HR Unit 2 Exam

Chapter 5,6,8

Human Resource Planning

identifying the numbers and types of employees the organization will require to meet its objectives

Organizations need a clear idea of the…. (hr planning)

strengths and weaknesses of their existing internal labor force

also must know what they want to do in the future:

• size of org, products and services it should produce, etc…

examples of changes to meet future goals:

• downsizing

• training existing employees in new skills

• hiring new employees

3 stages of hr planning

• forecasting

• goal setting and strategic planning

• program implementation and evaluation

Forecasting

the attempts to determine the supply of and demand for various types of human resources to predict areas within the organization where there will be labor shortages or surpluses

Trend analysis

constructing and applying statistical models that predict labor demand for the next year, given relatively objective statistics from the previous year

Leading indicators

objective measures that accurately predict future labor demand (trend analysis)

measures of:

• economy (sales or inventory levels)

• actions of competitors

• changes in technology

• trends in the composition of the workforce and overall population

Transitional matrix

a chart that lists job categories held in one period and shows the proportion of employees in each of those job categories in a future period

answers 2 questions:

• “Where did people who were in each job category go?”

• “Where did people now in each job category come from?”

Core competency

a set of knowledges and skills that make the organization superior to competitors and create value for customer

Downsizing

the planned elimination of larger numbers of personnel with the goal of enhancing the organization’s competitiveness

1) Reducing cosys

2) Replacing labor with tech

3) Mergers and acquisitions

4) moving to more economical locations

hurts long-term organizational effectiveness

Why downsizing efforts fail to meet expectations

• long-term effects of an improperly managed downsizing effort can be negative

  • loss of talent, leads to disrupts of social networks

Reducing hours

seen as a way to spread the burden more fairly, generally with a corresponding reduction in pay

• less costly than layoffs requiring severance pay

• easier to restore the work hours than to hire new employees after a downsizing effort

Early-Retirement Programs

reduces cost

Temporary workers

hires temporary worker through an agency that specializes in matching employers with people who have the necessary skills

• gives employers flexibility they need to operate efficiently when demand for their products changes rapidly

• lower costs

Outsourcing

contracting with another organization (vendor, third-party provider, or consultant) to provide services

Workforce utilization review

a comparison of the proportion of employees in protected groups with the proportion that each group represents in the relevant labor market

Recruiting

any activity carried on by the organization with the primary purpose of identifying and attracting potential employees

Personnel policies

decisions about how an organization will carry out human resource management, including how it will fill job vacancies

• internal vs external recruiting

• lead-the-market pay strategies

• employment-at-will policies

• social presence and reputation

Job Posting

process of communicating information about a job vacancy on company bulletin boards, in employee publications, on corporate intranets, and anywhere else the organization communicates with employees

Internal sources advantages

• generates applicants who are well known to the organizations

• applicants relatively knowledgeable about org vacancies

• generally cheaper and faster than looking outside the organization

External sources

• bringing in outsiders can help organization build a diverse workforce and may expose the organization to new ideas or new ways of doing business

Direct applicants

people who apply for a vacancy without prompting from the organization

Referrals 

people who apply for a vacancy because someone in the organization prompted them to do so

Nepotism

the practice of hiring relatives

Yield ratios

a ratio that expresses the percentage of applicants who successfully move from one stage of the recruitment and selection process to the next

Cost per hire

the total amount of money spent to fill a vacancy

= cost of using a particular recruitment source / number of people hired to fill that type of vacancy

Realistic job preview

background information about a job’s positive and negative qualities

Personnel selection

the process through which organizations make decisions about who will or will not be invited to join the organization

Steps in the Selection Process

• screening applications and resumes

• testing and reviewing work samples

• interviewing candidates

• checking references and background

• making a selection

Applicant-tracking system

automated approach to selection process that reviews electronically submitted resumes, matches them against company selection criteria, and allows hiring managers to track job candidate information and hiring outcomes

Effectiveness of selection tools

• the method provides RELIABLE information

• the method provides VALID information

• the information can be GENERALIZED to apply to the candidates

• the method offers HIGH QUALITY (practical value)

• the selection criteria are LEGAL

Reliability

type of measurement indicates how free that measurement is from random error

• reliable measurement therefore generates consistent results

Correlation coefficients

measure the degree to which two sets of numbers are related

Validity

the extent to which performance on a measure (such as a test score) is related to what the measure is designed to assess (such as job performance)

Criterion-Related Validity

a measure of validity based on showing a substantial correlation between test scores and job performance scores

• predictive and concurrent

Predictive validation

research that uses the test scores of all applicants and looks for a relationship between the scores and the future performance of the applicants who were hired

Concurrent validation

research that consists of administering a test to people who currently hold a job, then comparing their scores to existing measures of job performance

Content validity

consistency between the test items or problems and the kinds of situations or problems that occur on the job

Construct validity

consistency between a high score on a test and high level of a construct such as intelligence or leadership ability, as well as between mastery of this construct and successful performance of the job

Generalizable

valid in other contexts beyond the context in which the selection method was developed

Utility

the extent to which something provides economic value greater than its cost

Immigration Reform and Control Act of 1986

federal law requiring employers to verify and maintain records on applicants’ legal rights to work in the United States

