Human Resource

Management
ELEVENTH EDITION
1
GARY DESSLER
BIJU VARKKEY

Part 2 | Recruitment and Placement

Chapter
HRP & Job Analysis

© 2009 Dorling Kindersley (I) Pvt. Ltd.

All rights reserved.
Strategic Planning

• Strategic planning - Process by

which top management
determines overall organizational
purposes and objectives and how
they are to be achieved
• Strategic planning at all levels can
be divided into four steps

4-2
 The Strategic Management Process
• Strategic Management
 The process of identifying and executing the
organization’s mission by matching its capabilities
with the demands of its environment.
• Strategy
– A chosen course of action.
• Strategic Plan
 How an organization intends to balance its internal
strengths and weaknesses with its external
opportunities and threats to maintain a competitive
advantage over the long-term.
Strategic Planning and Implementation Process
MISSION DETERMINATION

Decide what is to be accomplished (purpose)

Determine principles that will guide the effort

ENVIRONMENTAL ASSESSMENT
External Determining external conditions, threats, and opportunities Determining
Internal competencies, strengths, and weaknesses within the organization.

OBJECTIVE SETTING
Specifying corporate-level objectives that are:
•Challenging, but attainable
• Measurable
• Time-specific
• Documented (written)

STRATEGY SETTING
Specifying and documenting corporate level strategies and planning

STRAGEDY IMPLEMENTATION

4-4
Strategy Implementation

• Leadership
• Organizational
Structure
• Information and
Control Systems
• Technology
• Human Resources

4-5
FIGURE 5–2 Linking Employer’s Strategy to Plans

5–6
 Planning and Forecasting

• Employment or Personnel Planning

 The process of deciding what positions the firm
will have to fill, and how to fill them.
• Succession Planning
 The process of deciding how to fill the company’s
most important executive jobs.
• What to Forecast?
 Overall personnel needs
 The supply of inside candidates
 The supply of outside candidates

5–7
Human Resource Planning

Systematic process of
matching internal and
external supply of people
with job openings
anticipated in the
organization over a
specified period of time

4-8
 What is it?

• Human resource planning involves

getting the right number of qualified
people into the right jobs at the right
time.
• It essentially involves forecasting
personnel needs, assessing
personnel supply and matching
demand-supply factors through
personnel-related programmes.
9
 IMPORTANCE OF HRP

1. Through HR planning a company learns ..

 how many employees
 with what kinds of
 qualifications
 at which point of time
 at which location
.... are required to achieve performance
objectives.

10
 IMPORTANCE OF HRP

2. It delivers a solid basis for decisions

regarding
 Recruiting
 People development
 Company development
 Workforce reduction
 Company strategy

11
 Human Resource Planning Process
External Environment
Internal Environment

Strategic Planning

Human Resource Planning

Forecasting Human
Resource Requirements Comparing Forecasting Human Resource
Availability

Requirements
and Availability

Demand = Surplus of Shortage of

Supply Workers Workers

No Action Restricted Hiring, Recruitment

Reduced Hours, Early
Retirement, Layoffs, Selection
Downsizing
4-12
 Factors Affecting HRP
Organisational
Growth Cycle and
Planning

Type and Strategy of Environmental

Organisation Uncertainties

HRP

Time Horizons Outsourcing

Type and Quality of

Forecasting Nature of Jobs being
Information Filled

13
 Human Resources Planning…

…
Resources Demand Resources
forecasting Supply
forecasting

Human Resource Actions

• Hiring
• Training
• Career Management
• Productivity program
• Reduction in workforce

14
 Definitions
• Requirements forecast - Determining number,
skill, and location of employees organization
will need at future dates in order to meet goals
• Availability forecast - Determination of whether
firm will be able to secure employees with
necessary skills, and from what sources

© 2008 by Prentice Hall 4-15

 Methods Used for
Human Resource Planning

1. Approaches to forecasting:
a. Qualitative:
i. Expert opinions
ii. Delphi technique
iii.“Bottom-up” approach
b. Quantitative:
iv. Regression analysis / Trend analysis
v. Markov analysis

16
CONTD….

2. Supply Analysis
a. Skills inventories
i. Card systems
ii. Human Resource Information Systems
(HRIS)
b. Replacement charts / Succession
plans

17
 Forecasting Human Resource
Requirements
• Zero-based forecasting -
Uses current level as starting
point for determining future
staffing needs
• Bottom-up approach - Each
level of organization, starting
with lowest, forecasts its
requirements to provide
aggregate of employment
needs.

