HRM, NOTES

MODULE-1
Concept

 According to Wendell L French “the human resource management refers to the philosophy,
policies, procedures, & practice related to the management of people within an organisation.

 According to Stephen P Robbins, HRM is a process consisting of the acquisition,

development, motivation & maintenance of human resources.

 HRM is a multidisciplinary organizational function that draws theories and ideas from various
fields such as management, psychology, sociology and economics.

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

 According to Dessler (2008) the policies and practices involved in carrying out the “people”
or human resource aspects of a management position, including recruiting, screening, training,
rewarding, and appraising comprises of HRM.

 According to Byars and Rue, “HRM encompasses those activities that are designed to provide
for and coordinate the human resources of an Organisation.”

 In short Human Resource Management (HRM) can be defined as the art of procuring,
developing and maintaining competent workforce to achieve the goals of an organization in an
effective and efficient manner.

Nature of human resource management/Features

 1. “HRM is the function performed in organizations that facilitates the most effective use of
people to achieve organizational and individual goals”
2. HRM is based on certain principles and policies contribute to the achievement of
organizational objectives.
3. HRM is a pervasive function – Human resource management is not specific to an
individual department, rather it is a broader function and spread throughout the
organization, it manages all type of people from lower level to top level departments of the
organization.
4. HRM is people oriented – People or human resource is the core of all the activities of
human resource management. Human resource management works with and for people. It
brings people and organization together to achieve individual and organizational goals.
5. HRM is continuous activity – All factors of production are required to be continuously
updated and improved to cope up with the changes and increased competition. Similarly,
human resource also continuously trained, developed, or replaced to face the next level of
competition. Hence, it is a continuous activity.
6. HRM is a part of management function.
7. HRM aims at securing maximum contribution.
8. HRM aims at optimum use of personnel power
9. Future oriented: Effective HRM helps an organization in meeting its goals in the future
by providing for competent and well-motivated employees.
10. Development oriented: HRM intends to develop the full potential of employees. The
reward structure is tuned to the needs of employees. Training is offered to sharpen and
improve their skills. Employees are rotated on various jobs so that they gain experience
and exposure. Every attempt is made to use their talents fully in the service of
organizational goals.
11. Integrating mechanism: HRM tries to build and maintain cordial relations between
people working at various levels in the organization. In short, it tries to integrate human
assets in the best possible manner in the service of an organization.
12. Dynamism: HRM is dynamic process; not a static process. It is dynamic because HRM
practices have to be changed according to changes in environmental forces/ variables
which keep on changing. Due to changing nature of HRM process, human resource
manager in an organisation has to adopt dynamism for achieving objectives.
13. Universal Approach: HRM is not confined to business organisations but also relevant to
all types of organised activities such as non-business organisations like government
departments, not-for-profit-organisations.

HRM SCOPE AND OBJECTIVES

1. Personnel Aspect
 a. Human Resource Planning – It is the process by which the organization identifies the number
of jobs vacant.

b. Job Analysis and Job Design – Job analysis is the systematic process for gathering,
documenting, and analyzing data about the work required for a job. Job analysis is the procedure
for identifying those duties or behaviour that define a job.

c. Recruitment and Selection – Recruitment is the process of preparing advertisements on the

basis of information collected from job analysis and publishing it in newspaper. Selection is the
process of choosing the best candidate among the candidates applied for the job.

d. Orientation and Induction – Making the selected candidate informed about the organization’s
background, culture, values, and work ethics.

e. Training and Development – Training is provided to both new and existing employees to
improve their performance.

f. Performance Appraisal – Performance check is done of every employee by Human Resource

Management. Promotions, transfers, incentives, and salary increments are decided on the basis of
employee performance appraisal.

g. Compensation Planning and Remuneration – It is the job of Human Resource Management to

plan compensation and remunerate.

h. Motivation – Human Resource Management tries to keep employees motivated so that

employees put their maximum efforts in work.

2. Welfare Aspect – Human Resource Management have to follow certain health and safety
regulations for the benefit of employees. It deals with working conditions, and amenities like -
canteens, crèches, rest and lunch rooms, housing, transport, medical assistance, education, health
and safety, recreation facilities, etc.

3. Industrial Relation Aspect – HRM works to maintain co-ordinal relation with the union
members to avoid strikes or lockouts to ensure smooth functioning of the organization. It also
covers - joint consultation, collective bargaining, grievance and disciplinary procedures, and
dispute settlement.
Functions of human resource management
Some of the major functions of human resource management are as follows:

1. Managerial Functions

2. Operative Functions

3. Advisory Functions

1. Managerial Functions: The Human Resource Manager is a part of the organisational

management. So he must perform the basic managerial functions of planning, organising, directing
and controlling in relation to his department. There functions are briefly discussed below:

1. Planning: To get things done through the subordinates, a manager must plan ahead. Planning
is necessary to determine the goals of the organisation and lay down policies and procedures to
reach the goals. For a human resource manager, planning means the determination of personnel
programs that will contribute to the goals of the enterprise, i.e., anticipating vacancies, planning
job requirements, job descriptions and determination of the sources of recruitment. The process of
personnel planning involves three essential steps. Firstly, a supply and demand forecast for each
job category is made. This step requires knowledge to both labour market conditions and the
strategic posture and goals of the organisation. Secondly, net shortage and excess of personnel by
job category are projected for a specific time horizon. Finally, plans are developed to eliminate the
forecast shortages and excess of particular categories of human resources.
2. Organizing: Once the human resource manager has established objectives and developed
plans and programs to reach them, he must design and develop organisation structure to carry out
the various operations. The organization structure basically includes the following:

(i) Grouping of personnel activity logically into functions or positions;

(ii) Assignment of different functions to different individuals;

(iii) Delegation of authority according to the tasks assigned and responsibilities involved;

(iv) Co-ordination of activities of different individuals.

3. Directing:. The direction function of the personnel manager involves encouraging people to
work willingly and effectively for the goals of the enterprise. In other words, the direction function
is meant to guide and motivate the people to accomplish the personnel programs. The personnel
manager can motivate the employees in an organisation through career planning, salary
administration, ensuring employee morale, developing cordial relationships and provision of
safety requirements and welfare of employees.

The motivational function poses a great challenge for any manager. The personnel manager must
have the ability to identify the needs of employees and the means and methods of satisfy those
needs. Motivation is a continuous process as new needs and expectations emerge among
employees when old ones are satisfied.

4. Controlling: Controlling is concerned with the regulation of activities in accordance with

the plans, which in turn have been formulated on the basis of the objectives of the organisation.
Thus, controlling completes the cycle and leads back to planning. It involves the observation and
comparison of results with the standards and correction of deviations that may occur. Controlling
helps the personnel manager to evaluate the control the performance of the personnel department
in terms of various operative functions. It involves performance appraisal, critical examination of
personnel records and statistics and personnel audit.

2. Operative Functions: The operative functions are those tasks or duties which are
specifically entrusted to the human resource or personnel department. These are concerned with
employment, development, compensation, integration and maintenance of personnel of the
organisation. The operative functions of human resource or personnel department are discussed
below:

1. Employment: The first operative function of the human resource of personnel department is
the employment of proper kind and number of persons necessary to achieve the objectives of the
organisation. This involves recruitment, selection, placement, etc. of the personnel.

It is concerned with securing & employing the people possessing the required kind & level of
human resources necessary to achieve the organisational objectives. It includes

i) Job Analysis:- it is the process of study & collection of information relating to the Role &
Responsibilities of a specific job.

ii) HR Planning:- it is a process for determination & assuring that the organisation will have an
adequate number of qualified persons, available at proper times, performing jobs, which would
meet the needs of the organisation & which would provide satisfaction for the individuals
involved.

iii) Recruitment:- it is the process of searching for prospective employees & stimulating them to
apply for jobs in an organisation.

iv) Selection:- it is the process of ascertaining the qualifications, experiences, skills, knowledge
etc of an applicant with a view to appraising his/her suitability to a job.

v) Placement:- it is the process of assigning the selected candidate with the most suitable job in
terms of job requirements. It is matching employee specifications with job requirements.

vi) Induction & Orientation:- Induction & orientation are the techniques by which a new employee
is rehabilitated in the changed surrounding & introduced to the practices, policies, purposes &
people of the organisation.

2. Development: Training and development of personnel is a follow up of the employment

function. Proper development of personnel is necessary to increase their skills in doing their jobs
and in satisfying their growth need.

