Good for intro to Human Resource Management

1. PowerPoint Presentation by Charlie Cook
The University of West Alabama
1
Human Resource
Management
ELEVENTH EDITION
G A R Y D E S S L E R
© 2008 Prentice Hall, Inc.
All rights reserved.
Introduction to Human Resource Management
Chapter 1
Part 1 | Introduction

2. © 2008 Prentice Hall, Inc. All rights reserved. 1–2
After studying this chapter, you should be able to:
1. Explain what human resource management is and how
it relates to the management process.
2. Give at least eight examples of how all managers can
use human resource management concepts and
techniques.
3. Illustrate the human resources responsibilities of line
and staff (HR) managers.
4. Provide a good example that illustrates HR’s role in
formulating and executing company strategy.
5. Write a short essay that addresses the topic: Why
metrics and measurement are crucial to today’s HR
managers.
6. Outline the plan of this book.

3. Introduction
• Competitiveness – a company’s ability
to maintain and gain market share
• Human resource management – the
policies, practices, and systems that
influence employees’ behavior,
attitudes, and performance includes
recruiting, selecting, training ,
screening rewarding &apprising
.

4. Responsibilities of HR
Departments
• Employment and recruiting
• Training and development
• Compensation
• Benefits
• Employee services
• Employee and community
relations
• Personnel records
• Health and safety
• Strategic planning

5. What Roles Do
HR Departments Perform?
Administrative
Services and Transactions
Compensation, hiring &staffing
Business
Partner Services
Systems, practices ,actions
Strategic Partner based on
human Capital and
business capital
Human
Resources

6. How is the HRM Function Changing?
• Time spent on administrative tasks is decreasing
and its roles as a strategic business partner,
change agent, and employee advocate are
increasing
• This shift presents two important challenges:
Self-service – giving employees online access
to information about HR issues
Outsourcing – the practice of having another
company provide services

7. © 2008 Prentice Hall, Inc. All rights reserved. 1–7
The Management Process
Planning
Goals& Standards
Organizing
Tasks& Department
Leading
Influencer&
motivating
Staffing
Hired& selecting
Controlling
Standards&Perf
ormance

8. © 2008 Prentice Hall, Inc. All rights reserved. 1–8
Human Resource Management at Work
• What Is Human Resource Management
(HRM)?
 The process of a management position, including
recruiting, screening, training, rewarding, and
appraising.

9. © 2008 Prentice Hall, Inc. All rights reserved. 1–9
Human Resource Management Process at
Work
Acquisition
Training
Appraisal
Compensating
Labor Relations
Health and
Safety
Fairness
Human
Resource
Management
(HRM)

10. © 2008 Prentice Hall, Inc. All rights reserved. 1–10
Personnel Aspects of a Manager’s Job
• Conducting job analyses
• Planning labor needs and recruiting job candidates
• Selecting job candidates
• Orienting and training new employees
• Managing wages and salaries
• Providing incentives and benefits
• Appraising performance
• Communicating
• Training and developing managers
• Building employee commitment

11. © 2008 Prentice Hall, Inc. All rights reserved. 1–11
Personnel Mistakes
• Hire the wrong person for the job
• Experience high turnover
• Have your people not doing their best
• Waste time with useless interviews
• Have your company in court because of discriminatory actions
• Have your company cited by OSHA for unsafe practices
• Have some employees think their salaries are unfair and
inequitable relative to others in the organization
• Allow a lack of training to undermine your department’s
effectiveness
• Commit any unfair labor practices

12. © 2008 Prentice Hall, Inc. All rights reserved. 1–12
Basic HR Concepts
• The bottom line of managing:
Getting results
• HR creates value by engaging
in activities that produce the
employee behaviors that the
company needs to achieve
its strategic goals.

13. © 2008 Prentice Hall, Inc. All rights reserved. 1–13
Line and Staff Aspects of HRM
• Line manager
 A manager who is authorized to direct the work of
subordinates and is responsible for accomplishing
the organization’s tasks.
• Staff manager
 A manager who assists and advises line managers.

