MGMT 5820- HR Exam 1
Questions to identify HR related critical indicators or metrics:
How do customers see us? What must we excel at? Can we continuously improve and create value? How do we look to shareholders?
Concurrent Validation process-
Measure all current job incumbents on attribute, then measure all current job incumbents' performance to obtain correlation between these two sets of numbers.
Four Approaches Used in Job Design:
Mechanistic Motivational Biological Perceptual-motor
Recruitment Sources
Since recruitment sources are unlimited, an organization must decide how to reach the best sources of potential employees. The sources from which a company recruits potential employees are a critical aspect of its overall recruitment strategy
Statistical Process: Quality Control Techniques- 3. Pareto chart
highlights the most important cause of a problem. In a Pareto chart, causes are listed in decreasing order of importance, where importance is usually defined as the frequency with which that cause resulted in a problem. The assumption of Pareto analysis is that the majority of problems are the result of a small number of causes
5 Criteria of Performance Measures: Specificity
extent to which a performance measure gives specific guidance to employees about what is expected of them and how they can meet these expectations.
HRM Practices: Selection
identifying the applicants with the appropriate knowledge, skills, and ability.
Four Approaches Used in Job Design: Mechanistic- Scientific Management
is one of the earliest mechanistic approaches that sought to identify the one best way to perform the job through the use of time-and-motion studies.
Measuring Performance Approaches: Comparative Approach- Ranking
is one of the techniques that arrive at an overall assessment of the individual's performance Simple Ranking Alternative Ranking
Typical Rater Errors: Similar to Me
is the error we make when we judge those who are similar to us more highly than those who are not
5 Evaluation Selection Method Standards: Validity
is the extent to which a performance measure assesses all and only the relevant aspects of job performance.
Job Characteristics Model: Autonomy
is the extent to which a person receives clear information about performance effectiveness from the work itself
Job Characteristics Model: Feedback
is the extent to which the job has an important impact on the lives of other people.
Job Characteristics Model: Skill Variety
is the extent to which the job requires a variety of skills to carry out the tasks
Four Approaches Used in Job Design: Biological- Ergonomics
is the interface between individuals' psychological characteristics and the physical work environment. The biological approach has been applied in redesigning equipment used in jobs that are physically demanding. Such redesign is often aimed at reducing the physical demands of certain jobs so that anyone can perform them
5 Criteria of Performance Measures: Validity
extent to which the performance measure assesses all the relevant—and only the relevant—aspects of job performance. Validity is concerned with maximizing the overlap between actual job performance and the measure of job performance.
Diversity and EEO ISSUES: Sexual Harassment- Preventative 4 Steps to Ensure a Workplace Free of SH
for firms include development of a policy statement, training in inappropriate behaviors, development of a reporting mechanism, and disciplinary policy. Policy Statement Training Reporting mechanism Prompt disciplinary action
Types of Personnel Policies: Due process policies
formally lay out the steps an employee can take to appeal a termination decision
Structural Configuration: Functional
functional departmentalization high level of centralization high efficiency inflexible insensitive to subtle differences across products, regions and clients
Ethics
fundamental principles of right and wrong by which employees and companies interact
HRM Practices: Performance management
is the means through which managers ensure that employees' activities and outputs are congruent with the organization's goals. Pay structure, incentives, and benefits. Labor and employee relations.
5 Categories of Directional Strategies: Downsizing
is the planned elimination of large numbers of personnel, designed to enhance organizational effectiveness
HR Recruitment
is the practice or activity carried on by the organization with the primary purpose of identifying and attracting potential employees, designed to affect the number of people who apply for vacancies, the type of people who apply for them, and/or the likelihood that those applying for vacancies will accept positions if offered. The role of HR recruitment is to build a supply of potential new hires that the organization can draw on if the need arises. The goal of recruitment is to ensure that when a vacancy occurs, the organization has a number of reasonably qualified applicants to choose from.
Job Design
is the process of defining how work will be performed and the tasks that will be required in a given job.
2 Types of Knowledge: Explicit Knowledge
is well documented, easily articulated and transferred person to person. Examples include charts, checklists, flowcharts, formulas, definitions and processes
3 Types of Discrimination: disparate impact- Griggs v. Duke Power
it was shown that the employer required either a high school diploma or passing scores on two nationally developed tests. However, the company had not studied the relationship of these selection devices to ability to do the job. Employees already on the job without high school degrees were performing satisfactorily. Thus, Duke Power lost the case.
Basic Skills: Reading and Writing Abilities
level of difficulty of written materials
Continuous Learning: High-Leverage Training
linked to strategic business goals and objectives, supported by top management, relies on an instructional design model, and is benchmarked to programs in other organizations.
Job Specification
list of skills, knowledge, abilities, and other characteristics (KSAOs) knowledge, skills, abilities and other characteristics
Job Description
list of tasks, duties, and responsibilities (TDRs) tasks, duties and responsibilities
3 Phases of Cross-Cultural Preparation: Pre-departure Phase
phase, employees need to receive language training and an orientation to the new country's culture and customs.
3 Types of Discrimination: reasonable accommodation
places a special obligation on an employer to affirmatively accommodate an individual's disability or religion.
Kaizen
practices participated in by employees from all levels of the company that focus on continuous improvement of business processes The most effective way of measuring performance is to rely on a combination of two or more alternatives.
3 Phases of Cross-Cultural Preparation: Repatriation Phase
prepares expatriates for return to the parent company and country from a foreign assignment.
Training Process: 5. Select training methods
presentational methods and hands-on methods
Work Flow Design
process of analyzing tasks necessary for production of a product or service, prior to assigning tasks to a particular job category or person.
Managing Diversity
process of creating an environment that allows all employees to contribute to organizational goals and experience personal growth.
Cost-benefit Analysis
process of determining a training program's economic benefits using accounting methods
Job Analysis
process of getting detailed information about jobs.
Continuous Learning
requires employees to understand the entire work process, acquire and apply new skills and share what they have learned. -Informal Learning -Formal Training -Knowledge Management
Vietnam Era Veteran's Readjustment Act of 1974
requires federal contractors to take affirmative action toward employing Vietnam veterans
Measuring Performance Approaches: Comparative Approach- Paired Comparison
requires managers to compare every employee with every other employee in the work group, giving an employee a score of one every time he or she is considered the higher performer. Employees are ranked by how many points they receive.
Behavioral Approach Types: 1. Critical Incidents
requires managers to keep a record of specific examples of effective and ineffective performance for each employee.
Measuring Performance Approaches: Comparative Approach- Ranking Simple Ranking
requires managers to rank employees within their departments from highest performer to poorest performer
Equal Pay Act of 1963
requires that men and women in the same organization who are doing equal work must be paid equally. Covers employers engaged in interstate commerce
Measuring Performance Approaches: Comparative Approach- Forced Distribution
requires the managers to put certain percentages of employees into predetermined categories.
Executive Order 11246 parallels the Civil Rights Act of 1964 and goes beyond by:
requiring affirmative action to hire qualified protected group applicants and allowing the government to suspend all business with a contractor during an investigation.
Training Process: 4. Ensure transfer of training
self-management strategies and peer and manager support
Types of Selection Methods: Situational Interviews Future-Oriented Questions
"Future-oriented" questions ask what the person is likely to do when confronting a certain hypothetical situation in the future. -Motivating Employees -Resolved a Conflict -Overcoming Resistance to Change
3 Areas of Recruiting
(1) personnel policies, which affect the kinds of jobs the company has to offer; (2) recruitment sources used to solicit applicants, which affect the kinds of people who apply; and (3) characteristics and behaviors of the recruiter that influence the nature of vacancies and of people applying for jobs that shapes job choice decisions.
Quality Approach:
A (PMS) designed with a strong quality orientation can: -Assess both person and system factors in the measurement system. -Emphasize managers and employees working together to solve performance problems. -Involve both internal and external customers in setting standards and measuring performance. -Use multiple sources to evaluate person and system factors. Sustainability is key element of quality approach.
Types of Personnel Policies: Internal versus external recruiting
A decision must be made on whether to recruit from within or outside the organization
5 Categories of Directional Strategies: Internal Growth
A focus on new market and product development, innovation, and joint ventures
Job Characteristics Model
A model of how job design affects employee reaction Skill Variety Task Identity Task Significance Autonomy Feedback These five job characteristics determine the motivating potential of a job by affecting three psychological states: experienced meaningfulness, responsibility, and knowledge of results
Types of Selection Methods: Situational Interviews
A situational interview confronts applicants on specific issues, questions, or problems likely to arise on the job. Consists of: Experience-based questions Future-oriented questions
5 Categories of Directional Strategies: Concentration
A strategy focusing on increasing market share, reducing costs, or creating and maintaining a market niche for products and services
Work Environment Characteristics Influencing Transfer of Training: Peer support
A support network is a group of two or more trainees who agree to meet and discuss their progress in using learned capabilities on the job, in face-to-face meetings or communications via e-mail.
Porter's Strategies
According to Michael Porter, competitive advantage stems from a company's being able to create value in its production process. Value can be created in one of two ways, either reducing costs or differentiating product or service in such a way that it allows the company to charge a premium price relative to its competitors. Cost & Differentiation
Pregnancy Discrimination Act
Act-An amendment to Title VII of the Civil Rights Act, it prohibits discrimination on the basis of pregnancy, childbirth, or related medical conditions: i.e., it is a form of unlawful sex discrimination. In addition, regarding pregnancy and maternity leave, employers may not single out pregnancy-related conditions for special procedures to determine an employee's ability to work, and if an employee is temporarily unable to perform during her pregnancy, the employer must treat her the same as any temporarily disabled employees. The act also requires that any health insurance must cover expenses for pregnancy-related conditions on the same basis as costs for other medical conditions. Pregnancy-related benefits cannot be limited to married employees, and if an employer provides any benefits to workers on leave, they must also provide the same benefits for those on leave for pregnancy-related conditions. It covers employers with more than 15 employees.
Strategic Planning and HRM Linkages:
Administrative One-Way Integrative Two-Way
HR as a Business with 3 Product Lines
Administrative Services and Transactions Business Partner Services Strategic Partner
Strategic Planning and HRM Linkages: Administrative
Administrative linkage is the lowest level of interaction. HRM function's attention is focused on day-to-day activities
3 Purposes of Performance Management (PMS)
Administrative- perf appraisal, retention/term, pay Strategic- links to goals of organ. and influence employees Developmental- perf feedback, talent mgmt
how is HRM function changing?
As part of its strategic role, HR can engage in evidence-based HR.
Training Process: 2. Ensure employees' readiness for training
Attitudes and motivation and basic skills
3 Stages in HR Planning: Forecasting- Determine Labor Surplus or Shortage
By comparing forecasts for labor supply and demand for specific jobs, the organization can determine what it needs to do.
Two Dimensions of Organization Structure:
Centralization Departmentalization
To help ensure the success of outsourcing:
Choose an established, large outsourcing vendor. Jobs that are proprietary or require tight security should not be outsourced. Start small and monitor constantly.
