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Emerging Trends
1.
2.
3.
4.
Characteristics of High
Performance Work Systems
Increased Globalization
Development of a worldwide
labor market for U.S. firms:
Easy to move work around
when it can be digitized.
Decrease the cost of labor.
HRM becomes more
complicated.
More union activities.
Corporate downsizing linked to
new technology.
Barriers to entry have been
reduced, increasing
international competition from
firms and individuals alike.
U.S. export jobs up 20% in
last 10 years.
U.S. firms are expanding in
new countries and new
markets.
Technological Changes
Optimal combination of
people, software, and
equipment.
User testing programs
assess computer
interface.
Use of intranet sites to
convey personnel
information.
Maximize profit margins
and sustained customer
value.
Electronic tracking of HR
activities such as T/O and
performance reviews.
Impact of Internet on
HRM activities:
Computer search of
potential applicant pool.
Standardized resumes in
data base.
Announcements and
responses through e-mail.
Increased focus on security
of personnel information
and intellectual property.
Increased speed of
communication across the
organization.
Video computer conducts
testing and interviewing.
Need to be Flexible
Focus on core competencies leads to
outsourcing of other activities:
Use of temporary or leased workers;
Use of independent contractors; and
Place personnel with new technology.
Increase in Litigation
Federal lawsuits have increased over 125%
since 1991.
Expected increase in age discrimination
lawsuits.
State laws regarding mergers and acquisitions,
AIDS victims and homosexuals, family leave
benefits, and video displays.
Health and safety regulations, employee
pensions and other compensation programs,
plant closures, mergers and acquisitions, and
EEO laws and guidelines.
Changing Characteristics
Nearly 90% of workforce growth from 1995 to
2000 were women, immigrants, AfricanAmericans, Asian origin.
Older workers are less likely to retire at 65.
Increasing number of disabled workers.
Increase in number of people experiencing
sandwich generation issues.
More programs on diversity, flexible work
schedules, better training programs, childcare
arrangements, and career development
strategies.
Steps (Continued)
4. Identify high and low performing
employees. Establish a differentiated
incentive systems.
5. Develop supporting HR management
and measurement systems of selection,
formal appraisal, promotion,
development, and termination practices.
6. Specify the roles of leadership, the
workforce, and HR in strategy execution.
Challenges in Developing a
Workforce Scorecard
Perspective challenge Does management
fully understand how workforce behaviors affect
strategy execution?
Metrics challenge Has the organization
identified and collected the right measures of
success?
Education Challenge Does management
have access to the data and motivation to use
the data in decision making?