Human Resources Management Techniques I

Human Resources Management Techniques I

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

Systemic Approach and HRM Models

• Unit: 0-2
• Topic: The Systemic Approach and HRM Models

What is a System?

• A system is a group of interconnected parts that work together toward a common goal.
• A system can also be composed of subsystems, which are smaller, integrated parts.
• Systems have inputs, processes, and outputs that work together to achieve the overall goal.

General Systems Theory (GST or ST)

• Developed by Ludwig von Bertalanffy in 1968
• GST's premise: Complex systems share organizing principles that can be mathematically modeled.
• Used to explain all systems in all scientific fields
• Became a paradigm - a framework for understanding systems.
• Key Idea: "The whole is greater than the sum of its parts." (e.g., baking a cake – ingredients individually are not a cake)

The Organization as an Open System

• Inputs: Raw Materials, Human Resources, Capital, Technology, Information
• Transformation Process: Employees' Work Activities, Management Activities, Technology & Operations Methods.
• Outputs: Products & Services, Financial Results, Information, Human Results
• Feedback loop: Continuous cycle; informs and readjusts the process using the output information.

The Organization as a Sociotechnical System

• Organizations are made up of two interacting systems: a technology system (tasks, equipment, working arrangements) and a social system (employee interpersonal relationships)
• These two systems are constantly interacting and influencing each other.

HRM as a Central Subsystem

• HRM (Human Resource Management) is a crucial subsystem within overall organizational functions.
• Interactions between HRM and other subsystems (e.g., Product, Marketing, Technical) are vital.

Models of HRM

• Models are prototypes or abstractions representing reality in HRM.

HRM Models: The Michigan Model

• Also known as the Matching Model or Best-Fit Model

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

• Focuses on hard HRM and aligning HR strategies with overall business strategies.

• Matches employee characteristics to business needs.

• Emphasizes the human resource cycle: Recruitment & Selection, Performance & Monitoring, Rewards, Development & Training.

• Aligns HR to business strategy (mission, structure).

• Focus is on cost reduction and efficiency (hard HRM).

• Short-term focus and autocratic leadership.

• Key Principles:

  • Tight Fit: HR strategies need to align with the overall organizational strategies.

• Importance of Business Strategy: hard HRM

HRM Model: The Human Resource Cycle (Michigan Model)

• Cycle of activities from recruitment to development, ongoing performance monitoring and appraisal.
  • Recruitment and selection
  • Performance
  • Reward/Compensation
  • Appraisals/Performance Review
  • Development training and feedback loops.

The Michigan Model: Inputs, Transformation, and Outputs

• Inputs (e.g., hiring applicants): organization strategies, political and economic factors, human resources
• Transformation (e.g., onboarding and orientation): Matching employee characteristics to business needs and strategic objectives.
• Outputs (e.g., employee productivity gains): Matching individuals to best suited employment roles/objectives.

HRM Model: Michigan Model (continued)

• Advantages: Cost-effective, faster decision-making by senior management only.
• Disadvantages: Demotivating for employees, ineffective recruitment practices, high turnover, ignores stakeholder interests.

HRM Models: The Harvard Model

• Also known as "Soft HRM"
• Proposed by Beer in 1984 at Harvard University.
• Focuses on the human aspect of HRM, recognizing multiple stakeholder interests.
• The organization and HR's role are integral/central to the success and efficiency.
• HRM is a set of policy choices influencing work systems and employee well-being.
• Long-term focus and empowering employees.
• Emphasizes: Employee participation, motivation, empowerment, high productivity, collaboration and communication, and equal opportunity.

Harvard Model: Advantages and Disadvantages

• Advantages: Employee participation, better employee commitment, high productivity, positive employee-employer relationships, easier communication and teamwork.
• Disadvantages: High cost, possible wage increases, longer decision-making processes.

Michigan and Harvard Models: Aims

• Effective utilization of HR to achieve organizational objectives. This is done in an aligned, integrated manner with existing business strategy.

Explore the systemic approach and HRM models in this quiz based on the first unit of Human Resources Management Techniques I. Understand the concepts of systems, General Systems Theory, and their importance in HRM. This quiz is essential for students aiming to grasp foundational HRM principles.