HERE ARE SOME USEFUL GUIDELINES TO SET UP HR DEPARTMENT.

STAGE 1
Review the current practices/policies [ if any]
Audit all hr activities that are performed [ even the crude format]
HERE ARE THE CORE HR KRAs [ key result areas]

KRA
KRA
KRA
KRA
KRA
KRA
KRA
KRA

1
2
3
4
5
6
7
8

:
:
:
:
:
:
:
:

Recruitment/Selection
Workforce Planning and Diversity
Performance Management
Reward Management
Workplace Management and Relations
A Safe and Healthy Workplace
Building Capabilities and Organisational Learning
Effective HR Management Systems, Support and Monitoring

STAGE 2

Understand
Understand
Understand
Understand
Understand
Understand
Understand
Understand

the
the
the
the
the
the
the
the

organization
organization structure
organization systems
organization politics/influential people
organization/individual roles
organization/positions
individual job descriptions
job/ job specifications etc

STAGE 3

Discuss the values/beliefs with senior management/CEO and the need for HR
department.
Discuss the expectations from HR department -short/medium/long term.
Discuss with CEO, the organization's corporate objectives/strategies and how HR
can contribute to the corporate objectives.
Discuss / seek consensus on organization structure / management process.
Discuss the current organization culture with senior management.
Discuss with CEO/senior management the core activities/competences and
business drivers of the organization.

TO GET A GOOD START AND HOLD YOUR CREDIBILITY, YOU NEED THESE
INFORMATIONS TO START YOUR WORK ON HR DEPT.
GET

COPY OF CORPORATE PLAN, WHICH OUTLINES THE COMPANY'S

VISION
MISSION
CORPORATE OBJECTIVES
CORPORATE STRATEGIES
etc

HR dept. is a support unit and hence must work closely with other depts.

STAGE

Even though there is currently no HR department, there are a number of HR activities

are being carried out now.
YOU HAVE TO KNOW WHAT THEY ARE / HOW IT IS BEING CARRIED OUT / BY WHOM.
TO COLLECT AND CONSOLIDATE THESE, YOU NEED TO A QUICK HR AUDIT OF THE
PRESENT SITUATION.
AFTER you gather all the informations and summarized, you should sit down with
your boss [ CEO] and discuss and prioritize the items, as follows

URGENT / IMPORTANT
URGENT/ NOT IMPORTANT
NOT URGENT/ IMPORTANT
NOT URGENT / NOT IMPORTANT , BUT NEEDED DOWN THE LINE.

STAGE 5
Please REVIEW the HR MANUAL , as listed below.
Pick points out of it , as per your need, based on your discussion / audit results.

You may want to start up with

HR department OBJECTIVES.
HR DEPARTMENT STRATEGIES
Draft on Recruitment / Selection Procedure /PROCESS
Draft on organization / structure
Draft on jobs' analyses/ job descriptions/ job specifications/competences
Draft on payroll / compensation / administration
Appointment /confirmation / Termination / resignation /PROCEDURES/PROCESS

Induction program
Orientation program
Employee communications
Training & development of the employees
Performance Appraisals / management

Once you have the preliminary draft ready, you

HANDBOOK [LIST PROVIDED BELOW]

can

start

with your EMPLOYEE

STAGE 6
REVIEW THE HRM PROCESSES, MAKE A NOTE OF WHAT YOU THINK ARE IMPORTANT
FOR THE COMPANY AND THE PRIORITY ONES.
HRM PROCESSES

HR AUDITING
HR BUDGETING
Strategic HRM Planning
HR Strategies and Policies.
HR and change management.
Competency-based HR
Knowledge management

JOB DEVELOPMENT

Job
Job
Job
Job
Job
Job

analysis
Role
Description.
specifications
enrichment
rotation

RECRUITMENT/SELECTION

Recruitment
Selection
Induction
Orientation

ORGANIZATIONAL BEHAVIOR PROGRAMS

Employee engagement
Motivation
Organization culture
Organization development

ORGANIZATION

Org. designing

Org. structuring
Org. development
Job / role structuring

HUMAN RESOURCING

HR planning
Manpower planning
Succession planning
Talent management

PERFORMANCE MANAGEMENT

Performance appraisals
Performance managing the processes.

