HRM Reviewer Quiz 1

A branch of psychology that focuses on:

• behavior at work

• motivation

• leadership

• employee selection and testing 

• job satisfaction

• work stress

• performance appraisal 

Industrial Psychology

An approach that focuses on:

• recruitment and hiring 

• payroll and compensation

• benefits administration

• employee relations

• labor law compliance

• training implementation

Human Resource Management

An approach that focuses on:

• organizational culture

• change management

• team development

• leadership development

• conflict resolution

• strategic alignment

Organizational Development

It is the the set of individuals who make up the organization, business sector or economy. It is used to describe both people who work for a company or organization and the department responsible for managing the resources related to employees

Human Resource

It is the integrated use of training, organization, and career development efforts to improve individuals, group, and or organizational effectiveness. It equips its staff with the relevant skills necessary in promoting long term professional in-service capacity at the individual, group, and organization level.

Human Resource Development

It is the process of ensuring that an organization is able to attract, utilize, and maintain a workforce with the right knowledge, skills, attitudes, and behavior to achieve organization objectives.

Ensuring such process was enabled under the organization policies, practices, and systems.

Human Resource Management

Identifies the general ways of how work will be done by defining the specific tasks to be performed.

Job Design

Involves changing an existing job design.

Job Redesign

examines the tasks and responsibilities involved in:

• undertaking a job

• the relationship of the job to the other jobs

• the environment in which a job is done

Job Analysis

It estimates human resource needs in terms of numbers and type of individuals required to achieve the objectives of the organization, and the necessary actions to ensure that the right individuals are available when needed.

Human Resource Planning

attracts qualified applicants to join the organization

Recruitment

appoints the best talent who fits the organization and target role

Selection

Aligns organizational and employee expected behaviors and outcomes, evaluates performance against these expectations, and provides appropriate actions

Performance Management

Entails a planned intervention to prepare an employee or group for an immediate or current need.

Training

consists of planned interventions focused on enabling long term growth of the employee, teams, and the organization

Development

It is the total reward, financial or otherwise, an employee gets in exchange for one’s services rendered to the organization.

Compensation

A component of total reward received by an employee, a part of the financial compensation given to the employees by virtue of one’s membership in an organization and not because of the amount of work rendered. (salaries and wages are not it).

Benefits

Focus on providing a work environment that adheres to safety standards, and promotes employees’ physical, psychological, and social health and well-being.

Health and Safety

Ensure that a positive employer-employee relationship is maintained to enhance performance and satisfaction 

Employee Relations

pertain to the relationship between the employer and representatives of the employees

Labor Relations

It is the process of keeping employees in the organization and minimizing the magnitude and effect of employee separation.

Employee Retention

What are the two spectrum of organizational perspective on HRM?

Traditional View & Progressive and Current View

The organization treats human resource and the management as costs.

Traditional View of Organizational Perspective

Organizations regards human resource as investments.

Progressive and Current View of Organizational Perspective

It is focused on developing employees, not just managing admin tasks, but also improving the organizational performance

HR Systems

Employees are considered a strategic resource when they have the VRIN characteristics.

Which characteristic describes employees who possess knowledge and skills that help the organization achieve its goals?

Valuable

Employees are considered a strategic resource when they have the VRIN characteristics. Which characteristic refers to talents or expertise that are uncommon and not easily found elsewhere?

Rare

Employees are considered a strategic resource when they have the VRIN characteristics. Which characteristic means competitors cannot easily copy employees’ knowledge, teamwork, experience, or organizational culture?

Inimitable

Employees are considered a strategic resource when they have the VRIN characteristics.

Which characteristic indicates employees cannot easily be replaced by technology, equipment, or other workers?

Non-substitutable

It consists of planned policies and practices that enable the achievement of organizational goals and objectives, which have a long-term focus and are internally consistent with and aligned with the overall organizational strategy.

Strategic Human Resource Management

• It is the primary law governing HRM in the Philippines. It is a consolidated and revised version of all prior labor and social welfare rules and regulations, which were no longer responsive to the needs of an industrializing economy.

• It was enacted in 1974 and revised from time to time over the four decades, and renumbered in 2015. 

• It is divided into six books, which collectively prescribe a comprehensive framework to protect workers in all stages of their employment life cycle in an organization.

Labor Code

What are the two core principles of labor laws?

Nondiscrimination & Preference of Labor Over Management

It is affirmed as the fundamental policy of labor relations, thereby guaranteeing equal work opportunities to all individuals, regardless of sex, race, or creed, and ensuring the right of workers to self—organization, collective bargaining, and just and humane work conditions

Core Principle of Nondiscrimination

It mandates that legal uncertainties in the interpretation and implementation of the code must be resolved in favor of labor.

Core Principle of Preference of Labor Over Management

It governs preemployment issues, including the recruitment and placement of workers and employment of nonresident aliens.

