Human Resource Management 10Th Edition by Alan Nankervis Full Chapter PDF
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CONTENTS vii
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xii
1
CHAPTER
Evolution of strategic human
Gain an insight into HRM with resource management
industry quotes at the beginning of There is a global shift towards non-standard, flexible employment models, including agency work (which) is
set to become a permanent feature of the modern workplace.
each chapter. Zhang, M. M., Bartram, T., McNeil, N. and Dowling, P. J. (2015), Towards a research agenda on the
sustainable and socially-responsible management of agency workers through a flexicurity model of HRM.
Journal of Business Ethics, 127(3), p. 514.
We must pursue innovation through technology as the main contributor to our future prosperity and
happiness. The new jobs generated will allow us to compete with the world.
Williamson, R. C., Raghnaill, M. N., Douglas, K. and Sanchez, D. (2015), Technology and
Australia’s future: New technologies, and their role in Australia’s security, cultural,
democratic, social and economic systems. Melbourne: ACOLA.
HRM IN PRACTICE Source: Michel, F. (2017), Treatment plan. HRM, http://www.hrmonline.com.au, September, pp. 18–19.
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GUIDE TO THE TEXT xiii
HRM IN PRACTICE
‘Relentless focus’ leads Westpac to Beware the humble reference check Ch 6, p. 228
hit 50% women in leadership target Ch 2, p. 64
Preparing for the virtual interview Ch 6, p. 235
Job sharing – opportunities and
challenges Ch 2, p. 70 Lorna Jane receptionist job requires
physical measurements Ch 6, p. 239
FWO’s Food Precincts campaign
returns $471,904 in wages owed to Gamified induction Ch 7, p. 261
hospitality workers Ch 3, p. 91 The ‘only at Deloitte’ learning
Characteristics of employment, experience Ch 7, p. 264
Australia, August 2016 Ch 3, p. 93 Simulations in clinical teaching and
Fair Work Act 2009, s. 12 – the learning Ch 7, p. 270
dictionary Ch 3, p. 95 Energy workers get wearables for
Union no show at Commission as training Ch 7, p. 271
another agreement terminated Ch 3, p. 109 Aboriginal and Torres Strait Islander
Wage theft Ch 3, p. 112 mentoring programs Ch 7, p. 276
How to have great virtual teams Ch 5, p. 188 Injury prevention and management
at Gay’s Construction Ch 10, p. 459
Hilton named one of Australia’s best
companies for which to work Ch 5, p. 190 What does bullying in the workplace
look like? Ch 10, p. 465
Outside the box Ch 6, p. 202
Family matters Ch 10, p. 467
Indian Railways gears up for the
world’s largest recruitment drive Ch 6, p. 213 Preventing body stressing injuries Ch 10, p. 469
Outsourced recruitment: bad apples?Ch 6, p. 215 Mediation for North Sydney Council Ch 11, p. 488
Recruiters again urged to use social Core principles in negotiating Ch 11, p. 494
media cautiously Ch 6, p. 219 Cross-cultural disputes: the impact
So, you want to hire a digital native? Ch 6, p. 224 of language Ch 11, p. 502
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xiv GUIDE TO THE TEXT 22 HRM IN CONTEXT
(Amazon, Webjet.com, Facebook, Expedia.com, Google, Microsoft, Alibaba) that trade online
throughout the world.
SIHRM now encompasses SHRM in multinationals (i.e. the impact of context and culture
on SHRM); comparative HRM (i.e. comparisons of HRM theories and practices in different
countries or regions); and the management of expatriates in different countries or regions. It
also explores a broad range of employee types – short-term assignments, repatriates (employees
FEATURES WITHIN CHAPTERS returning home from international assignments, especially the diaspora from China, Vietnam
and India), third country nationals (employees from neither the home nor host countries of
operation), locals working for global corporations, and self-initiated employees (people who
choose to work overseas to advance their skills and careers).43
HRM IN PRACTICE
In essence, SIHRM is concerned with the management of global workforces, including
features such as the choice and development of global leaders and global mindsets, global
employees and global HRM systems. Accordingly, SIHRM is now linked with sub-disciplines
Ch 12, p. 540
such as knowledge management, change management, managing joint ventures and
Valuing human capital – BT’s new HRM drivers
multinational work teams, the transfer of management systems, and the management of post-
initiatives Ch 12, p. 522 merger or post-acquisition processes, in regional and global contexts.44
Banking on strategic HR system
While these kinds of jobs and work regimens require some of the same HRM activities
as those in domestic operations, they also present more complex problems, including the
The most effective ways for digitisation Ch 12, p. 541
need for more sophisticated employee skills (e.g. language and cross-cultural); additional
organisations to retain workers Ch 12, p. 526 human resource development and career plans; complicated international remuneration and
performance management schemes; and a broader range of occupational health and safety
issues (e.g. stress, fatigue, terrorism and security threats, deep vein thrombosis) and associated
family issues. International perspective 1.1 presents an apparently counterintuitive approach to
talent management in some global corporations operating in China.
through the International M&A) purchases by Chinese firms’.45 Despite a reduction in its outbound investment during
the first half of year 2017, it is forecasted that the outstanding cross-border M&A activities will
reach an aggregated volume of $278 billion in 2018, and by 2019 the amount will hit $297.1
Perspective boxes. billion. Obviously, the increasing appetite for international M&As has pushed forward China’s
strategy and outcomes on moving towards a more dynamic, inclusive and sustainable economic
globalisation process.
