MGMT 450 Final Exam
politics of the rater
when rater manipulates the ratings to achieve a political goal
salary with commission
earn some low salary plus commission
elements of successful orientation
"need to know" basis takes place over days/weeks allow for a lot of 2-way interaction between managers and new employees first day should be thoroughly planned and paperwork kept to a minimum assign them to an immediate supervisor new employees are gradually introduced help get settled in the community continuous process follow up and evaluation
essay evaluation
+detailed feedback -unstructured -only provide qualitative data
concerns with drug testing
1. asking to do drug test used to be considered rude 2. privacy issues 3. how accurate the tests are
performance appraisal process
1. establish the performance dimensions for each position and the standards for evaluating these criteria 2. establish performance evaluation policies on when to rate, how often to rate and who should rate 3. have raters gather data on employee performance 4. the employee's performance is evaluated 5. feedback is provided to the employee 6. make decisions and file the evaluation
attempts to improve GRS
1. forced choice methods 2. behaviorally anchored rating scales 3. behavioral observation scales
rater errors
1. halo effect 2. leniency 3. harshness (severity) 4. central tendency error 5. recency of events error 6. contrast effects 7. personal bias error
situational interview (structured)
1. job analysis 2. situational questions are developed to tap the dimensions that come out of the job analysis 3. behaviorally ached scales are developed for each question 4. panel of interviewers 5. interviewers rate applicant on each question immediately following each question 6. no probing questions 7. the interviewer's ratings are combined
urine based drug tests
1. screening test (EMIT) -unacceptable rate of false positives -cheap 2. confirmatory test -when done correctly, virtually no false, way more accurate -much more expensive
4 legally required benefits
1. social security/medicare 2. workers' comp (insurance) 3. unemployment insurance/comp 4. FMLA
physicals
ADA states that you can't require one before offer of employment
polygraph tests
AKA "lie detector" tests- not a good name tho strong opposition to use in the work place concerns the reliability of the polygraph and the skill of the operator record physiological changes in response to stress; not lying or conditions necessarily accompanying lying many state laws restrict polygraph use in employment
the "big five"
emotional stability extroversion openness to experience agreeableness conscientiousness
EO 13658
Obama really wanted higher minimum wages, so he set minimum wage for federal contractors to $10.10 didn't really change much but it was the principle of the fact that he wanted change
pre departure training
Train them in the language, culture, geography and educate their family as well
pay compression
employees at different levels of job, don't get paid differently happens with professors- they get paid more because of market
apprentice training
a combo of on and off the job training typically initiated by a joint labor/management committee they design curriculum 4 years average program length -time standards are predetermined; no allowance for individual difference in learning
education
employers can screen for specific abilities ex) Masters of Accounting
construct
a trait, a selection measure would be considered to be construct valid when it measures a trait that is needed in a job
developmental purposes
a. feedback and communication b. training needs
administrative purposes
a. promotions and transfers b. layoffs and dismissals c. salary and bonuses d. compliance with legislation e. HR research
change in personality tests
a. show logical relationship between performance and personality trait b. appropriateness of test c. the "big five"
lump sum bonus
give bonuses based on performance on previous year, doesn't become part of base pay
behavioral observation scales
also uses job experts in development raters rate each job behavior response categories are in terms of the FREQUENCY that rater has observed the employee engage in the behavior -scales are actual job behaviors -very difficult for raters to remember whole rating period
pay level
an average of the array of rates paid by an employer "what we pay on average"
employment tests
an objective and standardized measure of a sample of behavior that is used to measure a person's abilities, aptitudes, interests or personality in relation to other individuals
18+
any job for unlimited hours
16-17
any non hazardous job for unlimited hours
training
any procedure initiated by the organization to foster learning among organization members
pay structure
array of pay rates for different jobs within one organization
criterion related measures
attempt to evaluate the work performance of an individual employee without reference to other individuals but with reference to some standard of performance 1. graphic rating scales 2. management by objectives (MBOs) 3. checklists 4. essay evaluation employee to standard
