Xavier Institute of Management and Research

MMS
Batch 2023-2025

Faculty:
Ravindra Dey

1
Course Objectives
• Developing an awareness and appreciation
of the role of contribution of HRM in
organizations

• Understanding significance of various HRM

activities such as Manpower Planning,
Selection, Recruitment, Performance
Evaluation, Learning and Development,
Compensation & Benefits at the functional,
operational and strategic levels of the
organization

• Analyzing the effectiveness of human

resource policy and functions within the
organization
2
Introduction

• Make groups with students having

experience.
• Think about what is the role of HR
Department?
• Think of one experience where you had
to deal with the HR Department in your
earlier experience.
• Share your experience with others in
your group
• Choose one or two experience and
share with the class
3
Definition of HRM

• The set of organizational activities

directed at attracting, developing, and
maintaining an effective work force.

• HRM involves all management

decisions and practices that directly
affect the people of an organization.

4
Tons of issues…

Before
hiring
 Tons of issues…

While recruiting
and hiring
Before
hiring
 Tons of issues…

While employed

While recruiting
and hiring
Before
hiring
 Tons of issues…

When terminating
employment

While employed

While recruiting
and hiring
Before
hiring
 Tons of issues…

After termination
When terminating
employment

While employed

While recruiting
and hiring
Before
hiring
Evolution of HRM in India
Period Development Outlook Emphasis Status
status
1920s – 1930s Beginning Pragmatism of Statutory, welfare, Clerical
capitalists paternalism

1940s – 1960s Struggling for Technical, Introduction of Administrative

recognition legalistic techniques

1970s – 1980s Achieving Professional, Regulatory, confirming, Managerial

sophistication legalistic, imposition of standards
impersonal on other functions

1990s Promising Philosophical Human values, Executive

productivity through
people

10
The Semantics

• First, we have two terms, namely,

Personnel Management (PM) and HRM.
Between these two terms there is a basic
difference
• HRM differs from PM both in scope and
orientation
• Though a distinct philosophy, HRM cannot
be treated in isolation
• PM has a limited scope and an inverted
orientation
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The Semantics …

• For many people, HRD and HRM convey the

same meaning. This may not be true
• HRD falls under the umbrella of HRM
• Industrial Relations Management (IRM) is yet
another term which adds to the problem of
semantics
• ‘Industrial relations’, as the term implies, is
merely concerned with employee grievances
and their settlement, unionization, and the
like
• Obviously, IRM is one wing of HRM
• Talent Management is another form
increasingly used now-a-days
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HRM Activities
Why Doesn’t this HR Department get any respect?

A new mandate for Human Resources

14
Why HR Matters Now More Than Ever

• Globalization

• Profitability Through Growth

• Technology

• Intellectual Capital

• Change, Change and More Change

15
HR’s New Role

• Becoming a Partner in Strategy Execution

• Becoming an Administrative Expert
• Becoming an Employee Champion
• Become a Change Agent

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Four Changes for Line

• Communicate to the organization that the “soft stuff” matters.

• Explicitly define the deliverables from HR, and hold HR
accountable for results.
• Invest in innovative HR practices.
• Upgrade HR professionals.

17
Key Points from the Article – “A New Mandate for Human Resources”

• HR’s activities appear to be and often are disconnected from the

real work of an organization.
• Decreasing costs and improving efficiency will help HR become a
partner in executing strategy.
• HR must now train line management in methods of achieving
high employee morale.
• When more is expected of the HR function, a higher quality of HR
professional must be found.

18
ZEE BAY Inc.

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20
Definition of HRP

process by which an organization ensures

that it has the right number & right kind of
people at the right place and at the right
time, capable of effectively and efficiently
completing those tasks that help the
organization achieve its overall objectives.

