Chapter 9
Wage Survey
A collection of data on prevailing wage rates within an industry or geographic area
Comparable Worth
A concept that seeks equal compensation for jobs that require equivalent levels of education, training, and skill
External Recruiting
A disadvantage of __________ ___________ is that it is often expensive, especially if private employment agencies must be used
Job Description
A list of elements that make up a particular job. Includes duties to be performed, working conditions, responsibilities, and the tools and equipment that must be used
Replacement Chart
A list of key personnel and their possible replacements within a firm
Replacement Chart
A list of key personnel and their possible replacements within a firm is known as a _______________ __________
Job Specification
A list of the qualifications required to perform a particular job, such as certain skills, abilities, education, and experience
Conferences and Seminars
A method of training that experts and learners come together to discuss problems and exchange ideas
Classroom Teaching and Lectures
A method of training that instructors present concepts and illustrations through a variety of techniques
Role Playing
A method of training that participants act out others' roles in order to better understand them. This is a primary management development tool
On The Job Methods
A method of training that the trainee learns by doing work under supervision of an experienced employee
Simulations
A method of training that the work is simulated in a separate area so that learning takes place away from the day to day pressures of work
E Learning
A method of training that where participants train by watching videos of lectures or how to guides, playing games that simulate work situations, or taking online quizzes to demonstrate their proficiency
Commission
A payment that is a percentage of sales revenue
Objective Method
A performance appraisal based on the number of cars sold or percentage of defects on an assembly line is an example of an ___________ _________ since it is quantifiable
External Recruiting
A primary advantage of ___________ ___________ is that it brings people into a firm who have new perspectives and varied business backgrounds
Employment Benefit
A reqard in addition to regular compenation that is provided indirectly to employees
Skills Inventory
A searchable database containing information on the skills and experience of all present employees, which can be mined to find candidates to fill available positions
Affirmative Action
A series of executive orders issued by the President of the US. Applies to all employers with 50 or more employees holding federal contracts in excess of $50,000. It prescribes that such employers actively encourage job applications from members of minority groups and hire qualified employees from minority groups who are not fully represented in their organizations
Salary
A specific amount of money paid for an employee's work during a set calendar period, regardless of the actual number of hours worked
Hourly Wage
A specific amount of money paid for each hour worked
Job Analysis
A study of what employees do in a particular job is called a _________ _____________
Job Analysis
A systematic procedure for studying positions to determine their various elements and requirements
Orientation
Acquainting new employees with the firm
What are the three phases of human resource management?
Acquiring, Maintaining, and Developing
Employee Reward System
An effective __________ ________ ________ must enable employees to satisfy basic needs, provide rewards comparable with those offered by other firms, be distributed fairly within the organization, and recognize that different people have different needs
Flexible Benefit Plan
An employee receives a predetermined amount of benefit dollars and may allocate those dollars to various categories of benefits in the way that best fits his or her needs
Early Retirement
Another option for reducing workforce size. People who are within a few years of retirement are permitted to retire ahead of schedule with full benefits
Performance Appraisal
Assessing employee's current and potential performance levels
Recruiting
Attracting people to apply for positions
Selection
Choosing and hiring the most qualified applicants
Human Resources Management
Consists of all the activities involved in acquiring, maintaining, and developing an organization's human resources
Cultural Diversity
Costs, resource acquisition, marketing edge, flexibility, creativity, problem solving, bilingual skills are all advantages of a firm having __________ ___________
Job Analysis
Determining the exact nature of the positions
Human Resources Planning
Determining the firm's future human resources needs
Cultural (Workplace) Diversity
Differences among people in a workforce owing to race, ethnicity, and gender
Lump Sum Salary Increase
Employees who are rewarded with a raise have the option to do this, and receive the entire pay raise in one payment, then get their normal pay the rest of the year.
Fired
If a firm has no other options to cut wage expenses, unnecessary employees are sometimes _________ if cause can be found.
Incentive Payment
In addition to wages, salary, or commissions. These are rewards for outstanding job performance
Tell and Listen Approach
In the ______ ___ ______ _______, the supervisor tells the employee what the employee has done right and wrong then gives them a chance to respond
360 Degree Approach
In the ______ _______ __________, the evaluation collects anonymous reviews about an employee from their peers, subordinates, and supervisors and compiles them into a feedback report for the employee
Problem Solving Approach
In the ________ ________ ________, employees evaluate their own performance and set their own goals for future performance
Flexible Benefit Plan
In this type of compensation plan, an employee receives a predetermined amount of benefit dollars to spend on a package of benefits that he or she has selected to meet individual needs. This type of benefit is known as a(n):
Employee Relations
Increasing employee job satisfaction through satisfaction surveys, employee communication programs, exit interviews, and fair treatment
External Recruiting
Involves attracting job applicants from outside an organization. May include activities on college campuses and open houses, soliciting recommendations from current employees, posting in newspapers, employment agencies, and online
Internal Recruiting
Involves considering current employees as applicants for available positions. Usually current employees are considered for promotions, but sometimes are considered to be transferred from one position to one on the same level
Job Specification
It is now being recommended that companies list personality characteristics needed within this list of qualifications required to perform a particular job. These personality characteristics are contained within the list known as the _____________ __________
Which phase of human resources management is responsible for encouraging employees to remain with the firm?
Maintaining
Serve Their Diverse Customers
Many companies hiring employees representing a diverse background because employees with diverse backgrounds better ________ _______ _________ ___________
Fair Labor Standards Act
Passed in 1938 and has been amended many times since. Applies primarily to wages, as it establishes minimum wages and overtime pay rates. Many managers and other professionals are exempt from this act, as salaried workers rarely receive overtime for working over 40 hours a week
Equal Pay Act
Passed in 1963, and overlaps somewhat with the Title VII of the civil rights act. This specifies that men and women who are doing equal jobs must receive equal pay. Equal jobs are ones that demand equal effort, skill, and responsibility, and are performed under the same conditions.
