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1 STAFFING
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STAFFING
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Human Resource Management
The integration of all processes, programs, and systems in an organization that ensure staff are acquired and used in an effective way
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Human Resource Management (Contd.)
HR is multidisciplinary: It applies the disciplines of Economics (wages, markets, resources),Psychology (motivation, satisfaction), Sociology (organization structure, culture) and Law (min. wage, labor contracts)
What HR Professionals Do?
HR planning
Recruitment & Selection
Training and development
Compensation & Performance review
Labor relations
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Human Resource Planning
Assessing FutureHuman Resource
Needs
Assessing Current Human Resources
Developing aProgram to Meet
Needs
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Human Resource Planning
The process of systematically reviewing HR requirements to ensure that the required number of employees, with the required skills, are available when they are needed
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HR PlanningWe have found the gap, how do we fill this void?
Internal Labour Supply
Skill Inventory
Succession Planning
Replacement Planning– Inventory Chart
• Present & Future staffing situations• Helps in retention & expulsion strategy
External Labour Supply
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Job Analysis (Functional Job Analysis, Position analysis questionnaire)
A Basic Human Resource Management Tool
Tasks Responsibilities Duties
Job Analysis
Job Descriptions
Job Specifications
Knowledge Skills Abilities
Human Resource Planning
Recruitment
Selection
Training and Development
Performance Appraisal
Compensation and Benefits
Safety and Health
Employee and Labor Relations
Legal Considerations
Job Analysis for Teams
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DefinitionsJob - Consists of a group of tasks that must be performed for an organization to achieve its goals
Position - Collection of tasks and responsibilities performed by one person; there is a position for every individual in an organization
Job analysis - Systematic process of determining the skills, duties, and knowledge required for performing jobs in an organization (functional job analysis , position analysis questionnaire)
Job description – document providing information regarding tasks, duties, and responsibilities of job
Job specification – minimum qualifications to perform a particular job
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RecruitmentProcess of locating,
identifying, and attracting
capable candidates
Can be for current or future needs
Critical activity for some corporations.
What sources do we use for recruitment
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Sources of Recruitment
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RecruitmentSources
InternalSearches
EmployeeReferrals
Voluntary Applicants
EmploymentAgencies Advertisements
SchoolPlacement
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SELECTION
A series of steps from initial applicant screening to final hiring of the new employee.
Selection process.Step 1 Completing application materials.Step 2 Conducting an interview.Step 3 Completing any necessary tests.Step 4 Doing a background investigation.Step 5 Deciding to hire or not to hire.
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Selection processStep 1 Completing application materials.
Gathering information regarding an applicant’s background and experiences.
Typical application materials.
Traditional application forms.
Résumés.
Sometimes tests may be included with application materials.
Step 2 Conducting an interview.
Typically used though they are subject to perceptual distortions.
Interviews can provide rough ideas concerning the person’s fit with
the job and the organization.
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Selection processStep 3 Completing any necessary tests.
Administered before or after the interview.Common examples of employment tests.
Cognitive, clerical, or mechanical aptitudes or abilities.Personality.
Step 4 Doing a background investigation.
Can be used early or late in selection process.
Background investigations include:
Basic level checks.
Reference checks.
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Selection processStep 5 Deciding to hire or not to hire.
Draws on information produced in preceding selection steps.
A job offer is made.
A physical examination may be required if it is relevant to job performance.
Negotiation of salary and/or benefits for some jobs.
Step 6 Socialization.
The final step in the staffing process.
Involves orienting new employees to:
The firm.
The work units in which they will be working.
The firm’s policies and procedures.
The firm’s organizational culture.
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Performance Appraisal
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Performance Appraisal
The identification, measurement, and management of human performance in organizations.
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Why Conduct Performance Appraisals?
Make decisions about that person's future with the organization
Identify training requirements
Employee improvement
Pay, promotion, and other personnel decisions
Research
Validation of selection techniques and criteria
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A Model of Performance Appraisal
Skills/Activities/Output
Performance Appraisal System
Reward/Training/Punishment
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Techniques for Evaluating Managers
Evaluation by superiorsEvaluation by colleagues
Peer ratings tend to be more favorable for career development than for promotion decisions
Self‑evaluationSelf‑ratings suffer from leniency
Subordinate evaluationEffective in developing leadershipLeads to improved performance
360 degree feedback (multi‑source)
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360° Feedback
The combination of peer, subordinate, and self-review
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Key Steps in Implementing 360° AppraisalTop management communicates the goals
Employees and managers are involved in the development of the appraisal criteria and process.
