Module 14 HRM Measurements, Outcomes, & Ethical Dimensions PDF

MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] I. EVIDENCE-BASED HRM II. HR ANALYTICS Uses the information obtained from the It...

MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] I. EVIDENCE-BASED HRM II. HR ANALYTICS Uses the information obtained from the It uses statistical analyses of data to analysis and evaluation of data about provide the basis for assessing the people and HR practices in the impact of HRM practices and the organization and the analysis of the contribution made by people to messages delivered by benchmarking organizational performance to provide a and research. basis for people management decision-making EVIDENCE-BASED MANAGEMENT Involves the analysis and application of 1. Evidence-Based Questions - used to data, measures, information, and establish what the situation is, what knowledge needs to be done about it, and what information is required to inform HR ANALYTICS LEVELS decisions. 1. Descriptive Analytics - uses factual 2. Sources of Information data to illustrate particular aspects of Practitioner expertise and HR such as recording employee judgment, evidence from the turnover rates. local context 2. Multidimensional Analytics - A critical evaluation of the best combines different data sets to research evidence establish any relationship (correlations) Perspectives of those people between them. who might be affected by the 3. Predictive Analytics - analyses data to decision. predict future trends 3. Critical Evaluation - making informed judgments about the validity, relevance, KEEP PEOPLE INFORMED and usefulness of any evidence made HR analytics is pointless unless the available by establishing the degree to people who use it are kept informed which it is valid and supported by the They must have easy access to the facts. data, which should be presented to 4. Reaching a Decision - weighing up the them in a way that can be easily evidence assimilated ○ Dashboards provide a useful APPROACH TO EVIDENCE-BASED HRM way to do this 1. Analytics - the use of people data in analytical processes to solve business III. E-HRM problems e-HRM involves using digital 2. Benchmarking - the process of technologies, such as web-based obtaining evidence of HR practices in applications, computer hardware and other organizations to guide reward software, AI, cloud technologies, initiatives and improvements chatbots, social media, smartphones, 3. Research - driven by a spirit of inquiry; and blockchain, to deliver HRM an open-minded but critical approach services. It is synonymous with Digital Everything that can be found out on the HRM, which strategically manages subject should be found out talent using social, mobile, analytics, Absorbing any relevant lessons from and cloud (SMAC) technologies. research  MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] Digitization Converting physical 8. Blockchain - ensuring secure, information to digital formats decentralized, and tamper-proof HR Digitalization Enhancing business transactions, such as logging processes through digital tools harassment cases anonymously. PURPOSE OF E-HRM APPLICATIONS OF E-HRM e-HRM serves both operational and 1. Recruitment - using AI to eliminate strategic purposes bias, streamline CV screening, and According to Parry and Tyson, its goals generate job descriptions. include: 2. Learning and Development - 1. Efficiency in HR processes. implementing e-learning, mobile apps, 2. Enhanced service delivery. virtual environments, and game-based 3. Strategic orientation for HR learning. functions. 3. Talent Management - systems to 4. Empowering managers. identify, attract, and develop 5. Standardizing procedures. employees. Ulrich emphasized using technology to 4. Self-Service Platforms - allowing create social and emotional managers and employees to manage connections within and outside the HR-related tasks independently. organization 5. Benefits Communication - informing employees about benefits and enabling KEY FEATURES OF E-HRM online plan selection. 1. Human Resource Information System (HRIS) - a digital platform for storing, ADVANTAGES OF E-HRM processing, and analyzing employee Enhances collaboration through cloud data. platforms like Webex and Slack. 2. Cloud Computing - On-demand, Provides instant access to HR data. web-based platforms offering Facilitates standardized HR operations. scalability, cost efficiency, and global Reduces administrative overhead and accessibility. costs. 3. Chatbots - AI-driven systems that Improves decision-making using HR provide conversational support, analytics and predictive models. personalize learning, and address employee queries. CASE STUDIES 4. Big Data Analytics - processing 1. SAP Roadwarrior - a gamified app massive datasets to identify trends and designed to train sales professionals make evidence-based decisions. while fostering competition. 