Human Resource Human Resource ManagementManagement

Chapter #11

Chapter #11 Learning Chapter #11 Learning ObjectivesObjectives

By the conclusion of this discussion, you should understand: What human resource (HR) management is and

how it can add value to an organization. The legal environment of HR. The basics of the six HR functions.

Human Resource Human Resource ManagementManagement

Human Resource Management includes all activities used to attract & retain employees and to ensure they perform at high levels.

These activities are made up of:1. Recruitment & selection

2. Training and development

3. Employee relations

4. Compensation and benefits

5. Labor relations

6. Employee Health and Safety

Strategic HRMStrategic HRM

Business PartnerAlignment of ObjectivesProfit-center vs. cost-centerContribute to the business

HRM Legal EnvironmentHRM Legal Environment

Title VII Civil Rights Act 1964 Prohibits discrimination in employment

practices based on race, sex, religion, national origin, and color.

Amended by: Pregnancy Discrimination Act (PDA) Age Discrimination in Employment Act

(ADEA) Americans with Disabilities Act (ADA)

HRM Legal EnvironmentHRM Legal EnvironmentHRM Legal EnvironmentHRM Legal Environment

Equal Employment Opportunity (EEO): ensures all citizens have equal opportunity for employment without regard to sex, age, race, origin, religion, or disabilities.

Equal Employment Opportunity Commission (EEOC) enforces laws. Managers must take steps to ensure discrimination

does not occur.

The Recruitment and Selection The Recruitment and Selection SystemSystem

Figure 11.2

HRM Planning: Job AnalysisHRM Planning: Job Analysis

Job analysis determines the tasks, duties and responsibilities of the job. A job analysis should be done for each job in

the organization. Job analysis can be done by:

Observation Questionnaires Interviews Functional Job analysis

RecruitmentRecruitment

External recruiting: look outside organization Advertise (internet, newspapers, radio,

universities), hold open houses, recruit at universities, word of mouth, referrals, walk-ins, write-ins, employment services, headhunters, etc.

External RecruitmentExternal Recruitment

Advantages: Broad applicant base – promote diversity Fresh ideas Large talent pool

Disadvantages: Time and Cost De-motivating Increased risk

RecruitmentRecruitment

Internal Recruiting: look inside organization Advantages:

Workers know the firm’s culture Managers likely already know the candidates. Internal advancement can motivate employees. Knowledge of work ethic.

Disadvantage: In-fighting Groupthink Lack diversity

Honesty in HiringHonesty in Hiring

Managers may be tempted to over-rate the attractiveness of the job and firm.

Realistic Job Preview: provides an accurate overview of the job. Avoids having to hire, train and then lose

workers.

Selection ToolsSelection Tools

Figure 11.3

Selection ProcessSelection Process

Screen Application/Resume for background Information: includes education, prior employment, college major, etc.

Preliminary InterviewPhysical Ability Test: measure strength &

endurance. Good for physically demanding jobs.

Selection ProcessSelection ProcessPaper & Pencil Tests: Either an ability or a

personality test. Ability test: assess if applicant has right skills for the

job. Personality test: seek traits relevant to job

performance.Performance Tests: measure job performance.

Typing speed test is one example. Assessment Center: candidates assessed on job-

related activities over a period of a few days.

Selection ProcessSelection Process

Second Interview: almost all firms use one of two types: Structured interview: managers ask each person the

same job-related questions. Unstructured interview: held like a normal

conversation. Group, Panel, Stress

References: outside people provide candid information about candidate. Can be hard to get accurate information

Training & DevelopmentTraining & Development

Training: teach organizational members how to perform current jobs. Help worker’s acquire skills to perform

effectively.Development: build worker’s skills to

enable them to take on new duties.Training used more often at lower levels of

firm, development is common with managers.

Types of TrainingTypes of TrainingTypes of TrainingTypes of Training

Classroom Instruction: workers acquire skills in classroom. Can include use of videos, role-playing,

simulations.On-the-Job Training: learning occurs in

the work setting as worker does the job. Training given by co-workers and can be done

continuously.Apprenticeships: worker contracts with a

master worker to learn a skill.

Types of TrainingTypes of TrainingTypes of TrainingTypes of Training

Adventure LearningCase StudiesRole Play/Skill PracticeComputer-BasedBusiness Games/SimulationsAudio Visual Enhancements

Types of DevelopmentTypes of DevelopmentTypes of DevelopmentTypes of Development Varied Work Experiences: Top managers must build

expertise in many areas. Workers identified as possible top managers given many

different tasks. Formal Education: tuition reimbursement is common

for managers taking classes for MBA or similar. Long-distance learning can also be used to reduce travel.

Mentors

Whatever training and development efforts used, results must be transferred to the workplace.

Employee RelationsEmployee Relations

Performance Appraisals: formal process of evaluating and communicating employee performance and ultimately establishing a performance improvement plan. Management By Objectives Graphic Rating Scale Behaviorally Anchored Rating Scale Check List Ranking

360360ºº Feedback Feedback360360ºº Feedback Feedback

SupervisorsSupervisorsSupervisorsSupervisors

PeersPeersPeersPeers Customers &Customers &ClientsClients

Customers &Customers &ClientsClients

SubordinatesSubordinatesSubordinatesSubordinatesSelfSelfSelfSelf

Sources of Sources of informationinformation

Sources of Sources of informationinformation

Figure 10.6

Effective Feedback:Effective Feedback:Effective Feedback:Effective Feedback:1. Be specific and focus on correctable behavior.

Provide a suggested improvement.

2. Focus on problem-solving and improvement, not criticism.

3. Express confidence in worker’s ability to improve.

4. Use formal and informal feedback.

5. Treat subordinates with respect and praise achievements.

6. Set a timetable for agreed changes.

Employee RelationsEmployee Relations

Employee CounselingInvestigations:

Sexual Harassment, discrimination, etc.

Policy & Procedure AdministrationEmployee DisciplineReward & RecognitionLiaison

Compensation and BenefitsCompensation and Benefits

Compensation PolicyPrice JobsBenefits

Required Insurance Related Retirement Related Other Cafeteria Plans

Labor RelationsLabor Relations

Best Labor Relations Practice: Treat Employees fair so they don’t need to unionize

Activities performed to ensure there is a good relationship with labor unions.

Governed by Laws Good faith bargaining/negotiations Fair management practices Grievance procedures

UnionsUnions

Unions represent worker’s interests in organizations. Managers usually have more power over an

individual worker. Workers join together in unions to try and

prevent this. Workers must use one voice after unionization

Union organizing is in decline.

Employee Heath and SafetyEmployee Heath and Safety

Done within HR usually through a Heath and Safety Specialist

Focus on maintaining OSHA compliance Policy & procedure Documentation Reports

Facilitates care for all work related injuries and illnesses

ConclusionConclusion

Human Resource Management, when managed correctly, is a vital part of an organization and it’s success.

HR must be a strategic business partner in order to survive in this century.

Basic knowledge of the HR functions is needed by all management.