacities to produce. HR( is a process of organizing and enhancing the physical, mental and emotional capacities of individuals for productive work. Definition 2: Bring possibility of performance and growth HR( means to ring a out the possi ility of performance improvement and individual growth. Human resource development is a process to help people to acquire competencies and to increase their knowledge, skills and capa ilities for etter performance and higher productivity. Pr"a !i.e HR7 S!ra!egie# $"r l"ng !er) %lanning an* gr"5!0 'n today&s fast changing, challenging and competitive environment HR( has to take a proactive approach that is to seek preventive care in human relations. ?sing HR( strategies ma;imizations of efficiency and productivity could e achieved through qualitative growth of people with capa ilities and potentialities to grow and develop. HR( is always a function of

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proper utilization of creative opportunities and availa le environment through acquisition of knowledge, skills and attitudes necessary for productive efforts. 0ong)term growth can also e planned y creating highly inspired groups of employees with high aspirations to diversify around core competencies and to uild new organizational responses for coping with change. 3 proactive HR( strategy can implement activities that are geared up and directed at improving personal competence and productive potentialities of human resources. -ollowing strategic choices can e considered which would help today&s organizations to survive and grow. C2 n!e M n !ement: Manage change properly and ecome an effective change agent rather than eing a victim of change itself. 9 l%es: 3dopt proactive HR( measures, which encourage values of openness, trust, autonomy, proactivity and e;perimentation. M +imi*e pro-%#ti)it$ n- effi#ien#$: "hrough qualitative growth of people with capa ilities and potentialities to grow and develop thrive to ma;imize productivity and efficiency of the organization. A#ti)ities -ire#te- to #ompeten#e &%il-in!: HR( activities need to e geared up and directed at improving personal competence and productive potentialities of manpower resources. /EAM EFFEC/I9ENE'' 62 t is t2e -efinition of te m: 3 team is defined as a reasona ly small group of people, who ring to the ta le a set of complementary and appropriate skills, and who hold themselves mutually accounta le for achieving a clear and identifia le set of goals. /e ms # n &e )er$ effe#ti)e8 'n many situations teams can achieve more than individuals working on their own. "eams can ring to ear a wider range of skills and e;perience to solve a pro lem. "eams also produce etter quality decisions. >hen a team has een working on a pro lem, and they have a sense of commitment to the common solution 62 t -o 3e me n &$ te m effe#ti)eness: • 3 team can e considered to e effective if their output is !udged to meet or e;ceed the e;pectations of the people who receive the output. 1roducing a quality output is not enough to !udge the effectiveness of the team. • "he second criteria, is that the team should still e a le function effectively after they have completed their task. 't should not e torn apart y dissension. • -inally, effectiveness is !udged y whether the team feels satisfied with its efforts. 'f the team mem ers are pleased with their efforts, if the e;perience has een a good one, if time spent away from their normal work has een worth the effort, the team has likely een effective. 62 t t2en re t2e f #tors t2 t #ontri&%te to3 r-s n effe#ti)e te m: "here are three areas of group ehavior that must e addressed for teams to e effective. "he team must work hard. "he effort that the team puts in to get the !o done is dependent on whether the nature of the task motivates the mem ers of the team and whether the goals are challenging."he team must have the right mi; of skills to ring to the ta le. "hese skills include technical, pro lem solving and interpersonal skills. "he team must e a le to develop appropriate approaches to pro lem solving. "his depends on developing a plan of attack and using appropriate techniques for analysis. "he following factors contri ute to hard work, skill development and effective pro lem solving strategiesD /2e t s1 itself s2o%l- &e moti) tin!8 • "he task itself should e seen as eing worthwhile. 't needs to e a whole piece of work with a clear and visi le outcome so that people can feel a sense of ownership. • "he outcome of the task should e perceived as eing important to other peopleEs lives. 't should affect others in the organization or impact on the e;ternal customer. • "he !o should provide the team with an opportunity for self)regulation. "hey should decide how the work is to e done. Meaningful feed ack should e provided on the how well the team is performing. /2e te m nee-s #2 llen!in! !o ls; 32i#2 re #le rl$ -efine-8 • >hen challenging goals are set the team will mo ilize its efforts to find innovative ways to achieve feats that may have een considered impossi le. 1roviding a challenging !o is the most important motivator to sustain group effort. • Boals provide a sense of direction to the team so that when conflict occurs it is possi le to channel the conflict more constructively y returning to the goals for direction. • "he team needs to uy in to the goals. "hey must have the opportunity to uy in and commit to achieving the goals. Boals need to e challenging, ut not impossi le to achieve. "hey also need to e measura le so that progress towards achieving them can e monitored and results confirmed. Re3 r-s re import nt8 • "he rewards need to suit the personal characteristics of the people on the team. • >hatever form the reward takes, it is important that group effort e recognized. %ne should avoid the destructive effect of trying to single out individuals from the group, when there has een a group effort. • Rewards merely reinforce these conditions for fostering group effort. /2e te m s2o%l- 2 )e t2e ri!2t mi+ of s1ills . • "he right mi; of skills should e rought to the task at hand. 't is also a question of carefully reviewing the !o to determine what relevant skills is required and selecting staff so that the team has the right alance. 1roviding relevant training then makes up any shortfall in skills. • "echnical skills are required. -or teams who are trying to improve a process that cuts across department oundaries, each function should e represented. %ne should achieve a alance of skills. "his means avoiding having a preponderance of skills and e;perience in one specialized area. Sheer num ers may weigh the solution towards the dominant group. • 'n the case of permanent work teams it is likely that team mem ers will not have all the task relevant skills at the onset. >hen the group is new, it is likely that mem ers will ring narrow skills learned in their old roles. "hey will need to develop roader skills for the new !o . "o ensure that this is done, training and coaching should e provided. • "he mem ers of the team need to have pro lem solving and decision)making skills as well as technical skills. >hen a usiness is making its first venture into team ased work, it is likely that people will not have a good grasp of the techniques related to pro lem analysis and solution. • "hese relevant skills must e acquired, so it will e necessary to provide training. %ver a period of time staff will ecome e;perienced in pro lem solving techniques and the organization will develop a repertoire of skills among the staff so this training will not always e necessary. • 'nterpersonal skills are also important. "his is not as o vious as it may sound. Most people do not listen well. 0istening is much more than eing quiet when some else is talking. 3ctive listening is required. Many people do not speak to the point ut ram le on or go off at a tangent. Most people do not take criticism well and tend to e defensive a out their own opinions. <

A!ree on #o-e of #on-%#t. • 3t the eginning of the team pro!ect it is important to develop a code of conduct for meetings. "he team needs to agree on a set of rules to ensure that their efforts are purposeful and that all mem ers contri ute to the work. • "he most critical rules pertain to attendance, open discussion, using an analytical approach, not pulling rank over other mem ers, planning the work and sharing work assignments. "his will ensure that the work is done well and done on time. /2e te m m%st -e)elop effe#ti)e pro&lem sol)in! str te!ies8 • -or the team to e a le to develop an appropriate strategy, it must have a clear definition of the pro lem, know what resources it has availa le and the limits, and understand the e;pectations. 't must then develop a pro lem)solving plan, ased on the approach suggested in the section on continuous improvement. • >hen this does not happen, people are passive. "heir skills and knowledge are not utilized and they waste their time. 'pe#i l te ms 2 )e spe#i l iss%es8 -rom the perspective of organisational improvement we are interested in three types of teams. %ne is the pro lem solving team, another is the work team and then there is the senior management team.1ro lem solving teams are set up with a clearly defined task to investigate a pro lem and recommend a solution. Sometimes the same team will go on to implement the solution. >hen their task is completed the team is dis anded and mem ers go ack to their normal organisational duties. • "here are two important issues facing these teams. %ne is getting started and the other is handing over the recommendations for implementation. "he key to getting started is to ensure that the team is committed to achieving an agreed set of goals. Boals serve to focus the teamEs effort. • 'mplementation is important. 't will not !ust happenF it must e planned. "he implementers must e rought into the solution stage so that they develop a sense of ownership towards the solution and uy into it. "he est way to do this is to have the pro lem solving team do the implementation. • 3nother approach is to phase the implementers into the team so that the mem ership changes prior to the implementation. >hatever approach is used one should remem er that the idea is to implement a solution and not to produce a report. • >ork teams are different in that they are a fi;ed part of the organization. "hey have an ongoing function, which is to control a set of activities that make up a discrete operation in the overall usiness process. "hey need to focus on the critical factors in their process and to control these factors to ensure a quality product. HUMAN RESOURCE P!ANNING " H R P # Definition 1: - Need, Availability, Supply !emand “HR1 includes estimation of how many qualified people are necessary to carry out the assigned activities, how many people will e availa le, and what, if anything, must e done to ensure personnel supply equals personnel demand at the appropriate point in the future.$ Definition 2: - "ight numbers, #apability, Organization Ob$ectives “HR1 is a 1rocess, y which an organization ensures that it has the right num er and kind of people at the right place, at the right time, capa le of effectively and efficiently completing those tasks that will help the organization achieve its overall o !ectives.$ Definition 3: - %ranslation of ob$ectives into &" numbers “HR1 is a process of translating organizational o !ectives and plans into the num er of workers needed to meet those o !ectives.$ MEANING = P>RPO'E OF HRP • 'n simple words HR1 is understood as the process of forecasting an organization&s future demand for and supply of the right type of people in the right num ers. • 't is only after HR1 is done, that the company can initiate and plan the recruitment and selection process. • HR1 is a su )system in the total organizational planning. • HR1 facilitates the realization of the company&s o !ectives y providing right type and right num er of personnel. • HR1 is important ecause without a clear)cut manpower planning, estimation of a organization&s human resource need is reduced to mere guesswork. NEE7 8 IMPORTANCE OF HRP F o r e # s t f % t % r e p e r s o n n e l n e e - s : "o avoid the situations of surplus or deficiency of manpower in future, it is important to plan your manpower in advance. -or this purpose a proper forecasting of futures usiness needs helps you to ascertain our future manpower needs. -rom this angle, HR1 plays an important role to predict the right size of manpower in the organization. C o p e 3 i t 2 # 2 n ! e : HR1 ena les an enterprise to cope with changes in competitive forces, markets, technology, products and government regulations. Such changes generate changes in !o content, skills demands and num er of human resources required. C r e t i n ! 2 i ! 2 l $ t l e n t e - p e r s o n n e l : Since !o s are ecoming highly intellectual and incum ents getting vastly professionalized, HR1 helps prevent shortages of la or caused y attritions. -urther technology changes would further upgrade or degrade !o s and create manpower shortages. 'n these situations only accurate human resource planning can help to meet the resource requirements. -urther HR1 is also an answer to the pro lems of succession planning. P r o t e # t i o n o f 3 e 1 e r s e # t i o n s : 3 well)conceived personnel planning would also help to protect the interests of the S=GS", physically handicapped, children of socially oppressed and ackward classes who en!oy a certain percentage of employments notwithstanding the constitutional provisions of equal opportunity for all. I n t e r n a t i o n a l s t r a t e $ i e s : )nte!national e*pansion st!ate ies la! ely $epen$ %pon e##ective HR+. ,ith !o-in t!en$s to-a!$s lo'al ope!ations" the nee$ #o! HR+ #%!the! 'ecomes mo!e impo!tant as the nee$ to inte !ate HR+ mo!e closely into the o! ani(ation .eeps !o-in . This is also 'eca%se the p!ocess o# meetin sta##in nee$s #!om #o!ei n co%nt!ies !o-s in a comple* manne!. / o % n $ a t i o n o # p e ! s o n n e l # % n c t i o n s 0 HRP %rovi&es essential in'or(ation 'or &esi$nin$ an& i(%le(entin$ %ersonnel ')nctions s)c* as recr)it(ent+ selection+ %ersonnel &evelo%(ent+ trainin$ an& &evelo%(ent etc, I n # r e s i n ! i n ) e s t m e n t s i n H R : 3nother importance is the investment that an organization makes in human capital. 't is important that employees are used effectively throughout their careers. .ecause human assets can increase the organization value tremendously as opposed to physical assets R e s i s t n # e t o # 2 n ! e " m o ) e : "he growing resistance towards change and move, self evaluation, loyalty and dedication making it more difficult to assume that organization can move its employees everywhere. Here HR1 ecomes very important and needs the resources to e planned carefully. O t 2 e r & e n e f i t s : -ollowing are the other enefits of HR1. *. ?pper management has a etter view of HR dimensions of usiness +. Management can anticipate im alances efore they ecome unmanagea le and e;pensive.

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,. More time is provided to locate talent 4. .etter opportunities e;ists to include women and minorities in future growth plans 6. .etter planning of assignments to develop managers 7. Ma!or and successful demands on local la or markets can e made. HRP '5'/EM HR4 System as s"ch incl"des follo5ing elements or sets for planning %verall %rganization % !ectives .usiness 9nvironment -orecasting Manpower Heeds 3ssessing Manpower Supply Matching Manpower (emand)Supply factors .ased on these elements we can draw “HR1 System 3rchitecture$ as under.

1%siness Envi!onment

O! ani(ation O'2ectives 3 Goals

Manpo-e! /o!ecast

Manpo-e! S%pply Assessment

Manpo-e! +!o !ammin Manpo-e! )mplementation Cont!ol 3 Manpo-e! Eval%ation

S%!pl%s Manpo-e!

Sho!ta e o# Manpo-e!

