 So, let us start our today's session before we start lecture number 13, let us see what we have covered in lecture number 12. But before that, during last lecture, I gave you an assignment that you make your 10 year plan. So, you have tried it. So, look at it again. And then as I told you, if you consider it appropriate, because you share your plan with other people, but if you consider it appropriate, mail it to me as well. And save it on your PC. And watch it as well. After some time, after a few months, after a few years, and try to get a guideline from there. What did you think? Where are you going? And what were the reasons? So, let us start. Let us see what we have covered in our last lecture that was about human resource planning. What was that? That is a systematic review of human resource requirements of any organization. That is the human resource planning. I told you a different style of the process at that time. I will simplify it a little bit so that things should be clear on your part. If you look at this model, this is a four-step model. The first point is forecasting the supply of human resources. And we have discussed this technique last time. Statistical or your gut feelings. Or people based on your experience, who have an idea of what to do. After that, forecasting demand for human resources. You have to do two kinds of forecasting. One is to forecast the demand. And the second thing is to forecast the supply. And you have to compare the demand of the supply. What is the difference? And based on that, you have to take action. What action should be taken? How will that be? When you plan, there will be some outcome. We will look at the outcome in a graphical way. Basically, when you compare demand and supply, things about labor availability in the market for your organization even. So, three outcomes are possible. Number one, your demand is higher than supply in the market. Or, even in your organization, the people who are working, the future demand forecast is higher. But at this time, you have human resources available. Second option is that you have more people who you anticipate for next time. And third outcome can be that you are at par. Both your things are equal. You have as many people as you want. So, if these are the outcomes, what will be your action? So, let's see, in the first case, if your demand is higher than your supply, your supply or your available human resource in your organization, you will go for growth. What does growth mean here? You are going to have more and more employees. For their attraction, you will do some activities, do recruitment, advertise, and try. But if the outcome is that your supply is larger than your demand, then what will you do? And then you have to see what activities you have to do to bring your workforce to that level. These can be different strategies. Like, you can go for volunteer lay-off. People can ask, look, this problem is coming. So, the volunteer who wants to do it, whoever has more options, he can go somewhere else. And so on. But if the third outcome is where you are equal, then you are not required to do any special action. You just stabilize your position there and see and watch the market that what kind of trends are there. So, these were the few things we tried to discuss and understand during our lecture number 12. So, let's see what are our today's topics. So, today we have to discuss about what things we have to discuss. You must remember that I told you to look and see because some terminology we discussed in the lecture number 12 yesterday, that is strategic planning, strategic management. So, I thought why don't we also cover that part so that nothing should be bothering you while reading all those things from your textbook. And then after that, today we will discuss a separate new topic that is human resource information system. Since that is a part of management information system, the overall information system of the organization, we will try to relate it with this. Let's start with the first part, the strategic planning. What is strategic planning? Basically, because as we said during our last lecture, that we are living in a dynamic environment. So, nothing is stable. So, changing environment. When you plan something, that will become your strategic planning. Now, for the strategic planning, you have different steps. There are some steps that you have to follow to plan strategically. The first step is that you have to determine the organization mission. You have to see what is the mission of the organization. I told you that in lecture number 13, we will try to understand the difference between mission and goal and some other relevant which we used terminology to understand. So, first step is about permission. They must know before planning what is their mission. Now, after that, next step is you have to see the audit of your environment, the scan of your organization environment. You have to see the environment of the organization that you are planning. You have to discuss these steps in detail so that things can be done. So, you have to see the environment as well. You have to scan both the micro and macro factors. The third part is then based on all those basic information, you will set your strategic goals. Because to accomplish the mission, you might have certain goals. After that, then you have to formulate these strategies or plan how to achieve those goals. So, these are the four steps of strategic planning. Let's go and see one by one what we are supposed to do there. So, first step was determine the organizational mission. Now, what is the mission? The mission is basically the ultimate reason of survival. The overall purpose of organization. What is the purpose? For example, I have quoted you many times that if you look at the business point of view, the purpose of organizations is generally to increase the market share, to have the leading role in the market, to have more business. But still, some organizations may go for diversification. Some might have a strategy to go for, like they want to go to international market and so on. So, first of all, we have to see what is the mission of the organization. For that, you have to read its mission