HUMAN RESOURCES MANAGEMENT
Course of 2021
By prof. Bert Schreurs
WHAT TO FIND IN THIS DOCUMENT
Elaborate information with the visuals and slides seen in class.
A combination of possible exam questions
ABOUT THE EXAM
A written exam with four types of questions
- Case study
- Open questions
- Multiple choice (without correction)
- True or false questions
TERMINOLOGY
fe. = for example
SCA = sustained competitive advantage
SHRM = sustainable human resources management
HRMS/HRIS= Human resources management/information systems (=HR-database)
SME = subject matter expert
HPWP= high performance work practices
KSAO = knowledge, skills, abilities and others
1
,CHAPTER 1 (INTRODUCTION)
Research shows that investments in human resources lead to better firm performance. Why
is this?
Three theories explained as an answer. These three are the base of the course (need to look
at it when answering questions on the exam)
RESOURCE-BASED VIEW
Resource-based view helps to answer this question.
Why do two competitors, let’s say two accounting firms, differ in their performance?
Resources work together (“bundles of resources”) to provide a basis for competitive
advantage
Sustained competitive advantage = advantage that stays for a longer time. Advantage
is created by things that the company does particularly well relative to its
competitors.
SCA puts the company in a superior business position. To have this we need to make
sure that everything works together. There needs to be an alignment. The statagy
and the people management need to match.
For resources to establish a sustainable competitive advantage, several conditions must be
present (These 4 different criteria are explained further in chapter 2)
- Must provide value (requires heterogeneity)
- Must be rare
- Must be inimitable
- Must be non-substitutable
2
,CO NTINGENCY THEORY
Choice of HR practices should be determined by the context within which they are applied.
This calls for:
- Vertical fit: HR practices should be aligned with business strategy.
What is the contextual factor? On what does it depend? It depends on the strategy:
needs to be a fit whit what you want as a company and what the workers want. (fe.
practice what you preach: you say you are an innovational company, you can show this
in the way you hire people for example with an innovational recruitment strategy.)
- Horizontal fit: HR practices should be aligned with each other
more about the vertical and horizontal fit in next chapters
There is no such thing as ‘best practices’: Refers to, there is no such thing as the only
and the best way to hire people or perform HR, everything depends on the context.
AMO FRAMEWORK
ABILITY-MOTIVATION-OPPORTUNITY
What is the blackbox? Explains the relationship whit the HRP and the outcomes
Investing in HR and the outcomes from the investments
HR practices influence firm performance through enhancing:
- Employees’ skill levels: Invest more in training and development -> higher skill levels
- Employees’ motivation: Performance appraisal, good feedback system -> positive
impact on motivation
- Employees’ opportunities to participate: Work groups, creating a culture employees
feel free to spread their thoughts -> feel they can participate
Firm performance influences HR practices and HR practices influence the firm’s
performance
Concluding from this it is beneficial for companies to invest in HR practices + Also
concluding, not the individual performance is important but the overall working
together
3
, CHAPTER 2A: WHY DO WE HATE HR? & HR ROLES
WHY DO WE HATE HR?
POSSIBLE EXPLANATIONS:
HR DOES NOT UNDERSTAND ALL ASPECTS OF BUSINESS
- There is a widening gap between the capabilities of those working in HR and the
business acumen needed for them to be successful strategic partners in a business
organization.
- A lot of people in HR have a psychology background. So they don’t always understand
the fixed business terms and explanations.
HR DOES NOT CONTRIBUTE TO THE BOTTOM LINE
- They are dealing with people but are not really interested in the ROI or profits. The
use of different vibes of metrics (so easy-to measure vs financial metrics) contribute
to this statement.
HR ISN’T WORKING FOR YOU
- Everyone is treated equally, they use the “one-size-fits-all” approach. HR becomes
rule enforcer to ensure fairness across the board to treat everybody equally.
- BUT is this fair? Some people may be working harder. People differ and make unique
contributions (=talent management). In many cases HR isn’t working for you but is
treating everyone the same.
THE CORNER OFFICE DOESN’T GET HR
- HR is mainly involved in boosting moral. Many firms don’t push HR in playing the
strategic role. This way we create a self-fulfilling prophecy. HR is mostly busy with
employee wellbeing and is treated as such, so don’t get any means to play the
strategic role. -Corporations don’t understand nor empower HR to play a strategic
role, even when HR has the ability and desire to do so. Which enhances the
stereotypes.
