MGT 365 Exam 1 Chpts 1-5

Disparate Impact

"unintentional discrimination" Occurs when a neutral employment practice disproportionately excludes a protected group from employment opportunities. A theory of discrimination based on facially neutral employment practices that disproportionately exclude a protected group from employment opportunities

Growth Strategies (directional strategies)

- External and Internal External: emphasis on acquiring vendors and suppliers or buying businesses that allow company to expand into new markets Internal: focusses on new market and product development

Ability

-Ability refers to how capable the employee at performing a task

managing talent includes:

-Acquiring and assessing employees -Learning and development -Performance management -Compensation

Labor-Employee Relations

-Employees - asset or expense? -How much should employees participate in decision making? -What rights do employees have? -What is the company's responsibility to employees? -The approach a company takes in making these decisions can result in successfully achieving its short and long-term goals or ceasing to exist.

advantages of independent workers and contractors

-Frees the firm from administrative tasks and financial burdens associated with being the "employer of record" -Agencies may test employees -Agencies may train employees -The temporary person brings an objective perspective (unbiased perspective) to the organization's problems and procedures

Work Flow Design

-Important in understanding how to bundle tasks into discrete jobs -It is the process of analyzing the tasks necessary for the production of a product or service, prior to allocating and assigning tasks to a particular job category or person

financial control

-Is there a right to direct or control the business part of the work -Significant investment: if you have sig investment in your work, independent contractor -Expenses: if you are not reimbursed, IC -Opportunity for profit or loss: if you can realize a profit or incur a loss, suggests you are in business for yourself

HRM Practices

-Job Analysis/Design -Recruitment/Selection -Training/Development -Performance Management -Pay Structure/Incentives/Benefits: -High pay and/or benefits relative to competitors can help company attract and retain high-quality employees, but might have a negative impact on overall labor costs. -Tying pay to performance can elicit specific activities and levels of performance from employees.

Knowledge

-Knowledge refers to factual or procedural information that is necessary to perform the job successfully

Organization Structure

-Need to understand how jobs at different levels relate to each other -It refers to the stable and formal network of vertical and horizontal interconnections among jobs that constitute the organization

Broad vs Specific Job descriptions

-On one hand, need to be written broadly bc overly restrictive descriptions make it easy for someone to claim that some important task is "not my job" -But lack of specificity can result in disagreement and conflict between people about the essential elements of what the job entails.

engaged employees are...

-Passionate about his or her work -Committed to the company and its mission -Works hard to contribute

Labor Force and Employment Characteristics:

-Population is the most important factor in determining the size -and composition of the labor force -Labor force is aging -Service sector is growing -Education is important to meet job requirements -Shortage of qualified candidates

Characteristics of forecasting

-Predict areas within the organization where there will be future labor shortages or surpluses -Can use statistical or judgmental methods

common themes of employee engagement:

-Pride in employer -Satisfaction with employer -Satisfaction with the job -Opportunity to perform challenging work -Recognition and positive feedback -Personal support from manager -Effort above and beyond the minimum -Understand link between one's job and company's mission -Prospects for future growth with the company -Intention to stay with the company

Effects of Downsizing

-Reduce labor costs -Technological changes reduce need for labor -Organizations change business location for economic reasons -Has negative effects on long-term organizational effectiveness -Leads to a loss of talent, disrupts the social networks needed to promote creativity and flexibility -Lets go of irreplaceable assets -Motivation levels drop off

Skill

-Skill is the level of proficiency required to perform a task

statistical methods of forecasting

-Statistical methods capture historic trends for labor supply and demand, and can be used to predict future labor supply and demand

strategic management is a process used for

-analyzing a company's competitive situation -developing the company's strategic goals -devising a plan of action and allocation of resources that will help a company achieve its goals

most important factors in determining employee engagement and commitment to their current employer

-having opportunities for career growth -learning and development -performing exciting and challenging work

Job Design

-part of a system of HR practices and sets the stage for the other practices The scope of the job influences what types of skills are needed and what types of training is required

5 variables of strategic implementation

1. Organizational structure 2. Types of information and information systems 3. HRM tasks & task design 4. Selection, training, and development of people 5. Reward systems HRM has primary responsibility for task, people, and reward systems and can directly affect structure and information and decision processes.

in regards to OSHA, employees have the right to

1. Request an inspection. 2. Have a representative present at an inspection. 3. Have dangerous substances identified. 4. Be promptly informed about exposure to hazards and be given access to accurate records regarding exposures. 5. Have employer violations posted at the work site.

what constitutes sexual harassment?

