2. 1-2
CPMK
Capaian Pembelajaran Mata Kuliah
Students are able to identify and design
the concept of a Human Resource
Management Strategy
Sub-CPMK
Understand the scope of Human Resource
Management (HRM)
31. Green HRM
• Green HRM memfasilitasi keterlibatan
karyawan dalam pengelolaan lingkungan, yang
diwujudkan dalam komitmen bersama untuk
mengubah tindakan, guna mendukung
perusahaan dalam upayanya menerapkan
pengelolaan lingkungan.
1-31
32. Pentingnya Green HRM
1. Meningkatkan efesiensi dan efektifitas
karyawan
2. Mengurangi biaya dan keterlibatan karyawan
lebih baik
3. Meningkatkan motivasi karyawan
4. Mudah merekrut karyawan baru
5. Mengurangi ketidakhadiran tenaga kerja
6. Sistem manajemen kesehatan dan
keselamatan yang lebih baik dalam organisasi
1-32
34. 1-34
Green Recruitment and Selection
• Untuk memilih pelamar yang cukup sadar
akan penghijauan
• Untuk mengkomunikasikan kepedulian
pengusaha tentang penghijauan melalui
upaya rekrutmen seleksi
Green Reward and Compensation
• Sistem imbalan financial dan nonfinancial,
yang bertujuan menarik, mempertahankan
dan memotivasi karyawan untuk berkontribusi
pada tujuan lingkungan
35. 1-35
Green Training Development
• Membantu karyawan lebih peka
terhadap proses pengendalian atau
pencegahan lingkungan
Green Performance Appraisal
• Sistem evaluasi kegiatan kinerja
karyawan dalam proses
pengelolaan lingkungan
36. 1-36
Keuntungan Menerapkan
Green HRM
Perbaikan dalam proses retensi karyawan
Memperoleh karyawan yang baik
Meningkatkan produktivitas dan
keberlanjutan perusahaan
Mengurangi pengaruh lingkungan yang
ditimbulkan oleh perusahaan
Memperbaiki daya saing dan meningkatkan
keseluruhan kinerja karyawan
38. 3 Pillars of Sustainability
• Work life Balance
o Growing Importance of professional career
o Growing Importance of private and family life
• Individual Responsibilty
o Increased autonomy and self determination
in questions of professional development
• Employability
o Focus on continuousdevelopment and professional
agility rather than specific activity
1-38
The purpose of this chapter is toexplain what human resourcemanagement is, and why it’simportant to all managers. We’ll seethat human resource managementactivities such as hiring, training,appraising, compensating, anddeveloping employees are part ofevery manager’s job. And we’ll seethat human resource management is also a separate function, usually witits own human resource or “HR”manager. The main topics we’llcover include the meaning ofhuman resource management; whyhuman resource management is important to all managers, globaland competitive trends, humanresource management trends, andthe plan of this book. The frameworkabove (which introduces eachchapter) makes this point: That toformulate and apply HR practiceslike testing and training you shouldunderstand the strategic and legalcontext in which you’re managing.
LEARNING OBJECTIVES
After studying this chapter, you will be able to:
Explain what human resource management is and how it relates to the management process.
Show with examples why human resource management is important to all managers.
Illustrate the human resources responsibilities of line and staff managers.
Working for any organization means that you and those around you share common goals among which include an interest in the growth and continuing development of the organization. Some of those common goals include how work is accomplished within the organization.
We now begin our study of the elements of the management process and how they relate to human resource management.
Organizations have been described in various ways. We will focus our early efforts on understanding an organization as groups of individuals with formally assigned roles. Note that such individuals generally work together to achieve the common goals of an organization.
Understanding the five elements of what managers do (planning, organizing, staffing, leading, and controlling) will assist you in your career. For example, no matter what your job, planning involves establishing goals, rules and procedures and attempting to forecast the future.Planning will enhance your ability to manage people and functions.
