Workplace

Customer boycotts

Sometimes orchestrated by activist organizations and have arisen in response to actions as diverse as the public statements of an owner about gay rights or the working conditions at at supply chain subsidiary.

Q: What is a good example of a "pull factor" attracting organizations toward global organization?

A: Government policies that promote outward foreign investment

Expatriate

AKA Expat An EE from an organization's home country assigned to relocate to an international jurisdiction or an extended period of time, generally two or more years. Can refer to anyone who is not a citizen of the country in which they ride and does;t intend to become a permanent resident.

Older Workers Benefit Protection Act of 1990 (OWBPA)

AKA OWBPA Amended the ADEA to prohibit discrimination in two areas: 1. Employee benefits - benefits offered to older workers must be equal to the benefits offered to younger workers. 2. Waiver of claims - standards that an EE's waiver of right to sue for age discrimination must meet in order to be upheld in court.

Code of Conduct - Values based

An ethical decision making tool for addressing ethical dilemmas. Should enable EEs to: - Recognize potential coppice and ethical risks - Apply a framework or decision making process to their resolution - Articulate reasons for the decision based on the code - Understand stakeholder ethical / compliance expectations and the costs / benefits of meeting them - Track and report on their code adherence - Asses the risks if future actions and initiatives *ORGANIZATIONS VALUES* - Commitment of leadership to the code - Mission statement and / or vision statement - Organizational values ad principles - Organizations relation to community, environment, and society. *ORGANIZATIONS EXPECTATIONS* - Ethical and conduct guidelines - Examples of ethical and unethical behavior - Specific rules of conduct - Performance evaluation

Ethical environment

HR's responsibilities: - Create a fair working environment - Create a safe environment - Protect EE privacy and confidentiality - Providing clear guidance concerning bribery - Providing clear guidance concerning conflicts of interest

Assignees

Is who work outside their home countries, have traditionally played a significant role in carrying the message and focus from headquarters into the organization's global locations.

Globalization in the 21st century

It's characteristics change in response to its environment and the perception of its nature are heavily influenced by individuals

CASE: Phillips v. Martin Marietta Corporation (1971)

One of the first cases to apply the sex discrimination provisions of Title VII of the Civil Rights Act to employment decisions. As ER my not, in the absence of business necessity, refuse to hire women with preschool-aged children while hiring men with such children.

Privacy

Refers to an individual's right to freedom from intros (by viewing, monitoring, reading, etc.) into matters, actions, or information that is personal. Concerns whether an organization or person has the right to data, knowledge, or information from or about an individual.

Risk appetite / Risk tolerance

The amount of uncertainty the organization is willing to pursue to to accept to attain its risk management goals. Affected by: - The organization's strategic goals - The organization's characteristic attitude toward risk - The organization's resources or risk capital - Externally imposed requirements

Ledbetter fair pay act

"Ledbetter v. Goodyear Tire & Rubber Co. and Lilly Ledbetter Fair Pay Act Ledbetter v. Goodyear Tire & Rubber Co. In Ledbetter v. Goodyear Tire & Rubber Co. (2007), the U.S. Supreme Court ruled against Lilly Ledbetter's claims of sex discrimination in pay under Title VII. The court ruled that Ledbetter's claims were not timely because she did not file discrimination charges with the EEOC within the 180-day time frame, which is a prerequisite for bringing a discrimination lawsuit. (The EEOC complaint process is covered at the end of this section.) Lilly Ledbetter Fair Pay Act The Lilly Ledbetter Fair Pay Act of 2009 overturned the Ledbetter 2007 U.S. Supreme Court decision. Under the Ledbetter Act, the statute of limitations resets as the employer issues each allegedly discriminatory paycheck. Additionally, the open-ended nature of the law's coverage of unlawful employment practices, which includes compensation decisions or "other practices," suggests that employees and their families or heirs could file a discrimination lawsuit against an employer regarding benefits such as salary-based defined benefit and contribution-based defined contribution retirement plan payouts and salary-based life insurance proceeds. Due to the potential for legal exposure under the law, proactive organizations will identify"color, sex, national origin, age, disability, or veteran status. Employers should review their documentation and record retention practices related to compensation decisions to ensure that they have the ability to show that pay disparities that may give rise to discrimination claims are the result of lawful factors. Leave and Benefits Laws A variety of legislation affects employee leave and benefits programs. The fundamentals of the following leave and benefits legislation are covered in this section: Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 and amendments Family and Medical Leave Act (FLMA) of 1993 and amendments Uniformed Services Employment and Reemployment Rights Act (USERRA) of 1994 and amendment Patient Protection and Affordable Care Act (PPACA) of 2010, amendment, and case law Consolidated Omnibus Budget Reconciliation Act and Amendments Consolidated Omnibus Budget Reconciliation Act Employers who provide health-care benefits to their employees and who employ 20 or more people must allow for its continuation in the event such coverage would end due to termination of employment, divorce, death of the employee, etc. An exception to this general rule applies in the case of a person whose employment is terminated due to "gross misconduct. The Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 provides individuals and their dependents who otherwise would lose their coverage due to a COBRA-qualifying event with an opportunity to pay to continue receiving health-care coverage under the employer's group health plan. Employees must pay the full premium for the coverage. In addition, there may be a 2% administrative fee that the individuals pay. COBRA Coverage The length of time COBRA coverage continues (18 to 36 months, sometimes longer) is determined by the type of qualifying event. Figure 14 lists the qualifying events that can trigger COBRA coverage and the length of time benefits are continued. "COBRA Compliance COBRA is administered by the DOL in conjunction with the Internal Revenue Service. DOL regulations specify several requirements for the timing and content of COBRA notifications. HR professionals should ensure that they understand all the specific conditions and obligations. In turn, an employee must make COBRA elections within 60 days of the date that he or she loses coverage or the date that he or she was notified of the right to elect COBRA coverage (whichever is later "Amendment of COBRA by the Health Insurance Portability and Accountability Act The Health Insurance Portability and Accountability Act (HIPAA) of 1996 made the following changes to the rules regarding COBRA: Individuals who have had employment-based coverage for at least 18 months and who are ineligible for or who have exhausted COBRA coverage are ensured availability of coverage without preexisting condition limitations if there is less than a 63-day break" "between the end of coverage and obtaining new coverage. The act clarifies that all qualified beneficiaries are entitled to purchase the additional 11 months of continuation coverage{MISSING SYMBOL}for a total of 29 months{MISSING SYMBOL}if they are disabled at the time of termination. It also provides an extension if the beneficiary is disabled at any time during the first 60 days of COBRA coverage. The preexisting condition limitation to COBRA was cut off. The definition of qualified beneficiary was changed to include newborns and adopted children of covered employees during COBRA continuation. Family and Medical Leave Act and Amendments Family and Medical Leave Act The Family and Medical Leave Act (FMLA) of 1993 requires employers to allow employees to take time off for certain caregiving, medical, and family needs "The act covers private-sector employers with 50 or more employees (full- or part-time) for 20 or more workweeks in the current or preceding calendar year. It applies not only to private employers but also to nonprofit organizations and public agencies (regardless of the number of employees), including Congress. To be eligible for FMLA leave, an employee must have worked at least 12 months (total) for the employer, for at least 1,250 hours in the 12-month period preceding the commencement of the leave, and at a site within 75 miles of which 50 or more employees work. Basic Leave Entitlement Provisions The FMLA allows employees to take up to 12 workweeks of unpaid, job-protected leave during a designated 12-month period in the following cases: For incapacity due to pregnancy, prenatal medical care, or childbirth To care for the employee's child after birth or placement for adoption or foster care To care for the employee's immediate family member (e.g., spouse, child, or parent) who has a serious health condition For a serious health condition that makes the employee unable to perform his or her job FMLA Compliance The DOL administers the FMLA. "Clarification of intermittent leave (when leave is taken a little at a time, as needed). Medical certification requirements and under what circumstances an employer is permitted to contact an employee's health-care provider. Terms for fitness-for-duty certification (both for the initial return to work and any periodic requirements). Provisions for health benefits continuation while the employee is on approved FMLA leave and how COBRA is triggered if the employee does not return to work. Reinstatement rights regarding an employer's responsibility to restore the employee to the same position that the employee occupied prior to FMLA leave or to an equivalent position with equivalent benefits, pay, and other terms and conditions of employment. Modified-duty programs when the employee returns to work from FMLA leave. Provisions for cost containment and how employers can integrate leave benefits (sick or vacation days), workers' compensation leave, and/or disability insurance with FMLA leave to reduce the costs of FMLA compliance." "The definition of a "serious health condition" has also evolved over time. The 1993 FMLA regulations defined a serious health condition as one requiring inpatient hospital, hospice, or residential care or continuing treatment by a health-care provider (with multiple definitions). DOL regulations issued in 2009 clarified one of the definitions of a serious health condition, which involves employee incapacity for more than three consecutive calendar days plus two visits to a health-care provider or one visit to a health-care provider plus a regimen of continuing treatment. The first health-care provider visit must occur within seven days of the first day of incapacity. Where applicable, the two visits must occur within 30 days of the beginning of the period of incapacity, absent extenuating circumstances. In addition, for chronic serious health conditions, the employee must visit a health-care provider at least twice per year."

Rule-making process

Step 1: Rule is proposed Step 2: Public comment is invited Step 3: Final rule is issued

CASE: Griggs v. Duke Power (1971)

Set the standard for determining whether discrimination based on disparate impact exist When an ER establishes an employment practice (such as an education requirement of a test score), the ER must be able to justify its actions as being job-related or a business necessity. Practices, procedures, or tests that appear neutral on face, and even neutral in their intent, and that result in a discriminatory effect on a protected class are illegal.

Gender

Sex categories - Male or Female Gender - masculine or feminine Gender identity - one's personal sense of being a man or a woman. Transgender - general term applied to individuals, behaviors, and groups involving tendencies to vary from culturally conventional gender roles.

Bill

A proposal presented to a legislative body for possible enactment as a statute.

Veto

Action rejecting a bill or statute.

Stakeholders

Broader definition: all those affected by the organization's social, environmental, and economic impact - EEs, customers suppliers, regulators, and local communities Internal - Can include ERGs (EE Resource Groups) External - Can include media, special interest groups, unions, consultants, or community organizations.

Culture - "Particularist"

Cultures that embrace ambiguity.

Exempt Employees

Excluded from the minimum wage and OT pay requirements of the law. Must be paid on a salary basis, as a uniform amount no matter how many hours are worked per week, not less than $455 per week. FLSA requirements: 1. Minimum salary 2. Paid on a salary uses (without improper deductions) 3. Primary duties

Non-exempt Employees

Not excluded from minimum wage pay and are entitled to OT py.

Sustainability - Three P's

People (social) Planet (environmental) Profits (economic)

Global Assignment Process

Stage 1: Assessment and selection Stage 2: Management and assignee decision Stage 3: Pre-departure preparation Stage 4: On assignment Stage 5: Completing the assignment Stage 6: EITHER repatriation or reassignment

Public comment period

Te time allows for the public to express its views and concerns regarding an action of an administrative agency.

Workforce nationalization

The concept of reducing foreign national employment by bringing more citizens into the workplace.

Governance

The system of rules and processes and organization puts in place to ensure its compliance with local and international laws, accounting rules, ethical norms, and environmental and social codes of conduct. It is the outcome of a thoughtful assessment of an enterprise's legal, ethical, and civic obligations to the communities it serves and the development of systems that support fulfillment of these obligations.

Black Swan Theory

Theory about unknown unknowns. Unforeseen outlier events that are extremely rate, have a major impact, and when viewed in hindsight, are reasonably predictable.

Diversity of Thought

To value the unique perspectives individuals bring to organizations.

Employee resource groups

"Employee Resource Groups An employee resource group, or ERG (also known as an affinity group or network group), is a voluntary group for employees who share a particular diversity dimension (race, religion, ethnicity, sexual orientation, etc.). Depending on how it is organized—and how actively the parent company participates—an ERG can serve many roles, from social network and support group, to career development resource, to organizational think tank, to advocacy group. It can be a channel for mentoring and educational programs, a way to provide diversity council input, and a resource for new hires." "One critical element of ERGs is that they are self-selecting. By joining an ERG, an employee chooses to focus on one of many diversity dimensions that comprise their identity. An employee may join an ERG for positive reasons—as an opportunity to make a unique contribution to the organization or to pursue an avenue of growth. Or there may be a negative impetus—it is the part of their identity that they feel is least accepted or understood by the organization. Either way, joining the ERG can in itself be empowering. The name "employee resource group" can have a double meaning; ERGs often serve as a valuable resource for their parent company. The Conference Board, a business research association, in a report on diversity and inclusion, provides several examples of such ERG service: A Latino ERG at a foods company provided advice on targeting a version of a popular Mexican product line to Latino consumers in "the U.S. A pharmaceutical company's disability-focused ERG suggested product design improvements for a new medical testing and injection product. A company was experiencing high turnover of new Asian employees. Their Asian ERG identified a cause—problems spouses were having adjusting to life in the U.S.—and set up a new-transferee spouse-support program. One company turned to its ERGs to help resolve translation problems in product and marketing materials. It gave the employees a greater sense of product ownership, improved translations, and saved costs. A key service the ERG can provide is formal communication with the diversity council, providing data, raising concerns, reviewing projects, and so on. Strategic Alliances There are numerous organizations dedicated to diversity issues. These include certification organizations, academic resources, government agencies, think tanks, and professional organizations such as SHRM. Particularly at the research phase of creating" "System Changes If a D&I initiative is to achieve anything beyond vague consciousness raising, organizational systems and operational processes, procedures, and practices need to be aligned with diversity goals. This is the point at which identified problems and issues and potential solutions are translated into actual practices. It is the core of the D&I initiative and the real test of whether the initiative will effect real change in the organization. Organizational systems that inevitably need examination, evaluation, and revision include: Policy review to ensure that all procedures and practices are in alignment with and supportive of the organization's diversity values and standards. Recruiting initiative review to ensure that a maximum effort is being made to attract and recruit a workforce that represents the organization's diversity and inclusion goals. Evaluation of succession planning, talent pools, and pipeline planning to assess the diversity of the individuals affected by these initiatives. Review of supply chain policies and vendor relations, both for consistency with D&I strategy and as a means of enhancing that strategy. Development of marketing and advertising programs targeted to diverse markets. Review and modification of corporate social responsibility programs to reflect the organization's D&I values and commitment Adding special recruitment initiatives (targeted job fairs, leveraging alliances with outside educational and community organizations, outreach programs, leveraging ERG networking, etc.). Changing everyday hiring practices by putting criteria and systems in place to ensure that a wider net is cast in all hiring efforts. This includes training recruiters, interviewers, and hiring managers to reduce biases and look beyond existing channels and sources. Sourcing and pipeline initiatives, including targeted internships and CSR (corporate social responsibility) efforts to promote education in specific fields and for specific groups (e.g., scholarships and programs promoting undergraduate STEM—science, technology, engineering, and math—education for minorities). When making the above changes to recruiting and sourcing practices, it is important to keep in mind that applicable law may limit—or dictate—the extent to which hiring decisions ultimately may take into account diversity-related characteristics. For example, in some jurisdictions (such as the United States), it may be perfectly legal to cast a wide net in order to ensure that the organization has a more diverse pool of candidates to hire from, but antidiscrimination laws prohibit the consideration of race, gender, religion, and other characteristics when making the hiring decision. "Onboarding, Retention This is where a focus on the "inclusion" aspects of D&I can have a real financial impact on an organization, since losing good people is expensive. ERG input can be especially helpful in refocusing onboarding (new-hire orientation and adjustment) and retention efforts. Often, expanding the focus to consider the family and social adjustment needs (to both an organization and the culture of a host country) can greatly improve the success rate of retention efforts." "Promotion, Career Development One of the most critical D&I challenges is increasing diversity in an organization's upper management levels. The Forbes Insights report cites the example of Deutsche Bank. Internal research revealed that female managing directors were leaving because they were offered better positions elsewhere. The bank established a mentorship program, pairing female executives with senior management, to help raise women's visibility and provide them with a powerful advocate when promotions were discussed. Compensation and Benefits Beyond evaluating whether compensation is equitable across all races, genders, etc., and making necessary adjustments in compensation criteria, creating targeted benefits can help attract and retain members of target groups (for example, flextime and on-site day care can help attract women and younger workers). Supply Chain Management and Relations An integral part of any organization's diversity program is to ensure that it promotes diversity outside of the company in addition to its internal efforts. Changes can include building diversity requirements into searches for vendors and suppliers and seeking out minority-owned vendors (to the extent allowed by applicable law). One way organizations accomplish this goal is through supplier diversity programs that support minority- and women-owned businesses. Supplier ownership diversity can[...]" "Beyond supplier ownership diversity, an organization's D&I program should have policies and procedures in place to ensure that the practices of all their suppliers—regardless of whether or not they are minority-owned—are consistent with the organization's own diversity policies. At the very least, an organization's suppliers should not discriminate in their own hiring, retention, and supplier policies. The business case for promoting supplier diversity includes: It strengthens the organization's appeal to its own diverse customer base and to those customers who specifically support supplier diversity practices. Diverse suppliers, especially those that are politically active, can serve as advocates for the company sourcing from them. In terms of regulatory compliance, organizations are increasingly held responsible for the actions of their suppliers. (And even if they are not legally responsible, organizations may be judged by the "court of public opinion.") Diverse suppliers can be resources in diversity recruiting efforts within the organization. Diverse suppliers bring many of the same benefits as diversity within the organization: unique skill sets, innovation, etc. Supplier diversity demonstrates social responsibility, which brings its own business benefits. Marketing, Branding, Customer Relations These are key areas in which a more diverse workforce can translate" "Training Gardenswartz and Rowe start their discussion of training by explaining that it shouldn't be blamed for failing to change an organization. That's not its role. What training can do is create awareness and help develop knowledge and skills. That, in turn, can gradually change individual behaviors within an organization, thereby creating the necessary conditions for culture change. Accenture provides a good example of the three-part approach needed for comprehensive D&I training and a good awareness of how it can serve organizational goals. They describe their program as consisting of: Diversity awareness courses, to help their people develop a greater sensitivity to the opportunities and challenges of working in an increasingly dynamic and diverse organization. Diversity management courses, to equip executives to manage diverse teams effectively and foster an inclusive work environment. Professional development opportunities, which help their female, LGBT, and ethnically diverse employees and others build skills to enable their success." "Their identity-group-specific professional development training includes intensive three-day courses for top-performing managers as well as multi-month, one-on-one programs to support professional growth of ethnically diverse employees. 6. Measurement and Evaluation Clear metrics and a continual evaluation of results are critical to a D&I initiative. They enable course correction by providing feedback as to the success or failure of initiative elements. And they provide credibility, demonstrating the initiative's impact on the organization's competitive strategy. Gardenswartz and Rowe see measurement as answering two areas: Process measures assess "how we did, what went well, what didn't and why," for example, the number of employees participating in a mentoring program and their feedback on the experience. Results measures assess the difference it made to the organization, for example, was there a decrease in turnover and how much did that save the organization. Comparative results will be needed at regular intervals for all the measures taken in the preliminary assessment (step 2), but new measures will also be needed as the D&I initiative evolves and incorporates new programs and elements (ideally, at least partly in response to what the measurements reveal along the way)." "The Diversity Advisory Board Scorecard was developed to set meaningful diversity metrics for the firm. It comprises a core set of "diversity metrics covering recruiting, promotions, retention, succession planning, and mentoring. The goals against these metrics are established by the Diversity Advisory Board and reported by function to the Management Committee. The Diversity Key Performance Indicators (KPIs) web-based tool was developed to enable multiple levels of leadership, working with human resources, to drill down to the composition of their business units by race and gender and establish and monitor their progress against their personal diversity goals. Finally, it is important that organizations resolve regional and national differences in creating their metrics. In "Measure Global Diversity by Thinking Locally," Mary Martinez and Michal Fineman offer three guidelines for generating useful D&I metrics: Let go of the notion that each country must have the same measures. Engage local staff fully in determining the "differences that make a difference." Use a wide range of measures—beyond demographics—to demonstrate progress toward inclusion and full utilization of available talent. 7. Evolution and Integration The final step is to integrate all elements of the D&I initiative as fully as possible into standard organization operations. For example, diversity training becomes part of standard supervisory training rather than a stand-alone topic, efforts to[...]" "As with any other core strategy, continual reexamination and adjustment of both tactics and overall strategic goals are essential to any success. In the particular case of D&I, this imperative is strengthened by evolving realities: As an organization expands into new territories, new diversity issues will inevitably arrive, requiring adjustments and accommodations. The initiative's own success will change the nature of the kinds of issues that need attention and resolution. An organization that has become more diverse and inclusive will find it is communicating at a different level, raising a different set of communication problems (e.g., the focus may shift from conflict resolution to creating new team structures that better leverage differences). The focus on diversity issues shifts over time. Currently, attention is centered on demographic shifts in workforce ages, issues concerning women in the workforce, and LGBT issues. The attention will invariably shift, either as (to be optimistic) current issues are resolved or as world events raise new concerns. A D&I strategy shouldn't continually shift to the "cause du jour," but it does need to incorporate new concerns and issues into existing policies and procedures."

