Guru Nanak College Of Arts, Science & Commerce.

Subject: - Human resource management.

Prof: - Shubanghi Iyer Mam

Class: - T.Y.B.B.I.

Project on: - Human Resource Planning, Recruitment, Selection and Induction.

Group Name:-

Roll No.

Shiva Konar. Zibran Shah. Shiv Shanker Singh. Ricky Suri.

12. 41. 25. 28.

Sr. No.
1. 1(a) (b) (c ) (d) Definition. Characteristics. Process. Limitations.

Index
Human Resource Planning.

2. (a) (b) Definitions. Sources of Recruitment.

RECRUITMENT.

3. (a) (b) Definitions. Procedure.

SELECTION

4. (a) (b) (c ) 5. Definitions. Importances

INDUCTIONS.

Contents and Conduction Programs. CONCULSION.

INTRODUCTION OF RESOURCES PLANNING.

Human resources planning is referred to as Personnel planning or Manpower planning. However the term human resources planning is more widely used today as it more broad based and comprehensive. There are three resources that are critical for an organization to be successful and attain its goals are: (1) Financial resources i.e. Money (2) Physical resources i.e. Building and equipment. (3) Human resources i.e. People While Managers pay a great deal of attention in the planning of the first and second resources, human resources are often neglected or taken for granted. This is a terrible mistake because no organization can be successful in the long run without having the right number and right kind of people doing the right jobs at the right time. Hence human resource planning assumes vital importance.

DEFINITIONS
According to Wendell French defines human resources planning as the process of assessing the organization goals and changing conditions and making plans to ensure that a competent, stable work force is employed.

According to DeCenzo and Robbins, human resources planning is the process by which an organization ensures that it has the right number and kinds of people, at the right places, at the right time, capable of effectively and efficiently completing those tasks that will help the organization achieve its overall objectives.

According to Stainer defines that human resource planning as a strategy for the acquisition, utilization, improvement and preservation of an organizations human resources.

CHARACTERISTICS, NEEDS & OBJECTIVES

Human resource planning is concerned with answering the following two questions: (1) How many people? (2) What kind of people? Human resources planning is also concerned with how people are employed and developed in order to improve organizational effectiveness.

CHARACTERISTICS OF HUMAN RESOURCE PLANNING.

(1) Futuristic: Like most other kinds of planning, human resource planning is forward looking. Human resource planning is concerned with forecasting the future manpower needs of the organization so that adequate and timely provisions may be made to meet those needs. (2) Continuous Process: Human resource planning is an ongoing process. It is not a onetime process, as the demand and supply of human resources undergoes frequent changes. Hence human resource plans needs to be reviewed and revised as per the changing the needs of the organization and the environment.

(3) Part of corporate planning: Human resource planning is an integral part of corporate planning. Human resource plans are in tune with the corporate plans and are aimed at meeting organizational requirements. (4) Quantitative and qualitative: Human resource planning focuses not merely on maintaining the right number of people (quantitative aspect) but also on ensuring that the organization has the right kind of people (qualitative-aspect).

(5) Long term and short term plans: The human resource plans are long term as well as short term in nature. Short terms plans are concerned with filing existing jobs and recruitment and selection of the right personnel. The long term plans are usually for a period of five years or more and are prepared on the basis of trends in the economy, labor market and production.

HUMAN RESOURCE PLANNING PROCESS.

Managers have to frequently make important decisions regarding acquisition and utilization of human resources. The process of human resources planning helps in this regard and makes the tasks of a manager much easier. The process of human resource planning involves the following steps are as follows:

ANALYSIS OF ORGANIZATION PLANS AND OBJECTIVES

FORECASTING HUMAN RESOURCE REQUIREMENT

ASSESSMENT OF SUPPLY OF HUMAN RESOURCES

ESTIMATING MANPOWER GAPS

ACTION PLANNING

MONITORING AND CONTROL

(1) Analysis of organizational plans and objectives: Human resource planning is a part of the overall organizational plan. Hence the process of human resource planning begins with the analysis of the overall plan of the organization. The organizations plans concerning technology, production, marketing, finance, expansion and diversification are studied and analyzed to gain insight in to the volume of future work activity.

