Tuesday, October 30, 2007

Human Resource Development and Management


Necessity of Work Force: -
We need capital for economic activities. It is a general belief that shortage of capital creates bottleneck for industrial development of a country. However, it is not so. The question is can an organization function without experienced, knowledgeable, dedicated and motivated work force? Bottleneck arises due to inability on the part of organization to recruit and maintain a good and qualitative work force. It is the human capital, which is important. It is man that makes money. Money does not make man.
Machines have made in road in the organizations, they are tools in the hands of man .It is the man behind the machine continues to play the crucial role. People are our most valuable asset, which is never shown as an asset side in the balance sheet of an organization, although a great amount of money is invested on this. What we see in the profit and loss in the balance sheet are the expenses incurred on human resources. When we consider human as a cost, it is obviously a liability, and when we treat expenses on human as investment, they are asset.
Need for Human Resource Management:
In the era of intensified global competition, deregulation when technical advances have triggered an avalanche of change, the future belongs to those who can best manage change. For managing change, committed and dedicated employees who can do their job with excellence are needed.
Human resource practices and policies play vital role in fostering employees’ commitment.
Organizations, which have understood the real importance of human resource, have developed appropriate human resource management policies. The high level of the performance of most of the Japanese firms can also be traced in their effective HRM practices. In our country those organizations, which have taken proactive approaches in human resource management, have greatly benefited in terms of organizational effectiveness.
Human resource Management is necessary for managing human potentials in productive manner and getting best out of the workforce. It is maximum utilization of their abilities, potentialities and dormant energy. It is managing people for getting the best out of them, developing their talents, creating opportunities for their growth, promoting positive contribution to their institution.
Role of Human Resource Management:
Human resource management plays important role in any organization. It helps in improving efficiency and productivity by adopting best practices, which ultimately motivates and boosts morale of the work force. It is analyzing each job role and understanding the key performance areas of a particular job and diagnosing the grey areas for taking remedial action for betterment of the workforce and the organization. It helps in:
1.Allocating right job responsibility to employees keeping in view their talent, ability, interest, knowledgeand experience. 2.Eliminating role ambiguity and role overlapping. This helps in utilizing the potentials to the fullest extent. Employees develop feeling of satisfaction, sense of achievement and enhance their morale. 3.Job rotation, job enrichment and jobs design. This generates interest in work. Staff members learn higher skills and new capabilities for shouldering higher responsibilities. It also enhances their decision-making capabilities and responsibilities.
4.Finding out why people avoid or shirker work, treat job as burden, and alienate, reasons for absenteeism, employee frustration, demotivation, and hostility so that corrective measures can be taken.
5.Knowing what motivates employees and to keep employees motivated.
6.Knowing the environment at the place of working attitude and approach of superior and their style of leadership.
7.Developing the staff in their job role and in finding out the methods for improving skills
8.Deciding proper reward and punishment, compensation to the work force and ensuring salary withjob and responsibility.

