https://www.kpi.com/blog/2019/07/17/core-elements-of-human-resource-management-system/ Authors: Krizzaline D. Barua, MBA Mariane Vonne C. Delfin JANITA T. DARIAGAN, DPA Course Facilitator 1st semester, 2023-2024 Preliminaries Course Title Course Number Semester : : : Human Resource Management BA 101 First Semester, Academic Year 2023-2024 Course Description : This course is a comprehensive view of personnel policy development. The human resource policies are discussed with interrelationships between management and the management functions of planning, organizing, staffing, directing, and controlling. Explores the human resource function of recruiting, development, compensation, integration, and maintenance of personnel. Includes the analysis of cases or simulated personnel problem in business. Total Learning Time: 18 weeks or 54 hours Overview: According to Ricky W. Griffin, Human Resource Management is the set of organizational activities directed at attracting, developing and maintaining an effective workforce. It has been seen as one of the integral parts in managing a business for it plays a strategic role in managing people including the workplace culture and environment. Without human resource management, companies would not be able to effectively hire, retain, and maintain employees. This module in Human Resource Management is made for the purpose of guiding the students in their independent learning and discovery of the whole Human Resource Management functions. This module is composed of thirteen (13) sub-modules which focuses on the four major purposes of manpower management which are: Acquisition, Development, Maintenance, and Utilization. Under Acquisition, topics such as job analysis, recruitment, selection, and placement will be introduced. For Development, the students will be made familiar of training and development, performance appraisal, and coping with changing technology. Wage and salary administration, and benefits and services will be presented as part of the Maintenance function. And finally, topics on human resource planning and career development will be introduced for the Utilization function. Each sub-module is consist of the following components: Part I- Introduction This part contains the expected learning outcomes of the students, and the possible deliverables of the sub-module. Part II- Core Content This is the main part of the sub-module which contains the discussion of key concepts/ topics needed to be learned by the students. This may include diagrams, graphs, tables, or illustrations to reinforce the learnings of the students. Part III- Exercises and Evaluation This is the part of the sub-module which would enable the students to practice the concepts learned through different exercises/ activities being given. This part would also try to measure their learnings at the end of each sub-module. Part IV- Additional Readings and References This part includes additional readings and references, if any, to support the topics presented. Learning Outcomes: At the end of the Semester, the students must have: 1. Explained the various functions of human resource management and its evolution in the HR profession. 2. Understood the importance and value of Human Resource Management within an organization. 3. Made use of some, if not all, of the major purposes of manpower management in analyzing business contexts. THE AUTHORS CONTENTS Preliminaries Topic 1 Changing Perspectives of Human Resource Management ✓ ✓ ✓ ✓ ✓ Topic 2 Job Analysis ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Topic 3 Evolution of Human Resource Management Main Trends in the HR Profession Applications of Information Technology (IT) in HR Human Resource Information System (HRIS) HR Departments’ Organization Charts and Structures Importance of Job Analysis Definition of Different Job Terms Specific Information Provided by Job Analysis Uses of Job Analysis Information Methods Used in Job Analysis Steps in Conducting Job Analysis Writing the Job Description Writing the Job Specifications Recruitment of Employees ✓ ✓ ✓ ✓ ✓ Recruitment on the Internet Tips to Applicants to Avoid Illegal Recruitment Recruitment Process/Recruitment Plan Sources of Applicants Writing a Resume Topic 4 Selection of Employees Topic 5 ✓ Why Selection Process is Important ✓ Selection Process Training and Development of Employees ✓ ✓ ✓ ✓ Topic 6 Performance Review and Appraisal ✓ ✓ ✓ ✓ ✓ Topic 7 Employee Orientation The Training Process Training Options Training Methods Performance, Performance Review, and Performance Management Who Should Evaluate Performance? Performance Appraisal Methods Performance Appraisal Problems and Solutions Feedback or Appraisal Interview Compensating Human Resources ✓ ✓ ✓ ✓ ✓ Objectives of Compensation Main Components of Compensation Determining Pay Rates Job Evaluation Methods Different Forms of Compensation Topic 8 Employee Benefits and Services ✓ Tax Advantages of Benefits ✓ Nontaxable