Example answers to Questions on HRM Processes

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Types of HRM Objectives

The Human Resources organization will contribute its professional abilities to the institution's fulfillment of its objectives and achievement of the KPMG's strategic plan goals (Also known as Organizational Effectiveness). Otherwise, it also ensure to formal discipline while promoting compassion, informal interactions, underscore competence, contribution, collective efforts, dignity and decorum in all that matters to the firm.

Moreover, HR will undertake review and enhancement of HR processes, procedures, systems, and policies by used basic of continuous quality improvement and to knit client service (Ankur, 2009). Meanwhile, the objectives also help KPMG to build on its strengths and to reduce its weaknesses. All efforts should be concentrated to aim organization become more effective each day and HR has a potential opportunity as a catalyst and a facilitator to have a part in a wonderful way.

Furthermore, HR will provide and develop training programs for staff and managers to help them fulfill the goals of the KPMG's strategic plan, which mean create or develop the cultural of perpetual learning (Dwivedi, 2007). From there, HR department will decide and help to minimize the socio-economic detrimental like unemployment, disturbance in the allocation of income and wealth, and also improve the welfare of the society by reducing discrimination to women in work place and disadvantaged sections of the society.

On the other hand, HR will provide support of Enterprise Resources Planning (ERP) initiatives, including change management, and systems development activities. The outcome of the review has established the direction for HRM (Dwivedi, 2007). First the KPMG is now focusing more on its strategic role, advising branches and departments on implementation, determining policy, setting guidelines and rules. Within this, KPMG is entrusting as much authority as possible to departments, and simplifying rules and procedures. Otherwise, the emphasis is now more on the management of people rather than the administration of rules. Lastly, the company departments are expected to review and develop their own HRM plans to help them meet their operational requirements.

Characteristics of Human Resource Management Strategy (HRMS)

Human Resource Management Strategy is a process of combining people and organization together and let the goals of each are met. It aims to secure the best from people by winning their entire co-operation. HRMS also can be defined such as procuring, developing and maintaining well workforce to achieve the goals of an organization effective (Nankervis, Compton, & Baird, 2001).

A longer term focus.

An addition of several years strategic, plans for human resource utilization is frequently measured as the beginning in the development of a strategically oriented HRM function.

New linkages between HRM and strategic planning.

It is come into view as an important feature in many models of HRMS. One-way linkage will give attention to the roles of HRM activities by supporting strategy implementation, while a two-way linkage explains a more practice approach where HRM puts forth control on strategy formulation as well (Nankervis, Compton, & Baird, 2001).

HRMS concerns for the employees to help them.

The work team successful depends on how good the group can work together and put efforts to raise productivity and performance. Other point is to make sure the areas of responsibility and authority of line manager and staff personnel are recognized. With clearly recognized lines of authority and responsibility, each group will have better understand their role in the organization.

Proposed linkages between HRM and organizational performance.

Most models of HRMS include the proposal that HRM plays an important role in reaching the strategic goals. As the usual outcome of company strategies is development of the firm's economic value, HRM should straight away contribute to the firm's bottom line in order to be judged efficiently.

Inclusion of line managers in the HRM policy making process.

The importance of HRM's strategic worth may well create an added line of management responsibility, mainly in regions concerning the selection and compensation of managers. Meanwhile, Human Resource normally would be responsible for staff applications, staff files and any problems such time off sick, dealing with staff transfers and so on. The line manager is also responsible for staff at work, so any problems, the staff would report to him. In other words, making sure the work gets done (Timothy, & Heneman, 2006).

Attempts at getting the following cooperation of the people for the achievement of organization goals.

Employee's authority is to advice or intention those with line authority. For instance, HR department help other departments by select and develop a standard workforce. A quality control manager will help production manager by determining the suitable quality level of products/services at company, beginning quality programs, and feedback statistical analysis to make sure it wills compliance with quality requirements. Hence, staff authority provides staffs the right to give advice to improve line operations.

