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Chapter 4

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0% found this document useful (0 votes)
78 views6 pages

Chapter 4

Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
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CHAPTER - 4

DEPARTMENTAL PROFILE

Introduction

Functional area is a Person, area or department which carries out a particular business
function, finance, sales or customer service. Production will be set targets relating to quality or
meeting planned production schedules.

Human Resource Department


A human resources (HR) department performs essential tasks for a business such as
recruiting, hiring, training, procuring benefits and acting as a liaison between employees and
management. These duties are essential to the operations and success of a business.

Finance Department
The finance department refers to practices and activities directed to manage business
finances. The functions are oriented toward acquiring and managing financial resources to
generate profit. The financial resources and information optimized by these functions
contribute to the productivity of other business functions, planning, and decision-making
activities.

Marketing Department

A marketing department is the arm of a business that promotes the company’s brand,
products, and services.

They achieve this by strategizing, planning, executing, monitoring, optimizing, and reporting
on all marketing activities within a company.
Information Technology

The use of any computers, storage, networking and other physical devices, infrastructure
and processes to create, process, store, secure and exchange all forms of electronic data.
Typically, IT is used in the context of business operations, as opposed to technology used for
personal or entertainment purposes.

Human resources department:

Introduction

Human beings are social beings and hardly ever live and work in isolation. We always
plan, develop and manage our relations both consciously and unconsciously. The relations are
the outcome of our actions and depend to a great extent upon our ability to manage our actions.
From childhood each and every individual acquire knowledge and experience on understanding
others and how to behave in each and every situation in life.

There is no best way to manage people and no manager has formulated how people can be
managed effectively, because people are complex beings with complex needs. Effective HRM
depends very much on the causes and conditions that an organizational setting would provide.
any organization has three basic components, People, Purpose, and Structure. In 1994, a noted
leader in the human resources (HR) field made the following observation: Yesterday, the
company with the access most to the capital or the latest technology had the best competitive
advantage.

However, in order to remain competitive, to grow, and diversify an organization must ensure
that its employees are qualified, placed in appropriate positions, properly trained, managed
effectively, and committed to the firm’s success. The goal of HRM is to maximize employees’
contributions in order to achieve optimal productivity and effectiveness, while simultaneously
attaining individual objectives (such as having a challenging job and obtaining recognition),
and societal objectives (such as legal compliance and demonstrating social responsibility)

Meaning

HRM is the study of activities regarding people working in an organization. It is a


managerial function that tries to match an organization’s needs to the skills and abilities of its
employees.
Definition

According to the Ivancevich and Glueck, “HRM is concerned with the most effective
use of people to achieve organizational and individual goals. It is the way of managing people
at work, so that they give their best to the organization.”

Structure of human resource

The HR department typically has a hierarchical structure that may vary depending on the
organization's size and complexity. The structure often includes different levels of HR
professionals with specific roles and responsibilities:

1. HR Director/Chief HR Officer:

At the top of the HR hierarchy, responsible for overseeing all HR functions, developing
HR strategies, and aligning HR initiatives with the organization's goals.

2. HR Managers:

They manage specific HR functions such as recruitment, training, compensation,


benefits, employee relations, and compliance with labour laws.

3. HR Specialists:

These professionals focus on specific areas within HR, such as recruitment specialists,
training specialists, compensation and benefits specialists, or HRIS specialists (Information
Systems).

4. HR Generalists:

Responsible for a wide range of HR activities, often in smaller organizations where HR


roles are more generalist in nature.
5. HR Assistants:

Provide administrative support to the HR department, handling tasks like scheduling


interviews, maintaining employee records, and assisting with HR projects.

The structure of the HR department aims to effectively manage the organization's workforce,
support employee development, ensure compliance with regulations, and contribute to the
overall success of the organization.

