Human Resource Management Report: RK Golchha Group Case Study Analysis

This report, prepared as part of a management trainee assignment, provides a comprehensive overview of Human Resource Management (HRM) within the RK Golchha Group. It begins with an executive summary and then delves into the core functions of HRM, including job analysis, training and development, employee motivation, and performance appraisal. The report explores the purpose and scope of HRM, focusing on resourcing the organization with appropriate talent and skills. It examines the strengths and weaknesses of different recruitment and selection approaches and provides recommendations. Furthermore, the report details the benefits and effectiveness of various HRM practices, including their impact on profit and productivity, with specific examples from the case study of the RK Golchha Group. The analysis covers the organization's profile, its vision, mission, and values, and examines the practical application of HRM principles within the company. The report also addresses both internal and external factors influencing HRM decisions, including employment legislation and concludes with a critical evaluation of HRM practices within the context of the case study.

Human Resource Management 2019
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CONTENTS:
EXECUTIVE SUMMARY......................................................................................3
LO1.......................................................................................................................4-16
HRM FUNCTIONS::.....................................................................5-10
Approaches to recruitment and selection..........................................10
Sources and methods of recruitment and selection..............................11-16
LO2.......................................................................................................................17-18
Benefits and effectiveness of HRM practices.......................17-18
LO3.....................................................................................................................19-21
Importance to employee relation::.............................19 21.
LO4.......................................................................................................................22-29
Application of HRM practices.........................22-28
Rationale for application...................................29
BIBLIOGRAPHY.....................................................................................................30
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EXEXUTIVE SUMMARY:
INTRODUCTION:
The core motive of this report is all about the knowledge and understanding of the human resource
management’s I have been appointed as a management trainee in the trading company, I have reviewed the
effectiveness of the Human resource function in golchha organisation researching the role and scope of
human resource and reviewing as well as assessing the Human resource function in the organization. The
report has been presented in accordance with the learning outcomes 1and 2 of scenario 1 and 3 and 4 of
scenerio 2 covering all its case study report. Furthermore, effective conclusions have been made as
necessary.
METHODOLOGY:
All the details, information’s and the presentation compiled in this report is sketched from the authentic
research from the websites, journals and the books. For the case study report appropriate reference is
provided from the source in order to complete the report. Furthermore, being a part of an HRD in a golchha
group, all the essential research has been made to find out the recruitment and selection process.
FINDINGS:
The purpose of this report is to give insight of understanding of human resource management. The
significance to the staff’s performance, employee’s recruitment and selection and relationship between
management and employees have been discussed further. The report describes the purpose and scope of
human resource management in terms of resourcing an organisation as well as the effectiveness of the key
elements of the human resource management in an organisation. In a second scenario, the report highlights
the internal and external factors affecting the decision of human resource management decision making,
including employment legislation. It also includes the application of human resource management practices.
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LO1: Explain the purpose and scope of Human Resource Management in terms of resourcing an
organization with talent and skills appropriate to fulfil business functions.
1. Write an overview of the organization.
2. Write an explanation on the purpose of the HR functions and the key roles and responsibilities of the HR
functions applicable to workforce planning and resourcing the organization.
3. Explain the strengths and weaknesses of different approaches to recruitment and selection. And offer your
recommendation by evaluating the strengths and weaknesses of each approach supported by specific
examples.
4. relating to both employer and the employee within the selected organization, explain the benefits of
different HRM practices with reference to specific examples.
5. Produce an evaluation of the effectiveness of different HRM practices in relation to profit and
productivity.
6. referring to an organizational context, make a critical evaluation of HRM practices using a range of
specific examples.
INTRODUCTION:
“Human resource management encompasses those activities designed to provide for and coordinate the
human resources of an organization Human resource functions refer to those tasks and duties performed in
organizations to provide for and coordinate human resources”. (Rue) . "You must treat your employees with
respect and dignity because in the most automated factory in the world, you need the power of human mind.
That is what brings in innovation. If you want high quality minds to work for you, then you must protect the
respect and dignity. " ---Mr N.R. Narayana Murthy, Chairman Emeritus, Infosys Ltd . (Murthy).Human
resource management consists of two words ie. human resource and management where human resource
refers to people at work and management refers to how the work is to be done in the best possible manners.
Hence, it is the management function which deals with recruitment, selection, training and growing of an
employee in an organization.