5. Social Media - facilitating 2. DenizBank - a Turkish bank developed communication and recruitment through HR apps enabling employees to access enterprise social networks. personalized information and training. 6. Smartphones - supporting mobile HR applications for learning, recruitment, IV. ARTIFICIAL INTELLIGENCE AND HRM and real-time communication. Artificial intelligence (AI) in HRM 7. Gamification - Leveraging gaming involves using computers to perform techniques like leaderboards to human-like thought processes, such motivate employees. as learning, reasoning, and  MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] self-correction. AI systems can analyze 5. Retention Management - using data data, respond to questions, and mining to predict and mitigate employee significantly reduce HR’s administrative turnover. workload. 6. Sentiment Analysis - gauging By generating actionable insights, AI employee moods through email and text supports decision-making in people analysis. management. 7. Workforce Scheduling - optimizing shifts and task allocations. COMPONENTS OF AI 8. Payroll and Queries - automating 1. Machine Learning - allows computers payroll checks and handling employee to identify patterns and predict questions via chatbots. outcomes Algorithms, either supervised or CASE STUDIES unsupervised, process vast datasets, 1. Adecco Group: improving accuracy with more data. a. Implemented an AI-driven 2. Natural Language Processing (NLP) - recruitment platform through its enables computers to understand acquisition of Vettery. human language, facilitating tasks like b. Created "YOSS" for freelancers, text mining, sentiment analysis, and using AI to match workers with speech recognition. opportunities and manage 3. Deep Learning - a layered process benefits. where outcomes from one decision 2. Recruitment Holdings: inform the next, refining accuracy a. Used AI to identify at-risk progressively. employees by analyzing data IBM’s Watson is a notable example. like personality assessments 4. Neural Networks - mimic human brain and performance metrics. functions, using interconnected neurons to learn by example. Applications RISKS OF AI IN HR include facial and handwriting 1. Bias in Algorithms - algorithms may recognition. perpetuate biases (e.g., racism, sexism) from their data sources. APPLICATIONS OF AI IN HRM 2. Lack of Transparency - AI's 1. HR Analytics - collecting and analyzing decision-making processes can be employee data to guide decisions. difficult to interpret. 2. Recruitment and Selection - 3. Data Protection - compliance with streamlining hiring by matching regulations like GDPR is crucial. candidates to roles and enhancing job 4. Limited Human Intuition - AI cannot ads with NLP. replicate human insight or subtle social For example, Unilever reduced its hiring interactions. time by 75% using AI. 5. Over-reliance on Machines - there is a 3. Talent Management - identifying risk of undermining human candidates for talent pipelines based on competence. performance data. 4. Learning and Development - providing ETHICAL CONSIDERATIONS real-time, on-the-job learning and Handling personal data with AI raises ethical coaching platforms like Sidekick. concerns. Transparency, consent, and fairness  MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] are essential to ensure compliance with Knowledge management deals with the regulations like GDPR and maintain trust. stocks and flows of knowledge Employers must: ○ Stocks: expertise and encoded Be upfront about AI's purposes. knowledge in computer Keep employees informed of data systems usage. ○ Flows: ways in which Ensure algorithms align with fairness knowledge is transferred from and ethical guidelines. people to people or from people to a knowledge database BARRIERS TO AI ADOPTION A 2018 CIPD survey highlighted the main 2 TYPES OF KNOWLEDGE barriers to AI use in HR: 1. Explicit Knowledge - can be codified High costs. or recorded which will be held in Lack of technical expertise. databases Limited technology availability. 2. Tacit Knowledge - exists in people’s Ethical concerns. minds and is acquired through personal experience TIPS FOR IMPLEMENTING AI IN HR Peter Reilly (2018) suggests the following: KNOWLEDGE MANAGEMENT STRATEGIES 1. Define clear objectives. 