CHAPTER 1 Human Resource Management in Organizations

Human Capital  People  Collective value of the capabilities, knowledge, skills, life experiences, and motivation of the workforce  Intellectual capital: thinking, knowledge, creativity, and decision making that people in organizations contribute

Core Competency  A unique capability that creates high value at which an organization excels  THE STRENGTHS OF AN ORGANIZATION  EMPLOYEES ARE CORE COMPETENCIES WHEN:  Productivity  Customer service/quality  Organizational culture

Productivity  Productivity: measure of the quantity and quality of work done, considering the cost of the resources used.  Unit labor cost: computed by dividing the average cost of workers by their average levels of output.  Figure 1-3, Improving Productivity  Organizational restructuring  Redesigning work  Aligning HR activities  Outsourcing analysis

Customer Service and Quality  Customer satisfaction: examples?????  Quality: examples ????????

Organizational Culture  Consists of the shared values and beliefs that give members of an organization meaning and provide them with rules for behavior.  The “climate” of the organization  Shared values and beliefs that give members of an organization meaning and provide them with rules for behavior  Values are inherent in the ways organizations and their members treat people both inside and outside the organization  Global culture

HR Functions, Figure, 1.4  Strategy and planning  Employee labor relations  Risk management and worker protection  Rewards  Talent management  Staffing  Equal employment opportunity

Roles of HR 1. Administrative: outsource these activities 2. operational/employee advocate: get along 3. Strategic: mergers, expansion, downsizing, etc. 4. REVERSE!!!!!!

Globalization  Expatriate: a citizen of one country who is working in a second country and employed by an organization headquartered in the first country  Host country national: a citizen of one country who is working in that country and employed by an organization headquartered in a second country  Third country national: a citizen of one country who is working in a second country and employed by an organization headquartered in a third country

Wages in other countries  Figure 1-7  Norway: $57.53  US: $34.74  Philippines: $1.90

Technology  Advantages: administrative, operational: payroll and benefit activities, HR Planning, Data at your fingertips  Social Media: advantages and disadvantages

Organizational ethics and HR  Written code of ethics  Training on ethical behavior  Advice to employees on ethical situations  Systems for confidential reporting of ethical misconduct or questionable behavior  Ethics and global differences

Unethical behavior  Compensation  Employee relations  Staffing and equal employment

HR as a Career Field  HR Generalist: a person who has responsibility for performing a variety of HR activities  HR Specialist: a person who has in-depth knowledge and expertise in a limited area of HR  Certifications: PHR, SPHR, WorldatWork Certifications

HR Challenges  Reducing costs  Job changes  Occupational shifts  Workforce availability  Talent management  Contingent workforce