HRP is the process by which a

management
determines
how
an
organisation should move from its
current manpower position to its
desired manpower position. Through
planning , management strives to have
the right number and the right kinds of
people at the right places , at the right
time, to do things which result in both
the organisation and the individual
receiving the maximum long range
benefit.
Manoj Mathew,RSOM

Human Resource Planning

DEMAND
forecasting
analysis
qualitative
quantitative

Planning
objectives?
The right people, the
right place, at the right
time, the right cost and
the right frame of mind.
Jobs, contracts, skills,
organisational
membership
Service & Innovation
Business &
population trends
Manoj Mathew,RSOM

SUPPLY
Internal
& external
labour
supply

The HRP process:

1. Environmental scanning
2. Labour demand forecast
3. Labour supply forecast
4. Gap Analysis
5. Action Programming
6. Control and Evaluation

Manoj Mathew,RSOM

Objectives of HRP
Prevent overstaffing and
understaffing
Too many less efficient; excessive
payroll cost, surplus production that
cant be sold
Too few lost sales revenue unable to
satisfy the existing demand of
customers

Ensure the organization has the right

employees with the right skills in the
right places at the right times
Manoj Mathew,RSOM

 Ensure the organization is responsive to

changes in its environment

Consider a variety of scenarios in the external

environment economy growth, industry position,
technology, government regulations

Provide direction and coherence to all HR

activities and systems

Systemic view of HRM understanding the

interrelatedness of HR programs and systems

Unite the perspective of line and staff managers

Cooperation of all managers
Unit/department need assessment by individual
manager

Manoj Mathew,RSOM

 Provide information about the

manner in which existing personnel
are employed, the kind of skills
required for different categories of
jobs and manpower needs over a
period of time in relation to its
objectives.
Use existing manpower productively
Promote employees in a systematic
manner
Manoj Mathew,RSOM

The Hiring Process

Recruitment

Selection

Socialization
Manoj Mathew, RSOM

OVERVIEW OF HIRING PROCESS

Determining
requirements

Evaluating &
Selecting

Getting
Resumes

Interviewing

Manoj Mathew, RSOM

Short listing
candidates

Filtering
candidates

Recruitment
Recruitment is the process of generating
a pool of qualified candidates for a
particular job. The firm must announce
the jobs availability to the market and
attract qualified candidates to apply. The
firm may seek applicants from inside the
organization, outside the organization, or
both.
Manoj Mathew, RSOM

Labor Market Components: Key

Terms
Labor Markets
The external supply pool from which organizations attract
their employees

Labor Force Population

All individuals who are available for selection if all possible
recruitment strategies are used.

Applicant Population
A subset of the labor force that is available for selection
using a particular recruiting approach.

Applicant Pool
All persons who are actually evaluated for selection

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Labor Market Components

Manoj Mathew, RSOM

11

Organizational Recruiting
Activities
Recruiting
Recruiting
Image
Image
Recruiting
Recruiting
Presence
Presence

Effective
Effective
Recruiting
Recruiting

Training
Trainingof
of
Recruiters
Recruiters

Manoj Mathew, RSOM

12

Strategic Recruiting
Decisions
OrganizationalOrganizationalBased
Basedvs.
vs.
Outsourcing
Outsourcing

Recruiting
Recruiting
Source
SourceChoices:
Choices:
Internal
Internalvs.
vs.
External
External

Strategic
Strategic
Recruiting
Recruiting

Regular
Regularvs.
vs.
Flexible
FlexibleStaffing
Staffing

Recruiting
Recruitingand
and
EEO/Diversity
EEO/Diversity
Considerations
Considerations
Manoj Mathew, RSOM

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Advantages and Disadvantages of

Internal and External Recruiting Sources

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Internal Recruiting Methods

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15

Internet Recruiting Methods

Job
JobBoards
Boards
Internet
Internet
Recruiting
Recruiting
Methods
Methods

Professional/
Professional/
Career
CareerWeb
WebSites
Sites
Employer
EmployerWeb
WebSites
Sites

Manoj Mathew, RSOM

16

Internet Recruiting
Advantages

Disadvantages

Recruiting cost
savings
Recruiting time
savings
Expanded pool of
applicants
Morale building for
current employees

