1 Introduction To Human Resource Management

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Human Resource Management

HRM

Gary Dessler
Our syllabus will include these chapters:
• Ch. 1- Introduction to Human Resource Management
• Ch. 3- Human Resource Management Strategy
• Ch. 4- Job Analysis
• Ch. 5- Personnel Planning and Recruiting
• Ch. 6- Selection
• Ch. 7- Interviewing Candidates
• Ch. 8- Training and Developing Employees
• Ch. 9- Performance Management and Appraisal
• Ch- 10- Managing Employee Career
• Ch. 11& 12 - Compensations
1
Introduction to Human
Resource Management

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The purpose here is to explain what human resource
management is, and why it’s important to all
managers. We’ll see that human resource
management activities such as hiring, training,
appraising, compensating, and developing employees
are part of every manager’s job. In addition, we’ll see
that human resource management is also a separate
function, usually with its own human resource or “HR”
manager. The main topics we’ll cover include the
meaning of human resource management; why
human resource management is important to all
managers, global, competitive trends, human resource
management trends, and new human resource
manager traits.
Learning Objectives

1. Explain what human resource management


is and how it relates to the management
process.
2. Show with examples why human resource
management is important to all managers.
3. Illustrate the human resources
responsibilities of line and staff (HR)
managers.
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Learning Objectives

4.Briefly discuss and illustrate each of the


important trends influencing human resource
management.
5.List and briefly describe important traits of
today’s human resource managers.
6.Define and give an example of evidence-based
human resource management.

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Explaining what human
resource (HR) management
is and how it relates to the
.management process

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What is human resource (HR)
management and why is it
?important
how it relates to the
management process?

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The Management Process
Planning

Controlling Organizing

Leading Staffing

Organization is groups of individuals with formally assigned roles, such individuals


generally work together to achieve the common goals of an organization.
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The Management Process
No matter what your job, planning involves establishing goals,
rules and procedures and attempting to forecast the future.
Planning will enhance your ability to manage people and
functions. Organizing function is to distribute resources and organize people
within a structure with assigned tasks. Staffing is about people aspects of the mgt
process. Leading considers employees’ morale to get job done by others.
Controlling is to compare results with standards and correct deficiencies.
For our purposes, we will focus our efforts on basic staffing
functions. These include:
• Acquiring talented employees
• Training new hires and existing managers and employees
• Creating and administering effective performance appraisals
• Properly compensating employees, and,
• Attending to concerns about labor relations, health, safety, and
fairness 10-1
Human Resource Management at Work

What is Human Resource Management (HRM)?


The policies and practices involved in carrying out the ‘people’ or
:human resource aspects of a management position, including
Recruiting, managing, screening, developing, orienting, training,
rewarding, and appraising employees at work, and of attending
.to their labor relations, health, safety, and fairness concerns

• Human resource (HR) management is the function (mgt.


systems) performed in organizations that facilitates the efficient
& effective use of employees to achieve organizational and
individual goals.

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Action-Oriented
Although HRM uses rules, and
People-Oriented
records, but it stresses action. HRM
HRM should treats each employee as
emphasizes the solution of
individual and offers services to meet
employment problems to achieve
the individual’s needs.
org. goals & facilitates employees’
development & satisfaction

HRM Unit

Globally-Oriented
Future-Oriented Organizations around the world treat
Human resources need to be people fairly, with respect &
involved in organization’s long term sensitivity. Companies can review
strategic plans. They have to be HRM practices in other countries to
competent & well-motivated. learn more & if some acts can be
applied. HRM also may be affected
by global events.
Human Resource Management at Work
Acquisition

Fairness Training

Human
Resource
Management
Health and
(HRM) Appraisal
Safety

Labor Relations Compensating

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Functions of HRM :

