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    HRMUnit 2

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    HUMAN RESOURCE PLANNING-

    INTRODUCTION Human Resource Management is very important for

    the survival and prosperity of an organisation. HR is an important corporate asset and the overall

    performance of companies depends upon the way itis put to use. Procurement of right kind and right number of

    employees is the first operative function of HumanResource Management.

    Before selecting the right man for the right job, itbecomes necessary to determine the quality andquantity of people required in the organisation.

    This is the primary function of Human ResourcePlanning.

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    Human Resource Planning HumanResource Planning is also called

    manpower planning/ personnel planning/employment planning. It is only after Human Resource Planning that the

    Human Resource department can initiate therecruitment and selection process.

    Therefore Human Resource Planning is a sub-system of organizational planning.

    All human resource management activities startwith human resource planning. So we can say thathuman resource planning is the principle/primary

    activity of human resource management. HRP is a forward looking function. It tries to

    assess HR requirements in advance, keeping theproduction schedules, market fluctuations,demand forecasts etc. in the background.

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    Human Resource Planning is a strategy for theacquisition, utilization, improvement andpreservation of an organization's humanresource

    Human Resource Planning is a process offorecasting an organization's future demand forhuman resource and supply of right type of peoplein right numbers

    It is a process by which an organisation ensures

    that it has the right number & kind of people atthe right place and at the right time , capable ofeffectively and efficiently completing those tasksthat help the organisation achieve its overallobjectives.

    Human Resource Planning

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    FEATURES OF HRP It is future oriented It is a continuous process

    Integral part of Corporate Planning (becausewithout a corporate plan there can be no manpowerplanning.)

    Involves study of manpower requirement

    Optimum utilization of resources (specificallycurrent and future human resources) Considers both Qualitative and Quantitative aspect

    of HRM

    Applicable to both long term and Short term

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    Objectives of Human Resource

    Planning

    Forecast personnel requirements Preventing understaffing and overstaffing Ensure the organisation has the right employees with

    the right skills at the right place at the right time

    Ensure that the organisation is responsive to changesin its environment

    Provide direction and coherence to all HR activitiesand systems

    Optimum and productive utilization of humanresources currently employed in the organisation. Promote employees in a systematic manner. To control cost of Human Resources employed, used

    and maintained in the organisation.

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    Need for Human Resource Planning

    Shortage of Skills Frequent Labour Turnover (Labour turnover

    arises because of discharges, marriages,

    promotion, transfer etc) Changing needs of technology Identify areas of surplus or shortage of

    personnel

    Changes in organisation design and structure(Due to changes in organisation structure anddesign we need to plan the required humanresources right from the beginning)

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    Importance of HRP

    Reservoir of talent

    Prepare people for future

    Helps an organization in expanding orcontracting scale of operations

    Cuts costs (by avoiding shortages and surplusesin manpower supply)

    Succession Planning (stars can be picked up andkept ready for future challenges andpromotions)

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    Process of HRP

    Personnel requirement forecast

    Personnel supply forecast

    Determining Manpower Gaps

    Formulating HR Plans

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    Personnel requirement forecast

    This is the very first step in HRP process. Here the HR department finds out department wise

    requirements of people for the company. The requirement consists of number of people

    required as well as qualification they must possess. Done systematically through:Workforce analysis (average loss of manpower due to

    leave, retirement, death, transfer, etc. , rate ofabsenteeism and labour turnover etc. are taken intoaccount.

    Workload analysis (determining the number ofpersons required for various jobs with reference to aplanned output)

    Job analysis (finding out the abilities or skills requiredto do the job efficiently)

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    Personnel supply forecast orPreparing Manpower Inventory In this step, HR department finds out how many

    people are actually available in the departmentsof the company.

