MGMT 3860 Exam 2
Multi-Rater or 360-Degree Feedback
Using input from managers, subordinates, peers, and customers to provide a perspective on performance from all angles
Aspects of Practice
1) Active practice 2) Overlearning 3) Length of the practice session
Issues for Men and Women 35 - 55 years of Age
1) An awareness of advancing age and an awareness of death 2) An awareness of bodily changes related to aging 3) Knowing how many career goals have been or will be attained 4) A search for new life goals 5) A marked change in family relationships 6) A change in work relationships ("coach" vs. "rookie") 7) A growing sense of obsolescence at work 8) A feeling of decreased mobility and increased concern for job security
Behavior Modeling
1) Behavior modeling tends to increase when the model is rewarded for behavior and when the rewards are things the imitator would like to have 2) Research continues to demonstrate the effectiveness of behavior modeling over other approaches to training. It is particularly appropriate for teaching interpersonal and computer skills
Relevance: Implies there are
1) Clear links between the performance standards for a particular job and organizational objectives, and 2) Clear links between the critical job elements identified through a job analysis and the dimensions to be rated on an appraisal form
Steps in Team Training
1) Conduct a team-training needs analysis 2) Develop training objectives that address both task-work and teamwork skills 3) Design exercises and training events based on the objectives from Step 2 4) Design measures of team effectiveness based on the objectives set up at Step 2, evaluate the effectiveness of the team training, and use this information to guide future training
Process of Performance Management
1) Define performance 2) Facilitate performance 3) Encourage performance
Length of the Practice Session: The Two Extremes
1) Distributed Practice (implies rest intervals between sessions) 2) Massed Practice (where practice sessions are crowded together)
Reasons why employer supported child care will continue to grow
1) Dual-career couples now comprise a preponderance of the workforce 2) There has been a significant rise in the number of single parents, over half of whom use child-care facilities 3) More and more, career-oriented women are arranging their lives to include motherhood and professional goals
Guidelines for effective merit pay system
1) Establish high standards of performance 2) Develop accurate performance appraisal systems 3) Teach supervisors how to do appraisals and how to give feedback 4) Link rewards closely to performance 5) Use a wide range of increases
Feedback
1) Feedback is essential both for learning and for trainee motivation 2) Feedback need not always be positive
Skill Learning Essential Ingredients
1) Goal setting 2) Behavior modeling 3) Practice 4) Feedback
Learning Facts Essential Ingredients
1) Goal setting 2) Meaningful of material 3) Practice 4) Feedback
Types of Appraisal Errors
1) Halo error: raters assign their ratings on the basis of global (good or bad) impressions of ratees 2) Contrast error: rater compares several employees to one another rat her than to an objective standard of performance 3) Recency error: rater assigns his/her ratings on the basis of the employee's most recent performance
Training Trends
1) Hyper-competition 2) A power shift to the custome 3) Collaboration across organizational and geographic boundaries 4) The need to maintain high levels of talent 5) Changes in the workforce 6) Changes in technology 7) Teams
Resignations
1) Impulsive quitters: resign "on the spot" (as a result of sharp negative emotions) without any advance planning. 2) Comparison quitters: rationally evaluate alternative jobs and are relatively free of strong negative emotions toward their former employers. 3) Preplanned quitters: plan in advance to quit at a specific time in the future (e.g., upon reaching age 60). 4) Conditional quitters: hold the view: "I will quit as soon as I get another job offer that meets certain conditions.
Changing Philosophies regarding pay systems
1) Increased willingness to reduce the size of the workforce; to outsource jobs overseas; and to restrict pay to control the costs of wages, salaries, and benefits 2) Less concern with pay position relative to that of competitors and more concern with what the company can afford 3) Implementation of programs to encourage and reward performance—thereby making pay more variable
Assessing Training Needs: Four Levels of Analysis
1) Individual 2) Organizational 3) Demographic 4) Operations
Training Methods
1) Information Presentation Techniques: Lectures, conferences, CDs, organizational development 2) Simulation Methods: Case method, role playing, the in-basket technique 3) On-the-Job Training Methods: Orientation training, apprenticeships, job rotation
Dimensions of Equity in pay systems
1) Internal equity: In terms of the relative worth of individual jobs to an organization, are pay rates fair? 2) External equity: Are the wages paid by an organization "fair" in terms of competitive market rates outside the organization? 3) Individual equity - Is each individual's pay "fair" relative to that of other individuals doing the same or similar jobs?
