Unit 2.1 Flashcards
Human Resource Management (HRM)
the function of using and developing people within a business to meet its current and future organizational objectives.
HR Planning
the management process of anticipating and meeting an organization’s current and future staffing needs.
Short term planning
deals with existing and upcoming demands of an organization, such as covering for people about to leave, retire, or go on maternity leave.
Long term planning
looks at the HR needs of the business in the foreseeable future.
HR Planning - Why is it important???
HR Planning requires a lot of time and money (Cost Center -HL).
Fixing the mistakes of staff, on average, takes up 20% of a Manager’s time and costs an estimated 5 billion dollars per year (Hong Kong Business study, 2020)
Having the wrong person in a key position affects the entire business and the staff working with, above, and below that person (ripple effect, trickle down effect)
Attempting to Retain
where they will be encouraged to stay, still offered contracts with longer time periods to make a decision and, if they still departing
Allowed to Depart
Exit interviews will be conducted and any final contractual obligations are reviewed with checks in place to make sure they are met
Internal Influences on HR Planning
Corporate or Overall Objectives: A low-cost airline, such as Air Asia (Indonesia) has a goal of keeping HR costs as low as possible and will hire accordingly.
Flex-time: exists when a employer allows employees to work flexible hours. This allows employees to start and finish their jobs based on other obligations.
External Influences on HR Planning
Demographic Change: Covers a lot of population issues which affect the pool of hiring candidates. Additionally, this affects the demand for goods and services for companies to consider expanding into particular markets.
Immigration/Migration: The movement of people into and out of countries. This affects HR planning with the availability of labour as well as many cultural aspects that HR workers need to be aware of.
Mobility of Labour:
the extent to which people can move for work and their flexibility in changing to different jobs.
Economic Environment
Good economy = more job opportunities
Bad Economy= Less job opportunities
New technologies:
Automation has highly affected employment opportunities in many fields with the recent advances in AI Technologies still leaving many unknowns that HR will have to deal with.
The Gig Economy
are independent contractors who work flexible, temporary, or freelance jobs. Uber drivers and digital artists are common examples. These workers are not considered employees and don’t receive the associated benefits of being classified as such. This allows HR divisions to save significantly on their costs. What is/are the drawback(s) of this situation?
John Paul Kotter’s Resistances to Change
- Self-Interest: People feel that change involves extra effort and that their interest is more important than organizational objectives.
- Familiarity: Disruptions and uncertainties are usually resisted. People fear redundancy, ability to learn new skills, and a lack of job security/safety.
- Misinformation: Oftens connected to miscommunication of the reasons for change. If things are going well, why change?
- Change Interpretations: When management and staff disagree on the purpose and merits of a change. There is a disconnect on the current situation that has brought about the change.
Kotter’s Six Strategies to Deal with Resistance to Change
Harshness level from 1 to 3
1. Education & Communication
1. Facilitation and Support
2. Manipulation & Co-Option
2. Participation and Involvement
3. Negotiation and Agreement
3. Explicit & Implicit Coercion