It would thus be observed that human resource management is channelising human potentialities for maximum out put for getting profitable returns. It is developing skills in performing duties, responsibilities, and functions with excellence and improving quality of work force.
Man Power Planning: -
Manpower planning envisages estimation, acquisition, developments and optimum utilisation of manpower resources. It is a known fact that both understaffing and over staffing are dangerous for an organization. Whereas, understaffing adversely affects business, customers, productivity and exposes staff to stress, overstaffing creates job ambiguity, conflicts, reduces productivity, competitive efficiency and increases expense.
Man Power Planning is the process that helps in identifying the types of personnel required for the organization, which leads to recruitment and selection.
It is planning for staff requirement and their optimal utilization. It is assessing the existing staff strength in terms of gaps in job knowledge, expertise developed, types of jobs performed and to take corrective measures for staff utilization.
Human Resource Management in Banks?
Human Resource Management is an essential integral part of every organization. It is the process of attracting, holding and monitoring people. Getting results through people is the name of the game. Human resource management is actually a conglomeration of several sub systems, which are continuously interacting with each other. Failure of any of the sub systems can cause damage to performance effectiveness.
At the time of Nationalisation of banks in July 1969, it was thought to have better quality of staff in the industry for carrying out banking functions more efficiently and effectively. With this in view, systematic and scientific selection process was adopted to recruit better personnel both in clerical and officers level. Banking Service Recruitment Boards were established. Banks recruited large number of highly qualified persons many of them with postgraduate qualifications in clerical level. However, due to improper utilization of human resource and improper manpower planning and failure on the part of HRM policies i.e. placement, transfers, career progression path ways, proper training, and on the job utilization, the recruits could not be utilized in the desired manner which resulted in frustration and low level of performance. Employees became more attracted to off the job activities than to on the job activities. This had direct impact on the behaviour and attitude of the staff members.
Human Resource Management Functions:
Human Resource Management can be broadly classified in to following basic functions
1.Employment Function
2.Compensation function
3.Training and developmental Function
4.Labour relation function
5.Administrative
6.Preventive
1.Employment Function:
This relates to hiring, recruitment and selection of right people for the job. It is finding out the type of personnel required by the organisation. Whether it needs specialized or technical or general category of staff. Before starting recruitment and selection process, job analysis is done to find out the kinds of people needed to manage and run the organization and to meet objectives? It is deciding the qualities, attitudes and characteristics applicants should possess. It has to be ensured that while recruitment equal opportunity is to be given to all. No discrimination on the basis of cast, creed and sex is to be done. Government guidelines on reservation to be adhered. Thereafter system and procedure for recruitment and selection is decided. A few of them are enumerated below.
1.Whether fresh recruitment is to be done or internal promotion is to be done.
2.What will be the method of recruitment or selection?
3.Whether it will be by way of campus selection, or by advertising through media and the job description to be written while advertising.
4.Whether it will be by way of poaching i.e. by attracting staff with high reputations from existing employers or competitor’s.
5.What will be the package?
6.Whether recruitment and selection will be done by external expert consultants or by internal team.
7.Whether written test would be for assessing aptitudes, general intelligence or testing special knowledge.
8.Whether there should be group discussion for ascertaining personal skills, Leadership style, Group dynamics and problem solving capabilities.
9.Finalizing interview panel and interview schedule.
2.Compensation function:
For providing uninterrupted qualitative service, an organization has to retrain staff, and for this it has to have proper reward, appraisal and communications systems. Compensation functions include deciding pay, benefits and perquisites to employees. Deciding whether compensation should be linked with performance or it should be flat, whether it should be a running scale or should be linked with the position in the organizational hierarchy. On promotion from one grade to another what would be the system of fitment?
3.Training and Developmental Function:
This deals with developing human resource within the organisation. People joining an organization come from different walks of life with different culture, beliefs, knowledge, background values, and skill. Training brings them closer to the organization’s expectations. It is usually provided through the induction and orientation processes. This helps the employees to adjust to their social –space relationships. Training is the systematic development of the attitude, knowledge, and skill required in performing the job efficiently. Most people in the organisations have inherent desire to enhance the quality of their lives by learning more for better performance and career development. Training increases efficiency, productivity and standards of performance, and enhances decision and risk-taking abilities of the work force. It is also a source of inspiration and motivation. For imparting training areas of requirement of the organization is decided and the blue print of course contents is designed. It is decided whether work force need technical, operational supervisory or training in some special area. It is also finalized whether the staff members are to be trained in-house or they are to be provided external training or on the job training.
Other developmental functions include promotion, performance appraisal, career progression planning, career budgeting, and succession planning.
4.Labour / Industrial relation function:
The employees, trade unions and management are the three major players in industrial relations. Labor Relations focuses on relationship between the management and employee unions. Unions act as a bridge between the work force and the management. They try to help in building trust and in developing cordial relations. They represent workers and helps in collective bargaining and in voicing grievances of workers.
When industrial relations develop strains, government intervenes for averting situation of conflict between the management and the workers and plays meditative role through the framework of Industrial Disputes Act. Industrial Disputes Act is an effective grievance redressal system.
Responsibilities of Human Resource functionary in industrial relations vary from organization to organization. However he has to keep himself abreast of industrial law and to keep advised the field functionaries about their responsibilities and legislative requirements.
5. Administrative:
Administration is the process of organising people and resources efficiently and directing activities toward corporate goals and objectives. It consists of wide spectrum of activities, which includes transfers, assigning higher responsibilities, building employee commitment etc. The whole objective is marinating employee discipline, implementation of management decisions, policies for proper and efficient utilization of resources.
Output of an institution depends on the quality of its personnel. Therefore, the emphasis of administration is to make the organisation attractive enough to get most suitable personnel and to provide measures, which will maintain their levels of excellence and will also meet their expectations.
6.Preventive:
This deals with cordial human relations, improving organisational culture, and creating an environment of mutual trust and respect. It basically deals with grievance management, counseling and motivation.
Grievance handling:
A grievance is generally against an authority however; it can also be against an individual manager or supervisor, another employee, or a group of employees.
It is a complaint about a managerial decision, act or omission or injustice or wrong related to work or the work environment such as the abuse of employee rights, denial of a promotion, an improper transfer or dismissal without cause, discrimination, harassment, bullying, victimizations, or any other forms of treatment which the person feels, is unfair or unjustified.
Grievance management is the process by which an individual can air complaints about work-related problem and seek remedies. It is a constructive way of dealing with individual and group grievances. It helps in the preventing disputes and employee frustration.
All grievances are to be dealt with as quickly as possible and within a fixed time frame. All parties to a grievance are to be given a chance to put their case and be heard. Those investigating the matter should be impartial. Relevant information is to be collected and considered in the resolution of the grievance.
Counseling:
Counseling is talking with a person in a way that helps him or her solve a problem. It is an effective system for discussing the problem that usually has emotional content with an employee and helping him in coping with the problem and improving his mental health. Counseling is an art. It understands human psychology, nature, and implementing compassion, and kindness.
There are two type of counseling. Theses are directive and nondirective. In directive counseling, the counselor identifies the problem and tells the counselee what to do about it. In nondirective counseling the counselee identifies the problem and determines the solution with the help of the counselor. The counselor determines which of the two, or some appropriate combination will be suitable.
Steps for counseling:
Before starting the process of counseling the problem, its causes are to be found out. On that basis it becomes easy to determine what forces influences worker’s behavior and which of these forces you have control over and which of the forces the worker has control over. Counseling session is accordingly planned, coordinated, and best time to conduct the session is decided. The session is to be conducted with sincerity, compassion, and kindness. The person must be heard and his problem solved. Let the person know that you care about him as a person. All facts must be looked into for taking action to correct the problem. Person should not be humiliated in front of others. Counseling is to be conducted in camera immediately after noticing the undesirable behavior. The person should be informed about his undesirable behavior. Do not hold a grudge after the counseling is over.

1 comment:

Productivity Guy said...

Companies need high quality, loyal and engaged employees, but experience may be overrated. I've seen several non-experienced employees outperform quality, experienced employees, and look at Google - they purposely hire non-experienced people to head up whole products, and it seems to be working out for them.

Erik
The Institute for Corporate Productivity