Suggestions for improvements for the challenges faced by hrm

IMPROVEMENTS FOR
THE CHALLENGES
FACED BY HRM
By
MANISHA VAGHELA

vaghela_manisha13@yahoo
.com 1

FLOW OF PRESENTATION

 Introduction
 Definitionof HRM
 Challenges as a result of globalization
 Challenges faced by the HR manager
 Suggestions
 Examples
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Introduction to HRM
 The management of man is very
important and the most challenging job.
 It is important because it is not the job of
managing men but of administering the
social system.
 The management of men is a challenging
task because of the dynamic nature of the
people.

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 Good human resource management (HRM) is
essential to retaining staff and maintaining a high
overall level of performance within a health
organization. Effective HRM is one of the key
building blocks of a comprehensive HRM
strategy.
 A responsive human resource management
system can help ensure that staff know what they
are supposed to do, get timely feedback, feel
valued and respected, and have opportunities to
learn and grow on the job.
Fragmented, politicized human resource
management systems and lack of human
resource managers are two common barriers to
effective HRM. .com 4

Definition of HRM

 According to Flippo, “human resource
management is the planning
, organizing , directing and controlling of
the
procurement, development, compensati
on, integration, maintenance, and
separation of human resource to the
end that individual, organizational and
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 HRM is concerned with the people
who work in the organization to
achieve the objective of the
organization. It concerns with
acquisition of appropriate human
resources, developing their skills and
competencies, motivating them for
best performance and ensuring their
continued commit organizational
objectives.
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 HRM refers to activities and functions
designed and implemented to
maximize organizational as well as
employees effectiveness.

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Functions of HR manager

 Planning
 Organizing
 Staffing
 Directing
 Controlling

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Challenges faced by Hr managers
as a result of globalization
 As the area of human resource management
becomes more strategic and more global it is
becoming more important and critical to the
organization. While not all companies are
recognizing this yet, those that are most
effective and most admired, seem to be the
ones that are.

 For example the small traders may not face the
need for a HR manager whereas a
multinational or a large scale company may
recognize its importance. .com 9

As a consequence they are doing many things
that make their human resource management
effective. In doing so, several things are being
observed:
 The roles that the HR department and its HR
professionals have traditionally played are
changing substantially;
 The competencies required of the HR
professionals to play these new roles are also
changing rapidly with dramatic implications for
the current HR staff and leaders;
Example: sit in village cannot apply in cities
Now a days sit in india apply in foreign.
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 The HR professionals are working more
closely, in partnership, with line
managers, employees, suppliers and
representatives of labor unions, strategic
partners and members of community
organizations in order to be more effective in
managing the firm’s human resources.
 Nowadays placement agencies
 The structure of the HR department and the
HR function are being reshaped in order to
better serve the various stakeholders of HR in
order to make the management of people and
the organization more effective.
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• The structure of HR activities facilitates their
success. Each plant is essentially self-
sufficient, with at least one dedicated HR
generalist located on-site. In addition to serving
as a member of the leadership team, the HR
generalist, development, staff allocation, and
conflict resolution. They're the ones who create
an environment people want to work in, which
is critical to getting business results.

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Challenges faced by HR manager

ATTRITION
Attrition is the gradual reduction of a workforce
by employees' leaving and not being replaced.
Reducing attrition rate has been a challenge for HR
Managers since many years.
Hence this challenge may be reduced to a great
extent by giving proper training to the workers. Also
by providing better payment or by bonus
schemes, by appraisals, best performers of the
year, gifts on festivals, pension policies for old
employees, health benefits, rewards and incentives
etc. Now, HR Managers are working hard to reduce
this increasing attrition rate. .com
13

RECRUITMENT AND TRAINING

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As the employees are leaving the
organization due to increased Work
pressures, it has become mandatory for the HR
Manager to recruit new employees. And in this
liquidity crunch they are spending on the
recruitment and training of the new recruits.

This challenge can be overcome by providing
effective training and proper motivation to the
employees. The company must also ensure that
the person is satisfied by the job to ensure
reduction in workforce.

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RETENTION
Retention is a process of continued
possession. Retaining an employee without
giving any fringe benefits is although more
difficult. In the current scenario when each and
every organization is suffering from liquidity
crunch it is very difficult for an organization to
give tangible or intangible benefits. Hence
retention of the employees is a great challenge
that the company and therefore the HR
managers are facing today.

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This challenge can be overcome by proper
motivation and also proper relationship with its
colleagues, managers, etc. Hence the employee
must have job satisfaction.

The company must take steps for giving proper
satisfaction to its employees whether by giving
monetary or non monetary incentives.

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COMMUNICATION

Effective communication is a great
challenge in the sense that wrong
communication or misrepresentation may spoil
the company image or it can also lead to huge
problems in the future. Use of business jargons
may not be understood by the workers who
may not be educated.
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COMPENSATION

Compensation is to provide all individuals
with remuneration and benefits based on
their contribution and value to the organization in
a fair and transparent manner. Competitiveness
of the compensation offered in comparison with
the prevailing markets reality is the driving force.

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Career Development

 To ensure that individuals are provided
opportunities to develop their competencies
that enable them to achieve professional and
personal career objectives within the
organization’s goals.

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SABOTAGE
Sabotage is the threat against damages.
It can be prevented by some of the following ways:
 Make it clear in organizational policy statements
that acts of sabotage will not be tolerated and the
expense of any damage to organizational property
due to an employee’s negligence or fault will be the
responsibility of the employee.
 Offer employees training in conflict management
and ways to appropriately vent anger.
 Consider offering a third-party hotline for employees
to report incidents of workplace sabotage.

