Chapter 8 – Human Resource Management The importance of Human Resource Management to Business Success Human Resource Management The management of a wide range of responsibilities relating to the human (employees) function within a business, in order to increase both the employees’ and organisational efficiency SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management The importance of Human Resource Management to Business Success Creating effective relationships Policies and Procedures linked to organisational strategies, objectives, planning and decision making Responsible for managing a business’s most valuable assets (Employees) SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management The role of a Human Resource Manager Role includes: Develop a strategic, client centred, market-driven approach Translate business strategy into action Develop & Implement human resource strategies Assist in creating policies linked to corporate level strategic planning Involvement in long term decision making relating to employees SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management The role of a Human Resource Manager Role includes: Overall management of the employment cycle Creating innovative strategies to reward employee work Advocate employee negotiations Design and implement strategies to increase employee motivation satisfaction and productivity Act as a change agent for areas of the business Educate and support supervisors and team leaders about implementing policies and practices SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Environmental pressures on HR Management External Environment Legal Political Environmental Technology Demographic Social/cultural Competition Economic Industrial relations SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Environmental pressures on HR Management Internal Environment Corporate culture Organisational structure Employees SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Relationship b/w HR and Business Objectives The objectives of the HR department will fit within the overall business direction and corporate culture. To achieve this strategies need to be determined and activities undertaken. Such activities will relate to the acquisition, training, reward and motivation, maintenance, development and termination of employees. SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Possible Performance indicators of the Human Resource Department include: Employee Turnover Absenteeism rate Pay levels Revenue & Expenses per employee Male – Female employee ratios Health and safety statistics SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Things to consider when judging the effectiveness of HRM: Commitment Competence Cost Effectiveness Congruence Adaptability Performance Job Satisfaction Employee Motivation SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Things to consider when judging the effectiveness of HRM: Commitment – a high level of commitment will result in: greater loyalty, increased team work, Reduced labour turnover Increase employee self worth A feeling of belonging to the organisation SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Things to consider when judging the effectiveness of HRM: Competence To what extent does the policies achieve the organisation’s strategic objectives SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Things to consider when judging the effectiveness of HRM: Cost Effectiveness How have the personnel related costs been reduced Have the HR Department assisted to: Correctly size the organisation Reduce compensation expenses Reduce employee turnover rate Improve employee OHS Improve employee productivity SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Things to consider when judging the effectiveness of HRM: Congruence Has the HR department assisted to develop strong relationships between: Employees and management Different employee groups Employees and community groups SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Things to consider when judging the effectiveness of HRM: Adaptability Is the HR Dept adaptive to change. Does the HR Dept welcome and encourage innovation and change SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Things to consider when judging the effectiveness of HRM: Performance Is the HR Dept contributing to the increased performance and productivity of the employees Is the organisation more successful and profitable SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Things to consider when judging the effectiveness of HRM: Job Satisfaction Is the HR Dept contributing to the increased motivation, satisfaction and attitude level of the employees Is the HR Dept using it’s resources of pay, promotions, job conditions, supervision, communications, and job security to help increase the organisations success SCSC Year 12 Business Management . Weebly . com
Chapter 8 – Human Resource Management Measuring HRM Effectiveness Things to consider when judging the effectiveness of HRM: Employee Motivation Is the employee stimulated to achieve the designated goal? Highly motivated employees work hard, long hours and contribute that little bit more to achieve the Businesses goals and objectives SCSC Year 12 Business Management . Weebly . com