LRP Human Resource Management

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The key takeaways from the document are that it discusses human resource management processes like compensation, benefits, recruitment and selection. It also talks about labor relations and employee motivation.

The main problem faced by the hospital is declining occupancy rates and increasing competition which has led to projected deficit of 1.3 million for the coming year unless additional revenues are identified or savings are made.

The areas that need to be considered for SWOT analysis of the hospital are strengths, weaknesses, opportunities and threats related to financial position, infrastructure, location, quality of services, reputation etc.

Learning Resource Pack:

Human Resource Management


1ST SEMESTER SY 2020-2021

Sonny A. Santos
Tarlac Agricultural University | COLLEGE OF BUSINESS AND MANAGEMENT
LEARNING RESOURCE PACK APPROVAL SHEET

Title of LRP: Human Resource Management


Prepared by: Sonny A. Santos
Classes: BSBA 3A, BSBA 3B, BSBA 3C
Period of Utilization: 1st semester, SY 2020-2021

Reviewed by:

SONNY A. SANTOS MARIBEL C. RAMALES, MBA


Chair, Curriculum Committee Chair, IM Committee

JEROME D. SORIANO, DBA


Program Chair

Recommending Approval:

SILVERIO RAMON DC. SALUNSON, DBA


College Dean

CLAIRE ANNE A. OLIVARES, Ph.D.


Director, Curriculum and Instruction

Approved for Utilization:

ERNESTO A. VIRAY, JR.


Vice President for Academic Affairs

Micro-syllabus in HUMAN RESOURCE MANAGEMENT

2
Course description Vision

This course provides an overview of the role of human resource TAU as one of the
management (HRM) in contributing to organizational effectiveness. The top 500
course examines the techniques, policies, processes, strategies, and universities in
practices used by companies and/or managers to effectively and Asia
efficiently utilize human resources. The course examines how the
business strategy, legal environment, and megatrends in the external labor
market affect human resource management. The course will also examine
how the human resource functions contribute towards the formulation and
implementation of business strategy and achievement of competitive
advantage.
Credit: 3-0-3 Breakthrough
Target Outcomes Goals

This course will Identify each of the major HRM functions and processes Anchored on the
of strategic HRM planning, job analysis and design, recruitment, challenges of the
selection, training and development, compensation and benefits, and Sustainable
performance appraisal. It will also analyze human resource needs and Development
identify the financial, legal, ethical, social, compensation, and ethical Goals for
factors involved in managing personnel and enforcing policies, rules, and inclusive growth,
procedures and will explain the relationship between technology and TAU will:
people in the modern workplace and illustrate both the opportunities and
1. take lead in
the challenges.
innovative
Course Content
teaching
I. Introduction to Human Resource Management
methodologies
A. Evolution of Human Resource Management and appropriate
B. Main Trends in the HR Profession technologies to
C. Applications of Information Technology in HR create an ideal
D. Human Resource Information System (HRIS) environment to
E. HR Departments’ Organization Charts and Structures
optimize
II. Human Resource Management Processes
learning;
A. HR Planning
B. Recruitment 2. advance

C. Selection sustainable

D. Orientation agricultural

E. Training and Development productivity and

F. Performance Review and Appraisal improve income

G. Changes in Personnel Status through


innovation,

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III. Compensating Human Resources, Employee Benefits and technology
Services generation,
IV. Labor Management Relations transfer and
V. Labor Management Relations training; and
A. Unionism in the Philippines
3. use Science,
B. Forms of Union Security
Technology and
C. Collective Bargaining process
Engineering
D. Basic Labor Law Affecting Employer-employee Relationship
(STE) effectively
E. Employee Relations and Employee Discipline
F. Employee Grievances for climate
change resiliency,
VI. Employee Morale and Motivation
adaption and
A. Morale and Job Satisfaction
agricultural
B. Basic factors influencing employee morale
productivity.
C. Motivation for performance
D. Factors influencing motivation
E. Suggestions to motivate employees
F. Two major approaches to work motivation

Teaching and Learning Activities Instructor’s/


Professor’s
Discussion, Reflection papers, Video clips, Film viewing
Note/Message
Assessment Strategies
1. Reading the

Case studies links and other

Reflection Paper materials will

Discussion give you better

Summative Tests appreciation as


HR students.

