HUMAN RESOURCES MANAGEMENT KASNEB NOTES

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PAPER NO. 5 HUMAN RESOURCES MANAGEMENT

UNIT DESCRIPTION

This paper is intended to equip the candidate with the knowledge, skills and attitude that will enable him/her to manage and motivate people, work with teams and apply other principles of human resources management in practice.

LEARNING OUTCOMES

A candidate who passes this paper should be able to:

  • Develop and execute a human resource plan and strategy
  • Design, introduce and use good practice with regard to recruitment, selection, competency development, employee motivation, performance management, disciplinary and grievance procedures
  • Organize and maintain appropriate employee records and to extract relevant statistics
  • Design, introduce and use systems to ensure compliance with employment legislation
  • Address contemporary issues in human resource management

 

CONTENT

  1. Introduction to human resource management (HRM)
  • Meaning and importance of HRM
  • Scope of HRM
  • Features of HRM
  • Evolution of HRM
  • Roles and responsibilities of HR practitioners
  • Structure and functions of the HR department
  • Personnel management versus human resource management
  • Strategic human resources management; development of human resources strategy and human Resource business partnering.
  • The role of line Managers in Human Resources Management
  • Basics of Employment Law
  1. Theories of human resource management
  • Foundational theories of HRM
  • Organizational behavior
  • Motivation
  • Ability, motivation and opportunity (AMO)
  • Resource-based
  • Institutional theory
  • Human capital
  • Agency
  • Contingency
  • Motivation Theories and practice of HRM
  • Classical theories of motivation
  • Abraham Maslow’s Hierarchy of Needs
  • Douglas McGregor- Theory X and Theory
  • Frederick Herzberg’s – Two factor theory
  • Other motivation theories
  • Vroom’s Expectancy theory
  • Equity theory
  • Goal theory
  • Reinforcement theory
  • McClelland’s theory of needs
  • ERG theory of motivation
  • Motivation in the workplace
  • Importance of motivation
  • Team motivation
  • Features of a good motivation system
  1. Employee resourcing
  • Meaning of employee resourcing
  • Human resources planning
  • The labor market
  • Job analysis
  • Job design
  • Recruitment
  • Resourcing assessment tests
  • Selection
  • Placement and on boarding
  • Employee engagement and retention
  1. Performance management
  • Performance management Models
  • The performance management process
  • Techniques for appraising performance
  • Strategies for performance management
  • Characteristics of performance management
  • The performance appraisal process
  • Team performance evaluation
  • Impact of performance management to human resources
  • Challenges of performance management
  • Performance contracting
  1. Reward management
  • Meaning of reward management
  • Characteristics of reward strategies
  • Developing an effective reward strategy
  • Market compensation rates analysis
  • Pay structures and wage systems
  • Performance related pay
  • Non – financial rewards and benefits
  • Salary administration policy
  • Team rewards
  1. Training and development
  • Objectives of training and Development
  • The learning organization
  • Types of training
  • Training needs assessment
  • Training design
  • Implementing a training programmer
  • Evaluation of training and development
  • Career management
  • Knowledge management
  • Talent management
  1. Human resources administration
  • Employment contracts
  • Human resources records management
  • Human resources management information systems
  • Employee welfare services
  • Health and safety policies and procedures
  • Basics of payroll management
  • Employee discipline
  1. Labor relations and employee bargaining
  • The labor movement
  • Role of trade unions
  • The collective bargaining process
  • Negotiation
  • Dealing with disputes and grievances
  • Employee participation and empowerment
  1. Separation strategy
  • Forms of employee separation: Redundancies, dismissals and discharge, retirement, Resignation
  • The separation process
  • Terminal benefits
  • Outplacement
  • Legal provisions on employee separation
  • Exit interviews
  • Effects of employee separation
  1. Contemporary issues in human resources management
  • Succession planning
  • Human resources innovation and technology
  • Global HRM
  • Managing equality and diversity
  • Ethics in Human Resources
  • Work life balance
  • Virtual working
  • Outsourcing
  • Employee counselling
  1. Case studies in human resource management