1. The Codification Strategy - 2. Focus on business needs rather than Knowledge is codified and stored in technology. databases where it can be accessed 3. Collaborate with IT teams. and used easily by anyone in the 4. Conduct pilot tests before full organization implementation. This strategy allows people to search 5. Emphasize transparency. for and retrieve codified knowledge 6. Pursue incremental improvements. without having to contact the person who originally developed it V. KNOWLEDGE MANAGEMENT Relies largely on information technology 1. Knowledge - What people understand ‘People-to-document’ approach about things, concepts, ideas, theories, A document-driven strategy procedures, and practices 2. The Personalization Strategy - A key resource Knowledge is closely tied to the ‘Know-how’ is the ability of a person to person who has developed it and is perform tasks shared mainly through direct ‘Knowing that’ is holding pieces of person-to-person contacts knowledge in one’s mind People create networks and are 2. Knowledge Management - Storing encouraged to have face-to-face and sharing the wisdom, understanding, communication with people and expertise accumulated in an ○ Ex: Informal conferences, enterprise about its processes, workshops, communities of techniques, and operations practice Identifies relevant information and then ‘Person-to-person’ approach disseminates it so that learning can take place KNOWLEDGE MANAGEMENT ISSUES The pace of change  MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] Relating knowledge management managers to encourage them to exert strategy to business strategy leadership and support knowledge Technology and people management initiatives. The significance of the process Knowledge workers VI. COMPETENCY-BASED HRM 1. Competency - characteristic of a THE CONTRIBUTION OF HR TO person that results in effective or KNOWLEDGE MANAGEMENT superior performance The role of HR is to see that the 2. Competency-Based HRM - using the organization has the intellectual capital notion of competency and the results it needs of competency analysis to inform and 1. Help to develop an open culture in improve HR processes which the values and norms emphasize Concerned with recruitment and the importance of sharing knowledge. selection, learning and development, 2. Promote a climate of commitment and and performance and reward trust. management 3. Advise on the design and development of organizations that facilitate 3 TYPES OF COMPETENCIES knowledge sharing through networks, 1. Behavioral Competencies - behavioral teamwork, and communities of practice. expectations 4. Advise on resourcing policies and Known as the ‘soft skills’ provide resourcing services that ensure Ex: teamwork, communication, that valued employees who can leadership, and decision-making contribute to knowledge creation and 2. Technical Competencies - What sharing are attracted and retained. people have to know and be able to do 5. Advise on methods of motivating to carry out and meet performance people to share knowledge and expectations rewarding those who do so. Known as the ‘hard skills’ 6. Helped develop performance 3. NVQs/SNVQs Competencies - Set management processes that focused minimum standards for the achievement on the development and sharing of of set tasks and activities which can be knowledge. observed and assessed with a view to 7. Develop processes of social learning, ie. certification learning from other people by social Assessed on being competent or not interaction, that will generate and assist yet competent in disseminating knowledge. 8. Set up and organize workshops, COMPETENCY FRAMEWORKS conferences, seminars, communities of This is the basis for the use of practice, and symposia that enable competencies in areas such as knowledge to be shared on a recruitment and selection, learning and person-to-person basis. development, and performance 9. In conjunction with IT, develop systems management for capturing and codifying explicit and There are 10 most popular tacit knowledge. content/headings used in competency 10. Generally, promote the cause of frameworks: knowledge management with senior 1. Team orientation  MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] 2. Communication APPLICATIONS OF COMPETENCY-BASED 3. People management HRM 4. Customer focus 1. Recruitment and selection 5. Results orientation 2. Learning and development 6. Problem-solving 3. Performance management 7. Planning and organizing 4. Reward management 8. Technical skills 9. Leadership DEVELOPING A COMPETENCY 10. Business awareness FRAMEWORK A competency framework should be (1) Example of a Competency Framework as simple to understand and use as possible, (2) language should be clear and jargon-free, (3) ensure that they can be assessed, (4) not vague or overlap with other competencies, and (5) specific expected behaviors Steps in developing a competency framework 1. Program launch 2. Involvement and communication 3. Framework design-competency list 4. Framework design-definition of competencies 5. Define the uses of the competency framework 6. Test the framework APPROACHES TO USING COMPETENCIES 7. Finalize the framework 1. The ‘Menu’ Approach - This selects 8. Communicate competencies that are relevant to 9. Train generic or individual roles 10. Monitor and evaluate Users are required to select the organization-wide core competencies KEYS TO SUCCESS IN USING but can add several optional ones COMPETENCIES 2. Role-Specific Competencies - Competencies should reflect the