1. Welcome to MGTO 231 ! Human Resource Management Introduction to the Course

2. About us  Dr. Jeroen KUILMAN  M.Sc. from Maastricht University, Ph.D. from RSM Erasmus University, both in the Netherlands.  Joint appointment at Department of Organization & Personnel Management, RSM Erasmus University (The Netherlands)  E-mail: mnjgk@ust.hk, Room 2377mnjgk@ust.hk

3. About us  Instructional Assistant (IA): Sylvia LI  Room 2332 (near Lift 3)  E-mail: mnsylvia@ust.hkmnsylvia@ust.hk

4. About us  Our principles Open-door policy Equal treatment Interactivity Respect Honesty Fun

5. Course Objectives  What will I get from this course? Basic and fundamental knowledge of HRM Overall picture of how HRM works in organizational contexts How HR functions can improve firm performance

6. Difference OB and HRM?  Organizational Behavior (Social) psychology, sociology Topics covered: learning, decision- making, motivation, etc.  Human Resource(s) Management Tends to be a bit more applied Topics covered: everything from hiring to firing MGTO121: OB Prerequisite MGTO231: HRM

7. Course Materials  Where can I obtain the course materials? http://teaching.ust.hk/~mgto231/ PowerPoint files will be provided prior to each session and you can obtain them from the course website Textbook (Noe, Hollenbeck, Gerhart, and Wright’s “Fundamentals of Human Resource Management” should be available in the bookstore TODAY One supplementary textbook is reserved in library

8. Grade Distribution ComponentPoints A. Midterm225 B. Final exam225 C. Hot Seat assignments (6 X 25)150 D. WSC assignment75 E. Participation and attendance100 F. HRM Consultants Report225 TOTAL:1000 pts Note: You are allowed to miss at most 4 sessions

9. Manager’s Hot Seat Assignments  Code card with book  Group discussions in the form of business meetings  Secretary hands in a report about the meeting the day after.  First try-out next Monday

10. WSC Assignment  Case about HRM at Ocean Park (will be made available at the MGTO office, @ HKD20)  First draft will be graded by the Language Center (April 12)  Final draft will be graded by the instructor (April 20)

11. HRM Consultants Report  You take the role of a team of consultants.  You analyze a self-chosen HK company in terms of its HRM practices.  As professional consultants, you present your report at the end of the course.

12. Participation and Attendance  Participation during case discussions, lectures, guest lectures and assignments is very important.  In case you miss a business meeting session, you will have to do the case individually.  At most 4 sessions can be missed.  Taking attendance starts today, but people that join in later can easily catch up.

13. PRS Devices  Get your PRS device from the AV counter (Rm 1030, lift 1, close to Bank of China Branch)  Please bring your PRS to the next session!

14. Setting Expectations: Workload  Before mid-semester break: reasonable.  After mid-semester break higher due to deadlines for WSC assignment, HRM Consultants’ report.  Try to manage your workload by doing some preparations before the mid-semester break.

15. Why study HRM?  What do all the departments of HKUST Business School have in common?  What drives competitive advantage?  According to the Resource-Based View (RBV), firms need to have “something” that is: Valuable Rare Difficult to imitate Lack of substitutes Jay Barney

16.  Human Resources are one of the most critical determinants of competitive advantage.  Managing organizations is about managing people, and exceptional firms often have hard to substitute people with valuable, rare, hard to imitate skills and knowledge.  So even if you do not plan to become an HR manager, knowledge about HRM helps you to understand how organizations work. Why study HRM?

17.  What kind of positions? HR Director HR Manager Specialized functions: In-House Recruitment Manager, Compensation & Benefits Specialist HR/Personnel Officer, Administration Manager But also: (HR) Consultant, General Management  Salaries vary across industries

18. An HRM Framework Understanding the jobs Pursuing human resources Evaluating human resources Retaining (useful) human resources Strengthening human resources Separating human resources

19. An HRM Framework Understanding the jobs Pursuing human resources Evaluating human resources Retaining (useful) human resources Strengthening human resources Separating human resources

20. Understanding the Job and Duty  Organizational structure The structure of a firm  Work Flow The processes through which a product or a service is produced  Job analysis The process that defines the details of a job

21. An HRM Framework Understanding the jobs Pursuing human resources Evaluating human resources Retaining (useful) human resources Strengthening human resources Separating human resources

22. Pursuing human resources  Staffing Recruitment  Getting a pool of qualified candidates Personnel selection  Select the specific one to hire

23. An HRM Framework Understanding the jobs Pursuing human resources Evaluating human resources Retaining (useful) human resources Strengthening human resources Separating human resources

24. Evaluating human resources  Performance appraisals Identify the performance Measure and assess the performance Feedback for future improvement

25. An HRM Framework Understanding the jobs Pursuing human resources Evaluating human resources Retaining (useful) human resources Strengthening human resources Separating human resources

26. Retaining human resources  Compensation How much shall I pay for an employee? Why I shall pay this amount?  Benefits Indirect compensation Providing a more attractive feeling of working

27. An HRM Framework Understanding the jobs Pursuing human resources Evaluating human resources Retaining (useful) human resources Strengthening human resources Separating human resources

28. Strengthening human resources  Pay for performance  Training Special or general skills  Development Promotion Career development

29. An HRM Framework Understanding the jobs Pursuing human resources Evaluating human resources Retaining (useful) human resources Strengthening human resources Separating human resources

30.  Separations Layoffs, voluntary retirement Reengineering, downsizing

31. Special Topics in HRM  International HRM  Workforce diversity  Labor unions/collective bargaining  Organizational change

32. Strategic HR choices  Manager or top-management have to decide policies and actions that are consistent with their goals!  There are many strategies they can choose in various HR contexts  The choices may be different for different Business strategies

33. Some strategic HR Choices  Work Flows Efficiency  Innovation Control  Flexibility Explicit job description  Broad job classes Detailed work planning  Loose work planning  Staffing  Internal recruitment  External recruitment  Supervisor makes hiring  HR makes hiring  Fit wit firm’s culture  skill and qualification  Informal hiring  Formal hiring

34.  Separations  Voluntary inducements to retire  Layoffs  Hiring freeze  Recruitment as needed  Continuing support after termination  Letting them fend for themselves  Preferential rehiring  No preferential Some strategic HR Choices  Performance appraisal  Customized appraisals  Uniform appraisal Procedures  Multiple purpose appraisals  Control-oriented appraisals  Multiple inputs (peers, subordinate)  Supervisory input only

35.  Training and development  Individual training  Team training  Job-specific training  Generic training  Buy skills with higher wages  make skills at lower wages  Compensation  Fix pay  Variable pay  Job-based pay  Individual-based pay  Seniority-based pay  Performance-based pay  Centralized pay decisions  Decentralized one Some strategic HR Choices

36.  International management  Create global company culture  Adapt to local culture  Rely on expatriates  Rely on country nationals  Repatriation agreement  No formal repatriation  Universal company policies  Country-specific company polices Some strategic HR Choices

37. Choices of HR strategies  No HR strategy is “good” or “bad” in and of itself  Depends on the situation/context  Fit between the strategies and organizations

38. That’s it...  See you on Wednesday!  Don’t forget to pick up book (prepare Chapter 4 and have a quick look at Chapter 1)  Also please pick up your PRS handset!