Human Resources Management of NIBM

Human Resources Management of NIBM
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National Institute of Business Management
Chennai - 020


Elective: Human Resources Management (Part - 1)

Attend any 4 questions.  Each question carries 25 marks
(Each answer should be of minimum 2 pages / of 300 words)

1.     Explain the main HRM activities.
2.     What are the main reasons for undertaking Human resource planning in an organization? Explain.
3.     Explain the principles and techniques of Job Analysis.
4.     In identifying the need to recruit what issues are to be considered by an employer? Explain.
5.     Explain the stages of the Performance Management process.
  1. Explain the factors that affect a training requirement.

25 x 4=100 marks

1.   Explain the main HRM activities.

The central focus for HR management must be on contributing to organizational success. Key to enhancing organizational performance is ensuring that human resources activities support organizational efforts focusing on productivity, service, and quality.

-Productivity: As measured by the amount of output per employee, continuous improvement of productivity has become even more important as global competition has increased. The productivity of the human resources in an organization is affected significantly by management efforts, programs, and systems.
-Quality: The quality of products and services delivered significantly affects organizational success over the long term. If an organization gains a reputation for providing poor-quality products and services, it reduces its organizational growth and performance. An emphasis on quality requires continuous changes aimed at improving work processes. That need opens the door for reengineering the organizational work done by people. Customer value received and satisfaction become the bases for judging success, along with more traditional HR measures of performance and efficiency.

-Service: Because people frequently produce the products or services offered by an organization, HR management considerations must be included when identifying service blockages and redesigning operational processes.
Involving all employees, not just managers, in problem solving often requires changes in corporate culture, leadership styles, and HR policies and practices.

To accomplish these goals, HR management is composed of several groups of interlinked activities. However, the performance of the HR activities must be done in the context of the organization. Additionally, all managers with HR responsibilities must consider external environmental forces—such as legal, political, economic, social, cultural, and technological ones—when addressing these activities. These external considerations are especially important when HR activities must be managed internationally. The HR activities for which a brief overview follows are:
-HR Planning and Analysis
-Equal Employment Opportunity
-HR Development
-Compensation and Benefits
-Health, Safety, and Security
-Employee and Labor/Management Relations

HR Planning and Analysis
HR planning and analysis activities have several facets. Through HR planning, managers attempt to anticipate forces that will influence the future supply of and demand for employees. Having adequate human resource information systems (HRIS) to provide accurate and timely information for HR planning is crucial. The importance of human resources in organizational competitiveness must be addressed as well. As part of maintaining organizational competitiveness, HR analysis and assessment of HR effectiveness must occur. The internationalization of organizations has resulted in greater emphasis on global HR management.

Equal Employment Opportunity
Compliance with equal employment opportunity (EEO) laws and regulations affects all other HR activities and is integral to HR management. For instance, strategic HR plans must ensure sufficient availability of a diversity of individuals to meet affirmative action requirements. In addition, when recruiting, selecting, and training individuals, all managers must be aware of EEO requirements. 

The aim of staffing is to provide an adequate supply of qualified individuals to fill the jobs in an organization. By studying what workers do, job analysis is the foundation for the staffing function. From this, job descriptions and job specifications can be prepared to recruit applicants for job openings. The selection process is concerned with choosing the most qualified individuals to fill jobs in the organization.

HR Development
Beginning with the orientation of new employees, HR training and development
also includes job-skill training. As jobs evolve and change, ongoing retraining is necessary to accommodate technological changes. Encouraging development of all employees, including supervisors and managers, is necessary to prepare organizations for future challenges. Career planning identifies paths and activities for individual employees as they develop within the organization. Assessing how employees perform their jobs is the focus of performance management. 

Compensation and Benefits
Compensation rewards people for performing organizational work through pay,
Incentives, and benefits. Employers must develop and refine their basic wage and salary systems. Also, incentive programs such as gain sharing and productivity rewards are growing in usage. The rapid increase in the costs of benefits, especially health-care benefits, will continue to be a major issue. 

