mgmt5 © 2012 cengage learning managing human resources 11

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MGMT5 © 2012 Cengage Learning Managing Human resources 11

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Page 1: MGMT5 © 2012 Cengage Learning Managing Human resources 11

MGMT5

© 2012 Cengage Learning

Managing Human resources

11

Page 2: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

1. explain how different employment laws affect human resource practice

2. explain how companies use recruiting to find qualified job applicants

3. describe the selection techniques and procedures that companies use when deciding which applicants should receive job offers

4. describe how to determine training needs and select the appropriate training methods

5. discuss how to use performance appraisal to give meaningful performance feedback

6. describe basic compensation strategies and discuss the four kinds of employee separations

Page 3: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

The Human Resource Management Process

Page 4: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

The Legal Context

1. explain how different employment laws affect human resource practice

Page 5: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Federal Employment Laws

General effect of the laws—employers may not discriminate in employment decisions based on sex, age, religion, color, national

origin, race, disability.

Bona fide occupational qualification (BFOQ)

“reasonably necessary to the normal operation of that particular business.”

Page 6: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Major Federal Employment Laws

• Equal Pay Act of 1963• Title VII of the Civil Rights Act of 1964• Age Discrimination in Employment Act of 1967• Pregnancy Discrimination Act of 1978• Americans with Disabilities Act of 1990• Civil Rights Act of 1991• Family and Medical Leave Act of 1993• Uniformed Services Employment and

Reemployment Rights Act of 1994

Page 7: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Adverse Impact and Employment Discrimination

• Disparate treatment

• Adverse impact

• The four-fifths rule

Page 8: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Sexual Harassment

A form of discrimination in which unwelcome sexual advances, request for sexual favors, or other verbal or physical

conducts of a sexual nature occurs.

•Quid pro quo sexual harassment

•Hostile work environment

Page 9: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

What Should Managers Do?

• Respond immediately

• Write a clear sexual harassment policy

• Establish clear reporting procedures

• Be aware of local and state laws and enforcement agencies

Page 10: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Finding Qualified Workers

2. explain how companies use recruiting to find qualified job applicants

3. describe the selection technique and procedures that companies use when deciding which applicants should receive job offers

Page 11: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Job Analysis and Recruiting

A purposeful, systematic process for collecting information on the important

work-related aspects of a job.

•Work activities•Tools and equipment used to do to the job•Context in which the job is performed•The personnel requirements for performing the job

Page 12: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Results of Job Analysis

• Job description– a written description of the basic tasks,

duties, and responsibilities required of an employee holding a particular job

• Job specification– a summary of the qualifications needed to

successfully perform a job

Page 13: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Using Job Analysis, Descriptions, Specifications

• Used throughout the staffing process to ensure that selection devices and decisions are job-related.

• Job analyses, descriptions, and specifications help companies meet legal requirements that HR decisions be job-related.

Page 14: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Internal Recruiting

The process of developing a pool of qualified job applicants from people who

already work within the company.

• Job posting

• Career path

Page 15: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

External Recruiting

Process of developing a pool of qualified job applicants from outside the company.

•Advertising•Employee referrals•Walk-ins•Outside organizations•Employment services•Special events•Internet job sites

Page 16: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Selection

• Selection– the process of gathering information about

job applicants to decide who should be offered a job

• Validation– the process of determining how well a

selection test or procedures predict future job performance

Page 17: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Application Forms and Résumés

• Application forms may only ask for valid, job-related information

• Résumés pose a problem because of false data.

Page 18: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Topics to Avoid in an Interview

• Children• Age• Disabilities• Physical characteristics• Name• Citizenship• Lawsuits• Arrest records• Smoking• AIDS/HIV

Page 19: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

References and Background Checks

• Employment references– contacting previous employers or coworkers

to learn more about the candidate

• Background checks – used to verify accuracy of information that

applicants provide about themselves

Page 20: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Getting Background Information

• Conduct criminal record checks• Ask applicants to sign a waiver to check

references, run a background check, or contact people with knowledge of work history

• Ask applicants if there is anything they want the company to know

• Consider hiring a private investigator

Page 21: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Selection Tests

• Specific ability tests• Cognitive ability tests• Biographical data (biodata)• Work sample tests (performance tests)• Assessment centers

– in-basket exercise– leaderless group discussion

Page 22: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Clerical Test Items Similar to Those Found on the Minnesota Clerical Test

Page 23: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

In-Basket Item for an Assessment Center for Store Managers

Page 24: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Interviews

• Unstructured interviews

• Structured interviews

• Semistructured interviews

Page 25: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Structured Interview Questions

• Situational questions

• Behavioral questions

• Background questions

• Job-knowledge questions

Page 26: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Guidelines for Conducting Effective Structured Interviews

Page 27: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Developing Qualified Workers

4. describe how to determine training needs and select the appropriate training methods

5. discuss how to use performance appraisal to give meaningful performance feedback

Page 28: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Training and Training Needs

• Training– providing opportunities for employees to

develop the job-specific skills, experience, and knowledge they need to do their jobs or improve their performance

• Needs assessment– the process of identifying and prioritizing the

learning needs of employees

Page 29: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Training Objectives and Methods

Page 30: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

E-Learning

• Advantages– reduce travel costs– increase productivity– decrease employee stress

• Disadvantages – not always the appropriate method– not effective for changing behavior or developing

problem- solving skills – require significant investment in technology– many employees find it boring and unengaging

Page 31: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Evaluating Training

• Reactions

• Learning

• Behavior

• Results

Page 32: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Performance Appraisal

The process of appraising how well employee are doing their jobs.

