Dessler, Cole, Goodman, and Sutherland

In-Class Edition
Management of Human Resources
Second Canadian Edition

Chapter One
The Strategic Role of
Human Resources
Management
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Human Resources
Management

HRM is activities, policies and practices to

obtain and develop employees
utilize, evaluate and maintain employees
accomplish organizational objectives

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Strategic Human Resources

Management

--linking
linking of
of Human
Human Resources
Resources Management
Management
with
with strategic
strategic goals
goals and
and objectives
objectives in
in order
order
to
to improve
improve business
business performance
performance

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Introduction to Human Resources

Management
serving
serving as
as consultant
consultant and
and change
change agent
agent
offering
offering advice
advice
formulating
formulating policies
policies and
and procedures
procedures
providing
providing services
services
monitoring
monitoring to
to ensure
ensure compliance
compliance
(page
(page 2)
2)

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Strategic HR

-effective
-effective HRM
HRM practices
practices add
add value
value to
to the
the firm
firm
(15%
(15% of
of profit)
profit)
-shift
-shift from
from perception
perception of
of HRM
HRM as
as an
an expense
expense
to
to an
an asset
asset
-high-involvement
-high-involvement HR
HR even
even more
more effective
effective with
with
complementary
complementary workplace
workplace culture
culture and
and climate
climate

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Strategic HR
HR shifting from administrative to strategic
orientation
focus on harnessing human capital to achieve
strategic goals
strong HRM drives company performance
slow to evolve in many Canadian
organizations

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Concept of Human Capital

-the
-the knowledge,
knowledge, education,
education, training,
training,
skills
skills and
and expertise
expertise of
of aa firms
firms workers
workers

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Internal Environmental Influences

Organizational
Organizational Culture
Culture
core
core values,
values, beliefs
beliefs and
and assumptions
assumptions
shared
shared by
by members
members of
of an
an organization
organization
Organizational
Organizational Climate
Climate
prevailing
prevailing atmosphere
atmosphere
its
its impact
impact on
on employees
employees
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Internal Environmental Influences

Bureaucratic
Bureaucratic Culture
Culture
pyramid-shaped
pyramid-shaped organization,
organization, hierarchical
hierarchical
structure
structure and
and many
many levels
levels of
of management
management
Empowerment
Empowerment
provide
provide workers
workers with
with skills
skills and
and authority
authority to
to
make
make decisions
decisions traditionally
traditionally made
made by
by managers
managers
Boundaryless
Boundaryless Organization
Organization Structure
Structure
relationships
relationships formed
formed with
with customers,
customers, suppliers,
suppliers,
and/or
and/or competitors
competitors (typically
(typically joint
joint ventures)
ventures)
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External Environmental Influences

Labour Force

Labour
Labour force
force is
is the
the individuals
individuals who
who are
are
employed
employed and
and those
those actively
actively seeking
seeking work
work

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External Environmental Influences

Labour Market Issues

Labour
Labour market
market is
is the
the geographic
geographic area
area where:
where:
organizations
organizations recruit
recruit employees
employees
individuals
individuals seek
seek employment
employment

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External Environmental Influences

Economic Conditions
Productivity
Productivity ==
Outputs
Outputs (goods
(goods and
and services)
services)
Inputs
Inputs (people,
(people, capital,
capital, energy,
energy,materials)
materials)

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External Environmental Influences

Labour Unions
an
an officially
officially recognized
recognized association
association of
of
employees,
employees, practicing
practicing aa similar
similar trade
trade or
or
employed
employed in
in the
the same
same company
company or
or industry,
industry,
who
who have
have joined
joined together
together to
to present
present aa united
united
front
front and
and collective
collective voice
voice in
in dealing
dealing with
with
management
management
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External Environmental Influences

Workforce Diversity (1 of 3)
Population
Population growth
growth
impact
impact of
of immigration
immigration
Age
Age
baby
baby boomers,
boomers, Generation
Generation X,
X, Generation
Generation YY
Educational
Educational level
level
differences
differences in
in literacy
literacy levels
levels
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External Environmental Influences

