HRM Unit - 3 Notes
HRM Unit - 3 Notes
Contents
3.1 Purpose of Training: ............................................................................................................................... 2
3.1.1 TYPES OF TRAINING: .................................................................................................................. 2
3.1.2 THE BENEFITS OF TRAINING .................................................................................................... 6
3.1.3 Resistance Meaning: ........................................................................................................................ 6
3.1.4 Steps to overcome Resistance to Change :....................................................................................... 6
3.1.5 TRAINING PROCESS: ................................................................................................................... 8
3.2 Executive Development Programme: ..................................................................................................... 8
3.2.1 Importance of EDP :- ....................................................................................................................... 8
3.2.2 Characteristics of EDP:-................................................................................................................... 9
3.2.3 Process of EDP :- ........................................................................................................................... 10
3.2.4 The content of an EDP includes areas such as :- ........................................................................... 11
3.3 Common Practices or Methods or techniques of executive development: ........................................... 12
3.4 Benefits of Executive Development Programme :- .............................................................................. 19
3.5 Self Development.................................................................................................................................. 19
3.6 Knowledge Management ...................................................................................................................... 21
1
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“Training is the act of increasing knowledge and skill of an employee for doing a particular job.”
o
Take place at training agency or local college, training centres
o
Study materials
o
Fully concentrate on learning rather than performing
o
Freedom of expression
2
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3
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1. Vestibule Training:
Actual work conditions are simulated
Materials, files and equipments are used
Duration ranges from few days to a few weeks
Theory can be related to practice here
2. Management Games:
To improve decision making and analytical skills.
To develop awareness of the need to make decisions lacking complete information.
To develop an understanding of the interrelationships
To develop the ability to function cooperatively and effectively in a small group situation.
Types of management Games:
Executive Games are general management games and cover all functional areas {like
planning, decision making, etc} of business and their interactions and dynamics.
Executive games are designed to train general executives.
Functional Games, on the other hand, focus on middle management decisions and
emphasize particular functional areas {like Marketing or HR} of the firm.
3. Role Playing: Is the method of human interaction that involves realistic behavior in
imaginary situations.
4. Films/Video
Content for the training experience comes primarily from a videotape or
computer-based program.
Interest of the audience can be maintained by showing them audio visuals
Easy to handle and explain
Provides a lot of content to talk about
5. Lecture Methods:
Lecture is traditional & direct method of instruction.
It is a verbal presentation of information by an instructor to a large audience.
The lecture must motivate & create interest among the trainees in order to become
effective
It is presumed to posses a considerable depth of knowledge of subject at hand.
4
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This method is used mainly in college and universities
6. Outbound Training:
Outdoor and action-oriented programs through experiential learning
Develops Leadership, teamwork and risk-taking abilities
Interesting as compared to classroom leaning
Conducted by professionals who are very cooperative
Few Other Methods:
1. In-Basket Exercise:
Also known as In-tray method of training.
The trainee is presented with a pack of papers & files in a tray containing
administrative problems & is asked to take decisions on these problems &
are asked to take decisions on these within a stipulated time.
The decisions taken by the trainees are compared with one another. The
trainees are provided feedback on their performance.
2. Experiential Exercises :
Usually short, structured learning experiences where individuals learn by doing.
For instance, rather than talking about inter-personal conflicts & how to deal with
them,
An experiential exercise could be used to create a conflict situation where
employees have to experience a conflict personally & work out its solutions.
3. Cases :
Present an in depth description of a particular problem an employee might
encounter on the job.
The employee attempts to find and analyze the problem, evaluate alternative
courses of action & decide what course of action would be most satisfactory.
Advantages of “Off-the –job” Methods:
Learn from specialists in that area of work who can provide more in-depth study
Can more easily deal with groups of workers at the same time
Employees respond better when taken away from pressures of working
environment
Workers may be able to obtain qualifications or certificates
5
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Group Dynamics: Group dynamics refers to the ever changing interactions and
adjustments in the mutual perceptions and relationships among members of the groups.
Such associations are powerful instruments which facilitates or inhibit adaptation to
change. The management has to positively articulate such groups.
Cautious and Slow Introduction: The HR manager should cautiously and slowly
introduce change. He should not suddenly and abruptly introduce change. He must aim
bring about awareness of change and construct an attitude of welcoming change. Change
must be introduced in sequential parts, the results must be reviewed and required
adjustments have to be if required.
