HRM Functions: Staffing, Controlling, and Development

Business Management Concepts

• Business management involves understanding business practices
• Human resource management(HRM) deals with the workforce.
• Information management is handling the data.

Roles of Managers

• Managers guarantee a positive work environment and address employee issues
• Managers wield power, responsibility, and influence over employees.
• Managers can oversee individuals, departments, or the entire business, depending on the hierarchy.

Levels of Management

• Top-level management involves executive coaching, change management, leadership, delegation, and empowerment.
• Middle-level management handles problem-solving, team building, talent development, and performance management.
• Low-level management focuses on emotional intelligence and coaching for performance.

Management Functions

• Planning involves setting objectives and determining actions.
• Organizing entails arranging resources to achieve objectives.
• Staffing covers recruiting, interviewing, hiring, orienting, and dealing with job changes.
• Directing includes guiding, instructing, and supervising employees to meet organizational goals.
• Controlling involves monitoring and evaluating performance against goals, and taking corrective action.

Human Resources Management (HRM) Definition

• HRM manages people within organizations.
• Core duties include employee benefits, relations, compensation, staffing, and performance management.
• HRM manages staff to accomplish vision, mission, objectives, and strategic actions.
• HRM policies and practices influence the workforce.
• HRM ensures effective employee utilization toward individual, group, and organizational goals.
• HRM decisions influence the organization's workforce.
• HRM involves employing, developing, utilizing, maintaining, and compensating services aligning with job and organizational needs.

HR Department Functions

• HR departments handle employment, training, scheduling, motivation, evaluation, employee relations, compensation, labor relations, and safety.

HRM vs. Management

• HRM deals directly with people, whereas management includes marketing, operations, research & development, accounting & finance.
• Line managers decide work and supervise those who perform it.
• Staff human resource managers advise line managers ensuring effective and efficient means to perform HR, thus achieving objectives.

Human Resources Defined

• The 'human resources' consist of workers who perform tasks, activities, and functions for wages, salaries, and benefits.
• Human resources include full-time, part-time, casual employees, labor hire employees, and contractors.

HRM in Smaller Organizations

• Small organizations still use operating managers for basic HR functions.
• Small independent businesses are generally operated the same way as small organizations.
• Very small organizations may be exempt from legal regulations.

The focus Of HR Includes

• The HR areas of focus are: planning, staffing, compensation & benefits, training & development, and performance appraisal.

HR Planning

• HR planning ensures a person-job fit to fulfill organizational goals.
• HR planning and job analysis are associated practices.

HR Staffing

• HR staffing involves recruiting people with skills, abilities, knowledge, and experience.
• HR recruitment and selection are associated practices
• HR is responsible for designing and managing reward systems through job evaluations, employee benefits, compensation, and legal environment considerations.

Training and Development

• Training and development involves analyzing training requirements to ensure employees have the knowledge/skills for jobs or advancement

Performance Management and Appraisal

• Performance evaluation is a tool to enhance work unit efficiency.
• Performance evaluation helps ensure employees are used effectively.

Strategic Human Resource Management (SHRM)

• SHRM focuses on identifying and managing current and future workforce needs to achieve organizational goals.
• The HR plan consists of strategy, goals, and HR planning.
• Strategy is an extension of mission, bridging the organization and environment.
• Goals are defined as desired organizational outcomes.
• HR planning links human resource management with the organization's strategic plan.
• SHRM links the human resource function with strategic objectives to improve organizational performance.
• SHRM ensures the organization has skilled people in the right roles supported by effective leaders.
• Armstrong defined SHRM as decision-making on intentions and plans concerning employment, recruitment, training, development, performance management, practices and policies.
• Armstrong saw SHRM as enabling the organization to achieve goals.

SHRM Features

• Understanding the current human resource reality is crucial for effective planning.
• Identifying a vision for the future is key to shaping human resource management functions.
• Developing a plan involves translating vision into measurable actions for people management.
• Three fundamental questions can guide the human resource planning process.
• Addressing these questions helps create a focused human resource strategy with clear goals.

SHRM Scope

• SHRM scope involves culture, employees, HR organizational structure, fiscal assets, profit, and cash flow.
• SHRM stays ahead of macro-environmental factors like climate change, economy,environment, technology, politics, legislation, competition, media, and even fashion.
• The environment includes forces that bear on human resource activities which include workforce, unions, organizational culture and professional bodies
• Environmental scanning helps HR managers be proactive in responding to change and intense competition.
• The internal environment consists of forces within an organization influencing HR functions like organizational culture, unions, conflict, professional bodies, objectives, and policies.
• The external environment includes the economy, politics, technology, and demographics, which influence SHRM.

