CHAPTER 2

TRENDS AFFECTING
HUMAN RESOURCE
MANAGEMENT

PowerPoint Presentation by Charlie Cook

Copyright 2002 South-Western. All rights reserved

Major
Major Factors
Factors Affecting
Affecting HRM
HRM

Technological
Advancement

Demographics
and Diversity

Strategic
HRM

Globalization
Copyright 2002 South-Western. All rights reserved.

22

Technology
Technology and
and HRM
HRM

Copyright 2002 South-Western. All rights reserved.

23

Technology
Technology Challenges
Challenges for
for HRM
HRM

Copyright 2002 South-Western. All rights reserved.

24

Workforce
Workforce Demographic
Demographic Changes
Changes

The
TheGraying
Grayingof
ofthe
theWorkforce
Workforce
Negative
NegativeAspects
Aspectsof
ofOlder
OlderWorkers
Workers

Perceived
Perceivedresistance
resistancetotochange
changeby
byolder
olderworkers.
workers.
Increased
Increasedhealth-care
health-carecosts
costsfor
forsenior
seniorworkers
workers
Blocking
Blockingadvancement
advancementopportunities
opportunitiesfor
foryounger
youngerworkers
workers
Higher
Higherwage
wageand
andsalary
salarycosts
costsfor
forsenior
seniorworkers
workers

Positive
PositiveAspects
Aspectsof
ofOlder
OlderWorkers
Workers

As
Asproductive
productiveorormore
moreproductive
productivethan
thanyounger
youngerworkers
workers
Have
Havemore
moreorganizational
organizationalloyalty
loyaltythan
thanyounger
youngerworkers
workers
Possess
Possessbroader
broaderindustry
industryknowledge
knowledgeand
andprofessional
professionalnetworks
networks

Copyright 2002 South-Western. All rights reserved.

25

Workforce
Workforce Demographic
Demographic Changes
Changes
Baby
BabyBoomers
Boomers(1945
(19451962)
1962)

InInexcess
excesssupply
supplyininmiddle
middlemanagement
managementranks
ranks

Baby
BabyBusters
Busters(1963
(1963mid-1970s)
mid-1970s)

Are
Arecareer
careerbottlenecked
bottleneckedby
bythe
theBoomers
Boomers
Who
Whohave
haveskills
skillsininhigh
highdemand
demandare
aredoing
doingand
andwill
willdo
dowell
well

Generation
GenerationXers
Xers(late
(late1970s
1970searly
early1980s)
1980s)

Have
Havelife-long
life-longexposure
exposuretototechnology
technologyand
andconstant
constantchange
change
Seek
Seekself-control,
self-control,independence,
independence,personal
personalgrowth,
growth,creativity
creativity
Are
Arenot
notfocused
focusedon
onjob
jobsecurity
securityororlong-term
long-termemployment.
employment.

Copyright 2002 South-Western. All rights reserved.

26

New
New Employee/Workplace
Employee/Workplace Dynamics
Dynamics
Emphasis
Emphasison
onthe
theManagement
Managementof
ofProfessionals
Professionals

Establishment
Establishmentofofseparate
separatecareer
careertracks
tracks
Technical/Professional,
Technical/Professional,Managerial
Managerial/Administrative
/Administrative
Use
Useofofproject
projectteams
teams

Less
LessEmployee
EmployeeLoyalty,
Loyalty,More
MoreLoyal
Loyalto
toSelf
Self

Staying
Stayingwith
withemployers
employersfor
forshorter
shorterperiods;
periods;demanding
demandingmore
moremeaningful
meaningful
work
workand
andinvolvement
involvementininorganizational
organizationaldecisions
decisions

Increased
IncreasedPersonal
Personaland
andFamily
FamilyDynamic
DynamicEffects
Effects

More
Moresingle-parent
single-parentfamilies,
families,dual-career
dual-careercouples,
couples,and
anddomestic
domesticpartners
partners

Increased
IncreasedNontraditional
NontraditionalWork
WorkRelationships
Relationships

Part-time,
Part-time,consulting,
consulting,and
andtemporary
temporaryemployment
employmentflexibility
flexibility
Outsourcing
Outsourcingand
andentrepreneurial
entrepreneurialopportunities
opportunities

Copyright 2002 South-Western. All rights reserved.

