Bratton & Gold: HRM 3e CHAPTER 2

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Title
The Nature of Human Resource Management
Words of wisdom The real sources of competitive
leverage are the culture and capabilities of your
organization that derive from how you manage your
people. The whole emphasis on people demands
that top management attract, cultivate and keep
the best workforce they can possibly find. The
role of HR is becoming as important if not more
than any other executive leadership function.
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Chapter outline
The Nature of Human Resource Management
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Management HRM
The Nature of Human Resource Management
Human Resource Management A strategic approach
to managing employment relations which emphasizes
that leveraging peoples capabilities is critical
to achieving competitive advantage. This being
achieved through a distinctive set of integrated
employment policies, programmes and practices.
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Management HRM
The Nature of Human Resource Management
Management The science perspective The political
perspective The control perspective The practice
perspective
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Figure 1.1 Management as science, politics,
control practice
The meaning of management
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Meaning of management (science perspective)
The meaning of management
Science perspective Fayol (1949). Planning,
Organizing, Directing, Controlling
(PODC). Idealized image of management as a
rationally designed and operationalized tool for
realizing organizational goals.
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Meaning of management (political perspective)
The meaning of management
Political perspective Characterizes the
workplace as a miniature society with politics
pervading all managerial work. Individual
managers viewed as knowledgeable human
agents. Reinforces the theoretical and practical
importance of building alliances and networks of
co-operative relationships.
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Meaning of management (control perspective)
The meaning of management
Control perspective Conceptualizes management as
a controlling agent that servces the economic
imperatives imposed by capitalist marketing
relations. Management structures and labour
strategies are instruments and techniques to
control the labour process in order to secure a
high level of productivity and profitability. Simu
ltaneous desire for control over, and cooperation
from, workers.
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Meaning of management (practice perspective)
The meaning of management
Practice perspective Sees management as an
activity aimed at the continual melioration of
diverse, fragmented and complex
practices. Incorporates the other three
perspectives.
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The nature of the employment relationship
The Nature of the Employment Relationship
Describes dynamic interlocking relations that
exist between individuals and their work
organizations. Considers economic, legal, social
and psychological relations.
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The nature of the employment relationship
The Nature of the Employment Relationship
Economic exchange of pay for work. Legal
network of common law and statutory rights and
obligations affecting both parties. Social
social norms influence employees actions in
the workplace. Psychological dynamic, two-way
exchange of perceived promises and obligations.
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Figure 1.2 The employment and psychological
contracts between employer and employee
The Nature of the Employment Relationship
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HRM functions
HRM Functions
What do HRM professionals do? Planning Staffing De
veloping Motivating Maintaining Managing
relationships Managing change Evaluating
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HRM functions
HRM Functions
What affects what HRM professionals do? External
context (economic, political and legal
regulations, and social aspects) Strategy Organiza
tion (size, work and structure, and technology)
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HRM functions
HRM Functions
How do HRM professionals do what they do? Use
technical, cognitive and interpersonal processes
and skills. Power, legal procedures and
communication skills are important.
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Figure 1.3 HRM practices, contingencies and skills
HRM Functions
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Theoretical perspectives on HRM
Theoretical perspectives on HRM
Five major HRM models Provide an analytical
framework for studying HRM. Legitimate certain
HRM practices. Establish variables and
relationships to be researched. Explain the
nature and significance of key HR practices.
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Fombrun, Tichy Devanna
Fombrun, Tichy Devanna
Emphasizes the interrelatedness and the coherence
of HRM activities. HRM cycle selection,
appraisal, development and rewards aim to
increase organizational performance.
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Fig 1.4 The Fombrun, Tichy Devanna 1984 model
of HRM
Fombrun, Tichy Devanna
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Fombrun, Tichy Devanna
Fombrun, Tichy Devanna
Prescriptive. Ignores stakeholder interests,
situational factors and notion of strategic
choice. Expresses the coherence of internal HR
policies and the importance of matching them to
external business strategy.
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Harvard
Harvard
Situational factors Stakeholder interests HRM
policy choices HR outcomes Long-term consequences
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Fig 1.5 The Harvard model of HRM (1984)
Harvard
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Harvard
Harvard
Classifies inputs and outcomes at both
organizational and societal level. Absence of a
coherent theoretical basis for measuring the
relationship between HR inputs, outcomes and
performance.
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Guest
Guest
Reflects view that a core set of integrated HRM
practices can achieve superior individual and
organizational performance. HRM differs from
personnel management.
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Table 1.1 Points of difference between PM and HRM
Guest
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Table 1.2 The Guest model of HRM
Guest
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Warwick
Warwick
Extends the Harvard framework. Maps the
connections between the outer and inner contexts
and explores how HRM adapts to changes in
context.
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Fig 1.6 The Warwick model of HRM
Warwick
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Storey
Storey
Demonstrates the differences between the
personnel and industrials and the HRM paradigm
by creating an ideal type. Characterizes HRM as
an amalgam of description, prescription, and
logical deduction.
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Table 1.3 The Storey model of HRM
Storey
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Table 1.3 The Storey model of HRM
Storey
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The extent of HRM
Extent of HRM
How many organizations have adopted the new HRM
model? Number of HR architects in the highest
levels of decision-making is small. Renaissance
of individualism, fall in collectivism. Disjun
cture between knowledge of the HRM model and
management practice. Few organizations have
integrated HR planning into strategic business
planning.
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Chapter summary (1st half)
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Chapter summary (2nd half)