MHR 523 Chapter Notes - Chapter 1: Organizational Culture

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17 Apr 2012
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HRM – Chapter 1 – the strategic role of HRM
Management of people in organizations
Responsible for ensureing the organization attracts, retains and engages the divere
talent required to meet operational and performance commitments made to
customers and shareholders
Human capital: the knowledge, education, training, skills and expertise of an
organizations workforce
Strong HRM is driving company performance
HUMAN RESOURCE MANAGEMENT RESPONSIBILITIES
Two categories
Operational/administrative: hire & maintain employees and manage employee
separations. HR staff = administrative experts and employee champions
Strategic: focused on ensuring that the organization is staffed with the most
effective human capital to achieve its strategic goals. HR Staff – strategic partners
and change agents
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Operational Responsibilities
Administrative
analyzing jobs
planning future workforce requirements
selecting employees
orienting and training employees
managing compensation and reward plans
communicating with employees (including counselling and disciplining)
more of these are being outsourced so HR professionals can focus on strategy
Strategic Responsibilities:
Strategy: the company’s plan for how it will balance its internal strengths and
weaknesses with external opportunities and threats in order to maintain a
competitive advantage
More HR professionals are spending their times to help organization achieve its
strategic objectives
More involved in both formulating and implementing organizational strategy
Ie. Senior positions achieve top performance ratings but second level executives
who will be successors do not match this performance level HR FIXES
Role in formulating strategy environmental scanning: identifying and
analyzing external opportunities and threats that may be crucial to the organizations
success
give competitive intelligence that may be useful as company makes strategic
plans (successful plan being used by a competitor, labour shortages etc)
INTERNAL strengths and weaknesses?
Role in executing strategies:
Biggests strategic contribution
Ie. Execution of downsizing and restructuring strategies through establishing
training and retraining programs
Expected to be change agents leading organization and its employees through
organizations change
flatten the pyramid, empower employees, and organizing around teams
help lower labour costs reduce turnover, absenteeism and rate of incidence
of occupational illness and injuries
employee engagement: emotional and intellectual involvement of employees
in their work, such as intensity and focus employees go beyond what is
expected, share and understand the goals of the organization strong positive
relationship between engagements nad organizational performance
Measuring the Value of HR: Metrics
the use of statistics/ metrics to measure the activities and results of HR are quite
common
todays measures need to reflect the quality of people and the effectiveness of HRM
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