1. The Environmental Context of Human Resource Management
What is Human Resource Management?
HRM is the set of organizational activities directed at attracting, developing, and maintaining an effective workforce.
Why Human Resource Management?
Human resources are critical for effective organizational functioning.

2. Job Analysis
Job Analysis is a systematic procedure for studying jobs to determine their various elements and requirements.
Job Description is a list of elements that make up a particular job.
Job Specification is a list of the qualifications [skills, abilities, etc.] required to perform a particular job.
Job Analysis is the basis for recruiting and selecting employees for existing or new jobs and is used to prepare job evaluation forms and to determine compensation levels.

3. Job Description and Job Specification
Source: Used with permission of Houghton Mifflin Company.

4. Attracting Human Resources
How do HRMs forecast human resource demand and supply?
Assessing trends.
Sales forecast analysis.
Forecasting the labor supply.
Plan for dealing with predicted shortfalls or overstaffing.

5. Attracting Human Resources
Replacement Chart – lists each important managerial position in the organization and identifies:
who occupies it
how long he or she will probably remain in that position
who is or will be a qualified replacement

6. Attracting Human Resources
Employee Information System:
Generally a computerized record on each employee’s education, skills, experience and career aspirations.
Easily able to identify any and all employees who are eligible to fill positions.

7. Human Resource Planning
Assess trends in:
External labor market
Current employees
Future organizational plans
General economic trends
Predict demand
Forecast internal supply
Forecast external supply
Compare future demand and
internal supply
Plan for dealing with predicted
shortfalls or overstaffing

8. Recruiting Human Resources
What is recruiting?
Attracting qualified people to apply for the jobs that are open.
What are the forms of recruiting?
Internal recruiting: considering present employees as candidates for openings.
External recruiting: attracting people outside the organization to apply for jobs.

9. Recruiting Human Resources
It is important to bring about a good person-job fit.
The Realistic Job Preview [RJP] provides the applicant with a real picture of what the job would be like.

10. Recruiting Human Resources
Validation – determining the extent to which a selection device is really predictive of future job performance.
Predictive validation – involves collecting scores of employees or applicants on a device to be validated and correlating their scores with actual job performance.

11. Recruiting Human Resources
Content validation – uses logic and job analysis data to establish that the selection device measures the exact skills needed for successful job performance.
Can the applicant actually perform the duties?

12. Recruiting Human Resources
Selection Processes:
Application Blanks
Tests of ability, skill aptitude or knowledge
Interviews
Assessment Centers – managerial simulations
Polygraphs, Drug tests, Physicals, Credit checks

13. Selecting Human Resources
Validation, determining the extent to which a selection device is predictive of future job performance
Application
Blanks
Tests
Interviews
Assessment
Centers

14. Developing Human Resources
What does training mean?
Teaching operational or technical employees how to do the job for which they were hired.
What is employee development?
Teaching managers and professionals the skills needed for both present and future jobs.

15. The Training Process

16. What Is a Performance Appraisal?
A Performance Appraisal is a formal assessment of how well an employee is doing his or her job.
There are various form of appraisals such as:
Behaviorally Anchored Rating Scale [BARS], a sophisticated rating method in which supervisors construct a rating scale associated with behavioral anchors.

17. What Is a Performance Appraisal?
Common Appraisal Methods:
Objective Methods – includes actual output and special performance tests.
Judgmental Methods – ranking and rating techniques are the most common.
Rating differs from Ranking in that it compares each employee with a fixed standard rather than comparison with other employees.

18. Graphic Rating Scales for a Bank Teller

19. Behaviorally Anchored Rating Scale

20. What Is a Performance Appraisal?
Errors in Performance Appraisals:
‘Recency’ Error – the tendency to base judgments on the subordinate's most recent performance because it is most easily recalled.
Overuse of one part of the scale – giving everyone a rating of ‘average’, being too easy or too tough.
Halo Error – allowing the assessment of an employee on one dimension to ‘spread’ to ratings of that employee on other dimensions.

21. What Is a Performance Appraisal?
360-degree Feedback - is a performance appraisal system in which managers are evaluated by everyone around them – their boss, their peers and their subordinates.

22. What Is a Performance Appraisal?
Performance Feedback:
Last step in the performance appraisal
Discussion should generally be focused on the facts:
The assessed level of performance
How and why that assessment was made
How it can be improved in the future