HRP & Job Analysis - Module 2

Human Resource Management

ELEVENTH EDITION

G A R Y D E S S L E RB I J U V A R K K E Y

Chapter HRP & Job Analysis

Part 2 | Recruitment and Placement

Strategic Planning

• Strategic planning - Process by which top management determines overall organizational purposes and objectives and how they are to be achieved

• Strategic planning at all levels can be divided into four steps

The Strategic Management Process

• Strategic Management The process of identifying and executing the

organization’s mission by matching its capabilities with the demands of its environment.

• Strategy– A chosen course of action.

• Strategic Plan How an organization intends to balance its internal

strengths and weaknesses with its external opportunities and threats to maintain a competitive advantage over the long-term.

Strategic Planning and Implementation Process

MISSION DETERMINATION

Decide what is to be accomplished (purpose) Determine principles that will

guide the effort ENVIRONMENTAL ASSESSMENT

Determining external conditions, threats, and opportunities Determining competencies, strengths, and weaknesses within the organization.

External Internal

OBJECTIVE SETTING Specifying corporate-level objectives that are:•Challenging, but attainable • Measurable • Time-specific • Documented (written)

STRATEGY SETTING Specifying and documenting corporate level strategies and

planningSTRAGEDY IMPLEMENTATION

Strategy Implementation

• Leadership • Organizational

Structure • Information and

Control Systems • Technology • Human Resources

FIGURE 5–2 Linking Employer’s Strategy to Plans

Planning and Forecasting

• Employment or Personnel PlanningThe process of deciding what positions the firm

will have to fill, and how to fill them.• Succession Planning

The process of deciding how to fill the company’s most important executive jobs.

• What to Forecast?Overall personnel needsThe supply of inside candidatesThe supply of outside candidates

Human Resource Planning

Systematic process of matching internal and external supply of people with job openings anticipated in the organization over a specified period of time

What is it?

• Human resource planning involves getting the right number of qualified people into the right jobs at the right time.

• It essentially involves forecasting personnel needs, assessing personnel supply and matching demand-supply factors through personnel-related programmes.

IMPORTANCE OF HRP

1. Through HR planning a company learns .. how many employees with what kinds of qualifications at which point of time at which location

.... are required to achieve performance objectives.

IMPORTANCE OF HRP

2. It delivers a solid basis for decisions regarding Recruiting People development Company development Workforce reduction Company strategy

Human Resource Planning ProcessExternal EnvironmentInternal Environment

Strategic Planning

Human Resource Planning

Forecasting Human Resource Requirements Comparing

Requirements and Availability

Forecasting Human Resource Availability

Surplus of Workers

Demand = Supply

No Action

Shortage of Workers

Recruitment

Selection

Restricted Hiring, Reduced Hours, Early Retirement, Layoffs,

Downsizing

Factors Affecting HRP

Organisational Growth Cycle and

Planning

Type and Strategy of Organisation

Time Horizons

Type and Quality of Forecasting Information

Nature of Jobs being Filled

Outsourcing

Environmental Uncertainties

Human Resources Planning…

Resources Demand forecasting

Resources Supply forecasting

Human Resource Actions• Hiring• Training• Career Management• Productivity program• Reduction in workforce

Definitions• Requirements forecast - Determining number,

skill, and location of employees organization will need at future dates in order to meet goals

• Availability forecast - Determination of whether firm will be able to secure employees with necessary skills, and from what sources

Methods Used for Human Resource Planning

1. Approaches to forecasting:a. Qualitative:

i. Expert opinions ii. Delphi technique iii.“Bottom-up” approach

b. Quantitative:iv. Regression analysis / Trend analysisv. Markov analysis

CONTD….

2. Supply Analysisa. Skills inventories

i. Card systemsii. Human Resource Information Systems

(HRIS)b. Replacement charts / Succession plans

Forecasting Human Resource Requirements

• Zero-based forecasting - Uses current level as starting point for determining future staffing needs

• Bottom-up approach - Each level of organization, starting with lowest, forecasts its requirements to provide aggregate of employment needs.

Forecasting HR Availability

• Determining whether firm will be able to secure employees with necessary skills, and from what sources

• Show whether needed employees may be obtained within company, from outside organization, or from combination of these sources

Use of HR Databases • Many workers needed for future positions may

already work for firm • Databases include information on all

managerial and nonmanagerial employees • Companies search databases within company

to see if employees with needed qualifications already exist. Growing trend is to automatically notify qualified employees of new positions.

Shortage of Workers Forecasted

• Creative recruiting• Compensation incentives –

Premium pay is one method• Training programs – Prepare

previously unemployable people for positions

• Different selection standards

Surplus of Employees

• Restricted hiring – Employees who leave are not replaced

• Reduced hours• Early retirement• Downsizing - Layoffs

Qualitative Approaches to Demand Forecasting

Management Forecasts The opinions (judgments) of supervisors, department

managers, experts, or others knowledgeable about the organization’s future employment needs.