Book One (of Labor Code)

It covers HR development programs and guideline for formulation national policies and establishing the corresponding administrative machinery for their implementation, including standards of training and employment at both national and business levels of special workers, such as apprentices, learners, and handicapped workers.

Book Two (of Labor Code)

It shows the regulated conditions of employment, including work hours and rest periods, holidays, service incentive leaves, service areas, and wages.

Book Three (of Labor Code)

It shows the mandates of minimum health, safety, and social welfare benefits that must be accorded to workers, including medical and dental care, occupational safety and social security and insurance facilities.

Book Four (of Labor Code)

It governs labor and management relations, expressly grants to employees the right to establish a grievance machinery within the organization, collective bargaining and negotiations, and other collective rights such as the right to form unions, protections against unfair labor practices, and to resort to strikes and lockouts.

Book Five (of Labor Code)

It  governs post-employment issues, including the termination of employment of workers and retirement from work.

Book Six (of Labor Code)

They implement HR policies and systems, manage employees’ day-to-day activities, primary responsibility for workforce management. Their responsibilities also include:

• workforce reduction

• workforce expansion

… and HR only serves as support

Line Managers

They  develop HR policies with Line Managers, provides expertise and support, ensures consistency in HR practices.

Human Resource HR Department

What are the shared responsibilities of HR and Line Managers?

Pay and benefits, recruitment and selection, training and development, and industrial relations.

What are the factors affecting the structure of the HR Department?

• size of the organization

• availability of technology

• organizational strategy

• HR outsourcing

• HR in organizations without an HR department

It is the process of identifying human resource needs in terms of number and type of individuals to achieve the objective of the organization and determining the necessary actions to ensure that the right individuals are available when needed. It starts after the organization has decided on its goals and strategies. It answers the questions:

• how many employees an organization needs?

• what skills or qualifications they should have?

• when they will be needed?

HR Planning

Why is HR planning important?

• meet future business goals

• avoid having too many or too few employees

• prepare employees through training and development 

• plan hiring before manpower shortages occur

• ensure smooth operations during busy and slow seasons

• improve employee retention by keeping skilled workers

What makes HRP (HR planning) successful?

It is effective when the organization can accurately predict demand and supply.

Demand or Supply: How many employees will be needed?

Demand

Demand or Supply: How many qualified employees are available internally or externally?

Supply

Employees are considered a strategic resource when organizations follow the HRP 5-step process.

Which step asks: “How many employees do we need?”

Forecast Human Resource Demand

Employees are considered a strategic resource when organizations follow the HRP 5-step process.

Which step asks: “Do we already have enough employees to meet that need?”

Forecast Human Resource Supply

Employees are considered a strategic resource when organizations follow the HRP 5-step process.

Which step identifies whether demand is greater than supply (shortage) or supply is greater than demand (surplus)?

Determine Surplus/Shortage

Employees are considered a strategic resource when organizations follow the HRP 5-step process.

Which step involves deciding what to do — hire, train, promote, transfer, or reduce staff?

Decide What To Do

Employees are considered a strategic resource when organizations follow the HRP 5-step process.

Which step checks if the plan achieved the desired results?

Monitor The Actions

Predicting the number and type of employees the organization will need in the future.

Forecasting Supply of Manpower

What are the three methods of forecasting a demand of manpower?

• Manager’s judgement (simple method)

• Ratio Analysis

• Trend or Statistical Analysis

It is when managers estimate the number of employees needed based on experience and business goals

Manager’s Judgement (Simple Method)

It is when HR uses relationships between activity and employees to forecast a demand of manpower.

Ratio Analysis

It is used by large organizations, using past data and statistics to predict future workforce needs, including:

1. number of customers

2. sales

3. business growth

4. number of EES needed in previous years

Trend or Statistical Analysis

Determining whether enough qualified employees are available to meet future needs

Forecasting Supply of Manpower

What are the two sources of Manpower Supply?

Internal and External Supply

Employees that are already working in the organization.

Internal Supply

Potential employees outside the organization

External Supply

These are the changes or movement that may affect how many employees will remain in the organization which is why HR checks:

• Who will retire?

• Who may resign?

• Who will promoted?

• Who will transfer to another department?

Employee Movement

It is a tool that tracks where employees move over time, which helps estimate the future supply of employees. The most widely used quantitative techniques in HR manpower forecasting.

Transition Matrix

Reasons for employee leave:

1. promotion

2. transfer

3. resignation

4. retirement

5. termination

6. death

Manpower shortage = ?

not enough employees

Manpower surplus = ?

too many employees

It is when two companies combine into one organization.

Merger

What are the ways to solve manpower surplus?

• Downsizing

• Redeployment

• Restrict Overtime

It entails reducing the workforce to solve manpower surplus

Downsizing

It entails transferring employees to departments that need more workers

Redeployment

Reducing overtime hours when work is slow

Restrict Overtime