Health, Safety, and Security
The physical and mental health and safety of employees are vital concerns. The Occupational Safety and Health Act of 1970 (OSHA) has made organizations more responsive to health and safety concerns. The traditional concern for safety has focused on eliminating accidents and injuries at work. Additional concerns are health issues arising from hazardous work with certain chemicals and newer technologies.
Through a broader focus on health, HR management can assist employees with substance abuse and other problems through employee assistance programs (EAP) in order to retain otherwise satisfactory employees. Employee wellness programs to promote good health and exercise are becoming more widespread.
Workplace security has grown in importance, in response to the increasing number of acts of workplace violence. HR management must ensure that managers and employees can work in a safe environment. 

Employee and Labor/Management Relations
The relationship between managers and their employees must be handled effectively if both the employees and the organization are to prosper together. Whether or not some of the employees are represented by a union, employee rights must be addressed.
It is important to develop, communicate, and update HR policies and rules so that managers and employees alike know what is expected. In some organizations, union/management relations must be addressed as well.

5. Explain the stages of the Performance Management process.

Performance management is a management style that has grown increasingly popular. It involves a process in which a company, organization, or institution creates a work environment that empowers employees to work to the best of their abilities. The process that an employer uses to accomplish this often varies from one business to the next. Despite these variations, the performance management process generally involves some form of goal setting, evaluation and reward. In addition, coaching is often offered throughout the process.
The planning stage of the performance management process is meant to set achievement goals for the employee and discuss the expected level of performance for the job. The expectations for any given employee will typically depend on the work they are doing or the department they are in. At the end of the planning stage both the employee and management must be in agreement in terms of what is expected. In addition, the goals that are set are ones that should be achieved within the course of one year.
The assessment is an annual evaluation of the employees' performance. This often takes feedback from co-workers and clients into consideration, in addition to observations by management. Assessments also include a review of the previous years' evaluation and an assessment of skills. Some employers may have an employee complete an evaluation of their own performance that is then discussed during the evaluation and compared to the official evaluation.
This portion of the process is about recognizing the employee's accomplishments as well as any areas that need improvement. During this process the manager/employer and the employee should discuss ways to make improvements. Management should also be open to things that they can do differently in efforts to help the employee. In terms of accomplishments, employees may be given recognition verbally and/or in the form of bonuses or promotions.
Career Development
This phase of the process is to promote and encourage future improvement and development of the employee. It should meet the needs of the business or organization, enhance the strengths of the employee and work to eliminate areas of weakness. This may involve training on site as well as sending the individual to off-site training. As with other phases or stages of the process, communication between management and the employee is important.
Performance Management Process Tools & Resources
Click on this link to review the five steps of the performance management process as outlined by the U.S. Department of Commerce Office of the Secretary. The page also includes links to chapters in the handbook.
·         Performance Management Toolkit
A PDF document from the University of California, Berkeley that addresses the phases of the performance management cycle, guiding principles, and the role of the supervisor. Other information in this PDF includes 360 degree feedback and tips for development plans and work goals.
An overview of the purpose of the performance management process and why it is needed. The page refers to the university but it may also be applied to any office or business.
·         Performance Appraisal Ratings
This PDF outlines what performance management is and the definition of various performance appraisal ratings. It also provides examples of the ratings and how to determine them.
A fifteen-page PDF document that introduces the processes, provides objectives and outlines each step.
On this page readers will find the objectives of the performance management process and an overview. Review and updating of the position description, performance factors, and employee input are also included on this page. Certain information is specific to Pittsburgh State University, although the basic information may be useful to any employer or management team.
Learn about performance management and its phases by clicking on this link. In addition, readers will also find tips on how to develop an assessment form and also information about the effectiveness of 360-degree feedback.
Readers who click on this link will learn about performance management, why it is important, and what needs to be done. The page also charts the steps that are key to effective performance management.
A step-by-step outline of performance appraisals. The page outlines preparation, assessment, reviewing documents, appropriate setting, delivery, and encouragement.
·         Performance Management
An overview of the performance management process according to the state of Georgia. Principles and phases are outlined and links to performance planning and coaching tools are included.
An outline of the purpose, benefits and steps involved in performance management.
·         Performance Management Cycle
This page outlines and explains the process of performance management. Planning, monitoring, developing, rating, and rewarding are areas that are reviewed on this page.
By clicking on this link readers open a seven-section PDF guide on the performance management process. The guide includes sections on performance planning, coaching, evaluation, and development.
An overview of the elements involved in the performance management process. The process is illustrated in a drawing, below which readers will find the various stages.
Click this link to review the seven steps of the performance management process on the Health Resources and Services Administration.
This is a training PDF that outlines the performance management process. The document provides explanations and guidance regarding the various steps.
Click this link to review useful tips and hints for performance management. Readers who click this link can also review the process and guidelines as outlined by the University of Missouri.
·         Performance Management Guide
This is a PDF guide that includes information regarding performance management, including an overview of the eight-step process. Readers will also find a management timeline, feedback and self-assessment processes and tools, and more.

