CHAPTER 1-INTRO pt.1
Introduction to HRM
Definition of HRM:
It's crucial to define HRM in exam answers, even if the question doesn't explicitly ask for it.
Include an introduction in every answer related to HRM theories and practices.
Define key terms like general HRM, training, HRIS, and employee welfare.
Key Concepts:
High-Performance Work System (HPWS) practices.
Understanding the changing role of HRM - the evolving trends and strategic importance.
HRM is shifting from traditional HR to a more strategic role.
Strategic Importance of HRM:
Michael Porter, a strategist, emphasizes integrating HRM into the value chain.
HRM should be a key part of the process, not just a support function.
Businesses can function without a dedicated HR department in the initial stages.
As a business grows, an HR department becomes essential to manage people effectively.
Challenges in Managing People:
Managing people is complex, necessitating human resources.
General Management Process vs. HRM Functions
General Management Process:
Planning: Preparation before any activity (e.g., planning before attending a class).
Organizing: Arranging resources, including human resources tools, and spaces.
Staffing/Leading: Selecting a leader to make decisions and guide the team.
Controlling: Implementing control mechanisms (e.g., rubrics and guidelines for assignments).
Planning:
Planning involves structuring your day, week, and longer periods effectively.
Time management is crucial due to the limited time available (e.g., seven weeks in a semester).
Organizing:
Team formation requires organizing resources and selecting a leader.
A leader is essential to make timely decisions and prevent prolonged discussions.
Staffing and Leading:
Effective leadership involves making decisions based on thorough discussion.
Controlling:
Control mechanisms, such as rubrics and guidelines, are essential for managing assignments.
Regularly cross-check progress against these guidelines.
Human Resource Management (HRM) Defined
Policies and Practices:
HRM involves policies and practices related to managing people.
This includes recruitment, screening, training, and rewarding employees.
Key Functions:
Recruitment.
Screening.
Training.
Rewarding.
Appraising.
Importance of Policies:
Policies are rules and regulations that employees must follow.
Examples include attendance policies and workplace regulations.
Tracking and Control:
Modern systems use applications to track employee movement and ensure compliance.
These systems can monitor check-ins, check-outs, and movements during working hours.
Enforcement of Policies:
HR ensures policies are followed consistently and fairly.
Consequences for not following policies can range from warnings to more severe penalties.
Functions of HRM
Functions of Human Resource Management (HRM).
Training (Personal Development):
Focuses on acquiring new knowledge and addressing talent gaps.
Continuous self-development is crucial to remain competitive in the job market.
Appraisal and Compensation:
Appraisal is the process of assessing employee performance.
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Compensation includes monetary rewards (salary, bonus) and non-monetary benefits.
Rewards are based on performance and appraisal results.
Labor Relations:
Involves the relationship between employers and employees, often through trade unions.
HR acts as an intermediary to negotiate and resolve conflicts.
Trade Unions:
Unions protect employee rights and negotiate for better conditions.
Collective bargaining can address issues like salary increments.
Health and Safety:
Ensuring workplace safety through measures like fire drills and compliance with safety standards.
Fairness, Equity, and Inclusiveness:
Promoting diversity and equal treatment regardless of background.
Acquisition (Recruitment):
Attracting and hiring new talent based on skills and qualifications.
In theory fairness is important in hiring.
Line vs. Staff Aspects of HR
Line Managers:
Authorized to direct subordinates and responsible for organizational tasks.
Include departmental managers (e.g., marketing, finance, operations).
They also play a role in HR functions like recruitment, training, and employee welfare.
Staff Managers (HR Managers):
Assist and advise line managers on HR-related issues.
Focus on managing people within their department and supporting other departments.
Expertise of HR Department:
HR professionals have expertise in handling employee issues, such as burnout and stress.
Line managers may overlook these issues due to a focus on task completion.
Specific HRM Responsibilities of Line Managers:
Placing the right person in the right job.
Starting new employees with proper orientation.
Training employees for new jobs.
Improving job performances through appraisal.
Gaining creative cooperation and developing smooth working relationships.
Interpreting and reinforcing firm policies and procedures.
Controlling labor costs.
Developing the abilities of each person through training and performance management.
Creating and maintaining department morale and motivation.
Protecting employees' health and safety.
Importance of Orientation:
New students attend orientation to understand expectations and available resources.
Training and Development:
University life requires adjusting from a school environment.
Freedom comes with independence and responsibility for completing assignments.
Appraisal and Performance Management:
Line managers manage departmental performance, while HR centralizes the appraisal system.
Building relationships and employee engagement are vital.
Policy Reinforcement:
Line managers reinforce HR policies and procedures.
Labor Cost Control:
Balancing workforce size with workload to avoid over-hiring or understaffing.
Motivation and Morale:
Maintaining employee motivation and addressing personal issues through regular meetings.
Approachability of HR and lecturers for support.
Balancing work with personal well-being.