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Introduction to Human

1 Resource Management

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Learning Objectives
1. Explain what human resource
management is and how it relates to the
management process.
2. Show with examples why human
resource management is important to all
managers.
3. Illustrate the human resources
responsibilities of line and staff (HR)
managers.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 1-2


Learning Objectives
4.Briefly discuss and illustrate each of the
important trends influencing human
resource management.
5.List and briefly describe important traits
of today’s human resource managers.
6.Define and give an example of evidence-
based human resource management.
7.Outline the plan of this book.

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Explaining what human
resource (HR) management
is and how it relates to the
management process.

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What is human resource (HR)
management and why
is it important?

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The Management Process
• Planning
• Organizing
• Staffing
• Leading
• Controlling

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Review
• Part of total management process
• Focus on staffing processes
o Job analyses
o Recruiting
o Compensation
o Performance
o Compliance issues, etc.

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Human Resource (HR)
Responsibilities of Line
and Staff Managers

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Line and Staff Managers
• Line authority
gives you the right
to issue orders
• Staff authority
gives you the right
to advise others in
the organization

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Human Resource Duties
Line Managers
• Job placement
• Orientation & Training
• Performance
• Cooperation
• Labor costs
• Development

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Human Resource Duties
Staff Managers
• Line function inside of
HR department
• Coordination
• Assist and advise

Sample HR organizational chart for a small


company
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Review
• Profits and performance
• HR is a line function within HR
department
• HR is a staff function to support line
management
• Right person, right job

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Important Trends in Human
Resource Management

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Trends in Human Resource
Management
• Globalization
• Competition
• Deregulation
• Increased indebtedness
• Technological innovation
• More high-tech & service jobs

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Trends in Human Resource
Management
• More knowledge work
• Aging workforce
• Economic downturn
• De-leveraging
• Deregulation slowdown
• Slower economic growth

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Globalization
• Firms extend sales, ownership and
manufacturing to other countries
• Sales expansion
• Lower labor costs
• Forming partnerships
• Offshoring

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Indebtedness and
Deregulation
• Stock brokering by banks
• Lending practices
• No money down
• Spending > Income
• Balance of payments
• Treasury bonds

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Technological Trends

• Smart phones
• Tablet computers
• Facebook
• Job seeking

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Trends in the Nature of
Work

• High-tech jobs
• Service jobs
• Knowledge work
and human
capital

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Workforce and
Demographic Trends

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Demographic Trends

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“Generation Y” Workers
• Considered to be high-performance
and high-maintenance
• Fair and direct supervisors
• Creative challenges
• Day 1 impact
• Small goals
• Faster and better workers
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Retirees, Nontraditional
Workers, Workers from Abroad
• Bringing retirees back
• Multiple jobs
• Contingent workers
• Alternative work arrangements
• Workers from abroad

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Economic Challenges and
Trends
• GNP growth boom 2001 – 2008
• Falling off a cliff
• Debt accumulation
• Worthless loans
• Economy tanks

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Evidence-based Human
Resource Management

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Review
• Globalization
• Indebtedness and deregulation
• Technology
• Trends in the nature of work
• Economic challenges and trends

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The New Human Resource
Managers

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Big Transactional
picture Services

The New
Human Talent
Competencies Resource Management
Managers

Performance,
results,
evidence- Employee Ethics
based practice Engagement

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Review
• Talent management
• Ethics
• Employee engagement
• Measurement
• Evidence-based management
• Value
• New competencies

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Plan of the Book

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Plan of the Book

• Practical tools
• HR as a profit center
• Strategic context
• Evidence-based HR

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Review

• The HR process
• Importance
• HR responsibilities
• Trends

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All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

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Equal Opportunity and
2 the Law

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Learning Objectives
1. Explain the importance of and list the basic
features of Title VII of the 1964 Civil Rights
Act and at least five other equal employment
laws.
2. Explain how to avoid and deal with
accusations of sexual harassment at work.
3. Define adverse impact and explain how it is
proved.
4. Explain and illustrate two defenses you can
use in the event of discriminatory practice
allegations.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-2


Learning Objectives

5.Cite specific discriminatory personnel


management practices in recruitment, selection,
promotion, transfer, layoffs, and benefits.
6.List the steps in the EEOC enforcement process.
7.Discuss why diversity management is important
and how to institutionalize a diversity
management program.

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The importance and basic
features of Title VII of the
1964 Civil Rights Act and
other equal employment
laws

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Equal Employment
Opportunity 1964–1991

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Title VII of the 1964 Civil
Rights Act
• Title VII of the 1964
Civil Rights Act
o Who Does Title VII
Cover?
o The EEOC

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Executive Orders

• Signed into law by


various presidents
• Affirmative Action
• Office of Federal
Contract Compliance
Programs (OFCCP)

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Equal Pay Act of 1963
• Unlawful to discriminate on basis of
sex
• Jobs involve:
o Equal work
o Equivalent skills
o Similar conditions

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Age Discrimination in
Employment Act of 1967
• Under ADEA, no discrimination for
those between 40 – 65
• No slack for employer if fired
employee replaced by one much
younger

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Vocational Rehabilitation
Act of 1973
• Federal contracts >
$2,500.
• Affirmative Action
• Reasonable
accommodations

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Pregnancy Discrimination
Act of 1978
• Prohibits using pregnancy, childbirth,
or related medical conditions to
discriminate in:
o hiring
o promotion
o suspension, or
o discharge

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Federal Agency Guidelines

• EEOC
• Civil Service Commission
• Department of Labor (DOL)
• Department of Justice (DOJ)

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Early Court Decisions, Equal
Employment Opportunity

• Griggs v. Duke
power company
• Albemarle paper
company v.
Moody

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Review
• Title VII of the 1964 Civil Rights Act
• Executive Orders
• The Equal Pay Act
• The Vocational Rehabilitation Act
• The Pregnancy Discrimination Act
• Federal agency guidelines
• Court decisions on equal employment

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Equal Employment
Opportunity
1990–91–present

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The Civil Rights Act of 1991

• Burden of proof
• Money damages
• Mixed motives

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The Americans with
Disabilities Act
• Mental impairments and the ADA
• Qualified individual
• Reasonable accommodation
• Traditional employer defenses
• The “new” ADA

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Genetic Information
Nondiscrimination Act of 2008
(GINA)

• Genetic information
• Employers
• Health insurers

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State & Local EEO Laws

• State and local employment


discrimination
• Coverage
• Employment opportunity agencies

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Review
• Legal terminology
• The Civil Rights Act of 1991
• Americans with Disabilities Act
• Genetic Information
Nondiscrimination Act
• State and local EOO laws
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Avoiding and dealing with
accusations of sexual
harassment at work

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Sexual Harassment
• Affirmative action duty
• Federal Violence Against Women Act
of 1994
• What is sexual harassment

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Sexual Harassment

• Proving sexual
harassment
• When is the
environment hostile?

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Sexual Harassment
• Supreme Court decisions
• Implications
• When the law isn’t enough
• What the employee can do

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Review
• Sexual harassment
• Affirmative Action duty
• Federal Violence Against Women Act
1994
• Supreme Court decisions

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Defenses against
discrimination allegations

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Defining and Proving
Adverse Impact
• Disparate
treatment
• Disparate
impact

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The Central Role of
Adverse Impact
• Showing adverse impact
o Disparate rejection rates
o The Standard Deviation Rule
o Restricted policy
o Population comparisons
o McDonnell-Douglas Test

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Two Defenses Employers
may Use in the Event of
Discriminatory Practice
Allegations.