 

CHAPTER ONE

INTRODUCTION TO HUMAN RESOURCE MANAGEMENT

 

Human resource management defined

A study group of managers of Great Britain defined HRM as the part of process of management which is specifically concerned with the people employed in an organization. Its purpose is to establish and maintain sound personnel relations at all levels of organization and to secure its effective use of personnel by ensuring such conditions of employment as well enable all persons in the enterprise to contribute most effectively to its purpose in the performance of their duties, as well as to attain those personal and social satisfaction which they tend naturally to seek within their working environment. Human resource management has been defined by (Gary D. 2008), as ― the policies and practices involved in carrying out the ―people‖ or human resource aspect of management position, including recruiting, screening, training, rewarding and appraising‖. We can therefore conclude that human resource management is the process of acquiring the right number and type of workers, training, appraising and compensating employees, attending to their labor relations, health and safety.

Why human resource management is important to all managers

It is assumed that all managers have a keen interest in human resource management. In other words every manager in any one given organization cannot do without a human resource management function.

 

NATURE OF HUMAN RESOURCE MANAGEMENT 

People-Centered:

Human beings are diverse in every aspect. Therefore all people in the organization should be treated and motivated differently so as to make them contribute their best words to the achievement of the organization’s mission.

Recognition as a total Human Being:

Individuals working in an organization contribute to it through their work, talent, drive etc. yet it is not possible to employ only a person’s skill, talent or such other characteristics. A whole person is to be employed because his characteristics are inseparable.

Human Dignity:

Human beings cannot be equated with other factors of production. They represent the freest creation of nature and expect and deserve to be treated with respect and dignity.

Multi-disciplinary:

Human beings are rather unpredictable in their behavior in organizations. Such unpredictability of their behavior arises from their deep-seated needs and value systems. To understand human behavior, personnel management seeks to achieve this by adopting

Multi-disciplinary approach drawing heavily on the theory and practice of various disciplines.

Extended scope

Personnel management is concerned with the people employed in an organization but it doesn’t confine itself to affording personal and social satisfaction to employees of an organization. It views an individual as a total person and not merely in terms of his skills, talent or knowledge. It seeks to make him a better person, besides a better employee so that he can be able to contribute fully to the society of which he is part of.

Continuous exercise

To be productive as desired results, personnel management has to be practiced on a continuous basis. Personnel management requires a constant alertness and awareness of human relations and their importance in everyday operations.

Management

A profession may be defined as an occupation based upon specialization in intellectual study and training, the purpose of which is to supply skilled service or advice to others for a definite fee or salary. It is a service occupation and therefore useful to society.

 

OBJECTIVES OF HRM

Social objective

  • Provision of employment opportunities
  • Better productivity
  • Maximum material and mental satisfaction to workers
  • Healthy human relations and social welfare

 

Personal objective

  • Adequate remuneration
  • Job security
  • Facilities for proper training and development
  • Increased job satisfaction
  • Opportunities for advancement

 

Enterprise objective

  • Recruit competent employees
  • Maintain satisfied/motivated employees
  • Retain productive employees

 

Union objective

This requires utmost fact and caution, particularly in matters concerning recognition of representative unions, formulation of personnel policies in consultation with them, and creation of an atmosphere where they are obliged to practice self-discipline and co-operate with management

 

FUNCTIONS OF HUMAN RESOURCE MANAGERS

 

HRM has the following functions

  1. Managerial functions
  2. Planning:

Planning means looking ahead and to provide for an uncertain future. It means determining the personnel objectives, policies and programmers in advance. It aims at making sure that the organization has adequate number of persons, rightly placed so that they are able to efficiently contribute to accomplishment of enterprise objectives.

II.Organization

The organization structure should clearly lay down the inter-relationship between persons, job and physical factors. Every person should be made to know the requirements of his job, how his job is related to other jobs, what types of relations he should have with his immediate superiors and subordinates and what channel of communication should be followed. This is normally done by top level management in conjunction with the personnel office.

