Career Planning and Development, Slides of Management Theory

Download Career Planning and Development and more Slides Management Theory in PDF only on Docsity! HRM & HRD: Career Planning, Career Development and Reward System Career Planning • Career Planning essentially means helping the employees to plan their career in terms of their capacities within the context of organisational needs. • It is described as devising an organisational system of career movement and growth opportunities from the point of entry of an individual in employment to the point of his or her retirement. • Career planning gives only a picture of the succession plan and of the potentials for the development of the persons already in position for the future manpower needs caused by retirements and other casualties, and future developments. Purposes and Objectives of Career Planning • To identify positive characteristics of the employees. • To develop awareness about each employee’s uniqueness. • To respect feelings of other employees. • To attract talented employees to the organization. • To train employees towards team-building skills. • To create healthy ways of dealing with conflicts, emotions, and stress. • Identifying and making clear opportunities available • To reduce employee turnover • To Increase productivity • To identify the career stages and enhance the motivational level Benefits of Career Planning • Career planning ensures a constant supply of promotable employees • It helps in improving the loyalty of employees. • Career planning encourages an employee’s growth and development. • It discourages the negative attitude of superiors who are interested in suppressing the growth of the subordinates. • It ensures that senior management knows about the calibre and capacity of the employees who can move upwards. • It can always create a team of employees prepared enough to meet any contingency. • Career planning reduces labour turnover. • Every organization prepares succession planning towards which career planning is the first step. The process of career planning career planning Preparation of personnel inventory of the organisation Building career paths Identifying employees with necessary potential for career planning. Formulation and implementation of suitable plans Maintaining age balance and review of career development plan in action The process of career planning.. c) Formulation and Implementation of Training and Development Plans and Programmes: • For making the career planning a success it is essential that the training and development programmes should be so planned and designed that they meet the needs of both the management and employees. • The participants of these programmes should be the employees who are willing to be trained and developed further to make their career in the organisation. Methods of training and nature of skill and knowledge to be imparted may be different for different types of employees. • The emphasis may be on improving technical skills of skilled workers and on acquiring and improving leadership qualities, human and conceptual skills for senior supervisors, executives and managers The process of career planning.. d) Age Balance and Career Paths : One widespread difficulty in career planning may arise from the need to accommodate people in the same level of supervisory and managerial hierarchy, some of whom are young direct recruits and others are promotes who are almost always considerably older. e) Review of Career Development Plans in Action : Career planning is a continuous activity. In fact it is a process. For effective career planning, a periodical review process should be followed so that the employee may know in which direction the organisation is moving, what changes are likely to take place and what resources and skills he or she needs to adapt to the changing organisational requirements. Career Planning Flow & Stages AGE Needs Career Stages 20 Safety, Security Exploration 25 Physiological Establishment 30 Achievement esteem, autonomy Advancement 45 Esteem actualization Maintenance 55-65 Self actualization Retirement Career development • Career development is not a mere management responsibility. It is a composite organizational process which involves people, addresses their ambitions, assigns them roles & responsibilities commensurate with their potential, evaluates their performance, and creates Job positions to accommodate growth ambitions of employees. Definitions of Career development • Schuler, "It is an activity to identify the individual needs, abilities and goals and the organization’s job demands and job rewards and then through well designed programmes of career development matching abilities with demands and rewards". • Mansfield, "Career development is a process in which personnel experience, concept and publicly observable aspect of career interact to precipitate each successive stage of occupational statuses". • Middlemist, Hill and Greer, "Career development is a process of planning the series of possible jobs one may hold in an organization over time and development strategies designed to provide necessary job skills as the opportunities arise". Here are a few career development questions a employee can ask himself/herself   • Where do I want to be in my career at the end of this year? • What would I like to learn more about? Career Development Stages a. Growth Stage: The growth stage is roughly from birth to age 14 and is a period during which an individual develops a self-concept by identifying and interacting with other people. Basically, during this stage an individual establishes his or her identity.  b. Exploration Stage: The exploration stage is the period roughly from ages 15 to 24, during which an individual seriously explores various occupational alternatives. The person attempts to match these occupational alternatives with his or her own interests and abilities resulting from education, leisure activities, and work.   c. Establishment Stage: The establishment stage is roughly from ages 25 to 44 and is the primary part of most people’s work lives. Hopefully, during this period, a suitable occupation is found and the person engages in those activities that help earn a permanent career. During this period, the individual is continually testing personal capabilities and ambitions against those of the initial occupational choice.  Career Development Stages d. Maintenance Stage: Between the ages of 45 to 65, many people move from the stabilization sub stage into the maintenance stage. During maintenance, the individual has usually created a place in the work world, and most efforts are directed at maintaining the career gains earned.  e. Decline Stage: As retirement becomes an inevitable reality, in the decline stage, there is frequently a period of adjustment, where many begin to accept reduced levels of power and responsibility. Reward System • A very important motivating factor for people joining and continuing in an organisation is the kind of work they get, and whether they are valued in the organisation. • Rewards are symbols of appreciation and recognition. Rewards reinforce what the organisation values and wants to be strengthened. • Rewards are given to recognise outstanding work of individuals, teams (units and departments including) or others connected with the organisation. • It is important to communicate appreciation in public. Classification of Rewards 1. Extrinsic rewards 2. Intrinsic rewards: Classification of Rewards Extrinsic rewards a. Monetary : performance bonus, profit sharing, stocks etc. b. Nonmonetary rewards: holidays, facilities etc. Intrinsic rewards a. Greater job freedom b. Discretion, c. More interesting and challenging work, d. Diversity of activities etc. Four main questions in relation to reward system are 1. Whom to Reward? 2. What to Reward? 3. How to Reward? 4. How To Asses? 3. How to Reward? • In some cases the criteria may be quite objective (e.g., production, selling etc.). • Different ways are used to reduce subjectivity in decision making. • A team decision rather than individual choices • For Unit/Department level rewards, survey, instruments may be prepared for assessing achievement in the selected areas • For rewarding individuals some devices have been used to make it more objective. 4. How to Asses? Based on the “performance” of the units/departments (all units/departments to be rated by a corporate committee as A, B, C) The recommendations made by the unit/department heads. Survey of customer satisfaction, internal customer satisfaction and employee satisfaction Components of Effective Reward System in HRM 1. Performance 2. Transparent and predictive 3. Cost Effective 4. Need based 5. Unbiased 6. Competitive