To successfully manage a diverse workforce, managers must develop a new set of skills, including:
Communicating effectively with employees from a wide variety of cultural and educational backgrounds, ethnicity, age, ability and race. Coaching and developing employees of different ages, educational backgrounds, ethnicity, physical ability, and race. Providing performance feedback that is based on objective outcomes. Recognizing and responding to generational issues. Understanding diversity is important for tapping all employees' creative, cultural, and communication skills and using those skills to provide competitive advantage.
Global Challenges
Companies must deal with the global economy, compete in and develop global markets and prepare employees for global assignments. Offshoring Reshoring Onshoring
Withstand Legal Scrutiny
Conduct a valid job analysis related to performance. Base system on specific behaviors or results. Train raters to use system correctly. Review performance ratings and allow for employee appeal. Provide guidance/support for poor performers. Use multiple raters. Document performance evaluations.
Recruiter Impacts: Recruiter's Realism
Deceiving candidates about the negative elements of a job may increase later turnover; however, telling candidates about negative elements does not appear to inoculate them against disappointment or make negative elements go away. Personnel policies that affect the job's attributes are likely to be more critical than recruiter realism.
Four Approaches Used in Job Design: Mechanistic Positive Outcomes
Decreased training time Higher utilization levels Lower likelihood of error Less chance of mental overload and stress
Big 5 Dimensions of Personality Inventories: 4. Conscientiousness
Dependable, organized, persevering, thorough, achievement-oriented
Determining Return on Investment (ROI)
Determine costs Determine benefits Make the analysis
Recruitment Sources: Direct Applicants and Referrals
Direct applicants are people who apply for a vacancy without prompting from an organization. Referrals are people who are prompted to apply for a vacancy by someone within the organization.
Work Environment Characteristics Influencing Transfer of Training: Technological support
Electronic performance support systems (EPSS) are computer applications that can provide, as requested, skills training, information access, and expert advice.
3 Types of Discrimination: reasonable accommodation- Disability and Accommodation
Employers are not only to refrain from discrimination (ADA) but they are also obligated to take affirmative steps to accommodate individuals who are protected under the act. Under disability claims, the plaintiff must show that she or he is a qualified applicant with a disability and that adverse action was taken by a covered entity. The employer's defense then depends on whether the decision was made without regard to the disability or in light of the disability. Examples of reasonable accommodation with regard to disabilities include readily accessible facilities, job restructuring, reassignment, alternative testing formats, readers, additional time, interpreters, or reading assistance technology own accommodation etc
3 Components of Office of Federal Contract Compliance Programs (OFCCP): Action steps
Employers must develop a list of action steps, which are the written affirmative plan that specifies what an employer plans to do to reduce underutilization of protected groups
responsibilities of HR departments
Employment and Recruiting Training and Development Compensation Benefits Employee Services Employee and Community Relations Personnel Records Health and Safety Strategic Planning
Enforcement of EEO by:
Equal Employment Opportunity Commission (EEOC) Office of Federal Contract Compliance Programs
Evaluation Design
Factors to consider in choosing an evaluation design include the size of the training program, purpose, and the implications if a training program does not work. Other factors include the company norms regarding evaluation, costs of designing and conducting an evaluation, and the need for speed in obtaining program effectiveness information.
Balanced Scorecard Approach: Financial
Financial focuses on creating sustainable growth in shareholder value.
Predictive validation process-
For predictive validation, to obtain correlation between measurements: 1. Measure all job applicants on attribute. 2. Hire applicants and reject others. 3. Wait. 4. Measure all newly hired job incumbents' performance.
Structural Configuration:
Functional Divisional
Task Analysis
Identify jobs Develop task list Validate tasks Identify knowledge, skills and abilities
Strategic Planning and HRM Linkages: One-Way
In one-way, the firm's strategic business planning function develops the strategic plan then informs the HRM function of the plan.
3 Competitive Challenges Influencing HRM: Globalization
In order to survive, U.S. companies must improve HRM practices, develop global markets and better prepare employees for global assignments
Four Approaches Used in Job Design: Motivational Negative Outcomes
Increased training time Lower utilization levels Greater likelihood of error Greater chance of mental overload and stress
Types of Personnel Policies: Extrinsic versus intrinsic rewards
Lead‑the‑market pay strategy is a policy of paying higher than current market wages.
Balanced Scorecard Approach: Learning and Growth
Learning and growth focuses on company's capacity to innovate and continuously improve.
Four Approaches Used in Job Design: Biological Positive Outcome
Less physical effort Less physical fatigue Fewer health complaints Fewer medical incidences Lower absenteeism Higher job satisfaction
To increase employee self-efficacy level:
Let employees know that the purpose of training is to improve performance rather than to identify areas in which employees are incompetent. Provide as much information as possible about the training program and purpose prior to actual training. Show employees their peers' training success. Provide employees feedback that learning is under their control, and that they have the ability and responsibility to overcome learning difficulties experienced in the program.
OSHA Inspections Citations and Penalties
OSHA inspections are conducted by compliance officers, specially trained Department of Labor agents. Violation results in a citation to the employer. Criminal and civil penalties OSHA is responsible for inspecting businesses, applying safety and health standards, and levying fines for violations. OSHA regulations prohibit notifying employers of inspections in advance. OSHA inspections are conducted by specially trained agents of the Department of Labor called compliance officers. If compliance officers believe that a violation has occurred, they issue a citation to the employer specifying the practice or situation that violates the act. Criminal and civil penalties may be assessed for willful violations that kill an employee. OSHA has been unquestionably successful in raising the level of awareness of occupational safety, yet legislation alone cannot solve all the problems of work site safety.
Occupational Safety and Health Act (OSHA) and the General Duty Clause
Occupational Safety and Health Act (OSHA) authorizes the federal government to establish and enforce occupational safety and health standards for all places of employment engaging in interstate commerce. --The General duty clause of OSHA states that an employer has an overall obligation to furnish employees with a place of employment free from recognized hazards.
3 Types of Discrimination: disparate treatment- Burden of Proof
Plaintiff has the burden of proving that the defendant committed an illegal act; the idea of a "prima facie" case. Plaintiff meets prima facie burden by showing four things: 1. Plaintiff belongs to a protected group. 2. Plaintiff applied for and was qualified for the job. 3. Despite possessing qualifications, plaintiff was rejected. 4. After plaintiff was rejected, the position remained open and the employer continued to seek applicants with similar qualifications, or the position was filled by someone with similar qualifications.
3 Types of Discrimination: disparate impact- Pattern and Practice
Plaintiffs attempt to show three things in showing class action pattern and practice lawsuits: 1. Statistical disparities between the composition of some group within the company compared to some other relevant group 2. Plaintiff tries to show individual acts of intentional discrimination that suggest that the statistical disparity is a function of the larger culture. 3. Plaintiff usually tries to make the case that the promotion and/or pay procedures leave too much discretion to managers, providing the avenue through which their unconscious biases can play a part.
Affirmative Action Planning: Workforce Utilization Review
Plan for various subgroups within a labor force. -Workforce utilization review is a comparison of the proportion of workers in protected subgroups with the proportion that each subgroup represents.
3 Phases of Cross-Cultural Preparation
Pre-departure Phase On-Site Phase Repatriation Phase
5 Evaluation Selection Method Standards: Validity- Types of Criterion-related Validity
Predictive validation Concurrent validation
Change and Its Effect on Employment Relationships
Psychological Contract + Alternative Work Arrangements = Changes in Employment Expectations
Typical Rater Errors: Leniency
Rater gives high ratings to all employees regardless of their performance
Typical Rater Errors: Strictness
Rater gives low ratings to all employees regardless of their performance
Diversity and EEO ISSUES:
Sexual Harassment Affirmative Action and Reverse Discrimination Outcomes of Americans with Disabilities Act
Big 5 Dimensions of Personality Inventories: 1. Extroversion:
Sociable, gregarious, assertive, talkative, expressive
Economy - Implications for HR
Structure of the economy Social collaboration and social networking technology Growth in professional and service occupations Changing job skill demands The competition for labor - affected by the growth and decline of industries and availability of number and skills of persons. Skill demands for jobs are changing. Knowledge is becoming more valuable.
3 Competitive Challenges Influencing HRM:
Technology Sustainability Globalization
Technology Challenge
Technology has reshaped the way we play, plan our lives, and where we work. The Internet has created a new business model - e-commerce - in which business transactions and relationships can be conducted electronically. Advanced Technology Social Networking Internet
The 1991 Act differs from the 1964 Act by:
The 1991 act differs from the 1964 act in three areas: It establishes employers' explicit obligation to establish neutral-appearing selection method. It allows a jury to decide punitive damages. It explicitly prohibits the granting of preferential treatment to minority groups. Most litigation is based on gender and race.
3 Stages in HR Planning: Forecasting
The attempts to determine the supply of and demand for various types of human resources to predict areas within the organization where there will be future labor shortages or surpluses
Early Retirement Programs
The average age of U.S. workforce is increasing. Baby boomers are not retiring early due to: -improved health -fear that Social Security will be cut -mandatory retirement is outlawed -collapse of the financial and housing markets made it economically unviable to retire Many employers try voluntary attrition among older workers through early retirement incentive programs.
Customer Service and Quality Example
The emphasis on quality is seen in the following: Malcolm Baldrige National Quality Award was established in 1987 to promote quality awareness, to recognize quality achievements, and to publicize successful quality strategies. The categories of examination include: leadership, measurement, analysis and knowledge, strategic planning, workforce, operations, customer focus and design improvement. ISO 9000:2000 quality standards adopted worldwide. Six Sigma process system of measuring, analyzing, improving, and controlling processes once they meet quality standards. Lean thinking is a way to do more with less effort, time, equipment, and space, but still provide customers with what they need and want. Part of lean thinking includes training workers in new skills or how to apply old skills in new ways so they can quickly take over new responsibilities or use new skills to help fill customer orders.
3 Components of Office of Federal Contract Compliance Programs (OFCCP): Goals and timetables
The employer must develop specific goals and timetables for achieving balance in the workforce to specify percentage of women and minorities that an employer seeks, and date by which that percentage is to be attained.
Results Approach: Productivity measurement and evaluation system (ProMES)
The goal of ProMES is to motivate employees to higher levels of productivity. Four steps: 1. Identify objectives, products, or set of activities or objectives that the organization expects to accomplish; staff defines indicators of the products; 2. Staff establishes contingencies between the amount of the indicators and the level of evaluation associated with the amount; 3. A feedback system- provides employees and groups with information about their specific level of performance on each indicators. 4. ProMES -measures and feeds back productivity information to personnel.
Recruitment Sources: Electronic Recruiting
The growth of the information highway as opened up new vistas for organizations trying to recruit talent such as social networking sites., niche boards, search engine sites as well as job boards. Social networking sites such as LinkedIn, Facebook, etc. Help recruiters reach applicants.
Change and Its Effect on Employment Relationships: Changes in Employment Expectations
The need for companies to make rapid changes is reshaping the employment contracts. The psychological contract describes what an employee expects to contribute and what the company will provide to the employee for these contributions.
