Industrial Law - Human Resources Interview Questions & Answers

What is industrial relations system? Industrial relations are the relations between employees, employers, government and trade unions within the organizational structure. The industrial relations system is a system of relationship between all the parties involved. A sound IR system will create an environment conducive for organizational growth and labour welfare.

Name the various parties involved in IR system? The main parties involved in the IR system are: i.) Employers – They are the ones who possess the rights to hire the employees and remove them. They also possess the rights to relocate, close or merge the business. They can opt for technological changes as and when they see it in the interest of business. ii.) Employees – They are actually the ones who keep the business moving. They possess the rights to voice their opinions and feelings while striving for betterment. They usually form the unions to negotiate with the employers. iii.) Government – Government is the one who influences the IR system with laws, rules, agreements, awards of court etc. They also include third parties & labour and tribunal courts to manage the IR system.

Why is it important to have an IR system in place? It is important to have an IR system in place - To ensure that the workers are not over powered and used by the employer. - To ensure that the workers do not blackmail the employers with unnecessary demand leading to a loss of production - To ensure that the economy keeps growing - To ensure that even if a problem arises, it is solved amicably.

What are the benefits of having an industrial relations system in place? Following are the benefits of having an effective IR system in place: - Continuous production - Continuous employment for all - Smooth flow of income for workers and businessman - Lesser number of disputes between employees and employers like strikes, lock outs, grievances etc. - Higher level of motivation in the employees as they consider themselves to be a part of the organization - Less wastage of time, man, machine and material - Lesser cost of production - Optimum utilization of resources leading to higher profits for employers and employees - Economic growth of the society

What are the main objectives of industrial relations system? The main objectives of an Industrial relations system are: - To protect the interest of employees and employers by building up a congenial relationship. - To avoid the human conflicts which can harm the business, the employees and the economic growth of the country. - To increase the productivity. - To improve the economic conditions of the workers - To reduce the number of industrial disputes like strikes, lock outs etc.

Name the three factors Dunlop's theory advices to consider while conducting an analysis of management-labour relationship. The three factors that Dunlop’s theory advices to consider while analysing management-labour relationship are: - Environmental factors – Socio-political, technological, legal. - Characteristic and interaction of key parties – employee, employer, government - Rules obtained from the interactions that govern the employment relationship

Explain the unitary perspective of IR from employer point of view. The unitary approach believes that the employees and employers share the same objectives, interests and purposes. They work hand-in-hand for the betterment of the organizations. However, this system expects loyalty from the employees. From employer’s perspective, unitary approach means: - The staffing policies should be exercised to unify the efforts. They should motivate the employees. - The objectives of the organization should be discussed with the employees. - A reward system should exist to secure loyalty and commitment from the employees - Line managers should take the responsibility of their team. - Staff-management conflicts arise form lack of information and inadequate presentation of management policies. - Personal objectives of the employees should be integrated with the overall objectives of the organization.

Explain the unitary perspective of IR from employee point of view. The unitary approach from employee’s point of view means that: - The purpose of a union is to act as a means of better communication between all the parties. - All the parties should focus on good relationships and good working terms and conditions - There should be flexibility in working practices. - Employees should have a participation in workplace decisions. This promotes teamwork, creativity, problem solving abilities. - Employees should have a feeling that the skills of their managers support them in their work.

What is the pluralistic perspective of IR system? What are the implications of this approach? - Pluralism perspective views the organization being made up of two groups – Management and trade unions. Both of them are considered strong. - It sees the conflicts over distribution of profits as normal and unavoidable. - It believes that the role of management is more of persuading and co-ordinating - Conflict is not viewed as a bad thing and is dealt with through collective bargaining - Trade unions are viewed as legitimate representatives of employees. The basic implications of this approach are: - Union recognition is encouraged. - Calls for an independent external arbitrator for resolution of conflicts. - It calls for collective agreements to be negotiated with the trade unions - Calls for appointment of IR specialists to advise managers in staffing and matters related to trade unions.

What is marxist perspective of IR system? - The focus of Marxist perspective of IR system is on fundamental division of interest between capital and labour. - It assumes that the conflict at work place is a reflection of conflict in the society. - Trade unions are deemed as a natural response from workers to protect themselves against exploitation.

Explain collective bargaining. What are the different types of activities which comprise collective bargaining. Collective bargaining means a process of negotiations between employers and a group of employees. The purpose is to reach an agreement to regulate the working conditions. The collective bargaining mainly comprises of 4 types of activities: i.) Distributive bargaining – Also termed as conjunctive bargaining, this form of bargaining aims at re-distribution of benefits between the management and the group of workers. In this form of bargaining, one group gains while the other looses something. ii.) Integrative bargaining – Also termed as co-operative bargaining, this form of bargaining is for overall improvement in the working of the organization. No party looses here, so, the level of co-operation is more. iii.) Attitudinal restructuring – This type of bargaining mainly aims at developing a change in the attitude of the management and the employees. The purpose is to reduce the bitterness and develop a congenial atmosphere. iv.) Intra-organizational bargaining – This kind of bargaining aims at achieving the consensus within the trade union and management group.

What are the characteristic features of collective bargaining? The main features of collective bargaining are: - It is a group process involving at least two parties. - It is a process of negotiations through mutual discussions and compromise. - It is a formal process in which employers and formal trade unions participate for discussions. - It is a flexible process consisting of various steps. - The process works on the basis of mutual trust and understanding between the two parties. - It is a complementary process where each party has something to offer to each other. - It is a constructive ongoing process.

List down the major steps of collective bargaining. The major steps of collective bargaining are: - Preparatory – In this stage the negotiation team is formed which comprises of the members of both the teams. Both the sides need to take a stock of their situation to find the matters which they need to take up discussion, their stand on it. - Discussion – In this stage the ground rules governing the negotiation process are set with the agreement of both the parties. - Proposal – The issue for which the meeting is called is defined and the possible solutions are put forth. - Bargaining – This is the phase where actual bargaining takes place and its nitty gritties are decided. - Settlement – After a consensus is reached, this stage consists of effective joint implementation of the agreement.