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HRP PROCE'' Or! ni* tion l O&(e#ti)es " Poli#ies: "he o !ectives of HR plan must e derived from organizational o !ectives like specific requirements of num ers and characteristics of employees etc. HR1 needs to su )serve the overall o !ectives y ensuring availa ility and utilization of human resources. Specific policies need to e formulated to address the following decisions. • 'nternal Hiring or 9;ternal HiringC • "raining 5 (evelopment plans • ?nion =onstraints • 2o enrichment issues • Rightsizing organization • 3utomation needs • =ontinuous availa ility of adaptive and fle;i le workforce M npo3er Dem n- Fore# stin!: 't is the process of estimating the future quantity and quality of people required. "he asis should e annual udget and long term corporate plans 4eman$ #o!ecastin sho%l$ 'e 'ase$ on #ollo-in #acto!s. Internal Factors: • .udget constraints • 1roduction levels • Hew products and services • %rganizational structure • Employee sepa!ation External Factors: • =ompetition environment • 9conomic climate • 0aws and regulatory odies • "echnology changes • Social -actors Reasons for Manpower Demand Forecasting: • "o quantify !o s • "o determine the Staff)mi; • "o assess staffing levels and avoid unnecessary costs • 1revent shortages of people • Monito! compliances o# le al !e5%i!ements -ith !e a!$s to !ese!vations Man%"5er F"re a#!ing Te 0ni+ue#: M n !ement @%-!ment: 'n this techniques managers across all the levels decide the forecast on their own !udgment. "his can e ottom)up or top)down approach and !udgments can e reviewed across departments, divisions and top management can conclude on final num ers of manpower required. R tion-/ren- An l$sis: "his technique involves studying past ratios, and forecasting future ratios making some allowance for changes in the organization or its methods. 6or1 't%-$ /e#2niA%es: 't is possi le when work measurement to calculate the length of operations and the amount of manpower required. "he starting point can e production udget, followed y standard hours, output per hourF man)hours required etc could e computed. Delp2i /e#2niA%es: "his technique solicits estimates from a group of e;perts, and HR1 e;perts normally act as intermediaries, summarizes various responses and report the findings ack to e;perts. Flo3 Mo-els: "his technique involves the flow of following components. (etermine the time required, 9sta lish categories, =ount annual movements, 9stimate pro a le transitions. Here demand is a function of replacing those who make a transition. M npo3er '%ppl$ Fore# stin!: "his process measures the num er of people likely to e availa le from within and outside the organization after making allowance for a senteeism, internal movements and promotions, wastages, changes in hours and other conditions of work. Reasons for Manpower Supply Forecasting: • =larify Staff)mi;es e;ist in the future • 3ssess e;isting staff levels • 1revent shortages • Monitor e;pected future compliance of legal requirements of !o reservations Supply Analysis covers: E+istin! H%m n Reso%r#es: HR 3udits facilitate analysis of e;isting employees with skills and a ilities. "he e;isting employees can e categorized as skills inventories @non)managersA and managerial inventories @managersA S'ill inventory would include the following( • 1ersonal data • Skills • Special Iualifications • Salary • 2o History • =ompany data • =apa ilities • Special p!e#e!ences )anagement inventories would include the following • >ork History • Strengths • >eaknesses • 1romotion 1otential • =areer Boals

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• 1ersonal (ata • Hum er and "ypes of Su ordinates • "otal .udget Managed • +!evio%s Mana ement 4%ties Internal Supply: 'nternal supply techniques help to assess the following • 'nflows and outflows @transfers, promotions, separations, resignations, retirements etc.A • "urnover rate @Ho. %f separations p.a. G 3verage employees p.a. J *<<A • =onditions of work @working hours, overtime, etc.A • 3 senteeism @leaves, a sencesA • 1roductivity level • 6o' movements (6o' !otations o! c!oss #%nctional %tili(ations) E+tern l '%ppl$: 9;ternal sources are required for following reasons • Hew lood, • Hew e;periences • Replenish lost personnel • %rganizational growth • (iversification 9;ternal sources can e colleges and universities, consultants, competitors and unsolicited applications. HR +lan )mplementation0 7 A series of action programs are initiated as a part of HR plan implementation as "nder' R e # r % i t m e n t " ' e l e # t i o n : 9mployees are hired against the !o vacancies. .ased on the manpower demand and supply forecasts made, hiring of employees is initiated ased on supply forecasts. -or this internal and e;ternal sources of manpower are utilized. 3 formal selection oard is esta lished to interview and select the est of the candidates for the required vacancies. -inally the selected employees also need to e placed on proper !o s. Here some companies recruit employees for specific !o s while others recruit fresh trainees in large num er and train them for future manpower needs. / r i n i n ! n - D e ) e l o p m e n t : "he training and development program is charted out to cover the num er of trainees, e;isting staff etc. "he programs also cover the identification of resource personnel for conducting development program, frequency of training and development programs and udget allocation. Retr inin! n - R e - e p l o $ m e n t B Hew skills are to e imparted to e;isting staff when technology changes or product line discontinued. 9mployees need to e redeployed to other departments where they could e gainfully employed. R e t e n t i o n P l n : Retention plans cover actions, which would reduce avoida le separations of employees. ?sing compensation plans, performance appraisals, avoiding conflicts, providing green pastures etc, can do this. D o 3 n s i * i n ! p l n s : >here there is surplus workforce trimming of la or force will e necessary. -or these identifying and managing redundancies is very essential. M n ! e r i l ' % # # e s s i o n P l n n i n ! B Methods of managerial succession plans may vary. Most successful programs seem to include top managements involvement and commitment, high)level review of succession plans, formal performance assessment and potential assessment and written development plans for individuals. 3 typical succession planning involves following activities. • 3nalysis of demand for managers and professionals • 3udit of e;isting e;ecutives • 1ro!ection of future likely supply from internal and e;ternal sources • 'ndividual career path planning • =areer counseling • 3ccelerated promotions • 1erformance related training and development • Strategic recruitment C"n!r"l 8 E.alua!i"n "$ HRP: HR 1lan must also clarify responsi ilities for control and esta lish reporting procedures, which will ena le achievements to e monitored against the plan. "he HR 1lan should include udgets, targets and standards. "hese plans may simply e reports on the num ers employed, recruited against targets etc. '>CCE''ION P4ANNING Me nin! of '%##ession Pl nnin! Succession planning is the process or activities connected with the succession of persons to fill key positions in the organization hierarchy as vacancies arise. "he focus of attention is towards Kwhich& person the succession planning is needed. "he focus is not more on career development ut it is more towards what kind of person is required to fill the future vacancy. Succession planning focuses on identification of vacancies and locating the pro a le successor. -or e;ample in succession planning the key concern can e who will e ne;t =9% or what will happen if the Marketing Manager retires in coming March. Import n#e of '%##ession Pl nnin! • Succession planning helps when there is a sudden need arises due to reason or retirement of a key employee. • 'ndividual employee comes to know in advance the level to which he can rise if he has the a ility and aptitude for it. • 'ndividual employee or successor feels happy when he feels that organization is taking care of his talents and aspirations. • Succession planning helps create loyalty towards the organization and improved motivation and morale of individual employees. • %rganization gains sta le workforce and low employee turnover. • ?ltimately organization ecomes successful in accomplishing its goals effectively. CAREER P4ANNING =areer planning is the process or activities offered y the organization to individuals to identify strengths, weaknesses, specific goals and !o s they would like to occupy. =areer as a concept means a lifelong sequences of professional, educational and developmental e;periences that pro!ects an individual through the world of work. 't is a sequence of positions occupied y a person during his life. =areer may also e defined as amalgamation of changes in values, attitudes and motivation that occurs as a person grows older.

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'n career planning, organization is concerned with strategic questions of career development. -urther the organization is concerned a out if it should employ more graduates, more engineers, more scientists or more accountants etc. =areer planning provides picture of succession plan for employees as per organizational needs. 't focuses on the asis of performance, e;perience, could e placed where, when and how. =areer planning is a process of integrating the employees& needs and aspirations with organizational requirements. O&(e#ti)es of C reer Pl nnin! *. .uild commitment in the individual +. (evelop long)range perspective ,. Reduce personal turnover e;penses 4. 0essen employee o solescence 6. 9nsure organizational effectiveness 7. 3llow individual to achieve personal and work related goals. Import n#e of C reer Pl nnin! =areer planning is important ecause it helps the individual to e;plore, choose and strive to derive satisfaction with his own career o !ectives.

@OD ANA45'I' @OD: “2o is a Kgroup of tasks to e performed everyday.$ @OD ANA45'I' Definition 1: *+rocess of #ollecting Information, “2o 3nalysis is a process of studying and collecting information relating to operations and responsi ilities of a specific !o . "he immediate products of this analysis are K2o (escription& and K2o Specifications&.$ Definition 2: *Systematic -.ploration of Activities, “2o 3nalysis is a systematic e;ploration of activities within a !o . 't is a asic technical procedure that is used to define duties and responsi ilities and accounta ilities of the !o .$ Definition 3: *Identifying /ob "e0uirements, “2o is a collection of tasks that can e performed y a single employee to contri ute to the production of some product or service, provided y the organization. 9ach !o has certain a ility requirements @as well as certain rewardsA associated with it. 2o 3nalysis is a process used to identify these requirements.$ MEANING OF @OD ANA45'I' 2o 3nalysis is a process of collecting information a out a !o . "he process of !o analysis results into two sets of data. • 2o (escription • 2o Specification 3s a result 2o analysis involves the following steps in a logical order. Steps of o! Analysis *. =ollecting and recording !o information +. =hecking the !o information for accuracy ,. >riting !o description ased on information collected to determine the skills, knowledge, a ilities and activities required 4. ?pdating and upgrading this information P>RPO'E OF @OD ANA45'I': • H % m n R e s o % r # e P l n n i n ! . H R P 0 : ) "he num ers and types of personnel are determined y the !o s, which need to e staffed. 2o related information in the form of 2o 3nalysis serves this purpose or use. • R e # r % i t m e n t " ' e l e # t i o n : ) Recruitment precedes !o analysis. 't helps HR to locate places to o tain employees. 't also helps in etter continuity and planning in staffing in the organization. 3lso selecting a good candidate also requires detailed !o information. .ecause the o !ective of hiring is to match the right candidate for right !o • / r i n i n ! " D e ) e l o p m e n t : "raining and development programs can e designed depending upon !o requirement and analysis. Selection of trainees is also facilitated y !o analysis. • @ o & E ) l % t i o n : 2o evaluation means determination of relative worth of each !o for the purpose of esta lishing wage and salary credentials. "his is possi le with the help of !o description and specificationsF i.e. 2o 3nalysis. • R e m % n e r t i o n : 2o analysis also helps in determining wage and salary for all !o s. • P e r f o r m n # e A p p r i s l : 1erformance appraisal, assessments, rewards, promotions, is facilitated y !o analysis y way of fi;ing standards of !o performance. • P e r s o n n e l I n f o r m t i o n : 2o analysis is vital for uilding personnel information systems and processes for improving administrative efficiency and providing decision support. • ' f e t $ " H e l t 2 : 2o 3nalysis helps to uncover hazardous conditions and unhealthy environmental factors so that corrective measures can e taken to minimize and avoid possi ility of human in!ury. PROCE'' OF @OD ANA45'I' Pro#ess 1: Strategic =hoices Pro#ess 2: =ollecting 'nformation Pro#ess 3: 1rocessing 'nformation Pro#ess <: 2o (escription Pro#ess ?: 2o Specification 'tr te!i# C2oi#es: E x t e n t o f i n v o l v e m e n t o f e m p l o y e e s : 9;tent of employee involvement is a de ata le point. "oo much involvement may result in ias in favor of a !o in terms of inflating duties and responsi ilities. "oo less involvement leads to suspicion a out the motives ehind the !o . .esides it may also lead to inaccurate information. Hence e;tent of involvement depends on the needs of the organization and employee. " e v e l o f d e t a i l s o f # o ! a n a l y s i s : "he nature of !o s eing analyzed determines the level of details in !o analysis. 'f the purpose were for training programs or assessing the worth of !o , levels of details required would e great. 'f the purpose is !ust clarification the details required would e less. $ i m i n g a n d f r e % u e n c y o f o ! A n a l y s i s : >hen do you do 2o 3nalysisC • 'nitial stage, for new organization • Hew 2o is created E

• =hanges in 2o , "echnology and 1rocesses • (eficiencies and (isparities in 2o • Hew compensation plan is introduced • ?pdating and upgrading is required. & a s t - o r i e n t e d a n d f u t u r e - o r i e n t e d o ! A n a l y s i s : -or rapidly changing organization more future oriented approach would e desired. -or traditional organizations past oriented analysis would e required. However more future oriented analysis may e derived ased on past data. S o u r c e s o f o ! D a t a : -or !o analysis num er of human and non)human sources is availa le esides !o holder himself. -ollowing can e sources of data availa le for !o analysis. Non-H%m n 'o%r#es H%m n 'o%r#es 9;isting !o descriptions and specifications 2o 3nalysis 9quipment maintenance records 2o 'ncum ents 9quipment design lueprints Supervisors 3rchitectural lueprints of work area 2o 9;perts -ilms of employee working "raining manuals and materials Magazines, newspapers, literatures Colle#tin! Inform tion: 'nformation collection is done on the asis of following , parameters %ypes of !ata for /ob Analysis1 • >ork 3ctivities @"asks detailsA • 'nterface with other !o s and equipments @1rocedures, .ehaviors, MovementsA • Machines, "ools, 9quipments and >ork 3ids @0ist, Materials, 1roducts, ServicesA • 2o =onte;t @1hysical, Social, %rganizational, >ork scheduleA • 1ersonal Requirement @Skills, 9ducation, "raining, 9;perienceA )ethods of !ata #ollection1 • % servation • 'nterview • Iuestionnaires • =hecklists • "echnical =onference • (iary Methods 2ho to #ollect !ata3 • "rained 2o 3nalysts • Supervisors • 2o 'ncum ents Pro#essin! Inform tion: %nce the !o information is collected it needs to e processed, so that it would e useful in various personnel functions. Specifically !o related data would e useful to prepare !o description and specifications, which form the ne;t two processes of !o analysis. ME/HOD' OF DA/A CO44EC/ION: ' ! s e r v a t i o n : 2o 3nalyst carefully o serves the !o holder and records the information in terms of what, how the !o is done and how much time is taken. 't is a simple and accurate method, ut is also time consuming and inapplica le to !o s involving mental activities and uno serva le !o cycles. "he analysts must e fully trained o servers. I n t e r v i e w : 'n this analyst interviews the !o holders, his supervisors to elicit information. 't can e Structured or ?nstructured 'nterview. 3gain this is also a time consuming method in case of large organizations. 1lus there is also a pro lem of ias. ( u e s t i o n n a i r e s : 3 standard questionnaire is given to !o holder a out his !o , which can e filled and given ack to supervisors or !o analysts. "he questionnaire may contain !o title, !o holder&s name, managers name, reporting staff, description of !o , list of main duties and responsi ilities etc. 't is useful in large num er of staffs and less time consuming. However the accuracy of information leaves much to e desired. ) * e c + l i s t s : 't is more similar to questionnaire ut the response sheet contains fewer su !ective !udgments and tends to e either yes or no variety. 1reparation of checklist is a challenging !o itself. $ e c * n i c a l ) o n f e r e n c e : Here a conference of supervisors is used. "he analysts initiate the discussions providing !o details. However this method lacks accuracy. D i a r y M e t * o d s : 'n this method !o holder is required to note down their activities day y day in their diary. 'f done faithfully this technique is accurate and eliminates errors caused y memory lapses etc. F% ntit ti)e Met2o-s of @o& D t Colle#tion: Position An l$sis F%estionn ire .PAF0: 13I is a highly specialized instrument for analyzing any !o in terms of employee activities. "he 13I contains *:4 !o elements on which !o is created depending on the degree to which an element is present. "hese elements are grouped together into 7 categories. *. ? # ?sa ility G ?se of 2o +. ' # 'mportance of 2o ,. " # "ime 4. 1 # 1ossi ility of %ccurrence of 2o 6. 3 # 3pplica ility of 2o 7. S # Specialty "asks of 2o "he primary advantage of 13I is that it can e used to analyze almost every !o . "his analysis provides a comparison of a specific !o with other !o classifications, particularly for selection and remuneration purposes. However 13I needs to e completed y trained !o analysts only rather than incum ents. M n !ement Position Des#ription F%estionn ire .MPDF0: Highly structured questionnaire, containing +<8 elements relating to managerial responsi ilities, demand, restrictions and other position characteristics "hese +<8 elements are grouped under *, categories. 13I and M1(I yield standardized information a out the worker and the !o .

