UNIT-II Human Resource Process

Human Resource Process

The Human Resource (HR) process refers to the systematic approach organizations use to
manage people within the company effectively. It involves various activities designed to
recruit, develop, retain, and manage employees to achieve organizational goals.

Key Steps in the HR Process

1. Human Resource Planning (HRP):

o Forecasting manpower needs based on business goals.

o Identifying skills gaps and planning for recruitment or training.

2. Recruitment and Selection:

o Attracting and selecting qualified candidates through job postings, interviews,

and assessments.
3. Onboarding and Orientation:

o Introducing new employees to the company culture, policies, and procedures.

4. Training and Development:

o Providing learning opportunities to enhance employees’ skills and

competencies.

5. Performance Management:

o Monitoring and evaluating employee performance through appraisals,

feedback, and goal setting.

6. Compensation and Benefits:

o Establishing fair and competitive salary structures and offering benefits to

employees.

7. Employee Relations:

o Managing employee grievances, ensuring workplace harmony, and

maintaining compliance with labor laws.

8. Career Development and Succession Planning:

o Providing career advancement opportunities and preparing future leaders.

9. Separation and Offboarding:

o Managing resignations, terminations, and retirements professionally.
Objectives of Human Resource Management

HRM objectives can be classified into the following categories:

1. Organizational Objectives:

o Ensure the organization has the right talent to achieve its goals.

o Align HR strategies with business strategies.

2. Employee Objectives:

o Provide career development opportunities.

o Maintain job satisfaction and motivation through rewards and recognition.

3. Societal Objectives:

o Ensure ethical employment practices.

o Promote corporate social responsibility (CSR) initiatives.

4. Functional Objectives:

o Maintain effective HR processes and ensure operational efficiency.

o Adapt HR practices to changing business environments.

5. Legal and Compliance Objectives:

o Ensure adherence to labor laws and regulations.

o Maintain a safe and inclusive workplace.

By aligning these objectives, HR departments contribute significantly to both employee well-

being and the overall success of the organization.

Process of Human Resource Management (HRM)

The HRM process consists of several stages, with Acquisition and Preparation of HR being
crucial initial steps.

1. Acquisition of Human Resources

Acquisition involves attracting and hiring the right talent for the organization. It includes the
following stages:

 a. Human Resource Planning (HRP)

o Assess the current workforce and forecast future workforce needs.

 o Identify gaps and plan recruitment activities.

 b. Recruitment

o Source potential candidates using job portals, social media, referrals, or

agencies.

o Attract candidates by promoting the company's value proposition.

 c. Selection

o Screen applications and conduct assessments or interviews.

o Select candidates that match the required skills, qualifications, and cultural fit.

 d. Hiring and Placement

o Offer employment to the selected candidate.

o Assign appropriate roles based on qualifications and organizational needs.

2. Preparation of Human Resources

Once employees are acquired, the next step is their preparation and development. This
involves:
 a. Onboarding and Orientation

o Familiarize new hires with company culture, policies, and procedures.

o Provide initial job training and assign mentors if necessary.

 b. Training and Development

o Offer skill enhancement programs and continuous learning opportunities.

o Conduct workshops, seminars, or on-the-job training.

 c. Performance Management

o Set clear expectations through key performance indicators (KPIs) and goals.
o Provide regular feedback and appraisals for improvement.

 d. Career Development

o Identify growth opportunities within the organization.

o Provide coaching, mentoring, and leadership training.

Job Analysis and Job Evaluation

1. Job Analysis

Job Analysis is the process of collecting and analyzing information about a specific job to
understand its duties, responsibilities, and requirements.

Objectives of Job Analysis:

 Define the tasks and responsibilities of a job.

 Identify required qualifications, skills, and experience.

 Develop clear job descriptions and specifications.

 Support recruitment, selection, training, and performance management.

Components of Job Analysis:

 Job Description: A detailed statement of the duties, tasks, and responsibilities of the
job.

 Job Specification: Outlines the qualifications, skills, experience, and attributes

required.

2. Job Evaluation

Job Evaluation is a systematic process used to determine the relative value or worth of a job
within an organization.

Objectives of Job Evaluation:

 Ensure fair and equitable pay.

 Establish a clear salary structure.

 Maintain internal equity and external competitiveness.

