ch01

Human resource management in Australia
Chapter 1
Copyright 2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar
Introduction to human resource management (HRM)

Objectives
Discuss the roles and activities of a companys human resource function. Discuss the competitive challenges influencing Australian companies. Discuss how human resource practices affect a companys balanced scorecard. Discuss what companies should do to be competitive in the global marketplace.
1-2
Introduction to human resource management (HRM)

Objectives (continued)
Identify the characteristics of the workforce and how they influence human resource management practices. Discuss human resource practices that support high-performance work systems. Provide a brief description of human resource management practices.
1-3
Human resource management (HRM)

Refers to the policies, practices and systems that influence employees behaviour, attitudes and performance. Many companies refer to HRM as people practices.
1-4
Figure 1.1 HRM practices

Strategic human resource management
Performance Management
Learning and development
Measuring and Evaluating
HR Information Systems
Job Analysis & Design
Selection & Placement
Managing Diversity
Industrial relations
Compensation
HR Planning
Recruitment
Company Performance
1-5
The development of theoretical bases for HRM

Theoretical perspectives of HRM include:
Behavioural view Resource-based view Politically-influenced view.
1-6
Figure 1.2 The Harvard Analytical Framework for HRM

Stakeholder Interests
Shareholders Management Employee groups Government Community Unions
HRM Policy Choices

Employee influence Human resource flow Reward systems Work systems
HR Outcomes
Commitment Competence Congruence Cost effectiveness
Long-term Consequences
Individual well-being Organisational effectiveness Societal well-being
Situational Factors
Workforce characteristics Business strategy and conditions Management philosophy Labour market Unions Task technology Laws and societal values
Source: M. Beer, B. Spector, P.R. Lawrence, D.Q. Mills & R.E. Walton, Managing human assets, Free Press, New York, 1984, p. 16. Copyright 2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar
1-7
Features of the dominant approach to HRM

Focus on enterprise or firm. HRM is an investment in human capital. Reciprocal fit between organisational strategy and HR strategy. All managers are responsible for HRM.
1-8
Table 1.1 Most significant changes in HR (1990-95)

n*
Integration & strategic focus of HR policies Employee relations Contribution of HR to company performance Worker participation and team work Quality issues Training Flexible work patterns Devolution of function Legislative changes Economic rationalism 120 118 77 62 53 41 41 40 34 33
%
37.3 36.7 24.0 19.3 16.5 12.7 12.7 12.4 10.6 10.3
(*n=322; open-ended data; respondents may have answered more than one suggestion) Source: C. Fisher & P.J. Dowling, Support for an HR approach in Australia: the perspective of senior HR managers, Asia Pacific Journal of Human Resources, 37 (1), 1999, p. 9.
1-9
Table 1.2 Issues with greatest impact on HR

(1995-2000)
n*
HR role in change & strategic planning Employee relations Contribution of HR to company performance Flexible work patterns Legislative changes Quality issues Internationalisation Training Worker participation and team work Technology Performance management Outsourcing
(*n=322; open-ended data; respondents may have answered more than one suggestion)
%
28.0 20.0 19.3 12.1 9.3 8.7 8.4 7.8 7.5 6.5 5.9 4.7
90 64 62 39 30 28 27 25 24 21 19 15
Source: C. Fisher & P.J. Dowling, Support for an HR approach in Australia: the perspective of senior HR managers, Asia Pacific Journal of Human Resources, 37 (1) 1999, p. 9. Copyright 2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar
1-10
1-11
Roles performed by HR professionals (Ulrich, 1997)

Administrative expert Employee champion Change agent Strategic business partner
1-12
Figure 1.3 HR roles and competencies

Evaluation Benefits Audit Data management Compensation Strategic management Organisational development Change management
Analytical, fact-based decision making
Leadership Conceptual ideas Visioning
Industrial relations Legal
Compliance Regulation Administration Control
Interpersonal team work Diversity Counselling Employee development
Source: The Conference Board, Inc., The Changing Human Resource Function, The Conference Board, New York, 1990, p. 11.
1-13
Figure 1.4 Competitive challenges influencing Australian challenges

Competing through high-performance work systems Change employees and managers work roles Integrate technology and social systems Competing by meeting stakeholders needs Provide a return for shareholders Develop employees and create a positive work environment Competing through globalisation Expand into foreign markets Prepare employees for work in foreign locations
Australian Business Competitiveness
1-14
The global challenge for HRM

Development of global markets Global competitiveness through HRM practices Preparing employees for international assignments
1-15
The challenge of meeting stakeholders needs: Table 1.7 The balanced scorecard
Perspective
Customer
Questions answered
How do customers see us?
Examples of critical indicators

