organizational behavior - session8

1Organisational Behavior, Do Tien Long

Human Resource Policies and Practices

Lecturer: Do Tien Long

09 04 51 54 46

[email protected]


Learning objectives

Explain nature of human resource management (HRM), and contrast this with personnel management

Analyze HRM policies, activities

Human resource planning, recruitment and selection

Importance of training and development

Explain the system of performance appraisal

Nature of employee relations


Human resource management

An essential part of the process of management is that proper attention be given to the efficient use of resources, in particular human resources

The efficiency & performance of staff & their commitment to organisational objectives are fostered by good human relationships at work


The significance of HR

As the basis of her ‘living strategy’ Gratton proposes –

There are fundamental differences between people as an asset & the traditional assets of finance or technology

An understanding of fundamental differences creates a new way of thinking & working in organisations: a shift in mind-set

Business strategies can only be realised through people Creating a strategic approach to people necessitates a strong

dialogue across the organisation


Human resource management or personnel management?

The discussion generally centres on the extent to which HRM is a new & distinctive philosophy with a particular paradigm shift towards a more strategic approach to people management

or

New wine in old bottles – HRM is no more than a different term

for what good personnel managers have always been doing


Human Resource Management (HRM)

Involves all management decisions and practices that directly affect or influence the people, or human resources, who work for the organization

Fisher et al.


Defining HRM

The design, implementation & maintenance of strategies to manage people for optimum business performance including the development of policies & processes to support these strategies

CIPD


Defining HRM

Organisations that get the people thing right are the organisations that are likely to be around in the future

Delaney


A strategic approach

The strategic use of human resources will help managers to contribute to the release of true value by the optimum use of people’s competencies

A strategic HR approach requires that the needs & talents of employees become matched with organisational goals


HRM policies & practices

The formulation of HRM policies & implementation of personnel practices & procedures should be based on underlying philosophies of managing behaviour & employee relationships


Range of HRM policies & practices

Human resource planning

Recruitment, selection & induction

Salary & wage administration

Organisational design & patterns of work

Education, training & development

Employee relations

Employee services, welfare and health & safety


Ethical frameworks for judging personnel practices

Basic right – to be consulted on all matters affecting the individual at work

Organisational justice – fairness in treatment, equality of opportunity & equity

Universalism – acknowledging respect for the individual

Community of purpose – recognition of how organisational decision-making affects different groups & stakeholders

Winstanley et al.


HRM – a shared responsibility


Approach taken by M&S

Every manager is a personnel manager

Every director is a personnel director

A strong, well-trained team of personnel staff provide support, training, guidance & advice to management at all levels


To deliver organisational excellence HRM needs to become –

A partner with senior & line managers in strategy execution

An expert in the way work is organised & executed to ensure costs are reduced & quality is maintained

A champion for employees, representing their concerns to senior management

An agent of continuous transformation

Ulrich


People management – impact on profits

1. Is critical to business performance

2. Companies where employees have high levels of job satisfaction & commitment showed improving financial performance

3. HR practices explained nearly one-fifth of the variation between companies in productivity and profitability

CIPD


Resourcing the organisationWhose concern is this?

Managers & supervisors should have some say in the appointment of own staff

Recruitment & selection of staff can be regarded as a specialist activity but all managers should be well acquainted with the basic procedures & skills involved & have access to HR department for advice


Prerequisites for an effective recruitment & selection policy

The clarification of corporate objectives

Design of an effective structure

A system of human resource planning


HR planning

A strategy for the acquisition, utilisation, improvement & retention of an organisation’s human resources


Main HR planning stages

Analysis of existing staffing resources

Estimating likely changes in resources by the target date

Forecasting staffing requirements necessary to achieve corporate objectives by the target date

Measuring the required staffing resources available as & when required


Main stages in HR planning


Value of HR planning

Foresee changes & identify trends in staffing resources

Adopt personnel policies that help to avoid major problems

Reconcile differences between supply & demand

Provides framework in which action can be taken to overcome staffing differences


Value of HR planning

Continuous process that seeks to ensure flexible resourcing related to internal/external environmental influences

Can help anticipate potential future difficulties while there is still a choice of action


Recruitment & selection of staff


Job analysis

The total process by which a job description & a person specification are produced


Possible contents of a job description


Person specification

Document that gives information about the job, providing a blueprint of the ideal person to do the job & the personal attributes & qualities associated with successful performance


Attracting suitable candidates - sources

Employment services – job centres/agencies Careers advisory offices Schools/colleges/universities Private employment agencies Professional & executive appointment registers Ex-service organisations Personal introductions Exhibitions for mass recruitment Advertising Headhunting – executive searches


Methods of selection

Short-listing

Graphology

Peer rating

In-tray exercises

Selection tests

Peer questionnaires

Assessment centres


The selection interview

Despite constant criticisms the interview is usually a central & indispensable element of the selection process and is still a widely used method of selection


Interview style

Behavioural interviews – questions about how candidates have handled past situations

Situational interviews – posing hypothetical, future-oriented questions to help assess future job performance


Interview considerations

Seating arrangements

Types of questions to ask

Purpose of questions


Interview questions Leading

Time keeping is important. Are you a good time keeper?

