Introduction to HRM – Key Concepts (Flashcards)

Flashcards covering HRM basics, HRD, strategic management, and recruitment & selection topics from the notes.

What are the five basic functions in the management process?

Planning, Organizing, Staffing, Leading, and Controlling.

What is the HRM process as described in the notes?

Acquiring, training, appraising, and compensating employees; development of policies and strategies for retention.

What two HR disciplines are mentioned together in the notes?

Human Resource Management (HRM) and Human Resource Development (HRD).

What is the main goal of Human Resource Development (HRD)?

To retain and foster talent.

Besides training, what areas does HRD focus on?

Individual career planning, organization development, performance management, and appraisal.

What is the goal related to learning and performance in HRD/HRM?

Improve learning and performance.

What is Line Authority in HRM?

The right to make decisions, direct the work of others, and issue orders within the line of authority.

What is Staff Authority in HRM?

The right to advise other managers and employees (an advisory relationship).

Where are HR managers typically positioned relative to line managers?

HR managers are usually staff managers inside the department; line managers are outside the department.

Name an EEO-related role mentioned and its function.

EEO representatives investigate and resolve EEO grievances.

What does a Job Analyst do?

Collect information about job duties and prepare job descriptions.

What does a Compensation Manager do?

Develop compensation plans and handle benefits programs.

What does a Training Specialist do?

Plan, organize, and direct training activities.

What does a Labor Relations Specialist do?

Advise management on all aspects of union–management relations.

What is a key feature of the “new approaches to organizing HR” described?

HR shared services agreements that centralize HR units shared by all departments.

What is an embedded HR team?

HR generalists (relationship partners) within the department who provide employee selection and other assistance.

What is the purpose of centralized HR units in the new approaches?

To provide specialized HR services that assist line managers across departments.

What are On-Demand workers?

Freelancers and gig workers who work when they are needed.

What does Human Capital mean in these notes?

The knowledge, skills, and abilities of a firm’s workforce that produce economic value.

How is globalization described in the HR context?

Companies extending their sales, ownership, and/or manufacturing to new markets abroad.

What is a key Labor Force Trend noted?

The labor force grows more slowly because the labor force participation rate is falling.

What does the term ‘Unbalanced Labor Force’ refer to in the notes?

Low unemployment in some occupations and high unemployment in others, often with disengagement when people work below their qualifications.

What is Strategic Human Resource Management (SHRM)?

Formulating and executing HR policies and practices to produce employee competencies and behaviors that support strategic goals.

What is the HR department lever in performance improvement?

Ensuring the HR function delivers services efficiently.

What is the employee costs lever in performance improvement?

Advising top management about staffing levels and setting/controlling compensation, incentives, and benefits.

What is the strategic results lever in performance improvement?

Policies and practices that produce employee competencies and skills.

What is Evidence-based HRM?

Using the best-available evidence (measurements, data, research) to inform HR decisions.

What does ‘Adding Value’ mean in HRM?

Helping employees improve in a measurable way as a result of HR actions.

What does Sustainability mean in HRM?

Judging performance not only by profits but also environmental and social performance.

How is Employee Engagement defined in the notes?

Being psychologically involved, connected to, and committed to getting one’s job done.

What is the core idea of Ethics in HRM?

Principles of conduct and standards used to decide proper conduct.

List the five steps in the Basic Management Process.

Setting objectives; Making basic planning forecasts; Reviewing alternative courses of action; Evaluating which options are best; Choosing and implementing your plan.

What is the Hierarchy of Goals?

A chain of goals set from the top of the firm down to frontline employees, aligned with the top-level goal.

What is the difference between Policies and Procedures?

Policies are broad guidelines; procedures outline what to do in a specific situation.

What is Strategic Planning?

The company’s overall plan for matching internal strengths/weaknesses with external opportunities/threats to maintain a competitive position.

What is a Vision Statement?

A future-oriented, general statement describing what the company aims to become.

What is a Mission Statement?

A present-oriented statement describing the company’s main tasks today.

Outline the Steps in the Strategic Management Process (7 steps).

1) Define current business; 2) Perform external/internal audits; 3) Formulate a new direction (vision); 4) Translate the mission into strategic goals; 5) Formulate and implement strategies; 6) Evaluate performance; 7) Re-strategize if needed.

What is a SWOT Analysis?

Strengths, Weaknesses, Opportunities, Threats—the internal and external audit framework.

What is a PEST Analysis?

Political, Economic, Social, Technological external factors analysis.

What is Concentration Strategy?

Expanding strategy focusing on a single business, product line, or market.

What is Diversification Strategy?

Expansion by adding new product lines or markets.

What is Vertical Integration?

Expanding by producing own raw materials or directly selling products (owning parts of the supply chain).

What is Consolidation Strategy?

Reducing company size by merging with other units to gain efficiency or market access.

What is Geographic Expansion?

Entering new territorial markets.

What are the three standard Competitive Strategies?

Cost leadership, Differentiation, Focus (niche).

What is Competitive Advantage?

Factors that allow a company to differentiate its product or service and gain market share.

What is a Functional Strategy?

What each department must do to help the business achieve its strategic goals.

What is a Strategy Map?

A visual representation linking department actions to the company’s strategic goals and clarifying line of sight.

What is the HR Scorecard?

A process for assigning financial and non-financial metrics to the strategy map to drive HR activities.

What is the Balanced Scorecard?

A planning approach that balances hard data (finances) with soft data (customer satisfaction) to measure performance.

What is a Digital Dashboard?

Desktop graphs and charts showing how the company performs on HR scorecard metrics.

What are HR Metrics, Benchmarking, and Data Analytics?

Quantitative HR measures; benchmarking compares to high-performing firms; data analytics analyzes data to improve HR decisions.

What is a High-Performance Work System?

A set of HRM policies and practices designed to produce superior employee performance.

How can managers improve Employee Engagement?

Provide supportive supervision, coach strengths, connect department goals to company goals, acknowledge accomplishments, and involve employees.

What is Job Analysis and Talent Management?

A holistic process of planning, recruiting, selecting, developing, managing, and compensating employees.

What is an Organization Chart used for in Job Analysis?

Shows supervisor titles, accountability, authority lines, and communication channels.

What types of information are collected in Job Analysis?

Work activities, human behaviors, machines/tools/equipment, performance standards, job context, and human requirements.

What is a Job Description?

A written statement of what the worker does, including Job Identification, Job Summary, Relationships, and Responsibilities and Duties.

What is a Job Specification?

The knowledge, skills, abilities, and other characteristics required for the job.

What is the PAQ?

Position Analysis Questionnaire with 194 items, covering five domains of job activity.

What is a Job Analysis used for in Recruitment and Selection?

To decide what sort of people to recruit and hire.

What is Workforce Planning?

Deciding which positions to fill and how to fill them, forecasting needs and gaps.