HRM L2 Evolution.pdf

UNIVERSITY OF EDUCATION EVOLUTION OF MANAGEMENT OF HUMAN RESOURCES BPS 241 - HUMAN RESOURCE MANAGEMENT 1 LECTURE 2  OUTLINE Evolution of Human Resource Management  Evolution of Management of Human Resou...

UNIVERSITY OF EDUCATION EVOLUTION OF MANAGEMENT OF HUMAN RESOURCES BPS 241 - HUMAN RESOURCE MANAGEMENT 1 LECTURE 2  OUTLINE Evolution of Human Resource Management  Evolution of Management of Human Resources  Changing Roles of Human Resource Management  Human Resource Management Challenges in the Twenty-first Century  Jobs and Careers in Human Resource Management 2 EVOLUTION OF HUMAN RESOURCE MANAGEMENT The evolution of the concept of Human Resource Management is presented below;  The Craftsman Era (Period before industrial revolution, i.e. before the 1750’s): – During this era, the society was primarily an agriculture economy with limited production.  Number of specialized crafts was limited and was usually carried out within a village or community with apprentices assisting the master craftsmen.  Communication channel were limited.  The master craftsman at this stage performed some kind of HR functions at that time. 3 EVOLUTION OF HUMAN RESOURCE MANAGEMENT  The Industrial Relation (Period of industrial revolution (1750s to 1890s): – Industrial revolution marked the conversion of economy from agriculture based to industry based.  Modernization gave way to industrial setup. A department was set up to look into workers wages and other related issues.  This led to emergence of department responsible with the major task as; - Worker’s wages and salaries - Worker’s record maintenance - Worker’s housing facilities 4 EVOLUTION OF HUMAN RESOURCE MANAGEMENT  Paternalistic era (Post Industrial revolution – 1900s – 1910s)- the government stepped in to intervene in the way workers were treated during the industrial era.  It led to reforms such as  Laws regulating:  The maximum hours of work  Minimum wage  Work of minor  Compensation for injury  Employee rights and welfare  Pension scheme  Health and safety issues  Etc. 5 EVOLUTION OF HUMAN RESOURCE MANAGEMENT CON’T…  Scientific/ Personnel Management Era (1920s) – Human resource Management saw a major evolution at this stage. Various studies were released and many experiments were conducted during this period which gave HRM altogether a new meaning and importance.  A brief overview of major theories release during this period is presented below  Frederick W. Taylor gave principles of scientific management (1857 to 1911) led to the evolution of scientific human resource management approach which was involved in using scientific methods to define one best way for a job to be done. 6 EVOLUTION OF HUMAN RESOURCE MANAGEMENT CON’T…  Taylor's scientific management consisted of four principles:  Develop a science for each element of a man's work, which replaces the old rule of thumb method.  Scientifically select and then train, teach, and develop the workman, whereas in the past he chose his own work and trained himself as best he could.  Cooperate with the men so as to ensure all of the work is being done in accordance with the principles of the science which has been developed.  There should be an almost equal division of the work and 7the responsibility between the management and the workmen.  EVOLUTION OF HUMAN RESOURCE MANAGEMENT CON’T…  Human Resource Management Approach (1930s -1990s): With increase in technology and global competition, Human Resource Management assumed more critical roles.  Its major accomplishment is aligning individual goals and objectives with corporate goals and objectives.  This era was characterized by the unionization of the workplace, employee relations, specialization of HR personnel functions, employee participation, employee recognition and the changing demographics of work force.  StrategicHuman Resource Management (2000s and beyond): Transition from service and support staff to a consultative and leadership role.  Strategic HRM focuses on actions that differentiate the organization from its competitors and aims to make long term impact on the success 8 of organization.  CHANGING ROLES OF HUMAN RESOURCE MANAGEMENT  They Focus More on Strategic, Big Picture Issues Today's human resource managers are more involved in longer term, strategic big picture issues. Their duties involves formulating and executing human resource policies and practices that produce the employee competencies and behaviors the company needs to achieve its strategic aims.  They Use New Ways to Provide Transactional Services Today’s human resource managers are skilled at offering transactional HR services in innovative ways. For example, they outsource some of their transactional services like benefits administration and safety training to outside vendors. They use technology, for instance, streaming desktop video to facilitate distance learning and training or to provide corporate information to employees quickly and inexpensively, internet-and network-monitoring software to track employees internet and e-mail activities or to monitor their performance, online testing to prescreen job applicants, and centralized call centers to answer HR-related inquiries from supervisors. 9 CHANGING ROLES OF HUMAN RESOURCE MANAGEMENT CON’T.  They Take an Integrated, Talent Management Approach to Managing Human Resources With employers competing for talent, no one wants to lose any high-potential employees, or to fail to attract or fully utilize top-caliber ones. Human resource managers are therefore emphasizing talent management. (i.e. the goal-oriented and integrated process of planning, recruiting, developing, managing, and compensating employees).  They Use Evidence-Based Human Resource Management Evidence-based human resource management is the deliberate use of the best available evidence in making decisions about the human resource management practices you are focusing on. Basing decisions on the evidence, is the heart of evidence-based human resource management. This is the use of data, facts, analytics, scientific rigor, critical evaluation, and critically evaluated research/case studies to support human resource management proposals, decisions, practices, and conclusions. 