For our purposes, we will focus our efforts on basic staffing functions. These include:
Acquiring talented employees
Training new hires and existing managers and employees
Creating and administering effective performance appraisals
Properly compensating employees, and,
Attending to concerns about labor relations, health, safety, and fairness
The HR function is primarily concerned with the “staffing” component of the five management processes, namely, planning, organizing, staffing, leading, and controlling. The key elements of staffing include:
Job analysis
Planning labor needs
Recruiting
Orienting and training new employees
Compensation
Incentives and benefits
Performance appraisal
Communicating
Training and development, and
Employee commitment
In addition, HR is responsible for compliance with federal, state and local laws, safety, and handling grievances and labor relations.
Line and staff managers focus their energies in different yet related and complementary ways. Let’s talk about the two types of managers and what each does for the firm.
If you are a line manager, you will hold responsibilities to issue orders, provide directions and establish rules and procedures. For example, as a sales manager, you will be responsible for requiring adherence to your rules relative to sales quotas and goals.
On the other hand, an HR manager is a staff manager and, like all staff managers, is responsible for influencing and advising others. Within the HR department you may be responsible for establishing goals and giving orders to those in your department thus serving as a line manager within HR. Your principal duty to the organization as a whole, however, is that of a staff function, much the same as a purchasing department.
Staff departments may include finance, accounting, and logistics. Sales, production, and operations departments generally are considered line functions.
If you are a line manager, your duties and responsibilities concern how well you can successfully orient and integrate new hires into your unit, maintain their health and safety, supervise and motivate them, and effectively manage department costs.
Line managers require support to perform their jobs properly. If you are a line manager, you will have the help of the people in your HR department. HR professionals ensure adherence to company policies, provide training, advice on motivating your employees, and other support as needed.
HR exists to contribute to employee well-being, profits,and performance in many ways. Such contributions include:
Avoiding costly personnel mistakes
Managing compensation and benefits
Recruiting, hiring, and retaining good employees
Managing performance and providing effective training and development
HR is a staff function for the firm yet serves in a line capacity within the HR department. An HR manager’s duties also may include advising the CEO regarding strategies, helping managers with legal compliance, handling grievances, and functioning as an innovator.
In the continuing development of human resource management, there exist various trends that will help shape its practice and evolution in the coming years. Human Resource responsibilities have become broader and more strategic over time in response to a number of trends. The role of HR has evolved from primarily being responsible for hiring, firing, payroll, and benefits administration to one that is more strategic.
Many trends are emerging and will continue to change the shape, size, and function of HR management. Some of these trends we will discuss shortly include:
Globalization
Competition
Deregulation
Increased indebtedness
Technological innovation
More high-tech & service jobs
In addition, we will discuss other trends such as:
More knowledge work
Aging workforce
Economic downturn
De-leveraging
Deregulation slowdown
Slower economic growth
Globalization refers to the tendency of firms to extend their sales, ownership, and/or manufacturing to new markets abroad. Dell, for example, is planning to supply PCs to China. China is expected to become the largest market for computers in the world. Companies such as Toyota, BMW, and Honda build and sell some of their vehicles here in the U.S. and even ship them to other countries from the U.S.
The reasons for going global are many including: reaching new markets, selling more products or services, lower labor costs, forming partnerships, and becoming more competitive.
Due to the softening of U.S. banking regulations, many banks were able to offer stocks and other financial instruments in addition to traditional banking services. Such actions contributed to increased risks for the average banking customer. Questionable lending practices led to easy credit for developers and homebuyers alike. Perhaps you have experienced some of these practices or know of people who have. Like many Americans, credit practices have allowed, even encouraged, you and me to buy what we want when we want it. Such practices encourage spending in excess of what we may earn.
The U.S. and other countries have imported more than they’ve created and exported. Such practices are referred to as the balance of payments. Rating firms such as Standard and Poor’s have threatened to and even lowered the ratings of some debtor nations. Such steps and other actions have contributed to economic volatility and changes in the way firms conduct business and employee people.