INTERNATIONAL PERSPECTIVE
Managing talent in cross-border What makes Indian employees stay? Ch 7, p. 257
mergers and acquisitions in China:
going global Ch 1, p. 22 Managing employee performance
across borders Ch 8, p. 322
Fathers and care Ch 2, p. 61
Industry preferences of graduates
Employment relations in China Ch 3, p. 104 changing Ch 9, p. 361
The global context Ch 4, p. 132 Who’s top of the expat salary pack in
Asia? Ch 9, p. 420
Employment opportunities in the
Middle East Ch 4, p. 143 Australian and International
Standards Ch 10, p. 472
260 HRM STRATEGIES, SYSTEMS AND PROCESSES
practitioner with the Professional a checklist compels the manager and the HR manager to pay more attention to each new
employee at a time when personal attentiveness is critical to building a long-term relationship.
However, as mentioned earlier, it is important that the checklist does not become the only
Tip boxes. element, or the focus, of the induction program. The checklist is a helpful tool to assist in
ensuring that all items are covered and to keep the induction focused.
The key to successful induction is to plan and organise the induction in advance as well as
ensure staff are trained in the importance of staff induction and how to conduct the program.
Those who plan induction programs often expect new employees to immediately familiarise
PROFESSIONAL TIP themselves with all types of detailed and assorted facts about the organisation. However, while
there are many things that a new employee should know, most of them can be learnt over a
period of time and in a series of meetings. It is customary to initially provide information about
Key HRM issues Ch 1, p. 33 Key HR roles and competencies Ch 4, p. 125
matters of immediate concern, and then to ensure that a structured program follows, conducted
over days or weeks.
New employees should have a clear understanding of the job, organisational requirements
Collecting data Ch 2, p. 65 Community meetings and events
and any other important matters. The initial emphasis should be on the one-to-one or teamCh 4, p. 156
relationship necessary to give a new person a sense of belonging. During this initial period,
Understanding the Fair Work Act Key HR roles and competencies Ch 5, p. 166
the new employee is provided with a significant amount of information in order for them to
understand their role and the organisation. Many Australian firms now have this information
2009 Ch 3, p. 107 readily available on their intranet system. Induction sessions should be supplemented with a
Reviewing job descriptions Ch 5, p. 182
kit of materials that new employees can read at their leisure. The induction program does not
have to be based on endless supplies of policies and checklists. It can also be interactive and
exciting, making use of digital technology. For example, Bajaj Finserv, voted as one of the best
companies to work for in India, uses a gaming induction program, based on Formula One
racing, to teach new employees about the organisation.5
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GUIDE TO THE TEXT xv
PROFESSIONAL TIP
Key HR roles and competencies Ch 6, p. 202 Key HR roles and competencies Ch 10, p. 442
Is there any hope for the interview? Ch 6, p. 237 Who should carry out drug and
alcohol testing procedures? Ch 10, p. 471
Key HR roles and competencies Ch 7, p. 255
Analysing WHS issues Ch 10, p. 473
Use a checklist Ch 7, p. 260
Key HR roles and competencies Ch 11, p. 481
Needs analysis Ch 7, p. 266
26 HRM IN CONTEXT
Understand the changing HRM will require far more complex and contingent approaches to the structuring of organisations
and the development of appropriate work cultures than have been used formerly. New
boxes. ‘the blurring of personal and work lives’ and demand new approaches to employment contracts,
job design, office space utilisation, learning and development, and performance recording and
evaluation, to mention just a few areas.56
In response to these challenges, new forms of employee benefits and rewards have begun to
emerge, including variable leave entitlements and greater flexibility in attendance requirements
and work–life balance opportunities. As examples of these new benefits and rewards trends,
pharmaceutical company MDA provides ‘green’ bonuses to employees who choose to use public
transport or ride to work; Ernst & Young offers free personal financial planning services to its
employees; Cotton On allows staff to bring their pets to the office on specific days; Patagonia
encourages its employees to ‘go surfing’ at lunch time; Netflix and Virgin have ‘unlimited
leave’ provisions for some of their staff; and Telstra and GE employees can ‘buy out’ extra leave
weeks.57 HR specialists have a major role to play in ensuring that an organisational culture
conducive to the achievement of overall strategic objectives is developed and maintained.
The gig economy, virtual workplaces The new MOOCs: the Netflix way Ch 7, p. 278
change towards the achievement of desirable organisational objectives are broad and all-
inclusive, involving the development of an ‘HR architecture that aligns different employment
and digital disruption Ch 1, p. 26 modes, employment relationships, HR configurations and criteria for competitive advantage’.58
Is this the future of performance
Insecurity vs security Ch 3, p. 85 management? Ch 8, p. 317
Employment projections for future The future of reward management Ch 9, p. 389
Australian industry sectors and jobs Ch 4, p. 137
The future of work and WHS Ch 10, p. 446
A day in the life of 2035 Ch 5, p. 191
Conflict resolution by BOTS: humans
A résumé tracking bot Ch 6, p. 226 no longer needed Ch 11, p. 496
Unilever Ch 6, p. 242 Employers and the gig workforce Ch 12, p. 534
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4 HRM IN CONTEXT
ICONS
ASEAN Economic
Community (AEC) countries – Indonesia, Malaysia, the Philippines, Singapore, Thailand, Vietnam, Lao PDR,
A regional trade Myanmar, Cambodia and Brunei Darussalam – excluding Australia. Both developments pose
grouping of 10
ASEAN countries,
potential challenges and opportunities for HR professionals in local organisations with global
excluding Australia or regional operations.
