Prepared by: Safaa S.Y. Dalloul

E-HRM | Intro.| Unit 12013-2014http://safaadalloul.wordpress.com

KYTC

4HRM Perform Task

1HRM

Introduction

2HRM Functions

3HRM and Environment

5HR Diversity

6HRIS

Human Capital Management, Human Capital Assets, and HRM Definition

HRM INTRODUCTION1

Do You Know the Meaning of

Capital?

Do You Hear about Types of

Capital?

For Your Information

The Capital is every thing can be converted to value.

Types of Capital

Financial Capital Natural Capital Social Capital Instructional Capital Human Capital

Examples

Obligation, Liquidity of Money Ocean, River Brand Value, Goodwill Knowledge (Academic) Social, Instructional, and Individual

Human Capital Management

It is the task of measuring the cause and effect of

relationship of various HR programs and policies on the

bottom line of the firm.

Human Capital Management

A company's human capital asset: is the collective sum

of the attributes, life experience, knowledge,

inventiveness, energy and enthusiasm.

Note: HCM attempts to obtain additional productivity from workers, so HR plays a significant role.

Continued

Definition Of HRM

HRM: is the utilization of a firm's human resources to achieve

organizational objectives and it is an individual dealing with

human resources matters faces a multitude of challenges.

Define the following: Human Capital Management

Human Capital Asset HRM

2 HRM FUNCTIONS

Staffing, HR Development, Compensations and Benefits, PA, Safety, Employee Relations, HR Research

HRM Functions | Staffing

The process through which an organization ensures that it

always has the proper number of employees with the appropriate

skills in the right jobs at the right time to achieve the

organization's objectives.

HRM Functions | HR Development

It consists of not only training and development, but also of

individual career planning and development activities,

organization development and performance appraisal.

Note: Human resources development is a major HRM function.

HRM Functions | Compensation and Benefits

A well-thought-out compensation system provides employees

with adequate/suitable and equitable rewards for their

contributions to meet organizational goals.

HRM Functions | Compensation and Benefits

Pay: the money that a person receives for performing a job.

Continued

HRM Functions | Compensation and Benefits

Benefits: Additional financial rewards;

differ from base pay, including paid

vacations, sick leave holidays and

medical insurance.

Continued

HRM Functions | Compensation and Benefits

Non-financial rewards; Non-monetary rewards; such as

enjoyment of the work performed or a satisfactory of

workplace environment that provides flexibility.

Continued

HRM Functions | Performance Appraisal

It is a formal system of review and evaluation of individual or

team task performance.

The focus of PA in most firms remains on the individual

employees.

HRM Functions | Performance Appraisal

An effective appraisal system

evaluates accomplishments and

initiates plans for development,

goals, and objectives.

HRM Functions | Safety and Health

Safety: involves protecting employees from injuries caused by work-related accidents.

Health: refers to the employees' freedom from physical or emotional illness.

HRM Functions | Employee and Labor Relations

A business firm is required to

recognize a union and bargain

with it in good faith if the firm's

employees want the union to

represent them.

HRM Functions | HR Research

Although human resource research is not a distinct HRM

function, it pervades all functional areas, and the

researcher's laboratory is the entire work environment.

Summarize the HR Functions

3 ENVIRONMENT FACTORS

Environment Factors

Internal Factors

• The factors that affect a firm's human resources from inside organization's boundaries.

– Discuss

External Factors

• The factors that affect a firm's human resources from outside organization's boundaries.

– Discuss

Environment Factors That Affect HRM

The labor forces

Technology

Economy

Legal

SocietyCustomers

Competition

Shareholders

Unions

The Labor Force

The labor force is a pool of external individuals to the firm

from which the organization obtains its workers.

As new employees are hired from outside the firm, the

labor force is considered an external environmental factor.

Legal Consideration

Refers to federal, state and local legislation. Many court

decisions interpreting this legislation, in addition to

presidential executive orders.

Society

Society exerts/uses pressure on HRM.

To remain a company acceptable to the

general public, it must accomplish its

purpose while complying with societal

norms.

Social responsibility: the implied enforced or felt obligation of

mangers, acting in their official capacity to serve or protect the

interests of groups rather than themselves.

