Ch 11

human resource management (HRM)

The process of determining human resource needs and then recruiting, selecting, developing, motivating, evaluating, compensating, and scheduling employees to achieve organizational goals.

affirmative action

Employment activities designed to "right past wrongs" by increasing opportunities for minorities and women

reverse discrimination

Discrimination against whites or males in hiring or promoting

job analysis

a study of what is done by employees who hold various job titles

job description

A summary of the objectives of a job, the type of work to be done, the responsibilities and duties, the working conditions, and the relationship of the job to other functions

job specifications

A written summary of the minimum qualifications required of workers to do a particular job

recruitment

The set of activities used to obtain a sufficient number of the right people at the right time.

selection

the process of gathering information and deciding who should be hired, under legal guidelines, for the best interests of the individual and the organization

contingent workers

Workers who do not have the expectation of regular, full-time employment

training and development

all attempts to improve productivity by increasing an employee's ability to perform. Trianing focuses on short-term skills, whereas development focuses on long-term abilities

orientation

The activity that introduces new employees to the organization; to fellow employees; to thier immediate supervisors; and to the policies, practies and objectives of the firm

on the job training

training at the workplace that lets the employee learn by doing or by watching others for a while then imitating them

apprentice programs

training programs involving a period oduring which a learner works alongside an experienced employee to master the skills and procedures of a craft

off the job training

Training that occurs away from the workplace and consists of internal or external programs to develop any of a variety of skills or to foster personal development

online training

Training programs in which employees complete classes by the internet

vestibule training

training done in classrooms where employees are taught on equipment similar to that used on the job

job simulation

simulations that measure people's job skills by having them perform tasks similar to those performed on the job

management development

the proess of training and educating employees to become good managers and then monitoring the progress of their managerial skills over time

networking

the process of establishing and maintaining contacts with key managers in one's own organization and other oranizations and using those contacts to weave strong relationships that serve as informal development systems

mentor

an experienced employee who supervises, coaches, and guides lower-level employees by introducing them to the right people and generally being their organizational sponsor

performance appraisal

An evaluation that measures employee performance against established standards in order to make decisions about promotions, compensation, training or termination.

fringe benefits

benefits such as sick-leave pay, vacation pay, pension plans, and health plans that represent additional compensation beyond base wages

cafeteria style fringe benefits

fringe benefits plan that allows employees to choose the benefits they want up to a certain dollar amount

flextime plan

work schedule that gives employees some freedom to choose when to work as long as they work the required number of hours

core time

in a flextime plan, the period when all employees are expected to be at thier job stations

compressed workweek

work schedule that allows an employee to work a full number of hours per week but in fewer days

job sharing

an arrangement whereby two part-time employees share one full-time job

The roles and responsibilities of HRM have evolved primarily because of two key factors

1) organizations' recognition of employees as their ultimate resource

2) changes in the law that rewrote many traditional practices. Let's explore both.

What reason the role of human resource management has grown?

the shift from traditional manufacturing industries to service and high-tech manufacturing industries requires businesses to hire workers with highly technical job skills.

Title VII prohibits

discrimination in hiring, firing, compen- sation, apprenticeships, training, terms, conditions, or privileges of employment based on race, religion, creed, sex, or national origin.

Equal Employment Opportunity Act (EEOA)

was added as an amend- ment to Title VII. It strengthened the Equal Employment Opportunity (EEOC), which was created by the Civil Rights Act, by giving it rather broad powers.

EEOC

established enforcement guidance limiting the use of arrest and conviction records in hiring.

Equal Pay Act of 1963.

Specified that men and women doing equal jobs must be paid the same wage.

Civil Rights Act of 1964.

For firms with 15 or more employees, outlawed discrimination in employment based on sex, race, color, religion, or national origin.

Age Discrimination in Employment Act of 1967.

Outlawed employment practices that discriminate against people 40 and older. An amendment outlaws requiring retirement by a specific age.

Occupational Safety and Health Act of 1970.

Regulates safety and health conditions in some public-sector organizations.

Civil Rights Act of 1991.

For firms with over 15 employees, extends the right to a jury trial and punitive damages to victims of intentional job discrimination.

Americans with Disabilities Act of 1990

(1992 implementation). Prohibits employers from discriminating against qualified individuals with disabilities in hiring, advancement, or compensation and requires them to adapt the work- place if necessary.

Family and Medical Leave Act of 1993.

Businesses with 50 or more employees must provide up to 12 weeks of unpaid leave per year upon birth or adoption of an employee's child or upon serious illness of a parent, spouse, or child.

The Office of Federal Contract Compliance Programs (OFCCP)

ensures that employers comply with nondiscrimination and affirmative action laws and regulations when doing business with the federal government.

accommodation

treating people according to their specific needs.

5 steps in the human resource planning process are

1. preparing a job analysis

2. preparing a human resource inventory of the organization’s employees

3. assuring future human resource demand

4. assuring future labor supply

5. establishing a strategic plan.

Human Resource Information System (HRIS)

is software that uses multiple tools and processes to manage an organization's employees and databases.

Internal sources

include current employees who can be transferred or pro- moted or who can recommend others to hire.

external sources

such as advertisements, public and private employment agencies, col- lege placement bureaus, management consultants, online sites, professional organizations, referrals, and online and walk-in applications.

typical selection process has 6 steps

1. obtaining complete application forms

2. conducting initall follow-up interviews

3. giving employment tests,

4. conducting background investigations,

5. obtaining results from physical exams

6. establishing trial and error periods.

gig economy

describes a single project or task for which a worker is hired often through types of short term jobs and some workers look at gigs as self employment options.

Journeyman

successfully finish an apprenticeship

distance learning

online classes from universities

Management training programs include several off the following:

on the job coaching, understudy, job rotation, and off the job courses and training

performace appraisals have 6 steps

1. establishing standards

2. communicating them

3. evaluating them

4. discussing those results with employees

5. taking correct action

6. using the results to make decisions

skill-based pay

rewards the growth of both the individual and the team

salary

Fixed compensation computed on weekly, biweekly, or monthly pay periods (e.g., $1,600 per month or $400 per week). Salaried employees do not receive additional pay for any extra hours worked.

Piecework system

Wage based on the number of items produced rather than by the hour or day. This type of system creates powerful incentives to work efficiently and productively.

Commission plans

Pay based on some percentage of sales. Often used to compensate salespeople, commission plans resemble piecework systems.

Bonus plans

Extra pay for accomplishing or surpassing certain objectives.There are two types of bonuses: monetary and cashless. Money is always a welcome bonus. Cashless rewards include written thank-you notes, appreciation notes sent to the employee's family, movie tickets, flowers, time off, gift certificates, shopping sprees, and other types of recognition.

profit sharing plans

Annual bonuses paid to employees based on the company's profits. The amount paid to each employee is based on a predetermined percentage. Profit sharing is one of the most common forms of performance-based pay.

gain sharing plans

Annual bonuses paid to employees based on achieving specific goals such as quality measures, customer satisfaction measures, and production targets.

stock options

Right to purchase stock in the company at a specific price over a specific period. Often this gives employees the right to buy stock cheaply despite huge increases in the price of the stock. For example, if over the course of his employment a worker received options to buy 10,000 shares of the company stock at $10 each and the price of the stock eventually grows to $100, he can use those options to buy the 10,000 shares (now worth $1 million) for $100,000.

Soft benefits

help workers maintain the
balance between work and family life that is often as important to hardworking employ-
ees as the nature of the job itself.

disadvantages of job share

hire train motivate and supervise

golden handshake

Such benefits can include one-time cash payments, known in some companies

offboarding

process surrounding employee exit