HUMAN RESOURCE DEVELOPMENT

UNIT 1
INTRODUCTION TO HRD

Introduction:
HRD concept was first introduced by Leonard Nadler in 1969 in a conference in US.
Development of human resources is essential for any organisation that would like to be
dynamic and growth-oriented. The potential capabilities of Human resource can be used only
by creating a climate that can continuously identify, bring to surface, nurture and use the
capabilities of people. Human Resource Development (HRD) system aims at creating such a
climate. A number of HRD techniques have been developed in recent years to perform the
above task based on certain principles. This unit provides an understanding of the concept of
HRD system, related mechanisms and the changing boundaries of HRD.

Meaning:
Human Resource Development is the part of human resource management that
specifically deals with training and development of the employees in the organization.
Human resource development includes training a person after he or she is first hired,
providing opportunities to employees develop their personal and organizational skills,
knowledge, and abilities. Human Resource Development includes such opportunities as
employee training, employee career development, performance management and
development, coaching, mentoring, succession planning, key employee identification, tuition
assistance, and organization development. The focus of all aspects of Human Resource
Development is on developing the most superior workforce so that the organization and
individual employees can accomplish their work goals in service to customers.

Definition:

According to Leonard Nadler, "Human resource development is a series of organised

activities, conducted within a specialised time and designed to produce behavioural changes."

According to M.M. Khan, "Human resource development is the across of increasing

knowledge, capabilities and positive work attitudes of all people working at all levels in a
business undertaking."

Needs for HRD:

1. To Achieve Goals:
People need competencies to perform tasks. Higher degree and quality of performance of
tasks requires higher level of skills. Continuous development of competencies in people is
essential for an organisation to achieve its goals. Competent and motivated employees are
essential for organisational survival, growth and excellence.

2. To Maintain a Level of Growth:

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Over a period of time, an organisation may achieve a saturation point in terms of its growth.
Even to maintain such a saturation level of growth employee competencies need to be
sharpened or developed as organisations operate in environments that keep changing,
requiring the employees to acquire new competencies.

3. Improve Effectiveness:
Any organisation interested in improving its services and its effectiveness in cost reduction,
reduction in delays, increased customer satisfaction, improved quality and promptness of
services, market image needs to develop the competencies of its employees to perform the
tasks needed to bring about such improvements.

4. For enhancing employee performance:

Human Resource Development focuses on improving individual and team performance
through various training and development initiatives. This, in turn, leads to improved
performance and productivity in the organisation. When employees feel supported and
equipped with the necessary tools, they are more motivated to perform at their best, resulting
in increased overall organizational performance.

5. For building a Skilled Workforce:

HRD plays a crucial role in building a skilled workforce that can adapt to advanced
technological and other changes. By identifying the skills and competencies required for
current and future roles, organizations can design targeted training programs to bridge
any skill gaps. Continuous learning and development ensure that employees stay relevant and
up-to-date with the latest industry trends, technological advancements, and best practices.

6. To improve Employee Engagement and Retention:

Investing in HRD demonstrates a commitment to employee growth and development. When
employees perceive that their organization values their professional growth, they are more
engaged and committed to their roles. HRD initiatives such as mentorship programs, career
development plans, and leadership training can significantly improve employee satisfaction
and morale, which creates a positive work environment that encourages learning and
development and attracts top talent, as individuals seek opportunities for personal and
professional growth.

7. For nurturing Leadership and Succession Planning:

Effective HRD programs include leadership development initiatives that identify and nurture
future leaders within the organization. By providing aspiring leaders with the necessary skills
and experiences, organizations can build a pipeline of talented individuals capable of taking
on key roles in the future and also creates a culture of mentorship and knowledge sharing,
allowing experienced leaders to pass on their expertise to the next generation.

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8. Fostering a Learning Culture:

HRD plays a pivotal role in fostering a learning culture within organizations. When
continuous learning becomes ingrained in the organizational DNA, it encourages innovation,
adaptability, and resilience. Employees become more proactive in seeking out opportunities
for growth, sharing knowledge, and collaborating across teams. A learning culture promotes
creativity, problem-solving, and a growth mindset, enabling organizations to navigate
challenges and seize new opportunities in a rapidly changing business environment.

