BBA106_Human Resource Management

B. MultipleChoiceQuestions 1. Theprocessofchoosingthemostsuitablecandidateforajobamongtheavailableapplica ntsis called a. Selection b. Recruitment c. Humanresourceplanning d. Jobanalysis 2. Theprocessofselectionstartswithareviewoftheapplications.Whichofthefollowingstepsfol lowsthereviewoftheapplication? a. Conductingtest b. Initialscreeninginterview c. Referencecheck d. Preliminaryinterview 3. Whichbestdefinestheprocessoflocatingandencouragingpotentialemployeestoapplyforjobs? a. Recruitment b. Humanresourceplanning c. Jobanalysis d. Training 4. Allofthefollowingaresourcesofinternalrecruitingexcept: a. Transfers b. Promotions c. Advertisements d. jobposting 5. To give an overview of the organization; To informs Organization Vision / Mission andObjectives statement, its structure and hierarchy; To give an overview of the HR policiesand processes and introduction to the Facilities team, IT team and other relevant teams perthelocationofjoining.Followingareobjectivesof: Selectthecorrectoption: a. Induction b. Selection c. Recruitment d. Placement 50 CUIDOLSELFLEARNINGMATERIAL(SLM)

Answers: 1-a,2-b,3-a,4-c,5-a. REFERENCES  Aswathappa,K.(2002).HumanResourceManagement.NewDelhi:TataMcGraw-Hill.  Dessler,G.(2012).HumanResourceManagement.NewDelhi:Prentice-HallofIndia.  Rao,V.S.P.(2002).HumanResourceManagement:Textandcases.NewDelhi:ExcelBooks.  Decenzo,A.&RobbinsPStephen.(2012).Personnel/HumanResourceManagement.NewDelhi:Pre ntice-HallofIndia.  Ivancevich,MJohn.(2014).HumanResourceManagement.NewDelhi:TataMcGraw-Hill.  Mamoria,C.B.(2002).PersonnelManagement.Mumbai:HimalayaPublishingHouse.  H.J.Bernardin,HumanResourceManagement,TataMcGrawHill,NewDelhi,2004.Ivanc evich,J.M.(2008),HumanResourceManagement,TataMcGrawHill.  MadhurimaLallandSakinaQasimZaidi,HumanResourceManagement,ExcelBooks.  RaoP.S.(2008),EssentialsofHumanResourceManagementandIndustrial.Relations,Textcasesand Games,HimalayaPublication.  www.curryinc.com  https://www.yourarticlelibrary.com  https://open.lib.umn.edu/humanresourcemanagement/chapter/5-1-the-selection-process/ 51 CUIDOLSELFLEARNINGMATERIAL(SLM)

UNIT–6PLACEMENTANDINDUCTION Structure LearningObjectivesIntroduction MeaningandobjectivesPlacement Meaning and objectives InductionSummary KeyWords/AbbreviationsLe arning Activity UnitEndQuestions (MCQand Descriptive)References LEARNING OBJECTIVES Afterstudyingthisunit,youwillbeableto:  Analysethemeaningofplacement&induction  Identifytheobjectivesofplacement  Discusstheobjectivesofinduction INTRODUCTION Placement:Placementisthedeterminationofthejobforwhichaselectedcandidateisbestsuitedandassigning thatjobtohim.Theidealsituationis'therightmanfortherightjob'.Aproperplacementof aworker reduces employee turnover, absenteeism, accident rates, etc., and improves morale,motivation, work etc. After the initial programme is over, an employee is put to a specific job, forwhichhe has been selected. Mostof the organizations put new employeesonprobationforaspecifiedperiodafterwhichthey areconfirmedormadepermanent,providedtheymatch theorganisational requirements. The personnel department periodically reviews the progress of suchemployeesgettingfeedbacksontheirperformancefromtheircontrollingauthority.Someorganisations have also a system to extend the probationary period, if the employees fail to match totheorganizational expectations.Suchplacement isknownas'differentialplacement'. Placement is defined as assigning employees jobs for which they have been identified as suitablebasedontheselectiontechniques.But suchdefinitionwouldbemeaningless,ifaparticularemployeeis recruited against a particular vacancy. Generally, the question of placement arises when a group oftrainees are recruited. Organisations, to identify the true potentiality of an employee, in such cases,makeprovisionforshort- termplacement,duringwhichphase,employeesareallowedtoworkon 52 CUIDOLSELFLEARNINGMATERIAL(SLM)

different jobs, through a systematic job rotation programme. However, at a later stage, permanentplacementisaffectedmatchingtheemployees' competence,knowledge,skillandjobinterest. Induction: Induction is introducing an employee to the job and to the organisation. The primarypurpose of induction is to 'sell' the company to the new employee so that he may feel proud of hisassociationwiththecompany.Thisiscalled'orientation'or'indoctrination'. MEANINGANDOBJECTIVESOFPLACEMENT The selection procedure ends with the placement of a worker to the job. Placement is the process ofassigning a specific job to each one of the selected candidates. In very simple words placementmeans sending the newly employed person to some department for work. It also implies assigning aspecific rank and responsibility to an individual. Matching the requirements of the jo b with thequalificationsofacandidateistheessenceofplacement. According to Pigors and Myers “Placement is the determination of the job to which an acceptedcandidate is to be assigned and his assignment to that job. It is a matching of what the supervisor hasreason to think he can do with the job demands. It is a matching of what he imposes (in strain,working conditions etc.) and what he offers (in the form of payroll, companionship with others,promotionalpossibilitiesetc.).” SignificanceofPlacement: It is important for both the organization as well as staff that each employee should be placed on asuitable job. While doing so, the factor to be considered is not only the suitability of the job to theindividual. But initial placement is always a problem because there is little knowledge about the newemployee. Therefore, placement should be done after due considerations of the demands of the job, as well asthe social, psychological needs of the individual. An enterprise which has spent a lot of time andmoneyinmakingaverycareful selectionmayloseduetowrongplacement. Rightplacementofworkerscanhavethefollowingadvantages: 1. Reducedlaborturnoverrate. 2. Reducedabsenteeismrate. 3. Increasedsafetyofworkersandloweraccidents. 4. Increasedmoraleofworkers. 5. Betterhumanrelationsintheorganizations. 53 CUIDOLSELFLEARNINGMATERIAL(SLM)

Placement is not an easy process. It is very difficult to adjust for a new employee who is quiteunknown to the job and the environment. Forthis reason, the employee is generally put on aprobationperiodrangingfromoneyeartotwoyears. At the end of this probation period, if the employee shows good performance, he is confirmed as aregular employee of the organization. Thus, the probation period or trial period is the transitionperiod at the end of which management takes a decision whether to make the employee regular ordischargehimfromthejob. PlacementofNewEmployees: Placement decisions are generally taken by line executives. It is the supervisor who in consultationwith higher levels decides the placement of each employee. The personnel department’s role is toadvisethelinemanagersaboutthehumanresourcepoliciesofthecompanyandtoprovidecounsellingto theemployees. Whiletakingthep lacementdecis ion,thefollow ingcons iderationor o b jectivesmustbekeptinmind : 1. JobRequirements: An employee should be placed on the job according to the requirements of the job such as physicaland mental ability, eyesight, hearing, stress etc. The job shouldn’t be adjusted according to thequalificationandabilitiesoftheemployees. Job placement profile charts can be used to match the worker’s physical and mental abilities with thejob requirements. This profile chart displays an evaluation of both job requirements and workerabilities for key features of the job so that the management can easily determine how well worker fitsajob. 2. SuitableQualifications: The job should be offered to only that person who is suitably qualified. Over qualified and underqualifiedpersonsmight createproblemsfortheorganizationinthelongrun. 3. AdequateInformationtotheJobIncumbent: The employee should be providedwith the complete information andfacts relating to the job,including the working conditions prevailing in the firm. He should alsobe made known to therewardsassociated withtheperformancelevels. 4. CommitmentandLoyalty: 54 CUIDOLSELFLEARNINGMATERIAL(SLM)

While placing the new employee, an effort should be made to develop a sense of commitment,loyalty and cooperation in his mind so that he may realize his responsibilities better towards the job,theorganizationand hisassociates. 5. Flexibility: The placement in the initial period may be temporary as changes are likely after the completion oftraining. Theemp loyeemayb elatertransferredtot hejobw herehecand obetterjustice. Proper placement helps to improve employee morale. The capacity of the employee can be utilizedfully if he is placed on the job for which he is most suitable. Right placement also helps to reducelabourturnover, absenteeismand accidentrates.If acandidateadjustshimselftothejobandcontinuestoperformasperexpectation,itmightmeanthatthecandida teisproperlyplaced. MEANING ANDOBJECTIVESOFINDUCTION Induction or orientation is the process through which a new employee is introduced to the job and theOrganization. In the words of Armstrong, induction is “the process of receiving and welcoming anemployee when he first joins a Company and giving him the basic information, he needs to settledown quickly and start work. Good induction training ensures new starters are retained, and thensettled quickly and happily into aproductive role. New employees also need to understand theOrganisation’s mission, goals, values and philosophy; personnel practices, health and safety rules,andofcoursethejobtheyarerequiredtodo,withclearmethods,timescalesandexpectations Inductionservesthefollowingobjectives: 1. Removes fears: A newcomer steps into an Organization as a stranger. He is new to the people,workplace and work environment. He is not very sure about what is he supposed to do. Inductionhelpsanewemployeeovercomesuchfearsandperformbetteronthejob. 2. Creates a good impression: Another purpose of induction is to make the newcomer feel at homeanddevelopasenseofprideintheOrganization.Inductionhelpshimto:  Adjustandadapttonewdemandsofthejob.  Getalongwithpeople.  Getofftoa goodstart. 3. Act as a valuable source of information: Induction serves as a valuable source of information tonew recruits. It clarifies many things through employee manuals/handbook. Informal discussionswith colleagues may also clear the fog surrounding certain issues. The basic purpose of induction isto communicate specific job requirements to the employees, put them at ease and make them feelconfidentabouttheirabilities. 55 CUIDOLSELFLEARNINGMATERIAL(SLM)

STEPSININDUCTIONPROCESS 56 CUIDOLSELFLEARNINGMATERIAL(SLM)

TheHRdepartmentmayinitiatethefollowing stepswhileorganizingtheinductionprogram: ● WelcometotheOrganization ● ExplainabouttheCompany. ● Showthelocation,departmentwherethenewrecruitwillwork. ● GivetheCompany’smanualtothenewrecruit. ● ProvidedetailsaboutvariousworkgroupsandtheextentofunionismwithintheCompany. ● Givedetailsaboutpay,benefits,holidays,leave,etc.Emphasizetheimportanceofattendanceorpunctuality . ● Explainaboutfuturetrainingopportunitiesandcareerprospects. ● Clarifydoubts,byencouragingtheemployeetocomeoutwithquestions. ● Taketheemployeeonaguidedtourofbuildings,facilities,etc.Handhimovertohissupervisor (a) Content:ThetopicscoveredinemployeeinductionprogrammemaybestatedthusinTable6.1 1.Organizationalissues Overviewofproductionprocess Historyofcompany Companypoliciesandrules Namesandtitlesofkeyexecutives Disciplinaryprocedures Employees’titleanddepartment Employees’handbook Layoutofphysicalfacilities Safetysteps Probationaryperiod Products/servicesoffered Trainingavenues 2.Employeebenefits Counselling Payscales,paydays Insurance,medical,recreation,retirement Vacations,holidays Benefits Restpauses Totrainers 3.Introductions Toemployeecounsellor Tosupervisors Toco-workers Overviewofjobs 4.Jobduties Jobobjectives Joblocation Relationshipwithotherjobs Jobtasks Jobsafetyneeds 57 CUIDOLSELFLEARNINGMATERIAL(SLM)

