Fundamentals of Human Resource Management Gary Dessler Third Edition (cid:39)(cid:86)(cid:79)(cid:69)(cid:66)(cid:78)(cid:70)(cid:79)(cid:85)(cid:66)(cid:77)(cid:84)(cid:1)(cid:80)(cid:71) (cid:41)(cid:86)(cid:78)(cid:66)(cid:79)(cid:1)(cid:51)(cid:70)(cid:84)(cid:80)(cid:86)(cid:83)(cid:68)(cid:70)(cid:1)(cid:46)(cid:66)(cid:79)(cid:66)(cid:72)(cid:70)(cid:78)(cid:70)(cid:79)(cid:85) (cid:40)(cid:66)(cid:83)(cid:90)(cid:1)(cid:37)(cid:70)(cid:84)(cid:84)(cid:77)(cid:70)(cid:83) (cid:53)(cid:73)(cid:74)(cid:83)(cid:69)(cid:1)(cid:38)(cid:69)(cid:74)(cid:85)(cid:74)(cid:80)(cid:79) Pearson Education Limited Edinburgh Gate Harlow Essex CM20 2JE England and Associated Companies throughout the world Visit us on the World Wide Web at: www.pearsoned.co.uk © Pearson Education Limited 2014 All rights reserved. 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The use of any trademark in this text does not vest in the author or publisher any trademark ownership rights in such (cid:87)(cid:85)(cid:68)(cid:71)(cid:72)(cid:80)(cid:68)(cid:85)(cid:78)(cid:86)(cid:15)(cid:3)(cid:81)(cid:82)(cid:85)(cid:3)(cid:71)(cid:82)(cid:72)(cid:86)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:88)(cid:86)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:86)(cid:88)(cid:70)(cid:75)(cid:3)(cid:87)(cid:85)(cid:68)(cid:71)(cid:72)(cid:80)(cid:68)(cid:85)(cid:78)(cid:86)(cid:3)(cid:76)(cid:80)(cid:83)(cid:79)(cid:92)(cid:3)(cid:68)(cid:81)(cid:92)(cid:3)(cid:68)(cid:73)(cid:191) liation with or endorsement of this book by such owners. (cid:44)(cid:54)(cid:37)(cid:49)(cid:3)(cid:20)(cid:19)(cid:29)(cid:3)(cid:20)(cid:16)(cid:21)(cid:28)(cid:21)(cid:16)(cid:19)(cid:21)(cid:22)(cid:26)(cid:19)(cid:16)(cid:27) (cid:44)(cid:54)(cid:37)(cid:49)(cid:3)(cid:20)(cid:22)(cid:29)(cid:3)(cid:28)(cid:26)(cid:27)(cid:16)(cid:20)(cid:16)(cid:21)(cid:28)(cid:21)(cid:16)(cid:19)(cid:21)(cid:22)(cid:26)(cid:19)(cid:16)(cid:19) British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library Printed in the United States of America P E A R S O N C U S T O M L I B R A R Y Table of Contents (cid:18)(cid:15)(cid:1)(cid:46)(cid:66)(cid:79)(cid:66)(cid:72)(cid:74)(cid:79)(cid:72)(cid:1)(cid:41)(cid:86)(cid:78)(cid:66)(cid:79)(cid:1)(cid:51)(cid:70)(cid:84)(cid:80)(cid:86)(cid:83)(cid:68)(cid:70)(cid:84)(cid:1)(cid:53)(cid:80)(cid:69)(cid:66)(cid:90) Gary Dessler 1 (cid:19)(cid:15)(cid:1)(cid:46)(cid:66)(cid:79)(cid:66)(cid:72)(cid:74)(cid:79)(cid:72)(cid:1)(cid:38)(cid:82)(cid:86)(cid:66)(cid:77)(cid:1)(cid:48)(cid:81)(cid:81)(cid:80)(cid:83)(cid:85)(cid:86)(cid:79)(cid:74)(cid:85)(cid:90)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:37)(cid:74)(cid:87)(cid:70)(cid:83)(cid:84)(cid:74)(cid:85)(cid:90) Gary Dessler 21 (cid:20)(cid:15)(cid:1)(cid:41)(cid:86)(cid:78)(cid:66)(cid:79)(cid:1)(cid:51)(cid:70)(cid:84)(cid:80)(cid:86)(cid:83)(cid:68)(cid:70)(cid:1)(cid:52)(cid:85)(cid:83)(cid:66)(cid:85)(cid:70)(cid:72)(cid:90)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:34)(cid:79)(cid:66)(cid:77)(cid:90)(cid:84)(cid:74)(cid:84) Gary Dessler 51 (cid:21)(cid:15)(cid:1)(cid:43)(cid:80)(cid:67)(cid:1)(cid:34)(cid:79)(cid:66)(cid:77)(cid:90)(cid:84)(cid:74)(cid:84)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:53)(cid:66)(cid:77)(cid:70)(cid:79)(cid:85)(cid:1)(cid:46)(cid:66)(cid:79)(cid:66)(cid:72)(cid:70)(cid:78)(cid:70)(cid:79)(cid:85) Gary Dessler 77 (cid:22)(cid:15)(cid:1)(cid:49)(cid:70)(cid:83)(cid:84)(cid:80)(cid:79)(cid:79)(cid:70)(cid:77)(cid:1)(cid:49)(cid:77)(cid:66)(cid:79)(cid:79)(cid:74)(cid:79)(cid:72)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:51)(cid:70)(cid:68)(cid:83)(cid:86)(cid:74)(cid:85)(cid:74)(cid:79)(cid:72) Gary Dessler 107 (cid:23)(cid:15)(cid:1)(cid:52)(cid:70)(cid:77)(cid:70)(cid:68)(cid:85)(cid:74)(cid:79)(cid:72)(cid:1)(cid:38)(cid:78)(cid:81)(cid:77)(cid:80)(cid:90)(cid:70)(cid:70)(cid:84) Gary Dessler 143 (cid:24)(cid:15)(cid:1)(cid:53)(cid:83)(cid:66)(cid:74)(cid:79)(cid:74)(cid:79)(cid:72)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:37)(cid:70)(cid:87)(cid:70)(cid:77)(cid:80)(cid:81)(cid:74)(cid:79)(cid:72)(cid:1)(cid:38)(cid:78)(cid:81)(cid:77)(cid:80)(cid:90)(cid:70)(cid:70)(cid:84) Gary