Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 1 Human resource planning and human resource information systems Chapter 5

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-2 Human resource planning (HRP)  Objectives ÙDiscuss how to align a company’s strategic direction with its human resource planning. ÙDetermine the labour demand of workers in various job categories. ÙDiscuss the advantages and disadvantages of various ways of eliminating a labour surplus and avoiding a labour shortage.

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-3 Human resource planning (HRP)  The process through which organisational goals are translated into human resource goals, concerning with staffing levels and allocation.  Human resource planning involves forecasting human resource needs for an organisation, and planning the necessary steps to meet these needs.

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-4 Figure 5.1 Overview of the HRP process

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-5 Forecasting  The attempt to determine the supply of and demand for various types of human resources, in order to predict future labour shortages or surpluses in areas within the organisation. ÙDetermining labour demand ÙDetermining labour supply Ütransitional matrices

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-6

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-7 Goal setting and strategic planning  Reducing an expected labour surplus, e.g. ÙDownsizing ÙEarly retirement programs or  Avoiding an expected labour shortage, e.g. ÙEmploying temporary workers ÙOutsourcing ÙOvertime and expanding worker hours

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-8 Downsizing  The planned elimination of large numbers of personnel designed to enhance organisational effectiveness. ÙWorkforce reduction ÙOrganisational redesign ÙSystemic change

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-9 Major reasons for downsizing  Cost reduction  Introduction of new technology  Mergers and acquisitions leading to reduced need for bureaucracy  Globalisation and changing location of business

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-10 Major reasons for the failure of downsizing  Initial cost savings but long-term negative effects  Loss of people who are ‘irreplaceable assets’  ‘Survivor syndrome’: loss of motivation, self-absorption, risk-aversion  ‘Survivors’ seek new employment  Reputational damage

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-11 Program implementation and evaluation  Accountability  Authority and resources available to accomplish the stated goals  Regular progress reports on implementation  Evaluation of results

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-12 Formal HRP is more likely in organisations that:  Are larger  Have greater overall business planning sophistication  Have top management support for human resource planning  Have more involvement of human resource managers in the business planning process  Have greater integration across human resource activities.

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-13 A strategic approach to HRP includes:  Top management and HR managers desire proactive involvement of HRM in the achievement of organisational goals  Integration of employee needs and wishes for career development with organisational goals  Coordination across HRM activities in light of organisational strategies and goals  Adherence to principles of equal opportunity  Focus on planning at the organisational level, not only at industry or regional level.

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-14 Summary: HRP  When managed well, human resource planning can enhance the success of the organisation, while minimising difficulties resulting from poorly anticipated labour surpluses or shortages.

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-15 Human resource information systems (HRIS)  Objectives ÙDiscuss the types of technology that can improve the efficiency and effectiveness of HR. ÙDiscuss human resource information systems and their various applications to HR activities.

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-16 Human resource information systems (HRIS)  A system used to acquire, store, manipulate, analyse, retrieve and distribute information related to a company’s human resources.  May lead to ‘e-HRM’ or ‘virtual HRM’?

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-17 Factors leading to use of more sophisticated HRIS  Development of increasingly complex and comprehensive IT systems  Economic pressures in 1980s and 1990s  Increasing demands by government for organisations to collect employee data

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-18 HRIS are used for three broad functions:  Transaction processing, reporting and tracking  Decision support systems  Expert systems

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-19 Technology: advantages or disadvantages?  Employees gain complete control over their training and benefits enrolments (self-service)  A paperless employment office can be created  Streamlining the HR department’s work  Technology can provide knowledge-based decision support  Employees and managers select the type of media they want to use to send and receive information  Work can be completed at any time, any place, day or night  Closer monitoring of employees’ work

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-20 HR technologies  Interactive voice technology  Internet  Networks and client-server architecture  Relational databases  Imaging  CD-ROM and laser disc  Expert systems  Groupware  Intranets

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-21 HRIS: examples of applications for HRM  HR planning ÙSuccession planning ÙWorkforce profile analysis ÙWorkforce dynamics analysis  Staffing ÙApplicant recruiting and tracking ÙEmployee database development

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-22 HRIS: examples of applications for HRM (continued)  Performance management  Learning and career development  Compensation and benefits ÙPayroll ÙJob evaluation ÙSalary surveys ÙSalary planning ÙInternational compensation ÙBenefits management

Copyright  2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar 5-23 Summary: HRIS  Increasingly, organisations will depend on more sophisticated HRIS in order to support human resource activities.  Key drivers will be: ÙIncreasing globalisation of business ÙDevelopment of more flexible, non-traditional organisation structures ÙDevelopment of information technology.