ZEIN YURIANTO (29116193)
WINI NIRMALA (29116151)

Human resource management (HRM) refers to the policies, practices, and
systems that influence employees’ behavior, attitudes, and performance. Many
companies refer to HRM as involving “people practices.”

As the figure shows,

HRM practices include analyzing and designing work, determining human
resource needs (HR planning), attracting potential employees (recruiting),
choosing employees (selection), teaching employees how to perform their jobs
and preparing them for the future (training and development), rewarding






management), and creating a positive work environment (employee relations).
1-1 The roles and activities of a company’s human resource management
Different roles can performed by HRM (Human Resource Management)
depending on the size of the company. The common roles are as a strategic
business partner, change agent, practice development, administration,


employee advocate. Shared service model, Self-service and outsourcing are roles
in HRM administration. So many activities that HRM can develop for their
stakehoders (employees, customers, community, share holders). They start form








development, compensation. Benefits, employee services, employee and
community relations, personnel; records, health and safety, until strategic
They were three product lines that HRM have in business activities within
the company. The first is administrative services and transaction, is the traditional
product tha HR has historically provided. They do compensation, hiring and
staffing to focusing in resources efficiency and service quality. Second is business
partner services. They developing effective HR system and helping implement

talent management. The newer HR products (the second and third ones) are the HR functions that are being challenged by top managers to deliver. workers need to . means that skill demands for jobs have changed. Contributing to business strategy based in human capital. more job opening are expected from the need to replace workers. aging employees leaving the workforce. readiness. but remaining competitive in global economy requires demanding work hours and changes in traditional employment patterns. and ethics forcompany sustainability. business capabilities. Not only have skill demands change. the market and business strategy. To be mention from human resources to human capital. 1-2 The implications of the economy. slow population growth. competition. Third is strategic partner. HRM also need to ensure than HR contributes to the company’s competitive advantage many HR departments are organized on the basis shared service model to control cost and improve the business relevance and timeliness of HR practices. with knowledge becoming more valuable. Principal point to designing effective systems to ensure needed competencies. HRM implications of the economy This part has important implication for HRM. the makeup of the labor force. Also increased value placed an intangible assets and human capital. and a lack employees who have the skills needed to perform the high-demand jobs means that companies need to give more attention to HR practices that influence attracting and retaining employees. The creation of new plans. Include growth in professional and service occupations. Some key statistics about the economy and the workforce. professional specialty and service occupations will growing fast. and developing HR practices as strategic differentiatiors. HRM implications of the makeup of the labor force Increasing in total employment. Emphasizing HR’s knowledge of the business.

and shareholders. Evaluate the extent to which the HRM function is helping the company meet its strategic objectives Communicating the scorecard to employees gives them a framework that helps them see the goals and strategies of the company. employees. Link human resource management activities to the company’s business strategy 2. team and company level. which wants the company to contribute to activities and projects and minimize pollution of the compensation for their services). The balanced scorecard should be used to: 1. The balanced scorecard gives managers an indication of the performance of a company based on the degree to which stakeholder needs are satisfied. customer. enabling all employees to continually acquire and share knowledge. shareholders). customers (who want a high quality product or service). and employees (who desire interesting work and reason. and put in place methods to determine if the company is meeting stakeholder’s (employees. responsibility. community. how these goals and .received knowledge who developed by HRM. practices environmental. More companies become knowledge-based. engage in responsible and ethical business practice. Company effectiveness and competitiveness are determined by whether the company satisfies the needs of stakeholders. A learning organization embraces a culture of lifelong learning. social collaboration and social networking technology are also contributing to develop of a learning organization. Stakeholders include stockholders (who want a return on their investment). they promote and capture learning at the employee. provide high-quality products and services. The community. is also an important stakeholder. HRM implications of ethics for company sustainability Sustainability includes the ability to deal with economic and social changes. it depicts the company from the perspective of internal and external customers.