Question 2: Planning

Basic Components of Job Analysis

Human resource planning is the process by which managers ensure that they have the correct number and types of people in the right places, with the suitable skills, experience and competencies in the right jobs at the good time with suitable cost, which are capable of effectively and efficiently performing assigned tasks. Through planning, organizations can avoid sudden talent shortages and surpluses. HR planning can be condensed into two steps: (1) assessing current HRs and (2) assessing future HRs needs and developing a program to meet those future needs (Stone, 2007).

Job content: explains the duties and responsibilities of the job in the way that can vary from global statements to a very complete description of tasks and procedural steps. The individual one-self controlled these factors such as performance, autonomy, recognition, and so on. For an individual to succeed at accountant assistant job at KPMG to crop the best condition level of performance out of the individual, it is paramount for the individual as well as the organization to incorporate motivation techniques that will encourage the worker to be of increase utility and reduce cost.

Job requirements: recognizes the prescribed qualification, knowledge, skills abilities and personal characteristics that employees require to execute the content of the job in a specific situation. An employer's practices seek to identify and hire the best applicants. Job analysis can lead employers achieve this object by identifying standard selection, like the experience, abilities or knowledge needed that suitable for a job. A firm's managers and HR professionals can use this information to manage and chose the suitable selection devices such as interview questions, tests.

Job context: refers to situational and supporting information about a particular job, its aim, where it fits within the organization, maintenance of human or material resources, availability of guidelines, likely consequences of error, amount of supervision received or provided (Stone, 2005). Organization controlled these factors such as base salary, company policies, work condition, and so on. From the Herzberg's motivation-hygiene theory, the hygiene factors are job context, and motivation factors are job content (Stone, 2007).

Environmental Trends

Economic Factors

As we can see throughout the KPMG, economic change can have big impact on a firm's behavior. For instance:

Higher interest rates may barrier investment because of increasing costs to borrow.

A strong currency can make exporting more difficult because it may get higher price impacted from foreign currency.

Inflation can increase costs and also strike higher wage demands from employees.

Higher national income increasing might raise demand for a firm's products.

Social Factors

Social trends changing can effect on the demand for an organization's products and the vacancy and willingness to work of individuals. In Singapore, for example, the population is being ageing. The increasing of cost for pension payments of firms for their employees increased because their staffs are living longer. That means some firms such as KPMG started to concentrate about older employees to deal with this growing labor rate. The ageing population also has effect on demand for sheltered accommodation and medicines have increased.

Demographic Factors

The successful of Asia's demographic is associated with the impressive changing of economic and social changes during this period. Big social changes occurred alongside quaint economic growth. Moreover, there were big rises in real incomes and massive reductions in poverty levels as the region's economies transform from almost depends on agriculture to increasing emphasis on modern urban-based industries. These include the spread of basic education and the associated rise in literacy levels (Singh & Narlawar, 2010).

As Asia's demographic transition gathered growth in the early 1970s, following the sharp reduction in fatality, especially of infants and children, the population growth very fast. Subsequently, as birth rate decline gained momentum, the growth rate has almost reduced into half, with the inertia of demographic momentum accounting for much of the current 1.3% annual growth in population (Health Status Report, 2005).

Technological Factors

Nowadays, new technologies are making more new products and new processes. Online shopping, barcode, and computer design are improvements to help firms to do business with a better technology. Computer games, High-tech mobile are all potential markets appeared from technological advances. Technology reducing costs and also improving quality and create innovation (Kleiman, n.d.). These developments can provide for consumers more benefits and also helps the firms providing their services, especially in the financial market today.

Question 3: Resourcing & Development

Approaches Used to Attract External Candidates

For recruiting successful, each job must be clearly defined. Recruiting strategy entails identifying where to recruit, whom to recruit, and what the job requirements will be (Stone, 2005). An important decision, which is to be taken by the company, is whether to follow internal recruitment or external recruitment for the job vacancy that has arisen in the KPMG Company.

Advertising

Advertising is a way of communicating the employers using through media such as television, radio, newspapers, or industry publications. The internet is the newest and fastest growing ERM. Regardless of the advertising method utilized, in determining the content of an advertising message, a firm must decide on the corporate image its wants to project. Obviously, the firm should give prospective employees an accurate picture of the job and the organization.

