Asses the functions of

HRM in contributing to
organizational purposes

The HRM Functions

HRM is the function of every managers job.
Who is a manager?

HRM is a staff or support function in the organization

HRM is responsible for hiring competent people, training,

helping them perform at high levels.

Why is HRM important to an

Organization?
Strategic Human Resource Management
Aligning HR policies and decisions with the organizational
strategy and mission

Four functions of HRM

Staffing
Training and Development
Motivation
Maintenance

Staffing
Planning
Recruiting
Selection

Maintenance
Safety and health
Communications
Employee relations

Training and Development

HRM

Motivation
Motivation theories
Performance appraisals
Reward
Compensation

Orientation
Employee training
Employee Development
Career Development

Staffing Function

Seeking and hiring qualified employees

Planning-To determine what and how many position have
the firm to fill and how to fill them

Recruiting
Main forms of recruitment through advertising in
newspapers, magazines, trade papers and internal
vacancy lists.
An employment Branding Strategy
The goal of recruiting is to give enough information about
the job to attract a large number of qualified
applicants.

Selection

Staffing function Recruitment

Recruitment

Staffing Function Selection

Goals of staffing function

Locate competent employees and bring them
to the organization.

Training and Development

Helping employees to develop up- to date skills,
knowledge, and abilities.
Edwin Flippo
Training is the formal and systematic
modification of behavior through learning
which occurs as a result of education,
instruction, development, and planned
experience.

 Michael Armstrong

Training is any process by which the

attitudes, skills and abilities of
employees to perform specific jobs are
improved.

Training

Training
Orientation
Employee training
Provides new skills for the employee
Keeps the employee up to date with
changes in the field
Aims to improve efficiency
Can be external or in-house

Development

Development
A source of motivation
A source of helping the employee fulfil
potential
Employee development
Career development

Training and Development

Activities

Employee Training - help employees in acquiring better

skills for current job

Employee Development focus on the future position

Career Development provide necessary information in

helping employees realize carrier goals

Organization Development change the attitudes and

values of employees according to new organizational
strategic directions.

Motivation Function
Helping employees exert at high energy levels.
integrating people into a work situation in a way
that it encourages them to perform / deliver to the
best of their ability
The goal of motivation is to have highly productive,
competent, and adapted employees with up to
date skills, knowledge, and abilities

Motivation (cont.)

Motivation theories and job design

Performance
Reward and compensation
Employee benefits

Motivation

(cont.)

Motivation is a function of two factors:

ability and willingness to do their job.
Level of respect between management
and their workers (decisions making,
listening and implement suggestions)

Performance
Set performance standards for each employee.
Performance evaluation system is designed to
provide feedback to employees.

Reward and Compensation

Reward and
Compensation (cont.)
Money is a fundamental motivator

Bonuses, cash, Flexibility at work, Holidays

Maintenance Function
Activities in HRM concerned with
maintaining employees commitment and
loyalty to the organization
Safety and health
Communications
Employee relations

Safe and healthy

Safe and healthy working environment
Caring for employee well being

Communicating Human
Resource Programs
Communication programs-provide
information to employees. Keep well informed
through email, web site, meetings, boards.
Human resource managers must develop an
appreciation for the importance of
communication

How External Influences

Affect HRM

The Dynamic Environment of HRM

Laws and Regulations
Labor Unions
Management Practice

The Dynamic Environment

of HRM
We must prepare for events that have a
significant effect on our lives.
It is globalization, technology, diversity,
changing skills requirements, continuous
improvement, teams, employee
involvement.

Laws and Regulations

Employment Act 1992

Occupation Safety and Health Act 1970
Sex Discrimination Act 1995/97
Disability discrimination Acts 1995/2005
Work and families Act 2006

Labor Unions
Acts on behalf of its members to
secure wages, hours, and other terms
and conditions of employment.
Grievance procedure
Critical aspect is resolving difference
between workers and management.

Management Practice
Early theories of management that promoted
todays HRM operations.
Frederick Taylor the father of scientific
management. Developed principles to enhance
worker productivity.
Hugo Munsterberg improved methods of
employment testing, training, performance
evaluation, and job efficiency.
Mary Parker Follet focus on groups, team.

Structure of the HR
Department

Employment
Training and Development
Compensation/benefits
Employee relations

Organization of HRM
Department
DIRECTOR
(HRD)

MANAGER
(PERSONNEL)

MANAGER
(ADMINISTRATION)

HR PLANNING

WELFARE

TRAINING &
DEVELOPMENT

RECRUITMENT
&
SELECTION

LEAVE RECORDS

PERFORMANCE
APPRAISAL

MANAGER
(HRD)

Who Performs the Human

Resource Functions?
Operating manager

Person who manages people directly

involved with the production of an
organizations products or services

Who Performs the Human

Resource Functions?
Generalist
Divisions are
separated
geographically and
HRM professionals
called generalist
Person who devotes
a majority of working
time to human
resource issues, but
does not specialize
in any specific areas.

Human resource
specialist
Person specially
trained in one or
more areas of
human resource
management
labor relations
specialist, wage and
salary specialist

Employment
Employee specialist who sorts through
resumes or applications. Coordinate with
line manager.
Line manager instruct the employment
specialist to interview

Training and Development

Helping employees maximize their
potential.
Internal change agents. Help to cope with
changes (governmental regulations,
mergers, economic factors).
Career development and employee
counseling

Compensation and Benefits

Paying employees and administrating
their benefits package.
Benefits administrator helps:
Prepare for retirement
Looking for payouts options

Employee Relations
Effective communication among
organizational members.
Employee talk directly to supervisors.
ER specialist helps employees understand
rules, policies.

HR trends and
Opportunities
Outsourcing
Professional Employee Organizations
(PEO)
Shared Services

Outsourcing
Contracting with company to handle one
or more HR function.
Hiring a contractor to take responsibility for
one HR function such as benefit and
pension administration
Increases efficiency by lowering operating
costs, freeing up money and resources
that can now be used in more effective
ways

Problems With Outsourcing

Loss of Control
Increased cash outflow
Confidentiality and security
Loss of staff or moral problems
Provider may not understand business
environment
Provider slow to react to changes in
strategy

Professional employer
organization
Company that assumes all HR functions of
a client company by hiring all of its
employees and leasing them back to the
company.
PEO gains economies of scale by
negotiating for benefits.
Cost efficient for small and medium-sized
organizations.

Shared Services
Sharing HRM activities among
geographically dispersed divisions.

HRM in a Global
Environment
HRM functions become more complex
when the organizations employees are
located around the world.

Questions
1. List and describe of HRM functions
2. Opportunities of HRM
3. Explain the purpose of HRM in
Organization
4. Describe the goal of Motivation and
Recruiting
Good Luck :)