Human Resource Management Chapter 10 Copyright © 2011 by the McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin

Human Resource Management  Human resources management (HRM)  Formal systems for the management of people within an organization. 10-2

Strategic Human Resources Management  Human capital  The knowledge, skills, and abilities of employees that have economic value. 10-3

The HR Planning Process  Demand forecasts  determining how many and what type of people are needed.  Supply of labor  how many and what types of employees the organization actually will have. 10-4

An Overview of the HR Planning Process 10-5 Figure 10.1

Staffing the Organization  Recruitment  The development of a pool of applicants for jobs in an organization  Internal, external  Selection  Choosing from among qualified applicants to hire into an organization 10-6

RECRUITING SOURCES  Internal – current and past employees, interns, temps  Employee referrals  Web/internet  Advertising – newspaper/professional journals  Recruiting agencies – public and private  Job fairs  Schools and colleges  Professional association/unions

Selection 10-8 Applications and Résumés Reference Checks Drug Testing Cognitive Ability Tests Performance Tests Integrity Tests Interviews Background Checks Personality Tests

Interviews  Structured interview  Selection technique that involves asking all applicants the same questions and comparing their responses to a standardized set of answers. 10-9

Use of Pre-employment Selection Tools Figure 10.2

Performance Tests  Assessment center  A managerial performance test in which candidates participate in a variety of exercises and situations

Workforce Reductions  Outplacement  The process of helping people who have been dismissed from the company regain employment elsewhere

Termination  Employment-at-will  The legal concept that an employee may be terminated for any reason

Advice on Termination Table 10.1

Legal Issues and Equal Employment Opportunity  Adverse impact  When a seemingly neutral employment practice has a disproportionately negative effect on a protected group

U.S. Equal Employment Laws Table 10.2

U.S. Equal Employment Laws (cont.) Table 10.2

CIVIL RIGHTS ACT  Race/color, sex, national origin, religion  Includes all organizations with 15 or more employees  Enforced by the Equal Employment Opportunity Commission  Investigates complaints  Voluntary conciliation  Files cases in federal courts  Original law provided for actual damages only  Amendments allow penalties for intentional discrimination

AGE DISCRIMINATION IN EMPLOYMENT ACT  Employees 40 years of age or older  Covers all organizations with 20 or more employees  Enforced by the EEOC  Allows for double damages  Penalties for intentional discrimination provided in amendments to law

AMERICANS WITH DISABILITIES ACT  Protects those with disabilities  Physical or mental impairment that substantially limits a major life activity  Record of such an impairment  Regarded as having such an impairment  Enforced by the EEOC  Reasonable accommodation  Reassign marginal duties  Modify work schedules  Modify exams and testing materials  Provide qualified readers/interpreters  Permitting use of paid/unpaid leave

BONA FIDE OCCUPATIONAL QUALIFICATION  Social Modesty – shower or locker room  Aesthetics – acting, modeling  Necessary Requirement  Religion  Age  Other

Training and Development  Training  Teaching lower-level employees how to perform their present jobs.  Development  Helping managers and professional employees learn the broad skills needed for their present and future jobs

Training and Development  Needs assessment  An analysis identifying the jobs, people, and departments for which training is necessary

Most Frequently Used Training Methods Figure 10.4

Types of Training  Orientation training  Training designed to introduce new employees to the company and familiarize them with policies, procedures, culture, and the like  Team training  Training that provides employees with the skills and perspectives they need to collaborate with others

Types of Training  Diversity training  Programs that focus on identifying and reducing hidden biases against people with differences and developing the skills needed to manage a diversified workforce

Performance Appraisal  Performance appraisal (PA)  Assessment of an employee’s job performance

Performance Appraisal  360-degree appraisal  Process of using multiple sources of appraisal to gain a comprehensive perspective on one’s performance 10-28

Giving Feedback 1.Summarize the employee’s performance, and be specific. 2.Explain why the employee’s work is important to the organization. 3.Thank the employee for doing the job. 4.Raise any relevant issues, such as areas for improvement. 5.Express confidence in the employee’s future good performance

Factors Affecting the Wage Mix Figure 10.6

Employee Benefits  Cafeteria benefit program  An employee benefit program in which employees choose from a menu of options to create a benefit package tailored to their needs.  Flexible benefit programs  Benefit programs in which employees are given credits to spend on benefits that fit their unique needs. comparable worth 10-31

Labor Relations  Labor relations  The system of relations between workers and management

Collective Bargaining  Union shop  An organization with a union and a union security clause specifying that workers must join the union after a set period of time.  Right-to-work  Legislation that allows employees to work without having to join a union

Determinants of Union Voting Behavior Figure 10.8