(b) Socialization:Socialisationisaprocessthroughwhichanewrecruitbeginstounderstandandacceptt hevalues,normsandbeliefsheldbyothersintheorganisation.HRdepartmentrepresentativeshelpnew recruitsto“internalise theway things aredoneintheorganization”.Orientation helps the newcomers to interact freely with employees working at various levels andlearn behaviours that are acceptable. Through such formal and informal interaction and discussion,newcomers begin to understand how the department/company is run, who holds power and who doesnot, who is politically active within the department, how to behave in the company, what is expectedof them, etc. In short, if the new recruits wish to survive and prosper in their new work home, theymustsooncome to ‘knowthe ropes’. Orientationprogrammes areeffectivesocialisation toolsbecausetheyhelptheemployeestolearnaboutthejobandperformthingsinadesiredway. (c) Follow up: Despite the best efforts of supervisors, certain dark areas may still remain in theorientation programme. New hires may not have understood certain things. The supervisors, whilecoveringalargeground,may haveignoredcertainimportantmatters. The basic purpose of such follow up orientation is to offer guidance to employees on various generalas well as job related matters – without leaving anything to chance. To improve orientation, thecompanyshouldmakeaconsciousefforttoobtainfeedbackfromeveryoneinvolvedintheprogramme. There are several ways to get this kind of feedback i. e. through round table discussionswith new hires after their first year on the job, through in-depth interviews with randomly selectedemployeesand superiorsand throughquestionnaires SUMMARY  Sometimes a particular person is selected for a given job. Often more than one person may beselected forthejobsofsimilarnature.Inthesecondcase,individualemployeeshavetobeputunder individual supervisors with the approval of the latter. In the first case also, his approvalisalsonecessarybutit shouldbedoneearlyintheselectionprocess.  A proper placement reduces employee turnover, absenteeism and accident rates and improvesmorale.  Placement is the actual posting of an employee to a specific job. It involves assigning aspecific rank and responsibility to an employee. Placement is an important human resourceactivity.  Orientation or induction is the task of introducing the new employees to the organisation anditspolicies,proceduresandrules.  Induction is important as it serves the purpose of removing fears, creating a good impressionand actsasavalu ab les ourceofinfor mat ion .  Theprimarypurposeisto'sell'thecompanytothe newemployee sothathemayfeelproudofhis association with the company. Purpose and Need An employee have to work with fellowemployeesandhissupervisor.Forthishemustknowthem,thewaytheyworkandalsothe 58 CUIDOLSELFLEARNINGMATERIAL(SLM)

policies and practices of the organisation so that he may integrate himself with the enterprise.Any neglect in the area of, induction and orientation may lead to high labour turnover,confusion,wastedtimeandexpenditure. KEYWORDS/ABBREVIATIONS  Content:Thetopicscoveredinemployeeinductionprogrammearecalledcontents.  Follow- up:Itistheprocessoftakingfeedbackandprovidingguidanceduringinductionprogramme.  Induction:Introductionofapersontothejobandtheorganisation.  Induction Programme: The induction programme clarifies the terms and conditions ofemployment,communicatesspecificjobrequirementstotheemployeesandprovidesconfidencei nthecompanyaswellasin their own ability to accomplish the workassignedtothemeffectively.  Outplacement:Outplacementservicestendtostimulatelaid-offworkers to pursueretrainingopportunitiesandtorelocate.  Employee orientation:The process of introducingnew hires to their jobs, co- workers,responsibilities,andworkplace.  Employee turnover: Employee turnover is calculated by dividing the number of annualterminationsbytheaveragenumberofemployeesinagivenworkforce.  Placement:Actualpostingofanemployeetoaspecificjob– withrankandresponsibilitiesattachedtoit.  Socialisation:Theprocessthroughwhich the new recruit begins to understand andacceptthevalues,normsandbeliefsheldbyothersintheorganization. LEARNINGACTIVITY 1.Whatisthepurposeofinduction? ………………………………………………………………………………………………… …………………………………………………………………………………………………..2.Wha tisplacement?Howisitdifferentforinduction? .……………………………………………………………………………………………………….. ……………………………………………………………………………………………………….. UNITENDQUESTIONS(MCQANDDESCRIPTIVE) A. DescriptiveTypesQuestions 59 CUIDOLSELFLEARNINGMATERIAL(SLM)

1. Whatisplacement?Explainitsimportance. 2. Discussthestepstobeinvolvedintheinductionprocess. 3. Orientationisrequiredwhentheselectionpolicyisdefective.Whenemployeesareselectedproperly, theydonot needtobeoriented.Doyouagreeordisagree?Why? 4. Explaintheterms'placement'and'induction'.Outlinetheirobjectives. 5. Whatarethecomponentsofanemployeeinductionprogramme?Whyitisimportantinanorganizatio n? 6. Whatbenefitsdoyouthinkcansocialisationofferforthe(a)newemployee(b)organisation? B. MultipleChoiceQuestions 1. Inductionistheprocessthroughwhichanew employeeisintroducedtothejobandtheorganization. a. True b. False 2. Thebasicpurposeofinductionistocommunicatespecificjobrequirementstotheemployees,putthe mateaseandmakethemfeelconfidentabouttheirabilities. a. True b. False 3. Inductiondoesnotexplainabouttheobjectivesofacompany. a. True b. False 4. Inductiondoesnothelpanemployeetoadjustandadapttothenewdemandsofthejob. a. True b. False 5. Themainadvantageoftheinductionisthatitactsasavaluablesourceofinformation a. True b. False Answers: 1-a,2-a,3-b, 4-b, 5-a. REFERENCES  Aswathappa,K.(2002).HumanResourceManagement.NewDelhi:TataMcGraw-Hill.  Dessler,G.(2012).HumanResourceManagement.NewDelhi:Prentice-HallofIndia.  Rao,V.S.P.(2002).HumanResourceManagement:Textandcases.NewDelhi:ExcelBooks.  Decenzo,A.&RobbinsPStephen.(2012).Personnel/HumanResourceManagement.NewDelhi:Pre ntice-HallofIndia. 60 CUIDOLSELFLEARNINGMATERIAL(SLM)

 Ivancevich,MJohn.(2014).HumanResourceManagement.NewDelhi:TataMcGraw-Hill.  Mamoria,C.B.(2002).PersonnelManagement.Mumbai:HimalayaPublishingHouse.  MadhurimaLallandSakinaQasimZaidi,HumanResourceManagement,ExcelBooks.  RaoP.S.(2008),EssentialsofHumanResourceManagementandIndustrial.Relations,Textcasesand Games,HimalayaPublication  www.welcomestart.com/employee-induction-programme.cfm 61 CUIDOLSELFLEARNINGMATERIAL(SLM)

UNIT–7TRAININGANDDEVELOPMENT Structure LearningObjectivesIntroduction MeaningofTrainingandDevelopmentProce ssofTraining TrainingTypes MethodsofTrainingandDevelopment.Sum mary KeyWords/AbbreviationsLe arning Activity UnitEndQuestions (MCQand Descriptive)References LEARNING OBJECTIVES Afterstudyingthisunit,youwillbeableto:  Explainthemeaningoftraining&development  Describetheprocessoftraininganddevelopmentfunction  Identifythemethodsoftraininganddevelopment INTRODUCTION Every organization needs to have well trained and experienced people to perform the activitiesrequired to be undertaken. It is necessary to raise the skill levels and increase the versatilities andadaptability of employees to the requirements of an organization in the changing world. Inadequatejob performance results in a decline in productivity of changes. Job redesigning or a technologicalbreak-through require some type of training and development effort. In a rapidly changing society,training anddevelopment isnotonly an activity thatisdesirablebutalso anactivity that anorganizationmustcommitresourcesformaintainingaviableandknowledgeableworkforce. Alltypesofjobsrequiresomesortoftrainingforefficientperformance.Therefore,all theemployees, new andold, should be trained or retained. Every new employee regardlessof hisprevious training and experience needs to be introduced to the work-environment of his new Job andtaught how to perform specific tasks. Moreover, specific occasions for retraining arise when anemployeeistransferredorpromotedorwhenjobschange.Trainingisvaluabletothenewcomerin 62 CUIDOLSELFLEARNINGMATERIAL(SLM)

termsofbetterjobsecurityandgreateropportunityforadvancement.Askillthus,acquiredbythenewentr antthroughtrainingisanassetto theorganization. MEANING Trainingcomesnexttorecruitmentselectionandplacement.Itnormallyrelatestothejobassignedand is in form of guidance/instructions of performing the job safely and efficiently. It is necessaryand useful in the case of all categories of operative employees, supervisory staff and managers.Training raises their skills and creates confidence and ability to perform job efficiently. It alsofacilitates self-development and career development of employees. In fact, the main purpose oftraining is to develop the human resources within the organisation. Training is the watchword ofpresentdynamicbusinessworld.Trainingisnecessaryduetotechnologicalchangesrapidlytakingplace intheindustrialfield.New machines,newmethodsandnewtechniquesareintroducedintheproduction, marketing and other aspects of business. Training is a must for using new machinesandnewtechniquesin businessmanagement. Training is normally regarded as a short-term process which non-managerial/operative personnelacquire the technical knowledge and skills for efficient conduct of jobs assig ned. It leads toefficient and skilled behaviour of employees. Such training is necessary for rising overall efficientofanorganisationandalsoforachievingorganisationobjectives. Development focuses upon the activities that an organization employing the individual, or that theindividualispart of,maypartakeinthefuture,andisalmost impossibletoevaluate. Typical roles inthe field include executive andsupervisory/managementdevelopment,new - employeeorientation,professional-skillstraining,technical/jobtraining,customer-servicetraining, sales-and-marketing training, and health-and-safety training. Job titles may include vice-president of organizational effectiveness, training manager or director, management developmentspecialist, blended-learning designer, training-needs analyst, chief learning officer, and individualcareer- developmentadvisor. Talent development is the process of changing an organization, its employees, its stakeholders,and groups of people within it, using planned and unplanned learning, in order to achieve andmaintain a competitive advantage for the organization. Rothwell notes that the name may well bea term in search of a meaning, like so much in management, and suggests that it be thought of asselectiveattentionpaidtothetop10%ofemployees,either bypotentialorperformance. PROCESSOFCONDUCTINGTRAINING PROGRAMME: Training programme needs to be prepared and as perthe specific needs if the organisation.Secondly, training process/ programme needs to be implemented in an orderly manner, failingwhich the net result of training will not be positive/ effective. Training process is lengthy and timeconsuming.Itstartswiththeidentificationofareactuallyverifiedthoughevaluationtechnique. 63 CUIDOLSELFLEARNINGMATERIAL(SLM)

Thestepsinvolvedinthetrainingprocess/programmeareasnotedinthechartgivenbelow: 64 CUIDOLSELFLEARNINGMATERIAL(SLM)

