Human

Resource
Management
 Contents in Brief
• Part One: HR Resources
Management in Perspective
– Development of HR Management:
Challenges
– EEO and Affirmative Action: The
Environment
• Part Two: Meeting HR
Requirements
– Job Requirements
– HR Planning and Recruitment
– Selection
 Contents in Brief
• Part Three: Developing
Effectiveness in HR
– Training
– Career Development
– Appraising and Improving Performance
• Part Four: Implementing
Compensation and Security
– Managing Compensation
– Incentive Compensation
– Employee Benefits
– Safety and Health
 Contents in Brief
• Part Five: Enhancing Employee
Relations
– Employee Rights and Discipline
– Labor Relations
– Collective Bargaining and Contract
Administration
• Part Six: International HR
Management and HR Audits
– International HR Management
– Creating High Performance Systems
Why are you studying HRM?
HRM CAREER ASPIRANT
NEED AS A MANAGER OF PEOPLE

Job
Organization
Decision

Successful
Staffing
Organization

Motivating Evaluating
People Talent

UNDERSTAND PEOPLE WORK RELATIONSHIPS

LEARN THE CONTENT UNDER WHICH PEOPLE PERFORM
 Core
Competencies
• Integrated knowledge sets
within an organization that
distinguish it from its
competitors and deliver value
to customers.
Human Resource Management

Human Resource Management:

Contribute to Organizational
Goals

Personnel: Record Keeping

Management Oriented
 Personnel Management
vs.
Human Resource Management
PERSONNEL MANAGEMENT HUMAN RESOURCES
MANAGEMENT
• Coordinates functions of • Coordinates personnel
the personnel program management with
• Involves a functional organization planning
approach • Involves a system
• Emphasizes behavior approach
and interpersonal • Emphasizes
relations environments and issues
• Success judged by • Success judged by
results achieved contributions to cost
through functions of the reductions and profit
personnel program growth or service
objectives
 Early Development
(Pre-1920’s)
• Factory System: Industrial Revolution
• Mass Production
• Scientific Management
• Efficiency
• Workers Pressed – Labor Union Strife
 Later Developments
(Post-1920’s)
• The Human Relations Movement
• Emergency Relations Movement
• Government Regulations
• Technology Revolution
 Foundations of Human Resources
Management
SCIENTIFIC MANAGEMENT
Provides a basis for: Focuses attention upon:
• Determining the best work
methods in order to:
- improve efficiency
- place right employee in
the right job
- teach employees the
right methods
• Establishing time
standards in order to:
- appraise performance
- eliminate unsatisfactory
performance
- reward superior
performance
HUMAN RELATIONS BEHAVIORAL SCIENCE
Is an extension of human
relations that:
- individual differences - involves an inter-
among employees disciplinary approach
- interpersonal relations at - views the organization
work as a dynamic system
- informal group behavior - is concerned with the
- employee attitudes and total organizational
opinions climate
- leadership techniques - is oriented toward both
- communication practices economic and humanistic
objectives
- retains concern for
employee participation,
group behavior, and
interpersonal relations
Overall Framework for HR
Current Focus

HUMAN
COMPETITIVE RESOURCES EMPLOYEE
CHALLENGES MANAGEMENT CONCERNS
• Globalization • Planning • Diversity
• Technology • Staffing • Age distribution
• Managing change • Job Design • Gender issues
• Intellectual capital • Training • Education levels
• Market response • Appraisal • Employee rights
• Cost containment • Compensation • Privacy issues
• Work Attitudes
• Work and family
Functional Specialization
Still Essential to
Achieve Organizational Goods

• Staffing/Planning
• Broader Job Design
• Recruitment
• Selection
• Training Staff
• Development
• Performance Management
• Compensation Management/Incentive
• Labor Relations/Global Teamwork
 Competencies of HR
Professionals
MANAGING
BUSINESS CHANGE HUMAN
CAPABILITIES PROCESSES RESOURCES
Financial, Diagnosis, Staffing,
Strategic, Influence, Development,
Technological Contracting, Appraisal,
Intervention, Rewards,
Problem Organizational
Solving, Planning
Relationships, Communication
Communication
 Professionalization of
Human Resource
Management
Development of Professional Organizations

1. Code of Ethics
2. Literature and Research
3. Body of Knowledge/University
Level Courses
Professional
Associations
 Professional Characteristics of
Human Resources Management
1. Experimentation and research is encouraged.
2. Organized body of information and knowledge has
been accumulated.
3. The exchange of information is promoted through
professional meetings and publications.
4. Adherence to an established code of ethics is
prescribed.
5. University curriculums for developing
practitioners have been created.
6. A program for accrediting practitioners has been
established.
 Code of Ethics
As a member of the Society for Human Resource Management, I
pledge myself to:
Maintain the highest standards of professional and personal conduct.
Strive for personal growth in the field of human resource management.
Support the society’s goals and objectives for developing the human
resource management profession.
Encourage my employer to make the fair and equitable treatment of all
employees a primary concern
Strive to make my employer profitable both in monetary terms and through
the support and encouragement of effective employment practices.
Instill in the employees and the public a sense of confidence about the
conduct and intentions of my employer.
Maintain loyalty to my employer and pursue its objectives in ways that are
consistent with the public interest.
Uphold all laws and regulations relating to my employer’s activities.
Refrain from using my official positions, either regular or volunteer, to
secure special privilege, gain or benefit for myself.
Maintain the confidentiality of privileged information.
Improve public understanding of the role of human resource management.
Human Resource Management

• Goals/Mission Statements/Visions
• Policies
• Procedures/Practice

I.U. Human Resources

 Corporate
Mission
Statements

• NCR Shared Values

• Walmart Value Statement
• J&J Credo
• Marathon Statement of Principle
s
 Objectives
Where are we going?