Methods of Job Evaluation:

 Ranking Method: Jobs are compared to one another and ranked based on their value.

 Classification Method: Jobs are grouped into categories or grades based on

similarities.

 Point Factor Method: Specific factors like skills, responsibilities, and working
conditions are assigned points.

 Factor Comparison Method: Jobs are evaluated based on key factors and assigned
monetary values.
By conducting both Job Analysis and Job Evaluation, HR ensures proper role clarity,
effective compensation management, and employee satisfaction.
Job Characteristics Model (JCM)

The Job Characteristics Model (JCM) was developed by J. Richard Hackman and Greg
Oldham in 1976. It is a widely used framework for understanding how specific job
characteristics affect employee motivation, satisfaction, and performance.

Key Components of the Job Characteristics Model

The model consists of five core job dimensions, three critical psychological states, and work
outcomes.

1. Core Job Dimensions

 a. Skill Variety:

o The degree to which a job requires a variety of skills and talents.

o Higher skill variety enhances employee engagement and motivation.

 b. Task Identity:

o The extent to which a job involves completing a whole, identifiable piece of

work.

o Employees feel greater satisfaction when they see the outcome of their efforts.

 c. Task Significance:

o The impact of a job on the lives of others within or outside the organization.

o Jobs with higher task significance lead to greater meaning and motivation.

 d. Autonomy:
o The degree of independence employees have in decision-making and planning
their work.

o Autonomy fosters a sense of responsibility and ownership.

 e. Feedback:

o The extent to which employees receive clear, direct information about their
performance.

o Timely feedback enhances learning and motivation.

2. Critical Psychological States

The five core job dimensions influence three key psychological states:

 a. Experienced Meaningfulness of Work:

 o Influenced by skill variety, task identity, and task significance.

 b. Experienced Responsibility for Outcomes:

o Strongly related to autonomy.

 c. Knowledge of Results:

o Enhanced through regular and constructive feedback.

3. Work Outcomes

When the psychological states are positively impacted, the following outcomes are typically
observed:

 Higher Motivation

 Greater Job Satisfaction

 Improved Performance

 Reduced Absenteeism and Turnover

Application of the Job Characteristics Model

Organizations can apply the JCM to design or redesign jobs by:

1. Job Enlargement: Expanding tasks to increase skill variety.

2. Job Enrichment: Increasing autonomy and providing meaningful work.

3. Providing Feedback: Establishing feedback mechanisms through regular

performance appraisals.

4. Task Significance: Emphasizing the impact of employees' work.

5. Skill Development: Offering training programs to enhance employees’ skills.

By effectively applying the Job Characteristics Model, organizations can create a more
engaging and productive work environment.

Selection and Placement Process

The Selection and Placement process refers to the series of steps organizations follow to
choose the most suitable candidate for a position and assign them to an appropriate role. This
process ensures that the right talent is placed in the right job to maximize productivity and
satisfaction.

Selection Process
 1. Job Analysis and Job Description:

o Define the role, responsibilities, and qualifications required through job

analysis.

2. Manpower Requisition:

o Departmental heads raise a request for new employees to fill vacant positions.

3. Recruitment:

o Source candidates through internal promotions, referrals, job portals,

recruitment agencies, or campus placements.

4. Application Screening:

o Evaluate resumes and applications to shortlist candidates matching the job

requirements.

5. Selection Tests:
o Conduct assessments like aptitude tests, technical tests, or psychometric
evaluations to gauge candidates' abilities.
6. Interviewing:

o Shortlisted candidates are interviewed to assess their skills, cultural fit, and
motivation.

7. Background and Reference Checks:

o Verify educational qualifications, previous employment, and conduct

background checks.

8. Medical Examination:

o Ensure the candidate is medically fit for the role if required.

9. Job Offer:

o Provide a formal offer letter detailing salary, benefits, and employment terms.

10. Placement:

o Assign the candidate to the appropriate department or role.

o Facilitate onboarding and orientation to integrate the employee into the
organization.

Types of Interviews

Interviews are a critical part of the selection process. They help employers assess the
candidate’s qualifications, experience, and suitability for the role.
1. Based on Structure:

 Structured Interview:

o Pre-determined set of questions is asked in a systematic manner.

o Ensures consistency and fair evaluation.

