Human Resource

Management
DeCenzo and Robbins

Chapter 1
Strategic Implications of a Dynamic HRM Environment
The Organization as an Open
System

.
.
Introduction
HRM is a subset of management. It has five main goals:

attract
employe
es

retain hire
employe Goals employe
es es
of
HRM
motiv
train
ate employe
employe es
es
Competent employees = Competitive advantage.
 HRM
• The World of Work - continues to change, but
at an even more rapid pace.
• HR must understand the implications of:
– globalization
– technology changes
– workforce diversity
– changing skill requirements
– continuous improvement initiatives
– the contingent work force
– decentralized work sites
– and employee involvement/engagement
 Understanding Cultural
Environments
• HRM must ensure that
– employees can operate in the appropriate language
– communications are understood by a multilingual work force
• Ensure that workers can operate in cultures that differ on
variables such as
– status differentiation
– societal uncertainty
– assertiveness
– individualism
• HRM also must help multicultural groups work together.
 Understanding Cultural
Environments

• Dimensions for Cultural differences:

– Assertiveness
– Future Orientation/attitude
– Gender Differentiation
– Power Distance/Status Difference
– Individualism/collectivism
– Performance orientation
– Time Orientation (Monochronic vs Polychronic
Society)
 Understanding Cultural
Environments

• Cultural Implications for HRM

– Not all HRM theories and practices are
universally applicable.
– HRM must understand different cultural
values and adapt accordingly.
– Glocal (Global + Local) approach:
Think globally, Act locally
 The Changing World of
Technology
Technology
•Has altered the way people work.
•Has changed the way information is created,
stored, used, and shared.
•Industrial Revolution: The move from agriculture
to industrialization created a new group of
workers – the blue-collar industrial worker/miner.
•Since WWII, the trend has been a reduction in
manufacturing work and an increase in service
jobs.
 The Changing World of
Technology

• Knowledge Worker - individuals whose jobs

are designed around the acquisition and
application of information.
• Why the emphasis on technology:
– makes organizations more productive
– helps them create and maintain a
competitive advantage
– provides better, more useful information
The Changing World of Technology

HR information system (HRIS) or

HR Management System (HRMS) helps to

facilitate HR plans

make decisions faster

clearly define jobs

evaluate performance

provide desirable, cost-effective benefits

The Changing World of Technology

HR managers use technology to:

recruit, hire, and train employees

motivate and monitor workers

research fair compensation packages

communicate throughout the organization

evaluate decentralized employees’ performance

.
 Workforce Diversity

• How Diversity Affects HRM

– Need to attract and maintain a diversified work force
that is reflective of the diversity in the general
population.
– Need to foster increased sensitivity/tolerance/respect
to group differences.
– Must deal with different Values, Needs, Interests and
Expectations of employees
– The challenge is to make organizations more
accommodating / (not to eliminate) to diverse groups
of people. Equal employment opportunity.
 Work-Life Balance

• What is Work/Life Balance?

– A balance between personal life and work
– Concept of triad: work, personal effect & rest/sleep
– Causes of overlapping between work and life
• The creation of global organizations means the world
never sleeps i.e., work never stops.
• Communication technologies allow employees to work at
home / on the move or anywhere.
• Organizations are asking employees to put in longer hours.
• Fewer families have single breadwinner (income earner).
Work-Life Balance?

.
 The Labor (all types of people or employee) Supply

HR managers monitor the number of people in the

organization.
– Organizations are increasingly using contingent workers to
respond to fluctuating needs for employees.
– Trend is to rightsize: fit workforce numbers to organizational
goals or requirement.

– For agility, in addition to Core (Regular or fulltime)

employees, organizations build a contingent workforce of
b.part-time workers
c.temporary workers
d.contract workers
 Contingent Employees

• Issues / problems Contingent employees may

Create for HRM:
– How to attract quality temporaries/part-timers
– How to motivate employees who are generally
receiving less pay and benefits
– How to have them available when needed
– How to quickly adapt them to the organization
– How to deal with potential conflicts between core
and contingent employees
 A Look at Ethics

• Three views of ethics:

– Utilitarian View – decisions are made based on their
outcomes or consequences
– Rights View – decisions are made with concern for
respecting and protecting individual liberties and privileges
under universal human rights
– Theory of Justice View – decisions are made by enforcing
rules fairly and impartially

• Code of ethics - a formal document that describes

an organization’s primary values and the ethical rules
it expects organizational members to follow.
• HR managers must take part in forming and enforcing
ethical rules.