HR MANA Test 1
HR Triad
which consists of HR professionals, line managers, and all the other employees who are affected by HR policies and practices
Corporate Social Responsibility (CSR)
which is helping improve society and making a positive contribution to the communities that are home to the company employees and customers
Managing with Ethics and CSR
Code of ethics: -Asking questions, raising concerns -Bribery and corruption -Conflicts of interest -Correct financial reporting -Equal opportunity practices -Gifts and hospitality -Safeguarding information Corporate Social Responsibility: helping improve society and making a positive contribution to the communities that are home to the company employees and customers
Intangible Human Assets
comparatively social in nature and include such organizational characteristics as an employer-of-choice reputation, the depth of employee talent and loyalty, and the ability to innovate and change.
Managing with Teams
(1) Customers -Improved quality -Faster response times -Innovation in products and services (2) Employers -Expand informal networks -Improve understanding of the business -Multicultural learning opportunities
The HR Triad
(1) HR Professionals: people with substantial specialized and technical knowledge of HR issues, laws, and practices -Society for Human Resource Managers (SHRM) -Human Resource Certification Institute (HCI) (2) Line managers -Decentralization: pros and cons (3) Employees who are affected by HR polices and practices
Five Special Themes
(1) Managing with team (2) Managing with diversity and inclusion (3) Managing with ethics and corporate social responsibility (4) Managing with new technologies (5) Managing with metrics and analytics
Managing with New Technologies
(1) Social Media Recruiting, training, engaging employees, communication/collaboration (2) Mobile Technologies -Clock-in, check benefits, change work schedules, take training courses, monitor policy updates (3) Gamification -Performance management and training
What are two ways companies are striving to serve society and shareholders at the same time?
(1) Through scrupulous legal compliance (2) Strong community relationships
Age Differences
(1) Traditionlists (1929-1945) -disciplined, hardworking, sense of obligation, need to save and a preference for formality (2) Baby Boomers (1946-1964) -Healthy, wellness, personal growth, strong sense of entitlement (3) Generation X (1964-1981) -Work-life balance, not loyal to companies, continuous learning and skill development, some comfort with change and technology (4) Millennials (1982-1999) -Comfort with change and innovation, preference for positive and instant feedback
HRM strategies can improve firm performance in at least 4 ways:
(1) by shaping employee behaviors so that they support business strategies (2) by substantially impacting labor costs (3) by enhancing motivation and productivity (4) by affecting the organization's ability to attract and retain talent
Company Culture
-Company culture: social glue; assumptions, values, norms -Vision: future of the company -Mission statement: how it aims to address interests of stakeholders -Values: Enduring beliefs, how employees are expected to behave -Company subcultures: (1) International firms, M&A, different divisions, occupations, age groups (2)Diverse opinions, change status quo (3) Glass ceiling
Socio-Cultural Landscape
-Refers to the attitudes and values of society -Attitudes and values of people in the workforce can vary substantially across nations and are also reflected in differences in national cultures
Human Resource Management Strategy
-A set of HR activities designed to gain a competitive advantage -HR: human capital or talent Helps the organization ensure that employees are focused on the most important strategic outcome by: -shaping employee behaviors -impacting labor costs -enhancing motivation and productivity -attracting and retaining talent
Other Employees: Roles and Responsibilities to Ensure Fair Treatment and Legal Compliance
-Accept and fulfill responsibilities to behave fairly toward your colleague and employer -Be informed about the legal landscape and behave in accordance with it -Work with HR professionals to establish procedures for dealing fairly with workplace issues -Report discriminatory or other illegal behavior among subordinates, colleagues, or superiors to an HR professional -Participate in diversity training and provide feedback on its effectiveness and other diversity and inclusion initiatives -Inform managers of any disabilities requiring accommodation
Demographic Factors
-Age, gender, ethnicity, income, and education -Consumers and labor market -Future labor market: slow growth, decrease in skills availability, and changing ethnic and age composition -Education workforce: 50% of college students can be found globally (customer service to finance & accounting)
Satisfying Multiple Stakeholders
-Appropriate HR practices make it possible to create a win-win situation, even when conflicting interests of stakeholders exist
HRM Strategy and Implementation
-Change increases uncertainity, requires learning -Resistance to change: fear, misunderstanding, cynicism -Overcome resistance: (1) Involving employees: task forces, focus groups, surveys, hotlines (2) Establishing accountability: incetive pay, bonuses (3) Show respect -Review and Revise
Types of Cultures
