A

Report
On
Good service starts with good HRM
Submitted To:
Kamol Gomes
Senior Lecturer
Department of Business Administration,
Notre Dame University Bangladesh.

Submitted By:
Team Synergy
Nabilah Salsabil Naboni ( Group leader) 2-15010219
Rakeeb Ashraf 2-15010218
Swapnil Majumder 2-15010234
Iqbal Sarker 2-15010213
Propa Martha Snal 2-15010206

Date of Submission: 5th April, 2017

 Table of Contents
Contents Page Number
Human Resource Management 03

Nature of Human Resource Management 04

Scope of Human Resource Management 04

05
Objectives of Human Resource Management

Activities of Human Resource 05

06
The role of Human Resource Management

5 Major Functions of Human Resource 07

Management

HRM Good Practice Indicators 08

How Can Human Resource Management 11
Contribute to the Success of Business/ Service?

References 12

Human Resource Management

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Human resource management (HRM or HR) is the management of human resources. It is
designed to maximize employee performance in service of an employer's strategic objectives.
HR is primarily concerned with the management of people within organizations, focusing on
policies and on systems. HR departments are responsible for overseeing employee benefits
design, employee recruitment, training and development, performance appraisal, and rewarding
(e.g., managing pay and benefit systems). HR also concerns itself with organizational change and
industrial relations, that is, the balancing of organizational practices with requirements arising
from collective bargaining and from governmental laws.
Human Resources are a business field focused on maximizing employee productivity. Human
Resources professionals manage the human capital of an organization and focus on
implementing policies and processes. They can be specialists focusing in on recruiting, training,
employee relations or benefits. Recruiting specialists are in charge of finding and hiring top
talent. Training and development professionals ensure that employees are trained and have
continuous development. This is done through training programs, performance evaluations and
reward programs. Employee relations deal with concerns of employees when policies are broken,
such as harassment or discrimination. Someone in benefits develops compensation structures,
family leave programs, discounts and other benefits that employees can get. On the other side of
the field are Human Resources Generalists or Business Partners. These human resources
professionals could work in all areas or be labor relations representatives working with unionized
employees.
Human Resource management is the body of knowledge and at he body of knowledge and a set
of practices that define set of practices that define the nature of work and the nature of work and
regulate the employment regulate the employment relationship. HRM is the relationship. HRM is
the function within an organization function within an organization that focuses on recruitment
that focuses on recruitment, management and providing management and providing direction for
the people who direction for the people who work in the Organization. Work in the Organization.

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Nature of Human Resource Management
Human Resource Management is a process of bringing people and organizations together so that
the goals of each are met. The various features of HRM include:

• It is pervasive in nature as it is present in all enterprises.

• Its focus is on results rather than on rules.
• It tries to help employees develop their potential fully.
• It encourages employees to give their best to the organization.
• It is all about people at work, both as individuals and groups.
• It tries to put people on assigned jobs in order to produce good results.
• It helps an organization meet its goals in the future by providing for competent and well-
motivated employees
• It tries to build and maintain cordial relations between people working at various levels in the
organization.
• It is a multidisciplinary activity, utilizing knowledge and inputs drawn from psychology,
economics, etc.

Scope of Human Resource Management

The scope of HRM is very wide:

 Personnel aspect-This is concerned with manpower planning, recruitment, selection,
placement, transfer, promotion, training and development, layoff and retrenchment,
remuneration, incentives, productivity etc.
 Welfare aspect-It deals with working conditions and amenities such as canteens, crèches,
rest and lunch rooms, housing, transport, medical assistance, education, health and safety,
recreation facilities, etc.
 Industrial relations aspect-This covers union-management relations, joint consultation,
collective bargaining, grievance and disciplinary procedures, settlement of disputes, etc.

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Objectives of Human Resource Management
The key objectives of HRM are given below:
• To help the organization reach its goals.
• To ensure effective utilization and maximum development of human resources.
• To ensure respect for human beings

• To ensure reconciliation of individual goals with those of the organization.

• To achieve and maintain high morale among employees.
• To provide the organization with well-trained and well-motivated employees.
• To increase to the fullest the employee’s job satisfaction and self-actualization.
• To develop and maintain a quality of work life.
• To be ethically and socially responsive to the needs of society.
• To develop overall personality of each employee in its multidimensional aspect.
• To enhance employee’s capabilities to perform the present job.
• To equip the employees with precision and clarity in transaction of business.
• To inculcate the sense of team spirit, team work and inter-team collaboration.

