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CHAPTER ONE

INTRODUCTION

1.1     BACKGROUND OF THE STUDY

Relationships between employees and management are of substantial value in any workplace. Human relations is the process of training employees, addressing their needs, fostering a workplace culture and resolving conflicts between different employees or between employees and management. Understanding some of the the ways that human relations can impact the costs, competitiveness and long-term economic sustainability of a business helps to underscore their importance.Human relations in the workplace are a major part of what makes a business work. Employees must frequently work together on projects, communicate ideas and provide motivation to get things done. Without a stable and inviting workplace culture, difficult challenges can arise both in the logistics of managing employees and in the bottom line. Businesses with engaging workplaces and a well-trained workforce are more likely to retain and attract qualified employees, foster loyalty with customers and more quickly adapt to meet the needs of a changing marketplace.The quality of workplace relations is critical to employee retention.
Employee retention may seem trivial -- especially in a workplace that is used to a high turnover -- but managers must remember that turnover is financially very costly. Every new employee requires a substantial investment of time and energy in their recruitment and training. In addition, severing ties with old employees can sometimes be challenging, especially if the circumstances are not particularly amicable. Making sure quality employees remain interested and engaged in the business requires patience, compassion and flexibility, but can actually make the business more financially sound.Workplace relationships provide a source of employee motivation, which is important to maintaining productivity. Employees who are interested in their work and in the well-being of other employees tend to be more productive than those who are not. This productivity pays obvious financial dividends to the company, as it can get more done in less time with fewer costs. Building relationships, by both recognizing an employee's value to the company and a concern for their needs, often goes a long way.
The modern business environment often rewards businesses that are able to quickly develop products that meet changing consumer needs. In some industries -- such as technology, for example, employees' ability to come up with effective new ideas is often the difference between the entire company's success and failure. According to Sallyport Magazine, research shows that creativity is based to large degree in social interaction. Employees' creativity is often dependent on their ability to communicate with other employees and share ideas. Without quality workplace relationships, employees are less likely to be able to develop and share the solutions that a business needs to survive.The research therefore seek to provide an evaluation of human relation on worker productivity.  
1.2      STATEMENT OF THE PROBLEM
One of the most significant developments in recent years has been the increased importance of interpersonal skills in almost every type of work setting. For many employers, interpersonal skills represent an important category of transferable skills a worker is expected to bring to the job. Technical ability only is usually not enough to achieve career success. Studies indicate that many people who have difficulty in obtaining or holding a job possess the needed technical competence but lack interpersonal competence.Owners and managers of profit and nonprofit organizations define human relations as fitting people into work situations so as to motivate them to work together harmoniously. The process of fitting together should achieve higher levels of productivity for the organization, while also bringing employees economic, psychological, and social satisfaction. Human relations covers all types of interactions among people—their conflicts, cooperative efforts, and group relationships. It is the study of why our beliefs, attitudes and behaviors sometimes cause interpersonal conflict in our personal lives and in work-related situations. However, Many organization do not give importance to this aspect of work place condition. They neglect the aspect of human relation both between management and staff and between co –workers, through in effective communication channel, lack of cooperation and integration, unresolved complaints and conflict and maintain more of a rigid  formal work environment that do not enhance worker motivation and commitment. Therefore the problem confronting this research is to  provide an evaluation of human relation on worker productivity
1.3       RESEARCH   QUESTIONS
1.   What is the nature of human relation and its effect on worker productivity?
2.   What is the nature of human relation and its effect on worker productivity in union bank?  
1.4       OBJECTIVE OF THE STUDY
1.  To determine the nature of human relation on worker productivity
2.  To determine the nature of human relation on worker productivity in Union BANK
1.5       SIGNIFICANCE OF THE STUDY
The study shall re –invent the culture of interpersonal relationship work skill in the organization as  a necessary tool for fostering unity , cooperation, problem sharing and solving, communication and integration of workers in the organization it shall also serve as a good source of information for managers and institutions.
1.6       STATEMENT OF  HYPOTHESIS  
1     Ho  Staff productivity in union Bank is low
       Hi    Staff   Productivity in Union   Bank is high    
2     Ho   Human relation in  union Bank is low
       Hi     Human  relation in  UNION    BANK    is  high    
3     Ho   Impact of human relation on staff  productivity in Union Bank is low.
       Hi     Impact of human relation on staff  productivity in Union Bank is high      
1.7    SCOPE OF THE STUDY
The study focuses on  the evaluation   of human relation on worker productivity with a case study of UNION BANK PLC  
1.8     DEFINITION OF TERM  
HUMAN RELATION DEFINED   Human relations refers to the researchers of organizational development who study the behaviour of people in groups, in particular workplace groups and other related concepts in fields such as industrial and organizational psychology. It originated in the 1930s' Hawthorne studies, which examined the effects of social relations, motivation and employee satisfaction on factory productivity. The movement viewed workers in terms of their psychology and fit with companies, rather than as interchangeable parts, and it resulted in the creation of the discipline of human resource management.Elton Mayo stressed the following:The power of natural groups, in which social aspects take precedence over functional organizational structures.The need for reciprocal communication, in which communication is two way, from worker to chief executive, as well as vice versa.The development of high quality leadership to communicate goals and to ensure effective and coherent decision making.    
MENTAL PERCEPTION   Mental perceptions are influenced by everything that has passed through an individual's mind. That includes all of a person's experiences, knowledge, biases, emotions, values, and attitudes. No two people have identical perceptions because no two people have precisely the same experiences.  
ETHICS   Ethics refer to moral rules or values governing the conduct of a person or group. Perhaps more than anything else, an individual's adherence to values related to what is morally right determines the respect that others hold for that person. Lack of respect for one individual by another is likely to lead to poor human relations between the two.  
PERSONALITY   An individual's personality is the totality of complex characteristics, including behavior and emotional tendencies, personal and social traits, self-concept, and social skills. The objective of many training sessions for employees and supervisors is to improve a person's ability to get along with others. A person's personality has a major impact on human relations skills.  
ATTITUDE   An attitude is a mental position one possesses with regard to a fact, issue, or belief. Attitudes that often present problems in the workplace are those that concern biased and prejudiced viewpoints. Generally, employees who possess positive attitudes and who are open-minded are judged to have more desirable personalities than those with negative attitudes who hold biased viewpoints.    
COMMUNICATION   Good communication is essential for the smooth functioning of any organization. Managers need clear lines of communication to transmit orders and policies, build cooperation, and unify groups. Employees must be able to convey their concerns or suggestions and feel that management has heard them. Clear communication among co-workers is vital to good teamwork, problem solving, and conflict management. In short, effective human relations is founded on good communication.  

REFERENCES
Bruce, Kyle. "Henry S. Dennison, Elton Mayo, and Human Relations historiography."Management & Organizational History 2006, 1: 177–199.
DuBrin, A J (2007). Human Relations Interpersonal Job-Oriented Skills (9 ed.). New Jersey: Pearson Prentice Hall. p. 2.
Taneja, S, Pryor, M G & Toombs, L A 2011, ‘Frederick W. Taylor's Scientific Management Principles: Relevance and Validity’, Journal of Applied Management and Entrepreneurship, Vol 16, No 3, pp 60-78.  
Taneja, S, Pryor, M G, Humpheries J H & Toombs, L A (2011)."Where Are the New Organization Theories? Evolution, Development and Theoretical Debate". International Journal of Management 28 (3): 959–978.

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