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Human Resource Management

BY Hardik Shah
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Learning Objectives

What is Human Resource Management? Why Study HRM? Objectives of HRM HRM Activities Framework for HRM Human Resource Competency Model Global HR Evolution of HR

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People resource

What is resource What is human resource What is human resource management

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What Makes Organizations Effective

Organization Design Elements

People Structure Rewards Processes

Organizational Culture and effectiveness Fit & Performance

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Diamond Model of Organizational Effectiveness


Strategy

Design Elements Environment


People Structure Rewards Processes

Capabilities

Competencies
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WHAT IS YOUR OPINION WHEN YOU HEAR THE WORD HR?


HRM by line mangers, Managing HR Vs. HRM
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Old myths and new realities Anyone can do HR

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Old myths and new realities

HR deals with the soft side of a business and is therefore, not accountable.

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Old myths and new realities

HR focuses on costs which must be controlled.

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Old myths and new realities

HRs job is to be the policy police and health-andhappiness patrol

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Old myths and new realities

HR is full of fads

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Old myths and new realities

HR is staffed by nice people

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Old myths and new realities

HR is HRs Job

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WHY ARE PEOPLE IMPORTANT


Product design is outcome of sustained personal innovation Manufacturing is the result of team work applied to technology Marketing is the sum of people devised services added to products Restructuring is deployment of people and their knowledge TQM is the application of human intelligence to improve processes

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Why Study HRM?

People (human resources) are the essential resource of all organizations


These human resources create organizational innovations and accomplishments

Organizational success depends upon careful attention to human resources

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What is HRM?

Human Resource Management (HRM) is a general term used to describe a variety of functions aimed at effectively managing an organization's employees or "human resources"
HRM professionals oversee the "people" side of an organization including compensation and benefits, career development, training, hiring, and many other functions

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What is HRM?

The goal of HRM is to assist organizations to meet their strategic goals by attracting and retaining qualified employees, and managing them effectively while ensuring that the organization complies with all appropriate labor laws

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Introduction
People dimension in the organisation Flippo: the planning, organising, directing and controlling of the procurement, development , copnesation, integration maitainance and reproduction of Hr to the end that individual, organisation and societal objectives are accomplished. NIPM: that part of Mgt. Concerned with people at work and with their relationships within the org. It seeks to bring mena nd women who make upan enterprize enabling each to make his own best contribution to its success both as an individual and as a member of a working group. 3/15/2013

Four principles

HR the most imp assets HR as SHR- strategic linkage for success Influence of culture and values HR integration

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Features of HRM

People oriented- behavior, emotion, social Comprehensive function Individual oriented Continuous function: line functions A staff function: as specialist Pervasive function Challenging function Development oriented

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HRM Activities

Attract and orient new employees Compliance & procedures

Human Resource Management

Effective compensation systems

Effective relationships
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Effective work environment

Process HRM

Acquisition of HR Development of HR Motivation of HR Maintenance of HR

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Overall Framework for Human Resource Management

COMPETITIVE CHALLENGES
Globalization Technology Managing change Human capital Responsiveness Cost containment

HUMAN RESOURCES
Planning Recruitment Staffing Job design Training/development Appraisal Communications Compensation Benefits Labor relations

EMPLOYEE CONCERNS
Background diversity Age distribution Gender issues Educational levels Employee rights Privacy issues Work attitudes Family concerns

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HRM Model ( by ASTD)

T&D OD Organization/Job design HRP Selection And staffing Compensation/Benefits Union/IR/LR

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Human Resource Competency Model

Business Mastery
Business acumen Customer orientation External Relations

Personal Credibility Trust


Personal relationships Lived values Courage

HR Mastery
Staffing Performance appraisal Rewards system Communication Organization design

Change Mastery
Interpersonal skills and influence Problem-solving skills Rewards system Innovation and creativity

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Environment influences on HRM

Technological innovation Economic factors Employee organist ions Labor markets Changing demand of employee/r s Legal factors Hr in the country

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Objectives of HRM

Organizational Objectives

Human Resource Management Societal Objectives


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Employee Objectives

Objectives of HRM

---------From the basic obj. of the companyvision or mission statement. To improve service to society through better morale and performance. Change for individuals, organizations and society. To prove that org. is rendering best service for which it is there. To create and utilize an able and motivated workforce. To recognize and satisfy individual and group needs by providing adequate working environment and creating culture of excellence.

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Objectives of HRM(contd.) To utilize HR for goals of organization To strengthen HR by proper T&D. To maintain high morale and commitment to HRelations. To enhance job satisfaction and self actualization

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To provide facilities and conditions of work and creation of favorable environment for stability of employment. To maintain the QWL suitable for personal and social situation. Recognize and Satisfy individual and group needs.

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Changing role of HR

From a protector and screener to the Planner and Change agent Add to competitive advantage Accountability and strategic Partner In future???????

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CURRENT AND FUTURE ISSUES


COMPOSITION OF WORKFORCE GROWTH OF SERVICE INDUSTRY NATURE OF PSYCHOLOGICAL CONTRACT JOB DESIGN STRATEGIC HRM EMPOWERMENT

HUMAN RESOURCE INFORMATION SYSTEMS DOWNSIZING

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Is HR profession

Client interest and official interest Systematic body of knowledge which is common Observing certain rules or behavior

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Importance of HRM

Corporate level Professional level Social level National level

Systems Approach to HR - Interrelated but separated identity working together for common goal/ objective.
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Competencies of an HR manager

Strategic capability Business and cultural awareness Organizational effectiveness Internal consultancy Service delivery Quality Continuous professional development

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Human Resource Management in Small Businesses


Small businesses seldom have a formal human resource unit and HRM specialists. The top management and the line managers handle human resource functions. Some aspects of human resource functions may actually be more significant in smaller firms than in larger ones. For example, a staffing mistake might be harmful and may cause the business to fail.
Manager / Owner

Sales
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Operations

Finance

Human Resource Management in MediumSized Firms


As a firm grows a separate staff function may be required to coordinate human resource activities. In a medium-sized firm the person chosen to fill this role is expected to handle most of the human resource activities.

President

Sales Manager

Operations Manager

Finance Manager

Human Resource Manager

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Human Resource Management in Large Firms


When the firmss human resource function becomes too complex for one person, separate sections are often created and placed under a human resource executive.
President Vice President Human Resource

Vice President Marketing / Sales


Manager HR Planning
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Vice President Operations

Vice President Finance

Manager Recruitment

Manager HRD

Manager Compensation / Benefits

Outsourcing
Outsourcing is the process of transfering the responsibility for an area of services and its objectives to an external provider. By outsourcing certain projects, companies can save time and resources and redirect their energy to more strategic issues.
Manager Human Resource

Executive Recruiting Outsourced


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HR Recruitment

HR Development

Executive Development Outsourced

What is expected from HR professionals?

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SEVEN HABITS OF HIGHLY EFFECTIVE PEOPLE


EFFECTIVE PEOPLE INEFFECTIVE PEOPLE
Be Reactive.
HABIT 1

Be Proactive.

Proactive people take responsibility for their own lives. They determine the agendas they will follow and choose their response to what happens around them.

Reactive people dont take responsibility for their own lives. They feel victimized, a product of circumstances, their past, and other people. They do not see as the creative force of their lives.

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SEVEN HABITS OF HIGHLY EFFECTIVE PEOPLE


EFFECTIVE PEOPLE
Begin with the End in Mind.
These people use personal vision, correct principles, and their deep sense of personal meaning to accomplish tasks in a positive and effective way. They live life based on selfchosen values and are guided by their personal mission statement.
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INEFFECTIVE PEOPLE
Begin with No End in Mind.

HABIT 2

These people lack personal vision and have not developed a deep sense of personal meaning and purpose. They have not paid the price to develop a mission statement and thus live life based on societys values instead of selfchosen values.

SEVEN HABITS OF HIGHLY EFFECTIVE PEOPLE


EFFECTIVE PEOPLE
Put First Things First.

INEFFECTIVE PEOPLE
Put Second Things First.

