Training Presentation on Human Resource Management with basic approaches and theories for Students and professionals to understand the basic concept of HRM.

1. Human Resource Management
Approaches/Theories
Muhammad Bilal Kayani

2. • Two Truths & a Lie'.
Audience has a A4 paper which they write
down their Name, organization & two truths
and one lie about themselves. Papers are
exchanged and then read out loud where
audience tries to guess the lie.

3. • What does your organization do?
• How many staff does your organization
employ?
• What are your expectations for this
workshop?

5. •According to Adi Godrej,
“all corporate strengths are
dependent on people.”

6. What is Management
?????

7. What is human resourceWhat is human resource
management?management?
Definition of HRM:
Human resource management is to make
the most productive use of human
resource to the greatest benefits of the
organization and individuals.
Organization: profits and social
commitments.
Individuals: development and
achievement.

8. The importance of HRMThe importance of HRM
(1) People is the key factor of production.
(2) Productivity is the key to measure a nation’s
economic growth potential, and labor quality is
the key to improving productivity.
(3) Competition today is the competition for talents.
(4) Since man is the most uncontrollable and
unpredictable variable of all production variables,
organizational success depends on the
management of people.

9. Organization and individual
(1) Organization needs: Profits, productivity and
markets.
(2) Individual needs: Maslows Need Hierarchy
Physiological needs, security, belonging, self-
respect and self-actualization.
(3) Coordinating organization and individual needs:
goal of HRM.

10. People and productivityPeople and productivity
(1) Productivity: the measurement of economic
growth potential.
(2) Productivity formula: input : output
(3) Measurement of productivity:
a. Productivity of worker is the output per hour.
b. Productivity of equipment is the output per every
dollar invested.
c. Productivity of energy is the output per every unit
of energy consumed.

11. Functions of HRM
a. Conducting job analysis.
b. Planning future needs and supplies.
c. Recruiting and selecting employees.
d. Orienting and training employees.
e. Managing wages and benefits.
f. Performance appraisal.
g. Communicating (discipline and services).
h. Building employee commitment
(incentives).

12. Evolution of HRM in the west
(1) Industrial Revolution:
a. Adam Smith: specialization and division of labor.
b. Robert Owens: Pioneer of HRM, performance
appraisal and pay for performance (fair treatment
of employees)

13. Scientific Management
Frederic Taylor: Father of scientific
management
a. Definition:
Systematic analysis and breakdown of
work into the smallest mechanical
components and rearranging them into the
most efficient combination.
b. Steps:
Job analysis—selection—training—rewards.

14. Industrial Psychology
a. Hneri Fayol’s management functions:
Planning, organizing, communicating, coordina-
ting and controlling.
b. F. & L. Gilbreth’s principles of work simplification
(time and motion studies).
c. Henry Gantt’s principles of work scheduling.
d. Continuation of scientific management.

15. Human Behavior and Relations
a. The Hawthorne Studies by Westing House
The happy workers are the most productive
workers. (The Pet Milk theory)
b. Max Weber: the Ideal Bureaucracy.
c. Chris Argyris: Individual and organization—mutual
adjustment.
d. Affected by the theories of behavioral science and
system theory.

16. Theories
Maslow’s Hierarchy of Needs
Physiological
(Air, food, water, etc.)
Safety
(Security & shelter)
Social
(Company and acceptance of others)
Esteem
(Recognition from others)
Self-Actualization
(Self-fulfillment)

17. McClelland’s Need for Achievement
Theory
People with a high need for achievement (high n’Ach) will put more
effort into work than people without this need (low n’Ach)
High n’Achs tend to desire high levels of achievement whereas low
n’Achs tend to only avoid failure
Low n’Achs can be trained to develop a need for achievement

18. MacGregor’s Theory X
and Theory Y
Theory X Personality
•Negative view
•Pessimist
•Little ambition
•Generally dislikes work
•Avoids responsibility
•Needs constant supervision
Theory Y Personality
Positive
Primarily optimistic
Enjoys working
Seeks out responsibility
Needs little supervision
High level of ambition