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F%n#tion l @o& An l$sis: 't is a worker oriented !o analytical approach, which attempts to descri e the whole person on the !o . DARRIER' OF @OD ANA45'I' • Support from "op Management • Single means and source, reliance on single method rather than com ination • Ho "raining or Motivation to 2o holders • Acti%ities and 6ata may #e 6istorted @OD DE'CRIP/ION “2o (escription implies o !ective listing of the !o title, tasks, and responsi ilities involved in a !o .$ 2o description is a word picture in writing of the duties, responsi ilities and organizational relationships that constitutes a given !o or position. 't defines continuing work assignment and a scope of responsi ility that are sufficiently different from those of the other !o s to warrant a specific title. 2o description is a road statement of purpose, scope, duties and responsi ilities of a particular !o . Contents of @o& Des#ription *. 2o 'dentification +. 2o Summary ,. 2o (uties and Responsi ilities 4. Supervision specification 6. Machines, tools and materials 7. >ork conditions /. >ork hazards 8. (efinition of unusual terms Form t of @o& Des#ription • 2o "itle • RegionG0ocation • (epartment • Reporting to @%perational and ManagerialA • % !ective • 1rincipal duties and responsi ilities Fe t%res of Goo- @o& Des#ription *. ?p to date +. 1roper 2o "itle ,. =omprehensive 2o Summary 4. =lear duties and responsi ilities 6. 9asily understanda le 7. State !o requirements /. Specify reporting relationships 8. Showcase degrees of difficulties :. 'ndicates opportunities for career development *<. %ffer ird&s)eye)view of primary responsi ilities -O. SPECI/ICATIONS “2o Specification involves listing of employee qualifications, skills and a ilities required to meet the !o description. "hese specifications are needed to do !o satisfactorily.$ 'n other words it is a statement of minimum and accepta le human qualities necessary to perform !o properly. 2o specifications seeks to indicate what kind of persons may e e;pected to most closely appro;imate the role requirements and thus it is asically concerned with matters of selection, screening and placement and is intended to serve as a guide in hiring. Contents of @o& 'pe#ifi# tions *. 1hysical =haracteristics +. 1sychological characteristics ,. 1ersonal characteristics 4. Responsi ilities 6. (emographic features -urther the !o specifications can e divided into three road categories -ssential Attributes !esirable Attributes #ontra4Indicators 5 indicators hampering the success of $ob -O. E A!UATION 2o 9valuation involves determination of relative worth of each !o for the purpose of esta lishing wage and salary differentials. Relative worth is determined mainly on the asis of !o description and !o specification only. 2o 9valuation helps to determine wages and salary grades for all !o s. 9mployees need to e compensated depending on the grades of !o s which they occupy. Remuneration also involves fringe enefits, onus and other enefits. =learly remuneration must e ased on the relative worth of each !o . 'gnoring this asic principle results in inequita le compensation. 3 perception of inequity is a sure way of de)motivating an employee. 2o evaluation is a process of analyzing and assessing the various !o s systematically to ascertain their relative worth in an organization. 2o s are evaluated on the asis of content, placed in order of importance. "his esta lishes 2o Hierarchies, which is a purpose of fi;ation of satisfactory wage differentials among various !o s. 2o s are ranked @not !o holdersA '#ope of @o& E) l% tion "he !o evaluation is done for the purpose of wage and salary differentials, demand for and supply of la or, a ility to pay, industrial parity, collective argaining and the like. Pro#ess of @o& E) l% tion: *. (efining o !ectives of !o evaluation a. 'dentify !o s to e evaluated @.enchmark !o s or all !o sA . >ho should evaluate !o C

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c. >hat training do the evaluators needC d. How much time involvedC e. >hat are the criteria for evaluationC f. Methods of evaluation to e used +. >age Survey ,. 9mployee =lassification 4. 9sta lishing wage and salary differentials. Met2o-s of @o& E) l% tion An l$ti# l Met2o-s • Point R n1in! Met2o-sD (ifferent factors are selected for different !o s with accompanying differences in degrees and points. F #tor Comp rison Met2o-: "he important factors are selected which can e assumed to e common to all !o s. 9ach of these factors are then ranked with other !o s. "he worth of the !o is then taken y adding together all the point values. Non-An l$ti# l Met2o-s • R n1in! Met2o-: 2o s are ranked on the asis of its title or contents. 2o is not roken down into factors etc. • @o& Gr -in! Met2o-: 't is ased on the !o as a whole and the differentiation is made on the asis of !o classes and grades. 'n this method it is important to form a grade description to cover discerni le differences in skills, responsi ilities and other characteristics. Pitf lls of @o& E) l% tion: • 9ncourages employees on how to advance in position when there may e limited opportunities for enhancement as a result of downsizing. • 't promotes internal focus instead of customer orientation • Hot suita le for forward looking organizations, which has trimmed multiple !o titles into two or three road !o s. -O. DESIGN T*e !o$ical Se0)ence to -ob Anal1sis is -ob Desi$n, Definition 1: Integration of wor', rewards and 0ualification “2o (esign integrates work content @tasks, functions, relationshipsA, the rewards and qualifications required including skills, knowledge and a ilities for each !o in a way that meets the needs of employees and the organization.$ 'teps in @o& Desi!n: *. Specification of 'ndividual "asks +. Specification of Methods of "asks 1erformance ,. =om ination of "asks into Specific 2o s to e assigned to individuals F #tors ffe#tin! @o& Desi!n: Or! ni* tion l f #tors: • =haracteristics of "asks @1lanning, 9;ecution and =ontrolling of "askA • >ork -low @1rocess SequencesA • 9rgonomics @"ime 5 Motion StudyA • >ork 1ractices @Set of ways of performing tasksA En)ironment l F #tors: • 9mployee 3 ilities and 3vaila ility • Social and =ultural 9;pectations De2 )ior l Elements: • -eed ack • 3utonomy • ?se of 3 ilities • Lariety /ECHNIF>E' OF @OD DE'IGN: 6 o r 1 ' i m p l i f i # t i o n : 2o is simplified or specialized. "he !o is roken down into small parts and each part is assigned to an individual. "o e more specific, work simplification is mechanical pacing of work, repetitive work processes, working only on one part of a product, predetermining tools and techniques, restricting interaction amongst employees, few skills requirement. >ork simplification is used when !o s are not specialized. @ o & R o t t i o n : >hen incum ents ecome ore of routine !o s, !o rotation is an answer to it. Here !o s remain unchanged, ut the incum ents shift from one !o to another. %n the positive side, it in#re ses t2e intrinsi# re3 rpotenti l of (o& &e# %se of -ifferent s1ills n- &ilities nee-e- to perform it8 >orkers ecome more competent in several !o s, know variety of !o s and improve the self)image, personal growth. -urther the worker ecomes more valua le to the organization. 1eriodic !o changes can improve interdepartmental cooperation. %n the negative side, it may not e much enthusiastic or efficiency may not e more. .esides !o s may not improve the relationships etween task, while activities and o !ectives remain unchanged. -urther training costs also rise and it can also de)motivate intelligent and am itious trainees who seek specific responsi ilities in their chosen specialties. @ o & E n l r ! e m e n t : It me ns e+p n-in! t2e n%m&er of t s1s; or -%ties ssi!ne- to !i)en (o&8 2o enlargement is naturally opposite to work simplification. 3dding more tasks or duties to a !o does not mean that new skills and a ilities are needed. "here is only horizontal e;pansion. 't is with same skills taking additional responsi ilities like e;tending working hours etc. 2o enlargement may involve reaking up of the e;isting work system and redesigning a new work system. -or this employees also need to e trained to ad!ust to the new system. 2o enlargement is said to contri ute to employee motivation ut the claim is not validated in practice. ,enefits of o! Enlargement: *. "ask Lariety +. Meaningful >ork Modules ,. -ull 3 ility ?tilization 4. >orker 1aced =ontrol 6. Meaningful 1erformance -eed ack Disadvantages of o! Enlargement *. High "raining =osts +. Redesigning e;isting work system required ,. 1roductivity may not increase necessarily 4. >orkload increases 12

6. ?nions demand pay#hike 7. 2o s may still remain oring and routine @ o & E n r i # 2 m e n t : 2o enrichment is improvisation of oth tasks efficiency and human satisfaction y uilding into people&s !o s, quite specifically, greater scope for personal achievement and recognition, more challenging and responsi le work and more opportunity for individual advancement and growth. 3n enriched !o will have more responsi ility, more autonomy @vertical enrichmentA, more variety of tasks @horizontal enrichmentA and more growth opportunities. "he employee does more planning and controlling with less supervision ut more self)evaluation. 'n other words, transferring some of the supervisor&s tasks to the employee and making his !o enriched. Denefits of @o& enri#2ment *. 't enefits employee and organization in terms of increased motivation, performance, satisfaction, !o involvement and reduced a senteeism. +. 3dditional features in !o meet certain psychological needs of !o holders due to skill variety, identity, significance of !o etc. ,. 't also adds to employee self)esteem and self)control. 4. 2o enrichment gives status to !o holder and acts as a strong satisfier in one&s life. 6. 2o enrichment stimulates improvements in other areas of organization. 7. 9mpowerment is a y)product of !o enrichment. 't means passing on more authority and responsi ility. Demerits of @o& Enri#2ment *. 0azy employees may not e a le to take additional responsi ilities and power. 't won&t fetch the desired results for an employee who is not attentive towards his !o . +. ?nions resistance, increased cost of design and implementation and limited research on long term effect of !o enrichment are some of the other demerits. ,. 2o enrichment itself might not e a great motivator since it is !o )intrinsic factor. 3s per the two)factor motivation theory, !o enrichment is not enough. 't should e preceded y hygienic factors etc. 4. 2o enrichment assumes that workers want more responsi ilities and those workers who are motivated y less responsi ility, !o enrichment surely de)motivates them 6. >orkers participation may affect the enrichment process itself. 7. =hange is difficult to implement and is always resisted as !o enrichment rings in a changes the responsi ility. A % t o n o m o % s o f ' e l f - D i r e # t e - / e m s : 9mpowerment results in self)directed work teams. 3 self #directed team is an intact group of employees responsi le for whole work segment, they work together, handle day)to)day pro lems, plan and control, and are highly effective teams. H i ! 2 P e r f o r m n # e 6 o r 1 D e s i ! n : 'mproving performance in an environment where positive and demanding goals are set leads to high performance work design. 't starts from the principle of autonomous groups working and developing an approach, which ena les group to work effectively together in situations where the rate of innovation is very high. %perational fle;i ility is important and there is the need for employees to gain and apply new skills quickly with minimum supervision. However due to ureaucracy high performance work design does not work. DE'IGNING @OD' – MO/I9A/ING @OD' "he concept of motivating !o s relates to 2o design. 2o design affects employee productivity, motivation and satisfaction. 2o design is a conscious effort to organize tasks, duties and responsi ilities into a unit of work to achieve certain o !ectives. How a !o design creates a motivating !o can e seen with the help of certain components of !o design, namely, !o rotation, !o enlargement, !o enrichment, work simplification etc. >ork simplification simplifies the !o y reaking down the !o into small parts. Simplified !o s are easy to perform hence employees find it easy to do. "raining requirements are reduced and it enefits the organizations in terms of cost. 2o rotation means movement of employees of !o to !o across the organization. 't improves the intrinsic reward potential of a !o ecause of different skills and a ilities are needed to perform a !o . >orkers ecome more competent in several !o s rather than only one. 't also improves workers self image, provides personal growth and makes workers more valua le to the organization. 1eriodic !o change can improve inter)departmental cooperation. 9mployees ecome more understanding to each other&s pro lems. =onsequently it provides a high level of motivation to employees ecause !o s itself ecome motivators. Hence !o rotation helps the !o ecome more motivating. 2o enlargement involves e;panding num er of tasks or duties assigned to a given !o . 2o enrichment involves improving task efficiency and human satisfaction. 2o enrichment provides greater scope for personal achievement and recognition, more challenging and responsi le work and more opportunity for individual advancement and growth. 3n enriched !o gives vertical enrichment in the form of more responsi ility and autonomy and a horizontal enrichment in the form of variety of tasks and more growth opportunities. "he employee does more planning and controlling with less supervision ut more self)evaluation. 3ll these factors lead to increased level of motivation and hence make the !o s more motivated. =onsidering a ove e;amples, we can say that designing !o s is actually using the relevant and right techniques of !o design, like rotation, enrichment, simplifications and make the !o s more motivating to perform. So we can say that (esigning 2o s is actually creating Motivated 2o s. -O. SATIS/ACTION 2o satisfaction is the result of various attitudes possessed y an employee towards his !o , related factors and life in general. "he attitudes related to !o may e wages, supervision, steadiness, working conditions, advancement opportunities, recognitions, fair evaluation of work, social relations on !o , prompt settlement of grievances etc. 'n short !o satisfaction is a general attitude, which is the result of many specific attitudes in three areas namely, !o factors, individual characteristics and group relationships outside the !o . Components of @o& ' tisf #tion Person l f #tors: Se;, (ependents, 3ge, "imings, 'ntelligence, 9ducation and 1ersonality. @o& in2erent f #tors: "ype of work, Skills, %ccupational status, Beography, Size of plant M n !ement #ontrolle- f #tors: Security, 1ayment, -ringe enefits, 3dvancement opportunities and >orking conditions, =o)workers, Responsi ilities, Supervision @o& ' tisf #tion " De2 )ior rel tions2ip is -es#ri&e- t2ro%!2 follo3in! e+ mples8 Satisfaction 5 "urnover Satisfaction 5 3 senteeism Satisfaction 5 3ccidents Satisfaction 5 2o 1erformance

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2OR3 SAMP!ING 4e#inition 80 Meas)rin$ an& 0)anti'1in$ activities4A (eas)re(ent tec*ni0)e 'or t*e 0)antitative anal1sis o' non-re%etitive or irre$)larl1 occ)rrin$ activit1,4 Meanin o# ,o!. Samplin 2or5 sa(%lin$ is base& on t*e t*eor1 t*at t*e %ercenta$e o' t*e n)(ber o' observations on a %artic)lar activit1 is a reliable (eas)re o' t*e %ercenta$e o' t*e total act)al ti(e s%ent on t*at activit1, 6or1 s mplin! oper tes &$ n o&ser)er t 1in! series of r n-om o&ser) tions on p rti#%l r Ht2in!H of interest .m #2ine; oper tin! room; -o#1; et#80 to o&ser)e its Hst teH .3or1in!; i-le; sleepin!; empt$; et#808 62en eno%!2 s mples re t 1en; n n l$sis of t2e o&ser) tions $iel-s st tisti# ll$ ) li- in-i# tion of t2e st tes for e #2 t2in! n l$*e-8 Ass%me; for e+ mple; t2 t $o% 3is2 to -etermine t2e proportion of time f #tor$ oper tor is 3or1in! or i-le8 Also ss%me t2 t 2GG r n-om o&ser) tions 3ere m -e of t2e oper tor n- -%rin! 2< of t2ese 2e or s2e 3 s o&ser)e- to &e i-le8 /2erefore; $o% fin- t2 t t2e in-i)i-% l is 3or1in! 1,7=2GG I CCJ of t2e time8 A-) nt !es of 6or1 ' mplin!'t is relatively ine;pensive to use and e;tremely helpful in providing a deeper understanding of all types of operations. >hen properly used, it can help pinpoint those areas, which should e analyzed in, further detail and can serve as a measure of the progress eing made in improving operations .F%estions of 3or1 s mplin! st%-$ • • • • >hat is our equipmentGasset utilizationC >hen we are not adding value to the product, how are we spending our timeC How are our inter)dependent systems performingC >here should we focus our continuous improvement activitiesC

Distin#tion &et3een 6or1 s mplin! n- H/ime 't%-iesH • >ork sampling is lower cost ecause it uses random samples instead of continuous o servations.