HR DEVELOPMENT

Org. learning
Training
Education
Development
Training evaluation
E-learning
Management development
Career planning /development.

REWARD MANAGEMENT

Job evaluation
Managing reward process
Administration of rewards
Benefits

EMPLOYEE RELATIONS

Organization communications
Employee communications.
Staff amenities

HEALTH AND SAFETY.

OHS

HUMAN RESOURCE INFORMATION SYSTEM.

STAGE 7

REVIEW THE HRM SYSTEMS , MAKE A NOTE OF WHAT YOU THINK ARE IMPORTANT
FOR THE COMPANY AND THE PRIORITY ONES.
HR SYSTEMS

HR strategic planning system

Human resource planning system
Manpower planning system
Job profiling system
Recruitment &selection system
Performance appraisal system
Performance management system
People development systems
Career planning and development system
Succession planning system
Job enrichment system
Compensation planning and packaging system

THIS is just a common list.

AFTER

STAGE 1,2,3,4,5,6,7 MAKE A REPORT

What
What
What
What
What

is the current situation

kind of HR DEPARTMENT is required.
you think are your priorities
is your action plan
is time schedule.

MAKE A TEMPORARY HR DEPARTMENT

ONE HR MANAGER [ YOURSELF ]

ONE TRAINING MANAGER
ONE SALARY ADMINISTRATION MANAGER
ONE RECRUITMENT /SELECTION MANAGER

DISCUSS THIS WITH THE SENIOR MANAGEMENT, SEEK THEIR APPROVAL/ BLESSINGS
/SUPPORT

TO IMPLEMENT YOUR PLAN.

To win confidence/trust, you need to show credibility/functional knowledge level.
Initially, please do not rush with too many things. Take one thing at a time and do a
thorough job. Everything must be done right at the first time.

PREPARING A HR MANUAL IS IMPORTANT. NOT ALL THAT IS LISTED HERE MAY BE

NECESSARY AT FIRST.

DISCUSSING WITH SENIOR MANAGEMENT AND IDENTIFY THE PRIORITY ONES AND WORK
ON THEM.
HR MANAGEMENT MANUAL
Human Resources Policies, Procedures and Forms
Table of Contents
ADMINISTRATION
ADM.101
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0

Personnel Records Activities

Employee Information
HR Personnel Records
Contents of Personnel Files
Employee's Personnel Records Review
Management Review of Personnel Files
Company Release Of Employee Information
Record Retention and Long-Term Storage
Record Destruction

Forms
Ex1
Ex2

Personnel Records Access Log

HR Records Retention Periods

ADM.102
1.0
2.0
3.0
4.0

Form Development Activities

Form Development and Format
Authorization and Printing
Form Numbering and Placement
Forms Index and Manual

Forms
Ex1

Form Printing Request

ADM.103
1.0
2.0
3.0
4.0

Document Control Activities

Document Distribution
Document Revision
Document
Temporary Changes

Forms
Ex1
Request For Document Change (RDC)

ADM. 104
1.0
2.0

Mail & Express Services Activities

General Mail Usage
Addressing Mail

3.0
4.0
5.0

Express Mail
Overnight Packages
Additional Information Resources

Forms
Ex1

Outgoing Mail Register

ADM. 105
1.0
2.0
3.0
4.0

Telephone Answering Activities

Answering Techniques and Etiquette
Answering and Directing Calls
Taking Messages
Telephone User's Guide

Forms
Ex1

Important Message

ADM.106
1.0
2.0
3.0
4.0
5.0
6.0

Property & Access Control Activities

Background Checks
Physical Access Controls
Key Controls
Proprietary Information Controls
Collection Of Access Controls
Visitors & Guests

Forms
Ex1
Ex2

Key Issue Policy

Visitor Log

ADM.107
1.0
2.0
3.0
4.0
5.0

Separation Activities
Resignations
Involuntary Terminations And Layoffs
Terminations For Cause
Termination Meeting
Additional Information Resources

