National Institute of Business Management

Chennai - 020
FIRST SEMESTER EMBA/ MBA
Subjet ! "uman Resou#es Management
Attend any 4 questions. Each question carries 25 marks
(Each answer should be of minimum 2 pages / of !! words"
1. Explain the emerging role of Personnel Management.
2. Describe the steps in Human Resource Planning.
3. Explain the different sources and methods of Recruitment.
4. Explain alendar preparation for training.
!. Explain the concept of "or#ers Participation in Management.
$. Explain the purposes and importance of Performance %ppraisal
1. Explain the emerging role of Personnel Management
The Role of Human Resource Management is increasing day by day due to the following
major areas of change which are emerging.
Changing composition of workforce, with the whitecollar gradually was becoming a
dominant group.
!rowing unioni"ation among work force is greatly increasing their to demand
increasing participation in the decision making acti#ities influencing their
interests.
$ncreasing role of go#ernment in enacting protecti#e legislation to bring about a
balance in the interests and %ights of the participants in the organi"ation.
Re#olution in information technology and other technological inno#ations which
might ad#ersely affect the interests of the workforce and their occupational
mobility
Rapidly changing jobs and skills re&uiring longrange manpower planning and
$ncreasing concern of many fin11' for accepting greater social responsibility.
$n all these areas of change, personnel management would need larger amount of
training, retraining and midcareer retraining. (urthermore, they must also be familiar
with the findings of the beha#ioral sciences, so that they could rely more on
management by integration of professional goals with the goals of the organi"ation and
by selfcontrol rather than on management by centrali"ed direction and control. They
also cannot afford to neglect the )bread and butter) problems of daytoday personnel
administration
Richardian considers that )*ersonnel) is + thee industrial counterpart of the ,eha#ioral
'ciences in the same way -ngineering is of the *hysical 'ciences). ,ut he obser#es
that )this function seems to ha#e lost any direct connection with business results, it once
may ha#e had). .ccording to him, )the personnel people li#e in a world untouched by
business realities. ,ut in future they will ha#e to make an +$ntegrati#e approach+ to
systems analysis with a #iew to understanding the link between their acti#ities and
business
The functions of HRM are /a0 *ersonnel .dministration, /b0 -mployee 1elfare and /c0
(unctional areas. $n a personnel administration ele#en areas like Recruitment and
'election, $nduction, Compensation, 2iscipline, Transfer and *romotion, Merit Rating
and -#aluation of -mployees, .dministration, *ersonnel Training and 2e#elopment
Training, *ersonnel records and 'tatistics, Retirement and 'tatutory Compliance of. $n
employee welfare condition of work en#ironment employee+s health ser#ices are dealt
with. The functional areas of HRM comes under nine areas like 3rgani"ational *lanning
and 2e#elopment, 'taffing and -mployment, Training and 2e#elopment, 1age and
'alary .dministration, Moti#ation and $ncenti#es, -mployee 'er#ices and ,enefits,
-mployee Records, %abor or $ndustrial Relations and *ersonnel Research and
*ersonnel .udit.
4. Describe the steps in Human Resource Planning.
/.0 2eciding objecti#es and goals
/,0 -stimating future organi"ational and manpower re&uirements
/C0 .uditing human resources
/20 *lanning job re&uirements and job descriptions
/-0 2e#eloping a human resource plan.
$ei%ing objeti&es an% goals
HR planning fulfills indi#idual, organi"ational and national goals. $t implies )the ultimate
mission or the purpose is to relate future human resource to future enterprise needs so
as to ma5imise the future return on in human resources). $n effect, the main purpc6e is
one of matching or fitting employee abilities to enterprise re&uirements, with an
emphasis on future instead of present arrangements. The objecti#es may be laid down
for a shortterm. (or e5ample the shortterm objecti#es may be to hire 47 persons from
scheduled tribes or backward classes for purposes of training. The longtenn objecti#es
may be to start a new industry, to e5pand the market, to produce a new product, to
de#elop its own sales force rather than depend on distributors or to ha#e minority group
members e#entually in position of middle and upper management cadres.
Estimating futu#e o#gani'ational an% man(o)e# #e*ui#ements
(orecasting pro#ides the basic premises on which the manpower planning is built.
(orecasting is necessary for #arious reasons such as8
The e#entualities and contingencies of economic business cycles such as inflation,
wages, prices, cost and raw materials ha#e an influence on the short range and long run
plans of all
.n e5pansion following enlargement and growth in business in#ol#es the use of
additional machinery and personnel and reallocation of facilities, all of which call for
ad#ance planning of human resources.
Changes in management philosophies and leadership styles.
The use of mechanical technology /such as the introduction of automatic controls, or the
mechani"ation of materials handling functions0 necessitates changes in the skills of
workers, as well as a change in the number of employees needed.
9ery often, changes in the &uantity or &uality of products or ser#ices re&uire a change in
the organi"ation structure. *lans ha#e to be made for this purpose as well.
.uditing human resources
3nce the future human resource needs are estimated, the ne5t step is to determine the
present supply of manpower resources. This is done through, what is called )skills
$n#entory). . skill in#entory contains data about each employee+s skills, abilities, work
preference and other items of information which indicate his o#erall #alue to the
company.
*lanning job re&uirements and job descriptions
.fter ha#ing decided how many persons would be needed it is necessary to prepare a
job analysis which records details of training, skills, &ualifications, etc., which are needed
for a job. :ob analysis includes the preparation of job descriptions and job specifications.
