HRM, SHRM,IHRM,GREEN HRM

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    CONTEMPORARY ISSUES IN HRM

    ANSHUL(39)

    PRERNA(40)

    DAPHNE(41)

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    Contemporary issues with HRM

    GLOBALIZATION: globalization refers to the

    tendency of firms to extend their sales,ownership and manufacturing to new marketsabroad.

    TECHNOLOGICAL ADVANCEMENT:many of the improvements that make firms

    world class involve technology. THE NATURE OF WORK: technology is also

    changing the nature of the work. Even factoryjobs are more technologically demanding.

    WORKFORCE DEMOGRAPHICS: theworkforce is becoming more diverse aswomen, minority groups members and olderworkers enter the workforce.

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    CONTEMPORARY ISSUES WITHSHRM,IHRM ,GREEN HRM

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    SHRM

    Strategic human resource management means formulating and

    executing HR systems ,HR policies and activities that produce theemployee competencies and behaviors the company needs to

    achieve its strategic aims.

    Pattern of HR related decision strategies adopted over a period of

    time and its linkages with the corporate strategies to be able toachieve the distinctive competitive advantage.

    A companys plan for how it will match its internal strength and

    weakness with external opportunities and threats in order to

    maintain a competitive advantage. A pattern of top management decision for fulfilling the goal and

    objectives of the organization and achieve competitive advantage.

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    Process of SHRM

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    Mission

    Goals

    HR Needs

    HR Capabilities

    HR Outcomes

    Firms Outcome

    HR

    Practices

    INTERNAL

    ANALYSIS

    EXTERNAL

    ANALYSIS

    Strategy formulation

    Strategy implementation

    Strategy evaluation

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    I. Strategy formulation stage

    Linkage between strategic planning and

    HRM:

    Strategic

    planning

    HRM

    Strategic

    planning

    Strategicplanning

    Strategicplanning

    HRM

    HRM HRM

    Administrative linkage Two-way linkage

    One-way linkage Integrative linkage

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    I. LINKAGE MODELS

    Matching model

    Control based model

    Resource based model

    Barneys model

    SHRM Model Of Bamberger

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    MATCHING MODEL

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    CONTROLBASED MODEL

    When organizations hire people, they have only a potential or

    capacity to work. To ensure that each worker exercises his or herfull capacity, managers must organize the tasks, space, movement

    and time within which workers operate.

    Workers own counter-management behaviour then causes

    managers to control and discipline the interior of the

    organization.

    This can be explained by the following three methods:

    Individual Control

    Bureaucratic Control

    Technological Control

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    Resource Based Model

    The sum of peoples knowledge and expertise, and social

    relationships, has the potential to create competitive advantage. Resources Tangible

    Non-tangible

    Threshold

    Resources

    Unique

    Resource

    Distinctive

    Competency

    Threshold

    competency

    Same ascompetitor

    Different from

    competitor

    resource

    competency

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    BARNEYS MODEL

    Barney argues that four characteristics of

    resources and capabilities Value

    rarity

    Inimitability

    non-substitutability

    are important in sustaining competitive

    advantage.

    Resources which have value are rare, which

    cannot be initiated or substituted, will be helpful

    in shaping the HR strategies which inturn will

    give the organisation competitive advantage.

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    BAMBERGERS MODEL

    COMMITMENT COLLABORATION

    PATERNALISTIC TRADITIONAL

    Workforce locus

    of control

    outcome

    process

    Acquisition of employees

    internal external

    Acquisition and developmentare concerned with the extent to which theHR strategy develops internalhuman capital as opposed to the external

    recruitment of human capital

    Locus of controlis concerned with the degree to which HR strategy

    focuses on monitoring employees compliance with process-basedstandards.

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    II. Strategy implementation stage

    Internal analysis(3 cs)based on

    Culture

    Competencies

    Composition

    CONSULTING

    WORKFORCE

    CORE

    WORKFORCE

    ANCILLIARY

    WORKFORCE

    COMPULSARY

    WORKFORCE

    high

    VALUElow high

    UNIQUNE

    RESOURCES

    HR architecture

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    III. Strategic evaluation stage

    HR scorecard

    It measures the effectiveness of HR activities.

    Steps involved

    1. Formulating the business strategy

    2. Consulting with the value chain of the organisation

    3. Laying out the strategy map

    4. Identifying the organisational outcomes to be achieved

    5. Strategically fit HR functions

    6. Deciding the metrics for measuring the impact of the

    required behaviour and capabilities7. Strategic comparison with the strategic objectives met.

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    Company practicing SHRM

    FedEx, one of the top

    transportation companies of the world has beenpracticing Strategic Human Resource

    Management over years. It has also gained a

    competitive edge over the other firms.

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    IHRM

    IHRM is the process of procuring, allocating and effectively

    utilizing human resources in an international business or in amultinational organization.

