Definition of human capital management

Topics: Human resource management, Product life cycle management, Cost Pages: 9 (1582 words) Published: November 23, 2014
Definition of human capital management
An approach to employee staffing that perceives people as assets (human capital) whose current value can be measured and whose future value can be enhance through investment Process of hiring and developing employees so that they become more valuable to the organization Includes:

1. Conducting job analyses
2. Planning personnel needs
3. Recruiting the right people for the job
4. Orienting and training
5. Managing wages and salaries
6. Providing benefit and incentives
7. Evaluating performance
8. Resolving disputes
9. Communicating with all employees at all levels
Core qualities for Human Resource Management:
1. Extensive knowledge of the industry
2. Leadership
3. Effective negotiation skills
Role of Human Resource Manager
A human resource manager has 2 basic functions:
1. Overseeing department functions
2. Managing employees
1. Employee relations
Human resource manager has ultimate responsibility for preserving employer-employee relationship through designing an effective employee relations strategy: a. Contains specific steps for ensuring the overall well-being of employees b. Ensure that employees have a safe working environment, free from discrimination and harassment

Human resource managers for small business conduct:
a. Workplace investigations
b. Resolve employee complaints
May also be the primary contact for legal counsel in risk mitigation activities and litigation pertaining to employee relations matters Example:
a. Examining current workplace policies
b. Providing training to employees and managers on those policies to minimize the frequency of employee complaints due to misinterpretation or misunderstanding of company policies 2. Recruitment and selection

Primary responsible for decision related to corporate branding as it relates to recruiting and retaining talented employees. For example
a. HR manager in a health care firm might use knowledge about nursing shortages to develop strategy for employee retention, or maintaining current staffing levels. b. The strategy might include developing an incentive program for nurses or providing nurses with cross-training so that they can become certified in different specialties to become more valuable to the organization. Corporate branding (relates to recruitment and retention) means promoting the company as an employer of choice. HR Manager responsible for corporate branding usually look at the recruitment and selection process, and also compensation and benefit to find ways to appeal to highly qualified applicants

3. Training and development
Include new hire orientation, leadership training and professional development seminars and workshops HR managers oversee needs assessment to determine when training is necessary and type of training necessary to improve performance and productivity HR managers responsible for conducting needs assessment, have a hands-on role in evaluating overall employee performance to decide if the workforce would benefit from addition training and orientation Example : examine employee performance records to identify areas where employees could improve through job skills training or employee development (such as seminar or workshops on leadership techniques) Play an integral role in implementing employee development strategy and succession planning based on training & professional development HR manager responsible for succession planning use their knowledge of employee development, training and future business needs to advise career tracks for employees

Product life cycle
A business analysis that attempts to identify a set of common stages in the life of commercial products Used to map the lifespan of the product such as the stages through which a product goes during its lifespan Stages in product life cycle:

Introduction stage (most expensive for company)
Stage where a new product is first made available in the market Customers are few,...
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • Human Capital Management Essay
  • Human Capital Essay
  • Human Capital Management Essay
  • Human Capital Management Essay
  • Human Capital Management Essay
  • The Effective Management of Human Capital Essay
  • Human Capital Management Essay
  • HUman CApital Management Essay

Become a StudyMode Member

Sign Up - It's Free