Acquisition- Recruiting:
Contacting a pool of qualified applicants is one of the most critical
aspects of recruiting. Word of mouth, newspaper advertisements, and
college visits are often supplemented or replaced altogether by job
postings on the Internet. reach a larger pool of potential job applicants
and assist in determining if an applicant possesses some of the basic
skills.
The success of recruiters and employment specialists generally is
measured by the number of positions they fill and the time it takes to fill
those positions. They advertise job postings, source candidates, screen
applicants, conduct preliminary interviews and coordinate hiring efforts
with managers responsible for making the final selection of candidates.
Training and Development
Employers must provide employees with the tools necessary for their
success which, in many cases, means giving new employees extensive
orientation training to help them transition into a new organizational
culture. Many HR departments also provide leadership training and
professional development. Leadership training may be required of newly
hired and promoted supervisors and managers on topics such as
performance management and how to handle employee relations
matters at the department level. Professional development opportunities
are for employees looking for promotional opportunities or employees
who want to achieve personal goals such as finishing a college degree.
Compensation and Benefits
The compensation and benefits functions of HR often can be
handled by one HR specialist with dual expertise. On the
compensation side, the HR functions include setting compensation
structures and evaluating competitive pay practices. A comp. and
benefits specialist also may negotiate group health coverage rates
with insurers and coordinate activities with the retirement savings
fund administrator. Payroll can be a component of the
compensation and benefits section of HR; however, in many cases,
employers outsource such administrative functions as payroll.
 Performance Appraisal function monitors employee performance to
ensure that it is at acceptable levels. Human resource professionals
are usually responsible for developing and administering performance
appraisal systems, although the actual appraisal of employee
performance is the responsibility of supervisors and managers.
Besides providing a basis for pay, promotion, and disciplinary action,
performance appraisal information is essential for employee
development since knowledge of results (feedback) is necessary to
motivate and guide performance improvements.

Career Planning:  has developed partly as a result of the desire of


many employees to grow in their jobs and to advance in their career.
Career planning activities include assessing an individual employee’s
potential for growth and advancement in the organization. 
Safety
Workplace safety – providing a safe working environment for employees
is an important factor. One of the main functions of HR is to support
workplace safety training and maintain the laws of safety for workplace
injury and accident reporting. In addition, HR safety and risk specialists
often work closely with HR benefits specialists to manage the company's
workers compensation issues.
Employee Relations
In a unionized work environment, the employee and labor
relations functions of HR may be combined and handled by one
specialist or be entirely separate functions managed by two HR
specialists with specific expertise in each area. Employee
relations is the HR discipline concerned with strengthening the
employer-employee relationship through measuring job
satisfaction, employee engagement and resolving workplace
conflict. Labor relations functions may include developing
management response to union organizing campaigns,
negotiating collective bargaining agreements of labor union
issues.
Why Is HR Management Important to All
Managers? Avoid useless costs & increase profits

Managers don’t want to make personnel mistakes,


such as hiring the wrong person, having their
company taken to court because of discriminatory
actions, committing unfair labor practices, or having
high turnover or demotivated employees.
HRM can improve profits and performance by hiring
the right people and motivating and training them
appropriately. It is also possible you may spend some
time as an HR Manager, so being familiar with this
material is important.
The main reasons for adopting strategic HRM practices
(HRM Aims & Objectives)

• To help all employees reach optimal performance and to use fully


their capacity and potential,
• To convince employees to exert more effort for reaching
organizational goals, mission & vision.
• To meet employees’ career expectations and development,
• To unify organizational plans and HR strategies and create and
maintain a corporate culture, in addition to ensure employees
commitment. Commitment is fostered by using various strategies
including coaching, mentoring and rewarding
• Offering a working environment stimulating hidden creativity and
energy, innovation,& encourage teamwork (Synergy effect) , and total
quality concept to reach organization excellence,
• To encourage flexibility for achieving organizational change&
learning organization.
Human Resource (HR)
Responsibilities of Line
and Staff Managers

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Line and Staff Managers

• Line authority gives you the right to issue orders


Line manager
– A manager who is authorized to direct the work of subordinates
and is responsible for accomplishing the organization’s tasks
• Staff authority gives you the right to advise others
in the organization
Staff manager
– A manager who assists and advises line managers

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• If you are a line manager, you will hold responsibilities to issue
orders, provide directions and establish rules and procedures.
For example, as a sales manager, you will be responsible for
requiring adherence to your rules relative to sales quotas and
goals.
• On the other hand, an HR manager is a staff manager and, like
all staff managers, is responsible for influencing and advising
others. Within the HR department you may be responsible for
establishing goals and giving orders to those in your
department thus serving as a line manager within HR. Your
principal duty to the organization as a whole, however, is that
of a staff function, much the same as a purchasing
department.
• Staff departments may include finance, accounting, and
logistics. Sales, production, and operations departments
generally are considered line functions.
Human Resource Duties
Line Managers
• Job placement
• Orientation & Training
• Improving Performance
• Cooperative relations
• Motivating, Morale
• Development
• Safety & health concerns

