M1 business strategies (Cost

Leadership)
MANAGING PEOPLE: A CRITICAL ROLE
FOR EVERY MANAGER: MANAGING CHANGE:
1.​ An ongoing process whose objective
1.​ Staffing is to enhance the ability of an
2.​ Retention organization to anticipate and
3.​ Development respond to developments in its
4.​ Adjustment external and internal
5.​ Managing Change environments, and to enable
employees at all levels to cope with
STAFFING: the changes.
1.​ Identifying Work Requirements
Within an Organization
2.​ Determining the Number of People
and The Skills Mix necessary to do
the work
3.​ Recruiting, Selecting, and Promoting
Qualified Candidates

RETENTION:
1.​ rewarding employees for performing
their jobs effectively
2.​ ensuring harmonious working
relations between employees and
managers
3.​ maintaining a safe, healthy work HRM Is affected by CHOICES:
environment. choices that organizations make from a
wide variety of possible policies, practices,
DEVELOPMENT: and structures for managing employees
1.​ Development is a function whose
objective is to preserve and enhance FEATURES OF A COMPETITIVE
employees’ competence in their jobs BUSINESS ENVIRONMENT:
through improving their knowledge, 1.​ Globalization - free movement of
skills, abilities, and other capital, goods, services, ideas,
characteristics. information, and people across
2.​ Competencies - Special Term used national boundaries
by HR to these items. 2.​ Technology - HRIS
3.​ Sustainability - ability to meet the
ADJUSTMENT: needs of the present without
1.​ Comprises activities intend to compromising the ability of future
maintain compliance with HR generations to meet their needs
Policies (Through Discipline) and 4.​ Demographic Changes
NEW FORM OF ORGANIZATION: -​ One way equates QWL with a set of
●​ Virtual Organizations - where teams objective organizational conditions
of specialists come together to work and practices (e.g.
on a project then disband when the promotion-from-within policies,
project is finished. democratic supervision, employee
●​ Virtual Workplace involvement, safe working
- in which employees operate conditions).
remotely from each other and from -​ The other way equates QWL with
managers. employees’ perceptions that they are
- Work anywhere, anytime in safe and relatively well-satisfied
cyberspace
BUSINESS TRENDS AND HR
Facilitates these arrangements: COMPETENCIES
●​ e-mail, 1. HUMAN RESOURCE EXPERTISE
●​ teleconferencing, The ability to apply the principles and
collaborative software, practices of human resource management
●​ and intranets (within to contribute to the success of the business.
company information
networks) 2. RELATIONSHIP MANAGEMENT
The ability to manage interactions to provide
RESTRUCTURING: service and to support the organization.
1.​ can assume a variety of forms, of
which employment downsizing is 3. CONSULTATION
probably the most common. The ability to provide guidance to
2.​ Companies 1can restructure by organizational stakeholders.
selling or buying plants or lines of
business by 2altering reporting 4. LEADERSHIP AND NAVIGATION
relationships, or 3by laying off The ability to direct and contribute to
employees. initiatives and processes within the
organization.
DOWNSIZING:
1.​ The planned elimination of 5. COMMUNICATION
positions or jobs, has had, and will The ability to effectively exchange with
continue to have, profound effects stakeholders.
on organizations, managers at all
levels, employees, labor markets, 6. GLOBAL AND CULTURAL
customers, and shareholders. EFFECTIVENESS
The ability to value and consider the
PRODUCTIVITY is a measure of the perspectives and backgrounds of all parties.
output of goods and services relative to
the input of labor, capital, and 7. ETHICAL PRACTICE
Equipment. The ability to support and uphold the values
of the organization while mitigating risk.
QUALITY OF WORK LIFE
8. CRITICAL EVALUATION HR STRATEGY
The ability to interpret information to make Refers to the decisions, processes, and
business decisions and recommendations. choices organizations make regarding how
they manage their people
9. BUSINESS ACUMEN
The ability to understand and apply WORKFORCE ANALYTICS
information to contribute to the A set of quantitative approaches that
organization’s strategic plan. answer two simple questions:
-​ What do we need to know to
21ST CENTURY CORPORATIONS run the organization
effectively
1. Employment security -​ How do we turn that
2. Selective hiring knowledge into action
3. Self-managed teams and FINANCIAL EFFECTS OF EMPLOYEE
decentralization are basic elements ATTITUDES
of organization design.
4. Comparatively high compensation ATTITUDES: Internal states that focus on
contingent on organizational aspects of or objects in the environment
performance. -​ Cognition
5. Extensive training -​ Emotion
6. Reduced differences in status -​ Action
7. Sharing of information
JOB SATISFACTION
KEY POINTS: Multidimensional attitude. It is made up of
-​ People are a major component of attitudes toward pay, promotions,
any business, and the management coworkers, supervisions, the work itself, and
of people (HRM) is a major part of so on
every manager’s job.
-​ “strategic HRM” to refer to the wisest ORGANIZATIONAL COMMITMENT
possible use of people with respect -​ A bond or linking of an individual to
to the strategic focus of the the organization that makes it
organization difficult to leave.
-​ HRM FUNCTION: responsible for -​ It is the emotional engagement that
maximizing productivity, quality of people feel toward an organization
work life, and profits through better -​ Commitment could be (2) to the job,
management of people. or to the firm. Can be a commitment
to contribute or to stay. OR BOTH
M2
SYSCO’s VALUE PROFIT CHAIN:
COMPETITIVE STRATEGY -​ Effective management practices
Refers to the decisions, processes and drives Employee satisfaction
choices that organizations make to position drives Customer Satisfaction
themselves for sustainable success drives Long term profitability &
growth
SYSCO PRACTICES: with employees and supervisors,
1.​ Leadership Support used to identify the causes of
2.​ Front-Line Supervisor absenteeism and to estimate
3.​ Rewards variation in absenteeism across
4.​ Quality of LIfe different segments of employees
5.​ Diversity/Engagement
6.​ Customer Focus MEASURES
-​ Focus on specific numbers
MONETARY PAYOFFS -​ Examples are Finding employee pay
and benefit numbers, time sampling
COSTING EMPLOYEE ABSENTEEISM to determine lost time

