HUMAN
RESOURCE
MANAGEMENT
RIGA , 2019
MG. OEC. KRISTINE JOANNA
GOLUBEVA

HISTORY OF HRM

INTRODUCTION
Human Resource Management TODAY?

HUMAN
RESOURCE
MANAGEMENT
The design of formal systems in
an organization to ensure the
effective and efficient use of
human talent to accomplish the
organizational goals
Mathis, R.L.,& Jackson, J. H. (2007).Changing Nature of Human
Resource Management. South-Western, Division of Thomson
Learning, 12th edition.

HUMAN
RESOURCE
MANAGEMENT
Strategic partner
An Employee
advocate
Change champion
Schuler «Repositioning Human Resource Function» and
http://humanresources.about.com/od/hrbasicsfaq/a/hr_role.htm

ROLE OF THE HR FUNCTION (I)
• is to enable the organization to achieve its objectives
by taking initiatives and providing guidance and
support on all matters relating to its employees.
• The basic aim is to ensure that the organization
develops HR strategies, policies and practices that
cater effectively for everything concerning the
employment and development of people and the
relationships that exist between management and
the workforce.
• The HR function can play a major part in the creation
of an environment that enables people to make the
best use of their capacities and to realize their
potential to the benefit of both the organization and

ROLE OF THE HR FUNCTION (II)
HR philosophies describing the overarching values and guiding
principles adopted in managing people
HR strategies defining the direction in which HRM intends to go.
HR policies, which are the guidelines defining how these values,
principles and the strategies should be applied and implemented
in specific areas of HRM.
HR processes consisting of the formal procedures and methods
used to put HR strategic plans and policies into effect.
HR practices comprising the informal approaches used in
managing people.
HR programmes, which enable HR strategies, policies and
practices to be implemented according to plan.

HUMAN
RESOURCE
MANAGEMENT
•Strategic Human Resource Management (e.g.
planning, effectiveness)
•Equal Employment Opportunity (e.g.
diversity)
•Staffing: recruitment, selection
•Talent Management (e.g. training, career
planning, development)
•Total Rewards (e.g. compensation, benefits)
•Risk Management and Worker Protection
(e.g. safety, security)
•Employee and Labour Relations (e.g. rights,
policies)
Mathis, R.L.,& Jackson, J. H. (2007).Changing Nature of Human Resource
Management. South-Western, Division of Thomson Learning, 12th edition.

HUMAN RESOURCE
MANAGEMENT ROLES
Administrative Operational Strategic
Focus Administrative
processing and record
keeping
Operational support Global, Organization -
wide
Timing Short term (less than 1
year)
Intermediate term ( 1
– 2 years)
Long term ( 2 – 5
years)
Activities * Administrating benefits
* Conducting new
employee orientationts
* Interpreting HR
policies
* Recruitment and
selection of
employees for
current openings
* Conducting saftey
trainings
* Managing
compensation
programs
* Assesing workforce
trends and issues
* Assisting in
organizational
restructuring
* Advising mergers
and acquisitions

HRM SYSTEM

HR LIFE CYCLE

HARD HRM
Human resource management
Quantitative and calculative approach
Example: Ryanair, McDonalds
Nickson, D. (2007), Human Resource Management for the Hospitality and Tourism Industries,
Butterworth-Heinemann, Oxford

MEASUREMENT ELEMENTS
• Basic workforce data – demographic data (numbers by job
category, sex, race, age,
• disability, working arrangements, absence and sickness, turnover
and pay).
• People development and performance data – learning and
development programmes,
• performance management/potential assessments, skills and
qualifications.
• Perceptual data – attitude/opinion surveys, focus groups, exit
interviews.
• Performance data – financial, operational and customer.
• Non-financial variables –quality of corporate strategy;
• – execution of corporate strategy;
• – management credibility;
• – innovation;
• – research leadership;
• – ability to attract and retain talented people;

HR MEASUREMENT

BALANCE SCORE CARD

EMPLOYEE NET PROMOTER
SCORE
• Net Promoter Score is a common business index that
measures the likeliness of customers recommending
the company’s products or services.
• Employee Net Promoter Score (eNPS) is an index that
measures the likelihood that an employee would
refer candidates or customers to the company. The
logic is similar: the better the organization is as an
employer, THEN the more employees are engaged
and satisfied with their work, AND the more people
they will recommendThe Key to Employee Engagement: Your Net Promoter Score, 2017,
https://www.hrbartender.com/2017/employee-engagement/key-employee-
engagement/