(2) Forecasting human resource requirements: The organizations objectives and strategies for the future determine its future human resource needs. Forecasting includes the number of employees that will be needed and the types of skills that will be required. External as well as internal factors are taken in to account while forecasting future human resource needs. External factors include competition (foreign and domestic), economic, climate, laws and regulatory bodies, changes in technology and social factors.

(3) Assessment of supply of human resources: The assessment of supply of human resources begins with the examination of the current human resource inventory of the organization. The human resource inventory helps in determining and evaluating the quantity and quality of the internal human resources. It reveals what is the current status and what can be expected in the future. Changes in the human resource inventory occur due to potential losses and additions. Potential losses of human resources arise in the form of resignation, discharge/ dismissal, death, ill health, deputations out and so on. Potential additions to human resources may occur in the form of new recruits, acquisition of new skills, transfers, deputations in, training and so on. (4) Estimating manpower gaps: The net human resources requirement of the organization are identified by comparing the demand and supply forecasts. This will reveal either a surplus or a shortage of human resources in the future.

(5) Actions planning: Based on the identified gaps in the manpower, action plans are drawn up to bridge these gaps. Surpluses in the manpower may be dealt through redeployment in other units, retrenchment (dismissals), voluntary retirement through golden handshake schemes and so on.

(6) Monitoring and control: The action plans implemented in step 5 are closely monitored. The manpower plans and programs implemented are reviewed on a regular basis to identify any deficiencies. Corrective actions are taken if needed.

LIMITATIONS OF HUMAN RESOURCE PLANNING

Despite its various benefits and advantages, human resource planning suffers from the following drawbacks or limitations:

(1) Uncertain future: In an extremely complex and frequently changing business enviornment, it is very difficult to make accurate predicitons of future manpower requirements. The organizational estimates of its manpower requirements may go completely wrong.

(2) Management attitude: Managements of Indian companies often question the requirement of human resource planning as the country has abundance of labor. They often have negative attitude toward human resource planning and consider it to be wasteful.

(3) Faculty information system: A large number of organizations have an imperfect human resource information system. In the absence of reliable data.

(4) Expensive: Human resource planning requires the services of experts trained in the area. Often these experts charge hefty fees for consultation which makes human resource planning expensive and beyond the reach of small organization.

(5) Time consuming: Human resource planning is a time comsuming process. It requires cosiderable time, effort and ivolves a lot ofpaperwork. Hence managements are very often not keen on human resource planning.

(6) Shortage of highly skilled labor: Even through human resource planning recognizes shortages and plans accordingly, yet organizations often find it difficult to get the right type of personnel.

RECRUITMENT The acquisition of human resources for the organization takes place through the process of recruitment and selection. After the human resource needs of the organization are identified through human resource planning, the next step is that of recruitment and selection. One of the most difficult tasks of the human resource manager is that of recruiting and selecting the right kind of people for the organization. The process of acquiring human manpower begins with recruitment, continues with selection with placement.

DEFINITONS According to DeCenzo and Robbins describes recruitment as the process of discovering potential candidates for actual or anticipated organizational vacancies. It is a linking activity aimed at bringing together those with jobs to fill and those seeking jobs.

According to Edwin Flippo, recruitment is the process of searching for prospective employees and stimulating and encouraging them to apply for jobs in an organization. A number of factors such as the size of the organization, the employment conditions in the community, reputation of the organization, working conditions and salary and benefits offered by the organization affect the recruitment process.

SOURCES OF RECRUITMENT The various sources of recruitment may be broadly classified in two broad categories: Internal and External sources. Some organizations draw their human resources internally i.e. from within the organization while others draw externally i.e. from outside the organization. Both the resources have their advantages and limitations.

