Strategic Human Resources Planning, Seventh Edition
By Monica Belcourt and Mark Podolsky
Contents:
About the Series xxi
About the Authors xxii
Preface xxiii
Acknowledgments
Chapter 1 Strategic Management 1
Chapter Learning Outcomes 1
Strategic Management at The Bay 2
A Need for Strategic HRM 2
Strategy 3
Strategic Types 6
Corporate Strategies 6
Business Strategies 10
The Strategic Planning Process 11
- Establish the Mission, Vision, and Values 11
- Develop Objectives 14
- Analyze the External Environment 15
- IdentifY the Competitive Advantage l 5
- Determine the Competitive Position 18
- Implement the Strategy 19
- Evaluate the Peiformance 19
Benefits of Strategy Formulation 20
Summary 21
Key Terms 22
Discussion Qyestions 22
Exercises 23
Case Study: Loblaw Companies Ltd. 23
References 26
Chapter 2 Aligning HR with Strategy 2 9
Chapter Learning Outcomes 29
HR Structure at Johnson and Johnson 30
Strategic HRM 30
Theories of the Strategic Management of Human Resources 31
HRM Making Strategic Contributions 3 l
The Contingency Perspective 32
Strategic HR Planning 35
The Importance of Strategic HR Planning 36
Improved Goal Attainment 36
Linlcing HR Processes to Strategy 37
Corporate Strategy Leads to HR Strategy 38
HR Competencies Lead to Business Strategy 43
Reciprocal Interdependency Between HR Strategy
and Business Strategy 43
HR Becomes a Business Partner 43
Strategic Partnering 44
Becoming More Strategic 45
HR Strategy Differentiation 46
Characteristics of an Effective HRM Strategy 46
Focus on Results 48
Summary 49
Key Terms 49
Discussion Qiestions 4 9
Exercises 4 9
Case Study: Linking HR Practices to Performance 50
References 51
Chapter 3 Environmental Influences on HRM 55
Chapter Learning Outcomes 55
Environmental Scanning at GM 56
Introduction 56
Environmental Scanning Sources and Methods 57
Sources of Information 58
Methods of Forecasting 61
Competitive Intelligence 6 l
Challenges in Environmental Scanning 62
Isolating the Critical from the Insignificant 62
Environmental Factors 62
Economic Climate 63
Globalization 64
Political and Legislative Factors 65
Technological Factors 65
Demographic Factors 67
Social and Cultural Factors 69
Stakeholders 70
Responding to External Factors 72
A Proactive Approach 73
Summary 76
Key Terms 76
Discussion Qyestions 76
Exercises: Scenario Planning 7 6
Case Study: Worl<-Life Family Balance 77
References 78
Chapter4 The HR Forecasting Process 80
Chapter Learning Outcomes 80
Workforce Planning in Canada 81
What Is HR Forecasting? 81
The Strategic Importance of HR Forecasting 81
Increasing Organizational Flexibility 83
Ensuring a Close Linkage to the Macro Business
Ensuring That Organizational Requirements Take Precedence
Over Issues of Resource Constraint and Scarcity 85
The Value of Human Capital to the Firm 86
Generic Human Capital 86
Firm-Specific Human Capital 86
Human Capital Stock and Flows 86
Key Human Capital Analyses Conducted by HR Forecasters 88
Strategic Forecasting 88
The Forecasting Process 90
Forecasting Methods 91
Environmental and Organizational Factors Affecting HR Forecasting 94
HR Forecasting Time Horizons 94
Reconciling Net HR Requirements 97
Institute HR Programs and Policies 97
Summary 97
Key Terms 99
Discussion Qyestions 99
Exercise 99
Case Study: Forecasting for Home Support Workers 100
References 101
Chapter5 Deten11ining HR Demand 103
Chapter Learning Outcomes 103
Increase in Uncertainty Around the Demand for Labour
in Canada 104
Forecasting Demand 104
Certainty in Forecasting 105
Volume and Complexity of Available Data 105
Qyantitative Methods 106
Trend/ Ratio Analysis 106
Time Series Models 108
Regression Analysis 109
Structural Equation Modelling 117
Qyalitative Forecasting Techniques 117
Management Survey 117
Scenario Planning 119
Delphi Technique 121
Nominal Group Technique 123
HR Budgets/ Staffing Tables 124
Combining Qyantitative and Qyalitative Methods 126
Simulation 127
Summary 129
Key Terms 129
Discussion Qyestions 129