Dessler 183 (cid:25)(cid:15)(cid:1)(cid:49)(cid:70)(cid:83)(cid:71)(cid:80)(cid:83)(cid:78)(cid:66)(cid:79)(cid:68)(cid:70)(cid:1)(cid:46)(cid:66)(cid:79)(cid:66)(cid:72)(cid:70)(cid:78)(cid:70)(cid:79)(cid:85)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:34)(cid:81)(cid:81)(cid:83)(cid:66)(cid:74)(cid:84)(cid:66)(cid:77) Gary Dessler 215 (cid:26)(cid:15)(cid:1)(cid:46)(cid:66)(cid:79)(cid:66)(cid:72)(cid:74)(cid:79)(cid:72)(cid:1)(cid:38)(cid:78)(cid:81)(cid:77)(cid:80)(cid:90)(cid:70)(cid:70)(cid:1)(cid:51)(cid:70)(cid:85)(cid:70)(cid:79)(cid:85)(cid:74)(cid:80)(cid:79)(cid:13)(cid:1)(cid:38)(cid:79)(cid:72)(cid:66)(cid:72)(cid:70)(cid:78)(cid:70)(cid:79)(cid:85)(cid:13)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:36)(cid:66)(cid:83)(cid:70)(cid:70)(cid:83)(cid:84) Gary Dessler 241 (cid:18)(cid:17)(cid:15)(cid:1)(cid:37)(cid:70)(cid:87)(cid:70)(cid:77)(cid:80)(cid:81)(cid:74)(cid:79)(cid:72)(cid:1)(cid:36)(cid:80)(cid:78)(cid:81)(cid:70)(cid:79)(cid:84)(cid:66)(cid:85)(cid:74)(cid:80)(cid:79)(cid:1)(cid:49)(cid:77)(cid:66)(cid:79)(cid:84) Gary Dessler 273 (cid:18)(cid:18)(cid:15)(cid:1)(cid:49)(cid:66)(cid:90)(cid:1)(cid:71)(cid:80)(cid:83)(cid:1)(cid:49)(cid:70)(cid:83)(cid:71)(cid:80)(cid:83)(cid:78)(cid:66)(cid:79)(cid:68)(cid:70)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:38)(cid:78)(cid:81)(cid:77)(cid:80)(cid:90)(cid:70)(cid:70)(cid:1)(cid:35)(cid:70)(cid:79)(cid:70)(cid:71)(cid:74)(cid:85)(cid:84) Gary Dessler 307 (cid:18)(cid:19)(cid:15)(cid:1)(cid:38)(cid:85)(cid:73)(cid:74)(cid:68)(cid:84)(cid:13)(cid:1)(cid:38)(cid:78)(cid:81)(cid:77)(cid:80)(cid:90)(cid:70)(cid:70)(cid:1)(cid:51)(cid:70)(cid:77)(cid:66)(cid:85)(cid:74)(cid:80)(cid:79)(cid:84)(cid:13)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:39)(cid:66)(cid:74)(cid:83)(cid:1)(cid:53)(cid:83)(cid:70)(cid:66)(cid:85)(cid:78)(cid:70)(cid:79)(cid:85)(cid:1)(cid:66)(cid:85)(cid:1)(cid:56)(cid:80)(cid:83)(cid:76) Gary Dessler 343 (cid:18)(cid:20)(cid:15)(cid:1)(cid:56)(cid:80)(cid:83)(cid:76)(cid:74)(cid:79)(cid:72)(cid:1)(cid:88)(cid:74)(cid:85)(cid:73)(cid:1)(cid:54)(cid:79)(cid:74)(cid:80)(cid:79)(cid:84)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:51)(cid:70)(cid:84)(cid:80)(cid:77)(cid:87)(cid:74)(cid:79)(cid:72)(cid:1)(cid:37)(cid:74)(cid:84)(cid:81)(cid:86)(cid:85)(cid:70)(cid:84) Gary Dessler 369 (cid:44) (cid:18)(cid:21)(cid:15)(cid:1)(cid:42)(cid:78)(cid:81)(cid:83)(cid:80)(cid:87)(cid:74)(cid:79)(cid:72)(cid:1)(cid:48)(cid:68)(cid:68)(cid:86)(cid:81)(cid:66)(cid:85)(cid:74)(cid:80)(cid:79)(cid:66)(cid:77)(cid:1)(cid:52)(cid:66)(cid:71)(cid:70)(cid:85)(cid:90)(cid:13)(cid:1)(cid:41)(cid:70)(cid:66)(cid:77)(cid:85)(cid:73)(cid:13)(cid:1)(cid:66)(cid:79)(cid:69)(cid:1)(cid:51)(cid:74)(cid:84)(cid:76)(cid:1)(cid:46)(cid:66)(cid:79)(cid:66)(cid:72)(cid:70)(cid:78)(cid:70)(cid:79)(cid:85) Gary Dessler 401 (cid:46)(cid:80)(cid:69)(cid:86)(cid:77)(cid:70)(cid:27)(cid:1)(cid:46)(cid:66)(cid:79)(cid:66)(cid:72)(cid:74)(cid:79)(cid:72)(cid:1)(cid:41)(cid:51)(cid:1)(cid:40)(cid:77)(cid:80)(cid:67)(cid:66)(cid:77)(cid:77)(cid:90) Gary Dessler 439 (cid:40)(cid:77)(cid:80)(cid:84)(cid:84)(cid:66)(cid:83)(cid:90) Gary Dessler 459 (cid:42)(cid:79)(cid:69)(cid:70)(cid:89) 469 (cid:44)(cid:44) Managing Human Resources Today OVERVIEW: WHAT IS HUMAN RESOURCE MANAGEMENT? In this chapter, THE TRENDS SHAPING HUMAN RESOURCE MANAGEMENT we will cover . . . WHAT DO THE NEW HUMAN RESOURCE MANAGERS DO? WHAT COMPETENCIES DO TODAY’S HUMAN RESOURCE MANAGERS NEED? MyManagementLab® Improve Your Grade! Over 10 million students improved their results using the Pearson MyLabs. Visit mymanagementlab.com for simulations, tutorials, and end-of-chapter problems. KNOWLEDGE BASE LEARNING OBJECTIVES When you finish studying this chapter, you should be able to: 1. Answer the question, “What is human resource management?” 2. Explain with at least four examples why knowing HR man- agement concepts and techniques is i mportant to any su- pervisor or manager. 