UNIT 1

Human Resource Management: An Introduction

Introduction

Human resource management is a long-established undertaking in every

organization. This enable establishments to meet its obligations despite its changing
organizational environment. The economic uncertainty, rapidly changing technologies,
new modalities of employment are just some of the challenges faced by every
organization in today’s world, in which it has an impact on HRM, nevertheless HRM
should adapt and respond to these challenges in order to achieve its goals and
objectives.

Lesson 1: Challenges of Human Resource Management Today

A. Activity:

1. Read the article in https://www.apqc.org/blog/what-are-top-most-challenging-

issues-facing-human-resources-2021

B. Analysis:

1. How would you describe human resource management today?

2. If you are the HR Manager, how are you going to manage your people in this
pandemic time?

C. Abstraction

Organizations today are confronted with so many challenges in order to survive

and grow in today’s changing and competitive world. Changes seems to be the only
constant and managing human resources has increasingly become a more important
and difficult function. On top of these challenges is the current COVID 19 pandemic
that has brought a lot of changes in our lives and into the business world. Some
businesses permanently closed and some of the business do some drastic changes to
survive in this trying times.

All of these changes compelled managers to improve performance in the

production and service delivery processes by improving their ability to employ the best
human resource management practices in a much more cost-effective manner.
 The challenges that are occurring in today’s business world are the following
(Source: Atlas Staffing, 2020):

• Observance of laws and regulations

• Management Transitions
• Leadership Development
• Employee Training Development
• Responding to Innovation
• Compensation
• Recruiting Skilled Employees
• Retaining Skilled Employees
• Diversity in the Workplace

Observance with Laws and Regulations

Some organizations have difficulty complying with laws and regulations. Some
disregard employment laws, resulting in lawsuits, audits, and the possible downfall of
their businesses. Trying to keep up with changing employment laws is a constant
challenge for all businesses. No matter how big or small a business is, it must comply
with and observe existing laws in hiring, wage payments, health and safety, and so on
in order to prevent future labor conflicts or disputes and maintain industrial peace.

Management Transitions

Organizations are undergoing a number of management changes in order to

adapt to changes and maintain their competitive advantage amidst COVID-19
pandemic. Some businesses are reshaping, delayering, and improving their strategies
and processes, changes that affect all employees from the top down. These changes
have ramifications for human resource management in a variety of ways, including a
decrease in employee productivity and morale if they are not properly communicated.

Leadership Development

According to a recent study, some companies' leadership development

programs are below average. Some businesses do not regularly practice leadership
development, which has an impact on their human resources. If implemented, it boosts
employee morale and motivation while also preparing them to take on more
responsibilities in the future.

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Employees Training and Development

Another recurring HR issue is underinvestment in employee training and

development, particularly among lower-level employees. Some businesses lack the
resources or funds to fund such trainings. All employees, whether they are high-
ranking or low-ranking, require training; investing in them results in a loyal and
productive team.

Responding to Innovation

Technology, automation, the internet, artificial intelligence, and other

innovations have fundamentally changed every business organization and job in
today's world. These modifications have had an impact on business processes,
systems, and management. This has resulted in the elimination of a large number of
jobs in administration, finance, sales, marketing, manufacturing, and human resource
management. Customers have become more knowledgeable and demanding as a
result of the internet of things, which has an impact on how businesses will meet their
needs and desires.

Businesses must adapt quickly to these changes or risk being left behind by
competitors. To gain an advantage, organizations must embrace innovation, learn and
adapt new technologies, hire skilled personnel, and redesign jobs. To keep up with
changing technology, businesses must invest in training and development to update
and improve their employees' skills.

Compensation

Paying well is one way to attract talented employees, but many businesses are
unable to do so. Many businesses are debating how to best structure employee
compensation. HR managers should redesign or create a system to reward employees
for exceptional performance to compensate for a lower salary, as well as offer incentive
programs such as profit sharing or bonuses to its employees.

Recruiting Skilled Employees

Acquiring talented employees requires a significant investment of both time and

money. It is difficult for businesses to find the right people for the job. Some businesses
use outsourcing or a staffing firm to acquire human resources, which provides
flexibility. Outsourcing has transformed human resource management by allowing
businesses to try out new employees with little or no risk, avoid extra costs on benefits,
and terminate their services with ease.
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Retaining Skilled Employees

Retaining talented employees is a difficult task in human resource

management. Competitors steal brilliant employees, luring them with a much higher
salary and benefits. Some businesses lack an enticing compensation and benefit
package that will entice employees to stay with them. Businesses must consider
methods, strategies, methods, and plans for retaining and retaining their employees.

Workforce Diversity

Today's workforce is made up of people from various generations, each with

their own ethnic and cultural background. Each has their own set of values, work
ethics, and aspirations, making it a constant challenge for business organizations. HR
managers must know and understand how each generation behaves in the workplace
in order to effectively manage them. To avoid disputes and maintain harmonious
working relationships or industrial peace, HR policies and programs must address or
cater to employees from different generations with differing needs.

D. Application

1. As a manager, discuss your coping strategies in dealing with these HR challenges?

(Cite at least 5 challenges, and discuss your strategies to cope with these challenges)

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Lesson 2: Human Resource Management: It’s Concept

A. Activity:

1. Read the article in https://www.digitalhrtech.com/human-resource-basics/

and learn the FAQ (frequently asked questions).

B. Analysis:

1. How would you describe human resource management?

2. Does the 7 basics of human resource management interrelated or isolated

to each other? Prove your answer.

C. Abstraction

Human resource management has been and will continue to be a growing

concern in today's highly competitive business world. Organizations cannot achieve
their objectives without the help of their employees. People are now viewed as a
resource—a very valuable resource; the organization's power is dependent on its
people who do the actual work in the organization—its human resources. People is the
heart of every organization, the success of the business solely depends on its people,
they can make or break the organization.

Human Resource Management: Definition

Human resource management is the effective and efficient use of an

organization's human resources to achieve its goals and objectives. It is also known
as:

“The process of analysing and managing an organization’s human

resource needs to ensure satisfaction of its strategic objectives.” (Hellriegel,
Jackson, Slocum and Staude, 2009).

“The policies and practices involved in carrying out the “people” or human
resources aspects of a management position, including recruitment,
screening, training and appraising.” (Dessler, 2007).

Basic Principles of HRM

• Organizations should be a good employer.

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 • Its people are the most valuable asset/resource.
• Employees are hired and their careers are managed based on merit.
• Employees must accept responsibility for their own development.
• All managers are responsible for human resource management.

HRM Objectives

• To help the organization reach its goals and objectives

• To employ the skills and abilities of the work force efficiently.
• To provide the organization with well-trained and well-motivated employees.
• To increase to the fullest the employee’s job satisfaction and self-actualization.
• Creating and sustaining a high standard of living at work
• Ensure that all employees are aware of HR policies.
• To be ethically and socially responsible to society's needs.

Human Resource Management: It’s Importance

• Good human resource practices aid in attracting and retaining the best
employees.
• It aids in the training of employees for challenging roles, the development
of a positive attitude toward the job and the company, the promotion of team
spirit and commitment, and so on.
• It encourages team work and promotes a sense of belongingness among
employees.
• It provides excellent opportunities for advancement to those with the
potential to advance.
• It enables people to work with zeal and dedication.
• The number of job opportunities is increasing.
• Limited resources are used to their full potential.

The important thing for each organization is to develop its own values in a way
that best supports its particular mission, goals and objectives and desired culture and
motivates staff to give their best.
D. Application

1. Write a conclusion on the article you read.

2. Discuss your thoughts on this statement “People is the heart of every

organization”

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Lesson 3: Origin and Evolution of Human Resource Management

A. Activity

1. Download and read the article of Prof. Josephat Itika (Fundamentals of

Human Resource Management)
https://scholarlypublications.universiteitleiden.nl/access/item%3A2888137/do
wnload

B. Analysis

Instruction: Answers copied verbatim from the internet or from your

classmates is automatically wrong. Send your answers to
[email protected].

1. How would you describe the evolution of human resource management?

2. Discuss the difference between Personnel Management and Human

Resource Management?

C. Abstraction

To manage human resources effectively, you must understand how HRM happened.
Human resource management as a practice occurs wherever there are two or more
people in it. We might not know it, HRM starts at the family level, wherein the head of
the family would delegate tasks and duties or errands to the family members to
accomplish the objectives of the family. He would use all available resources including
its people and maximize their potentials in order to achieve what is desired or needed.
The division of labour depends on the family’s philosophies, expectations, values
which are influenced by its clan, society, religion or ethnicity, etc.

Let’s take a look on how HRM evolved overtime, let us read excerpts for Prof.
Josephat Itika of Mzumbe University:

“Managing people in an organizational setting is well

documented throughout the history of mankind (Munsterberg 1913;
Taylor 1960; Cuming 1985). Organizational structures evolved,
leadership emerged or was formed, roles and responsibilities were
assigned to people, accountability systems were laid down, and rewards

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 and punishments were also provided. In this regard, division of labour,
specialization and accountability were systematically organized to
achieve a specific purpose. However, the documentation of the evolution
and development of human resource management practices can be
traced back to the booming European economy of the 1900s
(Roethlisberg 1939). This economy created the necessary environment
for more serious thought on the role of effective people management in
the emerging labour market of the time. The economies were preparing
for the First World War and its aftermath where industrial production
required a mass of skilled, well organized and disciplined labour force.
The challenges revolved around mobilization of resources including
people, which led to the evolution and development of four stages in
managing labour. The stages were mainly identified by looking at the
changing titles of officers responsible for managing the workforce and
different roles that were emerging over time. Therefore, although
personnel management literature often states particular dates or
decades of transformation from one phase to another (Chruden &
Sherman 1984; Cuming 1985), as a matter of principle, such dates or
decades are more for convenience and reference purposes than being
actual historical events. The same recognition is used to provide a
picture of the chronology of the evolution and development of human
resource management as we see it today.”

(Figure 1.1 displays the stages in the evolution of human resource management, Source: J. Itika, 2011).

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Welfare Stage in Industrial Age

It was in 1900s when the economic and technological breakthrough arise because
of continued development in general and scientific knowledge.

Below were the events that transpired during the Welfare Stage:

• More goods and services were demanded in Europe and Germany, in

preparation for the Word War I.
• There was a huge production of goods in one industrial roof which was done
more efficiently, and this was common occurrence across Western Europe
specifically Britain, France, Spain and Italy.
• Production of war materials created a chain of industrial networks for
Germans.
• Because of the increasing workforce, managing them was a tough challenge,
therefore they search for solutions, which involves organizing its personnel
and ensuring that their welfare was well-taken for, that led to the need for
better people management techniques.
• The beginning of employees’ welfare services such as canteen and other
needs, which created a need to have an officer whose main purpose was to
take care of its employees, who are called welfare officers even today.

Welfare Stage - Personnel Administration (1920-1930)

Because of the increasing size of organizations and its attempt to increase

productivity, necessitated recruitment, selection, training, keeping records, appraisal,
motivation, controlling and improving the production of new entrants as well as of the
existing employees. All of these administrative tasks were handled by welfare officers
since they have the first-hand experience in handling welfare matters. However,
because of the demanding nature of the job, in terms of knowledge and behavioural
attributes and skills, and changing roles and scopes, the name welfare officer was
inadequate to describe the true nature of their job. To address these changes, the
welfare officer title had to change to personnel administrator (Cuming 1985).

Evolution and Development of Personnel Management (1940-1950)

During the postwar period, the role of personnel administration was expanding
to meet the demands and challenges of the job, which included supervisory, skills
supervisory training, and labor disputes that threatened the organization's and
personnel's efficiency.
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 Below were the significant events that took place during this stage:

• Elton Mayo and Kurt Lewin pioneered human relation’s school which
emphasized on improving the work environment and work groups as a
approach to increase productivity (Rush 1959; Robbins 1990; Torrington et al.
2005).
• Employees were treated as human beings rather than working tools.
• There was a shift of emphasis on managing group/teams rather managing
individual employee (Davis 1980).
• Abraham Maslow introduced human hierarchy of needs and the power of
worker’s motivation on productivity (Maslow 1970).
• The concept of employee’s satisfaction that was written by Chris Argyris and
Frederick Herzberg had a substantial impact on the organizational practices in
enhancing the quality of jobs in organizations (Deci & Ryan 1985).
• Bennis & Schien’s organization development school provided useful inputs to
employees’ practices particularly in the extents of effective communication and
conflict resolution in the workplace (Davis 1980; Walton & McKerzie 1991).
• Organizational development, systematic training, manpower planning, and
management development were all covered by personnel management
functions, especially in the 1960s.
• New methods and methods for employee selection, wage and salary
administration, training, and performance evaluation were implemented.
• Personnel managers became knowledgeable in labor law and stand in for their
organizations in labor disputes (Chruden & Sherman 1984).

