Chapter 11 Managing Diverse Human Resource

1. Chapter 11Managing Diverse Human Resource

2. HRM at the earlier stages • Up till the mid 1960s, HRM activities were only limited to maintaining files related to employees information and planning company social activities such as picnics, company trips etc. • As the time kept passing and by 1970s companies started focusing much on HR practices in order to gain competitive advantage.

4. HRM Human Resource Management is the managing of different activities that are designed to increase and enhance the effectiveness of an organization`s work force in achieving organizational goals. Definition 2: A Management function concerned with the attracting, maintaining and developing people in the relationship.

5. HRM Process Human Resource Planning Staffing Development & Evaluation Compensation Maintaining effective work force relations

6. 1-HR Planning • HR planning ensures the right person with the right skills at the right place • Demand and supply issues are also considered. • How Many People required

7. Different Activities in HR Planning • Job Analysis: Job analysis is the process of getting detailed information about jobs. • Some of the human resource activities that use job analysis information include selection, performance appraisal, training and development, job evaluation, career planning, work redesign, and human resource planning.

8. Information contained in the Job Analysis is divided in to two parts

9. Job Description: A job description is a list of the tasks, duties, and responsibilities that the job entails. • Job/Person Specification: A job specification is a list of the knowledge, skills, abilities, and other characteristics (KSAOs) that an individual must have to perform the job.

13. Demand & Supply of Human Resource • A Significant aspect of Human resource planning is the assessment of demand for human resource. • Many factors affect HR demand such as environmental, changing organizational position • Internal work force changes constantly due to death, retirement, resignations etc for which company hire contingent workers

14. Supply of the Human Resource- Internal • Internal Labor Supply Through Transfers, promotions HR Departments use Skill Inventory & Replacement Charts • External Labor Supply

15. Reconciling Demand & Supply • Balancing demand and supply is important • Companies give hand shake, early retirements if supply exceeds demand • Additional Information: To secure people from NOT being treated equally, companies use ‘Affirmative actions’ & make ‘Affirmative action plans’

16. Due to Globalization we have to focus on diversity- Diversity management

17. 2- Staffing • Set of activities through which candidates are attracted and selected for jobs/vacancies in order to achieve organizational goals • Staffing includes: • Recruitment • Selection

18. Recruitment: process of finding and attracting candidates that are capable of effectively filling the job vacancy • Recruitment has 3 objectives: 1) Ensuring compliance by the organisation with government regulations 2) Maximising the pool of applicants at minimum cost 3) Attracting suitably qualified and skilled applicants

19. Internal Job Posting-bb, intranet, notices • External Advertising, campus recruitment, employment agencies, online, pamphlets

20. INTERNAL RECRUITMENT ADVANTAGES DISADVANTAGES - Improves morale - ’Inbreeding’ - Better assessment - Nepotism - Motivates staff - Infighting/ power struggle • Maintains organization knowledge

21. EXTERNAL RECRUITMENT ADVANTAGES DISADVANTAGES - “Fresh blood” - Harder to assess • New knowledge and - Lowers internal experience morale • Gain competitive skills - Adjustment to different work culture

22. METHODS OF RECRUITMENT Internal promotion Executive recruitment (‘head hunters’) Employment agencies Advertisements Campus interviews Employee referrals Contractors E-recruitment

23. Selection: Process of Determining which jobs candidates, best suits the organization. • Selection process needs to be transparent and totally based on merit. At times businesses end up discriminating which is not considered to be a positive thing in any society. • Additional: However organizations can discriminate on some basis due to the nature of their job; But for this they have to acquire Bona Fide Occupational Qualification BFOQ

24. Selection Methods: • Application Form • Interviews • Online interviews, Telephonic Interviews • Employment Test • Assessment Centers • Work Sample Tests • Reference Checks

25. 3- Development & Evaluation • Training is a planned effort to facilitate employee learning of job-related behaviors and skills • Development: Broad preparation of employee for future opportunities through acquisition of new skills and attitudes in order to improve employee performance in the long run. • Gap B/W Actual Performance & Expected Performance

26. Phases of Training 1) Assessment Phase: Need Analysis, setting objectives 2) Training Design & Implementation: methods, deciding trainers. • On-The-Job training • Off-The-Job training 3) Training Evaluation: measuring participant reaction & accessing actual learning

27. Types of Training • Orientation Training • Technical Training • Management Development trainings for further progress

28. Performance Appraisal • Process of job performance of the employees. • Performance appraisal helps in identifying company expectations of performance, improving quality of employees, generates the record of employee performance and builds consistency between organizational goals and individual actions. • Methods include: • GRS- Graphic Rating Scale • Behavior Rating Scale

30. B E H A V I O R A L R A T I N G S C A L E

31. Example 2 B E H A V I O R A L R A T I N G S C A L E

32. Latest Performance Appraisal Method Used 360 Degree Feedback

33. Compensation • Compensation consists of wages paid directly for time worked and the other indirect benefits • Compensation is the cashable amount received in return to the services given or time worked. • Benefits are the form of compensation beyond wages which includes various entities such as, car, petrol allowance, medical insurance, house etc.

34. Fair Compensation System • Equity Concept: • External Equity: What is same in other organization • Internal Equity: Employee`s perception of their responsibilities and work conditions as compared with those of other employees in similar positions in the same organization • Individual Equity: based on individual`s merit and varied skills

35. Maintaining Effective Work Force Relations • Labor-Management relations • Unions Current Employees Issues

36. The Current Trend • The advancement in the technology and excessive use of IT systems have resulted in the development of HR systems for the purpose of the management of workforce issues. • HRIS: computerized systems that collect, store, maintain and analyze data relating to the organization`s human resources.

37. Contemporary issues in HRM • Managing Diversity Age-Race-Gender-Physical ability-Gender • Ageing workforce • Skills shortages • Work-life balance

38. And now days we are Talking about Strategic HRM • When we include the word ‘strategy’ to ‘HRM’, it becomes the managing of the organizational activities that are related to the work force for long term success of the organization and the long term achievement of organizational goals; keeping in view its strategic plans etc.

39. CIPD • Strategic human resource management (strategic HRM, or SHRM) may be regarded as an approach to the management of human resources that provides a strategic framework to support long-term business goals and outcomes. The approach is concerned with longer-term people issues and macro-concerns about structure, quality, culture, values, commitment and matching resources to future need.