Reference:

Human Resource Management by Gary Dessler, 14th Edition, (Global Edition)

Pearson Education Limited, 2015.

Human Resource Management

Introduction to Human Resource Management
 Learning Objectives

01 What Is Human Resource Management and Why Is It Important?

02 What is Human Resource Management Process

03 The Trends Shaping HR Management

04 The New Human Resource Manager & HR Manager’s Competencies

Unit 1.1: What Is Human Resource Man-
agement and Why Is It Important?
Human Resource Management
The process of acquiring, training, appraising, and compensating
employees, and of attending to their labor relations, health and safety, and
fairness concerns

Importance of HRM
HRM helps managers avoid problems like hiring the wrong person for the
job. And more important, it can help ensure that managers get results
through people. Line managers’ human resource duties include placing
the right person on the job, and orienting and training new employees.
Difference between human resource management and
personnel management
Human resource management Personnel Management
• Human resource management is a • Personnel management is a
modern approach of managing traditional approach of managing
people and their strengths in the people in the organization.
organization.
• Personnel management focuses
• Human resource management on personnel administration,
focuses on acquisition, development, employee welfare and labor
motivation and maintenance of relation.
human resources in the organization.
Human resource management Personnel Management
• Human resource management assumes people as • Personnel management assumes people as
an important and valuable resource for achieving a input for achieving desired output.
desired output.
• Under personnel management, personnel
• Under human resource management, function is undertaken for employee's
administrative function is undertaken for goal satisfaction.
achievement.
• Under personnel management, job design
• Under human resource management, job design is done on the basis of division of labor.
function is done on the basis of group work/team
work.
Human resource management Personnel Management
• Under human resource management, • Under personnel management,
employees are provided with more employees are provided with less
training and development opportunities. training and development
opportunities.
• In human resource management, decisions
are made collectively after considering • In personnel management, decisions
employee's participation, authority, are made by the top management as
decentralization, competitive environment per the rules and regulation of the
etc. organization
UNIT 1.2: Human Resource Manage-
ment Process
The Management Process
Planning

Controlling Organizing

Leading Staffing

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

1. Planning 3. Staffing
• Establishing goals and standards • Determining what type of people you
• Developing rules and procedures should hire
• Developing plans and forecasting • Recruiting right employees
• Selecting employees
2. Organizing • Training and Developing employees
• Giving each subordinate a specific task • Setting performance standards
• Establishing departments • Evaluating performance
• Delegating authority to subordinates • Counseling employees
• Establishing Channels of authority & • Compensating employees
communication
• Coordinating subordinates’ work
4. Leading (Directing)
• Getting others to get the job done
• Maintaining morale
• Motivating subordinates

5. Controlling
• Setting standards such as sales quotas, quality standards or production
levels
• Checking how actual performance is compared to the required
performance
• Taking corrective actions if needed
Unit 1.3: The Trends Shaping HR Man-
agement
 Globalization
and Competition
Trends

Trends in the Nature of

Technological Trends
Work

Trends in HR
Management

Workforce and
Economic Challenges Demographic Trends
and Trends
1. Workforce Demographics and Diversity Trends
The composition of the workforce will continue to change over the next few years; specifically, it will continue to
become more diverse with more women, minority group members, and older workers in the workforce

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2. Trends in How People Work
• Gen X, Gen Y, baby boomers

3. Globalization Trends
• Managing the “people” aspects of globalization is a big task for any company that
expands abroad and for its HR managers.
• Some employers offshore even highly skilled jobs such as lawyer.
• As multinational companies jockey for position, many transfer operations abroad, not
just to seek cheaper labor but to tap into new markets. For example, Toyota has
thousands of sales employees based in America, while GE has over 10,000 employees
in France. The search for greater efficiencies prompts some employers to offshore
(export jobs to lower-cost locations abroad, as when Dell offshored some call-center
jobs to India).
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4. Economic Trends
Demand for workers is unbalanced; for example, an “average” unemployment rate
of, say, 5% masks the fact that the unemployment rate for, say, recent college
graduates was much higher, while that of software engineers was much lower. In
fact, almost half of employed U.S. college graduates are in jobs that generally
require less than a four- year college education

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5. Technology Trends
It may be technology that most characterizes the trends shaping human resource
management today. For example, the consulting firm Accenture estimates that social
media connections via tools like LinkedIn will soon produce as many as 80% of new
recruits—often letting line managers bypass the human resource management unit.
Five main types of digital technologies are driving this transfer of functionality from
HR professionals to automation.

1. Employers increasingly use social media tools such as Twitter, Facebook, and
LinkedIn (rather than, say, as many employment agencies) to recruit new employees.
2. Employers use new mobile applications, for instance, to monitor employee location
and to provide digital photos at the facility clock-in location to identify workers.

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3. The feedback, fun, and objectives inherent in gaming support many new training
applications, and websites such as Knack, Gild, and True Office enable employers
to inject gaming features into training, performance appraisal, and recruiting.
4. Cloud computing and more intuitive user interfaces enable employers to monitor
and report on things like a team’s goal attainment and to provide real-time
evaluative feedback.
5. Finally, data analytics basically means using statistical techniques, algorithms,
and problem-solving to identify relationships among data for the purpose of
solving particular problems (such as what are the ideal candidate’s traits, or how
can I tell in advance which of my best employees is likely to quit?). When applied
to human resource management, data analytics is called talent analytics.

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Unit 1.4: The New Human Resource
Manager & Competencies of HR
manager
▪ Tasks like formulating strategic plans and making data-based decisions require new
competencies and skills. HR managers can’t just be good at traditional personnel tasks
like hiring and training.

▪ To create strategic plans, the human resource manager must understand strategic
planning, marketing, production, and finance.

▪ As companies merge and expand abroad, they must be able to formulate and implement
large-scale organizational changes, drive employee engagement, and redesign
organizational structures and work processes.

▪ The Society for Human Resource Management (SHRM) introduced a new “competency
model” (called the SHRM Body of Competency and Knowledge™); it itemizes the
competencies, skills, and knowledge and expertise human resource managers need.
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
Competencies of a HR Manager
• Leadership & Navigation
The ability to direct and contribute to initiatives and processes within the organization.

• Ethical Practice
The ability to integrate core values, integrity, and accountability throughout all organizational
and business practices.

• Business Acumen
The ability to understand and apply information with which to contribute to the
Organization’s strategic plan. .

• Relationship Management
The ability to manage interactions to provide service and to support the organization.
Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall
• Consultation
The ability to provide guidance to organizational stakeholders.

• Critical Evaluation
The ability to interpret information with which to make business decisions and
recommendations.

• Global & Cultural Effectiveness

The ability to value and consider the perspectives and backgrounds of all parties.

• Communication
The ability to effectively exchange information with stakeholders.

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

1–23

Line and Staff Aspects of HRM

• Line Manager
– Directs the activities of the people in his or her own
or related department

• Staff Manager
– Assists and advises line managers.
– Has functional authority to coordinate personnel activ-
ities and enforce organization policies.
1–24

Line Manager
• Line manager is a person who deals with direct managerial responsibil-
ity for a particular employee.
• Line manager manages employees and operations of a business while
reporting to the higher authority.
• Line manager is an in charge of essential activities like operations and
authorized to issue orders to subordinates down the chain of command.
• It has direct control over the staff employee
1–25

Staff Manager
• Staff manager is an in charge person who consumes revenue, advice and guide to
the line manager. Staff manger doesn’t make decision but he helps to take de-
cision.
• It doesn’t have direct control over the line employee
• It involves assisting line personal and aid top management in various business
activities
• It works toward guide and support line manager
Thank you