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KENYATTA UNIVERSITY
INSTITUTE OF OPEN LEARNING
STC-C-205/CBA 502
HUMAN RESOURCE MANAGEMENT 1
LUCY MUGWERE
DEPARTMENT OF BUSINESS ADMINISTRATION
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TABLE OF CONTENTS
LESSON 1 INTRODUCTION TO HUMAN RESOURCE MANAGEMENT
LESSON 2 WHAT IS HUMAN RESOURCE MANAGEMENT
LESSON 3 HISTORY AND GROWTH OF HUMAN RESOURCE
MANAGEMENT
LESSON 4 HUMAN RESOURCE PLANNING
LESSON 5 JOB ANALYSIS
LESSON 6 THE RECRIUTMENT AND SELECTION PROCESS
LESSON 7 TRAINING AND DEVELOPING HUMAN POTENTIAL
LESSON 8 PERORMANCE APPRAISALS
LESSON 3 JOB ANALYSIS
LESSON 4 HUMAN RESOURCE PLANNING
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LESSON5 RECRUITMENT AND SELECTION
LESSON 6 TRAINING AND DEVELOPMENT
LESSON 7 PERFORMANCE APPRAISAL SYSTEMS
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INTRODUCTION TO HUMAN RESOURCE MANAGEMENT
Preface
This module aims at providing all students undertaking to study Human Resource
Management and all practicing managers with a complete, comprehensive review of
essential Human Resource Management concepts and techniques in a simple, reader
friendly, understandable yet concise manner.
While the module focuses almost entirely on essential Human Resource Management
topics like Job Analysis, Human Resource planning, Compensation, Training
Recruitment and Selection , practical applications such as how to conduct a job analysis
exercise , how to conduct human resource planning exercise or how to establish a pay
plan are used throughout the module to provide students with practical, hands-on human
resource management skills that they will find useful when practicing in the real world.
This is a book about managing people or what is now known as Human Resource
Management (HRM). HRM is a management discipline aimed at improving
organizational effectiveness by utilizing a firms human resources. Its also about
managing in a changing world .In the past managers aimed for success in a relatively
stable and predictable world. Today however in the hyper turbulent environment of the
twenty-first century managers confront accelerating change. They are facing constant
innovation in computer and information technology and a chaotic world of changing
markets and consumer lifestyles. Todays organization must be able to transform and
renew to meet these changing forces.
The subject of human resource management covers a combination of wide areas. It
borrows from psychology, business organization, training of industrial relations. This
wide range of subject matter causes problems for the student i.e that the core reality for a
human resource management unit is usually scattered over numerous text books. This is a
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problem especially in our public universities which are still short of good HRM text
books.
In writing this module it is my belief & hope though that this course / book will provide a
strong foundation in human resource management not only to the students undertaking
HRM or to the HR managers out there but to all those who are in the business of
managing people.
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INTRODUCTION
An organization is nothing without human resources. What is Kenya Breweries
without its employees? A lot of factories, expensive equipment and some impressivebank balances. Similarly if you remove the employees from such varied organizations
as Coca-Cola, Microsoft, and Toyota what would you have left? Not much.
The above paragraph is meant to dramatize something that most of us take for granted.
When you think of about the millions of organizations that provide us with goods and
services, any one or more which may probably employ you during your lifetime, how
often do you explicitly consider that these organizations depend on people to make
them operate? It is only under unusual circumstances like when the teachers in public
schools went on strike and the children were not being taught or when the lecturers
went on strike and no learning was taking place at the University or when the city
council workers went on strike and our streets were filled with filth that we recognize
the important role that employees play in making organizations work.
But how were these people in these organizations found and selected? Why do they
come to work everyday? How do they know what to do in their jobs? How does
management know the workers are performing effectively? How do we decide how
much to pay each worker or each manager? Will todays worker be prepared for work
that will be expected of him in twenty, thirty years from now?
These are some of the questions whose answers lie in the subject of Human Resources
Management.
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LESSON 2 WHAT IS HUMAN RESOURCE MANAGEMENT
Objectives: By the end of this lesson the student should be able to explain what Human
Resource Management is and give an appropriate definition of HRM.
To understand what Human Resource management is we must first review what
managers do. Most experts agree that management is getting work done through others
Management can be said to be the process of getting activities completed with and
through people .Most experts also agree that there are 5 basic functions all managers
perform: planning, organizing, staffing, leading and controlling. In total these functions
represent the management function.
Some of the specific activities involved in these functions include:
Planning: Establishing goals and standards, developing rules & procedures; developing
plans and forecasting-predicting or projecting some future occurrence
Organizing: Giving each subordinate a specific task; establishing departments,
delegating authority to subordinates, establishing channels of authority and
communication; coordinating the work of subordinates
Staffing : Deciding what type of people should be hired; recruiting prospective
employees, selecting employees, setting performance standards, compensating
employees, evaluating performance; counseling employees; training and developing
employees
Leading:Getting others to get the job done; maintaining morale; motivating subordinates
Controlling: Setting standards such as sales quotas, quality standards or production
levels; checking to see how actual performance compares with these standards; taking
corrective action
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In this module we are going to focus on one of these functions: the staffing function,
Personnel Management or as it is usually called today Human Resource Management.
Human resource management refers to the practices and policies you need to carry out
the people or personnel aspects of your management job. These include:
Conducting job analysis (determining the nature of each employees job)
Planning labor needs and recruiting job candidates
Selecting job candidates
Orienting and training new employees
Managing wages and salaries (how to compensate employees)
Providing incentives and benefits
Appraising performance
Communicating (interviewing, counseling ,disciplining)
Training and developing
Building employees commitment
Human Resources Management (HRM) concerns the human side of the management of
enterprises and employees relations with their firms. Its purpose is to ensure that the
employees of a company i.e its human resources are used in such a way that the employer
obtains the greatest possible benefit from their abilities and the employees obtain both
material and psychological rewards from their work. Human Resources management is
based on the findings of work psychology and uses the techniques and procedures known
collectively as personnel management i.e that part of human resource management
concerned with staffing the enterprise, determining and satisfying the needs of people at
work and the practical rules and procedures that govern relationships between employees
and the organization.( Graham & Bennett,1998)
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Human Resources Management can also be defined as the management of activities
undertaken to attract, develop, motivate and maintain a high-performing workforce
within the organization. HRM involves moving towards corporate excellence by
integrating the desires of individuals for growth and development with organizational
goals. (Bowin & Harvey, 2001)
It is people who design and produce the goods and services, maintain quality, market the
goods and services, use financial resources and develop strategies and objectives for the
organization. Without an effective workforce it would be impossible for an organization
to achieve its objectives. The HR managers role is to develop an effective relationship
between the organization and its employees.
Human resource management efforts, then, are planned, systematic approaches to
improving organizational performance. They involve HRM programs aimed at the total
organization or to relatively large segments of it .The purpose of HR programs is to
increase the effectiveness of the system and also to develop the potential of all individual
members. There are a series of planned HRM activities which will ultimately influence
the productivity of the organization .These human resource activities will be discussed in
the succeeding lessons of this module.
Decenzo (1993) gives a somewhat similar definition of Human Resources Management
by saying that it is a process consisting of the acquisition, development, motivation, and
maintenance of human resources.