"Covering"

"You are welcome despite of who you are, not because of who you are". Conforming. Defensive behavior occurs when an organization recruits a diverse workforce, but consciously or otherwise, promotes assimilation rather than inclusion. *Four Dimensions:* 1. Appearance - adjusting their attire, grooming, and mannerisms to "blend in". 2. Affiliation - avoiding behaviors associated with their "identity group" (culture, ethnic minority, sexual orientation, etc) 3. Advocacy - avoiding engaging in advocacy on behalf of their identity group. 4. Association - avoiding associating with members of their identity group.

Code of Conduct - Rules based

A list of rules and regulations EEs should follow.

Approach to global assignments: Strategic-Systematic

Approach global assignments a long-term investments. Develop future executives, Increase the effectiveness of home office and foreign operations, effectively disseminate information.

"Upstream" decisions

Decisions are made at headquarters. Decisions apply to strategy and coordination and focus on standardization of process and integration of resources,

Offshoring

Occurs when a company relocates processes or products to an international location by means of subsidiaries or third-party affiliates. REASONS: - Cost savings - cheap labor, materials, operating costs - Access to talent - Round the clock shifts - allows for 24/7 globally - Follow the sun - taking advantage of time zone differences DUE DILLIGENCE - Cost and quality - Sociopolitical environment - Risk levels - Talent pool

Multi-National Enterprise (MNE)

Organization that owns or controls production or services facilities in one or more countries other than the home country.

Compliance Program

Proactively ensures that all members of the organization understand and adhere to the code and are able o apply it to new situations and issues as they arise. *Key components:* - Be supported by corporate culture - Clearly defined channels and procedures encouraging EEs to seek advice on compliance and ethical issues and to report transgressions - Have a comprehensive educational component that provides not only rules of conduct, but decision-making guidance. - Have an on-going monitoring, auditing, and evaluation component that ensures its effectiveness - Organizational leadership and culture - Training and education - Disciplinary and preventative measures - Reporting and investigation - Monitoring, auditing and evaluating program effectiveness

Risk FORMULA

Risk level = probability of occurence X Magnitude of impact

Reshored

Transferred a previously offshored function back to its original onshore location.

Civil Rights Act of 1964 (CRA)

The cornerstone of federal anti discrimination legislation. US first comprehensive federal law making it unlawful to discriminate in employment on the basis of race, color, reeling, sex, or national origin. There are 10 federally protected classes. TITLE VII - Passed to bing about equality in hiring, transfers, promotions, compensation, access to training, and other employment-related decisions. - Defines discrimination based on gender and gender identity as discrimination on the grounds of sex. This is not stated in the law, but judicial decision at the state and federal less have considered gender n gender identity as covered.

Amendment

The modification of the Constitution or law

Risk Position

The organization's desired gain or loss in value. Will be influenced by its risk appetite AKA risk tolerance

Complexities and critically of records management

"Complexities and Criticality of Records Management HR practitioners face numerous challenges in complying with the legal requirements for employer record keeping and the retention of employee files and other employment-related records." "Although record retention is complex and time-consuming, it is a critical HR task. In addition to complying with various federal and state laws and regulations, thorough and accurate record keeping is important to: Document and support an organization's employment actions. Demonstrate the effectiveness of policies and procedures (e.g., through records of actions). Provide documentation to defend employment decisions. Records retention and compliance can be daunting, but a methodical approach can help. To start with, an HR practitioner needs to understand the fundamental requirements: What records must be kept under each" "Applicability for each federal law. Implementing good practices for records retention (such as but not limited to the following) is also prudent: Keep well-organized records. Establish and implement a record retention policy. Investigate federal requirements. Investigate applicable individual state requirements. When the same or similar records are required by more than one law but the period of retention varies, retain the information for the longer period of time. Determine if there are laws regulating employees' access to their personnel files in the state(s) in which the organization has business operations. Establish a system for auditing the organization's record keeping (including personnel files) as well as a consistent program for record destruction. Keep in mind that in the event of a discrimination charge or lawsuit, all relevant records must be kept until the final disposition." "employee approaches HR and requests a reasonable accommodation. This leads to HR's discovery that the supervisor neglected to share the original MD statement. The supervisor's negligence (albeit inadvertent) is inconsistent with the ADA's record-keeping requirements. To remedy this situation, HR immediately communicates with the employee's supervisor as well as other supervisors to discuss that the practice of holding on to MD statements in inappropriate and noncompliant. HR takes the following additional actions to prevent any future reoccurrence: Develops a policy regarding record-keeping requirements Designs and delivers requisite training to appropriate staff (e.g., supervisors, HR staff) Collectively, all the actions HR takes to remedy the situation help to improve the organization's record-keeping practices and better ensure that they are compliant with federal record-keeping requirements. A final key point about records retention: Record keeping begins long before a job candidate is hired and extends long after an employee leaves the organization. HR Technology Implications" "employers are free to maintain their employment records either on paper or electronically. However, technological advances have greatly facilitated maintaining employment records in an electronic format. Electronic document retention can relieve the employer of having to provide physical storage space for employment records "that span many years. When changing from paper to electronic storage, employers must follow certain protocols. The DOL has published guidelines in its "Final Rules Relating to Use of Electronic Communication and Recordkeeping Technologies by Employee Pension and Welfare Benefit Plans," which employers may use as a standard for all electronic record keeping. The following are notable provisions of the DOL electronic guidelines that employers should consider when opting for an electronic system: The record-keeping system must have reasonable controls to ensure the integrity, accuracy, authenticity, and reliability of the records kept in electronic form. The electronic records must be maintained in reasonable order, in a safe and accessible place, and in such manner as they may be readily inspected or examined (for example, the record-keeping system should be capable of indexing, retaining, preserving, retrieving, and reproducing the electronic records). The electronic records must be able to be readily converted into legible and readable paper copy as may be needed to satisfy reporting and disclosure requirements or any other obligation under Title I of ERISA. Adequate records management practices must be established and implemented (for example, following procedures for labeling of electronically maintained or retained records; providiNg "electronic record-keeping system)."

Hippocratic Oath

"First do no harm"

Employee Volunteerism

"Individual benefits, which include the recognition employees receive and the skills they gain Team benefits, which include teamwork skills and the sense of camaraderie employees gain Organizational benefits, which include strengthening of the corporate culture Business benefits, which include an enhanced corporate reputation and strengthening of the brand The SHRM Foundation document also describes a continuum of organizational involvement in employee volunteerism: from individual employee efforts without organizational support, to those efforts that are either supported, sponsored, or planned by the organization, or, finally, those that are fully integrated into the organization's corporate strategy."

Evaluating Risk management

"Providing Oversight The last phase of the risk management process involves providing oversight. This is required for both individual risk management plans and the entire risk management framework. Evaluation aims at: Increasing transparency and accountability by measuring and reporting risk management results. Making sure of compliance with requirements. Assessing the effectiveness of individual risk management strategies. Assessing the effectiveness of the organization's risk management framework—its values, policies and processes, and culture. Continually improving risk management by investigating incidents and identifying opportunities for improving both strategies and framework. "Evaluating Effectiveness of Risk Management Policies and Processes Specific risk management programs should be evaluated after every major incident and at regular, agreed intervals—e.g., annually. Results should be compared against objectives for managing risk and reported to management, who may choose to intervene to change investment in the strategy." "After-Action Debriefs and Incident Investigations The term "after-action debrief" comes from the discipline of emergency management. It is usually applied to meetings to examine the effectiveness of a risk response strategy, such as workplace evacuations, in-place lockdowns for security reasons, a workplace injury or act of violence, or temporary relocation of operations. Incident investigations are generally seen as more limited in scope—e.g., an angry dispute that becomes physical and requires intervention, a workplace injury, or an employee's violation of the organization's policies." "Incidents and responses must be documented and reported to external parties, often as a compliance measure in response to regulations, insurance requirements, or legal advice. However, the organization should ensure that the incident is examined, documented, and reported internally as well. HR may be responsible for leading or participating in after-action debriefs and must be skilled in leading group discussion and problem solving. To conduct an investigation, an HR professional must be skilled in interviewing, listening, and observing. All events—including ones that do not involve compliance or may be false alarms—present an opportunity for learning and improving the risk management strategy." "The debrief can be an educational opportunity for everyone attending. There is a good argument to be made, therefore, that the principles of the debrief should be applied whenever a risk management plan has been invoked. The debrief team asks question such as: What happened, why did it happen, and what were the results of the event? What did we do in response? Did we follow the plan? What were the results relative to the requirements for managing this risk? What unexpected events (beneficial or harmful) occurred? What do they suggest about our current plan or process? How well did we communicate with each other, with external agencies, and with employees?" "What could we have done differently to improve our handling of this risk? An effective debriefing requires that staff be trained in their responsibility to observe and remember details even in the midst of challenging conditions and to record their memories as soon as possible. The debrief or incident investigation may result in recommendations to improve managing a particular risk. The recommendations may be narrow (e.g., the addition of a checklist to document compliance) or substantive (e.g., realignment of compensation structures to discourage leaders and employees from taking inappropriate risks or a comprehensive change in the organization's culture). Since their goal is to improve the organization's exposure to risk, the stakes of the outcome of debriefs and investigations are high. Cases for change must be made persuasively and with convincing arguments and data. Whistleblowing Whistleblowing, the reporting of the organization's violations of policies and processes by employees, applies very directly to risk management. Employee reports can point to risks that have not been identified or adequately managed, such as particular safety or security concerns. They can reveal policies that are not being followed, such as violations of antidiscrimination policies that ensure compliance with the organization's values and local laws[...]" "When internal communication channels and protections are established, whistleblowers will have less reason to take their accusations outside the organization, to government agencies or the media. Whistleblowing is discussed further in the Corporate Social Responsibility Functional Area in this Workplace module. Evaluating Compliance Audits may be conducted internally or externally to check that policies for risk management are adequate, in place, being followed, and producing the anticipated results. Audits require having the right person—an unbiased third party—equipped with the right tools, which include risk management expertise, understanding of the organization's business and processes, and awareness of best practices. Since audits can result in negative findings and recommendations for changes, it is critical that management supports the audit process and commits to implementing recommendations. HR may request audits for compliance reasons and/or to improve processes."

Structures for Globalization

*GLOBAL* - high integration / low local responsiveness - Strong links between HQ and subsidiaries *TRANSNATIONAL* - High integration/high local responsiveness BEST - Strong links between HQ and subsidiaries and among subsidiaries *INTERNATIONAL* - low integration/low local responsiveness - Weak links between HQ and dependent subsidiaries *MULTIDOMESTIC* - low integration/high local responsiveness - Weak links between HQ and autonomous subsidiaries.

Risk Management - Barriers

*Structural* - Organizations that are structured in a silo fashion tend to respond to risk in an operational, rather than strategic, manner, They overlook dependencies within the organization that can create risks and/or interfere with proactive risk management. *Cognitive* - Risks have been clearly identified and responses fully defined. It requires imagination and openness. *Cultural* - Ultimately involve what types of mindsets are sought, instilled, and rewarded. Organization must clearly communicate to their members just what the organization's position and appetite are regarding risk.

Sexual Harassment

A form of discrimination that violates Title VII of CRA Unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature constitute sexual harassment when this conduct explicitly or implicitly affects and individual's employment, unreasonable interferes with an individual's work performance or creates an intimidating, hostile, or offensive work environment. - The victim as well as the harasser may be a woman or a man v-v the visit does not have to be of the opposite sex. - May occur without economic injury to or discharge of the victim. - Harasser's conduct must be unwelcome. TWO CATEGORIES: *Quid pro quo* - "this for that" *Hostile environment* - intimidating/threatening environment

Regulation

A rule or order issued by an administrative agency; often has the force of law.

Risk scorecard

A tool used to gather individual assessments of vitals characteristics of risk (i.e. frequency of occurrence, degree of impact, etc.). Risks identified as relevant to the organization are listed in a template. Individual risks may be weighed more heavily according to their strategic importance. Each risk is scored and adjusted by its weight, When scores are aggregated, the result indicated how the organization perceives specific risks. - Event probability - Speed of onset - Existing mitigation Severity of impact

Q: The choice of whether to emphasize global integration or local responsiveness is generally determined by a mix of four types of drivers, What driver type is bing examined when considering availability of global distribution networks?

A: Market drivers

International Assignee

AKA IA An EE who is being reassigned to an international jurisdiction. Selecting: - Identify and recruit the individual who will be most successful in a particular type of global assignment - Acquaint the IA with the ways their allegiance may be challenged and the stresses that may encounter. - Anticipate repatriation and support any unique needs the IA may have

Reservation

AKA: Affirmative action, positive discrimination, positive action, employment equity. Principle where the laws mandate a percentage quota or other special considerations for specified minority groups or ethnic communities.

Triple bottom line

AKA: Full cost accounting / True cost accounting A term coined in 1994 by John Elkington applies sustainability's three P's principle, arguing that the environmental and social costs and benefits generated by an organization should be considered as well. By measuring "hidden" costs, a more accurate and complete account is given of an organization's total value. Can be viewed as the performance measurement of an organization pursuing a strategy of sustainability. *GOAL* To achieve a positive return on investment (ROI) in each of the three areas: *TYPICAL MEASURES* 1. Economic - Sales, profits, ROI, taxes paid, monetary flows, jobs crated, supplier relations 2. Environmental - Pollutants emitted, carbon footprint, recycling and reuse, water and energy use, products impacts 3. Social - Health and safety record, community impacts, human rights, privacy, product responsibility, EE relations.

Risk Control

An action taken to manage a risk

Social audit

Corporate social responsibility (CSR) annual reporting looks outward - a way for an organization to present itself to investors, regulators, or prospective EEs - primarily a tool for self-evaluation. A formal review of an organization's social and environmental policies and procedures. A technique to understand, measure, verify, report on and to improve the social performance of the organization. It resembles a financial audit in that the goal is to assess and organization's current status, identify missing or inadequate elements or inefficiencies, and determine steps for improvement. Begins by interviewing all of an organization's stakeholders - internal and external - and concludes by publishing all results in a format available to all participants *AUDIT AREAS* Ethics, staffing, environment, human rights, community, society, compliance.

ISO 31000

Defines risk as - "the effect of uncertainty on objectives" International Organization for Standardization (ISO) presented definitions related to risk, principles for organizations to follow in making themselves more resilient and capable of managing risk, and a risk management process. *Principles* Create and protect value; be an integral part of all organizational processes; be part of decision making; explicitly address uncertainty; be systematic, structured and timely; be based on the best available information; fit an organization's risk control environment; take into account human and cultural factors; be transparent and inclusive; facilitate continual improvement of the organization. *Organizational Framework* - Management commitment - Design of a framework for managing risk - Implementing risk management - Periodic monitoring and review of the framework - Continual improvement of the framework

Diversity and Globalization

Developed countries are facing an aging workforce, while merging economy workforces are much younger. Globalization has brought attention to generational, as well as cultural diversity. Greater immigration (diaspora) between developing countries than from developing to developed countries.

Repatriation

Reintegrating the International Assignee back into the home country. It includes adjustment to he new job and readjustment to the home culture and conditions.

Global integration

Strategy allows organizations to take advantage of economies of scale ad standardization of processes to achieve greater efficiency, which can lower costs of operation, create greater pricing flexibility and increase profit. Emphasis: consistency of approach, standardization of processes, and a common corporate culture across global operations. Decisions are made from a global perspective so that the company's brand and image are consistent and uniform but NOT necessarily identical.

International Assignee Adaptation Phases

- Honeymoon - Ample home support - Culture shock - Novelty and disillusion - Adjustment - Host country gets easier, learning norms - Mastery - After several years IA participates fully and comfortably in the host culture.

CSR and HR

"GRI, is a network-based, multistakeholder organization providing a voluntary standard for sustainability measurement and reporting.) GRI measures include labor relations, human rights/child labor, diversity, health and safety, wellness, employee satisfaction, etc. The report suggests four key HR opportunity areas: Culture change. The further down the CSR maturity curve an organization is at present, the larger and more difficult the necessary culture change will be. Increasing stakeholder engagement and becoming more customer-responsive are difficult and critically important—and HR is perfectly positioned to help with these human-related objectives. Corporate strategy. The more directly involved stakeholders are in the strategic process—and such involvement is a measured aspect of GRI reporting—the more central HR's role can become in strategic planning. The more central employee behaviors are to successfully carrying out a CSR strategy, the more central HR's role in strategic implementation becomes. Organization effectiveness. CSR requires decisions and changes regarding corporate structure and processes. Is there to be a separate CSR department? Are outside organizations or consultants needed? HR is well-equipped to help match the right structures and processes to the organization's culture and needs. "Human capital development. Creating a CSR strategy redefines how a company sees its mission and goals and how its employees see their jobs. Helping form those visions and helping them align with one another are HR capabilities. The Effect on HR Functions HR has the opportunity to assume a significant role in shaping CSR efforts—and thereby help shape corporate strategy as well. But the reverse is also true: Because CSR efforts today are both more strategic and more comprehensive, they have a larger effect on traditional HR functions. "Advancing Sustainability: HR's Role" lists seven areas that will be affected: Employee contract. The desire for meaningful work in an organization that values sustainability is a trend that HR must, first, actively convey to management and, second, weave into the corporate culture. Recruiting. Recruiting efforts need to be refocused, incorporating the organization's sustainability profile into its employee value proposition (EVP). Brand. Many workers, skilled and talented younger workers especially, look beyond salary and benefits. An organization's environmental and social record, the volunteer opportunities it provides its workers, their sense that they can "make a difference" or be creative and innovative within an organization—these are all valuable intangibles that greatly advance an org eve. "Engagement. Employees will need to be given opportunities to act on their interests in promoting the social and environmental responsibility espoused by the organization's mission and values. How people work. Efforts to reduce an organization's carbon footprint will require openness to new ways of working, and this may involve everything from telecommuting to flextime to new technologies. Accountability and measurement. CSR will need to be incorporated into key performance indicators. Reporting mechanisms that create accountability for sustainability performance will need to be implemented. Training and leadership development. Sustainability will need to be woven into all training and leadership development curricula. "Key Benefit in Talent Acquisition" "HR skills and responsibilities, underscoring how centrally involved HR should be in creating and implementing an organization's CSR/sustainability strategy."

