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What is Human resources management (HRM)?
The process of managing human talent to achieve an organization's objectives
Human Capital
The knowledge, skills, and capabilities of individuals that have economic value to an organization
HRM is the responsibility of
All managers
HRM helps bridge the gap between
business systems and people within those systems
HRM failures =
business failures
HRM is
dynamic, flexible, adaptable, and strategic
Strategy planning
Procedures for making decisions about the organization's long-term goals and strategies
Step 1 in linking strategic planning and human resources
Mission, Vision, and values
Step 2 in linking strategic planning and human resources
External Analysis
Step 3 in linking strategic planning and human resources
Internal Analysis
Step 4 in linking strategic planning and human resources
Strategy formulation
Step 5 in linking strategic planning and human resources
Strategy implementation
Step 6 in linking strategic planning and human resources
Evaluation
Mission
The basic purpose of the organization as well as its scope of operations
Strategic vision
A statement about where the company is going and what it can become in the future; clarifies the long-term direction of the company and its strategic intent
Core values
The strong and enduring beliefs and principles that the company uses as a foundation for its decisions
Environmental scanning
Systematic monitoring of the major external forces influencing the organization
Five forces framework of external analysis
Rival firms, customers, substitutes, suppliers, new entrants
core capabilities
Integrated knowledge sets within an organization that distinguish it from its competitors and deliver value to customers
Value creation
What the firm adds to a product or service by virtue of making it; the amount of benefits provided by the product or service once the costs of making it are subtracted
Composition
who to hire, what jobs do we need to make internal
Forecasting supply of labour(considerations)
Demographic changes, education of workforce, labour mobility, government policies, unemployment rate
Forecasting supply of labour (techniques)
Staffing tables, markov analysis, skills inventories, management inventories, replacement charts, succession planning
Forecasting demand of labour (considerations)
Product/service demand, economics, technology, financial resources, absenteeism/turnover, organizational growth, management probability
Forecasting demand of labour (techniques)
Trend analysis, managerial estimates, delphi technique
Trend analysis
A quantitative approach to forecasting labor demand based on an organizational index such as sales
Management forecasts
The opinions (judgments) of supervisors, department managers, experts, or others knowledgeable about the organization's future employment needs
Markov analysis
A method of tracking the pattern of employee movements through various jobs
Replacement charts
Listings of current job holders and people who are potential replacements if an opening occurs
SWOT analysis
A comparison of strengths, weaknesses, opportunities, and threats that helps executives formulate strategy.
Formulating Strategy
Corporate strategy, business strategy, functional strategy
Corporate strategy
Growth and diversification, Mergers and Acquisitions, Strategic Alliances and joint ventures
Business Strategy
Low-Cost strategy, Differentiation Strategy
Functional Strategy
Vertical Fit/Alignment, Horizontal fit/Alignment
strategy implementation
Increase workforce, Decrease workfroce
Increase workforce
Recruitment, selection
Decrease workforce
Attrition, layoffs, termination
Attrition
A natural departure of individuals from organizations through quits, retirements, and deaths
Hiring freeze
A practice whereby new workers are not hired as planned or workers who have left the organization are not replaced
Termination
Practice initiated by an employer to separate an employee from the organization permanently
Severance pay
A lump-sum payment given to terminated employees by an employer at the time of an employer-initiated termination
Benchmarking
The process of measuring one's own services and practices against the recognized leaders in order to identify areas for improvement
Balanced Scorecard (BSC)
A measurement framework that helps managers translate strategic goals into operational objectives
Evaluation
Tracking metric
How is Diversity in the workplace a competitive advantage?
different minds create better ideas, is good for globalization
Employment Equity Act (1995)
Federal legislation, applies to employers who have 100 or more employees
To create employment equity
you need to know your workforce and practices, you need to communicate and develop implement revise
Discrimination
To treat someone differently because of a personal characteristic
What is the legal framework of protecting workers?
The Canadian Charter of Rights, the Canadian Human Rights Act, Provincial/territorial laws
Most businesses are
Provincially Regulated
Federally Regulation businesses examples:
CRA, RCMP, crown corporation
The Canadian Charter of rights and Freedoms
Cornerstone of equity legislation, guarantees fundamental rights to all Canadians, including: equality rights which means guaranteeing no discrimination on the grounds of race, ethnic origin, colour, religion, sex, age, sexual orientation etc
The Canadian Human Rights Act
Federal legislation, each province/territory has comparable legislation, Canadian Human rights commission deals with complaints based on the act
Prohibited Grounds of Discrimination
Race or colour, pardoned conviction, disability, martial and family status, sex, sexual orientation, age, religion, national or ethnic origin
1978 Amendment to the Canadian Human rights act: PAY EQUITY
The purpose is to eliminate historical wage gap between men and women and to ensure the salary reflect the value of the work performed
Pay equity
Illegal to discriminate on the basis of job content
Two forms of pay equity
Equal pay for equal work, equal pay for work of equal value
Equal pay for equal work
Requires equal pay for Men and women doing equal work under similar working conditions
Equal pay for work of equal value
refers to the equal dollar value of different jobs. It is established in gender-neutral terms by comparing jobs in terms of the education and experience needed to do them and the stress, responsibility and working conditions associated with them.
