Strategic implications of dynamic HRM environment Ch 1

Strategic Implications of a Dynamic HRM Environment Learning Objectives

Cultural environment vs HRMPTechnology vs HRMChanges in work force compositionHRM n Labor Shortage Skills required for HRMWork process engineering n ImplicationsContingent work force n HRMEmployee involvement n work ethics

Introduction The world of work is rapidly changing HRM must be prepared to manage changeThis means understanding of; Implications of GlobalizationTechnological change Work force diversityLabor shortageChanging skill requirementsContinuous improvementContingent workforceDecentralized work sitesEmployee involvement

Understanding Cultural EnvironmentGlobal village Out-sourcing McDonalds SIEMENSToday many companies derive significant revenue from foreign countriesAll countries have different values, morals, customs, political n economic systems Eg. Status, in France its seniority n education, it is called Ascribed Status , in USA it is a achievement of individuals called Achieved Status

GLOBE Frame WorkGlobal Leadership n Organizational Behavior Effectiveness Status differentiation, Social Uncertainties, n Assertiveness provide basic Frame WorkFall of USSR, Merger of East n West Germany, end of apartheid in SA has lead to new dimensions of Cultural diversity n Harmony We need to understand it n redirect our thought processes

GLOBE Research 9 dimensions of Cultural Change Future OrganizationsGender Difference Uncertainty Avoidance Power DistanceIndividualism/CollectivismIn-group CollectivismPerformance OrientationHumane Orientation

Cultural Implications for HRMGlobalization or Americanization (US research for US companies , may not apply to the WorldThe changing world of technologyWhat is knowledge workerWhy the emphasis on technology

How Technology Affects HRMPRecruiting Employee selectionTraining n Development Ethics n Employee Rights Motivating Knowledge WorkersPaying employees Market ValueCommunicationsDecentralized work sites Skills levels n legal concerns

Workforce DiversityThe workforce todayHow Diversity Affects HRMWhat is Work-Life BalanceThe labor supplyDo We Have Shortage of Skilled Labor Why Do Organizations Lay off During Shortage How Do Organizations Balance Labor Supply

Continued Part-Time Employees

Temporary Employees

Contract Workers

Issues Contingent Workers Create For HRMLoyalty Second-class corporate citizenshipNo fringe benefitsMay feel un-important in the org.Less commitmentLess motivationTraining n development

CIP Continuous Improvement Program Intense focus on the customersImprovement for qualityAccurate evaluations n control systemsEmpowerment of employeesWork process engineering Development of processes Participation of employees 360 degree feed backRewards systems

How HRM Can Support Improvement Program HRM plays very important role in this fieldHRM prepares Individuals for the changeHRM helps affected employees overcome barriers that may result in resistance to change HRM trains employees in new methods n processes Ensures employee InvolvementHRM ensures ethical practices

Three Views of Ethics Utilitarian View of Ethics Decisions are made on the basis of their outcomesRights View Of EthicsRefers to protection individuals rights n privileges Theory of Justice View of EthicsRefers to fair n impartial DM

Q&A

Assignment # 1

DEVELOPMWENT OF RECURUITMENT PROCESS FOR A Multinational CO.Due date Third week