Understanding Human Resources Management A Canadian Perspective Prepared by Melanie Peacock CPHR 1 Copyright © 2019 by Nelson Education Ltd. PhD, MBA, CHAPTER 1 Exploring Why HRM Matters 2 Copyright © 2019 by Nelson Education Ltd. Learning Outcomes 1. Define human resources management (HRM). 2. Identify HRM systems, practices, and policies. 3. Explain the importance of HRM to all employees. 4. Discuss the relationship between a manager and an HR professional. 3 Copyright © 2019 by Nelson Education Ltd. Learning Outcomes cont. 5. Describe current business topics and their impact on HRM. 6. Outline demographic considerations. 7. Describe key employee expectations. 8. Illustrate the link between business strategy and HRM strategy. 4 Copyright © 2019 by Nelson Education Ltd. DEFINITION Human Resources Management An integrated set of systems, practices, and policies in an organization that focuses on the effective deployment and development of its employees 5 Copyright © 2019 by Nelson Education Ltd. Overall Framework for HRM 6 Copyright © 2019 by Nelson Education Ltd. Why Study HRM? • Build a skilled, knowledgeable, and motivated workforce. • Employees need to know and understand the processes that affect them. • Employees need to feel connected to each other and to their work. • Effective HRM provides a work environment that allows people to be engaged, motivated, and successful. 7 Copyright © 2019 by Nelson Education Ltd. Partnership between Managers and HR Professionals Manager is responsible for • Determining work and job design • Promoting a culture of well-being • Making hiring decisions • Coaching and developing employees • Reviewing performance 8 Copyright © 2019 by Nelson Education Ltd. Partnership between Managers and HR Professionals cont. HR Professional is responsible for • Aligning HR strategies with business strategies • Delivering services (i.e., recruitment) • Strengthening employee contributions 9 Copyright © 2019 by Nelson Education Ltd. Relationship of HR to Other Business Units 10 Copyright © 2019 by Nelson Education Ltd. Current Business Topics Impacting HRM (1 of 6) Topic 1: Global Economy • Canadian economy primarily build on exports • International companies operating in Canada • Canadian companies operating in global locations 11 Copyright © 2019 by Nelson Education Ltd. Current Business Topics Impacting HRM (2 of 6) Topic 2: Changes in Firms and Business Sectors • Need to increase exports while addressing environmental concerns • Changes to company ownership • Downsizing and outsourcing • Independent contractors 12 Copyright © 2019 by Nelson Education Ltd. Current Business Topics Impacting HRM (3 of 6) Topic 3: Technology and Quality • Technology has enabled companies to improve processes • HRM is less administrative • Implications on telecommuting • Quality initiatives: Key to customer retention • Benchmarking to examine best practices 13 Copyright © 2019 by Nelson Education Ltd. Current Business Topics Impacting HRM (4 of 6) Topic 4: Sustainability • More attention is being paid to the health of our planet • New industries looking at clean technology • Concern about climate change 14 Copyright © 2019 by Nelson Education Ltd. Current Business Topics Impacting HRM (5 of 6) Topic 5: Human Capital and Talent Management • Individuals’ knowledge, skills, and capabilities have value • Organizations are identifying “core competencies” for success • Managers need to ensure that employees have developmental opportunities 15 Copyright © 2019 by Nelson Education Ltd. Current Business Topics Impacting HRM (6 of 6) Topic 6: Demographics • Diversity of backgrounds • Generations at work • Skills and labour shortage • Gender distribution of the workforce • Rising levels of education 16 Copyright © 2019 by Nelson Education Ltd. Employee Expectations Evolving workplaces have resulted in changing employee expectations: • Rights, ethics and privacy • Fulfilling and meaningful work • Balancing work and family 17 Copyright © 2019 by Nelson Education Ltd. Linking Business Strategy and HRM Strategy • Corporate strategy: “What business should we be in?” • Business strategy: “How do we do our business better?” • Competitive advantage gives an organization an edge over its competition. • Competitive advantage: Productivity, price, quality, delivery, or service. 18 Copyright © 2019 by Nelson Education Ltd. Linking Business Strategy and HRM Strategy cont. • HRM strategy must be aligned with the business strategy • Employees should be thought of as assets • Competing through people • HRM plays an important role in getting the most from employees 19 Copyright © 2019 by Nelson Education Ltd. DEFINITION Human Resources Management Strategy Development and implementation of HRM systems, practices, and policies that enable the human capital (employees) to achieve the business objectives 20 Copyright © 2019 by Nelson Education Ltd.
