MASTER OF TECHNOLOGY MANAGEMENT
HUMAN RESOURCE MANAGEMENT
(2010 – 2012 SEMESTER II)
CEPT UNIVERSITY
FACULTY OF APPLIED MANAGEMENT
DR KSB NAYAR
[email protected]
MODULE I
HUMAN RESOURCE MANAGEMENT – AN INTRODUCTION
SESSION 1: HUMAN RESOURCE MANAGEMENT – AN INTRODUCTION
IMPORTANCE OF PEOPLE IN ORGANIZATIONS
MANAGING HUMAN TALENT TO ACHIEVE ORGANIZATIONAL OBJECTIVES
COMPETITIVE ADVANTAGE: ATTRACT/SELECT/DEPLOY/DEVELOP TALENT
RELEVANCE OF HR TO LINE MANAGERS AND HR FUNCTION ALIKE
UNDERSTANDING HUMAN BEHAVIOR – HAVING KNOWLEDGE ABOUT SYSTEMS AND
PRACTICES – BUILDING SKILLED AND MOTIVATED WORKFORCE
BE AWARE OF ECONOMIC, TECHNOLOGICAL, SOCIAL AND LEGAL ISSUES THAT
FACILITATE OR CONSTRAIN EFFORTS TO ACHIEVE GOALS
EMPLOYEE SKILLS, KNOWLEDGE AND ABILITIES: MOST DISTINCTIVE AND RENEWABLE
RESOURCE
“COMPETING THROUGH PEOPLE” AS A THEME; MANAGERS FOCUS ON SPECIFIC
CHALLENGES AND ISSUES ON DAY-TO-DAY BASIS
WE SHALL CLASSIFY THEM AS “COMPETITIVE CHALLENGES” OR
“EMPLOYEE CONCERNS”
HRM ROLE IN GETTING MOST FROM EMPLOYEES AND PROVIDING A WORK
ENVIRONMENT TO MEET SHORT-TERM AND LONG-TERM NEEDS
MODULE I
HUMAN RESOURCE MANAGEMENT – AN INTRODUCTION
COMPETITIVE CHALLENGES AND HUMAN RESOURCE MANAGEMENT
CHALLENGE 1: GOING GLOBAL TO GROW AND PROSPER
COMPETITION AND COOPERATION WITH FOREIGN COMPANIES HAS BECOME AN
IMPORTANT FOCAL POINT FOR BUSINESSES
PARTNERING WITH FIRMS ELSEWHERE AND USING IT TO COORDINATE DISTANT PARTS
OF THEIR BUSINESSES
IMPACT OF INTERNATIONAL COMPETITION AND GLOBAL RECESSION
CORPORATE SOCIAL RESPONSIBILITY: TO ACT IN THE BEST INTEREST OF PEOPLE
AFFECTED BY ITS ACTIVITIES – HELPS BOTTOM-LINE AND HRM
HRM TODAY IS REQUIRED TO TAKE ON A MAJOR STRATEGIC ROLE AND ALIGN ITSELF
WITH BUSINESS STRATEGIES
HR PRACTICES ADDRESS CRITICAL ISSUES – ATTRACTING & RETAINING KEY TALENT,
CREATING AND MANAGING HIGH-PERFORMING CULTURES, MANAGING DIVERSITY
AMONG EMPLOYEES, EMPLOYING OLDER GENERATION TO INCREASE WORKFORCE
AND PROFITS
“GOING GLOBAL” IMPLIES BALANCING ISSUES RELATED TO DIFFERENT GEOGRAPHIES,
CULTURES, EMPLOYMENT LAWS & BUSINESS PRACTICES – A QUANTUM LEAP IN THE
COMPLEXITY OF HRM
MODULE I
HUMAN RESOURCE MANAGEMENT – AN INTRODUCTION
COMPETITIVE CHALLENGES AND HUMAN RESOURCE MANAGEMENT
CHALLENGE 2: EMBRACING NEW TECHNOLOGY
ADVANCEMENT IN INFORMATION TECHNOLOGY – COMPUTER NETWORKS,
UNLIMITED DATA STORED, RETRIEVED AND USED – RECORD KEEPING TO
COMPLEX CONTROL APPLICATIONS
USE OF INTERNET AND E-COMMERCE HAS BECOME THE ORGANIZATIONAL
CHALLENGE OF THE NEW MILLENNIUM
WEB TRANSFORMED TRADITIONAL BRICK-AND-MORTAR COMPANIES
“TOUCH LABOR” TO “KNOWLEDGE WORKERS” – EMPLOYEE RESPONSI-
BILITIES EXPAND – INCLUDE PLANNING, DECISION MAKING AND PROBLEM
SOLVING
TECHNOLOGY, TRANSPORTATION, COMMUNICATIONS AND UTILITIES TEND
TO SPEND THE MOST ON TRAINING
INFLUENCE OF TECHNOLOGY IN HRM – HR INFORMATION SYSTEM
HRIS AFFECTS ENTIRE WORKFORCE – HIRED, TRAINED AND PAID BY HR –
