HRM 1

Question 1

What is HRM?

Answer 1

Human resource managment describes business activities for managing employee-company relationships.

Question 2

Three stakeholders

Answer 2

Employers - aim to create successful, profitable businesses
Managers - aim to achieve business targets through employing the right people in the right place
Employees - require a fair and safe work environment, in which they can succeed in a job for which they feel capable of doing and ate compensated enough

Question 3

HRM strategy composed of:

Answer 3

• Recruitment and selection of employees
• Terms and conditions employees work under
• Equal treatment within an organisation
• Treatment of rule-breaking employees
• Payment and rewarding policies for employees
• Learning and development opportunities provided by an organisation

Question 4

Scientific management

Answer 4

In the early 20th century, Fredrick Taylor developed the “scientific management movement”, which aimed to increase productivity through greater efficiency in production practices, selection and training practices and incentivized pay for workers.

Question 5

Trade unions

Answer 5

Trade unions – are organized groups of workers which represent members interests in maintaining or improving the conditions of their employment by acting collectively as a way to challenge employer power.

Question 6

Industrial relations

Answer 6

Industrial relations – the relationship between employer and employees, with a focus on those areas of the employment relationship where employers deal with employee representatives, such as trade unions, rather than individuals

Question 7

Behavioural science

Answer 7

Third phase of HRM’s evolution. New work discipline “personnel management”, who’s role to better understanding of group works, personal development, motivation of employees.

Question 8

HRM Today

Answer 8

HRM is the strategic and integrated approach taken by an organisation to the management of its most valued assets, namely its people

Question 9

Strategic HRM

Answer 9

• The term strategic human resource management has emerged as a direct result of HRM being regarded as an essential component of business strategy. SHRM takes macro-level approach, whereas HRM operates at the micro level
• SHRM is where HR is coordinated and consistent with the overall business objectives, goals and strategies in order to increase business performance

Question 10

Features of HRM (John Storey)

Answer 10

a. HRM is explicitly linked with corporate strategy
b. HRM focused on commitment rather than the compliance of employees
c. Employee commitment is obtained through an integrated approach to HR policies in the areas of rewards, selection, training and appraisal
d. HRM is not just the domain if specialists in HR function; rather, HRM is owned by line managers as a means of fostering integration

Question 11

Lifecycle of employee

Answer 11

a. Attract and select
b. Manage and develop
c. Reward and retain
d. Separate

Question 12

Different ways HR strategy can be linked to business strategy are:

Answer 12

o A separation model
o A fit model
o A holistic model
o An HR-driven model

Question 13

HR practisioners impact across four different dimensions

Answer 13

1. On an individual level, building effective relationships and good reputations across the business
2. Organizationally, as they are responsible for the design and delivery of appropriate HR practices that reach right across the organisation
3. Contextually, as their understanding of the internal and external environments specific to their organisations, are vital in developing the appropriate HR strategy
4. At a strategic level, as they have a role in developing leader, manager, and employee perceptions of the HR function as adding value and enabling them to deliver on the business strategy, rather than just managing the more basic operations of the employment relationship

Question 14

The following competencies are needed in the mix of HRM function:

Answer 14

1. Credible activists, where Hr practiotioners deliver on the promises, are trusted by the business, and take action positively as neede by the business.
2. Capability builders, where HR practicioners identify the core processes and capabilities which will positively impact the business strategy and then deliver the appropriate HR practices, to build and sustain these capabilities in the workforce
3. Changing champions, where HR practitioners enable the organisation to respond to the external pressures and pace of change, engaging key stakeholders and enabling flexible and adaptable capabilities in the organisation
4. Innovators and integrators, where HR practitioners use the latests scientific evidence and business insights to continuously develop new HR practices, in a sustainable and integrated manner, as and when they are needed by the business.
5. Technological proponent, where HR practitioners have the skill to leverage available technologies, which facilitate the effective and efficient delivery of HR practices, but also to use HR analytical to ensure HR practices are positively the business strategy.

Question 15

Devolve

Answer 15

Devolved describes the process of moving decision-making downwards, from HR to line managers

Question 16

Line managers

Answer 16

Line managers are managers who have employees directly reporting to them and who have a higher level of responsability than those employees

Question 17

The Michigan Model of HRM

Answer 17

“fit” or “contingency” model
Key ares on which focus:
1. Selection of the most suitable individuals to meet the needs of the business
2. Managing performance to achieve corporate objectives
3. Appraising performace and providing feedback
4. Providing rewards for appropriate performance that achieve specific goals
5. Developing eployees to meet need of the business
Criticism of the model: lack of recognition of employee interests and behaviour choice

Question 18

“Universal” Approach to HRM

Answer 18

A “universal” approach to Human Resource Management (HRM) is a perspective that emphasizes consistency and standardization in HR practices across an organization. This approach is often contrasted with a “contingency” or “contextual” approach, which suggests that HR practices should be tailored to the unique needs and circumstances of different parts of the organization or different employees.