27

Managing
Managing Workplace
Workplace Diversity
Diversity
Understanding
Understandingand
andAppreciating
AppreciatingDiversity
Diversity

IsIscritical
criticaltotoeffectively
effectivelymarketing
marketingtotoethnic
ethnicand
andminority
minoritygroups
groups
IsIspromoted
promotedby
byhaving
havingaadiverse
diverseworkforce
workforceatatall
allorganization
organizationlevels
levels
Helps
Helpsensure
ensurethat
thathiring
hiringand
andpromotion
promotiondecisions
decisionsare
areunbiased
unbiasedby
byperson
person
differences
differences

Diversity
DiversityManagement
ManagementPrograms/Initiatives
Programs/Initiatives

Must
Mustbe
beintegrated
integratedwith
withorganizations
organizationsmission
missionand
andobjectives
objectives
Help
Helpkey
keydecision
decisionmakers
makersidentify
identifydiversitys
diversitysbenefits
benefitstotothe
theorganization
organization
Make
Makecritical
criticaldecisions
decisionsabout
aboutimplementing
implementingthe
theoptimal
optimalprogram/initiative
program/initiative
contingent
contingenton
onthe
theorganization
organizationand
andits
itspeople,
people,mission
missionand
andculture.
culture.

Copyright 2002 South-Western. All rights reserved.

28

Reading
Reading 2.1:
2.1: Telecommuting
Telecommuting
Benefits
Benefits

Reduced
Reducedwork
work
commuting
commutingtime
time
Employee
Employeeretention
retention
Increased
Increasedgeographic
geographic
recruiting
recruitingflexibility
flexibility
Reduced
Reducedcosts
costsofofdoing
doing
business
business(reduced
(reducedoffice
office
space)
space)
Significant
Significantproductivity
productivity
gains
gains

Copyright 2002 South-Western. All rights reserved.

Obstacles
Obstacles

Difficulty
Difficultyininmeasuring
measuring
performance
performance
Determining
Determiningeligible
eligiblejobs
jobs
Individual
Individualemployee
employee
characteristics
characteristics
Assumption
Assumptionofofhome
homeoffice
office
expenses/liabilities
expenses/liabilities
Managerial
Managerialresistance
resistancetoto
telecommuting
telecommuting
Increased
Increasednetworking
networkingcost
cost
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Reading
Reading 2.2:
2.2: Workplace
Workplace Diversity
Diversity
Issues
IssuesAffecting
AffectingDiversity
DiversityPolicymaking
Policymaking

Why
Whydiversity
diversityisisinternally
internallyand
andexternally
externallyimportant
importanttotothe
theorganization?
organization?
How
Howisisdiversity
diversityrelated
relatedtotothe
thecurrent
currentand
andfuture
futuremission
missionand
andstrategic
strategic
objectives
objectivesofofthe
theorganization?
organization?
How
Howisisdiversity
diversitytotobe
bedefined
definedininits
itsinclusion
inclusionand
andexclusion
exclusionofofthe
theextent,
extent,
composition,
composition,and
andrecognition
recognitionofofdifferences?
differences?
Should
Shouldthe
theorganization
organizationmake
makespecial
specialefforts
effortstotoattract
attractaadiverse
diverse
workforce?
workforce?and
andfor
forwhat
whatpurposes?
purposes?
How
Howdo
doexisting
existingemployees
employeesand
andconstituents
constituentsfeel
feelabout
aboutdiversity?
diversity?
What
Whatspecific
specifictypes
typesofofdiversity
diversityinitiatives
initiativeswill
willbe
beundertaken?
undertaken?and
andtoto
meet
meetwhat
whatobjectives?
objectives?

Copyright 2002 South-Western. All rights reserved.

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