Explain CBA. CBA – Collective Bargaining Agreement is the result of collective bargaining procedure. These agreements can be in one of the two forms: i.) Procedural agreement ii.) Substantive agreement Procedural agreements – They usually deal with the relationship between employees and employers to resolve individual and group issues. These are usually filed in the company’s rule book. Substantive agreements – This kind of an agreement deals with specific issues like basic pay, leave policy, bonus payment etc.

What is the importance of collective bargaining to employees and employers? Importance of collective bargaining to employees: - It increases the strength of employees as a group. - It helps in boosting their self respect and level of motivation - It increases their sense of responsibility - It helps in reaching a quick and fair settlement for employee’s issues. Importance of collective bargaining to employers: - It’s easier for management to deal with group issues rather than individual issues - It leads to an increase in the level of trust among employees and employers benefiting the overall business - Reduces absenteeism and labour turnover which increase productivity and reduces the cost and wastage - It helps in settling the issues at an initial level before they turn into disputes

Name the three levels at which collective bargaining works. The three levels at which collective bargaining works are: i.) National level ii.) Sector/ Industry level iii.) Company level

Why are trade unions formed? What services do they provide to the members? - Trade unions are formed to protect their members from the exploitation by their employers. - They negotiate with the management the issues affecting the employees working in the organization. - They intervene in the decisions which affect the workers directly like transfer, lay off etc. Trade unions provide following services to their members: - They educate workers about their basic rights and train them with professional skills. - They provide legal assistance to the worker when needed - They offer financial loans on mortgages to their members - They offer financial help to members when they are invalid or unemployed.

Classify and explain the functions performed by trade unions. The functions performed by trade unions can be classified into two groups: i.) Militant Functions ii.) Fraternal Functions Militant functions These activities include strike, lock outs, gherao etc which means putting up a fight with the management. Hence, they are called militant functions. They are carried out for following purposes: a.) Rise in wages b.) Rise in the status of workers c.) Protection against injustice Fraternal functions These functions are carried out by the trade unions for the welfare of their employees which includes: a.) Measures to boost up the workers’ morale b.) Foster self confidence c.) Develop sincerity and discipline d.) Protection to women workers against discrimination

Which major factors motivate employees to join trade union? The major factors which motivate the employees to join trade union are: i.) Increase in bargaining power ii.) Lesser discrimination iii.) Higher sense of security and belongingness iv.) Stage for self expression v.) Ability to participate in management activities giving a sense of involvement

Name some central trade union organizations existing in India. Some of the central trade unions in India are: i.) AITUC - All India Trade Union Congress ii.) BMS - Bhartiya Mazdoor Sangh iii.) CITU - Centre of Indian Trade Unions iv.) HMKP - Hind Mazdoor Kisan Panchayat v.) HMS - Hind Mazdoor Sabha vi.) IFFTU - Indian Federation of Free Trade Unions vii.) INTUC - Indian National Trade Union Congress viii.) NFITU - National Front of Indian Trade Unions ix.) NLO - National Labour Organization x.) TUCC - Trade Unions Co-ordination Centre xi.) UTUC - United Trade Union Congress xii.) UTUC - LS - United Trade Union Congress - Lenin Sarani

Classify Indian labour market. Indian labour market can be mainly classified into 3 categories: i.) Rural workers ii.) Organized iii.) Unorganized

What do you mean by Industrial dispute? Industrial dispute can be defined as conflict between management and workers regarding payments or conditions related to work.

What are the main causes of Industrial dispute? Following are the main causes of industrial dispute: i.) Wages/ Allowance/ Bonus/ Work Load ii.) Leave/ Working hours/ Work conditions iii.) Retrenchment/ Lay offs iv.) Indiscipline/ Violence

What is strike? What are its various types? What are its major causes? When workers collectively stop to work in an industry with an intention to make the management agree to their demands, they are said to be on strike. Strike can be classified into following types: i.) Economic strike – for demands like wages and bonus ii.) Sympathetic strike – to support the strike in other units. iii.) General Strike – Strike by all the unions in an industry or region. iv.) Sit down strike – Workers come to the work place but do not work v.) Slow down strike – Workers work but at a low efficiency vi.) Sick – A large number of members call in sick on the same day. vii.) Wild cat strikes – Carried out with the consent of unions.

Explain Lockouts. Lock out is a management’s tool in which an employer prevents the workers from working. This is a pressure tactic used by the management.

What measures do you propose to develop congenial Industrial Relations? Following are certain measure to promote congenial industrial relations: i.) Personnel policies acceptable to all – These should be formulated in conjunction with representatives of employees, clearly stated and uniformly implemented across the organization. ii.) Will to sincerely implement the agreements reached together by the management and unions iii.) Participation of worker’s in managerial decisions iv.) Mutual trust and respect within employees and employers v.) Compromising attitude vi.) Strong and stable unions vii.) Government’s role as a peacemaker when the employees and employers are not able to solve the issues themselves.

Grievance Handling & Lay Off Interview question Answer

What is a grievance? Grievance is formal complaint which demonstrates any kind of dissatisfaction in an employee, arising out of the factors which are related to his job.

How can a grievance be communicated? The communication of grievances should be done formally. It can be communicated via: - A written document - E-mail. The organizations which allow the employees to see the top level executives directly with their grievances are called to have “Open Door Policy”. Many of the lower level employees do not find it very comfortable to approach the top executives directly. The organizations in which the employee is required to talk to his immediate senior about his grievances, who either offers a solution or escalates the grievance are called to have “Step Ladder Policy” for grievance handling.