Forms
Ex1
Exit Interview Checklist
Ex2
Exit References Authorization
ADM.108
1.0
2.0
3.0
4.0
5.0
6.0
7.0

Workplace Rules & Guidelines Activities

Alcohol And Drugs
Breaks And Lunch Time
Company Property
Grievances And Complaints
Inclement Weather
Parking
Personal Telephone Calls

8.0
9.0
10.0
11.0

Smoking
Solicitations
Suggestions
Visitors

Forms
Ex1

Suggestion Form

ADM.109
1.0
2.0
3.0
4.0
5.0
6.0

Human Resources Reports Activities

Preparation Guidelines
Occupational Health & Safety Reports
Equal Opportunity Reports
Training Plan
Hiring Status Report
Compensation Summary

Forms
EX1
EX2

Human Resource Reporting Summary

HR Hiring Status Report

ADM.110
1.0
1.1
1.2
1.3
1.4
1.5
1.6
1.7
1.8
1.9
2.0
3.0
4.0

Dress Code Activities

Dress Code
Business Attire
Business Casual Attire
Casual Attire
Uniformed Attire
Safety Attire
Formal Attire
Inappropriate Attire
Business Situations
Recreation & Parties
Dinners & Receptions
Personal Hygiene
Disciplinary Action

HIRING PROCEDURES
HRG.101
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
9.0

Employee Hiring Activities

Needs Analysis
Personnel Requisition
Job Posting & Screening
Interviewing
Pre-Employment Screening & Testing
Background Investigation
Hiring And Employee Offers
Motor Vehicle And Equipment Operation
Applicant Files

10.0

Additional Information Resources

Forms
Ex1
Ex2
Ex3
Ex4
Ex5
Ex6

Personnel Requisition
Offer Letter
Personnel Change Notice
New Employee Hiring Checklist
Employment Eligibility Verification .
Employees Withholding Allowance Certificate.

HRG102
1.0
2.0
2.1
2.2
2.3
2.4
2.5
2.6
2.7
2.8
2.9
3.0

Job Descriptions Activities

Job Description Preparation
Format And Content
Job Title
Effective Date
Department
Summary Of Functions
Essential Duties And Responsibilities
Organizational Relationships
Qualifications
Physical Demands
Work Environment
Job Description Approval & Distribution

Forms
Ex1

Job Description Format

HRG103
1.0
2.0
2.1
2.2
2.3
2.4
2.5
2.6
3.0

Employment Applications Activities

Application For Employment
Application Information
Personal Information
Employment Interest
Education & Training
Employment History
Military Service Record
References
Compliance Information

Forms
Ex1
Ex2

Employment Application
Employment Application Supplement

HRG104
1.0
2.0

Interviewing Applicants Activities

Interviewing Objectives
Resume Examination

3.0
4.0
5.0

Telephone Interviews
E-Mail Interviews
In-Person Interviews

Forms
Ex1
Ex2

Employment Interview Questions

Interview Form

HRG105
1.0
2.0
3.0
4.0

Background Investigations Activities

Background And Hiring
Investigative Consumer Reporting
Employee Reference Checks
Motor Vehicle Record (MVR) Inquiry

Forms
Ex1
Ex2
Ex3
Ex4

Employee Investigation Checklist

Employee Background Authorization
New References Authorization
Reference Check Survey

Compensation Procedures
COM101
1.0
2.0
3.0
3.1
3.2
3.3
3.4
3.5
4.0
4.1
4.2
5.0
5.1
5.2
5.3
6.0
7.0

Payroll Activities
Payroll Records
Timesheets
Payroll Deductions
Worker's Compensation Insurance
Social Security & Medicare
State Income Tax
Earnings Tax
Tax Withholding Payments
Payroll Adjustments
Advances
Garnishments
Paychecks
Direct Deposit
Lost Paychecks
Final Paychecks
Vacation Pay
Additional Information Resources