Erisa

"ERISA ensures the uniformity of the minimum standards by virtue of the fact that the federal ERISA law preempts any state laws that would relate to or in any way attempt to regulate employee benefit plans, except for the regulation of insurance. Most private-sector employee benefit programs are subject to some provisions of ERISA. The legislation applies to and regulates qualified private retirement plans and welfare plans such as employer-sponsored group medical programs, group life insurance, and long-term disability coverage. Many public-sector employers and churches are not subject to ERISA. ERISA Regulatory Enforcement and Jurisdiction Enforcement and jurisdiction for ERISA is split across the DOL, the IRS, and the Pension Benefit Guaranty Corporation. The DOL has jurisdiction over reporting, disclosure, and fiduciary responsibility. The IRS has jurisdiction over tax-related matters involving benefit plans (funding, eligibility, etc.). The Pension Benefit Guaranty Corporation (PBGC) insures payment of certain pension plan benefits in the event that a private-sector defined benefit pension plan lacks sufficient funds to pay the promised benefits. Covered plans or their sponsors are required to pay premiums to the PBGC. In turn, the PBGC guarantees payment of vested benefits (up to a maximum "ERISA requires that employers follow a number of regulations; several are noted here. Fiduciary duties. An ERISA plan must be operated for the exclusive benefit of the participants and their beneficiaries. The employer sponsor must follow the prudent person rule with respect to the handling, investment, and management of the plan's assets. According to this rule, the employer cannot take more risks than a reasonably knowledgeable, prudent investor would under similar circumstances. Eligibility requirements. ERISA establishes certain eligibility requirements for retirement plan benefits. In general, the requirements are attainment of age 21 and completion of 12 months of service, with only a few exceptions. An organization cannot set the age for participation at more than 21 or the service requirement at more than 12 months. However, an organization can lower the age and service requirement thresholds. Vesting requirements. ERISA establishes minimum vesting requirements for retirement plans. Vesting is the process by which a retirement benefit becomes nonforfeitable, that is, when the employee is permanently entitled to a portion or all of his or her benefit. Although an employee is always 100% vested in his or her own contributions, employer matching and other employer contributions customarily vest over time. "The vesting requirements differ between defined benefit plans and defined contribution plans. Communication requirements. ERISA requires benefit plan sponsors to prepare and distribute summary plan descriptions (SPDs) to participants. These summaries of participant rights, benefits, and responsibilities under the plans should be designed and written so they are easily understood by the reader. Summary plan descriptions must be issued at least once every five years." "Communication requirements. ERISA requires benefit plan sponsors to prepare and distribute summary plan descriptions (SPDs) to participants. These summaries of participant rights, benefits, and responsibilities under the plans should be designed and written so they are easily understood by the reader. Summary plan descriptions must be issued at least once every five years. If plans are modified in the interim years, sponsors may distribute summaries of material modifications (SMMs) to participants to describe the changes, or they may issue a new summary plan description. Participants must also receive a summary annual report (SAR) that contains financial information about the plan. Reporting requirements. In general, an annual report (Form 5500) must be filed with the IRS and made available for participants to inspect. Form 5500 is required for employers that sponsor qualified retirement plans and/or that have at least 100 employees participating in health and welfare plans

Promoting continuous improvement

"Promoting Continuous Improvement Risk management is not a static process. First, risks are inherently dynamic, increasing and decreasing with changes in internal and external environments." "Changes in the structure, size, or culture of the organization—after, for example, a merger or a major cultural change initiative—may create or remove organizational risks."

Reverse innovation

"Reverse Innovation A final aspect of the growth of emerging economies is worth mentioning. Reverse innovation, a term coined and popularized by Vijay Govindarajan and Chris Trimble in their book of that name, refers "to innovations created for or by emerging-economy markets and then imported to developed-economy markets. That is, it reverses the traditional pattern of innovation, in which products and processes are developed in rich countries and sold afterwards in poor countries." Reverse innovation not always a product

Implementing the risk management plan

"Some risks may be so critical to the organization's strategy that the metrics related to risk management performance will be reported in real time on a management dashboard. Metrics are discussed further in the Technology and Data Functional Area in the Organization module. As with all performance measurement, HR's risk management performance targets should: Be strategically focused. Certain risks may have been prioritized" "as potentially interfering with the organization's and HR's ability to meet their strategic objectives. Measurement should focus on performance that directly affects achieving the strategic goal. For example, the organization may be particularly dependent on strong leadership who can provide consistent direction. HR can help manage the risk of loss of leadership through various risk management strategies that are included in HR's succession planning and executive compensation processes. Performance metrics may focus on identifying key positions and successors for each position and on conducting regular executive compensation surveys and revising the organization's compensation strategy as needed. Combine activities and results. Metrics related to activities show efficiency, while metrics related to results show effectiveness. For a company committed to worker safety, the number of workplace inspections conducted by HR demonstrates HR's efficiency in deploying this prevention strategy. The number of workplace accidents occurring within a period demonstrate the strategy's effectiveness. Combine lagging and leading metrics. Lagging metrics look backward at what has been accomplished, while leading metrics measure performance that will affect results in the future. For example, an organization has determined that one of its key risks involves its ability to hire a specific type of engineer. Lagging risk "Performance targets here might include: Modifying risks related to noncompliance. This might involve measuring: Efforts to educate the organization about laws and regulations. Implementation of a whistleblowing policy and system. Incidence of noncompliance reports. Incidence and levels of fines. Instilling risk management principles in the organization's members and processes. This might involve measuring: Workshops delivered to boards, leadership, and managers. Development of procedures for implementing risk review in all projects. Compliance with the organization's risk management policy (e.g., the percentage of project plans that include a risk management section). Integration Implementation will also involve individuals and groups throughout the organization. This must be an integrated enterprise effort. After discussing and analyzing stakeholder needs and perspectives, the risk management team will have a better idea of the requirements for the solution and its constraints. For example: HR may work with IT to determine what methods for increasing the security of HR data records are effective and feasible. To what degree will backup records be current and accessible quickly to authorized personnel? Will backup processes proposed in the plan conflict with IT standards? Will the use of cloud storage create "other security issues that must be mitigated? The interface of technology and HR is addressed in the Technology and Data Functional Area in the Organization module. HR may need to work with facility management to secure temporary workspace and equipment for HR personnel if facilities are lost or inaccessible. The organization's security officer can collaborate on creation of workable programs to respond to incidents of workplace violence: creating policies for entering the workplace, installing cameras and checkpoints, and creating lockable safe rooms. Communication Effective implementation also involves communicating what is essentially a request that employees change their behavior or perceptions. In this sense, implementing a risk management plan requires that employees understand the need for new practices (e.g., why they will be required to take their laptops and work home when an infectious health threat has been detected, why anonymous reporting of bullying and potentially violent behavior is being requested). Employees must understand exactly what they are being asked to do. This may require manuals, training workshops or presentations, or signage. HR must make sure that this communication is effective for all employees within their specific cultures.

The CSR Strategic Process

"Step 1. Executive Commitment" "Any strategic initiative requires buy-in at the highest level. (This basic truth of all strategic initiatives is discussed at greater length in the Diversity and Inclusion Functional Area in this Workplace module.) The key to getting that buy-in is making the business case for CSR—demonstrating that it has business value. As discussed earlier, CSR is increasingly viewed today as aligned with—or even having a foundational role in—corporate business strategy by providing such strategic benefits as: Improving the organization's ability to attract and retain top talent. Enhancing innovation and new product development capabilities through pursuing sustainability sweet spots. Cutting costs on operations, transportation, and energy usage. Increasing brand image value by being presented to the public as an ethical and sustainable organization. Reducing sanctions through improved compliance measures. However, it is critical to recognize that any business case to be made for a CSR strategic initiative must be specific to the needs and goals of the particular organization for which that case is being made. This requires a preliminary assessment of possible impacts across the organization's many functions and locations. (A more detailed assessment is required to develop the strategy; "The Business of Sustainability: McKinsey Global Survey Results," McKinsey and Company, a management consulting firm, offers a useful model for approaching that task. As shown in Figure 16, it organizes sustainability's potential to "capture value" into three main areas: Growth. Includes "sustainability sweet spot" product innovations. Returns on capital. Include both savings from carbon footprint reduction efforts and improved sales resulting from "green" marketing efforts." "Risk management. Includes compliance issues as well as effect on corporate reputation and branding "By examining the implications for one's organization within each area in turn, a detailed case can be made for CSR's strategic value to the organization. Step 2. Assessment The assessment aims to provide a detailed picture of where the organization is at present and—by "framing" that picture within the context of existing CSR guidances, templates, and initiatives already reviewed—also visualize the direction in which the organization can go. There are two components to the assessment: Reviewing systems and procedures within one's own organization to determine their current state of sustainability Gathering input from internal and external stakeholders" "Current Organization Systems and Procedures The preparatory reviews of existing frameworks, guidelines, and examples of other organizations' CSR reports should give a clear sense of what areas within one's organization require examination—a useful preliminary step in developing a comprehensive, organization-specific CSR strategy. The next step is to apply what has been learned to a thorough examination of the organization. That includes: Any current CSR systems and processes. (For some organizations, that may just be ethics and governance components; other organizations may have sustainability programs in place.) Operations, products and services, transportation and logistics, employee relations, marketing. For global organizations, a review of all subsidiaries, with an eye toward identifying local differences that a CSR strategy will need to take into consideration. The supply chain. (Organizations are held accountable for the actions of their vendors and suppliers; the supply chain can also be a source of sustainability measures that have an immediate economic as well as environmental return.) Stakeholders Next, all key stakeholders in the organization should be consulted for their sense of where the organization is at present, how it interacts with their area or group, and what their priorities would be for change. "This can be accomplished through various communications channels, such as in-person interviews, surveys, or focus groups. The information gathered can be used in formulating an overall CSR strategy and in developing key components, such as a code of ethics. Among questions to ask: Internal stakeholders. Where do they feel your organization and "its practices, policies, and procedures are at present? What do they feel is the present state of their own area? What would they like to see change or improve? What are their priorities? How do they feel they can have a positive impact on the organization's sustainability practices and strategies? What would they like their CSR role to be? External stakeholders. What is their assessment of the organization's current sustainability progress? What are their priorities? How do they see their interests and the organization's interests coinciding or conflicting on sustainability issues? Are there opportunities for strategic alliances? While consulting with all stakeholders is a critical initial step, it is equally important to recognize the need for continual communication with stakeholders as the CSR strategy is implemented, evaluated, and revised. All of these communications are key opportunities for HR to take a lead role in the CSR strategic process." "Step 3. Infrastructure Creation This step involves creating the infrastructure that will be responsible for guiding, overseeing, administering, reviewing, and championing the CSR strategy. Questions to answer include:" "social engagement and establish partnerships. It can facilitate employees' engagement in their communities by promoting volunteer opportunities and matching employee expertise with community needs. Examine transgressions for organizational significance (compliance program steps of incentives and discipline, remedial action, evaluation/risk assessment). Failure to correct a flaw in the ethical infrastructure of an organization will almost certainly lead to additional problems. Make sure that employees and suppliers understand ethical requirements and are supported in their efforts to follow the company's code. HR can draw attention to the organization's CSR policy through its regular communications with management, employees, and suppliers and can ensure that all three groups are included in training programs it develops. Step 4. Plan Implementation The key tasks in this step are to: Set the strategy. Set priorities and objectives. These should incorporate a clear sense of how intermediate, tactical steps will lead to long-term objectives. They should also clearly define how results will be measured and who is accountable. Implement the action plan created. The SHRM Foundation recommends creating a scorecard of HR responsibilities, objectives, priorities, and metrics, together with a clear statement of the business value of meeting each objective." "Step 5. Measurement, Reporting, and Evaluation" "All measurement and evaluation should be keyed to the specific goals and objectives set in the fourth step. To maintain the business case for the CSR strategy, there should also be clear procedures in place for providing access to results to marketing and other organization functions that can profitably leverage the data. Step 6. Reassessment and Revision Based on the evaluation of results, tactics and strategic goals should then be revised. It is also useful to continue to think in terms of the "sustainability maturity curve, continually reassessing where the organization is along the curve and considering what next steps would move the organization further up the curve. Critical to this step is having an infrastructure and process in place to provide the entire organization with a clear sense of progress achieved, victories won, and next steps needed. Philanthropy and Volunteerism Ethical behavior may begin with the directive to "do no harm." But being ethical also involves striving to do positive good. In traditional CSR, that ethical component had a tendency to remain far-removed from core corporate strategies. However, philanthropic efforts and employee volunteerism can become a fully embedded component of a comprehensive CSR strategy—and a key HR initiative. Philanthropy Corporate philanthropy can take many forms—all of which can be strategically aligned with an organization's CSR and business strategies: Like individual philanthropic efforts, organizations can simply make charitable donations to existing causes. The range of social and environmental charitable organizations makes it relatively easy to select causes that align with strategic goals. Larger organizations may instead form foundations to award grants or sponsorships to individuals or organizations. For example, a Forbes listing of the ten largest college scholarships

Q: What term did Perlmutter use to describe a multinational enterprise whose subsidiaries are not satellites or independent bodies but instead participate with HQ as a network?

A: Geocentric

Employee Resource Groups (ERGs)

Affinity groups for workers based on their shared race, culture, sexual orientation, etc.

Evaluation - Outcomes evaluation

Aims to determine the actual results achieved by the program. EX: Is there less misconduct? Is there less exposure to risk for misconduct? Can EEs and agents recognize compliance issues at work? How willing are EEs and agents to seek advice? How willing are EEs and agents to report concerns? How committed are EEs to the organization?

Culture - "Universalist"

Cultures that value clarity and consistency

Hazard

Potential for harm, often associated with a condition or activity that, if left uncontrolled, can result in injury or illness. They have the potential for immediate and sometimes serious harm to EEs.

Global Reporting Initiative (GRI G4)

Provides a near-universally accepted guidance document for sustainability reporting. G4 - Refers to the fourth revision

Sustainability - Sweet Spot

That place where n action can fulfill expectations in all three categories: Environmental (planet), Economic (profits) and Social (people)

Foreign Direct Investment (FDI)

AKA: FDI The investment of foreign assets into domestic structures, equipment, and organizations.

Independent Contractors

Receive form 1099 - Having the ability to set their own hours and determine sequence of work. - Working off-site - Working by the project rather than having a continuous relationship with the ER - Being paid by the job rather than by the hour or pay period - Having the opportunity for profit and loss - Furnishing own tools and training - Being self-employed and holding oneself out as such IRS Considerations: - Whether the organization has a right to direct and control how the worker does the task for which the worker is hired - Whether the organization has a right to control the business aspects of the worker's job - Written contract? Benefits? Permanency? Regular business?

Confidentiality

Refers to the treatment of personal information that has been disclosed to another person or organization; maintaining confidentiality is the agreement to not ha or make public that information. Concerns whether an organization or person has the right to share information it has obtained.

CSR Strategy

"HR can no longer consider CSR as just isolated defensive or tactical actions. CSR instead should be considered a comprehensive strategic initiative, to be carefully aligned with corporate business strategy." "Frameworks, Guidelines, and Examples The best starting point for developing and implementing a CSR strategy is gaining a clear perspective of work already done internationally on defining CSR issues and responses. A number of international organizations have provided frameworks, templates, and guidance for creating a CSR strategy. These include: Broad statements of principles upon which an organization-wide CSR strategy should be based (such as the United Nations Global Compact). Highly detailed guidance—notably the ISO (International Organization for Standardization) and SA (Social Accountability International) standards that address specific social responsibility "and sustainability issues. Reporting frameworks, most notably the Global Reporting Initiative's G4 guidelines." "Note that, while such frameworks and guidances serve as an excellent starting point, each company must tailor them as appropriate, taking into consideration requirements and metrics that are unique to their particular industry and local environment. For that reason, it is equally valuable at this stage to review the annual CSR or sustainability reports of other organizations. These show how other organizations have customized general principles and reporting guidelines to focus on their own particular industry's areas of interest and their own strategic goals. OECD Guidelines for Multinational Enterprises" "The Guidelines, which have undergone several revisions over the years (2008 being its most recent version), cover the following areas: Disclosure and transparency (governance) Workforce relations Environment Combating bribery Consumer interests" "Application of and access to science and technology United Nations Global Compact The United Nations Global Compact was introduced in 2000. Its ten principles address human rights, labor, environmental, and anticorruption issues. The principles are listed and their areas of concern identified in Figure 11 on the next page. Significantly, by committing to uphold these principles, an organization also agrees to report annually on its progress—which in turn requires turning abstract principles into specific actions and measures. Caux Principles A network of business leaders from Europe, Japan, and the United States (the Caux Round Table) began meeting regularly in 1986 in response to mounting trade tensions. In 1994, they formalized a set of international business standards based on two underlying values: human dignity and "kyosei," the Japanese ideal of living and working together for the common good. These became the known as the Caux Principles—one of the earliest employer-led efforts to establish an international code of ethics." "The key components of the Caux Principles are: The responsibilities of businesses: beyond shareholders toward stakeholders. The economic and social impact of business: toward innovation, justice, and world community. Business behavior: beyond the letter of law toward a spirit of trust. Respect for rules. Support for multilateral trade. Respect for the environment. Avoidance of illicit operations. Stakeholder treatment: customers, employees, owners/investors, suppliers, competitors, and communities." "ISO 26000 ISO (the International Organization for Standardization) is the world's largest developer of voluntary international standards. ISO 26000 is a quality standard, though not for certification, that provides guidance on key themes of social responsibility across a broad spectrum of topics. It contains principles of social and environmental responsibility as well as guidance for action and expectations for implementation. The ISO site lists the contents of ISO 26000 as: Concepts, terms, and definitions related to social responsibility. Background, trends, and characteristics of social responsibility. Principles and practices relating to social responsibility. The core subjects and issues of social responsibility. Integrating, implementing, and promoting socially responsible behavior throughout the organization and, through its policies and practices, within its sphere of influence. Identifying and engaging with stakeholders. Communicating commitments, performance, and other information related to social responsibility. SA8000 Social Accountability International (SAI) is an international nongovernmental organization that aims to improve workplaces and communities by developing socially responsible standards for certification. SA8000, one of the earliest certification standards (first issued in 1997), is a certifiable standard focusing on human rights and labor relations, providing both process and performance criteria. It is based on both United Nations and ILO standards. "most recent version, issued June 2014, focuses on nine key areas of human rights and labor relations: child labor, forced or compulsory labor, health and safety, freedom of association and right to collective bargaining, discrimination, disciplinary practices, working hours, remuneration, and management systems. GRI G4 Sustainability Reporting Guidelines As explained in Section 1, the Global Reporting Initiative (GRI) G4 Sustainability Reporting Guidelines are the universally accepted standard for reporting of an organization's sustainability efforts and progress, enabling meaningful and consistent comparisons of multinational organizations' sustainability performance. The Guidelines are presented in two parts (in addition to an introductory overview document): Reporting Principles and Standard Disclosures. Includes criteria to be applied in preparing a sustainability report. Implementation Manual. Provides explanations for applying the principles and preparing the information to be reported. GRI also provides a number of supplementary guides, including: Assistance in coordinating G4 efforts with compliance with other guidelines such as the UN Global Compact and ISO 26000. Sector Supplements to assist in adapting guidelines to the specific concerns of various business sectors, including mining and metals, nongovernmental organizations, oil and gas, financial services. "food processing, and media. Online interactive guides for identifying which aspects relate to specific strategic concerns, such as supply chain and risk management. A Sustainability Disclosure Database that links online to existing corporate CSR and sustainability reports as well as benchmark scorecards on their reporting. The goal is for each organization to identify and report on what GRI terms "material aspects"—those issues that "are significant to a business' economic, environmental and social impacts and that substantively influence the assessments and decisions of its stakeholders." Such aspects help each reporting organization better understand how its sustainability strategy and business strategy influence one another." "Given that the GRI-G4 is the standard for sustainability reporting, HR managers must understand it in order to be part of an effective CSR team. The G4 Guidelines are useful in at least two steps in the strategic process: At the initial assessment stage, a detailed look at the G4 Aspects provides a template for determining the organization's current conditions and needs. At the later measurement and evaluation stage, the G4 Guidelines provide the metrics needed for meaningful progress evaluation

"HR Involvement in the Litigation Process

"HR professionals often work directly with the employer's attorney—attending depositions and gathering information necessary to respond to the plaintiff's allegations and requests from the court or investigating agency, protecting evidence, attending meetings with agencies and plaintiffs, and testifying in court. They may also work with attorneys to craft preemptive settlements or implement ordered remedies." "Possible Remedies Remedies for successful plaintiffs may include reinstatement, promotion, back pay and benefits, front pay (future wages, usually in lieu of reinstatement), remedial training and/or transfer, injunctive relief, and actual damages. Remedies may also include payment of attorneys' fees, expert witness fees, and court costs." "Additional Aspects of a Compliant Workplace As we have read, HR professionals make many contributions in support of a compliant workplace. This section closes with a discussion of two additional aspects that HR should be aware of, as they both contribute to legal compliance processes within an organization: Attorney-client privilege and discoverability Conducting safe, legal, and effective investigations Attorney-Client Privilege and Discoverability HR professionals should be aware of the importance and limits of attorney-client privilege. A discussion between a client and an attorney related to securing legal advice is considered "privileged" or confidential and is not subject to the discovery process—within certain limits. Some activities that are performed by HR during the process of litigation may be covered by the attorney work product privilege where those activities are specifically directed by the attorney. Privilege does not extend in most areas to a discussion for the purpose of committing a crime or civil tort. In discussions with their clients, attorneys need to know the truth. Lying or lying by omission will not help the employer's case. At the same time, attorneys do not want extraneous details that could create new problems." "Conducting Safe, Legal, and Effective investigations "HR should also remain sensitive to the volatile and emotional nature of disputes and take reasonable steps to secure the safety of all employees. Investigation reports and notes taken by an investigator will be discoverable by the other side unless protected by attorney work product privilege. As a consequence, great care should be taken with regard to what is recorded during the course of or following any investigation. To conduct an effective investigation, HR should: Ensure confidentiality. Investigators should assure employees that information will be held in confidence as much as possible. Disclosed information should be discussed with others on a "need to know" basis only. However, HR should be aware that the NLRB has taken the position that generalized instructions of confidentiality in all employee investigations are a violation of the NLRA because they prevent employees from discussing work-related issues." "Select investigator. An investigator should be chosen who is perceived as fair and unbiased by employees, is generally respected by employees, and who is emotionally intelligent and has strong questioning and listening skills. HR is often assigned the task of investigating, but it may be appropriate to bring in an outsider to assist, especially if the matter has special security or legal issues. Again, HR should consult with the employer's attorney, who may choose to hire an investigator and cover the investigator's results under the attorney work product privilege. Create plan. All possible sources of evidence must be identified and plans laid for securing this evidence. A list of interviewees must be created. Investigators should develop interviewing guides to ensure that questions are relevant and focused on the information that must be uncovered and that they do not intimidate those being questioned. Conduct interviews. Interviewers should maintain impartiality "and objectivity but must listen carefully to detect inconsistencies, evasions, implausible statements, and contradictions. Individuals may need to be re-interviewed to clarify previous statements or based on subsequent information. It may help to have two people working together as interviewers, but more than that may be counterproductive. If the number of interviewers begins to outnumber the employee greatly, the employee may feel intimidated and not inclined to speak freely. Careful notes must be taken and preserved from all interviews. Create report, if appropriate. If an attorney advises it, the evidence from the investigation should be summarized in a thorough report. If findings are appropriate, the evidence should be analyzed, a decision made, and the grounds for that decision explained in a report."

