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Transcript of Copyright ©2008 Cengage Learning. All rights reserved 1 Chapter 11 Managing Human Resource Systems...
Copyright ©2008 Cengage Learning. All rights reserved
1
Chapter 11Managing Human Resource
Systems
Designed & Prepared byB-books, Ltd.
MGMT
Chuck Williams
Copyright ©2008 Cengage Learning. All rights reserved
2
The Human Resource Management Process
Recruiting
Selection
Attracting QualifiedEmployees
Compensation
Employee Separation
Keeping QualifiedEmployees
Developing QualifiedEmployees
Training
Performance Appraisal
Copyright ©2008 Cengage Learning. All rights reserved
3
Employment Laws
After reading this section, you should be able to:
1. explain how different employment laws affect human resource practice.
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4
Employment Legislation
FederalEmployment
Laws
Adverse Impactand
EmploymentDiscrimination
SexualHarassment
Laws
11
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5
Federal Employment Laws
Equal Pay Act of 1963Equal Pay Act of 1963
Civil Rights Act of 1964Civil Rights Act of 1964
Age Discrimination inEmployment Act of 1967
Age Discrimination inEmployment Act of 1967
Pregnancy DiscriminationAct of 1978
Pregnancy DiscriminationAct of 1978
prohibits unequal pay for males and females doing similar work
prohibits unequal pay for males and females doing similar work
prohibits discrimination on basis ofrace, color, religion, gender, origin
prohibits discrimination on basis ofrace, color, religion, gender, origin
prohibits discrimination against persons age 40 and over
prohibits discrimination against persons age 40 and over
prohibits discrimination in employmentagainst pregnant women
prohibits discrimination in employmentagainst pregnant women
1.11.1
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6
Federal Employment Laws (cont.)
Americans with Disabilities Act of 1990
Americans with Disabilities Act of 1990
Civil Rights Act of 1991Civil Rights Act of 1991
Family & Medical LeaveAct of 1993
Family & Medical LeaveAct of 1993
prohibits discrimination on the basis ofphysical or mental disabilities
prohibits discrimination on the basis ofphysical or mental disabilities
strengthened the Civil Rights Act of 1964strengthened the Civil Rights Act of 1964
permits workers to take up to 12 weeksof unpaid leave for pregnancy, etc.
permits workers to take up to 12 weeksof unpaid leave for pregnancy, etc.
Adapted from Exhibit 11.2Uniformed Services Employment & Reemployment Rights Act
Uniformed Services Employment & Reemployment Rights Act
prohibits discrimination against those serving in the Armed Forces
prohibits discrimination against those serving in the Armed Forces
1.11.1
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7
Adverse Impact and Employment Discrimination
Four-FifthsFour-FifthsRuleRule
Four-FifthsFour-FifthsRuleRule
AdverseAdverseImpactImpact
AdverseAdverseImpactImpact
DisparateDisparateTreatmentTreatment
DisparateDisparateTreatmentTreatment
Intentional discrimination that results in equally qualified people being treated differently
Unintentional discrimination that works to the disadvantage of members of protected groups
Comparison of selection rates of a protected to a nonprotected group to determine if adverse impact has occurred1.21.2
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8
Equal Employment Opportunity Laws (Cont.)
Equal Employment Opportunity Laws – Title VII Civil Rights Act
1964-Four-Fifths Rule
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9
Sexual Harassment
HostileWork
Environment
HostileWork
Environment
QuidPro Quo
QuidPro Quo
Unwelcome and demeaning sexuallyrelated behavior creates an intimidating and offensive work environment
Unwelcome and demeaning sexuallyrelated behavior creates an intimidating and offensive work environment
Employee outcomes depend on whether an individual submits tosexual harassment
Employee outcomes depend on whether an individual submits tosexual harassment
1.31.3
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10
Common Managerial Mistakes in Sexual Harassment Laws
• …that the victim and harasser must be of the opposite sex
• …that harassment can only occur between coworkers or supervisors and subordinates
• …that only victims can file complaints
Assuming:
1.31.3
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11
Company Responsibilities
Respond immediately to make sure sexual harassment laws are followed
Write a clear, understandable sexual harassment policy
Establish clear reporting procedures
Be in compliance with federal, state, and local sexual harassment laws
1.31.3
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12
Finding Qualified Workers
After reading these sections, you should be able to:
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.
