HRM Final

Based on Latest Syllabus of MBA prescribed By
Maharshi Dayanand University, Rohtak (DDE)

M.B.A.
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CONTENTS
HUMANRESOURCES MANAGEMENT
INDIANBUSINESS ENVIRONMENT
PRODUCTION&OPERATIONS MANAGEMENT
....................................................................
.....................................................................
UNIT II..................................................................18 - 38
UNIT III.................................................................39 - 52
UNIT IV.................................................................53 - 99
Past Year Question Paper....................................100 - 103
Worksheet..........................................................104 - 106
Syllabus.............................................................107 - 107
UNIT I................................................................108 - 120
UNIT II..............................................................121 - 135
UNIT III.............................................................136 - 149
UNIT IV.............................................................150 - 166
Past Year Question Paper.....................................167 - 171
Worksheet..........................................................172 - 174
Syllabus.............................................................175 - 175
UNIT I................................................................176 - 190
UNIT II..............................................................191 - 202
UNIT III.............................................................203 - 216
UNIT IV.............................................................217 - 238
Past Year Question Paper.....................................239 - 244
Worksheet..........................................................245 - 248
5 - 5 Syllabus
UNIT I 6 - 17
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UNIT-I
UNIT-II
UNIT-III
UNIT-IV
Concepts & Perspectives of HRM : HRM in changing environment, HRM
functions, Role of HR Practitioners; HR Policies, Corporate objectives
and HumanResource Planning.
Job Analysis, Role Analysis, Methods of Manpower Search, Attracting
and selecting HR; Induction and socialisation, Manpower training &
development; Career and succession Planning, Managing
Organisational Renewal.
Compensation-Aims & components, Factors determining pay rates;
Establishing pay rates, Job Evaluation; Pay for performance; Employee
benefits & services; Performance appraisal, 360 degree feed back,
Potential appraisal.
Industrial Relations; Industrial disputes and dispute resolution; Trade
Unions; Employee grievances and Discipline; Participation and
Employee empowerment.
NOTE : The question paper will be set by the external examiners. The
external examiner will set 8 questions in all, selecting not more than two
questions form each unit. If a case study in included in the question
paper then it will carry marks equivalent to two questions. The
candidates will be requited to attempt five questions in all, selecting
atleast one question from each unit. However, in question paper (s)
where any deviation is required, special instructions will be issued by
the Chairman.PGBoard of Studies inMangement.
HUMAN RESOURCE MANAGEMENT
MBA2nd SEMESTER, M.D.U., ROHTAK
SYLLABUS
5
External Marks : 70
Time : 3 hrs.
Internal Marks : 30
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Q. What is Human resource management? Explain its features &
approaches. Also explain scope &objectives of HRM?
Human Resource Management (HRM)
Approaches :
HRM is really personnel management :
HRM is a strategic model :
HRMis people management :
HRMis very important to us for the following reasons :
Development and Growth of the organisation :
Ans. is the function within an
organization that focuses on recruitment of, management of, and providing
direction for the people who work in the organization. Human Resource
Management canalso be performed by line managers.
Human Resource Management is the organizational function that deals with
issues related to people such as compensation, hiring, performance
management, organization development, safety, wellness, benefits, employee
motivation, communication, administration, and training.
Human resource management is a
modernized formof personnel, repackaged to enhance the status of personnel
managers. HRM is based on integrated and coherent recruitment, assessment
and development programmes.
It employs the techniques of strategic
management for the utilization of human resources. It focuses on senior
manager concern with achieving objectives and containing costs. HRMaims for
a seamless link between business policy and recruitment, performance
assessment, reward management, development and dismissal. HRM is a
mechanismfor control and the exercise of power by top management.
It covers all aspects of managing employees in
its widest sense and emphasises the role of line managers in overseeing their
ownstaff.
1. By improving the
individual capabilities, acquiring necessary cooperation and developing
UNIT I
MBA 2nd Semester (DDE)
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teamwork. HRM makes sure that the organization develops and grows
well. Goals of the organization are met by HRMby effective motivation and
excellent utilizationof employees.
2. HRM creates and
maintains excellent culture in the organization and it makes people
develop and grow.
3. The development, care of Human
Resources is done by the HRM.
4. The concept of Human beings is a very crucial and vital factor of
production , HRMis gaining more and more importance day by day. It also
has important implication in societal development also. IT IS THE HEART
ANDSOUL OFMODERNMANAGEMENT.
1. Human beings are the crucial aspects of every organization. The greater is
the commitment of the human resources the more successful is the
organization.
2. An individual is a whole person. He brings all aspects of his personality,
attitudes, traits and behavior to the work place.
3. All people represent the organization. The building, equipment and other
resources productive only because they are being handled by the hyper
energic force of humans.
4. People are different from each other. They vary in abilities, nature,
personality; religionetc. People are also influenced by social economic and
environmental factors.
5. Human resources have to be acquired, developed and motivated to give
higher performances and also must be retained.
6. The success of an organization depends upon the satisfaction of
organizational needs and employees needs. There are various levels of
hierarchical levels in an organisation. The people who manage (i.e., the
managers), and people who are at work (subordinates). The effective
coordination and commitment between managers and subordinates is
essential for organizational success. Apart from that healthy relation
ships are to be maintained with consumers, shareholders, entrepreneurs,
governments and suppliers.
7. Human relations enable people to work effectively in an organization with
other people inorganization.
Creation of healthy culture in the Organization :
Maintenance of Human Resources :
Core values of HRM:
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Features of HRM:
Pervasive force :
Action oriented :
Individually oriented :
People oriented :
Development oriented :
Integrating mechanism :
Comprehensive function :
Inter disciplinary function :
Continuous function :
Auxiliary service :
Scope of HRM:
Personal aspect :
Welfare Aspect :
Human resource management is concerned with most effective use of people to
achieve organizational &individual goals. It has the following features :
(i) HRM is pervasive in nature as it is present in every
enterprises &at all level of management inanorganization.
(ii) HRM focuses attention on action rather then record
keeping, writtenprocedures or any rules.
(iii) It helps employees develop their potential fully &
encourages themto give output their best to the organization & motivates
themthroughsystematic process.
(iv) HRM in all about people at work both as group &
individuals. It tries to put people an assigned job in order to produce good
result.
(v) HRM intends to develop full potential of
employees. The reward structure is turned if turned to need of employees,
Training to sharpen & improve their skills, rotation on various job to gain
experience
(vi) HRM tries to build & maintain relations
between people working at various level in the organization & integrate
humanassets inbest possible manner.
(vii) HRM is to some extent concerned with any
organizational decision which has an impact on the workforce of
organizationat all levels.
(vii) HRM is a multi disciplinary activity
utilizing knowledge & inputs drawn from psychology, sociology
anthropology, economics etc
(ix) HRM is not one shot deal. It cannot be practiced
one hour a day or one day a week. It requires constant alertness &
awareness of HumanRelations &their importance inall operations.
(x) HRM deptt. Exist to assist & advise the line or the
operating managers to do their personal work more effectively.
The scope of HRMis very wide.
1. This is concerned with manpower planning
recruitment, selection, placement, transfer, promotion training &
development, retrenchment, incentive &productivity etc.
2. It deals with working conditions such as canteens,
lunch room, restroom, crches, housing, transport , medical assistance,
education, safety about health&recreationfacilities.
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3. This covers union management relation
joint consultation, collective bargaining, grievance and disciplinary
procedures settlement of disputes etc.
The primary objective of
HRM is to ensure the availability of competent and willing workforce to an
organization. Specifically HRMhas four fold- Social, organization, functional &
personnel.
1. To be ethically & socially responsible to the needs &
challenges of the society while minimizing the negative impact of such
demands uponthe organization.
2. To recognize the role of HRMbringing about
organizational effectiveness. The HRM deptt. Exists to serve the rest of
organization.
3. To maintain the deptts contribution at a level
appropriate to the organizationneeds.
4. To assist employees in achieving their personnal
goals as these goals enhance individuals contribution to the
organization.
HRMplays an important role. It helps an organization
inmany ways.
1. Good human resource practice can help in attracting
&retaining best people inthe organization.
2.
a. At individual level-Effective management of human resource
promote teamwork &teamspirit among employees.
b. It offers excellent growth opportunities to the people who have the
potential to rise.
c. It inspires people to work withdiligence &commitment.
3.
a. Society as a whole is major beneficence of good human resource
practice.
b. Employment opportunities multiply.
c. Scarce talent is put to best use.
1. It is multifaceted concept. The premise of quality is
work life is having work environment where an employees activities
become more important. It means implementing procedures or policies
that make the work less routine and more rewarding for employee. These
Industrial relation aspect :
Objectives of Human Resource Management :
Social objectives :
Organizational Objectives :
Functional objectives :
Personnel objectives :
Importance of HRM:
Enterprise level :
It is needed inshort, medium&long run.
At society level :
Human Resource Areas :
Quality of Work life :
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procedures or policies include autonomy, reorganization, belonging,
progress & development and some external reward. Autonomy deals with
amount of freedom that employee can work in their job. Reorganization
involves being valued by others in company. Belonging refers to internal
rewards available from the companys challenge & accomplishment.
External reward means reward in form of salary benefits & also include
promotion, rank & status. These components provide quality of work life
for individual. If quality of work life is lacking then workers productivity
may suffer.
2. Productivity is the quantity or volume of the major
product or services that an organization provides. Many components
constitute the productivity factor-:
a. Capital investment includes having the best possible machinery
available that will help improve the efficiency of workers.
b. is a process where by new ideas & creative ideas are
welcomed, studied for the feasibility & implemented, if found
feasible.
c. Not only we want individual to
work efficiently but also effectively. Finnaly productivity is contigent
on an employees motivation. Productivity improvement can be
achieved through proper equipement, training, new ideas &
increased motivation.
3. Change is a fact of life everywhere.At work we
must be aware that changes will occur .The changes might be suitable
such as getting a new Boss or organization installing a new work system.
But fear must not be associated with changes & to reduced their fear,
training is important about getting ready for change. Employers must
make changes to remaincompetitive, innovative &responsible.
Ans.
1. This is a very crucial function of
HRM. The organization needs people human assets. People appreciate day
by day with experience and are extremely valuable assets in an
organization.
2. He does bring his abilities, attitudes,
personality, and behaviour with himself. An individual aims for
development and personal growthinthe work sphere.
3. HRM functions include
maintenance of effective interpersonal relations. In this context the
functions of legal compliance, maintenance and Industrial relations are
done by HRM.
Productivity :
Innovation :
Learning looks at training issues :
Readiness for change :
Q. What activities does HRM do? Explain.
Human resources management is responsible for the following :
Promotion of organisational needs :
Development of employees :
Relationship maintenance function :
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4. It is the provision of greater freedom and discretion to
employees. When employees are given freedom they work effectively as a
team and strive(struggle) for the development and growth of the
organization. The function of empowerment leads to the prosperity of the
organization.
5. HRMs crucial function also includes Good and effective communication of
policies. Communication when streamlined effectively leads to excellent
network building and growth.
6. Employees need to be treated with fairness and equality. HRM
function of equal policies and justice make sure that the employees are
protected fully. Equality leads to well trained and well-motivated
employees.
7. Job is the duty which one is expected to do.
An employee works well when the job matches with his expectations,
abilities and talents. Job Satisfactionis vital for all.
(i) Organizational, work, and job design
(ii) Planning
(iii) Recruitment and selection
(iv) Training and development
(v) Performance management
(vi) Compensation
(vii) Occupational health and safety
(viii) Employee and labour relations
Recruitment is the process of generating of applications or attracting
applicants for specific positions through four common sources, viz.
Advertisement, state employment exchange agencies , present employees and
campus recruitment.
Having identified the potential applicants the next step is to evaluate their
experience and qualification for ascertaining their suitability for a job and
make selection. Selection refers to the process of offering job to one or more
applicants from the applications. Selection is thus a means of selecting the
best-fit for a job by using multiple hurdles such as screening, short listing
based onmarks, tests, interviewing, and anequal opportunity dispenser.
Empowerment :
Equality :
Functions relating to job :
HRMFunction :
Recruitment and Selection :
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Performance &Potential Appraisal :
Counselling :
Career Planning :
Succession Planning :
Performance appraisal also called merit rating or employee rating is a
means of helping supervisors to evaluate the work of employees. It is the name
given to the regular formalised and recorded review of the way in which an
individual performs in his or her job. This is normally carried out by the job
holders immediate boss.
1. It helps employee inself-appraisal
2. It Reviews his performance in relation to the objectives and other
behaviors.
3. It Checks reviews done by the superiors.
4. It sends summary informationfor central storage and use.
5. It analyses the difficulties of the employees and works to remove
them. It helps employees to face challenges and accept
responsibilities. It plans Potential.
Counselling is helping the employee to recognise his own strengths,
weaknesses and potential and helping him to prepare action plans for own
development. Giving feedback in threatening way or correcting the
undesirable or unsatisfactory behaviour of employees by pointing it out the
deficiencies or other malfunctioning and warning them not to repeat these
behaviour are all integral parts of a managers role and are not the same as
counselling.
1. They give critical and supporting feedback.
2. They discuss with the employee the difference between his self rating
and the rating by the immediate superior.
3. They discuss the steps the employee can take for improvement.
4. They provide support
Career planning involves identifying the right potential well
in time, for development to take over higher responsibilities. This includes
promotion and planned job rotation under various conditions and
environments of challenge. In this process, attention is focused on individuals
style of working than his current performance results. Current results can
provide reasonable clues of future potential, but they are not the sole criterion;
current results only, could be misleading injudging ones potential.
Succession planning entails in identifying the key jobs
in an organisation and ensuring that , if anything, planned or unplanned were
to remove the present job holder from his post, there would be some one ready
to take the place. This benefits the company by ensuring that there are no
expensive gaps, or panic measures to fill them. It benefits the individual by
providing him with opportunities for advancement. Three broad steps are
required in this context (I) to decide which are the key jobs in the organisation;
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(ii) to identify the potential incumbent who can fit the position; & (iii) to make
necessary records in the organisation chart. Therefore, a succession plan to
indicate who cansucceed whominthe hierarchy.
The purpose of training is to improve the capabilities of the human
resources in order to increase their efficiency and effectiveness on the job.
Training is expected to indicate positive changes in knowledge, skill and
attitudes. Training is job oriented and fulfills the current needs of an individual
to overcome job difficulties.
Job evaluation is concerned with establishing the relative
worth of a job compared to other jobs within an organisation. In job evaluation
one attempts to consider and measure the inputs required of employees (know-
how, accountability and problem solving etc.) for minimum job performance
and to translate suchmeasures into specific monetary returns.
Transfer is a lateral movement within the same grade, fromone job to another.
A transfer may result in changes in duties and responsibilities, supervisory
and working conditions, but not necessarily salary.
Promotion is the advancement of an employee from one job level to a higher
one, withincrease insalary.
Demotion is the opposite of promotion. It is a downward movement from one
job level to another, leading to a reduction in rank, status, pay and
responsibility.
Job analysis is the process of studying and collecting
department information relating to operations and responsibilities of a specific
job. The immediate products of this analysis are job description and job
specification. Job description is an organised factual statement of duties and
responsibilities of a specific job, whereas, job specification is a statement of the
minimumacceptable qualities necessary to performa job properly.
Role analysis is the process of defining a role in the context of
its work system., in terms of expectation of important persons, detailing
specific tasks under each function, and elaborating the process, standards and
critical attributes namely knowledge, attitude, skill, habits required for
effective role. Role is a position or an office a person occupies as defined by
expectations fromsignificant persons in the organisation, including the person
himself. Positionis the collectionof tasks and responsibilities performed by one
person. CommunicationPolicies.
HR Department stresses a lot on Communication aspects to be developed.
Communicationpolicies do pave way for effective ness and efficiency.
Rewards are the positive reinforcements given by the organization .
Rewards act as effective motivators and help people to increase productivity
and efficiency. Rewards include:
Training :
Job Evaluation :
Transfer, Promotion &demotion!!!
Job Analysis :
Role Analysis :
Rewards :
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1. Promotion
2. Salary Review
3. Salary Administration
To hire the wrong personfor the job
To experience highturnover
To find our people not doing their best
To waste time withcountless and useless interviews
To have our company sued for our discriminatory actions.
To be quoted under bad example of unsafe practices
To have some of your employees think their salaries are unfair and
inequitable relative to others inthe organization
To allowa lack of training to undetermine your departments effectiveness
To commit any unfair labor practices
The HR managers have keen role in the effective
planning and implementation of the policies and decisions that in tune with the
business changes. They should act as strategic partners and be proactive in
their role. The HR managers should understand how far their decisions
contribute to business surplus incorporating human competency and
performance to the organisation. Strategic HRmanagers need a change in their
outlook fromseeing themselves as relationship managers to strategic resource
managers. The major HRM innovations occur when senior management takes
the lead and adoption of innovative SHRMpractices is dependent on the nature
of relationship of the HR Department with the CEO and the line managers. the
actions of the personnel practitioner in the innovation process suggests that
adoption of an innovation by an organization depends largely on HR
practitioners credibility with information and resource providers. HR
Department and HR managers in these innovative organizations play a
strategic role linking the HR strategy with the business strategy of the
organization. A crucial aspect concerning SHRM is the concepts of fit and
flexibility. The degree of fit determines the human resource systems
integration with organization strategy. It is the role of HR Managers to ensure
this fit inbetweenHumanResource Systemwiththe OrganizationStrategy.
Ans. is the process of anticipating and carrying out
the movement of people into, within, and out of the organization. Human
resources planning is done to achieve the optimum use of human resources
and to have the correct number and types of employees needed to meet
organizational goals.
Thus, it is a double-edged weapon. If used properly, it leads not only to proper
utilization, but also reduces excessive labor turnover and high absenteeism,
and improves productivity.
Importance of HRMfunctions :
Role HR Practitioners :
Q. What is Human Resource Planning? Explain briefly all concepts
related to it.
Human resource planning
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It can also be defined as the task of assessing and anticipating the skill,
knowledge and labor time requirements of the organization, and initiating
action to fulfill or source those requirements. Thus, if the organization as a
whole or one of its subsystem is not performing to the benchmark, in other
words, it is declining, it may need to plana reductioninits existing labor force.
The process by whichmanagement ensures that it has the right personnel, who
are capable of completing those tasks that help the organization reach its
objectives.
(i) Forecasting future manpower requirements, where we use mathematical
projections you might have studied in business economics and
quantitative techniques paper, to project trends in the economic
environment and development of the industry.
(ii) Making an inventory of present manpower resources and assessing the
extent to which these resources are employed optimally. Procuring
competent personnel requires positive recruitment efforts and the
development of a variety of recruitment sources. These sources must
consider not only the nature and conditions of the external labor market,
but also the presence of qualified personnel who are available to fill
vacancies throughinternal promotions or transfers.
(iii) Anticipating manpower problems by projecting present resources into the
future and comparing themwiththe forecast of requirements to determine
their adequacy, bothquantitatively and qualitatively; and
(iv) Planning the necessary programmes of requirement, selection, training,
development, utilization, transfer, promotion, motivation and
compensation to ensure that future manpower requirements are properly
met.
1. Its a systematic approach. It ensures a continuous and proper staffing. It
avoids or checks on occupational imbalances (shortage or surplus)
occurring inany of the department of the organization.
2. There is a visible continuity inthe process
3. There is a certain degree of flexibility. That is, it is subject to modifications
according to needs of the organization or the changing circumstances.
Manpower plans can be done at micro or the macro levels depending upon
various environmental factors.
1. Match Human resources related activities and future organization and
future organizationobjectives efficiently.
The features of HRP
The salient features of HRP :
Uses of HRP :
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2. Achieve economic inhiring newworkers.
3. Expand the human resource management information base to assist
other humanresources activities and other organizational units.
4. Make major demands onlocal labour markets successfully.
5. Co-ordination different human resources management programs such as
employment equity plans and hiring needs.