Forms
Ex1
Ex2
Ex3

Monthly Time Sheet

Central Govt. Tax Calendar
Electronic Funds Transfer Authorization

COM102

Paid & Unpaid Leave Activities

1.0
2.0
3.0
4.0
5.0
5.1
5.2
6.0

Paid Time Off

Unpaid Time Off
Absence Request And Notification
Holidays
Vacation Eligibility
Vacation Schedules
Vacation Over Holidays
Additional Information Resources

Forms
Ex1

Absence Request Form

COM103
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0

Insurance Benefits Activities

Life Insurance
Long Term Disability Insurance
Social Security
Workers' Compensation
Wage Continuation
Unemployment Compensation
Health Insurance
Additional Information Resources

COM104

Healthcare Benefits Activities

1.0
2.0
3.0
4.0
5.0
6.0
7.0

Cost And Premiums

Eligibility
Enrollment
Coverage
Filing A Claim
Termination And Conversion Of Coverage
Additional Information Resources

Forms
Ex1

Benefits Enrollment/Change Form

COM105
1.0
1.1
1.2
1.3
1.4
1.5
2.0
3.0

Employee Retirement Income Security Activities

Plan Administration
Investment Policy Statement
Fidelity Bond
Fiduciary Liability Insurance
Employer Matching
In-Service Loans And Withdrawals
Employee Participation
Notice Procedures

3.1
3.2
4.0

Initial Notice
Annual Notices
Additional Information Resources

COM106
1.0
2.0
3.0
4.0
6.0
7.0

Consolidated Budget Reconciliation Activities

Plan Administration
Qualifying Events
Notice Procedure
Benefits Protection
Enforcement
Additional Information Resources

Development Procedures
DEV101
1.0
2.0
3.0
4.0
5.0
6.0

Development Management Activities

Development Planning
Training Effectiveness
Training Records
Training Courses
Performance Evaluations
Additional Information Resources

Forms
Ex1

Training Plan

DEV102
1.0
2.0
3.0

Training Reimbursement Activities

Eligibility
Approved Programs
Reimbursement

Forms
Ex 1

Request For Training

DEV103
1.0
2.0
3.0
4.0

Computer User & Staff Training Activities

MIS Training And Certification
MIS/LAN User Training
E-Mail Training
Software Applications

DEV104
1.0
2.0
3.0
4.0
5.0

Internet & E-Mail Acceptable Use Activities

Acceptable Use
Inappropriate Use
Internet And E-Mail Etiquette
Security
User Compliance

6.0

Additional Information Resources

Forms
Ex1

Computer And Internet Usage Policy

DEV105
1.0
2.0
3.0
4.0
5.0
6.0

Performance Appraisals Activities

Performance Appraisal Guidelines
Appraisal Preparation
Appraisal Discussion
Salary Adjustments
Appraisal Conclusion
Additional Information Resources

Forms
Ex1
Ex2

Self Appraisal Form

Performance Appraisal Form

DEV106
1.0
2.0
2.1
2.2
2.3
2.4
3.0
4.0
5.0
6.0

Employee Discipline Activities

Introduction To Misconduct
Responses To Misconduct
Verbal Warning
Written Warning
Suspension
Termination
Serious Misconduct
Very Serious Misconduct
Inexcusable Misconduct
Misconduct Investigations

Forms
Ex1

Disciplinary Notice

Compliance Procedures
CMP101
1.0
2.0
2.1
2.2
2.3
3.0
4.0
5.0
6.0
7.0

Workplace Safety Activities

Worksite Analysis
Hazard Prevention And Control
Safe Work Procedures
Protective Equipment
Fire Prevention
Hazard Communication Program
Medical Emergencies
Workplace Safety Training
Reporting And Record Keeping
Additional Information Resources

Forms
Ex1
Ex2
Ex3
Ex4
Ex5
Doc
Doc
Doc
Doc
Doc

Safety Suggestion Sheet

Workplace Safety Self-Inspection Checklist
Workplace Safety Action Plan
Workplace Safety Rules
Index of Hazardous Chemicals
Material Safety Data Sheet
Injuries and Illness Log
Summary of Injuries and Illness
Injuries and Illness Incident Report
Instructions for OSHA Forms

