Introduction to Human Resource Management



Introduction to Human Resource Management
Chapter 1

After studying this chapter, you should be able to:
  1. Explain what human resource management is and how it relates to the management process.
  2. Give at least eight examples of how all managers can use human resource management concepts and techniques.
  3. Illustrate the human resources responsibilities of line and staff (HR) managers.
  4. Provide a good example that illustrates HR’s role in formulating and executing company strategy.
  5. Write a short essay that addresses the topic: Why metrics and measurement are crucial to today’s HR managers.
  6. Outline the plan of this book.
The Management Process
•          POSLC – Planning,  Organisation, Staffing, Leading, Controlling
Human Resource Management at Work

•          What Is Human Resource Management (HRM)?
Ø  The policies and practices involved in carrying out the “people” or human resource aspects of a management position, including recruiting, screening, training, rewarding, and appraising.
Ø   HALF CAT – Health & Safety, Acquisition, Labour Relations, Fairness, Compensatiing, Appraisal, Training.
 
Personnel Aspects of a Manager’s Job
•          Conducting job analyses
•          Planning labor needs and recruiting job candidates
•          Selecting job candidates
•          Orienting and training new employees
•          Managing wages and salaries
•          Providing incentives and benefits
•          Appraising performance
•          Communicating
•          Training and developing managers
•          Building employee commitment

Personnel Mistakes
•          Hire the wrong person for the job
•          Experience high turnover
•          Have your people not doing their best
•          Waste time with useless interviews
•          Have your company in court because of discriminatory actions
•          Have your company cited by OSHA for unsafe practices
•          Have some employees think their salaries are unfair and inequitable relative to others in the organization
•          Allow a lack of training to undermine your department’s effectiveness
•          Commit any unfair labor practices

Basic HR Concepts
•          The bottom line of managing:    Getting results
•          HR creates value by engaging in activities that produce the employee behaviors that the company needs to achieve its strategic goals.
Line and Staff Aspects of HRM

•          Line manager
Ø  A manager who is authorized to direct the work of subordinates and is responsible for accomplishing the organization’s tasks.
•          Staff manager
Ø  A manager who assists and advises line managers.
Line Managers’ HRM Responsibilities

1.       Placing the right person on the right job
2.       Starting new employees in the organization (orientation)
3.       Training employees for jobs that are new to them
4.       Improving the job performance of each person
5.       Gaining creative cooperation and developing smooth working relationships
6.       Interpreting the firm’s policies and procedures
7.       Controlling labor costs
8.       Developing the abilities of each person
9.       Creating and maintaining department morale
10.   Protecting employees’ health and physical condition
 
Human Resource Managers’ Duties

Human Resource Specialties

•          FIGURE 1–1
HR Organization Chart
for a Large Organization
•          FIGURE 1–2        HR Organizational Chart (Small Company)
•          FIGURE 1–3        Employment and Recruiting—Who Handles It?
(Percentage of All Employers)
The Changing Environment of Human Resource Management

•          FIGURE 1–4        Employment Exodus: Projected Loss of Jobs and Wages
The Changing Role of Human Resource Management

Ø  TABLE 1–1           Technological Applications for HR
High-Performance Work System Practices
•          Employment security
•          Selective hiring
•          Extensive training
•          Self-managed teams/decentralized decision making
•          Reduced status distinctions
•          Information sharing
•          Contingent (pay-for-performance) rewards
•          Transformational leadership
•          Measurement of management practices
•          Emphasis on high-quality work
Benefits of a High-Performance  Work System (HPWS)
•          Generate more job applicants
•          Screen candidates more effectively
•          Provide more and better training
•          Link pay more explicitly to performance
•          Provide a safer work environment
•          Produce more qualified applicants per position
•          Hiring based on validated selection tests
•          Provide more hours of training for new employees
•          Conduct more performance appraisals
Ø  FIGURE 1–5        Five Sample HR Metrics
Measuring HR’s Contribution

•          The HR Scorecard
Ø  Shows the quantitative standards, or “metrics” the firm uses to measure HR activities.
Ø  Measures the employee behaviors resulting from these activities.
Ø  Measures the strategically relevant organizational outcomes of those employee behaviors.
The Human Resource Manager’s Proficiencies

•          New Proficiencies
Ø  HR proficiencies
Ø  Business proficiencies
Ø  Leadership proficiencies
Ø  Learning proficiencies
•          FIGURE 1–6        Effects CFOs Believe Human Capital Has on Business Outcomes
HR Certification

•          HR is becoming more professionalized.
•          Society for Human Resource Management (SHRM)
Ø  SHRM’s Human Resource Certification Institute (HRCI)
v  SPHR (senior professional in HR)  certificate
v  PHR (professional in HR) certificate
•          FIGURE 1–7
2004 SHRM® Learning System Module Descriptions
•          Managing within the Law
Ø  Equal employment laws
Ø  Occupational safety and health laws
Ø  Labor laws
•          Managing Ethics
Ø  Ethical lapses
Ø  Sarbanes-Oxley in 2003
•          The Plan of This Book: Basic Themes
•          HRM is the responsibility of every manager.
•          HR managers must defend their plans and contributions in measurable terms.
•          All personnel actions and decisions have strategic implications.
•          All managers rely on information technology.
•          Virtually every personnel decision has legal implications.
Ø  FIGURE 1–8        Strategy and the Basic Human Resource Management Process


Ulasan