A Change to Human Resource Management (Source: Josephat Stephen Itika, 2011)

Below are the challenges that had a huge influence on people management in
organizations:

• Change in global macro policy framework

The late 1970s and early 1980s were a period of neoliberalism, when
market forces drove the institutional frameworks of nation states and
organizations. This was a time when there were strong arguments against direct
government involvement in the economy. It is unclear what was the ‘chicken' or
‘egg' between politicians and academics, or who these people, often referred to
as ‘experts' of the World Bank and the International Monetary Fund are, and what
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their role was in the architecture and birth of neoliberalism, as well as the
marginalization of the role of government in economic development. Whatever the
case, both politicians and consultants played important roles in the neoliberal
doctrine. Margaret Thatcher, the former conservative British Prime Minister, and
Ronald Reagan, the former conservative President of the United States of
America, were both prominent supporters of neoliberalism, and their philosophies
were known by their names, Thatcherism and Reaganism, respectively. They
viciously blamed previous liberal governments for causing the 1970s economic
crisis through excessive government control of economies and overprotection of
workers. Privatization of state-owned enterprises, relaxation of legislation in favor
of the private sector, and the desire to maximize profits became the new agenda,
as well as the desired and required framework for managing organizations and
its personnel. As a result, cost-cutting and the pressure to justify employees' roles
in developing and sustaining market organizations became a concern. Failure to
respond to these challenges through proper personnel management strategies
was viewed as a slippery slope towards the collapse of companies with long
histories of success.

• Business competition

The year 1980s and early 90s was the year of chaotic, turbulent and
unpredictable business environment. The increasing competition from Japan and
other international companies producing lower-cost but higher-quality goods put
American and European companies under intense pressure, leading to takeovers,
mergers, and business closures to deal with the crisis. These go with heavy losses
of work, part-time work, and outsourcing. Personnel specialist’s role changed
from being reactive to proactive and management of personnel functions shifted
from repetitive to strategic approach to be able to match the challenging and
unstable business environment.

• Changing customer’s needs and expectations

Changing customer’s needs, expectations and demands influenced every

organization to get the best out of their process, employees and production
systems. To meet these changing customer needs, they should hire the best
workers available, develop and reward them, and make sure that they are
committed to providing the highest service to the company. To accomplish all of
this, creativity and innovation must occur in the business environment. These also

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have an influence on recruitment and selection, the reward system, personnel
development, and the roles or personnel specialists who work opposite line
managers in personnel management functions. Employees' roles had to shift from
performer of personnel functions to partner in delivering support services to other
personnel departments.

• Technological change

Business competition was increased by companies that could easily adopt and
adapt specialized technologies to meet the customer’s changing needs and
expectations. The result of these, to cope with rapid technological changes,
organizations had fewer but well-trained employees. Adaption based on teams
and continuous learning became the main focus of people management. There
was an emphasis in sharing and using knowledge rather than monopolizing it.

• Change of philosophy of employee relations

Employees was under legislated trade unions, therefore the power of

employees was vested in a joint solidarity. However, mass lay-offs, less protective
role of the government and the decreasing role of unions birthed to individualism
rather than collective. Employment relations become more individualistic as
opposed to the use of labour unions.

• Developments in the academia

Based on information gathered from previous decades and research

conducted in the 1980s and early 90s, gave the impression that organizational
strategy and the strategic approach to managing people was the best choice for
responding to organizational challenges (Hendry 1995). The “strategic approach”
concept, which was headed by the Human Resource Management School,
developed by the academics from America and Europe, became the central core
of discussions and development of human resource management as a method
different from personnel management. Another significant influence on the
development of human resource management was the Excellence School,
proposed by Peters & Waterman, wherein it put emphasis on the role of strong
cultures and commitment to excellence in organizations (Storey 1989). Areas in
corporate management like the size, culture, product, structure and the life cycle
were incorporated in human resource management (Schuler 2000).

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 The main concern was how personnel management functions could be part of the
business strategy, how it could influence the functional level, and personnel managers
could become partners in the business. A thorough method of evaluating employee
performance in relation to rewards was created, leading to the introduction of reward
systems and performance management systems, indicating a shift in personnel
management practices. Because of these changes, personnel management was
redefined which led to adoption of the human resource concept (Storey 1989). A
debate continues concerning the difference between ‘human resources’ from
‘personnel’ up to this date.

D. Application:

1. What do you think is the importance of knowing and understanding the origin
and evolution of human resource management?

________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________

2. Discuss the factors or challenges that impacted human resource management.

________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
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Lesson 4: Personnel Management versus Human Resource Management

A. Activity

1. Search and read the article in https://www.getsmarter.com/blog/career-

advice/the-difference-between-personnel-management-and-human-resource-
management/

B. Analysis

1. What is the similarities between personnel management and human

resource management?

C. Abstraction

Personnel management has metamorphosed to human resource

management, but some people do not know the difference between the two. It was in
the 1980’s that the thought of Human Resource Management began to pervade
through bigger companies. Some critics say that it was simply a change of name, but
actually the same. However, as new models and theories came to be adopted, it was
clear that there was difference between the HRM and PM. Figure 2 shows the
distinction between Human Resource and Personnel Management.

D. Application: Distinguish between Human Resource Management and

Personnel Management. How significant are the differences?

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Figure 2. The delineation between Human Resource Management and Personnel Management
(Source: Storey, 1995)

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Lesson 5: Human Resource Management Functions

A. Activity:

1. Read excerpts from “https://pdf4pro.com/cdn/unit-1-human-resource-

management-hrm-38f74.pdf

2. Write notes on your readings regarding the functions of Human Resource

Management.

B. Analysis

1. What is the difference between the two main functions of human resource
management? Elaborate your answer by giving examples.

C. Abstraction

The main functions of human resource management are classified into two groups:

1. Managerial functions
2. Operative functions

Managerial Functions

Below are the managerial functions of human resource management:

• Planning – refers to the process in determining in advance the number of

personnel and what type or personnel required, programmes, rules and
policies, etc.
• Organization –organizing the relationship and structure among jobs,
employees and physical factors so it can have an utmost contribution to the
objectives of the organization. The human resource manager executes the
preparation of task force, allocation of work, incorporation of the efforts of the
task force, and coordinates work of individual employees with that of the
department.
• Directing – It is concerned with introduction of organized action and
motivating the employees to work. The human resource manager guides,
motivates, influence and supervise employees to get its function performed
properly in order to achieve the objectives of the organization.

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 • Controlling – it is the process of regulating the activities of the organization in
in line with its plans to achieve the organizational objectives.

Operative Functions

Below are the operative functions of Human Resource Management:

• Procurement of personnel – it refers to the recruitment and selection of the

right people and number at the right job to accomplish organizational goals
and objectives.
• Development of personnel – refers to the development and improvement of
the skills and capabilities of the employees through trainings and
development, necessary for performing the job well.
• Compensation – refers to determining adequate and equitable remuneration
for personnel contributions to the organization's goals.
• Maintaining good industrial relations- One of the functions of human
resource management is to promote and maintain industrial peace. To
eliminate labor conflicts, the HR manager must foster harmonious
relationships between management and labor/employees. Labor disputes or
industrial unrest may impede business operations.
• Record keeping – HR managers collect and store information about their
employees' personal information. This data is used to make decisions such as
promotions and demotions.
• Personnel planning and evaluation – HR manager assesses employee
performance, evaluates company policies and practices, and conducts
personnel audits and performance appraisals.

Human resource management is concerned with people; it regards its

employees as a resource, an asset rather than a factor of production. It entails a
system or process that must be followed in every business for recruitment, selection,
and hiring, as well as training and development of human resources. The success of
the company's goals and objectives is heavily reliant on how management recruits,
develops, and employs people.

D. Application:

1. Explain the importance of HRM to the success of an organization.

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Lesson 6: Skills for Effective Human Resource Management

A. Activity:

1. Read excerpts from https://online.champlain.edu/blog/human-resource-

management-skills

2. Write thoughts on what you read.

B. Analysis

1. List and discuss your existing HRM competencies and skills

2. Among these skills, what is the most important skills in handling human
resources? Defend your answer.

C. Abstraction

Based on studies conducted and observations of successful HR practitioners,

the following are the skills and attributes that are credited for their success (Payos,
2011):

1. Human relations of interpersonal skills

2. Multitasking
3. Organization
4. The ability to focus on two things at once
5. Confidence and trust
6. Commitment to Continuous Improvement
7. Negotiation and problem-solving abilities
8. Team-oriented
9. Honesty and Integrity

Human Relation or Interpersonal Skills

Since the HR profession deals with people who have different personalities or
individual differences, no HR manager can succeed if he lacks interpersonal skills.
The job requires him to interact with people almost every day, tending to their needs,
dealing with their day-to-day problems, coaching and consulting employees,

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managing his subordinates and his boss, and so on. To be successful in his field, an
HR manager must have excellent interpersonal and human relations skills.

Multitasking

HR managers must master the art of multitasking in order to meet the pressing
demands and needs of their clients (e.g., boss, subordinates, employees, etc.) at the
same time. Negotiating labor conflicts, receiving calls from top management, dealing
with a boss who requires an immediate meeting, a document that must be signed, a
memorandum or report that must be submitted on time, and so on, all of these tasks
may occur at the same time, and the HR manager must be able to handle all of them.

Organization

In an orderly and well-organized work environment, the HR manager performs

well. One cannot function well in a room full of disorganized files and chaotic work
environments. In order to provide services in an efficient and effective manner, HR
personnel must maintain their orderliness and organization of things, as well as their
management system.

Ability for Dual Focus

This relates to the HR manager's ability to focus on both management and

employees. HR managers should not only focus on meeting the needs and aspirations
of employees, but also on the needs of management. When dealing with people, the
HR manager should be objective in enforcing the organization's policies, rules, and
regulations. He should eliminate biases or subjectivity in decision making and, if
possible, seek what is beneficial to both labour and management.

Trust and Confidence

The HR manager has a variety of roles, ranging from consultant to advisor or

coach to employee confidant. He is also the keeper of all personnel records, which
contain a lot of sensitive information about the employees. The HR manager is privy
to the company's and its employees' secrets and confidential information; disclosing
all of this information will result in a loss of trust and confidence from both employees
and management. As a result, the HR manager must earn their trust and confidence
in order to avoid conflicts and maintain a smooth and harmonious relationship
between both parties.

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Dedication to Continuous Improvement

Every company wants to have a competitive advantage over its competitors,

so management and human resource managers are constantly devising strategies
and techniques to help them achieve their objectives. HR managers place an
emphasis on continuous improvement and innovation in order to improve the
organization. He should also be able to evaluate his own actions, be aware of his own
shortcomings, and take corrective action. He should be the change agent, and he
must "walk the talk," meaning he must practice what he preaches. HR managers
should always strive for a better, if not the best, way to do things.

Negotiating and Problem-Solving

Conflict is unavoidable in any organization. Because organizations are made

up of people with diverse personalities, work ethics, values, and preferences, conflict
is inevitable. Typically, conflict arises between employees and management, or
between a manager and his subordinates, or between employees for a variety of
reasons. It could be a disagreement over the implementation of changes or policies,
or it could be a disagreement over promotions, pay, or other factors. In these cases,
the HR manager should act as a mediator or negotiator between two disputing parties.
The HR manager should examine the situation and come up with a "win-win" and
practical solution to the problem at hand. He should consider the welfare of both the
employees and the company; the solution to the problem should benefit both parties,
the employees and the management.

Team-oriented

In today’s business world, mostly everything is done through teams. Teams

can accomplish so much more than that of a single individual. Therefore, every
manager should understand how team works. HR manager must be sociable and
sensitive to the needs, values, and feelings of its employees and know how they
behave when they are in groups or teams.

Honesty and Integrity

HR manager should be the role model of good moral and ethical behaviour.
He should be a paragon of integrity and honesty. Every employees, not just HR
managers, should possess these qualities for them to earn trust and confidence from
other people, particularly from their superiors. The HR manager should serve as the
keeper of the moral image of the company, he should serve as the conscience of the

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company and call the attention of those employees who did wrong against the
company’s rules and policies, or those who have indecent, illegal practices or
activities. He should be the guardian of morals and ethics of the company.

D. Application

1. What are the skills you still need in managing human resources? Discuss how you
will develop these human resource management skills?

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Lesson 7: The Constitutional and Legal Framework of HRM

A. Activity:

1. Read excerpts from

https://www.dole.gov.ph/php_assets/uploads/2017/11/LaborCodeofthePhilippin
es20171.pdf

B. Analysis

1. Discuss your thoughts on Article 3 of the Labor Code.

2. Are our labor laws fair to labor and management? Defend your answer.

3. Does the Labor Code apply to government employees or for private sectors?

C. Abstraction

HR managers and the management, of every organization should know the

legal aspects of managing human resources. It is important for every managers to
have a basic knowledge of relevant provisions of the Constitutions and labour and
social legislations to avoid possible litigations in mishandling its human resources. It
is better to be educated in labour laws than to suffer or lose a legal suit in the future.
It is the responsibility of the HR manager and the management to become educated
in labour laws, should a violation occur, ignorance of the law excuses no one. The
erring company and its management will still be held liable.

The Constitutional and its provisions protecting labour are derived from the
Police Power of the state- the right of the state to regulate labour relations for the
general welfare and to maintain industrial peace. It is also based on social justice- to
ensure protection of the weaker social partner- labour (employees).

The Constitutional Basis (Source: Payos, R. 2011)

The Constitution and its statutory provisions established the foundation

for protecting employees' rights and welfare. The Constitution states in the
Declaration of Principles and State Policies:

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 “The State affirms labour as a primary socio-economic force. It shall
protect the right of workers and promote their welfare (Article II, Section
18).

Along these lines, the Constitution protects employees' right to form

unions, associations, or societies for lawful purposes.