2 Phases of Strategic Management: Strategy Implementation
The organization follows through on the strategy that has been chosen. This includes structuring the organization, allocating resources, ensuring that the firm has skilled employees in place, and developing reward systems that align employee behavior with the strategic goals. This process entails a constant cycling of information and decision making.
Job Analysis: 6 Sections of Position Analysis Questionnaire (PAQ)- 3. Work output
The physical activities, tools, and devices used by the worker to perform the job.
Job Analysis: 6 Sections of Position Analysis Questionnaire (PAQ)- 5. Job context
The physical and social contexts where the work is performed.
3 Stages in HR Planning: Program Implementation and Evaluation
The programs developed in the strategic-choice stage of the process are put into practice in the program-implementation stage. A critical aspect is to make sure that some individual is held accountable for achieving the stated goals and has the necessary authority and resources to accomplish this goal. It is also important to have regular progress reports on the implementation to be sure that all programs are in place by specified times and that the early returns from these programs are in line with projections. The final step in the planning process is to evaluate the results.
Job Analysis: 6 Sections of Position Analysis Questionnaire (PAQ)- 2. Mental processes
The reasoning, decision making, planning, and information processing activities that are involved in performing the job.
Recruiter Impacts: Recruiter's Functional Area
The recruiter is likely to be perceived as more credible if he or she is from the same functional area the recruit is being considered for
Job Analysis: 6 Sections of Position Analysis Questionnaire (PAQ)- 4. Relationships with other persons
The relationships with other people required in performing the job.
Job Analysis: Fleishman Job Analysis System (FJAS)
This approach defines abilities as enduring attributes of individuals that account for differences in performance. The system is based on taxonomy of 52 cognitive, psychomotor, physical, and sensory abilities that adequately represent all the dimensions relevant to work.
strategic role of HRM function:
Time spent on administrative tasks is decreasing. HR roles as a strategic business partner, change agent and employee advocate are increasing. HR is challenged to shift focus from current operations to future strategies and prepare non-HR managers to develop and implement HR practices. This shift presents two challenges: Self-service Outsourcing
Title VII Retaliation for Participation and Opposition
Title VII states that employers cannot retaliate against employees for either "opposing" a perceived illegal employment practice or "participating in a proceeding" related to an alleged illegal employment practice. Employees do not have an unlimited right to talk about how racist or sexist their employers are.
Strategic Human Resource Management
To take a strategic approach to HRM, first understand the role of HRM in the strategic management process. HR managers should be trained to identify the competitive issues the company faces with regard to human resources and think strategically about how to respond. Strategic HRM is the pattern of planned HR deployments and activities intended to enable an organization to achieve its goals.
Types of Selection Methods: physical ability tests
Two Questions to Ask: Is physical ability essential to perform the job? Is it mentioned prominently enough in the job description? Tests Measure: muscular power and endurance cardiovascular endurance flexibility balance coordination
Strategic Planning and HRM Linkages: Two-Way
Two-way linkage allows for consideration of HR issues during the strategy formulation process
Diversity and EEO ISSUES: Outcomes of Americans with Disabilities Act
Under ADA, a firm must make "reasonable accommodation" to a physically or mentally disabled individual unless doing so would impose "undue hardship."
3 Components of Office of Federal Contract Compliance Programs (OFCCP):
Utilization analysis Goals and timetables Action steps
3 Components of Office of Federal Contract Compliance Programs (OFCCP): Utilization analysis
Utilization analysis compares the race, sex, and ethnic composition of the employer's workforce with that of the available labor supply
HR's strategic role in the business
What is HR doing to provide value-added services to internal clients? How are you measuring HR effectiveness? How can we reinvest in employees? What HR strategy will get the business from point A to point B? What makes an employee want to stay? How will we invest in HR for a better HR department than competitors? What should we be doing to improve our marketplace position? What's the best change to prepare for the future? **If these questions have not been considered, it is highly unlikely that (1) the company is prepared to deal with competitive challenges or (2) human resources are being used to help a company gain a competitive advantage
Job Analysis: 6 Sections of Position Analysis Questionnaire (PAQ)- 1. Information input
Where and how a worker gets information needed to perform the job.
competitiveness
a company's ability to maintain and gain market share.
Types of Selection Methods: work samples test- Assessment Center
a process in which multiple raters evaluate employees' performance on exercises.
3 Types of Discrimination: disparate impact- Four-Fifths Rule
a test has disparate impact if the hiring rate for the minority group is less than four-fifths (80 percent) of the hiring rate for the majority group
Civil Rights Act of 1991
allows compensatory and punitive damages when discrimination has been intentional or reckless
HRM practices
analysis and design of work HR planning recruiting selection training and development compensation performance management employee relations
Diversity
any dimension that differentiates a person from another.
Measuring Performance Approaches: Comparative Approach
approach to performance requires the rater to compare an individual's performance with that of others. This approach usually uses some overall assessment of an individual's performance or worth and seeks to develop some ranking of the individuals within a work group. At least three techniques fall under the comparative approach: ranking, forced distribution, and paired comparison
shared service model: business partners
are HR staff members who work with managers on strategic issues such as creating new compensation plans or development programs for preparing high-level managers
shared service model: service centers
are a central place for administration and transactional tasks such as enrolling in training programs or benefits that employees and managers can access online.
Measuring Performance Approaches: Attributive Approach- Mixed-Standards Scales
are developed by defining the relevant performance dimensions with statements representing good, average, and poor performance along each dimension
Executive Orders
are directives issued and amended unilaterally by the president.
Intangible Assets: Knowledge Workers
are employees who contribute to the company not through manual labor but through a specialized body of knowledge
Competencies
are sets of skills, knowledge, abilities and personal characteristics that enable employees to successfully perform their jobs.
Safety Awareness Program
attempt to instill symbolic and substantive changes to a safety program.
Advanced in Technology have increased: Cloud Computing
computing system that provides information technology infrastructure over a network in a self-service, modifiable, and on-demand Model.
5 Categories of Directional Strategies
concentration, internal growth, external growth, downsizing, mergers and acquisitions
Types of Selection Methods: cognitive ability tests- Commonly assessed abilities: quantitative ability
concerns the speed and accuracy at which one can solve arithmetic problems
5 Criteria of Performance Measures: Reliability
consistency of the performance measure.
Vocational Rehabilitation Act of 1973
covers federal contractors and requires them to engage in affirmative action for disabled individuals
Generalizability
degree to which the validity of a selection method established in one context extends to other contexts.
3 Types of Discrimination: disparate treatment- McDonnell Douglas Corp. v. Green
delineated the four criteria for a prima facie case of discrimination.
3 Stages in HR Planning: Forecasting- Determine Labor Demand
derived from product/service demanded external in nature
Demanding Work, but with More Flexibility
employees may face longer hours, shifts, increasing work demands and accessibility to accommodate globalization and technology and may result in more stress and less satisfaction.
Reducing Rater Errors and Politics Appraisal Politics
evaluators purposefully distorting a rating to achieve goals.
3 Types of Discrimination: disparate treatment
exists when individuals in similar situations are treated differently based upon race, color, religion, sex, national origin, age, or disability status. Whenever individuals are treated differently because of their race, sex, or the like, and there is an actual intent to treat them differently; the plaintiff must prove that there was a discriminatory motive—that is, that the employer intended to discriminate.
Global Challenges: Offshoring
exporting jobs from developed countries to less developed countries
Global Challenges: Onshoring
exporting jobs to the rural parts of the US
Executive Order 11478-
government employment policies based on merit and fitness requires the federal government to base all its employment policies on merit and fitness and specifies that race, color, sex, religion, and national origin should not be considered
Four Approaches Used in Job Design: Mechanistic
has roots in classical industrial engineering. The focus of the mechanistic approach is identifying the simplest way to structure work that maximizes efficiency. This most often entails reducing the complexity of the work to provide more human resource efficiency—that is, making the work so simple that anyone can be trained quickly and easily to perform it. This approach focuses on designing jobs around the concepts of task specialization, skill simplification, and repetition. Specialization Skill variety Work methods autonomy
Competency Model
identifies competencies necessary for each model and provides descriptions common for an entire occupation, organization, job family or specific job, useful for recruiting, selection, training and development.
Strategy Formulation: Strategic Management Process
include mission, goals, external and internal analysis and strategic choice. Mission is a statement of the organization's reason for being; it usually specifies the customers served, the needs satisfied and/or the values received by the customers, and the technology used. Goals are what it hopes to achieve in the medium- to long-term future; they reflect how the mission will be operationalized.
Balanced Scorecard Approach:
includes four perspectives of performance - financial, customer, internal or operations and learning and growth.
3 Competitive Challenges Influencing HRM: Sustainability
includes providing a return to shareholders, providing high quality products and services and experiences for employees, social responsibility, and effectively using new work arrangements.
Types of Selection Methods
interviews honesty tests and drug tests work samples personality inventories cognitive ability tests physical ability tests references and biographical data
Statistical Process: Quality Control Techniques- 4. Control chart
involve collecting data at multiple points in time. By collecting data at different times, employees can identify what factors contribute to an outcome and when they tend to occur
Work Teams
involve employees with various skills who interact to assemble a product or provide a service and may assume many of the activities usually reserved for managers, including selecting new team members, scheduling work, and coordinating activities with customers and other units in the company.
Performance Feedback
is a process that is complex and provokes anxiety for both the manager and the employee. If employees are not made aware of how their performance is not meeting expectations, their performance will almost certainly not improve and may get worse. Effective managers provide specific performance feedback in a way that elicits positive behavioral responses
Offshoring
is a special case of outsourcing where the jobs that move actually leave one country and go to another.
Job Analysis: Position Analysis Questionnaire (PAQ)
is a standardized job‑analysis questionnaire containing 194 items representing work behaviors, work conditions, or job characteristics that are generalizable across a variety of jobs.
ADDIE Model
is a systematic approach for developing training programs. analysis, design, development, implementation, evaluation
Content Validation
is a test-validation strategy performed by demonstrating that the items, questions, or problems posed by a test are a representative sample of the kinds of situations or problems that occur on the job. Best for small samples Achieved primarily through expert judgment
Behavioral Approach Types: 3. Behavioral observation scales (BOS)
is a variation of a BARS developed from critical incidents but use a larger number of the behaviors that are necessary for effective performance. Rather than assessing which behavior best reflects an individual's performance, a BOS requires managers to rate the frequency with which the employee exhibited each behavior during the rating period. These ratings are then averaged to compute an overall performance rating .
Lean Production
is processes that emphasize manufacturing goods with minimum amount of time, materials, money and people to leverage technology and flexible, well-trained and skilled personnel to produce more custom products for less.
Enforcement of EEO by: Office of Federal Contract Compliance Programs
is responsible for enforcing executive orders that cover companies that have federal government contracts
Job Characteristics Model: Task Identity
is the degree to which a job requires completing a "whole" piece of work from beginning to end
5 Evaluation Selection Method Standards: Reliability
is the degree to which a measure of physical or cognitive abilities or traits is free from random error.