    Basic purpose is to find out the size and qualityof personnel available with the organization to

    man various positions

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    Determining Manpower Gaps

    This is used to reconcile the forecasts of labour demandand supply. This process identifies potential skill shortagesor surpluses of employees, skills and jobs

    Based on the information collected in the 1st and 2nd step,the HR department makes a comparison and finds out thedifference.

    Two possibilities arise from this comparison:a) No differenceIt is possible that personnel requirement = personnelsupplied. In this case there is no difference. Hence nochange is required.

    b) Yes, there is a differenceThere may be difference between supply and requirement.The difference may be:I. Personnel surplusII. Personnel shortage

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    Personnel surplus

    When the supply of personnel is more thanthe requirement, we have personnel surplus.

    We require 100 people, but have 125 people.

    That is we have a surplus of 25 people. Since extra employees increase expenditure

    of company the company must try to removeexcess staff by methods of:

    Layoff

    Termination

    VRS/CRS

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    Personnel shortage

    When supply is less than the requirement, wehave personnel shortage.

    We require 100 people; we have only 75 i.e. weare short of 25 people.

    In such case the HR department can adopt

    following methods to obtain new employees.Overtime,

    Recruitment,

    Sub-contracting

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    Formulating HR Plans

    The HR requirements identified need to betranslated into concrete HR plans backed up bydetailed policies programmes and strategies

    Once supply and demand for labour is knownadjustments can be made formulating requisite HRplans

    A variety of HR plans Recruitment plan

    Redeployment plan

    Redundancy plan

    Training plan

    Productivity plan

    Retention plan

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    Factors affecting Human Resource

    Plans

    External factors

    Government policies Level of economic

    development InformationTechnology

    Level of Technology Business

    Environment International factors

    Internal factors

    Company Strategies Human Resource

    policies Job analysis Organisational

    Growth Cycles Trade Unions

    Companysproduction andoperational policy

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    Responsibility For HumanResource Planning HRP is a top management job.

    HR plans are usually made by the HR division inconsultation with other corporate heads.

    Any deviations from the formulated plans andtheir causes must be looked into, from time to

    time in order to assess whether the plans requirerevision or modification.

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    Job Analysis

    A formal and detailed examination of the job.

    Job analysis is the process of gatheringinformation about a job.

    It is, to be more specific, a systematicinvestigation of the tasks, duties andresponsibilitiesnecessary to do a job.

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    Nature of job analysis

    Job Analysis

    Job Tasks

    Job Duties

    Job Responsibilities

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    USES OF JOB ANALYSIS Human Resource Planning- Job analysis helps in forecasting

    human resource requirements in terms of knowledge and skills

    Recruitment- Job analysis is used to find when and how to hirepeople for future job openings

    Selection- Proper understanding of what is to be done on a job,helps in selection of candidate for job.

    Placement and orientation- People are to be placed on the mostsuitable jobs; Job analysis lets us know what has to be done in a job.

    Training- when it is known that what has to be done on a job,training can be imparted to fill the competency gaps.

    Counselling- Counselling can be done if job is known well

    Employee Safety- Job analysis reveals unsafe conditions associatedwith a job.

    Performance Appraisal

    Job design and redesign

    Job evaluation- identifying the worth of a job.

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    Who should conduct jobanalysis?

    Job incumbents themselves

    Supervisors

    External analysts

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    The process of Job analysisThe major steps involved in job analysis are:

    Organizational analysis- Identifying various job in theorganization and finding how the jobs are related to theorganizational objectives and to each other.

    Selection of representative positions to be analyzed- All jobscould not be analysed due to time and cost constraints, so arepresentative sample of jobs to be analysed is decided.

    Collection of job analysis data- collecting data on characteristicsof job, required behaviour and personal qualifications requiredfor carrying the job.

    Preparation of job description(JD)- describing the contents ofthe job in terms of functions, duties, responsibilities, operations,etc. The job holder is requied to discharge the duties andresponsibilities and perform the operations listed in JD.

    Preparation of job specification (JS)- Producing writtenstatements of personal attributes required to carry out the job.