management game method
attempts to simulate the economic functioning of an organization on a computer -make decisions in a wide range of areas -observe results of decisions on scales, profits, market share... compress time so participants can stimulate years of experience in a few days +useful for understanding the interrelationships among organizational units -may try to win the game and rail to learn management principles
alternative form reliability
give everyone all versions of tests, scores should be similar, designing the ACT
similar to me error
being biased towards people similar to yourself
misinterpretation of non-verbal cues
body language isn't always accurate
physical characteristics (and personality type)
broad -marital status -age -aptitudes and skills -personality type
how to fix OJT
develop realistic goals and masers for each area plan specific training schedule for each trainee proper match between trainer and trainee motivate trainers
training wage
can pay $4.25 an hour for 90 days to people under 20 years old
paired comparison
compare every possible pair of workers in a work group rank order of workers is obtained comparisons can become unmanageable N ( N - 1) / 2 = # of comparisons to be made N = # of employees
spot gainsharing
concentrates on solving a specific problem, short in duration
point method advantages
detailed and specific jobs are not globally assessed jobs are compared on factors important to the organization mathematical comparisons of jobs make it easy to assign monetary value to jobs
pay surveys
determine the market pay levels, can find median pay in that market
norm referenced measures
concerned with comparing the performance of an individual to another or group of employees employee to employee 1. ranking 2. paired comparison 3. forced distribution
split half reliability
correlate how people did on one half of test vs the other half, don't do 1st half vs 2nd, do every other, odds/evens
McNamara-O'hara Service contract act
covers contracts with federal government for services or use of service employees must pay prevailing wages and benefits
Graphic Rating scales
criterion related measure -most widely used measure of work performance -think professor evals -measures a performance dimension on a scaled continuum differs on 3 main factors 1.the degree to which the meaning of the RESPONSE category is defined 2. the degree to which the PERFORMANCE DIMENSION is defined for the rater 3. the degree to which the rater is able to convey their intended rating response +most are easy to develop +easy and not very time consuming to administer +permit quantitative results and are standardized -give a lot of control to the rater can lead to rater error -widely criticized because of rater errors, led to improved scales designed to reduce error
management by objects
criterion related measure employee and manager get together and mutually set goals, action plans and target dates -mutual process: manager doesn't dictate what the employee's goals should be -goals should be clear, measurable, challenging but attainable -the manager provides continuous feedback as to the employee's progress -puts the manager in the role of a coach rather than judge -at the end of the period, the manager and subordinate meet and discuss the progress toward the completion of the goals -new objectives, plans and dates are discussed for the upcoming period in order to work, MBO must be cooperative and ongoing
content
degree to which a test or other instrument measures the skill, knowledge, ability to perform a job -demonstrate that the items on the selection instrument are a representative sample are the kinds of situations or problems that occur on the job ex) hiring a legal secretary, type dictations into document, test having the read the dictionary and type would NOT be content valid
gainsharing
designed to motivate employees and improve organizational efficiency, the benefits coming from improving productivity or cost redacting shared with employees as cash bonuses *work better in small orbs with fairly stable production processes
inter-rater reliability
during interviews, all interviewers need to have the same opinions, check sample of applicants and their opinions
Predictive validity (establishing criterion validity)
develop test and give to applicants, don't use test results in deciding whether to hire them, after hiring, look at results and see if it was predictive of their job performance *HR people like it better, slower though
job sample performance tests
doing a job task ex) typing test, driving test -typically high validity and reliability, high content validity
first impression error
don't make your mind up early in an interview
straight commission
earn percentage of value of what they sell
Gathering data (step 3)
employers gather data on employee traits, behaviors, and or results of performance traits: initiative, dependability, honesty behaviors: allies writing skills, meets deadlines *directly related to job results of performance (# defects, # parts manufactured) ***best to collect data on behavior and sometimes results but NOT traits (hard to measure) !!!!!!!!
