Mhr 2


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Mhr 2

  1. 1. MANAGING HUMAN RESOURCE Submitted by: Name: Id: 1
  2. 2. Table of Content Executive Summary iii Task 1: Different Perspective of Human Resource Management 4 1.1 Guest’s Model of HRM 4 1.2 Difference between Story’s Definition of HRM, Personnel and IR Practices 5 1.3 Adapting Strategic Approaches to HRM and its Impact on Line Managers 6 Task 2: Ways of Developing Flexibility within workplace 7 2.1 Atkinson’s Model 7 2.2 Types of Flexibility that enhances Productivity 8 2.3 Employee and Employer’s perspective of Flexible Working Practices 9 2.4 Impact of Changes in Flexible Working Practices 10 Task 3 Impact of Equal Opportunities in Workplace 11 3.1 Different Forms of Discrimination in Workplace 11 3.2 Practical Implication of Equal Opportunities Legislation 11 3.3. Difference between Managing Equal Opportunities and Managing Diversity 12 Task 4: Approaches to Human Resource Practice 13 4.1 Different Methods of Performance Management 13 4.2 Approaches of Managing Employee Welfare 14 4.3 Implication of Health and Safety Legislation on Human Resources Practices 15 4.4 Impact of Topical Issues on HR Practices 15 Conclusion 16 References 17 2
  3. 3. Executive Summary Human Resource Management (HRM) is the process of attracting, developing and maintaining a talented and energetic workforce to support organisational mission, objectives and strategies. It isa distinctive approach to employment management which seeks to achieve competitive advantage through the strategic deployment of a highly committed and capable workforce, using an integrated array of cultural, structural and personnel techniques. Human Resources Management trains and motivates the employees by communicating ethical policies and socially responsible behavior to them. In doing so, it plays a significant role in clarifying the organization's problems and providing solutions, while making employees working more efficiently. Modern organizations can survive in the dynamic, competitive environment of today only if they capitalize on the full potential of each employee. Facts and figures are the quantitative elements of successful management, yet the qualitative aspects are those that actually make or break an organization. Successful companies are those that consider their human capital as their most important asset. 3 iii
  4. 4. 4 Task 1: Different Perspective of Human Resource Management 1.1 Guest’s Model of HRM A second ‘soft’ HRM model came from David Guest in 1987. Guest argued that HRM in theUK should be about designing policies and practices to achieve four main outcomes:  Strategic Integration  High Employee Commitment to the Organization  High Workforce Flexibility and Adaptability  High Quality Workforce Guest’s Model is quite similar to Harvard. Both Models emphasizes on the needs of the employees for successfully running an organization. Guest indicated the progress towards HRM in UK is slow and ‘Crab-Like”. These four outcomes will lead to the following desirable organizational outcomes:  High Job Performance  Stronger Problem Solving  Greater change consistent with strategic goals and improved cost effectiveness  Reducing employee turnover, absences and grievances Unilever is one of the Multinational Companies that operate business with the vision to decouple growth from environmental impact, while at the same time increasing positive social impact. Unilever’s HR policies incorporate Guest’s model of HRM by complying it with the firm’s main policy and mission and creating, ensuring such working conditions where the employees are motivated to upgrade the performances that conforms to the core business value and objectives. 4
  5. 5. 1.2 Difference between Story’s Definition of HRM, Personnel and IR Practices HRM Personal Management Industrial Relations Human resource management Personnel Management is that Industrial relation is the is a distinctive approach to part of management concerned correlation and co-operation employment which management with people at work and with between the management and seeks to obtain their relationships within a the workforces. competitive advantage through firm. (Rea, 1972). the strategic development of a highly committed and skilled work force, using on array of culture, structure personnel and technique.” (Armstrong M, 1999) It focuses on development and It focuses on increasing the It focuses on building and application of different HR efficiency in Personal Job maintaining practices to achieve its along with organizational goals by using performance cooperation increasing employee, management and (Guest, D.E, government. the available resources like 1999). staff, employees, customers, suppliers (Guest D.E, 1987). Unilever incorporates Experts, Unilever undertakes Customers, their suppliers and training, many It is a broader concept. guidelines, Unilever always focuses to employees in their Sustainable experiences to increase the maintain a good cooperation Living Plan productivity employees of their between the labor union and the management. 5