COMPANY PROFILE:
Company name: RK Golchha group
Company History: Rk Golchha group, the pioneering industrial group in the country with over 8000
employee was first started by Ram lal Golchha in 1931. He first established hanuman hansraj mal(now
known as hansraj and hulaschand) in Biratnagar to export to industries in India and in 1937, the first
factory of nepal Biratnagar jute mill was established with the suggestion of Indian jute mill owner Radha
Krishna Chamodia which motivated other business families to establish factories. Golchha organization is
known as the first group in the nation to start overseas exports in Nepal. In 1988, Hansraj hulaschand and
company (HH bajaj) introduced the popular two-wheeler brand Bajaj in Nepal. HH Bajaj which is among
the largest trading companies in Nepal is credited for starting a new wave of two-wheeler enthusiasm in the
Nepali market by introducing Bajaj Pulsar motorbikes.
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Vision and mission: Nations growing through sustainable growing activities. Their mission is to achieve
customer satisfaction through quality product and services along with providing employment opportunity to
people.
Values:
 Honesty
 Excellence
 Accountability
 Respect
 Teamwork
 Social Responsibility
Philosophy: They want their organisation to be blossomed through variation and sustainability of natural
resources.
HUMAN RESOURCE FUNNCTIONS
Management of human resource consists of numerous interrelated functions. Usually these functions are
common to all organizations. human resource management functions are broadly classified as managerial
functions and operative functions. Managerial functions are planning, organizing, staffing, direction and
controlling. Likewise, operative functions are procurement, development, compensation, maintenance,
Functions, Roles and
Responsibilities of HRM.
 Planning
 Organizing
 Directing
 Controlling
 Job analysis and design
 Training and development
 Employee motivation
 Performance Appraisal
 Reward Management
 Compensation Management
 Employee Disciplines
 Labor Relations
 Recruitment and selection
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motivation, integration. Operative functions are the core functions performed by human resource
management. In order to achieve organizational objectives, HRM must perform certain functions. The
main function performed by HRM are as follows:
OPERATIVE FUNCTIONS:
1. JOB ANALYSIS AND DESIGN:
According to Jones and Decothis “Job analysis is the process of getting information
about jobs: specially, what the worker does; how he gets it done; why he does it; skill, education and
training required; relationship to other jobs, physical demands; environmental conditions”. (Your Article
Library, 2019) Job analysis is the process of determining (by observation and study) and reporting
pertinent information about a specific job. It includes the identification of the tasks to be performed, the
machines and equipments utilized, the materials, products or services involved and training , skills,
knowledge, and personal traits or qualities requires of the worker. Furthermore, in Golchha
organisation, their information is recorded in two forms (pieces of papers), to make a permanent record.
They are:
 JOB DESCRIPTION
 JOB SPECIFICATION
Job description is an organized, factual statement of the duties and responsibilities of a job. Therefore, it
should tell what is to be done, how it is done, and why. It provides the worker, job analyst and supervisor
with a clear idea of what the job must do to meet the demand of the job. It describes "job" not the "job
holder".
Summary items of job description
 job title
 job summary
 machines, tools and equipment’s
 supervision given or received
 hazards
 location
 duties
 materials and forms used
 Working conditions.
Purposes of job description:
 To collect job related data in order to publicize for specific job which helps attracting,
targeting, recruiting and selecting the right candidate for the right job.
 It helps in growing of job specifications.
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 It is a simple document used in growing performance standards.
 It can be helpful for job evaluations, wage and salary administration technique.
Job specification is a composed articulation of instructive capabilities, explicit characteristics, level of
understanding, physical, enthusiastic, specialized and relational abilities required to play out a vocation,
obligations engaged with a vocation and other unordinary tactile requests. It additionally incorporates
general wellbeing, psychological wellness, knowledge, bent, memory, judgment, administration aptitudes,
passionate capacity, versatility, adaptability, qualities and morals, habits and imagination, and so forth.
Purposes for Job Specification
 Described based on expected set of responsibilities, work determination assists competitors with
breaking down whether are qualified to go after a specific position opening or not.
 It helps enlisting group of an association comprehend what level of capabilities, characteristics and
set of attributes ought to be available in a contender to make the person in question qualified for the
employment opportunity.
 Job Specification gives nitty gritty data about any job including work obligations, wanted specialized
and physical aptitudes, conversational capacity and substantially more.
 It helps in choosing the most proper possibility for a specific activity.
JOB DESIGN AND JOB SPECIFICATION OF GOLCHHA ORGANISATION:
2.TRAINING AND DEVELOPMENT:
Training is simply mixture of improving knowledge, enhancing skills and upgrading
ability. Development is an overall improvement and growth of an employee in an organization. If want a
BASIC INFORMATION:
Location> : Kathmandu
No. of vacancy : 1
Experience : 2-3 years in a similar profile years
Job Level : Senior Level
Job Type : Full Time
Salary : Negotiable /month
Educational Qualification : BBA/MBA
Expiry date : 2018-09-08
JOB DESCRIPTION
 Must run the entire operations, achieve sales target, expansion of network into rural areas of the
country, execute, lead, guide and motivate the team.
