M12 human resource management
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M12 Human Resource Management. Chapter 12. WHAT IS HUMAN RESOURCE MANANGEMENT?. DEF: DESIGN AND APPLICATION OF FORMAL SYSTEM IN AN ORGANIZATION PURPOSE: TO ENSURE THE EFFECTIVE AND EFFICIENT USE OF HUMAN TALENT TO ACHIEVE THE GOALS ACTIVITIES INVOLVED: TO ATTRACT TO DEVELOP TOMAINTAIN.

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M12 Human Resource Management

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M12 human resource management

M12Human Resource Management

Chapter 12


What is human resource manangement

WHAT IS HUMAN RESOURCE MANANGEMENT?

  • DEF:

    DESIGN AND APPLICATION OF FORMAL SYSTEM IN AN ORGANIZATION

  • PURPOSE:

    TO ENSURE THE EFFECTIVE AND EFFICIENT USE OF HUMAN TALENT TO ACHIEVE THE GOALS

    ACTIVITIES INVOLVED:

  • TO ATTRACT

  • TO DEVELOP

  • TOMAINTAIN

EFFECTIVE WORKFORCE

Manager’s Challenge: UPS Buffalo, New York


What nangers should know

WHAT NANGERS SHOULD KNOW?

  • -BASIC HR MANAGEMENT

  • -WHY?

Manager’s Challenge: UPS Buffalo, New York


3 elements of human resource management

3 ELEMENTS OF HUMAN RESOURCE MANAGEMENT

3. Matching process,

integrating the

organization’s

goals with

employees’ needs

1. All managers

are resource

managers

2. Employees are

viewed as assets

How a company manages its workforce may be single more important factor in sustained competitive success


Current strategic issues

Current Strategic Issues

Determine a company’s need for skills and employees

  • Becoming more competitive globally

  • Improving quality, productivity, & customer service

  • Managing mergers & acquisitions

  • Applying new information technology for e-business

    SO WHAT?NEED COMPETENCE HR

Experiential Exercise: Do You Want to be an HR Manager?


Primary goals of human resource management

1. ATTRACTANEFFECTIVEWORKFORCE

  • HRM PLANNING

  • JOB ANALYSIS

  • FORECASTING

  • RECRUITING

  • SELECTING

3.MAINTAIN AN EFFECTIVE WORKFORCE

2. DEVELOP AN EFFECTIVE WORKFORCE

  • WAGE AND SALARY

  • BENEFITS

  • LABOR RELATIONS

  • TERMINATIONS

  • TRAINING

  • DEVELOPMENT

  • APPRAISAL

PRIMARY GOALS OF HUMAN RESOURCE MANAGEMENT

HRM Environment

Legislation

Trends in society

International events

Changing technology

Company Strategy


No 1 attracting an effective workforce

No.1.Attracting an Effective Workforce

Select the

Candidate

Application

Interview

Tests

Choose Recruiting

Sources

Want ads

Headhunters

Internet

Welcome New

Employee

HR Planning

Retirements

Growth

Resignations

Employee Contributions

Ability

Education

Creativity

Commitment

Expertise

Company Needs

Strategic goals

Current & future competencies

Market changes

Employee turnover

Corporate culture

Matching Model

Match with

Company Inducements

Pay and benefits

Meaningful work

Advancement

Training

Challenge

Employee Needs

Stage of career

Personal values

Promotion aspirations

Outside interests

Family concerns

Match with


A human resource planning

a. Human Resource Planning

  • Forecasting of human resource needs and the projected matching of individuals with expected vacancies

    • ? = New technologies emerging

    • ? = Volume of business likely next 5-10 years

    • ? = Turnover rate, how much is avoidable, if any


B recruiting

b. Recruiting

  • Recruiting= activities or practices that define the desired characteristics of applicants for specific jobs

    • Internal – promote-from-within policies used by many to fill high-level positions

    • External = recruiting newcomers from outside has advantage of multiple sources

    • E-recruiting = use of Internet - fastest-growing approach to recruiting


Important step in recruiting assessing organizational needs

Important step in recruiting-assessing organizational needs

1. Job Analysis

2. Job Description

3. Job Specification


Recent approach to recruiting

Recent approach to recruiting

  • Referrals from current employees

  • Tight labor market

  • E.recruiting


C selecting

c. Selecting

Selection= process of determining the skills, abilities, and other attributes a person needs to perform a particular job