Positive Motion: The HR Manager should use the policy of positive motivation to
counteract negative resistance. Proper training and technical knowledge should be
imparted to the employees. The leadership style would be supportive and human oriented.
Sharing the Benefits of Change: Any change whether technical, social or economic will
least resisted by the employees if the management permits the employees to share the
benefits which will arise out of change.
Training and Development: Based on the change the job should be redesigned.
Management should train the employees before hand and prepare the employees to invite
change. Normally trained and developed employees will not resist change. They would
feel empowered with their enriched skills and knowledge.
Career Planning and Development: The HR Manager should plan careers of
employees, move them to higher levels and develop them.
Organisation Development: HR Manager should also look into the psychological and
behavioural areas of the employee with a view to achieve organizational effectiveness.
Employees with enriched behaviour welcome change.
Specific Training Objectives
Motivation to Trainees
Use of Previous Training
Suitable Organizational Condition
Involvement of Trainees
Feedback
7
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STEP 1
DETERMINING
TRAINING NEEDS
STEP 2
STEP 4 DESIGNING THE
EVALUATION TRAINING
THE PROGRAM PROGRAM
STEP 3
ADMINITERING THE
TRAINING
PROGRAMS (
IMPLEMENTATION )
8
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Executives need training and education to understand and adjust to changes in socio-
economic changes.
Executive development is required to broader the outlook of managers.
9
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Executive development programmes are catered to the individual requirements to improve the
functional deficiencies of the individual executives ,thus enabling the organization to derive
immediate benefits from such programmes.
6. A self-development process:-
Executive development facilitates self-development of executives, as they learn many things
through action learning methods ,sharing the experiences of each other in a simulated classroom
atmosphere.
Key elements that are essential in having an effective executive development framework in
a business:-
Accountability
Direction
Openness
10
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1. Strategic Management :-
Components, logical process and contents of strategic management, i.e.analysis, formulation,
implementation and control; the integrative nature of strategy; the impact of increasing
environmental turbulence; e-business and application of real-time strategy; driving strategic
change.
2. Strategic Marketing :-
Marketing trends in the new economy; the contribution of marketing to the strategic management
process; online marketing strategies; measuring marketing success and efficiency.
3. Financial strategies :-
Financial management and value creation; under-standing financial statements; driving financial
performance; making value-creating investment decisions; the drivers of cost of capital.
4. Economies – A Global Perspective :-
Building blocks of an economy; quantification in economic reasoning; markets in the economic
process; macroeconomic perspectives; money and financial markets; role of the public sector;
international trade and finance; what scope for economic policy?
5. Leverage Human Capital :
An exploration and definition of the drivers of competitive human resources strategy and
workplace practices; evaluation of the imperatives for developing sustainable improvements in
human resources competitiveness; the development of organizational responses to competitive
status and formulation of appropriate human resources strategies.
6. Developing Strategic Leadership Competencies :-
The role of leadership in the organization; realities of business leadership roles; strategic high
performance leadership in practice; managing organizational culture; aligning context, roles and
competencies for leadership effectiveness; the role of emotional intelligence.
7. Strategic Leadership :-
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The role of leadership in the organisation; realities of business leadership roles; strategic high
performance leadership in practice; managing organisational culture; aligning context, roles and
competencies for leadership effectiveness; the role of emotional intelligence.
8. Coaching as Managerial Instrument
9. Winning Negotiation Strategies
10. Systems Thinking
11. Sustainability in a Corporate Environment
12. Business Ethics and Corporate Governance
13. Commercial Effectiveness
14. Various Guest and Speakers and Industry Visits
12
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or illness, on his retirement, transfer, promotion or death. The superior routes much of the
department work through juniors ,discusses problems with him and allows him to participate in
the decision-making process as often as possible.
Understudy method provides many advantages: (i) The trainee receives continuous
guidance from the senior and gets the opportunity to see the total job. (ii) It is practical and time
saving due to learning by doing. (iii) The trainee takes interest and shares the superior‟s
workload. (iv) The junior and the senior come closer to each other. (v) It ensures continuity of
management when superior leaves his position.
Understudy method, however, suffers some disadvantages:
(i) It perpetuates the existing managerial practices.
(ii) As one employee is identified in advance as the next occupant of a higher level
managerial position , the motivation of other employees in the unit may be
affected.
(iii) The subordinate staff may ignore the understudy and treat him as an intruder
without clear authority and responsibility.
