Q2 – Human resources management (Vocabulary Flashcards)

Vocabulary flashcards covering key HRM concepts, roles, theories, and practices from the lecture notes.

HRM definition

Management aimed at achieving organizational goals in an effective and efficient manner through planning, organising, leading and monitoring resources, respecting the reciprocal relationship between the individual and the organisation.

Shareholders

Wealthy individuals who invest money in firms with the idea that it will be a success; they provide capital to firms to attain goals.

Organizational resources

Assets a firm uses to create value, including cash, equipment, facilities, and people (human resources).

Investment in people

Viewing employees as an important resource and investing in their development to improve performance and return on investment.

Human machines metaphor

Both machines and humans can break down; HR must balance motivation and control to avoid burnout and breakdown.

Train when necessary

Just as machines need updates, humans need retraining, coaching, and development to stay effective.

Planning (HRM)

Deciding where the organization is going and what type of personnel is needed to achieve goals.

Organizing (HRM)

Deciding how work will be structured and how the work floor will be arranged to implement plans.

Leading (HRM)

Motivating and directing employees to achieve organizational goals; related to day-to-day operations.

Monitoring (HRM)

Tracking performance to improve efficiency and effectiveness.

Strategic partner (HRM)

HR participates in long-term planning, aligning HR strategy with organizational strategy.

Change agent (HRM)

HR drives reorganizations and organizational design to implement strategic plans.

Champion of employees (HRM)

HR advocates for employee development, wellbeing, and retention; protects staff interests.

Administrative partner (HRM)

HR handles day-to-day operations like payroll, leave, training options, and compliance.

Inflow-Through-Outflow model

HR processes: inflow (recruitment/selection), throughflow (promotion), outflow (resignation/dismissal).

Principal–Agent relationship

A contract where the principal engages an agent to perform services, delegating decision-making authority.

Agency theory

Theory focusing on monitoring agents to ensure alignment with the principal’s interests; potential for misaligned incentives.

Stewardship theory

Trust-based approach where agents act in the organization’s best interest without heavy monitoring.

Outside-in (Positioning) approach

Strategy based on external market conditions to guide staffing and competitive positioning.

Inside-out (Resource-based) approach

Strategy based on internal resources and capabilities; people drive strategic choices.

HR as strategic partner (2.1)

HR integrates long-term planning, determines needed competencies and structures, and informs board decisions.

HR as change agent (2.2)

HR reorganizes structure, roles and processes to implement strategic plans.

HR as champion of employees (2.3)

HR inventories skills, enables internal transfers, and aligns policies with staff needs.

HR as administrative partner (2.4)

HR monitors, records, and coordinates administrative tasks like payroll, training options and leave.

Functional flexibility

Preference for generalists with broad competencies who can cover multiple roles.

Competency management

Paying employees for competencies they possess or acquire, even if not immediately used.

Numerical flexibility

Adjusting headcount through temporary contracts; easier to scale workforce up or down.

Employability

Keeping employees employable across jobs through lifelong learning and skill development.

Work-life separation

Right to disconnect; work and private life are kept separate (e.g., 9-5).

Work-life integration

Blending work and private life with flexible scheduling; work can be done across hours and places.

Burnout

Chronic workplace stress leading to fatigue, cynicism, and reduced performance; costly to organizations.

Quiet quitting

Doing only what is contractually required, not going beyond the minimum duties.

Stakhanovism

Idea of extreme productivity; used to justify overwork and exploitation of workers.

Lifelong employment vs. employability

Tension between staying with one employer for a long time and maintaining skills for mobility across jobs.

Person–organization fit

Alignment between an individual’s values and the organization’s values; linked to commitment and performance.

Employer branding

A company’s external messaging about its values and culture to attract talent.

Reference period

Period over which hours are averaged (commonly 3 months, later extended to 12 months) to meet a 38-hour week.

Right to disconnect

Policy enabling employees to disconnect after work hours to protect work-life balance.