MGMT Exam 2

Human resource management (definition)

the process of planning for, attracting, developing, and retaining an effective workforce

human capital definition

the economic or productive potential of employee knowledge, experience, and actions

social capital definition

the economic or productive potential of strong, trusting, and cooperative relationships

talent management definition

an approach to strategic HRM that matches high-potential employees with an organization’s most strategically valuable positionsTalent management involves identifying, developing, and optimizing employee skills and potential for organizational success.

5 components of effective HRM

• compensation and benefits

• onboarding and L&D
  performance management

• employee relations

• recruitment and selectionThese components are essential for creating a comprehensive human resource management strategy that enhances productivity and employee satisfaction.

internal fit exists when…

all of the organization’s HR policies and practices reinforce one another

external fit exists when…

the organization’s HR system aligns with its culture and structure in a way that supports firm-level strategy

internal recruiting definition

making people already employed by the organization aware of job openings

external recruiting definition

attracting job applicants from outside the organization. today more than 90% of U.S. organizations have taken at least some portion of their recruitment activities online

hybrid approaches definitions

• employee referrals

  • tap into existing employees’ social networks to fill open positions with outside applicants

• boomerangs

  • former employees who return to the organization

internal recruiting pros

• moral enhances, more effort from employees

• cheaper

• fewer risks

internal recruiting cons

• restricts competition

• limits fresh talent and new viewpoints

• may encourage employees that longevity = promotion

• creates vacancy somewhere else in company

external recruiting pros

• fresh viewpoints

• specialized knowledge

external recruiting cons

• expensive

• takes longer

• higher risks

background information

• resumes are susceptible to dishonesty

• resumes don’t always provide useful information

• background checks can lead to discrimination

the most important step in hiring process

selection

interviews (2 types)

• unstructured interviews:

  • no standard form

• structured interviews:

  • situational interviews

  • behavioral description interviews

types of employment tests

• ability tests

• performance tests

• personality tests

• integrity tests

• drug and alcohol tests

• criminal and financial background checks

flawless onboarding process leads to: (6 steps_

• stronger employee experience

• better employee engagement

• higher employee retention

• easier talent attraction

• improved productivity

• stronger company culture

onboarding best practices

• involve a team

• clarify expectations

• put the pieces together

• give it time

onboarding definition

programs designed to integrate and transition employees into new jobs and organizations through familiarization with corporate policies, procedures, cultures, and politics

performance management definition

a set of processes and managerial behaviors that involve defining, monitoring, measuring, evaluation, and providing consequence for performance expectations

4 step process for performance management

1. define performance

   1. set goals and communicate performance expectations

2. monitor and evaluate performance

   1. measure and evaluate progress and outcomes

3. review procedures

   1. deliver feedback and coaching

4. provide consequences

   1. administer valued rewards and appropriate punishment

performance appraisal consists of:

1. assessing employees’ performance

2. providing them with feedback

*frequent feedback is best, should be future-oriented

360 degree assessment definition

employees are appraised by managers, peers, subordinates, clients (everyone)

forced ranking definition

employees are ranked against each other and grades are distributed along a bell curve

discrimination definition

promotion decisions cannot be made on the basis of sex, pregnancy, sexual orientation, national origin, age, disability, or membership

equal employement opportunity should not include

• workplace discrimination

  • adverse impact

  • disparate treatment

• affirmative action

• sexual harassment

  • quid pro quo harassment

  • hostile environment

• bullying

labor unions definition

organizations of employees formed to protect and advance their members’ interest by bargaining with management over job-related issues

extroversion personality definition

outgoing, talkative, sociable, assertive

agreeableness personality definition

trusting, good-natured, cooperative, soft-hearted

conscientiousness personality definition

dependable, responsible, achievement-oreiented, persistent

emotional stability personality definition

relaxed, secure, unworried

openness to experience personality definition

intellectual, imaginative, curious

emotional intelligence definition

the ability to carry out accurate reasoning about emotions and the ability to use emotions and emotional knowledge to enhance thought

the components of emotional intelligence

• self awareness

• self management

• social awareness

• relationship management

organizational behavior definition and what is focuses on

tries to help managers not only explain workplace behavior but also to predict it

• individual behavior

  • values, attitudes, personality, perception, and learning

• group behavior

  • norms, roles, and teams

stereotyping definition

a generalization we make about a person because they belong to one or more specific identity

halo effect definition

we form an impression of an individual based on a single trait

self fulfilling prophecy definition

“Pygmalion effect”, the phenomenon when people’s expectations of themselves or others lead them to behave in ways that make those expectations come true

self fulfilling prophecy/Pygmalion effect process

1. others’ expectations about us influence their behavior towards us

2. their behavior towards us influences how we see ourselves

3. how we see ourselves impacts our own behavior

4. our behavior towards others influence their beliefs, reinforcing their expectations

job satisfaction definition

the extent to which you feel positive or negative about various aspects of your work

impact of work dissatisfaciton

higher:

• turnover

• absenteeism

• grievances and lawsuits

lower:

• good citizenship

• mental and physical health

• customer service

job rotation definition

changing from one task to another to alleviate boredom

job enlargement definition

giving people additional tasks at the same time to alleviate boredom

toll of workplace stress process

demands → appraisal → coping → outcomes

sources of job related stress

• demands created by individual differences

• individual task demands

• individual role demands

• work family conflict

• group demands

• organizational demands

• demands created by remote/hybrid work schedules

role overload, role conflict, role ambiguity

motivation definition

the psychological processes that arouse and direct goal directed behavior

extrinsic rewards definition

payoff a person receives from others for performing a particular task

intrinsic rewards definition

satisfaction a person receives from performing the task itself

you want to motivate people to:

