BUS 100

What are the two categories financial compensation falls in?

Wages- financial rewards based on the number of hours the employee works or the level of output achieved. Salaries- financial rewards calculated on a weekly, monthly, or annual basis.

What would be an example of an objective assessment of employee performance?

Westinghouse employee might be judged by how many circuit boards he typically produces in one day or by how many of his boards have defects.

Who first described Theory Z?

William Ouchi

Job Description

a formal, written explanation of a specific job, usually including job title, tasks, relationship with other jobs, physical and mental skills required, duties, responsibilities, and working conditions.

Transfer

a move to another job within the company at essentially the same level and wage

Arbitration

a neutral third party is brought in to settle the dispute, but the arbitrator's solution is legally binding and enforceable

Flextime

a program that allows employees to choose their starting and ending times, provided that they are at work during a specified core period

Strikes

employee walkouts and are one of the most effective weapons labor has

The application

goal is to get acquainted with applicants and weed out those who are obviously not qualified.

What is the federal minimum wage?

$7.25

What does a separation from the company mean?

Employment changes involving resignation, retirement, termination, or layoff

What is the Equal Employment Opportunity Commission?

Federal agency dedicated to increasing job opportunities for women and minorities and eliminating job discrimination based on race, religion, color, sex, national origin, or handicap

Maslow's Hierarchy of Need

Self-actualization needs, at the top of Maslow's hierarchy, mean being the best you can be. (Top Tier) Esteem needs relate to respect—both self-respect and respect from others. Social needs are the need for love, companionship, and friendship—the desire for acceptance by others Security needs relate to protecting yourself from physical and economic harm. Physiological needs, the most basic and first needs to be satisfied, are the essentials for living—water, food, shelter, and clothing. (Bottom Tier)

How may managers avoid lawsuits from employees who feel they are fired unfairly?

Settle outside of court

What are headhunters - what purpose do they serve?

Some companies use agencies or executive search firms for recruiting

Reinforcement theory

States that behavior can be strengthened or weakened through the use of rewards and punishments.

McGregor: Theory Z

Stresses employee participation in decision making Incorporates many elements associated with Japanese approach to management (trust and intimacy) but adapted for use in the U.S. Results in employees feeling organizational ownership

What are some advantages for companies hiring older workers?

They are more dedicated, punctual, honest, and detail-oriented; are good listeners; take pride in their work; exhibit good organizational skills; are efficient and confident; are mature; can be seen as role models; have good communication skills; and offer an opportunity for a reduced labor cost because of already having insurance plans

Reference checking

verifying educational background and previous work experience. Internet search to determine social media or other public activities Public companies likely to do more extensive background search Applicants may misrepresent themselves on applications and résumés

McGregor: Theory X

Assume that workers generally dislike work and must be forced to do their jobs. Focuses on physiological and security needs and virtually ignores the higher needs discussed by Maslow

Hawthorne Studies - what was found in these studies?

Between 1924 to 1932 at Hawthorne Works Plant by Elton Mayo Postulated that physical conditions in workplace stimulate productivity Findings show that social and psychological factors could significantly affect productivity and morale

What are some causes of low morale and what are some of the results of low morale within an organization?

High rates of absenteeism High rates of turnover

Labor unions

are employee organizations formed to deal with employers for achieving better pay, hours, and working conditions

Motivation

Inner drive toward goals Goal is satisfaction of some need Need is difference between desired state and actual state

What is human relations?

Involves motivating employees to achieve organizational objectives efficiently and effectively Has become increasingly important

McGregor: Theory Y

Maintain less control and supervision Do not use fear as primary motivator Are more democratic in decision making

How do companies improve employee professional development?

Mentoring- involves supporting, training, and guiding an employee in his or her professional development.

Benefits of a Diverse Workforce

More productive use of human resources Reduced conflict among employees as they learn to respect each other's differences More productive working relationships Increased commitment to organizational goals Increased innovation and creativity Increased ability to serve needs of diverse customers

What are examples of training used by companies for their employees?

On-the-job training- workers learn by performing tasks Classroom training- teaches with lectures, conferences, video, and web-based instruction

What function does orientation serve for a company?

Orientation familiarizes newly hired employees with fellow workers, company procedures, and the physical properties of the company.

What is the purpose of the Americans with Disabilities Act?

Prevents discrimination against persons with disabilities

What is known as the Hawthorne effect?

Productivity increased regardless of physical conditions

Testing

ability and performance tests used to determine if applicant has skills necessary for job. Aptitude, IQ, or personality tests used to assess potential for certain kind of work and ability to fit into culture

Herzberg's Theory: Motivational factors

achievement, recognition, involvement, responsibility, and advancement

Herzberg's Theory: Hygiene factors

adequate wages, comfortable and safe working conditions, fair company policies, and job security

Promotion

an advancement to a higher-level job with increased authority, responsibility, and pay

Extrinsic Rewards

benefits and/or recognition received from someone else

Job Specification

describes the qualifications necessary for a specific job, in terms of education, experience, and personal and physical characteristics

Job Analysis

determines, through observation and study, pertinent information about a job—including specific tasks and necessary abilities, knowledge, and skills.

Profit Sharing

distributes a percentage of company profits to the employees whose work helped to generate those profits

Job enrichment

incorporates motivational factors, such as opportunity for achievement, recognition, responsibility, and advancement, into a job

The interview

interviewer can answer questions about job, compensation, working conditions, company policies, organizational culture Interviewee's questions may be as revealing as their answers

Behavior modification

involves changing behavior and encouraging appropriate actions by relating the consequences of behavior to the behavior itself. Application of reinforcement theory Ex. Employees who know that they will receive a bonus such as an expensive restaurant meal for making a sale over $2,000 may be more motivated to make sales.

Mediation

like conciliation; involves bringing in a neutral third party, but the mediator's role is to suggest or propose a solution to the problem.

Lockout

management version of a strike; management actually closes a work site so that employees cannot go to work

Recruiting

means forming a pool of qualified applicants from which management can select employees. Internal sources include current employees External sources include everything else LinkedIn, internships, websites posting job openings

Bonuses

monetary awards offered by companies for exceptional performance as incentives to further increase productivity

Classic Theory of Motivation

money is the sole motivator for workers To improve productivity managers should: Break down each job into component tasks (specialization) Determine best way to perform each task Specify output to be achieved by worker Incentives motivate employees to be more productive Link workers' pay directly to output

Job rotation

movement of employees from one job to another in an effort to relieve the boredom that is often associated with job specialization.

Commissions

pays a fixed amount or a percentage of the employee's sales

Performance appraisal: 360-degree Feedback System

provides feedback from a panel that typically includes superiors, peers, and subordinates.

Performance appraisal: Objective

quantifiable; how many of something was produced or the test score

Performance appraisal: Subjective

ranking employees against each other

Human Resource Management (HRM)

refers to all the activities involved in determining an organization's human resource needs, as well as acquiring, training, and compensating people to fill those needs. Also called Personnel Management

Fringe benefits

sick leave, vacation pay, pension plans, and other extra compensation

What is the purpose of an exit interview?

survey used to determine why the employee is leaving the organization

Collective bargaining

the negotiation process through which management and unions reach an agreement about compensation, working hours, and working conditions for the bargaining unit.

Intrinsic Rewards

the personal satisfaction and enjoyment felt after attaining a goal