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Lecture series by. Prof Ir Rudy C Tarumingkeng, PhD. In HUMAN RESOURCE MANAGEMENT. STRATEGIC ROLE OF. HUMAN RESOURCE MANAGEMENT. rudyct 00. MANAGEMENT PROCESS. Planning Organizing Staffing Leading Controlling.
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Lecture series by Prof Ir Rudy C Tarumingkeng, PhD • In • HUMAN RESOURCE MANAGEMENT
STRATEGIC ROLE OF HUMAN RESOURCE MANAGEMENT rudyct 00
MANAGEMENT PROCESS • Planning • Organizing • Staffing • Leading • Controlling
Getting results … thru people … “… For many years it has been said that capital is the bottleneck for a developing industry. I don’t think this any longer holds true. I think it’s the work force and the company’s inability to recruit and maintain a good work force that does constitute the bottleneck for production. … I think this will hold true even more in the future.” Fred K. Foulkes: Harvard Business Review, March-April 1975 rudyct 00
HUMAN RESOURCE MANAGEMENT Conducting job analysis Recruiting job candidates Selecting job candidates Orienting & training new employees Managing wages & salaries Providing incentives & benefits Communicating (counseling, disciplining etc.) Training & developing Building employee commitment rudyct 00
What is STRATEGIC HRM? THE LINKING OF HRM WITH STRATEGIC ROLE AND OBJECTIVES IN ORDER TO IMPROVE BUSINESS PERFORMANCE AND DEVELOP ORGANIZATIONAL CULTURES AND FOSTER INNOVATION AND FLEXIBILITY. Dessler (2000)
FUNDAMENTAL CHANGES FACING MGRs • EXPLOSION OF TECHNOLOGICAL INNOVATION • GLOBALIZATION OF MARKETS AND COMPETITION • DEREGULATION • CHANGING DEMOGRAPHICS • NEW POLITICAL SYSTEMS Leads to …. UNCERTAINTY,TURBULENCE,RAPID CHANGE SO COMPANIES MUST BE Fast, Responsive, Cost-effective
EXPLOSION OF TECHNOLOGICAL INNOVATION • Vast number of new patents • Three new websites born each minutes • New computers outdated in six months • New high tech factories
GLOBALIZATION OF MARKETS & COMPETITION • Staggering numbers of new competitors • New pressures for quality and productivity • New opportunities
DEREGULATION • Banking • Telecommunications • Airlines
CHANGING DEMOGRAPHICS • More diversity • Two-wage-earner families • Increasing global workforce
NEW POLITICAL SYSTEMS • Former Soviet Union moves to capitalism • Rise of European Union, NAFTA, APEC etc. • Indonesia: “reformasi”, etc. /
Leads to … RAPID CHANGE: • More consumer choice • Merger and divestitures • Joint ventures • More complexity • Short product life cycles • Market fragmentation • More uncertainty for managers • Record number of business failures
So … companies must be FAST, RESPONSIVE, COST-EFFECTIVE: *Flat organization *Downsized *Quality-conscious *Empowered *Smaller units *Decentralized *Human-capital oriented *Boundaryless *Values- and vision-oriented *Team-based
Prof Rosebeth Moss Kanter (1989): • “Position, title and authority are no longer adequate tools for managers to rely on to get their jobs done. … • Instead, success depends increasingly on tapping into sources of good idea, on figuring out whose collaboration is needed to act on those ideas, and on working with both to produce results.” /
Keywords for HRD today • Strategic management • High tech knowledge-based HR • Information Technology • e-business (banking, commerce etc.) • Finance & accounting