Taxation approaches for International Assignees

*Laissez-Faire* - The EE is responsible for any taxes incurred *Ad hoc* - Each expatriate EE negotiates hi own tax approach with the company *Tax protection* - the organization calculates the assigns hypothetical tax had he remained hime, compares it with actual taxes paid abroad, and reimburses the disparity. *Tax equalization* - The organization ensures that the assigns' tax situation is neither better nor worse that it would have been at home. Hypothetical home-country tax is withheld, the ER pays or reimburses foreign taxes.

Federal Labor Standards Act (FLSA) Overtime Pay Provisions

*Overtime* - All exempt workers must be paid OT. 1.5 times their regular rate of pay for hours worked in excess of 40 in any workweek. *Workweek* - Any fixed, recurring period of 168 consecutive hours (7 days X 24 hours). Must be consistent week to week *Time worked as it applies to overtime* - OT must be paid on time worked - not time compensated (actual hours worked).

Risk - Categories

*Known knowns* - Events that are to be expected and so involve little uncertainty *Known unknowns* - Uncertainties that we know exist, but we don't know much about heir probability or impact *Unknown unknowns* - Risks that we don't know exist. They are the events that blindside and organization. Kaplan and Mike's Categories: 1. Internal and preventable (known knowns) 2. Strategy (known unknowns - acceptable risks) 3. External (unknown unknowns - beyond control)

Civil Rights Act of 1991

Jury trials are allowed in cases where the plaintiff seeks compensatory or punitive damages. Limits and provides for the damage awards available to victims of intentional discrimination in violation of Title VII and ADA.

Key Risk Indicators (KRIs)

Metrics that provide and early signal of increasing risk exposure in the carious areas of an enterprise, These signals could call or a chance in the way that risks are prioritized for management or in the management actions themselves. Strategically aligned with key initiatives or strategic objectives. Developed by considering the root causes of risks and intermediate events that signal changes, Early signed of an emerging event her might be trends in the length of time it takes to fill a position.

MECE

Mutually Exclusive (and) Comprehensively Exhaustive. Organization wants to be confident that it has identified all plausible risks for all strategic and operational aspects of its business, but wants to avoid duplication or overlapping in the identification.

Managing Risk

"Developing risk responses requires investment of resources and time, so most organizations develop responses only for those risk events that have been prioritized. In choosing a specific risk management approach, the organization must weigh the costs of doing nothing against the costs of the response and the level of confidence that the response will attain risk management goals. As the response is developed, the risk register should be updated to include the response mechanism that has been selected and the individual or group with ownership of implementation. Eliminate Uncertainty "By eliminating uncertainty, the organization or function takes steps to guarantee that positive risk events will happen and negative ones will not happen. These steps must be thoroughly researched and analyzed to establish that desired absolute degree of certainty. Consider the following examples. Optimize HR is developing a global assignment policy. To make the assignment program as attractive as possible and attract the greatest number of qualified candidates, HR includes a guaranteed income provision. Avoid HR is screening applications and pauses over a problematic one. The individual has the required skills and is immediately available. However, employment history shows periods of brief employment and unexplained gaps in employment. The early departures and gaps could have legitimate reasons, but they could also signify difficulty in adapting to work environments. HR decides to demote the application to secondary consideration after other "group A" applicants are screened. Redefine Ownership Ownership in this case refers to responsibility for financial costs and operations. Sharing means that another party will be brought in to help maximize the upside potential of an uncertain event. Firms frequently engage in strategic alliances and joint ventures to manage higher levels of uncertainty in some strategic initiatives, such as developing "HR practitioners should be aware, however, that ownership is never completely transferred for negative events. Organizations will suffer from loss of consumer confidence even though they may have been protected from liability damages after consumer complaints. Insurance to compensate employees or their families for workplace accidents does not erase the possibility that the employee relationship has been seriously weakened by a pattern of such injuries. Outsourcing a hazardous process to another firm that proceeds to expose its own workers does not relieve the firm of its ethical responsibilities. Here are examples of this risk management strategy in action: Share A retailer is expecting a very brisk holiday season, and HR has hired temporary workers to increase staff levels. If the season proves to be even more successful than management anticipated, insufficient staffing could mean empty shelves, angry customers, and lost sales. So HR arranges with a staffing agency for contingent workers who will be available as needed, although at a higher rate than the temporary workers are being paid. Transfer A firm that regularly assigns employees to areas in which kidnapping is more probable will obtain kidnapping and ransom insurance coverage. This insurance usually includes the services of experts

Hyperconnectivity

"The World Economic Forum defines hyperconnectivity as the "increasing digital interconnection of people—and things—anytime and anyplace." It is the purely digital/virtual aspect of globalization's "accelerating interconnectedness." It is shaping globalization, just as globalization amplifies the effects of technology in accelerating new products, processes, and cultural "phenomena. Hyperconnectivity—that sense that we are instantly and constantly globally connected—may well be the defining phenomenon of globalization today. It is not just a matter of the tools we now use—the migration to smartphones and tablets over desktop and laptop computers—and the ever-increasing speed and power of their connections and capabilities. It is also shaped by how they are used—the proliferation of social networks, blogs, and microblogs and the increase in data mining capabilities, by both organizations and nations. Taken together, the net effects of hyperconnectivity are much more wide-ranging and less immediately obvious than just increased connectivity. Achieving a Public-Private Balance Innovative technology that is rapidly communicated and implemented globally may create problems for which neither societies nor enterprises are prepared. The creation of the 24/7 global "workplace—in which any worker can be fully connected to work via mobile phone or tablet, any time of day or night, and from anywhere around the globe—may greatly increase efficiencies. But it just as surely creates a broad range of new challenges for HR concerning the blurring of public and private lives and the attainment of a proper work/life balance. Another example of unintended consequences involves the way organizations can gather, store, process, and access data about a broad range of human activity. This technological capacity that has increased productivity has also raised concerns about the need for legal protections for data privacy. Recent examples suggest that corporations, governments, and private citizens must all now contend with the implications of privacy: The EU's Court of Justice May 2014 "right to be forgotten" ruling that data about individuals held by Google must be deleted on request "Compliance with the varying requirements of data privacy laws is a major obligation for global HR, but the range and complexities of data privacy issues that new technological capabilities create suggest that HR's role will need to reach far beyond regulatory compliance. Measurability Increased data mining and analytics capabilities have also had a very different—and perhaps more purely positive—effect on global business. They are enabling new types of data to be measured and analyzed, new questions "to be asked, and new criteria to be established. This is important because what gets measured is often what gets acted on. In particular, these capabilities have enabled statistically valid measures to be taken regarding aspects of business that had hitherto seemed too subjective or "soft" to aid strategic decision making."

Corporate Social responsibility

"focuses on two aspects of corporate social responsibility (CSR): the traditional concerns of ethical behavior and the newer issue of sustainable behavior. The two are tightly connected. Ethics is ultimately about doing the right thing. Sustainability provides a framework for determining what the right thing is in a world with competing interests. This Functional Area examines the implications of three key facts about corporate social responsibility today: CSR efforts are becoming more central and critical to organizational growth and success. CSR strategy and corporate business strategy are increasingly aligned and operating in mutual support. HR has the opportunity to play a critical role in shaping, implementing, and ensuring the success of CSR efforts and thereby to play a more central role in overall corporate strategic planning." "The Evolution of CSR There are two major changes in the area of CSR that we will discuss in this Functional Area. First is the expansion of the definition of CSR from its traditional areas of concern—notably corporate ethics, governance, philanthropy, and volunteerism—to include the concepts of sustainability, which will be discussed in Section 3. This concept requires consideration of a broader range of a decision or action's effects on a broader field of stakeholders. The second change is that CSR has moved from the corporate periphery to center stage. As one indicator, consider some key findings of the "KPMG Survey of Corporate Responsibility Reporting 2013." Each year, KPMG—one of the "big 4" audit, tax, and advisory services firms—issues its review of the extent and quality of CSR and sustainability reporting. The 2013 report revealed that: Of the 4,100 corporations surveyed, 71% now issue annual corporate responsibility/sustainability reports. Growth in CSR reporting encompasses both developed and emerging nations, with reporting rates of 76% in the Americas, 73% in Europe, and 71% in Asia-Pacific. Among the world's 250 largest corporations, the reporting rate is 93%. 51% of the corporations surveyed include corporate responsibility information "CSR as a way to: Compete for and retain top talent. Remain competitive in the talent market. Increase employee engagement. Attract socially conscious customers. The panel also describes the increased measurement and reporting of CSR accomplishments and increasing adherence to globally accepted frameworks and standards. In effect, CSR has moved up the maturity curve: from CSR as a tactical approach to "paying back" or doing good or as a compliance activity or defensive maneuver to protect a company's reputation and share value, to CSR as a strategic approach that is fully integrated into an organization's mission and core business strategies. Today's CSR is more likely now to be strategically aligned rather than isolated. For example: Employee volunteer efforts are likely to be more fully integrated with an organization's particular sustainability goals and issues and become more central to employment branding. Ethical oversight of the supply chain is more apt to now also take into consideration providers' environmental track records in addition to evaluating their employee relations and anticorruption performance. Codes of conduct are more apt to state behavioral expectations for employers as well as employees and to offer the organization's sustainability position as the foundation for all expectations. Forces shaping CSR "a brief overview of some of the PEST (political, economic, social, and technological) forces that have shaped the many changes described thus far. Some have increased the importance of sustainability issues; others have helped determine what those issues are. Technology The web, smartphones, GPS, and social media (especially platforms such as Twitter) have all combined to make communications global, continuous, and instantaneous. Among the many repercussions: Corporate actions (and the actions of suppliers and of individual executives) are immediately knowable worldwide. Impacts can be large and negative, as when poor working conditions were revealed to exist in emerging-economy subsidiaries of electronics and clothing multinationals. The same global communications capabilities have increased pressure on governments to be more environmentally sustainable and socially responsible, which in turn has increased regulatory pressures on businesses. Data mining and analytics capabilities have made CSR factors more readily measurable and their impacts more demonstrable and understandable. That, in turn, has increased accountability, helped shape regulatory requirements, and, where measurable performance results are positive, given organizations a powerful strategic tool. Data collection capabilities and the proliferation of social media have combined to create new ethical and compliance challenges for organizations. Most notably, privacy and work balance issues are more complex. "Environmental Concerns Climate change has increased governmental regulations and requirements— including reporting requirements—that necessitate sustainability-related efforts. As climate concerns have achieved higher-profile public attention, sustainability has become more central to corporate branding. As a positive force, climate change challenges have created new "sustainability sweet spot" innovation opportunities for organizations. Growing energy costs have also increased the positive economic return on sustainability efforts that result in energy efficiencies. Economic Pressures The continuing financial pressures of a gradual global recovery from the 2008 economic crisis have likewise had both positive and negative effects on corporate sustainability efforts. Energy efficiencies can have an even larger impact in times of financial limits, which can encourage sustainability efforts. The financial impact of such efforts is further increased when they are accompanied by the competitive advantage of positive publicity and the polishing of a corporate image. Economic pressures have made it more difficult to find, attract, and retain skilled workers (even while resulting in lost jobs for many unskilled workers), which has further enhanced sustainability's value to employees (especially as salary and benefits packages face constraints). Economic pressures can also, however, limit corporations' willingness to finance sustainability efforts. "Sociopolitical Forces Civil and social rights movements have made their presence felt worldwide, resulting in some startlingly rapid shifts in public opinion—the changing views on LGBT issues such as same-sex marriage being the most recent example. These movements have reshaped corporate as well as government policies (benefits for same-sex spouses, family leave policies, etc.). Changing public perceptions on key issues such as diversity issues and environmental concerns have also helped shape which social responsibility efforts are emphasized and what the "appropriate" responses are. CSR Maturity Curve Several sources describe an organization's evolving approaches to CSR or sustainability (the terms are sometimes used interchangeably) as moving upward along a maturity curve: from a purely tactical, reactive approach; to a more strategically integrated position; to, finally, redefining core corporate values and goals based upon CSR (ethics and sustainability) principles. Essentially, the steps are as follows: Compliance. This is a defensive posture and sees social responsibility as a cost of doing business—a tactical response to regulatory requirements or negative publicity (for example, Shell Oil's CSR initiatives undertaken after the 2008 Niger Delta oil spill). may be a means of demonstrating good corporate citizenship, but such efforts rarely align—and often directly conflict—with core corporate strategy. Integration. CSR is integrated into the regular functioning of the business. These organizations have redesigned their products or services and their processes and procedures to be more responsible and sustainable. These are the companies such as GE, Pepsico, or Walmart who approach CSR as enlightened self-interest. Transformation. These organizations have redefined themselves, their brand, to reflect a commitment to CSR. A PWC (PricewaterhouseCoopers LLC) white paper ("Sustainability: Moving from Compliance to Leadership") describes transformation in this way: "Sustainability leaders embed real, measurable, ongoing commitments to sustainability practices as a strategic differentiator." An example is Ben and Jerry's Ice Cream, whose current advertising focuses on their sustainable practices regarding ingredient sourcing, environmental management, community engagement, and their B Corp Certification "Certification at the Top of the Curve For organizations striving to achieve the transformation level of the maturity curve, there is an international certification program. By meeting the nonprofit B Lab's detailed measures of social and environmental performance, accountability, and transparency, an organization receives certification as a Benefit Corporation (B Corp). There are currently over 1,000 B Corps, from 33 countries and 60 industries."

Strategy - Multidomestic or International

- Choose average and good performers as assignees - Send their assignees to another country to manage a project or get a particular job done.

The effects of culture on hr pratices

A culture belief system is multidimensional.

Letter of Assignment

A key document that evolves from the assignment plan, It is a memorandum of understanding stipulating the business aspects of the assignment as well as compensation, benefits, and local work rules. Other legal requirements may need to be satisfied.

Diversity and Inclusion (D&I)

A strategic necessity for any organization. Implementing must begin with top-down to stakeholders and supply chain A strategic asset rather than a legal or moral requirement.

Sustainability

A systemic solution, a way of mediating competing interests for log-term, shared benefit. The enterprise takes the long view, aiming at creating a business model, policies, and practices that meet the needs of the present without compromising the ability of future generations to meet their needs. An organization's practices must be analyzed in terms of their social, environmental and economic efforts.

Q: What globalization strategy is most likely to benefit small organization whose brand is not well established?

A: Identity alignment

Q: What term descries the globalization strategy of a firm that exports products or devices to foreign countries who developing processes and strategy in the home country?

A: International

Code of Conduct

AKA: Code of ethics Defined was the principles of conduct within an organization that guide decision making and behavior. Common provisions include: employment conditions and practices, customer and vendor relations, community activism, ad environmental protection. Ideally in antegral component of the organization's comprehensive CSR strategy, and its creation is inseparable from the process of creating that strategy. Becomes the basis of a more detailed set of policies and procedures addressing the specific legal and regulatory risks the organization faces in its particular industry and international environment. BEST: Rules based AND Values based Code of Conduct

Pregnancy Discrimination Act of 1978 (PDA)

AKA: PDA Amended Title VII to prohibit discrimination on the basis of pregnancy, childbirth, or related medical conditions; requires ERs to eat pregnancy the same as any other temporary disability.

Risk register

AKA: risk profile, risk alignment guide, risk event card, risk log. Documented risk information gathered during assessment phase. Serves as a repository for all information about an identified risk.

Approach to global assignments: Tactical-Reactive

Approach global assignments as short-term expenses, Quick Fix, Randomly and haphazardly perform some functions, fail to systematically integrate the worldwide organization.

Blue collar workers and veteran status

DOL defines: Those who perform work involving repetitive operations with their hands, physical skill, and energy. DOL has stated that individuals in these positions will not be exempt no matter how highly they are compensated.

US Employment Law and Regulations

Deals with the knowledge and application of all relevant laws and regulations in the US relating to employment. These provisions set the parameters and limitations for each HR Functional Area and for organizations overall HR Demonstrates value b ensuring the organization's compliance with laws and regulations on both domestically and globally (including extraterritoriality)

Diaspora

Def: The movement of the population from its original homeland. (migration)

Principal-Agent Problem

Economic concept. the problem arises when an agent such as an EE makes decision or takes actions on behalf of a principal (an ER or owner) but has personal incentives that may not align with those of the principal. This may range from commissions to performance bonuses or stock options.

Equal Employment Opportunity (EEO)

Employers should not make employment decisions on the basis of an applicant's or EE's race, sex, ethnicity, religion, age, color, military/veteran status, genetic information, FMLA entitlement or disability status. These decisions must be job related.

Child Labor

International codes: - UN General Assembly adopted the Convention on the Rights of the Child - to protect children from abuse, exploitation, and neglect. - African Union issued the African harder on the Rights and Welfare of the Child - focuses on providing specific legal protections in this area.

Equal opportunity

Principle where the ER needs to provide a level playing field for all groups and minorities without discrimination

Equity

Various Meanings: - Finance - means ownership - Compensation - means relative fairness in total rewards - Hiring - means equal opportunity to work

Protected class

people who are covered under a particulate federal or state anti discrimination law.

