Chapter 1: Definition and history of HRM
Management
à The achievement of organisational goals in an effective and efficient manner through the planning,
organising, leading and monitoring of organisational resources
- Organisational resources
o Money
o Machines
o People
- HR should think about
o Planning: Which staff you want to take on board
o Organising: How the staffing in the workplace will work out
o Leading: How you will motivate the employees to do their best
o Monitoring: How you will follow up on their performance
Personnel
- Human Capital à Skills, knowledge, experience and abilities
- Human Resources à Personnel of business or organization
- Human Assets à Employees as valuable resources of organization
HR should be pioneer in
- Strategic: Planning
- Tactical: Organising
- Operational: Leading and monitoring
Dave Ulrich’s model
Planning: Interaction between HR and strategy Tactical HRM
- Getting the strategic plans into practice
Positioning of outside-in approach o How do we become more flexible?
- Focus: What are the competitors doing o Planning of hiring/dismissal phases
- Risk: Management will look sufficiently at its o Redesigning jobs and procedures
strenghts & potential in its own organisation
Napoleon
Resource-based or inside-out approach à Major impacts
- Strenghts of current employees that will determine
which strategy the organisation chooses
- Less emphasis on what competitors are doing
Administrative expert Core activities
- Operational focus: Leading and monitoring - Different departments (finance or legal)
- Skill inventory: Large database with work-related - Outsourcing
data about the employees - Workers themselves
- Smart management
VUCA
- Volatility
- Uncertainty
- Complexity
- Ambiguity
HRM 1
,Principal-agent relationship
à Contract in which one or more persons (the principal) hires another person (the agent) to perform tasks for
them, delegating decision-making power from the principal to the agent
- Agency theory
o Principal and agent have different objectives
o Agent pursues own objectives when possible
o Control is required
- Stewardship theory
o Principal and agent may have different objectives
o Agent integrates principal’s view
o Building on trust
o Strong company culture
à Task is important
Employer branding
à Person-organisation fit: Higher affective commitment, better work performance, lower turnover
The end-of-career debate
- 2010
- Unstable current socio-economic system
- Government is raising of pension and trying to close comfortable exits from the labour market
- Working on new way of keeping people 'eager to work'
- Babyboomers are retiring
- Higher life expactancy
Work-life seperaVon
à Work and private life should be strictly seperated, because employees can only be producVve in a
sustainable way if they can mentally step out of work at regular intervals
- Forced to mentally step out of the work context
- Avoids work depletion
- Right to deconnect (at home) means duty to deconnect (at work) too
- Creates a very specific company culture
- Less flexible as workers may need
Work depleVon
à Metal deflaVon of the employee
Work-life integraVon
- Work and private life seem to merge into 1
- Organisations will allow their employees to arrange their private affairs during working hours
- It's up to the employee to guard the work-life balance and to maintain a good mental hygiene
- More flexibility, often more realistic
ReducVon in working hours is defended by 3 main arguments
- Economy has gradually shifted from an industrial economy to a knowledge economy
- Rapid technological evolution has led to work intensification
- A 30-hour working week could support the work-life balance seperation approach
Evidence-based management
à “Making decisions through the conscienVous, explicit and judicious use of the best available evidence”
- Scientific evidence
- Organizational evidence
- Experiential evidence
- Organizational values and stakeholders’ concerns
HRM 2
, Development of HRM
Period Main takeaway Notes
1800 Craft and guilds - Before industrial revolution
- Rules of thumbs and traditions
- Napoleon (= change agent bcs of major impacts)
1830-1930 Scale increase - Industrial revolution
o Produce faster
o Produce cheaper
o Produce more
- Classical management perspective emerges
o ScienVfic management à Production process
o BureaucraVc organisaVons à Formalization (Max Weber)
1930-1960 HR with human face - Social human emerged in humanistic perspective
- Social conflicts & Hawthorne experiments
1960 Attention to self- - Revisionism: Re-examining existing concepts
development - People feel urge to develop themselves at work
- Working structure
- Focus on intrinsic motivators & employee participation
1970 Difficult search for - Rapid technological evolution
suitable profiles - Employee becomes qualitative
- Investing in human capital
- Unemployment = Qualitative problem
1980 Focus on quality - Holistic business strategies: Bringing all aspects in 1
- Consumer gets more attacht to price
- HR gives attention to
o Culture management
o Integral quality management
1990 Impact of globalisation - Influences by external factors
- Rise of anti-globalists
- Corporate anorexia: Leaner but not healthier
- HR focusses on organisational structures
- Decision making delegated to line managers
2000 Functional and - Functional flexibility
numerical flexibility o Keep employees broadly employable
o Workers are mulV-skilled and can move between tasks
- Numerical flexibility
o Flexible contracts
o Broken shids
o Reference periods
o Freelancers
HRM 3
Management
à The achievement of organisational goals in an effective and efficient manner through the planning,
organising, leading and monitoring of organisational resources
- Organisational resources
o Money
o Machines
o People
- HR should think about
o Planning: Which staff you want to take on board
o Organising: How the staffing in the workplace will work out
o Leading: How you will motivate the employees to do their best
o Monitoring: How you will follow up on their performance
Personnel
- Human Capital à Skills, knowledge, experience and abilities
- Human Resources à Personnel of business or organization
- Human Assets à Employees as valuable resources of organization
HR should be pioneer in
- Strategic: Planning
- Tactical: Organising
- Operational: Leading and monitoring
Dave Ulrich’s model
Planning: Interaction between HR and strategy Tactical HRM
- Getting the strategic plans into practice
Positioning of outside-in approach o How do we become more flexible?
