Human Resource Management

Mohd Wassem

Assistant Professor(HR & OB)

mohd.wassem@iilmgsm.ac.in
 Management
The Evolution of Management Theory

Organizational Environment Theory

Management Science Theory

Behavioral Management Theory

Administrative Management Theory

Scientific Management Theory

1890 1900 1910 1920 1930 1940 1950 1960 1980 1990 2000
 Scientific Management Theory
• Job Specialization and division of labor
– job specialization:- The process by which division of labor occurs as different
workers specialize in different tasks over time
– Scientific management:- The systematic study of relationships between people
and tasks for the purpose of redesigning the work process to increase efficiency.
• Principle 1: Study the way workers perform their tasks, gather all the informal job knowledge that
workers possess, and experiment with ways of improving the way tasks are performed.
• Principle 2: Codify the new methods of performing tasks into written rules and standard operating
procedures.

• Principle 3: Carefully select workers so that they possess skills and abilities that match the
needs of the task, and train them to perform the task according to the established rules and
procedures.
• Principle 4: Establish a fair or acceptable level of performance for a task, and then develop a
pay system that provides a reward for performance above the acceptable level.
 Administrative Management Theory
• Administrative Management
– How to create an organizational structure that leads to high efficiency and effectiveness.

– Bureaucracy:- A formal system of organization and administration designed to ensure efficiency and
effectiveness.

– Authority:- The power to hold people accountable for their actions and to make decisions concerning the use
of organizational resources.

– Principle 1: In a bureaucracy, a manager’s formal authority derives from the position he or she holds in the
organization.

– Principle 2: In a bureaucracy, people should occupy positions because of their performance, not because of their
social standing or personal contacts.

– Principle 3: The extent of each position’s formal authority and task responsibilities, and its relationship to other
positions in an organization, should be clearly specified.

– Principle 4: So that authority can be exercised effectively in an organization, positions should be arranged
hierarchically, so employees know whom to report to and who reports to them.

– Principle 5: Managers must create a well-defined system of rules, standard operating procedures, and norms so
that they can effectively control behaviour within an organization.
 Behavioral Management Theory
• The Hawthorne Studies and Human Relations
– Human relations movement Advocates of the idea that supervisors be
behaviorally trained to manage subordinates in ways that elicit their
cooperation and increase their productivity.
– Organizational Behavior: The study of the factors that have an impact on how
individuals and groups respond to and act in organizations.
– Theory X:- Negative assumptions about workers that lead to the conclusion
that a manager’s task is to supervise them closely and control their behavior.
– Theory Y:-Positive assumptions about workers that lead to the conclusion that
a manager’s task is to create a work setting that encourages commitment to
organizational goals and provides opportunities for workers to be imaginative
and to exercise initiative and self-direction.
 Management Science Theory
• Management Science Theory
– Management Science Theory:- An approach to management that uses rigorous
quantitative techniques to help managers make maximum use of organizational
resources.
– Quantitative management utilizes mathematical techniques—such as linear and
nonlinear programming modeling, simulation etc
– Operations management (or operations research) provides managers with a set of
techniques that they can use to analyze any aspect of an organization’s production
system to increase efficiency.
– Total quality management (TQM) focuses on analyzing an organization’s input,
conversion, and output activities to increase product quality
– Management information systems (MIS) help managers design information systems that
provide information about events occurring inside the organization as well as in its
external environment—information that is vital for effective decision making.
Organizational Environment Theory
• Organizational environment: The set of forces and conditions that operate beyond
an organization’s boundaries but affect a manager’s ability to acquire and utilize
resources.
• Open system: A system that takes in resources from its external environment and
converts them into goods and services that are then sent back to that environment
for purchase by customers.

• Closed System:- A system that

is self-contained and thus not
affected by changes that occur
in its external environment
 Human Resource Management(HRM)
The policies and practices
involved in carrying out the
“people” or human resource
aspects of a management
position, including recruiting,
screening, screening,
training, training, rewarding
and appraising
 Importance of HRM
• Complexities & Change
– Complicated laws
– Complex jobs
• Skills, boundaries, project teams
– Global work sites
– HR specialists
• Psychology, sociology, law, organization and job design
• Strategy and Presentation
– Competitive advantage
– Proactive
– Culture
– Performance systems
– Recruiting
– Training
– Retention
 HRM: Job Analysis
• Job analysis
– The procedure for determining the duties and skill requirements of a job
and the kind of person who should be hired for it.
• Job description
– A list of a job’s duties, responsibilities, reporting relationships, working
conditions, and supervisory responsibilities—one product of a job analysis.
• Job specifications
– A list of a job’s “human requirements,” that is, the requisite education,
skills, personality, and so on—another product of a job analysis.
 Job Analysis steps
• Step 1
– Decide how you’ll use the information.
• Step 2
– Review relevant background information.
– Organization chart
• A chart that shows the organization wide distribution of work, with titles of each position and
interconnecting lines that show who reports to and communicates to whom.
– Process chart
• A work flow chart that shows the flow of inputs to and outputs from a particular job

• Step 3
– Select representative positions.
• Step 4
– Actually analyze the job.
• Step 5
– Verify the job analysis information.
• Step 6:
– Develop a job description and job specification.
 Job Description
• A job description
– A written statement of what the worker actually does,
how he or she does it, and what the job’s working
conditions are.
• Sections of a typical job description
– Job identification
– Job summary
– Responsibilities and duties
– Authority of incumbent
– Standards of performance
– Working conditions
– Job specifications
 Methods: Interview
• Interview formats
– Structured (Checklist)
– Unstructured
• Information sources
– Individual employees
– Groups of employees
– Supervisors with knowledge of the job
• Advantages
– Quick, direct way to find overlooked information.
• Disadvantages
– Distorted information
 Methods: Questionnaire
• Information source
– Have employees fill out questionnaires to describe their job-
related duties and responsibilities.
• Questionnaire formats
– Structured checklists
– Opened-ended questions
• Advantages
– Quick and efficient way to gather information from large numbers
of employees
• Disadvantages
– Expense and time consumed in preparing and testing the
questionnaire
 Methods: Questionnaire
• Information source
– Observing and noting the physical activities of employees as they go
about their jobs.
• Advantages
– Provides first-hand information
– Reduces distortion of information
• Disadvantages
– Time consuming
– Difficulty in capturing entire job cycle
– Of little use if job involves a high level of mental activity
HRM: Staffing
 HRM: Staffing

Employment or personnel planning

–The process of deciding what

positions the firm will have to fill,

and how to fill them.

What to forecast?

Overall personnel needs

The supply of inside candidates

The supply of outside candidates

 HRM: Forecasting

• Trend Analysis
• Ratio Analysis
• Scatter plot
• Computer Forecast
• Managerial Judgement