Human Resource Management in Business
Near East University
Faculty Of Economics &
Administrative Sciences
MAN - 101 Introduction To Business
Week
5
Tu
ğberk KAYA
t
ugberk.
kaya@neu.edu.tr
Human Resource Management (HRM)
HRM is the process of acquiring, training, appraising, and compensating
employees, and attending to their labor relations, health and safety, and
fairness concerns. (Dessler, 2008)
‘HRM comprises a set of policies designed to maximize organizational
integration, employee commitment, flexibility and quality of work.’
(Guest,
1987)
‘The management of work and people towards desired ends’
(Purcel
et. al,
2003)
Four key activities:
Selection,
Performance management,
Reward,
Development
(Fombrum, Tichy, Devanna 1984)
Why HR is important?
Aims of HRM
HR Manager Proficiencies
1.
HR Proficiencies:
Employee Selection
Training
Compensation
2. Business Proficiencies:
Merge business objectives with employee objectives.
Strategic planning
Production
Marketing
Finance
HR Manager Proficiencies
3. Leadership
-
Leading teams effectively
-
Change management
4. Continuous Learning:
-Research and apply recent trends in the industry.
Job Analysis
‘The procedure for determining the duties and skill
requirements of a job and the kind of person who
should be hired for.’
Why Job Analysis is required?
In order to produce
information used for j
ob
description
and
job specifications.
Definitions
Job Description:
‘A list of a job’s duties, responsibilities, reporting
relationships, working conditions, and supervisory
responsibilities.’
Job Specifications:
‘
A list of a job’s human requirements, required
education, skills and personality.’
Functions of
HR Manager
By
job analysis
HR Manager collets following
information;
Work activities
Human Behaviours
Machines, tools, equipment and work aids
Performance standards
Job context
Human Requirements
Why job analysis is important?
Recruitment and Selection
Compensation
Training
Performance Appraisal
Discovering Unassigned Duties
Personal Planning & Forecasting
Personal Planning (PP) is about deciding what
positions the firm will have to fill and how to fill them.
PP can include all jobs from cleaning staff to CEO.
Executive jobs can also be selected by succession
planning.
Personal Planning should derive from the firm’s
strategic plans.
Forecasting Personal Needs
Simple method; forecast revenue then estimate size of staff
required to achieve this sales volume.
Trend Analysis: study of a firm’s past employment needs over a
period of years to predict future needs.
Ratio Analysis: A forecasting technique for determining future
staff needs by using ratios between, for example, sales volume
and number of employees need.
The Scatter Plot: A graphical method used to help identify the
relationship between two variables.
The Training Process
Training
The process of teaching new employees the basic skills
they need to perform their jobs.
The strategic context of training
Performance management: the process employers use to
make sure employees are working toward organizational
goals.
Web-based training
Distance learning-based training
Cross-cultural diversity training
The Training and Development Process
1.
Needs analysis
Identify job performance skills needed, assess prospective trainees
skills, and develop objectives.
2.
Instructional design
Produce the training program content, including workbooks,
exercises, and activities.
3.
Validation
Presenting (trying out) the training to a small representative audience.
4.
Implement the program
Actually training the targeted employee group.
5.
Evaluation
Assesses the program’s successes or failures.
Performance appraisal
Evaluating an employee’s current and/or past
performance relative to his or her performance
standards.
The process employers use to make sure employees
are working toward organizational goals.
Performance management
Needs and Motivation
Abraham Maslow’s Hierarchy of Needs
Five increasingly higher-level needs:
physiological (food, water, sex)
security (a safe environment)
social (relationships with others)
self-esteem (a sense of personal worth)
self-actualization (becoming the desired self)
Lower level needs must be satisfied before higher level
needs can be addressed or become of interest to the
individual.
Herzberg’s Hygiene–Motivator theory
Hygienes (extrinsic job factors)
Inadequate working conditions, salary, and incentive pay
can cause dissatisfaction and prevent satisfaction.
Motivators (intrinsic job factors)
Job enrichment (challenging job, feedback and
recognition) addresses higher-level (achievement, self-
actualization) needs.
The best way to motivate someone is to organize the job
so that doing it helps satisfy the person’s higher-level
needs.
Needs and Motivation
Instrumentality and Rewards
Vroom’s Expectancy Theory
A person’s motivation to exert some level of effort is a function
of three things:
Expectancy:
that effort will lead to performance.
