November 3, 2021

FOUNDATIONS OF HUMAN RESOURCE MANAGEMENT Areas Covered By Human Resource Policies HR policies can be expressed as overall statements of the values of the organization. The main points that can be included in an overall policy statement and specific policy areas are set out below. a)Overall policy The overall policy defines how the organization fulfills its social responsibilities for its employees and sets out its attitudes towards them. It is an expression of its values or beliefs about how people should be treated. The formation of an institution is marked by the making of value commitments, that is, choices which fix the assumptions of policy makers as to the nature of the enterprise, its distinctive aims, methods and roles.’ The values expressed in an overall statement of HR policies may explicitly or implicitly refer to the following areas: Equity: treating employees fairly and justly by adopting an ‘even handed’ approach. This includes protecting individuals from any unfair decisions made by their managers, providing equal opportunities for employment and promotion, and operating an equitable payment system. Consideration: taking account of individual circumstances when making decisions that affect the prospects, security or self-respect of employees. Organizational learning: a belief in the need to promote the learning and development of all the members of the organization by providing the processes and support required. Performance through people: the importance attached to developing a performance culture and to continuous improvement; the significance of performance management as a means of defining and agreeing mutual expectations; the provision of fair feedback to people on how well they are performing. Work-life balance: striving to provide employment practices that enable people to balance their work and personal obligations. Quality of working life: consciously and continually aiming to improve the quality of working life. This involves increasing the sense of satisfaction people obtain from their work by, so far as possible, reducing monotony, increasing variety, autonomy and responsibility, and avoiding placing people under too much stress. Working conditions: providing healthy, safe and so far as practicable pleasant working conditions. One of the dilemmas facing all those who formulate HR policies is how to pursue business-led policies focusing on business success, and also fulfill the obligations to employees in such terms as equity, consideration, work-life balance, quality of working life and working conditions. It may be difficult to express these policies in anything but generalized terms, but employers increasingly have to recognize that they are subject to external as well as internal pressures.   b) Specific policies The specific policies should cover the following areas: equal opportunity, managing diversity, age and employment, promotion, work-life balance, employee development, reward, involvement and participation, employee relations, new technology, health and safety, discipline, grievances, redundancy, sexual harassment, bullying, substance abuse, smoking, AIDS, and e-mails. i)Equal opportunity The equal opportunity policy should spell out the organization’s determination to give equal opportunities to all, irrespective of sex, race, creed, disability, age or marital status. The policy should also deal with the extent to which the organization wants to take ‘affirmative action’ to redress imbalances between numbers employed according to sex or race, or to differences in the levels of qualifications and skills they have achieved. ii)Managing diversity A policy on managing diversity recognizes that there are differences among employees and that these differences, if properly managed, will enable work to be done more efficiently and effectively. It does not focus exclusively on issues of discrimination, but instead concentrates on recognizing the differences between people. the concept of managing diversity ‘is founded on the premise that harnessing these differences will create a productive environment in which everyone will feel valued, where their talents are fully utilized, and in which organizational goals are met’. Managing diversity is a concept that recognizes the benefits to be gained from differences. It differs from equal opportunity, which aims to legislate against discrimination, assumes that people should be assimilated into the organization, and often relies on affirmative action. A management of diversity policy could: acknowledge cultural and individual differences in the workplace; state that the organization values the different qualities people bring to their jobs; emphasize the need to eliminate bias in such areas as selection, promotion, performance assessment, pay and learning opportunities; focus attention on individual differences rather than group differences. iii)Age and employment The policy on age and employment should take into account the following facts: Age is a poor predictor of job performance. It is misleading to equate physical and mental ability with age. More of the population are living active, healthy lives as they get older. The policy should define the approach the organization adopts to engaging, promoting and training older employees. It should emphasize that the only criterion for selection or promotion should be ability to do the job; and for training, the belief that the employee will benefit, irrespective of age. The policy should also state that age requirements should not be set out in external or internal job advertisements. iv) Promotion A promotion policy could state the organization’s intention to promote from within wherever this is appropriate as a means of satisfying its requirements for high quality staff. The policy could, however, recognize that there will be occasions when the organization’s present and future needs can only be met by recruitment from outside. The point could be made that a vigorous organization needs infusions of fresh blood from time to time if it is not to stagnate. In addition, the policy might state that employees will be encouraged to apply for internally advertised jobs, and will not be held back from promotion by their managers, however reluctant the latter may be to lose them. V) Work-life balance Work-life balance policies define how the organization intends to allow employees greater flexibility in their working patterns so that they can balance what they do at work with the responsibilities and interests they have outside work. The policy will indicate how flexible work practices can be developed and implemented. It will emphasize that the numbers of hours worked

