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Created June 23, 2025 1022 AM
Class D351 Functions of Human Resource Managment
Created time June 23, 2025 1022 AM
1 Introduction to the Dynamic Environment and Roles of HR Managers
Planning function: Aligns HR goals with organizational strategy by forecasting staffing
needs and developing talent plans.
Staffing function: Involves recruiting, selecting, and onboarding the right talent to meet
organizational needs.
Types of compensation: Direct (wages, salaries), indirect (benefits, bonuses), and non-
financial (recognition, development opportunities).
Performance appraisals: Evaluate employee performance, guide development, and
inform compensation or promotion decisions.
HRM enhances human potential by: Training, career development, performance
feedback, and creating supportive work environments.
Two workplace environments HRM improves: Physical (safe, healthy workspaces) and
psychological (inclusive, respectful culture).
Management must be aware of: Employee needs, morale, and communication to
maintain effective relationships.
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Impact of globalization: Requires HR to manage diverse, dispersed workforces and stay
compliant with international labor laws.
1.2 Understanding Strategic HR Management
Four implicit HR objectives: improve productivity, improve quality of work life, ensure
legal compliance, and foster ethical behavior.
HR boosts productivity by: Workforce planning, training, streamlining HR processes, and
aligning people with strategy.
Improving quality of work life: By promoting work-life balance, employee involvement,
and positive culture. Employees now seek purpose and engagement, not just income.
Familiarity with laws and regulations is important because:
Noncompliance can lead to legal issues, fines, and reputational damage.
Moral philosophy: A system of principles guiding right and wrong behavior.
Encouraging ethical behavior: Through policies, leadership example, training, and clear
reporting mechanisms.
Business ethics: Standards of conduct that guide decision-making in a business context.
Consequentialist theory: Focuses on the outcomes; an action is right if it leads to good
results.
Deontological theory: Focuses on duties and rules regardless of the outcome.
1.3 DEI and Strategy: HR's Leadership Role
Importance of DEI in HR Promotes fairness, innovation, employee engagement, and
compliance.
Strategic nature of HR HR drives organizational success by aligning talent management
with business goals.
Six major trends:
increased competition,
the costs and benefits associated with HR utilization,
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, productivity changes (resulting from changes in technology, capital investment, the
20082014 recession, COVID19 and the subsequent changes in the economy,
capital utilization, outsourcing, and government policies)
the increasing pace and complexity of social, cultural, legal, demographic, and
educational changes,
the symptoms of dysfunction in the workplace, and
societal trends of the 21st century.
1.4 Internal and External Environments in HR Strategy
Culture: The shared values, beliefs, and norms; shaped by leadership and organizational
history.
Technology: Tools and systems that support operations and communication.
Technology's influence: Impacts communication, decision-making, job design, and
remote work structures.
Organizational size determines: HR structure, policies, and level of specialization.
Economyʼs influence: Affects hiring, compensation, and training budgets.
International competition: Pushes HR to focus on innovation, efficiency, and global
talent.
SWOT Strengths, Weaknesses, Opportunities, Threats.
SWOT analysis purpose: To guide strategic planning by understanding internal and
external environments.
1.5 HRM Strategies, Structures, Compliance, and Ethical Standards
Five HRM strategies: Cost reduction, quality improvement, innovation, globalization,
customer service.
Four HRM structures: Centralized, Decentralized, Shared Services, Outsourced.
Centralized vs Decentralized: Centralized—decisions made at the top; Decentralized—
authority is spread out.
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Shared Services Model: Combines resources across departments to deliver HR services
efficiently.
Why HR outsources: To cut costs, gain expertise, and focus on strategic functions.
Compliance: Through audits, training, legal updates, and policy enforcement.
Five ethical standards: Fairness, Respect, Integrity, Responsibility, Transparency.
1.6 The Evolving Roles and Characteristics of HR Professionals
Six HR competencies: provide transformational leadership, collaborate and resolve
strategic challenges within the firm, encourage real employee involvement, empower
and facilitate learning as well as change and decision-making, design process and
performance systems, and maintain a global business perspective
Knowledge of business/industry: Helps HR align practices with company goals and
competitive environment.
Understanding economics is key because: It influences employment trends,
compensation, and budgeting.
Analytical ability matters: Enables data-driven decisions and evaluation of HR programs.
Influence is critical: HR must shape policies, gain buy-in, and lead change.
Propensity for action: HR must be proactive and responsive in a fastpaced environment.
Engagement: The emotional commitment employees have to their work and company.
Political awareness: Helps HR navigate organizational dynamics and gain support.
Customer focus: Ensures HR meets the needs of internal (employees) and external
stakeholders.
1.7 HR Generalists and Specialists
HR Generalist: Handles a broad range of HR tasks (e.g., recruiting, training, compliance).
HR Specialist: Focuses on a specific HR area, like benefits, recruitment, or labor
relations.
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