highlight topical HRM issues Globalisation Korean peninsula, have also provided both challenges and opportunities for global business and
the management of workforces. Demographic factors such as the ageing workforces of most
throughout each chapter. developed countries (the United States, United Kingdom, Australia, Canada, New Zealand,
Singapore and in Europe), but younger workforces in emerging nations like Indonesia and
India, pose different business and SHRM challenges; as do rising education levels in many
countries and regions, combined with diverse expectations of jobs and workplaces from
different generations.
Fourth Industrial called ‘Fourth Industrial Revolution’ (FIR, or Industry 4.0) is the digital transformation in society
Revolution (FIR, EVOLUTION OF STRATEGIC HUMAN RESOURCE MANAGEMENT CHAPTER 1 41
and business that involves an interface between technologies in the physical, digital and
At the end of each chapter you’ll find several tools to help you to review, practise and extend
or Industry 4.0)
Interface between SUMMARY
biological disciplines. It involves the ‘transformation of systems of production, management
physical, digital and governance’. Emerging technologies,
field ofsuch as artificial intelligence, robotics,MANAGEMENT
machine
1
SHRM is a complex and rapidly changing practice
EVOLUTION inOF
industry.
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74 HRM IN CONTEXT
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theories and practices covered in the You have been asked to provide advice to a fellow student who works in a restaurant on weekends
lawyers,
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3 Would
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sayjobs
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3 Would you raise these issues with your fellow student, or keep them to yourself? What would you
say and do?
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xvii
MINDTAP
Premium online teaching and learning tools are available on the MindTap platform – the
personalised eLearning solution.
MindTap is a flexible and easy-to-use platform that helps build student confidence and gives you
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The Cengage Mobile App puts your course directly into students’ hands with course materials
available on their smartphone or tablet. Students can read on the go, complete practice quizzes
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MindTap for Nankervis’ Human Resources Management is full of innovative resources to support
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MindTap is a premium purchasable eLearning tool.
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INSTRUCTOR’S MANUAL
The Instructor’s Manual includes:
• learning objectives • tutorial activities
• chapter outlines • answers to case studies
• key questions • websites and readings
• sample responses to emerging issue
questions, ethical challenges and tutorial
activities
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xviii GUIDE TO THE ONLINE RESOURCES
POWERPOINT™ PRESENTATIONS
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MindTap gives you the resources you need to study – all in one place and available when you
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If your instructor has chosen MindTap for your subject this semester, log in to MindTap to:
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xix
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xx PREFACE AND AHRI ENDORSEMENT
At the global level, the volatility of political and economic environments provides
organisations across the world with new and unexpected threats and opportunities. These are
illustrated by such diverse developments as the election of President Donald Trump in the
United States and the challenges posed by North Korea; the contested withdrawal of the
United Kingdom from the European Union following the Brexit referendum; the formation
of the ASEAN Economic Community (AEC); the continuing rise of China and India; frequent
leadership changes in Australia and elsewhere, and constantly fluctuating currencies and stock
markets.
While it is difficult to predict, there are indications that HRM theories will need to
incorporate stronger environmental, social responsibility and ethical dimensions (‘green
HRM’, ‘sustainable HRM’ and ‘responsible HRM’) as communities and workers demand that
organisations respond more strategically to these global challenges. In an increasing ‘war’ for
talent, organisations that fail to respond will find it difficult to compete as employer branding in
these dimensions becomes more imperative for choosy younger workers. In many organisations,
HRM professionals are (or will become) the catalysts for such challenges. In addition, given the
monumental changes to jobs, skills and entire workplaces associated with Industry 4.0, HRM
professionals will need to focus more intensively on proactive human resource planning, global
and local environmental scanning, devolving many of their traditional functions (attraction
and retention, learning and development, performance and rewards management) to line
managers and/or outsourcing to external service providers, and using artificial intelligence or
robotic technologies to augment them. The increasing use of big data and more sophisticated
human resource information management systems (HRIMS) will become mandatory for these
purposes, as well as stronger accountability for their strategies, processes and outcomes.
The roles of HRM professionals are also likely to become more fragmented, with
emphases on functional specialists (e.g. attraction and retention consultants, reward specialists,
learning and development experts) and ‘fair work’ counsellors who monitor and enforce
compliance with legal and industrial relations regulations and processes. Such new HRM
roles may be undertaken both within organisations and externally. With respect to traditional
HRM functions, the demands of Industry 4.0 are likely to transform attraction and selection
systems via the use of chatbots, computer-aided selection processes and social media; learning
and development is likely to comprise blended, self-paced packages on demand; job and
performance management criteria may emphasise soft skills over specific technical competence
and capabilities; while, increasingly, rewards and benefits are likely to be individualised rather
than generalised, dependent on mutually agreed outcomes. Multiple (internal and external)
careers will become the norm.