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Importance of HRP

• Each organization needs personnel with necessary qualifications,

skills, knowledge, experience & aptitude
• Need for Replacement of Personnel - Replacing old, retired or
disabled personnel.
• Meet manpower shortages due to manpower turnover
• Meet needs of expansion / downsizing programmes

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Importance of HRP

• Cater to Future Personnel Needs - Avoid surplus or deficiency of

labour.
75% of organisations are overstaffed.
Redeployment of staff to other units.

• Nature of present workforce in relation with Changing Environment

helps to cope with changes in competitive forces, markets, technology,
products and government regulations.

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 HRP Process – Determination of Quality Personnel

Job Analysis
 process of collecting and studying information relating to the operations and
responsibilities of a specific job.
 determination of tasks which comprise the job and of skills, knowledge,
abilities and responsibilities required of the worker for a successful
performance and which differentiates one job from all others.
 products of Job Analysis are Job Description & Job Specification
Job Analysis Method (Process of Obtaining all pertinent Job Facts)

Job Description Job Specification

A proper definition & design A statement of human
of work. A statement containing: qualifications necessary to
do the job containing:

Job Title Education & Qualifications

Location Experience & Training
Job Summary Knowledge & Skills
Duties & Responsibilities Communication skills
Materials, Tools & Equipment Physical requirements - Height,
used
Forms & reports handled Weight, Age
Supervision given / received Personality requirements -
Working conditions Appearance, Judgement,
Hazards & Safety precautions Initiative, Emotional stability

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Job Analysis Method

There are 5 widely used methods for Job Analysis:

• Observation method

• Individual interview method

• Group interview method

• Structured questionnaire method

• Diary method

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Purpose / Use of Job Analysis

• Organization & Manpower planning

• Recruitment & Selection
• Job Evaluation & Wage, Salary administration
• Job Re-engineering
• Employee Training & Managerial Development
• Performance Appraisal

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28
Job Descriptions - Assignment
• Marketing Manager
• Finance Manager
• Production Manager
• Human Resources Manager
• Customer Service Manager
• Media Relations Manager
• Project Manager
• Sales Manager
• Business Analyst
• Brand Manager
• Digital Marketing Manager
• Graphic Designing Manager
• IT Manager
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Job Descriptions - Format

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Orion

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32
33
Recruitment

• Recruitment
- Activities designed to attract a qualified pool of job applicants
to an organization.
- Steps in the recruitment process:
• Advertisement of a job vacancy.
• Preliminary contact with potential job candidates.
• Initial screening to create a pool of qualified applicants.

34
Sources of recruitment

Internal sources
• Selecting suitable candidate from among the current employees in an
organization
• Employee referrals, promotions from within, succession planning.

Advantages:
• Builds employee morale
• Involves less cost than booking for outside
• Facilitates people to be places in the middle and top level positions

35
External sources of recruitment

• Walk in/write in
• Advertising
• Private placement agencies
• Government – employment exchanges
• Campus recruitment
• Head hunters
• Military
• Professional associations

36
Electronic recruiting

• Recruitment through internet

• Advantage is wide publicity and a chance

for a large number of applicants to choose

• Best method to be assessed depends upon:

- Cost per hire
- Number of resumes
- Time-lapse between recruitment and
placement ratio
- Applicant performance and turnover
37
Retention of employees

• Planning ahead
• Clarity in job requirements
• Identify a good source of recruitment
• Screening and interviewing
• Providing challenging work
• Focus on compensation and working conditions

38
 Initiate recruitment
request

Recruitment Flow Chart Review & approval

by level 5 and
above managers

Intimation to the
Approval No Original
received requester
A Yes

Advertise/
References
Agencies

Screening
Profiles

Eligible
Profiles No
found

Yes

Is written Conduct
Yes
A test Written
required test

No

Yes
Arrange & conduct Qualified/
Interviews Short listed

Yes NO

Intimate to the
Qualified/ No candidate about not
A Short listed short listed/selected

Yes

Final selection

A Selected No

Yes

Send offer
letter 39
Selection

Selection
- Choosing from a pool of applicants the person or persons who
offer the greatest performance potential.