National defense act

"National Defense Authorization Act (2008 and 2010) The National Defense Authorization Act (NDAA) for Fiscal Year 2008 provided the first expansion of FMLA leave for employees with family members who are covered members of the military. Specifically, the act added two new FMLA-qualifying events: qualifying exigency leave and military caregiver leave. The National Defense Authorization Act for Fiscal Year 2010 (2010 NDAA) further expanded the military family leave rights added to the FMLA in 2008. Many, but not all, of the provisions of the FMLA apply to these two new categories of FMLA leave, including employer coverage, employee eligibility requirements, health insurance continuation, and reinstatement rights. Employees can utilize the leave all at once or on an incremental basis. Qualified Exigency Leave This benefit provides up to 12 workweeks of FMLA leave "spouse, son, daughter, or parent being on covered active duty or having been notified of an impending call or order to covered active duty in the armed forces. For members of a regular component of the armed forces, "covered active duty" means duty during deployment with the armed forces to a foreign country. For members of reserve components of the armed forces, including members of the U.S. National Guard, "covered active duty" means duty during deployment of the member with the armed forces to a foreign country under a call or order to active duty in a contingency operation as further defined in the law. DOL regulations address what constitutes a qualifying exigency leave under the FMLA's military leave provisions. Employees can take qualifying exigency leave in circumstances that fall under one of the following categories: Short-notice deployment Military events and related activities Child-care and school activities Financial and legal arrangements Counseling; rest and recuperation Post-deployment activities Additional activities agreed to by the employer and the employee Military Caregiver Leave This benefit provides up to 26 workweeks of unpaid FMLA leave during a single 12-month period for an eligible employee who is the spouse, son "Uniformed Services Employment and Reemployment Rights Act and Amendments Since 1940, federal law has guaranteed certain employment rights to employees who serve in the military. The Uniformed Services Employment and Reemployment Rights Act (USERRA) of 1994 substantially revised such provisions. USERRA was enacted to protect the employment, reemployment, and retention rights of persons who voluntarily or involuntarily serve or have served in the uniformed services." "The final DOL regulations confirm that USERRA applies to virtually all employers, both public and private, regardless of size, and prohibits discrimination in employment, job retention, advancement, or any benefit of employment on the basis of membership, application for membership, application for service, performance of service, or obligation for service in the uniformed services. The USERRA DOL regulatory provisions: Confirm that job applicants are covered by USERRA if an organization rejects a candidate or withdraws an offer of employment due to pending military leave. Require employees or an appropriate representative of the military to provide oral or written notice of the need for leave (according to Department of Defense regulations cited in the USERRA regulations, 30 days when feasible). Allow an employee to take military leave for up to five years (extended in some circumstances, such as an order to remain on active duty because of a war or national emergency that is unrelated to training). Clarify the types of military service covered by USERRA. Give employees on military leave the same non-seniority-based benefits and rights generally provided (by contract, agreement, policy, practice, or plan) to other employees with similar seniority, status, and pay on other types

Osha

"OSHA has specific record-keeping requirements. Some of the key posting requirements were noted in Figure 16, "Key OSHA Employer Responsibilities." Additionally, all organizations with more than ten employees, except for low-hazard businesses, must report all employee occupational injury and illness data. An occupational injury is an injury such as a cut, fracture, sprain, or amputation that results from a work-related accident or exposure involving a single incident in the work environment. An occupational illness is a medical condition or disorder, other than one resulting from an occupational injury, caused by exposure to environmental factors associated with employment. OSHA has one set of criteria for recording both work-related injuries and work-related illnesses." "Incidence Rates Each year OSHA collects work-related injury and illness data from employers within specific industry and employment size specifications. This data collection is called the OSHA Data Initiative (or ODI). The data provided is used by OSHA to show the relative level of injuries and illnesses among different industries, firms, or operations within a single firm. Incidence rates take on more meaning for an employer when the injury and illness experience of the organization is compared with that of other employers doing similar work with workforces of similar size. For an individual employer, these rates can help determine both problem areas and progress in preventing work-related injuries and illnesses. Information compiled by the Bureau of Labor Statistics (BLS) in a searchable database permits detailed comparisons by industry and size of firm. The BLS website provides step-by-step instructions for employers to calculate incidence rates and evaluate their firm's injury and illness record. For more information, see www.bls.gov/iif/osheval.htm. OSHA Inspections Unlike other federal agencies, where an initial notice of investigation is given in writing, OSHA does not normally give advance notice. Inspections may be conducted at random or in response to complaints of unsafe. "OSHA Violations, Citations, and Penalties After an OSHA inspection, a report listing probable violations is prepared. Normally, citations are issued and sent by certified mail. However, citations may be issued at the work site immediately following the inspection in cases where immediate protection is necessary. Penalties may be assessed based on the severity of the violations, the size of the business, the good-faith efforts of the employer to abate the cited violations, and the employer's previous violations, if any. An employer has the right to challenge a citation. OSHA has specific procedures to do so, including a hearing with an administrative law judge, appeal to the Occupational Safety and Health Review Commission, and appeals to courts of appeals (e.g., circuit courts or the Court of Appeals for the District of Columbia Circuit). Drug-Free Workplace Act Under the Drug-Free Workplace Act of 1988, federal contractors with contracts of $100,000 or more as well as recipients of grants from the federal government must follow requirements to certify that they are maintaining a drug-free workplace. The requirements under the Drug-Free Workplace Act include: Developing a policy that prohibits the unlawful manufacturing, distribution, possession, or use of "offense occurring in the workplace. Establishing a drug-awareness program that informs employees about the dangers of drug use in the workplace, the availability of drug treatment and counseling, and the employer's drug-free policy and penalties for drug violations. In addition, action by the employer is required in the case of drug-related convictions, including: Notifying the federal contracting agency within ten days of receiving notice of any employee conviction of a criminal drug offense occurring in the workplace. Imposing a sanction on a convicted employee or requiring satisfactory participation in a rehabilitation program. Many states have laws related to a drug-free workplace that affect all employers in that state, including those who do not do business with the federal government. Employee Relations Laws This content describes the fundamentals of the National Labor Relations Act as well as two cases affecting employee rights: NLRB v. Weingarten and Lechmere, Inc. v. NLRB. National Labor Relations Act and Amendments" "The National Labor Relations Act (NLRA) of 1935 was passed with the purpose of protecting and encouraging the growth of the union movement. The act established workers' rights to organize and bargain collectively with employers. The NLRA also established a new independent agency—the National Labor Relations Board (NLRB). The Labor-Management Relations Act (LMRA) of 1947 significantly amended the NLRA and imposed several restrictions and requirements on unions. The Labor Management Reporting and Disclosure Act (LMRDA) of 1959 further amended the NLRA and imposed regulations on internal union affairs and the relationship between union officials and union members. All of the above legislation has common names. The NLRA is also known as the Wagner Act, or the Wagner-Connery Act for the two legislators who sponsored the law. Similarly, the LMRA is also known as Taft-Hartley Act and the LMDRA is also called the Landrum-Griffin Act. As originally passed, the NLRA provided strong support for the rights of employees to join a union. For that reason, in most people's minds, the NLRA is associated with union activity. However, it would be a mistake to think that the provisions of the NLRA apply only to union members "Enforcement The NLRB was created to enforce the self-organization rights of employees to: Form, join, or assist labor organizations. Bargain collectively through representatives of their own choosing. Engage in concerted activities for the purpose of collective bargaining or other mutual aid and protection. Refrain from any or all such activities. While beyond the scope of this discussion, the NLRB is also integrally involved in the union election process. Activities range from the petitioning process to start an election process to representation elections as well as decertification elections. The NLRB also determines standards for unions and investigates charges of unfair labor practices. Unfair Labor Practices An unfair labor practice (ULP) occurs when a union or an employer violates Section 8 of the National Labor Relations Act. Labor organizations and employers may engage in activities that constitute a ULP singularly or in combination." "union failed to fairly represent its members (e.g., refusing to bargain in good faith with the employer). Employees also file ULPs against union leaders for intimidation, coercion, violence, and many other labor law violations if they exercise their rights to refrain from concerted activity. Common employer ULPs include: Interfering with employees as they engage in concerted activity. Dominating or assisting a labor union. Retaliating against any employee because of union activity. Retaliating against an employee for filing charges with the NLRB. Refusing to bargain collectively in good faith with a union. Promising or giving benefits to employees who oppose a union (e.g., rewarding employees who infiltrate or spy on union meetings or question other workers about their support for a union). To a lesser degree, a ULP may result from the combined activity of employers and labor organizations. Remedies for unfair labor practices. If an employer or a union commits a ULP, the NLRB will order the guilty party to cease and desist from the unlawful behavior. In the event that an employee is injured by a ULP, the NLRB may order the employer to compensate the employee (e.g., reinstatement, payment of lost wages and benefits, seniority credits).

80% Rule / Four-fifths Rule

Related to Adverse impact. When the selection rate for a protected class is less than 80% of the rate for the class with the highest selection rate. EXAMPLE: GROUP # INTERVIEWED # HIRED Males 40 20 Females 30 6 Step 1: Identify the selection rate (% hired) for each group - Male selection rate is 50% (20 / 40 = 50%) - Female selection rate is 20% (6 / 30 = 20% Step 2: Identify the group with the highest selection rate (males at 50%). This is the MAJORITY GROUP Step 3: Divide the lowest selection rate (MINORITY GROUP) by the highest selection rate (MAJORITY GROUP) - 20 / 50 = 40% (which is LESS than 80%) IF adverse impact occurs , ERs may: - Analyze data more rigorously to determine whether there is in fact adverse impact. - Abandon the procedure - Modify the procedure to eliminate the adverse impact - Validate the job-relatedness of the selection procedure - Justify the procedure as a business necessity.

Ethical behaviors

- At a minimum, commit to compliance with local laws even if it risks loss of profit. - Embody the organization's commitment to diversity and sustainability in a clear, concise document. - Research the cultures represented by the organization's stakeholders - Benchmark the organization's practices against those of similar organizations. - Develop workplace-specific CSR mission statements if necessary - Create action plans and publicize actions y the organization andy by individual EEs that demonstrate commitment.

"Pull" Factors toward globalization

- Greater strategic control - Government policies that promote toward foreign direct investment (FDI) - Trade agreements

"Push" Factors toward globalization

- Need for new markets - Increased cost pressures and competition - Shortfalls in natural resources and talent supply - Government policies (tax savings) - Trade agreements - Globalized supply chain

Strategy - Global

- Use a wide variety of global assignment types - Choose high-potential managers and top executives as assignees. - View assignments as leadership, career, and organizational development opportunities - Make assignments for man reasons other than situational project management or remedial intervention to fix a problem.

Fair Labor Standards Act of 1938 (FLSA)

AKA FLSA Establishes a minimum wage, overtime pay, youth employment, and record-keeping standards affecting FT and PT workers in the private sector and in federal, state, and local governments. Applies to public and private ERs with at least $500,000 in annul dollar volume of business. Applies to organizations with EEs who engage in interstate commerce or the production of goods for interstate commerce.

KPMG Survey of Corporate Responsibility

"The KPMG document is useful in a few ways: Making the business case. The report's detailed overview of the extent of reporting worldwide and by industry can provide useful support in making the business case for a sustainability strategy. The section on quality of reporting includes interviews with industry leaders that discuss how to maximize the value of sustainability reporting efforts. Identifying areas to address. The KPMG quality measures help indicate what areas within the organization ought to be addressed by a sustainability strategy as well as how best to measure and report on the results. This is suggested in Figure 13, which offers a map of the areas examined."

Defining globalization

"Thomas L. Friedman views globalization in terms of the extent and accelerating speed of integration, defining it as: The inevitable integration of markets, nation-states and technologies to a degree never witnessed before—in a way that is enabling individuals, corporations and nation-states to reach around the world farther, faster, deeper and cheaper than ever before and in a way that is enabling the world to reach into individuals, corporations and nation-states farther, faster, and deeper, cheaper than ever before. Mariangela Battista, writing in Going Global, makes a similar point more succinctly when she defines globalization. "But globalization must be understood as more than an economic phenomenon. It may start with trade in goods and services, but it eventually becomes trade in knowledge, beliefs, and values. Even the International Monetary Fund acknowledges that globalization is more than an international exchange of goods and services.

Becoming a Multicultural Organization"

"A global mindset is not quickly acquired. It is the product of continued understanding, experience, reflection, and evaluation of existing attitudes and views. Some individuals may be reluctant or take longer to change their views "In-person, day-to-day interactions with multiple cultures, experiencing firsthand their real differences and similarities, is the one sure route to a global mindset "To develop a global mindset, or to really achieve any change in behavior, three elements must be in place: Appropriate knowledge, skills, and understanding Desire and motivation on the part of the employee to change Support from systems and management Developing and promoting a global mindset 1. Study and understand your own culture and how it relates to others. 2. Study and understand global business trends and forces. 3. Promote a global mindset within your organization.

Genetic Information Nondiscrimination Act

"The Genetic Information Nondiscrimination Act (GINA) of 2008 prohibits discrimination against individuals on the basis of their genetic information in both employment and health insurance. Employment decisions based on genetic information are inappropriate because genetic information does not tell the employer anything about an individual's current ability to work. Coverage GINA prohibits an employer from discriminating against an individual in any aspect of employment, including hiring, firing, pay, job assignments, promotions, layoffs, training, fringe benefits, or any other term or condition of employment, on the basis of genetic information about the individual or a family member of the individual. Family members are not limited to biological relatives" "Exceptions Under GINA, it is unlawful for an employer to get genetic information on the individual or family member, with narrow exceptions such as the following: Inadvertent acquisitions of genetic information. Scenarios where a manager overhears an employee talking about a family member's illness or the manager receives an unsolicited e-mail indicating that an employee's family member has cancer are valid exceptions. For health or genetic services offered by the employer on a voluntary basis, if certain specific requirements are met. In certain circumstances, family medical history may be obtained for participation in a wellness program. For purposes of complying with the FMLA (or leave under similar state/local laws or pursuant to an employer policy). An employer can collect information as part of the certification process when an employee asks for medical leave to care for a family member with a serious health condition. Where the employer purchases documents that are commercially available (such as newspapers) or accesses sources (such as websites) as long as the employer is not searching those sources with the intent of finding genetic information

Q: What term describes the globalization strategy of a firm that is decentralized portfolio of subsidiaries that develop whiter own goals and strategies?

A: Multidomestic

COSO ERM

Defines risk as - "having an adverse affect" Committee of Sponsoring Organizations of the Treadway Commission. Approach to risk management, enterprise risk management, was created in the US primarily for the needs of the financial industry and to support financial auditing. - A systematic approach to risk management aligns the process with the organization's strategy and strategic objectives. - It leads to a more effective response to risk - It leads to a more consistent response to risk across the organization - Losses are reduced and the organization's resources are not wasted. - In complex strategies and organizations the interrelationship and possible interactions of risks across the organization can be understood and managed. *ERM Framework* - divides risk into four categories: 1. Strategy 2. Operations 3. Financial reporting 4. Compliance

Evaluation - Process evaluation

Evaluation of the compliance program. Monitors components and outputs Its purpose is to monitor which program activities are actually performed and what their outputs are. EX: What training classes exist? How often are they given? How many may attend? What knowledge do they retain? What is their satisfaction with the course?

Moral haard

Exists when one party engages in risky behavior knowing that it is protected against the risk because another party will incur any resulting loss (EX: insurance can have unintended consequences; a manger under-reports workplace accidents to earn an incentive; EEs overuse an organization's health benefits, causing an increase in the plan's premiums the following year).

Code of Conduct - Creation and Implementation

The code should reflect the needs, concerns, and values of the organization that creates, adopts, and uses it. - Gain senior management commitment - Agree on the purpose and uses of the code - Identify all stakeholders and their priorities and concerns - Identify who should be directly involved in the code creation process - Review existing frameworks and guidelines - Draft the code - Test, pilot, and revise the code as necessary - Gain formal approval - Publish and publicize - Review after implementation - Train and communicate to the entire organization - Connect the code to performance management policies and systems and internal controls.

Shared value

Suggests a win / win approach, "creating economic value in a way that also creates value for society by addressing its needs and challenges". *WAYS TO ACCOMPLISH* 1. Reconceiving products and markets 2. Redefining productivity in the value chain 3. Enabling local cluster development

Diversity

Asks: "Who do we bring to our organization?" Encompassing the qualities, life experiences, personalities, education, skills, competencies, and collaboration of the many different types of people who are necessary to propel and organization to success. "The similarities and differences between individuals, accounting for all aspects of one's personality and individual identity." Age, color, disability, ethnicity/national origin, family status, gender, gender identity or expression, generation, language, life experiences, organization function and level, physical characteristics, race, religion, belief and spirituality, sexual orientation, thinking patterns and veteran status. *ADVANTAGES* - Improved creativity and innovation - Recruitment and retention - Market strengths - Branding - Global integration and local differentiation *DISADVANTAGES* - Teams that are fragmented, nonproductive, and unable to arrive at decisions in a timely manner. - Increased costs for training - Increased costs and tie frames for recruitment efforts - Increased management time - Difficulties in communication - Diffuse or blurred branding, image, and marketing efforts - The impact of the "stereotype threat" - Global integration and local differentiation - Up-front costs for designing and implementing a diversity strategy and programs.

Ethics

Asks: What should I do? A set of behavioral guidelines by which all directors, managers, and EEs of an organization are expected to behave to ensure appropriate moral and ethical business standards typically beyond the letter of the law. It requires organizations to consider the social and environmental impacts of their operations, and as far as possible, to do no harm while pursuing business interests. "Striving to follow the spirit of the law"

Global Assignment Guidelines

- View assignments as a process, not an activity - Recognize and consider all dimensions of the assignment experience - Conduct thorough and professional assessments of the candidates - Establish and maintain realistic expectations - Provide training - Provide appropriate health and safety support - Provide well-planned, on-going training and support - Plan, prepare for, and support repatriation with the same care as expatriation. - Address problems quickly, thoroughly and responsively. Managers should know as much as possible about the country the assignees are going to, essential experiences, the specific job function and objectives, the process of cultural adjustment, potential problem areas associated with the assignment.

Accenture

A global management consulting, technology services, and outsourcing company and recognized world leader in diversity.

Age Discrimination in Employment Act of 1967 and Amendments (ADEA)

AKA ADEA Passed to prohibit discrimination in the workplace on the basis of age. Prohibits discrimination i every aspect of employment against EEs and applicants age 40 and over. Eliminated mandatory retirement age. Covers all private and public ERs with 20 or more EEs, unions with 25 or mo members, employment agencies, and apprenticeship and training programs. Enforced by EEOC. Allows for jury trials.

Duty of care

An organization should take all steps that are reasonably possible to ensure the health, safety, and well-bing of EEs and protect them from foreseeable injury. It spans the entire employment relationship - from recruitment through employment to termination and in some cases, beyond i.e. retirement). It affects the ER brand, costs, and relationships with local governments and communities.

Inclusion

Asks: "How do we make them feel welcome when they get here?" The extent to which each person in an organization feels welcomed, respected, supported, and valued as a team member. Value each others differences and recognize that their own perspective is just one of many.

Compliance

Asks: What can I do? Being in accordance with all national, federal, regional, or local laws, regulations, and government authority requirements for all the nations n which an organization operates. "Adhering to the letter of the law"

Conflicts of interest

Can arise both on a person-to-organization level in which an EE's personal interests conflict with an ER-organization's interests AND/OR on an organization-to-organization (or organization-to-government) level in which an organization serves a client in conflicting capacities or simultaneously serves two clients whose interests conflict. EXAMPLES: - EE is directly involved with, or has a financial interest in, the business of a competitor, contractor, or supplier. - EE hires, supervises, or awards business to a close family member.

"Downstream" decisions

Decisions are made at the local level. These decisions aim at adapting strategic goals and loans to local realities. May involve agreements with local workforce groups, adjusting standard policies o working conditions to local culture practices, and adjustments based on local legal requirements.

Risk Management

The identification, assessment, and prioritization of risks (the effect of uncertainty on objectives), followed by the coordinated and economical application of resources to minimize, monitor and control the probability and or impact of unfortunate events or to maximize the realization of opportunities. ISO defines as: "coordinated activities to direct and control ad organization with regard to risk". Strategies are designed to change the probability of a risk recent occurring and/or the degree of its impact on the organization's objectives. Effective organizations have developed enterprise-wide risk management frameworks and risk-intellegent EEs. It must have a broader focus, including risks that affect strategic goals and those that affect daily operations, It must also be part of the permanent mindset of every member of the organization - not just the leaders and managers, and not just during crisis. Risks have immediate, mid-range, and long-term effects. The goal is to anticipate, prioritize, and manage as many risks as is reasonably possible.

