Managing Human Resources: 9/12/2021 HRM Chapter 1 - Truong Nu To Giang 1

Chapter 1
Managing Human
Resources
9/12/2021 HRM Chapter 1 - Truong Nu To Giang 1

Chapter Outline
1.1 Introduction
1.2 Responsibilities and Roles of HR department
1.3 Strategic role of the HRM Function
1.4 Competitive challenges influencing HRM

1.1 Introduction
189,000
One of Fortune employees One of Fortune’s “100
magazine’s “100 best best workplace for
companies to work Millennials”
for”
1,100 store
10 facilities
locations
8
distributio
n centres

1.1 Introduction
Publix employees are extremely loyal

• Average store manager working period: over 25
years
• Over 24,000 associates work for more than 30 years
• Voluntary turnover rate: 5%
• Never laid off an employee

1.1 Introduction
HRM play an important role here:

• Easily assess to online training courses
• Tuition reimbursement program
• Promotion within
• Relocation
• Company share and stock
• Frequent feedback and communication
• Holiday and incentive bonus
• Give back to community

1.1 Introduction
Human Resource Management

• HRM plays a role in a company’s survival,
effectiveness, and competitiveness.
• Competitiveness refers to a company’s ability to
maintain and gain market share in its industry.
• HRM refers to the policies, practices, and systems
that influence employees’ behavior, attitudes, and
performance.
• HRM as involving “people practices.”

1.1 Introduction
Human Resource Management Practices

1.2 Responsibilities and Roles of HR
department
HRM is a means to contribute to
• profitability
• quality
• other business goals

department
Function Responsibility
Analysis and design of Work analysis; job design; job descriptions
work
Recruitment and Recruiting; job postings; interviewing; testing;
selection coordinating use of temporary labour
Training and Orientation; skills training; career development
development programs
Performance Performance measures; preparation and
management administration of performance appraisals; discipline
Compensation and Wage and salary administration; incentive pay;
benefits insurance; vacation leave administration;
retirement plans; profit sharing; stock plans

department
Function Responsibility
Employee Attitude surveys; labour relations; employee
relations/Labor handbooks; company publications; labour law
relations compliance; relocation and outplacement services
Personnel policies Policy creation; policy communication
Employee data and Record keeping; HR information systems; workforce
information systems analytics
Legal compliance Policies to ensure lawful behaviour; reporting;
posting information; safety inspections;
accessibility accommodations
Support for business Human resource planning and forecasting; talent
strategy management; change management

Department
High-Impact HR functions
• more integrated with the business
• more skilled at attracting and retaining employees
• can adapt quickly to business needs and demands
• identify and promote talent from within
• identify what motivates employees
• continuously building talent and skills

Department
HR as a business with three product lines
Administrative
Business Partner
Services and Strategic Partner
Services
Transactions
• Compensation, hiring, • Developing effective HR • Contributing to the

staffing systems and helping business strategy based
• Emphasis: Resource implement business on considerations of
efficiency and service plans, talent human capital, business
quality management. capabilities, readiness,
• Emphasis: Knowing and developing HR
the business and practices as strategic
exercising influence – differentiators
problem solving, • Emphasis: Knowledge
designing effective of HR and of the
systems to ensure business, competition,
needed competencies the market, and
business strategies

1.3 Strategic Role of the HRM
Function
Traditional view Modern View
• HRM is a necessary • HR is the valuable asset
expense that should be and resources.
minimized. • Company can increase
• Economic value is their competitiveness by
usually associated with investing in state-of-the-
capital-cash, equipment, art staffing, training, and
technology, and compensation practices.
facilities.

Function
HRM Role
Time spent on administrative tasks is decreasing,
roles as a strategic business partner, change agent
and employee advocate are increasing.
Two important challenges:
▪ Shifting their focus from current operations to strategies
for the future
▪ Preparing non-HR managers to develop and implement HR
practices

Function
HRM Role
Shared service model includes:
• centers of expertise or excellence (expert in staffing and
training)
• central place for administrative and transactional tasks
• business partners (HR staff working with business unit

managers on strategic issues).

