Fundamentals of Human Resource
Management
Fifth Edition
Chapter 1
Managing Human
Resources Today
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Learning Objectives (1 of 2)
1. Answer the questions, “What is human resource
management?” and “Why is knowing HR
management concepts and techniques important
to any supervisor or manager?”
2. Describe with examples what trends are
influencing human resource management.
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Learning Objectives (2 of 2)
3. Discuss at least five consequences such trends
have for human resource management today.
4. Explain what sorts of competencies, knowledge,
and skills characterize today’s new human
resource manager.
5. Outline the plan of this book.
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Managing: Five Basic Functions
Management Process:
• Planning
• Organizing
• Staffing
• Leading
• Controlling
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What is Human Resource
Management?
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The Personnel Aspects of Management/ The
functions of HRM (1 of 2)
• Conducting job analyses
• Planning labor needs and recruiting job
candidates
• Selecting job candidates
• Orienting and training new employees
• Managing wages and salaries
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The Personnel Aspects of Management/ The
functions of HRM(2 of 2)
• Providing incentives and benefits
• Appraising performance
• Communicating
• Training employees and developing managers
• Building employee relations and engagement
• Maintaining compliance issues
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Definition
• The process of hiring and developing employees
so that they become more valuable to the
organization.
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Why is human resource management
important to all managers?
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Benefits of studying HRM
1. Helps reduce employee turnover
2. Helps resolve workplace conflicts
3. Determines the level of employee
satisfaction
4. Boosts employee performance
5. Conducts training
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Benefits of studying HRM
6. Controls budget
7. Helps you to get jobs
easily in human resource management and beyond
8. Offers job satisfaction
9. Allows you to meet new people and work
alongside clients and senior HR management
10. Provides opportunities to progress
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What can I do with a Human Resource
Management degree?
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Pay grades of HR Professionals
These are some of the most popular jobs you can get with an HRM degree. We’ve also
listed the average salaries in the US according to Pay-Scale and some of the main tasks
and responsibilities. This way, you’ll get a better idea about the skills and knowledge
required for each position.
 Human Resources Assistant – 40,000 USD/year
 HR Mediator – 51,700 USD/year
 Human Resources Specialist – 50,000 USD/year
 Training & Development Manager – 75,000 USD/year
 Human Resources Manager – 66,500 USD/year
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Personnel Mistakes to Avoid
• Employees not doing their best
• Hiring the wrong person for the job
• High turnover
• Legal ramifications from discriminatory actions
• Unsafe company practices
• Lack of training undermining performance
• Unfair labor practices
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• ..\..\Organizational Behavior\Human Resource Management.mp4
• YouTube Link-
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Line versus Staff Authority
• Line authority: Gives managers the right to issue
orders to other managers or employees.
• Staff authority: Gives managers the right to
advise other managers or employees.
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HR Managers Duties
• Line Function
• Coordinative Function
• Staff Functions
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Line and Staff Aspects of HRM
• Recruiting
• Interviewing
• Selecting
• Training
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Line Managers’
HRM Responsibilities (1 of 2)
• Placing the right person in the right job
• Starting new employees in the organization
• Training employees for new jobs
• Improving job performance for each employee
• Gaining cooperation and developing smooth
relationships
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Line Managers’
HRM Responsibilities (2 of 2)
• Interpreting the company’s policies and
procedures
• Controlling labor costs
• Developing the abilities of each person
• Creating and maintaining departmental morale
• Protecting employees’ health and physical
conditions
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OBJECTIVES
• To achieve and maintain high morale among employees.
• To develop and maintain a quality of work life.
• To be ethically and socially responsive to the needs of society.
• To enhance employee's capabilities to perform the present job.
• To equip the employees with precision and clarity in transaction of
business.
• To inculcate the sense of team spirit, team work and inter-team
collaboration.
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PRINCIPLES OF HRM
1. Principle of individual development – to offer full and equal
opportunities to every employee to realise his/her full potential.
2. Principle of scientific selection – to select the right person for the right
job.
3. Principle of free flow of communication- to keep all channels of
communication open & encourage upward, downward, horizontal, formal
& informal communication.
4. Principle of participation – to associate employee representatives at
every level of decision making.
5. Principle of fair remuneration- to pay fair & equitable wages &
salaries commiserating with jobs.
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PRINCIPLES OF HRM
6. Principle of incentive – to recognize and reward good performance.
7. Principle of dignity of labor – to treat every job holder with dignity
and respect.
8. Principle of labor management co-operation – to promote cordial
industrial relations.
9. Principle of team spirit – to promote co-operation & team spirit among
employees.
10. Principle of contribution to national prosperity – to provide a higher
purpose of work to all employees and to contribute to national prosperity.
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The Human Resources Department
• Recruiters
• EEO representatives
• Job analysts
• Compensation managers
• Training specialists
• Labor relations specialists
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The Human Resources Department
• Recruiters
• EEO representatives
• Job analysts
• Compensation managers
• Training specialists
• Labor relations specialists
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Workforce Diversity Trends
TABLE 1.1 Demographic Groups as a Percent of the Workforce, 1992–2024
Age, Race,
and Ethnicity
1992
2002
2012
2022
Age: 16–24
16.9%
15.4%
13.7%
11.3%
25–54
71.4
70.2
65.3
63.9
55+
11.8
14.3
20.9
24.8
White
85.0
82.8
79.8
77.0
Black
11.1
11.4
11.9
12.7
Asian
4.0
4.6
5.3
6.6
Hispanic origin
8.9
12.4
15.7
19.8
Source: U.S. Bureau of Labor Statistics Economic News Release,
www.bls.gov/news.release/ecopro.t01.htm, accessed December 19, 2013, and
www.bls.gov/news.release/ecopro.t01.htm, accessed April 16, 2017
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Economic Challenges (1 of 2)
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Economic Challenges (2 of 2)
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Biggest Challenges of HR Professionals in
COVID-19 Pandemic
1. Mental Health and Wellbeing]
2. Managing Remote Work
3. Lack of Agility
4. Employee Communication
5. Uncertainty
6. Employee Engagement
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HR Priorities & Active Business Partnering
in the times of COVID-19
1. Changing Business Models & Talent Delivery
2. Organizational Effectiveness
3. Employee Productivity
4. Employee Engagement
5. Empathy, Health, and Safety
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Thank
you
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