brief overview of h r m (1)

24 November 2014

By: Prof. Thessa R. Requilman, MBA

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HRM defined as the convergence of three factors

1)human beings 2)resources 3)management

where human beings have the actual and potential resources (knowledge, skills and capabilities) that can

be harnessed through effective management techniques to

achieve short- and long-term organisational goals as well

as personal needs.

Focus of HRM today - effective overall management

of an organisations workforce in order to contribute to the achievement of desired objectives and goals. All HR

processes (e.g. recruitment, human resource

development, performance appraisal, remuneration) are

seen to be integrated components of overall HRM strategies.

Source: Cengage Learning 2010 2

Harvard model of HRM, shows HRM as a set of broad strategic

choices in response to the demands of organisational characteristics (e.g. stakeholders,business strategy and conditions,

management philosophy, technology) within the context of

the external labour market and social, economic and political

conditions.

Strategic choices of HRM policies and practices encompass the

nature of all HR processes (e.g. work design,

recruitment and selection, performance management and reward

systems), and hopefully

lead to desirable HR outcomes and long-term consequences for the

organisation.

Cengage Learning 2010: HRM in

Context 3

The Harvard model suggests that strategies, policies and processes fall into four broad areas;

1)Employee influence and involvement: The extent

to which employees are encouraged to share their ideas and participate in organisational consultation and decision-making

procedures 2)Human resource flow: All HRM functions involved

in employee management (e.g. HR planning, job design, recruitment and selection, performance review, termination)

Cengage Learning 2010: HRM in Context

4

3)Rewards systems: The monetary and non-monetary ways by which staff are recognised 4)Work systems: Includes consideration of the fit between employees and their workplaces (e.g. technology, workplace design, teams) The model further suggests that a strategic approach to

HRM strategy, policy and processes fundamentally reflects management choice about how employees are

managed a choice about the nature of the employment

relationship, including the psychological contract between employees and their employers.

Cengage Learning 2010: HRM in context 5

As this model indicates, the principles on which HRM

theories based are generally broader and more

managerial in their emphasis than personnel

management. The central principle is, of course, the

effective utilisation of employees in order to enable the

achievement of organisational objectives.

Thus, the entire resource of the employee should be tapped (e.g. physical, creative, emotional, productive

and interpersonal components) in order to achieve this goal.

Cengage Learning 2010 : HRM in Context 6

As Ken Gilbert, Head of Mercer Consultings human capital business explains:

Aside from the need to survive, one of the biggest challenges organisations face . . . is managing competing workforce pressures the need to contain employment costs versus the ability to maintain levels of engagement and productivity for when the market upswings. . . .

Doing both simultaneously is the new challenge.

Cengage Learning: HRM in Context 7

Some other HRM observers note that recent trends in

the nature of employment (such as casualisation, more

flexible conditions and changes to industrial relations

systems), and the various impacts of technology and

globalisation, together with innovative HR practices

such as rightsizing, outsourcing and offshoring present serious challenges and opportunities to the

future of HRM.

Cengage Learning 2010 : HRM in Context 8

HRM theories have been classified into three main

approaches best practice, best fit (or the ideal fit between HR and business strategies) or the

resource-based view and therefore differ from personnel managements emphasis on only one best way models of practice.

Diverse national, cultural and industrial relations

environments demand different HRM applications

Cengage Learning 2010 HRM in Context 9

What skills will an HR Manager need in order to succeed in their job? All managers require a mix of technical, human relations, conceptual and design, and business skills in order to successfully carry out their jobs HR Managers are no different all leaders need management skills to improve organizational performance.31 The set of necessary skills for HR Managers is similar to the one for other managers, but of course it emphasizes people skills more than some other management positions would. Technical Skills The first set of skills necessary for successful HR Managers is

technical skills, the easiest of the four sets to develop.32 Technical skills are defined as the ability to use methods and techniques

Part of the diversity in todays workforce is people retiring later in life and working part-time.

The New Human Resource Management: 21st Century

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The first set of skills necessary for successful

HR Managers is technical skills, the easiest of

the four sets to develop.

Technical skills are defined as the ability to use

methods and techniques to perform a task.


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Being successful as an HR Manager requires

comprehensive knowledge of laws, rules, and

regulations relating to HR; computer skills,

because everything in HR is now computerized,

including some Equal Employment Opportunity

(EEO) reporting requirements; skills in

interviewing; training, knowledge and skills;

understanding of performance appraisal processes; and cultural knowledge.

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Human relations skills are the ability to

understand, communicate, and work well

with individuals and groups through

developing effective relationships. The

resources you need to get the job done are

made available through relationships, both

inside (employees, coworkers, supervisors) and

outside (customers, suppliers, others) the firm.

HR Managers must have strong people skills.


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Human relations skills also involve the ability to work well with others in teams, to persuade others, to mediate and resolve conflicts, to gather information from others, and to jointly analyze, negotiate, and come to a collective decision.

Finally, human relations skills involve the ability to relate to, as well as influence, both employees and the executive staff of the organization. The HR Manager must be able to work both sides of this issue.


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Conceptual and design skills include the ability to

evaluate a situation, identify alternatives, select a

reasonable alternative, and make a decision to

implement a solution to a problem. The conceptual

part of this skill set is an ability to understand what is

going on in our business processesthe ability to see the bigger picture concerning how our department or division and the overall organization operates. It also

includes the ability to see if we are getting outside

expected process parameters. In other words, are we

doing things we shouldnt be, or are we not successfully doing things that are necessary for maintaining a high

level of productivity?


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Design skills are the other part of the equation.

This is the skill set that allows us to figure out

novel or innovative solutions to problems that

we have identified through the use of our

conceptual skills. So, the first part of this skill set

is identification of any problems that exist, and

the second part is decision making to solve

problems.


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Business skills are the analytical and quantitative

skills, including in-depth knowledge of how the

business works and its budgeting and strategic

planning processes, that are necessary for a

manager to understand and contribute to the

profitability of their organization. HR professionals

must have knowledge of the organization and its

strategies if they are to contribute strategically. This

also means that they must have understanding of

the financial, technological, and other facets of the

industry and the organization.

The New Human Resource Management: 21st Century 17

Identify each activity as one of the following types of HRM skills:

a. technical

b. human relations

c. conceptual and design

d. business

____ 1. The HR Manager is giving a few department members a sincere thanks for finishing a job analysis ahead of schedule.

____ 2. The HR Manager is scheduling employee work hours for next week.

____ 3. The HR Manager is writing an e-mail.

____ 4. The HR Manager is working on the budget for next year.

____ 5. The HR Manager is trying to figure out why company attendance has dropped recently.

____ 6. The HR Manager is making copies of a report for the meeting.

____ 7. The HR Manager is being introduced to a new employee and talking socially with her for a few minutes before she goes to her new job.


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brief overview of h r m (1)

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