Professional Documents
Culture Documents
Definition:
According to Invancevich and Glueck et al, Human Resource Management (HRM) is concerned with the most effective use of people to achieve organizational & individual goals. HRM is a strategic approach to the acquisition, motivation, development and management of the organizations human resources (Sharma, A.M.)
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Prospect s of HRM
Nature of HRM
Employe e Hiring
Industrial Relations
HRM
Employee Maintenance
Employee Motivation
Objectives of HRM
Features of HRD: HRD as a system HRD as a planned process Involves the development competencies HRD is an inter-disciplinary concept
HR Mechanisms / Subsystems: Performance Appraisal & Potential Appraisal Career Planning & Succession Planning Training & development Organization Development Rewards, compensation & benefits Employee Welfare & QWL
It is defined as a set of programs, functions & activities designed to maximize both personal & organizational goals & objectives.
Personnel Management Personnel Aspect: Recruitment & Selection Training & Development Appraisal Compensation & Productivity Welfare Aspect: Working Conditions QWL Amenities & Facilities Benefits Entertainment Industrial Relations Aspect: Trade Union Management Dispute settlement Grievance handling Collective Bargaining
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q The use of multi-source (360 degree) performance appraisal & feedback q q Linkage of merit increases to formal appraisal process Above-market compensation for key positions
The two most important issues that are relevant for the organization of a HR department involves the following, namely: q Place of the HR department in the overall organizational setup. q Composition of the HR department itself.
Production Manager
Sales Manager
Accountant Manager
Director Production
Director Finance
Director Personnel/HR
Director Marketing
Director R&D
General Manager
Marketing Manager
Finance Manager
Production Manager
R&D Manager
HR Manager
Deputy Manager HR
Officer Marketing
Officer Production
Officer HR
Manager Personnel
Manager Admin.
Manager HRD
Manager IR
Appraisal
PR
Canteen
Medical
Welfare
Transport
Legal
HRP
Hiring
Grievance Handling
Compensation
2 The Conscience Role: To inform the management about the humanitarian approach-towards moral & ethical obligations to its employees.
3.Counselor Role: To discuss various problems of employees relating to career, supervisors, colleagues, health, family, financial, social etc & suggest means to minimize & overcome work stress. 4.Mediators Role: Resolving conflicts so as to effectively maintain industrial harmony.
5. Representative Role: To act as a representative of the organization so as to give an overall picture of the organizational operations to the employees particularly in case of industrial disputes or grievance redressal
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Ethics, equal opportunities and an open and honest exchange of thoughts and ideas
A strategic issue
HRM Model
Philosophical 1990s
Economic
HRM
Politico-Legal
Professionalism
Internal:
Strategic HRM
What is Strategic Management? Strategic management is the process of formulating, implementing & evaluating business strategies to achieve organizational objectives. Strategic management involves those sets of managerial decisions & actions which determine the long-term performance of a business organization. It includes environmental scanning, strategy formulation, strategy implementation, evaluation & control. Steps of Strategic Management: To analyze the opportunities & threats or constraints that exist in the external environment of business To formulate strategies that will match the organizations strengths & weaknesses with the environmental threats & opportunities. To implement the business strategies effectively. To evaluate & control activities so as to ensure that the organizations objectives are being achieved.
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Strategic HRM
Process of Strategic Management:
Strategy Formulation Corporate Strategy Formulation Business Unit Strategy Formulation Functional Strategy Formulation
Strategy Implementation
Internal
Strategic HRM
What is Strategic Human Resource Management? The role of SHRM is to effectively incorporate universally effective HR practices in their organizations. It also involves a process of matching specific HR practices to particular aspects of the organizations overall business strategy. Thus various theoretical perspectives suggest that SHRM is a process that involves: q q q Integrating HR into the Strategic Planning Process of the organization. Linking HR practices to business strategy & to one another. Developing a partnership with line management so that HR programs meet real-life business needs. q Internally transforming of HR structure & staff. q Enhancing HR administrative efficiency. q Measuring the bottom-line impact of HR activities.
Strategic HRM
Major Criteria of Interest for evaluation in HRM for strategic perspectives:
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Performance (Individual, team, unit) Quantity, quality, timeliness, cost-effectiveness, effect on others Productivity Customer (Internal/External) Satisfaction Absenteeism Turnover/Retention/Tenure/Intentions to stay/Leaves Employee theft Violence at the workplace Job Stress (Role Conflict, ambiguity) Job satisfaction/Motivation/Attitudes/Commitment Creativity & Innovation Perceived Fairness (Procedural, Interactional) Error rates Accidents, health-related variables (work stress, injuries) Organizational Citizenship behavior