The challenge for the HRM profession and its practitioners is to understand the avalanche
of forthcoming changes; to develop flexible long-, medium- and short-term strategies and plans
to accommodate them based on available data; to collaborate with line managers, outsourced
and in-sourced service providers and (where appropriate) unions in order to deliver responsive,
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PREFACE AND AHRI ENDORSEMENT xxi
responsible and cost-effective HRM systems; and to account for their effectiveness in terms
that reflect business imperatives. As Peter Wilson, National President of the Australian Human
Resources Institute (AHRI) suggests, it is important to ‘measure and reward the execution of
HRM service delivery that optimises human relationships and a more positive culture … (and)
secures a more responsible operation that safeguards brand and reputation’.3
Our goal in this 10th edition of HRM Strategy and Practice is to provide students of HRM
with the capacity to understand and act within this new context, and to become capable and
ethical HRM practitioners and leaders across the range of HRM functions.
Alan Nankervis, Marian Baird, Jane Coffey and John Shields
ENDNOTES
1 Ford, M. (2018), Architects of intelligence: The truth about artificial intelligence from the people building it. New York: Pacht Publishing.
2 Schwab, F. (2015), The Fourth Industrial Revolution:What it means and how to respond. Geneva: WEF.
3 Wilson, P. (2019), Ethics 4.0: An HR guide to shaping modern ethics. hrmonline.com.au, December/January, p. 6.
AHRI endorsement
AHRI is pleased to endorse this textbook as a key HR reference for students. The book is a
set text for the AHRI Practising Certification Program (APC), a program equivalent to AQF
8 postgraduate level. Familiarity with the 17 behaviours and capabilities set out in the AHRI
Model of Excellence (MoE) is a central part of the APC, and this updated 10th edition of the
textbook examines each of the 17 attributes of the MoE in detail. The APC is a mandatory
requirement for HR practitioners seeking AHRI certification.
The Australian Human Resources Institute (AHRI) is the national association representing
human resource and people management professionals. AHRI leads the direction and fosters
the growth of the HR profession through actively setting standards, building capability and
providing a certification credential for the profession. Through its international affiliations and
its close association with Australian industry and academia, AHRI ensures that its members
are given access to a rigorous world class professional recognition framework and professional
development opportunities. Professional, Graduate, Affiliate, Organisation and Student
memberships are available through the Institute. Find out more and how to become a member
at http://www.ahri.com.au.
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xxii
Marian Baird, AO, BEc (Hons), Grad. Dip. Ed., PhD (Sydney), is Professor of Gender and
Employment Relations, Co-Director of the Women, Work and Leadership Research Group,
and Head of the Discipline of Work and Organisational Studies at the University of Sydney
Business School. Marian is a highly recognised academic in the fields of industrial relations,
human resource management and work and family. She is the recipient of several major research
grants from funding bodies, including the Australian Research Council and state and federal
governments, to explore critical aspects of women’s working lives, the ageing workforce, and
the impact of regulatory change across the public and private sectors. She is the Co-editor
in Chief of the Journal of Industrial Relations, and has published extensively in national and
international journals. Marian has contributed to numerous government review panels on
gender equality, discrimination and parental leave.
Jane Coffey, BA (Soc.Sc.), Grad Dip., M.Comm, PhD (Perth), is a senior lecturer with the
School of Management within the Faculty of Business and Law, Curtin University. She has
held numerous positions within the faculty and university, including International Academic
Director, Deputy Head of School, Discipline Leader and Course Coordinator, HRM and
industrial relations. Throughout her academic career, she has developed, managed and taught
a range of HRM and industrial relations programs throughout Australia and South-East Asia.
Jane has actively contributed to the last four editions of this textbook. She researches and
publishes in the areas of career expectations of Generations X and Y and career attraction and
retention issues within the performing arts.
Jane also has significant corporate professional experience, having operated a highly
successful HR consultancy business prior to joining Curtin University. She specialised in
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ABOUT THE AUTHORS, CONTRIBUTORS AND ACKNOWLEDGEMENTS xxiii
providing support and advice to the public sector, and she maintains a significant consultancy
profile in this area with the university. She also conducts and facilitates workshops throughout
Australia.
Acknowledgements
The authors wish to acknowledge the long-standing contribution made by Professor
Leigh Compton to previous editions of this text. Cengage joins them in extending our
appreciation to Professor Compton whose contribution as an author over seven of the
previous editions has helped make this text a standard for presenting HRM knowledge in
the Asia Pacific region.
Our sincere gratitude and appreciation are expressed to the following colleagues who have
added inestimable value and quality to this new edition:
• Dr Ros Larkin, University of Newcastle
• Ms Ann Arnold, Australian Broadcasting Commission
• Dr Alan Montague, RMIT University
• Cec Pederson, University of Southern Queensland
• Dr Di Fan,Victoria University
• A/Prof. James Reveley, University of Wollongong
• Senior Honorary Fellow Joy Peluchette, University of Wollongong
• Louise Ingersoll, University of Western Sydney
• Julie McGowan, Whitireia New Zealand
Copyright 2020 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. WCN 02-200-202
xxiv ABOUT THE AUTHORS, CONTRIBUTORS AND ACKNOWLEDGEMENTS
• Gaby Grammeno for research and practical assistance with Chapter 10 on work, health
and safety.
• Peter Vlant and Lyle Potgieter (PeopleStreme) for providing commercial research
information on HRM evaluation, and for contributing their research to Chapter 12.