Furthermore, Article XIII, Section 3 of this Declaration of Principles expands its

labor policy by stating that:

• The State shall provide complete protection to labor, both domestic and
foreign, organized and unorganized, and shall promote full employment and
equal employment opportunities for all.
• It shall guarantee all workers' rights to self-organization, collective bargaining
and negotiation, and peaceful concerted activities, including the legal right to
strike. They are entitled to job security, humane working conditions, and a living
wage. They must also take part in policy and decision-making processes
affecting their rights and benefits, as permitted by law.
• To foster industrial peace, the State shall promote the principle of shared
responsibility among workers and employers, as well as the preferential use of
voluntary modes of dispute resolution, including conciliation, and shall enforce
mutual compliance with these principles.
• The state shall regulate the relations between workers and employers,
recognizing labor's right to a just share of the fruits of production and
enterprises' right to reasonable returns on investments, as well as to expansion
and growth.

Labor Code

By virtue of Presidential Decree 442, the Philippines' Labor Code was enacted
during Martial Law. It has been amended several times since then. The Labor Code is
the omnibus enabling decree that fleshes out and gives meaning to the Labor Policy
proclaimed in the Philippine Constitution.

The key provisions of the Labor Code, as well as some important laws
amending the Labor Code and special laws that HR Managers and management
should be aware of, are listed below.

23
Summary of the Salient Points of the Labor Code (Payos, R. 2011)

• The importance of free collective bargaining and negotiations.

• Free trade unionism for the advancement of social justice.
• The organization of a strong and united labor movement on a free and
voluntary basis.
• Appropriate machinery for expeditious dispute resolution.
• Participation of workers in decision-making and policy-making processes
affecting their rights, duties, and well-being.
• Promote dynamic and just industrial peace;
• Promote free trade unionism and free collective bargaining.
• The right to engage in concerted activities, including the right to strike; and
• Job security – cannot be terminated except for just or authorized reasons.
• All doubts in the application and interpretation of the Labor Code provisions,
including the implementing rules, must be resolved in favor of labor.

Labor Relations

Labor relations refer to the aspect or quality that binds together the social
partners, labor and capital, in the pursuit of their mutual goal – just and equitable pay
and treatment, as well as a fair return on investment.

Labor relations are the relationships that exist between employers and their
employees in the workplace, as well as the political decisions and laws that affect
them. This definition implies that labor relations between employers and employees
are influenced in some way by a third party, namely the State, which makes political
decisions and enacts laws governing such relationships.

Conflict is unavoidable in this labor-management relationship, and these

conflicts can be caused by or contribute to any of the following factors:

1. Manner by which hierarchical demands are made and executed – It is one

of the main functions of managers to get things done through its people. To get
things done, the manager will give instructions or directions to its employees.
Sometimes the manner of giving these orders could lead to conflicts, especially
so if these orders are done in a highhanded manner which could lead to
misunderstanding and ill-feelings, resulting to deliberate disobedience,
dismissal, grievance, industrial dispute and sometimes strike.

24
 2. Clash between management prerogatives and labor rights – There is
always a clash between management prerogatives and labor rights. Both
parties should not surrender its rights for the sake of industrial peace. However,
both parties should respect and understand its rights and find a balance
between those rights. Both parties should have a give and take attitude and
arrive at a win-win situation where opposing rights can be reconciled.
3. Just share in the fruits of production – This is one of the reasons of conflict
in labor-management relations. The law does not stipulate the exact amount of
share in the fruits of production between labor and capital. The employees will
demand to know the financial status of the company, they sometimes complain
and doubt the financial statement as to the truthfulness it represents (e.g. an
income statement showing a net loss, where in reality it is an income). And the
employer sometimes complains that labor does not share in the burden of
losses.
4. Fair return in investments, expansion, and growth – The Constitution and
the enabling law give allowance in the allocation of the fruits or profits in
production, a fair return in investments, and a reserve for expansion and
growth. However it does not stipulates the exact amount in proportion to just
share to employees, it is left to the judgment of both parties. Thus, this issue
could lead to labor dispute that could lead to showdown in work, stoppage or
strike.

D. Application

1. Discuss some salient points of the Labor Code, and the importance of having the
knowledge of all these laws.

25
 UNIT II

Getting the Right People for the Right Job

Introduction

In order to adapt into today’s fast-paced business economic environment,

every organization should recruit talented workforce. A company is only as good as
the people it recruits. If recruitment is done well, the business benefits from its
competent and productive workforce, avoid high turnover, maintain good working
relationships, and ultimately a more profitable business.

Lesson 1: Human Resource Planning

A. Activity:

1. Read excerpts from https://itchronicles.com/human-resources/why-is-human-

resource-planning-important/

B. Analysis

1. How would you define human resource planning, in your own words?

2. What are/is the importance of conducting human resource planning?

C. Abstraction

Human resource planning is the first step in finding the right people for the
right job. It assists organizations in meeting their strategic objectives because human
resource planning connects HR management to the organization's strategic plan.
Human resource planning is an important aspect of a company's success because it
provides inputs for the organization's strategic plan, assists the company in identifying
the number and type of workforce needed, the company's strengths and weaknesses,
and so on, ensuring that the right people are hired at the right time to do the right job.

26
If it is not properly implemented, it will cause a disruption in the flow of work, lower
productivity, possible job dissatisfaction, and an inability to meet its goals and
objectives.

Definition of Human Resource Planning

According to Pattanayak (2006) human resource planning is a process of

analysing the workforce needs of a company under changing conditions, and
developing the solutions necessary for satisfying those needs.

Armstrong (2003) defines human resource planning as a ‘both quantitative and

qualitative process of ensuring that the organisation has the right people at the right
time doing the right job’.

Human resource planning (HRP) is the process by which a management

determines how an organization should move from its current manpower position to
its desired manpower position (3G Learning, 2016).

The focus of HRP is on the following (Itika, 2011):

1. To have the appropriate skills and jobs at the appropriate time;

2. To forecast the types of human resources that will be required,

3. To ensure that replacements are available and ready to fill vacant positions,

4. To ensure that recruitment policies meet the current and future demand for
jobs and qualifications,

5. To ensure that human resources are used effectively,

6. Facilitate personnel procedures for current and future jobs, such as

recruitment, placement, training, and career planning, among others.

Objectives of Human Resource Planning (Source: 3G Learning, 2016)

The major objectives of human resource planning in an organization are to:

• Ensure optimum use of human resources currently employed;

• Avoiding imbalances in the distribution and allocation of human resources; •
Assessing or forecasting future skill requirements of the organization's overall
objectives;
• Providing control measures to ensure the availability of necessary resources
when needed;
27
 • Controlling the cost aspect of human resources; and
• Formulating transfer and promotion policies.

Steps in Human Resource Planning (Source: 3G Learning, 2016)

1. Evaluation of Organizational Plans and Goals

Human resource planning is an important component of an

organization's overall strategy. The company should consider future
manpower requirements for potential expansion, changes in organizational
structure, increases or decreases in production, changes in objectives, or any
other changes that may occur in the business. Finance, marketing,
technology, production, and other important aspects of an organization's plans
will provide an idea of the size of future work activity, which will have an effect
on the number and type of workforce required to meet these plans or
objectives.

2. Forecasting Demand for Human Resources

Human resource planning begins with an assessment of the number

and type of personnel required at various levels and departments. The
following are the main steps in the HRP process:

• Determine and identify current and future human resource needs.

• Identify and recruit the required number of people.
• From the available people, choose the appropriate number and type.
• Hire and place qualified candidates in positions.
• Inform the selected individuals about the nature of the work that has
been assigned to them.
• Promote or transfer employees based on their needs and performance.
• Demote employees who are uninterested or whose performance is
subpar.
• Fire them if they are no longer needed or if their performance is subpar
and shows no signs of improvement.

3. Forecasting Supply of Human Resources

It is critical to note that the allocation of human resources to different

departments should be based on the workloads and human resource
28
 requirements of each department. Human resource allocation should be well
planned so that available manpower is used to its full potential and to the
greatest extent possible to ensure the smooth operation of all departments
and the organization as a whole.

4. Estimating Manpower Gaps

By comparing demand and supply forecasts, manpower gaps or

differences can be identified. In the future, such a comparison will reveal either
a deficit or a surplus of human resources. Deficits indicate the need to recruit
from outside sources, whereas surpluses indicate the need to terminate or
redeploy human resources. Similarly, gaps in knowledge, skills, and
competencies may occur. Deficient employees can be trained, and skilled
employees can be assigned to more enriched and challenging positions.

5. Matching Demand and Supply

One of the goals of human resource planning is to assess the demand

and supply of human resources and compare them to known workforce deficits
and shortages. Once the gaps have been identified, plans are developed to
bridge them.

D. Application

1. What do you think are the benefits of conducting human resource planning, to the
organization?

29
Lesson 2: Recruitment

A. Activity

1. Search the internet on Jollibee’s Recruitment and Selection Process

(https://www.powtoon.com/online-presentation/ceenjqGO0D5/jollibees-
recruitment-and-selection-process/?mode=movie)

2. Write your thoughts regarding their recruitment process

B. Analysis

1. How would you define Recruitment and Selection?

2. What do you think is the significance of recruitment and selection process in

an organization?

C. Abstraction

In today’s highly competitive business environment, every organization need

to adapt with a lot of changes in order to succeed. Since people is what makes an
organization successful, they need to attract, recruit and retain the best and talented
workforce.

Definition of Recruitment

Recruitment is the process of determining that an organization needs to hire

someone up until application forms arrive at the organization.

Other definitions of Recruitment:

Recruitment is the process of identifying, screening, shortlisting, and hiring

qualified candidates to fill open positions in an organization. It is a critical component
of human resource management.

The process of selecting the right person for the right job at the right time is
known as recruitment. The process of attracting, selecting, and appointing potential
candidates to meet the organization's resource requirements is also referred to as
recruitment.

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Purpose and Importance of Recruitment

One of the most important activities in human resource management is

recruitment. If the recruitment process is efficient, the organization will have happier
and more productive employees, the attrition rate will be lower, and it will also create
a good workplace environment with good employee relationships. If done correctly, it
leads to overall organizational growth.

The following is a list that demonstrates the purpose and significance of

recruitment in an organization:

• It identifies current and future job requirements.

• It expands the pool of available jobs at a low cost.
• It contributes to a higher success rate in selecting the right candidates.

• It helps to reduce the likelihood of short-term employment.It meets the

organization’s social and legal obligations with regards to the work force.
• It aids in the identification of job candidates and the selection of appropriate
resources.
• It contributes to increased organizational effectiveness in the short and long
term.
• It aids in determining the efficacy of various recruitment techniques.

• It attracts and encourages applicants to apply for available positions in an

organization.

• It ascertains the organization's current and future requirements and plans

accordingly.

• It connects potential employees with employers.

• It aids in increasing the success rate of the candidate selection process.

• It aids in the development of a talent pool of prospective candidates, allowing

for the selection of the best candidates for the right job based on organizational
needs.

Recruitment Process

Recruitment is the process of identifying and attracting potential resources to

fill open positions in an organization. It identifies candidates with the skills and
attitudes needed to help an organization achieve its goals. The recruitment process

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consists of identifying job openings, analysing job requirements, reviewing
applications, screening, shortlisting, and selecting the best candidate.

The recruitment process is the first step in building a strong resource base.
The process follows a systematic procedure, beginning with sourcing resources,
moving on to organizing and conducting interviews, and finally selecting the best
candidates.

1. Recruitment Planning

The first step in the recruitment process is recruitment planning, in which

vacant positions are analyzed and described. It includes job specifications and the
nature of the job, as well as the experience, qualifications, and skills required for the
job. To attract potential candidates from a pool of candidates, a structured recruitment
plan is required. Potential candidates should be qualified, experienced, and capable
of taking on the responsibilities necessary to achieve the organization's goals.

The steps in recruitment planning are as follows:

1. Identifying Vacancy- It entails determining the number of positions to be

filled, the number of posts to be filled, the duties and responsibilities to be
performed, and the qualifications and experience required.
2. Job Analysis- The process of identifying, analyzing, and determining the
duties, responsibilities, skills, abilities, and work environment of a specific
job is known as job analysis. The following are the immediate outcomes of
job analysis:
• Job Description- The job description describes the scope of
job roles, responsibilities, and the job's placement in the
organization. And this information provides the employer and
the organization with a clear picture of what an employee must
do to fulfill the requirements of his job responsibilities.
• Job Specification- The job specification focuses on the
requirements of the candidate who will be hired by the HR
team. The first step in creating a job specification is compiling
a list of all jobs in the organization and their locations. The
second step is to generate the job information.
3. Job Evaluation- Job evaluation is a comparative process that analyzes,
assesses, and determines the relative value/worth of a job in comparison

32
 to other jobs in an organization. The primary goal of job evaluation is to
analyze and determine which jobs pay the most.

2. Recruitment Strategy

The second part of the recruitment process is to design a recruitment plan for
hiring the resources. Following the completion of job descriptions and job
specifications, the next stage is to decide on a recruitment plan for the organization's
possible candidates. The HR team considers the following factors while developing a
recruitment strategy; to train or hire employees; types of recruitment; geographical
area; and recruitment sources.

The creation of a recruitment strategy is a lengthy process, but it is necessary

in order to attract the best prospects. The following are the steps required in creating
a recruitment strategy:

1. Organizing a board team

2. Examining the HR approach

3. Compilation of available information

4. Analyzing the information gathered

5. Establishing a recruitment strategy

3. Searching the Right Candidates

Searching is a recruitment procedure in which resources are sourced based

on the job's requirements. Following the completion of the recruitment strategy, the
process of finding individuals will begin. There are two steps to this procedure:

• Source activation: The search for a candidate begins once the line
manager confirms and approves the existence of the position.
• Selling: The organization chooses the channel through which job
openings are communicated to potential candidates.

