Promotion

promotion- meaning types basis and methods

1. PROMOTION in HRM
Presented By--
Dr. jyotikhare
Associate Professor
Faculty of commerce
Govt. P. G. College
Maldevta, Raipur
Dehradun

2. What is PROMOTION?
Understandingofconceptof‘PROMOTION’variestoitsobjetivesandperson/placeused
InHRM,Promotionisverticalmovementofanemployeewithintheorganization.
Inotherwords,promotionreferstotheupwardmovementofanemployeefromonejob
toanotherhigherone,withincreaseinsalary,statusandresponsibilities.
Apromotioncanrefertotheadvancement ofanemployee'sposition,creating
awarenessaroundcertainproductdeals.
Thetermisuseddifferentlyindifferentcontexts,themostpopularbeingajobpromotion.
InMarketing,Promotionisamarketingtool,usedasastrategytocommunicatebetween
thesellersandbuyers.
Thistechniqueofmarketingcreatesaninterestinthemindsetofthecustomersandcan
alsoretainthemasaloyalcustomer.
Ininvestments,apromotioncreatesawarenessoflittleknownstocksinthehopeof
increasingdemandandthepriceofthestock.

3. DEFINITIONS OF PROMOTION
AccordingtoScottandClothier-“Apromotionisthetransferofan
employeetoajobwhichpaysmoremoneyoronethatcarriessome
preferredstatus.”
AccordingtoPaulPigorsandCharlesA.Myers,Promotionisadvancement
ofanemployeetoabetterjob-betterintermsofgreaterresponsibility,
moreprestigeorstatus,greaterskillsandespeciallyincreasedrateofpayor
salary.
Apromotionmaybedefinedas“anupwardadvancement ofan
employeeinanorganisationtoanotherjob,whichcommandsbetterpay/
wages,betterstatus/prestigeandhigheropportunitieschallengesandre-
sponsibilityabetterworkingenvironment,hoursofworkandfacilitiesetc.”

4. FEATURES OF PROMOTION
(i) Improves job, status and prestige.
(ii) Gives more responsibility.
(iii) Brings increase in pay and perks.
(IV)Promotion Handles the New Job Efficiently
(V)Promotion Motivates Higher Morale
(VI) It Ensures More Efficiency
(VII) Cost in Training will be Less

5. PURPOSE OF PROMOTION
For the optimum utilization of the employees’ skill, knowledge at the
appropriate level.
For the development of competitive spirit and inculcate the enthusiasm in
the employees
To develop competent internal source of employees ready to take up jobs
at higher levels in the changing environment.
To promote employee’s self-development and be ready for the promotion
as and when their turn of promotion occurs.
To promote interest in training, development programmesand in team
development areas.
To get rid of the problems created by the leaders of workers’ unions

6. TYPPES OF PROMOTION
VERTICAL PROMOTION
HORIZONTAL PROMOTION
DRY PROMOTION

7. TYPPES OF PROMOTION
VERTICAL PROMOTION :There is a change in the status, responsibilities, job
classification and pay. To illustrate, the promotion of a marketing superintendent as
marketing manager.
HORIZONTAL PROMOTION :The position of the employee concerned has been
upgraded with some pay increase but the nature of his job remains the same. This is
known as upgradation of an employee.
DRY PROMOTION :An increase in responsibilities and status without any increase in
pay or other financial benefits is termed as dry promotion. For example, a professor in
a university becomes Head of the Department.
OPEN PROMOTION :An open promotion system is the system where it is willing to
consider all individuals within its organisationas potential candidates and also
announces internally such position openings.
Closed Promotion: Where an organisationdoes not so announce vacancies or
where the candidacy is restricted and is not open for all individuals within the
organisationfor the promotion openings, the company is said to have a closed
promotion system

8. OTHER TYPPES OF PROMOTION
Competitivepromotionsinvolveemployeesprovingtheirworthin
comparisontootheremployees.Thismethodfocusesmostlyon
performance,productivity,skills,experience,knowledge,andothersimilar
factors.
Noncompetitivepromotionstakeplaceafteremployeesreachastandard
setmilestoneoraccomplishment.Thesepromotionslookmainlyatreaching
goalsratherthanvariablefeatureslikeperformance,productivity,etc.
Up-gradationpromotionstakeplacewhenthepayincreases,butthejob
titleandrankstaythesame.

9. BASIS OF PROMOTION
PROMOTION BY SENIORITY
(develop sense of loyalty and morale, limits
casteism nepotism etc.)
PROMOTION BY MERIT
(measure of employees’ contribution, performance
Potentiality, encouragement , recognition)

10. METHODS USED IN PROMOTION
(1) Promotional Examination: Open Promotion
Limited Promotion
PaasPromotion
(2) Efficiency Rating: Production Record
Graphics Rating Scale
Personality Inventory System
(3) Personal Judgement Of The Head Of The Department

11. BENEFITS OF PROMOTION
Recognizes and promotes employee performance, ambition, and morale
Boosts motivation and increases employee loyalty
Encourages retention
Develops competitive spirit in the workplace
Grooms future leaders
Reduces employee resistance and discontent

12. THANK YOU