Tuesday, December 18, 2018

Introduction to Human resources Management


Introduction to Human resources Management

Human resources management is another function within an organization that focus to maximize employee performance in order to meet the employee’s strategic goals & objectives. It is providing direction for the people.

Human resources management is the organizational function that deals with issues related to people such as compensation, hiring, performance management, organizational development, safety, wellness, benefits, employee motivation, communication, administration, and training.

HR is essentially crucial in today’s contemporary organizations because it induce high-performance management through the use of employees; by enhancing their levels of customer’s service, productivity, growth, profits and quality control (Armstrong, 2000).

Elton Mayo, psychologists from Australia did numerous researches, experiments on human behavior at different situations. Work life balance & human relations will increase the productivity of employees (Mayo, 1924).

According to Mayo’s conclusion, in an every working environment human being has to work under stresses, pressure who is working with other human. So that, Arguments, clashes ideas may be occurred among the peoples. Finally, Organization will face various people’s disappointments and it will be directly affected to productivity & efficiency.
Through Human resources management, attentively studies about human behavior and according to situation given proper solution for the human in the organization. At the any problems among the peoples, direct involvement of the Human resources management can make their wok life balance and to be increased further human relations. Ultimately, Productivity & Efficiency of the employees will increase within an organization.

Objectives of Human resources management

v  Effective utilization of Human resources
v  Maximum individual development
v  Desirable working relationship among all members of the organization.
v  Defining Organizational Structure And Driving Productivity

The purpose of Human Resource Management lies in successful utilization of people to attain specific as well as organizational goals. This includes both the personnel (i.e., hiring employees and upholding employee information); and payroll function (retaining the employee information associated with employee payment). Human Resource Management typically means to engage, improve and preserve sufficiently capable employees, to implement the activities essential to achieve organizational aims.
                                                                                    Bhattacharyya, B (2016)

Human resources Management Goals

v  To meet the need of the business & Management.
v  To link human resources strategies to the business goals & objective
v  To find way for human resources to “Add value” to a business
v  To help a business gain the commitment of employees to its values, goals and objectives.


Functions of Human Resources Management

1.    Planning
2.    Staffing ( Recruitment & selection)
3.    Training & Development
4.    Employee Motivation
5.    Performance Appraisal
6.    Compensation Planning and Remuneration
7.    Grievance Management
8.    Welfare
9.    Health & Safely
10.  Employee retention

1)    Human Resources Planning

Human resources planning is to forecast that no of employees will required and what kind of position will required in the future within an organization. It is involved to make decisions regarding these functions by Human resources manager who assists to recruit, retain and optimize the deployment of the personnel needed to meet business objective and goals. And also, directly, involves carrying out a skill analysis of the existing workforce, carrying out manpower forecasting, and taking action to ensure that supply meets the demand.
2)    Recruitment & Selection

Recruitment is the process establishing the best & most qualified a suitable pool of candidates from which final selection is made. It is one function whole Human Resources function and which is a continuous process in an organization. Recruitment methods are as below
                     I.        Internal recruitment
                    II.        External recruitment

Selection is most suitable applicant is chosen from applicant pool. It is final decision making about pool candidates, after list of people who are interested in obtaining the job. Selection methods are;
                     I.        Interview
                    II.        Test
                   III.        Competitions
                   IV.        References checking

3)    Training & Development

Training & development is an important method for a business to improve the performance of employees. There are two method of training & development.
A.    On-the-job training
B.    Off-the-job training

4)    Performance Appraisal

Employees have a good understanding about the company’s goal & objective and they are doing their duties as the best as individual or team to achieve finally organization’s goal. The company should have a good understanding about each employees’ abilities, Skills and knowledge, Strategies (etc) when they are playing their role in the organization. A systematic evaluation method for performance of employees should be done to have an understanding of the abilities of the resources for future growth and development. It is
Performance appraisal in the organization.

