Name: Varun Raju B

Roll Number: 2414101246

Semester: 2
Course Name: Online BBA
Code: DBB1203 & HUMAN RESOURCE MANAGEMENT

Q. What is Human Resource Planning? Explain the significance of planning human

resources.

Human Resource Planning (HRP) is a forward-looking function that assesses future human
resource needs based on market trends, demand forecasts, and the availability of suitable
candidates. According to Terry, HRP involves estimating the number of qualified individuals
needed to perform assigned tasks, predicting their availability, and determining measures to
ensure that the supply meets the demand at the appropriate time.
HRP translates an organization's goals and plans into the number of personnel required to
achieve those objectives. It involves identifying human resource management goals, expected
outcomes, and the strategies and activities necessary to reach those goals. As E. W. Vetter
describes, HRP is a process that helps an organization move from its current manpower
position to its desired manpower position. Despite its importance, HRP has often been
neglected and undervalued in Human Resource Management.
Significance of Human Resource Planning
HRP is crucial for the survival and success of any organization. Here are some key points
highlighting its importance:
1. Accurate Assessment of Future Needs: HRP helps in accurately forecasting future
human resource requirements. For example, BSNL selected many line-men for
landline repairs in the mid-90s. However, with the rise of mobile phones, the demand
for landlines decreased, leaving BSNL with excess staff and financial losses. Proper
HR planning could have anticipated this technological shift and prevented the crisis.
2. Part of Strategic Planning: Business strategies are essential for organizational
survival and success. HRP is central to strategic planning because achieving an
organization's mission and goals depends on the quality of its human resources. HRP
provides input on the necessary manpower for strategic decisions and facilitates
resource allocation.
3. Creating Highly Talented Personnel: The nature of jobs has changed dramatically,
requiring highly qualified and versatile professionals. HRP helps prevent manpower
shortages by developing retention strategies and identifying training needs to create a
 skilled workforce. For instance, IT companies like Infosys and TCS rely on highly
skilled employees, and HRP helps ensure a constant supply of talent.
4. Succession Planning: HRP is vital for succession planning, ensuring smooth
transitions when key executives retire. Planning identifies suitable candidates well in
advance and provides them with the necessary skills and exposure, ensuring
organizational continuity.
5. Foundation for Personnel Functions: HRP is the basis for all HR functions,
including recruitment, selection, transfer, promotion, and training. It provides the
information needed to design and implement these functions effectively.
6. Increasing Cost of Human Resources: Human resource costs have risen
significantly, making efficient utilization of employees crucial. HRP helps ensure that
investments in training and development are used effectively throughout employees'
careers.
7. International Strategies: Globalization has increased the need for HRP to align
closely with organizational strategic plans. It helps manage complexities arising from
staffing needs in different countries and cultural differences.
8. Addressing Challenging Personnel: Modern employees have new definitions of
loyalty and dedication, making it harder for organizations to manage them. HRP helps
develop strategies to address these challenges.
9. Managing Uncertainties and Changes: HRP helps organizations navigate
uncertainties and changes by ensuring the right people are in the right place at the
right time.
10. Handling Redundant Employees: As the need for certain skills changes, employees
may become redundant. HRP helps identify these redundancies and find alternative
employment solutions, avoiding inhumane or illegal actions.

Q. What are the goals of Performance Appraisal? Explain its various modern methods.

Performance appraisal is a crucial process in Human Resource Management (HRM) aimed at

evaluating employees’ performance. Here are its primary goals:
1. Providing Feedback: Offering employees insights about their performance.
2. Promotion Decisions: Determining who should be promoted.
3. Layoff/Downsizing Decisions: Assisting in decisions related to layoffs or
downsizing.
4. Performance Improvement: Encouraging employees to enhance their performance.
 5. Motivating Superior Performance: Inspiring employees to perform at their best.
6. Goal Setting and Measurement: Establishing and assessing goals.
7. Counselling Poor Performers: Helping underperforming employees improve.
8. Compensation Decisions: Determining changes in salaries or bonuses.
9. Encouraging Mentoring/Coaching: Promoting a culture of mentorship and
coaching.
10. Manpower/Succession Planning: Supporting planning for future staffing needs.
11. Training and Development Needs: Identifying organizational and individual training
requirements.
12. Legal Defensibility: Providing legal justification for personnel decisions.
13. Ensuring Good Hiring Decisions: Confirming effective hiring choices.
14. Aligning Goals: Improving organizational performance by aligning individual and
organizational goals.
Modern Methods of Performance Appraisal
Modern performance appraisal methods offer diverse and effective ways to evaluate
employees:
1. Assessment Centre:
o Originating in the German army in the 1930s, this method involves techniques
like in-basket exercises, role-playing, case studies, and simulations.
o Employees work on individual or group assignments to evaluate their potential
for promotion.
o This method provides an equal opportunity for employees to demonstrate their
abilities, improving their morale.
2. Management by Objectives (MBO):
o Coined by Peter Drucker, MBO involves managers and employees setting
objectives together.
o Performance is periodically evaluated, and rewards are based on results.
o MBO focuses on job requirements and encourages systematic work towards
defined goals. It is objective and future-oriented.
3. Human Asset Accounting Method:
o This method evaluates employee performance based on cost and benefit.
o It considers recruitment, training, compensation, and development costs
against the employee's contribution to the organization.
 o Performance is positive if the contribution exceeds costs and negative if costs
are higher.
4. Behaviourally Anchored Rating Scales (BARS):
o BARS combines rating scales and critical incident techniques.
o Critical incidents serve as anchor statements on a scale, defining performance
dimensions.
o It provides a detailed and specific performance evaluation.
5. Self-Appraisal:
o Employees evaluate their own performance.
o It is used for executive development and motivates employees for further
growth.
o Self-appraisal forms include job-related questions to assess responsibilities,
accomplishments, goals, and areas for improvement.
6. 360-Degree Appraisal:
o Also known as multi-rater feedback, this method involves feedback from
peers, managers, subordinates, customers, suppliers, and vendors.
o It was first used by General Electric in 1992 and is now popular worldwide.
o This comprehensive feedback fosters teamwork and improvement but can be
sensitive and challenging to manage.

