1. Business Policy & Strategy Chapter 11 Human Resources Murdick, Moor, Babson & Tomlinson Sixth Edition, 2000

2. Functional Area – Human Resources Changing Environment Human Resource Manager (HRM) Identifying Problem Areas Relating People with Problems Checklist for Analysis

3. Most problems in businesses are people problems That’s why HR is so important. But it is not what it used to be!

4. Changing Environment Workforce 75% Services 50% Women by 2005 Social Factors Better Educated Low Tolerance Social Changes Drug abuse Alcoholism Aging workforce Sexual harassment (Beer company lost suit awarding $24 Million dollars!)

5. Conditional Employment Labor Management Relations 15% Manufacturing is unionized Less Unionizing in recent elections but some increase in the services area Legal 2-3 Lawyers per 100 People Law Suits too Costly

6. Conditions of Employment Productivity Workers Control Reward System Computer Impacts High Volume Record keeping Higher Technology/Higher Education Able to search by key words/skills

7. Conditions of Employment Health and Safety (OSHA) Job security – seniority versus merit Flex time, Changing work week Part-time employment

8. Health, Safety & Security Health Employee assistance programs, health policies, stress management, smoking policies, preventative screenings, Safety Accidents, inspections (OSHA 100 report) Security Controls, theft, fraud, investigations

9. Human Resource Manager What are they concerned with? Proposing concepts, means, and policies for increasing productivity as part of company strategy. Keeping line managers abreast of the legal environment as it pertains to managing people.

10. Human Resource Manager What are they concerned with? Decision making related to managing personnel, keeping records, and preparing reports related to human resource management.

11. HRM Functional Activities Planning for Human Resource Needs Work Design and Job Analysis Recruitment of Candidates Organization Development

12. Selection Criteria Academic Tests Motivation Tests Personal Values Self-Motivation Career Performance Life Purpose

13. Selection Criteria Tests to Ensure Applicants can perform the essential duties of the job. For example, fast food restaurants may require applicants to lift 50# bags as many of the material (frozen French fries) are very heavy. Job tests must be proven to be linked to performance to be legally used

14. Recruitment Types of recruitment programs: Continuous or intermittent From within or outside EEO and Affirmative Action Policies Identified sources of candidates Adequate job specifications Cost-effective

15. Work Design & Job Analysis Clearly defined job qualifications Claims of discrimination “Comparable Worth” Compensation and appraisal

16. Staffing Affirmative action and EEO Recruitment Selection Career planning & development Organizational exit (interviews)

17. HRM Functional Activities Developing Communications Formal mass communications system Informal communications Person to person system Up and down the organization Individual Training and Development Inexperienced Entry level or Recent graduates Trained Interns Outside the company

18. Career Management Approaches Nothing “Ask” Basis Promote Different Policies Hire young and train? Hire experience? High Turnover (soft costs) Low Payroll (hard costs)

19. HRM Functional Activities Appraising Performance 360 degree Monthly (informal) & semi-annual (formal) Compensation and Benefits Wage Rates Minimum Wage entry level or Above Minimum Compensation Comparison to Industry Higher LowerSame Meet, lead or lag the market rate

20. HRM Functional Activities Labor-Management Relations and Collective Bargaining Measuring and Reporting Status Problems Trends Making recommendations for the above

21. Non-Financial Rewards EXTRINSIC Paid vacations Life insurance Retirement program Health insurance Cafeteria approach Flexible approach Employee specific INTRINSIC Internal rewards such as the feeling of a job well done, of accomplishing something, etc.

22. Certification in the HRM field Professional in Human Resources Certification through Society for Human Resource Management (SHRM) Senior Professional In Human Resources Certification Certification Received Through the HR Certification Institute

23. Identifying Problem Areas Most Business Problems: Misplaced people in management Often top management Human Resources Management Less understood Poorly executed

24. Identifying Problem Areas Step 1 – Identify who/what process is causing the problem? Step 2 – Shift people to positions where: The firm can build on their strengths Work to improve on their weaknesses or they must be terminated.

25. Identifying Problem Areas Generally, it’s the SYSTEM not the people that are the problems so…. Management Training and Development Conduct on-the-job coaching Brief on-site or outside seminars Management development programs

26. Linking People With Problems In-Depth Interviews Key people connected with problem Weak Link Several People or Everyone Involved Personal Conflicts to Surface Lack/Block of Communication Sabotage

27. Linking People With Problems Start with Symptoms Work Backwards to Identify Responsible Party(s) Evaluate Executives Background and Performance Major Decisions, Contributions, and Mistakes Views and Philosophies

28. Linking People With Problems Relate the Individual to all Problem Areas Analyze Problem Recommend Action for Each Person Identify Individual’s Potential

29. Checklist for Analysis Work Design and Job Analysis The Legal Environment Comparable Worth Functional Job Analysis Performance Appraisal and Compensation

30. Checklist for Analysis Developing Communications Formal Communication System Informal Communication System Person-to-Person Communication

31. Checklist for Analysis Compensation and Benefits The Reward System Achieve Personal Objectives Financial and Non-Financial Rewards

32. Checklist for Analysis Automation in Human Resource Management Efficiency in Analysis and Performance Evaluation Maintenance Records Vacation Sick Leave Insurance