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 Hire the best people for the jobs and treat them
well. Sabotage is more likely to occur when a
worker is frustrated and feels unfairly treated.
Making sure that there is a good fit between the
person and the job and that organizational
treatment is fair can prevent sabotage.

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Competitive challenges

 GOING GLOBAL
In order to grow and prosper, many companies
are seeking business opportunities in global
markets. Competition and cooperation with foreign
companies has become an important focal point for
business. This is an important challenge that can
be overcome by having huge investment and
hence investing in foreign market.

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 EMBRACING
NEW
TECHNOLOGY

Advancement in information technology
have enabled organizations to take
advantage of the information explosion. With
computers networks, unlimited amounts of
data can be stored, retrieved, and used in a
wide variety of ways, from simple record
keeping to controlling complex equipment.

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The effect is so dramatic that at a broader
level, organizations are changing the way they
do business. use of the internet to transact
business has become so pervasive for both large
and small companies that e-commerce is
rapidly, becoming the Organizational challenges
of the new millennium.

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Suggestions
 The HR managers must be familiar with the
new trends and techniques so as to do their
job in a better way.

 In case the company or the HR manager
recruits people on the basis of caste or any
religion then this policy must be abolished .
Steps must hence be taken for abolishing
them.

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 The HR manager must have a better
understanding in the sense that the workers
must feel free to tell or ask him in case of any
problem.

 Attrition is the gradual reduction in workforce
by employees and not being replaced. This
challenge may be reduced by giving proper
training to the workers.

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 Increased workload is a great challenge and it
must be reduced to a great extent. Hence
work pressure must be minimized.

 Increased work load has lead to recruitment of
new employees. Hence recruitment costs
must be minimized. To avoid recruitment of
new people proper motivation and training
must be provided so as to increase
productivity.

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 The HR manager must take steps so as to
avoid employees leaving their jobs. Job
satisfaction plays an important role here.

 The HR manager must avoid or reduce using
business jargons with workers
Eg. excel Nirma workers

 Sabotage is the threat against damages. It
can be reduced by taking an insurance policy.
Insurance policy helps to compensate the
losses or otherwise minimize them.
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 New technologies are coming into effect
day by day. Hence they must be
adopted as and when required.
 Microsoft windows, computers to laptops
 Cds to pen drives

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Examples
Workplace smoking being banned in
Japan:
• Japanese companies are taking steps to
reduce smoking in the workplace. It is now
common for Japanese companies to separate
smokers from nonsmokers to protect
nonsmokers from secondhand smoke.
Japanese companies are taking other steps to
reduce or eliminate smoking. For example:

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 K.K. Ashisuto, a Tokyo-based software company
requires potential hires to be or become nonsmokers.

 Sato Corporation, a Tokyo-based
manufacturer, provides a $15 monthly bonus to each
nonsmoking employee.

 Taisho pharmaceutical company banned smoking in
all officers and factories nationwide in 1999 after an
employee died of lung cancer.

 In 1999 the Japan highway public corporation banned
smoking in 688 public restrooms on Japan’s
expressways.

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GODFREY PHILLIPS AND
THEIR HRM PROBLEMS

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 Challenges in Modern Human Resource Management
Godfrey Phillips is today the second largest player in the
Indian cigarette industry with an annual turnover of over
US$ 265 million. The company was incorporated in
India in 1936, the Company established its own
manufacturing facilities in 1944.

 The Company today is the proud owner of some of the
most popular cigarette brands in the country like Red
and White, Four
Square, Jaisalmer, Cavanders, Tipper and Prince. Its
products are distributed through an extensive India wide
network comprising 484 exclusive distributors and over
800,000 retail outlets.
.com 34

 The govt. has made some amendments in the INDIAN
TOBACCO ACT 1975 with special reference to
advertising, smoking in public places, selling to and by
minors and 10 Challenges in Modern Human Resource
Management to 15% decrease in land allotted for
cultivating tobacco. With this coming into effect, there
has been a considerable downfall in sales of cigarettes
and related products.

 To overcome this challenge, the company has to switch
to other alternative fields like consumer goods, and with
these developments, the employee workforce has to be
recruited and thoroughly trained in their specific
departments. Also, the company has changed the
working platforms of its employees who are working in
production department; hence a major challenge is to
plan the management of the .com workforce. 35

Conclusion
• The management of men is a challenging
task because of the dynamic nature of the
people.

• To overcome the challenges, the HR
managers must be familiar with the new trends
and techniques.

• Managers must have to ready to adopt any
challenges because any time anything can be
done.
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 Actions can be taken:
 Designate a senior manager to be in charge of HRM
 Provide training to HRM staff
 Develop on-the-job, skill-based training for health care
staff
 Streamline the planning, recruitment and hiring
process
 Strengthen supervision
 Consider redefining scopes of practice for health care
staff
 Track employee data such as attrition, staff
turnover, absenteeism
 Introduce HIV Workplace Prevention programs
 Develop and enforce HIV antidiscrimination policies
 Address inequities in staff
workload, salaries, allowances
 Extend benefits vaghela_manisha13@yahoo
program .com 37

∆ why managers must be ready ?
∆ Which one is the competitive challenge ?
∆ Is it effective communication important
for the organizations ? Yes or no?

vaghela_manisha13@yahoo.
com 38

vaghela_manisha13@yahoo.
com 39

Suggestions for improvements for the challenges faced by hrm

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