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    HRM 370.02 Recollection of theAssignment 1

    Human Resource Management

    Human Resource Management is the administrative discipline of hiring and

    developing employees so that they become more valuable to the organization.

    Human Resource management includes (1) conducting job analyses, (2)

    planning personnel needs, and recruitment, (3) selecting the right people for the

    job, (4) orienting and training, (5) determining and managing wages and salaries,

    (6) providing benefits and incentives, (7) appraising performance, (8) resolving

    disputes, (9) communicating with all employees at all levels. Formerly called

    personnel management.

    An introduction to the human resources function and related elements and

    activities. The course outlines the roles and functions of members of the human

    resources department, as well as educating others outside human resources, in

    how their roles include human resources-related activities. The student will learn

    about the evolution in human resources management as we know it today.

    Emphasis is placed on the modern day importance of HRM and the new

    corporate view of the function.

    Perception of both management and subordinate

    employees

    Additionally, the student will be exposed to the view of HRM from the perception

    of both management and subordinate employees. The importance of maintaining

    fair and equitable compensation and benefit programs will be discussed. The

    student will be exposed to practical situations and problem solving regarding

    areas of employee counseling, discipline and termination. Equal Employment

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    Opportunity will be discussed in order for the student to understand its need,

    importance and the legal issues surrounding it.

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    MGT 351: Summer 2010

    I did my MGT 351,Human Resource Management course in Summer 2010semester with a faculty member by the initial Mjb, Mujibul Haque at NSU. He hada very bad reputation as a very strict teacher with hard question papers.Everyone warned me it would be very hard to get a good grade in his course.

    Later I found out that he prepares mostly confusing multiple choice questions andlong conceptual narrative questions. That too, to be done in a really short time.So, that was the catch of the question patterns. If one did not know the subjectmatter properly it would be almost impossible to answer all of the questions. Thequestions would not be too hard but rather confusing, you would always thinkthere is more than one answer but there is not.

    The best thing that I learned from this course is that HRM is an approach tomanaging people and the workplace culture and environment. Effective HRMenables employees to contribute effectively and productively to the overallcompany direction and the accomplishment of the organization's goals andobjectives.HRM is moving away from traditional personnel, administration, andtransactional roles, which are increasingly outsourced.

    Human Resource Management (HRM) is the function within an organizationthat focuses on recruitment of, management of, and providing direction for thepeople who work in the organization. HRM can also be performed by linemanagers.

    HRM is the organizational function that deals with issues related to people suchas compensation, hiring, performance management, organization development,

    safety, wellness, benefits, employee motivation, communication, administration,and training.

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    Summary of Chapters:

    Introduction to human resource management

    Chapter 1 presents an overview of human resource management. The topicdiscusses the importance of managing human resources in an organization, rolesof human resource department, human resource management functions, and thecurrent issues and challenges. The topic also presents the compulsory legalframework that affects human resource management

    practices in Malaysia such as, the Employment Act 1955, the Industrial RelationsAct 1967, and the Trade Unions Act 1959.

    In the event of uncertain economic situation, in addition to the shift from industrialcommunity to informative community, the importance of human resource capitalin an organization is becoming more distinct. Therefore, organizations need toupdate their human resource management strategy to ensure the effectivenessof their business. An effective human resource management is able to merge itsdiverse and different human resource to achieve the general target of theorganization, at the same time tackle the challenges and issues of human

    resource management efficiently and effectively.

    Overall, it is clear that the legal system does influence industrial relations formedbetween employers and employees. Industrial Relations Acts that have beendiscussed in this chapter should be able to give you a comprehensive picture onthe importance of having a systematic and organized human resourcemanagement system. This can ensure a harmonious working relationshipbetween employees and employers. In addition, this can help an organizationreach competitive advantage in the local as well as the global market.

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    HR Planning and Recruitment

    Chapter 2 discusses the human resource planning process and activitiesinvolved in the recruitment. The topic explains how an organization tracks themovement of its employees into, within and outside of the organization. The topicalso explains how an organization selects qualified candidates to join theorganization.

    In planning an organizations future, the top management and strategic plannermust realize that strategic planning decisions will effect human resource

    planning, and vice versa. Human resource planning can be reactive andproactive towards organizations human resource needs. Human resourceplanning is a systematic process involving forecasting process of humanresource needs, implementation of human resource supply analysis, andbalancing between existing supplies to the actual needs of human resource. Inimplementing recruitment functions, the management finds that internalrecruitment gives a lot of advantages to the organization and also employees.