Planners face significant barriers while formulating an
HRP. The major ones are the following:
1. People question the importance of making HR practices future oriented
and the role assigned to HR practitioners in formulation of organizational
strategies. Their argument is simple-there are people when needed. Offer
attractive package of benefits to them to quit when you find them in
surplus.
2. HR practitioners are perceived as experts in handling personnel matter,
but are not experts in managing business. The personnel plan conceived
and formulated by the HR practitioners when enmeshed with
organizational plan, might make the overall strategic planitself defective.
3. HR information often is incompatible with the information used in
strategy formulation. Strategic planning efforts have long been oriented
towards financial forecasting often to the exclusion of other types of
information.
4. Conflicting may exist between short-term and long-term HR needs. For
example, there arises a conflict between the pressure to get work done on
time and long-term needs, such as preparing people for assuming greater
responsibilities. Many managers are of the belief that HRneeds can be met
immediately because skills are available on the market as long as wages
and salaries are competitive. These managers fail to recognize that by
resorting to hiring or promoting depending on short-term needs alone,
long-termissues are neglected.
5. There is conflict between quantitative and qualitative approach to HRP.
Some people view HRP as a number game designed to track the flow of
people across the departments. These people a strictly quantitative
approach to planning. Others take a qualitative approach and focus on
individual employee concerns such as promotabilty and career
development. Best results would accrue if there is a balance between the
quantitative and qualitative approaches.
6. Non-involvement of operating managers renders HRP ineffective. HRP is
not strictly and HR department function. Successful planning needs a co-
ordinated effort onthe part of operating managers and HRpersonnel.
Barriers to HRP :
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FIGURE HR Planning Process
Organizational
Objectives and
Strategies
Scan External
Environmentfor
ChangesAffecting
Labor Suppy
Analyze Internal
Inventory of
HR Capabilities
Forecasting
Organizational
Need for
People
Survey of
People
Available
HR Strategies
and Plans
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Q. What is Job Analysis? How we analyse any job?What information
we can geathered from Job Analysis?Explain its scope. What are
methods of collecting Job Analysis data?
To analyse any job there are 6 steps :
Step 1 :
Ans. A defined data collection and analysis procedure through which
informationabout job tasks and job requirements are obtained.
Job analysis is the procedure for determining the duties and skill requirements
of a job and the kind of personwho should be hired for it.
Organizations consist of positions that have to be staffed. Job analysis is the
procedure through which you determine the duties of these positions and the
characteristics of the people who should be hired for them .The analysis
produces information on job requirements, which is then used for developing
job descriptions (what the job entails) and job specifications (what kind of
people to hire for the job).
1. Identify howinformationwill be used
2. Reviewbackground information
3. Select representative positions to analyse
4. Collect data to analyse job
5. Reviewinformationwithincumbents
6. Develop Job Description/ Job Specification
Identify the use to which the information will be put, since this will
determine the types of data you collect and how you collect them. Some data
collection techniques like interviewing the employee and asking what the job
entails and what his responsibilities are good for writing job descriptions and
selecting employees for the job.
UNIT II
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Step 2 :
Step 3 :
Step 4 :
Step 5 :
Step 6 :
job description
job specification
Job DescriptionVs. Job Specification:
Job Description :
Reviewrelevant background informationsuchas organizationcharts,
process charts, and job descriptions. Organization charts show how the job in
question relates to other jobs and where it fits in the overall organization. The
chart should identify the title of each position and, by means of its
interconnecting lines, show who reports to whom and with whom the job
incumbent is expected to communicate.
Select representative positions to be analyzed. This is done when
many similar jobs are to be analyzed and it is too time-consuming to analyze,
say, the jobs of all assembly workers.
Next actually analyze the job by collecting data on job activities,
required employee behaviors, working conditions, and human traits and
abilities needed to performthe job.
Review the information with job incumbents. The job analysis
information should be verified with the worker performing the job and with his
or her immediate supervisor. This will help to confirm that the information is
factually correct and complete. This review step can also help gain the
employees acceptance of the job analysis data and conclusions by giving that
person a chance to review and modify your description of his or her job
activities.
Develop a job description and job specification. A job description and
a job specificationare usually two concrete products of the job analysis. The job
description is a, written statement that describes the activities and
responsibilities of the job, as well as important features of the job such as
working conditions and safety hazards. The job specification summarizes the
personal qualities, skills, and background required for getting the job done; it
may be either a separate document or on the same document as the job
description.
Job analysis is a systematic procedure for studying jobs to determine their
various elements and requirements. The job analysis for a particular position
typically consists of two parts-:
A is a list of the elements that make up a particular job.
A is a list of the qualifications required to perform
particular job.
written narrative describing activities performed on a job;
includes information about equipment used and working conditions under
whichjob is performed.
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Job Specification :
Job Analysis helps to find information about the following :
Work activities :
Human behaviors :
Performance standards :
Job context :
Human requirements :
Types of Information Gathered :
Work Activities
Human Behaviours
Tools, equipment, etc used
outlines specific skills, knowledge, abilities, physical and
personal characteristics necessary to performa job.
1. Information is usually collected on the actual work
activities performed, such as cleaning, selling, teaching, or painting. Such
a list may also indicate how, why, and when the worker performs each
activity.
2. Information on human behaviors like sensing,
communicating, decision-making, and writing may also be collected.
Included here would be information regarding human job demands such
as lifting weights, walking long distances, and so on.
Machines, tools, equipment, and work aids used. Included here would be
information regarding products made, materials processed, knowledge
dealt with or applied (such as finance or law), and services rendered (such
as counseling or repairing)
3. Information is also collected regarding
performance standards (in terms of quantity, quality, or speed for each job
duty, for instance) by whichanemployee inthis job will be evaluated.
4. Included here is information about such matters as
physical working conditions, work schedule, and the organizational and
social context-for instance, in terms of the number of people with whom
the employee would normally have to interact. Also included here might be
informationregarding incentives for doing the job.
5. Finally, information is usually compiled
regarding human requirements of the job, such as job-related knowledge
or skills (education, training, work experience) and required personal
attributes (aptitudes, physical characteristics, personality, interests).
Work activities performed
How, why, whenactivity is performed
Communicating, decisionmaking, and
Other physical job demands, e.g., lifting
Products made
Knowledge dealt with/ applied
Services rendered
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Quantity, quality, speed
Used to evaluate employee performance
Job analysis provides information about what
the job entails and what human characteristics are required to carry out these
activities. Such job description and job specification information is used to
decide what sort of people to recruit and hire.
Job analysis information is also essential for estimating the
value of and appropriate compensation for each job. This is so because
compensation. (such as salary and bonus) usually depends on the jobs
required skill and education level, safety hazards, degree of responsibility and
so on-all factors that are assessed through job analysis. Job analysis provides
the information determining the relative worth of each job so that each job can
be classified.
Job analysis information is also used for designing training and
development programs because the analysis and resulting job description
showthe skills-and therefore training-that are required.
A performance appraisal compares each employees
actual performance with his or her performance standards. It is often through
job analysis that experts determine the standards to be achieved and the
specific activities to be performed.
JOB ANALYSIS = Process of defining jobs in terms of tasks, behaviors and
personal requirements.
1. In this method the job analyst actually performs the
job in question. The analyst, thus, receives first hand experience of
contextual factors on the job including physical hazards, social demands,
emotional pressures and mental requirements. This method is useful for
jobs that can be easily learned. It is not suitable for jobs that are
hazardous (e.g., fire fighters) or for jobs that require extensive training
(e.g., doctors, pharmacists).
2. The analyst observes the worker(s) doing the job.
The tasks performed, the pace at which activities are done, the working
conditions, etc., are observed during a complete work cycle. During
observation, certainprecautions should be taken
a. The analyst must observe average workers during average
conditions.
Performance standards
Recruitment and Selection :
Compensation :
Training :
Performance Appraisal :
Methods of Collecting Job Analysis Data
Job performance :
Personal observation :
Scope of Job Analysis :

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b. The analyst should observe without getting directly involved in the
job.
c. The analyst must make note of the specific job needs and not the
behaviours specific to particular workers.
3. The critical incident technique (CIT) is a qualitative
approach to job analysis used to obtain specific, behaviorally focused
descriptions of work or other activities. Here the job holders are asked to
describe several incidents based ontheir past experience. The incidents so
collected are analysed and classified according to the job areas they
describe. The job requirements will become clear once the analyst draws
the line betweeneffective and ineffective behaviours of workers onthe job.
4. The interview method consists of asking questions to both
incumbents and supervisors ineither an individual or a group setting. The
reason behind the use of this method is that jobholders are most familiar
with the job and can supplement the information obtained through
observation. Workers know the specific duties of the job and supervisors
are aware of the jobs relationship to the rest of the organisation.
5. The questionnaire is a widely used method of
analysing jobs and work. Here the jobholders are given a properly
designed questionnaire aimed at eliciting relevant job-related
information. After completion, the questionnaires are handed over to
supervisors. The supervisors can seek further clarifications on various
items by talking to the jobholders directly. After everything is finalised, the
data is givento the job analyst.
meaningful, discrete, unit of work activity generally performed on job
by one worker within some limited time period; represents composite of
methods, procedures, and techniques
area of work that includes several distinct tasks - e.g., preparing
operating roomfor surgery, monitoring patient
Position - set of tasks and duties performed by single individual, Chief surgical
nurse
group of positions that is identical with respect to their major significant
tasks; sufficiently alike to be covered by single analysis - surgical nurse
general class of jobs - nurses
sequence of jobs held by individual throughout lifetime
Ans. It is a process of finding and attracting capable applicants
Critical incidents :
Interview :
Questionnaire method :
Important Terms :
Task :
Duty :
Job :
Occupation :
Career :
Q. What are the sources of manpower searching? Explain each of them
withthere merits &demerits.
Recruitment :
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for employment. The process begins when new recruits are sought and it ends
when their proper applicants are submitted. The result is pool of applicants
from which new employees are selected. Then process extends to screening of
applicants. In simple terms recruitment is understood as the process of
searching for manpower and obtaining applicants for jobs from among whom
right manpower canbe selected.
Recruitment & Selection are required for manpower searching. Specifically
these require-:
1. Doing employment planning and forecasting to determine the duties of the
positions to be filled.
2. Building a pool of candidates for these jobs by recruiting internal or
external Candidates.
3. Having the applicants fill out application forms and perhaps undergo an
initial screening interview.
4. Utilizing various selection techniques such as tests, background
investigations, and physical exams to identify viable job candidates.
5. Sending to the supervisor responsible for the job one or more viable job
candidates.
6. Having the candidate go through one or more selection interviews with the
supervisor and other relevant parties for the purpose of finally
determining to whichcandidate anoffer should be made.
Selection of a particular source of manpower supply depends on several factors
enumerated below:
We must understand that the first problem is to identify outside sources.
Normally, following external sources are utilized for different positions :
Advertisement is the most effective means to search
potential employees from outside the organisation. Employment
advertisement in journals, newspapers, bulletins, etc., is quite common in
our country.
Many organisations get the information about
the prospective candidates through employment agencies. In our country,
two types of employment agencies are operating: public employment
agencies and private employment agencies. Though both of these perform
activities regarding employment suggestions to their clients, often they
differ considerably
There are employment exchanges
run by the government almost in all districts. The employment
seekers get themselves registered with these exchanges. Normally,
External Sources :
1. Advertisement :
2. Employment Agencies :
a. Public Employment Agencies :
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such exchanges provide candidates for lower positions like semi-
skilled and skilled workers, and lower-level operatives like clerks,
junior supervisors, etc.
There are many consultancy and
employment agencies like ABC Consultants, A.F. Ferguson and
Company, Personnel and Productivity Services, S.B. Billimoria and
Company, etc., which provide employment services particularly for
selecting higher level and middle level executives. These agencies
also undertake total functions of recruiting and selecting personnel
onbehalf of various organisations. They charge fees for this purpose.
Many organisations conduct preliminary
search of prospective employees by conducting interviews at the
campuses of various institutes, universities, and colleges. This source is
quite useful for selecting people to the posts of management trainees,
technical supervisor, scientist, and technicians
Many organisations take people on deputation from other
organisations. Such people are given choice either to return to their
original organisation after a certain time or to opt for the present
organisation. At the initial development of public sector organisations,
this source was quite common for filling managerial vacancies in these
organisations. People from civil and defense services were put on
deputation in these organisations. Organisations promoted by various
industrial groups also use this source to fill up higher managerial
positions. People working in one organisation are deputed in another
belonging to the same industrial house.
Employee recommendations can be
considered to employ personnel particularly at the lower levels. The idea
behind employee recommendations as a source of potential applicants is
that the present employees may have specific knowledge of the individuals
who may be their friends, relatives, or acquaintances. If the present
employees are reasonably satisfied with their jobs, they communicate
these feelings to many persons intheir communities.
In many organisations, labour unions are used as
source of manpower supply, though at the lower levels. Many such union
leaders whose styles are cooperative and constructive can be promoted to
supervisory level.
The concept of gate hiring is to select people who approach
on their own for employment in the organisation. This happens mostly in
the case of unskilled and semi-skilled workers.
: This is a method of filling vacancies from
withinthroughtransfers and promotions.
b. Private Employment Agencies :
3. On Campus Recruitment :
4. Deputation :
5. Employee Recommendations :
6. Labour Unions :
7. Gate Hiring :
Internal Sources :
1. Promotions and Transfers
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A transfer is a lateral movement within the same grade, from one job to
another. It may lead to changes in duties and responsibilities, working
conditions, etc., but not necessarily salary. Promotion, on the other hand,
involves movement of employee froma lower level position to a higher-level
position accompanied by (usually) changes in duties, responsibilities,
status and value.
Job posting is another way of hiring people fromwithin. In
this method, the organization publicizes job openings on bulletin boards,
electronic media and similar outlets. One of the important advantages of
this method is that it offers a chance to highly qualified applicants working
within the company to look for growth opportunities within the company
without looking for greener pastures outside.
Employee referral means using personal contacts
to locate job opportunities. It is a recommendation from a current
employee regarding a job applicant.
Persons who are already working in an organization
constitute the internal sources are retrenched employees, retired
employees, dependents of deceased employees may also constitute the
internal sources. Whenever any vacancy arises, someone from within the
organisationis upgraded, transferred, promoted or evendemoted.
The cost of recruiting internal candidates is minimal. No
expenses are incurred onadvertising.
The organization can pick the right-candidates having the
requisite skills. The candidates can choose a right vacancy where their
talents canbe fully utilized.
The organization has knowledge about the suitability of a
candidate for a position. Knowndevils are better thanunknownangels!
A policy of preferring people from within offers regular
promotional avenues for employees. It motivates them to work hard and
earn promotions. They will work with loyalty, commitment and
enthusiasm.
The organization is forced to select candidates from a
limited pool. It may have to sacrifice quality and settle down for less
qualified candidates.
It discourages entry for talented people, available outside
an organization. Existing employees may fail to behave in innovative ways
and inject necessary dynamismto enterprise activities.
2. Job Posting :
3. Employee Referrals :
:
A. Internal Sources :
Merits :
1. Economical :
2. Suitable :
3. Reliable :
4. Satisfying :
Demerits :
1. Limited Choice :
2. Inbreeding :
Merits &Demerits
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3. Inefficiency :
4. Bone of contention :
B. External Sources :
Merits :
1. Wide choice :
2. Motivational force :
3. Long-term benefits :
4. Injection of fresh blood :
Demerits :
1. Expensive :
Time consuming :
2. De-motivating :
3. Uncertainty :
Promotions based on length of service rather than merit,
may prove to be a blessing for inefficient candidates. They do not work
hard and prove their worth.
Recruitment from within may lead to infighting
among employees aspiring for limited, higher level positions in an
organization. As years roll by, the race for premium positions may end up
ona bitter note.
External sources lie outside an organization. Here the
organization can have the services of: (a) Employees working in other
organizations; (b) Job aspirants registered with employment exchanges; (c)
Students from reputed educational institutions; (d) candidates referred by
unions, friends, relatives and existing employees; (e) candidates forwarded by
search firms and contractors; (f) Candidates responding to the advertisements,
issued by the organization; and (g) Unsolicited applications/ walk-ins.
The organization has the freedom to select candidates
froma large pool. Persons withrequisite qualifications could be picked up.
It helps in motivating internal employees to work
hard and compete with external candidates while seeking career growth.
Such a competitive atmosphere would help an employee to work to the
best of his abilities.
Talented people could join the ranks, new ideas
could find meaningful expression, a competitive atmosphere would
compel people to give out their best and earnrewards, etc.
People with special skills and knowledge could
be hired to stir up the existing employees and pave the way for innovative
ways of working.
Hiring costs could go up substantially. Tapping multifarious
sources of recruitment is not aneasy task either.
It takes time to advertise, screen, to test and to select
suitable employees. Where suitable ones are not available, the process
has to be repeated.
Existing employees who have put in considerable
service may resist the process of filling up vacancies from outside. The
feeling that their services have not been recognized by the organization,
forces themto work withless enthusiasmand motivation.
There is no guarantee that the organization, ultimately,
will be able to hire the services of suitable candidates. It may end up hiring
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someone who does not fit and who may not be able to adjust in the new
set-up.
This is a method of filling vacacies fromwith
in through transfers and promotions .Transfer is a lateral moment within
the same grade from one job to another leading to change in duties
responsibilities and wrong conditions but not necessarily the salary. The
promotion on the other hand involves movement of employees from a
lower level position to a high level position, accompanied by change in
duty, stand by values ,Responsibilities and salary and perks also.
It is the another way of hiring the people within. In this
method organization publishes job openings in bulletin boards, electronic
media and similar cutlets .One of the most important advantage of this
method is that it offers a change to highly qualified applicats working
within the company to look for growth opportunities within the company
without looking out.
Employee refrals means using personal contacts to
locate job opportunities. It is a recommendation from a current employee
regarding a job applicant. The logic behind it is that it takes out to know
one employee working in an organization are encouraged to recommend
the names of some potential and outstanding friends and tell them
working in other organization, for a possible vacancy in near future.In fact
this has become a popular way of man power search in highly competitive
management field and IT industry nowa days.
It is a method of searching man power and
recruiting work force by visiting and participating in campus of colleges
,institutions and universities and their placement cells and centers .Here
recruiters visits highly reputed educational institutions colleages, and
universities witha viewto pick up job aspirants
Having requisite technical and professional skills along with good
academic approach .Students (job seekers) are provided information
about jobs and recruiters int turn get a snapshot of job seekers through
constant inter change of information with respective institutions. A
preliminary screening is done at campus and shortlisted students are
then called for selection process campus recruiting steps should be taken
by human resource dept to ensure that recuiters acknowledge connecting
the jobs that are to be filled.
Method of Recruitement
A.Internal Method :
B. DIRECTMETHODS :
1. Promotions and Transfers :
2. Job Posting :
3. Employee Refrals :
1. Campus Requirement :
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But some common mistakes are generally made incampus recruiting :

The recruiters is not professionally trained inintevewing
The recruiters does not have authority to make decisionof hirirng.
The recruiters does not get involved indevelopment of newemployee
The actual planvisit is mishandled
There are some guideline for campus recruiting:-
Identify the potential candidate early
Use various means to attract potential and outstanding candidate
Use effective recruiting materials
Offer training to campus interview to trained them to answer specific
questions of students and candidate
Come out witha competitive offer
These constitute a popular and most common method of
seeking recruiters as many as recruiters prefer advertisement in newspaper of
their wide reach and scenario. This include want ads in newpaper, trade,
professional and tech. journals and radios and television. Nowadays this
medium has become just as colorful lively and imaginative as consumer
advertising
The want ads describe the job benifets identify the employer, job
responsibility, packages &prospect in organization alongwith the way to apply.
this method is suitable(a) when organisation intends to reach large targets
group(b) It want a fairly good number of talented people, who are geographically
spread out advertisement must be effectively drafted before publishing or
releasing. Experience advertiser use four points called AIDA-: A stands for
attention, I stands for interest, Dstands for desire, Astand for action.
A search firm is a private
employment agencies that maintains list of qualified applicants supplies
these to employers willing to hire manpower fromthe list for a fee and vice
versa. These searchfirms provide services to bothrecruiters &recruits.