1. Submission to such conduct is made either explicitly or implicitly a term or condition of an individual's employment, 2. Submission to or rejection of such conduct by an individual is used as the basis for employment decisions affecting such individual, or 3. Such conduct has the purpose or effect of unreasonably interfering with an individual's work performance or creating an intimidating, hostile, or offensive working environment.

OSHA Inspections

1. The compliance officer reviews the employer's records of deaths, injuries, and illnesses. 2. The officer, typically accompanied by a representative of the employer (and perhaps by a representative of the employees), conducts a "walkaround" tour of the employer's premises. 3. Employee interviews may take place during the tour. 4. In a closing conference, the compliance officer discusses the findings with the employer, noting any violations.

independent contractors 3 way test

1. behavioral control 2. financial control 3. relationship of the parties

Jobs can be defined in terms of 5 characterisitics

1. skill variety 2. task identity 3. autonomy 4. feedback 5. task significance

4 links between HRM and Strategic Management Process:

Administrative linkage, one-way linkage, two-way linkage, and integrative linkage

internal

Applicants are well known to the firm and relatively knowledgeable about the job -Cheaper and faster to fill vacancies internally -Inside hires often outperform outsiders

1. competencies required of HR professionals HR technical expertise and practice

Apply the principles of HRM to contribute to the success of the business

Forecasting

Ascertain the supply of and demand for various types of human resources -on both the supply and demand sides, can use either statistical methods or judgmental methods.

Occupational Safety and Health Act (OSHA)

Authorizes federal government to establish and enforce occupational safety and health standards for all places of employment engaging in interstate commerce.

opportunities of external analysis

Customer markets that aren't being served, technological advances that can aid the company, and labor pools that have not been met

Perceptual-Motor Approach

Design jobs that don't exceed people's mental capabilities and limitations

7. competencies required of HR professionals Organizational Leadership and Navigation

Direct initiatives and processes within the organization and gain buy-in from stakeholders

6. competencies required of HR professionals Communications

Effectively exchange and create free flow of information with and among various stakeholders at all levels of the organization to produce meaningful outcomes

General Duty Clause (OSHA)

Employer has overall obligation to furnish employees with a place of employment free from recognized hazards Safety and Health is about being sensible, prudent and using common sense

Biological Approach (ergonomics)

Examines the interface between individuals' physiological characteristics and the physical work environment -Applied to redesigning equipment for jobs that are physically demanding -Provides a climate that values safety and health

Motivational Approach

Focuses on psychological and motivational potential of a job It views attitudinal variables (such as satisfaction) as the most important outcomes of job design

Title VII of the Civil Rights Act of 1964

Forbids discrimination based on race, color, religion, sex, or national origin

Independent Contractors

Freelancers, who are not employed directly by the company

Company has 3 types of assets:

HR needs to ensure that it plays a pivotal role in the combining of these 3 assets, particularly intangible assets to ensure competitive advantage

Integrative linkage

Highest Level have their HRM functions built right into the strategy formulation and implementation processes. Dynamic and multifaceted

Mechanistic Job Approach

Identify the simplest way to structure work that maximizes efficiency. The mechanistic approach has roots in classical industrial engineering. The focus of the mechanistic approach is identifying the simplest way to structure work that maximizes efficiency.

4. competencies required of HR professionals Ethical Practice

Integrate core values, integrity, and accountability throughout all organizational and business practices

3. competencies required of HR professionals Critical Evaluation

Interpret information to determine return on investment and organizational impact in making recommendations and business decisions

what is a challenge of downsizing?

It is difficult to boost the morale of employees who remain after downsizing.

Defendants Rebuttal: Bona Fide Occupational Qualification (BFOQ)

Job qualification based on race, sex, religion etc. that the employer asserts is necessary qualification for the job -Hooters

Job Specifications

Knowledge, skill, ability, and other characteristics (KSAOs)

5. competencies required of HR professionals Global and Cultural Effectiveness

Manage HR both within and across boundaries

9. competencies required of HR professionals Relationship Management

Manage interactions with and between others with the specific goal of providing service and organizational success

external

May not be any qualified internal recruits -Exposure to new ideas or ways of doing business -Good way to strengthen one's own company and weaken one's competitors at the same time

when can we make informed decisions about how to redesign or improve jobs to benefit the entire org?