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Bona Fide Occupational
Qualification (BFOQ)

• Age
• Religion
• Gender
• National origin

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Other Adverse Impact
Issues
• Business Necessity
• Other considerations
o Good intentions
o Collective Bargaining Agreements
(CBA)
o Defense not only recourse

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Review

• Disparate treatment and impact


• The Central Role of Adverse Impact
• Employer defenses
• Other Adverse Impact Issues

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Specific discriminatory
personnel management
practices

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Illustrative Discriminatory
Employment Practices
• What you can and cannot do
• Recruitment
o Word-of-mouth
o Misleading information
o Help wanted ads

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Illustrative Discriminatory
Employment Practices
• Examples of selection standards
o Educational requirements
o Tests
o Physical characteristics
o Arrest records
o Application forms

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Sample Discriminatory
Promotion, Transfer
and Layoff Practices
• Personal appearance
o Dress
o Hair
o Uniforms
o Tattoos, body piercings
• Supervisor knowledge
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Review
• Illustrative Discriminatory
Employment Practices
• Examples of selection standards
• Sample Discriminatory Promotion,
Transfer and Layoff Practices

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The steps in the EEOC
enforcement process

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The EEOC Enforcement
Process
• File charge
• Charge acceptance
• Serve notice
• Investigation
• Cause/no cause
• Conciliation
• Notice to sue
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The EEOC Enforcement
Process

• Voluntary mediation
• Mandatory arbitration
of discrimination claims

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Review
• The EEOC Enforcement Process
o Seven-step process
• The EEOC Enforcement Process
o Voluntary mediation
o Mandatory arbitration of discrimination
claims

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Why diversity management
is important and how to
institutionalize a diversity
management program

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Diversity Management and
Affirmative Action Programs

• Diversity pros and cons


o Stereotyping
o Discrimination
o Tokenism
o Ethnocentrism
o Gender-role stereotypes

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Diversity Management and
Affirmative Action Programs

• Managing diversity
• Encouraging
inclusiveness
• Multicultural
consciousness

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Diversity Management and
Affirmative Action Programs

• EEO vs. Affirmative


Action
• Implementing an
Affirmative Action
Program
• Reverse discrimination

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Review
• Diversity management and Affirmative
Action programs
• Diversity benefits
• Managing diversity
• EEO vs. Affirmative Action

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All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-47


Human Resource
3 Management Strategy
and Analysis

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 3-1
Learning Objectives
1. Explain why strategic planning is
important to all managers.
2. Explain with examples each of the
seven steps in the strategic planning
process.
3. List with examples the main generic
types of corporate strategies and
competitive strategies.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 3-2
Learning Objectives
4. Define strategic human resource
management and give an example of
strategic human resource management
in practice.
5. Briefly describe three important
strategic human resource management
tools.
6. Explain with examples why metrics are
essential for managing human
resources.
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Why Strategic Planning is
Important to all Managers

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Goal-Setting and the
Planning Process

• The hierarchy of
goals
• Strategic
planning

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Review

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The Seven Steps in the
Strategic Planning Process

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Seven Steps
1. Define current business
2. Audits
3. New directions
4. Strategic goals
5. Formulate strategies
6. Implement
7. Evaluate
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Review

• Importance of
strategic planning
• Goal setting
• Steps

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The Main Generic Types of
Corporate Strategies and
Competitive Strategies

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Types of Strategies
• Corporate strategy
• Competitive strategy
• Functional strategy
o Human resources as a competitive
advantage
• Strategic fit

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Corporate Strategies
• Concentration
• Diversification
• Vertical integration
• Consolidation
• Geographic

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Competitive Strategies

• Cost leadership
• Differentiation
• Focus

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Management Roles in
Strategic Planning
• Top Managers’ Role in Strategic
Planning
• Departmental Managers’ Strategic
Planning Roles
o Devise
o Support
o Execution

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 3-14
Review
• Types of strategies
o Corporate
o Competitive
o Functional
o Strategic fit
• Managerial roles in strategic planning

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Defining Strategic Human
Resource Management with
an Example of Strategic
Human Resource
Management in Practice

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Strategic Human Resource
Management
• Defining strategic
human resource
management
• Human resource
strategies and
policies

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Example
• Shanghai Portman
o Service orientation
• Ritz Carlton
o Human Resource
system

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Mergers and Acquisitions
• Due Diligence Stage
o Culture
o Compensation & benefits
o Labor relations, etc.
• Integration Stage
o Top management and leadership
o Communication
o Key talent
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Review
• Definition
• Strategies
• Policies
• Service-oriented
example
• Mergers &
acquisitions
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Three Important Strategic
Human Resource
Management Tools

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Strategic Human Resource
Management Tools

• Strategy map
• The HR scorecard
• Digital dashboards

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HR Metrics and
Benchmarking

• HR metrics
o Types of metrics
• Benchmarking

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Review

• Strategy map
• HR Scorecard
• Digital dashboards

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Why Metrics are Essential for
Managing Human Resources

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Strategy and Strategy-
Based Metrics
• Workforce/talent analytics
• Data mining
• HR audits
• Evidence-based HR
o The scientific method
• Why should a manager be scientific?

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High-performance Work
Systems

• High-performance
human resource
policies and
practices

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Review
• Strategy and strategy-based metrics
• Talent analytics
• Data mining
• Audits
• Evidence-based HR
• The scientific method
• High-performance work systems

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 3-28
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 3-29
4 Job Analysis and the
Talent
Management Process

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-1
Learning Objectives
1. Explain why talent management is
important.
2. Discuss the nature of job analysis,
including what it is and how it’s used.
3. Use at least three methods of
collecting job analysis information,
including interviews, questionnaires,
and observation.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-2
Learning Objectives
4. Write job descriptions, including
summaries and job functions, using
the Internet and traditional
methods.
5. Write a job specification.
6. Explain competency-based job
analysis, including what it means
and how it’s done in practice.
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Explain why talent
management is important.

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The Talent Management
Process
• What Is Talent Management?
o Tasks
o Goal-directed
o Uses the same “profile”
o Segments and manages employees
o Integrates/coordinates all talent
management functions

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Review
• Thought of as
linear process
• Definition
• Managing talent
effectively

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Discuss the nature of job
analysis, including what it is
and how it’s used.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-7
The Basics of Job Analysis
• Work activities
• Behaviors
• Machines, tools, equipment, and work
aids
• Performance standards
• Job context
• Human requirements
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-8
Uses of Job Analysis
Information
• Recruitment and selection
• EEO compliance
• Performance appraisal
• Compensation
• Training

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Conducting a Job Analysis
1. How will information be used?
2. Background information
3. Representative positions
4. Collect and analyze data
5. Verify
6. Job description and specification
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Job Analysis Guidelines

• A joint effort
• Clarity of questions
and process
• Different job analysis
tools

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Review
• The basics of job analysis
• Uses of job analysis information
• Conducting a job analysis
• Job analysis guidelines

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Use at least three methods
of collecting job analysis
information, including
interviews, questionnaires,
and observation.
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Collecting Job Analysis
Information
• Interviews
• Questionnaires
• Observation
• Diary/logs
• Quantitative techniques
• Internet-based

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-14
Collecting Job Analysis
Information – Interviews
• The Interview
o Typical questions
o Structured interviews
o Pros and cons
o Interviewing guidelines

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-15
Review
• Interviews
• Questionnaires
• Observation
• Diary/logs
• Quantitative techniques
• Internet-based

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-16
Write job descriptions,
including summaries and job
functions, using the Internet
and traditional methods.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-17
Writing Job Descriptions
• Job identification
• Job summary
• Relationships
• Responsibilities and duties
o Authority
• Performance standards & working
conditions
• Job specifications

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-18
Write a job specification.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-19
Writing Job Specifications

• Trained vs. untrained


• Judgment
• Statistical analysis
• Task statements

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Review

• Job descriptions
o Identifying the job, summary,
relationships
o Responsibilities, duties, standards
• Specifications

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Explain competency-based
job analysis, what
it means, and how it’s
done.

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Profiles in Talent
Management
• Competencies and
competency-based job
analysis
• How to write competencies-
based job descriptions

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-23
Review

• Observation
• Measurement
• Example – work teams
• Job profiles

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-24
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 4-25
Personnel Planning
5 and Recruiting

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-1
Learning Objectives
1. List the steps in the recruitment and
selection process.
2. Explain the main techniques used
in employment planning and
forecasting.
3. Explain and give examples for the
need for effective recruiting.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-2
Learning Objectives
4. Name and describe the main
internal sources of candidates.
5. List and discuss the main outside
sources of candidates.
6. Develop a help wanted ad.
7. Explain how to recruit a more
diverse workforce.
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The steps in the recruitment
and selection process.

