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10663152 10663152 Presentation Transcript

  • Human Resource Management Higher Business Management
  • Today…
    • Role and Importance of HRM
    • Functions of HRM
    • HRM Remit
    • Changing Patterns of Employment
    • Reasons for Sub-contracting
    • Human Resource Planning
    • The Shamrock Organisation
    • Labour Turnover
    • Manpower Planning
  • Role and Importance of Human Resource Management (HRM)
    • The most valuable asset in any organisation is its workforce.
    • It is the human resources that generate wealth by providing services and producing goods.
    • Care must be taken over employees especially if they want to secure and retain staff.
  • Function of Human Resources
    • HRP
    • Recruitment and Selection
    • Training and Development
    • Maintenance of Personnel Records
    • Legislation
    • Employee Relations
    • Grievance and Discipline
  • HRM Remit
    • To promote a policy of continuous learning and staff development
    • To recruit, develop and retain people with the appropriate skills and attitudes required for present and future jobs
    • To manage employee relations
    • To design, implement and manage remuneration, reward and appraisal schemes
    • To maintain and improve physical and mental well being of the workforce
    • To take account of all legislation relevant to HRM
  • Changing Patterns of Employment
    • Decline in full-time, permanent work
    • Decline in heavy engineering
    • Increase in service sector employment (call centre, IT)
    • Increase in women working (suited to new areas of employment)
  • Changing Patterns of Employment
    • Teleworking
    • Flexitime
    • Part-time
    • Job Sharing
    • Fixed Contracts
    • Sub-contracts
  • Reasons for Sub-Contracting
    • More skilled workforce
    • Expertise
    • Economies of scale
    • Can concentrate on what you’re good at
    • Saves money in equipment/training
  • Human Resource Planning
    • Changing goals of a business
    • Changes in Market
    • Changes in Technology
    • Competition
    • Population Changes
    • Trade Unions
    • Government Legislation
    Factors affecting HRP:
  •  
  • Labour Turnover
    • Costs of High Labour Turnover:
    • Costs of advertising, interviewing & training new employee
    • Loss of production while place is being filled
    • Low morale amongst other employees
  • Manpower Planning
    • If firm’s labour supply > demand:
    • Redundancy
    • Retraining
    • Early retirement
    • ‘ Natural wastage’
    • If firm’s labour supply < demand:
    • Additional advertising
    • Retraining programmes
    • Increase pay & other incentives
  • Recap…
    • Role and Importance of HRM
    • Functions of HRM
    • HRM Remit
    • Changing Patterns of Employment
    • Reasons for Sub-contracting
    • Human Resource Planning
    • The Shamrock Organisation
    • Labour Turnover
    • Manpower Planning
  • Today…
    • Motivation and Needs
    • Maslow
    • Herzberg
    • Factors of Motivation
    • Empowerment
  • Motivation & Needs
    • Maslow’s Hierarchy of Needs
    • Needs at top more important than at bottom
    • But lower needs have to be satisfied first
  • Herzberg’s Two Factor Theory
    • Frederick Herzberg believed there were two factors that affected people at work:
    • Hygiene Factors – ones with potential to cause dissatisfaction at work ( salary, working conditions, status, over-supervision )
    • Motivator Factors – aspects of a job that can lead to positive job satisfaction ( achievement; recognition; meaningful, interesting work; psychological growth and learning )
  •  
  • Factors of Motivation
    • pay levels
    • job security
    • promotional prospects
    • Responsibility
    • working conditions
    • fringe benefits
    • participation in decision-making
    • working in a team
  • Motivation
    • Financial Methods
    • Flat rate, piece rate, commission. PRP, profit sharing, share ownership
    • Non-Financial Methods
    • Empowerment, delegation, job enrichment, job enlargement, job rotation, quality circles
  • Empowerment…
    • … providing the means by which subordinates can exercise power over their working lives.
    • It offers more responsibility and independence, different from delegation because there is more freedom to decide what to do and how to do it.
