hrm with ir

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1 Nexus between HRM & IR "The trouble started in HMSI not because of low wages but maltreatment," says AITUC.

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2 Concept of Industrial Relations Concept of Industrial Relations:‘Industrial Relations’ comprises of two terms: ‘Industry’ and ‘Relations’. “Industry” refers to “any productive activity in which an individual (or a group of individuals) is (are) engaged”. By “relations” we mean “the relationships that exist within the industry between the employer and his workmen.”

What is Industrial Relations? : 

MH 3 What is Industrial Relations? The making and administering of the institutions and rules of work regulation Socio-industrial conflict (in all its forms) and its resolution Explicit and implicit bargaining between employees and employers A particular set of phenomena associated with regulating the human activity of employment Industrial relation is the study of employment and labor market. It assesses factors that shapes employer, government and workers relationship in enterprises, industries and across labor markets

Organs with Conflicting Goals : 

MH 4 Organs with Conflicting Goals There are different types of organizations: 1.Big organization, small organization, local or international. 2. They constitute of 3 main actors: Shareholder- represented by management, association of employers. Always to gain as much profit and productivity. Employees- being represented by trade unions. To get good salary and good working conditions Government; being represented by specialized government agencies concern with workers, enterprise and their relationship. Try create industrial harmony Each of the actors above always conflicting between one another in order to achieve their objectives. 3. Besides the above 3 main actors, in the present context academicians have also considered another actor which can also influence the nature of IR i.e Stakeholders.

Conflict : 

MH 5 Conflict Conflict result from industrial and organizational factors. 1. Different roles of management and employees Mgrs responsible for efficiency, productivity and profitability Employees: more of personal terms (better pay, good working conditions and good job security).

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MH 6 What is HRM? HRM – functional definition “Is a set of interrelated functions and processes whose goal is to attract, socialize, motivate, maintain, and retain employees” HRM – goal-based definition “aims to improve the productive contribution of individuals while simultaneously attempting to attain other societal and individual employee objectives”

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MH 7 Important terms Human resource: Knowledge, skill sets, expertise of employees, the adaptability, commitment and loyalty of employees. Skills: The individual abilities of human beings to perform a piece of work. Resource: The stock of assets and skills that belong to a firm at a point of time Capability: The ability of a bundle of resources to perform an activity; a way of combining assets, people and processes to transform inputs into outputs. Core competencies: Activities that the firm performs especially well when compared to its competitors and through which the firm adds value to its goods and services over a long period of time. A unique capability in the organization that creates high value and that differentiates the organization from its competition. Competitive advantage: It comes from a firm's ability to perform activities more distinctively and more effectively than rivals. To attain competitive advantage, firms need to add value to customers and offer a product or service that cannot be easily imitated or copied by rivals (Uniqueness). Value: Sum total of benefits received and costs paid by the customer in a given situation.

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MH 8 Evolution of HRM Each slice relates to workforce responsible for business productivity not attainable in a state of chaos. Hence the importance of IR

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MH 9 Human Resource Management McClean

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MH 10 HRM serves 3 primary entities: The organization Society Individual employees and Unlocks the Potential of Human Capital What Does HRM Do?

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MH 11 Selection Human Capital Strategy Performance Management Revenue Per Employee Cost Per Employee Profit Per Employee

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MH 12 Aligning employees to a common sets of objectives derived from the mission and value statements, Mitigation of risk by devising appropriate Succession Planning Strategies, Identification of top-performers and non-performers, Continuous measurement of the effectiveness of leadership and employee satisfaction, Increasing employee engagement through appropriate measures, Aligning compensation to performance, Adjustment of recruitment and training to competency gaps, and specifying well-defined Job Descriptions which map to the organization structure . These become the basis of Recruitment, Goal Setting, Training, Performance Evaluation and Career Development. Shaping a Robust Nexus: HR-IR

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MH 13 Aligning Organizational Goals Focusing mission and value ASK: Whether bond between HR and IR becoming healthy? CHAOS Productivity Substandard Performance

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MH 14 Training & Development Compensation and Benefits Staffing Employee and Labor Relations Safety and Health HR Management Main Components HRM Take our 20 best people away, and I will tell you that Microsoft would become an unimportant company Bill Gates