test-retest reliability
establishes reliability, give a test now and later, results stay the same
parent country national
expatriate, someone from the country where the HQ is to run the company
validity
extent to which performance on a measure is associated with performance on the job
Barrick and Mount
first major research applying to the Big Five to HRM -META analysis: conscientiousness was a valid predictor of job performance for all occupational groups studied, extroversion was a valid predictor of job performance for managers and sales people -openness to experience and extroversion were valid predictors of training proficiency
in basket method
forces trainees to make decisions under time constraints and prioritize problems
orientation
formal process of familiarizing new employees to the organization, their job and the work unit
non financial rewards
giving praise to employee for job well done, recognition, special parking space, office space
honesty (integrity) tests
goal is detecting whether someone is going to take part in counter productive behaviors a. clear purpose b. veiled: tests for personality traits related to counter productive behavior *both are predictive of counter productive behavior *strong relationship to job performance for both
behaviorally anchored rating scales
goal to reduce the ambiguity of scale anchors -anchors are actual job behaviors for the job in question that reflect varying levels of effectiveness for a performance dimension -development is complex, takes time and expertise -mixed results as to how well it reduces rater errors +viewed favorably by courts, users like it, allows for good feedback
Biodata form
goes beyond traditional applications, asks about interests, hobbies -when used properly, Biodata forms are on of the most valid methods of predicting future job success, time consuming and expensive to develop a reliable and valid form
leaderless group discussion
group of trainees discuss assigned topic evaluated on such things as leadership skills, interaction abilities
pay grades
grouping of jobs considered to be similar in worth
financial rewards
have a cost behind them 1. direct compensation- cash, salary, wages, bonus 2. indirect compensation- benefits (huge expense to employers, 1/3 of all payroll goes towards benefits)
structures
highly standardized, same from applicant to applicant, interviewer determines the direction of the interview, not as subject to bias as less structured methods, more reliable and valid than unstructured
straight piece work
hourly rate guaranteed for producing the production standard, for units over the standard, a certain amount of money/unit is paid to employee
reliability
how stable or repeatable a measurement is over a variety of testing conditions -looking at consistency -the degree to which a selection instrument provides consistent or dependable results over time
problems with merit pay
if linkages are weak, pay will not motivate heavily dependent on accurate performance appraisal size of award may not have enough valence to motivate pay secrecy can cause inequity raises become a part of base pay (a 10% raise is more costly each year)
labor market effect
if you limit the supply, wages will go up unions limit how many people can be in the apprenticeship programs, medical students...
reasons for failure of expatriates
inability of spouse to adjust to new environment inability of themselves to adjust to new environment other family related problems managers personality/emotional immaturity managers inability to handle responsibilities of overseas work
merit pay
individual plans attempt to reward employees for their past performance in the organization, motivates employees
scanlon plan
involved employee participation in reducing labor costs without lowering the level of a firm's activity, savings are shared with employees -- labor
overtime pay
non exempt employees who work 40+ hours/week have to be paid time and a half for the period above 40 hours- whether an employer asks them to or not -comp time is illegal
low pay level strategy (lag)
lag strategy paying below the market average, just barely pay enough to staff the company- only get what you pay for
high pay level strategy (lead)
lead strategy paying above the market average, goal is to be the employer of choice
expectancy
link between effort and performance, perception of the probability that your effort will lead to desired performance
Caligiuri (200)
looked at Big 5 and expatriate success, looked at 25 different countries expatriates who were more extroverted and more agreeable were likely to last overseas expatriates who were more conscientious the better their performance was
Person-organization fit
looking for the person that best fits the cultures and values of the company or organization
Person-job fit
looking for the person that matches the task criteria of the job
point method disadvantages
looks at jobs, not people time consuming and costly tendency to try and "up your points" and figure out the system
displaced workers
lose their job because minimum wage demands less workers teens are the most affected by minimum wage
reasons for orientation
lower turnover increased productivity saves time of supervisors and co workers develops realistic job expectations and job satisfaction reduces anxiety
Fair labor standards act (1938)
main, primary federal law -essentially covers all private businesses involved in interstate commerce
Employee Polygraph Protection Act (1988)
makes the use of polygraph as a selection devise illegal for most private businesses
employment interview
may different among interviews is the degree of structure
other ability tests
mechanical ability tests and physical ability tests
halo effect
when one positive or negative characteristic of an individual is generalized over all of the applicant's characteristics
main provisions of FSLA
minimum wage- originally $.25/hr as of 2009 set at $7.25, hasn't changed since differs among states and cities can pay tipped employees less than minimum wage, can't pay less than $2.13 tho
point method
most common JE method doesn't compare jobs on "global" basis compares jobs based on components (complexity) viewed favorably by the courts
on the job training
most common method +economy +facilitates positive transfer of learning -can fail -costs can be high -lack of structure -poor training skills
comparable level strategy
most often used, paying at the market rate
expectancy theory
motivation ->effort ->performance ->reward->satisfaction->motivation
exceptions
must know all executive administrative professional outside salesperson computer employee
systems approach
need assessment phase training and development evaluation phase training goals -training validity -transfer validity -intraorganizational validity -interorganizational validity
skill based pay
newish, switches from job based pay to person based based on employees' acquiring new skills and knowledge increases organizational flexibility helps workers with job security
differential piece work
no hourly rate, a lower piece rate is paid up to production standard, then a larger piece rate is paid for units over standard
14-15
non hazardous job for no more than 3 hours on a school day no more than 18 hours in a school week no more than 8 hours on a non school day or 40 in a non school week (basically no overtime) can't start work before 7 AM or end after 7 PM during school year, extended to 9 PM during summer exceptions: newspaper deliveries, TV, radio, theater productions, work for their parents in a soley-owned family business, gathering evergreens lol wut
psychomotor ability simulation
non paper/pencil test -helps measure abilities related to job performance motor skills... ex) driving/breaking simulation
Ranking
norm referenced measure ranking employees 1-10 ranking the middle is tougher alternative ranking: 1 and 20, 2 and 19, 3 and 18...
