HUMAN RESOURCE MANAGEMENT V S P RAO EXCEL BOOKS

1. HRM IN A DYNAMIC ENVIRONMENT Chapter EXCEL BOOKS 3-1 3

2. ANNOTATED OUTLINE 3-2 INTRODUCTION Organisations are open systems and are, therefore, influenced by the environment (internal as well as external ) in which they operate.

3. 3-3 External and internal factors influencing the Personnel function External factors Internal factors  Technological factors  Mission  Economic challenges  Policies  Political factors  Organisational culture  Social factors  Organisation structure  Local and Governmental issues  HR systems  Unions  Employers’ demands  Workforce diversity

8. Total Quality Management Programmes 3-8 TQM is a way of creating an organisational culture committed to the continuous improvement of skills, teamwork, processes, product and service quality and customer satisfaction.

10. Total Quality HR Approach 3-10 The Total Quality HR Approach is all about employee participation and empowerment, carried out in a sincere and wholehearted manner. Rewards are designed to meet employee needs. Employees are treated like customers. 360 degree appraisals are carried out before picking up the best performing teams. Small ideas and improvements are encouraged.

11. 3-11 Quality snaps of Indian companies Name of Company Efforts toward TQM 1. Indo-Gulf Fertilizers Ltd Upgrading technology; training people; monitoring cost, quality and delivery criteria; participative management, HRD; ISO 9002 Certification, first fertilizer company to get this in India; Shaktiman Krishi Seva Kendras in UP, Bihar and West Bengal. 2. Bharat Heavy Electricals Ltd First to get ISO 9001 certification, in Dec 93; Strict metal parts (BHEL) quality control; 100% checking of insulators for testing their strength; strict quality assurance tests; high quality testing labs, etc. 3. TELCO (Lucknow) SUMO model Jeeps manufactured here according highest priority to ISO 9000 certifications; training and self-inspection given top priority. 4. Philips India Ltd Implemented TQM in 1995; first step was moving toward international quality system standards ISO 9000; total employee involvement; creation of self managing mini, micro and mega- teams; got the European Quality Award; Kaizen and suggestion schemes introduced followed by rewards and recognition system; regular surveys of employee motivation levels accompanied by customer surveys

12. 3-12 Benchmarking Effective implementation of TQM requires benchmarking. The essence of benchmarking is striving to be the best of the best in one’s area of operations. It is a continuous process of measuring products, services and practices against the toughest competitors or industry leaders with the aim of mutual improvement. Reengineering The primary focus of TQM is on continuous improvement or ongoing incremental change. Reengineering is all about achieving this. Actually speaking, reengineering takes place when more than 70 per cent of the work processes in an organisation are evaluated and altered. The focus is on simplifying operations and making them more efficient and customer oriented.

14. Flexible Manufacturing systems 3-14 It is the integration of computer aided design, engineering and manufacturing to produce low volume products at mass production costs. In such a scenario, employees need to acquire skills and get trained constantly. One should be capable of handle a variety of tasks.

15. 3-15 Economic, Political And Social Challenges And HR Now-a-days, people, goods, capital and information are moving around the globe as never before. Global competition is making every firm to think in terms of gaining an edge over rivals by producing high quality goods at a very competitive price. This is where the ‘people’ dimension comes into being. Incentives, favourable work climate, team spirit, freedom to think and act independently, and a host of other HR initiatives are needed to keep talent from flying away.