Exercise: Scenario Planning 130
Case Study: Ontario Power Generation 131
References 132
Chapter6 i\scertaining HR Supply 135
Chapter Learning Outcomes 135
Aboriginal People: A Growing Labour Source 136
In troduction 136
Segmen ting the Internal Supply of Human Capital 137
HR Supply Programs 140
The Role of Employers in Influencing Supply 140
Other Labour Pools l 40
Influence of Government Programs 141
HR Retention Programs 142
Methods for Modelling the Supply of Human Capital 144
Skills and Management Inventories 144
Markov Models 14 5
Linear Programming and Simulation 14 9
Movement Analysis 150
Vacancy Model 152
Substitution and Other Gap Strategies 154
Managing the Bullwhip Effect 156
Summary 157
Key Terms 157
Discussion Qiestions 158
Exercise 15 8
Case Study: HR Planning at M&K 159
References 161
Chapter 7 Succession Management 165
Chapter Learning Outcomes 165
Succession Management at Edwards Lifesciences 166
Importance of Succession Management 166
NEL
Evolution of Succession Management 168
Broader Focus 168
Time Horizon 169
Talent Pools l 6 9
Rating System 171
Succession Management Process l 72
Summary 188
Key Terms 18 9
Discussion Qyestions 189
Exercises 189
Case Study 1: The People Development Framework at Ford of Canada 190
Case Study 2: Executive Succession Management Program at Emend
xiv
Management Consulting 192
References 194
Chapter 8 Information Technology for HR Planning 198
Chapter Learning Outcomes 198
Software for HR Planning 199
IT and HRM 199
New Service Delivery Models 200
Web-based HR 200
Enterprise Portals 201
Self-Service 201
Different Solutions for Different Needs 201
HRIS 202
Specialty Products 203
Enterprise Solutions 203
Big Data 203
Types of Big Data 204
The Five Pillars of Big Data 205
Artificial Intelligence and Machine Learning 206
Ethics and Big Data 206
HR Metrics and Workforce Analytics 207
Maximizing the Benefits of HR Metrics 210
Other Aspects of IT for HR Planning 212
Workforce Management and Scheduling 212
Forensic Reporting 213
Ensuring Data Security 213
Evaluating HR Technology 214
Conduct a Needs Analysis 214
Summary 215
Key Terms 215
Discussion Qyestions 216
Exercises 216
Case Study: Sustaining Talent with Strategic Workforce Planning
Software at the Energy Resources Conservation Board 217
References 218
Chapter9 Change Management 220
Chapter Learning Outcomes 220
Can HR Lead Change? 221
Why Is Organizational Change Important? 221
The Increasing Pace of Change 222
Societal, Industrial, and Organizational Levels of Change 222
Models of Organizational Change 223
Organizations as Open Systems 223
The Importance of Feedback 224
Single-Loop Learning 224
Double-Loop Learning 225
The Generic Model of Change 226
Recognizing the Need for Change and Starting the Process 226
Diagnosing What Needs to Be Changed 226
Planning and Preparingfor Change 227
Implementing the Change 229
Sustaining the Change 230
The Planned Model of Change 231
Field Theory 232
Group Dynamics 233
Action Research 234
Three-Step Model 235
Development of the Planned Change Approach 237
Emergent Change 238
Chaos Theory and Emergent Change 23 9
Organizational Learning 241
Strategic HR and Change 245
Summary 247
Key Terms 247
Discussion Qyestions 247
Exercises 24 7
Case Study: Change at Tiger Boots 248
References 250
Chapter 10 Downsizing and Restructuring 253
Chapter Learning Outcomes 253
Downsizing: A Thing of the Past? 254
The Downsizing Phenomenon 254
Defining Downsizing and Restructuring 255
W’hy Do Organizations Downsize? 257
The Downsizing Decision and the Sears Closure 258
Alternatives to Downsizing 259
The Future of Work 260
Artificial Intelligence and job Loss 260
The Amazon Effect 262
Inplacement and Outplacement Issues 262
Some Ethical Considerations 263
Planningfor Downsizing 264
Adjusting to job Loss 264
The “Survivors” of Downsizing 266
Perceptions of justice 267
Survivor Reactions 268
Impact on the ”Downsizers ” 26 9
Financial Performance and Downsizing 269
Consequences of Downsizing 271
Downsizing Strategies 273
