FUNDAMENTALS
OF
HRM
FUNDAMENTALS OF HRM
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Introduction.
What are the Management Essentials.
Why is HRM important to an organization?
How do external influences affect HRM?
What activities occur in staffing function?
What are the goals of training &
Development?
What is a motivation function?
How important is the maintenance function?
How are HRM functions translated into
practice?
Summing / Discussion.
WHAT ARE THE MANAGEMENT
ESSENTIALS?
MANAGEMENT:
The process of efficiently getting activities completed with
and through other people.
PLANNING:
A management function focusing on setting organizational
goals and objectives.
ORGANIZING:
A management function that deals with what jobs are to be
done, by whom, where decisions are to be made and the
grouping of employees?
LEADING:
A management function concerned with the directing the
work of others.
CONTROLLING:
A management function concerned with monitoring activities.
FUNCTION OF HRM – TERMINOLOGY
MANAGEMENT THOUGHT:
Early theories of management that promoted
today’s HRM operations.
SCIENTIFIC MANAGEMENT:
A set of principles designed to enchase worker
productivity.
HAWTHORNE STUDIES:
A series of studies that provided new insights into
group behavior.
WHY IS HRM IMPORTANT TO AN
ORGANIZATION
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Pre-sixties situation – Personal Management
The changing environment
Global competition has increased the needs for organization
to improve productivity of workforce & looking globally for
best & qualified workers.
This resulted in need for HRM specialists to trained in
psychology, sociology, law and organization and work design.
Employees need to be trained to function effecting with the
organization & follow up with ED.
Need practices to ensure employees maintain their
productive affiliation with the organization.
Attract, train, retain, maintain & keep engaged so that they
stay with organization.
Professionals in HR are important for success.
HR jobs are of new levels of sophistication & status elevated.
WHY IS HRM IMPORTANT TO AN
ORGANIZATION
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General.
The strategic nature.
Human Resources Management is part of the organization
that is the concerned with the peoples dimension.
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More specifically, HRM is an approach consisting of four
basic functions;
1.
2.
3.
4.
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HRM can be viewed in two ways.
First: HRM is a staff or support function in the organization.
Second: HRM is a function of every manager’s job.
Staffing.
Training & Development.
Motivation.
Maintenance.
In less academic terms we might say HRM is made up of four
activities:
1.
2.
3.
4.
Getting People.
Preparing Them.
Stimulating Them.
Keeping Them.
HOW DO EXTERNAL INFLUENCES
AFFECT HRM
The four Activities of HRM do not exist in isolation.
They are highly affected by organization.
 The dynamic environment of HRM.
 Governmental legislation.
 Labour unions.
 Management thoughts.
FUNCTIONS OF HRM
STAFFING FUNCTION: Activities in HRM concerned with sourcing and
hiring qualified employees.
MAINTENANCE FUNCTION: Activities in HRM concerned with
maintaining employees commitment and loyalty to the organization.
MOTIVATION FUNCTION: Activities in HRM with helping employees
exert high energy level.
COMMUNICATION PROGRAMS: HRM programs designed to provide
information to provide information to employees.
EMPLOYEE RELATIONS FUNCTION: Activities in HRM concerned with
effective communication among organizational members.
SHARED SERVICES: Sharing HRM activates among geographically
dispersed divisions.
HR SHARED SERVICES: Centralized HRM activities focusing on
activates such as organization development and compensation and
benefits.
ACTIVITIES OF STAFFING FUNCTION
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Employment planning/HR Planning.
Define individuals needed who posses KSA directly linked to specific jobs
required in organization.
HR Managers needs to remain proactive and aligned to business. You cannot
exist in darkness.
Process start with development of mission, strategy etc. HR needs
developed after that.
From strategy organization determine goals and objectives. With time period
which these results in structural change which follows changes in job
requirement reporting relationship and grouping and restructuring which
brings lots of jobs to be filled by HRM.
Jobs analyzed, specific KSA identified tht applicants must fulfill.
Through his job analysis HRM identified essential qualification for particular
job and links them with strategic direction & employment legislation.
Job description developed. Critical competencies made basis of recruitment.
1. To obtain an adequate pool of applicants.
2. Recruiting potentially good applicants, best in the job market with
needed diversities.
Selection executed.
Staffing function thus comes to end.
TRAINING AND DEVLOPMENT
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Best possible candidates hired. Employees go through
process of socialization/orientation and become more
comfortable with surroundings. Then they need training
to become fully productive with in short period of time.
This is done in four areas:
 Employee Training
 Employee development
 Career Development
 Organization development
Goals of Training & Development
 Having competent, adapted employees who possess
the unto date KSAs needed to perform their current
jobs more successfully.