Recruiting entails attracting job candidates to open positions. Internal sources

and external sources are the two broad sorts of sources.

• Internal Sources

33
 Internal sources of recruitment refer to hiring employees within the
organization through: promotions; transfers; former employees; internal
advertisements (Job Posting); employee referrals; and previous applicants

• External Sources

Direct recruiting, employment exchanges, employment agencies, ads,

professional associations, campus recruitment, and word of mouth are all
examples of external sources of recruitment.

4. Screening and Shortlisting

Screening starts after completion of the process of sourcing the candidates.

Screening is the process of filtering the applications of the candidates for further
selection process. Screening is an important step in the recruitment process since it
allows you to exclude unqualified or irrelevant individuals who were found through
sourcing. Three steps make up the recruitment screening process:

• Reviewing of Resumes and Cover Letters

• Conducting Telephone or Video Interview
• Identifying the top candidates

5. Evaluation and Control

The final stage of the recruitment process is evaluation and control. The
effectiveness and validity of the process and methodologies are evaluated during this
procedure. Because recruitment is an expensive process, it's critical to assess how
well it's doing. The expenditures paid throughout the recruitment process must be
analyzed and efficiently controlled. These costs include: salaries for recruiters;
advertising costs and other costs incurred in recruitment methods, such as agency
fees; administrative expenses and recruitment overheads; overtime and outstanding
costs while vacancies remain unfilled; cost incurred in recruiting suitable candidates
for the final selection process; time spent by management and professionals in
preparing job description, job specifications, and in conducting interviews. Finally,
whether the recruitment methods utilized are valid or not is a point that must be
addressed. And how effective is the recruitment procedure in general?

Types of Recruitment

 Internal Source of Recruitment

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 The term "internal sources of recruiting" refers to employing personnel from
within the company. In other words, people applying for various roles are those who
are currently employed by the same company. When it comes to hiring new personnel,
the first priority should be given to individuals who are already employed by the firm.
This is a valuable source of recruiting since it allows for the growth and usage of
existing resources inside the business. Internal sources of recruiting are the best and
simplest way to select resources because the organization already knows how well
they do their jobs.
Pros and Cons of Internal Sources of Recruitment

Internal recruitment, i.e. employing individuals from within the company, has its
own set of benefits and drawbacks. The following are some of the benefits:

• It's simple, straightforward, quick, and cost-effective.

• There is no need for induction or training because the candidates are already
familiar with their roles and duties.

• It encourages employees to work hard and strengthens the working

connection inside the company.

• It aids in the development of employee loyalty to the company.

The drawbacks of hiring candidates through internal sources are as follows:

• It stops potential resources from being hired again. Fresh resources can
sometimes bring new ideas and ways of thinking to the table.

• Because all of the open posts cannot be filled, it has a limited scope.

• There may be conflicts between personnel who have been promoted and
those who have not.

• A post will stay vacant if an internal resource is promoted or moved.

• Employees who do not advance in their careers may become dissatisfied and
demotivated.

 External Sources of Recruitment

Employees hired from outside the organization are referred to as external sources of
recruiting. In other words, the job seekers in this scenario are individuals who are not
affiliated with the organization. External staff bring new ideas and unique thinking to

35
the company. Although hiring from outside sources is more expensive and difficult, it
has the potential to propel the business forward in accomplishing its objectives.

Pros and Cons of External Sources of Recruitment

External recruitment, or employing workers from outside a business, offers both

advantages and disadvantages. The following are some of the benefits:

• It motivates job seekers to pursue new opportunities.

• External sources help boost an organization's branding.

• There shall be no favouritism or bias among the personnel.

• Because of the enormous number of individuals who apply, there is more

flexibility for selecting the best candidate.

The following are some of the drawbacks of hiring from outside sources:

• Because the selecting procedure is lengthy, this process takes longer.

• When compared to recruiting through internal sources, the expense is

relatively significant.

• External candidates expect higher pay and benefits.

Finally, based on the needs of the business, the HR department should be able to
pick between internal and external recruitment strategies.

D. Application

1. Discuss the purpose and importance of recruitment.

2. In your own opinion, what is your best type of recruitment? Elaborate your answer.

36
Lesson 3: Selection

A. Activity

1. Read article in
https://open.lib.umn.edu/humanresourcemanagement/chapter/5-1-the-selection-
process/

2. Name and discuss the steps in the selection process.

B. Analysis

1. How would you define selection?

2. What are the benefits of conducting selection?

C. Abstraction

Employee testing and selection include employing a variety of tools and

approaches to identify the most qualified candidate for the job. The selection of the
best candidate for a vacant position will be a valuable asset to the business, assisting
it in achieving its goals.

Definition of Selection

The process of selecting the best candidate for a vacant employment position
in an organization is known as selection. In other words, selection can be defined as
the process of administering an employment test, interviewing individuals, assessing
their qualifications for a certain job, and finally selecting the right person for the job. A
solid selection process will assist the business in selecting the best candidate for the
job.

Selection is defined in a variety of ways by different writers. Here's a rundown

of some of the terms:

• Employee selection refers to the process of matching the right candidate with
the suitable job.
• Employee selection is the process of selecting applicants who have the
qualifications to fill a vacant position in an organization.

37
 • Selection is the process of discovering and hiring candidates to fill vacancies
in a company.
• Employee selection is the process of aligning a company's needs with an
individual's talents and qualifications.

Difference between Recruitment and Selection

The major differences between Recruitment and Selection are as follows:

Recruitment is the process of identifying and encouraging potential applicants

to apply for jobs, whereas selection is the process of selecting the best candidates for
open positions.

Recruitment is a positive process that aims to attract as many candidates as

possible for open positions, whereas selection is a negative process that aims to
exclude or reject as many candidates as feasible in order to find the best candidate for
the job.

Both recruitment and selection work in tandem and are critical to an

organization's overall success.

Importance of Selection

Because recruiting good resources can help improve the organization's overall
performance, selection is a crucial procedure. In contrast, if a terrible hire occurs as a
result of a poor selection procedure, the work will be harmed, and the cost of replacing
that substandard resource would be expensive.

The goal of selection is to find the best candidate for the position, one who can
meet the requirements of the job and will be a successful applicant. It is critical to
analyze numerous qualities of each candidate, such as their qualifications, abilities,
experiences, overall attitude, and so on, in order to meet the organization's goals.
Following the elimination of candidates who are unsuitable for the vacant position, the
most suitable candidate is chosen.

Because a large sum of money is spent on recruiting the right person for a
position, the business must follow a good selection process or method. If a candidate
is chosen incorrectly, the expense of inducting and training the incorrect candidate will
be a significant financial, time, and effort loss for the company. As a conclusion,
selection is critical, and the procedure must be flawless for the organization's benefit.

38
Advantages of Selection

The following are some of the benefits of a good selecting process:

• It is cost-effective and saves a significant amount of time and work.

• It aids in the recruitment of the best applicant by preventing bias.
• It aids in the elimination of applicants who lack knowledge, ability, and
proficiency.
• It serves as a roadmap for further evaluating candidates through rigorous
verification and reference-checking.
• It aids in the comparison of different candidates' abilities, knowledge, skills,
experience, work attitude, and so on.

A good selection process aids in the selection of the most qualified candidate
for a vacant position in a business.

Selection Process and Steps

As previously stated, selection is critical for any firm in order to minimize losses
and maximize profits. As a result, the selecting procedure must be flawless. The
following steps should be included in a good selecting process:

• Employment Interview: An employment interview is a process in which a

candidate is interviewed one-on-one to learn more about them. It assists the
interviewer in discovering the applicant's inherent attributes and making the
best judgment possible.
• Checking References: The process of validating the applicant's qualifications
and experiences with the references he provides is known as reference
verification. These reference checks assist the interviewer in gaining a better
understanding of the candidate's personal and professional conduct, attitude,
and behavior.
• Medical Examination: A medical examination is a procedure that assesses an
applicant's physical and mental fitness in order to determine whether or not
they are capable of doing a job. This test aids the company in selecting qualified
applicants who are both physically and mentally fit.
• Final Selection: The final selection procedure verifies that the applicant has
passed all steps of the screening process and will be given an appointment
letter.

39
 Any organization can benefit from a selection process that includes the
processes outlined above in order to find and hire the best candidates for the job.

D. Application

1. Assume that you are an HR Manager, design your own selection process.

40
Lesson 4: Orientation: The Acculturation Process

A. Activity

1. Read the article in https://www.forbes.com/sites/insights-

silkroad/2019/01/03/the-bottom-line-of-orientation-and-acculturation-in-
successful-organizations--how-do-you-get-there/?sh=6650845618fe

B. Analysis

1. What are the objectives in conducting an orientation or induction?

2. What are the components of a formal orientation? Discuss each
component.
3. What are the effects of a good orientation?

C. Abstraction

Orientation is another term for induction. Orientation is a process, not an action

or an event. Orientation is designed to teach new employees about the company's
culture, beliefs, policies, and principles, management, products or services, and their
responsibilities. Orientation is developed to eliminate the worry and anxiety that new
employees may have during their first few days on the job. It also aims to generate a
favorable atmosphere and a positive perception of the organization in order to reduce
staff turnover in the long run. Orientations should not be tedious or lengthy. Avoid
bombarding new employees with company information, and offer them the opportunity
to ask questions and learn more about the organization.

Elements of a Good Orientation Program

Orientation should be planned and formal; it should not be a one-time event.

Orientation is more than just giving a tour, handing out an employee handbook,
showing a video of the organization, and so on; it should be a planned process. It
should include the following elements:

1. Welcoming the applicants to the company

2. Visit to the facilities
3. Orientation to top management and coworkers
4. Paperwork completion
5. Review of the employee handbook
6. Examine job responsibilities

41
Benefits of a Good Orientation Program

1. Reduce start-up costs.

A proper orientation can help the employee start right and finish his job
quickly, lowering the costs associated with learning the job.

2. Cut down on employee turnover.

A good orientation demonstrates that new employees are an important

part of the company; they will immediately feel welcomed, reducing their fear
and anxiety about working in an unfamiliar environment. A good orientation
gives them the tools they need to succeed in their respective jobs.

3. It saves the supervisor and co-workers time.

The less time supervisors and co-workers will have to spend teaching
the employees, if the orientation is better.

4. Creates positive job expectations, attitudes, and job satisfaction.

If the orientation is good, new entrants will learn as soon as possible

what is expected of them and what others can expect of them. Learn about the
organization's values and culture as well.

D. Application

1. What is a good orientation program? Devise your own orientation program.

42
 UNIT III: DEVELOPMENT OF HUMAN RESOURCES

Lesson 1: Training and Development

A. Activity

1. Read article in https://www.managementstudyguide.com/training-

development-hr-function.htm

2. Write your thoughts on the article you read.

B. Analysis

1. Discuss your how you define training and development.

2. Is it possible for businesses to do away with training and development? What

is its significance to employees and businesses?

3. What are the advantages of conducting training and development? On the part
of the employer? Employees?

C. Abstraction

To maintain the company's competitive advantage over other companies, as

well as to adjust and keep up with a rapidly changing environment and a competitive
and changing global economy, all employees, regardless of rank, must learn new skills
and develop new abilities and competencies to respond to these changes. To compete
in today's highly competitive economy, the company must have a well-trained and
talented workforce. An organization's competitive advantage can only be achieved and
maintained through continuous upgrading, training, and development of its employees'
skills.

Definition of Training and Development

Employees' willingness to learn new skills and knowledge at work is an

example of discretionary behavior. The willingness of employees to learn and the
effectiveness of training and development can have an impact on an organization's
effectiveness and profitability. It would be a good place to start distinguishing between
education, training, and learning. Mayo and Lank (1994, as cited in Gold et al. 2010)
defined the following terms:

43
 • Education is the systematic exposure to new knowledge, concepts, and ideas.
It is usually intended to increase knowledge or change attitudes and beliefs.
• Training refers to solutions to a learning need that entail being taught or shown
how to do things. It is primarily a skill issue.
• Learning is centered on the needs of the employee and begins with the
individual as the beneficiary.

According to Kolb (1984), learning is a knowledge-creating process that

involves the transformation of experience and knowledge. According to Honey and
Mumford (1992), you can tell when people have learned when they can demonstrate
that they know something they did not know before and/or when they can do something
they could not do before. As a result of the foregoing, it is clear that learning is related
to knowledge, skill, and attitudes. These three are referred to as competencies at
times.

Training and development can take many different forms. The following are
some examples of different training and development activities:

• Induction training

Induction is provided when a new employee joins a company. It is partly an

information-gathering exercise, but it is also part of the socialization process, as new
employees begin to learn the rules and understand "how we do things around here."
In other words, people begin to learn about an organization's culture. Employees may
leave their new job after only a few weeks due to a lack of induction training.

• Training in Remedial Skills

Remedial skills training is used to close "skill gaps" or shortage of skills, when
an employee or group of employees lacks the skills required to perform their current
job task effectively. It is especially critical as the rate of technological change
accelerates. Investing in new machinery and software would be pointless if the existing
workforce could not use it.