• Essential for Planning Purpose

• Rapid Decisions
• Consistent Decisions/Reliable
• Control of Process
• Feedback and Re-evaluation
 Policies
• Need
• Formulation by Management and
Workforce Teams
• Written in clear terms; No
misunderstandings
• Communication/Dissemination –
How?

IU Staff Policy Manual

 Sample HR Policy Statement
Subject:
Overtime Hours and Pay
Purpose:
To ensure equitable payment of overtime compensation to eligible
employees in accordance with all applicable provisions of federal and
state law.
Guidelines:
• The company’s workweek runs from Monday through Sunday, with
normal operating hours scheduled from 8 a.m. Monday through 5 p.m.
Friday. The normal daily work schedule for employees consists of an
eight-hour day within a 24-hour period. The normal weekly schedule
consists of a 40-hour week. Employees are entitled to a daily one-hour
unpaid lunch period, and to two 15-minute paid break periods each day.
 Sample HR Policy Statement
CONTINUED . . .
• Business demands or production deadlines occasionally may require
some employees to work overtime, which means more than eight hours
in a 24-hour day or more than 40 hours in a week. Supervisors will try
to inform employees well in advance of any overtime requirement.
Employees may not work more than their scheduled daily or weekly
hours without written authorization from their supervisor. In assigning
overtime, supervisors will seek to distribute extra hours equitably among
employees who have the required skills and abilities to perform the
necessary work.
• All employees considered “nonexempt” under the Fair Labor Standards
Act will be paid at the rate of time and one-half (1 1/2 times their
regular rate of pay) for all hours worked in excess of 40 in one week.
Scheduled holidays, vacation days, and time off for jury duty will be
considered hours worked for purposes of calculating overtime.
Unscheduled absences or time off for sickness, emergencies, or other
personal reasons will not be considered hours worked for overtime
purposes.
 Sample HR Policy Statement
CONTINUED . . .
• Nonexempt employees who work on company-recognized holidays will be
paid their regular rate for the extra hours worked, in addition to their
regular holiday pay. However, no “pyramiding” of paid holiday work
time, treating it as hours worked for weekly overtime computation
purposes is allowed.
• Employees considered “exempt” under the Fair Labor Standards Act will
be compensated for abnormal amounts of extra time worked. Exempt
employees will be paid their straight-time rate for all extra authorized
hours worked in excess of 46 in a week.
• Compensatory time off is not available to any employee--exempt or
nonexempt--for work in excess of regularly scheduled hours.
• Nonexempt employees must record their daily work hours either on time
clocks in their department or time cards supplied by their supervisor.
Occasional minor differences--five minutes or less--between a
nonexempt worker’s scheduled time and recorded work-time will be
ignored. Exempt employees must complete and turn in to their
supervisor a weekly report indicating how many hours they spent on
exempt work an how many, if any, on nonexempt work.
• Employees who falsify their own or another worker’s time record will be
subject to severe penalties, up to and including dismissal.
 Procedures

• Implement Policies
• Chronological Steps
• Periodic Review
• Modify as Needed

IU Staff Handbook for Professional

Staff
 Human Resources Management:
Goals, Policies, and Procedures

Policies Procedures
Org. goals Actions to
(guidelines) (steps) for Results
to be achieve Org. goals
governing taking achieved
achieved goals
action actions

Possible
action for Modification Modification
adjustment if needed if needed
needed

Review of Review of
policies procedures

Audit results against

organizational goals
 Human Resource Management
Information System
What are the Talent/Abilities of the
Workforce?
• Accurate Data
• Computer Requirement
• Inventories of Talents (KSAs)
– Knowledge
– Skills
– Abilities
• KSA: Education and Work Experience
 Human Resources
Information Systems
(HRIS)
• Computerized system that
provides current and accurate
data for purposes of control
and decision making.
 Human Resource
Management Budget
• Support for Managers
• Maintain Policies and Communication
Vehicles
• Financial Plan/HR Budgets
• HRIS
• Processes and Flows
• Surveys and Studies
• Support Staff
Organization of Human Resources Department

Human Resources Manager

Human
Employment
Employee Resources
Division Development Compensation Labor Planning
Division Division Relations
Recruitment Division Division
Interviewing Training Program Job Analysis Forecasting
Testing Operators Job Evaluation Collective Personnel
Placement Supervisors Work Standards Bargaining Inventories
Orientation Apprentices Wage Surveys Legal Planning
Reassignments Employee Grievance Models
Terminations Training Classification Suggestion
Instructors Resource
Records Plans
Facilities Information
Materials Bargaining Career Paths
Associations