1. IdentifyingTrainingNeeds: Discovering/identifying the training needs of an organisation is the first step in the systematictraining process/programme. All training activities should be related to the sp ecific needs of theorganisationandalsooftheindividualemployees.Thetrainingshouldstartaftercarefulassessment of the training needs, failing which training process will be misdirected and positivebenefits will not be available. The effectiveness of a training process can judge only with the helpof training needs identified in advance. For the identification of training needs, the gap betweenthe existing level knowledge, skills, performance and aptitudes of employees and the requiredlevels of knowledge,skills, performance and aptitudes should clearly specified.The program areasthat can be resolved through training process should also be clearly identified. Here, “the troublespots”aretobenotedw heretrainingmaybeneeded.Its houldbenotedthattrainingis notcure - alltechnique. Trainingneedscanbeidentifiedclearlythroughthefollowingtypesofanalysis: a) OrganisationAnalysis, b) OperationsAnalysis,and c) ManpowerAnalysis Organisation analysis relates to the determination of the organization’s goals, its resources andthe allocation as they relate to the organizational goals. The analysis (detailedstudy)of theorganizational goals established the framework within which training needs can be defined moreclearly. The purpose of organizational analysis is to determine where training emphasis should beplaced within the organization. The scope of organizational analysis is wide and includes: 1.Analysis of objectives, 2. Recourses utilization analysis, 3. Organization climate analysis, 4.Environmentalscanning. Operations Analysis focuses attention on the task or job regardless of the employee doing thejob. This type of analysis includes the determination with which the worker must perform the jobandthe specificworkerbehaviourrequiredinordertoidentifyjobperformthejob effectively.Thejobs are also analysed in orderto identify job contents, knowledge, skills, performance andaptitudes required and the work behaviour. As regards the job holder, particular attention shouldbe paid to the tasks to be performed, the methods to be used and the performance standardsrequired of employees. The purpose of operations analysis is to decide what should be taught toemployeesforpromisingresults. Manpoweranalysisreviews the knowledge, attitudes andskills of the worker in each positionand determines what knowledge, attitudes/skills he must acquire and what adjustments/alterationsinhisbehaviourhemustintroduceif he istocontributesubstantiallytotheattainmentoforganizational objectives. Thus, in this analysis, the employees to be trained and the changesrequiredintheknowledge,skillsandattitudesofanemployeearedeterminedforgivingtraining. 65 CUIDOLSELFLEARNINGMATERIAL(SLM)

Training can be effective (relevant and viable) if the three types of analysis (noted above) arecarried on continuously. In addition, the conclusions from this analysis should be integrated in aproperlydesignedand executedtraining programme. 2. SettingTrainingObjectivesandPolicy: After deciding the training needs, the next logical step in the training process is to set training anddevelopment objectives in concrete terms. In fact, without clearly set objectives/goals, it is notpossible to design a well-planned training programme which is to be executed and also evaluatedfor ju dg ing itseffectiveness.Training ob jectivesdecideds hou ld be tangib le, ver ifiedand measu rable.Someobjectives(e.g.skills)aretangiblewhilesomeothers(e.g.behaviouralobjectives)aredifferen tto stateprecisely. The overall training objective is to fill in the gap between the existing and the desired pool ofknowledge, skills and aptitudes. Defining training objectives in quantitative and qualitative termsisusefulfordesigning,executingandalsoforevaluationofthetrainingprogramme. Importantobjectivesoftrainingareasnotedbelow: a) Toimpartbasicknowledgeandskillsrequiredforperformingjobsefficientlyinthecaseofnewentr ants. b) To assist employees to function more effectively in their present jobs by providing themthe latest concepts, information and techniques and by developing skills whic h they need in theirareasofwork/activity. c) To build up a second line of capable, trustworthy and competent officers and make themreadytooccupy moreresponsiblepositionsasand whenrequired. d) To broaden the minds of senior managers through exchange of views, information andexperience (within and outside) so as to correct their narrow outlook developed due to overspecialization.Suchbroadmindedandmaturedmanagersgivepropertonetotheentireorganisationa nd raiseitsproductivity. 3. DesigningTrainingPolicy/Programme: After finalizing the objectives of training, the next step in the training process/programme isdesigning of training programmewhich acts as abaseof actual trainingtoemployees. Forachievingtrainingobjectives,anappropriatetrainingisabs olutelyessential.Thispolicyrep resentsthe commitment of top management toemployee training and development. Trainingpolicyinvolvesrulesandprocedurerelatingto trainingactivity. Suchpolicyindicatesthefollowing: a) Trainingpolicyindicatescompany’shonestintentiontotrainanddevelopitsemployees. b) Itguidesthedesignandexecutionoftrainingprogrammes. c) Itidentifiesthecriticalareaswheretrainingistobeprovidedonprioritybasisforachievi ngtheobjectives. d) Itprovidesappropriateopportunitiestoemployeesfortheirself- improvementanddevelopment. 66 CUIDOLSELFLEARNINGMATERIAL(SLM)

Designing training programme becomes easy, once training objectives and training policy areclearlydecided. 4. PreparingtheLearner: The learner is made to feel at home. He must not feel nervous at the training centre. Relevantintroduction about the training is provided. Training is linked with his nature of job. In order toinstall confidence, the learner may be asked to say few words about what he already knows aboutthejob. Presentingoperationsandknowledge: The success of training programme largely depends on the trainer’s ability to tell, show, illustrateand question by practice across of new knowledge and operations. The trainee should be madefamiliar with the sequence of the entire job. The important components of the job should beexplainedonebyone.Audio-visualaidscanbeprofitablyusedtomakethe learningprocesseasierfor trainees. Questions should be encouraged from the trainees. This will indicate the level ofunderstanding of the trainees. Oral or written tests can be conducted to determine success oftraining programme. The trainer is given free hand to find out whether the trainees have learnedwhateverhasbeen impartedthem. 5. Implementing/ExecutingtheTrainingProgramme: Afterdesigningthetraining programme,thesameistobeimplementingasperthedetailsdecided.This means actual imparting training to trainees. Programme implementing involves concreteactionon thefollowing points: a) Organizingtrainingandotherfacilitiesanddecidingthelocationoftrainingwheretrainingactivity isto bearranged. b) Arrangingthescheduleoftrainingprogrammewhichwillmaketraining effectiveandalsoofferconveniencetoparticipantsand trainers. c) Conductingtrainingprogrammeasperthedesignedprepared. d) Monitoringtheprocessofthetrainingprogramme/processaswellastheprogressoftrainee s. Activeparticipationoftraineesinthetraining programmeisa must.However,many managersarenotwillingtoparticipateactivelyinthetrainingprogramme.Suitableacademicbackground isalsonecessaryinthecaseinthecaseoftrainees. 6. Follow-upandEvaluationofTrainingProcess/Programme: This is the last step in the training process/programme. Here, the training programme is alreadycomplete and the trainees go back, to their departments or positions and start doing their workassigned. However, the management feels that training/development is a means not the end initself. Training is essentially for achieving certain objectives. Management will like to know actualresults/benefits of training. For this, follow-up of training in the form of evaluation of training isessential. Management spent huge money on training of employees and this expenditure shouldgivepositivereturnintermsofhigherefficiency,productivity,highmorale,cordialindustrial 67 CUIDOLSELFLEARNINGMATERIAL(SLM)

relationsandsoon.Forthis,criticalevaluationoftrainingprogrammeisessential.Thisindicatestheeffective nessoftraining. TRAININGTYPES Employeestrainingincludethefollowingtypes:  Induction/Orientation.  JobTraining.  TrainingforPromotion.  RefresherTraining.  CorrectiveTraining.  TrainingforOperativestaffandManagers. Every typeof traininghasspecificpurpose. Forexample, induction trainingisforproperintroduction of the organisation to newly appointed employees (operative staff and managers)whilejobtrainingisfordevelopingskillsrequiredforperformingspecificjobassigned.Refre sher training is for refreshing the professional skills and experience of managers whilecorrective training is for changing the behaviour and outlook of employees. Here, the employeeis motivated to improve/correct his behaviour. Finally, training is given to lower level employees(operative staff) and also to managers. This training is for improving their efficiency in the workassigned. Every type of training has its special features and benefits. Companies provide trainingtotheiremployeesfor theirself-developmentandalsofor thebenefitoftheorganisation. METHODSOF TRAINING There are a number of methods through which the trainees are trained. The methods normally usedfortrainingofoperativeandsupervisorypersonnelare classifiedinto“onthejob”and“off-the- job”trainingmethods. A. OntheJobTrainingMethods The worker by these methods learns to master the operations involved, on the actual job situation,u nd erthesuper visionofhis immed iateb osswhou ndertakesthere sp ons ib ilityofcondu ctingtrainin g.On-the-job training has the advantage of giving first-hand knowledge and experience under the actualworkingconditions.Theemphasisisplacedonrenderingservicesinthemost effectivemannerratherthanlearning howto performthejob. 1) On Specific Job: The most common or formal on-the-job training programme is training for aspecific job. Current practice in job training was first designed to improve the job performancethroughjobinstruction.On-the-job trainingisconductedthrough: a) Experience: This is the oldest method of on-the-job training. But as an exclusive approach, it iswasteful,timeconsumingandinefficient.Ithasbeenobservedthatitshouldbefollowedbyother 68 CUIDOLSELFLEARNINGMATERIAL(SLM)

training methods to make it more effective. On the-job problem-solving and colleague interactionswerepromptedasmostimportantforprofessionalgrowth. b) Coaching: On-the-job coaching by a superior is an important and potentially effective approach, ifsuperior is properly trained and oriented. The supervisor provides feed-back to the trainee on hisperformanceandoffershimsomesuggestionsforimprovement.Oftenthetraineeshareshisthoughts,vie ws and apprehensions about the duties and responsibilities with the boss and thus gets relief andrelieves him of his burden. A limitation of this method of training is that the trainee may not have thefreedom of opportunity to express his own ideas because the trainer happens to be his immediateboss. c) Understudy: The understudy method is considered a somewhat different approach from thosedescribed above, that a certain person is specifically designated as the heir-apparent. The understudymethod makes the trainee an assistant to the current job holder. The trainee learns by experience,observation and imitation of the style of the person he asked to work with. The trainee is informedaboutthepolicies,methods,techniquesetc.Theadvantageofthismethodisthattrainingisconducte din apracticalandrealisticsituation. 2) Position Rotation: The major objective of job rotation is the broadening of the background oftrainee in the organisations. This type of training involves the movement of the trainee from one jobto another. The trainee receives the job knowledge and gains experience from his supervisor ortrainer in each of the different job assignments. This method gives an opportunity to the trainee tounderstand the operational dynamics of a variety of jobs. There are certain disadvantages of thismethod. The productive work can suffer because of the obvious disruption caused by such changes.Rotations become less useful as specialisation proceeds, for few people have the breadth of technicalknowledgeandskillstomovefromonefunctionalareatoanother. 3) Special Projects: This is a very flexible training device. Such special project assignments growordinarily out of an individual analysis of weaknesses. The trainee may be asked to perform specialassignment; thereby he learns the work procedure. Trainees not only acquire knowledge about theassignmentactivities,butalsolearnhowtoworkwith others. 4) Selective Readings: Individuals in the organisation can gather and advance their knowledge andbackground through selective reading. The readings may include professional journals and books.Various business organisations maintain libraries for their staff. Many executives become membersof professional associations and they exchange their ideas with others. This is a good method ofassimilating knowledge. However, some executives claim that it is very difficult to find time to domuchreadingotherthanabsolutelyrequiredintheperformanceoftheirjobs. 5) Apprenticeship: Apprentice training can be traced back to medieval times when those intended oflearning trade skill bound themselves to a master craftsman to learn by doing the work under hisguidance. In earlier periods, apprenticeship was not restricted to ascertains, but was used in trainingfor the professions including medicine, law, dentistry, teaching, etc. Today’s industrial organisationsrequire large number of skilled craftsmen who can be trained by this system. Such training is 69 CUIDOLSELFLEARNINGMATERIAL(SLM)

eitherprovidedbytheorganisationoritisimpartedbygovernmentalagencies.Moststatesnowhave 70 CUIDOLSELFLEARNINGMATERIAL(SLM)