We can elaborate further on this definition of Human Resources management .Let us
reflect on the major activities existing within the functions of acquisition, development,
motivation and maintenance.
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ACQUISITION
- Human ResourcePlanning
- Recruiting-Internal- External
- Employee
Socialization
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Why is Human Resource Management Important to All Managers
Why are these concepts and techniques important to all managers?
Perhaps its easier to answer this by listing some of the personnel mistakes you dont
want to make while managing:
For example you dont want:
To hire the wrong person for the job- have someone who cannot perform or who
cannot fit in the organization
To experience a high turnover due to poor policies because this is expensive to the
company
To find your people not doing their best because they are not trained or motivated
To waste you time on useless interviews
To have your company taken to court for flouting the safety laws
To have some of your employees demoralized because they think their salaries are
unfair and inequitable
To allow a lack of training to undermine your organizations competitiveness
To commit any unfair labor practices.
Carefully studying this book will help you avoid mistakes like these.
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SUMMARY
Human resource management is an important subject .It is important because human
resources are the critical element to the organization .Without an effective workforce it
would be impossible for the organization to achieve its goals.
We can define human resource management as the management of activities undertaken
to attract, develop, motivate and maintain a high performing workforce within the
organization. HRM involves moving towards corporate excellence by integrating the
desires of individuals for growth and development with organizational goals.
There are basic functions all managers perform: planning, organizing, staffing, leading
and controlling. These represent what is often called the management process. Staffing is
the function focused on in this module. It includes activities like recruiting, selecting,
training, compensating, appraising and developing.
HR management is very much a part of every line managers responsibilities .These HR
responsibilities include interviewing, orienting, training and compensating to improve theworkers job performance.
The HR Manager and his her department carry out three main functions .First the HR
Manager exerts line authority in his or her unit and implied authority elsewhere in the
organization .He or she exerts a coordinative function to ensure that the organizations
HR objectives are coordinated and implemented .And he or she provides various staff
services to line management for example the HR Manager assists in the hiring, training,
evaluating ,rewarding ,promoting and disciplining of employees at all levels
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REVIEW QUESTIONS
1. Explain what Human Resource Management is and how it relates to the
management process
2. Define Human Resource Management
3. Why is Human Resource Management important to all managers?
4. Present examples of how HRM activities are used in an organization you work for
or know about.
5. Give examples of HRM activities that are carried out by line managers.
6. The Human Resource Manager and his department carry out three distinct
functions .Describe these.
7. Distinguish between the line and staff aspects of HRM
8. Why is the acquisitionphase important in HRM?
9. Why is the developmentphase important in HRM?
10. Why is the motivationphase important in HRM?
11. Why is the maintenancephase important in HRM?
DISCUSSION QUESTIONS1. Discuss and explain the basic HR functions
2. Discuss exactly which HR management activities are carried out by line managers
and staff managers. Using examples discuss the cooperative line staff human
resource management.
3. What is HRs role in todays organization?
4. Working individually or in groups discuss how modern trends like globalization,
information technology have affected organizations and the way they are
managed
5. How can HR contribute to giving a company a competitive edge?
6. People who are having trouble performing should be transferred to the Personnel
Department. Do you agree or disagree
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7. .In organizations that you have worked for, how have you seen the major
personnel functions being performed?
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LESSON 3 THE HISTORY AND GROWTH OF HUMAN
RESOURCE MANAGEMENT
Objective: By the end of this lesson students will be able to describe how the field of
human resource management emerged and how it has evolved
Introduction
Human resources management emerged from personnel management which itself
developed from the activities of industrial welfare workers in the latter half of the
nineteenth century. Throughout the history of HRM a single common factor has beenparamount namely the needs of people at work.
The foundation of modern HRM emerged from several interrelated sources. These
include conflict management associated with the tensions and contradictions which are
inherent in the employment relationship and the increased specialization of labor related
to the growth in the scale of work organizations ,the scientific approach of management
to managing people ,the empire building activities of the specialists and the
employment related law of the last three decades .
Stages In The History Of Human Resource Management
The first stage of development involved a handful of employers and philanthropists who,
driven by the desire to improve the conditions of people at work, initiated various
programs for bettering physical working environments and the quality of working life.
Stage two may be said to have emerged during the First World War when faced with
acute labor shortages and the urgent need to increase industrial productivity, governments
in Europe and the USA actively encouraged the systematic study of employer employee
relations and the human aspects of industrial work. This led to a fresh understanding of
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labor management problems and hence to a more technical and sophisticated approach to
the personnel officers role.
The third stage was characterized by the advancement in the 1930s and 40s of various
academic theories of management and the integration of management studies into general
social science
By the 1960s specializations had developed within the personnel function which itself
had become recognized as a valuable discipline in its own right applicable to all forms
and sizes of business and work situation.
Company personnel policies and procedures now encompassed recruitment and selection,
training, industrial relations, labour planning, salary administration and employee
appraisal.
Intense business competition in the 1980s and 1990s, the introduction of new
production technologies which depended heavily on multi skilled flexible working
practices frequently involving team working, and changing cultures at both the national
and individual enterprise levels, catapulted personnel management to increasingly critical
positions within firms. Personnel work became associated with wider business functions
and with business strategy in the round. Inevitably, therefore, personnel managers were
more and more involved with general business management and concerned with profit.
maximizing activities such as staff motivation, performance management, empowerment
of workers total quality management (TQM), organizational modification and so on.
Human resourcing decisions had to be taken at the very top level of management within a
company.
The history of human resource management reflected prevailing beliefs & activities held
in society about employees, the response of employers to public policy, reactions to trade
union growth and reactions to a hyper turbulent environment of the twenty first century
where managers confront accelerating change.
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Evolution Of Human Resource Management.
PERSONNEL TO HRM
Personnel departments were once called Health and Happiness departments. The
people assigned to deal with personnel issues were often individuals who were past their
prime. The personnel department was seen as a place where less productive employers
could be placed with minimal damage to the organizations ongoing operations.
Individuals in the personnel department were perceived as those responsible for planning
company picnics, vacation schedules, Christmas parties & retirement parties. Personnel
as an activity was seen as a necessary but unimportant part of the organization.
Yet as the field of management begun to mature, more emphasis was being placed on the
workers. Various studies revealed that recognizing workers for the work they had done
could influence their productivity.
Workers were becoming more demanding in what they wanted from a job and society by
means of law and legislation was placing new demands on employers.
Examples of historical influences on the discipline of Personnel Management:
1911 Fredrick Taylor Publishes Principles of professional management
1946 Employment Act was passed
1963 Equal pay act
1964 Civil Rights Act
1967 Age discrimination in Employment Act
1973 Health maintenance organization Act
1974 Employee Retirement income Security Act.
1986 Tax Reform Act
Events such as these mandated changes in personnel practices.
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No longer could the personnel department be treated as a detour on the road to success.
Organizations had to hire the best qualified candidate without regard to race, religion,
color, sex or national origin.
The individual hired needed to be trained to function effectively within the organization.