• • • •

Many operators or machines can e studied y a single o server >ork sampling can span several days or weeks, thus minimizing the effects of day to day load or equipment variations >ork Sampling tends to minimize operator ehavior modification during o servation. ,o!. Samplin " in ene!al" $oes not !e5%i!e a t!aine$ time7st%$y analyst to ta.e the o'se!vations. Also" stop-atches o! othe! timin $evices a!e not !e5%i!e$. Many st%$ies ma.e %se o# o##7shi#t technicians o! ope!ato!s to ta.e the o'se!vations. 2or5 sa(%lin$ Met*o&olo$1

3n analyst R3H(%M0M o serves an activity @equipment, operating room, production lineA and notes the particular states of the activity at each o servation. "he ratio of the num er of o servations of a given state of the activity to the total num er of o servations taken will appro;imate the percentage of time that the activity is in that given state. Hote that random o servations are very critical for a work sampling study. 3 rief e;ample might e that // of *<< o servations showed a machine to e running. >e might then conclude, within certain statistical limits, that the equipment is operational //N of the time. RECRUITMENT 6 SE!ECTION RECR>I/MEN/ Definition Of Re#r%itment: 6inding and Attracting Applications “Recruitment is the 1rocess of finding and attracting capa le applicants for employment. "he 1rocess egins when new recruits are sought and ends when their applications are su mitted. "he result is a pool of application from which new employees are selected.$ MEANING OF RECR>I/MEN/: Recruitment is understood as the process of searching for and o taining applicants for !o s, from among them the right people can e selected. "hough theoretically recruitment process is said to end with the receipt of applications, in practice the activity e;tends to the screening of applications so as to eliminate those who are not qualified for the !o . P>RPO'E AND IMPOR/ANCE OF RECR>I/MEN/: *. (etermine the present and future requirements in con!unction with personnel planning and !o analysis activities +. 'ncrease the pool of !o candidates at minimum cost ,. Help increase success rate of selection process y reducing num er of under)qualified or over)qualified applications. 4. Reduce the pro a ility that !o applicants once selected would leave shortly 6. Meet legal and social o ligations 7. 'dentify and prepare potential !o applicants /. 9valuate effectiveness of various recruitment techniques and sources for !o applicants. FAC/OR' GO9ERNING RECR>I/MEN/ E+tern l F #tors: • (emand and Supply @Specific SkillsA • ?nemployment Rate @3rea)wiseA • 0a or Market =onditions • 1olitical and 0egal 9nvironment @Reservations, 0a or lawsA • 'mage Intern l F #tors • Recruitment 1olicy @'nternal Hiring or 9;ternal HiringCA • Human Resource 1lanning @1lanning of resources requiredA • Size of the %rganization @.igger the size lesser the recruitment pro lemsA • =ost • Browth and 9;pansion 1lans

1<

RECR>I/MEN/ PROCE'' Re#r%itment Pl nnin! • Hum er of contacts • "ypes of contacts Re#r%itment 'tr te!$ De)elopment • Make or .uy 9mployees • "echnological Sophistication • >here to look • How to look Intern l Re#r%itment .'o%r#e 10 • 1resent employees • 9mployee referrals • "ransfers 5 1romotions • -ormer 9mployees • 1revious 3pplicants • 9valuation of 'nternal Recruitment E+tern l Re#r%itment .'o%r#e 20 • 1rofessionals or "rade 3ssociations • 3dvertisements • 9mployment 9;changes • =ampus Recruitment • >alk)ins 'nterviews • =onsultants • =ontractors • (isplaced 1ersons • Radio 5 "elevision • 3cquisitions 5 Mergers • =ompetitors • 9valuation of 9;ternal Recruitment 'e r#2in! • Source activation • Selling • Screening of 3pplications E) l% tion n- Cost Control • Salary =ost • Management 5 1rofessional "ime spent • 3dvertisement =ost • 1roducing Supporting literature • Recruitment %verheads and 9;penses • =ost of %vertime and %utsourcing • =onsultant&s fees E) l% tion of Re#r%itment Pro#ess • Return rate of applications sent out • Suita le =andidates for selection • Retention and 1erformance of selected candidates • Recruitment =ost • "ime lapsed data • 'mage pro!ection IN/ERNA4 RECR>I/MEN/ A-) nt !es Dis -) nt !es *. 0ess =ostly *. %ld concept of doing things +. =andidates already oriented towards +. 't a ets raiding organization ,. =andidates current work may e affected ,. %rganizations have etter knowledge a out 4. 1olitics play greater roles internal candidates 6. Morale pro lem for those not promoted. 4. 9mployee morale and motivation is enhanced EK/ERNA4 RECR>I/MEN/ A-) nt !es Dis -) nt !es *. .enefits of new skills and talents *. .etter morale and motivation associated with +. .enefits of new e;periences internal recruiting is denied ,. =ompliance with reservation policy ecomes +. 't is costly method easy ,. =hances of creeping in false positive and false 4. Scope for resentment, !ealousies, and negative errors heart urn are avoided. 4. 3d!ustment of new employees takes longer time. 'E4EC/ION: MEANING OF 'E4EC/ION: Selection is the process of picking up individuals @out of the pool of !o applicantsA with requisite qualifications and competence to fill !o s in the organization. 3 formal definition of Selection is as under Definition of 'ele#tion: +rocess of differentiating “Selection is the process of differentiating etween applicants in order to identify and hire those with a greater likelihood of success in a !o .$ DIFFERENCE DE/6EEN RECR>I/MEN/ AND 'E4EC/ION:

1?

Re#r%itment *. Recruitment refers to the process of identifying and encouraging prospective employees to apply for !o s. +. Recruitment is said to e positive in its approach as it seeks to attract as many candidates as possi le.

'ele#tion *. Selection is concerned with picking up the right candidates from a pool of applicants. +. Selection on the other hand is negative in its application in as much as it seeks to eliminate as many unqualified applicants as possi le in order to identify the right candidates.

PROCE'' = '/EP' IN 'E4EC/ION *. P r e l i m i n r $ I n t e r ) i e 3 : "he purpose of preliminary interviews is asically to eliminate unqualified applications ased on information supplied in application forms. "he asic o !ective is to re!ect misfits. %n the other hands preliminary interviews is often called a courtesy interview and is a good pu lic relations e;ercise. +. ' e l e # t i o n / e s t s : 2o seekers who past the preliminary interviews are called for tests. "here are various types of tests conducted depending upon the !o s and the company. "hese tests can e 3ptitude "ests, 1ersonality "ests, and 3 ility "ests and are conducted to !udge how well an individual can perform tasks related to the !o . .esides this there are some other tests also like 'nterest "ests @activity preferencesA, Braphology "est @HandwritingA, Medical "ests, 1sychometric "ests etc. ,. E m p l o $ m e n t I n t e r ) i e 3 : "he ne;t step in selection is employment interview. Here interview is a formal and in) depth conversation etween applicant&s accepta ility. 't is considered to e an e;cellent selection device. 'nterviews can e %ne)to)%ne, 1anel 'nterview, or Sequential 'nterviews. .esides there can e Structured and ?nstructured interviews, .ehavioral 'nterviews, Stress 'nterviews. 4. R e f e r e n # e " D # 1 ! r o % n - C 2 e # 1 s : Reference checks and ackground checks are conducted to verify the information provided y the candidates. Reference checks can e through formal letters, telephone conversations. However it is merely a formality and selections decisions are seldom affected y it. 6. ' e l e # t i o n D e # i s i o n : 3fter o taining all the information, the most critical step is the selection decision is to e made. "he final decision has to e made out of applicants who have passed preliminary interviews, tests, final interviews and reference checks. "he views of line managers are considered generally ecause it is the line manager who is responsi le for the performance of the new employee. 7. P 2 $ s i # l E + m i n t i o n : 3fter the selection decision is made, the candidate is required to undergo a physical fitness test. 3 !o offer is often contingent upon the candidate passing the physical e;amination. /. @ o & O f f e r : "he ne;t step in selection process is !o offer to those applicants who have crossed all the previous hurdles. 't is made y way of letter of appointment. 8. C o n t r # t o f E m p l o $ m e n t : 3fter the !o offer is made and candidates accept the offer, certain documents need to e e;ecuted y the employer and the candidate. Here is a need to prepare a formal contract of employment, containing written contractual terms of employment etc. E''EN/IA4' OF A GOOD 'E4EC/ION PRAC/ICE *. (etailed !o descriptions and !o specifications prepared in advance and endorsed y personnel and line management +. "rained the selectors ,. (etermine aids to e used for selection process 4. =heck competence of recruitment consultants efore retention 6. 'nvolve line managers at all stages 7. 3ttempt to validate the procedure /. Help the appointed candidate to succeed y training and management development DARRIER' /O EFFEC/I9E 'E4EC/ION: *. P e r # e p t i o n : >e all perceive the world differently. %ur limited perceptual a ility is o viously a stum ling lock to the o !ective and rational selection of people. +. F i r n e s s : .arriers of fairness includes discrimination against religion, region, race or gender etc. ,. 9 l i - i t $ : 3 test that has een validated can differentiate etween the employees who can perform well and those who will not. However it does not predict the !o success accurately. 4. R e l i & i l i t $ : 3 relia le test may fail to predict !o performance with precision. 6. P r e s s % r e : 1ressure rought on selectors y politicians, ureaucrats, relatives, friends and peers to select particular candidate are also arriers to selection. TRAINING 6 DE E!OPMENT Definition of /r inin! " De)elopment: Improve performance 7%raining 8 !evelopment is any attempt to improve current or future employee performance y increasing an employee&s a ility to perform through learning, usually y changing the employee&s attitude or increasing his or her skills and knowledge.$ MEANING OF /RAINING " DE9E4OPMEN/: "he need for "raining and (evelopment is determined y the employee&s performance deficiency, computed as follows. "raining 5 (evelopment Heed O Standard 1erformance # 3ctual 1erformance >e can make a distinction among "raining, (evelopment and 9ducation. Distin#tion &et3een /r inin! n- E-%# tion /r inin! E-%# tion 3pplication oriented "heoretical %rientation 2o e;perience =lassroom learning Specific "ask in mind =overs general concepts Harrow 1erspective Has .road 1erspective "raining is 2o Specific 9ducation is no ar /r inin!: "raining refers to the process of imparting specific skills. 3n employee undergoing training is presumed to have had some formal education. Ho training program is complete without an element of education. Hence we can say that "raining is offered to operatives. E-%# tion: 't is a theoretical learning in classrooms. "he purpose of education is to teach theoretical concepts and develop a sense of reasoning and !udgment. "hat any training and development program must contain an element of education is well understood y HR Specialists. 3ny such program has university professors as resource persons to enlighten participants a out theoretical knowledge of the topics proposed to discuss. 'n fact organizations depute or encourage employees to do courses on part time asis. =9%s are known to attend refresher courses conducted y usiness schools.

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"he education is more important for managers and e;ecutives rather than low cadre workers. 3nyways education is common to all employees, their grades notwithstanding. De)elopment: (evelopment means those learning opportunities designed to help employees to grow. (evelopment is not primarily skills oriented. 'nstead it provides the general knowledge and attitudes, which will e helpful to employers in higher positions. 9fforts towards development often depend on personal drive and am ition. (evelopment activities such as those supplied y management development programs are generally voluntary in nature. (evelopment provides knowledge a out usiness environment, management principles and techniques, human relations, specific industry analysis and the like is useful for etter management of a company. O&(e#ti)es of .MDP0 M n !ement De)elopment Pro!r ms OR A-) nt !es of De)elopment *. Making them • Self)starters • =ommitted • Motivated • Result oriented • Sensitive to environment • ?nderstand use of power +. =reating self awareness ,. (evelop inspiring leadership styles 4. 'nstill zest for e;cellence 6. "each them a out effective communication 7. "o su ordinate their functional loyalties to the interests of the organization Differen#e &et3een /r inin! n- De)elopment /r inin! De)elopment "raining is skills focused (evelopment is creating learning a ilities "raining is presumed to have a formal education (evelopment is not education dependent "raining needs depend upon lack or deficiency in (evelopment depends on personal drive and skills am ition "rainings are generally need ased (evelopment is voluntary "raining is a narrower concept focused on !o (evelopment is a roader concept focused on related skills personality development "raining may not include development (evelopment includes training wherever necessary "raining is aimed at improving !o related efficiency (evelopment aims at overall personal effectiveness and performance including !o efficiencies 62 t re t2e /r inin! Inp%ts: • Skills • 9ducation • (evelopment • 9thics • 1ro lem Solving Skills • (ecision Making • 3ttitudinal =hanges Import n#e of /r inin! " De)elopment • Helps remove performance deficiencies in employees • Breater sta ility, fle;i ility and capacity for growth in an organization • 3ccidents, scraps and damages to machinery can e avoided • Serves as effective source of recruitment • 't is an investment in HR with a promise of etter returns in future • Reduces dissatisfaction, a senteeism, complaints and turnover of employees Nee- of /r inin! In-i)i-% l le)el • (iagnosis of present pro lems and future challenges • 'mprove individual performance or fi; up performance deficiency • 'mprove skills or knowledge or any other pro lem • "o anticipate future skill)needs and prepare employee to handle more challenging tasks • "o prepare for possi le !o transfers Gro%p le)el • "o face any change in organization strategy at group levels • >hen new products and services are launched • "o avoid scraps and accident rates I-entifi# tion of /r inin! Nee-s .Met2o-s0 In-i)i-% l /r inin! Nee-s I-entifi# tion *. 1erformance 3ppraisals +. 'nterviews ,. Iuestionnaires 4. 3ttitude Surveys 6. "raining 1rogress -eed ack 7. >ork Sampling /. Rating Scales Gro%p 4e)el /r inin! Nee-s I-entifi# tion *. %rganizational Boals and % !ectives +. 1ersonnel G Skills 'nventories ,. %rganizational =limate 'ndices 4. 9fficiency 'ndices 6. 9;it 'nterviews 1,