I guess you regret that now, do you?


Interview questions Open

What made you decide to ……….?

How did you happen to………….?


Interview questionsDirect / closed

What grades did you get in each of your A- level subjects?

Exactly how many staff report directly to you?


Interview questionsReflective remark

You appear to prefer working in a busy office

It seems that you do not respond well to personal criticism


Selection decision – grading schemes


Benefits of training

Training can: Increase confidence, motivation, & commitment of staff Provide recognition, enhanced responsibility, & the

possibility of increased pay & promotion Give a feeling of personal satisfaction & achievement,

& broaden opportunities for career progression Help to improve the availability, quality & skills of staff


A planned & systematic approach to training

Clear commitment to training throughout all levels of the organisation

An objective assessment of training needs Staff themselves should feel a sense of involvement A clear set of objectives & a defined policy for training Planned training programmes


A planned & systematic approach to training

Choice of the most appropriate methods of training External courses & training opportunities linked to the

educational system Regard given to the training needs of those groups who

are not currently active in the workforce An effective system of review & evaluation Evaluation related to objective, measurable factors


Areas of training

With the rapidly changing nature of the business world and the need to maintain competitive advantage, organisations need to ensure that staff are fully trained in – Knowledge of their products/services

Technical skills

Human relations skills

How to work with maximum effect


Growth of e-learning

Learning via technology

Offers opportunities to provide a standard message to large numbers of geographically-dispersed people

Provides minimum disruption to people’s working lives & private lives

Can reduce costs where large numbers of learners are involved

Can be more accessible than other forms of training methodologies


Investors in People

A standard for the training & development of people within an organisation

Launched in 1991 by the Department of Employment

Seeks to reward organisations that achieve prescribed standards

Provides a framework for improving business performance & competitiveness

Standard held for 3 years after which organisation is required to go through external assessment again


Investors in People

The standard is based on the following principles:

1. Public commitment from the top to invest & develop people to achieve business goals

2. Planning how individuals & teams will be developed

3. Taking relevant action to meet training & development needs

4. Evaluating the outcomes of training & development


Overview of performance appraisal


Benefits to appraisal

Can identify individual’s strengths & areas of development

Can indicate how strengths can be utilised & weaknesses overcome

Can help reveal problems that may be restricting progress

Can develop a greater degree of consistency through regular feedback

Can provide information for HR planning Can improve communications


Performance appraisal & psychological principles

People work / learn / achieve more when they are given -

1. Adequate feedback as to their performance

2. Clear attainable goals

3. Involvement in the setting of tasks & goals

James


Designing a successful appraisal system

Questions to be addressed

Who should be appraised?

Who should undertake the appraisal?

At what frequency should appraisals be undertaken?

Should the appraisal system be open?


360 degree feedback

An appraisal & feedback from different groups within the work situation

Includes feedback from peers, subordinates, bosses & possibly internal & external customers


Upward appraisal feedback

An upward review or appraisal system that involves subordinates’ appraisal of managers

This can help to judge managers’ ability accept constructive criticism

Requires an appropriate organisational culture & open management


Employment relations

Concerned with the relationships between the policies & practices of the organisation & its staff & the behaviour of work groups


Influences on the employment relations policy

The type, nature & size of the organisation

Structure & methods of operation

Nature of staff employed

Arrangements for collective bargaining

Structure & strength of trade unions

Preference of the parties for freedom of action from outside influences

The philosophy of top management & their attitudes


Employment relations & business performance

This material is taken from Employment Relations into the 21st Century: An IPD Position Paper and reproduced with the permission of the publisher, the Chartered Institute of Personnel and Development, London, SW19 4UX, December 1997, p.5.


Effective employment relations


International approaches of HRM

Ethnocentric approach

Polycentric approach

Geocentric approach

Regiocentric approach

Budhwar


10 ways to make HR effective

Be the catalyst for making things happen

Avoid being the corporate soft touch

Understand the whole business

Keep people-management systems simple

Remember line managers manage people, not HR


10 ways to make HR effective

Work with, not above, line managers

Be super-efficient in the transactional stuff

Be leaders in the transformational stuff

Help the business to manage change

Accept that good ‘people ideas’ exist outside HR

Browning


At which stage of the

selection process do you think

a company’s culture becomes

clear to an employee? Discuss

with a classmate.

Chapter Check-Up: HR Policies

organizational behavior - session8

Business

human resource policies

organisations human

personnel policies

particular human resources

hrm organisations

people management impact

senior management

organisational excellence