Chapter. Human Resource Management: Finding and Keeping the Best Employees. 11. 11- 1. Human Resource Management.
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Human Resource Management:
Finding and Keeping the Best Employees
HUMAN RESOURCE MANAGEMENT is the process of determining human resource needs and then recruiting, selecting, developing, motivating, evaluating, compensating, and scheduling employees to achieve organizational goals.
Shift in Workforce Composition
Laws & Regulations
Single-Parent & Two-Income Families
Attitudes Toward Work
Overseas Labor Pools
Employees With New Concerns
Decreased LoyaltyHR Challenge
Prepare Job Analysis
4) Assess Supply
5) Establish Strategic PlanDetermining HR Needs
A JOB ANALYSIS is a study of what is done by employees who hold various jobs. The results of the job analysis are two written statements: (1) Job Description; and, (2) Job specification.
Determining HR Needs
JOB DESCRIPTION is a summary of the objectives of a job, the type of work to be done, the responsibilities and duties, the working condition, and the relationship of the job to other functions, e.g. manage staff of eight, schedule employee shifts, coordinate travel for all executives.
JOB SPECIFICATIONS are written summaries of the minimum qualifications required of workers to do a particular job, e.g. two years experience, 65 wpm, computer literate, ten-key by touch.Results of a Job Analysis
is the set of activities used to obtain a sufficient number of the right people at the right time.
RECRUITING IS DIFFICULT for several reasons:
Some organizations have policies that demand promotion from within, operate under union regulations, or offer low wages.
The emphasis on corporate culture and teamwork makes it important to hire skilled people who also FIT IN WITH THE CULTURE.
People with the necessary skills may not be available, and must be hired and then trained.
Hiring from within is usually less expensive and sometimes policy; sources include transfers, promotions, and reorganizations.
Includes a variety of methods, such as print media, the internet, trade magazines, private employment agencies, colleges.Hiring Process
Source: USA Today “Snapshots”
SELECTION is the process of gathering information and deciding who should be hired, under legal guidelines, for the best interest of the individual and the organization.
Selecting and training employees is expensive.
2. The selection process is a key element in human resource management.The Selection Process
a. Meant that managers had as much freedom to fire workers as workers had to leave voluntarily.
b. Most states now have written employment laws that LIMIT THE “AT WILL” DOCTRINE to protect employees from wrongful firing.
c. This legislation restricted management’s ability to terminate employees.
2. CONDUCTING INITIAL AND FOLLOW-UP INTERVIEWS.
3. GIVING EMPLOYMENT TESTS.
4. CONDUCTING BACKGROUND INVESTIGATIONS helps determine which candidates are most likely to succeed in a given position.
5. OBTAINING RESULTS FROM PHYSICAL EXAMS.
a. Medical tests cannot be given just to screen out individuals.
b. In some states physical exams can be given only AFTER AN OFFER OF EMPLOYMENT HAS BEEN ACCEPTED.
c. Pre-employment testing to detect drug or alcohol abuse or AIDS screening is controversial.
d. Eighty percent of U.S. companies now test current and potential employees for drug use.
6. ESTABLISHING TRIAL (PROBATIONARY) PERIODS allows organizations to hire an employee conditionally.
7. The selection process is difficult but helps ensure that new employees meet requirements in all relevant areas.The Selection Process Overview
% Employees That Agree
Have you ever filed a worker’s comp. claim?
Sometimes we will need the person we hire to work late hours. Will this cause problems with your childcare?
What is your native language?
What is your place of birth?
Do you own a home?
I see you use a walker. If we were to hire you, what accommodations would you require?
What church do you belong to?What Not to Ask In Job Interviews
Source: USA Today “Snapshots”
CONTINGENT WORKERS are workers who do not have the expectation of regular, full-time employment. Contingent workers receive FEW BENEFITS and EARN LESS than permanent workers do.
These include part-time workers, temporary workers, seasonal workers, interns, and co-op students.
a. TRAINING focuses on short- term skills.
b. DEVELOPMENT focuses on long-term abilities.
2.The process of CREATING TRAINING AND DEVELOPMENT PROGRAMS includes:
PERFORMANCE APPRAISALis an evaluation in which the performance level of employees is measured against established standards to make decisions about promotions, compensation, additional training, or firing.
Almost all workers undergo a performance appraisal annually at large corporations.
The SIX STEPS OF PERFORMANCE APPRAISALS are…..Performance Appraisal
Take Corrective Action
Use Results to Make DecisionsPerformance Appraisal Steps
Use as a promotion tool
Recognize workers’ achievements
Evaluate hiring process
Judge effectiveness of orientation process
Use as a basis for terminating workersMajor Uses of Performance Appraisals
Pay based on salary grades & hourly rates
Bonuses tied to unit & company performance
Benefits standard throughout organization.
Mgmt. strategy modeled on best practices at high-performing companies.
Career structures predetermined
New HR Approach
Pay based on achieving goals
Bonuses tied to individual performance
Benefits tailored to employee groups
Strategy based on internal analysis of employees
Career structures sculpted to individualsComparing HR Approaches
Source: BusinessWeek, December 16, 2002
Source: BridgeGate, Irvine, CA & Market Facts Inc., Arlington Heights, IL
Home-Based & Mobile WorkEmployee Retention
FRINGE BENEFITS include sick-leave pay, vacation pay, pension plans, and health plans that represent additional compensation to employees beyond base wages.
a. In recent years benefit programs grew faster than wages.
b. Benefits account for about 30% OF PAYROLLS today.
c. Many employees want more fringe benefits instead of more salary to avoid higher taxes.
FRINGE BENEFITS can include everything from paid vacations to day care programs, company cars, and more.Employee Retention
Source: CFO, March 2003
Some companies offer CAFETERIA-STYLE FRINGE BENEFITS, fringe benefit plans that allow employees to choose the benefits they want up to a certain dollar amount.Employee Retention
Survey of Executives That Offer:
Source: USA Today “Snapshots”
Source: INC 500 Almanac
A FLEXTIME PLAN is a work schedule that gives employees some freedom to choose when to work, as long as they work the number of required hours.
1. Most flextime plans include a period known as CORE TIME in which all employees are expected to be at their job stations.
2. Flextime plans are designed to allow employees to ADJUST TO THE DEMANDS OF THE TIMES, such as two-income families.
Source: USA Today
Age Discrimination Act (1967)
Equal Employment Opportunity Act (1972)
Civil Rights Act (1991)
Americans with Disabilities Act (1990)
Family Medical Leave Act (1993)HR & Legal Issues