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by Ambigah d/o Sandran

by Ambigah d/o Sandran

Utilisation of individuals to achieve organisational objectives

Purpose - Ensure the people of the organization are being


effectively and efficiently contribute towards achieving

organizational goals.
H

Individuals dealing with human resource matters face a

multitude challenges, can be from a constantly changing work-

force

to ever present government regulations, a technological revolution and


the economy of the country itself and the world.

by Ambigah d/o Sandran

H
The development & implementation of systems in an
organization designed to attract, develop and retain a high
performing workforce.

by Ambigah d/o Sandran

Historical Development of Human Resource Management


Tracing the roots of HRM
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During pre-historic times, there existed consistent methods for


selection of tribal leaders (Jones & Bartlett, 2014).

From 2000BC to 1500BC, the Chinese used employee

screening techniques and while Greeks used an apprentice

system

(History of Human Resource Management, 2010).


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These actions recognized the need to select and train

individuals for jobs.

by Ambigah d/o Sandran

Historical Development of Human Resource Management


Tracing the roots of HRM
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Early employee specialists were called personnel managers


(or personnel administrators), and this term is still in use in
various discourses.

Personnel management refers to a set of functions or

activities (e.g. recruitment, selection, training, salary


industrial relations) often performed effectively

administration,

but with little

relationship between the various


activities or with overall organizational objectives.

by Ambigah d/o Sandran

Historical Development of Human Resource Management


Stages in the Development of HRM
H

In Australia, HRM has developed through the following general


stages:
a) Stage one (19001940s): administration stage
b) Stage two (1940smid-1970s): welfare and administration
stage
c) Stage three (mid-1970slate 1990s): human resource

management and strategic human resource management


(SHRM) stage
d) Stage four (Beyond 2000): SHRM into the future
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by Ambigah d/o Sandran

Historical Background of Human Resource Management

by Ambigah d/o Sandran

1.

Technology

HR in information technology (IT), allows easy retrieval info about


individual employees.

Thus, paperwork associated with HRM is greatly reduced

Organisations must provide appropriate training to their employees


so that they will be able to cope with jobs that require higher and
greater levels of knowledge and skill (lifelong learning).

Disadvantage: everything an employee does can be unobtrusively


watched by his employer, whereby lead to questions like whether
employees should have the right to privacy at work and if they do
have such right, how far do they extend?
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by Ambigah d/o Sandran

2.

Globalization

Business organisation are not only competing with other business


organisations in the country but also with rivals from all over the world.

Employers pressured to achieve more with less.

Managers must find ways of increasing productivity or face having the


company close down.

To strengthen their position in the market place, many companies are


merging with their rivals or acquiring new businesses (Merger and
Acquisition).

Mergers of companies two groups integrated into one difficult


challenges to HRM
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by Ambigah d/o Sandran

2.

I.
II.
III.

IV.

V.

Globalization
As a result of efforts by employers to develop lean organisations,
workplace required to become more flexible.
For example employers want:
To be able to hire workers on short tem contracts because of the
uncertainties they face in their business
To be able to dismiss workers as and when required without paying them
any retrenchment benefits
To be able to outsource work to other companies; e.g. Using workers in
other countries which are more cost effective than hiring local workers
directly to do the work
To employ workers who are wiling and capable of being trained in a
number of different skills so that they can undertake a variety of tasks
without any problem
To compensate workers in such a way that when the company is doing
well financially, the workers will be paid more and conversely when the
company is facing financial difficulties the workers will be paid less
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by Ambigah d/o Sandran

3.

Education
Aware of their employment rights

Further strengthened by the easy access to the internet

Source from government websites which clearly explain the rights of


workers

E.g. Malaysian Ministry of Human Resources www.mohr.gov.my

Loss of talented workers lead to disaster and super performance will


always be in short supply

As a result, many employers are now introducing specific programmes to


mange the recruitment, development and retention of talented workers

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by Ambigah d/o Sandran

3.

Education
Employees expectations concerning work life balance are also
changing. In developed countries, a growing number of workers are

I.
II.

III.

asking questions such as:


how many hours per day should be spent at work and how many
should be considered out of bounds to employers?
Should employers contact employees while they are on holiday and
expect them to deal with work related problems whether by e-mail,
telephone or other electronic means?
Should workers be permitted lengthy absences, whether paid or
unpaid, for personal reason such as maternity leave, looking after
children or dependent parents who is ill or take on charity work or other
activities that help the employee fulfil his needs for self expression?