Employment Agencies

Employment agency is an organization that helps firms recruit employees and at the same time helps candidates to reaching the job. There are 2 types of employment agency. (1) Private employment agencies, known best for recruiting white-collar employees, offer an important service in bringing qualified applicants and open positions together. (2) Public employment agencies, operated by each state, receive overall policy direction from the U.S. Employment Service. Public employment agencies, best known for recruiting and placing individuals in operative jobs, have become increasingly involved in matching people with technical, professional, and managerial positions.

Professional Organization

Professional associations in business areas including finance, marketing, accounting, and human resources provide recruitment and placement services for their members. The Society for HRM, for example, operates a job referral service for members seeking new positions and employers with positions to fill. SHRM has a first-rate Web site for HR professionals.

Open House

Open houses are a valuable recruiting tool, especially during days of low unemployment. Open houses are cheaper and faster than hiring through recruitment agencies, and they are also more popular than job fairs. There are pros and cons to holding a truly open house. Advertising of open houses may be through both conventional media and the Internet, where a firm might feature its open house on its homepage.

Internet

Internet is a way that finding acceptable qualified applicants quickly at the possible cost is a basic goal for employers. The advantages of internet are more cost-effective than most recruitment methods, access to major group and select more candidates, also can target the type of people needed, easy to use, convenience, and so on. However, disadvantages of internet are increased volume of applicants whose may inadequate for the job when recruiting by internet.

Needs of Performance Appraisal

Employers appraise performance for several reasons. Performance appraisals normally are used to support HR decision including merit increases, termination, and promotions. Employers who plan to use a merit pay plan must have a performance appraisal system, which is effective and assesses correctly the employee's performance. Merit pay decision not based on a correct and fair performance appraisal system can lead to charges of discrimination, as well as employee disappointed with the pay system (Mathis & Jackson, 2000).

Moreover, employers use a number of methods to appraise and record employee performance. Not all performance appraisal methods work equally well for every employer. Choosing the right performance appraisal method depends on a number of factors, factors to be taken in to consideration when HR staff chooses an appropriate performance appraisal method in KPMG will be as follow: categories of employees to be appraised, types of jobs Employees Perform, nature of relationship, reliability of method, validity or relevance of method, usefulness in productivity improvement, and easy to use.

Question 4: Rewarding

Managing Employees' Motivation

Maslow has attempted a more sophisticated classification ranking the various needs in a definite order. According to him there are five types of needs, which include any man into action, depending on the priority, which he links with each other.

Source: the-happy-manager.com, 2007.

Physiological Needs

These are biological needs. They are including needs for food, water, air and a constant body temperature. These needs can consider strongest needs because if a person were starved of all needs, the physiological needs would come first to satisfy their basic demands.

Safety Needs

When all physiological needs are satisfied and are no longer controlling thoughts and behaviors, the needs for security can become active. Adults have little awareness of their security needs except in times of emergency or periods of disorganization in the social structure (such as widespread rioting). Children often display the signs of insecurity and the need to be safe (Maslow, 1954).

Needs of Love, Affection and Belongingness

When the needs for safety and physiological are satisfied, next level of needs will be needs of love, affection and belongingness. Maslow states that people seek to overcome feelings of loneliness and disgrace. This includes giving and receiving love, and the sense of belonging (abraham-maslow.com, 2009).

Needs for Esteem

When the above classes of needs are satisfied, the needs for esteem can become advantage. These include needs for self-esteem and the esteem a person gets from others. Humans have a need for high level of self-respect, a stable, and respect from others. When these needs are satisfied, the person feels self-confident and become more valuable. When these needs are failed, the person feels inferior, weak and helpless.

Needs for Self-Actualization

When all of the foregoing needs are satisfied, then and only then are the needs for self-actualization activated. Maslow describes self-actualization as a person's need to be and do that which the person was "born to do". These needs make themselves felt in signs of restlessness. The person feels on edge, tense, lacking something, in short, restless. If a person is hungry, unsafe, not loved or accepted, or lacking self-esteem, it is very easy to know what the person is restless about. It is not always clear what a person wants when there is a need for self-actualization (NetMBA, 2004).