Multiple Goals of HRD:

1. Resource Planning:
Having the right person for the job at the right time is crucial for any organization. Resource
planning is the process to ensure that. In this regard HRD helps to plan for the effective usage
of Human resource.

2. Recruitment and selection:

Recruitment and selection processes are there to ensure that employees get the right talent
along with the right attitude. Well, there is no right or wrong attitude in general. By the right
attitude here, it mean, the attitude which matches with company’s work culture.

3. Training and development:

This is for retaining the employees while enhancing their skill set to benefit both, the
organization and the employee. A trained workforce translates into better productivity thus
earns more profit.

4. Performance appraisal:
This is a feedback process. Employee’s performance is evaluated on the basis of different
factors and he/she is provided with the feedback along with the suggestions for
improvements. If someone does not improve with time, the organization may fire them.

5. Remuneration:
This is a process of making sure if the employees are getting paid well. By paid well, we
mean they are getting their salary and wages according to industry standards. Also, this
process keeps a check if the given amount is being justified in the performance of the
employee or not. If the performance is on a higher side, additional perks may be allocated
while for lower side performances, there may be some deductions.

6. Motivation:
Motivation is again a crucial factor when it comes to managing humans. We often tend to
lose track and need some external push. This is the process to ensure that the external push is
given on time and in a proper way.

7. Overall well being of the workforce:

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Human Resource Development tries to ensure the physical and mental well being of the
employee. It also tries to touch the social life of the employees by giving them more
opportunities to engage and interact in internal, external, formal or informal groups. A
physically fit and mentally strong person, with the right skill and mindset, is a highly
valuable resource for any organization.

HRD Department and its Tasks:

Human resource development (HRD) refers to the organisation’s plan to help
employees develop their abilities, skills and knowledge. The Tasks and Functions of HRD
department are as follows.

1. HR Planning:
The human resources department is responsible for setting plans regarding the company's
future and its workforce. This responsibility impacts many other HR functions, such as
recruiting and hiring talent, performance management and succession planning. HR
professionals need to assess the company's goals and objectives and determine workforce
strategies that help accomplish them.
2. Talent Recruitment and Selection:
The human resources department plays an essential role in attracting and recruiting talent to
an organization. They may work with managers to develop recruitment goals and identify the
types of applicants they want to reach or roles they need to fill. These professionals can also
help create and post job postings, find qualified candidates and conduct the initial screening
process.

3. Compensation and Benefits:

The human resources department helps manage and oversee compensation and benefits
provided to employees. They work with managers to set salaries and negotiate them with
employees as needed. Once hired, the HR department adds employees into their payroll
system and is responsible for ensuring that they get paid promptly according to the payment
schedule.

4. Health and Safety:

The human resources department is responsible for developing and implementing health and
safety measures in the workplace. Under the Occupational Safety and Health Act of 1970
(OSHA), employers must provide a safe working environment. This department needs to be
familiar with OSHA regulations and follow them by overseeing safety training, managing
injury logs, reporting injuries and handling any compensation needs that arise as a result.

5. Labour law compliance:

Human resources department also ensures the company complies with relevant labor laws.
Maintaining compliance with such laws can help prevent complaints regarding employment
practices or workplace conditions. HR professionals receive training on state and federal

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laws, such as the Fair Labor Standards Act, Title VII of the Civil Rights Act, the National
Labor Relations Act and the Family and Medical Leave Act.

6. Training and Development:

As part of the HR planning process, the human resources department coordinates and
manages employee training and development. New employees typically undergo training to
learn company policies and procedures and the specific skills, tools or resources needed to
perform their job. The HR department also works with managers to create or implement
programs that train the existing workforce on specific skills or knowledge.