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The Five Steps
• Positions to be filled
• Pool of candidates
• Applications and screening
• Selection tools
• Make an offer

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Review
• Positions
• Candidates
• Screening
• Selection
• Offers

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Explain the main techniques
used in employment planning
and forecasting.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-7
Workforce Planning and
Forecasting
• Strategy and workforce planning
• Forecasting personnel needs (labor
demand)
o Trend analysis
o Ratio analysis
o The scatter plot
o Markov analysis
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Forecasting the Supply of
Inside Candidates

• Manual systems
and replacement
charts
• Computerized skills
inventories
• Privacy

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Forecasting the Supply of
Outside Candidates
• Talent management
• Action planning for
labor supply and
demand
• The recruiting yield
pyramid

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Review
• Forecasting
• Manual vs. computerized systems
• Managing talent
• Action planning
• Recruiting pyramid

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-11
Explain and give examples
for the need for effective
recruiting.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-12
The Need for Effective
Recruiting

• Why recruiting is important


• What makes recruiting a challenge?
• Organizing how you recruit
o The supervisor’s role

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-13
Review

• Importance
• Challenge
• Organizing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-14
Name and describe the main
internal sources of
candidates.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-15
Internal Sources of
Candidates
• Using internal sources
• Finding internal candidates
• Rehiring
• Succession planning
o Identify key needs
o Develop inside candidates
o Assess and choose
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-16
Review

• Internal sources
• Finding internal candidates
• Rehiring
• Succession planning

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-17
List and discuss the main
outside sources of
candidates.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-18
Outside Candidates
• Internet recruiting
o Online recruiting
o Texting
o Dot-jobs
o Virtual job fairs
o Tracking
o Effectiveness
• Advertising – media
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-19
Review

• Internet recruiting
• Advertising
• Media

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-20
Develop a help wanted ad

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-21
Writing the Ad
• Attention
• Interest
• Desire
• Action

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-22
Employment Agencies

• Public
• Nonprofit
agencies
• Private agencies

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-23
Temp Agencies and
Alternative Staffing

• Pros and cons


• What supervisors should know about
temporary employees’ concerns
• Legal guidelines
• Alternative staffing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-24
Other Sources of
Candidates
• Offshoring and outsourcing jobs
• Executive recruiters
o Pros and cons
o Guidelines
• On-demand recruiting services

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-25
Other Sources of
Candidates
• College recruiting
o On-campus recruiting goals
o The on-site visit
o Internships

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-26
Recruiting

• Referrals and walk-ins


• Telecommuters
• Military personnel
• Recruiting source use and
effectiveness

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-27
Other Issues
• Recruiting source
use and
effectiveness
• Measuring recruiting
effectiveness

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-28
Review
• Writing the ad
• Employment agencies
• Temp agencies, alternative staffing
• Other sources of candidates
• Recruiting
• Measuring effectiveness

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-29
Explain how to recruit a more
diverse workforce.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-30
Recruiting a More Diverse
Workforce
• Single parents
• Older workers
• Recruiting minorities
• Welfare-to-work
• Disabled workers

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-31
Developing and Using
Application Forms

• Purpose of application forms


• Application guidelines
• Application forms and EEO law
• Predicting job performance
• Mandatory arbitration

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-32
Review

• Recruiting a more
diverse workforce
• Developing and
using application
forms

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-33
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 5-34
Employee Testing
6 and Selection

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-1
Learning Objectives
1. Explain what is meant by reliability and
validity.
2. Explain how you would go about
validating a test.
3. Cite and illustrate our testing
guidelines.
4. Give examples of some of the ethical
and legal considerations in testing.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-2
Learning Objectives
5. List eight tests you could use for
employee selection, and how you
would use them.
6. Give two examples of work
sample/simulation tests.
7. Give examples of some of the
ethical and legal considerations in
testing.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-3
Why Careful Selection is
Important
• Performance
• Cost
• Legal obligations
• Person and job/organization fit

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-4
Explaining what is meant
by reliability and validity

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-5
Basic Testing Concepts
• Reliability
• Validity
o Criterion validity
o Content validity
o Construct validity

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-6
Review
• Reliability =
consistency
• Validity =
measuring what
you intend to
measure

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-7
How to go about validating
a test

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-8
Evidence-Based HR: How
to Validate a Test
• Analyze
• Choose
• Administer
• Relate
• Cross-validate

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-9
Review

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-10
Cite and illustrate our
testing guidelines

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-11
Evidence-Based HR: Test
Validation Issues
• Who scores the test?
• Bias
• Utility analysis
• Validity generalization

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-12
Review

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-13
Ethical and legal
considerations in testing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-14
Evidence-Based HR: Test
Validation Other Issues

• Individual rights and test security


• Privacy issues
• Using tests at work
• Computerized and online testing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-15
Review
• Rights and security
• Privacy
• Tests at work
• Computerized,
online testing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-16
Tests for employee
selection, and how you
would use them

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-17
Types of Tests
• Cognitive abilities
o Intelligence tests
o Specific cognitive abilities
• Motor & physical abilities
• Measuring personality
• Interest inventories
• Achievement tests

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-18
What do personality tests
measure?

• The “Big Five”


• Predicting
performance
• Caveats

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-19
Review
• Cognitive • Interests
abilities • Achievement
o IQ • “Big 5”
o Specific mental • Predicting
abilities • Caveats
o Interpretation
• Motor skills
o Legal issues
• Personality o Disputing value

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-20
Examples of work
sample/simulation tests

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-21
Work samples and
simulations

• Basic procedure
• Situational judgment tests
• Management assessment centers
• Situational testing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-22
Work samples and
simulations
• Computerized
multimedia assessment
• Miniature job training
and evaluation
• Realistic job previews
• Testing techniques for
managers
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-23
Review
• Situational • Miniature job
judgment training
• Assessment • Realistic job
centers previews
• Situational • Managers and
testing testing
• Computers
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-24
Examples of some of the
ethical and legal
considerations in testing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-25
Background Investigations
• Why perform checks?
• Effectiveness
• Legal dangers
o Defamation
o Privacy
• How to check

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-26
Background Investigations

• Applicants’ social postings


• Pre-employment information services
• The polygraph and honesty testing
• Graphology

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-27
Background Investigations

• “Human lie detectors”


• Physical exams
• Substance abuse
• Complying with immigration law
• Improving productivity through HRIS

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-28
Review
• Why perform checks?
• Effectiveness
• Legal dangers
• How to check
• Social postings
• Information services

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-29
Review
• Honesty testing
• Graphology
• “Human lie detectors”
• Physicals/drugs
• Immigration
• HRIS

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-30
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-31
Interviewing
7 Candidates

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-1
Learning Objectives
1. List the main types of selection
interviews.
2. List and explain the main errors that
can undermine an interview’s
usefulness.
3. Define a structured situational
interview.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-2
Learning Objectives
4. Explain and illustrate each guideline
for being a more effective
interviewer.
5. Give several examples of
situational questions, behavioral
questions, and background
questions that provide structure.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-3
List the main types of
selection interviews.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-4
Basic Types of Interviews
• Structured vs. unstructured
• Questions to ask
o Situational
o Behavioral
o Job-related
o Stress
o Puzzle questions

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-5
Administering Interviews
• Panel
• Phone
• Video/web-assisted
• Computerized
• Second Life
• Speed dating
• Case interviews
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-6
Three Ways to Make the
Interview Useful
• Structure the interview
• Carefully select traits to assess
• Beware of committing interviewing
errors

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-7
Review
• Structured vs. • Administration
unstructured o Panel
• Questions to ask o Phone
• Situational o Video/web-
o Behavioral assisted
o Job-related o Computerized
o Stress
o Puzzle questions

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-8
List and explain the main
errors that can undermine an
interview’s usefulness

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-9
Errors that Undermine
Interviews
• Snap judgments
• Job requirements
• Candidate-order & pressure to hire
• Nonverbal behavior & impression
management
• Personal characteristics
• Interviewer mistakes
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-10
Review

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-11
Define a structured
situational interview

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-12
Designing & Conducting
Structured Interviews
1. Analyze the job
2. Rate main duties
3. Create questions
4. Create benchmark answers
5. Appoint interview panel and
conduct interviews
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-13
Review
• Job analysis
• Rating
• Creating questions
• Benchmark answers
• Create a panel and conduct
interviews

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-14
Explain and illustrate each
guideline for being a more
effective interviewer

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-15
How to Conduct an
Effective Interview
There are 8 steps to conducting an
effective interview
1. Make sure you know the job
2. Structure the interview
3. Get organized
4. Establish rapport

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-16
How to Conduct an
Effective Interview
5. Ask questions
6. Take notes
7. Close the interview
8. Review the interview

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-17
Review

• Know the job • Ask questions


• Structure the • Take notes
interview • Close
• Get organized • Review
• Create rapport

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-18
Give several examples of
situational questions,
behavioral questions, and
background questions that
provide structure

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-19
Situational (What Would
You Do) Questions
• Suppose your boss insisted that a presentation
had to be finished by tonight. Your subordinate
said she has to get home early to attend an
online class, so she is unable to help you. What
would you do?