statement. Every organization, the organizations established, they always have their mission statement written and displayed at a proper place so that every person should know that what they are heading to, what they are up to, what is their basic objective or mission. Another way we can say it is a basic business scope and opportunities. This also shows your mission statement. Or you can also answer some questions. Just to see what is the mission of the organization. Why does our organization exist? And what unique contribution can it make? So, that will give you an idea of what is the mission of your organization. Before that, when you decide on a mission, you should try that the mission should be challenging. What is the mission of your life? You might have a mission to have the prospect of life. Respectable prospect of life here and after. What will you do for that? You can fix different goals to achieve that mission. What are those goals? That you have a good education, that you go to a good career, build your own house, have a good family setup, do good things, have the respect in the eyes of others, parents, colleagues, friends. Ultimately, these goals are to achieve your mission. Similarly, an organization can have a mission, but they might have different goals to reach at that mission. Let's go to the next step. You have to scan your organization environment. I have discussed this a lot. What is the environment? How many types of environment do you have? Two types. Internal environment and external environment. Let's talk about a particular organization. For example, any organization, there will be some internal forces and some external forces. There will be some micro-factors and some micro-factors. Micro-factors are called external or micro-factors are called internal. Just slide me up and see. External factors, external environment, your political condition, legal condition, economical condition, social, technological condition, all those types of things. These are forces which will affect your organization. They are not only affecting your organization, but these forces are also affecting other such other organizations in the market. But there are some specific forces which are only affecting your organization. We call them micro-or internal environment. There can be an organization culture, structure, your mission, your past history, your span of control, for that purpose. All these things, unless you have an idea, and you know those things, how can you plan? So, looking at them, scanning them, adding them is also an essential part while you are deciding about the strategic plan. And remember, we are talking about general strategic planning. So, the third part is, but before we go to the third part, let me introduce another term here, SWAT analysis. We study the environment, we call it SWAT analysis. And what is this SWAT? It is a combination of four words, S, W, O and T. And each, this letter or word has a specific word attached to it. Like S stands for strength and W for weaknesses. Here, O for opportunities and T for threats. So, SWAT is a combination of four words, strength, weaknesses, opportunities and threats. Now, why we use this word SWAT analysis? So, why we use this word SWAT analysis here? If we look at it from another perspective, SWAT is basically representing the environment. See, the strength and weaknesses is your or our organization's internal issues. The strength is your own, the weaknesses are your own. So, this is its internal environment. And opportunities and threats are outside the environment. So, this is not only for you, but for others too. This is your external environment. So, SWAT is a complete analysis of the market, sorry, the environment of the organization or a person, of whom you are doing SWAT analysis. Now, based on all these analysis, SWAT analysis are scanning of environment and keeping in view your mission. Mission of your organization, basically, we are talking. You have to set your now strategic goals. Now, you have to make a specific goal that what I have to do to achieve the mission of my aggression. And when you are deciding about the goal, there are some components of it, and some requirements of it. Goal should be specific. It is always difficult to achieve the mission of my aggression. There are many goals for it. It should be specific that this is my goal. I have to do this. I have to do BS. I have to do master. I have to do whatever is your goal. And it should be challenging. Why it should be challenging? Again, it is human psychology. If something is easy, then take it for granted. Don't do this much effort. But if you have a good goal or you have to do it, if it is challenging, then you will work under pressure and with thrust. And you will be able to do it in a good way. You have some difficult and difficult subjects. Some of them are easy. Usually, you put more effort in the difficult subject and score good marks in it. The subjects that you think are like this, we study them at home every day. You score less in those subjects because you take those things for granted. Similarly, in the organization, whenever you decide about the goal or anybody decides the goal, they always go for specific goals and challenging goals. Apart from that, it should be mayorable. Whatever goal you decide or set, it should be mayorable. And one more thing missing here, what is it? It should be time frame. This is not it. Let's see the program of your BS. It is 4 years old. You have made a goal that I will do BS. What will I do? And it was challenging that I came up with a computer science project or whatever. And it has mayorable that you will get the results of that semester. But you cannot say that you have to fix, you have to set a specific time frame that yes, this is the minimum time I will cover in this time. So, to set the goal, you have to remember these basic requirements of a goal. So, whenever a strategic plan is done, first, after looking at the mission, after doing the SWAT analysis, then they set the goal. After that, then they formulate the strategies to how to achieve that goal. That is the fourth step. What do you have to do in planning? What will be the course of action? How do you