5)    Compensation Planning and Remuneration

Compensation planning & Remuneration are directly affect to productivity & efficiency in the organization. It has various rules and regulations regarding compensation and related aspects are taken care of. It is the duty of the HR department to look into remuneration and compensation planning.


Conclusion
It is shown that HR is most important in the organization which is playing a big role to carry to achieve the goals and objective with Human resources. As a main character the HR Manager is influencing his/her subordinates to do HR functions as well as in the organization.


References




Saturday, December 15, 2018

The best performance appraisal method is 360 degree appraisal method.


What is performance of the employee?

Performance is good ranking of the employees according to their job role. It means, in a work place, if the employees can show skills, strategies, within own job responsibilities, it is performance. Every organizations try to manage the performance of each employee, team and process itself. With performing people, easily can be gone to achieve the goal by the organization.

Behavior that accomplishes result.
                             (Armstrong, 2017)
Assessment of performance entails evaluation of inputs and output
                                                                                       (Brumbach,1988)
Performance is the “outcome of three determinate”
v  Facts & things
v  How things are done
v  Motivation to them
(Armstrong, 2017)
Performance appraisal

Employees have a good understanding about the company’s goal & objective and they are doing their duties as the best as individual or team to achieve finally organization’s goal.         The company should have a good understanding about each employees’ abilities, Skills and knowledge, Strategies (etc) when they are playing their role in the organization. A systematic evaluation method for performance of employees should be done to have an understanding of the abilities of the resources for future growth and development. It is performance appraisal and following objectives are showing that why do we performance appraisal?

1)    To decide salary packages, increase in salary, pay structure etc of the employees. And also, further to motivate through the proper performance appraisal can be provided bonuses, variable allowances and benefits

2)    To identify of people’s strengths and weaknesses of the resources in order to put them at the right job. If have strengths, further to support to develop their strengths and if have weaknesses, further given advises and required resources to re-correct their weaknesses.

3)    At the right situation, Can be identified to keep hold of the training programs for the promotion of the employees.

4)    Appraisal can be called as a motivational tool for employees. By setting standards to achieve the targets, the employees are motivated to perform as well as to develop their performance in future.
5)    To understand the probable interests of the employees for future development.



Methods of Performance Appraisal


1.    Rating Scale Method
2.    Essay Appraisal Method
3.    Confidential Report System
4.    Ranking Method
5.    Critical Incident Method
6.    Confidential Report System
7.    Check List Method
8.    Graphic Rating Scale Method
9.    360 degree appraisal method

Introduction of 360 degree appraisal method
This method was first used from 1940 which is a system all the people are involved to get feedback about the employees. Required feedback is collected from managers, peers, subordinates, customers, suppliers, labors, etc. Usually, 360 degree appraisal method is used for employee’s middle & senior level. The complexity of their roles enables the organization to generate sufficient data from all stakeholders for a meaningful assessment.

There are four stages of 360 degree appraisal method.
1)    Self-Appraisal
2)    Superior’s Appraisal
3)    Sub-ordinates Appraisal
4)    Peer Appraisal

Coates (1996) discussed about the Multi source feedback and its recommendations. 360 degree feedback is a very effective process of feedback followed by development wherein technology has to be properly understood before implementing. The organization should be prepared for the implementation of the process keeping in view two important factors: skilled facilitator and maintaining confidentiality. The feedback leads to the developmental activities which should be timely followed up. Well researched and well-constructed survey items should be kept in mind so that separate developmental feedback form should be used for personnel and compensation decisions.

Taylor and Bogdan, (1998) were designed to capture participants’ reactions to the findings of the 360-degree survey component of the program. Discussion of expectations and conversation created by the 360-degree feedback process also creates opportunities for sharing and clarifying the organization’s values. Individuals question why they have particular expectations and why they have attitudes in particular ways (Waldman, 1998).