 

III.Direction

Proper direction and motivation is provided by issuance of appropriate order and instructions to workers at various levels. Orders should be complete, precise, to the point and easy to understand.

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IV.Controlling

This is to see to it that the performance at each level is as per the plan. It involves establishing reasonable and attainable standards, levels of performance expected of workers and effective feedback i.e. comparison and evaluation of performance, discovery of deviation and *citations of necessary corrective action.

  1. Operative function-Procurement, Development, Remuneration or compensation, Integration, Maintenance

 

Features and Characteristics of Human Resource Management

Human resource management has the following features:

Feature # 1. Universal Force:

HRM is universal in nature; it is present in all organizations and is applicable at all levels of the management in an organization. As a matter of fact, HRM is concerned and closely associated with the strategic decision making process of the organization involving all departments and functions in the organization. Thus even for a budding SME entrepreneur knowledge of HRM would be instrumental for successfully managing his people without having any formal HR systems in his organization.

Feature # 2. Decision Oriented:

HRM emphasizes on decisions, rather than on record keeping, written procedures or rules, which had long been the responsibilities of traditional personnel management practices. These decisions might involve those with respect to performance improvement through further training, or a promotion decision based on satisfactory performance by an employee.

Feature # 3. Focus on Individual Needs and Aspirations

HRM emphasizes on identifying the individual needs and aspirations of an individual employee on the basis of through analysis of their capabilities and future potential. Thus, it makes an attempt to help these individuals to further develop their potential and encourage them to give their best to the organization.

Thus for a B School faculty, his/her promotions to higher designations might well be related to contributions in research and development or management consultancy and such decisions would be at the discretion of the management of these institutes depending on the nature and framework used to assess the performance of the faculties.

Feature # 4. Employee Oriented:

HRM is concerned about people. Conventionally HRM authors have denied concern for people with employees at work, both as individuals, as well as in groups and teams. But in today’s highly competitive business perspective, concern for people has a wider domain conceptually.

It mainly deals and revolves around the capabilities of the people rather than the individual. Thus the paradigm shift had been from assigning people on allotted tasks to utilize knowledge and human capabilities for higher performance outcomes.

Feature # 5. Development and Growth Oriented

Development had been long conceptualized as an initiative taken by an organization to acquire better work related skills and behaviors. In the context where organizations are emphasizing more upon sharing and developing knowledge, the concept of development attains a wider or broader meaning in terms of realizing the capabilities of people/rather knowledge workers.

Behavioral scientists have argued that holistic development of people can be made instrumental if the former is coupled with reinforcement strategies ensuring the acquisition of the desired behavior and capabilities among people. The reward and incentive structures of organizations are needed to be fine-tuned along with the development oriented initiatives taken by the organization.

Feature # 6. Binding Force of an Organization:

HRM has the additional responsibility of treating their employees as the “internal customers” of the organization. In this perspective HR professionals need to assume the role of experts (internal business consultants) in other functional domains of their organization like logistics, finance, supply chain management, total quality management, marketing and corporate relations so as to facilitate organizational effectiveness.

Feature # 7. Strategic Implication:

In the perspective of today’s highly competitive business environment, HRM should assume the role of the strategic decision making process in the organization. HR professionals in this regard need to assume the responsibility of being the strategic partners of the business and helping the organization to successfully achieve their business objectives by aligning people to the strategic goals of the organization.

Feature # 8. Support Functions:

The HR function of an organization is service oriented. HR executives provide support services to the line managers working in other departments not only just accomplish their administrative or HR-related work more effectively, they so provide consultation as internal consultants and extend “subject-matter-expert (SME)” help and assistances whenever required. HR activities like talent tracking, reward management are examples of the service function.