7. M.% G >ork 1lanning Systems /. Iuality =ircles 8. =ustomer Satisfaction Survey :. 3nalysis of =urrent and 3nticipated =hanges Denefits of /r inin! Nee-s I-entifi# tion *. "rainers can e informed a out the roader needs in advance +. "rainers 1erception Baps can e reduced etween employees and their supervisors"rainers can design course inputs closer to the specific needs of the participants ,. (iagnosis of causes of performance deficiencies can e done Met2o-s of /r inin! On t2e @o& /r inin!s: "hese methods are generally applied on the workplace while employees is actually working. -ollowing are the on)the)!o methods. A-) nt !es of On-t2e-@o& /r inin!: 't is directly in the conte;t of !o 't is often informal 't is most effective ecause it is learning y e;perience 't is least e;pensive "rainees are highly motivated 't is free from artificial classroom situations Dis -) nt !es of On-t2e-@o& /r inin!: "rainer may not e e;perienced enough to train 't is not systematically organized 1oorly conducted programs may create safety hazards On t2e @o& /r inin! Met2o-s *. @o& Rot tion: 'n this method, usually employees are put on different !o s turn y turn where they learn all sorts of !o s of various departments. "he o !ective is to give a comprehensive awareness a out the !o s of different departments. 3dvantage # employee gets to know how his own and other departments also function. 'nterdepartmental coordination can e improved, instills team spirit. (isadvantage # 't may ecome too much for an employee to learn. 't is not focused on employees own !o responsi ilities. 9mployees asic talents may remain under utilized. +. @o& Co #2in!: 3n e;perienced employee can give a ver al presentation to e;plain the nitty)gritty&s of the !o . ,. @o& Instr%#tion: 't may consist an instruction or directions to perform a particular task or a function. 't may e in the form of orders or steps to perform a task. 4. Apprenti#es2ips: Benerally fresh graduates are put under the e;perienced employee to learn the functions of !o . 6. Interns2ips n- Assist nts2ips: 3n intern or an assistants are recruited to perform a specific time) ound !o s or pro!ects during their education. 't may consist a part of their educational courses. Off t2e @o& /r inin!s: "hese are used away from work places while employees are not working like classroom trainings, seminars etc. -ollowing are the off)the)!o methodsF A-) nt !es of Off-t2e-@o& /r inin!: "rainers are usually e;perienced enough to train 't is systematically organized 9fficiently created programs may add lot of value Dis -) nt !es of Off-t2e-@o& /r inin!: 't is not directly in the conte;t of !o 't is often formal 't is not ased on e;perience 't is least e;pensive "rainees may not e highly motivated 't is more artificial in nature Off t2e @o& /r inin! Met2o-s *. Cl ssroom 4e#t%res: 't is a ver al lecture presentation y an instructor to a large audience. 3dvantage # 't can e used for large groups. =ost per trainee is low. (isadvantages # 0ow popularity. 't is not learning y practice. 't is %ne) way communication. Ho authentic feed ack mechanism. 0ikely to oredom. +. A%-io-9is% l: 't can e done using -ilms, "elevisions, Lideo, and 1resentations etc. 3dvantages # >ide range of realistic e;amples, quality control possi le,. (isadvantages # %ne)way communication, Ho feed ack mechanism. Ho fle;i ility for different audience. ,. 'im%l tion: creating a real life situation for decision)making and understanding the actual !o conditions give it. -ollowing are some of the simulation methods of trainings a. C se 't%-ies: 't is a written description of an actual situation and trainer is supposed to analyze and give his conclusions in writing. "he cases are generally ased on actual organizational situations. 't is an ideal method to promote decision)making a ilities within the constraints of limited data. Role Pl $s: Here trainees assume the part of the specific personalities in a case study and enact it in front of the audience. 't is more emotional orientation and improves interpersonal relationships. 3ttitudinal change is another result. "hese are generally used in M(1. . 'ensiti)it$ /r inin!sD "his is more from the point of view of ehavioral assessment, under different circumstances how an individual will ehave himself and towards others. "here is no preplanned agenda and it is instant. 3dvantages # increased a ility to empathize, listening skills, openness, tolerance, and conflict resolution skills. (isadvantage # 1articipants may resort to their old ha its after the training. 4. Pro!r mme- Instr%#tions: 1rovided in the form of locks either in ook or a teaching machine using questions and -eed acks without the intervention of trainer. 3dvantages # Self paced, trainees can progress at their own speed, strong motivation for repeat learning, material is structured and self)contained. (isadvantages # Scope for learning is lessF cost of ooks, manuals or machinery is e;pensive. 6. Comp%ter Ai-e- Instr%#tions: 't is e;tension of 1' method, y using computers. 3dvantages # 1rovides accounta ilities, modifia le to technological innovations, fle;i le to time. (isadvantages # High cost. 78 4 &or tor$ /r inin! D rriers to Effe#ti)e /r inin!: *. 0ack of Management commitment +. 'nadequate "raining udget ,. 9ducation degrees lack skills 1C

4. 0arge scale poaching of trained staff 6. Hon)coordination from workers due to downsizing trends 7. 9mployers and . Schools operating distantly /. ?nions influence Ho3 /o M 1e /r inin! Effe#ti)e: *. Management =ommitment +. "raining 5 .usiness Strategies 'ntegration ,. =omprehensive and Systematic 3pproach 4. =ontinuous and %ngoing approach 6. 1romoting 0earning as -undamental Lalue 7. =reations of effective training evaluation system INDUCTION 6 ORIENATION Definition 1: +lanned Introduction “'t is a 1lanned 'ntroduction of employees to their !o s, their co)workers and the organization per se.$ Orient tion #on)e$s < t$pes of inform tion: *. (aily >ork Routine +. %rganization 1rofile ,. 'mportance of 2o s to the organization 4. (etailed %rientation 1resentationsP%rpose of Orient tion *. "o make new employees feel at home in new environment +. "o remove their an;iety a out new workplace ,. "o remove their inadequacies a out new peers 4. "o remove worries a out their !o performance 6. "o provide them !o information, environment /$pes of Orient tion Pro!r ms *. -ormal or 'nformal +. 'ndividual or Broup ,. Serial or (is!unctive PrereA%isites of Effe#ti)e Orient tion Pro!r m *. 1repare for receiving new employee +. (etermine information new employee wants to know ,. (etermine how to present information 4. =ompletion of 1aperwork Pro&lems of Orient tions *. .usy or ?ntrained supervisor +. "oo much information ,. %verloaded with paperwork 4. Biven menial tasks and discourage interests 6. (emanding tasks where failure chances are high 7. 9mployee thrown into action soon /. >rong perceptions of employees 62 t is t2e -ifferen#e &et3een in-%#tion n- orient tion: 'nduction referred to formal training programs that an employee had to complete efore they could start work Orientation 5as the informal information gi%ing that made the recr"it a5are of the comfort iss"es / 5here the facilities are2 5hat time l"nch is and so forth'How long should the induction process takeC 't starts when the !o ad is written, continues through the selection process and is not complete until the new team mem er is comforta le as a full contri utor to the organizationEs goals. "he first hour on day one is a critical component ) signing on, issuing keys and passwords, e;plaining no go zones, emergency procedures, meeting the people that you will interact with all have to e done immediately. ?ntil they are done the newcomer is on the payroll, ut is not employed. After that it is a matter of &"st in time training / e7panding the content as ne5 d"ties are "nderta3en' We "nl1 e)%l"1 ne5 %e"%le "ne a! a !i)e - 0"5 an 5e in*u ! !0e)9 "here are some issues, which cannot wait ) they vary according to your situation. 1erhaps a uddy system on the !o may e the est way to deal with these. %ther su !ects may e incorporated with refresher training for current staff, or handled as participant in an outside program. 1erhaps some can wait until there are groups of people who have started in the last few months. This may ta3e some creati%e thin3ing2 #"t the ans5er is !"ite simple / "ntil the ne5 people are integrated then they are less "sef"l' The math is often ama$ingly simple / not ta3ing the time to train cons"mes more time than the training 5o"ld' 62 t le)els of st ff nee- in-%#tion: E%ery#ody' The CEO needs to 3no5 different things to the temporary concierge2 #"t e%eryone needs a planned program of ind"ction and orientation' P4ACEMEN/ 1lacement is allocation of people to !o s. 't is assignment or reassignment of an employee to a new or different !o . M>4/I 'LI44ING Multi Skilling is "he 'ntegrated Skills 1rogram that has een developed to uild on the e;isting skills of the current work force to reduce redundancies and avoid downsizing situations. "he o !ective of this program is to gain total integration of skills. "he program is ased around Kon)the)!o & 5 Koff)the)!o & competence. "hat is the a ility to do the !o on the shop floor @training to gain work e;perienceA and Koff)the)!o & @training in the classroomA to gain underpinning knowledge. "he program requires the individual to demonstrate competence in a num er of different skills and this competence is measured and assessed on the !o .Multi)skilling of course works est with more advanced skilled workers ecause their individual skills levels are developed enough where they can fluidly transition from one skill to the ne;t without degradation of a skills performance. 'f you are multi)skilling and a great percentage of your workers are having pro lems e;ecuting one of the skills effectively it is pro a ly a good signal you need to go ack to asics with that skill and pull it out of the multi) skilling sequences. 3nother advantage of multi)skilling is the positive effect of what is called Pconte;tual learningP.

1E

=onte;tual learning involves discovery and improvement from two skills, which donEt, on the surface, appear to have a direct relationship."he disadvantages of multi)skilling include the o vious danger of moving on to quickly toward advanced skills and com inations without sufficiently drilling asic skills. >hile there is a great desire to learn quickly ' think this is one of the reason we are seeing etter skilled from some of the est workers. "he consequence is that we ecome Ppartially skilledP. "he greater the num er of partial skills we develop, the less chance we ever have of reaching our full potential. CHANGE MANAGEMEN/ C2 n!e )is-M-)is Recruitment 1erformance 3ppraisals Me nin! of C2 n!e: 3lterations in #1eople, Structure and "echnology E+tern l For#es of C2 n!e: Marketplace 0a or markets 9conomic =hanges "echnology 0aws and Regulations Intern l For#es of C2 n!e =orporate Strategies >orkplace "echnology and 9quipments 9mployee 3ttitudes C2 n!e A!ents: .62o # n &rin! &o%t #2 n!e:0 Managers 9;ternal =onsultants Staff Specialists Pro#ess of C2 n!e .4e3ins steps0 ?nfreezing =hanging Refreezing 62ite 3 ter r pi-s met p2or 0ack of Sta ility 0ack of 1redicta ility Lirtual =haos =onstant =hange Resist n#e to C2 n!e ?ncertainty and 3m iguity 1ersonal 0oss =oncerns (is elief in =hange enefits /e#2niA%es of Re-%#in! Resist n#e to C2 n!e 9ducation and =ommunication Hegotiation Manipulation and =o)optation 1articipation -acilitation =oercion C2 n!e M n !ement Structural =hanges "echnological =hanges 1eople =hanges 3uthority 1rocesses 3ttitudes =oordination Methods 9;pectations =entralization 9quipments .ehaviors Or! ni* tion l De)elopment /e#2niA%es Survey -eed ack Sensitivity "raining 1rocess =onsultation "eam .uilding 'nter)group (evelopment Con-itions F #ilit tin! C2 n!e (ramatic =risis 0eadership =hange >eak =ulture Moung and Small %rganization @ageingA /2e Ro - to C2 n!e in C%lt%re 3nalyze the culture Heed for change Hew leadership Reorganize Restructure Hew stories and rituals =hange the !o systems /FM 9=s8 Reen!ineerin! "IM @"otal Iuality ManagementA Re engineering =ontinuous =hange Radical and %ne time =hange 2G

-i;ing and 'mproving Redesigning Mostly focused on K3s)'s& Mostly focused on Kwhat can eC& Systems indispensa le "op to .ottom .ottom to "op M n !in! Do3nsi*e- 6or1for#e %pen and honest communication 3ssistance to them Help for survivors of the downsized 'tress in 6or1pl #e %pportunities stress (emands stress =onstraints stress Ho3 to re-%#e 3or1pl #e stress 9mployee selection %rganizational communication 1erformance 1lanning 2o redesign especially when processes change, !o s merged, and relocation happens 9mployee counseling "ime management programs 62 t is #re ti)it$: =om ining new ideas in unique ways or associating ideas in unusual ways 62 t is inno) tion: "urning creative ideas into useful products, services or methods of operations 3 'ets of ) ri &le sim%l te inno) tion Structural =hanges =ultural =hanges H"man Reso"rces Changes C 2 n! e De f i ne P=hange is the window through which the future enters your life.P 'tEs all around you, in many types and shapes. Mou can ring it a out yourself or it can come in ways 6 2$ C 2 n !e M n ! em en t: Mou can ring the change a out yourself or it can come in ways that give you little choice a out its what, when, and how. -ighting against change can slow it down or divert it, ut it wonEt stop it however. 'f you wish to succeed in this rapidly changing new world Pyou must learn to look on change as a friend ) one who presents you with an opportunity for growth and improvement.P: "he rate of change in todayEs world is constantly increasing. 9verything that e;ists is getting old, wearing out and should e replaced. PRevolutionary technologies, consolidation, well)funded new competition, unpredicta le customers, and a quickening in the pace of change hurled unfamiliar conditions at management.P / "rue success and long)term prosperity in the new world depends on your a ility to adapt to different and constantly changing conditions. "he strategic selection of the est strategic positioning in the playing field, or the .usiness Space, your firm must take is complicated y the fact that the characteristics of the .usiness Space change over time. "oday, the world is a different place than it was yesterday. P3t certain points, the difference ecomes material. Successful firms recognize change. Lery successful ones anticipate it.P8E ) o l % t io n r $ .P l n n e- 0 C 2 n ! e ) er s % s R e ) o l %t io n r $ A #t io n How you change a usiness unit to adapt to shifting economy and markets is a matter of management style. 9volutionary change, that involves setting direction, allocating responsi ilities, and esta lishing reasona le timelines for achieving o !ectives, is relatively painless. However, it is rarely fast enough or comprehensive enough to move ahead of the curve in an evolving world where stakes are high, and the response time is short. >hen faced with market)driven urgency, a rupt and sometimes disruptive change, such as dramatic downsizing or reengineering, may e required to keep the company competitive. 'n situations when timing is critical to success, and companies must get more efficient and productive rapidly, revolutionary change is demanded. >hen choosing etween evolutionary change and revolutionary action, a leader must pursue a alanced and pragmatic approach. Swinging too far to revolutionary e;treme may create Pan organizational culture that is so impatient, and so focused on change, that it fails to give new initiatives and new personnel time to take root, sta ilize, and grow. >hatEs more, it creates a high)tension environment that intimidates rather than nurtures people, leaving them with little or no emotional investment in the company.P4 R es is t n #e t o C 2 n ! e Most people donEt like change ecause they donEt like eing changed. P'f you want to make enemies, try to change somethingP, advised >oodrow >ilson. >hen seeking to change an organization, itEs strategy or processes, leaders run into HewtonEs law that a ody at rest tends to stay at rest. 3dvocates for change are greeted with suspicion, anger, resistance, and even sa otage.4 PHot invented hereP syndrome also keeps many sound ideas from gaining the o !ective assessment they deserve...More / o - $N s 6o r l- R e l it i e s "he magnitude of todayEs environmental, competitive, and glo al market change is unprecedented. 'tEs a very interesting and e;citing world, ut itEs also volatile and chaoticD