(iv) Under an overbearing senior , the understudy may lose his freedom of thought and
action. The success of this method depends upon the teaching skills and
cooperation of the superior with whom the understudy is attached.
3. Position Rotation:
It involves movement or transfer of executives from one position or job to another on
some planned basic. These persons are moved from one managerial position to another according
to the rotation schedule..Position rotation is also called job rotation. The aim is to broaden
knowledge, skills and outlook of executives. Job rotation or position is often designed for junior
executives. It may continue for a period ranging from six months to two years.
Job rotation method offer following advantages: (i) It helps to reduce monotony and
boredom by providing variety of work. (ii) It facilitates interdepartmental cooperation and
coordination.(iii)It infuses new concept and ideas in to elder personnel. (iv) Executives get a
chance to move up to higher position by developing them into generalists. (v) Best utilization can
be made of each executive‟s skills.
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Job rotation method suffers from following disadvantages : (i) Job rotation may cause
disturbance in established operations. (ii) The trainee executive may find it difficult to adjust
himself to frequent moves. He may feel insecure in the absence of stable interpersonal
relationship. (iii) The new incumbent may introduce ill-conceived and hasty innovations causing
a loss to the organization. (iv) Job rotation may demotivate intelligent and aggressive trainees to
seek specific responsibility in their chosen specialization. (v) It may cause jealousy and friction
due to the game of musical chair‟.Job relation can cause class destinations and misunderstanding,
executive who are not moved may develop defensive reactions. (vi)It may upset family and
home life when transfers are made to different geographical areas.
4. Project Assignments:
Under this method a number of trainee executives are put together to work on a project
directly related to their functional area. The group called project team or task force will study the
problem and find appropriate solution. For instance, accounts officers may be assigned the tasks
of designing and developing an effective budgetary control system. By working on this project,
the trainees learn the work procedures and techniques of budgeting. They also come to learn the
interrelationship between accounts and other department. This is a flexible training device due to
temporary nature of assignments.
Sometimes a syndicate of team consisting of persons of nature judgment and proven
ability is constituted. It is given a task properly spelt out in terms of briefs and background
papers. Participants represents different functional areas to facilitate interchange of ideas and
experience. Each syndicate prepares a report to be discussed by other executive group.
5. Selected Readings:
Managing has become a specialized job requiring a close touch with the latest
developments in the field. By reading selected professional books and journals managers can
keep in touch with the latest research findings, theories and techniques management. No
executive can afford to rely solely on others to keep in informed on innovations in management.
Reading of current management literature helps to avoid managerial obsolescence.
Selective readings constitute an individual self development programme for executives. Many
organizations maintain libraries for their executives and managers are encouraged to continually
read and improve their skills.
15
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6. Multiple Management:
The technique was developed by Charles P. McCormick of the McCormick Corporation
of Baltimore, USA. Under it, a junior board of young executives is constituted. Major problems
are analyzed in the junior board which makes recommendations of the Board of Directors. The
young executives learn decision-making skill and the Board of Director receives the collective
wisdom of the executive team. Vacancies in the Board of Directors can be filled from the junior
board members who have received considerable exposure to problems and issues.
Committees and union boards offer the following advantages: (i) The participants gain
practical experience in group decision-making and team work. (ii) The committee or board
contributes to the productivity and human relations in the organizations. (iii) The method helps
to identify executive talent. Board rating system provides multiple judgment on each
individual.(iv) It is relatively inexpensive method.
The method suffers from some disadvantages: (i) Specific attention to the developmental
needs of executives is not possible. (ii) The method is not suitable for lower level executives. (iii)
The discussions in committees and board often degenerate into academic debates. There is lack
of purpose and commitment on the part of participants.
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be geared to a common level of knowledge. (v) It becomes unpalatable to the audience when too
much information is packed in the lecture.
Lecture method can be made effective in the following ways:-
(a) A lecture should be well planned as to its purpose and contents.
(b) The lecturer should be competent and a good speaker.
(c) He should keep in mind the listener‟s needs and interests.
(d) The lecture should not be more than one hour.
(e) The lecture should be made interesting through leading questions, guided discussions
and audio-visual aids.
2. Case Studies:
Under this method, a real or hypothetical business problem or situation demanding
solution is presented in writing to the trainees. They are required to identify and analyze the
problem, suggest and evaluate alternatives courses of action and choose the most appropriate
solution.
