Giáo trình Human resource management
TRAINING AND EDUCATION MINISTRY
DUY TAN UNIVERSITY
INTERNATIONAL SCHOOL
PSU DIVISION
INSTRCUTOR: LE THI KHANH LY
LECTURE NOTE
COURSE: HUMAN RESOURCE MANAGEMENT
CODE: PSU-HRM-301
CREDIT: 3, INCLUDING: LAC: 3, LAB: 0
FOR: BBA
FACULTY: INTERNATIONAL SCHOOL
1
CONTENTS
LESSON 1: STRATEGIC HUMAN RESOURCE MANAGEMENT..............6
Learning objectives:............................................................................................6
1.1
Human resource management: Gaining a competitive advantage .....6
1.1.1 Definition of Human Resource Management.....................................6
1.1.2 The HRM fuctions...............................................................................6
1.1.3 Competitive challenges influencing HRM..........................................8
1.2 Strategic human resource management....................................................9
1.2.1 What is strategic management..........................................................10
1.2.2 Strategy formulation .........................................................................10
1.2.3 Strategy implementation...................................................................10
1.2.4 The strategy and HRM linkages .......................................................11
1.3 The legal environment: the legal system in Vietnam..............................13
LESSON 2: THE ANALYSIS AND DESIGN OF WORK .............................17
Learning objectives:..........................................................................................17
2.1 Work-flow analysis and organization structure .....................................17
2.1.1 Work-flow analysis............................................................................17
2.1.2 Organization structure......................................................................18
2.2 Analysis of work.......................................................................................20
2.2.1 The importance of Job Analysis .......................................................20
2.2.2 Job analysis information ...................................................................21
2.2.3 Job Analysis Methods........................................................................22
2.3 Design of work .........................................................................................22
2.3.1 Mechanistic Approach. .....................................................................24
2.3.2 Motivational Approach .....................................................................24
2.3.3 Biological Approach..........................................................................24
2.3.4 Perceptual-Motor Approach.............................................................25
LESSON 3: HUMAN RESOURCE PLANNING AND RECRUITMENT ....28
Learning objectives ...........................................................................................28
3.1 The human resource planning.................................................................28
3.1.1 Forecasts of labor demand................................................................28
3.1.2 Determining labor supply. ................................................................29
3.1.4 Goal setting and strategic planning. .................................................30
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3.1.5 Program Implementation and Evaluation .......................................32
3.2 The human resource recruitment ...........................................................32
3.2.1 The human resource recruitment .....................................................32
3.2.1 The human resource selection...........................................................34
3.3 Employee separation and retention. .......................................................37
3.3.1 Managing involuntary turnover .......................................................37
3.3.2 Managing voluntary turnover ..........................................................39
LESSON 4: EMPLOYEE TRAINING AND DEVELOPMENT....................44
Learning objectives:..........................................................................................44
4.1 Training and Development Comparison ................................................44
4.2 Training....................................................................................................44
4.2.1 Designing effective training activities ...............................................45
4.2.2 Advice for choosing a training method.............................................48
4.3 Development.............................................................................................50
4.3.1 Approaches to employee development .............................................50
4.3.2 Career management and development planning system .................51
LESSON 5: PERFORMANCE MANAGEMENT...........................................54
Learning objectives:..........................................................................................54
5.1 An organizational model of performance management.........................54
5.2 Purpose of Performance management....................................................55
5.2.1 Strategic purpose...............................................................................55
5.2.2 Administrative purpose.....................................................................56
5.2.3 Developmental purpose.....................................................................56
5.3 Performance measure criteria.................................................................56
5.4 Approaches to measuring performance..................................................57
LESSON 6: COMPENSATION .......................................................................67
Learning objectives:..........................................................................................67
6.1 Pay structure decision..............................................................................67
6.1.1 Equity theory and fairness................................................................68
6.1.2 Developing pay level..........................................................................69
6.2 Recognizing Employee Contributions With Pay ....................................71
6.2.1
6.2.2
Pay theory influence individual employees.................................72
Basic pay programs .....................................................................72
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6.3
Employee Benefits...............................................................................74
6.3.1 Introducing to employee benefits......................................................74
6.3.2 Benefit programs ...............................................................................75
LESSON 7: MANAGING HUMAN RESOURCE GLOBALLY....................78
Learning objectives:..........................................................................................78
7.1 Collective bargaining and labor relations...............................................78
7.1.1 The labor relations framework.........................................................78
7.1.2 Goals and Strategies..........................................................................79
7.2 Managing human resource globally........................................................79
7.2.1 Current global changes .....................................................................79
7.2.2 Factors affecting HRM in global ......................................................80
7.2.3 Managing employees in a global context ..........................................81
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COURSE OVERVIEW
This course provides an overview of human resource management functional areas
and issues in organizations. Course topics include the following human resource
decision areas: strategic planning; staffing; performance management;
compensation and benefits; training and development; outsourcing; retention and
turnover; and selected public policy issues pertaining to employment.
