Adobe Systems
AHRM/EHRM lecture - spring 2023
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Human resource management in perspective
Petr Smutný

Adobe Systems
AHRM/EHRM lecture - spring 2023
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Agenda for today
̶What is HRM and why is it important?
̶Perspective 1: STRATEGIC
̶Perspective 2: ORGANIZATIONAL
̶Perspective 2: CULTURAL and BEHAVIORAL
̶HRM for beter PERFORMANCE
̶Q & A
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AHRM/EHRM lecture - spring 2023
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What is HRM?
̶… everything associated with employment relations in an organization.
̶ personnel management vs. high performance HRM.

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AHRM/EHRM lecture - spring 2023
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Why is HRM important?
̶As an important strategic tool
̶HRM helps establish an organization’s sustainable competitive advantage.
̶As a necessary part of the organizing function of management
̶Selecting, training, and evaluating the work force
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̶Adds value to the firm
̶High performance work practices lead to both high individual and high organizational performance.
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AHRM/EHRM lecture - spring 2023
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Reality is much more complicated…
HRM is
̶just one of (many) functions of an organisation performs
̶happening within an organizational setting (organizational structures)
̶influenced by factors within an internal environment
̶facing constraints from external environment and stakeholders
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Balancing these (often contradictory) contingencies requires strategic perspective…
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AHRM/EHRM lecture - spring 2023
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Perspective 1: STRATEGIC

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Strategic management in a nutshell
Strategy = the approach selected to achieve specified goals in the future. A broad and long-term
view is taken of where the business is going.
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̶overall plan for the entire organization and its strategic business units
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̶focused on how an organization should compete in each of its SBUs (strategic business units).
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̶concerns each organizational function, and how that organizational unit or division assigned that
function will achieve its strategic objectives (a part of the business/competitive strategy).
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AHRM/EHRM lecture - spring 2023
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Strategic HRM
An approach to HRM in which
̶a broad and long-term view is taken of where the business is going
̶activities are managed in ways which ensure that this strategic thrust is maintained
̶
Goals of strategic HRM
̶Take a longer term view of where HR should be going and how to get there
̶Make sure that  integration or ‘fit’ between HR and business strategies is achieved
̶Decide how coherent and mutually supporting HR strategies should be developed and implemented
̶How members of HR function should adopt a strategic approach
̶
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Ø  to enable an organization to achieve its GOALS).

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AHRM/EHRM lecture - spring 2023
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HR strategies (defined)
HR strategies
-specify what the organization is proposing to do about people management generally or in
particular areas of HRM.
-are governed or at least influenced by the overall approach adopted to strategic HRM.

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Source: Cheese, P. (2021) The New World of Work, London, Kogan Page (p. 256)
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Strategic HRM and HR strategies
̶
Corporate strategy
People and organization strategy
HR strategy
Drives
Drives
Enables
Enables
•Business priorities
•Business needs
•
•
•
•
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•Skills and capabilities
•Leadership
•Organization and operating model
•Culture
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•
•
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•HR capabilities
•HR structure and operating model
•Practices, policies and processes
•

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AHRM/EHRM lecture - spring 2023
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General HR strategies
HR strategies (continued)
Specific HR strategies
̶describe the overall system or bundle of complementary HR practices that the organization proposes
to adopt or puts into effect in order to improve organizational performance.
̶
̶three types of general strategies are:
1.High-performance management
2.High-commitment management
3.High-involvement management
̶set out what the organization intends to do in areas such as:
•HR analytics
•knowledge management
•corporate social responsibility
•engagement
•organization development
•resourcing
•diversity and inclusion
•talent management
•learning and development
•reward
•employee relations
•employee well-being

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The need for alignment and integration
AHRM/EHRM lecture - spring 2023
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Strategies need to be implemented. Implementation is facilitated trough organizational structures…
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AHRM/EHRM lecture - spring 2023
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Perspective 2: ORGANIZATIONAL

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AHRM/EHRM lecture - spring 2023
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Organization structure
= the formal arrangement of jobs within an organization.
Organizing is a process involving decisions about six key elements:
•Work specialization
•Departmentalization
•Chain of command
•Span of control
•Centralization and decentralization
•Formalization
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Structure always follows strategy.
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AHRM/EHRM lecture - spring 2023
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Types of departmentalization
Different types of organizational strucutres…
Functional
̶by functions performed
Product
̶by product line
Geographical
̶on the basis of territory or geography
Process
̶on the basis of product or customer flow
Customer
̶by type of customer and needs

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AHRM/EHRM lecture - spring 2023
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Matrix structure
… are typically combined
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AHRM/EHRM lecture - spring 2023
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Why is it important for HRM?
It influences HRM strategies and processes.
Organizational sturcture
•Coordinates diverse organizational tasks.
•Establishes relationships among individuals, groups, and departments.
•Establishes formal lines of authority.
•Allocates and deploys organizational resources.
•
ØDifferent structures do this in different ways.
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AHRM/EHRM lecture - spring 2023
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HR strategies implementation
To ensure the effective delivery of HR strategies it necessary to
•formulate practical strategies – ones that can be readily put into effect
•involve line mangers and other employees
•communicate
•build skills
•monitor and evaluate
•manage change
•
ØThis is done with and through other people - so organizational culture matters…

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AHRM/EHRM lecture - spring 2023
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Perspective 3: CULTURAL and BEHAVIORAL

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AHRM/EHRM lecture - spring 2023
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Organisation as an iceberg

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AHRM/EHRM lecture - spring 2023
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Organisational culture defined
A system of shared meanings and common beliefs held by organizational members that determines, in a
large degree, how they act towards each other.
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„The way we do things around here.”
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AHRM/EHRM lecture - spring 2023
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Why does this matter?
It influences how people, teams and organisations behave.
What (managerial) actions the organization recognizes as proper or improper on its behalf
What (organizational) activities the organization values and encourages
The overall strength or weakness of the
organizational culture

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AHRM/EHRM lecture - spring 2023
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HRM for better PERFORMANCE

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AHRM/EHRM lecture - spring 2023
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Performance is important
HRM strategies and processes must help organizations perform better.

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AHRM/EHRM lecture -  spring 2023
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Traditional view
Measuring organizational performance
Contemporary systems
̶owners‘ perspective
̶predominantly financial metrics
-profitability
-productivity
̶more stakeholders taken into account
̶multidimensional measurement
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AHRM/EHRM lecture - spring 2023
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HRM and performance
HR metrics, measurement and analysis
̶consensus emerging
around existence of
HRM    performance link
̶
̶quantification remains difficult
-assessing costs and benefits of HR strategies
-evidence-based + data-driven decisions
-benchmarking
-systematic collection of (quantitative) data is needed

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AHRM/EHRM lecture - spring 2023
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Q & A

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AHRM/EHRM lecture - spring 2023
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Prepare for the seminar
̶read chapter 3 of the textbook:
WILTON, Nick. An introduction to human resource management. Fifth edition. Los Angeles: Sage, 2022.
ISBN 978-1-5297-5370-7.
̶available in the library – PER 430
̶available on-line through E-loans service: Holdings: An introduction to human resource management
/ (muni.cz) – click „E-loans“ on the page (university login required)
̶
̶review the lecture slides

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THANK YOU