Employment exchanges have been set up all
over the country under employment exchange act 1959 which applies to
all industrial establishment. It require to notify vacancies before filling.
The employment exchange act as a link between employers & prospective
employees.
Gate hiring where job seekers generally blue
collars present themselves at factory gate & offer their services on daily
basis, hiring through contractors & recruiting through word of mouth
publicity are still inuse despite misuse.
C. INDIRECTMETHOD:
D. Third party Method
Advertisement :
:
1 Private Manpower Search Firms :
2. Employment Exchanges :
3. Gate Hiring &contractors :
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4. Walk in :
Recruitment policies :
Inthe recruitment companies will :
The company will not :
Q. What is selection? What are objectives of selection? What are types of
selectiondevices &explain its process also.
Definition:
Objectives of the selectionprocess :
1. Screening of Applications :
The most common &least expensive approach for candidates is
direct application in which jobseekers submit unsolicted application
letters or Resumes.
a. Advertise all vacancies internally.
b. Respond to every applicant of job without delay.
c. Process all applications withefficiency &courtsy
d. Informall applicants the basic details of job alongwithconditions.
e. Ensure that every person invited for interview will be given fair
dealing &throughhearing.
a. Discriminate unfairly against potential candidates on basis of
religion, caste etc
b. Knowingly make any false claiminrecruitment adv.
Ans.
Selection is the process of differentiating between applicants in order to
identify (and hire) those witha greater likelihood of success ina job.
Selectionis the process of gathering informationabout applicants for a position
and thenusing that informationto choose the most appropriate applicant.
1.Gather as muchrelevant informationas possible
2.Organize and evaluate the information
3.Assess eachcandidate inorder to:
(i) Forecast performance onthe job, and
(ii) Give informationto applicants, so that
(iii) They can judge whether or not they wish to accept an offer of
employment.
Prospective employees have to fill up some
sort of application form. These forms have a variety of information about
the applicants like their bio-data, achievements, experience, etc.
Selection Process :
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2. Selection Tests :
Types of Test :
I Achievement Test :
II Intelligence Test :
III Personality Test :
IV Aptitude test
V. Interest Test
Many organizations hold different kinds of selection
tests to know more about the candidates or to reject the candidates who
cannot be called for interview, etc. Selection tests normally supplement
the information provided in application forms. Such forms may contain
factual information about candidates. Selection tests may give
information about their aptitude, interest, personality etc, which cannot
be knownby applicationforms.
It is also called performance test or trade test.
Achievement is concerned with what one has accomplished. When
candidates claim that they have done certain things and know these, the
achievement test may be conducted to measure how well the candidates
knowthese.
Intelligence test tries to measure the level of
intelligence of a candidate. This test generally includes verbal
comprehension, word fluency, memory, inductive, reasoning, number
facility, speed of perception, spatial, visualization, etc.
The personality test is administered to predict
performance success for jobs that require dealing with people, or jobs that
are essentially supervisory or managerial in character. Dimensions of
personality such as interpersonal competence, dominance-submission,
extroversion-introversion, self-confidence, leadership ability, patience,
and ambitioncanbe measured throughpersonality tests.
is used for measuring human performance characteristics
related to the possible development of proficiency on specific jobs. These
basic characteristics can be thought of as aptitudes. As such, aptitude
test measures the latent or potential characteristics to do something,
provided proper environment and training are provided to the individuals.
This test is more valid when the applicants have no experience or very little
experience along the lines of the jobs. Specific tests have been developed
for jobs that require clerical, mechanical, spatial relationships, and
manual dexterity, abilities and skills. However, aptitude test does not
measure motivation. Since on-the-job motivation is found to be more
important than aptitude for the job, aptitude test is supplemented by
interest tests.
Interest test is designed to discover a persons area of
interest, and to identify the kind of jobs that will satisfy him. It is assumed
that a person who is interested in a job can do much better than the
person who is not interested. Interest test generally measures interest in
outdoor activities, mechanical, computational, scientific, persuasive,
artistic, literary, musical, clerical, social services, etc.
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3. Interviews :
Role of Interview :
1.
2.
3.
4. Checking Of References :
5. Physical Examination :
6. Approval by Appropriate Authority :
Selection tests are normally followed by personal interview
of the candidates. The basic idea is to find out overall suitability of candidates
for the jobs. It also provides opportunity to give relevant information about the
organization to the candidates. In many cases, interview of preliminary nature
canbe conducted before the selectiontests.
We must try and understand that interviews are so
essential in the selection process that many times, selection of the candidates
is made on the basis of interview alone. If handled properly, interview
contributes in, the following, ways:
It is the only method of direct contact between the candidates and the
employer in which the employer can see a candidate in action-how he
looks, his manner, his wearing, his appearance, etc., method of
interactionand answering, etc.
Many of the information can be sought through the interview, which may
not be available in application form, or cannot be disclosed by the
selectiontests, suchas: family background, future plans; etc.
The interview can be used as a tool for giving information about the
organization, its policies, nature of the work to be performed by the
candidate salary and other benefits to be offered. Negotiations, if any,
about the salary and- perks to be offered to the candidate can also be
undertaken.
Hence we should remember that interview can be used as a method to
promote goodwill among the candidates by offering courtesy, by providing
vocational literature, by constructive suggestions, and by showing
interest inthem.
Many organizations ask the candidates to
provide the names of referees from whom more information about the
candidates can be solicited. Such information may be related to character,
working, etc.
Physical examination is carried out to ascertain
the physical standards and fitness of prospective employees.
On the basis of the above steps,
suitable candidates are recommended for selection by the selection
committee or personnel department. Though such a, committee or
personnel department may have authority to select the candidates finally,
often it has staff authority to recommend the candidates for selection to
the appropriate authority. Organizations may designate the various
authorities for approval of final selection of candidates for different
categories of candidates. Thus, for top-level managers, Board of Directors
may be approving authority; for lower levels, even functional heads
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concerned may be approving authority. In university, it may be
syndicate/executive committee. When the approvals received, the
candidate are informed about their selection and asked to report for duty
to specified persons.
After all the formalities are completed, the candidates are
placed on their jobs initially on probation basis. The probation period may
range from three months to two years. During this period, they are
observed keenly, and when they complete this period successfully, they
become the permanent employees of the organization. After a candidate is
selected for employment, he is placed onthe job.
Ans. is the process of acquainting new employees with the
organization. Orientation topics range from such basic items as the location of
the company cafeteria to such concerns as various career paths within the
firm.
Hence we can say that induction or orientation is the process through which a
new employee is introduced to the job and the organization. In the words of
Armstrong, induction is the process of receiving and welcoming an employee
when he first joins a company and giving himthe basic information he needs to
settle downquickly and start work.
Inductionserves the following purposes:
Anewcomer steps into an organization as a stranger. He
is newto the people, workplace and work environment. He is not very sure
about what he is supposed to do. Induction helps a new employee
overcome suchfears and performbetter onthe job.
Another purpose of induction is to make
the newcomer feel at home and develop a sense of pride in the
organization.
Induction serves as a valuable
source of information to new recruits. It classifies many things through
employee manuals/handbook. Informal discussions with colleagues may
also clear the fog surrounding certain issues. The basic purpose of
induction is to communicate specific job requirements to the employee,
put himat ease and make himfeel confident about his abilities.
The HR department may initiate the following steps while organizing the
inductionprogramme:
7. Placement :
Q. What is orientation? Why orientation is necessary? What are steps in
orientation programme? Explain withexamples.
Orientation
a. Removes fears :
b. Creates a good impression :
c. Act as a valuable source of information :
Steps inInduction Programme :
Objectives :
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1. Welcome to the organization
2. Explainabout the company.
3. Showthe location, department where the newrecruit will work. .
4. Give the companys manual to the newrecruit.
5. Provide details about various work groups and the extent of unionism
withinthe company.
6. Give details about pay, benefits, holidays, leave, etc. Emphasize the
importance of attendance or punctuality.
7. Explainabout future training opportunities and career prospects.
8. Clarify doubts, by encouraging the employee to come out with
questions.
9. Take the employee on a guided tour of buildings, facilities, etc. Hand
himover to his supervisor.
Content :
The areas covered inemployee inductionprogramme may be stated as follows:
History of company
Names and titles of key executives.
Employees title and department.
Layout of physical facilities
Probationary period
Products/services offered
Overviewof productionprocess
Company policy and rules
Disciplinary procedures
Safety steps
Employees handbook
Pay scales, pay days
Vacations, holidays
Rest pauses
Training Avenues
Counseling
Insurance, medical, recreation, retirement benefit
To supervisors
To co-workers
To trainers
To employee counselor
Job location
1. Organizational issues :
2. Employee benefits :
3. Introductions :
4. Job duties
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Job tasks
Job safety needs
Overviewof jobs
Job objectives
Relationship withother jobs
Socialization is a process through which a new recruit begins
to understand and accept the values, norms and beliefs held by others in the
organization. HR department representatives help new recruits to internalize
the way things are done in the organization. Orientation helps the newcomers
to interact freely with employees working at various levels and learn behaviors
that are acceptable. Through such formal and informal interaction and
discussion, newcomers begin to understand how the department/ company is
run, who holds power and who does not, who is politically active within the
department, how to behave in the company, what is expected of them, etc. In
short, if the new recruits wish to survive and prosper in their new work home,
they must sooncome to knowthe ropes.
The company takes its newentrants througha structured induction-
training program. The one-day Programme includes a briefing on the
companys market position, The business it is in, its functioning style, its
organizational structure and its HR policies. The entrants are also familiarized
with what others do before being deputed to their own departments. A six-
month behavioral training is also offered in team building, self-development,
customer-sensitivity etc. Finally, the recruits are put through an appraisal
process to gauge fitment and progress.
The company customizes its initiation programs to suit the
profile of the newrecruit. For engineers, the programme is offered in four parts:
(1) familiarize with various functions and meet division heads (ii) work on shop
floor (iii) work at various other departments (iv) work finally in departments for
about 2 months, where they will eventually work.
The management trainees are picked up from
premium B- schools and undergo introduction training for about 6 months.
During this period, the trainees see me in the various divisions of the bank to
get a holistic viewof the banks operations, and get a chance to meet each of the
banks business heads. A two-day session dedicated to team building is also
conducted thereafter. After taking charge of the job, the new recruits have to
attend a reviewsessionabout the job itself.
Ans. Career planning is the process by which one selects career
Socialization :
Employee Induction Programme : Three Examples
Aptech :
Maruti Udyog :
Standard Chartered Bank :
Q. What is career planning? Why it is necessary? Howwe plan &develop
career? What are advantages & disadvantages of career planning &
development?
Meaning :
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goals and the path to these goals. Career development is those personal
improvements one undertakes to achieve a personal career plan. Career
management is the process of designing and implementing goals, plans and
strategies to enable the organization to satisfy employee needs while allowing
individuals to achieve their career goals. So, due to this career planning and
development is necessary to each and every employee in an organization. The
need of career planning and development is felt in each and every organization
of todays global world.
Career Planning is necessary due to the following reasons :
1. To attract competent persons and to retaintheminthe organization.
2. To provide suitable promotional opportunities.
3. To enable the employees to develop and take themready to meet the future
challenges.
4. To increase the utilizationof managerial reserves withinanorganization.
5. To correct employee placement.
6. To reduce employee dissatisfactionand turnover.
7. To improve motivationand morale.
The following are the steps inCareer Planning and Development :
1. Analysis of individual skills, knowledge, abilities, aptitudes etc.
2. Analysis of career opportunities bothwithinand outside the organization.
3. Analysis of career demands on the incumbent in terms of skills,
knowledge, abilities, aptitude etc., and in terms of qualifications,
experience and training received etc.
4. Relating specific jobs to different career opportunities.
5. Establishing realistic goals bothshort-termand long-term.
6. Formulating career strategy covering areas of change and adjustment.
7. Preparing and implementing actionplanincluding acquiring resources for
achieving goals.
There are four steps inestablishing a career development system. They are :
Defining the present system i.e. this step involves in the
conducting a needs assessment as ina training programme.
The needs of the career system must be linked with the
interventions. An ideal career development system known as the vision
links the needs withthe interventions.
-An action plan should be formulated in order to achieve
the vision. The support of the top management should be obtained in this
process.
Need for Career Planning :
Process of Career Planning and Development :
Steps involved inCareer Development System:
1. Needs :
2. Vision :
3. Action Plan :
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4. Results :
The above points can further elaborated inthe following way :
Step 1 : Needs: Defining the present system
Step 2 : Vision: Determining NewDirections and Possibilities
Step 3 Action Plan: Deciding on practical first steps
Step 4 : Results: Maintaining the change
Advantages of Career Planning and Development
For Individuals :
Career development programme should be integrated with the
organizations on-going employee training and management development
programmes. The programme should be evaluated from time to time in
order to revise the programme.
a. Establish roles and responsibilities of employees, managers, and the
organization.
b. Identify needs; establishtarget groups.
c. Establish cultural parameters; determine organizational receptivity,
support, and commitment to career development.
d. Assess existing HR Programme or structure; consider possible links
to a career development programme.
e. Determine prior attempts at solving the problemor need.
f. Establishthe missionor philosophy of the programme.
g. Design and implement needs assessment to confirm the data or
collect more data.
h. Establishindicators or criteria of success.
a. Create a long-termphilosophy.
b. Establishthe visionor objectives of the programme.
c. Designinterventions for employees, managers, and the organization.
d. Organize and make available career information needed to support
the programme.
a. Assess the planand obtainsupport fromtop management
b. Create a pilot programme
c. Assess resources and competencies.
d. Establishanadvisory group.
e. Involve advisory group in data gathering, programme design,
implementation, evaluationand monitoring
a. Create long-termformalized approaches.
b. Publicize the programme.
c. Evaluate and redesignthe programme and its components.
d. Consider future trends and directions for the programme.
1. The process of career planning helps the individual to have the knowledge
of various career opportunities, his priorities etc.
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2. This knowledge helps him select the career that is suitable to his life
styles, preferences, family environment, scope for self-development etc.
3. It helps the organization identify internal employees who can be
promoted.
4. Internal promotions, upgradation and transfers motivate the employees,
boost up their morale and also result inincreased job satisfaction.
5. Increased job satisfaction enhances employee commitment and creates a
sense of belongingness and loyalty to the organization.
6. Employee will await his turnof promotionrather thanchanging to another
organization. This will lower employee turnover.
7. It improves employees performance on the job by taping their potential
abilities and further employee turnover.
8. It satisfies employee esteemneeds.
1. Efficient career planning and development ensures the availability of
humanresources withrequired skill, knowledge and talent.
2. The efficient policies and practices improve the organizations ability to
attract and retainhighly skilled and talent employees.
3. The proper career planning ensures that the women and people belong to
backward communities get opportunities for growthand development.
4. The career plan continuously tries to satisfy the employee expectations
and as suchminimizes employee frustration.
5. By attracting and retaining the people from different cultures, enhances
cultural diversity.
6. Protecting employees interest results in promoting organizational
goodwill.
With the increase in career orientation among
women, number of female employees in on increase. With this, the dual
career families have also been on increase. Consequently, one of those
family members might face the problem of transfer. This has become a
complicated problemto organization.
Some careers do not have scope for much
advancement. Employees cannot get promotions despite their career
plans and development insuchjobs.
Career opportunities for certain
categories reach the declining stage due to the influence of the
technological or economic factors. Solution for such problem is career
shift.
Business process reengineering,
technological changes and business environmental factors force the
business firms to restructure the organizations by delayering and
For Organizations :
Limitations of career planning :
1. Dual Career Families :
2. Low ceiling careers :
3. Declining Career Opportunities :
4. Downsizing/Delayering and careers :
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downsizing. Downsizing activities result in fixing some employees, and
degrading some other employees.
(i) There is an evidence indicating
that employees who take up initial challenging jobs performbetter at later
stages.
(ii) Mostly employees lack
information about career choices/options. The managers identify career
paths and succession paths. This information should be made available to
all.
(iii) Management should provide job information to
employees through job positioning. For posting the jobs organizations can
use bulletin board displays, company publications, electronic billboards
and similar means.
(iv) The assessment centers evaluate the people
regarding their ability to certain jobs. This technique helps to identify the
available skills, abilities and knowledge.
(v) Career Counseling helps employees in setting
directions, reviewing performance, identifying areas for professional
growth.
Succession may be from internal employees or external people.
Succession from internal employees is advantageous to the organization as
well as to the internal employees. Organization can buy the employees loyalty
and commitment, belongingness, shared feeling of development along with the
organization by promoting the internal employees. Employees get the benefits
of growth in the organization. The organization mostly prefers to encourage the
growth and development of its employees and as such tends to prefer
succession from within. Organizations, appraise employees potentialities,
identify training gaps for future vacancies, and develop them for higher and
varied jobs. The scope of succession plan would be more when the organization
grows steadily and employees have potentialities to take up higher
responsibilities.
Professionally run organizations ask their managers to identify the
internal employees having potentialities and develop them in order to occupy
their positions as and when they feel vacant. However, it is necessary to allow
the inflow of new blood also. Hence, organizations should also search for
outside talent in certain cases like when competent internal people are not
available, whenmajor expansion, diversificationand growthplans are inoffing,
complete dependence oneither internal source or external source not advisable
to any organization.
There are some suggestions for effective career development. They are :
Challenging Initial Job Assignments: -
Dissemination of Career Option Information :
Job Positioning :
Assessment Centres :
Career Counseling :
Succession Planning :
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Q. Explain Training &Development withits purpose and nature?
What are methods &techniques of training?
Training could be compared to this metaphor - if I miss one meal in a
day, then I will starve to death. The survival of the organization
requires development throughout the ranks in order to survive, while
training makes the organization more effective and efficient in its
day-to-day operations.
Training
Development
Nature of Training and Development :
Training and development need = standard performance-actual
performance
Ans. is the formal and systematic modification of behaviour through
learning which occurs as a result of education, instruction, development and
planned experience.
is any learning activity, which is directed towards future, needs
rather than present needs, and which is concerned more with career growth
thanimmediate performance.
In simple terms training and development refer to the imparting of specific
skills, abilities and knowledge to an employee.It is any attempt to improve
current or future employee performance by increasing an employees ability to
perform through learning, usually by changing the employees attitude or
increasing his her skills and knowledge.
The need for training and development is determined by the employees
performance deficiency as follows:
The purpose of training is to:
To increase productivity and quality
To promote versatility and adaptability to newmethods
To reduce the number of accidents
The purpose of training :
UNIT III
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To reduce labour turnover
To increase job satisfaction displaying itself in lower labour turn-over and
less absenteeism
To increase efficiency
1. Leads to improved profitability and/or more positive attitudes toward
profits orientation.
2. Improves the job knowledge and skills at all levels of the organization.
3. Improves the morale of the workforce.
4. Helps people identify withorganizational goals.
5. Helps create a better corporate image.
6. Fasters authentically, openness and trust.
7. Improves the relationship betweenboss and subordinate.
8. Aids inorganizational development.
9. Learns fromthe trainee.
10. Helps prepare guidelines for work.
11. Aids inunderstanding and carrying out organizational policies.
12. Provides informationfor future needs inall areas of the organization.
13. Organizationgets more effective decision-making and problemsolving.
14. Aids indevelopment for promotionfromwithin.
15. Aids in developing leadership skill, motivation, loyalty, better attitudes,
and other aspects that successful workers and mangers usually display.
16. Aids inincreasing productivity and/or quality of work.
17. Helps keep costs down in many areas, e.g. production, personnel.
Administration, etc.
18. Develops a sense of responsibility to the organization for being competent
and knowledgeable.
19. Improves labor-management relations.
20. Reduces outside consulting costs by utilizing competent internal
consulting.
1. Can be a financial drain on resources; expensive development and testing,
expensive to operate?
Advantages of training :
Disadvantages of training :
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2. Oftentakes people away fromtheir job for varying periods of time;
3. Equips staff to leave for a better job
4. Bad habits passed on
5. Narrowexperience
Hamlin observed development as training of future jobs.
