Managing Human Resources:

Unit 1
Human Resource Management

Human Resource Management is the process of recruiting, selecting, inducting employees,

providing orientation, imparting training and development, appraising the performance of
employees, deciding compensation and providing benefits, motivating employees, maintaining
proper relations with employees and their trade unions, ensuring employees safety, welfare and
healthy measures in compliance with labor laws of the land.

Edwin Flippo defines- Human Resource Management as “planning, organizing, directing,

controlling of procurement, development, compensation, integration , maintenance and
separation of human resources to the end that individual, organizational and social objectives are
achieved.”

Obectives of HRM

Societal objective : To be socially responsible to the needs and challenges of society while
minimizing the negative impact of such demands upon the organization.
Organizational objective: To recognize that Human resource management exists to contribute to
organizational effectiveness.
Functional objective: To maintain the department's contribution at a level appropriate to the
organisation's needs.
Personal objective: To assist employees in achieving their personal goals, at least insofar as these
goals enhance the individual's contribution to the organisation.

Evolution of HRM
1. Scientific Management
2. Industrial Relations
3. Human Resource Approach
4. Human Relations

Human resource management is evolved form the Personnel management which was erstwhile
management system which used to manage employees. To know evolution of personnel
management one needs to see the history of centuries of research by great psychologists on
human human behaviour and their response at particular situations. One among them was Elton
Mayo who was a psychologists from the Australia, did many experiments on human behaviour at
different situations in 1924. He  strongly believed in work life balance for improving
productivity of workers and did emphasis on human relations influence the productivity of
workers and finally he has been regarded as father of Human resources management.

 Robert Owen was regarded as creator and originator for introducing reforms for workers in his
own Lanark cotton mills. He created a principle of 8 hours day work, 8 hours rest and 8 hours
sleep. Owen identified the importance of better working conditions at workplace and its impact
on the productivity and efficiency of the workers. Owen after implementation of better working
conditions at workplace, he observed change in the productivity of his workers as their efficiency
increased. He in those olden days implemented many social and welfare practices for his workers
and saw his workers got happy, motivated and worked better. Therefore he was referred as father
of Personnel management.

The Hawthorne Studies, which were conducted in the 1920s and 1930s at Western Electric,
sparked an increased emphasis on the social and informal aspects of the workplace.
Interpretations of the studies emphasized "human relations" and the link between worker
satisfaction and productivity.

Milestones in the Development of Human Resource Management

1890-1910
Frederick Taylor develops his ideas on scientific management. Taylor advocates scientific
selection of workers based on qualifications and also argues for incentive-based compensation
systems to motivate employees.

1910-1930
Many companies establish departments devoted to maintaining the welfare of workers. The
discipline of industrial psychology begins to develop. Industrial psychology, along with the
advent of World War I, leads to advancements in employment testing and selection.

1930-1945
The interpretation of the Hawthorne Studies' begins to have an impact on management thought
and practice. Greater emphasis is placed on the social and informal aspects of the workplace
affecting worker productivity. Increasing the job satisfaction of workers is cited as a means to
increase their productivity.

1945-1965
In the U.S., a tremendous surge in union membership between 1935 and 1950 leads to a greater
emphasis on collective bargaining and labor relations within personnel management.
Compensation and benefits administration also increase in importance as unions negotiate paid
vacations, paid holidays, and insurance coverage.

1965-1985
The Civil Rights movement in the U.S. reaches its apex with passage of the Civil Rights Act of
1964. The personnel function is dramatically affected by Title VII of the  Civil Rights Act ,
which prohibits discrimination on the basis of race, color, sex, religion, and national origin. In
the years following the passage of the CRA, equal employment opportunity and affirmative
action become key human resource management responsibilities.

1985-present
Three trends dramatically impact HRM. The first is the increasing diversity of the labor force, in
terms of age, gender, race, and ethnicity. HRM concerns evolve from EEO and affirmative action
to "managing diversity." A second trend is the globalization of business and the accompanying
technological revolution. These factors have led to dramatic changes in transportation,
communication, and labor markets. The third trend, which is related to the first two, is the focus
on HRM as a "strategic" function. HRM concerns and concepts must be integrated into the
overall strategic planning of the firm in order to cope with rapid change, intense competition, and
pressure for increased efficiency.

