Human resrouce management 13th mathis jacson chapter 01

CHAPTER 1

Human Resource Management in Organizations

SECTION 1 Environment for Human Resource Management

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PowerPoint
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Presentation by
by Charlie
Charlie Cook
Cook
The
The University
University of
of West
West Alabama
Alabama


Chapter Objectives

After you have read this chapter, you should be able to:

•

Define human capital and identify the seven categories
of HR activities.

•

Discuss how organizational culture and HR are related and identify four areas that are part of these

relationships.

•
•
•

Explain how organizational ethical issues affect HR management.
Provide an overview of six challenges facing HR today.
Describe how the major roles of HR management
are being transformed.

•

Explain the key competencies needed by HR professionals and why certification is important.

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site, in whole or in part.

1–2


Nature of Human Resource Management

• Human Resource (HR) Management
 Designing management systems to ensure that human talent is used effectively and
efficiently to accomplish organizational goals.

• Who Is an HR Manager?
 In the course carrying out their duties, every operating manager is, in essence, an HR
manager.

 HR specialists design processes and systems that operating managers help implement.

© 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web
site, in whole or in part.

1–3


Types of Organizational Assets

Assets

Physical

Financial

Intangible

Human

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site, in whole or in part.

1–4


FIGURE 1–1

Core Competencies in Possible HR Areas

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site, in whole or in part.

1–5


Human Capital in Organizations

Human Capital

Core Competency

The collective value of the capabilities, knowledge,

A unique capability that creates high value and

skills, life experiences, and motivation of an

differentiates an organization from its competition.

organizational workforce.

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site, in whole or in part.

1–6


FIGURE 1–2

HR Management Functions

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site, in whole or in part.

1–7


HR Management: Interlinked Functions

1.
2.
3.
4.
5.
6.
7.

Strategic HR Management
Equal Employment Opportunity
Staffing
Talent Management and Development
Total Rewards: Compensation and Benefits
Risk Management and Worker Protection
Employee and Labor Relations

© 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web
site, in whole or in part.

1–8

Organizational Culture and HR

• Organizational Culture
 Is the shared values and beliefs in an organization.
 Is the internal “climate” of the organization that employees, managers, customers, and
others experience.

 Positively affects service and quality, productivity, and financial results when aligned with
HR values and organizational goals.

 Is affected by differences in cultural dimensions from country to country and even within
countries.

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site, in whole or in part.

1–9


Hofstede’s Dimensions of Culture

Individualism/

Inequality

Group

of Power

Orientation

Culture

Long-term/

Masculinity/

Short-term Orientation

Femininity

Uncertainty Avoidance

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site, in whole or in part.

1–10


Organizational Productivity

Productivity

Unit Labor Cost

A measure of the quantity

A measure of HR productivity computed by dividing

and quality of work done, considering the cost of

the average cost of workers by their average levels

the resources used.

of output.

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site, in whole or in part.

1–11


Approaches to Improving Organizational Productivity

FIGURE 1–3

Restructuring the Organization

•
•
•

Re-Designing Work

Revising organizational structure

•

•

Reducing staff

Changing workloads and combining jobs
Reshaping jobs due to technology changes

Aiding in mergers and acquisitions

Goals

•

Increase
organizational productivity

•

Reduce unit
labor costs

Aligning HR Activities

•
•
•

Outsourcing

Attracting and retaining employees

Training, developing, and evaluating employees
Compensating employees and other

•
•

Using domestic vendors/contractors instead of employees
Outsourcing operations internationally

HR activities

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site, in whole or in part.

1–12


Social Responsibilities and HR

• HR Advantages and Social Responsibilities
 Attracting and retaining employees
 Achieving sustainability in dealing
with economic challenges

 Creating a “green culture”

• Global Social Responsibility and HR
 Results in higher organizational images globally, better employee morale and loyalty, and
more competitive advantages with consumers

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site, in whole or in part.

1–13


Customer Service and Quality Linked to HR

• Linking HR to social responsibility, customer service, and quality significantly affects
organizational effectiveness.

Human Resource Management

Social Responsibility

Quality

Customer Service

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site, in whole or in part.

1–14


Employee Engagement and HR Culture

• Employee Engagement
 Is the extent to which individuals feel linked to organizational success and how the
organization performs positively.

• Social Networking
 Involves communicating to other employees, nonwork friends, community contacts, and
others.

 Has evolved from personal contacts and oral communications to include:
 E-mail and text messages
 Twitters
 Blogs

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site, in whole or in part.

1–15


FIGURE 1–4

Business Ethics and HR Management Consequences

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1–16


Ethical Behavior and Organizational Culture

Ethics Program Elements

Written code of ethics

Employee training on

Advice to employees

Confidential reporting

and standards of conduct

ethical behaviors

on ethical situations

of ethical problems

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site, in whole or in part.

1–17


HR’s Role in Organizational Ethics

Legal Question

•

Does the behavior or result meet all

Ethical Question

•

Does the behavior or result meet both

applicable laws, regulations, and

organizational standards and professional

government codes?

standards of ethical behavior?

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site, in whole or in part.

1–18


FIGURE 1–5

Examples of HR-Related Ethical Misconduct Activities

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site, in whole or in part.

1–19

HR Ethics and Sarbanes-Oxley (SOX)

• Reduce the likelihood of illegal and unethical behaviors by:
 Having a written code of ethics and conduct standards
 Providing ethical behavior training and advice
 Establishing confidential reporting systems for ethical misconduct
 Providing whistle-blower protection
 Supporting HR’s role as “keeper and voice” of organizational ethics

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site, in whole or in part.

1–20


Current HR Management Challenges

Organizational Cost Pressures and

Economics

Restructuring

and
Job Changes

Human
Resource
Management

Globalization of Organizations

Workforce Demographics
and Diversity

and HR

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site, in whole or in part.

1–21


Economics and Job Changes

Future
Job Change Concerns

Occupational Shifts

Workforce Availability and
Quality

Growth in Contingent

Talent Management

Workforce

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site, in whole or in part.

1–22


FIGURE 1–6

Fastest Growth in Job Changes to 2016

Source: U.S. Bureau of Labor Statistics, www.bls.gov.

© 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web
site, in whole or in part.

1–23


FIGURE 1–7

Hourly Compensation Costs for Manufacturing Production Workers

Source: U.S. Bureau of Labor Statistics, www.bls.gov.

© 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web
site, in whole or in part.

1–24


HR Technology

• Human Resource Management System (HRMS)
 An integrated system providing information used by HR management in decision making.

• Purposes of HRMS Data Collection
 Administrative and operational efficiency in :
 Automation of payroll and benefit activities
 EEO/affirmative action tracking
 Web-based communication with employees

 Availability of data for HR strategic planning

© 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web
site, in whole or in part.

1–25