According to Nadler : development is concerned with providing learning
experiences to employees so that they may be ready to move in new directions
that organisational change may require.
A limitation of training needs based solely on needs analysis that it fails to
address the development issue Development is the need to enhance
competencies beyond those required by the immediate job, for example:
Values &ethics of organisation&professional group
Sources of enthusiasm
1. Organizational objectives
2. Assessment of Training needs
3. Establishment of Training goals
4. Devising training programme
5. Implementationof training programme
6. Evaluationof results
I. The first step inthe training
process in an organization is the assessment of its objectives and
strategies.
II. Needs assessment diagnosis present problems and
future challenges to be met throughtraining and development.
Needs assessment occurs at two levels- group and individual. An
individual obviously needs training when his or her performance falls
short of standards, that is, when there is performance deficiency.
Inadequacy in performance may be due to lack of skill or knowledge or any
other problem. The problemof performance deficiency caused by absence
of skills or knowledge can be remedied by training. Faulty selection, poor
job design, improving quality of supervision, or discharge will solve the
problem.
1. Trainers may be informed about the broader needs of the training
group and their sponsoring organizations.
Development :
Steps inthe Training Process :
Organizational Objectives and Strategies :
Needs Assessment :
Benefits of Needs assessment are :
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2. The sponsoring organizations are able to reduce the perception gap
between the participant and his or her boss about their needs and
expectations fromthe training programmes.
3. Trainers are able to pitch their course inputs course inputs closer to
the specific needs of the participants.
III. Once training needs are
assessed, training and development goals must be established. Without
clearly set goals, it is not possible to design a training and development
programme and, after it has been implemented there will be no way of
measuring its effectiveness. Goals must be tangible, verifiable, and
measurable. This is easy where skills training is involved.
IV. Every training and
development programme must address certainvital issues
1. Who participates inthe programme?
2. Who are the trainers?
3. What methods and techniques are to be used for training?
4. What should be the level of training?
5. What learning principles are needed?
6. Where is the programconducted?
Who are the trainers: Trainers should be selected on the basis of self-
nomination, recommendations of supervisors or by the HR department
itself. Whatever is the basis, it is advisable to have two or more target
audience. For example, rank-and-file employees and their supervisors or
by the HRdepartment itself.
V. A multitude of methods of
training is used to train employees. Training methods are categorized into
two groups :
(i) Onthe job training and
(ii) Off-the job methods.
Refers to methods that are applied in the workplace, while the employees is
actually working.
Training that is planned and structured that takes place mainly at the normal
workstation of the trainee- although some instruction may be provided in a
special training area on site - and where a manager, supervisor, trainer or peer
colleague spends significant time with a trainee to teach a set of skills that have
beenspecified inadvance.
1. Tailor-made course content with use of REAL company
situations/examples.
Training and Development objectives :
Designing Training and Development Programme :
Methods and Techniques of training :
Onthe job training :
Advantages :
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2. It is usually less expensive thanoff-job training
3. Learning will take place using the equipment whichwill be actually used
1. Possibility of poor instructionand insufficient time.
2. Trainee may be exposed to bad work practices.
3. Alarge amount of spoiled work and scrap material may be produced.
4. Valuable equipment may be damaged.
5. Training takes place under production conditions that are stressful, i.e.
noisy, busy, confusing and exposing the trainee to comments by other
workers.
1. Aspecialist instructor enables delivery of highquality training.
2. Wider range of facilities and equipment are available.
3. The trainee canlearnthe job inplanned stages.
4. It is free fromthe pressures and distractions of company life.
5. It is easier to calculate the cost of off-job training because it is more self-
contained
6. Cross-fertilisationof ideas betweendifferent companies.
1. Can result in transfer of learning difficulties when a trainee changes from
training equipment to productionequipment.
2. No training can be entirely off-job as some aspects of the task can only be
learned by doing them in the normal production setting, with its own
customs and network of personal relationships.
3. Canbe more expensive.
4. Carrying out the training
Orientationtraining
Job-instructiontraining
Apprentice training
Internships and assistantships
Job rotation
Coaching
Vestibule
Lecture
Disadvantages :
Advantages :
Disadvantages :
Onthe Job Training
Off-the job training: are used away fromworkplaces.
Off-job training
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Special study
Films
Television
Conference or discussion
Case study
Role playing
Simulation
Programmed instruction
Laboratory training
1. This training method attempt to duplicate on-the-
job-situation in a company classroom. It is a classroom training that is
often imported with the help of the equipment and machines, which are
identical with those in use in the place of work. This technique enables the
trainees to concentrate on learning newskill rather than on performing on
actual job. This type of training is efficient to train semi-skilled personnel,
particularly when many employees have to be trained for the same kind of
work at the same time. Often used to train bank tellers, inspectors,
machine operators, typists etc. In this, training is generally given in the
formof lectures, conferences, case studies, role-play etc.
2. In this type of training method trainer
describes and displays something, as & when he teaches an employee,
howto do something by actually performing the activity himself &going on
explaining why & what he is doing. This method is very effective in
teaching because it is much easier to show a person how to do a job than
tell him or give him instruction about a particular job. This training is
done by combinationwithlectures, pictures, text materials etc.
3. Lecture is a verbal presentation of information by an
instructor to a large audience. The lecture is presumed to possess a
considerable depth of knowledge of the subject at hand. A virtue of this
method is that is can be used for very large groups, and hence the cost per
trainee is low. This method is mainly used in colleges and universities,
though its application is restricted in training factory employees.
Limitations of the lecture method account for its low popularity. The
method violates the principle of learning by practice. It constitutes a one-
way communication.
There is no feedback from the audience. Continued lecturing method can
be made effective it if is combined withother methods of training.
4. Audio-visuals include television slides, overheads,
video-types and films. These can be used to provide a wide range of
realistic examples of job conditions and situations in the condensed
period of time. Further, the quality of the presentation can be controlled
and will remainequal for all training groups. But, audio-visuals constitute
Vestibule Training :
Demonstrations And Example :
Lectures :
Audio-visuals :
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a one-way system of communication with no scope for the audience to
raise doubts for clarification. Further, there is no flexibility of presentation
fromaudience to audience.
5. This is method where training is offer
without the intervention of a trainer. Information is provided to the trainee
inblocks, either ina book formof througha teaching machine.
1. Presenting questions, facts, or problems to the learner
2. Allowing the personto respond
3. Providing feedback onthe accuracy of his or her answers
4. If the answers are correct, the learner proceeds to the next block. If
not, he or she repeats the same.
6. this is an extension of the PI
method. CAI provides for accountability as tests are taken on the
computer so that the management can monitor each trainees progress
and needs. CAI training program can also be modified easily to reflect
technological innovations in the equipment for which the employee is
being trained. This training also tends to be more flexible in that trainees
canusually use the computer almost any time they want, thus get training
whenthey prefer.
7. This method of training is usually done in crafts,
trades and in technical areas. It is the oldest and most commonly used
method, if the training is relatively for a longer period. Here a major part of
training is spent on the job productive work. Each apprentice is given a
programme of assignments according to a pre-determined schedule,
whichprovide for efficient training intrade skills.
8. A simulator is any kind of equipment or technique that
duplicates as nearly as possible the actual conditions encountered on the
job. Simulation then, is an attempt to create a realistic decision-making
environment for the trainee. Simulations present likely problem
situations and decision alternatives to the trainee. The more widely held
simulationexercises are case study, role-playing and vestibule training.
9. In this method, the participating individuals confer to
discuss points of common interest to each other. It is a basic to most
participative group centered methods of developments. This emphasis on
small group discussion, on organized subject matter and on the active
participationof the members involved.
There are three types of conferences,
Here trainer guides the discussion in such a
way that the facts, principles or concepts are explained.
The instructor gets the group to pool its
Programmed Instruction (PI) :
PI involves:
Computer-Assisted Instruction (CAI) :
Apprenticeship :
Simulation :
Conference :
Direct discussion :
Training Conference :
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knowledge and past experience and brings different points of view to
bear onthe problem.
In this method instructor defines the
problem, encourages and ensures the full participation in the
discussion.
10. This method is developed in at the Harvard Law School.
When the trainees are given cases to analyse, they are asked to identify the
problem and recommend tentative solution for it. The case study is
primarily useful as a training technique for supervisors and is specially
valuable as a technique of developing discussion-making skills, and for
broadening the prospective of the trainee.
In case study method the trainee is expected to master the facts, should
acquainted with the content of the case, define the objective sought in
dealing with the issues in the case, identify the problem, develop
alternative courses of action, define the controls needed to make the
action effective and role play the action to test its effectiveness and find
conditions that may limit it.
11. In role-playing trainees act out the given role as they
would be in stage play. Two or more trainees are assigned parts to play
before the nest of the class. Here role players are informed of a situation
and of the respective roles they have to pay. Sometimes after the
preliminary planning, the situation is acted out by the role players. This
method primarily involves employee-employer relationship Hiring,
firing, discussing a grievance procedure, conducting a post appraisal
interviewetc.
12. This method involves a sequence of steps
that are often set up through the central panel of an electronic computer
as guides in the performance of desired operation or series of operations.
This method involves breaking information down into meaningful units
and then arranging these in a proper way to form a logical and sequential
learning. The programme involves presenting questions, facts or
problems to trainees to utilize the information given and the trainee
instantly receive feedback onthe basis of the accuracy of his answers.
V.
1. To monitor the quality of training
2. Provide feedback
3. To appraise the overall effectiveness of the investment intraining
4. To assist the development of newmethods of training
5. To aid the individual evaluate his or her ownlearning experience.
Seminar Conference :
Case Studies :
Role Playing :
Programmed Instructions :
Points inPlanning Training Evaluation
Objectives of Evaluation are-:
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Methods of Evaluation :
TYPES OFTRAINING
Various methods can be used to collect data on the outcomes of training. Some
of these are :
Comprehensive questionnaires could be used to obtain
opinionreactions, views of trainees.
Standard tests could be used to find out whether trainees have learnt
anything during and after the training.
Interviews could be conducted to find the usefulness of training
offered to operatives.
Comprehensive studies could be carried out eliciting the opinions
and judgments of trainers, superiors and peer groups about the training.
After the evaluation, the situation should be examined to identify
the probable causes for gaps in performance. The training evaluation
information. (about costs, time spent, outcomes, etc.) should be provided to the
instructors trainees and other parties concerned for control, correction and
improvement of trainees activities. The training evaluator should follow it up
sincerely so as to ensure effective implementation of the feedback report at
every stage.
1. induction or orientation training is for comforting the new
recruits to put them at ease and making them aware of everything about
work,job organization structure norms, values, rules and regulation and
technique required.
2. JIT is given to employees for giving them
necessary instructionabout newtechnology of job.
3. This kind of training is given to accommodate rapid
change in technological knowhowand newinvention in formof short term
courses or training programs.
4. Here some apprentices spend a prescribed
time of working withanexpert &experienced worker as trainee.
5. It is training offered on actual equipment used on
job but conducted away fromactual work.
Ans.
1. The organizationand its renewal process
2. The identification of and linkage with its target publics/learner systems
through collaboration with learners and their leaders in needs
identification, assessment and analysis.
Questionnaires :
Tests :
Interviews :
Studies :
Feedback :
Orientation :
JIT job instruction training :
Refresher Training :
Apprenticeship Training :
Vestibule Training :
Q. Write a short note on termorganizational renewal management.
Two Distinct Dimensions of Planning :
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1. Organizational Renewal :
Processual Task Defined :
Adult educators must :
2. Linkage :
Organizational renewal involves
reexaminationby the adult educationorganizationof:
The needs of its current and emerging policies
Its own functions, structure, and processes as related to its
mission/vision, values, philosophy and goals/objectives
A processual task is a process in which the adult educator defines an outcome
that needs to be accomplished, specific to a programmatic situation, and then
selects and implements conceptually driven actions, leading to the
achievement of that outcome.
The Organizationand its Renewal Process Processual Tasks for the Educator
1. Acquire and maintain a thorough understanding of the functions of the
adult education organization with particular emphasis on its
mission/vision, values, philosophy and goals/objectives.
2. Acquire and maintain an in-depth understanding of the organizational
structure of the adult education organization with particular attention
given to understanding the division of responsibilities with respect to job
groups; inter organizational relationships; lines of communication; and
how the expertise and resources of the organization can be accessed and
utilized in the total programming process and in particular, the planning
sub process.
3. Acquire an understanding of the adult education organizations
management system and practices with particular emphasis on the
management and supervision of personnel, personnel appraisal, staff
development, evaluationand accountability.
4. Acquire and understanding and appreciation of the adult education
organizations culture and, importantly, howto relate to it.
5. Acquire and maintain an understanding of, and the skills needed to
implement, the adult educationorganizations programming process.
6. Maintain a sensitivity and commitment to the use of feedback obtained
and lessons learned in the implementation of the programming process in
assessing the adult education organizations effectiveness and relevancy
in meeting the changing educational needs of its mission-mandated
publics and in using these evaluative results to effect needed
organizational renewal.
Linkage may be defined as the temporary blending of two or
more systems through planned and sustained interaction in such a way that
they act as a unitary system in order to accomplish mutually agreed-upon
goals.
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Linkage withPublics
Five Elements of Linkage
Objectives of Linkage :
Q. Write a short note on 360 degree Feedback &potential appraisal
360 degree feedback :
Scanning and interpreting the organizations external environment.
Study, analysis and mapping of the organizations potential publics
based onits missionand resource availability.
Identifying and ranking target publics and stakeholder groups.
Identifying and interfacing with leaders of target publics and
stakeholder groups.
Collaborating with leaders of target publics and stakeholders to
identify, assess and analyze needs specific to target publics.
To initiate collaboration between the educator, leaders of target
publics and stakeholders in identifying, assessing and analyzing the
educational needs of the target public.
To motivate and obtain a firm commitment from the target public to
actively engage inthe planned program.
To build a relationship of trust between the educator, the target
publics and stakeholders
To create a learning environment that will aid in empowering the
target public
To enhance and maximize the efficiency and effectiveness of the
education organization and its educators in planning for and
effecting positive planned change inits target learner systems.
Ans.
Where multiple raters are involved in evaluating performance, the technique is
called 360-degree appraisal. The 360-degree technique is understood as
systematic collection of performance data on an individual or group, derived
from a number of stake holders- the stakeholders being the immediate
supervisor, teammembers, customers, peers, and it.
The 360-degree appraisal provides a broader perspective about an employees
performance. In addition, the technique facilitates greater self-development of
the employees. For ones development, multi-source feedback is highly useful.
It enables an employee to compare his or her perceptions about self with
perceptions of others. Besides, the 360-degree appraisal provides formalized
communication links between an employee and his or her customers. It makes
the employee feel much more accountable to his or her internal or external
customers. The technique is particularly helpful in assessing soft skills
possessed by employees. By design, the 360-degree appraisal is effective in
identifying and measuring interpersonal skills, customer satisfaction, and
team-building skills.
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Performance Interviews :
i)
(ii)
(iii)
1. Instrument Issues :
2. Administration Issues :
3. Feedback report :
4. Feedback sessions :
Performance interviews are another step in the
appraisal process. Once appraisal has been made of employees, the ratters
should discuss and review the performance with the ratees so that they will
receive feedback about where they stand in the eyes of supervisors. Feedback is
necessary to effect improvement in performance, especially when it is
inadequate. Specifically, performance interviewhas three goals:
To change behavior of employees whose performance does not meet
organizational requirements or their own personal goals, to maintain the
behavior of employees who perform in an acceptable manner, and to
recognize superior performance behaviors so that they will be continued?
Recommendations for implementing 360-degree appraisal system:
Itemshould be directly linked to effectiveness onthe job.
Itemshould focus onspecific observable behaviors.
Itemshould be worded inpositive terms rather negative terms.
1. Select raters carefully by using a representative sample of people most
critical to the ratee and who had the greater opportunity to observe his or
her performance.
2. Use an adequate number of raters to ensure adequate sampling and to
protect the confidentiality of respondents.
3. Instruct respondents in how the data will be used and ensure
confidentiality.
4. To maintain confidentiality, rater should not indicate their names or other
identifying characteristics and serves should be mailed back directly to
the analyst ina sealed envelop.
5. Alert and train raters regarding rater errors (halo, leniency, attribution
bias).
1. Separate the results from the various sources. the ratee should see the
average, aggregate results from peers, subordinates, higher level
managers, customers, and all other sources that may be used.
2. Show the rates self-rating as compared to rating by others. This enable
the ratee to see how his or her self-perception or similar or different from
others perception.
3. Compare the rates rating withother groups.
4. Provide feedback on items as well as scales so ratees can see how to
improve.
1. Use a trained facilitator to provide feedback to ratees.
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2. Involve the ratee ininterpret end his or her onresults.
3. Provide an overview of the individuals strengths and areas for
improvement.
4. Provide feedback on recommendations and help him or her to develop an
actionplan.
1. Provide opportunities for skill training in how to improve his/her
behaviours.
2. Provide support and coaching to help him/her apply what has been
learned.
3. Overtime, evaluate the degree to whichthe ratee has changed behaviours.
Potential Appraisal is another powerful tool of employee development.
Whether managers realize it or not, they are stomed to making potential
assessments. Every time a manager recommends or fails to recommend an
employee for a promotion, a potential assessment has, in fact, been made. The
process of assessing the managerial potential of employees deals with the
questionof whether or not they have the ability to handle positions inthe future
which involve considerably more responsibility than what they have right now.
As long as individuals are viewed as being able to handle increased or different
responsibilities, they would be considered to have potential (either latent or
visible).
Potential appraisal may thus be defined as a process of determining an
employees strengths and weaknesses with a view to use this as a predictor of
his future performance. This would help determine the promotabilty of an
individual to a higher position and help chalk out his career plan. The
fundamental difference between reviewing performance and assessing
potential is in the criteria used. In reviewing performance, the criterion used is
what goals the employee achieved and what skills he or she currently possesses
that could be indicators of his or her ability to assume different or more
advanced responsibilities.
It is this, that makes potential appraisal a very crucial &critical area. If an
employee without requisite abilities is promoted to a higher position and does
not performas per expectations, thenit becomes impossible to demote him.
Thus, he is unable to perform at the higher level and becomes a
passenger in the system. It is rightfully assumed that every individual has
potential, low or high. Many organizations have people whose potential being
low; performance too is not up to the mark. Whilst the question in our minds
hovers around how such people got into the system, the fact remains that they
do not contribute to the organizations performance.
5. Followup activities :
Potential Appraisal
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A major problem that companies face is tackling the problem children.
They canhave the ability to performbut do not performand do not contribute to
the organizations performance. This is mainly seen as an attitudinal problem.
Further, these problem children bask in the glory of their potential but are
unable to contribute to their own jobs. Dealing with workhorses too could be
tricky. They can perform very well on routine tasks but have limited potential.
Hence, their promotabilty is difficult and this creates frustrations for the
employees. If promoted, they are unable to perform higher-level jobs and this
too creates problems both for the individuals and the organization. We easily
conclude that stars are ideal people to have in organizations. But retaining
these stars could be difficult.
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Q. What is Job evaluation? Explain its objectives and principles.What
are the methods of Job evaluation?
Job evaluation
objectives
Ans. is the process of analyzing and assessing the various jobs
systematically to ascertain their relative worth in an organization. Job is
evaluated on the basis of their content and is placed in the order of their
importance.
Job evaluation is a process of finding out the relative worth of a job as
compared to other jobs
The following are derived from the analysis of the above-mentioned
definitions: -
1) To gather data and information relating to job description, job
specification and employee specifications for various jobs in an
organization.
2) To compare the duties, responsibilities and demands of a job with that of
other jobs.
3) To determine the hierarchy and place of various jobs inanorganization.
4) To determine the ranks or grades of various jobs.
5) To ensure fair and equitable wages onthe basis of relative worthor value of
jobs. In other words equal wages are fixed to the jobs of equal worth or
value.
6) To minimize wage discrimination based on sex, age, caste, region, religion
etc.
