MGS 4300 exam One Bunch

Tall vs. Short

The taller the organization, the more layers of management. Generally, the taller the organization, the more centralized the decision-making

Climate

"The way we do things around here." Member perceptions of organizational policies, practices, & procedures. It is important to understand how employees view the organization. For examples, it is difficult for reduce turnover if employees believe that layoffs are imminent. Usually evaluated using a survey. Climate is the manifestation of culture ex: safety climate can can explain immediate behaviors

Culture

"Why we do things the way we do around here." Unique pattern of shared assumptions, values and norms that are reflected in socialization activities, language, symbols, rites, and ceremonies of a group of people. Usually evaluated using a survey but better to evaluate through in-depth interviews and observation. derived from a historical context or organizational operations, values, and traditions that take years and decades to create

Popular short term oriented strategies (3&4)

- downsizing - reducing hours - early- retirement -temporary workers - outsourcing -overtime and expanded hours - employee or independent contractor expensive, loss of talent, disrupted social network, need to retire, "survivor syndrome"

Determining labor supply (external)

- economic conditions such as level of unemployment, interest rates, inflation, ease of credit -demographics including retiring baby boomers, immigration, education levels -government policy regarding issues such as entitlements, student loans, taxes, minimum wage, employer mandates -societal attitudes toward issues such as work, marriage, consumer confidence, desire for economic independence, millennials in adulthood ex: signing bonus for nurses

HR activity that require job analysis

- recruiting and selecting -performance management -compensation -job and organizational design - safety and design -employee discipline

Trend analysis

-observations of economy, actions of competitors, changes in technology, trends in composition of the workforce -constructing and applying statistical models that indicate labor demand for the next year or more given statistics from previous years and anticipated growth in a stable environment -these statistics are called leading indicators (ex : based on demographics hospital may plan for age- related medical admissions -can be difficult to do due to rapid economic decline, fluctuating demand (oil industry), political uncertainty, opioid epidemic (can't pass drug test)

Statistical planning models

-useful for stable environments, requires informed judgment of decision makers -beneficial when there is a long, stable history that can be used to reliably detect relationships among variables. One type of statistical procedure is the analysis of transitional matrix. -models should be complemented with subjective (non-statistcal) judgements of experts -the last few years have been challenging for forecasters because the economy has been so unpredictable -human capital of decision makers is very important

Independent vs Employee determining factors (3)

1. Behavioral- Does the company control when or how the worker works? 2. Financial - are business aspects controlled by payer? - how workers are paid? Expenses reimbursed? Who provides tools? 3. Type of relationship- are there written contracts about benefits? vacation pay?

What are the 7 strategies for managing an organizations ethics?

1. Culture- is ethical behavior valued or rewarded? organization- destruction of the brand, financial losses, litigation increased regulation employees- cynicism, destructive politics, workplace aggression and violence, avoidance behavior (physical tardiness, absenteeism, turnover and psychological: day dreaming, computer activities, other distractions) 2. Code of Ethics- must be clear, comprehensive, enforceable, communicated (minimum standards should include "don't break the law") 3. Corporate goals- must not conflict with stated ethics (ex: wells fargo) 4. Behavior modeling- actions speak louder than words/ lead by example (managers) 5. Training- orientation and ongoing ( teach what employer views as ethical, may need role-playing) 6. Contract- signing a contract to not cheat decreases cheating behavior 7. Perfomance appraisal- recognizing and rewarding ethical behavior

List and illustrate the four components of a remote environment:

1. Economic- general economic conditions, disposable income, wage rates, unemployment rate, inflation rate, productivity, minimum wage 2. Social- demographics, geographic distribution of population, income levels, education, lifestyle trends, leisure, consumption, values, opinions, beliefs 3. Political- laws and regulations at every level (city, county, state, federal) 4. Technological- new products or services, new processes for improving quality, performance, reliability

Explain how the five competitive forces of the industry environment shape strategy:

1. Entry barriers- low barriers are a threat to existing companies because competitors can quickly emerge. (The restaurant industry) 2. Supplier power- powerful suppliers can set prices and access to products, services, and raw materials. Suppliers are powerful when there are few and unique. (GA Power, USPS use to be one) 3. Buy power- powerful buyers buy in large quantities and demand price breaks and play suppliers against each other. (Costco & Walmart) 4. Substitute availability- ex: now there are several different was to watch TV content outside of cable. 5. Competitive rivalry- exit barriers are high, slow growth ex: auto manufacturers vs. new technology

How does HRM contribute to an organizations performance?

1. HRM is traditionally seen as a necessary expense, rather than a source of greater value to the organization.This view is changing for some organizations, but too many employers still focus on costs. 2. Economic value is usually associated with capital (equipment, technology, and facilities) instead of people. 3. HRM can be strategic when decision-makers consider what the future holds for the organization. For example, will downsizing offer short-term cost savings but undermine future needs? 4. Strategic HRM focuses on creating sustainable competitive advantage. This means creating value for customers that competitors cannot easily copy or substitute.