Furthermore once hired and trained the organization had to provide a means of
continuing the personal development of each employee. Practices were needed to ensure
that these employees maintained their productive affiliation with the organization. Finally
work conditions had to be established such that the work environment induced workers to
stay with the organization and simultaneously attracted new applicants to the
organization.
In the past, managers aimed for success in a relatively stable and predictable world, today
however in the hyper turbulent environment of the twenty - first century managers
confront accelerating change. They are facing constant innovation in computer and
information technology and a chaotic world of changing markets and consumer lifestyle.
Todays organization must be able to transform and renew to meet these changing forces.
HRM is an emerging behavioral science discipline that provides a set of methodologies
for systematically bringing about high performing organizations. Human resources
management has therefore become an increasing important element in organizations
Robert Reich suggests that in the future the organizations ability to attract, develop and
retain a talented work force will be a critical factor in developing a high performing
organization.
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Personnel Management and Human Resource Management.
Personnel Management is an important element of the broader subject of HumanResource Management, although in practice the two terms are frequently used
interchangeably emphasizing the fact that the people employed in a company are
resources which are at least as important as financial or material resources and must be
given careful and expert attention.
The Institute of Personnel & Development has published the following definition.
Personnel Management is that part of management concerned with people at work and
with their relationships within an enterprise. Its aim is to bring together and develop into
an effective organization the men and women who make up an enterprise and having
regard for the well being of the individual and of working groups to enable them to make
their best contribution to its success.
In particular personnel management is concerned with the development and application
of policies governing
-human resources planning
-education and training
-terms of employment,
-methods & standards of remuneration
-working conditions & employee services
-formal & informal communication and consultation both through the representative of
employers and employees at all levels throughout the organization.
-negotiation and application of agreements on wages and working conditions, procedures
for avoidance and settlement of disputes.
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The following relationships and differences between Human Resource
Management (HRM) and Personnel Management may be distinguished.
1.Personnel Management is practical utilitarian and instrumental and mostly concerned
with administration and the implementation of policies. Human Resources Management
conversely has strategic dimensions and involves the total deployment of Human
Resource within the firm. Thus for example HRM will consider such matters as:
(i) The aggregate size of the organization labor force in the context of an overall
corporate plan , design of the organization etc.
(ii) How much to spend on training the workforce, given strategic on target
quality levels , product prices, volume of production.
(iii) The desirability of establishing relations with trade unions from the viewpoint
of the effective management control of the entire organization.
(iv) Human asset accounting i.e the systematic measurememt and analysis of the
costs and financial benefits of alternative personnel policies e,g effects of
various salary structures and the valuation of the human worth of the
enterprises employees.
The strategic approach to HRM involves the integration of personnel and other HRM
considerations into the firms overall corporate planning and strategy formulation
procedures.
The strategic approach to HRM involves the integration of personnel and other HRM
considerations into the firms overall corporate planning and strategy formulation
procedures. It is proactive; seeking constantly to discover new ways of utilizing the labor
force in a more productive manner thus giving business a competitive edge. Practical
manifestations of a strategic approach to HRM might include
(i) Incorporation of a brief summary of the firms basic HRM policy into its
mission statement.
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(ii) Explicit consideration of the consequences for employees of each of the firms
strategies and major new projects.
(iii) Designing organization structures to suit the needs of employees rather than
conditioning the latter to fit it with the existing form of organization.
(iv) Having the head of HRM as the firms board of directors.
More than ever before human resource managers are expected to contribute to
productivity and quality improvement. The stimulation of creative thinking, leadership
and the development of corporate skills.
2. HRM is concerned with the wider implications of the management of change and not
just with the effects of change on working practices. It seeks proactively to encourage
flexible attitudes and the acceptance of new methods
3. Aspects of HRM constitute major inputs into organizational development exercises.
4. Personnel Management is reactive and diagnostic. It responds to changes in
employment law, labor market conditions, trade union actions, government codes of
practice and other environmental influences. HRM on the other hand is prescriptive and
concerned with strategies, the initiation and the development of the fresh ideas.
5. HRM determines general policies for employment relationships within the enterprise.
Thus it needs to establish within the organization a culture that is conducive to employee
commitment and cooperation. Personnel management on the other hand has been
criticized for being primarily concerned with imposing compliance with company rules
aid procedures among employees rather than with loyalty and commitment for the firm.
6. Personnel Management has shortterm perspectives; HRM has long-term perspectives,
seeking to integrate all the human aspects of the organization into a coherent whole and
to establish high level employee goals.
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7. The HRM approach emphasizes the needs:
-For direct communication with employees rather than collective presentation
-To develop an organizational culture conducive to the adaptation of flexible
working methods
-For group working and employee participation in group decisions
-To enhance employees long term capabilities, not just their competence at
current duties.
A contentious view of the difference between HRM and Personnel Management is the
preposition that whereas the latter is pluralistic in orientation, HRM has a unitaristic
approach.
Although the term human resources management has been in use since the 1960s the
work of a number of U.S academics led to the term assuming a new meaning in certain
contexts in the 1980s & 1990s. This new perspective on HRM emphasizes.
1. Individualism rather than collectivism resulting from the long term decline in
the number of employees belonging to trade unions
2. Wage systems based on personal contracts wherein a workers pay is set thro
individual negotiation with the firm as opposed to collective bargaining involving
trade unions.
3. Increasing levels of casual and part-time employees
4. The idea that managers and workers have common interests of management and
workers in achieving company goals
5. The need for cost-cutting and lean production methods consequent to the ever-
increasing international business competition
6. Greater emphasis on interpersonal relationships and communication using the
latest management techniques
7. Flexible labor practices
8. Teamwork
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Current Trends
A number of importance factors have altered the scope & nature of human resource
management in recent years notably the following.
1. Greater involvement of line managers in personnel management and a greater
decentralization and devolution of the function. Increasingly the managers are
required to undertake duties previously completed by personnel specialists. This
results in part from firms seeking to cut costs through reducing the sizes of their
personnel departments or partially in consequence of the view that line managers
ought to be able to complete this work.
2. Economic recession in the early 1990s the down sizing of organizations and a
shift in the nature of the relationship between management and labor.
3. New working methods based on flexible labor practices
4. Recognition of the importance of a firms human resources as a means for securing
competitive advantage, spurred on by the success achieved by Japanese
companies which pay greater attention to the personnel role.
The Development & Role of Personnel /HRM
The management of personnel today therefore presents a greater challenge than ever
before. Each generation of employee is better educated and more enlightened than the
preceding one. They expect intelligent leadership and more considerable treatment.
Because of the protection afforded them by their unions and by government legislation.
the employees of today are able to reject arbitrary on unfair treatment that only few
decades ago they would have been forced to accept.
Meeting the growing challenges requires managers to have a through understanding of
human behavior. They must know how to avoid behavioral problems with subordinates
and be able cope with those that do arise. If employees are unionized, managers need to
possess all understanding of labor relations & be able to interpret & administer properly
the agreement with the union.
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Most important as a result of the growing body of law relating to personnel management
it is essential for managers to know what they legally can & cannot do in their relations
with employers & their unions. Fortunately for managers, a growing body knowledge
relating to personnel management is continuing to evolve as a result of research and the
shared experience of practitioners in helping managers to avoid mistakes of the past.
