Unit - II. THE CONCEPT OF BEST FIT EMPLOYEE. - I. Arul Edison Anthony Raj, MBA, M.Phil., PGDIB , ADHRM(UK). Assistant Professor E.G.S. Pillay Engineering College, Nagapattinam. HR PLANNING.
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Unit - II THE CONCEPT OF BEST FIT EMPLOYEE - I. Arul Edison Anthony Raj, MBA, M.Phil., PGDIB, ADHRM(UK). Assistant Professor E.G.S. Pillay Engineering College, Nagapattinam.
HR PLANNING • Human resource planning (HRP): The Process of systematically reviewing human resource requirements to ensure that the required numbers of employees, with the required skills, are available when and where they are needed.
Definition of HR Planning • According to Leon C. Megginson, human resource planning is “an integrated approach to performing the planning aspects of the personnel function in order to have a sufficient supply of adequately developed and motivated people to perform the duties and tasks required to meet organizational objectives and satisfy the individual needs and goals of organizational members.”
Objectives of HR Planning The important obj., of manpower planning in an org., are: • To recruit & retain the human resources of required quantity and quality. • To foresee the employee turnover and make the arrangements for minimizing turnover and filling up of consequent vacancies. • To foresee the impact of technology on work, existing employees & future human resource requirements.
Cont., • To improve the standard, skill, knowledge, ability, discipline, etc. • To minimize imbalances caused due to non-availability of human resources of the right kind, right number in right time and right place.
HUMAN RESOURCE PLANNING PROCESS Human Resource Planning Forecasting Human Resource Requirements Comparing Requirements & Availability Forecasting Human Resource Availability Demand = Supply Surplus of Workers Shortage of Workers Recruitment No Action Restricted Hiring, Reduced Hours, Early Retirement, Layoffs, Downsizing Selection
Cont., • Process of HRP consists of the following steps: • Analyzing the corporate & unit level strategies. • Demand Forecasting: Forecasting the overall human resource requirements in accordance with the organizational plans. • Supply Forecasting: Obtaining the data & information about the present inventory of human resource and forecast the future changes in the human resource inventory.
HUMAN RESOURCE FORECASTING • Human resource forecasting is the process by which an organization estimates it future human resource needs. Forecasting Forecasting Human Resource human human Forecasting resource resource demands supplies
Ranges of HR Forecasting • Human resource forecasting may be categorized into three based on the time frame, as: • Short range forecasting (0 – 2 years), • Intermediate range forecasting (2 – 5 years), and • Long range forecasting (beyond 5 years).
Human Resource Forecasting Techniques • Zero-base forecasting: • A method for estimating future employment needs using the organization’s current level of employment as the starting point. • Bottom – up approach: • A forecasting method beginning with the lowest organizational units and progressing upward through an organization ultimately to provide an aggregate forecast of employment needs.
Cont., • Simulation: • A technique for experimenting with a real – world situation by means of a mathematical model that represents the actual situation. • What would happen if we put 10 percent of the present workforce on overtime? • What would happen if the plant utilized two shifts? Three shifts?
Forecasting Human Resource Requirements • An estimate of the number and kinds of employees an organization will need at future dates to realize its stated objectives.
Demand forecasting of the overall HR Requirements • Managerial Judgment: • Under this method, managers decide the number of employees required future operations based on their past experience.
Cont., • Statistical techniques include: • Regression analysis, Ratio-trend analysis and econometric models
Cont., • Work study techniques: • Under this method, total production & activities in term of clear units are estimated in a year. • Then man-hours required to produce each unit is calculated. • Later, the required number of employees is calculated.
SUPPLY FORECASTING • The future supply of human resources is to obtain the data and information about the present human resources inventory. • Existing Inventory: The data relating to present human resources inventory in terms of human resources components, number, designation-wise and department-wise should be obtained.
Recent Trends in HRP • Outsourcing: Most of the org., started to plan for outsourcing human resources rather than HRP in order to • Reduce the cost of human resources • Avoid the difficulties in human resources mgt., & • Reduce the negative implications of overstaffing.
JOB ANALYSIS • Job analysis is a systematic process of gathering and making certain judgments about all of the important information related to the nature of the job. • Job analysis is a systematic way to gather and analyze information about the content of jobs, human requirements, and the context in which job are performed.
Cont., Job Analysis A process for obtaining all pertinent job facts • Job Description • A statement containing items such as • Job title • Job code • Location • Job summary • Job duties • Working conditions • Approvals • Job Specification • A statement of the human qualifications necessary to do the job. Usually contains items such as • Education & Experience • Aptitudes • Physical efforts • Physical skills • Communication skills • Emotional characteristics
Definition • Job analysis may be defined as the process of studying and collecting information relating to the operations and responsibilities of a specific job.
Cont., • Job analysis provides answers of the following aspects of the job: • What a worker does? (Worker functions) • How a worker does it? (methods and techniques) • What aids are necessary? (machines, tools, equipment's) • What is accomplished? (products/services produced) • What knowledge, skills, abilities are involved? (qualifications required)
Job Analysis Terminology • Job element: It is the smallest unit into which work can be divided. • Task: It is a distinct work activity carried out for a distinct purpose. • Duty: Its defined area of work (duty in a number of tasks). • Position: It is the set of tasks & duties performed (each person in an org., has a position).
Cont., • Job: Duties and responsibilities. • Job family: A group of two or more jobs that have similar job duties. • Occupation: It refers to a general class of jobs. • Career: Sequence of jobs that an individual has held throughout his or her working life. • Job description*:Statement of duties & responsibilities of a specific job.