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    Job Description And JobSpecificationThe end products of job analysis are:

    Job description Job specification

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    Job description This is a written statement of what the job holder does, how

    it is done, under what conditions it is done and why it isdone. Once a vacancy arises the human resource manager will first

    identify and record the responsibilities and tasks which arerelated to the job.

    After analyzing the responsibilities and tasks they are noteddown which becomes the Job description for the job.

    It includes:A job title

    Department of the business in which the new employeewould workDetails of the tasks to be performedResponsibilities involvedPlace in the hierarchical structure

    Methods of assessing the performance

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    Job specification

    On the basis of Job description, a jobspecification is made.

    It is a document which outlines therequirements, qualifications and qualities, skillsand knowledge required for the job.

    It is also known as person specification. It offers a profile of human characteristics

    (knowledge, skills and abilities) needed by aperson doing a job.

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    Recruitment

    Recruitment is the process of locating andencouraging potential applicants to apply forexisting or anticipated job openings.

    Recruitment is the process of searching forprospective employees and stimulating them toapply for jobs in the organizations.

    In simple terms, recruitment is understood as

    the process of searching for & obtainingapplicants for jobs, from among whom the rightpeople can be selected.

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    Recruitment

    Definition: It is the process of finding &attracting capable applicants for employment.

    The process begins when new recruits are soughtand ends when their applications are submitted.The result is a pool of applicants form which newemployees are selected.

    Selection starts where recruitment ends.

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    Constraints and challenges inRecruitmentPoor image of the firm

    Unattractive job

    Conservative internal policies

    Limited budgetary support

    Restrictive policies of government

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    Sources of Recruitment The sources of recruitment may broadly be

    divided into two categories:

    internal sources and external sources.

    Both have their merits and demerits.

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    Internal Sources of Recruitment

    Persons who are already working in anorganization constitute the internal sources.

    It includes the existing employees, theretrenched & retired employees & dependents ofdeceased employees.

    The way of internal recruitment is generally

    through transfers, promotions, & other jobchanges.

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    Merits and demerits of hiring peoplefrom within

    Merits

    (i) Economical: The cost ofrecruiting internal candidates is

    minimal. No expenses are incurredon advertising.

    (ii) Suitable: The organisationcan pick the right candidates having

    the requisite skills. The candidates

    can choose a right vacancy wheretheir talents can be fully utilised.

    (iii) Reliable: The organisationhas knowledge about the suitability

    of a candidate for a position. Knowndevils are better than unknownangels!.

    (iv) Satisfying: A policy of preferringpeople from within offers regularpromotional avenues for employees.It motivates them to work hard andearn promotions. They will work

    with loyalty, commitment andenthusiasm.

    Demerits

    (i) Limited choice: The organisation isforced to select candidates from a limitedpool. It may have to sacrifice quality andsettle for less qualified candidates.

    (ii) Inbreeding: It discourages entry oftalented people, available outside anorganisation. Existing employees may fail

    to behave in innovative ways and injectnecessary dynamism to enterpriseactivities.

    (iii) Inefficiency: Promotions based onlength of service rather than merit, mayprove to be a blessing for inefficientcandidates. They do not work hard and

    prove their worth.(iv) Bone of contention: Recruitment fromwithin may lead to infighting amongemployees aspiring for limited, higher-level positions in an organisation. As yearsroll by, the race for premium positions mayend up on a bitter note.

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    These include employees working in otherorganizations, job aspirants registered with

    employment exchanges, students from reputededucational institutions, candidates forwardedby search firms & contractors, candidatesresponding to advertisements issued by theorganizations, unsolicited applications/walk-ins.

