Human Resources Management Techniques I

Human Resources Management Techniques I

• The course is titled "Human Resources Management Techniques I", and is part of Unit 0-2.
• The professor is Zulema Nacimiento, PhD, from the University of Huelva.

The Systemic Approach and HRM Models

• This unit covers the systemic approach to Human Resource Management (HRM).
• The study of organizations as systems, looking at the interaction of various components.

What is a System?

• A system is a group of interconnected parts working toward a common goal.
• Systems can be made up of subsystems, which are highly integrated.
• Systems have inputs, processes, outputs, and feedback loops.
• These elements interact to achieve a desired outcome.

General Systems Theory (GST or ST)

• GST, developed by Ludwig von Bertalanffy in 1968, proposes that complex systems share organizing principles.
• These principles can be identified and modeled mathematically.
• The theory aims to generalize how systems function across various scientific fields.
• A key concept of GST is that "the whole is greater than the sum of its parts."
• Illustrated with the example of baking a cake—the final product is more than just the individual ingredients.

Organization as an Open System

• Organizations are open systems, interacting with their environment—inputs (raw materials, resources) are processed, outputs (products, services) result, and feedback loops are created.
• Environmental factors include various inputs and outputs like raw materials, human resources, capital, technology, information, products, services, financial results, information, and human results.

Organization as a Sociotechnical System

• Organizations combine technology (tasks, equipment, arrangements) and the social system (interpersonal relationships of employees).
• These two systems are constantly interacting and influencing each other.

HRM as a Central Subsystem

• HRM plays a central role within an organization.
• It's connected to other subsystems like finance, marketing, and technical in an enterprise.

HRM Models

• Models are prototypes or abstractions of reality in HRM.
• Two important models are the Michigan Model and the Harvard Model.

The Michigan Model

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

• Focuses on fitting HR strategies to overall business strategies.

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

• Emphasizes hard HRM and business strategy.

• Matches employees to business needs.

• Outlines the human resource cycle including recruitment, selection, performance, reward, and development.

• The model accounts for important factors such as:

  • Economic forces
  • Political forces
  • Organization structure
  • Mission and strategy
  • Cultural forces

• Focuses on reducing costs as a route to success.

• Employee strategic control and systems in managing people.

• HRM role in improving organization's competitive advantage.

• Advantages: Cost-effective, minimal training investment; faster decision-making by senior management. Less employee participation.

• Disadvantages: Demotivating for employees, no skill or ability considerations, high staff absenteeism and turnover, ineffective recruitment, and doesn’t consider stakeholder interests.

The Harvard Model

• Often called the "map of HRM territory."
• Proposed by Beer in 1984 at Harvard University.
• Recognizes multiple stakeholders in the organization.
• Focuses on the human or soft side of HRM.
• Viewed as "soft HRM," focusing on long-term success.
• Advantages: High employee participation and encouragement of motivation, commitment, and empowerment. High productivity, strong employee relationships, easy communication and teamwork. Fair opportunity for all individuals.
• Disadvantages: High cost of training, wage increases, delay in decision-making.

Aims of Michigan and Harvard Models

• The models aim to effectively utilize HRM to meet organizational objectives, ensuring efficient use of human capital in reaching company goals.

Summary of the General Systems Theory

• The General Systems Theory, developed by von Bertalanffy in 1968, establishes that the whole is greater than the sum of its parts.
• This theory enables a deeper understanding of complex systems, including organizations.
• The theory explains how organizations are made up of various parts that work together to achieve a common goal. The human resources subsystem is of importance as employees and the workforce are the most important resource in an organization.
• HRM models like the Michigan and Harvard models allow strategic use of human resources to improve company performance and effectiveness.

Explore the systemic approach to Human Resource Management in this quiz based on Unit 0-2 of the course. Understand the interaction of various components within organizations as systems and learn about General Systems Theory's implications for HRM.