Equity
involves trying to understand and give people what they need to enjoy full, healthy lives
Equality
aims to ensure that everyone gets the same things in order to enjoy full, healthy lives. Also, aims to promote fairness and justice, but it can only work if everyone starts from the same place and needs the same things
employment (labour) standards legislation
Laws present in every Canadian jurisdiction that establish minimum employee entitlements and set a limit on the maximum number of hours of work permitted per day or week.
Types of Discrimination
Direct (intentional), Indirect (Unintentional)
Direct discrimination
discrimination practiced directly by one individual against another eg: deliberate use of race, religion, sex, disability status (illegal)
Indirect discrimination
Policies or practices that appear to be neutral but have an adverse effect on the basis of a prohibited ground
Systemic Discrimination
The exclusion of members of certain groups through the application of employment policies or practices based on criteria that are not job related
Undue Hardship
the point where the financial cost or health and safety risks make accommodation impossible
Bona Fide Occupational Requirement(BFOR/BFOQ)
A justifiable reason for discrimination based on business reasons related to safety or effectiveness, which is considered a necessary requirement for performing the job
Harassment
Unwelcome behaviour that demeans, humiliates, or embarrasses a person and that a reasonable person should have known would be unwelcome
sexual harassment
Unwelcome advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature in the working environment
Types of sexual harassment
1. Says or does something to you either by words or behaviours
2. Saying something like you won't get a reward if you don't do something for me
3. Person who has authority or punishes you if you refuse to a sexual request
Harassment policies
1. establish sound anti-harassment policies- respectful workplace and climate
2. communicate such policies to all employees
3. Enforce policies in a fair and consistent manner
4.Take an active role in maintaining a working environment that is free of harassment
Job Analysis
Formal, systematic, and structured process of gathering, documenting, and analyzing data about the work required for a job
What does KSAO's stand for?
knowledge, skills, abilities, and other characteristics
Job analysis is important
-so that managers know what to focus on in recruitment, selection, training
-Also so that managers can write job description and job specification
Job analysis is important for
HR planning, Recruiting, selection, compensation, training and development, performance appraisal, health and safety and union relations
Job description
a written description of the basic tasks, duties, and responsibilities required of an employee holding a particular job
job specification
describes the minimum qualifications a person must have to perform the job successfully
Problems with Job Descriptions
1. May be poorly written/vague
2. Out of date
3. Contain irrelevant/illegal information
4. Limiting
Two types of job analysis databases used in North America
NOC and O*NET
NOC
Canadian version, data is collected by employment and social development Canada. It gives you information on: typical job titles, main duties and tasks, educational requirements
O*NET
US version, information for each job includes worker characteristics, worker requirements, experience requirements, work activities and tasks and finally labor market-related information
Job Analysis Methods
1. Position Analysis Questionnaire
2. Task Inventory Analysis
3. Competency-Based Analysis
Who performs a job analysis?
1. A qualified member of the HR department
2. An HR consultant
3. A job incumbent
3. A supervisor of people on the job
Two broad types of job analysis
Work oriented and worker oriented
Work-oriented job analysis
job analysis techniques that emphasize work outcomes and descriptions of the various tasks performed to accomplish those outcomes
Worker-oriented job analysis
approach that focuses on the attributes of the worker necessary to accomplish the tasks
Position Analysis Questionnaire (PAQ)
A questionnaire covering 194 different tasks tat, by means of a five-point scale, seeks to determine the degree to which different tasks are involved in performing a particular job
Task inventory analysis
An organization-specific list of tasks and their descriptions used as a basis to identify components of job
Competency-based job analysis
Describing the job in terms of measurable, observable, behavioral competencies (knowledge, skills, and/or behaviors) that an employee doing that job must exhibit to do the job well.
Competency modeling
purpose is to influence behaviour, view of the job is a role to be enacted, focus is on the organization, time orientation is for the future, performance level is maximum and measurement approach is clinical judgement
Job Design
Structuring jobs to improve organizational efficiency and employee job satisfaction
How can we change jobs?
1. Job enrichment
2. Empowerment
3. Job Characteristics model
Job Enrichment
Enhancing jobs by adding more meaningful task to make the work more rewarding/satisfying
Job Characteristics
Skill variety, task identity, task significance, autonomy, feedback
Psychological states
Meaningfulness of work performed, responsibility for work outcomes, knowledge of the results of the work performed
Job outcomes
Improved work performance, increased internal motivation and lower absenteeism and turnover
Employee empowerment
Granting employees authority to initiate change, help them take charge of what they do
Flexible work schedules (flextime)
Compressed workweek, flextime, job sharing and telecommuting
Recruitment
Activities carried out by the organization to identify and attract potential employees