    External Sources of Recruitment

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    Merits and demerits of hiring peoplefrom outside

    MeritsWide choice:The organisation has thefreedom to select candidates from a largepool. Persons with requisitequalifications could be picked up.Injection of fresh blood:People withspecial skills and knowledge could behired to stir up the existing employees

    and pave the way for innovative ways ofworking.Motivational force: It helps inmotivating internal employees to workhard and compete with externalcandidates while seeking career growth.Such a competitive atmosphere would

    help an employee to work to the best ofhis abilities.Long term benefits: Talented peoplecould join the ranks, new ideas couldfind meaningful expression, acompetitive atmosphere would compelpeople to give of their best and earnrewards, etc.

    DemeritsExpensive: Hiring costs could go upsubstantially. Tapping multifarioussources of recruitment is not an easy task,either.

    Time consuming: It takes time toadvertise, screen, to test and to selectsuitable employees. Where suitable onesare not available, the process has to berepeated.Demotivating: Existing employees whohave put in considerable service may resistthe process of filling up vacancies fromoutside. The feeling that their services

    have not been recognised by theorganisation, forces them to work with lessenthusiasm and motivation.Uncertainty:There is no guarantee thatthe organisation, ultimately, will be able tohire the services of suitable candidates. Itmay end up hiring someone who does notfit and who may not be able to adjust in

    the new set-up.

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    Internal Methods (Promotions and Transfers,Job Posting, Employee Referrals)

    Direct Methods (Campus Recruitments) Indirect Methods (Advertisements)

    Third Party methods (Employment Exchanges,Private employment search firms, Unsolicited

    applicants/ walk-ins, Internet recruiting)

    Methods Of Recruitment

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    Internal methods

    Promotions and transfers: Promotion is the movement of an employee

    from a lower level position to a higher level position with changes in duties,

    responsibilities, status & value including an increase in salary

    Transfer, on the other hand, is a lateral movement within the same grade,

    from one job to another. It might lead to changes in duties & responsibilities &

    sometimes the working conditions but the status & salary are not affected.

    Job posting: It means notifying the vacant positions, circulating publications,

    or announcing at staff meetings inviting the employees to apply for the

    positions available within the organization. It offers a chance to highly qualified

    candidates working with the organization to look for growth opportunities

    within the organization itself.

    Employee referrals: It means making use of recommendations from a current

    employee regarding a job applicant. The logic is that they serve as a reliable source.

    Companies offer rich rewards to employees whose recommendations are accepted.

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    Direct Methods- Campus Recruitments It is a way of recruitment by visiting & participating

    in college campuses & their placement centers topick up job aspirants having the requisite technical

    & professional skills. A preliminary screening is done within the campus

    & the short listed candidates are then subjected tothe remainder of the selection process.

    For Instance: Companies like Asian Paints, TCS, LG,Google are nowadays following this type of methodwhere they select students from reputed educationalinstitutions like IIT's & IIM's.

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    Indirect Methods- Advertisements This source includes advertisements in

    newspapers; trade, professional & technical

    journals; radio & television etc. This method is appropriate when:

    a. organization intends to reach a large target

    groupb. organization wants a fairly good number oftalented people who are geographically spreadout.

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    Private employment search firms Private employment search firms are private

    employment agencies that maintain

    computerized lists of qualified applicants andsupplies these to employers willing to hirepeople from the list for a fee.

    They have many contacts and are good atcontacting qualified candidates.

    Fees charged could be very high.

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    Employment Exchanges

    As a statutory requirement, companies(wherever the Employment Exchanges Act,1950, applies) are expected to notify their

    vacancies through the respective employmentexchanges, created all over India, for helpingunemployed youth, displaced persons,physically handicapped, etc.

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    Unsolicited Applicants/ Walk-ins Companies receive unsolicited applications from

    job seekers, from time to time. Such applications

    are kept in a data bank and whenever a suitablevacancy arises, the company would intimate thecandidate to apply formally.

    Problem with this method is that job seekers

    apply to a number of organizations and whenthey are actually required by the organization,either they are already employed or notinterested in the position.

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    Internet Recruiting Companies develop their own websites and list

    job openings on it.

