HUMAN RESOURCE MANAGEMENT & INDUSTRIAL RELATIONS

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6. Both recruitment and selection are the two phases of the employment process. The differences between the two are:

• The recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organisation WHEREAS selection involves the series of steps by which the candidates are screened for choosing the most suitable persons for vacant posts.

• The basic purpose of recruitments is to create a talent pool of candidates to enable the selection of best candidates for the organisation, by attracting more and more employees to apply in the organisation WHEREAS the basic purpose of selection process is to choose the right candidate to fill the various positions in the organisation.

• Recruitment is a positive process i.e. encouraging more and more employees to apply WHEREAS selection is a negative process as it involves rejection of the unsuitable candidates.

• Recruitment is concerned with tapping the sources of human resources WHEREAS selection is concerned with selecting the most suitable candidate through various interviews and tests.

• There is no contract of recruitment established in recruitment WHEREAS selection results in a contract of service between the employer and the selected employee.

8. A learning curve is a graphical representation of the changing rate of learning (in the average person) for a given activity or tool. Typically, the increase in retention of information is sharpest after the initial attempts, and then gradually evens out, meaning that less and less new information is retained after each repetition.

The learning curve can also represent at a glance the initial difficulty of learning something and, to an extent, how much there is to learn after initial familiarity.

9.         A performance appraisal, employee appraisal, performance review, or (career) development discussion is a method by which the job performance of an employee is evaluated (generally in terms of quality, quantity, cost, and time) typically by the corresponding manager or supervisor.

A performance appraisal is a part of guiding and managing career development. It is the process of obtaining, analyzing, and recording information about the relative worth of an employee to the organization. Performance appraisal is an analysis of an employee's recent successes and failures, personal strengths and weaknesses, and suitability for promotion or further training. It is also the judgement of an employee's performance in a job based on considerations other than productivity alone.

10. The Critical Incident Technique (or CIT) is a set of procedures used for collecting direct observations of human behavior that have critical significance and meet methodically defined criteria. These observations are then kept track of as incidents, which are then used to solve practical problems and develop broad psychological principles. A critical incident can be described as one that makes a significant contribution—either positively or negatively—to an activity or phenomenon. Critical incidents can be gathered in various ways, but typically respondents are asked to tell a story about an experience they have had.

           

Critical Incident Technique is a flexible method used in 5 major areas.

·         Determining and reviewing the incident

·         Fact-finding

·         Identify the issues

·         Resolve the issues based on various possible solutions

·         Evaluation, whether the solution that was selected will solve the root cause of the situation and will cause no further problems.

11. Employee stock ownership plans (ESOPs) are set up by companies as a kind of employee benefit trust. An ESOP is a type of employee benefit plan designed to invest primarily in employer stock.

12. Collective bargaining is a process of negotiations between employers and the representatives of a unit of employees aimed at reaching agreements which regulate working conditions. Collective agreements usually set out wage scales, working hours, training, health and safety, overtime, grievance mechanisms and rights to participate in workplace or company affairs

            Collective bargaining consists of the process of negotiation between representatives of a union and employers in respect of the terms and conditions of employment of employees, such as wages, hours of work, working conditions and grievance-procedures, and about the rights and responsibilities of trade unions.

14 . HUMAN RESOURCE PLANNING

HRP offers an accurate estimate of the number of employees required with matching skill requirements to meet organisational objectives. HRP is a forward looking function as human resource estimates are made well in advance.

The HRP is a four step process:

·         Demand forecasting

·         Supply forecasting

·         Estimating manpower gaps and

·         Formulating HR plans.

The demand for human resources is influenced by several factors

16. Job rotation is an approach to management development where an individual is moved through a schedule of assignments designed to give him or her a breadth of exposure to the entire operation.

At the senior management levels, job rotation - frequently referred to as management rotation, is tightly linked with succession planning - developing a pool of people capable of stepping into an existing job. Here the goal is to provide learning experiences which facilitate changes in thinking and perspective equivalent to the "horizon" of the level of the succession planning.

In many cases senior managers seem unwilling to risk instability in their units by moving qualified people from jobs where the lower level manager is being successful and reflecting positively on the actions of the senior manager.