Why is it important to have a grievance handling procedure? Grievance handling process gives the aggrieved employees an opportunity to communicate their feelings and problems to the concerned people. These people can then address the grievances as per the policies. A good grievance handling system brings following benefits to the organization: a.) It develops the trust of employees in the organization, its motives and policies b.) It helps in addressing the employee’s problems before they become too big c.) It helps in improving the over all work conditions and atmosphere d.) It helps in developing a committed work force and improving the productivity e.) It helps in identifying the areas of improvement and taking the required actions

What are the important steps in grievance handling procedure? The important steps in grievance handling procedure are: i.) Accepting the grievance and acknowledging it ii.) Carefully listening the problem iii.) Understanding the redefining the problem to ensure that both the parties are at the same level of understanding iv.) Gathering the information – all facts and figures . vi.) Offering the best solution vii.) Follow up

What can be the causes of grievances? The factors causing the grievance can be divided into: i.) Management policies ii.) Working conditions iii.) Interpersonal factors Grievances due to management policies can be sub-divided into: a.) Salaries b.) Overtime c.) Leave policies d.) Lack of growth in career e.) Conflicts in the roles f.) Unmatched skills and responsibilities g.) Disciplinary action Grievances due to working conditions can be sub-divided into: a.) Unhygienic work environment b.) Safety issues c.) Insufficient equipments d.) Indiscipline and wrong approaches to discipline e.) Unrealistic expectations f.) Transfer Grievances due to interpersonal factors can be sub - divided into: a.) Inability to get along with superiors b.) Poor relations with team members c.) Ego d.) Impractical approach to life

Explain the effects of grievances on: a.) Employees b.) Management c.) Work Following are the effects of grievances on each of the above mentioned parties: a. Employees i.) Frustration ii.) Demotivation iii.) Aloofness iv.) Low productivity b.) Management i.) Labour unrest ii.) Absenteeism iii.) Indiscipline iv.) High labour turnover c.) Work i.) Low productivity ii.) High wastages iii.) Increased costs

What are the main objectives of having a grievance handling procedure? The main objectives of having a grievance handling procedure are to: i.) Solve the problems when they are really small rather than letting them grow big and becoming insolvable ii.) Improve the overall work conditions iii.) Develop a happy work force iv.) Keep the concentration on productivity v.) Tackle human problems like – absenteeism, demotivation etc.

What are the important features of a good grievance handling procedure? The important features of a good grievance handling procedure are: i.) It confirms with existing legislation ii.) It is fairly acceptable to all – it provides justice to the employees, reasonable authority to the manager and allows adequate participation of the union. iii.) It is simple and easily understood by all. Employees have sufficient information about the process and the authorities who can be approached in case of a problem. iv.) It is not a very long process v.) It is prompt and quick – takes as little time as possible. vi.) The supervisors and union leaders are well trained to handle it.

What are the different ways to discover a grievance? Different ways to discover a grievance are: i.) Open door policy ii.) Exist Interviews iii.) Suggestion boxes iv.) Opinion surveys

Why is it important to handle the grievances in a timely manner? It is extremely important to handle the grievances in a timely manner. Justice delayed means justice denied. - The delay in settlement frustrates and de-motivates the employee - The delay reflects badly on the management’s intentions and seriousness to settle - It affects the overall work atmosphere - It lowers the productivity - It increases the cost and wastage

What precautions would you suggest to the HR Manager to make the grievance handling process more effective? - Give the employee an opportunity to speak openly - Conduct the meeting in private - Listen carefully with sincere interest without interruption or arguments - Don’t just go by the symptoms – try to establish the actual reason - Check the policy and records – don’t jump to conclusions - Provide a timeline for the solution and act within it – don’t delay - Provide an amicable, mutually acceptable solution - Do not publicise the issue.

 LAYOFF

List the factors which determine the layoff. Below given are the factors to be considered when you are planning to lay-off employees: - Lack of funds – While the enterprise faces a fiscal crunch, the first thing to be scrutinized is the diminution in staff levels. - Looking for alternatives that abate the sway on employees in regards to their career options, e.g., temporary layoffs, referring them to another company, or freezing the hiring process. - Looking for transferable employees, i.e. employees to whom you can transfer to any other department provided they are qualified to carry out the job responsibilities in that particular department. - If you are planning to lay off laborers, you need to give an advanced notice to the acting union especially in those cases where 5 or more laborers from the same unit are being laid off. - The other important factor that leads to lay off an employee is on ethical grounds, this may include, lying, cheating or stealing in the office premises.

Who determines the positions that should be laid off? When planning to lay-off, it should be a combined decision from the HR department, Department Leadership and the finance department to maintain the employer and employee relation. - HR Department – HR managers play an imperative role while captivating the pronouncement on which employee should be laid off. - Department Leadership Input - The supervisor of the employee’s department, his decision on laying off the employees is very critical. As the supervisor is the main analyser of the employee’s performance. And hence while laying off poor performing employees; the supervisors input carry a lot of weightage. - Finance Department - The department or employee in control of the firm's funds plays an essential role in the decision-making, specifically when the syndicate is cutting redundancy pay checks as part of the layoff. Pecuniary contemplation for laid off employees embraces more than just severance pay. It is then the HR department; supervisors of the department and the finance head consult with each other to discourse the monetary materials concomitant when you think of laying off employees.

What the effect of seniority is in the process of lay off? Senior personnel of your department is the one who is constantly tracking your performance; he is the one who knows your strengths and weaknesses and hence while making decision on which employee should be laid off the supervisors’ decision carry a lot of weightage.

What are the rights of a candidate being laid off? Due to recession hitting the industry, layoffs have become quite common in each and every industry prevalent in today’s time. Many employees are not aware about the rights that can safeguard their interests and welfare till they have a new job in hand. Here are a few of the rights mentioned below: - Final Pay: Final pay is nothing but the full and final laws applicable. The final payment laws differ from one state to another. The final pay is usually paid off once your employment is over. Usually severance pay is not included in the final pay. - Severance Pay: Severance pay refers to the amount an employer pays to his employee along with his salary. Severance pay is calculated in accordance with the salary of an employee. - Discrimination: What is the reason that your boss is laying you off? If the reason is based on your age or health issues you could fight a legal battle against your employer.

When can an employee being laid off expect his final pay check? The payment of the employee is dependent on the type of lay off that he has been offered. If it is a short term lay off, in that case the company is liable to pay him the amount within a time frame of 4 weeks, in-case if the employer fails to do so, and the employee can either ask for his claim or he could report this legally while claiming for the claim. If the layoff is permanent one, for any reason be it closure of the company or on loss of ethical values on the part of the employee, the company is liable to calculate and pay their till date dues on their last working days.

What is the impact of layoff on following? a. Employee's insurance benefits: Usually the medical insurance benefits ends on the last date of the month that they are being laid off. For example, if your last day of work is on 1st February, then your medical insurance benefits will end on 28th February. If you want to continue with your insurance benefits, you need to check this out with the insurance regulating company and take the necessary actions as suggested by them. b. Employee's retirement benefits: The employee stops gaining the retirement benefits once he has been laid off. For example, the amount collected in the Employer’s Provident Fund can be withdrawn or transferred as per the employee’s choice. For this he needs to inform his company on the same and let them know what he will prefer to do with the EPF amount, he want a lump sum cash or wants to get it transferred. If you are approaching the retirement age you can talk to the regulating company for your retirement benefits and you could avail them within a period of 120 days.

