Chapter 1: The World of Human Resources

Human Resources Management

The process of managing human talent to achieve an organizations objectives

Why Study HRM

Important for managers to have a good understanding

What does understanding human resources management help

Helps you understand your responsibilities and rights as an employee

Human Capital

The knowledge, skills, and capabilities of individuals that have economic value to an organization

Competitive challenges

• Changes in the marketplace and economy

• Globalization

• Sustainability

• Technology

• Productivity and cost challenges

• Leveraging employee differences

Employee Concerns and Issues

• Job Security

• healthcare

• Diversity issues

• Age, gender and generational issues

• education levels

• employee rights and privacy

• work attitudes and employee engagement

• work-life balance

What is Human Resources composed of

• planning

• job design

• recruitment

• staffing

• training and development

• appraisal

• communications

• compensation

• benefits

• labour relations

• international HR

Competitive issues and HRM

Top Trends or competitve issues/challenges

Responding strategically to crisis, changes, and disruptions in the local and global marketplace

HR Manager and business strategies

• Six Sigma

• re-engineering

• downsizing

• outsourcing

• change management

  • Reactive change, proactive change

Globalization

Competing, recruiting and staffing globally

Six Sigma

A set of principles and practices whose core ideas include understanding customer needs, doing things right the first time, and striving for continuous improvement

Re-engineering

A fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in cost, quality, service and/or speed

Downsizing

the planned elimination of jobs

Outsourcing

Hiring someone from outside the company to perform business processes that were previously done within the firm

Change Management

Systematic way of bring about and managing organizational changes on the individual level

Reactive Change

Changes that occur after external forces have already affected performance

Proactive change

Change initiated to take advantage of targeted opportunities

Setting and achieving corporate social responsibility and sustainability goals

CSR and Sustainability

CSR

The responsibility of the firm to act in the best interests of the people and communities affected by its activities

Sustainability

Doing business in a way that does as little harm to the environment and depletes as few natural resources as possible

Advancing HRM with technology

Collaborative software

Collaborative Software

Software that allows workers to interface and share information with one another electronically

Advancing HRM with technology

Social Media networking has become the new way to attract employees and check them out to see if they are acceptable candidates

Knowledge workers

Responsibilities extend beyond the physical execution of work to include planning, decision making, and problem solving

Human Resource Information Systems (HRIS)

Computerized systems that provide current and accurate data for purposes of control and decision making

Workforce (HR)

The process of gathering and analyzing data to improve a firm’s HRM

Downsizing

Elimination of jobs

Outsourcing

When companies engage and hire other firms to complete aspects of their work

Furloughing

A situation in which an organization asks or requires employees to take time off for either no pay or reduced pay

Offshoring

The business practice of sending jobs to other countries

Nearshoring

The process of moving jobs closer to one’s home country

Homeshoring

The process of moving jobs to work-from-work domestic independent contractors

Employee leasing

The process of dismissing employees who are then hired by a leasing company and contracting with that company to lease back the employees

Demographic and diversity challenges of the workplace

• more diverse workforces

• aging workforce

• gender distribution

Adapting to educational and cultural shifts affecting the workforce includes

• Education of the workforce

• Cultural Changes

Education of the workforce

More than half of canadians aged 25 - 64 have a college or university diploma

Cultural changes

Attitudes, beliefs, values and customs of people in a society that are an integral part of their culture, which affects their behaviors on the job and the environment within the organization

Competitive Issues and HRM

1. Responding strategically to crisis, changes, and disruptions in the local and global marketplace

2. Setting and achieving corporate social responsibility and sustainability goals

3. Advancing HRM with technology

4. Containing costs while retaining top talent and maximizing productivity

5. Responding to the demographic and diversity challenges of the workforce

6. Adapting to educational and cultural shifts affecting the workforce

Manager

Managing people is every managers business

Line managers

Non-HR managers who are responsible for overseeing the work of other people

Competencies of HR Manager

• Business mastery

• Personal credibility

• HR Mastery

• Change Mastery

Business Mastery

• Business acumen

• Customer orientation

• External relations

Personal Credibility

• Trust

• personal relationships

• lived values

• courage

Change Mastery

• Interpersonal skills and influence

• Problem solving skills

• rewards system

• innovativeness and creativity