1 introduction to hrm hr = (knowledge, skill, creative abilities, talents, aptitude) m = (planning,...

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1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL APPROACH : - PERSONNEL MGT Command & control standardization consistency & conformity NEW APPROACHES :- HRM Greater freedom & support flexibility DEFINITION :- Activities for providing &

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Page 1: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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INTRODUCTION TO HRMHR = (Knowledge, Skill, Creative Abilities, Talents,

Aptitude)

M = (Planning, Organising, Staffing, leadings, Controlling,)

TRADITIONAL APPROACH : -

PERSONNEL MGT Command & control standardization consistency & conformity

NEW APPROACHES :-

HRM Greater freedom & support flexibility

DEFINITION :- Activities for providing & coordinating the human resources on an organization.

Page 2: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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I scientific MGT. Approach Constant Supervision

Needed. Scientific & Objective Approach Taylor

Emphasis on employee output High Degree of

Standardization.

Economic Man Motivation by economic & Financial

Incentives

Piece rate Time & Motion Study; Job Analysis; Wage

Incentives; Hygiene, training, Welfare & Recreational

Activities.

HISTORY OF HRM :-

1900s

20th Century

Page 3: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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II. HUMAN RELATIONS APPROACH

(1930 – 40) How Theory Studies :- Demerits

a) Oversimplification of behavior.

b) Did not recognize individual differences

c) Did not recognize need for job structure other factors not recognizes :--

i. Career developmentii. Job Enrichment iii. Caret Planning

Page 4: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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III. HUMAN RESOURCES APPROACH

1970S ORGANIZATIONAL GOALS & EMPLOYEE NEEDS COMPATIBLES

MOTIVATION

REWARDS PERFORMANCE

ORGANIZATION PERFORMANCE

Page 5: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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PRINCIPLES :-

a) Employees are assets (Time & Resources Investment)

b) Policies to cater to needs of employees

c) Conducive work environment for developing knowledge & skills.

FUNCTIONS OF HRMFUNCTIONS OF HRM1. MANAGERIAL

2. OPERATIUE

Page 6: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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MANAGERIAL FUNCTIONS :-

PLANNING ORGANILING STAFFING DIRECTING

Identifying HP

requirements,

Programs

Chain of

Command

Division of

Labor,

Assignment of

Responsibility

MPP,

Recruitment,

Selection.

Placement, T &

D, Career Dev

Directing

Available

resources

Towards ORG.

Goals

Page 7: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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CONTROLLING

Measurement & Rectification or Activities

OPERATIVE FUNCTIONS: SPECIFIC ACTIVITIES

1. EMPLOYMENT Job Analysis, HRM, Recruitment Selection, Placement, Induction,

2. HR Development T & D. Developing Skills, Knowledge, Attitude, Beliefs, Values, Performance

Appraisal, Career Planning, MGT. Development

3. COMPENSATION BASED ON JOB EVALUATION

a) Job Evaluation, b) Wage & Salary Admn, C) Incentives d) bones e) Fringe Benefits

4. EMPLOYEE RELATIONS Team Building, Motivating, Grievance handling, Discipline, counseling, QWL.

Page 8: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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ROLE OF HRM

Human Resources – A Competitive Advantage (Because of Knowledge Based, Service Oriented Business)

Human Resource

Accounting (Cost & Value)

Page 9: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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ROLE OF HR EXECUTIVE

1. SURVICE PROVIDES Information on available personnel, pay rates,

complex labor laws.

2. THE EXACUTIVE Recruitment, Compensation

3. FACILITATOR For T & D, Performance appraisal

4. CONSULTANT Advises about lack of motivation, training, grievances

5. AVDITOR Sees that all members perform their respective roles

Page 10: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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CAHLLENGES TO HR PROFESSIONSALS (KNOWLEDGE WORKERS)

1. WORKER PRODUCTIVITY Quality, Flexibility, Shorter product dev , Cycles Necessary

i. Revamping organizational culture & structure Tall structure disbanded, Business decisions takes in work place ,

ii. More autonomy gives

iii. Self manages work teams

2. QUALITY IMPORVEMENT Corporate culture Jack Welch

3. CHANGING ATTITUDES OF WORKFORCE No job security, Downsizing, Single global market, workforce diversity, glass ceiling (ICICI Bank), Family Friendly (EICHER, ONGC)

Page 11: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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4. IMPACT OF GOVT Globalisation, Formulation of

Labor laws

5. QWL Extent to which employee meets his professional

needs satisfaction / Achievement,

participation in decision making

6. Technology & Training Wireless & cellular

technology,

computer

technology demands T & D.

