1. Managing Human Resources Back to Table of Contents

2. Managing Human Resources 2 Chapter 18 Managing Human Resources Developing and Keeping Human Resources Motivating Employees 18.1 18.2

3. Managing Human Resources 3 Identify the components of human resource management. Section 18.1 Developing and Keeping Human Resources 18.1

4. Managing Human Resources 4 People are the most important resource of a small business. Employees have a big effect on a company’s performance. Section 18.1 Developing and Keeping Human Resources 18.1

5. Managing Human Resources 5 human resources human resource management labor union educational activities Section 18.1 Developing and Keeping Human Resources 18.1 developmental activities cost effective employee complaint procedure Pregnancy Discrimination Act

6. Managing Human Resources 6 Human Resource Management The human resources of a company represent one of its largest investments. human resources the people employed in a business, commonly referred to as personnel Section 18.1 Developing and Keeping Human Resources

7. Managing Human Resources 7 Human Resource Management The primary goals of human resource management are to facilitate performance and improve productivity. human resource management the part of business concerned with recruiting and managing employees Section 18.1 Developing and Keeping Human Resources

8. Human Resource Management Section 18.1 Developing and Keeping Human Resources 8 Components of Human Resource Management Recruiting Managing Overseeing Resolving Ensuring Handling Recruiting and screening employees Managing union dealings Overseeing employee training and development Overseeing pay and benefits Resolving day-to-day problems Ensuring equal opportunity Handling employee termination

9. Managing Human Resources 9 Recruiting and Screening Employees You can find new employees by: Section 18.1 Developing and Keeping Human Resources recruiting from within recruiting from competitors recruiting with ads, job boards, employment agencies, and word of mouth

10. Managing Human Resources 10 Managing Dealings with Unions Labor unions strengthen workers’ ability to bargain for wages, benefits, working conditions, and other concerns. labor unions organizations that represent workers in their dealings with employers Section 18.1 Developing and Keeping Human Resources

11. Managing Human Resources 11 Overseeing Training and Development Businesses should include educational activities and developmental activities to employee training. educational activities actions, such as a human relations workshop, that prepare employees for advancing in the organization Section 18.1 Developing and Keeping Human Resources developmental activities actions, such as an industry conference, that prepare managers to lead the company into the future

12. Managing Human Resources 12 Overseeing Training and Development After your training program is up and running, you should evaluate it to see how cost effective it is and whether the program’s objectives were achieved. cost effective economically worthwhile in terms of what is achieved for the amount of money spent Section 18.1 Developing and Keeping Human Resources

13. Overseeing Training and Development 13 Training and Development Techniques On-the-job training Vestibule training Classroom teaching CoachingMentoring Job rotation Conferences and seminars Section 18.1 Developing and Keeping Human Resources

14. Managing Human Resources 14 Resolving Day-to-Day Problems Employee conflicts can be resolved in an objective manner when an employee complaint procedure is in place. employee complaint procedure a formal procedure for handling employee complaints, usually in writing and distributed to employees Section 18.1 Developing and Keeping Human Resources

15. Managing Human Resources 15 Ensuring Equal Opportunity As an employer and manager, you must ensure that employees are not discriminated against. One law you should know about is the Pregnancy Discrimination Act. Pregnancy Discrimination Act a federal law that requires that employers treat their pregnant employees like all other employees when determining benefits Section 18.1 Developing and Keeping Human Resources

16. Managing Human Resources 16 Handling Problem Employees and Termination Sometimes employees do not work out, or they perform below expectations. In those instances, you may have to resort to professional counseling or assistance, disciplinary action, or termination. Section 18.1 Developing and Keeping Human Resources

17. Managing Human Resources 17 1. Identify the components of human resource management. Section 18.1 Developing and Keeping Human Resources Human resource management includes recruiting and screening employees, managing dealings with unions, overseeing employee training and development, overseeing pay and benefits, resolving day-to-day problems, ensuring equal opportunity, and handling employee terminations. 18.1

18. Managing Human Resources 18 Explain how managers influence motivation. Explain ways to maximize employee performance Explain the importance of delegation Explain how to assess motivational techniques used to increase performance levels. Section 18.2 Motivating Employees 18.2

19. Managing Human Resources 19 One of an entrepreneur’s tasks is to motivate employees. Employees who are motivated produce more and better work. Section 18.2 Motivating Employees 18.2

20. Managing Human Resources 20 Theory X Theory Y hygiene factors motivating factors job enlargement job enrichment Section 18.2 Motivating Employees 18.2 telecommuting family leave flextime management-by-objectives work team performance evaluation

21. Managing Human Resources 21 How Managers Influence Motivation Communication is a key factor in employee motivation. How employees are regarded and treated also affects their motivation. Section 18.2 Motivating Employees

22. Managing Human Resources 22 Assumptions Managers Make In The Human Side of Enterprise, Douglas McGregor identifies two sets of assumptions managers make about employees: Theory X and Theory Y. Theory X an assumption that states the belief that employees are basically lazy and need constant supervision Section 18.2 Motivating Employees Theory Y an assumption that states the belief that employees are motivated to work and thrive in a culture that supports motivation

23. Managing Human Resources 23 Hygiene Factors Versus Motivating Factors According to research, two types of factors motivate workers: hygiene factors and motivating factors. hygiene factors factors that do not improve a situation, but keep situations from getting worse Section 18.2 Motivating Employees motivating factors factors that motivate employees, such as achievement, recognition, responsibility, advancement, growth, and the reward from doing the work itself

24. Managing Human Resources 24 Maximizing Employee Performance To improve employee motivation: Section 18.2 Motivating Employees Provide meaningful work. Allow scheduling flexibility. Involve employees in decision making. Give recognition. Provide performance evaluations. Reward performance.