Contact information

the applicants name, address, phone number, and e-mail address

Work experience

companies the applicant worked for, job titles, and dates of employment

Educational background

high school, college, and universities attended and degree(s) awarded

Applicants signature

signature following a statement that the applicant has provided true and complete information

Aptitude tests

tests that assess how well a person can LEARN or ACQUIRE skills and abilities

Achievement tests

tests that measure a person’s existing knowledge and skills

Physical ability tests

performed when the abilities are essential to job performance or avoidance of injury

Cognitive ability tests

tests designed to measure such mental abilities as verbal skills, quantitative skills, and reasoning abilitiy

Assessment center

a wide variety of specific selection programs that use multiple selection methods to rate applicants or job incumbents on their management potential

5 Major Personality dimensions measured by personality inventories

Extroversion, adjustment, agreeableness, conscientiousness, inquisitiveness

Nondirective interview

a selection interview in which the interviewer has great discretion in choosing questions to ask each candidate

Structured interview

a selection interview that consists of a predetermined set questions for the interview to ask

Situational interview

a structured interview in which the interviewer describes a situation likely to arise on the job, then asks the candidate what they would do in that situation

Behavioral interview

a structured interview in which the interviewer asks the candidate to describe how they handled a type of situation in the past

Panel interview

selection interview in which several members of the organization meet to interview each candidate

Multiple-hurdle model

process or arriving at a selection decision by eliminating some candidates at each stage of the selection process

Compensatory model

process of arriving at a selection decision in which a very high score on one type of assessment can make up for a low score on another

Employment development

the combination of formal education, job experiences, relationships, and assessment of personality and abilities to help employees prepare for the future of their careers

• FUTURE ORIENTED

• not necessarily related to the employee’s current jobs

Protean career

a career that frequently changes based on changes in the person’s interests, abilities, and values. and in the work environment

Assessment

collecting information and providing feedback to employees about their behavior, communication style, or skills

• info may come from the employees, their peers, managers, and customers

Meyers-Briggs Type Indicator (MBTI)

identifies individuals’ preferences for source of energy, means of information gathering, way of decision making, and lifestyle

Energy dichotomy

indicates where individuals gain interpersonal strength and vitality, measured as their degree of introversion or extroversion

• Extroverted types (E) gain energy through interpersonal relationships

• Introverted types (I) gain energy by focusing on inner thoughts and feelings

Information-gathering dichotomy

relates to the preparations individuals make before making decisions

• Sensing (S) preference tend to gather the facts and details to prepare for a decision

• Intuitive (I) tend to focus less on the facts and more on possibilities and relationships among them

Decision Making dichotomy

individuals differ in the amount of consideration they give to their own and others’ values and feelings, as opposed to the hard facts of a situation

• Thinking (T) preference try always to be objective in making decisions

• Feeling (F) preference tend to evaluate the impact of the alternatives on others, as well as their own feelings; they are more subjective

Lifestyle dichotomy

describes an individuals tendency to be either flexible or structured

• Judging (J) preference focus on goals, establish deadlines, and prefer to be conclusive

• Perceiving (P) preference enjoy surprises, are comfortable with a changing decisions, and dislike deadlines

DiSC

brand of assessment tool that identifies individuals’ behavioral patterns in terms of dominance, influence, steadiness, and conscientiousness

Dominance (DiSC)

means the person emphasizes results and displays confidence

• takes on challenges, sees the big picture, and can be blunt and to the point

Influence (DiSC)

means the person emphasizes relationships and persuasion

• likes to collaborate, dislikes being ignored, and displays optimism and enthusiasm

Steadiness (DiSC)

means the person emphasizes cooperation, sincerity, and dependability

• behaves calmly and with humility, dislikes rushing, and is supportive of others

Conscientiousness (DiSC)

means the person emphasized quality and accuracy, displaying competency

• worries about mistakes and wants to get the details, favor objective thinking and enjoy working independently

Leaderless group discussion

assessment center exercise in which a team of five to seven employees is assigned a problem and must work together to solve it within a certain time period

Performance appraisal

must tell employees specifically about their performance problems and ways to improve their performance

• process must identify causes of the performance discrepancy and develop plans for improving performance

360-degree feedback

performance measurement by the employee’s supervisor, peers, employees, and custoemrs

Job experiences

the combination of relationships, problems, demands, tasks, and other features of an employee’s job

Transfer

assignment of an employee to a position in a different area of the company, usually in a lateral move

Downward move

assignment of an employee to a position with less responsibility and authority

Promotion

assignment of an employee to a position with greater challenges, more responsibility, and more authority than in the previous jobs, usually accompanied by a pay increase

Sabbatical

leave of absence from an organization to renew or develop skills

Mentor

an experienced, productive senior employee who helps develop a less experienced employee

Protege

the less experienced employee being mentored

Reverse mentoring

mentoring in which younger employees mentor more senior employees

Coach

a peer or manager who works with an employee to motivate the employee, help him or her develop skills, and provide reinforcement and feedback

• working one-on-one with an employee, as when giving feedback

• helping employees learn for themselves

• providing resources such as mentors, courses, or job experiences

Glass ceiling

circumstances resembling an invisible barrier that keep most women and underrepresented groups from attaining the top jobs in organizations

Succession planning

the process of identifying and tracking high-potential employees who will be able to fill key positions when they become vacant