HRM

Recruitment & selection

Class 1
Class 1 10/5/2019 1
HRM Concept

 Human resource management (HRM) is the coordination of an organization’s

people to achieve specific business objectives, fulfill staffing needs, and
maintain employee satisfaction.

 HRM accomplishes this through the use of people, processes, and technology
that focus on the internal parts of the organization rather than on the
external environment.

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HRM - Human Resource Management.

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

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

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Human Resource Management (H+R+M)

 Human: Refers to the skilled workforce in an organization.

 Resource: Refers to limited availability or scarce.
 Management: Refers how to optimize and make best use of such limited
or scarce resource so as to meet the organization goals and
objectives.

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Human Resource Management (Combine)

 The process of hiring and developing employees so that they become more
valuable to the organization.

 Human Resource Management includes conducting job analyses, planning

personnel needs, recruiting the right people for the job, orienting and
training, managing wages and salaries, providing benefits and incentives,
evaluating performance, resolving disputes, and communicating with all
employees at all levels. Examples of core qualities of HR management are
extensive knowledge of the industry, leadership, and effective negotiation
skills. Formerly called personnel management.
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Objectives of Human Resource Management

 Societal objective. To be socially responsible to the needs and challenges of society while minimizing the
negative impact of such demands upon the organization. The failure of organizations to use their
resources for society's benefit may result in restrictions.

 Organizational objective. To recognize that Human resource management exists to contribute to

organizational effectiveness. HRM is not an end in itself; it is only a means to assist the organization with
its primary objectives. Simply stated, the department exists to serve the rest of the organization.

 Functional objective. To maintain the department's contribution at a level appropriate to the

organization’s needs. Resources are wasted when Human Resource Management is more or less
sophisticated than the organization demands. A department's level of service must be appropriate for the
organization it serves.

 Personal objective. To assist employees in achieving their personal goals, at least insofar as these goals
enhance the individual's contribution to the organization. Personal objectives of employees must be met
if workers are to be maintained, retained and motivated. Otherwise, employee performance and
satisfaction may decline, and employees may leave the organization. 10/5/2019 6
HRM IS DESIGNED FOR

 Human resource management is meant for proper utilization of available

skilled workforce and also to make efficient use of existing human resource in
the organization.

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HRM ROLES

 Human Resource Management involves management functions like planning,

organizing, directing and controlling
 It involves procurement, development, maintenance of human resource
 It helps to achieve individual, organizational and social objectives
 Human Resource Management is a multidisciplinary subject. It includes the study of
management, psychology, communication, economics and sociology.
 It involves team spirit and team work.
 It is a continuous process.

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 Milestones in Development of HRM.

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

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

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Milestones in Development of HRM CONT..

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

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

 1965-1985

The Civil Rights movement in the U.S. reaches its apex with passage of the

Civil Rights Act of 1964. The personnel function is dramatically affected by

Title VII of the Civil Rights Act , which prohibits discrimination on the basis of

race, color, sex, religion, and national origin. In the years following the

passage of the CRA, equal employment opportunity and affirmative action

become key human resource management responsibilities.

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Milestones in Development of HRM CONT..

1985-present
Three trends dramatically impact HRM.

 The first is the increasing diversity of the labor force, in terms of age, gender, race, and
ethnicity.

 A second trend is the globalization of business and the accompanying technological

revolution. These factors have led to dramatic changes in transportation, communication,
and labor markets.

 The third trend, which is related to the first two, is the focus on HRM as a "strategic"
function. HRM concerns and concepts must be integrated into the overall strategic planning
of the firm in order to cope with rapid change, intense competition, and pressure for
increased efficiency. 10/5/2019 12
Industrial Welfare

 Industrial welfare was the first form of human resource management (HRM).
In 1833 the factories act stated that there should be male factory inspectors.
In 1878 legislation was passed to regulate the hours of work for children and
women by having a 60-hour week. During this time trade unions started to be
formed. In 1868 the 1st trade union conference was held. This was the start
of collective bargaining. In 1913 the number of industrial welfare workers had
grown so a conference organized by Seebohm Rowntree was held. The welfare
workers association was formed later changed to Chartered Institute of
Personnel and Development.