Emergency preparedness and business continuity

"Emergency Preparedness and Business Continuity Sustainable organizations prepare and practice responses to emergencies of different types and plans for how they can return to acceptable operation levels in critical functions as quickly as possible. By doing this, they fulfill their duty of care to employees, supporting employees' productivity and the well-being of employees and their families. They also fulfill responsibilities to economic stakeholders by taking steps to recover quickly and to keep the organization afloat while it recovers. Emergency preparedness and business continuity require: Preparedness for foreseen and unforeseen events. This includes risk identification and development of contingency plans for emergencies of long or short duration. A contingency plan is a protocol that an organization implements when an identified risk event occurs. Response capability to secure employee health and safety and continue productivity. This may involve developing plans, implementing policies, securing necessary equipment, and practicing response plans. For example, to continue operations in the event of labor disruptions, HR may implement management cross-training in critical functions and contract with providers of temporary workers (if the use of temporary workers is a legal response to the situation). HR functions can also structure their systems and processes to reallocate work to other parts of their network. An organization's preparedness may be challenged in very different ways. Consider the following events: In 2013, the manager of a medical supply plant outside Beijing was held hostage by 100 employees demanding compensation that would equal generous severance packages for recently laid-off workers at the plant. During the 2011 earthquake in Japan, Yuki Bank was faced with the task of locating employees at 100 branches to make sure that they and their families were safe. In June 2009, the swine flu epidemic struck a U.K. subsidiary of a business communications enterprise. By the end of July, 10% of employees were infected and had to be sent home. In 2008, demonstrators occupied two commercial airports in Thailand, stranding tourists and business travelers for over ten days. Organizations can face a discouraging variety of threats and possible crises. Many may be completely novel or extremely rare events that are difficult to prepare for. Experts in crisis management, which includes both emergency preparedness and business continuity, point out that by developing a crisis management mentality, organizations can become more adept at handling all types of crises, foreseen and unforeseen. "Crisis Management Planning and Readiness" "Process The model shown in Figure 9 on the next page applies the traditional plan, do, check, adjust cycle to managing crises. It emphasizes the need to test plans and to learn from tests and actual crises. Let's focus on the role HR can play in each phase. Manage Risk. The process of identifying risks was discussed in Section 2. Crisis management seeks to identify risks that can result in sudden and extensive harm to facilities and/or the workforce and therefore in significant interruption and risk to the business. HR plays a valuable role at this stage by making sure that plans address the vulnerabilities of employees at different locations and the unique vulnerabilities of short- and long-term assignees. HR can also bring awareness of cultural issues to the development of crisis management plans—religious and social structures that can provide support, extended family structures that may complicate communication and evacuation, and infrastructure limitations. HR can identify frequent areas of assignment and business travel." "Develop Contingency Plans. A contingency plan must be developed with specific goals in mind, including immediate security for employees, company assets, and all stakeholders; compliance with local laws and regulations; documentation and reporting as required; and follow-up. The plans should be "specific in designating roles and time frames, and they must be supported with training and opportunities for practice. Remember, in some cases, local authorities require response plans to be in place; they then review and approve the plans' adequacy. For certain risks, however—for example, kidnapping—employers should keep plans confidential. Contingency plans generally address multiple areas in which HR may be involved: Policies. HR can help define and communicate employee policies aimed at avoiding or mitigating risks—for example, requirements that traveling employees check in on arrival or departure or on a daily schedule. HR can incorporate crisis management roles into position descriptions, performance management systems, and travel systems. Evacuation and relocation. HR can maintain current and detailed employee rosters so employees' locations can be confirmed after an evacuation. Communication. HR can use employee contact information (as allowed by privacy laws) to program automated outgoing and incoming communication systems. These systems can send status messages and instructions to employees during crises and log employee responses. For example, Yuki Bank used a text messaging system to track its employees after the Japan tsunami and earthquake. HR can also work with assignees and travelers to provide them with phones that "Training. Employees must receive training in policies, their roles in the event of a crisis, and the use of special equipment. For example, in the case of workplace violence, employees must be trained about security issues (such as not letting an unauthorized visitor pass through a secure door), ways to prevent violence (such as identifying signs of abuse or potential for violence), and what to do in the event of violence (such as triggering an alarm and going to a designated safe room until an all-clear announcement is made). Continuity. Along with other functions, HR can identify essential HR processes that will be necessary to continue or return quickly to an operational level, such as paying employees and vendors or reimbursing expenses. Data such as employee records and contracts must be preserved. HR may also help identify temporary replacements from within the organization or secure replacement/temporary staff and arrange for their training and payroll. Bank of America implemented a 24/7 global security control hub that could deliver emergency support and serve as a communication nexus. It established a policy on travel restrictions and mandatory safety briefings before assignment, developed a communication vehicle for regular travel alerts. "Plans require a significant investment in resources—not for the purpose of gain but simply for preventing loss. Therefore, it is best to secure support at the highest level within the organization. The person assigned the planning task should command respect and support and be able to assemble and run an effective team. Plans can be reviewed in stages "A preliminary review by senior staff will help ensure that all contributing areas complete their planning assignments in a quality fashion within the specified time frame. Interdepartmental reviews can identify potential bottlenecks and areas in which coordination is critical. Simulations can be run in test areas. If feasible, areas with a high potential for failure or whose failure poses a high level of risk to the enterprise can be shut down to test the plan. Crisis management planning software is available to help step organizations through the process, and the entire process may be outsourced to vendors specializing in this area. There is also a wealth of resources to assist a firm in its efforts. The embassies, consular offices, and commerce departments of many countries publish information of this nature. Local and international organizations (examples include the Disaster Preparedness European Humanitarian Aid Office, or DIPECHO, in the EU, the U.S. Federal Emergency Management Agency, or FEMA, the International Red Crescent and Red Cross, and the World Health Organization) provide valuable information about preparing for and recovering from a wide range of natural and human disasters. Test and Implement Plans. Plans should be tested in their entirety or by components "Debrief and Learn. Knowledge from testing and actual crises can be used to strengthen future responses"

The D&I Strategic Process"

"The basis for the process described here is Gardenswartz and Rowe's seven steps for developing and implementing an organization-wide D&I strategy. As they note, the steps may not always be consecutive; some may occur at the same time as others. HR will have, at the least, a major supportive role in almost all steps. For key steps, HR professionals will need to be the drivers—or, at a minimum, will be on the front lines—of the process." "Executive Commitment Without executive-level (CEO, CFO, COO) leadership serving as role models and advocates, D&I cannot become a priority or demand resources. As Google's experience suggests, this must be a real, active, and long-term commitment for the effort to succeed—not a public relations statement or a symbolic gesture but a highly visible and ongoing advocacy for a detailed program and a commitment to specific resources and actions." "Making the Business Case for D&I As discussed in Section 1, D&I can gain commitment at an organization's highest level "an expanding organization must understand the needs and priorities of the cultures that are its expansion targets. D&I efforts to bring members of these cultures into the workforce, and especially into decision-making positions, is a matter of business strategy, not just diversity strategy." core business strategies face reevaluation every 5 yrs "Preliminary Assessment As noted earlier, a successful strategy must be data-driven, starting with a detailed assessment of the organization's current state. Since HR will be implementing much of the change process, it is critical that HR be directly involved in formulating and administering assessment tools and goals. The purpose of an initial assessment is twofold: To identify current needs in order to set corresponding priorities, goals, and objectives To provide benchmarks against which the success or failure of subsequent D&I strategies can be measured" "also important to measure inclusion as well as diversity—not just the numbers that indicate how well-represented the various demographic groups are but also data reflecting how they are treated and how they feel they are treated by the organization, whether they feel they work in a diverse and inclusive environment, and what prevailing attitudes are about diversity and the organization's D&I efforts. This requires both objective and subjective data. Gardenswartz and Rowe list several kinds of data that combine to provide a more complete picture. These include: Demographic data on the organization workforce and the larger labor force and marketplace. Turnover statistics and other indicators of the rates at which employees move up in, or out of, the organization. Existing employee opinion and customer satisfaction surveys. Surveys and focus groups to determine employee attitudes about how inclusively they are treated. Leadership interviews to determine their goals, expectations, and concerns regarding D&I initiatives." "Infrastructure Creation There must be a designated group whose sole responsibility is to guide, oversee, and champion the organization's D&I initiative. There should also be a mechanism enabling everyone in the organization to have input into the process. There are different ways of achieving these ends, but generally these two roles fall to, respectively, the diversity council and employee resource groups. Additionally, the D&I initiative should consider what resources, insights, and depth of knowledge are best obtained from outside the organization through strategic alliances. Diversity Councils The diversity council is a task force created to define the D&I initiative and guide the process. Key responsibilities include: Setting goals and priorities (one source even suggests creating formal D&I vision and mission statements). Ensuring alignment with core business strategies. Identifying obstacles and opportunities. Recommending actions. Monitoring the process. Collecting data and evaluating results." "A large or dispersed organization may need a network of local or regional councils that report to and coordinate with a central executive board while focusing on local needs and issues. The relationship with employee resource groups (affinity groups for workers who share a given diversity dimension; see below) or other advisory groups may vary as well. The key is that the council—whatever its structure—is the nexus of the initiative. It establishes the vision, goals, and programs and collects and analyzes outcomes. Equally critical: It includes direct involvement of upper management. Two organizations that promote D&I have each defined a set of criteria for a successful diversity council, presented in Figure 3. DiversityInc. has, for 15 years, held an annual Top 50 Companies for Diversity competition. (Over 1,000 corporations participated in 2014.) Catalyst is a nonprofit organization focusing on expanding opportunities for women in business. Their Catalyst Award, presented annually since 1987, recognizes diversity initiatives."

Defining global organization

"The new global enterprise may be a corporation, a governmental agency, a nongovernmental organization, a nonprofit, an association, or an educational institution. It may be large or small, multinational in structure or simply engaged in international trade—a large Swiss pharmaceutical company with subsidiaries around the world or a Chinese firm with a few hundred employees that creates online gaming applications used by companies located around the world." "In Going Global, editor Kyle Lundby defines the successful global organization as one that can "effectively leverage and capitalize upon [its] global footprint" by incorporating four structural/strategic components: Physical dispersion—the organization operates in multiple countries Diversity of thought, people, and culture that is actively leveraged by a strategic objective Physically dispersed and diverse but unified through a clear single organizational identity Global for a reason; self-aware of their global reach and leveraging geographic and cultural diversity to achieve success as they have defined it" "A global organization is, ultimately, one whose every process, action, and decision is firmly rooted in a carefully conceived global strategy. Section 2 in this Functional Area examines the range of global strategies available and the different forms such a global organization can take, but it's worth establishing here the basic set of choices to be made. Any global strategy must find its own ideal balance between a pair of contrasting concerns: Global integration (GI) emphasizes consistency of approach, standardization of processes, and a common corporate culture across global operations. Local responsiveness (LR) emphasizes adapting to the needs of local markets and allows subsidiaries to develop uniqUe "products, structures, and systems. This same basic choice between global and local considerations will apply regardless of the size and scope of the organization or its particular organizational structure or goals. However, a broad range of global strategies are possible within the continuum this pair presents. Defining the Role of Global HR Whatever an enterprise's structure or scope might be, globalization offers both challenges and benefits. Leaders must develop strategies that align the organization's objectives and resources with different countries' operational, legal, and cultural requirements. The global HR professional will play a major role in supporting strategic management by: Participating in creating the organization's particular global strategy. "Aligning HR processes and activities with the organization's global strategy. These activities include: Attracting and retaining leaders and employees with the knowledge and skills needed to implement the organization's strategy. Developing an organizational awareness of globalization and an appreciation of the organization's constituent cultures. Implementing processes to increase integration and exchange of knowledge. Enhancing communication between the organization and its stakeholders. Ensuring that the HR function possesses the skills, knowledge, and resources to fulfill its global role and demonstrate its value in global strategic management. Adapting processes "needed to the cultural and legal contexts of each area of the global organization. (The topics of culture and world legal systems are discussed in the section on the Global and Cultural Effectiveness competency in the HR Competencies module.) Given the complexity of cultural and legal frameworks, an HR professional may consult with local experts and their organization's legal counsel. To better understand such legal advice, it may also help to perform preliminary research on the laws of the particular countries with which your organization does business

Increase or Decrease Effect

"The risk management tactics of enhancing and mitigating seek to change the amount of risk through certain "levers." Enhancing involves increasing the probability that an opportunity will materialize." "One should note here that enhancement and mitigation efforts can be expensive. They should be thoroughly tested under realistic conditions and modified if necessary before they are implemented. Organizations must also carefully examine: Whether the cost exceeds the tangible and intangible benefits of the opportunity or avoided or diminished threat. The degree of success for the enhancement/mitigation plan. If the plan creates another layer of opportunity or risk, termed "secondary risk," that must be managed as well. For example, HR implements mandatory background checking to reduce hiring risks. The screening takes a considerable amount of time and creates a secondary risk that the delay will decrease the chances that the firm will be able to hire its top choices. HR will have to identify vendors who can guarantee fast screening times. There are numerous HR examples of enhancing and mitigating. Enhance HR positions career paths to include certain training/education requirements for each job description. HR believes that by requiring that all new supervisors complete training in communication and supervisory skills, the organization is more likely to increase employee engagement. Mitigate "HR believes that a proactive response to certain threats is necessary to protect productivity, employee engagement, and stakeholder (government and communities) interests. It develops policies and programs in a number of areas: Workplace safety committees are implemented to provide more accurate assessment of hazards and practical prevention and mitigation techniques. Committees direct training and conduct incident investigations. All employees are educated in detecting signs of possible violent behavior and in how to respond when violence occurs. Counseling programs are available to support employees who are victims of workplace or domestic violence or intimidation and to initiate interventions if possible. A city's HR department makes sure that emergency response teams are trained in protocols designed to reduce the chances that they will be infected by victims they are treating or that they transmit infections. Compliance with these protocols is monitored and is part of job requirements and performance expectations. Global assignees are required to check in daily to confirm their location and condition and to keep a phone equipped with GPS on them at all times. Take No Action By taking no action, an organization decides to ignore or pass up possible opportunities or to accept the occurrence of "the outcome. Accepting a threat means that the organization will not invest time or money in mitigating or transferring risk, nor will it avoid the risk. This does not mean that the organization proceeds merrily and blissfully about its business. The organization may continue to monitor for the risk or may create contingency funds to cover the costs of responding to the risk if it occurs. Accept HR develops a program that it believes will help the organization achieve its diversity goals through innovative recruiting and mentoring for new employees. If it exceeds these goals, that will be great news, but HR will be satisfied with having met its goals. Ignore HR and management decide that the threat of terrorism at its headquarters is unlikely, given the nature and location of the business. In addition, the effects of a terrorist attack would be handled satisfactorily by other emergency response plans. So HR does not issue a specific protocol or require training related to terrorism in this context."

The impact of the law

"These "essentials" include but are not limited to items such as: Workplace policies, procedures, and training programs. Workplace posters. New-employee orientation to explain and clarify policies. Workers' compensation insurance as required by state law. Proper withholding of taxes from employee pay. Paychecks delivered in accordance with the law. Compliance training that educates employees and managers how to understand and comply with the law. An organizational code of conduct that reflects the organization's values and complies with applicable laws. Communication of the code of conduct throughout the organization. An organizational compliance hotline for employees and other individuals (whistleblowers) to report discriminatory employment practices. Provisions to protect employees who report discriminatory employment practices or participate in an investigation of a discriminatory employment practice." "HR Audits and Compliance Checklists" "the compliance audit, is often used to help ensure compliance with laws and regulations. If an organization has legitimate concerns that an HR audit may reveal organizational noncompliance with employment laws and regulations, the organization should follow fairly strict audit procedures and protocols and consider hiring outside legal counsel to conduct the audit. In doing so, the organization may be able safeguard the audit results through the application of legal privileges against disclosure." "HR Compliance Checklists HR professionals typically use compliance checklists to prepare for an HR compliance audit. While some organizations and administrative agencies must undergo formal and regularly scheduled audits by an external auditor (e.g., for regulatory compliance), any business—small or large—can benefit from conducting their own internal compliance audits of functions integral to their operations. Using a compliance checklist to prepare for an HR compliance audit (internal or external) can effectively help to: Keep organizations compliant with employment laws and regulations. Prevent potential liabilities and employee lawsuits. Ensure that business operations are generating results and supporting the organization's brand." "When using audit checklists or other such tools, you should keep in mind that, during a compliance audit, an administrative agency may be more or less rigorous in its efforts (e.g., request fewer documents or make more extensive document requests than those on the checklist), depending on the scope of the audit. Checklists and other resources are a good starting point to help an organization assess basic compliance. But such resources are guides only and not a definitive source to determine if appropriate human resource practices are in place and 100% compliant with laws and regulations." "Legal Services and Risk Mitigation The costs of employment-related litigation are far-reaching. Consider but a few examples of the potential consequences: Negative impact on the organization's bottom line Poor employee morale Decreased employee productivity Damage to the employment brand and reputation Given the risks and their implications, securing the advice and services of appropriate legal counsel (whether internal or external) is a prudent HR practice. Another way organizations can mitigate risk is "through employment practices liability insurance

Uniform Guidelines on EE Selection Procedures

Adopted by the DOL and EEOC to: document a uniform federal position about prohibiting discrimination in employment practices n the basis or race, color, religion sex, or national origin. Cove all aspects of the selection process, including recruiting, testing, interviewing, and performance appraisals.

The fair and accurate credit act

"Amendment to FCRA—FACT Since April 1999, the Federal Trade Commission, which oversees implementation of the FCRA, had taken the position that the FCRA consent and disclosure requirements were triggered when a third party such as a law firm or outside human resources consultant conducted a workplace misconduct investigation on behalf of an employer. Under this interpretation, an employer was required to obtain the consent of an employee under investigation for alleged misconduct prior to the investigation. The Fair and Accurate Credit Transactions Act (FACT Act) of 2003 amends the Fair Credit Reporting Act and provides some relief to employers using third parties to conduct workplace investigations. Under the FACT Act, an employer who uses a third party to conduct a workplace investigation no longer needs to follow the consent and disclosure requirements of the FCRA before commencing the investigation if the investigation involves suspected misconduct, a violation of law or regulations, or a violation of any preexisting written policies of the employer. The amendment frees employers to hire outside consultants, investigators, or law firms to investigate and report on a variety of workplace issues without first notifying targets of the investigation or obtaining their consent. However, the employer "consent describing in "clear and conspicuous language" the use of the information. Finally, the FACT Act has issued directives aimed at uncovering and preventing incidents of identity theft or unauthorized use of the information, including specific disposal rules for destroying the information. Amendment to FCRA by Dodd-Frank Wall Street Reform and Consumer Protection Act The Dodd-Frank Wall Street Reform and Consumer Protection Act amended the FCRA in 2011. Employers who take adverse action against a prospective or current employee or an independent contractor based on information contained in the individual's consumer report have additional disclosures to make to the affected individual. Based on the Dodd-Frank amendment, whenever any adverse action is taken against an individual, either partly or wholly because of information contained in a consumer report, the employer must provide the individual with oral, written, or electronic notice of the adverse action as well as specific credit score information used and the name of the consumer reporting agency or person that furnished the credit score. All of these new requirements are in addition to the existing notification FCRA requires employers to provide applicants, employees, or independent contractors."

Her Role in the D&I Strategic Process

"Aspects of Organizational Change Just as a definition of diversity needs to be all-inclusive, so a diversity strategy must cut across all aspects of organizational behavior, changing: Individual attitudes and behaviors. Managerial skills and practices. Policies and procedures to promote diversity. HR's role is central throughout. The learning and development needed to influence attitudes and behaviors and the policy design and implementation that make a diversity strategy real (staffing, recruiting, retention, compensation, conflict resolution, etc.) all fall under the broader categorization and responsibilities that comprise human resources. Each of these three areas is examined in this section. Individual Attitudes and Behaviors Traditionally, when HR learning and development teams tackled the issue of diversity, responses were limited to "diversity sensitivity training"—sharing attitudes about other cultures, genders, belief systems, and so on." "we discussed relational skills such as emotional intelligence, intercultural wisdom, building trust, managing conflict, and negotiating. These KSA lay critical groundwork for organization-wide acceptance of diversity as a business strategy and are a necessary precursor for the productive interactions that enable an organization to leverage the diversity it has achieved. Instilling those qualities throughout the organization is a critical outcomes-based HR responsibility. The complexity and importance of accomplishing this also demonstrates why the concept of linear, one-off "training" has evolved into a more dynamic and integrative notion of "learning and development."