2. Read all
suggested links to
enhance your
learning
experience. Bask
and soak reading,
while relating to
experiences, and
previous lessons
in other
management

4
courses taken.

3. Share
learnings, not
answers. Share
other learning
resources that you
think might be
helpful.
Suggested Reading

Lepak, D. and Gowan, M. (2016). Human resource management:


managing employees for competitive advantage. Second edition. United
States of American: Chicago Business Press.

Human Resource Management by Caroyln Youssef


Noe, R. A., Hollenbeck, J. R., Gerhart, B. & Wright, P. M. (2011 or later
edition). Fundamentals of Human Resource Management. Irwin McGraw-
Hill: New York.
Corpuz, Crispina R. Human Resource Management. Third Edition (2013)
https://opentextbc.ca/businessopenstax/chapter/employee-training-and-
development/#rfin-ch08_8

https://saylordotorg.github.io/text_human-resource-management/s12-
training-and-development.html
Grading System

Assignment and Other Activities 30%

Term Test 35%

Case Studies 35%

Total 100%
Class Policies

1. Read Google Classroom for Students or watch Google Classroom


Tutorial to familiarize you with the learning system to be utilized
for this course.
2. You are held responsible for all assignments and requirements for
the entire content on the course. You are expected to read the
materials provided through the links in all the lessons before the
scheduled meeting on Google Meet.
3. Read the links provided in each chapter. The resources will help
you to deeply understand each lesson.

5
4. A Human Resource Management Glossary was set in the
Classroom. Contribute at least 30 words and give meaningful
definition based on your readings and understanding of words,
concepts, or ideas related to the course. Put your name after giving
the definition in your chosen word/s following this format (Last
Name, First Name). A maximum of three (3) students could define
the same word/s.
5. Utilization of Learning is available in Google Classroom for
convenient submission of requirements. Be aware of schedules,
import Google Calendar online or marked dates in your
traditional, hardcopy calendars so you couldn’t miss important
dates.
6. Cheating in all forms is prohibited. Copying the assignment of
your classmates is not encouraged. Cite all resources using APA.
Purdue Online Writing Lab

Appendix

Learning Resource Materials

Introduction to Human Resource Management

Lesson 1: Evolution of Human Resource Management

Target Outcomes

At the end of the lesson, you are expected to:

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1. Define the path from personnel administration to strategic HRM ; and

2. Identify the strategic value of HRM for employees and the organization;

Abstraction

Watch the video on Youtube titled “Evolution of HRM”


(https://www.youtube.com/watch?v=Kxc8KceOb14) by John W. Budd which shows a
quick overview of the how the key approaches to managing workers, the authoritarian
drive system, Taylorism and the role of psychology and the human relations movement
have evolved in time.

The word “Human Resources” which was first used in the 1960s refers to both the
individuals working for a company and a unit which is responsible for managing all the
resources that are related to the said individuals also known as employees. This word
emerged immediately when the value of workforce and labor relations started to be
appreciated and factors like motivation, organizational behavior and some assessments
started to come out.

Human Resource Management is used to describe the management and


development of the organization’s human capital and thus focused on a number of major
areas like:

 HR Planning
 Recruitment and Selection
 Training and Development
 Motivation
 Performance Appraisal and movement of employees.

The role of Human Resource Management has changed drastically and such change was
accompanied by a fundamental shift in management’s view of its workforce. Employees should
no longer be treated as individuals that should be forced to deliver results but rather as a group of
people who must be valued, recognized and motivated to remain loyal and effective and efficient
members of the organization.

Also watch on Youtube in this link https://www.youtube.com/watch?v=c8_avX9miag a video


titled “Introduction to Human Resource Management-Lecture 01” by Armin Trost.

This video shows how directly correlated is the shift in hand-work to knowledge-work
and time. The type of work changes over time and the working environment is dynamic that
organizations through its Human Resource must strategize to cope with these changes that might

7
be threats in the success of the business. The demographic of the available labor force also
changes that could lead to talent shortage. The presence of globalization served as both an
opportunity and threat to every organization and the emerging technologies have greatly changed
the competition and HRM landscape.