STUDENT LEARNING OBJECTIVES
Upon completion of the course, students who actively prepare for and successfully
complete course assignments and class activities should be able to:
Communicate familiarity with the primary functions of human resources
management (HRM) orally and in writing
Apply HRM theories to resolve common human resources problems in the
workplace.
Demonstrate effective critical thinking, oral/written communication, and
research skills through in-class presentations and writing assignments.
REQUIRED TEXTBOOKS
- Noe, R. A., Hollenbeck, J. R., Gerhart, B., Wright, P. M. (2010). Human
Resource Management: Gaining a competitive advantage (7th Ed.). Boston:
McGraw-Hill. (ISBN: 13-9780073530475)
- Nkomo, S. M., Fottler, M. D., McAfee, R. B. (2008). Applications in Human
Resource Management: Cases, exercises, and skill builders (6th Ed.). Cincinnati,
OH: South-Western Publishing. (ISBN: 9780324421422)
- Harvard Business Review Case: “JetBlue Airways: Starting from Scratch” by
Jody Hoffer Gittell, Charles A. O'Reilly 20 pages. Publication date: Feb 10,
2001. Prod. #: 801354-PDF-ENG
- Supplemental Reading: Daily newspaper such as USA Today, New York Times,
Pittsburgh Post Gazette, or Wall Street Journal
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LESSON 1: STRATEGIC HUMAN RESOURCE MANAGEMENT
Learning objectives:
- Discuss the roles and activities of a company’s human resource
management function.
- Discuss what companies should do to compete in the global marketplace.
- Discuss human resource management practices that support high-
performance work system.
- Provide a brief description of human resource management practices.
- Describe the different between strategy formulation and strategy
implementation
- List the major federal laws that require equal employment opportunity and
the protections provided by of each law.
1.1Human resource management: Gaining a competitive advantage
1.1.1 Definition of Human Resource Management
Competitiveness refers to the company’s ability to maintain and gain market share
in its industry.
Human resource management (HRM) refers to the policies, practices, and systems
that influence employees’behavior, attitudes, and performance.
Human resource management practices includes analyzing and designing work,
determining human resource needs (HR planning), attracting potential employees
(recruiting), choosing employees (selection), teaching employees how to perform
their jobs and preparing them for future (training and development), rewarding
employees(compensation),
evaluating
their
performance(performance
management), and creating a positive work environment (employee relations).
That is, effective HRM practices are strategic.
1.1.2 The HRM fuctions
Role: Companies look at HRM as a means to contribute to profitability,
quality, and other business goals through enhancing and supporting
business operations.
Responsibilities:
Employment
recruitment
Training
and Interviewing, recruitment, testing , temporary labor,
coordination
and Orientation, performance management skill training,
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development
productivity enhancement.
Compensation
Wage and salary administration, job descriptions,
executive compensation, incentive pay, job
evaluation.
Benefits
Insurance, vacation leave administration, retirement
plans, profit sharing and stock plans
Employee service plans, relocation services
and Attitude surveys, labor relations, labor law
compliance.
Employees services
Employee
community relations
Personnel records. Health Information systems, records
and safety
Strategic planning
International human resource, forecasting, planning,
mergers and acquisitions.
The roles and responsibilities of HR department is to consider HR as a business
within the company with three product lines of HR. The first product line,
administrative services and transactions, is the traditional product that HR has
historically provided. The newer HR products-business partner services and the
strategic partner role-are the HR functions that are being challenged by top
managers to deliver.
