All HR Slides PDF - International Business Administration
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Uploaded by CushyAcademicArt4628
Hochschule Luzern
2024
Dr. Andreas Jäger Fontana
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Summary
This document is a set of lecture notes on Human Resources Management within the context of International Business Administration. It covers the fundamentals of HRM, its goals, impact, and components. It also discusses the various contextual factors affecting HRM, including cultural and institutional differences, and how strategic HRM can be used to achieve organizational goals.
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Session 1 Framework and Fundamentals Bachelor of Science in International Business Administration Module Human Resources Dr. Andreas Jäger Fontana Lecturer Phone direct +41 79 383 73 41 [email protected] Business August 23, 2024 Learning Objectives Understanding the meaning, issues...
Session 1 Framework and Fundamentals Bachelor of Science in International Business Administration Module Human Resources Dr. Andreas Jäger Fontana Lecturer Phone direct +41 79 383 73 41 [email protected] Business August 23, 2024 Learning Objectives Understanding the meaning, issues, goals and impact of HRM Understanding the concept of people management Understanding that HRM is strategic by nature Understanding the main contextual factors that affect HRM practices Being aware of the additional complexity in an international setting August 23, 2024 Page 2 Learning Path August 23, 2024 Page 3 Fundamentals August 23, 2024 Page 4 Human Resource Management - a controversial term The Scope Human resource management is concerned with the behaviour of people who work in organizations. The Issue The term «human resources» reduces people to the same category of value as materials, money and technology. All resources are only valuable to the extent they can be exploited or leveraged into economic value. The new philosophy: «people management» The attention given to the interests of employees has to equal the attention given to the interests of the business. Employees should be regarded as people rather than as exploitable resources. Employment policies are pursued that are socially legitimate and produce benefits for both. August 23, 2024 Page 5 Human Resource Management - Goals and Impact Impact on Performance of individuals and the whole organization, Behaviours and Culture, Systems (Work Design), Structure (Organization Design) Develop and implement human Ensure that the organization resource strategies which are has the knowledgeable, skilled, integrated with the business engaged and productive people strategy it needs Achieve social legitimacy by Provide for a positive employee applying an ethical approach to experience people management August 23, 2024 Page 6 Human Resource Management - Components HR strategies HR policies HR practices define the direction in provide guidelines activities involved in which HRM intends to defining how specific managing people and take each of its main aspects of HRM should in managing the areas of activity be applied and employment implemented relationship August 23, 2024 Page 7 The Context August 23, 2024 Page 8 Environmental factors inside and outside the organization The Environment Environmental factors inside and outside the organization exert a major influence on how an organization functions. The internal environment of an organization The external environment of an consists of: organization impacts through: its social system (the ways in which work the forces of national and international groups are organized and the interactions competition, the deregulation of markets that take place), and the impact of globalization, its technical system (the ways in which the economic and societal trends, work is organized and carried out to deliver developments in new technology, products or services to customers or clients), government interventions in the shape of the sector in which the organization operates legislation and regulations. and its size, complexity, technology, culture and financial circumstances. August 23, 2024 Page 9 Trends - What’s happening to work? The gig AI and economy automation Zero-hours short-term new forms of contracts contracts or integration and co- no minimum set operation, more freelance work as contracted hours value-added, opposed to permanent jobs higher-skilled tasks Demographics Attitudes to work increased proportion Some people just of women, greater see work as a ethnic diversity, means to an end more educated while others see it employees and an as a source of ageing population fulfillment August 23, 2024 Page 10 The Concept of Strategy August 23, 2024 Page 11 The Meaning of Strategy Strategy is the approach selected to achieve specified aims in the future. Strategy is concerned with defining and developing the business model of an organization. Three characteristics: 1.Strategy is forward looking, a declaration of intent and direction (vision). 2.Strategy recognizes that an organization depends on its potential to deliver results (resource-based view). 3.Strategy aims to achieve strategic fit – between the organization‘s overall business strategy and its functional strategies (e.g. HRM strategy) within the context of its external and internal environment. In sum, strategic management deals with both ends (the vision of the future) and means (how the vision will be realized). August 23, 2024 Page 12 Strategic HRM - Ensuring key people issues are dealt with strategically The Environment Scanning the internal and external environment and analyzing the implications The Stakeholders Stakeholders are the people or bodies who have a legitimate interest in an organization, include shareholders, (owners), management, employees, suppliers, customers and the community or public at large. 1. Who are the people who are likely to have legitimate interests in or concerns about what we are proposing to do? 2. What are those interests and concerns? 