Question

1-Discuss the five major components of a human resource management system.

2. Discuss the advantages and disadvantages of internal recruitment. Explain how external recruitment can compensate for these disadvantages.

3.List and explain the three factors on which performance is appraised in a performance appraisal.

4.Describe the collective bargaining process.

Answer 1

1. Human resource management system: There are five major components of an HRMS which are as follows:

• The Organisation culture: The human resource management is responsible for setting policies, procedures and company standards. It also dictates it to employees. All the policies, norms make an organisation culture and all the employees have to behave accordingly.
• Performance Evaluation: The HRMS is responsible for evaluation of the performance of the employees and analyse whether it is meeting the goals of the company or not. They are aslo responsible for making any change which would be beneficial in this regard.
• Recruitment and Selection: Recruiting the right canditate which is best fit for the company is very important. HRMS is responsible for hiring the right person through the entire process of posting, filteration to selection.
• Training- After a rigorous process of recruitment and selection, the employee is trained for the job so that he would match his skills with the required job. Also, regular training of the employees is planned and managed by HRMS so that all the employees are up to date with the knowledge and skills of the required domain.
• Health and Safety- It is the right of all the workers to get a safe working environment which is provided by the HRMS. Safety and the health benefits to the workers are overlooked and planned by the HRMS.

2. Advantages of Internal Recruitment

• Time Saving- Recruitment and selection through internally can save the time of the HR and the company as there is no need to follow the entire job posting, hiring and evalution procedure for the candidate.
• The person knows the culture of the organisation and thus can be easily fir for the new position.
• Economical in nature: Internal recruitment saves the cost. For example: cost of job posting can be saved.
• The track record is available and no need to go for background check.
• Improve employee performance by giving the existing employees new opportunities.

Disadvantages of Internal Recruitment

• Create a feeling of dissatisfaction and unfair among other employees who were not chosen for the role.
• It also limit the pool of applications which may result in inappropriate hiring. More suitable candidate can be hired if they have more choices.
• Gap in existing position: If one of the existing employee is promoted there will be a gap in his/her place.

External Recruitment can compensate in the following ways:

• There will be no feeling of dissatisfaction among the employees as all the candidates are given an equal opportunity for the position through recruiting externally.
• More number of choices to the company for the required position.
• Suitable candidate can be hired from the wide choices of applications.
• There will be no gap in the existing position as the person is hired from other sources not from the same company.

3. Three factors on which performance is appraised in a performance appraisal are:

• Performance of the employee
• Skills Sets of the employee
• Motivation and initiatives

• Performance of the employee- The past and current execution of work of the employee can affect the performance appraisal. For example: Continous absentisim or late work frequently can affect the performance of the employee which in turn results in company's performance.
• Skills Sets of the employee- The level of skills of an employee is an important factor in performance appraisal. If a person continuously improve his skills then he would be more appropriate for the job and would perform better.
• Motivation and Initiavites: A highly motivated employee will work hard to complete his given task and also take new initiatives for achieving his and company's goals which would result in a better performance.

All the three factors affect the performnace appraisal of the employee. Based on the above three factors, the performance is appraised.

4. Collective bargaining process: It is a process between the employees and the employer. In this process, the terms of employment is negotiated between the employeers and group of workers/ employees.The terms of employment include the following:

• wages and salary
• sick leave
• health benefits
• overtime pay
• conditions of employment
• work hours
• shift length

In the USA, this process takes place between the union leaders and the management of the company to negotiate for the above mentioned terms of the employment and they reach on an collective bargaining agreement.