Workforce Diversity (2 of 3)
Visible
Visible and
and ethnic
ethnic minorities
minorities
increasing
increasing numbers
numbers due
due to
to immigration
immigration
Women
Women
climbing
climbing employment
employment rate
rate

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External Environmental Influences

Workforce Diversity (3 of 3)
Aboriginal
Aboriginal peoples
peoples
difficulty
difficulty obtaining
obtaining and
and keeping
keeping jobs
jobs
Persons
Persons with
with disabilities
disabilities
problems
problems with
with accessibility
accessibility continue
continue

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External Environmental Influences

Technology (1 of 2)

increase
increase in
in technical
technical and
and professional
professional jobs
jobs
decrease
decrease in
in traditional
traditional blue-collar
blue-collar jobs
jobs
labour
labour force
force training
training has
has not
not kept
kept pace
pace
creates
creates anxiety,
anxiety,resentment
resentment and
and alienation
alienation

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External Environmental Influences

Technology (2 of 2)
unions
unions concerned
concerned about
about job
job displacement
displacement
and
and health
health hazards
hazards
right
right to
to privacy
privacy and
and ethical
ethical issues
issues
has
has promoted
promoted egalitarianism
egalitarianism
many
many firms
firms have
have Human
Human Resources
Resources
Information
Information System
System (HRIS)
(HRIS)
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External Environmental Influences

Government
must
must stay
stay abreast
abreast of
of new/changing
new/changing laws
laws
ensure
ensure policies
policies and
and practices
practices comply
comply
with
with laws
laws
maintain
maintain efficiency
efficiency and
and effectiveness
effectiveness while
while
complying
complying

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External Environmental Influences

Globalization (1 of 2)
tendency
tendency of
of firms
firms to
to extend
extend business
business
operations
operations abroad
abroad
emergence
emergence of
of one
one world
world economy
economy
increased
increased international
international competition
competition

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External Environmental Influences

Globalization (2 of 2)
Multinational
Multinational corporations:
corporations:
conduct
conduct business
business around
around the
the world
world
seek
seek cheap,
cheap, skilled
skilled labour
labour

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History of HRM

Human Resources Movement

Human Relations Movement

Scientific Management
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History of HRM
Scientific
Scientific Management
Management
Frederick
Frederick Taylor
Taylor
concern
concern for
for production
production
emphasis
emphasis on
on efficiency
efficiency
performance-based
performance-based pay
pay
impersonal,
impersonal, dehumanizing
dehumanizing

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History of HRM
Human
Human Relations
Relations Movement
Movement
Hawthorne
Hawthorne studies
studies
concern
concern for
for people
people
emphasis
emphasis on
on communication
communication
treat
treat employees
employees with
with dignity
dignity and
and respect
respect
oversimplified
oversimplified view
view of
of motivation
motivation

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History of HRM
Human
Human Resources
Resources Movement
Movement
joint
joint focus
focus on
on people
people and
and productivity
productivity
motivation
motivation through
through job
job design
design
acknowledges
acknowledges individual
individual differences
differences
employees
employees seen
seen as
as aa competitive
competitive
advantage
advantage

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History of HRM
Phases in the Human Resources Movement
Phase
Phase4:
4: Strategic
StrategicHuman
Human Resources
Resources
Phase 3: Human Resources Management
Phase 2: Personnel Management
Phase 1: Personnel Administration
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Growing Professionalism in HRM

self-regulation
self-regulation
code
code of
of ethics
ethics
common
common body
body of
of knowledge
knowledge
certification
certification of
of members
members

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HR Management Challenges in the

Twenty-First Century
-formulate and implement corporate
strategy
-improve service and product quality
-increase responsiveness to change
-build employee engagement

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Role of HR as a Strategic Partner

Role in Formulating
Strategy
environmental
scanning
competitive
intelligence

Role in Executing
Strategy
formulate effective HR
procedures
execute downsizing
and restructuring
create effective employeemanagement
relationships

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