human resource mgmt ch 01 - r.ppt
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Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall 1-1
Human ResourceManagement
Chapter One
Managing Employees for
Competitive Advantage
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People Management
Enables a company to:
Attract, develop and retain talented
employees Motivate employees to work hard and
contribute to companys success
Maintain and enhance a competitive
advantage through its employees
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Key Terms
HR practicestools a company uses to
manage employees
Line managerindividuals responsible forsupervising and directing a group of
employees to perform tasks
HR departmentsupport function that
designs and implements company policies formanaging employees
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Competitive Advantage
A companys ability to create more economic
value than its competitors
Accomplished through:managing employees effectively
training employees in skills they need
making employees feel valuedmotivating employees to be productive
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Primary HR Activities
Work design and workforce planning
Managing employee competencies Managing employee attitudes and
behaviors
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Work Design and
Workforce Planning
What employees do, ensuring the right
people are in the right place at the right time
How jobs are interconnected and aligned withthe companys objectives
How employees are allocated
When outsourcing, reorganization or use ofcontingent labor is needed
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Managing Employee
Competencies
Assessing knowledge, skills, abilities and
other talents employees possess
Recruiting potential employees with desiredcompetencies
Selecting the best candidates based on
experience and/or personality
Training employees in skills they need for
current and future positions
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Motivating workers to improve their
performance Communicating performance criteria
aligned with organizational goals
Providing employees with feedback
Disciplining poor performers
Managing Employee
Attitudes and Behaviors
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HR Challenges
Organizational demandsstrategy, culture,
employee concerns
Environmental influenceslabor force trends,
globalization, technology, ethics and social
responsibility
Regulatory issueslegislation protecting
rights of individuals and the company withregard to employment processes
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Compensation and Incentives
Includes base pay, rewards and incentives
May be performance-based or based on
seniority or both
Motivates employees if viewed as fair for the
job they perform
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Benefits, Health, and Wellness
Required by law: Social Security
Workers Compensation
Family and Medical Leave Compliance with OSHA
Voluntary:
Paid time off Health care
Retirement programs
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HR Alignment Activities
Internal Alignmentpractices within each HR
activity are consistent with each other
External Alignmentpractices work in
concert with one another as well as with
external challenges companies face
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Strategic Challenges
Companys strategy influences types of jobs
needed
Low-cost leader, example: Wal-Mart Differentiation, example: Nordstrom
Four-star restaurant vs. fast food
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Company Characteristics
Size
Resources available
Degree of autonomy and discretion Differences in job tasks
Employee attitudes and behaviors
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Organizational Culture
Set of underlying values and beliefs
employees share
Unwritten yet understood
Represents beliefs of companys founders
and key leaders
Influences how employees do their jobs
Can assist in attracting and retaining
employees
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Employee Concerns
Single parents; caring for aging parents
Dual career; balancing demands of work andpersonal lives
Attracted by flexible scheduling, family-
friendly benefits and telecommuting
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Environmental Influences
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Labor Force Trends
Diverse in race, gender and age
Number of women expected to grow 9% from
2006 to 2016
Fastest-growing group: Hispanics and Asians
Size of group 55-and-older increasing
dramatically
Influences how companies recruit/select
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Technology
Requires many employees to possess basic
computer proficiency
Challenges privacy issues and potential
misuse by employees
Broadens access to recruit employees from
larger market
Enables virtual workforce
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Globalization
Blurs country boundaries in businessactivities
Enables international joint ventures and
partnerships Challenges companies with differences in
values and beliefs
Encourages offshoringsending work onceperformed domestically to other countries forlower costs
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Ethics and Social Responsibility
Companies and their management being held
accountable for ethical behavior
Corporate policies and procedures spell out
ethical behavior
Annual training required of employees
Social Responsibility takes ethics to a new
level
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Regulatory Issues
Federal, state, and local legislation as well as
executive orders
Employment and the rights of individuals
Title VII of the Civil Rights Act of 1964
Americans with Disabilities Act of 1990
OSHA Civil Rights Act of 1992
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Plan for this Book
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Overview of Chapters
Chapters 1-3 HR Challenges
Chapters 4-5 Work Design and
Workforce Planning Chapters 6-8 Managing Employee
Competencies
Chapters 9-12 Managing EmployeeAttitudes and Behaviors
Chapters 13-14 Special Topics
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All rights reserved. No part of this publication may bereproduced, stored in a retrieval system, or transmitted,
in any form or by any means, electronic, mechanical,photocopying, recording, or otherwise, without the priorwritten permission of the publisher. Printed in the United
States of America.
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