• Training for advancement: This relates to the acquisition of competencies that

will be required by the company in the future. This type of training is intended to
address long-term corporate needs rather than provide training in specific skills that
are currently required. This training can also refer to employee preparation for
promotion or managerial succession, in which case it is referred to as management
development and is frequently linked to Talent Management schemes.
44
 It is also important to remember that skill development can take two forms:

1. Company-specific- pertaining to training in skills that will be useful only within

the employee's specific organization (e.g. learning how to drive a bus if you work for a
bus company).

2. Could be transferred- referring to training in skills that will be useful in a variety

of employment situations (e.g. bookkeeping or accountancy).

Importance of Training

Organizational training has always been a priority. Regardless of how well a

company conducts its recruitment activities, it will usually be necessary to provide
individual employees with the skills required to function fully within the organization.
Individuals must be trained and developed as companies change in order to continue
to function efficiently. However, for a variety of reasons, training has recently emerged
as a critical concern. Many of the reasons are related to globalization and increased
global competition, as well as the need to control costs.

The following are some of the reasons why training is critical for every
organization:

• Growing emphasis on product and service quality

To differentiate their product from that of their competitors, many businesses

are increasingly focusing on product and service quality. Striving for quality
necessitates extensive training. It is critical to provide employees with the
necessary skills to operate in a quality-oriented environment, but so is ‘attitudinal'
training. Employee commitment to quality and the ethos of continuous
improvement necessitates extensive corporate values and corporate culture
training. Developing a quality philosophy, or a "quality culture," is thus a significant
training and development issue (Mabey and Salaman, 1995).

• Flexibility
The environment in which businesses operate is becoming increasingly
volatile. Employees within organizations must be adaptable in order for
organizations to be able to adapt to changing environments. An organization can
only benefit from an emerging market or move into a new market niche if its
employees have the necessary skills to operate effectively in the new market or
niche (Crofts, 1995).

45
 • New technology

With the advancement of technologies, there is an increased demand for

labor that possesses the necessary knowledge and skill to effectively use the
technology. Companies will be unable to capitalize on new technological
developments or adapt to new technology unless their workforce possesses the
necessary skills. It is also critical for managers to receive training in new technology
if they are to be able to disseminate knowledge to their subordinates (Hyman,
1996).

• De-layering and downsizing in lean organizations

Companies have recently sought cost-cutting measures. Initiatives may include
the elimination of middle-management layers. The remaining managers and
supervisors' "span of control" has grown. They are now in charge of a broader
range of functions and a larger number of employees. Managers and supervisors
can no longer exercise direct control over their subordinates as spans of control
increase. Instead, managers are expected to delegate more and trust their
employees. As a result, equipping managers with the interpersonal and coaching
skills required to adopt this management style is becoming increasingly important
(Hyman, 1996).
• Employee commitment
There is a growing understanding that providing training, employee
development, and long-term education is critical to generating employee
commitment (Holden, 2001). Training and development, according to research
(Wiley 2010), play a role in influencing employee engagement in organizations.
This is particularly true for graduate recruits. It is becoming increasingly clear that
new graduates will be unwilling to work for companies that do not provide them
with opportunities to learn new skills for systematic management development
(Tulgan 2009).
• Overflow effect
Individual employee training may have a positive impact on all other employees
in that team or section. Through collaboration and daily interaction, the person who
was trained may transfer better performance or more skilled working practices to
their coworkers. The organization gains more than just the money spent on a single
training course. Managers may make the deliberate decision to send only one
worker to the course to learn new skills, with the expectation that that worker will
train the others. This is known as cascade training. The advantage is that it is less
46
 expensive because only one worker attends a course. The disadvantage is that if
the trained worker does not fully understand the training, all of the workers in that
section will be under-trained as a result.

• Labor and skill shortages

Companies cannot expect to find skilled workers among the shrinking pool of
unemployed in times of low unemployment. In such a case, if a company requires
specific skills, it becomes increasingly important to develop them in-house. However,
when there are a large number of unemployed people, organizations do not need to
train. Most labor markets experience skill shortages, so even if there are a large
number of people looking for work, they may lack the necessary skills and knowledge.

Reasons for Employee Training and Development

1. When a performance evaluation indicates that performance should be

improved.
2. To assess the progress of a performance improvement initiative.
3. As part of a broader professional development plan.
4. To help an employee eligible for promotion.
5. To put a new performance management system to the test.
6. To provide training on specific topics such as computer skills, quality
assurance, communications, supervisory, customer service, human relations,
how to handle a grievance and discipline, labor relations, safety, and
negotiations, among many others.

Benefits of Employee and Training Development

1. Job satisfaction and morale have improved.

2. Employee motivation has increased.

3. Increased process effectiveness, resulting in financial gain

4. Enhanced ability to adopt new technologies and methods

5. Increased strategy and product innovation.

6. Employee turnover should be reduced.

7. Improved company image

8. Improved risk management and ethical business behavior

47
D. Application

1. Discuss why training and development is important to employees and companies?

2. Search for a real company (internet or in real business setting), give comments on
their Training and Development. What do you think is/are the appropriate training(s)
for that particular business?

48
Lesson 2: Career Management

A. Activity

1. Read article in https://www.managementstudyguide.com/career-

management.htm

2. Write your thoughts on the article you read.

B. Analysis

1. How would you define career management?

2. Discuss the significance of career planning?

C. Abstraction
Career planning and development is necessary in every organization especially
in today’s business environment, for a variety of reasons. First, with a maturing baby-
boomers (person born in 1946-1964), newer employees must be trained to take those
jobs once baby boomers retire. Second, if an employee knows particular path to career
planning and development is in place, this can increase motivation. A career
development plan usually includes a list of short and long-term goals that employees
have pertaining to their current and future jobs and a planned sequence of formal and
informal training and experiences needed to help them reach the goals.
To help develop this type of program, managers can consider a few components:
• Talk to employees. Talking with employees about their goals and what they
hope to achieve can be a good first step developing a formal career
development program.
• Create specific requirements for career development. There should be a
clear process for the employees to develop themselves within the
organization. Employees must prove themselves that they are qualified for a
certain position if they possess the required eligibilities, trainings or
experiences.
• Use cross-training and job rotation. Cross-training is a method by which
employees can gain management experience, even if for short periods of
time. For example, when a manager is out of the office, putting an employee
“in charge” can help the employee learn skills and abilities needed to perform
that function appropriately. Through the use of job rotation, which involves a
49
 systematic movement of employees from job to job within an organization,
employees can gain a variety of experiences to prepare them for upward
movement in the organization.
• Utilize mentors. Mentorship can be a great way for employees to
understand what it takes to develop one’s career to the next level. A formal
mentorship program in place with willing mentees can add value to the
organization’s career development plan.
Career Planning and Development Process
Here is an example of a process that can be used to put a career development
program in place:
• Meet individually with employees to identify their long-term career interests (this
might be done by human resources or the direct manager).
• Identify resources within the organization that can help employees achieve their
goals. Create new opportunities for training if you see a gap in needs versus what is
currently offered.
• Prepare a plan for each employee, or ask them to prepare the plan.
• Meet with the employee to discuss the plan.
• During performance evaluations, revisit the plan and make changes as necessary.

Importance of Career Planning and Development

Below are the importance of career planning and development (Jatin Piplani, 2019):
1. Attract and retain talent
2. Achieve better productively
3. Reduce employee turnover
4. Improve employee morale and motivation
5. Meet the immediate and future needs of the organization

D. Application
1. Read http://panmore.com/google-hrm-compensation-career-development.
What is your opinion on the career management at Google Company?
2. Look for a well-known company (other than Google) and investigate its career
management. Make a list of their career management procedures.

50
Lesson 3: Disciplining, Counselling & Exiting

A. Activity

1. Read article in https://www.managementstudyguide.com/career-

management.htm

2. Write your thoughts on the article you read.

B. Analysis

1. Discuss the importance and purpose of discipline in the workplace?

2. What do you think are/is the benefit(s) of conducting counselling in the

workplace?

3. What do you think is the purpose of conducting exit interviews?

C. Abstraction
Discipline in the workplace is the means by which supervisory personnel
correct behavioural deficiencies and ensure adherence to established company rules.
The purpose of discipline is to correct behaviour. It is not designed to punish or
embarrass an employee. Often, a positive approach may solve the problem without
having to discipline. However, if unacceptable behaviour is a persistent problem or if
the employee is involved in a misconduct that cannot be tolerated, management may
use discipline to correct the behaviour. In general. Discipline should be restricted to
the issuing of letters of warning, letters of suspensions, or actual termination.
Employers should refrain from “disciplining” employees by such methods as altering
work schedules, assigning an employee to do unpleasant work, or denying vacation
requests.
Misconduct
Discipline may be a necessary response to employee misconduct. Misconduct
is defined by as “unlawful or improper behaviour such as in dereliction of duty”
(Business Dictionary). This can include insubordination, an unexcused absence,
persistent tardiness, verbal abuse, dishonesty, theft or the failure to follow
departmental rules or policies or standard operating procedures.
Examples of misconduct which could result in discipline:
• Excessive tardiness
• Failure to notify of an absence

51
• Insubordination
• Rude or abusive language in the workplace
• Failure to follow departmental rules and policies (i.e. Not wearing safety equipment;
not following correct cash handling procedures)
• Dishonesty
• Theft
Steps on how to impose discipline
• Investigate
The first step a manager should take is to approach an employee to have
him explain his actions. Next, evidence should be gathered from the employee and
third-party sources determine what, if any, involvement the employee may have
had in the documented misconduct. If possible, the investigation should take place
before disciplinary action is taken and with another manager present. Further, the
employee should be clear about what violation has been cited, with dates and times
noted. Management should not refrain from sharing with the accused employee
what evidence it has uncovered.
• Determination
Once an investigation of misconduct has been completed, management
must decide what course of action to take. It is at this point where management
must take care not to be vindictive or possibly violate the rights of the employee
and invite litigation. Action that should not be taken includes changing the
employee’s work hours, assigning the employee to handle an unpleasant task or
cancelling a planned vacation. Such actions should not embarrass or humiliate the
employee, but should be restorative.
• Discipline
Management must work with the human resources department to outline
its plans for discipline. If the company is a union shop, a union representative may
be required to be on hand when discipline is given. The human resources
department may determine the appropriate discipline for misconduct, advice a
reprimand, suspension or termination. Working with HR ensures that all legal
aspects of discipline are covered and that punishment fits the offense.
• Consideration
Alternative forms of discipline may be the best response to misconduct. The
employee might be permitted to publicly apologize to offended employees and
required to take an anger management class to handle inappropriate behaviour.
However, alternative measures may not work if the offense was severe and the
52
 employee should be suspended. The employee’s character and personality
should always be considered when deciding on how to handle incidences of
misconduct.
Importance of Discipline in the Workplace
1. Curbs Problem Behavior
2. Upholds Workplace Standards
3. Helps Avoid Lawsuits
4. Averts Bigger Problems Later

Types of Discipline Used in the Workplace

1. Verbal Warnings- are informal methods that put employees on notice that they
have engaged in behaviour or actions that can lead to more serious consequences if
not immediately corrected.
2. Performance Improvement Plans- employers with a vested interest in helping
employees improve develop what is commonly referred to as a performance
improvement plans. These are detailed plans that identify areas for improvement and
a series of steps the employee must complete to receive an acceptable performance
rating.
3. Suspensions- suspension without pay is a form of workplace discipline employers
typically use before deciding whether to terminate the employee- it may be the last
step before employee discharge.
4. Reassignments and Loss of Privileges

Purpose of Discipline in the Workplace

1. Workplace Structure – Discipline establish guidelines for employee performance
and behaviour and add essential component to the overall management system.
2. Eliminate Non-productive Workers- disciplinary review also helps identify toxic
behaviour in the workplace. Employees who blatantly disregard policies and
procedures are subject to various disciplinary measures. These measures help
employers identify misalignment between employees’ workplace actions and the
organization’s philosophy and mission.
3. Improve Performance – Discipline helps employees improve their performance. In
some cases, employees are unaware of behaviour and actions that prevent them from
achieving acceptable performance levels. The purpose of workplace discipline is to
alert employees to their behaviour and actions and help them understand how these
inhibit performance and productivity.

53
4. Justify Employment Actions - Discipline in the workplace justifies employment
actions besides suspension and termination. Employees subject to disciplinary review
also may be the first ones laid off during a performance-based reduction on force. For
promotions, employees with a history of disciplinary and corrective action will likely be
overlooked in favour of candidates who have a clean record.

Counselling
The counselling techniques are used to help employees deal with personal
problems that may interfere with the achievement company’s goals. Counselling
program may address such issues as substance abuse, stress management, smoking
cessation, or fitness, nutrition and weight control.
Steps involved in employees counselling
1. Establish rapport or prepare a base for communication
2. Explore information about performance
3. Help define the future goal and internalize the problem
4. Draw action plan.
Requisites of Performance Counselling
1. Individual’s desire to improve
2. Genuine interest of the superior in His subordinates’ development
3. Mutual participation
Organization Exit
Organizational exit is the process of managing the conditions under which
employees leave the organization and is often referred to as decruitment. An employee
might be required to leave the organization because of his or her own actions, or the
exit might be mandated based on organizational strategy that is beyond the control of
the individual. If organizational exit is to be controllable, involuntary, and functional, the
organization must know why exit occurs, particularly voluntary exit. One of the ways of
determining this is by conducting exit interviews.
Exit Interviews
Many, in fact most, employers use exit interviews, which are conducted in an
attempt to determine why individuals are leaving the organization. The objective is to
determine what is good and what is bad about the organization in order to provide the
management with information that assists in developing or modifying programs to
improve organizational performance.

