2 WHAT IS HUMAN RESOURCE MANAGEMENT? The focus of human resource management (HRM) is on managing people within the employer-employee relationship. Specifically, it involves the productive use of people in achieving the organization’s strategic business objectives and the satisfaction of individual employee needs.
3 WHAT IS HUMAN RESOURCE MANAGEMENT? HRM can be a major contributor to the success of an enterprise because it is a key position ‘to affect customer, business results and ultimately shareholders values. Likewise, ineffective HRM can be a major barrier to employee satisfaction and organization success. HRM is thus either a part of the problem or part of the solution in gaining the productive contribution of people.
4 WHAT IS HUMAN RESOURCE MANAGEMENT? The HR Manager, as with any other functional manager in marketing, production or finance, is responsible for performance. His or her position exists basically to achieve the strategic business objectives of the organization. If it does not, the position will become redundant.
5 People go into HR because they like people. Old mythsNew RealitiesPeople go into HR because they like people.HR departments are not designed to provide corporate therapy or asocial or health-and –happiness retreats. HR professionals must create the practices make employers more competitive, not more comfortable.Anyone can do HR.HR activates are based on theory and research.HR professionals must master both theory and practice.HR deals with the soft side of a business and therefore is not accountable.The impact of HR practices on business results can and must be measured. HR Professionals must learn how to translate their work into financial performance.HR focuses on costs, which must be controlled.HR practices must create value by increasing the intellectual capital within the firm. HR professionals must add value, not reduce costs.
6 HR is staffed by nice people. HR’s job is to be the policy police and the health and-happiness patrol.The HR function does not own compliance-mangers do. HR practice do not exist to make employees happy but to help them become committed. HR professionals must help mangers commit employees and administer policies.HR is full of fads.HR practices have evolved over time. HR professionals must see their current work as part of an evolutionary chain and explain their work with less jargon and more authority.HR is staffed by nice people.At times, HR practices should force vigorous debates. HR professionals should be confrontative and challenging as well as supportive.HR is HR’s job.HR work is as important to lines managers as are finance, strategy, and other business domains. HR professionals should join with managers in championing HR issues.
7 The new role of HR mangers As HRM becomes more business oriented and strategically focused, four key roles for HR managers can be identified.Strategic PartnerAdministrative ExpertEmployee ChampionChange Agent
8 Strategic Human Resource Planning The process of formulating HR strategies and establishing programs or tactics to implement them.
10 Encouragement of Proactive Rather than Reactive Behavior Explicit Communication of Company GoalsStimulation of Critical Thinking and Ongoing Examination of AssumptionIdentification of Gaps Between Current Situation and future VisionEncouragement of line Managers’ ParticipationIdentification of HR Constraints and Opportunities
12 Maintaining a Competitive Advantage Reinforcing Overall Business StrategyAvoiding Excessive Concentration onDay-to-Day ProblemsDeveloping HR strategies Suited to Unique Organizational FeaturesGetting Easier with the EnvironmentSecuring Management CommitmentTranslating the Strategic Plan into ActionAccommodating Change
13 Challenges to Human Resource Manager EnvironmentalOrganizationalIndividual
14 What risks does this type of “Shock Absorber” approach to EnvironmentalHow muchresponsibility does an organization have to shields its employees from the effect of rapid change in the environment?What risks does this type of “Shock Absorber” approach toManagemententail?Rapid ChangeWork Force DiversityGlobalizationLegislationEvolving Work and Family RolesSkill Shortages and the rise of the Service Sector
16 Individual Matching People and Organization Ethical Dilemmas & Social ResponsibilityProductivityEmpowermentJob Insecurity
17 HR Choices The Options Available to a Firm in Designing its Human Resources System
18 Performance Appraisal Training and Development Compensations Work FlowsStaffingEmployee SeparationsPerformance AppraisalTraining and DevelopmentCompensationsEmployee RelationsEmployee RightsInternal ManagementDoes an Employer have an Ethical Duty to Help Employees Prepare for the Change that is Certain to come?
19 Building Managerial Skills Selecting HR Strategiesto increase firm’s Performance
20 Ethical Issue?The dark side of strategic planning is that workers are sometimes thought of as numbers on a page or dollars in a budget rather than as flesh-and-blood human beings. When divisions are spun off or merged, individual employees are dramatically affected.What responsibility does the employer have toward its employees in situation like these?
23 HRM policies are general statements, which serve to guide decision making. As such, they direct the actions of the HRM function towards achieving its strategic objectives. HRM policies are generally put in writing and communicated to all employees. They typically serve three major purposes:To reassure employees that they will be treated fairly and objectivelyTo help managers make quick and consistent decisionsTo give managers the confidence to resolve problems and to defend their decisions.
24 Subjects covered by HRM policies include transfers, promotions, terminations and pay increases. The statement for example, “It is the policy of this organization whenever feasible to promote from within”, gives a clear guideline to managers and employees about how promotional opportunities will be handled.
25 An Issue!Retention of Top Talent is a critical element in the strategy of today’s leaner Organizations. How Career Development activities can contribute to Retention?
26 An Issue!Many believe that top managers care little about Human Resources. Compared to such areas as Finance, Production, Marketing and Engineering. What might account for this perception and what would you do to change it?Ahsan Ali
27 An Issue!Many countries have Government regulations that make it very difficult to lay-off employees unless the lay-off can be justified business reasons. Do you think that Pakistan should develop a similar policy? Why or why not?