  6. 6. 1.3 Adapting Strategic Approaches to HRM and its Impact on Line Managers Humanresource management is an ongoing process of selecting, recruiting, training anddevelopment of employee in the organization. HR strategy will express the intentions of theenterprise about how it should manage its human resources. These intentions provide thebasis for plans, developments and programs for managing change. Unilever applies variousHR policies to ensure the performance and enhance the productivity of the employees. Thefollowing strategies may help the Line Managers in Unilever to cope with its organizationalgoals. Reward Strategy: A reward strategy will be concerned with:  Developing a high performance-oriented culture.  Underpinning the organization’s values, especially those relating to excellence, innovation, performance, teamwork and quality  Conveying a message to prospective high-caliber employees that the organization will satisfy their reward expectations  Linking reward policies, systems and procedures to the key business and human resource strategies for innovation, growth, development and the pursuit of excellence  Indicating to existing employees what types of behavior will be rewarded and how this will take place, thus increasing motivation and commitment and improving performance Human Resource Development and Training Strategy: A Human Resource development strategy is concerned with the long-term programsneeded by an organization to improve operational performance at all levels, inaccordance with the additional demands which the business strategy will place on peoplein the future. The strategy will provide continuous development processes linked closelywith the programs designed for the organization as a whole to implement its product,technology and market development strategies (Dessler C, 2006). 6
  7. 7. Motivation Strategy Motivation Strategy will refer to the performance management and reward systems, andin particular to the type and scale of financial incentives which are to be provided. It willalso be concerned with other processes which should yield favorable attitudes, includingjob design, participation, joint objective setting, career development, and any otherprocesses relating to the individual’s need to achieve and maintain a sense of personalworth and importance. Task 2: Ways of Developing Flexibility within workplace 2.1 Atkinson’s Model The concept of a “flexible firm” proposed by John Atkinson in 1985 recognizes that organizations will require enhanced flexibility to meet ever evolving market and competitive pressures. In other words it is a concept of simply integrating flexible conditions into the administration an organization’s functional operations, in order to meet the demands of a highly competitive market and attain its strategic aims and goals (Hoque, K. and M. Noon, 2001). Flexibility is a calculated risk utilized by organizations to survive and gain strategic competitive advantage. Atkinson’s model for labour flexibility included “core” workers and “peripheral” workers. Core Workforce: it refers to the full time employees who serve their organization with functional flexibility. They are highly skilled and their expertise is highly useful in the period of emerging technological product or market changes Peripheral Workforce: It normally refers to those workforces who work part-time or works temporary or contractual basis in an organization. 7
  8. 8. 2.2 Types of Flexibility that enhances Productivity The ability of an organisation to respond to environmental and business pressures by adapting the size, composition, cost and responsiveness of human resources is known as flexibility (Legge K, 1989). According to Atkinson (1984) four types of flexibility can be used for bringing equilibrium in Unilever workforce. A. Functional Flexibility It relies on extensive training and thus it is likely to be pursued when there is no longer a stable relationship between employees and the organization which allows employees to combine skills and competencies in order to increase their mobility across the various channels of production B. Numerical Flexibility It refers to the possibility of the organization to adapt the number of its labor on a shortnotice, increasing or decreasing it as it sees fit Varying employee numbers can be achieved by hiring temporary agency workers and employing people on fixed-term contracts. C. Temporal Flexibility It refers to shifting working hours to meet production demands. This can include things such as working overtime and spreading the working hours unevenly over a period of time depending on fluctuations in production D. Financial Flexibility Numerical flexibility allows management to match the need for workers with the number employed and this can be achieved through the use of a variety of short term employment arrangements that include: short term contracts, part-time employment, job sharing, and self-employment. 8
  9. 9. 2.3 Employee and Employer’s perspective of Flexible Working Practices Workplace Flexibility 2010 defines a “flexible work arrangement” (FWA) as any one of a spectrum of work structures that alters the time and/or place that work gets done on a regular basis (Armstrong M ,1999). A flexible work arrangement includes:  Flexibility in the schedulingof hours worked, such as alternative work schedulesand arrangements regarding shift and break schedules  Flexibility in the amountof hours worked, such as part time work and job shares; and  Flexibility in the placeof work, such as working at home or at a satellite location. Some of the recent practices of workforce flexibility from both the employee and employer perspective are given below: Flex time: Flex time is an arrangement where employees work a full day but they can vary their working hours. These arrangements are usually established with specific guidelines so that a "core" working day exists. Compressed Workweeks:Workers must work 40 hours per week. Workers work full time hours in less than the traditional 5-day workweek by increasing daily hours worked. Shift Arrangement: Workers who are assigned shifts by their employers enter into arrangements with their employers giving them more flexibility regarding the shifts they are assigned. Part-Time Work: Workers who usually work less than 35 hours per week. 9
