Extensive summary of all required readings for Human Resource Management
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Cours
Human Resource Management (6012B0425Y)
Établissement
Universiteit Van Amsterdam (UvA)
Book
Fundamentals of Human Resource Management
Providing an in-depth and complete summary of all required readings for the HRM class of the Business Administration department at UvA. Book chapters are summarised in detail
Reading summary........................................................................................................................................ 1
Chapter 1 - Managing Human Resources................................................................................................1
Chapter 2 - Trends in HRM..................................................................................................................... 4
Chapter 5 - Planning for and Recruiting Human Resources................................................................... 7
Chapter 6 - Selecting Employees...........................................................................................................10
Chapter 4 - Analyzing work and Designing Jobs.................................................................................. 13
Chapter 8 - Developing employees for future success.......................................................................... 18
Chapter 12 - Establishing a Pay Structure............................................................................................. 23
Chapter 7 - Training Employees............................................................................................................27
Chapter 9 - Creating and Maintaining High-Performance Organizations............................................. 31
,HRM Reading summary
Chapter 1 - Managing Human Resources
- HRM function: finding great people and creating conditions that enable those people to help a
company succeed in its mission
- HRM involves people practices:
1. Analyzing work and job design
→ work analysis, job design, job description
→ job design = the process of defining the way work will be performed and the tasks that
a given job requires
2. HR Planning: Determining how many employees with specific knowledge and skills are
needed
→ talent management, diversity training, long-term over short-term
→ supporting the organization’s strategy, sustainability, change, meeting the needs of
organization’s stakeholders
→ evidence-based HR
3. Recruiting: Attracting potential employees
4. Selection: choosing employees
→ job postings, interviews, testing, coordinating use of temporary labor
5. Training and development: training, preparing and teaching new employees
6. Performance management
7. Compensation: rewarding employees
→ wage and salary administration, incentive pay, vacation leave administration,
retirement plans
8. Employee relations: creating a positive work environment
→ attitude surveys, labor law compliance, employee handbooks
9. Compliance with laws
→ posting information, safety inspections
10. Managing performance
11. Managing and using HR data
- HR management involves both the selection of which options to use and the activities involved
when using those options, these functions influence the company’s performance. If all these
practices work together, there is horizontal alignment. If the strategy and HR work together, it’s a
vertical alignment.
HR & Company Performance:
- Decisions about recruiting affect employee’s motivation and ability to provide goods and services
that customers value as well as the organization’s performance
, → organizational performance:
1. Quality
2. Profitability
3. Customer satisfaction
- Human capital: an organization’s employees who have characteristics which add economic value
to the company
→ type of human capital:
1. Training
2. Experience
3. Judgment
4. Intelligence
5. Relationships
6. insight
- Employees are resources of the employer
- HR affects behavior of human capital in terms of motivation and effort
- An organization can succeed if it has sustainable comparative advantage
Human resources have certain necessary qualities which allow the organization to hold advantages over
other organizations for a sustained amount of time:
1. HR are valuable
2. HR are rare
3. HR cannot be imitated
4. HR have no good substitutes
So, effective management of HR can form the foundation of a high-performance work system
→ this is an organization in which technology, organizational structure, people and the process work
together seamlessly to give an organization an advantage in a competitive environment
→ this is essential when making organizations strong enough to sustain itself during recessions
→ maintaining this system can include:
1. Training programs
2. Recruitment of people with new skill sets
3. Establishment of rewards for certain valuable employee behaviors
Responsibilities of Human Resource Departments:
1. Administrative services and transactions
2. Business partner services
→ developing effective HR systems to keep the people the organization needs
3. Strategic partner
→ contributing to the company’s strategy by maintaining the company’s comparative advantage
through HR practices
Top qualities employers want:
1. Teamwork skills
2. Decision making, problem solving
, 3. Planning, prioritizing tasks
4. Verbal communication skills
5. gathering/ processing information
Skills of HRM Professionals
- Credible activists
- Cultural and change steward
- Talent manager/ organizational designer
- Strategic architect
- Business allies
- Operational executors
Ethics in HRM
- Fundamental principles of right and wrong
- Ethical issues in the workplace
1. Employee rights: maintaining confidentiality and security of employees information while upkeep
the company’s interests
- Right of free consent
- Right to privacy
- Right of freedom of conscience
- Freedom of speech
- Due process
2. Standards of ethical behavior
- Mutual benefits when it comes to relationships with customers, vendors and clients
- Employees assume responsibility for the actions of the company
- Companies have a sense of purpose or vision that employees value and use in their
day-to-day work
- Companies emphasize fairness
- Standards to identify ethical practices: greatest good for the greatest number of people,
fair and equitable, respect for basic human rights
Chapter 2 - Trends in HRM
- Major trends which are affecting HRM
- Labor force: people willing and able to work
- Internal labor force: an organization’s workers
- External labor market: individuals seeking employment
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