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MH 15 Purpose of HR Function? To enable management to enhance the individual and collective contribution of people (possible only if bond between HRM & IR is robust) to the enterprise in: The short term The Long term The only vital value an enterprise has is the experience, skills, innovativeness and insights of its people Leif Edvinsson, Swedish Intellectual Capital guru

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MH 16 Core HRM Activities Human Resource Planning Recruitment Selection Performance Management & Appraisal Training Rewards Employee Relations Employee Communication and Participation Hazard free work environment Personnel Records

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MH 17 Job Satisfaction.. Workplace support (flexible schedules, etc) autonomy meaningfulness opportunities for learning & advancement job security are highly related to job satisfaction pay and benefits have little effect on job satisfaction.

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MH 18 An analysis of employee responses to opinion surveys in Asia A job security 1 B enough help and resources 2 C friendly, helpful co-workers 3 D interesting work 4 E good working conditions 5 F enough authority 6 G good wages 7 H opportunities to development 8 I enough information 9 J full appreciation of work done 10 K competent supervision 11 L clearly defined responsibilities 12 Top Themes that Concern Employees Satisfaction Most

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MH 19 Research-10 effective approaches for improving employee engagement: Rewards and Recognition Human Capital Infrastructure Learning Management Knowledge Management Performance Appraisal Workplace Design Employee Relations Career Development Human capital strategy Recruiting Approaches to Employee Engagement Employee engagement, or worker engagement, is a business management concept. An "engaged employee" is one who is fully involved in, and enthusiastic about, his or her work, and thus will act in a way that furthers their organization's interests.

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MH 20 Employee Engagement (Reseach) At least four studies agreed on these eight key drivers. Trust and integrity – how well managers communicate and 'walk the talk'. Nature of the job –Is it mentally stimulating day-to-day? Line of sight between employee performance and company performance – Does the employee understand how their work contributes to the company's performance? Career Growth opportunities –Are there future opportunities for growth? Pride about the company – How much self-esteem does the employee feel by being associated with their company? Coworkers/team members – significantly influence one's level of engagement Employee development – Is the company making an effort to develop the employee's skills? Relationship with one's manager – Does the employee value his or her relationship with his or her manager?

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MH 21 1)  An expressed intention to remain with an organization 2)  The variety of skills and competencies their job requires 3)  The organization's commitment to satisfying customers 4)  The amount of cooperation within and across functions 5)  Consistent communication regarding roles and expectations 6)  Training to improve their contributions to the organization 7)  Freedom and discretion in their jobs and access to resources and information 8)  Competent, expert managers who are open to ideas of their employees Factors Influencing Employee Satisfaction and Engagement

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MH 22 Research Workforce engagement characteristics: Satisfaction Understanding Contribution Alignment Retention Workforce Engagement Metrics

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MH 23

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MH 24 An analysis of employee responses to opinion surveys. Higher salaries. Pay is the number one topic for employee dissatisfaction. Internal pay equity. Employees are particularly concerned about 'pay compression' (defined as the differential in pay between new and more experienced employees). Benefits programs. Particularly health/dental, retirement, Top Themes that Concern Employees Most

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MH 25 Safety and Health Employees who work in a safe environment and enjoy good health are more likely to be productive and yield long-term benefits to the organization. Isn't it a bit unnerving that doctors call what they do practice? George Carlin

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MH 26 Safety and Health Safety - Involves protecting employees from injuries caused by work-related accidents Health - Refers to the employees' freedom from illness and their general physical and mental well being

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MH 27 Growth Competition Prosperity Success Competent Employees

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MH 28 Economic Challenges Two related challenges: Global trade – international trade and competition with other markets Need for productivity Improvement More output with equal (or less) input HR Implications Need to contribute to international competence of workers (via training, etc.) Potential workforce reductions – can result in job insecurity and negative effects on workers

Complex Work Environment : 

MH 29 Complex Work Environment Industrial society is a complex and dynamic society (consist of group, societies and institution) they are interrelated, however have different attitudes and perceptions. They are also being influenced by external environment. We cannot ignore the working aspect of human being, as working hour dominate most of our time.

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MH 30

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MH 31

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MH 32

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MH 33 “Learning is not compulsory – neither is survival!” W Edward Deming Competitive edge will largely depend on ‘knowledge workers’ ability to perform