54
D. Application
1. Why do we impose discipline in the workplace?
2. What do you think is the best type of discipline used in the workplace? Defend
your answer.
3. In your opinion, is conducting exit interviews really needed? Defend your answer.

55
Lesson 4: Time Management

A. Activity

1. Read article in https://www.skillsyouneed.com/ps/time-management.html

2. Write your tasks at hand (tasks at home, school or work), organize your tasks
using the priority matrix.

B. Analysis

1. What is the importance of time management for you, as a student?

2. What do you think are the benefits of time management? In the workplace? At
home?

C. Abstraction
According to Harris (u,d), time management has been defined as “the process
of skilfully applying time to finish an perfect a specific activity within time constraint”.
Time management is a set of principles, practices, skills, tools and systems working
together to help you get more value out of your time with the aim of improving the
quality of your life. It is a set of skills which allow a person to be more productive and
efficient in completing tasks.

Importance of Time Management

Time management plays very importance role not only in organizations but also
in our personal lives. Time management includes:
1. Effective Planning
2. Setting goals and objectives
3. Setting deadlines
4. Delegation of responsibilities
5. Prioritizing activities as per their importance
6. Spending the right time on the right activity

Ten principles for time management (Amiri, et. al 2014)

1. Planning- there should be a clear program for time management and this
program should be arranged based on individual personality traits.

56
 2. Identifying Purposes: the first step in planning is to identify the goals we want
to achieve.
3. Daily schedule: a detailed list of daily activities to be done should be provided.
4. Prioritize: One of the skills that will lead us to increase the efficiency of daily
activities is prioritizing. It means to pre-specify which activities must be carried
out sooner than the others.
5. Energy boundaries: One of the characteristics of good program is its fitness
with emotional situations and physical abilities of individual. Individuals’ energy
to do things different during the day.
6. Set deadlines: An important factor in daily planning is determining the time of
its completion in order to increase the effectiveness of every activity.
7. Flexibility: The best amount of performing what we have in mind is 60 to 70
percent. We should be flexible in performing programs.
8. Personal management: Each person should be able to administer personal
affairs in this context.
9. Operating the program: Practice, assessment and control are effective parts of
time management. We should be patient in runtime and endure.
10. Evaluation and Control: As mentioned, all steps should be evaluated and
monitored.
Effective time management:
1. One should be organized
2. Do not misuse time,
3. Be focused.
Time management Skills
1. Plan and prioritize
2. Focus and set goals
3. Overcome procrastination
4. Review and ponder
5. Commitment

D. Application
1. Using your priority matrix, explain why some of your tasks/actions are more
important than others. Discuss your basis or reasons.

57
 UNIT IV: Maintenance of Human Resources

Introduction

The human resource motivation, performance, compensation, and reward

system is the focus of this unit. This will also include topics like managing diversity
and occupational health and safety.

Lesson 1: Motivation

A. Activity

1. Read article in
https://nscpolteksby.ac.id/ebook/files/Ebook/Business%20Administration/ARMS
TRONGS%20HANDBOOK%20OF%20HUMAN%20RESOURCE%20MANAGE
MENT%20PRACTICE/19%20-%20Motivation.pdf

B. Analysis

1. Are you motivated? What motivates you to work? To study?

2. Which type of reward is more important, intrinsic or extrinsic? Defend your

answer.

C. Abstraction

Managers must motivate their employees to do their jobs effectively and

efficiently in order to meet goals. Managers face a difficult task in motivating
employees; employees must work toward the organization's goals while also pursuing
their personal objectives.

Concept of Motivation

Page (2008) defines motivation as "the process by which an individual

accounts for the intensity, direction, and persistence of effort toward the achievement
of a goal." Motivation, according to Tosi, Mero, and Rizzo (2000), has both
psychological and managerial implications. In psychology, motivation refers to a
person's internal mental state as it relates to the initiation, direction, persistence,
intensity, and termination of behavior. The managerial definition of motivation, on the
other hand, is concerned with the activity of managers and leaders in persuading
58
others to produce results desired or outlined by the organization or by the manager,
which conforms to a relationship between motivation, ability, and performance.

A motive is defined as "something that causes a person to act" by Webster's

New Collegiate Dictionary. Motivate means to "provide with a motive," and motivation
is defined as "the act or process of motivating." Thus, motivation is the act or process
of providing a reason for someone to do something. In most cases, motivation stems
from a need, which leads to behaviour, which results in some type of reward when the
need is met. This definition mentions two concepts: rewards and need.

Types of motivation

The two types of motivation are intrinsic motivation and extrinsic motivation.

• Intrinsic motivation

Self-generated factors that influence people's behavior can give rise to intrinsic
motivation. It is not the result of external incentives. It can take the form of intrinsic
motivation, which occurs when individuals believe that their work is important,
interesting, and challenging, and that it provides them with a reasonable degree of
autonomy (freedom to act), opportunities to achieve and advance, and opportunities
to use and develop their skills and abilities. According to Deci and Ryan (1985),
intrinsic motivation is based on the need to be competent and self-determining . Job
or role design can boost intrinsic motivation. According to an early writer on the
importance of job design's motivational impact (Katz, 1964), "the job itself must
provide sufficient variety, sufficient complexity, sufficient challenge, and sufficient skill
to engage the worker's abilities." Hackman and Oldham (1974) emphasized the
importance of the core job dimensions as motivators in their job characteristics model,
namely skill variety, task identity, task significance, autonomy, and feedback.

Extrinsic motivation

When things are done to or for people in order to motivate them, this is known
as extrinsic motivation. These include incentives, increased pay, praise, or promotion,
as well as punishments such as disciplinary action, pay withholding, or criticism.
Extrinsic motivators can have an immediate and powerful effect, but they do not
always last. Intrinsic motivators, which are concerned with the "quality of working life"
(a phrase and movement that arose from this concept), are likely to have a deeper
and longer-term effect because they are inherent in individuals and their work and are
not imposed from without in the form of incentive pay.
59
Theories of Motivation

• Reinforcement theory
• Instrumentality theory
• Content or needs theory
• Process or cognitive theory
• Herzberg’s two-factor theory
• McGregor’s theory X and theory Y

Reinforcement theory

According to Hull (1951), success in achieving goals and rewards acts as a positive
incentive and reinforces the successful behavior, which is repeated the next time a
similar need arises. The stronger, more obvious, and frequent the reinforcement, the
more likely the behavior will be repeated until it becomes a more or less unconscious
reaction to an event. Failures or punishments, on the other hand, provide negative
reinforcement, implying that alternative methods of achieving goals are required. This
is referred to as the 'law of effect.'

Instrumentality theory

The belief that if we do one thing, it will lead to another is referred to as

‘instrumentality.' In its most basic form, instrumentality theory asserts that people work
solely for monetary gain. The theory emerged in the second half of the nineteenth
century, emphasizing the need to rationalize work and economic outcomes. It is
assumed that people will be motivated to work if rewards and penalties are directly
linked to their performance; thus, the awards are conditional on effective performance.
Taylor (1911) wrote: ‘It is impossible, over any long period of time, to get workmen to
work much harder than the average men around them unless they are assured of a
large and permanent increase in their pay.'

Content or needs theory

The theory is concerned with the content of motivation in the form of needs. It
is based on the belief that an unsatisfied need causes tension and disequilibrium. To
restore balance, a goal that will satisfy the need is identified, and a behavior pathway
that will lead to the achievement of the goal and satisfaction of the need is chosen. As
a result, all behavior is motivated by unsatisfied needs. Maslow, Alderfer, and
Mclelland developed needs theory, which is described below:

60
Maslow’s hierarchy of needs

Maslow's hierarchy of needs is the most well-known classification of needs

(1954). He proposed that there are five major need categories that apply to all
people, beginning with basic physiological needs and progressing through a
hierarchy of safety, social, and esteem needs to the highest need of all, the
need for self-fulfillment. When a lower need is met, the next highest need
becomes dominant, and the individual's attention is directed toward meeting
this higher need. The desire for self-actualization, on the other hand, can never
be satisfied. Only an unsatisfied need can motivate behavior, and the
dominant need is the primary motivator of behavior. Psychological
development occurs as people progress up the hierarchy of needs, but this is
not always a linear progression. Lower needs continue to exist as motivators,
even if they are temporarily dormant, and individuals constantly return to
previously satisfied needs.

• ERG theory (Alderfer)

Alderfer (1972) devised a theory of human needs that postulated three
primary categories:
1. Existence needs such as hunger and thirst – pay, fringe benefits and
working conditions are other types of existence needs.
2. Relatedness needs, which acknowledge that people are not self-
contained units but must engage in transactions with their human
61
 environment – acceptance, understanding, confirmation and influence
are elements of the relatedness process.
3. Growth needs, which involve people in finding the opportunities ‘to
be what they are most fully and to become what they can’.
• McClelland’s achievement–affiliation–power needs

McClelland (1961) developed an alternative method of categorizing

needs, based primarily on studies of managers. He identified three critical
requirements:

1. The desire for achievement is defined as the desire for competitive

success measured against a personal standard of excellence.

2. The need for affiliation, which is defined as the desire for warm, friendly,
and compassionate relationships with others.

3. The desire for power, defined as the desire to exert control over or
influence others.

Different people have varying levels of these needs. Some people have a
greater need for achievement, while others have a greater need for affiliation,
and still others have a greater need for power. While one need may be more
pressing than others, this does not imply that the others are non-existent. At
different levels of management, the three needs may be prioritized differently.
Achievement needs are especially important for success in many junior and
middle management jobs where there is direct responsibility for task
completion. However, in senior management positions, concern for
institutionalized power, rather than personal power, becomes more important.
At any level, a strong need for affiliation is not as strong.

Process theory

Process theory focuses on the psychological processes or forces that

influence motivation as well as basic needs. It is also referred to as "cognitive theory"
because it is concerned with people's perceptions of their working environment and
how they interpret and comprehend it. Guest (1992) claims that process theory is a
much more relevant approach to motivation than Maslow's and Herzberg's theories,
which he claims have been proven wrong by extensive research. Managers can
benefit from process or cognitive theory more than needs theory because it provides

62
more realistic guidance on motivation techniques. Expectations, goal achievement,
and feelings about equity are the three main processes.

• Expectancy theory

According to expectation theory, people are more motivated when they

know what they need to do to get a reward, expect that they will be able to get
the reward, and expect that the reward will be worthwhile.

The concept of expectancy was first introduced in Vroom's valency–

instrumentality–expectancy (VIE) theory (1964). Valency is the belief that if we
do one thing, it will lead to another, and expectancy is the likelihood that action
or effort will result in an outcome.

Porter and Lawler (1968) developed this theory into a model that
follows Vroom's ideas by proposing that there are two factors determining the
effort people put into their jobs: first, the value of the rewards to individuals in
terms of satisfying their needs for security, social esteem, autonomy, and self-
actualization, and second, the probability that rewards depend on effort, as
perceived by the individual. Thus, the greater the value of a set of awards and
the greater the likelihood that receiving each of these rewards is contingent on
effort, the greater the effort expended in a given situation.

• Goal theory
Goal theory, as developed by Latham and Locke (1979), states that
when individuals are given specific goals, when those goals are difficult but
accepted, and when there is feedback on performance, motivation and
performance improve. Participation in goal setting is essential for gaining
agreement on the setting of higher goals. Difficult goals must be agreed upon,
and their attainment must be supported by guidance and advice. Finally,
feedback is critical in maintaining motivation, especially when it comes to
achieving even higher goals.
• Social learning theory
Bandura's (1977) social learning theory combines elements of both
behavioral and expectancy theory. It acknowledges the importance of the
fundamental behavioral concept of reinforcement as a predictor of future
behavior, but it also emphasizes the importance of internal psychological
factors, particularly expectations about the value of goals and the individual's
ability to achieve them. The term ‘reciprocal determinism' refers to the idea
63
 that, while the situation influences individual behavior, individuals also
influence the situation.

• Equity theory
Equity theory (Adams, 1965) is concerned with people's perceptions of
how they are treated in comparison to others. Being treated equitably means
being treated fairly in comparison to another group of people (a reference
group) or a relevant other person. Equity is always a comparative process that
involves feelings and perceptions. It is not synonymous with equality, which
means treating everyone the same, because this would be unfair if they
deserved to be treated differently. People will be more motivated if they are
treated equitably, and less motivated if they are treated inequitably, according
to equity theory. It explains only one aspect of the motivation and job
satisfaction processes, but it may be important in terms of morale.

Herzberg’s two-factor mode

Herzberg et al (1957) developed the two-factor model of satisfiers and

dissatisfiers as a result of an investigation into the sources of job satisfaction and
dissatisfaction among accountants and engineers. It was assumed that people could
accurately report the conditions that made them satisfied or dissatisfied with their jobs.
As a result, the subjects were asked to tell their interviewers about the times when
they felt exceptionally good or exceptionally bad about their jobs, as well as how long
those feelings lasted. The accounts of 'good' periods were discovered to be most
frequently concerned with the content of the job, specifically achievement, recognition,
advancement, responsibility, and the work itself. Accounts of 'bad' times, on the other
hand, frequently concerned the context of the job. Company policy and administration,
supervision, salary, and working conditions appeared in these accounts more
frequently than in those told about 'good' periods.

