Chapter 1 MANAGING

HUMAN RESOURCES

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 What do I Need to Know?

1. Define HRM

2. explain how HRM contributes to an organization’s

performance.

3. Identify the responsibilities of HR departments.

4. Explain the roles of supervisors in HRM.

5. Important skills and competencies for HR personnel.

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Human resource management (HRM)

Policies, practices, and systems that influence

employees’ behavior, attitudes, and performance.

The policies and practices involved in carrying

out the “people” or human resource aspects of
a management position, including recruiting,
screening, training, rewarding, and appraising.

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 Human Capital

An organization’s employees described in terms of their:

– training
– experience • HRs are valuable.
• HRs with needed skills and
– judgment
knowledge are sometimes rare.
– intelligence • HRs cannot be imitated.
– relationships • Human resources have no good
substitutes.
– Insight

Employees are not easily interchangeable and replaced.

Impact of HRM
At companies with effective HRM:

• Employees and customers tend to be more satisfied.

• The companies tend to:

– be more innovative
– have greater productivity
– develop a more favorable reputation in the community
Important HRM practices

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Analyzing and Designing Jobs
Job Analysis
The process of getting
detailed information about
jobs.
Recruiting and Hiring Employees

Recruitment Selection
The process through • The process by which the
which the organization organization attempts to identify
seeks applicants for applicants with the necessary
potential employment. knowledge, skills, abilities, and
other characteristics that will help
the organization achieve its goals.
Training & Developing Employees
Training
A planned effort to enable
employees to learn job-related
knowledge, skills, and
behavior.
Development
The acquisition of knowledge,
skills, and behaviors that
improve an employee’s ability
to meet changes in job
requirements and customer
demands.
Managing Performance

Performance Management
The process of ensuring that employees’ activities
and outputs match the organization’s goals.

• The HR department is responsible for developing or

obtaining forms and other devices for measuring
performance.
 Planning and Administering
Pay and Benefits
Planning Pay & Benefits
• How much to offer in salary
and wages.
• How much to offer in bonuses,
commissions, and other
performance-related pay.
• Which benefits to offer and
how much of the cost will be
shared by employees.
Administering Pay & Benefits
• Systems for keeping track of
employees’ earnings and
benefits are needed.
• Employees need information
about their benefits plan.
• Extensive record keeping
and reporting is needed.
 Maintaining Positive
Employee Relations
• Preparing and distributing:
– employee handbooks and policies
– company publications and newsletters

• Dealing with and responding to

communications from employees:
– questions about benefits & company policy
– questions regarding possible
discrimination, safety hazards, possible
harassment
Establishing and Administering
Personnel Policies

• Organizations depend on their HR department to help

establish and communicate policies related to:
– hiring
– discipline
– promotions
– Benefits

• All aspects of HRM require careful and discreet record

keeping.
Ensuring Compliance with Labor Laws

• Government requirements include:

– filing reports and displaying posters
– avoiding unlawful behavior

• Managers depend on HR professionals to help them

keep track of these requirements.
 Who Performs HRM Tasks?
• Human Resource Managers/executives/personnel
– Responsible for the HR functions
– Acts in advisory or staff capacity, works with other
managers to help them deal with HR matters

• Line Managers

• HR Outsourcing
Supervisors’ Involvement in HRM
 Interrelationships of HRM
Functions
Functional areas of HRM are not
separate and distinct.
All HRM functions are interrelated

Management must recognize decision in one area will affect other

areas.

Example:
Firm that focuses on recruitment and training but neglect providing good
compensation is wasting time, effort and money.
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Skills of HRM Professionals

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 Skills of HRM Professionals
Human relations skills:
• The ability to understand and work well with other people.
• HR personnel need to be skilled at communicating, negotiating, and
team development.
• Working in, building, and leading teams.
Decision-making skills:
• HR managers/personnel must make a wide variety of decisions that affect
people’s issues/aspects in organizations.
• Making decisions in a timely manner, taking into consideration all relevant
aspects of a situation such as social, financial, legal & ethical implications.
Leadership skills:
• HR people need to play a leadership role with regards to managing people
in organizations.
• Fulfillment of this role includes diagnosing problems, implementing
organizational changes, motivating and inspiring others.
Technical skills (specialized skills of the particular field):
In HRM, professionals need knowledge of HR practices in such areas as
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staffing, training and development, rewards and appraising performance.
THANK YOU

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