Are there any alternatives for lay off? The answer to this is yes, there are many alternatives instead of laying off employees especially in those cases if the layoffs are due to lack of finances within the company. a. Discussing it out with your employees: Tell your employees that the company is facing a financial crunch and that they should come up with new ideas so that they could cut costs without affecting the productivity of the employees. b. Cutting extra costs: You could cut down cost by stop hiring people for the time being, reducing the travels of your employees, cutting off their bonuses, etc. c. Exchange of employees: If your company has a lot of other companies in the same brand name, you could ask the parent company for staff from some other company under the same brand name to do a particular task, this can be done if you are desperately looking to hire somebody d. Reducing part time staff and contractors: Usually contractors and part time staff are paid more for their work as compared to the full time workers. It may be because of their expertise or just as compensation to them not being full time workers. When you are looking to cut down costs of your company, you could stop hiring contractors. This could save quite a lot of your expenses.

How do you propose to motivate the employees who see their colleagues being laid off? Often it has been observed when a company starts downsizing its employees, the other employees start getting insecure as they always have a feeling that the next number could be theirs and hence they at time also start losing motivation in working and also might exploring other job opportunities. It is a big concern for the employers to keep their other employees motivated while they are downsizing. One of the major ways that you could help in keeping up the spirits of your employees is by giving them recognition for their work alongside praising them for their achievement. The other small steps that you could adopt to keep them motivated are: - Discussion with employees - creates small groups of employees and explain them the situation personally. - Empathy - be candid in understanding the people who were let go and also for the added responsibilities on the current staff. Discuss with the current staff on their thought process regarding the downsizing and try to understand them. This will be a good way that they will be able to vent out their emotions and will help in reducing the rumours. - Courteous – be courteous enough towards your employees, and thank them that they are with the company in difficult times and the company appreciates their understanding. This will give a feeling to the employees that they are also important to the company.

Suppose you are laying off an employee. Make a check list you would require for them. You need to be very careful while laying off an employee as you have to be ready with your counter points that an employee may come up with after you inform him that he is being laid off from his job. Below mentioned are some points that you can keep in mind while you are planning to lay off an employee. - Be aware of the rules and regulation mentioned in the company’s model standing orders regarding the termination of an employee, grievance procedures as well as the disciplinary actions or if any bond has been signed between the company and the employee. - Keep all the performance appraisal reports up to date of the employee, so that if he questions you where did he lack in his performance, you have all the reports ready in your hand to answer and clarify his doubts on the same. - You should be able to explain the reason of the lay off to the employee effectively. Hence you should be ready with all the relevant information. - Notify the employee with all the benefits and the insurance rules and also about his final payment in advance. - Try to avoid conversations on why was he laid off and why not the other employee. - If the employee is worth, you could refer him to some placement companies so that you could help him in getting another job.

What are the steps in processing a suspension or termination of an employee? While you are terminating an employee, you need to be extremely careful. When you terminate an employee you must follow the below mentioned steps: a. Notice Period: Notice period is nothing but how much in advance should you inform the employee about his termination. The Notice period is also at time dependent upon the employment period as well. But in most of the cases the notice period is fixed to one month, so that the employee has enough time to find another job for himself. b. Leave entitlements: if there are any balance leaves in the employees account he can either avail them during the notice period or he could en-cash them as per his will. c. Severance Pay: Severance pay is usually paid if the position is being eliminated from the company. Also the laws for the severance pay should be mentioned in the employment contract. d. Final Pay: You should pay the dues of the employee by the last day of his employment or maximum within 4 weeks of time.

Performance Appraisal &Training - Human Resources Interview Questions & Answers

What are the objectives of performance appraisal system? The main objectives of a performance appraisal system are: i.) To increases the employee effectiveness by helping them understand their role better. ii.) To help the employees understand their strengths and weakness in the current role. iii.) To help the managers in identifying the training needs of their sub-ordinates. iv.) To improve the relationship between the line manager and his team members by making them realize that they are dependent on each other for better performance. v.) To help the line mangers and their team members in improving the communication by discussing the problem in achieving the targets and finding the potential solutions. vi.) To provide the employee an opportunity for self evaluation and self development which are important to achieve the goals. vii.) To prepare the employees for higher roles. viii.) To create a positive work atmosphere. ix.) To collect the information about each employee through personal meeting which is useful in making managerial decisions.

Why do performance appraisal systems fail? Many a times the performance appraisal system tries to assess the personality traits of its employees through their line manager. There are two types of problems in this: a.) The employees do not open up as they do not want any negative personality trait to be recorded in official records. b.) The line managers are not fully trained and capable of assessing the personality traits of employees.

What are the important components of a performance appraisal system format? The important components of a comprehensive performance appraisal system format are: i.) Identification of KPIs and target setting – periodically through a discussion between the employee and his line manger ii.) Identification of personal qualities required for the current and higher roles and developing them iii.) Self appraisal – by the appraisee iv.) Identification of factors which have helped and hindered in achieving the set goals. v.) Discussion about the performance and counselling of the appraisee by the appraiser vi.) Identification of training needs for current and higher role. vii.) Setting up the goals and plan of action viii.) Assessment by the superior – training and development needs, any rewards or punishments.

What are KPIs? KPI – Key performance indices, as the name suggests is a list of parameters against which the performance of an employee is measured. These indices are usually quantifiable in nature.

What are major criteria to assess the performance of employees? The major criteria to assess the performance of employees are: i.) Job Knowledge ii.) Planning iii.) Ability to organise and utilize resources iv.) Communication skills v.) Relationship with superiors, peers, subordinates & associates vi.) Ability to make decisions vii.) Winning instinct – Can do attitude viii.) Team working capabilities

How is appraisal system used as a tool to chalk out employee's career progression? - Performance appraisal system assesses the candidate’s performance in various areas. - It also helps in identifying the training needs of an employee - The line manager gets an idea about the area of interest of the candidate in which he wants to grow, his ability to take more responsibilities etc. All these put together help in chalking out the employee’s career progression in the organization.

