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SOCIAL RESPONSIBILITY AND HUMAN RESOURCE MANAGEMENT 1–1 Societal Societal Factors Factors Affecting Affecting HRM HRM Demographics and Diversity Sustainability Strategic HRM Ethics 1–2 Diversity Diversity Demographic Demographicchanges changesin insociety societyhave havegreatly greatlyimpacted impactedthe the composition compositionof ofthe theworkforce workforce.In Inaddition, addition,numerous numerouslaws laws protect protectdiverse diversegroups groupsin inour oursociety societyfrom fromdiscrimination discrimination in inemployment employmentMost Mostorganizations organizationshave havedeveloped developedsome some kind kindof ofdiversity diversitymanagement managementprogram programin inresponse responseto toone one of ofboth bothof ofthese thesefactors factors Diversity Diversityinitiatives initiativescan canbe bedesigned designedto toensure ensurelegal legal compliance complianceor orto totruly trulypromote promoteand andencourage encouragerespect respectfor for others othersand anddifferences differences There Thereisisaamarked markeddifference difference between betweenthese thesemotivations, motivations,as asillustrated illustratedin inExhibit Exhibit2.1 2.1 Diversity Diversityisisaastrategic strategicbusiness businessissue issuefor foran anoverwhelming overwhelming majority majorityof oforganizations/employers organizations/employers 1–3 1–4 Generational Generational Diversity Diversity Generational Generational diversity diversity isis becoming becomingincreasingly increasingly prevalent prevalent as as individuals individuals live live and and remain remain in in the the workplace workplace longer longer than than in in previous previous years years Different Differentgenerations generations need needto to be be able able to to work work alongside alongside each each other other in in contemporary contemporary organizations organizations Exhibit Exhibit 2.2 2.2illustrates illustrates some some of of the the characteristics characteristics of of different different generations generations found found in in the the workplace workplace 1–5 1–6 Workforce Workforce Demographic Demographic Changes: Changes: “Graying” “Graying” of of Workforce Workforce •• Negative Negative aspects aspects of of older older workers workers –– Perceived Perceivedresistance resistancetoto change changeby byolder older workers workers –– Increased Increasedhealth-care health-care costs costsfor forsenior seniorworkers workers –– Blocking Blockingadvancement advancement opportunities opportunitiesfor foryounger younger workers workers –– Higher Higherwage wage&&salary salary costs costsfor forsenior seniorworkers workers •• Positive Positive aspects aspects of of older older workers workers –– As Asproductive productiveorormore more productive productivethan thanyounger younger workers workers –– Have Havemore more organizational organizationalloyalty loyalty than thanyounger youngerworkers workers –– Possess Possessbroader broader industry industryknowledge knowledge&& professional professionalnetworks networks 1–7 Workforce Workforce Demographic Demographic Changes Changes •• Baby Baby Boomers Boomers (1945 (1945––1962) 1962) –– InInexcess excesssupply supplyininmiddle middlemanagement managementranks ranks –– HR HRchallenge challengeisistotomanage manage“plateaued” “plateaued”workers workers •• Baby Baby Busters Busters (1963 (1963––mid-1970s) mid-1970s) –– Are Arecareer careerbottlenecked bottleneckedby byBoomers Boomers –– Who Whohave haveskills skillsininhigh highdemand demandare aredoing doing&&will willdo well well 1–8 Workforce Workforce Demographic Demographic Changes Changes •• Generation Generation “X”ers “X”ers (late (late 1970s 1970s–early –early 1980s) 1980s) –– Have Havelife-long life-longexposure exposuretototechnology technology&&constant constantchange change –– Seek Seekself-control, self-control,independence, independence,personal personalgrowth, growth,creativity creativity –– Not Notfocused focusedon onjob jobsecurity securityororlong-term long-termemployment employment •• Generation Generation “Y”: “Y”: “Baby “Baby Boom Boom Echo” Echo” (after (after 1979) 1979) –– High Highcomfort comfortlevel levelwith withtechnology technology –– Global Global&&tolerant tolerantoutlook outlookon onlife life –– Highly Highlyentrepreneurial entrepreneurial –– Shorter Shorterattention attentionspan span –– Opting Optingfor formore moretransient transient&&variable variableproject projectwork work 1–9 Workforce Workforce Demographic Demographic Changes Changes •• Sexual