Only after we understand how one job relates to supervisors and subordinates and at the same level in different functional areas

Link between strategy and HR practices is primarily through

PEOPLE -Job analysis and design -Recruitment -Selection systems -Training and development programs -Performance management systems -Reward systems -Labor relations programs

physical assets

PPP

"leads-the-market" approach to pay

Paying higher-than-current-market wages -Also raise wages faster than competitors -Can be used to compensate for less desirable aspects of the job - shift differentials

Threats of external analysis

Potential labor shortages, competitors entering the market, pending legislation that might adversely affect the company

Americans with Disabilities Act of 1990 (ADA

Prohibits discrimination against individuals with disabilities

Age Discrimination in Employment Act of 1967 (ADEA)

Prohibits discrimination in employment against individuals 40 years of age and older

8. competencies required of HR professionals Consultation

Provide guidance to stakeholders such as employees and leaders seeking expert advice on a variety of circumstances and situations

sexual harassment

Refers to unwelcome sexual advances -Although allegations and charges have been decreasing since 2010, sexual harassment is still very prevalent in the workplace Filings by men have increased

Equal Pay Act of 1963

Requires that men and women performing equal jobs receive equal pay

With technology constantly changing and employers attempting to keep talented employees away from their competition, which legal issue may be on the rise in the United States?

Security of intellectual property will receive more attention.

Strategy Formulation:

Strategic planning groups decide on a strategic direction by defining the company's mission and goals, its external opportunities and threats, and its internal strengths and weaknesses. -Create alternatives and then weigh out those alternatives to see which best fits the mission and vision of a company

Job Descriptions

Tasks, duties and responsibilities (TDRs). They are observable actions.

Contribution Margin

The amount remaining from sales revenues after all variable expenses have been deducted. what contributes to your ability to cover your fixed costs

employee engagement

The degree to which employees are fully involved in their work and the strength of their commitment to their job and the company

Strategy implementation

The organization follows through on the strategy that has been chosen -This includes structuring the organization, allocating resources, ensuring that the firm has skilled employees in place, and developing reward systems that align employee behavior with the strategic goals -This process entails a constant cycling of information and decision making

Strategic HRM (SHRM)

The pattern of planned human resource deployments and activities intended to enable an organization to achieve its goals SHRM requires assessing employee skills required to run systems and developing necessary skills

Job Analysis:

The process of systematically identifying tasks, duties, responsibilities to be performed in a single job, and the competencies employees must possess to be successful

hostile working environment

This occurs when someone's behavior in the workplace creates an environment that makes it difficult for someone of a particular sex to work

2. competencies required of HR professionals Business Acumen

Understand business functions and metrics within the organization and industry

sexual harassment is when there is

Unwelcome sexual advances, requests for sexual favors, and other verbal or physical contact of a sexual nature

vertical alignment

Vertical alignment occurs when HR practices and processes are aimed at addressing the strategic needs of the business

image advertising

When an organization promotes itself to help draw applicants Important for companies in highly competitive labor markets that perceive themselves as having a bad image Influence the degree to which the person feels attracted to the organization

Plantiffs Burden - Prima Facie:

Whenever individuals are treated differently because of their race, sex, or the like, and there is an actual intent to treat them differently; the plaintiff must prove that there was a discriminatory motive—that is, that the employer intended to discriminate

Scientific Management Approach

Workers are trained in the "one best way" to do a job, then selected on their ability to do the job. - was one of the earliest and best-known statements of the mechanistic approach. According to this approach, productivity could be maximized by taking a scientific approach to the process of designing jobs.

Disability

a mental or physical impairment that substantially limits one or more major life activities as defined by the Americans with Disabilities Act (ADA) 1990

Strategic management

a process to address the organization's competitive challenges by integrating goals, policies and action sequences into a cohesive whole -The goal of strategic management is to deploy and allocate resources in order to gain competitive advantage

behavioral control

a worker is an employee when the business has the right to direct and control the worker. If you need extensive instructions, you are an employee. If you receive less extensive instruction about what should be done but not how it should be done, you may be an independent contractor

Two-way linkage

allows for consideration of HR issues during the strategy formulation process and are interdependent. 1. Strategic planning team informs the HRM function of various strategies 2. HRM executives analyze HR implications of various strategies 3. Once decision is made, HRM executive develops programs to implement it

work redesign

altering jobs to increase both the quality of employees' work experience and their productivity to redesign work, detailed information about existing jobs must be available

offshoring is controversial because

although it may help a companys bottom line, it harms many citizens who lose their jobs and then look to their government for relief

intangible assets

an asset that includes human capital, customer capital, social capital and intellectual capital