Instrumentality:
the connection between performance and the
appropriate reward.
Valence:
the value the person places on the reward.
Motivation = E x I x V
If any factor (E, I, or V) is zero, then there is no motivation to
work toward the reward.
Employee confidence building and training, accurate appraisals,
and knowledge of workers’ desired rewards can increase employee
motivation.
References
Dessler, G. (2008)
Human Resource Management
. 11
th
edn. Harlow: Pearson Education Ltd
Drucker, P. F. (1993)
Post-capitalist society
. New York: Harper Collins Publishers
Guest, D. (1987), “Human resource management and industrial relations”, Journal of
Management Studies, Vol. 24 No. 5, pp. 503-21. DOI:
http://dx.doi.org/10.1108/17410400810867508
DEVANNA, M. A., FOMBRUN, C . and TICHY, N . (1984). 'A framework for strategic human resource management'. In Fombrun,
C., Tichy, N. M. and Devanna, M. A. (Eds),
Strategic Human Resources Management.
New York: WUey.
Hall, E.T. and Hall, M.R. (1990)
Understanding cultural differences
. London: Nicholas Brealey Publishing
Hofstede, G. and Hofstede, G.J. (2005)
Cultures and Organizations: Software of the Mind
. 2
nd
edn. New York: The McGraw-Hill
Companie
s
Mondy, R. (2005)
Human Resource Management
. Harlow: Pearson Education Ltd
Purcell, J., Kinnie, N., Hutchinson, S., Rayton, B. and Swart, J. (2003)
Understanding the People and Performance Link: Unlocking the Black Box
.
London: CIPD
Tuckman and Jensen (1977);
https://www.learning.ox.ac.uk/media/global/wwwadminoxacuk/localsites/oxfordlearninginstitute/documents/supportresources/lecturersteac
hingstaff/developmentprogrammes/StagesinGroupDevelopment.pdf
Trompenaars, F. and Hampden-Turner, C. (2011)
Riding the Waves of Culture: Understanding Cultural Diversity in Business
. 2
nd
edn.
London: Nicholas Brealey Publishing
Any Questions?
t
ugberk.
kaya@neu.edu.tr
Human Resource Management (HRM) is crucial for organizations to acquire, train, appraise, and compensate employees effectively. It involves managing labor relations, health, safety, and fairness to enhance organizational integration, employee commitment, and work quality. HRM encompasses key activities like selection, performance management, rewards, and development to align business objectives with employee goals. HR managers need proficiencies in employee selection, training, compensation, strategic planning, leadership, and continuous learning. Job analysis is essential to determine job duties, skill requirements, and the type of candidates needed, leading to job descriptions and specifications.
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Near East University Faculty Of Economics & Administrative Sciences MAN - 101 Introduction To Business Week 5 Tu berk KAYA tugberk.kaya@neu.edu.tr
Human Resource Management (HRM) HRM is the process of acquiring, training, appraising, and compensating employees, and attending to their labor relations, health and safety, and fairness concerns. (Dessler, 2008) HRM comprises a set of policies designed to maximize organizational integration, employee commitment, flexibility and quality of work. (Guest, 1987) The management of work and people towards desired ends (Purcel et. al, 2003)
Four key activities: Selection, Performance management, Reward, Development (Fombrum, Tichy, Devanna 1984)
Aims of HRM Old Employment Model New Employment Model Flexible Low Conflict High Performance Inflexible High Conflict Low Productivity
HR Manager Proficiencies HR Proficiencies: 1. Employee Selection Training Compensation 2. Business Proficiencies: Merge business objectives with employee objectives. Strategic planning Production Marketing Finance
HR Manager Proficiencies 3. Leadership - Leading teams effectively - Change management 4. Continuous Learning: -Research and apply recent trends in the industry.
Job Analysis The procedure for determining the duties and skill requirements of a job and the kind of person who should be hired for. Why Job Analysis is required? In order to produce information used for job description and job specifications.
Definitions Job Description: A list of a job s duties, responsibilities, reporting relationships, working conditions, and supervisory responsibilities. Job Specifications: A list of a job s human requirements, required education, skills and personality.