© 2008 by Prentice Hall 4-18

 Forecasting HR Availability
• Determining whether firm will be able
to secure employees with necessary
skills, and from what sources
• Show whether needed employees
may be obtained within company,
from outside organization, or from
combination of these sources

4-19
 Use of HR Databases
• Many workers needed for future positions may
already work for firm
• Databases include information on all
managerial and nonmanagerial employees
• Companies search databases within company
to see if employees with needed qualifications
already exist. Growing trend is to automatically
notify qualified employees of new positions.

© 2008 by Prentice Hall 4-20

Shortage of Workers Forecasted

• Creative recruiting
• Compensation incentives –
Premium pay is one method
• Training programs – Prepare
previously unemployable people for
positions
• Different selection standards

© 2008 by Prentice Hall 4-21

 Surplus of Employees

• Restricted hiring –
Employees who leave are
not replaced
• Reduced hours
• Early retirement
• Downsizing - Layoffs

© 2008 by Prentice Hall 4-22

Qualitative Approaches to Demand
Forecasting
 Management Forecasts
 The opinions (judgments) of supervisors, department
managers, experts, or others knowledgeable about the
organization’s future employment needs.
 Delphi Technique
 It solicits estimates of personnel needs from a group of
experts, usually managers. The HRP experts act as
intermediaries, summarize the various responses and
report the findings back to the experts. Summaries and
surveys are repeated until the experts’ opinions begin to
agree.
 Distinguishing feature – absence of interaction among
experts.

23
Quantitative Approach for Demand
1. Trend analysis/ratio-trend analysis
• HR need can be estimated by examining past trends. Past
rate of change can be projected into future or employment
growth can be estimated by its relationship with a particular
index.
• For example
2009-10 : Production of Units = 5000
2009-10 : No. of workers = 100
Ratio : 100/5000
2010-11 : Estimated production = 8000
No. of workers required = 8000 X 100/5000
= 160
24
2. Work-load analysis
• Company tries to calculate the number of persons
required for various jobs w.r.t. a planned output – after
giving weightage to factors such as absenteeism, idle
time etc.
For example:
Planned output for the year = 10000 pieces
Standard hours per piece = 3 hours
Planned hours required = 30,000 hours
Productive hrs per person per year = 1000 hrs
(estimated on annual basis)
No. of workers required = 30

25
Forecasting Supply of Employees:
Internal Labor Supply

• Staffing Tables
• Markov Analysis
• Skill Inventories
• Replacement Charts
• Succession Planning

26
 Forecasting Internal Labor Supply

• Staffing Tables
 Graphic representations of all organizational
jobs, along with the numbers of employees
currently occupying those jobs and future
(monthly or yearly) employment
requirements.
• Markov Analysis
 A method for tracking the pattern of employee
movements through various jobs.

27
Hypothetical Markov Analysis for a
Retail Company

28
Internal Supply Forecasting Tools
• Skill Inventories
 Files of personnel education, experience, interests,
skills, etc., that allow managers to quickly match job
openings with employee backgrounds.
• Replacement Charts
 Listings of current jobholders and persons who are
potential replacements if an opening occurs.
• Succession Planning
 The process of identifying, developing, and
tracking key individuals for executive positions.

29
 Succession Planning

• Process of ensuring that qualified

persons are available to assume
key managerial positions once the
positions are vacant
• Goal is to help ensure a smooth
transition and operational
efficiency

© 2008 by Prentice Hall 4-30

 Human Resource Information
Systems (HRIS)

Any organized approach

for obtaining relevant
and timely information
on which to base HR
decisions

© 2008 by Prentice Hall 4-31

 HUMAN RESOURCE INFORMATION SYSTEM
Goal: Integrate Core Processes into Seamless System

Input Data Types Output Data Uses* Contribute Toward Achievement of:
Job Analysis Employee Tracking
Recruitment Diversity Programs
Selection/Job Posting/ Hiring Decisions Organizational
Employee Referral
Training Programs/E- Strategic Plans
T&D learning/Management Succession
Performance Appraisal Human
Resource
Compensation Compensation Programs
Information
Benefits System Benefit Programs (e.g.,
prescription drug programs)
Safety Human
Health Health Programs (e.g., Employee Resource
Assistance Programs) Management
Labor Relations Bargaining Strategies
Plans
Employee Relations Employee Services

*Manager and employee self-service is available.