• The CEO just told you that he’s planning on


firing your boss, with whom you are very close,
and replacing him with you. What would you do?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-20
Behavioral (Past Behavior)
Questions
• Tell me about a time when you had to deal with
a particularly obnoxious person. Describe the
situation in detail, and explain how you handled
it.

• Tell me about a time when you were under a


great deal of stress. What was the situation, and
how did you handle it?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-21
Background Questions
• What kind and how much experience
have you had actually repairing
automobile engines?
• Describe the types and years of
experience you have had creating
marketing programs for consumer
products?
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-22
Review

• Situational
• Behavioral
• Background

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-23
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 7-24
Training and Developing
8 Employees

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-1
Learning Objectives
1. Summarize the purpose and process of
employee orientation.
2. List and briefly explain each of the five steps
in the training process.
3. Describe and illustrate how you would identify
training requirements.
4. Explain how to distinguish between problems
you can fix with training and those you can’t.
5. Discuss how you would motivate trainees.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-2
Learning Objectives
6. Explain how to use five training techniques.
7. List and briefly discuss four management
development programs.
8. List and briefly discuss the importance of the
eight steps in leading organizational change.
9. Answer the question, “What is organizational
development and how does it differ from
traditional approaches to organizational
change?”

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-3
Summarize the purpose and
process of employee
orientation

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-4
The Purposes of Employee
Orientation/Onboarding
• Welcome
• Basic
information
• Understanding
the organization
• Socialization

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-5
The Orientation Process

• Employee
handbook
• Orientation
technology

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-6
Overview of the Training
Process
• Aligning strategy
and training
• Training and
performance

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-7
Review
• Purposes • Employee
o Welcome handbook
o Basic information • Orientation
o Understanding technology
the organization • Training process
o Socialization overview

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-8
List and briefly explain each
of the five steps in the
training process

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-9
The ADDIE Five-Step
Training Process
• Analyze
• Design
• Develop
• Implement
• Evaluate

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-10
Conducting the Training
Needs Analysis

• Strategic needs
• Strategic training
needs analysis

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-11
Review
• ADDIE • Strategic needs
o Analyze • Strategic training
o Design needs analysis
o Develop
o Implement
o Evaluate

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-12
Describe and illustrate how
you would identify training
requirements

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-13
Task Analysis
• Detailed study
• Job descriptions
• Job specifications
• Performance standard
• Performing the job
• Task analysis record

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-14
Talent Management

• What it is
• What’s involved
• Competencies
• Job training needs

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-15
Review
• Strategic needs
• Strategic training needs analysis
• Talent management
o Competencies
o Plan

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-16
Explain how to distinguish
between problems you can
fix with training and those
you can’t

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-17
Performance Analysis: Current
Employees’ Training Needs
• Definition
• Current training needs analysis
• Task analysis
• Performance analysis
• Can’t do/won’t do
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-18
Designing the Training
Program
• Setting learning
objectives
• Creating a
motivational
learning
environment

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-19
Review
• Analyzing current
employees’
needs
• Designing the
training program

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-20
Discuss how you would
motivate trainees

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-21
Making the Learning
Meaningful
• Bird’s-eye view
• Familiar examples
• Organize
• Familiar terms
• Perceived need

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-22
Making Skills Transfer
Obvious and Easy
• Similarity
• Practice
• Label
• Attention
• “Heads-up”
• Pace

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-23
Learning
• Reinforce correct responses
• Schedule
• Follow-up assignments
• Transfer of training
• Other issues

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-24
Review
• Overview • Labels
• Familiarity • Heads-up
• Organization • Pace
• Needs • Reinforcement
• Schedule
• Similarity
• Follow-up
• Practice
• Alternatives

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-25
Explain how to use five
training techniques

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-26
Implementing Training
Programs

• On-the-job training
o Types of on-the-job training
o Job rotation
o Special assignments

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-27
The OJT Process

• Preparation
• Present the
operation
• Tryout
• Follow-up

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-28
Other Types of Learning

• Apprenticeship
training
• Informal learning

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-29
Other Types of Learning
• Job instruction training
• Lectures
• Programmed learning
• Audiovisual-based training
• Vestibule training

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-30
Other Types of Learning
• Electronic performance support
systems (EPSS)
• Videoconferencing
• Computer-based training(CBT)
• Simulated learning

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-31
Other Types of Learning

• Interactive learning
• Internet-based training
• Learning Management Systems
(LMS)
• Using internet-based learning

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-32
Other Types of Learning
• Mobile learning
• Virtual classrooms
• Lifelong and literacy training
techniques
• Team training

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-33
Review
• On-the-job training
• The OJT process
• Apprenticeships
• Informal
• Other forms of
training and
learning
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-34
List and briefly discuss four
management development
programs

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-35
Implementing Management
Development Programs

• Strategy and development


• Managerial on-the-job training
• Coaching/understudy approach
• Action learning

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-36
Off-the-Job Management
Training and Development

• Case studies
• Computerized management games
• Outside seminars
• University programs
• Role-playing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-37
Off-the-Job Management
Training and Development

• Behavior modeling
• Corporate universities
• Executive coaches
• SHRM learning system
• Talent management

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-38
Review
• Strategy
• On- and off-the-job
• Coaching
• Action learning
• Cases
• Games

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-39
Review
• Outside and university
• Role-playing
• Behavior modeling
• Corporate universities
• SHRM

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-40
List and briefly discuss
the importance of the
eight steps in leading
organizational change

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-41
Managing Organizational
Change Programs
• What to change
• Structure
• Technology
• Other
• Lewin’s change process
o Unfreezing
o Moving
o Refreezing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-42
Leading Organizational
Change
• Unfreezing stage • Refreezing stage
o Urgency. o Reinforcement
o Commitment o Monitor
• Moving stage
o Coalition
o Vision
o Acceptance
o Gains
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-43
Review
• What to change
o Structure
o Technology
o Other
• Lewin’s change process
o Unfreezing
o Moving
o Refreezing
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-44
What is organizational
development and how
does it differ from
traditional approaches to
organizational change?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-45
Using Organizational
Development
• Characteristics
• Human processes
• Technostructural
• HR management
• Strategic OD
• Evaluating

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-46
Evaluating The Training
Effort
• Designing the study
• Controlled experimentation
• Measurement
o Reactions
o Learning
o Behavior
o Results

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-47
Review
• Action research • Technostructural
• Behavioral • HR practices
science • Strategy
• Change • Evaluation
• Human
processes

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-48
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 8-49
Performance
9 Management and
Appraisal

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-1
Learning Objectives
1. Define performance management
and discuss how it differs from
performance appraisal.
2. Describe the appraisal process.
3. Set effective performance appraisal
standards.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-2
Learning Objectives
4. Develop, evaluate, and administer
at least four performance appraisal
tools.
5. Explain and illustrate the problems
to avoid in appraising performance.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-3
Learning Objectives
6. Discuss the pros and cons of using
different raters to appraise a
person’s performance.
7. Perform an effective appraisal
interview.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-4
Define performance
management and discuss
how it
differs from performance
appraisal.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-5
Basic Concepts In Performance
Management and Appraisal
• The performance appraisal process
• Why appraise performance?
• The importance of continuous
feedback
• Performance management
o Definition

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-6
Review
• The process
• Why do it?
• Continuous feedback
• Performance management

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-7
Describe the appraisal
process.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-8
The Performance Appraisal
Process

• Why appraise performance?


