Presented by: SADAF HEMANI Student Editor iEARN LYR Pakistan

IMPORTANCE OF HUMAN ASSET  Humans are even more valuable than physical assets like machinery etc.  They help in organizing and controlling the business activities of a company.  Each money spend on development of human workers results in great amount of profit

HUMAN RESOURCE DEPARTMENT ( HRD)  Human Resource decision involves staffing of qualified and deserving candidates.  Staffing starts from hiring and ends after firing an employee  It is the sole objective of HR department to manage the performance of the workers in the organization

HUMAN RESOURCE ACTIVITIES The following steps are performed by HR department:  Determination of need  Selection and Recruitment  Orientation and Training  Performance Appraisal  Compensation  Promotion  Separation

 Effective management first determines need for person before it makes decision to hire  There are various approaches to determine the job, for e.g. job factor, inventory method, ranking method etc.  In short, HR department stresses upon a candidates education, ability, skills, qualification and technical know how for hiring him.

 Recruiting refers to inviting applications from prospective candidates.  Once the applications have been received, they will be selected according to the type of job.  Then candidates will be interviewed, tested, checked up and finally selected.

 Orientation is the period of introducing candidates with the internal organization  This can be through formal session, interviews and speeches.  During orientation different subjects are covered including; Company’s major operation, rules and regulations, policies, rights and powers etc.  Workers are trained through workshops, meetings, seminars and temporary promotions etc.

 Performance Appraisal refers to measuring the performance of managers.  Managers should be appraised by what they accomplish rather than how they spend their time in the office.  Managers should know what their objectives are.  Participation of employees is considered important to appraise them.  The hard work and ability of workers are given more importance as compared to their sincerity and friendship with the seniors.

 Reward is provided to workers for services they have performed.  Wages and benefits are provided to workers to encourage them.  Compensation includes salaries, bonuses, allowances and other benefits  They basic desire of every worker is to earn satisfactory compensation to live a successful life.

 Employees are promoted to a higher level or position  This is done to encourage and appreciate the workers for their hard work and determination.  They are provided with a higher status along with increase in salary.  It increases the morale of the company employees.

 This is the final step performed by the HR department.  It includes dismissal, retirement, discharge and death which leads to ending up the performance in the organization.  Employees may leave according to their own desire or they can be dismissed by the seniors  Incase of death, the separation automatically takes place