INTRODUCTION TO BUSINESS
Assoc. Prof. Dr. Yasemin BAL
HUMAN RESOURCE MANAGEMENT
HUMAN RESOURCE MANAGEMENT
Human Resource Management (HRM) is
defined as the function of attracting,
developing and maintaining sufficient numbers
of skilled employees to perform the activities to
achieve organizational goals.
HRM is important for both top managers and
HR managers.
ENVIRONMENTAL INFLUENCES ON HRM
Organizations operate in an environment. Many factors in the
environment have influence over the organizations.
The human resources of the organizations are also under
the influence of environmental factors.
Employees have different needs, wants and expectancies to
be satisfied. However, these needs change as time
progresses.
Organizations will achieve high performance with satisfied
employees.
EXTERNAL AND INTERNAL ENVIRONMENTAL
FACTORS INFLUENCING HRM
Workforce
Diversity
Personal Interpersonal
Factors Factors
External HRM Regulators
Sources of HR
Job Organizational
Characteristics Factors
Competitors
INTERNAL ENVIRONMENTAL FACTORS
INFLUENCING HRM
Personal Factors: Emploee needs, wants, expectations, common
values, perception of their roles and motivation and their abilities are
some internal factors that affect HRM.
Job Characteristic: Different and various jobs in the organization have
influence over HRM. The work load, job security issues, working
conditions.
Interpersonal Relations: Leadership styles, formal and informal groups
affect the interpersonal relations and HRM.
Organizational Factors: Top management, size of the organization,
characteristics of the industry, competitive strategy of the
organization, mergers, technology affect HRM.
EXTERNAL ENVIRONMENTAL FACTORS
INFLUENCING HRM
Workforce Diversity: The demographic characteristics of
the workforce in the community such as education level,
gender, age groups are closely related with HRM.
External Sources of HR: The pool from which the
organization recruits its necessary qualified staff such
as vocational schools, universities, unions, HR agencies.
Competitors: An organizations’ competitors will have the
same demand similar qualified workforce.
Regulators: Government regulations on labor issues
have great effects on HRM. Minimum wage levels,
health and safety laws..
FUNCTIONS OF HRM
HR Planning
HR
HR
Recruitment
Compensation
and Selection
Functions
HRM
HR HR Training
Performance and
Appraisal Development
HUMAN RESOURCE PLANNING
DETERMINING • Past Experiences
THE RIGHT • Evaluating the work loads
NUMBER OF
PEOPLE • Production technology
• The practices of other companies
• Job analyses
DETERMINING • Job description
THE RIGHT
QUALIFICATION • Job spesification
OF PEOPLE • Job evulation
HUMAN RESOURCE PLANNING
Planning is determining of future activities to
achieve pre-set goals.
HR planning is determining the right amount of
people with the right qualifications at the right
time and the right place to achieve company’s pre-
set goals.
HRM should be linked to company’s overall
strategic mission and goals.
DETERMINING THE RIGHT NUMBER OF PEOPLE
Past experiences in the company may give us
information to determine the correct number of people.
Trend analysis and ratio analysis are used to predict the
future needs.
Evaluating workloads such as amount of production and
number of customers will help to find out the number of
employees needed.
Production technology that a company utilizes, will
determine the people required.
HR practices of other companies that produce similar
goods and services may give some ideas to determine
teh right number of employees.
DETERMINING THE RIGHT QUALIFICATION OF
EMPLOYEES
To determine the required skills, knowledge and
abilities for various jobs existing in the
organization, job analysis studies should be
conducted.
Analyzing in detail all jobs in the company
describes job analysis. It provides information
about the jobs, adequate knowledge, skills,
physical activities and abilities that employees
need to perform these jobs.
JOB ANALYSIS METHODS
Interview method
Structured questionnaire method
Observation method
JOB ANALYSIS
Job analysis is the principal conceptual and
analytical process that develops and generates
3 important results:
Job description
Job spesification
Job evaluation
JOB DESCRIPTION
It is a written statement that describes the
analyzed jobs based on a job analysis
conducted in the workplace.
It is a list of a job’s identification, duties,
responsibilites, reporting relationships, working
conditions etc.
JOB SPECIFICATION
It enlightens the management on the needed
qualifications, skills and talents that employees
must own for fulfilling their functions properly
and effectively.
This is another output of job analysis. It can
also be defined as a list of a job’s «human
requirements».
JOB EVALUATION
It stated the relative value of jobs existing in
the organization. It is one of the important
parts of compensation management in HRM.
HR RECRUITING AND SELECTION
Selection of the right employee is important.
Low productivity is most faced due to
unqualified people in the organization.
When management is aware of existing jobs in
the organization as a result of job analysis, job
description and job specification, then it is
important to fill these positions with qualified
people.
HR RECRUITING AND SELECTION
•Interior Sources
RECRUITING
•Exterior Sources
•Selection from interior sources
SELECTION
•Selection from exterior sources
HR RECRUITING AND SELECTION
Recruiting: It is the second principal function of
HRM.
It is defined as the «candidate search and find»
process.
In this stage, the HRM initially develops a
candidate pool or group form which the
organization selects the necessary qualified
personnel.
With recruitment process, HRM finds the
appropriate candidates for vacant positions.
HR RECRUITING AND SELECTION
Selection: The most systematic way to find employees
from interior sources is career planning.
The important steps in selecting candidates from
exterior sources are as follows:
Application form
Tests (Cognitive ability, personality, physical, achievement
etc.)
Interviews
Medical examination
Reference checks
Employment decision
HR ORIENTATION AND TRAINING
Orientation is defined as a procedure for
providing new employees with basic
information about the firm.
Training is defined as providing specific
knowledge, skills to the peole that are
necessary to perform the specific activities for
jobs and task.
TYPES OF TRAINING PROGRAMS
ON-THE-
JOB • Apprenticehip training
TRAINING • Job intruction training
METHODS
• Conference
• Classroom groups
OFF-THE- • Programmed instruction
JOB
• Audiovisual techniques
TRAINING
METHODS • Lectures
• Simulation
• Computer-based training
HR PERFORMANCE APPRAISAL
Performance appraisal can be described as the
process by which organizations evaluate the
performances of their employees on their jobs.
The performance appraisal system in the
organization intends to identify the employees’
actual past performances and their potential
improvements.
PERFORMANCE APPRAISAL METHODS
Checklist
Method
Forced Critical
Choice Incident
Method Method
Performance
Appraisal
Methods
Rating
Essay
Scale
Method
Method
HR COMPENSATION MANAGEMENT
Compensation is one of the most important
functions of HRM.
Wages
Compensation Fringe benefits (Voluntarily offered)
in organizations = Salaries + Benefits as legal obligations
Incentives
Direct Indirect
Compensation Compensation
HR COMPENSATION MANAGEMENT
Wage, salary and incentives represent the majority of the
organizations’s compensation costs.
However there are some other benefits and services given to
employees in forms of other than wages, salaries and
incentives.
Base wages, salaries and incentives are direct
compensations.
Non-cash items such as benefits and services offered
voluntarilt by the organization are indirect compensations.
HR COMPENSATION MANAGEMENT
Job Evaluation
Job evaluations are the systematic procedures to compare jobs
in order to determine the worth of one job relative to other
existing jobs.
This study is done through complete examinations of job
content.
- Skills
- Effort
- Problem solving
- Responsibility
- Work conditions
- Work pressure
- Know-how
- Creativity