Feature # 9. Multi-Disciplinary Nature:

HRM is a multi-disciplinary practice drawing the knowledge and inputs drawn from various disciplines and studies like those of psychology, sociology, anthropology, political science, economics, quantitative techniques and statistical applications, econometrics, ergonomics (Quality of life and work environment designing), financial concepts (Human resource accounting and HR-audit) etc. The multi-disciplinary aspect of HR function, helps HR professionals assume the role of strategic partners as well as internal consultants of the organization.

Feature # 10. Ongoing and Forward Looking Nature:

HRM is an ongoing process that starts at the strategic level in the organization and pervades into each and every functional domain of the organization. Today’s HR practices are mostly forward looking and they constantly take into consideration the future needs and requirements of the business.

Evolution of HRM

HRM evolved over a period of years from the era of industrial revolution. The evolution of HRM dates back to 18th century and the concept is very old in nature involving the management of human beings. There were many phases of people management before reaching the current scenario as researched by many authors.

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Complete copy of CS HUMAN RESOURCES MANAGEMENT NOTES is available in SOFT copy (Reading using our MASOMO MSINGI PUBLISHERS APP) and in HARD copy 

Phone: 0728 776 317

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A brief outline of the various stages of development of HRM stated below:

  1. Industrial Revolution:

It started during 18th century in Britain and spread later to Western Europe and United States. Workers were forced to indulge in monotonous and repetitive work activities. Workers were treated earlier as machines and not as resources. The industrial revolution witnessed ill treatment and exploitation of workers.

 

  1. Trade Unionism:

Workers joined together to form trade unions to protect their interests. The movement started within the era of industrial revolution as there were common worker demands. The origin of Trade unions can be traced back to 18th century in Europe and later it spread too many other parts of the world.

 

  1. Taylorism or Scientific Management:

Scientific management was propounded by Frederick Winslow Taylor in 1911. It aimed to standardize workflows and improve labor productivity through reduction of effort Human factor at work was given more importance and procedures were simplified by time and motion studies.

 

  1. Human Relations Movement:

The concepts of scientific management led to an awareness of improving procedures and productivity through work simplification. In early 1930s the famous research by Elton Mayo ET. Al. namely, the “Hawthorne Studies” opened up a new horizon of human relations at workplace. It revealed the impact of social factors, informal groups, and motivation and employee satisfaction on productivity. This was the beginning of behavioral approaches and soft skill training to employees. The modern concept of HRM sprouted from such movements.

 

  1. Organizational Behavior & Theory:

Other contemporary researchers like Abraham Maslow, David McClelland, Max Weber and others propounded different concepts on organizational behavior and developed organizational theory. Motivation, leadership, workforce productivity and similar theoretical areas propped up and gained significance.

 

  1. Industrial and Labor Relations:

The field of industrial and labor relations started getting importance in many industries as there were strained labor relationships. Legal framework was developed to protect the interest of labor and amicably settle any industrial disputes.

 

  1. HR Approach:

HR rooted itself strongly in the theoretical background of earlier researches backed by support from industrialists and professional associations. The oldest HR association is the “Chartered Institute of Personnel and Development” started in 1913 in England.

 

The Society for Human Resource Management was later formed in 1948 in the United States. The first college level study on HR was from Cornell University, United States. At present, there are umpteen numbers of specialized courses in HRM offered by renowned universities all over the world.

 

Evolution of Human Resource Management – 4 Broad Phases of Evolution of Human Resource Management

The evolution of HRM can be described moving through four broad phases:

 

Phase # 1. Craft System:

From the earliest time in Egypt and Babylon, training in craft skills was organized to maintain an adequate supply of craft workers. The workers/craftsmen worked in their own homes/workshop with the help of their family members, with their own tools and implements.

 

A basic type of specialization of work such as shoe-making, blacksmith, carpentry, pottery, cloth weaving etc. existed during this age. Generally, the master craftsmen committed to teach his craft to some young persons who began their careers as apprentices. The apprentices were bound to work for the master craftsman for a specified period during which they would learn the craft. The master craftsmen possessed skill and ownership.