    Offers a fast, convenient and cost effectivemeans for job applicants to submit theirresumes.

    Resumes are then converted into a standardformat for short listing candidates .

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    Alternatives to recruiting

    Overtime:Short term fluctuations in work volume could best be solved through overtime.

    The employer benefits because the costs of recruitment, selection and training could beavoided. The employee benefits in the form of higher pay. However, an overworked

    employee may prove to be less productive and turn out less than optimal performance.

    Employees may slow down their pace of work during normal working hours in order to earn

    overtime daily. In course of time, overtime payments become quite routine and if, for any

    reason, these payments do not accrue regularly, employees become resentful and

    disgruntled.

    Subcontracting:To meet a sudden increase in demand for its products and services, the

    firm may sometimes go for subcontracting instead of expanding capacities immediately.

    Expansion becomes a reality only when the firm experiences increased demand for its

    products for a specified period of time. Meanwhile, the firm can meet increased demand by

    allowing an outside specialist agency to undertake part of the work, to mutual advantage.

    Cont

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    Temporary employees:Employees hired for a limited time to perform a specific jobare called temporary employees. They are particularly useful in meeting short term

    human resource needs. A short term increase in demand could be met by hiring

    temporary hands from agencies specialising in providing such services. In this case the

    firm can avoid the expenses of recruitment and the painful effects of absenteeism,

    labour turnover, etc. It can also avoid fringe benefits associated with regular

    employment. However, temporary workers do not remain loyal to the company; theymay take more time to adjust and their inexperience may come in the way of

    maintaining high quality.

    Employee leasing: Hiring permanent employees of another company who possess

    certain specialised skills on lease basis to meet short-term requirements although

    not popular in India is another recruiting practice followed by firms in developed

    countries. In this case, individuals work for the leasing firm as per the leasing

    agreement/arrangement. Such an arrangement is beneficial to small firms because it

    avoids expense and problems of personnel administration.

    Alternatives to recruiting

    Cont

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    Outsourcing: Any activity in which a firm lacks internal expertise and requires onunbiased opinion can be outsourced. Many businesses have started looking at

    outsourcing activities relating to recruitment, training, payroll processing, surveys,

    benchmark studies, statutory compliance etc., more closely, because they do not

    have the time or expertise to deal with the situation. HR heads are no longer

    keeping activities like resume management and candidate sourcing in their daily

    scrutiny. This function is more commonly outsourced when firms are in seasonalbusiness and have cyclical stuffing needs.

    Alternatives to recruiting

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    RECRUITMENT - PROCESS Recruitment Planning

    Strategy Development

    Searching

    Screening

    Evaluation and Control

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    Recruitment Planning The first stage in the Recruitment Process is

    planning. Planning involves the translation of

    likely job vacancies and information about thenature of these jobs into a set of objectives ortargets that specify the number and type ofapplicants to be planned.

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    Strategy Development Make or Buy Employees

    Technological Sophistication of Recruitment and

    Selection Devices Geographic distribution of labour markets

    comprising job seekers

    Sources Of Recruitment:Internal sources

    External sources

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    Searching Source Activation: Source Activation takes place

    when a job vacancy exists in the organization. If theorganization has planned well and done a good jobof developing its source and search methods,activation soon results in a flood of application.

    Selling: In selling, both the Message and Mediadeserve attention in the organization. Message

    refers to the employment advertisements. Mediarefers to the source of any recruiting message. Forexample, Employment Exchanges, Advertises inBusiness magazines

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    Screening The purpose of screening is to remove from the

    recruitment process at an early stage, those

    applicants who are visibly unqualified for thejob.

    Effective screening can save a great deal of timeand money.

    Care must be exercised to assure that potentiallygood employees are not lost.

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    Evaluation and Control It is necessary as considerable costs are incurred

    in the recruitment process.

    Statistical information should be gathered andevaluated to know the suitability of therecruitment process.

