1
The Nature
of Human
Resource
Management
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied
or duplicated, or posted to a publicly accessible website, in whole or in part.
LEARNING OUTCOMES
1 Describe contemporary human resource
perspectives
2 Trace the evolution of the human resource
functions in organizations
3 Identify and discuss the goals of human
resource management
4 Discuss the setting for human resource
management
5 Describe the job of human resource
managers from the perspectives of
professionalism and careers
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
2
Contemporary Human Resource Management
Perspectives
• HRM practices and policies affect the ability
to formulate and implement strategy in any
area
• Outsourcing: Process of hiring external
firms to handle basic HRM functions
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
3
Evolution of the Human Resource Function
• First study of management practice
• Scientific management: Concerned with
structuring individual jobs to maximize efficiency
and productivity
• Origins of the human resource function
• Hawthrone studies: Instigated the human
resources era
- Human relations era: Supplanted scientific
management as the dominant approach to
management during the 1930s
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
4
Scientific Management (Taylorism)
https://www.mindtools.com/pages/article/newTMM_Taylor.htm
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
5
Hawthorne Studies
The Hawthorne studies, which were
conducted by Elton Mayo and Fritz
Roethlisberger in the 1920s with the
workers at the Hawthorne plant of the
Western Electric Company, were part of an
emphasis on socio-psychological aspects
of human behavior in organizations.
https://en.wikipedia.org/wiki/Hawthorne_effect
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
6
Evolution of the Human Resource Function
• Hierarchy of human needs: Developed during
the human relations era
• Theory X and Theory Y: Framework grew from
the human relations movement
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
7
Abraham Maslow’s Hierarchy of Needs
https://en.wikipedia.org/wiki/Abraham_Maslow
http://www.simplypsychology.org/maslow.html
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
8
Douglas McGregor
https://en.wikipedia.org/wiki/Douglas_McGregor
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
9
McGregor’s Theory X & Theory Y
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HRM3 | CH3
10
Evolution of the Human Resource Function
• Personnel management: New type of
management function that grew from the
recognition that human resources needed
to be managed
• Personnel departments: Specialized
organizational units for hiring and administering
human resources
- Became popular during 1930s and 1940s
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
11
Evolution of the Human Resource Function
• Human resource management in the
electronic age
• Knowledge workers: Employees whose jobs are
concerned with the acquisition and application
of knowledge
- Contribute to an organization through what
employees know and how they apply what
they know
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
12
Goals of Human Resource Management
•
•
•
•
Facilitating organizational competitiveness
Enhancing productivity and quality
Complying with legal and social obligations
Promoting individual growth and
development
• Psychological contract: Overall set of
expectations held by:
- The employee with regard to what they have
contributed to the organization
- The organization with regard to what it will
provide to the individual in return
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
13
The Setting for Human Resource
Management
• Line managers: Directly responsible for
creating goods and services
• Staff managers: Responsible for an indirect
or support function that would have costs
• Bottom-line contributions were less direct
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
14
The Setting for Human Resource
Management
• The human resource management in
smaller versus larger organizations
• Smaller organizations require line managers to
handle their basic HR functions
• When firms grow beyond a certain size, a
separate HR unit becomes necessity
- Issues involved become much more
complicated
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
15
The Setting for Human Resource
Management
• Human resource management: Integrated
and interrelated approach to managing
human resources
• Recognizes interdependence among the various
tasks and functions that must be performed
• Utility analysis: Attempt to measure the impact
and effectiveness of HRM practices in terms of
metrics such as firm’s financial performance
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
16
Human Resource Managers
• Contemporary HR executives must possess
general management abilities that reflect
conceptual, diagnostic, and analytical skills
• Recognizing human resource management
as the firm’s most critical source of
information is important for everyone in the
organization
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
17
Figure 1.4
Human Resource Management as a
Center for Expertise
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
18
Human Resource Managers
• Human resource departments are viewed
as cost centers
• Goal - Providing clear and measuring financial
benefits to the organization
• Society for human resource management
(SHRM) - Largest professional HR
association
• Publishes professional journals covering current
developments in the field
• Sponsors workshops and conferences
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
19
Human Resource Managers
• Human resource certification institute
(HRCI)
• Professional in human resources (PHR)
• Senior professional in human resources (SPHR)
• Global professional in human resources (GPHR)
• Careers in human resource management
• Degree in human resource management will
provide an entry-level employment opportunity
as an HR manager
• Line management can be used as a route to
HRM
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
20
SUMMARY
• Latest trend - To outsource HR firms to
handle payroll, insurance, recruitment and
other benefits
• Human resource departments are viewed
as cost centers
• Certification is required to progress in HR
career
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
21
KEY TERMS
• Hawthorne studies
• Hierarchy of human
needs
• Human relations era
• Human resource
management (HRM)
• Human resource
management system
• Human resources
• Knowledge workers
• Line managers
• Outsourcing
• Personnel
departments
• Personnel
management
• Personnel manager
• Productivity
• Psychological
contract
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
22
KEY TERMS
• Quality
• Scientific
management
• Staff managers
• Theory X and Theory
Y
• Utility analysis
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
23
Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part.
HRM3 | CH3
24