HUMAN RESOURCE MANAGEMENT: AN OVERVIEW

Transcription

1 HUMAN RESOURCE MANAGEMENT: AN OVERVIEW 1

2 Chapter Objectives Explain human capital management. Define human resource management. Identify the human resource management functions. Identify the external environmental factors that affect human resource management. Explain who performs the human resource management tasks. 2

3 Chapter Objectives (Continued) Explain the need for human resources to be a strategic partner. Describe the various human resource classifications including executives, generalists, and specialists. Describe the changes that occur in the human resource function as a firm grows larger and more complex and the evolving HR organization. 3

4 Human Resource Management Utilization of individuals to achieve organizational objectives All managers at every level must concern themselves with human resource management. Five functions 4

5 The Human Resource Management Functions Human Resource Managemen 1 t Safety and Health 5

6 Staffing Job Analysis Human Resource Planning (HRP) Recruitment Selection 6

7 Staffing (Continued) Staffing - Process through which an organization ensures that it always has proper number of employees with appropriate skills in right jobs at right time to achieve organization s objectives Job analysis - Systematic process of determining skills, duties, and knowledge required for performing jobs in an organization 7

8 Staffing (Continued) Human resource planning - Process of systematically reviewing human resource requirements to ensure that required numbers of employees, with required skills, are available when needed. Recruitment - Process of attracting qualified individuals and encouraging them to apply for work with organization 8

9 Staffing (Continued) Selection - Process through which organization chooses, from a group of applicants, those individuals best suited both for open positions and for the company 9

10 Human Resource Development Training Development Career Planning Career Development Organizational Development 10

11 Human Resource Development (Continued) Training - Designed to provide learners with the knowledge and skills needed for their present jobs. Development - Involves learning that goes beyond today's job; it has a more long-term focus 11

12 Human Resource Development (Continued) Career planning - An ongoing process whereby individual sets career goals and identifies means to achieve them Career development - Formal approach used by organization to ensure that people with proper qualifications and experiences are available when needed 12

13 Human Resource Development (Continued) Organization development Organization wide application of behavioral science to planned development and support of strategies, structures and processes for improving firm s effectiveness 13

14 Compensation and Benefits Compensation - All rewards that individuals receive a a result of their employment 14

15 Compensation & Benefits Pay - Money that a person receives for performing a job Benefits - Additional financial rewards, other than base pay such as sick leave, vacations, holidays and medical insurance Nonfinancial Rewards The Job Pleasant working environment 15

16 Safety and Health Employees who work in a safe environment and enjoy good health are more likely to be productive and yield long-term benefits to the organization. 16

17 Safety and Health Safety - Involves protecting employees from injuries caused by work-related accidents Health - Refers to the employees' freedom from illness and their general physical and mental well being 17

18 Employee and Labor Relations Private-sector union membership has fallen from 39 percent in 1958 to 9 percent today. 18

19 Employee and Labor Relations Business required by law to recognize union and bargain with it in good faith if firm s employees want union representation. 19

20 Human Resource Research Human resource research is not a separate function. It pervades all HR functional areas. 20

21 Interrelationships of HRM Functions All HRM functions are interrelated. Each function affects other areas. 21

22 The Dynamic Human Resource Management Environment 22

23 The Economy Legal Considerations Environment of Human Resource Management Unions Marketing EXTERNAL ENVIRONMENT INTERNAL ENVIRONMENT Operations Society Technology Finance Human Resource Managemen 1 t Safety and Health Other Functiona l Areas Shareholders Customers Competition Labor Force 23

24 Labor Force Pool of individuals external to firm from which organization obtains its workers 24

25 Legal Considerations Federal, state and local legislation Court decisions Presidential executive orders 25

26 Society Social responsibility Implied, enforced or felt obligation of managers to serve or protect interests of groups other than themselves Ethics Discipline dealing with what is good and bad, or right and wrong, or with moral duty and obligation 26

27 Ethics and HR Management Discipline dealing with what is: good & bad right & wrong moral duty & obligation 27

28 Unions Group of employees who have joined together for purpose of dealing collectively with their employer 28

29 Shareholders Owners of a corporation Because they have invested money in a firm, they may at times challenge programs considered by management to be beneficial to the organization 29

30 Customers Because sales critical to firm s survival, management must ensure employment practices do not antagonize the customers they serve 30

31 Competition In order to succeed, grow and prosper, a firm must be able to maintain a supply of competent employees. 31

32 Technology As technology changes: Certain skills no longer required New skills needed Necessitates some retraining of current workforce 32

33 The Economy In general, when economy is booming, it is often more difficult to recruit qualified workers. 33

34 HR s Changing Role: Who Performs Human Resource Management Tasks? Human Resource Managers Shared Service Centers Outsourcing Firms Line Managers 34

35 Human Resource Manager Acts in advisory or staff capacity Works with other managers to help them deal with human resource matters 35

36 Shared Service Centers (SSCS) Takes routine, transaction-based activities that are dispersed and consolidates them in one location. 36

37 Shared Service Centers (SSCS) Performing HR Tasks Fewer HR Personnel Needed HR Managers Assume a Improves More Strategic QualityRole 37

38 Outsourcing Firms Transfers responsibility to an external provider 38

39 Outsourcing Reduces: Cost Transaction Time Improves Quality 39

40 Line Managers Performing HR Tasks Involved with human resources by nature of their jobs 40

41 HR as a Strategic Partner HR executives must understand complex organizational design. Must be able to determine capabilities of company's workforce, today and in the future 41

42 Human Resource Designations 42

43 Human Resource Executives, Generalists, and Specialists Vice President, Human Resources Vice President, Industrial Relations Manager, Compensation and Benefits Manager, Training and Development Manager, Staffing Benefits Analyst Executive: Generalist: Specialist: 43

44 Characteristics of an HR Executive Performs one or more HR functions A top-level manager Reports directly to the corporation's CEO or head of major division 44

45 Characteristics of an HR Generalist Often an executive Performs tasks in various HR related areas Involved in several, or all, of the five HRM functions 45

46 Characteristics of an HR Specialist May be an HR executive, manager, or non-manager Typically concerned with only one of the five functional areas 46

47 The Human Resource Function In Organizations Of Various Sizes 47

48 HR in Small Businesses Seldom have a formal HR unit Focuses on hiring & retaining capable employees Some aspects of HR function may be more significant in smaller firms than in larger ones. 48

49 The Human Resource Function in a Small Business Manager/Owner Sales Operations Finance 49

50 HR in a Medium-sized Firm Little specialization HR manager is essentially the entire department. 50

51 The Human Resource Function in a Medium-Sized Business President Sales Manager Operations Manager Finance Manager Human Resource Manager 51

52 Traditional Human Resource Functions in a Large Firm Separate sections are often created Placed under an HR Manager Each HR function may have a supervisor & staff HR Manager works closely with top management in formulating policy 52

53 The Human Resource Function in a Large Firm President and CEO Vice President, Marketing Vice President, Operations Vice President, Finance Vice President, Human Resources Manager, Training and Development Manager, Compensation and Benefits Manager, Staffing Manager, Safety and Health Manager, Labor Relations 53

54 A New and Evolving HR Organization for Large-Sized Firms Outsource Shared Service Centers Evolve to make HR more strategic 54

55 An Evolving Human Resource Organization Example President and CEO Vice President, Operations Vice President, Human Resources Vice President, Other Major Functions Director of Safety and Health Executive Development Manager, Training Manager, Other HRM Functions Employee Benefits Shared Service Center Outsourced 55

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