Human Resource Management Session 2
Human Resource Management Session 2
Human Resource Management Session 2
MANAGEMENT
Session 2
HUMAN RESOURCE
MANAGEMENT
Evolution, Scope, Functions
LEARNING FACILITATOR
JAYANTI SAHAY
Email :rush2jayanti@yahoo.com
Scope of HRM
Objectives of HRM
HR Subsystem
Procurement
Finance Training Marketing
Subsystem Compensation Subsystem
Appraisal
Rewards
Technical
Subsystem
Functions of HRM
HRM
The Factor of Labour is like any other factor of production, viz, money,
Production concept materials, land, etc. Workers are like machine tools.
The Goodwill concept Welfare measures like safety, first aid, lunch room, rest room
will have a positive impact on workers’ productivity
The Human Resource Employees are the most valuable assets of an organisation.
concept There should be a conscious effort to realise organisational goals
by satisfying needs and aspirations of employees.
Legal phase
Welfare phase
Development phase
Personnel Function in India;
Changing Scenario
Period Emphasis Status Roles
1920 – 30 Welfare management Clerical Welfare
Paternalistic practices administrator
rewards
People as expenses People as key investments/assets
HRM in the new millennium
Composition of workforce
Equal pay for equal work
Breaking down of glass ceiling
Constitutional protection to minority groups
Importance to factors such as age, sex, religion, region, caste especially while
dealing with multifarious, heterogeneous, culturally diverse work groups
Employee expectations
Better educated, more knowledgeable, emotionally strong and demanding
workforce
Demand for educated, trained, experienced and knowledgeable workers growing
Understand individual differences and develop appropriate policies to meet their
growing expectations.
HRM in the new millennium
Changes in technology
Modernisation, computerisation, sophistication increasing by the day
Knowledge and skills need to be refined constantly
Training, retraining and mid-career counselling important
Equip employees so as to cope with dramatic challenges brought forward by rapid
advances in science and technology
Life style changes
Environmental challenges
Personnel function in future
Job redesign
Career opportunities
Productivity
Recruitment and selection
Training and development
Rewards
Safety and welfare
HRM in the new millennium
These are among the key findings of a massive, year-long study of approximately 1,800
global executives by professional services giant Deloitte titled, "Managing Talent in a
Turbulent Economy: Where Are You on the Recovery Curve?", which seeks to answer some
of the questions about how leadership training and development fits into economic recovery
efforts.
The project, which surveyed senior executives from a cross-section of large companies
around the globe, found that the firms that posted stronger performances and were more
optimistic about the future were those that refused to put retaining top employees -- or
even hiring some of their rivals' future stars -- on the back burner.
"These companies were on, and are on, the offense; they are not on defense," Jeff
Schwartz, global leader for Deloitte Consulting's organization and change service line, said
during a speech at the recent 14th annual Wharton Leadership Conference. "They are more
committed to retaining their key employees and are building a stronger internal pipeline --
which is probably one of the main measures by which you might [gauge] the effectiveness
of leadership programs.... They were cherry-picking in the market because they knew that a
recession was a really good time to increase their recruitment."
Organisations are open systems and are,
therefore, influenced by the environment
(internal as well as external ) in which
they operate.
External and internal factors influencing
the HRM function
External factors Internal factors
Technological factors Mission
Economic challenges Policies
Political factors Organisational culture
Social factors Organisation structure
Local and Governmental issues HR systems
Unions
Employers’ demands
Workforce diversity
Technological Changes And HRM
Technology includes tools, machinery, equipment, work procedures
and employee knowledge and skills. The impact of technology on HR
can be profound, as the following things clearly reveal:
Issue Focus on
Nature of employment : Job/Career
Recruitment : Internal/external/both
Selection : Merit/other considerations
Training and employee : 6 months/yearly
development actions Regular/irregular/need based
Degree of participation : Top down/bottom up
Incentives : Individual merit/group output
Job security : Lifelong employment/need-based jobs
Employee welfare : Be a model employer (offer those that
are needed by law.)
CASE STUDY
MODELS OF HRM
Fombrun, Tichy and Devanna model
HRD
Rewards
Stakeholder Interest
Harvard Model
SHAREHOLDERS
MANAGEMENT
EMPLOYEE GROUPS
GOVERNMENT
COMMUNITY HRM Policy Long-term
Choices HR
UNIONS Outcomes Consequences
EMPLOYEE INFLUENCE
COMMITMENT INDIVIDUAL
HUMAN RESOURCE FLOW
COMPETENCE WELLBEING
REWARD SYSTEMS
CONGRUENCE ORGANIZATIONAL
WORK SYSTEMS
Situational Factors COSTEFFECTIVENESS EFFECTIVENESS
SOCIETAL
WELLBEING
WORKFORCE
CHARACTERISTICS
BUSINESS STRATEGY &
CONDITIONS
LAWS & SOCIETAL VALUES
MANAGEMENT PHILOSOPHY
LABOUR MARKET
UNIONS
TASK TECHNOLOGY
Guest Model
HRM HR
Practices Behavioural
Outcomes Outcomes
Performance
Hiring Commit Outcomes
Training Motivation Financial
ment Co-operation
HRM Appraisal outcomes
STRATEGIES
Quality Organizational
Compens Flexibility
ation citizenship
Relations
Warwick Model
FOR SELF LEARNING
Go to the library
Refer book titled “HRM-text and cases”
5th ed. TATA Mc Graw Hill publication
Authored by K Aswathappa
To be discussed in the next session
near to ideal DEFINITION
EVER EVOLVING
Management is “control and creation of technological and human
environment that supports optimal utilization of resources and
competencies for achieving organizational goals”
HRM is
Integration of competencies with IT
Aligning HR strategy with corporate strategy
Well being of employees
Developing employee competencies
Optimal utilization
Employee empowerment
Performance managment