How does appraisal help in counselling interview? The purpose of the counselling interview conducted by the line manager is to help his subordinate in objectively analyzing his performance. The information collected through the performance appraisal form and interview helps the manager in conducting this counselling interview. It helps the employee in: i.) Understanding himself. ii.) Improving his behaviour which helps his professional and interpersonal competence. iii.) Setting future goals and formulating an action plan. iv.) Finding out the alternatives to deal with problems.

Explain: a.) 180 degree performance appraisal system. b.) 360 degree performance appraisal system. a.) 180 degree performance appraisal system. - It is single-tier appraisal and feedback system. - Candidate performs the self appraisal separately - His line manager performs the appraisal separately - They hold an appraisal meeting to discuss their reviews and agree on the ratings in various areas. - This is followed by identifying the training and development needs and an action plan to improve the performance. b.) 360 degree performance appraisal system. - It is a multi-rater appraisal and feedback system. - The individual is assessed by a number of people – superiors, subordinates, peers, customers etc. - The assessment is performed on a specially designed questionnaire which measures behaviours critical for the performance in the role. - The appraisal is performed anonymously by various people - The assessments are consolidated and shared with the candidate.

What can you aim to achieve through 360 degree performance appraisal system? We can aim to achieve the following through 360 degree performance appraisal system: i.) Information about the strengths and weaknesses of an employee in a particular role ii.) Identification of training and development needs to perform better in the current role and prepare for the higher role. iii.) Collect data as an objective basis for rewards and other decisions iv.) Basis for performance based pay or awards v.) Aligning individual and organizational goals

What are the pre-requisites of a 360 degree appraisal system? The main pre-requisites of a 360 degree appraisal system are: i.) Commitment from the top management to continuously develop the competencies of the employees ii.) Proper implementation of various HR systems iii.) Willingness of the management to let the employees learn from each other and their own mistakes. iv.) Willingness of the management to spend time in providing feedback to their sub-ordinates v.) Willingness of the management to accept the feedback from their sub-ordinates and peers. vi.) Not too many status barriers and ego issues vii.) Openness of the people to accept feedback and use it for development viii.) Feedback is not used for political advantage ix.) Emphasis on teamwork in the organization x.) HR department is highly credible xi.) High degree of process orientation in the organization xii.) High value to the values in the organization xiii.) Emphasis on building competencies

What are the main phases of a 360 degree appraisal system? Following are the main phases of a 360 degree appraisal system: i.) Orientation – Information about the importance and details of the process is passed on to the participants. Ii.) Questionnaire distribution iii.) Monitoring and follow up iv.) Data feeding and report generation v.) Conducting the workshop vi.) Counselling of employees