Q. How does Selection differ from Recruitment? Differentiate between Internal and
External sources of Recruitment.

Recruitment and selection are often used interchangeably, but they are distinct processes.
Recruitment is a positive process aimed at attracting a large pool of candidates for a job,
whereas selection is a negative process that involves choosing the best candidate from the
pool and rejecting the others.
Internal and External Sources of Recruitment
Factors influencing recruitment are categorized into internal and external factors.
External Factors:
1. Demand and Supply: Organizations must consider the availability of candidates
within and outside the company. If there's a high demand for professionals and a
limited supply, the company may need to rely on internal sources and offer training
programs.
 2. Economic Environment: The economic condition impacts recruitment. For instance,
globalization and liberalization have created a demand for employees with
international expertise and knowledge of foreign languages and currencies.
3. Social Environment: Societal changes influence recruitment. Nowadays, people seek
challenging jobs and rapid career growth. More women entering the workforce means
organizations need to ensure equal employment opportunities.
4. Technological Environment: Technological advancements change the required
competencies. For example, the shift to computerization in banks reduced the need for
employees but increased the demand for those skilled in technology.
5. Political-Legal Environment: Political philosophies and legal regulations impact
recruitment. Pro-business policies facilitate easier business operations, while
regulations like age discrimination laws define recruitment boundaries.
6. Corporate Image: A positive corporate image attracts employees. Companies with a
good reputation find it easier to recruit, whereas those with a tarnished image may
struggle.
7. Unemployment Rate: High unemployment rates make recruitment easier, while low
rates require specific strategies to attract talent.
8. Competitors: Recruitment policies must be competitive. Organizations highlight their
best practices to attract potential candidates.
Internal Factors:
1. Organizational and Recruitment Policies: Organizations favoring internal growth
prefer internal recruitment, while those seeking new ideas look externally.
2. HR Plan: Recruitment follows the human resource plan, which outlines policies,
including reserved vacancies for specific categories.
3. Size of the Organization: Expansion or diversification increases manpower needs,
while downsizing reduces them.
4. Cost of Recruitment: Organizations aim to minimize recruitment costs. The choice
between internal and external recruitment depends on the associated costs.
5. Age Composition of Workforce: Older workforces may lead to hiring younger
employees externally, whereas younger workforces encourage internal promotions
and training.
6. Wage and Salary Policies: Attractive compensation packages draw candidates. For
example, Intel India's comprehensive benefits package is a strong motivator for job
applicants.
7. Nature of Operations: Job nature affects recruitment. Challenging jobs, like door-to-
door sales, may attract fewer candidates compared to more stable positions, like bank
officers.
Q. Define Employee Empowerment? Explain various elements of employee
empowerment.

Employee empowerment is the practice of giving employees the authority, responsibility,