25. Managing Human Resources 25 Provide Meaningful Work You can redesign your employees’ jobs through job enlargement and job enrichment. job enlargement the act of increasing the tasks, responsibilities, and scope of a job Section 18.2 Motivating Employees job enrichment the act of making a job more rewarding and less monotonous for the worker by adding elements at a different or higher skill level

26. Managing Human Resources 26 Allow Scheduling Flexibility Flexible schedule techniques include: Section 18.2 Motivating Employees telecommuting family leave flextime

27. Managing Human Resources 27 Allow Scheduling Flexibility Telecommuting for employees has been made possible because of computers, communications technology, and overnight delivery services. telecommuting the act of performing some or all of a job away from the business Section 18.2 Motivating Employees

28. Managing Human Resources 28 Allow Scheduling Flexibility Large companies must offer family leave under federal law. family leave a policy that allows employees to take time off work to attend to significant personal events, such a births, deaths, and family illness, without fear of job loss Section 18.2 Motivating Employees

29. Managing Human Resources 29 Allow Scheduling Flexibility Businesses that offer flextime allow employees to adjust their work schedules to suit their personal needs. flextime a policy that allows employees to choose the work hours and days that are most effective for their personal lives Section 18.2 Motivating Employees

30. Managing Human Resources 30 Involve Employees in Decision Making One way to involve employees in the decision- making process is management-by- objectives. management-by- objectives a management technique that involves employees in setting their own objectives and gauging their own progress Section 18.2 Motivating Employees

31. Managing Human Resources 31 Involve Employees in Decision Making Forming a work team in your business is another means of involving employees in decision making. work team a group of employees assigned a task without direct supervision and with responsibility for their results Section 18.2 Motivating Employees

32. Managing Human Resources 32 Provide Performance Evaluations A performance evaluation can be motivational when suggestions for improvement present the employee with something to strive for, a measure of future accomplishment. performance evaluation the process of judging how well an employee has performed the duties and responsibilities associated with a job, usually for the purpose of contract renewal or promotion Section 18.2 Motivating Employees

33. Managing Human Resources 33 Delegating Responsibility When you delegate responsibility, you give an employee the authority to and responsibility for carrying out some of your work. Delegating responsibility gives you more time to work on other things and also motives the employee. Section 18.2 Motivating Employees

34. Managing Human Resources 34 Evaluating Employee Motivational Techniques Motivational techniques that require a large commitment of time and resources should be asked to determine if they are: Section 18.2 Motivating Employees working as a motivator in need of revision worth the cost able to be done a better way

35. Managing Human Resources 35 1. Explain how managers influence motivation. Section 18.2 Motivating Employees Managers influence motivation by communicating with their employees. Managers must communicate goals and objectives if they expect employees to meet them. Managers also influence employee motivation by the way they treat their employees. 18.2

36. Managing Human Resources 36 2. Explain ways to maximize employee performance. Section 18.2 Motivating Employees Ways to maximize employee performance include providing meaningful work, allowing scheduling flexibility, involving employees in decision making, giving recognition, providing performance evaluations, and rewarding performance. 18.2

37. Managing Human Resources 37 3. Explain the importance of delegation. Section 18.2 Motivating Employees Delegation allows an owner to work on other things, it motivates the employee, it shows confidence in the employee, and it prepares the employee for more responsibilities. 18.2

38. Managing Human Resources 38 4. Explain how to assess motivational techniques used to increase performance levels. Section 18.2 Motivating Employees Motivational techniques that require a large commitment of time and resources, such as awards banquets, should be formally assessed to determine whether they are working as motivators, whether they need revision, whether they are worth the cost, and whether they can be done a better way. 18.2

39. Managing Human Resources 39 Section 18.2 Motivating Employees 39 When someone does an Internet search, they will receive hundreds of pages and links to other sites. Since most viewers give their primary attention to the first few Web pages, businesses try to have theirs on top. Positioning a Web Site

40. Managing Human Resources 40 Section 18.2 Motivating Employees 40 Tech Terms crawler a program used to compile into a search engine information about Web sites keyword a word or phrase you type to begin an online search meta tags information coded within the HTML programming of a Web page

41. Managing Human Resources 41 Section 18.2 Motivating Employees 41 Tech Terms pay-per-click a search engine payment model in which companies only pay for clicks to the destination site through the search engine site based on a prearranged rate pay-per-performance a search engine payment model in which companies pay a fee to be listed at the top of the search results page

42. Managing Human Resources 42 Section 18.2 Motivating Employees 42 Tech Terms position the place a search engine result falls on the results list in a Web search search engine an online software application that creates indexes of Internet sites based on the titles of files, keywords, or the full text of files

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