REVIEW QUESTIONS
1 Distinguish between Personnel management & Human resource management.
Why are they both necessary in the organization?
DISCUSSION QUESTIONS
1. Personnel and marketing courses are viewed as soft compared with accounting
finance and statistics. Does that make personnel less relevant to business
students? Discuss.
2. The job of a Personnel Manager is one that is given to an individual who has
trouble performing in the mainstream of the organization of the organizations
operations. Do you agree or disagree. Discuss.
3. A manager of marketing or production should not become involved in personnel
department. Do you agree or disagree? Discuss.
4. Discuss the difference between a HR greatest & HR specialist.
Which would you rather be & why?
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Summary
Successful management of human resources is essential to organizational success and the
field associated with it is in a transitional phase that expands the function to include both
HRM & personnel management. Both Personnel Management & HRM are necessary.
Though the terms Personnel Management and Human Resource Management are most
often used interchangeably Personnel Management is an important element of the broader
subject of Human Resources Management .Though there are some differences both
emphasize that people are an important resource and must be given careful and expert
attention.
Personnel management is a set of activities encompassing the ongoing management of
the human resources within an organization.
The need for a separate HR department grows as an organization grows .Personnel /HR
departments can be highly centralized or decentralized depending upon the size and
management philosophy of the organization & upon the need for specialized knowledgeof a limited set of activities.
HR departments are composed of HR generalists and HR specialists. A generalist has a
broad knowledge of a number of HR activities whereas a specialist has intensive
knowledge of a limited set of activities.
An interface between the HR. manager & operating manager creates a point of contact on
P/HR activities.
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HRM MODEL
In recent years there has been relative agreement among HR specialists as to what
constitutes the field of HRM
The model that provided the focus was developed by the American Society for Training
& Development (ASTD). In its study ASTD identified nine human resource areas:
1. Training and Development focus: - Identifying & assessing and through planned
learning helping develop the key competencies which enable individuals to
perform current or future jobs.2. Organization & Development focus : assuring healthy listen and infra unit
relationships and helping initiate and manage change.
3. Organization /Job Design focus: defining how tassels, authority and systems will
be organized and integrated across organization units and in individual jobs.
4. Human Resource Planning focus: determining organization major human resource
needs, strategies and philosophies.
5. Selection and staffing focus: matching people and their needs and capabilities
with jobs and career paths
6. Personnel research and information systems for assorting a personnel information
base
7. Compensation / benefits focus: providing personal problem solving counseling to
individual employees
8. Employees Assistance focus: providing personal problem solving counseling to
individual employees
9. Union / Labor Relations focus: assuring healthy / union organization relationship
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Source: American Society for Training Development models for excellence (ASTD,
1983)
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in the organization in terms of how much & low well High productivity is what
makes an organization thrive without a good product or service to sell. Problems in
an organization are sure to arise accordingly productivity programs are becoming
more popular with organizations
- Readiness for change
- If one thing in the world would be said to be true is that things will never remain the
same. Change is a fact of life in both our private & our work lifes
- Examples eg if you remain a bachelor all your life people may be asking what is
wrong with you why are you not changing. Change is a part of life thats why many
of us allowed NARC because we wanted change.
- At the work site we must be aware that changes will occur. The change ay be subtle
such as getting a new boss, or it might be a major Endeavour such as an
organization installing a computer system for the first time autonomy many of the
manual operators. But change rarely comes easily for everyone
At the work site we must be aware that changes will occur. The change may be subtle
such as getting a new boss, or it might be a major endeavor such as an organization
installing a computer system for the first time automating many of the manual
operations. But change rarely comes easily for everyone in some cases it is resisted e.g.
imagine the secretary who has had twenty-five years experience in the organization being
made to go from a typewriter to a word processor. This can be traumatic and the change
could be resisted. How do you overcome this resistance? There are a few ways but
probably the greatest two would be to inform the secretary that the word processor was
designed to make her job more efficient; it was not designed to take over her job. The
fear associated with a possible treat to job security would negate any advantage that
might accrue by automating an office because this fear might manifest itself as decreased
morale.
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To reduce the fear associated with change, training is important. Once the secretary had
been given time to learn how to use the new equipment and to experience how efficient it
is and how it makes her job easier the fear of change can be reduced. From an
organizational perspective employers must make changes to remain competitive. But it is
also their responsibility to communicate the forth coming changes to their employees,
identify why changes are necessary and lend their total support in ensuring that the
change takes place. Through this process employers can create a work atmosphere that
news change as a positive and progressive endeavor.
In the remaining lessons we will discuss the various activities involved in human
resources necessary to achieve these outputs. The HRM model presented in figure 1 is
generic in nature and is too broad for our purposes. Because of the interrelatedness of all
the human resource functions and the impossible complexing of studying them in that
state, more specificity is warranted. To accomplish this objective we offer a model that
represents a more manageable form.
This model reflects the major activities existing within the functions of acquisition,
development, motivation and maintenance.
Earlier we defined HRM as a process consisting of the acquisitions, develop, motivations
and maintenance. At the hub of this model are the external influences
-government regulations
-trade/labor unions
-management practice
Remember that human resource activities in any of the 4 functions are constrained or
guided by these external influences. The outer circle represent the flow of major
activities in HRM. There is no beginning or end to the HRM process; it is a continual
process within which each circle are the major sub divisions of each function.
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Discussion Questions
In the organization in which you work, how have you seen the 4 functions of HRM beingperformed?
1.Acquisition HR planningJob analysisRecruitment and selection
2.Development Employee Training and Mg. Development- Career Development
3.Motivation Job Design- Performance- Rewarding the production employee
ACQUISITION
esourcening.
- Internalrnal
ization.
- Human RPlan- Recruiting
- Exte
-Employee SocialC
MOTIVATION
-Job Design-Performance Evaluation
-Rewards-Job Evaluation-Com pensions/benefits-Discipline.
EXTERNAL
INFLUENCES
MAINTAINAN
E
-Safety & Health-Employee/laborrelations.
DEVELOPMENT
-Employee Training-Management
Development-Career
Development.
4.Maintenance of Human resource - Compensation administration- benefits and services- disciplining the problem employee- safety and health- labor relations collective bargaining
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LESSON 4 HUMAN RESORCE PLANNING
Objective: By the end of this lesson students should be able to
define human resource planning
explain the importance of human resource planning
conduct a human resource planning exercise
explain the benefits of Human Resource Planning
Njeri : Would you tell me, please which way I ought to go from here?
Onyango : That depends a good deal on where you want to go.
Njeri : I dont care where
Onyango : Then it doesnt matter which way you go!
Introduction
Before you can depart on a journey it is necessary to know your destination. The steps
you take before beginning any trip appear quite simple:
determining where you are
determining where you want to go
finally, suggesting a route that can take you from where you are to
where you want to be.
In an elementary form this is what planning is all about:
Knowing where you are going and how you are going to get there.
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Importance of Human Resource Planning
If an organization is to achieve its goals, it needs inputs: financial resources (such asmoney and credit), physical resources (such as buildings and equipment), and people.
Too often, managers forget about how important that third factor the people variable is to
the success of an organization. Many managers have failed because they have taken their
human resources for granted.
