Intro to HR1

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    HUMAN RESOURCES

    DEVELOPMENT

    A METHODOLOGY FORORGANISATIONAL CLIMATE

    ESTIMATION

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    http://www.bized.co.ukOFTEN ASKED QUESTIONS ?

    Are we in the right business ?

    Do we have the right people ?

    Are we in the right industries ?

    Are we in the right states ?

    Given the same country climate, why arewe where we are ?

    is it because we have/lack

    Purpose Values

    Standards of behaviour

    Strategy

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    Organisations are driven by humancapital and it is crucial to have ascientific look at this factor of

    production

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    HRM & HRD

    HRM

    - deals with optimum utilization of humancapital - integrative & supportive

    HRD

    - deals with development and upgradationof human capital

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    HRM takes the stock of human capital as givenand tries to optimally allocate it among differentprocesses/activities such that output is maximized.

    HRD tries to bring about qualitative changes in

    this stock of human capital in accordance with theneeds of the organization and corporateobjectives. It tries to mould the stock as perrequirements.

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    http://www.bized.co.ukWhy Study Human ResourcesManagement

    Human Resources Management (HRM)

    The process of managing human resources

    (human capital and intellectual assets) to achieve

    an organizations objectives. Why Study HRM?

    Staffing the organization, designing jobs and

    teams, developing skillful employees, identifying

    approaches for improving their performance, andrewarding employee successesall typically

    labeled HRM issuesare as relevant to line

    managers as they are to managers in the HR

    department.

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    EMPLOYMENT HR DEV

    COMPENSATION

    MGT

    HUMAN RELATIONS

    Org design

    Job design

    Job analysis

    Perf. app

    Training

    Career pl

    Job eva

    Wage

    Perks

    Motivaton

    Morale

    Job satisfaction

    Communication

    Grievance

    Discp. action

    Planning

    Recruitment

    Selection

    Induction

    Placement

    Quality of life

    AN ILLUSTRATION

    OBJECTIVES & POLICIES

    OF HRM

    OPERATIVE FUNCTIONS OF HRM

    MANAGERIAL FUNCTIONS

    OF HRM

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    Managers Mind Map

    Get strategyvetted by Board

    Schedule of

    implementation

    Project planning

    Liaise with

    Other Depts.

    Implement

    Monitor

    expenses

    Allocate

    Budget

    Manage the

    Budget

    Manage the team

    Appraisal

    Development

    Manage enquiries

    Deal with

    customers

    Design appropriate

    Instruments

    Processing

    Detailing

    Report

    preparation

    Move the Committee

    Sanction

    Outgo of funds

    Monitoring

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    http://www.bized.co.ukHuman ResourcesManagement

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    Recruitment

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    Recruitment

    The process by which a job vacancy

    is identified and potential employees are notified.

    The nature of the recruitment process is regulated

    and subject to employment law.

    Main forms of recruitment through advertising in

    newspapers, magazines, trade papers and internal

    vacancy lists.

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    Recruitment

    Job descriptionoutline of the role of the job

    holder

    Person specificationoutline of the skills andqualities required of the post holder

    Applicants may demonstrate their suitability

    through application form, letter or curriculumvitae (CV)

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    Selection

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    Selection

    The process of assessing candidates and

    appointing a post holder

    Applicants short listedmost suitable

    candidates selected

    Selection processvaries according to

    organisation:

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    http://www.bized.co.ukSelection

    Interviewmost common method

    Psychometric testingassessing the personality

    of the applicantswill they fit in?

    Aptitude testing assessing the skillsof applicants

    In-tray exerciseactivity based around what the

    applicant will be doing, e.g. writing a letter to a

    disgruntled customer

    Presentationlooking for different skills as well

    as the ideas of the candidate

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    Employment Legislation

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    Employment Legislation

    Increasingly important

    aspect of the HRM role

    Wide range

    of areas for attention

    Adds to the cost of thebusinessEven in a small business, thelegislation relating to employees isimportant chemicals used in ahairdressing salon for examplehave to be carefully stored andhandled to protect employees.