FOUNDATIONS OF HUMAN RESOURCE MANAGEMENT HUMAN RESOURCE POLICIES Meaning Of Human Resource Policy Definition of HR policy HR policies can be defined as broad stated statements that guide an organization when making decisions in managing their people. They define the philosophies and values of the organization on how people should be treated, and from these are derived the principles upon which managers are expected to act when dealing with HR matters. HR policies therefore serve as reference points when employment practices are being developed, and when decisions are being made about people. They help to define ‘the way things are done around the organization’. HR policies should be distinguished from procedures. A policy provides generalized guidance on the approach adopted by the organization, and therefore its employees, concerning various aspects of employment. A procedure spells out precisely what action should be taken in line with the policy. Characteristics of a good HR policy A good HR policy should be; a) Based on objectives: they should assist in attainment of the organizational objectives. b) Clear; should not give room for misinterpretation c) Expressed in written form to assist in compliance, training and future reference. d) Based on careful consideration of the resources available and environment of the organization e) Revised regularly but stable f) Communicated to concerned persons so that they understand and implement the policy. This can be done by conducting regular meetings to give information on the policies, immediate giving oral instructions, use of booklets and bulletins, conferences and seminars etc. g) It must conform to the norms of behavior and ethical standards h) Should be uniformly applied to all members in an organization to avoid discrimination.   Types of policies a) Organizational and functional policies Organizational policies are overall policies for an organization which are formulated by the top management. Functional policies are made for specific functions or departments. b) Originated or appealed or imposed policies Originated policies are formulated by top management on their own initiative to guide the actions of the subordinates and then put in writing in form of a policy manual. Appealed policies are formulated by the management on appeal/ request by their employee while imposed policies are formulated because factors imposed on the organization by external forces. c) General and specific policies General policies are stated in broad terms and they give freedom to departments to make decisions based on those broad terms. Specific policies are defined and limit freedom of action. d) Written and implied policy Written policies are those that are documented while implied policies are got from the behavior and conduct of the members of the organization especially those in the top management. Sources of HR policies There are many sources from which an organization may get policies from. These sources include; Past practices of the organization Competitors Knowledge and experiences from day to day personnel problems Employees suggestions and complaints State/ government requirements Economic and social changes in a country Extent of influence of trade unions Objectives of the organization Ethical standards / social responsibility Human resource principles applied in formulating HR policies A principle is a statement of basic fact that has been tested through experiment or experience. When preparing policies, The HR principles below are applied; The incentive principle: states that to increase productivity of the workers, incentives should be given whether in monetary or non-monetary terms. Workers should be given a chance to participate or be involved in decision making. Principle of communication; Employee must be given appropriate information regarding activities, objectives, immediate and future plans of the organization. Principle of compensation; states that workers should be paid a reasonable, equitable and fair amount of wages depending on nature of work, level of education, management policy, government regulations. Principle of team work (Espirit de corps); states that efforts should be made to develop team work and cooperation among workers Principle of right conditions of work; Workers should be provided with right tools and equipment to make the work easier, increase production as well as productivity. Principle of self-development; means giving employees an opportunity to improve themselves through career guidance and training programmes. Principle of dignity of labour; All jobs should be treated with dignity because they contribute to achievement of organizational objectives. Principle of security; All jobs must have a degree of security and stability. Importance of Human Resource Policies HR policies are important in an organization because; HR or employment policies help to ensure that when dealing with matters concerning people, an approach in line with corporate values is adopted throughout the organization. They serve as the basis for enacting values i.e. converting espoused values into values in use. They provide frameworks within which consistent decisions are made, and promote equity in the way in which people are treated. Because they provide guidance on what managers should do in particular circumstances they facilitate empowerment, devolution and delegation. They assist in long term survival of an organization Helps demonstrate both internally and externally that the organization meets requirements for diversity; ethics and commitment as well as compliance with legal frame work of the country and cooperate governance. They also help to shape organizational culture.

