introduction to hrm lecture

8/13/2019 Introduction to HRM Lecture

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Introduction to HRM

Human Resource

Management - Session 1Suhel Khan



Aims

By the end of the session students will beable to:

1) Demonstrate an understanding role ofHR.

2) Understand the factors influencing theHRM.



What is HR?

Human Resources is the part of theorganization that deals with people

Managing the human resource This means acquiring developing and

supporting staff as well as ensuring they

fulfill their role at work



Define HRM

Torrington et al “ It is a series of activitieswhich; first enables working people andthe organisation which uses their skills to

agree about the objective and nature oftheir working relationship and secondly,ensure that the agreement is fullfilled.”



HRM

The Policies and practices in carrying out the “people” or human resource aspects of amanagement position including, recruiting,screening, training, rewarding and appraising.(Dessler G)

The Charted Institute of Personnel Management “ The design, implementation and maintenanceof strategies to manage people for optimumbusiness performance including the developmentof policies and process to support thesestrategies”



Continue

So the Human Resource Manager job includes:

Conducting Job analysis ( determining the nature of each job)

Planning labour needs and recruiting job candidated

Selecting Job candidates

Orienting and training new employees

Managing wages and salaries (compensating employees)

Providing incentives and benefits

Appraising performance

Communicating ( interviewing, counselling, disciplining)

Training and development



Cont.

Training and Developing managers

Building employee commitment

And what a HRM Manger should know aboutEqual opportunity and affirmative action

Employee health and safety

Handling grievances and labour relations



Personnel Management V ResourceManagement

Personnel Management is „workforce‟ centred

HR is resource centred

Does not identify with Management interests Directed at management needs for deployment

People have the right to proper „treatment‟

Focus is on individuals and needs and potential

Intervene between manager - subordinate relationships

Planning, monitoring and control rather than mediation



Introduction to HR

The 1980‟s and 90‟s saw „Human ResourceManagement‟(HRM) replace „Personnel Management‟

fashionable term

re-organisation of work of personnel department

distinctively different with new management approach

Long term rather than short term perspective Psychological contract of commitment

Self-control rather than external controls Management integration Maximum utilisation of resource



Why is it Important?

Staff are the largest revenue cost of any organisation.

Staff are a volatile resource, they can leave you anytime.

Staff are a store of corporate knowledge and the meansof service delivery.

Retaining and developing good staff allows you to useskills and develop as a business.

Individuals should contribute more than they cost. In the industry customer care critical and delivered by

staff as representatives.



Introduction to HR

The 1980‟s and 90‟s saw „Human ResourceManagement‟(HRM) replace „Personnel Management‟

fashionable term

re-organisation of work of personnel department

distinctively different with new management approach

Long term rather than short term perspective Psychological contract of commitment

Self-control rather than external controls Management integration Maximum utilisation of resource



Hard and Soft HRM

'Storey (1989) has distinguished between hard and softforms of HRM, typified by the Michigan and Harvardmodels respectively. 'Hard' HRM focuses on the resourceside of human resources. It emphasizes costs in the

form of 'headcounts' and places control firmly in thehands of management. Their role is to manage numberseffectively, keeping the workforce closely matched withrequirements in terms of both bodies and behaviour.'Soft' HRM, on the other hand, stresses the 'human'

aspects of HRM. Its concerns are with communicationand motivation. People are led rather than managed.They are involved in determining and realizing strategicobjectives.'



Hard and Soft HRM

Hard HRM: A different view of HRM is associatedwith the Michigan Business School (Fombrun,Tichy and Devanna, 1984). There are manysimilarities with the Harvard 'map' but the

Michigan model has a harder, less humanisticedge, holding that employees are resources inthe same way as any other business resource.People have to be managed in a similar mannerto equipment and raw materials. Thay must be

obtained as cheaply as possible, used sparingly,and developed and exploited as much aspossible.



The Michigan model is also known as the'matching model' or 'best-fit' approach to humanresource management. In essence, it requiresthat human resource strategies have a tight fitto the overall strategies of the business. Assuch, it limits the role of HR to a reactive,organizational function and under-emphasizesthe importance of societal and other external

factors. For example, it is difficult to see how thecurrent concern for worklife balance could beintegrated into this model.