Delphi Technique It solicits estimates of personnel needs from a group of

experts, usually managers. The HRP experts act as intermediaries, summarize the various responses and report the findings back to the experts. Summaries and surveys are repeated until the experts’ opinions begin to agree.

Distinguishing feature – absence of interaction among experts.

Quantitative Approach for Demand

1. Trend analysis/ratio-trend analysis• HR need can be estimated by examining past trends. Past

rate of change can be projected into future or employment growth can be estimated by its relationship with a particular index.

• For example2009-10 : Production of Units = 50002009-10 : No. of workers = 100Ratio : 100/50002010-11 : Estimated production = 8000

No. of workers required = 8000 X 100/5000 = 160

2. Work-load analysis• Company tries to calculate the number of persons

required for various jobs w.r.t. a planned output – after giving weightage to factors such as absenteeism, idle time etc.

For example: Planned output for the year = 10000 piecesStandard hours per piece = 3 hoursPlanned hours required = 30,000 hoursProductive hrs per person per year = 1000 hrs

(estimated on annual basis)No. of workers required = 30

Forecasting Supply of Employees: Internal Labor Supply

• Staffing Tables• Markov Analysis• Skill Inventories• Replacement Charts• Succession Planning

Forecasting Internal Labor Supply

• Staffing TablesGraphic representations of all organizational

jobs, along with the numbers of employees currently occupying those jobs and future (monthly or yearly) employment requirements.

• Markov AnalysisA method for tracking the pattern of employee

movements through various jobs.

Hypothetical Markov Analysis for a Retail Company

Internal Supply Forecasting Tools• Skill Inventories

Files of personnel education, experience, interests, skills, etc., that allow managers to quickly match job openings with employee backgrounds.

• Replacement Charts Listings of current jobholders and persons who are

potential replacements if an opening occurs.• Succession Planning

The process of identifying, developing, and tracking key individuals for executive positions.

Succession Planning

• Process of ensuring that qualified persons are available to assume key managerial positions once the positions are vacant

• Goal is to help ensure a smooth transition and operational efficiency

Human Resource Information Systems (HRIS)

Any organized approach for obtaining relevant and timely information on which to base HR decisions

HUMAN RESOURCE INFORMATION SYSTEMGoal: Integrate Core Processes into Seamless System

Input Data Types

Job Analysis

Recruitment

Selection/Job Posting/ Employee Referral

Performance Appraisal

Compensation

Benefits

Safety

Health

Labor Relations

Employee Relations

Output Data Uses*

Employee Tracking

Diversity Programs

Hiring Decisions

Training Programs/E-learning/Management Succession

Compensation Programs

Benefit Programs (e.g., prescription drug programs)

Health Programs (e.g., Employee Assistance Programs) Bargaining Strategies

Employee Services

Organizational Strategic Plans

Human Resource

Management Plans

Contribute Toward Achievement of:

Human Resource

Information System

*Manager and employee self-service is available.

Job Design

• Process of determining specific tasks to be performed, methods used in performing these tasks, and how job relates to other work in organization

• Job design is the conscious efforts to organize tasks, duties and responsibilities into one unit of work. It involves identification of individual tasks specification of methods of performing the tasks combination of tasks into specific jobs to be assigned to

individuals

Nature of Job Design

• Job Enrichment - Basic changes in content and level of responsibility of job, to provide greater challenge to worker.

• Job Enlargement - Changes in scope of job to provide greater variety to worker and increasing the number of tasks a worker performs.

• Reengineering - Fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical measures of performance, such as cost, quality, service and speed

Human Resource Management

ELEVENTH EDITION

G A R Y D E S S L E RB I J U V A R K K E Y

JOB ANALYSIS AND METHODS OF JOB ANALYSIS

What is a Job?

• Job A group of related activities and

duties• Position

The different duties and responsibilities performed by only one employee

• Job Family A group of individual jobs with

similar characteristics

Job Job Job

Definitions (Cont.)• A work group consisting of a supervisor, two

senior clerks, and four word processing operators has 3 jobs and 7 positions.

Goal: Match Person & Job

Person

KSAsTalents & Interests

Motivation

Tasks & DutiesRewards

Job Outcomes

PerformanceSatisfaction

• Need information about the Person & about the Job 38

HRP, JD & JA

HR Planning

Job Analysis

Job Description Job Specification

Other HRM Activities(Recruitment, Selection, Performance

appraisal, Training, Compensation)

Productivity, QWL, Legal Compliance

Job Design

Job Analysis

• Job analysis - Systematic process of determining skills, duties, and knowledge required for performing jobs in organization

• It is the process of collecting & analyzing information about jobs to write: Job Description: a document that identifies the tasks

& duties performed by a job Job Specification: a document that identifies the

qualifications required by a job

Job Description and Job Specification in Job Analysis

Job DescriptionA statement containing items such as

• Job title• Location• Job summary• Duties• Machines, tools, and

equipment• Materials and forms used• Supervision given or received• Working conditions• hazards

Job specificationA statement of human qualifications necessary to do the job. Usually contains such items as

• Education• Experience• Training• Judgement• Initiative• Physical efforts• Physical skills• Responsibilities• Communication skills• Emotional characteristics• Unusual sensory demands such as

sight, smell, hearing

Job AnalysisA process of obtaining all pertinent job facts

Questions Job Analysis Should Answer

• What physical and mental tasks does worker accomplish?

