Human

Superior Resource
University
To: Mohsin
Management
Iqbal
Umair Farooq (9268)
MBA (Professional) 3rd
 Human Resource Management

Human Resource management is

based in the efficient utilization of
employees in achieving two main
goals within a corporation or other
type of organization. The first goal is
to effectively make use of the
talents and abilities of employees to
achieve the operational objectives
that are the ultimate aim of the
organization. Along with realizing
the goals of the organization,
Human Resource management also
seeks to ensure that the individual
employee is satisfied with both the
working environment and the
compensation and benefits that he
or she receives.

Functions of HRM:
1. Recruitment & Selection
2. Training and Development
3. Performance Evaluation and Management
4. Promotions/Transfer
5. Redundancy
6. Industrial and Employee Relations
7. Record keeping of all personal data.
8. Total Rewards: Employee Benefits & Compensation
9. Confidential advice to internal 'customers' in relation to problems at work
10. Career development
11. Time motion study is related to HR Function
12. Performance Appraisal

1. Recruitment and selection:

Recruitment is the process of identifying that the organisation needs to employ someone
up to the point at which application forms for the post have arrived at the organisation.
Selection then consists of the processes involved in choosing from applicants a suitable
candidate to fill a post. Training consists of a range of processes involved in making sure
that job holders have the right skills, knowledge and attitudes required to help the
organisation to achieve its objectives. Recruiting individuals to fill particular posts within
a business can be done either internally by recruitment within the firm, or externally by
recruiting people from outside.

The advantages of internal recruitment are that:

1. Considerable savings can be made. Individuals with inside knowledge of how a

business operates will need shorter periods of training and time for 'fitting in'.
2. The organisation is unlikely to be greatly 'disrupted' by someone who is used to
working with others in the organisation.
3. Internal promotion acts as an incentive to all staff to work harder within the
organisation.
4. From the firm's point of view, the strengths and weaknesses of an insider will
have been assessed. There is always a risk attached to employing an outsider
who may only be a success 'on paper'.

The disadvantages of recruiting from within are that:

1. You will have to replace the person who has been promoted
2. An insider may be less likely to make the essential criticisms required to get the
company working more effectively
3. Promotion of one person in a company may upset someone else.

External recruitment:
External recruitment makes it possible to draw upon a wider range of talent, and
provides the opportunity to bring new experience and ideas in to the business.
Disadvantages are that it is more costly and the company may end up with someone
who proves to be less effective in practice than they did on paper and in the interview
situation.

There are a number of stages, which can be used to define and set out the nature of
particular jobs for recruitment purposes:

Job analysis is the process of examining jobs in order to identify the key requirements of
each job. A number of important questions need to be explored:

• the title of the job

• to whom the employee is responsible
• for whom the employee is responsible
• a simple description of the role and duties of the employee within the
organisation.

Job analysis is used in order to:

1. Choose employees either from the ranks of your existing staff or from the
recruitment of new staff.
2. Set out the training requirements of a particular job.
3. Provide information which will help in decision making about the type of
equipment and materials to be employed with the job.
4. Identify and profile the experiences of employees in their work tasks (information
which can be used as evidence for staff development and promotion).
5. Identify areas of risk and danger at work.
 6. Help in setting rates of pay for job tasks.

Job analysis can be carried out by direct observation of employees at work, by finding
out information from interviewing job holders, or by referring to documents such as
training manuals. Information can be gleaned directly from the person carrying out a
task and/or from their supervisory staff. Some large organisations specifically employ
'job analysts'. In most companies, however, job analysis is expected to be part of the
general skills of a training or personnel officer.

Job description
A job description will set out how a particular employee will fit into the organisation. It
will therefore need to set out:

• the title of the job

• to whom the employee is responsible
• for whom the employee is responsible
• a simple description of the role and duties of the employee within the
organisation.

A job description could be used as a job indicator for applicants for a job. Alternatively, it
could be used as a guideline for an employee and/or his or her line manager as to his or
her role and responsibility within the organisation.