- Analysis and design of work
. Job analysis refers to the process of getting detailed information
about jobs.
. Job design is the process of defining the way work will be performed
and the tasks that will be required in the given job.
- Human resource planning is the process of assessing the organization’s
human resources needs in the light of organizational goals and changing
conditions and making plans to ensure that a suitability is employee.
- Recruitment is carried on by the organization with the primary purpose of
identifying and attracting potential employees.
- Selection is the process by which an organization identifies applicants with
necessary knowledge skills, abilities, and characteristics that will help it to
achieve its goals.
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- Training: is planned effort to learning of job-related knowledge, skills, and
behaviors
- Development is the acquisition of knowledge, skills, and behaviors that
improve an employee’s ability to meet changes in job requirements and in
client and customer demands.
- Performance management is the means through which managers ensure that
employees’activities and outputs are congruent with the organization’s
goal.
- Compensation process is the flow of events that determines what wages,
salaries, and incentives, are paid and what supplemental benefits and
nonfinancial rewards are provided.
1.1.3 Competitive challenges influencing HRM
The sustainability challenge
Sustainability: is the ability of a company to survive in a dynamic
competitive environment. Based on an approach to organizational decision making
that considers company’s ability to make a profit without sacrificing the resources
of its employees, the community, or the environment.
Stakeholders refer to the shareholders, the community, customers, employees,
and all of the other parties that have an interest in seeing that the company
succeeds.
Sustainability includes the ability to deal with economic and social changes,
practice environmental responsibility, engage in responsible and ethical business
practices, provide high-quality products and services, and put in place methods to
determine if the company is meeting stakeholder’s needs. There are major
challenges that effect human resource management changes.
Economic change
+ The implications of this economic period for human resource management are
far-reaching. The poor economy means more companies are downsizing their
work budgets, delaying plans for new operations and growth, and revisiting human
resource budgets to cut unnecessary program and cost.
+ Despite the budgets cut, many HR departments are helping companies adapt to
the poor economic times and prepare them to be well-positioned when business
conditions improve.
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+ The affects of the recession are also worsened by rising health care cost and the
economic implications of increasing retiree benefit costs.
. Employment and occupational growth projections and skill requirements.
The competition for labor is affected by the growth and decline of
industries, jobs, and occupations. Competition for labor is also influenced
by the number and skills of persons available for full-time work.
. Increased value place on intangible assets and human capital. Intangible
assets are the type of company including human capital, customer capital,
social capital, and intellectual capital.
. Knowledge workers are employees who own the intellectual means of
producing a product or service.
. Empowering is giving employees responsibility and authority to make
decisions.
. Learning organization is employees are continually trying to learn new
things.
The global challenge: Companies are finding that to survive they must
compete in international markets as well as fend off foreign
corporations’attempts to gain ground.
. Entering international markets
Offshoring is the export jobs from the developed such as US to less developed
countries such as China, Mexico, Brazil, and Philippines. The main reason is labor
cost. Workers in other countries earn a fraction of the wage of American workers
performing the same job. Other reasons include the availability of a highly skilled
and motivated workforce. Finally, cheap global telecommunications costs allow
companies with engineers 6,000 miles away to compete design work and interact
with other engineers as if they were located in the office down the hall.
Onshoring is exporting jobs to the United States.
The technology challenge
The Internet is a global collection of computer networks that allow employees to
send and receive information as well as to locate and gather resources, including
software, reports, photos, and videos.
1.2 Strategic human resource management
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1.2.1 What is strategic management
Strategic management is a process, an approach to addressing the competitive
challenges an organization face. It can be thought of as managing “pattern or plan
that integrates an organization’s major goals, policies, and action sequences into a
cohesive whole.
Definition of strategic human resource management can be thought of as “the
pattern of planned human resource deployments and activities intended to enable
an organization to achieve its goals”.
1.2.2 Strategy formulation
Strategic formulation is the process of deciding on a strategic direction by
defining a company’ mission and goals, its external opportunities and threats, and
its internal strengths and weakness.