Why Is Human Resource Management Important to All Managers?

Why are these concepts and techniques important to all managers? ' Perhaps it's easier to answer
this by listing some of the personnel mistakes you don't want to make while managing. For
example, you don't want to:

1. Hire the wrong person for the job.

2. Experience high turnover
3. Have your people not doing their best
4. Waste time with useless interviews
5. Have your company taken to court because of discriminatory actions
6. Have your company cited under federal occupational safety laws for unsafe practices
7. Have some employees think their salaries are unfair and inequitable relative to others in
the organization
8. Allow a lack of training to undermine your department's effectiveness
9. Commit any unfair labor practices

Human Resource Management: Scope

The scope of HRM is very wide:
1. Personnel aspect-This is concerned with manpower planning, recruitment, selection,
placement, transfer, promotion, training and development, layoff and retrenchment,
remuneration, incentives, productivity etc.

2. Welfare aspect-It deals with working conditions and amenities such as canteens, cr?ches,
rest and lunch rooms, housing, transport, medical assistance, education, health and safety,
recreation facilities, etc.

3. Industrial relations aspect-This covers union-management relations, joint consultation,

collective bargaining, grievance and disciplinary procedures, settlement of disputes, etc
 Models of HRM:

The four HRM models are: (i) The Fombrun, (ii) The Harvard, (iii) The Guest, and (iv)
The Warwick.

00The Fombrun, Tichy and Devanna Model

Being the first model (dates back to 1984), this emphasizes just four functions and their
interrelatedness. The four functions are: selection, appraisal, development and rewards.
These four constituent components of human resource management and are expected to
contribute to organizational effectiveness.

The Fombrun model is incomplete as it focuses on only four functions of HRM and ignores
all environmental and contingency factors that impact HR functions.

The Harvard Model

The Harvard model claims to be comprehensive in as much as it seeks to comprise six critical
components of HRM. The dimensions included in the model are: stakeholders, interests,
situational factors, HRM policy choices, HR outcomes, long-term consequences and a feedback
loop through. The outputs flow directly into the organization and the stakeholders
The Guest Model

Yet another human resource management model was developed by David Guest in 1997 and
claims to be much superior to other models. The details will justify the claim. This model claims
that the HR manager has specific strategies to begin with, which demand certain practices and
when executed, will result in outcomes. These outcomes include behavioral, performance related
and financial rewards.

The model emphasizes the logical sequence of six components: HR strategy, HR practices, HR
outcomes, behavioral outcomes, performance results and financial consequences. Looking
inversely, financial results depend on employee performance, which in turn is the result of action
oriented employee behaviors. Behavioral outcomes are the result of employee commitment,
quality and flexibility, which, in turn are impacted by HR practices. HR practices need to be in
tune with HR strategies which are invariably aligned with organizational strategies.

The claim of the Guest model that it is superior to others is partly justified in the sense that it
clearly maps out the field of HRM and delineates the inputs and outcomes. But the dynamics of
people management are so complex that no model (including the Guest model) can capture them
comprehensively.

The Warwick Model

This model was developed by two researchers, Hendry and Pettigrew of University of Warwick
(hence the name Warwick model). Like other human resource management models, the Warwick
proposition centers around five elements

 Outer context (macro environmental forces)

 Inner context (firm specific or micro environmental forces)
 Business strategy content
 HRM context
 HRM content
The Warwick model takes cognisance of business strategy and HR practices (as in the Guest
model), the external and internal context (unlike the Guest model) in which these activities take
place, and the process by which such changes take place, including interactions between changes
in both context and content. The strength of the model is that it identifies and classifies important
environmental influences on HRM. It maps the connection between the external and
environmental factors and explores how human resource management adapts to changes in the
context. Obviously, those organizations achieving an alignment between the external and internal
contexts will achieve performance and growth.

Human Resource (HR) metrics

Human Resource (HR) metrics are measurements used to determine the value and effectiveness

of HR initiatives, typically including such areas as turnover, training, return on human capital,
costs of labor, and expenses per employee.

Human resources metrics are different measurements that are used to show the value that the
human resources function provides to the organization. These measurements demonstrate how
effective the efforts of the human resources department are to the overall success of the
organization.