    Through internal recruitment, management is able to reimburse all expendituresinvested in employees during employee training and development. For theemployees, it is seen as an encouragement to further improve themselves in the

    company. However, internal recruitment can cause employee cloning. Externalrecruitment has to be carried out when there are no internal candidates eligible tofill a vacancy. Recruiting employee outside of the organization can help anorganization acquire new ideas. The recruitment sources used by anorganization usually depends on the types of jobs and the labor market. Theselection process is supposed to give reliable and valid information on anapplicant. Among the methods used to get information on an applicant is throughan interview.

    A job test is more objective than an interview and is able to give a wider behaviorsample. Each type of test has a specific purpose, such as the work knowledge

    and work sample tests which are designed to determine whether a personrequires training or not. A variety of methods can be used in the interviewprocess. An interview can be performed structurally or non-structurally, as well asthrough one on one basis or with a panel.Finally, in the process of deciding whether a candidate will be offered a post,factors that are taken into account are what the candidate can do, and what he orshe will be able to do.

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    Evaluating Performance and Developing Employees

    Chapter 3 explains the functions of performance appraisal and human resourcedevelopment. In particular, the topic explains the essential steps in evaluatingemployee performance, the information sources accessible, the methodsavailable, and the common errors made by appraisers. Basic theories andprinciples of learning and training, the roles and the process of training anddevelopment are also explained in the topic. Finally, the career developmentactivities are introduced. The explanation focuses on the career development

    phases, the process of designing career development programmes, and therelationship between the choice of career and a persons personality which isbased on Hollands personality model.

    Performance evaluation is a critical activity in human resource management as itis important in increasing organizations competitiveness. In short, performanceevaluation is a process to evaluate work performance at a particular duration, inorder to determine that the level of achievement is based on the organizationsstrategic objectives. What is important here is that the developed performanceevaluation system is able to motivate employees to improve their performance

    thus increasing organizations productivity. By this, an effective performanceevaluation system is able to ensure that all parties, be it management oremployees, are able to be benefited from it. At the same time this will help tostrengthen the position of and ease human resource management. Furthermore,it helps to achieve objectives and organizational goals.

    Training and development is a function of human resource that should beimplemented so that an employee is equipped with the knowledge, skills andabilities required to help realize the objectives of the organization. Staffcompetition and ongoing changes demand an organization to react accordingly.

    Therefore, an organization needs employees who are capable, knowledgeable,and skillful and are able to give the organization a competitive edge.

    There are four phases in a training process that need to be addressed namely,the needs analysis, design, implementation and evaluation. Every step is closelyinter-related, and the outcome of each step will form the input for the next step.Therefore, all phases in a training process should be given special attention.

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    Career and jobs are two different concepts. Career can be referred to all the jobsheld by an individual throughout his working life. In an organization, the effortscarried out by the human resource manager to help an employee achieve his job

    objectives, is known as career development.

    In the process of designing a career development programme, three mainphases i.e the evaluation phase, the direction phase and the development phase,will be followed. The evaluation phase involves self-assessment activities andevaluation on the part of the organization. The direction phase involves definingthe kind of career desired by the employee, and the steps to be taken so that thecareer objectives will become a reality. The development process on the otherhand, involves activities for developing and improving the skills as preparation forgetting job opportunities in future. Lastly, John L. Holland, a career counseling

    expert, believes that the achievement of every individual depends on hispersonality and his job environment. Therefore, each of us has at least one ofthese six personalities: realistic, investigative, sociable, conventional,enterprising and artistic.

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    Compensation and Incentives

    Topic 4 describes the vital organizations tools to motivate and sustain theEmployees performance. The discussion focuses on the importance of providingcompensation, benefits and incentives to the employees, the types ofcompensation, benefits and incentives, the advantages of incentiveprogrammers, and the characteristics of an effective benefits and incentive plan.

    Compensation administration is a critical activity in managing human resourceand has to be more focused on giving consistent rewards to encourageemployee behavior consolidation. This will then increase employee performanceand employee loyalty so that they will remain in the company for a long time.Therefore, the compensation administration strategy has to be flexible to ensurea rapid response towards change and compensation administration trends in thelabor market. Basically, the purpose of compensation administration is to gainhigh returns from the investment made by the organization for its employees, inthe form of salary. The rewards offered have to ensure organization as well asemployees benefited from it. An effective compensation administration systemimpact is when employees practice a work culture that emphasizes on

    contribution compared to payment acceptance for being present in theworkplace.

    Incentive plan and benefits management nowadays are extremely challenging,complex and requires thorough planning to ensure the effectiveness of bothtypes of rewards. A human resource manager especially needs to ensure thatboth incentives and benefits are designed and implemented well in order toachieve both rewards original goals.

