Lecture # 12 & 13 Chapter 11 – Human Resource Management

HRM Framework  HRM: management functions concerned with attracting, maintaining and developing people in employment relationship.  Unions: membership groups formed to represent employees and negotiate collective agreements with management, determining terms and conditions of employment.  HR planning: determining future human resource needs in relation to an organization’s business objectives or strategic plan.

HRM Framework  Identify HR needs  Attract human resources  Maintain resources  Terminate the relationship (if necessary)

Job Analysis Job analysis: is a systematic way of collecting and recording information about the purpose of a job, its major duties, conditions, required contacts and the knowledge, skills and abilities needed to effectively perform it.  Job description: what a job entails  Job specifications: skills, abilities, education, and previous work experience.

Job analysis can help improve the following:  Recruitment and selection: through JD and job specification.  Performance appraisal: performance baseline is developed which helps to gauge performance.  Remuneration: compare one’s job in relation to the market and other employees.  Training and development: helps in later development opportunities.

Methods of Job Analysis  Information can be collected by interviews  Observation  Structured questionnaires  Employee journals

Recruitment Recruitment is the process of finding and attracting job candidates capable of effectively filling job vacancies. 3 objectives within HRM function:  To increase the pool of job applicants at minimal cost.  To ensure the organization complies with legislative requirements.  To improve the overall selection process.

Methods of Recruitment  Internal promotions – low cost and improves morale  Advertisements  Employee referrals  Employment agencies – useful for low skilled or temporary fills, low cost  Executive recruitment – hunts out senior management replacements  Campus interviews  Contractors – temporary

Selection Selection process is the decision-making system used to identify which job applicants are best suited for the vacant post. Selection Devices:  Application forms  Written tests  Selection interviews

Remuneration Remuneration: is the financial payment to employees in return for their work.

Training & Development Training: process of equipping people with skills and competencies in a systematic manner. Development: to broadly prepare the employees for future opportunities.

Organizations have 3 choices in employee selsection: i.They can select employees who have the skills and competencies. ii.They can select employees who have the ability to acquire those skills. iii.They can have a mixture of the two.

Performance appraisal It is a process of appraising the job performance of employees. Clark (1992) identified 5 reasons for appraising: i.To mould employee behavior in accordance with company norms ii.To enhance consistency between employee actions and corporate goals. iii.To improve quality of HR planning iv.To improve quality of salary reviews v.To provide a record in cases of dismissal, demotion, or grievance.

Performance appraisal Methods  Observations  Demonstration  Pen and paper tests and essays  Oral tests  Projects  Computer-based assessments

360-degree feedback 360-degee feedback begins with the belief that it is essential to receive feedback not only from immediate supervisor but from peers and subordinates too.

 Internet: global connection of computer servers interconnected by telecommunication systems through which an individual can access stored information from their own pc or laptop and modem.  Intranet: closed networks of information databases and systems within an organization.  Extranet: closed networks of information systems between a group of organizations.

Terminating the Employment Relationship  Retrenchment: forced termination due to financial, technological or organizational circumstances, often reflecting an attempt by an employer to reduce labor costs in order to remain in business.  Redundancy: forced termination resulting from the permanent deletion of specific positions within an organization due to the positions no longer being required.

 Dismissal: the employer giving the required notice to terminate the employment relationship.