Safety Employee
Division Medical Personnel Research Benefits
Division Equal
Division Division Opportunity
Safety
Campaigns Records and Reports Employer
Examinations Statistical Analysis Pensions
Engineering First Aid Profit
Inspections Manuals
Medical Systems and Procedures Sharing Affirmative
Education Facilities Savings Action Planning
Policies
Health Program Personnel Audits Insurance Records
Accident Treatment and Cafeteria Discrimination
Investigation Opinion surveys
Services Publications Complaints
Records Recreation Counseling and
Awards Counseling Liaison
Parking
Miscellaneous
 Qualifications for a Career in HRM
Academic Training Courses Extracurricular
• General education (behavioral Activities
sciences, English, communications,
psychology, mathematics, and • Professional
business courses including organizations
accounting, marketing, and others) • Publications staffs
• Human resources management • Student
• Supervision Personnel
• Labor relations Association
• Organizational behavior • Leadership roles
• Personnel and organizational in organizations
psychology
• Sociology
• Law
• Electronic data processing
• Statistics
• Economics
• Industrial engineering
 Qualifications for a Career in HRM
Personal Qualifications Desirable
• Integrity Employment
• Determination Experiences
• Competency • Experience at the
• Dependability operating level
• Fair-mindedness • Experience in positions
• Good mental health of leadership
• A sense of humor
• Ability to tolerate frustration
• A flexible approach to problems
• Ability to communicate effectively
• Patience
• Objectivity towards others
• Cooperative and understanding
attitude SHRM: HR Jobs
• Ability to listen effectively SHRM: HR News Online
• Human Relations skills Occupational Outlook Handbook
 Organizational Objectives
HR
Objectives

Processes of Mgmt
Planning
Organizing
Staffing
Directing
HR Controlling HR
Budgets Policies
HR Functions Performed
Job Analysis
Recruitment
Selection
Development
Performance
Appraisal
Compensation
Labor Relations

HR
Procedures
Responsibilities of Human
Resource Department
• In-house Consultant
• Structure of Department
• Jobs in Human Resources
Management
 Line vs. Staff Authority

Line Authority Staff Authority

(Production Manager) (HR Manager)
Superior through
delegation Knowledge, information
Derived from: and expertise in
Directives, regulations, functional area
assignments, etc.
Coordinate and control
Exercise discretion
performance of a function
Includes right to: Give orders and direction Provide consultation
Take disciplinary action and service in functional
areas
Other members of the
Subordinates in line of
organization in the
Exercised over: authority (Chain of
performance of a
Command)
particular function
 Human Capital
• The knowledge, skills,
and abilities of
individuals that have
economic value to an
organization.
HRM AS A COMPETITIVE
BUSINESS MODEL
The Competition Edge:
Comes from HR
• Value of Talent
• Rare Talent (hire, train,
motivate best)
• Not Easy to Duplicate
(Teams/Individuals)
• Organized Workforce
 COMPETITIVE
CHALLENGES CHANGE
PROFESSION
What are the “Competitive
Challenges?”

• Globalization
• Technology
• Change
• Human Capital
• Market Forces
• Worldwide Demographics
• Workforce Partnerships
 GLOBILIZATION
IMPACT
Differences/Issues
• Geographies
• Cultures
• Laws
• Business Practices
• Rewards
 TECHNOLOGY IMPACT
• Labor vs. Knowledge
• Education Levels
• Systems
– HRIS - ERP
– Database - E-Commerce
• Websites for Info

“Changes the Enterprise Work Processes”

HRM WEBSITES
• Cornell School of
Industrial & Labor
Relations

• Society of HRM

• TCM Training &

Development

• U.S. Dept. of Labor

• BPO Home Page

 IMPACT OF
CHANGE
• No Status Quo
• Always on Cutting Edge
• Staff Talents Must Adjust
• Very High People Resistance
• Creates
Stress/Pressure/Adoption
 IMPACT ON HUMAN CAPITAL
(Not just Financial Capital)
• Competition Through People
• Balance Sheet Item?
• People Investment
– High Rewards for Performance
– Use Talents Wisely
– Enhance Talents
– Organize Skill Sets
 Impact on
Global Competitive
Marketplaces

• Talent is Global
• Quality Products are Essential
• Business Process Management
creates Competitiveness
• Cost constantly Removed
• Speed to Market is Essential
 IMPACT
FROM ENHANCING
GLOBAL COST CONTROL
• Creates Downsizing
• Creates Mergers/Acquisitions
• Creates Reorganization for
Efficiency
• Forces Outsourcing
• Encourages Temporary
Workforce
– Temporary Workers
– Contract Employees/Leasing
GLOBAL DEMOGRAPHIC
CHANGES

• Diversity
• Age Distribution
• Gender Distribution
• Rising Levels of Education
• Employee Rights – Legal
• Employee Privacy
• Attitudes Toward Work
• Balancing Life Goals with Work Goods
Hot Links to HRM Articles:

HRM Trends

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