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by Ambigah d/o Sandran

4.

Workforce diversity
Baby boomers (1940 1964)
Generation X (1965 1979)

Dates are only


approximations

Generation Y (1980s) or dot.com generation

Characteristics of generation Y:
- Ambitious; 81% expect to be promoted within 2 years or they will
move jobs
- Seek for development; 90% will stay longer with their employer if
they received appropriate training and development opportunities.
- Value leadership which empowers, consults and partners.
- change jobs frequently; more than 63% stay less than 2 years per
employer

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by Ambigah d/o Sandran

Staffing

Process

through

which

an

organisation ensures that it always


has the proper number of the
employees with the appropriate
skills in the right jobs at the right
time

to

achieve

organisational

objectives
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by Ambigah d/o Sandran

HR
development
Major functions consisting

(HRD)

training , development,
individual career planning and
development and performance
management and appraisal.

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Goal oriented process


directed toward ensuring that
organisational processes are
o place to maximise the
productivity of employees,
teams and ultimately the
organisations.
Performance
Management

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by Ambigah d/o Sandran

Direct Financial
Compensation

Indirect Financial Compensation


All financial rewards that are not

Pay that a person receives

included in direct financial

in the form of wages, salary,

compensation.

commissions and bonuses.


Nonfinancial compensation
Satisfaction that a person receives from
the job itself or from the psychological
and/or physical environment in which the
Compensation

person works.
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Safety
Protection of employees
from injuries caused by
Safety and
health

work related accidents

Health
Employees freedom from
physical or emotional illness

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by Ambigah d/o Sandran

Businesses that required by law to


recognise a union and bargain with it in
good faith if the firms employees want the
union to represent them.
promotions, demotion, termination and
resignation

Employee and
Labour Relations
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by Ambigah d/o Sandran

Size of The Company

Responsibility of HR

Small

Heads Of Department/
All Managers

Medium sized

Administration Department

Large sized

Human Resource Department

Very large sized

HR Department,
Training Department And
Industrial Relation Department

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by Ambigah d/o Sandran

Welfare managers

Personnel managers

Human resource managers

Human capital managers

main function:
Keep records of
employees
Assist in administering
various benefits, e.g.
leave applications

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by Ambigah d/o Sandran

Factor

Personnel Management HRM

Time and planning


perspective

Short term, reactive, ad


hoc , marginal

Long term, proactive,


strategic, integrated

Psychological
contract

Compliance

Commitment

Employee relations
perspective

Pluralist, collective, low


trust

Unitarist, individual, high


trust

Preferred
structure/system

Bureaucratic/
mechanistic, centralized,
formal/defined roles

Organic, devolved,
flexible roles

Roles

Specialized/professional

Largely integrated into


line management

Evaluation

Cost minimization

Maximum utilization
(human asset accounting)
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1.

Recruit suitable workers

2.

Train workers

3.

Develop compensation & benefit systems

4.

Help workers to keep themselves free from illnesses


and sickness

5.

Help workers to engage themselves and be committed

6.

Design disciplinary systems

7.

Ensure legality

8.

Maintain staff records

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by Ambigah d/o Sandran

What are the careers in HR?

DISSCUSSION!

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by Ambigah d/o Sandran

Good
Good Communication
Communication skills
skills

High
High ethical
ethical standards
standards

Able
Able to
to bring
bring change
change to
to people
people

Able
Able to
to understand
understand the
the business
business context
context

IT
IT savvy
savvy

Numerate
Numerate and
and able
able to
to analyze
analyze data
data
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by Ambigah d/o Sandran

Human resource management is steadily becoming recognised


as essential for organisational success.

Human

resource

management

is

the

development

and

implementation of systems in an organisation design to attract,


develop and retain a high performing workforce.

The human resource management function has developed since


the early days of the industrial revolution through the 20 th century
until today.

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by Ambigah d/o Sandran

Not all the organisations have a dedicated human resource (HR)


management department in which case either the office of the
chief executive will be responsible for the function or each and
every manager will be expected to carry our the necessary HR
work himself.

The Ministry of Human Resource recommends to parliament


changes to employment laws when necessary and enforces the
current laws.

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by Ambigah d/o Sandran

Term

Definition

Baby boomers

The generation born between 1946 and 1964.

Generation X

The generation born between 1965 and 1979.

Generation Y

The generation born since the 1980s also known


as dot.com generation.

Human resource

Utilisation of individuals to achieve organisational

management (HRM) objectives


Organisation

A group of people who work together to achieve


common goals

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