HRM Chapter 1: Introduction to HR Management

Chapter 1: Introduction to Human Resource Management

• Human resource management (HRM) is a management function focused on hiring, motivating, and retaining employees.
• HRM focuses on acquiring, training, compensating, and appraising employees.
• HRM also involves attending to labor relations, health/safety, and fairness concerns for employees.
• Learning objectives include explaining HRM, key trends impacting HRM, traits of modern HR managers, and HR manager competencies.

Learning Objectives

• Explain what human resource management is and how it relates to the management process.
• Discuss and illustrate trends influencing human resource management.
• List and describe traits of today's HR managers.
• Describe four important HR manager competencies.

HRM Defined

• HRM is a management function concerned with hiring, motivating, and maintaining people within an organization.
• It centers on acquiring, training, compensating, and appraising employees.
• HRM also manages labor relations, health and safety, and employee fairness concerns.

Functions of HRM

• HRM functions are categorized as managerial and operative.
  • Managerial functions include planning, organizing, directing, and controlling.
  • Operative functions include staffing, maintenance, training & development, and motivation.

Operative Functions of HRM-2

• Staffing: Includes strategic human resource planning, recruitment, and selection.
• Maintenance: Covers health & safety, communication, and employee relations.
• Training & Development: Includes orientation, employee training, employee development, organization development, and career development.
• Motivation: Involves motivation and job design, performance management, reward & compensation, and employee benefits.

Line and Staff Managers

• Line Managers: Authorized to direct subordinates' work and responsible for achieving organizational tasks.
• Staff Managers: Assist and advise line managers in achieving organizational goals.

Human Resource Duties (Line Managers)

• Placing the right person in the right job.
• Starting new employees (orientation).
• Training employees for new jobs.
• Improving individual job performance.
• Fostering cooperation and smooth working relationships.

Human Resource Duties (Line Managers Continued)

• Explaining company policies and procedures.
• Controlling labor costs.
• Developing employee abilities.
• Maintaining high departmental morale.
• Protecting employee health and well-being.

Line and Staff Aspects of Human Resource Management

• Authority is the right to make decisions, direct others, and give orders.
• Line managers have authority to direct subordinates and achieve organizational goals.
• Staff managers assist and advise line managers in achieving organizational goals; HR managers are generally staff managers.
• HR managers typically have line authority within their department (for example, over their own HR staff).

HR Organization Chart (of a Large Organization)

• Displays departments and responsibilities within a large HR organization. (See diagram in provided text)

Changes & Trends in HRM

• Globalization Trends impacting companies are extending sales & manufacturing to new overseas markets.
• Technological Trends include virtual online communities, internet-based distribution systems, and changing ways people work.
• Trends in the nature of work, including service jobs increasingly dominating the employment landscape, knowledge work's emphasis on skills & expertise, and implications of these changes for HR.
• Workforce and demographic trends, including differing work values across generations (e.g., Gen Y).
• Economic Challenges and Trends impacting strategies for hiring, employment, and HR management during recessions & economic instability.

1-Globalization Trends

• Firms are increasingly extending their reach to new markets abroad.
• Globalization impacts employee compensation, productivity, and production/manufacturing costs.

2-Technological Trends

• Online communities and internet-based systems facilitate competition.
• Technology significantly affects work styles and required skills.

3-Trends in the Nature of Work

• Service sector jobs are growing.
• Knowledge work is emphasizing employee skills & expertise.
• HR managers must adapt to changes in the nature of work by employing more creative means to identify, attract, select, train, and motivate workers.

4-Workforce and Demographic Trends (Gen Y)

• Younger workers may have different work values than previous generations.
• Older employees may be more work-centric; younger employees often prioritize family.

Workforce and Demographic Trends Cont.

• The future of work requires employees with versatile skills (e.g. digital tools, data analytics and management, design and creativity)

Common Traits: Generation Y Professionals

• Tech-savvy
• Family-centric
• Achievement-oriented
• Feedback-seeking
• Job-hopping
• Team-oriented

5- Economic Challenges and Trends

• Economic downturns affect hiring and employment practices.
• Available jobs may be fewer, and responsibilities may expand for existing employees.
• HR managers must be effective during economic hardship, and need to plan for future economic conditions & recovery.

Human Resource Manager Competencies

• Strategic positioners
• Credible activists
• Capability builders
• Changes champions
• HR innovators and integrators
• Technology proponents

Human Resource Manager

• HRM competences include acquiring, training, appraising, and compensating employees.
• HRM manages labor relations, employee health & safety, and fairness concerns.
• HRM competencies needed to strategically position the company, manage employees effectively, deal with vendors and technology, create human resource practices that support the company's culture, and develop talent.

The New Human Resource Manager

• Focus more on strategy.
• Focus on improving performance.
• Measure HR performance and results.
• Use evidence-based HRM.
• Add value to the organization.
• Utilize new methods for providing HRM services.
• Take a talent management approach.
• Manage employee engagement and related ethics.
• Comprehend HRM philosophy.
• Adapt to new skill demands and approaches.

Thank You!