1. Human Resources Management 12e Gary Dessler
Copyright © 2011 Pearson Education

2. Human Resources Management 12e Gary Dessler
HUMAN RESOURCE MANAGEMENT
Global Edition 12e
Human Resources Management 12e Gary Dessler
Chapter 1
Introduction to Human Resource Management
GARY DESSLER
Copyright © 2011 Pearson Education

3. After studying this chapter, you should be able to:
Explain what HRM is and how it relates to the management process.
Discuss how managers can use HR concepts.
Compare the HR responsibilities of line and staff managers.
Explain the changing role of HR managers.
Discuss the changing environment of HRM.
Discuss HRM as a profession.

4. What are the five basic functions of the management process
What are the five basic functions of the management process? Explain some of the specific activities involved in each function. Which function is most closely associated with human resource management?
Planning
Organizing
Leading
Staffing
Controlling

5. Planning activities include establishing goals and standards, developing rules and procedures, and developing plans and forecasting.
Organizing activities include giving specific task assignments to subordinates, establishing departments, delegating authority to subordinates, and establishing channels of authority and communication.
Staffing activities include determining what type of people should be hired, recruiting prospective employees, and setting performance standards.
Leading activities include maintaining morale and motivating subordinates
Controlling activities include setting standards such as sales, and quality standards and taking corrective action as needed.
Staffing is the function most readily related to human resource management. However, HR managers actually perform all 5 functions.

6. The Manager’s Human Resource Management Jobs
Management process
The five basic functions of planning, organizing, staffing, leading, and controlling.

7. Human Resource Management at Work
Human Resources Management 12e Gary Dessler
Human Resource Management at Work
What Is Human Resource Management (HRM)?
The policies and practices involved in carrying out the “people” or human resource aspects of a management position, including recruiting, screening, training, rewarding, and appraising..
Organization
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.
Human resource management is the process of acquiring, training, appraising, and compensating employees, and of attending to their labor relations, health and safety, and fairness concerns.
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8. Why Is HR Management Important to All Managers?
Managers don’t want to make mistakes while managing.

9. Personnel Aspects Of A Manager’s Job
Conducting job analyses (determining the nature of each employee’s job)
Planning labor needs and recruiting job candidates
Selecting job candidates
Orienting and training new employees
Managing wages and salaries (compensating employees)
Providing incentives and benefits
Appraising performance
Communicating (interviewing, counseling, disciplining)
Training and developing managers
Building employee commitment
Understanding employment laws
Knowing employee health and safety issues

10. Human Resource Management Processes
Human Resources Management 12e Gary Dessler
Human Resource Management Processes
Acquisition
Training
Appraisal
Compensation
Labor Relations
Health and Safety
Fairness
Human Resource Management (HRM)
HRM involves several processes. The topics we’ll discuss will provide you with concepts and techniques needed to perform the “people” or personnel aspects of your job as a manager.
Copyright © 2011 Pearson Education

11. 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 company in court because of discriminatory actions
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

12. Getting results Basic HR Concepts The bottom line of managing
HR creates value by engaging in activities that produce the employee behaviors the company needs to achieve its strategic goals.

13. Line and Staff Aspects of HRM
Authority
The right to make decisions, direct others’ work, and give orders.
Line manager (Line Authority)
A manager who is authorized to direct the work of subordinates and is responsible for accomplishing the organization’s tasks.
Staff manager (Staff Authority)
A manager who assists and advises line managers.

14. Line Managers’ HRM Responsibilities
Placing the right person on the right job
Starting new employees in the organization (orientation)
Training employees for jobs new to them
Improving the job performance of each person
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

15. Functions of the HR Manager
Line Function Line Authority Implied Authority
Staff Functions Staff Authority
Functions of HR Managers
Coordinative Function Functional Authority
A line function: The HR manager directs the activities of the people in his or her own department and in related service areas.
A coordinative function: HR managers also coordinate personnel activities, a duty often referred to as functional control.
Staff (assist and advise) functions:Assisting and advising line managers is the heart of the HR manager’s job.

16. Employee Advocacy HR must take responsibility for:
Clearly defining how management should be treating employees.
Making sure employees have the mechanisms required to contest unfair practices.
Represent the interests of employees within the framework of its primary obligation to senior management.