Determinants of pay structure and level
1) Labor market conditions 2) Legislation 3) Collective bargaining 4) Management attitudes 5) An organization's ability to pay
Requirements of Effective Appraisal Systems
1) Legally and scientifically, the key requirements of any appraisal system are: Relevance, Sensitivity, Reliability 2) In the context of ongoing operations, the key requirements are: Acceptability & Practicality.
Alternatives to Pay Systems based on job Evaluation
1) Market-based pay 2) Competency-based pay (skill or knowledge based)
Establishing Objectives in (MBO): What the Key People Involved Should do
1) Meet to agree on the major objectives for a given period of time 2) Develop plans for how and when the objectives will be accomplished 3) Agree on the "measurement tools" for determining whether the objectives have been met
Impact of Training on Individuals, Teams, Organizations, and Society
1) Meta-analyses have demonstrated repeatedly that training has an overall positive effect on job-related behaviors or performance 2) Training may lead to greater innovation and tacit skills 3) Training can improve technical skills 4) Training can improve strategic knowledge 5) Training, and especially practice, helps to maintain consistency in performance. 6) Performance consistency also results from enhancing the self-efficacy or self-management of trainees 7) Management development programs show positive effects 8) Cross-cultural training improves expatriate adjustment and performance 9) Leadership training enhances attitudes and performance of followers. 10) Training in team communication and team effectiveness has positive effects on team performance 11) There are studies documenting the effects of training at the level of the organization, but available data show positive effects on employee and customer satisfaction, owner/shareholder satisfaction, and productivity 12) At the level of the orga nization, training is a key enabler of e-commerce 13) At the level of society, macro-economic studies have concluded that training improves the quality of the labor force
Executive Coaching
1) One-on-one 2) Relationship-based 3) Methodology-based 4) Provided by a professional coach 5) Goal oriented 6) Customized 7) Intended to enhance the person's ability to learn and develop independently
Policy Issues in pay planning and Administration
1) Pay Secrecy 2) The Effect of Inflation 3) Pay Compression 4) Pay Raises
Managing for Maximum Performance
1) Performance management is a kind of compass—one that indicates actual direction as well as desired direction 2) Many managers incorrectly equate it with performance appraisal—an administrative exercise they typically do once a year to identify and discuss job-relevant strengths and weaknesses of individuals or work teams
Characteristics of Boundaryless Careers
1) Portable knowledge, skills, and abilities across multiple firms 2) Personal identification with meaningful work 3) Massive downsizing eroded employees loyalty 4) Distinct differences in the work patterns of men and women 5) Development of multiple networks of associates and peer-learning relationships, and 6) Responsibility for managing one's own career
Problems facing New Employees
1) Problems in entering a group: Be acceptable to other group members? Be liked? Be safe? 2) Naïve expectations 3) First-job environment
Encouraging Performance
1) Provide a sufficient amount of rewards that employees really value 2) In a timely 3) Fair manne
Rating Methods or Formats
1) Relative Rating Systems: Comparing the performance of employees to that of other employees 2) Absolute Rating Systems: Evaluating each employee in terms of performance standards without reference to others 3) Results-Oriented Systems: Emphasis is on what employee produces
Why merit pay systems fail
1) Rewards are too small 2) Merit based pay fails to match union pay scales 3) Supervisors resist performance appraisal 4) Links between performance and rewards are weak 5) Annuity feature creates problems
Reasons why companies should not ignore career issues
1) Rising concerns for quality of work life and for personal life planning 2) Pressures to expand workforce diversity throughout all levels of an organization 3) Growing needs of firms to retain workers at all levels 4) Slow economic growth and reduced opportunities for advancement
Career Management Guidelines
1) Selecting a field of employment and an employer 2) Knowing where you are 3) Planning your exit
Ranking
1) Simple Ranking: requires only that a rater order all employees from highest to lowest, from "best" employee to "worst" employee. 2) Alternation ranking: requires that a rater initially list all employees on a sheet of paper. From this list he/she chooses the best employee (No. 1), then the worst employee (No. n), then the second best (no. 2), then the second worst (No. n -1), and so forth, alternating from the top to the bottom of the list until all employees have been ranked.
Individual development Plans (IDPs) include?
1) Statement of aims 2) Definitions 3) Ideas about priorities
Top Executive compensation types
1) Stock options 2) Restricted stock: Common stock vests after a specified period 3) Restricted stock units: Shares awarded over time to defer taxes 4) Performance shares: Essentially stock grants awarded for meeting goals 5) Performance accelerated shares: Stocks that vest sooner if the executive meets goals ahead of schedule
Assessing training needs and designing training programs.