The impact and growth in the use of smart phones and tablet computers, such as the iPad, have opened doors to people and the workplace in a way that previously has never occurred. The speed of information exchange has contributed to the growth of social networking sites such as Facebook and LinkedIn. Facebook, for example, offers Facebookrecruiting which provides a rapid conduit between employers and job-seekers.
As you enter the workforce or continue in your jobs, you are more likely to enter commands into a computer than perform dangerous physical labor. The “brawn to brains” changes have been fueled by moving manufacturing jobs to low-wage countries. Just-in-time (JIT) manufacturing processes have connected the customer with the manufacturer and the distributor in real time resulting in more precise scheduling, production and delivery. Another trend, human capital, refers to the knowledge, education, training, skills, and expertise of a firm’s workers. Today’s (and tomorrow’s) best jobs will go to the individuals with the best reading, math, and communication skills. In other words, the best knowledge workers will be hired first.
Although you are in college now – perhaps some or many of you work as well – throughout your careers you will need to understand the people around you. One aspect of the changing nature of the workplace has to do with the age of the people with whom you work. Other factors include whether those around you come from other countries and the cultural qualities they represent. Conversely, if you are a nontraditional or older worker or come from abroad, understanding the nature of those around you will enable you to be more productive and make greater contributions.
According to the Bureau of Labor Statistics, during the twenty-year period between 1998 and 2018, the number of white, non-Hispanic workers will decrease in the United States. The black and Asian workforce will increase. In fact, those members of the workforce of Hispanic origin will increase more than 7% while the percentage of younger workers will decrease. Most telling, perhaps, is that workers over the age of 55 will almost double from 12.4% to 23.9%!
“Generation Y” workers (those born from 1977-2002, also called “Millenials”) have, according to one expert, “…been pampered, nurtured, and programmed with a slew of activities….” Consequently, this generation:
Is considered to be both high-performance and high-maintenance
Wants fair and direct supervisors who are highly engaged in their professional development
Seeks out creative challenges and view colleagues as vast resources from whom to gain knowledge
Wants to make an important impact on Day 1
Wants small goals with tight deadlines so they can build up ownership of tasks, and
Aims to work faster and better than other workers
Consider to what extent you identify with any or all of these elements and what they might mean to those around you who are not of your generation.Keep in mind these descriptions are in comparison to baby-boomers and Generation X workers who have different characteristics.
According to one survey, 41% of employers are bringing retirees back into the workplace. Thirty-one percent of employers are offering employment options to attract semi-retired workers. Many workers hold multiple jobs or work in “contingent” arrangements such as two people sharing one job.
Technology enables employees to work from home. Technology also has helped create “co-working” sites where people may be working at a shared site for the same or different companies or even independently.
One controversial trend involves the granting of H1-B visas for skilled foreign workers when enough U.S. workers with the proper skills are not available in a given location.
Have you experienced or do you know of family members or friends who have had experiences with such workers or workplaces? What do such experiences suggest to you with respect to the role of HR?
An important measure of U.S. total economic output, the Gross National Product (GNP), boomed between 2001 and 2008. Home prices soared and unemployment was low. Economically speaking, somewhere between 2007 and 2008, however, everything fell off a cliff. Today, unemployment remains at a high and sustained 9.1% while home prices may have dropped 20% or more.
Financial institutions held enormous amounts of worthless debt on their books while lending dried up. In effect, the economy tanked. While this situation will improve, global economic impacts have been felt and will continue to be felt for some time. The human resource management profession must continually evolve and change keeping pace with the changes in the global economy.
Evidence-based human resource management involves the use of the best available evidence with respect to human resource practices. For example, tracking median HR expense as a percentage of a company’s total operating costs may average less than 1%. The use of this and similar metrics will help control expenses and contribute to profits.
The shifting role of workers worldwide is connected to the ways in which countries operate, produce, and distribute the goods and services they provide. The world economy is becoming more interdependent and interrelated.