Activities of Human Resource

In order to achieve the above objectives, Human Resource Management undertakes the
following activities:
 Human resource or manpower planning.
 Recruitment, selection and placement of personnel.
 Training and development of employees.
 Appraisal of performance of employees.
 Taking corrective steps such as transfer from one job to another.
 Remuneration of employees.
 Social security and welfare of employees.
 Setting general and specific management policy for organizational relationship.
 Collective bargaining, contract negotiation and grievance handling.

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  Staffing the organization.
 Aiding in the self-development of employees at all levels.
 Developing and maintaining motivation for workers by providing incentives.
 Reviewing and auditing manpower management in the organization
 Potential Appraisal. Feedback Counseling.
 Role Analysis for job occupants.
 Job Rotation.
 Quality Circle, Organization development and Quality of Working Life.

The role of Human Resource Management

The purpose of Human Resource Management (HRM) is to hire, train and develop staff and
where necessary to discipline or dismiss them. Through effective training and development,
employees at Enterprise achieve promotion within the company and reach their full potential.
This reduces the need for external recruitment and makes maximum use of existing talent. This is
a cost-effective way for a business to manage its people.
The HRM function not only manages existing staff, it also plans for changes that will affect its
future staffing needs. This is known as workforce planning. For example:

 The business may grow into new markets, such as Enterprise moving into truck rental.
 It may use new technology which requires new skills e.g. global positioning equipment.
 Staff may retire or be promoted, leaving gaps which need to be filled.

There may also be external changes in the labor market, meaning that there will be fewer skills
available or too many in a particular area. HRM monitors all of these things in planning
recruitment strategy. This places the HRM function in a central role in the business because all
managers use this expertise to acquire staff. Enterprise has a policy of promoting its managers
from within its existing workforce. This means the business must recruit people with the
potential to grow.

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5 Major Functions of Human Resource Management
Human resource management is all about increasing employee performance to their highest level
corresponding to their role in the organization. Since every organization is made of people, HRM
is all about acquiring services of people, developing their skills, motivating them to the foremost
level and making sure that they continue to maintain their commitment towards the organization.
In short, HRM is concerned with the management of employees from recruitment to retirement. 
Although there are many functions of human resource management, following is the list of five
major functions.

1. Recruitment and selection

Recruitment is the process of captivating, screening, and selecting potential and qualified
candidates based on objective criteria for a particular job. The goal of this process is to attract the
qualified applicants and to encourage the unqualified applicants to opt themselves out.
Before starting the process of recruitment, the companies must execute proper staffing plans and
should grade the number of employees they are going to need. Forecasting of the employees
should depend upon the annual budget of the organization and short-term and long-term goals of
the organization.
Recruitment and selection process is very important to every organization because it reduces the
costs of mistakes such as engaging incompetent, unmotivated, and under qualified employees.
Firing the unqualified candidate and hiring the new employee is again an expensive process.

2. Orientation
Many organizations do not provide a thorough orientation to the new employees. This is the
fundamental step to help a new employee to adjust himself with the employer and with his new
job. Employee orientation program should include the objectives and goals of the organization
and how the employee can help to achieve the long-term and short-term goals of the
organization.
Giving intensive orientation to the employee is one of the major functions of human resource
management. The program should help the employee to know his assigned duties and his exact

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job description, job role, and the relationship of position to other positions in the organization. It
gives clarification to the employee to take an active role in the organization.

3. Maintaining good working conditions

It is the responsibility of the human resource management to provide good working conditions to
the employee so that they may like the workplace and the work environment. It is the
fundamental duty of the HR department to motivate the employees. The study has been found
that employees don’t contribute to the goals of the organization as much as they can. This is
because of the lack of motivation.
Human resource management should come up with a system to provide financial and non-
financial benefits to the employee from the various departments. Employee welfare is another
concept which should be managed by HR team. Employee welfare promotes job satisfaction.

4. Managing Employee relations

Employees are the pillars of any organization. Employee relationship is a very broad concept and
it is one of the crucial functions of human resource management. It also helps to foster good
employee relations. They have the ability to influence behaviors and work outputs.
Management should organize activities which will help to know an employee at the personal and
professional level. Well-planned employee relations will promote a healthy and balanced relation
between the employee and the employer. It is the key for the organization to be successful.

