HUMAN RESOURCE MANAGEMENT

CHALLENGES AND TRENDS

Dr.Kirti Shivakumar , KLS IMER , BELGAUM

WHAT IS HRM?
A process of bringing people and organisations together so that the goals of each other are met.
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.

HR Functions:
Planning Employee and Labor Relations Legal Compliance

Training and Development

Staffing Reward Systems

External Influences on HRM

Economic conditions Legal requirements and constraints Demographics Technology

General Economic Conditions

Global economy
Lower wage levels vs. quality and productivity Ethical issues and political considerations

Domestic factors
Move from manufacturing economy to service / information economy Mergers duplication of functions layoffs

Supply and demand of labor influences price Supply and demand of companys product, which determines available resources

Demographics
Supply of labor (number of people, skills, etc.)
New skills needed, but are they present in workforce? Basic skills availability?

Different needs of different groups in the population

Increasing number of women in paid workforce Dual-earner families Family friendly benefits Aging population

Legal Requirements and Constraints

Government now an intermediary in the relationship between employers and employees Legal requirements and constraints are usually a reflection of social attitudes and opinions

Technology
New jobs; old jobs vanish Need for new skills Need for continuous skills development Managing the HR function
Data management Employee communications

Outsourcing HR
Would it just make more sense to outsource HR functions? Many organizations are doing just this
Recordkeeping and administrative, perhaps Basic functions..

The Human Resource Cycle

The HR Functions

Can You Think of some 21st Century Trends?

Economic Environmental Legal Social Technological Cultural

Top 10 Overall Trends Affecting HR and the Workplace

1. 2. 3. 4. 5. Rise in healthcare costs Focus on domestic security Use of technology to communicate Complexity of legal compliance Use of technology to perform HR functions 6. Focus on global security 7. Preparing for next wave of retirement (i.e., labor shortage) 8. Use and development of elearning 9. Exploring of jobs to developing countries 10.Changing definition of family

Source: SHRM 2004-2005 Workplace Forecast Survey

The Affect of 21st Century Trends

How do these trends affect the following organizational issues?
Competition Growth or Decline Profitability Labor Availability Diversity Liability

The Role of HR in Organizations

Boosting Productivity Preparing the Organization for Change Building Employee Commitment and Morale Involvement in Determining and Implementing the Strategic Direction of the Organization

Trends for HR in the 21st Century

Becoming the employer of choice Winning the war for talent Contributing to the organization as a strategic business partner Cultivating leadership through e-learning and development Recognizing the workforce as a profit center Thinking globally while complying locally Incorporating flexibility and adaptability into the organization Embracing technology as the underlying facilitator

SHIFTS THAT ARE RE-SHAPING HR ROLES TO FROM

Local markets, operations Manufacturing, clerical work Hierarchy Intermediaries; face-to-face Obedience to formal authority Stability, efficiency, control Full time job Customer service Work done by employees Fixed work location Management prerogative Loyal service White, male workforce Financial performance Get a job Global markets, operations Service, knowledge work Networks Direct access, virtual relationship Questioning of formal authority Change, creativity, flexibility, order Part-time and project work Shareholder, stakeholder value Work done by many contributors Diverse work locations Social licence Marketable knowledge, skills Diverse workforce Triple bottom line Get a life

Competencies for 21st Century HR Professionals

Developing Effective Reward and Recognition Systems Creating and Becoming Transformational Leaders Engaging the Workforce in Continuous Change and Innovation Collaborating in Resolving of Strategic Problems Partnering with Community Groups and Business Organizations Encouraging Real Employee Involvement

Competencies for 21st Century HR Professionals

Coaching and Counseling Individuals and High Performance Teams Empowering and Facilitating Learning, Change, and Decision-making Creating the "Learning" Organization Designing Organizations, Processes, and Performance Systems Keeping Up-to-Date on Technological Advances in HR Applications Maintaining a Global Business Perspective

Lessons Learned..
As the environment of organizations, social structures, and workforce demographics change, so changes the required knowledge, skills, and abilities for human resource practitioners The most important skills for 21st century HR managers are conceptual and interpersonal, rather than technical