4
Course of 2021
By prof. Bert Schreurs
WHAT TO FIND IN THIS DOCUMENT
Elaborate information with the visuals and slides seen in class.
A combination of possible exam questions
ABOUT THE EXAM
A written exam with four types of questions
- Case study
- Open questions
- Multiple choice (without correction)
- True or false questions
TERMINOLOGY
fe. = for example
SCA = sustained competitive advantage
SHRM = sustainable human resources management
HRMS/HRIS= Human resources management/information systems (=HR-database)
SME = subject matter expert
HPWP= high performance work practices
KSAO = knowledge, skills, abilities and others
1
,CHAPTER 1 (INTRODUCTION)
Research shows that investments in human resources lead to better firm performance. Why
is this?
Three theories explained as an answer. These three are the base of the course (need to look
at it when answering questions on the exam)
RESOURCE-BASED VIEW
Resource-based view helps to answer this question.
Why do two competitors, let’s say two accounting firms, differ in their performance?
Resources work together (“bundles of resources”) to provide a basis for competitive
advantage
Sustained competitive advantage = advantage that stays for a longer time. Advantage
is created by things that the company does particularly well relative to its
competitors.
SCA puts the company in a superior business position. To have this we need to make
sure that everything works together. There needs to be an alignment. The statagy
and the people management need to match.
For resources to establish a sustainable competitive advantage, several conditions must be
present (These 4 different criteria are explained further in chapter 2)
- Must provide value (requires heterogeneity)
- Must be rare
- Must be inimitable
- Must be non-substitutable
2
,CO NTINGENCY THEORY
Choice of HR practices should be determined by the context within which they are applied.
This calls for:
- Vertical fit: HR practices should be aligned with business strategy.
What is the contextual factor? On what does it depend? It depends on the strategy:
needs to be a fit whit what you want as a company and what the workers want. (fe.
practice what you preach: you say you are an innovational company, you can show this
in the way you hire people for example with an innovational recruitment strategy.)
- Horizontal fit: HR practices should be aligned with each other
more about the vertical and horizontal fit in next chapters
There is no such thing as ‘best practices’: Refers to, there is no such thing as the only
and the best way to hire people or perform HR, everything depends on the context.
AMO FRAMEWORK
ABILITY-MOTIVATION-OPPORTUNITY
What is the blackbox? Explains the relationship whit the HRP and the outcomes
Investing in HR and the outcomes from the investments
HR practices influence firm performance through enhancing:
- Employees’ skill levels: Invest more in training and development -> higher skill levels
- Employees’ motivation: Performance appraisal, good feedback system -> positive
impact on motivation
- Employees’ opportunities to participate: Work groups, creating a culture employees
feel free to spread their thoughts -> feel they can participate
Firm performance influences HR practices and HR practices influence the firm’s
performance
Concluding from this it is beneficial for companies to invest in HR practices + Also
concluding, not the individual performance is important but the overall working
together
3
, CHAPTER 2A: WHY DO WE HATE HR? & HR ROLES
WHY DO WE HATE HR?
POSSIBLE EXPLANATIONS:
HR DOES NOT UNDERSTAND ALL ASPECTS OF BUSINESS
- There is a widening gap between the capabilities of those working in HR and the
business acumen needed for them to be successful strategic partners in a business
organization.
- A lot of people in HR have a psychology background. So they don’t always understand
the fixed business terms and explanations.
HR DOES NOT CONTRIBUTE TO THE BOTTOM LINE
- They are dealing with people but are not really interested in the ROI or profits. The
use of different vibes of metrics (so easy-to measure vs financial metrics) contribute
to this statement.
HR ISN’T WORKING FOR YOU
- Everyone is treated equally, they use the “one-size-fits-all” approach. HR becomes
rule enforcer to ensure fairness across the board to treat everybody equally.
- BUT is this fair? Some people may be working harder. People differ and make unique
contributions (=talent management). In many cases HR isn’t working for you but is
treating everyone the same.
THE CORNER OFFICE DOESN’T GET HR
- HR is mainly involved in boosting moral. Many firms don’t push HR in playing the
strategic role. This way we create a self-fulfilling prophecy. HR is mostly busy with
employee wellbeing and is treated as such, so don’t get any means to play the
strategic role. -Corporations don’t understand nor empower HR to play a strategic
role, even when HR has the ability and desire to do so. Which enhances the
stereotypes.
4
