2Historical Turning Points in HR 1793 Samuel Slater1886 American Federation of Labor (AFL)1890 Sherman Antitrust Act1907 Immigration Act of 19071909 Frederick Winslow Taylor1911 Triangle Shirt Waist Company fire1913 Henry FordWorld War I1926 Railway Labor Act1930s Early HR ResearchHawthorne ExperimentsMaslow’s Need HierarchyMcGragor’s Theory X & YHerzberg’s Motivators and Satisfiers
3Historical HR (cont) 1932 Norris-LaGuardia Act Social Security ActNational Labor Relations ActFair Labor Standards ActWorld War II1946 Numerous labor strikes1947 Taft-Hartley Act1954 Brown vs. Board of Education1964 Civil Right Act of 19641965 Equal Employment Opportunity Commission (EEOC)1970 Occupational Safety and Health Act (OSHA)1977 Human Resources Planning Society (now SHRM)1979 Office of Personnel Management
4Historical HR (con’t) 1980s Stock option developed 1981 Professional Air Traffic Controllers (PATCO) strike1985 Sperry Rand & Burroughs merge to form UnisysFirst of mergers and acquisitionsCorporate downsizings1987 PeopleSoft Inc – first HR management software1980s (late) Global competition1991 Clarence Thomas-Anita Hill hearings (sexual harassment)1994 Monster Board – online recruiting1999 BP Amoco and Exult – $600M HR outsourcing arrangement2001 World Trade Center attack2001 Fraud at Enron2006 IBM permanently stop defined benefit pensions
5Current HR Roles Strategic Operational Administrative Global, long-term perspectiveFocuses on building the right culture and organizationOperationalDay-to-day perspectiveFocuses on running the organizationAdministrativeFocuses on compliance issues and record keeping
6THE DIAGNOSTIC MODEL F E E D B A C K World ASSESS ENVIRONMENT SET OBJECTIVESAPPLYHUMANRESOURCEACTIVITIESEVALUATERESULTSEXTERNALCONDITIONSWorldConditionsEconomicGovernmentRegulationsUnionsTechnologyORGANIZATIONALNature of theOrganizationWorkEMPLOYEEAbilities (KSA)MotivationInterestsEFFICIENCYOrganizationEmployeeEQUITYPLANNINGSTAFFINGDEVELOPMENTEMPLOYEE/UNIONRELATIONSCOMPENSATIONEFFICIENCYEQUITYTHE DIAGNOSTIC MODELGeorge MilkovichJohn Boudreau
7Environmental Scanning Interprets data related to external opportunities and threats.Prepares HR to participate in strategic planning.Looks at seven key factors.EconomicInternationalTechnologicalSocialEmploymentDemographicsPolitical
9International Factors European UnionWage comparisonsTrade agreementsGlobalization
10Technological and Social Factors Technological factorsAdvances in technologyTechnological skillsProcess changesSocial factorsWorker skillsCorporate responsibilityPopulation shifts
11Trends in Technology: Increased Training Access Streaming desktop videoDelivers training to the desktop.Provides access to E-learningProvides access to training at home or work,24 hours a day/7 days a week.Virtual-reality technologyPaper-based training modules are replaced with ability to “see” training tasks or environment.
12Trends in Technology: Access to Knowledge and Information Knowledge managementEnhances the ability to retain intellectual capital.Web portalsProvide an interface to resources needed on the job.InternetProvides information, enhances productivity, and improves communication.
13Trends in Technology: Changes in How Business Is Done Business-to-business integrationB-to-B e-commerce will become the dominant business model.E-procurementOnline ordering processes streamline transactions.Electronic signaturesCarry the same weight as a pen-and-ink signature.Application service providersHost and manage an organization's software applications on the Internet.
14Trends in Technology: Widening of the Digital Divide Refers to the gap between people who have computer access and those who do not.HR is instrumental in analyzing skill and technology levels in employees.
15Employment Factors Immigration Migration Occupational and industry shiftsRecruitmentUnionsUnemployment trendsTurnover trendsRelocation
17Political Factors New legislation Partisan climate Assess organization’s liability.Maintain compliance.Integrate with other laws.Train supervisors.Partisan climateAnalyze party priorities and platforms.
19International Factors European UnionWage comparisonsTrade agreementsGlobalization
20HR’s Role in Strategic Planning Serve the organization’s needs.Learn about the organization’s industry.Serve as a consultant.Gather facts and data.Build partnerships.
21Phase 1: Strategy Formulation Develop mission and vision statements.Define organizational values.Must understand:What business the company is in.When to change the mission and alter strategy.How and when to communicate the mission.
22Phase 2: Strategy Development Conduct a SWOT analysis.Establish long-term objectives (three to five years).Identify corporate, unit, and functional strategies.S = Internal strengthsW = Internal weaknessesO = External opportunitiesT = External threats
23Phase 3: Strategy Implementation Establish short-term objectives (six months to a year).Develop action plans.Allocate resources.Motivate employees.Resources needed toachieve objectives:FinancialPhysicalHumanTechnological
24Phase 4: Strategy Evaluation Review strategies at planned intervals.Measure performance.Take corrective action.Assess strategies by noting changes in:Internal strengths and weaknesses.External opportunities and threats.Take corrective action when changes have occurred.
25Phase 4: Strategy Evaluation Assess strategies by noting changes in:Internal strengths and weaknesses.External opportunities and threats.Take corrective action when changes have occurred.Strategy EvaluationReview strategies at planned intervals.Measure performance.Take corrective action.
26Functions of Management PlanningStudying the future, forecasting, setting goals, and planning actions.OrganizingDesigning a structure to meet goals and assigning resources.CoordinatingUniting all organizational activities and giving resources to accomplish goals.DirectingEngaging in leadership and motivational activities that ensure effective results.ControllingEnsuring that the plan is followed.
27Which of the following activities best prepares HR to participate in the strategic planning process? A. Evaluating a new HRIS systemB. Restructuring HR’s recruiting systemC. Training line managers on interviewing techniquesReviewing the company’s key financial dataAnswer: D
28Which of the following typically appeals to Generation X workers? A. A project that requires collaboration and rewards team performanceB. Time off to balance the needs of aging parents and childrenC. Supervisors who can create an effective team environment for themStructured work environments that reward individual creativityAnswer: A
29How can HR meet staffing needs in a small, privately held company affected by swiftly developing technologies?A. Recruit highly skilled workers who are flexible and adaptable.B. Promote entrepreneurial initiatives to help avoid unionization.C. Expand the global recruitment of technical workers.D. Train workers to be better prepared mentally and professionally for uncertainty.Answer: A