Topics HRM: Leading teams

1. Topics HRM: Leading teams

2. Strategic Human Resource Management • "a pattern of planned human resource deploy-ments and activities intended to enable an organization to achieve its goals"(Noe et al., 2005) • Derive human resource needs (skills, behaviors, culture) from strategy formulation • Strategy implementation by means of HRM practices, which further individuals' capabilities and motivation as well as actual performance

3. HRM practices: Strategic choices • Job analysis and design • e.g. simple vs. complex tasks, specific vs. generic job descriptions • Recruitment and selection • e.g. external vs. internal recruitment, specific vs. general skills • Training and development • e.g. focus on current vs. future skills, train few vs. all employees • Performance management and compensation • e.g. behavioral vs. results criteria, internal vs. external equity, input vs. behavior vs. output control • Labor and employee relations • e.g. GAV vs. individual contracts

4. Linkage between HRM and company strategy • Administrative (no) linkage • HRM as purely administrative task • One-way linkage • HRM implements strategic goals, but is not involved in strategy formulation • Two-way linkage • HRM executive shows human resource implications of different strategic choices, but does not directly participate in strategic decision making • Integrative linkage • HRM executive is integral member of senior manage-ment team and participates in all phases of strategy formulation and implementation

5. Example of contingencies in strategic HRM (Snell & Youndt, 1995; Lepak & Snell, 1999) • Input vs. behavior vs. output control • Behavior control only works with low uncertainties • input control most effective with high uncertainties • output control has no effect on performance in any condition • Uniqueness and value of human capital • traditional, loyalty based employment relationship when knowledge and skills are firm-specific and of high competitive value • purely economic employment relationship when knowledge and skills are neither firm-specific nor of high competitive value

6. HRM as operational leadership task: Key success factors Performance Satisfaction Motivation

7. "Good" performance indicators • Adequate for task • Sufficient influence -> Based on behavior and results, not personal traits • Reliability, validity, objectivity • Constructive feedback • Participatory development • Fit with organizational culture

8. Characteristics of the work situation Needs and expectations at work (Mis-)match Satisfaction Dissatisfaction Raising expectations Keeping expectations Lowering expectations Keeping expectations Problem solving Progressive satisfaction Stable satisfaction Resigned satisfaction Fixed dissatisfaction Constructive dissatisfaction Development of job (dis)satisfaction (Bruggemann, 1974)

10. The less extrinsic motivation … … the more extrinsic motivation is needed … the more intrinsic motivation is needed The less intrinsic motivation … Extrinsic versus intrinsic motivation

11. Individual differences in motivation Different needs: Motivation = f (satisfaction / frustration of needs) __________________________________________________ e.g. Physiological needs Security needs Affiliation and affection needs Appreciation needs Self-actualization needs Different goals and expectations: Motivation = Valence x Instrumentality x Expectancy __________________________________________________ Decision to (not) undertake a certain action depends on the answers to three questions: Which goal do I want to achieve? Does this action lead to this goal? How likely is the success of the action?

12. Continuous feedback Clear performance-reward relationship Performance Performance criteria adequate for task Congruence of formal/informal performance criteria Clear instrumentalities for individual goals Active coping with unfulfilled expectations Motivation Satisfaction Continuous monitoring of difference between expectation and reality Fit between individual and organizational goals HRM as operational leadership task:Linking motivation, satisfaction and performance

13. HRM practices: Operational decisions • Job analysis and design • e.g. individual adaptations in job assignments • Recruitment and selection • e.g. changes in specific job requirements or in priorities of job requirements • Training and development • e.g. individual career planning • Performance management and compensation • e.g. individual pay raises • Labor and employee relations • e.g. adjustment of individual expectations and company inducements as part of the psychological contract

14. Influence of normative assumptions on strategic and operational HRM Example: assumptions about human nature (Schein, 1988) • Economic man: Employees will do whatever affords them the greatest economic gain • Social man: Social needs are the prime motivator of human behavior, and interpersonal relationships the prime shaper of a sense of identity. • Self-actualizing man: People seek a sense of accomplishment in their work and are primarily self-motivated and self-controlled • Complex man: Human needs fall into many categories and vary according to stage of development and total life situation