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long term development in an organization then training and development of an employee is must in an
organization. Training and development helps in meeting the market demand.
Some differences between training and development:
NEED FOR TRAINING:
 Training helps in boosting the capability of staffs or workers which helps in ultimate growth and
efficiency of an organization.
 Demands of customers can only be fulfilled through the up to date training of an employee.
 Trainers are essential for training through which learning period can be condensed and reduce the
errors of employees.
 Trained workers can reduce industrial accidents as they are well trained to use the machines.
 Training helps to overcome employee’s absentees and labor turnover as it provides a confidence and
job security.
METHODS OF TRAINING:
Methods of training
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1.
OBJECTIVES of career development:
 to attract and hold an employee in an organization.
 to utilize the managerial positions optimally.
 to provide confidence and motivation to the employee.
 to make an employee up-to-date with the new changes.
 to maintain goof relation with the industries.
3. EMPLOYEE MOTIVATION:
Simply, motivation is a will to work. It is such internal factor which provides energy to the employee and
make them committed or interested to the job or their related matter. Motivation is derived from the word
"MOTIVE" which means idea, emotions or organic state which promote a man to an action.
There are two types of motivation:
A.POSITIVE MOTIVATION AND NEGATIVE MOTIVATION
Positive motivation is all concerned with the incentives or rewards that employees feel or expect after
achieving it. Similarly negative motivation is the feeling when they get after some sorts of punishment.
B. EXTRINSIC MOTIVATION AND INTRINSIC MOTIVATION:
Extrinsic motivation is concerned with external motivators which employee enjoy pay promotion, status ,
fringe benefits, retirement plans, health insurance, holidays and vacations. Motivation is raised through
financial rewards. Intrinsic motivation is the satisfaction one gets after doing ones work well. Some of the
examples are responsibility, praise, esteem, power, competition, participation etc.
IMPORTANCE OF MOTIVATION: All nonliving resources i.e. Physical, financial. Informational resources can be better utilized through
the motivation of human resources. Better performance can be achieved through the ability of employee. Ability can be boosted through
the motivation of employee. Globalization has enlarged the competition in quality and productivity. Motivating employee through
better rewards and participation can achieve better quality and competitiveness. Motivated employee can easily accept change, adjust with new jobs, better performance which helps
in effective management of HR
4. PERFORMANCE APPRAISAL
On the job
training Off the job
training
 Apprenticeship
 coaching
 Internship
 Job vacancy
 classroom
 Films
 Case study
 Computer modeling
 Programme dinstruction
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Performance appraisal is the periodic assessment of the job and the performance as well as the potential
of the staff. It is the annual rating or the review of the staffs. Performance appraisal is also the judgment of
the activities done by the workers in an organizational the problems are checked and also the remedy are
given in case of performance appraisal. Likewise in Golchha Organization performance appraisal has been
set up for the judgment of the salary, transfers, donations and terminations. Golchha organization has been
counselling and guiding its employee by their superior as a part of performance appraisal. Performance
appraisal in Golchha organization has been the means of transmitting the ability and the activities of the
employee. Their behavior, attitude, knowledge etc.
5. RECRUITMENT AND SELECTION
Recruitment is the process of finding possible candidates for a job. The process of finding for appropriate
candidate and making them to apply for the job which will enhance the process of effective selection. It is
the process of bringing fresh and new blood in the organization. For the recruitment process Golchha
organization first makes a plan and forms a strategy development i.e. when are we going to hire?,how many
people we need to hire?, when will there be vacancy? etc. Then there will be searching considering internal
and external source and methods of recruitment. Likewise HR managers pool all the probable candidates and
determine the potential hires and eventually evaluation and control is done so that the recruitment activates
are smoothly done and if in case not there will be need of control in recruitment process.
APPROACHES TO RECRUITMENT AND SELECTION:
Job descriptions:
Job descriptions is the detailed specification about the jobs in the advertisements. It should include various
types of detailed information such as wage, job task, responsibilities, duty time etc. It helps the candidate to
find out their capacity and status for applying the job.
Skills Inventory:
For selecting the employees, all the ideal and similar employees should be put together so that the required
abilities for the position can be selected. Moreover, all the categories of employees should be pooled in
separate way so that the best can be found out. FOR e.g. organization may have its minimum requirement of
bachelor’s degree but there may be the candidates of master’s degree as well so that master’s degree
candidate can be chosen.
Job posting strategy:
Job posting strategy, a strategy for posting job vacancies in smart way is necessary to be adopted by every
organization. Outlets must be taken care of for the hob posting. For example, if a company is in need of the
management position of bachelor’s degree then it can contact for the universities job placement in the state
which can bring out all the potential candidates for the organization.
