Human Resource Management

Prof. S. Pattnaik, XIMB

Nature of Human Resource Management

Human Resource Management

The design of formal systems in an organization to ensure effective and efficient use of human talent to accomplish organizational goals.

Who Is an HR Manager?
In the course of carrying out their duties, every operating manager is, in essence, an HR manager. HR specialists design processes and systems that operating managers help implement.

Prof. S. Pattnaik, XIMB

Other things being equal

Perf = f (M,E,A) MOTIVATION
Job design Compensation Coaching Feedback Rewards

ABILITY ENVIRONMENT
Management philosophy Culture Empowerment Recruitment Selection Learning Development

Prof. S. Pattnaik, XIMB

Trends Shaping HRM

Globalization and Competition Trends Technological Trends

Govt. Policies

Trends in the Nature of Work

Trends shaping HRM

Workforce and Demographic Trends

Economic Challenges and Trends

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HRM Processes
Acquisition Talent Management Learning & Development

Health and Safety Employee Relations

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HRM

Performance Management

Compensation
Prof. S. Pattnaik, XIMB

Operative functions of HR
ACQUISITION
Job analysis, HRP, Recruitment, Selection, Placement, Induction, Internal Mobility Competency profiling, Learning and development, Performance & potential management, Career management, 360 degree feedback Job design, Work scheduling, Job evaluation, Compensation administration, Incentives and benefits

DEVELOPMENT

COMPENSATION & MOTIVATION

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Prof. S. Pattnaik, XIMB

Operative functions of HR (contd.)

Health, Safety, Welfare, Social security Employment relations, Grievance, Discipline, Trade unions, Participation, Collective bargaining HR audit, HR scorecard, International HRM, Workforce Diversity, Employee engagement
Prof. S. Pattnaik, XIMB

MAINTENANCE

INTEGRATION

EMERGING ISSUES
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Who is an HR Manager?

ALL Managers Even Non-supervisory employees Small Organizations

training new employees one person may coordinate all HR activities HR Department with specialization training, performance management, talent management, compensation

Large Organizations

Prof. S. Pattnaik, XIMB

Line Managers HRM Responsibilities

Planning human resource needs Developing job/role descriptions Selecting job candidates Orienting new employees Training and developing subordinates Influencing compensation and incentives Appraising & managing performance Communicating Building employee commitment

Prof. S. Pattnaik, XIMB

Evolution of the HR Function

Commodity concept Factor of Production concept Paternalism Humanitarian concept Human resource concept Partnership concept

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Prof. S. Pattnaik, XIMB

Harvard model of HR
Stakeholder Interests HR strategy and policy choices Situational factors
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HR Outcomes
Commitment Congruence Cost effectiveness

Long-term Consequences for Individual, Organisation, Society

Average HR-to-Employee Ratio, by Organization Size

Fewer than 100 100 to 249 250 to 499 500 to 999 1,000 to 2,499 2,500 to 7,499 7,500 or more

2.70 1.26 1.07 0.82 0.79 0.53 0.42

Source: SHRM Human Capital Benchmarking Study

Prof. S. Pattnaik, XIMB

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Cost of HR vs Value added by HR

COST 10% 30% 60%
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HR ACTIVITY Strategic (Planning) Operational (Service delivery) Administrative (Record keeping and Compliance)

VALUE ADDED 60% 30% 10%

Prof. S. Pattnaik, XIMB