3. To what extent does our proposal meet or conflict with them? 4. In the light of the answer to question 3, do we need to modify the proposal? 5. How should we take account of these interests and concerns in our plans for implementing the proposal? August 23, 2024 Page 13 The International Dimension August 23, 2024 Page 14 Understanding factors affecting behaviour of people in multi-national companies International human resource management (international HRM) is the process of managing people across international boundaries by multinational companies (MNCs). A multinational organization is an entity which: Organizational Behaviour describes: 1) exists to achieve a purpose through the 1) how organizations function with regard to collective efforts of people who work in their structure, processes and culture; different locations across the globe and 2) the characteristics of people and how they 2) is affected by the different environments of act in organizations, individually or in groups. its sub-units. August 23, 2024 Page 15 Contextual Factors Contextual Factors Cultural differences are often treated as the most significant factor, but institutional differences are also important. Cultural Differences variations in national cultures are reflected in people’s values, beliefs and behavioural patterns. Institutional Differences include the role of the state, employment law, national systems of education and training, employee relations etc. August 23, 2024 Page 16 The Challenge Challenge Determine the extent to which HR policies and practices should converge or diverge. Standardization or convergence refers to the degree to which an international parent company’s HR policies and practices are adopted by each of its subsidiaries. Localization or divergence refers to the extent to which subsidiaries operate their own HR policies and practices and act and behave as local firms. August 23, 2024 Page 17 We see with our brain, not our eyes We do not see reality, we construct it Where is your point of reference ? August 23, 2024 Page 18 Drivers of Convergence Environmental removal of trade and investment barriers, deregulation of markets, emergence of global customers, spread of new web-based technologies Strategic business advantages resulting from global branding, standardization, ability to respond quickly to competitive challenges by redeploying resources Structural global structures promoting integration (while structures based on national units can inhibit it) August 23, 2024 Page 19 Up- and Downsides of Convergence August 23, 2024 Page 20 Unfolding the Map August 23, 2024 Page 21 The Landscape of Human Resources Management The Organisation Internal Stakeholders External Motivate Stakeholders Attract Unlock Environment Potentials and Trends Retain and Care Concepts, Framework during Reward Models, Exit Tools Employee Lifecycle Topics Concepts, Models, Tools August 23, 2024 Page 22 The Landscape of Human Resources Management Experts Culture Owners Leaders Steering Internal Strategy Customers Stakeholders Suppliers Structure The and External Organisation Processes Stakeholders Unions Motivate Attract Society Economy Unlock Environment Potentials and Trends Retain Ecology and Care during Framework Reward Exit Politics Employee Lifecycle Technology and Topics Law Concepts, Models, Tools August 23, 2024 Page 23 The Landscape of Human Resources Management Experts Culture Owners Leaders Steering Internal Strategy Customers Stakeholders Suppliers Structure The and External Select HR Organisation Processes Stakeholders Marketing & Intrinsic & Recruiting Extrinsic Motivation Unions Employer Branding Attract Society Onboarding Develop Motivate Motivation Theories Economy Identify Fit-Concept and create visibility of Unlock potential Professional Psychological Environment Retention Potentials Success Contract Leadership and Management Theories Trends Ecology Incentives Framework Retain Pay for and Care Performance Employee Lifecycle Politics Separation Performance Technology and during Evaluate Management Reward Topics Law Exit Concepts, Models, Tools Exit Equal Pay Processes August 23, 2024 Page 24 The Landscape of Human Resources Management Experts Culture Owners Leaders Steering Internal Strategy Customers Stakeholders Suppliers Structure The and External Select HR Organisation Processes Stakeholders Marketing & Intrinsic & Recruiting Extrinsic Motivation Unions Employer Branding Attract Society Onboarding Develop Motivate Motivation Theories Economy Identify Fit-Concept and create visibility of Unlock potential Professional Psychological Environment Retention Potentials Success Contract Leadership and Management Theories Trends Ecology Incentives Retain Pay for and Care Performance Politics Separation Performance Technology and during Evaluate Management Reward Law Exit Exit Equal Pay Processes August 23, 2024 Page 25 Compulsory Reading Armstrong, Michael and Taylor, Stephen (15th Edition, 2020). Armstrong’s handbook of human resource management practice. London: Kogan Page. 01 Human Resource Management 02 Strategic HRM 03 HR Strategy 05 The Context of HRM 07 International HRM (excerpts on Ilias) August 23, 2024 Page 26 Session 2 Organizational Behaviour and Motivation Bachelor of Science in International Business Administration Module Human Resources Dr. Andreas Jäger Fontana Lecturer Phone direct +41 79 383 73 41 [email protected] Business September 25, 2024 Learning Objectives Organizational Behaviour Understanding relevant aspects of human nature Understanding factors affecting how organizations function Understanding factors affecting behaviour of people in organizations Motivation, Commitment, Engagement Understanding the elements of what motivates people Knowing how to apply selected motivation theories Understanding the concepts of Commitment and Engagement September 25, 2024 Page 2 Learning Path September 25, 2024 