HRM

O810
1

Introduction to the Module –

Defining HRM and its
importance
Session objectives

By the end of this lecture you will be able to:

 Understand how the module is assessed and your responsibilities

 Describe some key influences on the development of HRM

 Discuss the main differences between personnel management and

HRM

 Consider the different approaches related to hard and soft HRM

approaches to managing the employment relationship

 Examine the implications of these approaches for people management

Module Learning Outcomes
M
HR
After studying this module you should be able to:

 Explain the concept of HRM and identify the major trends affecting
the HR profession

 Examine the role played by HR professionals and line managers in

people management strategies

 Understand the main models and methods adopted in employee

resourcing with a focus on recruitment and selection

 Explain a systematic process of training and development and its

impact upon performance
YOUR responsibilities
Intro
RM
To H
Make sure…

You have access to Moodle, you regularly check for updates

You have read the module handbook with the module

assessment details and requirements

You know how to access all reading and resource materials

(remember to sign up to the CIPD too)

You attend classes (tutorials) and that you bring slides and
tutorial handouts to all classes
Panopto Lecture Recording
• The lectures on the Introduction to Human Resource
Management (HRM08101/ HRM08701) have been pre-
recorded in 2019/20 (e.g., assessment and exam dates will
differ)
• The recording includes audio as well as the lecture slides, but
there is no video recording
• These lectures are used for student cohorts both on and off
campus (e.g., Uber and Deliveroo case study)
• If students have any questions, please post them on the
Discussion Forum.
Panopto
Lecture • Allows students to revisit complex
Recording material that is difficult to understand,
and at their own pace
• Students whose first language is not
English can re-watch recordings and
even slow down sections
• Supports effective note taking after the
lecture allowing students to ‘write
what they think’ rather than what is
said verbatim
• Aids the revision process and
Student Guideline preparation for exams.
s for Panopto Lect
• Access for distance learning students
ure Recordings helps with a sense of belonging to the
learning community
• Catching up on lectures missed due to
illness and other personal issues
Assessments
Assessment requirement
Component 1 (50% of total module mark)

Coursework based on Case Study – Report (2000 words - 10% below or

above the limit is acceptable)

Case study: Uber (Edinburgh) or Deliveroo (Singapore)

Due date: See Moodle

Component 2 (50% of total module mark)

Exam (2 hours)

Due date: See Moodle (centrally Timetabled)

Assessment Topic Choices
Your case study will be UBER (Edinburgh) or Deliveroo (Singapore)

You will analyse and critique Uber’s approach to HR using 2 of the

following HR topics/models/debates;

• Universalist versus Contingency (p.50-54*)

• Business Strategy fit with HR (p.46-49*)
• Atkinson’s flexible firm model (p.98-100*)
• The psychological contract (p.164-166*)
• Reward strategies (p.416-421*)

*Page numbers refer to the online version of Torrington, Hall, Taylor and Atkinson’s
(2014) textbook (9th ed.), which can be accessed through the library
 Assessment Writing Guide
(see the module handbook for full details)
Table of Contents 2.2 Topic 2 (900 words)
• You should include a table of contents that details • Theoretical analysis of the topic (drawing on
the contents of your report. academic references)
• How it relates to Uber’s HR practices (drawing
on academic references and references to case
Introduction (100 words)
information about Uber)
• Clear statement of the purpose of your report
• Theoretical context of your report which outlines
the topics you have chosen to focus upon
Conclusion (100 words)
• Organisational context of your report (Uber UK)
• Summary of key issues raised throughout report
• Clear statement of proceedings (to provide a brief
overview of the following sections) • Discussion of the key strengths and weaknesses
of Uber UK’s HR practices based on your analysis
• Final comments reinforcing importance of report
Topics to Consider (1800 words)
and highlighting any recommendations for Uber
2.1 Topic 1 (900 words)
• Theoretical analysis of the topic (drawing on
List of References (adhering to the APA
academic references)
Referencing Style)
• How it relates to Uber’s HR practices (drawing on
academic references and references to case
information about Uber)
Use the guidance and materials

Please…
• Use the guidance provided in the module handbook to
get you started
• During the classes we will be discussing these topics
• Use the reading materials recommended
• Make use of the electronic reading list
Exam – quick outline

Two hour centrally timetabled exam

There are two sections in the exam

Part A – Recruitment and Selection
Part B – Training and Development

Each section will have two questions, you select one

question in each section to answer
The focus of the exam questions will have both a
theoretical and practical element
Pause/ Break

Pause here and take a break.

