Management 12e richard draft chapter 12

May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.Chapter 12Managing Human Resources... May not be scanned, copied or duplicated,

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Chapter 12Managing Human Resources

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The Strategic Role of HRM

 HR must drive organizational performance; it’s the competitive edge

 Matching process

 Integrate strategy

 HR builds culture

 The right people:

 To become more competitive on a global basis

 For improving quality, innovation, and customer service

 To retain during mergers and acquisitions

 To apply new information technology for e-business

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12.1 Top Three Factors for Maintaining

Competitive Success

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12.2 Strategic Human Resource Management

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Building Human Capital to Drive Performance

 Strategic decisions are related to human decisions

 More companies rely on information, creativity, knowledge, and service

 Human Capital is the economic value of the combined knowledge,

experience, skills, and capabilities of employees

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12.3 The Role and Value of Human Capital

Investments

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The Impact of Federal Legislation on HRM

 HR managers must stay on top of legal and regulatory environment

 Many laws exist to ensure equal opportunity and stop discrimination

 Discrimination – The hiring or promotion of applicants based on criteria

that are not job relevant

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The Impact of Federal Legislation on HRM

 Affirmative action – Requires employers to take positive steps to

guarantee equal employment opportunities for people of protected

groups

 Sexual harassment is a growing concern that is a violation of the Civil

Rights Act

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12.4 Major Federal Laws Related to Human Resource

Management

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The Changing Nature of Careers

 Employees operate under a new social contract

 Downsizing, outsourcing, rightsizing, and restructuring have left little

stability

 Subsidized benefits are decreasing

 Employees are expected to be self-motivated

 Organizations must be creative with training and development

 New performance appraisal processes are required

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12.5 The Changing Social Contract

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Innovations in HRM

 Becoming an Employer of Choice

 Organizations that are highly attractive to potential employees because of

HR practices

 Using Temporary and Part-Time Employees

 Contingent workers are not permanent, maintain flexibility, and keep

costs low

 Acquiring Start-ups to Get the Talent

 Acqui-hiring- buying an early-age start-up

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Finding the Right People

 Using the matching model, the organization and the individual attempt

to match the needs, interests, and values that they offer each other

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12.6 Attracting an Effective Workforce

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Human Resource Planning

 What new technologies are emerging?

 What is the volume of the business likely to be in the next 5 to 10 years?

 What is the turnover rate?

 What types of engineers will we need?

 How many administrative personnel will we need to support additional

engineers?

 Can we use temporary, part-time, or virtual workers?

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Recruiting (Talent Acquisition)

 Assessing Organizational Needs:

 Job analysis: Systematic process of gathering information about the

responsibilities of a job

 Job description: Summary of the duties of a job

 Job specification: Characteristics required to perform the job

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Recruiting (Talent Acquisition)

 Realistic Job Previews – Provide pertinent information; positive and

negative

 Legal Considerations – Recruiting practices must be legal

 Innovations in Recruiting:

 eRecruiting through Twitter, LinkedIn, and other social media

 Internships – Student exchanges low cost labor for valuable work

experience

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12.7 Sara Lee’s Required Skills

for Finance Executives

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Selecting

 Employment Tests

 Cognitive ability tests

 Physical ability tests

 Avoid irrelevant questions

 Avoid questions with adverse

Employers assess applicants for a “fit”

HR professionals us a combination of devices:

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12.8 Employment Applications and Interviews: What Can

You Ask?

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12.9 Interview Brain Teasers

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 Promotion from Within

Mentoring and Coaching

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12.10 Methods and Goals of Training

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Performance Appraisal

 Assessing Performance Accurately – system should evaluate

relevant performance

 Performance-review ranking systems pit employees against each other

 360-degree Feedback – Uses multiple raters, including self-rating to

appraise employees and development

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Performance Appraisal

 Performance Evaluation Errors

 Stereotyping – Placing an employee into a class or category based on a

few characteristics

 Behaviorally Anchored Rating Scale (BARS) – Rating technique that

relates an employee’s performance to specific job-related incidents

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12.11 - Example of a Behaviorally Anchored Rating Scale

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 Compensation Equity – Fairness and equity

 Pay for Performance – Raise productivity and cut labor costs in

competitive environment

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Benefits

 Social security, unemployment compensation, and workers’

compensation are required by law

 Cafeteria-plan benefits packages allow employees to select benefits for

themselves

 Benefits have been cut due to the recession

 Companies are not planning to renew benefits to prerecession levels

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Rightsizing the Organization

 Reducing the company’s workforce to the “right” size; also called

downsizing

 Makes company stronger and more competitive

 HR must effectively and humanely manage the process

 Many organizations use communication and provide assistance to

address emotional needs

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