"Developing a D&I Strategy"

"D&I requires the full-fledged, organization-wide efforts of a comprehensive strategic initiative. Before examining the components of a D&I initiative, or the steps involved in its successful implementation," "Reason 1: Priority Because otherwise D&I efforts will always have a lower priority than more immediate concerns." "when D&I becomes a strategic priority, aligned with core business goals, "Reason 2: Complexity Because the complexity of the D&I problem requires a strategic, organization-wide solution. Simply put, any initiative aimed at creating a diverse, inclusive organization has a lot of moving parts to consider: The many dimensions of diversity (race, gender, ethnicity, physical abilities, generational differences, and so on) each involve their own distinct issues and challenges—all of which must be addressed. Moreover, in a global organization, each nation and region imposes its own filter through which diversity issues are viewed and prioritized. For example, an American concern for racial and gender issues must be balanced with an Asian focus on class and economic differences among workers. If diversity and inclusion are to be instituted across an entire organization, that means that every department, every function, every subsidiary, and every location must be involved—and each department, function, subsidiary, and location will have its own unique D&I issues to resolve." "Each of the many functions that HR professionals address—recruitment and retention efforts, compensation and benefits, learning and development, and so on—must be involved for a D&I initiative to succeed. A broad range of stakeholders are affected by a comprehensive D&I initiative: Internal stakeholders: from CEO and senior leadership through middle managers to all employees and prospects External stakeholders: from community organizations and leaders to customers (current and prospective), regulatory agencies, investors (current and prospective), labor organizations, media, vendors, and suppliers Finally, D&I solutions require considerable resource commitments—of time, money, energy, and effort. These, in turn, require data-driven evaluations of the current base-line situation, concrete goals, and development of detailed, how-to-get-there steps. Reason 3: Resistance Because D&I involves major organizational change—and change is hard. One of the most basic tenets of HR is that any organizational change requires a strategic plan—not just a generalized goal. And achieving diversity in an organization absolutely requires major organization-wide change, affecting ingrained attitudes and habits as well as established policies and procedures. A plan is necessary to define the goals desired and how to achieve them. It also integrates "development, marketing, sales, operations, information technology, and human resources—in order to achieve organizational success."

Brokering for legal services

"At a base level, HR needs to have a current working knowledge of relevant employment law and the potential implications of noncompliance. HR must also recognize when involvement of legal counsel may be necessary. Think of the idiomatic expression in the English language "An ounce of prevention is worth a pound of cure," which means that it is better to try to avoid problems in the first place rather than trying to fix them once they arise. On behalf of the organization, HR should secure appropriate legal advice and expertise and adopt preventive legal strategies. Two key ways HR can do this are noted below. Consult with the organization's attorney to prepare for complaints. "With the attorney, HR can review likely scenarios and develop appropriate processes that ensure a prompt, consistent, and legally safe response. HR must act quickly once the possibility of litigation arises. Having legally reviewed checklists and communication templates in place will speed the organization's response. Deliver training related to litigation responsibilities. Improper communication and document handling can have severe repercussions for the organization. Although HR is often responsible for issuing reminders in the event of a complaint, managers and supervisors should be informed ahead of time about their responsibilities. Training can also suggest ways to preempt litigation by recognizing and responding to employee complaints fairly, promptly, and thoroughly. In general, HR professionals should develop a habit of seeking legal advice on any issue that could involve a potential violation of any statute. This advice can be proactive (e.g., seeking review of a handbook) or reactive (e.g., responding to an employee complaint filed with a federal agency or in a court). Employment Practices Liability Insurance No employer, whether a for-profit company, a not-for-profit organization, or a governmental entity, is immune from employment litigation. Employment practices liability insurance (EPLI) is a type of liability insurance covering an organization "What EPLI Covers EPLI is typically structured as gap insurance for the company. It covers such things as discrimination, breach of contract, and wrongful discharge suits, which usually are not covered by general business liability insurance. Directors' and officers' liability insurance just protects the individual and not the company itself. EPLI is most commonly designed to fill this gap in coverage. EPLI is a contract that must be carefully considered and reviewed by the employer to ensure that it provides the level of protection needed. Furthermore, EPLI coverage must be tailored to every state where an organization has business operations. EPLI Costs and Reimbursements The cost of EPLI coverage depends on the type of business, the number of employees, and other risk factors (such as whether the organization has past employment practices claims and lawsuits). EPLI policies typically reimburse the costs of defending a lawsuit in court and for judgments and settlements. The policy covers legal costs regardless of the outcome. Policies typically do not pay for punitive damages or civil or criminal fines.

Managerial skill and pratices

"Managerial Skills and Practices HR has the dual role of developing the organization's future upper management personnel (giving them the skills and experiences needed to move upward in the organization) while also ensuring that, in their present positions, they are effectively carrying out the organization's diversity policies. The 4 Ts: Travel, Teams, Training, Transfers HR has four powerful tools at its disposal in influencing managerial practices and developing new managerial skills: the 4 Ts (travel, teams, training, and transfers), which can be valuable strategies for creating a global mindset and enhancing the multicultural awareness of leaders and senior managers." "Travel Effective organizations recognize the value of travel in developing cultural awareness and appreciation. Of the respondents in the Black, Morrison, and Gregersen study, 80% stated that working and living abroad was the most influential development activity they had ever experienced. Short-term travel assignments (to be part of meetings, teams, launches, negotiations, and other events) may help managers and employees gain experience, expand awareness and appreciation of different places and cultures, and become more visible and valuable within the organization. Briscoe, Schuler, and Tarique, however, question the effectiveness of short-term assignments in developing a global mindset. They believe that the experience of culture shock and the opportunity to learn to cope with cultural difference takes time—and multiple experiences in different cultures. One must learn how to live in another culture and enjoy it. Teams Working on teams and international projects is another highly effective way of helping individuals within an organization develop cross-cultural management skills. Team assignments can be functional or cross-functional, depending on the situation. In terms of integration of the D&I process (step 7), managers can be trained to form all their teams with an eye toward "sity and inclusion (sex, gender identity, generation, culture, etc.)—not just for its own sake but for the problem-solving and innovation advantages of more diverse teams." "Training Comprehensive D&I management training is an essential aspect of the 4 Ts. Some diversity leadership abilities, such as mentoring or coaching, can be developed, so training in these skills should be part of the organization's D&I training initiatives. Training courses contribute to both skill building and development or expansion of personal relationships. When courses focus on more than functional skill building, they can also foster and reinforce a global mindset and enhanced cultural awareness. Diversity training offers some unique challenges: Peter Bregman warns that traditional diversity training has proven ineffective when it focuses on "categories" and differences, thereby reinforcing stereotypes rather than encouraging workers to see their colleagues as individuals." "Ironically, it is also critical that trainers be aware that employee responses to training will differ based on their individual diversity profiles (cultural preferences and values, cognitive and learning styles, etc.). For example, cultural differences can affect attitudes toward authority, influencing the willingness to learn from a trainer. Cognitive and learning style differences can affect how readily employees learn from lectures versus team activities. Transfers The transfer experience represents a particularly important component of the cultural development of global assignees. These intense immersion experiences have a strong and lasting impact on individuals' relationship development and cross-cultural management skills as well as their acquisition of a global mindset. Again, the skills and experiences gained from immersion in another culture are then transferrable to encounters with differences due to other dimensions of diversity such as gender or age."

"Immigration Reform and Control Act

"The Immigration Reform and Control Act (IRCA) of 1986 is designed to accomplish two somewhat divergent purposes. IRCA prohibits discrimination against job applicants on the basis of national origin or citizenship and, at the same time, establishes penalties for hiring illegal aliens, with certain exceptions. Employers who knowingly hire someone who is not entitled to work in this country face both civil and criminal penalties. IRCA is enforced by the U.S. Citizenship and Immigration Services (USCIS), a special branch of the Department of Justice. The burden of verifying that a new employee is eligible to work in the U.S. falls on the employer. Generally, on the first day of employment, the new hire must fill out Section One of Form I-9, Eligibility Verification Form, which is kept in the employer's files. The employer must complete Section Two no later than the third day the employee is at work. Form I-9 verifies two facts about the employee: identity and right to work in the U.S. It must be kept separate from other employee records. The employee selects which document(s) he or she wishes to present as part of the I-9 verification process; the employer may not specify "Employee Polygraph Protection Act The Employee Polygraph Protection Act (EPPA) of 1988 generally prevents most private employers from requiring applicants or employees to take a polygraph test for preemployment screening or during the course of employment. There are very limited exceptions. Definitions Lie detectors include polygraphs, deceptographs, voice stress analyzers, psychological stress evaluators, or similar devices (whether mechanical or electrical) used to render a diagnostic opinion as to the "honesty or dishonesty of an individual. A polygraph is an instrument that records continuously, visually, permanently, and simultaneously changes in cardiovascular, respiratory, and electrodermal patterns. EPPA Exemptions Federal, state, and local governments are excluded. In addition, lie detector tests administered by the federal government to employees of federal contractors engaged in national security intelligence or counterintelligence functions are exempt. The act also includes limited exemptions where polygraph tests (but no other lie detector tests) may be administered in the private sector, subject to certain restrictions: To employees who are reasonably suspected of involvement in a workplace incident that results in economic loss or injury to the employer's business and the employee had access to property To prospective employees of armored car, security alarm, and security guard firms who protect facilities, materials, or operations affecting health or safety, national security, or currency and other like instruments To prospective employees of pharmaceutical and other firms authorized to manufacture, distribute, or dispense controlled substances who would have direct access to such controlled substances as well as current employees who are involved in an ongoing investigation of related criminal or other misconduct" "An employer who violates the statute may be fined and can be sued by an employee or prospective employee to recover lost wages and benefits, attorneys' fees, and court costs as well as possible equitable relief such as reinstatement and promotion. Some states impose restrictions that are greater than those set forth under federal law. Accordingly, even if a polygraph test is lawful under federal law, it may be prohibited under state law."

The Diaspora (scatter population)

"global remittances—monies sent back home by migrants working in foreign countries." "as a diaspora—a mass migration of a group from its homeland to multiple destinations—although here one consisting of communities of voluntary emigrants bonded by their common heritage.

Code of Conduct - HRs role

- Promote ethical environments within the organization and within the HR function by creating awareness of core lies and implementing processes to support commitment to those values. - Develop relationships with external stakeholders in the communities in which their organization operate so as to implement its CSR strategy - As information gatherer from all stakeholders - As information disseminator

Corporate Social Responsibility (CSR) - Three Pillars

1. Governance 2. Compliance 3. Ethics

Dilemma Reconciliation

"Dilemma Reconciliation Trompenaars notes that, while the roots of the word "dilemma" suggest "either/or" propositions—as in "we will be standardized" or "we will be localized"—solutions are not always mutually exclusive. Sometimes you can have both: a degree of standardization (perhaps in core principles, global strategy, unit objectives, and knowledge related to work processes) and a degree of localization (how the tactics and work activities will be implemented locally). This process of charting a course through cultural differences is referred to as dilemma reconciliation. Trompenaars describes the dilemma reconciliation process as having four steps: Recognize (create awareness of cultural diversity) Respect (appreciate the value of diversity) Reconcile (resolve differences and find a common path) Realize and root (implement and reward actions to reconcile differences) "The journey to reconciliation can be circuitous in a global organization. Sometimes the resolution that "us" and "them" agree on is closer to one position than the other; other times a true compromise will be reached. With each reconciliation, the organization moves forward along the path of integration into a shared identity. While its members are resolving their personal dilemmas, the organization as a whole is learning how to communicate. Creating Cultural Synergy Adler describes the choices available to global organizations in dealing with multiculturalism: Dominate (parochialism). Avoid (by ignoring the conflict). Accommodate (by ceding to local cultures). Compromise (by making both cultures give up something). Create a new alternative (through cultural synergy). In a synergistic solution, managers consider to what degree

Employer rights

"Employer Rights Generally, employers may: Monitor OSHA's announcements of its intent to propose new regulations and participate in the rule-making process by attending public hearings on the proposed rules and submitting comments on the rules to the extent that they affect their workplace. Be active in their industry association's involvement in job safety and health and take an active role in developing safety and health standards through participation in OSHA Standards Advisory Committees, through nationally recognized standards-setting organizations, and through evidence and views presented in writing or at hearings. Apply to OSHA for a temporary variance from a standard if unable to comply because of the unavailability of materials, equipment, or personnel needed to make necessary changes within the required time. Apply to OSHA for a permanent variance from a standard if the employer can furnish proof that the facilities or method of operation provide employee protection at least as effective as that "required by the standard. Employers also have a number of rights during and after OSHA inspections. These rights are discussed later in this section. Key OSHA Standards Employers are regulated by OSHA standards. OSHA currently publishes six volumes of standards in the Code of Federal Regulations (CFR). These standards cover four major categories: general industry, maritime, construction, and agriculture."

Challenges of culture

"Ethnocentrism and parochialism. Nancy Adler characterizes ethnocentrism as "our way is the best way and we are really not interested in other ways of reaching a goal." Parochialism goes even further, asserting that "there is only one way to solve a problem or reach a goal." While both are limited world views, it is possible to alter ethnocentric views with time, experience, and training. Parochialism is such a rigid mindset that it may not easily be malleable. Cultural stereotypes. While certain words are used to describe cultural value dimensions and characteristics, these words should not be judgmental or contain negative connotations. A particular culture's approach to time can be described without degenerating into judgmental phrases such as "lazy" or "undependable." It is also valuable to remember that cultural descriptive terms characterize group behaviors but not all individuals within a group necessarily conform to these norms. Cultural determinism. "The culture made me do it." This perspective basically absolves individuals of any responsibility for their actions. Global HR professionals will often hear from managers in other countries that something cannot be done because of the local culture. This may call for further discussion about the supposed obstacles. In some cases they may not exist, and in others the obstacles may not really be cultural resistance to the practice but to how the practice is being implemented. Cultural relativism. This "view holds that because cultures vary so widely and greatly, everything is relative. There are no absolutes; everything varies based on the situation and the cultural perspective. In fact, while cultural differences are often considerable, global HR can refer to a reasonable set of absolutes based on honesty, decency, and personal integrity that should pertain across cultures. Cultural disconnects within an organization must be addressed to avoid creating "malicious compliance." That can occur when headquarters develops standardized programs that fail to recognize local differences and imposes them on their foreign subsidiaries. Local managers know the programs will not succeed in their standardized form but agree to implement them and then watch them achieve the inevitable results—failure and increased resistance to future programs."

Global crises

"Global Crises Global crises have also increased awareness of interconnections—that the world itself is a system in which changes in one part can affect other parts. Great Recession. Although the Great Recession of 2009 began in the U.S. financial industry (in 2008), by 2009 it had become a sharp global "economic downturn that affected developed and, to an even stronger degree, developing economies. The interlinked financial markets weakened sources of capital, and the sharp reduction of imports by developed economies weakened developing economies, which in turn weakened exports from developed economies. Climate change. Changes due to rising levels of carbon dioxide and other gases do not recognize political borders. The trend has been toward recognition of climate change and acceptance of some of its causes. Economies have been acting individually and as groups to respond. Pandemics. The growing understanding and awareness of pandemics, such as the 2009-2010 outbreak of the H1N1 virus or the Ebola virus, underscore the need for communication and concerted global response—both during outbreaks and to prepare for outbreaks. "HR is called upon to manage the "people" component of programs designed to cut emissions. Pandemics directly affect HR's duty of care, the obligation for an organization to safeguard, within reason, employees' health, safety, and well-being."

"Record-Keeping Legal Compliance"

"HR also needs to ensure that, in the event a claim is asserted or filed or a government investigation is initiated or threatened, documents even arguably related to the claim or investigation are retained for the duration of the claim or investigation until final disposition (including appeals), even if longer than the retention guidelines ordinarily applied

Sources of the law

*Constitution* - Highest law in the country. Defines government branches (executive, legislative, and judicial) *Statutes* - Refer to actions passed by legislative bodies (Congress, state and local laws) *Regulations* - Reflect how laws will be implemented and often have the force of law. Proposed, adopted and enforced by administrative agencies (IRS) *Executive Orders* - Chief executive of a government unit (US President) telling that governmental unit how it will act or interact with members of its community. EXAMPLE: Lyndon Johnson EO 11246 mandated that any individual or entity doing business with the US government must comply with affirmative action requirements. *Agency guidelines* - Interpret how laws and regulations will be enforced. Interpretations to explain regulations and statutes. *Common law* - Based on court decisions. Source of the concept of precedent. Provides predictability and stability of the law. EXAMPLE: Employment-at-will

Theory of high and low context cultures by Hall

"High-context cultures require a great deal of background. They are characterized by complex, usually long-standing networks of relationships, which are as important as work and often blur the line between business and social lives. Since members share a rich history of common experience, the way they interact and interpret events is often not apparent to outsiders. There are rules—sometimes exceedingly complex rules—but they are implicit, and the rules are often applied flexibly. Countries with high-context cultures include China, Japan, and France. Most Latin American countries also have high-context cultures. Low-context cultures package necessary background in the communication itself. In a low-context culture, relationships tend to have less history. Because individuals know each other less well and don't "share a common database of experience, communication must be very explicit. Examples of low-context countries are the United States, the United Kingdom, and Canada. Another way to consider the difference: In a low-context culture, the applicable principle is: "It's not personal. It's just business." In a high-context culture, the applicable principle is: "No business until I get to know you personally. "Following are some situations in which different levels of context create the potential for misunderstanding: Negotiations—A high-context culture, such as Japan, may appear to be agreeing but may not really have fully accepted the terms. 360-degree performance reviews—A manager from a low-context culture (e.g., the U.S.) may misunderstand comments from high-context evaluators. Training meetings—High-context culture members frequently will not ask questions or challenge the authority of the instructor. Hofstede's Dimensions of CultuRe "Not all dimensions may be of the same importance in all cultures. Each offers a pair of contrasting values, but in reality each pair provides a continuum; rarely does a given culture exist entirely at one extreme or another. "Cross-Cultural Challenges for HR The first challenge for global HR is to better understand each of the members and stakeholders of their own multicultural organization and to foster the cross-cultural communication that can help their organization succeed."