Selection Steps
- Completion of a formal application form.
- Interviewing.
- Testing.
- Reference checks.
- Physical examination.
- Final analysis and decision to hire or reject.

40
Steps in Selection Process

41
Steps in Selection Process…

➢ Step 1 — Application forms

• Declares individual to be a job candidate.
• Documents applicant’s personal history and qualifications.
• Personal résumés may be included.
• Applicants lacking appropriate credentials are rejected at this step.

42
Steps in Selection Process…

➢ Step 2 — Interviews
• Exchange of information between job candidate and key members
of the organization.
• Opportunity for job candidate and organizational members to learn
more about each other.

43
Steps in Selection Process…

➢ Step 3 — Employment tests

• Used to further screen applicants by gathering additional job-
relevant information.
• Common types of employment tests:
• Intelligence
• Aptitude
• Personality
• Interests

44
Steps in Selection Process…

➢ Criteria for selection devices:

• Reliability
- The selection device is consistent in measurement.
• Validity
- There is a demonstrable relationship between a person’s score or rating
on a selection device and his/her eventual job performance.

45
Steps in Selection Process…

➢ Behaviorally-oriented employment tests:

• Assessment center
- Evaluates a person’s performance in simulated work situations.
• Work sampling
- Evaluates a person’s performance on actual job tasks.

46
Steps in Selection Process…

➢ Step 4 — Reference and Background checks

• Inquiries to previous employers, academic advisors, coworkers
and/or acquaintances regarding applicant’s:
• Qualifications
• Experience
• Past work records
• Can better inform potential employer.
• Can enhance candidate’s credibility.

47
Steps in Selection Process…

➢ Step 5 — Physical Examinations

• Ensure applicant’s physical capability to fulfill job requirements.

• Basis for enrolling applicant in life, health, and disability
insurance programs.
• Drug testing is done at this step.

48
Steps in Selection Process…

➢ Step 6 — Final Decision to Hire or Reject

• Best selection decisions will involve extensive consultation

among multiple parties.
• Selection decision should focus on all aspects of the candidate’s
capacity to perform the designated job.

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Induction

• Induction is the process that introduces an

employee to the organization

• It is usually the responsibility of the HR

department to conduct induction process

50
Induction…

Immediate supervisor might introduce the following steps:

• Welcomes the newcomer
• Explains the overall objectives of the company and his role
• Shows the location or place of work
• Hands over the rule book or job descriptions
• Provides details about training and promotional advancements
• Discusses working conditions

51
Induction…

Topics that are usually covered are:

• History of that company
• Layout and physical facilities
• Products/services offered
• Overview of the company procedures
• Disciplinary procedures
• Probationary period

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SG Cowen: New Recruits

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Case Study – SG Cowen: New Recruits

1. Analyze the recruiting process at SG Cowen.

2. Discuss the interviewing and hiring criteria at SG Cowen.

3. What could be alternative data sources for recruiting?

4. Which two candidates would you select if you were a

member of the recruiting committee?

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55
Nature of Performance Appraisal

• Performance Appraisal is an objective assessment of an

individual’s performance against well defined
benchmarks

56
Nature of Performance Appraisal…

Objectives of Performance Appraisal:

• To effect promotions based on competence and performance
• To confirm the services of probationary employees upon their completing the
probationary period satisfactorily
• To assess the training and development needs of employees
• To decide upon a pay raise where (as in the unorganised sector) regular pay
scales have not been fixed
• To let the employees know where they stand insofar as their performance is
concerned
• To improve communication
• Can be used to determine whether HR programmes such as selection, training,
and transfers have been effective or not

57
Nature of Performance Appraisal…

58
Appraisal Process

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Challenges of Performance Appraisal

