Chapter 8- The Human Resource Management Function

Role of HR manager 1

· Able to translate business strategy into action by being a member of the business team · Develop and implement HR policies consistent with LSO's goals

Role of HR manager 2

· Act as change agent in the link between management and employees · Involvement in the designing and implementing of strategies to increase employee motivation, job satisfaction and productivity

HR effectiveness- commitment

· Commitment- to what extent did the HRM policies enhance employee identification with and attachment to their job and the organisation? A high level of commitment results in e.g. greater loyalty, increased team-work and reduced labour turnover

HR effectiveness- competence

· Competence- To what extent did the HRM policies attract, retain, motivate and develop employees with the abilities, skills, knowledge and competencies to achieve the organisation's strategic business objectives?

HR effectiveness- employee satisfaction

· Employee satisfaction- are employees now stimulated to achieve designated goals? Highly motivated employees work hard and contribute to achieving corporate objectives.

HR effectiveness- job satisfaction

· Job satisfaction- as a result of HRM actions, do employees now have more positive attitudes and feelings about their work? Common job satisfiers include: pay, promotion opportunities and co-workers

Relationship of HR function to business objectives and strategies

It is the role of the human resources department to set objectives which will fit with the overall business direction and corporate objectives. To achieve these objectives, strategies need to be determined and activities undertaken. Such activities will relate to the acquisition, training, reward and motivation, maintenance, development and termination of employees.

Internal pressures- corporate culture- influence on HRM

Corporate culture Importance of: · Values · Beliefs · Assumptions · Symbols to the way an organisation operates

HR effectiveness- cost effectiveness

Cost effectiveness- how have personnel-related costs been reduced? Has HRM assisted in e.g.: correctly sizing the organisation and eliminating unnecessary work

Internal pressures- employees- influence on HR

Employees Greater demand for balance between work and family life. Impacts on: · Need for workplace flexibility · Family-friendly work practices · Use of collective bargaining agreements

Environmental pressure- internal- environment and technology- influence of HR

Environment Creates new employment areas such as: · Environmental pollution · Workplace beautification · Energy conservation Entails new: · Job descriptions · Employee orientation · Training and development · Health and safety Technology Advancement and rapid rate of change has impacted on: · Jod design · Recruitment · Selection · Training · Compensation · Motivation · Occupational health and safety · Industrial relations It has created more flexibility in the working environment.

Role of HR manager 3

Involvement in overall management of the employment cycle which relates to establishment, maintenance and termination of the employment relationship

Examples of relationship between specific organisational objectives and HRM policies and strategies- Org objective: To reduces costs of the operating business

Objective: Reduce overall costs of human resources Strategy: · Reducing employee numbers · Improving expense control · Improving productivity · Reducing absenteeism and staff turnover

Examples of relationship between specific organisational objectives and HRM policies and strategies- Org objective: Be judged as a socially responsible organisation

Objective: To adopt a socially responsible approach to all HR Strategy: · Ensuring legal compliance and improvements in areas e.g.: equal opportunity and diversity, OH&S, minority training and development programs

Exam question- Analyse the relationship between organisational objectives, strategies and the human resource management function (3 marks)

Organisational objectives refer to the goals set by senior management e.g. increase productivity by 5% and strategies refer to plans on how to achieve the objectives. Human resource function involves the management of staff in the workplace including training and development. An implementation of a training program will increase employee skills with the view to increase productivity.

Internal pressures- organisational structure- influence on HRM

Organisational structure Can impact directly on an employee's productivity and behaviour. A narrow span of control (hierarchal) tends to be: · Authoritarian · Rigid · Formal · Highly specialised · Bureaucratic A wide span of control (flatter structure) tends to be more: · Flexible · Adaptable · Informal · Less specialised · More entrepreneurial Structure influences: · Job design · Decision making · Work practices · Skills and abilities of employees

Environmental pressures- internal political and legal - influence on HR

Political Impacts on the relationships established with unions and the level to which an industry is regulated Legal Impacts on: · Laws and regulations relating to work hours · Equal employment · Leave entitlements · Discrimination · Workers compensation · Health and safety · Fringe benefits · Termination

HRM function definition

HRM function is the ongoing management of people within the employer-employee relationship. It involves the use of people to achieve organisational strategic business objectives, while also satisfying the individual employee needs.

Examples of relationship between specific organisational objectives and HRM policies and strategies- Org objective: Provide excellent customer service

Objective: Improve level of customer service Strategy: · Recruitment and selection · Employee training and development · Rewards and motivation

Examples of relationship between specific organisational objectives and HRM policies and strategies- Org objective: Optimise organisational efficiency

Objective: Ensure HR proactively contributes to the efficiency of the organisation Strategy: · Job design · Employee participation · Training and development · Performance management · Flexible work practices · Rewards systems and employee relations