Before, Human Resource Management is just about addressing current employee


concerns, acquiring new people, managing the employee separation process, and improving
morale, but according to the article from Forbes in August 2014, some HR teams focused on
things that do not add true value to the organization and suggested that HR management teams
shall exert efforts in focusing on five critical areas which are as follows:

 Define and align organizational purpose;


 Recruit the best talent by creating, marketing, and selling an Employee Value
Proposition;
 Focus on employee strengths;
 Create organizational alignment; and
 Accurately measure the same things.

Utilization of Learning

1. Describe the HRM structure during the following era or time:

a. Slaves and Conscripts

b. Authoritarian Drive System

c. Taylorism

d. Psychology and Human Relations

2. Give a substantial definition of the following terms in relation to Human


Resource Management.

a. Globalization
b. Human capital
c. Effectiveness
d. Efficiency
e. Organization

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f. Planning

Supplementary Materials

Lesson 2: Main Trends in the HR Profession

Target Outcomes

At the end of the lesson, you are expected to:

1. Identify the opportunities and challenges in the HR; and

2. Apply Information Technology in Human Resource.

9
Abstraction

Watch the video on Youtube https://www.youtube.com/watch?v=cwnu_C-AbeU titled “12 HR


Trends for 2020” by Tom Haak. The video presented 12 Trends on HR this 2020, these trends
are opportunities for every HR team to creating a better work environment where employees are
being considered as the first costumer of the organization. These trends will also help HR teams
to create better and more organized systems that will make the job easier.
1. Holistic HR;
2. Less focus on process improvement;
3. Be Kind;
4. More appreciation of complexity;
5. Adaptive systems;
6. From people analytics to Analytics for the people;
7. Learning in the flow of work;
8. A tougher approach to diversity and equal opportunities;
9. Inclusive Leadership;
10. Productivity;
11. Blockchain Breakthrough; and
12. Corporate and employee activism.

The advent of computer age has changed both the availability of the information and how
it will be acquired. With the emerging technologies, ways on how to manage the workforce as
well as on how to find them has been much easier for the HR teams.
Please see slides 1-14 https://www.slideshare.net/HarishBramhaver/information-technology-in-
human-resource-management. The presentation outlines the role of information Technology to
Human Resource Management. This also presents how IT can be applied in different Human
Resource Management functions

Utilization of Learning

1. Direction: Read the case titled “Keeping up with IT” https://www.coursehero.com/tutors-


problems/Human-Resource-Management/18325861-QUESTION-CASE-STUDY-Keeping-Up-with-IT-Samuel-is-in-his-
mid-40s-and-h/

Help Samuel solve his problem by following the steps below:

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1) Main Problem
2) Areas of Consideration
a. Samuel's Strengths
b. Samuel's Weaknesses
c. Possible Opportunities for Samuel
d. Possible Threats for Samuel
3) Proposed Solutions/Alternative Course of Actions (ACA)
a.
_____________________________________________________
b.
_____________________________________________________
c.
_____________________________________________________
4) Recommendations (based on ACA)

Supplementary Materials

https://www.slideshare.net/HarishBramhaver/information-technology-in-human-resource-management .

Learning Resource Materials

Chapter 2: HRM Processes

Lesson 1: Strategic HR Planning

Target Outcomes

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At the end of the lesson, you are expected to:

1. Identify an organization’s strategic planning process;

2. Identify the link between HR strategic planning to the HRM process; and

3. Create Job Analysis

Abstraction

Watch on Youtube this video https://www.youtube.com/watch?v=rVyJXnZEp2A titled “Human


Resource Strategy and Planning-Lecture 02” by Dr. Armin Trost. This lecture answers the
following questions:

 How are the company strategy and HR strategy related?


 As part of an HR strategy, which company functions should be the highest
priority?
 How to plan quantitative workforce demand on both strategic and operational
level?