Page 3 Human Nature September 25, 2024 Page 4 Enquiring human behaviour - scientific sources and foundations Psychology Neuro- Sciences Social Psychology Behavioural Economics Sociology September 25, 2024 Page 5 We see with our brain, not our eyes We do not see reality, we construct it What do you see ? September 25, 2024 Page 6 The Economics of Effective Leadership Recent developments in economic science The study of how leaders shape the behaviour of followers While many research findings confirm some commonly held beliefs about leadership, other findings turn many of them upside down. For example, one striking set of findings is the extent to which mere words have a similar – or, sometimes even stronger – effect than financial incentives. Establishing whether a factor really causes an outcome Economists contribute to our understanding of leadership both by asking how much of what leaders do can really be shown to matter? And, relatedly, where do leaders matter less than people think? Roberto Weber, The Economics of Effective Leadership. UBS Center Public Paper #3, June 2015 Roberto Weber is Professor of Behavioral Economics at the Department of Economics at the University of Zurich. September 25, 2024 Page 7 Factors affecting how organizations function September 25, 2024 Page 8 Organizational Behaviour - Definition Organizational Behaviour describes: An organization is an entity which: 1) how organizations function with regard 1. exists to achieve a purpose through to their structure, processes and culture; the collective efforts of the people who work in/for it, 2) the characteristics of people and how they act in organizations, individually or 2. is affected by its environment. in groups. September 25, 2024 Page 9 Factors affecting how organizations function Culture and Social Climate Processes Structure Environment and Trends The Organization Technology Purpose Characteristics of people September 25, 2024 Page 10 Organizational Structure between Stability and Agility Source: https://www.youtube.com/watch?v=Pc7EVXnF2aI John P. Kotter (2012). Accelerate!. Harvard Business Review, November Issue, 2012. John P. Kotter is Konosuke Matsushita Professor of Leadership, Emeritus at Harvard Business School. September 25, 2024 Page 11 Organizational Structure between Stability and Agility People in ambidextrous organizations are faced with: elements of Stability (reliable, predictable, efficient) as well as elements of Agility (fast, flexible, innovative). Network Hierarchy «Ambidexterity» is a concept from the Evolves spontaneously as fields of Medicine and Biology referring to the circumstances change and new A stable and efficient ability to use the right and left hands equally activities have to communication and well. be carried out decision making system September 25, 2024 Page 12 Organizational Culture A result of shared experiences and learnings Norms are the unwritten rules of Norms behaviour that provide informal guidelines on how to behave, for instance dress code. Culture Artefacts collective mental programming of Visible and tangible aspects of the people in an culture that people hear, see or feel, environment for instance the tone and language People used in e-mails. Management Style Values Values are beliefs in what is good and what should or ought to happen, for instance quality. September 25, 2024 Page 13 Social Processes affecting how organizations function Group Role Behaviour Behaviour Leadership Interaction and Social Networking Processes Communication Conflict Politics Power September 25, 2024 Page 14 Factors affecting how people behave at work Variations in personal characteristics Emotions Traits Personality Types Ability Personal Characteristics Attitudes Intelligence September 25, 2024 Page 15 Motivation September 25, 2024 Page 16 The Meaning of Motivation More than a question of reward and punishment «Motivation is the force that energizes, directs and sustains behaviour.» Instrumentality Theory … states that rewards and punishments are the best instruments with which to shape behaviour. … assumes that people will be motivated to work if rewards and punishments are tied directly to their performance. … exclusively relies on external controls and does not recognize other human needs. September 25, 2024 Page 17 Intrinsic and Extrinsic Motivation Intrinsic Motivation Extrinsic Motivation Motivation by the work itself. Extrinsic motivation occurs Activity considered when things are done to or intrinsically worthwhile. for people in order to It is not created by external motivate them. incentives. Such as rewards (incentives, Is based on the need to be increased pay, praise or Ryan, R. M., & Deci, E. L. (2000). competent and self- promotion) and punishments Intrinsic and extrinsic motivations: Classic definitions and new directions. determining (that is, to have (disciplinary action, Contemporary Educational Psychology, a choice). withholding pay, or criticism). 25(1), S. 54-67. September 25, 2024 Page 18 Intrinsic and Extrinsic Motivation Crowding-out effects working in both directions Individual behaviour cannot be equally extrinsically (hope for reward or fear of punishment) and intrinsically (self-determination and meaningfulness) motivated. An existing intrinsic motivation can be undermined by extrinsic motivators, if the importance of self-determination and meaningful tasks is diminished. Example: people experience threats, deadlines, directives, competition pressure as controllers of their behaviour. An existing extrinsic motivation can be crowded out by intrinsic motivators, Ryan, R. M., & Deci, E. L. (2000). if extrinsically motivated behaviour becomes more self-determined. Intrinsic and extrinsic motivations: Classic Example: elementary school children inwardly grasp, over time, the definitions and new directions. Contemporary Educational Psychology, meaning and worth of doing homework (internalization of values). 