The Role of Psychology in Human Resources Management and Organisation | Best B-school in Bangalore

Posted by Prof. Anil Kumar On 08/10/2021 10:13:37

We know that Human resources (HR) is the division of a business that is charged with finding, screening, recruiting, and training job applicants, as well as administering employee-benefit programs. HR plays a key role in helping companies deal with a fast-changing business environment and a greater demand for quality employees in the 21st century. The presence of an HR department is an essential component of any business, regardless of the organization's size. An HR department is tasked with maximizing employee productivity and protecting the company from any issues that may arise within the workforce.  It also includes welfare and safety, wage and salary administration, collective bargaining, and dealing with most aspects of industrial relations. The integration between the management of human resources and psychology is arguably the prime factor delineating HRM theory and practice from its more traditional personnel management origins. Selection of the personnel has long been recognized as a key activity within HR and this article seeks to explore the extent to which its practice provides evidence of such strategic alignment.

Gilbreth (2005) gave the following definition of the Psychology of Management: The Psychology of Management means the effect of the mind that is directing work upon that work which is directed, and the effect of this undirected and directed work upon the mind of the worker. The emphasis in successful management lies on the man, not on the work.

Seyidov (2000) also defines management and then shows the correlation between management and psychology. Management – a science about coordination of resources of the organizations on reaching the planned purposes. Where a person exists, the psychological features that are reflected in his activity are always with him. Studying the psychology of management, we study the psychology of the person, his activity, and the most important thing – the influence of the mentality of the person on activity and the influence of activity on the psychology and behavior of the person. The psychology of management is the branch of psychology studying mental features of the person and its behavior in the course of planning, organization, management, and the control of joint activity.

The selection process is concerned with identifying, attracting, and choosing suitable people to meet an organization’s human resource requirements. Selection is essentially concerned with finding, assessing, and engaging new employees or promoting existing ones. As such, its focus is on matching the capabilities and interests of prospective candidates with the demands and rewards of a given job. Selection decisions are amongst the most important of all decisions that managers have to make because they are a prerequisite to the development of an effective workforce.
There are several ways a psychological test sequence affects the work-process of an HR and a lot of ways an HR can improve the effectiveness of the work environment, these include various tests like:

Psychometric Tests
These include tests of cognitive ability (traits of general intelligence such as verbal, numerical, and logical ability). They also extend to self-reporting tests (questionnaire inventories) about the candidate’s self-perceived behavior, personality, life/work orientations, and value systems. Completion of the application form and the interview are both tests. There are also group exercises that are used as tests. In addition to these devices, there are hundreds of off-the-shelf tests on the market.

Current or previous employers may be asked to give information on their knowledge of the candidate. References are usually thought on the latter stages of the selection cycle either immediately before the job offer is made or afterward – the offer is made “subject to satisfactory references being received”.

Work experience
Can candidates be invited to do the advertised job for a short period? If they do, a contract of the employment relationship is formed. Most employees have engaged on the basis that their first few weeks/months at work consist of a probationary period during which time their suitability is being assessed by their actual manager, peers, and anyone else directly affected by their performance.

These range from asking candidates to make a presentation on a subject to candidates meeting in a group to discuss a topic or resolve a problem (case study or simulation exercise involving planning, organizing, leadership, communication skills, analysis, synthesis, influencing, etc).

Assessment Centers (a group-focused, package/battery approach)
Several methods are combined into a program (e.g. interviews, ability and psychometric tests, presentations, etc) for a group of candidates who attend a center (company training center, hotel). 

Biographical Analysis
Analysis of the application form and the interview process in a broad sense involve biographical analysis. Employers seeking to fill jobs involving considerable responsibility perhaps including a high security or risk element may wish to investigate the candidate more deeply. A security search may be involved – clearly, issues about privacy are raised here.

Handwriting Analysis
The applicant’s handwriting – shapes, angles, sweeps, emphasis, size – is analyzed by experts. From this inferences are made about the candidate’s qualities very dubious in terms of validity and reliability – yet some practitioners sell the method.

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