Challenges of Performance Appraisal

• Create a culture of excellence that inspires every employee to improve and
lend himself or herself to be assessed
• Align organisational objectives to individual aspirations
• Clear growth paths for talented individuals
• Provide new challenges to rejuvenate careers that have reached the plateau
stage
• Empower employees to make decisions without the fear of failing
• Embed teamwork in all operational processes
• De-bureaucratise the organisation structure for ease of flow of information

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Appraisal Process

Resources, Thomson,
Managing Human
Bohlander, et. al,
Source: George

2002, p. 321
Top 10 Reasons for Appraisal Failure

Ten Tips to Make Appraisal Highly Effective

61
Citibank: Performance Evaluation (Questions)

• Why has Citibank introduced a Performance

Scorecard?
• Assume that you are Lisa Johnson, complete Exhibit 1
to evaluate James’ performance.

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Organizational Structure

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The Performance Scorecard
Variables Measures

• Leadership
STANDARDS • Ethics / Integrity Measures subjectively through Lisa’s
• Customer interaction assessment
• Community involvement
• Contribution to overall business

PEOPLE • Performance
• Teamwork Measures subjectively through Lisa’s
assessment
• Training and development
• Employee satisfaction

• Audit Measures subjectively by auditors, but

CONTROL using standardized procedures
• Legal
• Regulatory

Measures through a survey by an external

CUSTOMER company
SATISFACTION
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The Performance Scorecard…
Variables Measures

• Households
STRATEGY • Cross-sell, splits, mergers Measures objectively

IMPLEMENTATION • Retail asset balances

• Market share

FINANCIAL • Revenue Measures objectively

• Expense
• Margin

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James customer satisfaction ratings

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Citibank: Performance Evaluation

• The performance scorecard should be based on a business model with

cause-effect relationships.
• To choose diagnostic measures, managers must evaluate three criteria:
• Alignment with strategy: “Does it tell people what they should be
focusing on?”
• Measurability: “Can it be measured?” Is it objective, complete and
responsive
• Linked to value: “Are we confident that it creates economic value?”

67
Citibank: Performance Evaluation…

• The performance scorecard can be used as a diagnostic system to

communicate strategy if:
• There are measures available to communicate strategy.
• Cause and effect model relating leading and lagging indicators is
reliable.
• If communication is the objective, choose impact over elegance (i.e., keep
it simple).
• Use formula-based incentives when you are confident that measures are
correlated with economic value creation.

68
Citibank: Performance Evaluation (Questions)

• How would you communicate the decision to James?

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Performance Appraisal Interview

• Any plan to improve performance can only be implemented through some

communication between the manager and the employee.
• An interview is a structured or planned interpersonal situation. It is not a
casual conversation.
• A specific time should be set aside for it in a place where uninterrupted
privacy is assured.
• There must be a clear understanding on the part of both participants as to
the purpose of the interview.
• The interview may have to be conducted in several stages.

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Appraisal Interview Guidelines

• Plan and prepare.

• Do not try and remake the person in one interview.
• Listen more than you talk.
• Be aware of psychological factors which you and the subordinate bring to
the interview.
• Try to use open-ended questions as much as possible.

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Three Approaches to Appraisal Interviews

• Tell and sell approach

• Tell and listen approach

• Problem solving approach

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Tell and Sell Approach

• The tell and sell method has its greatest potential with young and/or new
employees, who may be inexperienced and insecure and want the advice
and assurance of an authority figure.

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Tell and Listen Approach

• The tell and listen method is likely to produce a good relationship between
the interviewer and the interviewee. The interviewee is likely to leave with
a positive feeling and with a favorable attitude towards the interviewer.
The interviewer should leave with a greater understanding of the
interviewee’s thinking.

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Problem-Solving Approach

• Through the problem-solving approach there are four ways through which
the performance of the interviewee can improve:
o Changing the interviewee’s behavior;
o Changing the job duties or the job procedures;
o Changing jobs; and
o Changing the pattern of leadership or supervision.

