Fundamentals of Human

Resource Management
Eighth Edition

DeCenzo and Robbins

Chapter 1
Introduction to of HRM
LEARNING OUTCOMES
1. Explain what human resource management is and how
it relates to the management process.
2. Show with examples why human resource management
is important to all managers.
3. Illustrate the human resources responsibilities of line
and staff (HR) managers.
4. Briefly discuss and illustrate each of the important
trends influencing human resource management.
5. List and briefly describe important trends in human
resource management.
6. Define and give an example of evidence-based human
resource management.
7. Outline the plan of this book.
1–2
• 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.
• Human Resource Management
– Activities designed to provide for and coordinate
the human resources of an organization
– Traditionally referred to as personnel administration
or personnel management
HRM:
• places more emphasis on strategic fit and
integration,
• is based on a management and business oriented
philosophy,
• places more emphasis on mutuality,
• is more holistic,
• specialists are more like business partners than
administrators,
• treats people as assets and not only costs.
• Quoted: "When a difference between personnel management and
human resources is recognized, human resources is described as much
broader in scope than personnel management.
• Human resources is said to incorporate and develop personnel
management tasks, while seeking to create and develop teams of workers
for the benefit of the organization. A primary goal of human resources is
to enable employees to work to a maximum level of efficiency.
• Personnel management can include administrative tasks that are both
traditional and routine. It can be described as reactive, providing a
response to demands and concerns as they are presented. By contrast,
human resources involves ongoing strategies to manage and develop an
organization's workforce. It is proactive, as it involves the continuous
development of functions and policies for the purposes of improving a
company's workforce. Personnel management is often considered an
independent function of an organization. Human resource management,
on the other hand, tends to be an integral part of overall company
function.
• Human resource planning – identifying the
numbers and types of employees the
organization will require to meet its objectives.
• The organization may turn to its HR
department for help in managing the change
process.
• Skilled HR professionals can apply knowledge
of human behavior, along with performance
management tools, to help the organization
manage change constructively.
• HR creates value by engaging in activities that
produce the employee behaviors that the company
needs to achieve its strategic goals.
1-2Slia

Employee
Skills
Design of Productivity
Business Human Employee Improved Profits
Market
and Strategic Resource Motivation Creativity Operating and
Value
Initiatives Management Performance Growth
System Job Design Discretionary
& Work Effort
Structures

Source: Becker, B.E., Huselid, M.A., Pickus, P.S. and Spratt, M.F. (1997). HR as a source of shareholder value: Research and
recommendations. Human Resource Management 36, 39-48. Copyright 1997. Reprinted with permission John Wiley & Sons, Inc.
605 Third Ave., New York, NY 10157-0228.
 Planning

Controlling Organizing

Leading Staffing
 Acquisition

Fairness Training

Human Resource
Management
(HRM)
Health and Safety Appraisal

Labor Relations Compensation

• The role of human resource managers has
changed. HRM jobs today require a new level of
sophistication.
– Federal and state employment legislation has placed
new requirements on employers.
– Jobs have become more technical and skilled.
– Traditional job boundaries have become blurred with
the advent of such things as project teams and
telecommuting.
– Global competition has increased demands for
productivity.
• The Strategic Nature – HRM must be
– a strategic business partner and represent
employees.
– forward-thinking, support the business
strategy, and assist the organization in
maintaining competitive advantage.
– concerned with the total cost of its function
and for determining value added to the
organization.
• HRM is the part of the organization
concerned with the “people” dimension.
• HRM is both a staff, or support function
that assists line employees, and a function
of every manager’s job.
 Globalization
and Competition
Trends

Indebtedness
(“Leverage”) and Technological
Deregulation Trends
Trends in HR
Management
Workforce and
Trends in the
Demographic
Nature of Work
Trends

Economic
Challenges and
Trends
FIGURE 1–4 Trends Shaping Human Resource Management

1–18
• Strategic Environment
• Governmental Legislation
• Labor Unions
• Management Thought
Four basic
functions:
• Staffing
• Training and
Development
• Motivation
• Maintenance
 The New Human Resource
Managers

Acquire broader
Focus more on Find new ways
business
“big picture” to provide
knowledge and
(strategic) transactional
new HRM
issues services
proficiencies
• HRM is the responsibility of every manager.
• The workforce is becoming increasingly diverse.
• Current economic challenges require that HR
managers develop new and better skills to effectively
and efficiently deliver and manage HR services.
• The intensely competitive nature of business today
means human resource managers must defend their
plans and contributions in measurable terms.
THANK YOU