To dramatise the value of the human factor consider for a moment an organization like
the Xerox Corporation, the duplicating machine company. It is a publicly held company
whose Stock Exchange has sales of over $11 billion a year and employs over 102,000
people. The hypothetical questions we pose are these:
If these 102,000 people were to quit at once, what would happen to the
organization?
What would happen to the price of the companys stock?.
The answers are
(1) The organizations survival would immediately be in jeopardy.
(2) The market price of the stock would plummet!
The point being made is simple:
Organizations are composed of people and these people represent one of the
organizations most valuable assets. However because the organization does not own
people, as it does capital and physical assets, this resource is seldom given proper
attention.
To ensure the healthy operation of the organization whether it be a business firm, a
government parastatal , a university or a professional football team its supply of human
resources must be sufficient. Towards this objective of continuing healthy operations the
organization requires human resource planning
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People represent the most flexible resource available to senior managers of an
organization. Deploying people in the right numbers, with the right skills and in the right
place is fundamental to success. The reason that we have had to do so many
retrenchments in Kenya especially in the public sector is because there was a lack of
proper human resource planning in the first instance. People were just recruited at
random without first establishing if there was a real need to employ them in the first
place. As a result organizations became bloated with excess manpower. It is also the
reason why donor agencies like the IMF, World Bank have implored the Kenyan
Government to cut back on staff in some organizations especially those in the Civil
Service amidst huge protest.
Human resource planning is one of the most important elements in a successful HRM
program. A survey of chief executives found that 85% listed HRP as one of the most
critical management undertakings of this decade. But what does the term human resource
planning mean?
Definitions of Human Resource Planning
Specifically human resource planning is the process by which an organization ensures
that it has the right number and kinds of people, at the right places, at the right time,
capable of effectively and efficiently completing those tasks that will help the
organization achieve its overall objectives.
Human resource planning then translates the organization objectives and plans into the
number of workers needed to meet those objectives. Without clear-cut planning an
estimation of an organizations human resource need is reduced to mere guesswork.
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In many organizations, few employees outside of the top executive group really know the
short and long range objectives. It is not surprising, therefore, that management may find
itself without the necessary human resources to fill unexpected vacancies, makereplacements created by natural attrition or meet opportunities created by the growth or
development of new products or services because critical human resources are
unavailable.
Human resources planning (HRP) may also be defined as an attempt to forecast how
many and what kind of employees will be required in the future and to what extent this
demand is likely to be met. It involves the comparison of an organizations current
human resources with likely future needs and consequently, the establishment of
programs for hiring, training, redeploying and possibly discarding employees.
Effective Human Resource Planning should result in the right people doing the right
things in the right place at precisely the right time.
Human resource planning or manpower planning as it was originally called had its start
after World War II in the Industrial Training Boards in Great Britain whose mandate was
to require effective manpower planning at the industrial level .It resulted from the
influence of socialistic government policies in England to provide the correct number of
skilled employees within certain age groups for their national industries.
Although a few large companies have special departments to develop human resource
plans and forecasts most companies that employ up to a few thousand cannot afford to
staff such specialists .In some large companies the responsibility of human resource
planning is assigned to the Human Resource Manager. However regardless of where
assigned, if a company is to grow and prosper, the functions of human resource planning
must be carried out effectively.
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Human Resource planning systems depend upon three key factors:
1.Knowledge of the Human Resource Environment: this provides information to answer
the question, `What has been and is happening to our human resources?` The answer
resides in the collection and analysis of such factors as labor turnover rates, recruiting
effectiveness and levels of training .These three factors comprise what is called the
human resource audit. Other human resource management environment factors that need
to be considered in the human resource audit are technological and economic changes.
These changes ,while difficult to quantify must be identified and evaluated.
2 Knowledge of the present corporate human resources. This is a prerequisite for
planning for the future The HRM manager must know what skills and potential are
presently available before beginning to plan. This initial inventory is called the human
resource inventory.
3. Knowledge of the present and future objectives of Corporate Planning: this requires
that business plans and objectives must be expressed in meaningful human resource terms
For example consider the following : The 5 year objective is to increase our market share
to 30% at a rate of 6% per year resulting in the bottom line increase of $ 150,000 in sales
volume .The preceding statement needs to be changed to meet our criteria by reducing
the expressed needs into an expression of human resource required for each year of the
planning cycle in terms of type and level of skill. This is essential since such a statement
of human resource requirements represents the central core of human resource planning
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Human Resource Planning ProcessCOMPANY OBJECTIVES
DEMAND FORLABOURHOW MANY?WHAT KIND?WHEN?WHERE?
SUPPLY OF LABOURPresent supply Minus wastage+ external labor value + fines+ changes in hours, producing or
working conditions.+ Possible and economic
increases in supply oflabor e.g. use of part-timeworkers.
HUMAN RESOURCES PLAN
Recruitment /redundancy programTraining & Development programIndustrial relations policyAccommodation Plan
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The Importance of Company Objectives
The essential first step in company HRP is a statement of company objectives which
covers products, methods, markets, etc. From this is derived the demand for labor which
is then related to the supply of labor to produce the human resources plan.
The implications of the human resources plan must then be considered by the top
management of the company incase company objectives need amendment for example
it may not be possible to increase production by the planned amount because labor of the
kind required is either impossible to train in the time available or does not exist in the
quantity needed.
Company HRP needs continuous adjustment because the goals of an organization are
unstable and its environment uncertain. It is also complex because it involves so many
independent variables- invention, population changes, consumer demand, foreign and
domestic competition, etc. It must include feedback because if the plan cannot be
fulfilled the objectives of the company may have to be modified so that they are feasible
in human resource terms.
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Steps In Long-Term Company Human Resource Planning
In step format the Human Resource Planning process will involve the following steps
1. The first step in HRP requires
(a) Assessing the current status of the organizations resources:
- a human resource inventory describes skills available within
the organization.
- A job analysis provides information about jobs currently being
done.
-
2. The second step is to review the organizations overall objectives and revenue
projections.
3. The third step translates the organizations revenue projections into a forecast of
demand for human resources.
4. The fourth step involves an assessment and forecast of internal and external supply
sources.
5. The final step in the human resource planning process consists of matching the
forecasts of future demand and supply. This will highlight shortages and overstaff
positions.
A long term company human resources plan is usually regarded as one which attempts to
forecast for about 5 years ahead.The company must consider the demand for labor, its potential supply (with corrections
for its present misuse, overuse or under-use) and the external environment. By studying
the interaction of all these factors it can then produce a plan showing how many and what
kind of employees are expected to be required in the future.
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The main points to be considered are:-
(a) the creation of a company HRP group including the managers in charge of the
main functions within the company.
(b) The statement of human resource objectives in the light of company objectives by
considering
- capital equipment plans
- reorganization e.g. centralization or decentralization
- changes in products or in outputs
- marketing plans
- financial limitations
(c) The present utilization of human resources in particular
i) numbers of employees in various categories
ii) estimation of labor turnover for each grade of employee and the
analysis of the effects of high and low turnover rates on the
organizations performance.
iii) amount of overtime worked
iv) amount of short-time
v) appraisal of performance and potential of present employees
vi) general level of payment compared with that in other firms.