-Clan -Entrepreneurial -Bureaucratic -Market
Diversity and Inclusion
-Culture of Inclusion (1) Recruiting (2) Community outreach (3) Aligning diversity with business goals (4) Increasing diversity in higher-level positions (5) Collecting metrics -Employee Resource Groups (1) Community outreach (2) Guest speakers (3) Mentoring and educational opportunities (4) Shaping company policies (5) Providing input about products and services
Discrimination Allegations
-Disparate treatment -Disparate impact -Job relatedness -Business necessity -Bona fide occupational qualifications -Bona fide seniority system
Fairness
-Distributive justice: outcomes I receive vs. outcomes others receive -Procedural justice: fairness of the process -Interaction Justice: Employees' feelings about how managers are sensitive to the situations, giving them the information they need, and treat them respectfully -Negative Outcomes: (1) Change in work attitudes (2) Change in work behaviors (3) Changes in overall health and psychological well-being (4) Lawsuits
External Environment
-Economic factors -Demographic factors -Socio-Cultural factors -Political factors -The political and legal landscape -Unions -The global landscape
HR Professionals: Roles and Responsibilities to ensure Fair Treatment and Legal Compliance
-Encourage the use of social views of fairness rather than adopting a narrow legalistic model -Stay up-to-date about new developments in the legal landscape; consult with legal experts if needed -Develop and help implement policies that support fair and ethical behavior by everyone in the organization -Administer grievance procedures and participate in alternative dispute resolution activities -Design, deliver, and evaluate diversity training and other diversity and inclusion activities -Help keep employer and employee rights and responsibilities in balance -Articulate and oversee organizational compliance with the ADA
Stakeholders of the Organization: Owners and Investors
-Financial Returns -Corporate reputation -Long-term survival
Bureaucratic Culture
-Following rules -Respect for hierarchy -Control and efficacy produce effectiveness
High Commitment HRM Strategy Characteristics
-General job descriptions -High skill requirement -Extensive training focused on performance -Competitive wages -Pay is linked closely to performance -Generous benefits -Self managed teams -High levels of employee participation in decision making -High job security for good performers
Market Culture
-Goal achievement -Less concern for personal relationship -Competition produces effectiveness
Stakeholders of the Organization: Organization Members
-Good pay and benefits -Good quality of work life -Long-term employability
Settling Disputes
-Grievance procedure -Mediation and arbitration -Lawsuits: (1) Monetary damages (2) Settlement agreements
Business Strategies
-How a particular business unit will compete -Actions intended to achieve a goal -High quality -Low cost -Customer service ("Making each store the heart of the local neighborhood) -Innovation
Management with Metrics and Analytics
-Instead of using "gut instincts," managers use metrics and analytics to make HR decisions -Metrics: evaluate performance of individuals, departments, the organization overall and of specific HR activities -Analytics: Help show the relationship among various indicators (metrics)
Stakeholders of the Organization: Society
-Legal compliance -Social Responsibility -Ethnical practices
Clan Culture
-Loyal -Traditional -Human development procedures effectivness
Strategic Importance of Managing HR
-Managing HR successfully can provide organizations with effective solutions to managing various demands of multiple stakeholdes
Examples of Stakeholdes
-Owners -Investors -Customers -Employees -Society -Suppliers -Unions -Joint-Ventures
Political Landscape
-Politics and legal regulations go hand-in-hand because politicians enact and enforce laws -As government administrations come and go, businesses must constantly analyze the implications of their philosophies and policies
Line Managers: Roles and Responsibilities to Ensure Fair Treatment and Legal Compliance
-Proactively seek to understand and respond to employees' fairness concerns -Stay informed about the legal landscape and behave in accordance with it -Establish and review policies to ensure fair treatment of employees in collaboration with HR professionals -Learn the steps involved in the organization's grievance procedures and follow them -Participate in diversity training programs and other diversity and inclusion activities -Intervene if you observe discriminatory or other illegal or unethical behavior among subordinates, collegues, or superiors -Facilitate the organizations accommodations to the ADA
Stakeholders of the Organization: Customer
-Quality -Speed and responsiveness -Low Prices -Innovation -Convienience
Demographic Landscape
-Refers to the characteristics of the people where the company does business -These characteristics include the populations age, gender, ethnicity, income and education -Demographic characteristics describe the nature of an organization's consumers, community, and, most relevant to an HRM context, an organization's labor market
Stakeholders of the Organization: Other Organizations (suppliers, unions, alliance, partners)
-Reliability -Trustworthiness -Collaborative problem solving
What are ways to improve customer satisfaction?