More unqualified
applicants
Additional work for
HR staff members
Many applicants are
not seriously seeking
employment
Access limited or
unavailable to some
applicants

Manoj Mathew, RSOM

17

External Recruiting
College and
University
Recruiting

Media Sources
and Job Fairs

High Schools and

Technical Schools

External
Recruiting
Sources

Competitive
Sources

Labor
Unions

Employment Agencies
and Search Firms

Manoj Mathew, RSOM

18

Evaluating Recruiting
Evaluating
EvaluatingRecruiting
RecruitingEfforts
Efforts

Evaluating
Evaluating
Recruiting
Recruiting
Costs
Costsand
and
Benefits
Benefits

Evaluating
Evaluating
Time
Time
Required
Requiredto
to
Fill
FillOpenings
Openings

Manoj Mathew, RSOM

Evaluating
Evaluating
Recruiting
Recruiting
Quality
Qualityand
and
Quantity
Quantity

19

Employer Brand
The image of your organization as a
great place to work in the minds of
current
employees
and
key
stakeholders in the external market
(active
and
passive
candidates,
clients, customers and other key
stakeholders).
An employer of choice.
20

Recruiting Evaluation
General Areas for Evaluating Recruiting
Quantity of applicants
EEO goals met
Quality of applicants

Yield ratios
A comparison of the number of applicants at one
stage of the recruiting process to the number at the
next stage.

Selection rate
The percentage hired from a given group of
candidates

Manoj Mathew, RSOM

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Recruiting Evaluation
Pyramid

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22

COST OF BAD RECRUITMENT

De-motivation cost
Direct recruitment costs
Advt
Travel & stay
Time cost of people
concerend
Induction cost
Administrative cost
Relocation cost
Stabilisation cost
Learning time
Mentoring and team
time

Unproductive time
Other people
leaving
Loss of team spirit
Client related
Internal/External
client loss
Future business
loss
Leaving costs
Other people
leaving
Handover costs

Manoj Mathew, RSOM

23

CAUSE OF BAD RECRUITMENT

Poor analysis of job function
Poor analysis of necessary personality skill
profile
Inadequate initial screening
Inadequate initial interviewing techniques
Inadequate questioning techniques
Poor utilisation of second opinions
References were not checked
Biased evaluation

Manoj Mathew, RSOM

24

Selection
Selection is the process of making a
hire or no hire decision regarding
each applicant for a job. The process
typically involves determining the
characteristics required for effective job
performance and then measuring
applicants on those characteristics. The
characteristics required for effective job
performance are typically based on a job
analysis.
Manoj Mathew, RSOM

25

Selection
Selection
The process of choosing individuals who
have needed qualities to fill jobs in an
organization.
Organizations need qualified employees
to succeed
Good training will not make up for bad
selection.
Hire hard, manage easy.

Manoj Mathew, RSOM

26

HRs Role in Selection

Reasons for centralizing selection
Easier to have applicants in one place.
Contact with outside applicants is easier.
Managers can concentrate on operating
responsibilities rather than the selection
process.
Selection costs are lower with no
duplicated efforts.
EEO compliance is more assured.
Manoj Mathew, RSOM

27

Typical Division of HR
Responsibilities: Selection

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Selection
Process
Flow Chart

Manoj Mathew, RSOM

29

HR Employment Functions
Receiving applications
Interviewing applicants
Administering tests to
applicants
Conducting background
investigations
Arranging physical
examinations
Placing and assigning new
employees
Coordinating follow-up of
new employees

Exit interviewing
departing employees
Maintaining employee
records and reports.

Manoj Mathew, RSOM

30

Selection and Testing:

Ability Tests
Cognitive Ability Tests
Measure an individuals thinking, memory,
reasoning, and verbal and mathematical
abilities.

Physical Ability Tests

Measure strength, endurance, and muscular
movement

Psychomotor Tests
Measure dexterity, hand-eye coordination, armhand steadiness, and other factors.
Manoj Mathew, RSOM

31

Selection and Testing:

Ability Tests
Work Sample Tests
Require an applicant to perform a simulated
task.