19. Equity Theory
Equity Theory: Motivation theory based on the social
comparison process of examining the ratio of inputs
and outcomes between oneself and a comparison other.
Person compares themselves with Other
Person perceived what they input into job
Person perceives what they benefit from job
Person compares input-benefit ratio of him/herself to
Other
Adams (1965)

20. Equity Theory
Equity occurs when each person has equal
ratios (e.g., 50:50)
Underpayment equity: The sense of unfairness derived from the perception that the
ratio of one’s own inputs and outcomes is lower than the ratio of a comparison other.
Overpayment equity: The sense of unfairness derived from the perception that the ratio
of one's own inputs and outcomes is greater that the ration of comparison other.
other’s-outcomes
other’s-inputs
self-outcomes
self-inputs
vs

21. Locke’s Goal-Setting Theory
• People set goals for themselves and they are
motivated to work toward these goals because
achieving them is rewarding
• Goals affect task performance by
• directing attention and action,
• mobilizing energy expenditure or effort,
• prolonging effort overtime (persistence)
and
• motivating the individual to develop
relevant strategies for goal attainment

22. • Performance is best when:
– Goals are specific
– Goals are challenging
– Workers have necessary ability
– Rewards are clearly understood and provided
– Management supports goal attainment
– Provides necessary time & resources
– Goals are internalized and accepted by employees
– Feedback is provided
Locke’s Goal-Setting Theory

23. Herzberg’s Two-Factor Theory
• Meeting lower-level needs will prevent workers from becoming
dissatisfied; they do not influence work motivation
• hygiene factors
• e.g., pay, fringe benefits, relations with coworkers, physical
working conditions
• Only conditions that allow people to fill upper-level needs for
esteem and self-actualization will increase work motivation
• Motivator factors
• e.g., level of challenge and discretion, intrinsic interest,
opportunities to be creative

24. Job Characteristics Theory
Core jobCore job
dimensionsdimensions
Task identity
Skill variety
Task significance
Autonomy
Feedback
CriticalCritical
PsychologicalPsychological
statesstates
Experienced
meaningfulness
Experienced
responsibility
Knowledge of results
Personal and workPersonal and work
outcomesoutcomes
Satisfaction
Motivation
Quality of Work
Low turnover and
absenteeism
Growth need strength

25. Approaches to HRM
Hard Human Resource
Management
•Practical Approach
•employees seen as passive
resources
•employees easily disposable
•Weak trade union relationships
•Employees need to be controlled
•Will use confrontation to initiate
policy if necessary
Soft Human Resource
Management
• Stresses the ‘human’ side of HR
• Develops trust and collaboration
• Employees seen as a valuable
asset
• Aims to develop employee
potential to maximize productivity

26. HARD Human Resource
Management
SOFT Human Resource
Management
Time Scale HRM seen as a short-term policy:
employees are hired and fired as
necessary
Takes a long term view of using the
workforce are efficiently as possible
to achieve long term corporate
objectives.
Key Features 1.Employees are Paid As Little as
Possible
2.Employees have limited control over
their working life.
3.Communication mainly downward in
direction.
4.Judgmental Appraisals used
1.Managers consult regularly and
fully with employees.
2.Managers often give control of their
working life to employees through
delegation, empowerment and
delaying.
3.Emphasis on training and
development
4.Employees promoted from within
wherever possible – reflecting the
long-term aim to develop the
workforce.
5.Developmental appraisals given.
Motivational
Techniques
used:
Mainly motivated by Pay, with limited
use of delegation and team working.
Delegation, empowerment.
Extensive use of techniques
designed to give employees more
power.

27. Which approach do you think works best and why? (use
knowledge of motivation)
Does the approach used depend on anything?
Which approach allows the business to achieve HRM
objectives. (think back to last lesson)

28. Thank
you