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Human Resource Management

Chapter: 1
Introduction to Human Resource Management
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The Managers Human Resource Management Jobs

What is HRM

The five basic functions of


planning organizing staffing leading controlling

Human resource management (HRM)

Is the process of acquiring, training, appraising, and compensating employees and of attending to their labor relations, health and safety, and fairness concerns.

What is a manager

People or Personnel Aspects Of A Managers Job

Conducting job analyses

determining the nature of each employees job

Planning labor needs and recruiting job candidates Selecting job candidates Orienting and training new employees Managing wages and salaries

compensating employees

Providing incentives and benefits Appraising performance Communicating

interviewing, counseling, disciplining

Training and developing managers Building employee commitment

HR manager Should know about


Employment law Equal opportunity and affirmative action Employee health and safety Handling grievances and labor relations
Affirmative action refers to policies that take factors including "race, color, religion, gender, sexual orientation or national origin into consideration in order to benefit an underrepresented group, usually justified as countering the effects of a history of discrimination. (Wekipedia)
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Why is HRM important to all Managers?


(Understand by avoiding these 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 some employees think their salaries are unfair and inequitable relative to others in the organization Allow a lack of training to undermine your departments effectiveness Commit any unfair labor practices

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Basic HR Concepts

Getting results

The bottom line of managing

HR creates value by engaging in activities that produce the employee behaviors the company needs to achieve its strategic goals.

HR and Authority

Line authority

Issue orders

It creates a superior-subordinate relationship A manager who is authorized to direct the work of subordinates and is responsible for accomplishing the organizations tasks. Within the dept HR has line authority.

Line manager

Staff Authority:

Advise other mangers or employees

It creates and advisory relationship Staff authority cannot issue orders down the line A manager who assists and advises line managers. (Across departments)

Staff manager

Line Managers HRM Duties


1. 2. 3. 4. 5.

Placing the right person on the right job Starting new employees in the organization (orientation) Training employees for jobs new to them Improving the job performance of each person Gaining creative cooperation and developing smooth working relationships Interpreting the firms policies and procedures Controlling labor costs

6. 7.

8.
9. 10.

Developing the abilities of each person


Creating and maintaining department morale Protecting employees health and physical condition
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HR Managers Duties/Functions
1. 2.

A line function A coordinative function

Functional authority
Ensures other functional managers are implementing the firms HR policies and practices

3.

Staff functions (assist and advise)

HR Managers Duties/Functions
1.

A line function

The HR manager directs the activities of the people in his or her own department and in related service areas

Exerts line authority within the HR department. They may exert Implied authority outside their dept.

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HR Managers Duties/Functions
2.

A coordinative function

HR managers also coordinate personnel activities, a duty often referred to as functional control.

Manager acts as a right arm of top executives

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HR Managers Duties/Functions
3.

Staff (assist and advise) functions

Assisting and advising line managers is the heart of the HR managers job.

Advices CEO to better understand personnel issues Assists in hiring, training, evaluating, rewarding, counseling, promotion and firing employees. Administers various health and benefit programs

insurance, accidental claims, retirement, vacations

Helps line managers comply with equal employment and occupational safety laws, handling grievances, labor relations. Promotes employee advocacy role

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Examples of HR Job Duties

Recruiters HRD specialists Equal employment opportunity (EEO) coordinators Job analysts Compensation manager

Cont
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Examples of HR Job Duties (contd) Training specialists

Plan, organize, and direct training activities.

Employment/industrial relationship specialist or Labor relations specialists

unionmanagement relations. Handles welfare activities in factories as per law.

Employer welfare officer:

A Day in the life of HR


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HR Department Organizational Chart (Large Company)

**

Source: Adapted from BNA Bulletin to Management, June 29, 2000 *STD: Short Term Disability *LTD: Long Term Disability **HRIS: Human Resources Information Systems.

Figure 11
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HR Organizational Chart (Small Company)

Figure 12
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THE TRENDS SHAPING HUMAN RESOURCE MANAGEMENT

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The Trends Shaping HR Management


Trends
Globalization Increased competition Deregulation Technological innovation More high-tech jobs More service jobs More knowledge work An aging workforce Economic downturns

So Companies Must Be
More competitive Faster and more responsive More cost-effective Human-Capital oriented Quality conscious Downsized Organized flatter Organized around empowered teams Learners More fiscally conservative More scientific in DM

Employees will therefore expect from HR management that they


Focus more on big picture issues i.e. strategic goals Find new ways to provide transactional services such as benefits administration. Create high-performance work systems Take steps to help the employer better mange challenging times Formulate practices and defend its actions based on credible evidence Manage ethically Have the proficiencies required to do these things- i.e. Strategic management and financial budgeting
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A Changing HR Environment

Globalization

Organizations are expanding Ownerships are changing Cost-cutting China

Technological Advances (HRMS) Trends in the Nature of Work


Skills and training needs High Tech Jobs Service Jobs Exporting Jobs Human Work and Human capital

Knowledge, education, training, skills and expertise requirements

Workforce demographics

Lead to some more strategic responsibilities


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IMPORTANT TRENDS IN HRM

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The New HR Manager

HRs changing role: HR started off with Personnel departments

Took over hiring and firing, payroll, and benefit plans administration. In the 1930s added protecting the firm in its interaction with unions responsibilities (labor relations). Assumed organizational responsibilities for equal employment and affirmative action. Focus shifted to HRD (1985-1995) Now???

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What is Strategic HRM?

Formulating and executing human resource policies and practices that produce the employee competencies and behaviors the company needs to achieve its strategic aims.

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What is Strategic Planning

A strategic plan is the companies plan for how it will match its internal strengths and weaknesses with external opportunities and threats in order to maintain a competitive advantage.
Essence of Strategic Planning:

Where are we now as a business? Where do we want to be?

How should we get there?

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What is Strategic Planning?

Strategy

A course of action.

The companys long-term plan for how it will balance its internal strengths and weaknesses with its external opportunities and threats to maintain a competitive advantage.

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What is Strategic Human Resource Management?

SHRM means formulating and executing HR policies and practices that produce the employee competencies and behaviors the company needs to achieve its strategic aims. HR managers today are more involved in partnering with their top managers in both designing and implementing their companies strategies.

What is HR omph?
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Creating High-Performance Work Systems

Creating High Performance Work Systems

A high-performance work system is an integrated set of human resource policies and practices that together produce superior employee performance

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Managing with Technology

Benefits of technological applications for HR

Intranet-based employee portals through which employees can self-service HR transactions. Increased efficiency of HR operations (Productivity). The ability to outsource HR activities to specialist service providers. Table: 1-2

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Human Resource Management Systems

www.HumanResourceManagementsystem.net Class Activity-Presentation in Lecture 6.


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