Part of Human Resource Planning is to conduct job analysis which is being referred to as
the “cornerstone” of the HRM. According to Corpuz in her book “Human Resource
Management, 3rd edition”, Job Analysis is conducted to determine the responsibilities inherent in
the position as well as the qualifications needed to fulfill the responsibilities. It is vital when
attracting pool of candidates qualified for the vacant position. If job analysis can be performed
well, it might increase the success rate of the HRM practices because it will serve as its
foundation in creating a competitive advantage. The following are some of the uses of job
analysis;

1. Preparing the job description and writing the job specifications

2. Recruitment and selection

3. Determining the rate of compensation

4. Performance appraisal

5. Training

6. Career planning and development

7. Safety

8. Labor relations

There are different ways on how to conduct job analysis, some of the methods one can
utilize are interview, observation, questionnaires and employee recording or use of logbook. To
come up with an effective job analysis, HR team must follow the following steps or processes;

STEPS IN JOB ANALYSIS

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Step 1
Examine the total
organization and
the fit of each job
Step 2
Determine the purpose
of Job Analysis

Step 3
Select Job to be analyzed
Step 4
Collect data by using acceptable JA
techniques
Step 5
Prepare Job
Description
Step 6
Prepare Job
Specification
Step 7
Use information from
steps 1-6 for Job Design,
Planning, Selection and
Training, Recruitment,
Performance Appraisal,
Compensation, etc.

Utilization of Learning

1. Give a substantial definition of the following terms in relation to Job Analysis

a. Position

b. Job

c. Job description

d. Job specification

e. Job summary

2. This is a case study adopted from the book of Crispina R. Corpuz.

“Reyes Department Store”

Based on the review of the store, Nicole, the general manager concluded that one of the first
things she has to attend involves developing the job description of her store supervisor. During
her first few weeks on the job, Nicole found herself asking one of her supervisors, Jet, why was

13
he violating what she knew to be part of the company policies and procedures. Jet’s only
response was that he was not aware of that policy and was not aware it was part of his job.

Nicole knew that a job description, along with a set of standards and procedures that
specify what was to be done and how to do it, will go a long way toward alleviating the problem.

Discuss the process that Nicole should follow to solve this problem.

Supplementary Materials

Human Resource Strategy and Planning-Lecture 02- https://www.youtube.com/watch?v=rVyJXnZEp2A

Lesson 2: Recruitment and Selection

Target Outcomes

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At the end of the lesson, you are expected to:

1. Define various strategies used in finding talent in the external labor market.
2. Identify how employment agencies plan for the attraction of talent.

Abstraction

This lesson focuses on the learning theories related to the process of learning of people. Most of
these theories focuses on why trainees learn and their motive to acquire knowledge, skills, and/or
abilities.

Recruitment is the process of locating, identifying and attracting possible pool of


candidates for a job. It is a method of potential candidates for a particular job. It is an important
HRM process because a successful recruitment could lead into having effective and efficient
employees that are assets of the organization. One couldn’t select the most qualified applicant if
a company used a wrong recruitment technique because the goals of recruitment are to attract
qualified applicants and encourage unqualified applicants to self-select themselves out.

There are two sources of recruitment, the external and internal recruitment.

Internal recruitment is also known as recruitment from within.


Examples of internal recruitment
a. Job posting and bidding
b. Promotions and Transfers
c. Employee referrals
d. Re-recruiting former Employees and Applicants
e. Internal Recruiting Data base

Advantage Disadvantages
Morale of Promotee Inbreeding
Better assessment of abilities Possible morale problems of those not
promoted
Lower costs for some jobs “Political” infighting for promotions
Motivator for good performance Need for management development program
Causes a succession of promotion
Have to hire only at entry level

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The other source of recruitment is the external recruitment or recruitment from outside the
organization.
Examples of external recruitment
a. Campus recruitment
b. Labor Unions
c. Media Sources
d. Employment Agencies
e. Job fairs
Advantage Disadvantage
New blood brings new perspectives Loss of time due to adjustment
Cheaper and faster than training current May not select someone who will fit the job
employees or organization
Professionals May cause morale problem for some current
employees
No group of political supporters in company Longer adjustment or orientation time
May bring new industry insights
Does not change the present organizational
hierarchy
Allows employees to make some changes
without having to please constituent groups

Some of the constraints during the recruitment process are the following; image of the
company, attractiveness of the job, internal organizational policy and recruitment cost.