7. Employee and Labour relation:

The human resources department often oversees the relationships between employees and
employees and their managers. During conflicts, an HR professional may step in and serve as
a mediator. The department also is responsible for addressing employee complaints
surrounding the workplace. In organizations with unionized employees, it may also be
responsible for managing union contacts and to maintain positive relationships.

8. Employee wellbeing:
Human resources professionals also ensure the general well-being of the organization's
employees. They can promote and implement health and wellness activities to help
employees avoid burnout. Employer may encourage employees to use their days off or
coordinate wellness challenges. HR professionals may also provide individualized help to
employees facing personal problems.

9. Performance management:
The human resources department also helps oversee the job performance of its company's
employees. Performance management often includes activities like performance reviews
between employees and their managers. These activities help assess whether the workforce is
meeting organizational goals and objectives. The HR department can use the insights gained
to create or provide training and development opportunities as needed.

10. Career and Succession Planning:

As a component of HR planning, the department may conduct activities related to career or
succession planning. When high-level positions are expected to become available, the HR
department can work with managers to identify top-performing employees who could serve
as replacements. Beyond job performance, they may also evaluate potential candidates based
on their internal reputation and the relevant skills they could bring to the role. Having a
succession plan in place can help avoid disruption to the company.

11. Company Culture and Engagement:

The HR department creates a workplace environment that engages its employees. It may
coordinate activities that encourage participation and networking, such as retreats, contests or
office parties. These professionals may also develop regular newsletters that keep employees

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informed about company news or events. When employees feel engaged at work, it can help
boost morale and improve retention rates.

12. Job Evaluation:

The human resources department may be responsible for analyzing the job roles within an
organization. These professionals assess each job and identify its appropriate title, tasks,
responsibilities and the skills needed to perform it. As positions may change over time, the
department is also responsible for updating their descriptions when necessary. This
responsibility can aid HR planning and recruitment processes. The department also evaluates
positions to determine their value.

13. Administrative Duties:

The human resources department also manages day-to-day administrative tasks related to the
workforce. They are responsible for maintaining personnel records and files and paperwork
related to on- and off-boarding, insurance policies and employee contracts. Employees can
come to these professionals to gain clarity or assistance with the relevant workplace or
administrative procedures and policies.

HRD in Organisational Effectiveness:

This study finds that HRD practices such as talent development, training and development,
organisational development and career development have a positive and significant impact on
organizational effectiveness. The strategies adopted by HRD to improve Organisational
effectiveness are as follows.

1. Make Use of Human Resources

The human resources department is an integral part of the company. Have their
work has a significant impact on its goals. They help design new strategies for
success by assisting with organizational effectiveness, which includes helping to
find talented people who will grow your business like it was never before.

2. Appreciate Resources, People, Processes

Improving the effectiveness of a municipality starts with understanding how
resources are used and accessed. The awareness that people, processes, and assets
available are interconnected; makes this value chain so important. It helps you
figure out which supports your goals more efficiently and effectively.

3. Specify the Mission, Vision, and Goals of the teams

The mission is to achieve the organization’s vision. They should be aware of their
goals and those aligned with that set by management if they want to achieve what
they intended.

4. Clarify each team member’s specific Roles and Responsibilities

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To optimize tasks and coordinate with one another for increased productivity.
Teaching team members must be clear of the individual roles they play. It will
help them be more productive in achieving quicker results while also increasing
efficiency within your organization as a whole.

5. Hold team members accountable for their roles and responsibilities

Hold team members answerable for their roles and responsibilities. Rather than
collectively blaming the entire team in case of unsatisfactory long or short-term
results, have each member understand the consequences of their activities &
praise them for their achievements.

6. Practice participative Leadership:

Leaders should be sensitive to the needs of their team and give them a voice.
While leading a team, it is critical to distribute leadership responsibilities among
your team members, such as managing meetings, assigning tasks, tracking
progress, and establishing the direction while evaluating their jobs. It will help
them understand their role and responsibilities associated with them and also help
boost morale for everyone on board.

7. Address Organization Strategy and Objectives:

The strategy and objectives of an organization should settle, before selecting
which value chain to align. It will impact the design of the value chain that might
require adjustments. The strategic plan plays an integral part in achieving higher
organizational effectiveness.

