Roles and Responsibilities of Human Resource Department

Human resource (HR) department deals with wide range of activities from strategic planning level to the day to day operations level. Therefore defining roles and responsibilities of HR manager is a quite complex task but some of the functions carried are summarized below.

Involvement in the strategic planning process

HR manager gets involved in the strategic planning process of the organization and identifies HR as a core competency of the organization. When HR is assumed as a core competency HR becomes a competitive advantage for the organization and HR manager is responsible of developing the HR of organizations to bring the stated competitve advantage to the organization.

Forecasting the labour requirement

The HR manager holds the responsibility of forecasting the labour requirement of the organization in the future based on the future level of sales/production level of the organization. The labour forecast may identify the need for need for hiring or firing employees.

Recruitment Once the labour forecast is done organization can identify the need for more labour in the organization if the existing workforce is not sufficient to handle the future workload. In such a situation HR manager has to recruit new potential candidates to fill the vacancies. Recruitment is the process of creating a pool of potential candidates who can be employed to fill the vacancies.

Selection Selection is the process by which the most suitable candidate is selected from the recruited pool of candidates. Selection is done by carrying out various types of tests and interviews. HR department/manager is responsible of selecting the most suitable employees to fill existing vacancies.

Induction

Induction is the process by which new employees are made familiarized with the organizational environment. Once the employees are selected they need to be introduced to other staff of the organization and they should be given necessary guidelines about the organizational culture and the procedures.

Training Once the employees are done with the induction they become an employee of the organization but the skills they possess may not be adequate to carry out required tasks. The need for training arises when the there is a gap between expected level of skills and the current level of skills of an employee. If a there is a training need HR department has to design training programs and execute them.

Motivation HR manager is responsible of motivating employees to carry out their duties of a timely and accurate basis. Performance Appraisal

This is where the employees performance are evaluated based on expected level and the actual level of the performance. HR department needs to design performance appraisal systems to appraise the employee performance on a fairly manner.

Rewarding employees

Once the employee performance evaluation is done HR department needs to design good employee rewarding packages to reward well performing employees. These rewards could be of monetary or non monetary in nature.

Managing Carrier Growth of employees/Promotions HR department is responsible of managing the carrier growth of employees where they needs to promoted in the carrier ladder if they are suitable to fill existing vacancies in high ranks of the organizational structure.

Managing redundancy When the organization decides that thy no longer need the service of certain employee they need to be sent to be given the redundancy notices and have to be paid the redundancy charges. HR department has to manage this process.

Managing employee grievance

HR department needs to accept the grievance and complaints submitted by the employees about their problems. HR department need to listen to grievance and should come up with solutions to solve problems.

Managing complains about employees

There can be complaints about employees regarding poor performance, bribery, misbehavior and so on. HR department needs to hear those complains and make necessary steps (advising/punishing employees) to solve those issues.

The core roles of human resource management are PLANNING AND ORGANISING FOR WORK, PEOPLE AND HRM Strategic perspective Organisation design Change management Corporate Wellness management PEOPLE ACQUISITION AND DEVELOPMENT Staffing the organization Training & development Career Management Performance Management Industrial relations ADMINISTRATION OF POLICIES , PROGRAMMES & PRACTICES Compensation management Information management Administrative management Financial management

1. Manpower Planning 2. Recruitment

3. Compensation & Salary Administration 4. Benefits Development & Administration 5. Training & Career Development 6. Labor Relations & Disicipline Management 7. Personnel Movement 8. Performance Management 9. Payroll & Timekeeping 10. Organization Development

Role of R&D Investment

New product design and development is more often than not a crucial factor in the survival of a company. In an industry that is changing fast, firms must continually revise their design and range of products. This is necessary due to continuous technology change and development as well as other competitors and the changing preference of customers. Without an R&D program, a firm must rely on strategic alliances, acquisitions, and networks to tap into the innovations of others. A system driven by marketing is one that puts the customer needs first, and only produces goods that are known to sell. Market research is carried out, which establishes what is needed. If the development is technology driven then it is a matter of selling what it is possible to make. The product range is developed so that production processes are as efficient as possible and the products are technically superior, hence possessing a natural advantage in the market place. In general, R&D activities are conducted by specialized units or centers belonging to companies, universities and state agencies. In the context of commerce, "research and development" normally refers to future-oriented, longer-term activities in science or technology, using similar techniques to scientific research without predetermined outcomes and with broad forecasts of commercial yield. Statistics on organizations devoted to "R&D" may express the state of an industry, the degree of competition or the lure of progress. Some common measures include: budgets, numbers of patents or on rates of peer-reviewed publications. Bank ratios are one of the best measures, because they are continuously maintained, public and reflect risk. In the U.S., a typical ratio of research and development for an industrial company is about 3.5% of revenues. A high technology company such as a computer manufacturer might spend 7%. Although Allergan (a biotech company) tops the spending table with 43.4% investment, anything over 15% is remarkable and usually gains a reputation for being a high technology company. Companies in this category include pharmaceutical companies such as Merck & Co. (14.1%) or Novartis (15.1%), and engineering companies likeEricsson (24.9%).[2] Such companies are often seen as credit risks because their spending ratios are so unusual. Generally such firms prosper only in markets whose customers have extreme needs, such as medicine, scientific instruments, safety-critical mechanisms (aircraft) or high technology military armaments. The extreme needs justify the high risk of failure and consequently high gross

margins from 60% to 90% of revenues. That is, gross profits will be as much as 90% of the sales cost, with manufacturing costing only 10% of the product price, because so many individual projects yield no exploitable product. Most industrial companies get only 40% revenues. On a technical level, high tech organizations explore ways to re-purpose and repackage advanced technologies as a way of amortizingthe high overhead. They often reuse advanced manufacturing processes, expensive safety certifications, specialized embedded software, computer-aided design software, electronic designs and mechanical subsystems. Research has shown that firms with a persistent R&D strategy outperform those with an irregular or no R&D investment programme.