• When is job to be completed?• Where is job to be accomplished?• How does worker do job?• Why is job done?• What qualifications are needed to perform job?

Job Analysis: A Basic Human Resource Management Tool

Tasks Responsibilities Duties

Job Analysis

Job Descriptions

Job Specifications

Knowledge Skills Abilities

Staffing Training and

Development Performance Appraisal Compensation Safety and Health Employee and Labor

Relations Legal Considerations

Job Analysis Products• Job description

Title, reporting relationships (up, down, sideways, external)

job summary, responsibilities, duties, MBO/R: Key Result Areas (KRAs), scope of authority. Position of “organisation chart”. Career/promotion path.

working conditions• Competencies specification

levels, range of situations, performance indicators, knowledge/wisdom, experience, skills (psycho-motor, technical, analytical, literary, spoken, numeric, social and emotional), personal orientations and motivators.

• Personnel specification (person profile) characteristics of ideal candidate. Essentials -

desirables - disqualifiers

Reasons For Conducting Job Analysis

• Staffing - Haphazard if recruiter does not know qualifications needed for job

• Training and Development - If specification lists particular knowledge, skill, or ability, and person filling position does not possess all necessary qualifications, training and/or development is needed

• Performance Appraisal - Employees should be evaluated in terms of how well they accomplish the duties specified in their job descriptions and any other specific goals that may have been established

• Compensation – Value of job must be known before dollar value can be placed on it

Reasons For Conducting Job Analysis (Cont.)

• Safety and Health – Helps identify safety and health considerations

• Employee and Labor Relations – Lead to more objective human resource decisions

• Legal Considerations – Having done job analysis important for supporting legality of employment practices

Summary of Types of Data Collected Through Job Analysis

• Work Activities - Work activities and processes; activity records (in film form, for example); procedures used; personal responsibility

• Worker-oriented activities - Human behaviors, such as physical actions and communicating on job; elemental motions for methods analysis; personal job demands, such as energy expenditure

Summary of Types of Data Collected Through Job Analysis (Cont.)

• Machines, tools, equipment, and work aids used

• Job-related tangibles and intangibles - Knowledge dealt with or applied (as in accounting); materials processed; products made or services performed

• Work performance - Error analysis; work standards; work measurements, such as time taken for a task

Summary of Types of Data Collected Through Job Analysis (Cont.)

• Job context - Work schedule; financial and nonfinancial incentives; physical working conditions; organizational and social contexts

• Personal requirements for job - Personal attributes such as personality and interests; education and training required; work experience

Job Analysis Methods

• Questionnaires• Observation• Interviews• Employee recording• Combination of methods

Methods of Collecting Job Analysis Information: The Interview

• Information Sources Individual employees Groups of employees Supervisors with

knowledge of the job

• Advantages Quick, direct way to find

overlooked information

• Disadvantages Distorted information

• Interview Formats Structured (Checklist) Unstructured

4–52

FIGURE 4–3 Job Analysis Questionnaire for Developing Job Descriptions

Note: Use a questionnaire like this to interview job incumbents, or have them fill it out.

FIGURE 4–3 Job Analysis Questionnaire for Developing Job Descriptions (cont’d)

Note: Use a questionnaire like this to interview job incumbents, or have them fill it out.

Methods of Collecting Job Analysis Information: Questionnaires

• Information Source Have employees fill out

questionnaires to describe their job-related duties and responsibilities

• Questionnaire Formats Structured checklists Open-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 of Collecting Job Analysis Information: Observation

• 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

Methods of Collecting Job Analysis Information: Participant Diary/Logs

• Information Source Workers keep a

chronological diary/ log of what they do and the time spent on each activity

• Advantages Produces a more complete

picture of the job Employee participation

• Disadvantages Distortion of information Depends upon employees

to accurately recall their activities

Combination of Methods• Usually use more than one method• Clerical and administrative jobs: questionnaires

supported by interviews and limited observation • Production jobs: interviews supplemented by

extensive work observations may provide necessary data

Writing Job Descriptions

JobIdentification

JobSummary

Responsibilities and Duties

Authority of the Incumbent

Standards of Performance

Working Conditions

JobSpecifications

Sections of a Typical Job Description

FIGURE 4–8 Sample Job Description, Pearson Education

FIGURE 4–8 Sample Job Description, Pearson Education (cont’d)

Source: Courtesy of Dorling Kindersley, India.

The Job Description• Job Identification

Job title Preparation date Preparer

• Job Summary General nature of the job Major functions/activities

• Relationships Reports to: Supervises: Works with: Outside the company:

• Responsibilities and Duties Major responsibilities and

duties (essential functions) Decision-making authority Direct supervision Budgetary limitations

• Standards of Performance and Working Conditions What it takes to do the job

successfully

HRP & Job Analysis - Module 2

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