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Q.1)What is HRP?Main objectives of HRP?

A)Human resource planning is used to describe "right person doing the job".It includes
planning of staff retention ,planning for candidate search,training and skill analysis.It is
the process of acquiring and utilizing human resources in an organisation.The main
objective is to have the right number of employees in an organisation.

Main objectives:

·0 To determine no of employees to be employed:If an organisation has more


employees that actually required then the workforce will consist of underutilized
staff.In contrast if there are few employees the staff may be over strecthed
making it hard to meet prouction or service level and quality level.

·1 To retail highly skilled staff:In this competetive world it is very important for the
organisation to retain skilled staff.Thus organisations should do the
following:a)Monitor the extent of resignations.b)Discover the reasons for
it.c)Establish what is costing the organisation.d)Compare loss rates with other
organisations.

·2 To manage an effective downsizing programme:This is a very common issue for


managers but yet most difficult one.A downsizing reduces the workforce for
improving profitibilaty or reducing costs.This is difficult for every manager due to
conflicting nature of business neccesities and employee anxities.Such an analysis
can be presented to senior manager so that the cost and benefit of various
method of reductions can be assessed and the time required to meet the targets
established.Before going to downsizing the impact it can have both inside and
outside the organisation should be taken into consideration.It has both positive
and negative effects on firms performance.

·3 To find out the procedure for recruiting managers:Many senior managers are
troubled by this issue.They have seen traditional career path disappear.They have
had to bring the senior staff from elsewhere.But they recognise that while this
may have helped them deal with a short term skilled shortage it has not solved
the longbterm questions of managerial supply.To address this question you need
to understand:a)the present career development system.b)The organisation
future supply of talent.c)The charecteristics of those who are currently occupying
senior position.

Q.2)Methods involved in HR Audit process?


Common hr areas that you should audit include:
Compensation system, performance appraisal system,policies and procedures,and
health and safety practices. HR audit is a process defined by different phases: a)
Processing HR audit project at the request of an organization (defining the problem area,
goal setting, defining the key indicators, selecting methods, timetable, financial
costingness, staffing, etc.); b) Examining documents and information gathering; c)
Analyzing, measuring, evaluating and interpretation gathered information (exploration);
d) Processing intervention measures into problematic areasdevelopment program
(change in the human resource management strategy, systems, processes, methods,
programs, etc.).Processing outputs HR audit report and other required outputs; f)
Implementing measures and evaluating their introduction. HR audit examines the quality
and availability of the personnel and management at all levels of administration, human
resource department, efficiency of personnel policies and processes, evolution and
development of an organization; and evaluates findings in relation to thestrategy and
goals of an organization. HR audit should demonstrate the share, influence, connection
and other relations between activities of human resource management and functioning
respectively success of the organization. Consequently, the human resource
management should be strategically oriented while the need to link human resource
activities with the organizational strategy is desirable. The HR audit results should be
expressed not only by qualitative indicators, but also quantitative, relating to economic
parameter.
Compensation Policy
Auditing compensation, benefits and pay practices requires use of employee census
records and, in some cases, employee personnel files to determine that employee
qualifications and
credentials match the company’s staffing
models. Audits concerning pay practices also require salary data, which can be obtained
from numerous sources, such as the U.S. Bureau of Labor Statistics and compensation
studies produced by research institutes and professional associations, such as the
Society for Human Resource Management. In a compensation audit, human resources
staff study occupational groups and individual positions to ensure employees are
compensated for comparable work according to tenure, performance and qualifications.
Management Performance
Supervisor and manager performance audits can be rather subjective; however, they can
be done relying on quantitative measurements such as reviewing employee files to
determine the number of times managers provide employee feedback. Organizations
that require regular, ongoing feedback from managers often codify their requirements in
leadership training manuals or within performance standards for managers. Human
resource staff can then review employee files to determine if managers are providing
employees with the level of continuous feedback necessary to maintain performance
levels. For example, if managers are required to document employee feedback at least
each quarter, employee files should reflect the frequency of manager-employee
interaction. Auditing employee files determines whether managers are fulfilling their
responsibilities to the company and to their employees.
Legal Fees
The human resources process for auditing compliance with federal and state
employment laws includes reviewing employee relations files. When conducting an audit
for compliance with equal employment opportunity policies, human resource staff
examine the types of complaints employees file. They look at complaints related to
allegations of discrimination, harassment and unfair employment practices and compare
the number of filed complaints to those that escalate to formal matters, such as
litigation or arbitration. Employee relations staff responsible for investigating workplace
issues are usually knowledgeable of the most effective ways to audit employee relations
matters as well as the best methods for measuring the integrity of an employee relations
program. Overall reduction in legal fees is considered a valid measurement. For instance,
seasoned employee relations specialists who manage the investigation and resolution of
employee issues in house expend less money by not involving legal counsel for every
complaint. Auditing the amount spent in legal fees requires access to employee relations
files and human resources budget information for expenditures related to settling
employment disputes.
Employment Eligibility
Employment eligibility audits are common human resources audits whether they are
performed in house or by the U.S. Immigration and Customs Enforcement, the federal
bureau responsible for obtaining data related to enforcing employment eligibility
regulations. Documentation necessary for establishing eligibility to work in the United
States includes citizenship information and eligibility records. Personnel files contain
copies of federally mandated I-9 forms and copies of supporting documentation. An
audit requires access to employment files as well as electronic submissions, since I-9
verification can be electronically processed.
Q.3)Areas of HR Audit?
The HR audit process can cover a whole range of areas and can be as specific or broad
depending on the company. Requirements will vary, depending on the size of your
business and size of HR department as well. An HR audit will look at issues, such as: the
company’s recruitment process ,benefits and compensation processes,contracts and
employee handbooks ,how employee performances are evaluated,training and
education programmes,HR strategy,hiring and firing practices,exit procedures
A human resources audit is a tool that is used to collect and evaluate information about
the state of an organisation’s HR practices and policies to determine the overall
effectiveness of people management practices in the organisation. The HR audit
demonstrates to what extent the HR function contributes to the organisational
effectiveness as a whole, as well as productivity and morale. It also helps by providing
feedback on the value of the contribution of the HR function to the organisation’s
strategic business objectives and in assessing the quality of HR practices. More
importantly the audit can be used in setting guidelines for establishing HR performance
standards and identifying areas for change and improvement. Companies need to
periodically audit their human resources practices to check if they are still adding value
to the business. The audit can be performance related or a compliance one depending
on your business requirements. A human resources audit can be an effective first step
towards building better human resources practices for your organisation. A number of
business organisations, large and small, will benefit immensely from a comprehensive
audit of their human resources practices. The audit helps to eliminate many simple but
common errors that employers, especially new businesses, often make. It also serves to
educate HR professionals on the latest trends and best practices used by their peers. The
HR audit can give those responsible for employee relations some reassurance that legal
risks have been managed and minimised, thus freeing them to focus on more creative
aspects of their jobs that can add value to the employer’s bottom line. There are also
other benefits in undertaking an HR audit. Its results can be presented to investors for
their review

