© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

14–2 Learning Objectives After studying this chapter, you should be able to: 1.Describe the relationships among performance measured at different levels within an organization and discuss how training, development, and job redesign can help improve performance 2.Discuss the role of alternate work arrangements in motivating and enhancing performance 3.Describe the role of incentive pay and identify different programs for individual-based and team-based incentive plans

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–3 Learning Objectives (cont’d) After studying this chapter, you should be able to: 4.Discuss the best ways to deliver performance feedback and the issues involved with feedback and describe the basic operation of the ProMES system 5.Discuss how organizations evaluate performance- enhancement programs 6.Discuss how recent world events have affected the role of HR.

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–4 Enhancing Performance at Different Levels Firm-Level PerformanceFirm-Level Performance  Is an indication of the likelihood of long-term survival of the firm.  Generates profits for potential profit sharing and determines the firm’s stock price.

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–5 Enhancing Performance TrainingTraining  Is a planned attempt by an organization to facilitate employee learning of job-related knowledge, skills, and behaviors DevelopmentDevelopment  Involves teaching managers and professionals the skills needed for both present and future jobs.

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–6 Enhancing Job Performance Job rotation Job enlargement Job enrichment Job Redesign

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–7 Enhancing Performance The Job Characteristics ApproachThe Job Characteristics Approach  Takes into account the work system and employee preferences  Suggests that jobs can be diagnosed and improved along five core dimensions:  Skill variety  Task variety  Task significance  Autonomy  Feedback

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–8 The Job Characteristics Model of Job Design

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–9 Alternative Work Arrangements At WorkAt Work  Work teams  Flexible work hours  Compressed workweeks Away from WorkAway from Work  Home work programs  Telecommuting

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–10 Flexible Work Schedules

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–11 Employed Workers with Alternative Work Arrangements by Occupation and Industry (Percentage Distribution for 2009)

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–12  Identify jobs best suited for telecommuting  Select responsible employees  Establish procedures  Establish a training program  Keep telecommuters informed  Recognize when telecommuting does not work Beyond the Book: Successful Telecommuting

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–13 Incentives and Performance-Based Rewards Merit PayMerit Pay  Is awarded individuals on the basis of the relative value of their individual contributions to the organization. Merit Pay PlansMerit Pay Plans  Base a portion of compensation on individual merit.

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–14 Individual Incentive Plans Base Salary Sales commission Nonmonetary Awards Incentive Plans

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–15 Gainsharing Plans (Scanlon) Profit sharing plans Stock options plans Employee stock ownership (ESOPS) Team and Group Incentive Plans

Performance Management and Feedback Performance-Management TechniquesPerformance-Management Techniques  Behavior modification  Goal setting  Performance feedback  Self-appraisal © 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–16

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–17 Performance Management and Feedback (cont’d) Productivity Measurement and Evaluation System (ProMES)Productivity Measurement and Evaluation System (ProMES)  Is used to improve group- or firm-level productivity Evaluating Performance-Enhancement ProgramsEvaluating Performance-Enhancement Programs  Determining whether or not strategic goals were met  Using multiple performance indicators (e.g. human and financial goals)

© 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–18 A Sample ProMES Curve

HR in the Headlines HRM and the Arab SpringHRM and the Arab Spring  Multicultural differences in workforces can greatly affect HRM practices. HR Meets High TechHR Meets High Tech  Workplace cultures that respect worker privacy and work-life balance concerns Toward a Two-Class Benefits SystemToward a Two-Class Benefits System  Benefits shrink at older firms and grow in benefits at newer, more profitable firms HR at Faith-Based BusinessesHR at Faith-Based Businesses © 2014 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. 14–19