Human Resource Management (HRM 401) Course Facilitator: Dr. Arzoo Atiq
Administrative Details Course outline provided at: arzoo.atiq@wordpress.com Navigate to Human Resource Management ; Password: iba-hrm Lectures will be uploaded here. TA will transfer to LMS. Office Hours: 2:00-2:25 pm Grading Scheme Assignments 4*3 = 12-2 n-1 Participation (Bonus) 5 Will be given during sessions Project 2 * 5 = 10 Two deliverables of five points each Project Presentation During Last week Mid-Term 15+15 = 30 Two Mid-Terms Final Exam 40
Questions? What do you think HRM is?
Human Resource Management “HRM is management function concerned with hiring , motivating and maintaining people in an organization. It focuses on people in organization” (Aswathappa, 2008, p.5) The process of acquiring, training, appraising, and compensating employees, and of attending to their labor relations, health and safety, and fairness concerns. (Gary Dessler, 2013) Strategic and coherent approach to the management of an organization’s most valued assest – the people working there who individually and collectively contribute to the achievement of its objectives. (Michael Armstrong, HRM Practice, 10th ed.) ‘The process of analysing and managing an organisation’s human resource needs to ensure satisfaction of its strategic objectives’ (Hellriegel, Jackson, Slocum and Staude, 2009)
Basics Organization Manager People with formally assigned roles who work together to achieve the organization’s goals. Manager The person responsible for accomplishing the organization’s goals, and who does so by managing the efforts of the organization’s people
The Management Process Planning Organizing Leading Staffing Controlling Gessler; Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
Human Resource Management (HRM) Human Resource Management Processes Acquisition Training Appraisal Compensation Labor Relations Health and Safety Fairness Human Resource Management (HRM) Gessler; Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
Scope Of HRM HRM IR Prospects of Employee Hiring Remuneration Career Development Employee Hiring Remuneration Motivation Maintenance Source: Adapted from Aswathappa, 2008, p.6
Historical Perspectives
Some historical perspective - Industrial Revolution: Adam Smith: specialization and division of labor. http://www.whatishumanresource.com/adams-equity-theory (1963) Robert Owens: Pioneer of HRM, performance appraisal and pay for performance (fair treatment of employees) (1850) Started in 19th century, when some informed industrial companies in the US and Europe employed welfare officers to look after the wellbeing of workers, especially women and children. In the 1920s and 1930s companies employed labour managers to handle pay, absence, recruitment and dismissal. By the late 1940s labour management and welfare work had been integrated under the banner of ‘personnel administration’. As the importance of people to the success of firms was increasingly recognised throughout the 1970s and 1980s, personnel administration became ‘personnel management’ and eventually ‘human resource management’. Today some companies refer simply to the ‘people’ function and call their most senior HR executive the ‘chief people officer’.
Scientific management Frederic Taylor: Father of scientific management https://www.marxists.org/reference/subject/economics/taylor/principle s/ch01.htm a. Definition: Systematic analysis and breakdown of work into the smallest mechanical components and rearranging them into the most efficient combination. b. Steps: Job analysis—selection—training—rewards.
Industrial psychology Hneri Fayol’s management functions: (1949) Planning, organizing, communicating, coordinating and controlling. F. & L. Gilbreth’s principles of work simplification (time and motion studies). (1890) Henry Gantt’s principles of work scheduling. (1915) Continuation of scientific management.
Human behavior and relations The Hawthorne Studies by Westing House The happy workers are the most productive workers. (The Pet Milk theory) (1960s) Max Weber: the Ideal Bureaucracy. http://www.hrmguide.co.uk/history/classical_organization_theory. htm Chris Argyris: Individual and organization—mutual adjustment. http://infed.org/mobi/chris-argyris-theories-of-action-double- loop-learning-and-organizational-learning/
Three stages of growth of HRM File Management (1900-1964):collecting and storing data of each employee. Government Accountability (1964-1980): Compliance to government regulations. Human Resource Management: Treating human resource as an asset. Emphasizing joint responsibilities of line managers and staff managers.
Questions?