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Recruitment and Selection

 It all started when Mary Wood was asked to start engaging girls during the 1st
world war. In the 1st world war personnel development increased due to
government initiatives to encourage the best use of people.

 In 1916 it became compulsory to have a welfare worker in explosive factories

and was encouraged in munitions factories.

 A lot of work was done in this field by the army forces. The armed forces
focused on how to test abilities and IQ along with other research in human
factors at work. In 1921 the national institute of psychologists established and
published results of studies on selection tests, interviewing techniques and
training methods.
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Acquisition of other Personnel Activities

During the 2nd world war the focus was on recruitment and selection and later
on training; improving morale and motivation; discipline; health and safety; joint
consultation and wage policies. This meant that a personnel department had to
be established with trained staff.

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Industrial Relations

Consultation between management and the workforce spread during the war.
This meant that personnel departments became responsible for its organization
and administration. Health and safety and the need for specialists became the
focus. The need for specialists to deal with industrial relations was recognized so
that the personnel manager became as spokesman for the organization when
discussions where held with trade unions/shop stewards.

In the 1970's industrial relations was very important. The heated climate during
this period reinforced the importance of a specialist role in industrial relations
negotiation. The personnel manager had the authority to negotiate deals about
pay and other collective issues.
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Legislation

In the 1970's employment legislation increased and the personnel function took
the role of the specialist advisor ensuring that managers do not violate the law
and that cases did not end up in industrial tribunals.

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Flexibility and Diversity
 In the 1990's a major trend emerged where employers were seeking increasing
flexible arrangements in the hours worked by employees due to an increase in
number of part-time and temporary contracts and the invention of distance
working.

 The workforce and patterns of work are becoming diverse in which traditional
recruitment practices are useless. In the year 2000, growth in the use of
internet meant a move to a 24/7 society. This created new jobs in e-
commerce while jobs were lost in traditional areas like shops. This meant an
increased potential for employees to work from home. Organizations need to
think strategically about the issues these developments raise. HRM managers
role will change as changes occur.
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Importance of Human resource

 Behind production of every product or service there is an human mind, effort and man hours
(working hours).

 No product or service can be produced without help of human being.

 Human being is fundamental resource for making or construction of anything. Every

organization desire is to have skilled and competent people to make their organization
competent and best.

 Among the five Ms of Management, i.e., men, money, machines, materials, and methods,
HRM deals about the first M, which is men. It is believed that in the five Ms, "men" is not so
easy to manage. "every man is different from other" and they are totally different from the
other Ms in the sense that men possess the power to manipulate the other Ms. Whereas, the
other Ms are either lifeless or abstract and as such, do not have the power to think and
decide what is good for them. 10/5/2019 19
HR as Strategic Partner

 It incorporates the HR Vision and Mission that help pull HR people and other
employees in the same direction. In order to bring this about, everyone must
have a sense of belonging.

 A strategic plan will ensure that people will carry out their own specific role
in their assigned area of operation in partnership with other employees.

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Important Points.
 Making HR as strategic partner is perhaps the best approach to making human resources as
the most important asset in an organization.

 Being a strategic partne is understood as a long-term relationship to achieve defined

objectives common to all partners. Some HR experts refer to HR as business partner.

 In the context of strategic human resource management, the HR function and activities are
intended to ensure the organization's financial success.

 As partners your HR people and employees in the various areas of the organization's
operations must not get in the way of other employees. Partners do not hinder or undermine
one another. Instead, they support each other to achieve common objectives with the
purpose of attaining the overall objectives, particularly business objectives.

 There are some who are of the opinion that the implementation of HR strategic partnership is
not easy. HR people themselves may hinder its implementation. Change in 10/5/2019
mindset is needed.21
Make HR as Strategic Partner

 HR can help bridge the gap between different sectors of the organization,
Few points to clarify the topic.