NLRB v. Weingarten

"NLRB v. Weingarten (1975) is a landmark labor relations case. The case dealt with the right of a unionized employee to have another person present during certain investigatory interviews—the so-called Weingarten rights." "The U.S. Supreme Court ruled that: Management must inform the union representative of the subject of the interview. The representative must be allowed to speak privately with the employee before the interview. The representative can interrupt to clarify a question or to object to confusing or intimidating tactics. The representative cannot tell an employee what to say but may advise the employee as to how to answer a question. At the end of the interview, the representative can add information to support the employee's case. It is also important to appreciate the limits of the Weingarten ruling: An employee's right to have a union representative present applies only to an investigatory interview—one conducted to gather facts that may lead to a disciplinary action. It does not apply to other types of meetings, such as where the employer is merely informing the employee of a decision it has already made to impose discipline. The person attending the investigatory interview must be affiliated with the union that represents the employee. An employee can be prohibited from having an attorney or a relative present. If the interview proceeds, the employer is not required to bargain with the representative or to permit "Lechmere did not commit an unfair labor practice by barring nonemployee union organizers from its property. The court cited another related ruling and noted that the NLRA confers rights only on employees, not on unions or their nonemployee organizers. Thus, as a rule, an employer cannot be compelled to allow nonemployee organizers onto the business property. Miscellaneous Protection Laws In this final section on key laws, we look at the fundamentals of the following legislation and amendments: Fair Credit Reporting Act of 1970 and Fair and Accurate Credit Transactions Act of 2003 Immigration Reform and Control Act of 1986 Employee Polygraph Protection Act of 1988 Worker Adjustment and Retraining Notification Act of 1988 Genetic Information Nondiscrimination Act of 2008"

"Patient Protection and Affordable Care Act, Amendment, and Case Law"

"Patient Protection and Affordable Care Act and Amendment The Patient Protection and Affordable Care Act (PPACA) of 2010, amended by the Health Care and Education Reconciliation Act, is one of the largest U.S. health-care reforms since Medicare legislation in 1965. PPACA provisions are extensive and include a rolling time line of events. Starting in 2014, virtually all citizens and legal residents of the U.S. are required to have "affordable, minimum health coverage" (an exception is made for lower-income individuals). Failure to do so results in an excise tax penalty. A key PPACA provision pertaining to employers (starting in 2015) requires employers with more than 50 full-time employees to provide health coverage that meets minimum benefit specifications or pay a $2,000 per employee penalty. PPACA is commonly called the Affordable Care Act (ACA) or "Obamacare," since the federal legislation was signed into law by Barack Obama. Virtually all health-care plans are subject to some or all PPACA provisions. Plans in place as of March 23, 2010, are "grandfathered" and can avoid some (but by no means all) of PPACA's mandates so long as they do not substantially increase plan participants' out-of-pocket expenses "National Federation of Independent Business v. Sebelius (2012) In National Federation of Independent Business v. Sebelius (2012), the U.S. Supreme Court considered two key PPACA provisions: Medicaid expansion and the individual mandate. Medicaid offers federal funding to states to assist pregnant women, children, needy families, the blind, the elderly, and the disabled in obtaining medical care "Job Safety and Health Laws One important way in which HR professionals can help their organizations protect human capital is by awareness of and ensuring compliance with laws that relate to managing safety and health in the workplace. This content describes the fundamentals of the following federal legislation: Occupational Safety and Health Act (OSH Act) of 1970 Drug-Free Workplace Act of 1988" "Occupational Safety and Health Act The Occupational Safety and Health Act (OSH Act) of 1970 established the first national policy for workplace safety and health. This federal law requires employers to provide safe and healthful working conditions for employees. Coverage The OSH Act covers virtually all workers in the country, with a few exceptions, such as family farms worked only by family members and self-employed workers. Administration The Occupational Safety and Health Administration (OSHA) was "created within the federal DOL to administer and enforce the act. OSHA's mission is to help employers and employees reduce on-the-job injuries, illnesses, and deaths. Several objectives for OHSA are included in the act. Key ones are to: Encourage employers and employees to reduce safety and health hazards. Encourage employers and employees to perfect safety and health programs. Authorize the secretary of labor to establish mandatory occupational health and safety standards. Create an Occupational Safety and Health Review Commission (OSHRC) to hear appeals under the act. Provide health and safety research through the National Institute for Occupational Safety and Health (NIOSH). Discover the causal connections between diseases and work and establish appropriate standards to eliminate industrial disease. Establish medical criteria to ensure that no employee will suffer diminished health, functional capacity, or life expectancy. Implement training programs to improve the quantity and quality of people engaged in the safety and health field. Provide an effective program of enforcement of safety and health standards. Encourage the states to assume responsibility for the administration and enforcement of safety and health regulations. Provide appropriate reporting procedures with regard to safety and health. Encourage joint labor-management efforts to reduce injuries "Employer Responsibilities Basically, employers must keep employees informed, healthy, and safe. Figure 16 summarizes some of the key responsibilities employers have under OSHA."

Fair Credit Reporting Act and Fair and Accurate Credit Transactions Act Fair Credit Reporting Act

"The Fair Credit Reporting Act (FCRA) of 1970 regulates the collection and use of consumer credit information. The FCRA's purpose is to protect the privacy of background information and to ensure that the information supplied is accurate. FRCA calls for full disclosure of consumer reports (including credit reports, criminal background checks, motor vehicle history, employment verifications, and reference checks) by consumer reporting agencies (CRAs) so that individuals subject to them can dispute the wrongful use or interpretation of the information." Fora requirements "Written notice and authorization. An employer must clearly and conspicuously notify the individual in writing, in a document consisting solely of that notice, that a report may be used. The notice cannot be incorporated into an employment application. The employer must also get the person's written authorization before asking a CRA for a report" "Pre-adverse action. If an employer decides not to hire an applicant or to take some other adverse action based in whole or in part on the consumer report, the applicant or employee must be provided with a copy of the report and given a reasonable period of time, as defined by the FCRA "Adverse action procedures. After the employer has taken adverse action based in whole or in part on the consumer report (as well as any information that the individual submitted in response to the pre-adverse action notice), the employer must give the applicant or employee notice that such action has been taken. FCRA provisions stipulate several inclusion requirements regarding this notification. Certifications to credit bureaus. Credit bureaus will require employers to certify that they are in compliance with the FCRA and that they will not misuse any information in the report in violation of federal or state laws. Penalties. Plaintiffs who prove willful noncompliance with the act can recover actual damages (between $100 and $1,000), punitive damages, and costs—including attorneys' fees. Negligent noncompliance subjects an employer to actual damages, costs, and attorneys' fees

Policy and procedures to promote diversity

"The challenge, then, is to implement HR policies and procedures that are consistent with larger organizational values and strategic goals and also effectively meet local tactical and strategic needs as they arise. Much of the burden of meeting that challenge falls on the shoulders of HR. Critical Policy Challenge HR must ensure that each policy has been devised and is implemented so as to apply equitably and fairly across all the dimensions of diversity (gender and sexual orientation, race, ethnicity, culture, religion, etc.) and across all functions (IT, finance, administration, manufacturing, etc.) and all locations (which can include highly diverse cultures). Additionally, policies may involve suppliers and other collaborating organizations and individuals, in which case implications for these relationships must be thought through as well. As should be obvious by now, that doesn't mean that implementation is identical across all dimensions, functions, and locations. Quite the opposite: Policies must be flexible enough to accommodate unique local needs and situations—including those that have not yet arisen—but in ways that are true to core values, goals, and intentions." "Challenge of Details The challenges of implementing policies across a diverse organization also include ensuring that the details of implementation are thought through and followed up on. For example: Translating objectives and policies—especially diversity policies—into applicable local languages. Remaining aware that the organization's cultural assumptions may not be universally shared. Ensuring that a diversity policy isn't based on cultural assumptions (the organization's own or those of its parent country) that have not been validated. Recognizing that a diversity policy designed for the needs of one nation will not address the complexity of a multicultural workforce. (For this reason, many organizations leave implementation to managers at the local and national levels, so the diversity initiatives can be tailored and adapted to fit local laws, traditions, and sensibilities.) Ensuring local and regional representation on groups that establish diversity targets and program objectives. Recognizing that the organization's diversity program implementation will be an ongoing process that is constantly changing and evolving. Planning, budgeting, and ensuring adequate financing for an organization-wide rollout, including adequate budget support for local entities in emerging markets

Discrimination: Two Types

*Disparate treatment* - Discrimination occurs when an applicant or EE is treated differently because of his or her membership in a protected class. EXAMPLE: A manager always screens out applicants who appear to be of Middle Eastern heritage / ER has different entry requirements for woman than for men. - direct discrimination - unequal treatment - intentional - prejudiced actions - different standards *Disparate (adverse) impact* - Results when a neutral policy has a discriminatory effect. Usually unintentional. EXAMPLE: Non-essential education requirements for certain jobs that impact minority groups looking for work who have been limited in their access to educational opportunities: An organization only hires high-school graduates for custodial positions. - indirect discrimination - unequal consequences or results - usually unintentional - neutral actions - same standards but different consequences

Forces Shaping Globalization

"Three Precepts of Global Force Interconnectedness While the various forces shaping globalization can be labeled as political or economic or social or technological, these factors are in reality interconnected and can be fully understood only in light of such connections. Consider global warming as an example. It is an environmental phenomenon, but it is shaped by economic forces and political actions (or inaction) and by legal and technological responses." "While the effects of a given globalization force are global, their impact may be uniquely felt by different cultures, industries, and organizations. To consider global warming again: It differently affects developing vs. developed countries, nonsustainable (oil, coal) vs. sustainable (wind, solar) industries, etc. It is important for HR to distinguish between large-scale forces and trends and more immediate events and "trendy" phenomena. All may be important and/or have a critical impact, but they need to be understood and interpreted differently. Global warming is different than, say, Hurricane Katrina or the Japanese tsunami. Likewise, the impact of social networks is different than the sudden popularity of LinkedIn over Facebook. An HR professional's goal in considering any aspect of globalization is to strive to understand:" "Which globalization events, forces, and trends are significant for a given organization and for HR responsibilities within that organization. The unique ways in which each significant global force, event, or trend is affecting: The parent organization's home office and its various subsidiary or host countries. Its industry and competitive landscape. The organization's overall goals and strategies. The role HR must play if the parent organization is to maximize the benefits and minimize the costs of that force, event, or trend. With all that in mind, we will examine three forces shaping globalization today: The shift from developed to emerging economies Global crises "Hyperconnectivity Shift from Developed to Emerging Economies" "Foreign Direct Investment A leading indicator of that continuing shift, and a major feature of globalization, has been the rapid rise in foreign direct investment (FDI), the investment of foreign assets into domestic structures, equipment, and organizations.

Equal pay, training

"Training Time Training time is generally included in the calculation of hours worked. However, the time spent at a conference, meeting, or seminar does not have to be compensated if four conditions are met: Attendance is voluntary. Attendance is outside of the employee's regular work hours. The event is not directly job-related. The employee performs no productive work during this period. Equal Pay Act "The Equal Pay Act (EPA) of 1963, technically an amendment to the FLSA, prohibits unequal pay for equal or "substantially equal" work performed by men and women. Once a pay disparity is established between a male worker and a female worker performing substantially equal jobs, the burden of proof shifts to the employer to justify its actions. The law is enforced by the EEOC. Key provisions define equal work, discriminatory actions, and exceptions. Equal Work Equal work is defined by equal skills, equal effort, equal responsibility, and similar working conditions in the same establishment." "Exceptions An employer can defend its pay disparity by showing that the pay disparity was based on: A seniority system. A merit system. A difference in the quality or quantity of work. Geographic work differentials. Any factor other than sex. Employer defenses such as union rules or prevailing pay for the market are not permitted. Discriminatory Actions Under the EPA, a plaintiff would have a prima facie case (i.e., the minimum amount of evidence an employee must demonstrate in order to state a claim as a matter of law) if she or he received a lower wage than members of the opposite sex for performing work that requires substantially the same skills, effort, and responsibilities under similar working conditions, all performed at the same location. Comparable Worth The law does not address comparable worth, a theory that goes beyond pay equity." "Comparable worth deals with pay differentials between women and men who perform comparable—but not equal—work. Comparable worth looks at different jobs that women and men hold that require comparable skills, effort, responsibility, and working conditions. Although the EPA does not require consideration of comparable worth, some states require all public jurisdictions such as school districts to eliminate any sex-based wage inequities. Employee Retirement Income Security Act The Employee Retirement Income Security Act (ERISA) of 1974 and its subsequent amendments establish uniform minimum standards to ensure that employee benefit and pension plans are established and maintained in a fair and financially sound manner. It is designed to protect the interests of participants in the plans and their beneficiaries. Employers are not required to offer a retirement or health and welfare plan, but if they do have one, it must conform to the requirements of the Internal Revenue Code and ERISA in order to receive the tax advantages."

Worker adjustment and retraining notification act

"Worker Adjustment and Retraining Notification Act The Worker Adjustment and Retraining Notification (WARN) Act of 1988 requires some employers to give a minimum of 60 calendar days of advance written notice if a plant is to close or if mass layoffs will occur. This act allows displaced workers adequate time to search for a new job and allows government entities to determine whether any assistance may be available for affected workers; therefore, it potentially reduces the impact of any mass layoff or plant closing." "Coverage WARN applies to employers who employ 100 or more: Full-time employees, or Full-time and part-time employees who, in the aggregate, work at least 4,000 hours (exclusive of overtime hours) per week at all employment sites. "Part-time" means either employees whose average workweek is less than 20 hours per week or those who have been employed for fewer than six of the preceding 12 months as of the date WARN notices are due. Exceptions to 60-Day Notice There are limited exceptions to the 60-day notice requirement. The three exceptions noted below do not excuse WARN notices. They simply permit provision of fewer than 60 days advance notice, provided the employer satisfies specific criteria. The employer bears the burden of proof to show that its situation falls within a WARN exception. Faltering company. This exception covers certain situations where an organization has actively sought new capital or business in order to stay open and where giving notice would ruin the opportunity to get the new capital or business. The faltering company exception is narrowly construed and applies only to plant" "Unforeseeable business circumstances. This exception applies to closings and layoffs that were sudden and were not reasonably foreseeable at the time notice would otherwise have been required (such as the sudden and unpredicted loss of a key business client that severely impacts the organization's financial stability). Natural disaster. This exception applies where a closing or layoff is the direct result of a natural disaster, such as a flood, earthquake, drought, or storm. If an organization faces a financial crisis, an unanticipated business event, or a business interruption due to a natural disaster that results in a mass layoff or a plant closing, it should consult legal counsel before relying on an exception

EEOC Complaint Process

"an individual must first file an administrative charge with the EEOC (the federal agency responsible for enforcing antidiscrimination laws) or with the state agency responsible for handling such charges. The individual who files the charge is referred to as the charging party or plaintiff, and the entity accused of the discrimination "As a general rule, a claim under Title VII of the 1964 Civil Rights Act must be filed within 180 days after the commission of the alleged discriminatory practice. However, an exception to the 180-day rule is provided in states and localities that have their own agencies that process and/or investigate charges of discrimination. In these states and localities (referred to as deferral states), a charge of discrimination may be filed with the EEOC within 300 days of the alleged discriminatory conduct." "Retaliation HR should also remind involved managers and supervisors that, under Title VII of the Civil Rights Act, the National Labor Relations Act, the Fair Labor Standards Act, the Occupational Safety and Health Act, the Uniformed Services Employment and Reemployment Rights Act, and other statutes, employers are prohibited from retaliating against employees engaged in "protected activities." A protected activity includes actions such as filing a complaint, threatening to file a complaint, refusing to obey an order that can be reasonably believed to be discriminatory or unsafe, engaging in concerted activity with other employees to obtain changes in employment terms or conditions, or picketing to protest the terms and/or conditions of employment. Acts of retaliation can be any adverse employment action, including: Firing, demoting, or disciplining the employee or treating the employee in a discriminatory manner. Threatening action against the employee. Criticizing the employee. Discussing the complaint with the employee. Discussing the complaint and the employee with any external parties. Discussing the complaint and the employee with any internal parties that do not have a business "need to know."

Perlmutter's Global Orientations

*Ethnocentric* - HQ maintains tight control over subsidiaries, who are expected to follow strategic pattern, values, policies, and practices expressed by HQ. Management will usually share a common ethnic background different from the ethnic makeup of subsidiaries *Polycentric* - Subsidiaries are allowed a large measure of independence as long as they are profitable They may plot their own paths based on the business and cultural contexts of their countries. "Best ways" *Regiocentric* - Subsidiaries are grouped into regions (such as Europe, North America, etc.) Strategic crimination is high within the region but not as high between the region and HQ *Geocentric* - Subsidiaries are neither satellites taking orders nor independent bodies setting their own course. HQ and subsidiaries are participants in a network, each contributing its unique expertise, "Team way"

Title VII

*Protections* - it is unlawful to discriminate against any individual based on race, color, religion, sex, and national origin in regard to all terms, conditions, or privileges of employment. *Recruiting, hiring, and advancement* - Job requirements most be uniformly and consistently applied to persona of all races and colors. *Segregation and classification of EEs* - EEs who belong to a protected class cannot be physically isolated from other EEs or customer contact. *Harassment / hostile work environment* - Prohibits sexual harassment based on protected categories. *Compensation* - Prohibits discrimination in compensation practices. *APPLIES TO:* -Most private ERs who have 15 or more persons - Educational institutions - Federal, state, and local governments - Public and private employment agencies - Labor unions with 15 or more members - Joint labor management committees for apprenticeship and training. *EXCEPTIONS* -Work-related requirements - Bona fide occupational qualification (BFOQ) - Bona fide seniority systems - Affirmative action plans

Strategic Approaches to Globalization

- Creating a new entity - either by purchasing an already exiting operation (AKA *turnkey*), building a new operation from the ground up (AKA *Greenfield operation*), or by repurposing an existing disused facility (AKA *Brownfield operation*) - Acquiring a subsidiary - Entering into an alliance or partnership - Outsourcing all or specified tasks to the new market - Offshoring an existing capability. Offshoring is a distinctly global expansion tool.

Diversity dimensions - FOUR LAYERS

1. *Personality* - At the CENTER are matters unique to each individual - style, and characteristics, preferences, perceptions, behavioral predisposition, cognitive and learning styles - all of which are influenced by the successive outer layers 2. *Internal dimensions* - These are aspects of self, often assigned at both, over which we have little control. Gender, sexual orientation, physical abilities, ethnicity, are and age. 3. *External dimensions* - These are the results of life experiences and choices. They include geographic location, income, personal habits, recreational habits, religion, education, work experiences, appearance, marital status, and parental status. 4. *Organizational dimensions* - These are similarities and differences baed on n individual's position in the organization. They include functional level or classification; content of field work; division, department, unit or group; seniority; work location; union affiliation; and management status.

Risk matrix

A simple grid in which the horizontal axis represents the probability that an event will occur and the vertical axis relates to the severity of the impact on the organization or function if the event occurs. DOWNSIDE: Does not reflect the degree to which the organization or unction is currently protected against the threat.

Demographic Dichotomy

Division or contrast between 2 things that are represented or opposed or entirely different "Boyson compares the current phenomenon in emerging economies to the "demographic dividend" experienced in the West when the highly educated baby boom generation entered the workforce "in the 1970s and 1980s. That generation represents a demographic bulge that is now preparing to leave the workforce, creating a corresponding "demographic deficit" of experienced, highly trained workers in developed countries. The net effect can be seen graphically, in Figure 2, in which the McKinsey Global Institute analyzed global economies by three variables: Potential for workforce growth (as measured by median age of workforce) Quality of workforce (as measured by average education level attained) Productivity of workforce (as measured by per capita GDP) The results segment the world's economies into eight clusters

Redeployment

Does NOT always involve repatriation. An international Assignee can have their next assignment back in the home country, in a different global location or in a new location or a new position in the current host country.

Americans with Disabilities Act of 1990 and Amendments of 2008

Landmark civil rights law protecting qualified individuals with disabilities from discrimination in many areas. *Qualified individual with a disability* is one who can perform the essential functions of the job with or without reasonable accommodation. - Have the requisite skills, experience, education, licenses, etc. - Be able to perform the essential functions of the job, either with or without reasonable accommodation. *Disability* - the ADA considers an individual disabled if he/she: - as an impairment that substantially limits one or more major life activities - Has a record of such impairment - Is regarded as having such an impairment *Major life activity* - examples: walking, seeing haring, breathing, thinking, communicating, operation of major bodily functions,, transferring/mobility, toileting/personal hygiene, bathing and dressing, and caring for oneself. *Essential functions* - Primary job duties that a qualified individual must be able to perform, either with or without accommodation. *Reasonable accommodation* - Modifying or adjusting a job to enable an individual with a disability to be considered for the job and perform its essential functions. Applies to all private and government ERs with 15 or more EEs, employment agencies, labor organizations, and joint labor management committees.

PAPA model

Stands for: Prepare - Act - Park - Adapt *Prepare* - Events are not likely to happen but will materialize quickly if they do occur. Contingency plans must be in place and easy indicators defined. *Act* - Events are both highly probable and fast-moving, These threats and opportunities require immediate responses in terms of enhancing the chances for opportunities and decreasing the chances of a threat occurring or creating significant damage. *Park* - Events are slow-moving and unlikely. They merit monitoring for chanced in their characteristics but not investment in mitigation or contingencies. *Adapt* - Events are actually slowly materializing trends that may affect the organization significantly. This is not an urgent need, but it can be tackled incrementally over the next three year planning period.

Local responsiveness

Strategy can make organizations more flexible and agile - equipped to identify and capitalize quickly o local market opportunities, correct misalignments of products and services to customers and adjust to local regulations and business practices. A company that is perceived as local may have more access to decision makers and influence on policy and regulations. - Ability to respond to customer needs - Efficiency gained from using local substitutes. - Ability to remain compliant with local laws and regulations. Developing local management is key to achieving local responsiveness. Focus on promoting cultural awareness and examining its own practices for signs of cultural bias, ensuring alignment of local HR practices with a global R strategy, and developing the entire talent pool, both local EEs and internal assignees. Emphasis: adat to needs of local markets and allow subsidiaries to develop unique products, structures, and systems. Company functions reflect local conditions.