Assessment centers
not a place multiple selection method for managers, uses a wide array of methods: interviews work samples simulations paper/pencil tests in-basket exercises (prioritizing all the things to do)
Drug testing
not considered a physical under federal law 1. Urine (most common) 2. blood 3. hair 4. saliva 5. pupillary reaction test- testing to see if on drugs right now 6. hand eye coordination performance test
case study method
off the job experience helps managers learn how to obtain and interpret information helps improve decision making skills -very few trainers attempt to relate classroom behavior to job behavior
programmable instruction
off the job training instruction without the presence or intervention of a human instructor -learner centered method of instruction -present the subject matter in small steps requiring frequent responses
off the job training lecture
off the job training many trainees can be taught by a minimum number of trainers -little time left for clarification -passive, won't pay attention
audio visual (AKA Video)
off the job training need to illustrate how certain procedures should be followed over time need to expose trainees to events not easily demonstrated in live formats when the training is going to be used organization-wide and travel becomes costly
vestibule
off the job training simulation, use equipment in a classroom instead of actual worksite -used for jobs when its too costly, inefficient or dangerous to train workers with equipment on the job +safety hazard reduced +time pressures reduced
Unions and compensation
on average, union workers earn more than non union workers traditionally, unions have been pacesetters in wages and benefits when a prevailing wage is required, usually use union wage during organizing campaigns, wages cannot legally be increased wages are mandatory bargaining issues under the law unions prefer seniority to merit same effect as raising minimum wage when raise union worker's wage, you get a lower demand for labor
management development (training managerial employees)
on the job experience -coaching -understudy assignment -job rotation -project and committee assignment -staff meetings
flat rates
one wage is paid to all employees in the same job
contrast error
overly influenced (for or against) based on interviews of previous applicants, don't compare during interviews
global HRM
parent country national host country national third country national
experience
past performance, predictive of future successful performance
Davis-Bacon Act
prevailing wage act contractors and subcontractors perfuming on federally funded or assisted contracts for construction, alteration or repair of public buildings or public works -must pay prevailing area wages and benefits, not normal rates
individual incentive plans
plans where employees are paid for the units they produce
Forced distribution
poor method rate employees on a fixed distribution of categories 5% poor, 15% below average, 60% average, 15% above average, 5% excellent +rater errors of leniency, severity and central tendency are reduced -assumes that employees conform to a distribution
instrumentality
probability that your performance will lead to desired reward
unstructured
questions may differ from applicant to applicant, applicant will play some role in the direction of the interview
Application forms (biographical info)
quick and consistent way of obtaining a wide variety of info -quick and consistent way of obtaining a wide variety of info -given to everyone, fair process, includes all info you want to ask
checklists
rating score is determined from checked items -items may be weighted -difficult to give feedback -leniency may be a problem -easy to administer
Behavioral investigations and references
references may be checked by phone or mail/email some employers are scared to give "accurate" references for fear of lawsuits... instead will only give name and dates of employment some states (24) so far have passed laws making it more difficult for former employees to win lawsuits over negative job references, still don't solve the issue of companies not wanting to go to court
organizational wide incentives
rewards are shared by all members of the organization
problem solving
role of the manager- helper objective- stimulate growth and development skills- listening/reflecting feelings and ideas, using exploratory questions risks- employees may lack ideas, change be other than what employer has in mind
tell and sell
role of the manager- judge objective- communicate evaluation and persuade employee to improve skills- salesmanship risks- loss of loyalty and inhibition of independent judgment
other off the job experiences
role playing assessment centers outdoor programs
how to help failure
selection, look at personaility
personality inventories
self report inventories projective test (what do you see, ink blot test) *historically, have little success in predicting job success, but this is changing
profit sharing plans
share percentage of profits among employees