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Human Resource Managers’ Duties
Line Function Coordinative
Line Authority Function
Implied Authority Functional Authority

Within HR Ensures the


department implementation of HR
policies, & coordinates
Functions of personnel activities
HR Managers

Staff Functions
Staff Authority
Innovator Advices on hiring, training,
evaluation, rewarding, firing
New ways for better utilization
of employees 26
Human Resource Specialties
Search for qualified people
Recruiters

Labor Relations Information


Job Analysts
Specialists about job
Human
Resource
Plan, Specialties Compensation
Training Compensation
organize, & benefits
Specialists Managers
direct plans
training Performance
activities

• Cooperative Line & Staff HRM


Line managers & HR manager share in many HR activities as in recruiting,
interviewing, and hiring, training, job description, appraisal ….etc.
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Important Trends in Human
Resource Management

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The Changing Environment of Human Resource Management

Globalization Trends

Technological Trends
Changes and Trends
in Human Resource
Management
Trends in the Nature of Work

Workforce Demographic Trends

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Globalization
• A process of interaction and integration among the
people, companies, and governments of different
nations, driven by international trade and investment,
accelerated by information technology
• Firms extend sales, ownership, partnerships, and
manufacturing to other countries
• Offshoring- exporting jobs to lower labor costs

(affect HR functions like training as language & culture,


compensating as benefits package accommodation costs ..)

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Trends in the Nature of Work

• High-tech jobs
• Service jobs
• Knowledge work and
human capital
human capital, refers to the knowledge,
education, training, skills, and expertise of a
firm’s workers. Today’s (and tomorrow’s) best
jobs will go to the individuals with the best
reading, math, and communication skills. In
other words, the best knowledge workers will
be hired first.

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Trends in the Nature of Work – Jobs are changing due to new
technological demands. Dramatic increases in productivity have allowed
manufacturers to produce more with fewer employees. Nontraditional
workers, such as those who hold multiple jobs, “contingent” or part-time
workers, or people working in alternative work arrangements, enable
employers to keep costs down.
 
1. High-Tech Jobs – More jobs have gone high tech, requiring workers to
have more education and skills.
 
2. Service Jobs – Most newly created jobs are and will continue to be in
the service sector.
 
3. Knowledge Work and Human Capital – This refers to the knowledge,
education, training, skills, and expertise of a firm’s workers. The HR
function must employ more sophisticated and creative means to identify,
attract, select, train, and motivate the required workforce.
Technological Trends
• Smart phones
• Tablet computers
• Facebook
(Job seeking, recruiting, flexible hours)
The speed of information exchange has contributed to the growth of social
networking sites such as Facebook and LinkedIn. Facebook, for example,
offers Facebook recruiting which provides a rapid conduit between employers
and job-seekers

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Demographic variables:
• Aging differences ( silents 1925-46),
babyboomers (1946-64) , xers (1965-76), yers
(77-90s)
• Religion
• Cultural differences
• Educational levels …. Workforce diversity

** Training (language, culture, values) , Dealing


with different needs & motives
Workforce Demographic Trends – The labor force is getting older and more multi-
ethnic. The aging labor force presents significant changes in terms of potential
labor shortages, and many firms are instituting new policies aimed at encouraging
aging employees to stay, or at re-hiring previously retired employees. Growing
numbers of workers with eldercare responsibilities and high rates of immigration
also present challenges and opportunities for HR managers.
 
“Generation Y” – Born between 1977 and 2002, these employees want fair and
direct supervisors and aim to work faster and better than other workers.
 
Retirees – Organizations must deal with the large number of people leaving the
workforce. In many cases the number of younger workers entering the workforce is
not enough to fill all of the vacated positions.
 
Nontraditional Workers – These workers may hold multiple jobs and may be
contingent or part-time employees. Technology is facilitating these alternate work
arrangement.
 