Types of Human Resources Metrics

There are three types of human resources metrics:

1. Metrics that measure the effectiveness of the human resources function

2. Metrics that measure the efficiency of the human resources department
3. Metrics that measure the effectiveness of the employees within the organization

FUNCTIONS OF HRM

PLANNING - HR
Planning is the first and basic function of the management and everything depends upon
planning as it is a process of thinking about things before they happen and to make preparations
in-advance to deal with them. Poor planning results in failure and effects overall system.
Therefore HR Mangers should be aware of when is right time to do things, when things should
be done and when things should not be done in order to achieve goals and objectives of the
organization.

 Establishing goals and objectives to be achieved  through the employees so as to

achieve the organizational mission set by the top-level management.

 Developing rules and procedures which has to be followed by the employees in order to

avoid any sort of discrimination among the employees in any of their functions, to enable
fair and transparent treatment among employees, to avoid conflict starting from
recruitment to the separation of employees, inculcate discipline among the employees, to
drive performance of employees and ultimately to avoid conflict and contravenes with
statutes and employment laws of the land, ultimately for smooth running of the
organization.

 Determining plans and forecasting techniques as a part of Human resource

planning to avoid any shortfall of workforce so as to avoid impact on the output of the
organisation, to draw the estimation of workforce exactly needed for the organisation and
to plan for attracting talented candidates.

 HR outsourcing: as that of make or buy decision in operations management, human

resource manager should be able to make decisions with regard to HR activities which
are to be executed by the management itself or to be outsourced when there is advantage
of expertise to bring in and cost-saving for organization. The following are the most
outsourced HR activities; legal advice and support, employee payroll, pensions, training
and development, recruitment, employee assistance, compensation and benefits,
outplacement is, human resource information systems, employee relations, policy-
making, strategic partnerships, appraisal of employees and resource planning.

Most small to medium-sized business owners know the frustration of spending more time than
they want on non-revenue generating activities from payroll to human resource management to
benefits and compensation.The answer for many businesses maybe to outsource part of their HR
functions to third party providers so that they can focus on their core business and also has
following benefits-

1. Save money and reduce operating costs

2. Allow the company to focus on its core business
3. Reduce the number of HR staff and related staff expenses
4. Allow HR staff to focus more on strategy
5. Avoid the costs of major investment in technology
6. Improve metrics/measurement
ORGANIZING - HR

HR managers should be well aware of organizing everything related to human resource and
organisation as organizing is the process of making and arranging everything in the proper
manner in order to avoid any confusion and conflicts.

 Giving each member a specific tasks to finish overall objectives of the job given to an
employee is the duty of the Human Resource Manager, besides it also to the duty of
Human resource manager to define task clearly before entrusting job to an employee.

 Establishing departments and divisions according to the nature of jobs and works in

order to improve the efficiency, expertise and speedup the work.

 Delegating authority to the members for a good cause and to make employees more
responsible towards their job and organisation is a part of employee development.
Delegating authority to employees makes them to be more responsible towards
organisation as there is a principle called authority equals to responsibility, vice versa
when you load an employee with responsibilities, he should be given authority so as to
fulfill the responsibilities casted upon employee. Authority without responsibility and
responsibility without authority defeats its purpose.

 Establishing channels of authority and communication is the primary responsibility of

any human resource manager which would enable managers to effectively communicate
desired goals and objectives of the organisation.
 Creating a system to coordinate the works of the members so as to make the
employees to work properly and not to cause any conflict in the allocation of the work to
the employees.

STAFFING - HR
Staffing is one of the key functions of human resource management as staffing is the process of
employing right people, providing suitable training and placing them in the right job by paying
them accordingly and satisfactorily.

 Determining the type of people to be hired should be emphasised as they are the

fundamental resource and investment for any organisation. Every organisation wants
right people with them but they come at a price

Compensating the employees is one of the core functions of the human resource
management. Among all the motivating factors money is the very important primary
motivating factor for any employee.