What are the 6 steps of the strategic planning process?

1. Identify the mission and key organizational objectives 2. Examine prospects for the future (SWOT analysis) 3. Review mission and objectives- revisit mission after external and internal analysis to determine if changes are needed 4. Develop strategies -What must be done to achieve goals? 5. Implement plan- How are strategies executed? 6. Evaluate and modify implementation- How well are goals being met? Did the plans work? Has anything changed in the environment?

Accessing reliability (correlation) 2 ways

1. Objective measures - above 80% - test and retest measures consistency - parallel or equivalent ex: two versions of the same exam with same level of difficulty -internal consistency asses how well all test items measures the same KSA (Cronbachs' Alpha is commonly used) 2. Subjective matter- interrator reliability - how well do the scores of one rater compare with another? (ex: english fluency, two interviewers have opposing opinions)

Edgar and Schein described following 3 fundamental levels at which culture manifest itself:

1. Observable artifacts- artifacts provide salient features of a culture although their real meaning may not be readily apparent. Typically measured through observation. ** it's important to look for inconsistencies between what is said and what is observed - physical: office furniture, employee handbooks, and dress code. Ex: a statement in employee handbook describing safety rules -behavior: organizational communication and decision- making. ex: Employees only wear hard hats when OSHA inspector is near by 2. Values- "What ought to be" rather than "what is" ex: Do employees believe their managers value safety more than profits? 3. Fundamental assumptions - subconscious, taken for granted beliefs- verify difficult to evaluate ex: a manager says he values safety but operates differently

List broad factors affecting the organizations HR demands

1. Organization's strategic plan- mission, objectives, strategy (any changes such as entering new markets or facing new competition) 2. Management policies and values. --Some organizations would never consider downsizing for survival (southwest airlines) others view employees as inventory "just-in-time" 3. Organization design and planned change-- decentralizing HR 4. Job design -- giving customer service reps more authority 5. Technologies and system-- automation may change demand for labor 6. EEO goals and plans-- new laws? previous litigation? 7. Trans analysis such as projected growth/decline of sales & employee withdrawal behavior

The process of human resource planning

1. Organizations should carry out human resource planning (HRP) to meet strategic objectives. 2. HRP is the process of determining the strengths and weaknesses of the current quantity and quality of an organization's human capital, forecasting future demand for human capital, forecasting HR supply (internal and external) and developing and implementing the HR practices to insure that there will be adequate human resources to support the organization's goals and strategies to meet those goals. 3. Internal analysis (strengths and weaknesses) - Before forecasting future needs, it is critical to analyze an organization's strengths and weaknesses in the context of external opportunities and threats

Generic strategies that guide an organization (3)

1. Overal cost- sell products/ services for less than competition (Walmart) 2. Focus- focus on specific market segment related to geography (southeast), demographics (baby boomers), or customer needs (assisted living for baby boomers) (Abercrombie) 3. Differentiation- attract customers by offering unique (real or perceived) product or service (Bloomingdales vs. Macy's)

What are the three layers of the external environment?

1. Remote 2. Industry 3. Operating Each influence the organizations ability to be successful

Numerous variables impacting HR's strategic role include:

1. SIZE (bad HRM decisions may have more negative consequences for small business; small business may have trouble competing with large organizations for quality employees, medium sized companies have more accidents per employee than small or large companies) 2. WORKFORCE (internal and external) 3. INDUSTRY 4. MANAGEMENT'S VALUES (organizational culture & climate)

HRM responsibilities (most common)

1. analysis and design of work 2. recruitment and selection (talent acquisition) 3. Training and development 4. Performance management 5. Compensation and beliefs 6. Employee relations 7. Legal compliance 8. Support organizations strategies

6 ways metrics are misused

1. confusing data with information 2. DRIP data rich, information poor -not everything that counts can be counted, not everything counted counts 3. allowing answers to dictate questions ex: # of calls vs customer satisfaction 4. measuring effort vs. effect - quantity vs. quality ex: less accidents for fear of write ups 5. validity issues- are you measuring what you think you're measuring? 6. assuming more is beter too much info is useless

3 approaches to validation

1. content (created)- use of expert judgement to determine how well test items represent the kinds of items, situations, or problems that occur on the job -- good for measuring observable behavior that is concrete (tardiness) 2. criterion- predictor associated with performance (did the test predict success? ) a. predictive- using scores to measure future success probability or future performance b. concurrent- measuring current employee performance to test score 3. construct (purchased) - rigorous, complex, performed by advanced researchers

Standardization (3)

1. content- all person tested with same information ex: same interview question 2. administration- information is collected the same way, every time 3. Scoring- rules are specified in advance ex: responses judged by same criteria

grand or corporate level strategies

1. growth- increase market share 2. stability- maintain market share 3. defensive- regain market share 4. combination- on segment of the company grows while the other maintains market share

What's good test? (3)

1. measures what it claims to measure consistently or reliably ex: same person test twice similar scores 2. measures what it claims to measure ex: cognitive ability vs. concentration 3. test is job related ex. success on the test predicts success on job

3 steps of content validation

1. must demonstrate existence of phenomenon 2. make sure test is testing for phenomenon 3. show relationship between success on test and success on job ex: does writing a story demonstrate creative ability?