Employee wants are divided into two categories. One group is centered on the
need to advance in one's occupation as a source of personal growth. The second
group functions as a foundation for the first and is associated with fair compensation,
supervision, working conditions, and administrative practices. The satisfaction of the
second group's needs does not motivate the individual to high levels of job satisfaction
and extra performance on the job. All we can hope for from meeting this second set
of needs is a reduction in dissatisfaction and poor job performance.

64
In the medical sense of the term, the second group consists of hygiene factors, which
are preventive and environmental in nature. While financial incentives may motivate
in the short term, the effect quickly wears off, according to Herzberg.

McGregor’s Theory X and Y

Douglas McGregor (1960) developed his analysis of various perspectives on

people and how they should be motivated. Theory X is the traditional belief that the
average human dislikes work and prefers to avoid responsibility, and that, as a result,
“most people must be coerced, controlled, directed, and threatened with punishment
to put forth adequate effort toward organizational objectives.” Theory Y, on the other
hand, emphasizes that people will exercise self-direction in the service of goals to
which they are committed, and that commitment to goals is a function of the rewards
associated with their attainment.

D. Application

1. What is the difference between content and process theory?

2. Does money motivate employees? Why and why not?

3. As a manager, discuss how are you going to motivate your employees.

65
Lesson 2: Performance Management (Source: TutorialsPoint)

A. Activity

1. Read article in
https://www.tutorialspoint.com/performance_management/index.htm

B. Analysis

1. How you would define performance management, in your own words?

2. What is the importance of performance?

3. Discuss the performance management process.

C. Abstraction

What is Performance?
Performance could be defined simply as the achievement of quantifiable goals.
However, performance is not only about what people achieve, but also about how they
achieve it. A high level of performance is achieved through appropriate behavior and
the effective application of required knowledge, skills, and competencies. Performance
management must investigate how results are obtained because this provides the
information required to determine what needs to be done to improve those results.
Brumbrach (1988) defined performance as follows: "Performance means both
behaviors and results." The performer's behavior transforms performance from
abstraction to action. Not only are results instruments, but behavior is also an outcome
in its own right – the result of mental and physical effort applied to tasks – and can be
judged independently of results. This definition of performance leads to the conclusion
that when it comes to performance management, both behavior and results must be
taken into account.
Significance of Performance
Performance is all about the organization's core values. This is a behavior aspect, but
it focuses on what people do to realize core values such as concern for quality, concern
for people, concern for equal opportunity, and ethical behavior. It entails transforming
espoused values into values in practice: ensuring that rhetoric becomes reality.

66
Meaning of Alignment
One of the most important aspects of performance management is the
assignment of individual and organizational goals. This means that what people do at
work contributes to the achievement of organizational objectives.
The real concept of performance is associated with an approach to developing
a specific vision of the organization's purpose and goals, which will assist each
employee in understanding and recognizing their part of responsibilities, with the help
of which they will manage and improve the performance of both individuals and the
organization.
Alignment is a flow of objectives from the top to the bottom of an organization,
and at each level, team or individual objectives are defined in comparison to higher-
level goals. However, it should also be a transparent process in which individuals and
teams are given the opportunity to set their own goals within the framework defined
by the organization's purpose, strategy, and values. Objectives should be agreed
upon rather than set, and this agreement should be reached through open dialogues
between managers and individuals throughout the year. In other words, this must be
viewed as a collaboration in which responsibility is shared and mutual expectations
are established.

Performance Management Process

Performance management is a process that includes the following activities:

• Plan – decide what to do and how to do it.
• Act – carry out the work needed to implement the plan.
• Monitor – carry out continuous checks on what is being done and measure
outcomes in order to assess progress in implementing the plan.
• Review – consider what has been achieved and, in the light of this, establish
what more needs to be done and any corrective action required if
performance is not in line with the plan.

67
Performance Management Activities
Let us now discuss the activities that take place in performance management. The
main activities are:
• Role definition, in which the key result areas and competence requirements are
agreed.
• The performance agreement, which defines expectations – what individuals have
to achieve in the form of objectives, how performance will be measured and the
competences needed to deliver the required results.
• The performance improvement plan, which specifies what individuals should do to
improve their performance when necessary.
• The personal development plan, which sets out the actions people should take to
develop their knowledge and skills and increase their levels of competence.
• Managing performance throughout the year, when action is taken to implement
the performance agreement and performance improvement and personal development
plans as individuals carry on with their day-to-day work and their planned learning
activities. It includes a continuous process of providing feedback on performance,
conducting informal progress reviews, updated objectives and, where necessary,
dealing with performance problems.
• Performance review is an evaluation stage, where a review of performance over
a period takes place covering the aspects like achievements, progress and problems
as the basis for the next part of the continuous cycle – a revised performance
agreement and performance improvement and personal development plans. It can
also lead to performance ratings.
D. Application

1. Discuss the activities that takes place in the performance management

2. What is/are the implications of performance management in an organization?

68
Lesson 3: Compensation Management

A. Activity

1. Read article in https://www.businessmanagementideas.com/human-resource-

management-2/compensation-management-in-hrm/19932

B. Analysis

1. How you would define compensation management, in your own words?

2. Discuss the objectives of compensation management.

C. Abstraction

Employee compensation refers to remuneration for services rendered to the

organization by employees. In other words, remuneration is the monetary
compensation that an employee receives in exchange for his or her services to the
organization. The remuneration or reward or salary or wages paid to an employee is
very important in his or her life because it determines his or her standard of living,
social status, motivation, loyalty, and productivity.
Employee compensation or remuneration is important for the organization's or
management's employer because it contributes to the cost of production.
Furthermore, many conflicts arise between the employer (management or
organization) and the employees over issues such as wages, bonuses, pensions, and
provident funds.

Employee remuneration is a critical function for HRM because every employee

is concerned with the amount of remuneration, scale, and other allowances that he or
she receives. Every employee wants to get as much higher remuneration as possible,
while every organization wants to give as little as possible. Human resource
management specialists face the difficult task of establishing fair wages and wage
differentials that are acceptable to employees and their leaders.

The goals of compensation management are to create the lowest cost plan
structure that will attract, motivate, and retain competent employees while also being
perceived as fair by these employees.

69
Compensation Management

Because of its importance, compensation management has become one of the

most pressing issues for both employees and employers worldwide. Employees,
understandably, want to be compensated more for their efforts, whereas employers
prefer to pay as little as possible. As a result, in many organizations, there is a conflict
between employees and employers regarding compensation.

Compensation or reward management is concerned with the development and

implementation of strategies and policies that reward people fairly, equitably, and
consistently in accordance with their value to the organization and aid in the
achievement of the organization's strategic goals. It is concerned with the design,
implementation, and upkeep of reward systems that are intended to meet the needs of
both the organization and its shareholders.

Compensation management, also referred to as wage and salary

administration or remuneration management, is concerned with the design and
implementation of total compensation packages.
The primary goal of compensation management is thus to ensure worth and
compatibility to the worker and the working environment, as well as to maintain internal
and external equity in order to ensure that workers are satisfied and willing to work
wholeheartedly.
The HRM Manager is responsible for developing a strategy to attract the best
employees while also managing the policy in accordance with government regulations
and the satisfaction of the union. It may manage the functions through various
committees or divisions to accomplish this.

Objectives of Compensation Management

The establishment of equity is a critical goal of compensation management.
However, the following are the general objectives of compensation management:
 To attract and acquire qualified and competent employees to meet the
organizational objectives
 To secure internal and external equity
 To control the desired behaviour of the employees
 To reduce conflicts and grievances
 To ensure industrial harmony
 To simplify minimum bargain
 To facilitate pay roll and pay system.
70
 Every organization has a goal to achieve and a desire to develop competitiveness,
so they try to acquire and retain talent by designing and offering attractive
compensation packages. To complete this task, both the employer's and the
employee's compensation objectives, as well as the internal and external
environments, must be examined.

D. Application

1. Discuss the concept of compensation management and its significance (in your
own opinion).

71
Lesson 4: Reward Management

A. Activity

1. Read article in
https://nscpolteksby.ac.id/ebook/files/Ebook/Business%20Administration/ARMST
RONGS%20HANDBOOK%20OF%20HUMAN%20RESOURCE%20MANAGEM
ENT%20PRACTICE/46%20-%20Reward%20Management.pdf

B. Analysis

1. How you would define reward management, in your own words?

2. Discuss the objectives of reward management.

C. Abstraction

Reward management is concerned with the development and implementation

of strategies and policies to reward people fairly, equitably, and consistently in
proportion to their value to the organization. It is concerned with the creation of reward
strategies as well as the design, implementation, and upkeep of reward systems
(reward processes, practices, and procedures) that are intended to meet the needs of
both the organization and its stakeholders. Reward can be viewed as the most basic
expression of the employment relationship.

The aims of reward management

• Reward people according to what the organization values and wants to pay for.

• Reward people for the value they create.

• Reward the right things to convey the right message about what is important in terms
of behaviours and outcomes.

• Develop a performance culture.

• Motivate people and obtain their commitment and engagement.

• Help to attract and retain the high quality people the organization needs.

• Develop a positive employment relationship and psychological contract.

• Align reward practices with both business goals and employee values;
72
• Operate fairly.

• Apply equitably

• Function consistently

• Operate transparently

The philosophy of reward management

Reward management is founded on a well-articulated philosophy – a set of

beliefs and guiding principles that are consistent with and help to enact the
organization's values. These include convictions about the importance of achieving
fairness, equity, consistency, and transparency in the operation of the reward system.
The philosophy recognizes that if HRM is about investing in human capital and
requiring a reasonable return, then it is appropriate to reward people differently based
on their contribution.
The reward management philosophy acknowledges that it must be strategic in
the sense that it addresses longer-term issues relating to how people should be valued
for what they do and achieve. Reward strategies, as well as the processes required to
implement them, must flow from the business strategy.
Reward management takes a ‘total reward' approach, emphasizing the
importance of considering all aspects of reward as a cohesive whole that is integrated
with other HR initiatives aimed at increasing employee motivation, commitment,
engagement, and development. This necessitates the integration of reward strategies
with other human resource management (HRM) strategies, particularly those relating
to human resource development. Reward management is an essential component of
an HRM approach to people management.

The reward system

A reward system is made up of a number of interconnected processes and
activities that work together to ensure that reward management is carried out
effectively for the benefit of the organization and its employees. These are discussed
further below.
• Reward strategy
The reward strategy outlines what the organization intends to do in the long run
to develop and implement reward policies, practices, and processes that will help
it achieve its business objectives.

73
• Reward policies
Reward policies address the following broad issues:
 the level of rewards taking into account ‘market stance’ – how internal
rates of pay
 should compare with market rates, eg aligned to the median or the
upper quartile rate;
 achieving equal pay;
 the relative importance attached to external competitiveness and
internal equity;
 the approach to total reward;
 the scope for the use of contingent rewards related to performance,
competence, contribution or skill;
 the role of line managers;
 transparency – the publication of information on reward structures and
processes to employees.
• Total reward
Total reward is the combination of financial and non-financial rewards
available to employees.
• Total remuneration
Total remuneration is the value of all cash payments (total earnings)
and benefits received by employees.
• Base or basic pay
The base rate is the amount of pay (the fixed salary or wage) that makes
up the job rate. It may differ depending on the job grade or, in the case of
manual workers, the level of skill required.
Internal and external relativities will have an impact on base pay.
Internal relativities can be measured using some type of job evaluation.
Tracking market rates is used to assess external relativities. Alternatively, pay
levels can be agreed upon through collective bargaining with trade unions or
through individual agreements.
Base pay can be expressed in annual, weekly, or hourly increments.
For manual workers, this could be an hourly rate known as a time rate.
• Job evaluation
Job evaluation is a systematic process that defines the relative worth or
size of jobs within an organization in order to establish internal relativities and
provide the foundation for designing an equitable grade structure, grading jobs

74
 within the structure, and managing relativities. It does not directly determine the
level of pay. Analytical or non-analytical job evaluation is possible. It is based
on an examination of jobs or roles, which results in the creation of job
descriptions or role profiles.
• Market rate analysis
Market rate analysis is the process of determining the pay rates in the
labor market for comparable jobs in order to inform decisions on pay levels
within the organization. A policy decision on how internal rates of pay should
compare to external rates – an organization's market stance – may be made.
• Grade and pay structures
Jobs may be assigned to a graded structure based on their relative size.
Market rates have an impact on pay levels in the structure. The pay structure
may include pay ranges linked to grades that allow for pay advancement based
on performance, competence, contribution, or service. Alternatively, a ‘spot
rates' or ‘individual job grades' structure could be used for all or some jobs
where there is no provision for pay progression. Additional financial rewards
may be provided in the grade based on performance, competence,
contribution, skill, or service. These are known as 'contingent pay.' Contingent
payments can be added to base pay, or 'consolidated.' If such payments are
not consolidated (i.e. given as cash bonuses), they are referred to as ‘variable
pay.'
• Employee benefits
Employee benefits include pensions, sick pay, insurance coverage,
company cars, and a variety of other perks. They include remuneration
elements in addition to the various forms of cash pay, as well as non-
remuneration provisions for employees, such as annual holidays.
• Performance management
Individual performance and contribution expectations are defined,
performance is assessed against those expectations, regular constructive
feedback is provided, and agreed-upon plans for performance improvement,
learning, and personal development are produced. They can be used to provide
non-monetary motivation and may also be used to inform contingent pay
decisions.
• Non-financial rewards
Rewards that do not involve direct payments and are often derived from the
work itself, such as achievement, autonomy, recognition, opportunities to use

75
 and develop skills, training, career development opportunities, and high-quality
leadership.