 To increase productivity of the labor force and thus, profitability of the

organization;

 Competency and talent management;

 Onset of information technology and the vast amount of knowledge used in

the course of the activities of organizations;

 The changing business environment;

 Effect of globalization on the business landscape.

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Technological Change

 Information Technology Some systems where IT helps HRM are: Systems for e-
recruitment; On-line short-listing of applicants; Developing training strategies
on-line; Psychometric training; Payroll systems; Employment data;
Recruitment administration; References; Pre-employment checks. IT helps HR
managers offload routine tasks which will give them more time in solving
complex tasks. IT also ensures that a greater amount of information is
available to make decisions.

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Historical Back Ground.

 The term "Human Resource Management" has been commonly used for about
the last ten to fifteen years. Prior to that, the field was generally known as
"Personnel Administration." The name change is not merely cosmetics.

 Personnel administration,
 Human Resource Management (HRM)

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HRM Development
 HRM developed in response to the substantial increase in competitive pressure in
world business organizations began experiencing by the late 1970s as a result of
such factors as globalization, deregulation, and rapid technological change.

 These pressures gave rise to an enhanced concern on the part of firms to engage in
strategic planning--a process of anticipating future changes in the environment
conditions (the nature as well as level of the market) and aligning the various
components of the organization in such a way as to promote organizational
effectiveness.

 Human resource management has changed in name various times throughout

history. The name change was mainly due to the change in social and economic
activities throughout history.
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PERSONNEL ADMINISTRATION

 Emerged as a clearly defined field by the 1920s in the world, was largely
concerned the technical aspects of hiring, evaluating, training, and
compensating employees and was very much of "staff" function in most
organizations.

 The field did not normally focus on the relationship of disparate employment
practices on overall organizational performance or on the systematic
relationships among such practices. The field also lacked a unifying standard.

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HUMAN RESOURCE MANAGEMENT (HRM)

Consists of all the activities undertaken by an enterprise to ensure the effective

utilization of employees toward the attainment of individual, group, and
organizational goals.

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Employment Phase / Cycle

 An organization's HRM function focuses on the people side of management. It

consists of practices that help the organization to deal effectively with its
people during the various phases of the employment cycle,

 Pre-hire,
 Staffing,
 Post-hire.

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DIFFERENT PHASES

 The pre-hire phase involves planning practices. The organization must decide
what types of job openings will exist in the upcoming period and determine the
necessary qualifications for performing these jobs.

 The Staffing phase, during this phase, the organization selects its employees.
Selection practices include recruiting applicants, assessing their qualifications,
and ultimately selecting those who are deemed to be the most qualified.

 The Post – Hire Phase, during this Phase, the organization provide good working

environment, employ satisfaction, motivation to achieve organization Goal.

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Recruitment & Selection

When it comes to business, recruitment means recognizing you have a position

that needs to be filled, identifying the duties of the job, creating a list of
requirements for those hoping to fill the vacancy, deciding how and where to
source recruits for the position and actually attracting people to apply for the
position. Selection means going through those resumes to find qualified
applicants, conducting interviews, shortlisting candidates and finally, choosing
the right person for the job.

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Recruitment and Selection process can be looked at as the entire process of
identifying and filling a position, each part is drastically different.

 Recruitment attempts to get a large pool of candidates to apply for the job so
you have a sufficient number of applicants to choose from,

 Selection aims to sift through this pool to find one person who is the best fit
from all the applicants.

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Recruitment & Selection Process in
HRM
 The simplest recruitment and selection meaning is simply seeking someone to
fill a post and then picking the right candidate from the applicants.

 The definition of recruitment in HRM goes beyond just trying to get people to
apply for a vacant position. It also involves

 Recognizing that a position is available,

 Analyzing the job requirements,

 Writing the job listing,

 Advertising the job listing to the right candidate pool and then collecting
applications.
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Defined Recruitment & selection process

 If you go on to define the recruitment and selection process in HRM, the

selection part of the process includes

 Screening the applicants,

 Performing interviews,
 Shortlisting the most qualified candidate
 Finally, selecting the best person for the job.

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