Human Resource MGMT
Human Resource MGMT
Human Resource MGMT
1.0 Introduction
5.0 Conclusions
APPENDIX
REFERENCES
Human Resource Management– Individual Coursework
1.0 Introduction
The human resources functions constantly face problem for demonstrating its value to
the organization. Especially during economy crisis, the basic strategic of HRM
component (Figure 1) shall be the earliest cutbacks from expenditures list (Patrick et.
Al., 2001). Recently, there is a growing awareness that human capital is perhaps a
most critical asset for an organization, but it is a frustrating to measure the ROI for
showed 92% think that human capital as a key driver for customer satisfaction, while
82% think it has great effect on profitability and 72% for innovation and new product
development. Many research literature and among practicing manager are coming to
organization’s goal. This paper identifies the key challenges facing SHRM going
forward and new directions in scholarship and practice of SHRM. Secondly, it will
attempt to discuss, analyze and contrast the SHRM deployed by Sears and Herman
Miller. It also highlights the significant of a differentiated SHRM practice across the
firm but also within firms. Finally, we will assess the state of SHRM practice in SSCS,
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Human Resource Management– Individual Coursework
management needs (Torrington et. Al, 2002). Whereas, SHRM is about having a
department on top of the planning that deciding the human resource needed by the
company rather than react to the need of the company (McMahan et. Al., 1998). It
also an extension of HRM with depth insight of the environmental analysis and
which systematically coordinate human resource policies and practices based upon the
context of the organization as well as the relevant external environment. The need of
this transformation was based upon the challenge in complexity of managing human
resource and Brain Drain phenomenon in global environment. Despite there are a lots
of SHRM literature, there still some struggling to identify the meaning of SHRM.
SHRM is more than just planning, monitoring and controlling human; it is also a
relationship management. Relationships which is well take care and nurturing may be
translated into loyalty, engagement and trust, thus create higher level of productivity
for the organization (Theresa, 2003). For example, the company listed in Fortune
Magazine’s “100 Best Companies to Work For” – Adobe Systems offers frequent job
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Human Resource Management– Individual Coursework
rotations and Friday night beer bashes to improve employee relationship. Good
Many researchers have identified their best SHRM model that can support business
(1995) asserts that a successful organization should employ these six HR practices.
Ericksen et al. (2004) developed a behavioral model of SHRM by taking a closer look
suggesting that ROEBs and REHRS is likely more beneficial for firm pursing
There are other similarly SHRM model been introduce which has summarized in
Figure 4. Apparently, the models are vary from study to study. However, best
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Human Resource Management– Individual Coursework
SHRM model may be differs between companies depending on factors such as type of
Authority, 2008).
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Human Resource Management– Individual Coursework
Sear, Roebuck, and Company is a leading retailer offers wide range of home
merchandise, apparel and automotive products and services throughout the United
States and Canada. In early of 1996, Arthur Martinez, CEO of Sears recognizes that
the company needs to re-organize and his people need to be re-educate in order to
remain competitive advantage in market share. Thus Sears developed “three Cs”
The first and most important step in HR function to facilitate the implementation of
3Cs is to create awareness of corporate mission, vision and goals to all level of
be carry out on quarterly and annual basic. Measurement indicator for compelling
place to work is on employee associates’ satisfaction on the company and job; while
Compelling place to invest measure on revenue growth, operating margin and ROI.
to all level of employee. This development significantly has motivated the employees’
attention also will be provided to ensure employee accountable for their behavior in
order to achieve 3Cs. Beside that, Learning Maps used to reinforce the economy
literacy on Sears’ strategy, mission and performance which helps to promoting self-
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Sears is introducing educational programs in Sear University to foster and develop the
abilities of individuals who play a prominent role in the company’s future. Sear
University offered extensive list of courses which integrated 3Cs and 12 leadership
dimensions to transmit its culture and strategy to the new and continuing workforce.
Sears also like many other organizations recognized the importance of performance
the company, Sears has reviewed and increased the percentage of incentive
system and extensive of structured interview for development and deployment. There
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Human Resource Management– Individual Coursework
furniture and equipment, as well as modern furniture for home. HMI has been
recognized as the "100 Best Companies to Work for in America" in the year of 2010,
HMI has adopted “Open Book Management” which creates employee ownership by
encouraging employee participation in decision making then share the financial gains
when goals are met. Therefore, HMI implemented Economic Value Added (EVA) to
update ongoing financial condition of the business throughout the organization. The
and provide development and training required which helps to built employee
create economic and customer value at HMI. Moreover, business literacy training on
EVA and meeting such as Monthly Business Exchange (MBX) will be held frequently
making. Thus, participation has becomes an obligation and opportunities for everyone
in HMI.
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HR has adopted ESOP and instituted the Scanlon Plan by giving company stock or
Plan by paying generous severance allowances for employees in the event of a hostile
takeover.
Employee Orientation Program and set a series of “nested objective” for each
employee to create awareness of corporate strategy and goals which to help all
employees working towards the same goal and to have greatest impact on firm’s EVA.
Furthermore, HR has improving Electronic Data System (EDS) by using EVA system
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Human Resource Management– Individual Coursework
involves each employees staying informed the progress of 3Cs and related
HMI is strongly believes that relationship management is needed for their business to
succeed and remain competitive as the business landscape continues to evolve and
among employees.