3. Explain with examples what trends are influencing human resource management. 4. List, with examples, 10 things today’s HR managers do to deal with these trends and challenges. 5. Discuss some competencies HR managers need to deal with today’s trends and challenges. Source: Xuan Hui/Newscom INTRODUCTION After a worker uprising at its Foxconn iPhone assembly plant in China, Apple Inc. asked the Fair Labor Association (FLA) to survey the plant’s workers. The FLA found “tons of issues.”1 Hon Hai, the Foxconn plant’s owner, soon changed its plant human resource (HR) practices, for instance, raising salaries and cutting mandatory overtime. Apple and Hon Hai both know that the plant’s morale and productivity depend on its human resource practices. From Chapter 1 of Fundamentals of Human Resource Management, 3rd edition. Gary Dessler. Copyright © 2014 by Pearson Education, Inc. All rights reserved. (cid:20) MANAGING HUMAN RESOURCES TODAY WHAT IS HUMAN RESOURCE MANAGEMENT? LEARNING OBJECTIVE 1 Answer the question, Hon Hai’s Foxconn plant is an organization. An organization consists of people (in this “What is human resource case, people like assembly workers and managers) with formally assigned roles who work management?” together to achieve the organization’s goals. A manager is someone who is responsible for accomplishing the organization’s goals, and who does so by managing the efforts of the organization organization’s people. Most writers agree that managing involves performing five basic A group consisting of people functions: planning, organizing, staffing, leading, and controlling. In total, these functions with formally assigned roles who represent the management p rocess. Some of the specific activities involved in each func- work together to achieve the tion include: organization’s goals. ● Planning. Establishing goals and standards; developing rules and procedures; developing manager plans and forecasts. Someone who is responsible for ● Organizing. Giving each subordinate a specific task; establishing departments; delegating accomplishing the organization’s authority to subordinates; establishing channels of authority and communication; coordi- goals, and who does so by nating the work of subordinates. managing the efforts of the organization’s people. ● Staffing. Determining what type of people should be hired; recruiting prospective employ- ees; selecting employees; setting performance standards; compensating employees; evalu- managing ating performance; counseling employees; training and developing employees. To perform five basic functions: ● Leading. Getting others to get the job done; maintaining morale; motivating subordinates. planning, organizing, staffing, ● Controlling. Setting standards such as sales quotas, quality standards, or production levels; leading, and controlling. checking to see how actual performance compares with these standards; taking corrective management process action as needed. The five basic functions of In this text we will focus on one of these functions—the staffing, personnel management, or hu- planning, organizing, staffing, leading, and controlling. man resource management (HRM) function. Human resource management is the process of acquiring, training, appraising, and compensating employees, and of attending to their labor rela- human resource tions, health and safety, and fairness concerns. The topics we’ll discuss should therefore provide management (HRM) you with the concepts and techniques you’ll need to perform the “people” or personnel aspects The process of acquiring, training, of management. These include: appraising, and compensating employees, and of attending to ● Conducting job analyses (determining the nature of each employee’s job). their labor relations, health and ● Planning labor needs and recruiting job candidates. safety, and fairness concerns. ● Selecting job candidates. ● Orienting and training new employees. ● Managing wages and salaries (compensating employees). ● Providing incentives and benefits. ● Appraising performance. ● Communicating (interviewing, counseling, disciplining). ● Training employees, and