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C H A P T E R
1
Managing Human Resources
Human Resources and Company Performance
Responsibilities of Human Resource Departments
Skills of HRM Professionals
HR Responsibilities of Supervisors
Ethics in Human Resource Management
Careers in Human Resource Management

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Ch. 1 Learning Objectives
1. Define human resource management and explain
how HRM contributes to an organization’s
performance.
2. Identify the responsibilities of human resource
departments.
3. Summarize the types of skills needed for human
resource management.

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Ch. 1 Learning Objectives
4. Explain the role of supervisors in human resource
management.
5. Discuss ethical issues in human resource
management.
6. Describe typical careers in human resource
management.

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What is Human Resources?
How have you interacted with HR in your
current or previous jobs?

What value does HR bring to an


organization?

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Nature of Human Resource
Management
Human Resource Management
 The policies practices, and systems that
influence employees’ behavior, attitudes, and
performance.

What are examples of HR systems?

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HRM Practices
 Important HRM practices include:

Figure 1.1
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HR and Company Performance
 Human Capital
 An organization’s employees, described in terms of
their training, experience, judgment, intelligence,
relationships, and insight
 Human capital is used to create a sustainable
competitive advantage because they are
 Valuable
 Rare
 Cannot be imitated
 No good substitutes

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Impact of Human Resource
Management

Figure 1.2
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Responsibilities of HR Departments

Table 1.1
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Responsibilities of HR Departments
 One employee dedicated to handle HR
related matters is usually necessary in
a company of ____ employees.
a. 10
b. 25
c. 75
d. 200

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HR Functions
Analyzing and Designing Jobs
 Job analysis – what does the job entail and
require?
 Job design – how should work be organized and
divided?
Recruiting and hiring employees
 Recruitment – how can we find the best
applicants?
 Selection – how do we assess the abilities and
motivation of applicants? 1-12
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HR Functions
 Which of the following qualities were
in the top 5 as reported by employers?
a. Technical skills
b. Intelligence
c. Interpersonal skills
d. Computer skills

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HR Functions
Training and Developing Employees
 Training – how do we ensure employees are
able to perform their current jobs most
effectively?
 Development – how do we prepare our
employees for career advancement and to take
on new challenges

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HR Functions

Figure 1.3
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HR Functions
Managing Performance
 Performance management – how do we
measure and promote excellence in our
employee’s job performance?
 How & What
Planning and Administering Pay and Benefits
 Pay – how do we ensure our compensation is
fair both internally and externally?
 Benefits – how do we maximize employee
satisfaction while keeping costs manageable?1-16
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HR Functions
 Maintaining Positive Employee Relations
 How can we support our employees to help them be as
productive and satisfied as possible?
 Establishing and Administering Personnel Policies
 How do we handle different employee situations?
(theft, drug-use, dress code)
 Ensuring Compliance with Labor Laws
 How do we know and ensure that our HR practices are
aligned with federal, state, and local laws and
guidelines?

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HR Functions
Supporting the Organization’s Strategy
 How do we add value by directly contributing
to the strategic objectives of the organization?
Human Resource Planning
 Identifying the numbers and types of
employees the organization will require in
order to meet its objectives.

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Skills of HRM Professionals

Figure 1.4
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Who is responsible for HR?
 In an organization, who should be
concerned with human resource
management?
a. Only HR departments
b. Only Managers
c. Managers and HR departments

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HR Responsibilities of Supervisors

Figure 1.5
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Ethics in Human Resource
Management
Ethics
 The
fundamental principles of right and
wrong
What rights do employees have?

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Standards for Identifying Ethical Practices

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Ethical Standards Poll

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HR Management as a Career Field
 HR Generalist
 A person with responsibility for performing a variety of
HR activities.
 HR Specialist
 A person with in-depth knowledge and expertise in a
limited area of HR.
 Professional Organization
 Society for Human Resource Management (SHRM)
 http://shrm.org
 Has student memberships available

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HR Management Qualifications

Knowledge of HR domain and ability to execute it


 Professional of Human Resources Certification is
obtained by many HR professionals (HRCI.org)
Business knowledge of organization and its strategies
College degree and many have completed post-
graduate work (Masters, PhD)

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Test your knowledge

 Which HR functions are primarily concerned with 1)


ensuring employees are capable of doing their
current job , 2) ensuring that employees are satisfied
with their rewards.
a. 1) Development; 2) employee relations
b. 1) Training; 2) legal compliance
c. 1) Selection; 2) pay & benefits
d. 1) Training; 2) pay & benefits

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Video – Abbott Laboratories
1. How do you believe Abbott’s employee training
contributes to its high ethical standards?
2. In your opinion, how does a company facing such
diversity in its working environments and
employees, benefit from providing extensive
training to the myriad of workers?
3. Discuss how ethical business behavior creates a
competitive advantage to organizations like Abbott.

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