• Continuous feedback
• Performance management

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-9
Review
• Pay and promotions
• Planning
• Career planning
• Training and development
• Ongoing feedback
• Teamwork and change

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-10
Set effective performance
appraisal standards.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-11
Employee’s Goals and
Performance Standards
• HR in practice: how to set effective
goals
o Assign specific goals
o Assign measurable goals
o Assign challenging but doable goals
o Encourage participation

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-12
Employee’s Goals and
Performance Standards

• Basing appraisal
standards on
required
competencies
• The role of job
descriptions

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-13
Who Should Do the Appraising?

• Peer appraisals
• Rating committees
• Self-ratings
• Appraisal by subordinates
• 360-degree feedback

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-14
Techniques for Appraising
Performance
• Graphic rating
scale method
• What to rate?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-15
Review
• Effective goals
• Competencies
• Job descriptions
• Appraisers

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-16
Develop, evaluate, and
administer at least four
performance appraisal tools.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-17
Performance Appraisal
Tools
• Alternation ranking
• Paired comparison
• Forced distribution
• Critical incident
• Narrative forms
• Behaviorally Anchored Rating Scales
(BARS)
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-18
Performance Appraisal
Tools
• Mixed standard scales
• Management by objectives (MBO)
• Computerized and web-based
performance appraisal
• Electronic performance monitoring
(EPM)

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-19
Review

• Alternation • BARS
• Pairs • Scales
• Distribution • MBO
• Incidents • Computerized
• Narratives • EPM

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-20
Explain and illustrate the
problems to avoid in
appraising performance.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-21
Dealing with Appraisal
Problems and Interviews
• Potential appraisal problems
o Unclear standards
o Halo effect
o Central tendency
o Leniency or strictness
o Recency effects
o Bias
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-22
Review
Halo
Effect Bias

Central
Unclear
Tendency
Standards
Leniency/
Recency Strictness
Effect

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-23
Discuss the pros and
cons of using different
raters to appraise a
person’s performance.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-24
Guidelines for Effective
Appraisals
• Know the problems
• Use the right tool
• Keep a diary
• Get agreement on a plan
• Ensure fairness
• Appraisals and the law
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-25
Review
• Problems
• Tools
• Records
• Fairness
• Legal
• Ethics

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-26
Perform an effective
appraisal interview.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-27
Managing the Appraisal
Interview
• Types of appraisal interviews
• How to conduct the appraisal
interview
o Objective data
o Don’t get personal
o Encouragement
o Agreement
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-28
Managing the Appraisal
Interview
• Handling a defensive subordinate
• Criticizing a subordinate
• The formal written warning
• Realistic appraisals

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-29
Performance Management

• Performance management vs.


appraisals
• Information technology
• Talent management
• Appraisal and active management
• Segmenting employees

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-30
Performance Management
Summary
• Direction sharing
• Goal alignment
• Ongoing performance monitoring
• Ongoing feedback
• Coaching and developmental
• Recognition and rewards

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-31
Review
• Type of interviews
• Defensiveness
• Criticism
• Warnings
• Realism
• Performance management vs. appraisals
• Talent management

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-32
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 9-33
Employee Retention,
10 Engagement, and
Careers

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-1
Learning Objectives
1. Describe a comprehensive approach to
retaining employees.
2. Explain why employee engagement is
important, and how to foster such
engagement.
3. Discuss what employers and
supervisors can do to support
employees’ career development
needs.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-2
Learning Objectives
4. List and discuss the four steps in
effectively coaching an employee.
5. List the main decisions employers
should address in reaching
promotion decisions.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-3
Managing Employee
Turnover and Retention
• Costs of turnover
• Managing voluntary
turnover
• Reducing voluntary
turnover

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-4
Describe a
comprehensive approach
to retaining employees.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-5
A Comprehensive
Approach to Retaining
Employees
1. Selection
2. Professional growth
3. Provide career direction
4. Meaningful work and ownership of
goals
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-6
A Comprehensive
Approach to Retaining
Employees
5. Recognition and rewards
6. Culture and environment
7. Promote work–life balance
8. Acknowledge achievements

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-7
A Comprehensive
Approach to Retaining
Employees
• Managing involuntary turnover
• Talent management and employee
retention
• Job withdrawal

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-8
Review

• Selection
• Professional growth
• Career direction
• Meaningful work/ownership
• Recognition and rewards

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-9
Review
• Culture and environment
• Work–life balance
• Involuntary turnover
• Talent management and employee
retention
• Job withdrawal

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-10
Why Employee Engagement
is Important and
Fostering such Engagement

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-11
Employee Engagement

• Importance
• Fostering
• Monitoring

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-12
Employee Engagement

• Career terminology
• Careers today
• Psychological contract
• The employee’s role

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-13
Review
• Employee engagement
• Career terminology
• Careers today
• Psychological contract
• The employee’s role

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-14
Discuss what employers and
supervisors can do to
support employees’ career
development needs.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-15
The Employer’s Role in
Career Management
• Career Management Systems
o Career centers and workshops
o Lifelong learning
o Career coaches
o Online programs
o Career-oriented appraisals
• Gender Issues
• The Manager’s Role
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-16
Review

• Career management systems


• Gender issues
• The manager’s role

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-17
List and discuss the four
steps in effectively coaching
an employee.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-18
Improving Coaching Skills

• Building your coaching skills


o Preparation
o Planning
o Active coaching
o Follow-up

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-19
Improving Coaching Skills

• Building your mentoring skills


o Mentoring caveats
o The effective mentor
o The protégé’s responsibilities

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-20
Review

• Building your
coaching skills
• Building your
mentoring skills

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-21
List the main decisions
employers should address in
reaching promotion
decisions.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-22
Making Promotion
Decisions

1. Is seniority or competence the rule?


2. How should we measure
competence?
3. Is the process formal or informal?
4. Vertical, horizontal, or other?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-23
Making Promotion
Decisions
• Practical considerations
• Sources of bias
• Promotions and the law
• Managing transfers
• Managing retirements

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-24
Review
• Promotion • Practical issues
decisions • Bias
• Measurement • The law
• Formal vs. • Transfers
informal • Retirement
• Vertical or
horizontal
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-25
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 10-26
Establishing Strategic
11 Pay Plans

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-1
Learning Objectives
1. List the basic factors determining
pay rates.
2. Define and give an example of how
to conduct a job evaluation.
3. Explain in detail how to establish a
market-competitive pay plan.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-2
Learning Objectives
4. Explain how to price managerial
and professional jobs.
5. Explain the difference between
competency-based and traditional
pay plans.
6. List and explain six important trends
in compensation management.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-3
List the basic factors
determining pay rates.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-4
Basic Factors in
Determining Pay Rates

• Aligning total rewards with strategy


• Equity and its impact on pay rates
• Equity theory of motivation
• Addressing equity issues

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-5
Legal Considerations in
Compensation
• Fair Labor Standards Act (1938)
• Exempt/nonexempt
• Equal Pay Act (1963)
• Employee Retirement Income
Security Act (1974)
• Other legislation
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-6
Other Factors
• Union influences on compensation
decisions
• Pay policies
• Geography

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-7
Review
• Alignment with strategy
• Equity – external, internal
• Legal Considerations
• Union influences
• Pay policies
• Geography

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-8
Define and give an example
of how to conduct
a job evaluation.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-9
Job Evaluation Methods

• Compensable
factors
• Preparing for the
job evaluation

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-10
Job Evaluation Methods:
Ranking
1. Obtain job information
2. Select and group jobs
3. Select compensable factors
4. Rank jobs
5. Combine ratings

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-11
Job Evaluation Methods
• Job classification
• Point method
o “Packaged” point
plans
• Computerized job
evaluations

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-12
Review
• Compensable factors
• Preparation
• Ranking
• Classification
• Point method
• Computer-based

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-13
Explain in detail how to
establish a market-
competitive pay plan.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-14
How to Create a Market-
Competitive Pay Plan
• Choose benchmark jobs
• Select compensable factors
• Assign weights
• Convert percentages to points
• Define each factor’s degrees
• Determine degrees and assign points
for job factors
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-15
How to Create a Market-
Competitive Pay Plan
• Review job descriptions and
specifications
• Evaluate the jobs
o What is a market competitive pay plan?
o What are wage curves?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-16
How to Create a Market-
Competitive Pay Plan
• Draw current (internal) wage curve
• Conduct market analysis: salary
surveys
o Commercial, professional, and
government
• Using internet to do compensation
surveys
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-17
How to Create a Market-
Competitive Pay Plan
• Draw market (external) wage curve
• Compare and adjust
• Develop pay grades
• Establish rate ranges
• Address remaining jobs
• Correct out-of-line rates
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-18
Review