It includes.

i) Performance Appraisal:- it is the systematic evaluation of individuals with respect to their

performance on the job & their potential for development.

ii) Training:- it is the process of imparting to the employees technical & operating skills &
knowledge.

iii) Managerial Development:- it is the process of designing & conducting suitable executive
development programmes so as to develop the managerial & human relations skill of employees.

iv) Career Planning & Development:- it is the planning of one’s career & implementation career
plans by means of education, training, job search & acquisition of work experience. It includes
internal mobility & external mobility.

v) Transfer:- it is process of placing employees in the same level jobs where they can be utilised
more effectively in consistence with their potentialities & needs of the employees & the
organisation.

vi) Promotion:- it deals with upward reassignment given to an employee in the organisation
occupy higher position which commands better status or pay keeping in view in human resources
of the employees & the job requirements.

vii) Demotion:- it deals with downward reassignment to an employee in the organisation

viii) Retention Management:- employers prefer to retain more talented employees while they
retrench less talented employees. Employers modify existing human resource strategies & craft
new strategies in order to pay more salaries, provide more benefits & create high quality of work
life to retain the best employees.
3. Compensation: This function is concerned with the determination of adequate and equitable
remuneration of the employees in the organisation of their contribution to the organisational goals.
The personnel can be compensated both in terms of monetary as well as non-monetary rewards.

It includes -

i) Wage & salary Administration:- it is the process of developing & operating a suitable wage &
salary programme

ii) Incentives:- it is the process of formulating administrating & reviewing the schemes of
financial incentives in addition to regular payment of wages & salary.

iii) Fringe Benefits:- these are the various benefits at the fringe of the wage. Management provides
these benefits to motivate the employees & to meet their life’s contingencies. Ex:- housing
facilities, canteen facilities, medical facilities, disablement benefits etc.

iv) Social Security Measures:- management provide social security to their employees in addition
to the fringe benefits. These includes worker men compensation, maternity benefits for women ,
medical benefits , retirement benefits lie PF, pension, gratuity etc.

4. Maintenance (Working Conditions and Welfare): Merely appointment and training of

people is not sufficient; they must be provided with good working, conditions so that they may
like their work and workplace and maintain their efficiency. Working conditions certainly
influence the motivation and morale of the employees. These include measures taken for health,
safety, and comfort of the workforce. The personnel department also provides for various welfare
services which relate to the physical and social well- being of the employees. These may include
provision of cafeteria, rest rooms, counselling, group insurance, education for children of
employees, recreational facilities, etc.

5. Motivation: Employees work in the organisation for the satisfaction of their needs. In many
of the cases, it is found that they do not contribute towards the organisational goals as much as
they can. This happens because employees are not adequately motivated. The human resource
manager helps the various departmental managers to design a system of financial and non-
financial rewards to motivate the employees.

6. Personnel Records: The human resource or personnel department maintains the records of
the employees working in the enterprise. It keeps full records of their training, achievements,
transfer, promotion, etc. It also preserves many other records relating to the behaviour of
personnel like absenteeism and labour turnover and the personnel programs and policies of the
organisation.

7. Industrial Relations: These days, the responsibility of maintaining good industrial

relations is mainly discharged by the human resource manager. The human resource manager can
help in collective bargaining, joint consultation and settlement of disputes, if the need arises. This
is because of the fact that he is in possession of full information relating to personnel and has the
working knowledge of various labour enactments. The human resource manager can do a great
deal in maintaining industrial peace in the organisation as he is deeply associated with various
committees on discipline, labour welfare, safety, grievance, etc. He helps in laying down the
grievance procedure to redress the grievances of the employees. He also gives authentic
information to the trade union leaders and conveys their views on various labour problems to the
top management.

8. Separation: Since the first function of human resource management is to procure the
employees, it is logical that the last should be the separation and return of that person to society.
Most people do not die on the job. The organisation is responsible for meeting certain
requirements of due process in separation, as well as assuring that the returned person is in as
good shape as possible. The personnel manager has to ensure the release of retirement benefits to
the retiring personnel in time.

MODULE- 2
What is Job Analysis?
Job Analysis is a systematic exploration, study and recording the responsibilities, duties, skills,
accountabilities, work environment and ability requirements of a specific job. It also involves
determining the relative importance of the duties, responsibilities and physical and emotional
skills for a given job.

Job Analysis is the procedure through which you determine the duties of the positions to be staffed
and the characteristics of people who should be hired for them. The analysis produces information
on job requirements; this information is then used for developing job descriptions and job
specifications (i.e. job’s human requirements, or what kind of people to hire for the job).

According to Edwin B. Flippo, “Job analysis is the process of studying and collecting information
relating to the operations and responsibilities of a specific job.”

According to S.P. Robbins & D.A. De Cenzo, “Job analysis is the systematic exploration of
activities within a job. It is a basic technical procedure. One that is used to define the duties,
responsibilities and accountabilities of a job.”

According to Michael L. Jucius, “Job analysis refers to the process of studying the operations,
duties and organizational aspects of jobs in order to derive specifications or as they called by
some, job descriptions.” According to DeCenzo and P. Robbins, “A job analysis is a systematic
exploration of the activities within a job. It is a basic technical procedure, one that is used to
define the duties, responsibilities, and accountabilities of a job.”

STEPS IN JOB ANALYSIS

Conducting a Job Analysis although there are many ways to conduct a job analysis, the goal of
most job analyses is to identify the tasks performed in a job, the conditions under which the tasks
are performed, and the KSAOs needed to perform the tasks under the conditions identified.

Step 1: Identify Tasks Performed

The first step in conducting a job analysis is to identify the major job dimensions and the tasks
performed for each dimension, the tools and equipment used to perform the tasks, and the
conditions under which the tasks are performed. This information is usually gathered by obtaining
previous information on the job, interviewing job incumbents, observing performance, or actually
performing the job itself.

Gathering Existing Information- Prior to interviewing incumbents, it is always a good idea to

gather information that has already been obtained. For example, one might gather existing job
descriptions, task inventories, and training manuals. This information might come from the
organization with which you are working, other organizations, trade publications, and journal
articles.
Interviewing Subject Matter Experts- The most common method of conducting a job analysis is
to interview subject matter experts (SMEs). SMEs are people who are knowledgeable about the
job and include job incumbents, supervisors, customers, and upper-level management. Job
analysis interviews differ greatly from employment interviews in that the purpose of the job
analysis interview is to obtain information about the job itself rather than about the person doing
the job. Job analysis interviews come in two main forms: individual and group. In the individual
interview, the job analyst interviews only one employee at a time. In the group interview, or SME
conference, a larger number of employees are interviewed together.

With a committee-based approach, a committee of SMEs meets to brainstorm the major

duties involved in a job. Once this has been done, the committee identifies the tasks (work-
related activities) that must be completed for each of the duties. The results are then
summarized in job descriptions or a job analysis report.

Observing Incumbents- Observations are useful job analysis methods, especially when used in
conjunction with other methods such as interviews. During a job analysis observation, the job
analyst observes incumbents performing their jobs in the work setting. The advantage to this
method is that it lets the job analyst actually see the worker do her job and thus obtain
information that the worker may have forgotten to mention during the interview. This is
especially important because many employees have difficulty describing exactly what they do;
to them, performing their job is second nature and takes little thought.

Job Participation- One can analyse a job by actually performing it. Th is technique, called job
participation, is especially effective because it is easier to understand every aspect of a job once
you have done it yourself. The technique is easily used when the analyst has previously
performed the job. An excellent example would be a supervisor who has worked her way up
through the ranks. A professional job analyst can also perform an unfamiliar job for a short
period of time, although this, of course, is limited to certain occupations that involve quick
training and minimal consequences from an error. Brain surgery would probably not be good to
analyse using this method.

Step 2: Write Task Statements

Once the tasks have been identified, the next step is to write the task statements that will be used
in the task inventory and included in the job description. Often, task statements will also include
such components as where the task is done, how it is done, why it is done, and when it is done.

Step 3: Rate Task Statements

Once the task statements have been written (usually including some 200 tasks), the next step is
to conduct a task analysis—using a group of SMEs to rate each task statement on the frequency
and the importance or criticality of the task being performed.

Step 4: Determine Essential KSAOs.

Once the task analysis is completed and a job analyst has a list of tasks that are essential for
the proper performance of a job, the next step is to identify the KSAOs needed to perform the
tasks.

 Knowledge is a body of information needed to perform a task.

 A skill is the proficiency to perform a learned task.
  Ability is a basic capacity for performing a wide range of different tasks, acquiring
knowledge, or developing a skill.
 Other characteristics include such personal factors as personality, willingness, interest,
and motivation and such tangible factors as licenses, degrees, and years of experience.

Currently, KSAOs are commonly referred to as competencies. In the old days, KSAOs were
called job specifications (job specs). Though there may be some disagreement among I/O
psychologists, the terms KSAOs, competencies, and job specs can be used interchangeably and
there is no real difference among the three (other than which term is in vogue). When
competencies are tied to an organization’s strategic initiatives and plans rather than to specific
tasks, the process is called competency modelling.

Step 5: Selecting Tests to Tap KSAOs

Once the important KSAOs have been identified, the next step is to determine the best methods to
tap the KSAOs needed at the time of hire. These methods will be used to select new employees
and include such methods as interviews, work.

Importance of KSAO

 KSAO is not needed for graduation from the police academy or satisfactory job
performance.
 KSAO is helpful for graduation from the police academy or satisfactory
job performance.
 KSAO is important/essential for graduation from the police academy or satisfactory
job performance.

When KSAO Is Needed

 KSAO is not needed.