Cont., • Job Specification:It is a statement of min acceptable human qualities necessary to preform a job properly. • Job Classification:Specified basic such as kind of work or pay. • Job evaluation:Determining the worth of a job in relation to other jobs.
Purpose of Job Analysis • Preparation of job descriptions • Writing job specification • Legal compliance • Job design • Recruitment
Cont., • Selection • Performance appraisal • Training and development • Career planning and development • Compensation and benefits • Safety and health
Job Analysis Techniques • Observation method • Interview method • Structured questionnaires method • Employee diary / log method • Technical conference method • Structured analysis • Position analysis questionnaire (PAQ) • Functional job analysis (FJA) • Combination method.
JOB DESCRIPTIONS • Job description is a written description of what the job entails. • It is a written statement of the content of a job which is derived from he job analysis. It states what the job holder does, how it is done, under what conditions it is done and why it is done.
JOB SPECIFICATIONS • A job specification is a document which states the minimum acceptable human qualities necessary to perform the job successfully. • Actually, the job specification evolves from the job description.
RECRUITMENT • The process of attracting individuals on a timely basis, in sufficient number, and with appropriate qualifications, and encouraging them to apply for jobs with an organization. • Some people use the term ‘recruitment’ for employment.
Definition • According to Edwin B. Flippo defined recruitment as “the process of searching for prospective employees and stimulating them to apply for jobs in the organization”
Objectives • To infuse fresh blood at all levels of the org., • To induct outsiders with a new perspective to lead the company, • To search or head hunt / head pouch people whose skills fit the company’s values, • To search for talent globally and not just within the company,
RECRUITMENT PROCESS EXTERNAL ENVIRONMENT INTERNAL ENVIRONMENT Human Resource Planning Alternatives to Recruitment Recruitment Internal Sources External Sources Internal Methods External Methods Recruited Individuals
ALTERNATIVES TO RECRUITMENT • Outsourcing: Transferring responsibility for an area of service and its objectives to an external provider. • Contingent Workers: Work as Part timers, temporaries, or independent contractors, • Professional employer organization (PEO): Employee Leasing
SOURCES OF RECRUITMENT Sources of Recruitment Traditional Sources Modern Sources Internal External Internal External Job Posting Campus Employee Walk-in Application Job Bidding Recruitment Referrals Consult in Re-trenched / Private Employment Head Hunting Retired Employees Agencies/Consultants Body shopping Dependents of Deceased Public Employment Mergers and Disabled, Retired Exchanges Acquisitions and present Professional Tele Employees Associations Recruitment Data Banks Outsourcing Casual Applicants Job Fair Similar Advertising organizations / Competitors Trade Unions
SELECTION • The process of choosing from a group of applicants those individuals best suited for a particular position and organization.
Definition • According to P Subba Rao defines, after identifying the sources of human resources, searching for prospective employees and stimulating them to apply for jobs in an organization, the management has to perform the function of selecting the right employees at the right time. The obvious guiding policy in selection is the intention to choose the best qualified and suitable job candidate for each unfilled job.
Essentials of Selection Procedure • Someone should have the authority to select. This authority comes from the employment requisition, as developed by an analysis of the work-load and work-force. • There must be a sufficient number of applicants from whom the required number of employees may be selected.
Organization for Selection • The manner in which tasks & responsibilities for accepting or rejecting candidates should be shared by line & staff executives must be laid down. • The personnel development should eliminate unsuccessful candidates.
Cont., • Line executive is ultimately vested with the authority either to accept or to reject a candidates. • The personnel officer has a duty to see that the right types of personnel are selected and placement is done wisely.
SELECTION PROCEDURE • Selection procedure employs several methods of collecting information about the candidate’s qualifications, experience, physical & mental ability, nature and behaviour, knowledge, aptitude & the like of judging whether a given applicant is suitable or not for the job.
Cont., • The selection procedure is not a single act but is essentially a series of methods or stages by which different types of information can be secured through various selection techniques.
Steps in Scientific Selection Process Development of Bases for Selection Application / Resume / CV / Bio-data Job Analysis Written Examination Preliminary Interview Human Resource Plan Business Games Tests Recruitment Final Interview Medical Examination Reference Checks Assess the Fit b/w the Job & the Candidate Line Manager’s Decision Job Offer Employment
PLACEMENT • When once the candidate reports for duty, the organization has to place him initially in that job for which he is selected. • Immediately the candidate will be trained in various related jobs during the period of probation of training or trail.
Cont., • The organization generally decides the final placement after the initial training is over on the basis of the candidate’s aptitude and performance during the training / probation period. • Probation period generally ranges between six months to two years.
Cont., • If the performance is not satisfactory, the organization may extend the probation or ask the candidate to quit the job. • If the employee’s performance during the probation period is satisfactory, his services will be regularized & he will be placed permanently on a job.
Employee Placement Process Collect details about the employee Construct the employee’s profile Match between sub-group profile & individual’s profile Compare sub-group profile to job family profile Match between job family profile and sub-group profile Assign the individuals to the job family Assign the individual to specific job after further counselling & assessment.
Problems in Placement • Employee expectations • Job expectation / description • Change in technology • Change in technology • Changes in organizational structure • Social and psychological factors
How to Make Placement Effective • Job rotation • Teamwork • Training and development • Job enrichment • Empowerment
INDUCTION / ORIENTATION • Introducing the new employee who is designated as a probationer to the job, job location, surroundings, organization, organizational surroundings and various employees is the final step of employment process.