  10. 10. Job Share: Job sharing occurs when two or more people share one or more positions or set of duties. It should be clear before starting how these arrangements affect pay, benefits, and holidays. Telework/Homework: Workers work remotely from their own homes, using a telecommunications connection to the workplace if necessary. 2.4 Impact of Changes in Flexible Working Practices One of the challenges of implementing flexible work arrangements is proving that they make a positive impact on the business. Perhaps the single most cited reason for introducing a flexible work environment is employee retention. Indeed, many businesses contend that the recent trend toward flextime and other programs has made it necessary for them to introduce their own programs or risk losing valued employees Flexible working practice actually has a positive impact on the productivity of employees. Employees who are better able to attend to family needs through flex-time are more likely to be contented and productive, while good employees who telecommute may get even more work done if they are freed up from office interruptions. Business can also use flexible programs to address institutional problems. For instance, a smallor mid-sized business that is crammed into a small facility or office may want to explore telecommuting programs in order to relieve the situation without resorting to an expensive relocation or expansion. Flexibility brings can take different forms like wage flexibility, geographical flexibility and contractual flexibility that allows employees to enhance their productivity along with ensuring required customized facilities that directs the organizations to achieve its goal. 10
  11. 11. Task 3: Impact of Equal Opportunities in Workplace 3.1 Different Forms of Discrimination in Workplace According to International Labor Organization ( ILO, 2012) there are different forms of discrimination in workplace which take in the forms of age, gender, race, religion that creates inequality. As a result workforce become demotivated and inefficient this hampers the overall productivity of the organizations. Age based discrimination:Age discrimination involves treating someone (an applicant or employee) less favorably because of his age. An employment policy or practice that applies to everyone, regardless of age, can be illegal if it has a negative impact on applicants or employees age 40 or older and is not based on a Reasonable Factor Other than Age (RFOA). Discrimination in Compensation: In order to provide productive working environment, HR policies should design ensuring there is no discrimination in compensation among man and woman, senior or junior. Religion related discrimination: Religious discrimination involves treating a person (an applicant or employee) unfavorably because of his or her religious beliefs. An employee cannot be forced to participate (or not participate) in a religious activity as a condition of employment. 3.2 Practical Implication of Equal Opportunities Legislation In Modern time every organization is trying to provide equal opportunities to each employee to in order to reduce discrimination so that organizations can meet its desired goal. This will motivate the employees; hence result in increased performance which will match the job parameter according to the HR policy. Organizations can provide equal opportunity by conducting the following tasks. 11
  12. 12.  Implement the organization's EEO and harassment policies and make sure that the policies are clear to all staff  encourage an environment in which all employees will feel comfortable  Equal salary, promotional opportunities  make sure that all staff are aware of the existence of the grievance procedures and that they are confidential 3.3. Difference between Managing Equal Opportunities and Managing Diversity Diversity management refers to the voluntary organizational actions that are designed to create greater inclusion of employees from various backgrounds into the formal and informal organizational structures through deliberate Policies and programs (Colling T,1995) Factors Managing Equal Opportunities Managing Diversities Driven by External factors Internal factors Rests on Rests on arguments Perceive Equal Opportunities as a cost Managing investment Approach Structure Operational Strategic Concentration on Process Outcomes Emphasizes on Group discrimination Individual differences Supported by Narrow positive Knowledge Base Wider base Suitable for Assimilation Advocate Mainstream adaption advocate Initiatives Group Initiatives Individual Initiatives moral and legal Rests on Business Case Diversity Pluralistic as Knowledge 12
