SPECIAL TOPIC IN HUMAN RESOURCE

MANAGEMENT
PREPARED BY: SZUSA MAY HUSANA LPT, RPm, CHRA
Emerging
Trends in
HRM

What is Human
Resources?
Skills Needed for HRM
Today’s HRM Challenges
Emerging
Trends in What is Human
HRM Resources?
 Learning Objectives

1.Explain the role of HRM in organizations.

2. Define and discuss some of the major HRM
activities.
 What is Human
Human resource management (HRM) is the Resources?
process of employing people, training them,
compensating them, developing policies
relating to them, and developing strategies
to retain them.
As a field, HRM has undergone many
changes over the last twenty years, giving it
an even more important role in today’s
organizations.
In the past, HRM meant processing payroll,
sending birthday gifts to employees,
arranging company outings, and making
sure forms were filled out correctly—in other
words, more of an administrative role rather
than a strategic role crucial to the success of
the organization
 The Role of HRM
Keep in mind that many functions of HRM are also tasks other department managers perform, which is what makes
this information important, despite the career path taken. Most experts agree on seven main roles that HRM plays
in organizations. These are described in the following sections.

1. Staffing
2. Development of Workplace Policies
3. Compensation and Benefits
Administration
4. Retention
5. Dealing with Laws Affecting
Employment
6. Worker Protection
7. Communication
The Role of HRM
Staffing involves the entire hiring process from
posting a job to negotiating a salary package.
Within the staffing function, there are four main
steps:
1.. Development of a staffing plan. This plan
allows HRM to see how many people they should
hire based on revenue expectations.
2. Development of policies to encourage
multiculturalism at work. Multiculturalism in the
workplace is becoming more and more important,
as we have many more people from a variety of
1. Staffing backgrounds in the workforce.
3. Recruitment. This involves finding people to fill
the open positions.
4.Selection. In this stage, people will be
interviewed and selected, and a proper
compensation package will be negotiated. This
step is followed by training, retention, and
motivation.
 The Role of HRM Every organization has policies to ensure
fairness and continuity within the
organization. One of the jobs of HRM is to
develop the verbiage surrounding these
policies. In the development of policies, HRM,
management, and executives are involved in
the process. For example, the HRM
professional will likely recognize the need for a
policy or a change of policy, seek opinions on
the policy, write the policy, and then
communicate that policy to employees. It is
key to note here that HR departments do not
and cannot work alone. Everything they do
needs to involve all other departments in the
2. Development of Workplace
organization. Some examples of workplace
Policies policies might be the following:
•Discipline process policy
•Vacation time policy
•Dress code
•Ethics policy
•Internet usage policy
 The Role of HRM HRM professionals need to determine that
compensation is fair, meets industry
standards, and is high enough to entice people
to work for the organization. Compensation
includes anything the employee receives for
his or her work. In addition, HRM professionals
need to make sure the pay is comparable to
what other people performing similar jobs are
being paid. This involves setting up pay
systems that take into consideration the
number of years with the organization, years
of experience, education, and similar aspects.
3. Compensation and Examples of employee compensation include
Benefits Administration the following:
•Pay
•Health benefits
•401(k) (retirement plans)
•Stock purchase plans
•Vacation time
•Sick leave
•Bonuses
•Tuition reimbursement
 The Role of HRM HRM professionals need to determine that
compensation is fair, meets industry
standards, and is high enough to entice people
to work for the organization. Compensation
includes anything the employee receives for
his or her work. In addition, HRM professionals
need to make sure the pay is comparable to
what other people performing similar jobs are
being paid. This involves setting up pay
systems that take into consideration the
number of years with the organization, years
of experience, education, and similar aspects.
3. Compensation and Examples of employee compensation include
Benefits Administration the following:
•Pay
•Health benefits
•401(k) (retirement plans)
•Stock purchase plans
•Vacation time
•Sick leave
•Bonuses
•Tuition reimbursement
The Role of HRM

Retention involves keeping and

motivating employees to stay with the
organization. Compensation is a major
factor in employee retention, but there
are other factors as well. Ninety percent
4. Retention of employees leave a company for the
following reasons:
1. Issues around the job they are
performing
2. Challenges with their manager
3. Poor fit with organizational culture
4. Poor workplace environment
The Role of HRM Training and Development
Once we have spent the time to hire new
employees, we want to make sure they not only
are trained to do the job but also continue to
grow and develop new skills in their job. This
results in higher productivity for the
organization. Training is also a key component
in employee motivation. Employees who feel
they are developing their skills tend to be
5. Training and happier in their jobs, which results in increased
Development employee retention. Examples of training
programs might include the following:
•Job skills training, such as how to run a
particular computer program
• Training on communication
•Team-building activities
•Policy and legal training, such as sexual
harassment training and ethics training
The Role of HRM

Dealing with Laws Affecting Employment

Human resource people must be aware of all
the laws that affect the workplace. An HRM
professional might work with some of these
laws:
5. Dealing with Laws •Discrimination laws
Affecting Employment •Health-care requirements
•Compensation requirements such as the
minimum wage
•Worker safety laws
•Labor laws
The Role of HRM

Worker Protection
Safety is a major consideration in all organizations. Oftentimes new
laws are created with the goal of setting federal or state standards to
ensure worker safety. Unions and union contracts can also impact the
6. Worker Protection
requirements for worker safety in a workplace. It is up to the human
resource manager to be aware of worker protection requirements and
ensure the workplace is meeting both federal and union standards.
Worker protection issues might include the following:
• Chemical hazards
• Heating and ventilation requirements
• Use of “no fragrance” zones
• Protection of private employee information
The Role of HRM

Communication
Besides these major roles, good
communication skills and excellent
7. Communication management skills are key to successful
human resource management as well as
general management
 Awareness of External Factors
Outside forces, or external factors, are those things the company has no
direct control over; however, they may be things that could positively or
negatively impact human resources. External factors might include the
following:

1. Globalization and offshoring

2. Changes to employment law
3. Health-care costs
4. Employee expectations
5. Diversity of the workforce
6. Changing demographics of the workforce
7. A more highly educated workforce
8. Layoffs and downsizing
9. Technology used, such as HR databases
10. Increased use of social networking to distribute information to
employees
Key Takeaways

•Capital includes all resources a company uses to generate revenue. Human resources
or the people working in the organization are the most important resource.
•Human resource management is the process of employing people, training them,
compensating them, developing policies relating to the workplace, and developing
strategies to retain employees.
•There are seven main responsibilities of HRM managers: staffing, setting policies,
compensation and benefits, retention, training, employment laws, and worker
protection. In this book, each of these major areas will be included in a chapter or two.
•In addition to being concerned with the seven internal aspects, HRM managers must
keep up to date with changes in the external environment that may impact their
employees. The trends toward flexible schedules and telecommuting are examples of
external aspects.
•To effectively understand how the external forces might affect human resources, it is
important for the HR manager to read the HR literature, attend conferences, and utilize
other ways to stay up to date with new laws, trends, and policies.
 Exercises
1.State arguments for and against the following
statement: there are other things more valuable in
an organization besides the people who work there.
2. Of the seven tasks an HR manager does, which
do you think is the most challenging? Why?