ORGB 423 Lecture Notes - Lecture 3: Google.Org, Markov Chain, Adam Grant

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Lecture 3
Evolution of HR
Employee Relations/Personnel Management/Labor Relations/IR
These are employee advocates: A historical position
Draws from HR’s role in the early 19th century
In the 21st century: HRM & HRP
These are employer advocates:
o They are a strategic partner, considers what’s best for
everyone and the company
o Advocates for organizational efficiency and organizational
alignment. Not only for employee needs
o Have to know about strategic planning
HR and Strategic Planning
HRM: Managing human talent to achieve objectives
Human Resource Planning/HRP: Anticipation and providing for the
movement of people in and out of an org.
Strategic Planning: Set of policies, procedures to guide an org. towards
their long term goals
Lays out an org. future direction
Five steps of strategic planning:
1. Define the mission, vision, values: Where are we going?
o Vision: Where is the company headed, its future? Clarifies
the long-term direction of the company
o Mission: Outlines the purpose of the org.
o Core values: What the company believes in. The beliefs,
traits, norms of the company.
2. Setting objectives: The performance targets, results, and see if
they are measurable, specific, timely.
3. Crafting or formulating strategy: Addressing the “hows”
o Choosing among strategic alternatives
o Involves managers in various positions, from different
organizational levels.
o Low-cost strategy could be competing on productivity and
efficiency, low-costs. E.g. McDonalds
o Differentiation strategy: competing on added value.
Uniqueness.
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o Value creation: What the organization adds to a product. The
“it” factor.
o Functional strategy: Vertical fit or Horizontal fit
4. Executing the strategy: Converting the plan into action
o Direct action, motivate people, build competencies.
5. Evaluating performance: Deciding if the organization passes the 3
tests of good fit, competitive advantage & strong performance.
o If it doesn’t, decide what to change, the organization vision
and mission
The role of HRM/HRP (Actitvity)
Linking strategic planning and HRP:
Strategic Formulation: Determining how your company is unique,
what are your goals, objectives, how to attain them.
o Who plays a role? Executives, founders, shareholders, people
you hire outside for consulting.
o Identifying someone to implement the strategy
Strategic Implementation:
o Who implements the strategy? Someone (probably a leader)
close to the employees.
Strategic Analysis:
o Looking at your company and at what your competitors are
doing.
SWOT analysis (beginning or after implementing strategy?)
o SWOT: analysis is an acronym for strengths, weaknesses,
opportunities, and threats and is a structured planning
method that evaluates those four elements of an
organization, project or business venture.
o Time and planning can be an issue in strategic planning
Organizational Effectiveness
Efficiency Effectiveness
Effectiveness is the degree to which an organization realizes its
goals
Efficiency is the amount of resources used to produce a unit of
output
Effectiveness is hard because organizations are diverse, large, the
goals are multiple and conflicting.
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Document Summary

Employee relations/personnel management/labor relations/ir: these are employee advocates: a historical position, draws from hr"s role in the early 19th century. In the 21st century: hrm & hrp: these are employer advocates, they are a strategic partner, considers what"s best for everyone and the company, advocates for organizational efficiency and organizational alignment. Not only for employee needs: have to know about strategic planning. Hrm: managing human talent to achieve objectives. Human resource planning/hrp: anticipation and providing for the movement of people in and out of an org. Strategic planning: set of policies, procedures to guide an org. towards their long term goals: lays out an org. future direction. Clarifies the long-term direction of the company: mission: outlines the purpose of the org, core values: what the company believes in. Mcdonalds: differentiation strategy: competing on added value. Uniqueness: value creation: what the organization adds to a product. Four approaches to measure effectiveness: resource based.

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