Professional Documents
Culture Documents
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ELEVENTH EDITION
Chapter 1
Controlling
Organizing
Leading
Staffing
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the people or human resource aspects of a management position, including recruiting, screening, training, rewarding, and appraising.
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Training
Appraisal
Labor Relations
Compensating
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Personnel Mistakes
Hire the wrong person for the job Experience high turnover Have your people not doing their best Waste time with useless interviews Have your company in court because of discriminatory actions Have your company cited by OSHA for unsafe practices Have some employees think their salaries are unfair and inequitable relative to others in the organization Allow a lack of training to undermine your departments effectiveness Commit any unfair labor practices
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Basic HR Concepts
The bottom line of managing: Getting results HR creates value by engaging in activities that produce the employee behaviors that the company needs to achieve its strategic goals.
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Staff manager
A manager who assists and advises line managers.
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Coordinative Function
Functional Authority
Functions of HR Managers
Staff Functions
Staff Authority Innovator Employee Advocacy
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Training Specialists
Job Analysts
Compensation Managers
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Source: www.hr.wayne.edu/orgcharts.php. Accessed May 6, 2007. 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved.
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FIGURE 12
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FIGURE 13
Note: Length of bars represents prevalence of activity among all surveyed employers.
Source: HR MAGAZINE, BNA/Society for Human Resource Management, 2002. Reproduced with permission via Copyright Clearance Center. 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 115
Technological Trends
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FIGURE 14
Source: Michael Schroeder, States Fight Exodus of Jobs, Wall Street Journal, June 3, 2003, p. 84. Reproduced with permission of Dow Jones & Co. Inc. via Copyright Clearance Center. 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 117
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TABLE 11
Application Service Providers (ASPs) and technology outsourcing Web portals PCs and high-speed access Streaming desktop video The mobile Web and wireless net access E-procurement Internet- and network-monitoring software Bluetooth Electronic signatures Electronic bill presentment and payment Data warehouses and computerized analytical programs
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Five Sample HR Metrics How to Calculate It # of days absent in month Average # of employees during month # of workdays 100
Advertising + agency fees + employee referrals + travel cost of applicants and staff + relocation costs + recruiter pay and benefits Number of hires
HR expense factor
HR expense Total operating expense Total days elapsed to fill job requisitions Number hired
Time to fill
Turnover rate
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Sources: Robert Grossman, Measuring Up, HR Magazine, January 2000, pp. 2935; Peter V. Le Blanc, Paul Mulvey, and Jude T. Rich, Improving the Return on Human Capital: New Metrics, Compensation and Benefits Review, January/February 2000, pp. 1320; Thomas E. Murphy and Sourushe Zandvakili, Data and Metrics-Driven Approach to Human Resource Practices: Using Customers, Employees, and Financial Metrics, Human Resource Management 39, no. 1 (Spring 2000), pp. 93105; [HR Planning, Commerce Clearing House Incorporated, July 17, 1996;] SHRM/BNA 2000 Cost Per Hire and Staffing Metrics Survey; www.shrm.org. See also, SHRM Research 2006 Strategic HR Management Survey Report, Society for Human Resource Management..
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FIGURE 16
Source: Steven H. Bates, Business Partners, HR Magazine, September 2003, p. 49. Reproduced with permission of the Society for Human Resource Management via Copyright Clearance Center. 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 125
Managing Ethics
Ethical lapses Sarbanes-Oxley in 2003 Sarbanes Securities and Exchange Board of India (SEBI) Ministry of Corporate Affairs (MCA)
2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 126
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FIGURE 18
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KEY TERMS
management process human resource management (HRM) authority line manager staff manager line authority staff authority implied authority functional control employee advocacy globalization human capital strategy strategic plan metrics HR Scorecard outsourcing ethics strategic human resource management highhigh-performance work system
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Chapter 1 Appendix
HRM in India
In the 1970s and 1980s typical HRM functions in organization included: Personnel and administration Industrial relations Labor welfare
Up to the mid-80s human resource management in Indian organizations grew through various phases under the influence of the following factors:
A philanthropic viewpoint about doing good for workers A legislative framework Government policies Trade unions Emerging trends/concepts in management Changes in the economy
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Creating a high-performance culture Retaining talent Recruiting Moving from a patriarchic and hierarchical management style to a more team-based, informal organizational culture Linking training with performance Compensating knowledge workers Building interpersonal relationships/managing conflict Going global
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Source: Aneeta Madhok, Similar Challenges cited by Robert J. Grossman in HRs Rising Star in India, available at http://www.shrm.org/india. 2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved.
the developmental concept in Indian organizations Udai Pareek and T. V. Rao, faculty of IIM Ahmedabad, introduced the human resource development (HRD) concept in India
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demand for talent and the traditional organizations (both in public and private sectors) became talent sources. Development of the Information Technology sector mobilized a vast pool of technically trained people. Massive staffing requirements saw recruitment evolving as very specialized function, separate from but closely interlinked with the other HRM functions. Arrival of the knowledge workerwell-skilled, individualistic, and ambitious about career caused attrition to become common.
2009 Dorling Kindersley (I) Pvt. Ltd. All rights reserved. 134
ERP-based human resource information systems Introduction of innovative HR practices. Rise of IT-enabled services (ITES), gave employment opportunities to the young English speaking, educated population. HRM function assumed a strategic role in Indian organizations, responding to business requirements in an appropriate way.
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