Employees are trained in giving & receiving feedback.
Employees are informed of the nature of the 360° appraisal instrument and process.
The 360° system undergoes pilot testing
Management continuously reinforces the goals of the 360° appraisal and is ready to change the process when necessary.
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Measurement Tools
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Relative and Absolute Judgment
An appraisal format that asks supervisors to compare an employee's performance to the performance of other employees doing the same job.
Relative Judgment
An appraisal format that asks supervisors to make judgments about an employee’s performance based solely on performance standards.
Absolute Judgment
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Rating MethodsPerformance rating scales
Supervisors indicate how or to what degree a worker possesses a relevant job characteristic
Ranking techniqueSupervisors list the workers in order from highest to lowest
Paired‑comparison techniqueCompares the performance of each worker with that of every other
person in the group
Forced choice techniqueRaters are presented with groups of descriptive statements and are
asked to select the phrase in each group that is most descriptive of the worker being evaluated
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Rating MethodsBehaviorally anchored rating scales (BARS)
Appraisers rate critical employee behavior
Critical‑incident behaviors are established
These behaviors are used as standards for appraising effectiveness
The BARS items can be scored objectively by indicating whether the employee displays that behavior
Behavioral observation scales (BOS)Appraisers rate the frequency of critical employee behaviors
The ratings are assigned on a five point scale
The evaluation yields a total score
Management by objectives (MBO)
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Appraising Managers as Managers
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Organizational Change
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Concept of Organizational Change
Defined as adoption of a new idea or behavior by an organization.
Organizations need to continuously adapt to new situations if they are to survive and prosper
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Planned and Unplanned Organizational Changes
Planned Changes• Changes in products and
services• Changes in administrative
systems• Changes in organizational
size or structure• Introduction of new
technologies• Advances in information
processing and communication
Planned Changes• Changes in products and
services• Changes in administrative
systems• Changes in organizational
size or structure• Introduction of new
technologies• Advances in information
processing and communication
Unplanned Changes• Changing employee
demographics• Performance gaps• Governmental regulations• Economic competition in the
global arena
Unplanned Changes• Changing employee
demographics• Performance gaps• Governmental regulations• Economic competition in the
global arena
OrganizationalChange
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Forces ForChange
Workforce
Competition
WorldPolitics
Technology
SocialTrends
EconomicShocks
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Resistance to Change - Forms
Overt and immediate
Voicing complaints, engaging in job actions
Implicit and deferred
Loss of employee loyalty and motivation, increased errors or mistakes, increased absenteeism
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Resistance to Change
SelectiveInformationProcessing
Fear of the Unknown
Force ofHabit
Need forSecurity
Economic Factors
Individual
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Resistance to Change
Structural &Group Inertia
Limited Focus
Threat to establish resource allocation
Threat to Expertise
Threat to establish power relationship
Organization
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Education andCommunicationEducation and
Communication ParticipationParticipation
NegotiationNegotiation Facilitationand SupportFacilitation
and Support
CoercionCoercionManipulationand CooptationManipulation
and Cooptation
Overcoming Resistance to Change
Overcoming Resistance to Change
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Unfreezing Changing Refreezing
Lewin’s Three-Step Process
Organizational Change
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Unfreezing the Status QuoUnfreezing the Status Quo
Desired State
Status Quo
RestrainingForces
Driving Forces
Time
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Definition of OD
OD is a planned process of change in an organization’s culture through the utilization of behavioral science technology, research,
and theory.
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Organization Development is...
a systemwide application and transfer of behavioral science knowledge to the
planned development, improvement, and reinforcement of the strategies, structures,
and processes that lead to organization effectiveness.