FOUNDATIONS OF HUMAN RESOURCE MANAGEMENT Role of Human Resource Practitioner in an Organization. This section is concerned with what HR professionals do and how they do it, recognizes that ‘HRM does not belong to HR specialists’. HRM belongs to line managers and the people they manage. The section analyses the basic roles and activities of HR professionals. However, in playing their role, HR practitioner are affected by issues such as; achieving comprise in  gaining support and commitment, role ambiguity, role conflict, ethics, and professionalism. The roles of HR practitioners vary widely according to the extent to which they are generalist (e.g., HR director or HR manager), or specialist (e.g., head of learning and development, head of talent management, or head of reward), the level at which they work (strategic, executive or administrative), the needs of the organization, the context within which they work and their own capabilities. The role of human resource practitioner in an organization The roles can be proactive, reactive or a mixture of both. At a strategic level, HR people take on a proactive role since they are to be involved in strategic decision-making processes and are most likely to be found in workplaces within which sophisticated methods and techniques have been adopted. As such, they act as business partners, develop integrated HR strategies, intervene, innovate, and operate as internal consultants and volunteer guidance on matters concerning upholding core values, ethical principles and the achievement of consistency. They focus on business issues and working with line managers to deliver performance targets. In some situations they play a mainly reactive role. They spend much of their time doing what they are told or asked to do. They provide the administrative systems required by management. This is what is referred to as the non-interventionary role, in which HR people merely provide a service to meet the demands of management and front-line managers. The various roles are described in more detail below. a)Service provision The basic role of HR specialists is that of providing services to internal customers. These include management, line managers, team leaders and employees. The services may be general, covering all aspects of HRM: human resource planning, recruitment and selection, employee development, employee reward, employee relations, health and safety management and welfare. Alternatively, services may only be provided in one or two of these areas by specialists. The focus may be on the requirements of management (e.g., resourcing), or it may extend to all employees (e.g., health and safety). The aims are to provide effective services that meet the needs of the business, its management and its employees and to administer them efficiently. b) Guidance and advice HR practitioners provide guidance and advice to management. At the highest level, this will include recommendations on HR strategies that have been developed by processes of analysis and diagnosis to address strategic issues arising from business needs and human, organizational or environmental factors. They also provide advice on issues concerning culture change and approaches to the improvement of process capability – the ability of the organization to get things done through people. Guidance is given to managers to ensure that consistent decisions are made on such matters as performance ratings, pay increases and disciplinary actions. Guidance may be provided on HR policies and procedures and the implications of employment legislation to ensure that legal requirements are met. c)The business partner role HR practitioners as business partners share responsibility with their line management colleagues for the success of the enterprise and get involved with them in running the business. They must have the capacity to identify business opportunities, to see the broad picture and to understand how their HR role can help to achieve the company’s business objectives. HR professionals integrate their activities closely with management and ensure that they serve a long-term strategic purpose. This is one of the key roles assigned to HR by Ulrich (1998), who stated that HR should become a partner with senior and line managers in strategy execution and that HR executives should impel and guide serious discussion of how the company should be organized to carry out its strategy. d)The strategist role As strategists, HR professionals address major long-term organizational issues concerning the management and development of people and the employment relationship. They are guided by the business plans of the organization but they also contribute to the formulation of those business plans. This is achieved by ensuring that top managers focus on the human resource implications of the plans. HR strategists persuade top