Chapter 7 – Managing, Hiring, Training & Evaluating Employees

Vocabulary flashcards covering key HRM concepts from Chapter 7, including planning, recruitment, selection, training, performance appraisal, compensation and labour relations.

Human Resource Management (HRM)

All organisational activities involved in determining human-resource needs and acquiring, training and compensating people to meet those needs.

Human Resource Planning

The process of forecasting future HR needs and matching labour supply with demand through job analysis, job descriptions and job specifications.

Job Analysis

Systematic gathering of information about a job’s tasks and the knowledge, skills and abilities (KSAs) needed to perform it.

Job Description

A formal written statement outlining a job’s title, tasks, duties and responsibilities (TDRs).

Job Specification

Document describing the education, knowledge, skills, abilities and other characteristics (KSAOs) required of a jobholder.

Recruitment

The process of attracting qualified candidates to apply for employment.

Internal Recruitment

Filling vacancies with current employees via promotion or transfer.

External Recruitment

Attracting applicants from outside the organisation through ads, agencies, colleges, websites, etc.

Selection

Collecting information about applicants and deciding whom to hire.

Application Form

Standardised document where applicants list background and experience details.

Resume

Applicant-prepared document summarising qualifications and career goals.

Video Resume

Short video created by a candidate to supplement or replace a written resume and showcase personality and skills.

Testing (Selection)

Use of ability, aptitude, IQ, personality or physical exams to assess applicant suitability.

Job Interview

Face-to-face or virtual meeting used to evaluate a candidate’s fit with the job and organisation.

Job Offer

Formal proposal of employment extended to a candidate who passes all selection stages.

Training

Teaching employees specific job tasks through classroom, on-the-job or off-the-job methods.

Development

Long-term learning that enhances managers’ or professionals’ skills beyond current job requirements.

Mentoring

One-to-one relationship where an experienced employee supports another’s professional development.

On-the-Job Training

Skill acquisition within the actual work environment under normal conditions.

Off-the-Job Training

Training conducted away from the work site, often in a simulated environment.

Classroom Training

Lectures, conferences, videos, case studies or web-based sessions delivered in a formal setting.

Benefits of Training

Improved performance, higher employee retention and enhanced recruiting appeal.

Performance Appraisal

Process of evaluating employee performance against predetermined standards.

360-Degree Feedback

Performance evaluation method gathering ratings from supervisors, peers, subordinates and self.

Compensation

Wages, incentives and benefits employees receive for their labour.

Wages

Hourly or daily pay for time worked.

Salary

Fixed regular payment, typically monthly or annually, not based on hours worked.

Commission

Pay tied to a percentage of sales generated.

Bonus

One-time payment for achieving certain performance targets.

Profit Sharing

Compensation plan distributing a portion of company profits to employees.

Benefits (Fringe)

Non-financial compensation such as health insurance, pensions, paid leave, etc.

Soft Benefits

Perks that help balance work–life, e.g., onsite childcare, food service, laundry, spa.

Cafeteria Benefits Plan

System granting employees a set monetary amount to choose personalised benefits.

Labor Union

Employee organisation formed to secure better pay, hours and working conditions.

Picketing

Union tactic of publicly demonstrating outside a workplace to protest or raise awareness.

Strike

Collective work stoppage by employees to pressure management during disputes.

Boycott

Union action urging members or public to refuse to buy an employer’s goods or services.

Lockout

Management tactic of closing the workplace to prevent employees from working during a dispute.

Strikebreaker

Individual hired to replace striking workers; also called a ‘scab.’

Conciliation

Neutral third party helps bring union and management together but offers no proposal.

Mediation

Third party facilitates negotiation and proposes a solution, which parties may accept or reject.

Arbitration

Neutral third party hears both sides and imposes a binding settlement.

Objective Appraisal

Performance evaluation based on measurable results such as output, sales or error rates.

Subjective Appraisal

Performance evaluation based on qualitative judgements of behaviours or traits.

Abilities Test

Assessment measuring specific skills or performance capability for a job.

Aptitude Test

Evaluation predicting potential to learn or perform in a particular area.