Human
Resources
Management
Introduction to
Human Resources Management
BBA International Class
21 February 2024
Learning Objective
1.Explain what human resource
management is and how it relates to the
management process.
2.Briefly discuss and illustrate each of the
important trends influencing human
resource management.
3.Briefly describe “distributed HR” and
other important aspects of human
management today.
4.List at least four important human
resource manager competencies.
5.Outline the plan of this book.
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Faculty
Deddy Mahyarto Kresnoputro, MBA, CHRM
Deddy started his professional experience in Human Resource in HR Consulting Firm for 7 years and continue
as practitioner for Oil and Gas and Education Industry until now. With 19 years of experiences, Deddy has
become People Development Specialist while practicing as HR Generalist in his current role. Currently Deddy is
the Head of Human Capital and General Administration at IPMI International Business School. Aside from
People Development, Deddy is expert in Organization Development, HR Strategy, Recruitment and Selection,
and Corporate Social Responsibility. Deddy received his MBA degree from IPMI International Business School,
and also a Certified Human Resource Manager from BNSP.
Education Background:
•Masters of Business Administration, majoring in Human Resource from IPMI International Business School
•Bachelor of Business Administration, majoring in Human Resource from IPMI International Business School
Professional Qualifications:
•Certified Human Resources Manager by Badan Nasional Sertifikasi Profesi (BNSP/The National Professional Certification Board).
•Certified Facilitator from DDI Facilitator Skill Workshop
•Certified Behavioral Interviewer
•Certified Indonesian Manpower Regulation/Law
•Module and Training Program Developer
Working Experience:
•Head of Human Capital & General Administration, IPMI International Business School
•School Secretary, IPMI International Business School
•Business HR Manager, Sampoerna University
•Community Development Specialist, PT Donggi Senoro LNG
•Training & Development Officer, PT Donggi Senoro LNG
•Associate Consultant, PT Daya Dimensi Indonesia
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Contact & Social Media
Deddy Mahyarto Kresnoputro, MBA, CHRM
Mobile Phone: 08129169797
Email: [email protected] [email protected]
Instagram: @kura2giok
X/Twitter: @kura2giok
LinkedIn: Deddy Mahyarto Kresnoputro
Session TopicsSession
1§Introduction to HRM
§Equal Opportunity & the Law
9Establishing Strategic Pay Plans
2Human Resources Management Strategy
and Analysis
10Pay for Performance & Financial Incentives
3Job analysis & talent Management11Benefits and Services
4§Personnel Planning & Recruiting
§Employee Testing & Selection
12Building Positive Employee Relations
5Interviewing Candidates & guest lecture13Labor Relations & Collective Bargaining
6Training & Development Employees14Safety, Health and Risk Management
7§Performance Mgmt & Appraisal
§Managing Careers & Retention
15§Managing Global HR
§Managing HR in small and entrepreneurial
Firms
§Contemporary Issues in HR
§All Topics review
8MID TERM EXAM16FINAL EXAM –Group Project Presentation
Syllabus Summary
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Introduction
•The purpose of this chapter is to explain what human
resource management is, and why it’s important to all
managers. We’ll see that human resource
management activities such as hiring, training,
appraising, compensating, and developing employees
are part of every manager’s job. And we’ll see that
human resource management is also a separate
function, usually with its own human resource or “HR”
manager.
•The main topics we’ll cover here include what is human
resource management, the trends shaping human
resource management, human resource management
today, the new human resource manager, and the plan
of this book. The framework above (which introduces
each chapter) makes this point: That the firm’s HR
policies and practices should produce the employee
skills and behaviors the company needs to achieve its
strategic aims.
What is Human Resources Management?
•Human Resource Management (HRM) as
the process of managing human resources
to achieve organizational goals effectively
and efficiently.
•Dessler emphasizes that HRM involves
managing people in a systematic way, from
recruitment and selection to training and
development, performance appraisal,
compensation, and employee relations.
•Dessler emphasizes that HRM plays a
crucial role in ensuring that an
organization's human resources are
effectively utilized to achieve its strategic
goals and objectives.
What is Human Resources Management?
•An organization consists of people with
formally assigned roles who work
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’s people.
•Most writers agree that managing
involves performing five basic functions:
planning, organizing, staffing, leading,
and controlling.