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    Workplace Well-Being

    Topic 5 discusses the important components of workplace well-being: (i) goodrelationships between employers and employees, and (ii) safe and healthy workenvironments. The discussion focuses on the employees and employers rights,and issues related to employees work discipline. Apart from that, the topicelaborates the issues of misconducts that occurred outside of the organizationand the techniques used to solve the issues. Disciplinary and trade unionsmatters, alternative conflict resolution procedures, and the procedure for

    termination of contract due to misconduct are also discussed in the topic. Thetopic ends with the discussion on occupational safety and health.

    It is the responsibility of all employees to know their rights in order for them toknow certain things that should not be done by the management andorganization that they are working with. In Malaysia, the employees rights arepresented in various codes such as the Employment Act 1955, OccupationalSafety and Health Act 1994 and etc. However, the employer does also have theright in electing workers, promoting and to discipline them, as well as has theright to terminate form their respective post. .

    Other than the rights of employees and managers, discipline is also anotherimportant issue in an organization. Unfortunately, it is not the most favoriteaspect that is being focused by the employers even though is crucial to motivateemployees to follow the existing performance pace. We have discussed theaspects of industrial relations and trade unions. Thus, we should haveunderstood what is industrial relationship and trade unions, why employeesshould join trade union and the roles.

    Finally, the safety and health problems in workplace are everybodys problems. Therefore, everyone has to be responsible to ensure that the workplace is safeand free from any illness. The various aspects of safety and health such as theOccupational Safety and Health Act 1994, recognizing a few safety and healthtowards danger and issues related to it have been discussed in this topic. It ishoped that the discussions can open up our mind regarding the importance ofworking in safe workplace without any risks to threaten our health.

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    JOB EVALUATION

    Job evaluation is the process of determining the appropriate Career Group andRole to which a position is assigned. The job evaluation process has four steps:

    1. Selecting the Occupational Family: The first step is to determine theappropriate Occupational Family by reviewing the vocational characteristics (thenature and type of work performed) outlined in the Employee Work Profile.

    2. Comparing and Selecting the Career Group: The second step is to comparethe Concept of Work capsule that describes the array of work performed in thevarious Career Group Descriptions to theEmployee Work Profile in order to determine the appropriate Career Group.

    3. Comparing and Selecting a Role within a Career Group: The third step isto evaluate and compare the Work Description (position objective; purpose ofposition; knowledge, skills, abilities and competencies; education, experience,

    certification and licensure; core responsibilities and special assignments) outlinedin the Employee Work Profile to the various Role Descriptions and the factormatrices to determine the appropriate Role.

    4. Comparing to other positions within a Role to ensure consistency:The final step is to confirm the assignment of the position to the Role by checkingto make sure that it is consistent with other positions assigned to the same Role.

    ALTERNATIVE JOB EVALUATION MODELS

    The Compensation Management System allows agencies to develop a variety ofother job and employee-based evaluation alternatives within the context of thebroader job structure (Career Groups and Roles) that may more effectively meettheir organizational needs and assist in providing criteria for movement within aRole and pay band. Examples of job evaluation alternatives may include skill orcompetency based systems or rank structures. All alternative evaluation methodsmust be reviewed and approved by DHRM prior to implementation (see

    Appendices F and G, Competency-Based and Skill-Based Systems).

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    PERFORMANCE MANAGEMENT

    The Commonwealths Performance Management Program is anIntegral part of the Compensation Management System. Therefore, thisComponent shares the same overall goals, which are as follows:

    To attract qualified employees.To retain qualified employees.To motivate employees by rewarding sustained performance.To support management in the realization of organization objectives.

    The Performance Management Program has been designed to encourage careerdevelopment to enhance the Commonwealths workforce and to financiallyreward employees performance. The Commonwealths annual performancecycle is October 25th to October 24th of the following year with the applicablepay out of performance increases effective November 25th.Employee performance will be a key determinant in how pay will be administerednot only in the Performance Management Program but also with theCommonwealths Pay Practices.The Commonwealths performancemanagement philosophy is to reward employees for their work contributions in a

    fair and equitable manner.The performance management philosophy was developed based on the followingunderlying principles:

    To identify individual and/or team objectives and measures linked to the

    agencys mission and strategic objectives.

    To promote employee and career development through creating an

    environment of learning and quality improvement through training,

    coaching, counseling and mentoring.

    To provide open and honest periodic evaluations of employees

    performance.

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    To administer financial rewards based on distinctions in performance with

    the highest level of award directed to Extraordinary Contributor and a

    lesser amount directed to Contributor.