HABIT 3

These people exercise discipline, and they plan and execute according to priorities. They also walk their talk and spend significant time in Quadrant II.

These people are crisis managers who are unable to stay focused on highleverage tasks because of their preoccupation with circumstances, their past, or other people. They are caught up in the thick of thin things and are driven by the urgent.

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SEVEN HABITS OF HIGHLY EFFECTIVE PEOPLE


EFFECTIVE PEOPLE
Think Win-Win.

INEFFECTIVE PEOPLE
Think Win-Lose or Lose-Win.
These people have a scarcity mentality and see life as a zero-sum game. They have ineffective communication skills and low trust levels in their Emotional Bank Accounts with others, resulting in a defensive mentality and adversarial feelings.

HABIT 4

These people have an abundance mentality and the spirit of cooperation. They achieve effective communication and high trust levels in their Emotional Bank Accounts with others, resulting in rewarding relationships and greater power to influence.
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SEVEN HABITS OF HIGHLY EFFECTIVE PEOPLE


EFFECTIVE PEOPLE
Seek First to Understand, Then to Be Understood.

INEFFECTIVE PEOPLE
Seek First to Be Understood.

HABIT 5

Through perceptive observation and empathic listening, these nonjudgmental people are intent on learning the needs, interests, and concerns of others. They are then able to courageously state their own needs and wants. 3/15/2013

These people put forth their point of view based solely on their auto-biography and motives, without attempting to understand others first. They blindly prescribe without first diagnosing the problem.

SEVEN HABITS OF HIGHLY EFFECTIVE PEOPLE


EFFECTIVE PEOPLE
Synergize.

INEFFECTIVE PEOPLE
Compromise, Fight, or Flight.

HABIT 6

Effective people know that the whole is greater than the sum of the parts. They value and benefit from differences in others, which results in creative cooperation and team-work.

Ineffective people believe the whole is less than the sum of the parts. They try to clone other people in their own image. Differences in others are looked upon as threats.

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SEVEN HABITS OF HIGHLY EFFECTIVE PEOPLE


EFFECTIVE PEOPLE
Sharpen the Saw.

INEFFECTIVE PEOPLE
Wear Out the Saw.

HABIT 7

Effective people are involved in self-renewal and self-improvement in the physical, mental, spiritual, and socialemotional areas, which enhance all areas off their life and nurture the other six habits.
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Ineffective people fall back, lose their interest, and get disordered. They lack a program of self-renewal and self-improvement and eventually lose the cutting edge they once had.

Competencies of an HR manager

Strategic capability Business and cultural awareness Organizational effectiveness Internal consultancy Service delivery Quality Continuous professional development

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The next season, when you see the geese migrating, going to a warmer place, to sort the winter... Pay attention that they fly in a V formation Maybe you will be interested in knowing Why they do it this way...

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By flying in a V formation....

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The whole flock increases the flight efficiency by 71% Compared to just one bird flying alone

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Lesson 1: Sharing the same direction and working as a team, get us to the destination quicker and easier. By helping ourselves, the accomplishments are greater!.

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When a goose leaves the formation..


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He feels the resistance of the air and the difficulties of flying alone....

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Then, he quickly comes back to the formation to take advantage of the the flocks power in front of him ..

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Lesson 2:
By staying in tune and united beside those who are going in the same direction, the effort will be less. It will be easier and pleasing to reach the goals, Everyone will be inclined to accept and give help.
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When the leader goose gets tired of flying...

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... He goes to the end of the V formation. While another goose takes the lead.

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Lesson 3:

To share the leadership,


There must be mutual respect between us all the time... Sharing the hardest problems and tasks..

Gathering our abilities and combining our faculties, talents and resources.
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The geese flying on a V formation, they quack to encourage to the ones in the front.

In that way, they keep the same speed.

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Lesson 4: When there is courage and encouragement, the progress is greater.. A timely word of encouragement, always motivates, helps and strengthens.. It produces the best of benefits...

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When a goose gets sick, is injured or gets tired ,

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And he must leave the formation...

