Human Resources Management Techniques I

Human Resources Management Techniques I

• Professor: Zulema Nacimiento, PhD.
• University: University of Huelva
• Unit: 0-2

Unit 0-2: The Systemic Approach and HRM Models

• This unit focuses on the systemic approach to HRM and various models within the subject.

What is a System?

• A system is a set of interconnected, separate elements working towards a common goal.
• A system (or subsystem) is an organized collection of parts which are integrated in order to accomplish a larger overall goal.
• Systems have inputs, processed through certain steps, to create outputs which combine to meet the desired goal.

General Systems Theory (GST or ST)

• Outlined by Ludwig von Bertalanffy (1968).
• GST's premise: complex systems share organizing principles which can be modeled mathematically.
• GST aims to create a general theory explaining all systems in all fields of science.
• It became a paradigm.
• The basic idea of Systems Theory: 'the whole is greater than the sum of its parts.' A classic example is baking a cake: combining ingredients creates a cake whereas each ingredient on its own is not a cake.

The Organization as an Open System

• Organizations are open systems, meaning they interact with their environments.
• Inputs: Raw materials, human resources, capital, technology, and information.
• Transformation Process: Employees' work activities, management activities, technology, and operations methods.
• Outputs: Products/services, financial results, information, and human results.
• Feedback: The cycle that adjusts the system based on inputs and outputs.

The Organization as a Sociotechnical System

• Organizations are combinations of technology (tasks, equipment) and the social system (interpersonal relationships).
• The two systems constantly interact and influence each other.

HRM as a Central Subsystem in an Enterprise

• HRM is a crucial subsystem in any organization.
• HRM is connected to other subsystems, such as product subsystems, financial subsystems, and marketing subsystems.

Models of HRM

• Models in HRM are prototypes that represent reality.
• In HRM, there are two well-known models: The Michigan Model and the Harvard Model.

HRM Models: The Michigan Model

• Also known as the 'matching model' or 'best-fit' approach.

• Developed at the Michigan Business School by Fornbun, Tichy & Devanna in 1984.

• The model prioritizes a tight fit between HR strategies and the overall business strategies.

• Emphases the importance of business strategy and ‘matching’ employees to business needs.

• The HR cycle includes recruitment & selection, performance, rewards and development & training.

• Focuses on hard HRM (cost-effectiveness, short-term focus, and autocratic leadership styles).

  -Advantages: -Cost-effective -Minimal investment in employee development or training -Faster decision-making at the senior management level

  -Disadvantages: - Demotivating for employees - High staff absenteeism and turnover due to employee dissatisfaction - Ineffective recruitment practices - Inappropriate consideration of stakeholder interests

• Key Principles: Emphasizes the human resource cycle: recruitment & selection, performance & monitoring, rewards, and development & training

HRM Models: The Harvard Model

• Referred to as 'the map of HRM territory'.

• Postulated by Beer in 1984 at Harvard University.

• Recognizes the existence of multiple stakeholders in an organization.

• Focuses on soft HRM (employee participation, long-term view, and democratic leadership style).

  -Advantages: - Employee participation, empowerment, and commitment - High productivity and a strong employee-employer relationship - Improved communication and teamwork - Equal opportunities for all individuals

  -Disadvantages: - High cost of training for employees - Wage increases to maintain competitiveness - Slower decision-making process

• HRM is viewed as a set of policy choices (reward/work systems).

• Focus is on organizational performance and employee well-being.

• Effective utilization of employees is key.

• Long-term focus, employee empowerment, delegated roles, and democratic leadership are prioritized.

Michigan and Harvard Models: Aims

• Both models aim to achieve the effective utilization of human resources.
• The key goal is enabling the achievement of organizational objectives.

General Systems Theory Summary

• Introduced in 1968, it's a base for understanding how organizations function because they are made of interconnected units; the whole is greater than the sum of its parts.
• It clarifies how HR can be a central, critical component needed by organizations for efficiency and success.

This quiz covers Unit 0-2 of Human Resources Management, focusing on the systemic approach and various HRM models. It explores the definition of a system, General Systems Theory, and the characteristics of complex systems. Prepare to delve into the intricacies of HRM concepts and their applications.