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-19
Explain how to price
managerial and professional
jobs.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-20
Pricing Managerial and
Professional Jobs
• Compensating executives and
managers
• What determines executive pay?
o Elements of executive pay
o Managerial job evaluation
• Compensating professional
employees

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-21
Review

• Executives
• Professionals
• Pay

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-22
Explain the difference
between competency-based
and traditional pay plans.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-23
Contemporary Topics in
Compensation
• Competency-based
pay
• What is it?
• Why use it?
• In practice
• The bottom line

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-24
Review

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-25
List and explain six important
trends in compensation
management.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-26
Trends
• Broadbanding
• Actively managing
• Comparable worth
o The pay gap
• Board oversight
• Total rewards and tomorrow’s pay
programs
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-27
Review
• Broadbanding
• Management
• Worth
• Boards
• Tomorrow

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-28
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-29
Pay for Performance
12 and Financial Incentives

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-1
Learning Objectives
1. Explain how you would apply five
motivation theories in formulating an
incentive plan.
2. Discuss the main incentives for
individual employees.
3. Discuss the pros and cons of
commissions versus straight pay
incentives for salespeople.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-2
Learning Objectives
4. Describe the main incentives for
managers and executives.
5. Name and define the most popular
organization-wide variable pay
plans.
6. Outline the steps in designing
effective incentive plans.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-3
Money and Motivation

Strategy

Performance

Incentive Pay

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-4
Explain how you would apply
five motivation theories in
formulating an incentive
plan.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-5
Motivation and Incentives
• Maslow’s
Hierarchy of
Needs

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-6
Motivation and Incentives

Hygiene
• Herzberg’s
Two-Factory
Theory
• Deci and Motivators
demotivators

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-7
Motivation and Incentives

• Expectancy
Theory, Victor
Vroom

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-8
Motivation and Incentives

• Behavior modification
• Incentive pay terminology
• Employee incentives and the law

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-9
Review
• Money and motivation
• Motivation theories
• Incentives
• Terminology
• The law

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-10
Discuss the main incentives
for individual employees.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-11
Individual Employee Incentive
and Recognition Programs
• Piecework plans • Merit pay as an
o Straight incentive
piecework o Differential pay
o Standard hour increases
plans o Merit pay options
o Pros and cons

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-12
Individual Employee Incentive
and Recognition Programs
• Incentives for professional employees
• Nonfinancial and recognition-based
awards
o Incentives managers can use
• Online and IT-supported awards
• Job design

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-13
Review
• Piecework
• Merit pay
• Incentives for professionals
• Nonfinancial rewards
• Online
• Job design

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-14
The Pros and Cons of
Commissions vs. Straight
Pay Incentives for
Salespeople

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-15
Incentives for Salespeople
• Salary plan
• Commission plan
• Combination plan
• Maximizing sales force results
• How effective are your incentives?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-16
Review
• Types of sales
incentives
• Maximizing results
• Effectiveness

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-17
Describe the main incentives
for managers and executives.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-18
Incentives for Managers
and Executives
• Strategy and the executive’s long-term
and total rewards package
• Sarbanes-Oxley Act
• Short-term incentives, annual bonus
o Eligibility
o Fund size
o Individual performance
o Formula
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-19
Incentives for Managers
and Executives
• Strategic long-term incentives
o Stock options
o Stock option problems
o Other stock plans
o Ethics and incentives
• Other executive incentives

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-20
Review
• Strategy and long-term incentives
• Federal law
• Short-term incentives
• Strategic long-term incentives
• Other incentives

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-21
The Most Popular
Organization-wide Variable
Pay Plans

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-22
Team & Organization-wide
Incentive Plans
• Designing team incentives
o Engineered standards
o Pros and cons
• HR inequities that undercut team
incentives

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-23
Team & Organization-wide
Incentive Plans
• Profit-sharing plans
• Scanlon plans
• Other gainsharing plans
• At-risk pay plans
• Employee stock ownership plans

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-24
Review
• Team incentives
• Inequities
• Profit-sharing
• Scanlon and gainsharing
• At-risk
• ESOPs

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-25
The Steps in Designing
Effective Incentive Plans

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-26
The Five Building Blocks of
Effective Incentive Plans
• Common sense
• Linkages
• Effort Rewards
• Standards
• Contract
• Measurement
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-27
Review
Sense

Scientific Linkages

Standards Motivation

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-28
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 12-29
Benefits and Services
13

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-1
Learning Objectives
1. Name and define each of the main pay
for time not worked benefits.
2. Describe each of the main insurance
benefits.
3. Discuss the main retirement benefits.
4. Outline the main employees’ services
benefits.
5. Explain the main flexible benefit
programs.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-2
The Benefits Picture Today
• Policy Issues
o What
o Who
o New employees
o Money
o Communication

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-3
Name and define each of the
main pay for time
not worked benefits.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-4
Pay for Time not Worked
• Unemployment insurance
• Vacations and holidays
o Legal aspects
o Sick leave
o Cost-reduction tactics
• Tracking sick leave

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-5
Pay for Time not Worked
• Parental leave and the Family and
Medical Leave Act (FMLA)
o FMLA guidelines
• Severance pay
o Guidelines
• Supplemental unemployment benefits

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-6
Review
• Unemployment insurance
• Supplemental unemployment benefits
• Vacations and holidays
• Tracking
• FMLA
• Severance

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-7
Describe each of the main
insurance benefits.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-8
Insurance Benefits (1)
• Workers’ compensation
o Determining benefits
o Controlling costs
• Hospitalization, health, and disability
insurance
o Coverage
o HMOs
o PPOs
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-9
Insurance Benefits (2)
• Mental health benefits
• The legal side of health benefits
o Patient Protection and Affordable Care
Act of 2010
o COBRA
o Other laws

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-10
Trends in Employer Health
Care Cost Control
• Communication and empowerment
• Wellness programs
• Claim audits
• Limited plans
• Outsourcing
• Other cost-control options
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-11
Insurance Benefits (3)
• Long-term care
• Life insurance
• Benefits for part-time and contingent
workers

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-12
Review
• Workers’ compensation
• Insurance programs
• Legal issues
• Trends
• Long-term care
• Part-time and contingent workers

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-13
Main Retirement Benefits

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-14
Retirement Benefits
• Social security
• Pension plans
o 401(k) plans
o Other defined contribution plans
o Cash balance plans
• Pension planning and the law
o PBGC
o Membership requirements
o Vesting

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-15
Retirement Benefits
• Pensions and
early retirement
o BENELOGIC
o Benefits web sites

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-16
Review

• Social security
• Pension plans
• Pension planning
and the law
• Early retirement

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-17
Main Employees’ Services
Benefits

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-18
Personal Services and
Family-friendly Benefits
• Personal services
• Employee Assistance Programs (EAP)
• Family-friendly (work–life) benefits
o Subsidized child care
o Sick child benefits
o Elder care
o The bottom line

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-19
Other Job-Related Benefits
• Educational
subsidies
• Domestic partner
benefits
• Executive
perquisites

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-20
Review
• Personal services
• EAPs
• Family-friendly benefits
• Educational subsidies
• Domestic partner benefits
• Executive perquisites

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-21
The Main Flexible Benefit
Programs

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-22
Flexible Benefits Programs
• The cafeteria
approach
o Types of plans
• Benefits and
employee leasing

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-23
Flexible Benefits Programs
• Flexible work schedules
o Flextime
o Compressed workweeks
o Effectiveness
o Workplace flexibility
o Other flexible work arrangements

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-24
Review
• Flexible benefits programs
• The cafeteria approach
• Benefits and employee leasing
• Flexible work schedules

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-25
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 13-26
Ethics and Employee
14 Rights and Discipline

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-1
Learning Objectives
1. Explain what is meant by ethical behavior
at work.
2. Discuss important factors that shape
ethical behavior at work.
3. Describe at least four specific ways in
which HR management can influence
ethical behavior at work.
4. Employ fair disciplinary practices.
5. List at least four important factors in
managing dismissals effectively.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-2
Explain what is meant by
ethical behavior at work.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-3
Ethics and Fair Treatment
at Work
• What is ethics?
• Ethics and the law
• Ethics, justice, and fair treatment
• Ethics, public policy, and employee rights
o Unalienable rights
o Public policy
o Employment rights

