Human Resource Management in Organizations MN 301 – Human Resource Management Craig W. Fontaine, Ph.D. Pine Manor College Fall 2014

Types of Organizational Assets

Human Resource (HR) Management The design and execution of formal organizational systems (HR) such that human talent can accomplish organizational goals

Human Capital Collective value of the capabilities, knowledge, skills, life experiences, and motivation of an organizational workforce Called intellectual capital to reflect following contributions of employees Thinking Knowledge Creativity Decision making

HRM Professionals with (and thru) the Organization’s Line Managers

Smaller Organizations and HR Management

Core Competency Unique capability that creates high value in which an organization excels Differentiates an organization from its competitors Is a key determinant of competitive advantage HR department focus on using people as a core competency

Where/How Employees Can be a Core Competency

Organizational Productivity

HR Approaches to Improving Productivity

HRM Practices also Impacts…. Organizational effectiveness Quality Customer Service

Organizational Culture Shared values and beliefs in an organization Evolves over a period of time Provides employees with rules for behavior Is constant and enduring Determines organizational climate Affects service and quality, organizational productivity, and financial results

HR Management Functions Influenced by following forces of external environment Global Environmental Geographic Political, social, and legal Economic, and technological

HR Management Functions HR strategy and planning Equal employment opportunity Staffing Talent management Rewards Employee relations

Mix of Roles for HR Departments

Roles of HR Management Administrative Clerical administration, recordkeeping, legal paperwork and policy implementation Major shifts - Use of technology and outsourcing Operational and Employee Advocate Work with managers and supervisors Identify and implement needed programs and policies in the organization Strategic Address business realities Focus on future business needs Fit between human capital and business plans and needs

Current HR Management Challenges

Competition, Cost Pressures, and Restructuring Job Shifts Reduction in the number of existing employees. Attract and retain employees with different capabilities Skill Shortages Inadequate supply of workers with the skills needed to perform the emerging new jobs

Globalization Integration of global operations, management, and strategic alliances Types of global workers Expatriate: Citizen of one country working in a second country and employed by an organization headquartered in the first country Host-country national: Citizen of one country working in that country and employed by an organization headquartered in a second country Third-country national: Citizen of one country working in a second country and employed by an organization headquartered in a third country

Globalization - Legal and Political Factors Many nations function under turbulent and varied legal and political systems Role of HR professionals Conducting comprehensive reviews of the political environment, national culture, and employment laws before beginning operations in a country

Challenges For Global Human Resource Strategy People Complexity Risk

Changing Workforce Racial/Ethnic Diversity Gender in the Workforce Aging Workforce Growth in Contingent Workforce

Advantages of Technology Improves the efficiency of the administrative HR functions and reduces costs Helps in strategic HR planning Supports recruitment, selection and training Contributes to organizational performance through collection and analysis of HR-related data

HR and Organizational Ethics

Ethical Behavior and Organizational Culture

Ethics and Global Differences Differences in legal, political, and cultural values and practices in different countries Global employers must comply with both their home-country laws and the laws of other countries

HR’s Role in Organizational Ethics

Examples of HR-Related Ethical Misconduct

Sarbanes-Oxley (SOX)Act Reduces likelihood of illegal and unethical behaviors HR issues - Major concerns are linked to executive compensation and benefits Requires companies to: Establish ethics codes Develop employee complaint systems Have anti-retaliation policies for employees who act as whistle blowers to identify wrongful actions

HR Management Competencies

HR Management as a Career Field

Human Resource Certification HR professionals need knowledge in following areas Employment regulations Finance Tax law Statistics Information systems

HR Certifications at a Glance