social networking. building manufacturing facilities or service centers in other countries. To cope with these problems. 1-4. managers in charge of overseas operations. e-mail. and retain talented employees. The Internet allows data and information to be instantly accessible and sent around the world. companies are taking actions to better prepare their managers and their families for overseas assignments and to ensure that training and development opportunities are available for global employees. Measures of HRM practices primarily relate to productivity.Entering International Markets Many companies are entering international markets by exporting their products overseas. . Global busi. . and video conferencing enable business deals to be completed between companies thousands of miles apart. but the demand for talented employees exceeds supply.Offshoring Offshoring refers to the exporting of jobs from developed countries. eastern Europe. motivate.S. Companies are moving into China. Also. Cross-cultural training prepares employees and their families to understand the culture and norms of the country they are being relocated to and to return to their home country after the assignment.ness expansion has been made easier by technology. What company should do to compete in the global marketplace Every business must be prepared to deal with the global economy. and engaging in ecommerce. companies often place successful U. but these managers lack the cultural understanding necessary to attract. the Middle East. Global companies are struggling both to find and retain talented employees. and how they influence the critical indicators. Southeast Asia. India. The Internet. and process. entering into alliances with foreign companies. especially in emerging markets. people. such . and Latin America.strategies are measured. the United States. Offshoring now includes high-skilled manufacturing jobs and is also prevalent in the service and information technology sectors. Canada. such as social networking. Ireland. They fear that social networking will result in employees wasting time or offending or harassing their co-workers. Brazil. for example. and the Philippines are some of the destina. Facebook. and design 1-5 How new technology. to countries where labor and other costs are lower. software engineers. many companies are uncertain as to whether they should embrace social networking. offshoring involved lowskilled manufacturing jobs with repeatable tasks and specific guidelines for how the work was to be completed. Mexico.tion countries for offshored jobs. architecture. They trust employees to use social networking productively and are proactive in developing policies about personal use and training employees about privacy settings and social network etiquette. China. social networking facilitates communications. or LinkedIn accounts but ignore it unless productivity is decreasing. and collaboration. decentralized decision mak. social networking has become the electronic substitute for daydreaming at one’s desk or walking to the break room to socialize with co-workers . In general. Initially. is influencing human resource management. India. Social networking can be useful for connecting to customers and valuable for busy employees to share knowledge and ideas with their peers and managers with whom they may not have much time to interact face-to-face on a daily basis. Despite its potential advantages. telephone call center. accounting bookkeeping and payroll. legal research. Other companies believe that the benefits of using social networking for HR practices and allowing employees to access social networks at work outweigh the risks. They realize that employees will likely check their Twitter. In some ways. Russia.

High-performance work systems maximize the fit between the company’s social system (employees) and its technical system For example. Cross-training refers to training employees in a wide range of skills so they can fill any of the roles needed to be performed on the team. the information needed to improve customer service and product quality becomes more accessible to employees.  Changes in Skill Requirements.  Working in Partnerships. laborer. High-performance work systems have implications for employee selection and training. material handler. computer-integrated manufacturing uses robots and computers to automate the manufacturing process. As a result. technology has allowed companies to form partnerships with one or more other companies. and understand the relationships between all components of the manufacturing process. The computer allows the production of different products simply by reprogramming the computer.1-6 Human resource management practices that support high-performance work systems New technology causes changes in skill requirements and work roles and often results in redesigning work structures.  Working in Teams. culture. Computer-integrated manufacturing requires employees to monitor equipment and troubleshoot problems with sophisticated equipment. and/or organizational boundaries and that rely almost exclusively on technology (e-mail. Employees need jobspecific knowledge and basic skills to work with the equipment created with the new technology. operator/assembler. Besides changing the way that products are built or ser. Through technology. Internet. video conferencing) to interact and complete their projects . share information with other employees. and maintenance jobs may be merged into one position. geographic distance.vices are provided within companies.  Virtual teams refer to teams that are separated by time.

and compensation. Electronic human resource management (e-HRM) refers to the processing and transmission of digitized information used in HRM. The HRM practices involved include employee selection. technology knowledge. including text. community). business knowledge. Employees are free to move wherever they are needed in the company. These practices are designed to give employees skills. we need to have an individuals who have credibility. The adaptive organization is characterized by a core set of values or a vital vision that drives all organizational efforts  Increased Use and Availability of e-HRM and HRM Dashboards. Evident is the backbone of human resource management practices. employees. business partner services. based on data showing showing the relationship between the practice and business outcomes related to key company stakeholders (customers. share. understanding of business strategy. and strategic services. performance management. there are three product lines of HR: administrative services. work design. employees are in a constant state of learning and performance improvement. Changes in Company Structure and Reporting Relationships. and visual images from one computer or electronic device to another  Competitiveness in High-Performance Work Systems. and autonomy.holders. Human resource management practices that support high-performance work system. 1-7 A brief description of human resource management practices In this chapter we learn about the roles and activities of a company human resource management function and it's effect to a company's business strategy and competitive advantage. In addition to . and the ability to deliver HR services. incentives. training. sound. knowledge. In the adaptive organizational structure. if we want to have a success at management human resource.

contributing to a company’s business strategy. return to shareholders. compensation of human resources (pay structures. high-quality products and services. Global challenges include entering international markets. and offshoring. All of the topical areas are important for companies to deal with the competitive challenges and contribute to business strategy. the characteristics and expectations of the labor force. immigration. and special topics (collective bargaining and labor relations. benefits). managing human resources globally. and strategically managing the HR function). and technology challenges. legal. and social responsibility). and meeting stakeholder needs (ethical practices. selection. how and where work is done. acquisition and preparation of human resources (HR planning and recruitment. development. the value placed on intangible assets and human capital. The sustainability challenges are related to the economy. training). . analysis and design of work). globalization. high-performance work systems. Technology challenges include using new technologies to support flexible and virtual work arrangements. The book includes four topical areas: the human resource environment (strategic HRM. and implementing social networking and human resource information systems The chapter concludes by showing how the book is organized. recognizing employee contributions with pay. training). assessment and development of human resources (performance management. human resource practices are important for helping companies deal with sustainability.