Utility
is the degree to which the information provided by selection methods enhances the effectiveness of selecting personnel in organizations. Utility is impacted by reliability, validity, and generalizability. Other factors will influence utility even when the latter is constant. For example, the selection ratio, which is the percentage of people tested versus the total number of applicants, will impact utility as well as the number of people selected, rate of employee turnover, and level of performance among those who leave.
Job Characteristics Model: Task Significance
is the degree to which the job allows an individual to make decisions about the way the work will be carried out
Ensure Employee Motivation for Learning: Motivation to Learn
is the desire of the trainee to learn the content of the training program that includes having the energy to learn, directing that energy toward learning and being able to exert the effort to learn even when faced with difficulties.
Talent management
is the systematic planned strategic effort by a company to use bundles of HRM practices including acquiring and assessing employees, learning and development, performance management, and compensation to attract, retain, develop, and motivate highly skilled employees and managers. This means recognizing that all HR practices are related and aligned with business needs, and help the organization manage talent to meet business goals
Work Flow Analysis
is useful in providing a means for managers to understand all tasks required to produce a high-quality product and the skills necessary to perform those tasks. Includes: work outputs work processes work inputs
Training Process: 3. Create a learning environment
learning objectives and training outcome, material, practice, feedback, observation of others and administering and coordinating program
Recruitment Sources: Colleges and universities
may be an important source for entry level professionals. To increase effectiveness, organizations employ internship programs to get early access to potential applicants and to assess their capabilities directly.
2 Types of Knowledge: Tacit Knowledge
personal knowledge based on individual experience difficult to codify
sustainability includes the ability to:
provide a return to shareholders provide high-quality products, services, and work experiences for employees increase value placed on intangible assets and human capital and social responsibility adapt to changing characteristics and expectations of the labor force address legal and ethical issues effectively use new work arrangements
sustainability
refers to the ability of a company to survive and succeed in a dynamic competitive environment. Sustainability includes the ability to deal with economic and social changes, practice environmental responsibility, engage in responsible and ethical business practices, provide high-quality products and services, and put in place methods to determine if the company is meeting stakeholders' needs.
Performance Management System (PMS)
should link employee activities with the organization's goals. Important uses for PMS is to help motivate and reward employees for effective performance, identify employees' strengths and weaknesses, link employees to appropriate training and development activity, and reward good performance with pay and other incentives.
Statistical Process: Quality Control Techniques- 6. Scattergram
show the relationship between two variables, events, or different pieces of data and help employees determine whether the relationship between two variables or events is positive, negative, or zero
Types of Selection Methods: work samples
simulate a job in miniaturized form
Behavioral Approach Types: 2. Behaviorally anchored rating scales (BARS).
specifically define performance dimensions by developing behavioral anchors associated with different levels of performance
Types of Personnel Policies: Employment-at-will policies
state that either party in the employment relationship can terminate that relationship at anytime, regardless of cause. Companies that do not have employment at will typically have extensive due process policies that describe steps an employee can take to appeal a termination decision.
Advanced in Technology have increased: HR Dashboard Metrics
such as productivity and absenteeism that are accessible by employees and managers through the company internet or HRIS.
HR as a Business with 3 Product Lines: Business Partner Services
systems and helping implement business plans, talent management. • Emphasis: Knowing the business and exercising influence—problem solving, designing effective systems to ensure needed competencies
HRM Practices: Development
the acquisition of knowledge, skills, and behavior that improve employees' ability to meet the challenges of future jobs.
Equal Employment Opportunity (EEO)
the government's attempt to ensure that all individuals have an equal chance for employment, regardless of race, color, religion, sex or national origin.
3 Stages in HR Planning: Goal Setting and Strategic Planning
to focus attention on the problem and provide a benchmark for determining the relative success of any programs aimed at redressing a pending labor shortage or surplus. The goals should come directly from the analysis of labor supply and demand and should include a specific figure for what should happen with the job category or skill area and a specific timetable for when results should be achieved
6 HR competencies: Business Ally
understands how the business makes money and the language of the business.
5 Criteria of Performance Measures: Acceptability
whether the people who use the performance measure accept it. Acceptability is affected by the extent to which employees believe the performance management system is fair. Performance management systems that are perceived as unfair are likely to be legally challenged, be used incorrectly, and decrease employee motivation to improve.
Advanced in Technology have increased: HR Information Systems (HRIS)
which are used to acquire, store, manipulate, analyze, retrieve, and distribute HR information .
Structural Configuration: Divisional
workflow departmentalization low level of centralization semi-autonomous flexible and innovative sensitive to subtle differences across products, regions and clients
Typical Rater Errors: Horns
works in the opposite direction: one negative aspect results in the rater assigning low ratings to all the other aspects. Horns error makes employees frustrated and defensive
Balanced scorecard
provides a view of the company from the perspective of internal and external customers, employees and shareholders
6 HR competencies: Strategic architect
recognizes business trends and their impact on the business, practice evidence-based HR, and develops people strategies that contribute to the business strategy.
Downsizing
planned elimination of large numbers of personnel to enhance organizational competitiveness.
Work Environment Characteristics Influencing Transfer of Training: Self-management
refers to the process of enhancing company performance by designing and implementing tools, processes, systems, structures, and cultures to improve the creation, sharing, and use of knowledge.
Continuous Learning: Knowledge Management
refers to the process of enhancing company performance by designing and implementing tools, processes, systems, structures, and cultures to improve the creation, sharing, and use of knowledge. Knowledge management contributes to informal learning.
Climate for Transfer
refers to trainees' perceptions about a wide variety of characteristics of the work environment that facilitate or inhibit use of trained skills or behavior
Organization Structure
relatively stable and formal network of vertical and horizontal interconnections among jobs that constitute the organization.
Batch Work Methods
use large groups of low skilled employees to churn out long runs of identical mass products stored in inventories for later sale.
Behavioral Approach Types: 5. Assessment centers
used for measuring managerial performance. During assessment, individuals perform a number of simulated tasks, and assessors observe and evaluate the individual's skill or potential as a manager.
Typical Rater Errors
Similar to Me Contrast Leniency Strictness Central Tendency Halo Horns
Types of Diversity Training
attitude awareness and change programs and behavior-based programs
HRM Practices: Job analysis
the process of getting detailed information about jobs.
Measuring Performance Approaches:
Comparative Approach Attributive Approach
Negative Effects of Downsizing
Long-term effects of an improperly managed downsizing effort can be negative. Lower long-term profit, performance and productivity Loss of talent Disrupts social networks needed for creativity and innovation
Ways to Manage Performance: Deadwood
Low ability and motivation; managerial action, outplacement, demotion, firing
Four Approaches Used in Job Design: Perceptual-motor Negative Outcomes
Lower job satisfaction Lower motivation
Four Approaches Used in Job Design: Mechanistic Negative Outcomes
Lower job satisfaction Lower motivation Higher absenteeism
Four Approaches Used in Job Design: Perceptual-motor Positive Outcomes
Lower likelihood of error Lower likelihood of accidents Less chance of mental overload and stress Lower training time Higher utilization levels
Four Approaches Used in Job Design: Biological Negative Outcomes
Higher financial costs because of changes in equipment or job environment
Four Approaches Used in Job Design: Motivational Positive Outcomes
Higher job satisfaction Higher motivation Greater job involvement Lower absenteeism
Predictive validation is superior to Concurrent validation because:
(a) job applicants are typically more motivated to perform well on the tests than are current employees, (b) current employees have learned many things on the job that applicants have not yet learned, (c) current employees tend to be homogeneous.
Two Limitations to Content Validation
(a) the person who is hired must have the knowledge, skills, or abilities at the time he or she is hired and (b) subjective judgment plays such a large role in content validation.
Emotional Intelligence: self-motivation
(how to motivate oneself and persevere in the face of obstacles),
Emotional Intelligence: self-awareness
(knowledge of one's strengths and weaknesses)
Emotional Intelligence: self-regulation
(the ability to keep disruptive emotions in check),
Emotional Intelligence: social skills
(the ability to manage the emotions of other people)
Emotional Intelligence: empathy
(the ability to sense and read emotions in others)
3 Advantages of Employing Temporary Workers
1. Temporary workers free a company from administrative tasks and financial burdens. 2. Temporary workers are often times tested and trained by a temporary agency. 3. Many temporary workers brings an objective perspective and experience.
3 Ways Technology Influences PMS
1. Aligns performance goals across all levels 2. Access to performance information, data and tools 3. Improves efficiency of PMS. It can also make it easier to weight the relative values by setting up the online system to do so automatically. Social media are increasingly being used to deliver timely feedback.
Cross-Cultural Preparation: Expatriate needs to be-
1. Competent in their area of expertise. 2. Able to communicate verbally and nonverbally in host country. 3. Flexible, tolerant of ambiguity and sensitive to cultural differences. 4. Motivated to succeed, able to enjoy the challenge of working in other countries, and willing to learn about the host country's culture, language and customs. 5. Supported by their families.
Behavioral Approach Types
1. Critical Incidents 2. Behaviorally anchored rating scales (BARS). 3. Behavioral observation scales (BOS) 4. Organizational behavior modification (OBM) 5. Assessment centers
PM Process
1. Define performance outcomes for company division and department 2. Develop employee goals, behavior & actions to achieve outcomes 3. Provide support & ongoing performance discussions 4. Evaluate Performance 5. Identify needed improvements 6. Provide consequences for performance results
Big 5 Dimensions of Personality Inventories:
1. Extroversion 2. Adjustment 3. Agreeableness 4. Conscientiousness 5. Inquisitiveness
3 Components of a Safety Awareness Program
1. Identify and Communicate Job Hazards -Job hazard analysis technique -Technic of Operations Review (TOR): focuses on past accidents and their causes 2. Reinforce Safe Practices 3. Promote Safety Internationally
Steps to make an ROI analysis include:
1. Identify outcomes (e.g., quality, accidents). 2. Place a value on the outcomes. 3. Determine the change in performance after eliminating other potential influences on training results. 4. Obtain an annual amount of benefits (operational results) from training by comparing results after training to results before training (in dollars). 5. Determine the training costs (direct costs 1 indirect costs 1 development costs 1 overhead costs 1 compensation for trainees). 6. Calculate the total savings by subtracting the training costs from benefits (operational results). 7. Calculate the ROI by dividing benefits (operational results) by costs. ROI gives an estimate of the dollar return expected from each dollar invested in training
Job Analysis: 6 Sections of Position Analysis Questionnaire (PAQ)
1. Information input 2. Mental processes 3. Work output 4. Relationships with other persons 5. Job context 6. Other characteristics
5 Performance Information Sources
1. Managers- are the most frequently used source. 2. Peers, or coworkers-, are excellent sources of information when the supervisor does not always observe the employee. 3. Subordinates- are a valuable source of performance information when managers are evaluated. They often have the best opportunity to evaluate how well a manager treats employees. 4. Self‑ratings- can be valuable but are not usually used as the sole source of performance information. 5. The customer- is often the only person present to observe the employee's performance.