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Job Evaluation Process :
Methods of Job Evaluation :
Methods of Job Evaluation :
Job-evaluationmethods are of two categories-Analytical and NonAnalytical
The job-evaluation process starts defining objectives of evaluation and ends
withestablishing wage and salary differentials.
Job-evaluationmethods are of two categories :
1. Analytical Job Evaluation
2. NonAnalytical Job Evaluation
Job Evaluation process
Objectives of Job Evaluation
Job Analysis
Job Evaluation Programme
Wage Survey
Employee Classification
Job Description Job Specification
Job Evaluation
Analytical
Non-Analytical
Point
Method
Factor
Comparion
Ranking
Method
Job
Grading
Banding
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1. Analytical :
Point Method :
Skill :
Effort :
Responsibility :
Job Conditions :
Factors :
Factor-Comparison Method :
1. Point Method
2. Factor ComparisonMethod
The system starts with the selection of job factors,
construction of degrees for each factor, and assignment of points to each
degree. Different factors are selected for different jobs, with accompanying
differences indegrees and points.
The National Electrical Manufacturing Association(NEMA), USAhas suggested
the factors, degrees and point for hourly rated and salaried jobs. The job factors
takeninto considerationby NEMAfor hourly rated jobs are:
a. Education
b. Experience
c. Initiative &ingenuity
a. Physical demand
b. Mental and / or visual demand
a Responsibility for equipment or process
b. Responsibility for materials or product
c. Responsibility for safety of others
d. Responsibility
a. Working conditions
b. Hazards
Education
Experience
Complexity of duties
Monetary responsibility
Working Condition
Contacts
Types of Supervision
Extent of Supervision
The factor-comparison method is yet another
approach for job evaluation in the analytical group. Under this method, one
begins with the selection of factors; usually five of them- is assumed to be
NEMA Manual for salaried jobs
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constant for all the jobs. Each factor is ranked individually with other jobs. For
example, all the jobs may be compared first by the factor mental requirements.
the skills factor, physical requirements, responsibility, and working conditions
are ranked. The total points are then assigned to each factor. The worth of a job
is thenobtained by adding together all the point values.
Non-Analytical :
1. Ranking Method
2. Banding Method
3. Job-Grading Method
this is the simplest, the most inexpensive and the most
expedient method of evaluation. The evaluation committee assesses the worth
of each job on the basis of its title or on its contents, if the latter is available. But
the job is not broken down into elements or factors. Each job is compared with
others and its place is determined.
The method has several drawbacks. Job evaluation may be subjective, as the
jobs are not brokeninto factors. It is hard to measure whole jobs.
Ranking is the most straightforward method of work evaluation. Jobs, people,
or even teams can be ranked from the ones adding most value to least value to
the organization. Criteria for the ranking are not made explicit. Jobs rather
than people are easier to rank when there are a large number of people in jobs.
Teams can be ranked in a team-based environment as a substitute for or
addition to the ranking of jobs and people. When a larger number of jobs,
people, or teams are to be ranked, the method of paired comparisons can be
used. With this approach each entity is compared to every other entity in terms
of value to the organization.
1. Simple to use if there is a small number of jobs, people, or teams to
evaluate
2. Requires little time
3. Minimal administrationrequired
1. Criteria for ranking not understood
2. Increases possibility of evaluator bias
3. Very difficult to use if there is a large number of jobs, people, or teams
to evaluate
4. Rankings by different evaluators are not comparable
5. Distance betweeneachrank is not necessarily equal
6. May invite perceptions of inequity
Abanding procedure takes place when jobs are grouped together by
common characteristics. Characteristics used to group jobs follow: exempt
Ranking Method :
Advantages :
Disadvantages :
Banding :
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versus nonexempt, professional versus non professional, union versus non
union, key contributor versus non-key contributor, line versus staff, technical
versus non-technical, value-added versus non-value-added, and classified
versus non-classified. Often these groups are then rank ordered and each
group is thenplaced ina pay band.
1. Quick and easy procedure
2. Has initial face validity to employees
3. Allows for organizational flexibility
4. Minimal administrationrequired
1. Subtle, but important, differences betweengroups ignored
2. Subtle, but important, differences withingroups ignored
3. May invite inequity perceptions
Classification systems define the value of jobs, people, or
teams with written standards for a hierarchy of classification level. Each
classification level may be defined by a number of factors that need to be
present for a job, person, or team to be slotted into a particular classification
level. These factors are usually blended together resulting in one standard for
eachclassificationlevel.
1. Jobs, people, and teams canbe quickly slotted into the structure
2. Classificationlevels have face validity for employees
3. Standards to establishvalue are made explicit
1. Many jobs, people, or teams do not fit neatly into a classificationlevel
2. Extensive judgment is required because standards used to define
eachfactor are blended together
3. Differences betweenclassificationlevels may not be equal
4. Creates status hierarchies withinorganizations
5. Extensive administrationrequired
As in the ranking method, the job-grading method (or job-classification
method) does not call for a detailed or quantitative analysis of job factors. It is
based on the job as a whole. The difference between the two is that in the
ranking method, there is no yardstick for evaluation, while in the classification
method, there is such a yardstick in the formof job classes or grades. Under the
classification method, the number of grades is first decided upon, and the
factors corresponding to these grades are thendetermined.
Advantages :
Disadvantages :
Classification :
Advantages :
Disadvantages :
Job-grading Method :
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The advantages of the method are;
Q. What is compensation aim? Explain its components with suitable
example?
Compensation
:
1. :
2. :
3. :
I) job grade descriptions are vague and are not quantified;
ii) difficulty in convincing employees about the inclusion of a job in a
particular grade because of vagueness of grade descriptions; and
iii) more job classification schedules need to be prepared because the
same schedule cannot be used for all types of jobs.
Ans. inother terms also called as Employee Remuneration.
Remuneration is the compensation; an employee receives in return for his
or her contribution to the organization. Remuneration occupies an
important place in the life of an employee. His or her standard of living,
status in the society, motivation, loyalty, and productivity depend upon
the remuneration he or she receives. For the employer too, employee
remuneration is significant because of its contribution to the cost of
production.
a. Attract capable employees to the organization.
b. Motivate themtoward superior performance.
c. Retainment of their services over anextended period of time.
The aimof employee compensationcanfurther described as under :
Every organization looks for retaining capable employee with the organization.
Infact, retaining an employee is the most difficult function of HR Department.
So for retaining an efficient employee with the organization, he has to be
provided with better compensation. That compensation that he is going to be
provided should include better salary perks, increments, promotions etc. So, a
better compensation package is going to attract the efficient employee who is
very useful to anorganization.
For any employee, money is the main motivator. If every employee of an
organization is provided with better compensation, every body will be
motivated to exhibit superior performance. The better the pay, the better the
performance. The compensation that is going to be provided to the employees
should include better salary, perks, increments, bonus etc. Even though the
remaining components like promotion are going to motivate the employees, but
the basic motivator is better compensation.
Retainment of the services of an employee with an organization is the most
difficult job of HR. So, the retainment of the employees service over a long
Aims of employee compensation
Attract capable employees to the organization
Motivate themtoward superior performance
Retainment of their services over an extended period of time
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Compensation an overview
External Environment
Internal Environment
Compensation
Financial Non-Financial
Direct The Env. The Job Indirect
period of time is possible only by providing themwithbetter compensation.
The following diagramgives anoverviewof the components of compensation:
Wages, Salaries, Commissions, Bonuses
Insurance plans, Social Assistance, Educational Assistance, Paid
Absences
Interesting Duties, Challenge, Responsibility, opportunity for
recognition, feeling of advancement, achievement opportunity
Sound policies, Competent supervision, Congenial
coworkers, Appropriate status symbol, Comfortable working conditions, flexi-
time, Job sharing, Cafeteria compensation
1. Nirmal and his wife are full of excitement and anticipation as they leave
their home for a shopping trip. Nirmal recently found a job after several
months of unemployment and the paycheck he received today will enable
themto make a downpayment ona much-needed refrigerator.
2. Sonias anxiety over schedule minor surgery was somewhat relieved. Her
supervisor has assured her that 80% of her medical and hospitalization
costs will be covered by her firms healthinsurance plan.
3. Anup Singh, Executive Director of local YMCA, returns home dead fixed
from job each evening no earlier than 6 Oclock. His salary is small
compared to the salaries of many other local managers who have similar
Components of Compensation
Direct :
Indirect :
The Job :
The Environment :
Examples / Situations on different types of Compensation:
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responsibilities. Yet, Anup is on exceptionally happy person who believes
that his work with youth, civic leaders, & other members of the
community is extremely important &worthwhile.
4. A large manufacturing firm has employed John for eight years. Although
his pay is not what he would like to be, his job in the accounts payable
department enables him to have contact with some of his best friends. He
likes his supervisor & considers that overall working environment to be
great. Johnwould not trade jobs withanyone he knows.
Wage policy deals with remuneration of work rendered by employees in any
organization. Wages are that compensationgivento employees done for work in
return. Wages are given to the worker (blue color) who are the shop floor
employees and salaries are given to executive cadre (white color) according to
Public Policy, a good wage policy should look into the following:
1. Anequitable distributionof returnbetweencapital &labour.
2. To establishjustified wage differentials
3. Equal pay for equal work
4. To base wages onneed basis
These are the wages that ensure more than just adequate sustenance, these
ensure certain medical &other essential requirements of individuals catered to
ensure :
1. 3 extra compensationunit to a family of a simple earning member.
2. 2700 calorie of food intake per member per day.
3. 18 yards of cloth per member and for an unit of four members i.e. 18 x 4 =
72 yards clothper annum.
4. To ensure land, shelter equivalent of what is provided by industrial
housing scheme.
5. Amenities catered by wages 20%of minimumwage.
Ensure more than adequate sustenance to the extent that certain greater
needs like social needs, sanitations, health aspects, and protections from
misfortunes.
These are fixed onthe basis of :
1. Productivity of Labour
2. Prevailing level of wages
3. Industry Policy to wages &income distributioninthe country.
4. Contributionof industry to the economy
Wage Policy :
WAGES :
MinimumWages
LIVINGWAGES :
FAIRWAGES :
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Q. Write short note on EMPLOYEEBENEFITS ANDSERVICES
LEGALLY REQUIRED PAYMENTS:
PENSIONANDGROUP INSURANCE: -
PAIDRESTPERIODS, WASTE-UP TIME
PAYMENTFORTIMENOTWORKED
FESTIVAL BONUS
CLASSIFICATIONOFFRINGEBENEFITS: -
Premium Payments :
Payment for special duties :
Payments for health & Security benefits :
Payment for time not worked :
Payment for employee service :
Other expenditure :
EMPLOYEESERVICES :
The various Employee services offered inany organization.
Ans. These are available to all employees based in their membership in the
organization. The purpose of such benefits and services is to retain people in
the organization and not to stimulate them to greater effort and higher
performance.
These benefits are usually known as fringe benefits, & the employer offers
these to the employee. The term fringe benefits are as follows paid vacation,
pension, healthinsurance planetc.
There are five categories of services and benefits under the termfringe benefits.
- Old age pension, survivor
benefits, disability pension and payments made under the
Workmens CompensationAct.
This is the period of time, a worker has
worked, and payment is based ondaily or weekly.
Such as working on grievance
redressal procedures and labour contract negotiations.
These include
retirement plans, social security payments, Saving plans, Profit
sharing plans, Group Life Insurance etc.
Which include payment for sick
leave and for time during which an employee is under medical care.
Payments for holiday, vacations, call back time, dressing time,
portal-to-portal time and wet time.
This include Cafeteria subsidies,
unioncredit, house financing etc.
Like holiday bonus, on educational
reimbursements, employee uniforms, work cloths, supper money or
meal allowance etc.
In addition to the benefits, organizations also provide a wealth of services that
employees find desirable. These services are usually provided by the
organization at no cost to employee or at a significant reduction from what
might have to be paid without the organizations support.
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The employee services include :
Services related to the types of work performed.
Eating facilities :
Transportation facilities :
Child Care facilities :
Housing Services :
Financial and legal services :
Purchasing Services :
Education Services :
Medical Services :
Outplacement Services :
Flexi time :
Q. What is performance appraisal? Explain its methods?
Meaning and Definition :
Objectives of Performance Appraisal :
This including
subsidies for purchase and upkeep of work, clothing and uniforms
and of various types of tools, used by a worker in the course of his
work;
Which include the provision of company
restaurants, cafeterias, canteens, lunchrooms etc.
Like parking lot and bus services
Comprising nurses and day care centers for
children
It includes company owned housing projects
and subsidies.
This includes sponsoring of loan
funds, credit unions, income tax services, saving plans and group
insurance plans.
This includes company operated stores and
discount oncompany products and services.
Which include sponsorship for off duty
courses, educational leave, tuition fee, refunds and scholarship for
employees and their children.
Including plant in firmaries, (clinics and
hospitals, counseling and referrals to community to social services.)
This include, contact with other
employers in the area, help in writing up resumes and secretarial
services.
The employees are permitted to build up their flexible
workday. It is called flexi time because the workers themselves
determine their ownstarting and stopping time.
Ans. In simple terms, performance appraisal may
be understood as the assessment of an individuals performance in a
systematic way, the performance being measured against such factors as job
knowledge, quality and quantity of output, initiative, leadership abilities,
supervision, dependability, co-operation, judgment, versatility, health and the
alike. Assessment should not be condensed to past performance alone.
Potentials of the employee for future performance must also be assessed.
Aformal definitionof performance appraisal is :
It is the systematic evaluations of the individual with respect to his her
performance onthe job and his or her potential for development.
1. To effect promotions based oncompetence and performance
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2. To confirm the services of probationary employees upon their completing
the probationary period satisfactorily.
3. To assess the training and development needs of employees.
4. To decide upon a pay raise where (as in the unorganized sector) regular
pay scales have not beenfixed.
5. To let the employees know where they stand insofar as their performance
is concerned and to assist them with constructive criticism and guidance
for the purpose of their development.
6. To improve communication. Performance appraisal provides a format for
dialogue between the superior and the subordinate, and improves
understanding of personal goals and concerns. This can also have the
effect of increasing the trust betweenthe rater and the rate.
7. Finally, performance appraisal can be used to determine whether HR
programmers such as selection, training, and transfers have been
effective or not.
8. Broadly, performance appraisal serves four objectives- I) development
uses, ii) administrative uses/decisions, iii) Organizational
maintenance/objectives, and iv) documentationpurposes.
All the approaches to appraisal canbe classified into
I) Past-oriented methods
II) Future-oriented methods
Eachgroup has several techniques as shownbelow:
Past-oriented Methods :
Rating scales
Checklists
Forced choice method
Forced distributionmethod
Critical incident method
Behaviorally anchored scales
Field reviewmethod
Performance tests and observations
Annual confidential reports
Essay method
Cost accounting approach
Comparative evaluationapproach
1. Rating scales offer the advantages of adaptability,
relatively easy use and low cost. Nearly every type of job can be evaluated
with the rating scale, the only requirement being that the job-performance
criteria should be changed. This way, a large number of employees can be
evaluated in a short time, and the rater does not need any training to use
the scale.
2. Here a checklist of behaviour descriptions is prearranged
Rating scale :
Checklist :
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and each person is evaluated against such list. Rater merely record the list
and a separate group can allocate weight ages for each list and finally
arrive at total points or marks obtained.
1. Checklist reduces subjectively because recording is done by some one else
act as the rater. Rater, at the end put weight ages and adds marks.
2. Comparisonpossible.
1. Normally confined to staff of personnel department.
2. Difficult for all jobs.
3. Forced Choice method:
This is a special type of checklist. Rater has to choose between two
statements or more, all of which may be favorable or unfavorable.
Appraisers job is to select that statement which is most appropriate to
describe the employee. Sample statements for a salesman may be framed
as follows:
Slowbut steady
Avoid risks
Consult headquarters onimportant decisions
Meet the customer withconfidence
Friendly and informal
Plainspeaking.
Here the rater does not know the desirable answer for a particular job.
This is available in the key kept confidential either in computer or files.
The answers of rating are fed into the computer and marks obtained with
the help of keys.
Since appraiser does not know the correct answer, the bias is
minimized.
appraisers as well raters dislike this method, since they
feel they are not takeninto confidence by giving themthe right answers.
4. One of the errors in rating is leniency-
clustering a large number of employees around a high point on a rating
scale. The forced distribution method seeks to overcome the problem by
compelling the rater to distribute the rates on all points on the rating
scale.
5. The critical incidents method of employee
assessment has generated a lot of interest these days. The approach
focuses on certain critical behaviours of an employee that make all the
difference betweeneffective and non-effective performance of a job.
Advantages :
Limitations :
Adv :
Limitations :
Forced distribution method :
Critical incidents method :
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6.
Behaviourally anchored scales, sometimes called behavioural expectation
scales, are rating scales whose scale points are determined by statements of
effective and ineffective behaviours. They are said to be Behaviourally anchored
in that the scales represent a range of descriptive statements of behaviour
varying fromthe least to the most effective. BARShave the following features:
1. Areas of performance to be evaluated are identified and defined by the
people who will use the scales.
2. The scales are anchored by descriptions of actual job behaviour that,
supervisors agree, represent specific levels of performance. The result is a
set of rating scales in which both dimensions and anchors are precisely
defined.
3. All dimensions of performance to be evaluated are based on observable
behaviours and relevant to the job being evaluated since BARS are tailor-
made for the job.
4. Since the raters who will actually use the scales are actively involved in the
development process, they are more likely to be committed to the final
product.
Persons with knowledge of the job to be
appraised (job holders/supervisors) are asked to describe specific
illustrations (critical incidents) of effective performance behaviour.
These people then cluster the
incidents into a smaller set (or say 5 or 10) of performance dimensions.
Eachcluster (dimension) is thendefined.
Any group of people who also know the job then
reallocate the original critical incidents. They are given the clusters
definitions, and critical incidents, and asked to redesign each incident to
the dimension it best describes. Typically a critical incident is retained if
some percentage (usually 50 to 80%) of this group assigns it to the same
cluster as the previous group did.
This second group is generally asked to rate (7 or 9
point scales are typical) the behaviour described in the incident as to how
effectively or ineffectively it represents performance on the approximate
dimension
Subsets of incidents (usually 6 or 7 per
cluster) used as behaviour anchors for the performance dimensions.
BARS were developed to provide results that subordinates could use to improve
performance. Superiors would feel comfortable to give feedback to the ratees.
Behaviourally Anchored Rating Scales (BARS) :
The procedure for BARS is usually five stepped.
Generate Critical Incidents :
Develop Performance Dimensions :
Reallocate Incidents :
Scale of Incidents :
Develop Final Instrument :
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Further, BARS help overcome rating errors. Unfortunately, this method too
suffers fromdistortions inherent inmost rating techniques.
Though BARS technique is more time-consuming and expensive than other
appraisal tools, yet it has got certainadvantages, suchas:
1. A more accurate gauge, since persons expert in the technique does BARS,
the results are sufficiently accurate.
2. The critical incidents along the scale help to clarify
what is meant by extremely good performance, average performance
and so forth.
3. The use of critical incidents may be more useful in providing
feedback to the people being appraised.
4. Systematically clustering the critical
incidents into 5 or 6 performance dimensions, helps in making the
dimensions more independent of one another.
5. The technique is not biased by the experience
and evaluationof the rater.
7. This is an appraisal by someone outside the
assessees own department, usually someone from the corporate office or
the HR Dept. The outsider reviews employee records and holds interviews
with the ratee and his or her supervisor. The method is primarily used for
making promotional decision at the managerial level. Field reviews are
also useful when comparable information is needed form employees in
different units or locations.
8. With a limited number of jobs,
employee assessment may be based upon a test of knowledge or skills. The
test may be of the paper-and-pencil variety or an actual demonstration of
skills. The test must be reliable and validated to be useful. Even then,
performance tests are conducted to measure potential more than actual
performance. In order for the test to the job related, observations should
be made under circumstances likely to be encountered. Practically may
suffer if costs of test development or administrationare high.