 

By the 13th century craft training became popular in Western Europe. Craft guilds supervised quality and methods of production and regulated conditions of employment for each occupation. The master crafts worker controlled the craft guilds, and the recruit entered after a period of training as an apprentice.

 

The craft system was best suited to domestic industry, which the master operated on his own premises with his assistants residing and working in the same house.

 

Phase # 2. Scientific Management:

During the first few years of the 20th century, productivity emerged as a serious business concern. This phase saw expanding business, readily available capital, experience as well as short supply of labour. Hence, managers started to look for ways to use existing labour more efficiently. In response to this need, experts began to focus on ways to improve the performance of individual workers.

 

This led to the development of scientific management. F. W. Taylor, Frank Gilbreth and Lillian Gilbreth were the earliest advocates of scientific management. At Midvale Steel Company in Philadelphia, Taylor observed that employees were deliberately working at a pace slower than their capabilities. Taylor studied and timed each element of the steel workers’ jobs.

 

He determined what each worker should be producing. He designed the most efficient way of doing each part of the overall task and implemented a piecework pay system. Rather than paying all employees the same wage, he began increasing the pay of each worker who met and exceeded the target level of output set for his or her job.

 

Phase # 3. Human Relations Approach:

The Hawthorne experiments conducted by Elton Mayo and his colleagues during 1930s and 1940s demonstrated that employees productivity was affected not only by the way the job was designed and the manner in which employees were rewarded economically, but also by certain social and psychological factors as well.

The human relations movement led to the wide scale implementation of behavioural science techniques in industry for the first time that included supervisory training programmers, emphasizing support and concern for workers, programmers to strengthen the bonds between labour and management and counselling programmers whereby employees were encouraged to discuss both work and personal problems with trained counsellors.

 

The movement was also influenced by the growing strength of unions during the late 1930s and 1940s.

 

Phase # 4. Human Resource Approach:

Human resource approach deals with the people dimension in management. Over the past eighty years, various approaches to human resource management have been adopted by companies.

The human resource approach currently in vogue, has redefined the way people are treated and managed in the organizational context.

 

This approach requires that employees or the work force be treated as resources and not just as factors of production (as in the scientific approach) or emotional beings with psychological needs (as in the human relations approach).

 

Functions of the HR Department

The six main functions of HR are recruitment, workplace safety, employee relations, compensation planning, labour law compliance and training.

 

Recruiting the Right People for the Right Job

The success of recruiters and employment specialists generally is measured by the number of positions they fill and the time it takes to fill those positions. Recruiters who work in-house – as opposed to companies that provide recruiting and staffing services – play a key role in developing the employer’s workforce. They advertise job postings, source candidates, screen applicants, conduct preliminary interviews and coordinate hiring efforts with managers responsible for making the final selection of candidates.

 

Maintaining a Safe Environment

Workplace safety is an important factor. Under the Occupational Safety and Health Act of 1970, employers have an obligation to provide a safe working environment for employees. One of the main functions of HR is to support workplace safety training and maintain federally mandated logs for workplace injury and fatality reporting. In addition, HR safety and risk specialists often work closely with HR benefits specialists to manage the company’s workers compensation issues.

 

Employer-Employee Relations

In a unionized work environment, the employee and labour relations functions of HR may be combined and handled by one specialist or be entirely separate functions managed by two HR specialists with specific expertise in each area. Employee relations is the HR discipline concerned with strengthening the employer-employee relationship through measuring job satisfaction, employee engagement and resolving workplace conflict. Labour relations functions may include developing management response to union organizing campaigns, negotiating collective bargaining agreements and rendering interpretations of labour union contract issues.

Compensation and Benefits

Like employee and labour relations, the compensation and benefits functions of HR often can be handled by one HR specialist with dual expertise. On the compensation side, the HR functions include setting compensation structures and evaluating competitive pay practices. A comp and benefits specialist also may negotiate group health coverage rates with insurers and coordinate activities with the retirement savings fund administrator. Payroll can be a component of the compensation and benefits section of HR; however, in many cases, employers outsource such administrative functions as payroll.