Ethics: The discipline dealing with what is good and bad or right

and wrong or with moral duty and obligation.

ContinuedSociety

Union: comprise of employees who have joined together for the

purpose of dealing with their employer.

Unions become a third party when dealing with the company.

In a unionized organization, the union negotiates an agreement

with management.

Unions

Shareholders: The owners of a corporation.

As they invest money in the firm, they may

challenge at times programs considered by

management to be beneficial to the

organization.

Shareholders

Firms may face intense competition in both their product or

services and labor markets.

Competition

The people who actually use a firm's goods and services.

As sales are crucial to the firm's survival, management has the

task of ensuring that its employment practices do not antagonize

its customers.

Customers

Technology affects every area of a business

including HRM.

Technological changes occur so rapidly nowadays.

HR technology has the potential to either increase or

decrease an organization's worth.

Technology

The economy is a major environmental factor affecting HRM.

When the economy is booming, recruiting qualified workers is more

difficult, and when downturn is experiences, more applicants are

typically available.

The Economy

Students Time

HRM TASK

4

How Performs the HRM Task?, HR Designations, HR Functions in Organization (Size)

How Performs the HRM Task?

The person or units who perform the HRM tasks have changed

dramatically in recent years.

Restructuring resulted in a shift which carries out each function.

How Performs the HRM Task?

HR Manager

Shared Services Center

Outsourcing Firms

Line Manager

Continued

HRM Task| HR Manager

An individual who normally acts in an advisory or staff

capacity, working with other mangers regarding human

resource matter.

Historically, HR department perform the functions internally.

HRM Task| HR Manager

HR Manager is primarily responsible for coordinating the

management of human resources to help the organization

achieves its goals.

There is a shared responsibility between line managers and

human resource professionals.

Continued

HRM Task| Shared Services Center

Shared Services Centers: A center that takes routine,

transaction-based activities disperses throughout the

organization and consolidates them in one place.

HRM Task| Outsourcing Firms

Outsourcing: the process of transferring responsibility for an

area of service and its objectives to an external provider.

Outsourcing increases in order to reduce costs caused by

sluggish earnings or tighter budgets, mergers and acquisitions

that have created many redundant systems.

HRM Task| Line Manager

Individual directly involved in accomplishing the primary

purpose of the organization.

HR Designations

An Executive

A Generalist

A Specialist

HR Designation| Executive

An executive: is a top-level manager who reports directly to a

corporation's chief executive officer or to head of a major

division.

HR Designation| Generalist

A person who performs tasks in a variety of human resource-

related areas.

HR Designation| Specialist

An individual who may be a human resource executive, a

human resource manager, or a manger and who is typically

concerned with only one of the HRM functions.

How are the HR Functions

conducted in the organization

regarding to its size?

HR Functions in Organizations

Small Business

Medium

Business

Large Business

HR Functions| Small Business

Small businesses seldom have a formal HR units and HRM

specialists.

Managers in the company handle HR functions, and the focus

of their activities is generally on hiring and retaining capable

employees.

HR Functions| Small Business

Some functions may actually be more significant in smaller

firms than in larger ones.

Continued

HR Functions| Medium Business

As a firm grows, a separate staff function may be required to

coordinate HR activities.

HR staff is expected to handle most of the HR activities.

HR Functions| Large Business

When the firm's HR functions becomes too complex for one

person, separate sections have historically been created and

placed under a human resource executive.

HR Functions| Large Business

These sections typically perform tasks involving training and

development, compensation and benefits, safety and health, and

labor relations.

In large organizations, every HRM function may have a

manager and staff reporting the HR executive.

Continued

DIVERSITY

5

Diversity

Any perceived difference among people: age, race, religion,

functional specialty, profession, sexual orientation, geographic

origin, lifestyle, tenure with organization, or position, and any

other perceived difference.

Note: Tenure = Job, Post, Position

Diversity Management

Ensuring factors are in place to provide for and encourage

continued development of diverse workforce by melding actual

and perceived differences among workers to achieve maximum

productivity.

