Human Resource Management in Organizations
Trang 1Human
Resource
Management
Human Resource Management in Organizations
CHAPTER 1
Trang 2Learning Objectives
Define human capital
Identify where employees can be used as a core competency
Show the seven categories of HR functions
Provide an overview of four challenges
facing HR today
Trang 4Human Resource (HR) Management
Design of formal systems in an
organization to manage human talent for accomplishing
organizational goals
Trang 5Figure 1.1 - Typical Division of HR
Responsibilities: Selection Interviewing
Trang 6Types of Organizational Assets
Trang 7Human Capital
Collective value of the capabilities,
knowledge, skills, life experiences, and
motivation of an organizational workforce
Called intellectual capital to reflect following contributions of employees
Thinking
Knowledge
Creativity
Decision making
Trang 8Smaller Organizations and HR
Management
Trang 9• Protects corporate assets
against the many legal
issues
Negative
• Too bureaucratic, oriented, and costly and are comprised of
Trang 11Figure 1.2 - Where Employees Can be
a Core Competency
Trang 12Organizational Productivity
Trang 13Figure 1.3 - HR Approaches to
Improving Productivity
Trang 14Customer Service and Quality Linked
to HR
Human Resource Management
Customer
Affects organizational effectiveness
Trang 15Organizational Culture
Shared values and beliefs in an organization
Evolves over a period of time
Provides employees with rules for behavior
Is constant and enduring
Constitutes organizational climate
Affects service and quality, organizational productivity, and financial results
Trang 16 Political, social, and legal
Trang 17HR Management Functions
HR strategy and planning
Equal employment opportunity
Staffing
Talent management
Rewards
Risk management and worker protection
Employee and labor relations
Trang 18Figure 1.5 - Mix of Roles for HR
Departments
Trang 19Roles of HR Management
Administrative
• Clerical administration, recordkeeping, legal paperwork and policy implementation
• Major shifts - Use of technology and outsourcing
Operational and Employee Advocate
• Cooperate with managers and supervisors
• Identify and implement needed programs and policies in the organization
Strategic
• Address business realities
• Focus on future business needs
• Fit between human capital and business plans and needs
Trang 20Current HR Management Challenges
Trang 21Competition, Cost Pressures, and
Restructuring
• Caused to reduce the number of existing
employees attract and retain employees
with different capabilities
Job Shifts
• Inadequate supply of workers with the skills needed to perform the emerging new jobs Skill Shortages
Trang 22Integration of global operations,
management, and strategic alliances
Expatriate: Citizen of one country working in a
second country and employed by an organization
headquartered in the first country
Host-country national: Citizen of one country
working in that country and employed by an
organization headquartered in a second country
Third-country national: Citizen of one country
working in a second country and employed by an
organization headquartered in a third country
Types of global workers
Trang 23Globalization - Legal and Political
Trang 24Globalization - Challenges For
Global Human Resource
Strategy
People
Complexity
Risk
Trang 26Advantages of Technology
Improves the efficiency of the administrative
HR functions and reduces costs
Helps in strategic HR planning
Supports recruitment, selection and training
Contributes to organizational performance through collection and analysis of HR-related data
Trang 27Figure 1.8 - HR and Organizational Ethics
Trang 28Ethical Behavior and Organizational Culture
Trang 29Ethics and Global Differences
Differences in legal, political, and cultural values and practices in different countries
Global employers must comply with both their home-country laws and the laws of
other countries
Trang 30HR’s Role in Organizational Ethics
Trang 31Figure 1.9 - Examples of HR-Related Ethical Misconduct
Trang 32Sarbanes-Oxley (SOX)Act
Reduces likelihood of illegal and unethical
behaviors
HR issues - Major concerns are linked to
executive compensation and benefits
Requires companies to:
Establish ethics codes
Develop employee complaint systems
Have antiretaliation policies for employees who act
as whistle blowers to identify wrongful actions
Trang 33HR Management Competencies
and Careers
Trang 34HR Management as a Career Field
Trang 35Human Resource Professionalism and Certification
HR professionals need knowledge in following areas
Trang 36Figure 1.10 - HR Certifications at a Glance
Trang 37Human
Resource
Management
Strategic HR Management and Planning
CHAPTER 2
Trang 38Learning Objectives
Summarize the organization’s strategic
planning process
Explain the key differences between good
and bad strategy and suggest a way to force strategic asset reallocation
Outline how HR’s Strategies are merged with organizational strategies and give two
examples
Trang 39Learning Objectives
Discuss how one forecasts for supply and
demand of Human Resources
List options for handling a shortage and
surplus of employees
Identify how organizations can measure and analyze the effectiveness of HR management practices
Trang 40Strategy and Strategic Planning
Trang 41Figure 2.1- Strategic Planning
Process
Trang 42Organizational Mission
The guiding force and core reason for
existence of the organization and what makes it unique
Trang 43Strategic HR Management
Entails providing input into organizational
strategic planning and developing specific HR
initiatives to help achieve the organizational
goals
Develops processes that help align individual
employee performance with the
organizational strategic objectives
Trang 44Operationalizing HR Management Strategies
Trang 45Figure 2.2 - Areas Where HR Can
Develop Strategies
Trang 46H R Strategies for Global
• Reliability - Ability of the offshore vendor to deliver
• Responsiveness - Offshore vendor’s ability to make changes when necessary
Trang 47Figure 2.3 - Strategic HR Approaches
to International Staffing
Trang 48Human Resource Planning
Analyzes and identifies the need for and
