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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-1 Chapter 1 Meeting Present and Emerging Strategic Human Resource Challenges
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-2 Challenges Facing HR Management Planning and Implementing Strategic HR Policies Selecting HR Strategies to Increase Firm Performance HR Department and Managers: An Important Partnership Chapter Overview
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-3 Manager Line Employee Staff Employee Senior Employee Junior Employee Exempt Employees Nonexempt Employees Types of Employees
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-4 Key HR Challenges for Managers
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-5 Key HR Challenges: Environmental Rapid Change The Internet Revolution Workforce Diversity Globalization Legislation Evolving Work and Family Roles Skill Shortages Rise of the Service Sector Natural Disasters
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-6 Competitive Position Decentralization Downsizing Organizational Restructuring Self-Managed Work Teams The Growth of Small Businesses Organizational Culture Technology Internal and Data Security Outsourcing Product Integrity Key HR Challenges: Organizational
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-7 Matching People and Organizations Ethics and Social Responsibility Productivity Empowerment Brain Drain Job Insecurity Key HR Challenges: Individual
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-8 Strategic HR Policies: Benefits Encouraging Proactive Behavior Communicating Company Goals Stimulating Critical Thinking and Ongoing Examination of Assumptions Identifying Gaps Between Current Situation and Future Vision Encouraging Line Managers’ Participation Identifying HR Constraints and Opportunities Creating Common Bonds
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-9 Strategic HR Policies: Challenges Maintaining a Competitive Advantage Reinforcing Overall Business Strategy Avoiding Excessive Concentration on Day-to-Day Problems Develop HR Strategies Suited to Unique Organizational Features Coping with the Environment Securing Management Commitment Translating the Strategic Plan into Action Combining Intended and Emergent Strategies Accommodating Change
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-10 Strategic HR: Choices Work Flows Staffing Employee Separations Performance Appraisal Training and Career Development Compensation Employee Rights Employee and Labor Relations International Management
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-11 To increase firm performance HR strategies should fit with other aspects of the organization Selecting HR Strategies
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-12 Corporate Strategies Evolutionary Steady State HR Strategies: Fit with Organizational Strategies Porter’s Business Unit Strategies Cost leadership Differentiation Focus Miles and Snow’s Business Strategies Defender Prospector
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-13 Degree of Uncertainty Magnitude of Change Complexity Volatility HR Strategies: Fit with Environment
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-14 Production Process Firm’s Market Posture Firm’s Overall Managerial Philosophy Firm’s Organizational Structure Firm’s Organizational Culture HR Strategies: Fit with Organizational Characteristics
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-15 Distinctive Competencies Give firm competitive edge HR Strategies: Fit with Org. Capabilities HR Strategies should Help firm exploit its competencies Assist the firm to help use its HR skills
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-16 HR and Managers: A Partnership Role of HR Dept: To support manager’s HR responsibilities HR Audit: Conduct Periodically Evaluates how effective firm is at using human resources Often evaluates HR too
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Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall 1-17 Summary and Conclusions Are many challenges in HRM Plan and Implement HR Strategic Policies and procedures should be congruent Select strategies that increase performance HR department and management are an important partnership
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