Functions of HR Manager By job analysis HR Manager collets following information; Work activities Human Behaviours Machines, tools, equipment and work aids Performance standards Job context Human Requirements
Why job analysis is important? Recruitment and Selection Compensation Training Performance Appraisal Discovering Unassigned Duties
Personal Planning & Forecasting Personal Planning (PP) is about deciding what positions the firm will have to fill and how to fill them. PP can include all jobs from cleaning staff to CEO. Executive jobs can also be selected by succession planning. Personal Planning should derive from the firm s strategic plans.
Forecasting Personal Needs Simple method; forecast revenue then estimate size of staff required to achieve this sales volume. Trend Analysis: study of a firm s past employment needs over a period of years to predict future needs. Ratio Analysis: A forecasting technique for determining future staff needs by using ratios between, for example, sales volume and number of employees need. The Scatter Plot: A graphical method used to help identify the relationship between two variables.
The Training Process Training The process of teaching new employees the basic skills they need to perform their jobs. The strategic context of training Performance management: the process employers use to make sure employees are working toward organizational goals. Web-based training Distance learning-based training Cross-cultural diversity training
The Training and Development Process Needs analysis Identify job performance skills needed, assess prospective trainees skills, and develop objectives. Instructional design Produce the training program content, including workbooks, exercises, and activities. Validation Presenting (trying out) the training to a small representative audience. Implement the program Actually training the targeted employee group. Evaluation Assesses the program s successes or failures. 1. 2. 3. 4. 5.
Performance appraisal Evaluating an employee s current and/or past performance relative to his or her performance standards. Performance management The process employers use to make sure employees are working toward organizational goals.
Needs and Motivation Abraham Maslow s Hierarchy of Needs Five increasingly higher-level needs: physiological (food, water, sex) security (a safe environment) social (relationships with others) self-esteem (a sense of personal worth) self-actualization (becoming the desired self) Lower level needs must be satisfied before higher level needs can be addressed or become of interest to the individual.
Needs and Motivation Herzberg s Hygiene Motivator theory Hygienes (extrinsic job factors) Inadequate working conditions, salary, and incentive pay can cause dissatisfaction and prevent satisfaction. Motivators (intrinsic job factors) Job enrichment (challenging job, feedback and recognition) addresses higher-level (achievement, self- actualization) needs. The best way to motivate someone is to organize the job so that doing it helps satisfy the person s higher-level needs.
Instrumentality and Rewards Vroom s Expectancy Theory A person s motivation to exert some level of effort is a function of three things: Expectancy: that effort will lead to performance. Instrumentality: the connection between performance and the appropriate reward. Valence: the value the person places on the reward. Motivation = E x I x V If any factor (E, I, or V) is zero, then there is no motivation to work toward the reward. Employee confidence building and training, accurate appraisals, and knowledge of workers desired rewards can increase employee motivation.
References Dessler, G. (2008) Human Resource Management. 11th edn. Harlow: Pearson Education Ltd Drucker, P. F. (1993) Post-capitalist society. New York: Harper Collins Publishers Guest, D. (1987), Human resource management and industrial relations , Journal of Management Studies, Vol. 24 No. 5, pp. 503-21. DOI: http://dx.doi.org/10.1108/17410400810867508 DEVANNA, M. A., FOMBRUN, C . and TICHY, N . (1984). 'A framework for strategic human resource management'. In Fombrun, C., Tichy, N. M. and Devanna, M. A. (Eds), Strategic Human Resources Management. New York: WUey. Hall, E.T. and Hall, M.R. (1990) Understanding cultural differences. London: Nicholas Brealey Publishing Hofstede, G. and Hofstede, G.J. (2005) Cultures and Organizations: Software of the Mind. 2nd edn. New York: The McGraw-Hill Companies Mondy, R. (2005) Human Resource Management. Harlow: Pearson Education Ltd Purcell, J., Kinnie, N., Hutchinson, S., Rayton, B. and Swart, J. (2003) Understanding the People and Performance Link: Unlocking the Black Box. London: CIPD Tuckman and Jensen (1977); https://www.learning.ox.ac.uk/media/global/wwwadminoxacuk/localsites/oxfordlearninginstitute/documents/supportresources/lecturersteac hingstaff/developmentprogrammes/StagesinGroupDevelopment.pdf Trompenaars, F. and Hampden-Turner, C. (2011) Riding the Waves of Culture: Understanding Cultural Diversity in Business. 2nd edn. London: Nicholas Brealey Publishing
Any Questions? tugberk.kaya@neu.edu.tr