Advantages of 360 degree appraisal

v  Offer a more comprehensive view towards the performance of employees.
v  Such colleague’s feedback will help strengthen self-development.
v  Improve credibility of performance appraisal.
v  Opinions gathered from lots of staff are sure to be more persuasive.
v  Not only manager should make assessments on its staff performance but other colleagues should do, too.
v  The mix of ideas can give a more accurate assessment.
v  People who undervalue themselves are often motivated by feedback from others.
v  If more staff takes part in the process of performance appraisal, the organizational culture of the company will become more
v  Increases responsibilities of employees to their customers.



Brings people together

360-degree feedback, is one of the most valuable features of Agile Performance Management. As the name suggests, it provides feedback from all angles; that is from peer groups, to managers, to subordinates. As this communication comes from a variety of different sources it will contain a multitude of differing opinions and perspectives, which is of vital importance when looking for feedback. In a sense, it can be seen as more valid and objective as it is from such a varied audience.

Identifies development opportunities

As the feedback a person receives is most likely diverse, this provides a unique opportunity to uncover areas that may need development or open up gaps in knowledge that could be valuable. Such feedback can then be incorporated into personal development plans. This is very useful information that the individual may not have thought of on their own.

Core competencies adhered to

When a company introduces a 360-degree feedback as part of its performance management system, they can do so in a manner that relates to the company’s core competencies. These competencies reflect the organization’s standard for behaviors and interactions. When reinforced on a regular basis, they can have an impact in shaping your company’s culture. Making them a part of the performance management system means that individuals can receive feedback about how they act on and exemplify the organization’s core competencies in their daily performance, encouraging everyone to live and breath these ideals in everything they do.

On above mentioned advantages, can be said that “The best performance appraisal method is 360 degree appraisal method”

References

Department of Business Administration, Utkal University, Vanivihar, Bhubaneswar, Odisha, India.



Friday, December 14, 2018

Internal recruitment is more effective than external recruitment




What is Recruitment?

Recruitment is the process establishing the best & most qualified a suitable pool of candidates from which final selection is made. It is one function whole Human Resources function and which is a continuous process in an organization. Because of,
1)      Staff Departures,
              Eg:- Employee’s retirements/Sacking/ Employee’s Resignation
2)      Change in business Location (A relocation often triggers the need for substantial recruitment)
3)      Change in Business requirements
Eg:- New products/Markets/Expanded operations
4)      Promotions

Barber (1998) defines Employee recruitment as “practices and activities carried on by an organization for the purpose of identifying and attracting potential employees”. Many large corporations have employee recruitment plans that are designed to attract potential employees that are not only capable of filling vacant positions but also add to the organization’s culture.

According to Costello (2006) recruitment is described as the set of activities and processes used to legally obtain a sufficient number of qualified people at the right place and time so that the people and the organization can select each other in their own best short and long term interests.

Jovanovic (2004) said recruitment is a process of attracting a pool of high quality applicants so as to select the best among them. For this reason, top performing companies devoted considerable resources and energy to creating high quality selection systems. Due to the fact that organizations are always fortified by information technology to be more competitive, it is natural to also consider utilizing this technology to re-organize the traditional recruitment and selection process through proper decision techniques, with that both the effectiveness and the efficiency of the processes can be increased and the quality of the recruitment and selection decision improved.

Recruitment is becoming more & more important in business.it should be done very carefully. Because, always suitable people should be recruited for the company when fulfill the vacancy. Though right peoples cannot be recruited, Organization’s goal & objective will not be able to achieve as expected.  