Figure 5 is a detailed comparison of SHRM between Sear and HMI using SHRM
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(This part of report is solely used for academic purposes only and it should not be
to S Group manufacturing plants locally and aboard. The services included a complete
optimum load and cost efficient. SSCS are committed to their mission for timely
delivery, value added and quality services while sharing expertise and resources with
S Group has announced and engaged immediate restructuring and other cost cutting
important role for the restructuring to streamlining the workforce through work
group communicating corporate goals and strategy base on workplace, customer and
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SSCS encourage personal growth through on on-job training (OJT) and various
approaches of training such as e-learning which aimed at enhancing abilities and skill
workforce, whereby OJT is designed and being delivered at the optimum time so that
Ethical business conduct and compliance with laws and regulations are fundamental
of corporate culture. The code of conduct (COC) sets out the policies concerning on
respect for human rights, safety of products and services, environmental conservation
and information disclosure. Periodically education and training sessions provided and
HR also has successfully drive lean thinking through the organization. For SSCS, the
employee participant and involvement in Kaizen activities has become a norm. This
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compensation system which linked closely with corporate goals. HR has established
SSCS also undertakes a variety of activities concerning employees’ health and safety,
social contribution, and ethical business practices to create a workplace that inspires
employees.
shown in Figure 6.
in long-run.
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Human Resource Management– Individual Coursework
The company goals and financial performance is lagging indicator, informative about
S group throughout the firm, but providing little information about the contribution of
SSCS to the group. It is important for SSCS to develop a conceptual model of firm
Sears was able to establish this inter-relationship and has successfully demonstrated
Surely, the adoption of OJT approaches and e-learning system to train a new
employee is a best choice for the organization. However, the desired outcome is
simply to enhance skill and ensure the employee knows how to do their job, with no
personal development. Furthermore, the trainer may pass on sloppy work habits or
Improper OJT may cause the employee feel heavy workload due to incompetent to
perform in multitasking job. This may be the root cause of 7% employee turnover in
2009 which create also additional cost during the administration of the resignation, as
training needs assessment and ask the employee themselves what skill they would like
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to develop. Another approach is to build the training opportunity into the employee’s
performance development plan. The positive outcome of the training shall allow the
position and function and blending of both technical and personal enhancement.
c) Work-life balance
Based on the review, high performance work system (HPWS) in SSCSM generally
However, the job intensity, stressors and excessively long working hours arising from
balance will offer employers the competitive business edge in attracting and retaining
family leave, flexible work arrangement and supportive child care program. In today’s
labour market, flexible work arrangements is crucial for every employee to allow for
young people to study; parents to have time with children; and everyone to maintain
In a workforce that highly diverse today, SSCS may require greater customization of
employment relationship to gain power in job market. HCRM approach can help the
identified by Berry et al (2004) – noticing, remember and learn what its employee
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doing and act on what it has learned can make value added. Firstly, the management
team required to be trained to observe and listen to employees’ unfulfilled need; and
employment experience. Then, all employee information such as work histories, skill
assessments, career aspiration, reward preference and so forth shall be stored in one
Thus HR can make decision and take necessary based on scientific workforce
analyses with information collected. Finally, SSCS can use HCRM to transform all
information from employee into action plan such as retirement and health care
activities initiated through HCRM compare with conventional one-size fit all
It is the cumulative result of efforts by each and every employee for SSCS to continue
growing and evolving as a company that is esteemed by society. The company shall
recognize the need to enhance employee awareness, skill and capabilities. Going
forward, each employee shall take initiative to accountable for his or her own action
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5.0 Conclusion
Take away my people, but leave my factories, and soon grass will grow on the factory floors.
Take away my factories, but leave my people, and soon we will have a new and better factory.
Andrew Carnegie
competitive results for the organization. This study has analyzed various SHRM
practices by different authors, apparently they are working towards the same goals to
produce the employee competencies and behaviors that the company needs to achieve
its strategy goals. In conclusion, there is absent of unifying framework for SHRM
competitive environment (Patrick et. Al., 1997). The desired outcome of SHRM
and communication; thus maximize the potential of workforce and creating a place
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APPENDIX
Figure 1
Figure 2
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Figure 3
Figure 4
Figure 5
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Figure 6
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Figure 7
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REFERENCE
Berry, Michael J.A., and Gordon S. Linoff (2004), Data Mining Techniques, 2 nd ed.,
Wiley Publishing
Kaushik Chaudhuri (2009), An Empirical Quest for Linkages between HPWS and
Employee Behaviors – a Perspective from the Non Managerial Employees in
Japanese Organization, World Academy of Science, Engineering and Technology 53
http://money.cnn.com/magazines/fortune/bestcompanies/2010/
http://www.hermanmiller.com/
Patric M. Wright & Scott A. Shell (1997), Toward a Unifying Framework for
Exploring Fit and Flexibility in SHRM, CARHR Working Paper Serie, WP 97-13.
Patric M. Wright, Benjamin B. Dunford & Scott A. Shell (2001), Human Resources
and the Resources Based View of the Firm, Jounal of Management, 27:701.
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