Describe managerial considerations in staffing (SM:065) 5.05 Recognize management’s role to understand its contribution to business success. Describe managerial considerations in staffing (SM:065)

Explain the importance of the staffing function to an organization. an organization must respond to change effectively in order to remain competitive. The right staff can carry an organization through a period of change and ensure its future success. Because of the importance of hiring and maintaining a committed and competent staff, effective human resource management is crucial to the success of all organizations.

Discuss the staffing process. Manpower requirements- The very first step in staffing is to plan the manpower inventory required by a concern in order to match them with the job requirements and demands. Therefore, it involves forecasting and determining the future manpower needs of the concern. Recruitment- Once the requirements are notified, the concern invites and solicits applications according to the invitations made to the desirable candidates. Selection- This is the screening step of staffing in which the solicited applications are screened out and suitable candidates are appointed as per the requirements. Orientation and Placement- Once screening takes place, the appointed candidates are made familiar to the work units and work environment through the orientation programs. placement takes place by putting right man on the right job. Training and Development- Training is a part of incentives given to the workers in order to develop and grow them within the concern. Training is generally given according to the nature of activities and scope of expansion in it. Along with it, the workers are developed by providing them extra benefits of in-depth knowledge of their functional areas. Development also includes giving them key and important jobs as a test or examination in order to analyze their performances. Remuneration- It is a kind of compensation provided monetarily to the employees for their work performances. This is given according to the nature of job- skilled or unskilled, physical or mental, etc. Remuneration forms an important monetary incentive for the employees. Performance Evaluation- In order to keep a track or record of the behavior, attitudes as well as opinions of the workers towards their jobs. For this regular assessment is done to evaluate and supervise different work units in a concern. It is basically concerning to know the development cycle and growth patterns of the employees in a concern. Promotion and transfer- Promotion is said to be a non- monetary incentive in which the worker is shifted from a higher job demanding bigger responsibilities as well as shifting the workers and transferring them to different work units and branches of the same organization.

Explain why staffing is a separate function from organizing. Staffing is an important managerial function- Staffing function is the most important managerial act along with planning, organizing, directing and controlling. The operations of these four functions depend upon the manpower which is available through staffing function. The basis of staffing function is efficient management of personnel- Human resources can be efficiently managed by a system or proper procedure, that is, recruitment, selection, placement, training and development, providing remuneration, etc.

Describe the effects of understaffing and overstaffing. The penalties for not being correctly staffed are costly. Understaffing loses the business economies of scale and specialization, orders, customers and profits. Overstaffing is wasteful and expensive, if sustained, and it is costly to eliminate because of modern legislation in respect of redundancy payments, consultation, minimum periods of notice, etc. Very importantly, overstaffing reduces the competitive efficiency of the business.

Identify factors that indicate that a change in human resources is needed. Future staffing needs will derive from: Sales and production forecasts The effects of technological change on task needs Variations in the efficiency, productivity, flexibility of labor as a result of training, work study, organizational change, new motivations, etc. Changes in employment practices (e.g. use of subcontractors or agency staffs, hiving-off tasks, buying in, substitution, etc.) Variations, which respond to new legislation, e.g. payroll taxes or their abolition, new health and safety requirements Changes in Government policies (investment incentives, regional or trade grants, etc.)

Discuss the key dimensions of an organization that impact the development of human resources strategy Culture: the beliefs, values, norms and management style of the organization Organization: the structure, job roles and reporting lines of the organization People: the skill levels, staff potential and management capability Human resources systems: the people focused mechanisms which deliver the strategy - employee selection, communications, training, rewards, career development, etc.

Explain steps involved in developing human resources strategy Step 1: Get the 'big picture' Understand your business strategy. Highlight the key driving forces of your business. What are they? e.g. technology, distribution, competition, the markets. What are the implications of the driving forces for the people side of your business? What is the fundamental people contribution to bottom line business performance? Step 2: Develop a Mission Statement or Statement of Intent That relates to the people side of the business. Do not be put off by negative reactions to the words or references to idealistic statements - it is the actual process of thinking through the issues in a formal and explicit manner that is important. What do your people contribute? Step 3: Conduct a SWOT analysis of the organization Focus on the internal strengths and weaknesses of the people side of the business. Consider the current skill and capability issues. Vigorously research the external business and market environment. High light the opportunities and threats relating to the people side of the business. What impact will/ might they have on business performance? Consider skill shortages? The impact of new technology on staffing levels? From this analysis you then need to review the capability of your personnel department. Complete a SWOT analysis of the department - consider in detail the department's current areas of operation, the service levels and competences of your personnel staff. Step 4: Conduct a detailed human resources analysis Concentrate on the organization's COPS (culture, organization, people, HR systems) Consider: Where you are now? Where do you want to be? What gaps exists between the reality of where you are now and where you want to be? Exhaust your analysis of the four dimensions.

