Chapter 1

Chapter 1

Essentials of Managing Human Resources 5ce Prepared By: Eileen Stewart Copyright 2014 by Nelson Education Ltd. 1 CHAPTER 1 The Challenges of HRM Copyright 2014 by Nelson Education Ltd.

2 LEARNING OUTCOMES Define human resources management (HRM) Identify the processes and practices of HRM Explain the importance of HRM to the line manager Discuss the relationship between the line manager and the HR practitioner Copyright 2014 by Nelson Education Ltd.

3 LEARNING OUTCOMES (continued) Describe current business issues facing organizations and the impact on people in organizations Outline the key demographic and employee concerns Illustrate the link between business strategy and HRM strategy Copyright 2014 by Nelson Education Ltd.

4 DEFINITION: HUMAN RESOURCES MANAGEMENT An integrated set of processes, programs, and systems in an organization that focus on the effective deployment and development of its employees Copyright 2014 by Nelson Education Ltd.

5 OVERALL FRAMEWORK FOR HRM Copyright 2014 by Nelson Education Ltd. 6 WHY STUDY HRM? Line manager is key link between employee and organization Line manager needs knowledge and understanding of HRM and how

practices influence the success of the organization Copyright 2014 by Nelson Education Ltd. 7 PARTNERSHIP BETWEEN MANAGER AND HR PROFESSIONAL Line Manager is responsible for: Determining work and job design Making hiring decisions Coaching and developing

employees Promoting health and safety Reviewing performance Copyright 2014 by Nelson Education Ltd. 8 PARTNERSHIP BETWEEN MANAGER AND HR PROFESSIONAL (continued) HR Professional is responsible for: Aligning HR strategies with

business strategies Delivering services (i.e., recruitment) Strengthening employee contributions Copyright 2014 by Nelson Education Ltd. 9 RELATIONSHIP OF HR TO OTHER BUSINESS UNITS Copyright 2014 by Nelson Education Ltd.

10 BUSINESS ISSUES 1: Global economy Impacttrade agreements and global markets Effect on HRMbalancing a complicated set of issues related to different geographies, cultures, laws, and business practices Copyright 2014 by Nelson Education Ltd.

11 BUSINESS ISSUES (continued) 2: Evolution of Firms and Business Sectors Continuing slow economy Consolidation and amalgamation of businesses Increased competition

Struggles for tech darlings such as RIM Questions by government of nonCanadian ownership Copyright 2014 by Nelson Education Ltd. 12 BUSINESS ISSUES (continued) 3: Technology and Quality Technology has enabled companies to improve processes

Focus on customer satisfaction Influence of social networking Cloud computing Quality initiatives key to customer retention Six Sigma Benchmarking Lean Copyright 2014 by Nelson Education Ltd. 13

INNOVATION SKILLS Copyright 2014 by Nelson Education Ltd. 14 BUSINESS ISSUES (continued) 4: Sustainability More attention is being paid to the health of our planet While old industries may be losing employment opportunities,

new businesses are emerging with new careers Copyright 2014 by Nelson Education Ltd. 15 BUSINESS ISSUES (continued) 5: Developing Human Capital and Talent Management Individuals knowledge, skills, and

capabilities have an economic value to organizations Managers need to ensure that employees have developmental opportunities to increase their capabilities Copyright 2014 by Nelson Education Ltd. 16 BUSINESS ISSUES (continued)

6: Demographic and Employee Concerns Diverse backgrounds Different generations at work Skills and labour shortage Gender Rising levels of education Changing nature of job and cultural changes Employee rights, ethics, and privacy Changing attitudes toward work Copyright 2014 by Nelson Education Ltd.

17 GENERATIONS AT WORK Copyright 2014 by Nelson Education Ltd. 18 BUSINESS STRATEGY AND HUMAN RESOURCES MANAGEMENT STRATEGY Corporate strategies answer what business should we be in?

Business strategies focus on how do we do our business better? Being competitive Ensuring people processes in organization provide competitive edge Copyright 2014 by Nelson Education Ltd. 19 BUSINESS STRATEGY AND HUMAN RESOURCES MANAGEMENT STRATEGY

(continued) HRM strategy identifies the key HR processes and practices HR processes and practices are then linked to overall business strategy Is a framework for action Copyright 2014 by Nelson Education Ltd. 20

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