Lecture 04changingenvironmentofhumanresourcesmanagement 110219051912 Phpapp01

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    Lesson: 4

    Changing environment of Human Resources Management

    Contents:Environmental factors of HRMChallenges to HRMEmerging trends

    Appendix: excerpts of articles, source: secondaryslide show

    Suggested readings after slide show

    MS 22B - Eddie Corbin, Lecturer 2

    Learning Objective in lesson 4Learning Objective in lesson 4

    By the end of this Unit, you should be able to:

    1. Clearly articulate the various emerging trendsin HRM.

    2. Describe the various internal and externalfactors impinging on HRM.

    3. Describe the model of HRM in the givencontext.

    4. Know the strategic relationship of HRM.

    In the earlier two lessons, you have learnt about the nature, philosophy, values for whichhuman resource management stands for. You have gone through the extensive material

    giving you an overview of the mechanisms which we use as managers. But just think, dothing turn out to be as we envisaged to, the way we wanted them to be, ALWAYS?? If the answer is in a yes, then you all are in the right track. Yes, we all exist in anenvironment. We all need to consider the environmental factors when wanting toimplement anything. We all require a contingency approach to be more effective in the

    present world. The same holds true for organisations. The purpose of this lesson is tounravel the mystery surrounding external and internal factors that complicate the job of an HR manager in actual practice.

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    This is the premise which we will discuss in this lesson. We will cover Environment of HRM.Challenges to the discipline, andEmerging trends.

    Happy reading!!!

    Storey (2001) introduces Human Resource Management: A Critical Text by saying:"It is hard to imagine that it is scarcely much more than a decade since the time when theterm 'human resource management' (HRM) was rarely used - at least outside the USA.Yet nowadays the term is utterly familiar around the globe and hardly a week goes bywithout the publication of another book on the subject."

    But he observes that despite the proliferation of books, journals, conferences, academic

    sub-groups, etc. the subject remains 'and always has been from its earliest inception,highly controversial.' Specifically, he pinpoints questions about the nature of HRM, thedomain it covers, the characteristics of HR practice, the reach of the subject and itsantecedents, outcomes and impact.

    Thus you see, an HR manager works in a varied environment. He can only do his dutieswell if he is updated with the changing needs of the employees. And for this he naturallyhas to keep himself abreast with not only the environment in which the organisationexists, but of the environment from which the employees are coming to work.

    Here, lets take few of the environmental factors which have significant impact on the

    organisation. The term 'environment' here refers to the "totality of all factors whileinfluence both the organisation and personnel sub-system"

    Table -External and Internal Factors influencing the Personnel FunctionExternal factors

    Technological factors Economic challenges Political factors Social factors Local and Governmental issues Unions Employers demands Workforce diversity

    Internal factors Mission

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    Policies Organizational culture Organization structure HR systems

    You must have come across such a table in many of your earlier courses. For, example,Essential of management, organisational behaviour, business environment, etc. So, thislesson will proceed in relation to those only.

    Each of the external factors separately or in combination can influence the HR functionof any organisation. The job of a HR manager is to balance the demands and expectationsof the external groups with the internal requirements and achieve the assigned goals in anefficient and effective manner. Likewise, the internal environment also affects the job of a HR manager. The functional areas, structural changes, specific cultural issues peculiar to a unit, HR systems, corporate policies and a lot of other factors influence the way theHR function is carried out. The HR manager has to work closely with these constituent

    parts, understand the internal dynamics properly and devise ways and means to surviveand progress. In addition to these, the personnel man has to grapple with the problem of workforce diversity.

    All these factors individually or in combination pose challenges to HRM practices and philosophy. The challenges are:

    Going globalEmbracing new technologyDeveloping human capitalResponding to the marketContaining costsIncreasing productivityManaging changeResponding to the market

    Challenge 1 : Going global

    In order to grow and prosper, companies are venturing into new markets and global.Thus, from tapping the global labor force to formulating selection, training, and com-

    pensation policies for expatriate employees, managing globalization has been a major HR challenge and will be in the next few years. Take instance of German companies settingup BPO in India.

    Challenge 2: Embracing new technology

    Technology is forcing firms to become more competitive. At every instance there areinnovation taking place. The rate of change is rapid, turbulent so to say!! We have come along way from applications of Lasers to optic fibres. You yourself can look back andreview what you did when you wanted to know about a institution to what you can donow if you want to decide on a college.

