01 besseyre eduson presentation

8/13/2019 01 Besseyre Eduson Presentation

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INTRODUCTION TO STRATEGIC HUMAN

RESOURCES MANAGEMENT

CHARLES-HENRI BESSEYRE DESHORTS, PHD

ASSOCIATE PROFESSOR HEC PARIS

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Course contents overview

1. Definition of HRM, Evolution of HRM, The Traditional

Roles

2. Strategy, Basic Concepts and Evolution

3. The Strategic Roles of HRM: Business Partner, Value

Creation, Outside-In4. Strategy & HRM: Implementation, Contribution & Co-

Construction

5. Strategic Decisions where HRM can play a Key Role:

Market, Technology, Globalization, Mergers &

Acquisitions

CHARLES-HENRI BESSEYRE DES HORTS, LECTURE 1 2


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Lecture 1

Definition of HRM, Evolution of HRM, The

Traditional Roles

CHARLES-HENRI BESSEYRE DES HORTS, LECTURE 1 4


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Agenda of the Session

Definitions of HRM

The HRM System

Evolution of HRM

Traditional Roles of HRM

Administrative

Legal

Psychological

Managerial

5CHARLES-HENRI BESSEYRE DES HORTS, LECTURE 1


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Definitions of HRM

Human Resources Management (HRM) refers to the

policies, practices, and systems that influenceemployees behavior, attitudes and performance.

HRM seeks to achieve competitive advantage through

the strategic deployment of a highly committed and

capable workforce, using an integrated array of cultural,structural, and personnel techniques

HRM is characterized by a number of practices:

strategic workforce planning, recruitment & integration,

job design & grading, performance/potentialassessment, total compensation, careers & mobility,

training & development



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Human Resources Management

System

STRATEGIC OBJECTIVES

Strategic Workforce

PlanningJOB DESIGN &

GRADING

Recruitment/

Integration

Training &

Development

Careers/

Mobility

PERFORMANCE /

POTENTIAL

ASSESSMENT

Total

Compensation

COMMUNICATION

TECHNOLOGY

HR CONTROL


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Evolution of HRM: Expertise +

Partnership

Administ rat ive

Legal

Psychological

Managerial

Business Partner

Value Creation

Expertise

1950s 1970s 1990s 2000s

Patnershipwith

Managers/Employees

Outside-in

Collective

Individual

(Stakeholders)

(Tools)

(Motivation)

(Protection)

(Discipline)

(Influence)

(Innovation)

Traditional

Roles

Strategic

Roles



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HR function transformation

ControlComply with norms and

control management

processes

PERSONNEL

ServicesProvide efficient and

effective services tocustomers

HUMAN

RESOURCES

DecisionsContribute to the

improvement of

organizational

decisions

TALENTSHIP

Source: adapted from Boudreau & Ramstad, 2007



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From personnel to human resources

Personnel Mgt

Cost

Administrative

Collective

Static

Mechanistic

Short Term

Rigid

Quantitative

Equal i ty

Human Resources Mgt

Investment

Strategic

Individual/Group

Dynamic

Organic

Long Term

Flexible

Qualitative

Equi ty



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Administrative role

Foundation of HRM: record keeping of all basic people

activities + compliance with local legal rules Recruitment

Job assignment

Training

Career Health & Safety

Compensation

Benefits

Absenteeism Turnover

Etc



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Administrative role (contd)

Mass production of data and transactional

work: efficiency key issue Key issues of accuracy, precision and

maintenance of the personnel data files at the

local and central HRM levels HRM Information Systems (HRIS) constitute

the backbone of all administrative activities

e-HR (Internet-based HRIS) split the

administrative role between HRM function,

managers and employees (cf. managerial role)



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Legal role

Compliance with local legal rules: employment

(recruitment, anti-discrimination, dismissals) , workenvironment (working time, physical environment),

compensation & benefits (minimum wage, equal

pay), training & development (budget, target

populations) , health and safety,labor relations Increasing importance in HRM because of the change

of labor laws in many countries around the world

towards more protection for employees and more rules

to apply for employers: Continental Europe stills givesthe highest level of protection



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Legal role (contd)

Labor relations focus:

Personnel representat ives:defense ofcompliance with legal rules

Union representatives:negotiation of new local

norms and legal rules

Work counc i ls :information and/or consultation

on company situation (in Germany: co-

determination of key strategic decisions)

Transnational labo r s tructu res inmul t inational companies:global norms



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Psychological role

Impact of HRM is critical to reinforce employees motivation and

engagement: obtaining the extra mile is the key objective Many motivation theories explain HRM practices: two key ones

Maslow Needs Hierarchy Adams Equity Theory

People are motivated when the

ratio between contribution and

reward is balanced

Contr ibut ion

Reward

Lots of consequences for HRM:

Individualization of HR decisions Perception of fairness

Managers involvement in HR

decisions

Basic/Physiological

Security

Social/Belonging

Recognition

Self-

actualization



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Managerial role

The stage of development of HRM that is the most

common in organizations today: HR practices widelyshared with internal customers (managers & employee)

with HRIS and/or e-HR

Development of professional practices using

sophisticated tools internally developed or acquiredfrom external providers, for example:

recruitment & integration:campus management,

job profiles, tests, interviews, assessment centers,

induction programs

training & development:needs assessment,

competencies gap analysis, training plan, personnel

reviews, career tracks, mobility programs



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Managerial role (contd)

Development of professional practices using

sophisticated tools internally developed oracquired from external providers, for example:

performance management:performance

evaluation, job grading, salary surveys,

compensation packages (fixed/variable,

short/long term), benefits plan (global vs.

individualized, rigid/flexible: cafeteria)

talent management:employer branding, talentidentification, specific development programs,

compensation packages, perquisites



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Key learning points of Session 1

HRM is a fairly recent field in management sciences

and has experienced a tremendous change in the last50 years from traditional to strategic roles, partly thanks

to technology (internet)

HRM is built upon policies, practices that form a system

aiming at increasing company performance and

competitive advantage

Adm inist rat ive ro le:foundation of HRM to ensure that

HR decisions are based on accurate and reliable data,HRIS are critical




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(contd)

Legal ro le:compliance with legal rules and norms with

increasing pressure from many stakeholders (states,communities, unions)

Psycholog ical role:get from the employees the extra

mile through motivational and engagement programs,

key issue of fairness in HRM

Managerial role:development and use of sophisticated

tools (using technology), involvement of managers and

employees in HR decisions


01 besseyre eduson presentation

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