resources, and freedom to make decisions and solve problems in their work. This concept
emerged as a response to outdated management philosophies that viewed workers as mere
manual laborers without decision-making capabilities. Modern workers, equipped with
education and a sense of responsibility, can contribute significantly to managerial tasks and
decision-making processes.
Key Aspects of Employee Empowerment:
1. Knowledge and Decision-Making Skills: Employees must have the necessary
knowledge and skills to make informed decisions.
2. Work Environment: A supportive and encouraging work environment is crucial for
employee cooperation.
3. Authority and Accountability: Employees should have the authority to make
decisions and be accountable for the outcomes.
4. Training: Providing managerial knowledge and task-specific training is essential.
5. Freedom to Implement Decisions: Employees should feel free to implement their
decisions without undue restrictions.
Elements of Employee Empowerment
1. Command Over Work Environment:
o Employees should feel a sense of authority over their immediate work
environment, helping them understand their responsibilities better.
2. Proficiency and Competence:
o Employees must be equipped with the skills and confidence to perform their
tasks effectively. Confidence in their abilities is essential before they can take
on decision-making responsibilities.
3. Purposefulness:
o Empowered employees must understand the significance of their tasks,
knowing how their work contributes to the organization’s goals.
4. Belief System and Trust:
o Employees should understand the impact of their decisions on the
organization. When employees believe their actions lead to important
outcomes, they are more engaged and motivated.
5. Participation:
 o Workers should be encouraged to take the initiative and actively participate in
the decision-making process. Providing proper training helps them express
their suggestions and ideas effectively.
6. Innovation:
o Management should encourage employees to try new ideas and make
decisions that lead to improved processes. Even if employees fail, they should
feel supported and encouraged to continue innovating.
7. Information:
o Access to necessary information and resources is crucial for employees to
enhance their skills and talents.
8. Accountability:
o Empowered employees should be held responsible for their results, ensuring
they put in their best efforts and act responsibly towards their colleagues.

Q. Explain various challenges faced in International Human Resource Management.

Managing HR activities in an international company is challenging due to the various ethical,

legal, and cultural differences across countries. Here are some key challenges:
1. Managing Human Resources:
o One of the toughest tasks for an International HR Manager is handling human
resources. From planning to recruitment and placement, it is difficult to meet
all legal and organizational requirements while satisfying people from
different nationalities and cultures.
2. Managing Communication:
o Communication is crucial in any organization. Employees need face-to-face
communication with their supervisors for better clarity and supervision.
Although technology enables virtual communication, it cannot replace the
benefits of in-person interactions. Maintaining employee motivation and
involvement across borders is a significant challenge.
3. Imparting Parent Organization Characteristics:
o It's essential to impart parent organization values to all offshore employees to
ensure uniformity in behaviour and attitudes. Monitoring the consistency of
values and attitudes across global employees is difficult.
4. Maintaining Uniformity and Fairness:
 o Employees in a global company may feel that their remuneration is not
comparable to their counterparts in other countries. Currency conversion and
differences in promotions and transfers can lead to dissatisfaction.
5. Maintaining Parent to Offshore Relationships:
o Good relationships between offshore employees and the parent organization
are crucial for maintaining trust and loyalty. HR managers need to devise
innovative practices to foster communication and cooperation.
6. Transfer of Knowledge:
o Ensuring the transfer of business knowledge and skills from the parent
organization to offshore branches is challenging due to differences in
employees' skill sets and understanding levels.
7. Maintaining Motivation and Commitment:
o Employees' motivation and commitment levels vary. The HR department must
ensure job satisfaction and maintain commitment despite differences in
motivation.
8. Deployment:
o Sending employees from one country to another requires careful planning and
convincing. Socio-cultural perceptions and family pressures can affect the
success of deployment. The HR department must ensure smooth transitions for
employees.
9. Managing Safety of Employees:
o The HR department is responsible for employee safety in both parent and
offshore organizations. With increasing terrorist activities and internal
conflicts in many countries, ensuring employee safety is challenging. HR must
also handle emergency evacuations.
10. Auditing Human Resource Activities:
 Auditing HR activities across different countries is difficult due to varying HR
practices. Consolidating and analysing these activities requires expert knowledge.

Q. Discuss systematic training process model.

An effective training program requires careful planning, implementation, and evaluation.

Without a systematic approach, training becomes unproductive, and desired outcomes cannot
be achieved. Here are the key steps in a systematic training process:
1. Determine Training Needs:
 o Assessing the organization's needs, the specific roles or tasks, and the
individuals involved. Through this analysis, any training requirements are
identified, leading to the development of a targeted training program.
2. Identify Training Objectives:
o After determining the training needs, clear and measurable objectives are
formulated to address these needs. These objectives guide the design and
implementation of the training program.
3. Select Training Methods:
o Choosing appropriate training methods is crucial. The selection depends on
the training objectives and the nature of the content. Methods may include
lectures, workshops, hands-on exercises, e-learning, or simulations.
4. Conduct Training Program:
o Implementing the training involves several logistical aspects:
 Communicating the date, time, and venue to participants.
 Arranging for qualified instructors or facilitators.
 Organizing training aids, facilities, and refreshments.
o Ensuring that all these elements are well-coordinated helps in delivering an
effective training experience.
5. Evaluate the Training:
o Evaluation is the process of collecting information on the training's
effectiveness. This can include:
 Gathering feedback from trainees about their reactions to the training.
 Conducting tests or assessments to measure learning outcomes.
 Observing behavioral changes in employees, as reported by
supervisors.
o Evaluation helps in determining whether the training objectives were met and
identifies areas for improvement.
By following these systematic steps, organizations can design and implement training
programs that are productive and yield the desired results. This structured approach ensures
that training is aligned with organizational goals and effectively enhances employee skills
and performance.