HOW NPS WORKS
How likely are you to recommend this
organization/product/service to a friend or colleague? On a scale
of zero to ten, how likely is it that you would recommend this
company as a place to work?”
Respondents are asked to rate their answer to the question on a
scale of 0 to 10. The question is then followed up with:
What is the primary reason for your score?
This is an optional, open-ended question. In some cases, an NPS
survey has a request that reads something like this:
If you would like to be contacted by a manager about your
score, please complete the fields below: name, email and
number.
Cushard B., 2016, Increase Recruiting Effectiveness Using Net Promoter Score for
HR, https://www.adp.com/spark/articles/2016/07/increase-recruiting-
effectiveness-using-net-promoter-score-for-hr.aspx

NPS
CALCULATION
H T T P : / / W W W. N P S C A LC U L ATO R . C O M / E N

RESULTS
• Promoters (9-10): Your most loyal, enthusiastic fans. These
clients are highly satisfied with your services and are loyal to
your company. Promoters represent your strongest allies and
are most likely to promote your services to their networks.
• Passives (7-8): These clients are happy (for now) but
demonstrate an indifference to their experience with your firm,
and may be tempted by competitors. While not as immediately
immediately concerning as detractors, these clients represent a
risk to retention and service reputation. Put frankly, they
be expected to be loyal to your company or promote your
services to their own networks.
• Detractors (0-6): Your most at-risk group of clients. Not only
are you at risk of losing the business of detractors, they are
the most likely to share negative feedback to their networks
regarding their experience with you.
https://www.clearlyrated.com/solutions/nps-101-for-hr-service-

HARD HRM
ADVANTAGES OF HARD
HRM
• The expense for the firm
can be very high as they
need to pay out for training
etc to build motivation and
allow the employees to
have the flexibility they
require.
• Decision making can
become far harder as
everyone needs to be
consulted, this can result in
loss of business
opportunities which could
lead to possible profit for
DISADVANTAGES OF HARD
HRM
• Level of labour turnover
might be very high.
• Employees may be
demotivated by this 'hard'
approach to employment.

SOFT HRM
Human resource management
Humanistic and developmental approach
Examples: Google, Facebook
Nickson, D. (2007), Human Resource Management for the Hospitality and Tourism Industries,
Butterworth-Heinemann, Oxford

SOFT HRM
ADVANTAGES OF SOFT
HRM
• It can help a business build a
reputation for being a 'good'
employer. Good employees seek
to offer their employees diverse
and interesting jobs and the
opportunity to develop their
skills. The pay and conditions on
offer are attractive and the
employer ensures that
employees receive regular
training to hone their skills and
enhance promotion prospects.
• management strategy can
improve knowledge
management within a business.
• may also develop a more
creative workforce.
DISADVANTAGES OF SOFT
HRM
• The expense for the firm can be
very high as they need to pay
out for training etc to build
motivation and allow the
employees to have the flexibility
they require.
• Decision making can become far
harder as everyone needs to be
consulted, this can result in loss
of business opportunities which
could lead to possible profit for
the company.

THE CHALLENGE TO HRM
Globalization-New and
important ingredients
must be added to the mix
when making strategy:
volatile political situations,
contentious global trade
issues, fluctuating
exchange rates and
unfamiliar cultures.
Profitability through
growth – the drive for
revenue growth means
that companies must be
creative and innovative
and this means
encouraging the free flow
of information and shared
learning among
employees.
Technology – the
challenge is to make
technology a viable,
productive part of the
work setting.
Intellectual capital – this is
the source of competitive
advantage for
organizations. The
challenge is to ensure that
firms have the capability
to find, assimilate,
Change, change and more
change – the greatest
challenge companies face
- They must be able to
‘learn rapidly and
continuously, and take on
new strategic imperatives
faster and more

5 CRITICAL ISSUES FACING
HR DIRECTORS IN 2019
1. Communication and culture
2. Time management
3. Leadership investment
4. Dealing with the wrong people
5. Changing legislation and global reach
https://www.humanresourcesonline.net/5-critical-issues-facing-hr-directors-
in-2019/

https://learn.g2crowd.com/2019-hr-
trends

10 INSPIRING HR TRENDS FOR 2019
1. Personalisation
2. The Trust issue
3. Development as a service
4. Erosion of the Employee Experience
5. No more Paternalism
6. People Analethics
7. Less = More
8. Big = Beautiful
9. HR Innovation Labs
10. HR is about People
https://hrtrendinstitute.com/2018/11/26/10-inspiring-hr-trends-for-

10 TRENDS THAT WILL SHAPE HR IN
2019
1. The talent acquisition panic
2. AI (artificial intelligence) as a partner, not a threat
3. Data insights continue to evolve
4. More pressure to become 'agile'
5. The role of culture in employer brand
6. A new focus on where the work is being done
7. Potential for wage growth, but recession fears loom
8. Leveling the playing field for women and minorities
9. Empowering managers to help employees
10. Development and training to fill important gaps
https://www.hrdive.com/news/10-trends-that-will-shape-hr-in-
2019/545343/

THANK YOU!
ENJOY YOUR DAY 