managing human resources. explain how the management of human resource is both a role for the human...

Managing Human Resources

Explain how the management of human resource is both a role for the human resource management department and all managers.

Describe the key means by which companies find job candidates.

After studying this chapter, you should be able to:

Explain how companies select job candidates.

Highlight the keys to effective socialization and training.

Describe the common methods of managing performance.


Discuss the various compensation and reward systems commonly used.

Explain how various laws affect core HR activities


Firm’s ability to survive and prosper is increasingly a function of the human resources they have

Managers’ career success depends on how well they manager their firm’s resources

EnvironmentExternalInternal

Organization Strategy

CompetitiveAdvantage

Human Resource Management ActivitiesPlanning, Job Analysis, Recruiting, Selecting,

Socializing and Training, Job Design, Performance Appraisal, Compensation, Development

Adapted from Exhibit 15.1: General Framework of HRM

Two main HRM goalsGetting the right people

HRM activities must be aligned with corporate strategy

Maximizing their performance and potential Failure of either goal can influence the

success or failure of the other

PlanningForecasting demandAssessing supplyFormulating fulfillment plans

Job analysis (assessing the job)

Getting the Right People

Scope and depth of jobs Requisite skills, abilities, and

knowledge that people need to perform their jobs successfully

Job description Job specification

Recruiting Job posting

Internal recruiting method Job, its pay, level, description, and qualifications are

posted or announced to current employeesAdvertisementsEmployment agenciesEmployee referralsSchool placement centers Internet recruiting


Selectingvalid selection technique Interviews

Unstructured Structured

Work samplingAssessment centers


Work simulation Written tests Background and

reference checks Physical examinations

1. Plan the interview by reviewing the candidate and the job specifications.

2. Establish rapport with a friendly greeting and start the interview with a nonjob question.

3. Follow structured set of questions.

4. Avoid questions that require or solicit a simple yes or no response.

5. Try not to telegraph, or give cues for, the desired answer.

6. Make sure the candidate has plenty of time to answer—do not monopolize the conversation.

7. Listen carefully and paraphrase key candidate answers to be sure you understand what they meant to say.

Adapted from Exhibit 15.2: Tips for interviewers

8. Ask for specific, not general, examples of the candidate’s experience and accomplishments.

9. Leave time at the end of the interview to answer questions from the candidate.

10. At the close make sure the candidate knows what the next steps are and approximate timing.

11. After the candidate leaves, review your notes and highlight important points while they are fresh in your mind.

Adapted from Exhibit 15.2: Tips for interviewers

Prepare for the interview by researching the company through articles and its own Web site.

Smile and provide a warm greeting and firm handshake if the interviewer extends his or her hand.

Make sure that your overall appearance (hair style, clothing, makeup, and so on) match the nature of the business and culture of the company.

Watch your nonverbal behavior to ensure that you maintain good eye contact and convey enthusiasm without being overly expressive with your hands or other body movements.

Try to solicit the interviewer’s needs early in the interview.

Adapted from Exhibit 15.3: Tips for Interviewees

Early in the interview be sure to get a complete picture of the job through questions such as “Can you tell about what has led people to succeed in this job in the past?”

Explicitly relate yourself and capabilities to the interviewer’s needs through statements such as, “You mentioned that one of the keys to this position is the ability to motivate others. In my experience at XYZ. . . .”

Take your time before answering; you do not need to begin talking the instant the interviewer ask a question.

Conclude the interview by thanking the person for the opportunity and expressing your interest in the company and the position.

Adapted from Exhibit 15.3: Tips for Interviewees

Socialization and training Orientation

Minimize paperwork Informal meeting with hire’s immediate supervisor Alternate heavy and lighter information Provide glossary of terms Match new employees with experienced worker

On-the-job training Off the job training Training objectives

Maximizing Performance

1. Expanded Responsibilities. This training technique expands the job duties, assignments, and responsibilities of an individual.

2. Job Rotation. Also called cross-training, this practice moves individuals to various types of jobs within the organization at the same level or next-immediate-higher level for periods of time from an hour or two to as long as a year.

3. Staff Development Meetings. Meetings are usually held offsite to discuss facts of each individual’s job and to develop ideas for improving job performance.