D. Application

1. In your own opinion, what is the importance of having a reward system in an

organization?

76
Lesson 5: Management – Labor Relations

A. Activity

1. Read article in https://blr.dole.gov.ph/2014/12/11/labor-management-relations/

B. Analysis

1. Discuss how you understand the policies under Article 211?

C. Abstraction

Nature of Labor Relations

The policy aims to establish industrial democracy based on collective

bargaining, with social justice as the ultimate goal.

Labor relations are essentially inter-party, which means that both the employer
and the employee must deal with their problems in a way that is mutually beneficial to
them. This is why the policy encourages “free” bargaining and bargaining between
employers and employees. The law promotes a democratic and self-determined
method of governing labor-management relations. The rule is that parties must reach
an agreement on their own; government intervention is the exception.

The inter-party characteristics of labor relations are also the reason why the
policy prefers a voluntary rather than a mandatory mode of dispute resolution. Only
when the parties themselves fail to reach an agreement to the detriment of the public
interest, or when one disregards the defined rights of the other, does the government
intervene.

Article 211 of the Labor Code, as amended by R.A. 6715, on the State Policy on
Labor Relations:

a) To promote and emphasize the primacy of free collective bargaining and

negotiations, including voluntary arbitration, mediation and conciliation, as
modes of settling labor or industrial disputes;
b) To promote free trade unionism as an instrument for the enhancement of
democracy and the promotion of social justice and development;

77
 c) To foster the free and voluntary organization of a strong and united labor
movement;
d) To promote the enlightenment of workers concerning their rights and
obligations as union members and as employees;
e) To provide an adequate administrative machinery for the expeditious
settlement of labor or industrial disputes;
f) To ensure a stable but dynamic and just industrial peace; and
g) To ensure the participation of workers in decision and policy-making processes
affecting their rights, duties and welfare.

D. Application

1. Do employees have the right to participate in formulating company policies which

they will be obliged to observe?

78
Lesson 6: Managing Diversity

A. Activity

1. Read article in https://edis.ifas.ufl.edu/pdf/HR/HR02200.pdf

B. Analysis

1. Discuss how would you define diversity in the workplace?

2. What are the benefits and challenges of diversity?

C. Abstraction

The increasing globalization of the world necessitates more interaction among

people from various backgrounds. People no longer live and work in isolated
communities; they are now part of a global economy competing within a global
framework. As a result, both for-profit and non-profit organizations must diversify in
order to remain competitive. Making the most of and capitalizing on workplace diversity
is a critical issue for management.
Supervisors and managers must be aware of how the workplace is changing
and evolving. Managing diversity is a significant organizational challenge, so
managerial skills must evolve to accommodate a multicultural workplace.

Diversity Definition

Diversity can be defined as acknowledging, understanding, accepting, and

valuing differences among people with respect to age, class, race, ethnicity, gender,
disabilities, etc. (Esty et al. 1995).

Companies must embrace diversity and seek ways to become more inclusive
organizations, as diversity has the potential to increase work productivity and
competitive advantages. Diversity, according to Stephen Butler, co-chair of the
Business-Higher Education Forum, is a valuable competitive asset (Robinson 2002).
Managing diversity is a critical component of effective workplace people management
(Black Enterprise 2001).

79
Benefits of Diversity in the Workplace

Diversity benefits both employees and employers. Although associates in the

workplace are interdependent, respecting individual differences can boost productivity.
Workplace diversity can reduce lawsuits while increasing marketing opportunities,
recruitment, creativity, and business image (Esty et al. 1995). Diversity is critical for an
organization's success in an era when flexibility and creativity are critical to
competitiveness. Furthermore, the consequences (loss of time and money) should not
be underestimated.

Challenges of Diversity in the Workplace

Managing a diverse work population presents challenges. Managing diversity

entails more than simply recognizing individual differences. It entails valuing
differences, combating discrimination, and promoting inclusiveness. Managers may
also face personnel and productivity losses as a result of prejudice and discrimination,
as well as complaints and legal actions filed against the organization (Devoe 1999).
Negative attitudes and behaviors can be impediments to organizational
diversity because they harm working relationships and undermine morale and
productivity (Esty et al., 1995). Prejudice, stereotyping, and discrimination are
examples of negative attitudes and behaviors in the workplace that should never be
used by management for hiring, retention, or termination practices (could lead to
costly litigation).

Required Tools for Managing Diversity

Effective managers understand that certain skills are required to build a

successful, diverse workforce. First and foremost, managers must comprehend
discrimination and its consequences. Second, managers must be aware of their own
cultural prejudices and biases (Koonce 2001). Diversity refers to differences between
individuals rather than differences between groups. Each person is unique and does
not represent or speak for a specific group. Finally, managers must be open to
changing the organization if necessary (Koonce 2001). To be successful in the future,
organizations must learn how to manage workplace diversity (Flagg 2002).
Unfortunately, there is no one-size-fits-all recipe for success. It is primarily
dependent on the manager's ability to understand what is best for the organization
based on teamwork and workplace dynamics. Managing diversity, according to
Roosevelt (2001), is a comprehensive process for creating a work environment that
includes everyone. An effective manager should prioritize personal awareness when
80
developing a successful diverse workforce. Managers and associates must be aware
of their own personal biases. As a result, organizations must develop, implement, and
maintain ongoing training, because a one-day training session will not change people's
behaviors (Koonce 2001). Managers must also recognize that fairness does not
always imply equality. Exceptions to the rule are unavoidable. More than equal
employment opportunity and affirmative action are involved in diversity management
(Losyk 1996). Managers should be prepared for slow change while also encouraging
it (Koonce 2001). Another critical requirement when dealing with diversity is to promote
a safe environment for associates to communicate (Koonce 2001). Social gatherings
and business meetings, in which every member must listen and has the opportunity to
speak, are excellent venues for fostering dialogue. Managers should put policies in
place, such as mentoring programs, to give employees access to information and
opportunities. Furthermore, associates should never be denied necessary,
constructive, and critical feedback for learning from both mistakes and successes
(Flagg 2002).
D. Application

1. Discuss how you will manage diversity in the workplace?

81
Lesson 7: Occupational Health and Safety

A. Activity

1. Read article in https://www.safefilming.ph/osh-law-ra11058

B. Analysis

1. Discuss the OSH Law?

2. What are the rights of the employees according to OSH Law?

C. Abstraction

Reinforcing Occupational Safety and Health Standards in Philippine Workplaces

through RA 11058

Safe work procedures improve productivity and job security, and they are more
important than ever in the midst of the Coronavirus Disease 2019 (COVID-19)
pandemic.

Workers' health and safety are promoted and protected in the Philippines by
Republic Act No. 11058, also known as “An Act Strengthening Compliance with
Occupational Safety and Health (OSH) Standards and Providing Penalties for
Violations Thereof.”

In August 2018, President Rodrigo Duterte signed it into law. The Department
of Labor and Employment (DOLE) issued the Implementing Rules and Regulations
(IRR) in December 2018 after Labor Secretary Silvestre H. Bello III approved them.

According to the OSH Law, each Filipino worker is protected against injury,
sickness, or death through safe and healthful working conditions, and employers must
promote strict but dynamic, inclusive, and gender-sensitive measures in the
formulation and implementation of occupational safety and health policies and
programs.

It is applicable to all establishments, projects, and sites, including Philippine

Economic Zone Authority (PEZA) establishments, as well as all other workplaces. The
existence of High Risk Establishments, Medium Risk Establishments, and Low Risk
Establishments is based on the exposure to safety and health hazards.
82
All covered workplaces must have a DOLE-approved Occupational Safety and Health
(OSH) Program. The OSH Program must include the following elements:

a. Statement of commitment to comply with OSH requirements;

b. General safety and health, including a drug-free workplace;
c. Human Immunodeficiency Virus (HIV) and Acquired Immune Deficiency
Syndrome (AIDS)/tuberculosis/hepatitis prevention control;
d. Company or project details;
e. Composition and duties of the safety and health committee;
f. Occupational Safety and health personnel and facilities;
g. Safety and health promotion, training and education;
h. Conduct of toolbox meetings;
i. Accident/incident/illness investigation, recording and reporting;
j. Provision and use of personal protective equipment (PPE);
k. Provision of safety signage;
l. Dust control and management, and regulations on activities such as building of
temporary structures, and lifting and operation of electrical, mechanical,
communications systems and other equipment;
m. Provision of workers' welfare facilities;
n. Emergency preparedness and response plan;
o. Waste management system; and
p. Prohibited acts and penalties for violations.

An OSH Committee must be established in each workplace to oversee the

overall management of the OSH Program. To ensure that the OSH Program is
enforced, an OSH Officer must be present at all times in the workplace.

The DOLE mandates that all safety and health personnel receive basic OSH
training for safety officers. It also mandates that all employees attend an 8-hour safety
and health seminar that includes a joint employer-employee orientation..

Meanwhile, the OSH Law establishes the following responsibilities for

employers, contractors, subcontractors, and those who manage, control, or supervise
work:

1. Furnish the workers a place of employment free from hazardous conditions that
are causing or are likely to cause death, illness or physical harm to the workers;

83
 2. Give complete job safety instructions or orientation to all the workers especially
to those entering the job for the first time, including those relating to
familiarization with their work environment;
3. Inform the workers of the hazards associated with their work health risks
involved ot to which they are exposed to, preventive measures to eliminate or
minimize the risks, and steps to be taken in cases of emergency;
4. Use only approved devices and equipment for the workplace;
5. Comply with OSH standards including training medical examination and where
necessary, provision of protective and safety devices such as personal
protective equipment (PPE) and machine guards;
6. Allow workers and their safety and health representatives to participate actively
in the process of organizing, planning, implementing and evaluating the safety
and health program to improve safety and health in the workplace; and
7. Provide, where necessary, for measures to deal with emergencies and
accidents including first-aid arrangements.

Workers also have duties such as following the OSH standards, using the PPEs
and other safety devices, and reporting work hazards to the supervisor. The following
rights of workers are indicated in the OSH Law:

1. Workers' Right to Know. - The right to safety and health at work shall be
guaranteed. All workers shall be appropriately informed by the employer about
all types of hazards in the workplace, and provided access to training and
education on chemical safety, electrical safety mechanical safety, and
ergonomical safety.
2. Workers' Right to Refuse Unsafe Work. - The worker has the right of refusal to
work without threat or reprisal from the employer if, as determined by the
DOLE, an imminent danger situation exists in the workplace that may result in
illness, injury, or death, and corrective actions to eliminate the danger have not
been undertaken by the employer.
3. Workers' Right to Report Accidents. - Workers and their representatives shall
have the right to report accidents, dangerous occurrences, and hazards to the
employer, to the DOLE, and other concerned government agencies exercising
jurisdiction as the competent authority in the specific industry or economic
activity.
4. Workers' Right to Personal Protective Equipment (PPE). - Every employer,
contractor or subcontractor, if any, shall provide his workers, free of charge,
84
 protective equipment for their eyes, face, hands and feet, and free, and lifeline,
safety belt or harness, gas or dust respirators or masks, protective shields
whenever necessary by reason of the hazardous work process or environment.

The Labor Secretary and his authorized representatives have the authority to
enforce the OSH Law in all establishments and conduct inspections, investigations,
and annual spot audits.

D. Application

1. Is it necessary for all businesses to comply with the Occupational Safety and Health
Act? Defend your answer.

85
References

Failte Ireland (2013) Recruitment and Selection: A Guide to Help You Review Your
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Dessler, Gary (2010) Human Resource Management. Prentice Hall.

3G Learning (2016). Human Resource Management in Small Business.

Istika, Josephat S. (2011). Fundamentals of Human Resource Management.

Maera, B. and Petzall, S. (2013). Handbook of Strategic Recruitment and Selection:

A Systems Approach.

Picardi, C. (2019). Recruitment and Selection, Strategies for Workforce Planning and
Assessment. University of Bridgeport, USA.

Parker, Y. (2012). The Damn Food Resume Guide: A Crash Course in Resume
Writing.

Wood, R and Payne, T. (2012). Competency Based Recruitment and Selection.

Fein, R. (2012). 101 Hiring Mistakes Employers Make, & How to Avoid Them.

Arthur, R. (2012). Recruiting, Interviewing, Selecting and orienting new Employees.

Straub, J. (2014). The Job Hunt: How To Compete & Win.

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https://www.apqc.org/blog/what-are-top-most-challenging-issues-facing-human
resources-2021

https://www.digitalhrtech.com/human-resource-basics/

https://scholarlypublications.universiteitleiden.nl/access/item%3A2888137/download

https://www.getsmarter.com/blog/career-advice/the-difference-between-personnel-
management-and-human-resource-management/

https://pdf4pro.com/cdn/unit-1-human-resource-management-hrm-38f74.pdf
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https://online.champlain.edu/blog/human-resource-management-skills

https://www.dole.gov.ph/php_assets/uploads/2017/11/LaborCodeofthePhilippines20
171.pdf

https://www.managementstudyguide.com/career-management.htm

https://nscpolteksby.ac.id/ebook/files/Ebook/Business%20Administration/ARMSTRO
NGS%20HANDBOOK%20OF%20HUMAN%20RESOURCE%20MANAGEM
ENT%20PRACTICE/46%20-%20Reward%20Management.pdf

https://www.tutorialspoint.com/performance_management/index.htm

https://www.safefilming.ph/osh-law-ra11058

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