External
analysis
Strategy
choice
Mission
goals
Internal
analysi
s
Figure 1.1 Strategy Formulation
Goals is what an organization hopes to achieve in the medium-to long term
future
External analysis is the examining the organization’s operating
environment to identify strategic opportunities and threats
Internal analysis is the process of examining an organization’s strength and
weakness
Strategy choice is the organization’s strategy; the ways an organization will
attempt o fulfill its mission and achieve its long-term goals
1.2.3 Strategy implementation
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Strategic implementation is the process of devising structures and allocating
resources to enact the strategy a company has chosen.
Figure 1.2 Variables to be considered in Strategy Implementation
After an organization has chosen its strategy, it has to execute that strategy-make it
come to life in its day-to-day workings. The basic premise behind strategy
implementation is that “an organization has a variety of structural forms and
organizational processes to choose form when implementing a given strategy”,
and these choices make an economic difference. Five important variables
determine success in strategy implementation: organizational structure, task,
design, the selection, training, and development people. Reward system, and types
of information and information system.
1.2.4 The strategy and HRM linkages
Linkage between HRM and the strategic management process: There are four
linkages between HRM and strategic management process
+ Administrative linkage (the lowest level of integration), the HRM function’s
attention is focused on day-to-day activities. The HRM executive has no time or
opportunity to take a strategic outlook toward HRM issue. The company’s
strategic business planning function exists without any input from the HRM
department. So the HRM department is completely divorced from any component
of the strategic management process in both strategy formulation and strategy
implementation. The department simply engages in administrative work unrelated
to the company’s core business needs
+ One-way linkage, the firm’s strategic business planning function develops the
strategic plan and then informs the HRM function of the plan. Although one-way
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linkage does recognize the importance of human resources in implementing the
strategic plan, it precludes the company from the considering human resource
issues while formulating the strategic plan. This level if integration often leads to
strategic plans that the company cannot successfully implement.
+ Two-way linkage allows for consideration of human resource issues during the
strategy formulation process. This integration occurs in three sequential steps.
First, the strategic planning team informs the HRM function of the various
strategies the company is considering. Then HRM executives analyze the human
resource implications of the various strategies, presenting the results of this
analysis to the strategic planning team. Finally, after the strategic decision has
been made, the strategic plan is passed on to the HRM executive, who develops
programs to implement it. The strategic planning function and the HRM function
are interdependent in two-way linkage.
+ Integrative linkage is dynamic and multifaceted, based on continuing rather than
sequential interaction. In the most case the HRM executive is an itergral member
of the senior management team. Rather than an iterative process of information
exchange, companies with integrative linkage have their HRM functions built
right into the strategy formulation and implementation processes.
Figure 1.3 Linkages of Strategic Planning and HRM
Administrative
One-way
Two-way
Integrative
Strategic
planning
Strategic
planning
Strategic
planning
Strategic
planning
HRM
function
HRM
function
HRM
function
HRM
function
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1.3 The legal environment: the legal system in Vietnam
The labor code of the socialist republic of vietnam
Chapter x
Specific provisions on women's labor
Article 109.-
1- The State ensures the right to equality of women to men in all domains of
employment and shall adopt policies encouraging employers to create conditions
for female employees to have regular jobs. It should also widely apply to female
employees the system of flexible work schedule, non-full work day, non-full work
week, and take-home work.
2- The State shall adopt for female employees policies and measures to expand
their employment step by step, improve their working conditions, upgrade their
professional standard, care for their health, and promote their material and
spiritual welfare with a view to helping the female employees effectively promote
their professional capabilities and harmoniously combine work with family life.
Article 110.-
1- The State agencies have the responsibility to devise diversified and convenient
forms of training for female employees to provide them with skills for jobs other
than their incumbent ones, and to facilitate the use of female labor in a manner
suitable to the physical characteristics of women as well as their maternal
function.
2- The State shall adopt policies of preferential treatment and tax reduction to the
businesses employing a predominantly female labor force.
Article 111.-
1- Gender discrimination against female employees and abuse of their honor and
dignity by the employer are strictly forbidden.
The employer must observe the principle of gender equality in recruitment,
utilization, pay raise and remuneration for work performed.
2- The employer must give priority to the woman who meets all the requirements
for a job position that the business is seeking to fill and which can be filled by
either a man or a woman.
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3- The employer may not dismiss or unilaterally terminate a labor contract with a
female employee for reasons of marriage, pregnancy, maternity leave or of caring
for her child under 12 months of age, unless the business terminates its operation.