5. Training and development

Training and development are the indispensable functions of human resource management. It is
the attempt to improve the current or future performance of an employee by increasing the ability
of an employee through educating and increasing one’s skills or knowledge in the particular
subject.

HRM Good Practice Indicators

There are a number of cases, provided with the assistance of departments, on how good HRM
practices can enhance service productivity and quality. The cases are grouped under the
following categories -
Articulation of Vision, Mission and Values (VMV)
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 Sense of purpose reflected in the department's VMV
 Elements of service culture captured in the department's VMV
 Involving staff in discussions and meetings to generate ownership
 Offering training to develop skills and behavior in living the VMV.
 Customer-focused culture reflected in departmental policies, procedures and practices.
 Measurement system in place to track performance improvement.
 Demonstration of understanding of VMV and observable behavior.

Drawing up HRM Plan

 The HRM Plan developed under the leadership of the senior management.
 Department's strategic direction clearly articulated by the top team.
 Debate and endorsement of strategic and ongoing HR issues by the top team.
 HR actions to address HR issues debated, approved and prioritized by the top team.
 An environment scan conducted to identify strategic HR issues.
 Staff's input on ongoing HR issues sought through, for example, staff opinion survey,
focus group meetings, interviews, etc
 Responsibilities to implement the HRM Plan clearly assigned.
 Realistic implementation plan with adequate resource support.
 Review system in place.
 Development of a human resource information system.

Manpower Planning

 A systematic information system in place.

 A clear plan with action programs in place to bridge supply and demand gaps, succession
gaps, and competency gaps.
 Posting policy published and career paths made known to staff.
 Competency profiles of key job grades developed and made known to staff
 Information derived from succession plan fed into training and development plans for
individual officers.
 Career interviews arranged for staff to gauge staff aspiration and offer career guidance
offered.
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 Regular review and update of the plan and competency profiles

Performance Management System

 Senior management's support and commitment in allocating the required resources and
according priority to this function
 Objective setting starting from the top and systematically cascaded and linked to the
departmental objectives
 All appraisers have been properly trained on PMS good practices and the required skills
 Information gathered from the performance cycle linked to other human resource
functions
 Staff recognizing that performance management is a joint responsibility of the appraise
and the supervisor
 Staff performance management being an ongoing process, not an annual event
 Review of the performance management system

Training and Development

 Individual and departmental Training and Development plans in place and strategically
linked to departmental strategic objectives
 A diverse set of training and development activities (e.g. overseas attachment, overseas
training, secretariat attachment)
 Training and Development integrated with PMS and Succession Plan / Manpower Plan
 Timely induction training provided to all new staff with management training to be
provided systematically afterwards
 Regular review of the Training and Development policies
 Evidence of improvement in work quality and efficiency,
 Managers' positive feedback on learners' performance
 Training courses rated highly in quality and relevance

Service Quality Enhancement

 Customer focused culture as reflected in programs, policies, procedures and practices

 Productivity and efficiency enhanced

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 Staff taking more initiative to serve
 Measurement in place to track performance improvement
 Mode of operation being service oriented

How Can Human Resource Management Contribute to

the Success of Business/ Service?
Human resource management concerns itself about humans in the firm. It has developed from
the personnel department. The main idea of HRM is to distribute the functions of personnel
department over a large amount of people making everybody responsible for something and
decreasing the costs.
The human resource management is very useful for firms to achieve their goals. It helps firm to
improve its performance by authorizing the right people of doing some exercises (production
man. knows better how to train new workers than people in a separate HRM office). It helps the
firm to increase the motivation f its workers, thus increase the performance. The main idea here
is to make firm goals to individual ones.
One very important thing is also finance. HRM deals with wages etc. (Line managers know
better whom to pay extra bonuses). HRM helps to save a great deal of money and already its
developing instead of personnel dept. saved money. HRM helps to develop organisation
structures, because they have usually overview of the whole business. This point cannot usually
be transferred to individuals and it's very important to business in the long term.
It helps also to improve productivity. Its tasks include training, induction, recruitment, job
description and redundancy, which all help to make the product better, thus increasing
consumers' satisfaction. All these determine the goodwill and reputation of the company.

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References
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(Aug,1996), pp. 779-801.
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 Belous, R.S., & Appelbaum, E. (1988). Human resource flexibility and older workers:
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