Page 33: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Accurately Measuring Job Performance

• Objective performance measures– measures of performance that are easily and

directly counted or quantified (output, scrap, sales, etc)

• Subjective performance measures– require that someone judge or assess a

worker’s performance

Page 34: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Subjective Performance Appraisal Scales

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© 2012 Cengage Learning

Rater Training

• Frame-of-reference training– a group of trainees learns how to do

performance appraisals by watching a video of an employee at work and then evaluating the person’s performance

– a trainer shares his or her evaluations, and trainees’ evaluations are compared with experts’

– expert explains his or her evaluation– process repeated until the differences are

minimized

Page 36: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Sharing Performance Feedback

• 360-degree feedback– feedback comes from four sources: the boss,

subordinates, peers and coworkers, and the employees themselves

Page 37: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

What to Discuss in a Performance Appraisal Feedback Session

Page 38: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Improving Performance Reviews

• Separate developmental feedback from administrative feedback

• Performance appraisal feedback sessions should be based on employee self-appraisals

• What people do with the feedback matters; it helps if people discuss their performance feedback with others, and discuss it with people who provided it

Page 39: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Keeping Qualified Workers

6. describe basic compensation strategies and discuss the four kinds of employee separations

Page 40: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Compensation

The financial and nonfinancial rewards that organizations give employees in exchange

for their work.

Page 41: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Compensation Decisions

Pay-level decisions• Decisions about whether to pay

workers at a level above, below, or at current market wages.

• Job evaluation– determines the worth of each job by

determining market value of skills required to perform it

Page 42: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Compensation Decisions

Pay-variability decisions• The extent to which employees’ pay varies

with individual and company performance

• Piecework• Commission• Profit sharing• Employee stock ownership plans (ESOP)• Stock options

Page 43: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Compensation Decisions

Pay-structure decisions• Concerned with internal pay distribution

• Hierarchical pay structures• Compressed pay structures

Page 44: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Employment Separation

A broad term covering the loss of an employee for any reason.

•Involuntary separation•Voluntary separation

Page 45: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Terminating Employees

• In most situations, firing should not be the first option.

• Employees should be fired only for a good reason (wrongful discharge).

• Employees should always be fired in private.

Page 46: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Downsizing

The planned elimination of jobs in a company.

May actually decrease productivity and lead to loss of skilled workers.

Page 47: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Guidelines for Conducting Layoffs

• Provide clear reasons and explanations for the layoffs. • To avoid laying off employees with critical or irreplaceable

skills, knowledge, and expertise, get input from human resources, the legal department, and several levels of management.

• Train managers in how to tell employees that they are being laid off (i.e., stay calm; make the meeting short; explain why, but don’t be personal; and provide information about immediate concerns such as benefits, finding a new job, and collecting personal goods).

• Give employees the bad news early in the day, and try to avoid laying off employees before holidays.

• Provide outplacement services and counseling to help laid-off employees find new jobs.

• Communicate with employees who have not been laid off to explain how the company and their jobs will change.

Page 48: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Retirement

• Early retirement incentive program (ERIP)– offer financial benefits to employees to

encourage them to retire early. – reduces number of employees, lowers costs,

creates new openings

• Phased retirement– employees transition to retirement by working

reduced hours before completely retiring

Page 49: MGMT5 © 2012 Cengage Learning Managing Human resources 11

© 2012 Cengage Learning

Employee Turnover

The loss of employees who choose to leave the company.

•Functional turnover

•Dysfunctional turnover

Page 50: MGMT5 © 2012 Cengage Learning Managing Human resources 11

<click screenshot for video>

REELTOREAL

© 2012 Cengage Learning

Played

1. How would you write the job description for the recruits who will carry out the task discussed in this scene?

2. Would you say this is an example of internal or external recruiting?

3. Is compensation discussed?

Page 51: MGMT5 © 2012 Cengage Learning Managing Human resources 11

<click screenshot for video>

REELTOREAL

© 2012 Cengage Learning

Barcelona Restaurant Group

1. List the three main activities of human resource management (HRM) and identify which activity is examined at length in the video.

2. Of the various steps in Barcelona’s employee selection process, the job interview is the most brief. Do you agree with the company’s approach to interviewing? Why or why not?

3. Describe Barcelona’s three-stage process for matching job applicants with its organizational objectives, and explain how each stage reveals the fit between job applicants and the needs of the restaurant.