Note that for all the above accurate and complete personnel records are essential.
(d) The external environment of the company
i) recruitment position
ii) population trends
iii) local housing and transport plans
iv) national agreements dealing with conditions of work
v) government policies in education, retirement, regional subsidies, etc.
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(e) The potential supply of labor in particulars
i) effects of local emigration and immigration
ii) effects of recruitment or redundancy by local firms
iii) possibility of employing categories not now employed e.g. part-time
workers
iv) changes in productivity, working hours and/or practices.
The Final Company HRP
After considering and coordinating these factors a human resources plan may then be
made, showing in detail, by function, occupation and locations, how many employees it
is practicable to employ at various stages in the future.
The following should appear in it:
o Jobs which will appear, disappear or change
o To what extent redeployment or retraining is possible
o Necessary changes at supervisory and management levels
o Training needs
o Recruitment, redundancy or retirement programs
o Industrial relations implications
o Arrangement for feedback in case modifications in the plan or company
objectives are necessary.
o Details of arrangements for handling any human resource problems arising from
labor deficits or surpluses (e.g. early retirement or other natural wastage
procedures)
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The Advantages of Human Resource Planning
These include :
1. The organization should be better equipped to cope with the human resourcing
consequences of changed circumstances.
2. Careful consideration of likely future human resource requirements could lead the
firm to discover new and improved ways of managing human resources.
3. Labor shortfalls and surpluses might be avoided
4. It helps the firm create and develop employee training and management succession
programs
5. Some of the problems of managing change may be foreseen and their consequences
mitigated. Consultations with affected groups and individuals can occur at an early stage
in the change process: decisions can be taken unhurriedly and by considering all relevant
options rather being taken in crisis situations.
6. Management is compelled to assess critically the strengths and weakness of its labor
force and personnel policies.
7. Duplication of effort among employees can be avoided i.e. coordination and
integration of workers efforts is improved.
When agreed the plan must be communicated to all levels of employees but particularly
to managers and unions or employee representatives; it is often necessary and advisable
to negotiate with the trade unions on the detailed implementation of the plan.
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A short term company HR plan which usually covers a period of up to one year ahead is
much more common than a long term plan. Many firms do not have the quality of
management to forecast long-term objectives or they feel that the nature of their business
makes it impossible to look ahead for more than one year. A short-term manpower plan
is comparatively easy because a firm will usually make a production or marketing plan
for a year ahead involving budgets, orders for new materials and components and sales
quotas. From this can be derived the amount of direct labor and the amount of indirect
labor may be estimated partly by fixed commitments and partly as a rule thumb.
Limiting FactorsIn practice human resource planning can be difficult and often inaccurate.
Chief reasons are:-
type of industry some depend on new product development or work on
tendering basis so that plans can only be short term because is never known
whether a tender will be accepted.
opposition or skepticism among members of management.
the difficulty of forecasting social and economic changes
accurately, positively is an era of high unemployment.
need to have complete and accurate employee records maintained
for at least the last 5 years.
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In more general terms, the possible benefits from a planned approach to the acquisition,
use and deployment of people throughout the organization include:-
o appropriately skilled and flexible workforce
o ability to respond to change
o stability in the core of the workforce
o reduced need to recruit externally
o improved morale and employee relations
o improvement in quality of products/services
o higher productivity.
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Review Questions
1 Define Human Resource Planning
2 What is the importance of Human Resource Planning?
3 What are the benefits of Human Resource Planning?
Discussion Questions
1 Explain how as a Human Resource Manager of a large organization how you wouldconduct a Human Resource Planning exercise.
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LESSON 5: JOB ANALYSIS
Objectives:By the end of this lesson students should be able to:
Explain the nature of job analysis
Explain its purpose and uses
Describe the methods of collecting job analysis information
Be able to conduct a job analysis
Write Job descriptions
Write Job Specificatons
Job Analysis Defined
A Job analysis is a systematic exploration of the activities within a job. Job analysis is
the procedure for determining the duties and skill requirements of a job and the kind of
person who should be hired for it.
The analysis produces information on job requirements which is then used for developing
job descriptions and job specifications.
A job description is a list of a jobs duties, responsibilities, reporting relationships,
working conditions and supervisory responsibilities, reporting relationships, working
conditions and supervisory responsibilities. It is one product of a job analysis.
A job specification is another product of job analysis. It is a list of a jobs human
requirements that is the requisite education, skills, personality and so on. It is another
product of a job analysis.
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Job analysis can also be defined as the process of gathering information about a job. It
provides information in several areas including:-
How much time is taken to complete basic tasks.
How are tasks grouped together into a job
How can a job be designed so that employee performance can be improved?
What kinds of skills are needed to perform a given job?
What kind of person is best suited for a certain type of job.
What group of tasks can be handled by a team or small group?
Note : This information provides a foundation for other HR activities.
In simple words we can therefore say that job analysis indicates what activities and
accountabilities the job entails. There is no mystery to a job analysis; it is just an accurate
recording of the activities involved
During job analysis the supervisor or HR specialist normally aims to collect one or more
of the following types of information:
1. Work activities information is usually collected on the actual work activities
performed such as cleaning, selling, teaching or painting. Such a list may also
indicate how, why and when the worker performs each activity.
2. Human behaviors information on human behaviors like sensing,
communicating, decision making and writing may be collected. Included here
would be information regarding human job demands such lifting weights, walking
long distances and so on.
2. Machines, tools, equipment and work aids used. Included here would be
information regarding products made, materials processed, knowledge dealt with
or applied (such as finance or law) and services rendered (such as counseling or
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repairing)
3. .Performance standards: Information is also collected regarding performance
standards (in terms of quantity, quality or speed for each job duty for instance) by
which an employee in this job will be evaluated.
4. .Job context: - Included here is information about such matters as physical
working conditions, work schedule, and the organizational and social context for
instance in terms of the number of people with whom the employee would
normally have to interact. Also included here might be information regarding
incentives for doing the job.
5. Human requirements: - Finally, information is usually compiled regarding human
requirements of the job such as job-related knowledge or skills (education,
training, work experience) and required personal attributes (aptitudes, physical
characteristics, personality, interests).
Uses Of Job Analysis Information
The information produced by job analysis is the basis for several interrelated HR
management activities
1. Recruitment and Selection
Job analysis provides information about what the job entails and what human
characteristics are required to carry out these activities. Such job description and job
specification information is used to decide what sort of people to recruit and hire.
2. Compensation
Job analysis information is also essential for estimating the value of and appropriate
compensation for each job. This is so because compensation (such as salary and bonus)
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usually depends on the jobs required skill and education level, safety hazards, degree of
responsibility and so on all factors that are assessed through job analysis.
Well also see that many employers classify jobs into categories and job analysis
provides the information for determining the relative worth of each job so that each job
can be classified.
3. Performance Appraisal
A performance appraisal compares each employees actual performance with his or her
performance standards. It is often through job analysis that experts determine the
standards to be achieved and the specific activities to be performed.
4. Training
Job analysis information is also used for designing training & development programs
because the analysis and resulting job description show the skills and therefore training
that are required.