 Setting performance standards, measuring and evaluating the

employees: A performance appraisal is meant to help employees realise their strengths
and shortcomings and receive a compensation accordingly. The very purpose of
appraising the performance of employees is to evaluate and compensate accordingly.
  Counselling the employees as a Human Resource manager, for understanding and
helping people who have technical, personal and emotional or adjustment problems with
an objective to reduce them, so that performance of employees are maintained at
expected level or even improved upon.

 Recruiting prospective employees and selecting the best ones from them is one of the
primary functions of human resource management. Recruiting is the process of inviting
the people who were willing to join the organisation and selecting best out of them is the
crucial process in which various selection tests are conducted.
 HR Metrics: Application of formulas for measuring and calculating core HR issues so as
to draw exact HR results and current scenario of organisation. The very purpose of HR
metrics is to indicate current position and performance of the organisation.

Core HR issues where HR metrics can be applied are Time to fill an employee, Cost per hire of
an employee, Employee absenteeism rate, Employee training others, Turnover cost, Turnover
rate, annual Turnover of an employee, Workers compensation cost for an employee, Revenue per
employee, Return on Investment (ROI) and Yield ratio.

Example:    Annual employee turnover rate       =   No of employees left                            X

100
      beginning + ending No of employee in a year / 2

DIRECTING - HR

Directing is a knowledge, discipline and formal way of communicating to others that what you
are expecting from them to do for you or to an organization. Unless a HR manager has capability
of directing, he / she can't be said as full-fledged HR manager.

Getting work done through subordinates so as to meet the organization’s goals and objectives.
Indeed getting work done to others is an art which every Human resource manager should
possess, for which employee motivation by the Human Resource Management influences and
matters a lot.

 Ensuring effective two-way communication for the exchange of information with the

subordinates in order to effectively communicate the goals and objectives of the
organisation as it plays key role in understanding what the Human Resource manager or
organisation is expecting from employees to perform.
 Motivating subordinates to strive for better performance by way of providing
employee recognition, rewards, intrinsic benefits, paid vacations, increments in salary,
gifts, any social security benefits to employees and their family members is one of the
functions of Human Resource Management.
  Maintaining the group morale by way of fair treatment among employees, being ethical
and generous towards employees, management being loyal to its employees and giving
priority to employee concerns.

CONTROLLING - HR

HR managers should have the knowledge of controlling all HR related matters, as they should be
able to think and decide what should be done and what should not be done and which should be
done and which should not be done while dealing with employees.

 Establishment of standard performance so as to measure the actual performance of the

employees by conducting performance evaluation for appraisals

 Measurement of actual performance with the established performance standards of

employees for finding out gaps in employee performance.

 Comparison of actual performance with the standard one to find the deviation for
initiation of corrective actions, if there are any deviations. Corrective actions include
giving proper and suitable training to such employees or withholding of increments in
payments until performance gaps are none. Demotion of employee, suspension and
discharge from job is initiated when serious deviations are identified

Operative function of Human Resource Management

PROCUREMENT - HR
 Job analysis is a systematic process of gathering all the data & information pertaining to
the job for preparing of  job specification which determine the skills, qualifications &
traits for job  and preparation of job description which describes the duties and
responsibilities so as to recruitment and selection of employee, give satisfaction on the
job, and feel motivation while doing the job,etc. 

 Job design   is the process of deciding on the content of a job in terms of its duties and
responsibilities; on the methods to be used in carrying out the job, in terms of techniques,
systems and procedures and on the relationships that should exist between the job holder
and the superiors, subordinates and colleagues.

 Recruitment & selection - Recruitment and selection of the human resources for an

organisation is the major and basic function of human resource management. Human
resources planning and recruiting precede the actual selection of people for positions in
an organisation.
  Human resource planning  (HRP) may be defined as strategy for acquisition,
utilization, improvement and preservation of the human resources of an enterprise. The
objective is to place right personnel for the right work and optimum utilization of the
existing human resources.
 Induction & Orientation: Induction of Employee is the first step towards gaining an
employees' commitment, Induction is aimed at introducing the job and organization to the
recruit and him or her to the organization. 
 Orientation is the planned introduction of new employees to their jobs, coworkers, and
the organization so as to alien an employee with their job role.