managers that they must develop business strategies that make the best use of the core competences of the organization’s human resources. They emphasize, that people are a strategic resource for the achievement of competitive advantage. e) The innovation and change agent role In their proactive role, HR practitioners are well placed to observe and analyze what is happening in and to their organizations as it affects the employment of people, and intervene accordingly. Following this analysis, they produce diagnoses that identify opportunities and threats and the causes of problems. They propose innovations in the light of these diagnoses that may be concerned with organizational processes such as interaction between departments and people, teamwork, structural change and the impact of new technology and methods of working, or HR processes such as resourcing, employee development or reward. As innovators they have to be experts in change management. HR change is categorized in four dimensions: Transformational change – a major change that has a dramatic effect on HR policy and practice across the whole organization, Incremental change – gradual adjustments of HR policy and practices that affect single activities or multiple functions, HR vision – a set of values and beliefs that affirm the legitimacy of the HR function as strategic business partner and HR expertise – the knowledge and skills that define the unique contribution the HR professional can make to effective people management.Across these dimensions, the change agent roles that can be carried out by HR professionals are those of

FOUNDATIONS OF HUMAN RESOURCE MANAGEMENT ROLE OF HUMAN RESOURCE FUNCTION IN AN ORGANIZATION The Structure of Human Resource Department The organization and staffing of the HR function clearly depends on the size of the business, the extent to which operations are decentralized, the type of work carried out, the kind of people employed and the role assigned to the HR function. There are, therefore, no absolute rules for organizing the HR function, but current practice suggests that the following guidelines should be taken into account: the head of the function should report directly to the chief executive and should be on the board, or at least be a member of the senior management or leadership team, in order to contribute to the formulation of corporate strategies and play a full part in the formulation and integration of HR strategies and policies. in a decentralized organization, subsidiary companies, divisions, or operational units should be responsible for their own HR management affairs within the framework of broad strategic and policy guidelines from the Centre. The central HR function in a decentralized organization should be slimmed down to the minimum required to develop group human resource strategies and policies. The HR function has to be capable of delivering the level of advice and services required by the organization. Delivery may be achieved by the direct provision of services but may be outsourced. The HR department is organized in accordance with the level of support and services it is required to give and the range of activities that need to be catered for, which could include resourcing, management development, training, reward management, employee relations, knowledge management and HR services in such areas as health and safety, welfare, HR information systems and employment matters generally. In a large department, each of these areas may be provided for separately, but they can be combined in various ways. The organization and staffing of the HR department needs to take account of its role in formulating HR strategies and policies and intervening and innovating as required. But the department also has to provide efficient and cost-effective services. The HR department should design to fit the needs of the business which results to considerable variations in in HR departments in various organizations. Functions of Human Resource Department in an Organization One of the first HRM concepts called the matching model of HRM made by the Michigan School argues that HR systems and the organization structure should be managed in a way that is congruent with organizational strategy (hence the name ‘matching model’). They further explained that there is a human resource cycle, which consists of four generic processes or functions that are performed in all organizations. These are: Selection – matching available human resources to jobs; Appraisal – performance management; rewards – ‘the reward system is one of the most under-utilized and mishandled managerial tools for driving organizational performance’; it must reward short as well as long-term achievements, bearing in mind that ‘business must perform in the present to succeed in the future’; Development – developing high quality employees.