25(1), S. 54-67. September 25, 2024 Page 19 Expectancy Theory (Porter & Lawler) Rewards received impacts motivation Feedback Loop Ability and Characteristics Intrinsic Reward Effort Performance Satisfaction (Motivation) (Result) with Reward Extrinsic Role Reward Understanding Reward is considered appropriate or was anticipated Reward respectively? depends on performance? Feedback Loop Porter, L. W., Lawler, E. E. (1968). Managerial attitudes and performance. Homewood, Illinois: Irwin-Dorsey. Own Illustration September 25, 2024 Page 20 Link to other Motivation Theories Ability and Characteristics Intrinsic Reward Effort Performance Satisfaction (Motivation) (Result) with Reward Extrinsic Role Reward Understanding Reward is considered appropriate or was anticipated Reward respectively? depends on performance? Self-Determination Two-Factor Equity-Theory Theory Model (Adams) (Deci/Ryan) (Herzberg) September 25, 2024 Page 21 Self-Determination Theory (Deci/Ryan) Three psychological needs motivate the self to initiate behaviour Striving for Striving for Striving for Competence Autonomy Relatedness Intrinsic Motivation Ryan, R. M., & Deci, E. L. (2000). The ‘what’ and ‘why’ of goal pursuits: human needs and the self-determination of behavior, Psychological Enquiry, 11 (4), pp 227–68. September 25, 2024 Page 22 Two-Factor Model (Herzberg) Sources of job (dis)satisfaction Motivating Factors («Satisfiers») Such as job content, responsibility, sense of achievement, opportunities for advancement,… Not Satisfied Satisfied Dissatisfied Not Dissatisfied Hygiene Factors (Preventing Dissatisfaction) Herzberg, F. (1966) Work and the Nature of Man. New York: Staple Context elements such as working conditions, Press. Climate, Policies, Relationship to Supervisor, … September 25, 2024 Page 23 Equity Theory (Adams) Comparison with others Own Outcome Other’s Outcome Perceived = Equity Own Input Other’s Input Other’s Outcome Own Outcome Perceived Adams, J. S. (1965) Injustice in social < Inequity exchange. In Berkowitz, L. (Ed.) Advances in Own Input Other’s Input Experimental Psychology. New York: Academic Press September 25, 2024 Page 24 Equity Theory Comparison with others Frans de Waal, Primatologist and Ethologist Fairness experiment with capuchin monkeys: https://www.youtube.com/watch?v=meiU6TxysCg Questions How could the behaviour of the monkey be interpreted? What could the monkey do? Refer to the possible reactions based on the equity theory. September 25, 2024 Page 25 Commitment and Engagement September 25, 2024 Page 26 Commitment and Engagement A new people management «mantra» Motivation Commitment Engagement the force that energizes, an individual’s identification people employing and directs and sustains with, and involvement in, an expressing themselves behaviour organization physically, cognitively and emotionally Rational serves an individual’s Intellectual financial, developmental or thinking hard about the job professional self-interest and how to do it better Emotional Affective arises when employees value, feeling positively about doing enjoy and believe in what a good job they do Social actively discussing work- related improvements with others September 25, 2024 Page 27 An additional component of engagement Organizational Citizenship contributing to organizational effectiveness Commitment Organizational Citizenship being respectful of and helpful to colleagues Engagement not explicitly recognized by the employer’s formal reward system resulting from a positive employee experience (what they encounter, observe and Motivation feel during the course of Model of Employee Engagement their employment) Institute for Employment Studies (IES), Brighton (UK) September 25, 2024 Page 28 Enhancing organizational engagement The «Big Idea» The «Big Idea» Voice a clear sense of mission underpinned by values employees have a and a culture expressing voice and can share what the firm stands for their concerns, opinions and ideas with their employers Involvement employees treated as partners given the opportunity to understand the relevance of their work September 25, 2024 Page 29 Compulsory Reading Armstrong, Michael and Taylor, Stephen (15th Edition, 2020). Armstrong’s handbook of human resource management practice. London: Kogan Page. 19 Organizational Behaviour 24 Motivation 25 Commitment 26 Engagement (excerpts on Ilias) September 25, 2024 Page 30 Session 3 Resourcing People Bachelor of Science in International Business Administration Module Human Resources Dr. Andreas Jäger Fontana Lecturer Phone direct +41 79 383 73 41 [email protected] Business August 23, 2024 Learning Objectives Attraction, Recruiting, Selection Understanding the key elements of strategic resourcing Learning how to analyze and apply them August 23, 2024 Page 2 Learning Path August 23, 2024 Page 3 Strategic Resourcing August 23, 2024 Page 4 Strategic Resourcing Integrating business and resourcing strategies Integrating Business Strategy (the direction in which the organization intends to go) with Workforce Planning and Talent Management The skills and behaviours The numbers of people required required to support the to meet business needs achievement of the business strategy Creation of a talent pool of Plans for changing the people with potential and of culture of the organization growth opportunities (careers) August 23, 2024 Page 5 Strategic Resourcing Framework Holistic approach Business Strategy: the direction in which the organization intends to go Target Employer Recruiting Audience Selection Onboarding Branding Activities Marketing Candidate Experience Employee Experience August 23, 2024 Page 6 Attraction August 23, 2024 Page 7 Employer Brand An organization’s identity Definition Developing an Employer Brand Define the features that are likely to affect An employer brand is the image presented by an people’s perceptions of the organization organization as an attractive employer – ‘a great Develop an employee value proposition place to work’. Use what is called ‘recruitment content marketing’: The key feature of the employer brand will be the 1. defining objectives, e.g. increase brand reputation of the company as an employer. awareness, increase traffic to career site by x per cent; However, the reputation of the organization in 2. identifying the target audience in terms of job terms of how it does business, the quality of titles and skills and locations; and its products or services, its core values as 3. deciding on content such as images, revealed by its actions, and how and why it is photographs, video and written text successful are also important. August 23, 2024 Page 8 Employee Value Proposition How to become and stay Employer of Choice Definition Developing an Employee Value An organization’s employee value proposition Proposition consists of what it offers to prospective or Analyzing what the organization has to offer existing employees that they will value and people by reference to, for instance, its that will persuade them to join or remain with reputation, its working environment, its the business. approach to diversity, etc. What the What people will What competitors Employee Value organization has to value are good at Proposition offer A A A A B B B B C C C C D D D D August 23, 2024 Page 9 Time to Reflect Analyzing an Employer Brand Video Working at Dropbox: https://www.youtube.com/watch?v=fCODw48Kt2I Working at Siga: https://www.youtube.com/watch?v=Xi5QFeYKnJg Questions What is the employee group targeted at? What are the key features of the employee value proposition? What makes Dropbox and Siga unique? What features do you consider particularly credible, not credible? August 23, 2024 Page 10 Recruiting August 23, 2024 Page 11 Pro-actively approaching candidates Pro- activeness Tribal Recruiting Guerilla Competitive Recruiting Intelligence Talent Scouting Corporate Referral Social Website Programs Media Campus Recruiting «posting» Vacancies Involving Professional Community August 23, 2024 Page 12 Guerilla Recruiting and Competitive Intelligence Pizza Digitale - YouTube To expand the digital team at its Hamburg office, Scholz & Friends relied on an unusual recruiting campaign. Home | Scholz & Friends Family (s-f.family) August 23, 2024 Page 13 Selecting August 23, 2024 Page 14 Selection Methods Assessing the suitability of candidates Defining Requirements Interviews based on strategic workforce planning the most familiar method of selection 1) structured (competency-based) or unstructured (narrative) 2) one-to-one or panel Role Profiles defining the overall purpose of the role, its reporting relationships and Selection Tests the key result areas measuring the same thing (reliability) and what is intended (validity) 1) Intelligence 2) Personality 3) Ability / Aptitude Person Specification defining the knowledge, skills, abilities, experiences and the types of Assessment Centres behaviour expected from role holders 1) assemble a group of candidates over a concentrated period (one or two days) 2) use exercises 3) use assessors / observers August 23, 2024 Page 15 Validity of Selection Methods Biographical methods Highest predictive validity Application Documents (CV, Diploma, References by previous employer etc.) These procedures best predict job Individual References performance. Biographical Interview and Questionnaire Characteristics oriented methods Tests (Personality, Intelligence, Integrity) Simulation oriented methods Work Samples Assessment-Center Multimodal methods Structured Interviews August 23, 2024 Page 16 Use of AI in the selection process How AI Changes The Way We Apply For Jobs Software scans your face, analyzes your words, and monitors your intonation. Many companies are using AI to review resumes or analyze hiring videos. Recommendable? Problematic? Less biased than your own perception? https://www.youtube.com/watch?app=desktop&v=JmF-SUiMWV4&embeds_euri=https%3A%2F%2Fhub.hslu.ch%2F&embeds_origin=https%3A%2F%2Fhub.hslu.ch&source_ve_path=MjM4NTE&feature=emb_title August 23, 2024 Page 17 Behavioural Interview Questions The STAR approach Situation (S) or Task (T) Describe a specific situation that you were in or the task that you needed to accomplish. Result (R) What happened? What did you accomplish? What was the impact on others? What did you learn? Action (A) Describe the action you took; even if you are discussing a group project or effort, describe what you did. Don't tell what you might do, tell what you did. August 23, 2024 Page 18 Making the Decision Bias and prejudiced decisions Perceptions and prejudices inherent to the decision maker Competency and Experience Hypothesis Stereotypes Biases Self-Concept Emotions Situation (Stress, Mood) August 23, 2024 Page 19 Making the Decision Multi-dimensional Fit Do you recruit aptitude for a current job or potential in times of constant change ? August 23, 2024 Page 20 Time to Reflect Case Study «My gut feeling told me …» The case See separate case study document Questions What went wrong? What have been the key events in the process? What could they have done differently? August 23, 2024 Page 21 Compulsory Reading Armstrong, Michael and Taylor, Stephen (15th Edition, 2020). Armstrong’s handbook of human resource management practice. London: Kogan Page. 27 Workforce Planning 28 Recruitment and Selection 29 Talent Management (excerpts on Ilias) August 23, 2024 Page 22 Session 4 Managing Employment Relations: Psychological Contract, Onboarding, Retention, Separation Bachelor of Science in International Business Administration Module Human Resources Dr. Andreas Jäger Fontana Lecturer Phone direct +41 79 383 73 41 [email protected] Business August 23, 2024 Learning Objectives Psychological Contract, Onboarding, Retention, Separation Understanding the key elements of Employment Relationship Management Learning how to analyze and apply them August 23, 2024 Page 2 Learning Path August 23, 2024 Page 3 Managing the Relationship August 23, 2024 Page 4 People Management Benefits