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    Recent innovations in the form of total quality management, reengineering work

    processes, flexible-manufacturing systems have only one thing in common - serving thecustomer well through improved operational efficiency.

    For instance, TQM advocates emphasise the importance of achieving greater quality andflexibility at lower cost and waste. You need not sacrifice something in order to giveanother thing. All things are possible, provided you work with a clear' focus, i.e.,improving things. Employee involvement programmes, therefore, have become part and

    parcel of TQM.

    Competitive benchmarking is the first requirement to effective TQM. Benchmarking is acontinuous process. It is not a one-shot deal because industry practices change constantly.This has a serious implication on the HRM practices. Companies such as Modi Xerox,HDFC, IFS, Infosys, SRF, TELCO, Thermax, and Bombay Dyeing have successfullyapplied competitive benchmarking to meet the rising expectations of customers in their respective areas.

    Information technology has made managers depend less and less on the chain-of-command approach to organizing. For example, with HRIS, every employee with a

    personal computer on his or her desk can tap into the firm's computer network and getneeded information.

    HR plays an integral role in any such changes. For example, empowering workers tomake more decisions presumes that they are selected, trained, and rewarded to do so.Performance appraisal and reward systems have to be more team oriented than onlyindividual oriented.

    Can you find what implications will reengineering work processes and flexible-manufacturing systems will have on the design and implementation of HRM practices and

    policies.

    Challenge 3: Developing human capital

    Organisations compete through their workforce. This is true in the present scenario where

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    it all depend s upon how one markets itself. Thus it is the responsibility of the HRM todevelop this resource well and keep it happy and ticking. But how?? Can you recall anyfrom our lesson of OB. But please keep in mind they should be in terms of HRM

    practices. Any one??

    Activity:Find out the activities/schemes that the reputed software companiesadopt to develop and retain their employees

    Challenge 4: Responding to the market

    Psychographics knowledge is a must to survive in todays competitive world. Thestandards set by the external agencies like the government, the competitors separate thewinners from the losers. Better, faster, cheaper.. A company providing such a servicewill be the winner. Thus one needs to be innovative. All this has an implication for HR.For example, re-engineering requires the administrative systems to be reviewed andmodified. Selection, job description, training , career planning , performance appraisal,

    compensation and labor relations are all required to be changed according to emergingscenario. These will be tackled separately and individually in the coming units.

    Challenge 5 : Containing costs

    Investment in a new technology, intellectual capital and efforts for globalization hasincreased pressures on companies to lower cost as well as improve productivity. As youwill all understand among the above investments, labor cost is the largest expenditure of any organization, especially in service and knowledge intensive companies. Soorganizations have started using approaches such as down-sizing, outsourcing andemployee leasing (read article from Brand Equity, month November) and productivityenhancement. All these has direct impact on HR Policies and practices.

    ActivityFind about downsizing, outsourcing and employee leasing from thesecond sources and review the HR implications

    Challenge 6: Work force Diversity

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    HR is today heavily involved in the execution of most firms' downsizing andrestructuring strategies, through outpacing employees, instituting pay-for-performance

    plans, reducing health care costs, and retraining employees. And in an increasinglycompetitive global marketplace, instituting HR practices that build employeecommitment can help improve a firm's responsiveness, as explained earlier.

    If you go back to lesson number 2, the model given by Beers et al. you willunderstand the importance of being strategic and integrated for HRM. See how eachfactor has an impact on the others.

    MS 22B - Eddie Corbin, Lecturer 25

    StakeholderInterest

    ShareholdersManagementEmployeesGovernmentCommunityUnions

    SituationalFactors

    WorkforceCharacteristicsBusiness strategyManagement

    philosophyLabour marketUnionsTask environmentLaws/social values

    HRM PolicyEmployeeinfluenceHR flowReward

    systemsWork systems

    HR OutcomesCommitmentCompetenceCongruenceCost-

    effectiveness

    Long-TermConsequencesIndividualwell-beingOrg.

    effectivenessSocietalwell-being

    Map of the HRM Territory

    Beer et al.

    The aim is to achieve the four Cs of effectiveness that is commitment, competence,congruence and cost effectiveness. So, what do you understand from the aboveinformation. Right?? You all are aware of the challenges faced by each system in theorganisation. The best way is to face it rather than avoid them. Dont you think so too??