• join the company

• stay with the company

• show up for work

• be engaged

• put extra effort

maslows hierarchy of needs: bottom to top

• physiological

• safety

• love/belonging

• esteem

• self actualization

McClelland’s acquired needs theory

3 needs are major motives determining people’s behavior in the workplace: should be equal

• achievement “i need to do good”

• affiliation “i need good relationships”

• power “i need control”

expectancy theory

helps us predict how much effort an employee will exert in a given situation

1. expectancy “will i be able”

2. instrumentality “what outcome will i receive”

3. valence “how much do i want this outcome”

5 practical lessons from equity and justice theories

1. employee perceptions are what count

2. employees want a voice in decisions that affect them

3. employees should be given an appeals process

4. leader behavior matters

5. a climate for justice makes a difference

goal setting theory

suggests that employees can be motivated by goals that are specific and challenging but achievable

stretch goal

goals beyond what they expect to achieve

rationale for developing stretch goals

• forcing people out of their comfort zones to achieve more

• building employees’ confidence when they succeed

• insulating the company against future setbacks

• accepting the challenge of higher performance standards

possible drawbacks of stretch goals

• can demotivate

• can encourage unethical behavior

• can lead companies to take unnecessary risks

job design definition

• division of an organization’s work among its employees

• the application of motivational theories to jobs to increase satisfaction and performance

2 techniques for job design

• fitting people to jobs (scientific management)

• fitting jobs to people (enlargement or enrichment)

behavior modification definition

the use of reinforcement theory to change human behavior

reinforcement theory

behavior with positive consequences tens to be repeated and those with negative behavior will not be repeated

types of reinforcement theories

• positive reinforcement

• negative reinforcement

• extinction

• punishment

ways to motivate

• compensation

• nonmonetary incentives

  • work life balance

  • positive work environment

**group definition

two or more freely interacting individuals who shares norms, goals, and have a common identity. members contribute independently

**team definition

small group of people working together with a common purpose, performance goals, and mutual accountability. produce results

virtual teams pros and cons

pros

• 24/7 accessibility

• diverse

• reduced community/travel

cons

• 24/7 accessibility

• social distance

• physical distance

tuckman’s 5 stage model

1. forming “why are we here”

2. storming “why are we fighting over who’s in charge”

3. norming “can we agree on roles as a team”

4. performing “can we do the job properly”

5. adjourning “can we help members transition out”

**foundations of teamwork

• collaboration

• trust

• interdependence

• performance goals and feedback

• team composition

**building effective teams

• roles: how team members are expected to behave

• norms: unwritten rules for team members

  • to help the group survive

  • to clarify role expectations

• effective team building puts this all together

  • encourages collaborative decision making

  • sets clear performance goals

  • builds mutual accountability

  • builds and maintains trust

**dysfunctional conflict definition

hinders the organization’s performance or threatens its interests

**functional conflict

benefits the main purposes of the organization and serves its interests

too little conflict leads to

inactivity, lack of creativity, groupthink

**how to handle conflict

• teamwork/collaboration

• social intelligence

• openness to change

• emotional intelligence

• communication

5 dysfunctions of a team: bottom to top

• absence of trust

• fear of conflict

• lack of commitment

• avoidance of accountability

• inattention to results

**being a manager means…

• managing resources

• acting responsibly

• planning, organizing, directing, and controlling

**being a leader means…

• managing people

• acting decisively

• being visionary

managerial leadership includes

• influencing followers to commit to a set of shared goals

• facilitating the group and individual work needed to accomplish those goals

**sources of power

• legitimate power

• reward power

• coercive power

• expert power

• referent power

• informational power

**legitimate power definition

influencing behavior because of one’s formal position

**reward power

influencing behavior by promising or giving rewards

**coercive power

influencing behavior by threatening or punishment

**expert power

influencing behavior because of one’s personal attraction

**informational power

influencing behavior because of the logical and/or valuable information one communicates

**trait approach

a leadership perspective that focuses on individual leaders and attempts to determine the personal characteristics that great leaders share

academics don’t agree on “traits”

**behavioral approach

a leadership perspective that attempts to identify what good leaders do

• task

• group

• participation

autocratic leadership definition

dictates policies and procedures, decides on goals, direct/controls activities without any meaningful participation by the subordinates

laissez faire leadership definition

hands off approach

transactional leadership definition

manage through transactions by using real reward/coercive powers to give commands and exchange rewards for services

situational approaches

• use more than one leadership style

• help employees achieve their goals

• alter your leadership behavior for each situation

• provide what people and teams need to succeed

**transactional leadership definition

• focuses on clarifying employees’ roles and task requirements

• uses real reward and coercive powers

• exchanges rewards for work/services

**transformational leadership definition

inspires employees to pursue organizational goals over self interests

• influence by:

  • individual characteristics

  • organizational culture

communication definition

the transfer of information and understanding from one person to another

communication process (4 steps)

1. sender encodes message

2. message is transmitted through a medium

3. receiver decodes the message

4. receiver expresses reaction, or feedback through a medium

communication medium scale (high media richness to low media richness)

• face to face presence

• video conferencing

• telephone

• personal written media

  • email

  • text messages

  • letters

• impersonal written media

  • newsletters

  • fliers

  • general reports

vertical communication

up and down the chain of command

horizontal communication

within and between work units

external communication

outside the organization

organizational communication triangle effect

as the message is spread down the chain of command, more of the original message is loss: vice versa