“At L’Oreal, success starts with people. Our people are our most precious asset. Respect for people, their ideas and differences, is the only path to our sustainable long-term growth.”

Defined

• Human Resource Management is a strategic, integrated and coherent approach to the employment, development and well-being of the people working in organizations(Armstrong, 2009).
• Human Resource Management involves all management decisions and action that affect the nature of the relationship between the organization and its employees –its human resources (Beer et al., 1984).
• Human Resource Management is the management of work and people towards desired ends (Boxall et al., 2007).
• Human Resource Management is concerned with how organizations manage their workforce (Grimshaw& Rubery, 2007).

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Why is Human Resource Management Important?
Human Resource Management is important for three key reasons:
a.Source of Competitive Advantage: People-oriented HR gives an organization an edge by creating superior shareholder value.
b.Human Resource Management is Strategic: Human Resource Management is an important part of organizational strategies. People must be treated as partners, not avoidable costs.
c.Impact on Organizational Performance: Various work practices affect organizational performance. High-performance work practices include: decentralized decision making, open communication, extensive employee involvement and performance-based compensation.
a.Economy
b.Employee labour unions
c.Legal environment
d.Demographic trends

Human Resource Planning: Process by which managers ensure that they have the right number and kinds of capable people in the right places and at the right times. It involves: Assessing current human resources, and Meeting future HR needs.

Recruitment & Decruitment: Locating, identifying, and attracting capable applicants; reducing an organization’s workforce when there is surplus [firing, layoffs, attrition, job sharing, early retirement].
Selection: Screening job applicants to ensure that the most appropriate candidates are hired. [selection decisions … validity & reliability of selection devices … selection tools (application forms, written tests, interviews, background investigations, physical examinations, performance-simulation tests)]

Orientation: Introducing a new employee to his or her job and the organization. [work unit & organization orientation]
Employee Training: [types:general & specific] [methods:on-the-job, job rotation, mentoring & coaching, classroom lectures]
Performance Management System: Performance standards used to evaluate employee performance.
Compensation and Benefits: [Skill-based pay: A pay system that rewards employees for the job skills they can demonstrate;

Variable pay: A pay system in which an individual’s compensation is contingent on performance]

Managing Downsizing
 
Downsizing or layoffs is the planned elimination of jobs in an organization.
Managing Sexual Harassment
Any unwanted action or activity of a sexual nature that explicitly or implicitly affects an individual’s employment, performance or work environment. [Quid pro quo & hostile work environment]
Managing Work-Life Balance

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