developing managers. ● Building employee commitment. And what a manager should know about: ● Equal opportunity and affirmative action. ● Employee health and safety. ● Handling grievances and labor relations. Why Is Human Resource Management Important to all Managers? LEARNING OBJECTIVE 2 Perhaps it’s easier to answer this by listing some of the personnel mistakes you don’t want to Explain with at least make while managing. For example, you don’t want four examples why knowing HR management ● To have your employees not doing their best. concepts and techniques ● To hire the wrong person for the job. is important to any ● To experience high turnover. supervisor or manager. ● To have your company in court due to your discriminatory actions. ● To have your company cited for unsafe practices. ● To let a lack of training undermine your department’s effectiveness. ● To commit any unfair labor practices. (cid:21) MANAGING HUMAN RESOURCES TODAY IMPROVED PERFORMANCE Carefully studying this text can help you avoid mistakes like these. More important, it can help ensure that you get results—through people. Remember that you could do everything else right as a manager—lay brilliant plans, draw clear organization charts, set up modern assembly lines, and use sophisticated accounting controls—but still fail, for instance, by hiring the wrong people or by not motivating subordinates. On the other hand, many managers—from generals to presidents to supervisors—have been successful even without adequate plans, organizations, or controls. They were successful because they had the knack for hiring the right people for the right jobs and then motivating, appraising, and developing them. Remember as you read this text that getting results is the bot- tom line of managing and that, as a manager, you will have to get these results through people. This fact hasn’t changed from the dawn of management. As one company president summed it up: For many years it has been said that capital is the bottleneck for a developing industry. I don’t think this any longer holds true. I think it’s the workforce and the company’s in- ability to recruit and maintain a good workforce that does constitute the bottleneck for production. I don’t know of any major project backed by good ideas, vigor, and enthusiasm that has been stopped by a shortage of cash. I do know of industries whose growth has been partly stopped or hampered because they can’t maintain an efficient and enthusiastic labor force, and I think this will hold true even more in the future.2 YOU MAY SPEND TIME AS AN HR MANAGER Here is a third reason to study this text: you may well spend time as a human resource manager. For example, about a third of large U.S. businesses surveyed appointed non-HR managers to be their top human resource executives. Thus, Pearson Corporation (which publishes this text) promoted the head of one of its publishing divisions to chief human resource executive at its corporate headquarters. Why? Some think these people may be better equipped to integrate the firm’s human resource activities (such as pay policies) with the company’s strategic needs (such as by tying executives’ incentives to corporate goals).3 However most top human resource executives do have prior human resource experi- ence. About 80% of those in one survey worked their way up within HR. About 17% had the HR Certification Institute’s Senior Professional in Human Resources (SPHR) designation, and 13% were certified Professionals in Human Resources (PHR). The Society for Human Resource Management (SHRM) offers a brochure describing alternative career paths within human resource management.4 Find it at www.shrm.org/Communities/StudentPrograms/ Documents/07-0971%20Careers%20HR%20Book_final.pdf. HR FOR ENTREPRENEURS Finally, you might end up as your own human resource manager. More than half the people working in the United States today work for small firms. Small businesses as a group also account for most of the 600,000 or so new businesses created every year.5 Statistically speaking, therefore, most people graduating