FOUNDATIONS OF HUMAN RESOURCE MANAGEMENT Evolution of Human Resource Management The history of HRM can be divided into six distinct stages namely the welfare stage, personnel administration stage, personnel management stage, personnel management maturity stage, personnel management maturity stage, personnel management entrepreneurial stage and human resource management stage. a) The welfare stage This covers the period 1900-1920 during which workers in Europe formed individual welfare groups which were concerned with their needs at work. These groups fought for the improvement in working conditions. During the First World War (1914-1918), many organizations were faced with acute shortage of labour but there was need to increase productivity. Governments in USA and Europe therefore encouraged systematic study of employee and employer relationships. b) Personnel administration stage (1920-1929) During this period, neo-classical theorists carried out studies that improved the employee-employer relationship. The main contributors were Abraham Maslow, Elton Mayo, Douglas Macgregor. The services that were provided to workers during this period included transport facilities, canteens, sporting facilities etc. Systematic procedures relating to personnel such as recruitment and training also began during this period. c) Personnel management stage (1940-1950) During this stage, the procedures introduced in the earlier stage were refined and other activities related to employees were introduced. These include salary scales and administration, industrial relations, training and development etc. d) Personnel management maturity stage (1950-1970) Specialization developed during this period and personnel department was recognized as a unit that was independent from the others in an organization. There was also a continuous introduction of systematic training programmes, performance appraisal etc. e) Personnel management entrepreneurial stage (1970-1980) During this period, there was intense business competition. This made many organizations introduce new management techniques. HR managers were therefore expected to be entrepreneurial in their approach to business. More studies were carried out in HR with the aim of giving an organization a competitive advantage over others. Employees became highly valued resource and were considered as the most strategic asset in an organization. f)Human Resource Management stage (1980-date) In this period, there was more involvement of HR specialists in management of an organization. The HR manager began to be involved in making top level decisions relating to employee and formulation of corporate strategy Differences between Personnel Management and Human Resource Management A debate about the differences, between HRM and personnel management went on for some time but has died down recently, especially as the terms HRM and HR are now in general use both in their own right and as synonyms for personnel management. But understanding of the concept of HRM is enhanced by analyzing what the differences are and how traditional approaches to personnel management have evolved to become the present day practices of HRM. Some commentators have highlighted the revolutionary nature of HRM. Others have denied that there is any significant difference in the concepts of personnel management and HRM. Personnel management has grown through assimilating a number of additional emphases to produce an even richer combination of experience. HRM is no revolution but a further dimension to a multi-faceted role. The conclusion based on interviews with HR and personnel directors is that HRM is regarded by some personnel managers as just a set of initials or old wine in new bottles. It could indeed be no more and no less than another name for personnel management, but it has the virtue of emphasizing the treatment of people as a key resource, the management of which is the direct concern of top management as part of the strategic planning processes of the enterprise. Although there is nothing new in the idea, insufficient attention has been paid to it in many organizations.   The similarities between HRM and personnel management are summarized below; Personnel management strategies, like HRM strategies, flow from the business fit and integration. Personnel management, like HRM, recognizes that line managers are responsible for managing people. The personnel function provides the necessary advice and support services to enable managers to carry out their responsibilities iii. The values of personnel management and at least the ‘soft’ version of HRM are identical with regard to ‘respect for the individual, balancing organizational and individual needs, and developing people to achieve their maximum level of competence both for their own satisfaction and to facilitate the achievement of organizational objectives. Both personnel management and HRM recognize that one of their most essential functions is that of matching people to ever changing organizational requirements i.e. placing and developing the right people in or for the right jobs. The same range of selection, competence, analysis, performance management, training, management development, and reward management techniques are used. Personnel management, like the ‘soft’ version of HRM, attaches importance to the processes of communication and participation within an employee relations system.   