Staffing Exam 1 (ch. 1,2,3,4)
Why Do Employment Laws Exist?
- Because the employer typically has disproportionate power in the employment relationship - Help to promote fairness and consistent treatment among different employees by prohibiting unfair discrimination in employment and providing equal employment opportunity for everyone
Specialization strategy
Focusing on a narrow market segment or niche and pursuing either a differentiation or cost leadership strategy within that market segment (starbucks) -◦Competitive advantage based on customer intimacy: deliver unique and customizable products or services to meet their customers' needs and increase customer loyalty.
7 components of strategic staffing
2. Sourcing Talent: locating qualified individuals and labor markets from which to recruit
5 requirements to have a competitive advantage
2. The resource must be rare among the company's current and future competition
7 components of strategic staffing
3. Recruiting Talent: making decisions and engaging in practices that affect either the number or types of individuals willing to apply for and accept job offers.
Sources of Competitive Advantage
3. Service: provide the best customer service before, during, or after the sale
5 requirements to have a competitive advantage
3. The resource must not be easily imitated by other firms
Sources of Competitive Advantage
4. Quality: provide the highest quality product or service
7 components of strategic staffing
4. Selecting Talent: assessing job candidates and deciding who to hire
5 requirements to have a competitive advantage
4. The resource must not be easily submitted or replaced with another resource
7 components of strategic staffing
5. Acquiring talent: putting together job offers tat appeal to chosen candidates, and persuading job offer recipients to accept those job offers.
Sources of Competitive Advantage
5. Branding: developing the most positive image
5 requirements to have a competitive advantage
5. The company must be organized to be able to exploit the resource
7 components of strategic staffing
6. Deploying Talent: assigning people to appropriate jobs and roles in the organization to best utilize their talents.
Sources of Competitive Advantage
6. Distribution: dominate distribution channels to block competition
7 components of strategic staffing
7. Retaining talent: keeping successful employees engaged and committed to the firm
Sources of Competitive Advantage
7. Speed: excel at getting your product or service to consumers quickly
Sources of Competitive Advantage
8. Convenience: be the easiest for customers to do business with
Sources of Competitive Advantage
9. first to market: introduce products and services before competitors
Complying With Employment Laws
Enhances hiring quality Enhances the firm's reputation and image as an employer Promotes fairness perceptions among job candidates Reduces spillover effects (for example, rejected applicants not becoming customers or discouraging others from applying for jobs) Reinforces an ethical culture Enhances organizational performance by ensuring that people are hired or not hired based on their qualifications, not biases Promotes diversity, which can enhance an organization's ability to appeal to a broader customer base
competitive advantage
something that a company can do differently from its competetitors, allowing it to perform better, survive, and succeed in its industry.
Cost leadership strategy
striving to be the lowest-cost producer for a particular level of product quality (walmart) -Competitive advantage based on operational excellence: maximizing the efficiency of the manufacturing or product development process to minimize costs.
Human process advantage
superior work processes that create a competitive advantage
Staffing strategy
the constellation of priorities, policies, and behaviors used to manage the flow of talent into, through, and out of an organization over time
Human resource strategy
the linkage of the entire human resource function with the firm's business strategy in order to improve business strategy execution.
Affirmative Action
the proactive effort to elimminate discrimination and to ensure nondiscriminatory results in employment practices in the future -An affirmative action plan describes in detail the actions to be taken, procedures to be followed, and standards to be adhered to, when it comes to establishing an affirmative action program
Socializing
the process of familiarizing newly hired and promoted employees with their job, workgroup, and organization as a whole
Workforce planning
the process of predicting an organization's future employment needs and the availability of current employees and external hires to meet those employment needs and execute the organization's business strategy
Sources of Competitive Advantage
2. Cost: be the lowest cost provider
matchmaking process
- Recruiting and selection are interdependent, two-way processes in which both employers and recruits try to look appealing to the other while learning as much as they can about their potential fit. -Applicants and organizations choose each other. - Recruitment continues until the person is no longer a viable job candidate, or until a job offer is accepted and the person reports for work. -Some firms continuously "recruit" current employees to maintain their attractiveness as an employer and enhance retention.
Workforce planning 2
- Usually involves both, the hiring manager and a staffing specialist. - Can be short-term and focus on an immediate hiring need. -Can be long-term and focus on the organization's needs in the future. Workforce planning is better strategically the more it addresses both the firm's short- and long-term needs.
Deriving Staffing Strategy
-An organization's staffing strategy should be derived from, and be clearly supportive of, its overall human resource strategy. -The strategies developed for each HR functional area should support the overall human resource strategy. -The strategy of each functional area of human resources should complement the strategies of the other areas, as well as the organization's higher-level human resource strategy.