Age Discrimination in Employment Act
Passed in 1967 and amended in 1986. Eliminates discrimination based on one's age. It outlaws personnel practices that discriminate against people aged 40 years or older. Also outlawed are company policies that specify a specific retirement age. Employment decisions must be based on ability, not a number (so you can't be fired for being 75 but if you can no longer stock shelves at 75, you may be terminated)
Occupational Safety and Health Act
Passed in 1970, and is concerned with issues of employee health and safety. For example, it specifies things such as the degree to which an employee can be exposed to hazardous substances or safety equipment that has to provided.
Employee Retirement Income Security Act
Passed in 1974 to protect the retirement benefits of employees. It does not require firms to provide a retirement plan. However, it does specify that if a retirement plan is provided, it must be managed in such a way that the interests of employees are provided
Benefits
Providing rewards to ensure employee well being
Compensation
Rewarding employee effort through monetary payments
Buyouts
Similar to early retirement in that employees are offered a severance package to leave the job
As a firm grows in size, HRM activities become more _____________
Specialized
Training and Development
Teaching employees new skills and new jobs, and more effective ways of performing their present jobs
Human Resources Planning
The development of strategies to meet a firms future human resources needs.
Profit Sharing
The distribution of a percentage of a firms' profit among employees
Job Description
The duties to be performed, the working conditions, the responsibilities, and the tools and equipment that must be used on the job are reflected in the list known as the __________ ______________
Performance Appraisal
The evaluation of employees' current and potential levels of performance to allow managers to make unbiased human resources decisions
Acquisition
The first phase of the HRM activities. Consists of human resources planning, job analysis, recruiting, selection, and orientation.
Attrition
The gradual reduction of the size of a workforce by not replacing personnel lost due to resignation is known as _______________
Performance Feedback
The information provided to employees after a performance appraisal. It details to the employee the basis for present rewards and what he or she can do to improve
Appropriate
The key word in the process of selection is selecting the ___________ applicant. It isn't always the applicant with the most qualifications, but who is most ___________ for the position
Type of Employee, Purpose of the Instruction
The main differences between employee training and management development are ________ __ ________, __________ ___ ____ __________
Attrition
The normal reduction in the workforce that occurs when employees leave a firm due to retirement or finding a new job
Workplace Diversity
The participation of different ages, genders, races, ethnicities, nationalities, and abilities in the workplace is referred to as ____________ ___________
Compensation
The payment employees receive in return for their labor
Compensation System
The policies and strategies that determine employee compensation, must be designed carefully to provide for employees' needs while keeping labor costs within reasonable limits
Orientation
The process of acquainting new employees with an organization
Recruiting
The process of attracting qualified job applicants
Job Evaluation
The process of determining the relative worth of the various jobs within a firm
Selection
The process of gathering information about applicants for a position and using that information to choose the most appropriate applicant
Management Development
The process of preparing managers and other professionals to assume increased responsibility in both present and future positions
Employee Training
The process of teaching operations and technical employees how to do their present jobs more effectively and efficiently
Maintenance
The second phase of HRM. Consists of employee relations, compensation, and benefits
Development
The third phase of HRM. It is concerned with improving employee's skills and expanding their capabilities. The two important activities are training & development and performance appraisal
Recruiting, Selection, New Employee Orientation
The three activities involved with finding candidates and matching the right candidates with each position
Civil Rights Acts
There are multiple titles to this act, and they all have specific rules that they imply that stop the discrimination on anyone in the workforce based on race, ethnicity, religion, or gender.
National Labor Relations Act
These laws are concerned with dealings between business firms and labor unions. The general area is, in concept, a part of HRM. Also includes the Labor-Management Relations Act
Occupational Safety and Health Administration
This agency was created to enforce the Occupational Safety and Health Act. Inspectors from this agency investigate employee complaints regarding unsafe working conditions. Also make spot checks on companies operating in particularly hazardous industries
Americans with Disabilities Act
This prohibits discrimination against qualified individuals with disabilities in all employment practices- including job application procedures, hiring, firing, advancement, compensation, training, and other terms and conditions of employment
Benefits
Types of employee ________ include paid time off, insurance packages, pension, and retirement programs
Wage Level, Wage Structure, Individual Wages
What is the order in which the three separate management decisions should be completed for HRM managers that design effective compensation systems?
360 Degree Evaluation
What provides anonymous feedback from an employee's peers, subordinates, and supervisors?
Disadvantage
When companies hire from within their company, it typically leaves another job vacancy to fill. This is one __________ of internal hiring
Lay Off
When the oversupply of employees is predicted to be greater than demand, the firm must reduce the size of their workforce. They either cut back hours or _______ ______ employees
Comparable Worth
Which of the following is NOT a type of compensation: profit sharing, comparable worth, hourly wage, monthly salary, and commissions
Workers Compensation Insurance
Which of the following is an employer required by law to provide for their employee: tuition reimbursement, life insurance, workers compensation insurance, child care services, and holiday pay
Judgmental Methods
________ ________ are used more frequently than objective methods. They require a a manager to judge or estimate the employee's performance level. These estimates are based on employee ranking or rating scales
Diversity Training
___________ _________ programs may include recruiting minorities, training minorities to be managers, training managers to view diversity properly, teaching English as a second language, and facilitating support groups for immigrants
Objective Methods
___________ _________ use some measurable quantity as the basis for assessing performance. Units of output, dollar volume of sales, number of defective product, are all examples of objective, measurable quantities
Selection
____________ is the process of collecting information about applicants and using that information to make hiring decisions