    Attachments:

    1) 10 'C' Checklist

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    A systematic framework designed for Human Resource Management in a Business Context based on the ten 'C' model . This framework incorporates tendimensions, each conveniently beginning with 'C' - in the best management-gurustyle. In fact terms beginning with 'C' have a considerable track record in HRM(...) The Harvard model has its central four Cs - commitment, congruence,competence, cost-effectiveness - three of which are incorporated in our tendimensions. (...)The ten dimensions have been chosen because they are allmeasurable in some way and the essence of HRM lies in the tension and HRMhas evolved from a number of different strands of thought and is best described asa loose philosophy of people management rather than a focused methodology. Itis a topic, which continues to attract debate and disagreement. As a consequence,

    practitioners and textbooks use a diverse and sometimes contradictory range of interpretations. We found that HRM has a variety of definitions but there isgeneral agreement that it has a closer fit with business strategy than previousmodels, specifically personnel management. The early models of HRM take either a 'soft' or a 'hard' approach, but economic circumstances are more likely to drivethe choice than any question of humanitarianism. We concluded with ten key

    principles that determine the coherence and effectiveness of the HRM approach to people management .

    2) High-Performance Management Systems

    Adapted from Human Resource Management in a Business Context, 2nd edition(2004)

    In all the debates about the meaning, significance and practice of HRM, nothing seems so certain than the link between HRM and performance. But is it?

    Karen Legge (2001), one of the most respected and astute commentators onhuman resource management says:

    "And what, might it be asked, are the present day concerns of HRM researchers,who (...) are of a modernist, positivist persuasion? In a word, their project is thesearch for the Holy Grail of establishing a causal relationship between HRMand performance. And in this search some success is claimed, in particular thatthe more the so-called 'high commitment/performance' HRM practices areadopted, the better the performance (Legge, K. "Silver Bullet or Spent Round?Assessing the Meaning of the 'High Commitment Management/PerformanceRelationship" in Storey, J. (ed.) (2001), Human Resource Management: ACritical Text , Thomson Learning).

    She argues that in order to examine the relationship between performance andHRM we need to address three fundamental questions:

    1. How are we to conceptualize HRM?

    2. How are we to conceptualize performance?

    3. How are we to conceptualize the relationship between the two?

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    Here we will look at HRM operationalised (according to Legge's approach) interms of high commitment or high performance work practices. In practice,unpicking the meaning of 'high performance management' from wider notionsof management can be difficult. For example, the US Department of Labor (1998) defines high performance as :

    "A comprehensive customer-driven system that aligns all of the activitiesin an organization with the common focus of customer satisfactionthrough continuous improvement in the quality of goods and services."

    You will probably have recognized that the roots of this definition lie inTotal Quality Management. In the past, the practice of TQM has often

    been procedural and bureaucratic but the high-performance approach has brought in elements of human relations or 'soft' HRM such as commitmentand empowerment. David Nadler publicized the term within his'Organizational Architecture' approach that focused on 'autonomous work teams' and 'high performance work systems'. Edward E. Lawler III used

    the term 'high performance involvement' as an alternative toempowerment, advocating the use of small teams of highly committedemployees.

    The Institute of Work Psychology (2001) at the University of Sheffieldstates that High Performance Work Systems usually involve three mainsets of management practices designed to enhance employee involvement,commitment and competencies. They describe these as:

    1. Changing the design and conduct of jobs through flexible working(especially functional flexibility - broadening the pool of 'who does what'

    through training), teamwork, quality circles, and suggestion schemes.

    2. Ensuring that employees are given the knowledge and competences tohandle high performance work through teamwork training, team briefings,inter-personal skills, appraisal, and information sharing.

    3. Resourcing and development practices designed to attract and keep theright people with the right motivation. These include some guarantee of

    job security, an emphasis on internal selection, sophisticated selectiontechniques, and employee attitude surveys with feedback to the workersinvolved.

    Here there are further indications of an integration of 1970s and 1980s managementtechniques together with a certain amount of repackaging for the 21st Century.

    3) Web-Based Human Resources

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    Alfred J. Walker (Editor)Todays Human Resources function is being transformed by the Web. Web-

    Based Human Resources shows HR professionals how to use online technologiesto offer more services to more employees at a lower cost. It offers concrete tips onwhich approaches are most effective in small, medium, and large organizations;

    provides a framework for transforming HR from a support function to onecentered on organization-wide productivity and learning; and explains all the keyweb technologies and trends that are changing the HR function for the better!