Management Terms
•Organization: A group consisting of people with
formally assigned roles who work together to
achieve the organization’s goals.
•Manager: Someone who is responsible for
accomplishing the organization’s goals, and who
does so by managing the efforts of the
organization’s people.
•Managing: To perform five basic functions:
planning, organizing, staffing, leading, and
controlling.
•Management process: The five basic functions of
planning, organizing, staffing, leading, and
controlling.
•Human resource management (HRM): The process
of acquiring, training, appraising, and compensating
employees, and of attending to their labor relations,
health and safety, and fairness concerns.
Management Process
•Planning. Establishing goals and standards; developing
rules and procedures; developing plans and forecasts
•Organizing. Giving each subordinate a specific task;
establishing departments; delegating authority to
subordinates; establishing channels of authority and
communication; coordinating the work of subordinates
•Staffing. Determining what type of people should be
hired; recruiting prospective employees; selecting
employees; setting performance standards;
compensating employees; evaluating performance;
counseling employees; training and developing
employees
•Leading. Getting others to get the job done;
maintaining morale; motivating subordinates
•Controlling. Setting standards such as sales quotas,
quality standards, or production levels; checking to see
how actual performance compares with these
standards; taking corrective action as needed
12 Pillars of
Human
Resources
Roles in HRM
authority
The right to make decisions, direct others’ work, and
give orders.
line authority
Traditionally gives managers the right to issue orders to
other managers or employees.
staff authority
Gives a manager the right to advise other managers or
employees
line manager
A manager who is authorized to direct the work of
subordinates and is responsible for accomplishing the
organization’s tasks.
staff manager
A manager who assists and advises line managers.
HR Responsibilities
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
Examples of Job Duties
•Recruiters: Maintain contacts within the community
and perhaps travel extensively to search for
qualified job applicants.
•Equal employment opportunity (EEO)
representatives or affirmative action coordinators:
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 pre- pare 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.
Workforce Demographic
The Trends Shaping Human Resource Management
Trend in How People Work
-On Demand
-Contract
-Permanency
-Part Time
-Freelance
The Trends Shaping Human Resource Management
Globalization in human resources management refers to the increasing interconnectedness of businesses
and economies worldwide, which has significant implications for how organizations manage their
workforce. Several key trends emerge within the context of globalization in HRM:
1.Global Talent Acquisition: With the removal of geographical barriers, organizations can recruit talent
from anywhere in the world.
2.Cross-Cultural Management: Globalization has led to greater cultural diversity in the workforce.
3.Global Mobility: Globalization has facilitated increased mobility of employees across borders.
4.Remote Work and Technology: Advances in technology have enabled remote work and virtual
collaboration, allowing organizations to tap into global talent pools and provide flexibility for employees.
5.Global Compliance and Regulations: Globalization requires HRM to navigate complex legal and
regulatory frameworks in different countries, including employment laws, tax regulations, and data
protection requirements.
6.Global HR Strategy: Globalization necessitates the development of HR strategies that align with the
organization's overall global business strategy.
7.Crisis Management and Risk Mitigation: Globalization exposes organizations to various risks, including
geopolitical instability, natural disasters, and pandemics.
The Trends Shaping Human Resource Management
Economic trends in human resources management (HRM) refer to the impact of macroeconomic factors on the
management of an organization's workforce. These trends influence HRM practices, strategies, and decisions in
various areas such as recruitment, compensation, training, and workforce planning. Some significant economic
trends in HRM include:
1.Labor Market Conditions: The state of the labor market, including unemployment rates, job growth, and labor
force participation, affects HRM activities such as recruitment and talent acquisition.
2.Economic Growth and Business Expansion: Economic growth and expansion create opportunities for organizations
to invest in workforce expansion, new markets, and innovation.
3.Cost Management and Efficiency: During periods of economic uncertainty or downturns, organizations may focus
on cost management and efficiency to maintain competitiveness and profitability.
4.Flexible Workforce Strategies: Economic fluctuations and market volatility may lead organizations to adopt flexible
workforce strategies, including contingent or part-time employment, outsourcing, and remote work arrangements.
5.Skills Gap and Talent Shortages: Economic trends can exacerbate skills gaps and talent shortages in specific
industries or occupations.