TRAINING & DEVELOPMENT
Training & Development function activities in HRM concerned with
assisting employees to develop up-to-date skills, knowledge, and
abilities (KSAs)
EMPLOYEE TRAINING: Employee training is designed to assist employ
acquiring better skills for their current job. The focus of employee training is
on current job skill requirement.
EMPLOYEE DEVELOPMENT: Employee development is designed to help the
organization to ensure that it has the necessary talent internally for meeting
future human resource needs with focus on employee development.
CAREER DEVELOPMENT: Career development programs are designed to
assist employees in advancing their work lives. The focus of career
development is to provide the necessary information and assessment to help
them to realize their career goals.
ORGANIZATION DEVELOPMENT: Organization development deals with
facilitating system with changes in the originations. The focus of organization
development is to change the attitudes and values of employees according to
new organizational strategic directions.
MAINTENANCE FUNCTIONS
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The activities in HRM concerned with maintaining employees
committed and loyal to the organization.
The objective is to put into place activities that will helps
retaining productive employees.
HRM needs to ensure that the working environment is safe and
healthy, caring for employees well being has a major effect on
their commitment.
Employees face problems in personal life spills over to workplace.
Therefore, EAP to help them.
Appropriate communication programs.
Employees relations programs, emails, bulletin boards town hall
meeting or teleconferencing, employees voice be heard.
Ultimate goals of organization: Having competent employees, who
have adapted to the organizations culture with the up-to-date
KSAs who exert high energy levels and are ready to maintain then
commitment and loyalty to the company.
WHAT IS THE MOTIVATION
FUNCTIONS?
Motivation function activities in HRM concerned with
helping employees exert high energy levels. Essential
points are:
 Motivation is a multifaceted process which has
individual, managerial, and organizations implications.
 Performance of individuals in an organization is function
of two factors ability and willingness to do the job. The
employees need to have the appropriate skills and
abilities to adequately do the job.
 This can be done, by correctly defining the
requirements of the job, matching applicants to those
requirements, and training the new employee in how to
do the job.
KEY ELEMENTS OF CLASSICAL
MOTIVATION THEORIES
THEORY
INDIVIDUAL
SUMMARY
Hierarchy of Needs
Abraham Maslow
Five needs ranked in
hierarchical order from
lower to higher levels.
Physiological, safety,
belonging, esteem and
Propose
two alternatives
self-actualization.
sets of assumptions.
Theory “X”
Theory “Y”
Douglas McGregor
Motivation Hygiene
Frederick Herzberg
Achievement, Affiliation
and Power Motives
David Mc Clellan
Equity Theory
J. Stacey Adms
An individual compares
his or her input / outcome
rations to relevant others.
Expectancy Theory
Victor Vroom
Motivation is a function of
valence (value) of the
effort performance and
the performance reward
relationship.
Argues that intrinsic job
factors motivate,
whereas extrinsic factors
only placate employees.
Three major needs in
workplace.
HOW ARE HRM FUNCTIONS
TRANSLATED INTO PRACTICE?
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Employment.
Training and Development.
Compensation and Benefits.
Employees Relations.
SAMPLE JOB TITLES
Vice- President
Employment Manager
Recruiter.
HRIS Analyst.
Compensation and
Benefit Manager
Compensation Analyst.
Benefits Specialist.
Training and
Development Manager
Employee Relations
Manager
Career Development
Specialist.
Training Coordinator.
ER Specialist.
Safety Specialist.
Selected Job Activities
Recruiting
Reference checking
Employment planning HRIS
Job analysis
Job evaluation
Salary planning
Benefits
Administration.
Training
Career Development
Management Training
Organization Development
Selected Salaries
VP HR$150 -$175K
Employment Manager$70 – 85K
Compensation & Benefits Manager$70 – 90K
Employee Relations Manager$60 – 80K
Employee Complaints
Service Awards
Communication Programs
HRM SKILLS & COMPETENCIES
Skills and competencies necessary for successful
performance in HRM:
 Management practice.
 General employment practices.
 Staffing.
 Human Resources development.
 Compensation and Benefits.
 Employee and labor relations.
 Health, Safety, and Security.
SUMMARY
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Management and identity with its primary functions.
Importance of human resources management.
Meaning of the term Human Resource Management.
The primary environmental influences affecting Human
Resource Management.
How management practices affect Human Resource
Management?
Effect of labor unions on Human Resource Management.
The components and the goals of the Staffing, Training and
Development functions.
Components and goals of the Motivation and Maintenance
functions of Human Resources Management.
Major activities in the Employment, Training and
Development, Compensation and Benefits.
How Human Resource Management practices differ in small
businesses and in an international setting.