apprenticeship laws with supervised plans. Such training arrangements usually provide a mixedprogrammeofclassroomandjobexperience. 6) VestibuleSchools:Largeorganisationsarefrequentlyprovidedwithwhatisdescribedasvestibuleschool s, a preliminary to actual shop experience. As far as possible, shop conditions are duplicated,under the close watch of the instructors. Vestibule schools are widely used in training for clerical andoffice jobs as well as for factory production jobs. Such training is through shorter and less complexbut is relatively expensive. However, the costs are justified if the volume of training is large andhigh- standardresultsareachieved. B. Off-the-jobTrainingMethods In these methods, trainees have to leave their work-place and devote their entire time to thedevelopmentobjective. Inthesemethodsdevelopmentof trainees is primarily and any usableworkproducedduringtrainingissecondary.Sincethetraineeisnotinstructedbyjobrequirements,hec anplacehisentireconcentrationonlearningthejobratherthanspendinghistimeinperformingit. Thereisanopportunityforfreedomofexpressionforthetrainees.Off-the- jobtrainingmethodsareasfollows: 1) Special Course and Lectures: Lecturing is the most traditional form of formal training method.Special courses and lecturers can be organised by organisations in numerous ways as part of theirdevelopment programmes. First, there are courses which the organisations themselves establish tobe taught by members of the organisations. Some organisations have regular instructors assignedto their training and development departments. A second approach to special courses and lecturersis for organisations to work with universities or institutes in establishing a course or series ofcoursestobetaughtbyinstructorsoftheseinstitutions.Athirdapproachisfor theorganisationstosend personnel to programmes organised by the universities, institutes and other bodies. Suchcoursesareorganisedforashortperiodrangingfrom2-3daystoafewweeks. 2) Conferences: This is an old but still afavourite trainingmethod. In order to escape thelimitations ofstraig htlectur ing man yorganisationshavead optedgu ided - discussiontypeofconferences in their training programmes. In this method, the participants pool their ideas andexperiences in attempting to arrive at improved methods of dealing with the problems, which arecommon subject of discussion. Conferences may include buzz sessions that divide conferencesinto small groups of four or five for intensive discussion. These small groups then report back tothewholeconferencewiththeirconclusionsorquestions. 3) Case Studies: This technique, which has been developed and popularised by the HarvardBusiness School, USA is one of the most common forms of training. A case is written account oftrained reporter or analyst seeking to describe an actual situation. Cases are widely used in avariety of programmes. This method increases the trainee’s power of obser vation, helping him toaskbetterquestionsandtolookforabroaderrangeofproblems.Awell-chosencasemaypromote 71 CUIDOLSELFLEARNINGMATERIAL(SLM)

objectivediscussion,butthelackofemotionalinvolvementmaymakeitdifficulttoeffectanybasicchan geinthebehaviourandattitudeoftrainees. 4) Brainstorming: This is the method of stimulating trainees to creative thinking: this approachdeveloped by Alex Osborn seeks to reduce inhibiting forces by providing for a maximum of groupparticipation and a minimum of criticism. A problem is posed and ideas are sought. Quantityrather than quality is the primary objective. Ideas are encouraged and criticism of any idea isdiscouraged. Chain reaction from idea to idea is often developed. Later, these ideas are criticallyexamined.Thereisnotrainerinbrainstorming.Brainstorming franklyfavoursdivergence,andthisfact may be sufficient to explain why brainstorming is so little used yet in developing countrieswhere new solutions ought to carry the highest premium. It is virtually untried even though itsimmediateuse islimitedtonewideasonly,notchangein behaviour. 5) LaboratoryTraining:Laboratorytrainingaddstoconventionaltrainingbyprovidingsituations, which the trainees themselves experience through their own interaction. In this way,they more or less experiment the conditions on themselves. Laboratory training is more concernedabout changing individual behaviour and attitude. It is generally more successful in changing jobperformance than conventional training methods. There are two methods of laboratory trainingnamelysimulationandsensitivity trainingasexplainedunder: a) Simulation: An increasingly popular technique of management development is simulation ofperformance. In this method, instead of taking participants into the field there can be simulated inthe training session itself. Simulation is the presentation of real situation of organisations in thetraining session. It covers situations of varying complexities and roles for the participants.Itcreates a whole field organisation, relates participants through key roles in it, and asks them dealwith specific situations of a kind they encounter in real life. There are two common simulationmethodsoftraining:role-playingisoneandbusinessgameistheother. i) Role-playing:Role-playing is alaboratorymethod,whichcanbe usedrathereasily as asupplement to conventional training methods. Its purpose is to increase the trainees’skill indealing with other people. One of its greatest uses is in connection with human relations trainingbut it is also used in sales training as well. It is spontaneous acting of realistic situation involvingtwoormorepersonsunderclassroomsituations.Dialoguespontaneouslygrowsoutof thesituation, as it is developed by the trainees as singed to it. Other trainees in the group serve asobservers or critics. Since people take role every day, they are somewhat experienced in the art,and with a certain amount of imagination, they can project themselves into r oles other than theirown. By this method, a trainee can broaden his experience by trying different approaches. Role-playing also has weaknesses which partly offset its values. It is time consuming and expensive. Itrequ iresexp eriencedtrainersbecauseitcaneas ilyturns ourw ithouteffectived irection.Nevertheless, theseweaknessesdonotunderminethestrengthsofthismethod. 72 CUIDOLSELFLEARNINGMATERIAL(SLM)

ii) Gaming: Gaming has been devised to simulate the problems of running a company or even aparticular department. It has been used for a variety of trainingobjectives, from investmentstrategy, collective bargaining techniques, to the morale of clerical personnel. It has been used atall levels from the top executives to the production supervisors. Gaming is a laboratory method i nwhich role-playing exists but its difference is that it forces attention on administrative problems,while role-playing tends to emphasise mostly on interaction. Gaming involves several teams eachof which is given a firm to operate for a specified period. Usually, the period is a short one, sayone year or so. In each period, each team makes decisions on various matters such as fixation ofprice, level of production, inventory level, and so forth. Since each team is competing with others,each firm’s decisions will affect the results of all others. All the firm decisions are fed into acomputer, which is programmed to behave somewhat like a real market. The computer providesthe results and the winner is the team which has accumulated largest profit. In the light of suchresults,strengthsandweaknessesofdecisionsare analysed. b) Sensitivity Training:It is the most controversiallaboratory trainingmethod. Manyof itsadvocates have an almost religious zeal in their enhancement with the training group experience.Some of its critics match this fervour in their attacks on the technique. As a result of criticism andexperience, a somewhat revised approach, often described as “team development” training, hasappeared. It was first used by National Training Laboratories at Bethal, USA. The training groupsare called T-group. Sensitivity training is a small-group interaction under stress in an unstructuredencounter group which requires people to become sensitive to one another’s feeling in order todevelop reasonable group activity. T-Group has several characteristic features: (i) T-group isgenerally, small, from ten to twenty members; (ii) the group begins its activity with no formalagenda; (iii) the role of trainer is primarily to call attention from time t o time to the on- goingpr ocessw ithinthegr oup;and( iv)thepr oceduretendstod evelop introsp ectionandself - examination, withemotionallevelsofinvolvement.Theobjectivesofsuchtrainingareconcernforothers, increased tolerance for individual differences, less ethnic prejudice, understanding of agroupprocess,enhancedlisteningskills,increasedtrustandsupport. 6) ProgrammedInstruction: Thismethodhasbecomepopularinrecentyears.Thesubjectmatter tobelearnedispresentedinaseriesofcarefullyplannedsequentialunits.Theseunitsarearrangedfr om simple to more complex levels of instruction. The trainee goes through these units b yanswer ingqu estions or fillingtheb lanks.This method is,thus,expensiveandtime -consu ming. 7) E-learning: It allows trainees to improve their skills and knowledge at their own comfortablepace. The trainee participates actively and is able to upgrade skills in a timebound manner. Ofcourse, e-training requires top management support, uninterrupted internet access, investments inestablishinglearningportals andisnotsuitableforimpartingbehavioural skills totrainees.Technologybarriers like bandwidthwill restrictandhamper the effectiveness of e - learning.Learningeffectivenessmight nevermatchthelevel ofclassroomforalongtime. 73 CUIDOLSELFLEARNINGMATERIAL(SLM)

8) Behaviourally Experienced Training: Some training programmes focus on emotional andbehavioural learning. Here employees can learn about behaviour by role playing in which the roleplayers attempt to act their part in respect of a case, as they would behave in a real-life situation.Businessgames,cases,incidents,groupdiscussionsandshortassignments arealsousedinbehaviourally-experiencedlearningmethods.Sensitivitytrainingorlaboratorytrainingis anexample of amethod usedfor emotional learning. Thefocusof experientialmethods isonachieving,throughgroupprocesses, abetterunderstandingofoneselfandothers. SUMMARY  The term training refers to the acquisition of knowledge, skills, and competencies as aresult of the teaching of vocational or practical skills and knowledge that relate to specificusefulcompetencies.  It forms the core of apprenticeships and provides the backbone of content at institutes oftechnology.  Theprincipalobjectiveoftraininganddevelopmentdivisionistomakesuretheavailabilityofaskil ledandwillingworkforcetoanorganization.  In addition to that, there are four other objectives: Individual, Organizational, Functional,andSocietal.Traininganddevelopmentareasubsystemofanorganization.  The various types of training include: skills training, refresher training, cross functionaltraining,teamtraining,creativitytraining,diversitytraining,andliteracytraining.  Formal training methods include (i) on-the-job training covering job instruction training,coaching, mentoring, job rotation, apprenticeship training, committee assignments and (ii)off-the-job training includes lectures, conferences, simulation exercises and programmedinstruction.  It ensures that randomness is reduced and learning or behavioural change takes place instructuredformat.  Employees frequently develop a greater sense of self-worth, dignity and well-being as theybecomemorevaluableto thefirmandtosociety.  Generally, they will receive a greater share of the material gains that result from theirincreasedproductivity.Thesefactorsgivethemasenseofsatisfactionthroughtheachieveme ntofpersonaland companygoals. KEYWORDS/ABBREVIATIONS  Education:Knowledge attainment which develops or progresses, both as an inadvertentvirtue and as part of deliberate policy is understood as education. Education is more thaninformation sharing and imparting. It implies approximation to truth in the specific area oflearning. 74 CUIDOLSELFLEARNINGMATERIAL(SLM)

 Learning:Aprocessbywhichexperienceorpracticeresultsinarelativelypermanentchangeinbeha vior,orpotentialbehavior  Mentor: A person who is higher up the organization and who can provide career advice andsupportto alesssenioremployee.  On-the-job Training: Any training technique that involves allowing the person to learn thejobby actuallyperforming itonthejob.  Professional competencies: The capability to perform the duties of one’s profession ingeneral,or,toperformaparticularprofessionaltaskwithskillsofanacceptablequality.  Role Playing: A development technique requiring the trainee to assume a role in a givensituationandactoutbehaviorsassociated withthatrole.  Training: The acquisition of knowledge, skills, and competencies as a result of the teachingofvocationalorpracticalskillsandknowledgethatrelatetospecificusefulcompetencies.  TrainingNeedsAssessment:Atoolhastoidentifyneedsandgapsintheabilityofemployees in order to deliver desired results to an organization. The results suggest whichtraining courses or activities could be provided to improve their skills and work productivity.Thefocusisonneedsasopposed to desires.  Vestibule Training: A training method involving the creation of training facilities separatefromtheregularproductionareabutwiththesameequipment. LEARNINGACTIVITY 1.‘Motivationisbasictogoodtraining’Explain. ………………………………………………………………………………………………………………………… ………………………………………………………………………………………………………………………… 2CriticallyevaluatetheIndiansystemoftraining ………………………………………………………………………………………………………………………… ………………………………………………………………………………………………………………………… UNITENDQUESTIONS(MCQANDDESCRIPTIVE) A. DescriptiveTypesQuestions 1. Definethetermtraining.Explainthe methodsoftraining. 2. Discussvarioustypesoftraining.Whatprecautionsshouldonetakeforconductingatrainin gprogramme? 3. Stateandexplaintheprocessoftraining. 4. Howdoyouidentifythetrainingneedsofanorganisation? 5. HumanResourceDevelopmentisnothingbutlookingatthedevelopmentofmanpowerofanorga nisationinthelight ofitsrequirements.Justifyyouranswer. 75 CUIDOLSELFLEARNINGMATERIAL(SLM)