6.Globalization and International Markets: Economic globalization and expansion into international markets present
opportunities and challenges for HRM.
7.Technology and Automation: Economic trends, such as advancements in technology and automation, reshape the
workforce landscape by influencing job roles, skills requirements, and organizational structures.
The Trends Shaping Human Resource Management
Technology trends in human resources management (HRM) involve the integration of digital tools and platforms to
streamline HR processes, enhance employee experience, and drive organizational effectiveness. Some key technology
trends in HRM include:
1.HR Information Systems (HRIS): HRIS platforms automate and centralize HR processes such as employee data
management, payroll, benefits administration, and performance management.
2.Cloud-based HR Solutions: Cloud-based HR solutions offer scalability, flexibility, and accessibility, allowing
organizations to access HR tools and data remotely via the internet.
3.Talent Management Software: Talent management software encompasses recruitment, applicant tracking,
onboarding, and talent development tools.
4.Employee Self-Service (ESS) Portals: ESS portals empower employees to manage their HR-related tasks independently,
such as updating personal information, accessing pay stubs, requesting time off, and enrolling in benefits.
5.Data Analytics and Predictive HR: Data analytics and predictive HR tools leverage advanced analytics and machine
learning algorithms to analyze HR data and predict workforce trends, patterns, and outcomes.
6.Artificial Intelligence (AI) and Chatbots: AI-powered chatbots and virtual assistants automate routine HR tasks, such as
answering employee queries, scheduling interviews, and conducting initial screenings.
7.Mobile HR Applications: Mobile HR applications enable employees to access HR services and information on their
smartphones or tablets, anytime and anywhere.
8.Workforce Analytics and Workforce Planning: Workforce analytics tools enable HR professionals to analyze workforce
demographics, performance, and productivity metrics to inform strategic workforce planning and decision-making.
The Trends Shaping Human Resource Management
Evolution of HR
Trend Shaping HR: Digital and Social Media
HR & Performance
•Talent Acquisition: Attracting top talent aligned with company goals.
•Onboarding: Smooth integration for new hires.
•Training and Development: Enhancing employee skills and knowledge.
•Performance Management: Setting goals, providing feedback, and recognizing
achievements.
•Employee Engagement: Fostering a positive work culture and reducing turnover.
•Compensation and Benefits: Providing competitive packages to motivate and retain
employees.
•Employee Relations: Addressing concerns and resolving conflicts.
•Workforce Planning: Ensuring the right talent for future success.
•Leadership & Navigation The ability to direct and contribute to initiatives and processes
within the organization.
•Ethical Practice The ability to integrate core values, integrity, and accountability
throughout all organizational and business practices.
•Business Acumen The ability to understand and apply information with which to
contribute to the Organization’s strategic plan.
•Relationship Management The ability to manage interactions to provide ser- vice and to
support the organization.
•Consultation The ability to provide guidance to organizational stakeholders.
•Critical Evaluation The ability to interpret information with which to make business
decisions and recommendations.
•Global & Cultural Effectiveness The ability to value and consider the perspectives and
backgrounds of all parties.
•Communication The ability to effectively exchange information with stakeholders.
The New HR Manager
•Functional Area #1: Talent Acquisition & Retention
•Functional Area #2: Employee Engagement
•Functional Area #3: Learning & Development
•Functional Area #4: Total Rewards
•Functional Area #5: Structure of the HR Function
•Functional Area #6: Organizational Effectiveness & Development
•Functional Area #7: Workforce Management
•Functional Area #8: Employee Relations
•Functional Area #9: Technology & Data
•Functional Area #10: HR in the Global Context
•Functional Area #11: Diversity & Inclusion
•Functional Area #12: Risk Management
•Functional Area #13: Corporate Social Responsibility
•Functional Area #14: U.S. Employment Law & Regulations
•Functional Area #15: Business & HR Strategy
The New HR Manager
Learning Objective
1.Explain the importance of and list the basic
features of UUTK No. 13 2003 on equal
employment laws.
2.Discuss why diversity management is
important and how to install a diversity
management program.