14. © 2008 Prentice Hall, Inc. All rights reserved. 1–14
Line Managers’ HRM Responsibilities
1. Placing the right person on the right job
2. Starting new employees in the organization (orientation)
3. Training employees for jobs that are new to them
4. Improving the job performance of each person
5. Gaining creative cooperation and developing smooth working
relationships
6. Interpreting the firm’s policies and procedures
7. Controlling labor costs
8. Developing the abilities of each person
9. Creating and maintaining department morale
10. Protecting employees’ health and physical condition

15. © 2008 Prentice Hall, Inc. All rights reserved. 1–15
Human Resource Managers’ Duties
Functions of
HR Managers
Line Function
Line Authority his dpt
Implied Authority
Staff Functions
Staff Authority
Assists & advise hiring
training ,rewarding
Coordinative
Function
Functional Authority
right arm to GM

16. © 2008 Prentice Hall, Inc. All rights reserved. 1–16
Human Resource Specialties
Recruiters
Qualified job
applicants
EEO Coordinators
Org. Practices
Violations
Labor Relations
Specialists
Advise management on
UMR
Training Specialists
Plan, organize &
direct
Job Analysts
Information for job
descriptions
Compensation
Managers
Human
Resource
Specialties

17. © 2008 Prentice Hall, Inc. All rights reserved. 1–17
FIGURE 1–2 HR Organizational Chart (Small Company)

18. © 2008 Prentice Hall, Inc. All rights reserved. 1–18
The Changing Environment of
Human Resource Management
Globalization Trends
Technological Trends
Trends in the Nature of Work
Workforce Demographic Trends
Changes and Trends
in Human Resource
Management

19. The Changing Environment of HR
Management :Globalization Trends
© 2008 Prentice Hall, Inc. All rights reserved. 1–19
1. Globalization refers to the tendency of firms to
extend their sales, ownership, and/or
manufacturing to new markets abroad.
1. Globalization of the world economy and other
trends has triggered changes in how companies
organize, manage and use their HR
departments.
1. More globalization means more competition,
and more competition means more pressure to
lower costs, make employees more productive,
and do things better and less expensively.

20. The Changing Environment of HR
Management :Technological Trends
© 2008 Prentice Hall, Inc. All rights reserved. 1–20
1. Virtual online communities, virtual design
environments and Internet-based distribution
systems have enabled firms to become more
competitive.
1. HR faces the challenge of quickly applying
technology to the task of improving its own
operations.

21. The Changing Environment of HR
Management :Trends in the Nature of Work
© 2008 Prentice Hall, Inc. All rights reserved. 1–21
- Jobs are changing due to new technological demands.
-Dramatic increases in productivity have allowed manufacturers to
produce more with fewer employees
- Nontraditional workers, such as those who hold multiple jobs, part-time
workers, or people working in alternative work arrangements, enable
employers to keep costs down.
1. High-Tech Jobs – More jobs have gone high tech, requiring workers to
have more education and skills.
2. Service Jobs – Most newly created jobs are and will continue to be
in the service sector.
3. Human Capital - refers to the knowledge, education, training, skills,
and expertise of a firm’s workers The HR function must employ more
sophisticated and creative means to identify, attract, select, train and
motivate the required work force

22. The Changing Environment of HR
Management :Workforce Demographic
Trends
© 2008 Prentice Hall, Inc. All rights reserved. 1–22
1. The labor force is getting older and more multi-
ethnic.
2. The aging labor force presents significant changes in
terms of potential labor shortages, and many firms are
instituting new policies aimed at encouraging aging
employees to stay, or at attracting previously retired
employees.
3. Growing numbers of workers with eldercare
responsibilities, and high rates of immigration also
present challenges and opportunities for HR
managers.

23. © 2008 Prentice Hall, Inc. All rights reserved. 1–23
The Changing Role of
Human Resource Management
New
Responsibilities
for HR Managers
Measuring the HRM
Team’s Performance
Managing with the
HR Scorecard
Process
Creating High-
Performance Work
Systems
Strategic Human
Resource
Management

24. The Changing Role of HR Management
© 2008 Prentice Hall, Inc. All rights reserved. 1–24
Strategic HRM ;
1. Management expects HR to provide
measurable, benchmark-based evidence
for its current efficiency and effectiveness
of new or proposed HR programs.
2. Management expects solid, quantified
evidence that HR is contributing in a
meaningful and positive way to achieving
the firm’s strategic aims.