The differences between personnel management and HRM are: HRM places more emphasis on strategic fit and integration HRM is based on a management and business orientated philosophy. HRM attaches more importance to the management of culture and the achievement of commitment (mutuality). HRM places greater emphasis on the role of line managers as the implementers HR policies. HRM is a holistic approach concerned with the total interests of the business; the interests of members of the organization are recognized but subordinated to those of the enterprise. HR specialists are expected to be business partners rather than personnel administrators HRM treats employees as assets not costs.   Unique features of human resource management Generally, HRM possesses the following unique features; a)It is a diverse field The characteristics of HRM are by no means universal. There are many models and practices within different organizations are diverse, often only corresponding to the conceptual version of HRM in a few respects. A distinction is made between the ‘hard’ and ‘soft’ versions of HRM. The hard version of HRM emphasizes that people are important resources through which organizations achieve competitive advantage. These resources have therefore to be acquired, developed and deployed in ways that will benefit the organization. The focus is on the quantitative,

FOUNDATIONS OF HUMAN RESOURCE MANAGEMENT Meaning of Human Resource Management Human resource management is defined as a strategic and coherent approach to the management of an organization’s most valued assets – the people working there who individually and collectively contribute to the achievement of its objectives. Storey (1989) believes that HRM can be regarded as a ‘set of interrelated policies with an ideological and philosophical underpinning’. He suggests four aspects that constitute the meaningful version of HRM which are: a particular group of beliefs and assumptions; a strategic thrust informing decisions about people management; the central involvement of line managers; and reliance upon a set of ‘levers’ to shape the employment relationship Aims of HRM The overall purpose of human resource management is to ensure that the organization is able to achieve success through people. ‘HRM systems can be the source of organizational capabilities that allow firms to learn and capitalize on new opportunities.’ Specifically, HRM is concerned with achieving objectives in the following areas. Organizational effectiveness Distinctive human resource practices shape the core competencies that determine how firms compete. HRM strategies aim to support programmes for improving organizational effectiveness by developing policies in such areas as knowledge management, talent management and generally creating ‘a great place to work’. This is the ‘big idea’ as described by Purcell et al (2003), which consists of a ‘clear vision and a set of integrated values’. HR strategies can be concerned with the development of continuous improvement and customer relations policies. Human capital management Human capital can be regarded as the prime asset of an organization and businesses need to invest in that asset to ensure their survival and growth. HRM aims to ensure that the organization obtains and retains the skilled, committed and well-motivated workforce it needs. This means taking steps to assess and satisfy future people needs and to enhance and develop the inherent capacities of people – their contributions, potential and employability – by providing learning and continuous development opportunities. It involves the operation of ‘rigorous recruitment and selection procedures, performance- dependent incentive compensation systems, and management development and training activities linked to the needs of the businesses. It also means engaging in talent management – the process of acquiring and nurturing talent, wherever it is and wherever it is needed, by using a number of interdependent Knowledge management Knowledge management is ‘any process or practice of creating, acquiring, capturing, sharing and using knowledge, wherever it resides, to enhance learning and performance in organizations’ .HRM aims to support the development of firm-specific knowledge and skills that are the result of organizational learning processes. Reward management HRM aims to enhance motivation, job engagement and commitment by introducing policies and processes that ensure that people are valued and rewarded for what they do and achieve and for the levels of skill and competence they reach. Employee relations The aim is to create a climate in which productive and harmonious relationships can be maintained through partnerships between management and employees and their trade unions. Meeting diverse needs HRM aims to develop and implement policies that balance and adapt to the needs of its stakeholders and provide for the management of a diverse workforce, taking into account individual and group differences in employment, personal needs, work style and aspirations and the provision of equal opportunities for all. Bridging the gap between rhetoric and reality The research conducted has found that there was generally a wide gap between the sort of rhetoric and reality. Managements may start with good intentions to do some or all of these things but the realization of them is often very difficult. This arises because of contextual and process problems: other business priorities, short-termism, limited support from line managers, an inadequate infrastructure of supporting processes, lack of resources, resistance to change and lack of trust. An overarching aim of HRM is to bridge this gap by making every attempt to ensure that aspirations are translated into sustained and effective action.