Week 1: Introduction to Strategic HRM Evidence-based HRM

HRM – Definition

Kulik & Perry: the overall process of managing people in organizations.

Includes: policies, practices & systems that shape employee behavior, attitudes & performance.

Personnel Management vs HRM

Personnel Management (1945–1979): separate functions (recruiting, training, payroll); employees seen as a cost.

HRM (1980–now): resource-based view; employees seen as a resource for competitive advantage.

Evolution: HRM → Strategic HRM → Evidence-based HRM.

Strategic HRM (SHRM)

Definition: aligning HR practices with each other AND with the organization's strategy.

Goal: help the organization reach its goals.

Vertical vs Horizontal Alignment

Vertical alignment: HR practices match the business strategy.

Horizontal alignment: HR practices are consistent with each other.

High Performance Work System (HPWS)

Definition: a group of separate but interconnected HR practices designed to enhance employees' skills and effort.

Boosts: AMO – Ability, Motivation, Opportunity.

AMO Framework

Ability-enhancing: recruitment & selection, learning & development.

Motivation-enhancing: performance management, reward management.

Opportunity-enhancing: mentoring, job design.

How HR Drives Business Success

Chain: HR practices (A/M/O) → HR outcomes (human capital, employee motivation) → Business outcomes (retention, operational outcomes) → financial performance.

Key point: no one-size-fits-all HR strategy.

Vision vs Mission vs Strategy

Vision: what the organization wants to become.

Mission: what the organization will do to become that.

Strategy: a plan of action to reach a set of objectives.

Order: Vision + Mission + SWOT → strategic choice.

Cost Leadership vs Differentiation

Cost leadership: narrow job roles, hire/train for specific skills, performance-based pay. | Differentiation: broad job roles, hire cooperative/creative people, pay market value.

SWOT – HR's Role

Internal analysis: strengths & weaknesses of the workforce. | External analysis: labour pools, shortages, competitors for labour. | HR's job: identify what human resources are needed to reach the goals.

HRM's Changing Role

Origin of HRM: paying people, administering benefits, monitoring attendance, hiring & firing. | Modern role: talent management, change management, leadership development, strategic partner.

Devolution

Definition: transfer of HR responsibilities from a central HR unit to line managers. | HR department: handles big-picture work (forecasting, HR information systems, benchmarking). | Line managers: handle day-to-day people management. | Stat: employees experience about 2 significant HR events per week, mostly from their line manager.

Devolution – Benefits vs Risks

Benefits: more managerial support → higher commitment, productivity, easier talent attraction, lower turnover. | Risks: inconsistent HR practices across units, unapproved informal practices.

Evidence-Based HRM (EBHRM)

Slides: using scientific evidence + business information to make people-management decisions. | Textbook: a decision process combining the best available, critically appraised evidence. | Purpose: improve HR practices and prove their added value.

LESS Model ("L-E-S-S is more")

L – Local context: facts & data from your own organization. | E – Experience: your professional expertise. | S – Stakeholders: bosses, clients, suppliers, especially employees. | S – Scientific evidence: relevant research. | Note: relevant at every step of the 5 A's.

Local Data: Primary vs Secondary

Primary data: collected specifically for your issue (surveys, focus groups, interviews). | Secondary data: collected for another (or no) purpose (HR databases, policies, reports).

Judging Scientific Evidence

Must be: research meeting scientific quality standards, published in peer-reviewed journals. | Find it via: Scopus, Web of Science (careful with Google Scholar). | Judge directly: study quality (sample, methods, bias). | Judge indirectly: journal ranking & citation count.

The 5 A's of Evidence-Based Practice

Ask: identify the issue, write a problem statement. | Acquire: search for evidence. | Appraise: judge the quality & relevance of the evidence. | Apply: combine evidence + expertise + context into an action plan. | Assess: monitor & review the outcomes. | Note: this course uses 5 steps only – no "Aggregate" step.

What's Used INSTEAD of Evidence

Eminence: HiPPO (Highest Paid Person's Opinion). | Vehemence: the loudest voice. | Eloquence: the smoothest talkers. | Obedience: just following orders. | Resemblance: copying other organizations. | Defence: the safest option. | Indolence: the easiest option. | Haste: the quickest option. | Indulgence: the most enjoyable option. | Reverence: whatever seems coolest.

"Is HR Obvious?" – True or False

Work experience predicts performance/turnover – False (a weak predictor). | Feedback can reduce performance – True. | Employees prefer variable pay over fixed pay – False.

Textbook Quiz (Table 1.1): All False

Best recruiting ads show only positives – False. | Being smart hurts performance in low-skill jobs – False. | Interview questions should be customized per candidate – False. | Onboarding's main goal is teaching conformity – False. | Doing well in training guarantees on-job use – False. | "Do your best" goals motivate best – False. | Keeping pay secret is best practice – False. | Counteroffers retain employees long-term – False. | Lesson: managers worldwide hold inaccurate HR beliefs.

Why Good HR Pays Off (For You Too)

Effective HR → higher productivity, lower turnover, better long-term performance. | Better HR skills → better evaluations, faster promotions, bigger raises.

LMX (Leader–Member Exchange)

Definition: managers build different, unique relationships with each employee. | High-quality LMX: closer, friendlier, more trusting. | Harder to build when: managing many employees, temp staff, or geographically distant teams.

High-Quality LMX – Benefits

For employees: more satisfied & committed, higher performance, faster promotions. | For managers: less office politics, more support, lower quit rates. | Low-quality LMX: negative attitudes, can drag down the whole team.

LMX – What You Can & Can't Control

Can't control: employee competence (most consistent factor), similarity (shared values matter more than demographics). | Can control: your own behavior – the biggest factor. | Task-related support: feedback, rewards, recognition. | Relationship support: mentoring, supporting development.

Manager's Knots (Ch. 1)

Only focusing on top performers: risk is they're just the people most like you – build relationships with everyone. | Company policies feel unfair: you're seen as the face of the employer, so use informal mentoring & flexibility where you can.

Job Analysis – Methods & Outcomes

Methods: background info, observation, questionnaires, interviews, work diaries, wearables. | Job description: outlines the JOB's duties, tasks, responsibilities. | Person specification: outlines the essential & desirable criteria of the PERSON.

Employee Lifecycle (HRM Practices)

Cycle: Recruitment & Selection → Learning & Development → Performance Management → Reward Management → Employment Relationship → repeat.