Function
Technology
Reducing HRM role in administrative tasks,
maintaining records, and providing self-service to
employees
• Shift to self-service gives employees access to many HR
issues
• HR managers have more time to work on employee
issues

Function
Outsourcing
Most commonly outsourced activities
• Benefits administration (e.g., flexible spending accounts, health
plan eligibility status)
• Relocation
• Payroll
Most common reason for outsourcing
• Cost savings
• Increased ability to recruit and manage talent
• Improved HR service quality
• Protection of the company from potential lawsuits by
standardizing processes such as selection and recruitment

Function
Strategic Role
• Lead efforts focused on talent management and
performance management
• Take the lead in helping companies attract,
develop, and retain talent in order to create global
workforces
• Use and analyze data to make a business case for
ideas and problem solutions

Function
Demonstrating the Strategic Value of HRM: HR
Analytics and Evidenced-Based HR
• HR can engage in evidence-based HR.
• Evidence-based HR refers to the demonstration that HR
practices have a positive influence on the company’s
bottom line or key stakeholders (employees, customers,
community, shareholders)
• Requires the use of HR or Workforce Analytics

Function
• Big data
• Information merged from HR databases, corporate financial
statements, employee surveys, and other data sources
• Result in evidence-based HR decisions
• Show that HR practices influence the organization’s bottom
line, including profits and costs

Function
• Google created equations to identify potential successful
candidates and review rejected applications.
• Mattress Firms create a benchmarking of strong
performing employees and compare to applicants and hire
new employees.
• Credit Suisse used workforce data to identify who is likely
to leave and suggest solution to prevent.

Function
The HRM Profession: Positions and Jobs
• Primary activities involve performing the HR
generalist role
• Fewer HR professionals are involved in the HR
function at the executive level of the company,
training and development, HR consulting, and
administrative activities

Median salaries for HRM position Function
POSITION SALARY
Top HR executive $240,206
Global HR manager 121,095
Management development manager 117,114
Health and safety manager 101,872
Employee benefits manager 95,244
HR manager 95,267
Mid-level labor relations specialist 83,974
Campus recruiter 64,725
Entry-level HRIS specialist 54,233
HR generalist 51,180
Entry-level compensation analyst 56,267

Function
Median salaries for HRM position in Vietnam
Position Monthly salary Experience
Chief Human Resources Officer 30-100 mil 10-25 years

Regional HR Manager 25-80 mil 15-20 years
Employee salaries benefits manager 20-40 mil 8-12 years
HR manager 15-45 mil 3-8 years
HR vice manager 12-30 mil 3-6 years
Mid-level labor relations specialist 10-20 mil 2-5years
HR specialist 5-12 mil 2-5 years
Entry-level HR specialist 5-10 mil 1-3 years

Function
Education and Experience
Four-year college or graduate HR degree
Senior HR role
• Developing and supporting the company culture,
• Employee recruitment, retention and engagement
• Succession planning
• Designing the company’s overall HR strategy

Function
Education and Experience
• Junior HR role
• Handle transactions related to paperwork, benefits and payroll
administration
• Answering employee questions
• Data management
• Professional certification

Function
The Society for
Human Resource
Management
(SHRM) has
defined HR
success
competencies

Function
1. HR Technical Expertise
• Apply the principles of HRM to contribute to the success of
the business
2. Relationship Management
• Manage interactions with and between others with the
specific goal of providing service and organizational success
3. Consultation
• Provide guidance to stakeholders such as employees and
leaders seeking expert advice on a variety of circumstances
and situations

Function
4. Leadership and Navigation
• Direct initiatives and processes within the organization
5. Communications
• Effectively exchange and create a free flow of information
with others inside and outside the organization to produce
meaningful outcomes
6. Global and Cultural Effectiveness
• Valuing and considering various people's perspectives.

Function
7. Ethical Practice
• Integrate core values, integrity, and accountability
throughout all organizational and business practices
8. Critical evaluation
• The interpretation of information needed for making
business decisions
9. Business acumen
• Understanding how information can be used to support the
organization's strategy.

