DEBRE MARKOS UNIVERSITY

INISTITUTE OF TECHNOLOGY

DEPARTMENT OF CONSTRUCTION TECHNOLOGY &

MANAGEMENT

CONSTRUCTION HUMAN RESOURCE MANAGEMENT

(COTM 4161)

PROGRAM: BSC IN COTM

TARGET GROUP: - COTM 4TH YEAR STUDENTS

Chapter one: Need for Human Resources Management in
Construction projects
Introduction

• Human resource is the most important input to

achieve organizational objectives (others are
materials, Equipment, information, capital)
• Human resources is the only dynamic factor of
production
• Without human resource other factors of
production are useless and idle
What differentiate HR to other
organizational Inputs?
• Human resources of an organization can be
motivated
• It is the only factor of production which produces
more than its input
• Human resource is mobile
• It is the only resource which gains more
knowledge and skilled in the long run, where the
other resources goes depleting
• Human Resource moves the wheels of
organizations effectively
Cont.

• HRM is the Nervous system of an organization

• HRM is the Backbone of an organization
 Generally Speaking, the proper utilization of human
resources help to achieve organization objectives.
 Definition of Human Resource Management (HRM)

• Human Resource Management (HRM) is the planning,

organizing, directing and controlling of procurement,
development, compensation, integration, and separation of
human recourses to the end that individual, organizational
and societal objectives are accomplished (Edwin B. Fippo)
• HRM is the process of attracting, holding and motivating
people involving all managers (Dunn and Stephens)
• HRM concerned with all activities involved in
determining an organization’s human resource
needs, as well as acquiring, training, and
compensating people to fill those needs
Typical HR Issues
– How many employees?
– What skills are needed to satisfy plans?
– Availability of people in the workforce?
– What qualifications must employees
have?
– Cost of staffing?
 Objectives of Human Resource
Management
• Personal objective: they relate to the satisfaction of the
personal objectives of the members of an organization
through monetary and non-monetary devices.
• Organization objective: The goal of human resource
function is the creation of a work force with the ability
and motivation to accomplish the basic organizational
goals.
• Societal objective: Human Resource management relate
to the satisfaction of social and community objectives
Characteristics of Human Resource
Management
– HRM is concerned with managing people at work and with
their group relationship.
– HRM is concerned with employees, both as individual and as a
group and aim to their achieve objectives in turn to achieve
organizational goals.
– HRM is concerned with helping the employees to develop their
potentials and capacities to maximum possible extent, so that
they can derive great satisfaction from their job.
Cont.
– HRM is a continuous nature.
– It enhances performance of employees in achieving
goals
– It opens channel of communication.
– It is goal oriented
– It requires participation
– It attempts at getting the willing cooperation of the
people for the achievement of the desired goals.
 Human Resources Management-Roles and Responsibilities

