Ch 2

Front 1

What is HRM?

Back 1

Process of managing human talent to achieve an organizations objectives

Front 2

What is HRM Planning?

Back 2

Process of anticipating and providing for the movement of people into, within and out of an organization

Front 3

Strategic Planning and HR Planning:
Step 1 Mission Vision and Values

Back 3

Mission - basic purpose of the organization
Strategic Vision- statement about where the company is headed in the future
Values - core beliefs and principles of the organization and what it believes in

Front 4

Step 2: Environmental Analysis

Back 4

You're preparing to launch your first business, what do you look for?

Business:

-Opportunity Threats
-Competitor Analysis

HR:

industry trends
-economic factors
-demographic

-legislation
-technological changes

Front 5

Step 3: Internal Analysis

Back 5

Business:
Strengths and Weaknesses, core competencies, SWOT Analysis

HR:
Capabilities, a firm's sole of the organization is its human capital. Resources must be:
valuable

difficult to imitate

rare

organized

Composition

Culture, sole of the organization, what sets you part from other companies

Forecasting a Firm's Demand for Employee's

-predicting the number and types of people an organization needs
Quantitative Approach:

select a meaningful figure, divide by employees and will get sales per employee

Front 6

Internal Analysis: Forecasting a Firm's Demand for Employee's

Back 6

Predicting the number and types of people an organization needs

Quantitative Approach:select a meaningful figure, divide by employees and will get sales per employee

Front 7

Internal Analysis: Forecasting the Supply of Employees

Back 7

Staffing tables - graphic representation of an organization along with number of employes currently occupying those jobs and future employment requirements

Replacement Charts - current job holders who are potential replacements when a job opening occurs

Front 8

Step 4: Formulating A Strategy

Back 8

Corporate, focuses on markets in which they compete
Growth and Diversification:

1. Increased employee productivity
2. Greater number of employees
3. Employees developing or acquiring new skills

Mergers and Acquisitions: HR planning is important as mergers can fall flat due to culture inconsistencies

Business - how companies will compete
Low cost Strategy
Differentiation Strategy

Functional- translate strategic priorities in areas of the organization

Vertical Fit: connection between business objectives and major initiatives in HR, for example if it is focused on low cost HR must be focused on reliable behaviour and productivity

Horizontal Fit: HR practices are aligned

Front 9

Step 5: Strategy Implementation

Back 9

Organizations strive for a proper balance between demandconsiderations and supply considerations

You have established trends in supply and demand, now what?

Increase Workforce:

-recruitment

-selection

Decrease Workforce:

Layoff- strategy – reduced shifts, reduced workweek this reduces emotional andcosts of production

Attrition – natural departure of employees through death, retirement, quitting

Termination – employer separating an employee fromorganization permanently

Front 10

Step 6: Assessment

Back 10

Benchmarking - comparing organizations practices and processes to other companies
HR Dashboard - software that tracks and displays HR statistics
Balance Scorecard - measurement framework that helps managers translate strategic goals into operational objectives

Front 11

Measuring Horizontal Fit

Back 11

3 Steps:
1. Managers need to identify key workforce objectives they hope to achieve
2. Mangers need to identify HR practices used to reinforce workforce objectives

3. Managers evaluate each HR practice on a sale of -5 to 5 and by tallying it up they can get a clear idea of which HR practices are working

Front 12

HR Practices

Back 12

Sales Productivity
Customers Service
Merchandise Info