1) The assessment phase (planning) serves as a foundation for the entire training effort 2) The training and development phase and the evaluation phase depend on inputs from assessment. The purpose of the assessment phase is to define what the employee should learn in relation to desired job behaviors 3) Evaluation must provide a continuous stream of feedback that can be used to reassess training needs, thereby creating input for the next stage of employee development
Impact of first Job
1) The first supervisor must be personally secure; unthreatened by the new subordinate's training, ambition, and energy; and able to communicate company norms and values 2) One other variable affects the likelihood of obtaining a high-level job later in one's career: initial aspirations
Who should evaluate performance? Possible raters
1) The immediate supervisor 2) Peers 3) Subordinates 4) Self-appraisal 5) Customers served 6) Computers
Collective Bargaining Affects two key factors
1) The level of wages 2) The behavior of workers in relevant labor markets
Purpose of Job Descriptions
1) They identify important characteristics of each job so that the relative worth of jobs can be determined 2) From them we can identify, define, and weight compensable factors (common job characteristics that an organization is willing to pay for, such as skill, effort, responsibility, and working conditions)
Viewing Compensation from a strategic perspective (firms actions)
1) They recognize compensation as a pivotal control and incentive mechanism that can be used flexibly by management to attain business objectives 2)They make the pay system an integral part of strategy formulation 3) They integrate pay considerations into strategic decision-making processes, such as those that involve planning and control 4) They view the firm's performance as the ultimate criterion of the success of strategic pay decisions and operational compensation programs
Transfer of Training
1) Transfer of training refers to the extent to which competencies learned in training can be applied on the job 2) Action learning, in which participants learn through experience and application, is an excellent vehicle for facilitating positive transfer from learning to doing
Four Key challenges in planning and administering a pay system
1) Understand economic and legal factors that determine pay levels 2) The compensation strategy to general business strategy 3) Develop systematic pay structures 4) Address key policy Issues
What is Fairness? Important Practices
1) Voice: Collect employee input through surveys or interviews 2) Consistency: Ensure that all employees are treated consistently when seeking input and communicating about the process for administering rewards 3) Relevance:Include rewards that employees really care about 4) Communication: Explain clearly the rules and logic of the rewards process
Types of Teams
1) Work or Service Teams: Intact teams engaged on routine tasks 2) Project Teams: Teams assembled for a specific purpose and expected to disband once their task is completed 3) Network Teams: Teams that include membership not constrained by time/space and membership is not limited by organizational boundaries
The subjective career
A career consists of a sense of where one is going in one's work life
The objective career
A career is a sequence of positions occupied by a person during the course of a lifetime
Team
A group of individuals who are working together toward a common goal
Organizational Entry Mentoring
A mentor is a teacher, an adviser, a sponsor, and a confidant
Management by Objectives (MBO)
A process of managing that relies on goal-setting to establish objectives for the organization as a whole, for each department, for each manager within each department, and for each employee.
What is driving the increasing costs of healthcare?
Aging population and an increase in obesity.
Annuity Problem
As past "merit payments" are incorporated into an individual's base salary, the payments form an annuity (a sum of money received at regular intervals) and allow formerly productive individuals to slack off for several years and still earn high pay
HIPPA makes health insurance more portable by which of the following:
Both A and B.
_________ represent logical and possible sequences of positions that could be held, based on an analysis of what people actually do in an organization.
Career paths
Successful management of dual career couples
Company supported child care, flexible work schedules, and customized career paths
Which act covers private-sector employees over age 21 enrolled in noncontributory (100% employer-paid) retirement plans who have one year's service?
ERISA
Purpose of Performance Appraisal Systems
Employment Decisions, Employee Feedback, Criteria in test validation, Objectives for training programs, Diagnosis of organizational problems.
The Pygmalion effect
Expectations have a way of becoming self-fulfilling prophecies, so that the higher the expectations (of trainers), the better the trainees perform. Conversely, the lower the expectations, the worse the trainees perform. This phenomenon of the self-fulfilling prophecy is known as the Pygmalion effect
Training Paradox
Increasing an individual's employability outside the company simultaneously increases his/her job security and desire to stay with the current employer
Which ratings format is likely to cause a great deal of employee resentment?
Forced distribution
In terms of the approaches to orientation, which of the following best describes "suffocation?"
Giving too much information too fast.
Defining Performance Key Elements
Goals, Measures, Assessment.
Which type of pay structure is feasible if all jobs are benchmark jobs and direct matches can be found in the market?
