HUMAN RESOURCE MANAGEMENT Human Capital Management - introduction

1. HUMAN RESOURCE MANAGEMENT Human Capital Management - introduction Dr. Marian Krupa

2. agenda Introduction to General Management (GM) Human Resources Management (HRM) – overview HRM and Business Cycles

3. 1. Introduction to General Management (GM)

4. Key Questions ? • What is (HR) management? • Who are (HR) managers? • What do (HR) managers do? • What is organization? • Why study (HR) management?

5. What is management? • Coordinating work activities so that they are completed efficiently and effectively with and through other people. • Wealth creating activity. • The art of using human and material resources to produce and market goods and services Robbins, Coulter, Management, Pearson/Prentice Hall, USA 2005, p. 7. Archer, An Introduction to Canadian Business, McGraaw-Hill Ryerson Ltd, Canada 1982, p. 450.

6. What is management? Efficiency and effectiveness ? • Efficiencyis „doing things right”. • Effectivnessis „doing the right things right”. • Efficiency– ability to achieve high levels of output with a given resources. • Effectivnessperformed efforts support the stated goals of the business. R. Schulteis, M. Sumner, Management Information Systems, Irwin, USA 1989, p. 68.

7. What is management? • Objectives • All about decisions • Risk taking • Problem solving • Asking right questions • Satisfying people • Planning, organizing, directing & controlling Robbins, Coulter, Management, Pearson/Prentice Hall, USA 2005, p. 9.

8. Who are managers? Persons who are capable of asking right QUESTIONS!

9. What is management? • Someone who works with and through other people by coordinating their work activities in order to accomplish organizational goals. • Someone who works with people through people for people. Robbins, Coulter, Management, Pearson/Prentice Hall, USA 2005, p. 5.

10. What do managers do? ?

11. What do managers do? • Make decisions – solve problems • Take risk – create value • Learn and teach others • Deliver customers’ satisfaction • Work and communicate with people • Create and implemment business strategies • Plan, organize, direct & control

12. What do managers do? Managers Profiles? • Functions • Roles (Mintzberg) • Skills • Personality • Values • Experiences

13. What do managers do? ? SKILLS • Conceptual skills • Communications skills • Effectivness skills • Interpersonal skills Robbins, Coulter, Management, Pearson/Prentice Hall, USA 2005, p. 12-13.

14. What is organization? ?

15. What is organization? • Deliberate arrangement of people to accomplish some specific purpose. Robbins, Coulter, Management, Pearson/Prentice Hall, USA 2005, p. 16. • Every organization is defined by: • Purpose, Integration, Cooperation, Border, Recurrence A. Bednarski

16. What is organization? ? The External Environment

17. What is organization? © Prentice Hall, 2002

18. What is organization? 2 1 ? 3 4

19. Why study management? • Passion – it is your hobby • Vision, new business idea • Business experience • Universality of management principles • ? ?

20. Why study management? ? © Prentice Hall, 2002

21. ? Rewards of Being a Manager • create an environment that allows others to do their best work • provide opportunities to think creatively • help others find meaning and fulfillment • meet and work with a variety of people • ? © Prentice Hall, 2002

22. Why to work as a manager – Why to be in the business? BAD REASONS: • No other choice • To be your own boss • To be a rich person • Personal savings • Tradition (family) • ? GOOD REASONS: • Passion • Access to the market • Excellent new idea • Investment capital • Opportunity (?) • ?

23. Planning labor needs and production process development Practice

24. Graph 1. The Technological Process Table. Production costs – labor costs (salaries):

25. Table 2. Gantt’s Charts – real production performance

26. In Search of the New Economy Universal / Contemporary Management ?

27. In Search of the New Economy PRIORITIES! People Capital Money Conflict Ethics Information Value Competition Profit Organizations Communication Technology Skills Management Innovation Decisions Risk Transport Planning Motivation Culture Taxes Control Recources

28. In Search of the New Economy Knowledge Illustration. Impact on the Knowledge Economy. [Source: Jürgen Kreuziger, Solutions for the Knowledge Worker, The my SAP Business Intelligence Conference, Hamburg 2000].

29. In Search of the New Economy Knowledge Value (Intangible) Illustration . Evolution of Corporate Value. [Source: Jürgen Daum, Value Based Management for the New Economy, The my SAP Business Intelligence Conference, Hamburg 2000].