Recruitment Methods

In an Organization, can be applied mainly two method for recruitment process. With new technology and the rise of social media new ways to recruit have emerged. Mainly, focused methods are;

Ø  Internal recruitment
Ø  External recruitment

Internal Recruitment

This refers to the filling of job vacancies form within the business-where existing employees are selected rather than employing someone from outside. A business might decide that it already has the right people with the right skills to do the job, particularly if its training and development program has been effective. Source of internal recruitment as below;

                                I.            Promotions
                             II.            Department internal exam
                           III.            Intranets
                          IV.            Employees recommendation
                             V.            Transfer
                          VI.            Internal advertisements
                        VII.            Staff meetings

External recruitment

The other way organizations often recruit is external. When a company is recruiting externally, they will often post their open job positions through several ways to outside. Nowadays social media also plays an important role in external recruitment. Another way to recruit externally is through referral of current employees. When recruiting externally, third parties may be used to outsource the recruitment process. Source of internal recruitment as below;

                                I.            Employment Agencies
                             II.            Job Centre
                           III.            Management consultant
                          IV.            Campus recruitment
                             V.            Advertising
                          VI.            Government funded training scheme
                        VII.            Walk in interviews

Why is internal recruitment more effective than external recruitment?

Source of Internal recruitment further explanation
Companies can give promotion to existing employees. This   method of recruitment saves a lot of time, money and efforts   because the company does not have to train the existing employee. Since the employee has already worked with the company. He is familiar with the working culture and working style. It is a method of encouraging efficient workers.
Internal advertisement :-
In this method vacancies in a particular branch are advertised   in the notice board. People who are interested are asked to apply for the job. The method helps in obtaining people who are ready to shift to another branch of the same company and it is also    beneficial to people who want to shift to another branch.

Employee recommendation:-
In this method employees are asked to recommend people for jobs. Since the employee is aware of the working conditions inside the company he will suggest people who can adjust to the    situation. The company is benefited because it will obtain.
Transfer:-
Many companies adopt transfer as a method of recruitment. The idea is to select talented personnel from other branches of the company and transfer them to branches where there is shortage of   people.
Staff Meetings:-
If there are vacancies to fulfill in the company, which is informed through the staff meeting. So that, if someone is interesting that position, who can apply and He/she has a good understanding about that position already.

Advantages of internal recruitment:

1.      Gives existing employees greater opportunity to advance their career in the business. It will be motivation factor not only opportunity taken employee, but also other employees. They will keep expectation to take somehow, suitable opportunity for them.
2.      May help to retain staff who might otherwise leave.
3.      Employee should know more about the internal candidate’s ability. A little competition will build up between internal candidates and company can select more efficient and most suitable candidate for the position.
4.      Requires a short introduction training period. If can be deployed an internal employee who knows about company’s nature and other persons behaviors and company vision & mission. No need to get extra effort for introduction about the organization to recruited persons.
5.      Usually, quicker & less expensive than recruiting from outside. When the company goes towards profitability should be considered about the cost also. If doing the external recruitment, an additional cost will have to be spent for the recruitment. To advertise about vacancies through several ways (Papers advertisement/Job bank/ Employment Agencies/ etc) and when candidates come to the interview at couple of days hidden cost will be seen at external recruitment. But if it is followed internal recruitment method relevant vacancies can fulfill from less expensive.
6.      Most important thing is time saving which can be seen at the internal recruitment. Because, If have any vacancy in the company, Suitable candidate can be deployed for the vacancy within short period. Right person already is in the company and no need take more time to be finalized about the relevant position & candidate. Already the company knows about him or her.



Disadvantages of external recruitment:

1.      The method is costly because it involves recruitment cost, selection, training cost.
2.      The method reduces loyalty to the company
3.      Some internal employee can be demotivate and it might be a reason of some employee’s responsibilities abandon.
4.      After the recruitment from outside, training programs have to be conducted for the new comers. It’s also additional cost and wasting the time.
5.      Without proper study about the candidate, though wrong person is selected for the vacancy, it will be directly effect to productivity. And also, if the company do not know about candidate’s bad behaviors and attitudes, its may be spread in other employee’s mind also. Ultimately it will be a disaster in the organization.

Above mentioned arguments show that internal recruitment is more effective than external recruitment.

References


Talent management is a strong tool to face the competition among the organization

What is talent management? Talent management is the function within an organization that focuses on Systematic attraction, identificat...