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    Discrimination

    Crucial aspects of

    employment legislation:

    Race Gender

    Disability

    Disability is no longer an issue for employersto ignore, they must take reasonable stepsto accommodate and recruit disabled workers.

    Copyright: Mela, http://www.sxc.hu

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    Discipline

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    Discipline

    Firms cannot just sack workers

    Wide range of procedures and steps in dealing with

    workplace conflict

    Informal meetings

    Formal meetings

    Verbal warnings

    Written warnings Grievance procedures

    Working with external agencies

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    Development

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    Development

    Developing the employee can be regarded as

    investing in a valuable asset

    A source of motivation A source of helping the employee fulfil

    potential

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    Training

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    Training

    Similar to development:

    Provides new skills for the employee

    Keeps the employee up to datewith changes in the field

    Aims to improve efficiency

    Can be external or in-house

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    Rewards Systems

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    Rewards Systems

    The system of pay and benefits used by the

    firm to reward workers

    Money not the only method

    Fringe benefits

    Flexibility at work

    Holidays, etc.

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    Trade Unions

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    Trade Unions

    Importance of building relationships with

    employee representatives

    Role of Trade Unions has changed

    Importance of consultation and negotiation and

    working with trade unions

    Contributes to smooth change management and

    leadership

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    Productivity

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    Productivity

    Measuring performance:

    How to value the workers contribution

    Difficulty in measuring some types of output

    especially in the service industry

    Appraisal

    Meant to be non-judgmental

    Involves the worker and a nominated appraiser Agreeing strengths, weaknesses and ways

    forward

    to help both employee and organisation

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    Figure 14 Productivity Enhancements

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    http://www.bized.co.ukSummary of HR Functions

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    THE BUILDING BLOCKS OF HRM

    Reactive and supportive HRM

    Integrative HRM

    Independent HRM

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    http://www.bized.co.ukREACTIVE AND SUPPORTIVE HRM- ADMINISTRATIVE EXPERT

    Management of employeecontribution/performance appraisaljob definition

    Listening and responding to employees

    Recruitment, salaries and remuneration, retraining,sustenance, growth

    Union/association negotiations

    Data base, compendium

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    http://www.bized.co.ukINTEGRATIVE HRM- STRATEGIC PARTNER

    What was a fine solution yesterday may notbe valid tomorrow.

    The 7 ssStrategy, systems, staff, skills, style,structure, shared values

    Generate a learning organization withknowledge workers

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    http://www.bized.co.ukINDEPENDENT HRM

    - CHANGE AGENT/CONSULTANT

    Observe the organization's movementover time at a certain level ofabstraction and provide inputs for

    change correct age/skill distribution

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    Peak

    Performance

    DistressBoredom

    H

    ENERGY

    CHALLENGE

    L

    H

    L

    Burnt out

    Exhausted

    Rechargetime

    MANAGING STRESS

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    Delegate Beware ofDumping Tasks

    Long term

    projects

    Leave

    Urgency

    Challenge & Development

    H L

    H

    L

    ANALYSING THE TASK

    AN EXAMPLE

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    http://www.bized.co.uk(Job Affected Well-being Scale) that has been designed by Katwyk, Fox,Spector, Kelloway (2000) for measuring the different affects that have an

    effect on peoples perceptions on their subjective job-related well-being.

    JAWS Scale Emotion

    High High (HH)

    High pleasure high arousal

    energetic, excited, ecstatic,

    enthusiastic, inspired

    High Low (HL)High pleasure low arousal

    at-ease, calm, content, satisfied,relaxed

    Low High (LH)Low pleasure high arousal

    angry, anxious, disgusted,frightened, furious

    Low Low (LL)Low pleasure low arousal

    bored, depressed, discouraged,gloomy, fatigued

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    Recent Trends in Human

    Resource Management

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    http://www.bized.co.ukFigure 11 Overall Framework for Human Resource Management

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    Competitive Challenges and HRM

    The most pressing competitive issues facing firms:1. Going global

    2. Embracing new technology

    3. Managing change

    4. Managing talent, or human capital

    5. Responding to the market

    6. Containing costs

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    Competitive Advantage through People

    Core Competencies

    Integrated knowledge sets within an

    organization that distinguish it from its

    competitors and deliver value to customers.

