SHRM chap01

CHAPTER 1

Theories, issues and influences in
human resource management


Session objectives
Define the purposes and scope of human
resource management (HRM) in Australia
 Trace the development of HRM in Australia
 Understand the influences, issues and
underlying theories of HRM
 Assess the relevance of critiques of HRM
 Describe the principal roles, functions and
outcomes of Australian HRM
 Discuss the professional and ethical
principles guiding HRM



Personnel management vs
human resource management
Personnel management:
A set of functions or activities

Human resource management:
An integrated set of personnel activities,
linked strategically with organisational
objectives

History and origins of HRM
HRM has existed since the beginning of
time
 Developed formally as a result of the
Industrial Revolution
 Working conditions became a social and
industrial issue
 Growth of trade unions and IR systems



Management theories and influences on HRM

Classical
management
theory

Classical
organisation
theory

Contingency
approaches
Excellence
studies
Behavioural
school

Transitional
theorists

HRM

TQM

Systems
theorists
Management
science


Stages in the development of HRM
Welfare and administration (1900–
1940s)




Staffing and training (1940s–mid-1970s)

Human resource management (mid1970s–1990s)


Strategic and global HRM (2000 and
beyond)



Concepts and models
Harvard model

 ‘Hard’ and ‘soft’ HRM
 Unitarist and pluralist
perspectives
 Relationship of HRM to IR
 Criticisms of HRM theory




HRM – roles, functions and strategies

Strategic

Operational

Functional


Strategic HRM
Responsiveness to competition and
globalisation
 Alignment to business strategy
 Quality HRM practices
 Management of change



HRM issues
Quantity and quality of employees
 Strategic recruitment and selection

practices
 Retention
 Productivity and motivation
 Job design
 Integration and accountability of functions
 Evaluation




HRM – the future
 Devolution


Automation



Outsourcing