Human Resource Management Lecture Notes PDF

HUMAN RESOURCE MANAGEMENT Business Management Understand the concepts of: ❖Business management ❖ Human resource management ❖ Information management  Role of Managers Managers are responsible for ensuring a positive work environment, answering employee questions, and solving their p...

HUMAN RESOURCE MANAGEMENT Business Management Understand the concepts of: ❖Business management ❖ Human resource management ❖ Information management  Role of Managers Managers are responsible for ensuring a positive work environment, answering employee questions, and solving their problems. They have power, responsibility, and influence over other employees. They can manage an individual, a department, or the entire business, depending on their hierarchical level. Three levels of management  MANAGEMENT FUNCTIONS Planning: Setting objectives and determining actions. Organizing: Arranging resources to achieve objectives. Staffing: Recruiting, interviewing, hiring, orienting, and dealing with job changes for a company’s employees. Directing: Guiding, instructing, and supervising employees to ensure they are working towards organizational goals Controlling: The process of monitoring and evaluating an organization's performance against its planned objectives, and taking corrective action when necessary.  HUMAN RESOURCES MANAGEMENT  Human Resources Management (HRM) focuses on managing people within organizations.  Core activities include employee benefits, relations, compensation, staffing, and performance management. Human Resource Management (HRM) HRM is concerned with the personnel policies and managerial practices and systems that influence the workforce. HRM consists of all the activities undertaken by an enterprise to ensure the effective utilization of employees toward the attainment of individual, group, and organizational goals.  In broader terms, all decisions that affect the workforce of the organization concern the HRM function. THANK YOU HUMAN RESOURCE MANAGEMENT THANK YOU HUMAN RESOURCE MANAGEMENT  FOCUS AREA OF HUMAN RESOURCE Planning Staffing Compensation & Benefit Training & Development Performance Appraisal  Planning  Making sure there is a person-job fit for the jobs in the organization to fulfill the organizational goals.  Associated practices are human resource planning and job analysis  Staffing  Recruiting people with appropriate skills, abilities, knowledge, and experience to fill jobs in the work organization.  Associated practices are recruitment and selection.  Reward Systems, Benefits, and Compliance HR responsible for the design and administration of reward systems. Associated practices include job evaluation, direct and indirect employee benefits, and compensation, and legal environment of HRM.  Training & Development Analyzing training requirements to ensure that employees possess the knowledge and skills to perform satisfactorily in their jobs or to advance in the organization.  Performance Management and Appraisal  Performance Evaluation is a tool the organization can use to help enhance the efficiency of the work unit.  This tool is a means to help ensure that employees are being utilized effectively.  Reward Systems, Benefits, and Compliance HR responsible for the design and administration of reward systems. Associated practices include job evaluation, direct and indirect employee benefits, and compensation, and legal environment of HRM. THANK YOU HUMAN RESOURCE MANAGEMENT CHAPTER 4 The Nature of Human Resource Management  STAFFING OBJECTIVES  The first role of the human resource function is to ensure that: the right people, with the right skills to provide their services are needed are employed.  There is a need to compete with other organizations by recruiting and keeping the best employees.  This role involves developing employment packages that are sufficiently attractive to maintain the required employee skills levels, and when necessary, dispose of those that do not have any more roles in the organization.  PERFORMANCE OBJECTIVES  Thesecond role of the human resource function is to ensure that people are well motivated and committed so as to maximize their performance in their roles.  Ensure that employees are getting the right training and development programs in order to excel in their roles.  Raise the level of employee commitment by engaging employees in developing new ideas. A key determinant of key competitive performance is a propensity on the part of the organization’s employees to demonstrate ‘discretionary effort’, or ‘employee engagement’. This means that employees choose to go further in the service of their employer than is strictly required in their employment contracts.  CHANGE-MANAGEMENT OBJECTIVES  HR can play a central role with change management.  Change management could be:  structural: requiring re-organization of activities or the introduction of new people into certain roles, or  Cultural: where attitudes, philosophies or organizational norms are required to change.  Key activities of change-management are:  Recruitment and/or development of people with the necessary leadership skills to manage the change,  The employment of change agents to encourage acceptance of change, and  The construction of reward system that underpins the change process  ADMINISTRATIVE OBJECTIVES  This objective facilitates the organization’s smooth running:  Maintain accurate data on individual employees, a record of their achievement in terms of performance, their attendance and training records, their terms of conditions of employment and their personal details.  Ensure that payment is administered professionally and lawfully  Manage employee benefits like maternity and paternity leave, insurance and vacation.  ACTIVITY 1.1 Each of the four types of HR objectives is important and necessary for organizations in different ways. However, at certain times one or more can assume greater importance than the others. Can you identify types of situations in which each could become the most significant or urgent? THANK YOU HUMAN RESOURCE MANAGEMENT STRATEGIC HUMAN RESOURCE MANAGEMENT  SHRM Human Resource Strategy focuses on identifying and managing current and future needs to achieve organizational objectives.. The HR plan consists of three core elements crucial for effective strategy formulation. 1/ Strategy is an extension of mission, a bridge between the organization and its environment. 2/ Goals are defined as desired outcomes that guide the efforts of the organization. 3/ HR planning serves as a vital link between human resource management and the organization's overall strategic plan.  