The Matching Model of HRM

Internal Inter-linked components:Mission and

Strategy

Organisation Human Resource

Structure management

External forces:

Political forces Economic forces Cultural forces

Devanna et al., 1984

Emphases the „tight fit‟ between HR strategy and business strategy



Harvard Model

A large part of this section is devoted to the Harvard 'map' of HRM.This is probably the most seminal model of HRM and has had amajor influence on academic debate on the subject.

'We noted that the Harvard Business School generated one of themost influential models of HRM. The Harvard interpretation seesemployees as resources. However, they are viewed as being

fundamentally different from other resources - they cannot bemanaged in the same way. The stress is on people as human resources. The Harvard approach recognizes an element ofmutuality in all businesses, a concept with parallels in Japanesepeople management, as we observed earlier. Employees aresignificant stakeholders in an organization. They have their own

needs and concerns along with other groups such as shareholdersand customers.'



The Harvard Map or model outlinesfour HR policy areas:

1 Human resource flows - recruitment,selection, placement, promotion, appraisaland assessment, promtion, termination,

etc.2 Reward systems - pay systems,motivation, etc.3 Employee influence - delegated levels

of authority, responsibility, power4 Work systems - definition/design ofwork and alignment of people.

http://www.bestbooks.biz/hrm/harvard_beer.htm

http://www.bestbooks.biz/hrm/harvard_beer.htm



Which in turn lead to the 'four C's' orHR policies that have to be achieved:

Commitment

Congruence

Competence Cost effectiveness



Factors Affecting HR

Legislation

The Economic environment

The global economy The structure of the labour market

The Political environment

Changes in technology Need to constantly retrain staff



Legislation

In the EU employment law is highlycomplex

In the UK changes made twice a year

The contract of employment is key to theemployer/employee relationship



The Policy Decisions

The formalities to bargain withGovernment legislation, trade unions andworkers council consultations

The decision to minimise external powerand influence

Encompass management and employeegroup interaction



The Role of HR in Tourism

Support and advise line managers

Ensure staff available to meet organisational needs

Provide developmental support

Appraisal Training

Promotion

Ensure pay and benefits in line with expectations.

Deal with problem staff Develop

Dismissal



The Changing Nature of HotelWork

Greater level of overseas travel

Technology room bookings etc

Larger number of multinational groups

Greater job mobility

Higher customer care expectations

Reduction in seasonal differences

Health and Safety

Greater need for Multi-skilling



Factors Affecting Hotel Work

Disposable income levels

Customer expectations

Travel options consider 911 Technology

Staff availability

Status many hotels are importing labour Flexibility of supply e.g. Students in summer

Career expectations



HRM Function

The company rather than the state or trade unionprovide employee security and welfare

HRM focuses on achieving organisational goals

through individual achievement Providing the right person in the right place

Directing positive employee communication and

involvement Optimise co-operation and loyalty

Imposition of different forms of control to developmanagement



Moving with the Times

Forces interact in complex ways to move andchange markets, businesses and the economicsof regions.

The changing expectations of a growingpopulation.

a greater sense of self-determination

expectation of rewards and recognition for

efforts expended

a growing appetite for a better life.



Business Changes

HRM equipped with strategy - a new set of toolsand measures

People issues are now recognised as beingcentral to the success of any organisation

as a consequence, human resources has assumeda higher profile.

senior management meeting address concerns

staffing levels,

recruitment,

management development

retention.



Mutuality between Employers and Employees

The theory that policy will elicit commitmentwhich in turn will yield better economicperformance and greater human development

Mutual goalsmutual influence

mutual respect

mutual rewardsmutual responsibility

Walton, 1985



Reference

http://www.hr-topics.com/introduction-to-hrm/defining-hrm.htm

Armstrong M Handbook of HRM

practices(Kogan Page 1999)

OTHM Presentation of Travel and Tourism

Laurie J. Mullins Management and

Organisational Behaviour seventh edition












introduction to hrm lecture

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