CHAPTER 11 Human Resource Management: Finding and Keeping the Best Employees McGraw-Hill/Irwin Copyright © 2015 by the McGraw-Hill Companies, Inc All rights reserved LEARNING OBJECTIVES Explain the importance of human resource management, and describe current issues in managing human resources Illustrate the effects of legislation on human resource management Summarize the five steps in human resource planning Describe methods that companies use to recruit new employees, and explain some of the issues that make recruitment challenging 11-2 LEARNING OBJECTIVES Outline the six steps in selecting employees Illustrate employee training and development methods Trace the six steps in appraising employee performance Summarize the objectives of employee compensation programs, and evaluate pay systems and fringe benefits 11-3 LEARNING OBJECTIVES Demonstrate how managers use scheduling plans to adapt to workers’ needs 10 Describe how employees can move through a company: promotion, reassignment, termination, and retirement 11-4 TONY HSIEH Zappos • Hsieh sold his first company to Microsoft for $265 million, before becoming Zappos’ CEO. • Changed Zappos’ corporate work environment so reps wow customers. • The work environment is kept open and accessible. 11-5 NAME that COMPANY This company manages its global workforce of about 100,000 employees and 100,000 subcontractors with a database that matches employee skills, experiences, schedules, and references with jobs available. Name that company! 11-6 HUMAN RESOURCE MANAGEMENT LO 111 • Human Resource Management (HRM) The process of determining human resource needs and then recruiting, selecting, developing, motivating, evaluating, compensating and scheduling employees to achieve organizational goals. • HRM’s role has grown because of: Increased recognition of employees as a resource Changes in law that rewrote old workplace practices 11-7 HUMAN RESOURCE MANAGEMENT LO 111 11-8 UNCOVERING the SECRETS of HRM LO 111 Things Your HR Manager Doesn’t Tell You • We’re shortstaffed and under pressure too • We’re not always going to be able to help in the way you hope • We can help you move up the career ladder • What you post on Facebook can get you fired Source: Smart Money, www.smartmoney.com, accessed November 2014. 11-9 DEVELOPING the FIRM’S ULTIMATE RESOURCE LO 111 • Service and hightech manufacturing requires employees with highly technical job skills • Such workers are scarce, making recruiting and retention more important and more difficult • The human resource job is now the job of all managers in an organization 11-10 LET’S GO to the BEACH! LO 118 Average Vacation Days by Country Source: Reuters, June 24, 2010. 11-57 CULTURAL CHALLENGES without CONFLICT • Managers need to understand the business needs of each country they operate in - Compensation: Conversion to foreign currencies and special allowances often are needed - Health and Pension Standards: Benefits are different countrybycountry - Paid Time Off: Vacation time, sick and personal leave vary - Taxation: Tax policies vary - Communication: Employees can feel disconnected in other countries 11-58 FLEXIBLE SCHEDULING PLANS LO 119 • Flextime Plan Gives employees some freedom to choose which hours to work as long as they work the required number of hours or complete their tasks. • Compressed Work Week Employees work the full number of work hours, but in fewer than the standard number of days • Job Sharing Lets two or more parttime employees share on a fulltime job 11-59 USING FLEXTIME PLANS LO 119 • Most flextime plans require Core Time When all employees are expected to be at their job stations • Flextime is difficult to incorporate into shift work and managers have to work longer hours • Communication among employees can also be difficult under flextime and managers have to be alert to any system abuses 11-60 A FLEXTIME CHART LO 119 11-61 COMPRESSED WORK WEEKS LO 119 • Employees enjoy long weekends after working long days • Productivity is a concern • Nurses and firefighters often work compressed work weeks 11-62 HOMEBASED WORK LO 119 • About 13 million Americans work from home at least several days a month • 12% of U.S. businesses use some homebased work • Bank of America has My Work that permits employees to work remotely about 60% of the time 11-63 HOMEBASED WORK LO 119 11-64 VIRTUALLY THERE LO 119 Tools to Help You Work From Home • Communication: - Google Apps - Skype - Yammer • Collaboration: - Google Docs - GoToMeeting - Dropbox 11-65 GOING NOWHERE FAST LO 119 Worst Commutes in the World Source: Bloomberg Businessweek, www.businessweek.com, accessed November 2014 11-66 JOB SHARING BENEFITS LO 119 • Provides employment opportunities for many people who cannot work full time • Workers tend to be enthusiastic and productive • Absenteeism and tardiness are reduced • Employers can schedule parttime workers in peak demand periods 11-67 MOVING EMPLOYEES LO 1110 • Employees are promoted or reassigned • Employees are terminated due to performance or economic situations • Employees retire. 11-68 TERMINATING EMPLOYEES LO 1110 • As the economic crisis grew, more and more employers have had to lay off employees • Even when the economy is booming, employers are hesitant to hire fulltime workers because of the cost of termination • Firing employees is more difficult for employers because of laws preventing termination for certain acts 11-69 PLAYING HOOKY LO 119 Crazy Excuses for Missing Work • I woke up in a good mood and didn’t want to ruin it • I just put a casserole in the oven • I caught my uniform on fire by putting it in the microwave to dry • I had been at the casino all weekend and still had money left to play with on Monday morning • I accidentally got on a plane Source: Forbes, www.forbes.com, accessed November 2014 11-70 TEST PREP • Name and describe five alternative compensation techniques • What advantages do compensation plans such as profit sharing offer an organization? • What are the benefits and challenges of flextime? Telecommuting? Job sharing? 11-71 ... external sources to recruit employees • Small businesses often make use of web sources like CareerBuilder and Monster to recruit employees. 11-22 COMPETING for the CREAM of the CROP • To survive, small businesses must recruit and ... CONTROVERSIAL PROCEDURES of the EEOC LO 112 • Affirmative Action Policy designed to “right past wrongs” by increasing opportunities for minorities and women • Reverse Discrimination Discriminating against ... the right to a jury trial and possible damages • Office of Federal Contract Compliance Programs (OFCCP) - Ensures that employers doing business with the federal government comply with the nondiscrimination and affirmative action laws