Meaning of SHRM strategic human resource management is the process of linking the human resource function with the strategic objectives of the organizations in order to improve performance no strategy no matter how well developed will work unless the organization has the right people with the right skills and behaviors in the right roles motivated in the right way and supported by the right leader and this is exactly where SHRM.  Concepts of SHRM Several scholars defined SHRM as an approach to making decisions on the intentions and plans of the organization concerning the employment relationship and the organization's recruitment, training, development, performance management and the organization strategies practices and policies. ‘’Armstrong’’ Defined SHRM as the pattern of planned human resource deployments and activities intended to enable an organization to achieve its goals. ‘’ Wright and MacMahan’’  Features of SHRM 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 Today’s HRM scope is so much wider. SHRM involves everything about the organization from culture, employees HR organizational structure, fiscal assets, profit and even cash flow how is this let's assume that a fair percentage of employees are above 50 in a company if it is not viable to invest in machinery that will not have considerations for limited mobility and slower pace. On the other hand, SHRM must have an ideal and stay ahead of all macro-environmental factors such as climate change, economic environment, technology, politics, legislation, competition, media and even fashion and why this is because SHRM deals with talent it deals with employees who are all human beings.  SHRM Scope What mean by the environment : in simple words environment comprises all those forces which have their bearing on the function of various activities including human resource activities environmental scanning helps HR managers to become proactive to the environment which is characterized by change and intense competition human resource management is performed.  Strategic Planning Two types of Environments: Internal environment and External environment The internal environment: Consists of all the forces that are internal to an organization these internal forces have a profound influence on HR functions the internal consists of unions organizational culture conflict professional bodies organizational objectives and policies to name a few The external environment: Includes forces like the economy politics technology and demographic factors all of these exert considerable influence on SHRM. THANK YOU HUMAN RESOURCE MANAGEMENT RECRUITMENT  WHAT IS RECRUITMENT?  Recruitment ‘includes those practices and activities carried out by the organization to identify and attract potential employees.  Formal, structured recruitment methods are part of the best practice set of HR practices that is argued to be strategic and improve organizational performance.  They build upon job or competency analysis which determines the requirements of the vacant role and employ person specifications and job descriptions to identify suitable candidates.  There’s always a need for replacement employees and those with new skills that business growth or change makes necessary.  INTERNAL RECRUITMENT  Internal recruitment happens when jobs are filled internally, moving or giving promotions to existing employees.  Advantages of internal recruitment:  Less expensive with no need for job advertisements or recruitment agencies.  Cost savings and efficiency gains can be made because internal recruits are typically able to take up new posts more quickly than people being brought in from outside.  Internal candidates are more knowledgeable regarding what exactly the job involves and the culture of the organization.  It motivates employees and gives them an incentive to work hard for promotion.  This practice sends a signal that existing employees are valued and that career development opportunities are available.  The main disadvantage of internal recruitment is that only a limited field of candidates is considered. This might mean that the best available candidate is not considered.  It can be difficult to manage employee expectations if not selected.  Internal recruitment sits uneasily with a commitment to equal opportunities and the creation of a diverse work force  Considering internal candidates along with suitable external candidates is considered good practice.  ONLINE RECRUITMENT (E-RECRUITMENT) The most striking recent development Practical significance is still being debated. Takes two basic forms – Centered on the employer’s website – Use of cyber agencies Advantages of E-recruitment: Jobs can be advertised inexpensively to a potentially massive audience Speed of response Speed of shortlisting using CV-matching software  PROBLEMS OF E-RECRUITMENT Handling the volumes of applications e-recruitment Unreliability of on-line tests Fears about security and confidentiality Poor standards of ethicality by cyber-agencies  PROCESSUAL APPROACH TO RECRUITMENT (EMPLOYER BRANDING) Organizations are seeking to position themselves as ‘employers of choice’. Seek to attract stronger applications. Recruitment costs may fall because they get so many more unsolicited applications. Develop a positive ‘brand image’ of the organization as an employer– so that potential employees regard working there as highly desirable  EMPLOYER BRANDING  Developing a good ‘brand image’ is an easier task for companies that have household names.  The key is to build on any aspect of the working experience that is distinct, it could be:  A relatively high pay or generous benefits package  Flexible working  Friendly and informal atmosphere  Strong career development potential, or  Job security  Should inform all communication to potential and actual applicants.  The aim is to repeat the message again and again in advertisements, on Internet sites, and at career fairs. TOP COMPANIES TO WORK FOR (FORTUNE)  WHY HAS GOOGLE BEEN #1 FOR 4 CONSECUTIVE YEARS?  Googleplex amenities:  Several café stations where employees can gather to eat free food and have conversations  Snack rooms stocked with goodies ranging from candy to healthy foods like carrots and yoghurt  Gym, swimming pool, park, Game rooms with video games, pool tables and ping-pong. A baby grand piano for those who enjoy tickling the ivories  In addition to that, Google employees receive a comprehensive benefits package that includes not only medical and dental coverage but also a host of other services. These include tuition reimbursement, a child care center, adoption assistance services, an on-site doctor, financial planning classes and lots of opportunities to gather with coworkers at special corporate events.  5 months fully paid maternity leave THANK YOU