ABSENTEEISM COSTING EMPLOYEE TURNOVER

-​ Any failure of an employee to report
for or to remain at work as TURNOVER
scheduled, regardless of reason. -​ Occurs when an employee leaves
-​ Term “AS SCHEDULED” is very an organization permanently
significant, for it automatically -​ Transfers within an organization and
excludes vacations, holidays, jury temporary layoffs are not included.
duty*, and the like. It also eliminates -​ No. of turnover incidents per
the problem of whether an absence period/Average Workforce size
is excusable or not.
COMPONENTS OF TURNOVER COSTS
COSTS OF ABSENTEEISM ●​ Separation
1.​ Cost of payments for nonwork time ●​ Replacement
of absentees ●​ Training
2.​ Costs of managing absenteeism
problems SEPARATION COSTS:
3.​ Cost of time of replacement 1.​ Exit Interview
workers 2.​ Administrative Functions related to
4.​ Cost of reduced work quantity or Termination
quality 3.​ Separation Pay
4.​ Increased Unemployment Tax
Cost of Absenteeism
= No. of Turnover Per Period/Average REPLACEMENT COSTS
Workforce size 1.​ Communicating Job availability
2.​ Pre-employment administrative
ANALYTICS functions
-​ Refers to formulas (absences rate, 3.​ Entrance Interview
total pay, supervisory time) and to 4.​ Testing
comparisons to industry averages 5.​ Staff Meeting
and adjustments for seasonality 6.​ Travel & Moving Expenses
-​ Includes various methodologies, for 7.​ Post-employment acquisition and
example, surveys and interviews dissemination of information
 8.​ Medical Examination M3