9. Confidential records are maintained mostly in
government departments, though its application in the industry is not
ruled out.
10. In the essay method, the rater must describe the
employee within a number of broad categories, such as (i) the raters
overall impression of the employees performance, (ii) the profitability of
the employee, (iii) the jobs that the employee is now able or qualified to
perform, (iv) the strengths and weakness of the employee, and (v) the
training and the development assistance required by the employee.
Clear Standards :
Feedback :
Independent dimension :
Rater Independence :
Field review method :
Performance Tests and observations :
Confidential Records :
Essay method :
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Although this method may be used independently, it is most frequently
found in combination with others. It is extremely useful in filing
information gaps about the employees that often occur in the better-
structured checklist method.
11. This
method evaluates from the monetary returns the employee yields to his
her org. A relationship is established between the cost included in keeping
the employee and the benefit the org derives fromhimor her. Performance
of the employee is then evaluated based on the established relationship
betweenthe cost and the benefit.
The current value of a firms human organization can be appraised by
developed procedures, by undertaking periodic measurements of key
casual and intervening enterprise variables. They key causal variables
include the structure of an organizations management policies,
decisions, business leadership, strategies, skills and behaviour. The
intervening variables reflect the internal state and health of an
organization. They include loyalties, attitudes, motivations, and collective
capacity for effective interaction, communication and decision-making.
These two types of variable measurements must be made over several
years to provide the needed data for the computation of the human asset
accounting.
Management by objectives
360-Degree appraisal
Psychological appraisals
Assessment centers
1. This can describe as process where
by the supervisor and subordinate in an organization jointly identifies its
common goal, define each individuals responsibilities and use these measures
as guides for operating the unit and assessing the contribution of each of its
members
To change behaviour and attitude towards getting the job done.
It is management system and philosophy that stress goals rather
thanmethod.
It provides responsibility and accountability.
To meet these needs by providing opportunities for participation in
goal-setting process.
2. This concept is first started in German
Army to evaluate the performance the soldiers .The purpose of this method is
to test candidates in a social situation using a number of assessors and a
Cost Accounting method/ Human asset accounting method :
2. Future Oriented Appraisal :
Management By Objective (MBO) :
Objective :
Assessment Center Method :
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variety of procedures. The most important feature of the assessment center is
job-related stimulations. This stimulation include the characteristics that
managers feel are important for the job. On this basis the evaluators evaluate
the employees.
3. Large organizations employ full-time
industrial psychologists. When psychologists are used for evaluations, they
assess and individuals future potential and not past performance. The
appraisal normally consists of in-depth interviews, psychological tests,
discussions with supervisors and a review of other evaluations. The
psychologists the writes an evaluation of the employees intellectual,
emotional, motivational and other related characteristics that suggest
individual potential and may predict future performance.
4. Mainly used for executive hiring, assessment
centers are now being used for evaluating executive or supervisory potential.
As assessment center is a central location where managers may come together
to have their participation in job-related exercise evaluated by trained
observers. The principal idea is to evaluate managers over a period of time, say
one to three days, observing their behaviour across a series of select exercises
or work samples. After recording their observations of ratee behaviours, the
raters meet to discuss these observations. The decision regarding the
performance of each assesses in based upon this discussion of observations.
Self-rating and peer evaluationare also throwninfor final rating.
The final step in evaluation process is the use of appraisal data. The data and
information generated through performance evaluation must be used by the
HRdept.
In one way or the other, data and information outputs of performance-
appraisal programme can critically influence the employer-employee reward
opportunities. Specifically, the data and information will be useful in the
following areas inHRM:
Remunerationadministration
Validationof selectionprogrammes
Employee training and development programmes
Promotion, transfer and lay-off decisions
Grievance and discipline programmes
HRplanning.
Ans.
1. Objectives of Appraisal:
2. Establish job Expectation
Psychological Appraisals :
Assessment Centers :
Use of appraisal data :
Q. Explain the process of Performance Appraisal?
The Performance Appraisal Process,
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3. Design Appraisal programme
4. Appraise performance
5. Performance review
6. Use appraisal Data for appropriate purposes
1. Objectives of appraisal, as stated above,
include effecting promotions and transfers, assessing training needs,
awarding pay increases, and the like. The emphasis in all these is to
correct the problems. These objectives are appropriate as long as the
approach in appraisal is individual. Appraisal, in future, would assume
systems orientation .In the systems approach, the objectives of appraisal
stretchbeyond the traditional ones.
In the systems approach, appraisal aims at improving the performance,
instead of merely assessing it. Towards this end, appraisal systemseeks to
evaluate opportunity factors. Opportunity factors include the physical
environment such a s noise, ventilation and lightings, available resources
such as human and computer assistance; and social process such as
leadership effectiveness. These opportunity variables are more important
thanindividual abilities indetermining work performance.
2. The second step in the appraisal process
is to establish job expectations. This includes informing the employee
what is expected of him or her on the job. Normally, a discussion is held
with his or her superior to review the major duties contained in the job
description. Individuals should not be expected to begin the job until they
understand what is expected of them.
3. Designing an appraisal programme
poses several questions which need answers. They are, (i) Formal versus
informal appraisal; (ii) whose performance is to be assessed? (iii) Who are
the raters? (iv) What problems are encountered? (v) How to solve the
problems? (vi) What should be evaluated? Vii) When to evaluate? Viii)
What methods of appraisal are to be used?
The first step in designing an appraisal programme is to decide whether the
appraisal should be formal or informal. Formal appraisals usually occur at
specified time periods- once or twice a year. Formal appraisals are most often
required by the organization for the purpose of employee evaluation. Informal
performance appraisal can occur whenever the supervisor feels the need for
communication. For example, if the employee has been consistently meeting or
executing standards, and informal appraisal may be in order to simply
recognize this fact.
Objectives of Appraisal: :
Establish Job Expectations :
Design appraisal Programme :
Formal versus Informal Appraisal :
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Many organizations encourage a mixture of both formal and informal
appraisals. The formal appraisal is most often used as primary evaluation.
However, the informal appraisal is very helpful for more performance feedback.
Informal appraisals should not take the place of formal performance
evaluation.
Appraisee performance and performance review:
Answering the following questions canlook into these two aspects :
Whose performance should be rated?
To the question whose performance should be rated, the answer is obvious-
employees. When we say employees, is it individuals or teams? Specifically, the
ratee may be defined as the individual, work group, division, or organization. It
is also possible to define the ratee at multiple levels. For example, under some
conditions, it may be desirable to appraise performance both at the work-group
level for merit pay increases and at the individual level tosses training needs.
Ans. systemput more employees pay at risk and do indeed loosen the
relationship between assignments and pay levels. The term PFP is a little mix
leading Determinants of Effective PFP since many incentive systems now
award something other thanpay for desired performance.
1. Worker value outcomes (Money and Prices)
2. Outcome is valued relatively to other rewards.
3. Desired performance must be measurable.
4. Worker must be able to control rate a output.
5. Worker must be capable of increasing output.
6. Worker must believe that capability to increase exists.
7. Worker must believe that increased output will result in receiving a
reward.
8. Size of reward to sufficient to stimulate increased effort.
9. Performance measures must be compatible with strategic goals for short
and long terms.
Poor perceived connectionbetweenperformance and pay.
The level of performance pay is too low relative to basic pay. The cost
of more highly motivating programmes may be prohibitive.
Lack of objective, countable results for most jobs, requiring the use of
performance rating.
Faulty performance appraisals systems, with poor cooperation from
managers, leniency bias inthe appraisal and the systems change.
Unionresistance to suchsystems and to change ingeneral.
Poor connection between PFP outcomes and corporate performance
measures.
Q. What is PFP (Play for performance)? What are determinants of PFP
system?
The PFP
Systems :
There are many potential problems withPFP system. They are as follows :
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Howdo you select a PFP system?
Q. What are the different types of incentives which are given to
employees?
Indesigning a PFP systemthree major questions should be asked.
1. Who should be included inPFP system?
2. Howwill performance be measured?
3. Whichincentives will be used?
1. Who should be included in PFP system: In general all goups should be
included in a PFP system; with one critical condition i.e. The PFP system
should be developed with specific groups and conditions in mind. Many
companies have different PFP systems for various classes of employees.
Some companies have reward systems that are compatible with the
culture that attempts to minimize the distance between people at different
levels inthe organizational hierarchy.
2. How will performance be measured: Performance can measured on the
basis of different organizational policies. We will discuss these methods in
the later half of this unit.
3. Which incentive will be used: Incentives are used on the basis of Merit-Pay
plans. They are
1. Use a bonus systeminwhichmerit pay is not tied to basic salary.
2. Maintain a bonus ranging from0 to 20%for lower pay levels and from
0 to 40%for higher pay levels.
3. Take performance appraisal seriously. Hold raters accountable for
the appraisal and provide training.
4. Focus on key organizational factors that affect the pay system.
Information systems and job design must be compatible with the
performance measurement system.
5. Include group and team performance in evaluation. evaluate team
performance wherever appropriate and base part of individual part of
merit pay onthe teamevaluation.
6. Consider special awards separately from and annual merit merit
allocationthat recognizes.
Ans. An Incentive or Reward can be anything that attracts a employees
attention, stimulates him to work; Other words it can define as an incentive
scheme is a planor programme to motivate individual or group performance.
Inother terms, incentives are also called as payments by results.
Incentives are paid in addition to wages and salaries. Incentives depend upon
productivity, sales, profit, or cost reductionefforts.
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The different incentive schemes :
(i) (ii)
(iii)
Fringe Benefits :
Perquisites :
Non-monetary benefits :
Rewards :
Types of Rewards :
Membership and seniority-based rewards :
Job Status-based Rewards :
There are: Individual incentive schemes, Group incentive programs and
other incentive schemes.
Individual incentives are applicable to specific employee performance. Where a
given task demands group effort for completion, incentives are paid to the
group as a whole. The amount is later divided among group members on an
equitable basis and other incentive schemes suchas...
These include such employee benefits as provident fund,
gratuity, medical care, hospitalization, accident relief, health and group
insurance, canteen, uniform, recreationand the like.
These are allowed to executives and include company car, club
membership, paid holidays, furnished house, stock opinion schemes and the
like. Perquisites are offered to retaincompetent executives.
These include challenging job responsibilities,
recognition of merit, growth prospects, competent supervision, comfortable
working conditions, job sharing, and flextime.
People join organizations expecting rewards. Firms distribute
money and other benefits in exchange for the employees availability,
competencies and behaviours.
1. Benefits an employee
receives depend on firm which he or she joins. An MBA taking up a job in
Wipro or Infosys gets more benefits than the boy or girls who joins a state
government undertaking.
In the same firm, a senior employee receives more benefits than his or her
junior employee. Advancement, pay raises, retirement benefits and
perquisites depend onseniority of anemployee.
2. Every firm rewards employees for the
status of the jobs they are holding. Firms use job evaluationsystem, which
helps establish differentials in status of jobs. Status differentials are used
as the basis for establishing salary/wages differentials. Jobs that require
more skill and effort have more responsibility and have difficulty working
conditions would have more value and consequently would be place in
higher pay grades. Firms that do not use job evaluationsystemstill reward
job status based onpay survey informationabout the labour market.
A supervisor will receive higher rewards than a purchasing assistant as
the job of the former enjoys better status than a later. It has move value to
the organisation (calculated by the job evaluation system or pay survey)
and therefore employees in that job receive more status-based rewards in
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the orgn. Highstatus jobholders are also rewarded withmore perquisites.
This incentive programme usually provides monetary rewards, but may
also include a variety of non-monetary rewards or prizes.
a. These incentive plans usually consist of both monetary and non-
monetary elements.
b. The timing, accuracy and frequency of incentives are the basis of a
successful incentive plans.
c. These plans should be properly communicated to employees. So this
will encourage individual performance, provide feedback and
encourage redirection.
a. Direct compensation
b. Indirect compensation
It includes the basic salary or wage that the
individual is entitled for his job; this include overtime work, holiday premium,
bonuses based onperformance etc.
It includes protection programmes; pay for time not
worked, services and perquisites. But these are maintenance factors rather
thanreward.
Incentive (Structure of incentives)
INTRENSIC EXTRINSIC
Features of incentive plan :
TYPES OFREWARDS/INCENTIVES
The Rewards are classified into two :
Direct Compensation :
Indirect Compensation :
Participationin Direct Indirect NonFinancial
DecisionMaking Compensation Compensation Compensation
Greater job freedom Basic wage or Protection Preferred
and direction salary Programme furniture
More responsibility Overtime and Pay for time not Preferred
holiday worked Lunchhours
premiums
More interest in Performance Services Assigned parking
work sharing perquisities space
Opportunities Stock option Business cards
personal work
Diversity of Ownsecretary
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Q. What is Industrial Relation? Who are the parties related to the
Industrial Relation?
Explain its features &scope?
Explain the process of Industrial Relation?
DEFINITION:
In the words of Lester :
By J. Henry Richardson :
Workers and their Organisations :
Employers and their Organisation :
Ans.
Industrial Relations is used to denote the collective relationships between
management and the workers.
Industrial relations involve attempts at arriving at
between the conflicting objectives and values; between the profit
motive and social gain; between discipline and freedom, between authority and
industrial democracy; between bargaining and co-operation; and between
conflicting interests of the individual, the group and the community
Industrial relations is an art, the art of living together for purposes of
production. The parties while working together learn this art by acquiring the
skills of adjustment.
In simple words, industrial relations are the outcome of the employment
relationships in industry, i.e. between employers and labour. The government
of a nationor state influences these relations to a great extent.
There are three mainparties inindustrial relations :
(i) The personal characteristics of
workers, their culture, educational attainments, qualifications, skills,
attitude towards work, etc. play animportant role inindustrial relations.
Trade unions are formed for safeguarding the economic and social
interests of the workers. They put pressure on the management for the
achievement of these objectives.
(ii) The employers are a very important
variable in industrial relations. They provide employment to workers and
try to regulate their behaviour for getting high productivity from them. In
order to increase their bargaining power, employers in several industries
have organised employers associations. These associations put pressure
onthe trade unions and the Government.
solutions
UNIT IV
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(iii) The Government or State exerts an important influence
on industrial relations through such measures as providing employment,
intervening in working relationships. and regulating wages, bonus and
working conditions through various laws relating to labour. The
Government keeps an eye on. Both the trade unions and employers
organisations to regulate their behaviours inthe interest of the nation.
The Employees or the Workers Organisation(Trade Union)
The Employers Organisation
The State or Government
Industrial relations are born out of employment relationship in an industrial
setting. Without the existence of two parties i.e. labour and management, this
relationship cannot exist. It is the industry, whichprovides the environment for
industrial relations.
Industrial relations are characterized by both conflict and co-operation. So the
focus of industrial relations is on the study of the attitudes, relationships,
practices and procedures developed by the contending parties to resolve or at
least minimise conflicts.
Government :
The overall environment of industrial relations
Three mainparties
Feaures of Industrial Relations.
I NDUSTRI AL SCENARI O
NATIONAL ENVIRONMENT
SOCIO-ECONOMIC FACTORS
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Employer
Government
Parties to Industrial Relations
Trade Union
Employers' Organisation
Government
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(III) As the labour and management do not operate in isolation but are a part of
the large system, so the study of industrial relations also includes vital
environmental issues like technology of the workplace, countrys socio-
economic and political environment, nations labour policy, attitude of
trade unions, workers and employers.
Industrial relations also involve the study of conditions conducive to the
labour, management co-operation as well as the practices and procedures
required to elicit the desired co-operationfromboththe parties.
Industrial relations also study the laws, rules, regulations, agreements,
awards of court, customs and traditions, as well as policy framework laid
down by the government for eliciting co-operation between labour and
management. Besides this, it makes an in-depth analysis of the
intervening patterns of the executive and judiciary in the regulation of
labour-management relation.
The scope canbe studied under three maincategories. These categories are :
Promotionand development of healthy labour-management relations
Maintenance of industrial peace and avoidance of industrial strife and
Development of industrial democracy.
(1) The
promotionof healthy labour management relations pre-supposes:
The existence of strong, well-organised, democratic and responsible trade
unions and associations of employers.
The spirit of collective bargaining and willingness to take recourse to
voluntary arbitration.
Welfare work, whether statutory or non-statutory, provided by the state,
trade unions and employers create, maintain and improve labour
management relations and thereby contribute to industrial peace.
(2) Industrial peace pre-supposes the
absence of industrial strife. Industrial peace is essential for increased
productivity and harmonious labour-management relations. .
(3) The idea of industrial
democracy states the labour should have the right to be associated with
the management of an industry. To achieve this objective, the following
techniques are usually employed:
Establishment of the Shop Councils and Joint Management Councils at
the floor and plant level.
(a) Recognitionof HumanRights inIndustry
(b) Increase inLabour Productivity
Scope of Industrial Relations :
Development of Healthy Labour-Management Relations :
Maintenance of Industrial Peace :
Development of Industrial Democracy :
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(c) The availability of proper work environments necessary so that
the worker can effectively carry out his assignment, as it is the
environment, which stimulates or depresses, improves or
destroys the relations betweenlabour and management.
(i) Low wages have been a perennial(permanent) problem and
have been a source of industrial dispute for years despite the existence of
Payment of Wages Act and the MinimumWages Act. The acts do not seem
to be solving the problemdue to their poor implementation. In many of the
factories, workers are still given wages below subsistence level, which
leads to high degree of dissatisfaction and subsequent decrease in
productivity. In many industries, the minimum wages have not been
revised at par to compensate for it.
(ii) In the Indian cultural setup, the employment
of women is a major problemeven though things have started changing in
the recent times. There are special provisions regarding the employment
of women in the Factories Act, which prohibit employment of women
during the night shift and also on heavy machinery. Under the Equal
Remuneration Act, women are entitled to equality of wages at par with the
male workers. Some employers dont follow the above provisions in letter
and spirit and continue to exploit the women workers by virtue of their
strong position and because of mass illiteracy and superstition among the
womenworkers.
(iii) Various labour laws that have beer made
would be beneficial to the workers if implemented properly. For this it is
important that the workers themselves understand the underlying
principles and provisions of the law and demand whatever is due to them.
With high rate of ignorance and illiteracy prevailing among the workers, it
can be imagined howmany of themknowabout the laws. It is here that the
exploitationof workers takes place and legal provisions are ignored totally.
(iv) Another burning issue in the industrial relations
field is that of accommodation to the industrial employees. Here the
problem is that the firms are not able to provide accommodation to the
employees and further that the house rent allowance (HRA) that they
provide is not sufficient to keep pace with the ever -rising demands of the
landlords
(v) The law requires that no child below the age of 14 is
allowed to work in any factory and the adolescent is not allowed to work in
hazardous conditions. The Supreme Court has passed a ruling strictly
prohibiting the employment of children in any kind of factory. But still one
finds instances of violationof law.
Contemporary issues inIndustrial Relations :
Low Wages :
Employment of Women :
Ignorance and illiteracy :
Industrial Housing :
Child Labour :
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Q. What is an industrial dispute? What are the factors responsible for
the disputes between management &workers and their solution?
The factors responsible for the disputes between management &workers.
Economic Cause :
Political Causes :
Personnel Causes :
lndiscipline :
According to Section 2(k) of the Industrial Disputes Act, 1947 industrial
dispute is defined as,
Any disputes or differences between employers and employers, or between
employers and workmen, or between workmen and workmen, which is
connected with the employment or non-employment or the terms of
employment or withthe conditions of labour, of any person.
The definitionidentifies three parties to disputes. They are :
(i) Employers and Employers
(ii) Employers and Workmen
(iii) Workmenand Workmen
Industrial dispute is disagreement and difference between two disputants,
namely, labour and management. This disagreement or difference could be on
any matter concerning them individually or collectively. It must be connected
withemployment or non-employment or withthe conditions of labour.
These causes may be classified as:
Demand for increase in wages on account of increase in all-India Consumer
Price Index for Industrial Workers.
Demand for higher gratuity and other retirement benefits.
Demand for higher bonus.