Traditional Pay and Incentive Pay

Incentive pay, also referred to as variable pay, is used by employers instead of the traditional pay mechanism, like merit increases and fixed salaries. Under an incentive pay program, salary levels can be linked to the performance of the individual, group, or overall organization. Incentive can be offered to higher-level executives, lower-level management, and non-management employees.

According to Mathis and Jackson (2000) understanding differences between traditional pay and incentive pay can help employers determine what combination of approaches best suites corporate culture and business needs. Traditional pay, sometimes called the hierarchical approach, sets a standard salary for a particular job based on its level follow the company hierarchy. Raises are based on periodic employee job evaluations by the way employees perform their job. The results of the evaluation determine the level of the employee's merit increase, where they get a small percentage increase in their base salary. Incentive pay is based on the performance or result of an employee, a team of employees who works towards specific organization goals. In an incentive plan, performance measures are viewed at least usually to determine the level of incentive pay. The incentive pay can be awarded as a one-time bonus or a percentage of base salary.

Question 5: HRM and Law

Employers and Employees' Duties

The Occupational Safety and Health Administration (OSHA) has developed mandatory and voluntary health and safety requirements to ensure that employers provide safe workplaces, keep records of injuries and illness, and recognize employee's rights to refuse unsafe work. Meanwhile, employers from KPMG that fail to comply with mandatory OSHA guidelines typically are subject to fines or other penalties.

KPMG is committed to provide the health, safety and well-being of their people and any visitors to company premises. The company also complies with applicable occupational health and safety legislation, and provides a range of health and safety related support systems for their people and visitors (KPMG, n.d.). The company aim to prevent accidents and promote good heath, safety and well-being by:

Decreasing health and safety risks combined with their business operations, as well as reasonably practices.

Developing a well-being, health, and safety culture in the company.

Encouraging and supporting communication on health, safety and well-being issues in the company.

Furthermore, employers are required to provide and maintain a safe and risk free working environment for their employees. Some of the specific duties of the employers are:

Providing and maintaining safe plant and system of work.

Arranging safe systems of work in connection with plant and substances.

Providing a safe working environment.

Providing adequate information on hazards, as well as instruction, training and supervision to employees to enable them to work safely.

Provide information to their employees in such languages as are appropriate.

On the other hand, the duties of employees apply to all the people working in the organization and that includes even the people in the managerial level. Employees are required to take care of their own health and safety, and of their co-workers. Wherever safety procedures are laid down employees must follow them and when appropriate safety equipment is provided, employees must use it. According to Stone (2005), employees must not willfully or carelessly interfere with or misuse anything provided in the interests of health and safety or willfully put at risk the health and safe of other.

Criticisms on Ethical Role

Short and Callaghan (2005) discuss the ethical role of HR development professional in international organizations. In trying to identify what is ethical behavior for an international organization, they propose that the first thing to understand is the possible negative impacts of globalization.

Poor condition of work, including pay levels below poverty lines and extreme health risk. Good health and personal wellbeing help you get the most out of life as well as contributing to superior professional performance. "We want you to stay fit and healthy with plenty of energy and enthusiasm. It's central to our culture and also makes sense for us as a business. KPMG's "myWellbeing" program covers a range of relevant benefits" (KPMG, n.d.).

'Race-to-the-bottom' in term of working standards as firms seeks cost efficiencies around the world. Keeping a balance among the firm spends and saving is really important in business - especially in severing economic periods. Operations should concern about their cost base same like an investment and continually review whether it is being made in the correct areas (KPMG, n.d.).

Company from developing countries cannot compete with large MNEs. HR professionals need to consider the impact that their organization has on the world and take proactive decisions.

Moreover, the social conflict from changing expectation. The conflict can be described as actions and processes which seek to alter the various characteristics and manifestations of conflict by addressing the root causes of a particular conflict over the long term (Lehman, 1995). Group conflict can be viewed as an essential framework of social change, almost for those radical and unexpected social transformations recognized as revolutions.

Women and ethnic minorities still find it harder to get a good job than other workers in many countries, and more likely to work in poorly paid jobs without collective representation and poor labor safe-guards, despite impressive improvements in recent years. One reason for this continuing problem is discrimination - unequal treatment of equally productive individuals because of gender or race (ScienceDaily, 2010).

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