Labour Law Compliance

Compliance with labour and employment laws is a critical HR function. Noncompliance can result in workplace complaints based on unfair employment practices, unsafe working conditions and general dissatisfaction with working conditions that can affect productivity and ultimately, profitability. HR staff must be aware of federal and state employment laws such as Title VII of the Civil Rights Act, the Fair Labour Standards Act, the National Labour Relations Act and many other rules and regulations.

 

Training and Development

Employers must provide employees with the tools necessary for their success which, in many cases, means giving new employees extensive orientation training to help them transition into a new organizational culture. Many HR departments also provide leadership training and professional development. Leadership training may be required of newly hired and promoted supervisors and managers on topics such as performance management and how to handle employee relations matters at the department level.

 

Professional development opportunities are for employees looking for promotional opportunities or employees who want to achieve personal goals such as finishing a college degree. Programs such as tuition assistance and tuition reimbursement programs often are within the purview of the HR training and development area.

 

HR Department Structure

There are different ways to go about structuring your HR department. Among them are both more traditional HR structure models and modern ones, too. Whichever one you choose depends entirely on your goals and your corporate culture.

 

  1. The Hierarchical Model

The hierarchical model – hr. department structure

 

A personnel department can be organized hierarchically. The personnel department consists here of a personnel manager, who reports to the managing director and is given department goals, which they must reach together with their team.

 

The HR department can then consist, for example, of two managers for Recruiting/Personnel Procurement and HR Management/Personnel Administration, who in turn lead their own teams and report to the HR manager.

 

In this model, communication is completely vertical, i.e., from top to bottom. Information is kicked off by upper management and is then passed through HR management to the executives and ultimately reaches the team.

 

In this model, the clear distribution of authority is particularly advantageous. Everyone knows where they are in the model, where they want to work, and what their development plan is for that purpose.

 

  1. Formal and Informal Model

Formal and informal model – hr. department structure

An HR department can be structured formally or informally. The hierarchical organization is a good example of the formal model because it is built on clear hierarchies, goals, and tasks.

 

In contrast, the informal model is meant to be freer, because team members can be more flexible and interact with each other depending on the dynamics. There is a more cross-functional capacity here across the team.

 

In many companies, both models coexist. This means that a standard structure forms the basis of the department, which then operates informally depending on various projects (and the skills required), for a more agile approach.

 

  1. Goal-Oriented Model

Goal oriented model – hr. department structure

 

With the goal-oriented model, enterprise goals are broken down to individual departments – and even to each individual co-worker. Each team decides for itself which measures will be implemented to achieve their goals.

 

The corporate goals are determined between the CEO and management and require the commitment and dedication of each individual. Ultimately, this model only works if each employee is clear about their goals and how they will be measured against them. In most cases, this model is accompanied by a financial bonus depending on the achievement of goals.

 

This model is also only partially used in many companies, e.g. in sales. For HR departments, the goal-oriented model results in the following advantages: Commitment and focus from each individual employee, higher team performance, and compliant planning of goals.

 

  1. The Shamrock Model

Shamrock model – hr. department structure

This model borrows from the image of the “shamrock” in that it consists of three basic pillars that together form a whole.

 

At the core are the most qualified and relevant employees. Less important activities are handled by external service providers and thus outsourced. Employees with temporary contracts, e.g. project-based work, complete the cloverleaf.

 

For the HR department, this means that there is a small core of permanent employees who in turn manage externals on special projects.

 

External service providers could thus assist with issues such as relocation, and employees with temporary contracts, e.g. additional recruiters, can help to recruit more new employees in a shorter period of time.

 

  1. Networking & Outsourcing

Networking and outsourcing – hr. department structure

This model is completely dominated by HR departments getting outside help.

As a result, there is only a small core of permanent HR employees, who outsource many of the tasks and activities at hand to external service providers to achieve their goals.