Training Process
1. Needs Assessment 2. Ensure employees' readiness for training 3. Create a learning environment 4. Ensure transfer of training 5. Select training methods 6. Evaluate training programs
5 Factors That Influence Employee Performance and Learning
1. Person characteristics- ability and skill; attitudes and motivation 2. Input- understand what, how, when to perform, have necessary resources, no interference from other job demands and have the opportunity to perform 3. Output- expectations for learning performance 4. Consequences- positive consequences/incentives to perform 5. Feedback- frequent and specific feedback about how the job is performed
Diversity and EEO ISSUES: Sexual Harassment- 3 Conditions for Sexual Harassment Cases
1. Plaintiff cannot have "invited or incited" the advances 2. Harassment must have been severe enough to alter terms, conditions or privileges of employment 3. Court must determine liability of the organization for actions of its employees
Statistical Process: Quality Control Techniques
1. Process-flow analysis 2. Cause-and-effect diagrams 3. Pareto chart 4. Control chart 5. Histogram 6. Scattergram
2 Steps to Enhance Recruiter Impact:
1. Provide timely feedback 2. Recruit in teams
Employee Rights Under OSHA
1. Request an inspection. 2. Have a representative present at an inspection. 3. Have dangerous substances identified. 4. Be promptly informed about exposure to hazards and be given access to accurate records regarding exposures. 5. Have employer violations posted at the work-site.
Disability
A disability is defined as a physical or mental impairment that "substantially limits one or more major life activity; a record or past history of such an impairment; and/or being 'regarded as' having a disability by an employer whether you have one or not, usually in terms or hiring, firing or demotion." In essence, a person is considered disabled not only if he or she cannot DO something but just because he or she has a medical condition whether or not it impairs functioning.
Recruitment Sources: Public and Private Employment Agencies
Agencies will search their computerized inventory of individuals searching for work for an organization at no charge. Executive search firms generate a small list of highly qualified, interested applicants, but this is an expensive source compared with other alternatives.
Many firms that announce a downsizing campaign show worse, rather than better, financial performance. Reasons include:
Although the initial cost savings are a short-term plus, the long-term effects of an improperly managed downsizing effort can be negative. Many downsizing campaigns let go people who turn out to be irreplaceable assets. Employees who survive the staff purges often become narrow-minded, self-absorbed, and risk-averse.
5 Categories of Directional Strategies: External Growth
An emphasis on acquiring vendors and suppliers or buying businesses that allow a company to expand into new markets.
3 Factors to choose Training:
Company's Strategic Direction Available Training Resources Support-Manager and Peers
Lilly Ledbetter Fair Pay Act
Congress passed the act specifying that an "illegal act" occurs when (1) a discriminatory compensation decision is adopted; (2) an employee becomes subject to the decision; or (3) an employee is affected by it application, including each time compensation is paid.
HR as a Business with 3 Product Lines: Strategic Partner
Contributing to business strategy based on considerations of human capital, business capabilities, readiness, and developing HR practices as strategic differentiators • Emphasis: Knowledge of HR and of the business, the competition, the market, and business strategies
4 Reasons for Downsizing
Cost reduction through decreased labor. Technological changes reduce need for labor Closing outdated plants. Organizations changed location of where they do business. Mergers and acquisitions reduced the need for large bureaucracies. For economic reasons, many firms relocated parts of operations. Although downsizing has an immediate effect on costs, much of the evidence suggests that it has negative effects on long-term organizational effectiveness, especially for some types of firms.
Big 5 Dimensions of Personality Inventories: 3. Agreeableness
Courteous, trusting, good-natured, tolerant, cooperative, forgiving
Age Discrimination in Employment Act of 1967
Covers over age 40 individuals. No protection for younger workers. Outlaws almost all "mandatory retirement" programs. prohibits discrimination against employees over the age of 40. Covers employers with 15 or more employees working 20 or more weeks per year; labor unions; employment agencies; federal government.
Recruiter Impacts: Recruiter's Traits
Critical traits appear to be warmth and "informativeness."
Big 5 Dimensions of Personality Inventories: 5. Inquisitiveness
Curious, imaginative, artistically sensitive, broad-minded, playful
Balanced Scorecard Approach: Customer
Customer defines value for customers.
Employing Temporary Workers
Hiring temporary workers helps eliminate a labor shortage and affords flexibility needed to operate efficiently during demand swings.
HR's Role - Strategic Competitive Advantage: Enhancing Competitiveness
Enhancing competitiveness is achieved in a variety of ways such as adapting to a changing and learning environment, developing a human capital pool, assimilating information, making decisions, and flexibly restructuring to compete.
3 Stages in HR Planning: Forecasting- Determine Labor Surplus or Shortage Options for Reducing Expected Labor Surplus
Downsizing Pay reductions Demotions Transfers Work sharing Hiring freeze Natural attrition Early retirement Retraining
Types of Selection Methods: Drug Tests
Drug-use tests tend to be reliable and valid. Major controversies about drug tests include: Is it an invasion of privacy? Is it an unreasonable search and seizure? Is it a violation of due process? Tests should be administered systematically to all applicants applying for the same job. Testing is likely to be more defensible with safety hazards associated with failure to perform. Test results should be reported to applicants, who should have an avenue to appeal.
3 major responsibilities of EEOC: Issue guidelines
EEOC determines and issues guidelines that help employers comply with law. If EEOC cannot come to an agreement with the organization, it has two options. First, it can issue a "right to sue" letter to the alleged victim, which certifies that the agency has investigated and found validity in the victim's allegations. Second, although less likely, EEOC may aid the alleged victim in bringing suit in federal court.
3 major responsibilities of EEOC: Gather information
EEOC monitors hiring practices by reviewing EEO‑1 reports filed annually by firms. EEOC also plays a role in monitoring the hiring practices of organizations. Each year organizations with 100 or more employees must file a report (EEO-1) with EEOC that provides number of women and minorities employed in nine different job categories. EEOC analyzes these reports to identify patterns of discrimination that can then be attacked through class-action suits.
Goals of Diversity Training
Eliminate values, stereotypes, and managerial practices that inhibit Allow employees to contribute to organizational goals
HR's Role - Strategic Competitive Advantage: Emergent Strategies
Emergent strategies consist of the strategies that evolve from the grassroots of the organization and can be thought of as what organizations actually do, as opposed to what they intend to do.
Big 5 Dimensions of Personality Inventories: 2. Adjustment
Emotionally stable, non-depressed, secure, content
Types of Selection Methods: Situational Interviews Experience-Based Questions
Experience based questions require the applicant to reveal an actual experience he or she had in the past when confronting the situation. Research suggests that these types of items can both show validity but that experience-based items often outperform future-oriented items. Experience-based items also appear to reduce some forms of impression management such as ingratiation better than future-oriented items. -Motivating Employees -Resolved a Conflict -Overcoming Resistance to Change
3 Stages in HR Planning
Forecasting Goal Setting and Strategic Planning Program Implementation and Evaluation
Rather than downsizing, altering pay and hours include:
Garner more hours from current employees Cut salaries Reduce contributions to 401(k) plans Reduce number of hours of all workers.
Improve Performance Feedback by:
Give feedback frequently, not once a year. Create right context for discussion. Ask employees to rate performance before the session. Encourage employee to participate. Recognize effective performance through praise. Focus on solving problems. Focus feedback on behavior or results, not on the person. Minimize criticism. Agree to specific goals and set progress review date.
Ways to Manage Performance: Solid performers
High ability and motivation; provide development
HR's Role - Strategic Competitive Advantage
HR can can provide a strategic competitive advantage in two additional ways: through emergent strategies and through enhancing competitiveness.
5 Categories of Directional Strategies: Mergers and Acquisitions
HR needs to be involved in mergers and acquisitions.
Ways to Manage Performance: Underutilizers
High ability but lack motivation; focus on interpersonal abilities
Training can...
Increase employees' knowledge of foreign competitors and cultures. Help ensure that employees have skills to work with new technology. Help employees understand how to work effectively in teams to contribute to product and service quality. Improves employee performance which leads to improved business results. Ensure the company's culture emphasizes innovation, creativity, and learning. Ensure employment security by providing new ways for employees to contribute when their jobs change or interests change or skills become obsolete. Prepare employees to accept and work more effectively with each other, particularly with minorities and women.
Diversity and EEO ISSUES: Outcomes of Americans with Disabilities Act- Consequence of ADA
Increased litigation Cases being filed do not reflect Congressional intent Act was passed to protect people with major disabilities The law has not resulted in a major increase in the proportion of people with disabilities who are working.
3 Types of Discrimination: reasonable accommodation- Religion and Accommodation
Individuals who hold strong religious beliefs find that some observations and practices of their religion conflict with work duties. Although Title VII forbids discrimination on the basis of religion just like race or sex, religion also receives special treatment requiring employers to exercise an affirmative duty to accommodate individuals' religious beliefs and practices. In cases of religious discrimination, an employee's burden is to demonstrate that he or she has a legitimate religious belief and provided the employer with notice of the need to accommodate the religious practice, and that adverse consequences occurred due to the employer's failure to accommodate. In such cases, the employer's major defense is to assert that to accommodate the employee would require an undue hardship. Although an employer is required to make a reasonable accommodation, it need not be the one that is offered by the employee.
5 Factors to Consider When Analyzing Poor Performance
Input Performance Standard/Goals Consequences Feedback Employee Characteristics
Job Analysis: The Occupational Information Network (O*NET)
Instead of relying on fixed job titles and narrow task descriptions, the O*NET uses a common language that generalizes across jobs to describe the abilities, work styles, work activities, and work context required for various occupations that are more broadly defined
3 Stages in HR Planning: Forecasting- Determine Labor Supply
Internal movements caused by transfers, promotions, turnover, retirements, etc. transitional matrices identify employee movements in different job categories over time to chart historical trends in company's labor supply useful for AA / EEO purposes
Balanced Scorecard Approach: Internal or Operations
Internal or operations focuses on processes that influence customer satisfaction.
Recruitment Sources: (6)
Internal versus External Sources Direct Applicants and Referrals Advertisements Electronic Recruiting Public and Private Employment Agencies Colleges and universities
Types of Personnel Policies:
Internal versus external recruiting Extrinsic versus intrinsic rewards Employment-at-will policies Due process policies Image advertising
3 major responsibilities of EEOC:
Investigate and resolve discrimination complaints Gather information Issue guidelines
Ways to Manage Performance: Misdirected effort
Lack of ability but high motivation; focus on training
Importance of Job Analysis to Line Managers
Managers must have detailed information about all the jobs in their work group to understand work-flow process. Managers need to understand job requirements to make intelligent hiring decisions. Managers must clearly understand tasks required in every job.
3 Stages in HR Planning: Forecasting- Determine Labor Surplus or Shortage Options for Avoiding Expected Labor Surplus (Shortage)
Overtime Temporary employees Outsourcing Retrained workers Turnover reductions New external hires Technological innovation
7 Conditions for Learning
Need to know why they should learn. Meaningful training content. Opportunities to practice. Feedback. Observe, experience, and interact with others. Good program coordination and administration. Commit training content to memory.