The first section of this video has focused on

the module assessment. The following section
introduces the topic of human resource
management as a field of study.
The Importance of HRM
Why study HRM?

• An essential part of all

management is that proper
attention be given to the efficient
use of resources, in particular
human resources

• The efficiency & performance of

employees & their commitment to
organisational objectives are
fostered by good human
relationships at work
Definitions of Human Resource
Management (HRM)
Mullins (2010) outlines that the definition of HRM remains largely
unchanged since 1979 in the basic sense of… “HRM is a series of
activities which: first enables working people an the organisation
which uses their skills to agree about the objectives and nature of
their working relationship, and secondly, ensures that the agreement
is fulfilled” (p.495)

“Human resource management can be defined as a strategic, integrated

and coherent approach to the employment, development and well-
being of the people working in organisations” (Armstrong, 2014, p.5)

“Human resource management – the strategic and integrated approach

taken by an organization to the management of its most valued
assets, namely its people” (Carbery and Cross, 2013, p.3)
 Management and HRM

HRM = strategic approach to managing employment

relations.

Leveraging people's capabilities and commitment is

critical to achieving sustainable competitive advantage
or superior public services.

Source: Bratton & Gold (2017)

Management and HRM

‘Human capital’: traits that people bring to the

workplace.

Management: process designed to coordinate and

control productive activity.

Human resource management: (unlike other

resources) requires the coexistence of control and
cooperation.
The nature of the employment relationship
The nature of the employment relationship
The nature of the employment relationship

Source: Bratton & Gold (2017: 12)

 Pause and reflect

- What do you think of the psychological contract?

- How important is it to manage the psychological

contract for (1) employees, and (2) managers?
Why is HRM challenging and interesting?

• Unlike any other resources within an organisation – people

are different; often they are seen as the best asset

• Every organisation is made up of people who interact to get

things done

• People management within organisations will depend upon

the organisational context – No one size fits all

• Stakeholders, senior managers, line managers and employees

all need to work together for the benefit of the customer
Scope and functions of HRM
Scope and functions of HRM
Scope and functions of HRM

Source: Bratton & Gold (2017: 18)

 The main activities of Human Resource Management
• Recruitment and selection • Disciplining individuals
• Learning and talent development • Dealing with grievances
• Human resource planning • Dismissal
• Provision of contracts • Redundancy
• Provision of fair treatment • Negotiation
• Provision of equal opportunities • Adding value
• Managing diversity • Ethics and corporate responsibility
• Motivating workers to achieve
• Health and safety
improved performance
• Knowledge management
• Employee counselling
• Talent management
• Change management
• Employee well-being • Managing cross cultural issues or
international HRM
• Payment and reward
• Encouraging involvement
Pause/ Break

Pause here and take a break.

From Personnel Management to
Human Resource Management

“It is worth noting that when comparing HRM and

PM, more similarities than differences occur;
however, concepts such as ‘strategic integration’,
‘culture management’, ‘commitment’, ‘investing in
human capital’, together with a unitary philosophy
are viewed as essential parts of the HRM model”
(Carbery and Cross, 2013, p.6)
PM versus HRM
HR Aspect PERSONNEL MANAGEMENT HUMAN RESOURCE
MANAGEMENT (HRM)
Time and planning Short-term, reflective, ad hoc, Long-term, proactive, strategic,
perspective marginal integrated
Psychological Compliance Commitment
contract
Control systems External controls Self-control
Employee relations Pluralist, collective, low trust Unitarist, individual, high trust
perspective
Preferred Bureaucratic/mechanistic, Organic, devolved, flexible roles
structures/systems centralised, formal defined
roles
HR Roles Specialist and based on Largely integrated into line
professional management
Evaluation criteria Cost minimisation Maximum utilisation (human
asset accounting)
Human Resource Management:
Major Characteristics
Strategic approach to the management of people

Line managers work in partnership with HR

HR policies and practices tha tare integrated and consistent with the
organisational culture

Unitarist frame of reference

A ‘soft’ HRM approach

HRM must be viewed as a system, where the elements are integrated and
mutually reinforcing
Source: Carbery and Cross (2013, p.6)
Approaches to HRM:
Hard and soft

