Shahjalal University of Science and Technology

SUST
Department of Political Studies
Group Assignment
Course Title: Business Administration
Course Code: BAN171
Assignment Topic: Human Resource Management
Submitted to: Dr. Md Khairul Islam
Professor
Department of Business Administration
Submitted by: Assignment Group-6
Dept. of Political Studies
Md abu taher sakib- 2019235080
Israt Jahan Spriha- 2019235081
Fatema Khanam- 2019235082
Md. Riyad Hasan- 2019235083
Md Shafayat Jamil- 2019235084
Mahmudul Hasan Rahim- 2019235085
Md Fahim Ahmed- 2019235086
Mst Sadeka Begum- 2019235087
Habibur Rahman Masrur- 2019235088
Shah Muhammod Ashraful Islam- 2019235089
Date of Submission: 29 November, 2020
Introduction

Human Resource Management or HRM is a strategic approach to the effective management of people in a
company or organization such that they help their business gain a competitive advantage. It is a process of
recruiting employees, training them, compensating them, and developing policies related to them.
Generally, the duties of a human resource manager fall into three major areas_ staffing, employee
compensation and benefits, and defining/designing work. Essentially, HRM intends to maximize the
company's productiveness by optimizing the effectiveness of employees. Function of attracting,
developing, and retaining enough qualified employees to perform the activities necessary to accomplish
organizational objectives.

Major Objectives of HRM

The primary objective of HRM is to ensure the availability of a competent and willing workforce to the
organization. A company’s success depends upon its qualified, well-trained, and productive workforce.
Apart from this, there are several important objectives of HRM which includes
● Providing qualified, weII-trained employees for the organization.
● Maximizing employee effectiveness in the organization.
● Satisfying individual employee needs through monetary compensation, benefits, Opportunities to
advance, and job satisfaction.

Functions of HRM

The Human Resource Management department is responsible for a wide variety of activities. These
functions include_ Employee Recruitment and Selection, Employee Training and Development, Planning
for staffing needs, Employee Separation, Employee Compensation, etc. Some of the core functions of
Human Resource Management are given below:
● Employee recruitment and selection*
● Employee training and performance evaluation*
● Employee compensation and benefits
The more privileges the company provides, the more attractive the company becomes. The primary
objective of this function is to ensure equitable remuneration to everyone. Compensation and Benefits
also boost up the productivity of the employees.
● Job Analysis and Design:
○ Job Analysis means describing the nature of the job, its duties, and responsibilities. Job
Design is the process of making plans and outlining tasks for a specific job.
● Employee separation
Employee separation happens whenever someone who works for you leaves your business. The
separation can be voluntary, such as when an employee quits, leaves, or retires. Separation can also be
involuntary, such as when you have to let someone go, for poor performance or another reason.
 ○ Voluntary Separations of Employees
○ Involuntary Separations of Employees
■ Retirement
● Compulsory Retirement
● Voluntary Retirement
■ Resignation
■ Layoff
■ Retrenchment
■ Dismissal
○ Severance pay
● Planning for staffing needs
○ Right Time
○ Right Kind
○ Right Number
○ Right Place

Recruitment and selection

● Recruitment refers to the process where potential applicants are searched for, and then
encouraged to apply for an actual or anticipated vacancy.
● Selection is the process of hiring employees among the shortlisted candidates and providing them
a job in the organization.

Prerequisites to think
● Must follow legal requirements
● Equal Employment Opportunity
● Hiring is a costly process for employers
● Some employers require employment tests (knowledge of mechanical, technical, language, and
computer skills)
● Cognitive ability tests

Recruiting Goals
Finding and retaining the best hires starts with setting realistic recruiting goals. In addition to helping you
develop your hiring strategy, goal-setting can ensure that your team is aligned with your overall business
needs.