Explain steps involved in developing human resources strategy (cont) Step 5: Determine critical people issues Go back to the business strategy and examine it against your SWOT and COPS Analysis Identify the critical people issues namely those people issues that you must address. Those which have a key impact on the delivery of your business strategy. Prioritize the critical people issues. What will happen if you fail to address them? Remember you are trying to identify where you should be focusing your efforts and resources. Step 6: Develop consequences and solutions For each critical issue highlight the options for managerial action generate, elaborate and create - don't go for the obvious. This is an important step as frequently people jump for the known rather than challenge existing assumptions about the way things have been done in the past. Think about the consequences of taking various courses of action. Consider the mix of HR systems needed to address the issues. Do you need to improve communications, training or pay? What are the implications for the business and the personnel function? Once you have worked through the process it should then be possible to translate the action plan into broad objectives. These will need to be broken down into the specialist HR Systems areas of: employee training and development, management development, organization development, performance appraisal, employee reward, employee selection and recruitment, manpower planning, communication Develop your action plan around the critical issues. Set targets and dates for the accomplishment of the key objectives. Step 7: Implementation and evaluation of the action plans The ultimate purpose of developing a human resource strategy is to ensure that the objectives set are mutually supportive so that the reward and payment systems are integrated with employee training and career development plans. There is very little value or benefit in training people only to then frustrate them through a failure to provide ample career and development opportunities.

Student Activity Textbook Chapter 24 page 652 – Review Fact Questions 1-3 and Discuss Ideas Questions 1-10 Chapter 24 page 654 Analyze Information Question 5

Discuss managerial considerations in directing (SM:066) 5.05 Recognize management’s role to understand its contribution to business success. Discuss managerial considerations in directing (SM:066)

Explain the purpose of the directing management function. In this function, managers are transforming into good leaders – that is, they are considering not only the organizational goals but also the personal objectives of their people. Directing tries to align the future of the organization and its people. The philosophy behind this is that, the organization cannot be considered as successful if its members are failing

Describe the importance of the directing management function It Initiates Actions - Directions is the function which is the starting point of the work performance of subordinates. It is from this function the action takes place, subordinates understand their jobs and do according to the instructions laid. Whatever are plans laid, can be implemented only once the actual work starts. It is there that direction becomes beneficial. It Ingrates Efforts - Through direction, the superiors are able to guide, inspire and instruct the subordinates to work. For this, efforts of every individual towards accomplishment of goals are required. It is through direction the efforts of every department can be related and integrated with others. This can be done through persuasive leadership and effective communication. Integration of efforts bring effectiveness and stability in a concern. Means of Motivation - Direction function helps in achievement of goals. A manager makes use of the element of motivation here to improve the performances of subordinates. This can be done by providing incentives or compensation, whether monetary or non - monetary, which serves as a “Morale booster” to the subordinates Motivation is also helpful for the subordinates to give the best of their abilities which ultimately helps in growth. It Provides Stability - Stability and balance in concern becomes very important for long term sun survival in the market. This can be brought upon by the managers with the help of four tools or elements of direction function - judicious blend of persuasive leadership, effective communication, strict supervision and efficient motivation. Stability is very important since that is an index of growth of an enterprise. Therefore a manager can use of all the four traits in him so that performance standards can be maintained. Coping up with the changes - It is a human behavior that human beings show resistance to change. Adaptability with changing environment helps in sustaining planned growth and becoming a market leader. It is directing function which is of use to meet with changes in environment, both internal as external. Effective communication helps in coping up with the changes. It is the role of manager here to communicate the nature and contents of changes very clearly to the subordinates. This helps in clarifications, easy adaption's and smooth running of an enterprise. For example, if a concern shifts from handlooms to power looms, an important change in technique of production takes place. The resulting factors are less of manpower and more of machinery. This can be resisted by the subordinates. The manager here can explain that the change was in the benefit of the subordinates. Through more mechanization, production increases and thereby the profits. Indirectly, the subordinates are benefited out of that in form of higher remuneration. Efficient Utilization of Resources - Direction finance helps in clarifying the role of every subordinate towards his work. The resources can be utilized properly only when less of wastages, duplication of efforts, overlapping of performances, etc. doesn’t take place. Through direction, the role of subordinates become clear as manager makes use of his supervisory, the guidance, the instructions and motivation skill to inspire the subordinates. This helps in maximum possible utilization of resources of men, machine, materials and money which helps in reducing costs and increasing profits.