1.4 Competitive Challenges
Influencing HRM

Influencing HRM
Competing Through Sustainability
Sustainability relates to social responsibility
Also refers to the company’s ability to meet its
needs without sacrificing the ability of future
generations to meet their needs
• Company must meet the needs of stakeholders

Influencing HRM
Sustainability includes the ability to
• Deal with economic and social changes
• Practice environmental responsibility
• Engage in responsible and ethical business practices
• Provide high-quality products and services
• Put in place methods to determine if the company is
meeting stakeholders’ needs

Influencing HRM
Deal with the Workforce and Employment
Implications of the Economy
• New job creation
• Aging workforce
• Skill demands for jobs have changed to focus on
knowledge
• Remaining competitive in a global economy requires
demanding work hours and changes in traditional
employment patterns

Influencing HRM
HR practices that enhance labor productivity
• Improving the design of work and the use of
technology
• Up-skilling employees through training
• Managing performance and compensation to
incentivize and motivate workers to work smarter
and harder
• Raising pay and focus on learning

Influencing HRM
Labor Force and Employment Characteristics
Population is the most important factor in
determining the size and composition of labor force
• Growth is slowing
• Labor force is aging
• Diversity is increasing
• Service sector is growing
• Education is important to meet job requirements
• Shortage of qualified candidates

Influencing HRM
Intangible Assets and Human Capital
Three types of assets
• Financial assets (cash and securities)
• Physical assets (property, plant, equipment)
• Intangible assets

Influencing HRM
Human capital Customer capital
• Tacit knowledge • Customer relationships
• Education • Brands
• Work-related know-how • Customer loyalty
• Work-related competence • Distribution channels
Social capital Intellectual capital

• Corporate culture • Patents
• Management philosophy • Copyrights
• Management practices • Trade secrets
• Informal networking systems • Intellectual property

Influencing HRM
Intangible Assets and Human Capital
Knowledge workers: who contribute to the
company not through manual labour, but through
what they know about customers or a specialized
body of knowledge
• Contribute specialized knowledge
• Share knowledge and collaborate on solutions
• In demand because companies need their skills and jobs
requiring them are growing

Influencing HRM
Emphasize Empowerment and Continuous
Learning
Give employees responsibility and authority
Hold them accountable
Employees share in the rewards and losses
Learning organization

Influencing HRM
Maximize Employee Engagement
• Passionate about his or her work
• Committed to the company and its mission
• Works hard to contribute
• Measured with attitude or opinion surveys

Influencing HRM
1.Pride in employer
2.Satisfaction with employer
3.Satisfaction with the job
4.Opportunity to perform challenging work
5.Recognition and positive feedback
6.Personal support from manager
7.Effort above and beyond the minimum
8.Understand link between job and company’s mission
9.Prospects for future growth with the company
10.Intention to stay with the company

Influencing HRM
Manage Talent
The systematic planned strategic effort by a company
to use bundles of HRM practices to attract, retain,
develop, and motivate highly skilled employees and
managers.
• Acquiring and assessing employees
• Learning and development
• Performance management
• Compensation

Influencing HRM
Flexibility to Meet Work and Life Demands
• 69% of employees work more than 45 hours per
week (including OT).
• Only half of employees in the U.S. believe they have
the flexibility they need to successfully manage their
work and personal or family lives.
• Solution: flexible work schedules, work-at-home
arrangements, protecting employees’ free time, and
more productively using employees’ work time.

Influencing HRM
Meet the Needs of Stakeholders, Shareholders,
Customers, Employees, and Community
Demonstrate performance to stakeholders: the
balanced scorecard (indication of the performance
of a company based on the degree to which
stakeholder needs are satisfied)
• Being customer-focused
• Improving quality
• Emphasizing teamwork
• Reducing new product and service development times
• Managing for the long term
Influencing HRM
Perspective Questions Examples of critical business Critical HR indicators
answered indicators
Customer How do customers Time, quality, performance, Employee satisfaction with HR
see us? service, cost department services;
Employee perceptions of the
company as an employer
Internal What must we Processes that influence Training costs per employee,
excel at? customer satisfaction, availability turnover rates, time to fill
of information on service, and/or open positions
manufacturing processes
Innovation and Can we continue Improve operating efficiency, Employee/skills competency
learning to improve and launch new products, continuous levels, engagement survey
create value? improvement, empowering of results, change management
workforce, employee satisfaction capability
Financial How do we look to Profitability, growth, shareholder Compensation and benefits
shareholders? value per employee, turnover costs,
profit per employee, revenue
per employee