INTERNAL SOURCES OF RECRUITMENT

The internal sources of recruitment focus on finding qualified applicants within the organization. The organization itself is the best source of applicants for positions above the entry level. The internal sources of recruitment may be of the following type: (1) Promotions: Vacancies in the organization may be filled by promoting qualified and experienced employees. Promotion refers to shifting an employee to a higher position carrying higher status, responsibilities and pay. Transfers: Another common way of filling up vacancies is through internal transfers. An existing employee who is experienced and capable is transferred from one department in the organization to another. In transfers, the shifting of the employees occurs without any major changes in his status and responsibilities. Job postings (internal advertisements): A popular method of finding applicants is through job postings or internal advertisements. Job posting involves announcing job opening to all current employees through notices on the bulletin boards or through the company newsletters. Some organization have developed computerized job posting system so that employees can obtain information on their computer screens. Recall of retired and ex-employees: When an organization is not able to find a suitable candidates for a vacancy, former employees of the organization who have retired or had quit the organization may be recalled.

(2)

(3)

(4)

(5)

Employee referrals: Another way to find applicants within the organization is through employee referrals. Informal communication

among managers may lead to the discovery of a good candidates for the job. (6) Skills Inventories: Many firms have developed computerized skills inventories of their employees information on every employees skills, educational background, work history, and other important factors is stored in the organizations database. The skills inventory is used to identify employees with the attributes needed for a particular job.

EXTERNAL SOURCES OF RECRUITMENT

Organizations turn to external sources of recruitment when the internal sources fall short. New organizations rely largely on external sources to meet their recruitment needs. However even well established organizations turn to external sources when candidates with the desired skills, knowledge and qualifications are not available in the organization or in order to introduce new blood in the organization.

The external sources of recruitment are: (1) Campus recruitment: Educational and training institutions like IIMs, IITs and other professional colleges are a good source of recruiting qualified and trained personnel. Many educational institutions have placement departments who forwards the names of graduating students to interested organization and invite them to conduct campus interviews.

(2)

Advertisements: Advertisements in journals, newspaper and magazines with wide circulation is a very popular source of recruitment. However care should be taken in preparing the advertisements so that only qualified applicants respond.

(3)

Employment agencies: Private consulting firms carry out recruiting functions on behalf of organizations. Firms of such kinds are also referred to as head hunting firms. These firms carry out all the functions with candidates as per their requirements. Employee recommendations: Avery good external source of recruitment is a recommendation from a current employee. An employee will rarely recommend someone unless he is certain that the individual will perform adequately.

(4)

(5)

Professional bodies: Professional bodies like the institute of chartered accountants, institute of company secretary maintain a record of qualified persons in their specialized fields.

(6)

Deputation: In deputation the services of an experienced employee of another organization are borrowed for a fixed period of time. This source of recruitment is usually for senior positions in the organization.

SELECTION
Once an effective recruitment program has been carried out and supplied enough job applicants, the next step is that of choosing the best candidates for specific jobs. Selection is the next logical step in the human resource process after recruitment.

DEFINITIONS
According to Dale Yoder defines selection as the process in which candidates for employment are divided in to two classes- those who are to be offered employment and those who are not. According to Thomas Stone, selection is the process of differentiating between applicants in order to identify and hire those with a greater likelihood of success on the job. PROCEDURE In almost all organization, the human resources department is responsible for designing the selection system and managing its everyday operations. Organizations make large investments to get the right kind of people, hence, a sound selection procedure is necessary. Although organizations differ in terms of which selection methods to use, most of them follow a fairly standardized set of steps. The various steps involved in the selection procedure are as follows:

PRELIMINARY INTERVIEW

APPLICATION BLANK

SELECTION TEST

EMPLOYMENT INTERVIEW

MEDICAL EXAMINATIONS

REFERENCE CHECKS

FINAL SELECTION

(1) Preliminary interview: This is the first step in the selection procedure. The objective of this interview is to discard those candidates who are totally unqualified for the job. Only suitable candidates are retained for further screening. Preliminary interview saves time and efforts of both the organization and the candidate. It avoids unnecessary waiting for candidates who have no chance of being hired. The organization too benefits, as it does not waste time and money on further processing unsuitable candidates.

(2) Application blanks: This is a very popular method of getting information from the candidate. The candidates are supplied a blank specially prepared application form for filling it with information relating to educational qualifications, age, experience, training, past experience, hobbies, interests etc. The application form has several benefits: (a) It helps to eliminate those candidates who are lacking in education and experience. (b) It helps in formulation questions for the interview.

