MGT 345- Final Exam

Forecasting

- determining ORGANIZATIONAL DEMAND for workers (quantity and quality needed) - determining the AVAILABILITY (supply) of workers (sufficient number with the needed KSAs)

Disparate treatment

- exists when protected class members are treated differently from others May be *inferred* from situational factors 1. Person belongs to a protected class 2. Person applied for, and was qualified for, a job employer was trying to fill 3. Person was rejected despite being qualified 4. Position remained open and employer continued to seek applicants as qualified as the person rejected - plaintiff must show intent on the part of the organization to discriminate - no defense - punitive damages will most likely occur - may be inferred from situation factors

Adverse impact

- occurs when a POLICY OR PROCEDURE screens out members of a protected class - occurs when a neutral employment practice disproportionately excludes a protected group from employment opportunities - *plaintiff does not have to show intent* on the part of the organization to discriminate - NOT illegal Defenses Against: 1. JOB RELATEDNESS (validity) aka criterion-related validity - a practice is related to job performance - BEST (most effective) 2. BUSINESS NECESSITY - a practice necessary for safe and efficient organization operations 3. BFOQ (Bona Fide Occupation Qualification) - a legitimate reason for excluding persons on otherwise illegal bases of consideration (LEAST EFFECTIVE) - ex: women firefighters; men working at Hooters

Behavioral Observation Scales (BOS)

-Rather than assessing which behavior best reflects an individual's performance, a BOS requires managers to rate the frequency with which the employee has exhibited each behavior during the rating period. -These ratings are then averaged to compute an overall performance rating

Direct compensation

-actual tangible benefits are provided by the employer Includes 1. pay 2. bonuses 3. incentives

Indirect Compensation

-employees receive the value of the reward without receiving the actual cash payment Includes 1.Health insurance 2.Retirement plans

Rate errors commonly committed

1. "Similar to Me" is the error we make when we judge those who are similar to us more highly than those who are not. 2. Contrast- errors occur when we compare individuals with one another instead of with an objective standard. 3. Leniency- Rater gives high ratings to all employees regardless of their performance. 4. Strictness- Rater gives low ratings to all employees regardless of their performance. 5. Central Tendency- Rater gives middle or average ratings to all employees despite their performance. 6. Halo- errors occur when one positive performance aspect causes the rater to rate all other aspects of performance positively. 7. Horns- error works in the opposite direction: one negative aspect results in the rater assigning low ratings to all the other aspects.

Strategic, administrative, and operational roles of HR

1. Administrative Services and Transactions: Compensation, hiring and staffing • Emphasis: Resource efficiency and service quality. 2. Business Partner Services: Developing effective HR systems and helping implement business plans, talent management. • Emphasis: Knowing the business and exercising influence—problem solving, designing effective systems to ensure needed competencies. 3. 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.

approaches to evaluating performance

1. Comparative approach compares performance with that of others. Ranking 2. Simple ranking ranks employees from highest to lowest performer. 3. Alternation ranking is crossing off the best and worst employees. 4. Forced distribution is employees ranked in groups. 5. Paired comparison Managers compare every employee with every other employee in work group.

Graphic rating scales

1. Critical Incidents—The critical incident approach requires managers to keep a record of specific examples of effective and ineffective performance for each employee. 2. Organizational behavior modification (OBM) entails managing the behavior of employees through a formal system of behavioral feedback and reinforcement. 3. Assessment centers can be used for measuring managerial performance. During an assessment, individuals usually perform a number of simulated tasks, and assessors observe and evaluate the individual's skill or potential as a manager.

List 5 ways that managers can improve the quality of performance feedback.

1. Give feedback frequently, not once a year. 2. Create right context for discussion. 3. Encourage employees to participate. 4. Focus on solving problems. 5. Minimize criticism.