Watch on Youtube the video https://www.youtube.com/watch?v=CMB3Rm-hEWM about how the


Google company hires new employees. Some of the HR personnel provided information on the
different selection techniques and processes the Google company uses.
Selection is the process next to recruitment. It is the process of choosing the qualified
individuals who are available to fill the positions in the organization. Some basic criteria in
selecting qualified applicants are formal education, experience and past performance, physical
characteristics and personality characteristics.

Steps in the Selection Process

Step 1. Job Analysis to prepare Job Description and Job


Specification

Step 2. Preliminary Screening, Application Blank and


Interview

Step 3. Employment Interview

Step 4. Employment Testing

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Step 5. Background Investigation/Reference Checks

Step 6. Final Interview

Step 7. Selection Decision

Step 8. Physical Examination

Step 9. Placement on the Job

Utilization of Learning

1. Watch on Youtube https://www.youtube.com/watch?v=C-Dp372Jsj4 titled “Unconscious Bias


in Recruiting” also known as “Blind Recruitment” and make a reflection about this kind of
recruitment procedure.

Supplementary Materials

How to: Work at Google-How We Hire- https://www.youtube.com/watch?v=CMB3Rm-hEWM

Recruitment and Selection- https://www.slideshare.net/umerkhalidhabib/recruitment-and-selection-


24053999

Appendix

Lesson 3: Training and Development

Target Outcomes

At the end of the lesson, you are expected to:

1. Identify the strategic value of training and development.; and

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2. construct a training development program.

Abstraction

Training refers to a planned effort by a company to facilitate employees’


learning of job-related competencies. The goal of training is for employees to master the
knowledge, skill, and behaviors emphasized in training programs, and apply them to their
day-to-day activities. (Noe, 2012)

High leverage training is a broad perspective, linked to strategic business goals


and objectives, uses an instructional design process to ensure effectiveness; and
benchmarks the company’s training against training programs in other companies

Development refers to those learning opportunities designed to help employees


grow. Development is not primarily skills-oriented. Instead, it provides general
knowledge and attitudes, which will be helpful to employees in higher positions. Efforts
towards development often depend on personal drive and ambition. Development
activities, such as those supplied by management developmental program are generally
voluntary. (American Society for Training and Development, 2000)

The training practices helped companies to gain competitive advantage in their areas and
industries. Specifically, training gives companies to:

 Grow the business.


 Improve customer service.
 Providing employees with the knowledge and skills they need to be successful.

Organizations around the world do not have a choice but to implement training and
development program to remain competitive. The following are some of the forces that influence
organization to conduct training and development. (Noe, 2015)

1. Globalization
2. Increased value placed on intangible assets and human capital
a. Intellectual, Customer, Social capital
3. Emphasis on Quality
4. Changing demographics and diversity of the work force
5. New technology
6. High-performance model of work systems

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These forces highlight what should organizations consider in creating their training and
development initiatives.
 Focus on knowledge workers
 Employee engagement
 Emphasis on adapting change and continuous learning

Training Design Process

Conducting Needs
Assessment
Ensuring
Employees’
Readiness for
Training
Creating a Learning
Environment
Ensuring Transfer of
Training
Developing an
Evaluation
Plan
Select
Training
Method Monitor and
Evaluate the
Program

1. Needs assessment and learning objectives. This part of the framework development asks you
to consider what kind of training is needed in your organization. Once you have determined the
training needed, you can set learning objectives to measure at the end of the training.

2. Consideration of learning styles. Making sure to teach to a variety of learning styles is


important to development of training programs.

3. Delivery mode. What is the best way to get your message across? Is web-based training more
appropriate, or should mentoring be used? Can vestibule training be used for a portion of the
training while job shadowing be used for some of the training, too? Most training programs will
include a variety of delivery methods.

4. Budget. How much money do you have to spend on this training?

19
5. Delivery style. Will the training be self-paced or instructor led? What kinds of discussions and
interactivity can be developed in conjunction with this training?