  • Empowerment Benefits to firm
    • Improved productivity
    • Increased staff motivation
    • Speedier decision making
    • Fresh ideas can improve quality of decisions made
    • Organisation may become more competitive
    • Faster communication as there are fewer levels in the organisation
    • Improved management/employee relations
  • Empowerment benefits to employee
    • May feel valued
    • Greater chance of promotion
    • Improved pay
    • Improved skills
    • Employees may be given extra training
    • Improved motivatio n
  • Criticisms of Empowerment
    • Is it more work for less money?
    • Not all workers like freedom and responsibility. Some like to be told what to do.
  • Recap…
    • Motivation and Needs
    • Maslow
    • Herzberg
    • Factors of Motivation
    • Empowerment
  • Today… Recruitment Stages
    • Identify a Job Vacancy
    • Conduct a Job Analysis
    • Prepare a Job Description
    • Prepare a Person Specification
    • Advertise the job vacancy Internally or Externally
  • Identify Job Vacancy
    • Could occur due to:
    • An employee leaving organisation
    • An employee being promoted
    • A new post being created
  • Conduct Job Analysis
    • This identifies:
    • Tasks to be performed
    • Skills needed
    • Duties & responsibilities
    • Gives idea of ideal candidate
  • Prepare Job Description
    • This states:
    • Job title
    • Location
    • Tasks
    • Duties & Responsibilities
    • Hours
    • Holiday Entitlements
  • Prepare Person Specification
    • A description of the type of person suitable for post is drawn up. This includes:
    • Qualifications
    • Experience
    • Personal qualities
    • Hobbies & Interests
  • Advertising Post Internal and External
    • Internal
    • Newsletters
    • Notice board
    • External
    • Newspaper Adverts
    • Internet
    • Job Centre
    • Recruitment Agency
    • Schools/Colleges/ Universities
  • Internal Recruitment
    • Advantages
    • Applicant & ability familiar to organisation
    • Organisation may have invested in person through training
    • Individual aware of culture (no need for induction training)
    • Disadvantages
    • Limited skills pool
    • Own Job needed to be filled
    • Resentment from overlooked staff
  • External Recruitment
    • Advantages
    • Can target specific sections of population
    • Wider job skills pool
    • No need to fill another post
    • Disadvantages
    • Expensive
    • Time taken can be long
    • Successful candidates may turn down job
  • Recap… Recruitment Stages
    • Identify a Job Vacancy
    • Conduct a Job Analysis
    • Prepare a Job Description
    • Prepare a Person Specification
    • Advertise the job vacancy Internally or Externally
  • Today… Selection Methods
    • Interviews
    • Application Forms
    • CVs and References
    • Tests
    • Assessment Centres
  • Interviews
    • One-to-one interview
    • Successive interview
    • Panel interview
  • Application Forms
    • Initial contact, checked against the Person Specification to select suitable candidates for vacancy
    • Usually in conjunction with CV
  • CV
    • Curriculum Vitae or life history
    • Personal Details
    • Education
    • Qualifications
    • Work Experience
    • Hobbies/Interests
    • Additional Info
  • Tests
    • Attainment tests
    • Aptitude tests
    • IQ tests
    • Psychometric tests
    • Medical tests
  • Assessment Centres
    • Activities:
    • Team building
    • Role Play
    • Interviews
    • Qualities looked for:
    • Social skills, leadership qualities & personality
    • Intensive assessment held over one or two days
    • Selection Methods:
    • % used by business
    • Interviews 92
    • References 74
    • Assessment
    • Centres 14
    • Aptitude Tests 11
    • Graphology 3
    • Validity at predicting work performance
    • (0 = no use; 1 = very helpful)
    • 0.17
    • 0.13
    • 0.40
    • 0.54
    • 0.00
    • Unstructured interviews typically have poor validity
    • Skill of the interviewer is critical
    • Structured interviews, based on job analyses, tend to be valid
    • May reduce adverse impact if used in conjunction with other tests
    Employment interviews
    • Use of ability tests can result in high levels of adverse impact
    • can be costly to develop & administer
    • useful predictors of performance across a wide variety of jobs
    • Are usually easy and inexpensive to administer
    Mental Ability tests (IQ) Disadvantages Advantages Assessment
    • Reports are almost always positive
    • used to verify information previously provided by applicants
    • May encourage applicants to provide more accurate information
    Reference checks
    • Can be expensive to develop & administer
    • Specialised training required for assessors;
    • Good predictors of performance, managerial potential, & leadership ability
    • Apply the whole-person approach to personnel assessment