    Web-based HR Systems

    Walker (Walker, A.J. 'Best Practices in HR Technology' in Web-Based Human Resources , McGraw Hill, 2001) states that if HR technology is to be consideredsuccessful, it must achieve the following objectives:

    Strategic Alignment

    Must help users in a way that supports the users.

    Business intelligence

    Must provide the user with relevant information and data , answer questions, and inspirenew insights and learning.

    Efficiency and effectiveness

    Activity:

    What is the difference between Efficiency and effectiveness? Explain with examples.

    Must change the work performed by the Human Resources personnel by dramaticallyimproving their level of service, allowing more time for work of higher value, andreducing their costs.But, despite extensive implementation of Enterprise Resource Planning (ERP) projects,Human Resource Information Systems (HRIS), and HR service centres costing millionsof dollars, Walker concludes that few organizations have been entirely happy with theresults. Why is this?Cutting HR staff, outsourcing and imposing technology on what was left, hasimplemented many systems. Arguably this approach should, at least, have cut costs. ButWalker argues that survey results demonstrate that overall HR departments have actually

    increased their staffing levels over the past decade to do the same work. Moreover heconsiders that:"Most of the work that the HR staff does on a day-to-day basis, such as staffing,employee relations, compensation, training, employee development, and benefits,unfortunately, remains relatively untouched and unimproved from a delivery standpoint."

    The HR Function

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    Walker advocates the business process re-engineering the HR function first, then E-engineering the HR work. He suggests the formation of re-engineering teams of

    providers, customers and users to examine the whole range of HR activities - includingthose, which are not being done at present. The end product is a set of processesorganized into broad groupings such as resourcing, compensation or training anddevelopment. These processes should then be examined by the re-engineering team andredesigned to:1. Be better aligned with organizational goals.2. Streamlined so as to be cost-effective in comparison with the 'best in class'.3. Have a better integration with other processes.From this redesign comes the picture of a new HR function. What next? The organizationcould be restructured and the tasks handed out existing or new staff. But Walker arguesthat the most effective approach is to introduce new technology to deal with theredesigned processes.

    4) Learning Organizations

    Walton (1999) states of the concept of the learning organisation: 'Perhaps more thananything else it has helped to put HRD on the strategic agenda.' But the concept is

    evolving and remains fairly abstract or, as a senior consultant engagingly described it:'quite fluffy'. What follows is necessarily a considerably simplified consideration of theconcept.The seminal ideas of the concept come from two main sources: Pedler et al's (1991) ideason the 'learning company' and Senge's (1990) 'five disciplines'. According to Senge(1990) learning organisations are organisations in which:- The capacity of people to create results they truly desire is continually expanding;- new and open-minded ways of thinking are fostered;- people are given freedom to develop their collective aspirations;- individuals continually learn how to learn together.This set of goals may seem somewhat ambitious but Senge contends that they can be

    achieved through the gradual convergence of five 'component technologies', the essentialdisciplines that are:The definitions of the concepts used above are:

    * Systems thinking . People in an organisation are part of a system. Systems thinking isa discipline which integrates the other disciplines in a business. It allows the 'whole'(organisation) to be greater than the 'parts (people, departments, teams, equipment and soon).* Personal mastery . This discipline allows people to clarify and focus their personalvisions, focus energy, develop patience and see the world as it really is. Employees who

    possess a high level of personal mastery can consistently generate results which areimportant to them through their commitment to lifelong learning.* Mental models . These are internalised frameworks, which support our views of theworld, beliefs in why and how events happen, and our understanding of how things,

    people and events are related. Senge advocates bringing these to the surface, discussingthem with others in a 'learningful' way and unlearning ways of thinking which are not

    productive.

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    * Building shared vision . Developing 'shared pictures of the future' together so that people are genuinely committed and engaged rather than compliant.* Team learning . Senge sees teams as a vital element of a learning organisation. Hencethere is a great significance in the ability of teams to learn.

    Source: adapted from Alan Price (2000) Principles of Human Resource Management: An Action-Learning Approach , Blackwell, and Oxford.