6. Audience. Who will be part of this training? Do you have a mix of roles, such as accounting
people and marketing people? What are the job responsibilities of these individuals, and how can
you make the training relevant to their individual jobs?

7. Content. What needs to be taught? How will you sequence the information?

8. Timelines. How long will it take to develop the training? Is there a deadline for training to be
completed?

9. Communication. How will employees know the training is available to them?

10. Measuring effectiveness of training. How will you know if your training worked? What ways
will you use to measure this?

Utilization of Learning

1. Prepare cue cards and identify at least 20 words related to training, define the concepts in
relation to training and development.

2. The following table shows negative attitudes or indifference towards training and
development. As an HR officer, how are you going to ensure the readiness of trainee base on the
following attitudes.

Individual: Employer:
• How is that related to what I do? • How can I be sure the organisation
will benefit?
• “I’m good at my job and anyway, I • Training is so expensive – how will I
have no time” know if it has been effective?
• “I suppose that’s my weekends shot • Will this affect the goal of developing
for months!” and implementing standards and
protocols for the organisation?
• “Are they trying to get rid of me?” • “If I train them, they’ll leave”

3. Prepare a draft of your training and development proposal using the model in this chapter.

Present in a class scheduled meeting on Google Meet.

Supplementary

20
Models of Training: This link discusses the transitional and system models of training

Human Resources Training & Developing Model. The presentation presents technical and
simple definition of terms used in T&D. The training design process is explored to its details.

Appendix

Lesson 4: Performance Review and Appraisal

Target Outcomes

At the end of the lesson, you are expected to:


1. Identify the predetermined set of criteria used as the bare minimum to define and measure
employees’ performance ; and

21
2. Define the elements included in the evaluation of employee performance;

Abstraction

One of the most important activities of an HR Manager is maintaining and


enhancing the workforce. With all the efforts and costs that recruiting and selection
entail, it is important to develop employees for them to use their fullest capabilities, thus,
improving the effectiveness of the organization. Performance review is the ongoing
process of evaluating and improving employees’ performance (Turacano, 1992).

Objectives of Performance Appraisal


1. It provides information about the movement of employees made and justifies the decision of
the management.
2. It provides opportunities for all the employees and the management to assess both their
strengths and weaknesses.
3. It serves as a basis on the kind of training to be provided to the employees.
4. It produces evidence for career progression.
5. It allows easy monitoring and supervision.
6. It helps in evaluation individual’s performance relative to that of the organization.
7. It provides information on the effectiveness of the selection and placement decision of the
company.

According to Hakala (2008) a manager or supervisor can use the following indicators of
performance to appraise subordinates.
a. quantity
b. quality
c. timeliness
d. cost-effectiveness
e. absenteeism/tardiness
f. creativity
g. adherence to policy
h. gossiping and other personal habits
i. personal appearance/grooming

Who should Evaluate Performance?


1. Manager/Supervisor Appraisal
2. Self-appraisal
3. Subordinates appraisal

22
4. Peer appraisal
5. Customer/supplier
6. Team appraisal
7. Assessment Center
8. 360-Degree or “Full circle” appraisal

There are different appraisal method the organization can use in evaluating the performance of
the employees. Some if these were provided in the “Performance Appraisal Methods (March
2010)
There are two types of evaluation Method the organization can use, and each type offers variety
of choices. You have the multiple person evaluation method and the individual evaluation
method.

Multiple Person Evaluation Method Individual Evaluation Method


1. Ranking Method 1. Critical incident method
2. Paired Comparison Method 2. Checklist and weighted checklist method
3. Forced Distribution 3. Graphic rating scale
4. Behaviorally Anchored Rating Scales
5. Management by Objective
6. Multi-rater Assessment

The results of the performance appraisal should be reviewed by the supervisor and the
subordinate. This will enable both to have an open communication in solving the problems and
issues found during the conduct of the evaluation. Both must review the overall progress, discuss
the problems encountered and sources of ineffective performance as well as the ways on how to
improve it. Plans both short term and long term must also be discussed.

