2. • This introductory chapter will
provide you with the basic
concepts of Human Resource
Management.
• We will talk about these three
words;
• Human,
• Resource, and
• Management.
• Then we will talk about HRM as a
science and the history of it.
Outlines
After discussing this unit, you should
understand these topics
2
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3. Let'sbeginwiththefirstword"Human".
• Talking about human from managerial view, we are in the area of Organizational Behavior.
• What is OB?
• What dose it study?
• Is it important?
• All these questions and more will be answered here. Let's go …
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4. OrganizationalBehavior:
• Organizational Behavior (OB) is a field of study that investigates the
impact that individuals, groups, and structure have on behavior within
organizations, for the purpose of applying such knowledge toward
improving an organization's effectiveness.
• What does it study?
• It studies three determinants of behavior in organizations: individuals, groups, and
structure.
• To sum up our definitions,
• OB is concerned with the study of what people do in an organization and how their
behavior affects the organization's performance.
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5. Individualvs.GroupBehavior:
• A. Individual Behavior:
• Individuals are important units of any organization.
• If we understand the behavior of individuals, we can predict the
outcomes; it will become easy to manage the behaviors of individuals in
desirable directions.
• We have to look at three individual variables:
• ability,
• biographical characteristics, and
• learning.
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6. Individualvs.GroupBehavior:(Cnt’d)
• B. Group Behavior:
• Why Do People Join Groups? There is no single reason why individuals
join groups.
• Security reflects strength in numbers.
• Status indicates a prestige that comes from belonging to a particular group.
• Self-esteem conveys people's feelings of self-worth.
• Affiliation with groups can fulfill one's social needs.
• One of the appealing aspects of groups is that they represent power.
• Finally, people may join a group for goal achievement.
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7. Characteristicsofawell-functioning,effectivegroup:
• A group is considered effective if it is having following characteristics.
• Relaxed, comfortable, informal atmosphere.
• Tasks to be performed are well understood & accepted.
• Members listen well & participate in given assignments.
• Clear assignments made & accepted.
• Group aware of its operation & function.
• People express feelings & ideas.
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9. Importanceofeconomicresourcesischangingovertime.
• The first evolution in the human history was agriculture. Agriculture has
changed our way of living.
• Then, manufacturing began to take the top of human thinking.
• The economic resources importance is changing with the change of
human focus.
• At the agriculture leading decades, when the focus was on agriculture, the
most important resources were land and human planting such land.
• Then, at the manufacturing leading decades, when the focus was on
manufacturing, the most important resources were capital and human
investing such capital.
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10. Importanceofeconomicresourcesischangingovertime.(Cnt’d)
• Now, Globalization makes every thing possible.
• When every thing is possible, human resource, and only human resource,
can make a difference.
• A company's competitive advantage is often found in its most valuable
resource–its people.
• The most effective and successful companies today find ways to
motivate, train, compensate, and challenge their employees.
• This is true for all companies, whether they are manufacturing or service
companies, large or small.
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11. Thethirdwordis"Management".
• In this section we will know the basic concepts of management.
• We will know:
• what is management?
• What are management functions?
• Who are managers? And more. Let's go…
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12. Management:
• Management is the process of working with different resources to
accomplish organizational goals.
• Good managers do those things both effectively and efficiently.
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Efficiency:
• A measure of how well
resources are used to
achieve a goal.
“Doing Things Right”
Effectiveness:
• A measure of the
appropriateness of the
goals chosen and the
degree to which they
are achieved.
“Doing the Right Things”
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ManagerialFunctions:
Planning
Organizing
Leading
Controlling
14. ManagerialFunctions:(Cnt’d)
• Planning:
• Establishing goals and standards; developing rules and procedures;
developing plans and forecasting.
• Organizing:
• Giving each subordinate a specific task; establishing departments; delegating
authority to subordinates; establishing channels of authority and
communication; coordinating the work o subordinates.
• Leading:
• Getting others to get the job done; maintaining morale; motivating
subordinates.
• Controlling:
• Setting standards such as sales quotas, quality standards, or production
levels; checking to see how actual performance compares with these
standards; taking corrective action as needed.
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15. Typesofmanagers:
• Manager:
• The member of the organization who participates in the management
process by planning, organizing, leading, or controlling the organization's
resources.
• There are three types of managers:
• Strategic Managers: They are the senior executives of an organization and are
responsible for its overall strategy.
• Tactical Managers: They are responsible for translating the general goals and
plans developed by strategic managers into objectives that are more specific and
activities.
• Operational Managers: They are lower-level managers who supervise the
operations of the organization. These managers often have titles such as supervisor
or sales manager.
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16. Managerialskills:
• Managers need three basic sets of skills:
• Technical Skills: The skills that include knowledge of and proficiency in a certain
specialized field Managers need to be technically competent.
• Line managers need this skill the most while top manager will need minimum of
technical skills.
• Interpersonal Skills/Human Skills: Interpersonal skills include the ability to work
well with other people both individually and in a group.
• Human skills are very important at each level of management.
• Conceptual Skills: Conceptual skills include the ability to think and to conceptualize
about abstract and complex situations, to see the organization as a whole, and to
understand the relationships among the various subunits, and to visualize how the
organization fits into its broader environment.
• Top mangers/CEO needs this type of skill the most.
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18. ThehistoryofHRManditsnewroles
• Now, after discussing Human, Resource, and Management, we are ready to begin our Human Resource
Management course.
• The following section is a separate one for the history of HRM and its new roles
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19. HumanResourceManagement:
• The policies and practices involved in carrying out the " people " or
human resource aspects of a management position, including Planning,
recruiting, screening/selecting, training, rewarding, and appraising.
• Human Resource Management (HRM) historically known as personnel
management, deals with formal system for the management of the
people within the organization.
• HR mangers have many concerns regarding their workers. These
concerns include:
• how to mange layoffs/unemployment,
• Address/handle reduced employee loyalty,
• create a well trained highly motivated work force that can deliver higher
quality and productivity.
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20. StrategicHRM:
• A group of people becomes an organization when they cooperate with
each other to achieve common goals.
• Communication among them is therefore important.
• But people have individual motivations, which often differ, from the
corporate goals.
• Employers therefore increasingly view human resource management
from a strategic perspective.
• As long as organizations are based upon the coordinated action of two or
more people, management is by definition human resource management.
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21. FromPersonnelManagementtoHRM:
• Shift from personnel management to HRM took place in three stages:
• Records and Administration
• In first stage the primary activities, which were carried out by personnel
department, were, Planning Company picnics Scheduling vacations, Enrolling
workers for health-are coverage, Planning retirement parties.
• Accountability Regulations
• During this stage primary framework of rules and regulations started emerging.
• Competitive Advantage
• It emphasizes strategy and planning rather than problem solving and mediation,
so that employee cooperation is delivered by program of corporate culture,
remuneration/compensations packaging, and team building and management
development for core employees, while peripheral/secondary employees are kept
at arm's length.
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22. ThechangingroleofHRM:
• Personnel first took over hiring and firing from supervisors,
payroll/salaries, and benefit plans administration.
• As technology in areas like testing and interviewing began to emerge, HR
department began to play an expanded role in selection, training, and
promotion.
• The emergence of union legislation in the 1930s added “protecting the
firm in its interaction with unions” responsibilities (labor relations).
• Assumed organizational responsibilities for equal employment and
affirmative/positive action.
• Today globalization changed how companies organize, manage, and use
their HR department.
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