INTRODUCTION TO HUMAN RESOURCE MANAGEMENT (HRM533)

Topic 1: Overview and Introduction of HRM

Definition of HRM? Historical Development Challenges of HRM in the new Millennium

Raden Mohd Ngisomuddin bin Masduki Senior Lecturer Faculty of Business Management UiTM Kedah Phone: 0193577579, 044562406, Email: raden188@kedah.uitm.edu.my

Definition of HRM
The process of managing human talent to achieve an organization objectives (Snell & Bohlander) The design of formal systems in an organization to ensure effective and efficient use of human talent to accomplish organizational goals (Mathis) The utilization of individuals to achieve organizational objectives or goals (Mondy)

Definition of HRM
The planning, organizing, directing and controlling of the procurement, development, compensation, integration, maintenance and separation of HR to the end that individual, organizational and societal objectives are accomplished (Edwin B. Flippo) A series of activities which: first enable working people and the business which use their skills to agree about the objectives and nature of their working relationships and secondly, ensures that the agreement is fulfilled (Torrington & Hall)

HR Functions
Human Resource Planning job analysis, strategic planning Staffing Recruitment and Selection Training and Development PMS, Orientation, career planning Compensation and Benefits Payroll Occupational Safety and Health Industrial Relations Administration

The Partnership of Line Managers and HR Department

Responsibilities of HR Manager/Roles
Advice and counsel in house consultant to fellow workers Administrative role record keeping Operational provide service to line managers in term of staffing, T&D and other HR activities Strategic role - Policy formulation and implementation, reengineering, merger etc Advocacy listening to employees concern and representing their needs to managers

The Partnership of Line Managers and HR Department

Competencies of the HR Manager
Business mastery business acumen, customer orientation, external relations HR mastery staffing, PMS, C&B, T&D, Communication, organization design Personal credibility trust, courage, lived values, personal relationship Change mastery interpersonal skills, problem solving skills, innovative and creative

Historical Development
Began at about 1900s where it primarily dealt with clerical operation concerned with payroll, employee record and arranging social visits, family day and also arranging health insurance policy It was then known as Personnel Department. During 1960s became concerned with the legal ramifications of policies & procedures affecting employees

Historical Development
During the period of 1990s to date, the impact of globalization, competition, mergers and acquisitions forced HR department to be more concerned with cost, planning and implications of various HR strategies for organizations and employee The term of Human Capital Development started to surface to reflect the importance of human in the organization

Historical Development
The Industrial Revolution (1850s-1920s) Specialization Exploitation of workers Worker alienation Human Relations Approach (1930s-1950s) Emphasis on supervisory training Recreation programs Welfare programs

Historical Development
Recent Development (1950stodate)
More labor legislation Bigger organization Workforce diversity Rapid change

Challenges of HRM in the new Millennium

Globalization the trend towards
opening up for foreign markets to international trade and investment
The impact of globalization on HRM Corporate social responsibility (CSR)

Embracing New Technology

K-workers to hire and develop only knowledgeable and skill employees Human resource information system

Challenges of HRM in the new Millennium

Managing Change
Reactive change change that occurs after external forces have already affected performance Proactive change change initiated to take advantage of targeted opportunites Type of change technology, economy, politic, cultural, demographic etc.

Challenges of HRM in the new Millennium

Managing Talent or Human capital
Training and development to develop superior workers based on knowledge, skills and experience Managing employees performance towards achieving organizational goals Recruitment and selection process to focus on hiring the best i.e. not merely to fill in the vacancies

Challenges of HRM in the new Millennium

Responding to the Market
TQM a set of principles and practices whose core ideas include understanding customer need. Striving for continuous improvement Six sigma a process used to translate customers needs into a set of optimal tasks that are performed in concert with one another. Reengineering fundamental rethinking and radical redesign business process to improve organization performance

Social Issues in HRM

Demographic and Employee Concerns
Demographic change workforce diversity, age distribution, gender distribution, rising level of education Cultural changes employee rights, concern for privacy, Changing attitude toward work and balancing work and family

Criteria for an organization to have Dedicated HR Department

Topic for Discussion
Ownership of the company Philosophy of top management Size of the company Unionization of the workforce