CHAPTER 5: HUMAN RESOURCE

DEVELOPMENT (HRD)

Mousumi Saha
Assistant Professor
Institute of Agribusiness & Development Studies
Bangladesh Agricultural University
Mymensingh-2202
Outline

• Introduction
• Mission of HRD
• Why Human Resource Development is vital for an
organization?
• Benefits of Human Resource Development
• Characteristics of HRD
• Difference between HRM and HRD
 Introduction

• Human Resource Development (HRD) is the

integrated use of training organizational development,
and career development efforts to improve individual,
group, and organizational effectiveness.
• Human Resource Development (HRD) is the
framework for helping employees develop their
personal and organizational skills, knowledge, and
abilities.
Introduction

• HRD concept was first introduced by Leonard Nadler

in 1969 in a conference in US. “He defined HRD as
those learning experience which are organized, for a
specific time, and designed to bring about the
possibility of behavioral change”.
• According to Leonard Nadler, "Human resource
development is a series of organized activities,
conducted within a specialized time and designed to
produce behavioral changes."
Introduction

• Human Resource Development includes such

opportunities as employee training, employee career
development, performance management and
development, coaching, mentoring, succession
planning, key employee identification, tuition
assistance, and organization development.
• The focus of all aspects of Human Resource
Development is on developing the most superior
workforce so that the organization and individual
employees can accomplish their work goals in service
to customers.
Introduction

• Human Resource Development can be formal such as

in classroom training, a college course, or an
organizational planned change effort. These are the
options that you have for developing your employees.
Formal training can add value in your workplace.
Or, Human Resource Development can be informal as
in employee coaching by a manager or internal training
and development classes taught by internal staff or a
consultant. Mentoring by more experienced employees
is also recommended for employee development.
Mission of HRD

• To provide individual development in order to

improve the performance related to a current job;
• To provide career development in order to improve
performance related to future jobs; and
• To provide organizational development (OD)
related to both optimal utilization of human
resources and improved performance, which
together lead to the efficiency of the organization.
Why Human Resource Development is vital for an
organization?

• Human resource is still the most valuable asset for an

organization which mainly drives a company day to day despite
the elements such as advanced equipment, new technology,
good marketing strategy, excellent customer service and many
other elements.
• Nowadays many organizations like to gain a competitive
advantage in the market; skills, knowledge and experience of
each individual directly impact the productivity and competitive
advantage of an organization. In other words human resources
determine the success or the failure of an organization.
Why Human Resource Development is vital for an
organization?
• Employees are always related to the profitability of the organization and their

abilities cannot be replaced by machines.

• It is vital to manage and develop human resources of an organization in order

to keep improving the abilities of an organization as a whole.

• Human Resource Development (HRD) is the framework help employees

develop their personal and organizational skills, knowledge and abilities.

• HRD includes; employee training, employee career development,

performance management and talent development, key employee
identification, coaching, mentoring, succession planning and organization
development.
Why Human Resource Development is vital for an
organization?
• Modern day organizations operate in a very dynamic environment
and human resources need to be developed according to the changes
taking place externally.
• HRD helps to adapt such changes through development of existing
human resources.
• The human resource development opportunities are available both
within and outside the work place. The focus would be to build the
most superior workforce in order to meet individual and
organizational goals and objectives.
• Training and development plays a significant role in the process of
HRD.
Why Human Resource Development is vital for an
organization?
• It is important to identify the training needs of each individual
or team in the organization in order to implement HRD in a
proper manner and to fetch effective results.

• Training will help to improve performance on a currently held

job for knowledge and skills.

• However development will help the employee to acquire

capabilities beyond those required by current job which is
holistic and aimed at personal development.
Benefits of Human Resource Development

Human resource development now a days is considered as the key to higher

productivity, better relations and greater profitability for any organisation.
Appropriate HRD provides unlimited benefits to the concerned organisation.
Some of the important benefits are being given here:
• HRD (Human Resource Development) makes people more competent. HRD
develops new skill, knowledge and attitude of the people in the concern
organisations.
• With appropriate HRD programme, people become more committed to their

jobs. People are assessed on the basis of their performance by having a

acceptable performance appraisal system.
• An environment of trust and respect can be created with the help of human

resource development.
Benefits of Human Resource Development

• Acceptability toward change can be created with the help of HRD.