Hard HRM Soft HRM

Derived from scientific and Derived from the Human
strategic management Relations and Japanese
Management

View people as a ‘resource’ to The organisation is made up

be managed and controlled with people who have differing
needs
Rational, quantitative and People are creative and can
calculative approach, Legge benefit from personal attention
(1995) and employee involvement
Employees as Resources – “Hard”/”low road” HRM
• Business perspective/time horizon: short term

• Emphasis of business strategies: competitive advantage – price

• Orientation to employees: an expense of doing business

• Contractual base of employment: non-standard

• Role of HR function: operationally focused HR function where it exists

• Worker representation/relationships: need for unions due to cost reduction strategy,

which results in worker insecurity and conflict

• Management/HR strategies based on asserting workforce control: threat of

unemployment and limited union protection used to intensify work

• Key HRM levers: short-term contracts, little investments in training, low job security, low
pay, work intensification
Employees as Humans – “Soft”/ “High-road”/
“High-commitment” HRM
• Business perspective/time horizon: long term

• Emphasis of business strategies: quality and product differentiation - innovation

• Orientation to employees: central to business competitiveness - investment

• Contractual base of employment: permanent contracts more likely

• Role of HR function: facilitate firm investment in HRM, securing employee

commitment

• Worker representation/relationships: individual rather than collective

• Key HRM levers: performance-related pay, individual work contracts, teamwork,

harmonisation of terms and conditions of employment, increased communication,
Tensions within HRM
The field of HRM draws on a variety of different social science
disciplines including: anthropology, psychology, sociology, law and
political science and therefore can be analysed through different
lenses (Bratton and Gold, 2012)

Within organisations there different approaches that can be

adopted depending upon the organisational context – both
internal and external – changing power balance between parties
affected by context

There are tensions between profitability, cost-effectiveness and

employee security; between employer control and employee
commitment; and between managerial control and employee
dignity (Bratton and Gold, 2012)
Framework for understanding the
employment relationship

Source: Budd (2004, 2010)

Framework for understanding the employment relationship

• Efficiency - performance
• Economic performance – the effective use of scare
resources (competitiveness, productivity, quality,
economic prosperity)

• Equity – fairness
• Fair employment standards for outcomes and treatment
(social justice, security, non-discrimination)

• Voice – decision making

• Meaningful input into decisions (autonomy, free speech,
industrial democracy) Source: Budd (2004)
Lecture Summary

 Introduced some key influences on the

development of HRM

 Discussed the differences between traditional

personnel management and HRM

 Introduced you to the different theoretical

approaches that organisations may adopt towards
HRM and some tensions surrounding them
Essential Reading

Torrington, Hall, Atkinson and Taylor (2014) Chapter 1

Introduction to HRM textbook (2015) Chapter 1

Carbery and Cross (2013) Chapter 1

Foot and Hook (all editions) Chapter 1

Bratton and Gold (2017/2012) Chapter 1

 References

Armstrong, M., with Taylor, S. (2017). Armstrong’s handbook of human resource management practice. (14th Ed.).
London: Kogan Page.
Bloisi, W. (2007). An Introduction to Human Resource Management. Maidenhead: McGraw Hill Education.

Budd, J. W. (2004). Employment with a human face: Balancing efficiency, equity, and voice. London: Cornell
University Press.

Budd, J. W., Gollan, P. J., and Wilkinson, A. (2010). New approaches to employee voice and participation in
organizations. Human Relations, 63(3), 303-310.

Bratton, J., and Gold, J. (2017). Human Resource Management: theory and practice. Houndmills: Palgrave MacMillan.

Bratton, J., and Gold, J. (2012). Human Resource Management: theory and practice. Houndmills: Palgrave MacMillan.
Carbery, R., and Cross. C. (2013). Human Resource Management: A concise introduction. Basingstoke: Palgrave
MacMillan.

CIPD (2012). The History of Human Resource Management (HRM). Retrieved from:
https://www.cipd.co.uk/about/who-we-are/history
Legge, K. (1995). Human Resource Management: Rhetorics and Realities. Basingstoke: PalgraveMacMillan.

Price, A. (2007). Human Resource Management in a Business Context. London: Thomson Learning