 Unstructured Interview:

o Open-ended and conversational, allowing interviewers to explore the

candidate's responses.

o Useful for assessing creativity and problem-solving skills.

 Semi-Structured Interview:

o Combines elements of both structured and unstructured interviews.

o Provides flexibility while maintaining focus on key topics.

2. Based on Purpose:

 Behavioral Interview:

o Focuses on past behavior as an indicator of future performance using the

STAR method (Situation, Task, Action, Result).

 Situational Interview:

o Presents hypothetical scenarios to assess how a candidate would respond.

 Panel Interview:

o Multiple interviewers from different departments assess a candidate

simultaneously.

 Stress Interview:

o Deliberately puts the candidate under pressure to evaluate their composure and
problem-solving abilities.

 Technical Interview:

o Tests candidates on job-specific technical skills and knowledge.

 Case Interview:
o Candidates are given a business problem to solve, assessing their analytical
and problem-solving capabilities.
 Competency-Based Interview:
 o Evaluates specific competencies related to the role, such as leadership or
teamwork.

Effectiveness of Interviews

While interviews are widely used, their effectiveness can vary depending on how they are
conducted.

Factors Contributing to Effective Interviews:

1. Preparation:
o Clear understanding of the job role and interview objectives.

2. Structured Approach:

o Using a consistent set of questions for all candidates to ensure fair evaluation.

3. Behavioral and Situational Questions:

o Providing insights into candidates' past experiences and decision-making

abilities.

4. Active Listening:

o Interviewers should focus on understanding candidates’ responses without

interrupting.

5. Assessment of Non-Verbal Cues:

o Observing body language, confidence, and communication skills.

6. Diverse Panel Members:

o Including interviewers from different backgrounds reduces bias and promotes
objective decision-making.

7. Feedback Mechanism:
o Documenting interview findings and comparing evaluations objectively.

Limitations of Interviews:

 Subjectivity and Bias: Personal biases may affect interview decisions.

 Halo Effect: Overvaluing one positive trait while ignoring other aspects.

 Lack of Predictive Validity: Interviews may not accurately predict job performance.
 Candidate Nervousness: Some candidates may underperform due to anxiety.
To improve effectiveness, organizations often combine interviews with other selection
methods like skill assessments, reference checks, or psychometric tests.

Employee Training

Employee training is a systematic process of enhancing employees' skills, knowledge, and

abilities to perform their current jobs effectively. It aims to bridge skill gaps, improve
productivity, and foster career growth. Training is essential for both new and existing
employees to ensure organizational success.

Determining Training Needs

Identifying training needs is the first step in designing an effective training program. The
process involves assessing the gaps between current employee performance and desired
performance.

Methods to Determine Training Needs:

1. Organizational Analysis:

o Evaluate the organization's goals, performance metrics, and external

environment.

o Identify areas where training can help achieve strategic objectives.

2. Task Analysis:

o Analyze job descriptions and identify key tasks and responsibilities.

o Determine the knowledge, skills, and abilities (KSAs) required for each role.
3. Individual Analysis:

o Assess employee performance through appraisals, feedback, and self-

assessments.
o Identify specific skill gaps or competency deficiencies.

4. Surveys and Questionnaires:

o Gather feedback from employees and managers regarding areas where training
is needed.

5. Performance Data Analysis:

o Review metrics such as productivity, quality, customer feedback, and error

rates.

6. Future Skill Requirements:

o Anticipate skills needed for upcoming technologies, projects, or organizational

changes.
 Training Approaches

Various training approaches can be used depending on the learning objectives, employee
needs, and organizational resources.

1. On-the-Job Training (OJT)

 Learning by performing tasks under supervision.

 Examples: Job rotation, apprenticeships, coaching, mentoring.

 Advantages: Practical, cost-effective, immediate application.

 Disadvantages: Risk of mistakes during learning.

2. Off-the-Job Training

 Conducted away from the workplace in a controlled environment.

 Examples: Workshops, seminars, simulations, classroom training.

 Advantages: Focused learning without workplace distractions.

 Disadvantages: Higher costs and lack of immediate application.

3. E-Learning and Online Training

 Digital platforms offering interactive learning through videos, modules, and quizzes.

 Examples: Learning Management Systems (LMS), virtual classrooms.

 Advantages: Flexible, scalable, cost-effective for remote employees.

