1. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-1 CHAPTER 7 The environment for performance

2. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-2 Learning Outcomes  Define the terms industrial democracy, performance management, employee compensation and career planning.  Align specific job roles with the organisation’s strategic and operational plans.  Explain how performance management adds value to the organisation. (cont.)

3. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-3 Learning Outcomes (cont.)  Develop techniques to gain and maintain individual and team commitment to performance outcomes that reflect individual and team roles.  Understand the role of performance objectives and standards and how they are measured.  Establish flexible performance management systems. (cont.)

4. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-4 Learning Outcomes (cont.)  Explain ways that individuals and teams can monitor, report and correct performance as needed.  Establish performance evaluation tools to monitor and measure various levels of performance.  Ensure that feedback systems incorporate feedback plans, training and assistance strategies and grievance procedures. (cont.)

5. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-5 Learning Outcomes (cont.)  Provide performance feedback to all parties that need it to correct past methods or techniques.  Understand how rewards can affect excellence in performance and outcomes.  Determine action to be taken where there is continued evidence of underperformance or lack of changed performance.

6. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-6 Job Enrichment Job enrichment is the vertical expansion of a job by providing extra responsibilities.

7. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-7 Determinants of Job Satisfaction  Achievement  Recognition  Work itself  Responsibilities  Advancement

8. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-8 Job Dissatisfaction Major points of dissatisfaction include:  Company policy and administration  Supervision/interpersonal relations  Salary and working conditions

9. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-9 Job Satisfaction Job satisfaction generally means ‘being satisfied with one’s workplace’. Rewards are benefits from above-average performance. Job satisfaction may be derived from extrinsic or intrinsic rewards.

10. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-10 Industrial Democracy Industrial democracy is the spread of organisational and decision-making power from management to workers.

11. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-11 Job Security Job security is the knowledge that a position will exist in the future, usually associated with quality and productivity issues.

12. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-12 Job Rotation Job rotation involves moving workers around or changing their tasks in the workplace.

13. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-13 Job Enlargement Job enlargement is a horizontal expansion of a job by providing different work at the same level of responsibility (opposite of job enrichment).

14. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-14 Worker Participation Worker participation is involvement of the worker in the decision-making process affecting the workplace.

15. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-15 Quality of Work Life Quality of work life includes factors in the workplace that workers are entitled to.

16. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-16 HRM Functions and Job Analysis

17. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-17 Accountability Accountability means being responsible for one’s actions and outcomes.

18. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-18 Career Planning Career planning is a process designed to develop, over time, a structure to one’s career.

19. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-19 Career Plateaus A career plateau is a point in one’s career where the opportunity to move forward is limited or prevented.

20. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-20 Employee Compensation Employee compensation is the value received by workers from their employers for the effort they have exercised to complete a task.

21. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-21 Productivity Bargaining Productivity bargaining is the process of trading employee benefits for increased organisational productivity.

22. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-22 Establishing an Organisational Salary or Wage Policy  Salary—compensation to workers irrespective of their actual hours of work.  Wage—compensation based on a base unit of time or performance.

23. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-23 Salary Structure and Administration There are three critical elements in the development of a salary structure. These are:  internal relationships  external relationships  salary administration

24. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-24 Performance and Organisational Success

25. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-25 High Commitment Management High commitment management (HCM) is the increased management determination to seek newer and better productivity tools and techniques.

26. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-26 High Involvement Management High involvement management (HIM) is a higher level of involvement by management in workplace productivity practices.

27. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-27 Performance Management Systems

28. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-28 Goals of Performance Management Goals of performance management include:  developing the individual, and  evaluating the individual

29. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-29 Strategic Planning Strategic planning is the process of planning for the future development and direction of an organisation or part of an organisation.

30. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-30 Performance Standards Standards of performance are written statements describing how well a job or position should be performed. Standards should be developed directly or collaboratively.

31. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-31 Observation and Feedback  Observations are the raw data, the factual base that allows constructive feedback to be presented to an employee.  Feedback is the response gained from an employee when asked a question.

32. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-32 Performance Appraisal Appraisal occurs in organisations whether there is a formal procedure for its conduct or not. We all appraise other people as part of our social interaction.

33. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-33 Performance Development Plan The development of employee skills, knowledge and experience is a challenge to both the employee and the organisation. Organisations use performance development plans as a means of managing performance.

34. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-34 Teams A team is a group of people working towards a common goal or direction. Its strength derives from the ability to assemble a collection of skills, knowledge and experience for the purpose of goal achievement.

35. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-35 Chapter 7 Summary  Productivity bargaining is the basis of many annual employer–employee performance reviews and workplace negotiations.  Sound and workable compensation policies are the responsibility of the organisation after input from management and employees. (cont.)

36. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-36 Chapter 7 Summary (cont.)  Management of performance and organisational success are complementary.  Performance management is an ongoing, proactive process to facilitate work completion and to enhance or improve employee productivity or capability. (cont.)

37. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Australian Human Resources Management by Jeremy Seward and Tim Dein Slides prepared by Michelle Travers 7-37 Chapter 7 Summary (cont.)  The performance management structure includes job descriptions, strategic plans, annual corporate and individual goals, standards and norms, observation and feedback, appraisal and performance development.  Performance management of teams places addition burdens on both the individual and the organisation.