Managing Diverse Workforce and Various Components:

Single Parents & Working Mothers

Women in Business

Dual Career Families

Workers of Color

Older Workers

Persons with Disabilities

Immigrants

Young Persons with Limited

Education/Skills

Educational Level of Employees

Single Parents & Working Mothers

Number is growing

Many marriages end in divorce

Widows and widowers who have children

Need alternative child-care arrangements

72% of mothers with children under 18 are in work

force

Women in Business

Account for 45% of workforce

Hold half of all management, professional, and related

occupations

Over 9 million women-owned businesses

Increasing number of nontraditional households

Organizations must address work/family issues

Dual Career Families

Both husband and wife have jobs and family

responsibilities

Majority of children growing up today have both parents

working outside home

Some have established long-distance jobs

Want more workplace flexibility

Revised nepotism policy

Workers of Color

Often experience stereotypes

Often encounter misunderstandings and expectations

Bicultural stress

Socialization in one’s culture of origin can lead to misunderstandings

in workplace

Older Workers

Population is growing

Long-term labor shortage is developing

Many organizations actively courting older employees to remain on

job longer

Needs and interests may change

May require retraining

Persons with Disabilities

Limits amount or kind of work person can do or makes its

achievement unusually difficult

Perform as well as unimpaired in productivity, attendance and average

tenure

Persons with Disabilities

ADA prohibits discrimination against qualified individuals with

disabilities

Serious barrier is bias, or prejudice

Manager can set the tone

Continued

Note: ADA = American With Disability

Immigrants

Large numbers of immigrants from Asia and Latin America have

settled in many parts of United States

Newer immigrants require time to adapt

Managers must work to understand different cultures and languages

Young Persons with Limited Education/Skills

Many thousands of young, unskilled workers are hired

Poor work habits

Tardy or absent

Can do many jobs well

Jobs can be de-skilled

Educational Level of Employees

Bipolar country with regard to education

Half of new jobs need some education beyond high school

Those with limited education will be left out of empowerment effort

Note: Bipolarity is a distribution of power in which two states

have the majority of economic, military, and cultural influence

internationally or regionally.

What are individual differences and how are they related to

workforce diversity?

Study Question:

Personality

The overall profile or combination of characteristics that

capture the unique nature of a person as that person reacts and

interacts with others.

Combines a set of physical and mental characteristics that

reflect how a person looks, thinks, acts, and feels.

Personality

Predictable relationships are expected between people’s

personalities and their behaviors.

How do personalities differ? (Discuss)

“Big Five” Personality Dimensions.

1) Extraversion

2) Agreeableness.

3) Conscientiousness.

4) Emotional stability.

5) Openness to experience.

“Big Five” Personality Dimensions.

Openness to experience.Being imaginative, curious, broad-minded.

Extraversion Being outgoing, sociable, assertive.

Agreeableness.Being good-natured, trusting, cooperative.

Conscientiousness. Being responsible, dependable, persistent.

Emotional stability. Being unworried, secure, relaxed.

Continued

Challenge of Work Diversity

Respecting individuals’ perspectives and contributions and promoting a

shared sense of organizational vision and identity.

As workforce diversity increases, the possibility of stereotyping and

discrimination increases.

Example of stereotype: All women will get 40 days for maternity

leave (Gender)

Demographic characteristics may serve as the basis for stereotypes.

Equal employment opportunity.

Nondiscriminatory employment decisions.

No intent to exclude or disadvantage legally protected groups.

Affirmative action.

Remedial actions for proven discrimination or statistical imbalance in

workforce.

Demographic characteristics.

The background characteristics that help shape what a person becomes.

Important demographic characteristics for the workplace.

Gender.

Age.

Able-bodied-ness.

Race.

Ethnicity.

Organization Culture| Definition

“A set of shared values, beliefs, norms, artifacts and patterns of

behavior that are used as a frame of reference for the way one

looks at, attempts to understand, and works within an

organization.”

Organization Culture| OC and Work Diversity

What is the impact of increasing workforce diversity on

organizational culture?

People from diverse cultures (or subcultures) often possess

different assumptions, values, beliefs, and experiences. What can be gained from this richness of experience?

What are the potential problems with such diversity?

Organization Culture| Discrimination

Access discrimination

Jobs are unavailable (or less available) to people with

certain characteristics or backgrounds.

Treatment discrimination

People are treated differently after they are hired (e.g., in the

training or promotion opportunities available).