25. © 2008 Prentice Hall, Inc. All rights reserved. 1–25
Creating High Performance Work Systems (HPWS)
HR can impact organizational performance in 3 ways:
1. through the use of technology many HR tasks (payroll,
reference checks, wellness programs, etc.) are being
outsourced to specialist service providers.
2. through effective HR practices Pre-employment personality
testing and increased training are just two HR practices that
can produce employees who perform better.
3. High Performance Work Systems – Employment security,
selective hiring, extensive training, self managed team and
decentralized decision making, information sharing, contingent
rewards, Implementation of such practices often results in
surprising benefits.
such practices often results in surprising benefits.

26. Measuring the HR Management Team’s
Performance
© 2008 Prentice Hall, Inc. All rights reserved. 1–26
1. HR managers need a set of quantitative
performance measures (metrics) they can use
to assess their operations.
2. These metrics allow managers to measure
their HR units’ efficiency.

27. © 2008 Prentice Hall, Inc. All rights reserved. 1–27
Managing With the HR Scorecard :
The HR Scorecard is a concise measurement
system, showing quantitative standards or
“metrics”
1. used to measure HR activities, employee
behaviors resulting from these activities,
2. and to measure the strategically relevant
organizational outcomes of those employee
behaviors.
3. The scorecard highlights the causal link
between HR activities, emergent employee
behaviors, and the resulting firm-wide
strategic outcomes and performance

28. © 2008 Prentice Hall, Inc. All rights reserved. 1–28
FIGURE 1–5 Five Sample HR Metrics
HR Metric* How to Calculate It
Absence rate # of days absent in month
× 100
Average # of employees during month × # of workdays
Cost per hire Advertising + agency fees + employee referrals + travel cost of
applicants and staff + relocation costs + recruiter pay and benefits
Number of hires
HR expense
factor
HR expense
Total operating expense
Time to fill Total days elapsed to fill job requisitions
Number hired
Turnover rate Number of separations during month
× 100
Average number of employees during month
Sources: Robert Grossman, “Measuring Up,” HR Magazine, January 2000, pp. 29–35; Peter V. Le Blanc, Paul Mulvey, and Jude T. Rich, “Improving the Return on Human Capital: New Metrics,”
Compensation and Benefits Review, January/February 2000, pp. 13–20; Thomas E. Murphy and Sourushe Zandvakili, “Data and Metrics-Driven Approach to Human Resource Practices: Using
Customers, Employees, and Financial Metrics,” Human Resource Management 39, no. 1 (Spring 2000), pp. 93–105; [HR Planning, Commerce Clearing House Incorporated, July 17, 1996;]
SHRM/BNA 2000 Cost Per Hire and Staffing Metrics Survey; www.shrm.org. See also, SHRM Research “2006 Strategic HR Management Survey Report,” Society for Human Resource Management..

29. © 2008 Prentice Hall, Inc. All rights reserved. 1–29
The Human Resource Manager’s
Proficiencies
• New Proficiencies
 HR proficiencies represent knowledge and skills in
the area such as selection
 Business proficiencies Hr Manager should be
strategists thinking
 Leadership proficiencies ability to work and lead
management group
 Learning proficiencies ability to apply new
technology and practices

30. © 2008 Prentice Hall, Inc. All rights reserved. 1–30
FIGURE 1–8 Strategy and the Basic Human Resource Management Process

31. © 2008 Prentice Hall, Inc. All rights reserved. 1–31
K E Y T E R M S
management process
human resource management
(HRM)
authority
line manager
staff manager
line authority
staff authority
implied authority
functional control
employee advocacy
globalization
human capital
strategy
strategic plan
metrics
HR Scorecard
outsourcing
ethics
strategic human resource
management
high-performance work system