What do you know about following appraisal systems? a.) Graphic Rating Scales - This method is also called as linear rating scales or simple rating scales method - Judgement about the performance are recorded on a scale - The appraisers are given the forms which carries the various criteria on which the employees are to be rated - It is a simple and quick method, which makes it popular b.) Ranking method - The employees are rated from best to worst on some characteristics - The rater chooses the best and the worst employees from a group and rates them. -He then chooses the second best and worst set and goes on - The reliability and validity of this method is under doubt as it may suffer from rater’s bias, fluctuating performances or varying standards. c.) Paired comparison method - Under this method each employee is rated against all the members in the group. - It could be fairly applied where the number of employees are less. - This method is time consuming. - The performance is compared to other employees rather than specific job criteria d.) Forced distribution method - This method is developed to prevent the raters from rating too high or too low. - In this method, the raters are required to spread their employee evaluations in a prescribed distribution. - It eliminates central tendency and leniency biases. What is training? Training an erudition process that embroils the procurement of knowledge, honing of skills, rubrics, or change in insolences and components to enhance the employees performance. List out steps to make Training Effective for Employees. i.Training Need Analysis: The first step to make training effective for your employees is to make an analysis on the skills that need to be trained on. Comprehensive need and skills analyses will help you define the needs of your employees, which will assist you in knowing what kind of training program you need to define for them. ii.Why do they need training: You need to make your employees aware on the reasons as to why they require that particular training? Once they will be convinced for the reasons they require training, they will take more interest in the training. iii.Contents of the training program: Once you have determined the needs and defined the training program as per the needs analysis; you need to introduce the content of the training to the employees. iv.Relevance of the training: There is enough workload on an employee, we all agree to that. So, if an employee feels during the training session that it will not be advantageous for him in anyway, he will feel frustrated to attend the training. v.Meticulous training: The training provided to the employee should be exhaustive so that it trains the employee to deal with every small and big situation in an effective manner. vi.Evaluating the training: Once the training is over, you need to evaluate the effects of training on the employees, i.e., you need to see whether the training improved the job performance of the employee or not. What is the difference between Training and Learning? Training: The emphasis of training is on the development of skills. Training is about divulging new information and making us cognizant on how to make use of the information. Training is also hooked on to the awareness of the trainer. Learning: Learning is focused on how an individual smears to the new information that he has received from training. Learning is the course of altering people’s understanding and slant to organizational as well as personal vagaries. Learning is an elongated process that often integrates training, evolving and preparing individuals with the tools to be competent enough to handle both known as well as unknown challenges. Difference between Training and Development? Training: The emphasis of training is on the development of skills. Training is about divulging new information and making us cognizant on how to make use of the information. Training is also hooked on to the awareness of the trainer. Development: Development is an incessant, general and vigorous expansion of skills and knowledge. Development is targeted at long-term career growth rather than instantaneous performance. How are training needs identified? The training needs can be identified in a number of ways, they are: - During interviews - By taking feedback from the employees colleagues, business partners or through clients - By conducting competency or knowledge tests - While conducting performance appraisals - If the employees have demanded for training from the management - Based on industry specific research, for example, due to new additions in the industry. How are performance appraisal and training need assessment related? One of the ways to identify the need for training is through performance appraisal. The motive of performance appraisal is to not only judge the performance of the employee but also on the skills of the employee. While conducting a performance appraisal you not only check whether the employee has been able to achieve his targets but also a 360 degree feedback is taken from his colleagues, clients as well as other business delegates with whom he is interacting with on a daily basis. Based on the evaluation of the performance appraisal as well as the feedback forms his colleagues and other people involved for businesses purposes you can identify the area on which the employee needs training. How would you evaluate the results of training? Evaluating training is a continuous process. You need to keep evaluating the process right from analysing the training need to the completion of training. i. Participant satisfaction as well as reaction: This is the basic way of evaluating the results of training. Often this is the starting and ending way to evaluate the results of training. How satisfied the participants are from the training is the main criteria of evaluation and the positive results of the training are based on the satisfaction of the employees. ii. How much knowledge has been acquired from the training: The second stage of evaluating result is how much knowledge has been imparted to the participants from the training. This is usually measured through a questionnaire as well as how they are performing post the training. iii. Behavioural Application: If the subject of the training is based on behavioural aspect, then post the training the behaviour of the employee is tested to see how effective the training has been. The behaviour of the employee could be based on the job front or basis on the relations with his contemporaries. iv. Business improvement: From the training, how much has the business been profited? In other terms, it is calculating the Return on Investment. Not only is the Return on Investment calculated but also has the performance of the employee improved? Explain following training models: i. System Model: The system model consists of 5 phases which should be repeated on a regular basis to make further improvements. Below given are the 5 steps in system model: a. Analyse and Identify: You need to scrutinize the department, job, prerequisites of the employees, who amongst the lot of employees entail for the training program, theme of training, expenditures involved in the training. b. Designing and providing the training: This step embroils categorising and developing the objectives of training c. Developing: Once you designed the objectives of the training, now is the time when you got to list down the activities that you would be carrying forward in the training sessions. d. Implementing: The most difficult part of the entire training process is this, the implementation. If you make one small mistake and you entire planning will go for a toss and your training program will not be able to reach its goal. e. Evaluating: Evaluating each step is necessary. If you falter anywhere you will be able to rectify it on an early stage hence reducing the chances of failure on each stage. ii. Instructional System Development Model: Often referred to as the ISD model. A widely used model in the organizations as this particular training model is in conjunction with performance and responsibilities of the employee. This model also comprises of 5 phases, they are as follows: a. Analysis: In this phase you analyse the key responsibilities as well as your target audience who will be receiving the training. The analysis is done in three phases, they are: - Needs assessment – related to problem faced while performing on the job - Job analysis – analysis of the key responsibilities involved to complete your job - Target audience analysis – the prospective people who can be elected for the training b. Design: This is the planning stage of this model. The main purpose of this model is to transmute appropriate content into succinct, behavioural objectives, generating the instructional design or commonly known as “blue print” that will direct the development of all training resources, quizzes and approaches. The design elements are: - Goals statement – describing the desired outcome of the training - Instructional Objectives – measuring the behaviour level of the employee post training including the performance of the employee post training - Instructional strategies: arranging the instructional objectives in the order of performing on the job, ease of performance, complexity of the task. - Evaluation Methods: Deciding on how you will be evaluating the employee during the training as well as post training. - Types of training material: includes texts, guides, workbooks, training aids, visual aids and case studies - Media Selection: How will you be imparting the training keeping in account the number and characteristic of trainees? For example, any of the media options, or will it be an interactive session. - Design Document: a document that will guide you in the development, implementation and evaluation of the training. c. Development: In this phase you translate the design into training materials. Using the elements from the design phase you create your training material, i.e., - Course material for the trainer - Course material for the trainee - Evaluation instruments d. Implementation: This is the phase where you are implementing by taking into consideration all the points mentioned above. The implementation phase involves the logistical arrangements such as which place will the training be conducted, setting the location as per the training environment, setting up and using the equipment’s, etc. And then finally you do the delivery part of training, the most important and deciding factor for the success or failure of the training. e. Evaluation: Evaluation is necessary as you ought to know whether you have reached the desired goals or not. Has the training put some effect on the trainees? You need to know all these details and hence evaluation is necessary. iii. Transitional Model: the transitional model is based on the vision mission and values of the organization. Hence the attention is more on the organizational goals. Explain following job training methods: a. Coaching – The goal of coaching is to improve the performance of the employee. Coaching focuses on the individual needs of an employee and is considered to be less formal than any other type of training. b. Mentoring – There is a very thin line to differentiate between coaching and mentoring. Where coaching is done online, mentoring is done offline and is just a help offered by one person to another in carrying out the work without any hurdles. c. Job rotation – Job rotation is usually done to give an enlarged perspective of the business or to give global opportunities to the employee. It is mostly used for junior employees who can prospectively replace senior level employees. d. Job Instruction Technique – This training method focuses on knowledge, skills and attitude development. It consists of 4 steps, i. Plan – Making the trainer aware of the kind of work you carry. ii. Present – the trainer presents the synopsis as well as the different aspects of the work iii. Trial – You actually step into the shoes of the other person and perform the chores to gain practical experience before taking over completely iv. Follow up – the trainer follows up with the employee so as to avoid any kind of mistakes made by the trainee. Explain following forms of training done with games and simulation: a. Behaviour Modelling – In this kind of training the trainees are usually shown a video of a prospective person, in which the behaviour or any particular process is video – taped for the trainees to learn from that video and behave accordingly. b. Business Games – are based on the rules, procedures, plans, relationships and functions performed by the organization. This kind of training is usually imparted when any new employee joins the organization. In the business games, the trainees are provided with restricted data on a precise circumstance and are probed to make pronouncements in errand of the organization. c. Case Studies – In this the trainees are provided with certain case studies, which the top management either from the same organization or from any other organization in the same business must have dealt with. Based on the case studies, the trainees are supposed to give their solutions on the same problem. The main motive of this is to acquaint the trainees with the problem rather than the solution. d. Equipment Stimulator - Equipment simulators are the mechanical devices that compel the novices to use some actions, strategies, methods, trials, activities, or decision procedures they would use with apparatus back on in the organizations. e. In – basket technique – In this, some material in form of text or memos is given to the trainee. The text or memos include information about the responsibilities to be carried out by the trainee. And with the data available the trainee is supposed to respond to the questions posed by the trainer within a limited time frame. Following which the trainer provides a feedback with the suitable options. f. Role Plays – It is a technique in which the trainees are given certain roles to be enacted. This technique helps in developing interpersonal as well as communication skills, team building skills as well as group decision making skills amongst the employees. What do you know about following in Computer Based Training? a) Intelligent Tutorial System – This system makes use of artificial intelligence in training. In this, the system acquires through the rejoinders of the trainee. b) Programmed Instruction - Programmed instruction is the technique of guiding the accomplices deliberately through the information in a way that expedites the most operative and effective learning. It provides the participant with content, material, probes queries, and based on the response it goes to the next level of information. c) Virtual Reality – As the name suggests, this method puts the trainee into a 3-D environment, wherein the environment stimulates situations that an employee can face while on the job – front. With this kind of training the employee can learn about the potential dangers or situations that he could face on the job front. What do you know about following traditional methods of training? a. Demonstration – The trainer demonstrates the way an employee can perform his regular chores at the work place while avoiding any complex situation. In case faced with any complex situation, the trainer also helps in dealing those complex situations. b. Discussions – In this, both the trainer as well as the trainee discusses the problems an employee faces on the job front and the trainer then provides a solution to deal with the problems. The discussion could be relating anything, problems while performing on job, interacting with colleagues, lack of confidence. c. Lectures – It is the oldest form of imparting training. In fact no training can be complete without a part of lecture in it. This form of training is usually imparted when there is no scope or very little scope of argument amongst the trainer and the trainee. Lecture system is used when the trainer just has to impart certain information to the trainee, i.e. may be about the vision, mission, and policies of the organization. d. Management Development – Management Development plays an imperative role in making the organization more competitive. In this the management align their employees with strategical planning in order to be more competitive. Especially this kind of a training is of high importance as competition os very high in all the sectors.