 KSAO is needed after completion of field training.
 KSAO is needed after graduation from the police academy.
 KSAO is needed at the time of hire
REASONS FOR PERFORMING JOB ANALYSIS

 Writing Job Descriptions - One of the written products of a job analysis is a job
description—a brief, two- to five-page summary of the tasks and job requirements
found in the job analysis. In other words, the job analysis is the process of determining
the work activities and requirements, and the job description is the written result of the
job analysis

 Employee Selection - It is difficult to imagine how an employee can be selected unless

there is a clear understanding of the tasks performed and the competencies needed to
perform those tasks. By
 Identifying such requirements, it is possible to select tests or develop interview
questions that will determine whether a particular applicant possesses the necessary
knowledge, skills, and abilities to carry out the requirements of the job. Examples are
height requirements for police officers, firm handshakes for most jobs, and physical
attractiveness for airline flight attendants. Training Again, it is difficult to see how
employees can be trained unless the requirements of the job are known.
 Job analyses yield lists of job activities that can be systematically used to create training
programs.

 Person power Planning - One important but seldom employed use of job analysis is to
determine worker mobility within an organization. That is, if individuals are hired for a
particular job, to what other jobs can they expect to eventually be promoted and
become successful? Many organizations have a policy of promoting the person who
performs the best in the job immediately below the one in question. Although this
approach has its advantages, it can result in the so-called Peter Principle: promoting
employees until they eventually reach their highest level of incompetence (Peter &
Hull, 1969).

 Performance Appraisal- Another important use of job analysis is the construction of a

performance appraisal instrument. As in employee selection, the evaluation of
employee performance must be job related. Employees are often evaluated with
forms that use such vague categories as “dependability,” “knowledge,” and
“initiative.” In addition, when properly administered and utilized, job-related
performance appraisals can serve as an excellent source of employee training and
counselling.

 Job Classification - Job analysis enables a human resources professional to classify jobs
into groups based on similarities in requirements and duties. Job classification is useful
for determining pay levels, transfers, and promotions.

 Job Evaluation - Job analysis information can also be used to determine the worth of a
job. Job evaluation aims at determining the relative worth or value of the job which
helps in determining the salaries and wages of the jobs, Jobs are evaluated in terms of
money. Job description and job specification provides the factual basis for evaluating
the worth of the job.

 Job Design- Job analysis information can be used to determine the optimal way in which
 a job should be performed. That is, what would be the best way for an employee to sit at
her computer or what would be the best way for a warehouse person to lift boxes? By
analysing a job, wasted and unsafe motions can be eliminated, resulting in higher
productivity and reduced numbers of job injuries.

 Organisational design: The information gathered through job analysis enables the
determination of different jobs and the hierarchical positions and relationships arising
out of it.

 Recruitment and selection: The process of job analysis facilitates the knowing of
requirements of jobs and the qualities needed to perform thereby making the process of
recruitment and selection easier.

 Placement and orientation: Job analysis helps in the placement and orientation of
employees by matching job requirements with abilities and also in understanding duties
and responsibilities for effective execution of jobs.

 Training and development: The information collected through job analysis helps in
identifying the training needs, designing training programmes and also in evaluating
training effectiveness.

 Salary and wage: Accurate salary and wage formulation becomes possible due to the
information collected about the jobs through job analysis which further helps by
providing a basis for finding the value of a job.

 Safety and health: The job analysis process uncovers the hazardous and unhealthy work
environment factors like heat, noise, fumes, dust etc., thus enabling the management to
take better decisions in regard to risks and accidents and safety of workers.

 Discipline: Job analysis provides the information regarding the characteristics of various
jobs and the job holders. Corrective measures may be taken in time to avoid untoward
situation. Over and above all these uses, job analysis is important because it helps in
ensuring discipline within the organization. It also facilitates employee counselling
through proper information on personal limitations as well as on career choices in
addition to the maintaining of positive labour relations.

What are psychological tests?

  Frank Freeman (1955) has defined a psychological test as a standardised instrument
designed to measure objectively one or more aspect of a total personality by means
of samples of performance on behaviour.
 According to Gregory (2004), a test refers to a Standardised procedure for sampling
behaviour and describing it with categories of scores.
 Anastasi (1982), “A psychological test is essentially an objective and standardized
measure of sample behaviour.”
 Kaplan (2005) defined psychological test as a set of items that are designed to
measure characteristics of human beings that pertain to behavior.
 According to A.P.A any standardized instrument, including scales and self-report
inventories, used to measure behavior or mental attributes, such as attitudes,
emotional functioning, intelligence and cognitive abilities (reasoning,
comprehension, abstraction, etc.), aptitudes, values, interests, and personality
characteristics. For example, a researcher might use a psychological test of emotional
intelligence to examine whether some managers make better decisions in conflict
situations than do others. Also called psychometric test.

Importance and reason for conducting psychological

testing
There are several reasons why psychological testing is important:

 Psychological assessment is important because it can help identify mental health

conditions and other issues that may be impacting an individual’s thoughts, feelings, and
behaviors.
 It can provide a more complete understanding of an individual’s strengths and weaknesses,
which can be useful in making decisions about treatment and support.
 It can also be used to assess an individual’s cognitive abilities, such as memory, problem-
solving skills, and intellectual functioning.
 Psychological assessment can help identify the underlying causes of an individual’s
symptoms and provide a basis for developing a treatment plan that is tailored to their
needs.
 It can also be used to monitor an individual’s progress in treatment and make any
necessary adjustments.
 Psychological tests are useful tools to identify the best people for your company. They
should be used with other selection methods such as work samples and structured job
interviews to predict a candidate's future performance.
 Psychological and personality testing can give an employer a picture of the personality,
tendencies, and beliefs of a job applicant.
  The purpose of psychological testing is to make more informed hiring decisions. Many
companies consult outside companies to give and assess these tests in an effort to keep
the tests unbiased and to help guard against lawsuits. Psychological testing is used to
determine, in particular, the ability of potential employees to work under stressful
conditions and to assess the potential of a prospective employee to handle the job
effectively under those conditions.
 One reason is that psychological testing can help reduce the number of problem
employees.
 Psychological testing can be particularly useful for jobs with a high stress factor such as
law enforcement, the medical field or firefighting because these tests can help determine
a potential employee's abilities to work under stress. Such screening can help a company
hire more suitable employees and save on the cost of high employee turnover.
 Psychological tests are useful in selecting people with promotional ability, discovering
reasons for job failure based upon personality traits, and even determining susceptibility
to accidents. These advantages are not found in other methods of selection.

PRINCIPLES OF PSYCHOLOGICAL TESTING

Standardisation
It refers to the consistency or uniformity of the conditions and procedures for administering a
test. If we want to make a comparative evaluation of the performances of many individuals on
the same test, it is obvious that they all take that test under identical circumstances. Any change
in testing procedure may produce a change in individual performance on the test.

Objectivity
It refers primarily to the scoring of the test result for a test to be scored objectively, it is
necessary that anyone scoring the test be able to obtain the same results.

Reliability
It refers to the consistency of response on a test and can be determined in three ways : the test-
retest method (which involves administering a test twice to the same group of individuals and the
correlating the two sets of scores); the equivalent or parallel forms method (it uses the test-retest
approach but instead of taking the same test a similar form of the test is given and the two sets of
scores are correlated) and the third approach is the split-half method (here the test is taken once,
divided in half and the corresponding two sets of scores are correlated with each other).
Whatever method is used the reliability coefficient should exceed at least +0.70.

Validity
The most important requirement in evaluating any psychological test is that it measures
accurately what it is intended to measure. This is technically called as validity. Personnel
psychologists are concerned with the approaches to criterion related validity, i.e., predictive
validity (how well the test scores predict the future job success) and concurrent validity (how
well the test scores speak about the present status of the job performance).

However, another approach is the rational validity which focuses mainly on the nature of the test
itself, its structure and content. This validity is established by either construct validity or content
validity. Validity coefficients (the correlation between test scores and performance) around
+0.30 to +0.40 may be considered acceptable.

Tests are no longer considered to be differentially valid. Researchers are investigating the
concept of validity generalisation. A test valid for one job will be valid for other jobs. Therefore,
tests may no longer need to be validated every time they are applied to a different job or
company. Furthermore the Equal Employment Opportunity Commission (EEOC) in various
countries has prescribed the kinds of validation studies that must be conducted on all tests used
for selection to ensure that they are measuring characteristics is that are clearly related to the job
in question but certainly not discriminate applicants because of their race, religion, sex or
national origin.

Norms
To interpret the results of a psychological test, a frame of reference or point of comparison must
exist so that the performance of one individual can be compared with the performance of other,
similar individuals. This is obtained from test norms that refer specifically to the average or
typical performance of a large group of people similar in nature being tested.

Different types of psychological tests and their

uses and names for tests.
Cognitive Abilities
Cognitive ability tests assess abilities involved in thinking (e.g., reasoning, perception, memory,
verbal and mathematical ability, and problem solving). Such tests pose questions designed to
estimate applicants' potential to use mental processes to solve work-related problems or to
acquire new job knowledge.

