human resources management _ section 1-basics of hrm

Learning Objectives After you study this section, you should be able to: – Define HR management and explain why managers and HR staff must work together.. – Discuss why human resources

Learning Objectives

After you study this section, you should be able to:

– Define HR management and explain why managers and

HR staff must work together

– List and define the seven categories of of HR activities – Identify three challenges facing HR today

– Discuss why human resources can be a core

competency for organizations

– Describe the four roles of HR management

– Discuss why ethical issues affect HR management

– Consider HRM as a career field

Nature of Human Resource Management

– The design of formal systems in an organization to

ensure effective and efficient use of human talent to accomplish organizational goals

– In the course carrying out their duties, every operating manager is, in essence, an HR manager

– HR specialists design processes and systems that

operating managers help implement

– However, in the practice, the position of HR

Manager/Director is reserved for a HR specialist in

Cooperation of HR with Operating Managers

– Sends top three applicants

to managers for final review

– Checks references

– Does final interviewing and

hiring for certain job

classifications

 Managers

– Advise HR of job openings – Decide whether to do own final interviewing

– Receive interview training from HR unit

– Do final interviewing and hiring where appropriate – Review reference

information – Provide feedback to HR unit on hiring/rejection decisions

HR Activities

HR

Management

Activities

Smaller Organizations and HR Management

Compliance with

Government

Regulations

Shortage of Qualified Workers

Increasing Costs of Benefits

Rising Taxes

Issues of Greatest Concern

HR Management Challenges

– Outsourcing and increased competition

– The threat of terrorism

– Occupational shifts from manufacturing and

agriculture to service industries and

telecommunications

– Pressures of global competition causing firms to

adapt by lowering costs and increasing productivity

 Technological Shifts and the Internet

– Growth of information technology

HR Management Challenges

– Inadequate supply of workers with needed skills for

“knowledge jobs”

– Education of workers in basic skills

– Increases in temporary workers, independent

contractors, leased employees, and part-timers

caused by:

• Need for flexibility in staffing levels

• Increased difficulty in firing regular employees

• Reduced legal liability from contract employees

HR Management Challenges

– More diversity of nationalities, hometown origin (the city

or distant provinces), gender, age, and ethnicity

– Other diversity: educational background, etc

 More diversity, more discrimination

– Dual-career couples

– Single-parent households

– Working mothers and family/childcare

HR Management Challenges

– Mergers and Acquisitions (M&A)

– “Right-sizing” - eliminating of layers of management, closing facilities, merging with other organizations, and outplacing workers

• Intended results are flatter organizations, increases in

productivity, quality, service and lower costs

• Costs are “survivor mentality”, loss of employee loyalty,

and turnover of valuable employees

– HR managers must work toward ensuring cultural

compatibility in mergers

Human Resources as a Core Competency

– Organizational use of employees to gain or keep a competitive advantage against competitors

– A unique capability in the organization that creates high value and that differentiates the organization from its competition

Possible HR Areas for Core Competencies

HR-Based Core Competencies

– The shared values and beliefs of the workforce

– A measure of the quantity and quality of work

done, considering the cost of the resources used – A ratio of the inputs and outputs that indicates the

value added by an organization

– High quality products and services are the results of HR-enhancements to organizational performance

Different Roles for HR Management

Strategic Role for HR

• Involving HR in strategic planning at the onset

• Participating in decision making on mergers, acquisitions,

and downsizing

• Redesigning organizations and work processes

• Accounting and documenting the financial results of HR

activities

HR Management Roles

– Clerical and administrative support operations (e.g., payroll and benefits work)

– “Champion” for employee concerns

• Employee crisis management

• Responding to employee complaints

How HR Spends Its Time

Overview of HR Management Roles

Changing Roles of HR Management

New Approaches to HR Management

– The process of HR professionals from several

different organizations working jointly to address

shared business problems

• Firms benefit from the expertise of other firms, without

having the time and expense of developing some of their own HR practices

HR Technology

(HRMS)

– An integrated system providing information used by

HR management in decision making

• Automation of payroll and benefit activities

• EEO/affirmative action tracking

• HR Workflow: increased access to HR information

Ethics and HR

– What “ought” to be done  Code of ethics

– Dimensions of decisions about ethical issues in

Examples of Ethical Misconduct in HR Activities

Ethical Issues in Management

– Lying to supervisors

– Employee drug use or alcohol abuse, cigarette use in the workplace

– Falsification of records

– Gift giving and bribery (corruption)

– Discrimination in hiring and treatment

– Code of ethics

HR Management as a Career field

– Knowledge of business and organization

– Influence and change management

– Specific HR knowledge and expertise

HR Specialists

ESSENTIAL PERSPECTIVES

 HR as core competency of the organization

 HR body as strategic partner

 HR functions as career field

 HR practices follow a flow of employees from IN to OUT

–Performance management &

Appraisal

Retaining people:

–Compensation &

Benefits –Health, Safety, &

Employee rights –Labor relations

– Lay off

– Termination

– Retirement