Page 12: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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STATEGIC HRM

Optimum Utilization of Human Resources to Achieve set Goals

& Objectives in Alignment with Organizational Strategy &

Strategy of other functional areas like Finange, MKT.

1. Designing HR goals in alignment with organizational goals.

2. Identifying HR required.

3. Developing HR internally or acquiring form outside.

4. Conception & Implementation of new HR initiatives to Accomplish organizational Goals.

EG. IT INDUSTRY

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ORGANIZATION STRUCTURE & HRM Changes in environment Legal, Population, Technological, Economic, Market

THEY DISTURB ORGANIZATION EQUILIBRIUM

Depends on Organizational Structure in 1950s firms in U. K. divided into : -

a) MECHANISTIC ORGANIZATION Rigid structor directive & Rules, Centralization of Authority, bureaucracy, static environment.

Power & Authority in few hands tasks & duties clearly specified vertical Inte Raction. E. G. Public Sector Companies

a) ORGANIZATION STRUCTURE Flexibility, Value for knowledge, Decentralized style of management, Low levels of Authority & Formalization, Decisions taken by lateral consultations, no cumbersome rules & regulations,

Page 14: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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FORMAL & INFORMAL

ORGANIZATIONS

FORMAL Reporting Channels & Work Relations Pre-defined,

Accountability & Responsibility Fixed.

INFORMAL Without any Formal Goals or Objectives, AD-

HOC Collection of Employees, share common

Interests, Ideas, Information,

Free flow of Information & Ideas

Page 15: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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TALL & FLAT ORGANIZATIONAL STRUCTURES

TALL More hierarchical levels, Narrom span of control, close

supervision, Continuous Interaction, Strained Superior – Subordinate

Relations, Decision Making lies with superior, decision making

before centralized.

FLAT Wide span, Fewer hierarchical levels, Delegation of

Authority, Empowerment of Employees to take Decisions at lower

Levels, efficient & well Trained teams.

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STUCTURE DETERMINED BY

1. Organizational Goals

2. Administrative Requirements

3. Employee Capabilities & Needs

4. Performance & Production Demands

5. Size of Firm

6. Competitive Forces

7. Economic Conditions

8. History & Culture.

Page 17: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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RESPONSIBILITY AUTHORITY ACCOUNTABILITY

i. Should improve organizational working

ii. No overlap of responsibilities

iii. Limits of responsibility to b fixed.

ACT, Exert influence, Make decisions, Right to give orders, Power to exact obedience,

Employee's answerability on using authority in discharging responsibility

Carry out duties Assigned

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Line & Staff Functions

Core Activities Support functions

Manufacturing Marketing HRM Finance

Service oriented business E.G. Finance Line ? Staff ? / Insurance B.P. O.

Page 19: 1 INTRODUCTION TO HRM HR = (Knowledge, Skill, Creative Abilities, Talents, Aptitude) M = (Planning, Organising, Staffing, leadings, Controlling,) TRADITIONAL

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LINE – STAFF CONFLICT :-

LINE

i. HR encroaches; in union-mgt. Negotiations

ii. HR does not provide sound, Balances advice; Not acquainted

with markets; Business, Products, Production; Not

Accountable for end results.

iii. HR takes credit & steals limelight.

iv. HR does not see the whole picture.

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STAFF

i. Line is prejudices & biased against HR

ii. Line does not understand value & importance of staff

functions

iii. Line does not known how to make effectives use of HR

functions

iv. Line function is closed to innovations & experimentation

v. HR not given enough freedom & power.

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HR professionals should change a bout perceptions

i. Understanding business & Markets better

ii. Stating limitations of line functions

iii. Building atmosphere of trust & transparency

iv. Taking active roles in designing tae strategy of the organization.

Role of HRD in an organization Role of HRD in an organization

i. SPECIALISH Advises management on people related issues; conveys management decisions to employees; implementing initiatives for the betterment of employees.

ii. FACILITATOR Design & Implementation of activities like training, management.

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DEVELOPMENT, PERFORMANCE APPRAISAL

III. Change agent Adequate knowledge of technology,

sociology, psychology, O.B. Business, markets, competitors.

IV. Controller Ensure compliance to various laws &

regulations.