Many professionally developed cognitive tests are available commercially and may be
considered when there is no significant need to develop a test that refers specifically to the
particular job or organization.

Cognitive skills are mental capabilities, such as perception and reasoning that are necessary to
process information and acquire knowledge. Intuition is another cognitive skill which, for human
resources staff, may be one of the most useful.

A cognitive ability test is a pre-employment test used to measure a candidate’s cognitive skills.

Cognitive ability tests are part of a growing body of candidate screening tests that not only help
identify better candidates but actually speed up and simplify the recruitment process.
Some common cognitive ability tests include:

 GAT-2 (General Ability Test)

 Raven matrices
 DAT-5 (Differential Aptitude Tests)

USES

In the context of recruitment - or more specifically, cognitive ability tests for recruitment - we
can break these skills down into five key areas:

 Attention - how capable a candidate is of sustained focus and concentration.

 Memory - a candidate's ability to retain and recall new information.
 Processing - the extent to, and speed at which a candidate takes information on
board, be it visual, spatial, or contextual.
 Logical reasoning - how a candidate then uses that information to form sound
conclusions.
 Executive function - a catch-all term for the skills that enable candidates to plan,
organise and execute goals. These include pattern recognition, sequencing, flexibility
and decision-making.
 Cognitive ability tests are used as a great tool for employers and hiring managers to
be able to assess how a candidate will perform in the role, without having to make a
hiring decision to be certain. In short, they are used to help predict how well
someone will perform in the role that is being advertised.
 One of the most compelling reasons to use cognitive ability tests is that they are a
strong predictor of job performance.
 Cognitive ability tests can improve your organizational retention by helping you to
hire and impress the right candidates from the get-go. And employee retention is
 often one of the HR team’s biggest KPIs (Key Performance Indicator)

Interests
 These tests are inventories of the likes and dislikes of candidates in relation to work,
job, occupations, hobbies and recreational activities. The purpose of this test is to
find out whether a candidate is interested or disinterested in the job for which he is a
candidate and to find out in which area of the job range/occupation the candidate is
interested.
 The assumption of this test is that there is a high correlation between the interest of a
candidate in a job and job success. Interest inventories are less faked and they may
not fluctuate after the age of 30.
 They are useful in vocational guidance, and are assessed in the form of answers to a
well-prepared questionnaire. Examples of such tests are- Kuder Reference Record,
The Strong Vocational Interest Blank, etc.
 These tests are used to measure an individual’s activity preferences. These tests are
particularly useful for students considering many careers or employees deciding upon
career changes.
 Every individual has their own set of interests or particular fields that they would like
to work in. The interest test helps determine the candidate’s area of interest and the
kind of job that would suit him. This ensures that the employees work with greater
enthusiasm and efficiency.
 Many corporate firms have opted for the Interest-aptitude test for human resource
recruitment, management and development and even for employee engagement
programs.

 Interest inventories can be a great starting point in your search for a career that you
will love. Interest inventories look at a person's likes and dislikes, their favourite
activities, and their personality. Then they compare those qualities with the qualities
of people who are already working in specific careers.

 The Kuder Occupational Interest Survey consists of a large number of items arranged
in groups of three. Within each triad, examinees must indicate which activity they
most prefer and which they least prefer. They are not allowed to skip any group if
they do not like any of the alternatives or to check more than one as the most
preferred activity. It can be scored for 126 occupations (Anastasi, 1976).
Aptitude Test

 Aptitude tests measure whether an individuals has the capacity or latent ability to learn a
given job if given adequate training. The use of aptitude test is advisable when an applicant
has had little or no experience along the line of the job opening. Aptitudes tests help
determine a person’s potential to learn in a given area. An example of such test is the
general management aptitude tests (GMAT), which many business students take prior to
gaining admission to a graduate business school programme.
 Aptitude tests must be designed for many jobs especially to assess the skills required by that
job, but there are published tests that measure general aptitudes for mechanical and clerical
skills. A couple of tests measure clerical aptitude having potentials in the prediction of
success for clerical workers. These tests are concerned mainly with speed and accuracy of
perception.
 The Minnesota Clerical Test is a group tests consisting of two parts, number comparison and
name comparison. The test is a speed test to determine the individual’s accuracy when
working in a limited time period. The test instructions urge the examinees to work as fast as
they can without errors. The number comparison consists of 200 pairs of numbers, each of
which contains 3 to 12 digits. The name comparison section is similar but uses proper names
instead of numbers. These tasks are analogous to the work required in clerical jobs.
 Mechanical aptitude- Mechanical aptitude enables you to understand how a machine's
different parts function in combination. When you have strong mechanical aptitude, you
enjoy developing, deconstructing and repairing. Further, you are likely to be good at hands-
on learning and easily understand why and how complex components work.
 Technical Aptitude Tests: Measure specific capacities involved in office work. Items of this
test include spelling, computation, comprehension, copying, word measuring, etc.

Importance/uses:-

• An aptitude test is used to determine an individual's abilities, assessing how they are likely to
perform in an area in which they have no prior training or knowledge.
• Human resources departments at some companies will use career assessment tests to learn
about a potential candidate's strengths and weaknesses.
• An aptitude test is used to determine an individual's skill or propensity to succeed in a given
activity.

Personality
Personality tests are techniques or methods with certain preset questions to determine a person's
certain abilities pertaining to his/her personality. Personality tests can determine various aspects
like temperament, emotional response, socialability, stability etc. These personality tests can be
used to sketch out certain personality attributes of a person which can help in many aspects.

A selection procedure measures the personality characteristics of applicants that are related to
future job performance. Personality tests typically measure one or more of five personality
dimensions: extroversion, emotional stability, agreeableness, conscientiousness, and openness to
experience.

Types:-

Self-Report Inventories
The self-report inventory involves various sets of items concerning specific circumstances,
symptoms or feelings. Individuals are requested to point out how explicitly each item describes
themselves or to what extent they agree with each of them. However, self-report inventories are
especially subject to malingering or faking.

Myers Briggs: This well-known tool for mapping employee personalities is widely used by
businesses as psychometric assessments administered to candidates during the pre-hiring process.
The tests measures many of the traits discussed above: extroversion vs. introversion, intuition vs.
sensing, thinking vs. feeling, and judging vs. perceiving. "Results from these tests place the
employee into one of 16 personality types, which each have their own strengths and weaknesses,"
says Owens.

Big Five: Similar to Myers Brigs, this test measures five "dimensions of personality" that
organizations look for in employees — extroversion, openness, agreeableness, conscientiousness
and neuroticism — to try to provide insight into how a new hire or current employee interacts with
coworkers, and manages work-related stress.

16 Personality Factor Questionnaires

In 1949, Raymond B. Cattell, Maurice Tatsuoka and Herbert Eber published the first version of
the 16 Personality Factor Questionnaires, also called 16PF, though it has been revised over the
years. It helps measure behaviors in individuals and has many applications, including career
development and employee progression. The types of personality traits it measures include
dominance, rule-consciousness, sensitivity, emotional stability, perfectionism, self-reliance and
openness to change.

The MMPI test:-

The MMPI test uses ten clinical scales to assess the candidate’s personality and behaviors. The test
contains between 338 and 567 questions depending on which version is used, can be administered
individually or in groups, and may be taken in either a computerized or paper format. The length
of the test varies between 35 and 90 minutes, again depending on which version is used.

Importance:-
• Personality tests help us identify key ways to nurture the talent we just recruited.
• Personality tests help employers gain deeper insights into each employee’s organizational habits,
communication styles, and information processing all of which inform the performance
management process.

• Managers can use the knowledge of personality tests to drive effective conversations in one-on-
one meetings and establish balanced team dynamics.

• Personality tests are often used to gain insight into a candidate’s compatibility with their team
and the company at large.

Intelligence
This test helps to evaluate traits of intelligence. Mental ability, presence of mind (alertness),
numerical ability, memory and such other aspects can be measured. The intelligence is probably
the most widely administered standardized test in industry. It is taken to judge numerical, skills,
reasoning, memory and such other abilities.

Types:-
Binet's Intelligence Test

Binet and colleague Theodore Simon developed a series of tests designed to assess mental
abilities. Rather than focus on learned information such as math and reading, Binet instead
concentrated on other mental abilities such as attention and memory. The scale they developed
became known as the Binet-Simon Intelligence Scale.

The Wechsler Adult Intelligence Scale

The Wechsler Adult Intelligence Scale (WAIS) is an intelligence test first published in 1955 and
designed to measure intelligence in adults and older adolescents.

 Developed to address weaknesses in Stanford-Binet

 Created to be used with adults
 Contains some timed subtests
 Provides a number of different scores

Importance of intelligence test

1. It makes recruitment more targeted

If you have a specific role that you are looking to get fulfilled, already knowing if the candidate
can learn or adapt to the new job or regime is a bonus from the get-go. It also removes from the
selection those that aren’t suitable but may be for a different position.