Article 112.- The pregnant female employee is entitled to unilaterally terminate
her labor contract without having to pay compensation, stipulated in Article 41 of
this Code, if she can produce a certification by a doctor that there will be harmful
effects on the fetus if she continues working. In this case, the time limit during
which the female employee has to notify her employer in advance about her job
termination shall depend on the time prescribed as safe for her by the doctor.
Article 113.-
1- The employer is not allowed to use female labor for heavy or dangerous jobs or
jobs which necessitate exposure to noxious substances of harmful effects on the
reproductive and child-rearing function of women. The list of such substances is to
be published by the Ministry of Labor, War Invalids and Social Welfare and the
Ministry of Public Health.
Businesses employing female labor for the above mentioned jobs must adopt plans
for retraining in order to transfer gradually such female employees to more
appropriate jobs, must increase health protection, and must improve the working
conditions or reduce the work time.
2- The employer may not use female employees of any age for permanent work in
mines or jobs requiring constant immersion in water.
Article 114.-
1- The female employee is entitled to take leave before and after child birth, for
four to six months, according to prescriptions by the Government and depending
on the working conditions, the character of the job and whether it is a heavy or
noxious job or a job in a remote region. If she gives birth to a twin or more
children, the mother is entitled to another 30 days of leave for each additional
child. The rights and interests of the female employees during maternity leave are
defined in Article 141 and 144 of this Code.
2- Upon the end of the maternity leave, the female employee may take and
additional unpaid leave, as may be agreed with the employer, if she so requests.
The female employee may return to work before the end of her maternity leave,
but no sooner than two months after the childbirth, if her doctor certifies in writing
14
that her return to work will not harm her health. However, she must notify the
employer in advance. In this case the female employee shall continue to receive
the childbirth allowance besides the pay for her labor.
Article 115.-
1- The employer may not assign a female employee who is seven or more months
pregnant or who is caring for her child of less than 12 months of age to overtime
work, nighttime work or work involving significant travel.
2- From the seventh month of her pregnancy onward, the female employee
performing heavy labor shall be assigned to a lighter job or shall have her work
day reduced by one hour, while continuing to receive full pay.
3- The female employee is entitled to 30 minutes of rest per workday during her
menstrual period. The female employee caring for her child of less than 12 months
of age is entitled to 60 minutes off during work time while continuing to receive
full pay.
Article 116.-
1- At locations where female employees work, there must be a place to change, a
bathroom and a room for women's hygiene.
2- In places where a large female labor force is employed, the employer has the
responsibility to help organize day-care centers for children, or cover part of the
cost incurred to the female employees in sending their children to day-care
centers.
Article 117.-
1- During her leave for pre-natal examination, for taking a family-planning
measure, or on account of a miscarriage, tending a sick child under seven years of
age or of adopting a new-born, the female employee shall still receive a social
insurance allowance or shall be paid a sum equivalent to the social insurance
allowance by the employer. The duration of the leave and the level of allowance
stipulated in this item shall be defined by the Government. If the sick child is
cared for by a person other than the mother, the mother shall still receive the social
insurance allowance.
2- Upon completion of her statutory maternity leave and even the additional
unpaid leave allowed to her, the female employee shall still be assured of her job
when she returns to work.
15
Article 118.-
1- At businesses employing a large female labor force, the persons responsible at
the managerial board must assign an individual to monitor female labor affairs.
Before taking any decision related to the rights and interests of the female
employees and their children, consultation must be made with the representative of
the female employees.
2- Among the labor inspectors there must be an appropriate number of women
inspectors.,
REQUIRED TEXTBOOKS
1. Chapter 1, 2, 3, 13, Noe, R. A., Hollenbeck, J. R., Gerhart, B., Wright, P. M.
(2010). Human Resource Management: Gaining a competitive advantage (7th
Ed.). Boston: McGraw-Hill
1. Case 2, exercise 5, Nkomo, S. M., Fottler, M. D., McAfee, R. B. (2008).
Applications in Human Resource Management: Cases, exercises, and skill
builders (6th Ed.). Cincinnati, OH: South-Western Publishing
DISCUSSION QUESTIONS
1. What are intanbigle assets? How are they influence by human resource
management practices?