• The tell-and-sell and tell-and-listen approaches tend to limit improvement

to the first of these four changes and this change is often the least
acceptable to the interviewee.

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Problem-Solving Approach…

• Identify problems or deviations from targets.

• Identify causes or reasons why targets are not being met.
• Develop alternative solutions.
• Select best solution.
• Develop contingency plan.
• Agree on implementation and completion dates.

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Planning the Interview

• Make certain the employee is aware of the planned discussion in sufficient time
to do his or her own preparation.
• Make sure you know what was mutually understood for the period of
performance to be discussed.
• Review job performance measured against objectives, targets, or job
expectations.
• Be certain to have specific unbiased observations that can be used in connection
with each point to be discussed.
• Determine those points you do not intend to discuss and how to handle those.
• Identify areas where you think improvement is needed.

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Beginning the Interview

• Set the stage.

• Explain purpose of discussion.
• Make it clear it is a two-way discussion. Any plan to improve performance
can only be implemented through some communication between the
manager and employee.

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Body of Discussion

• Discuss job performance.

• Discuss strong points first.
• Cite observations.
• Encourage self appraisal.
• Discuss employee work improvement plans.
• Reach agreement on work improvement plans.
• Establish work and personal development objectives jointly for the next
period.

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Negotiating a work improvement plan

• Try to get the subordinate to think in terms of alternatives.

• Assess alternatives against adverse consequences and select best
alternative
• Identify potential problems.
• Summarize specific actions to be taken and establish completion dates.

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Ending the Discussion

• Summarize what has been discussed and establish deadlines.

• Give the employee an opportunity to make additional suggestions.
• Close discussion on friendly harmonious note.

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Post Interview Activity

• Make a record of plans you and employee have made, commitments you
have made and points requiring follow-up.
• Evaluate the way you handled the discussion; what you learned about the
employee; what you did well; what you did poorly; and what you will do
differently next time.

82
The Appraisal Interview

The Appraiser
• Prepare properly
• Don’t impose your ideas
• Listen and ask questions
• Concentrate on performance not personality
• Don’t be destructive
• Be specific about successes and failure
• Use the past to shape the future
• Assess training and development needs
• Monitor progress
83
The Appraisal Interview…

The Appraisee
• Prepare properly
• Review last time’s objective
• Ask colleagues for assessment
• Use the past to shape the future
• Set tough but achievable objectives
• Review your job description
• Think about what you want to achieve

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Attock Refinery Limited

85
Motorola A & B

86
MOTOROLA (A)

Questions:

1. What accounts for Motorola’s past successes? How has it maintained

competitiveness?

2. What are the potential risks and benefits of expanding training

opportunities?

3. Do companies like Motorola have an obligation to provide training to their

employees?

4. What are Robert Galvin’s options?

87
MOTOROLA (B)

Questions:

1. In what way does Motorola University help the company?

2. In what ways does continued training assist employees?

3. Is Motorola making the right decision in continuing to expand training

opportunities?

88
MOTOROLA – Summary Points

1. A substantial emphasis on training can be a mechanism for increased productivity and

profitability, especially in highly technical or knowledge-intensive industries. Creating a
learning culture has multiple benefits, including improved effectiveness, increased employee
loyalty and continual innovation.

2. There is no one way to structure a training program, but there are a few general guidelines
for future managers to consider. Balance the needs of individual business units with the
overall corporate vision. Find a way to create programs for workers at all levels in all
locations. The education and training to specific business goals. Create systems for
measuring and analyzing successes, areas for improvement and returns on investments.

89
MOTOROLA – Summary Points

3. Corporate responsibility can improve business profitability. In this case, Motorola invested in
its employees and reaped and benefits in many different areas – productivity, product
innovation leadership and employee loyalty.

4. Intuition, creativity and tenacious commitments can lead to great decisions and outcomes.
Robert Galvin expanded company training without any hard supporting evidence and without
the support of his Board. The result: an effort which sustains the company’s position as a
world-class leader.