Workers from Abroad – This is one way that organizations are trying to overcome
the large number of retirees, but the option is sometimes met with opposition as
unemployment increases.
Baby Boomers: born between 1946 and 1964. Baby Boomers have been
working the longest and have extensive knowledge and experience. They want
and oftentimes expect others to value their input and opinions. Baby Boomers
believe that hard work equates to long hours and that integrity in the workforce
should be top priority. They are known to “live to work” and place extreme value
on career advancement and promotion. They enjoy working in a team
environment and are said to have created meeting culture.
Generation X: born between 1965 and 1981. Generation X has been through a
roller-coaster of economic events. Downturns and upswings have impacted their
career choices, career successes, and career futures. Unlike the Baby Boomers,
Generation X has a more “work to live” mentality and value their life outside of the
workplace. While they have a good work ethic, their work-life balance is of highest
importance to them.

https://courses.lumenlearning.com/wm-organizationalbehavior/chapter/workforce-generations/
Generation Y: born between 1982 and 1997. Generation Y, also known as
Millennials, are the youngest members of the current workforce. Generation
Y typically grew up with two working parents and a to-do list constantly on
display throughout their childhood. Because of this, Generation Y has the
ability to multitask and also values work-life balance. However, differently
from Generation X, Generation Y believes they need to accomplish things on
their to-do list in order to enjoy their free time. Therefore, Generation Y tends
to be very goal oriented and efficient.
Generation Z: born between 1997 and today. Generation Z has never
known a world before technology. They have grown up in an “always on”
world where technology is readily available and used on a regular basis.
Technology has been utilized as a babysitter by many parents of this
generation and it is also present in the classroom. This constant access to
technology makes Generation Z extremely tech savvy but has also changed
behavior and lifestyle. Whether or not these behavioral and lifestyle changes
will carry on into their adulthood is yet to be determined. Generation Z is
starting to enter into the workforce with the oldest members turning 22-years-
old in 2019.
Evidence-basedHuman Resource
Management

Evidence-based human resource management involves the


use of the best available evidence with respect to human
resource practices.

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Big Transactional
picture Services

The New
Human Talent
Competencies Resource Management
Managers
Performance,
results,
evidence- Employee Ethics
based Engagement
practice
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The New Human Resource Managers –
Today, we’ve seen that companies are competing in a very challenging
new environment. Globalization, competition, technology, workforce
trends, and economic upheaval confront employers with new
challenges.
In that context, employers expect and demand that their human
resource managers exhibit the competencies required to help the
company address these new challenges proactively. Management
expects HR to provide measurable, benchmark-based evidence for its
current efficiency and effectiveness, and for the expected efficiency
and effectiveness of new or proposed HR programs. Management
expects solid, quantified evidence that HR is contributing in a
meaningful and positive way to achieving the firm’s strategic aims.
• They Focus More on Strategic, Big Picture Issues – HR
Managers are more concerned with creating and administering HR
policies that assist the organization in achieving its strategic
objectives.
• They Use New Ways to Provide Transactional Services – HR
Managers are having to be creative in how they offer services.
Technology has drastically changed the way HR can deliver services
such as benefits and recruiting information.
They Take an Integrated, “Talent Management” Approach to
Managing HR – Employers do not want to lose great talent to
competitors, so managing employees involves creating an integrated
process of identifying, recruiting, hiring, and developing high-potential
employees
• They Manage Ethics – Many ethical issues in organizations today are
human resource issues. HR Managers must understand the ethical
implications of their decisions.
• They Manage Employee Engagement - HR Managers need the skills
to foster and manage employee engagement. People who are
emotionally and mentally invested in the company are more successful.
• They Measure HR Performance and Results – Many companies are
expecting HR, like other departments, to take action based on
measurable results. For example, measuring the effectiveness of
recruiting sources and then improving recruitment based on these
results.
• They Use Evidence-Based Human Resource Management – This
involves the use of data, facts, analytics, scientific rigor, critical
evaluation, and critically evaluated research/case studies to support
human resource management proposals, decisions, practices, and
conclusions.
• They Add Value - From top management’s point of view, it’s not
sufficient that HR management just oversee activities such as recruiting
and benefits. HR must add value, particularly by boosting profitability
and performance in measurable ways.
• They Have New Competencies - Adding value, strategizing, and using
technology all require that human resource managers have new
competencies. HR Managers still need proficiencies in functional areas
such as selection, training, and compensation, but they also require
broader business competencies like:
- Decisions - Set structure
- Problem solving
- Understanding in other dep .s & fields in the organizations
- Implement org change
- defending HR plans measurably
Appendix
Guiding Theories in Human Resource Management

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