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    Selection-Introduction Selection is the process of picking individuals

    who have relevant qualifications to fill jobs in an

    organization.

    Selection is much more than just choosing the

    best candidate.

    It is an attempt to strike a happy balance

    between what the applicant can and wants to do

    and what the organization requires.

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    Selection involves screening or evaluation ofapplicants to identify those who are best suited toperform the jobs which have fallen vacant in anorganization

    The candidates are divided into 2 categories namelythose who will be employed and those who will notbe employed

    It is the process of rejecting unsuitable candidates Basic purpose is to choose right type of candidates

    to fill up vacancies in the organization Selection is described as a negativeprocess as

    compared to thepositiveprocess of recruitment

    SelectionIntroduction

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    Significance of Selection Procurement of Qualified and Skilled WorkersScientific selection

    facilitates the procurement of well qualified and skilled workers in theorganization. It is in the interest of the organization in order to maintainthe supremacy over the other competitive firms. Selection of skilledpersonnel reduces the labor cost and increases the production. Selection ofskilled personnel also facilitate the expansion in the size of the business.

    Reduced Cost of Training and DevelopmentProper selection ofcandidates reduces the cost of training because qualified personnel havebetter grasping power. They can understand the technique of the workbetter and in no time. Further, the organization can develop differenttraining programmes for different persons on the basis of their individualdifferences, thus reducing the lime and cost of training considerably.

    Absence of Personnel ProblemsProper selection of personnelreduces personnel problems in the organization. Many problems like laborturnover, absenteeism and monotony shall not be experienced in theirseverity in the organization. Labor relations will be better because workerswill be fully satisfied by the work. Skilled workers help the management toexpand the business and to earn more profits and management in turncompensates the workers with high wages, benefits etc.

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    Selection Procedure Selection is usually a series of hurdles or steps.

    Each one must be successfully cleared before theapplicant proceeds to the next

    The process of selection involves the followingsteps Reception

    Screening Interview

    Application blank

    Selection Tests

    Selection Interview

    Medical or physical Examination

    Reference Checks

    Hiring Decision

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    Reception Company is known by the people it employs .

    A warm, friendly and courteous reception is

    extended to candidates with a view to create afavorable impression.

    Employment possibilities are also communicated

    honestly and clearly .

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    Application blank It is a printed form completed by job aspirants

    detailing their educational background, previous workhistory and certain personal data in his or her ownhand writing.

    It provides a written record of the qualifications,experience etc of the candidate which is helpful at thetime of the interview.

    Tentative inferences regarding candidates suitabilityfor the job can be drawn from the application blank .

    An application blank should be simple and elicitinformation that is relevant to the job or the vacancy .

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    Selection Tests Different types of tests are administered depending

    on the job and the company. Generally, tests are used to determine the

    applicant's ability, aptitude and personality

    Selection tests are designed to measure selectedaspects of the candidates personality and to predicthow well the applicant is likely to perform on thejob.

    A test is a standardized , objective measure of apersons behavior, ability, performance or attitude.

    Several types of tests are used in the selection ofpersonnel.

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    A. Intelligence tests: They measure a candidates learning abilityand also the ability to understand instructions and makejudgements. They do not measure any single trait but severalmental abilities (memory, vocabulary, fluency, numerical ability,perception etc)

    B. Aptitude tests: They measure a candidates potential to learnclerical, mechanical and mathematical skills. Since they do notmeasure a candidates on the job motivation, they are generallyadministered in combination with other tests.

    C. Achievement tests: These are designed to measure what the

    applicant can do on the job currently, i.e., whether the testeeactually knows what he or she claims to know.

    SELECTION TESTS

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    D. Graphology tests:Here a trained evaluator tries to examine thelines, loops, hooks, strokes, curves etc in a person's handwriting

    to assess the person's personality and emotional make-up.