 Job Design
• Process of determining specific tasks to be
performed, methods used in performing these
tasks, and how job relates to other work in
organization
• Job design is the conscious efforts to organize
tasks, duties and responsibilities into one unit of
work. It involves
 identification of individual tasks
 specification of methods of performing the tasks
 combination of tasks into specific jobs to be assigned to
individuals

© 2008 by Prentice Hall 4-33

 Nature of Job Design
• Job Enrichment - Basic changes in content and
level of responsibility of job, to provide greater
challenge to worker.
• Job Enlargement - Changes in scope of job to
provide greater variety to worker and increasing
the number of tasks a worker performs.
• Reengineering - Fundamental rethinking and
radical redesign of business processes to
achieve dramatic improvements in critical
measures of performance, such as cost, quality,
service and speed
4-34
 Human Resource
Management
ELEVENTH EDITION
1
GARY DESSLER
BIJU VARKKEY

JOB ANALYSIS AND METHODS OF JOB

ANALYSIS

© 2008 by Prentice Hall 4-35

 What is a Job?

• Job
 A group of related activities and
Job
Job
duties
• Position
 The different duties and
responsibilities performed by
only one employee Job
Job Job
Job Job
Job
• Job Family
 A group of individual jobs with
similar characteristics
Definitions (Cont.)
• A work group consisting of a supervisor, two
senior clerks, and four word processing
operators has 3 jobs and 7 positions.

© 2008 by Prentice Hall 4-37

 Goal: Match Person & Job

Person Job
KSAs
Tasks & Duties
Talents & Interests
Rewards
Motivation

Job Outcomes
Performance
Satisfaction

• Need information about the Person & about the

Job 38
 HR Planning Macro
HRP, JD
& JA Job Design Micro
Model Job Analysis

Job Description Job Specification

Other HRM Activities

(Recruitment, Selection, Performance
appraisal, Training, Compensation)

Productivity, QWL, Legal

Compliance
 Job Analysis

• Job analysis - Systematic process of determining

skills, duties, and knowledge required for
performing jobs in organization
• It is the process of collecting & analyzing
information about jobs to write:
 Job Description: a document that identifies the tasks
& duties performed by a job
 Job Specification: a document that identifies the
qualifications required by a job

4-40
Job Description and Job Specification
in Job Analysis
Job Analysis
A process of obtaining all pertinent job facts

Job Description Job specification

A statement containing items A statement of human qualifications
such as necessary to do the job. Usually
• Job title contains such items as
• Location • Education
• Job summary • Experience
• Duties • Training
• Machines, tools, and • Judgement
equipment • Initiative
• Materials and forms used • Physical efforts
• Supervision given or received • Physical skills
• Working conditions • Responsibilities
• hazards • Communication skills
• Emotional characteristics
• Unusual sensory demands such as
sight, smell, hearing
 Questions Job Analysis Should
Answer
• What physical and mental tasks does worker
accomplish?
• When is job to be completed?
• Where is job to be accomplished?
• How does worker do job?
• Why is job done?
• What qualifications are needed to perform job?

4-42
 Job Analysis:
A Basic Human Resource Management Tool
 Staffing
Tasks Responsibilities Duties  Training and
Development
 Performance Appraisal
 Compensation
Job  Safety and Health
Descriptions  Employee and Labor
Job Relations
Analysis Job
 Legal Considerations

Specifications

Knowledge Skills Abilities

4-43
 Job Analysis Products
• Job description
 Title, reporting relationships (up, down, sideways,
external)
 job summary, responsibilities, duties, MBO/R: Key
Result Areas (KRAs), scope of authority. Position of
“organisation chart”. Career/promotion path.
 working conditions
• Competencies specification
 levels, range of situations, performance indicators,
knowledge/wisdom, experience, skills (psycho-motor,
technical, analytical, literary, spoken, numeric, social
and emotional), personal orientations and motivators.
• Personnel specification (person profile)
 characteristics of ideal candidate. Essentials -
desirables - disqualifiers
 Reasons For Conducting
Job Analysis
• Staffing - Haphazard if recruiter does not know
qualifications needed for job
• Training and Development - If specification lists
particular knowledge, skill, or ability, and person filling
position does not possess all necessary qualifications,
training and/or development is needed
• Performance Appraisal - Employees should be
evaluated in terms of how well they accomplish the
duties specified in their job descriptions and any other
specific goals that may have been established
• Compensation – Value of job must be known before
dollar value can be placed on it