6. Explain the factors that affect a training requirement.

Transfer of learning is critical to recognizing a positive rate of return, but many companies fail to realize most of the influencing factors are out of the learner’s control. This article identifies the top ten influential factors that affect job training, which focus mainly on the organization.

Training Effectiveness

Identifying whether or not a training initiative is effective depends on how well learners are able to apply what they learned to improve job performance. Furthermore, without a significant and observable return on investment, training is seen as a waste of time and valuable resources. However, whether or not a learner is able to successfully transfer his or her knowledge to the workplace isn’t wholly dependent upon the learner. Instead there are many different types of influential factors that affect job training, and, in fact, most of them do not depend on the learner.

Ten Influential Factors-

Management Support
One of the most important influential factors that affect job training is management support of training initiatives. It is critical that managers foster a climate conducive to learning, support the training initiatives, and encourage professional development. Without management support, there wouldn’t be designated funds for training programs, and workers wouldn’t feel comfortable using new knowledge and skills.
Legitimate Training Needs
The next factor that affects whether or not training is well-received and effectively transferred to the job depends on whether or not the training topic is a valid training need. The best way to validate a training need is to conduct a needs analysis. If a training topic is truly a training need, learners will be actively engaged and willing to learn the new topic and can readily apply it to the workplace.
Effective and Experienced Trainer

Coming from in-house or a consulting firm, a trainer must be able to communicate effectively, facilitate a conversation to ensure the needs and expectations of the learners are met, present material clearly and effectively, and make information interesting. An effective trainer also creates a safe and engaging learning environment, actively keeps learners involved, and can adjust appropriately when necessary.

Learning Objectives

Another factor that is critical to training success is a well-written learning objective. Learning objectives help the instructor guide discussions and help students understand what is expected of them. Students who understand what is expected are more involved and willing to invest energy in pursuit of a goal. To be effective, learning objectives must specify a behavior or performance that a learner should be able to complete at the end of training, a measurable criterion, and any conditions of performance.

Learner Ability and Motivation

To effectively transfer knowledge to the workplace, learners must have the ability and motivation to succeed. Learners need to have ample opportunities to use the training, and they need to perceive the benefit and validity of the training. Learners also need to feel that a change in behavior will lead to a valued outcome or job enrichment.

Learner Readiness
A learner must also be ready and willing to learn new information. A learner must identify the need to adapt one’s behavior and be able to learn a new skill, and the learner needs to have an open mind to be receptive to a new way of thinking and performing.
Learner Emotional Investment
Adult learners are especially notorious for needing to know why they need to know something. Adults need to see the immediate benefit of applying the new skills, which increases emotional investment and level of engagement. Furthermore, adult learners need to retain an emotional connection to prior experiences that relate to new information.
In-Class Practice
A trainer needs to ensure learners have an appropriate number of opportunities to practice new skills in the classroom. Allowing students to practice in a controlled, in-class environment fosters the appreciation for feedback and trial-and-error learning. Such activities include discussions, interactive demonstrations, job-instruction training, brainstorming, and case studies.
Out-of-Class Practice
After students have mastered topics through in-class practice, they need to practice in a controlled out-of-class environment. These practice opportunities yield better retention, and learners have a mentor to provide feedback and guidance. Such out-of-class opportunities include modeling, job rotation, apprentice training, coaching, mentoring, experiential learning, and on-the-job training.