Competencies are tailored to the organization’s values and its needs, specific demands and requirements of a to determine that behaviors that will particular position lead to high performance Adopted in performance management Frameworks should not be processes, in recruitment person overcomplex specifications, and the preparation of Seven to eight headings are enough in individual learning programs a framework 3. Graded Competencies - Defining Clear and jargon-free language in a different levels of proficiency or mastery framework for a particular competency Competencies must be selected and defined in ways that ensure that they  MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] can be assessed by managers – using the organization to ensure the survival ‘behavioral indicators’ of the firm, safeguarding the long-term Frameworks should be regularly stakes of each group updated 4. Discourse Ethics - This theory suggests that ‘the role of ethicists is not VII. THE ETHICAL DIMENSION OF HRM to provide solutions to ethical problems Emphasizes the core values of equity, but rather to provide a practical process equality, and morality and procedure which is both rational Ethics is closely tied to our morals, and consensus enhancing which help us distinguish between right and wrong. In essence, morality focuses FAIRNESS on beliefs, whereas ethics emphasizes Simply concerned with the employees’ behavior way of being treated equally Ethics involves making decisions and judgments about the right course of EQUITY THEORY action and is guided by principles such Equity involves feelings and perceptions as equity, justice, and fair dealings and it is always a comparative process It is not the same as equality THE NATURE OF ETHICAL DECISIONS & Equality refers to treating everyone the JUDGEMENTS same while equity refers to giving the action or decision must have people what they specifically need consequences for others and must which may mean treating them involve choice, or volition, on the part of differently to address their unique the actor or decision maker’ circumstances or disadvantages ETHICAL FRAMEWORKS 1. Deontological Theory - It has two main JUSTICE propositions: The process of treating people in a fair, One should follow the principle that right, and proper manner what is right for one person is right for everyone, and thus you must do to Types of Justice: others as you would be done by 1. Procedural Justice - the perceptions We must treat persons solely as ends the employees have about the fairness and not in any way as means with which company procedures are 2. Utilitarianism - Utilitarianism is where being operated in areas such as actions should be judged in terms of performance appraisal, promotion, and their results. discipline A balance between happiness and pain 2. Distributive Justice - the employees or supports the principle that the end workers should receive what was should justify the means promised to them This theory has been criticized first The management is responsible for because it fails to respect individual compromising within the deal that has rights been made 3. Stakeholder Theory - This states that 3. Social Justice - involves the the management must act in the employees’ natural rights to be treated interests of the stakeholders as their justly, equitably, and with respect agent, and also act in the interests of  MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] 4. Natural Justice - In a disciplined 6. Reward Management - involves process, employees should be given a maintaining reasonable and defensible clear indication of where they are failing pay differentials, equal pay is provided or what rules have been broken for work of equal value, and not paying For cases of gross misconduct, they less than the living wage should be given a chance to improve 7. Employment Relations - provide before disciplinary action is taken genuine opportunities and channels for employees to express their views and HRM ETHICAL GUIDELINES influence decisions on matters that 1. General Guidelines - involve not affect them treating employees as mere factors of 8. Employment Practices - take production and should be recognized particular care to minimize the stress to with their natural rights to be treated which employees may be subjected justly, equitably, and with respect It is also about creating an environment 2. Organizational Development - where different kinds of people can involves working with clients to plan thrive and succeed by recognizing and and implement change to the belief of respecting their differences all stakeholders and making sure that individuals are developing in the ETHICAL DILEMMAS program There are several checklists as a basis for 3. Recruitment and Selection - this questioning and analyzing dilemmas: involves the different considerations during the process of interviews 1. What are the known facts