2. What is the evidence base HR?
3. Do you agree with the statement “Employee engagement is something
companies should be concerned about only if they are making money”? Explain.
4. Is HRM becoming more strategic? Explain your anwer.
5. Do you think that it is easier to tie human resources to the strategic management
process in large or in small organizations? Why?
6. How can strategic management within the HRM department ensure that HRM
plays an effective role in the company’s strategic management process?
KEY TERMS
•
•
•
•
•
Competitive: tính cạnh tranh
Sustainability: khả năng bền vững
Internal labor force: lực lượng lao động nội bộ
External labor force: lực lượng lao động bên ngoài
Strategic human resource management (SHRM): quản trị nguồn nhân lực
chiến lược
16
•
•
•
•
•
•
•
Strategy formulation: hình thành chiến lược
Strategy implementation: thực thi chiến lược
Job analysis: phân tích công việc
Job design: thiết kế công việc
Selection: lựa chọn
Performance management: quản trị hiệu năng
Compensation: thù lao
LESSON 2: THE ANALYSIS AND DESIGN OF WORK
Learning objectives:
- Analyze an organization’s structure and work-flow process, identifying
the output, activities, and inputs in the production of a product or
service.
- Understand the importance of job analysis in strategic human resource
management.
- Choose the right job analysis technique for a variety of human resource
activities.
- Understand the different approaches to job design.
2.1 Work-flow analysis and organization structure
2.1.1 Work-flow analysis
Work-flow analysis is the process of analyzing the tasks necessary for the
production of a product or service, prior to allocating and assigning these tasks to
a particular job category or person.
17
Figure 4.1 Developing a Work-Unit activity analysis
+ Output is the product of a work unit and is often an identifiable thing, such as a
completed purchase order, an employee test, or a hot hamburger. However, an
output can be a service such as the service provided by an airline that transports
you to some destination.
+ Work-process: once the outputs of the work unit have been identified, it is
possible to examine the work processes used to generate the output. The work
processes are the activities that members of work unit engage in to produce a
given output.
+ Inputs: the final stage in work-flow analysis is to identify the inputs used in
development of the work unit’s product. Inputs can be broken down into the raw
materials, equipment, and human skills needed to perform the tasks.
2.1.2 Organization structure
Organization structure provides a cross-sectional overview of the static
relationships between individuals and units that create the outputs. Refers to the
relatively stable and formal network of vertical and horizontal interconnections
among jobs that constitute the organization.
Two of the most critical dimensions of organization structure are centralization
and departmentalization.
Dimensions of structure
18
+ Centralization is the degree to which decision-making authority resides at the
top of organization chart.
+ Departmentalization is the degree to which work units are grouped based on
functional similarity or similarity of work flow.
Structural Configurations
Functional : employs a functional departmentalization scheme with
relatively high levels of centralization.
+Functional departmentalization
+High level of centralization
+High efficiency
+Inflexible
+Insensitive to subtle differences across products, regions and clients
Figure 4.2 The functional Structure
Divisional structure: combines a divisional departmentalization scheme
with relatively low levels of centralization.
+workflow departmentalization
+low level of centralization
+semi-autonomous
+flexible and innovative
+sensitive to subtle differences across products, regions and clients
19
Figure 4.3 Divisional Structure
2.2 Analysis of work
Job: What tasks make sense to assign to jobs or positions?
Position: What tasks should be performed by a particular person?
Job analysis is the process of getting detailed information about job.
2.2.1 The importance of Job Analysis
Job analysis is such an important to HR managers that it has been called the
building block of everything that personnel does.
Work redesign: job analysis and job design are interrelated. To redesign the
work, detailed information about the existing job(s) must be available. In
addition, redesigning a job will, in fact, be similar to analyzing a job that
does not yet exist.
Human resource planning. This planning process requires accurate
information about the level of skill required in various jobs to ensure that
enough individuals are available in the organization to meet the human
resource needs of the strategic plan.
Selection. Human resource selection identifies the most qualified applicants
for employment. To identify which applicants are the most qualified, it is
first necessary to determine the task that will be performed by the
individual hired and the knowledge, skills, and abilities the individual must
have to perform the job effectively.
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