• Prikshat Verma (Australian Institute of Business, Adelaide) for research assistance.
We are immensely grateful to (in no particular order) Laura Di Iorio, James Cole and,
of course, Dorothy (‘the dinosaur’) Chiu, of Cengage, for their continuing encouragement,
support, professionalism and maintenance of strict deadlines.
Cengage and the authors would like to thank the following reviewers for their incisive and
helpful feedback:
• Fiona Edgar – University of Otago
• Youqing Fan – Western Sydney University
• Jane Jones – Flinders University
• Sarah Kim – RMIT University
• Malliga Marimuthu – Charles Darwin University
• Michael Muchiri – RMIT University
• Leigh-ann Onnis – James Cook University
• Geoff Plimmer – Victoria University of Wellington
• Ancy Ramasamy – Victoria University
• Shuang Ren – Deakin University
• Beth Tootell – Massey University
• Richa Vinod – Murdoch University
Every effort has been made to trace and acknowledge copyright. However, if any infringement
has occurred, the publishers tender their apologies and invite the copyright holders to contact
them.
Copyright 2020 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. WCN 02-200-202
1
Copyright 2020 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. WCN 02-200-202
2
1
CHAPTER
Evolution of strategic human
resource management
There is a global shift towards non-standard, flexible employment models, including agency work (which) is
set to become a permanent feature of the modern workplace.
Zhang, M. M., Bartram, T., McNeil, N. and Dowling, P. J. (2015), Towards a research agenda on the
sustainable and socially-responsible management of agency workers through a flexicurity model of HRM.
Journal of Business Ethics, 127(3), p. 514.
We must pursue innovation through technology as the main contributor to our future prosperity and
happiness. The new jobs generated will allow us to compete with the world.
Williamson, R. C., Raghnaill, M. N., Douglas, K. and Sanchez, D. (2015), Technology and
Australia’s future: New technologies, and their role in Australia’s security, cultural,
democratic, social and economic systems. Melbourne: ACOLA.
OBJECTIVES
After reading this chapter, you will be able to:
1 explain the development and 4 appreciate the critiques of SHRM
concepts of strategic human resource 5 describe the principal roles, functions
management (SHRM) and ethical principles of SHRM
2 understand the relationship between professionals
business strategies and HRM strategies, 6 understand the SHRM model and
processes and functions in the context framework used throughout this text.
of a dynamic global environment
3 understand the principles behind
international human resource
management
Emerging issues
1 Globalisation 3 Employability
2 New technology – the Fourth Industrial 4 SHRM theories and new models
Revolution 5 HR ethics
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EVOLUTION OF STRATEGIC HUMAN RESOURCE MANAGEMENT CHAPTER 1 3
INTRODUCTION
Organisations exist for a variety of purposes. Some produce goods for local or overseas
consumption while others provide necessary services for profit or community benefit.
In pursuit of their objectives, all organisations rely on the availability and effectiveness
of several kinds of resources, which (for the sake of simplification) can be divided into
finance, technology and people. Some organisations emphasise their financial resources
(banks, credit unions, stockbroking companies), others rely on the sophistication of
their technology (telecommunications, manufacturing, information technology), while
the growing services sector throughout the world depends heavily on the quality of its
employees – its human resources.
Regardless of the particular resource emphasis in an industry, the human resource is almost
always the key ingredient for organisational success. People design, operate and repair the
technology, people control the financial resources, and people manage other people in all
organisations. Compared with technological or financial resources, human resources are the
most unpredictable – because of their complex blend of rational and emotional characteristics –
and often the largest ongoing cost factor in any organisation; they may also be regarded as
its most valuable asset. It is therefore crucial that people are managed effectively, equitably
and ethically, and that their personal and work needs are satisfied, if organisational objectives
are to be achieved. The next sections of this chapter briefly explain four important external
challenges facing the management of employees as human resources in the modern world of
work: globalisation, political and demographic factors, new technologies, and work-readiness
(or ‘employability’) issues. These issues are discussed in more detail in Chapter 2, and their
implications for human resource management (HRM) strategies and processes are included in
all subsequent chapters.
Globalisation globalisation
The expansion
of organisational
A number of developments have begun to transform the nature of jobs and the workplaces in operations across
which they are performed. Globalisation, or the growing interconnectedness of economies across national, regional
and global
the world, is perhaps the most significant and enduring of these challenges. On the positive boundaries, with its
side, globalisation has broadened the markets for Australian and regional businesses, reshaped associated financial,
labour markets and, with the aid of enhanced information technology and telecommunications marketing,
operational and
systems, begun to fashion new kinds of jobs, new forms of workplaces and, increasingly, more HRM implications
innovative approaches to all human resource management (HRM) processes. Less positively, the human resource
economic interconnectedness of countries, coupled with the unethical behaviour of some management
(HRM)
senior managers in many industries, has contributed significantly to serious global financial The management
difficulties, currency fluctuations and continuing major economic problems in many countries. of employees for
their own benefit
Such events have resulted in the demise of many businesses; more active intervention of and for their
governments in the re-regulation of industries; and associated changes in HRM strategies, organisations
Copyright 2020 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. WCN 02-200-202
4 HRM IN CONTEXT
including major revisions to staffing, performance management, executive pay systems, human
resource development, rewards and career development programs.