achieve that goal? Or specific functions at different departmental levels? What do you have to decide? Or if you are talking in the form of a group, then what will be the responsibility of everyone? What will be Mr. A and Mr. B? That you have to decide. Now, let's see what is the link between strategic direction of any organization and human resource that we are subject to? Overall strategic planning of organization, yes, there, human resource is also playing a very important role. Like from this slide you can see, start with the top. You have a mission of any organization. Then based on that mission, they go for certain objectives and goals. Then they set some objective goals that we have to achieve. And then they formulate the strategy of how to achieve goals. And then they make structures for that, make departments, everything. But the bottom line is again the people who will implement those strategies, the people. So see, ultimately again it is, the bottom line is the same. They are the people who will act according to those plans within a proper structure, move toward to achieve the kind of implement those strategies so that they should be able to achieve the goal and objective and ultimately fulfill the mission of particular organization. So that is where we have the linkage of strategic planning and human resource department. So let's move to one step further. Based on strategic planning, you go for the strategic management. Because we had four functions of management, basic. There was planning, organizing, leading, controlling. So we saw a aspect of planning. Now we try to see it in the whole picture. Those are the few steps, but with that some addition, when we are talking about complete planning. First, see the competitive situation, after the mission, you have made a strategic goal, then you have the plan and now the other functions are taking place there, as far as the management concern. Now you have to allocate the resources so that you should act according to your strategies. While allocating your sources, then the next step will be you actually implement the plan. Your leading function will come there. And the last step will be evaluate your results. And that is the controlling part. If you remember, the four part or four basic functions of management that we had discussed in the beginning. When you talk about strategic management, then it becomes a complete process. There is planning, organizing, what did you do here? You allocated the resources. And in the leading, you implemented the leading role. And in controlling, the valuation part, you evaluated the results, whether you have achieved those results for which you have prepared that particular strategy. Did you achieve that goal? No. And ultimately, your mission is achieved there. So, let's talk about strategic human resource management again. What do we have to do in this? This is where human resources, developments and activity intend to achieve the organization goals. So, as I told you, the bottom line is again the same. You take it from the mission, but what are you doing? Humans are doing it. The people who are working in your organization. So, naturally, the strategic part of human resource is also playing a very vital role. Let's move forward now. Another topic that is information. Human resource information system. And we try to see this in a broader picture. Human resource management, the general or comprehensive management information system of the organization, what role does it play? What is information? A few years ago, I saw a small cartoon. So, I thought I would share it with you. There are two situations. Two persons are selling information. One is saying, I will provide you information in one dollar. Another person is saying, now the information that you want, is one hundred dollars. Did you get the concept? What is the purpose of this? Information is not available in the world. Nowadays, on the web, you just go and type a thing and you can have huge amount of information available for you. But what is the important thing? That specific information that you want, it has more value, it has more cost. One person is saying, I will give you information in one dollar. The other person is saying, I will give you the information in one hundred dollars. The difference in the price, that is indicating how important it is to get required specific information at a specific time. Why do you need information? Where does it come from? Whenever you have to make a decision, especially a manager has to make a decision, the more information he or she can have, the better option he or she can have while deciding something. This is how it is. The more information you have about it, a particular issue that you have to decide about, the more probability you will have that you will be able to make a good decision and that you will be able to make good decisions. What is the information system? By the way, management information is for that purpose. So, the information system that is defined is a set of interrelated components that can be equipped, people, why? So that they can collect information, retrieve it, process it, store it, analyze it, for what purpose? You can distribute information to home, the person who has to make a decision. So, technically, the information system can be set up by people, machines, equipment, computer, or even information, even your record in the file, that is also part of that information system. When you do the research, that is also part of your information system. So, all these things, process, the raw information, what do you have to do with it? There is specific information, you have to take it and see. We will go ahead with a specific example. I hope you will get more information and you will easily understand what it is. And what do we call information system? As I said, what happens in the information system? Components of information system? It is not just a machine. It is not just a computer. And information system is not a computer alone. Yes, I agree. But information system consists of technology. Not only computer, but the technologies. Different kind of you have to pass for me. Organization, people will also be there. There will be a