    Assessment Centres Disadvantages Advantages Assessment
  • Recap… Selection Methods
    • Interviews
    • Application Forms
    • CVs and References
    • Tests
    • Assessment Centres
  • Today…
    • Reasons for Training and Development
    • Training costs and benefits
    • Induction Training
    • Training Methods
  • Reasons for Training and Development
    • Improve staff performance
    • Improve productivity
    • Staff more flexible
    • Increase job satisfaction
    • Staff more motivated
    • Upgrade staff skills
    • Reduce injuries & accidents
  • Training
    • Costs
    • Sending people on training costs
    • Paying trainers
    • Loss of output
    • Benefits
    • Flexibility
    • Upgrade skills
    • Employee satisfaction
  • Induction Training
    • For new employees
    • Covers aspects of:
    • Company procedures
    • Meeting colleagues
    • Tasks of job
    • Health & safety
  • Training Methods
    • On the job – training conducted at employee’s place of work
    • Off the job – training occurs outside of work e.g. university or college
  • Training Methods
    • “ Sitting next to Nellie” – task demonstrated then trainee undertakes task
    • Coaching – trainee taken through step by step by trainer
    • Job Rotation – trainee learns tasks in different departments/jobs
    • Self-paced/distance learning – trainee receives resources and works on their own
  • Recap…
    • Reasons for Training and Development
    • Training costs and benefits
    • Induction Training
    • Training Methods
  • Today…
    • Staff Development
    • Appraisal
    • Reasons for Appraisal
    • Keeping Staff Records
    • Use of Records
  • Staff Development
    • Set targets and have appraisals
    • Motivate Staff through:
    • Bonuses and financial rewards
    • Employee of Month
    • Team building/social events
  • Appraisal
    • Assessment of staff performance
    • Uses Appraisal form then interview
    • Job focus = Looks for success in meeting goals and targets
    • Person focus = looks for person’s skills and qualities
    • Problems:
    • Difficult to measure
    • Personality clashes
  • Reasons for Appraisal
    • To identify future training needs
    • Consider individual’s development needs
    • Improve employee performance
    • Provide feedback on performance
    • Identify promotion hopefuls
  • Keeping Personnel Records
    • Keeps personal info on every employee
    • Includes info on appraisals, training etc…
    • Conforms to the Data Protection Act
  • Uses of Records
    • Key Fields: Unique identifiers like National Insurance Number (Glasgow City Council uses this)
    • Attendance
    • Discipline
    • Performance
    • Communicating (Correspondence)
    • Selection of staff (promotion, training, teams, specific jobs)
  • Recap…
    • Staff Development
    • Appraisal
    • Reasons for Appraisal
    • Keeping Staff Records
    • Use of Records
  • Today…
    • Employee Relations
    • Trade Unions
    • Trade Union Aims
    • Collective Bargaining
    • Grievance
    • Discipline
  • Employee Relations
    • “ The formal relationship between employees and employers”
  • Trade Unions
    • Organisation representing workers re: pay negotiations, working conditions, dismissal, redundancy
    • Collective bargaining is the basis of unions, whereby a group of workers stand a better chance to negotiate
    • Trade Unions are funded by annual subscriptions by its members
  • Trade Union Aims
    • To improve pay of its members
    • Improve working conditions
    • Support training & development of members
    • Ensure members’ interests are considered by employers
  • Collective Bargaining
    • Begins with a change in existing contracts
    • Employers make offer to employee reps
    • Reps tell members & counter-claim occurs
    • Negotiations begin
    • Eventually a compromise is usually reached
  • Grievance
    • Grievance is a complaint by employee against employer
    • Can be taken up by:
    • Industrial tribunal
    • ACAS
    • Trade Union
  • Discipline
    • Discipline procedures are taken against employee by employers
    • Employees must be aware of rules
    • verbal & written warnings given for breaking rules
    • Suspensions can follow then dismissal
  • Recap…
    • Employee Relations
    • Trade Unions
    • Trade Union Aims
    • Collective Bargaining
    • Grievance
    • Discipline
  • Today…
    • ACAS
    • Negotiation
    • Consultation
    • Arbitration
    • Works Councils
    • Industrial Action
  • ACAS – Advisory, Conciliation & Arbitration Service
    • Provides impartial information to people with problems at work
    • Prevents & resolves problems at work
    • Settles complaints about employee’s rights
    • Run workshops & seminars on latest employment issues & legislation
  • Processes
    • Negotiation
    • Consultation
    • Arbitration
  • Negotiation
    • Its purpose is to reach an agreement, but needs some middle ground between the two positions held.