Know the different internal and external methods of recruitment discussed in class

1. Internal - recruiting within the organization a. organizational *databases/skill inventories* b. *promotions and transfers* - *succession* planning - *replacement* planning c. *job rotation* d. *recalls and rehires* Methods used to inform employees of internal openings: a. *job postings* (open and targeted approaches) b. employee *email and internal job fairs* 2. External - recruiting outside of the organization a. *employee referrals* - results in the highest new employee survival rates - 3 explanations 1. employees provide a *realistic job preview* and view of organization 2. *similarity hypothesis* 3. *prescreening hypothesis* b. *walk-in applications* c. *employee agencies* d. other companies e. temporary agencies f. trade/professional associations and unions g. high schools, colleges, and universities h. internet recruiting Methods to advertise: a. *radio and TV* advertisements b. newspaper and trade journal advertisements c. *job fairs and career day* d. *contract recruiting* e. *websites*

Objectives of HRM

1. Organizational Objectives 2. Functional Objectives 3. Personal Objectives 4. Societal Objectives

Jay Barney's 4 characteristics of resources that create sustained competitive advantage

1. VALUE 2. RARENESS 3. IMITABILITY (Unique, competition can't imitate it) 4. ORGANIZATION

Know the steps in developing a base pay structure

1. conduct job evaluation and wage survey It is based on job analysis a. job evaluation: a systematic determination of the relative worth of jobs in organizations. Ensures internal equity. b. pay surveys: collection of data on compensation rates for workers performing similar jobs in other organizations. Ensures external equity. 2. Develop the pay policy or market line -tie job evaluation and survey data together by constructing a pay scatterplot -a linear trend line depicting the relationship between job evaluation data and survey data can be developed using regression analysis. This results in a market line or pay policy line decide on the pay policy Organizations can: match: set pay at about average lead_: set pay scale higher than market lag: set pay scale lower than others in the market 3. Establish pay grades -group jobs having approximately the same job worth -jobs within the same grade have the same pay range regardless of points 4. establish pay ranges -use the policy/market line as a mid-point for the pay grade -set maximum and minimum values to establish the pay range for each pay grade. The maximum may be 20% above the mid-point and the minimum may be 20% below the mid-point

Validity: 3 evidences of validity discussed in class

1. construct-related 2. criterion-related 3. content-related

2 Compensation Philosophies

1. entitlement orientation - where each person receives the same pay regardless of performance 2. performance orientation - where each person earns variable pay depending upon performance

Absolute standards methods

1. graphic rating scales 2. behaviorally anchored rating scales (BARS) 3. behavioral observation scales (BOS)

FLSA: Criteria for Exempt Status/Overtime Pay

1. nonexempt employees are subject to the hourly and overtime provisions 2. exempt employees are not subject to the hourly and overtime provisions Criteria for exempt status: (a) be paid at least $23,600 per year ($455 per week), and (b) be paid on a salary basis, and also (c) perform exempt job duties

Job Evaluation/Compensable Factors

1. ranking method 2. Point rating method - most popular job evaluation method - breaks job down into various compensable factors and assigns points to each of the factors compensable: a factor on which the job has value and for which it should be compensated

Discuss the Job Characteristics Model. How can this model be used in the design of jobs according to the motivational approach to job design?

5 characteristics result in three psychological states: 1. meaningfulness 2. responsibility 3. knowledge of outcomes -Autonomy (increase employees' sense of recognition, self-esteem, job satisfaction, and performance) -Variety (boredom, fatigue, errors) -task identity -feedback -task significance Jobs should be designed in accordance with the 5 characteristics so as to increase meaningfulness, responsibility, and knowledge. With more of the 5 characteristics comes a higher satisfaction with jobs\

comp hours

Anecia is a nonexempt government employee who earns comp hours when she works overtime instead of the traditional overtime pay. Anecia likes the arrangement because it allows her to spend more time with her family

lead-the-market strategy

Azure Inc., an information technology company, uses a quartile strategy and positions itself in the third quartile to develop its compensation strategy. It targets pay ranges so that 25 percent of other firms pay above it and the rest pay below it. In the context of compensation quartile strategies, Azure Inc. is most likely using the _____.

Halo effect

Brian is a very productive worker. However, the other three aspects of his job—quality of work, punctuality, and teamwork—need improvement. Despite this, during performance appraisal, Brian's supervisor gave him a high rating on all aspects of job performance because his productivity was high. This scenario illustrates the _____.

360-degree feedback

During her performance appraisal, Jane received feedback from her peers, supervisors, subordinates, and customers. This type of feedback is called _____.