17. Size of HR Department Depends on company size Small Company:
Only a few personnel
Large Company:
Full range of HR specialist for each different function

18. HR in Small Business
Small firms (say, with less than 100 employees) generally can’t afford a full-time human resource manager
FIGURE 1–2 Human Resources Organization Chart for a Small Company

19. Example of HR department in a large company

20. Human Resource Specialties
Human Resources Management 12e Gary Dessler
Human Resource Specialties
Recruiter
EEO coordinator
Labor relations specialist
Training specialist
Job analyst
Compensation manager
Human Resource Specialties
• Recruiters search for qualified job applicants.
• Equal employment opportunity (EEO) coordinators investigate and resolve EEO grievances; examine organizational practices for potential violations; and compile and submit EEO reports.
• Job analysts collect and examine information about jobs to prepare job descriptions.
• Compensation managers develop compensation plans and handle the employee benefits program.
• Training specialists plan, organize, and direct training activities.
• Labor relations specialists advise management on all aspects of union–management relations.
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21. Examples of HRM Job Duties
Recruiters
Search for qualified job applicants.
Equal employment opportunity (EEO) coordinators
Investigate and resolve EEO grievances, examine organizational practices for potential violations, and compile and submit EEO reports.
Job analysts
Collect and examine information about jobs to prepare job descriptions.

22. Examples of HR Job Duties (cont’d)
Compensation managers
Develop compensation plans and handle the employee benefits program.
Training specialists
Plan, organize, and direct training activities.
Labor relations specialists
Advise management on all aspects of union–management relations.

23. New Approaches to Organizing HR
Human Resources Management 12e Gary Dessler
New Approaches to Organizing HR
Transactional HR group
Corporate HR group
Embedded HR unit
New HR Services Groups
Centers of Expertise
Employers are experimenting with offering HR services in new ways. For example, some employers organize their HR services around four groups: transactional, corporate, embedded, and centers of expertise.
Copyright © 2011 Pearson Education

24. The New Human Resources Organization
Transactional HR group
Focuses on using centralized call centers and vendors to provide specialized support in day-to-day transactional HR activities.
Embedded HR group
Assigns HR generalists to departments like sales and production to provide the assistance the departments need
Corporate HR group
Focuses on assisting top management in “top-level” issues.
Centers of expertise groups
Provide specialized assistance in areas such as organizational change

25. Cooperative Line and Staff HR Management
Some common practices:

26. EXTERNAL ENVIRONMENT INTERNAL ENVIRONMENT
Environment of Human Resource Management
EXTERNAL ENVIRONMENT
INTERNAL ENVIRONMENT
Unions
Society
Technology 1
Marketing
Operations
Legal Considerations
Staffing
Human Resource Management
Human Resource Development
Employee and Labor Relations
Finance
Compensation
Other Functional Areas
Economy
Safety and Health
Shareholders
Customers
Competition
Labor Market
© 2008 by Prentice Hall

27. The Changing Environment of Human Resource Management
Major changes or trends as follows:
A_Globalization and Competition
B-Indebtedness (“Leverage”) and Deregulation
C-Technological Trends
D-Trends in the Nature of Work
Changes and Trends in Human Resource Management
E-Workforce Demographic Trends
F-Economic Challenges and Trends

28. The Changing Environment Of HR Management
A- Globalization
Tendency of companies to extend sales, ownership, or production to other countries .
More competition  more pressure to be “world class”  Lower costs and to increase productivity of employees
E.g. Toyota produces cars in China, Thailand and many other countries.

29. The Changing Environment Of HR Management
B-Indebtedness (“Leverage”) and Deregulation.
- In many countries, government stipends stripped away rules and regulations.
C-Technological Advances
HR faces the challenge of quickly applying technology to the task of improving its own operations

30. D-Trends in the Nature of Work
Human Resources Management 12e Gary Dessler
D-Trends in the Nature of Work
High-Tech Jobs
Service Jobs
Changes in How We Work
Knowledge Work and Human Capital
Technology has also had a huge impact on how people work, and on the skills and training today’s workers need. Jobs are becoming more high tech, less-labor intensive, and require more knowledge and higher skill levels (human capital).
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31. 1-High-Tech Jobs :More jobs have gone high tech, requiring workers to have more education and skills. Even traditional jobs require more math, reading, writing and computer skills than ever before
2- Service Jobs: Most newly created jobs are and will continue to be in the service sector.
3-Human Capital :refers to the knowledge, education, training, skills, and expertise of a firm’s workers.