 Socialization is a process of making employees to mingle up with everyone for team-

spirit

HR DEVELOPMENT –

 Career planning and Career development;  Career development according

to Schuler, "It is an activity to identify the individual needs, abilities and goals and the
organization’s job demands and job rewards and then through well designed programmes
of career development matching abilities with demands and rewards". 

 Executive development ; developing the skills and competencies of those that (will)
have executive positions in organisations.

 Employee training and development is the subsystem of an organization and core

function of human resource management. It ensures continuous skill development
of employees working in organisation and habituates process of learning for
developing knowledge to work. Imparting 
  To make this point clear, Human resource department's failure to maintain
employee safety, welfare and healthy measures acccording to The Factories Act
1948 or failure to have an ICC (Internal Complaints Committee) according
to Sexual Harassment of Women at Workplace (Prevention, Prohibition and
Redressal) Act, 2013 will sometimes lead to closure or cancellation of business.
Like that there are other employment laws which makes organisation to be in
compliance with it for smooth running of organisation, if not it will invite
unnecessary troubles to an organisation.

COMPENSATION - HR

 Job evaluation; analyzing and assessing various jobs systematically to ascertain their

relative worth in an organization.

1. Performance evaluation is also called as performance appraisal of

employees. Human Resource Managers can adopt various methods for assessing
the performance of the employees
2. Traditional methods of Performance Appraisal
3. Modern Methods of Performance Appraisal
4. 360 Degrees Performance Appraisal

 Wages or salary administration as prescribed by the labour laws, Wages for workers or
salary for employees is the basic and primary thing for which employee's work for an
organisation. It's administration of salaries by HR managers is very crucial function as
financial implications and legal complaince is involved. Any deviations in payment of
salaries will lead to immediate dissatisfaction of employees and effects their moral and
any failure in payment of salaries, statutory contributions by employee and statutory
deductions from salary of an employee in accordance with the employment laws will
invite unnecessary complications and will be liable for penal action by the court of law.
Hence it is lookout of the Human resource management department to avoid such costly
mistake which also effects the organisation's reputation (Employer branding).    wages
are classifieds as

1. Minimum wage -  It is also called as irreducible wage, which should be

sufficient for worker to get food clothing and shelter.
2. Fair wage - Wage which is paid according to the work of the work
3. Living wage - It is just above minimum wage, which is sufficient to meet
minimum health expenses, children education with food, clothing and
shelter.

Salary nomenclature is used in the context of employees. Generally salary of employees is paid

monthly and it consist of various components like basic pay, dearness allowance and house rent
allowance especially in the case of government employees. Whereas private employees' salary
normally doesn't consist of said components as it is paid under single head that is salary and
benefits of employees doesn't come under salary head, therefore employee benefits could be
monetory or nonmonetary cannot be counted with salaries of employees, they are specifically
provided for providing social security and motivating employees. Especially government
employee salary format will be  Salary = Basic pay+ Dearness allowances+ House rent
allowance.

 Employee rewards, perks and benefits payments according to the employment and

labour laws. Employee benefits are categorised into statutory or mandatory and voluntary
benefits. Statutory benefits are compulsory benefits for employees, its denial for
payment of such benefits to their employees by the management, can be challenged in
the court of law. Whereas voluntary benefits claims cannot be legally enforceable in
the court of law in case management fails to pay to their employees. The purpose of
payment of voluntary benefits to employees is to attract talent, for retention of employees
in the organisation and for motivating employees, ultimately to keep employees happy.
Most of the voluntary benefits are non-monetary.

The Best PERKS or rewards of the job

Google

 When a Google employee passes away surviving spouse or partner of a deceased

employee 50% of their salary for the next 10 years.
 Free gourmet food and never ending snacks!
 24/7 in-house tech support from their Tech Stop service Dogs are welcome into the
office
 Employee s given 'massage credits’ for a job well done
 The 80/20 rule allows Google employees to dedicate 80% of their time to their
primary job and 20% on passion projects
 Googler alumni support for the rest of their lives

Top  employee benefits

1. Additional fixed pay

2. flexible work arrangements
3. retirement benefits
4. professional development support
5. training opportunities
6. hire incentives
7. insurance benefit
8. health care assistance

Employee benefits
Compulsory employee benefits: Payment of bonus, Gratuity, Provident fund, Compensation in
case of accidents, Paid Leaves, Maternity leave for 26 weeks with full pay and Paternity benefit
of 15 days with full pay for male employee.