Appropriate Learning Environment
The final influential factor that affects job training is the appropriateness of the learning environment. A classroom needs to be flexible, so it can quickly and easily be rearranged. It needs to be isolated or removed from the workplace, so learners are mentally prepared to separate themselves from normal work activities. Finally, a classroom needs to be effectively lit, ventilated, and arranged to maximize learner comfort and minimize distraction.

3. Explain the principles and techniques of Job Analysis.
              Job analysis is a process used to determine and describe the content of jobs in such a way that a clear understanding of what the job is about is communicated to anyone who might required the information for management purposes.
   Uses of Job Analysis:-
Ø Human resource planning.
Ø Selection.
Ø Job evaluation.
Ø Training and development.
Ø Job redesign.
Ø Performance management.
Ø Organization review and restructuring.
Ø Employees’ rights.

Principles of Job Analysis:-
      The key principles underlying job analysis are as follows:-
1.    Analysis not list of tasks. The analysis of the job should break it down into its component parts and jot just list the activities carried out. This entails fully describing the various aspects of the job in a way that gives a clear picture of what the jobholder actually does and how the activities fit together, that describes the complexities and challenges of the job, and that makes it clear what the job contributes to the organization. Mere list do not help in giving an understanding of what the job is about.
2.   Jobs not people. The analysis is of the job, not how an individual perform in that job. The

Job Analysis Techniques in HRM:

At it is established that job analysis is the process of studying job content and context so that it facilitates to find the job requirement and skills requirements. It helps to find the right man at right job. It provides the job satisfaction and motivation to employees. So, job analysis should be accurate and scientific. There are number of techniques or methods of job analysis. Job analysis techniques can be different for different purposes, organizations and contexts. For the purpose of simplicity, they can be grouped under two broad categories and Job focused techniques and person or behavior focused techniques as below:

A. Job Focused Techniques:

Job analysis can be conducted by focusing only to the job dimensions i.e. task to be done. Such techniques are categorized under job focused techniques. Job focused techniques thus, give high priority to the tasks or activities to accomplish for the job analysis. There are following four most popular methods of job analysis under job focused techniques:

1. Functional job analysis:

Functional job analysis method describes the nature of jobs in terms of people, data and the things. It prepares job summaries, job descriptions and job specification. This technique first time was developed by department of labor, United States of America. This method aims to provide a standardized method by which different jobs can be quantitatively rated, classified and compared as depicted earlier. The core emphasis of this method is a rating of each job in terms of what an incumbent does with respect to data, people and thins. This technique was designed to improve job placement and counseling for workers who register for employment at local state employment at local state employment officers. This method is being one of the most popular methods of job analysis in private and government organization. Functional job analysis considers following important fundamental assumptions:
  • Jobs are concerned with data, people and things
  • All jobs require rating data, people and thins with the worker to some degree. 
  • The function appropriate to dealing with data, people or things is hierarchical and ordinal, proceeding from complex to the simple. 
 U.S department of labor (1977) has suggested three main functions of a clerical employee. Data consists of six elements, people related function consists of eight elements and things consists seven elements. Each of these functions concentrated at work.

2. Management position description questionnaire method:

Under this method, highly structured questionnaire containing 197 items are prepared to collect the information regarding managerial responsibilities, restriction, demand and other miscellaneous position characteristics. Information collected by collecting responses from questionnaire are analyzed and concluded for the responsibilities to be conducted, accountability required, authority demand, skills and qualification required to accomplish the responsibility effectively and efficiently. This method is frequently used to evaluate managerial jobs, determine the training needs of employees moving into managerial jobs, and determine compensation system for managerial jobs. This method further helps in succession planning.