for both The Scope Human resource management is concerned with the behaviour of people who work in organizations. The Issue The term «human resources» reduces people to the same category of value as materials, money and technology: all resources are only valuable to the extent they can be exploited or leveraged into economic value. The new philosophy: «people management» The attention given to the interests of employees has to equal the attention given to the interests of the business. Employees should be regarded as people rather than as exploitable resources. Employment policies are pursued that are socially legitimate and produce benefits for both. August 23, 2024 Page 5 Managing the relationship The meaning of employment relations Shaping the climate in the organization Managing the “Give and Managing the Providing employees with Take” – psychological contract and a voice and developing offering a say in the terms procedures to raise and communications between and conditions of resolve grievances them and management employment and the way in which work is organized August 23, 2024 Page 6 Managing employee relations The psychological contract The Contract of The Psychological Contract Employment a set of unwritten expectations a legal contract an informal and constant process, evolving over time statutory and implied rather than stated contractually agreed a system of beliefs that encompasses the actions employees believe are upon rights and duties expected of them and what response they expect in return from their employer expresses certain unarticulated assumptions and expectations about what managers and employees have to offer and are willing to deliver source of disappointments August 23, 2024 Page 7 Employment Policies and Procedures An example: Grievance Procedure Procedures … outline precisely what steps should be taken to deal with major employment issues based on policy guidelines. … written down to ensure that related HR policies are applied consistently and in accordance with both legal requirements and ethical considerations. August 23, 2024 Page 8 People Management A question of ethical behaviour August 23, 2024 Page 9 Evaluating People Management Practices Ethical Frameworks Stakeholder Theory An organization should be managed on behalf of its stakeholders: its owners, employees, customers, suppliers and the community or public at large. Utilitarianism Deontological Theory Discourse Ethics Maintains actions are Maintains that actions are Maintains that people are justified when they result in right if they are based on collectively able to design the greatest good to the principles such as: and follow a practical greatest number: “what is right for one procedure which is both the overall balance of person is right for rational and consensus pleasure against pain everyone” or enhancing, through which issues can be debated (Bentham, Mill) “treat persons solely as ends and not in any way (Foucault, Habermas) as means” (Kant, Rawls) August 23, 2024 Page 10 Onboarding August 23, 2024 Page 11 Onboarding First impressions matter Induction: Target Employer Recruiting Audience Selection receiving and Branding Activities Marketing welcoming employees when they first join an Candidate Experience organization and giving them basic information they What it is about: need to settle down Avoid unwanted fluctuation in the first months Onboarding quickly and start Psychological retention of new employees work How to achieve it: Reception, Information, Introduction to Workplace, Training Employee Experience August 23, 2024 Page 12 Successful Onboarding The 4Cs Connection Integration into team, building networks with key contacts, become “insider” Culture Explaining values (beliefs), norms (rules), artefacts (tangible aspects), people management style Clarity Specifying accountability based on role profile, expected contributions, priorities Compliance Corporate Directives, Code of Conduct, etc. Copyright Talya N. Bauer Cameron Professor of Management, Portland State University, Oregon (US) See Bauer, N. T. (2010). Onboarding New Employees. Maximizing Success. SHRM Foundation’s Effective Practice Guideline Series. August 23, 2024 Page 13 Retaining People August 23, 2024 Page 14 Managing employee retention Ongoing impressions matter Losing key employees can have a disproportionate impact on the business. Attraction Unlocking Retention strategies should be Recruiting Onboarding Selection Potentials based on an understanding of the factors that affect whether or not employees leave or stay. Prospective These factors include, amongst Employee Employee others, a sense of achievement, Experience Experience recognition, feedback, autonomy, congruence of values, etc. August 23, 2024 Page 15 Managing employee retention People stay committed and engaged if they feel heard Wish to Stay Voice employees have a voice and can share their concerns, opinions and ideas with their employers Involvement employees treated as partners given the opportunity to understand the relevance of their work August 23, 2024 Page 16 Offboarding August 23, 2024 Page 17 Leaving an organization Reasons Separation can be initiated by both, the employer and the employee. Employer-initiated Neutral Reasons Employee-initiated termination Retirement or Inability to resignation Work Business reason: Voluntary resignation Redundancy Termination Agreement Reason related to the Assumption of «Mutual employee: performance, Fit» not fulfilled conduct, protracted illness August 23, 2024 Page 18 Offboarding Last impressions matter Onboarding is important because first impressions matter. Onboarding Unlocking Off- Ensuring a well-organized and Potentials boarding positive exit may be equally important. Former employees may share “Former their knowledge, may return, Employee Employee” may create new business Experience Experience connections and goodwill for the organization they leave. August 23, 2024 Page 19 Separation Management An