Assessment Centers
A series of evaluation exercises and tests used
for the selection and development of managerial
personnel.
Multiple raters assess participants in multiple
exercises and problems that are job contentrelated to the jobs for which the individuals are
being screened.
Manoj Mathew, RSOM

32

Other Tests
Personality Tests
Minnesota Multiphasic Personality Inventory
(MMPI)
Myers-Briggs

Honest and Integrity Testing

Overt integrity tests
Personality-oriented integrity tests
Polygraphs (lie detector)
Polygraph testing in pre-employment is prohibited (in
most instances) by the Employee Polygraph Protection
Act.

Manoj Mathew, RSOM

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Big Five
Personality
Characteristics

Manoj Mathew, RSOM

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HR Employment Functions
Receiving applications
Interviewing applicants
Administering tests to
applicants
Conducting background
investigations
Arranging physical
examinations
Placing and assigning new
employees
Coordinating follow-up of
new employees

Exit interviewing
departing employees
Maintaining employee
records and reports.

Manoj Mathew, RSOM

35

Person-Organization Fit

Manoj Mathew, RSOM

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Socialization
Socialization involves orienting new
employees in the organization and to the
units in which they will be working. It is
important that new employees become
familiar with the companys policies,
procedures,
and
performance
expectations. Socialization can make the
difference between a new workers
feeling like an outsider and feeling like a
member of the team.
Manoj Mathew, RSOM

The Insider-Outsider
Passage
Socialization
A process of adaptation to a new
work role.
Adjustments must be made
whenever individuals change jobs
The most profound adjustment
occurs when an individual first
enters an organization.

Manoj Mathew, RSOM

38

The Insider-Outsider
Passage
The assumptions of employee
socialization:
Socialization strongly influences
employee performance and
organizational stability
Provides information on how to do the
job and ensuring organizational fit.
New members suffer from anxiety,
which motivates them to learn the
values and norms of the organization.
Manoj Mathew, RSOM

39

The Insider-Outsider
Passage
The assumptions of employee
socialization:
Socialization is influenced by
subtle and less subtle statements
and behaviors exhibited by
colleagues, management,
employees, clients and others.
Individuals adjust to new
situations in remarkably similar
ways.
All new employees go through a
Manoj Mathew, RSOM
settling-in period.

40

The Insider-Outsider
Passage
The Socialization Process
Prearrival stage:
Individuals arrive with a set
of values, attitudes and
expectations which they
have developed from
previous experience and
the selection process.

Manoj Mathew, RSOM

41

The Insider-Outsider
Passage
The Socialization Process
Encounter stage: Individuals
discover how well their
expectations match realities within
the organization.
Where differences exist,
socialization occurs to imbue the
employee with the organizations
standards.

Manoj Mathew, RSOM

42

The Insider-Outsider
Passage
The Socialization Process
Metamorphosis stage: Individuals
have adapted to the organization, feel
accepted and know what is expected of
them.

Manoj Mathew, RSOM

43

The Insider-Outsider
Passage
A Socialization Process

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44

The Purpose of New-Employee

Orientation
Orientation may be done by the supervisor,
the HRM staff or some combination.
Formal or informal, depending on the size of
the organization.
Covers such things as:

The organizations objectives

History
Philosophy
Procedures
Rules
HRM policies and benefits
Fellow employees
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45

The Purpose of New-Employee

Orientation
Learning the Organizations Culture
Culture includes long-standing, often
unwritten rules about what is
appropriate behavior.
Socialized employees know how things
are done, what matters, and which
behaviors and perspectives are
acceptable.

Manoj Mathew, RSOM

46

The Purpose of New-Employee

Orientation
HRMs Role in Orientation
Coordinating Role: HRM instructs
new employees when and where to
report; provides information about
benefits choices.
Participant Role: HRM offers its
assistance for future employee
needs (career guidance, training,
etc.).
Manoj Mathew, RSOM

47

Placement
Placement
Fitting a person to the right job.

Person-job fit
Matching the knowledge, skills and abilities
(KSAs) of people to the characteristics of jobs
(tasks, duties and responsibilities).
Benefits of person-job fit
Higher employee performance
Lower turnover and absenteeism

KSAs = TDRs = Job

Success?
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48