    • Success of the firm should benefit both employee as employers, so it is in their best interests to come to a settlement.
    • Employers and employees discuss matters that are important to both of them in order to come to an agreement. It also involves compromise.
  • Consultation
    • Informing employees of new rules and regulations that are being brought in is consultation.
    • The changes may have been forced upon the firm by the Government, therefore no agreement is necessary and employees views are not needed to be taken into account.
    • Final decision lies with the organisation.
  • Arbitration
    • When no agreement occurs, then a third party, an independent arbitrator such as ACAS is called in.
    • Arbitrators are neutral and unbiased and will listen to both sides and offer a fair and practical solution.
    • Binding arbitration is when both sides agree to go with the decision of the third party.
  • Works’ Councils
    • They are set up by an organisation and contains the same amount of employees and employer representatives
    • Groups meet to discuss any proposed changes before they are implemented.
    • Decisions reached by the council are usually accepted by the workforce as their representatives have been involved.
  • Industrial Action
    • Employee Action
    • Sit in
    • Overtime ban
    • Work to rule
    • Go slow
    • Strike
    • Employer Action
    • Withdrawal of overtime
    • Lock out
    • Closure
  • Recap…
    • ACAS
    • Negotiation
    • Consultation
    • Arbitration
    • Works Councils
    • Industrial Action
  • Today… Legislation
    • Sex Discrimination Act 1975
    • Race Relations Act 1976
    • Employment Rights Act 1996
    • Equal Pay Act 1970
    • Office, Shops and Railway Premises Act 1963
    • Health and Safety at Work Act 1974
  • Sex Discrimination Act (1975)
    • Illegal to discriminate against employee or job applicant on grounds of gender or marital status
  • Race Relations Act (1976)
    • Illegal for employers to discriminate against employee or job applicant on grounds of ethnic background
  • Employment Rights Act (1996)
    • Covers:
    • Unfair dismissal
    • Redundancy
    • Maternity leave
  • Equal Pay Act (1970)
    • Pay conditions must be equal for employees of the opposite sex who are performing same work
  • Health & Safety at Work Act (1974)
    • Covers:
    • Working conditions
    • Provision of safety equipment
    • Workplace hygiene
  • Office, Shops and Railway Act
    • Covers:
    • Operating dangerous machinery
    • Seating & Storage space
    • Lighting
    • Fire
    • Temperature/ventilation
    • Premises, Toilets etc…
    • Not all workers like freedom and responsibility. Some like to be told what to do.
  • What are the main objectives of HRM?
  • Describe Maslow’s hierarchy of needs and describe how they are satisfied through employment
  • Describe 3 strategies that could be employed to increase employee motivation
  • Describe how the structure of the workforce has changed in recent years
  • Describe the growing importance of women at work, and identify the issues that HRM are having to face
  • What problems have been presented to firms who have reduced their core workforce?
  • Describe the importance of good Human Resource Planning
  • Describe the 5 main roles that the HRM department plays within the organisation
  • Identify the first 3 stages in the recruitment process
  • Describe the advantages and disadvantages for both internal and external recruitment
  • Explain what procedures are involved in the selection process
  • Identify and describe the different methods of training available to the organisation
  • Describe the benefits of a staff development policy
  • Identify the main institutions involved in employee relations
  • Describe the stages in the employee relations process
  • Identify two methods for the successful management of employee relations
  • What should a contract of employment include?
  • What information should be contained in personnel records?
  • Identify the major pieces of legislation of concern to HRM departments