NME (COMMERCE)
Human Resource Management
Lesson: Introduction to Human Resource Management
Lesson Developer: Dr. R K Singh1, Geetanjali Batra2
College/ Department:1Deputy Dean Academic Activities
and Projects, 2A R S D College, University of Delhi
4.
5.
6.
7.
Learning Outcomes
Introduction
Human Resource Management:
3.1
Meaning and Concept
3.2
Relevance and Spectrum
3.3
Role of HR Manager
3.4
skills and Competencies of HR Manager
Human Resources Development: Definition, Goals and Challenges
The Changing Environment of HRM
5.1
Globalisation,
5.2
Cultural Environment,
5.3
Technological Advances
Challenges of HR Manager
6.1
Workforce Diversity,
6.2
Employee Empowerment,
6.3
Trade Unionism
6.4
Technological Changes,
6.5
Corporate Downsizing,
6.6
Voluntary Retirement Scheme,
6.7
Work life Balance
6.8
Improvement Programs
HR Role in Strategy Formulation and Gaining Competitive Advantage
Case study
Summary
Exercises
Glossary
References
1. Learning Outcomes:
After reading this lesson you should be able to:
2.
Introduction:
In the information age, technology has acted as great equalizer for organizations. In
order to be different and create competitive edge organizations rely on most important
resource that is human resources (HR). In order words the key competitive element for
an organization is human resource. This renewable resource has capacity to leverage
knowledge, skills and ability to learn new trends and work collaboratively towards
organizational goals. Recognizing the importance of HR function, organizations keep a
separate HR department. This undertakes all HR related managerial functions about
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which you will come to know in detail in ensuing paragraphs. Generally speaking it helps
procuring and maintaining employees with right skills sets matching organizational
needs.
3.
Competence: HR policies to attract employees retain them and develop their skills
benefiting organisation benefits with improved self-worth and economic well-being of
employees.
Cost Effectiveness: effectiveness in economic operations in the organization with
appropriate wages, salaries and other incentives to employees with minimization or
avoidance of loss of revenue due to strikes and lockouts, etc.
The Michigan model has a harder, less humanistic approach to HRM. It holds that
employees are resources like any other business resource and have to be managed
similar to equipment and raw materials. They must be obtained at lowest possible cost
and developed and exploited to the maximum. It is also known as the 'matching model'
or 'best-fit' approach to HRM as it requires that human resource strategies should be
closely synchronized to the overall strategies of the business.
This
The HRM ensures healthy, safe and productive work environment. It helps in
management of change, team development, introduction of new technology and shares
responsibility with management for the day to day running of the business etc. It
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manages conflict between personal and organizational goals to have a conducive and
collaborative work environment.
Compensation and Benefits Analysis:
The HRM ensures fair wage for employees in accordance with services rendered by them.
In other words HRM deals with issues pertaining to remuneration of employees in
relation to their job and performance.
Training and Development:
HRM identifies areas for improvement in HR to have better organizational performance
and growth and development of the employee.
Feedback and Reporting:
HRM provides information to decision-makers on matters relating to the needs and
performance of employees.
Figure 1: Role of HR
Advice related
to policy
development
Feedback and
reporting
Strategy
Implementation
Role
of HR
Training and
Development
Compensation
and benefits
Analysis
Employment
and staff
services
General
Employee
Administration
and monitoring
Role of HR Manager
Activity 1: An Interview with HR Manager
Interview HR specialists of 5 organisations and understand their roles, scope of
duties, targets and timelines they are required to achieve and their experience
with the Delhi University students if they have visited any of the colleges for
placement.
Often when we read something interesting like HRM we start playing the
character. We take guess that you are thinking how to become a good HR
manger. HR managership is an instinct, a way of thinking. However, scholars
have identified the following as necessary competencies a HR manager to
possess:
Communication Skills
An HR manager needs excellent communication skills to interact effectively with
recruitment agencies, trade union leaders, officials and employees working in the
organisation, prospective employees and colleagues. He should to know when and how
to adapt to the audience and the situation.
Analytical and Critical Thinking
An HR manager has to take decisions that have impact on a number of people and
relating policies. They should have the ability to analyze situations and view the
implications of a decision from a critical perspective.
Relationship-Building
HR managers need to create a cohesive work environment so that all the employees
work collaboratively to achieve the goals of the organization. They should have effective
relationship-building and interpersonal skills to be successful.
Leadership
HR manager is responsible for creating strategic plans for the organisation. They need
leadership skills for taking critical decisions, planning and implementation of plans and
conflict management.
Technical Expert:
HR Manager should have good knowledge of technical and legal aspects as well as rules
governing HR. He should continuously update himself with latest technology, software,
laws and regulations.
4.
Human Resources Development (HRD) is a part of HRM. HRM covers all Human
resources functions like recruitment, selection, appraisal, rewards and recognition, while
HRD deals only with training and development, organization development, and career
development. HRD helps socializing the employees in the organization. It helps
employees to be effective in present context and develops them to take up future
challenges.
HRD focuses on nurturing the skills of employees to enhance their productivity and
loyalty to the organisation. The focus is on identifying the skills that needs attention for
further development. In order to achieve this HRD devises suitable strategies. HRD helps
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Globalisation:
You find Japanese, Korean, American and other HR practices travelling to India. One of
the demand of these practices is management of time which is being strictly practiced by
the organizations.
5.2.
Cultural Environment:
Technological Advances:
Technological advancements result in changes in the way jobs are being done and
require learning of new skills. It also leads to increase in productivity. For e.g. with the
automation of offices, the employees were expected to be computer savvy and have
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6.
Challenges give opportunity to hone new skills sets and sharpen the existing
ones.
