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UNIT 22 INTRODUCTION TO HUMAN
RESOURCE MANAGEMENT
Structure
22.1 Introduction
()hjectiven
22.2 Human Resource Management (HRM)
22.2.1 Concept
22.2.2 Growth
22.2.3 Role and Functions
22.3 Manpower Planning for Construction Companies
22.3.1 Line &Staff Functions
22.3.2 Recruitment
22.3.3 Selection
22.3.4 Placement
22.3.5 Incuction and Training
22.3.6 Over-staffing
22.3.7 Time Office &Establishment Functions
22.3.8 Wage and Salary Administration
22.3.9 1)iscipline
22.3.10 Sq~aration
22.4 Summary
SAQs
22.5 Answers to
22.1 INTRODUCTION
The scope of Human Resource Management (HRM) in constructioi~ industry was initially
confined to project management wherein attention was paid to the requirement of
manpower for the project. With the changes in business enviroilment and growing
awareness not only among the employees but also among public and various social
activists, the scope of human resource management in construction industry have
increased manifold. Today, it encompasses all human resource functions in construction
industry like any other industry. Construction being the second largest industry in the
world after agriculture and being most labour intensive in nature, it offers tremendous
scope for growth and development of human resource.
nped and importance of human resource management in
This unit discusses the
construction industry.
Objectives
After studying this unit, you should be able to
define and discuss the role and functions of Human Resource Management
(HRM),
appreciate need for HRM in construction industry, and
describe the importance of HRM functions for managers in construction
industry.
22.2 HUMAN RESOURCE MANAGEMENT
22.2.1 Concept
Manpower is one of Ule most essential input in any production process alongwith money,
material. machine and time. All other inputs being lifeless objects are not difficult to
manage, whereas the versatility, needs, motives, emotions, feelings, anxieties, fears, etc.
m,&e understanding of human resource and its management, a major challenge for ally
manager. This task becomes even more difficult for a project manager or project engineer
who is predominantly pre-occupied with other production and operation related problems.
the
Mostly, he does not have the services of human resource manager available to him at
Construction Human site. Human resource management is not only the study of various issues, concerns and
Resource Management problems of employees at work but it also include the factors which affect it: including
their quality of life at
home.
iiRM - Human Resource 22.2.2 Growth
!lanagenlent reprascnts the The objective of any employer is predominantly profit making. The eiriployer is primarily
lvhola gauiut of activities concerned with factors affecting the productivity and production of his business
clati~ig to managenlent of enterprise. Human beings by virtue of their needs. motives, aspirations and creativity
luman Resource ancompassing other mean!, ot
scruit~ilent, selection, training. cannot be approached and managed in a stereo type manner like
>nduction, training & production. Various psychologists all over the world have studied the hunmi behaviour at
davclop~ilent, time office aud work in great details. The work of psychologists like Abrahim Maslow, McGregor and
~stablishment functions, Fedrick Herzeberg made special contribution towards the growth of liuman resource
industrial relations, employees management, which took quantum jump after the World War 11. Due to problem of
welfare, employees information shortage of goods and services faced by the society all over, the human resource
system, etc. It is a larger system
which has HRI) m one of its management became the pivotal point in the total process of management. In India, it
sub-system. HRM consists of began in Cotton Textile Mills before World War 11. In fact, even in UK, the full function
primarily two major activities, began to take shape only after the World War 11. In order to encourage and motivate
i.e. maintenance and employees for higher production and productivity, various aspects of human resource
de,velopment of the human
resource. management were studied in great details.
On international scenario, the origin of human resource management as an independent
HRD - Human Resource It was conducted by Elton Mayo
discipline can be traced to the Hawthrone Experiments.
1)eveloprnent deals with all and his researchers at the Western Electric Company from 1927 to 1932 focussing on the
those activities, which influence of various social pressures on the productivity of the employees.
contribute to the growth and
development of knowledge,
skills, performance, capacity 22.2.3 Role and Functions
and capability of employees in The human resource management functions can be summarised as given below :
any industry.
(a) Employees Information System,
(b) Recruitment and selection,
(c) Orientation and induction of employees,
(d) Training and development,
(e) Time office and establishment functions,
(f) Employees welfare,
(g) Industrial relations, and
(h) Maintenance of discipline.
SAQ 1
(a) What is HRM ? Discuss its relevance in construction industry ?
(b) How is HRM different from Personnel Management and industrial relations ?
(c) What is HRD ? How is it different from HRM ?
22.3 MANPOWER PLANNING FOR CONSTRUCTION
COMPANIES
Manpower planning is the integration of manpower policies, practices and procedure so
as to achieve the right numbers of right type of people in the right
jobs at the right time.
Objectives
Preparation of manpower plan of a construction company is one of the most crucial
inputs in achievement of its corporate objectives. The objectives of manpower
planning are as follows :
(a) To ensure optimum utilisation of available human resources;
(b) To develop the available manpower in terms of infornlatio~~, knowledge, Introduelio~l to Human
skills, performance, capacity and potential; arid Resource Management
(c) TO ensure better petiormance & prcxiuctivity.
At the construction site, the above objectives can be translated as under
right distribution of manpower in different depxtnlents working
(a) To ensure
at the site so that ilnbalances are avoided;
(b) To deternliiie the direct level of recruitment in each category of cl~lployces
in order to plan the intake of new employees at the site;
r (c) To determine trailling needs and fran~e training policies:
(11) To deternline the channels of promotion to provide avenues for growth &
developnlent of employees;
(c) To dcternline tr,ulsfer policies by ascertaining the right utilisation of
manpower. placement & development of right skills; and
(t3 To control manpower cost.