Training methods discussed in class

External: outsourcing of training, government supported job training, educational assistance programs Internal: cross training, on the job training, informal training Combo of Two: cooperative/apprentice training (job shadowing) E- Learning: Online training

You are the Store Manager at the local Mini-Mart. Your Regional Manager has charged you with conducting a job analysis of the sales associate position for the purpose of identifying selection criteria and training needs for this position. It is hoped that selecting for better job fit and equipping employees with a greater degree of job relevant KSAs will help in reducing turnover in this position. Discuss the steps that you will take to conduct this analysis and identify these job relevant KSAs.

For the job analysis, you will want to collect the following information:-Info about the job-Info about the outcome of worker activities-Info about working conditions through: 1. Observation 2. Interviews 3. Questionnaires 4. Diaries or through the following subject matter experts: 1. Job incumbents 2. Immediate supervisors 3. Trained job analyst 4. O*Net online Then put them into a document outlining important re-occurring information you have gathered.

_____ is a technique for distributing ratings that are generated with any of the other appraisal methods and comparing the ratings of people in a work group.

Forced distribution

Methods of forecasting HR demand

Forecasting Qualifications 1. JOB AUDITS 2. INTERNAL ASSESSMENT OF ORGANIZATIONAL WORKFORCE - organizational capabilities inventory - human resource informations systems (HRIS) Forecasting Quantity 1. both judgmental and mathematical methods are used to forecast demand 2. estimates, rules of thumb, regression analysis - regression equation: y = a + bx y = criterion variable (# of workers) a = y intercept or constant; value of y when x = 0 b = slope of regression line (sales goal) x = predictor variable (sales) - .920 = as sales go up, workers go up - extremely strong covariation/correlation - dependent variable - variable being predicted aka criterion variable - play with independent variable aka predictor variable

rating scale most commonly used

Graphic Rating Scale

The _____ allows the rater to mark an employee's performance on a continuum indicating low to high levels of a particular characteristic.

Graphic rating scale

A developmental use of performance appraisals is

Identifying employees' needs and potential

market pricing

In the United States, employee salaries are increasingly based on market pricing rather than internal job evaluation methods such as the point factor method

Internal and External Equity

Internal- Focus on what employees within the same organization, but in different jobs, are paid. External-Focus on what employees in other organizations are paid for doing the same general job.

Which of the following is true of the point factor method of job evaluation?

It looks at compensable factors in a group of similar jobs and assigns weights to them.

Job Characteristics Model

Job Characteristics 1. Skill Variety 2. Task Identity 3. Task Significance 4. Autonomy 5. Feedback Work Outcomes 1. High Quality of Work 2. High Satisfaction 3. Low Turnover and Absenteeism Psychological States 1. Experienced Meaningfulness 2. Responsibility for Outcome 3. Knowledge of Results

Discuss the statement: "Job analysis is the most basic function of human resource management."

Job analysis involves understanding the job in detail and enlisting the required skills, qualification and knowledge a suitable candidate must possess in order to suffice the job requirements. The Human Resource department's key role is to recruit suitable candidate as per job requirement and monitor his/her performance. Thus, job analysis is the most basic function of human resource management

point factor method

Lily is the HR manager of a cleaning services company. She is in the process of evaluating and updating pay rates for various jobs in the company. She is using a job evaluation method that involves determining job dimensions common to a group of jobs in the company and assigning values to each of them for each job. Some of the job dimensions include the level of education and experience required for the job. In the given scenario, Lily is using the _____.

Strategic planning process (know the steps)

Mission-Vision-Values-Goals [Strengths/Weaknesses (Internal) Opportunities/Threats (External)]- Strategic Choice

Needs analysis: 3 phases of

Needs Analysis - should be conducted before the development of the actual program - provides information on where training is needed, the content of training and individuals in the organization in need of training 3 LEVELS A. ORGANIZATIONAL ANALYSIS - focuses on the *strategy, objectives, and goals (Important for alignment)* of the organization - is training a *viable strategy* for the achievement of organizational goals? - is training a *solution to the present problem* ? - are there any organizational constraints that may hinder training? B. TASK ANALYSIS - determines *training content* by identifying most important and frequently performed tasks and KSAs needed for successful performance C. PERSON ANALYSIS - determines which *employees* in the organization need training and the kind of training they need - HOW??? + *performance assessments* + assessment centers: work samples and job knowledge tests + *psychological tests* + self-assessments + *coaching*

Norm-referenced methods

Norm-Referenced 1. straight ranking 2. alternative ranking 3. paired comparison 4. forced distribution

Which of the following is a drawback of the forced distribution method of performance appraisal?