Influencing HRM
Demonstrate Social Responsibility
• Helps boost a company’s image with customers, gain
access to new markets, and help attract and retain
talented employees.
• Companies try to meet shareholder and general
public demands that they be more socially, ethically
and environmentally responsible.
• Helping to protect the planet can also save money.
• Sustainability is an important part of many
companies’ business strategy.

Influencing HRM
Recognize and capitalize on the demographics
and diversity of the workforce
Internal labor force
External labor market
• Average age of workforce will increase
• Increased workforce diversity
• Immigration will affect size and diversity
• Generational difference with five generations
• Gender and racial composition of the workforce

Influencing HRM
Comparison of the Age Distribution
10.51% 12.45% 11.06%
15.07% 13.79% 16.16%
74.42% 73.75% 72.78%
2012 2016 2020

16 to 24 years old
25 – 54 years old
55 years and older

Influencing HRM
Year born Generation Ages
1925–45 Traditionalists >72
Silent Generation
1946–64 Baby Boomers 53-72
1965–80 Generation X 37-52
1981–95 Millennials 22-36
Generation Y
Echo Boomers
1996 Generation Z <21

Influencing HRM
A Workforce of Mixed Gender, Race and
Nationality
• Diversity of workforce increasing
• Immigration is contributing
• Managing a diverse workforce

Influencing HRM
Legal Issues
• Employment laws and regulations
• Eliminating discrimination and harassment
• Health care coverage
• Immigration
• Data security practices and protecting intellectual
property

Influencing HRM
Principles of Ethical
Companies
Jump to long description in

9/12/2021 HRM Chapter 1appendix
- Truong Nu To Giang 53
Influencing HRM
Competing Through Globalization
U.S. businesses must
• Develop global markets
• Use their practices to improve global competitiveness
• Better prepare employees for global assignments

Influencing HRM
• Entering International Markets
• Exporting products overseas
• Building manufacturing facilities or service centers in
other countries
• Entering into alliances with foreign companies
• Engaging in e-commerce

Influencing HRM
• Offshoring: exporting of jobs from developed
countries to countries where labor and other cost
are low;
• Reshoring: the returns of jobs to developed
countries

Influencing HRM
Competing Through Technology
• Consider applications of social networking,
artificial intelligence, and robotics
• Use HRIS, Mobile devices, cloud computing, and
HR dashboards
• Consider high-performance work systems and
virtual teams

Examples of How HRM
Practices Can Help
Companies Meet
Competitive Challenges

Managing Human Resources: 9/12/2021 HRM Chapter 1 - Truong Nu To Giang 1

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

Managing Human Resources: 9/12/2021 HRM Chapter 1 - Truong Nu To Giang 1

Uploaded by

Copyright:

Available Formats

Chapter 1

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 1

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 2

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 3

Publix employees are extremely loyal

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 4

HRM play an important role here:

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 5

Human Resource Management

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 6

Human Resource Management Practices

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 8

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 9

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 10

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 11

• Compensation, hiring, • Developing effective HR • Contributing to the

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 12

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 13

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 14

• central place for administrative and transactional tasks

• business partners (HR staff working with business unit

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 15

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 16

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 17

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 18

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 19

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 20

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 21

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 22

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 23

Chief Human Resources Officer 30-100 mil 10-25 years

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 24

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 25

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 26

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 27

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 28

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 29

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 30

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 31

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 32

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 33

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 34

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 35

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 36

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 37

Social capital Intellectual capital

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 38

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 39

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 40

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 41

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 42

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 43

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 44

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 46

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 47

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 48

74.42% 73.75% 72.78%

2012 2016 2020

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 49

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 50

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 51

9/12/2021 HRM Chapter 1 - Truong Nu To Giang 52

Jump to long description in