HUMAN RESOURCE

MANAGEMENT

Dr Khine Mar Hlaing

Pro-Rector
Monywa University of Economics
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 RESOURCE

“Four attributes” of a resource

1. Valuable
2. Rare
3. Imperfectly imitable
4. Cannot be equivalent substitute

“ People are the Most Important Resource”

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 MANAGEMENT

 An organization consists of people with formally assigned roles who work

together to achieve the organizations goals.
 A manager - responsible person for accomplishing the organizations goals, by
managing the efforts of people
 Managing involves four functions: (Management Process)
 Planning
 Organizing
 Leading and
 Controlling
 WHY WE NEEDED TO STUDY HRM?

 HR managers spend majority of their time on personnel issues

 HRM is essential for business men especially entrepreneurs/
small business owners
 To avoid the personnel mistakes
 To improve profits and performance
 PERSONNEL MISTAKES
 Hire the wrong person for the job
 Experience high turnover
 Have your people not doing their best
 Waste time with useless interviews
 Have your company in court because of discriminatory actions
 Have your company receive penalties for unsafe practices
 Have some employees think their salaries are unfair and inequitable
relative to others in the organization
 Allow a lack of training to undermine your department’s effectiveness
 Commit any unfair labor practices
1–5
PERSONNEL ASPECTS OF A MANAGER’S JOB
 Conducting job analyses
(determining the nature of each employee’s job)
 Planning labor needs and recruiting job candidates
 Selecting job candidates
 Orienting and training new employees
 Training and developing managers
 Managing wages and salaries (compensating employees)
 Providing incentives and benefits
 Appraising performance
 Communicating (interviewing, counseling, disciplining)
 Building employee commitment
1–6
 ORIGIN OF HRM

 Welfare Capitalist
 Labor Management
 Personnel Management
 Enter HRM

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 CHANGING PERSPECTIVES
Personnel Management
 In the past – a strong functional focus
(Administration of specific employee related functions)
 More modern view- all personnel functions are interrelated and
management of these functions have tremendous effects on an
organization’s ability of goals achievement.
 HRM view- understanding the interrelationship of all HRM activities
and appreciation of their contribution to the organization’s success
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 WHAT IS HRM?
 HRM - the philosophy,
 policies,
 procedures, and
 practices related to the management of people within an
organization.” [Wendell French (1990)]
 HRM - a strategic, integrated and coherent approach to the
employment, development and wellbeing of the people working in
organizations. [Armstrong
(2010)] 9

 A collection of policies used to
organize in the employment relations
 Concerned with
 Recruitment and selection
 Learning and development
 Reward
 communication & employee
involvement
 Teamwork & performance
management
HRM
 HRM offered two advantages
 It is more strategic
 Appropriately designed and
integrated HRM policies to create
an organizational climate
 Strategic deployment of a highly
committed and capable workforce,
using an arrays of cultural, structural
and personnel techniques
 PERSONNEL MANAGEMENT
AND HRM
PERSONNEL MANAGEMENT
 Administrative
 Not central to organization
 Mediating role between
management and workforce
 Emphasis on written rules and
procedures
 Management hierarchy
 Controlled access to training
HRM
 Strategic
 Seen as essential
 A central management role
 Stress on flexibility
 Team-based structure
 The learning organization
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 Major Functions of HRM
Attract an Effective
Workforce
1. HR Planning
2. Job Analysis
3. Recruitment and
Selection

Maintain an Effective Develop an Effective

Workforce Workforce
4. Training and development
6. Reward
5. Performance Appraisal
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ATTRACTING AN EFFECTIVE WORKFORCE

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1. HUMAN RESOURCING PLANNING
(HRP)

The right number of

the right sorts of people
in the right place
at the right time and
for the right cost

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 2. JOB ANALYSIS

Job
Job Descriptions
Descriptions
Tasks,
Tasks,Duties,
Duties,
Responsibilities
Responsibilitiesof
ofjobs
jobs
(TDR)
(TDR)
Job
JobAnalysis
Analysis
Job
Job Specifications
Specifications
Knowledge,
Knowledge,Skills
Skillsand
and
Ability
Ability
(KSA)
(KSA)

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 3. RECRUITMENT & SELECTION
 Recruitment methods
1. Internal recruitment
 Jobs posting through intranet, notice boards etc.
2. External recruitment
 Advertising
 Employee Referrals
 Private employment agencies
 Education and training centers
 Job fair
 E-recruitment 16
 3. RECRUITMENT & SELECTION (CONT.)

 Selection methods
 CV or application forms
 Short listing
 Interviews
 Tests
 Achievement test
 Personality test
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3. RECRUITMENT & SELECTION (CONT.)

