Introduction to management 13th schemerhorn bachrach chapter 13

Human resource managementHuman capital is the economic value of people with job-relevant knowledge, abilities, ideas, energies, and commitments Human Resource Management is a proces

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Chapter 13 Human Resource

Management

13 John R Schermerhorn, Jr.Daniel G Bachrach

Introduction to Management

13th edition

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Planning Ahead — Key Takeaways

Explain the human resource management process and the legal framework that

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Chapter 13 Outline

1. Human Resource Management

a) Human resource management process

b) Strategic human resource management

c) Legal environment of human resource

management

2. Attracting a Quality Workforce

a) Human resource planning

b) Recruitment process

c) Selection techniques

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Chapter 13 Outline

3. Developing a Quality Workforce

a) Onboarding and socialization

b) Training and development

c) Performance management

4. Maintaining a Quality Workforce

a) Flexibility and work-life balance

b) Compensation and benefits

c) Retention and turnover

d) Labor-management relations

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Human resource management

Human capital is the economic value of people with job-relevant knowledge,

abilities, ideas, energies, and

commitments

Human Resource Management is a

process of attracting, developing, and

maintaining a talented work force

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Attracting a

quality workforce

Human resource

planning, recruitment, and

selection

Developing a

quality workforce

Employee orientation, training and development, and performance management

Maintaining a

quality workforce

Career development, work-life balance, compensation and benefits, retention and turnover, and labor-management

relations

Major human resource management

responsibilities:

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 The individual’s values, interests, and

behavior are consistent with the culture of the organization

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 Strategic human resource management

mobilizes human capital to implement

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Equal employment opportunity

 The right to employment without regard to race, color, national origin, religion, gender, age, or disability status

 Title VII of the Civil Rights Act of 1964

 Equal Employment Opportunity Act of 1972

 Civil Rights Act (EEOA) of 1991

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Affirmative action

 an effort to give preference in employment to women and minority group members, who

have traditionally been underrepresented

Bona fide occupational qualifications

 employment criteria justified by capacity to perform a job

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Figure 13.1 A sample of U.S laws against

employment discrimination

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Employment issues and controversies

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Attracting a Quality Workforce

 Human resource planning analyzes an

organization’s staffing needs and determines how to best fill them

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Figure 13.2 Steps in strategic human resource planning

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The foundation of human resource

planning is job analysis

 the orderly study of job facets to determine what is done when, where, how, why, and by whom

Job analysis provides information for

developing:

 Job descriptions

 Job specifications

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Recruitment

 Activities designed to attract a qualified pool

of job applicants to an organization

 Steps in the recruitment process:

 Advertisement of a job vacancy

 Preliminary contact with potential job candidates

 Initial screening to create a pool of qualified applicants

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Figure 13.3 Steps in the selection process: the case of a rejected job applicant

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Selection involves choosing individuals to hire from a pool of qualified job applicants.

Reliability means that a selection device gives consistent results time after time

Validity means that there is a clear

relationship between what the selection device measures and job performance

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• Interviews

– Unstructured interviews do not follow a formal and pre-established of questions

– Behavioral interviews ask job applicants

about past behaviors that relate to the job

– Situational interviews ask job applicants how they would react in specific situations

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Employment Tests

 Biodata methods collect biographical

information that has been proven to correlate with good job performance

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Employment Tests

 Used to further screen applicants by

gathering additional job-relevant information

 Assessment centers examine how job

candidates handle simulated work situations

 Work sampling involves observing applicants performing actual work tasks

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Developing a Quality Workforce

Onboarding/orientation

 familiarizes new employees with jobs,

coworkers, and organizational policies and services

Socialization

 a process of learning and adapting to the organizational culture

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• Training

– Activities that provide the opportunity to

acquire and improve job-related skills

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Performance management systems

ensure that

 Performance standards and objectives are set

 Performance results are assessed regularly

 Actions are taken to improve future

performance

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Performance appraisal

 Formally assessing someone’s work

accomplishments and providing feedback

 Purposes of performance appraisal:

 Evaluation — lets people know where they stand relative to objectives and standards

 Development — assists in training and continued personal development of people

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Graphic rating scales

 A trait-based performance appraisal that

includes checklists of traits or characteristics

to evaluate performance

 Relatively quick and easy to use

 Questionable reliability and validity

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Behaviorally anchored rating scales

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Figure 13.4 Sample behaviorally anchored rating scale for performance appraisal

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Recency bias is the tendency for

evaluators to focus on recent behaviors instead of behavior that occurred

throughout the evaluation period

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Results-based performance assessments focus on accomplishments

 Usually qualitative and objective

 Determining what to measure may be difficult

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Leniency error:

 the tendency for supervisors to rate employees

more favorably than they deserve in order to avoid the unpleasant task of giving negative feedback

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360° feedback

 Occurs when superiors, subordinates, peers, and even inside and outside customers are involved in the appraisal of a jobholder’s

performance

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Maintaining a Quality Workforce

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Compensation and benefits

 Base compensation

 Salary or hourly wages

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Merit pay

 Awards a pay increase in proportion to

individual performance contributions

 Provides performance contingent

reinforcement

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• Bonus pay plans

– One-time payments based on the

accomplishment of specific performance targets

or some extraordinary contribution

• Profit-sharing plans

– Some or all employees receive a proportion of net profits earned by the organization

• Gain-sharing plans

– Groups of employees share in any savings

realized through their efforts to reduce costs and increase productivity

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Employee stock ownership plans

 Employees purchase company stock directly through employer, sometimes at a discount

Stock options

 Employees have the right to purchase

company stock at a fixed price in the future as

a performance incentive

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 Paid time off

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 Flexible benefits

 Allow employees to choose from a set of benefits

 Family-friendly benefits

 Help in balancing work and nonwork responsibilities

 Employee assistance programs

 Help employees deal with troublesome personal problems

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 Workers have legal protection from discriminatory firings

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Maintaining a Quality Workforce

Labor-management relations

 Labor unions deal with employers on the

workers’ behalf

 A labor contract is a formal agreement

between a union and an employer about the terms of work for union members

 Collective bargaining

 Process of negotiating, administering and interpreting a labor contract

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