MGHB12H3 Lecture Notes - Lecture 1: Total Quality Management, Corporate Social Responsibility, Six Sigma
Week 1- CHAP 1
Human Resources Management (HRM)
o The process of managing human talent to achieve an organization’s objectives
Why Study Human Resources Management?
o Staffing the organization, designing jobs and teams, developing skillful employees,
identifying approaches for improving their performance, and rewarding employee
successes—all typically labeled HRM issues—are as relevant to line managers as they
are to managers in the HR department.
o Great business plans, products and services can easily be copied by your competitors.
Great personnel cannot.
Human Capital: The knowledge, skills, and capabilities of individuals that have economic value
to an organization
o Human capital is intangible and cannot be managed the way organizations manage
jobs, products, and technologies.
o Valuable because capital
• is based on company-specific skills.
• is gained through long-term experience.
• can be expanded through development.
Top challenges include:
▪ Responding Strategically to Changes in the Marketplace
▪ Competing, Recruiting, and Staffing Globally
▪ Setting and Achieving Corporate Social Responsibility
and Sustainability Goals
▪ Advancing HRM with Technology
▪ Containing Costs While Retaining Top Talent and Maximizing Productivity
▪ Responding to the Demographic and Diversity
Challenges of the Workforce
▪ Adapting to Educational and Cultural Shifts Affecting
the Workforce
Responding Strategically to Changes in the Marketplace
• Total quality management
• Reengineering
• Six Sigma
• Change management
o Reactive change
o Proactive change
• Downsizing
o Planned elimination of jobs (“head count”)
o Layoffs
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• Outsourcing
o Contracting outside the organization to have work done that formerly was done
by internal employees
• Offshoring (Global Sourcing)
o The business practice of sending jobs to other countries
Corporate Social Responsibility
• The responsibility of the firm to act in the best interests of the people and communities
affected by its activities
• Sustainability is closely related to corporate social responsibility. Sustainability refers to
a company’s ability to produce a good or service without damaging the environment or
depleting a resource.
Advancing HRM with Technology
• Collaborative software that allows workers anywhere anytime to interface and share
information with one another have changed how and where people and companies do
business.
• Human Resources Information System (HRIS):
o A computerized system that provides current and accurate data for purposes of
control and decision making.
• From Touch Labour to Knowledge Workers
Benefits:
• Automation of routine tasks, lower administrative costs, increased productivity and
response times
• Self-service access to information and training for managers and employees
• Online recruiting, screening, and pretesting of applicants
• Training, tracking, and selecting employees based on their record of skills and abilities
• Organization-wide alignment of “cascading” goals
Containing Costs While Retaining Top Talent and Maximizing Productivity
• Carefully managing employees’ benefits
• Downsizing
o Hidden Costs of a Layoff:
▪ Severance and rehiring costs
▪ Accrued vacation and sick-day payouts
▪ Pension and benefit payoffs
▪ Potential lawsuits from aggrieved workers
▪ Loss of institutional memory and trust in management
▪ Lack of staffers when the economy rebounds
▪ Survivors who are risk averse, paranoid, and political
• Furloughing Employees
• Outsourcing
• Offshoring
• Employee Leasing
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Human resources management (hrm: the process of managing human talent to achieve an organization"s objectives. Challenges of the workforce: adapting to educational and cultural shifts affecting the workforce. Corporate social responsibility: the responsibility of the firm to act in the best interests of the people and communities affected by its activities, sustainability is closely related to corporate social responsibility. Sustainability refers to a company"s ability to produce a good or service without damaging the environment or depleting a resource. Hr planning: the process of anticipating and providing for the movement of people into, within, and out of an organization. Keeping costs low to offer an attractive price to customers (relative to competitors: differentiation strategy: competing on added value. Taking action: reconciling supply and demand: balancing demand and supply considerations, forecasting business activities (trends, locating applicants, organizational downsizing, outsourcing, offshoring, reducing head count , making layoff decisions, seniority or performance, collective agreements, evaluation and assessment.