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Other geese leave the formation too, and they fly with him to help him out and protect him. They remain with him until he dies or he is able to fly again. They reach their bevy or they just make another V formation.

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Lesson 5: Lets stay beside each other no matter what the differences. Specially in times of difficulty and great challenges..

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If we bond together and support each other.. If we make true the spirit of teamwork.. Regardless of our differences, we can rise to meet our challenge. If we understand the real value of team .. If we are aware of the feeling of sharing..

LIFE WILL BE EASIER AND THE PASSING OF YEARS MORE FULFILLING ..


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MY FRIENDS AND PARTNERS... LETS BE LIKE THE GEESE!!!

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THE ANT PHILOSOPHY

st 1

PART PHILOSOPHY

ANTS NEVER QUIT If theyre headed somewhere and you try to stop them, theyll look for another way. Theyll climb over, theyll climb under, theyll climb around. They keep looking for another way.

LESSON: To never quit looking for a way to get where youre supposed to go.
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nd 2

PART PHILOSOPHY

ANTS THINK WINTER ALL SUMMER You cant be so nave as to think summer will last forever. So ants are gathering in their winter food in the middle of summer. Youve got to think rocks as you enjoy the sand and sun.
LESSON: It is important to be realistic. Think ahead.
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3rd PART PHILOSOPHY


ANTS THINK SUMMER ALL WINTER During the winter, ants remind themselves, This wont last long; well soon be out of here. At the first warm day, the ants are out. If it turns cold again, theyll dive back down, but then they come out the first warm day.

LESSON: Stay positive at all times.


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4th PART PHILOSOPHY


ALL-THAT-YOU-POSSIBLY-CAN How much will an ant gather during the summer to prepare for the winter? All that he possibly can. LESSON: Do all you can.and more!

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IN A NUT SHELL...
FOUR-PART PHILOSOPHY 1) Never Give Up 2) Look Ahead 3) Stay Positive 4) Do All You Can
Dont be encumbered by history, just go out & do something wonderful Robert Noyce
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Policy

Policy??? Plan of action, it is predermined and accepted course of thoughts and actions established as a guide towards accepted goals and objectives.

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HR policies

Decision making criteria for HR functions Provides guidelines and standardized procedures IT provides:

Determined course of rules and actions Positive declaration and command to the co. Suggest values and viewpoints Standard for decision Guides the performance of objectives

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Developing HR policies

How to Develop????

Identify purposes and objectives Analysis of present factors in co. affecting policies Examining the possible alternatives Implement by support Communication of it Auditing of policy Continuous re-valuation

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Need of HR policy

Formal statement on corporate thinking

To examine basic convictions as well as full consideration to practices For consistent treatment Policy continues even after managers quit Standards for measuring yields Control guides for delegated decision making

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Factors influencing HR policy

Laws of country Social values and customs Management values and philosophy Financial impact

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Characteristics of Sound HR policy


Consistent with Cos objectives and philosophy as well as labour laws and public policy. Definite, positive, clear and easily understood by everyone in the organisation. Also after taking long range plans and needs of co. Reasonably stable but not rigid. It must consider all its stakeholders Developed by participation and support of YEEs/TUs Definite so that easy to understand Provides two way communications. Law of Standing orders and BIR act Recognize the individual differences and respect human dignity, avoids favoritism or discrimination.

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Advantages of HR policies

Helps at various levels for decision making Ensures long tern welfare of Yees and makes good Yees relationship, uniform treatment Minimizes individual bias( managers) Ensures prompt action Consistency in the application of policies Yees know what is expected and what actions or benefits if task is performed

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Principles of Hr policy

Principle of common interest Principle of participation Principle of security Principle of work and accomplishment Principle of development Principle of recognition

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Types of HR policy

On the basis of sources

Originated policies Implicit policies Imposed policies Appealed policies


General Specific

On the basis of description

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Formulation of HR policies

Identifying the need Gathering information Examining policy alternatives Putting policy in writing Getting approval Communicating the policy Evaluating the polciy

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HR policies-Indian scenario

HR and overall business policy linkages

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HR policies at TATAs

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THANK YOU

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