Flash Cards – Chapters 7–10 HRM

A comprehensive set of flashcards covering key concepts and definitions from Chapters 7 to 10 of HRM.

Performance Management

The process through which managers guide employee activities and outputs to contribute to organizational goals.

Three Requirements for Effective Performance Management

Knowing desired activities/outputs, observing whether they occur, and providing feedback.

SMART Objectives

Specific, Measurable, Achievable, Relevant, Time-bound.

Trend in Performance Management

Less formal appraisals, more continuous coaching.

Five Steps in the Performance Management Process

Define expectations, provide feedback/coaching, conduct appraisal, determine rewards/consequences, discuss development opportunities.

Three Purposes of Performance Management

Strategic, Administrative, Developmental.

Strategic Purpose of PM

Align employee behaviour with organizational goals.

Administrative Purpose of PM

Support decisions like salary, promotions, recognition.

Developmental Purpose of PM

Improve employee growth and identify strengths/weaknesses.

Validity in Performance Management

Measuring what is intended to be measured.

Reliability in Performance Management

Consistency of results over time or across raters.

Acceptability in PM Systems

Being practical and accepted by users and employees.

Comparison Methods of Measuring Performance

Simple ranking, forced distribution, paired comparison.

Graphic Rating Scale

A common method rating employees on various traits using scales.

BARS

Behaviourally Anchored Rating Scale—rates based on specific behavioural examples.

Management by Objectives (MBO)

Performance system based on setting measurable goals and reviewing results.

Six Steps in MBO

Set org goals, departmental goals, discuss goals, define expected results, review performance, provide feedback.

360-Degree Feedback

Multi-source performance feedback from supervisors, peers, subordinates, self, and customers.

Rater Errors Reduction Methods

Training, bias awareness, analytics, calibration meetings.

Causes of Poor Performance

Lack of ability, lack of motivation, or both.

Total Rewards

A comprehensive approach to compensating and rewarding employees.

Total Compensation

Direct and indirect compensation employees receive for work.

Direct Compensation

Salary, wages, bonuses, incentive pay.

Indirect Compensation

Benefits and services like insurance, leave, pensions.

Legally Required Benefits in Canada

CPP/QPP, Employment Insurance, Workers’ Compensation, paid sick leave.

Job Structure

Relative pay differences between jobs in the organization.

Pay Level

Average amount paid for a job.

Benchmarking in Compensation

Comparing pay practices to competitors.

Job Evaluation

Measuring relative worth of jobs inside the organization.

Compensable Factors

Skill, effort, responsibility, working conditions.

Broadbanding

Combining many pay grades into fewer broad pay bands.

Competency-Based Pay

Pay based on employee skills and knowledge.

Effective Incentive Plans Characteristics

Aligned, realistic, achievable, valued, equitable.

Risks of Poor Incentive Plans

Demotivation, unhealthy competition, negative behaviour.

Defined Benefit Pension Plan

Guarantees retirement income based on salary/service.

Defined Contribution Pension Plan

Retirement depends on contributions plus investment returns.

Flexible Benefits Plan

Employees choose benefits that best suit their needs.

Union

Organization representing employee interests.

Labour Relations

Managing relationships between unions and employers.

Collective Bargaining Agreement (CBA)

Formal agreement on employment terms between union and employer.

Bargaining Unit

Group of employees represented by a union.

Labour Relations Decision Levels

Strategy, negotiating agreements, administering agreements.

Labour Laws Purpose

To ensure fair negotiations and protect public interest.

Union Certification

Official recognition of a union by labour board.

Collective Bargaining

Negotiation between union and management over employment conditions.

Strike

Workers refusing to work to pressure employer.

Lockout

Employer refusing to provide work to pressure employees.

Grievance

Complaint alleging contract violation.

Rights Arbitration

Resolving disputes about interpreting the collective agreement.

Common Grievance Sources

Seniority, discipline, contract interpretation.

Advantage of Unions for Employees

Better job security.

Disadvantage of Unions for Employees

Union dues.

Globalization in HRM

Managing people across international markets and borders.

Expatriate

Employee sent to work in another country.

Host Country

Country where organization operates outside home country.

Home Country

Country where headquarters are located.

Third Country

Neither home nor host country.

Factor Affecting Global HRM

Culture.

Factors Affecting Global HRM

Culture, economy, education/skills, political-legal systems.

Qualities Predicting Expatriate Success

Flexibility, communication, cultural sensitivity, motivation.

Emotional Stages of Global Assignment

Honeymoon, culture shock, recovery, adjustment.

Repatriation

Preparing expatriates to return home after assignment.

Reasons for Expatriate Assignment Failures

Poor selection, family adjustment issues, lack of support.

Cross-Cultural Preparation

Training employees/families before and during assignments.

Challenges for Foreign Workers in Canada

Lower pay, underemployment, poor credential recognition.

Causes of Underutilization of Immigrants’ Skills

Lack of Canadian experience, non-recognized credentials, literacy barriers.