For use with Organizational Behaviour and Management by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning HRM and organizations Chapter.

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

1408018128© 2010 Cengage Learning

HRM and organizations

Chapter 13

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

1408018128© 2010 Cengage Learning

Models of people management practice

• Four models of HR practice:– Fombrum et al begins with the view that people

represent one of a number of resources– Beer et al suggest that a stakeholder view of people

within an organization provides a more effective way to manage

– Schuler and Jackson suggest a link between competitive strategy (cost or innovation) and people management approaches

– Hendry et al suggest five interlinked contexts (outer, inner, business strategy, HR context and HR content)

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

1408018128© 2010 Cengage Learning

HRM and business strategyBest fit or contingency approach - three different strategic models:

• Life-cycle models

• Competitive advantage models

• Strategic configurations

Resource-based approach – five issues result:

• The need to identify the key human resources

• The need to determine if the focus should be on people, practices or processes

• The ways that interpersonal and team relationships function has an impact on performance

• The is a need to consider the external forces that can impact on HRM strategy

• The context or industry issues that impact on HRM must be considered

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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The role of HRM in organizations

Legge (1978) suggested the following categories:

– Conformist innovator - encourages the adaption of HR practice, but within the current rules, status quo and management style

– Deviant innovator - encourages the adaption of HR practices, but in ways that go beyond the current rules, status quo and management style

– Problem solver – does not attempt to develop HR practice beyond dealing with problems as they arise

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The role of HRM in organizations

Marchington and Wilkinson (2005) suggest four roles for HR (based on levels of HR profile and HR involvement):

• Change agent

• Adviser

• Regulator/internal contractor

• Service provider

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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The role of HRM in organizations

Ulrich (1998) also identifies four roles (based on levels of HR management of people or process and HR involvement):

• Business partner • Change agent• Administrative expert• Employee champion

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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People management – issues and activities

• Human resource planning• Resourcing• Training and development• Reward and performance management• Employee relations• Discipline and grievance handling• Equality and diversity

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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Disciplines falling within HRMTable 13.1

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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Human resource planning

Mathis and Jackson (2008, 47) identify the major stages in HR planning as:

• Review organizational objectives and strategies• Scan external environment for labour supply information• Assess internal labour availability and potential• Develop from the above the labour forecast• From that forecast identify the organizations need for people in

the short, medium and longer terms• From the previous stage match current internal labour availability

to requirements• From the previous stages identify HR strategies plans in relation

to resourcing externally, career development, training and development, performance management etc

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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Resourcing• Recruitment - identifying an appropriate number of

potentially appropriate employees from which suitable individuals will be chosen for the next stage of the process

• Selection - involves the applicant selecting the organization and the organization selecting the applicant. Bowen et al., 1996 suggest three levels of organizational ‘fit’ are assessed during the process;– Fit with the organization– Fit with the department and team– Fit with the job itself

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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Selection methods

Mathis and Jackson suggest:– Application form or CV as the basis of candidate information– Face-to-face interviews - single interviewers or multiple

interviewers with either single or a sequence of several interviews

– Self and peer assessment– Telephone interviews– Psychometric testing– Group methods and assessment centres– Work tests and portfolios– References– Other methods such as handwriting analysis

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

1408018128© 2010 Cengage Learning

Training and development

Methods include:

• On-the job methods

• Off-the job methods

• Open, distance and e-learning

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

1408018128© 2010 Cengage Learning

Training and development

Evaluating T&D provision:

• Post event evaluation

• Impact on work behaviour

• Impact on job performance

• Impact on departmental performance

• Impact on the wider organizational effectiveness

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

1408018128© 2010 Cengage Learning

Employee involvement and empowerment

Involvement and empowerment practices include:• Information sharing and communication• Upward problem solving• Financial participation• Attitude development• Team autonomy• Personal autonomy• Total Quality management

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Industrial action

The most common forms are:• Strike • Lockout• Work to rule• Go slow• Overtime/flexibility restriction• Withdrawal of good-will

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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Employee voice

• Require that mechanisms are in place that encourage employees to articulate or otherwise express their concerns, feelings, worries, thoughts and opinions

• By encouraging employee voice it is anticipated that involvement will become more meaningful with high commitment and performance resulting

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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Equality and diversity

• Equality - based on legislative provision for equality of treatment

• Diversity - reflects a recognition that individuals differ from each other in many ways and that high organizational performance can be achieved through harnessing that potential

• Diversity represents a business results based approach to difference between people whereas equality represents a moral approach to fairness

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

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HRM and organizational change

The CIPD (2007) identify 'the seven C's of change' with HR having a key role in each:

• Choosing a team• Crafting the vision and the path• Connecting organization-wide change• Consulting stakeholders• Communicating• Coping with change• Capturing learning

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

1408018128© 2010 Cengage Learning

HRM and international business

Brewster et al (2007) suggest that for international operations, HR practitioners need to consider:

• Do we have a strategy for becoming an international firm?

• What type of managers will we need to be successful? And how do we find or develop them?

• How can I find out about the way that HRM is conducted in other countries: the laws, trade unions, labour market, expectations …?

• What will be the impact of local cultural norms on our home-based ways of working? Can we use all or any of them in other countries?

• How will we choose whether to send expatriates or use local employees?

• How do we manage international moves if we choose to send some people out from home?

• How do we manage knowledge across geographical and cultural distance?

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz

1408018128© 2010 Cengage Learning

HRM and OB

Many OB themes have direct relevance to HR including:• Personality and individual difference• Perception and attitudes• Motivation• Leadership and management• Groups and teams• Communications• Conflict and negotiations• Organizational structure• Control, reward and job design• Culture• Power, influence and politics• Relationships fairness and trust