Demand Forecasts

are developed around specific job categories or skill areas relevant to the organization's current and future state

Direct Applicants

are people who apply for a vacancy without prompting from an organization They may be responding to a job ad or it may be a "cold" application

Referrals

are people who are prompted to apply for a vacancy by someone within the organization

Margins

are the difference between what you charge for your product and the variable costs of that product

Job Evaluation

assessing the relative dollar value of each job to the organization to ensure equitable pay structures

Internal Analysis

attempts to identify the organization's strengths and weaknesses. Focuses on the quantity and quality of resources available to the organization - financial capital, technological, and HR

OSHA effects

because the act doesn't directly regulate employee behavior, little behavior change can be expected unless employees are convinced of the standards importance

Building Block: Job Analysis

building block of everything human resource managers do. Almost every HRM program requires some type of information that is gleaned from job analysis

financial assets

cash and securities

Directional Strategies (4)

companies use 4 possible categories of directional strategies to meet objectives Growth strategies Mergers and Acquisitions Concentration Strategy Downsizing

External Analysis

consists of examining the organization's operating environment to identify the strategic opportunities and threats

Executive Branch

consists of the President of the United States and regulatory agencies the president oversees.

Judicial Branch

consists of the federal court system, which is made up of three levels. (U.S. District Courts, U.S. Courts of Appeals, Supreme Court)

Fixed Costs

costs that incurred regardless of the number of units produced

Variable Costs

costs vary depending directly on the number of units produced

distribution channels are an example of

customer capital

customers (important stakeholder)

customers who want a high-quality product or service

Executive orders are

directives issued and amended by the President of the United States

ADA prohibits

discrimination on grounds of disability Aims to give equal opportunities to people with disabilities, instead of looking for disabilities, look for abilities

internal vs external recruiting

do you hire from within the company (from existing pool of employees) or do you hire somebody from outside of the company

Autonomy

does the job allow an individual to make decisions about how the work will be carried out

Training and Development

every employee will require some form of training to upskill them

skill variety

extent to which the job requires a variety of skills

SWOT

external analysis and internal analysis combined.

Concentration Strategy (Directional Strategies)

focuses on increasing market share, reducing costs, and/or creating and maintaining a market niche for products and services

Performance Appraisal

having detailed information about how well an employee is doing his/her job

Selection

identifying the most qualified applicants for a particular job

Plantiffs Rebuttal

if the defendant (employer) provides a legitimate, non-discriminatory reason for its employment decision, then the burden of shifts back to the plaintiff

even though image advertising doesn't provide info about any specific job

image advertising is often effective bc job applicants develop ideas about the general reputation of the firm and then this spills over to influence their expectations about the nature of specific jobs or careers at the organization

what does the strategic management process include?

include mission, goals, external and internal analysis and strategic choice.

Analyzing work inputs

including raw materials, equipment, and human skills

disparate treatment occurs when

individuals are treated differently because of their race, sex, etc.

Forecasting - to meet current and future needs, company needs to make sure

individuals with the right skill sets are where they need to be at the right time

competitive advantage

is a company's ability to create more economic value than its competitors

offshoring

is outsourcing where jobs leave one country and go to another the jobs that move leave one country and go to another The United States has lost over 5 million manufacturing jobs to China since the mid 1990s

Administrative Linkage

is the lowest level of interaction. HRM function's attention is focused on day-to-day activities. Has no time or opportunity to take a strategic outlook toward HRM issues. The companys strategic business planning function has no input from the HRM department

Strategic Choice

is the organization's strategy and describes the way the organization will attempt to fulfill its mission and achieve long-term goals. -Its HRMs role to keep close tabs on the external environment for HR - related opportunities and threats, especially those directly related to the HRM function

Feedback

is the worker receiving clear information about performance effectiveness

According to emerging changes in the employment relationship, which benefit do employees typically not expect to be provided by employers?

job security

Just-in-time inventory

keeps inventory to a bare minimum but also keeps costs down

Human Resource Planning

managers analyze the organizations human resources needs so it can adapt to change

Career Planning

matching an employee's individual skills, experiences and their ambitions with future opportunities within the organization

Mergers and Acquisitions (Directional Strategies)

merging with a similar company or buying another company outright

Legislative Branch

of the federal government consists of the House of Representatives and the Senate. These bodies enact laws that govern many HR activities.

