Human Resource management

employing people, developing their resources, utilizing, maintaining & compensating their services in tune with the job & organizational requirements with a view to contribute to the goals of organization, individual and society

The human resource management can be thought of as the total knowledge, skills, creative abilities, talents and aptitudes of an organization's workforce, as well as the value, attitudes and beliefs of the individuals involved.

Leon C. Megginson

MICO- CEO- says- people come to MICO with their values & motives CEO says employees of our company are highly skilled talented and knowledgeable But value system of most of them is such that they do not speak until we repeatedly request them to offer their ideas. Their motive is only to offer their suggestion when it sought. When I ask them why dont you speak freely as you speak with your family members? They reply that suggestion offered in the company with out sought is just like paying the money with out buying.

Human resource management is a responsibility of line managers and a function of staff manager in an organization.

it can be defined as managing the functions of employing, developing and compensating human resources resulting in the creation and development of human relations with a view to contribute proportionately to the organizational. individual and social goals

Definition

HRM is a management function that helps managers recruit, select, train & develop members for an organization.

All managers are human resource managers at Infosys

The CEO of Infosys says that their machines are human beings. Computers and software are tools in their hands , their finances are their employees and their employees are their human resources. In essence all the resources of his company are human resources.

Personal objectives Functional objectives Organizational objectives Societal objectives

HRM is concerned with employees both as individuals and as a group in attaining goals. It is concerned with behavior, emotional and social aspects of personnel. It is concerned with development of human resources It covers all levels & categories of employees It applies to the employees in all the types of organization

It aims at attaining the goals of organization, individual and society Organization goals may include survival growth and development in addition to profitability , productivity , innovation , excellence etc.

Individual employee goals consist of job satisfaction, job security, high salary. Attractive fringe benefits, challenging work, pride, status, recognition, opportunity for development etc

Goals of the society include equal employment opportunity . Minimization of inequalities in the distribution of income , developing the society in general by organizing developmental activities.

Human Resource management is a continuous and never ending process

It is concerned mostly with managing human resources at work HRM is the central subsystem of an organization and it penetrates all types of functional management like production, marketing and financial management

Objectives of HRM

To create & utilize an able & motivated work force to accomplish the basic organizational goals. To establish & maintain sound organizational structure and to maintain relationships among all the members of organization. To create facilities & opportunities for individual or group development so as to match it with the growth of the organization

To attain an effective utilization of human resources in the achievement of organizational goals. To identify and satisfy individual and group needs (wage, incentive, challenging work , prestige, status, recognition, security, employee benefits.)

HRM objectives of Wipro

To respect the individual , as people are the greatest asset To govern individual & company relationships with highest standard of conduct and integrity To be close to the customer through employees To achieve and maintain leadership

FUNCTIONS OF HRM

FUNCTIONS OF HRM

Managerial Functions

Operative functions

A) Managerial Functions:
Planning : Formulating strategies of personnel programmes

and changes in advance that will contribute

organizational goals.

to the

Organising: Acc to J C Massie, an organisation is a structure and a process by which co-operative group of human beings allocates its task among its members, identifies relationships and integrates its activities towards a common objective. Thus it establishes relationships among the employees so that they can collectively contribute to the attainment of the organisational goals.

Directing ( execution of the plan ) Controlling

B) Operative Functions
1.

Employment

a) Job analysis collection of data Preparation of job description, specification and so on. Providing the guides, plans and the basis for job design and for all operative functions of HRM.

b) HR Planning Estimation and supply of present and future requirements based on long range plans. Calculation of net human resource requirements Preparation of action programs to get the rest of the HR

c) Recruitment

Identification of the existing sources. Identification of new sources

Stimulating the applicants to apply for the jobs.

d) Selection:

e) Placement: Conducting follow up study, appraising employee performance in order to determine employee adjustment with the job. Correcting misplacements if any f) Induction and orientation: Technique by which employees are rehabilitated in the changed surrounding and introduced to the practices, policies and persons etc of the organisation.

2)

Human Resource Development It is the process of improving, molding and changing the skills, knowledge, creative ability, attitude, values etc based on present and future job requirements.

a) Performance Appraisal

b) Training Identification of training needs Developing suitable training programmes. Imparting requisite skills. Evaluating the effectiveness of training. c) Managerial Development d) Career planning and development: It includes planning of ones career by means of education, skills,, experience.

3) Compensation:

It is the process of providing adequate, equitable and fair remuneration to the employees. a) Job evaluation: Process of determining the relative worth of the job. Select suitable evaluation techniques. Determining relative value of the jobs.

b) Wage and salary administration: Process of developing and operating wage and salary programme. Conducting wage and salary survey Determining rates. Administering the programmes. Evaluating its effectiveness. c) Incentives: Process of formulating, administering and reviewing the financial incentives in addition to the regular payment of the wages and salary.

d) Bonus e) Fringe Benefits: These are the various benefits at the fringe of the wage. It includes: Disablement benefit Housing facilities Educational facilities to employees and children Canteen facilities

Recreational facilities
Medical facilities e) Social Security measures: includes Workmen compensation ( accident ) Maternity benefit Sickness and medical benefit Retirement benefit

Dependent benefit

4. Human

Relations:

It is the process of interaction among human beings. It includes: Motivating employees. Boosting employee morale

Redressing the employee grievances.

Counseling the employees. Providing a comfortable environment

5. Industrial Relations

Human Resource Policy

A policy is a statement or general understanding which provides guidelines to members of the organisation for making decision in respect to any course of action.

HR policies provide guidelines for a variety of employment relationships and identify the organisations intentions in recruitment, selection, development, promotion, compensation, motivation and integration of HR.

Formulation of personnel policy

Identifying the need Collecting data Specifying alternatives Communicating the policy Evaluating the policy

Characteristics of HRM policy

Related to objectives Easy to understand Precise Stable as well as flexible Based on facts Just, fair and equitable Review

Advantages of HRM policy

Delegation Uniformity Better control Standards of efficiency

Confidence Speedy decisions Coordinating devices

HR policies of Clariant (India) Ltd.

The HR policies of the company related to the various issues are as follows: 1. Always select the employees who are the best of available candidates. 2. Observe legal/moral obligations. 3. Employment of local people as defined by Govt. 4. Not opposed to union/association of employees-would welcome discussions with the employees representatives. 5. Give opportunities for self development by: Encouraging participative management i.e involvement of different levels for decision making process. Providing internal and external training courses, participation in seminars, etc. 6. Pay competitive remuneration at all levels in all aspects. 7. Maintain high standards of working conditions. 8. Maintain high standards of discipline. 9. Solve employees grievances in the lowest level possible at the shortest time. 10. Encourage free flow of ideas and suggestions all around so that