-Requires finding ways to improve the company's ability to understand the customer's perspective -Ex: through hiring practices, a company can make sure that its employees are demographically similar to customes
Technology
-Robotics -Virtual teams: (1) Challenge in creating a sense of org culture (2) Must provide training (3) Strong communicators (4) Self-starters -Human Resource Information Systems: gathering, analyzing, and distributing data about employees -e-HRM: conducting HR activities and social networking among employees
High Control HRM Strategy Characteristics
-Specific job descriptions -Low skill requirement -Limited training -Low wages -Pay is linked closely to performance -Minimal benefits -Intense supervision -Low levels of employee participation in decision making -Low job security
Suppliers
-Suppliers provide the resources a company needs to conduct its business -The resources needed by most companies include material and equipment, information, and people
Managing with Diversity and Inclusion
-Surface level and deep-level diversity -Management practices must be sensitive to issues such as religion, sexual orientation, marital and family status, age, military service, etc -Positive impact on: (1) Legal compliance (2) Employee commitment (3) Customer satisfaction (4) Firm reputation (5) Financial and operational performance
Entrepreneurial Culture
-Taking risks -Creativity -Innovativness produces effectiveness
Political Factors
-Tax policies -Trade policies -Immigration policies -Regulations -Advocacy groups
Internal Environment
-Technology -Company culture -Business Strategies -Financial, organizational, reputational, and human resources
Economic Landscape
-The economic landscape has the potential to greatly impact organizations, including their very survival -Refers to the economic conditions in which firms compete -The nature of the economy and its direction can be measured through a number of indicators including interest rates, unemployment rates, inflation rates, consumer confidence index, productivity measures, gross national products, industry sales and so forth
Activities for Managing Human Resources
-The formal HR policies developed by the company as well as the ways these policies are implemented in the daily practices of managers -Job analysis and competency modeling -Workforce planning, recruitment and retention -Selecting employees -Training and development -Performance management -Total compensation -Performance-based pay -Benefits -Workplace safety, health and well-being
Alliance Partners
-Though cooperative alliances with other firms, a company seeks to achieve goals that are common to al members of the alliance -Some alliances are formed to influence government actions -Research and development needs are anoher common reason for alliance formatons
Many aspects of HR management contribute to a good quality of working life which include:
-Training and development to improve employee's skills and knowledge -Job designs that allow employees to really use their knowledge of skills -Management practices that give employees responsibility for important decisions -Selction and promotion systems that ensure fair and equitable treatment -Safe and healthy physical and psychological environmets -Work organized around teams
Unions
-Unions may also serve as suppliers of people -When employees are represented by a union, the employer involves the union in joint discussions on issues such as improving productivity, outsourcing polices, improving safety, compensation, benefits, and various other conditions of work
The many HR policies and practices that companies need to understand and create include:
-Using job analysis and competency modeling -Managing talent through workforce planning, recruitment, and retention -Selecting employees to fit the job and the organization -Training and developing a competitive workforce -Conducting performance management -Developing an approach to total compensation -Using performance-based pay to achieve strategic objectives -Providing benefits -Promoting workplace safety
