Certified Human Resource Associate (CHRA) Review Material: Set A

Vocabulary flashcards covering the core concepts, theories, and definitions for the Certified Human Resource Associate (CHRA) exam based on the 2024 HREAP review material.

Human Resource Management (HRM)

Involves coordinating, managing, and allocating human capital, or employees, in ways that move an organization’s goals forward by focusing on investing in employees, safety, and staffing aspects from hiring to compensation.

Manager

The person responsible for accomplishing an organization's goals by managing the efforts of the organization's people.

Planning

The basic function of the management process that involves establishing goals and standards, and developing rules and procedures.

Organizing

The management process function that involves delegating authority to subordinates and establishing departments.

Controlling

The management process function where managers use metrics to assess performance and develop strategies for corrective action.

Human Capital

The economic value of a worker's experience and skills, including assets like knowledge, education, training, intelligence, health, loyalty, and punctuality.

On-demand workers

Workforces where freelancers and independent contractors work when they can, on what they want, and when the company needs them, such as those at Uber.

Unbalanced labor force

A trend where unemployment rates are low in some occupations (like high-tech) but very high in others, causing recruiters to struggle finding candidates in specific sectors while others have a wealth of candidates.

Evidence-based human resource management

Management relying on scientific rigor, existing data, and research studies rather than qualitative opinions.

Employee orientation

The process of introducing new hires to their jobs, co-workers, responsibilities, workplace, benefits packages, and the firm's history and strategies.

Training

The methods used to give new or present employees the skills they need to perform their jobs.

ADDIE training process

A 5-step training process beginning with analyzing the training need and including steps like holding instructional sessions and assessing results.

Strategic training needs analysis

A process that identifies the training employees will need to fill future jobs.

Job rotation

A form of training where an employee, such as a management trainee, moves to various jobs each month over a set period of time.

Apprenticeship training

A structured process by which people become skilled workers through a combination of classroom instruction and on-the-job training (OJT).

Job Instruction Training (JIT)

A structured training method for jobs consisting of a logical sequence of steps taught step-by-step.

Personnel planning

The process of deciding what positions the firm should fill and how to fill them, including the first step of the recruitment process.

Succession planning

A proactive process of identifying and developing potential future leaders or key employees within an organization to fill executive positions when they become vacant.

Trend analysis

The study of a firm's past employment needs over a period of years to predict future needs.

Ratio analysis

A forecasting technique involving the study of the relationship between a business factor and the number of employees required, such as calculating that $5$ new salespeople are needed to generate an extra $Php\,4,000,000$ if one salesperson typically generates $Php\,800,000$.

Skills inventories

Structured databases containing data regarding employees' education, career development, and special skills used by managers for selecting internal candidates for promotion.

Outsourcing

The act of hiring an external firm to handle human resource needs, such as benefits management, instead of using internal HR staff.

Job posting

The practice of publicizing an open job to current employees through a firm's intranet or bulletin boards.

Performance Appraisal

A systematic process of evaluating an employee's current and/or past performance relative to their performance standards.

$360$-degree feedback

A performance appraisal based on surveys and input from multiple levels including peers, supervisors, subordinates, and customers.

Upward feedback

The process of allowing subordinates to rate their supervisor's performance anonymously.

Graphic rating scale

The easiest and most popular technique for appraising performance by rating employees according to defined factors.

Forced distribution method

A performance appraisal tool where a rater assigns individuals to a limited number of categories, such as selecting $15\%$ as high performers and $15\%$ as poor performers to prevent leniency.

Alternation ranking

A method of ranking employees from best to worst on a trait or traits, choosing the highest then the lowest until all candidates are ranked.

Job Analysis

A procedure used to determine the duties of positions and the characteristics of the people to be hired for them.

Job Description

A written statement outlining the duties, responsibilities, tasks, and requirements of a particular job.

Job Specification

A statement detailing the qualifications, skills, education levels, and personal attributes required for a candidate to succeed in a specific role.

Reactivity

A problem in direct observation where workers alter their normal activities because they are being watched.

Reliability

The characteristic of an employment test to yield consistent scores when a person takes alternate forms of the test.

Validity

The accuracy with which a test fulfills the function for which it was designed.

Management assessment center

A multi-day simulation where candidates perform realistic tasks in hypothetical situations and are scored on their leadership and problem-solving performance.

Situational Judgment Test (SJT)

A psychological test presenting hypothetical job-related scenarios where candidates must choose the best action or decision.

Halo

An appraisal error occurring when a manager generalizes one positive performance feature to all aspects of an employee's performance.

Central tendency error

An evaluation error where employees are incorrectly rated near the middle of a scale regardless of performance.

Leniency

The practice of giving undeservedly high ratings to an employee.

Strictness

The practice of being unduly critical of an employee's work performance, resulting in low ratings.