6. B. MultipleChoiceQuestions 1. Whichofthefollowingisnottrueabouttraining? a. Itisa short-durationexercise. b. Itistechnicalinnature. c. Itisprimarilyformanagersandexecutives. d. Itisconcernedwithspecificjobskills. 2. Inwhichtypeofanalysisarecorporategoalsandplanscomparedwiththeexistingmanpo werinventoryto determinethetrainingneeds? a. Organizationanalysis b. Operationanalysis c. Individualanalysis d. Noneoftheabove 3. Trainingneedanalysistakesplaceduringwhichphaseofthetrainingprocess? a. decidingwhattoteach b. decidinghowtomaximizeparticipantlearning c. choosingappropriateinstructionalmethods d. determiningwhethertrainingprogrammesareeffective 4. seekstoexaminethegoalsoftheorganisationandthetrendsthatarelikelytoaffectthesegoals. a. OrganisationalSupport b. Organisationalanalysis c. Personanalysis d. Keyskillabilitiesanalysis 5. Thetrainingofemployeeswhileperformingjobiscalled a. onthejobtraining b. offthejobtraining c. jobinstructiontraining d. Noneoftheabove Answers: 1-c,2-a,3-a, 4-b,5-a. 76 CUIDOLSELFLEARNINGMATERIAL(SLM)

REFERENCES  Aswathappa,K.(2002).HumanResourceManagement.NewDelhi:TataMcGraw-Hill.  Dessler,G.(2012).HumanResourceManagement.NewDelhi:Prentice-HallofIndia.  Rao,V.S.P.(2002).HumanResourceManagement:Textandcases.NewDelhi:ExcelBooks.  Decenzo,A.&RobbinsPStephen.(2012).Personnel/HumanResourceManagement.NewDelhi:Pre ntice-HallofIndia.  Ivancevich,MJohn.(2014).HumanResourceManagement.NewDelhi:TataMcGraw-Hill.  Mamoria,C.B.(2002).PersonnelManagement.Mumbai:HimalayaPublishingHouse.  DipakKumarBhattacharyya,HumanResourceManagement,ExcelBooks.  MadhurimaLallandSakinaQasimZaidi,HumanResourceManagement,ExcelBooks.  RaoP.S.(2008),EssentialsofHumanResourceManagementandIndustrial.Relations,Textcasesand Games,HimalayaPublication.  Hansra, BS andKumar B.(1997), TrainingMethodologyforHuman Resource Development.ClassicalPublishing Company,NewDelhi.  Lynton, RP and PareekU.(1990), Training forDevelopment,VistaarPublications, NewDelhi.  Lynton,RPandPareek U.(2000),Trainingfororganizationaltransformation(Part- 2),SagePublications,NewDelhi.  http://en.wikipedia.org/wiki/Training_and_development  http://www.businessballs.com/traindev.htm  http://www.eurojournals.com/ejsr_24_3_01.pdf 77 CUIDOLSELFLEARNINGMATERIAL(SLM)

UNIT–8PERFORMANCEAPPRAISAL Structure LearningObjectivesIntroduction MeaningImportanc e Process of performance appraisalMethodsofperformance appraisalSummary KeyWords/AbbreviationsLe arning Activity UnitEndQuestions (MCQand Descriptive)References LEARNING OBJECTIVES Afterstudyingthisunit,youwillbeableto:  Statethemeaningofperformanceappraisal.  Identifyimportanceofperformanceappraisal  Describetheprocessofperformanceappraisal.  Explainthemethodsofperformanceappraisal. INTRODUCTION In the organization context performance appraisal is an evaluation of personnel in a systematicway by superiors or others familiar with their performance. It is also described as merit rating inwhich one individual is ranked as better or worse in comparison to others. The basic purpose inthis merit rating is to determine an employee’s eligibility for promotion. However, performanceappraisal is a broad term and it may be used to ascertain the need for training and development,salaryincrease,transfer,discharge,etc.besidespromotion. In simple terms,performance appraisalmay be understood as the review of an individual’sperformance in an orderly way, the performance is measured by considering factors like jobknowledge,qualityandquantityofoutput,initiative,leadershipabilities,supervision,dependability, co-operation, judgment, versatility, health, and the like. Evaluation should not berestricted to past performance alone but, the future performances of the employee should also beassessed. 78 CUIDOLSELFLEARNINGMATERIAL(SLM)

MEANINGOFPERFORMANCEAPPRAISAL According to Flippo, a prominent personality in the field of Human resources, “performanceappraisal is the systematic, periodic and an impartial rating of an employee’s excellence in thematterspertainingtohispresentjobandhispotentialforabetterjob.” In the words of Yoder, “Performance appraisal refers to all formal procedures used in workingorganizations to evaluate personalities and contributions and potential of group members.” Thus,performance appraisal is a formal programme in an organization which is concerned with not onlythe contributions of the members who form part of the organization, but also aims at spotting thepotentialofthepeople.” Performance appraisal is a systematic and orderly evaluation of performance of employees of atwork by their superiors or others who are familiar with the techniques of performance appraisal.Such appraisal relates quantitative and quantitative aspects of job performance. Performance is tobe measured in terms of results and not in terms of efforts. Performance appraisal is one of theoldest and universal practices of management. Such appraisal is common in the case of bluecollaredemployees as well aswhitecollaredemployees (e.g.Bankemployees,governmentservants, etc.). Performance appraisal indicates the position of an individual employee in relationtojobexpectations. Performance appraisal is widely used practice in society. It is used universally in different aspectsof life. Teachers evaluate their students and even teachers are evaluated by their students. In theindustrialsector,employers/managementsevaluatetheperformanceoftheiremployeespe riodically for different purposes. Well-developed techniques are now used for performanceevaluation/appraisal of technical, managerial and professional personnel. Performance appraisal ispossible by using different methods. It offers many benefits to managements and employees.Performance appraisal is a lengthy process and needs to be completed properly. The process ofperformance appraisal helps the management and employee to know the level of employee’sperformance as compared to expected or standard perform ance. Performance appraisal acts as thebasis HRD as its facilities improvement in actual performance of employees through training anddevelopmentprogrammes. IMPORTANCE ItissaidthatperformanceappraisalisaninvestmentfortheCompanywhichcanbejustifiedbyfollow ingsign ificances: 1. Promotion: Performance Appraisal helps the supervisors to chalk out the 79 promotionprogrammesforefficientemployees.Intheseregards,inefficientworkerscanbepenali zed. CUIDOLSELFLEARNINGMATERIAL(SLM)

2. Compensation:PerformanceAppraisalhelpsinchalkingoutcompensationpackagesforemployees. Merit rating is possible through performance appraisal. Performance Appraisal tries togive worth to a performance. Compensation packages which include bonus, highsalary rates,extrabenefits,allowancesand pre-requisitesaredependentonperformanceappraisal. 3. EmployeesDevelopment:Thesystematicprocedureofperformanceappraisalhelpsthesupervisorst oframetrainingpoliciesandprogrammes.Ithelpstoanalysestrengthsandweaknessesofemployeessot ha tnewjobscanbedesigned forefficientemployees.Italsohelpsinframingfuturedevelopmentprogrammes. 4. Selection Validation: Performance Appraisal helps the supervisors to understand the validityand importance of the selection procedure. The supervisors realize the strengths and weaknessesofselectionprocedure.Improvementinselectionmethodscanbemadeinthisregard. 5. Motivation:Performanceappraisalservesasamotivationtool.Throughevaluatingperformanceofemploy ees,aperson’sefficiencycanbedeterminedifthetargetsareachieved.This motivatesapersonforbetterjob andhelpshimtoimprovehisperformanceinthefuture PROCESSOFPERFORMANCE APPRAISAL Therearesixstepsintheprocessofperformanceappraisalwhichareasfollow: 80 CUIDOLSELFLEARNINGMATERIAL(SLM)

Fig.8.1:Stepsintheperformanceappraisalprocess Letuslearnthesestepsindetail.  Establishing Performance Standards: The first step in the process of performance appraisal isthe setting up of the standards which will be used to compare the actual performance of theemployeesagainstthestandardsset.Thissteprequiressettingthecriteriatojudgetheperformance of the employees as successful or unsuccessful and the degrees of their contributiontotheOrganizationalgoalsandobjectives.Thestandardssetshouldbeclear,easilyunder sta ndable and measurable. In case the performance of the employee cannot be measured,greatcareshould betakento describethe standards.  Communicating the Standards: Once performance standards are set; it is the responsibility ofthe management to communicate the standards to all the employees of the Organization. Theemployees should be informed and the standards should be clearly explained to the employees.This will help them to understand their roles and to know what exactly is expected from them.Thestandards should also be communicated to the appraisers or the evaluators and if required,the standards can also be modified at this stage itself according to the relevant feedback from theemployeesortheevaluators.  Measuring theActual Performance:The mostdifficult partof the Performance appraisalprocess is measuring the actual performance of the employees, that is, the work done by theemployeesduringthespecifiedperiodoftime.Itisacontinuousprocesswhichinvolves 81 CUIDOLSELFLEARNINGMATERIAL(SLM)

monitoringtheperformancethroughouttheyear.Thisstagerequirescarefulselectionofappropriate techniques of measurement. It should be taken care that personal bias does not affecttheoutcomeoftheprocess.  Comparing the Actual with the Desired Performance: The actual performance is comparedwiththedesiredorthestandardperformance.Thecomparisontellsthedeviationsintheperform anceofthe employeesfromthe standardsset.Theresultcanshowtheactualperformancebeing more than the desired performance. On the other hand, the actual performance may be lessthan the desired performance depicting a negative deviation in the Organizational performance.Thisstepincludesrecalling,evaluatingandanalysisofdatarelatedtotheemployees’perfor mance.  DiscussingResults:Theresultoftheappraisaliscommunicatedanddiscussedwiththeemployees on one-to-one basis. The focus of this discussion is on communication and listening.The results, the problems and the possible solutions are discussed with the aim of problemsolving and reaching consensus. The feedback should be given with a positive attitude as this canhave an effect on the employees’ future performance. The purpose of the meeting should be tosolvetheproblemsfacedandmotivatetheemployeestoperformbetter.  Decision Making: The last step of the process is to take decisions which can be taken either toimprove the performance of the employees, take the required corrective actions, or the related HRdecisionslikerewards,promotions,demotions,transfers etc. METHODSOFPERFORMANCEAPPRAISAL So far, we have discussed the concept, objectives and significance of performance appraisal. Let usnow discuss the methods of performance appraisal under two popular approaches that are availableforperformanceappraisal.TheseareTraditionalapproachandModernapproach TraditionalApproach This approach has been used as just a method for determining and justifying the salaries of theemployees.Ithasbeenusedasatoolfordeterminingrewardsandpunishmentsforthepastperformance of the employees. This approach was a past oriented approach which focused only onthe past performance of the employees i.e. during a past specified period of time. This approach didnotconsiderthedevelopmentalaspectsoftheemployeeperformancei.e.histraininganddevelopment needs or career developmental possibilities. The primary concern of the traditionalapproach is to judge the performance of the Organization as a whole by the past performances of itsemployees. Therefore, it is also called as the overall approach. The following aresome of thetraditional performanceappraisalmethodsthatOrganizationsmayfollow: 1. Essay Appraisal Method: This traditional form of appraisal, also known as “Free Form method”involves a description of the performance of an employee by his/ her superior. The description is anevalu ationofthep erfor manceofanyind ividu a lbasedonthefactsand ofteninclud esexamp lesand 82 CUIDOLSELFLEARNINGMATERIAL(SLM)