rucker plan
similar to scanlon plan except the bonus formula includes the dollar value of materials used to produce -- products
job ranking
simplet JE method primarily used in small organizations job evaluator rank orders whole job from most valuable to least evaluates job on a "global" basis does not evaluate the contents of each job problems: very subjective no indication of how closely jobs might be ranked to each other
weighted applicant blanks
some answers are weighed more than others
third country national
someone from a difference country than HQ and host country runs the company
host country national
someone that is from the foreign country runs the company
improshare
standard is developed that identifies the expected hours required to produce an acceptable level of output- any savings arising from producing in fewer than expected hours are shared by the firm and the worker-- fewer hours
pay for performance
starts out a base rate, promotions given based on your performance
seniority
starts out at base rate, promotions given based on how long an individual has worked for a company
who should rate the employee
subordinates peers someone outside the immediate work situation self appraisal immediate supervisor higher level of supervisor
point method process
take sample jobs (20/100)- called "benchmark jobs" determine compensatory factors (things we value) of each job allocate points to each compensatory factor (point schema) add points to total job, now each job has a point value make scattergraph run linear regression to get best fit line for the other jobs, use your system to determine value plug in those values to determine what they pay should be (based on the linear regression line)
concurrent validity (establishing criterion validity)
take selection instrument that you're trying to validate and give it to current validity -present employees may be leary and provide dishonest answers -workers are job experienced, selection instruments will be measuring experience as well -restriction of range (not people that suck, not people that rock) *businesses like it better, quicker
Performance appraisal
the HRM activity used to determine the extent to which an employee is performing the job effectively
compensation
the HRM function that deals with every type of reward that individuals receive in return for performing organizational tasks
criterion related
the extent to which a selection instrument is predictive of or significantly correlated with one or more important elements of work behavior- how well a selection instrument related to later job performance -instead of construct, could use criterion
Selection
the process of choosing from a list of applicants, the person or persons who best meet the selection criteria for the position available
behavioral modeling
there is some behavior you want to change among your employees 1 introduce topic 2 presentation of a film 3 group discussion of the film 4 role playing with class feedback 5 provided with copies of learning points 6 trainees report on their experience during next session 7 supervisors of trainees are given an accelerated training program and encouraged to reinforce behaviors by trainees on the job
improving performance appraisal
train raters upper management has to support it raters should be evaluated on how well they perform performance appraisals there should be continuous monitoring and feedback keeping a diary (log weekly so you can remember things to evaluate on)
job evaluation
used to determine the relative worth of jobs within an organization for pay purposes -attempts to relate pay to the extent of job contributes to organizational effectiveness, difficult to achieve
cognitive ability test
used to measure general intelligence "g", IQ -have the highest validity and lowest cost of all selection instruments that can be used across jobs (entry level to advanced)
360 degree feedback
using multiple appraisals to get the full picture of an individual
valence
value placed on the reward
behavioral interview (structured)
very common, most reliable and valid the past will be predictive of the future
Reliability and validity selection
very important because 1. the law- doesn't say has to be reliable and valid but it covers your ass 2. we want to select the people who are best for the jobs we're filling
Forced choice method
weird designed to distinguish leniency error in rating disguise the rating scale as a continuum rater is presented with sets of examples of job performance scales are constructed very carefully by job experts problems with forced choice: -raters are resistance cause they can't tell what rating they are giving -difficult to give constructive feedback -some studies have shown that it doesn't reduce leniency
child labor
when and what kind of work children can do non agricultural work
deficiency
when dimensions that are crucial for job success are not included in job performance
contamination
when dimensions that are outside the expectations/scope of that job are included in job appraisal