The one-way linkage level

often leads to strategic plans that companies cannot successfully implement.

A vacancy provides

opportunity for advancement and promotion (promote-from-within policies) Sometimes upsets current managers of employees who are recruited away Bringing in recruits from external sources often helps spur creativity and innovation

Gross Margin

percentage of revenue left is the total amount of margin you made and is calculated as the number of units sold times the contribution margin

Reasonable accommodation

places a special obligation on an employer to affirmatively do something to accommodate an individual's disability or religion assistance or changes to a position or workplace that will enable an employee to do his or her job despite having a disability

Downsizing (Directional Strategies)

planned elimination of personnel, decreasing number of employees to enhance organizational effectiveness

Job Design

process of defining the way work will be performed and the tasks to be performed as part of the job

HR focuses on finding

qualified applicants -Process of identifying potential employees, communicating job and organizational attributes to them, and convincing them to apply for available jobs

Competitiveness

refers to a company's ability to maintain and gain market share in its industry

Equal Employment Opportunity (EEO)

refers to ensuring that all individuals have an equal chance for employment, regardless of race, color, religion, sex, or national origin -Enforced through constitutional amendments, legislation, executive orders, and court decisions

Lean Production

refers to processes developed in Japan, but then adopted worldwide, emphasizing manufacturing goods with a minimum amount of time, materials, money—and most important—people

sustainability

refers to the company's ability to meet its needs without sacrificing the ability of future generations to meet their needs

Human Resource Management

refers to the policies, practices, and systems that influence employees' behavior, attitudes, and performance -plays a role in a company's survival, effectiveness, nad performance

talent management

refers to the systematic planned strategic effort by a company to use bundles of HRM practices, including acquiring and assessing employees, learning and development, performance management, and compensation, to attract, retain, develop, and motivate highly skilled employees and managers

Strategic Implementation

requires that "an organization has a variety of structural forms and organizational processes to choose from when implementing a given strategy"

which HRM practice involves employees participating in peer interviews?

staffing

stockholders (important stakeholder)

stockholders who want a return on their investment

most widespread means of eliminating a labor shortage

temporary workers and independent contractors

judgement methods of forecasting

the "best guesses" of experts

strategic management uses both...

the HRM function Using a business model to create value for customers

task identity

the degree to which a job requires completing a "whole" piece of work from beginning to end

Mixed Motive Cases

the employer acknowledges that some discrimination existed in the process but that argues that the hiring decision would have been the same even without a hint of discrimination or bias

One-way Linkage

the firm's strategic business planning function develops the strategic plan then informs the HRM function of the plan -Although one-way linkage does recognize the importance of HR in implementing the strategic plan, it precludes the company from considering HR issues while formulating the strategic plan -This level of integration often leads to strategic plans that the company cannot successfully implement

quality of a firms workforce planning decisions directly affects

the performance of a manager and his/her staff

Downsizing

the planned elimination of large numbers of personnel in order to improve organizational effectives

HR recruitment

the practice or activity carried out by an organization with the primary purpose of identifying and attracting a pool of potential qualified employees

relationship of the parties

these facts illustrate how the business and the worker perceive their relationship: -Employee benefits: if you receive benefits, you may be an employee -Written Contracts: may show what both you and the business intend on

Job Characteristics Model

this describes how job design affects employee reactions

why is equipment including technology and machinery necessary?

to transform raw materials into a product/service

Task significance

to what extent does the job have an important impact on other jobs and workers

Liftout

trying to recruit a whole team of people

successful recruitment depends on

understanding the goals of the company and how the job for which you are recruiting helps achieve those goals

companies that dont meet stakeholders needs are

unlikely to have a competitive advantage over the other firms in the industry

outsourcing

uses an outside organization for a broad set of services (maybe a temp) -use when a firm doesn't have certain expertise and is not willing to invest time and effort into developing it -a firm is interested in getting a much broader set of services performed by an outside organization -Jobs that are proprietary or require tight security should not be outsourced.

Job Analysis is about

what tasks are involved in doing the job efficiently and effectively, and what skills and experience are necessary to do the job successfully

competitiveness is related to company effectiveness

which is determined by whether the company satisfies the needs of stakeholders (groups affected by business practices)

community (important stakeholder)

which wants the company to contribute to activities and projects and minimize pollution of the environment

employees (Important stakeholder)

who desire interesting work and reasonable compensation for their services