How to set Goals

● Specific
○ Define the goal you want to accomplish and why
● Measurable
○ Be able to quantify the goal
● Achievable
○ Determine if you have the ability to accomplish the goal
 ● Reasonable
○ See if the goal is worth your time
● Time-based
○ Establish a timeframe for reaching the goal

Constraints on recruiting efforts include

○ Organization image
○ Job attractiveness
○ Internal organisational policies
○ Government influence, such as discrimination laws
○ Recruiting costs

Steps
● Identify job requirements
○ Job specifications
○ Job description
○ Choose sources of candidates
■ Internet
■ Schools
■ Employee reference
■ Promotion from within
■ Colleges
■ Ads/want
○ Review application and resumes
○ Interview candidates
○ Conduct Employment
■ Test and check references
○ Conduct follow up interviews
○ Select a candidate and negotiate an offer
■ Compensation and benefits
■ Job performance expectations
■ Accommodation for disabilities

Recruiting Sources
● Sources should match the position to be filled
● The internet is providing many new opportunities to recruit and causing companies to revisit past
recruiting practices

The internal search

● Organizations that promote from within identify current employees for job openings
- by having individuals bid for jobs
- by using their HR management system
- by utilizing employee referrals
 ● Advantages of promoting from within include
- Good public relations
- Morale building
- Encouragement of ambitious employees and members of protected groups
- Availability of information on existing employee performance
- Cost-savings
- Internet candidates’ knowledge of the organization
- The opportunity to develop mid-and-top-level managers
● Disadvantages include
- possible inferiority of internal candidates
- infighting and morale problems
- potential inbreeding

Employee referrals/recommendations
● Advantages include :
- The employee's motivation to make a good recommendation
- The availability of accurate job information for the recruit
- Employee referrals tend to be more acceptable applicants, to be more likely to accept an
offer and to have a higher survival rate.
● Disadvantages include :
o The possibility of friendship being confused with job performance
o The potential for nepotism
o The potential for adverse impact
Employee training and performance evaluation

After hiring employees it is important to provide them with proper training. The success of the
organization depends on how well the employees are trained for the job and what are their growth and
development opportunities within the companies. HRM ensures that the employees get the proper
knowledge relating to their jobs and the proper skills to perform their tasks efficiently. Training and
development refers to educational activities within a company created to enhance the knowledge and
skills of employees while providing information and instruction on how to better perform specific tasks.

External influences of training and Development

● Orientation
the action of orienting someone or something relative to the points of a compass or other specified
positions.
● Employee training
Training is a program that helps employees learn specific knowledge or skills to improve performance in
their current roles.
● Employee development
Employee development is defined as a process where the employee with the support of his/her employer
undergoes various training programs to enhance his/her skills and acquire new knowledge and skills.
Price
The value that buyers exchange for a product in the marketing transaction. Price is the amount of money
that has to be paid to acquire a given product. Insofar as the amount people are prepared to pay for a
product represents its value, price is also a measure of value. Prices provide an economic mechanism by
which goods and services are distributed among the large number of people desiring them. They also act
as indicators of the strength of demand for different products and enable producers to respond
accordingly.
Pricing objectives

Before establishing prices, marketing managers must decide their pricing objectives. Survival is the most
fundamental one; firms will tolerate financial losses and other difficulties if needed for survival, besides
survival, firms use price to increase sales and market share, boost profits, achieve a return on their
investment, and maintain their present position in the industry. A pricing objective underpins the pricing
process for a product and it should reflect your company's marketing, financial, strategic and product
goals, as well as consumer price expectations and the levels of your available stock and production
resources. Some examples of pricing objectives include maximising profits, increasing sales volume,
matching competitors' prices, deterring competitors – or just pure survival

Market Share
A firm's market share is its percentage of the total industry sales in the geographical area where it sells its
products. Maintaining or increasing market share is a common pricing objective. Many firms use market
share figures to assess their performance. An increase in sales may help a company reduce production
costs and achieve higher profits since it is cheaper on a per unit basis to produce more goods or offer
services. Firms sometimes lower prices to try to capture a larger share of the market.