  13. 13. Task 4: Approaches to Human Resource Practice 4.1 Different Methods of Performance Management Performance management is an integral part of the workplace as it provides a platform for supervisors and managers to measure employee performance and determine whether employees are meeting the company's expectations (Story J, 1995). The method of performance measurement varies according to the work environment, type of business and, to some extent, the employee's occupation 360-Degree Feedback: It is a technique which is systematic collection of performance data on an individual group, derived from a number of stakeholders like immediate supervisors, team members, customers, peers and self. Physiological Appraisal:This appraisal method evaluates the employees intellect, emotional stability, analytical skills and other psychological traits. This method makes it easy for the manager in placing the employees in appropriate teams Management By Objective(MBO): This is an objective type of evaluation which falls under modern approach of performance appraisal. In MBO method of performance appraisal, manager and the employee agree upon specific and obtainable goals with a set deadline. With this method, the appraiser can define success and failure easily. Assessment Centers: An assessment center is a central location where managers may come together to have their participation in job related exercises evaluated by trained observers. 13
  14. 14. 4.2 Approaches of Managing Employee Welfare Organizations provide welfare facilities to their employees to keep their motivation levels high. Labor welfare entails all those activities of employer which are directed towards providing the employees with certain facilities and services in addition to wages or salaries. Labor welfare has the following objectives:  To provide better life and health to the workers  To make the workers happy and satisfied  To relieve workers from industrial fatigue and to improve intellectual, cultural and material conditions of living of the workers The employee welfare schemes can be classified into two categoriesa. Statutory Welfare Schemes This Scheme includes facilities like Drinking Water, Facilities for sitting, First aid appliances, Latrines and Urinals, Canteen facilities, Spittoons, Lighting, Washing places, Rest rooms b. Non-Statutory Welfare Schemes It includes Personal Health Care, Flexi-time, Employee Assistance Programs, Harassment Policy, Maternity & Adoption Leave, Medi-claim Insurance Scheme, Employee Referral Scheme 14
  15. 15. 4.3 Implication of Health and Safety Legislation on Human Resources Practices Occupational health and safety legislation regulates the standards of workplace health and safety with the aim to prevent workplace accidents, injuries and diseases, and outlines consequences for breaches of those standards (Hayton, J.C, 2005). It details responsibilities of employers, supervisors, and employees. Generally, the legislation requires that the employer do everything they can reasonably do to protect the health and safety of their employees in the workplace. The Health and Safety at Work Act 1974(abbreviated to "HSWA 1974", "HASWA" or "HASAWA") is an Act of the Parliament of the United Kingdom that as of 2011 defines the fundamental structure and authority for the encouragement, regulation and enforcement of workplace health, safety and welfare within the United Kingdom. 4.4 Impact of Topical Issues on HR Practices With changing retirement ages and an aging workforce, interest is growing on the potential contribution of relevant bundles of HR practices in eliciting well-being and performance among aging workers. When employers try to enhance the productivity, recruit employees effectively, arrange training session and try to remove discrimination, HR topical issues arises. HR issues commonly experienced by employers include  Establishing Productivity  Recruiting Employees  Arranging and Carrying out Training  Preventing Discrimination  Resolving Problems  Keeping Workers safe  Establishing and Distributing Benefits  Encouraging and Maintaining Diversity  Handling Outsourcing 15
  16. 16. Conclusion Human Resources Management (HRM) is the strategic management of the employees, who individually and collectively contribute to the achievement of the strategic objectives of the organization. New challenges arise even now for the organization, and it is certain that new challenges will never cease to emerge. Therefore, the use of proper Human Resources techniques is a really powerful way for organizations to overcome these challenges, and to improve not only their quantitative goals but also their organizational culture, and their qualitative, cognitive aspects. 16
  17. 17. References Armstrong,M (1999).Human resource management : the foundation of human resourcemanagement.Vol,7.p3.15.P13 Colling,T (1995).Experiencing turbulence: Competition, Strategic choice and theManagement human resource in BA.Vol.5.pages.18-35 Dessler.C (2006), Strategic Role of Human Resource Management, Human Resource Management, 10th Edition, pp- 04-05, New Jersey: Pearson Education. Guest, D.E. (1999). Human Resource Management: The Workers’ Verdict, Human ResourceManagement Journal, Vol. 9, No. 2, pp. 5-25 Guest,D.E(1987). Human resource management and industrial relations: Journal ofmanagement studies .Vol 24.issue5 Hayton, J.C. (2005), Promoting Corporate Entrepreneurship through Human Resource Management Practices: A Review of Empirical Research, Human Resource Management Review, 15(1), pp-21-41. Hoque, K. and M. Noon (2001). Counting Angels: a Comparison of Personnel and HRspecialists,Human Resource ManagementJournal, Vol. 11, No. 3, pp. 5-22 John W. (2009) A Chameleon Function? Human Resource Management in the ‘90s, Human resource Management Journal, Vol. 7, No. 3, pp. 5-18 Legge, K. (1989). Human Resource Management: A Critical Analysis, in J. Storey (ed.) EwPerspectives in Human Resource Management, Routledge, London Rea,D(1972).A Contemporary Definition of personnel management, Some of its criticalassumptions and their relevance to the university organization. Storey,J (1995).Is HRM catching on?International journal of manpower.Vol,16.No.4 17