Ongoing use of forced rankings tends to destroy employee retention and commitment.

Orientation and Socialization

Orientation- is the planned introduction of new employees to their jobs, coworkers, and the organization. Socialization- refers to the process of helping new hires adjust to social and performance aspects of their new jobs.This is important to help employees adjust to their jobs by establishing relationships to increase satisfaction, clarifying goals and expectations to improve performance, and providing feedback, coaching, and follow-up activities to reduce turnover

Discuss the development of a base pay structure as discussed in class and in your textbook on pp. 490-495. Be sure to include a discussion of all the major steps, including the development of the pay policy line, pay grades and pay ranges. Be able to calculate the pay ranges for multiple pay grades given the mid-point pay levels for each pay grade.

Pay structure - relative pay of different jobs (job structure) & how much they are paid (pay level). Pay level - average pay, including wages, salaries & bonuses. Job structure -relative pay of jobs (range of pay often expressed by salary grades). Pay policies are attached to jobs, not individuals.

_____ is especially useful when supervisors do not have the opportunity to observe each employee's performance.

Peer rating

Realistic Job Preview

RJPs: employees provide a realistic job preview and view of the organization - self selects people out of the pool because current employees will divulge good and BAD information about the job situation

Administrative uses

Smith, the senior manager of a private investment firm, uses performance appraisals to make decisions related to promotions and pay increments. He further uses appraisals to terminate the employment of poor performers and to take disciplinary actions against those who violate the firm's policies. In this scenario, Smith focuses on the _____ of performance appraisals.

Discuss the factors that can adversely affect the validity of interviews and performance evaluations. Include a discussion of factors that can affect rater judgment as well as a discussion of common rater errors.

Snap judgments -Based on irrelevant information Negative emphasis -Negative information bias Halo effect Biases and stereotyping -Similarity of attitudes, values, and interests -Physical appearance -Non-verbal cues Selection interviews must meet the same standards for reliability and validity -Intra-rater reliability: Consistency within the same interviewer -Inter-rater reliability: Consistency across different interviewers

Briefly discuss Title VII of the Civil Rights Act of 1964. Include in your discussion a statement about the purpose of Title VII, protected classes, organizations that must comply and employment practices covered. Also include a brief discussion of the two types of cases that can be filed with the EEOC.

States that it is illegal for organizations to discriminate in any way based on a person's sex, race, national origin, color, and/or religion Employment practices covered -discrimination in the terms/conditions and privileges of employment -discrimination in the segregation or classification of employees -retaliation for filing EEO claims --Two major types of Title VII cases are Cases of disparate treatment Cases of disparate impact

types of sexual harassment

TYPES of Sexual Harassment 1. Quid Pro Quo: occurs when employment outcomes are made contingent on the granting of sexual favors - aka This for That - tangible employment outcome - economic harassment 2. Hostile Environment: - 3 criteria for determining: a. does conduct unreasonable interfere with performance b. is the conduct threatening or humiliating, beyond the point of being just offensive c. does the conduct affect the employee's psychological well-being

When grading student papers, Professor Arthur uses a grading rubric that specifies performance standards for grammar, organization, references, and creativity. However, rather than grading student papers based on the rubric, he tends to grade a paper by comparing it to the previously read paper. Professor Arthur's grading is most likely subject to ____

The contrast error

Reliability

The degree to which a measure of physical or cognitive abilities or traits is free from random error.

Which of the following is true of an employer who uses the second-quartile strategy of compensation?

The employer pays the employees on par with the market levels.

Discuss the role of HR in organizational strategy and for helping an organization maintain competitive advantage.

The first step in human resource planning is personnel forecasting. Through trend analysis and good judgment, the planner tries to determine the supply of and demand for various human resources.• Based on whether a surplus or a shortage is expected, the planner sets goals and creates a strategy for achieving those goals.• The organization then implements its HR strategy and evaluates the results

Which of the following factors is an objective measure of performance?