evidences to support the information. A major drawback of the method is that it may suffer from thebiasoftheevaluator. 2. Straight Ranking Method: This is one of the oldest and simplest techniques of performanceappraisal. In this method, the appraiser ranks the employees from the best to the poorest on the basisoftheiroverallperformance. Itisquiteuseful foracomparativeevaluation. 3. Paired Comparison Method: In this method, comparison is made on each employee with allothers in the group. On the basis of the overall comparisons, the employees are given the finalrankings. 4. Critical Incidents Methods: In this method, the evaluator rates the employee on the basis ofcritical events and how the employee behaved during those incidents. It includes both negative andpositive points. The drawback of this method is that the supervisor has to note down the criticalincidentsandtheemployeebehaviorasandwhentheyoccur. 5. FieldReviewMethod: Inthismethod,aseniormemberoftheHRdepartmentoratrainingofficerdiscusses and interviews the supervisors to evaluate and rate their respective subordinates. A majordrawback of this method is that it is a very time-consuming method. This method helps to reduce thesuperiors’personalbias. 6. Checklist Method: The rater is given achecklist of the descriptions of the behavior of theemployees on the job. The checklist contains a list of statements on the basis of which the raterdescribesthejob performanceoftheemployees. 7. Graphical Rating Scale Method: In this method, an employee’s quality and quantity of work isassessed in a graphic scale indicating different degrees of a particular trait. The factors taken intoconsideration include both the personal characteristics and characteristics related to the on the jobperformance of the employees. For example, a trait like Job Knowledge may be judged on the rangeofaverage,aboveaverage,outstandingorunsatisfactory. 8. RatingScalesMethod:Ratingscalesconsistsofseveralnumericalscalesrepresentingjobrelatedperfor mance criterion such as dependability, initiative, output, attendance, attitude, etc. Each scaleranges from excellent to poor. The total numerical score is compared and final conclusions arederived. Advantages of rating scales are: adaptability, ease to use, low cost, every type of job can beevaluated and final conclusions can be derived, no formal training is required. However, rater’s biasisconsideredasthemajordisadvantageofthismethod. ModernApproach Themodernapproachtoperformancedevelopmenthasmadetheperformanceappraisalprocessmoreformal andstructured. Itincludes afeedback-processthathelps tostrengthen the relationshipsbetweensuperiorsandsubordinatesandimprovecommunicationthroughouttheOrganization.Itis a 83 CUIDOLSELFLEARNINGMATERIAL(SLM)

future oriented approach and is developmental in nature. This recognizes employees as individualand focuses on their development. The following are some of the modern performance appraisalmethodsthatOrganizationsmayfollow: 1. AssessmentCentre’s:Anassessmententretypicallyinvolvestheuseofmethodslikesocial/informal events, tests and exercises, assignments being given to a group of employees, toassesstheir competenciestotakehig herresp ons ib ilities inthefuture.G ene rally,emp lo yeesareg ivenan assignmentsimilar to the job theywouldbeexpected toperform if promoted. The trainedevaluators observe and evaluate employees as they perform the assigned jobs and are evaluated onjobrelatedcharacteristics.Themajorcompetenciesthatarejudgedinassessmentcentersareinterpersonal skills, intellectual capability, planning and organizing capabilities, motivation, careerorientationetc.Assessmentcentersarealsoaneffectivewaytodeterminethetraininganddevelopment needsofthetargetedemployees. 2. HumanResourceAccountingMethod:HumanresourcesarevaluableassetsforeveryOrganization. Human resource accounting method tries to find the relative worth of these assets intermsof money.InthismethodthePerformanceappraisaloftheemployeesisjudgedintermsofcostand contribution of the employees. The cost of employees includes all the expenses incurred on themlike their compensation, recruitment and selection costs, induction and training costs etc. whereastheir contribution includes the total value added (in monetary terms). The difference between the costand the contribution will be the performance of the employees. Ideally, the contribution of theemployeesshouldbegreaterthanthecostincurredonthem 3. Management by Objectives (MBO): MBO can be described a process whereby the employeesand the superiors come together to identify common goals. The employees set their goals to beachieved,thestandardstobetakenasthecriteriaformeasurementof theirperformanceandcontribution and deciding the course of action to be followed. The essence of MBO is participativegoal setting, choosing course of actions and decision making. An important part of the MBO is themeasurement and the comparison of the employee’s actual performance with the standards set.Ideally, when employees themselves have been involved with the goal setting and choosing thecourseofactiontobefollowedbythem,theyaremorelikelytofulfilltheirresponsibilities. 4. Balance Score Card: The Balanced scorecard – an approach given by Kaplan and Nortonpr ovidesaframew or kofvar ious measurestoensuret hecomp leteandb alanced view oftheper for manc e of the employees. Balanced scorecard focuses on the measures that drive performance.The balanced scorecard provides a list of measures that balancethe Organizations internal andprocessmeasureswithresults,achievementsandfinancialmeasures. 5. 360DegreeFeedback Appraisal:Itis also knownas‘multi-raterfeedback’,is themostcomprehensive appraisal where the feedback about the employees’ performance comes from all thesources thatcomeincontactwiththeemployeeonhisjob.360-degreerespondentsforanemployee 84 CUIDOLSELFLEARNINGMATERIAL(SLM)

can be his/her peers, managers (i.e. superior), subordinates, team members, customers, suppliers/vendors. Anyone who comes into contact with the employee and can provide valuable insights andinformation or feedback regarding the “on-the-job” performance. The 360-degree appraisal has fourintegralcomponents:Selfappraisal,Superior’sappraisal,Subordinates’appraisalandpeer’sappraisal. Self-appraisal gives a chance to the employee to lookat his/herstrengths andweaknesses, hisachievements, and judge his own performance. Superior’s appraisal forms the traditional part of the360-degree performance appraisal where the employees’ responsibilities and actual performance israted by the superior. Subordinates appraisal gives a chance to judge the employee on the parameterslike communication and motivating abilities,superior’s ability to delegate the work, leadershipqualities etc. The correct feedback given by peers can help to find employees’ abilities to work in ateam,co-operationandsensitivitytowardsothers. SUMMARY PerformanceAppraisalisthesystematicevaluationoftheperformanceofemployeesandtounderstand the abilities of a person for further growth and development. It also assesses the potentialof candidates for further development. The main objective of the performance appraisal is to rewardthose who are working efficiently and honestly in the Organization. At the same time, it also aims atelimin ating those who are inefficient and unfit to carry out their responsibilities. The system ofperformance appraisal is useful to the Organizations not only to identify and rate employees onperformance levels but also to allocate human resources optimally and efficiently and develop thedesired competencies in them. An Organization comes across various problems and challenges ofperformance appraisal in order to make a performance appraisal system effective and successful.There are six steps in the process of performance appraisal which are: Establishing PerformanceStandards, Communicating the Standards, Measuring the Actual Performance, Comparing the Actualwith the Desired Performance, Discussing Results and Decision Making. Methods of performanceappraisal have been discussed under traditional approach and modern approach. Methods undertraditional approach are: Essay Appraisal Method, Straight Ranking Method, Paired ComparisonMethod, Critical Incidents Methods, Field Review Method, Checklist Method, Graphical RatingScaleMethod,andRatingScalesMethod.Methodsundermodernapproachare:AssessmentCenters, Human Resource Accounting Method, Management by Objectives (MBO), Balance Score Card and360DegreeFeedbackAppraisal. KEYWORDS/ABBREVIATIONS  Peersarepersonsorcolleagueswhohaveequalstandingwithanotherorothersintermsofrank,des ignation or age. 85 CUIDOLSELFLEARNINGMATERIAL(SLM)

 Ranking is a relationship between a set of items such that, for any two items, the first iseither‘rankedhigherthan’,‘rankedlowerthan’or‘rankedequalto’thesecond.  Rating is a systematic estimation of the degree of some attribute based on a numerical ordescriptive continuum.  Assessment center is a comprehensive standardized procedure in which multiple assessmenttechniquesareusedtoevaluateindividualemployeefor varietyofmanpowerdecisions.  Balance score card measures employee performance by making balance with Organizationinternalprocessesandmeasurestheresultsachieved.MBOInvolvessettingspecificm easurablegoalswitheachemployeeandthenperiodicallyreviewingtheprogressmade. LEARNINGACTIVITY 1. Whydoescurrentthinkingindicatethatappraisalfortrainingshouldbeconductedseparatelyfromapprais alforpromotion? ……………………………………………………………………………………………………….… ……………………………………………………………………………………………..................... 2. Doyouthinkthatcontinuousperformancemonitoringincreasestheemployeeproductivityorviceversa? ……………………………………………………………………………………………………….… ……………………………………………………………………………………………..................... UNITENDQUESTIONS(MCQANDDESCRIPTIVE) A. DescriptiveTypesQuestion 1. Whatisperformanceappraisal?BeinganHRmanagerhowwouldyoudevelopaperformanceplan. 2. Describeindetailtheprocessofperformanceappraisal. 3. \"Someoftheso- calledmodernindustriesstillfollowtraditionaltechniquesofperformanceappraisal\".Justifywith validreasons 4. Listdownmethodsofappraisal?Whichmethodwouldyoupreferasamanageroffirm?Why? 5. Evaluatethesignificanceofperformanceappraisalinanorganization.Howwouldyou makeitmoreeffective? B. MultipleChoiceQuestions 1) Aligningandevaluatingtheemployee'sperformancewiththatofcompany'ssetgoalsiscalled a. appraisalmanagement b. performancemanagement 86 CUIDOLSELFLEARNINGMATERIAL(SLM)

c. hierarchyofmanagement d. off-the-jobtraining 2) Whentheratingsarecollected from supervisors,customersandpeersitiscalled a. 350-degreefeedback b. 320-degreefeedback c. 360-degreefeedback d. 380-degreefeedback 3) Performancemanagementshouldbeseenasa processwhichisa: a. Onceayeartask b. Twiceayear activity c. On-goingprocessorcycle d. Isengagedinwhentheappraisalsarecarriedout 4) Aperformanceratingsystemis: a. Agradeorscorerelatingtooverallperformance b. Detailsoftheextenttowhichworkobjectivesweremet c. Lastyear’sobjectives d. Achievementsduringtheyear 5) PerformanceAppraisalisdefinedasproductofability&motivation. a. TRUE b. FALSE Answers: 1-b,2-c,3-c,4-a,5-a REFERENCES  Aswathappa,K.(2002).HumanResourceManagement.NewDelhi:TataMcGraw-Hill.  Dessler,G.(2012).HumanResourceManagement.NewDelhi:Prentice-HallofIndia.  Rao,V.S.P.(2002).HumanResourceManagement:Textandcases.NewDelhi:ExcelBooks.  Decenzo,A.&RobbinsPStephen.(2012).Personnel/HumanResourceManagement.NewDelhi:Pre ntice-HallofIndia.  Ivancevich,MJohn.(2014).HumanResourceManagement.NewDelhi:TataMcGraw-Hill.  Mamoria,C.B.(2002).PersonnelManagement.Mumbai:HimalayaPublishingHouse. 87 CUIDOLSELFLEARNINGMATERIAL(SLM)

