REGENT Business

School
HUMAN RESOURCE AND LABOUR
RELATIONS MANAGEMENT
 Human Resource Management
(HRM)
• The policies,
practices, and
systems that
influence employees’:
– behavior
– attitudes
– performance
Human Resource Management Practices
 At companies with effective
HRM:
• Employees and customers tend to be
more satisfied.
• The companies tend to:
– be more innovative
– have greater productivity
– develop a more favorable reputation in the
community
 Human Capital
• Human Capital – an • The concept of
organization’s “human resource
employees described management” implies
in terms of their: that employees are
– training resources of the
– experience employer.
– judgment
– intelligence
– relationships
– insight
Figure 1.2:Impact of Human Resource
Management
 HRM and Sustainable Competitive
Advantage
• An organization can succeed if it has
sustainable competitive advantage.
• Human resources have the necessary
qualities to help give organizations this
advantage:
– Human resources are valuable.
– Human resources with needed skills and and
knowledge are sometimes rare.
– Human resources cannot be imitated.
– Human resources have no good substitutes.
• At Southwest Airlines,
the company’s focus
is on keeping
employees loyal,
motivated, trained,
and compensated. In
turn, there is a low
turnover rate and a
high rate of customer
satisfaction.
 High-Performance Work
System
• An organization in which technology,
organizational structure, people, and
processes all work together to give
an organization an advantage in the
competitive environment.
Engaged, Enabled Employees
Deliver Bottom-Line Benefits
Table 1.1:
Responsibilities of HR Departments
Responsibilities of HR Departments

• One employee dedicated to handle HR

related matters is usually necessary in a
company of ____ employees.
A. 10
B. 25
C. 75
D. 200
 Analyzing and Designing Jobs

Job Analysis Job Design

• The process of • The process of
getting detailed defining the way work
information about will be performed and
jobs. the tasks that a given
job requires.
 Recruiting and Hiring
Employees
Recruitment Selection
• The process through • The process by which
which the organization the organization
seeks applicants for attempts to identify
potential employment. applicants with the
necessary knowledge,
skills, abilities, and
other characteristics
that will help the
organization achieve
its goals.
 Qualities of Job Candidates

• Which of the following qualities were in the

top 5 as reported by employers?
A. Technical skills
B. Intelligence
C. Interpersonal skills
D. Computer skills
Table 1.2: Top Qualities Employers
Seek in Job Candidates
 Training and Developing
Employees
Training Development
• A planned effort to • The acquisition of
enable employees to knowledge, skills, and
learn job-related behaviors that
knowledge, skills, and improve an
behavior. employee’s ability to
meet changes in job
requirements and in
customer demands.
 Managing Performance

• Performance Management – The

process of ensuring that employees’
activities and outputs match the
organization’s goals.
• The human resource department may be
responsible for developing or obtaining
questionnaires and other devices for
measuring performance.
 Planning and Administering Pay
and Benefits
Administering Pay &
Planning Pay & Benefits Benefits
• How much to offer in • Systems for keeping track
salary and wages. of employees’ earnings
• How much to offer in and benefits are needed.
bonuses, commissions, • Employees need
and other performance- information about their
related pay. benefits plan.
• Which benefits to offer • Extensive record keeping
and how much of the cost and reporting is needed.
will be shared by
employees.
 Maintaining Positive Employee
Relations
• Preparing and distributing:
– employee handbooks and policies
– company publications and newsletters
• Dealing with and responding to communications
from employees:
– questions about benefits and company policy
– questions regarding possible discrimination,
safety hazards, possible harassment
• Collective bargaining and contract
administration.
 Establishing and Administering
Personnel Policies
• Organizations depend on their HR
department to help establish and
communicate policies related to:
– hiring
– discipline
– promotions
– benefits
• All aspects of HRM require careful and
discreet record keeping.
 Ensuring Compliance with Labor
Laws
• Government requirements include:
– filing reports and displaying posters
– avoiding unlawful behavior
• Managers depend on HR professionals to
help them keep track of these
requirements.
• Lawsuits that will continue to influence
HRM practices concern job security.
• One reason W.L. Gore &
Associates is repeatedly
named one of the 100
Best Companies to Work
for in America is their
unusual corporate culture
where all employees are
known as associates and
bosses are not found.
 Supporting the Organization’s
Strategy
• Human resource planning – identifying the
numbers and types of employees the
organization will require to meet its
objectives.
• The organization may turn to its HR
department for help in managing the change
process.
• Skilled HR professionals can apply
knowledge of human behavior, along with
performance management tools, to help the
organization manage change constructively.
 Supporting the Organization’s
Strategy
• Evidence-based HR– Collecting and using
data to show that human resource practices
have a positive influence on the company’s
bottom line or key stakeholders.
 ORGANIZATIONAL
ORGANIZATIONALSTRATEGY
STRATEGY
Initiates
Initiatesthe
theprocess
processof
ofidentifying
identifyingstrategic
strategicbusiness
business
needs
needs and provides specific opportunities tothem
and provides specific opportunities to them