Employees State insurance provides following benefits to the employees whoever got covered
under employees State insurance scheme.

o Bickness benefit: ESIC provides 70% of average daily wages in cash during
medical leave, upto 91 days in two consecutive benefit periods.
o Medical benefit: ESIC provides reasonable Medical Care for self and family from
day one of entering into insurable employment.
o Disablement benefit: ESIC provides continuous monthly payment till injury lasts
for temporary disablement and for whole life for permanent  disablement.
o Maternity benefit: ESIC provides 100% of average daily wages in cash up to 26
weeks in confinement and 6 week in case of miscarriage, during maternity leave
and 12 weeks for commissioning mother and adopting mother.
o Unemployment allowance: ESIC Provides monthly cash allowance for a duration
of maximum 24 months in case of involuntary loss of employment or permanent
invalidity due to non-employment injury.

Voluntary employee benefits: Payment for time not worked, paid vacations, Surrogacy leave,
Adoption leave, Menstrual leave, Health and security benefits.

MAINTENANCE / MOTIVATION - HR

 Employee well-being; Providing good working conditions at workplace is the

fundamental duty of Human Resource Management department. Treating employees
inhumane is against to the Constitution of  India according to [Article 42 under Chapter
XXXIV of Directive Principles of State Policy of the Constitution of India]. 

It is also the duty of Human Resource Management to provide welfare measures like Pure water
drinking facilities, restrooms, lunchroom in an organisation having more than 150 employees,
minimum medical aid facility for 150 employees, maintenance of an ambulance in an
organisation having more than 500 employees, canteen in an organisation having more than 250
employees, crèches for children in the organisation having more than 30 women employees and
sitting facilities for employees wherever it is required and possible.as prescribed under The
Factories act 1948.

 Social security for employees: Providing and contributing Employee Provident fund,

Payment of Bonus, compensation, payment of gratuity, maternity benefit, paternity
benefit and employee insurance. In India there are few social security legislation which
are to be followed and complied by any organisation and it is the duty of the Human
Resource Manager to look after it.
  Payment of Gratuity Act, 1972
 Workmen's Compensation Act, 1923
 Employee State Insurance Act, [ESI] 1948
 Payment of Bonus Act, 1965
 The Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 
 Maternity Benefit Act,1961 (Maternity Benefit (Amendment) Act, 2017)
o Maternity leave laws

 Worker's participation encouragement either individually or collectively, become

involved in one or more aspects of organizational decision making within the enterprises
in which they work Would make employees feel motivated, satisfaction and stay loyal to
the management. Therefore it would avoid unnecessary conflicts in between employees
and management while implementing management decisions. Providing Good work-life
balance

 Motivating employees stimulate the desire and energy in employees to be continuously

interested in a job and committed it, role, or subject, and to exert persistent effort in
attaining a goal. The most important motivating factors for employees are to have a
healthy and good working environment, to have good monitory benefits, compensation
and rewards, to have encouragement and support from management and to have a chance
of professional growth and raise.

 Job rotation is the human resource management technique in which employee is  moved
between two or more jobs in a systematic and planned manner. The objective is to expose
an employee to different experiences and wider variety of skills to enhance job
satisfaction and to cross-train them.

Advantages of job rotation of an employee are eliminate boredom of an employee, encourage

development, give employees a break from strenuous job duties, helps HR manager identify
where employee work best and gives HR manager a backup plan if an employee leaves.

 Maintaining HR records in accordance with employment laws and oranisational needs

is the basic function of Human Resource Management, conducting research for
identification of HR issues and find suitable solutions, doing Human Resource audit by
systematic verification strategies, policies, procedures, documentation, structure, systems
and practices with respect to the organization’s human resource management. 

 Human Resource  information system implementation lets you keep track of all your
employees and all information about them. It is usually done in a database or, more often,
in a series of inter-related databases.

INTEGRATION - HR
  Industrial relations is the process of management dealing with one or more unions with
a view to negotiate and subsequently administer collective bargaining agreement or
labour contract. Maintaining proper industrial relationships is the core activity of Human
Resource Management so as to avoid industrial disputes.