from college in the next few years either will work for small businesses or will create new small businesses of their own. Especially if you are managing your own small firm with no human resource manager, you’ll probably have to handle HR on your own. If so, you must be able to recruit, select, train, appraise, and reward employees. Line and Staff Aspects of HRM All managers are, in a sense, human resource managers, because they all get involved in activi- ties such as recruiting, interviewing, selecting, and training. Yet most firms also have a separate human resource department with its own human resource manager. How do the duties of this departmental HR manager and his or her staff relate to line managers’ human resource duties? Let’s answer this by starting with short definitions of line versus staff authority. Line Versus Staff Authority authority The right to make decisions, direct Authority is the right to make decisions, to direct the work of others, and to give orders. In others’ work, and give orders. management, we usually distinguish between line authority and staff authority. Line authority (cid:22) MANAGING HUMAN RESOURCES TODAY gives managers the right (or authority) to issue orders to other managers or employees. It creates a superior–subordinate relationship. Staff authority gives a manager the right (authority) to ad- line manager vise other managers or employees. It creates an advisory relationship. Line managers have line A manager who is authorized to authority. They are authorized to give orders. Staff managers have staff authority. They are au- direct the work of subordinates and thorized to assist and advise line managers. Human resource managers are staff managers. They is responsible for accomplishing the assist and advise line managers in areas like recruiting, hiring, and compensation. organization’s tasks. LINE–STAFF HR COOPERATION HR and line managers share responsibility for most human staff manager resource activities. For example, human resource and line managers in about two-thirds of A manager who assists and advises the firms in one survey shared responsibility for skills training.6 (Thus, the supervisor might line managers. describe what training she thinks the new employee needs, HR might design the training, and the supervisors might then ensure that the training is having the desired effect.) Line Managers’ Human Resource Management Responsibilities All supervisors therefore spend much of their time on personnel-type tasks. Indeed, the direct handling of people always has been an integral part of every line manager’s responsibility, from president down to the first-line supervisor. For example, one company outlines its line supervisors’ responsibilities for effective human resource management under the following general headings: 1. Placing the right person in the right job 2. Starting new employees in the organization (orientation) 3. Training employees for jobs that are new to them 4. Improving the job performance of each person 5. Gaining creative cooperation and developing smooth working relationships 6. Interpreting the company’s policies and procedures 7. Controlling labor costs 8. Developing the abilities of each person 9. Creating and maintaining departmental morale 10. Protecting employees’ health and physical conditions In small organizations, line managers may carry out all these personnel duties unassisted. But as the organization grows, line managers need the assistance, specialized knowledge, and advice of a separate human resource staff. Organizing the Human Resource Department’s Responsibilities In larger firms, the human resource department provides such specialized assistance. F igure 1 shows human resource management jobs in one organization. Typical positions include FIGURE 1 Human Resource Department Organization Chart Showing Typical HR Job Titles Source: “Human resource development organization chart showing typical HR job titles,” http://www.co.pinellas.fl.us/ persnl/pdf/orgchart.pdf. Courtesy of Pinellas County Human Resources. Reprinted with permission. (cid:23) MANAGING