Job specification
A job specification goes beyond a mere description - in addition, it highlights the mental
and physical attributes required of the job holder. For example, a job specification for a
trainee manager's post in a retail store included the following:
'Managers at all levels would be expected to show responsibility. The company is looking
for people who are tough and talented. They should have a flair for business, know how
to sell, and to work in a team.'
Job analysis, description, and specification can provide useful information to a business
in addition to serving as recruitment instruments. For example, staff appraisal is a
means of monitoring staff performance
and is a feature of promotion in modern
companies. In some companies, for
example, employees and their immediate
line managers discuss personal goals and
targets for the coming time period (e.g.
the next six months). The appraisal will
then involve a review of performance
during the previous six months, and
setting new targets. Job details can serve
as a useful basis for establishing dialogue
and targets. Job descriptions can be used
as reference points for arbitrating in
disputes as to 'who does what' in a
business. Selection involves procedures to identify the most appropriate candidates to fill
posts. An effective selection procedure will therefore take into consideration the
following:
• keeping the costs of selection down
• making sure that the skills and qualities being sought have been identified,
developing a process for identifying them in candidates
 • making sure that the candidates selected, will want the job, and will stay with the
company.
Keeping the costs of selection down will involve such factors as holding the interviews in
a location, which is accessible to the interviewing panel, and to those being interviewed.
The interviewing panel must have available to them all the necessary documentations,
such as application forms available to study before the interviews take place. A short list
must be made up of suitable candidates, so that the interviews do not have to take place
a second time, with new job advertisements being placed.
The skills required should have been identified through the process of job analysis,
description and specification. It is important then to identify ways of testing whether
candidates meet these requirements. Testing this out may involve:
• interviewing candidates
• asking them to get involved in simulated work scenarios
• asking them to provide samples of previous work
• getting them to fill in personality and intelligence tests
• giving them real work simulations to test their abilities.

2. Training and
development:

Training and personal development is an important method for a business to improve the
performance of employees.
Training starts with a strategy
It is important that a business provides training that is consistent with the business
strategy. The main steps in developing a training strategy are to:
• Identify the skills and abilities needed by employees;
• Draw up an action plan to show how investment in training and development will
help meet business goals and objectives;
• Implement the plan, monitoring progress and training effectiveness
Benefits of training to a business
The main benefits to a business of a well-trained workforce are:
– Better productivity (and, therefore, lower production / operating costs)
– Higher quality
– More flexibility - training helps employees develop a variety of skills. Multi-skilling
is only possible if the workforce is well trained
– Less supervision - lower supervision and management costs if employees can get
on with their jobs. This might also improve motivation - through greater
empowerment
 – More successful recruitment and employee retention - businesses with a good
reputation for training are likely to find it easier to attract good quality staff - and
then keep them
– Help in achieving change - businesses with strong training systems and culture
find it easier to implement change programmes
What training cannot solve
it is tempting to think that training is the
solution to many if not all business
problems. However, there are some things
that training can rarely solve: these
include:
– Poor management (although
management training might help!)
– Poor job design
– Ineffective or inefficient equipment,
production organisation
– Recruitment
Training on Job:
As the name implies, on the job training
involves employees training at their place or work.
The most common methods of on the job training are:
– Demonstration / instruction; showing the trainee how to do the job
– Coaching - a more intensive method of training that involves a close working
relationship between an experienced employee and the trainee
– Job rotation - where the trainee is given several jobs in succession, to gain
experience of a wide range of activities (e.g. a graduate management trainee
might spend periods in several different departments)
– Projects - employees join a project team - which gives them exposure to other
parts of the business and allow them to take part in new activities. Most
successful project teams are "multi-disciplinary"
Training Off the Job:
Off the job training involves employees taking training courses away from their place of
work. This is often also referred to as "formal training".
Off the job training courses might be run by the business' training department or by
external providers.
The main types of off the job training courses are:
– Day release (where the employee takes time out from normal working hours to
attend a local college or training centre)
– Distance learning / evening classes
– Revision courses (e.g. in the accountancy profession, student employees are
given blocks of around 5-6 weeks off on pre-exam courses)
– Block release courses - which may involve several weeks at a local college
– Sandwich courses - where the employee spends a longer period of time at college
(e.g. six months) before returning to work
– Sponsored courses in higher education
– Self-study, computer-based training (an increasingly popular option - given that
attendance at external courses can involve heavy cost)
Typical Reasons for Employee Training and Development
Training and development can be initiated for a variety of reasons for an employee or
group of employees, e.g.

• When a performance appraisal indicates performance improvement is needed

• To "benchmark" the status of improvement so far in a performance improvement
effort
• As part of an overall professional development program
• As part of succession planning to help an employee be eligible for a planned
change in role in the organization
• To "pilot", or test, the operation of a new performance management system
• To train about a specific topic (see below)

General Benefits from Employee Training and Development

There are numerous sources of online information about training and development.
Several of these sites (they're listed later on in this library) suggest reasons for
supervisors to conduct training among employees. These reasons include:

• Increased job satisfaction and morale among employees

• Increased employee motivation
• Increased efficiencies in processes, resulting in financial gain
• Increased capacity to adopt new technologies and methods
• Increased innovation in strategies and products
• Reduced employee turnover
• Enhanced company image, e.g., conducting ethics training (not a good reason for
ethics training!)
• Risk management, e.g., training about sexual harassment, diversity training

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