Socio-Cultural Factors
-Work-life balance -Pay levels -Benefits -Diversity and inclusion
Business Necessity
A defense when an employer can show that the employment decision was based on a factor that is essential to the safe operation of the business
Bona Fide Seniority System
A defense when employment decisions such as promotions, job assignments, and layoffs are made on the basis of seniority
Bona Fide Occupational Qualification (BFOQ)
A defense when practices are "reasonably necessary to the normal operations of that particular business or enterprise"
Disparate Impact (or adverse impact)
A legal term used to refer to unequal and discriminatory treatment based on a characteristic that is associated with being a member or a protected group
Equal Employment Opportunity Commission (EEOC)
Agency of the Department of Justice charged with enforcing Title VII of the Civil Rights Act of 1964 and other anti-discrimination laws
Mediation
All concerned parties present their case to a third-party neutral: the mediator
Competitive Advantage
All or some of the customers prefer their products/service
Human Resources
Are all of the people who currently contribute to doing the work of the organization, as well as those who potentially could contribute in the future, and those who have contributed in the recent past
Sustainable Competitive Advantage
Competitive advantage that is difficult to understand and/or copy Often, HR are the source of sustainable competitive advantage--employees are the source of added value Goal of HR management is to maximize the value added by ALL employees
Harrasment
Conduct that creates a hostile, intimidating, or offensive work environment
Mission Statement
Defines a company's business and provides a clear view of what the company is trying to accomplish
Horizontal Alignment
Exists when all of the HR policies and practices that comprise the HRM system are consistent with each other and so present a coherent message to employees concerning how they should behave while at work
Vertical Alignment
Exists when the HRM system fit with all elements of the internal environment(the culture, business strategy, technology and so on) and all elements of the external environment (economic landscape, demographic landscape, etc.)
Triple Bottom Line
Financial, environmental, and social performance
Financial, Organization, Reputation, and HR
Financial: current available capital and ability to borrow -Organizational: current reporting structure, policies, and procedures -Reputation: Reputation with customers, suppliers, potential employees -HR: ability to implment
Title VII of the Civil Rights Act of 1964
Forbids discrimination on the basis of sex, race, color, religion, or national origin in all areas of the employment relationship
Corporate Social Responsibility
Helping improve society and making a positive contribution to the communities that are home to the company employees and customers
Stakeholders
Individuals or groups with interests, rights, or ownership in an organization and its activities
Affirmative Action Programs (AAPs)
Intended to reduce employment discrimination or to correct underutilization of qualified members of protected groups in an organization's relevant labor market
Abritration
Is a more formal process for alternative dispute resolution that includes third-parties who render a judgement, yet is not so formal that rules of a court must be followed
Vision
Is top management's view of the kind of company it is trying to create
Triple Bottom Line Definition
Looks at an organizational performance as a combination of financial, environmental, ad social performance
Quid pro Quo sexual harassment
Obtaining favors of a sexual nature in exchange or conditions of employment such as a promotion, pay increase, etc.
