ENVENVIRONMENTIRONMENT

The EnvironmentThe Environment

External to the Organization Internal (within)

The External EnvironmentThe External Environment

Factors Influencing HR Decisions Physical Technology Social Political Economic

PhysicalPhysical

Climate Terrain Local Community

TechnologicalTechnological

Productivity Impact Quality Impact Computers Robots Unemployment Outcomes

SocialSocial

Responsibility to SocietyResponsibility to Society Responsibility to EmployeesResponsibility to Employees Court/Judicial ImpactCourt/Judicial Impact

PoliticalPolitical

State-Local-Federal-International Country Specific

The Regulatory ModelThe Regulatory Model

Problem Laws Agencies RulingsProblem Laws Agencies Rulings

Management ResponseManagement Response

Global History:Global History:

EconomicEconomic

Economic Growth CycleEconomic Growth Cycle Inflation ImpactInflation Impact UnemploymentUnemployment CompensationCompensation Benefits/Social ConditionsBenefits/Social Conditions Entrepreneurial IncentiveEntrepreneurial Incentive

The Internal EnvironmentThe Internal Environment

Physical (Health Issues) Technological (Productivity/Stress) Social (Attitude and Culture) Political (Participation) Economic (Profits)

Demographic ChangesDemographic Changes

Population Growth Ethnic Background Aging of Society Gender Distribution Rising Education Level

Job TrendsJob Trends

Increasing Service Sector Jobs High Technology Jobs (education) Telecommuting (work at home) Informal Atmospheres (Dress Down/Up)

www.gilgordon.com

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Cultural ChangesCultural Changes

Employee Rights and Expectations Privacy Concerns (Confidentiality) Work Attitude Shifts

(Freedom/Expectations) Family Lifestyles (Balance:

Leisure-Dual)

Organizational EffectivenessOrganizational Effectiveness

Quality Improvement Competitive Advantages Employee Buy-in Management Styles Networking (Corporate

Politics)

Quality of Work LifeQuality of Work Life

Job Design – (Enjoyment, Productive, Competitive)

Participation Management – (Teamwork, Involvement)

Supportive Organizational Culture

Participative ManagementParticipative Management

Essential to QWL Joint Union-Management

Committees Quality Circles Voice in Decisions

(Educated/Demanding)

Supportive Organizational Supportive Organizational CultureCulture

Shared PhilosophyShared Philosophy Common Values Common Values

– (Ethnics, Commitment, Belonging, Risk)(Ethnics, Commitment, Belonging, Risk) Realistic Expectations Realistic Expectations

– (Rewards and Benefits)(Rewards and Benefits) Supportive Attitudes Supportive Attitudes

– (Embrace Change, Fight Change)(Embrace Change, Fight Change) Intrapreneuring Intrapreneuring

– (Creating Need ventures, Processes)(Creating Need ventures, Processes)

Elements of a CultureElements of a Culture

Business Environment (Common Business Environment (Common Activities/Goals)Activities/Goals)

Values (Success from Hard Work)Values (Success from Hard Work) Heroes (Identifiable Leaders)Heroes (Identifiable Leaders) Rites and Rituals (Systematic Rites and Rituals (Systematic

Routines)Routines) Cultural Network (Informal Cultural Network (Informal

Communication)Communication)

Employee Rights IssuesEmployee Rights Issues

Jobs EntitlementJobs Entitlement Employment at WillEmployment at Will Whistle BlowingWhistle Blowing Comparable WorthComparable Worth Health/Benefits/Health/Benefits/

Time OffTime Off Layoff NotificationsLayoff Notifications

Retraining IssuesRetraining Issues

Technology Literacy Obsolescence Training Expense

Knowledge WorkersKnowledge Workers

- Workers whose responsibilities extend beyond the physical execution of work to include decision making, problem solving, and trouble shooting.

Demographic IssuesDemographic Issues

Shrinking Labor Pools in Certain Categories

Pension Funding/Retirement Non-permanent/contract Employees Plateauing Elder and

Child Care

Competitiveness IssuesCompetitiveness Issues

Productivity ImprovementProductivity Improvement Foreign Competition/Wage Foreign Competition/Wage

DifferentialsDifferentials Mergers/AcquisitionMergers/Acquisition Downsizing/ReorganizingDownsizing/Reorganizing GlobalizationGlobalization Technology ChangesTechnology Changes

GlobalizationGlobalization

- Trend toward opening up foreign markets to international trade and investment.

Total-Quality Management (TQM)Total-Quality Management (TQM)

- A set of principles and practices whose core ideas include understanding customer needs, doing things right the first time, and striving for continuous improvement.

ReengineeringReengineering

- Fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in cost, quality, service, and speed.

Economic IssuesEconomic Issues

Growth in Service SectorGrowth in Service Sector

-Service-Service -Insurance-Insurance -Real Estate-Real Estate

-Retail-Retail -Banking-Banking -Utilities-Utilities

-Wholesale-Wholesale -Government-Government -Transportation-Transportation

DownsizingDownsizing

- The planned elimination of jobs.

OutsourcingOutsourcing

- Contracting outside the organization to have work done that formerly was done by internal employees.

Employee LeasingEmployee Leasing

- Employees who are hired away by a vendor firm but continue to work in their original jobs.

