Chapter 13: The role of HR management Flashcards
(27 cards)
define HR management management
refers to the management of the total relo b/w an employer and its employees in order to achieve the strategic goals of the bus
(aka industrial relations, employment relations and workplace relations)
what are the various aspects of HR
- planning staff needs
- acquisition and maintenance of employees
- training & development
- supervision and management of the performance of all employees
- separation when employees leave the business
- managing diversity, (gender equity and compliance with anti-
discrimination legislation) - management of issues such as conflict resolution and workplace change
what si the strategic role of HR
the strat role of HR is to achieve maximum bus productivity (output per person)by ensuring that employees are effective and efficient
- therefore role and obj of HR managers to develop a workplace enviro where chances of employee carrying out tasks are high
- in short, support the needs of employees, while promoting goals of bus
what are the two main reasons HRM is an important bus function
- staff costs often account for over 50% of bus’ total costs - vital that bus is achieving maximum value in terms of productivity for the substantial outlay in wages
- productivity of staff can be the diff b/w bus success and failure - an effective workforce adds value to bus performance and compeititve adv over rivals
what is an effective way to imporve competitiveness and profitability in a rapid changing bus envrio
reducing labour costs (by reducing the no# of staff)
- however, important this quest to dirve down labour costs does not have a negative impact on the quality of bus output
outline HRM strats
to retain, reward and motivate effective and skilled staff to achieve bus objectives
what are the strategic (long term) challenges for HRM now and in coming years based on current trends in the bus enviro and the structure of aus population
- developing and retaining talented staff - increasing competition amongst employers for best employees
- managing a multi-generational workforce - many older workers are retiring later –> wider age range
- managing the shift towards remote and hybrid work arrnagements - more ppl want to work from home
- leadership development - with many employees in manageemnt positions retiring, it is vital younger staff are being equipped with leaderhsip skills
- succession planning - ensure clear plans in place to replace those in senior positions to avoid a leadership vacuum, given increasing ageing population
- the increased role of tech - reqing training to ensure employees have skills
- increased contracting (outsourcing) of employemnt - buses trending towards a smaller in-house workforce
- ethics and CSR - treatment of employees has received greater attention in media
how does HR rely on ops
HR relies on ops changes in output lvls affecting HR decisions such as recruitment and downsizing
- to make sure HR objectives such as higher labour productivity, job satisfaction and workplace safety performance are met
how does ops rely on HR
- recruitment of suitable staff
- T&D
- motivation and morale
- workforce productivity (increasing the quantity and quality of output, reducing lead times and being ore adaptable to change)
how does HR rely on finance
- providing the funds req’d for HR such as acquisition, devekopment, maintenance and separation
- finance provides ops with the data used to measure and evaluate performance, such as output per worker, labour costs, absenteeism, etc
how does finance rely on HR
- effective HR processes result in higher labour productivity and lower staff turnover, thus:
- boosting profitability by increasing sales revenue
- further enhancing productivity by minimising labour costs at diff lvls of output
- improving cash flow and the ability to meet short and long term debts
- facilitating bus growth by improving the bus’s compeititve position
how does HR rely on makreting
- HRM relies on marketing planning to determine its actions
- eg successful marketing strats reflect well on employee performance –> resulting in HR providing rewards and increasing efforts to retain staff
- or marketing strats less successful reqing greater focus on T&D and lower sales may elad to lower output thus decrease in workforce
how does makreting rely on HR
- marketing relies on HR to hire the right employees, T&D them and keep them motivated & satisfied
- marketing particularly dependent on HR to rovide staff with the right skills, personality and motivation to be effective
what has led to increased pressure for a bus to be competitive
globalisationa nd rapid tech change
define outsuorcing
the use of third-party specialist buses, aiming to take adv of their specialist skills and to achieve a reduction in labour costs
what is the most common reason to outsource
allows bus to reduce costs, focus on their core function and improve quality by having specialists perform those outsourced tasks
which HR functions are most commonly outsourced
- recruitment
- induction
- T&D
- mediation
- payroll
buses may outsource to review HR practices within the bus and to develop new strats to be implemented. Independent consutants are often contracted to review HR functions such as:
- change management
- training needs evaluation
- compensation (wages and salaries) systems
- performance management systems
- succession planning
- employee surveys
- policies and programs
- benchmarking
what are the disadvantages of outsourcing HR
- cost-savings not always achieved - many buses end up bringing outsourced functions back in house due to high costs
- employee unrest - workers may resent due to siaplacement of fellow employees and fear for their jobs
- a lack of comaptibility - outside HR providers may not satisfy the needs of the bus
- loss of control - once outsources, bus loses degree of control over issues such as selection policy
what are the procedures a bus needs to establish before outsourcing
- must est clear objectives in relation to the move (including clearly defined contracts with outside service providers)
- bus needs to decide which HR functions are core bus and which will be outsourced
- a clear plan is req’d for smooth transition
define contractor
a contractor is an external provider of services to a bus (may be individual or bus)
why do buses use contractors
- cost svaings and to access expertise that may not exist within bus
- note: contractors are not employees of the bus
- the role to be performed may be only a temporary requirement
- there are no ‘on-costs’ involved (eg super, sick leave, holiday pay)
- employment ceases when the contract is completed
what are the disadv of hiring contractors rather than employeez
- time lags b/w the need for a job to be carried out and a contractor being found to fill the position
- a lack of loyalty to the bus
- problems arising if the work specified in the contract is not completed
what is the main adv of using domestic contractors
- they have developed expert knowledge of the HR function based on their knowledge of how aus buses operate
- avoids time zones and laguage barriers
- communication is simplified
