Chapter 12: Human Resource Management

Human Capital

The economic value of people with job-relevant abilities, knowledge, ideas, energies and commitments - is essential to any organization's long-term performance success

Attracting a quality workforce

Includes human resource planning, recruitment, and selection

Developing a quality workforce

Includes employee orientation, training and development, and career planning and development

Maintaining a quality workforce

Includes management of employee retention and turnover, performance appraisal, and compensation and benefits

Human Resource Management is the process of

Attracting, developing and maintaining a high-quality workforce

Discrimination

Occurs when someone is denied a job or job assignment for reasons not job relevant

Employment Equity Act

An effort to give preference in employment to Aboriginals, women, visible minorities, and people with special physical/mental disability

Reverse discrimination

Issue raised about the potential for members of majority population

Bona Fide Occupation Qualifications

Criteria for employment that can be clearly justified as being related to person's capacity to perform a job

Sexual Harassment

Behaviour of a sexual nature that affects a person's employment situation

Pay equity and comparable worth

Persons performing jobs of similar importance should be paid at comparable levels

Part-time workers & Independent contractors

Workers hired on temporary contracts and not part of the organization's permanent workforce, and are not covered under basic employment standards legislation

Workplace privacy

RIght to privacy while you work

Human Resource Planning

Analyzes staffing needs and identifies actions to fill those needs

Job descriptions

Detailing duties and responsibilities of job holder

Job specification

Listing qualifications required of job holder

Recruitment

A set of activities designed to attract a qualified pool of job applicants to an organization

3 steps to the recruitment process

1. Advertisement of a job vacancy
2. Preliminary contact with potential job candidates
3. Initial screening to create a pool of qualified applicants

External recruitment

Candidates are sought from outside the hiring organization. Brings in outsiders with fresh perspectives and specialized expertise not available internally

Internal recruitment

Candidates are sought from within the organization. Less expensive, deals with persons whose performance records are well established, builds loyalty and motivation

Traditional Recruitment

Candidates receive information only on most positive features in the hope of "selling" the organization. Unrealistic expectations may result in costly turnover when new hires leave prematurely (lost productivity, additional recruiting costs)

Realistic Job Previews

Candidates receive all pertinent information before the job is accepted. Individual is better prepared to handle the new job, has a higher level of job satisfaction, less inclined to quit prematurely

Selection Process

1. Formal Application
2. Interview or site visit
3. Testing
4. Reference Checks
5. Physical Exam
6. Final Analysis and decision to hire or reject

Work sampling

Evaluates a person's performance on a set of tasks that replicate those required in the job under consideration

An assessment center

Evaluates a person's potential by observing his/her performance in simulated work situations

Reliability

Device measures consistently over repeated uses

Validity

Demonstrable relationship between a person's rating on a selection device and eventual job performance

Socialization

the process of influencing the expectations, behaviour, and attitudes of a new employee in a way considered desirable by the organization

Training

A set of activities that provides the opportunity to acquire and improve job-related skills

Orientation

Set of activities designed to familiarize new employees with their jobs, coworkers, and key aspects of the organization

On-the-job Training

Job rotation, coaching, mentoring, modeling

Off-the-job Training

Management development or training to improve knowledge and skills in the management process

Performance management systems

Ensure that performance standards and objectives are set, performance is regularly assessed, and actions are taken to improve future performance

Performance appraisal

The process of formally assessing someone's work accomplishments and providing feedback. Serves two basic purposes: Evaluation & Development

Evaluation

Where people stand relative to objectives and standards

Development

Assists in training and continued personal development

Performance Appraisal Methods

- Graphic Rating Scales
- Behaviourally anchored rating scales (BARS)
- Critical-incident techniques
- Multi-person Comparisons

Graphic Rating Scales

Checklists of traits or characteristics thought to be related to high job performance. Quick and easy to use; questionable validity and reliability

BARS

Explicit descriptions of actual behaviours that exemplify various levels of performance achievement. More reliable and valid than graphic rating scales; helpful in training people to master important job skills

Critical-Incident Techniques

Running log or inventory of effective and ineffective behaviours. Documents success or failure patterns

Multi-Person Comparisons

Compares person's performance with that of one or more others.

Rank ordering

Each person arranged in order of performance or achievement

Paired Comparison

Each person compared with every other person and rated the superior or weaker member of the pair

Forced distributions

Each person placed into a frequency distribution that requires that a certain percentage fall into specific classifications

Alternatives to supervisory appraisal

- Peer Appraisal
- Upward Appraisal
- 360 degree feedback

Peer Appraisal

People who work regularly and directly with a jobholder involved in appraisal

Upward Appraisal

Subordinates reporting to the jobholder involved in appraisal

360 degree Feedback

Superiors, subordinates, peers, and even internal and external customers involved in appraisal

Career Development

Progression and development of ones career

Career

Sequence of jobs that constitute what a person does for a living

Career Path

Sequence of jobs held over time during a career

Career Planning

Process of systematically matching career goals and individual capabilities with opportunities for their fulfillment

Career Plateau

Position from which someone is unlikely to move to a higher level of work responsibility

Work-life balance

How people nalance career demands with personal and family needs

Compensation and Benefits

Good compensation and benefit systems improve control by attracting and retaining qualified people

Base Compensation

Salary or hourly wages

Fringe Benefits

Additional non-wage or non-salary forms of compensation such as health insurance, retirement plans, etc.

Flexible Benefits

Employees choose from a range of benefit options

Family-friendly Benefits

Childcare, eldercare, flexible schedules, parental leave, part-time employment options

Employee assistance programs

Assistance in dealing with stress, alcohol and substance abuse counselling, referrals for domestic violence and sexual abuse, family and marital counselling

Promotions

Movement of personnel to higher-level positions

Transfers

Movement to a different job at a similar level of responsibility

Retirement

Withdrawal from position or occupation

Termination

Involuntary and permanent dismissal

Collective Bargaining

Process of negotiating, administering and interpreting the labour contract

Labour Contract

Formal agreement between a union and the employer about the terms of work for union members

Unions can create difficulties for management by

- Striking
- Boycotting
- Picketing

Striking

Refusing to come to work

Boycotting

Refusing to buy employer's products or services and asking others to do the same

Picketing

Post and carry signs complaining about employer's treatment of workers

Management can create difficulties for unions by

- Using Lockouts
- Hiring Strike-breakers
- Seeking injunction

Lockouts

Refusing to let employees come to work

Strike-Breakers

Non-union workers doing striker's job

Injunction

Court order requiring strikers to return