- Focus: What are the competitors doing o Planning of hiring/dismissal phases
- Risk: Management will look sufficiently at its o Redesigning jobs and procedures
strenghts & potential in its own organisation
Napoleon
Resource-based or inside-out approach à Major impacts
- Strenghts of current employees that will determine
which strategy the organisation chooses
- Less emphasis on what competitors are doing
Administrative expert Core activities
- Operational focus: Leading and monitoring - Different departments (finance or legal)
- Skill inventory: Large database with work-related - Outsourcing
data about the employees - Workers themselves
- Smart management
VUCA
- Volatility
- Uncertainty
- Complexity
- Ambiguity
HRM 1
,Principal-agent relationship
à Contract in which one or more persons (the principal) hires another person (the agent) to perform tasks for
them, delegating decision-making power from the principal to the agent
- Agency theory
o Principal and agent have different objectives
o Agent pursues own objectives when possible
o Control is required
- Stewardship theory
o Principal and agent may have different objectives
o Agent integrates principal’s view
o Building on trust
o Strong company culture
à Task is important
Employer branding
à Person-organisation fit: Higher affective commitment, better work performance, lower turnover
The end-of-career debate
- 2010
- Unstable current socio-economic system
- Government is raising of pension and trying to close comfortable exits from the labour market
- Working on new way of keeping people 'eager to work'
- Babyboomers are retiring
- Higher life expactancy
Work-life seperaVon
à Work and private life should be strictly seperated, because employees can only be producVve in a
sustainable way if they can mentally step out of work at regular intervals
- Forced to mentally step out of the work context
- Avoids work depletion
- Right to deconnect (at home) means duty to deconnect (at work) too
- Creates a very specific company culture
- Less flexible as workers may need
Work depleVon
à Metal deflaVon of the employee
Work-life integraVon
- Work and private life seem to merge into 1
- Organisations will allow their employees to arrange their private affairs during working hours
- It's up to the employee to guard the work-life balance and to maintain a good mental hygiene
- More flexibility, often more realistic
ReducVon in working hours is defended by 3 main arguments
- Economy has gradually shifted from an industrial economy to a knowledge economy
- Rapid technological evolution has led to work intensification
- A 30-hour working week could support the work-life balance seperation approach
Evidence-based management
à “Making decisions through the conscienVous, explicit and judicious use of the best available evidence”
- Scientific evidence
- Organizational evidence
- Experiential evidence
- Organizational values and stakeholders’ concerns
HRM 2
, Development of HRM
Period Main takeaway Notes
1800 Craft and guilds - Before industrial revolution
- Rules of thumbs and traditions
- Napoleon (= change agent bcs of major impacts)
1830-1930 Scale increase - Industrial revolution
o Produce faster
o Produce cheaper
o Produce more
- Classical management perspective emerges
o ScienVfic management à Production process
o BureaucraVc organisaVons à Formalization (Max Weber)
1930-1960 HR with human face - Social human emerged in humanistic perspective
- Social conflicts & Hawthorne experiments
1960 Attention to self- - Revisionism: Re-examining existing concepts
development - People feel urge to develop themselves at work
- Working structure
- Focus on intrinsic motivators & employee participation
1970 Difficult search for - Rapid technological evolution
suitable profiles - Employee becomes qualitative
- Investing in human capital
- Unemployment = Qualitative problem
1980 Focus on quality - Holistic business strategies: Bringing all aspects in 1
- Consumer gets more attacht to price
- HR gives attention to
o Culture management
o Integral quality management
1990 Impact of globalisation - Influences by external factors
- Rise of anti-globalists
- Corporate anorexia: Leaner but not healthier
- HR focusses on organisational structures
- Decision making delegated to line managers
2000 Functional and - Functional flexibility
numerical flexibility o Keep employees broadly employable
o Workers are mulV-skilled and can move between tasks
- Numerical flexibility
o Flexible contracts
o Broken shids
o Reference periods
o Freelancers
HRM 3
