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MANAGEMENT

RICHARD L. DAFT
Managing Human
Resources
CHAPTER 11
chapter11 Learning Outcomes
• Explain the strategic role of human resource management.
• Describe federal legislation and societal trends that influence
human resource management.
• Explain what the changing social contract between organizations
and employees means for workers and human resource managers.
• Show how organizations determine their future staffing needs
through human resource planning.
• Describe the tools managers use to recruit and select
employees.
• Describe how organizations develop an effective workforce
through training and performance appraisal.
• Explain how organizations maintain a workforce through the
administration of wages and salaries, benefits, and terminations.3
Copyright ©2010 by South-Western, a division of Cengage
Learning.  All rights reserved.
Getting the Right
chapter11
People on the Ship
• Hiring and keeping quality employees is one of the
most urgent concerns for today’s organizations

• Talent management is a top priority for managers

• Human Resources is the design and application


of formal systems to ensure the effective and
efficient use of human talent

• Attracting, developing, and maintaining an effective


workforce
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Copyright ©2010 by South-Western, a division of Cengage
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The Strategic Role of HRM is to
chapter11 Drive Organizational Performance

• Managers are involved in human resource management


• Employees are viewed as assets
• Employees provide the competitive edge
– Right people to become more competitive on a global basis
– Right people for improving quality, innovation, and customer
service
– Right people to retain during mergers and acquisitions
– Right people to apply new information technology for e-business

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Strategic Human
chapter11
Resource Management

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Learning.  All rights reserved.
Building Human Capital
chapter11
to Drive Performance
• Human Capital refers to the economic value of the
combined knowledge, experience, skills and
capabilities of employees
– Strategies for finding the best talent

– Enhancing skills and knowledge with training programs

– Opportunities for personal and professional development

– Compensation and benefits that support knowledge


sharing

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Copyright ©2010 by South-Western, a division of Cengage
Learning.  All rights reserved.
The Role and Value of Human
chapter11 Capital Investments

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chapter11 Globalization

• Globalization requires international human


resource management (IHRM)

• Managing diverse people on a global scale

• HR practices and trends are converging globally

• IHRM Managers must be culturally sensitive

• Policies and practices must be culturally


sensitive
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Copyright ©2010 by South-Western, a division of Cengage
Learning.  All rights reserved.
Trends in International Human
chapter11 Resource Management

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Learning.  All rights reserved.
The Impact of Federal
chapter11
Legislation on HRM
• Federal laws are enacted to ensure equal
employment opportunity

• The purpose of laws is to stop discriminatory


practices

• The Equal Employment Opportunity Commission


(EEOC) was created by the Civil Rights Act of
1964

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Copyright ©2010 by South-Western, a division of Cengage
Learning.  All rights reserved.
Major Federal Laws Related to
chapter11 Human Resource Management

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Learning.  All rights reserved.
The Changing
chapter11
Social Contract
• Changes in the business environment have changed the
social contract, a bulletin board at a company
restructuring noted:
– We can’t promise you how long we’ll be in business
– We can’t promise you that we won’t be acquired
– We can’t promise that there’ll be room for promotion
– We can’t promise that your job will exist when you reach
retirement age
– We can’t promise that the money will be available for your pension
– We can’t expect your underlying loyalty, and we aren’t even sure
we want it

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Copyright ©2010 by South-Western, a division of Cengage
Learning.  All rights reserved.
The New Contract vs.
chapter11
The Old Contract

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Learning.  All rights reserved.
chapter11 Innovations in HRM

• Becoming an Employer of Choice

• Using Temporary and Part-Time Employees

• Promoting Work/Life Balance

• Rightsizing the Organization

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Copyright ©2010 by South-Western, a division of Cengage
Learning.  All rights reserved.
Attracting an
chapter11
Effective Workforce

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Learning.  All rights reserved.
chapter11 Human Resource Planning

• What new technologies are merging, and how will these


affect the work system?
• What is the volume of the business likely to be in the next
five to ten years?
• What is the turnover rate, and how much, if any, is
avoidable?
• What types of engineers will we need, and how many?
• How many administrative personnel will we need to
support the additional engineers?
• Can we temporary, part-time, or virtual workers to handle
some tasks?
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Copyright ©2010 by South-Western, a division of Cengage
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chapter11 Recruiting

• Assessing Organizational Needs

• Realistic Job Previews

• Legal Considerations

• E-cruiting

• Innovations in Recruiting

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Learning.  All rights reserved.
Sample Corporate
chapter11
Recruiting Policy

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Learning.  All rights reserved.
chapter11 Selecting

• Application Form

• Interview

• Employment Test

• Online Checks

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Learning.  All rights reserved.
Applications and Interviews:
chapter11 What Can You Ask?

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chapter11 Managing Talent

 Training and Development

 On-the-job Training

 Corporate Universities

 Promotion from Within

 Mentoring and Coaching

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Learning.  All rights reserved.
Methods and Goals
chapter11 of Training

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Learning.  All rights reserved.
chapter11 Performance Appraisal

• Accurately assess performance through the


development and application of assessment
systems such as rating scales

• Training managers to effectively use the


performance appraisal interview so managers
can provide feedback that reinforces good
performance and motivate development

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Learning.  All rights reserved.
Behavior Anchored
chapter11 Rating Scale

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Learning.  All rights reserved.
Maintaining An
chapter11 Effective Workforce

• Managers and HRM professionals must maintain


a workforce that has been recruited and
developed:

 Compensation

 Benefits

 Termination

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Learning.  All rights reserved.
chapter11 Benefits

• Compensation packages are more than money


• Some benefits are required by law
– Social Security, Unemployment Compensation,
Workers’ Compensation
• Other types of benefits are optional
– Health Insurance, Vacations, Daycare, Fitness Centers
– Employees are beginning to absorb more
health insurance costs
• Many organizations offer cafeteria-plan benefits to address
the diverse needs of employees
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Copyright ©2010 by South-Western, a division of Cengage
Learning.  All rights reserved.
chapter11 Termination

• Retirement

• Voluntary Departure

• Mergers & Cutbacks

• Poor Performance

• Termination dismisses poor performers

• Opportunity to learn about dissatisfaction through


exit interview

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Learning.  All rights reserved.

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