T10.4 - Strategically managing the HRM function (Ch16)
HRM functions
Traditional
Transactional
Transformational
Strategic redirection and renewal
Cultural change
Knowledge management
Management development
Recruitment and selection
Training
Performance
Performance management
Employee relations
Record keeping
Employee services
Benefits administration
To manage the HRM function strategically, HR executives need to:
Measuring HRM effectiveness - approaches
Improving HRM effectiveness
Develop a strategy for HRM
How well are our customers' needs being met?
What products and services do we provide?
What are their needs?
Who are out customers? (internal)
Restructuring
Outsourcing
Process reengineering
Use of new HRM information systems
HRM software applications
Audit approach (both quantitative and qualitative) - table of examples p.672-3
Analytical approach (quantitative in nature)
Basic process for HR strategy (p.667)
Communicate the HR strategy
Develop HR strategy
Identify people issues (lack of... leaders, tech savvy, diversity, etc)
Identify strategic business issues (is it expanding, going international, needing new technology, etc)
Scan the external environment (future talent shortage, aging workforce, etc)
Ways to involve line executives in process (p.669)
Have one or two be part of the HR strategy process
Communicate the HR strategy to all of them
Interview/survey a large number (all) of them
Have senior executive team sign-off on the strategic plan
Determining whether the introduction of a programme or practice has the intended effect
Estimating the financial cost and benefits resulting from an HRM practice
Using analytical data to increase organisational effectiveness
HR accounting
Ultility analysis
Capitalisation of salary
Net present value of expected wage payments
Returns on human assets and human investments
Turnover costs
Absenteeism and sick leave costs
Gains from selection programmes
Impact of positive employee attitudes
Financial gains of training programmes