Trends in Human Resource Management Selected Topics from Chapter 2

Change in the Labor Force What constitutes the labor force? Internal labor force The workers an organization already has External labor market Individuals actively seeking employment

Hong Kong Population in 2005

Hong Kong Population by 2050

Hong Kong’s Aging Workforce In 2000, 29.7% of Hong Kong’s population was aged 50 or above. By 2030 and 2050, this will have increased to 52.2% and 59.2% respectively. What are the challenges organizations face with regard to the aging workforce?

Focus on Strategy How can human resource management support and contribute to organizational strategy?

Strategic HRM Strategic HRM: linking the organization’s strategy with human resource practices in order to improve business performance. HRM professionals as strategic partners

Generic Strategies Low Cost Advantage Unique Product Advantage Large part of the market Low-Cost Strategy Differentiation Strategy Small segment of a market Focus Strategy

Low-Cost Strategy HR implications Efficient production Explicit job descriptions Detailed work planning Emphasis on technical qualifications and skills Emphasis on job-specific training Emphasis on job-based pay Use of performance appraisal as a control device

Differentiation Strategy HR implications Emphasis on innovation and flexibility Broad job classes Loose work planning External recruitment Team-based training Emphasis on individual-based pay Use of performance appraisal as a development tool

Focus Strategy HR Implications Can be a combination of those mentioned on previous two slides.

Business Strategy: Issues Affecting HRM

Total Quality Management (TQM) A companywide effort to continuously improve the ways people, machines, and systems accomplish work. HRM has an important role: Creating an innovative environment in which employees themselves improve quality Employees should receive training to upgrade KSAOs.

Mergers and Acquisitions M&A = Consolidation? Between 50 and 80 percent of all mergers and acquisitions fail. One of the reasons often cited: cultural incompatibilities.

Reengineering Another important concept in the Ocean Park Case Study. Reengineering: A complete review of the organization’s critical work processes to make them more efficient and able to deliver higher quality.

International Expansion International expansion affects many HRM functions Recruitment and selection (expatriates or host country nationals?) Training and development (training employees to work in new environment)

Downsizing Downsizing or “churning”? If you were told you were being downsized, what would you want to know? If you weren’t being downsized but others were, what would you want to know?

Outsourcing HR departments can help with the transition to outsourcing. HR functions can also be outsourced, but some easier than others.

Change in Employment Relationship The Psychological Contract A description of what an employee expects to contribute in an employment relationship and what the employer will provide the employee in exchange for those contributions Psychological contract in the 60’s and 70’s. Psychological contract now.

Exam Question Example 1 According to guest lecturer Dana Breitenstein, national cultures can be past-oriented, present-oriented, or future-oriented. What type of culture does Hong Kong have in this respect? Past-oriented Present-oriented Future-oriented Both past and future-oriented

Exam Question Example 2 Which one of the following best exemplifies the process of self-selection?  1.  An applicant posts his or her resume on an online job bulletin board. 2.  While at a job fair, an applicant decides to interview with the ABC Company. 3.  An applicant is asked to return for a second interview with the ABC Company. 4.  An applicant takes an online "job fitness" test before deciding to apply to the ABC Company.