availability of people so that the organization can meet its strategic objectives
Ensures right number of human resources with the right capabilities, at the right times, and in the right places
Trang 49Figure 2.4 – HR Planning Process
Trang 50Environmental Scanning
Assessment of internal and external
environmental conditions affecting organization
• External environment - Economic, political and
competitive forces
• Internal environment
• Quality and quantity of talent
• Organizational culture
• Talent pipeline and leadership bench strength
Helps identify strengths, weaknesses,
opportunities, and threats
Trang 51Figure 2.5 - HR Factors in the SWOT Analysis
Trang 52Succession Planning
Process of identifying a plan for the
orderly replacement of key employees
Trang 53Factors Affecting External Pool of Employees
Economic and Governmental Factors - Impact HR Planning
•Government regulations affect labor supply
•Tax legislation at local, state, and federal levels
Geographic/Competitive Evaluations
•Net migration
•Direct competitors
•International competition
Changing Workforce Considerations
• Aging of the workforce
•Growing diversity of workers
•Female workers and work-life balancing concerns
•Availability of contingent workers
•Outsourcing possibilities
Trang 54Planning for Internal Workforce Audit Current and Future Job Audits
•Existing jobs
•Number of individuals performing each job
•Reporting relationships
•Vital KSAs (knowledge, skills, abilities)
•Jobs needed to implement future organizational strategies
•Characteristics of anticipated jobs
Employee and Organizational Capabilities
Inventory
•Employee demographics
•Career progression
•Performance data
Trang 55Forecasting
Using information from the past and
the present to identify expected future conditions
Trang 56HR Forecasting Methods
•Estimates
•The rule of thumb
•The Delphi technique
Trang 57HR Forecasting Planning Periods
Short-range plans - Forecast for the
immediate HR needs of an
organization
Intermediate-range plans - Project one
to three years into the future
Long-range plans - Extend beyond
three years
Trang 58Forecasting External Supply of
Employees
Net migration into and out of the area
Individuals entering and leaving the workforce
Individuals graduating from schools and colleges
Changing workforce composition and patterns
Economic forecasts for the next few years
Technological developments and shifts
Actions of competing employers
Government regulations and pressures
Trang 59Figure 2.7 - Estimating Internal Labor Supply for a Given Unit
Trang 60Figure 2.8 - Managing Talent Supply Imbalance
Trang 61Best Practices to Carry Out Layoffs
Identify the work that is core to sustaining a profitable
business
Identify the knowledge, skills, and competencies
needed to execute the business strategy
Protect the bottom line and the corporate brand
Constantly communicate with employees
Pay attention to the survivors
Trang 62Severance Benefits and
Outplacement Services
Temporary payments made to laid-off
employees to ease the financial burden of unemployment
Outplacement services - Give displaced
employees support and assistance
Personal career counselling
Interviewing workshops
Referral assistance
Trang 63Legal Considerations for Workforce Reductions
Selection Criteria for Laying Off
•Title VII of the Civil Rights Act
•Age Discrimination in Employment Act
•Americans with Disabilities Act
Other Regulations
•Consolidated Omnibus Budget Reconciliation Act
(COBRA)
•Older Workers Benefit Protection Act (OWBPA)
•Worker Adjustment and Retraining Notification (WARN)
Trang 64Managing a Talent Shortage
Trang 65Figure 2.9 - Ways to Manage a Talent Shortage
Trang 66Figure 2.10 - HR Activities During
Mergers and Acquisitions
Trang 67 Labor contract obligations
Is complex when merger and acquisition
involves companies in different countries
Trang 68Changing the Organizational
Culture
Trang 69Measuring Effectiveness of Human Resources and Human Capital
Effectiveness: Ability to produce a
specific desired effect or result that can
be measured
Efficiency: Degree to which operations
are done in an economical manner
Trang 70HR Metrics and Analytics
HR Metrics: Specific measures tied to HR
performance indicators
HR analytics: An evidence-based
approach to making HR decisions on the
basis of quantitative tools and models
Trang 71Figure 2.11- Key HR Metrics
Trang 72Characteristics of HR metrics and
Analytics
Accurate data
Measures linked to strategic and operational
objectives
Clearly understood calculations
Measures provide information valued by executives Results can be compared both internally and
externally
Measurement data drive HR management efforts
Trang 73HR Benchmarking and Balanced
Score Card
Trang 74Figure 2.12 - Balanced Scorecard Framework
Trang 75Human Capital Effectiveness
Measures
Return on investment (ROI): Shows the value of investments
in HR activities
Human capital value added (HCVA): Shows the operating
profit per full-time employee
Human capital return on investment (HCROI): Shows the
operating profit derived from investments in human capital
Human economic value added (HEVA): Wealth created
per employee
Trang 76Human Capital Effectiveness
Measures
B A
C
ROI
A = Operating costs for a new or enhance system for the time period
B = One-time cost of acquisition and implementation
C = Value of gains from productivity improvements for the time period
Trang 77Human Capital Effectiveness
Trang 78Human Resources Audit
Formal research effort to assess the current state of HR practices
Audit areas
Staffing and compensation
Health and safety
Legal compliance
Administrative processes and recordkeeping
Employee retention and benefits
Trang 79HR Audit Levels
Compliance Audit
• Checks record keeping on state and federal paperwork requirements
Benefit Program Audit
• Reviews regulatory compliance, benefits administration and reporting
1-9 Audit
• Reviews compliance with immigration regulation and the 1-9 form requirement
Specific Program Audit
• Reviews specific HR subareas such as compensation, EEO, or training
Full HR Audit
• Reviews all of the above plus any and all other HR functions