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-4
Review
• Ethics
• The law
• Justice, and fair
treatment
• Public policy, and
employee rights

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-5
Discuss important factors
that shape ethical behavior
at work.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-6
What Shapes Ethical
Behavior at Work?
• No one smoking gun
• The person (bad apples)
• Situations (bad cases)
• Outside forces (bad barrels)
o Pressures
o Ethics policies and codes
o Organizational culture

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-7
Review

• Smoking guns
and apples

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-8
Describe at least four
specific ways in which HR
management can influence
ethical behavior at work.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-9
Using HR Management Methods to
Promote Ethics and Fair Treatment

• Selection
• Ethics training
• Performance appraisal
• Reward and disciplinary systems
• Managing ethics compliance

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-10
Review

• Selection Selection
• Training
• Performance Training

• Rewards
• Compliance Rewards

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-11
Employ fair disciplinary
practices.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-12
Managing Employee
Discipline and Privacy
• Fairness in
disciplining
• Bullying and
victimization
• What causes unfair
behavior?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-13
Managing Employee
Discipline And Privacy

• Basics of a fair and just disciplinary


process
o Rules and regulations
o Progressive penalties
o Formal disciplinary appeals processes

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-14
Discipline without
Punishment

1. Oral reminder
2. Formal written reminder
3. Decision-making leave
4. Purge suspension from file

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-15
Managing Employee
Discipline and Privacy
• Employee
privacy
• Employee
monitoring
o Restrictions

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-16
Review
• Fairness • Appeals
• Bullying • Discipline, not
• Unfair behavior punishment
• Rules and • Employee
regulations privacy &
• Penalties monitoring

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-17
List at least four important
factors in managing
dismissals effectively.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-18
Managing Dismissals
• Termination at will and wrongful
discharge
• Grounds for dismissal
o Unsatisfactory performance
o Misconduct
o Lack of qualifications for the job
o Changed requirements
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-19
Managing Dismissals

• Other issues in dismissals


o Insubordination
o Fairness
o Security measures

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-20
Managing Dismissals

• Avoiding wrongful discharge suits


• Personal supervisory liability
• The termination interview
o Outplacement counseling
o Exit interview

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-21
Layoffs, Downsizing, and
the Plant Closing Law
• The plant closing law
• The layoff process
a. Objectives and constraints
b. Downsizing team
c. Address legal issues
d. Post-implementation actions
e. Security concerns
f. Remain informative
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-22
Managing Dismissals
• Preparing for layoffs
• Dismissal’s effects
• Bumping/layoff procedures
• Layoff and downsizing alternatives
• Adjusting to downsizings and mergers
o Merger guidelines

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-23
Review (1)
• Termination at will and wrongful
discharge
• Grounds for dismissal
• Insubordination
• Fairness
• Security measures
• Avoiding wrongful discharge suits
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-24
Review (2)
• The termination interview
• The plant closing law
• The layoff process and preparation
• Dismissal’s effects
• Bumping/layoff procedures
• Alternatives and adjusting

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-25
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 14-26
Labor Relations and
15 Collective Bargaining

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-1
Learning Objectives
1. Give a brief history of the American
labor movement.
2. Discuss the main features of at
least three major pieces of labor
legislation.
3. Present examples of what to expect
during the union drive and election.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-2
Learning Objectives
4. Describe five ways to lose an NLRB
election.
5. Illustrate with examples bargaining
that is not in good faith.
6. Develop a grievance procedure.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-3
A Brief History of the
American Labor Movement

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-4
The Labor Movement
• Why do workers organize?
o The bottom line
• What do unions want?
• Union security
• Improved wages, hours, and benefits
• The AFL-CIO and the SEIU

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-5
Review

• Why do workers
organize?
• What do unions
want?
• The AFL-CIO
and the SEIU

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-6
The Main Features of at
Least Three Major Pieces
of Labor Legislation

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-7
Unions and the Law
• The Norris-LaGuardia (1932) and
National Labor Relations (or Wagner)
Acts (1935)
o Unfair employer labor practices
o From 1935 to 1947

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-8
Unions and the Law
• The Taft-Hartley Act (1947)
• Unfair union labor practices
o Rights of employees
o Rights of employers
o National emergency strikes
• The Landrum-Griffin Act (1959)

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-9
Review

• The Norris-LaGuardia Act


• National Labor Relations Act
• The Taft-Hartley Act
• Unfair union labor practices
• The Landrum-Griffin Act

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-10
What to Expect During the
Union Drive and Election

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-11
The Union Drive and
Election
1. Initial contact
 Labor relations consultants
 Union salting
2. Obtaining authorization cards
3. Hold a hearing
4. The campaign
5. The election
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-12
Review – The Union Drive
and Election

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-13
Five Ways to Lose
an NLRB Election

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-14
How to Lose an NLRB
Election
1. Asleep at the switch
2. Appointing a committee
3. Concentrating on money and
benefits
4. Delegating too much to divisions

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-15
How to Lose an NLRB
Election
• What to expect the union to do to win
the election
• The supervisor’s role
• Rules regarding literature and
solicitation
• Decertification elections: ousting the
union

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-16
Review

• Asleep at the • The union’s


switch actions
• Committees • Supervisor
• Focus • Rules
• Over-delegating • Decertification

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-17
Bargaining that is
not in Good Faith

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-18
The Collective
Bargaining Process

• What is collective bargaining?


• What is good faith?
• The negotiating team
• Bargaining items
• Bargaining hints

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-19
The Collective
Bargaining Process
• Impasses, mediation, and strikes
o Third-party involvement
o Sources of third-party assistance
o Strikes
o Strike guidelines for employers
o Other “weapons”
• The contract agreement

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-20
Review
• Definition
• Good faith
• Team
• Items and hints
• Impasses
• Contract

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-21
Developing a
Grievance Procedure

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-22
Dealing with Disputes and
Grievances
• Sources of
grievances
• The grievance
procedure
• Guidelines for
handling
grievances
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-23
The Union Movement
Today and Tomorrow
• Why union membership is down
• An upswing for unions?
• Card check
• High-performance work systems,
employee participation, and unions

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-24
Review
• Grievances
• Union
membership
• Card checks
• Work systems,
participation, and
unions
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-25
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-26
Employee Safety and
16 Health

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-1
Learning Objectives
1. Explain the supervisor’s role in safety.
2. Explain the basic facts about safety
law and OSHA.
3. Answer the question, “What causes
accidents?”
4. List and explain five ways to prevent
accidents.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-2
Learning Objectives
5. Minimize unsafe acts by
employees.
6. List five workplace health hazards
and how to deal with them.
7. Discuss the prerequisites for a
security plan and how to set up a
basic security program.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-3
The Supervisor’s Role in
Safety

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-4
Safety and the Manager

• Why safety is important


o The hidden story
• Management’s role in safety
• What top management can do
• The supervisor’s role in safety

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-5
Review

• Importance
• Manager’s role
• Top management
• Supervisor’s role

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-6
The Basic Facts about
Safety Law and OSHA

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-7
Occupational Safety Law
• OSHA standards and record keeping
o What the employer must report
• Inspections and citations
o Inspection priorities
o The inspection
o Penalties

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-8
Occupational Safety Law
• Inspections and citations (cont.)
o Managers’ inspection guidelines
o OSHA’s free on-site inspections
• Responsibilities and rights of
employers and employees
o Employee resistance

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-9
Review
• Standards and
record keeping
• Inspections and
citations
• Responsibilities
and rights

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-10
What causes accidents?

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-11
What Causes Accidents?