8. Align Organizational Structure to the Strategy:

The aligning of organizational units to the overall strategy is imperative for
success. By reviewing a strategic plan, you can find some noble objectives and
initiatives. However, when reviewing these plans against an existing
organizational structure, there may be discrepancies due to different units
mapping various concerns as their focus rather than just focusing on what’s best
for business success.

9. Measure Results against Strategy

To safeguard ongoing success of the organization. Its effectiveness needs to be
measured, and various techniques are applied. The balanced scorecard is a
popular technique for measuring organizational effectiveness and can be used by
any organization. If the balanced scorecard is associated with the strategy, this
tool assists management in staying on track with its strategic plan.

10. Improve Continuously

Tackling organizational effectiveness is a challenge that many organizations face.
One way to improve processes and make employees feel valued will be by

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implementing feedback techniques, which are essential for continuous

improvement within an organization.

HRD in Indian Context:

HRD practices in Indian industries are the strategies and programs designed to enhance the
skills, knowledge, and abilities of employees in an organization. These practices include
training and development programs, performance management, career planning, employee
engagement, and succession planning, among others.

HRD Mechanism:
HRD Mechanism involves a systematic approach to identify the training and development
needs of employees. HRD is a process that involves both the employee and the organization
working together to achieve mutual goals. It includes a variety of methods such as training,
mentoring, coaching, job rotation, and career development. It includes the following
components.

 Training and Development:

This involves identifying the training needs of employees and providing them with
relevant learning opportunities. Training programs can be conducted internally or
externally, and they may cover technical skills, soft skills, leadership development, and other
areas. Development activities focus on long-term career growth and succession planning,
such as job rotations, mentoring, coaching, and performance management.

 Performance Management:
HRD mechanisms include performance appraisal systems that provide feedback on employee
performance, set goals and objectives, and evaluate their achievements. Performance
management helps identify areas for improvement, recognize high performers, and
align individual goals with organizational objectives.

 Career Development:
Organizations facilitate career development by offering opportunities for employees to grow
and advance within the company. This may involve creating clear career paths, providing
support for further education or certifications, and offering promotions or lateral moves that
allow individuals to gain new skills and experiences.

 Knowledge Management:
HRD mechanisms also focus on capturing, sharing, andleveraging organizational knowledge.
This includes creating knowledge-sharing platforms, conducting knowledge transfer sessions,
and encouraging collaboration among employees. By effectively managing knowledge,
organizations can enhance productivity, innovation, and problem-solving capabilities.

 Employee Engagement and Well-being:

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HRD mechanisms recognize the importance of employee engagement and well-being in

driving performance. Strategies may include initiatives to promote work-life balance,
employee recognition programs, wellness programs, and fostering a positive work culture
that values diversity, inclusion, and employee voice.

 Succession Planning:
HRD mechanisms also encompass planning for the future leadership and talent needs of
the organization. This involves identifying high-potential employees, providing them with
development opportunities, and preparing them for leadership positions. Succession planning
ensures a pipeline of capable individuals to fill critical roles within the organization.

 Leadership Development Initiatives:

This mechanism is crucial for identifying and nurturing Leadership development of
employees. These initiatives may include Leadership training, mentoring opportunities and
much needed programs to enhance the leadership qualities.

 Diversity and Inclusion Programs:

This mechanism aims to create an inclusive workplace where employees from diverse
backgrounds feel valued and included. These programs include diversity training, inclusive
recruitment practices and initiatives to address unconscious biases.