Personnel Aspects of a Manager’s Job Human Resources Management 12e Gary Dessler Personnel Aspects of a Manager’s Job Conducting job analyses Planning labor needs and recruiting job candidates Selecting job candidates Orienting and training new employees Managing wages and salaries Providing incentives and benefits Appraising performance Communicating Training and developing managers Building employee commitment Managers are involved daily with many of the personnel aspects of HRM in accomplishing the organization’s goals, and managing the efforts of the organization’s people. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
Human Resources Management 12e Gary Dessler Personnel Mistakes Hire the wrong person for the job Experience high turnover Have your people not doing their best Waste time with useless interviews Have your firm in court because of discriminatory actions Have your firm cited by regulatory authority for unsafe practices Have some employees think their salaries are unfair and inequitable relative to others in the organization Allow a lack of training to undermine your department’s effectiveness Commit any unfair labor practices Why are the concepts and techniques of HRM important to all managers? Perhaps it’s easier to answer this by listing some of the personnel mistakes you don’t want to make while managing. Carefully studying this book will help you avoid mistakes like these. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
Human Resources Management 12e Gary Dessler Basic HR Concepts The bottom line of managing: Getting results HR creates value by engaging in activities that produce the employee behaviors that the organization needs to achieve its strategic goals. Looking ahead: Using evidence-based HRM to measure the value of HR activities in achieving those goals. Hiring the right people for the right jobs and motivating, appraising, and developing them will likely get the results you are seeking. Remember that success comes through people. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
Line and Staff Aspects of HRM Human Resources Management 12e Gary Dessler Line and Staff Aspects of HRM Line Manager Is authorized (has line authority) to direct the work of subordinates and is responsible for accomplishing the organization’s tasks. Staff Manager Assists and advises line managers. Has functional authority to coordinate personnel activities and enforce organization policies. Line managers manage operational functions that are crucial for the company’s survival. Staff managers run departments that are advisory or supportive, like purchasing, HRM, and quality control. Human resource managers are usually staff managers. They assist and advise line managers with recruiting, hiring, and compensation. However, line managers still have human resource duties. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
Line Managers’ HRM Responsibilities Human Resources Management 12e Gary Dessler Line Managers’ HRM Responsibilities Placing the right person on the right job Starting new employees in the organization (orientation) Training employees for jobs that are new to them Improving the job performance of each person Gaining creative cooperation and developing smooth working relationships Interpreting the firm’s policies and procedures Controlling labor costs Developing the abilities of each person Creating and maintaining department morale Protecting employees’ health and physical condition In small organizations, line managers carry out many personnel duties unassisted. As the organization grows, the need arises for the specialized assistance, knowledge, and advice of a human resource department. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
Human Resource Managers’ Duties Human Resources Management 12e Gary Dessler Human Resource Managers’ Duties Line Function Line Authority Implied Authority Staff Functions Staff Authority Innovator/Advocacy Functions of HR Managers Coordinative Function Functional Authority An HR manager directs the activities of the people in the HR department, coordinates organizational-wide personnel activities and provides HRM assistance and advice to line managers. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
Differences Between HRM and PM Dimensions PM HRM 1.Employment contract Care full delineation of written contracts Aim to go behind contract 2.Rules Importance of devising clear rules Can do outlook, impatience with rule 3.Guide to management action Procedures Business need 4.Behaviour referent Norms ,customs and practices Values and mission 5.Managerial task vis-à-vis labor Monitoring Nurturing 6.Speed of decision Slow Fast 7.Management role Transactional Transformational leadership 8.Communication Indirect Direct 9. Prized management skills Negotiation Facilitation 10.Selection Separate ,marginal task Integrated, key task 11.Labour management Collective barraging contracts Individual contracts 12.Job categories and grade Many Few 13.Job design Division of labour Team work 14.Conflict handling Reach temporary truce Manage climate and culture
Differences Between HRM and PM Dimensions PM HRM 15.Respect for employees Labour is used as tool which is spendable and replaceable Peoples are used as assets to be used for the benefit of organization 16.Shared interest Interest of organizations are uppermost Mutuality of interest 17.Evolution Precedes HRM Latest in evolution of subjects 18.Locus of control External Internal 19.Oganization principles Mechanistic Top down centralized Organic Bottom-up Decentralized 20.Key relations Labour Management Customers 21.Initiatives Piecemeal Integrated 22.Pay Job evaluation Performance related 23.Training and development Controlled accessed to courses Learning companies Source: Aswathappa, 2008, p.7