After World War II, the U.S. manufactured and sold almost all durable goods (automobiles, washers, dryers, etc.) but has now become an information and service-based society. U.S. citizens are now becoming knowledge workers. Meanwhile, countries such as Japan, China, and others have assumed global manufacturing roles.
The recent and continuing economic troubles in the U.S. also have impacted the ways in which workers are hired and employed by companies. Fewer available jobs may mean broader responsibilities for the workers within a given firm.
The deregulation of banks and other financial institutions have contributed to individuals spending more than they make. Lending and borrowing practices have helped move the U.S. into a “debtor nation” status.
Technology has contributed to widespread and rapid distribution of information between employees and employers. Sites such as Facebook and LinkedIn contribute to the new ways potential employees get jobs and share information about companies.
There are more high-tech and service jobs available, and more focus on the knowledge, skills and experience people bring to the workplace.
Trends in demographics indicate a growing proportion of Hispanic, Asian, African-American, and non-traditional workers in the workforce. A large jump in older workers is expected by 2018. The differences in style and values of such a changing workforce will challenge the role of HR.
Finally, while the economy is currently “in the tank,” undoubtedly it will improve. HR management must remain effective during times of economic upheaval yet plan for its future when the economy turns around.
Trends such as the ones just discussed will have an impact on employees and how they are managed. The New Human Resource Managers require the new knowledge and skills and must demonstrate expected results for the future.
If you had been working as an HR professional after World War II, your duties would have been significantly different than they are today. Early in the HR profession, most work was transactional in nature and involved such things as payroll and benefits administration and hiring and firing. Today, however, the scope of responsibilities is vastly different. New responsibilities include finding new ways to get the job done. Getting the job done may include outsourcing routine functions including payroll and benefits or installing the company’s own internal social networking sites. In addition, the new HR managers take an integrated “talent management” approach to managing HR. Managing talent now includes managing ethics, employee engagement, adding value, having more and varied core competencies, and measuring HR performance and results.
You may wish to consider what ethics are. Are ethical considerations different for different people? In what ways should HR be involved in managing ethics?
Talent management is both a goal-oriented and integrated process of planning, recruiting, developing, managing, and compensating employees. HR managers also manage ethics, the standards by which individuals judge their own behaviors.
Engagement is the extent to which employees are emotionally and mentally invested in their work.
Measurement of the impact of human resource practices on the profitability and growth of an organization can make a significant difference in productivity. For example, knowing that a company is able to recruit and hire productive employees 50% faster than its competition can make a significant difference in efficiency. Using evidence-based HR practices in addition to actual measurements such as existing data or outside research will help keep HR an effective strategic planning partner.
In both the long and the short run, HR managers must function as business partners, stewards of an effective organizational culture, a business ally and strategic partner. As the profession of HR continues to change, new competencies will be added to the list.
As a preview of what’s to come, let’s look at the overall plan of the book.
While not all of you desire or plan on becoming an HR professional, it is the responsibility of every manager to be proficient in basic HR knowledge and skills. To enable you to do this, we will emphasize practical material to help you conduct your day-to-day management duties.
Domestic and international companies today require that HR contributes to the profitability of the firm, thus we will provide examples of how HR practices add measurable value.
Companies require HR to create policies and practices that produce employees who can contribute to the firm’s strategic aims. We provide strategic context features that demonstrate how this can be accomplished.
Finally, we provide “Evidence-based HR” features in each chapter that will help HR defend its practices and results in measurable, understandable, and relevant ways.
In review, you should now be able to:
Explain what human resource management is and how it relates to the management process.
Show with examples why human resource management is important to all managers.
Illustrate the human resources responsibilities of line and staff (HR) managers.
Briefly discuss and illustrate each of the important trends influencing human resource management.
List and briefly describe important traits of today’s human resource managers.
Define and give an example of evidence-based human resource management.