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Topic 1. Managerial FunctionHuman Resource Management

Vera Butkouskaya

www.verapetrovna.com - Additional materials

Content1.1. Organization:

a. definition, types, structure, strategy, mission, resources.

1.2. Human resource management (HRM):

a. concept and functions.

1.3. Environmental trends and future HRM challenges.

1.4. Managing tourism companies

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1.1 Organization

definition, types, structure, strategy, mission, resources

Organizationan organized group of people

with a particular purpose,

such as a business or government department.

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Types of Organizations● corporations, ● governments, ● non-governmental organizations, ● political organizations, ● international organizations, ● armed forces, ● charities, ● not-for-profit corporations, ● partnerships, ● cooperatives● educational institutions.

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Hybrid OrganizationA hybrid organization is a body that operates

in both the public sector and the private sector simultaneously,

fulfilling public duties and developing commercial market activities.

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Voluntary AssociationA voluntary association is an

organization

consisting of volunteers.

Such organizations may be able to operate without legal

formalities, depending on jurisdiction, including informal

clubs.

Non-profit organization.Vera Butkouskaya © verapetrovna.com

Organizational structure● Hierarchical / Bureaucratic structures

○ Functional structure○ Divisional structure○ Matrix structure

● Flat structures○ Flatter○ Flat○ Flatarchies

● Network (Boundaryless) structures

https://www.youtube.com/watch?v=wO_-MtWejRM

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Hierarchical / Bureaucratic structures

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FunctionalVera Butkouskaya © verapetrovna.com

DivisionalVera Butkouskaya © verapetrovna.com

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Bureaucratic (or hierarchical) organizational structureVera Butkouskaya © verapetrovna.com

Flat structures

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Flat organizational structureVera Butkouskaya © verapetrovna.com

Network (Boundaryless) structures

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Boundaryless (or network) organizational structureVera Butkouskaya © verapetrovna.com

Strategy

MissionThe mission statement should guide the actions of an organization, spell out its overall goal, provide a path, and guide decision-making. It provides "the framework or context within which the company's strategies are formulated".

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Resources

Resources of Organization● Physical Resources (Things)● Financial Resources (Money)● Intellectual Resources (Knowledge and Information)● Human Resources (People)

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1.2 Human Resource Management: concept and functions

Related issues❏ What is Human Resources Management (HRM)?❏ What are the key fields of action in HRM?❏ HRM strategy.

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HRM functionsVera Butkouskaya © verapetrovna.com

HR Functions● Work flows and Job analysis ● Recruitment and Selection● Onboarding and Orientation● Performance management● Training and development● Compensation and Rewards

Specialized HR roles:● Safety● Diversity● Labor relationships● HRIS

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HRM Landscape - Main Content❏ Human resources challenges

and strategies❏ Work flows, Job analysis and

design❏ Staffing (Recruitment, Selection,

Onboarding )❏ Performance Appraisal❏ Investment in skills (Training

and Development)❏ Compensation (fix salaries, pay for performance, efficiency salaries and

benefits)❏ Managing turnover

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Human Resource Management (HRM)All planned and controlled activities of an organization

to build and maintain

the relation between employees and organization

in order to meet

both business objectives and employee expectations.

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HRM strategy

Related issues

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Strategic Priorities

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Company strategy - HR strategy

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Selection of Strategies to Increase Firm Performance

No HR strategy is “good” or “bad” in and of itself

Effects on firm performance depend on ● how well it fits with other environmental factors,● if the HR strategies reinforce one another rather than work at

cross-purposes.

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Key- and Second-order Functions of organizations

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Defenders vs. Prospectors in HRM strategiesDefenders are conservative business units that prefer to maintain a secure position in relatively stable product or service areas instead of looking to expand into uncharted territory.

Defenders tend to be highly formalized, emphasize cost control, and operate in a stable environment.

Prospectors emphasize growth and innovation, development of new products, and an eagerness to be the first in new-product or market areas, even if some of these efforts fail.

The prospector’s strategy is associated with flexible and decentralized organizational structures, complex products (such as computers and pharmaceuticals), and unstable environments that change rapidly.

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1.3- Environmental Megatrends and future HRM challenges.

Related issues

❏ Which megatrends determine future challenges in HRM?

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Demographic changes in Germany

Demography

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Value change

Value change

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From hand-work to knowledge work

Value change

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Innovation in new products development

Innovation

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Web 2.0

WEB 2.0

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WEB 2.0 and New TechnologiesHow do WEB 2.0 and Technologies influence HRM practices?

❏ The rise of telecommuting.❏ The ethics of proper data use.❏ Electronic monitoring.❏ Medical testing.❏ An increase in egalitarianism.

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The growth of export and import

Globalization

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GlobalizationHow do globalization influences HRM practices?

❏ Worldwide company culture❏ Worldwide recruiting.❏ A virtual workforce.❏ The global enterprises.❏ Wage competition.

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Megatrends determine future Challenges in HRM

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1.4 Tourism business industry

Types of Tourism BusinessThe service industries which benefit from tourism

transportation services, such as airlines, cruise ships, and taxicabs;

hospitality services, such as accommodations, including hotels and resorts;

entertainment venues, such as amusement parks, casinos, shopping malls, music venues, and theatres.

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Types of Tourism and Tourists● Health or medical tourist

● Business tourist

● Education tourists

● Adventure tourists

● Cultural tourist

● Eco-tourists

● Leisure tourist

● Religious tourist

● Sport and recreation tourist

● Backpacking or youth tourist

● Special Interest Tourist (STI)

● Incentive touristsVera Butkouskaya © verapetrovna.com

Definitions

Telecommuting jobs - without specific location, on distance jobs.

Egalitarianism - the doctrine that all people are equal and deserve equal rights and opportunities.

Outsourcing - Subcontracting work to an outside company that specializes in and is more efficient at doing that kind of work.

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Decentralization - Transferring responsibility and decision-making authority from a central office to people and locations closer to the situation that demands attention.

Downsizing - A reduction in a company’s workforce to improve its bottom line.

Span of Control

Number of levels in Hierarchy. Vera Butkouskaya © verapetrovna.com

Productivity - A measure of how much value individual employees add to the goods or services that the organization produces.

Ability - Competence in performing a job.

Motivation - A person’s desire to do the best possible job or to exert the maximum effort to perform assigned tasks.

brain drain - The loss of high-talent key personnel to competitors or start-up ventures.

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ReadingsBook

Gomez-Mejía, L., D. Balkin; and R. Cardy, Managing Human Resources, Pearson, 8th edition, 2015

Chapter I: Meeting Present and Emerging Strategic Human Resource Challenges

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