5 Evaluation Selection Method Standards
Reliability Validity Generalizability Utility Legality
Office of Federal Contract Compliance Programs (OFCCP)
OFCCP annually audits government contractors to ensure that they actively pursue the goals in their plans. These audits consist of (1) examining the company's affirmative action plan and (2) conducting on-site visits to examine how individual employees perceive the company's affirmative action policies. If the OFCCP finds that the contractors or subcontractors are not complying with the executive order, then its representatives may notify the EEOC (if there is evidence that Title VII has been violated), advise the Department of Justice to institute criminal proceedings, request that the Secretary of Labor cancel or suspend any current contracts, and forbid the firm from bidding on future contracts. This last penalty, called debarment, is the OFCCP's most potent weapon.
Personnel Policies
Organizational decisions that affect the nature of the vacancies for which people are recruited. Characteristics of the vacancy are more important than recruiters or recruiting sources.
Outsourcing
Outsourcing—This occurs when a firm is interested in a broad set of services performed by an outside organization. Cost savings in this area are easily obtained because rather than purchase and maintain their own specialized hardware and software, as well as specialized staff to support such systems, companies can time share the facilities and expertise of a firm that focuses on this technology. Companies increasingly outsource many of their HRM tasks to outside vendors who specialize in efficiently performing many of the more routine administrative tasks associated with this function to manage the HR unit and free HR managers to focus on more strategic issues.
Recruitment Sources: Internal versus External Sources
Relying on internal sources is useful since employees are well known and are knowledgeable about the organization and jobs. However, there may not be enough internal recruits. Outsiders may bring new ideas or new ways of doing business and strengthen the organization
Work Environment Characteristics Influencing Transfer of Training:
Peer support Opportunity to use learned capabilities Technological support Self-management Manager support
Executive Order 11246 -
Prohibits government contractors from discrimination Requires affirmative action in hiring women and minorities It covers Federal contractors and subcontractors with contracts greater than $10,000
Recruiter Impacts
Recruiter's Functional Area Recruiter's Traits Recruiter's Realism
Typical Rater Errors: Central Tendency
Rater gives middle or average ratings to all employees despite their performance
3 major responsibilities of EEOC: Investigate and resolve discrimination complaints
Resolution—After filing a complaint, EEOC has 60 days to investigate. Dismissal or reconciliation are the two possible outcomes. The complainant may sue in federal court if not satisfied
Factors That Influence Motivation to Learn
Self-Efficacy Benefits or Consequences of Training Work Environment Basic Skills Awareness of Training Needs Goal Orientation Conscientiousness
Ways to Manage Performance:
Solid performers Misdirected effort Underutilizers Deadwood
4 Steps of Onboarding
Step 1- Compliance understand company policies, rules, and regulations. Step 2 Clarification- understand job and performance expectations. Step 3 Culture- understand company history, traditions, values, norms, mission Step 4 Connection- understand and develop relationships
5 Criteria of Performance Measures:
Strategic congruence Validity Reliability Acceptability Specificity
2 Types of Knowledge:
Tacit Knowledge Explicit Knowledge
Job Analysis: 6 Sections of Position Analysis Questionnaire (PAQ)- 6. Other characteristics
The activities, conditions, and characteristics other than those previously described that are relevant to the job.
Work Environment Characteristics Influencing Transfer of Training: Opportunity to use learned capabilities
Trainee is provided with or actively seeks experience using newly learned knowledge, skills, or behavior.
Role Behaviors
are the behaviors required of an individual in his or her role as a job holder. Different role behaviors are required for different strategies
Types of Selection Methods: references and biographical data
are, at best, weak predictors of future job success. Typically, references are very positive since only those who the applicants know will give them a good reference are asked to do so. Many suits have been filed against past employers' revealing too much information beyond job title and years of service. The biggest concern with the use of biographical data is that applicants who supply the information may be motivated to misrepresent themselves.
Types of Selection Methods: work samples test
attempt to simulate the job in a pre-hiring context to observe how the applicant performs.
Types of Selection Methods: Honesty Test- Paper-and-pencil honesty testing
attempts to assess the likelihood that employees will steal.
Internal Analysis
attempts to identify the organization's strengths and weaknesses. It focuses on the quantity and quality of resources available to the organization—financial, capital, technological, and human resources. Organizations have to accurately assess each resource to decide whether it is a strength or a weakness.
3 Approaches to Reducing Rater Error: rater error training
attempts to make managers aware of rating errors and helps them develop strategies for minimizing those errors
3 Approaches to Reducing Rater Error: calibration meetings
attended by managers to discuss employee performance ratings. Evidence supporting the ratings is provided to reduce the influence of rating errors and politics on performance appraisals
Types of Selection Methods: Honesty Test- Polygraph Act of 1988
banned the use of polygraph tests for private companies except pharmaceutical and security guard suppliers.
Measuring Performance Approaches: Attributive Approach- Graphic Rating Scales
can provide a number of different points (a discrete scale) or a continuum along which the rater simply places a check mark (a continuous scale). -list of traits evaluated by 5-point rating scale. -legally questionable.
Types of Selection Methods: personality inventories
categorize individuals by personality characteristics.
Work Environment Characteristics Influencing Transfer of Training: Manager support
degree to which trainees' managers (1) emphasize the importance of attending training programs and (2) stress the application of training content to the job and apply action plans.
Types of Selection Methods: Selection Interviews
dialogue initiated by one or more persons to gather information and evaluate the applicant's qualifications for employment. Interviews should be structured, standardized, and focused on goals oriented to skills and observable behaviors. Interviewers should be able to quantitatively rate each interview. Interviewers should have a structured note-taking system that will aid recall to satisfying ratings.
3 Contexts of Generalizability
different situations (jobs or organizations) different samples of people different time periods
Types of Selection Methods: cognitive ability tests
differentiates individuals based on mental rather than physical capacities.
3 Types of Discrimination
disparate treatment disparate impact reasonable accommodation
Statistical Process: Quality Control Techniques- 5. Histogram
display distributions of large sets of data and allow data to be grouped into a smaller number of categories or classes. Histograms are useful for understanding the amount of variance between an outcome and the expected value or average outcomes
3 Approaches to Reducing Rater Error: frame-of-reference or rater accuracy training
emphasizes the multidimensional nature of performance and thoroughly familiarizes raters with actual content of various performance dimensions. This involves providing examples of performance for each dimension and then discussing the actual or "correct" level of performance that the example represents. Accuracy training seems to increase accuracy, provided that in addition the raters are held accountable for ratings, job-related rating scales are used, and raters keep records of the behavior they observe
Ensure Employee Motivation for Learning: Self-Efficacy
employees' belief that they can successfully learn the training program's content.
Behavioral Approach Types: 4. Organizational behavior modification (OBM)
entails managing the behavior of employees through a formal system of behavioral feedback and reinforcement.
13th Amendment
eradicated slavery in the United States, and the Reconstruction Civil Rights Acts were attempts to further this goal. The Civil Rights Act passed in 1866 was later broken into two statutes. Section 1982 granted all persons the same property rights as white citizens. Section 1981 granted other rights, including the right to enter into and enforce contracts. Courts have interpreted Section 1981 as granting individuals the right to make and enforce employment contracts
Statistical Process: Quality Control Techniques- 2. Cause-and-effect diagrams
events or causes that result in undesirable outcomes are identified. Employees try to identify all possible causes of a problem. The feasibility of the causes is not evaluated, and as a result, cause-and-effect diagrams produce a large list of possible causes
5 Criteria of Performance Measures: Strategic congruence
extent to which PMS elicits job performance that is congruent with the organization's strategy, goals, and culture. Strategic congruence emphasizes the need for the performance management system to guide employees in contributing to the organization's success.
3 Types of Discrimination: disparate treatment- UAW v. Johnson Controls, Inc
illustrates the difficulty in using a BFOQ as a defense. Johnson Controls, a manufacturer of car batteries, had instituted a "fetal protection" policy that excluded women of childbearing age from a number of jobs in which they would be exposed to lead, which can cause birth defects in children. The company argued that sex was a BFOQ essential to maintaining a safe workplace. The Supreme Court did not uphold the company's policy, arguing that BFOQs are limited to policies that are directly related to a worker's ability to do the job.
Recruitment Sources: Advertisements
in newspapers and periodicals - Typically are less effective than direct applicants or referrals and more expensive. The two most important questions to ask in designing a job advertisement are, What do we need to say? and To whom do we need to say it?
3 Types of Discrimination: disparate impact- The Wards Cove Packing Co. v. Antonio case
involved a statistical analysis of utilization rates in cannery and noncannery jobs (pay rates for the types of jobs were quite different).
3 Phases of Cross-Cultural Preparation: On-Site Phase
involves continued orientation to the host country and its customs and cultures through formal programs or through a mentoring relationship
Statistical Process: Quality Control Techniques- 1. Process-flow analysis
involves identifying each action and decision necessary to complete work.
5 Evaluation Selection Method Standards: Validity- Types of Criterion-related Validity: Concurrent validation
is a criterion-related validity study in which a test is administered to all the people currently on the job and then correlating test scores with existing measures of each person's performance
5 Evaluation Selection Method Standards: Validity- Types of Criterion-related Validity: Predictive validation
is a criterion-related validity study that seeks to establish an empirical relationship between applicants' test scores and their eventual performance on the job
Enforcement of EEO by: Equal Employment Opportunity Commission (EEOC)
is a division of the Department of Justice responsible for enforcing most of the EEO laws
3 Types of Discrimination: disparate treatment- Bona fide occupational qualifications (BFOQ)
is a job qualification based on race, sex, religion, etc. that an employer asserts is a necessary, rather than preffered, qualification for the job.
Results Approach: Management by Objectives (MBO)
is a joint goal‑setting process in which goals are agreed upon between the managers and each subordinate. These goals then become standards used to evaluate the individual's performance. This goal‑setting process cascades down the organization so that all managers are setting goals that help the company achieve its goals. These goals are used as the standards by which an individual's performance is evaluated. The most effective goals are SMART goals. Goals are specific, clearly stated, define the result to be achieved), measurable), attainable, relevant, and timely. Different types of measurements can be used for goals or objectives including timeliness, quality, quantity, or financial metrics.
5 Evaluation Selection Method Standards: Reliability- Correlation Coefficient
is a measure of the degree to which two sets of numbers are related. A perfect positive relationship equals +1.0 A perfect negative relationship equals - 1.0
5 Evaluation Selection Method Standards: Validity- Criterion-related Validity
is a method of establishing validity of a personnel selection method by showing a substantial correlation between test scores and job-performance scores
Training
is a well-planned effort to facilitate the learning of job-related knowledge, skills and behavior by employees.
Emotional Intelligence:
is also important in team contexts and has been used to describe people who are especially effective in fluid and socially intensive contexts. Emotional intelligence is traditionally conceived of as having five aspects: self-awareness self-regulation self-motivation empathy social skills
Cross-Cultural Preparation: Expatriate
is an employee sent by a company to manage operations in a different country.
Continuous Learning: Formal Training
is instructor led and on-line programs, courses and events developed and organized by the company.