Benefits under the Code ✓ Classification of Employee Benefits and Services Topic 9 Basic Labor Law Affecting Employer-Employee Relationship ✓ ✓ ✓ ✓ ✓ Topic 10 State Policy on Labor General Labor Standards Provisions Regarding Health and Safety in the Workplace The Philippine Labor Code (Selected Provisions) Department of Labor and Employment (DOLE) Human Resource Planning ✓ ✓ ✓ ✓ Human Resource Planning and Its Importance Human Resource Planning Process Evaluating the HR Planning Program Alignment of Business Planning and HR Planning Topic 1 Changing Perspectives of Human Learning Objectives: At the end of the session, the students must have: ✓ Understood the evolution of human resource management up to its main trends in the HR profession; ✓ familiarized themselves with the different applications of Information Technology in HR and HRIS; and ✓ explained the HR departments’ organization charts and structures Evolution of Human Resource Management As the business environment and the profit opportunities grew increasingly large, organizations began to create specialized units to cope with their hiring needs. During the 1930’s and the 1940’s, these units gradually began to be called personnel departments. The word “personnel” is from an old French word that means “person.” Personnel management – a new type of management function resulted from the recognition that HR needed to be managed separately and the creation of personnel departments Personnel Manager – the manager who headed the personnel department. Source: https://www.slideshare.net/araktim/evolution-of-hr-function Until the 1990’s, personnel management was seen primarily as a routine clerical and bookkeeping function. Human resource management emerged in the late ‘70s as a reaction against the more functional approach embodied in personnel management. Employees were no longer viewed as a group of individuals who needed to be closely supervised and managed, but rather, as a collection of human resource to be valued as a distinctive source of competitive advantage. Today, most employee handbooks or declarations of philosophy and principle of companies specifically state that “human resources are the greatest assets of the company.” An important by-product of this change is management behavior that no longer treats employees as mere costs but assets. In recent years, human resources as assets have been assailed by management experts led by Thomas Davenport in his 1999 book Human Capital. Davenport stated that “assets are passive – bought, sold and replaced at the whim of their owners, workers in contrast take increasingly active control over their lives. Human capital in reference to workers now takes the place of human resources. Source: https://www.masstlc.org/leveraging-humancapital-management-analytics/ Human capital refers to the attributes gained by a worker through education & experience. With all these changes, HRM becomes even more complex because of the need to go beyond the borders which have become “borderless” because of technological innovations. Main Trends in the HR Profession Human Resource and Information Technology (IT) The advent of the “computer age” has greatly altered not only the availability of information but also the manner in which it is identified and acquired. Information technology deals with how information is accessed, gathered, analyzed, and communicated. The Internet and the Web generated an explosion of HR systems and applications. The increase in the use of information technology is influenced by a realization that improved delivery of HR services can become a competitive advantage of the enterprise. Organizations over the past years, show that competitive advantage will no longer be defined by better business processes but will be determined by the quality of the workforce. Applications of Information Technology (IT) in HR Development in the e-Commerce has been seen to be a critical driving force for economic growth. Thus IT must also be integrated with the HR Plan. The HR plan should be aligned with the business plan of the organization. It is then critical for HR people to understand and initiate useful IT applications in HR aligned with the company goal of efficiency and profitability. Some of these are the following: 1) Use of job boards and other similar web-based recruitment (erecruitment) – provides accessibility to a wider range of applicants for the job and usually communicates job vacancies and application procedures. 2) E-selection – uses technology to help organizations more efficiently manage the process of identifying the best job candidates. 3) Employment kiosk – provides updates on employee status and other pertinent information initiated and made by the employees themselves. 4) E-learning – facilitates the learning process by providing just-intime learning opportunities. 5) Electronic Performance Support System (EPSS) – provides online coaching and mentoring services. 