about the Candidates are not allowed to be put situation and is it possible that some under undue stress and should be given facts or circumstances have not come accurate and complete information to light, and if so what can be done to about the job, prospects, security, and uncover them? terms and conditions of employment 2. In disciplinary or conduct cases, to Unsuccessful candidates should be what extent does the conduct given the reason for the decision if they contravene the organization’s code of request it and is grounded with no ethical conduct (if one exists) or any biases other relevant organizational policy 4. Learning and Development - this guidelines and rules? ensures that people taking part in 3. Is there any risk of the proposed action learning events would feel harming the organization’s reputation ‘psychologically safe’ where people for fair dealing? should feel safe in learning, must have a motive, a sense of direction, and the THE ETHICAL ROLE OF HR opportunity to try out new things To take action to achieve fair dealing without the fear of punishment Treating people according to the 5. Performance Management - principles of procedural, distributive, Performance management has 4 ethical social, and natural justice principles mainly respect for individuals, Seeing that decisions or policies that mutual respect, procedural fairness, and affect them are transparent in the sense transparency that they are known, understood, clear, and applied consistently  MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] Raise awareness of ethical issues, recycling and pollution abatement, and promote ethical ­ behavior, disseminate supporting community organizations ethical practices widely among line THE RATIONALE FOR CSR managers, communicate codes of Managers must satisfy a variety of ethical conduct, and ensure people constituents (e.g. workers, customers, learn about what constitutes ethical suppliers, local community behavior organizations) who can influence firm outcomes VIII. CORPORATE SOCIAL RESPONSIBILITY The basic idea of corporate social 4 Arguments responsibility is that business and 1. The Moral Appeal - companies must society are interwoven rather than be good citizens distinct entities 2. Sustainability - serves as an emphasis Society has certain expectations for on environmental and community appropriate business behavior and stewardship outcomes 3. License to Operate - permission from The business has a responsibility to the government to do business community members and the 4. Reputation environment aside from the total services it offers THE OPPOSING VIEW A business should make a profit and not CSR policy may be expressed in a value exercise social responsibility statement that sets out the organization’s Many had argued about this view, but it core values under such headings as: was explained that without the people 1. Care and consideration for people supporting it, profiting would not be 2. Care for the environment present after all 3. Competence For the company to show a sense of 4. Competitiveness responsibility, it must contribute to both 5. Customer service society and the economy by 6. Innovation considering the other people who have 7. Performance been supporting its business growth 8. Quality That’s why social responsibility is linked 9. Teamwork to the business industry even if it is outside the business scope STRATEGIC CSR The key to the company’s greatest BENEFITS OF CSR social impact and reap the greatest A positive relationship between business benefits environmental performance and It must be integrated with the business financial performance strategy but it is also closely associated If the socially responsible activity were with the HR strategy directly related to primary stakeholders, then investments may benefit not only CSR ACTIVITIES stakeholders but also result in increased CSR activities help achieve higher levels shareholder wealth of environmental performance through BASIS FOR DEVELOPING A CSR STRATEGY  MODULE 14: HRM MEASUREMENTS, OUTCOMES, & ETHICAL DIMENSION OF PRACTICE BS 183 (SBD) - GROUP 8 [Dela Rosa, Ong, Racho, Silva, Villavicencio] 1. Understanding Society - understanding how business operates in the broader context and knowing the social and environmental impact that the business has on society 2. Building Capacity - for the employees to be able to apply social and environmental concerns in their day-to-day roles 3. Questioning Business as Usual - to make a more sustainable future and be open to improving the quality of life and the environment 4. Stakeholder Relations - to understand who the key stakeholders are and the risks and opportunities they present 5. Strategic View - to ensure that social and environmental views are included in business strategy 6. Harnessing Diversity - the importance of respecting people’s differences to promote fair and transparent business practices