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Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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Page 1: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

Section Three MANAGING HUMAN RESOURCES

IN SMALL & MID BUSINESS

“People, including managers, can make or break a business.”

Page 2: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

中小企业管理-路琳-人力资源管理 2

I. Managing people is complicated

• Governmental rules and regulations

• New generation are looking for challenge, incentive and opportunity to learn, to be creative and to advance

• Huge expenses:

Page 3: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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II. Why HRM Difficult in SME

• 1. Small size

• 2. Disadvantages in compensation system

• 3. Low industrial interest • 4. Personality of the business owner

Page 4: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

中小企业管理-路琳-人力资源管理 4

III. Recruiting in Small Business

• Best people for the key positions

• Internal recommendation

• Find a specific manager for recruitment

• Provide shares

• Be a nice boss

• Organizational culture

Page 5: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

中小企业管理-路琳-人力资源管理 5

IV. Training in Small Business

Page 6: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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1. Purpose of Training and Development

• 1) Creating a pool of readily available and adequate replacements

• 2) Enhancing the company's ability to adopt and use advances in technology

• 3) Building a more efficient, effective and highly motivated team

• 4) Ensuring adequate human resources for expansion into new programs.

Page 7: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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2.Benefits a small business receives from T&D

• 1) Increased productivity.

• 2) Reduced employee turnover.

• 3) Increased efficiency resulting in financial

gains.

• 4) Decreased need for supervision.

Page 8: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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1) Organizational Objectives

2) Needs Assessment

3) Is there a gap?

4) Training Objectives

5) Select the Trainees

3. Steps in the Training Process

Page 9: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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Steps in the Training Process

6) Select the Training Methods & Mode

7) Choose a Means of Evaluating

8) Administer Training

9) Evaluate the Training

Page 10: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

中小企业管理-路琳-人力资源管理 10

4. Training Methods

Page 11: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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1) Orientations

• For new employees

• The company's history and mission.

• The key members in the organization.

• The key members in the department, and how the

department helps fulfill the mission of the company.

• Personnel rules and regulations.

Page 12: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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2) Lectures

• present training material verbally and are used when the goal is to present a great deal of material to many people.

Page 13: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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3) Role playing and simulation

• attempt to bring realistic decision-making situations to the trainee. Likely problems and alternative solutions are presented for discussion.

Page 14: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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4) Audiovisual method

• such as television, videotapes and films are the most effective means of providing real world conditions and situations in a short time.

Page 15: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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5) Job rotation

• moving an employee through a series of

jobs so he or she can get a good feel for the

tasks that are associated with different jobs

Page 16: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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6) Apprenticeships

• develop employees who can do many different tasks. They usually involve several related groups of skills that allow the apprentice to practice a particular trade, and they take place over a long period of time in which the apprentice works for, and with, the senior skilled worker.

Page 17: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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7) Internships and assistantships

• a combination of classroom and on-the-job training.

Page 18: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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8) Programmed learning, computer-aided instruction and interactive video

• they allow the trainee to learn at his or her own place.

Page 19: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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9) Laboratory training

• conducted for groups by skilled trainers.

Page 20: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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Training Techniques & Activities(On-the-job)

Orientingnewemployees

Specialskilltraining

Creative,technical &professionaleducation,

Sales,administrative,supervisory andmanagerialeducation

Orientation *

Apprentice * * * *

Internship * * *

Jobrotation *

Page 21: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

中小企业管理-路琳-人力资源管理 21

Training Techniques & Activities(Off-the-job)

Orientingnewemployees

Specialskilltraining

Creative,technical &professionaleducation,

Sales,administrative,supervisory andmanagerialeducation

Lecture * * * *

Films * * * *

Television * * * *

Conferences * * *

Page 22: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

中小企业管理-路琳-人力资源管理 22

Training Techniques & Activities(Off-the-job)

Orientingnewemployees

Specialskilltraining

Creative,technical &professionaleducation,

Sales,administrative,supervisory andmanagerialeducation

Roleplaying *

Simulation * * *

Programmed * * * *

Laboratory *

Page 23: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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Most small business owners want to

succeed, but do not engage in training

designs that promise to improve their

chances of success.

WHY?

Page 24: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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5. Reasons training is ignored

• Time

• Getting started

• Broad expertise

• Lack of trust and openness

• Skepticism as to the value of the training

Page 25: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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V. Building Employee Trust

• Trust cannot be created by excessive wages, great company picnics or wonderful working conditions; it can only be generated through teamwork, honesty and fairness.

Page 26: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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Three attributes of trust in successful small businesses

• Open and honest

• Consistent and fair

• Communications

Page 27: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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Honesty• Take time to talk with your workers.

• Find out what they're thinking.

• Find out what they'd like to know and tell them whenever possible.

• Don't tell only good things.

• Allow employees an opportunity to provide you, the owner, with information, questions and suggestions. In this way, communications are two way.

Page 28: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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VI. Strategic decision: When a firm needs a HR manager

• The firm has more than 100 employees.

• Turnover is very high (and costly).

• The need for skilled or semiskilled labor creates problems in recruitment or selection.

• Employee morale is low.

• Competition for good personnel is especially keen in the market area.

Page 29: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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Buy vs. DIY

Page 30: Section Three MANAGING HUMAN RESOURCES IN SMALL & MID BUSINESS “People, including managers, can make or break a business.”

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Professional Employer Organization

• Employee Leasing Firm

• Why use PEO

• Pitfalls in PEO– Limited Responsibility– Loose contact– Higher cost