2. It saves time and money

Before a candidate steps into the office, knowing if they have the skills to perform the tasks is a
massive advantage. Our test is performed online and we get a body of data from the results that
help identify the candidates you want to speak to saving time from having to meet and talk to
everyone or a large group of candidates over the course of a few days.
 3. You get future insights into your candidates

Not only will you be getting a more rounded selection of candidates based on what they are trying
to achieve with a move into your business, you get an insight into how they can problem solve and
perform moving forwards.

4. Your candidates are treated equally in testing

Some people struggle with interviews, others excel. This does not mean that the candidate who has
great people skills might be right for the role or vice versa. What this does do is focus on the
strengths and weaknesses that you won’t get from a standard sit-down interview; making this
process fairer to the candidates and to the business involved.

5. Recruitment is adapting to an ever-changing working environment

With recent global events face-to-face meetings are harder and technology can’t always be trusted.
In an ever-changing environment having more data to base decisions is going to be crucial and
with online testing that helps you get the pick of the candidates you want.

What is biographical information? Types of

information collected through biographical
information

 Biographical information consists of information regarding an individual’s past. It includes

information about an individual’s personality, attitudes, experiences, and skills.
 Biographical information or biodata is a one- to three-page document you use when applying
for a job. Your biodata summarizes most aspects of your life, including personal details,
education, skills and work experience.
 This type of data has been found to be a strong indicator of future performance.
 Biographical information may also be referred to as biodata, biographical data, or personal
history data.
 In the workplace setting biographical data is collected and analyzed in order to assess an
employee’s potential fit for a particular job.
 Biographical information may also be used to assist an employer in making decisions
regarding a specific employee’s promotion or placement within an organization.
 Biographical data may be collected in by an initial employment application and interview or
through targeted surveys intended to identify broad personality characteristics as well as
specific skills or traits.
 Combining quantitative and qualitative information, a biographical data set will include
information about an individual’s past behaviour and experience, work style and approach,
and personal ethical and moral framework.
 Gathered to get a background of the candidate
 It includes the following

 Personal information- Name/age/gender/address

 Email/contact no.
 Qualifications- professional degree, work experience, skills, certificates
 Special achievements
 Other experiences- like social work done
 Current job status- responsibilities, cost to company (CTC), post

What are interviews? Types of questions asked in

interviews.

1. The interview is a conversation with a purpose. According to juices Michael, “An

interview is a face to face, oral observational and personal appraisal method.” Its aim is
to provide the candidate with information about the job and the company and also to give
the candidate a favourable impression of the company.

2. Selection interview, also known as employment interview, is a formal, in-depth

conversation conducted to evaluate the acceptability of candidates for employment. Its
aim is to discover those aspects of an applicant which may not be disclosed by other
methods.

3. In an unstructured interview, questions are changed to match the specific applicant; for
example, questions about the candidate’s background in relation to their résumé might be
used. In a structured interview, there is a set of standardized questions based on the job
analysis, not on individual candidates’ résumés.

4. While a structured interview might seem the best option to find out about a particular
candidate, the bigger concern is that the interview revolves around the specific job for
which the candidate is interviewing. In a structured interview, the expected or desired
answers are determined ahead of time, which allows the interviewer to rate responses as
the candidate provides answers.

5. Group interview. In a group interview, two or more candidates interview at the same time.
This type of interview can be an excellent source of information if you need to know how
they may relate to other people in their job.

6. Video interviews. Video interviews are the same as traditional interviews, except that video
technology is used. This can be cost saving if one or more of your candidates are from out of
town. Skype, for example, allows free video calls. An interview may not feel the same as a
traditional interview, but the same information can be gathered about the candidate

7. Traditional interview. This type of interview normally takes place in the office. It consists of
the interviewer and the candidate, and a series of questions are asked and answered.

8. Telephone interview. A telephone interview is often used to narrow the list of people
receiving a traditional interview. It can be used to determine salary requirements or other data
that might automatically rule out giving someone a traditional interview. For example, if you
receive two hundred résumés and narrow these down to twenty-five, it is still unrealistic to
 interview twenty-five people in person. At this point, you may decide to conduct phone
interviews of those twenty-five, which could narrow the in-person interviews to a more
manageable ten or so people.
9. The candidate has to appear before the interviewer or a group of interviewers. The
candidate’s overall personality is judged in the interview.

10. Various questions are asked from the candidate in order to judge his ability, knowledge,
capacity and so on. Interviewing technique is used in all companies and in the case of all
categories of staff to be recruited.

11. get an opportunity to judge on applicant’s qualifications and characteristics as a basis for
sound selection and placement

12. To give an applicant essential facts about the job and the company (nature and hours of
work, medical requirements, opportunities for advancement, special hazards, employee
benefits and services, company policies, etc.) in order to enable him to decide
intelligently whether he should or should not accept the employment.

13. To establish a rapport, or a feeling of mutual understanding and confidence, between the
personnel department and the applicant who is to be employed.

14. Interviewing is an invaluable tool of disciplinary action, grievance handling and relations
with unions.

Interview Questions
Most interviews consist of many types of questions, but they usually lean toward situational
interviews or behavior description interviews. A situational interview is one in which the
candidate is given a sample situation and is asked how he or she might deal with the situation. In
a behavior description interview, the candidate is asked questions about what he or she actually
did in a variety of given situations. The assumption in this type of interview is that someone’s past
experience or actions are an indicator of future behavior. These interview styles also use a
structured method and provide a better basis for decision making. Examples of situational
interview questions might include the following:

 If you saw someone stealing from the company, what would you do?
 You disagree with your supervisor on her handling of a situation. What would you do?

Examples of behavior description interview questions might include the following:

 Tell me about a time you had to make a hard decision. How did you handle this process?
 Give an example of how you handled an angry customer.
 Do you show leadership in your current or past job? What would be an example of a situation
in which you did this?
 What accomplishments have given you the most pride and why?
 What plans have you made to achieve your career goals?
What are reference letter and letter of
recommendation? Difference between the two

Reference
1. A human resource reference or HR recommendation letter states the characteristics, skills,
achievements, and qualities of a candidate seeking employment in an HR position.
2. An HR reference letter template tells an organization why the candidate is best suited for
the position. The referee plays a supervisory role in issuing the employee reference letter.
The referee can be any person- a former employer, co-worker, professor, or a lecturer. The
important thing to see is that the person who is referring should know the professional and
personal capabilities of the person they are recommending.
3. Job applicants may attempt to enhance their chances of obtaining a job offer by distorting
their training and work history information.
4. While résumés summarize what applicants claim to have accomplished, reference checking
is meant to assess how well those claims are backed up by others.
5. Verifying critical employment information can significantly cut down on selection errors.
Information provided by former peers, direct reports, and supervisors can also be used to
forecast how applicants will perform in the job being filled.
6. Reference data used in this way is based on the behavioral consistency principle that past
performance is a good predictor of future performance.
7. They verify the truthfulness of the information provided by the applicant.
8. They check if the applicant has any criminal background or history.
9. They check if the applicant has the right skill set for the job.
10. They can help identify patterns of behavior of the applicant during his/her time working
with the previous employer.
11. They can help predict success in his/her new job.

Letter of Recommendation
1. A letter of recommendation is a letter where the author details and vouches for the capabilities,
character traits, and overall quality of the person being recommended. The letter can be from a
professional, employment, academic, or personal perspective.
2. Letters of recommendation are most commonly used in the hiring process as part of
the employment verification step where they are called an employment reference or job reference.
 3. It does not include personal opinion.
4. It is more generalized.
5. The main purpose of a recommendation letter is to convince your future employer that you
posses the skill set required for the position that you have applied for.
6. Recommendations letters give an employer a deeper insight in candidate's background their
strengths, capabilities and also the areas of specialization.

HOW TO WRITE LETTER OF RECOMMENDATION

1. The letter of recommendation format is quite simple and

straightforward.
2. While writing a recommendation letter it is important to keep in mind
the specific purpose for which the candidate has requested that letter.
3. The job recommendation letter should mention the specific qualities of
an individual which makes them best suited for that particular job or
course.
4. It will also help to state clearly your academic or professional
association with the individual and if possible mention a specific event
that impressed you about the candidate.
5. A recommendation letter is very important because sometimes what
others say about a person is taken into consideration more than what
that person may have to say about themselves.

DIFFERENCE BETWEEN REFERENCES AND LOR

REFERENCE LETTER LETTER OF
RECOMMENDATION
DEFINITION A reference letter is a general A recommendation letter, also
commendation of a person's referred to as a letter of
character, work ethic or abilities. recommendation, highlights or
It confirms that the writer knows emphasizes skills, knowledge,
you and can verify certain facts experience and abilities that best
about you and your performance qualify a candidate for a certain
or predictive performance. opportunity, such as a specific
Typically, it's not directed at a role within a company or
specific opportunity but stands admission to a clearly defined
alone as a general show of program. The writer identifies
approval to be used as the recommended person's
needed. qualities with the intent to verify
their strength as a candidate.
When crafting the
recommendation, the writer of
the letter provides relevant
examples from personal and
professional experiences with
 the applicant and explains how
those examples relate directly to
the desired position or program.
PURPOSE You can use a reference letter You can use a recommendation
when you need a character letter when you need to be
reference now or at a later date. recommended for a specific
The writer of this type of letter opportunity. This type of letter is
might focus on a person's more detailed than a reference
general strengths, qualities and letter and elaborates on certain
abilities. You can submit this skills or knowledge that would
letter for multiple opportunities make you an ideal candidate for
—such as internships, jobs and the position or opportunity.
graduate schools—since it's not There's also greater influence
addressed to anyone specific. associated with a
recommendation letter due to its
authority, depth and specificity.
Additionally, it's typically sent
directly from the writer to the
hiring manager or program
director.
WHEN TO USE IT A letter of reference is valuable If you need a letter that is for a
if you need a character defined employment position,
assessment or letter to have on- academic program or other
hand for employment, unique opportunity, you should
educational or volunteer use a letter of recommendation.
opportunities. A recommendation letter can be
used for more in-depth
evaluation of your performance
in a specific line of work.