 BiswajeetPattanayak, Human ResourceManagement,New Delhi,PrenticeHall of India,2006.  ArmstrongMichael:AHandbookofHumanResourceManagement,KoganPageLtd.,London. 91PerformanceAppraisal  WayneF.Cascio,ManagingHumanResources,TataMcGraw- HillPublishingCompanyLimited,NewDelhi,2005.  SrinivasR.Kandula,HumanResourceManagementinPractice– with300Models,TechniquesandTools,Prentice- HallofIndiaPrivateLimited,NewDelhi,2003.  https://www.yourarticlelibrary.com  https://www.managementstudyguide.com  www.performancemanagementguide.com/  http://en.wikipedia.org/wiki/Performance_appraisal  http://www.performance-appraisal.com/intro.htm . 88 CUIDOLSELFLEARNINGMATERIAL(SLM)

UNIT-9INDUSTRIALRELATIONS Structure LearningObjectivesIntroduction Concept of IRApproachesofIR. Summary KeyWords/AbbreviationsLe arning Activity UnitEndQuestions (MCQand Descriptive)References LEARNING OBJECTIVES Afterstudyingthisunit,youwillbeableto:  Explaintheconceptofindustrialrelations  Identifytheapproachesofindustrialrelations. INTRODUCTION Industrial relations (IR) have become one of the most complex and complicated problems ofmodernindustrialsociety.Thetermindustrialrelationsexplaintherelationship betweenemployeesandmanagementwhichstemdirectlyorindirectlyfromunion-employerrelationship. Industrialrelationsaretherelationshipsbetweenemployeesandemployerswithintheorganizationalsetti ngs.Thefieldofindustrialrelationslooksattherelationshipbetweenmanagementand workers,particularly groups ofworkers representedby a union.Industrialrelations are basically the interactions between employers, employees and the government, and theinstitutionsandassociationsthroughwhichsuchinteractionsaremediated. The term industrial relations have a broad as well as a narrow outlook. Originally, industrialrelations were broadly defined to include the relationships and interactions between employers andemployees.Fromthisperspective,industrialrelationscoverallaspectsoftheemploymentrelationshi p, including human resource management, employee relations, and union- management(or labour) relations. Now its meaning has become more specific and restricted. Accordingly,industrial relations pertain to the study and practice of collective bargaining, trade unionism, andlabour- management relations, while human resource management is a separate, largely distinctfield that deals with non-union employment relationships and the personnel practices and policiesofemployers. 89 CUIDOLSELFLEARNINGMATERIAL(SLM)

The term 'Industrial Relations' comprises of two terms: 'Industry' and 'Relations'. \"Industry\" refersto\"anyproductiveactivityinwhichanindividual(or agroupofindividuals)is(are) engaged\".By\"relations\" we mean \"the relationships that exist within the industry between the employer and hisworkmen.\" Harmoniousindustrialrelationsbetweenlabourandmanagementareessentialto achieveindustrial peace and higher productivity. When the relationship between the parties is not cordial,discontentment develops and conflicts erupt abruptly. It is not always easy to put out the fires withthe existing dispute-settlement-machinery, created by the government. Hence both labour andmanagement must appreciate the importance of openness, trust and collaboration in their day-to-daydealings. CONCEPTOFINDUSTRIAL RELATIONS There is no unanimity on the meaning and scope of industrial relations since different terms, such aslabour-management relations, employer-employee relations, union-management relations, personnelrelations, human relations, are in use and are used synonymously. In its stricter sense, the term“industrial relations” means relationship between management and workmen in a unit or an industry.In itswiderconnotation, itmeans theorganisation andpracticeofmulti-pronged relationshipsbetween workers and management, unions and workers, and the unions and managements in anindustry. Dale Yoder defines it as a “whole field of relationship that exists because of the necessarycollaborationofmenandwomenintheemploymentprocessofanindustry.” Tead and Metcalfe observed that “industrial relations are the composite result of the attitudes andapproaches of employers and employees towards each other with regard to planning, supervision,direction and coordination of the activities of an organization with a minimum of human efforts andfrictions with an animating spirit of cooperation and with proper regard for the genuine well-being ofallmembersoftheorganization.” According to Allan Flanders, “the subject of industrial relations deals with certain regulated orinstitutionalized relationships in industry. Personal or in the language of sociology, “unstructured”relationships have their importance for management and workers, but they lie outside the scope of asystemofindustrialrelations.” ProfessorCleggdefinesindustrialrelationsinthebroadesttermsasencompassingtherulesgoverning employment together with the ways in which the rules are made and changed and theirinterpretationandadministration.” Toputitsimply,industrialrelationisthatpartofmanagementwhichisconcernedwiththemanpower of the enterprise. It is, thus, the relation created at different levels of the organisation bythe diverse, complex and composite needs and aspirations and attitudes and approaches among theparticipants.Itisahighlycomplexanddynamicprocessofrelationshipsinvolvingnotonlyemployeesand managements,butalsotheircollectiveforumsandthe State.Inanorganisation,these 90 CUIDOLSELFLEARNINGMATERIAL(SLM)

relationships may be personal and informal at one end, and may be highly institutional with legallyprescribedstructuresandprocedures,attheotherend. Thefourmainparties who are actively associatedwith any industrial relations system are theworkers,themanagements,theorganisationsofworkersandmanagements,andtheState.Fundamentally , the term industrial relations refer to an organised relationship between two organisedparties representing employers andemployees regarding matters of collective interest. With thegrowthofprofessionalmanagement,theindustrialrelationsscene isbeingrepresentedbytherepresentatives of both the employers and the employees. But the scope of industrial relations cannotmerely be confined to common labour-management relations or employer- employee relations. It is acomprehensive and total concept embracing the sum total of relationships that exists at various levelsof the organisational structure. More specifically, it connotes relations among workers themselveswithin the class of employees, relations among the managements within the managerial class, andrelations between the two distinct classes of workers and management. It denotes all types of inter-group and intragroup relations within industry, both formal and informal. It consists of a complexnetwork of relations that arise out of functional interdependence between workers and managementsandbetweenindustrialorganisationsandsociety. Industrialrelationsareasocialconceptbecauseitdealswith socialrelationshipsin differentwalksof life.Itisalsoarelativeconceptbecauseitgrowsandflourishesorstagnatesanddecays inaccordance with the economic, social and political conditions prevailing in a society and the lawsmade by the state to regulate them. The advances made in the field of science and technology alsoinfluencethestateof industrialrelations. There is greaterdivergence inindustrial relationssystems asaresult ofthedivergent economic, social,politicalandculturalenvironments OBJECTIVESOFINDUSTRIALRELATIONS: The basic objective of industrial relations is to bring about healthy relations between employersandemployees.Inaddition,theotherobjectivesinclude:  Avoiding industrial conflicts in the form of go slow, strikes, lock-outs, demonstration andsoonanddevelopingharmoniouslabourmanagementrelationsforthebenefitof employees,e mployersandthesocietyatlarge.  Safeguarding the interests of labour and management through mutual understanding andgoodwillamongallsectionsconnectedwiththeproductionprocess.  Introducingtheconceptofindustrialdemocracyatthelevelofindustrialunit.  Raisingindustrialproductionandproductivitytoahigherlevel.  Maintainingindustrialpeacethroughcollectivebargainingandparticipativemanagement. According to the ILO, industrial relations comprise relationships between the State on the onehand and the employers’ and employees’ organisations on the other hand and the relationshipamongtheoccupationalorganisationsthemselves. 91 CUIDOLSELFLEARNINGMATERIAL(SLM)

APPROACHESOFINDUSTRIAL RELATIONS The problems posed in the field of industrial relations cannot be solved within the limits of a singlediscipline, and hence it is bound to be inter-disciplinary in approach. It is an interdisciplinary fieldthat includes inputs from sociology, psychology, law, history, politics, economics, accounting andother elements of management studies. Industrial relations, then, has a dual character, it is both aninterdisciplinary field and a separate discipline in its own right (Adams 1988). It is much more of anart than it is a science. Industrial relation is largely an applied field concerned with practice and 8Conceptual Framework of Employment Relations the training of practitioners rather than with theoryand measurement. It is thus related to the basic social sciences as engineering is to the physicalsciences or medicine is to the biological sciences. Any problem in industrial relations has to beapproached on a multi-disciplinary basis, drawing from the contributions of the above disciplines.The causes of an industrial dispute may be, by nature, economic, social, psychological or political oracombinationofanyofthem.Laboureconomicsprovidesaneconomicinterpretationoftheproblems growing out of employer-employee relationship. Industrial sociology explains the s ocialbackground of the workers, which is essential for the understanding of industrial relations. Industrialpsychology clarifies certain concepts and provides empirical tools in areas such as recruitment,placement, training, fatigue and morale. For instance, attitudes and morale surveys are powerful toolsto discover causes of industrial strife and to evolve methods for their prevention. Labour laws andtheir interpretation by tribunals and courts contributes to the growth of industrial jurisprudence.Application of quantitative analysis and labour statistics throws light on the exact state of industrialrelations during a particular period. Political aspects also assume importance in industrial relations,particularly in a developing economy dominated by centralised planning. In fact, the growth ofindustrial relations as ascientific discipline depends upon the extent towhich it integrates thecontribution of established disciplines in the social sciences. There is no country where industrialrelation is entirely a matter of tradition or custom nor is there a country where the employers, theworkers or their organisations and the government do not at all interact to build up the country’sindustrial relations system. It has been a mixture of traditions, customs and a w eb of action, reactionand interaction between the parties. The industrial relations system may be conceived at differentlevels, such as national, regional, industrial and workplace. The concept of the system has beeninfluential in establishing industrial relations as a discipline in its own right. The concepts of thesystem approach are operationally definable.An industrial relationssystemmaybedefined ascomprising the totality of power interactions of participants in a workplace, when these interactionsinvolveindustrialrelationsissues.Itisviewedasanintegralandnon- separablepartoftheorganisational structure and its dynamics. An industrial relations system includes all the individualsand institutions that interact at the workplace. Regardless of the level at which the system exists, anindustrial relations system can be viewed as having three components: (1) a set of individuals andinstitutionsthatinteract;(2)acontextwithinwhichthe interactiontakesplace;and(3)anoutputthat 92 CUIDOLSELFLEARNINGMATERIAL(SLM)

servestogovernthe futurerelationshipoftheparties.Thecomponentsofindustrialrelationssystemare: a. Participants: The participantsinthe industrial relationssphere arecomposedof dulyrecognisedrepresentativesofthepartiesinteractinginseveralroleswithinthesystem. b. Issues: The power interactions of the participants in a workplace create industrial relationsissues. These issues and the consequences of power interactions find their expression in awebofrulesgoverningthebehaviourofthepartiesataworkplace. c. Structure: The structure consists of all forms of institutionalised behaviour in a system.The structure may include collective procedures, grievances, and settlement practices.Legal enactments relevant to power interactions may also be considered to be a part of thestructure. d. Boundaries: In systems analysis, it is possible to find an issue which one participant istotally indifferent to resolving while, at the same time, the other participant is highlyconcernedaboutresolutionof thesame.Theseissuesmayservetodelimitsystemsboundaries. Atleasttherearethreemarkedfeaturesofthesystemsapproach.Theyare: a. Inter-disciplinary Character:Sometheoristsregardthesystemsapproachto beuniversallyapplicable to all human relationships, in small or large units. Its flexibility of applicationinthebehaviouralscienceshasbeenaptlydemonstrated. b. Suitability to Work Organisation and their Sub-systems: The adaptability of the s ystemsapproachtoorganisationisals oafrequentlydiscussedtra it.Thissprings fromthefactthat organisations,andtosomeextenttheir sub-systems,arerationalandpurposeful. c. Dynamic Aspects: A systems approach is oriented towards the study of interactions andchangingrelations. Basedonvariouscomponentsandfeaturesofindustrialrelations,anumberofwritershaveattemptedtoproducevar iousfunctionalapproachestoindustrial relations,whicharegivenbelow: 1. UnitaryApproach 2. SystemsApproach 3. PluralisticApproach 4. MarxistApproach 5. StrategicManagementApproach 6. PsychologicalApproach 7. SociologicalApproach 8. HumanRelationsApproach 9. Socio-EthicalApproach 10. GandhianApproach 11. Dunlop’sApproach 12. V.VGiriApproach 93 CUIDOLSELFLEARNINGMATERIAL(SLM)