The number of times an employee was absent or late to work in a given month

Discuss the criteria for exempt status for both the executive and professional exempt categories under the FLSA. (Executive)

To qualify for exempt for Executive exemption status: 1. The employee must bed compensated on a salary basis at a rate not less than $455 per week 2. The employees primary duty must be managing the enterprise, or managing a customarily recognized department or subdivision of the enterprise. 3. The employees must customarily and regulary direct the work of at least two or more other full-time employees or their equivalent 4. The employee must have the authority to hire or fire other employees, or the employee suggestions and recommendations as to the hiring, firing, advancement, promotion or any other change of status of other employees must be given particular weight.

Discuss the criteria for exempt status for both the executive and professional exempt categories under the FLSA. ( Professional)

To qualify for exempt for professional exemption status: 1. The employee must be compensated on a salary or fee basis at a rate not less than $455 per weak. 2. The employees primary duty must be the performance of work requiring advanced knowledge 3. The advanced knowledge must be in a field of science or learning 4. The advanced knowledge must be customarily acquired by a prolonged course of specialized intellectual instruction.

Predictors with the highest validity

Work Samples

Core competency

a capability that CREATES VALUE and differentiates the organization from competitors

evaluation designs

a. *post-test only* design - WEAKEST b. *pretest/post-test* design c. *after/only control group* design d. *pretest/post-test control group* design - STRONGEST

job relatedness

aka validity aka criterion-related validity - a practice is related to job performance - BEST (most effective)

Wage Surveys

collection of data on compensation rates for workers performing similar jobs in other organizations. Ensures external equity.

Compa-ratio

compa-ratio = actual average pay for grade/pay midpoint for grade

Kirkpatrick's evaluation criteria

criteria for evaluating training effectiveness (Kirkpatrick's model) - *reaction* criteria - *learning* criteria - *behavioral* criteria - *results* criteria (Return on Investments)

construction of a behavioral rating scale

gather a large number of critical incidents that represent effective and ineffective performance on the job. These incidents are classified into performance dimensions, and the ones that experts agree clearly represent a particular level of performance are used as behavioral examples (or anchors) to guide the rate.

red-circled employee

incumbent who is paid above the range set for a job Georgy, an employee at a telecommunications company, is in Pay Grade 3 and earns $14.50 an hour. The pay range for Grade 3 is $7 to $13 an hour. Georgy, therefore, is paid above the pay range set for his job. In the given scenario, Georgy is a _____.

Reasonable accommodation

issue in several protected classes, something as the employer can give to the applicant that can accommodate their protected class status, as well as enable provide those people their job well. (Addressed in the ADA and Civil Rights Act)

In the context of job evaluation, external pay data are used to identify the relative value of jobs based on what other employers pay for similar jobs in the _____.

market pricing method

Spaced vs Massed practice sessions

massed practice = occurs when participants practice all of the material in one sitting spaced = practice performed in several sessions spaced over hours and days *spaced practice sessions are better than massed practice sessions*

The Fair Labor Standards Act (FLSA) provisions focus on

minimum wage

Common uses of performance assessment

monitoring, evaluating, measuring, improving and rewarding worker performance

Learning principles discussed in class

seven conditions under which employees learn best include: 1. Need to know why they should learn. 2. Meaningful training content. 3. Opportunities to practice. 4. Feedback. 5. Observe, experience, and interact with others. 6. Good program coordination and administration. 7. Commit training content to memory.

Behaviorally anchored rating scales (BARS)

specifically define performance dimensions by developing behavioral anchors associated with different levels of performance.

sources of appraisal information

supervisory appraisals self appraisals Peer appraisals Upward/subordinate appraisal customer appraisal *360 degree appraisal/feedback

HR planning process (know the steps)

the process of ANALYZING AND IDENTIFYING the demand for and supply of human resources sufficient for: 1. implementation of strategic objectives 2. the achievement of organizational goals Sufficiency in terms of: 1. Quantity 2. Quality

trait/outcome/behavior criteria

these criteria can be assessed/measured objectively or subjectively