2. Agenda
My Introduction
Introduction to Business Applications (BA)
Introduction to HRMS
Recruitment – Technique
Employee Appraisal
Employee Training
Leave Accounting and Payroll
Case study on Recruitment
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4. Introduction to BA
Applications to satisfy business needs
Simplifies and supports the business
Examples:
Human Resource Management System
Sales and Distribution Management System
Production Planning Control System
Banking System
Customer Relationship Management System
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5. The Story begins…
Three young guys named Raj, Rahul and Rajiv are
studying in IIT, Mumbai. In their final year they come
up with a idea to develop mobile based software
applications for health services.
All three of them decide to form a company
“HealthSoft Application Services Pvt. Ltd.” setup in
Pune
They work hard and come up with their first product
which becomes a hit in the market.
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6. After few years
Initially the three friends are only ones working for
the company
After few years the company adds few more products
and also the number of employees go up to 150
With growth come newer challenges – there are
interpersonal issues, it is difficult to track the
responsibility areas of the employees as well as the
three owners, the recruitment cost keeps increasing,
employees keep complaining of low salaries
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7. The bigger challenges
In midst of all this chaos, the company does well but
its growth rate slows down. The three friends keep
wondering what is wrong since they seem to do
everything right.
The sales team is bringing in the projects, the
development team executes the project with
perfection, the testing team does great work as well.
So what exactly is missing…???
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8. Nailing the challenge
After a lot of deliberation, the three friends
understand what needs to be corrected…They had not
really planned for the most important resource of
their organization – the HUMAN RESOURCE
They decide to hire an experienced Human Resource
Manager – Sam, to create the HRMS (Human
Resource Management System) for their organization
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9. Introduction of HRMS
Sam explains HRM is the organizational function that
deals with issues related to people such as
compensation
hiring
performance management
organization development
safety and wellness
benefits
employee motivation,
communication
administration
training and development
HRMS provide a link between human resource
management and information technology
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10. Recruitment
Raj informs Sam that they have successfully bid for a
new project and they will need to hire 25 more
resources within next 2 months
Sam decides to design the recruitment process which
is the process of
attracting,
screening, and
selecting
qualified people for a job at an organization or firm.
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11. Internal Sources
Transfers: From one department to another
Promotions: The employees are promoted from one department
to other (or same) based on experience
Upgrading and Demotion of present employees
Retired and Retrenched employees
The dependents and relatives of Deceased employees and
Disabled employees
Advantage: Recruitment from internal sources save time and
costs of the organizations as the people are already aware of the
organizational culture and the policies and procedures
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12. External Sources
Source Advantage
Press Advertisements Wide reach
Educational Institutes - Campus Increases employment
Recruitment
Placement Agencies Wide options and short turn around
time
Government employment exchanges Cheaper
Labour contractors Source manual labour
Unsolicited applicants Create talent pool or database
Employee referrals/Recommendations Increase loyalty of existing employees
E-portals Increased reach
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15. Employee Appraisal
Performance appraisal rates the employees in terms
of their performance
It defines and measures the performance of the
employees and the organization as a whole
It is a tool for accessing the performance of the
organization
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16. Need for Appraisal
Review the performance over a given period of time
Judge the gap between actual and desired
performance
Diagnose the training and development needs
Provide information for promotions, transfers etc.
Provide clarity of the expectations and
responsibilities of the functions
Reduce the grievances of the employees
Strengthen the relationship and communication
between superior – subordinates
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18. Problems or Limitations while
conducting appraisals
Halo effect
Horn effect
Central tendency
Leniency and strictness
Spill over effect
Fear of loosing subordinates and spoiling relations
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19. Employee Training
Objectives of Training - availability of a skilled and willing
workforce to an organization
Individual Objectives – help employees in achieving their
personal goals
Organizational Objectives – assist the organization with
its primary objective by bringing individual effectiveness
Functional Objectives – maintain the department’s
contribution at a level suitable to the organization’s needs
Societal Objectives – ensure that an organization is
ethically and socially responsible to the needs and
challenges of the society
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21. Training Benefits
Increased job satisfaction and morale
Increased efficiencies in processes, resulting in
financial gain
Increased capacity to adopt new technologies and
methods
Increased innovation in strategies and products
Reduced employee turnover
Enhanced company image
Risk management, e.g., training about sexual
harassment, diversity training
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22. Case study
HealthSoft has decided to expand operations further
Its managers know that they have to expand its
employment from 175 to 500 in next 1 year. In addition, the
company branch at Nasik, needs to be closed, due to low
performance.
