1. MANAGING PEOPLE AND CHANGE
UNIT 4
MANAGING PEOPLE AND CHANGE
AREA OF STUDY 1
THE HUMAN RESOURCE MANAGEMENT FUNCTION
CHAPTER 5
HUMAN RESOURCE MANAGEMENT

2. Business Management Chapter 5 Work Requirements
Reading Pages from 125 to 147
Clickview Online: HRM (worksheet)
Case Study Activities on Page 128
Case Study Activities on Page 132
Activities on page 132
Case Study on page 135
Activities on page 137
Case Studies on page 142
Activities on page 142
Case Study on page 145
Activity on page 146
Chapter Review Questions
Past Exam Questions
Business Management Chapter 5 Work Requirements
Expected Completion date: 16th of July

3. The importance of human resource management to business success
Chapter 5
5.1
The importance of human resource management to business success
Human resource management (HRM) is the ongoing management of people within the employer–employee relationship. It involves getting the right people in the right place at the right time.

4. The importance of human resource management to business success (cont
The HRM function must manage the organisation’s most costly and valuable asset: its employees.

5. The importance of human resource management to business success (cont
HRM has progressed from an administrative role to its current strategic role with representation at senior management levels.

6. The role of a human resource manager
Chapter 5
5.2
The role of a human resource manager
The role of an HR manager is to translate business strategy into action. Initially, HRM objectives must be established. Pressures from the organisation’s external and internal environments influence these objectives.

7. The role of a human resource manager (cont.)
Strategies are then developed from related HRM activities created. Performance indicators (PIs) are used to measure the outcomes to assess how effectively the objectives have been achieved.

8. The role of a human resource manager (cont.)
In addition, HR
managers are involved in:
strategic planning, relating to forecasting
demand and supply of labour and succession planning

9. The role of a human resource manager (cont.)
management of the employment cycle, which covers the three phases of establishment, maintenance and termination
innovative strategies relating to appraisal,
skill development, remuneration and
flexible work practices

10. The role of a human resource manager (cont.)
acting as an advocate for employees when negotiating with management
designing and implementing strategies to increase employee motivation, job
satisfaction, productivity, employee relations and customer service

11. The role of a human resource manager (cont.)
acting as a change agent and providing
support and education for supervisors, team leaders and line managers responsible for implementing HR policies and practices.

12. The role of a human resource manager (cont.)
HR managers are referred to as staff managers, providing specialist advice or assistance to line or functional managers.

13. Measuring HRM effectiveness
Effectiveness of HRM outcomes can be
evaluated against the following:
commitment and competence of employees
level of cost effectiveness

14. Measuring HRM effectiveness (cont.)
congruence (harmony)
adaptability to change
performance related to productivity
level of job satisfaction and employee motivation

15. Employee expectations
Chapter 5
5.3
Employee expectations
Employees have expectations from their
work, such as:
being paid a fair wage
keeping regular work hours
gaining job satisfaction through an interesting, challenging and secure job
receiving assistance when needed and positive feedback

16. Employee expectations (cont.)
leave being available for personal or family reasons
flexible working arrangements, working within a professional and safe environment
an opportunity for skill development and promotion.

17. Employer expectations
Employers have expectations from employees,
such as:
working towards achieving organisational objectives
acting professionally and gaining job satisfaction

18. Employer expectations (cont.)
work being completed and on time; providing good customer service; punctuality;
not sabotaging business activities; being committed, courteous and respectful; and working cooperatively and productively.

19. Chapter 5
5.4
Motivation
Motivation for individuals is the drive to achieve a personal goal.

20. Motivation (cont.)
For an organisation, an individual’s motivation needs to be harnessed to assist them to achieve personal goals, while working towards organisational goals.

21. Motivation (cont.)
It is the function of human resource managers to support and advise line managers on ways to motivate their staff.

22. Theories of motivation
A variety of management theories discuss approaches to motivation. Abraham Maslow’s five-stage hierarchy of needs – physiological, safety, social, self-esteem and self actualisation is based on importance of the needs.

23. Theories of motivation (cont.)
It should be recognised that an individual would progress through the stages. Each stage must be substantially satisfied before moving to the next stage, which would act as a motivator. HR managers need to understand the relationship between the levels of needs and what HR activities relate to each level.

24. Theories of motivation (cont.)
Frederick Herzberg’s two-factor theory identifies higher order (motivating) and lower order (hygiene) needs.

25. Theories of motivation (cont.)
Motivators relate to job content (e.g. recognition and responsibility) and are seen as intrinsic in nature. Hygiene factors relate to the work environment (e.g. working conditions and salary) and the absence of these can lead to job dissatisfaction.

26. Theories of motivation (cont.)
Edwin Locke’s goal-setting theory states that the setting of goals leads to increased effort, tasks focus and persistence.

27. Theories of motivation (cont.)
Goals set must be specific, measurable, achievable, relevant and time-bound. Employees must receive feedback. This theory links to the organisational approach to goal setting by using the Management by Objectives approach.

28. Human resource management
It is the role of human resource management to put motivational theories into practice.

29. Motivational theories for job satisfaction and performance
Commonly used motivators are established by:
establishing a comprehensive reward system
designing jobs to allow for enlargement
and enrichment

30. Motivational theories for job satisfaction and performance (cont.)
creation of teams
quality circles and worker empowerment
flexible work practices and a positive organisational environment and corporate culture.

31. Why do organisations need to be ethical and socially responsible?
Chapter 5
5.5
Why do organisations need to be ethical and socially responsible?
All stakeholders and the community expect large-scale organisations to be socially responsible and ethical in their business practices.

32. Why do organisations need to be ethical and socially responsible? (cont.)
Organisations differ in their interpretation of what it means to behave ethically and in a socially responsible manner.

33. Why do organisations need to be ethical and socially responsible? (cont.)
Adopting an ethical and socially responsible approach has become one of the most significant changes required by organisations.

34. Ethical and socially responsible management of the internal environment
The internal environment is influenced by ethics and social responsibility and its impacts on objectives, structure, policy, culture, management style and skills.

35. Corporate social responsibility
Corporate social responsibility (CSR) impacts on the operations management system through quality, technology, materials management, environmental management system (EMS) and supply chain management.

36. Ethical management of the human resource management function
CSR impacts on Human
resource management
(HRM) through:
recruitment methods
selection
induction

37. Ethical management of the human resource management function (cont.)
policies
motivation
employment arrangements
training and development
performance management and exit strategies.

38. Ethical management in times of change
When large-scale organisations are going through change, it is important that the process incorporates ethical behaviours and is influenced by CSR.