3. The Hay Plan:

Hay plan is the method of job analysis which collects information regarding nature and scope of position. Hay plan provides basis of job comparison within and outside the organization. This assists in establishing reward system in organization to make equitable. Hay plan is similar to management position description questionnaire but less structured. This method covers following five important aspects:
  • How does the position fit into the organization?
  • What is the general composition of supporting staff in the organization?
  • What can be the general nature of the technical, managerial and human relationship technique required?
  • What is the nature of problem solving knowledge required for the job position?
  • What is the nature of control and supervisory requirements in a specific managerial job? 
This method specifies each job in terms of its function, nature, managerial relationship, technical aspects, knowledge required for solving problem, need of control and supervision at job, etc.

4. Methods of Analysis:

Irrespective to traditional job analysis procedures, this method concentrates on the method to be used to do the jobs effectively and efficiently. Traditional methods concentrate mainly on describing the job elements and general duties but they do not discuss about how to do the job more effectively and efficiently as possible. Method analysis fulfills this gap. Method analysis is basically applied to non managerial jobs. This technique focuses on the following principles:
  • Balancing movements of two hands
  • Doing productive work and reducing idle time
  • Trying to reduce muscular effort
  • Locate all tools and materials for proper application
  • Scientific tools and techniques to use for efficient and effective job done
  • Coordination required between employees

B. Person or Behavior Focused Techniques:

These techniques focuses on the behavior or personal traits of the employees desired in job. In this method, personal characteristics, abilities and potentialities of persons desired to fit at job are analyzed. There are different techniques under behavior focused techniques which primarily specify person oriented content of jobs. Some common behavior focused techniques to analyze the job are described below:

i. Position analysis questionnaire:

In this method questionnaire is used as an instrument to collect information regarding job position. It is highly specialized instrument used for analyzing job in terms of employee activities. This method focuses human characteristics, tasks and technological factors. PAQ contains 194 job dimensions. These elements are grouped into six general categories. Each job element is also rated on one of six rating scales. 

This method focuses more on quantitative information relating job and person. It can be used to analyze almost every job. This method provides basis of comparison of different jobs. For effective. PAQ, trained and qualified persons are required.

ii. Physical ability analysis: 

Every job requires certain mental and physical abilities. Physical ability analysis method is basically concerned with the physical abilities. This method considers nine physical abilities of employees to be employed while analyzing the job. Complexities, coordination of organs, speed etc. are the areas of the job analysis under this method.

iii. The critical incident technique:

Different situations or incidents have to face by employees in their daily work life which they have to solve and make wise decision for the betterment of organization. So, such situation or events that may have to face by employees at different jobs. Thinking this as the price concern, CIT utilizes actual or critical incidents or events like extreme behavior, outstanding, effective or ineffective efforts while attending general job activities. This means jobs are evaluated and analyzed on the basis of some critical information from job. Such information are collected from employees and supervisors. This method focuses on on the job behavior to describe their level of performance i.e. both high levels and low level performance. This technique collects the information regarding:
  • What led to the incident?
  • What exactly the employee did? 
  • What are the perceived consequences of the employee's behavior?
  • Whether or not, these consequences were within the control of the employee?
 Such information help to decide whether or not a particular person is capable of performing under the critical situations. This method also provides sufficient information for determining training need and establishing compensation system though this method focuses only on characteristics of employees.

iv. Guidelines oriented job analysis:

Guidelines oriented job analysis method determines the job elements which can be performed with same guidelines or instruction. The objective of GOJAS is to provide uniform guidelines to analyze the job. This method offers a realistic job description. With this method, we can develop job related selection procedures, performance appraisal forms and spotting training needs. In this method, job incumbents are involved in the job analysis process. Therefore, employe understanding and validity towards the job analysis can be enhanced. 

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