4. ”Assistant to” Positions. Promising employees serve as staff assistants to higher-skill level jobs for a specified period of time (often one to three months) to become more familiar with the higher-skilled positions in the organization.

Adapted from Exhibit 15.4: On-the-job Training Techniques

5. Problem-Solving Conferences. Conferences are held to solve a specific problem being experienced by a group or the organization as a whole. It involves brainstorming and other creative means to come up with solutions to the basic problems.

6. Mentoring. A guide or knowledgeable person higher up in the organization helps a new employee “learn the ropes” of the organization and provides other advice.

7. Special Assignments. Special tasks or responsibilities are given to an individual for a specified period of time. The assignment may be writing up a report, investigating the feasibility for a new project, process, service, or product, preparing a newsletter, or evaluating a company policy or procedure.


8. Company Trainers. Special programs can cover such topics as safety, new personnel procedures, new product or services, affirmative action, and technical programs.

9. Outside Consultants. Recognized experts are brought to the company to conduct training on such topics as goal setting, communications, assessment techniques, safety, and other current topics of importance. They often supplement training done by company trainers.

10. Consultant Advisory Reviews. Experts in specialized fields meet with various managers and employee groups to investigate and help solve particular problems. The emphasis is on problem solving rather than training.


11. Reading Matter. A formal program is created to circulate books, journals, selected articles, new business material, and so on to selected employees. An effective program also includes periodic scheduled meetings to discuss the material.

12. Apprenticeship. Training is provided through working under a journeyman or master in a craft. The apprentice works alongside a person skilled in the craft and is taught by that person. Apprenticeship programs also often include some classroom work.

Source: Adapted from W. P. Anthony, D. L. Perrewé, and K. M. Kacmar, Strategic Human Resource Management (Fort Worth, TX: Harcourt Brace Jovanovich, 1993).


Understanding correct and incorrect

behaviors

Knowledge of why certain behaviors are correct or incorrect

Opportunities to practice desired

behaviors

Feedback on performance

Opportunities to practice and improve

Job design Job sharingReengineering


Performance appraisal Graphic rating scales Behaviorally anchored rating scales 360-degree feedback Effective performance feedback

Critical incidents

Adapted from Exhibit 15.5: Graphic Rating Scale

Employee name: Dept.

1. Quality of work

2. Quantity of work

3. Cooperation

4. Dependability

5. Initiative

6. Job knowledge

7. Attitude

Excellent Good Average Fair Poor

Adapted from Exhibit 15.6: Behaviorally Anchored Rating Scale

Position:Job dimensions:

Plans work and organizes time carefully so as to maximize resources and meet commitments

Even though this associate has a report due on another project, he or she would be well prepared for the assigned discussion on your project

9

8

7

This associate would keep a calendar or schedule on which deadlines and activities are carefully noted, and which would be consulted before making new commitments.

Plans and organizes time and effort primarily for large segments of a task. Usually meets commitments, but may overlook what are considered secondary details.

As program chief, this associate would mange arrangements for enlisting resources for a special project reasonably well, but would probably omit one or two details that would have to be handled by improvisation.

6

5

4

This associate would meet a deadline in handing in a report, but the report might be below usual standard if other deadlines occur on the same day the report is due.

This associate’s evaluations are likely not to reflect abilities because of overcommitments in other activities.


Appears to do little planning. May perform effectively, despite what seems to be a disorganized approach, by concerted effort, although deadlines may be missed.

This associate would plan more by enthusiasm than by timetable and frequently have to work late the night before an assignment is due, although it would not be completed on time.

3

2

1

This associate would often be late for meetings, although others in similar circumstances do not seem to find it difficult to be on time.

This associate never makes a deadline, even with sufficient notice.