The Roles of Human Resource Management are

• Personnel role
• Welfare role
• Fire-fighting legal role
• Counselor role
• Mediator role
• Spokesman role
• Problem Solving role
• Change Agent role
 Cont.
• Personnel role: as personnel role the HR
Manager gives advice to management on effective
use of human resource.
• The manager also plan man power requirement,
recruitment, selection, training and development
programs and assess individual & group behavior.
• Welfare role: the HR manager undertakes
organizational problems and manages services like
canteen facilities, transport facilities and provides
other amenities to employees.
 Cont.
• He/she also engage in giving counseling,
motivation, leadership, and communication
• The HR manager takes care of the administration
of wage & salary, maintain records and give
proper incentives to employees.
• Fire-fighting legal role: The HR manager has
to settle the disputes & takes disciplinary actions.
• He/she act as a legal manager and as
intermediary in handling of grievances.
Cont.
• Counselor role: The HR manager will discuss
with employees about their health, mental,
physical and career problems.
• Mediator role: The HR manager plays the role
of peace maker offering to settle the disputes that
may arise among individuals or groups.
• Spokesman role: The HR manager acts as a
representative of the company, because he has a
better overall long range organizational
planning.
Cont.
• Problem Solving role: The HR manager act as a
problem solver with respect to the issues that
involve human resource management and overall
long range organizational plan.
• Change Agent role: The HR manager works as
change agent with in the organization because
he/she is best suited to introduce and implement
major institutional changes.
The Responsibility of Human Resource Management
are:
• Recruitment and Selection: HRM is responsible for identifying
the skill sets required for the project, attracting suitable candidates,
and conducting interviews to select the right personnel.
• Training and Development: HRM ensures that employees receive
necessary training to perform their tasks effectively.
• Compensation and Benefits: HRM manages employee
compensation packages, including salaries, bonuses, health
insurance, retirement plans, and other benefits according to
industry standards.
• Safety and Compliance: HRM is responsible for ensuring a safe
working environment by implementing safety protocols and
procedures as per local regulations and industry standards.
• Conflict Resolution: In case of disputes or conflicts
between employees or teams within the construction
project, HRM acts as a mediator to resolve issues
amicably.
• Employee Relations
• Resource Allocation
• Risk Management
 The Changing Role of HRM and Growing
Professionalism within the HR Function
• The changing role of HRM in construction projects is primarily
driven by the increasing complexity and size of projects,
requiring more specialized skills and knowledge within the HR
function.
• As a result, there is a growing need for professionalism within
the human resource function in construction projects, including
adherence to industry standards, compliance with labour laws,
and effective communication with project stakeholders.
• This trend reflects the broader shift towards more sophisticated
project management practices in the construction industry,
where human resources play a critical role in ensuring project
success.
 Cont.
• To keep up with these changes, HR professionals
in construction projects must continuously update
their skills and knowledge to stay current with
best practices and industry developments.
• Overall, the growing professionalism within the
human resource function in construction projects
is essential for maintaining project efficiency,
reducing risks, and improving overall project
outcomes.
 Function of Human Resource
Manager
• The Functions of HRM can be discussed in
two broad heads:
1.Managerial functions, and
2.Operative or Service functions
Managerial Functions

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Controlling
 Cont.

Some of the specific activities involved in each function include:

Planning: is establishing goals and standards, developing rules and procedures,

developing plans and forecasting.

Organizing: Human resource managers must form an organization by designing

the structure of relationship among jobs, personnel and physical factors

Staffing: Determining what type of people to be hired, recruiting prospective

employees, selecting employees, setting performance standards, compensating

employees, evaluating performance, counseling employees, training and

developing employees.

 it always has proper number of employees with appropriate skills in right

Cont.
Leading/Directing: Getting others to get the job done, maintaining

morale, motivating subordinates and communicating instructions and

orders.
 It is getting people together and asking them to work willingly and

effectively for the achievement of organizational goals

Controlling: Setting standards such as quality standards and

production levels, checking to see how actual performance compares

with these standards and taking corrective actions as needed.

 It is the process of measuring current performance and guide them

towards the plan

 Operative Functions
• Procurement: It is concerned with the obtaining
of the proper kind and number of human resource
necessary to achieve organizational goal.
 It deals specifically with determination of human
resource requirements, their recruitment,
selection and placement
• Development: the development of human
resources by increasing their skill through
training to achieve job performance properly
 Cont.
• Compensation: Proper compensation system
takes into consideration, job classification, job
evaluation, wage policies, wage systems, wage
rates and wage incentive schemes
• Integration: It is concerned with the attempt to
move a reasonable reconciliation of individual,
societal and organizational interests
 Cont.

• Maintenance: It deals with sustaining & improving the

conditions that have been established.
 It is pointed on taking care of physical and mental
wellbeing of the employees, like safety & health measures
and employees’ service program.
• Separation: It is return of the employee to the society.
The organization is responsible for meeting a certain
requirement of due process in separation, as well as
assuring that the returned citizen is in a good shape as
possible ( most frequent in project works)
Interrelationships of HRM
Functions

• All HRM functions are

interrelated
• Each function affects
other areas
Thank you