Managing Human Capital

indirect financial compensation

(benefits): Any and all financial rewards not considered direct financial compensation, including health insurance, wellness benefits, paid vacations, and free meals

human resource

Managing organizational change is the responsibility of which type of manager?

culture issues

Mergers and acquisitions often fail because of ______.

recruitment and training

What are two of the most important management problems businesses face today?

strategic risk

Which type of risk management encompasses the HRM initiative to strengthen ethical awareness and company culture?

Compliance risk

Which type of risk management involves consideration of legal issues in terms of diversity, health and safety, union relations, whistleblowers, and harassment?

operational risk

Which type of risk management involves the speed and effectiveness of talent acquisition, development of employee skills, and retention of top performers?

financial risk

Which type of risk management is associated with the reduction of costs in hiring employees?

Staffing is the process of planning, acquiring, deploying, and retaining employees that enables the organization to meet its talent needs and execute its _________.

business strategy

How can HRM create value with an organization?

by contributing to the execution of its business strategy

Shared service center

centralizes routine, transaction-based HRM activities, including payroll, benefits administration, and employee exit surveys

direct financial compensation

compensation received in the form of salary, wages, commissions, stock options, or bonuses

global mindset

is a set of individual attributes that enable you to influence individuals, groups, and organizations from diverse socio/ cultural/ institutional systems.

training and development

is an important HRM function focused on developing employee capabilities through both formal and informal activities. The training and development function is also responsible for career planning, organizational development, and often legal compliance as well

Outsourcing

is the hiring of an external vendor to do work rather than doing it internally

human resource management

is the organizational function responsible for attracting, hiring, developing, rewarding, and retaining talent.

staffing

is the process of planning, acquiring, deploying, and retaining employees that enables the organization to meet its talent needs and to execute its business strategy

human resource strategy

links the entire human resource function with the firm's business strategy

To promote and maintain ethical behavior, managers need to provide ___ feedback.

performance

Which primary HRM function involves aligning individual employees' goals and behaviors with organizational goals and strategies?

performance management

Separations due to poor performance, layoffs, or restructuring are part of which HRM function?

staffing

__________ planning helps an organization have people ready to assume key positions and reduce transition challenges.

succession

competitive advantage

A company has a ________ when it does something differently from its competition that allows it to outperform them and succeed in its industry.

Business Strategy

A company's ____________ defines how the firm will compete in its marketplace.

rewards and benefits

Compensation and benefits perceived as both adequate and equitable that reward employees for their contributions to organizational goal attainment are important to employee motivation, performance, and retention

in what they reinforce

Each of the functional areas of HRM must be consistent ______.

Employee-management relations

Employee-management relations reflect societal beliefs about the relationship between employees and the capital owners of the organization. Employee-management relations ultimately determine the employment rights of both employers and employees. Labor participation programs, employee surveys, and other tools are used in managing employee-management relations. Positive employee-management relations improve communication, problem solving, and performance in both unionized and nonunionized organizations.

Compliance Risk

Every employment-related decision can have legal ramifications, particularly in the areas of diversity, health and safety, union relations, whistleblowers, and harassment. SEC regulations mandate the board of directors' responsibility for oversight of risk management policies. Boards must make known any material risks with the potential to affect company earnings. Because the acquisition, retention, and performance of talent have the potential to affect company earnings, it is essential that organizations identify and manage these risks through effective HRM.

Operational Risk

HRM affects the speed and effectiveness of talent acquisition as well as the development of employees' skills and the identification and retention of top performers. These and other HRM activities can directly influence the organization's success or failure.

strategic risk

HRM initiatives can affect business strategy through the overall talent strategy, company culture, ethics, investments in people, and the implementation of change initiatives.

Strategic Risk

HRM initiatives can affect business strategy. These may include the overall talent strategy, company culture, ethics, investments in people, and the implementation of change initiatives.

Financial risk

HRM performance affects the organization's workforce costs and productivity directly through compensation, benefits, turnover, overtime, and time-to-hire and indirectly through errors, accidents, delays, and lost production.

Financial Risk

HRM performance affects the organization's workforce costs and productivity directly through compensation, benefits, turnover, overtime, and time-to-hire, and indirectly through errors, accidents, delays, and lost production.

Professional Employer Organization (PEO)

Is a company that leases workers to companies that need them for a fee, ranging from 2 to 7 percent of the worker's gross wages

business strategy

One role of HRM is to staff the most qualified and appropriate employees to support the company in meeting its _____.

nonfinancial compensation

Rewards and incentives given to employees that are not financial in nature, including intrinsic rewards received from the job itself or from the physical or psychological work environment (e.g., feeling successful or appreciated)

total rewards

The sum of all the rewards an employee receives in exchange for their time, efforts, and performance is referred to as _____.

Operational risk

These risks can influence an organization's ability to execute the business strategy. HRM affects the speed and the effectiveness of talent acquisition as well as the development of employees' skills and the identification and retention of top performers. These and other HRM activities can directly influence the organization's success or failure.

health and safety

Workplace safety involves protecting employees from work-related toxins, accidents, and injuries. Workplace health refers to employees' physical and mental health

Communication

______ between HR and employees is extremely important

Talent Philosophy

a system of beliefs about how an organization's employees should be treated, including: *the value placed on diversity; *ethics; *whether the firm would like employees to stay for a limited time or for their entire careers; and *whether employees are views as assets to be managed or as investors choosing where to allocate their time and effort.

The purpose of the organizational function of HRM is to _________

attract, hire, develop, reward, and retain talent

Compensation received in the form of salary, wages, commissions, stock options, or bonuses is called ____.

direct financial compensation

Employee handbooks

document the organization's HRM policies and procedures, and they are very important in helping employees learn about the company's HRM policies

Compensation in the form of retirement planning, vacation time, and health insurance is called ___________.

indirect financial compensation

performance management

involves aligning individual employees' goals and behaviors with organizational goals and strategies, appraising and evaluating past and current behaviors and performance, and providing suggestions for improvement

Rewards and incentives given to employees that are bot financial in nature, including intrinsic rewards received from the job itself or from the work environment, are called _____.

nonfinancial compensation

total rewards

refers to the sum of all the rewards employees receive in exchange for their time, efforts, and performance

What is the ultimate goal of human resource management?

to manage risk and retain great employees

When an organization adopts a new manufacturing process, which HRM function is responsible for improving employees' skills to meet new needs?

training and development

By providing the raw talent that the systems will equip and manage, staffing influences the effectiveness of which other primary HRM functions?

training and development and performance management