HRM Review Notes - Chapters 1-3

Flashcards covering key concepts from HRM Chapters 1-3.

What is Human Resources (HR)?

The set of people who make up the workforce of an organization, business sector, industry, or economy.

What is Human Capital?

The knowledge and skills which the individuals command.

What is HRM (Human Resource Management)?

Organizing, coordinating, and managing employees within an organization to accomplish its mission, vision, goals, and objectives.

What is SHRM (Strategic HRM)?

The process of managing people in a way that optimizes the business’s goals and objectives.

What is the aim of SHRM?

To advance flexibility, innovation, competitive advantage, develop organizational culture, and improve business performance.

What are the goals of HRM?

Job satisfaction, better work culture, customer satisfaction, efficient resource management, proactive employee management, and productivity.

What are the benefits of HRM?

Streamlined tasks, fewer errors, and HR focus on motivation strategies.

What are the benefits of SHRM?

Alignment with goals, recruitment & retention, higher productivity, workforce planning, adaptability, cost efficiency, and better decision-making.

How is HR viewed as a Strategic Partner?

HR influences profitability, funding, perception, balance, value, and is included in the C-level suite (CEO, CHRO, CFO).

What is Change Management?

A critical skill for HR in guiding organizations through transitions.

What are the Roles of HR in Change?

Change Leader/Owner—Plans and implements change; Change Educator—Shares knowledge; Change Advisor—Works with clients to design and guide change; Change Participant—Personally affected, troubleshoots, analyzes reactions.

What are the four elements in the Architecture of Change?

Relevance, Readiness, Robustness, Responsiveness.

Define Relevance in the Architecture of Change

Shared understanding of reasons for change.

Define Readiness in the Architecture of Change

Assessing culture/history for obstacles.

Define Robustness in the Architecture of Change

Focus on systems, processes, structure.

Define Responsiveness in the Architecture of Change

Managing the human/emotional impact.

What are the Key HR Skills for Change?

Recognizing change, influence, diagnosis, planning.

What are the Steps in Effective Change Management?

1) Overcoming resistance (communication, support, champions). 2) Engaging employees (team approach, roles, motivations). 3) Implementing in phases (prepare, manage, reinforce). 4) Communicating change (feedback, clarity, timelines).

What is a Change Champion?

An employee who supports change and helps others accept it.

What are HR’s roles in Innovation?

Do Nothing – No role; Minimalist – Removes barriers; Moderate – Enhances HR practices; Proactive – Embeds innovation in strategy & culture.

What are Ways to Improve Creativity/Innovation?

Rewards, track talent, review process, training, innovation budget, promote ideas, link pay to innovation, leadership development, define values, use technology.

What is HR Planning (HRP)?

An ongoing process of systematic planning to achieve optimum use of an organization’s human resources.

What is the Objective of HRP?

Best fit between employees and jobs, avoid manpower shortages/surpluses.

What are the Needs for HRP?

Skill shortage, retirement & turnover, technological change, globalization, expansion, diversification, surplus/shortage balance.

Why is HRP Important?

Right people at right time, balance demand & supply, avoid pitfalls, manpower shortfalls/surpluses, succession planning, promotions & benefits, anticipate change, assess strengths & weaknesses.

What are the Objectives of HRP?

Ensure manpower, proper use of resources, forecast requirements, assess surplus/shortage, anticipate tech impact, control HR, provide lead time for hiring/training.

Describe Step 1 of the HR Planning Process.

Scanning External Environment — Government, economy, geography, competition.

Describe Step 2 of the HR Planning Process.

Internal Analysis of Jobs & People — Job audit, skills audit, skills inventory, workforce profile.

Describe Step 3 of the HR Planning Process.

Forecasting — HR demand & supply (judgmental/statistical).

Describe Step 4 of the HR Planning Process.

Establishing Objectives — Align with corporate goals.

Describe Step 5 of the HR Planning Process.

Action Plans — Adjust workforce (downsizing, attrition, early retirement, layoffs, outplacement).

Describe Step 6 of the HR Planning Process.

Controlling & Evaluating — Measure staffing, productivity, costs, outcomes.

What are Judgmental Forecasting Techniques?

Estimates, rules of thumb, Delphi, nominal group.

What are Statistical Forecasting Techniques?

Trend analysis, scatter plot, regression, simulation, productivity ratio, staffing ratio.

What is Succession Analysis?

Forecast internal supply using replacement charts.