10 CHANGING ROLES OF HUMAN RESOURCE MANAGEMENT CON’T.  They Manage Employee Engagement Engaged employees can be defined as those who are mentally and emotionally invested in their work and in contributing to an employers success. In today's challenging environment, no employer can afford to have its employees physically present but checked out mentally. Human resource managers therefore need the skills to foster and manage employee engagement.  They Measure HR Performance and Results In today's performance-based environment, employers expect their human resource managers to take action based on measurable performance. 11 CHANGING ROLES OF HUMAN RESOURCE MANAGEMENT CON’T.  They Have New Competencies Adding value, strategizing, and using technology all require that human resource managers have new competencies. They still need proficiencies in human resource management functional areas such as selection, training, and compensation. But they also require broader business competencies. To assist top management in formulating strategies, the human resource manager must understand strategic planning, marketing, production, and finance. With companies grappling to adjust to competition, the human resource manager must be skilled at formulating and implementing large-scale organizational changes, designing organizational structures and work processes, and at understanding what it takes for the company to compete in 12and succeed in the marketplace.  HRM CHALLENGES IN THE TWENTY-FIRST CENTURY  Ulrich(1998) suggests that environmental and contextual changes present a number of competitive challenges to organizations that mean that HR managers has to be involved in helping to build new capabilities. These challenges comprise the following:  Globalization:- this requires organizations to move people, ideas, products and information around the world to meet local needs. New and important ingredients must be added to the mix when making strategy (unstable political situations, controversial global trade issues, fluctuating exchange rates and unfamiliar cultures). 13  HRM CHALLENGES IN THE TWENTY-FIRST CENTURY  Increased workplace diversity: increasing number of women and foreign nationals at the workplace and their management.  Corporate Reorganizations: mergers and acquisitions.  Technology: the challenge is to make technology a practical, productive part of the work setting.  Change in policies: the greatest challenge companies face is adjusting to non-stop change. They must be able to prepare employees to ‘learn rapidly and continuously, and take on new strategic imperatives faster and more comfortably’.  Financial Constraints: Limited financial resource can also pose as a challenge to the activities of human resource management. 14  HRM CHALLENGES IN THE TWENTY-FIRST CENTURY CON’T.  Increased Competition: – The challenge is to ensure that firms have the capability to find, take on board, compensate and retain human capital in the shape of the talented individuals they need who can drive a global organization that is both responsive to its customers and ‘the mushrooming opportunities of technology’.  Interferences From Higher Bodies (Government and Management): Intrusion from the state as well as from the management of various organizations may also pose as a challenge. 15  JOBS AND CAREERS IN HUMAN RESOURCE MANAGEMENT  Examples of Human Resource Management specialties include:  Recruitment and selection: Search for qualified job applicants and choosing the best one out.  Equal employment opportunity (EEO) coordination: Investigate and resolve EEO grievances; examine organizational practices for potential violations.  Job analyses: Collect and examine information about jobs to help take appropriate decisions.  Compensation management: Develop compensation plans and handle the employee benefits program.  Training and development: Plan, organize, and direct training and developmental activities.  Labour relations: Advise management on all aspects of union management relations. 16 JOBS AND CAREERS IN HUMAN RESOURCE MANAGEMENT  Human Resource professional positions is mostly seen in these three main categories;  Human Resource Specialist: These are usually the entry-level positions for an HRM career.  Inthis case, the specialist might be expected to do a little of every HRM activity.  An HR Specialist could also work in a small firm or plant as the sole HR Professional providing HR services.  Human Resource Manager: These are generalists who administer and coordinates programmes spanning several HR functional areas.  Human Resource Executive: The HR Executive is a top level position and usually a vice president of the organization. 17  JOBS AND CAREERS IN HUMAN RESOURCE MANAGEMENT 1. Human Resource Specialist: It includes jobs like; - Compensation Analyst/ Manager - Benefits Coordinator/ Manager - Job Analyst - Training and Development Manager - Employment Executive/ Manager - Labour/ Industrial Relations Executive - Human Resource Information Systems Manager 2. Human Resource Manager: HR Manager is expected to be knowledgeable about all HRM areas to oversee the implementation of HR policies and to advice line managers as well as HR specialist on HR issues.  An HR Manager is an experienced professional who has served in several specialist positions. 3. Human Resource Executive: Their responsibility is to link corporate policies and strategies to human resource management.  HR Executives are therefore expected to have input into the organizations goals, as these goals affect or are affected by personnel activities. 18  CLASS DISCUSSION QUESTIONS 1. Identify four major Human Resource challenges currently facing organizations and managers? 2. What are the three jobs and careers in Human Resource Management? 19  END OF LECTURE 2 … EVOLUTION OF HUMAN RESOURCE MANAGEMENT … ANY QUESTIONS OR CONTRIBUTIONS??? THANK YOU! 20