Two recent developments are likely to significantly affect labour markets in Australia and
Trans-Pacific
Partnership (TPP2)
the Asia Pacific. First, the revised Trans-Pacific Partnership (TPP2), a grouping of 11 countries
A free trade (Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru,
agreement Singapore and Vietnam – see https://dfat.gov.au/trade/agreements/in-force/cptpp/Pages/
between 11 Pacific
Rim countries, comprehensive-and-progressive-agreement-for-trans-pacific-partnership.aspx) – excluding the
excluding the United States; and second, the formation of the ASEAN Economic Community (AEC), which aims
United States
to facilitate trade and labour mobility across the region. Members of the AEC include 10
ASEAN Economic
Community (AEC) countries – Indonesia, Malaysia, the Philippines, Singapore, Thailand, Vietnam, Lao PDR,
A regional trade Myanmar, Cambodia and Brunei Darussalam – excluding Australia. Both developments pose
grouping of 10
ASEAN countries,
potential challenges and opportunities for HR professionals in local organisations with global
excluding Australia or regional operations.
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EVOLUTION OF STRATEGIC HUMAN RESOURCE MANAGEMENT CHAPTER 1 5
Other experts are less sanguine, predicting that between 20 and 60 per cent of all current jobs
are likely to be replaced, or at least seriously modified, due to the FIR. Whichever prediction
is correct, it will be the key responsibility of SHRM professionals to ensure the optimal use of
human resources to meet both organisational and employee needs; and the outcome of the FIR Emerging issue 2
will have significant effects on all SHRM functions; for example, HR planning, work and job New technology
– the Fourth
design, talent attraction and retention, learning and development, performance management, Industrial
rewards, remuneration and career development.These issues are discussed in considerable detail Revolution
throughout this book. work-readiness
(employability)
Work-readiness (or ‘employability’) Perceived gaps
between employers’
The following section considers the last important challenge facing many workplaces and their skills requirements
HR professionals – namely, graduate work-readiness (or ‘employability’), expressed as a perceived and potential
employees’
gap between the skills required by employers and those possessed by vocational and higher competencies and
education graduates (see HRM in practice 1.1). capabilities
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6 HRM IN CONTEXT
Most, if not all, of these strategies fall into the domain of HR professionals, not only to
initiate and design the programs but also to implement them and to evaluate their contributions
to the organisation in terms of talent attraction, development and retention.6
The following section traces the origins and historical development of the field of study
and the profession, in order to understand its current and future roles and practices.
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EVOLUTION OF STRATEGIC HUMAN RESOURCE MANAGEMENT CHAPTER 1 7
Personnel management in the United Kingdom and the United States developed earlier
than in Australia and Asia Pacific countries in response to their earlier and more widespread
adoption of mass production work processes. Power-driven equipment and improved production
systems enabled products to be manufactured more cheaply than before.This process also created
many jobs that were monotonous, unhealthy or even hazardous, and led to divisions between
management and a working class. The concentration of workers in factories served to focus public
attention upon conditions of employment and forced workers to act collectively to achieve better
conditions. The humanitarian, cooperative and Marxist theories of the early 1900s highlighted
the potential conflicts between employee and employer interests in modern industry – situations
that laid the foundations for the growth of trade unionism and industrial relations systems.
Governments in both the United Kingdom and the United States became involved in
these issues and passed series of laws to regulate the hours of work for women and children,
establish minimum wages for male labour and regulations to protect workers from unhealthy or
hazardous working conditions. Australian governments, both state and federal, gradually began
to follow suit from the early 1900s, although Australia and New Zealand adopted systems based
on conciliation and arbitration rather than mandated conditions (see Chapter 3).
During this period, management theorists in the United States and United Kingdom began
to examine the nature of work and work systems, and to develop models based upon emerging
psychological and sociological research. The ways in which these theories have developed
and have been applied, by both general management and HR professionals, reflect changing
attitudes to jobs, work processes and organisational structures.The Classical School (or ‘Scientific
Management’, founded by Frederick Taylor, and best exemplified by Henry Ford in his vehicle
manufacturing plants) puts emphasis on the job itself and the efficient adaptation of workers
to work processes. The Behavioural School (e.g. Elton Mayo’s Hawthorne Studies) focuses
on workers, and the satisfaction of their needs to achieve greater organisational productivity.
Subsequent management theories (e.g. systems theory, contingency approaches) attempt to
build on earlier ideas to benefit both employees and their organisations.
Contingency, Excellence and Total Quality Management (TQM) theorists have applied
these ideas to particular industries and organisations, or to different economic and social
situations. The relevance of these theories to SHRM is twofold. First, personnel management
has historically developed into SHRM by incorporating management theories (notably strategic
management); second, a sound knowledge of these theories can assist HR professionals to more
effectively adapt their practices to organisational requirements and realities.
Copyright 2020 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. WCN 02-200-202
8 HRM IN CONTEXT
its initial emphasis on largely administrative activities, directed by senior management, and
then the move to a more confident, business-oriented and professional approach in the 1980s
and 1990s. Similar processes occurred in the United Kingdom, with emphasis on the welfare
roles of personnel practitioners because of the excesses of early capitalist industry, a strong
humanitarian movement and developing trade unionism. In Asian countries, there has been a
blend of administrative, paternalistic and cooperative, and business-focused SHRM that varies
between countries depending on their cultures, stages of development, extent of government
intervention in the economy, and industrial relations systems.
