Chapter 1 HRM in a Changing Environment

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Presentation transcript:

Chapter 1 HRM in a Changing Environment Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

Strong employees = competitive advantage. Introduction HRM is a subset of management. It has five main goals: attract employees hire employees retain employees Goals of HRM motivate employees train employees Strong employees = competitive advantage. Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

Understanding Cultural Environments HRM operates in a global business environment. Countries have different values morals customs political, economic, and legal systems HRM helps employees understand other countries’ political and economic conditions. Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

Understanding Cultural Environments The Heritage Foundation’s Index of Economic Freedom rates 183 countries on openness to trade, business, investment, and property rights. The U.S. was #6 in 2009. North Korea is the most repressed. TOP 10 FREE COUNTRIES 1. Hong Kong 2. Singapore 3. Australia 4. Ireland 5. New Zealand 6. United States 7. Canada 8. Denmark 9. Switzerland 10. United Kingdom TOP 10 LEAST-FREE COUNTRIES 1. North Korea 2. Zimbabwe 3. Cuba 4. Burma 5. Eritrea 6. Venezuela 7. Dem. Rep. of Congo 8. Comoros 9. Libya 10. Sao Tome & Principe 2009 Country Rankings, see www.heritage.org/index/Ranking.aspx Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

The Changing World of Technology HRM operates in a technologically changing environment. Thomas Friedman: Globalization 1.0 (1492-1800) Driven by transportation Globalization 2.0 (1800 -2000) Driven by communication Globalization 3.0 (2000 -????) Driven by technology Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

The Changing World of Technology The IT field is growing. Knowledge workers focus on the acquisition and application of information for decision making. Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

The Changing World of Technology HRM information systems help to facilitate HR plans make decisions faster clearly define jobs evaluate performance provide desirable, cost-effective benefits Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

The Changing World of Technology HR managers use technology to: recruit, hire, and train employees motivate and monitor workers research fair compensation packages communicate throughout the organization evaluate decentralized employees’ performance Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

Workforce Diversity HRM has moved from the melting pot assumption to celebrating workforce diversity. Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

lack of work schedule flexibility Workforce Diversity Today’s workers want a healthy work/life balance. They can work any time, from almost anywhere work more than 40 hours per week are part of a dual-income household #1 reason for leaving a company: lack of work schedule flexibility Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

Trend is to rightsize: fit company goals to workforce numbers. The Labor Supply HR managers monitor the labor supply. Trend is to rightsize: fit company goals to workforce numbers. For agility, companies build a contingent workforce of part-time workers temporary workers contract workers Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

continuous improvement components Continuous Improvement Programs focus on customer empowerment of employees concern for continuous improvement continuous improvement components accurate measurement concern for total quality HR managers help workers adapt to continuous improvement changes through retraining, providing answers, and monitoring expectations. Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

Employee Involvement It’s all about employee empowerment through involvement, which increases worker productivity and loyalty. Employee Involvement Concepts delegation • participative management work teams • goal setting • employer training Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

Other HRM Challenges Challenges for HRM: The recession has brought layoffs and low morale. Increased offshoring means jobs can move overseas, even HR. Today’s spate of mergers and acquisitions increase HR’s role. Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

A Look at Ethics Code of ethics: a formal statement of an organization’s primary values and the ethical rules it expects members to follow. HR managers must take part in enforcing ethics rules. Video: Rbert Lane, Ethics at Deere Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins