Human Resource Management ESSENTIAL PERSPECTIVES © 2005 Southwestern College Publishing. All rights reserved. Basics of Human Resource Management Section 1 Robert L. Mathis  John H. Jackson PowerPoint Presentation by TRUONG THI LAN ANH © 2005 Southwestern College Publishing. All rights reserved. Truong T. Lan Anh 1–2 Learning Objectives After you study this section, you should be able to: – Define HR management and explain why managers and HR staff must work together. – List and define the seven categories of of HR activities. – Identify three challenges facing HR today. – Discuss why human resources can be a core competency for organizations. – Describe the four roles of HR management. – Discuss why ethical issues affect HR management. – Consider HRM as a career field. © 2005 Southwestern College Publishing. All rights reserved. Truong T. Lan Anh 1–3 Nature of Human Resource Management  Human Resource Management – The design of formal systems in an organization to ensure effective and efficient use of human talent to accomplish organizational goals.  Who Is an HR Manager? – In the course carrying out their duties, every operating manager is, in essence, an HR manager. – HR specialists design processes and systems that operating managers help implement. – However, in the practice, the position of HR Manager/Director is reserved for a HR specialist in organization. © 2005 Southwestern College Publishing. All rights reserved. Truong T. Lan Anh 1–4 Cooperation of HR with Operating Managers  HR Unit – Develops legal, effective interviewing techniques – Trains managers in conducting selection interviews – Conducts interviews and testing – Sends top three applicants to managers for final review – Checks references – Does final interviewing and hiring for certain job classifications  Managers – Advise HR of job openings – Decide whether to do own final interviewing – Receive interview training from HR unit – Do final interviewing and hiring where appropriate – Review reference information – Provide feedback to HR unit on hiring/rejection decisions © 2005 Southwestern College Publishing. All rights reserved. Truong T. Lan Anh 1–5 HR Activities 1. HR Planning and Analysis 2. Equal Employment Opportunity 3. Staffing (Recruiting and Selecting) 4. HR Development 5. Compensation and Benefits 6. Health, Safety, and Security 7. Employee and Labor/Management Relations © 2005 Southwestern College Publishing. All rights reserved. Truong T. Lan Anh 1–6 HR Management Activities Source: HR Department Benchmarks and Analysis Survey 2004 (Washington, DC: Bureau of National Affairs, 2004), 21. To purchase this publication and find out more about other BNA HR solutions visit http://hrcenter.bna.com or call 800-372-1033. Used with permission. Figure 1–1 © 2005 Southwestern College Publishing. All rights reserved. Truong T. Lan Anh 1–7 Smaller Organizations and HR Management Compliance with Government Regulations Shortage of Qualified Workers Increasing Costs of Benefits Rising Taxes Issues of Greatest Concern © 2005 Southwestern College Publishing. All rights reserved. Truong T. Lan Anh 1–8 HR Management Challenges  Globalization of Business – Outsourcing and increased competition – The threat of terrorism  Economic and Technological Changes – Occupational shifts from manufacturing and agriculture to service industries and telecommunications. – Pressures of global competition causing firms to adapt by lowering costs and increasing productivity.  Technological Shifts and the Internet – Growth of information technology. © 2005 Southwestern College Publishing. All rights reserved. Truong T. Lan Anh 1–9 HR Management Challenges  Workforce Availability and Quality – Inadequate supply of workers with needed skills for “knowledge jobs” – Education of workers in basic skills  Growth in Contingent Workforce – Increases in temporary workers, independent contractors, leased employees, and part-timers caused by: • Need for flexibility in staffing levels • Increased difficulty in firing regular employees. • Reduced legal liability from contract employees © 2005 Southwestern College Publishing. All rights reserved. Truong T. Lan Anh 1–10 HR Management Challenges  Demographics and Diversity Issues – More diversity of nationalities, hometown origin (the city or distant provinces), gender, age, and ethnicity – Other diversity: educational background, etc.  More diversity, more discrimination  More Women in the Workforce – Dual-career couples – Single-parent households – Working mothers and family/childcare [...]... Firms benefit from the expertise of other firms, without having the time and expense of developing some of their own HR practices © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh 1–21 HR Technology  Human Resource Management System (HRMS) – An integrated system providing information used by HR management in decision making – Purposes (Benefits) of HRMS • Administrative and operational... Organizational Culture – The shared values and beliefs of the workforce  Productivity – A measure of the quantity and quality of work done, considering the cost of the resources used – A ratio of the inputs and outputs that indicates the value added by an organization  Quality Products and Services – High quality products and services are the results of HR-enhancements to organizational performance ©... 1–6 1–18 Overview of HR Management Roles Figure 1–7 © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh 1–19 Changing Roles of HR Management Note: Example percentages are based on various surveys © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh Figure 1–5 1–20 New Approaches to HR Management  Collaborative HR – The process of HR professionals from... are “survivor mentality”, loss of employee loyalty, and turnover of valuable employees – HR managers must work toward ensuring cultural compatibility in mergers © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh 1–11 Human Resources as a Core Competency  Strategic Human Resources Management – Organizational use of employees to gain or keep a competitive advantage against competitors... data • Availability of data for effective HR strategic planning – Uses of HRMS • Automation of payroll and benefit activities • EEO/affirmative action tracking • HR Workflow: increased access to HR information © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh 1–22 Ethics and HR  What is Ethical Behavior? – What “ought” to be done  Code of ethics – Dimensions of decisions about...HR Management Challenges  Organizational Cost Pressures and Restructuring – Mergers and Acquisitions (M&A) – “Right-sizing” - eliminating of layers of management, closing facilities, merging with other organizations, and outplacing workers • Intended results are flatter organizations, increases in productivity, quality, service and lower costs • Costs are “survivor mentality”, loss of employee... Operational Role – Identification and implementation of HR programs and policies—EEO, hiring, training, and other activities that support the organization © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh 1–17 How HR Spends Its Time Source: Adapted from “How Much Time Should Your HR staff Spend on Recruiting?” Human Resources Department Management Report, June 2000, p 6 © 2005 Southwestern... ethical issues in management: • • • • • Extended consequences Multiple alternatives Mixed outcomes Uncertain consequences Personal effects © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh 1–23 Examples of Ethical Misconduct in HR Activities © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh Ethical Issues in Management  Most Common Forms of Unethical... Falsification of records  International Ethical Issues – Gift giving and bribery (corruption) – Discrimination in hiring and treatment  Addressing Ethical Issues – Code of ethics – Training managers and employees © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh 1–25 HR Management as a Career field  HR Generalist – A person with responsibility for performing a variety of HR activities... knowledge and expertise in a limited area of HR  Important HR Capabilities: – Knowledge of business and organization – Influence and change management – Specific HR knowledge and expertise © 2005 Southwestern College Publishing All rights reserved Truong T Lan Anh 1–26 HR Specialists Source: HR Department Benchmarks and Analysis 2004 (Washington, DC: Bureau of National Affairs, 2004), 119 To purchase . Lan Anh 1–3 Nature of Human Resource Management  Human Resource Management – The design of formal systems in an organization to ensure effective and efficient use of human talent to accomplish. Discuss why human resources can be a core competency for organizations. – Describe the four roles of HR management. – Discuss why ethical issues affect HR management. – Consider HRM as a career. Human Resource Management ESSENTIAL PERSPECTIVES © 2005 Southwestern College Publishing. All rights reserved. Basics of Human Resource Management Section 1 Robert L.