In Australia, HRM has developed through the following stages:
• Stage one (1900–1940s): welfare and administration.
• Stage two (1940s–mid-1970s): welfare, administration, staffing and training – personnel
management and industrial relations.
strategic • Stage three (mid-1970s–late 1990s): HRM and strategic human resource management
human resource (SHRM).
management
(SHRM) • Stage four (2000 onwards): SHRM into the future.
A coordinated We now describe some of the major features of each developmental stage.
and integrated
approach to HRM
which ensures that Stage one (1900–1940s): welfare and administration
HRM strategies
and processes are During this period, personnel functions were performed by supervisors, line managers and early
aligned with broad specialists (e.g. recruitment officers, trainers, welfare officers) long before the establishment of
organisational
goals and
a national association representing a profession of personnel or SHRM.The early management
strategies theorists contributed ideas that would later be incorporated into personnel management theory
and practice.Through job design, structured reward systems and ‘scientific’ selection techniques,
Scientific Management helped to refine personnel management practice in the recruitment
and placement of skilled employees. Behavioural Science (or Industrial Psychology) added
psychological testing and motivational systems, while Management Science contributed to the
development of performance management programs.
Prior to World War II, personnel management functions were largely fragmented, and often
conducted by line managers as part of their overall management responsibilities.
Functions during this period were mainly restricted to administrative areas (e.g. wage/salary
records, minor disciplinary procedures and employee welfare activities). In 1927, A. H. Martin
established the Australian Institute of Industrial Psychology at Sydney University to promote
the ideas of behavioural scientists and industrial psychologists in Australia.
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EVOLUTION OF STRATEGIC HUMAN RESOURCE MANAGEMENT CHAPTER 1 9
During World War II, not only was there a scarcity of labour for essential industries
such as munitions and food, but there was also a corresponding increase in the problems
and performance of existing employees, especially women with children. When the war
ended, returning soldiers, often with few work skills, flooded the labour market. Therefore,
employers – spurred on by government initiatives and their own postwar requirements for
skilled employees in a developing economy – began to focus on the importance of a wider
range of personnel functions.
Increased provision of welfare services for employees was seen by some employers as a
means of attracting and retaining employees and ensuring their continued productivity. The
Commonwealth Department of Labour and National Service established an Industrial Welfare
Division in the 1940s to promote the welfare function, offering emergency training courses to
equip practitioners with the necessary skills.These activities were supported by the new human
relations theories that were filtering into Australia from the United States.
In addition, Scientific Management, the Quantitative School and Behavioural Science,
contributed employee and management assessment and development techniques such
as productivity measures, management planning and control mechanisms (e.g. Drucker,
McGregor, Chandler), psychological testing and applications of the emerging employee
motivation theories (e.g. Maslow, Herzberg, McGregor).8 Many more organisations began to
employ specialists to conduct recruitment, training and welfare activities, taking these functions
away from line managers.
In 1943, the first personnel officer was appointed to the St Mary’s Munitions Filling
Factory in New South Wales, and in the same year a Personnel and Industrial Welfare Officers’
Association was established in both Victoria and New South Wales. These state associations
combined to form the national Personnel Officers’ Association in 1949, renamed the Institute
of Personnel Management Australia (IPMA) in 1954.9 Sydney Technical College and the
University of Melbourne developed personnel management courses, and later business
schools with personnel management strands were established in most Australian states during
the 1950s.
This stage was characterised by the expansion of necessary personnel functions for the
postwar Australian economy (welfare, recruitment, selection, training); a gradual move from
specialist to more general approaches; the adoption of management theories, including Scientific
Management, Behavioural Science and Human Relations; and the emergence of professional
associations and courses. The resurgence of unionism during these decades cannot, of course,
be overlooked. Unions in a buoyant economy focused on issues of pay and work conditions,
forcing further expansion of personnel activities to include industrial relations considerations.
The complex industrial relations structure at the national level was originally established by the
Commonwealth Conciliation and Arbitration Act 1904, with similar developments at each of the
state levels. They were further developed during the postwar period (see Chapter 3).
While the range of functions performed by the growing number of personnel specialists
expanded greatly during this period, they were often conducted in isolation from one another
Copyright 2020 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. WCN 02-200-202
10 HRM IN CONTEXT
and generally without any consideration of their impact on overall organisational effectiveness.
Personnel management activities were largely separated from those concerned with industrial
relations, and a clear professional philosophy did not exist.
Time and planning Short term, reactive, ad hoc, marginal Long term, proactive,
perspective strategic, integrated
Employee relations Pluralist, collective, low trust Unitarist, individual, high trust
perspective
Source: Adapted from Anon. (1987), Human resource and industrial relations, Journal of Management Studies, 24 May, p. 507.
Copyright 2020 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. WCN 02-200-202
Another random document with
no related content on Scribd:
Mutta hän oli epäonnistunut. Hän oli ollut äärimmäisen itsepäinen.
Hän oli ollut eri mieltä Bettyn kanssa ja oli vastustanut Brannonia.