Organization Culture| Discrimination

Treatment discrimination against women in organizations

Promotion

Pay

Sexual Harassment

Organization Culture| Discrimination

Treatment discrimination against minorities in organization

Promotion

Racial Harassment

HRIS

6HRIS

HRIS| Introduction

An integrated system designed to provide information used in

HR decision making.

Computers have simplified the task of analyzing vast amounts

of data, and they can be invaluable aids in HR management,

from payroll processing to record retention.

HRIS| Introduction

With computer hardware, software, and databases,

organizations can keep records and information better, as well

as retrieve them with greater ease.

Continued

HRIS| Purposes

An HRIS serves two major purposes in organizations.

One relates to administrative and operational efficiency, the

other to effectiveness.

Efficiency: Doing the Thing Right

Effectiveness: Doing the Right Thing

Which is the best?

HRIS| Purposes

The first purpose of an HRIS is to improve the efficiency with

which data on employees and HR activities is compiled.

Many HR activities can be performed more efficiently and with less

paperwork if automated. When on-line data input is used, fewer forms

must be stored, and less manual record keeping is necessary.

Continued

HRIS| Purposes

Much of the reengineering of HR activities has focused on identifying

the flow of HR data and how the data can be retrieved more efficiently

for authorized users.

Workflow, automation of some HR activities, and automation of HR

record keeping are key to improving HR operations by making

workflow more efficient.

Continued

HRIS| Purposes

The second purpose of an HRIS is more strategic and related

to HR planning.

Having accessible data enables HR planning and managerial decision

making to be based to a greater degree on information rather than

relying on managerial perception and intuition.

Continued

HRIS| Purposes

For example, instead of manually doing a turnover analysis by

department, length of service, and educational background, a specialist

can quickly compile such a report by using an HRIS and various sorting

and analysis functions.

Continued

HRIS| Purposes

HR management has grown in strategic value in many organizations;

accordingly, there has been an increased emphasis on obtaining and

using HRIS data for strategic planning and human resource forecasting,

which focus on broader HR effectiveness over time.

Continued

HRIS| Uses

An HRIS has many uses in an organization.

The most basic is the automation of payroll and benefit activities.

With an HRIS, employees’ time records are entered into the system, and the

appropriate deductions and other individual adjustments are reflected in the

final paychecks.

HRIS| Uses

As a result of HRIS development and implementation in many

organizations, several payroll functions are being transferred from

accounting departments to HR departments.

Continued

HRIS| Uses – HR Planning and Analysis

Organization Charts

Staffing Projections Skills Inventories

Turnover Analysis

Absenteeism Analysis

Restructuring Costing

Internal Job Matching

Job Description Tracking

HRIS| Uses - Staffing

Recruiting Sources

Applicant Tracking

Job Offer Refusal Analysis

HRIS| Uses – HR Development

Employee Training Profiles

Training Needs Assessments

Succession Planning

Career Interests and Experience

HRIS| Uses – Health, Safety, and Security

Safety Training

Accident Records

OSHA 200 Report (Occupational Safety and Health Administration (OSHA))

Material Data Records

HRIS| Uses – Employee and Labor Relations

Union Negotiation Costing

Auditing Records

Attitude Survey Results

Exit Interview Analysis

Employee Work History

HRIS| Uses – Equal Employment

Affirmative Action Plan

Applicant Tracking

Workforce Utilization

Availability Analysis

Succession PlanningJob Analysis

Job Analysis Information Job Analysis Methods Timeliness of Job

Analysis Job Description

HR Planning Process Strategic Planning HR Planning

• HR Forecasting Techniques

• Forecasting HR Requirements

The Next Lecture Forecasting HR Availability

• Surplus Of Employee Forecasted

• Shortage Of Employee Forecasted

Accelerated Succession Planning Job Design Concepts

Enterprise resource planning systems Introduction Benefits of enterprise resource

systems to lodging operations Planning for implementation Selecting an ERPS Implications and conclusion

It is an ongoing process whereby an individual sets

career goals and identifies the means to achieve them.

Career Planning

Back

It is the planned process of improving an organization

by developing its structures, systems and processes to

improve effectiveness and achieving designed goals.

Organization Development

Back

It is a formal system of review and evaluation

individual or team task performance.

Performance Appraisal

Back

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