Demand for certainallowances suchas:
House rent allowance
Medical allowance
Night shift allowance
Conveyance allowance
Demand for paid holidays.
Reductionof working hours.
Better working conditions, etc.
Various political parties control Trade unions in India. In
many cases, their leadership vests in the hands of persons who are more
interested in achieving their political interests rather than the interests of the
workers.
Sometimes, industrial disputes arise because of
personnel problems like dismissal, retrenchment, layoff, transfer, promotion,
etc.
Industrial disputes also take place because of indiscipline and
voilence on the part of the workforce. The managements to curb indiscipline
and voilence resort to lock -outs
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Misc. causes :
Measures to improve industrial Relations :
Progressive Management Outlook :
Strong and Stable Union :
Atmosphere of Mutual Trust :
Mutual Accommodation :
Some of the other causes of industrial disputes canbe:
a. Workers resistance to rationalisation introduction of new machinery and
change of place
b. Non- recognitionof trade union
c. Rumours spread out by undesirable elements
d. Working conditions and working methods
e. Lack of proper communication
f. Behaviour of supervisors
g. Inter trade unionRivalry etc.
The following measures should be takento achieve good industrial relations:
(i) There should be progressive
outlook of the management of each industrial enterprise. It should be
conscious of its obligations and responsibilities to the owners of the
business, the employees, the consumers and the nation. The
management must recognize the rights of workers to organize unions to
protect their economic and social interests.
(ii) A strong and stable union in each industrial
enterprise is essential for good industrial relations. The employers can
easily ignore a weak union on the plea that it hardly represents the
workers. The agreement with such a union will hardly be honoured by a
large section of workforce. Therefore, there must be a strong and stable
union in every enterprise to represent the majority of workers and
negotiate withthe management about the terms and conditions of service.
(iii) Both management and labour should
help in the development of an atmosphere of mutual cooperation,
confidence, and respect. Management should adopt a progressive outlook
and should recognize the rights of workers. Similarly, labour unions
should persuade their members to work for the common objectives of the
organization. Both the management and the unions should have faith in
collective bargaining and other peaceful methods of settling disputes.
(iv) The employers must recognize the right of
collective bargaining of the trade unions. In any organization, there must
be a great emphasis on mutual accommodation rather than conflict or
uncompromising attitude. One must clearly understand that conflicting
attitude does not lead to amicable labour relations; it may foster union
militancy as the union reacts by engaging in pressure tactics. The
approach must be of mutual give and take rather than Take or leave.
The management should be willing to co-operate rather than blackmail
the workers.
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(v) The management should
sincerely implement the settlements reached with the trade unions. The
agreements between the management and the unions should be enforced
both in letter and spirit. If the agreements are not implemented then both
the union and management stop trusting each other. An environment of
uncertainty is created. To avoid this, efforts should be made at both ends
to ensure the followup of the agreements.
(vi) The participation of workers
in the management of the industrial unit should be encouraged by making
effective use of works committees, joint consultation and other methods.
This will improve communication between managers and workers,
increase productivity and lead to greater effectiveness.
(vii) The following points should be noted
regarding the personnel policies. The policies should be:
Formulated in consultation with the workers and their
representatives if they are to be implemented effectively.
Clearly stated so that there is no confusioninthe mind of anybody.
Implementation of the policies should be uniform throughout the
organisationto ensure fair treatment to eachworker.
(viii) The Government should play an active role for
promoting industrial peace. It should make law for the compulsory
recognition of a representative union in each industrial unit. It should
intervene to settle disputes if the management and the workers are unable
to settle their disputes. This will restore industrial harmony.
Ans. arise because of perceived differences in interests. That is, if
there is an interaction between two or more people or companies, and one
person believes that his or her interests are not identical to those of the others,
there will be a dispute. People or companies who have a contractual relation or
who are engaged ina dispute are traditionally referred to as parties.
The best way to prevent disputes from arising is to make sure that each party
knows what the other party wants and to capture in clear, unambiguous
writing any agreements betweenthe parties. Increasing eachpartys knowledge
about the other decreases the chance of a dispute arising because of a
misunderstanding. Similarly, relying on business practices that are
universally used in a certain industry or region will reduce the number of
disputes.
Disputes can easily arise when the parties dont know each other well, when
they are engaging in new forms of business, or when they come from different
cultures.
Sincere Implementation of Agreements :
Workers Participation in Management :
Sound Personnel Policies :
Governments Role :
Q. Write a short note on Dispute Resolution.
Why do disputes arise?
Disputes
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Disputes that do arise can be resolved inany of the following ways :
The Three Factors :
Interests :
Power :
Rights :
1. One or more parties agree to accept a situation in which their interests are
not fully satisfied.
2. The parties submit the situation to an impartial person or panel, who
decides which interests should be satisfied and which should not.
Usually, the impartial person or panel will refer to pre-existing rules or
guidelines that had been agreed by all parties or were at least known to all
parties. Oftenthese rules are what we call laws.
3. The perceptions of one or more parties change, so that there is no longer a
perceived difference ininterests.
4. The interests of one or more parties change, so that there is no longer a
difference ininterests.
At this point, it is useful to recognize that there are three independent
fundamental factors that affect the resolutionof disputes :
Are defined by a party in an interaction and are the things that that
party is interested in(money, recognition, physical goods, or whatever).
Is given by a combination of external circumstances and self-
confidence.
Are given by an external framework, for example national laws or
contracts betweenparties.
Thus there are connections between interests, power, and rights, and in real
life there are usually trade-offs betweenthe three factors.
Interests
Power Rights
Interests
Power Rights
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Methods of Dispute Resolution
Arbitration and Litigation :
Non-binding arbitration :
Mediation :
Q. What is Employee Discipline? Explain the Disciplinary procedure?
Definition :
Nature of discipline :
Discipline can either be positive or negative.
:
Negotiation : Is a method of dispute resolution largely based on power; it often
results insolutions of type Aabove.
Are methods largely based on rights; they result
in solutions of type B above. The advantage of arbitration is that parties can
select the judges and, to some extent, the rules to be used. For more
information, see Constituting Arbitral Tribunals, International Commercial
ArbitrationPrimer, and Dispute ResolutioninTelecommunications.
is a way of obtaining impartial information
regarding a situation; it oftenresults insolutions of type Cabove.
Is a way of finding out if parties interests can be broadened so
that a true common ground can be found; it often results in solutions of type D
above.
Ans. According to Richard D. Calhoon, Discipline is the force
that prompts individuals or groups to observe rules, regulations, standards
and procedures deemed necessary for anorganization.
Therefore discipline means securing consistent behaviour in accordance with
the accepted norms of behaviour..
Discipline involves the following three things.
(I) Self-discipline.
(II) Orderly behaviour.
(III) Punishment
implies that a person brings the discipline in himself with a
determinationto achieve the goals that he has set for himself inlife.
refers to discipline as a condition that must exist for an
orderly behaviour inthe organization.
is used to prevent indiscipline. When a worker goes astray in his
conduct, he has to be punished for the same and the rcoccurence of it must be
prevented.
Negative Discipline
Positive Discipline
Involves creation of an atmosphere in the organisation
whereby employees willingly conform to the established rules and regulations.
Positive discipline canbe achieved throughrewards and effective leadership.
Self-discipline
Orderly behaviour
Punishment
Positive discipline
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Negative Discipline :
Some of the symptoms of general indiscipline can be :
Causes of Indiscipline :
Unfair Management Practices :
Absence of Effective Leadership :
Communication Barriers :
Inadequate attention to personnel Problems :
Victimization :
Under , penalties are used to force
the workers to obey rules and regulations. Inother words, workers try to adhere
to rules and regulations out of fear of warnings, penalties and other forms of
punishment. This approach to discipline is called negative or punitive
approach.
1. Change inthe normal behaviour
2. Absenteeism
3. Increased grievances
4. Lack of concernfor performance
5. Go slow
6. Disorderly behaviour
7. Lack of concernfor job
8. Late coming etc
The commoncauses of indiscipline are as follows :
(i) Management sometimes indulges in
unfair practices like:
Wage discrimination
Non-compliance withpromotional policies and transfer policies
Discriminationinallotment of work
Defective handling of grievances
Payment of lowwages
Delay inpayment of wages
Creating lowquality work life etc.
(ii) Absence of effective leadership
results in poor management in the areas of direction, guidance,
instructions etc. This inturn, results inindiscipline.
(iii) Communication barriers and absence of
human approach on the part of superiors result in frustration and
indiscipline among the workers. The management should clearly
formulate the policies regarding discipline.
(iv) Delay in solving
personnel problems develops frustration among individual workers. The
management should be proactive so that there is no discontent among the
workers. It should adopt a parental attitude towards its employees.
(v) Victimization of subordinate also results in indiscipline.
The management should not exploit the workers. It is also in the long-term
interest of the management to take care of its internal customers
negative discipline
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(vi) This creates confusion and also provides
chance for discriminationwhile taking disciplinary action.
(i) Inconsistent behavior of an employee and deviation from the
standard behaviour.
(ii) Unsafe behavior of the employee.
(iii) Immoral actionof the employee.
(iv) When employee is abusive, disturbs the peace and is negligent
towards his duties.
Ans. According to Michael Jucius, A grievance can be any
discontent or dissatisfaction, whether expressed or not, whether valid or not,
and arising out of anything connected with the company that an employee
thinks, believes, or evenfeels as unfair, unjust, or inequitable.
A grievance means any discontentment or dissatisfaction in an employee
arising out of anything related to the enterprise where he is working. It may not
be expressed and evenmay not be valid.
It arises when an employee feels that something has happened or is going to
happen which is . Thus, a grievance represents a
situation in which an employee feels that something unfavourable to him has
happened or is going to happen. In an industrial enterprise, an employee may
have grievance because of long hours of work, non-fulfillment of terms of
service by the management, unfair treatment in promotion, poor working
facilities, etc.
Factual,
Imaginary,
Disguised.
When an employee is dissatisfied with his job, for genuine or factual
reasons like a breach of terms of employment or any other reasons that are
clearly attributed to the management, he is said to have a factual grievance.
When an employees grievance or dissatisfaction is not because of
any factual or valid reason but because of wrong perception, wrong attitude or
wrong information he has. Such a grievance is called an imaginary grievance.
So be careful your grievances could be very muchimaginary!
An employee may have dissatisfaction for reasons that are
unknownto himself. This may be because of pressures and frustrations that an
employee is feeling fromother sources like his personal life.
Absence of Code of Conduct :
Different forms of indiscipline include :
Q. What is employee Grievance? Explain its forms.
Explain the procedure of Grievance.
Definition :
Agrievance may take any of the following forms :
Factual :
Imaginary :
Disguised :
unfair, unjust or inequitable
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A manager can know about the problems even before they turn into actual
grievances throughseveral means suchas:
Exit interviews
Suggestions boxes
Opinionsurveys
Opendoor policy.
(a) Employees usually quit organizations due to
dissatisfactionor better prospects elsewhere. Exit interviews, if conducted
carefully, can provide important information about employees
grievances. This can help the management to gather feedback and to
genuinely incorporate feedback. The management should carefully act
upon the information drawn from such employees .It should be careful
that the discontentment is reduced so that no more employees quit the
organizationbecause of similar reasons.
(b) These are boxes in which the employees can drop their
anonymous complaints. They are different from the suggestion boxes in
which employees drop their named suggestion with an intention to receive
rewards It is normally said that if you want to progress in life, you should
be close to critics.
(c) The management can be proactive by conducting
group meetings, periodical interviews with employees, collective
bargaining sessions etc. through which one can get information about
employees dissatisfactionbefore it turns into a grievance.
(d) Some organisation extend a general invitation to
their employees to informally drop in the managers room any time and
talk over their grievances.
Exit interview :
Gripe Boxes :
Opinion Survey :
Open-door Policy :
Forms of Grievances
Factual Imaginary Disguised
Summarising the identification of grievances.
Exit Interview
Identifying Grievances
Gripe Boxes Opinion Surveys Open door policy
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Causes of grievances :
(1) Grievances resulting fromworking conditions
(2) Grievances resulting frommanagement policy
(3) Grievances resulting frompersonal maladjustment
Effects of Grievances :
Agrievance procedure :
The causes of grievances may be broadly classified into the following
categories:
(i) Improper matching of the worker withthe job.
(ii) Changes inschedules or procedures.
(iii) Non-availability of proper tools, machines and equipment for doing
the job.
(iv) Unreasonably highproductionstandards.
(v) Poor working conditions.
(vi) Bad employer employee relationship, etc.
(i) Wage payment and job rates.
(ii) Leave.
(iii) Overtime.
(iv) Seniority and Promotional.
(v) Transfer.
(vi) Disciplinary action.
(vii) Lack of employee development plan.
(viii) Lack of role clarity.
(i) Over ambition.
(ii) Excessive self-esteemor what we better knowas ego.
(iii) Impractical attitude to life etc.
1. Frustration
2. Alienation
3. Demotivation
4. Slackness
5. LowProductivity
6. Increase inWastage &Costs
7. Absenteeism
8. Indiscipline
9. Labour unrest
It is advisable to set up an effective grievance procedure in the organization.
The procedure should be flexible enough to meet the requirements of the
organization. It should be simple so that an average employee is able to
understand it. Thoughsucha procedure will vary indifferent organizations, yet
the following principles should be observed while laying downa procedure:
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(1) A grievance should be dealt with in the first instance at the lowest level:
that is, an employee should raise his grievance with his
. It may be simple to settle it on the spot and that will be the end of
it. Even if it cannot be settled at that level, the mans superior will know
what is happening. This is necessary not only to maintain his authority,
but also to prevent himfrombeing aggrieved, as he will certainly be, if he is
by-passed and hears of the complaint fromhis ownsuperior.
(2) It must be made clear to the employee what line of appeal is available. If he
cannot get satisfaction from his immediate superior, he should know the
to whichhe cango.
(3) Since delay causes frustration and tempers may rise and rumours spread
around the work, it is essential that grievances should be dealt with
speedily. As it is said that a stitch in time saves nine, similarly the
problems of the employees should be taken care of by the management
least it should become a major for the management.
(4) The grievance procedure should be set up with the participation of the
employees and it should be applicable to all in the organisation. The
policies and rules regarding grievances should be laid down after taking
inputs from the employees and it should be uniformly applicable to all in
the organisation. It should be agreed that there would be no recourse to
the official machinery of conciliation unless the procedure has been
carried out and there is still dissatisfaction, and moreover, there must be
no direct action on either side, which might prejudice the case or raise
tempers while the grievance is being investigated.
Under this policy, any employee can take his grievance to the chief boss and
talk over the problem. As the name suggests, the management keeps its doors
open for the employees to share their problems. It is said that this policy can
remove the cause of grievance quickly. Though this policy appears to the
attractive, it has some prerequisites.
The open door policy is workable only in small organizations. In big
organizations, the top management does not have the time to attend to
innumerable routine grievances daily that is the work of lower-level mangers.
Under this policy, the front-line supervisor who should be the first manto know
about the grievances of his subordinates is by passed. This provokes himin two
ways. First, he thinks the man who skipped him is disrespectful. Secondly, he
fears that he will incur his superiors displeasure because of his failure to
handle his subordinates will interpret this.
Under the step-ladder procedure, the employee with a grievance has to proceed
step by step unless he is able to redress his grievance. According to the Model
immediate
superior
next higher authority
Open door policy :
Step-Ladder Procedure :
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Grievance Procedure, an aggrieved employee shall first present his grievance
verbally in person to the officer designated by the management for this
purpose. An answer shall be given within 48 hours. If he is dissatisfied with the
answer, the worker will present his grievance to the head of the department,
who will give his answer within 3 days. If the worker is dissatisfied with the
answer, he may ask that his grievance should be referred to the Grievance
Committee, which shall make its recommendations within 7 days to the
manger. The management must implement common recommendations of this
committee. A dissatisfied worker can apply to the management for a revision of
its decisionwithinonweeks time.
Step - ladder Grivevance Procedure.
MODEL GRIEVANCE PROCEDURE
Let us summarise the procedure in the form of a diagram.
SETTELEMENT
Step No. 1
Filling of Written
Grievance
Step No. 2
Supervisor or
Foreman
Step No. 3
Head of
Department
Step No. 4
Joint Grievance
Committee
Step No. 5
Chief Executive
Last Step
Voluntary
Arbitration
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ESSENTIALS OFAGRIEVANCEPROCEDURE:
Promptness :
Training :
Follow-up :
Agrievance procedure should incorporate the following features :
1. Conformity with existing legislation : The procedure should be designed
in conformity with the existing statutory provisions. Where practicable,
the procedure can make use of such machinery as the law might have
already provided for.
2. Acceptability : Everybody must accept the grievance procedure. In order
to be generally acceptable, it must ensure the following:
Asense of fair-play and justice to the worker,
Reasonable exercise of authority to the manager, and
Adequate participationof the union.
3. Simplicity : The following points should be noted inthis regard:
The procedure should be simple enough to be understood by every
employee.
The steps should be as fewas possible.
Channels for handling grievances should be carefully developed.
Employees must know the authorities to be contacted at various
levels.
Information about the procedure should be thoroughly disseminated
among all employees throughpictures, charts, diagrams, etc.
4. Speedy settlement of a grievance is the cornerstone of a
sound personnel policy. It should be remembered that justice delayed is
justice denied. The procedure should aim at a rapid disposal of the
grievance. This can be achieved by incorporating the following feature in
the procedure :
(a) As far as possible, grievances should be settled at the lowest level
(b) No matter should ordinarily be taken up at more than two levels, i.e.
normally there should be only one appeal.
(c) Different types of grievances may be referred to appropriate
authorities.
(d) Time limit should be placed at each step and it should be rigidly
followed at eachlevel.
5. In order to ensure effective working of the grievance
procedure, it is necessary that supervisors and the union representatives
should be given training in working of the grievance procedure. All the
policies should be conveyed to the concerned parties.
6. The personnel department should review the working of the
grievance procedure periodically and necessary changes should be
introduced to make it more effective. This is generally ignored by the
organizations. A regular follow up of the system increase the faith of the
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people in the system. Therefore it is necessary that the grievance
procedure should be reviewed whenever it is so required.
Ans.
The managers, workers and industrial relations experts interpret the term
workers participationinmanagement indifferent ways.
Workers participation in management means giving scope for workers to
influence the managerial decision-making process at different levels by various
forms in the organisation. The principal forms of workers participation are
informationsharing, joint consultation, suggestionschemes, etc.
1. The management ultimately takes the decision.
Workers are given an opportunity to influence decisions, they play a
passive role in the process of decision-making, but have no final say in the
matter.
2. This school holds that participation of an
individual in something occurs when he actively takes part. The focus
here is that there must exist . Workers sit with the
representatives of management to take important decisions particularly
on matters affecting the workers. Workers may be members of Works
Committees, Joint Management Council, etc. along with the
representatives of management. The decisions are taken through mutual
discussions between the representatives of the workers and those of the
management.
3. Self-control : The essential feature of self-control (or management) is that
management and workers are not visualised as two distinct groups but as
active members with equal voting rights. Participation in Yugoslavia is an
example of self-control.
Significance of Workers Participation
The need of workers participationis felt because of the following reasons :
1. The increased productivity is possible only when
there exists fullest co-operation between labour and management. It has
been found that poor labour management relations do not encourage the
workers to contribute anything more than the minimum desirable to
retain their jobs. Thus participation of workers in management is
essential to increase industrial productivity.
2. An important prerequisite for forging greater
individual commitment is the individuals involvement and opportunity to
express himself. Participation allows individuals to express themselves at
Q. How&why workers participate ina management?
Workers Participation inManagement
Scope :
InformationSharing :
Sharing Decision-Making :
Higher Productivity :
Greater Commitment :
taking part actively
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the work place rather than being absorbed into a complex systemof rules,
procedures and systems. If an individual knows that he can express his
opinion and ideas, a personal sense of gratification and involvement takes
place withinhim.
