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Chapter 1
Human Resource Management:
Gaining a Competitive Advantage
1-2
Introduction
Competitiveness a companys
ability to maintain and gain market
share
Human resource management
the policies, practices, and systems
that influence employees behavior,
attitudes, and performance
1-3
.
Responsibilities of HR
Departments
Employment and recruiting
Training and development
Compensation
Benefits
Employee services
Employee and community
relations
Personnel records
Health and safety
Strategic planning
1-4
What Roles Do
HR Departments Perform?
Business
Partner Services
Administrative
Services and Transactions Human Strategic Partner
Resources
1-5
What Competencies Do HR
Professionals Need?
1-6
How is the HRM Function
Changing?
Time spent on administrative tasks is decreasing
and its roles as a strategic business partner,
change agent, and employee advocate are
increasing
This shift presents two important challenges:
Self-service giving employees online access to
information about HR issues
Outsourcing the practice of having another
company provide services
1-7
How is the HRM Function
Changing?
As part of its strategic role, one of the key
contributions that HR can make is to
engage in evidence-based HR.
Evidence-based HR demonstrating
that human resource practices have a
positive influence on the companys
bottom line or key stakeholders.
1-8
The HRM Profession
1-9
Competitive Challenges
Influencing HRM
Three competitive challenges that
companies now face will increase the
importance of HRM practices:
The Challenge of
Sustainability
The Global
Challenge
The Technology
Challenge
1-10
The Sustainability Challenge
1-11
The Sustainability Challenge
1-12
The Sustainability Challenge
Psychological contract
1-14
The Balanced Scorecard
1-15
The Balanced Scorecard
1-16
Customer Service and
Quality Emphasis
1-17
Customer Service and
Quality Emphasis
Malcolm Baldrige National
Quality Award
ISO 9000:2000
1-18
Changing Demographics
Diversity of the Workforce
1-19
Managing a Diverse Workforce
1-21
Legal and Ethical Issues
Ethical HR practices:
HRM practices must result in the
greatest good for the largest
number of people
Employment practices must
respect basic human rights of
privacy, due process, consent,
and free speech
Managers must treat employees
and customers equitably and
fairly
1-22
The Global Challenge
1-23
The Technology Challenge
1-24
The Technology Challenge
1-25
The Technology Challenge
1-26
Meeting Competitive Challenges
Through HRM Practices
HRM practices that help
companies deal with the four
competitive challenges can
be grouped into four
dimensions
The human resource
environment
Acquiring and preparing human
resources
Assessment and development of
human resources
Compensating human resources
1-27
Meeting Competitive Challenges
Through HRM Practices
Managing internal and external
environmental factors allows employees
to make the greatest possible contribution
to company productivity and
competitiveness
Customer needs for new products or
services influence the number and type of
employees businesses need to be
successful
1-28
Meeting Competitive Challenges
Through HRM Practices
Managers need to ensure that employees
have the necessary skills to perform
current and future jobs.
Besides interesting work, pay and
benefits are the most important incentives
that companies can offer employees in
exchange for contributing to productivity,
quality, and customer service
1-29