    E. Polygraph : It is a lie detection test. During the test, the

    operator records the respiration, blood pressure and perspirationof the subject as he or she responds to a series of questions posed

    to elicit the truth.

    F. Integrity tests: These are designed to measure employee's

    honesty to predict those who are more likely to indulge in

    unacceptable behaviour.

    Selection

    SELECTION TESTING

    SELECTION TESTING

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    SELECTION TESTINGG. Personality tests: They measure basic aspects of a candidatespersonality

    such as motivation, emotional balance, self confidence, interpersonalbehaviour, introversion etc.

    Projective tests: These tests expect the candidates to interpret problemsor situations based on their own motives, attitudes, values etc (interpreting apicture, reacting to a situation etc)

    Interest tests: These are meant to find how a personsinterests comparewith the interests of successful people in a specific job. These tests show the

    areas of work in which a person is most interested. The basic idea behindthese test is that people are most likely to be successful in jobs they like.

    Preference tests: These tests try to compare employee preferences withthe job and organisational requirements. In these tests, a person indicates hisor her preferences among large groups of activities, ideas, and circumstances.

    For Example, it might be asked, "Would you rather fix a broken clock, keep aset of accounts, or paint a picture?" Most individuals prefer certain types ofactivities over others. The pattern of answers reveals the strength of aperson's interest in various fields.

    H. Simulation tests:Simulation exercise is a test which duplicates

    many of the activities and problems an employee faces while at work.

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    Selection Interview

    Interview is an important source of informationabout job applicants and is an excellent selectiondevice

    It is a formal and in depth conversationconducted to evaluate candidates acceptability. It allows a two way exchange of information It involves a personal, observational and face to

    face appraisal of candidates for employment. Several types of interviews are used , dependingon the nature and importance of the position tobe filled within an organization.

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    The nondirective interview:the recruiter asks questions as they come to mind

    The directive or structured interview:the recruiter uses a predetermined set of

    Questions that are clearly job-related

    The situational interview:the recruiter presents a hypothetical incident and asks

    the candidate to respond . The response is evaluated relative to pre established bench

    mark standards

    The behavioural interview:the focus here is on actual work related incidents and

    The applicant is supposed to reveal what he or she did in a given situation

    Stress interview: the recruiter attempts to find how applicants would respond to

    Aggressive, embarrassing, rude and insulting (at times) questions

    The panel interview:three or four interviewers pose questions to the applicant and

    examine the suitability of the candidate by pooling their observations to arrive at a

    consensus

    Types of Selection Interviews

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    Applicants who have crossed the above stagesare sent for a physical examination either to the

    companys physician or to a medical officerapproved for the purpose.

    A job offer is often contingent upon thecandidate passing the physical examination.

    Medical Examination

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    Reference Checking The applicant is asked to mention in his application form

    the names and addresses of two or three persons whoknow him well.

    Reference checks and background checks are conductedto verify the information provided by the candidates.

    Done to investigate into candidates background ,personal reputation , character and past employment.

    A referee is an important source of information aboutcandidates personality and character. Reference checks can be through formal letters,

    telephone conversations.

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    Hiring Decision

    To be taken by concerned managers aftercarefully considering the economic, behavioraland social implications of the selection decision.

    A careless decision may impair morale of thepeople and cause them to suspect the selectionprocedure.

    True understanding between HR and line

    managers needs to be established to facilitategood selection decisions.

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    DIFFERENCE BETWEEN

    RECRUITMENT AND SELECTIONRecruitment Selection

    1. Recruitment refers to theprocess of identifying and

    encouraging prospectiveemployees to apply for jobs.

    2. Recruitment is said to bepositive in its approach as itseeks to attract as many

    candidates as possible.

    1. Selection is concerned withpicking up the right candidates

    from a pool of applicants.

    2. Selection on the other handis negative in its application inas much as it seeks to eliminate

    as many unqualified applicantsas possible in order to identifythe right candidates.