Employees found themselves better equipped with problem-solving
capabilities.
• It improves the all round growth of the employees. HRD also improves team
spirit in the organisation. They become more open in their behaviour. Thus,
new values can be generated.
• It also helps to create the efficiency culture .In the organisation. It leads to
greater organisational effectiveness. Resources are properly utilised and
goals are achieved in a better way.
• It improves the participation of worker in the organisation. This improve the
role of worker and workers feel a sense of pride and achievement while
performing their jobs.
Benefits of Human Resource Development

• It also helps to collect useful and objective data on

employees programmes and policies which further
facilitate better human resource planning.
Hence, it can be concluded that HRD provides a lot of
benefits in every organisation. So, the importance of concept
of HRD should be recognised and given a place of
eminence, to face the present and future challenges in the
organisation.
Characteristics of HRD

1. HRD is a system
• HRD is made up of several subsystems and there are feedback
loops from one subsystem to the other.
• A change in any one of the subsystems will affect the other
subsystems and hence the whole system.
2. HRD is a continuous and planned process
• HRD process always goes on in an organization as proactive
measure integral to a planned program for organizational
growth.
Characteristics of HRD
3. HRD develops competencies four levels
i. Individual Level: Employees are made aware of the expectations of others
about their roles, so that they can improve their skills and attitudes.
ii. Dyadic Level: Stronger employee-employer relationship is developed
through trust, mutuality and help.
iii. Group Level: Committees or task groups are made more effective by
developing collaboration in their inter-group relationship.
iv. Organizational Level: Development of competencies involves the
development of self-renewing mechanisms in the organization which enable it
to adjust to the changes in its environment and to be proactive.
Difference between HRM and HRD
Organizational Vision And Mission for HRD
1. HRD should be placed in the vision statement of the business
2. Every organization is a family
3. Everyone is his or her own HRD manager
4. The CEO is the chief facilitator of HRD
5. HRD is a part of the business of an organization
6. People enjoy working and derive a lot of satisfaction.
7. People should find the work to be meaningful and fulfilling
8. Every experience of the employee should be viewed as a
learning experience and every moment is filled learning and
development
Organizational Vision And Mission for HRD

9. People strive to do better each day, using their own and previous
performance as benchmarks.
10. People articulate their vision and share it. 11. The organization and every
employee of the organization strive continuous for their own development and
of others.
12. Everyone understands internal customers and their requirements and treat
them with respect.
13. Everyone tries to create and contribute to the organizational ambience and
culture that facilitates the development and optimization of potential.
14. The organization and its members keep trying out new ways of learning
and doing things.
Organizational Vision And Mission for HRD
15. People are committed and work hard to ensure that the organization
achieves what it has set out to achieve.
16. People share a common set of values and strive to achieve the
organizational mission and vision.
17. Every employee is treated with dignity without reference to his
designation, department and other forms of dignity.
18. Every role is respected and scope is provided for innovations.
19. The organization is instrumental in taking care of people’s psychological
needs and reduces tensions and other overheads.
20. The organization adds value to people’s lives and helps them to meet their
career aspirations.
21. People are committed and work hard to ensure that the organization
achieves what it has set out to achieve.
A Model of HRD
• Figure gives a more comprehensive model of HRD in the organizational set

up formulated by Werner and Desimone (2006), which takes a four phase

approach to design and conduct HRD programs.
T.V Rao and Udai Pareek’s model of HRD

• T.V. Rao defines Human resource development (HRD) as

essentially consisting of these three Cs: competencies,

commitment, and culture.
• All three are needed to make an organization function well.

• Without competencies many tasks of the organization may

not be completed cost effectively or with maximum

efficiency.
T.V Rao and Udai Pareek’s model of HRD

• Without commitment, they may not be done at all or are

done at such a slow pace that they lose relevance. Without
an appropriate culture, organizations cannot last long.
• Culture provides the sustaining force and spirit and spirit

for organizations to live.

• It provides the oxygen needed for them to survive. Its
utility comes in to force especially when organizations are
in trouble.
HRD Methods or HRD functions
• Any systematic of formal way of developing the competencies and

motivation of individuals in an organization and building the organization’s

climate by improving the process can be called as an HRD method or HRD
functions. HRD method or HRD functions includes the following:
1. Manpower planning
• It is concerned with assessment of manpower needs including forecasting the

needs, development policies and the organizational growth plans.