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Undang Undang No. 13 tahun 2003
Verse 6
In international manpower field, recognition
toward human rights in the workplace is known
through 8 ILO Basic Convention. This basic
convention consists of 4 groups, which are:
1.Freedom to form a Union (ILO Convention No. 87
& 98)
2.Discrimination (ILO Convention No. 100 & 111)
3.Forced to work (ILO Convention No. 29 & 105)
4.Child protection (ILO Convention No. 138 & 182)
Manpower Law In Indonesia
Undang Undang No. 13 tahun 2003
Article 5 (Chapter III, same opportunity & Treatment
All manpower have the same opportunity without
discrimination to get a job.
Article 6
Each worker has the right to get same treatment
without discrimination from employer
Article 11
Each worker has the right to receive and/or improve
and/or develop work competence in accordance to
talent, interest, and ability through training.
Manpower Law In Indonesia
Undang Undang No. 13 tahun 2003
Article 23
Worker who has participated in an internship program has
the right for acknowledgment of working competency
from the company or certification body.
Article 31 (Chaptr VI, Worker Placement)
Each worker has the same right and opportunity to choose,
get, or change the job and receive proper income
domestically or abroad.
Article 77 (Time of work)
Employer must obey working hour regulation:
-7 hours per day & 40 hours per week (6 working days)
-8 hours per day & 40 hours per week (5 working days)
Manpower Law In Indonesia
Undang Undang No. 13 tahun 2003
Article 79
Resting time for workers:
-At least half an hour after 4 hours of work;
-Weekly rest of 1 day for 6 days working day, 2 days for
5 days working day;
-Annual leave at least 12 working day after working for
12 months.
-Long rest, at least 2 months after working for 6 years.
Article 80
Sufficient opportunity for worker to conduct religious
obligation.
Manpower Law In Indonesia
Article 81 (Working Time)
Female workers during period, feel unwell & inform to
employers are not obliged to work during the first & second
day of period.
Article 82
-Female workers have the right to get 1.5 months before &
1.5 months after giving birth based on the calculation of
gynaecologist or midwives.
-Female workers who are miscarriage have the right to get
rest of 1.5 month or in accordance with information from
doctor or midwives.
Article 83
Female worker whose child is still being breast-fed must be
given sufficient opportunity to breast-feed the child if it must
be conducted during working hour.
Manpower Law In Indonesia
Undang Undang No. 13 tahun 2003
Article 84
Workers who use their right to rest have the right to receive
full salary
Article 86 (HSE)
Each worker has the right to receive protection on:
-Work safety & health;
-Moral & ethics; and
-Same treatment in accordance with honor and dignity and
religious values
Article 88
Each worker has the right to receive income to fulfil his
proper life in the name of humanity
Manpower Law In Indonesia
Undang Undang No. 13 tahun 2003
Article 99
Each worker & family have the right to receive worker social
insurance
Article 104 (Union)
Each worker has the right to form and become member of
union
Article 137 (Strike)
Strike as worker and union basic rights conducted legally,
orderly, and peacefully as a result of failed negotiation.
Article 151 (Termination)
Employer, employee, union & government, at all cost must
prevent termination.
Manpower Law In Indonesia
•Undang-Undang Cipta Kerja, often referred to
simply as the "Omnibus Law," is a significant piece of legislation passed in Indonesia in
October 2020. Its official title is "Undang-Undang
Nomor 11 Tahun 2020 tentang Cipta Kerja" or
"Law Number 11 of 2020 concerning Job
Creation."
•The law aims to streamline regulations and
simplify bureaucratic procedures to attract more
investment, stimulate economic growth, and
create jobs in Indonesia. It encompasses various
sectors, including labor, investment, business
licensing, environmental protection, and land
acquisition.
OMNIBUS LAW
Some key features of the Omnibus Law include:
1.Labor Reforms: Changes to labor regulations,
including simplifying severance pay and outsourcing
rules, in an effort to make hiring and firing easier for
businesses.
2.Investment Facilitation: Measures to attract foreign
investment by simplifying business licensing
processes, reducing bureaucracy, and providing
incentives for investors.
3.Environmental Regulations: Amendments to
environmental laws to expedite environmental impact
assessments (EIAs) and permit processes for certain
projects.
4.Land Acquisition: Changes to land acquisition
regulations to facilitate infrastructure development
and investment projects, including measures to speed
up land acquisition processes.
OMNIBUS LAW