Human Resources Management

Module 1: The Role of Human Resources

Module Learning Outcomes

Discuss the importance and the role of human resources management

1.1: Explain the concept of human resource management
1.2: Describe the functions of human resource management
Defining Human Resources Management
Learning Outcomes: Defining Human Resources
Management
1.1: Explain the concept of human resource management
1.1.1: Describe the role of human resources
1.1.2: Discuss the trends shaping human resource management
The Role of Human Resources

There are several roles of human resources within an organization:

• Ensure the organization has the right talent to achieve its strategic goals
• Develop people-related structures, policies, and procedures
• Ensure compliance with internal policy
• Ensure compliance with relevant federal and state legislature

HR professionals are guardians and champions! They practice and promote the type of
behavior that leads to a healthy and productive culture
Trends in Human Resources Management
Trends in HRM are the same trends that are shaping business in general. Some of them are:
• Changes in workforce composition
• Increasing workforce diversity
• Increased employee expectations of employers
• Changes in societal expectations
• Infrastructural obsolescence
• Changes in the nature of work
• Market and industry 4.0
• Changes in the evaluation and valuation of talent
• ”Reskilling imperative”
• Increasing geopolitical risks
Practice Question 1

What is the overarching goal of a human resources department?

A. To ensure all employees are satisfied with their job

B. To mitigate workplace conflicts
C. To ensure the proper talent is placed to support the organization
D. To ensure all federal and state labor laws are being followed by each employee
Practice Question 2

Market and Industry 4.0 refers to:

A. Internet-based sales organizations

B. The average age of employees increasing worldwide
C. Companies broadening their products and services to reach more customers
D. The increasing need of soft skills in the workplace
Class Activity: Discussion with Classmates

Consider the trends in human resources today. With your classmates, discuss the following:
• Which trends have you seen in your experiences?
• Which trends are surprising?
• Are there trends you feel are more important than others to consider?
• Are there trends not listed here that should be considered?
Functions of Human Resources Management
Learning Outcomes: Functions of Human Resources
Management
1.2: Describe the functions of human resource management
1.2.1: Describe the functions of human resource management
1.2.2: Describe key human resource management metrics
1.2.3: Evaluate human resource management as a career
1.2.4: Identify human resource management training options
1.2.5: Identify human resource management development options
Understanding Functions of Human Resources Management

Staffing Training &

Job and employee Development
lifecycle function; Includes socialization,
beginning with job training, and
development and ending development for
with employee individuals and
separation organization

Compensation Administration
Includes factors that Regulatory compliance
influence motivation, as and employee relations
well as compensation
and benefits
management
Metrics
Key HR metrics provide quantitative assessments used to measure the effectiveness of business
practices
• Human Resources Metrics
• Total HR Staff
• HR-to-Employee Ratio
• HR Expense to Operating Expense Ratio
• HR Expense per FTE Ratio
• Compensation Metrics
• Annual Salary Increase
• Salaries as a Percentage of Operating Expense
• Employment Metrics
• Time to Fill
• Cost per Hire
• Number of Positions Filled
• Annual Turnover Rate
Working in Human Resources

Human Resources Labor Relations Training &

Specialist Specialist Development Specialist

• Development and support • Interpret and administer • Help plan, conduct, and
for one HR function labor contracts administer programs that
• Entry level position • 0–5 years experience improve employees’ skills
• 7% projected growth needed • 0–5 years experience
• 11% projected growth needed
• 9% projected growth
Differences Between Compensation & Benefits Manager and Human
Resources Manager

Compensation & Benefits

Manager
• Plan, develop, and oversee
employee compensation
programs
• At least 5 years experience
needed
• 5% projected growth
Human Resources Manager
• Plan, direct, and coordinate HR
functions broadly
• At least 5 years experience
needed
• 9% projected growth
Training and Development

• Most HR positions require a bachelor’s degree. A master’s degree can be helpful if seeking
management positions.
• Coursework for HR can include business communications, finance, HR management, and
management
• Training can include relevant work experience
• All HR positions require strong interpersonal and “soft” skills
• Development options include seeking professional credentials or certifications
• Key organizations specializing in HR development are: Society for Human Resource
Management (SHRM), WorldatWork, and HR Certification Institute (HRCI)
Practice Question 3

Shondra is responsible for ensuring that each employee fill out their new hire paperwork. She
will then create files for each employee to store documentation throughout their employment.
This is an example of which function of human resources management?

A. Staffing
B. Training & Development
C. Compensation
D. Administration
Practice Question 4

A start up company wants to see how much they are spending on hiring and training new
employees. They have discovered by spending slightly more on training and developing, they
are able to retain more new employees and have less annual turnover. Which HR metric
describes this number?

A. HR expense per FTE ratio

B. Salaries as a percentage of operating expense
C. Cost per hire
D. Number of positions filled
Class Activity: HR Career Research

Use the internet to search for two different job openings in

HR
• What are the key words the job announcements have in
common?
• What are the skills that are requirements for both jobs?
What skills are different?
• Do either of them require specific education?
• What are the qualifications needed to apply for the position?

Share your findings with your classmates. Discuss any

trends.
Quick Review

• The key role of HR is to ensure the right talent is selected for an organization’s strategic
goals
• HR is shaped by the same trends affecting the global business market
• Staffing, Training & Development, Compensation, and Administration are the key functions
of HR
• Metrics are useful to determine the impacts of human resources on an organization
• Overall, HR careers will continue to grow and be important roles in the workforce
• Continual training and development will continue to be important in human resource
management career advancement