MGT 101 MODULE 9

• Human Resource Management (HRM)


  Design and applications of formal systems in an organization to ensure the effective and efficient use of human talents to accomplish objectives (Daft)
• Human Resource Management (HRM)


  The management of various activities designed to enhance the effectiveness of organization’s workforce in achieving organizational goals
• Human Resource Management (HRM)


  Formal systems for the management of people within the organization
• Human Resources Management


  Important because you can’t produce product and services without them
• Three Major Concerns in HRM

  1. Attracting Effective Workforce
  2. Developing Effective Workforce
  3. Maintaining Effective Workforce
• Attracting Effective Workforce

  • Recruitment and selection
  • Human resource planning
  • Recruitment
  • Selection
• Recruitment and selection - competent employees are identified and selected
• Developing Effective Workforce


  Provide employees with up-to-date knowledge and skills
• Developing Effective Workforce

  • Orientation
  • Training
• Maintaining Effective Workforce


  Ensures that competent and high performing employees are retained
• Maintaining Effective Workforce

  • Performance Appraisal
  • Pay and other Compensation Systems
  • Career Development
  • Workforce Reductions
• Factors Affecting the HRM Process

  1. Employee Labor Union
  2. Government laws and regulations
  3. Demographic trends
• Employee Labor Union - A representation of workers
• Employee Labor Union


  Protects workers interests through collective bargaining agreement (CBA)
• Government laws and regulations - Labor Code of the Philippines
• Demographic trends - Characteristics of the labor market
• Strategic Importance of HRM

  • Important strategic tool
  • Increasingly viewed as an important means to build internal capabilities towards a competitive advantage
• Strategic Importance of HRM

  • Builds human capital who have good leadership qualities and who can manage across geographical and cultural boundaries
  • An organization’s HRM practices has been found to have significant impact on organizational performance
• HRM Process


  An on-going procedure that tries to keep the organization supplied with the right positions when they are needed
• Basic Activities in the HRM Process

  1. Human resource planning
  2. Recruitment
  3. Selection
  4. Socialization
  5. Training and development
  6. Performance appraisal
  7. Promotion, transfer, demotion, separation
• Human Resource Planning


  begins with an inventory of the current human resource
• Human Resource Planning


  Process of determining future human resource needs relative to an organization’s strategic plan and devising steps necessary to meet those needs
• Human Resource Planning


  Process by which management ensures that an organization is supplied with the right number of capable people in the right places at the right time
• Human Resource Planning

  • Accomplished through assessing current human resources and forecasting future HR needs
  • Current assessment
• Job Analysis 


  Systematic process of gathering and interpreting information about the essential duties, tasks, and responsibilities required for a particular job
• Job Description


  Statement of duties, working conditions, work requirements
• Job Specification


  Statement of skill, abilities, education and previous work experience required for the job
• Job Design


  Systematic process of organizing specific jobs
• Job Enlargement


  Broadening the scope of a job by expanding the number of different tasks to be performed
• Job Enrichment


  Increasing the depth of a job by adding the responsibility for planning, organizing, controlling and evaluating the job
• Job Rotation


  Process of shifting a person from job to job
• Recruitment


  Locating, identifying and attracting capable applicants
• Recruitment


  Process of developing a large enough group of candidates to let managers select the qualified employees that they need
• Sources of Recruits

  1. Internal
  2. Outside
• Internal Sources of Recruits


  Existing employee in the organization
• Outside Sources of Recruits


  Internet, employee referrals, company websites, college recruitment, professional recruiting organization
• Derecruitment


  Reducing an organization’s workforce
• Types of Derecruitment

  1. Firing
  2. Layoffs
  3. Attrition
  4. Transfers
  5. Reduced Workweeks
  6. Early Retirement
  7. Job Sharing
• Firing - Permanent involuntary termination
• Layoffs

  • Temporary involuntary termination
  • May last for a few days or extend to years :(