30. In Search of the New Economy Knowledge Value (Intangible) Electronic Market Illustration. The New Economy is Radicly Altering Value Chains. Source: Jürgen Daum, Value Based Management for the New Economy, The my SAP Business Intelligence Conference, Hamburg 2000.

31. In Search of the New Economy Knowledge Value (Intangible) Electronic Market Customer/ Branding Illustration. Value Networks Decapitalize the Traditional Business Model. [Source: Jürgen Daum, Value Based Management for the New Economy, The my SAP Business Intelligence Conference, Hamburg 2000].

32. In Search of the New Economy Knowledge Value (Intangible) Electronic Market Customer/ Branding Networking (Global) Illustration. The Big Picture of the e-Buisness in the XXI Century. [Source: Oliver Edinger, Managing External Communities with mySAP Workplace, The my SAP Business Intelligence Conference, Hamburg 2000].

33. In Search of the New Economy Knowledge Value (Intangible) Electronic Market Customer/ Branding Networking (Global) People (Cultures) http://www.sap.com

34. 7 As What makes the difference? • Ability to attract knowledge (Customer/Branding) • Ability to create VALUE from human innovation (CREATIVITY) • Ability to built long lasting business networking • Ability to think internationally / globally • Ability to communicate within cross-culture organizations • Ability to implement information technology • Ability to promote „human touch” environment

35. 2. Human Resources Management (HRM) - overview

36. HRM – definition? HRM – KEY FUNCTIONS: practices and polices you need to carry out the people and personnel aspects of your management job. ? • Conducting job analysis • Planning labor needs • Selecting, recruiting job candidates • Orienting and training new employees • Managing (negotiating) wages and salaries • Appraising performance, providing incentives and benefits • Communicating • Training, developing, building employee commitment G. Dessler, Human Resources Management, Prentice Hall Int., New Jersey, USA, p. 2.

37. HRM – definition? Why is HR management Important to Business? • Hire a wrong person for a job • Experience high turnover • Find your people not doing their best • Waste time with useless interviews • Have your company taken to court because of your discriminatory actions • Have your company cited under national occupational safty law for unsafe practices G. Dessler, Human Resources Management, Prentice Hall Int., New Jersey, USA, p. 2.

38. HRM – definition? Why is HR management Important to Business? (2) • Have some of your employees think their salaries are unfair and inequitable relative to others in the organization • Allow a lack of training to undermine your department’s effectiveness • Commit any unfair labor practices • ? G. Dessler, Human Resources Management, Prentice Hall Int., New Jersey, USA, p. 3.

39. Method and techniques of HR Management

40. Method • METHOD - a particular way of doing sth: a reliable / effective / scientific method of data analysis. • A new way of solving the problem • The best solution for arriving at an accurate prediction of the costs. Oxford Advanced Genie

41. Technique TECHNIQUE - a particular way of doing sth, especially one in which you have to learn special skills. Oxford Advanced Genie

42. Principle • PRINCIPLE – • a moral rule or a strong belief that influences your actions; • a belief that is accepted as a reason for acting or thinking in a particular way; • a general or scientific law that explains how sth works or why sth happens. Oxford Advanced Genie

43. Methodology METHODOLOGY - a set of methods (techniques) used to perform a particular activity. Oxford Advanced Genie

44. Scientific method SCIENTIFIC METHOD - In science in general, method is a codified series of steps taken to complete a certain task or to reach a certain objective, see also algorithm, methodology. http://en.wikipedia.org

45. Scientific method SCIENTIFIC METHOD - Scientists use observations, hypotheses, and logic to propose explanations for natural phenomena in the form of theories. Predictions from these theories that can be reproducibly tested by experiment are the basis for developing new KNOWLEDGE (technology). http://en.wikipedia.org

46. Methods and Techniques - definition Method vs Technique: • Means – the way that any given problem can be solved – concept implemetation – e.g. a table, graph. • Tools – physical thing that implements the mean – e.g. a paper, pencil, computer, software, calculator.

47. Methods and Techniques of HR Management http://www.valuebasedmanagement.net

48. ISHIKAWA Diagram

49. ISHIKAWA diagram ISHIKAWA diagramis a graphical method (technique) for finding the most likely causes for an undesired effect. The method was first used by Kaoru Ishikawa in the 1960s. http://en.wikipedia.org

50. ISHIKAWA diagram ISHIKAWA diagramthe fishbone diagram is a technique used in a root cause analysis. Because of its shape, it is also known as the fishbone diagram. http://en.wikipedia.org