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Organizational Development - The Premises
Respect for people
Trust and support
Power equalization
Confrontation
Participation
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OD Process
Diagnosis Intervention Evaluation
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OD Interventions
Intergroup development
Process consultation
Sensitivity training
Third Party Intervention
Survey feedback
Team building
Culture Change
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Manager DevelopmentOn the Job Training
Planned ProgressionJob RotationCreation of “assistant-to”Temporary promotionCommittees
Off the JobTrainingConferenceMDPsBusiness Simulations
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Organizational Conflicts
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Sources of Conflict
Competition for scarce resources
Time pressure
Unreasonable standards, policies, rules or procedures
Communication breakdowns
Personality clashes
Ambiguous or overlapping jurisdictions
Unrealized expectations
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Managing Conflicts
AvoidanceProblem solvingCompromiseForcingSmoothingStructural change
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Training & Development
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Training and Development (T&D)
Training - Designed to provide learners with the knowledge and skills needed for their present jobs – formal and informal
Development - Involves learning that goes beyond today's job – more long-term focus
Learning Organization – firms that recognize critical importance of continuous performance-related training and development an take appropriate action
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Factors Influencing T&D
Top management support Commitment from specialists and generalists Technological advances Organizational complexity Learning style
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The Training and Development (T&D) Process
Determine T&D Needs
Establish Specific Objectives
Select T&D Method(s)
Implement T&D Programs
Evaluate T&D Programs
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Determining Training and Development Needs
In order to compete effectively, firms must keep employees well trained.
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Establishing Training and Development Objectives
Desired end results
Clear and concise objectives must be formulated
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T&D Methods
Classroom Programs
Mentoring Coaching Role Playing Simulations
Distance Learning and Videoconferencing
E-learning On-the-Job
Training Job Rotation Internships
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Classroom Programs
Continue to be effective for many types of employee training
May incorporate some of other methods
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Mentoring
Approach to advising, coaching, and nurturing, for creating practical relationship to enhance individual career, personal, and professional growth and development
Mentor may be located elsewhere in organization or in another firm
Relationship may be formal or informal
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Coaching
Often considered responsibility of immediate boss
Provides assistance much as a mentor
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Role Playing Respond to specific problems they may
actually encounter in jobs Used to teach such skills as:
interviewing grievance handling performance appraisal reviews
conference leadership team problem solving communication
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Simulations
Training devices that model the real world or programs replicating tasks away from the job site
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Distance Learning and Videoconferencing
Interactive training Used to:
increase access to trainingensure consistency of instructionreduce cost of delivering T&D
programs
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E-Learning
Umbrella term
describing online instruction
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On-the-Job Training
Informal approach that permits employee to learn job tasks by actually performing them
Most commonly used T&D method No problem transferring what has been learned
to the task
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Job Rotation
Employees move from one job to another to broaden experience
Helps new employees understand variety of jobs
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Internships
Training approach where university students divide their time between attending classes and working for an organization
Excellent means of viewing potential permanent employee at work
Students are enabled to integrate theory with practice
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Management Development
All learning experiences resulting in upgrading of skills and knowledge needed in current and future managerial positions
Imperative managers keep up with latest developments in their fields while managing ever-changing workforce in a dynamic environment
Requires personal commitment of individual manager
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Reasons to Conduct Management Training Outside of the Company
An outside perspective New viewpoints Possibility of taking
executives out of work environment
Exposure to faculty experts and research
Broader vision
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Reasons to Conduct Management Training Inside of the Company
Training more specific to needs
Lower costs Less time Consistent, relevant material More control of content and
faculty
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Orientation
Initial T&D effort designed for employees
Strives to inform them about company, job and workgroup
On-boarding
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Organization Development
Survey feedback process
Quality circles Team building Sensitivity training
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Survey Feedback Description
Process of collecting data from organizational unit through use of questionnaires, interviews and other objective data
Can create working environments that lead to better working relationships, greater productivity and increased profitability
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Quality Circles
Groups of employees who voluntarily meet regularly with their supervisors to discuss problems
Investigate causes Recommend solutions
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Team Building
Conscious effort to develop effective workgroups
Uses self-directed teams Small group of employees
responsible for an entire work process
Members work together to improve their operation
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Laboratory/ Sensitivity / T-Group Training
Participants learn about themselves and how others perceive them
No agenda, leaders, authority, power positions
People learn through dialogue Participants encouraged to learn
about themselves and others in group
Also called T-group training
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Evaluating Human Resource Development
Ask participant’s opinions Determine extent of learning Will training change behavior? Have T&D objectives been
accomplished? Benchmarking Evaluation difficult, but necessary
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Directing & Controlling
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Introduction
Directing/Direction is a function of management performed by top level management in order to achieve organizational goals. It is very important and necessary function of management.
Management has to undertake various activities like, guide people, inspired and lead them as well as supervision of their activity is required in order to achieve desired results.