5. Ensure complete assignment of duties
The job analysis is also useful for ensuring that all the duties that have to be done are in
fact assigned to particular positions. For example in analyzing the current job of your
companys production manager you may find she reports herself as being responsible for
two dozen or so specific duties including planning weekly production schedules,
purchasing raw materials and supervising the daily activities of each of her first-time
supervisors. Missing, however, is any reference to managing raw material or finished
goods inventories. On further investigation you find that none of the other manufacturing
people is responsible for inventory management either. Your job analysis has identified a
missing duty to be assigned. Missing duties like this are often uncovered through job
analysis.
As a result job analysis plays a role in remedying problems of the sort that would arise if
for example there was no one assigned to manage inventories.
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Job Analysis Methods
There are various techniques you can use for collecting information on the duties,
responsibilities and activities of the job and we will discuss the important ones in this
section.
The methods therefore that managers use to determine job elements and the concomitant
knowledge for successful performance include the following:
1. Observation Method:
Using this method, a job analyst watches employees directly or reviews films of workers
on the job. While the observation method provides first hand information, workers in
many cases do not function most efficiently when they are being watched. Thus
distortions in the job analysis may occur. This method also requires that the entire range
of activities be observable; possible with some jobs but impossible for many e.g. most
managerial jobs.
2. Individual Interview Method.
Using this method job incumbents are selected and extensively interviewed. The results
of these interviews are combined into a single job analysis. This method is effective for
assessing what a job entails but is very time consuming.
3. Group Interview Method.
This method is similar to the individual interview method except that a number of job
incumbents are interviewed simultaneously. Accuracy is increased in asserting jobs butgroup dynamics may hinder its effectiveness.
4. Technical conference Method
This method utilizes supervisors with extensive knowledge of the job. Here, specific
characteristics of a job are obtained from the experts. Although a good data gathering
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method, it often overlooks the incumbent workers perceptions about what they do on
their job.
5. Diary Method
This method requires job incumbents to record their daily activities. It provides much
information but is seldom applicable to job activities. The diary method is the most
intrusive of the job analysis methods requiring much work on the part of the incumbent
and accordingly requiring much time. To capture the entire range of work activities this
method may have to continue for long periods of time.-all adding to its cost.
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Steps In Conducting Job Analysis
The six steps in doing a job analysis are as follows:
Step 1: Identifying the use to which the information will be put, since this will
determine the types of data you collect and how you collect them. Some data collection
techniques like interviewing the employee and asking what the job entails and what his
responsibilities are good for writing job descriptions and selecting employees for the job.
Other job analysis techniques e.g. the position analysis questioner do not provide
qualitative information for job descriptions but rather numerical ratings for each job.
These can be used to compare jobs to one another for compensation purposes.
Step 2: Review relevant background information such as organization charts, process
charts, and job descriptions. Organization charts show how the job in question relates to
other jobs and where it fits in the overall organization. The chart should identify the title
of each position and, by means of its interconnecting lines, show who reports to whom
and with whom the job incumbent is expected to communicate.
A process chart provides a more detailed understanding of the work flow than is
obtainable from the organization chart alone. The existing job description if there is one
can provide a starting point for building the revised job description.
Step 3: Select representative positions to be analyzed. This is done when many similar
jobs are to be analyzed and it is too time-consuming to analyze, say the jobs of all
assembly workers.
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Step 4: Next actually analyze the job by collecting data on job activities, required
employee behaviors, working conditions and human traits and abilities needed to perform
the job.
Step 5: Review the information with job incumbents. The job analysis information
should be verified with the worker performing the job and with his or her immediate
supervisor. This will help to confirm that the information is actually correct and
complete. This review step can also help gain the employees acceptance of the job
analysis data and conclusions by giving that person a chance to review and modify your
description of his or her job activities.
Step 6: Develop a job description and job specification. A job description and a job
specification are usually two concrete products of the job analysis. The job description is
a written statement that describes the activities and responsibilities of the job as well as
important features of the job such as working conditions and safety hazards. The job
specification summarizes the personal qualities, traits, skills and background required for
getting the job done, it may be either a separate document or on the same document as
the job description.
Class activity:
Develop a job description and job specification for your current job. If not working at
the moment prepare a job description and job specification for a job that you are
familiar with.
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Summary
Job analysis is the procedure for determining the duties and skill requirements of a joband the kind of person who should be hired for it. In fewer words we can say that job
analysis indicates what activities and accountabilities the job entails
.A job analyst seeks to collect information on work activities, human behaviors,
machines, tools, equipment, work aids, performance standards, job context and human
requirements. The methods that managers can use to collect this information include
observation, individual interview, group interview, structured questionnaire, technical
conference and the diary method.
Job analysis information can be used for making decisions on recruitment and selection,
compensation, performance appraisal, training and to ensure complete assignment of
duties .
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Review Questions
1.What is job analysis?
2 What kind of information is collected during job analysis
3 Describe the methods can you use to collect this kind of information
4 What are the uses of job analysis information
5 Compare and contrast the individual interview method and the group interview methods
of job analysis
6 Identify the advantages and disadvantages of the following job analysis techniques :
observation method, structured questionnaire and diary method.
7 What are job descriptions?
8 What are job specifications?
9.Describe the process involved in conducting a job analysis.
Discussion Questions
1.Job analysis is just another burden for the organization and is not really
necessary. Discuss
2.Smaller organizations do not need a job analysis for their jobs because most of
their employees are generalists. Discuss
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LESSON 6 THE RECRUITMENT AND SELECTION PROCESS
Objectives:
By the end of this lesson students should be able to
Discuss the recruitment and selection process
Discuss the pros and cons of the various recruitment and selection methods
Introduction
Emphasizing the essential nature of the recruiting function in todays business
environment, Peter Drucker notes that every organization is in competition for its most
essential resource: qualified, knowledgeable people
An organization needs to hire the most qualified people it can at the most competitive
price. Before an organization is able to hire an individual, it must locate qualified
applicants who are looking for work. How does a company attract these people?
This is the recruiting process and it represents one of the major responsibilities of the HR
Manager
Case
Merck, the pharmaceutical company in U.S.A has been rated as the most admired
company is a fortune magazine survey. Richard Markhan, head of worldwide marketing
for the company, credits its success to attracting, developing and keeping good people.
He says We look at recruiting with the same kind of intensity as we do discovering new
molecules in the lab. Part of the Merck competitive advantage is their approach to
recruiting. Their focus is on business and the need to hire the best people they can find.
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In Lesson 4 we discussed the human resource planning .Successful human resource
planning will tell us about our manpower needs. Once we know these needs we will want
to do something about them .Human resource planning therefore helps us see the future
openings and whether these will be filled by inside or outside candidates.
Sometimes the term succession planning is used and this refers to the process of planning
how the companys most important executive positions will be filled. The fundamental
employment planning decision is whether projected positions will be filled internally or
externally. In other words should the projected open positions be filled by current
employees or whether they should be filled by recruiting outside candidates.
Like any good plans, employment plans are built on premises. If you are planning for
employment requirements, youll usually need three sets of forecasts:
One for personnel needs
One for the supply of inside candidates
And one for the supply of outside candidates
First predict the demand for your product or service ie the need for product and service.