 Employee Discipline is a systematic procedure the set-rights and corrects or punishes a

subordinate by superior because a rule of procedure has been disobeyed or violated.
Discipline is the force that prompts employees to observe rules, regulations, standards
and procedures deemed necessary for an organization.

 Grievance redressed; Grievance procedure is a formal communication between an

employee and the management designed for the settlement of a grievance of employees.
Grievance procedures differ from organization to organization as grievances can be very
damaging if not handled properly. The key causes of employee grievances are

1. Grievance resulting from management policies include

2. Grievance resulting from working conditions
3. Grievance resulting from inter-personal factors

 Dispute settlement: Causes of industrial disputes can be broadly classified into two

categories: economic and non-economic causes. The economic causes will include issues
relating to compensation like wages, bonus, allowances, and conditions for work,
working hours, leave and holidays without pay, unjust layoffs and retrenchments. The
non economic factors will include victimization of workers, ill treatment by staff
members, sympathetic strikes, political factors, indiscipline etc. (The Industrial
Disputes Act, 1947 governs rules for the settlement of disputes between the management
of industrial establishments and workmen.)

Now recently in the year 2010, a new chapter II-B is inserted in the Industrial Disputes Act, 1947
by way of amendment w.e.f 15th September, 2010, and a new section 9-C is added for having
grievance redressal committee.

Grievance Settlement Machinery

1. Any organisation having 20 or more employees should have grievance redressal

committee for the resolution of disputes.
2. The committee should consist of equal members from employer and employee.
3. The committee members should not exceed more than six members.
4. The committee should consist of one woman and male members equally.
5. The grievance redressal committee should complete its proceedings within 45 days
on the receipt of written complaint by the party who is having grievance.

 Collective bargaining: The collective bargaining as a policy has been in vogue in the

United Kingdom, the United States of America, Australia, New Zealand and other
countries. However in India the trade unions have more to learn from these countries to
tackle the industrial problems.
  Being a spokesman of employees and organization: It is the responsibility of human
resource manager to be as, spokesman,  negotiator and middlemen between management
and employees for smoothening the flow of communication of management decisions
from top-level to bottom level and vice versa, for cushioning conflicts if any by
misunderstandings or misinterpretation and to establish healthy relations and good culture
within the organisation. In sometimes HR manager should take the responsibility of a
spokesman of organization when representing or dealing with other stakeholders.

 Resolving conflicts among employees is major task of human Resource Management.

Hr manager could follow the below steps for resolving conflicts. According to recent
study human resource managers are spending considerable amount of their job time on
resolving conflicts in between employees as diversity in conflicts are in raise and
showing impact on performance of employees and on organization.
o Understanding the cause, root and nature of the conflict.
o Encourage employees to solve conflicts themselves.
o Do not widen or magnify conflicts, Nip it in the bud quickly.
o Give an opportunity to both sides to say and listen to them
o Determine the real cause of issue, together.
o Check your employee handbook for solution and guidance.
o Come to a solution.
o Put it on paper for make them binding and for future reference in such cases.
o Train them how to communicate and avoid conflicts
o HR manager should be an idealistic and set an example himself.

 Prevention and dealing with sexual harassment: is crucial duty of Human Resource
Management, otherwise it may effect the organisation's culture and employer branding
which would consequently lead to collapse of the organization. Sexual Harassment of
Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 protects
women at the workplace from sexual harassment. Act defines sexual harassment at the
work place and creates a mechanism for redressal of complaints. It also provides
safeguards against false or malicious charges. Every employer is required to constitute an
Internal Complaints Committee at each office or branch with 10 or more employees. Any
employer who fails to constitute an Internal Complaints Committee as per the Sexual
Harassment Act shall be liable for a penalty of up to Rs. 50,000 if a complaint is made to
the magistrate.

Punishment
For the above said offences the punishment shall be for a period of one to three years of
imprisonment or fine, or both.

Human resource planning (HRP) is the continuous process of systematic planning ahead to
achieve optimum use of an organization's most valuable asset—quality employees.