    Food For Thought:No organisation can survive for long if it is not a learning organisation

    5) Participative management: an excerpt

    A snapshot today shows us a profession on the cusp, fully feeling the tensions of the fault line as it tries to sort its way into the future. Id like to focus on 5 of themain tensions that make up the field

    Segregation vs. Integration of People Practices . There are at least 17 major areasof human resource in business today:

    -Organization structuring and design-Selection/succession-Orientation-Communication-Goal Setting: Individual-Goal Setting: Team-Performance Feedback -Career management support-Individual Learning support-Organization development-Job/work design-Benefits-Pay/rewards systems-HR information systems-Individual assessment-Organization assessment-Performance support

    In the past, practices in these areas reflected different philosophies. They were plannedin isolation. They used different language about work (tasks, results, outputs, outcomes,duties, key results areas, etc.) and about people (knowledge, skills, values, attitudes,

    commitments, competencies, capabilities, abilities). The models they used for similar jobs were often different such that the selection, development, succession, and performance specs for the same job might be different. The segmentation became so pronounced that even means to ends (e.g., competency studies) became ends inthemselves (I want a competency model for this job, not I want to improve the fit of

    people to this job.)

    The pressure today is increasing for a more systemic and ends-focused view. Technology

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    with its need for a common language and interoperability increases the pressure andopens up more integration possibilities. Integration will inevitably win. But todaysorganizations live with the job half-done or struggling to get under way.

    Closed vs. Open People Practices . Closed practices fit the authoritarian worldview.Executives and staff people did the thinking, created the procedures and controls.Employees worked within those boundaries. This often meant secretive selection andcareer processes. The boss and the human resource professional were in charge of anddid the work of individual and team goal setting, pay, and performance feedback,individuallearning, and assessment, career management. Individuals played a more receptive role,accepting important decisions made behind closed doors hearing little about therationales.

    Today, in a far more transparent world, these systems are opening up. This is largely afunction of the nature of the work: knowledge work requires active individual

    participation. And, as the workforce becomes more aware of its negotiating power, people also demand to know the basis for decisions. They challenge arguments that these practices must be secret or controlled by the few.

    Operational and Administrative vs. Strategic and Facilitative Role of HR Professional .David Ulrich has long pointed out that the HR profession must spend more time instrategic and cultural work, and less in administrative and operational. He points out thatmost HR people in the past managed records and administered services like pay andtraining programs. He notes that HR professionals also did a lot of the day to daymanagement work, handling performance problems and discipline, doing various kinds of counselling, intervening on union-related issues, policing policy.

    But, we are now in a knowledge era characterized by accelerated change, where peopleissues have become central to organization success. Shifts in business strategy,

    acquisitions and divestitures, new alliances, globalization, new technologies these allrequire strategic thinking about human resources. Also, something has to happen to helpchange organization cultures and change them dramatically!! Human Resource

    professionals are the logical choice for these roles. But they have to shift emphasis. Thisimplies that HR professionals spend their time as strategists, HR system designers,culture change facilitators, coaches, consultants to management on performance,researchers.Fortunately, technology and sources outside the business are able to take over the recordkeeping and more procedural functions of HR. And, it is appropriate now to turn over theday-to-day people management to managers, and to the people themselves. But, thecompetencies and mindsets of human resources professionals dont always fit the new

    work profile. In fact, the administrative skills of the past actually have a negativerelationship with the emerging requirements.

    From Dependency to Partnership . We are beginning to realize that Human Resource practices are not a staff function. Nor, are they something managers do to or for workers. Practically speaking, this has always been true. Many years ago, CanadianAlan Tough pointed out a startling fact that relates to most areas of work life: mostlearning activities are self-directed (he said 70%). 20% are directed or significantly

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    supported by others who are NOT professional helpers (perhaps managers, colleagues, parents, friends, children). Professional helpers direct only about 5% of our learning.And this 5% includes counselors as well as teachers. Tough pointed out that the self- andother directed learning was often not very efficient. This, combined with the growingawareness of what it costs business to do a sloppy job of learning, helping, andknowledge transfer creates the need for a radical shift. Formalizing the learning andcoaching role appears to be a key to increased innovation, improvement, and problemidentification and solving, and to the rapid spread of knowledge throughout the firm.This formalization does not mean that the old boss now becomes coach. While therewill undoubtedly be formal coordinating and coaching roles in the future, everyone in theknowledge-based organization is becoming both coach and learner. Neither role isrestricted to a person or job. This is clearly true for other roles, like manager,strategist. In a knowledge-based organization, such roles become imbedded in thework itself. Hard role distinctions and domination patterns soften and blur, becomeinterchangeable like the matter and energy of the Einsteinian universe. The work requires this flexibility. Its only our mindsets that prevent the shift here.The leverage and interchangeability of the learner/coach and manager/worker roles theascendance of partnership styles of relationship --is increasingly clear. But, the challengefor the HR professional is how to make these roles more conscious and competent. Cusp

    dynamics make this difficult, though, since many individuals and managers dont havethe skills or focused desire to play their new roles. Many HR professionals also strugglewith the apparent loss of power. And they face the task of reengineering of all people

    practices so that they are more self- managing. Its a tall order.