 

How Can You Help You’re HR Department Structure Grow?

 

From the third HR employee onwards, it’s entirely up to you how you structure your organization’s HR department. You could hire a recruiter if you already employ an assistant or vice versa.

 

If you can’t find new employees fast enough, you might prefer to hire a second recruiter instead. It all comes down to your priorities, where the critical areas are to meet your company’s goals for growth.

 

Difference between Personnel Management and Human Resource Management

 

The main difference between Personnel Management and Human Resource Management lies in their scope and orientation. While the scope of personnel management is limited and has an

inverted approach, wherein workers are viewed as tool. Here the behaviour of the worker can be manipulated as per the core competencies of the organization and are replaced when they are worn-out.

 

On the other hand, human resource management has a wider scope and considers employees as the asset to the organization. It promotes mutuality in terms of goals, responsibility, reward etc. that will help in enhancing the economic performance and high level of human resource development.

 

In early centuries, when Human Resource Management (HRM) was not prevalent, then the staffing and payroll of the employees were taken care of, by the Personnel Management (PM). It is popularly known as Traditional Personnel Management. Human Resource Management have emerged as an extension over the Traditional Personnel Management. So, in this article, we are going to throw light on the meaning and differences between Personnel Management and Human Resource Management.

 

Strategic human resources management

Strategic human resource management involves a future-oriented process of developing and implementing HR programs that address and solve business problems and directly contribute to major long-term business objectives.

 

HR management was once largely an administrative function focused on day-to-day responsibilities such as employee recruiting and selection and managing employee benefits. Changing labour market conditions and new business thinking call for HR business strategies that include recruiting and retaining the right people, as well as providing ethical and cultural leadership.

 

Strategic planning presents great challenges and opportunities for HR professionals. Nearly all HR leaders in the largest global companies are involved in strategic decision-making and participate on the organization’s strategy team, and a majority of HR professionals report that strategic planning is part of their function. In contrast, HR professionals in many medium and small organizations are not often involved in organizational or functional strategic planning.

Consequently, to achieve long-term strategic HR objectives and to be a key player in the organization’s strategic planning process, some HR departments may need to convince senior management of the value and contribution HR can provide.

 

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Benefits of HR Strategic Planning

The closer the alignment between HR and an organization’s overall business strategy, the better the company’s ability to anticipate and respond to customer needs and to maintain competitive advantage. Rigorous research, planning and development involving workforce culture, behaviours and competencies promote the successful execution of business strategy.

 

Particular benefits of HR strategic planning include the following:

Avoiding costly and disruptive surprises that interfere with achieving goals. Addressing key issues in a timely manner to avoid crises.

Promoting employee productivity and overall organizational success. Providing a sense of direction to positively affect how work gets done. Keeping employees focused on organizational goals.

Providing a strategic focus to guide training and development initiatives. Giving leaders tools to help focus and implement their strategic initiatives.

HR’s role includes developing a plan of HR initiatives to achieve and promote the behaviours, culture and competencies needed to achieve organizational goals.

 

Results-oriented goals broadly include the following:

Correctly assessing staffing and skills needs and keeping training up-to-date. Developing and maintaining competitive pay and benefits.

Managing performance and designing a rewards system that keeps employees motivated. Knowing what competitors are doing to recruit and retain talent.

Providing training, including ethics, which reinforces corporate values. The strategic planning process begins with four critical questions:

Where are we now? (Assess the current situation.)

Where do we want to be? (Envision and articulate a desired future.)

How do we get there? (Formulate and implement a strategy and strategic objectives.)

How will we know if we are on track toward our intended destination? (Establish a mechanism to evaluate progress.)

 

The following sections examine each step in greater detail.

SAMPLE WORK

Complete copy of CS HUMAN RESOURCES MANAGEMENT NOTES is available in SOFT copy (Reading using our MASOMO MSINGI PUBLISHERS APP) and in HARD copy 

Phone: 0728 776 317

Email: info@masomomsingi.com

 

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