Discuss activities involved in the directing management function Directing concerns the total manner in which a manager influences actions of subordinates. First, it includes issuing orders that are clear, complete and within the capabilities of subordinates to accomplish. Assignments have to be defined to allow subordinates to think through the task, determine their level of authority, and allow them to ask questions and make recommendations. Outlines must likewise be provided to be used as guides and bases for evaluation or in building checkpoints. Second, it suggests an incessant training activity in which subordinates are given instructions to enable them to carry out the particular assignment in the existing situation. Remember the line that says "They haven't learned it until they can do it without you." Third, it involves the motivation of workers to meet the expectations of the manager. Let your subordinates do the job; match them to the task; focus on process as well as on product. Fourth, it consists of maintaining discipline and rewarding those who perform well. Offer specific examples, provide positive feedback, recognize individual performances, and be sincere through it all.

Explain why directing is considered the “heart” of management. Directing is considered as the most humane function of management. It is also called as the heart of management. But at the heart of the managerial process is the managerial function of directing since it is involved with initiating action. This function involves influencing human behavior through motivation, communication, coaching, leadership, discipline, development of interpersonal skills and assistance for the achievement of individual’s personal goals.

Explain the relationship among motivation, needs, effort, and rewards. It is important that managers find out what are their staff dreaming of. Workers will become happier and more motivated if they will see and feel that their superiors are helping them to achieve their dreams. Speaking of their dreams, these may be big and small, short-term and long-term. But whatever it is, organizational leaders should try to entertain them all and can make them happier and more productive. The above personal objectives of employees are simple wishes that can greatly change their working performance once realized by their employers. A boss who can’t make simple dreams of his or her people come true can be an alarming scenario.

Describe characteristics of the directing management function Pervasive Function - Directing is required at all levels of organization. Every manager provides guidance and inspiration to his subordinates. Continuous Activity - Direction is a continuous activity as it continuous throughout the life of organization. Human Factor - Directing function is related to subordinates and therefore it is related to human factor. Since human factor is complex and behavior is unpredictable, direction function becomes important. Creative Activity - Direction function helps in converting plans into performance. Without this function, people become inactive and physical resources are meaningless. Executive Function - Direction function is carried out by all managers and executives at all levels throughout the working of an enterprise, a subordinate receives instructions from his superior only. Delegate Function - Direction is supposed to be a function dealing with human beings. Human behavior is unpredictable by nature and conditioning the people’s behavior towards the goals of the enterprise is what the executive does in this function. Therefore, it is termed as having delicacy in it to tackle human behavior.

Explain criteria used to evaluate the effectiveness of a manager’s ability to direct Briefly stated, directing is the final action of a manager in getting others to effect all preparations toward completion. How good are the results that you get from your subordinates? These results must meet three objectives: 1) Output or production - You will require your subordinates to turn out a certain amount of work per day, per week, or per month. It will be expected that this will be done on time, and therefore will meet delivery schedules and project deadlines. 2) Quality and workmanship - This means minimal or zero product defects, service errors or customer complaints. 3) Costs and budget control - Output and quality of work are always restricted by the amount of money the management allows to be spent to carry them out. Keep in mind that you, as the manager, will always be gauged by your superiors on how well you manage the various resources made available to you to accomplish your own assignments. It follows that if you manage each of your resources well, you should get the desired results from your subordinates.

Student Activity Each student should write a short paper in which s/he explains the different aspects of and activities involved in the directing management function. S/he should also reflect on his/her abilities to carry out the directing function activities. Is s/he well-qualified? Why? Or, does s/he feel uncomfortable or unable to direct? Why? Test on Unit 5 next class