2e#eloping a human resource plan
This step refers to the de#elopment and implementation of the human resource plan
which consists in finding out the of labor supply with a #iew to making an effecti#e use of
these sources. The first thing, therefore, is to decide on the policyshould the personnel
be hired from within through promotional channels or should it be obtained from an
outside source. The best policy, which is followed by most organi"ations, is to fill up
higher #acancies by promotion and lower le#el positions by recruitment from the labor
market.
;. Explain alendar preparation for training.
2esigning the training program with clearly defined objecti#es is a #ital step in the entire
gamut of training acti#ities. Training is a means to achie#e an end. $t is not an end in
itself. <nless the objecti#es are clearly defined and program designed in such a way that
it leads to the achie#ement of the objecti#es set out, it will be only a wasted effort. The
linkage between the design and the objecti#es must be carefully thought out by the
trainer before announcing a program. The following points are to be ensured for the
success of the training program.
The Trainer8 Choice of faculty is critical to the success of any training program.
The coordinator must ensure that the selected trainer has the necessary general,
technical and knowledge of the subject, that his e5perience and skills are
reflected in handling the working sessions, adapting this training style, generating
interest in the subject being dealt with and that he possesses the personality
characteristics and attitudes such as openness to new ideas, obser#ation power,
and a &uestioning mind. .ll good managers are not necessarily good trainers. .
list of standby trainers can also be kept who can be called upon at short notice.
$n such a situation, the director of programs should capable of filling in himself
with minor changes in the agenda
The Trainees8 $t should be ensured that the trainees ha#e the necessary
background, intellectual and physical capabilities, diagnostic and application
skills and characteristic re&uired Care should be taken so as to a#oid too much
disparity in the group.
The curriculum The curriculum should be designed for the optimal utili"ation of
resources a#ailable towards the achie#ement of the program objecti#e.
The training material8 Care should be taken to ensure the rele#ance and
suitability of training material and the media of presentation to the subject under
consideration. 1riteups or standard handouts for a particular topic should be
suitably inde5ed to a#oid duplication of effort.
The methods and techni&ues8 The training and techni&ues should contribute to
maintaining interest and high degree of participation and are capable of inducing
a transfer of knowledge and skills
The timing and se&uencing8 $t should be ensured that the timing and se&uencing
of sessions are suitable with regard to the training objecti#es, that they are done
depending upon the &uantity of material to be co#ered, the a#ailability of trainers
and trainees and the content of the program. $deally a session should not e5tend
beyond a duration of 1 h hours.
%ocation8 in selecting a #enue for training, the ade&uacy of the room #entilation,
relati#e free from noise and disturbances and o#erall comfort should be sought. $t
should be ensured that the location is worth the cost and that the surroundings
are ade&uate to create a training en#ironment.
The physical facilities and training e&uipment8 The a#ailability of basic facilities
e.g. projector, should be ensured.
.s a large number of acti#ities ha#e to be coordinated it is ad#isable that the program
coordinator keeps a checklist for an effecti#e follow up.
=. Explain the purposes and importance of Performance %ppraisal
+u#(oses of +e#fo#mane A((#aisal
*erformance .ppraisal is an important tool of *ersonnel Management and is used for a
#ariety of purposes. The importance of performance appraisal is summed up as under8
$t assists the super#isor to appraise the performance of his employee which is of
immense use to the Management.
Through this method, the appraisal procedure is unified so that the Management
may rate all employees on the same &ualities by the same method of
measurement.
*erformance appraisal may be used for selection and training of new employees.
$t is also useful in deciding the type and nature of training program to the
employees.
$t helps in the placement of employees properly and also in finding out the +misfit+
who may be transferred to the right place.
$t forms a scientific and systematic basis for any increase in the wages of
employees.
$t is helpful in pre#enting grie#ances because it is a definite aid to Management in
promoting fairness to employees.
$t helps in identifying employees who may be considered for promotion.
$t pro#ides job satisfaction to the employees and impro#es their morale. This
means, better employeremployee relations.
.ccording to 'cott, !otheir and 'priegel, *erformance .ppraisal is employed in
business as a )record of progress for apprentices and regular employees, as a guide in
making promotions, transfers or demotions, as a guide in making lists for bonus
distribution, for seniority consideration and for rates of pay, as an instrument for
disco#ering hidden genius, and as a source of information that makes conferences with
employees helpful).
Im(o#tane of +e#fo#mane A((#aisal
*erformance .ppraisal has been considered as a most significant and indispensable
tool for an 3rgani"ation, for the information it pro#ides is highly useful in making
decisions regarding #arious personal aspects such as promotions and merit rating.
*erformance measures also link information gathering and decisionmaking process
which pro#ide a basis for judging and effecti#eness of personnel subdi#isions such as
recruitment, selection, training and compensation. .ccurate information plays a #ital role
in the organi"ation as a whole. They help to pinpoint weak areas in the primary systems.
/-g. Marketing, (inance, *roduction0.
$t is easier for Managers to see which employees need training or counseling because
jobs are grouped by categories /'ales manager, *roduction foreman, (inancial analysts
etc.0. These categories can be broken into smaller and smaller groups, if necessary. $f
#alid performance data are a#ailable, i.e., timely, accurate, objecti#e, standardi"ed and
rele#ant, Management can maintain consistent promotion and compensation policies
throughout the total system.
47 5 ;>1?? marks