A Framework for Human Resource

Management,
4th ed.
Gary Dessler
2006 Prentice Hall

Managing Human Resources

Today
Ch 1

2006 Prentice Hall

When you finish studying this chapter, you should be

able to:

Answer the question, What is human

resource management?
Discuss the components of the
changing environment of human
resource management.
Describe the nature of strategic
planning
Give examples of human resource
managements role as a strategic
partner
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What is Human Resource

Management?
Human resource (HR) management
refers to the practices and policies
you need to carry out the personnel
aspects of your management job

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Human Resource Management

Conducting job analyses
Planning labor needs and recruiting job
candidates
Selecting job candidates
Orienting and training
new employees
Managing wages and
salaries

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Human Resource Management

Providing incentives and benefits
Appraising performance
Communicating
Training and developing
Building employee commitment

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What a Manager Should Know About

Equal opportunity, ethics, and
affirmative action
Employee health and safety, and
ethical treatment
Grievance and labor relations

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Why is HR Management Important to All

Managers?
Personnel mistakes you dont want to make -

Hiring the wrong person for the job

Experiencing high turnover
Finding employees not doing their
best
Having your company taken to court
because of your discriminatory
actions
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Why is HR Management Important to All

Managers?

Getting results is the bottom line of

managing, and as a manager, you will
have to get these results through
people

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Line Versus Staff Authority

Authority is the
right to make
decisions, to
direct the work
of others, and to
give orders

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Line Versus Staff Authority

Line managers are authorized to give
orders

Staff managers assist and advise

line managers in accomplishing these
goals

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Line Managers HR
Responsibilities
Placing the right person in the right
job
Starting new employees in the
organization
Training employees for jobs that are
new to them

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Human Resource Departments

Management Responsibilities
Compensation and
benefits
Recruiting
Training &
development
Job analysis

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HRs Changing Role

Employers want personnel to
address strategic issues involving the
competitiveness and performance of
the firm
More than the role of protector

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HRs Changing Environment

Globalization refers to firms tendency to
extend their sales, ownership, and/or
manufacturing to new markets abroad

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HRs Changing Environment

Technological Advances
Nature of Work

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HRs Changing Environment

Growing
emphasis on
knowledge
workers and
human capital

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HRs Changing Environment

Managers need new world-class HR
management systems and skills to get
employees to work more like
committed partners

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HRs Changing Environment

Increase in the unskilled workforce
High rates of immigration
Shift to non-traditional workers
Aging of the workforce

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What does this mean?

Flexible hours and childcare
Part time work arrangements
Literacy training
Eldercare benefits

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HRs Strategic Challenges

Provide a set of services that make
sense in terms of
the companys
strategy

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HRs Strategic Challenges

A strategy is the companys plan for
how it will balance its internal
strengths and weaknesses with
external opportunities and threats in
order to maintain a competitive
advantage

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HRs Strategic Challenges

HR must be more involved in

designingnot just implementing
companies strategies

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Basics of Strategic Planning

Corporate-level strategy
Identifies the portfolio of businesses
that comprise the company and the
ways in which these businesses relate
to each other

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Basics of Strategic Planning

Business-level/competitive strategy
Identifies how to build and strengthen
the businesss long-term competitive
position in the marketplace

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HR and Competitive Advantage

Competitive advantage means any
factors that allow an organization to
differentiate its product or service
from those of its competitors to
increase market share

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Basics of Strategic Planning

Functional strategies
Identify the basic courses of action
that each of the businesss
departments will pursue

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HR as Competitive Advantage
Distinctive competencies are obtained
through highly developed employee
skills, distinctive
organizational cultures,
management
processes,
and systems

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Strategic Human Resource

Management
The linking of HRM with strategic goals
and objectives in order to improve
business performance

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Linking Corporate and HR

Strategies

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HRs Roles as a Strategic Partner

HR management is in a good position
to supply competitive intelligence that
may be useful in the strategic planning
process

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HRs Role in Formulating

Strategy
HR participates by supplying
information regarding the companys
internal human strengths and
weaknesses

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HRs Role in Executing Strategy

Out-placing employees
Instituting pay-for-performance
plans,
Reducing health care costs, and
Retraining employees

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High Performance Work System

Focus more on instituting human
resource policies and practices that
improve employee and organizational
performance
Benchmark based

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The HR Scorecard
HR creates value by engaging in
activities that produce the employee
behaviors the company needs to
achieve these strategic goals

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The HR Scorecard
Shows the metrics
the firm uses to
measure HR
activities

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HR and Technology
Self-service
Call centers
Productivity
improvement
Outsourcing

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HRIS
HR Portals
provide
employees with a
single gateway to
all HR
information

2006 Prentice Hall

Streamline the
HR process and
enable HR
managers to
focus more on
strategic issues