HRM
also
gets
opportunity
in
the
organization.
Some
of
the
6.2
Empowerment of Employees:
The policies of the organisation should motivate the employees to make them
contribute to their best. A Facilitative policy of the organization involving
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An effective PIP
identifies the improvement areas, provides clear expectations from the work, identifies
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HRM now has taken a strategic role in the organization and forehand is acting as
business partners and change agent. People have been recognized as important
in the organization so HRM. The earlier played role of HRM which was confined to
administering the performance of employees has been very well entered into
strategic domain.
Value Addition 1
Role of Social Media in HR Management
Organisations use social media to gain engagement and commitment of various
stakeholders including employees, customers, suppliers and business partners in an
effort to achieve brand loyalty to their products and services. Social media platforms are
used to accelerate and enhance employee innovation, engagement, and performance.
Using social media provides innovative ways to improve the performance of business,
create long-term capability, and ultimately sustain their success. It would be a great
help at work as it can be incorporated into a companys corporate culture, is cost
effective and engages employees in sharing knowledge and expertise. Social media
offers a great platform for both organizations and individuals to listen and have
conversations with people they want to influence and talk to. It provides an online
platform for HR managers to highlight the working behaviour guidance and HR policies.
The relationship between social media and human resource management has changed
the dynamic environment. HR managers and leaders need to be aware of the importance
and impact of social media at work and think about how to take the advantage of using
social media effectively to develop the organization and promote business performance.
CASELET
Role of HR Manager
Aricent is a Telecom Software company, based in USA, and major staff located in
Gurgaon, India.
She spends good time of her day scanning profiles of people from
various job portals and identifying prospects with right skill and experience to fulfil the
roles.
Also she handles internal job posting program, where she looks for employees
within the company seeking job rotation and tries to place them to different department
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shortlisted after technical discussions, she negotiates salary, compensations etc for each
new hire as per company policy and ensures the new hire is given appropriate
remuneration and position in the company.
Another key aspect of Sangeetas job is to organize campus hiring events. For this she
visits various colleges across the country for pre-placement talks, interactions with
placement heads, etc.
In addition to hiring, she also takes care of employee queries related to benefits,
compensations, and leaves and provides them sufficient information on company
policies, benefits and procedures.
She handles
Questions:
1. What are the key roles for a HR Manager in Aricent? Please enumerate.
2. What is role of a HR manager in hiring talent?
3. How HR manager contributes in ensuring fair appraisal and compensation cycle
within an organization.
Teaching Notes:
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Summary:
systems
and
suitable
career
development
Glossary:
Exercises:
I. Objective Type Questions:
A. Choose the Correct Answer:
1. Labour standards are used for:
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a.
b.
c.
d.
2. Which
a.
b.
c.
d.
3. Despite fluctuations in demand of the product, the organisation maintains the same
level of production and employment. This will lead to savings in which of the cost
a. Cost of Hiring
b. Cost of Storage
c. Advertising Cost
d. Production Cost
4. In SWOT Analysis, T stands for analysis of
a.
b.
c.
d.
Traits
Threats
Turnover
None of the above
Job Title
Car and Chauffer
Payment of telephone and medical bills
All of the above
Piece Rate
Profit Sharing System
Knowledge Based System
Job Enrichment
8. You hire unskilled workers and train them. But when they become trained, they leave
your organisation and join your competitors for higher wages. How should you
respond to such a situation?
a. Increase wages after training period
b. Redesign jobs and training so as to make it more specific to your organisation
c. Make working environment employee friendly
d. All of the above
9. Demand for labour rises when
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a.
b.
c.
d.
Wages Increase
Wages Decrease
Demand for goods and services increases
Demand for goods and services decreases
Threat to power
Scarcity of Resources
Technological Obsolescence
All of above
11. Downsizing
a.
b.
c.
d.
Globalisation
Workforce Diversity
Competition and Deregulation
All of the above
Human Welfare
Technical and Legal
Informative and Administrative
All of above
Unsafe conditions
Negligence
Chance occurrences
All of above
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Line Managers
Staff Managers
Line and Staff Managers
Functional Managers
Succession Planning
Training and Development
Personnel Functions
All of the above
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3. Labour union represents the interests of workers and seeks to protect them.
4. Job description gives details of the job and Job specification gives details of the
person who will be doing that job.
5. Job rotation is a kind of lateral transfer where employees work at different positions
in the same organisation for specific days.
Answers to Objective Type Questions:
A.
1. D;
2. 7. C;
13.D;
19. D;
2. D;
8. D;
14. D;
20.D;
3.A;
9. C;
15. A;
21. A;
4. B;
10.D;
16. A
22. D.
5.D;
11. D;
17. A;
B.
1. True;
2. True;
3. True;
4. True;
5. True.
6. D;
12. D;
18. B;
III.
References:
1. Work Cited and Suggested Readings:
a. Jackson, S. E., & Schuler, R. S. (1995). Understanding Human Resource
Management in the Context of Organizations and their Environments. Strategic
Human Resource Management, 46, 237-264.
b. McGuire, D. (2011). Foundations of Human Resource Development. Human resource
development: Theory and practice, 1-11.
c. Ulrich, D., Brockbank, W., Johnson, D., & Younger, J. (2007). Human Resource
Competencies: Responding yo Increased Expectations. Employment Relations Today,
34(3), 1-12.
2. Video Links:
a. https://www.youtube.com/watch?v=c8_avX9miag
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b.
c.
d.
e.
https://www.youtube.com/watch?v=eZAUMfJQcEE
https://www.youtube.com/watch?v=-mfF52XR57c
https://www.youtube.com/watch?v=WzQgZMoEtIQ
https://www.youtube.com/watch?v=WzQgZMoEtIQ
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