Comparative approach:
In this approach, another division or company that has better practices or results is
chosen as the model. The audit team audits and compares the audited firms results with
the best practices of the model organization. This approach is commonly used to
compare theresults of specific activities or programs. The approach is often used with
turnover, absence, salary data and staffing levels. It helps detect areas where
improvement is needed. It also makes sense to compare where aprocedure is being used
for the first time.
Outside authority:
In this approach, standards set by a consultant or taken from published research findings
serve as the benchmark for the audit team. The consultant or research findings may help
diagnose the cause of problems.
Statistical:
This approach relies on performance measures drawn from the companys existing
information system. From existing records, the audit team generates statistical standards
against which activities and programs are evaluated. With the mathematical standards
as a base, the team may uncover errors while they are still minor. Often this approach is
supplemented with comparative data from external sources such as other firms, or
industry association surveys. The information is usually expressed in ratios or formulas
that are easy to compute and use.
Compliance approach:
This approach reviews past practices, to determine if actions taken followed legal
requirements and company policies and procedures. The audit team here often
examines a sample of employment, compensation, discipline and employee appraisal
forms. The purpose of the review is to ensure that the field offices and the operating
managers have complied with internal rules and legal regulations, such as minimum
wages and equal employment opportunity laws. By sampling elements of the human
resources information system, the audit team looks for deviations from laws and
company policies and procedures. The team can then determine the degree of
compliance achieved.
Management by Objectives (MBO):
In this management by objectivesapproach, managers and specialists set objectives in
their area of responsibility. Then they create specific goals against which this
performance can be measured. The audit team researches actual performance and
compares it with the previously set objectives. They can then evaluate the trends in this
area.
Q.4)What do you mean by HR scorecard?
A)The HR Scorecard argues that HR measurement systems must be based on a clear
understanding of organizational strategy and the capabilities and behaviors of the
workforce required to implement that strategy.Thus, an HR Scorecard is a mechanism for
describing and measuring how people and people managementsystems create value in
organizations, as well as communicating key organizational objectives to the
workforce.The goal of an HR scorecard is to help businesses determine the value of their
human resources departments.The challenge often is daunting because unlike most
departments or divisions within a company, measurementtools traditionally.
The HR scorecard framework was specifically designed for the following reasons:
It reinforces the distinction between HR do-ables and deliverables:
A good audit system must clearlydifferentiate between the deliverables that influence
strategy implementation and do-ables that do not. Policyimplementation is not a
deliverable until it has a positive effect on the HR architecture and creates the
rightemployee behaviours that drive strategy implementation. An appropriate HR
measurement system willencourage HR professionals to think both strategically as well
as operationally.
lt helps in controlling cost control and value creation:
lt is the responsibility of HR to minimise the cost of the firm but at the same time, HR
has to fulfill its strategic goal, which is to create value. The HR scorecardhelps HR
professionals balance the two and find the optimal solution. It allows HR professionals to
drive outcosts where appropriate, but at the same time it helps to create value for the
firm by retaining good humanresources.
It measures leading indicators:
There are drivers and outcomes in the HR value chain along with leading andlagging
indicators in the overall balanced performance measurement system. It is thus
important to monitor thealignment of the HR decisions and systems that drive the HR
deliverables. Assessing this alignment provides feedback on HR‟s progress towards these
deliverables and lays the foundation for effective HR strategies.
lt assesses HR’s contribution to strategy implementation:
The cumulative effect of the HR scorecard‟s deliverable measures provides the answer
to the question regarding HR‟s contribution to a firm‟s performance.All measures have
a credible and strategic rationale. Managers can use these measures as solutions to
business problems. It lets HR managers to manage their strategic responsibilities: The
scorecard motivates the HR managers to focus on exactly how their decisions shape the
successful implementation of the firm‟s strategy.
This is due to the systemic nature of the scorecard that covers all the aspects. Therefore
it provides a clear framework. lt encourages flexibility and change: ln this era of an ever-
changing business environment,standardised patterns do not work well. The changes are
required even in the HR policies with the change in business environment. The basic
nature of the scorecard with its causal emphasis and feedback loops helps tightagainst
measurement systems getting too standardised. Every decision needs to be taken based
on past andfuture scenarios. One of the common problems of measurement systems is
that managers tend to get skilled toobtain the right numbers once they get used to a
particular measurement system. The HR scorecard provides the flexibility and change
because it focuses on the firms strategy implementation, which constantly demands
change.