Motivation - Human Resources Interview Questions & Answers

Explain Employee Motivation. Motivation can be defined as the enthusiasm of an employee which causes him to take actions at work.

Which non-monetary factors do you think help in building up the motivation level of employees? Following are some of the effective ways to motivate employees: i.) Respectful treatment ii.) Recognising the individual and performance iii.) Training iv.) Regular performance and behavioural feedback v.) Clear communication from the management vi.) Involvement in activities that desire responsibility vii.) Challenges viii.) Clearly defined goals and plan of action

What kind of work culture do you think increases the motivation level of an employee? Following are some of the characteristics of the culture that increases motivation level of an employee: i.) Suggestions and feedback from the employees are heard ii.) Employees are well informed about the things affecting them iii.) Communication among the team members and with the superiors is open in nature iv.) Employees are trusted and treated with respect v.) Employees work and deliver as a team vi.) Employees see a path to grow and are regular trained for development

Explain Taylor's theory of motivation. Frederick Taylor put forward a theory about worker’s motivation. Its main features are: i.) Workers do not enjoy work. ii.) They need constant supervision iii.) They are motivated mainly by the “salary”

What are the main points of Mayo's theory of motivation? Mayo’s theory believes that money is not the only motivation for workers. They are highly motivated by factors like: i.) Communication between them and managers ii.) More involvement of manager in their work life iii.) Working in teams

How is Mayo's theory different from Taylor's theory of motivation? i.) Taylor’s theory focuses on the negative aspect of a worker’s behaviour while Mayo’s theory focuses on positive aspects. ii.) Taylor’s theory treats money as the biggest motivation while Mayo’s theory lays more emphasis on non-monetary factors.

Explain Maslow's theory of hierarchy of needs. Do you think it applies in real life? - Maslow’s theory of hierarchy of needs believes that each individual has some needs arranged in hierarchical order. Only when a lower need is satisfied, does the higher need come into picture. - Thus the incentives offered to the workers at each level have to be different. These needs are classified as grouped as below: Level 1 – Basic needs – Food, clothes, shelter Level 2 – Safety needs – Security and protection Level 3 – Social needs Level 4 – Esteem needs Level 5 – Self actualization

What is Herzberg's theory of motivation? Herzberg came out with two-factor theory of motivation which believed that there are certain factors which enthuse motivation in workers while others de- motivate them. The factors demotivating the workers are called the hygiene factors. Motivators are the factors that give satisfaction. For e.g. - Recognition - Challenges - Responsibility The other set of factors are hygiene factors – their presence doesn’t motivate the employees but their absence surely de-motivates them. For e.g. – - Work conditions - Salary - Job security etc.

Who proposed theory X and Y of motivation? What were the major differences between X and Y observations? Theory X and Y of motivation was proposed by Douglas McGregor. The major difference between these theories are: - Theory X takes a negative view of the employees while the Theory Y takes a positive view. - Theory X believes that employees are lazy and do not like work while Theory Y believes that employees enjoy work. - Theory X believes that money is the only motivation for work while Theory Y believes that the satisfaction that employees achieve after doing a work well is a bigger motivation. - Theory X believes in doing the business in an authoritarian way while Theory Y tries to remove the barriers employees find in the way of their work.

Recruitment - Human Resources Interview Questions & Answers

What is Recruitment ? - Recruitment is the process of identifying, screening and hiring the most suitable candidate for a job vacancy. - The candidate might be hired internally or from external sources - The process must be performed in timely and cost effective manner - It can also be termed as a process linking the employers and the employees

Explain the purpose and importance of recruitment. The purpose of recruitment is to: - Attract the maximum number of candidates to the organization and encourage them to apply - Create strong database and select the best candidate for the position - Ascertain the current and future manpower requirements of the organization - Make the hiring exercise a cost effective one Importance of recruitment is: - To identify the potential candidates within the organization for future man power requirements - To identify the outside candidates and hire them to meet the man power requirements - To establish various sources of candidates - To help in increasing the success of hiring process

Explain recruitment process. The recruitment process tries to get the best manpower for the organization. It can be considered as the first strategic step towards the success of an organization. The process consists of following major steps: - Identifying the vacancy - Preparing the job specifications and description of the potential candidate - Advertising the requirement - Receiving and managing the applications - Short listing the candidates - Arranging the interviews - Conducting the interviews and deciding on the candidate

What are the various internal and external sources of recruitment? There can be two kinds of sources of recruitment for organizations - Internal and External. Internal recruitment - It means getting the candidate from within the organization to fulfil a vacancy. Internal recruitment can be done by: - Transfer - transferring an employee from one location/ department to other. - Promotion - Taking the employee higher up in the hierarchy - Ex-employees - These could be the retired or retrenched employees - Demotion - Lowering the position of an employee in the hierarchy for various reasons External recruitment - It means getting the absolutely new candidate to the company. The sources of these employees could be many: - Job notifications in the print/ online media - College campuses - Placement agents - Unsolicited applicants - Employee referral program - Employment exchange - Labour contractors