 Disadvantages: Limited hands-on experience.

4. Simulation Training

 Employees practice skills in a virtual or simulated environment.

 Examples: Flight simulators, medical simulations, business simulations.

 Advantages: Safe, realistic practice for high-risk tasks.

 Disadvantages: Expensive to develop and implement.

5. Coaching and Mentoring

  One-on-one guidance from experienced employees or external experts.

 Advantages: Personalized learning, immediate feedback.

 Disadvantages: Time-intensive and dependent on mentor availability.

6. Experiential Learning

 Learning through practical experience, including role-playing, case studies, and group
projects.

 Advantages: Promotes problem-solving and decision-making skills.

 Disadvantages: May not suit all learning styles.

7. Blended Learning

 Combines online and in-person training for a comprehensive learning experience.

 Advantages: Flexibility and personalization.

 Disadvantages: Requires careful planning and coordination.

By using a combination of these approaches, organizations can ensure effective knowledge

transfer, skill development, and employee engagement.

Employee Development

Employee development is a continuous process that focuses on enhancing an individual’s

capabilities, skills, and knowledge to support career growth and meet organizational goals.
While training focuses on immediate job performance, development is more future-oriented
and prepares employees for higher responsibilities.

Methods of Employee Development

Organizations use a variety of methods to develop employees. These methods can be broadly
categorized into On-the-Job and Off-the-Job development techniques.

1. On-the-Job Development Methods

 a. Job Rotation:

o Employees are moved between different roles within the organization.

o Promotes versatility and a broader understanding of the business.

  b. Job Enlargement:

o Expanding the employee’s responsibilities by adding related tasks.

o Enhances skill variety and reduces monotony.

 c. Job Enrichment:

o Increasing the depth of the job by adding more responsibilities and decision-
making authority.

o Promotes autonomy and job satisfaction.

 d. Coaching and Mentoring:

o Personalized guidance from experienced professionals.

o Accelerates learning and career growth.

 e. Special Assignments and Projects:

o Employees work on challenging assignments to develop problem-solving and

leadership skills.

 f. Apprenticeship and Internships:

o Hands-on learning opportunities under expert supervision.

o Common in technical and skilled trades.

2. Off-the-Job Development Methods

 a. Classroom Training:

o Traditional learning setup with presentations, lectures, and group discussions.

o Effective for theoretical knowledge transfer.

 b. Seminars and Workshops:

o Interactive sessions focusing on specific topics.

o Encourages knowledge sharing and networking.

 c. E-Learning and Online Programs:

o Flexible learning through virtual platforms.

o Useful for remote or dispersed employees.

 d. Simulation Exercises:

o Employees practice scenarios in a risk-free environment.

o Common in industries like aviation, healthcare, and finance.

  e. Case Studies and Role-Playing:

o Real-life scenarios used to develop decision-making and analytical skills.

 f. Conferences and Industry Events:

o Employees gain insights into market trends and innovations.

Evaluating Training and Development Effectiveness

Evaluating the effectiveness of training and development programs ensures that

organizational resources are well-utilized and objectives are met.

Key Methods to Evaluate Effectiveness:

1. Kirkpatrick’s Four-Level Model:

o a. Reaction:

 Measure participants’ immediate feedback through surveys or

questionnaires.

 Evaluate satisfaction with the training content, delivery, and

environment.

o b. Learning:

 Assess knowledge and skills gained using pre- and post-training tests
or assessments.

o c. Behavior:

 Observe changes in employee behavior on the job through manager

feedback and performance reviews.

o d. Results:

 Evaluate the impact on business outcomes, including productivity,

quality, and profitability.

2. ROI (Return on Investment) Analysis:

o Calculate the financial benefits of the training program compared to its cost.

ROI Formula:
 3. Pre and Post-Training Assessments:

o Conduct knowledge or skill tests before and after training to measure learning
progress.

4. 360-Degree Feedback:

o Collect feedback from peers, managers, subordinates, and customers to assess

behavior changes.

5. Performance Metrics:

o Track key performance indicators (KPIs) such as productivity, quality, and

employee engagement.

6. Employee Surveys and Interviews:

o Gather qualitative insights about training relevance and areas for

improvement.

By applying these evaluation methods, organizations can refine their training programs,
enhance employee development efforts, and ensure alignment with strategic goals.