1. HUMAN RESOURCES MANAGEMENT
Lecture Notes for Business Introduction

2. HUMAN RESOURCES MANAGEMENT
Set of Organizational activities directed at attracting, developing, and maintaining an effective workforce
The process of acquiring, training, terminating, developing, and properly using the human resources in an organization
4/23/2017
Lecture Notes for Business Introduction

3. Lecture Notes for Business Introduction
The HRM Process
Human Resource Planning: Forecasting Demand Supply and Job Analysis
Staffing the Organization: Recruitment, Selecting, and Orientation
Developing the Workforce: Training and Performance Appraisal
Compensation and Benefit: Wages and Salaries, Incentive and Benefit Program
4/23/2017
Lecture Notes for Business Introduction

4. Human Resource Planning
Job Analysis – determining the tasks, the skills, abilities and responsibilities needed to perform the job
Job Description – a statement about a job’s duties
Job Specification – A statement of the human qualification needed to perform a job
4/23/2017
Lecture Notes for Business Introduction

5. Human Resource Planning
Forecasting the demand - estimating the personnel needs of organization
Forecasting the supply of labour:
Internal Supply
External Supply
Matching Demand with Supply
4/23/2017
Lecture Notes for Business Introduction

6. Lecture Notes for Business Introduction
4/23/2017
Lecture Notes for Business Introduction

7. Lecture Notes for Business Introduction
Recruiting
Recruitment – Steps taken to staff an organization with the best qualified people
Sources:
Internal recruiting
External recruiting from worker unions, university, employment agencies
4/23/2017
Lecture Notes for Business Introduction

8. Selection and Orientation
Selection – evaluating and choosing the candidates. Selection Process: application form, Tests, and Interview
Orientation – A procedure for providing new employees with basic background information about the firm
4/23/2017
Lecture Notes for Business Introduction

9. Training and Development
Training – supplying the skills, knowledge, and attitudes needed by employees to improve their abilities to perform their job
On-the Job Training
Off-the Job Training
Development – preparing someone for the new and greater challenges and more demanding job
4/23/2017
Lecture Notes for Business Introduction

10. Performance Appraisal
Performance Appraisal – appraising the employee’s performance in relation to job standards and then providing feedback to the employee
Methods:
Subjective Performance appraisal – performance criteria and rating scale are not defined
Objective Performance Appraisal – performance criteria and the method of measurement are specifically defined
4/23/2017
Lecture Notes for Business Introduction

11. Performance Appraisal Results
Promotions – job changes that lead to higher pay and greater responsibilities
Transfers – Lateral moves from one position to the other having similar pay and a similar responsibility level
Demotion – A movement from one position to another that has less pay or responsibility
Separation – departure of an employee from an organization
4/23/2017
Lecture Notes for Business Introduction

12. Lecture Notes for Business Introduction
Compensation
Compensation – determining an employee’s performance initial wages, making changes to wages, and offering accompanying benefits
Types:
Direct Compensation – an employee’s base pay and performance base pay
Indirect compensation – protection programs, private protection, and other benefits
Wages – Compensation based on time worked and number of units produced
4/23/2017
Lecture Notes for Business Introduction

13. Lecture Notes for Business Introduction
Motivating
Motivation – the way drives or needs direct a person’s behavior toward a specific goals
Motivation Theories:
Classical Theory
Behavior Theory
Contemporary Theories:Maslow’s Hierarchy Model, Theories X an Y, Two-Factor Theory, Expectancy Theory and Equity Theory
4/23/2017
Lecture Notes for Business Introduction

14. Maslow’s Needs Hierarchy
Five needs arranged in a hierarchy:
Physiological Needs - biological need
Security Needs – to be financially secure and protected against job loss
Social Needs – to belong and to interact with other people
Esteem Need – the need for self-respect and for respect from other
Self-Actualization Need – the need to use and display one’s full range competence
4/23/2017
Lecture Notes for Business Introduction

15. Lecture Notes for Business Introduction
4/23/2017
Lecture Notes for Business Introduction

16. McGregor’s Theory X and Theory Y
employees dislike work, responsibility, and accountability and
employees must be closely directed and controlled to be motivated
Theory Y
want to be challenge
like to display creativity
highly motivated to perform well if given some freedom to direct or manage their own behavior
4/23/2017
Lecture Notes for Business Introduction