Validity = relationship between an applicant’s score on a selection device and his or her future job performance


Selecting devices

Selecting devices

(1) Application form - device used for collecting information about an applicant’s education, previous job experience, and other background characteristics

  • Research = biographical information inventories can validly predict future job success


2 interviewing an applicant

(2) Interviewing An Applicant

Know what you want

Prepare a road map

Use open-ended questions

Do not ask irrelevant questions

Do not rush interview

Do not rely on your memory


Interview as predictor of success

Interview as Predictor of Success

  • Interview is not generally a valid predictor of job performance – has high face validity as a selection tool

  • Panel interviews – candidate meets with several interviewers who take turns asking questions – increases interview validity

  • Computer-based interviews - complement traditional interviewing information


Selecting devices1

Selecting devices

3. Employment test

4. Assessment center


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No 2 developing an effective workforce

No.2. Developing an Effective Workforce

Following selection, next goal of HRM is to develop employees

  • Training and development = planned effort to facilitate employees’ learning of job-related skills and behaviors $100 billion/year

  • Types of training

    1. On-the-job training = an experienced employee “adopts” a new employee to teach him or her how to perform job duties

    a.Cross training

    b. Mentoring


Others methods

Others methods

  • 1. Orientation training

  • 2.Classroom training

  • 3. Self-directed training

  • 4. Computer-based training


No 3 maintaining an effective workforce

No.3. Maintaining an Effective Workforce

  • Compensation-types of structure

    • Wage and Salary Systems

    • Compensation Equity

    • Pay for Performance

  • Benefits

  • Termination

Ethical Dilemma: A Conflict of Responsibilities


Performance appraisal

Performance Appraisal

  • Process of observing and evaluating an employee’s performance, recording the assessment, and providing feedback to the employee

  • Steps

    • Observing and assessing performance

    • Recording the assessment

    • Providing feedback to employee


Environmental influences on hrm

Environmental Influences on HRM

  • Competitive Strategy

    • Building Human Capital

    • Information Technology

  • Federal Legislation


Three ways hr is changing

Three Ways HR Is Changing

1

Focus on building human capital

2

Development of global HR strategies IHRM

3

The using of information technology


Human capital ihrm

Human Capital - IHRM

  • Human Capital = economic value of the knowledge, experience, skills, and capabilities of employees

  • IHRM = addresses the complexity that results from recruiting, selecting, developing, and maintaining a diverse workforce on a global scale


Information technology

Information Technology

  • Human resource information technology = an integrated computer system designed to provide data and information used in HR planning and decision making

  • Traditional HR to e-HRsignificantly affected every area of human resource management

  • Some organizations are close to a paperless HRM system – saves time, money, frees staff


Federal legislation

Federal Legislation

  • Discrimination = hiring or promoting of applicants based on criteria that are not job relevant

  • Affirmative action = policy requiring employers to take positive steps to guarantee equal employment opportunities for people within protected groups


Major federal laws hrm

Major Federal Laws - HRM

Exhibit 12.3

  • Equal Opportunity/Discrimination Laws

  • Compensation/Benefits Laws

  • Health/Safety Laws


The changing social contract

The Changing Social Contract

New Contract

Old Contract

Employee

Employability, personal responsibility Partner in business improvement Learning

Job security A cog in the machine Knowing

Traditional compensation package Standard training program Routine jobs Limited information

Employer

Continuous learning, lateral careermovement, incentive compensationCreative development opportunitiesChallenging assignmentsInformation and resources

SOURCE: Based on Louisa Wah, “The New Workplace Paradox “ Management Review, January 1998,7; and Douglas T. Hall and Jonathan B. Moss, “The New Protean Career Contract: Helping Organizations and Employees Adapt,” Organizational Dynamics, winter 1998, 22-37.


Hr issues in the new workplace

HR Issues in the New Workplace

  • Teams and Projects

  • Temporary Employees

  • Technology

  • Work-Life Balance

  • Downsizing


Hr issues in the new workplace1

HR Issues in the New Workplace

Teams and Projects

  • Teams and Projects – major trend in today’s workplace

  • With emphasis on projects, distinctions between job categories and descriptions are collapsing

  • Many of today’s workers straddle functional & departmental boundaries; handle multiple tasks/responsibilities

  • Virtual team = made up of members who

    • are geographically or organizationally dispersed,

    • rarely meet face to face, and

    • do their work using advance information technologies.


