HND in Business

Management
Module: Human Resource Management Unit 21
Lesson: Strategic Integration & Human Resource
Management Functions
Lecturer:
Prepared By: Dulanga
Kodithuwakku

Shifting PM to HRM
Traditional Perception on the role of Personal
Management
Business
Strategy &
culture

Functional
& Product
Managemen
t Strategy

Line
Manageme
nt

Personal
Managemen
t Function

Employee

Prepared By: Dulanga

Kodithuwakku

Strategic Integration Of
Personal Management
New theories & models immerged
Business environment diversified
Focus on employee commitment,
involvement & flexibility.
People factor become an asset
Proactive & constructive
Focus on strategic integration
Prepared By: Dulanga
Kodithuwakku

Strategic integration of personal

Management
Functional &
Product
Management
Strategy
HRM
HRM
Personal
Management
Function

Business
Strategy &
culture

Line
Manageme
nt

Employee

Prepared By: Dulanga

Kodithuwakku

Human Resource
Management
A strategic approach to managing
employment relations which emphasis
that leveraging peoples capabilities is
critical to achieving sustainable
competitive advantage , this being
achieved through a distinctive set of
integrated employment Policies
Programmes & Practices
Prepared By: Dulanga
Kodithuwakku

Key Policy Goals Of HRM

Strategic Integration - Relate HR
issues into strategic plans
High commitment Ensuring genuine
behavioral & attitudinal commitment
Flexibility

Allowing
maximum
flexibility in order to respond changing
business environment.
High Quality Investing on high quality
people will direct high quality outcome.
Prepared By: Dulanga
Kodithuwakku

Characteristic of HRM
Attempt in achieving strategic fit
Integration between HR & Business planning.
Developing mutually supporting HR policies
and practices Strategic management of
people is reflecting in the business
Orientation
towards
commitment

Flexibility,
teamwork,
empowerment,
involvement and creation of strong cultural
values.

Prepared By: Dulanga

Kodithuwakku

HRM in 21st century

Requiring HR specialist to operate
effectively
across
a
range
of
dimensions in HRM.
An
increasing
consultancy
orientation for balancing the HR
roles in supporting.

Prepared By: Dulanga

Kodithuwakku

Business Partner Model

Tyson 2006
Strategic
HR as a
strategic
partner

HR as a
change
agent

Process
HR as an
administrativ
e expert

HR as
employee
champion

Peopl
e

Operationa
l
Prepared By: Dulanga
Kodithuwakku

HRM Approach In Modern Organization

Administrati
on
Role
Focus

Objectives

Job Title

Support to line
management
Welfare ,
Personal
services ,
record handling

Service need of
managers /
individuals

IR Systems
Policy
Industrial
relations ,
Procedures /
systems , Rules
Harmony ,
Agreements ,
Legal

IR Manager ,
Welfare Officer ,
Labour officer ,
Employment
Personal
manager
Manager

Prepared By: Dulanga

Kodithuwakku

Business
Manger

Consultancy

Internal
Consultancy
Service
Integration with
agreements ,
corporate
Projects ,
strategy ,
External
Business case
networks ,
relevance
Balanced
interests
Results ,
Enable change ,
Employee
Organizational
commitments
flexibility
Strategic

HR manger
( Director )

Change Manger
HR director
10

On- Going Debate About HRM

Is HRM really differ from PM ?
Does it make a really difference to
the organizational performances?

Prepared By: Dulanga

Kodithuwakku

11

The Role & Structure Of HRM

Operational tasks and activities
Organizatio
n

Organizational Design
Organization Development
Job role design & definition
Flexible working

HR Planning
Recruitment
HRM planning
Selection
& resourcing
Retention
Exit management
Performance
Management

Prepared By: Dulanga

Kodithuwakku

Performance monitoring & appraisal

Discipline handling
Grievance handling
Identifying learning & development needs

12

Cont..
Reword Management

Pay systems
Performance pay systems
Benefit schemes
Non financial rewords

HR Development

Learning Organization
Education & training
Personal Development
Career Management
Managerial Development

Health Safty & welfare

Occupational health & safty

Welfare services

Employee Relations

Industrial Relations
Employee communications
Employee voice

HR services

Managing the employment

relationships
HRIS
Compliances

Prepared By: Dulanga

Kodithuwakku

13

Classification Of HR Tasks &

Activities
Utilization of
people at work
Recruitment
Selection
Transfer
Promotion
Separation ,
appraisal , training
& development
etc

Prepared By: Dulanga

Kodithuwakku

The motivation of
people at work
Job design
Remuneration
Consultation
Participation
Negotiations &
justice

The protection f
people at work
Working conditions
Welfare services
Safty
Implementation of
appropriate
legislation

14

Roles of HR

Guidance Role
Advisory Role
Service Role
Control / auditing role
Planning/Organizing role

Prepared By: Dulanga

Kodithuwakku

15

Guidance Role

Recommendations
,
Guiding
,
specialists in effective implementation
of new rules.
E.g. New trend in pension for all
concept, New labour regulations

Prepared By: Dulanga

Kodithuwakku

16

Advisory Role
Offering specialist information to line
managers & individual employees .
E.g. Advices on training options, legal
rights,
how
to
handle
specific
problems, counseling.

Prepared By: Dulanga

Kodithuwakku

17

Service Role
Providing
services
customers.

for

internal

E.g. All the administrative activities

(Payroll, employee information, collecting,
storing & return)

Prepared By: Dulanga

Kodithuwakku

18

Control & Auditing role

Analyzing Personal Files , Monitoring
Performances , Bench Marking
E.g. wages cost, labour turnover,
compliances with legal obligations

Prepared By: Dulanga

Kodithuwakku

19

Planning & Organizing role

Forecasting the human resource &
developing flexible working methods

Prepared By: Dulanga

Kodithuwakku

20

Roles of strategic & proactive

level of HR Manager
Strategists: Strategic management of HR
& influencing business planning .
Business Partners : Sharing responsibility
with senior & line management for the
success
of
the
company
to
gain
competitive advantage.
Internal Management consultants :
Working with line managers in analyzing
business process , exploring problems &
recommending solutions.
Prepared By: Dulanga
Kodithuwakku

21

Centralization Vs.
Decentralization
One
officer
or
Department
controls the all HR
HR activities &
activities & tasks
tasks
are
delegated to line
mangers,
team
leaders

Prepared By: Dulanga

Kodithuwakku

22

Centralized HR Functions
Strategic Issues: Change Mgmt.,
HR Planning, Organizational policies
etc.
Organization
wide:
Communication,
employee
relationships
Advice/Consultancy:
Knowledge
upgrading, External affairs
Research & auditing: Control HR
functions
Prepared By: Dulanga
Kodithuwakku

23

Role & Responsibility Of Line

Managers In HR Practices
Trend towards Decentralization of HR
functions

Flexibility of work
Independence of SBU
Career Development
HR Information systems
Manager - team relationship

Prepared By: Dulanga

Kodithuwakku

24

Outsourcing HR Tasks

Training & Development

Recruitment
Health & Safety monitoring
Employee welfare & counseling
Payroll management
Legal & compliance advices

Prepared By: Dulanga

Kodithuwakku

25

Advantages & Disadvantages

Of Outsourcing HRM
Advantages

Disadvantages

Reducing cost
Value addition

Specialist
knowledge
Highlighting
the
Lacking parts
Improve
the
standard of service

Risk in damaging
the
organization
values
Lack
of
understanding
Short
term
cost
serving
Lost HR policy &
practice consistency.

Prepared By: Dulanga

Kodithuwakku

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