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9ol tilit$ descri es the economyEs rate of changeD e;tremely fast, with e;plosive upsurges and sudden downturns. C2 os descri es the direction of the economyEs changesD weEre not sure e;actly where weEre headed, swinging etween the various alternatives at a very high speed. 7 ut we are

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"o cope with an unpredicta le world you must uild an enormous amount of fle;i ility into your organization. >hile you cannot predict the future, you can get a handle on trends, which is a way to take advantage of change and convert risks into opportunities. C r e ti n! C 2 n ! e f o r I m p r o ) em en t n - C o m p et it i) e A- ) n t ! e

=hange creates opportunities, ut only for those who recognize and seize it. PSeeing is the first step, seizing the second, and continuously innovating is the third.P 6 'nnovation redefines growth opportunities. 3s current products are ecoming o solete faster than ever, in order to survive and prosper, organizations continually need to improve, innovate and modify their products and services. "he Silicon Lalley slogan P9at lunch and you are lunchP is more than a reflection of increasingly intense work ethic. Riding the wave of change is ecoming the most important part of the usiness. >hile the economy is shifting and innovation is rampant, Pdoing it the same wayP is a recipe for corporate e;tinction. * Successful change efforts are those where the choices oth are internally consistent and fit key e;ternal and situational varia les. PMou have to find su tle ways to introduce change, new concepts, and give feed ack to people so that they can accept and grow with it.P4 A nt i# ip t in ! C 2 n ! e "here is ig difference etween anticipating and guessing. 3nticipation means e;pecting, eing aware of something in advance, to regard it as possi le. "he a ility to anticipate is one of the key ingredients of efficient speed and change management. P.eing a le to anticipate that which is likely to occur in the ne;t few months and the ne;t few years is enough to give you an edge over ::N of the population who simply go along with whatever happens.P / How can you see the futureC 3ctually, anticipation is natural ) everyone does it every day. ?nfortunately, most people limit e;ercising their anticipatory skills to daily routine matters. 3ll you really need to start applying these skills for your usiness is a small head start...More ' t r t in ! 3 it 2 5 o % r se lf "he est place to start change is with yourself. 'f whatever you do doesnEt work, you must e fle;i le ) you must change your action plan if the current one does not produce the required results. 'f you want other people to change, you must e prepared to make the first step yourself. 'f you cannot change your environment, you should change your attitude. "o achieve effective personal change, consider practicing the H01 "echnology of 3chievement that was specially developed to discover how people can e;cel, and most particularly when managing change ) how to create the Edifference that makes the differenceE...More 4 e -i n! C 2 n ! e "he old ways of management no longer work and will never work again. Successful change requires leadership. >hen change fails to occur as planned, the cause if often to e found at a deeper level, rooted in the inappropriate ehavior, eliefs, attitudes, and assumptions of would) e leaders. 7 0eadership is all a out the process of changeD how to stay ahead of it, master it, enefit from the opportunities it rings. "he est leaders strike first y taking the offensive against economic cycles, market trends, and competitors. "hey discover the most effective ways for achieving significant change ) Pa change that identifies the realities of the usiness environment and reorders them so that a new force is a le to leverage, rather than resist, those realities in order to achieve a competitive advantage.P 4 "he following system will help you to unleash the power of your organization and reshape it into a more competitive enterpriseD • (evelop a vision. "o create a seamless ridge from the vision to action, start with your top management team ) they should understand and em race your vision.

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3lign all your people against the endgame. 'nvite their opinion regarding critical issues such as the direction you should e headed, the changes you have to make, and the resources you have to acquire. ?sing the employee feed ack, develop a strategic plan. Stay laser)focused on the methods that will drive your usiness unit towards its stated o !ectives.

.uild a diverse leadership group representing all the key constituencies of your organization. "hey will share responsi ility for plan management. Share detail information a out the company and the change progress ) people have to understand where you are and where you are going in order to contri ute effectively to your mission. M n ! i n ! O r ! n i* t io n l C 2 n! e Success in usiness doesnEt come from feeling comforta le. 'n todayEs technology)driven world, usiness life cycles have accelerated e;ponentially. "he challenge is to keep a step ahead of changing market conditions, new technologies and human resources issues. "he wheel of usiness evolution is a framework and set of tools, which ena les you to manage the comple; process of organizational change and transformation more effectively. "he sequence of the eight segments ) usiness environment, usiness ecosystem, usiness design, leadership style, organizational values, management process, knowledge management systems, and performance measures ) reflects the learning cycle that occurs when outside)in or ottom)up learning takes place.D e 2 ) i o r l C 2 n ! e "he challenge and the shape of an organizationEs ehavioral change program depend on the corporate culture and the targeted ehaviors that need to e changed. Mour change program needs to e e;plicitly uilt around these challenges. PLery often, these programs involve the creation of incentives which elegantly reinforce the desired ehavior @and therein reinforce the change loop in the learning dynamicA.P 8...M o ti ) ti n ! E m p lo $e es to E m & r #e C 2 n ! e Mou have a choice of instruments to motivate your people to em race change. 1erformance)incentive levers are especially useful in driving those who lack direction or initiative. Mou may also encourage employee feed ack on where and how the company can take corrective action and reward employees for their contri ution. 'n any case, Ponce you open the gates and encourage employees to serve as agents of change, you must demonstrate that their input will have a real)world impact on the way your company does usiness.P4 %n the other side, you have to e rather aggressive when dealing with people who view change as a threat and create road locks that stall progress. 3nyone who thinks that itEs harmless to make e;ceptions for a few people and shift resources to accommodate poor performers is missing an important point. P'tEs not a few people who are at stake, itEs the corporate cultureP, says Miles Breer, of Savannah 9lectric. P.y permitting those who resist or retaliate against change to 22

remain in the company, you roadcast a message that suggests supporting the companyEs mission statement is optional. 9ven worse, you permit the least)committed employees to taint and influence the attitude and performance of their peers.P M o ) in ! 3 it 2 ' p ee 'n the new economy where everything is moving faster and itEs only going to get faster, the new mantra is, P(o it more with less and do it faster.P * "o e a le to move with speed, companies need to esta lish a change)friendly environment and develop four ma!or competenciesD fast thinking, fast decision making, fast acting, and sustaining speed. M 1 in ! F %i #1 De #i s io n s t 2 r o % ! 2 E s t & l i s2 i n ! G % i- in ! P r i n # ip le s -ast companies that have demonstrated the a ility to sustain surge and velocity all have esta lished sets of guiding principles to help them make quick decisions. 3 andoning theoretical and politically correct EvaluesE and ureaucratic procedures in favor of a practical, down)to)earth list of guiding principles will help your company make the decision)making process much faster. %nly one question will need to e asked of any proposed course of actionD (oes it fit our guiding principlesC PER/ORMANCE APPRAISA!S Definition 1: Systematic -valuation “'t is a systematic evaluation of an individual with respect to performance on the !o and individual&s potential for development.$ Definition 2: 6ormal System, "easons and )easures of future performance “'t is formal, structured system of measuring, evaluating !o related ehaviors and outcomes to discover reasons of performance and how to perform effectively in future so that employee, organization and society all enefits.$ Me nin! of Perform n#e Appr is ls 1erformance 3ppraisals is the assessment of individual&s performance in a systematic way. 't is a developmental tool used for all round development of the employee and the organization. "he performance is measured against such factors as !o knowledge, quality and quantity of output, initiative, leadership a ilities, supervision, dependa ility, co)operation, !udgment, versatility and health. 3ssessment should e confined to past as well as potential performance also. "he second definition is more focused on ehaviors as a part of assessment ecause ehaviors do affect !o results. Perform n#e Appr is ls n- @o& An l$sis Rel tions2ip 1erformance 3ppraisals 1erformance Standards  "ranslate !o requirements into (escri e the !o relevant levels of accepta le or strengths and weaknesses of unaccepta le performance each individual. O&(e#ti)es of Perform n#e Appr is ls >se of Perform n#e Appr is ls *. 1romotions +. =onfirmations ,. "raining and (evelopment 4. =ompensation reviews 6. =ompetency uilding 7. 'mprove communication /. 9valuation of HR 1rograms 8. -eed ack 5 Brievances < Go ls of Perform n#e Appr is ls Beneral Boals Specific Boals (evelopmental ?se 'ndividual needs 1erformance feed ack "ransfers and 1lacements Strengths and (evelopment needs 3dministrative (ecisions G ?ses Salary 1romotion Retention G "ermination Recognition 0ay offs 1oor 1erformers identification %rganizational Maintenance HR 1lanning "raining Heeds %rganizational Boal achievements Boal 'dentification HR Systems 9valuation Reinforcement of organizational needs (ocumentation Lalidation Research -or HR (ecisions 0egal Requirements Perform n#e Appr is l Pro#ess *. % !ectives definition of appraisal +. 2o e;pectations esta lishment ,. (esign an appraisal program 4. 3ppraise the performance 6. 1erformance 'nterviews 7. ?se data for appropriate purposes /. 'dentify opportunities varia les 8. ?sing social processes, physical processes, human and computer assistance Differen#e &et3een /r -ition l n- Mo-ern .'$stems0 ppro #2 to Appr is ls 2o 3nalysis  (escri e the work and personnel requirement of a particular !o . #ategories Buiding Lalues %raditional Appraisals 'ndividualistic, =ontrol oriented, )odern, Systems Appraisals Systematic, (evelopmental, 23

(ocumentary 1ro lem solving 0eadership Styles (irectional, 9valuative -acilitative, =oaching -requency %ccasional -requent -ormalities High 0ow Rewards 'ndividualistic Brouped, %rganizational /ECHNIF>E' = ME/HOD' OF PERFORMANCE APPRAI'A4' Humerous methods have een devised to measure the quantity and quality of performance appraisals. 9ach of the methods is effective for some purposes for some organizations only. Hone should e dismissed or accepted as appropriate e;cept as they relate to the particular needs of the organization or an employee. .roadly all methods of appraisals can e divided into two different categories. • 1ast %riented Methods • -uture %riented Methods P st Oriente- Met2o-s *. R tin! '# les: Rating scales consists of several numerical scales representing !o related performance criterions such as dependa ility, initiative, output, attendance, attitude etc. 9ach scales ranges from e;cellent to poor. "he total numerical scores are computed and final conclusions are derived. 3dvantages # 3dapta ility, easy to use, low cost, every type of !o can e evaluated, large num er of employees covered, no formal training required. (isadvantages # Rater&s iases +. C2e#1list: ?nder this method, checklist of statements of traits of employee in the form of Mes or Ho ased questions is prepared. Here the rater only does the reporting or checking and HR department does the actual evaluation. 3dvantages # economy, ease of administration, limited training required, standardization. (isadvantages # Raters iases, use of improper weighs y HR, does not allow rater to give relative ratings ,. For#e- C2oi#e Met2o-: "he series of statements arranged in the locks of two or more are given and the rater indicates which statement is true or false. "he rater is forced to make a choice. HR department does actual assessment. 3dvantages # 3 sence of personal iases ecause of forced choice. (isadvantages # Statements may e wrongly framed. 4. For#e- Distri&%tion Met2o-: here employees are clustered around a high point on a rating scale. Rater is compelled to distri ute the employees on all points on the scale. 't is assumed that the performance is conformed to normal distri ution. 3dvantages # 9liminates (isadvantages # 3ssumption of normal distri ution, unrealistic, errors of central tendency. 6. Criti# l In#i-ents Met2o-: "he approach is focused on certain critical ehaviors of employee that makes all the difference in the performance. Supervisors as and when they occur record such incidents. 3dvantages # 9valuations are ased on actual !o ehaviors, ratings are supported y descriptions, feed ack is easy, reduces recency iases, chances of su ordinate improvement are high. (isadvantages # Hegative incidents can e prioritized, forgetting incidents, overly close supervisionF feed ack may e too much and may appear to e punishment. 7. De2 )ior ll$ An#2ore- R tin! '# les: statements of effective and ineffective ehaviors determine the points. "hey are said to e ehaviorally anchored. "he rater is supposed to say, which ehavior descri es the employee performance. 3dvantages # helps overcome rating errors. (isadvantages # Suffers from distortions inherent in most rating techniques. /. Fiel- Re)ie3 Met2o-: "his is an appraisal done y someone outside employees& own department usually from corporate or HR department. 3dvantages # ?seful for managerial level promotions, when compara le information is needed, (isadvantages # %utsider is generally not familiar with employees work environment, % servation of actual ehaviors not possi le. 8. Perform n#e /ests " O&ser) tions: "his is ased on the test of knowledge or skills. "he tests may e written or an actual presentation of skills. "ests must e relia le and validated to e useful. 3dvantage # "ests may e apt to measure potential more than actual performance. (isadvantages # "ests may suffer if costs of test development or administration are high. :. Confi-enti l Re#or-s: Mostly used y government departments, however its application in industry is not ruled out. Here the report is given in the form of 3nnual =onfidentiality Report @3=RA and may record ratings with respect to following itemsF attendance, self e;pression, team work, leadership, initiative, technical a ility, reasoning a ility, originality and resourcefulness etc. "he system is highly secretive and confidential. -eed ack to the assessee is given only in case of an adverse entry. (isadvantage is that it is highly su !ective and ratings can e manipulated ecause the evaluations are linked to HR actions like promotions etc. *<. Ess $ Met2o-: 'n this method the rater writes down the employee description in detail within a num er of road categories like, overall impression of performance, promotea ility of employee, e;isting capa ilities and qualifications of performing !o s, strengths and weaknesses and training needs of the employee. 3dvantage # 't is e;tremely useful in filing information gaps a out the employees that often occur in a etter)structured checklist. (isadvantages # 't its highly dependent upon the writing skills of rater and most of them are not good writers. "hey may get confused success depends on the memory power of raters. **. Cost A##o%ntin! Met2o-: Here performance is evaluated from the monetary returns yields to his or her organization. =ost to keep employee, and enefit the organization derives is ascertained. Hence it is more dependent upon cost and enefit analysis. *+. Comp r ti)e E) l% tion Met2o- .R n1in! " P ire- Comp risons0: "hese are collection of different methods that compare performance with that of other co)workers. "he usual techniques used may e ranking methods and paired comparison method. • Ran+ing Met*ods: Superior ranks his worker ased on merit, from est to worst. However how est and why est are not ela orated in this method. 't is easy to administer and e;planation. • &aired )omparison Met*ods: 'n this method each employee is rated with another employee in the form of pairs. "he num er of comparisons may e calculated with the help of a formula as under. H ; @H)*A G + F%t%re Oriente- Met2o-s *. M n !ement D$ O&(e#ti)es: 't means management y o !ectives and the performance is rated against the achievement of o !ectives stated y the management. M.% process goes as under. • 9sta lish goals and desired outcomes for each su ordinate • Setting performance standards • =omparison of actual goals with goals attained y the employee • 9sta lish new goals and new strategies for goals not achieved in previous year. 3dvantage # 't is more useful for managerial positions. (isadvantages # Hot applica le to all !o s, allocation of merit pay may result in setting short)term goals rather than important and long)term goals etc. 2<