WHO WRITES IT If you need a reference letter, If you need a recommendation

choose a trusted individual with letter, it's helpful to choose
whom you have a positive someone who has extensive
personal or professional knowledge of your skills or
relationship and ensure they can qualifications and detailed
provide you with a thorough examples to support each one.
character reference. For For instance, if you are applying
instance, you might ask your for a summer internship at a law
former supervisor to write a firm, you might ask your
reference letter highlighting professor in legal studies to
your positive attitude at work explain what you have learned
and the many times that you throughout your studies and how
stayed after closing time to meet that knowledge can help you
a deadline or help a coworker. succeed when working in the
legal field. Additionally, if the
law firm specializes in real
estate, it's helpful to request a
recommendation letter from
your professor who taught your
course on real estate or property
law.
LIMITATIONS OF PSYCHOLOGICAL TESTING

FIND SCANNED PDF

 MODULE-3
Definition

Importance of training programme

Higher productivity and better quality of work

Formal training leads to the enhancement of skills of the employees that enables them to perform
their job more efficiently. As standard methods are taught to the employees it improves the quality
of product and services.

Reduction in wastage and cost

Workers learn how to make the optimum use of resources. Training leads to the economic use of
material and machinery and helps minimize the cost of operations per unit.

Increases morale and loyalty

Training helps boost the morale of the employees by developing a positive attitude, job
satisfaction and enhanced learning. It makes them loyal to the organization as they develop a sense
of commitment.

Reduced supervision and low accident rates

Training develops well-motivated employees who are self-reliant, they do not need constant
guidance and supervision. Employees can also avoid mistakes and accidents on the job as they can
handle a job with confidence and adopt the right work methods

Importance of Training in HRM

To the Organization

 Gets more effective in decision-making and problem-solving.

 Improve the morale of the workforce.

 Aids in improving productivity and quality of work.

 Aids in organizational development.

 Creates an appropriate climate for growth and communication.

 Helps employees adjust to change.

To the Employees

1. Increases job satisfaction and recognition

2. Moves a person towards personal goals while improving skills

3. Helps in eliminating the fear of attempting new tasks

4. Provides the trainee with an avenue for growth

5. Helps to handle stress, tension, frustration and conflict

For Personnel and Human Relation

1. Improve inter-personnel skills

2. Improves morale

3. Builds cohesiveness in groups

4. Makes the organization a better place to work and live

5. Provides information on other governmental laws and administrative policies.

SCOPE OF TRAINING PROGRAMS

1. Scope of training depends upon the categories of employees to be trained

2. Training is a continuous process and not only needed for newly selected employees
but also for existing employees at all level of organization
3. Training begins at an elementary level, offering teaching basic literacy teaching and
mathematical teaching before offering instructions in specific job skills.
4. Training is most essential in high tech jobs in industries which rely heavily on
reprogrammable robots, multifunctional machinery, and computer assisted design and
manufacturing
5. Hiring- involves occupational training that is the ways and methods, involves soft
skills training, software training
6. Knowledge gap- training is an ongoing process, even after hiring there are certain
skills that require training and also when performance of the employee is not up to the
mark, involves advanced skill training such as time management.
7. Training is also used after a person gets promoted and require training for enhancing
skills for the particular job

GOALS OF TRAINING PROGRAMS ( FURTHER POINTS

IN SCANNED PDF)
1. TASK ANALYSIS: Here the focus is on job or task. Job Analysis can indicate the
skills and training required to perform the job according to predetermined standards.
Under task analysis, all possible information about the nature of task, its components
and its standards should be set.

2. HUMAN RESOURCE ANALYSIS: The total HR environment of the organisation

should be analysed. The internal environment of organization, the environment of the
sector of economic activity (private sector, public sector) and environment of the
economy, influences the training needs of the manpower in the organization.

Types of training methods in organizations

(FIND IN SCANNED PDF)
Training methods are used for upgrading and enhance the skill and knowledge of an employee to
best perform an assigned job within the organization. The selection or a Training Methods are
based on the nature of Job, types and the number of the workers in an organization and the cost
involved for choosing a particular Training Method.
 MODULE- 4
WHAT IS PERFORMANCE APPRAISAL
According to Gomej-Mejia – “Performance Appraisal involves the
identification, measurement and management of human performance in
organisation.”

According to Slabbert and Swanepoel – “Performance appraisal is a formal and

systematic process by means of which the relevant strengths and weaknesses of
the employees are identified, measured, recorded and developed.”

According to Beach – “Performance appraisal evaluates systematically

performance of individual with regard to his or her performance on the job and
his potential for development.”

Manager appraisal is the evaluation of managers' performance in the company.

Professionals conduct these evaluations out to raise productivity to an optimum
level. Organizations conduct manager appraisals to help both managers and the
company reach a common ground and work towards the company's
development.

DIFFERENT WAYS TO CONDUCT MANAGER APPRAISAL/

CRITERIA
Here are some different methods professionals use to conduct manager
appraisals:

Target-oriented appraisal

This is a result-oriented method where the reviewer and manager under review
set objectives together using the SMART method (Specific, Measurable,
Achievable, Realistic and Time-sensitive). Then, the reviewer evaluates the
manager's performance periodically based on these target goals.

Personal Data
Includes qualifications, achievements and any data specific to the manager.
360-degree evaluation

The 360-degree evaluation combines feedback from many sources. This allows
this method of appraisal to be as unbiased as possible. The essential elements of
this method are peer review, self-assessment, supervisor review and customer
review.

Conventional performance appraisal

A conventional approach involves a review by senior staff members.

Companies often assign a specific senior member of management to perform
these evaluations to ensure consistency in reviewing standards. Professionals
base their reviews on the analysis of all the available proof of performance.

Assessment center review

The assessment center method is another process of assessment that uses a

series of exercises to quantify the skills of the manager under assessment.
Supervisors or assessors commonly used this method, as it provides a deeper
insight into employees' potential than an interview. During the assessment,
managers may perform duties related to their job and answer hypothetical
questions about how they would address certain situations.

Appraisal with Behaviorally Anchored Rating Scale (BARS)

Many reviewers use BARS to rate the performance of the manager. These help
reviewers gather data for a robust assessment. This performance measurement
allows for consistent results, as each manager is set to the same standard of
performance measures.

Future assessment appraisal

Also known as psychological appraisal, this method focuses on the future

assessment of the employee's potential by evaluating the candidate's soft skills
like emotional quotient and interpersonal skills. Psychologists conduct future
assessment appraisals. This is a beneficial method for companies that are
interested in learning the full potential of their managers rather than just their
current performance. Future assessment appraisals are also valuable team-
building tools.

Cost-based Evaluation
In this method, the reviewers consider the cost of keeping the employee in the
company. Also known as the cost accounting method, this method factors in the
contributions of the manager to the company in monetary terms. This allows the
reviewer to determine if the manager is a monetary asset to the company.

Benefits of manager appraisals/ Importance

Manager appraisal can help organizations find the best way to improve work,
which affects customer satisfaction and business. Here are some benefits of
manager appraisals:

 Helps analyze manager's competency: Manager appraisal assists the

company to understand the true potential of professionals. It can judge the
competency of the employee and decide if they are fit for the company.

 Provides insights on where to improve: With manager appraisals, both

reviewers and the reviewed get a better understanding of the areas that
need improvement. Managers know if they need to update their industry
knowledge to enhance their performance.

 Promotes teamwork: Manager appraisals bring down barriers and foster

a conversation on expectations and grievances, which results in better
teamwork and team spirit.

 Boosts morale: Manager appraisal not only aims at improving the

performance of the employee but also offers better job satisfaction. The
evaluation helps the reviewer assess if the employee is eligible for a
promotion, pay hike or reward based on their merit.

 Aids in designing the training manual: Manager appraisals help the HR

department discover helpful data that allows it to curate better training
programs that suit their employee's needs.

 Surfaces recruit requirement: Manager appraisals also highlight if the

company needs to hire more professionals to meet its target goals.

 Enhance skills and productivity of managers- through training and

feedback

 Through employee ratings work on biasness

  Improve work flow

 Promotes team work

 To reduce the gap if the organisation is understaff or under resourced.