Profit
Of course the objective of many companies is to maximize profit. But in practice defining 'maximum
profit ' is difficult. No matter how profitable a firm becomes, it still may have reached a point of
maximum profit. Most firms express this pricing objective as a percentage increase over current profits. A
company's pricing objective may be to increase profit by 10 percent in one year.

Return On Investment
Return on investment (ROI) is the amount of profit earned, expressed as a percent of the total investment.
ROI is sometimes more desirable as a pricing objective than is profit maximum, because it is a better
measure of a firm's operating performance. For instance, the typical ROI in the automobile industry is 20
percent per year.

Status Quo
Firms wishing to maintain their present situation in the industry may establish status quo pricing
objectives A company that wants to meet (but not beat) competitors prices, develop a favourable public
image or maintain its market share would favour status quo pricing objectives. By maintaining price
stability, a firm reduces the risk it could face in a climate of price competition.

Factors In Pricing Decisions

A firm can not determine a product's price without considering several factors that affect price. Managers
might take into account the use of price and non price competition, supply and demand, and consumer
perceptions of price.

Price and Nonprice Competition

The pricing decision is influenced by the extent to which firms decide to use price as a competitive tool.
Some rely heavily on price competition while others compete on aspects other than price. Firms
competing based on price competition generally set prices equal to or lower than competitor's prices.
A firm competing based on price must be prepared to change princes quickly and frequently in response
to competitors' price changes. One drawback to this competition is that competitors can easily reduce their
prices to counter it. Price competition is practiced by firms in many different industries, such as hotel,
electronics component manufacturers and automakers.
Nonprice competition involves competing based on factors other than price. Such as quality or service.
This strategy is useful in building brand loyalty. Customers who prefer a brand for reasons other than
price are likely to switch to a brand that costs less.

Supply and Demand

The price of a product is also influenced by the economic forces of supply and demand. The penny you
pull out of your pocket is worth just that -- a penny. But a coin collector may pay a great deal for a rare
penny. That's the principle of supply and demand at work. Supply refers to the quantity that producers
will sell at various princes: the demand for a product is the quantity that consumers will purchase at
different prices. For most products, the quantity demanded goes up and price goes down, demand goes
down as the price goes up.

Consumer perceptions of price

Perceived value is one of the strongest and fundamental marketing approaches for any product or service.
It is a matter of opinion and it is completely in the consumer's kingdom. It is defined as the consumer's
overall assessment of the utility of a product based upon the perceptions of “what is received and what is
given” this definition shows a clear relation of price and quality wherein perceived quality involves
consumer judgement about the extent of superiority of the product and used as a measure of excellence or
a state of being free from defects, deficiencies and significant variations and perceived price is the
consideration given in exchange for the transfer of ownership.

Marketing
Marketing is one of the primary components of business management and commerce. It is a social and
managerial process by which individuals and groups obtain what they need and want through creating and
exchanging products and value with others.
 In short sense, marketing is the satisfaction of customer needs and demands. Generally marketing is
about designing a product or offering service which can meet customers satisfaction and at the same time
earns reasonable profit for the organization.
Expl. STARSHIP JUICE
ABUL KHAIR GROUP

Market Segments

Market segments are distinct groups of customers within a market that can be differentiated from each
other on the basis of their distinct attributes and specific demands.

Segmentation base
● Geographic segmentation
○ Region, city size, density of area, climate.
● Demographic segmentation
○ Age, gender, marital status, income, education, occupation.
● Psychological segmentation
○ needs- motivation , personality, perception, learning -involvement, attitudes.
● Psychographic segmentation
○ (lifestyle) segmentation (economy minded, status seekers)
● Socio-cultural segmentation
○ cultures, religion, subcultures, social class, family life cycle.
● Hybrid segmentation
○ demographic psychographic