Sexual orientation orientation –– More Morethan than200 200Fortune Fortune500 500employers employersoffer offerfull fullbenefits benefitsfor for domestic domesticpartners partners –– Sexual Sexualorientation orientationissues issuescan canimpact impactbottom bottomline line –– -Same-sex -Same-sexmarriage marriageisiscreated createdcomplications complicationsfor foremployers employers •• Disabilities Disabilities –– 54 54million millionAmericans Americanswith withdisabilities disabilities –– Often Oftennot notincluded includedinindiversity diversityinitiatives initiatives –– Many Manysupervisors supervisorsdo donot notunderstand understandneeds needsofofemployees employees with withdisabilities disabilities –– Stereotypes Stereotypes 1–10 Codes Codes of of Ethics Ethics Many Manyorganizations organizationsand andsome someindustries industrieshave havedeveloped developed their theirown owncode codeof ofethics ethics The TheSociety Societyof ofHuman Human Resource ResourceManagement Management(SHRM) (SHRM)has hasdeveloped developedsuch suchaa code codefor forHR HRprofessionals professionals This Thiscode codepresents presentscore core principles, principles,intent intentand andguidelines guidelinesin inaanumber numberof ofareas, areas, including: including:Professional ProfessionalResponsibility; Responsibility;Professional Professional Development; Development;Ethical EthicalLeadership; Leadership;Fairness Fairnessand andJustice; Justice; Conflicts Conflictsof ofInterest; Interest;and andUse Useof ofInformation Information Exhibit Exhibit2.6 2.6provides providessome someguides guidesfor fordeveloping developingaacode codeof of ethics ethicsor orcode codeof ofconduct conduct 1–19 1–20 Sustainability Sustainability Sustainability Sustainability(and (andsocial socialresponsibility responsibilityin ingeneral) general)take takeaa more moremacro macroapproach approachto tomanaging managingan anorganization’s organization’s relationship relationshipwith withits itsexternal externalenvironment environment Organizations Organizationsare arebeing beingincreasingly increasinglyexpected expectedto toconsider consider the theeffects effectsof oftheir theiroperations, operations,decision decisionand andbusiness businesson on the thesocial socialand andnatural naturalenvironment environment General GeneralElectric Electrichas hasdeveloped developedaamodel modelprogram programrelated relatedto to sustainability sustainabilityand andGap, Gap,Inc Inc.has hasset setstandards standardsfor for offshoring offshoringof ofits itsmanufacturing manufacturingoperations operations 1–21 1–22 Reading Reading2.1 2.1 Stereotype Stereotype Threat Threat at at Work Work Stereotype Stereotypethreat threatisisdefined definedas asthe thefear fearof ofbeing beingjudged judged according accordingto toaanegative negativestereotype stereotype Even Evenififan anemployer employer were weresuccessful successfulin inhiring hiringonly onlynon-prejudiced non-prejudicedmanagers, managers, stereotypes stereotypesstill stillexist existin inthe thebroader broadersociety societyand andhence, hence,the the workplace workplace Stereotype Stereotypethreat threathas hasbeen beendocumented documentedacross across aawide widerange rangeof ofdiversity diversitydimensions dimensionsand andperformance performance domains domains ItItextends extendsbeyond beyondthose thosein intraditionally traditionally disadvantaged disadvantagedgroups groupsto tothose thosewho whoare aremembers membersof ofhighhighstatus statusgroups groups Stereotype Stereotypethreat threataffects affectseveryone everyoneas asevery every individual individualisisaamember memberof ofatatleast leastone onegroup groupabout aboutwhich which stereotypes stereotypesexist exist 1–23 Reading Reading2.1 2.1 Stereotype Stereotype Threat Threat at at Work Work Based Based on on the the conditions conditions of of •• task task difficulty difficulty •• personal personal task task investment investment Stereotype Stereotype threat threatisis more more likely likely to to influence influence performance performance on on difficult, difficult, challenging challenging tasks tasks which which are are at atthe the limits limits of of aa person’s person’s abilities abilities ItIt isis also also more more likely likely to to influence influence performance performance when when an an individual individual in in more more personally personally involved involvedwith with aa task task and andhence, hence, cares cares about aboutperformance performance 1–24 Reading Reading2.1 2.1 Stereotype Stereotype Threat Threat at at Work Work •• Can