expression of an organization’s culture Norms are the unwritten rules of Norms behaviour that provide informal guidelines on how to behave, for instance dress code. Culture Artefacts collective mental programming of Visible and tangible aspects of the people in an culture that people hear, see or feel, environment for instance the tone and language People used in e-mails. Management Style Values Values are beliefs in what is good and what should or ought to happen, for instance quality. August 23, 2024 Page 20 Separation Management Shaped by an organization’s social processes Group Role Behaviour Behaviour Leadership Interaction and Social Networking Processes Communication Conflict Politics Power August 23, 2024 Page 21 Separation Management A question of procedural justice August 23, 2024 Page 22 Separation Management Procedures Procedures … outline precisely what steps should be taken to deal with major employment issues based on policy guidelines. … written down to ensure that related HR policies are applied consistently and in accordance with both legal requirements and ethical considerations. August 23, 2024 Page 23 Time to Reflect Successful on- and off-boarding Take 3 minutes to reflect individually: What happened and what was achieved when onboarding went 100% perfect? What happened and what was achieved when offboarding went 100% perfect? Actively contribute to the discussion in the class August 23, 2024 Page 24 Time to Reflect Case Study «The Dismissal» The case See separate case study document Questions What is the situation of the organization and how does the organization deal with it? What is considered «valuable» in this organization? What «values» are important in the organization? How do you rate the company’s separation practices? What does it tell about the organization’s culture? What does it mean for the individual member of the organization? August 23, 2024 Page 25 Compulsory Reading Armstrong, Michael and Taylor, Stephen (15th Edition, 2020). Armstrong’s handbook of human resource management practice. London: Kogan Page. 17 The Ethical Dimension of HRM 30 Managing Employment 44 The Basis of Employment Relations 45 The Employment Relationship 46 The Psychological Contract 52 HR Policies 53 HR Procedures (excerpts on Ilias) August 23, 2024 Page 26 Session 5 Unlocking Potential: Leadership Bachelor of Science in International Business Administration Module Human Resources Dr. Andreas Jäger Fontana Lecturer Phone direct +41 79 383 73 41 [email protected] Business August 23, 2024 Learning Objectives Leadership Knowing how the concepts of leadership and management relate to each other Understanding how leadership is affecting how organizations function Knowing key leadership theories and their limitations Knowing what leaders do and how they do it and what sort of leaders carry out these activities Learning how to develop leaders August 23, 2024 Page 2 Learning Path August 23, 2024 Page 3 Defining the Concept August 23, 2024 Page 4 The concept of leadership defined «Charisma» attributed by followers «Charisma» - a quality of an individual, as subjectively attributed by followers, by virtue of which the individual: is set apart from ordinary men, is seen as endowed with exceptional powers, is accepted as leader, is given the authority by the followers to give them orders or directives. «Charismatic Authority» … Max Weber is based on the relationship between the leader and the followers, (1864-1920) depends on its recognition by the leader's followers, challenges the status quo, is revolutionary and transformational. Sociologist, Jurist, Economic Historian August 23, 2024 Page 5 The concept of leadership satirised The comedian’s view «You don’t need to follow me.» «You don’t need to follow anybody.» «You’ve got to think for yourselves.» «You’re all individuals.» «Monty Python’s Life of Brian» (1979) A satire on credulity among the followers of someone [Brian] who had been mistaken for the «Messiah», but who had no desire to be followed as such. https://www.youtube.com/watch?v=QereR0CViMY August 23, 2024 Page 6 A great question «lf you want to silence a room of executives, try this small trick. Ask them, "Why would anyone want to be led by you?" Without fail, the response is a sudden, stunned hush.» Rob Goffee, Gareth Jones Harvard Business Review, September-October 2000 August 23, 2024 Page 7 Time to Reflect Why should anybody be led by YOU? Take 3 minutes to reflect individually: Why should anybody be led by you? Or, if you do not feel ready yet: why should anybody not (yet) be led by you? Write your answer on a sticky note and put it on the wall Explain to the class August 23, 2024 Page 8 Time to Reflect Why should anybody want to lead YOU? Take 3 minutes to reflect individually: Why should anybody want to lead you? Write your answer on a sticky note and put it on the wall Explain to the class August 23, 2024 Page 9 Leading people in organizations August 23, 2024 Page 10 Leading People in Organizations An influencing process aimed at goal achievement Organizational Behaviour describes: An organization is an entity which: 1) how organizations function with regard 1. exists to achieve a purpose through to their structure, processes and culture; the collective efforts of the people Leadership is the process of getting people to do their best who work in/for it, to achieve a desired result. 2) the characteristics of people and how they act in organizations, individually or To lead people is to inspire, influence and guide. 