Approach1.Unitary: The basic assumption in unitary approach is that everyone benefits when the focus is on commoninterest and promotion of harmony. IR is grounded on mutual cooperation, individual treatment ofemployees,teamwork, andsharedgoals.Workplaceconflict isseen as atemporary aberrationresu lting fromp oor managementofemp loyees,orthemis matchbetw eenemp loyeesan d organizat ionalculture. In other cases, employees cooperate with management and accept their right to manage the affairs ofthe organization. The earlier theorists have emphasized employee-oriented organizational processestointegratethe employeeswiththeorganization. This approach appears to be good in its orientation as it emphasizes employees in the organization.However, ithasfailedtoconsiderdifferentvariablesaffectingIRwithinindividualorganizationsandthe total industrial sector. Various such approaches like paternalistic and philanthropic have failedbecause of the wrong assumptions made about the work behaviour of employees. This approach hasbeencriticizedonthebasisthatitismanipulativeandexploitative. Approach2.Systems: The systems approach of IR was developed by John Dunlop in 1958. He has presented a systematictheoreticalorientationtothestudyofindustrialrelations.Beforehim,othershavetheorizedindust rialrelations in terms of trade union purpose and collective bargaining but Dunlop has taken it in morecomprehensiveway.Therefore, heisregardedasfatherofindustrialrelations. According to Dunlop, industrial relations system is a distinctive subsystem of society on the samelogical plane as an economic system. Like the economic system, it is an abstraction. There are noactorswhoseactivityisconfinedsolelytotheindustrialrelationsoreconomicsphere. Neither an economic system nor an IR system is designed simply to describe in factual terms the realworldoftimeandspace.Bothareabstractionsdesignedtohighlightrelationships . TherearethreesetsofactorsandtheirinterrelationshipswhicharecentraltounderstandingtheIRsystem: i. Ahierarchyofmanagers; ii. Ahierarchyofworkerswhoareneverwithoutinformalorganizationeveniftheyarenotformallyorganize dinatradeunion; and iii. Specializedgovernmentagenciesconcernedwiththerelationshipbetweenworkersandtheirorganizat ions. 94 CUIDOLSELFLEARNINGMATERIAL(SLM)

By interacting with each other, these three sets of actors establish rules which govern the workplaceand the work community. Dunlop has observed that “just as the satisfaction of wants through theproductionandexchangeofgoodsandservicesisthelocusofanalysisintheeconomicsubsystem,sothe establishment and administration of these rules is the major concern or output of the industrialrelations subsystem.” It is these rules and procedures for their application which distinguish one IRsystemfromothers. Dunlop has emphasized that three actors of IR are not free. Their interactions are influenced byforces intheenvironment,themostimportantof thembeingtechnology,markets,andpowerrelationsinthewidersociety.Hefurther,arguesthatanIRsystemi sessentiallystableandcohesive. While there is a conflict of interests between the actors, there is also a body of common ideas thateach actor holds towards the place and function of the others in the system. This shared ideology andcompatibilityofviewsenablesthemtoresolveconflict byframingappropriaterules. Dunlop’s approach of IR has provided a much wider frameworkfor developing IR strategy inorganizations. However, this approach has been criticized both in terms of conceptual framework aswell as its application in practice. For example, Dunlop’s model works fairly well as long as theenvironmentandthepracticesofthepartiesremainstable. However,thesystemsframework,withitsstabilityandsharedconsensusamongtheactorsconcerning their respective roles, has a difficult time explaining the dynamic aspects of industrialrelations. Approach3.Pluralistic: The basic emphasis of pluralistic approach is that an organization is a coalition of interested groupsheaded by the top management which serves the long-term needs of the organization as a whole bypaying due concern to all the interest groups affected — employees, shareholders, consumers, andsociety. In this process, there is possibility that the management may pay insufficient heed to the needs andclaims of employees, and they may unite to bring collaborative force for the acceptance of theseneeds and claims. Thus, the stability in IR system is the product of concessions and compromisesbetweenmanagementandunions. The pluralistic approach assumes that labour and management have many conflicting interests, butsuch conflicts are not only natural but even necessary because it is only competing socialforceswhich can constrain and check the exercise of absolute power. The role of State is quite 95 CUIDOLSELFLEARNINGMATERIAL(SLM)

limited in IRsystemandshouldnothaveexcessiveinfluenceonanypartytoIR. 96 CUIDOLSELFLEARNINGMATERIAL(SLM)

The stress is on a negotiated order, a voluntary reconciliation between opposing forces with minimalintervention from external agencies. For example, through collective organization in trade unions,employees mobilize themselves to meet management on equal terms to negotiate the terms of theircollaboration. This approach has certain basic limitations. The basic assumption that in a free society, labour andmanagement will arrive at an acceptable negotiated term does not hold good. This may be a costlyaffair, at least, in the short-run. This was substantiated by the fact that there were widespread strikesduringmid-1960sandearly1970sinEnglandwherethisapproachwasevolvedandpractised. A society may be free but power distribution is not necessarily equal among the competing forces.Therefore, some kind of State intervention has become necessary to bring tw o parties involved in aconflictonequalterms. Approach4.Marxist: Like pluralistic approach,Marxist approach also treats thatlabour and managementconflictisinevitable. However, this approach differs from the earlier one so far as the cause of conflict isconcerned; it ascribes that the conflict is the product of the capitalist society which is based onclasses. The two classes — labour and capital — have essentially different interests in an organization, andthese interests are conflicting. The objective of capital has been to enhance productivity by gainingcontrol over the labour process. The wages of the labour are seen as a cost and, therefore, makesattempt to minimize it. Labour, being a factor of production, should be hired so long as it cangenerate profit. The labour-capital conflict cannot be solved by the existing systems of bargaining, participation,cooperation, and other means of building harmonious relationships; rather, it can be solved by thechangeinthecapitalisticsystemasawhole.ThishasledtotheemergenceofnewIR systemsinmostofthesocialistcountries. At many other places, it has generated the use of coercive power such as Gherao, etc. by the workersagainst management. The Marxist approach of IR may have some merits but it has somewhat limitedscopeincountriesnot basedonsocialismaspractisedincommunist bloc. Approach5.StrategicManagement: Strategic management approach to industrial relations is comparatively new developed in 1980s inUSAandhasspreadthroughouttheworldinaveryshortperiodoftime.Thisapproachputsquestion 97 CUIDOLSELFLEARNINGMATERIAL(SLM)

about the relevance of the two institutions of IR — trade unions and collective bargaining in thechangedsituation. Faced with the new situation of globalization of world economy, the American companies started tohavearelookattheiroldIRstrategiesinwhichmajorissuesconcerningtradeunionsandmanagementusedto besettledthrough collectivebargaining. The new competitive environment necessitated proactive actions in which the collective bargainingyielded place to decentralized bargaining; bargaining for more wages and benefits to concessionalbargainingin whichsuch benefitswereto bereducedin orderto makean organizationcost- effective;emphasis on multi-skilling, flexible deployment, and greater involvement of workers in improvingproductivityandperformance;andconsiderableimprovementinworkplacetoyieldbetterresults. The US companies have adopted the strategy of locating their plants in union-free regions anddiscouraged workers to form unions. Workers also realized the benefits of the new system whichencouraged to earn more by developing new skills rather than going through unionized activities toearnmore.Theybecamemoreinterestedincareerdevelopment. As a result, the trade unions, working on the basis of old objectives and methods, could not attractyounger, better educated, and more skilled workers, and union membership has reduced to mere 20per cent. Strategic management approach to IR suggests proactive strategy for developing IR systeminplaceofreactivestrategysuggestedbytheearliertheories. Theproactivestrategyisbasedonthefollowingfeatures: i. In the earlier system, the IR actions depended on the demands and pressures put by the tradeunions. In the new approach IR actions and strategy are linked with the or ganization’s businessstrategy. ii. IR activities are not confined to IR department alone but extended to the total management. Thetop management which was earlier responsible for strategic management has focused its attention oncombining HRM with business strategy in order to put proper emphasis on human resources as ameansfordeveloping competitivecompetence. iii. There is more emphasis on individuals as individuals and not as collectively. More attention hasbeengiventocareerdevelopmentthroughmulti-skill traininganddevelopmentactivities. iv. Inplaceofcollectivebargaining,attemptsaremadetosortoutproblemsattheworkgroup levels. v. There is discouragement for unionization. Many of the organizations which have adopted thisapproachareunionfree.Thereisdecreasingattractiontounionactivitiesamongnewworkers. On the issue of strategic management approach to IR, it may be observed that most unions steadfastad herencetothetrad itionalrepresentationap proach —w hichfocuses onthegrievancepr ocedure, 98 CUIDOLSELFLEARNINGMATERIAL(SLM)

formalized work rules, and seniority rights — has not proven attractive to employees who expressconcerns for issues such as day care and career development, and who desire to exert influence overthecorporatereorganizationthatisoccurringatanaccelerated pace. They have gone on to view that the collective bargaining process is being squeezed and pressured toadapt to forces that operate above and below its traditional process and structure. Thus, there is aneed to develop a broader conception of the institutional structure within which industrial relationsactivitiesoccur. Approach6PsychologicalApproach: This approach suggests that the conflicts between labor and management are deeply rooted in theperceptions and attitudes of all the participants. Differences in the perception of the parties are due totheir individuality. Conflicts arise when each party negatively perceives the other’s behavior. Laborandmanagementviewandinterpretthesituationsdifferentlyandthesedifferencescreatetheproblems ofindustrialrelations. Approach7SociologicalApproach: Industry is a part of society. So, various sociological factors such as value system, norms, customs,trad itionsandstatuss ymb olsaffectrelations amongthep arties. Thes ocialconsequ ences ofindustri alization like social mobility and migration generate many social evils like disintegration offamily,stress andstrain,delinquency,personalandsocialdisorganization(leadingtogrowingincidences of gambling, drinking, prostitution, drug abuse, etc.). These influence workers’ efficiencyandproductivitywhich,inturn,impactindustrialrelations. Approach8HumanRelationsApproach: This approach focuses on human beings as a key factor of production in industry. Unlike otherresourcessuchasfinanceandmaterial,humanbeingshaveemotions,sentiments,desires,perceptions, attitudes, personality, etc. For harmonious industrial relations, there is a need for properintegration of individuals’ needs with the organization’s requirements. Management should motivatetheemployeesin ordertoraiseproductivity. Approach9Socio-EthicalApproach: This approach to industrial relations emphasizes that besides having a sociological base, it does havesome ethical ramifications. Good industrial relations can be maintained only when both the labourand management realize their moral responsibility in contributing to the said task through mutualcooperationandgreatestunderstandingofeach other’sproblems. Approach10GandhianApproach: 99 CUIDOLSELFLEARNINGMATERIAL(SLM)