(c) Information obtained through application forms can be used for future reference. (3) Selection test: The selection or employment test is the next step in the selection procedure. A variety of psychological tests are used to obtain information about various aspects of an individuals behavior, performance and attitudes. The use of such psychological tests is becoming increasingly popular. (a) Aptitude Test: Aptitude is the ability to benefit from a certain type of training. It is the ability to learn a particular type of skill. (b) Ability Tests: Ability refers to what a person can do now and what he can learn to do in the future. Ability means that a person can do something like solve numerical problems, repair a machine, drive a car, sing or act.

(c) Interest Tests: Interest refers to the liking of a person. Different people have different interest patterns. For example, some people may be interested in music, others in sports and so on. (d) Personality Tests: Personality tests help in determine the personality traits of an individual. The use of personality tests in organizations is based on the belief that successful employees possess a particular personality structure. The personality tests assess this structure and hence are used for selecting new employees.

(4) Employment interview: The interview is widely used tool of selecting prospective candidates for the organization. It gives the employer and prospective employee an opportunity to meet each other. (5) Medical examination: Applicants who have successfully passed the above steps are now sent for a medical examination. Medical examination is important for the following reasons:

(a) It helps to determine whether the candidates is mentally and physically fit to perform the job. (b) It prevents employment of employees suffering from contagious diseases. (c) It saves expenditure that the organization may have to incur for medical treatment of the candidate.

INDUCTION Induction is the process of familiarizing the new employee with the job and the organization. It includes introducing the new employee to his or her work unit.

DEFINITIONS Micheal Armstrong defines induction as the process of receiving and welcoming employees when they first join the company and giving them the basic information they need to settle down quickly and happily and start work.

According to Armstrong, induction has five main aims: (1) (2) (3) (4) To put the new employee at ease. To create employee interest in the job and the organization. To provide basic information about working conditions. To indicate the standards of performance and behavior expected from the employee.

(5)

To tell employee about training arrangements and how he or she can progress in the company.

IMPORTANCE/ OBJECTIVES OF INDUCTION Induction is extremely important as a new worker often finds himself completely at sea in the new workplace. Induction assumes even greater importance when the new employee is new to the town/ city or in some cases to the country. Induction has four aims: (1) Smooth entry: To make the entry a favorable attitude to the organization a smooth one as initially everything is strange and unfamiliar to him. Favorable attitude: To establish a favorable attitude to the company in the mind of the new employee so that he will stay on in the organization. Quick adjustment: To obtain effective output from the new employee in the shortest possible time. Reduce employee turnover: Research has found that employees are far more likely to resign during their first few months after the joining the organization. Induction reduces the likelihood of employees leaving the organization quickly.

(2)

(3)

(4)

(5)

Increasing commitment: A proper induction makes the employee feel that the organization is worth working for this increases employee commitment as he identifies himself with the organization, wants to stay with it and is prepared to work hard on behalf of the organization.

CONTENTS AND CONDUCTION OF INDUCTION PROGRAMS. Every organization has an obligation to make the entry new employee in to the organization as smooth and as comfortable as possible. Induction programs should take place at the earliest after the employee joins the organization. Some organization conduct informal orientation programs where the immediate supervisor makes the introductions and provides the necessary information. The contents are usually from the following areas: (1) Information about the organization- Its products/services, mission and core values. Learning arrangements and opportunities- How they work and the part people say. Health and safety- Occupational health, prevention of injuries and accident, protective clothing, basic safety rules.

(2)

(3)

(4)

Performance management processes- How they work and the part people pay. Conditions of service- Hours, holidays, leave, sick pay arrangements, maternity/ paternity leave. Pay and benefits- Arrangements for paying salary or wages, the pay structure, allowances, details of performance, competence or skill-based pay schemes, details of profits sharing, gain-sharing or share ownership arrangement pension and life or medical insurance schemes.

(5)

(6)

BIBLOGRAPHY Human Resource Management in Banking and Insurance by VINAY V. PRABHU. BHARAT M. PITHADIA. VIPULs PRAKASHAN.