Question 19

Guest Model of HRM

Answer 19

This model represents a compromise between the low-involvment and high-involvment approaches.
Key principles:
1. Strategic integration: HR policies must be alligned to the need of the business strategy, and the various aspects of HRM must be consistent and mutually supportive
2. High commitment: commitment is sought, in that employees are expected to identify closely with interests of the organisation and behave accordingly
3. Flexibility: this involves the ability and willingness of employees to demonstrate flexibility and adaptability to change as business demands change
4. High quality: the quality of managment and staff is important in achieving high performance

Question 20

Strategic HRM contingency approach

Answer 20

The “contingency “ or “best fit” approach is the belief that organisation context provides the direction as to which HR practices should be chosen

Question 21

Strategic HRM universalist approach

Answer 21

“best practices” aimed at creating and enhancing high levels of employee commitment and performances.
1. Recruting the right people
2. High wages clearly linked to organisations performance
3. Employment security
4. Information sharing
5. Investment in training and skill development
6. Self-managed and decentralised decision making
7. Reduced status differentials.

Question 22

Human resource information system (HRIS)

Answer 22

is a siftware sustem for data entry, tracking and information needs of the HR functions. Even when organisation use an HRIS, the data is often not utilised within the organisation to support decision-making

Question 23

Human resource (HR) analytics

Answer 23

is the use of people-related data in analytical processes to address business issues. HR analytics is regarded as an essential capability to ensure HR’s future as a strategic managment function for transforming organisational performance for the better

Question 24

Different tools

Answer 24

1. Firz-Enz and Mattox: Tools to summarise all information from different sources, then HR can easily analyse it
2. Edwards and Edwards: more narrow definition and define HR analutics and define it as “the systematic application of predictive modeling…”
3. Mondare at al.: have the broadest definition and define HR analytics as a process that demonstrate the direct impact of people on important business outcomes
4. Lawler et al.: measures HR activities and how it can change orhanisation
5. Marler and Boudreau’s: research shows that HR analytics is often defined bu authors as either an analysis or decision-making process

Question 25

HR analytics main three aims:

Answer 25

1. Conduct HR data with business data to explore how the HR function influences outcomes at the organisational level
2. Enable HR leaders to design and implement HR managment activity in an efficient and effective manner
3. Allow the organisation to measure the effectivness of HR to deliver its objectives

Question 26

Forms of analysis

Answer 26

Descriptive - Employee turnover rate, costs of new hires, training costs
Predictive - the probability of selecting the right employees for promoting
Perscriptive - return on investment from different learning and development programmes resulting in changees to the bottom line

Question 27

Bersin

Answer 27

Bersin reccomends a four-level process in the development of HR analytics capabilities in organisation. Four levels:
1. Development junior analysts (data reported and stored in usable maner)
2. Creation of a reporting dunction that links HR information to business objectives.
3. Strategic analystics using modelling and statistical tools which focuses on aspects sucs as segmentation and optimization of talents
4. Predictive skills alow organisations to forecast risks by designing algorithm

Question 28

Categorical variables:

Answer 28

1. Binary variables; only consist of two categories, e.g. (driving license as you either do or do not have it)
2. Nominal variables; consists of two or more categories e.g.(nationality)
3. Ordinal variables; categorical variables that can be ranked, e.g. ranking on education level
4. Contnuous variables; numerical scale e.g. Salaries

Question 29

Two main reasons why HRM can make a crucial difference

Answer 29

1. Skill development to become a better HR leader
2. External positioning for stakeholder managment

Question 30

Three layers of culture that could be the reason for this behaviour:

Answer 30

1. Corporate/orhanisational culture: did the staff feel responsible for a connected to the company?
2. Industry culture: are these levels of hospitality and customer-centric views just the norm in the industry
3. National culture: is it the work ethic in Indian culture?

Question 31

Evidence based managment

Answer 31

Evidence based managment finds its origins in medicine. In the medical world, findings must be proven by facts. Futher, they must be able to be replicated in order to be valid. As an HR manager, one has to combine critical thinking with the best available evidence to make decisions, in order to engage in evidence-based managment.
1. Describe the essence of the problem and ask the right questions
2. Collect evidence addressing the question
3. Critically appraise/analyse evidence
4. Use results of appraisal/analysis to make decision
5.Evaluate results

Question 32

Sources for evidence-based managment

Answer 32

Scientific evidence - found in peer-reviewed journals
Empirical data - primary sources (surveys, focus groups), secondary sources (databases, policies)

Question 33

Different forms of evidences

Answer 33

1. Professional experience and reflection: professional experience can be valid evidence
2. Organisational facts and figure
3. Benchmarking
4. Research finding

Question 34

First asking an asweable questions and then:

Answer 34

1. Systematicaly demanding evidence
2. Critically examining the logic
3. Threating the organisation as an unfinished prototype and experimenting
4. Recognizing and embaracing what you do not know

Question 35

PICOC method fot HR analytics

Answer 35

Population - who?
Intervention - WHAT or HOW?
Comparison - compared to what?
Outcome - what to accomplish/improve
Context - in what kind of organisation/circumstances

Question 36

Big data

Answer 36

Big data is data that is high volume, variety, velocity