Recent trends in HRM

Introduction
Historically, the HR Department was viewed as
administrative overhead.
HR processed payroll, handled benefits
administration, kept personnel files and other
records, managed the hiring process, and provided
other administrative support to the organization
The role of Human Resources is changing as fast as
technology and the global marketplace

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 The positive result of these changes is that HR
professionals have the opportunity to play a more
strategic role in the business.
The challenge for HR managers is to keep up to date
with the latest HR innovations -technological, legal,
and otherwise.
How HR managers can anticipate and address some
of the most challenging HR issues.

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 Change in the Labor Force
Labor Force
general way to refer to all the people willing and able to work.
Internal Labor Market
- system by which a company looks inside its own
organization to find a suitable person for a senior job,
instead of giving the job to someone from outside the
company.
External Labor Market
- system by which a company looks outside its own
organization to find a suitable person for a senior job,
instead of giving the job to someone who is already working
for the company at a lower level.
High-Performance Work Systems
organization that have the best possible fit between
their social system and technical system.

Knowledge Workers
-employees whose main contribution is specialized knowledge,
such as knowledge of customers, a process or a profession.
 Employee Empowerment
-giving employees responsibility and authority to make decisions
regarding all aspects of product development or customer
service.
Teamwork
-the assignment of work to groups of employees with various
skills who interact to assemble a product or provide a service.
 High Quality Standards
TOTAL QUALITY MANAGEMENT (TQM)
-a companywide improve the ways people, machines and
systems accomplish work.

Example:
Every employee in the organization receives training in quality

The Organization promotes cooperation with vendors, suppliers

and customers.
 Mergers
-two companies becoming one

Acquisitions
-one company buying another

Downsizing
-to make a company or organization smaller by
reducing the number of people working for it
 Reengineering
-a complete review of the organizations critical work processes to
make them more efficient and able to deliver heigher quality.

Outsourcing
-the practice of having another company provide services.
 Expanding into Global Markets
The Global Workforce
Offshoring
Moving operations from the country where a
company is headquarted to a country where pay
rates are lower but the necessary skills are
available.
International assignments
Expatriates
- employees who take assignments in other
countries.

 *Technological Change
in HRM

Human resource information system

(HRIS)
It can support strategic decision making
It help the organization avoid lawsuits
Provide data for evaluating program or policies
Support day-to-day HR decisions
 Electronic human resource management (e-
HRM)
Employees in different geographic areas can work together.
Recruiting can include online job postings, applications and
candidate screening from the companys web site.
Employees from differen geographic locations can all receive the
same training over the companys computer network.

Sharing of Human Resource Information

Self-service
system in which employees have online access to
information about HR issues and go online to enroll themselves in
programs and provide feedback through surveys.
 Technological Changes And HRM

Technology includes tools, machinery, equipment, work procedures

and employee knowledge and skills. The impact of technology on HR
can be profound, as the following things clearly reveal:

New skills, knowledge, experience and expertise

Downsize operations, cut organisational layers and cut the extra
fat to survive in a competitive world
achieve teamwork
Relocate work from the office to the home

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 Economic, Political And Social
Challenges And HR

Now-a-days, people, goods, capital and information are moving

around the globe as never before.
Global competition is making every firm to think in terms of
gaining an edge over rivals by producing high quality goods at a
very competitive price.
This is where the people dimension comes into being.
Incentives, favourable work climate, team spirit, freedom to think
and act independently, and a host of other HR initiatives are
needed to keep talent from flying away.

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