 The Job offer

 Confirm on phone or mailing post or email
 Major Duties, Responsibility, Task, Procedure
 Working Hours
 Remuneration / Compensation
 Benefits Summary
 Time limit for responding to the offer
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4. TRAINING AND DEVELOPMENT
MODEL OF A TRAINING SYSTEM
 ASSESSMENT PHASE

 Needs assessment refers to the process used to determine

whether training is necessary.
 Managers can identify training needs by considering
three sources.
 Organizational Analyses
 Task Analyses
 Person Analyses
 ASSESSMENT PHASE
ESTABLISHING T&D OBJECTIVES

 Must have clear and concise objectives.

 Without them, designing meaningful T&D program

would not be possible.

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 IMPLEMENTATION PHASE
SELECTING TRAINING APPROACHES

 On the Job training (OJT)

 Simulation
 Cooperative Training
 Behaviorally Experienced Training
 Classroom and Conference Training
 Distance training
CONSIDERATION WHEN SELECTING TRAINING APPROACHES
 EVALUATION PHASE

 Ways of Evaluation of Training

 Cost/benefit analysis
 Benchmarking
 Levels of Evaluation
 In-House Trainers Outsourced to External Expert

 Training that is more specific to  An outside perspective

needs  New viewpoints
 Lower Costs  Exposure to faculty experts
 Less Time and research
 Consistent, relevant material  Broader vision
 More control of content and faculty
 Development of organizational
culture and teamwork
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 FACTORS INFLUENCING ON
TRAINING AND DEVELOPMENT

 Top Management Support

 Commitment from Specialists and Generalists
 Technological Advances
 Organization Complexity
 Learning Styles
 Other Human Resource Functions

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 BARRIERS TO LEARNING

 Pressure of time
 Lack of resources
 Organization culture
 Lack of commitment from senior management
 Lack of line manager support
 Lack of employee motivation

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 5. PERFORMANCE APPRAISAL

 It is the systematic of how well employees are performing

their jobs in relation to established standards and the
communication of that assessment to employees
 It must take place at several levels
 Organization
 Department
 Team
 Individual
5. PERFORMANCE APPRAISAL (CONT.)

Types of Appraisals
 Downward Appraisal
 Upward Appraisal
 Peer Appraisal
`
 Self Appraisal
`
 360 degree Appraisal
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MAINTAINING AN EFFECTIVE WORKFORCE

 HR professionals are required to maintain a workforce

that has been recruited and developed.
 Maintenance of the current workforce involved
 compensation
 benefits or reward
 wages and salaries, and
 occasional terminations.
 6. EMPLOYEE REWARD

 The most important part of HRM activities

 It involves both
 financial
(wages, salaries, bonus, allowances etc.) and
 non-financial reward
(recognition, opportunities to develop, career opportunities,
quality of working life etc.)

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 COMPENSATION AND BENEFITS (REWARD)

Financial Nonfinancial

Direct Indirect Job Job Environment

Wages Uniform Skill Varity Sound
Policy
Salaries Health Care Task Identity Competent
Employees
Commission Task Significance Working Condition
Autonomy Flextime
Feedback Job Sharing
Flexible
 COMPENSATION

 All monetary payments and

 All goods and commodities used instead of money to reward
employees
 Important part of HRM
 Facilitate to attract and retain talented workers
 Impact on strategic performance
 HR managers design the compensation structure to fit
company’s strategies
 COMPENSATION EQUITY

 Good managers strive to maintain a sense of fairness and

equity within the pay structure
 Job evaluation- the process of determining the value of job
through an examination of job content
 Can compare jobs and internally equitable pay rate determined
 Employees are experienced that the pay rate are fair relative to
other job
 Equity Theory
Ratio Employee’s
Comparison* Perception

Outcomes A < Outcomes B Inequity (Under-Rewarded)

Inputs A Inputs B
Outcomes A = Outcomes B Equity
Inputs A Inputs B
Outcomes A > Outcomes B Inequity (Over-Rewarded)
Inputs A Inputs B
*
Where A is the employee, and B is a relevant other or referent.

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 BENEFITS
 Most organizations
 provide insurance and
 other programs for their health, safety,
 security, and general welfare.
 Benefits- all financial rewards that employees generally receive indirectly.
 This type of compensation has two distinct advantages:
 it is generally nontaxable to the employees
 the cost of some benefits may be must less for large groups of employees
than for individuals
 BENEFITS
 Benefits are typically
 unrelated to employee productivity,
 they do not generally serve as motivation for improved performance.
 they may be valuable in recruiting and retaining employees,
 Types of benefits
 Mandated benefit
 Discretionary
 Fringe benefit
THE NEW HR MANAGER
 New Proficiencies
 HR proficiencies
 Business proficiencies
 Leadership proficiencies
 Learning proficiencies
 THE NEW HR MANAGER

 The Need to “Know Your Employment Law”

 Equal employment laws
 Occupational safety and health laws
 Labor laws
 UNDERSTANDING PEOPLE

1. Never blame.
2. Few Social Behaviors are Explicit
3. Behavior is Largely Dictated by Selfish Altruism
4. People Have Poor Memories
5. Everyone is Emotional
6. People are Lonely
7. People Are Self-Absorbed?
THANKS A LOT