TRAINING COSTS LABOR CODE

1.​ Informational Literature (Employee
handbook) 8282 RA 11210 - MATERNITY BENEFITS
2.​ New-Employee orientation (FEMALE MARRIED OR NOT)
(On-boarding) -​ 105 LEAVE CREDITS WITH PAY.
3.​ Instruction in a formal training -​ Can be extended for 30 DAYS
program without pay
4.​ Instruction by employee assignment, -​ 15 additional leave credits if solo
for example, on the job training. parent.
-​ Miscarriage - 60 leave credits with
pay
FINANCIAL EFFECTS OF WORK-LIFE
PROGRAMS RA 8187 - PATERNITY BENEFITS
-​ 7 days with full pay
WORK-LIFE PROGRAM -​ Needs to be lawful wife, no
Includes any employer-sponsored benefit or extension
working condition that helps an employee
manage work and nonwork demands RA 8972, amended RA 11861 - SOLO
1.​ Child and dependent care benefits PARENT BENEFITS
2.​ Flexible working conditions -​ 7 days with pay
3.​ Leave options -​ CHILD is considered as 22 YEARS
4.​ Information Services & HR Policies OLD AND BELOW. Unmarried and
5.​ Organizational Cultural Issues no employment
-​ Reason of leave must be required or
FLEXIBLE WORK ARRANGEMENTS beneficial to the child (Must be
-​ Should consider financial & proof)
nonfinancial effects that have been -​ Who can avail: With dead spouses,
reported for these key outcomes: imprisoned, OFW not home for 12
Talent Management1 (recruitment months, spouses with
and lower turnover) and physical/mental incapacity, Child
Human-Capital Outcomes2 product of rape
(increased satisfaction and -​ Solo parent must be separated
commitment, decreased stress) legally, annulled, widowed, or
abandoned for SIX (6) MONTHS
LINKING WORKER BELIEFS TO
INCREASED PRODUCTIVITY AND RA 11058 - SAFETY OF EMPLOYEES
PROFITABILITY (DOLE / BWC -BUREAU OF WORKING
1.​ Select for talent CONDITIONS)
2.​ Define the right outcomes -​ Safety signages/training, protective
3.​ Focus on strengths equipment & PP
4.​ Find the right fit -​ Right to refuse work
-​ Right to be informed about hazards
 -​ Minimum age to hire children: 15
Compensation YEARS OLD. MUST NOT
RA 6727 - WAGES RATIONALIZATION INTERFERE WITH SCHOOLING
Minimum wage, holiday pay, premium pay, -​ Family Business/Showbiz
active pay, night shift differential, service
changes RA 9994 - SENIOR
RA 7277 / RA 10524 - PWD
FOUR INDUSTRIES
1.​ Non-agriculture ARTICLE 95 OF LABOR CODE -
2.​ Agriculture SERVICE INCENTIVE LEAVE
3.​ service/retail establishment -​ 5 DAYS OF LEAVE FOR THOSE
4.​ manufacturing establishment WHO HAVE WORKED 1 YEAR IN
THE JOB
DAILY MINIMUM WAGE IN NCR:
1.​ Non-agriculture - 610 RA 11199
2.​ Agriculture - 573 -​ 90 DAYS FULL PAY OF SICK
3.​ service/retail establishment - 573 LEAVE FOR THOSE WHO HAVE
4.​ manufacturing establishment - 573 WORKED 1 YEAR

CALABARZON: 350 - 470 Mandatory Benefits

RA 6758 - COMPENSATION AND RA 1161, AMENDED FROM 11199 -

POSITION CLASSIFICATION SSS/GSIS

PD442 - ADDITIONAL PAY BEYOND 8 RA 7875 (as amended by RA 9241 and

HOURS 10606)- PHILHEALTH / NHIP

RA 9178 - BARANGAY MICRO BUSINESS RA 9679-PAGIBIG (Pagtutulungan sa

ENTERPRISES Kinabukasan: Ikaw, Bangko, Industriya, at
Gobyerno
RA 10911 - EQUAL EMPLOYMENT / ANTI
AGE DISCRIMINATION ACT PD 851-13TH MONTH PAY

RA 9710 MAGNA CARTA OF WOMEN

BFOQ - BONAFIDE OCCUPATIONAL

QUALIFICATION
-​ Legal restrictions in firing and
employing person based on sex,
religion or national origin.

Minority Groups Benefit

RA 9231 - MINOR