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Meaning and Definition
Direction consists of the process and techniques utilized in issuing instructions and making certain that operations are carried as originally planned.
“Directing involves determining the course, giving order and instruction and providing dynamic leadership” – Marshall
“Activating means and moving into action- supplying simulative power to the group”- G.R Terry
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Directing involves…..Telling people what is to be done and explaining how to do it.
Issuing instructions and orders to subordinates.
Inspiring them to contribute towards the achievement of objectives,
Supervising their activities;
Providing leadership and motivation
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ELEMENTS OF DIRECTION
Communication
Leading
Motivation
Supervision
Coordination
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PRINCIPLES OF DIRECTION
Harmony of Objectives
Unity of Command / Direction
Direct Supervision
Democratic Managerial Style
Follow Through
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TECHNIQUES OF DIRECTION
Consultative Direction
Free Rein Direction
Autocratic Direction
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SUPERVISION
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Supervision implies expert overseeing of subor dinates -at work in order to guide and regulate their efforts. Every manager has to supervise the work of his subordinates to see that they do their work as desired. But supervision is particularly important at the operat ing level of management or at the low-level management.
The supervisor is in direct personal contact with the workers and he acts as the link between workers and manage ment. He communicates the policies, plans and orders of management to the workers. He also brings workers' grievances, suggestions and appeals to the notice of management. Effective supervision is essential for the accomplishment of desired goals.
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The direction of people at work is the most difficult of all production related tasks. Supervision means constantly functioning in a state of flux and ambiguity and few people feel satisfaction from being a supervisor. The reason this is worth mentioning is because many new supervisors feel that something is "wrong" when they are constantly faced with problems relating to their workforce. This state of flux and ambiguity is normal to supervision and success is measured in percentages rather than absolutes.
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All work requires the coordination of effort. We accomplish this by giving workers assigned tasks and assigned time in which they are to accomplish these tasks. But just giving instructions is not enough. You must give clear, specific instructions on what is to be done, monitor the worker in the course of their efforts and hold them accountable for specific results. These three elements; specific instructions on what is to be done, monitoring them periodically to make sure it is being done, and making the employee accountable for the results are the core of the supervisory process. It is the responsibility of the supervisor to do this. Workers who do not receive good instruction and direction; who are allowed to do work incorrectly without correction and who do not have a review of their performance have not had proper supervision and hence have not been allowed to perform properly.
The purpose of supervision is to ensure that subordinates perform their tasks according to prescribed procedures and as efficiently as possible.
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In Supervising
1. Set realistic expectations. The expectations that are often left unstated need to be openly discussed.
2. Establish clear goals. Goal setting gives purpose and direction to the work of the individual subordinates as well as to the manager. It ensures alignment to corporate strategy.
3. Communicate. Successful communication is a learned process that must accommodate individual needs. As the boss, you establish the norms. Solicit feedback, encourage discussion (especially alternate points of view), and be accessible.
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4. Support. A manager is not made by title alone. Anyone new to a supervisory position needs to develop certain professional skills. Your mentoring will be the key to success.
5. Be the Model Manager . Lead the way! Have others do as you say and do.
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COORDINATION
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What's Coordination?
Co-ordination is the unification, integration, synchronization of the efforts of group members so as to provide unity of action in the pursuit of common goals. It is a hidden force which binds all the other functions of management.
According to Mooney and Reelay, “Co-ordination is orderly arrangement of group efforts to provide unity of action in the pursuit of common goals”.
According to Charles Worth, “Coordination is the integration of several parts into an orderly hole to achieve the purpose of understanding”.
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Management seeks to achieve co-ordination through its basic functions of planning, organizing, staffing, directing and controlling. That is why, co-ordination is not a separate function of management because achieving of harmony between individuals efforts towards achievement of group goals is a key to success of management. Co-ordination is the essence of management and is implicit and inherent in all functions of management.
A manager can be compared to an orchestra conductor since both of them have to create rhythm and unity in the activities of group members.
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CONTROL
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Organizational ControlOrganizational Control
Managers monitor and regulate how efficiently and effectively an organization and its members are performing the activities necessary to achieve organizational goals
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Organizational Control
Managers must monitor and evaluate:Is the firm efficiently converting inputs into outputs?
Are units of inputs and outputs measured accurately?
Is product quality improving?Is the firm’s quality competitive with other firms?