How is JA information collected?

1. observation- good for manual jobs(creates hawthorne effect act different b/c being watched) 2. interview- best method 3.DOl 4. Existing company records 5.Job experts (people doing job are best) 6. questionnaires- can be hit or miss 7. diaries- a lot of information but may not all be useful 8.cricital incidents (every job should include) - great for developing scenarios, interview question and performance test.

Ability 3 types

1. physical 2. cognitive (written test) aptitude- accumulation of learning experiences ex: math ability achievement-effects of formal learning (degrees certifications) 3. Personality-most difficult to identify -temperaments- adaptability or trait requirements such as directing, influencing, persuading -stress related- how do they respond to stress? tolerating repetition?

With critical thinking and good data you can do 3 things

1. predict behavior 2. forecast human capital needs 3. expose weakness ex: wells fargo managing metrics

Human resources provide sustainable competitive advantage when human capital is:

1. valuable 2. rare 3. not easily imitated 4. Not vulnerable to substitutes

3 key elements to JA information

1. work activities 2. context 3. employee specification

Why are so many managers incompetent?

1.Most manages can't think on their feet 2. They can't read situational cues 3. They can't identify and execute appropriate action 4. They lack social skills and ability to read nonverbal cues. These skills reduce "coordination cost" 5. No training or the wrong training- 50% either leave or are asked to leave 6. Bad managers often report to bad managers 7. Companies are "slow-to-fire" managers if they're good at something else 8. Managers may be good in one area and the company focuses on those skills 9. Only 25% of managers are effective 50% fail 10. "Social loafing"- enabled them to hide behind the work of a group

Describe how technology will impact employment over the next 20 years.

30% or jobs performed by workers will replaced with technology over the next 10 years. Non- routine jobs (managers) can't be re replaced (currently) by technology robots are cheaper and don't require healthcare, sick leave, or vacation they don't retire or receive unemployment.

Illustrate how the operating environment can effect two similar business in unique ways:

Day-to-day operations specific to an organization and context- factors ex: Mc'D in San Fran vs. Valdosta - different daily operations with the same end goal or Mc D's in miami during zika outbreak vs Mc D's by 85 bridge collapse (different challenges)

How does SWOT analysis apply to the HR function?

Examining prospects for the future: External environment (opportunities & threats)- analyze the organization for strengths and weaknesses in the context of external opportunities and threats. One organization threat is another organization opportunity. Internal analysis (strengths & weakness)- The purpose of internal analysis is to answer the following questions: What are the organizations competitive advantages, business requirements, and key vulnerabilities?

How do four components of remote environment interact?

Influences all industries although not to the same degree. These ofter interact. For example: changes in beliefs about childcare (social) may lead to changes in tax law (political and economic). Organizations often neglect this level of analysis.

Determining labor supply (internal)

Internal: - current inventory of employees -forecasted withdrawal behavior (turnover absenteeism, tardiness) -effectiveness and efficiency projections- job design, new technology, training, better management -replacement planning- charts showing potential and current occupants - succession planning- similar to replacement planning but longer term and more developmentally focused. trends to focus on key positions .

Define employee specifications

KSAs individual must have to perform job knowledge- factual or procedural information needed to successfully perform job ex accounting principles Skills- level of expertise at performing task ex using excel Ability- general trait or capability worker has before learning task

Performance

Key metrics such as market share, profitability, employee turnover, productivity. How we measure success.

List fivefphases of HR planning framework

Phase 1: Identify external and internal forces (SWOT) that may influence organization and HRM. Should be done BEFORE forecasting Phase 2: Forecast HR Demand and Supply Phase 3: Develop HR objectives and goals Phase 4: Design and implement programs based on objectives and goals Phase 5: Evaluation and control *if every company had HR focused on selection it would resolve 80% of it's turnover issues

Explain how psychological contract has changed over the past 25 years.

Psychological contract- is the description of what an employee expects to contribute in an employment relationship and what the employer will provide the employee in exchange for those contributions. gig economy- lay offs, contractors, part-time and "leased" workers have changed how people view working flexibility- (just-in-time employees)

What is SWOT analysis?

