Human Resource Management in Organizations

MN 301 – Human Resource Management

Craig W. Fontaine, Ph.D.Pine Manor College

Fall 2014

Types of Organizational Assets

Human Resource (HR) Management

The design and execution of formal organizational systems (HR) such that human talent can accomplish organizational

goals

Human Capital

Collective value of the capabilities, knowledge, skills, life experiences, and motivation of an organizational workforce

Called intellectual capital to reflect following contributions of employees Thinking

Knowledge

Creativity

Decision making

HRM Professionals with (and thru) the Organization’s Line Managers

Smaller Organizations and HR Management

Core Competency

Unique capability that creates high value in which an organization excels

Differentiates an organization from its competitors

Is a key determinant of competitive advantage

HR department focus on using people as a core competency

Where/How Employees Can be a Core Competency

Organizational Productivity

HR Approaches to Improving Productivity

HRM Practices also Impacts….

Organizational effectiveness Quality Customer Service

Organizational Culture

Shared values and beliefs in an organization

Evolves over a period of time Provides employees with rules for behavior Is constant and enduring Determines organizational climate Affects service and quality, organizational

productivity, and financial results

HR Management Functions Influenced by following forces of external

environment Global

Environmental

Geographic

Political, social, and legal

Economic, and technological

HR Management Functions HR strategy and planning Equal employment opportunity Staffing Talent management Rewards Employee relations

Mix of Roles for HR Departments

Roles of HR Management

Administrative • Clerical administration, recordkeeping, legal paperwork and

policy implementation • Major shifts - Use of technology and outsourcing

Operational and Employee Advocate

• Work with managers and supervisors• Identify and implement needed programs and policies in the

organization

Strategic • Address business realities• Focus on future business needs• Fit between human capital and business plans and needs

Current HR Management Challenges

Competition, Cost Pressures, and Restructuring

• Reduction in the number of existing employees. • Attract and retain employees with different

capabilities

Job Shifts

• Inadequate supply of workers with the skills needed to perform the emerging new jobs

Skill Shortages

GlobalizationIntegration of global operations, management, and strategic alliances

Expatriate: Citizen of one country working in a second country and employed by an organization headquartered in the first countryHost-country national: Citizen of one country working in that country and employed by an organization headquartered in a second countryThird-country national: Citizen of one country working in a second country and employed by an organization headquartered in a third country

Types of global workers

Globalization - Legal and Political Factors

Many nations function under turbulent and varied legal and political systems

Role of HR professionals Conducting comprehensive reviews of the

political environment, national culture, and employment laws before beginning operations in a country

Challenges For Global Human Resource

Strategy

People

Complexity

Risk

Changing Workforce

Racial/Ethnic Diversity

Gender in the Workforce

Aging Workforce

Growth in Contingent Workforce

Advantages of Technology

Improves the efficiency of the administrative HR functions and reduces costs

Helps in strategic HR planning Supports recruitment, selection and training Contributes to organizational performance

through collection and analysis of HR-related data

HR and Organizational Ethics

Ethical Behavior and Organizational Culture

Ethics and Global Differences Differences in legal, political, and cultural

values and practices in different countries Global employers must comply with both

their home-country laws and the laws of other countries

HR’s Role in Organizational Ethics

Examples of HR-Related Ethical Misconduct

Sarbanes-Oxley (SOX)Act

Reduces likelihood of illegal and unethical behaviors

HR issues - Major concerns are linked to executive compensation and benefits

Requires companies to: Establish ethics codes

Develop employee complaint systems

Have anti-retaliation policies for employees who act as whistle blowers to identify wrongful actions

HR Management Competencies

HR Management as a Career Field

Human Resource Certification HR professionals need knowledge in

following areas Employment regulations

Finance

Tax law

Statistics

Information systems

HR Certifications at a Glance