system and people. So, all together, we have an information system. So, let's talk about management information system. Management information system. What is this? You saw it these days. It is the time of the computer. Everything is now moving toward machines. Things are becoming more and more easy. Let me show you a small model. A manager has to plan, organize, lead, manage, we have covered so many times. Where to do it? In a dynamic environment. Now, things are not stated. Remember that. Things are changing. So, with changing environment, you have to update yourself and you have to start the decision. At the time of planning, at the time of organizing, at the time of leading, and at the time of controlling. And again remember that many micro and macro factors that comprise your environment are making decisions. Otherwise, you don't have to do much work. Everything should have been programmed and it should be working normally. But we are talking about dynamic environment. Now, where do you get the information? Look at the manager who needs some information so that he makes decisions. Let's talk about human resources. He has to decide how many people he needs to hire for the next season. Now, he needs this information. He will give it to the organization. What is in that system? His own record. As I told you, you do trend analysis. You can have the intelligence. People sitting there, experienced people who are dealing with these things. They can guide him. He can provide that information. Your research activity, you have done some research. You collected some data. You can get the same information. You can get the same information. The information block will retrieve that information. Now, the database you are developing and the data is read on the computer. How will you get the specific information? You are reading only 4-5 subjects so you have so many registers and books. If everything is manually and if everything is like before then how many people do you need to open the register to see what is happening. Now even with the click of one button just pushing one button you can have the clear picture in front of you and based on that picture you will make the decision. We call all these things as management information system. In the organization, from the computer to the new technology, things have become very convenient for the manager that they can make quick decisions. The fast decision is what you want. Who is the person who is expected first. The first mover is always having an edge in the market in the business. So this is a management information system. In every organization there is a small or big information system which has many components. We call it business information system. In that as I have already discussed many of your departments are marketing, production, finance accounting and human resource management. Now they have a specific their own system like they have the accounting information system they have the marketing information system they might have the production information system and they have the human resource information system. Now all these systems are interlinked within the organization and based on that they make the management information system based on which they get the information that they need and based on that whatever they have to do that will become the easy part. Let's move toward our area of interest that is human resource management or information system. What does human resource do? We have discussed it twice. Personal requirement for forecasting human resource planning training, recruitment training and development reporting top management personal record and compensation analysis and so on. If you bring all these things into the system it will be more convenient and easy for you to decide as a human resource manager if you are talking about a section of the organization of the human resource information system. Again, the system used to acquire, store first we had seen the general information system or we have seen the human resource information system specifically. Human resource information system will be it will be consisting of where people, machine, equipment other things yes why to acquire human resource information store them manipulate what does manipulation mean here. Manipulation means that required information will be kept properly on the required place and we will analyze it we will retrieve it when it is necessary and we will distribute it and we will spread specific information to the person who needs it to decode it. We are talking about the human resource we are not talking about the general we are talking about the specific that is the system in which we gather information store it analyze it and distribute it to the person who needs specific information. Let us show you one example your computer is sitting let us see I just have a hypothetical personal information system in it in the human resource information system you have the entire record of any employee. You can see the entire record of a person like in this example you see the name of the person yes Kamran Tayyab his date of birth, his picture and his job will also be told when did you hire him yes he is also written how is his performance what is his salary and his knowledge and ability which is the area in which you understand so you have this programmer who can do good programming in Java and C so all the fields you want to decide these are the fields you can store as much data as you want now it will be very easy for you whenever you require certain information like you want me to see how many people I have give the command of list of the employees working as a programmer then you will have all the data you will have a list if you want to check a specific person then click on it in the name of Kamran then you will have all the information about it when we are deciding when we are talking about human resource information system then you have to determine which information you want in this specific field what kind of information will be there general work activities how the job relates to other jobs you can also find out their linkage procedure use on the job behavior related to that job you can find out if you want a