According to E.W. Vetter, human resource planning is “the process by which a management
determines how an organisation should make from its current manpower position to its
desired manpoposition.
1. Analysing Organizational Objectives:

The objective to be achieved in future in various fields such as production, marketing,

finance, expansion and sales gives the idea about the work to be done in the organization.

2. Inventory of Present Human Resources:

From the updated human resource information storage system, the current number of
employees, their capacity, performance and potential can be analysed. To fill the various job
requirements, the internal sources (i.e., employees from within the organization) and external
sources (i.e., candidates from various placement agencies) can be estimated.

3. Forecasting Demand and Supply of Human Resource:

The human resources required at different positions according to their job profile are to be
estimated. The available internal and external sources to fulfill those requirements are also
measured. There should be proper matching of job description and job specification of one
particular work, and the profile of the person should be suitable to it.

4. Estimating Manpower Gaps:

Comparison of human resource demand and human resource supply will provide with the
surplus or deficit of human resource. Deficit represents the number of people to be employed,
whereas surplus represents termination. Extensive use of proper training and development
programme can be done to upgrade the skills of employees.

5. Formulating the Human Resource Action Plan:

 The human resource plan depends on whether there is deficit or surplus in the organization.
Accordingly, the plan may be finalized either for new recruitment, training, interdepartmental
transfer in case of deficit of termination, or voluntary retirement schemes and redeployment
in case of surplus.

6. Monitoring, Control and Feedback:

It mainly involves implementation of the human resource action plan. Human resources are
allocated according to the requirements, and inventories are updated over a period. The plan
is monitored strictly to identify the deficiencies and remove it. Comparison between the
human resource plan and its actual implementation is done to ensure the appropriate action
and the availability of the required number of employees for various jobs.

Job Analysis
Job Analysis is a primary tool to collect job-related data. The process results in collecting and
recording two data sets including job description and job specification. Any job vacancy can not
be filled until and unless HR manager has these two sets of data. It is necessary to define them
accurately in order to fit the right person at the right place and at the right time. This helps both
employer and employee understand what exactly needs to be delivered and how.
Both job description and job specification are essential parts of job analysis information. Writing
them clearly and accurately helps organization and workers cope with many challenges while
onboard.

Job Description
Job description includes basic job-related data that is useful to advertise a specific job and attract
a pool of talent. It includes information such as job title, job location, reporting to and of
employees, job summary, nature and objectives of a job, tasks and duties to be performed,
working conditions, machines, tools and equipments to be used by a prospective worker and
hazards involved in it.
Purpose of Job Description
The main purpose of job description is to collect job-related data in order to advertise for a
particular job. It helps in attracting, targeting, recruiting and selecting the right candidate for the
right job.
1. It is done to determine what needs to be delivered in a particular job. It clarifies what
employees are supposed to do if selected for that particular job opening.
2. It gives recruiting staff a clear view what kind of candidate is required by a particular
department or division to perform a specific task or job.
3. It also clarifies who will report to whom.

Job Specification
Also known as employee specifications, a job specification is a written statement of educational
qualifications, specific qualities, level of experience, physical, emotional, technical and
communication skills required to perform a job, responsibilities involved in a job and other
unusual sensory demands. It also includes general health, mental health, intelligence, aptitude,
memory, judgment, leadership skills, emotional ability, adaptability, flexibility, values and
ethics, manners and creativity, etc.
Purpose of Job Specification

1. Described on the basis of job description, job specification helps candidates analyze
whether are eligible to apply for a particular job vacancy or not.
2. It helps recruiting team of an organization understand what level of qualifications,
qualities and set of characteristics should be present in a candidate to make him or her
eligible for the job opening.
3. Job Specification gives detailed information about any job including job responsibilities,
desired technical and physical skills, conversational ability and much more.
4. It helps in selecting the most appropriate candidate for a particular job.

Job analysis and design

Job analysis is a systematic investigation of tasks, duties and responsibilities of a job. ... Job
design is the process of deciding on the contents of a job in terms of its duties and
responsibilities. The main objective of job design is to integrate the needs of the individual and
the requirements of the organization.
HR dashboard

A HR dashboard is an advanced analytics tool that displays important HR metrics using

interactive data visualizations. It helps the HR department to improve recruiting processes,
optimize the workplace management as well as to enhance the overall employee performance.