3. Industrial conflict is a struggle between
two organised groups, which are motivated by the belief that their
respective interests are endangered by the self-interested behaviour of the
other. It tries to
remove or at least minimise the diverse and conflicting interests between
the parties, by substituting it with cooperation, homogeneity and common
interests. Bothsides are integrated and decisionarrived are mutual rather
thanindividual.
4. Because of the existence of barriers to the upward
flow of information in most enterprises, much valuable information
possessed by subordinates never reaches their managers. Participation
tends to break down the barriers, and makes the information available to
managers. To the extent such information alters the decisions, the quality
of decisions is improved.
5. Participation provides education to
workers in the management of industry. It fosters initiative and creativity
among them. It develops a sense of responsibility. Informal leaders get an
opportunity to reinforce their position and status by playing an active role
in decision-making and by inducing the members of the group to abide by
them.
6. Reduced Resistance to Change it should be noted that changes are
randomly introduced fromabove without explanation. Subordinates tend
to feel insecure and take counter measures aimed at sabotage of changes.
But when they have participated in the decision making process, they
have had an opportunity to be heard. They know what to expect and why.
Their resistance to change is reduced.
Ans. The meaning of empowerment is to make a person eligible for discharging
his duties in a socially desirable manner so that he can get his proper
entitlement, status and recognition.
In other words true meaning of empowerment is to give the person best
guidelines and directions. Empowerment does not mean just giving authority.
Intrue sense empowerment is participationof people indecision-making.
In the context of industrial relations, empowerment can be practiced through
the following committees and councils
Reduced Industrial Unrest :
Improved Decisions :
Human Resource Development :
Q. Write a short note on Employee empowerment.
Employee Empowerment
Participation cuts at the very root of industrial conflict.
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These are also commonly referred to as the forms of Participation-:
Works Committees (1947) :
Their functions include discussion of conditions of work like :
Joint Management Councils (JMCS 1958)
Works Committee
Joint Management Councils also knownas JMC
Worker Director
Shop and Joint Councils
Quality Circle
(1) The Industrial Disputes Act, 1947, provides
for the setting up of bipartite works committees as a scheme of workers
participation in management that consist of representatives of employers
and employees.
The Act provides for these bodies in every undertaking employing 100 or
more workmen.
The aim of setting up of these bodies is to promote measure for
maintaining harmonious relations in the workplace and to sort out
differences of opinion in respect of matters of common interest to
employers and employee. Nowthat is animportant role!
The Bombay Industrial Relations Act, 1946, also provides for these bodies,
but under the provisions of this Act they can be set up only in units that
have a recognised union and they are called joint committees. The workers
directly elect their representatives where there is a union.
Lighting
Ventilation
Temperature
Sanitation
Water supply for drinking purpose
Provisionof canteens
Medical services
Safe working conditions
Administrationof welfare funds
Educational and recreational activities
Encouragement of thrift and savings.
(2)
The Second Five-Year Plan recommended the setting up of joint councils of
management consisting of representatives of workers and management.
The Government of India deputed a study group (1957) to study the schemes of
workers participation in management in countries like UK, France, Belgium
and Yugoslavia. The report of the study group was considered by the Indian
Labour Conference (ILC) in its 15 session in 1957 and it made certain
recommendations.
th
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a. Workers participation in management schemes should be set up in
selected undertakings ona voluntary basis.
b. A sub-committee consisting of representatives of employers, workers
and government should be set up for considering the details of
workers participationinmanagement schemes.
It was also recommended that the committee should select the undertakings
where workers participation in management schemes would be introduced on
anexperimental basis.
(i) To increase the association of employers and employee thereby promoting
cordial industrial relations;
(ii) To improve the operational efficiency of the workers;
(iii) To provide welfare facilities to them
(iv) To educate workers so that they are well prepared to participate in these
schemes; and
(v) To satisfy the psychological needs of workers.
(i) The unit must have 500 or more employees
(ii) It should have a fair record of industrial relations
(iii) It should have a well-organised trade union
(iv) The management and the workers should agree to establishJMCs
(v) Employers (in case if private sector) should be members of the leading
Employers Organisation
(vi) Trade Unionshould be affiliated to one of the Central Federations.
a. To be consulted on matters like standing orders, retrenchment,
retionalisation, closure, reductionof operations etc.
b. To receive informationto discuss and offer suggestions.
c. To shoulder administrative responsibilities like maintaining welfare
measures, safety measures, training schemes, working hours, payment of
rewards etc.
(3) After the nationalisation of banks, the
Government advised all nationalised banks to appoint employee directors
to their Boards one representing employees and the other representing
officers having tenure of 3 years.
The scheme required verification of Trade Union Membership,
identification of the representative union and the selection of a worker
The objectives of Joint Management Councils are as follows :
The requirements are :
Functions :
The following are the important functions of JMCs :
Worker Directors (1970) :
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director who is chosen out of a panel of three names furnished to the Govt.
by the representative unionwithina prescribed period.
(4) The 1975 scheme has come
into existence after the emergency has declared in June 1975.It has
envisaged the setting up of shops councils at the shop/departmental level
and joint councils at the enterprise level.
These were to be introduced in manufacturing and mining units
employing 500 or more workers whether in public, private or co-
operative sector.
It was decided that the Council shall function for two years and will meet
regularly to discuss matters relating to the following factors:
Safety
Discipline
Physical working conditions
Welfare measures
Productivity norms and targets
Absenteeism
Flowof communications etc.
It was also decided that the joint Council having a tenure of 2 years shall be
constituted for an enterprise consisting of representatives of both the
management and the labour.
The Chief Executive shall be the Chairman of the Council and the
representatives of workers shall nominate the Vice Chairman.
The Council will meet once in a quarter to discuss matter that remains
unsolved by shop councils including:
Schedules of working hours,
Holidays,
Optimumuse of material,
Productivity standards,
Training facilities to develop skills of workers,
Awards to workers for creative suggestions,
General health,
Safety and welfare of workers, etc.
(5) Quality circle is made up of a small group of people
belonging to the same department of an organisation, who after receiving
training take up solving quality and productivity related problems of their
units. In Japan, a QC is a group of about ten employees within a single
company department. QC is a good example of group work and WPM to
increase the per-capita productivity and for making better quality and
humanrelations inany work environment.
Shop and Joint Councils (1975 and 1977) :
Quality Circles (QC) :
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Q. What is Trade Union? Explain its features, objectives &functions?
Definition of Trade Union :
Features of trade unions :
Objectives of Trade Union:
Ans. Section 2(h) of the Trade Unions Act, 1926
has defined a trade union as Any combination, whether temporary or
permanent, formed primarily for the purpose of regulating the relations
between workmen and employers, or between workmen and workmen, or
between employers and employers, or for imposing restrictive conditions on the
conduct of any trade or business, and includes any federation of two or more
trade unions.
In this definition the relationships that have been talked about are both
temporary and permanent.
Then this definition talks about three relationships. They are relationship
betweenthe :
Workmenand workmen
Workmenand employers
Employers and employers.
A trade union is a continuous association of workers which is formed with the
purpose of protecting the interests of workers.
I. It is anorganisationformed by employees or workers.
II. It is formed on a continuous basis. It is a permanent body and not a casual
or temporary one.
III. It is formed to protect and promote all kinds of interests economic,
political and social-of its members. The dominant interest with which a
unionis concerned is, however, economic.
IV. It includes federations (association) of trade unions also.
V. It achieves its objectives throughcollective actionand group effort.
Workers organize themselves in the form of a union to achieve the following
goals :
a) To improve the economic lot of employees by securing for them better
wages.
b) To secure better working conditions for the workers.
c) To secure bonus for the employees fromthe profit of the concern,
d) To resist schemes of the management which reduce employment, e.g.,
rationalisationand automation.
e) To secure welfare of employees through group schemes which give benefit
to every employee.
f) To protect the interests of employees by taking active participation in the
management.
g) To secure social welfare of the employees.
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h) To secure organizational stability, growth, and leadership.
Broadly speaking, trade unions performtwo types of functions, viz.,
(i) Militant functions
(ii) Fraternal functions,
One set of activities performed by trade unions leads to
the betterment of the position of their members in relation to their employment.
The aimof such activities is to ensure adequate wages, secure better conditions
of work and employment, get better treatment fromemployers, etc.
Fraternal Functions : Another set of activities performed by trade unions aims
at rendering help to its members in times of need, and improving their
efficiency. Trade unions try to promote a spirit of cooperation and promote
friendly relations and diffuse educationand culture among their members.
They also arrange for legal assistance to its members, if necessary. Besides,
these, they undertake many welfare measures for their members, e.g., school
for the education of children, library, reading-rooms, in-door and out-door
games, and other recreational facilities.
(a) Intra-mural activities
(b) Extra-mural activities
(c) Political activities.
These consist of those functions of the unions that
lead to the betterment of employment conditions such as ensuring adequate
wages and salaries, etc. for which the methods adopted may be collective
bargaining, negotiations, strikes, etc.
These activities help the employees to maintain and
improve their efficiency or productivity, e.g., measures intended to promote a
spirit of cooperation, promote friendly relations, and diffuse education among
members and various other types of welfare measures.
Modern trade unions also take up political activities to
achieve their objectives. Such activities may be related to the formation of a
political party or those reflecting an attempt to seek influence on public policy
relating to matters connected withthe interests of working class.
Criticismof Trade Unions by the Employers
The employers have subjected trade unions to severe criticism. Some of the
charges are as under:
I. Lack of education makes the workers narrow-minded, and prevents them
Functions of Trade Unions :
Militant Functions :
Another broad classification of the functions of unions may be as
follows :
Intra-mural activities :
Extra-mural activities :
Political activities :
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from taking long-term views. Thus, anything, which does not result in an
immediate reward, becomes unattractive to them. This attitude is
responsible for many strikes and lock-outs inindustrial concerns.
II. Trade unions may not welcome explaination and improved methods of
production for the fear that some of the workers will be put out of work.
Therefore, they resort to go slowpolicy that retards industrial progress.
III. When labour unions strike because of illogical grounds, incalculable
losses occur to producers, community and the nation. These are harmful
to the workers also. They suffer because of the loss of wages.
IV. They create artificial scarcity of labour by demanding that only union
personnel should be employed.
V. By undue insistence on the payment of standard rates of wages, they have
only leveled downthe earnings of the efficient workers.
Ans.
I. The individual employee possesses very
little bargaining power as compared to that of his employer. If he is not
satisfied with the wage and other conditions of employment, he can leave
the job.
II. The desire for self-expression is a
fundamental human drive for most people. All of us wish to share our
feelings, ideas and opinions with others. Similarly the workers also want
the management to listento them.
III. The decisions regarding pay, work, transfer,
promotion, etc. are highly subjective in nature. It may rate you very
differently as compared to your marketing. Similarly the personal
relationships existing between the supervisor and each of his
subordinates may influence the management. Thus, there are chances of
favouritisms and discriminations.
IV. he employees may join the unions because of their
belief that it is an effective way to secure adequate protection fromvarious
types of hazards and income insecurity such as accident, injury, illness,
unemployment, etc. The trade union secure retirement benefits of the
workers and compel the management to invest in welfare services for the
benefit of the workers.
V. The employees can participate in management
of matters affecting their interests only if they join trade unions. They can
influence the decisions that are taken as a result of collective bargaining
betweenthe unionand the management.
Q. What are the impotant forces that make employees joina union?
The important forces that make the employees join a union are as
follows :
Greater Bargaining Power :
Make their Voices Heard :
Minimise Discrimination :
Sense of Security : T
Sense of Participation :
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VI. Many employees joina unionbecause their co-
workers are the members of the union. At times, anemployee joins a union
under group pressure; if he does not, he often has a very difficult time at
work. On the other hand, those who are members of a union feel that they
gain respect in the eyes of their fellowworkers. They can also discuss their
problemwiththe trade unionleaders.
1. The IndianNational Trade UnionCongress (INTUC)..
2. The All India Trade UnionCongress (AITUC).
3. The Hind Mazdoor Sabha (HMS).
4. The United Trade UnionCongress (UTUC).
5. Centre for IndianTrade Unions (CITU).
Ans.
I. The trade unionisminIndia is characterised by uneven
growth, both industry-wise and area-wise. Trade unions are popular in
big industries and the degree of unionisation varies widely from industry
to industry. Besides, trade union activities are concentrated in a few
states and in bigger industrial centers mainly due to concentration of
industries inthose places.
II. The number of trade unions in India has
increased considerably. But this has been followed by the declining
membership per union.
This is due to the reason that any seven workers any form a union under
the Trade Unions Act, 1926 and get it registered. Secondly, the rivalry
among the leaders of trade unions has resulted in multiplicity of unions,
there by reducing the average size of membership per union.
III. There exist several trade unions in the same
establishment. The multiplicity of unions is the result of outside
leadership and labour laws. The law permits and gives sanctity to small
unions. Any seven persons can forma union under the Trade Unions Act,
1926. This Act confers rights on such a union. It is allowed under the Act
to raise disputes, file suits, go to conciliation and even bargain with
employers. Therefore, small sections of workers are encouraged to form
separate Unions. There is no restriction on the number of unions to be
registered inone establishment.
IV. Trade unions in India are led largely by people who
themselves are not workers. These outsiders are politicians, intellectuals
and professionals having no experience of work in industry. Outsiders
continue to dominate the trade unions to advance their personal interests.
Sense of Belongingness :
Five important central organisations of workers inIndia are
Q. What are the problems &weaknesses of trade union inIndia?
The problems and weaknesses of trade unionism in India are as
follows :
Uneven Growth :
Limited Membership :
Multiplicity of Unions :
Outside Leadership :
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The existence of outside leadership has created the following problems:
Financial Problems :
Indifferent Attitude of Workers :
Afewsuggestions for the development of such unions are :
One Union in One Industry :
Development of Leadership from Within :
Recognition of Trade Unions :
Since outsiders have links with political parties, they give greater
importance to the interest of their political parties. At times, they do
not mind sacrificing the interest of their followers for the achievement
of political ends.
Their approach towards labour problems is coloured by political
considerations. This hampers the growth of healthy employer-
employee relations. When there is an industrial dispute, the leaders
try to solve it through political pressures and interventions. This
naturally obstructs the growth of understanding and
accommodationbetweenworkers and employers.
Outsides leaders are responsible for the creation of multiple unions,
in case they are not satisfied with other union leaders, they would
leave that union formanother rival union in the same plant. Such an
approachkills the solidity and solidarity of trade unionmovement.
V. The financial position of the trade unions is weak
because their average yearly income is very lowand inadequate.
VI. In India, a large number of workers
have not joined any union. Moreover, all the members of the trade unions
do not show interest in their affairs. The attendance at the general
meetings of the unions is very low. Under such circumstance, trade
unionismcannot be expected to make muchprogress.
I. Multiplicity of unions in the same plant
leads to inter-union rivalry that ultimately cuts at the root of the trade
union movement. It weakens the power for collective bargaining and
reduces the effectiveness of workers in securing their legitimate rights.
Therefore, there should be only one unioninone industry.
II. It is of crucial importance
that trade unions are managed by the workers, and not by outsiders.
Leadership should be developed from within the rank and file of the
workers.
III. Till recently, the employers refused
recognitionto the trade unions either onthe basis that unions consisted of
only a minority of employees or two or more unions existed.
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JAN 2009
JULY 2008
UNITI
UNITII
UNITIII
UNITIV
UNITI
UNITII
UNITIII
1. What is the difference between personnel management and HRM? Explain
the functions of HRM.
2. What is policy? HowHRpolicies are framed and implemented?
3. What is the difference between recruitment and selection? Explain the
process of selection.
4. Explainthe following :
a) Successionplanning
b) Managing organisational renewal
5. What is job evaluation? Explainthe metods of job evaluations.
6. Define performance appraisal. Explain modern techniques of performance
appraisal.
7. Define trade unions. Why employees join trade unions? Explain the problems
of trade unions.
8. Give a comprehensive note onemployee participationand empowerment.
1. Discuss the objectives of HRM. Howhas the role of HR manager changed with
the change inenvironment?
2. Explain the importance and process of human resource planning (HRP). How
does it help inachieving corporate objectives?
3. How can HRM attract right persons? What should be the major
considerations inselecting manpower?
4. Differentiate between career planning and succession planning. What role
can HRM play in career planning of its manpower and how does HRM benefit
fromit?
5. Discuss in detail the determinants of pay rates and the mechanism of pay
fixation.
Past Year Question Papers
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100
6. Write a detiled note on various employees benefits and services. Should they
be performance based?
7. What is the importance of industrial relations for an organistions? What role
cantrade unions play inmaintaining good industrial relations?
8. Write notes on(i) Industrial Disputes (ii) Grievance Handling Mechanism
1. What do you mean by HRM? Explain managerial and operative functions of
HRM.
2. Define human resource planning. How can HRP be integrated with corporate
objectives?
3. Define job analysis. Explain various methods of doing job analysis in the
organizations.
4. What is the difference between training and development? Critically evaluate
the training methods.
5. What is compensation? While explaining the aims, comment on factors
determining compensation.
6. Define performance appraisal and potential appraisal. Critically evaluate 360
degree feed back method of performance appraisal.
7. What are the causes of industrial disputes in India? Explain the machinery
available for dispute resolution.
8. Explainthe following:
i) Employee grievances and discipline
ii) Employee empowerment.
1. Define the status of HRMin changing environment due to globalization. Does
this environment is a challenge for HRM? Comment.
2. How does human resource planning constitute a change in corporate
objective? Explain.
3. Describe the methods of manpower search. Explain which methods is more
effective and why?
Ans. Methods of Manpower Search
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4. Distinguish between career and succession planning. Does it make any sense
for organisational renewal?
Ans. Reference Q. 4 July 08 (HRM)
5. What are aims and objectives of compensation? How it help organisation to
achieve its objective?
6. Describe the concept of potential appraisal. How are differ from performance
appraisal? Comment.
7. What is the content and contest of industrial rel. Explain its role in managing
industrial disputes.
8. Write short note onthe following :
a) Forms of employee empowerment
b) Types of employee grievances
1. What is human resource planning? How does it change corporate objectives?
Comment.
2. Describe the role of HRPractitioner inmanaging organizational change.
3. What is job analysis? Explain its objectives and significance for the
organization.
4. Distinguish between career and succession planning. Why it is necessary for
organizational renewal? Comment.
5. Enumerate the factors determining Pay rates inanmultinational company.
6. Write short notes onany two of the following :
i) Concept of 360 degree feedback
ii) Objectives of job classification
iii) Nature of Potential appraisal.
7. Describe the concept of industrial disputes and suggest strategies to solve the
disputes.
8. Explain the forms of employee empowerment and give reasons to implement
themfor better results and relations.
1. Describe the concept of Human Resource Management and explain its
significance to modernmanagement.
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2. What is the role Human Resource practitioner in selecting personnel for
different positions inthe organization.
3. What is the difference between job description and job specification? How
does it help injob analysis?
4. Write short notes onthe following
a) Socializationand Induction
b) SuccessionPlanning
5. Explain the important components of compensation. How do they motivate
people?
6. What is potential appraisal? Howdoes it differ fromperformance appraisal?
7. What is industrial democaracy? Explain its importance to maintain
industrial relations inorganization.
8. Describe the role of a trade unioninsetting dispute inanorganisation.
1. Explain the role of HR in changing business environment. Also define skills
required for HRpractitioner to cope up withthe change.
2. What are objectives and funtions of HR? Explainthemindetail.
3. What is succession and Carrer Planning? Explain its objectives and
significance.
4. Define the concept of Training. Explain its role and significance for
manpower.
5. What is Performance Appraisal? Explainits objectives and scope.
6. What factors play important role in determining pay rates in a multinational
organization?
7. What do you mean by industrial Democracy? Howdoes it maintain reltaion in
anorganization?
8. Write short notes onthe following :
a) Strategies for settlement of Industrial Disputes
b) Employee Empowerment
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Based on Latest Syllabus of MBA prescribed By

Maharshi Dayanand University, Rohtak (DDE)

Scope of Job Analysis :

But some common mistakes are generally made incampus recruiting :

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