Advantages of this method: (i) It promotes analytical thinking and problem solving skills.
(ii) It encourages open-mindedness and provides a means of integrating interdisciplinary
knowledge. (iii) The trainees become aware of managerial concept and process and their
application to specific situations.(iv) Detailed descriptions of real life situations helps to create
trainees interest.
Case study method suffers from the following advantages: (i) A case may degenerate into
a dreary history undermining analytical reasoning. (ii) It may suppress the critical faculties of
mediocre trainees. (iii) The case may be used indiscriminately as permanent precedents. (iv) It is
time saving and expensive to prepare good case studies. (v) A real life case may not be useful in
different cultural situations.
3. Group Discussion:
It is a variant of lecture method under it – paper Is prepared and presented by one
or more trainees on the selected topic. This is followed by a critical discussion. The chair man of
discussion or seminar summarise the contents of the papers and discussion which follows. Often
the material to be discussed is distributed in advance. Seminars and conferences enable executive
to learn from the experience of each other and have become quite popular.
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4. Role Playing :
In this method the trainees act out a given role as they would in a stage play. Two
or more trainees are assigned part to play before the rest of the class. Thus, it is a method of
human interaction which involves realistic behavior in a imaginary or hypothetical situation.
Role playing primarily involves employer employee relationships, hiring, firing, discussing a
grievance procedure, conducting a post appraisal interview or disciplining a subordinate or a
sales man making a presentation to a customer.
5. Management Games:
Management or business games are designed to be representative of real life
situation. These are classroom simulation exercise in which teams of individual compete one
another or against an environment in order to achieve a given objective. In this exercise, the
participants play a dynamic role , and enrich their skills through involvement and simulated
exercise. Management games can be of interactive or non interacting types. In the interacting
types of games, the decisions of one team influence the performance of other teams. In the non
interacting games each team is independent and its performance entirely depends upon its on
competence.
Advantage of the method (i) It has to analysis and collect the relevant data from a mass of
information and also helps to decide with incomplete data. (ii) It is useful in developing problem
solving skills (iii) It helps in developing leadership skills and in fostering team work.
Disadvantages:- (i) It is very difficult and expensive to develop and implement goods
game. (ii) The games are artificial because in real life executive are rewarded for creating new
alternatives rather than for choosing from a given list of alternatives. (iii) The trainees who are
successful in these games may not be successful of the job.
6. Sensitivity training:
This method is also called T-group training and laboratory training. He purpose is to
increase self awareness. Develop inter personal competence and sharpen team work skills. The
trainees are brought together in a free and open environment where in participants discuss
themselves. The discussion is lightly directed by a behavioral expert who creates the
opportunities to express their ideas, beliefs and attitudes.
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The following steps may be taken to make sensitivity more effective: (a) The trainer must
be able to translate emotional situations into constructive consequences. (ii) The participant with
motional suitability and high tolerance for anxiety should be selected.(iii) The programme should
be strictly voluntary. (iv) The participant should be told in advance what they are going to be
experience. (v) A mechanism for transferring the learning to the work situation should be
created.
19
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Principles of Self-Development:
People are responsible for their own learning
People learn best when they need the new competence
People must learn to experience their own individuality
People need opportunities for personal achievement.
Emotional and feelings are an important part of an individually.
Stages of Self-Development:
1. Personal Audit: Undertake an audit of where he is now, in terms of what he can do now.
2. Setting self-Development: setting aims and objectives in terms of what he wants to
achieve. These will be both work-related and personal goals.
3. Identifying Development Needs: Identifying the knowledge and skills that he will need to
achieve his goals.
4. Constructing the Development plan: Analyzing the information that has been revealed in
personal audit and identifying development objectives and identifying gaps. The gaps
will form the basis of his development plan. His personal growth plan will motivate him
to carry out his development, provides a tool to monitor and evaluate his achievements
and provide schedule tom work to.
Models of Self-Development:
It was developed by Joseph Luft and Harrington Ingham.
Information Information
3 Hidden 4 Unknown
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1. Open: The open quadrant refers to state about an individual such as behaviour feelings
and motives that he knows and willing to share with others. Sometimes, in a
relationship, the individual is straight forward, open and sharing.
2. The Blind Self: In this other people know what is happening to him but he is not aware
of it. Often such blind behaviour is copied by the individual from significant people
unconsciously right since the childhood.