Utilization of Learning

1. Choose one among the different performance appraisal methods and create your own
using it.

Supplementary

23
Lesson 5: Changes in Personnel Status

Target Outcomes

At the end of the lesson, you are expected to:


1. Enumerate and discuss the different movement of employees; and
2. Identify the laws that govern legal termination from service.

Abstraction

24
This lesson focuses on the movement of employees within the organization and the basis
for such decision. This change in employment is just a typical situation in every workplace.
Since one of the goals of the organization is to find and put the right person in the right job or
position, a continuous movement of employee takes place. This movement includes promotion,
transfer, demotion or separation.

Promotion

Utilization of Learning

Case Study

Employee Layoffs at the University Medical Center

The University Medical Center is a medium-sized, 300-bed capacity hospital in


Dasmarinas City. The facilities have grown gradually over the years and considered one of the
largest in the City. Although it is unionized, it has never experienced an employee layoff since its
inception.
Sister Lallaine Buenaobra, the CEO of the hospital for eight years, presented a rather
bleak financial picture during the most recent quarterly meeting of the board of directors or
BOD. This, according to her, is the result of the declining occupancy rate brought about by the
opening of the biggest government hospital in the province. This has affected the income of the
hospitals posting a net loss in its latest income statement. Such declines have not been unusual
for this industry because of increasing competitions. So far, the only response to these changes
has been a tightening requirements for equipment and supply purchases. The projected deficit for
the coming year is around P1,300,000.00 unless some additional revenues are identified or some
additional savings found. The BOD’s recommendation is employee layoffs, which, according to
the board is the only realistic alternative. They recommend laying off up to 25% of the hospital’s
employees.
Melinda Dumael, the HR director of the hospital was given the task to implement the
recommendation of the board.

Help Melinda and Siter Lallaine solve this problem by following the steps:

1. State the main problem of the hospital


2. State the different areas of consideration using SWOT Analysis of the Hospital.
3. Provide your proposed alternative course of actions or ACA (minimum of three) to help the
hospital overcome this problem.
4. State your recommendations based on your ACA.
5. Provide a conclusion/detailed action plan to implement your recommendation using the guide
below.

Specific Activity Person Responsible Time Frame Budgetary


requirements

25
Note: This case study is written by Crispina Corpuz and was inspired by the article about Banco
Filipino employees protest against illegal layoff written by Ina Ableco Silverio in bulatlat.com
and

Supplementary

Appendix

Learning Resource Materials

Chapter 3: Compensating Human Resources, Employee Benefits and Services

Lesson 1: Compensating Human Resources

Target Outcomes

26
At the end of the lesson, you are expected to:

1. Identify the factors involved in motivating employees ;


2. Identify the role of pay structure in an organization; and
3. Recognize how compensation plans are created.

Abstraction

Irvin (2011) defines compensation as the set of rewards that organizations provide to
individuals in return for their willingness to perform various jobs and tasks within the
organization. It includes all forms of financial returns and tangible services and benefits
employees receive as part of an employment relationship. It also includes various elements such
as base salary, incentives, bonuses, benefits and other rewards.

The objective of compensation is to create a system of rewards that is equitable to the


employer and employee alike. For the compensation policy to be more effective, it should be:

1. Adequate to meet the needs of the employer and to acquire and retain qualified personnel.

2. Equitable.

3. Balanced

4. Cost-effective.

5. Secure

6. Incentive providing

7. Acceptable to the employee

8. Compliant with legal regulation.

The main components of compensation are the following

1. Base pay

2. Premium pay

3. Base pay progression

4. Variable pay.

Study this Powerpoint presentation https://www.slideshare.net/ShyamasundarTripathy/compensation-ppt


which shows what compensation management is, the Types of compensation, its purpose, the
factors that affect compensation, inputs in compensation structure, anatomy pay structure,

Utilization of Learning

1. Compare and contrast individual incentive pay to a group incentive pay system.

2. What piece of advice you will give someone whose goal is to earn a great deal of money?

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3. Differentiate wage and salary.

Supplementary

Compensation Management- https://www.slideshare.net/ShyamasundarTripathy/compensation-ppt

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