HRIS POTENT WEAPON FOR ADMIN COST REDUCTION, IMPROVING
PRODUCTIVITY, RESPONSE TIME, DECISION MAKING & CUSTOMER SERVICE
AREAS SUBSTANTIALLY BENEFITED THRU HRIS: PROCESS AUTOMATION,
RESOURCE UTILIZATION, QUICK HANDLING OF EMPLOYEE GRIEVANCES
AND TIMELY AND OBJECTIVE PERFORMANCE MANAGEMENT
MODULE I
HUMAN RESOURCE MANAGEMENT – AN INTRODUCTION
COMPETITIVE CHALLENGES AND HUMAN RESOURCE MANAGEMENT
CHALLENGE 3: MANGING CHANGE
“NO CHANGE MEANS CHANCE” – “SUCCESSFUL COMPANIES DEVELOP A CULTURE THAT
JUST KEEPS MOVING ALL THE TIME” – ROSABETH MOSS KANTER
CHANGE HAS BECOME A CORE COMPETENCY OF ORGANIZATIONS WHERE COMPETITION
IS GLOBAL AND INNOVATION IS CONTINUOUS
PROGRAMS LIKE TOTAL QUALITY, CONTINUOUS IMPROVEMENT, DOWNSIZING,
REENGINEERING AND OUTSOURCING AIM AT MODIFYING OPERATIONS
REACTIVE CHANGE (WHEN EXTERNAL FORCES AFFECT PERFORMANCE); AND PROACTIVE
CHANGE (TO TAKE ADVANTAGE OF TARGETED OPPORTUNITIES
MANAGING CHANGE INVOLVES ENVISIONING THE FUTURE, COMMUNICATING VISION
TO EMPLOYEES, SET CLEAR PERFORMANCE EXPECTATIONS AND DEVELOP CAPABILITY
TO EXECUTE BY REORGANIZING PEOPLE AND REALLOCATING ASSETS
KEY ELEMENTS TO BE BUILT INTO AN ORGANIZATION’S CHANGE MANAGEMENT
PLANNING ARE:
LINKING THE CHANGE TO BUSINESS STRATEGY
CREATE QUANTIFIABLE BENEFITS
ENGAGE KEY EMPLOYERS, CUSTOMERS AND SUPPLIERS
INTEGRATE REQUIRED BEHAVIOR CHANGES
LEAD CLEARLY, UNEQUIVOCALLY AND CONSISTENTLY
INVEST TO IMPLEMENT AND SUSTAIN CHANGE
COMMUNICATE CONTINUOUSLY AND PERSONALLY
SELL COMMITMENT TO THE CHANGE (NOT COMMUNICATION ABOUT CHANGE)
MODULE I
HUMAN RESOURCE MANAGEMENT – AN INTRODUCTION
COMPETITIVE CHALLENGES AND HUMAN RESOURCE MANAGEMENT
CHALLENGE 4: MANGING TALENT, OR HUMAN CAPITAL
“COMPETE THROUGH PEOPLE” HIGHLIGHTS THAT SUCCESS INCREASINGLY DEPENDS
ON ORGANIZATION’S ABILITY TO MANAGE TALENT OR HUMAN CAPITAL
HUMAN CAPITAL DESCRIBES THE ECONOMIC VALUE OF EMPLOYEES’ KNOWLEDGE,
SKILLS AND CAPABILITIES – THOUGH NOT REFLECTED IN BALANCE SHEET
HUMAN CAPITAL IS INTANGIBLE, ELUSIVE AND CANNOT BE MANAGED AS JOBS,
PRODUCTS AND TECHNOLOGIES – EMPLOYEES OWN THEIR OWN HUMAN CAPITAL
TO BUILD HUMAN CAPITAL, MANAGERS MUST CONTINUE TO DEVELOP SUPERIOR
KNOWLEDGE, SKILLS AND EXPERIENCE WITHIN THEIR WORKFORCE
FOCUS ON IDENTIFYING, RECRUITING AND HIRING BEST AND BRIGHTEST TALENT;
TRAINING PROGRAMS; AND DEV OPPORTUNITIES FOR SKILL ENHANCEMENT
ORGNS SHOULD FIND WAYS OF USING THE KNOWLEDGE THAT CURRENTLY EXISTS
DEVELOPMENTAL ASSIGNMENTS INVOLVING TEAMWORK IS A VALUABLE WAY OF
FACILITATING KNOWLEDGE EXCHANGE AND MUTUAL LEARNING
EFFECTIVE COMMUNICATION (FACE-TO-FACE OR THROUGH INF TECH) IS
INSTRUMENTAL IN SHARING KNOWLEDGE AND MAKING IT WIDELY AVAILABLE
HR AND LINE MANAGERS HAVE IMPORTANT ROLE IN CREATING AN ORGANI-ZATION
THAT UNDERSTANDS VALUE OF KNOWLEDGE, DOCUMENTS SKILLS AND CAPABILITIES
AND IDENTIFIES WAYS OF UTILIZING SUCH KNOWLEDGE
MODULE I
HUMAN RESOURCE MANAGEMENT – AN INTRODUCTION
COMPETITIVE CHALLENGES AND HUMAN RESOURCE MANAGEMENT
CHALLENGE 5: RESPONDING TO MARKET CONDITIONS
MANAGERS MUST MEET CUSTOMER REQUIREMENTS OF QUALITY, INNOVATION,
VARIETY AND RESPONSIVENESS, TO BE WINNERS IN THE MARKET PLACE
MANAGEMENT INNOVATIONS LIKE TQM (DEVELOPED BY DR DEMING) AND PROCESS
REENGINEERING ARE TWO COMPREHENSIVE APPROACHES HAVING HR IMPLICATIONS
TQM IS A SET OF PRINCIPLES AND PRACTICES WHOSE CORE IDEAS INCLUDE
UNDERSTANDING CUSTOMER NEEDS, DOING THINGS RIGHT THE FIRST TIME, EVERY
TIME AND STRIVING FOR CONTINUOUS IMPROVEMENT (KAIZEN)
SIX SIGMA INCLUDES MAJOR CHANGES IN MANAGEMENT PHILOSOPHY AND HR
PROGRAMS. IT IS A STATISTICAL METHOD OF TRANSLATING CUSTOMER’S NEEDS INTO
SEPARATE TASKS AND DEFINING THE BEST WAY OF PERFORMING EACH TASK IN
CONCERT WITH OTHERS
MOST QUALITY IMPROVEMENT TECHNIQUES STRESS EMPLOYEE MOTIVATION,
CHANGE IN CORPORATE CULTURE AND EMPLOYEE EDUCATION. FOR TQM TO BE
EFFECTIVE, MANAGERS MUST MAKE MAJOR CHANGES IN APPROACH AND PROGRAMS
ORGANIZATIONS KNOWN FOR PRODUCT AND SERVICE QUALITY STRONGLY BELIEVE
THAT EMPLOYEES ARE KEY TO QUALITY
HR PROGRAMS ARE ESSENTIAL TO PROGRAMS SUCH AS SIX SIGMA IS THAT THEY HELP
BALANCE TWO OPPOSING FORCES
REENGINEERING IS ‘FUNDAMENTAL RETHINKING AND REDICAL REDESIGN OF
BUSINESS PROCESSES TO ACHIEVE DRAMATIC IMPROVEMENTS IN COST, QUALITY,
SERVICE AND SPEED.” – EFFECTIVE LEADERSHIP & COMMUNICATION PROCESS, A MUST
MODULE I
HUMAN RESOURCE MANAGEMENT – AN INTRODUCTION
COMPETITIVE CHALLENGES AND HUMAN RESOURCE MANAGEMENT
CHALLENGE 6: CONTAINING COSTS
PRESSURES ON COMPANIES TO LOWER COSTS AND IMPROVE PRODUCTIVITY
HR MANAGERS, LIKE OTHERS, ARE UNDER PRESSURE TO SHOW MANAGEMENT THE
“BOTTOM LINE” FINANCIAL RESULTS THAT HR ACHIEVES
LABOR COSTS IS AMONG LARGEST EXPENDITURES, PARTICULARLY IN SERVICE AND
KNOWLEDGE-INTENSIVE COMPANIES; HEALTHCARE COSTS ARE AMONG ADDED COSTS
WHICH ARE OFTEN SHIFTED TO EMPLOYEES
DOWNSIZING IS PLANNED ELIMINATION OF JOBS. GLOBALIZATION RESULTED IN
INTENSE COMPETITION. TO MEET SHAREHOLDER EXPECTATIONS, COMPANIES ARE
COMPELLED TO REDUCE DIRECT COSTS. NO COMPROMISE ON QUALITY
OUTSOURCING IS HIRING SOMEONE OUTSIDE THE COMPANY (WITH LESSER COST) TO
PERFORM TASKS THAT COULD BE DONE INTERNALLY. EXAMPLES: FIN SERVICES,
ADVERTISING, MAINTENANCE, SECURITY, CATERING AND PAYROLL
OFFSHORING (GLOBAL SOURCING) RESULTS IN SUBSTANTIAL COST REDUCTION.
EXAMPLE: COMPANIES SAVE 40-60% OF LABOR COSTS BY OFFSHORING WORK TO
COUNTRIES LIKE INDIA AND OTHER COUNTRIES IN THE REGION
EMPLOYEE LEASING WITH PROFESSIONAL EMPLOYER ORGANIZATIONS TAKES OVER
MANAGEMENT OF A SMALL COMPANY’S HR TASKS AND BECOMES A CO-EMPLOYER OF
ITS EMPLOYEES. YET ANOTHER COST SAVING INITIATIVE
LEASING WORKFORCE ENABLES A COMPANY SUPPLEMENT ITS WORKFORCE DURING
PEAK PERIODS, REPLACE ‘LEAVE VACANCIES’ OR SUDDEN TERMINATIONS
EMPLOYEE PRODUCTIVITY IS RESULT OF COMBINATION OF EMPLOYEES’ ABILITIES,
MOTIVATION, WORK ENVIRONMENT AND TECHNOLOGY