Why Does One Company Succeed and Another Fail?
-Differences in their strategic, financial, and technological capabilities. -Differences in organizational capabilities generated by attracting, retaining, motivating, and developing talented employees. -Staffing therefore plays a central role in creating and enhancing any organization's competitive advantage.
Types of Employment Relationships
-Employee: someone hired by another person or business for a wage or fixed payment in exchange for personal services, and who does not provide the services as part of an independent business ---Independent contractor: performs services wherein the employer controls or directs only the result of the work -Contingent workers: any job in which an individual does not have a contract for long-term employment Temporary workersLeased workersPart-time and seasonal workersUnionized workers (e.g., hiring electricians for a project from a union hall)Outsourced work
Traditional Staffing
-Less tied to strategy -More reactive and likely to be done in response to an opening -Lacks continuous improvement effort
Strategic staffing systems incorporate:
-Longer-term planning -Alignment with the firm's business strategy -Alignment with the other areas of HR -Alignment with the labor market -Targeted recruiting -Sound candidate assessment on factors related to job success and longer-term potential -The evaluation of staffing outcomes against pre-identified goals
Growth strategy 2
-Success depends on the firm's ability to find and retain the right number and types of employees to sustain its intended growth. -Organic growth requires an investment in recruiting, selecting, and training the right people to expand the company's operations. -------Mergers and acquisitions expand an organization's business and can also be a way to acquire the quality and amount of talent a firm needs to execute its business strategy.
Business strategy involves the issue of how to compete, but also encompasses:
-The strategies of different functional areas in the firm.How changing industry conditions such as deregulation, product market maturity, and changing customer demographics will be addressed.How the firm as a whole will address the range of strategic issues and choices it faces.
retaining talent
-succession management and career development are effective tools -turnover of high performers can be expensive -turnover of low performers can be beneficial -retention saves money in recruiting and hiring replacements for those leaving
Sources of Competitive Advantage
1. Innovation: develop new products, services, and markets, and improving current ones
5 requirements to have a competitive advantage
1. The resource must be valuable to the firm by exploiting opportunities and/or neutralizing threats in an organization's environment
7 components of strategic staffing
1. Workforce Planning: strategically evaluating the company's current lines of business, new businesses it will be getting into, businesses it will be leaving, and the gaps between the current skills in the organization, and the skills it will need to execute its business strategy.
agency shop
requires non-union workers to pay a fee to the union for its services in negotiating their contract.
Organizational Life Cycle and Strategy Choice
Growth-Maturity-Decline life cycleStrategy during growth phase: -New and growing firms often pursue innovation or differentiation strategies to distinguish themselves from their competition. -Because they are less established and thus higher-risk employers, they often need to invest more money and resources in staffing to attract the talent they need to grow. -Because they lack a strong internal talent pool and need to add new employees as they grow, they frequently need to hire from outside the organization and tend to have an external talent focus.
Where do these employees come from?
It all begins with the staffing process
Staffing Goals
Outcome Goals—after hire -Hiring successful employees -Hiring individuals who will be eventually promoted -Reducing turnover rates among high performers -Hiring individuals for whom the other HR functions will have the desired impact -Meeting stakeholder needs -Maximizing the financial return on the firm's staffing investment -Enhancing employee diversity -Enabling organization flexibility -Enhancing business strategy execution
Staffing Goals
Process Goals—during the hiring process -Attracting sufficient numbers of appropriately qualified applicants -Complying with the law and organizational policies -Fulfilling any affirmative action obligations -Meeting hiring timeline goals -Staffing efficiently
Exceptions to Employment at Will
Retaliatory discharge (prohibited by EEO laws) Implied employment contract (when an employer's personnel policies or handbooks indicate that an employee will not be fired except for good cause or specify a procedural process for firing) Implied covenant of good faith and fair dealing (e.g., firing an employee to prevent their vesting in the pension plan next month) Federal or state discrimination protection supersedes employment at will
staffing Goals
Should be aligned with improving the strategic performance of the staffing system. -The primary staffing goal is to match the competencies, styles, values, and traits of job candidates with the requirements of the organization and its jobs. - Strategic staffing goes even further and enables the organization to better execute its business strategy and attain its business goals. -Staffing goals should be consistent with the goals and needs of all stakeholders in the staffing process, including applicants and hiring managers.
Why is staffing important?
Staffing outcomes determine who will work for and represent the firm, and what its employees will be willing and able to do. -Staffing influences the success of future training, performance management, and compensation programs, as well as the organization's ability to execute its business strategy.