2. is affected by its environment. in groups. Leadership is the process of getting people to do their best to achieve a desired result. To lead people is to inspire, influence and guide. August 23, 2024 Page 11 Leadership A Component of Organizational Culture Norms described in terms of extremes such as: autocratic – democratic controller – enabler Culture people-oriented – result-oriented collective mental Artefacts programming of people in an environment Leadership Values Style August 23, 2024 Page 12 Leadership A social process affecting how organizations function Group Role Organizations largely Behaviour Behaviour function by means of people who exercise leadership in order to get Leadership others into action Interaction and Social Networking Processes Communication Conflict Politics Power August 23, 2024 Page 13 Personal characteristics of leaders A factor affecting how they behave at work Emotions Traits Personality Types Ability Personal Characteristics Attitudes Intelligence August 23, 2024 Page 14 Theories to explain it August 23, 2024 Page 15 Understanding the process of leadership How much of what conductors do can really be shown to matter? Where do conductors matter less than people think? Do you know the history of the first Conductorless Symphony Ensemble “Pervyi Simfonicheskii Ansambl” (Persimfans) formed during the early years of the Soviet Union? For more see: http://www.trivia-library.com/b/history-of-the-greatest-conductorless-orchestra.htm Do we understand swarm intelligence as a form of collective behaviour? Do you know the work of Craig W. Reynolds, born March 15, 1953? He is an artificial life and computer graphics expert, who created the “Boids” (bird-like object) artificial life simulation in 1986. For more see: http://www.red3d.com/cwr/boids/ August 23, 2024 Page 16 Leadership Theories to explain it Trait Theories Behavioural Theories Contingency Theories Explaining leadership by Identifying dimensions of Recognizing what leaders do and reference to the qualities leaders leadership behaviour (e.g. two- how they do it is dependent or have: factor theories of leadership): contingent on the situation they «great man theory» People-oriented are in: («consideration») as distinct aspects of the organization Self-assuredness, Intelligence, from task-oriented («initiating (culture, structure, strategy, Decisiveness, etc. structure») challenges), of its social processes, of the employees August 23, 2024 Page 17 An Example The Situational Leadership Model of Hersey/Blanchard Leadership Style (LS) People Orientation LS 3 LS 2 Participating Selling emphasizing attempting shared ideas and to sell his ideas, decisions explaining task LS 4 Delegating LS 1 Telling allowing to take giving explicit directions responsibility for and supervising work task decisions closely Task Orientation Hersey, P., & Blanchard, K. H. Employee High Maturity Moderate Maturity Low Maturity (1969). Life cycle theory of Maturity as leadership. Training and situational factor highly capable and Either capable, but not confident enough not capable to do the Development Journal, 23 , 26– 35. (capabilities, confident, working or task, lacking confidence) well on their own Not capable enough, but confident confidence Own Illustration August 23, 2024 Page 18 Leadership Theories The problem with them The concept of leadership remains What leaders do elusive and enigmatic. Producing one theory that covers all variables is difficult, if not impossible. Types of Leaders Probably best to consider what leaders do and how they do it, examine what sort of leaders carry out these activities, and looking at evidence on what makes them good and effective leaders Good and effective Leadership August 23, 2024 Page 19 What leaders do and how August 23, 2024 Page 20 Leadership Theories The problem with them The concept of leadership remains What leaders do elusive and enigmatic. Producing one theory that covers all variables is difficult, if not impossible. Types of Leaders Probably best to consider what leaders do and how they do it, examine what sort of leaders carry out these activities, and looking at evidence on what makes them good and effective leaders Good and effective Leadership August 23, 2024 Page 21 What leaders do Are leadership and management the same or different? Management Leadership Often defined as ‘getting things done Leading people is to inspire, through people’ influence and guide them to do their But managers are also responsible best to achieve a desired result for managing their other resources – Persuading others willingly to finance, work systems and behave differently technology Leaders cannot create performance What managers do is not only a themselves but are conduits for systematic process of planning, performance through their influence organizing and controlling on others They have to deal with ambiguity and to cope with conflicting and unclear requirements Mintzberg, H. (2004). Enough leadership. Harvard Business Review, 82 «Let’s stop the dysfunctional separation of leadership from management. We all (11), p. 22. know that managers who don’t lead are boring, dispiriting. Well, leaders who See as well: don’t manage are distant, disconnected.» (Mintzberg) https://mintzberg.org/blog/communityship August 23, 2024 Page 22 What leaders do Satisfying interdependent task, individual, group needs Orientation (Strategy) What is our purpose? Motivation (Culture) How do we maintain effective relationships Coordination (Structure) and a sense of common purpose? How can we fulfil our purpose? August 23, 2024 Page 23 How leaders do what they do Leadership styles Coercive demanding compliance (use in a crisis or with problem people) Authoritative mobilizing people (use when new vision and direction is needed) Affiliative creating harmony (use to heal wounds and to motivate people under stress) Democratic forging consensus (use to build agreement and get contributions) Pacesetting setting standards (use to get fast results from a motivated team) Coaching developing people (to improve performance and develop strengths) August 23, 2024 Page 24 Types of leaders August 23, 2024 Page 25 Leadership Theories The problem with them The concept of leadership remains What leaders do elusive and enigmatic. Producing one theory that covers all variables is difficult, if not impossible. Types of Leaders Probably best to consider what leaders do and how they do