Techniques of Manpower Planning M;u~power Pl.mni~g - It is a
The techniques of manpower planning would depend on the stage at which the procrss of identifying
manpower planning process is introduced in the organisation. Mainly, there call be requirrn~rnr of manpower for
two approaches to this. They are as follows : the industry taking into accouut
the currr~~t as well as future
(a) The planning of manpower before starting a project; and requil.enie~~t and slisurcs
pIacen~e,nt of right nurnl7er of
(b) The pla~uling of manpower when the project is in process. peoplc of right type at the right
place at the, right time.
This implies that no
~nanpower planni~lg is done before commissioning of a project
and based on the study and experience, the review and evaluation of real need
takes place after the project has been conmlissioned.
22.3.1 Line & Staff Functions
Line functions are those functions wlllch have direct responsibility, autl~ority and
nlallagement. Line fulv tions arc l~orinally discharged by various
accountability to the top
operational dcpartinents such as production & oi>crations. sales & marketing, purchase Xr
innterlals and accounts & finance department, elc.
Staff functions are those functions which render advice on specialiseil issues and
subjects. Staff fuilctions are normally discharged by huinan resourcc. rcsearch &
developmenl, quality control departments, etc. These departlnents act in advisory
capacity to various lint: dep,utments to facilitate and enh'mce their performance.
Hullla11 resource nlanagenlent traditionally has been consnsldered as a staff function only
where HR Manager provides his specialised services on various aspects of human
resource management to line & operation managers who are entrusted with direct
responsibility. authority and accountability for producing results.
22.3.2 Recruitment
Recru~lltlellt 1s a process of evoklng interest arid response among probable candidates to
apply tor Ule vacant position. Allybody who is likely to be a prospective candidate for the
job 1b encouraged to apply for the same. It is a positlve process. The steps involved in
reclu~tmcnt arc as f[~llows :
.(a) Preparation of Job Analysis which consist of a list of functions to be perfor~rle~l
by the person to be recruited.
(b) Preparation of Job Descriptions which consist of putting infc~mation gathered
about the job in sequential and descriptive manner.
(c) Preparation of Job Specifications, which consist of preparing details of
cluillificatic>li. experience and personality profile of the person to be recruited.
(d) Preparatio~~ of Job Evaluation which involves valuing a particular job in terms
ot salary and perks keeping in mind the criticality of tl~e role. The ~nlportance of
the role 111 the organisation, the thrust area of the management, the qualification
ruld experieiice of the employee who would be occupying the new posltlons, the
problems existing in the industry, etc. are some of the major considerations for
job evaluation.
Construction Humam On the basis of study carried out by manpower pl'mning sectiom of 11un1an resource
Resource ?4anagement department of the organisation, the total number of vacancies existing ~n different
categories of employee are ascertained.
The total vacancies conveyed to recruitment section includes the various cl~;u~ges which
are likely to take place in future also. The recruitment action is initiated to fill up the
existing total vacancies as well as preparing a wait list of suitable ci~ndidates for
vacancies which illay arise in future.
Sources of Recruitment
The source of recruitment varies with the categories for which Lhe recruitment is to
he undertaken. The source of recruitment also changes depending upon the nalure
of industry, whether it is a private sector con~pany or public sector undertaking,'its
location, location of labour market, degree of specialisation expected from the
prospective candidates, public image of the company etc. Some of the most
common sources of recruitment are as under :
Internal Snurc:e.r
(a) From within department where the vacancy exists: vld
(b) From other departments within the comp'my.
External Snurce,r
(a) At the gate of the site;
(b) Through unsolicited applications;
(c) Through reference of employees, unions, directors and business associates;
employmel~t exchanges, SCISTIOBC welfare associalions, Zila
(d) Through
Sainik Board, Directorate General of Resettlement of Ex-Servicemen,
NGO for recruitn~ent of physically handicapped:
(e) Through ex-enlployeeslunder legal obligation or otllerwise:
(0 Through campus interviews:
(g) Tllrough trade associations:
(h) Through recruiting agencies and managelnent consultv~ts: xnd
(i) Through direct advertisement in newspapers, business and trade journals.
22.3.3 Selection
Selection process is XI elimination process with a view to select the most suitable
candidate amongst all the applicants.
It is also known as negative exercise because of its elimination process. Unlike
recruitment wherein more and more candidates are encouraged to apply for tlle vacancies,
in selection process through its various stages, candidates 'are rejected with a view to find
out
the most suitable candidate.
It is a process of matching the indiviuual qualities in ternls of his knowledge, skills.
crlpabilities and potential with tlie requirement of the job.
Stages of Selection
How many stages are required for selection of a particular category of vacancy
depend upon the nlxlagement philosophy, organisational systenls Xr procedures
and its personnel policies apart from the total nurnber of applications received for
it. Lower the category of employee, lesser the number of appllcalions and lesser
the stages of selection. S~nlilarly, more the number of applications, inore the stage\
of selection. Selection is one of the most effective and efficient methods of
improving your public relations. Tllerefore, the stages of select~on should be such
that it should not only help in selection of the best camlidate but at the same time.
also it should look fair.
Following are some important stages of selectioll norn~ally enlployed in the
industry
:
(a) Sending of blank application form
(h) Screening of applications
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