CMP102

People With Disabilities Activities

1.0
2.0
3.0
4.0
5.0
6.0

Background
Who Is Covered?
Employment Issues
Public Accommodations
Enforcement Of The Act
Additional Information Resources

CMP103

Annual And Medical Leave Activities

1.0
2.0
3.0
4.0
5.0
6.0
7.0

Reasons For Taking Leave

Advance Notice And Medical Certification
Job Benefits And Protection
Unlawful Acts
Enforcement
Employer Notices
Additional Information Resources

Forms
Ex 1
Ex 2

Certification Of Healthcare Provider

Employer Response To Employee Request

CMP104

Drug Free Workplace Activities

1.0
2.0
3.0
4.0
5.0
6.0

General
Prohibitions
Authorized Use Of Prescription Medicine
Drug Awareness Program
Disciplinary Actions
Additional Information Resources

CMP105

Health Insurance Portability And Accountability Activities

1.0
1.1
2.0
3.0
4.0

Management
Privacy Standards
Medical Records Maintenance
Medical Records Access
Additional Information Resources

Forms
Ex1

HIPAA Authorization Form

CMP106

Harassment & Discrimination Activities

1.0
2.0
3.0
4.0
5.0

Unacceptable Behavior
Complaint
Corrective Measures
Enforcement
Additional Information Resources

Job Descriptions Tab

WRITING JOB DESCRIPTIONS

INTRODUCTION
PURPOSE
SCOPE

WRITTEN COMMUNICATION
Non-discriminatory language
Active voice
Action verbs Plain English
FORMAT AND CONTENT
Effective Date
Department
Summary Of Functions
Essential Duties And Responsibilities
Grouping Several Tasks Into A Single Responsibility
Responsibility Statements
Delegated Responsibilities
Organizational Relationships
Reporting Relationships
The Organizations Environment
Qualifications
Mandatory Requirements
Key Selection Criteria
Physical Demands
Work Environment

Job Performance
Job Descriptions
Reasonable Accommodation
Accessibility
Employee Handbook
SECTION 1
1.0
1.1
1.2
1.3
1.4
1.5
1.5.1
1.5.2
1.5.3
1.6
1.6.1
1.6.2
1.6.3

INTRODUCTION
The Company Philosophy
The Company Mission
Equal Employment Opportunity Policy and Affirmative Action Plan
Employment-At-Will
Sexual Harassment
Safety
Safety Rules
Hazardous Wastes
Reporting Injuries and Accidents
Drug Free Workplace
Prohibitions
Drug Awareness Program
Disciplinary Actions

SECTION 2
2.0
2.1
2.1.1
2.1.2
2.1.3
2.1.4
2.2
2.2.1
2.2.2
2.2.3
2.2.4
2.2.5
2.2.6
2.2.7
2.2.8
2.2.9
2.2.10
2.3
2.3.1
2.3.2

EMPLOYMENT
Personnel Administration
HR Personnel Records
Contents of Personnel Files
Employee Information
Employee's Request for Review of Personnel Records
Management Review of Personnel Files
Service
Employee Categories
Job Posting Procedures
Employment of Relatives
Employment of Minors
Promotions
Transfer of Employees
Separation of Employment
Work force Reductions
Probationary Period
Extra Income
Process Improvement
Employee-Management Forums
Employee Suggestion Program

SECTION 3
3.0

COMPENSATION & BENEFITS

Benefit Eligibility

3.1
3.1.1
3.1.2
3.1.3
3.1.4
3.1.5
3.1.6
3.1.7
3.1.8
3.1.9
3.1.10
3.2
3.2.1
3.2.2
3.2.3
3.2.4
3.2.5
3.2.6
3.2.7
3.2.8
3.2.9
3.2.10
3.2.11
3.2.12
3.3
3.3.1
3.3.2
3.3.3
3.3.4
3.3.5
3.3.6
3.3.7
3.4
3.5
3.6
3.7

