Professional Documents
Culture Documents
Module - 01
Module - 01
Module - 01
Management (HRM)?
• Human resource management is the effective use of
human resources in order to enhance organizational
performance
• HRM is the art of procuring, developing and
maintaining competent workforce to achieve goals of
an organisation in an effective and efficient manner
Human Resource Management Functions
Effective HRM Practices
• Training & Development
Employment Security
• Selectivity in Recruiting
Cross-Utilization & Cross-Training
• High Wages
Wage Compression
• Incentive pay
Promotion From Within
• Employee
Taking the Ownership
Long View
• Information Sharing
Measurement of Practice
• Participation
Overall Philosophy
& Ownership
• Self-Managed Teams
Effective HRM Practices
• Very few firms will engage in all practices
• While these practices are important for
success, there are other determinants as well
• Downsides exist
– Requires more involvement and responsibility
than some employees want
– Managers & others may resist them as well
– Turnover may result
1–4
Exhibit 1-3
HR Value Chain
1–9
Introduction
Definition-
• Strategic human resource management is the
integration of human resource management and
strategic management process.
• Knowledge facilitator
– Procures necessary employee knowledge & skill sets that
allow information to be acquired, developed, & disseminated
– Provides a competitive advantage
– Must be part of strategically designed employee development
plan
Adopting an Investment Perspective
• Determines how to best invest in people
• Costs
– Out-of-pocket
– Opportunity
• Human assets become competitive advantage
• Required skills become less manual, more
knowledge-based
• Appropriate, integrated, strategy-consistent
approach is needed
Strategic planning
1. DEVELOPMENT OF ORGANIZATIONAL PHILOSOPHY
AND MISSION STATEMENT
2.ENVIRONMENT SCANNING
3. SWOT ANALYSIS
4. FORMULATION OF STRATEGIC OBJECTIVES
5.GENERATION OF ALTERNATIVES FOR ACHIEVING
OBJECTIVES
6.EVALUATION AND SELECTION OF STRATEGIES
NEED FOR STRATEGIC HR
• Enhancement of organization’s economic performance
• To survive in the market especially to handle the critical
aspects
• To utilize the human resource in the most effective and
optimum manner
• To adapt to various changes in the HR policies and practices in
accordance with the government legislations.
• To assist the organization in its career and succession
planning
• To ensure stability of the organization with contented work
force and appreciation from the stakeholders and the public.