But then there are a few employees, employed at Nasik
office, who have very good management skills; and a few
who are technically skilled. These employees are the
company’s assets & wouldn’t want to lay them off.
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23. Case Study (contd.)
The H.R managers are in a fix , in deciding the techniques
to be used to increase employee strength in Pune, from 175
to 500.
Suggest suitable business process that can be used for
recruitment in Pune. Specify the different input
documents(detailed documents) that are necessary for
your specified business process & also suggest any
supporting reports that can be obtained from your
specified business process.
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24. Solution Approach – First collect the direct
stated facts
The company decided to expand its operation
Now the second part of the case study says - the company
decides to close operations in Nasik. There are a few heads in
Nasik, the company wish to retain, as assets.
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25. Solution Approach – Second collect the
unstated facts
Indications of a hiring process.
The HR co ordinates with different departments
fo0r their demands of filling new employees. All
the respective department heads fill their
requirements in the ERP system, under HR -
Recruitment module.
HR decides to have a policy of Internal Hire for
such potential candidates and shift its potential
good candidates from Nasik location to Pune
location
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26. Different input documents
The input data is: An employee requisition form from various
departments stating the requests for hiring respective positions
needed.
The company HR may also use ERP - HR module to find suitable
candidates to shift from Nasik to Pune, using the following
search/report criterion.
Reports required for hiring processes:
No of vacancies
Job descriptions - requirement of experience, skills, age, salary,
position etc.
Interview dates - Recruitment drives
Resume bank - application pools
Specify details about external and internal sources, recruitment
process, and new trends in recruitment 26
27. Supporting reports
The reports used for Inputs from any ERP software:
Employee details - personal and official like name, address,
family details, age, official such as - department details,
reporting structure, etc.
Employee Skills
Employee Experience summary.
Employee’s performance rating, based on their appraisal
score.
Employee salary structure
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28. Important questions
1. What is HRM (Human Resource Management)? In
HRM, which policies and practices carried out by
management?
2. What is recruitment? What are the internal and external
factors for recruitment?
3. What are the different methods of recruitments? Explain
with example. Differentiate between external and
internal recruitment? Advantages and Disadvantages of
each.
4. What is purpose of recruitment?
5. Discuss stages of recruitment process? Explain the
process of recruitment with diagram? 28
29. Important questions
What are the different types of leaves?
Define appraisal process. List any four
objectives of Employee Appraisal
List any four Traditional methods of
Appraisal.
What are the problems appear in appraisal?
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30. Important questions
Which are methods and technique of
training? What is on job training and off job
training?
What are inputs in training and development?
What are the objectives of Employee
Training?
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Introduction to BA 15 Introduction to HRMS 15 Employee Database and Knowledge Management System 5 Recruitment – Technique 30 Case study on Recruitment 10 Questions 15 total 90
There will be different systems to do some or all of these
PRESS ADVERTISEMENTS: Advertisements of the vacancy in newspapers and journals are a widely used source of recruitment. The main advantage of this method is that it has a wide reach. EDUCATIONAL INSTITUTES: Various management institutes, engineering colleges, medical Colleges etc. are a good source of recruiting well qualified executives, engineers, medical staff etc. They provide facilities for campus interviews and placements. This source is known as Campus Recruitment. PLACEMENT AGENCIES: Several private consultancy firms perform recruitment functions on behalf of client companies by charging a fee. These agencies are particularly suitable for recruitment of executives and specialists. It is also known as RPO (Recruitment Process Outsourcing) EMPLOYMENT EXCHANGES: Government establishes public employment exchanges throughout the country. These exchanges provide job information to job seekers and help employers in identifying suitable candidates. LABOUR CONTRACTORS: Manual workers can be recruited through contractors who maintain close contacts with the sources of such workers. This source is used to recruit labour for construction jobs. UNSOLICITED APPLICANTS: Many job seekers visit the office of well-known companies on their own. Such callers are considered nuisance to the daily work routine of the enterprise. But can help in creating the talent pool or the database of the probable candidates for the organisation. EMPLOYEE REFERRALS / RECOMMENDATIONS: Many organisations have structured system where the current employees of the organisation can refer their friends and relatives for some position in their organisation. Also, the office bearers of trade unions are often aware of the suitability of candidates. Recruitment Management can inquire these leaders for suitable jobs. In some organizations these are formal agreements to give priority in recruitment to the candidates recommended by the trade union. RECRUITMENT AT FACTORY GATE: Unskilled workers may be recruited at the factory gate these may be employed whenever a permanent worker is absent. More efficient among these may be recruited to fill permanent vacancies.