Explain the internal and external factors affecting recruitment. There can be various internal and external factors which affect the recruitment process. Internal factors - The factors which are under the control of organization are called internal factors. These could be - i.) Recruitment policy of the organization ii.) Human Resource Planning iii.) Expansion plans iv.) Cost of recruitment External factors - These are the factors which are not under the control of the organization. These could be - i.) Availability of talent ii.) Brand image of the organization iii.) Politico-social environment iv.) Legal conditions v.) Economic condition of the market vi.) Recruitment policy of the competitors

What should be the focus of recruitment policy of a company? A good recruitment policy helps the organization in developing an effective recruitment process. It can be termed as the first step in developing an efficient recruitment process. A recruitment policy defines the recruitment objectives and clearly defines the framework to work within. A good recruitment policy should focus on: - Being unbiased towards all candidates - Recruiting the best talent - Helping the employees identify their potential - Promoting transparent, merit based selection - Developing cost effective recruitment process - Appointing an authority for final decision - Being socially, politically, legally and economically friendly

List some factors that affect the recruitment policy of a company. Various factors which can affect the recruitment policy of a company are: - Its objectives - Policies of the competitors - Government laws - Social and economic - Political environment - Cost of recruitment - Time available - Preferred recruitment sources

What are the main components of a recruitment policy? The main components of a recruitment policy are: - Terms of recruitment - Sources of recruitment - Using the services of placement agents - Payment terms and conditions for placement agents - Recruitment of contractual employees - Obtaining requirements from departments - Selection process - Employment terms and conditions

What are the advantages of outsourcing the recruitment services? Many organizations outsource their recruitment services to the placement agencies. The main advantages of doing so are as follows: - It allows the organizations to focus on core and strategic activities - It leads to optimal use of resources and time - It provides access to the expertise of the placement agents - Reduction in recruitment cost

Explain Poaching/ Raiding. Poaching in recruitment means hiring the employee of a competitor who is working in the same capacity as desired by you. This is a major challenge faced by the HR managers as it causes the leakage of talent from an organization and effects its productivity. The employee is usually hired by offering him better salary and perks.

List the e-recruitment techniques. What are the advantages of e-recruitment? E-recruitment means using internet for the recruitment services. Three main techniques used in e-recruitment are: - Advertising on job portals - Building a recruitment section on company's website. - Screening the database of candidates on job portals The advantages of e-recruitment are: - Lower cost of advertising the job openings - Helps in saving time - Large pool of candidates to choose from - Day in - day out access to the database - Screening the database brings in only relevant candidates - Paper less process - more organised

Differentiate between recruitment and selection. - Recruitment aims at searching for the talent and promoting the candidates to apply for the position while selection is the process of screening the candidates to fill a position with the most suitable candidate. - Recruitment process get a pool of candidates for the selection process to work and choose the best one. - Recruitment encourages more and more people to apply while selection eliminates unsuitable candidates to zero down on the best one. - There is no contractual agreement between the employee and the employer in the recruitment process while after the selection a contract is agreed upon by the employee and the employer.

What is recruitment management system? What are its features and benefits? - Recruitment management system is a tool for effective management of recruitment process. It helps in quick, reliable, accurate and unbiased processing of various applications. - The system helps in efficient management of system by automatically maintaining the database of candidates. - It works as a good interface between various parties involved in the whole process - It helps in better communication.

How would you maximize your ROI on recruitment? Recruitment is a time and money consuming activity. In order to maximize the ROI through recruitment activities, a company should keep following things in mind: - Clearly define the achievements you expect from the recruitment process. Establishing the clear goals doesn't leave a place for confusion in the system. - Develop effective ways to measure critical results. - Precise estimation of time and cost of recruitment. - Ensure that the people working in the recruitment process are well trained. - Estimate the tangible and intangible benefits that have come from the recruitment exercise.

Explain the process of recruitment through placement agents. The process of recruitment through placement agents consists of following steps: - Brief the consultant about the profile and the candidate - Placement consultant shortlist some candidates and sends the CVs - Company's representative shortlists the CVs sent by consultants - Interview is scheduled by the agent - Interview conducted by the company's representative - If the candidate is selected, he is given an offer after the negotiation else the consultant sends another candidate

What qualities would you look for in consultants before getting them on board for your recruitment activities? If a company decides to outsource its recruitment activities, it looks for a consultant to do this job. Following are the important qualities, a company should look for in the consultant before hiring them - - Experience and expertise in the sector - Resources they possess - Achievements in the last projects - Flexibility and adaptability - Result orientation

What are the elements of an effective recruitment strategy? The purpose of a recruitment strategy is to hire the best talent a company desires in a timely and cost effective manner. Following are the main elements of an effective recruitment strategy: - Identifying the jobs - Type of candidates required depending on their - performance, experience, domain knowledge. - Sources to tab - job portals, campuses, competitor's employees, employee referral - Assigned recruiters - Process to evaluate and hire candidates

What challenges have you faced as a recruiter? Major challenges a recruiter faces are: - Lack of candidates in some particular domain - Changing trends of the market - Lack of self motivation - Lack of agility in the process - Lack of job prioritization - Lack of proper job analysis

If you are required to recruit expats, what qualities will you try to judge during the interview? When there is a shortage of skills and talents at a particular geographical location, the company tries to hire people from other geographical locations. These people are called expats. Sometimes the companies require only expats for certain positions - depending on their recruitment strategy. While hiring expats it is important to judge following qualities in them: - Professional qualifications and expertise - Adaptability and Flexibility - Cultural sensitivity - Family conditions - Open mindedness - Any past international work experience - Level of self-motivation

What do you understand by "Equal Employment Opportunity"? Equal employment opportunity means an equal and fair treatment for all people. There is no discrimination among the employees or candidates on the basis of: race, age, sex, marital status, disability, sexuality, pregnancy etc. Equal employment Opportunities help in overall development of both the society as well as the organization. They help the organizations in creating a good image for themselves and discharging their social responsibilities.