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LU1 Introduction

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M.Musirah Abdul Hamid
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26 views

LU1 Introduction

Uploaded by

M.Musirah Abdul Hamid
Copyright
© © All Rights Reserved
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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LEARNING UNIT1

Introduction
to Human
Resource
Management
Human Resource Management at Work
What Is Human Resource Management (HRM)?
 The process of acquiring, training, appraising, and
compensating employees, and of attending to their labor
relations, health and safety, and fairness concerns.

Manager
 Person responsible
for accomplishing the
organization’s goals,
and who does so by
managing the efforts
of the organization’s
people.
Porter’s Value Chain

Line vs Staff managers:


• Line authority gives you
the right to issue orders
• Staff authority gives you
the right to advise others
in the organization
Why is HRM important to ALL Managers?
• To Avoid Personnel Mistakes
• To Improve Profits and Performance
• For SMES, owners/top management also act as HR
manager 
Line Manager’s HR Management Responsibilities:
• Placing the right person in the right job
• Starting new employees in the organization (orientation)
• Training employees for jobs that are new to them
• Improving the job performance of each person
• Gaining creative cooperation and developing smooth working relationships
• Interpreting the company policies and procedures
• Controlling labor cost
• Developing the abilities of each person
• Creating and maintaining departmental morale
• Protecting employees’ health and physical conditions
Environment of Human Resource Management
Unions EXTERNAL ENVIRONMENT Social/demographic
INTERNAL ENVIRONMENT
Legal Considerations

Technology
2.
Re
Marketing Se cru Operations
le i t
ct &
Job &
1. ysis
n al RP De 3
ve .HR
7.E abo

A H lo
pm
& L ons
mp
Re

en
lati

loy

t
Human
ee
r

rais ce
Resource
1

Shareholders
App rman
Management
The Economy

al
6.S ealt
&H

erfo
afe h

Other
ty

4.P
Finance Functional
5.Compensation Areas
and Benefits

Customers Competition Labor Force 6


Ethics and HR Management
• Ethics and Global Differences: What is legal in one country may be
illegal in another
• Ethical Behavior and Organizational Culture: HR plays a key role in
shaping an organization’s shared values and beliefs in what is ethical
and acceptable
• HR’s Role in Organizational Ethics: Some common ethical misconducts
are displayed below:
Workforce Demographic Changes
• Baby Boomers (1945–1962)
– In excess supply in middle management ranks
– HR challenge is to manage “plateaued” workers
• Baby Busters (1963–mid-1970s)
– Are career bottlenecked by the Boomers
– Who have skills in high demand are doing and will do well
• Generation “X”ers (late 1970s–early 1980s)
– Have life-long exposure to technology and constant change
– Seek self-control, independence, personal growth, creativity
– Are not focused on job security or long-term employment.
Measuring workforce performance
Benchmarking for HR effectiveness
 Process of learning from others – not just determining
performance gap with competitor. Tool to improve productivity,
quality & competitiveness. Involved collecting info from the
best (best practices).
 Organization need to identify what it wants to improve &
continuously undertake improvement measures.
Manufacturers Services

Tangible product. Intangible


product.

Product can be Product cannot


inventoried. be inventoried.

Low customer High customer


contact. contact.

Longer response Short response


time. time.

Capital intensive. Labor intensive.


Doing the Benchmarking Analysis
• Return on Investment (ROI)
– Calculation showing the value of expenditures
for HR activities.

A = Operating costs for a new or enhance system for the time period
B = One-time cost of acquisition and implementation
C = Value of gains from productivity improvements for the time period

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