Employee Empowerment:
Employee empowerment is a modern management approach that enables employees to
take ownership of their work, be more creative and engaged in their jobs, and make
independent decisions.
Employee empowerment is key to increasing job satisfaction and building a successful
organization. Employee empowerment is a management philosophy that focuses on allowing
an organization’s employees to make independent decisions and to feel empowered to take
action as they see fit. When employees feel empowered, organizations can foster an
environment of mutual trust, collaboration, and innovation, resulting in higher
productivity and improved performance. The main features of Employee empowerment
are as follows.
 Motivated employees
 Greater trust in leadership
 Improved creativity
 Stronger bottom line

HRD as a Motivational Factor:

 Intrinsic Motivation:
Intrinsic motivation is the type of motivation which comes from within a person to do a task
or achieve a particular goal. It is a feeling of being self-driven and achieving objectives for
oneself. Intrinsic motivation is driven by motives like social acceptance, eating food, desires
to achieve goals, biological needs etc.

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 Extrinsic Motivation:
Extrinsic motivation is the type of motivation which drives an individual due to external
forces or parameters. Some other person or organization motivates the individual to work
hard to achieve certain goals or tasks. Extrinsic motivation is driven by motives like financial
bonus, rewards, appreciation, promotion, punishment, demotion etc.
 Positive Motivation:
Positive motivation is the type of motivation which drives an individual by offering positive
accolades and rewards for performing a task. In this type of motivation, the individual is
rewarded by monetary benefits, promotions etc which drives an individual to work hard.
 Negative Motivation:
Negative motivation is a type of motivation where fear and threat are used as a parameter to
get the work done. In this type of motivation, individuals are threatened with things like
demotion, reducing benefits, withdrawing merits etc.

Motivation Factors of HR:

1. Salary:
Monetary compensation & benefits like gross salary, perks, performance bonuses etc. are the
biggest motivation factors. The better the salary and monetary benefits, the higher is the
motivation level & passion of a person towards a job.
2. Recognition:
Rewards, recognition, accolades etc. are important for ensuring high enthusiasm levels for an
employee. If the hard work of an individual is appreciated, it keeps them motivated to
perform better.
3. Work Ethics:
Ethical working environment, honesty etc. are important factors for any individual. Good
work ethics in a company helps keep employees motivated at work place.
On the other hand, if the work environment is not ethical, then the workforce might be
demotivated.
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4. Transparency with Leadership:

The leadership in an organization helps in employee motivation if there are transparent
discussion and flatter hierarchies. The senior management has to ensure that all subordinates
are happy, focused & motivated.
5. Culture at Work:
A good, vibrant, positive culture at workplace is always an important factor. People from
different backgrounds, religions, countries etc. working together helps create a social bond at
workplace.
6. Learning and Development:
Another factor influencing is the training and development opportunities that a person gets.
L&D helps individuals develop more skills and have better opportunities in their professional
career.
7. Work Life Balance:
Having a good quality of work life (QWL) helps in the motivation of people. A good work
life balance ensures that a person can give quality time to both office work as well as family.
8. Career Growth Opportunities:
Career development opportunities have a positive influence on the motivation of any person.
If a person knows their future & career path is secure, they tend to work with more passion.
9. Health Benefits:
Health benefits, insurance & other incentives act as a source of motivation for people. If the
medical bills, hospitalization charges etc. are taken care of by the company, it helps build a
strong trust.
10. Communication:
A positive & transparent communication between managers and subordinates gives a sense of
belonging and adds to the employee’s motivation. Discussion related to work as well as
personal life help make a friendly bond at workplace.

Concerns of Trade Unions in HRD:

Trade union is an organization of workers that have banded together to achieve common
goals such as better working conditions. The trade union, through its leadership, bargains
with the employer on behalf of union members about negotiation of wages, work rules,
complaint procedures, rules governing hiring, firing and promotion of workers, benefits,
workplace safety and policies.
Labor unions were created to protect employee rights and stop exploitation. Members fight
together for better pay and working conditions and collectively can be influential enough to
engineer change. HRD is greatly affected by the Trade Union concerns. Some of the major
functions of HRD are as follows.
 Negotiate agreements with employers on pay and conditions.
 Discuss major changes to the workplace such as large scale redundancy.
 Discuss members' concerns with employers.
 Accompany members in disciplinary and grievance meetings.
 Provide members with legal and financial advice.
 Provide education facilities and certain consumer benefits such as discounted insurance.

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