32. E- Changes in workforce demographics
Diversified workforce  staff employed are of different race, religion, nationality, gender, age and culture Challenge for HR manager
1-Demographic
2- “Generation Y”
3-Retirees
4-Nontraditional Workers
5- Workers from Abroad

33. Important Trends in HRM
Human Resources Management 12e Gary Dessler
Important Trends in HRM
The New HR Managers
High-Performance Work Systems
Strategic HRM
Evidence-Based HRM
Managing Ethics
HR Certification
Human Resource Management Trends
Trends like these translate into changes in HRM practices, and in what employers expect from their human resource managers.
Copyright © 2011 Pearson Education

34. Meeting Today’s HRM Challenges
Human Resources Management 12e Gary Dessler
Meeting Today’s HRM Challenges
Focus more on “big picture” (strategic) issues
Find new ways to provide transactional services
The New Human Resource Managers
Acquire broader business knowledge and new HRM proficiencies 
HR managers can play big roles in strategic planning and management by helping the top managers in devising functional and departmental plans that support the organization’s overall strategic plan, and then assisting in execution of the plans.
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35. The Changing Role Of HR Management
Strategic Planning
The company’s long-term plan for how it will balance its internal strengths and weaknesses with its external opportunities and threats to maintain a competitive advantage.
3 questions in strategic planning
Current business position
Future business position expected to be
How to get to expected future business position

36. The Changing Role Of HR Management
Strategic HRM
Formulating HR policies and introducing practices that produce staff competencies and behaviors that the company needs to achieve its strategic goals.
HR managers today are more involved in partnering with their top managers in both designing and implementing their companies’ strategies
Top management wants to see how the HR manager’s plans will make the company more valuable.

37. High-Performance Work Systems(HPWS)
Human Resources Management 12e Gary Dessler
High-Performance Work Systems(HPWS)
Increase productivity and performance by:
Recruiting, screening and hiring more effectively
Providing more and better training
Paying higher wages
Providing a safer work environment
Linking pay to performance
A high-performance work system is a set of HRM policies and practices that together produce superior employee performance.
Copyright © 2011 Pearson Education

38. Human Resources Management 12e Gary Dessler
Evidence-Based HRM
Actual measurements
Existing data
Providing Evidence for HRM Decision Making
Research studies
Evidence-based HRM is the deliberate use of the best-available evidence in making decisions about the human resource management practices you are focusing on.
Copyright © 2011 Pearson Education

39. Human Resources Management 12e Gary Dessler
Managing Ethics
Ethics
Standards that someone uses to decide what his or her conduct should be
HRM-related Ethical Issues
Workplace safety
Security of employee records
Employee theft
Affirmative action
Comparable work
Employee privacy rights
Every line manager or human resource manager needs to keep in mind the ethical implications of his or her employee-related decisions.
Copyright © 2011 Pearson Education

40. Human Resources Management 12e Gary Dessler
HR Certification
HR is becoming more professionalized.
Society for Human Resource Management (SHRM)
SHRM’s Human Resource Certification Institute (HRCI)
SPHR (Senior Professional in HR) certificate
GPHR (Global Professional in HR) certificate
PHR (Professional in HR) certificate
As the human resource manager’s job becomes more demanding, HRM is becoming more professionalized. The Society for Human Resource Management’s (SHRM) HR professional certification exams test the HR professional’s knowledge of all aspects of HRM.
Copyright © 2011 Pearson Education

41. Strategy and the Basic HR Process

42. KEY TERMS management process human resource management (HRM) authority
line manager
staff manager
line authority
implied authority
functional control
employee advocacy
globalization
nontraditional workers
human capital
strategy
metrics
HR Scorecard
outsourcing