3. The Hidden Self: The hidden self is within the vision of the individual but he does not
want to share with others. People learn to hide many feelings and ideas right from the
childhood.
4. The unknown Self: the unknown self is mysterious. People often experience these parts
of life in dreams or in deep rooted fears or compulsion. These acts, feelings and
motives remain vague and unclear to people until they allow them to surface.
Benefits of Self-Development:
Inculcates positive Thinking
Helps to Create Harmonious Relationships
Cultivates Trust
Helps in Training and development.
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To create and use knowledge in the best possible manner.
Transforming individual knowledge into the structural capital of the organization
Building the knowledge capital
Aligning business strategies, core competencies, knowledge capital and organizational
process.
Elements of Knowledge Management:
1. Knowledge Creation
2. Knowledge Sharing
3. Knowledge Utilization
Approaches of Knowledge Management:
There are 4 main approaches to Knowledge Management-
Codification Approach
Personalization Approach
Resource Based Approach
Knowledge Creation Approach
1. The Codification approach is a „people-to-document‟ approach. Knowledge is explicit.
It is made independent of the person from whom is is extracted & stored in databases or
found in presentations, reports, policy documents, manuals, libraries etc. It is moved around
the organization through Intranet or other traditional means like meetings, courses,
publications, videos, tapes, workshops, „master classes‟ etc.
Ernst & Young is a good example of an organization using the codification approach
effectively as it deals with recurring problems via recorded solutions to similar issues.
2. Personalization approach is a „person-to-person‟ approach. Knowledge is tacit. It
involves the person who developed it directly via face-to-face communication with an
individual or team, brainstorming, workshops or other one-to-one sessions.
McKinsey, Bains & other strategic consulting firms use the personalization approach which
requires them to channelize individual expertise for creative & analytical advice. It could
involve using senior level officers like directors, COO s or other experts who can be
approached by email/phone/personally.
22
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Either the codification or the personalization approach is used predominantly while the other
could support the first. Using both is not considered a successful approach & has high chances of
failing.
3. The Resource Based approach considers knowledge as a „resource‟ which is created,
passed on & used technically, socially, and economically. Technically, knowledge management
involves centralizing the knowledge prevalent across an organization and codifying it aptly for
easy use. Socially, knowledge management involves collecting knowledge so that no individual
or group has exclusive rights over it. Economically, knowledge management is a means to create
& exploit knowledge to attain competitive advantage.
4. Knowledge creation approach involves construction of knowledge by blending together
its various forms to produce innovative outcomes. Various ways of blending knowledge are by
socialization (tacit to tacit), externalization (tacit to explicit), internalization (explicit to tacit) and
combination (explicit to explicit).
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organizing workshops, conferences, seminars etc because as an individual learns & importantly
shares, a whole organization learns.
25
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productivity, and provide quality products and services. A needs assessment is the process of
identifying the "gap" between performance required and current performance. When a difference
exists, it explores the causes and reasons for the gap and methods for closing or eliminating the
gap. A complete needs assessment also considers the consequences for ignoring the gaps.
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Identify motivations and conditions that contribute to an individual's degree of interest in
an issue and ability to access or purchase the final product or training course.
Observation Questionaries
Focus Documentation
Interviews Groups
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This material is proprietary to KV Institute of Management, a Nationally Ranked BSchool in Coimbatore and cannot be copied or
duplicated for use outside of KV. Violators will face infringement proceedings of copyright laws..
KV INSTITUTE OF MANAGEMENT AND INFORMATION STUDIES
BA7204 HUMAN RESOURCE MANAGEMENT UNIT III
29
This material is proprietary to KV Institute of Management, a Nationally Ranked BSchool in Coimbatore and cannot be copied or
duplicated for use outside of KV. Violators will face infringement proceedings of copyright laws..
KV INSTITUTE OF MANAGEMENT AND INFORMATION STUDIES
BA7204 HUMAN RESOURCE MANAGEMENT UNIT III
Advantages of TNA :
TNA identifies training and other development need for the growth on the job
TNA ensure that the training programmes conducted are those, which are actually needed
by the participant
TNA serve as a benchmark
TNA helps management programmes
TNA helps organization to reduce the perception gap between the participant and boss
about their needs and expectations.
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This material is proprietary to KV Institute of Management, a Nationally Ranked BSchool in Coimbatore and cannot be copied or
duplicated for use outside of KV. Violators will face infringement proceedings of copyright laws..