HUMAN RESOURCE MANAGEMENT

12th Edition

Chapter 1
Introduction
to Human
Resource
Management
GARY DESSLER

Johnasse Sebastian C.
Naval, RN

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Human Resource Management

What
at
Work
Is Human Resource Management
(HRM)?

The effective use of people to achieve both

organizational and individual goals

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

Why care about HRM?

Impact on you
Impact on you

as employees
as managers
Potential future roles as HR professionals
Impact of HRM on organizations
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Human Resource Management

at
Work
Organization
People with formally assigned roles who

work together to achieve the organizations

goals.

Manager
The person responsible for accomplishing

the organizations goals, and who does so

by managing the efforts of the
organizations people.

15

The Management Process

Planning

Controlling

Leading

Organizing

Staffing

16

Human Resource Management

Processes
Recruitme
nt

Training

Fairness

Health and
Safety
Labor
Relations

Human
Resource
Managem
ent (HRM)

Appraisal

Compensat
ion
17

Personnel Aspects of a
Conducting job Job
analyses
Managers
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
18

Why HRM Important to all

Hire the wrong person for the job.
Managers
Experience high turnover.
Have your people not doing their best.
Waste time with useless interviews.

Have your firm in court because of discriminatory

actions.
Have your firm cited by Occupational Safety Laws for
unsafe practices and accidents.
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.
19

Basic HR Concepts
The bottom line of managing:

Getting results
HR creates value by engaging
in activities that produce the
employee behaviors that the
organization needs to achieve
its strategic goals.
Looking ahead: Using evidencebased HRM to measure the
value of HR activities in
achieving those goals.
110

Line and Staff Aspects of HRM

Authority
The right to make decisions, direct others work,

and give orders.

Line authority
The

authority exerted by an HR manager by

directing the activities of the people in his or her
own department and in service areas.

Staff Authority
Staff Authority gives the manager right (authority)

to advise other managers or employees.

Functional Authority
The authority exerted by and HR Manager as

coordinator of personnel activities.

111
111

Line and Staff Aspects of HRM

Line Manager
Is authorized (has line authority) to

direct the work of subordinates and is

responsible for accomplishing the
organizations tasks.

Staff Manager
Assists and advises line managers.
Has functional authority to

coordinate personnel activities

and enforce organization policies.

112

Line Managers HRM

1. Placing the right person on the right job
Responsibilities

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 firms 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
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Human Resource Managers

Duties
Functions of
HR
Managers
Line Function
Line Authority

Coordinative
Function
Functional
Authority

Staff
Functions

Staff Authority
Assist &
Advise

114

Functions of the HR Manager

A Line Function

The HR manager directs the activities of the people in his or her own
department and in related service areas. While they generally can not
wield line authority outside, they hold Implied authority (the authority
exerted by an HR manager by virtue of others knowledge that he or
she has access to top management).

A Coordinative Function

HR managers also coordinate personnel activities, a duty often

referred to as functional control.

Staff (assist and advise) Functions

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

job. It plays an employee advocacy role by:

115

Clearly defining how management should be treating employees.

Making sure employees have the mechanisms required to contest unfair

practices.

Represent the interests of employees within the framework of its primary

obligation to senior management.

FIGURE 11 Human Resources Organization Chart for a

Large Organization

116

FIGURE 12 - Human Resources Organization Chart for a Small Company

117

Human Resource Specialties

Recruiter
Labor
relations
specialist
Training
specialist

Human
Resource
Specialtie
s

Compensat
ion
manager

EEO
coordinator

Job analyst

118

New Approaches to Organizing

HR
New HR Services
Groups

Transaction
al HR
group

Corporate
HR group

Embedded
HR unit

Centers of
Expertise

119

New Approaches to Organizing

HR
Transactional HR
Transactional HR

Departmental activities such as payroll,

benefits administration and records keeping
are easily outsourced or digitized (or should
be) with significant cost savings.

Corporate HR

HR may be at plant level or may be

restricted/ responsible at particular location
only. Corporate HR is the person who is
working at corporate level & handling
centralized HR activity and assist top
management in developing long-term
strategic plans.
120

New Approaches to Organizing

HR

Embedded HR

To assign HR generalist directly to departments

like sales and production, to provide the

localized human resource management
assistance and department needs.

The Centers of Expertise

The Centers of Expertise are like specialized HR

consulting firms within the company, providing

specialized assistance.

121

Trends Shaping Human

Resource Management
Globalization
and
Competition
Trends
Indebtedness
(Leverage)
and
Deregulation
Trends in the
Nature of
Work

Trends in
HR
Managem
ent

Economic
Challenges
and Trends

Technological
Trends

Workforce and
Demographic
Trends

122

FIGURE 14

Trends Shaping Human Resource Management

123

FIGURE 15

Employment Exodus: Percent of employers who said they

planned as of 2008 to offshore a number of these jobs

124

Trends in the Nature of Work

Changes in How We
Work

High-Tech
Jobs

Service
Jobs

Knowledge
Work and
Human
Capital

125

Workforce and Demographic

Trends
Demographic Trends

Trends
Affecting
Human
Resources

Generation Y
Retirees
Nontraditional
Workers

127

Important Trends in HRM

The New HR
Managers
Strategic
HRM

EvidenceBased HRM

Human
Resource
Manageme
nt Trends

HighPerformance
Work
Systems
Managing
Ethics

HR
Certification
130

Meeting Todays HRM

Challenges
The New Human
Resource Managers

Focus more on
big picture
(strategic
issues)

Find new ways

to provide
transactional
services

Acquire
broader
business
knowledge
and new HRM
proficiencies
131

High-Performance Work
Systems
Increase productivity and
performance by:

Recruiting, screening and hiring

more effectively
Providing more and better training
Paying higher wages
Providing a safer work environment
Linking pay to performance

134

Evidence-Based HRM
Providing
Evidence for HRM
Decision Making

Actual
measureme
nts

Existing
data

Research
studies

135

Managing Ethics
Ethics
Standards that someone uses

to decide what his or her

conduct should be

HRM-related Ethical Issues

Workplace safety
Security of employee records
Employee theft
Affirmative action
Comparable work
Employee privacy rights
136

HR Certification
HR is becoming more professionalized.
Society for Human Resource
Management (SHRM)
SHRMs Human Resource Certification

Institute (HRCI)

SPHR (Senior Professional in HR)

certificate

GPHR (Global Professional in HR)

certificate

PHR (Professional in HR) certificate

137

The Plan of This Book: Basic

HRM is the responsibility of every
Themes
manager.

The workforce is becoming increasingly

diverse.
Current economic challenges require that
HR managers develop new and better
skills to effectively and efficiently deliver
and manage HR services.
The intensely competitive nature of
business today means human resource
managers must defend their plans and
contributions in measurable terms.
138

KEY TERMS
organization
manager
management process
human resource management
(HRM)
authority
line authority
staff authority
line manager
staff manager
functional authority
globalization

140