5 Evaluation Selection Method Standards: Reliability- Test Retest Reliability
is knowing how scores on the measure at one time relate to scores on the same measure at another time.
Continuous Learning: Informal Training
is learner initiated, involves action and doing, is motivated by an intent to develop and does not occur in a formal learning setting.
Title VII of the Civil Rights Act of 1964
makes it illegal for an employer to "fail or refuse to hire or discharge any individual because of the individual's race, color, religion, sex, or national origin. Title VII states that it is illegal for an employer to "(1) fail or refuse to hire or discharge any individual, or otherwise discriminate against any individual with respect to his compensation, terms, conditions, or privileges of employment because of such individual's race, color, religion, sex, or national origin, or (2) to limit, segregate, or classify his employees or applicants for employment in any way that would deprive or tend to deprive any individual of employment opportunities or otherwise adversely affect his status as an employee because of such individual's race, color, religion, sex, or national origin." The act applies to organizations with 15 or more employees working 20 or more weeks a year that are involved in interstate commerce, as well as state and local governments, employment agencies, and labor organizations.
Measuring Performance Approaches: Comparative Approach- Ranking Alternative Ranking
manager looks at a list of employees, deciding who is the best employee, and crossing that person's name off the list
Performance Management
managers ensure that employees' activities and outputs are congruent with organizational goals.
Typical Rater Errors: Halo
occur when one positive performance aspect causes the rater to rate all other aspects of performance positively. Halo error leads to employees believing that no aspects of their performance need improvement
Typical Rater Errors: Contrast
occur when we compare individuals with one another instead of with an objective standard
3 Types of Discrimination: disparate impact
occurs when a facially neutral employment practice disproportionately excludes a protected group from employment opportunities.
Diversity and EEO ISSUES: Sexual Harassment- Quid Pro Quo and The Bundy v. Jackson Case
occurs when some type of benefit or punishment is made contingent upon the employee submitting to sexual advances. --The Bundy v. Jackson case facts showed that the plaintiff repeatedly received sexual propositions from her fellow employees and supervisor. She rejected these advances and was eventually passed over for promotion without reason.
Diversity and EEO ISSUES: Sexual Harassment- Hostile Work Environment
occurs when someone's behavior in the workplace creates an environment that makes it difficult for someone of a particular sex to work.
Performance Appraisal
organization gets information on how well an employee is doing on the job.
Training Process: 6. Evaluate training programs
outcomes, design and cost-benefit analysis
Training Process: 1. Needs Assessment
process used to determine if training is necessary. A needs assessment usually involves organizational analysis, person analysis, and task analysis. There are often pressure points that may suggest that training is necessary such as legislation, lack of basic skills, poor performance, new technology, customer requests, new products, higher performance standards, new jobs, business growth or contraction and global business expansion. Organizational (what content?), person (who to train?) and task analysis (what do they train on?)
Types of Personnel Policies: Image advertising
promotes an organization as a good place to work in general and may be particularly important for organizations in highly competitive labor markets that perceive themselves as having a bad image.
Americans with Disabilities Act of 1990
protects individuals with disabilities from being discriminated against in the workplace by prohibiting discrimination in all employment practices. Requires that "reasonable accommodations" be made as long as they do not present an "undue burden" upon the employer. Restrictions on pre-employment inquiries.
ADA of 1991
protects individuals with physical and mental disabilities (or with a history of the same), and requires that employers make "reasonable accommodation" to disabled individuals whose handicaps may prevent them from performing essential functions of the job as currently designed. "Reasonable accommodation" could include restructuring jobs, modifying work schedules, making facilities accessible, providing readers, or modifying equipment.
Organization Structure
provides a cross-sectional overview of the static relationship between individuals and units that create outputs.
Performance Feedback
provides employees information regarding their performance effectiveness
14th Amendment
provides equal protection for all citizens and requires due process in state action.
3 Approaches to Reducing Rater Error:
rater error training frame-of-reference or rater accuracy training calibration meetings
Job Redesign
redesign refers to changing the tasks or the way work is performed in an existing job. To effectively design jobs, one must thoroughly understand the job as it exists (through job analysis) and its place in the larger work unit's work-flow process (work-flow analysis). Having a detailed knowledge of the tasks performed in the work unit and in the job, a manager then has many alternative ways to design a job. This can be done most effectively through understanding the trade-offs between certain design approaches.
Types of Selection Methods: cognitive ability tests- Commonly assessed abilities: reasoning ability
refers to a person's capacity to invent solutions to many diverse problems. Common dimensions assessed in a personality inventory are extroversion, adjustment, agreeableness, conscientiousness, and inquisitiveness
Types of Selection Methods: cognitive ability tests- Commonly assessed abilities: verbal comprehension
refers to a person's capacity to understand and use written and spoken language.
Inclusion
refers to an environment in which employees share a sense of belonging, mutual respect and commitment from others so they can perform their best work.
Transfer of Training
refers to on-the-job use of knowledge, skills, and behaviors learned in training and is influenced by the climate for transfer, manager support, peer support, opportunity to use learned capabilities, technology support, and self-management
Two Dimensions of Organization Structure: Centralization
refers to the degree to which decision-making authority resides at the top of the organizational chart as opposed to being distributed throughout lower levels (in which case authority is decentralized ).
Two Dimensions of Organization Structure: Departmentalization
refers to the degree to which work units are grouped based on functional similarity or similarity of work flow. HR managers should be trained to identify the competitive issues faced by the organization.
Onboarding or Socialization
refers to the process used to transform new employees into effective company members by learning history, company goals, language, politics, people and performance proficiency. This shows the four steps of onboarding. Effective onboarding is related to many important outcomes for the employee and the company including higher job satisfaction, organizational commitment, lower turnover, higher performance, reduced stress and career effectiveness.
Utility is impacted by:
reliability validity generalizability
Results Approach
to PM focuses on managing the objective, measurable results of a job or work group. It assumes that subjectivity can be eliminated from the measurement process and that results are the closest indicator of one's contribution to organizational effectiveness.
Electronic tracking and monitoring systems and software
to ensure that employees are working when and how they should be and to block access to visiting certain websites (such as those containing pornographic images). These systems include hand and fingerprint recognition systems, global positioning systems (GPS), and systems that can track employees using cell phones and handheld computers.
Four Approaches Used in Job Design: Biological
to job design comes primarily from the sciences of biomechanics (i.e., the study of body movements), work physiology, and occupational medicine, and it is usually referred to as ergonomics. Physical demands Ergonomics Work conditions
Four Approaches Used in Job Design: Motivational
to job design focuses on the job characteristics that affect the psychological meaning and motivational potential, and it views attitudinal variables as the most important outcomes of job design. The prescriptions of the motivational approach focus on increasing job complexity through job enlargement, job enrichment, and the construction of jobs around sociotechnical systems. It provides a means for the manager to understand all the tasks required to produce a number of high-quality products as well as the skills necessary to perform those tasks. Decision-making autonomy Task significance Interdependence
Four Approaches Used in Job Design: Perceptual-motor
to job design has its roots in the human‑factors literature and focuses on human mental capabilities and limitations. The goal is to design jobs in a way that ensures that they do not exceed people's mental capabilities. This approach generally tries to improve reliability, safety, and user reactions by designing jobs in a way that reduces the information processing requirements of the job. This approach, similar to the mechanistic approach, generally has the effect of decreasing the job's cognitive demands. Job complexity Information processing Equipment use
Behavioral Approach
to performance management attempts to define the behaviors an employee must exhibit to be effective in the job. Techniques define those behaviors and then require managers to assess the extent to which employees exhibit them. The behavioral approach - best suited to less complex jobs (where the best way to achieve results is somewhat clear) and least suited to complex jobs (where there are multiple ways, or behaviors, to achieve success).
Measuring Performance Approaches: Attributive Approach
to performance management focuses on the extent to which individuals have certain attributes Graphic Rating Scales Mixed-Standards Scales
Diversity and EEO ISSUES: Sexual Harassment
unwelcome sexual advances, requests for sexual favors, and other verbal or physical contact of a sexual nature constitute sexual harassment when 1. Submission to such conduct is made either explicitly or implicitly a term or condition of an individual's employment, 2. Submission to or rejection of such conduct by an individual is used as the basis of employment decisions affecting such individual, or 3. Such conduct has the purpose or effect of unreasonably interfering with an individual's work performance or creating an intimidating, hostile, or offensive working environment.
3 Types of Discrimination: disparate impact- Standard Deviation Rule
uses actual probability distributions to determine adverse impact
Types of Selection Methods: cognitive ability tests- Commonly assessed abilities:
verbal comprehension quantitative ability reasoning ability
Basic Skills: Cognitive Ability
verbal comprehension, quantitative and reasoning ability
Diversity and EEO ISSUES: Affirmative Action and Reverse Discrimination
was conceived of as a way of taking extra effort to attract and retain minority employees. Imposed quota programs are negotiated with the EEOC and hold a certain number of positions for minorities or women. The entire debate over affirmative action continues to evoke attention. Many people consider quotas or preferential treatment as reverse discrimination. Although most individuals support the idea of diversity, few argue for the kinds of quotas that have to some extent resulted from the present legal climate.
Global Challenges: Reshoring
moving jobs from over seas to US
6 HR competencies:
1. Credible activist 2. Cultural steward 3. Talent manager/organizational designer 4. Strategic architect 5. Business Ally 6. Operational executor
Technology Challenge: Advanced Technology
Advances in technology have: changed how and where we work. resulted in high-performance work systems, which maximize the fit between the company's social system and technical system. increased the use of teams to improve customer service and product quality. changed skill requirements. increased working partnerships. led to changes in company structure and reporting relationships. Robotics, tracking systems radio frequency identification, and nanotechnology are also transforming work.
3 Competitive Challenges Influencing HRM: Technology
Along with advances in technology such as use of social networking tools and development of HR dashboards and use of HR analytics, companies change employees' and managers' work roles, create high performance work systems, and develop e-commerce to compete through technology
Strategic Planning and HRM Linkages: Integrative
Companies with integrative linkage have their HRM functions built right into the strategy formulation and implementation processes
HR as a Business with 3 Product Lines: Administrative Services and Transactions
Compensation, hiring and staffing • Emphasis: Resource efficiency and service quality.
4 Principles of Ethical Companies
Emphasize mutual benefits in customer, vendor, client and community relationships. Employees assume responsibility for the actions of the company. Sense of purpose or vision the employees value and use. Emphasize fairness; another person's interests count as much as their own.
Legal Issues
Employment laws and regulations Eliminating discrimination and harassment Workplace safety Data security practices and protecting intellectual property Electronic monitoring and surveillance Employee privacy rights, intellectual property rights and social media Federal health care legislation Companies who employ unlawful immigrants or abuse laborers
Change and Its Effect on Employment Relationships: Psychological Contract
Expectations of employee contributions and what the company will provide in return. Employee engagement refers to the degree to which employees are fully involved in their work and the strength of their commitment to their job and the company. Employees who are engaged in their work and committed to the company they work for give companies competitive advantage including higher productivity, better customer service, and lower turnover
Advanced in Technology have increased:
HR Information Systems (HRIS) HR Dashboard Metrics Cloud Computing
Dimensions of HRM Practices
HR environment Acquiring and preparing HR Assessment and development of HR Compensating HR
HRM profession and salary
HR salaries vary depending on education and experience as well as the type of industry. --College degrees are held by the vast majority of HRM professionals. --Professional certification is less common than membership in professional associations. The primary professional organization for HRM is the Society for Human Resource Management (SHRM).
