THEVALORISATIONOFHUMANRESOURCESINTHEHRMANAGEMENTCYCLESOMEQUESTIONS

Some HR management experts portray the Valorisation of Human resources as a step of the HRM cycle, intended to evaluate and reward the peoples performance, supporting their participation in the organisational goals and dealing with the specific characteristics of the individuals. Fig. 1: The HRM cycle

We are here proposing a definition of the Valorisation of Human Resources that also includes some considerations that emerged from working groups working on the topics in the local EQUAL II projects: Valorising Human Resources means setting up an organisational model with the aim of putting a worker in the best possible position so that he/she can efficiently contribute to the organisational goals. It requires: A common objective (of both worker and company) giving satisfaction to all the actors A daily attention to what happens (as a working style, a relational attitude, as a continuous process) in the work organisation Appeal from the company towards the workers (credibility, worker as internal client) It foresees: Positive attitude in facing issues Workers being part of the group Investing in people involved in the organisation

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And determines: Good working environment Good relationships Good working methods including: Communication on the goals Common projects Information sharing Work team Inter-changeability Rewards Effective mandates Internal responsible for VHR Constant monitoring actions Valorisation of Human Resources, as a part of the Human Resources management process, is the phase in which the worker: is inserted in the company on the basis of his competences and motivation; becomes part of a group and is committed to work for a common goal; develops abilities (through training, experience, etc) in order to have better production performances. In this phase the worker will be: evaluated on his performances and competences; rewarded according to his contribution to the common goal; involved in decisions about the future of the company (as an internal stakeholder); Considered as an individual with his/her specific characteristics (skills, competences and attitude).

QUESTION:ISYOURCOMPANY/OFFICEORGANISEDINSUCH AWAYTHATTHEGOALSARESHARED?

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Evaluation
The workers evaluation can be done in two ways: internal evaluation external evaluation Internal evaluation is usually more focussed on a persons input (motivation, behaviour and attitude) whereas external evaluation is usually more focussed on a persons output (production and collaboration). For the evaluation different instruments can be used, for example assessment instruments and validation of prior learning (VPL) and competences. These instruments can be used for different reasons, for example redesigning wage-categories, reorganising working groups, improving the workers position and perspective on the labour market and in the company, etc. Evaluation can influence and enhance the relationship between the worker and the organisation. The evaluation usually implies the establishment of a dialogue between the individual worker and the organisation about mutual expectations and possibilities. This dialogue allows parties to exchange wishes and obligations in a fair, transparent and recognizable way. To be successful evaluation has to be integrated in the process of the Human Resource Management (HRM) of the organisation. Furthermore it has to be well organised and clear and it has to be applicable to each part of the HRM process.

QUESTION:DOESYOURCOMPANY/OFFICEAPPLYAN EVALUATIONSYSTEMFORITSEMPLOYEES?

Rewards
In a working organisation, the work of the individuals is first of all, and for many most importantly, rewarded with a salary. This salary represents the material exchange between the two parties. The level of the salary depends on many aspects, among which: The qualifications, competences and experience of the employee; The competitive position of the company on the labour market; Trends on the labour market in which new production and data processing technologies have shortened distances between intellectual and manual work, influencing the classification of work positions and conse-

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quently the definition of wages. The need of keeping (the most competent or most promising workers) loyal to the company; Changes in the welfare system, urging companies for example to contribute to the retirement plans of their employees. The employee experiences his salary as rewarding on the condition of two very important factors: first of all, the salary has to be fair (formally, according to the law, informally, according to both the employers and the employees opinion); secondly, the salary has to be in accordance with the efforts and dedication of the employee and in relation to the mission and goals of the organisation. Next to the salary, as a material reward for the employee, also other both material and non material forms of reward are known, for example: work and life conditions, compliments, promotions, etc.

QUESTION:ISYOURCOMPANYSREWARDINGSYSTEM ACCURATE?DOESITCONSIDERNONMATERIALREWARDS? WHICHONE(S)?

Participation
In order to accomplish an organisations mission and goals, a concrete participation of all its stakeholders is needed. This participation could be a basic characteristic of the company (Share Company, cooperative). It can be the result of an internal negotiation (trade unions, employees councils) or it can be bought (share options). It will in any way improve the motivation of the stakeholders and increase the interest in what the companys destiny will be. In looking for participation, the organisation will try to share its objectives, in order to obtain an efficient support from both external and internal stakeholders. In order to increase this participation, the company can decide to adopt Corporate Social Responsibility (CSR) methods, evaluating as a part of its organisation the impact of its own activities towards inside (workers, collaborators, controlled companies, owners) and outside (financing structures such as banks or share owners, customers, providers, trade unions, local government, public administration, trade organisations, grass roots organisations) stakeholders. In order to measure this impact it can decide to have social statements, besides the financial ones, defining its attitudes towards dif-

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ferent stakeholders. In relation with the HR Valorisation, these social statements will take in consideration the improvement of internal relations such as the French Bilan Social as an indicator of a well working organisation. Lets note that the Social Accountability certification (SA 8000), currently strictly connected with CSR, certifies a certain respect and respectful behaviour of the company towards its employees.

QUESTION:WHICHAREYOURCOMPANYSSTAKEHOLDERS? HOWDOTHEYPARTICIPATETOTHECOMPANYSMANAGEMENT STRATEGY?

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Varietymanagement
Due to changes in society both on a national and a European scale on a cultural, religious and demographic level the composition of the workforce inside the companies has become more varied after the Second World War. As a consequence of these changes some important trends can be seen in the current labour market, for example: In the period after the Second World War, immigration of different ethnical groups towards European countries strongly increased. On the labour market this has led to a workforce with different cultural, religious and ethnical backgrounds. After the Second World War, women entered the labour market on a larger scale. Nowadays, in many cases, women are still not fully recognized and accepted as professional, fully functional workers. Due to better health care, hygiene and food conditions, the rise of life expectancy is another important international trend. This trend raises questions about the current arrangements about pensions, e.g. is it possible and wise to let the so called baby boomers retire at the same age as their predecessors? The changing welfare system nowadays with the focus on possibilities, instead of the former focus on limitations requires people to participate actively in the workforce, whereas in the recent past they were considered not able to work (for example disabled people and people considered unfit for work due to illness). Nowadays, the above mentioned trends, have led to a labour market (and working places) that appear totally different from 10 15 years ago. In the current workforce and working places we find a melting pot: people from different origins, speaking different languages, practising different religions, women participating in jobs that traditionally were considered only fit for men, disabled persons leading groups working on high technology issues, etc. Furthermore the development into a global economy, obligating companies to compete on easily replicable mass products, low prices, fixed standards, etc. makes it crucial for companies to be flexible and to be able to adapt themselves quickly to changing situations. An important instrument for obtaining and maintaining a companys flexibility and adaptability can be the valorisation of the characteristics of their own manpower (Valorisation of Human Resources) as a part of the Variety Management. This means, among other things, that companies need to focus on real competences and need to be able to identify these beyond external appearances. In the current and future labour market appearance or the outside is and will become less important than the content: namely, the competences of the workforce

QUESTION:HOWVARIEDISYOURCOMPANYSWORKFORCE?

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