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SOFT & HARD Model Of HRM

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HRM & SHRM

 

SHRM

HRM

Strategic Human Resource Management is defined as alignment of strategic business goals of the organization with human resources, so as to foster innovation and improve motivation, satisfaction, productivity, and eventually overall performance.

Human resource management is the practice of recruiting, hiring, deploying and managing an organization's employees.

Considers Employees As Human Resource

 

Considers Employees As Strategic Human Resource

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MODELS OF HRM

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Storey in 1989 who elaborated on the Michigan and Harvard models on management (1960). Harvard and Michigan propounded theory X and Theory Y to explain two different styles of HRM.

X and Theory Y to explain two different styles of HRM. Theory X Model Theory Y

Theory X Model

Y to explain two different styles of HRM. Theory X Model Theory Y Model Michigan/Hard HRM

Theory Y Model

Michigan/Hard HRM

Harvard/Soft HRM

Theory x has similarity with Hard Model of HRM & Theory Y with Soft HRM

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SOFT HRM

SOFT HRM = People-Focused / High-Commitment Treats employees as the most important resource in the business and a source of competitive advantage.

Focal Points

Needs of employees Employee Training Development Commitment Participation Motivation Workforce flexibility Quality Strategic integration

Modern approach to strategic human resource management.

AKA Humanistic HRM or Harvard Model

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SOFT HRM

Stakeholder

Interests

i)Stakeholders

ii) Employees

iii) Managament

iv) Government

v) Communities

vi) Unions

Managament iv) Government v) Communities vi) Unions HR Strategy i) Employee influence ii) Human Resources
Managament iv) Government v) Communities vi) Unions HR Strategy i) Employee influence ii) Human Resources
HR Strategy i) Employee influence ii) Human Resources flows HR Outcomes i) Commitment ii) Congruence
HR Strategy
i) Employee
influence
ii) Human Resources
flows
HR Outcomes
i) Commitment
ii) Congruence
iii) Competence
Long-term consequences
i) Organizational effectiveness
ii) Individual well-being
iii) Societal well-being
iv) Costs
iii) Reward system
iv) Work systems
well-being iv) Costs iii) Reward system iv) Work systems Situational Interests i) Workforce type ii) Business

Situational Interests i) Workforce type

ii) Business strategy iii) Management philosophy iv) Labour market v) Task technology vi) Societal values

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HARD HRM

HARD HRM = Task-Focused / Low-Commitment

Treats employees simply as a resource of the business (like machinery & buildings)

Focal Points Performance Management Strategy in Achieving Organizational Goals Cost Control Hiring, Moving and Firing

The concept of “Hard HRM" is the basis for the traditional approach toward human resource management.

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HARD HRM

Cultural

Forces

Economical Political Forces Forces Missions & Strategy Organization HR structure Management
Economical
Political
Forces
Forces
Missions &
Strategy
Organization
HR
structure
Management

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KEY FEATURES OF SOFT & HARD MODEL OF HRM

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SOFT MODEL

Longer-term workforce planning

Strong and regular two-way communication

Performance-related rewards (e.g. profit share, share options)

Delegation of authority

Appraisal systems focused on identifying and addressing training and other employee development needs

Flatter organizational structures

Suits democratic leadership style

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HARD MODEL

Short-term changes in employee numbers (recruitment, redundancy)

Minimal communication, from the top down

Pay – enough to recruit and retain enough staff (e.g. minimum wage)

Little empowerment or delegation

Appraisal systems focused on making judgments (good and bad) about staff

Taller organizational structures

Suits autocratic leadership style

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SOFT HRM vs. HARD HRM

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HARD HRM
HARD HRM
Theory X Employees are like machine Focus on short term Autocratic Leadership Tall organization
Theory X
Employees are like
machine
Focus on short
term
Autocratic
Leadership
Tall organization
SOFT HRM
SOFT HRM
Links to theory Y Employees treated as individual Long term strategy Democratic leadership Flat organization
Links to theory Y
Employees treated as
individual
Long term strategy
Democratic
leadership
Flat organization

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HARD HRM
HARD HRM
1.Useful in crisis 2.Useful when management have expertise 3.Quicker decision making Leads to
1.Useful in crisis
2.Useful when
management have
expertise
3.Quicker decision
making
Leads to

1.Poor employee relation 2. Impact in motivation

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SOFT HRM
SOFT HRM
1.Best use of skill 2.Useful when employees are experienced 3.Creativity and innovation Leads to
1.Best use of skill
2.Useful when
employees are
experienced
3.Creativity and
innovation
Leads to

1.Decision making needs more time 2.Costly approach

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Techniques Used

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Techniques Used

SOFT HRM
SOFT HRM
1. Delegation 2. Empowerment
1. Delegation
2. Empowerment
HARD HRM
HARD HRM
1. Limited Delegation & team working 2. Less pay
1. Limited
Delegation &
team working
2. Less pay

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Practitioners in this context

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Practitioners in this context

Known for
Known for

Practitioner of Soft HRM

Practitioner of Hard HRM

Known for
Known for
Practitioners in this context Known for Practitioner of Soft HRM Practitioner of Hard HRM Known for

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Global Hard and soft HRM model user company

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Soft

Model

Hard

Model

Organization

Employee

Employee

Training

Employee

Employee

Close

as human

involvement

&

as cost

as factor of

integration of

 

developme

production

HRM with

nt

business strategy

CADBURY

YES

YES

YES

YES

NO

NO

BHP

YES

YES

YES

YES

NO

NO

Westfield

YES

NO

NO

YES

NO

NO

Ticor

NO

NO

NO

NO

NO

NO

Bangladesh perspective

SOFT HRM
SOFT HRM
1.Unitex 2.AJI Group
1.Unitex
2.AJI Group
HARD HRM
HARD HRM
1.KFC 2.Uniliver
1.KFC
2.Uniliver

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Which is best? Soft or Hard HRM?

The answer is – it depends!

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Description

Cost Effective Workforce

Quick Decision Making

Attention To The Needs Of Employees

Higher Absenteeism

Staff Turnover

Employee Satisfaction

Employee Motivation

Competitive Advantage

Soft Model HRM

Hard Model HRM

Decision Maybe Wrong! Too Much is competitive disadvantageous

Decision Maybe Wrong!

Decision Maybe Wrong! Too Much is competitive disadvantageous
Decision Maybe Wrong! Too Much is competitive disadvantageous
Decision Maybe Wrong! Too Much is competitive disadvantageous

Too Much is competitive disadvantageous

Decision Maybe Wrong! Too Much is competitive disadvantageous
Decision Maybe Wrong! Too Much is competitive disadvantageous
Decision Maybe Wrong! Too Much is competitive disadvantageous
Decision Maybe Wrong! Too Much is competitive disadvantageous
Decision Maybe Wrong! Too Much is competitive disadvantageous
Decision Maybe Wrong! Too Much is competitive disadvantageous

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So We Can Say

Situation Of The Organization & Behavior Of The Employees Convey Steward Which Is Best Fitted To Follow !!!!!!!!!

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THANK YOU !

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