Next project the volume of production required to meet these estimates
Finally, relate personnel needs to these production estimates.
Once personnel needs are projected the next step is to build up a pool of qualified
applicants
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Definitions of recruitment
Recruitment can be defined as the first part of the process of filling a vacancy; it includes
the examination of the vacancy, the consideration of sources of suitable candidates,
making contact with those candidates and attracting applications from them.
We can also define recruitment in other ways several definitions have been offererd by
several authors as given below :
Recruiting is the discovering of potential candidates for actual or anticipated
organizational vacancies. Or from another perspective it is a linking activity bringing
together those with jobs to fill and those seeking jobs.
(Decenzo, 1993)
Recruiting may be defined as the process of seeking, attracting and identifying a pool of
qualified candidates in sufficient numbers to fill current and future workforce needs.
(Robert Bruce Bowin, 2000)
Once you have been authorized to fill a position the next step is to develop an applicant
pool, probably using internal recruitment or other recruitment sources described next.
Recruiting is important because the more applicants you have the more selective you can
be in your hiring. If only two candidates apply for two openings you may have little
choice but to hire them. But if 10 or 20 applicants appear then you can employ
techniques like interviews and tests to screen out all but the best.
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The Recruiting Process
The recruiting process therefore involves several steps:
It begins with human resource planning and job analysis, and a determination of the
organizations short and long term personnel needs based on these needs and existing
conditions, the firm then recruits them both internal and external sources. This provides a
pool of qualified job applicants, and the final step then is the selection from the applicant
pool.
We will now discuss several sources of candidates including internal sources (promotion
from within) advertising, employment agencies, executive recruiters, college recruiting,
the internet, referrals and walk ins.
Remember that it is unlawful to discriminate against any individual with respect to
employment because of race, color, religion, sex, national origin or age. Unless (religion,
sex or origin are bona fide occupational qualifications.
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External Sources of Candidates
As mentioned earlier once the organization has become aware it needs additional
employees the HR Manager is faced with the decision about how to generate the
applicant pool necessary to satisfy labor needs. The organization can use internal sources
and if necessary external sources for generating a sufficient number of applicants
whenever there is a shortage of labor and skills inside the organization.
External recruiting is used when the organization is unable to fill its hiring needs from
internal sources. The organization may be growing too rapidly or may require highly
specialized (technical skills not available in the current work force. The organization
may want new ideas and approaches. When an organization decides to recruit from
outside the organization the process becomes more involved and uncertain. Very many
vacancies are filled new external sources; even when an internal candidate is transferred
or promoted the final result is usually a vacancy elsewhere in the company which has to
be filled from outside. They are both advantages and disadvantages to internal recruiting
as we will see later.
Once it has been decided to reach out to external candidates it will use one or several of
the following external sources can be used:
1. Advertising
2. Employment Agencies /
Temporary help agencies
3. College Recruiting as a source of candidates4. Executive recruiting as a source of candidates
5. Referrals and walk ins as a source of candidates
6. Computerized Employee Database.
7. The internet.
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Very many vacancies are filled from external sources .Even when an internal candidate
is transferred or promoted. The final result is usually a vacancy elsewhere in the
company, which has to be filled from outside.
External recruitment can be time consuming, expensive and uncertain, although it is
possible to reduce these disadvantages to some extent with forethought and planning.
External sources can be divided into 2 classes:
Those which are comparatively inexpensive but offer a limited choice for example walk-
ins, unsolicited applications.
Those which are comparatively expensive but give the employer access to a wider range
of candidates e.g. advertising, use of private agencies.
Even when unemployment is high certain categories of employees who possess scarce
skills are difficult to find and the employer may have to use the more expensive means of
recruitment. Other types for example unskilled workers can be found very easily using
inexpensive means, the problem then lies in selecting the suitable candidate from among
a very large number of applicants.
Recruitment is more likely to achieve its objective if recruiting sources reflect the type of
position to be filled. For example an advertisement in the Standard business employment
section is more likely to be read by a manager seeking and executive position in the
K75,000 to K100,000 a year bracket than by a watch repairer, seeking to find
employment.
Dont look for the right person in the wrong place.
e.g. dont look for a professional with a number of years working experience at a college.
At a college look for a management trainee.
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Certain recruiting sourcesare more effective than others for filling certain types of jobs
Let us consider several external sources of candidates.
As we review each source try to see the strengths & weaknesses in attempting to attract
lower level and managerial personnel .
1.Advertising as a Source of Candidates
Is your advertising getting results? It sure is! Last week we advertised
for a night watchman and the next night we were robbed.
The most popular method of recruitment is to advertise the vacancy and invite candidates
to apply to the company. To use advertisements successfully you need to address 2
issues.
- The media to be used.
- The ads construction
The selection of the best medium-be it the Daily Nation, the Times or a technical journal
depends on the type of positions for which you are recruiting. To recruit professionals for
example a C.E.O or Accountant you should choose a suitable medium like the East
African Standard, for blue collar help you may choose other more suitable medium. It
would not be appropriate for example to advertise for the position of CEO on a placard
outside the factory building or in the classified help-wanted section of the dailies nor
would it be appropriate to advertise for a sweeper in the Times. You must always
choose the correct medium. or specialized employees you can advertise in trade and
professional journals.One draw back to this type of trade paper advertising is the longlead-time that is usually required; there may be a month or more between insertion of the
ad and publication of the journal.
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Some media for example the Nation is particularly good for its wide geographical
coverage such that the entire country can be targeted for coverage.
The advertisement can become the first stage in selection by describing the job and
qualifications required so comprehensively that borderline candidates will be deterred
from applying and good candidates encouraged.
The small amount of research that has been done in this field shows that information
about the job contributed much more to the effectiveness of an advertisement that its style
or size. There is also general agreement that including the word training in an
advertisement increases the response.
Advertising may be also made more effective and less expensive if the following
principles are observed.
a. The advertisement should contain a job specification and job description in miniature,
including the following:
- Job Title
- Description of job and employer
- Experience, skills and qualifications required.
- Age range
- Working conditions e.g. wage/ salary, fringe benefits
- Training given
- What action the candidate should take e.g. write a letter, telephone for an application
form, etc.
b. It should appear in the appropriate publication e.g. professional journal for specialists.
c. Experiments should be made to test the response for different sizes headings,
wordings, page position, day of the week.
d. Careful records should be kept showing
- Which publication was used
- Which date and day of the week
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- Which position on the page
- Which style and size
- Names of the candidates replying to each advertisements
- Names of the candidates who are selected for the interview
- Name of the candidate who was successful.
e. The response should be analyzed so that advertising expenditure can be directed
towards the publication and style of advertisement which give the best result for a
particular type of vacancy.
f. Rejected candidates should be sent a prompt and courteous letter; Inconsiderate
treatment will eventually detract from a companys reputation and adversely affect
the response to future advertisements.
The small amount of research that has been done in this field shows that information
about the job contributes much more to the effectiveness of an advertisement than its
style or size.
Sometimes other considerations besides cost and response must be kept in mind. The
company may decide that small advertisements are not consistent with its prestige or
image and that large advertisements must be used even though they can be shown to be
wasteful. In this case part of the cos