Constructive Discharge
Occurs when working conditions become so unbearable that a reasonable person feels compelled to quit
Procedural Justice
Perceptions about fairness in the process used to determine outcomes
Diversity and Inclusion Initiatives
Policies and practices that an organization adopts voluntarily (not because of legal requirements) for the purpose of ensuring that all members of a diverse workforce feel they are treated fairly
Americans with Disabilities Act (ADA)
Prohibits private employers, state and local governments, employment agencies, and labor unions from discriminating against qualified individuals with disabilities in job application procedures, hiring, firing, advancement, compensation, job training, and other terms and conditions, and privileges of employment
Sex-Plus Discrimination
Putting special restrictions on one protected group (generally women)
Legal Precedents
Refer back to important decisions that were made in the past and use these as the basis for making a decision in a new case
Strategy Implementation
Refers to putting the chosen strategic plans into action
HR Analytics
Refers to the statistical and quantitative analysis of HR metrics in order to discover relationships between metrics and predict HR related outcomes
Affirmative Action Goals and Timetables
Specify how the organization plans to correct any underutilization of protected groups
Strategic HR objectives
State in a quantitative or qualitative termswhat is to be achieved with regard to the firm's human resources
Sustainability
The commitment of an organization to balance financial performance with contributions to the quality of their employees, society at large, and the environment
Settlement Agreement
The defendant does not admit to wrongdoing but nevertheless agrees to pay money to the plaintiff or plaintiffs
Values
The strong enduring beliefs and tenets that the company holds dear, that help to define the company, and that differentiate it from other companies
Discrimination
The unequal treatment of persons or groups that is unfair, improper, or unjustifiable and based on an individual charactersitic
Human Resource Information System (HRIS)
When computer technologies are used to gather, analyze, and distribute information about job applicants and employees
Distributive Justice
When employees believe that they outcomes they experience are fair in comparison to the outcomes of others
Job Relatedness
a defense against discrimination claims in which the firm must show that the decision was made for job related reasons
The Glass Ceiling
a metaphor for an apparent barrier that keeps women from reaching upper levels of management in corporations
Business Strategy
a set of integrated and coordinated commitments and actions intended to achieve stated business goals
Human Resource Certification Institute (HRCI)
a well-known certification provider for HR professionals -Are 6 different types
Society for Human Resource Management (SHRM)
an association for HR professionals headquartered in the US that has local chapters in most cities, as well as many student chapters at colleges and universities
HR Portals
are a single access point to all HR-related digital content and apps
HR Metrics
are measurements used to assess progress against HR objectives and short-term goals
Utilization Analysis
determines the number of minorities and women employed (utilized) in each type of job in the organization
Culture of Inclusion
employers strive to create a company culture in which everyone feels equally integrated into the larger system
Grievance Procedures
encourage employees to voice their concerns to the company instead of to the courts, and they encourage employees to seek constructive resolutions without litigation
Company Subculture
exists when assumptions, values and norms are shared by some (but not all) organizational members.
Customized HRM strategy
focuses on achieving very specific outcomes of most importance to a particular company, taking into account all elements of the internal and external envirnment
Employee Resource Group
groups that are formally supported by the company to help employees from underrepresented groups or those who share common interests (or backgrounds) network with each other and other employees who support them and diversity
Availability Analysis
measures how many minorities and women are available to work in the relevant labor market of an organization
Human Resource Activities
include the formal HR policies developed by the company as well as the actual ways these policies are implemented in the daily practices of supervisors and managers
Alternative Dispute Resolution (ADR)
involves making an agreement to forego litigation and instead resolve disputes by either internal or external mediation or arbitration
World Federation of People Management Associations (WFPMA)
links country and region specific professional associations around the world -Recognizes the unique and extensive body of professional knowledge needed by HR professionals working in multinational companies
Human Resource Professionals
people with substantial specialized and technical knowledge of HR issues, laws, policies, and practices
Interactional Justice
perceptions of employee's feelings about whether managers are sensitive to their situations give them the information they need, and treat them politely and respectfully
Tangible Assets
relatively easy to measure and include such assets as inventory, equipment, real estate, and financial assets.
HR profession's code of ethics
states that HR professionals must regard the obligation to implement public objectives and protect the public interest as more important than blind loyalty to an employer's preferences.
Gamification
takes the addictive and competitive elements of games and applies the to HR related activities
Office of Federal Contract Compliance Programs (OFCCP)
the agency responsible for overseeing the employment practices of federal contractors and enforcing relevant federal regulations
Economic Cycles
the fluctuations in economic activity that occur over long periods of time in developed market economies.
Strategy Formulation
the process of determining the best course of action to achieve competitive advantage
e-HRM
the use of information technologies for both conducting human resources management activities and for social networking among employees
Human Resource Management System
when an organization systematically understands, creates, coordinates, align and integrates all of their policies and practices.
Strategic Alignment
when an organization's HRM system supports and facilitates the behaviors and competencies needed for organizational success