MANAGEMENT SERVICES DEPARTENT (MSD):

This is one of the most prominent departments, which utilizes and manages all the intellectuals' level. It comprises three levels of management.- lower level, middle and top level. Its main works are Industrial Engineering, Manpower Planning, Systems & studies and Incentives. All the decision-making information is provided by these levels. A Factual, Accurate, Clear, Timely (FACT) repost is prepared which goes to all the levels of mgmt and then to corporate office. All the key functions of MSD are gathered in management information system (MIS) which will be in some prescribed formats. These are then sent to head quarters, Bangalore. MIS prepared for smooth functioning of all departments. MSD provides various schemes for the employees to utilize manpower more efficiently for better management. Some of these schemes are Manpower planning scheme (to motivate the employee in order to make him more productive), Incentive scheme (for direct employees who actually work on the shop, for indirect employees who helps in work of direct employees and for officers). On the basis of attended man-hours & overtime and quality factor, the incentives are calculated for all the employees. Suggestion schemes are also provided by MSD so that anybody can give the suggestions to the management for the welfare of company. A part of the company profit that is made by the company by following the suggestion of the employee is rewarded to the employee under this scheme. Therefore, by this scheme the employee gets the monitory award and also recognition that he desires to get. MSD gets a report from the method dept of the parts to be manufactured for labor costing. Thus, the management services dept. manages the work in the factory and it tries to get the more smart work from the workers.

FUNCTIONS OF MANAGEMENT SERVICE DEPARTMENT (MSD)

MANAGEMENT SERVICE DEPARTMENT is a group of persons assisting hierarchy of management in making decision in order to enhance productivity.

FUNCTIONS OF MSD:
MSD of HAL is undertaking the following functions: * * * * Management Information System (MIS) Manpower planning Estimation of standard time for costing and quotation purpose System Development

What Is the Role of the Finance Department in a Business?

The finance department consists of many different roles, most of which are critical to any smooth running company. Its main job is to provide the financing and accounting information which is needed to make various decisions. The main areas in a finance department include:-

Book keeping - Years ago all financial transactions within a business were recorded by hand
into thick books called ledgers. Nowadays these records are usually kept on a computer.

Creating balance sheets and profit and loss accounts - At the end of each financial
year, statements are required to be produced. Trial balances are taken from the ledger entries and are used to create abalance Sheet which shows the assets and liabilities of the business at the year end. Records of purchase and sales are also totalled up to create a Profit and Loss account.

Providing management information - On-going financial information is required by

managers to enable them to make better decisions in regards to their business. They are then able to decide if it is worthwhile to switch to making an alternative product.

Wages - This section is responsible for the payment of all wages and salaries of employees.
The wages section also organises collection of income tax and national insurance for the Inland Revenue.

Raising of finance - The finance department are also responsible for the way in which a
company raises finance, for example through loans and what the repayment of interest is on that finance. The finance department will also supervise the payment of dividends to shareholders .

Financial Highlights for 2011-12

Bangalore, March 31st, 2012: Hindustan Aeronautics Limited (HAL) a Navratna Defence Public Sector Unit has declared an impressive financial performance for the year 2011-12. The provisional financial results are - Sales for the year 2011-12 is Rs.14,001 Crores registering a growth of 6.74 % over the previous year, Profit Before Tax (PBT) for the year is at Rs.3,200 Crores. An Interim Dividend of Rs.747.70 Crores has been paid for the year 2011-12, which is 620 % of the paid-up capital. The Company for the 11th year running has met all the targets set in Excellent category in respect of the MOU concluded with the Government of India, for the year 2011-12. The highlights of major achievements during the year are:

All flight trials for Turrent Gun and Rocket have been completed for the ALH-WSI, which marks a significant milestone towards certification. Light Combat Aircraft (Tejas) LSP-7, flew its maiden flight and LSP-7 will be offered to IAF for user evaluation trials. First flight of Light Combat Helicopter (TD-2) was carried out. It is built with weight reduced parts, optimized transmission system and incorporates several improvements based on flight evaluation of TD-1. Detailed design and analysis of structural parts of Light Utility Helicopter (LUH) has been completed. HAL has bagged Raksha Mantris Excellence in Performance Award for the year 200910. Three quality circle teams from HAL have won two gold and one distinguished awards in International Convention on Quality Control Circles (ICQCC 2011), held in Japan.

Definition of 'Paid-Up Capital'

The amount of a company's capital that has been funded by shareholders. Paid-up capital can be less than a company's total capital because a company may not issue all of the shares that it has been authorized to sell. Paid-up capital can also reflect how a company depends on equity financing.

Investopedia explains 'Paid-Up Capital'

Paid-up capital is money that a company has received from the sale of its shares, and represents money that is not borrowed. A company that is fully paid-up has sold all available shares, and thus cannot increase its capital unless it borrows money through debt or is authorized to sell more shares. Operational Efficiency
Actual output in a period x 100 Maximum rated output.

Balance Sheet Format