Bias in Performance Appraisal

1) Rater Bias in Performance Reviews

Rater bias, also known as rating bias, is when you allow your pre-existing
biases to affect your evaluation of an employee, resulting in a biased
performance appraisal.

A rater performance bias example might be when a manager evaluates skills

they’re not good at highly. Or they might rate employees lower for skills that
they have mastered themselves. This can have a hugely detrimental impact on
performance data as scores end up being more of a reflection of the manager
conducting the review, rather than the employee being reviewed.

2) Primacy Bias in Performance Reviews

Primary bias is when you let your first impression of an employee affect your
overall assessment of them. For example, if an employee is transferred to your
team and their manager warns you that they have had issues with performance,
then you might judge them unfairly as a result of this first impression.

3) Leniency Bias in Performance Reviews

The next form of bias performance appraisal is leniency bias. This is when you
give an employee an inflated rating because you feel a degree of sympathy or
empathy towards them. For example, if you know an employee is having
personal problems, you might be more inclined to give them a favorable review,
even if they actually have notable room for improvement.

4) Halo / Horns Effect

The halo effect in performance appraisal is when you evaluate an employee
favorably based on one thing that they do right, ignoring any other aspects of
their performance.

For example, you might have a salesperson who always hits their sales targets,
so you judge them as a high-performer, ignoring the fact that they never submit
their reports on time.The horns effect, as you may have guessed, is the opposite
effect. This is where you judge an employee unfavorably as a result of one thing
they do badly. For example, an employee might always arrive late for meetings.
As a result of this, you might rate them as being an underperformer, ignoring
the fact that they always hit their performance targets and meet all deadlines.

5) Recency Bias in Performance Reviews

Another common bias in performance reviews is the recency bias. This is where
you focus on what an employee has done recently, rather than looking at how
they have worked during the entire performance cycle.

For example, one of your employees might have closed a big sales contract at
the start of the performance cycle. More recently, they have missed a few
potential deals. Recency bias is when you disregard the employee’s
achievements at the start of the review period and focus exclusively on their
underperformance over the past few weeks.

6) Contrast Effect

This occurs when you evaluate an employee by comparing them to the last
person who you wrote a review for, instead of against established performance
standards. This might result in a positive or negative effect, depending on the
person you are comparing them with.

Contrast bias occurs when a Manger is being compared from previous manager
and the performance of one becomes the benchmark for evaluating the
performance of others instead of the company standard.

At times, despite performing extremely well, a manager might just get an

average rating because of the goal or the standard being used, leading to low
engagement and satisfaction.
7. Affinity Bias in Performance Reviews

An affinity bias is very similar to the “similar-to-me” bias. It occurs when we

favor someone because we share similar affinities. For example, men might rate
men higher than women, or older employees might rate their contemporaries
more favorably. The same goes for gender, race, attitudes, educational
background, or experiences.

Post appraisal interview for managers

FIND IN SCANNED PDF
Why is performance appraisal conducted?
FIND IN SCANNED PDF

MODULE-5
What is occupational health?
The joint international labor organization committee on Occupational health,
1950 defined Occupational health as “The highest degree of physical, mental
and social well-being of workers in all occupations.”

According to the World Health Organization’s, Occupational health deals with

all aspects of health and safety in the workplace and has a strong focus on
primary prevention of hazards. The health of the workers has several
determinants, including risk factors at the workplace leading to cancers,
accidents, musculoskeletal diseases, respiratory diseases, hearing loss,
circulatory diseases, stress-related disorders and communicable diseases and
others.

Employment and working conditions in the formal or informal economy

embrace other important determinants, including working hours, salary,
workplace policies concerning maternity leave, health promotion and protection
provisions, etc.

Occupational health encompasses workplace practices, exposure issues, and

standards aimed at minimizing adverse health effects for workers.

OBJECTIVES/ AIMS/ GOALS OF OCCUPATIONAL HEALTH

 The promotion and maintenance of the highest degree of physical,

mental, and social well-being of workers in all occupations
 The prevention amongst workers of departures from health caused by
their working conditions
 The protection of workers in their employment from risks resulting from
factors adverse to health
 The placing and maintenance of the worker in an occupational
environment adapted to his physiological and psychological capabilities.

 Encouraging Safe Working Methods- Businesses are required to

document, identify, and encourage safe working practices to ensure
compliance with legal standards and to prevent any workplace-related
incidents or accidents.
  Monitoring Overall Health of Employees- Employers should also closely
monitor the overall health of their employees and offer recommendations
or avenues for improving their health.

 Identifying Methods to Improve Employee Performance- Employers can

also research different methods or engage with their employees to
identify how employees can perform their jobs in a safer and better
manner.

 Management Support in Case of Sick Leave- Another key objective of

occupational health is to ensure that management is able to ensure smooth
operations in case an employee is away on sick leave. The company
should have measures in place to manage operations in the employee’s
absence.

 Offering Guidance and Advice to Employees- Occupational health also

aims to offer advice and guidance to employees who might require
assistance with issues that aren’t related to their health. For instance,
occupational health specialists can provide advice on improving the
working environment, which would positively impact employee health.

The World Health Organization has also stated specific guidelines for
organizations to maintain the health and safety of their employees:

 Improving availability of occupational health services

 Implementing a health and safety policy and educating employees
about it
 Promoting a safety-first culture and protecting employee health.

BENEFITS OF OCCUPATIONAL HEALTH

One of the major benefits of implementing a strong occupational health program is helping
reduce workplace injuries and mitigate the risk. Other benefits include the following.

Reduced expenses- Occupational health specializes in understanding the types

of injuries that employees face and focuses on helping employees get better and
back to work. This helps companies reduce overall expenses and assists
employees with getting the exact care they need to treat the injury.

Worker’s compensation- Occupational health programs clearly understand the

worker’s compensation claims process and understand the importance of clearly
communicating with all those involved in the process.
Safety- This type of program can aid in creating preventative measures to
ensure that the workplace is safer. For example, employers might require pre-
employment drug screening to make sure that employees operating heavy
equipment or driving vehicles are doing so safely. An employer might also
require physicals and other medical check-ups.

Prevention- One of the primary goals of occupational medicine is prevention.

Prevention programs are designed to help minimize the risk of occupational
health issues and prevent employees from becoming sick or injured on the job.
They may include digital mental health resources, a health assessment and other
wellness programs to assist employees in specific circumstances with remaining
healthy.

What is stress? Causes of stress? Ways to

manage stress
STRESS
Occupational stress refers to the ongoing or progressing stress an employee
experiences due to the responsibilities, conditions, environment, or other
pressures of the workplace. There are several types of occupational stress,
depending on the individual employee, their job role, the company culture, and
more.

Beehr and Newman define job stress as “a condition arising from the interaction
of people and their jobs and characterized by changes within people that force
them to deviate from their normal functioning.”

Ivancevich and Matteson define stress “an adaptive response, mediated by

individual differences and/or psychological processes, that is a consequence of
any external (environmental) action, situation, or event that places excessive
psychological and/or physical demands on a person.”

MAJOR CAUSES STRESS AT WORKPLACE

Extra organizational Stressors
Extra organizational stressors include things such as societal/technological
change, globalization, the family, relocation, economic and financial conditions,
race and gender, and residential or community conditions. Because people tend
to get caught up in the rush-rush, mobile, urbanized, crowded, on-the-go
lifestyle of today, their anxiety and wellness in general has deteriorated; the
potential for stress on the job has increased. A family situation—either a brief
crisis, such as a squabble or the illness of a family member, or long-term
strained relations with parents, spouse, or children—can act as a significant
stressor for employees.

Organizational Stressors Besides the potential stressors that occur outside the
organization, there are also those associated with the organization itself. These
macro level stressors can be categorized into administrative policies and
strategies, organizational structure and design, organizational processes, and
working conditions. Some specific examples of more specific job stressors
especially related to performance includes role ambiguity, conflict and
overload, job insecurity, work-family conflict, environmental uncertainty, and
situational constraints.

Group Stressors

The group or team can also be a potential source of stress. Group stressors can
be categorized into two areas:

 Lack of group cohesiveness- cohesiveness, or “togetherness,” is very

important to employees, especially at the lower levels of
organizations. If an employee is denied the opportunity for this
cohesiveness because of the task design, because the supervisor does
things to prohibit or limit it, or because the other members of the
group shut the person out, the resulting lack of cohesiveness can be
very stress producing.

 Lack of social support- Employees are greatly affected by the support

of one or more members of a cohesive group. By sharing their
problems and joys with others, they are much better off. If this type of
social support is lacking for an individual, the situation can be very
stressful. In addition to the group per se, group-level dynamics may
become stressors.

Individual Stressors
Individual dispositions such as Type A personality patterns, personal control,
learned helplessness, and psychological hardiness may all affect the level of
stress someone experiences.

Type A Characteristics

Personality traits such as authoritarianism, rigidity, extroversion,

supportiveness, spontaneity, emotionality, tolerance for ambiguity, anxiety, and
the need for achievement have been uncovered by research as being particularly
relevant to individual stress.