Multistep recruitment:
Multistep recruitment is essential for the deep knowledge of interested candidates applying for a specific
job. Golchha organization also breaks its interviews into multistep so that the finest candidates can be
chosen. Firstly, phone contact is made then called for the interviews which are separated into two steps
where different level of officers make an interview.
SOURCES AND METHODS OF RECRUITMENT.
INTERNAL SOURCE OF RECRUITMENT.
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Internal recruitment is the process of recruiting the candidates inside the organization. They
include friends of employees, former employees, and former applicants. The following are the internal
sources of recruitment in the Golchha organization:
Promotions: It is the upgrade of positions with more responsibilities, more authority, more rewards then
the staff’s previous job. It is also known as vertical movement and also a toll of motivation. Golchha
organization hra of has made plethora of promotions throughout the year which has made a lot of
smoothness and efficiency in its projects such as supplying and purchasing.
STRENGTHS:
It is less costly as no advertisements should be given and many more. It builds the motivation to the
employee in an organization.
WEAKNESS:
It discourages to the candidates out of the organization. There will be no change dynamism in an
organization.
Transfers: Golchha organization transfers its employees from one branch to another branch. Golchha
organization feels that its employees get the broad based view of the organization so that it will be easier for
the future promotions.
STRENGTHS:
It is less time consuming and less costly .It improves the skill of employee and is also a toll of motivation.
WEAKNESS:
Newly workers are discouraged .There may be an overload to the worker.
Former employees: Former employees in Golcha organization includes temporarily laid of staff, retard
employees and workers who left the company and willing to come back to company and work again.
STRENGTHS:
It is less costlier as there is no need of selection test and orientation program .It is less time consuming and
company can get known and trusted workers.
WEAKNESS:
Fresh candidates are discouraged and organization may become unchanged.
Previous applicants: Previous applicants are truly an internal source of recruitment. As they have once
contacted with the organization they can be called to work in the organization as a fresh candidate.
STRENGTHS: It saves the time. No waste of money for selection.
WEAKNESS: As selective candidate is hired there will no perfect selection and the people with high
ability can be missed.
INTERNAL METHODS OF RECRUITMENT:
There are many methods for recruiting employees in an organization. There are many ways to internally
advertising vacancies such as word of mouth, personal records, seniority lists, performance lists obtained
from skills inventory. Some of the internally advertising methods opted by the Golchha Organization are:
Job postings: Golchha organization specially publishes its job vacancies showing several job openings
currently available. It provides an open invitation in an organization to apply for a job vacancy. Some of the
means used for announcing the job vacancies are:
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 Providing notice in a notice or bulletin board.
 Supervisors are provided memo.
 In-house newsletters.
 Sending mail to the related employees.
STRENGHTS:
Employees get a chance to develop themselves. Organization goal an objectives can be known. Equal
opportunities to all the candidates for their development.
WEAKNESS:
It takes time to process file. In case an outside candidate is chosen then conflict may arise. It can be a
difficult process if there equally certified employees applying for a job.
Employee referral programs (ERPs): It is generally word of mouth advertisements. Employees are
generally rewarded for suggesting skilled applicants to organization .Employees also receive extra money
for referring employees with great skill or in an occupation highly demand major concerned with ERP in
Golchha organization is that similar types of individuals are likely to be employed as those who are
currently in the organization.
STRENGTHS:
No waste of money. Staffs can earn extra money by referring candidates to the organization .It is very
convenient method to recruit short supply skills.
WEAKNESS:
As word of mouth advertisement is made similar employees may be referred than the really skilled one.
Skill/HR inventories: It is the process of checking out employee’s record which may helped to find out
potential employees who are engaged in their duty below their educational qualifications or skilled level. It
may also help to track the employees who have ability for further training or those who have sound
background for the vacant position.
STRENGTHS:
It do not consumes extra time (a few minutes job) as stock is readily available. Employees within an
organization is picked up .A potential employees can get better chance for a deserving position as per his/her
educational qualification.
WEAKNESS:
Talented candidates outside the organization are not encouraged. Sometimes it can be expensive (outside
candidate can be cheaper and skilled).
EXTERNAL SOURCE OF RECRUITMENT:
External source of recruitment refers to those sources which are outside the organization. The external
sources may be very beneficial in an organization .Some of the important external sources of recruitment are
as follows:
POACHING /RAIDING: It means luring workers who are working in other organization .Even though
many of the hiring company’s believe it to be unethical to directly contact the employees of other
organization, many companies still engage in such raiding .In other words, poaching means recruiting a
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