    Utilitarian vs. Generative View of Human Resources . The term human resourcescarries one bias of this apparent dichotomy. In the mechanistic, more authoritarianworldview, people are resources in the sense of being optimized and even exploited.Today, the more utilitarian view, often based on behaviorism vies with a more generativeview based on humanistic philosophies and psychologies. Debates rage between factionssupporting Performance Consulting in the sense of Performance Engineering and

    factions supporting more learning-centered view. Will we do job-specific training, or more broadly based education? we ask. Should the learning specialist become a

    performance engineer and systems consultant or focus on unleashing the capacity of people so that they can do that work themselves? Is the human being in the workplace to be treated as an effect or a cause? And, is there a higher order of integration where wecan act as through both are true?

    The Challenge?

    The shifts change things for everyone. But what about the HR professional? Perhaps thedistinctions within HR (i.e., between HR and HRD) are too fine. In a knowledge world,

    excellent people practices are driving forces for success.

    There are clear and emerging challenges for HR people. Here are some:

    Reorient Personal Competencies and Work . The emerging workplace scenario requiresmore strategic, systemic, business-savvy HR professionals. It demands competence inintegrated people systems design, participative process, and change facilitation. And, weneed to be able to function fully in the information/knowledge world using its

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    To Jump or Not to Jump?

    The world is changing dramatically. The workplace is changing radically. As people the knowledge resources in a knowledge world -- move into the fore, human resource

    professionals assume new roles and a new centrality. But, the tectonic plate of theemerging world has only begun to show itself. Most of it is underground, pushing against a great fault line the cusp of change. Great forces are at work, and those of uswho dare to reach for them and help unleash them into the future need a lot of courage.Why? Because it is not always clear when and where to jump up and down, or, if wechoose to use dynamite what its effects might be.Its clearer all the time, though, that the fault line is but an indicator that major andinexorable forces of change are at work. So our actions will only help accelerate andshape the inevitable. As Obi Wan Kanobe said in the first Star Wars episode, May theforce be with you. The force IS with HR for the future. AND, we are in a unique

    position to influence and use if not control it.

    Now let us learn a few lessons from Azim Premji on theChanging world:

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    External EnvironmentalInfluences

    Technological factors Economic challenges

    Political factors Social factors Local and Governmental issues Unions Employers demands Workforce diversity

    Internal EnvironmentalInfluences

    Mission Policies Organizational culture Organization structure HR systems

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    CURRENT CHALLENGES

    to HRM!!Increasing productivity

    Going global,

    Managing change ,Developing human capital,

    Responding to the market

    Challenge 1: Going global

    Impacttrade agreements and global

    marketsEffectbalancing a complicatedset of issues related to differentgeographies, cultures, laws, and

    business practices

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    Challenge 2:Embracing NewTechnology

    Change is constantRecent Changes involves:

    TQMReengineeringFMS

    Challenge 3: Developing humancapital

    Individuals knowledge, skills, andcapabilities that have economic value toorganization

    Managers need to ensure that employeeshave developmental opportunities toincrease their capabilities

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    Challenge 4: Responding to themarket

    Total quality management (TQM) ISO certification Benchmarking

    Re-engineering (business process redesign)

    Challenge 5: Containing costs

    Downsizing Outsourcing

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    Challenge 6: Workforce

    Diversity

    A. DEMOGRAPHIC CHANGESB. CULTURAL CHANGES

    DEMOGRAPHIC CHANGES

    4 Diversity of workforce 4 Age distribution of workforce 4 Gender distribution of employees 4 Rising levels of education Changing nature of job and work

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    CULTURAL CHANGES

    w Employee rights 4 Ethics 4 Privacy concerns 4 Attitudes toward work Balancing work and family

    Acquisition

    HR Planning Internal and External Staffing Employee Orientation and Socialisation

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    Key Strategies for successful businesses in the Future

    Recognising the value of HR Missioning and Co-missioningCareer centred and motivational systemsHomeostasis: Internal and external balance

    Challenge 7: Managing change

    Reactive or proactive response to change Most change initiatives fail due to people issues Change not tied to business strategy Lack of leadership for managing

    change People are afraid of the unknown

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