    IHRM is a set of activities aimed at managing organizational

    human resources at international level to achieve organizational

    objectives and achieve competitive advantage over competitors atnational and international level.

    IHRM includes HRM functions such as recruitment, selection,

    training and development, performance appraisal and dismissal

    done at international level and additional activities such as global

    skills management, expatriate management and so on.

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    MODEL OF IHRM

    HUMANRESORCE

    ACTIVITIES Procure Allocate

    Utilize

    TYPES OFCOUNTRIES

    Home Country Host Country

    Other Country

    TYPES OFEMPLOYEE

    Parent Host

    Third

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    Features of IHRM

    IHRM involves employment of the right people at the right

    positions, irrespective of geographic locations. It requires the development of a long-term HR plan to

    make sure of an effective alignment of the HR strategies

    with the corporate objectives.

    It requires the development of a diversified range of skills

    for employees, especially for those who need to workbeyond national boundaries.

    It necessitates the determination of compensation for host-,

    home- and third-country nationals on the basis of country-

    specific factors.

    It requires the creation of centralized reporting

    relationships around the world for faster information

    sharing.

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    oBJeCTIVES of iHRM

    The main objective of international human

    resources management is to enable the firm, the

    multinational enterprise (MNE), to be

    successful globally.

    This entails being

    competitive throughout the world efficient

    locally responsive

    flexible and adaptable within the shortest of

    time periods capable of transferring learning across their

    globally dispersed units.

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    IHRM

    Recruitment and selectionTraining and Development

    Performance evaluation

    Remuneration and benefits

    Labour relations

    A h f M i & St ffi

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    Approaches for Managing & Staffing

    Subsidiaries

    Ethnocentric: strategic decisions made at

    the headquarters with limited subsidiary

    autonomy

    Polycentric: each subsidiary is a distinct

    national entity with some decision making

    autonomy.

    Geocentric: global approach, view that

    each part of the organization makes unique

    contribution

    Regiocentric: staff moves within thedesignated region rather than globally

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    Major Issues of IHRM

    1) Management of expatriates

    Selection of expatriates

    Expatriate training

    Expatriate evaluation

    Expatriate remuneration

    Expatriate failure

    2) Management of repatriates

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    3) Comparison of HRM practices ina variety of different countries

    4) Management of internationalassignments to women

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    PROCTER & GAMBLE

    In P&G, one of the priorities for HR at globallevel is to develop HR capability. This is being

    achieved by creating interdependencies within

    the HR community across the company. A

    sophisticated network of ten communities ofpractice, each focusing on a different area of

    HRM activity (such as remuneration or

    employee relations) has been established.

    These communities are international, and are

    resulting in less difference between countries

    in HRM policies due to the collaborative

    nature of policy development and

    implementation.

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    GREEN HRM Green HR is a strategy used primarily for reducing the carbon

    footprint of each employee and talent retention.

    This term is combined by traditional CSR concept with longer-

    term renewable approach to business practices.

    It involves undertaking environment-friendly HR initiatives

    resulting in greater efficiencies, lower costs and better employee

    engagement and which in turn, help organizations to reduce

    employee carbon footprints by the likes of electronic filing, car-

    sharing, job-sharing, teleconferencing and virtual interviews,

    recycling, telecommuting, online training.

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    Green HRM processes

    Green Recruiting

    Training, Development, and Learning

    Performance Measurement

    Compensation and Rewards

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    Green work-life balance (WLB)

    It can be assumed that the full potential of Green

    HRM in theory and practice has not yet beenrealized. One conceivable deficit which could

    hamper the greening process is that the green HR

    policies focus only on employees working role.

    We need to acknowledge that environmentallyrelevant attitudes and behavior are not learned

    exclusively at the workplace, but also in private life.

    People have distinctive modes of living. They

    practice specific consumption patterns in their

    everyday life, Therefore employees private role as

    consumers is considered crucial for learning and

    practicing environmental attitudes and behavior.

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    Actions companies can take to go green:

    Conducting an energy audit

    Recycle

    Reuse

    Reduce commuting

    Buying green

    Implement green manufacturing processes

    Implement green policies

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    Companies implementing Green HR

    ITC LtdSustainable Initiatives at ITC GreenProducts- Premium Business Paper: Forthe first time in India ITC has launched

    an environment friendly multipurposepaper "Paperkraft Premium BusinessPaper", for office and home use using anew technology 'Ozone Treated

    Elemental Chlorine Free Technology'replacing Elemental Chlorine which wasconventionally used in the bleaching

    process during paper manufacture.

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    ONGC: Implementing Green HR practices

    Project of Landscaping, designing of gardenand greening of area in the campus of

    Jollygrant Airport, Dehradun is started.

    ONGC has many such initiatives towards green

    HRM. Another one is Vadodara Movementwith Indian Express.

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    THANK YOU