Canbe bereduced reducedby byteaching teachingaffected affectedemployees employeesbehavioral behavioralstrategies strategies for forimproving improvingperformance performanceand andcounteracting counteractingnegative negativestereotypes stereotypes •• Can Canalso alsobe beeliminated eliminatedby byrefuting refutingor ordiminishing diminishingthe thestereotype stereotype relevance relevanceof ofaagiven giventask task •• Employees Employeescan canalso alsorerereminded remindedabout aboutexternal externalfactors factorswhich whichmight might constrain constrainperformance performancesuch suchas asaadifficult difficultclient, client,limited limitedresources resourcesor oraa tight tightdeadline deadline •• Can Canalso alsobe beminimized minimizedby bypresenting presentingaarole rolemodel modelwho whocontradicts contradictsthe the stereotype stereotype Mangers Mangerscan canactually actuallyuse usestereotype stereotypethreat threattotocreate createmore morediversitydiversityfriendly friendlywork workenvironments environments.Stereotypes Stereotypesshould shouldbe beacknowledged acknowledgedand and addressed addresseddirectly directlyand andmanaged managedby byfocusing focusingon onaalarger largercontext contextor or environment environment 1–25 Reading Reading2.2 2.2 The The Ethics Ethics of of Human Human Resource Resource Management Management Human Human resource resource managers managers typically typically face face three three kind kind of of ethical ethical problems problems •• need needfor fordiscernment discernmentorordetermining determiningthe theright rightthing thingtotodo doininaa given givensituation situation •• conflict conflictbetween betweenwhat whatthe theHR HRmanagers managersfeels feelsisisright rightand and what whatthe theemployer employerasks asksbe bedone done •• conflicts conflictsofofinterest interestwhere wherethe theHR HRmanager’s manager’spersonal personalbeliefs beliefs differ differfrom fromthe theresponsibility responsibilityofofacting actingas asan anagent agentfor forthe the employer employer 1–26 Reading Reading2.2 2.2 The The Ethics Ethics of of Human Human Resource Resource Management Management Ethical Ethical dilemmas dilemmas in in recruitment recruitment can can involve involve special special requests requests for for hiring hiring criteria criteria from from managers, managers, setting setting or or recommending recommending entry entry salary, salary, how how extensively extensively to to recruit, recruit, internal internal versus versus external external recruiting, recruiting, privacy privacy protection protection due due to to applicants applicants and and follow-up follow-up with with rejected rejected applicants/candidates applicants/candidates 1–27 Reading Reading2.2 2.2 The The Ethics Ethics of of Human Human Resource Resource Management Management Ethical Ethical dilemmas dilemmas in in training trainingand and development development can can involve involve training trainingemployees employees who who make make take take their their skills skills to to aa competitor, competitor, ensuring ensuringemployee employee safety, safety, particularly particularly given given an an employee’s employee’s language, language, minimizing minimizing abuses abuses of of power power in in mentoring mentoring relationships relationships and andfully fully and and truthfully truthfully informing informing employees employees about abouttheir their future future prospects prospects with with the the employer employer 1–28 Reading Reading2.2 2.2 The The Ethics Ethics of of Human Human Resource Resource Management Management Ethical Ethical dilemmas dilemmas in in compensation compensation can can involve involve compressed compressed compensation compensation systems, systems, ensuring ensuring that that employers employers are are not notexploited exploited by by managers managers relative relative to to compensated compensatedhours hours of of work, work, comparable comparable worth, worth, differences differences in in pay pay between between levels levels of of responsibility responsibility and andequity equity in in pay pay relative relative to to the the marketplace marketplace 1–29 Reading Reading2.2 2.2 The The Ethics Ethics of of Human Human Resource Resource Management Management Ethical Ethical dilemmas dilemmas may may also also be be present present relative relative to to employee employee monitoring, monitoring, progressive progressive discipline discipline and and termination, termination, balancing balancing costs costs of of benefits benefits with with employees’ employees’needs needs and and choice choice and and measures measures used used to to retain retain employees employees 1–30 Reading Reading2.3 2.3 How Howdo doCorporations CorporationsEmbed EmbedSustainability SustainabilityAcross Acrossthe the Organization? Organization? Recommendations Recommendations ••Learning Learningabout aboutsustainability sustainabilityisisaacompanywide companywidenecessity necessity that thatshould shouldnot notbe berestricted restrictedto tothe thediscourse discourseof ofleaders leadersand and senior seniormanagers managers ••Awareness Awarenessinitiatives initiativesneed needto tobe becross-functional cross-functionaland andspread spread across acrossthe thefull fullrange rangeof ofbusiness businessfunctions functions ••Embedding Embeddingsustainability sustainabilityshould shouldinclude includeboth bothtechnical technicaland and action actionlearning learningopportunities opportunities ••Learning Learningcycles cyclesshould shouldinclude includeopportunities opportunitiesfor forsocial social learning learningand andexpansion expansionof ofcompany companyknowledge knowledgesystems systems 1–31 Reading Reading2.3 2.3 How Howdo doCorporations CorporationsEmbed EmbedSustainability SustainabilityAcross Acrossthe the Organization? Organization? Training Trainingand andDevelopment DevelopmentTools Tools •Codes •CodesofofConduct Conduct- -specify specifyminimum minimumacceptable acceptablestandards standardsinincorporate corporateprocesses processesand andprocedures procedures •Impact •ImpactMeasures Measures- -social socialand andenvironmental environmentalaccounting accountingtools toolsand andenvironmental environmentalimpact impactmeasures measures calculate social and environmental impact calculate social and environmental impact •Company •CompanyStructure Structureand andPolicies Policies––clear cleardelineation delineationofofwhom, whom,where, where,and andhow howresponsibility responsibilitywill willbe be managed and how sustainability will be integrated into corporate governance structures managed and how sustainability will be integrated into corporate governance structures •Purchasing •Purchasingand andSupply SupplyChain ChainInitiatives Initiatives- -dialogue dialoguewith withsuppliers supplierson onthe theimportance importanceofofsustainability sustainability ininthe supply chain with targets and performance indicators set for affirmative action and procurement the supply chain with targets and performance indicators set for affirmative action and procurement practices practicesthat thatproactively proactivelysupport supportsocial socialand andenvironmental environmentalstewardship stewardship •Communications and Dialogue corporate publications and •Communications and Dialogue - corporate publications andsocial socialmedia mediacan canbe beused usedtotocommunicate communicate the importance of sustainability as well as the organization’s position and practices on such to the importance of sustainability as well as the organization’s position and practices on such toboth both internal and external stakeholders internal and external stakeholders •Employee •EmployeeTraining Trainingand andWorkshops Workshops- -deliver delivertechnical technicalinformation informationasaswell wellasascompany companyexpectations expectations about sustainability to employees about sustainability to employees •Company •CompanyVisits Visits- -learn learnfrom fromother otherorganizations organizationsthat thathave havesuccessfully successfullyimplemented implementedsustainability sustainability initiatives initiatives •Employee •EmployeeVolunteering VolunteeringOpportunities Opportunities- -opportunities opportunitiestotoenable enableemployees employeestotocontribute contributetheir their knowledge and skills to social and environmental projects and learn first-hand about their impact knowledge and skills to social and environmental projects and learn first-hand about their impact 1–32 1–33 ... applicants and and follow-up follow-up with with rejected rejected applicants/candidates applicants/candidates 1? ?27 Reading Reading2 .2 2 .2 The The Ethics Ethics of of Human Human Resource Resource Management. .. theresponsibility responsibilityofofacting actingas asan anagent agentfor forthe the employer employer 1? ?26 Reading Reading2 .2 2 .2 The The Ethics Ethics of of Human Human Resource Resource Management. .. of responsibility responsibility and andequity equity in in pay pay relative relative to to the the marketplace marketplace 1? ?29 Reading Reading2 .2 2 .2 The The Ethics Ethics of of Human Human Resource