HRM

HUMAN
RESOURCE
MANAGEMENT
Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

Introduction
HRM is a subset of management. It has five main
goals:
attract
employees

retain
employees

Goals
of
HRM

hire
employees

motivate

train

employees

employees

Strong employees = competitive advantage.

Understanding Environments
HRM operates in a business environment.
Country has different
values
morals
customs
political, economic, and legal systems

Human Resource Management (HRM)

The policies, practices, and systems

that influence employees:
behavior
attitudes
performance

Personnel work.
Is partly a file clerks job, partly a housekeeping
job, partly a social workers job and partly
firefighting to head off union trouble and settle it..
Peter Drucker, The Practice of Management 1961

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, screening, training, rewarding, and
appraising.

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.

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Line and Staff Aspects of HRM

Line manager
A manager who is authorized to direct the
work of subordinates and is responsible for
accomplishing the organizations tasks.

Staff manager
A manager who assists and advises line
managers.

2008 Prentice Hall, Inc. All rights reserved.

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Human Capital

Human Capital an
organizations
employees described
in terms of their:

training
experience
judgment
intelligence
relationships
insight

The concept of
human resource
management implies
that employees are
resources of the
employer.

Hard and Soft HRM

'Storey (1989) has distinguished between hard and soft

forms of HRM, typified by the Michigan and Harvard
models respectively.
'Hard' HRM focuses on the resource side of human
resources. It emphasizes costs in the form of 'headcounts'
and places control firmly in the hands of management.
Their role is to manage numbers effectively, keeping the
workforce closely matched with requirements in terms of
both bodies and behaviour. 'Soft' HRM, on the other hand,
stresses the 'human' aspects of HRM. Its concerns are
with communication and motivation. People are led rather
than managed. They are involved in determining and
realizing strategic objectives.'