physical moment for that job it is also available for machine tools physical environment in which environment you can keep this information you can keep it there organization and social context of the job can be handed over to that similarly work scheduling and incentive compensation all that information will be in that information system and personal requirements like skills, education, training experiences physical demand, special needs some of it is God's disease all these things will be in your database about your employees which will make your system your human resource information system and these systems are why do we need them these are designed to support what planning to meet the personal needs of the business development of employees in their full potential we can take advantage of their full potential and then we can monitor our policies and programs and we can control them now let's go and see some specific exam I will share with you all the activities related to HR if you have a good system developed information system you can do these activities and your work will be easy but one thing should be clear why are we doing all these things number one, speed number two, convenience number three, proper control there are many other benefits but the basic we had efficiency and effectiveness all this and as technology is changing we have to move in that direction and these things are very clear and easy and it is easy to decision for manager because now you can have huge amount of information on your personal computer so many things that you could not retain so many files that you could not pick up now you have that machine that new technology that many people do for you so with this information system it is easy to do it is easy to do it is fast and chances of making a mistake are also less now let's go and see one by one few examples where is your human resource information system what does it function and what does it do for you job analysis next will be our lecture on job analysis so the information of job analysis you can keep all that that system will help you to analyze the job and programs can write job description and job specification even that computer you will say that I want this work on the same base job description and specification what should be the job what should be the work and what should be the requirements that system will do for you isn't it fun and then for you monitoring monitoring will do for you your legal responsibility will also monitor so that you will know what is happening whether it is working or not similarly even if you when you have started recruiting if you get a lot of applications then you have a lot of records if you see a bunch of files sitting in one room nobody cares but when all those information are already on your system so rejected applications are there their data is also there it can come to you at any time as I have given you an example how many people applied in the capacity of the program let's see how many people are there who have a skill in this particular tool so from there if you are in a hurry then trace from there you can follow up or get the person similarly you can save a lot of money and time in compiling the reports see when we are working in an organization you have to compile a lot of reports every day you make a worksheet how much time it takes how much production it takes everything if you are doing that manually separate person you need separate people for that specific job but it is very easy to develop this information system the same record you have made you can generate a report on one side to see how many people are there how many people have worked and how many hours they missed what is happening in this you are saving huge amount of money and time don't you think that these both things are going to help you to gain the competitive advantage in the market when you save this money ultimately your cost is decreasing whatever production or services you are providing when your cost is decreasing and efficiency is there definitely you have the edge similarly if you are working with 10,000 or 20,000 people among them how many are female let's do affirmative action last lecture we were talking about equal employment opportunity we are working with what is their ratio what is their ratio you can justify with the data you have the record you can justify that this is our position and this is how it works similarly minorities hiring, recruitment or advancement can also react it is not like that we are not discriminating see in our organization we have such and such people who are minorities we have come to this position after so many years this training, this development you have the record with just push up with certain buttons you will be available and you can use it as reference keeping the track is very efficient and effective forecasting of supply and demand again it will become very convenient and easy if you are using a proper information system from that you can make a graph what is the position what is the trend can do ratio analysis can do regression and so on similarly that system will also help you so when you are doing recruiting recruiting basically means that you attract people that they come to your organization apply for job show when we talk about the source you also have internal source if you have a proper human resource information system that system will also help you to attract your internal employees you have all the data you have by creating a match with this kind of qualification with this kind of skill you can see what kind of people are there and that system will perform and will give you all the information and you can then reach those specific people of your organization and ask them if they are interested a system will itself generate information for them at their own workplace at their tables so that if they are interested they can also apply for that particular job apart from that their openings that you nowadays is the time of the internet web based all communications you are doing and instead of organization that particular notice board of your electronic media you upload this information and give information to each other and it can also help