20. The term ‘industrial relations’ refers to the collective relations between employers and employees as a group. It underscores the importance of compromise and accommodation in place of conflict and controversy in resolving disputes between labour and management.

Sound industrial relations are essential for ensuring industrial peace and improved productivity. Cordial labour management relations enable the employer to secure cooperation and commitment from employees quite easily.  It is not, however, easy to promote and maintain sound industrial relations. Certain conditions should exist for the maintenance of harmonious industrial relations:

v              Existence of strong, well organised and democratic employees' unions

v              Existence of sound and organised employers' unions

v              Spirit of collective bargaining and willingness to resort to voluntary            negotiations

v              Maintenance of industrial peace

           

23. Merits and demerits of hiring people from within

Merits

(i)         Economical: The cost of recruiting internal candidates is minimal. No expenses are incurred on advertising.

   (ii)            Suitable: The organisation can pick the right candidates having the requisite skills. The candidates can choose a right vacancy where their talents can be fully utilised.

(iii)       Reliable: The organisation has knowledge about the suitability of a candidate for a position. ‘Known devils are better than unknown angels!’.

(iv)       Satisfying: A policy of preferring people from within offers regular promotional avenues for employees. It motivates them to work hard and earn promotions. They will work with loyalty, commitment and enthusiasm.

Demerits

(i)         Limited choice: The organisation is forced to select candidates from a  limited pool. It may have to sacrifice quality and settle for less qualified candidates.

   (ii)            Inbreeding: It discourages entry of talented people, available outside an organisation. Existing employees may fail to behave in innovative ways and inject necessary dynamism to enterprise activities.

(iii)       Inefficiency: Promotions based on length of service rather than merit, may prove to be a blessing for inefficient candidates. They do not work hard and prove their worth.

(iv)       Bone of contention: Recruitment from within may lead to infighting among employees aspiring for limited, higher-level positions in an organisation. As years roll by, the race for premium positions may end up on a bitter note.

Merits and demerits of hiring people from outside

Merits

Wide choice: The organisation has the freedom to select candidates from a large pool. Persons with requisite qualifications could be picked up.

Injection of fresh blood: People with special skills and knowledge could be hired to stir up the existing employees and pave the way for innovative ways of working.

Motivational force: It helps in motivating internal employees to work hard and compete with external candidates while seeking career growth. Such a competitive atmosphere would help an employee to work to the best of his abilities.

Long term benefits: Talented people could join the ranks, new ideas could find meaningful expression, a competitive atmosphere would compel people to give of their best and earn rewards, etc.

Demerits

Expensive: Hiring costs could go up substantially. Tapping multifarious sources of recruitment is not an easy task, either.

Time consuming: It takes time to advertise, screen, to test and to select suitable employees. Where suitable ones are not available, the process has to be repeated.

Demotivating: Existing employees who have put in considerable service may resist the process of filling up vacancies from outside. The feeling that their services have not been recognised by the organisation, forces them to work with less enthusiasm and motivation.

Uncertainty: There is no guarantee that the organisation, ultimately, will be able to hire the services of suitable candidates. It may end up hiring someone who does not ‘fit’ and who may not be able to adjust in the new set-up.

25. 360 Degree Appraisal

Feedback is provided by subordinates, peers, and supervisors."360" refers to the 360 degrees in a circle, with an individual figuratively in the center of the circle. It also includes a self-assessment and, in some cases, feedback from external sources such as customers and suppliers or other interested stakeholders. It may be contrasted with "upward feedback," where managers are given feedback by their direct reports, or a "traditional performance appraisal," where the employees are most often reviewed only by their managers.

The results from 360-degree feedback are often used by the person receiving the feedback to plan training and development. Results are also used by some organizations in making administrative decisions, such as pay or promotion. When this is the case, the 360 assessment is for evaluation purposes, and is sometimes called a "360-degree review." However, there is a great deal of controversy as to whether 360-degree feedback should be used exclusively for development purposes, or should be used for appraisal purposes as well (Waldman et al., 1998). There is also controversy regarding whether 360-degree feedback improves employee performance, and it has even been suggested that it may decrease shareholder value