1. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-1

2. P A R T P A R T The Human Resource Environment Trends in Human Resource Management Providing Equal Employment Opportunity and a Safe Workplace Analyzing Work and Designing Jobs 1

3. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-3 Trends in Human Resource Management PA E TR HC 2 Change in the Labor Force High Performance Work Systems Focus on Strategy Technological Change in HRM

4. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-4 Ch. 2 Learning Objectives 1. Describe trends in the labor force composition and how they affect human resource management. 2. Summarize areas in which human resource management can support the goal of creating a high-performance work system. 3. Define employee empowerment and explain its role in the modern organization. 4. Identify ways HR professionals can support organizational strategies for quality, growth and efficiency.

5. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-5 Ch. 2 Learning Objectives 5. Summarize ways in which human resource management can support organizations expanding internationally. 6. Discuss how technological developments are affecting human resource management. 7. Explain how the nature of the employment relationship is changing. 8. Discuss how the need for flexibility affects human resource management.

6. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-6 Change in the Labor Force  Labor Force  What constitutes the labor force?  Internal labor force  The workers an organization already has  External labor market  Individuals actively seeking employment

7. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-7 Age Distribution of U.S. Labor Force, 2002 and 2012 Figure 2.1

8. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-8 Aging Workforce  What are the challenges organizations face with regard to the aging workforce?

9. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-9 Projected Racial/Ethnic Makeup of the U.S. Workforce 2012 Figure 2.2

10. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-10 HRM Practices that Support a Diverse Workforce Figure 2.3

11. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-11 Skill Deficiencies in Workforce  A = True, B = False  Use of computers to do routine tasks has changed the kinds of skills needed by employees.  A college degree is not as important as it once was.  U.S. production jobs require intelligence and skills as much as strength.

12. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-12 High Performance Work Systems  High-Performance Work Systems  Organizations that have the best possible fit between their social system and technical system.  What contributes to a high-performance work system?

13. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-13 Knowledge Workers  Employees whose main contribution to the organization is specialized knowledge, such as knowledge of customers, a process, or a profession  How does the increase in knowledge workers affect HRM practices?

14. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-14 Test Your Knowledge  Ensuring that knowledge workers will share information and store it so that it is easily retrieved by others is the concern of which of the following HR activities. a. Turnover b. Employee Empowerment c. Knowledge Management d. Employee Selection

15. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-15 Employee Empowerment & Teamwork  Employee Empowerment  Giving employees responsibility and authority to make decisions regarding all aspects of product development or customer service  Teamwork  The assignment of work to groups of employees with various skills who interact to assemble a product or provide a service

16. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-16 Test Your Knowledge  Sharon is a very smart and conscientious worker. Lately, she has felt that her ideas were disregarded and she was denied autonomy in completing her work. This situation is probably caused by a lack of a. Employee Empowerment b. Knowledge Management c. Turnover d. Teamwork

17. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-17 Focus on Strategy  How can human resource management support and contribute to organizational strategy?

18. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-18 Business Strategy: Issues Affecting HRM

19. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-19 Downsizing  Why do companies downsize?  If you were told you were being downsized, what would you want to know?  If you weren’t being downsized but others were, what would you want to know?

20. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-20 Expanding into Global Markets  To meet competitive challenges, U.S. companies must expand globally:  Develop global markets  Hire from a international labor pool  Prepare employees for global assignments  Expatriates  Would you consider being an expatriate?  A=Yes, B= No  Where Immigrants to the US Came from in 2003 - Insert Figure 2.6

21. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-21 Technological Change in HRM  Human resource information system (HRIS) is a computer system used to acquire, store, manipulate, analyze, retrieve, and distribute information related to human resources.

22. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-22 New Technologies Influencing HRM Table 2.1

23. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-23 The Internet Economy  Companies use the Internet to gain an advantage or keep up with competitors  Electronic business (e-business)  Business-to-consumer  Business-to-business  Consumer-to-consumer  What are some examples?

24. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-24 Electronic HRM  e-HRM  The processing and transmission of digitized HR information, especially using computer networking and the Internet

25. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-25 Using e-HRM  How could e-HRM be used with regard to:  benefits?  selection?  succession planning?  development?

26. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-26 Implications of e-HRM Table 2.2

27. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-27 Change in Employment Relationship  The Psychological Contract  A description of what an employee expects to contribute in an employment relationship and what the employer will provide the employee in exchange for those contributions  What was the psychological contract in the 60’s and 70’s?  What is the psychological contract now?  What factors affect the psychological contract?

28. McGraw-Hill/Irwin© 2007 The McGraw-Hill Companies, Inc. All rights reserved. 2-28 Video – Hotjobs.com 1. Discuss the impact the Internet has had on job seekers just like you. 2. Have you ever utilized a resource such as HotJobs.com to post your résumé? Explain why or why not. 3. Discuss how organizations that possess an effective human resource management department can be of benefit to you and your career path.