Hr issues in the new workplace2

HR Issues in the New Workplace

Temporary Employees

  • In opening years of the 21st century, largest employer in U.S. was a temporary employment agency, Manpower, Inc.

  • Temporary Employees do everything from data entry to interim CEO

  • Contingent workers = people who work for an organization, but not on a permanent or full-time basis, including temporary placements, contracted professionals, or leased employees


Hr issues in the new workplace3

HR Issues in the New Workplace

Technology

  • Telecommuting and virtual teams are related trends

  • Telecommuting = using computers and telecommunications equipment to perform work from home or another remote location

  • Work anywhere - wireless Internet devices, laptops, cell phones, fax machines

  • Extreme telecommuting = people live nd work in countries far away from the organization’s physical location


Hr issues in the new workplace4

HR Issues in the New Workplace

Work-Life Balance

Many European companies ahead of U.S.companies

  • Telecommuting is one way organizations help employees lead more balanced lives

  • Flexible scheduling important in today’s workplace – 27% of workforce/flexible hours

  • Broad Work-Life Balance initiatives – critical retention strategy – on-site gym & childcare, paid leaves & sabbaticals


Hr issues in the new workplace5

HR Issues in the New Workplace

Downsizing

  • Downsizing = intentional, planned reduction in the size of a company’s workforce

  • Managers can smooth the downsizing process

    • Regularly communicating with employees

    • Providing them with as much information as possible

    • Providing assistance to workers who will lose their jobs

    • Using training and development for remaining employees


Hr issues in the new workplace6

HR Issues in the New Workplace

  • HR issues present many challenges for organizations and HR managers as they work toward the three primary HR goals

    • Attracting

    • Developing

    • Maintaining an effective workforce


Matching model

Matching Model

Attracting an Effective Workforce

  • An employee selection approach in which the organization and the applicant attempt to match each other’s needs, interests, and values


Reasons for not asking about home ownership

Reasons For Not Asking About Home Ownership

  • Might adversely affect applicants chances at the job

  • Minorities and women may be less likely to own a home

  • Home ownership is probably unrelated to job performance


Inappropriate or illegal questions

Inappropriate or Illegal Questions

Employment Applications and Interviews

  • Race-related questions

  • Age

  • Religion

  • Gender

  • National origin

  • Marital/family status


Testing and assessment

Testing and Assessment

  • Employment Test = written or computer-based test designed to measure a particular attribute such as intelligence or aptitude

  • Assessment Center = technique for selecting individuals with high managerial potential based on their performances on a series of simulated managerial tasks


Making performance appraisals a positive force

Making Performance Appraisals A Positive Force

  • The accurate assessment of performance through the development and application of assessment systems such as a rating scale

  • Training managers to effectively use the performance appraisal interview to provide feedback that reinforces good performance and motivate employee development


Assessing performance accurately

Assessing Performance Accurately

  • 360° Feedback Process

  • Performance Evaluation Errors

    • Stereotyping

    • Halo effect

    • BARS – Behaviorally-anchored rating scale


Behaviorally anchored rating scale

Behaviorally Anchored Rating Scale

Job: Production Line Supervisor - Work Dimension: Work Scheduling

Develop a comprehensive schedule, observe target dates, and update the status of operations relative to plans, making schedule modifications as quickly as necessary

Make a list of due dates and revise them but are frequently surprised by unforeseen events

Have no plan or schedule of work and no concept of realistic due dates

1

2

3

4

5

Have a sound plan but neglect to keep trace of target dates or to report schedule slippages or other problems as they occur

Usually satisfy time constraints, with time and cost overruns coming up infrequently

Sources: Based on J.P. Campbell, M.D. Dunnette, R.D. Arvey, and L.V. Hellervik, “The Development and Evaluation of behaviorally Based Rating Scales,”Journal of Applied Psychology 57 (1973), 25-22; and Francine Alexander, ‘performance Appraisals,” Small Business Reports (March 2989), 20-29.


Termination

Termination

  • Employees who are poor performers can be dismissed

  • Employers can use exit interviews in a positive manner

Value of termination for maintaining an effective workforce is two fold


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