Screening/Recruitment Technique/ Sources of Recruitments Expressions of Interest (EOI) by mailing their resumes or giving a call Evaluation of Job Profile, Experience Summary and applied candidate profile. Call of Action and Interview Short listing based on their performance at the interview and Reference checks Offer Letter and Appointment
The external factors which affecting recruitment are the forces which cannot be controlled by the organisation. The major external forces are: SUPPLY AND DEMAND The availability of manpower both within and outside the organization is an important determinant in the recruitment process. If the company has a demand for more professionals and there is limited supply in the market for the professionals demanded by the company, then the company will have to depend upon internal sources by providing them special training and development programs. LABOUR MARKET Employment conditions in the community where the organization is located will influence the recruiting efforts of the organization. If there is surplus of manpower at the time of recruitment, even informal attempts at the time of recruiting like notice boards display of the requisition or announcement in the meeting etc will attract more than enough applicants. IMAGE / GOODWILL Image of the employer can work as a potential constraint for recruitment. An organization with positive image and goodwill as an employer finds it easier to attract and retain employees than an organization with negative image. Image of a company is based on what organization does and affected by industry. For example finance was taken up by fresher MBA’s when many finance companies were coming up. POLITICAL-SOCIAL- LEGAL ENVIRONMENT Various government regulations prohibiting discrimination in hiring and employment have direct impact on recruitment practices. For example, Government of India has introduced legislation for reservation in employment for scheduled castes, scheduled tribes, physically handicapped etc. Also, trade unions play important role in recruitment. This restricts management freedom to select those individuals who it believes would be the best performers. If the candidate can’t meet criteria stipulated by the union but union regulations can restrict recruitment sources. UNEMPLOYMENT RATE One of the factors that influence the availability of applicants is the growth of the economy (whether economy is growing or not and its rate). When the company is not creating new jobs, there is often oversupply of qualified labour which in turn leads to unemployment. COMPETITORS The recruitment policies of the competitors also effect the recruitment function of the organisations. To face the competition, many a times the organisations have to change their recruitment policies according to the policies being followed by the competitors. The internal factors or forces which affecting recruitment and can be controlled by the organisation are RECRUITMENT POLICY The recruitment policy of an organisation specifies the objectives of recruitment and provides a framework for implementation of recruitment programme. It may involve organizational system to be developed for implementing recruitment programmes and procedures by filling up vacancies with best qualified people. FACTORS AFFECTING RECRUITMENT POLICY • Organizational objectives • Personnel policies of the organization and its competitors. • Government policies on reservations. • Preferred sources of recruitment. • Need of the organization. • Recruitment costs and financial implications. HUMAN RESOURCE PLANNING Effective human resource planning helps in determining the gaps present in the existing manpower of the organization. It also helps in determining the number of employees to be recruited and what qualification they must possess. SIZE OF THE FIRM The size of the firm is an important factor in recruitment process. If the organization is planning to increase its operations and expand its business, it will think of hiring more personnel, which will handle its operations. COST Recruitment incur cost to the employer, therefore, organizations try to employ that source of recruitment which will bear a lower cost of recruitment to the organization for each candidate. GROWTH AND EXPANSION Organization will employ or think of employing more personnel if it is expanding its operations.
Halo – single positive trait Spill over- past affects present