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8/7/2019 PPT. OF HR MGMT.
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Pankaj sharma
Pg 051
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We all know that HRM is concerned with the
"people" & keeping the fact in mind that HRM
helps in acquiring, developing, stimulating &
retaining the outstanding employees as it gives
both effectiveness & efficiency to the workingof the organization, it has been started being
used strategically & is now termed as Strategic
human resource management
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The role of human resource management ischanging & is changing very fast, to helpcompanies achieve their goals. HRM has gonethrough many phases from hiring & firing to
relationship building, from there to legislation
role, & now its role is shifting from protector &screener to strategic partner & as a changeagent.
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1. Organizational use of employees to gain or keep acompetitive advantage against competitors.
2. Involves aligning initiatives involving how people aremanaged with organizational mission and objectives.
3.In today's flattened, downsized & high-performingorganizations, highly trained & committed employees
are often the firm's competitive key.
4.Perhaps the most drastic change in HR's role today is itsgrowing involvement in developing & implementing thecompany's strategy.
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` Strategic Management
Is the process of ensuring
that an organization possessesand benefits from the use of an
appropriate organizational
strategy.
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` Understand styles of leadership
` Display appropriate leadership
` Demonstrate leadership at all levels
of performance team, individual, unit
or organization
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` Understand strategic business planning
` Apply a systematic HR planning process
` Integrate HR systems to build capabilityand competitive advantage for the firm
` Develop and integrate departmentstrategies within corporate framework
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The cycle starts with laying down a
strategic plan, linking HR functions in it,and it provides the basis for Manpowerplanning and internal mobility. TheManpower planning will lead to the
function of acquiring right people for theright job and in accordance recruitmentas well as selection exercise will bedesigned and tools selected. For e.g. if a
automobile company decides to launch anew four-wheel model in the time tocome their focus will be on Research andDevelopment and then on Market Testingand last but foremost production andafter sales.
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This new plan will act as the guideline for the company
and will help in determining how many people do we needand what qualifications they should posses and how manyof them can be kept on full-time rolls and as permanentemployees.
The next Stage is for sustaining and retaining those whoare hired and making sure that they work efficiently and
help the company move in the selected direction. Theyshould also facilitate the smooth movement of thecompany in the desired direction and should result inachievement of corporate goals and objectives effectivelyand efficiently. Employee's performance should be ratedand compared with the benchmarks, recorded deviationsare to be corrected, and precautionary measures for thefuture are implemented. In last stage the separation orfarewell to those who are non-performing or may be tothose who have completed their job or task i.e. projectteams, is bided.
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Strategic Planning
Is long-range planning that focuses on the
organization as a whole. In doing strategic planning, managers consider the
organization as a total unit and ask themselves
what must be done in the long term to attain
organizational goals.x Long range is usually defined as a period of time
extending about three to five years in the future.
Strategy
A broad and general plan developed to reach long-termob ectives.
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` Str teg For l tion Is the process of determining appropriate
courses of action for achieving
organizational objectives and therebyaccomplishing organizational purpose.
Strategy development tools include
critical question analysis, SWOT analysis,
business portfolio analysis, and PortersModel for Industry Analysis.
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1
6
PORTERS MODEL OF FACTORS
THAT DETERMINE COMPETITIVENESS
WITHIN AN INDUSTRY
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` Effi i t r ti
` Expli it j s ripti s
` D t il w rk pl i
` Emphasis t hni al skills
` Emphasis n j -specific training
` Emphasis n j - asedpay
` Useperf rmanceappraisal
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STEPS OF THE STRATEGY
MANAGEMENT PROCESS
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Company Type of Business Sample Organizational Objectives Strategy to
Accomplish ObjectivesFord Motor Automobile 1. Regain market share recently 1. Resize and
downsize present models
Company manufacturing lost to General Motors 2. Continue to
produce subintermediate,
2. Regain quality reputation that standard, and
luxury cars
was damaged because of Pinto 3. Emphasize use ofprogrammed
gas tank explosions combustion
engines instead of diesel
engines
Burger Fast food 1. Increase productivity 1. Increase people
efficiencyKing 2. Increase machine
efficiency
CP Transportation 1. Continue company growth 1. Modernize
Railroad 2. Continue company profits 2. Develop valuable
real estate holdings
3. Complete anappropriate railroad merger
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HR
Strategies
OrganizationalStrategies
Organizational
Characteristics
Organizational
Capabilities
Environments
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Ideally HR & top management worktogether to formulate the company'soverall business strategy; that strategythen provides the framework within
which HR activities such as recruiting &appraising must be crafted. If it is donesuccessfully, it should result out in theemployee competencies & behavior that
in turn should help the businessimplement its strategies & realize itsgoals.
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According to an expert "the human
resources management system must betailored to the demands of businessstrategy".In order to be successful the employees
should be developed in such a mannerthat they can be the competitiveadvantage, & for this the humanresource management must be an equal
partner in both the formulation & theimplementation of the corporate &competitive strategies.
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