Organizational Life Cycle and Strategy Choice
Strategy choice during decline phase when markets are shrinking and business performance is weakening: -Can pursue a cost-leadership strategy and allow the decline to continue until the business is no longer profitable. -Focus on reducing labor and other costs. -Can try to make changes to revive the product or service. -If it chooses to try to change its product or service, the firm typically adopts a specialization or differentiation strategy. -This can change the talent mix needed..
Organizational Life Cycle and Strategy Choice
Strategy during maturity phase when products and services have fully evolved, and the product's market share has become established: -The focus shifts to maintaining or obtaining further market share through cost leadership, often by streamlining operations and focusing on efficiency. -Because mature companies have a larger pool of internal talent from which to draw, the talent focus becomes more internal.
Strategic Staffing
The process of staffing an organization in future-oriented and goal-directed ways that support the organization's business strategy and enhance organizational effectiveness. This involves the movement of people into, through, and out of the organization
Inferring Disparate Treatment
To establish this type of case of discrimination under the theory of disparate treatment, the plaintiff must show: ◦That he or she belongs to a group protected from discrimination (race, gender, etc.). ◦That he or she applied for the job and was qualified for the job for which the employer was seeking applicants. ◦That despite being qualified he or she was rejected. (The plaintiff does not need to prove that he or she was rejected because of his protected status, only that despite his or her qualifications, he or she was rejected.) ◦That after being rejected, the position remained open and the employer continued to seek applicants whose qualifications were similar to those of the plaintiff.
Integration With Other Areas of HR
Training Performance management Compensation Succession planning Career development Recruitment impacts selection activities and the likelihood of successfully identifying good hires
Talent Philosophy
a system of beliefs about how a firm's employees should be treated
Human capital advantage:
acquiring a stock of quality talent that creates a competitive advantage
Recruiting
all organizational practices and decisions that affect either the number or types of individuals willing to apply for and accept job offers. -Recruiting activities entice them to apply to the organization and accept job offers, if extended.
competitive advantage
anything that gives a firm an edge over rivals in attracting customers and defending itself against competition -To have a competitive advantage a company must be able to give customers superior value for their money (a combination of quality, service, and acceptable price).
Selecting
assessing job candidates and deciding whom to hire. - Operates in a strong legal context
Deploying
assigning talent to appropriate jobs and roles in the organization .-Succession planning and career development enhance deployment options.
How Can Legal Compliance Be Strategic?
avoid the expense of lawsuits, avoid the negative public relations that comes with litigation, allows companies to capitalize on the strengths of diversity and perform better because they focus more on performance and merit, be better able to hire quality people from all segments of the labor force
Growth strategy
company expansion organically (happening as the organization expands from within by opening new locations) or through mergers and acquisitions
differentation strategy
developing a product or service that has unique characteristics developed by customers (juvias place, lush) ◦Competitive advantage based on product innovation.
open shop
does not discriminate based on union membership in employing or keeping workers
employment at will
either party may terminate the employment relationship at any time and for any reason, unless doing so violates an employee's statutory or contractual rights
Equal Employment Opportunity
employment practices are designed and used in a "facially neutral" manner
union shop
employs both union and non-union workers, but new employees must join the union within a specified time limit.
Staffing Quotas
establish specific requirements that certain numbers of people from disadvantaged groups be hired
closed shop
exclusively employs people who are already union members. An example is a compulsory hiring hall, where the employer must recruit directly from the union.
Resource-Based View of the Firm
focuses attention on the quality of the skills of a company's workforce at various levels, and on the quality of the motivational climate created by management
Business Strategy
how a company will compete in its marketplace
Disparate Treatment
intentional discrimination that occurs when people are purposely not given the same hiring, promotion, or membership opportunities because of their race, color, sex, age, ethnic group, national origin, or religious beliefs
Acquiring
involves putting together job offers that appeal to chosen candidates, and persuading job offer recipients to accept those job offers and to join the organization. -Negotiations usually result in employment contracts.
Labor Unions
legally represent workers, organize employees, and negotiate the terms and conditions of union members' employment The conditions of employment are contained in a contract called a collective bargaining agreement or a collective employment agreement
Sourcing
locating qualified individuals and labor markets from which to recruit. -Sourcing identifies people who would be good recruits.
Resource-Based View of the Firm
proposes that a company's resources and competencies can produce a sustained competitive advantage by creating value for customers by: lowering costs, providing something of unique value, or some combination of the two
The American Psychological Association (APA)
◦Published a document that describes test takers' rights and responsibilities. Published the Standards for Educational and Psychological Testing (1999). ◦Publishes reports to address emerging staffing issues such as the APA's position on good and ethical Internet testing practice and test user qualifications. ◦Published ethical guidelines to help staffing experts The Society for Industrial and Organizational Psychology (Division 14 of the APA)