Functions of Human resource

Human Resources management has an important role to play in equipping organizations


to meet the challenges of an expanding and increasingly competitive sector. Increase in staff
numbers, contractual diversification and changes in demographic profile which compel the HR
managers to reconfigure the role and significance of human resources management. The
functions are responsive to current staffing needs, but can be proactive in reshaping
organizational objectives. All the functions of HRM are correlated with the core objectives of
HRM.

HR management can be thought of as seven interlinked functions taking place within


organizations, as depicted in Additionally, external forces—legal, economic, technological,
global, environmental, cultural/geographic, political, and social—significantly affect how HR
functions are designed, managed, and changed. The functions can be grouped as follows:

. Strategic HR Management:

As a part of maintaining organizational competitiveness, strategic planning for HR


effectiveness can be increased through the use of HR metrics and HR technology. Human
resource planning (HRP) function determine the number and type of employees needed to
accomplish organizational goals. HRP includes creating venture teams with a balanced skill-
mix, recruiting the right people, and voluntary team assignment. This function analyses and
determines personnel needs in order to create effective innovation teams. The basic HRP
strategy is staffing and employee development.
. Equal Employment Opportunity:

Compliance with equal employment opportunity (EEO) laws and regulations affects
all other HR activities.

. Staffing:

The aim of staffing is to provide a sufficient supply of qualified individuals to fill jobs
in an organization. Job analysis, recruitment and selection are the main functions under staffing.
Workers job design and job analysis laid the foundation for staffing by identifying what diverse
people do in their jobs and how they are affected by them. Job analysis is the process of
describing the nature of a job and specifying the human requirements such as knowledge, skills,
and experience needed to perform the job. The end result of job analysis is job description. Job
description spells out work duties and activities of employees

. Talent Management and Development:

Beginning with the orientation of new employees, talent management and development
includes different types of training. Orientation is the first step towards helping a new employee
to adjust himself to the new job and the employer. It is a method to acquaint new employees
with particular aspects of their new job, including pay and benefit programmes, working hours
and company rules and expectations. Training and Development programs provide useful
means of assuring that the employees are capable of performing their jobs at acceptable levels
and also more than that. All the organizations provide training for new and in experienced
employee. In addition, organization often provide both on the job and off the job training
programmes for those employees whose jobs are undergoing change. Likewise, HR
development and succession planning of employees and managers is necessary to prepare for
future challenges. Career planning has developed as result of the desire of many employees to
grow in their jobs and to advance in their career. Career planning activities include assessing
an individual employee’s potential for growth and advancement in the organization.
Performance appraisal includes encouraging risk taking, demanding innovation, generating or
adopting new tasks, peer evaluation, frequent evaluations, and auditing innovation processes.
. Total Rewards:

Compensation in the form of pay, incentives and benefits are the rewards given to the
employees for performing organizational work. Compensation management is the method for
determining how much employees should be paid for performing certain jobs. Compensation
affects staffing in that people are generally attracted to organizations offering a higher level of
pay in exchange for the work performed. To be competitive, employers develop and refine their
basic compensation systems and may use variable pay programs such as incentive rewards,
promotion from within the team, recognition rewards, balancing team and individual rewards
etc. This function uses rewards to motivate personnel to achieve an organization’s goals of
productivity, innovation and profitability. Compensation is also related to employee
development in that it provides an important incentive in motivating employees to higher levels
of job performance to higher paying jobs in the organization.

. Risk Management and Worker Protection:

HRM addresses various workplace risks to ensure protection of workers by meeting


legal requirements and being more responsive to concerns for workplace health and safety
along with disaster and recovery planning.

. Employee and Labour Relations:

The relationship between managers and their employees must be handled legally and
effectively. Employer and employee rights must be addressed. It is important to develop,
communicate, and update HR policies and procedures so that managers and employees alike
know what is expected. In some organizations, union/management relations must be addressed
as well. The term labour relation refers to the interaction with employees who are represented
by a trade union. Unions are organization of employees who join together to obtain more voice
in decisions affecting wages, benefits, working conditions and other aspects of employment.

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