Computerization began in the human resource area via the payroll system. Payrolls are large masses of detailed information which need to be accurately and quickly updated. This is a fundamental accounting activity, so organizations had little hesitation in introducing such systems. Early systems were computer bureaus where data was processed outside the organization. Initially, it seemed that the promised benefits of computerization had finally arrived. The army of pay clerks was substantially reduced. However, new issues relating to input errors and processing delays soon arose. It is important for HR managers to understand this history because it explains why many early (and even some contemporary) HRIS have a bias towards payroll activities. Payroll processors first attempted to introduce Human Resource Information System (HRIS) in the mid-1970s when a major vendor offered a HR system with some additional fields of information that could be manipulated. Although a crude attempt Continue reading
Human Resource Management
Human Resource Management (HRM) is branch of management that deals with people at work, it is concerned with the human dimensions of management of the organization. As organization consists of people, therefore acquiring them, developing their skills, providing them motivation in order to attain higher goal and ensuring that the level of commitment is maintained are the important activities.
“Job Enrichment is Just a Fancy Name for Employee Exploitation”- Discussion
Job enrichment is operationalized with job descriptions and job specifications. Badly written job descriptions and job specifications restrict management’s freedom to make changes in job tasks, duties and responsibilities; and assign work to employees. Claims of employee exploitation will usually come from trade unions. To avoid industrial disputes with trade unions, it is critical that job descriptions and job specifications be clear, concise and understandable. This is particularly so with jobs that have A,B,C, classifications. Such jobs must be carefully distinguished by job title and clearly involve different job content and job requirements. Where ABC type classifications have developed for ‘historical’ reasons it is essential that a thorough job analysis be conducted to ensure that more than one level of the job actually exits. If this is not done, claims for “higher duties” payments or upgrade to a higher classification are likely to be an ongoing source of grievances. Precise Continue reading
Employee Value Proposition (EVP) – Definition and Importance
Employee value proposition (EVP), is the assessment of the relationship between employer and employee. This entails what an employee gets from his or her employer as a reward for work done. The measurement of this relationship defines the position of the company among its competitors. For instance, if employees feel that they receive an equal reward or even more rewards than their work, this implies satisfied employees. Mostly, such companies do not have regular employee turnover, as every employee feels comfortable. The employee value proposition entails a clear description of the real needs and clarification of the job expectations. Both the employer and the employee should be made aware of what to expect from one another. In most cases, the Employee value proposition (EVP) is defined by the employer by defining the unique qualities of the job in question, which would make it most attractive to a competent candidate. Another Continue reading
Cost Based Approaches to Human Resource Accounting
Human Resource Accounting is an attempt to identify and report investments made in the human resources of an organisation that are not presently accounted for under conventional accounting practice. Basically, it is an information system that tells the management what changes overtime are occurring to the human resources of the business, and of the cost and value of the human factor to the organisation. The system may serve both the internal and external users, providing management (internal users) with relevant data on which to base recruiting, training and other development decisions and supplying investors, lenders and other external users of financial statement with information concerning the investment in and utilization of human resources in the organization. Accounting is a man-made art and its principles and procedures have been evolved over a long period to aid business in reporting for the management and public. Of the four factors of production, viz., Continue reading
Extrinsic and Intrinsic Rewards – Impact on Individual and Organization Performance
In this competitive environment nowadays, organisations are predicted to be more aggressive on empowering the employees because the employees’ job satisfactions are important for the whole organizational performance. Because of this reason, in order to achieve the organization’s missions and goals, the effectiveness on managing the motivation of employees should not be excluded. The motivation such as employees’ satisfaction on their works or the rewards given to them leads to better performance in their organization. Rewards are the performance incentives that given by the company to the individuals due to their good work performance. There are two types of rewards that normally implemented by the organizations to motivate the employees, extrinsic rewards and intrinsic rewards. Based on the Vroom’s expectancy theory of motivation, extrinsic rewards are positively valued work outcomes that the individual receives from some other person in the work setting, include such things as pay, financial incentives, security, Continue reading
Importance of Appraisal for Employee Motivation
One of the secrets of a good performing company is the fact that they recognized the importance of staff motivation. Watch out for companies that are 10 years old and above, the secret of their sustenance and longevity lies on the above truth. A solid and good management doesn’t joke with the above notion. The truth of the matter is this; for a staff to work efficiently and effectively, employees must be motivated. This means that their efforts should be rewarded with physical, financial and psychological benefits and incentives so that they could maintain a high level of morale, satisfaction, and productivity. It means that workers should be stimulated to take a desired course of action by providing them with the opportunities to gain what they want. Employee motivation is a function of all managers in general and of personnel managers in particular. The following are some of the techniques Continue reading