    Sustained competitive advantage through people

    is achieved if these human resources:

    Have value. Are rare and unavailable to competitors.

    Are difficult to imitate.

    Are organized for synergy.

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    http://www.bized.co.ukChallenge 1: Going Global(contd)

    Corporate Social Responsibility

    The responsibility of the firm to act in the best

    interests of the people and communities affected by

    its activities

    Impact on HRM

    Different geographies, cultures, laws, and business

    practices

    Issues:

    Identifying capable managers and workers

    Developing foreign culture and work practice

    training programs.

    Adjusting compensation plans for overseas work

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    Challenge 1: Going Global

    Globalization

    The trend toward opening up foreign markets

    to international trade and investment

    Impact of globalization

    Anything, anywhere, anytime markets

    Partnerships with foreign firms

    Lower trade and tariff barriers

    NAFTA, EU, APEC trade agreements

    WTO and GATT

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    http://www.bized.co.ukChallenge 2: Embracing New Technology

    Knowledge Workers

    Workers whose responsibilities extend

    beyond the physical execution of work to

    include planning, decision making, and

    problem solving.

    Knowledge-Based Training

    Online instruction

    Just-in-time learning via the Internet

    on company intranets

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    http://www.bized.co.ukInfluence of Technology in HRM

    Human Resources Information System (HRIS)

    A computerized system that provides current and

    accurate data for the purposes of control and

    decision making.

    Benefits: Store and retrieve of large quantities of data.

    Combine and reconfigure data to create new

    information.

    Institutionalization of organizational knowledge.

    Easier communications.

    Lower administrative costs, increased

    productivity and response times.

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    http://www.bized.co.ukHRM IT Investment Factors

    Fit of the application to

    the firms employee base.

    Ability to upgrade

    Increased efficiency and

    time savings

    Compatibility with current

    systems

    Availability of technical

    support

    Time required to

    implement and train staff

    members to use HRIS

    Initial and annual

    maintenance costs

    Training time required for

    HR and payroll

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    Challenge 3: Managing Change

    Types of Change

    Reactive change

    Change that occurs after external forces have

    already affected performance

    Proactive change

    Change initiated to take advantage of

    targeted opportunities

    Managing Change through HR

    Formal change management programs help to

    keep employees focused on the success of the

    business.

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    Challenge 4: Managing Talent, or Human Capital

    Human Capital

    The knowledge, skills, and capabilities of

    individuals that have economic value to an

    organization.

    Valuable because capital:

    is based on company-specific skills.

    is gained through long-term experience.

    can be expanded through development.

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    Challenge 5: Responding to the Market

    Total Quality Management (TQM)

    A set of principles and practices whose core

    ideas include understanding customer needs,

    doing things right the first time, and striving for

    continuous improvement.

    Six Sigma

    A process used to translate customer needs into

    a set of optimal tasks that are performed in

    concert with one another.

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    http://www.bized.co.ukChallenge 5: Responding to the Market (contd)

    Reengineering and HRM

    Fundamental rethinking and radical redesign of

    business processes to achieve dramatic

    improvements in cost, quality, service, and speed.

    Requires that managers create an environment

    for change.

    Depends on effective leadership and

    communication processes. Requires that administrative systems be

    reviewed and modified.

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    Challenge 6: Containing Costs

    Downsizing

    The planned elimination of jobs (head count).

    Layoffs

    Outsourcing Contracting outside the organization to have work done

    that formerly was done by internal employees.

    Offshoring

    The business practice of sending jobs to other countries.

    HR-Leadership: emerging models

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    LEADS MODEL

    L

    E

    A D

    S

    LISTENING

    EMPOWERING

    ADAPTING DELIVERING

    SELF-

    UNDERSTANDING

    HR-Leadership: emerging models

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    GROW MODEL

    G

    R

    O W

    GOALS

    REALITY

    OPTIONS WILL

    HR_Leadership: emerging models

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    BOOST MODEL

    B

    O

    O S

    T

    BALANCE

    OBSERVE

    OWNERSHIP SPECIFIC

    TIME

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    Conclusion

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    Thank You