“How important in your view is human resource management for the purchasing department”

“How important in your view is human resource management

for the purchasing department”

Format of presentationIntroduction

HRM and the business

Human resource and retail management

Internal marketing

organisation design

organisation culture

HRM and purchasing

purchasing

Format of presentation The buyer Case study example: NEXT Overview/ conclusion References Student activity Questions

INTRODUCTION HRM is an important component of an

organisation it plays a vital role in the development

and training of employees HRM has an impact/influence on all

departments within an organisation.

DefinitionThe concept of human resource

management is workforce-centred, directed mainly at the organisation’s employees; finding and training them, arranging for them to be paid, explaining management’s expectations, justifying management’s actions, satisfying employees’ work related needs….

(Torrington and Hall 2001)

People = most important asset a company has

(Redman and Wilkinson 2001)

HRM and the Business

STRUCTURE

HUMAN RESOURCE

MANAGEMENT &

DEVELOPMENT

CULTURE

VISION

MISSION

STRATEGY

of the business

External ‘triggers’

External ‘triggers’Internalisation/globalisation

Technological changes

Government &

legislative changes

intensification of competition

Educational changes

Demographic changes

The wheel of HRM and the business

Performance&

growth

Induct, train & manage

effectively

Appraise and develop for

the short and long term

Business vision, goals and strategy

HRM goals and strategy

Human resource management

Attract and select people to fit the

business

Help to

build an appropriate work

structure and culture

plan positive policies forredeployment & terminationof employment

Achieve meaningful career

planning Motivate & reward in ways that will ensurepeople’s commitment to the business and its customerssource: Harrison 2001)

Human resources & retail management

The organising, selecting and training of personnel must be part of the retail planning process. Human assets are of the utmost importance to retail success, but often plans are made with little regard for the people who will carry them out.

(Cox and Brittain 2001)

Internal Marketing Employees are the essential ingredient in

increasing productivity, providing customer service and beating the competition. Thus, in addition to marketing activities targeted at external customers, firms are use internal marketing to attract, motivate and and retain qualified internal customers (employees) via satisfaction.

(Dibb et al 2001)

Importance of internal marketing Employees are a crucial factor in

determining the success of a business(Broady-Preston and Steel 2002)

satisfied employees makes all the difference

(Arnett et al 2002)

The internal customer-service profit cycle

Employee retention

& profitability External service

quality

Customer

satisfaction

Customer loyaltyProfitable growth

Internal

service quality

Employee satisfaction

Internal marketing Reasons for internal marketing

employees should……

establish 2 way communication

Internal structures What type of structures

bureaucracy

autonomy

Organisational design Organisations have both a structure and

a culture

organising both requires both DIFFERENTIATION & INTERGRATION

there is not a best way of doing either

Organisational culture Structure is firm; culture is soft structure is clear; culture is intangible structure is about systems to which people

have to adapt; culture is about people who have norms and values in common

structure is about the distribution of authority; culture is about how people work together.(Torrington et al 2002)

…continued Organisation structure should be

adaptable, with as few hierarchical levels as possible because fewer hierarchical levels means greater adaptability. Instead of permanent and unchangeable departments.

(Vranesevic et al 2002)

Culture The culture of an organisation can be defined as

the impact of influences on it over time in forming its value and belief systems.

(Cox and Brittain 2001) Observed in the long term, one of the basic

responsibilities and rights of the managing structures is creating company culture. Every company has some features which make its culture different from others.

(Vranesevic et al 2002)

Cultural analysis level Observable behaviour

values

beliefs

eg Safeway changing culture

HRM & Purchasing Human resource management has an

impact on all parts of a business/company

The focus now is on the purchasing department (Buyer)

Purchasing Undergone tremendous change influenced by factors outside the

organisation companies forced to adapt the structure,

roles and operations of their purchasing departments to operate in an external environment which is turbulent.

(Humphreys, McIvor, McAleer 1998)

The buyer Role of the buyer further responsibilities skills in the procurement function interpersonal skills technical skills roles in the purchasing/buying centre

Next

Buyer qualities: Manages Delegates Recruits Motivates Monitors

Going back to the question…….. Human resource management is VERY

important for the purchasing department because………………….

They work closely together with other parts of the business therefore they must strive for the same goal

Over view/conclusion How human resource management fits

into the wider picture of RETAILING Improving all aspects of the business,

start internally first, then that will help to improve other parts of the business

add value internally HR department do this

References Anonymous (2002) “BMW’s training management undergoes a quite

revolution” MBC university press Anonymous (2001) “perceptions of the value of the HR function”

Human resource management journal vol 11 p70 Arnett DB, Laverie DA, McLance C (2002) “using job satisfaction and

pride as internal marketing tools” The cornell Hotel Quartly Vol 43 Broady-Preston J, Steel L (2002) “internal marketing strategies: a

strategic management perspective” Library Management Vol 23 p294-301

Cox R, Brittain P (2001) Retail management Prentice Hall Dibb S, Simkin L, Ferrell OC (2001) Marketing concepts and

strategies Houghton Mifflin Harrison R (2001) Employee development CIPD

References Humphreys P, McIvor R, McAleer E (1998) “The purchasing

function as a professional service firm: implications for training and development” Journal of European Industrial Training p3-11

Linder J (2000) “paying the personal price for performance” Liu W, Lepak DP, Takeuchi R, Sims HD (2003) “Matching

leadership styles with employment models” Human Resource Management Review Vol 13 p127-152

Strategy and leadership Vol 28 p22-26 Mattila H, King R, Ojala N (2002) “Retail performance measures for

seasonal fashion” Journal of fashion marketing management vol 6 pg 340-351

Redman T, Wilkinson A (2001) Contemporary Human Resource management Prentice Hall

References Torrington D, Hall L (2002) Human resource management

Prentice Hall Vranesevic T, Vignali C, Vignali D (2002) “Culture in defining

consumer satisfaction in Marketing” European Business Review Vol 14 p364-374

www.next.co.uk Other sources: D Ryding (2002/3) Lecture notes

Student activity Anagrams

TULUCER

RUBYE

NAMHU CUROSREE

ANY QUESTIONS????