4-45
 Reasons For Conducting
Job Analysis (Cont.)
• Safety and Health – Helps identify safety and
health considerations
• Employee and Labor Relations – Lead to more
objective human resource decisions
• Legal Considerations – Having done job
analysis important for supporting legality of
employment practices

4-46
Summary of Types of Data Collected
Through Job Analysis

• Work Activities - Work activities and processes;

activity records (in film form, for example);
procedures used; personal responsibility
• Worker-oriented activities - Human behaviors,
such as physical actions and communicating on
job; elemental motions for methods analysis;
personal job demands, such as energy
expenditure

4-47
Summary of Types of Data Collected
Through Job Analysis (Cont.)
• Machines, tools, equipment, and work aids used

• Job-related tangibles and intangibles -

Knowledge dealt with or applied (as in
accounting); materials processed; products
made or services performed

• Work performance - Error analysis; work

standards; work measurements, such as time
taken for a task
© 2008 by Prentice Hall 4-48
 Summary of Types of Data Collected
Through Job Analysis (Cont.)
• Job context - Work schedule; financial and
nonfinancial incentives; physical working
conditions; organizational and social contexts

• Personal requirements for job - Personal

attributes such as personality and interests;
education and training required; work
experience

4-49
Job Analysis Methods

• Questionnaires
• Observation
• Interviews
• Employee recording
• Combination of methods

4-50
 Methods of Collecting Job Analysis
Information: The Interview
• Information Sources • Interview Formats
 Individual employees  Structured (Checklist)
 Groups of employees  Unstructured
 Supervisors with
knowledge of the job
• Advantages
 Quick, direct way to find
overlooked information
• Disadvantages
 Distorted information
FIGURE 4–3
Job Analysis Questionnaire for
Developing Job Descriptions

Note: Use a questionnaire like this to interview

job incumbents, or have them fill it out.

Source: www.hr.blr.com. Reprinted with

permission of the publisher, Business and Legal
Reports, Inc., Old Saybrook, CT © 2004.
4–52
FIGURE 4–3
Job Analysis Questionnaire for
Developing Job Descriptions
(cont’d)

Note: Use a questionnaire like this to interview

job incumbents, or have them fill it out.

Source: www.hr.blr.com. Reprinted with

permission of the publisher, Business and Legal
Reports, Inc., Old Saybrook, CT © 2004.
© 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 4–53
 Methods of Collecting Job Analysis
Information: Questionnaires
• Information Source • Advantages
 Have employees fill out  Quick and efficient way to
questionnaires to describe gather information from
their job-related duties and large numbers of
responsibilities employees
• Questionnaire Formats • Disadvantages
 Structured checklists  Expense and time
 Open-ended questions consumed in preparing
and testing the
questionnaire

© 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 4–54
 Methods of Collecting Job Analysis
Information: Observation
• Information Source • Advantages
 Observing and noting the  Provides first-hand
physical activities of information
employees as they go  Reduces distortion of
about their jobs information
• Disadvantages
 Time consuming
 Difficulty in capturing
entire job cycle
 Of little use if job involves
a high level of mental
activity

© 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 4–55
 Methods of Collecting Job Analysis
Information: Participant Diary/Logs
• Information Source • Advantages
 Workers keep a  Produces a more complete
chronological diary/ log of picture of the job
what they do and the time  Employee participation
spent on each activity
• Disadvantages
 Distortion of information
 Depends upon employees
to accurately recall their
activities

© 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 4–56
 Combination of Methods
• Usually use more than one method
• Clerical and administrative jobs: questionnaires
supported by interviews and limited observation
• Production jobs: interviews supplemented by
extensive work observations may provide
necessary data

4-57
 Writing Job Descriptions

Job
Identification

Job Job
Specifications Summary

Sections of a
Typical Job
Working Description Responsibilities
Conditions and Duties

Standards of Authority of the

Performance Incumbent

© 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 4–58
FIGURE 4–8
Sample Job
Description,
Pearson
Education

© 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 4–59
FIGURE 4–8
Sample Job
Description,
Pearson
Education
(cont’d)

Source: Courtesy of Dorling Kindersley, India.

© 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 4–60
 The Job Description
• Job Identification • Responsibilities and
 Job title Duties
 Preparation date  Major responsibilities and
 Preparer duties (essential functions)
• Job Summary  Decision-making authority
 Direct supervision
 General nature of the job
 Budgetary limitations
 Major functions/activities
• Relationships • Standards of
 Reports to:
Performance and
 Supervises:
Working Conditions
 What it takes to do the job
 Works with:
successfully
 Outside the company: