Competitive Advantage of HRM
Competitive Advantage of HRM
Competitive Advantage of HRM
HRM
In HR we deal with issues such as pre-selection, selection, and post-selection Pre-selection we planorganizations decide what types of jobs are going to exist and what are the qualifications. During the selection phase, the organization selects the employees:
Recruiting applicants Assessing their qualifications Selecting those most qualified
HRM
Post-selection phase the organization develop sound HR practices for effectively managing their key talent The firm provides them with training and development opportunities to have the necessary skills to perform at satisfactory levels. (Mission, Vision, Strategic Business Objectives)
HRM
Chapter 3 we talk about HR Planning. Here managers anticipate and meet changing needs relating to acquisition, deployment, and utilization of its employees The strategic planning process takes shape here Demand and supply forecasting we determine the number and types of employees we need (i.e. electrical engineers recruitment process)
HRM
Chapter 4 we discuss job analysis a process for gathering, analyzing and documenting information about specific jobs Steps: --Determining job qualifications for recruitment purposes --Choosing the most appropriate selection techniques --Developing training programs
HRM
Steps: --Developing performance appraisal rating forms --Helping to determine pay rates --Setting performance standards for productivity improvement programs (i.e. assessment testing for administrative positions)
HRM
Selection Practices we mean policies and procedures used by organizations to staff positions Chapter 5 Recruitment to locate and attract applicants for specific positions (local, regionally, or nationally)/ internally Our goal is to identify a suitable pool of applicants quickly, cost efficiently, and legally
HRM
Selection involves assessing and choosing job candidates. Again this process needs to be sound and legal HRM Post-Selection Practicesthese practices maintain or improve a companys workers job performance levels:
Training & Development (Chapter 7) planned learning experiences that teach workers to perform their current or future jobs effectively
HRM
Training focuses on ones current job and development focuses on possibly preparing employees for future jobs. What is the organizational goal? The improvement of organizational performance to meet/exceed goals and objectives
HRM
HRM Post-Selection Practices:
--Performance Appraisal (Chapter 8)
job performance and communicate on an on-going basis (how of performance, what of performance and development plan) --Decisions on promotions, demotions, discharges, and pay raises
HRM
Compensation (Chapter 9) --entails pay and benefits. Pay refers to the wage or salary an employee earns --Benefits are a form of compensation in addition to pay, such as health insurance or employee discounts --Goal is to maintain a competent and loyal workforce at an affordable cost
HRM
Productivity Improvement Programs (Chapter 10) --Tie behavior to rewards. We can have financial rewards (e.g., bonuses, pay raises) or non-financial (i.e., improved job satisfaction) --Goal of such programs is to motivate employees to engage in appropriate behaviors
HRM
HRM is also influenced by external factors --Legal & Environmental Issues (Chapter 2) --federal, state and local laws (rights to fair and safe treatment) --selection process must be conducted by the book (what are the needed job qualifications and choose selection methods that accurately measure those qualifications
HRM
Social, economic, and technological events that influence HRM: --cultural diversity of workforce --work and family issues --part-time temporary workers --emphasis on quality and teamwork --mergers and acquisitions --downsizing and layoffs --rapid advances in technology --continuous quality improvement --high rate of illiteracy in the workforce
HRM
How do these events influence HRM? --families-through maternity leave, child care, flextime, and job sharing --older workers through skill upgrading and training handle new techniques --educating employees on basic reading and writing, and math skills keep up with rapidly advancing technologies (Motorola)
HRM
Workplace Justice Laws (Chapter 11)
Addresses the issue of employee rightstreat workers in a non-discriminatory manner
--workplace rules, disciplinary and discharge procedures Union Influences (Chapter 12)
Adherence to written contracts (i.e., discipline, promotions, grievance procedures, and overtime allocations
HRM
Safety & Health Concerns (Chapter 13)
Legal, social, and political pressures on organizations to ensure the health and safety of their employees Wellness and Employee Assistance Programs
(EAP)
HRM
International Influences (Chapter 14)
Globalization has required companies to enter foreign markets in order to compete as part of the globally interconnected set of business markets Managers need to be more globally oriented (i.e., understanding foreign cultures and languages and the dynamics of foreign marketplaces)
HRM
Who is responsible for Developing & Implementing HRM Practices?
Most companies have an HRM department but there is a shared partnership with the line organization (Reviews HR Models) Effective managers attempt to solve HR problems by: --providing input into the selection decisions --trying to supervise people in a way that creates a team feeling
HRM
Effective managers attempt to solve HR problems by: --providing training and coaching --providing opportunities for employee advancement --providing flexible scheduling for students and other part time workers
HRM
HR consults to the line organization Managers carry out many procedures and methods devised by HR professionals: --Interview job applicants --Provide orientation, coaching, and onthe-job training --Provide and communicate job performance ratings --Recommend salary increases
HRM
Managers carry out many procedures and methods devised by HR professionals: --Carry out disciplinary procedures --Investigate accidents --Settle grievance issues Gaining a competitive advantage: --Cost leadership strategyfirm provides the same services or products as its competitors, but produces them at a lower cost (Class discussion)
HRM
Gaining a competitive advantage:
Product differentiationoccurs when a firm produces a product or service that is preferred by buyers: --creating a better quality product or service than its competitors --providing innovative products or services that are not offered by its competitors --choosing a superior locationone more accessible to customers --promoting and packaging its product to create the perception of higher quality