INTRODUCTION TO HUMAN RESOURCE MANAGEMENT

1. INTRODUCTION TO HUMAN RESOURCEMANAGEMENT BY NISHA HARIYANI

2. According to Adi Godrej,“all corporate strengths are dependent on people.”

3. Human Resource Management • ‘The real sources of competitive leverage are the culture and capabilities of your organization that derive from how you manage your people.’

4. Points to Ponder • Definition and Concept of HRM • History of HRM • Functions of HRM • HR Policies and Procedures • Emerging Role of HRM • Role of HR Executives • Challenges to HR Professionals • Strategic HRM

5. Human Resource Management • “HRM is the function performed in organizations that facilitates the most effective use of people to achieve organizational and individual goals.” • Ivancevich and Glueck

6. History of HRM - 1 • Scientific Management Approach (mid 1900s) – • Study of motion and fatigue • ‘one-best-way’ to accomplish the task • Piece-rate system • Welfare programmes • Failed to bring behavioural changes and increase in productivity • Human Relations Approach (1930-40) • Effect of social and psychological factors • Relations and respect  High Productivity

7. History of HRM - 2 • Human Resources Approach (1970s) • Principles • Employees are assets • Policies, programmes and practices - help in work and personal development • Conducive environment

8. Challenges of HRM • Individuals differ from one another • Customization of stimulation and motivation • Demanding personnel

9. Functions of HRM - 1

10. Functions of HRM - 2

11. Emerging role or HRM • Value of Human Resource • Competitive advantage • Human Resource Accounting – It is measurement of the cost and value of people for an organization

12. ROLE OF HR EXECUTIVES • Service provider • Executive • Facilitator • Consultant • Auditor

13. Challenges to HR Professionals • Worker productivity • Quality improvement • The changing attitudes of workforce • The impact of the government • Quality of work-life • Technology and Training

14. Organizational Structure & HRM

15. What structure signifies? No directions Leads to confusion Chaos Why??????????? Why structure ???

16. MAIN POINTS OF CHAPTER • Organizational Structure and Human Resource Management • Formal and Informal Organizations • Tall and Flat Organizational Structures • Responsibility, Authority and Accountability • Line and Staff Functions • Human Resource Management and other Organizational Functions

17. Rigid structure Employees are tied by rules & regulations High degree of centralization Suitable for operating in static environment Decision-making is done by superiors Ex: Public sector in the pre-reforms era Flexible structure Employees are not tied by rules & regulations Decentralized style of management Suitable for operating in dynamic environment Decision-making is done by junior level employees also Ex: Marico`s Saffola Mechanistic Vs organic organization

18. Formal organization Informal organization Chess group Informal organization Bowling team

19. Tall Vs Flat structure COO PM PM PM PM Team Lead Team Lead Team Lead Team Member Team Member Team Member Team Member TALL STRUCTURE FLAT STRUCTURE

20. RESPONSIBILITY, AUTHORITY & ACCOUNTABILITY • Responsibility: It is the obligation of a manager to carry out the duties assigned to him. • Authority: It refers to the right to give orders and the power to exact obedience from others in the process of discharging responsibility. • Accountability: The employee's answerability on using the authority in discharging the responsibility is termed accountability.

21. Departments or employees of a firm that perform core activities Contributes directly to the business of the firm Ex: Manufacturing and Marketing departments Departments or employees of a firm that perform a support function Contributes indirectly to the business of the firm Ex: HR and Finance departments LINE AND STAFF FUNCTIONS

22. Line & Staff Relationship Traditional concept Service oriented firm Which are line and staff functions Both needs to support each other

23. Line staff conflict • Understand market & organization • Be empathetic • Build trust and transparency • Win – win approach Different perception HR professional to bring change

24. The Role of Human Resources Department As a specialist As a facilitator As a change agent As a controller

25. HUMAN RESOURCE MANAGEMENT AND OTHER ORGANIZATIONAL FUNCTIONS Product & HR Production & HR Marketing & HR Management Techniques & HR Organization structure & HR

26. summary • Organizational Structure and Human Resource Management • Formal and Informal Organizations • Tall and Flat Organizational Structures • Responsibility, Authority and Accountability • Line and Staff Functions • Human Resource Management and other Organizational Functions

27. Think before others think

28. Human Resource Planning

29. Point to ponder • Definition of Human Resource Planning • Objectives of Human Resource Planning • The Process of Human Resource Planning • Managing the Forecasted Demand/Surplus • Growing Importance of Human Resource Planning

30. Opening case • HRP??? NO, Thank you • A reputed south Indian university appointed 218 people on temporary basis and paid them Rs 750/month later increased to 1575/month. • University already had surplus of these employees eating away 22% of budget allocation • 33% of temporary staff already working for 10 years • No laid down procedure for recruitment or appointment, go to vice chancellor and get your name scribbled on it and your are taken in

31. They then realised the guilt of violating Equal Remuneration Act and supressing human rights What to do with this 218 temoparay staff...?? University can dismiss services of 33% as there have been breaks in their services. Will they take it????? While 67% of temporary staff, university can not terminate them, as there were no breaks University decides to regularize their services, with 50 available vacancies This would cost the university an exra expenditure of Rs 30 lakh/year. And 1.2 crore for rest remaining...

32. Human Resource planning Right number Right Skills Right Time Right Cost

33. HRP defined • Process of anticipating and making provision for the movement of people into, within, and out of an organization

34. To maintain To forecast To optimize To utilize Objectives of HRP Right Time Right number Right Skills Right Cost

35. HRP at different planning levels • Corporate – level planning • Intermediate – level planning • Operations planning • Planning short-term activities

36. Organizational plans and objectives Identify future human resource requirements HUMAN RESOURCE PLANNING MODEL Compare with the current HR inventory Determine the numbers, levels & criticality of vacancies Determine the redundant numbers Analyze the cost & time involved in managing the demand Analyze the cost & time required for managing surplus Choose the resources & methods of recruitment Redeploy Retrench

37. Assessing current human resources and making inventory • Job analysis • HR inventory – HRIS • Generate a fairly accurate picture existing situation

38. Forecasting • Compare future needs with current availabity • Analyze companies change plan • Forecasting methods used are Time Series Analysis, Regression Analysis and Productivity Ratios

39. Matching the inventory with future requirements • If the current inventory exceeds the future requirements • Natural attrition cannot bring down resource to match • What to consider then????

40. MANAGING THE FORECASTED DEMAND / SURPLUS Managing future demand Managing Future Surplus

41. Dealing With Surplus Manpower Retrenchment outplacement layoffs Leave of absence without pay Loaning

42. Work Sharing Reduced work hours Early/voluntary retirement attrition

43. Growing importance of HRP

44. Thank you