1. Review key work objectives, goals, or standards against which the employee’s performance is measured

Review work objectives

2. Summarize employee’s overall performance by reviewing specific positive and negative incidents

Summarize overall performance

(critical incidents)


3. Discuss causes of weak performance and listen carefully to the employee’s explanation




Discuss causes of poor performance

4. Discuss alternative means of improving future performance and encourage employee input





Agree on process for future improvement

5. Establish an agreed approach, timetable, and review process for future improvement






Discuss alternatives for improving

6. Establish key objectives, timetables, and standards for the upcoming performance period




Objectives for next performance period




7. Leave the meeting on an encouraging and positive note Summarize overall

performance(critical incidents)


Objectives for next performance period




End with encouragement

CompensationPay

Pay structure Broad band system At-risk system Incentive plans

BenefitsRewards and motivation


Adapted from Exhibit 15.7: Traditional and Contemporary Pay Structures

Job evaluation points

Mo

nth

ly p

ay

$8,000

$7,000

$6,000

$5,000

$4,000

$3,000

$2,000

$1,000

100200

300400

500600

700800

9001000

11001200

13001400

Traditional Pay Structure

1

2

3

Job evaluation points

Mo

nth

ly p

ay

$8,000

$7,000

$6,000

$5,000

$4,000

$3,000

$2,000

$1,000

100200

300400

500600

700800

9001000

11001200

13001400

Broad Band Pay Structure

Adapted from Exhibit 15.7: Traditional and Contemporary Pay Structures

Career systems and developmentCareer pathsCross-functional job rotationPromotionDual-career couplesTerminationLayoffs

Labor relations


Affirmative action programsExpatriate employeesGlass ceilingBona fide occupational qualifications

(BFOQ) Sexual harassment Workforce diversity

Managing workforce diversity Globalization

EnforcementAct Requirements Covers Agency

Adapted from Exhibit 15.8: Major U.S. Federal Laws and Regulations Related to Human Resource Management

Thirteenth Amendment

Abolished slavery All individuals Court System

Fourteenth Amendment

Provides equal protection for all citizens and requires due process in state action

State actions (e.g., decisions of governmental organizations

Court System

Civil Rights Acts of 1866 and 1871

Grant all citizens the right to make, perform, modify, and terminate contracts and enjoy all benefits, terms, and conditions of the contractual relationship

Employers engaged in interstate commerce

EEOC


Equal Pay Act of 1963

Requires that men and women performing equal jobs receive equal pay

Employers with 15 or more employees working 20 or more weeks per year, labor unions, and employment agencies

EEOC

Title VII of CRA

Provides equal protection for all citizens and requires due process in state action

State actions (e.g., decisions of governmental organizations

Court System

Age Discrimination in Employment Act of 1967

Prohibits discrimination in employment against individuals 40 years of age or older

Employers with 15 or more employees working 20 or more weeks per year; labor unions; employment agencies; federal government

EEOC



Rehabilitation Act of 1973

Requires affirmative action in the employment of individuals with disabilities

Government agencies; federal contractors and subcontractors with contracts greater than $2,500

OFCCP

Americans with Disabilities Act

Prohibits discrimination against individuals with disabilities of 1990

Employers with more than 15 employees

EEOC

Executive Order 11246

Requires affirmative action in hiring women and minorities

Federal contractors and subcontractors with contracts greater than $10,000

OFCCP

Civil Rights Act of 1991

Prohibits discrimination (same as Title VII)

Same as Title VII, plus applies Section 1981 to employment discrimination cases

OFCCP



Family and medical leave Act of 1993

Requires employers to provide 12 weeks of unpaid leave for family and medical emergencies

Employers with more than 50 employees

Department of Labor

Source: Raymond A. Noe, John R. Hollenbeck, Barry Gerhart, and Patrick M. Wright, Human Resource Management: Gaining a Competitive Advantage (Burr Ridge, Ill.:Richard D. Irwin, 1997), p. 107. Copyright 1997. Reproduced with permission of The McGraw-Hill Companies.


African-American men

African-American women

Asian men

Asian women

Hispanic men

Hispanic women

White men

White women

0 10 20 30 40 50 60 70 80 90 100

Adapted from Exhibit 15.9: Increasing Diversity of U.S. Workforce

22%

29%

58%

65%

60%

71%

8%

20%

Percentage increases by year 2000

1950 1990 2025

100

80

60

40

20

0

Adapted from Exhibit 15.10: Where the Workers Are

33%

67%

25%

75%

17%

83%

Per

cen

tag

e o

f w

ork

ers

loca

ted

in

d

evel

op

ed a

nd

dev

elo

pin

g

cou

ntr

ies

Developed Countries

Developing Countries

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