Time, quality, performance, service, cost Processes that influence customer satisfaction, availability of information on service and/or manufacturing processes Improve operating efficiency, launch new products, continuously improve, empower workforce Profitability, growth, shareholder value
Internal
What must we excel at?
Innovation and learning
Can we continue to improve and create value?
Financial
How do we look to shareholders?
1-16
The challenge of meeting stakeholders needs: Figure 1.5 The Australian Business Excellence Model
Source: Australian Quality Council Ltd., Success stories, www.aqc.org.au Copyright 2003 McGraw-Hill Australia Pty Ltd. PPTs t/a Human Resource Management in Australia: Strategy-People-Performance by De Cieri & Kramar
1-17
The challenge of meeting stakeholders needs: characteristics of the Australian workforce
Gender Ethnic diversity Structure of the economy Skill deficiencies Changes in the employment contract Changes in the place of work Employee values Legislation Ethical considerations
1-18
The challenge of high-performance work systems (HPWS)

Change in employees work roles and skill requirements Increase in the use of teams to perform work Changes in the nature of managerial work Changes in company structure Increased availability of HR information bases Competitiveness in HPWS
1-19
Figure 1.6 Relationship between HR philosophy and practices

Human resource management system philosophy
Guiding Principles Employee performance is valued
Practice alternatives
Mix of practices that are consistent with philosophy and are aligned with each other Mix of performance appraisals, incentive pay, promotions
Practice processes
Team-based incentive pay State-of-the-art, 360 performance appraisal
Source: Based on B. Becker & B. Gerhart, The impact of human resource management on organizational performance: progress and prospects, Academy of Management Journal 39, 1996, p. 786. Used with permission.
1-20
Figure 1.7 Examples of how HR practices can help companies meet the competitive challenges
Global Challenge Stakeholder Challenge High-Performance Work System Challenge
HR Practices
HR strategy is matched to business strategy Continuous learning environment is created
Work is performed by teams

Pay systems reward skills and accomplishments Selection system is job-related and legal Work attitudes of employees are monitored
Discipline system is progressive

Customer satisfaction and quality are evaluated in the performance management system
Skills and values of a diverse work force are valued and used
1-21
Figure 1.8 Major dimensions of HRM practices contributing to company competitiveness
Competitiveness
Dimensions of HRM Practices

Managing the human resources environment Building human resource systems Developing human resources Rewarding human resources
1-22
Overview of HRM topics

Part 1: Managing the Human Resources Environment Part 2: Building HRM Systems
Part 3: Developing people

Part 4: Rewarding people Part 5: Directions for HRM
1-23
Overview of HRM topics

Part 1:
HRM in Australia Strategic HRM Legal context for HRM Analysis and design of work HR planning and HR information systems Recruitment, selection and placement Industrial relations Managing diversity and worklife balance Performance management Employee learning Employee development and career management Managing compensation Performance-related pay Managing a global workforce Managing employee retention and turnover Evaluating and improving the HR function
1-24
Part 2:
Part 3:
Part 4: Part 5:

ch01

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

ch01

Uploaded by

Copyright:

Available Formats

Human resource management in Australia

Introduction to human resource management (HRM)

Introduction to human resource management (HRM)

Human resource management (HRM)

Figure 1.1 HRM practices

Learning and development

Measuring and Evaluating

Job Analysis & Design

Selection & Placement

The development of theoretical bases for HRM

Figure 1.2 The Harvard Analytical Framework for HRM

HRM Policy Choices

Features of the dominant approach to HRM

Table 1.1 Most significant changes in HR (1990-95)

Table 1.2 Issues with greatest impact on HR

Roles performed by HR professionals (Ulrich, 1997)

Figure 1.3 HR roles and competencies

Analytical, fact-based decision making

Leadership Conceptual ideas Visioning

Industrial relations Legal

Compliance Regulation Administration Control

Interpersonal team work Diversity Counselling Employee development

Figure 1.4 Competitive challenges influencing Australian challenges

Australian Business Competitiveness

The global challenge for HRM

Examples of critical indicators

What must we excel at?

Innovation and learning

Can we continue to improve and create value?

How do we look to shareholders?

The challenge of meeting stakeholders needs: characteristics of the Australian workforce

The challenge of high-performance work systems (HPWS)

Figure 1.6 Relationship between HR philosophy and practices

Work is performed by teams

Discipline system is progressive

Figure 1.8 Major dimensions of HRM practices contributing to company competitiveness

Dimensions of HRM Practices

Overview of HRM topics

Part 3: Developing people

Overview of HRM topics

You might also like