+. Ps$#2olo!i# l Appr is ls: "hese appraisals are more directed to assess employees potential for future performance rather than the past one. 't is done in the form of in)depth interviews, psychological tests, and discussion with supervisors and review of other evaluations. 't is more focused on employees emotional, intellectual, and motivational and other personal characteristics affecting his performance. "his approach is slow and costly and may e useful for right young mem ers who may have considera le potential. However quality of these appraisals largely depend upon the skills of psychologists who perform the evaluation. ,. Assessment Centers: "his technique was first developed in ?S3 and ?Q in *:4,. 3n assessment center is a central location where managers may come together to have their participation in !o related e;ercises evaluated y trained o servers. 't is more focused on o servation of ehaviors across a series of select e;ercises or work samples. 3ssessees are requested to participate in in) asket e;ercises, work groups, computer simulations, role playing and other similar activities which require same attri utes for successful performance in actual !o . "he characteristics assessed in assessment center can e assertiveness, persuasive a ility, communicating a ility, planning and organizational a ility, self confidence, resistance to stress, energy level, decision making, sensitivity to feelings, administrative a ility, creativity and mental alertness etc. (isadvantages # =osts of employees traveling and lodging, psychologists, ratings strongly influenced y assessee&s inter)personal skills. Solid performers may feel suffocated in simulated situations. "hose who are not selected for this also may get affected. A-) nt !es # well)conducted assessment center can achieve etter forecasts of future performance and progress than other methods of appraisals. 3lso relia ility, content validity and predictive a ility are said to e high in assessment centers. "he tests also make sure that the wrong people are not hired or promoted. -inally it clearly defines the criteria for selection and promotion. 4. 37G-De!ree Fee-& #1: 't is a technique which is systematic collection of performance data on an individual group, derived from a num er of stakeholders like immediate supervisors, team mem ers, customers, peers and self. 'n fact anyone who has useful information on how an employee does a !o may e one of the appraisers. "his technique is highly useful in terms of roader perspective, greater self)development and multi)source feed ack is useful. ,7<)degree appraisals are useful to measure inter)personal skills, customer satisfaction and team uilding skills. However on the negative side, receiving feed ack from multiple sources can e intimidating, threatening etc. Multiple raters may e less adept at providing alanced and o !ective feed ack. Et2i#s of Perform n#e Appr is ls = 4e! ll$ -efensi&le Perform n#e Appr is ls Et2i#s of Pro#e-%res *. -ormal Standardized 1erformance 3ppraisal Systems +. ?niform to all employees, no illegal differentiations ased on cast, religion etc. ,. Standards formally communicated to all employees 4. -reedom to review performance appraisal results 6. -ormal appeal process a out ratings and !udgments 7. >ritten instructions and training to raters /. 3ll personal decision makers should e aware of anti)discrimination laws. Et2i#s of Contents *. =ontent ased on !o analysis +. "raits ased appraisals should e avoided ,. % !ectively verifia le data should e used 4. =onstraints on performance eyond control should e prevented 6. Specific !o related dimensions to e used rather than single or glo al dimensions. 7. (imensions must e assigned weight to reflect relative importance in performance score Et2i#s of Do#%ment tion of Res%lts *. 3 thoroughly written record of evidence leading to termination should e maintained +. >ritten documentation of e;treme ratings should e maintained ,. (ocumentation should e consistent among the raters. Et2i#s of R ters *. "he raters should e trained in how to use an appraisal system +. "he rater must have opportunity to o serve ratees first hand and review important ratee performance products. ,. ?se of more than one rater is desira le to reduce iases. Or! ni* tion l '%pport F #tors for Perform n#e Appr is l '$stems 1erformance appraisal serves many organizational o !ectives and goals. .esides encouraging high level of performance, the evaluation system is useful in identifying employees with potential, rewarding them equita ly, and determining employee needs for development. 3ll these activities are instrumental in achieving corporate plans and long)term growth, typical appraisal system in most organizations have een focused on short)term goals only. -rom the strategic management point of views, organizations can e grouped under , different categories as defenders, prospectors and analyzers. Defen-ers: "hey have narrow and sta le product market domain. "hey don&t need to make any ad!ustment in technology, structure or methods of operations etc. "hey devote entire attention on improving e;isting operations. .ecause of emphasis on skill uilding successful defenders use appraisals as means for identifying training needs. 't is more ehavior oriented. Prospe#tors: "hey continuously search for new products and opportunities. "hey e;periment regularly to new and emerging trends. "hey more focus on skills identification and acquisition of human resources from e;ternal sources prospectors often use appraisals for identifying staffing needs. "he focus is on results. An l$*ers: "hey operate in two type of product domain markets. %ne is sta le and other is changing. "hey watch their competitors closely and rapidly adopt the ideas that are promising. "hey use cost effective technologies for sta le products and matri; technologies for new products. 3nalyzers tend to emphasize on skills uilding and skills acquisitions and employ e;tensive training programs. Hence they use appraisal more for training and staffing purposes. However performance appraisal systems has strategic importance in three different ways. Fee-& #1 Me#2 nism: 1erformance evaluation is the central mechanism that not only provides feed ack to individuals ut also aids in the assessment of the progress of organization as a whole. >ithout appraisals managers of any firm can only guess as to whether or not employees are working towards realization of the organization goals. Consisten#$ &et3een str te!$ n- (o& &e2 )ior: 1erformance appraisal not only is a means of knowing if the employee ehavior is consistent with the overall strategies focus ut also a way of ringing to the fore any negative consequence of the strategy # ehavior fit. "hus the performance appraisal system is an important mechanism to elicit feed ack on the consistency of the strategy # ehavior link. Consisten#$ &et3een 9 l%es n- @o& De2 )ior lin1: 1erformance evaluation is a mechanism to reinforce values and culture of the organization. 3nother importance is to align appraisal with organizational culture. 2?

"hus the purpose of performance evaluation is to make sure that employee&s goals, employees ehavior and feed ack of information a out performance are all linked to the corporate strategy. Essenti ls of Goo- Perform n#e Appr is l '$stem: *. Standardized 1erformance 3ppraisal System +. ?niformity of appraisals ,. (efined performance standards 4. "rained Raters 6. ?se of relevant rating tools or methods 7. Should e ased on !o analysis /. ?se of o !ectively verifia le data 8. 3void rating pro lems like halo effect, central tendency, leniency, severity etc. :. =onsistent (ocumentations maintained *<. Ho room for discrimination ased on cast, creed, race, religion, region etc. Pro&lems of R tin!: *. 0eniency 5 Severity +. =entral "endency ,. Halo 9rror 4. Rater 9ffect 6. 1rimacy 5 Recency 9ffect 7. 1erceptual Sets /. 1erformance (imensions %rder 8. Spillover 9ffects :. Status 9ffect INCENTI ES .ASED COMPENSATION 'ncentives are monetary enefits paid to workmen in recognition of their outstanding performance. "hey are defined as varia le rewards granted according to variations in the achievement of specific results. A-) nt !es of In#enti)e & se- #ompens tions *. 'ncentives are important for inducement and motivation of workers for higher efficiency and greater output. +. 9mployee earnings go up ,. 9nhanced standard of livings of employees 4. Reduction in total unit cost of production, 6. 1roductivity increases. 7. 1roduction capacity is also likely to increase /. Reduced supervision Dis -) nt !es of In#enti)e & se- #ompens tion *. "endency of quality of products deteriorated due to increased output and low cost +. 9mployees may oppose introduction of new machines ,. >orkers demand for minimum wage limit may go up due to high incentive earnings 4. Sometimes employees may disregard security regulations due to payment y results approach adopted for higher incentive figures 6. %verworking may affect employee health 7. 9mployee !ealousies with respect to high and low performers HUMAN RESOURCE AUDIT N t%re of HR A%-it HR 3udit is a tool for evaluating the personnel activities of an organization. "he audit may include one division or entire company. 't gives feed ack a out HR functions to operating managers and HR specialists. 't also shows how well managers are meeting HR duties. 'n short HR audit is an overall control check on HR activities in a division or a company and evaluation of how these activities support organization&s strategy. D sis of HR A%-it .Personnel Rese r#20 *. >age Surveys +. Recruitment Sources effectiveness ,. "raining efforts effectiveness 4. Supervisor&s effectiveness 6. 'ndustrial settlements 7. 2o 3nalysis /. 2o Satisfaction Survey 8. 9mployee needs survey :. 3ttitude Surveys *<. High accident frequency surveys Denefits of HR A%-it *. 'dentification of contri utions of HR department +. 'mprovement of professional image of HR department ,. 9ncouragement of greater responsi ility and professionalism among HR mem ers 4. =larification of HR duties and responsi ilities 6. Stimulation of uniformity of HR policies and practices 7. -inding critical personnel pro lems /. 9nsuring timely compliance with legal requirements 8. Reduction of HR costs through more effective personnel procedures :. =reation of increased acceptance of changes in HR department *<. 3 thorough review of HR information systems '#ope n- /$pes of HR A%-it HR 3udit must cover the activities of the department and e;tend eyond ecause the people pro lems are not confined to HR department alone. .ased on this HR audit can e spread across following four different categories. • Human Resource -unction 3udit • Managerial =ompliance 3udit 27

• Human Resource =limate 3udit 9mployee "urnover 3 senteeism 3ccidents 3ttitude Surveys • HR ) =orporate Strategy 3udit Appro #2es to HR A%-it *. =omparative 3pproach @.enchmarking with another companyA +. %utside 3uthority 3pproach @%utside consultants& standardsA ,. Statistical 3pproach @Statistical measures and toolsA 4. =ompliance 3pproach @0egal and company policiesA 0' Management )y O#&ecti%es Approach 8Goals 9 O#&ecti%es #ased: MOTI ATION THEORIES 1erformance is a function of a ility and motivation. 1 O f @3 ; MA Definition 1: #hoices among voluntary activities 3 process governing choices made y persons or lower organisms among alternative forms of voluntary activity Definition 2: Arouse enthusiasm to pursue 3 result of internal and e;ternal processes to the individual that arouse enthusiasm and persistence to pursue a certain course of action Definition 3: Need that activates behavior 3 process that starts with a physiological deficiency or need that activates ehavior or a drive that is aimed at a goal or an incentive. Me nin! of Moti) tion Motivation is a set of forces that cause people to ehave in certain ways. Moti) tion Pro#ess .7 'teps0 *. 'ndividual Heeds +. Search for ways to satisfy needs ,. Boal 5 % !ectives directed 4. 'ncreased performance 6. Receiving rewards or punishment 7. Reassessment of needs Criti# lit$ of Moti) tion to M n !ers Import n#e of Moti) tion • Motivation helps employees find new ways of doing a !o • Motivation makes employees quality conscious • Motivation increases productivity very high • Motivation stimulates oth participation and production at work • Motivation comprehends !o s related ehaviors • Motivation increases attention towards human resources along with physical resources C2 llen!es of Moti) tion • (iverse and changing workforce • Rightsizing, (ownsizing, Hire)n)-ire, 1ay)for)1erformance strategies • Motives can only e inferred, not seen • (ynamic nature of human needs O&(e#ti)es of Moti) tion High productivity 'ncrease quality consciousness Stimulate participation at work /2eories of Moti) tion E rl$ /2eories '#ientifi# M n !ement: Motivation y scientific management is associated with -.>. "aylor&s techniques of scientific management. "aylor said that people are primarily motivated y economic rewards and will take direction if offered an opportunity to improve their economic positions. .ased on this "aylor descri ed following arguments • 1hysical work could e scientifically studied to determine optimal method of performance of a !o • >orkers could e more efficient y telling them how they were to do a !o • >orkers would accept the a ove prescription if paid on differentiated piecework asis • (isadvantages # (ehumanized workers, treated them as mere factors of production, only stressed on monetary needs, ignored human needs H%m n Rel tions Mo-el: 9lton Mayo&s human relations model stressed on social contacts as motivational factor. Breater importance was given to informal groups. However too much reliance on social contacts to improve productivity was a ma!or draw ack. Contempor r$ /2eories Content /2eories @Maslow&s Heed Hierarchy, Herz erg&s +)factors, 3lderfer&s 9RB, 3chievement Motivation "heoryA Pro#ess /2eories @Lroom&s e;pectancy, 3dam&s 9quity, 1orter&s 1erformance and Satisfaction ModelA Reinfor#ement # te!ories ERG /2eor$ .Al-erfer0: E+isten#e – Rel te-ness – Gro3t2 9RB theory emphasizes more on three road needs that is e;istence, relatedness and growth. 'ts hypothesis is that there may e more than one need operating at the same time. 9RB theory further states that when a higher level need is frustrating, the individual&s desire to increase lower level needs takes place. "hus 9RB theory contains frustration) regression dimension. -rustration at higher level need may lead to regression at lower level need. A-) nt !es # More consistent with our knowledge of differences among people, it is less restrictive and limiting, it is a valid version of need hierarchy. Dis -) nt !es # Ho clear)cut guideline of individual ehavior patterns, too early to pass a !udgment on the overall validity of the theory. /3o-F #tor /2eor$ .Her*&er!0 -redrick Herz erg states that the motivation concept is generally driven y two factors of motivators of !o satisfactions and hygiene factors a out !o dissatisfaction. Motivators are generally achievement, recognition, the work itself, 2,