you to create a match that the system will search a lot and you can do that with your job specification and with the application qualification a lot of people nowadays if they get a good position then people apply in thousands and when there is so much application then manually sometime it becomes very difficult to keep the track so this system will match and separate people who qualify for this particular opening so here also this system will help you that system is also another function is to track tracking system it is very efficient applicant tracking system will be a human resource information system whatever system you have it becomes easy for you and even while you are tracking you can also track the results we used to record manually in the college last year in this semester in this subject there were so many marks in the tests there were so many assignments there were so many practical marks and then you are manually calculating them now you can have a system where you just put the data actually next time whenever you want to retrieve all those things will be available for you similarly when people start giving tests for employment after recruitment you start the selection process you can also feed the different tests in this system in its form so that too you don't waste time within no time you can get all those information whatever CVs are usually there are some jobs you can apply them online you just have to go attach your CV and submit it online or even they have a specific format available on their website so you go there and put all that information that people are interested in then submit it the system itself will scan it analyze it generate a report that people are interested in the top manager you have the field you see the qualification you see the experience you see the address whatever you scan it required information again you don't need a bunch of information because managers are so busy they don't have time to go into small details so this system helps to create efficiency and effectiveness even now you can go within this system for interviews from outside when there was a lot of demand for people to go outside they would sit on the computer and give their interview a structured interview pattern and from there their score would be scanned and the ultimate result would be there even now you can see entry tests are online so if your proper system is established and settled instead of taking manual the test is an interview from there through the internet with them that structured interview you can do the questions and interviews that system is also helping you there similarly creating a match best fit that also helps you in its function that it makes a match and tells you yes this is the right person for this job don't just think that you don't need human now here if the machine does everything this technology is only facilitating you this system is facilitating you similarly you have budgetary financial aspect that also tells you how much funds you have how much are being utilized how much are the recurring costs how much are the non recurring costs all these things this system provides you then through this system you can also keep track on registration you can see when they were trained when they needed training the training cost you can also monitor it and in the future the schedule you can take care of the system okay okay I don't want to disturb my normal working of the agnation so I schedule that this block here they are sending them to training when they come in the next phase so all these things in this schedule this information system also helps you to perform again these days it is a virtual concept you are also listening to lectures now you have a CD so in this proper system in this system for agnation this house training can be done so that function is also being performed to some extent by this information system similarly the carrier planning that will be an excellent use of this system to go for carrier planning a succession planning of your employees it will keep track yes this person is due for next phase this person is qualifying for next position you can keep track and the best thing is it will be transparent no unfair or something like this type of thing because if you are doing through this system anybody can go and see what is happening people can do testing on the same base and then you can see what is the carrier path for us the employee is also helping to see their carrier path you can predict the carrier path the entire setup is helping to predict it even you can do performance appraisal through this that is also a good function that system is performing comparison when you are comparing one person to other person that system will become because everything will be logical it will be very easy to compare things and to just see where training is needed where new equipment is needed attenders can monitor your compliances they can see labor standards so you can have a long list of all different HR related activities where this human resource information system can help individual's sale data based on which you can decide their compensation that will help you benefits can also be managed from there or the raises or the wages you can see the history of how they achieved and even you can do their health occupation safety and health administration you can track hazardous materials the cost of accident all these things will help you track them records you can maintain them you can keep all your track contact data that you have with your labor seniority list who is senior problem there are so many different things you can keep and it can do to this information system and it will give you speed, effectiveness efficiency both things and also cost control yes so I think it is enough should we stop it here yes but let's see what we have covered we will try to understand human resource information system today before that we looked at strategic planning and try to understand the whole system next topic will be job analysis but for that you have to prepare it study it and then come back so I hope today's lecture will be interesting or you have learned something good today again till next time peace be upon you