1. Introduction to Human Resource Management
3rd Semester
BBS/MPA (Morning) Program
Session
Date: Wednesday, August 17, 2016
Chapter 1
Introduction to Human Resource Management
Reference Books:
Human Resource Management ( Gary Dessler)
Human Resource Management (Mondy)
Human Resources and Personnel Management ( Keith Davis)
Internet
Resource Person: Furqan-ul-haq Siddiqui

2. What is Management?
A set of activities (Planning, organizing, leading, and controlling) directed at an organization’s resources (human, financial, physical, and information) with the aim of achieving organizational goals in an efficient and effective manner. 5

3. The Management Planning Controlling ORGANIZATIONAL GOALS Organizing
HUMAN
RESOURCES
ORGANIZATIONAL
GOALS
Planning
Leading
Controlling
Organizing
INFORMATION RESOURCES
PHYSICAL RESOURCES
FINANCIAL RESOURCES

4. Management in Organizations
Inputs from the environment •
Human resources
Financial resources
Physical resources
Information resources
Planning
and decision
making
Leading
Organizing
Controlling
Goals attained
Efficiently
Effectively

5. Organizational Performance
Efficiency: A measure of how well resources are used to achieve a goal
“Doing Things Right”
Effectiveness: A measure of the appropriateness of the goals chosen (are these the right goals?), and the degree to which they are achieved
“Doing the Right Things Right”
Managers are key components to organizational performance. It is a managers responsibility to choose the correct output goals and then try to minimize the input of resources to attain the same output goal.
Efficiency and Effectiveness are key terms to understand when talking about organizational performance.
Efficiency – doing things right! (produce 1000 z widgets (when the customer wanted x) at a low cost)
Effectiveness –doing the right things right. (produce X widgets at a low cost)
Refer to figure 1-1 pg. 6
Organizations are more effective when managers choose the correct goals and then achieve them.

6. Efficiency versus Effectiveness
Efficiency: Operating in such a way that resources are not wasted
Effectiveness: Doing the right things in the right way at the right times
Successful Management

7. HRM
Human
Resource
Management

8. Human Resource Management
Managerial function that tries to match an organization’s needs to the skills and abilities of its employees.
“Assets make things possible, people make things happen”.

9. Human Resource Management
Human Resource Management (HRM) is the approach of Management of an organization's most valued assets - the people working there who individually and collectively contribute to the achievement of the objectives of the business. In simple sense, HRM means employing people, developing their resources, utilizing, maintaining and compensating their services in tune with the job and organizational requirements to achieve its goals effectively & efficiently.

11. Functions of HRM
Determining the nature, functions of each employee’s job
Planning HR needs and recruiting job candidates
Selecting job candidates
Orienting and training new employees
Managing wages and salaries (compensating employees)
Providing incentives and benefits
Appraising performance
Communicating (interviewing, counseling, disciplining)
Training and developing managers
Building employee commitment

12. Some Common Consequences Caused by Poor HRM Practices
Why Is HRM Important to All Managers?
Some Common Consequences Caused by Poor HRM Practices
Hire the wrong person for the job
Experience high turnover/dissatisfaction
Have your people not doing their best
Employees will not know that what to do & how to do
Have your company in court because of discriminatory/unlawful actions
Have some employees think their salaries are unfair and inequitable internally & externally
Allow a lack of training to undermine your department’s effectiveness
Commit any unfair labor practices

13. Successful HRM
Good for…
Organization
Employee
Society

14. Competitive Advantage
HR as
Competitive advantage means “any factors that allow an organization to differentiate its product or service from those of its competitors to increase market share”
There is greater recognition that distinctive competencies are obtained through highly developed employee skills, distinctive organizational cultures, management processes, and systems.

16. Effective
HRM
Effective
Organization

17. Functions of HRM Functions of HRM 1.Staffing 2.Human Resource
Development
5.Employee
& Labor
Relations
Functions
of HRM
3.Compensation
& Benefits
4.Safety &
Health

18. 1. Staffing
Process through which an organization ensures that it always has the proper number of employees with the appropriate skills in the right jobs at the right time to achieve the organization’s objectives.
It includes
Personnel planning
Job Analysis
Recruitment
Selection

19. 2.Human Resource Development
Major Personnel function that consist not only of T&D but also individual career planning, developing activities and performance appraisal.
HRD is composed of
Training
Development
Career planning
Career Development
Performance Appraisal

20. 3.Compensation & Benefits
Consist of all direct, indirect, financial & non financial rewards given to employees in return of their services.
Pay - Money that a person receives for performing a job
Benefits – Additional Financial rewards in addition to base pay including paid vocations, sick leave, insurance etc.
Non financial Rewards
The Job
The Environment

21. 5. Employee & Labor Relation
4. Safety & Health
Safety involves protecting employees from injuries caused by work related accidents. Health refers to employee’s freedom from physical or emotional illness.
5. Employee & Labor Relation
Deals with employee employer relationship & dealing with labor unions

22. Managing Human Resources
Purpose of HRM is;
To attract
To Develop
To Motivate and
To Keep talented people
To achieve goals
Challenges?