EQUAL EMPLOYMENT EQUAL EMPLOYMENT

OPPORTUNITYOPPORTUNITYAFFIRMATIVE ACTIONAFFIRMATIVE ACTION

Equal Employment OpportunityEqual Employment Opportunity

- The treatment of individuals in all aspects of employment – hiring, promotion, training, etc. – in a fair and nonbiased manner.

Protected ClassesProtected Classes

- Individuals of a minority race, women, older persons, and those with disabilities who are covered by federal laws on equal employment opportunity.

Public Policy on Non-DiscriminationPublic Policy on Non-Discrimination

Global vs. USA Equal Employment Opportunity Affirmative Action

Affirmative ActionAffirmative Action

- Policy that goes beyond equal - Policy that goes beyond equal employment opportunity by requiring employment opportunity by requiring organization to comply with the law organization to comply with the law and correct past discriminatory and correct past discriminatory practices by increasing the numbers practices by increasing the numbers of minorities and women in specific of minorities and women in specific positions.positions.

Legal DevelopmentLegal Development

Global Human Rights MovementsGlobal Human Rights Movements Laws Changed EmploymentLaws Changed Employment Social AttitudesSocial Attitudes Research and Publicity of PlightsResearch and Publicity of Plights Environment ConcernsEnvironment Concerns Child Labor (Prisons, Slaves)Child Labor (Prisons, Slaves)

Driving ForcesDriving Forces

Changing National ValuesChanging National Values Economic Disparity (Haves vs. Have Economic Disparity (Haves vs. Have

Nots)Nots)

Major Laws AffectingMajor Laws AffectingEqual Employment OpportunityEqual Employment Opportunity

in USAin USA

LAW REQUIREMENTSEqual Pay Act of 1963

Provides equal pay for equal work, regardless of sex.

Title VII of Civil Rights Act of 1964

Prohibits discrimination in employment (selection, hiring, training, promotion, salary, etc.) on the basis of race, color, religion, sex, or national origin.

Age Discrimination in Employment Act of 1964

Prohibits discrimination against persons 40 years of age and older in any area of employment because of age.

Equal Employment Opportunity Act of 1972

Strengthened enforcement powers of EEOC and extended coverage of the Act to government employees, higher educational institutions, and other select groups.

Major Laws AffectingMajor Laws AffectingEqual Employment OpportunityEqual Employment Opportunity

in USAin USA

LAW REQUIREMENTS

Pregnancy Discrimination Act of 1978

Prohibits discrimination against women because of pregnancy, childbirth, or related medical conditions

Americans with Disabilities Act of 1990

Prohibits discrimination in employment against persons with physical or mental disabilities or the chronically ill. Employers must make a reasonable accommodation to the employment needs of the disabled.

Civil Rights Act of 1991

Provides for compensatory and punitive damages and jury trials in cases involving intentional discrimination. covers U.S. citizens working for American companies overseas.

Uniformed Services Employment and Reemployment Rights Act of 1994

Grants reemployment rights to individuals who enter the military. Employers cannot discriminate on the basis of military obligation in the areas of hiring, job retention, and advancement.

Reasonable AccommodationReasonable Accommodation

- Attempt by employers to adjust, - Attempt by employers to adjust, without undue hardship, the working without undue hardship, the working conditions or schedules of conditions or schedules of employees with disabilities employees with disabilities or religious differences.or religious differences.

Internal Discrimination Complaint ProcedureInternal Discrimination Complaint Procedure

Employee discrimination

charge

Reported to manager or supervisor

Organizational EEO officer or designated

HR staff person

No basis for charge: charge dismissed

Appeal to organizational EEO

grievance committee

Charge upheld:ACCUSED

•Oral or written reprimand•Suspension•DischargeHARMED EMPLOYEE• Restore all lost employment conditions

Decision on charge

Investigation

Uniform Guidelines in Selection ImpactUniform Guidelines in Selection Impact

www.eeoc.gov

HiringHiring RetentionRetention PromotionPromotion TransferTransfer

DemotionDemotion DismissalDismissal ReferralReferral

Bona Fide Occupational Qualification (BFOQ)Bona Fide Occupational Qualification (BFOQ)

- Suitable defense against discrimination Suitable defense against discrimination

charge only where age, religion, sex, or charge only where age, religion, sex, or national origin is an actual qualification for national origin is an actual qualification for performing the job.performing the job.

GuidelinesGuidelines

Bona fide Occupational Qualification Validity (Job Related) Disparate Impact (Equal Percentage) Statistical Evidence

New IssuesNew Issues

Sexual Harassment (Double Sexual Harassment (Double Standards)Standards)

Age-Religion-Sex-National OriginAge-Religion-Sex-National Origin Accommodation of DisabledAccommodation of Disabled Immigration Reform and Central Act Immigration Reform and Central Act

of 1986of 1986 Reverse DiscriminationReverse Discrimination

Enforcement in USAEnforcement in USA

EEOC Charges (Guilty until proven

innocent) EEO-1 Report (Record keeping)

Managing DiversityManaging Diversity

- Being aware of characteristics common to employees, while also managing employees as individuals.

Components of an Effective Components of an Effective Affirmative Action PlanAffirmative Action Plan

Widely publish organizational policy regarding affirmative action (internal and external).

Appoint a senior executive to direct and implement affirmative action program.

Determine organizational composition of minorities and women by department and job classification.

Develop goals and timetables to improve employment of minorities and women in areas of under-representation.

Continually audit all aspects of the affirmative action program.