Human Resource Staffing and Performance Management MANA 5341 Dr. George Benson

Human Resource Management Planning and Job Design Recruiting and Selection Training and Development Performance Management Compensation Employee Relations

HR Staffing  Legal Compliance  Determining HR needs  Projecting staffing levels  Job analyses  Managing competencies  Identifying and recruiting employees  Evaluating candidates  Selection tests  Interviewing  Managing retention

Performance Management  Performance management systems  Timing, forms, and outcomes  Managing for employee motivation  Goal setting  Pay for performance  Providing performance feedback

Corporate Strategy Simplified 1.Core Competencies  “An area of specialized expertise” C.K. Prahalad and Gary Hamel (1990) Harvard Business Review  Competitive advantage  Something you do better than competitors Cost Leadership Cheaper Prices Differentiation Better Products 2.Efficiency vs. Innovation

Staffing and Strategy  Performance requires HR practices that:  Match the business strategy  Are internally consistent  Fit with organizational values and beliefs  Some Examples:  Self-managed teams (e.g. Whole Foods)  Talent acquisition (e.g. Cisco, Texas Instruments)  Rapid expansion (e.g. Starbucks)  Low cost (e.g. Wal-Mart)

Staffing and Performance  Labor is the single most significant cost of doing business: payroll and replacement costs.  Business strategies require specific skills and behaviors to be successful.  Employees provide customer service, create value, and execute strategy.  HR practices can be crafted to support certain types of skills and encourage behaviors.  “How do we hire the right people?”

“How do we hire the right people?” Traditionally staffing has focused on the match between an applicants skills and experience and the job requirements. Match Person KSA’s Motivation Job Requirements Rewards

Person/Job Match Match Impact Person KSA’s Motivation Job Requirements Rewards HR Outcomes Performance Extra Effort Retention Satisfaction Commitment

Person/ Organization Match Match Impact Person KSA’s Motivation ATTITUDE Job Requirements Rewards Organization Task Flexibility Values/Culture Career Progression HR Outcomes Performance Extra Effort Retention Satisfaction Commitment

Southwest Airlines

Recruiters speak in the same near-spiritual terms. What's he looking for in a candidate? "An attitude -- a genuineness -- a sense of what it takes to be one of us." “It takes a special individual to become a Customer Service Agent, and we look for folks who are eager, who are “quick on their feet” with “outside the box” thinking and who have caring, friendly natures. Because we operate almost around the clock (including holidays), Customer Service Agents work unusual hours and are on their feet eight hours a day. Yet, almost all of these Employees will tell you how much they LUV their jobs.” Colleen Barrett President and Chief Operating Officer

Wanted: Customer Service Agent 1.Submit a resume. 2.Attend a Group Information/Screening Session. 3.Attend a one-on-one interview & complete an application. 4.Background check. 5.Drug screening. 6.Job offer - Start date determined - Training scheduled.

"Coat of Arms" Applicants fill out and read aloud a questionnaire in which applicants complete statements such as: One time my sense of humor helped me was….. A time I reached my peak performance was……. My personal motto is……

“Fallout Shelter” Applicants are told to imagine they are a committee charged with rebuilding civilization after a just-declared nuclear war. They're given a list of 15 people from different occupations: nurse, teacher, all- sport athlete, biochemist, pop singer. They have 10 minutes to make a unanimous decision about which 7 can remain in the only available fallout shelter.

“Fallout Shelter” The answers don’t matter.... The test is about the interaction... As the candidates debate, evaluators watch from across the room and grade each person on a scale from "passive" to "active" to "leader."

Southwest’s reputation for service and “Fun Place to Work” More than 34,000 total Employees Southwest received 202,357 resumes and hired 908 new Employees in 2003 Hires about.5% of applicants – that is they hire 4.4 per 1000 applicants. Support Business Strategy

Become a SWA Customer Service Agent? All SWA Employees and their family members have FREE UNLIMITED travel anywhere Southwest Airlines flies! As a SWA Employee you will receive Profit Sharing... and Southwest Airlines has had 31 consecutive years of profit! FABULOUS Medical, Dental and Vision plans for all Employees! Dollar for dollar match in 401K - up to 7.3%! Casual uniform environment, which means you can wear tennis shoes! The Southwest Airlines University offers Career Development classes! Chili Cookoffs, Holiday Celebrations, Deck Parties, Golf Tournaments and more for all SWA Employees and their family members.

Entry Level Jobs at SWA Customer Service Agents First Year$9.00/hr Second Year$10.00/hr Flight Attendants 1st 6 Months $14.67/Trip* 2nd 6 Months$14.90/Trip* 2nd Year$17.34/Trip* *one trip = 243 miles

Results 31 consecutive profitable years. Southwest has ranked number one in fewest Customer complaints for the last 13 consecutive years as published in the DoT’s Air Travel Consumer Report. Among all industries in 2003, FORTUNE has listed Southwest Airlines as number two among America’s Top Ten most admired corporations. According to the April 2003 issue of FORTUNE, Southwest is an employer of choice among college students.

Southwest’s HRM Practices Employment Security Selectivity in Recruiting Incentive pay Employee Ownership Information Sharing Participation & Ownership Self-Managed Teams Training & Development Cross-Utilization & Cross-Training Symbolic Egalitarianism Wage Compression Promotion From Within Taking the Long View Measurement of Practice Overall Philosophy

Staffing, Strategy and Performance Value at Southwest Airlines is: 1.Created through satisfaction of employee needs. 2.Converted to customer and share holder value via organizational capabilities (the design of specific operating processes). 3.Captured by SWA as competitive advantage through lower costs and superior service (productivity) in relation to its competitors.

Staffing and Strategy  Performance requires HR practices that:  Match the business strategy  Are internally consistent  Fit with organizational values and beliefs

HR Alignment Planning and Job Design Recruiting and Selection Training and Development Performance Management Compensation Employee Relations INTERNAL FIT

Next week…..  Legal Compliance  HRS Chapter 2  DOL Chapter 2