Personal Control

People’s feelings about their ability to control a situation are important in

determining their level of stress. In particular, if employees feel that they have
little control over the work environment and over their own job, they will
experience stress. In other words, it may not be job control per se, but the
employee’s perception of fairness that has the resulting impact on stress.

Learned Helplessness

The feeling of loss of control goes back to some of the classic research on
learned helplessness conducted by Seligman. People are most apt to experience
helplessness when they perceive the causes of the lack of control:

 To be related to something about their own personal characteristics (as

opposed to outside, environmental forces)
 As stable and enduring (rather than just temporary)
 To be global and universal (cutting across many situations, rather than in
just one sphere of life)

Psychological Hardiness

Those able to cope successfully with extreme stressors seem to have a

“hardiness” disposition. In other words, employees may be able to draw from
their positive psychological resources (i.e., efficacy, hope, optimism, resiliency,
and overall psychological capital) in order to combat the stressors that they face
at work.

EFFECTS OF STRESS
1. Physical Problems Due to Stress Specific physical health concerns that have
been linked to stress include the following:

(1) immune system problems, where there is a lessened ability to fight off
illness and infection;

(2) cardiovascular system problems, such as high blood pressure and heart
disease;

(3) musculoskeletal system problems, such as tension headaches and back pain;
and

(4) gastrointestinal system problems, such as diarrhea and constipation. Serious

physical ailments from stress have a drastic effect on the individual; not always
as obvious, but just as serious, are the effects that physical problems such as
heart disease can have on the organization.

2. Psychological Problems

Due to Stress High levels of stress may be accompanied by anger, anxiety,

depression, nervousness, irritability, tension, and boredom. These types of
psychological problems from stress, in turn, are especially relevant to poor job
performance, lowered self-esteem, resentment of supervision, inability to
concentrate and make decisions, and job dissatisfaction. These outcomes of
stress can have a direct cost effect on the organization. Both a heart attack and a
psychological problem may have the same cause (too much stress and conflict),
and although people may react to them differently, the negative effect on
performance is the same in the case of a psychological problem, or perhaps even
worse.

3. Behavioural Problems Due to Stress

Direct behaviors that may accompany high levels of stress include undereating
or overeating, sleeplessness, increased smoking and drinking, and drug abuse.
There is research evidence over the years indicating a relationship between
stress and especially absenteeism and turnover. In the meantime the
absenteeism rate climbs, staying away from a job that is causing stress or
quitting the job is a “flight” reaction to the situation. Actually, this may be a
healthier reaction than a “fight” reaction, in which the person may stay on the
stress-producing job and become angry and/or aggressive.
Benefits of preventing stress in the workplace

 Greater job satisfaction

 Increased work engagement

 Reduced costs to the employer

 Improved employee health and community wellbeing.

MANAGEMENT OF STRESS AT THE WORKPLACE

1. Encourage workplace wellness.

Exercise and healthy living are two of your best weapons against workplace
stress. Exercise takes employees' minds off the stress of their job to focus on the
task at hand. It also improves moods by increasing the production of
endorphins, the brain's feel-good neurotransmitters.

 Encourage employees to go on a walk during lunch breaks

 Subsidize gym memberships
 Bring a yoga instructor into the office once a month
 Hold a steps contest among teams for those who own fitness trackers
 Offer healthy snacks in the office

2. Revamp the habitat.

A lot of stress comes from environment. Simple things like the quality of the
coffee or the height of the cubicle walls can affect employee engagement.

Update the office with an upbeat color scheme, additional plants, or new
silverware. If you have the space, think about adding a ping pong or foosball
table to allow employees to take their mind off of their stress for a few minutes.
Any changes that increase employee enjoyment will leave them feeling less
stressed.

3. Allow for flexible hours and remote working.

Allow your employees to work remotely, and give flexibility for start and end
times. This freedom is great for office morale, and the policy shows employees
that you trust them enough not to babysit.
4. Encourage social activity.

Employees spend a lot of time together, and the more comfortable they are, the
less stress they will feel. As coworkers get to know each other, expectations and
communication barriers are broken down, greasing the wheels for easier future
interactions.

5. Create quiet time.

Stress can't be completely avoided, but you can help alleviate it when it arrives.
Ensure your employees have a place where they can take a break.

6. Provide onsite or distance counseling.

Many companies have also begun providing counseling as a way for employees
to help deal with stress; in a recent study, almost half of workers felt they
needed help in learning how to handle the stresses of their jobs. This strategy—
in or out of the office, in group settings or individually—can help employees
prepare for what stress will come their way.

7. Recognize your employees

Employees love being praised for a job well done, and recognizing their success
results in a serious boost in engagement.

However you choose to recognize, your employees will appreciate that you are
aware off their success and want to share it with others. This makes them
happier and more comfortable, in turn lowering stress levels.

Individual Coping Strategies

Exercise- It can help people better cope with stress, even if only as a result of
the side effects, such as relaxation, enhanced self-esteem, and simply getting
one’s mind off work for a while, and thus perform better in their daily tasks in
the workplace.

Relaxation- Whether a person simply takes it easy once in a while or uses

specific relaxation techniques such as biofeedback or meditation, the intent is to
eliminate the immediately stressful situation or manage a prolonged stressful
situation more effectively.

Meditation involves muscle and mental relaxation; the person slowly repeats a
peaceful phrase or word or concentrates on a mental picture in a quiet location.
Behavioural self-control- By deliberately managing the antecedents and the
consequences of their own behavior, people can achieve self-control

Cognitive therapy- a number of clinical psychologists have entered the stress

field with cognitive therapy techniques. Techniques such as Ellis’s rational
emotive model and cognitive behavior modification have been used as an
individual strategy for reducing job stress.

Building self-efficacy through Bandura’s social cognitive theory has also been
used. Thus, the goal is to gain or enhance one’s sense of efficacy over stressful
situations, as an individual coping strategy for stress reduction, through
successful performance experience, vicarious experience, social persuasion,
and/or controlling physiological and emotional states.

Networking- people need and will benefit from social support. Applied as a
strategy to reduce job stress, this would entail forming close associations with
trusted empathetic co-workers and colleagues who are good listeners and
confidence builders. These friends are there when needed and provide support
to get the person through stressful situations.

Organizational Coping Strategies

Organizational coping strategies are designed by management to eliminate or
control organizational-level stressors in order to prevent or reduce job stress for
individual employees. In general, most firms today are trying to reduce stress
and conflict through work-family initiatives.

These involve both reorganization initiatives (e.g., restructuring of jobs and job
duties, telecommuting, part-time work and job sharing, and flexible scheduling)
and work and life benefit policies and programs (e.g., on-site child care and/or
elder care, paid family and medical leave, release time for personal/family
events, and limits on frequency and distance of business travel).

What is work family conflict? Causes of work

family conflict?
WORK FAMILY CONFLICTS
Work-family conflict is a form of inter-role conflict in which the demands of
work and family roles are incompatible in some respect so that participation in
one role is more difficult because of participation in the other role (Greenhaus
& Beutell, 1985).

Work-family and work-life conflict are forms of inter-role conflict that occur
when the energy, time, or behavioral demands of the work role conflicts with
family or personal life roles. Work-family conflict is a specific form of work-
life conflict.

Work-family conflict occurs when an unhealthy balance exists which forces a

person to place work demands above and beyond the demands and needs of
family or alternatively, place family demands above those of work.

Work-family conflict can also occur when situations at work are brought into
family life or situations in someone's family life start affecting work
performance.

CAUSES OF WORK- FAMILY CONFLICT

 Family stress and overload.
 Work hours.
 Limited autonomy and flexibility at work.
 Self-employment and entrepreneurship.
 Higher job status and responsibility.
 Job burnout.
 Parental stress.
 Caretaking of aging parents.
 Changes in family structure
 Economic down turn

Consequences of Work-Family Conflict

 increased incidence of depression and alcohol use

 Decreased physical health.
 It has also been shown that people who are dissatisfied with their
families are more likely to drink alcohol excessively.
 Reduction of Organizational Commitment: Higher the work family
conflict lowers the organization’s commitment.
  Stress and burnout- Burnout is marked by irritability, self-judgment,
and pessimism. Fatigue and outrage are also associated with burnout.
 Job performance and work- commitment
 Work-family conflict is shown to have a negative impact on individual’s well-
being, employers, and family.
 These conflicts have contributed to:'
 Low organizational commitment
 Work dissatisfaction
 Family dissatisfaction
 Pressure and employee turnover
 Health problems, psychological problems, and various other social problems
 It has also been shown that people who are dissatisfied with their families are
more likely to drink alcohol excessively.

HOW TO RESOLVE WORK- FAMILY CONFLICT?

 Schedule flexibility. As workers feel they are often being pulled in multiple
directions, it can be difficult for them to fit all of their job and personal
responsibilities in.
 Adequate support ( managers, supervisors)
 Proper training ( employee training, supervisor training)
 Company culture- It pays off to build a positive environment. , team bulding
culture and support culture.

How does stress and work family conflict affect

mental and physical health?
Write about effects of stress and consequences
of work-family conflict and stress.