responsi ility, advancement and growth, which are related to !o satisfaction. Hygiene factors deal with e;ternal factors like company policy, supervision, administration and working conditions, salary, status, security and interpersonal relations. "hese factors are known as hygiene factors or !o dissatisfiers, !o conte;t factors. A-) nt !es # tremendous impact on stimulating thought on motivation at work, increased understanding of role of motivation, specific attention to improve motivational levels, !o design technique of !o enrichment is contri ution of herz erg, dou le dimensions of two factors are easy to interpret and understand. Dis -) nt !es # 0imited y its methodology, relia ility questioned, it focuses more on !o satisfaction not on motivation, no overall measure of satisfaction utilized, inconsistent with previous research, productivity factor ignored. MORA!E Definition 1: )ental condition, attitude, willingness Morale is a mental condition or attitude of individual and groups, which determines their willingness to co)operate. Definition 2: Attitudes, voluntary cooperation Morale is attitudes of individuals and groups towards their work environment and towards voluntary cooperation to the full e;tent of their a ility in the est possi le interest of the organization. (istinction etween Morale and MotivationD ) Mor le Moti) tion *. =omposite of feelings, attitudes and sentiments *. Motivation moves person to action. that contri ute towards general satisfaction at +. 3 1rocess of stimulating individuals into action workplace. to accomplish desired goals. +. 3 -unction of freedom or restraint towards ,. 3 -unction of drives and needs. some goal. 4. 't mo ilizes energy. ,. 't mo ilizes sentiments. 6. Motivation is a potential to develop morale. 4. Morale reflects Motivation. Import n#e of Mor le s Responsi&ilit$ of M n !ement • Or! ni* tion Clim te: Morale is an important part of organization climate. • Attit%-es " 'entiments: Morale reflects attitudes and sentiments towards organization goals and o !ectives. • Pro-%#ti)it$: Morale highly affects productivity and satisfaction of individuals. • /ot l ' tisf #tion: Morale is total satisfaction derived from employees !o , oss and his organization. • 4 &or Pro&lems 'ol)e-: High morale assists managers to overcome several la or pro lems like la or turnover, a senteeism, indiscipline, grievances, disharmony etc. • Cooper tion: Morale helps to seek cooperation from the workers in getting higher production at minimum possi le cost y reducing wastages of time, man, machines and materials. • Pro-%#tion " Pro-%#ti)it$: 1roduction and productivity are directly affected y high morale in a positive manner. PERSONNE! PO!ICIES Me nin! of Personnel Poli#$ 3 1olicy is a 1lan of 3ction. 't is a statement of intentions committing the management to a general course of action. 3 1olicy may contain philosophy and principles as well. However a policy statement is more specific and commits the management to a definite course of action. Hence 1ersonnel policy is a plan of action to e implemented y HR department towards the organization and employees. 3 personnel policy spells out asic needs of the employees. "hrough personnel policy the personnel department ensure a consistent treatment to all personnel y minimizing favoritism and discrimination. 1ersonnel policy serves as a standard of performance for all employees. Sound personnel policies help uild employee motivation and loyalty. 3nd this happens when personnel policies reflect fair play and !ustice and help people grow within the organization. 1ersonnel policies are also plans of action to resolve intra)personal, inter)personal and inter)group conflicts. Import n#e of Personnel Poli#$ 1ersonnel policy is very important for an organization since it gives several enefits for managing your human resources effectively. 'n the light of these enefits listed elow we would e a le to understand the relative importance of 1ersonnel policy. • D si# Nee-s: 1ersonnel policy helps the management to think deeply a out asic needs of organization and the employees. • Consistent /re tment: 1ersonnel policies ensure consistent treatment of all personnel throughout the organization. • Minimi*e F )oritism: 1ersonnel policies help minimize favoritism and discrimination • Contin%o%s #tionD 1ersonnel policies ensure continuous action even if top management is changed. "hese policies promote sta ility. • 't n- r- of Perform n#e: 1ersonnel policies serve as a standard of performance. • Moti) tion " 4o$ lt$: 1ersonnel policies help uild employee motivation and loyalty. • F ir Pl $ " @%sti#e: 1ersonnel policies reflect esta lished principles of fair play and !ustice. • Gro3t2: 1ersonnel policies help people grow within the organization. 2OR3ERS7 PARTICIPATION IN MANAGEMENT .roadly, worker&s participation in management means associating representatives of workers at every stage of decision) making. 1articipative management is considered as a process y which the worker&s share in decision)making e;tends eyond the decisions that are implicit in the specific content of the !o s they do. "his amounts to the workers having a share in the reaching of final managerial decisions in an enterprise. Definition 1: Association of 2or'ers in decision4ma'ing process >orkers& participation may e taken to cover all terms of association of workers and their representatives with the decision) making process, ranging from e;change of information, consultations, decisions and negotiations to more institutionalized forms such as the presence of the workers& mem ers on management or supervisory oards or even management y workers themselves. '#ope of 3or1ersO p rti#ip tion Scope of workers participation ranges over three managerial decision)making stages. 'o#i l De#isions: Hours of work, welfare measures, work rules, safety, health, sanitation and noise control. Personnel De#isions: Recruitment and selection, promotions and transfers, grievance settlements, work distri ution E#onomi# De#isions: Methods of manufacturing, automation, lay offs, shut)downs, mergers and acquisitions and other financial aspects. Met2o-s of 6or1ersO P rti#ip tion in M n !ement 2C

*. .oard 0evel +. %wnership ,. =omplete =ontrol 4. Staff =ouncils 6. 2oint =ouncils 7. =ollective .argaining /. 2o 9nlargement and 9nrichment 8. Suggestion Schemes :. Iuality =ircles *<. 9mpowered "eams **. "otal Iuality Management *+. -inancial 1articipation PrereA%isites of '%##essf%l P rti#ip tion *. =learly defined and complementary % !ectives +. -ree flow of information and communication ,. Representatives of workers from workers themselves 4. %utside trade union participation should e avoided 6. >orkers& education and training 7. Ho threat y participation /. 3ssociation at all levels of decision)making Denefits of P rti#ip tion *. Bives identity to an employee +. Motivates employee ,. Self)esteem, !o satisfaction and cooperation improves 4. Reduced conflicts and stress 6. More commitment to goals 7. 0ess resistance to change /. 0ess la or pro lems 8. .etter quality suggestions e;pected UNIONS 9mployee associations are popularly known as unions. However these unions are not confined to only strikes and negotiations. "heir role is much wider than this. ?nions make their presence felt in recruitment and selection, promotions, training, termination or lay off. Many programs, which contri ute to the Iuality of >ork 0ife @I>0A and productivity, are undertaken y management in consultation with and with the cooperation of the unions. ?nions also participate in deciding wage and salary structure and negotiate revisions once in , or 6 years. "rade unions are voluntary organizations of workers or employers formed to promote their interests through collective action. "rade unions 3ct *:+7 defines a trade union as a com ination, whether temporary or permanent formed primarily for the purpose of regulating the relation etween *A >orkmen and 9mployers +A >orkmen and >orkmen ,A 9mployers and 9mployers -or imposing restrictive conditions on the conduct of any trade or usiness and includes any federation of two or more trade unions 62$ -o emplo$ees (oin /r -e >nions: "o protect themselves against e;ploitation y management .y force (issatisfaction 0ack of 1ower ?nion 'nstrumentality RO4E OF CON'/R>C/I9E AND PO'I/I9E >NION ?nions have a crucial role to play in 'ndustrial Relations. ?nions have following road role or o !ectives as mentioned elow. • "o redress the argaining advantage of the individual worker vis)R)vis the individual employer, y su stituting !oint or collective action for individual action. • "o secure improved terms and conditions of employment for its mem ers and the ma;imum degree of security to en!oy these terms and conditions. • "o o tain improved status for the worker in his work or her work • "o increase the e;tent to which unions can e;ercise democratic control over decisions, which affect their interests y power sharing at the national, corporate and plant levels. "he union power is e;erted primarily at two levels. 'ndustry level to esta lish !oint regulation on asic wages and hours with an employer&s association. 1lant level, where the shop stewards organizations e;ercise !oint control over some aspects of the organization of work and localized terms and conditions of employment. ?nions are party to national, local and plant level agreements, which govern their actions to a greater or lesser e;tent, depending on their power and on local circumstances. >NFAIR 4ADOR PRAC/ICE' 'ndustrial (isputes 3ct *:4/ specifies the following as unfair la or practices • "o interfere, restrain, coerce workmen in the e;ercise of their right to organize, form, !oin or assist a trade union. • "hreatening workmen with discharge or dismissal • "hreatening of lockout or closure • Branting wage increases to undermine trade union efforts • "o dominate, interfere with or support financially or socially y taking active interest in forming own trade union, and • Showing partiality or granting favor to one of several trade unions to a non)recognized trade union • "o esta lish employer sponsored trade unions

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"o encourage or discourage mem erships in any trade union y discriminating workman y punishing or discharging, changing seniority ratings, refuse promotions, giving unmerited promotions, discharging union office earers • "o discharge or dismiss workmen y victimizing, not in good faith, implicating in criminal case, for patently false reasons • "o a olish work of a regular nature • "o transfer workmen • "o show favoritism or partiality • "o replace workers • "o recruit workmen during legal strikes • "o indulge in acts of violence or force • "o refuse collective argaining • 4roposing and contin"ing loc3o"ts ORGANI8ATIONA! DO2NSI8ING (ownsizing necessarily means reducing work force to an optimal level depending upon the usiness conditions and organizational needs. 't is said that an organization should e rightly staffed ie. 't should not e overstaffed and or understaffed. "here are roadly following method used to downsize the workforce as mentioned elow. Retren#2ment: 't means termination of service. 't is a termination for reasons other than disciplinary actions, retirement or superannuating, e;piry and termination of contract or prolonged illness. Retrenchment compensation and notice for retrenchment are only pre)conditions for retrenchment and not a right, which a retrenched worker can claim. 'f notice and compensation are not given, the worker will not e called as retrenched. =ompensation is paya le for *6 days wages for every completed year of service esides one month&s notice or pay in lieu of notice. .ut employee should have completed at least one year of complete service in order to receive compensation. 4 $ Offs 0ay of is ina ility of the employer to provide employment to workers due to circumstances eyond his control such as shortage of power, coal, reakdown of machinery, natural calamity etc. 't is not a termination of service. 0ay off compensation can e claimed as a statutory right y the worker if he has completed one year of continuous service or has worked for +4< days on the surface or *:< days underground in *+ calendar months. =ompensation paya le is half of the wages. 9ol%nt r$ Retirement '#2emes LRS are announced when there is a huge pool of old aged manpower occupying senior positions amounting to surplus. Many organizations are providing li eral incentives to leave efore age of superannuating. LRS in other words is a retirement efore the age of retirement. MEANING O/ ORGANI8ATION STRUCTUREOr$ani9ational str)ct)re is t*e 'or(al &ecision-(a5in$ 'ra(e:or5 b1 :*ic* job tas5s are &ivi&e&+ $ro)%e&+ an& coor&inate&, /or(ali9ation is an i(%ortant as%ect o' str)ct)re, It is t*e e;tent to :*ic* t*e )nits o' t*e or$ani9ation are e;%licitl1 &e'ine& an& its %olicies+ %roce&)res+ an& $oals are clearl1 state&, It is t*e o''icial or$ani9ational str)ct)re conceive& an& b)ilt b1 to% (ana$e(ent, T*e 'or(al or$ani9ation can be seen an& re%resente& in c*art 'or(, An or$ani9ation c*art &is%la1s t*e or$ani9ational str)ct)re an& s*o:s job titles+ lines o' a)t*orit1+ an& relations*i%s bet:een &e%art(ents, Or! nis tion C2 rts: "he organization charts are the sample and an understanda le way showing the formal organization structure)'t gives a clear overview of the shape and structure of an organization. 't is an order and the design of an organization captured in a visual form. 't is a lue print or a asis for proper conceptualization, further thinking, a discussion oard for further modifications without affecting the actual changes. "he organization chart well drawn, can give an insight in to the organization, its hierarchical structure line and staff authority, authority and responsi ility levels, chain of command, line of delegated authority, decentralization or otherwise in an organization, span of control etc. 't also helps and guides the management in evolving changes with the changes in the environment and for faster realization of goals. )t is a oo$ %i$e #o! the ne- !ec!%its in thei! initiation in the o! ani(ation an$ in %n$e!stan$in the a%tho!ity !esponsi'ility levels incl%$in his o-n. Form l Or! nis tion T*e intentional str)ct)re o' roles in a 'or(all1 or$anise& enter%rise is a 'or(al or$anisation +t sho"ld ha%e an attri#"te of fle7i#ility2 room for discretion and the recognition of indi%id"al talents and the capacities' +n a gro"p f"nctioning the indi%id"al effort 5ill ha%e to #e chaneli$e thro"gh the gro"p leader and has to #e for the organi$ation;s good' In$"r)al S!ru !ure The informal organi$ation is the net5or32 "nrelated to the firm<s formal a"thority str"ct"re2 of social interactions among its employees' +t is the personal and social relationships that arise spontaneo"sly as people associate 5ith one another in the 5or3 en%ironment' The s"per%isor m"st reali$e that the informal organi$ation affects the formal organi$ation' The informal organi$ation can press"re gro"p mem#ers to conform to the e7pectations of the informal gro"p that conflict 5ith those of the formal organi$ation' This can res"lt in the generation of false information or r"mors and resistance to change desired #y management' The s"per%isor sho"ld recogni$e the e7istence of information gro"ps2 identify the roles mem#er play 5ithin these gro"ps2 and "se 3no5ledge of the gro"ps to 5or3 effecti%ely 5ith them' The informal organi$ation can ma3e the formal organi$ation more effecti%e #y pro%iding s"pport to management2 sta#ility to the en%ironment2 and "sef"l comm"nication channels' M tri+ 'tr%#t%re'n a matri; organization, teams are formed and team mem ers report to two or more managers. M tri+ str%#t%res utilize functional and divisional chains of command simultaneously in the same part of the organization, commonly for one)of)a)kind pro!ects. 't is used to develop a new product, to ensure the continuing success of a product to which several departments directly contri ute, and to solve a difficult pro lem. .y superimposing a pro!ect structure upon the functional structure, a matri; organization is formed that allows the organization to take advantage of new opportunities. "his structure assigns specialists from different functional departments to work on one or more pro!ects eing led y pro!ect managers. "he matri; concept facilitates working on concurrent pro!ects y creating a dual chain of command, the pro!ect @program, systems, or productA manager and the functional manager. 1ro!ect managers have authority over activities geared toward achieving organizational goals while functional managers have authority over promotion decisions and performance reviews. 3n e;ample is an aerospace firm with a contract from H3S3. 7i.i#i"nal S!ru !ure

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+n a *i.i#i"nal "rgani(a!i"n2 corporate di%isions operate as relati%ely a"tonomo"s #"sinesses "nder the larger corporate "m#rella' +n a conglomerate organi$ation2 di%isions may #e "nrelated' 6i%isional str"ct"res are made "p of self/contained strategic #"siness "nits that each prod"ces a single prod"ct' -or e7ample2 Beneral Motors< di%isions incl"de =hevrolet2 %ldsmo ile2 1ontiac2 and =adillac' A central head!"arters2 foc"sing or res"lts2
3G

coordinates and controls the acti%ities2 and pro%ides s"pport ser%ices #et5een di%isions' -"nctional departments accomplish di%ision goals' A 5ea3ness ho5e%er2 is the tendency to d"plicate acti%ities among di%isions' Or! ni# 'tr%#t%re%n the other hand, the organic structure is more fle;i le, more adapta le to a participative form of management, and less concerned with a clearly defined structure. "he organic organization is open to the environment in order to capitalize upon new opportunities. %rganic organizations have a flat structure with only one or two levels of management. Fl t or! ni* tions emphasize a decentralized approach to management that encourage high employee involvement in decisions. "he purpose of this structure is to create independent small usinesses or enterprises that can rapidly respond to customersE needs or changes in the usiness environment. "he supervisor tends to have a more personal relationship with his or her employees. F%n#tion l 'tr%#t%re-unctions or divisions arrange traditional organizations. 'n a f%n#tion l or! ni* tion, authority is determined y the relationships etween group functions and activities. -unctional structures group similar or related occupational specialties or processes together under the familiar headings of finance, manufacturing, marketing, accounts receiva le, research, surgery, and photo finishing. 9conomy is achieved through specialization. However, the organization risks losing sight of its overall interests as different departments pursue their own goals.

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