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91
What is Training?

• Training - a planned effort by a company to facilitate employees’

learning of job-related competencies.
- Competencies include knowledge, skills or behavior critical for
successful job performance.
• The goal of training is for employees to master the competencies
and apply them to their day-to-day activities.
• High-leverage training
- Is linked to strategic business goals and objectives.
- Uses an instructional design process to ensure that training is
effective.
- Compares or benchmarks the company's training programs
against training programs in other companies.
- Creates working conditions that encourage continuous learning.
• Continuous learning - requires employees to understand the
entire work system, including the relationships among their jobs,
their work units, and the company.
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93
Why is Needs Assessment necessary?

• Training may be incorrectly used as a solution to a performance problem.

• Training programs may have the wrong content, objectives, or methods.
• Trainees may be sent to training programs for which they do not have the
basic skills, prerequisite skills, or confidence needed to learn.
• Training will not deliver the expected learning, behavior change, or
financial results that the company expects.
• Money will be spent on training programs that are unnecessary because
they are unrelated to the company’s business strategy.

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Advantages and Disadvantages of Need Assessment techniques

95
Advantages and Disadvantages of Need Assessment techniques

96
Methods used in Needs Assessment

• Because no one technique of conducting needs assessment is

superior to the others, multiple methods are used.

• Many companies are following benchmarking – using information

about other companies’ training practices to help determine the
appropriate type, level, and frequency of training.

97
Scope of Needs Assessment

• Time constraints can limit the length and detail obtained from a
needs assessment.

• A rapid needs assessment refers to a needs assessment that is

done quickly and accurately, but without sacrificing the quality of the
process or the outcomes.

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Design Document Template

99
Sample of a Detailed Lesson Plan

100
Sample Lesson Overview

101
Traditional Training Methods - Presentation

• Methods in which trainees are passive recipients of information,

which may include:
• facts or information

• processes

• problem-solving methods

• It includes lectures and audio-visual techniques.

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Other Hands-on Method

• Audio Video Instructions

• On the job training

• Apprenticeship

• Simulation

• Case Studies

• Business Games

• Role Plays

• Behavior Modeling
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Choosing a Training Method

• Identify the type of learning outcome that you want training to

influence.

• Consider the extent to which the learning method facilitates learning

and transfer of training.

• Evaluate the costs related to development and use of the method.

• Consider the effectiveness of the training method.

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Training Evaluation

• Training effectiveness - the benefits that the company and the

trainees receive from training.

• Training outcomes or criteria - measures that the trainer and the

company use to evaluate training programs.

• Training evaluation - the process of collecting the outcomes

needed to determine if training is effective.

• Evaluation design - collection of information, including whom,

what, when, and how, for determining the effectiveness of the
training program.
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Reasons for Training Evaluation

• Companies make large investments in training and education and view

them as a strategy to be successful; they expect the outcomes of training
to be measurable.
• Training evaluation provides the data needed to demonstrate that training
does provide benefits to the company.
• It involves formative and summative evaluation.

• Formative evaluation - takes place during program design and

development.
• It helps ensure that the training program is well organized and runs smoothly, and trainees
learn and are satisfied with the program.
• It provides information about how to make the program better; it involves collecting
qualitative data about the program.

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Reasons for Training Evaluation…

• A training program should be evaluated:

• To identify the program’s strengths and weaknesses.
• To assess whether content, organization, and administration of the program
contribute to learning and the use of training content on the job.
• To identify which trainees benefited most or least from the program.

• A training program should be evaluated:

• To gather data to assist in marketing training programs.
• To determine the financial benefits and costs of the program.
• To compare the costs and benefits of:
• training versus non-training investments.
• different training programs to choose the best program.
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KIRKPATRICK’S FOUR-LEVEL FRAMEWORK OF EVALUATION CRITERIA

108
When Salaries Aren’t Secret?

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Thank you
All the best

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