Management Chapter 13

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Process for aligning HR practices to strategic goals:

Formulation of business strategy Identifying the workforce requirements relevant to the strategic goals Formulating HR policies to achieve the workforce requirements

Steps of HR strategic goals

Planning stage Staffing stage Developing and managing the workforce

Reliability

consistency of test scores over time and across alternative measurements

Graphic rating scale

lists a number of traits and a range of performance on a Likert-type scale for each trait

Validity

degree to which a selection test predicts/correlates with job performance

Assessment center

managerial performance test in which candidates participate in a variety of exercises and situations

Demand forecasts

determining how many and what type of people are needed

Flexible benefit programs

employees are given credits to spend on benefits that fit their unique needs

Cafeteria benefit program

employees choose from a menu of options to create a benefit package tailored to their needs

Performance appraisal evaluation

employees' performance is crucial for success of any organization, want to monitor performance and intervene when necessary

Labor relations

focuses on the relations between employers in unions

Planning stage

forecast the organization's needs and the supply from internal and external environment; job analysis (develop job description/specifications)

Human resource management

formal systems for the management of people within an organization; one of the most of the basic/important areas in management; concerned with most valuable asset (employees)

Labor forecasts

how many/what types of employees the organization actually will have

Strategic HR managment

involves aligning human resources management with the strategic goals of the company in order to improve business performance

Human capital

knowledge, skills, and abilities of employees that have economic value

Employment-at-will

legal concept that an employee practice has a disproportionately negative effect on a protected group

Right to work

legislation that allows employees to work without having to join a union

Trait scales

measurement of individual's leadership, attitudes are measured against a numeric scale

Development

more advanced, builds upon skills learned through training; usually ongoing

Training

more basic teaching of skills necessary for performing most basic tasks relevant to each job; limited in time, focused

Strictness/leniency

occurs when a supervisor has a tendency to rate all subordinates either high/low

Halo effect

occurs when a supervisor's rating of a subordinate on one trait biases the rating of that person on other traits

Union shop

organization with a union and a union security clause specifying that workers must join the union after a set period of time

Unions

organizations that represent employees in conflicts with management; use collective bargaining process to reach a legally binding agreement between management and employees regarding compensation, benefits, other matters relevant to working conditions

HR planning process

planning, programming, and evaluating

Comparable worth

principle of equal pay for different jobs of equal worth; don't need to be the same to require equal pay

Central tendency

problem that occurs when the appraiser rates all employees in the middle of the range

Outplacement

process of helping people who have been dismissed from the company regain employment elsewhere

360 degree appraisal

process of using multiple sources of appraisal to gain a comprehensive perspective on one's performance

Management by objectives

process where objectives set by a subordinate and a supervisor must be reached within a given time period

Critical incidents method

qualitative; involves keeping written descriptions of various employee behaviors that reveal their job performance

Alternation ranking method

ranking employees from best to worst on a particular trait

Staffing stage

recruitment, testing, selection goal is to develop large pool to select ones who are the best fit

Monetary rewards

salary and benefits; benefits are significantly more costly to the employer than salary

Developing and managing the workforce stage

trains hirees, develops their skills over time, promotes them and has to lay off some of them

Arbitration

use of a neutral third party to resolve a labor dispute

Comparative scales

used to make comparisons among employees

Behavioral scales

used to measure specific, relevant job skills

Behaviorally anchored rating scale (BARS)

uses a quantified scale with specific narrative examples of good and poor performance


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