Hän o|i joutunut omaksi narrikseen aikoessaan pitää muita
narrinaan. Ja nyt oli hänet pettänyt hirviö. Sillä nyt hän tiesi, että
Lattimer oli hirviö. Kun Lattimer seisoi siinä katsellen häntä, näki hän
hänen huultensa vetäytyvän hymyyn. Ja hymy näytti pohjautuvan
siihen tietoon, että Josephine oli ajatellut asiansa selväksi ja alkoi
aavistaa, että hän oli hukassa.
"Te tapoitte hänet sen — sen vuoksi?" kysyi Josephine. "Ben tunsi
teidät, hän tiesi, että ette aikonut viedä minua Laskariin.
"Näet siis, että kun en kerran voi ase kädessä saada hänestä
voittoa ja kun vihaan häntä siinä määrin kuin teen, että minun täytyy
käyttää muita keinoja musertaakseni hänet ja saadakseni hänet
harmista vääntelehtimään. Sen vuoksi, että Brannon pitää sinusta —
sen vuoksi vien sinut siis Panya Cacheen. Ja toisena syynä siihen
on se, että minä pidän itse sinusta.
Viimeinen paljastus, tullen heti sen jälkeen kuin hän oli päässyt
selvyyteen Lattimerin todellisesta luonteesta, vei kokonaan hänen
voimansa. Hän tunsi Lattimerin lujat käsivarret ympärillään ja taisteli
häntä vastaan, vaikka tiesi sen toivottomaksi. Hän kuuli hänen
puhuttelevan häntä töykeästi ja tunsi, että häntä kannettiin ja sitten
käyden epätoivon vimmalla satulan nuppiin hän tunsi nousevansa
ylöspäin.
Yhdesneljättä luku.
Musta kiiti alussa tuulena tasangon yli. Sen vauhti hiljeni vähitellen
kun se kierteli muutaman matalan kukkulan juuria, joille alkuvuorista
irtautuneita kallionlohkareita oli vierinyt sen tielle. Se kiipesi
äkkijyrkkää rinnettä taitavasti kuin kissa ja juoksi sitten vuoren
harjannetta pitkän matkaa, syöksyi saccaton-heinää kasvavalle
lakeudelle huimaavaa vauhtia, riensi taasen jyrkkää vuorenkuvetta
ylös ja poikki toisen ruohokentän saman korkean vuorenhuipun
juurella, jolta Josephine edellisenä yönä oli katsellut suureen
laaksoon.
Brannon tunsi siis tien varsin hyvin. Siitäkin huolimatta olisi hänellä
ollut sangen helppo seurata Lattimeria ja Josephineä, sillä heidän
jälkensä näkyivät selvästi matkan pehmeillä osilla.
Kahdesneljättä luku.
Tottumattomana pitkiin ratsastusmatkoihin ja lopen väsyneenä
siitä jännityksestä, minkä matkan vaarat olivat aiheuttaneet, oli
Josephinen pakko jatkaa kulkuaan. Ja ajatellessaan toivotonta
tulevaisuuttaan, itki hän lohduttomasti hevosen laskeutuessa vuoren
syrjännettä heinäiselle tasamaalle.
Ja nyt, kun hän johti hevostaan rinnettä alas, kuoli hänen toivonsa
kokonaan ja hän puhkesi itkuun. Lattimer ratsasti hänen luokseen ja
pani toisen kätensä hänen olkapäälleen.
Se oli Denver. Hän oli ilmestynyt kuin näky. Mutta Josephine tiesi,
että hän olisi saattanut ratsastaa heitä kohti tuntikausia heidän
tietämättään mitään hänestä. Sillä se, joka tahtoi kulkea salassa,
saattoi menestyksellä käyttää hyväkseen niitä kukkuloita, laaksoja,
kallioita ja syvänteitä, joita seutu oli täynnään. Ja hän tiesi myös, että
Denver ei olisi näyttäytynyt jos hän vain oli huomannut heidät,
ennenkuin hän oli varma heidän henkilöllisyydestään. Se kuului
miehen luonteenominaisuuksiin.
"Brannon!"
Kolmasneljättä luku.
Ei ollut muuta kuin yksi keino ja sitä hänen täytyi käyttää. Brannon
oli ollut hänen ystävänsä koko ajan, koettaen turhaan näyttää
hänelle kuinka mielettömät hänen puuhansa olivat ja hän oli
käyttänyt oveluutta, jotta Josephine ei olisi loukkaantunut. Josephine
ei senvuoksi saattanut uhrata Brannonia edes siten pelastuakseen
itse uhkaavasta häpeästä. Koettaen vaientaa sisässään riehuvaa
myrskyä ja epätoivoisesti pyrkien tyyneksi, jotta ei Brannon epäilisi
häntä, onnistui hänen hymyillä hänelle Mustan pysähtyessä hänen
eteensä ja Brannonin hypähtäessä satulasta.
"Oli sitä mieltä, että te teitte väärin!" kertasi Brannon. "Mitä sillä
tarkoitatte?"
Mutta hän näkikin nyt, että hän oli erehtynyt ja että Brannon ei ollut
niinkään altis jättämään häntä. Josephine tunsi, että Brannonin täytyi
epäillä hänen valehtelevan tai että hänellä oli jotakin sanomista
Lattimerille Whitmanin ampumisen johdosta — vaikka, jos kerran
Whitman eli, niin —.
Jos Brannon sen vuoksi aikoi tavata Lattimeriä, niin täytyi hänen
estää se.
"Tuletteko?"