Strengths, Weaknesses- internal Opportunities, Threats - external

Explain the role of supervisors in HRM:

Supervisors have always performed HR duties including: 1. interviewing 2. compensation 3. performance management 4. discipline "devolving" HR responsibilities to line managers

High-performance work system

This is an organization in which technology, organizational structure, people, and processes all work together to give the organization an advantage in the competitive environment

Define work activities

What actually happens? - description of task performed: how when, what, why and for whom the activity is performed - materials/ software used -accountability responsibility -interactions with coworkers example: the duty- interacting with the customer

define structure

a key source of strategic failure is incongruity and structure

core competency

a set of knowledge, skills, and abilities that make an organization superior to its competitors and create value for customers.

Define ethics:

beliefs and values that govern decision-making and behavior -- new study shows cheating gets easier over time -- high correlations between cheating in school and cheating on the job -- business management is the less ethical people treat ethics as though its subject to personal interpretation or perception.

Define construct

concept, attribute, or quality such as intelligence or personality ** constructs can not be directly observed or measured

examples of validation (3)

content- est drive a car to diagnose problems for auto tech criterion- job applicants take same test current employees take to measure ability to do job construct- job applicants test on mechanical ability for auto tech job

Define labor supply

determining labor supply calls for a detailed analysis of current employees qualified to meet future demand and then considering the external market using historical data is helpful in these situations if the environment is not hostile

Define effectiveness

doing the right thing

Define efficiency:

doing things right

Define Job context

ex: difference between receptionist at bank and receptionist at hospital physical working conditions- hot, cold, wet, chemicals, etc social context- extent of interactions with coworkers or customers

define strategy

how organization meets objectives

Departmentalization

how the company is organized to best serve customers or improve efficiency (i.e. functional, geographic, customer, product, process) 6 steps

Define measurement

how we quanity a construct such as quality, knowledge, or engagement

How to maintain high-performance work system

includes developing effective (valid) training programs, selecting and retaining employees with requisite KSAs, and rewarding desired behavior

define technology

industry, rate of change, competition

Define Extent of Centralization

is decision making in the hands of few at the top or pushed down to lower levels? Tends to be related to layers of management.

HUMAN RESOURCE MANAGEMENT (HRM)

is defined as policies, practices, and systems that influence employee's behavior, attitudes, and performance.

Matrix

mixed grouping where employee may have two supervisors, department manager and team leader. ** Ford includes members from several departments (marketing, manufacturing, HRM, R&D)

define Onshoring

move high tech and other high skull jobs to rural communities in the U.S

define offshoring

moving operations from where company is headquartered to a county overseas for cheaper labor

leading indicators

objective measures to predict future labor demands

sustainable competitive advantage

organization is better at something and can hold that advantage consistently over long period.

Human Capital

organizations employees, described in terms of their training, experience, judgement (decision making), intelligence, personality, relationships, and insight (deep, often intuitive understanding of complex situations) can add economic value to the organization. 1. Term starting to replace "human resources" 2. By influencing who works for the organization and how those individuals perform, HRM contributes to basic measures of an organization's success such as quality, profitability, and customer satisfaction. 3. HRM is critical to the success of organizations because HUMAN CAPITAL has certain qualities that make it valuable. The effective management of HR can be core competency. An organization can succeed strategically if it has sustainable competitive advantage.

Define Validation

process of confirming assumptions about predicted -- extent to which tested items correlate to job GPA' is reliably because it doesn't change during a semester Cognitive ability is the single best indicator of success

Goal setting phases (3 & 4)

set specific goals after determining labor demand and supply . select one or more strategies to achieve goal other than recruiting: criteria: speed, cost, effectiveness

define life cycle

start up, growth, and decline

Forecasting (Phase 2)

statistical methods and decision- makers judgement are used to forecast supply and demand. statistical methods capture historical trends in a n organization's demand for labor, but statistical methods should supplement judgment, NOT replace it. ** especially during turbulent times.

Define reliability

the degree to which a measure is free from error, consistent, specific, test isn't valid if it's not reliable

Define labor demand

the various types of human resources (over a certain period such as next 12 months or next 10 years. This starts predicting areas with in the organization where there will be a labor surplus or a labor shortage -number and type of employees needed to meet organization needs

Transitional matrix

this chart lists job categories held in one period and shows the proportion of employees in each of those job categories

Geographic

to enhance service or when geography influences customer needs- Federal Reserve

Business function

traditional approach, accounting, marketing, personnel, production

Customer

when customers have unique needs. Retail vs. wholesale, government vs. commercial (boeing)

Product

when products require unique marketing, manufacturing, or service (general motors, GMC trucks, Cadillac, Chevrolet)

Process

when products/services require several processes that involve specialization and expertise. Hospitals are grouped according to functions such as radiology, pharmacy, surgery, emergency, and maternity. Each function may have its own accounting, personnel, and marketing departments.