Are employees responsive to customers?Are customers satisfied with the services offered?
Are our managers innovative in outlook?Does the control system encourage risk-taking?
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Control Systems
Control Systems Formal, target-setting, monitoring, evaluation and feedback systems that provide managers with information about whether the organization’s strategy and structure are working efficiently and effectively.
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Control Systems
A good control system should:
be flexible so managers can respond as needed.
provide accurate information about the organization.
provide information in a timely manner.
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Three Types of Control
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Types of Control
Feedforward ControlsUsed to anticipate problems before they arise so that problems do not occur later during the conversion processGiving stringent product specifications to suppliers in advanceIT can be used to keep in contact with suppliers and to monitor their progress
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Types of Control
Concurrent Controls
Give managers immediate feedback on how efficiently inputs are being transformed into outputs
Allows managers to correct problems as they arise
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Types of Control Feedback Controls
Used to provide information at the output stage about customers’ reactions to goods and services so that corrective action can be taken if necessary
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Control Process Steps
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The Control Process1. Establish standards of performance, goals, or
targets against which performance is to be evaluated.
Managers at each organizational level need to set their own standards.
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The Control Process2. Measure actual performance
Managers can measure outputs resulting from worker behavior or they can measure the behavior themselves.
The more non-routine the task, the harder it is to measure behavior or outputs
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The Control Process
3. Compare actual performance against chosen standards of performance
Managers evaluate whether – and to what extent – performance deviates from the standards of performance chosen in step 1
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The Control Process
4. Evaluate result and initiate corrective action if the standard is not being achieved
If managers decide that the level of performance is unacceptable, they must try to change the way work activities are performed to solve the problem
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Three Organizational Control Systems
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Financial Measures of PerformanceProfit Ratios –
measure how efficiently managers are using the organization’s resources to generate profits
Return on Investment (ROI) – most commonly used financial performance measure organization’s net income before taxes divided by its total assets
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Financial Measures of Performance
Operating margin
calculated by dividing a companies operating profit by sales revenue
Provides managers with information about how efficiently an organization is utilizing its resources
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Financial Measures of Performance
Liquidity ratios
measure how well managers have protected organizational resources to be able to meet short-term obligations
Leverage ratios
measure the degree to which managers use debt or equity to finance ongoing operations
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Financial Measures of Performance
Activity ratios provide measures of how well managers are creating value from organizational assets
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Output ControlOrganizational Goals
Each division within the firm is given specific goals that must be met in order to attain overall organizational goals.
Goals should be set appropriately so that managers are motivated to accomplish them
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Organization-Wide Goal Setting
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Output ControlOperating Budgets
Blueprint that states how managers intend to use organizational resources to achieve organizational goals efficiently.
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Effective Output Control
1. Objective financial measures
2. Challenging goals and performance standards
3. Appropriate operating budgets
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Problems with Output ControlManagers must create output standards that motivate at all levels
Should not cause managers to behave in inappropriate ways to achieve organizational goals
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Behavior ControlDirect supervision
managers who actively monitor and observe the behavior of their subordinates
Teach subordinates appropriate behaviors
Intervene to take corrective action
Most immediate and potent form of behavioral control
Can be an effective way of motivating employees
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Problems with Direct Supervision
Very expensive because a manager can personally manage only a relatively small number of subordinates effectively
Can demotivate subordinates if they feel that they are under such close scrutiny that they are not free to make their own decisions
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MBO
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Management by Objectives
Management by Objectives (MBO)
formal system of evaluating subordinates for their ability to achieve specific organizational goals or performance standards and to meet operating budgets
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Management by Objectives
1. Specific goals and objectives are established at each level of the organization
2. Managers and their subordinates together determine the subordinates’ goals
3. Managers and their subordinates periodically review the subordinates’ progress toward meeting goals
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Bureaucratic ControlBureaucratic Control
Control through a system of rules and standard operating procedures (SOPs) that shapes and regulates the behavior of divisions, functions, and individuals.
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Bureaucratic ControlProblems with Bureaucratic Control
Rules easier to make than than discarding them, leading to bureaucratic “red tape” and slowing organizational reaction times to problems.
Firms become too standardized and lose flexibility to learn, to create new ideas, and solve to new problems.
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Clan ControlClan Control
The control exerted on individuals and groups in an organization by shared values, norms, standards of behavior, and expectations.