Ethical HR Practices
HRM practices must result in greatest good for largest number of people Employment practices must respect basic human rights of privacy, due process, consent, and free speech Managers must treat employees and customers equitably and fairly Develop and distribute a Code Of Ethics, policy, process and procedures, audit and train employees
Changing Demographics and Workforce Diversity
Internal labor force - current employees External labor market - persons outside the firm actively seeking employment Average age of U.S. workforce will age. Increased workforce diversity Influence of immigration Generational differences. Gender and racial composition of the workforce
HRM Practices
Job analysis Recruitment Job design Selection Development Performance management
Balanced scorecard should be used to
Link HRM activities to company's business strategy. Evaluate extent HR is helping meet company's strategic objectives.
Common themes of employee engagement
Pride and satisfaction with employer and job Opportunity to perform challenging work Recognition and positive feedback from contributions Personal support from manager Effort above and beyond the minimum Understanding link between one's job and company's mission Prospects for future growth with the company Intention to stay with the company
Meeting Competitive Challenges Through HRM Practices
Managing internal and external environmental factors allows employees to make the greatest possible contribution to company productivity and competitiveness. Customer needs for new products or services influence the number and type of employees businesses need to be successful. •Linking HRM practices to the company's business objectives—that is, strategic human resource management. • Ensuring that HRM practices comply with federal, state, and local laws. • Designing work that motivates and satisfies the employee as well as maximizes customer service, quality, and productivity. Managers must also identify current or potential employees who can successfully deliver products and service and ensure that employees have the necessary skills to perform current and future jobs. Managers need to ensure that employees have the necessary skills to perform current and future jobs. Besides interesting work, pay and benefits are the most important incentives that companies can offer employees in exchange for contributing to productivity, quality, and customer service.
Entering International Markets
Many companies are entering international markets by exporting their products overseas, building manufacturing facilities or service centers in other countries, entering into alliances with foreign companies, and engaging in e-commerce. Developing economies and emerging markets such as those found in the BRIC nations (Brazil, Russia, India, and China) will be responsible for 68% of the growth of the world's economy
Core Values of TQM
Methods and processes are designed to meet internal and external customers' needs. Every employee receives training in quality. Promote cooperation with vendors, suppliers and customers. Managers measure progress with feedback based on data. Quality is designed into a product or service so that errors are prevented rather than being detected and corrected
Strategy - Decisions about Competition
Questions to ask: Where to compete? In what markets (industries, products, etc.) will we compete? How to compete? On what criteria or differentiating characteristics will we compete? Cost? Quality? Reliability? Delivery? With what will we compete? What resources will allow us to beat our competition? How will we acquire, develop, and deploy those resources?
shared service model
Shared Service Model is a way to organize the HR function that includes centers of expertise or excellence, service centers and business partners to help control costs and improve business-relevance and timeliness of HR practices.
2 Phases of Strategic Management: Strategy Formulation
Strategic planning groups decide on a strategic direction by defining the company's mission and goals, its external opportunities and threats, and its internal strengths and weaknesses
2 Phases of Strategic Management
Strategy Formulation Strategy Implementation
HRM's 3 Implementation Variables:
Task People Reward Systems
Social responsibility
can help boost a company's image with customers, gain access to new markets, and help attract and retain talented employees. Companies thus try to meet shareholder and general public demands that they be more socially, ethically, and environmentally responsible.
Virtual Teams
are separated by time, geographic distance, culture, and/or organizational boundaries and that rely almost exclusively on technology (e-mail, Internet, videoconferencing) to interact and complete their projects. Virtual teams can be formed within one company whose facilities are scattered throughout the country or the world. A company may also use virtual teams in partnerships with suppliers or competitors to pull together the necessary talent to complete a project or speed the delivery of a product to the marketplace. High-performance work systems have implications for employee selection and training. Virtual teams are separated by time, geographic distance, culture and/or organizational boundaries and rely exclusively on technology for interaction between team members. Employees need job-specific knowledge and basic skills to work with the equipment created with the new technology.
External Analysis
consists of examining the organization's operating environment to identify the strategic opportunities and threats. Examples of opportunities are customer markets that are not being served, technological advances that can aid the company, and labor pools that have not been tapped. Threats include potential labor shortages, new competitors entering the market, pending legislation that might adversely affect the company, and competitors' technological innovations.
Employee engagement
degree to which employees are fully involved in their work and strength of their commitment. Employees' engagement is influenced by how managers treat employees as well as human resource practices such as recruiting, selection, training and development, performance management, work design, and compensation. Employees who are engaged in their work and committed to the company they work for give companies competitive advantage including higher productivity, better customer service, and lower turnover Companies measure employees' engagement levels with attitude or opinion surveys. Although the types of questions asked on these surveys vary from company to company, research suggests the questions generally measure these common themes.
6 HR competencies: Credible activist
delivers results with integrity, shares information, builds trusting relationships, and influences others, providing candid observation, taking appropriate risks.
how is HRM function changing? Evidence-based HR
demonstrating that human resource practices have a positive influence on the company's bottom line or key stakeholders. It requires using HR or workforce analytics that uses quantitative and scientific methods to analyze data from HR decisions, financial statements, employee surveys and other data-sources to make evidence-based HR decisions and show that HR influences the organization's "bottom-line" including profits and costs.
6 HR competencies: Talent manager/organizational designer
develops talent, designs reward systems, and shapes the organization.
Intangible Assets: Learning Organization
embraces a culture of lifelong learning, enabling all employees to continually acquire and share knowledge. Improvements in product or service quality do not stop when formal training is completed. Employees need to have the financial, time, and content resources (courses, experiences, development opportunities) available to increase their knowledge. Managers take an active role in identifying training needs and helping to ensure that employees use training in their work. Also, employees should be actively encouraged to share knowledge with colleagues and other work groups across the company using e-mail and the Internet. For a learning organization to be successful requires that teams of employees collaborate to meet customer needs. Managers need to empower employees to share knowledge, identify problems, and make decisions. This allows the company to continuously experiment and improve. Social collaboration and social networking technology contribute to the learning organization.
6 HR competencies: Cultural steward
facilitates change, develops and values the culture, and helps employees navigate the culture.
Technology Challenge: Social Networking
facilitates communication, decentralized decision making and collaboration. Social networking refers to websites such as Facebook, Twitter, and LinkedIn, Wikis, and blogs that facilitate interactions between people usually around shared interests
6 HR competencies: Operational executor
implements workplace policies, advances HR technology, and administers day-to-day work of maintaining people.
shared service model: centers of expertise or excellence
include HR specialists such as staffing or training.
Change and Its Effect on Employment Relationships: Alternative Work Arrangements
include independent contractors, on-call workers, temporary workers, and contract company workers. In the new economy a new type of psychological contract is emerging. The competitive business environment demands frequent changes in the quality, innovation, creativeness, and timeliness of employee contributions and the skills needed to provide them. This has led to company restructuring, mergers and acquisitions, layoffs, and longer hours for many employees. Companies demand excellent customer service and high productivity levels. Employees are expected to take more responsibility for their own careers, from seeking training to balancing work and family. In exchange for top performance and working longer hours without job security, employees want companies to provide flexible work schedules, comfortable working conditions, more autonomy in accomplishing work, training and development opportunities, and financial incentives based on how the company performs. Employees realize that companies cannot provide employment security, so they want employability—that is, they want their company to provide training and job experiences to help ensure that employees can find other employment opportunities. The HRM challenge is how to build a committed, productive workforce in turbulent economic conditions that offer opportunity for financial success but can also quickly turn sour, making every employee expendable. ::include independent contractors, on-call workers, temporary workers, and contract company workers
Total Quality Management (TQM)
is a company-wide effort to continuously improve the ways peoples, machines, and systems accomplish work. A cooperative form of doing business that relies on the talents and capabilities of both labor and management to continually improve quality and productivity.
Strategic Management
is a process for analyzing a company's competitive situation, developing the company's strategic goals, and devising a plan of action and allocation of resources that will help a company achieve its goals. Strategy comes from the Greek word strategos, which has its roots in military language. It refers to a general's grand design behind a war or battle Webster's New American Dictionary defines strategy as the "skillful employment and coordination of tactics" and as "artful planning and management."
A business model
is how the firm will create value for customers profitably. fixed and variable costs contributing and gross margins
High-Performance Work Systems
maximize the fit between the company's social system (employees) and its technical system. Including: Work Teams, Virtual Teams and Partnerships Changes in Skill Requirements and new technology Changes in Company Structure and Reporting Relationships. HRM practices support high-performance work systems through staffing, work design, training, compensation and performance management.
Intangible Assets: Empowerment
means giving employees responsibility and authority to make decisions regarding all aspects of product development or customer service
HRM Practices: Job design
making decisions about what tasks should be grouped into a particular job.
Strategy Implementation
organizational structure, task design, selection, training and development of people and reward systems, and types of information and information systems.
Intangible Assets
refer to a type of company asset including human capital, customer capital, social capital, and intellectual capital Knowledge workers Empowerment Learning organization
strategic role of HRM function: Self-service
refers to giving employees online access to information about HR issues.
stakeholders
refers to shareholders, the community, customers, and all other parties that have an interest in seeing that the company succeeds.
strategic role of HRM function: outsourcing
refers to the practice of having another company (a vendor, consultant or third-party) provide services to save money and spend more time on strategic business issues
Customer excellence
requires attention to product and service features as well as to interactions with customers. Customer-driven excellence includes understanding what the customer wants, anticipating future needs, reducing defects and errors, meeting specifications, and reducing complaints. How the company recovers from defects and errors is also important for retaining and attracting customers.
Sarbanes-Oxley Act of 2002
sets strict rules for corporate behavior and sets heavy fines and prison terms for noncompliance: organizations are spending millions of dollars each year to comply with regulations under the Sarbanes-Oxley Act, which imposes criminal penalties for corporate governing and accounting lapses, including retaliation against whistle-blowers reporting violations of Security and Exchange Commission rules. Due to Sarbanes-Oxley and new Security and Exchange Commission regulations that impose stricter standards for disclosing executive pay, corporate boards are paying more attention to executive pay as well as issues like leadership development and succession planning.
human resources management
the policies, practices, and systems that influence employees' behavior, attitudes and performance
HRM Practices: Recruitment
the process through which the organization seeks applicants.
Goal of Strategic Management
to allocate resources for a competitive advantage. HR managers should have input into the strategic plan, have specific knowledge of the organization's strategic goals, know what types of employee skills, behaviors, and attitudes are needed to support the strategic plan, and develop programs to ensure that employees have those skills, behaviors, and attitudes