Market-based pay system
____ refers to the material that is rich in association for the trainees and is therefore easily understood by them.
Meaningfulness
Myths versus Facts about Older Workers
Myth: Older workers have an unacceptably high rate of accidents on the job Fact: Age is related positively to self-rated compliance with safety rules and procedures, and is related negatively to frequency of work injuries Myth: Older workers do not get along well with other employees Fact: Older adults display higher levels of emotional intelligence, and show less workplace aggression, on-the-job substance abuse, and tardiness Myth: The cost of health care benefits outweighs any other possible benefits from hiring older workers Fact: True, when older people get sick, the illness is often chronic and requires repeated doctor's visits and hospitalization Myth: Older people are less creative than younger ones Fact: Age is not related to employee creativity, either as rated by supervisors or by employees themselves Myth: You can't train older workers Fact: Older workers' training performance is slightly lower than that of younger workers Myth: Older people do not function well if constantly interrupted Fact: Neither do younger people
Frame of Reference Training
Of the many types of rater training programs available today, frame of reference training (FOR) is the most effective at improving the accuracy of performance appraisals
Reverse Mentoring
Older managers meet with younger subordinates to learn about new technology and electronic commerce
New Employee Orientation
Orientation is familiarization with and adaptation to a situation or an environment
Paul Principle
Over time, people become uneducated, and therefore incompetent, to perform at a level they once performed at adequately
Which of the following is NOT an area of payment covered by workers' compensation?
Payments to employers while injured workers are recovering
Which type of quitter plans in advance to quit at a specific time in the future, such as at age 60?
Preplanned
What type of team is assembled for a specific purpose and expected to disband after their task is completed?
Project
Career Paths
Represent logical and possible sequences of positions that could be held, based on an analysis of what people actually do in an organization
Which act states executives cannot retain bonuses or profits from selling company stock if they mislead the public about the financial health of the company?
Sarbanes-Oxley Act
Requirements of effective incentive systems
Simple, specific, attainable, and measurable
Psychological Success
The feeling of pride and personal accomplishment that comes from achieving one's most important goals in life, be they achievement, family happiness, inner peace, or something else.
Behaviorally Anchored Rating Scales
The major advantage of BARS is that they define the dimensions to be rated in behavioral terms and use critical incidents to describe various levels of performance
What is the purpose of the assessment phase of training?
To define what it is the employee should learn in relation to desired job behaviors.
What is training?
Training consists of planned programs designed to improve performance at the individual, group, and/or organizational levels
Performance Standards
Translate job requirements into levels of acceptable or unacceptable employee behavior. They play a critical role in the job analysis-performance appraisal linkage
Work Planning and Review
Work planning and review is similar to MBO; however, it places greater emphasis on the periodic review of work plans by both supervisor and subordinate in order to identify goals attained, problems encountered, and the need for training
The process of encouraging performance is concerned with all of the following except:
cost of rewards.
Limiting medicare payments to what Medicare would have paid for in the absences of a group health plan is another example of what is referred to as:
cost shifting
Evidence now indicates that the older people are, the more control they feel over:
finances
Organizational Entry Socialization
helps a newcomer to transition from an outsider to an effective and integrated insider
Organizational Reward System
includes anything an employee values and desires that an employer is able and willing to offer in exchange for employee contributions.
Goal Theory
is founded on the premise that an individual's conscious goals or intentions regulate his/her behavior
At the _______ level, we may choose to examine issues such as what types of training yield positive outcomes for organizations and trainees (i.e. what works).
micro level
The simplest type of absolute rating system is _____, in which a rater describes, in writing, an employee's strengths, weaknesses, and potential, together with suggestions for improvement.
narrative essay
Training that results in ______ is costly because of the cost of training (which proved to be useless) and the cost of hampered performance.
negative transfer of training
The process of "moving inside" or becoming more involved in a particular organization is:
organizational entry
_________ implies that there are clear links between the performance standards for a particular job and organizational objectives, and between the critical job elements identified through a job analysis and the dimensions to be rated on an appraisal form.
relevance
A career that consists of a sense of where a person is going in his or her work life is the ________ career
subjective
ESOP satisfaction tends to be highest in companies where:
the company makes relatively large annual contributions to the plan.
The efficiency wage hypothesis holds that:
there is payment of wage premiums by some employers to attract the best talent available and to enhance productivity in order to offset any increase in labor costs.
Demotions
usually involve a cut in pay, status, privilege, or opportunity
In the United States, about 90 percent of large and medium-sized companies now offer some kind of _____ such as profit-sharing and bonus awards.
variable pay