• It also includes manpower audit which relates to examine the manpower

strength in the organization.

2. Performance Appraisal
• Under this mechanism, the performance of the employees is periodically

appraised and the goals are redefined. This mechanism emphasis the
development of the employee rather than their evaluation.
HRD Methods or HRD functions
3. Training, Education and Development: There are 3 different HRD
mechanisms with different focus and purpose as shown in the following table:

• Three broad areas in which training may be imparted are technical,

behavioral and conceptual.
• The training approach is one of the main HRD interventions.

The various types of training program includes

i. Classroom training approaches like lecture, discussion, audiovisual
media experiential methods, self-paced or computer based training, role
plays, case studies.
HRD Methods or HRD functions

ii. Behavioral training approaches like sensitivity training, team

building exercises, leadership training.
iii. Outdoor training approaches like outbound training.

4. Potential Appraisal and Promotion

• It is another important HRD mechanism which is concerned with
identifying the potential of an employee for future development and
promotion in the company.
• This focuses on finding out periodically the extent to which a given
individual possesses the critical attributes required to handle higher
level responsibilities.
HRD Methods or HRD functions

5. Career Development and Career Planning:

• It may be useful to help new employees become aware of the

various phases of development in the company and plan with
senior employees their specific career path.

• Necessary help may also be given to employees with limited

potential to cope with reality.

• In the HRD system, corporate growth plans are not kept secret.
They are made known to the employees to plan their career.
HRD Methods or HRD functions

6. Compensation and Reward:

• These are common positive reinforcers.

• They should be clearly related to the performance and behavior

of employees.
• Failure to reward employees properly the employees reduces
the reinforcing effect of rewards.

• Under HRD while salary structure is based on job analysis,

salary increase is linked with performance.
HRD Methods or HRD functions

7. Organizational development (OD) Techniques:

• Many organizations make use of several OD techniques for
the development of their human resource.
• These include team-building, organizational mirroring, T-
group, etc.
• In team building people learn how to work in collaboration
with each other.
• Under organizational mirroring, the host group gets feedback
from representatives from several other organizational groups
about how it is perceived and regarded.
HRD Methods or HRD functions

8. Role Analysis and Role Development

• This is an extremely important technique of HRD.
• Under it the job of an individual in the organization is analyzed
and enriched in terms of his role and not in terms of his job.
• It is always ensured that a role is sufficiently challenging for the
individual, provides him adequate autonomy for taking initiative
and is linked with other organizational roles to avoid a feeling
of isolation.
HRD Methods or HRD functions

9. Quality of Work Life:

• For overall development of workers, only good wages are not enough.

• They also need to be provided with good physical conditions and

motivating work. If the work is monotonous or boring it must be
redesigned.
10. Communication
• This process is fundamental to all aspects of life and is vital to the
function of integration.
• Real communication takes place when the listener truly hears and
understands the position and intent of the speaker.
HRD Methods or HRD functions

11. Counseling
• It is an important HRD mechanism to provide timely guidance to
workers on problems relating to hand and heart.
• Many Indian companies employ trained counselors for this purpose.

12. Grievance Redressal

• A grievance redressal procedure is vital to all organizations whether
big or small the organization is.
• The mere fact that an employee has access to a judicial type of justice
is satisfying even though he never has an occasion to use it.
HRD Methods or HRD functions

13. Data Storage and Research

• This also is a very important HRD mechanism. It is very
essential to preserve systematic information about every
individual employee on various topics such as the employee’s
personal characteristics, performance appraisal reports, potential
appraisal reports, promotions, salary, etc.
• This may be used for counseling, career planning, training,
promotion, etc.
 What is HDI ?
It is a tool used to measure a country's overall achievement in its
social and economic dimensions.
Definition:-
• The human development index (HDI) is a composite
statistic of life expectancy, education, and per capita income
indicators, which is used to rank countries into four tiers of
human development.

• The human development index is a measure of economic

development and economic welfare.

