HUMAN RESOURCE MANAGEMENT

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HUMAN RESOURCE MANAGEMENT
BMG775J2 Week One Personnel and Human Resource
Management Norma Heaton Tel [phone]
Room1D14 Email
ne.heaton_at_ulster.ac.uk
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OBJECTIVES

• To understand the relevance of historical
  developments in personnel management
• To understand the policy goals of HRM
• To examine the theory and practice of HRM

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Evolution of personnel management

• Welfare 1915-1920s
• Provision of facilities eg canteens
• Administration 1930s
• Personnel support to management
• 3. Developing phase 1940s-50s
• range of services provided eg negotiating with
  trade unions
• 4. Mature phase 1960s-70s
• sophistication of techniques
• increasing importance of legislation

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Evolution ctd

• 5. Human resource management phase one
• emerged from American writing
• focus on value for money and reduced role
  for trade unions
• 6. Human resource management phase two
• teamwork, development

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DEFINING HUMAN RESOURCE MANAGEMENT

• a strategic and coherent approach to the
  management of an organisations most valued
  assets - the people working there who
  individually and collectively contribute to the
  achievement of the objectives of the business.
  (Armstrong, 1999)
• Torrington, Hall Taylor (2005) argue that HRM
  is difficult to define, since it is used in two
  ways
• to describe the generic activities of managing
  people (HRM mark 1)
• to denote a particular approach to managing
  people which is clearly distinct from personnel
  management (HRM mark 2)

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HRM mark 1 the generic term

• This refers to the key objectives to be achieved
• Staffing objectives planning, recruiting,
  selecting
• Performance objectives training, developing,
  rewarding
• Change-management objectives
• Administration objectives compliance with
  legislation, arrangements for pay etc

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Defining HRM via Roles and Objectives
Performance Objectives
Change-management Objectives
Staffing Objectives
Administrative Objectives
HUMAN RESOURCE MANAGEMENT
Line Managers
Human Resource Generalists
Human Resource Specialists
Consultants and Advisers
Subcontractors
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Why the interest in HRM mark 2?

• The 1980s business climate
• Increased product market competition
• Recession
• New technology
• Government desire to reform industrial relations
• Firms encouraged to introduce new practices
• Restructuring of the economy
• Decline of old industries, rise in service
  sector
• Recognition of the need to improve British
  management
• Influence of the excellence literature

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The Harvard Framework of HRM (US)
Stakeholders Interests Shareholders Management Em
ployee Government Community Unions
Long-term consequences Individual
well-being Organisational effectiveness Societal
well-being
HRM policy choices Employee influence HR
flow Reward systems Work systems
HR outcomes Commitment Competence Congruence Cost
effectiveness
Situational Factors Workforce Business
conditions Management philosophy Labour
market Unions Laws and values
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Attractiveness/advantages of the Harvard model

• Recognises different stakeholder interests
• Acknowledges the importance of trade offs
• Widens the context of HRM to include employee
  influence
• Acknowledges a broad range of contextual
  influences
• Emphasises strategic choice

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The UK literature on HRM

• John Storey (2001) HRM is a distinctive approach
  to employment management which seeks to achieve
  competitive advantage through the strategic
  deployment of a highly committed and capable
  workforce, using an array of cultural, structural
  and personnel techniques

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UK writers ctd

• Keith Sisson (2000)
• Personnel management a comprehensive guide to
  theory and practice in Britain
• David Guest article Personnel and HRM can you
  tell the difference? Personnel Management, Jan
  1989

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Best practice v best fit HRM

• Is there one best way to carry out HR activities?
  UNIVERSALIST APPROACH/BEST PRACTICE
• Should HR policies and activities fit
  particular circumstances? BEST FIT

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Guests four policy goals for HRM

• Strategic integration
• Ensuring HRM is integrated into strategic
  planning
• Commitment
• Ensuring that employees feel bound to the
  organisation
• Flexibility
• Ensuring an adaptable structure
• Quality
• Ensuring high quality goods and services
  through high quality, flexible employees

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The Universalist Approach (UK) - Guest (1989)
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Key elements in HRM (Storey, 2001)
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Versions of HRM Best fit?
STRONG A distinctive approach to labour
management Integrated with business strategy
HARD Interventions to secure full utilisation of
labour
SOFT Interventions to elicit commitment
WEAK Just another term for personnel
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HRM Hard and soft versions

• Hard HRM
• Acceptance of managements right to manage
• Requires that employees are committed to the
  organisation
• Emphasises flexibility buying in short term
  requirements and development of core and
  peripheral workforces
• Associated with opposition to trade unions

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Versions of HRM ctd

• Soft HRM
• Views employees as different from other resources
• Emphasises the organisations commitment to the
  individual
• Invests in a high level of training
• Emphasises the multi-skilling side to flexibility
• Seeks to involve employees

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Environmental developments and HRM

• Globalisation of economic activity
• Markets for goods and services are international
• Technology
• Use new technology to maintain market position
• Impact on HRM?
• Continual development of practice
• Expect change and flexibility
• Manage an international workforce
• Comply with complex employment legislation

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References

• Armstrong,M. (2003) A Handbook of Human Resource
  Management. London Kogan Page
• Beardwell,I., Holden,L. and Claydon,T. (2004)
  Human Resource Management a contemporary
  approach. London FT/Prentice Hall
• Bach,S. and Sisson,K (eds) (2000) Personnel
  Management A comprehensive guide to theory and
  practice. London Routledge
• Guest,D. (1989) Personnel and HRM can you tell
  the difference? Personnel Management, Jan 1989

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References ctd

• Storey,J. (2001) HRM a critical text. London
  Thomson Learning
• Torrington, D., Hall,L. and Taylor,S.(2005) Human
  Resource Management. London FT/Prentice Hall