INTERNAL
INTERNAL EXTERNAL
EXTERNAL
CHARACTERISTICS
CHARACTERISTICS CHARACTERISTICS
CHARACTERISTICS

STRATEGIC
STRATEGICBUSINESS
BUSINESSNEEDS
NEEDS
Expressed
Expressedininmission
missionor
orvision
visionstatements
statementsand
andtranslated
translated
into strategic business objectives
into strategic business objectives

STRATEGIC
STRATEGICHUMAN
HUMANRESOURCES
RESOURCESMANAGEMENT
MANAGEMENTACTIVITIES
ACTIVITIES
•Human Resources Philosophy expressed in •Express how to treat and value people.
statements defining business values and culture.
•Human Resources Policies expressed as •Establishes guidelines for action on people
shared values (guidelines). related business issues and HR program.
•Human Resources Programs articulated as •Coordinates efforts to facilitate change to
Human Resources strategic. address major people related business
issues.
•Human Resources Practices for leadership,
managerial and operational roles. •Motivates needed role behaviors.
•Human Resources processes for the
formulation and implementation of other activities.•Defines how these activities are carried out
Supporting the Organization’s Strategy

Corporate Social
Responsibility Stakeholders
• A company’s commitment • The parties with an
to meeting the needs of interest in the company’s
its stakeholders. success (typically,
shareholders, the
community, customers,
and employees).
Figure 1.3: Skills of HRM
Professionals
 Who is Responsible for HR?

• In an organization, who should be

concerned with human resource
management?
A. Only HR departments
B. Only Managers
C. Managers and HR departments
Figure 1.4:
Supervisors’ Involvement in HRM
 Ethics in Human Resource
Management
• Ethics – the fundamental principles of
right and wrong.
• Ethical behavior is behavior that is
consistent with those principles.
• Many ethical issues in the workplace
involve human resource management.
Employee Rights
 Test Your Knowledge

• Which HR functions are primarily

concerned with 1) ensuring employees are
capable of doing their current job , 2)
ensuring that employees are satisfied with
their rewards.
A. 1) Development; 2) Employee Relations
B. 1) Training; 2) Legal Compliance
C. 1) Selection; 2) Pay & Benefits
D. 1) Training; 2) Pay & Benefits
 Summary
• Human resource management (HRM)
consists of an organization’s “people
practices”
– the policies, practices, and systems that
influence employees’ behavior, attitudes, and
performance.
• HRM influences who works for the
organization and how those people work.
• HR departments have responsibility for a
variety of functions related to acquiring and
managing employees.
 Summary (continued)
• HR management requires substantial
human relations skills, including skill in:
– communicating
– negotiating
– team development
• HR professionals also need:
– To understand the language of business
– To be a credible with line managers and
executives
– To be strategic partners
 Summary (continued)

• Non-HR managers must be familiar with

the basics of HRM and their own role with
regard to managing human resources.
– Supervisors typically have responsibilities
related to all the HR functions.
• HR professionals should make decisions
consistent with sound ethical principles.
 Summary (continued)

• The decisions of HR professionals should:

– Result in the greatest good for the largest
number of people.
– Respect basic rights of privacy, due process,
consent, and free speech.
– Treat employees and customers equitably and
fairly.
• Careers in HR management may involve
specialized work in fields such as
recruiting, training, or compensation
THANK YOU

Questions