6) Salary and payroll administration – for most companies, is now Source: https://www.jobstreet.com.ph/careerlinked to performance management systems, time and attendance, resources/jobstreet-ph-homepage#.X4U5dWgzbIU and other employee benefits, and pay systems. 7) Growth of social network sites like Facebook and Twitter – one of the next challenges for HR executives is learning to integrate information from social networking sites. 8) Use of email or electronic mail – has emerged as the heart and soul of corporate communication. 9) Use of IT to foster customer involvement – companies started using different social networking sites because of the popularity of social media, where they can post company updates, service offerings, or just to let the users of the account know their company exists. 10) Telecommuting/Teleworking – is any form of substituting information technologies (such as telecommunications and/or computers) to establish remote or virtual office. Human Resource Information System (HRIS) HRIS is a database system that keeps important information about employees in a central and accessible location. It merges HRM as a discipline and its basic HR activities and processes with the IT field. It is an integrated system designed to provide information used in HR decision making; a system for gathering and maintaining data that describe the HR; transforming data into information; and reporting the information to users. Purposes of HRIS: a. To improve the efficiency with which data on employees and HR activities are compiled b. To provide HR information more rapidly and more easily to used in management’s decision making Companies who successfully made use of HRIS be Some of the benefits of HRIS Solutions: 1) Salary and Payroll Administration. Aligned with local statutory standards and regulatory specifications, HRIS can help keep work flow costs in check and ensure that all employees are paid on time in any circumstances. 2) HR Training. It provides control of internal organizational training from delegating participants to projecting training budget, course scheduling and enrollment, to training assessments and individual performance appraisals 3) Self-service Benefits Transactions. Employees can gain online access to their benefits package at their own leisure so they can focus on more demanding tasks at hand during office hours. HR Departments’ Organization Charts and Structures Organizations historically divided their managers into line management and staff management and HRM was considered to be a staff function back then. ➢ Line Managers – were directly responsible for the production of goods and services. ➢ Staff Managers – responsible for an indirect/support function that would have costs. Right now however, many organizations have blurred the distinctions. Existing companies have different organizational designs with nontraditional arrangements. Remember that no two HR departments have the same roles and responsibilities. It depends on the company’s size and location, make up of workforce, type of industry, and the value system of the top management. The HR department can adopt either: • Centralization – a centralized strategy that locates the design and administration responsibility in a single organizational unit. • Decentralization – gives each unit the responsibility to design and administer its own personnel system. Organization Chart Organizations can use charts for a number of purposes. For example, HR administrations, as well as chief executive officers, corporate planners, marketing representatives, and others, can use such organization charts to: 1. 2. 3. 4. design their department or division; monitor reporting relationship; gain access to information about newly created job titles, staff duties, and reporting relationships; find out how leading agencies organize their management teams and workforces; 5. assess industry patterns; 6. examine the competition; and 7. use in business presentations and to facilitate placement decision. Examples of Organizational Charts Source: https://www.pinterest.ph/pin/552394710519652558/ Source: https://www.slideteam.net/0514-organizational-chart-samplepowerpoint-presentation.html Additional Readings and References Additional Readings: • • • • • • • • “Human Capital” by Thomas Davenport (1999) “Fundamentals of Human Resource Management” by DeCenzo and Robbins (2005) “The History and Evolution of Human Resource Management” by James Dulebohn et al., “Job Satisfaction Affects the Bottom Line” by Richard A. Starkweather (1998) “Changing the HR Workscape” by Victor Magdaraog (2002) “Fast Forward 25 Trends That Will Change the Way You Do Business Today” by Workforce “Human Resource Information System” by Steven Phillip Brown (2007) “Managing a Horizontal Revolution” by Susan Brooks (1995) References: • • • • • • • Corpuz, Crispina R. Human Resource Management. Third Edition. Rex Book Store, Inc. 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