HUMAN RESOURCES TODAY compensation and benefits manager, employment and recruiting supervisor, training specialist, and employee relations executive. Examples of job duties include: Recruiters: Maintain contact within the community and perhaps travel extensively to search for qualified job applicants. Equal employment opportunity (EEO) representatives or affirmative action coordina- tors: Investigate and resolve EEO grievances, examine organizational practices for potential violations, and compile and submit EEO reports. Job analysts: Collect and examine detailed information about job duties to prepare job descriptions. Compensation managers: Develop compensation plans and handle the employee benefits program. Training specialists: Plan, organize, and direct training activities. Labor relations specialists: Advise management on all aspects of union–management relations. REORGANIZING THE HUMAN RESOURCE MANAGEMENT FUNCTION Many employers are also taking a new look at how they organize their human resource functions. For example, J. Randall MacDonald, IBM’s senior vice president of human resources, says the traditional human resource organization divides HR activities into separate “silos” such as recruitment, training, and employee relations. This usually means there’s no one dedicated team of human resource specialists focusing on the needs of specific groups of employees, such as engineers. MacDonald therefore took a different approach. He split IBM’s 330,000 employees into three segments for HR purposes: executive and technical, managers, and rank and file. Now separate human resource management teams (consisting of recruitment, training, and pay specialists, for instance) focus on each employee segment. Each team ensures the employees in each segment get the specialized testing, training, and rewards they require.7 You may also find other configurations.8 For example, some employers cre- ate transactional HR teams. These HR teams offer their human resource services through centralized call centers and through outside vendors (such as benefits ad- visors). They aim to provide employees with specialized support in day-to-day HR activities (such as changing benefits plans). You may also find specialized corpo- rate HR teams within a company. These focus on assisting top management in top- level issues such as developing the personnel aspects of the company’s long-term strategic plan. Embedded HR teams have HR generalists (also known as “rela- tionship managers” or “HR business partners”) assigned to functional departments like sales and production. They provide the selection and other assistance the de- partments need. Centers of expertise are basically specialized HR consulting firms within the company. For example, one center might provide specialized advice in areas such as organizational change to all the company’s various units. HR IN SMALL BUSINESSES Employers usually have about one HR professional per 100  employees. Small firms (say, those with less than 100 employees) generally don’t have the critical mass required for a full-time human J. Randall MacDonald and IBM resource manager. Their human resource management therefore tends to be “ad hoc reorganized its human resource and informal.” For example, smaller employers tend to use recruiting practices like management group to focus on newspaper ads, walk-ins, and word of mouth, rather than computerized recruitment the needs of specific groups of IBM and selection programs.9 However, that needn’t be the case. Gaining a command employees. of the techniques in this text should enable you to manage a small firm’s human Source: IBM resources more effectively. THE TRENDS SHAPING HUMAN LEARNING OBJECTIVE 3 Explain with examples RESOURCE MANAGEMENT what trends are Working cooperatively with line managers, human resource managers have long helped employ- influencing human ers do things like hire and fire employees, administer benefits, and conduct appraisals. However, resource management. the human resource manager’s job is changing. Technology is one reason for this change. For (cid:24)