• Unsafe conditions
o Other work-related safety problems
• Danger zones
• Unsafe acts
o A second basic cause of accidents

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-12
Review

• Unsafe conditions
• Danger zones
• Unsafe acts

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-13
Five Ways to Prevent
Accidents

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-14
How to Prevent Accidents

• Reducing unsafe conditions


o Job hazard analysis
o Operational safety reviews
o Personal protective equipment

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-15
Review
• Hazard analysis
• Safety reviews
• Equipment

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-16
Minimize Unsafe Acts by
Employees

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-17
Reducing Unsafe Acts (1)
• Selection and placement
• Training
o Creating a supportive environment
• Motivation
o Posters, incentives, positive
reinforcement
• Behavior-based
• Employee participation
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-18
Reducing Unsafe Acts (2)
• Safety and health audits and
inspections
o Safety awareness
• Workers’ compensation
costs
o Pre-accident
o Post-accident
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-19
Review
• Selection
• Training
• Motivation
• Behavior
• Participation
• Audits
• Costs

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-20
Five Workplace Health
Hazards and How to Deal
with Them

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-21
Workplace Health Hazards:
Problems and Remedies (1)

• The basic industrial hygiene


program
• Asbestos exposure at work
• Infectious diseases
• Air quality

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-22
Alcoholism and Substance
Abuse
• Effects of alcohol abuse
• Supervisor training
• Dealing with substance abuse
• Substance abuse policies

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-23
Stress, Burnout, and
Depression
• Reducing job
stress
• Burnout
• Employee
depression

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-24
Workplace Health Hazards:
Problems and Remedies (2)
• Solving computer-related ergonomic
problems
• Repetitive motion disorders
• Workplace smoking
o What you can and cannot do
o Wellness programs

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-25
Workplace Health Hazards:
Problems and Remedies (3)
• Violence at work
o Who is at risk?
o Security measures
o Employee screening

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-26
Workplace Health Hazards:
Problems and Remedies (4)

• Supervisory training
o Organizational justice
o Angry employees
o Dismissing violent employees
o Legal issues

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-27
Review
• Hygiene • Psychological
• Exposure problems
• Disease • Computer-
• Air quality related problems
• Alcohol/ • Smoking
substance abuse • Violence
• Training
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-28
The Prerequisites for a
Security Plan and How
to Set Up a Basic Security
Program

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-29
Occupational Security
and Safety
• Crime prevention
• Basic security program
o Natural
o Mechanical
o Organizational
• Evacuation plans
• Security and employee privacy
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-30
Review

• Prevention
• Basic program
• Evacuation
• Privacy

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-31
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 16-32
Managing Global
17 Human Resources

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-1
Learning Objectives
1. List the HR challenges of
international business.
2. Illustrate with examples how inter-
country differences affect HRM.
3. List and briefly describe the main
methods for staffing global
organizations.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-2
Learning Objectives
4. Discuss some important issues to
keep in mind in training, appraising,
and compensating international
employees.
5. Explain with examples how to
implement a global human resource
management program.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-3
The HR challenges of
international business

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-4
The Manager’s Global
Challenge
• Marketing and managing abroad
• Control systems
o Financial
o HR
• Cultural difference
• Economic systems
• Legal issues
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-5
How inter-country
differences affect HRM

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-6
Adapting HR Activities
to Inter-Country Differences

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-7
Review

• Culture
• Economics
• Politics
• Labor relations
• The law

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-8
The main methods for
staffing global
organizations

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-9
Staffing the Global
Organization
• International staffing: home or local?
o Using expats
o Other solutions
o Using transnational virtual teams
• Offshoring

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-10
Staffing the Global
Organization
• Management values and international
staffing policy
o Ethnocentric practices
o Polycentric practices
o Geocentric practices

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-11
Staffing the Global
Organization
• Selecting expatriate managers
o Selection testing
o Legal issues
• Avoiding early expatriate returns
o Traits
o Family pressures
o What employers can do

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-12
Review
• Staffing: home or local?
• Offshoring
• Management values
• Selecting expatriate
managers
• Avoiding early expatriate
returns
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-13
Important issues in
training, appraising, and
compensating international
employees

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-14
Training and Maintaining
Employees Abroad
• Orienting and training employees on
international assignment
• Appraising managers abroad
• Compensating managers abroad
o The balance sheet approach
o Incentives
o Steps in establishing a system

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-15
Training and Maintaining
Employees Abroad
• Labor relations abroad
• Terrorism, safety, and global HR
o Taking protective measures
o Kidnapping and ransom (K&R)
insurance
• Repatriation: problems and solutions

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-16
Review
• Orienting and
training
• Appraisals
• Compensation
• Labor relations
• Terrorism, safety
• Repatriation
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-17
How to implement a global
human resource
management program

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-18
Managing HR Locally
Putting a Global HR System into Practice

• Global HR system
effectiveness
• Global HR system
acceptability
• Implementation

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-19
Review
• Effectiveness
• Acceptance
• Implementation

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-20
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 17-21
Managing Human
# Resources in Small and
Entrepreneurial Firms

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 6-1
Learning Objectives
1. Explain why HRM is important to
small businesses and how small
business HRM is different from that
in large businesses.
2. Give four examples of how
entrepreneurs can use Internet and
government tools to support the HR
effort.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-2
Learning Objectives
3. List five ways entrepreneurs can use
their small size to improve their HR
processes.
4. Discuss how you would choose and
deal with a professional employee
organization.
5. Describe how you would create a start-
up human resource system for a new
small business.
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-3
Why HRM is Important to Small
Businesses and How Small
Business HRM is Different from
that in Large Businesses

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-4
The Small Business
Challenge
• How small business HRM is different
o Size
o Priorities
o Informality
o The entrepreneur
o Implications
• Why HRM is important to small businesses
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-5
Review
• Size
• Priorities
• Informality
• The entrepreneur
• Importance

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-6
Four Examples of How
Entrepreneurs Can Use
Internet and Government
Tools to Support the HR Effort

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-7
Using Internet and Government
Tools to Support the HR Effort

• Complying with employment laws


o DOL
o EEOC
o OSHA
• Employment planning and recruiting
o Web-based recruiting

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-8
Using Internet and Government
Tools to Support the HR Effort
• Selection
o Complying with the law
• Training
o Private vendors
o The SBA and NAM
• Appraisal and compensation
• Safety and health
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-9
Review
• Employment laws
• Planning and recruiting
• Selection
• Training
• Appraisal and
compensation
• Safety and health
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-10
Five Ways Entrepreneurs Can
Use their Small Size to
Improve their HR Processes

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-11
Leveraging Small Size:
Familiarity, Flexibility, Fairness, Informality,
and HRM

• Simple, informal selection


• Streamlined interviews
o Preparing
o Specific factors to probe
o Conducting the interview
o Matching the candidate to the job
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-12
Leveraging Small Size:
Familiarity, Flexibility, Fairness,
Informality, and HRM

• Work-sampling tests
• Flexibility and the four-step training
process
• Job description
• Task analysis record form
• Job instruction sheet
• Prepare training program
• Informal training methods
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-13
Leveraging Small Size:
Familiarity, Flexibility, Fairness,
Informality, and HRM
• Flexibility in benefits and rewards
o A culture of flexibility
o Work–life benefits
o Recognition
o Small business benefits for bad times
o Simple retirement benefits
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-14
Leveraging Small Size:
Familiarity, Flexibility, Fairness,
Informality, and HRM
• Improved communications
o Newsletter
o Online
o The huddle
• Fairness and the family business

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-15
Review
• Informal selection
• Streamlined interviews
• Work-sampling tests
• Training
• Flexibility in benefits and rewards
• Communications
• Fairness

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-16
How You Would Choose and
Deal with a Professional
Employee Organization (PEO)

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-17
Using Professional
Employer Organizations
• How do PEOS work?
• Why use a PEO?
o Lack of specialized HR support
o Paperwork
o Liability
o Performance
• Caveats
o Warning signs
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-18
Review
• The use of PEOs
• Reasons for using
PEOs
• Caveats

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-19
How You Would Create a
Start-up Human Resource
System for a New Small
Business

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-20
Managing HR Systems,
Procedures, and Paperwork
• Basic components of manual HR
systems
o Basic forms
o Other sources
• Automating individual HR tasks
o Packaged systems

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-21
Managing HR Systems,
Procedures, and Paperwork
• Human resource information systems
(HRIS)
• Improved transaction processing
• Online self-processing
• Improved reporting capability
• HR system integration
• HRIS vendors
• HR and intranets
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-22
Review
• Manual HR systems
• Automation
• HRIS
• Online transaction and self-
processing
• Reporting and system integration
• HR and intranets
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-23
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in
any form or by any means, electronic, mechanical,
photocopying, recording, or otherwise, without the prior
written permission of the publisher. Printed in the United
States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall Chapter 18-24

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