INTRODUCTION TO HRMLesson 1

LESSON OBJECTIVEINTRODUCTION

IMPORTANCE OF HRM

NATURE OF HRM

HR OBJECTIVES

HR FUNCTIONS

KEY HR CHALLENGES

HR ROLES AND COMPETENCIES NEEDED.

INTRODUCTIONHR manages the people who provide Competitive Advantage to

the organization.

Competitive Advantage- By offering skills, capabilities, systems and practices- By aligning HR plan with business plan HR is becoming strategic- Innovation is the key to competitive advantage which is been

provided by the human resource- HR function converts adverse situation into an opportunity- Organizational change and change agent

Human resource management is the function performed in an

organization that facilitates the most effective use of people

(employees) to achieve organizational and individual goals

WHAT IS HUMAN RESOURCE MANAGEMENT

It is the competence and attitude of the human resource that can

make or break a business.

Unlike other resources human resource is dynamic in nature

A nation with a rich human resource can develop fast.

Quality human resource are the asset to the organization and they are

the contributors to gain competitive advantage.

IMPORTANCE OF HRM

HRM refers to the application of management principles to

management of people in an organization !!!!

HRM consist of people-related function .

Building human capital is a major function of HR professionals

HRM necessitates alignment of HR policies and practices with

organizational strategies.

NATURE OF HUMAN RESOURCE MANAGEMENT

Who Is an HR Manager?

In the course carrying out their duties, every operating manager is, in essence, an HR manager.

HR specialists design processes and systems that operating managers help implement.

NATURE OF HUMAN RESOURCE MANAGEMENT

Acquiring Human

resources

Maintaining Human Resources

Developin

g Human

resources

NATURE OF HUMAN RESOURCE MANAGEMENT

SOCIETAL

ORGANISATIONAL

FUNCTIONAL

PERSONAL

HRM OBJECTIVES

Managerial

Functions

Planning

Organizing

Controlling

Directing

Operative Functions

Employment/staffing

Human Resource

Development

Compensation

Management

Human relations

HRM FUNCTIONS

Globalization of BusinessOutsourcing and increased competitionStockholder, employee, manager concerns?Is this socially responsible

Economic and Technological ChangesOccupational shifts from manufacturing and agriculture to service

industries and telecommunications.Pressures of global competition causing firms to adapt by

lowering costs and increasing productivity.

Technological Shifts and the Internet

--Growth of information technology.

HR CHALLENGES

Workforce Availability and Quality Concerns--Inadequate supply of workers with needed skills for “knowledge

jobs”--80% of manufacturing jobs report shortage of qualified workers

Growth in Contingent Workforce--Represents 20% of the workforce--Increases in temporary workers, independent contractors, leased

employees, and part-timers caused by: Need for flexibility in staffing levels Increased difficulty in firing regular employees. Reduced legal liability from contract employees

HR CHALLENGES

HR Management RolesAdministrative Role

Clerical and administrative support operations (e.g., payroll and benefits work) Technology is transforming how HR services are

delivered. Outsourcing HR services to reduce HR staffing

costs

Operational and Employee Advocate Role“Champion” for employee concerns

Employee crisis management Responding to employee complaints

Changing Roles of HR Management

Strategic Role for HREmployee Advocate RoleStrategic Role

“Contributing at the Table” to organizational results HR becomes a strategic business partner by:

Focusing on developing HR programs that enhance organizational performance.

Involving HR in strategic planning at the onset. Participating in decision making on mergers, acquisitions,

and downsizing. Redesigning organizations and work processes Accounting and documenting the financial results of HR

activities.

Operational to Strategic Transformation of HR

HR Management Competencies and Careers

Important HR CompetenciesStrategic contribution to organizational successBusiness knowledge of organization and its

strategiesEffective and effective delivery of HR servicesFamiliarity with HRMS technologyPersonal credibility

HR Management as a Career FieldHR Generalist

A person with responsibility for performing a variety of HR activities.

HR SpecialistA person with in-depth knowledge and

expertise in a limited area of HR.HR Manager

A person who is a line manager for HR Generalists and Specialists

ACTIVITYThere are certain mantras of management success. Best managed

companies are more employee-friendly, and focus on training and

fair remuneration. Find and list out top 5 Indian companies

known for best HR practices and also try to analyze what are the

key features that set them apart