Staffing Objectives

• The role of HR is to ensure the right people with the right skills are employed.
• Ensure the HR team can compete with other organizations by recruiting and keeping the best people.
• HR develops appealing employment packages to maintain employee skill levels.

Performance Objectives

• HR ensures people are motivated and committed to maximize performance.
• Employees must receive training and development programs.
• Employee commitment should be raised by engaging employees in developing new ideas.
• Employees offer discretionary effort or engagement beyond contractural terms.

Change Management Objectives

• HR plays a central role in change management.
• Structural change can be re-organization of activities or the introduction of new staff.
• Cultural change can be attitudes, philosophies or organizational norms being subject to change.
• Key activities of change management are recruitment and/or development of change leaders, change agents, and a reward system.

Administrative Objectives

• Administrative objectives help the organization run smoothly.
• Organizations should maintain accurate employee data including performance, attendance, records and employment information.
• Payment should be administered professionally and lawfully.
• Employee benefits should be managed, including maternity, paternity, insurance, and vacation.

HR Planning Process Involves

• Organizational objectives
• Forecasting human resource needs
• Human resource supply forecast
• Human resource gap Analysis
• Creating action plans to address gaps

HRP Consists of

• Deciding the objective of HR related programs
• Estimating future organizational structure
• Calculating future manpower requirements
• Performing a Manpower audit
• Job Analysis

Factors Affecting Recruitment

• Internal factors include: company's pay package, quality of work-life, culture, planning, size, products, growth rate, and recruitment costs.
• External factors include: socio-economic factors, supply & demand, employment rate, labor market, reservation policies, and information systems.

Recruitment

• Organizations identify and attract potential employees through recruitment.
• Formal, structured recruitment is strategic and improves organizational performance.
• Recruitment builds on job or competency analysis to determine the requirements of the role, specifications, and job descriptions to identify good candidates for employment.
• There is always a need for replacement employees and those with new skills as business growth is always happening.

Internal Recruitment

• Internal recruitment involves filling jobs internally, moving or giving promotions to existing employees.
• Internal recruitment is less expensive, needing no job advertisements or recruitment agencies.
• Cost savings and efficiency are gained because internal recruits take up posts quickly.
• Internal candidates know the job and culture.
• Employee motivation increases with promotion opportunity
• Existing staff feel valued, and feel there are career development opportunities within the organization.
• The main drawback is a limited candidate pool and the best candidate might not be considered
• It can be difficult to manage employee expectations if not selected.
• Internal recruitment can sit uneasily with a commitment to equal opportunities and diversity
• Considering candidates along with suitable external candidates is considered good practice.

Online (E) Recruitment

• Online recruitment uses employer websites and cyber agencies.
• Benefits include inexpensive advertising to a potentially massive audience.
• Speed of response and shortlisting using CV-matching software is faster.
• Problems involve volumes of applications, unreliable tests, security/confidentiality fears, and unethical cyber-agencies.

Employer Branding

• Organizations increasingly position themselves as 'employers of choice'.
• To attract stronger applications, Develop a positive 'brand image'.
• A positive image can lower recruitment costs through unsolicited applications.
• Developing a good is easier for brand name companies to acquire job applicants.
• High pay, benefits, job security, flexible working, and informal atmosphere are working aspects to emphasise in recruiting.
• Information should be communicated to potential and actual applicants.
• Repeat this message on websites or career fairs to reach job seekers.

Employment Branding Involves

• Developing a good 'brand image' is easier for companies that have household names.
• Build on any aspect of the working experience that is distinct like high pay or benefits package.
• Emphasize work flexibility, friendly atmosphere, career development, or job security.
• Communications must be communicated to potential applicants.
• Messages must be repeated consistently in advertisements, Internet sites, and at career fairs.

Googleplex employee perks include

• Several café stations give employees free food.
• Snack rooms stocked with goodies and healthy food
• Gym, swimming pool, park, and Game rooms facilities for employees to use
• Google employees receive a comprehensive benefits package that includes: medical and dental coverage, tuition reimbursement, a child care center, adoption assistance, on-site doctor, financial planning services special corporate events etc.
• The business give birth family leave for 5 months fully paid maternity leave to attract quality applicants.

Test your knowledge of Human Resources Management (HRM) functions. Questions cover staffing strategies, the controlling management function, digital transformation preparedness, fostering continuous improvement, employee retention, international market expansion, and HRIS implementation.