Payroll Information
Time Records
Pay Periods
Salary Compensation for Partial Pay Period
Pay Rate Schedule Hourly Paid Employees
Payroll Deductions
Overtime
Payroll Errors
Garnishment of Employee Wages
Authorized Check Pickup
Pay at Time of Separation
Attendance & Leave
Medical Leave Policy
Sick Leave Credit Limit
Sick Leave Policy Usage
Medical, Dental and Optical Appointments
Exhaustion of Accumulated Sick Leave
Pallbearer, Funeral, Emergency Leave
Civic Leave or Jury Duty
Voting
Military Leave
Maternity Leave
Parental Leave
Leave of Absence
Insurance
Hospitalization and Medical Insurance
Continuation of Group Health Insurance
Life Insurance
Long Term Disability Insurance
Social Security
Workers' Compensation
Unemployment Compensation
Savings Plan
Break Room
Employee Discounts
Educational Assistance

SECTION 4
4.1
4.1.1
4.1.2
4.1.3
4.1.4
4.2
4.2.1
4.2.2

EMPLOYEE RESPONSIBILITIES
Work Schedules
Working Hours
Salary Employees
Hourly Employees
Clean Work-Place
Legal & Ethical Conduct
Ethical Standards
Conflicts of Interest

4.2.3
4.2.4
4.2.5
4.2.6
4.3
4.3.1
4.3.2
4.3.3
4.3.3
4.4
4.4.1
4.4.2
4.4.3
4.4.4
4.4.5
4.4.6
4.4.7
4.4.8
4.4.9
4.5
4.5.1
4.5.2
4.5.3
4.5.4
4.5.5
4.5.6
4.5.7
4.5.8
4.6
4.6.1
4.6.2
4.6.3
4.6.4
4.6.5
4.6.6
4.6.7
4.6.8
4.6.9

Personal Conduct
Confidentiality
Bribes, Kickbacks and Illegal Payments
Patents and Copyrights
Misconduct
Serious Misconduct
Very Serious Misconduct
Inexcusable Misconduct
Misconduct Investigations
Transportation & Travel
Company Owned Vehicles
Personal Vehicles
Living Expense Allowance
Other Travel Expenses
Expense Records
Travel Advances
Expense Reimbursement Third Party
Expense Policies Violations
Company Credit Cards
Appearance & Belongings
Personal Appearance
Business Attire
Casual Attire
Inappropriate Attire
Personal Belongings
Alcohol and Drugs
Medication
Smoking Policy
Equipment & Facilities
Parking
Telephone Use
Motor Vehicle and Workplace Equipment Operation
Safety Equipment
Company Tools
Waste Prevention
Solicitation and/or Distribution
Security
Bulletin Board

EMPLOYEE HANDBOOK FORMS

a)
b)
c)
d)

Acknowledgement Of Receipt And Understanding

Statement Of Legal And Ethical Business Conduct
Drug-Free Workplace Policy Employee Acknowledgement
Job Related Accident

HR MANUAL
HR MANUAL is the total guidelines for the managers in the organization on
the subject of HUMAN RESOURCE.
The real work of managing people [human resource] is the responsibility of the line
managers. The HR department acts as a coordinator / advisory body to the line
managers, in addition to, its own administrative work.
Employee handbook is a major element of the HR manual. It is part of the HR
MANUAL.
The copy of HR MANUAL [ including the employee handbook] is given to the
managers only.
The copy of the EMPLOYEE handbook is given to the employees.
The TOTAL HR MANUAL development is a never ending assignment. It needs
updating every six months.
At the initial stage, it could take up to six months at least to complete the
manual/ handbook for a full time person, even if you employ an outside expert.
Once you have formed the HR manual list, you should sit with your boss

Analyse the list

Set the priority [ 1st. lot, 2nd. lot, 3rd. lot etc ]
Discuss the need for HO material, to uniform the approach
Discuss the need for local expert
Etc

Your priorities could be

Personnel records
Various forms required
Access control
Workplace rules
Employee hiring
Job descriptions
Employment applications
Interviewing applicants
Payroll administration
Training [ induction / orientation/development]
Employee handbook

You/Your senior management should agree to the priority list.

NOW YOU ARE READY FOR THE HARD WORK