• The first Human Development Report in 1990 stated HDI as an

alternative to purely economic assessments of national
progress, such as GDP growth.
Origin of HDI
— Devised and launched by Pakistani economist Mahbub-ul- haq
in 1990.
— Amartya Sen and Mahbub –ul- haq worked upon the
capabilities and functioning which provided conceptual
framework.
— Published by United Nations Development Programme
(UNDP).

AMARTYA SEN
MAHBUB –UL- HAQ
 The dimensions and indicators of the HDI
• The HDI sets a minimum and a maximum for each dimension, called
goalposts, and then shows where each country stands in relation to
these goalposts, expressed as a value between 0 and 1.

• HDI has three dimensions, measured by one or two indicators each:

• Leading a long and healthy life
o Life expectancy at birth
• Education
o Adult literacy rate
o Gross primary, secondary and tertiary enrolment
• A decent standard of living
o GDP per capita (PPP US$)
Life expectancy at birth: Number of years a newborn infant could
expect to live if prevailing patterns of age-specific mortality rates at
the time of birth stay the same throughout the infant’s life.

Mean years of schooling: Average number of years of education

received by people ages 25 and older.

Expected years of schooling: Number of years of schooling that a

child of school entrance age can expect to receive if prevailing
patterns of age-specific enrolment rates persist throughout the
child’s life.
 Calculating the HDI
A long and Being A decent
healthy life Knowledgeable standard of
Dimensions:
living

Life MYS & EYS GNI

Indicators: Expectancy per capita

Life
Dimension Education Index GNI
Expectancy
index Index
Index

The HDI
Goalposts for calculating the HDI
Indicator Minimum value Maximum value
Life expectancy 20 years 85 years

Mean years of 0 15
schooling
Expected years 0 18
of schooling
GNI per capita 100 (PPP US$) 75000 (PPP US$)
Dimension Indicator Minimum Maximum
Health Life expectancy (years) 20 85

Expected years of schooling (years) 0 18

Education Mean years of schooling (years)

0 15
Gross national income per capita
Standard of (2011 PPP $)
living 100 75,000
CALCULATION OF HDI
Range

Very high human development 0.800 and above

High human development 0.700–0.799
Medium human development 0.550–0.700
Low human development Below 0.550
Bangladesh’s HDI value and rank

• Bangladesh’s HDI value for 2020 is 0.634— which put the country in the
medium human development category—positioning it at 133 out of 189
countries and territories.

• Between 1990 and 2020, Bangladesh’s HDI value increased from 0.386 to
0.634, an increase of 64.0 percent. Table A reviews Bangladesh’s progress in
each of the HDI indicators. Between 1990 and 2020, Bangladesh’s life
expectancy at birth increased by 16.9 years, mean years of schooling
increased by 3.8 years and expected years of schooling increased by 4.4
years. Bangladesh’s GNI per capita increased by about 312.7 percent
between 1990 and 2020.
Bangladesh’s HDI trends based on
consistent time series data
Life Expected Mean years GNI per
expectancy years of capita
Year HDI value
at birth of schooling schooling (PPP$)
1990 58.4 5.7 2.8 1,286 0.386
1995 61.9 6.6 3.3 1,435 0.423
2000 65.3 7.5 4.1 1,679 0.468
2005 68.0 8.4 4.5 2,036 0.506
2010 70.1 9.4 4.9 2,652 0.545
2011 70.5 9.9 5.1 2,784 0.557
2012 70.8 10.0 5.2 2,943 0.565
2013 71.2 10.0 5.2 3,071 0.570
2014 71.6 10.2 5.2 3,179 0.575
2015 72.0 10.2 5.2 3,341 0.579
2020 75.3 10.1 6.6 5308 0.634
 Life Expected Mean GNI per
HDI HDI expecta years
value rank ncy years of of capita
schoolin
schoolin g (PPP
at birth g US$)
Bangladesh 0.579 139 72.0 10.2 5.2 3,341
Nepal 0.558 144 70.0 12.2 4.1 2,337
Pakistan 0.550 147 66.4 8.1 5.1 5,031
South Asia 0.621 — 68.7 11.3 6.2 5,799
Medium HDI 0.631 — 68.6 11.5 6.6 6,281
Reference
• Thiruchelvi (2008). Strategic Human Management and
Development. Centre for Distance Education, Anna
University Chennai, Chennai.
THANK YOU