Q.5)Effectiveness of Human Resource Development?


A)In any firm, along with the optimal utilisation of other resources, human resources
should also be exploited to its maximum potential. Businesses which utilise their human
resources in an effective way have better chances of success in the future. Sustainability
and progress of business will depend on new competencies, methods, strategies and
value creating processes. Every organisation has accepted that human resource is the
most valuable asset of an organisation though its value is not mentioned in the balance
sheet. Lack of information regarding human capital was seen as a serious handicap for
decision making both for managers and investors.
a)Since humans cant be owned by others,its wrong to use the term asset without legal
ownership.Again it cant be even said that the services of the meployee are owned by an
employer during his employment in enterprise.
b)While it may be possible to conceive the resource of the employee cannot be
conceived or predicted.
c)To be valued as an asset and item should be capable of being valued with a reasonable
degree of objectivity.
d)The term asset impliessome realisable value once out of use.Human resources have no
realisable value rather they actually involve expenditure in terms of payment of
retrechment compensation,gratuity and other terminal benefits at the time of
retirement,while the employer does nit receive anything on the termination of services.
e)Calling HR as an asset is against human dignity as human beings are much more than
resources.A study was concluded to find out effectiveness of hr audit:
·4 Where HRD HR is committed to HR,the efferctiveness was likely in those
organisations.
·5 Organisations with positive management style were utilising HRD audit as a tool
for change and advancement in HRD.
·6 There is a direct relation in regards to managemnt styles and HRD effectiveness.

Q.6)What do you mean by employee orientation program?


A)Employee orientation programmes are given to new employees at a place of business
or work. lt helps emloyees to speedupnd learn the “ground rules” of the company. This
often reduces start -up time, training,and other indirect costs associated with having
new employees who are unfamiliar with the company culture.Orientation programmes
are aimed at reducing the “new employee stress” factor. The employee orientation
programme offers the business its best chance in shaping an employee‟s skills / work
practices and imbibing its corporate philosophy onto the mind of the new employee,
because a new hire comeswith an open mind to learnand create a good impression. The
programmes can last from several hours to several days. The process of new employee
orientation strengthens the new employee‟s relationship with the organisation. lt fuels
their enthusiasm and guides their steps into a long term positive relationship with the
organisation. Effectiveorientation programmes - where new employees are introduced
to the company's mission, vision and goals begin to feel they are a vital part of the team
- are key to sparking early productivity and improving employeeretention. "ln today's
labour market, new employees know they can quit and start somewhere else
tomorrow,"says Mel Kleiman, author of Hire Tough, Manage Easy - How to Find and Hire
the Best Hourly Employees.Done poorly, the new employee orientation will leave the
new employees wondering why on earth they walkedthrough your door. "Orientation
should be geared toward reinforcing new employees' 'buying decisions‟. The focus must
be on convincing them that they made the right choice when they signed on."Good
employee orientation programmes;
·7 Make a good first impression.
·8 Make new employees feel welcome and valued as key players on the team.
·9 Explain the mission/ purpose of the company and the job so that employees can
see the big picture.
·10 Assure them they will be carefully and patiently trained - not thrown in to
·11 "sink or swim”.
·12 Familiarise employees with rules, policies and procedures.
·13 Help employees adapt to their new surroundings, as well as learn who all the
players are and how theywork together.
·14 Establish friendly relationships among co-workers and managers.
·15 Ensure new employees have all the information and tools they need to do their
jobs.
·16 Motivate employees to succeed as an integral part of the team.
·17 Develop the long-term commitment you want from every member of your
workforce.
·18 Tell them what's in it for them in sum reinforce their "buying decision”.

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