Marketing Manager Course - Chapter 10

Chapter Human Resource Management... Learning ObjectivesAfter reading this chapter, you should be able to: z Determine appropriate responses to major changes in the environment affectin

Chapter

Human Resource Management

Learning Objectives

After reading this chapter, you should be able to:

z Determine appropriate responses to major changes in the

environment affecting human resources.

z Comply with the legal framework governing human resources.

z Develop tactics to implement desired human resource

strategies.

z Prepare a staffing program to recruit and select the best

applicants.

z Establish orientation, training, and career development

programs to enhance employees’ contributions to the firm.

z Implement an effective performance appraisal program to

capitalize on employees’ strengths and reduce employees’

weaknesses.

z Develop a reward system to attract, retain, and motivate

employees.

D ealing effectively w ith hum an resource (H R ) issues is essential for all

m anagers.

The hum an resource staff supports m anagers in

carrying out H R responsibilities.

Skills for Managing Human Resources

Environment of Human Resources

W orkforce

D iversity G lobalization

Legislation

U nions

Key Federal Legislation and Regulations

Affecting Human Resources

z Social Security Act (1935)

z Wagner Act (1935)

z Fair Labor Standards Act (1938)

z Taft-Hartley Act (1947)

z Landrum-Griffin Act (1959)

z Equal Pay Act (1963)

z Title VII of Civil Rights Act (1964)

z Executive Order 11246 (1965)

z Age Discrimination in Employment

Act (1967)

z Wage Garnishment Act (1968)

z Occupational Safety and Health Act (1970)

z Vocational Rehabilitation Act (1973)

z Health Maintenance Organization Act (1973)

z Employee Retirement Income Security Act (1974)

z Vietnam-Era Veterans Readjustment Act (1974)

z Privacy Protection Act (1974)

z Pregnancy Discrimination Act ( 1978)

Key Federal Legislation and Regulations

Affecting Human Resources (continued)

z Job Training Partnership Act

z Drug-Free Workplace Act (1988)

z Employee Polygraph Protection

Act (1988)

z Americans with Disabilities Act

(1990)

z Civil Rights Act (1991)

z Family and Medical Leave Act (1993)

z Health Insurance Portability and Accountability Act (1996)

z Small Business Job Protection Act (1996)

z Fair Credit Reporting Act (1970, 1996)

K ey H R Legislative Issues

A dverse

Im pact Job

z Membership has been declining steadily (13% in

2003)

z Factors contributing to this decline:

¾ Strong employer challenges to unions

¾ Plant closures

¾ International competition

¾ Shrinking manufacturing sector

z Labor Contract: Written agreement between union

and management that specifies pay schedule, fringe benefits, COLA, and the like.

Unions (continued)

z Union-related legislations:

z The Wagner Act (1935) – created the NLRB

z The Taft-Hartley Act (1947) – specified a set of unfair labor

practices by unions along with the remedies

z The Landrum-Griffin Act (1959) – requires each union to report its

financial activities and the financial interests of its leaders to the Department of Labor

z In the U.S., labor relations are characterized by:

Human Resource Management Process

Strategic HR Planning

HR Tactics

Orientation Training Staffing Career

Development

Performance Appraisal

Compensation and Benefits

Strategic Human Resource Planning

(SHRP)

z The development of a

vision about where the

company wants to be and

how it can use human

resources to get there.

z The ultimate objective of

SHRP is a sustained

competitive advantage.

H um an R esource Planning

Product Demand

Labor Productivity

Labor Demand Labor Supply

Internal Labor Market

External Labor Market

Conditions and Select Responses

1 Labor demand exceeds labor supply

ƒ Training or retraining

ƒ Succession planning

ƒ Promotion from within

ƒ Recruitment from outside

3 Labor demand equals labor supply

ƒ Replacement of quits from

inside or outside

ƒ Internal transfers and

redeployment

Staffing Process

z Recruitment – the process of

generating a pool of qualified

candidates for a particular job.

should create a pool of qualified

applicants.

z Selection – the screening

process used to decide which of

the applicants to hire.

Validity and Reliability of Selection Tools

z Validity is how well a technique used to assess

candidates is related to performance on the job.

z Validity can be demonstrated by:

¾ Content Validity

¾ Empirical Validity

z Reliability is a measure of the consistency of results

of the selection method.

SELECTION TOOLS

Psychological

Tests H onesty Tests

Interview s Physical Exam s

z Helps new employees to:

Employee Training

z Training is a planned effort to

provide employees with

specific skills to improve their

performance.

z Effective training can also

improve morale and increase

an organization’s potential.

The Training Process

N eeds A ssessm ent D evelop and

Training Presentation Techniques

Slides and

V ideotapes

C om puter

-A ssisted Instruction (C A I)

C lassroom Lectures

Sim ulations

V irtual R eality

V estibule Training

C ross - functional

Training

Career Development

z Long-term effort in which the

organization helps employees

utilize their full potential.

z Involves three major phases:

¾ Assessment

¾ Direction

¾ Development

The Career Development Process

Performance Appraisal

z Performance appraisal has

three important objectives:

between supervisors and employees.

employees in order to capitalize

on strengths and reduce weaknesses.

should be paid more based on contribution.

Approaches to Performance Appraisal

z Employees are paid for their

contributions to the company.

z The three key objectives of the

compensation system are to:

¾ Attract high-quality workers from

the labor market.

¾ Retain the best employees the

company already has.

¾ Motivate employee performance.

Components of Total Compensation

Total Compensation

Benefits

Compensation System Should:

z Fit the firm’s strategic objectives

z Fit with the firm’s characteristics and environment

z Achieve internal equity (perception of fairness)

z Achieve external equity

z Be based on employee contributions

Applications of Management Perspectives — For the Manager

z Most management problems are a result of poor

human resource practices.

z Indicators that something is wrong with HR practices:

Applications of Management Perspectives — For Managing Teams

z Employees working in teams often take over HR

functions that have traditionally come under the

purview of supervisors.

z The firm needs to provide adequate support so

that teams are able to perform these HR functions.

Applications of Management

Perspectives — For Individuals

z Your success depends on your ability to take

advantage of the HR opportunities the firm offers.

z It is your responsibility to make the “right moves”

to position yourself well.

decisions