Strategic Downsizing 273
Effective and Ineffective Approaches 274
The “New Deal” in Employment and the Psychological Contract 274
Labour Relations Issues 276
Summary 277
Key Terms 277
Discussion Qyestions 277
Exercises 278
Case Study: A Downsizing Decision at the Department of Public Works 278
References 280
Chapter 11 Strategic International HRM 287
Chapter Learning Outcomes 287
The Would-Be Pioneer 288
Introduction 288
Key Challenges Influencing HR Practices and Processes
Within an International Context 289
Workforce Diversity 289
Employment Legislation 289
Security 289
Strategic International Human Resources Management 290
The Domestic Stage and Strategy 291
The Multidomestic Stage and Strategy 291
The Multinational Stage and Strategy 291
The Global Stage 292
Key HR Practices and Processes Within an International Context 293
International Assignments 293
Purposes of International Assignments 293
Types of International Assignments 2 94
International Human Capital Demand and Supply 295
- Labour Market Data 297
- External Human Capital Demand and Supply 298
- The Environment 298
- Flexible Labour Strategies 2 9 8
International Recruitment and Selection 299
Recruitment 299
Selection 301
Pre-Assignment Training 302
Post-Assignment Activities 304
Repatriation 304
Career Development 305
Labour Relations 307
Summary 308
Key Terms 308
Discussion Qyestions 309
Exercises 3 09
Case Study: Dangerous Assignments 310
References 311
Chapter 12 Mergers and Acquisitions 315
Chapter Learning Outcomes 315
Big Is Beautiful 316
Mergers and Acquisitions 316
Definitions 316
The Urge to Merge 318
Strategic Benefits 318
Financial Benefits 320
Management Needs 321
Merger Methods 321
The Success Rate of Mergers 322
Financial Impact 322
Impact on Human Resources 324
Cultural Issues in Mergers 325
HR Issues in M&As 330
HR Planning 3 31
Selection 3 3 5
Compensation 336
Peiformance Appraisal 337
Training and Development 337
Labour Relations 337
Evaluation of Success 338
Summary 339
Key Terms 339
Discussion Qyestions 33 9
Exercise 3 3 9
Case Study: Molson Coors and Acquisitions 340
References 341
Chapter 13 Outsourcing 345
Chapter Learning Outcomes 345
Outsourcing at Canadian Banks 346
Outsourcing 346
Outsourcing HR Functions 346
The Rationale for Outsourcing 349
Financial Savings 349
Strategic Focus 3 51
Advanced Technology 352
Improved Service 352
Specialized Expertise 352
Organizational Politics 3 5 3
Benefits to Canada 353
Risks and Limitations of Outsourcing 353
Projected Benefits versus Actual Benefits 3 54
Service Risks 354
Employee Morale 354
Security Risks 3 5 6
Reduced Value 3 5 6
Management of Outsourcing 357
Selecting the Vendor 357
Negotiating the Contract 359
Monitoring the Arrangement 360
Policy Options to Limit Outsourcing 362
Summary 362
Key Terms 362
Discussion Qyestions 362
Exercise 363
Case Study: Outsourcing at Texas Instruments Canada 363
References 363
Chapter 14 HR Assessment and Analytics 367
Chapter Learning Outcomes 367
Keeping Score with the Scorecard 368
Workforce Analytics 368
The Importance of Evaluating HRM 369
Resistance 3 70
Rationale 3 71
The SC Model of HRM Impact 373
Compliance 373
Client Satisfaction 3 73
Culture Management 377
Cost Control 379
Contribution 3 81
How HR Contributes to Organizational Performance 381
Financial Measures 381
Measures of Managerial Perceptions of Effectiveness 383
Approaches to Measuring HRM Practices 384
Cost-Benefit Analysis 3 84
Utility Analysis 3 85
Benchmarking 386
The HR Scorecard 388
Measuring the Worth of Employees 389
Universality of Best Practices 3 90
Separation of Cause and Effect 392
Successful Measurement 393
Reporting to Boards of Directors and Shareholders 396
The Future of HR Analytics 3 96
Summary 398
Key Terms 398
Web Linl<s 398
Discussion Qyestions 3 9 8
Exercise 3 99
Case Study 1: Talent Management and Workforce Analytics at Frito-Lay 399
Case Study 2: Measuring Culture to Support Growth at CMA 400
References 401
Glossary 407
Index 412