Human resource department (HRD)

Human resource department (HRD) is the specialized

functional department for HRM.
Focuses on utilizing the most flexible resource
people (HR) working on different functional area to
the optimum level.
HRD as a separate department is a cost centre
expensive for small businesses with few staff
members. However, essential as business grows or
staffs increase in number.
HRD is important for its HRM functions and their
benefits.
Human Resource Management (HRM)
HRM refers to management of staffs or workforce
work
effectively
and
efficiently

achieve
organizational goal
The importance of HRM lies in the management of
overall manpower working in different functional
areas.
The management functions might include workforce
planning; selecting and recruiting them; drawing up
contract and reasonable pay; developing, training
and appraising them; motivating them; improving
morale and welfare etc.
Functions of HRM

Workforce Planning
Recruiting and Selecting Staffs
Training, developing and appraising staffs
Involving all managers in staff development
Drawing up contracts of employment
Discipline and dismissal of employees
Developed by Raja Ram Malla

 Informing staff redundancies

Providing employee welfare
Others
Workforce Planning
How
-

many people will be required?

Demand of the product and future prospects
Productivity level of staffs
Expansion target of the business
Changes in legal provision regarding workers
right
What skills will be required within them?
Technological advancement
Need of multi-skilled staffs
What types of staffs required?
Advantages and disadvantages
(permanent, flexible part time, contract
based etc.)
Recruiting and Selecting Staffs
Normal process
Draw up job description / specification
(duties, responsibilities, hierarchical position etc.)
Draw up person specification
(Skills, experience, literacy, trainings etc.)
Preparing & publishing/displaying job
advertisement
(Vacancy Announcement)
Collection of CV from applicants
Short-listing of applicants
Conducting Interviews and other tests
(aptitude test, psychometric test)
Selecting and hiring
Can be internal or external recruiting (benefit s and
drawbacks of each type?)
Developed by Raja Ram Malla

Training, developing and appraising staffs

Training - Induction, On-the-job, and off-the-job
Developing training, providing higher responsibility
etc.
Appraising checking performance as per target
counselling, training or rewarding as required
Involving all managers in staff development
All
functional
managers
for
relevant
staff
requirement, training, performance appraisal etc.
Drawing up contracts of employment
Contract between staffs and organisation.
Responsibility, authority, working period, position,
pay etc. included
Discipline and dismissal of employees
Discipline make people work within boundary
provided by management
Counselling, providing advice, suggestions and
guidelines (+training) as required are some of the
disciplinary actions.
Dismissal might be the final step of discipline must
be fair dismissal
Consequence of unfair dismissal???
Examples of fair and unfair dismissal???
Informing staff redundancies
Situation where a job is no more needed and related
staff cant be adjusted anywhere else.
Causes - competition, economic turndown, govt
policies etc.
Problems - Demotivated staffs, workforce resistance
& cost
Developed by Raja Ram Malla

 Solutions Participation, fair policy,

retirement scheme and Compensation

voluntary

Providing employee welfare

Financial and non-financial support develops higher
staffs moral and motivation
Others
Developing appropriate pay system (after job
analysis)
Guiding, advising and motivating staffs.
Measuring and monitoring staff performance
(performance appraisal)

Developed by Raja Ram Malla