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13
Human Resource Planning
Supply and Demandof
Human Resources
Supply and Demandof
Human Resources
Human ResourceInformation
Systems
Human ResourceInformation
Systems
Beyond the Book
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1414
Forecasting Demand and Supply
InternalFactorsInternalFactors
WorkWorkForceForce
ForecastForecast
WorkWorkForceForce
ForecastForecast
ExternalFactors
ExternalFactors
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15
Internal Forecast Factors New positions New equipment and
technology Eliminated positions Terminations Retirements Resignations Turnover
Transfers Deaths Promotions Organization’s mission Productivity of current
employees Skills/education of
current employees
Beyond the Book
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16
External Forecast Factors• Demographics of labor
supply
• Geographic population shifts
• Manufacturing-to service-to information-based economy shift
• Economic conditions
Unemployment rate
Labor unions
Availability of applicants
Technological advances
Competitors
Growth of businesses
Beyond the Book
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17
Forecast Methods
DirectManagerial
Input
DirectManagerial
Input
BestGuess
BestGuess
Statistical/Historical Ratios
Statistical/Historical Ratios
Based on projections of cash flows,expenses, or financial measures
Based on projections of cash flows,expenses, or financial measures
Based on managers’ assessment of current head count plus a guess onrelevant internal/external factors
Based on managers’ assessment of current head count plus a guess onrelevant internal/external factors
Based on statistical methods, such asmultiple regression, in combinationwith historical data
Based on statistical methods, such asmultiple regression, in combinationwith historical data
Beyond the Book
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18
Recruiting
Job Analysisand
Recruiting
Job Analysisand
Recruiting
InternalRecruiting
InternalRecruiting
ExternalRecruiting
ExternalRecruiting
22
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19
Job Analysis and Recruiting
work activities
tools and equipment used to do the job
context in which the job is performed
personnel requirements for performing the job
work activities
tools and equipment used to do the job
context in which the job is performed
personnel requirements for performing the job
Information Collected by a Job Analysis
2.12.1
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20
Job Analysis and Recruiting
Job DescriptionJob DescriptionJob DescriptionJob Description Job Job SpecificationSpecification
Job Job SpecificationSpecification
HR SubsystemsHR SubsystemsHR SubsystemsHR Subsystems
RecruitingRecruitingRecruitingRecruiting SelectionSelectionSelectionSelection TrainingTrainingTrainingTraining PerformancePerformanceAppraisalAppraisal
PerformancePerformanceAppraisalAppraisal SeparationSeparationSeparationSeparation
Job AnalysisJob AnalysisJob AnalysisJob Analysis
2.12.1
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21
Job Analysis and Recruiting
JobDescription
JobDescription
written description of the basic tasks, duties, and responsibilities requiredof an employee holding a particular job
written description of the basic tasks, duties, and responsibilities requiredof an employee holding a particular job
JobSpecification
JobSpecification
a written summary of the qualificationsneeded to successfully perform a job
a written summary of the qualificationsneeded to successfully perform a job
2.12.1
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22
Internal Recruiting• A pool of applicants who already
work for the company
• “Promotion from within”
• Improves employee morale and motivation
• Reduces employer time and cost
• Job posting is the procedure for internal advertising
• Career path is a planned sequence of jobs
2.22.2
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Methods for External Recruiting
• Advertising
• Employee referrals
• Walk-ins
• Outside organizations
• Employment services
• Special events
• Internet job sites
2.32.3
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24
Ari Weinzweig’s Tips onHiring for Cultural Fit
• Ari Weinzweig is the co-founder of Zingerman’s, one of the most successful delis in the United States.
• Cultural fit is important at Zingerman’s. To succeed, employees must love food, serve other employees (not just customers), be flexible about job roles, and want to be great.
• Ari’s tips: (1) Share the company vision in the interview. (2) Interview in the conditions in which an employee will be working—at Zingerman’s, on a busy, noisy deli floor. (3) Involve the candidate’s future co-workers in the interview; they have to work with the candidate if hired. (4) If a candidate doesn’t smile, he or she is out.
Source: “Ask Inc.,” Inc., December 2007, 84.
Beyond the Book
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25
Selection
SelectionTests
SelectionTests InterviewsInterviews
Application Formsand Résumés
Application Formsand Résumés
References andBackground Checks
References andBackground Checks
33
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26
Topics Employers Should Avoid
1. Children1. Children
2. Age2. Age
3. Disabilities3. Disabilities
4. Physical Characteristics 4. Physical Characteristics
5. Name5. Name
6. Citizenship6. Citizenship
7. Lawsuits7. Lawsuits
8. Arrest records 8. Arrest records
9. Smoking9. Smoking
10. AIDS/HIV10. AIDS/HIV3.13.1
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27
References and Background Checks
• References or background checks are not always provided by previous employers
• Making background checks more effective– dig deeper for more information– get permission in writing– document all checks– consider hiring private investigators
3.23.2
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Selection Tests
WorkWorkSampleSample
BiographicalBiographicalDataData
PersonalityPersonality
AssessmentAssessmentCentersCenters
CognitiveCognitiveAbilityAbility
SpecificSpecificAbilityAbility
SelectionSelectionTestsTests
3.33.3
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29
Interviews• Unstructured Interviews
– free-flow of questions
• Structured Interviews– interviewer uses standard set of prepared questions
• Semi-structured Interviews– some structure combined with interviewer judgement
3.43.4
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Questions in Structured Interviews
Situational QuestionsSituational Questions
Behavioral QuestionsBehavioral Questions
Background QuestionsBackground Questions
Job-Knowledge QuestionsJob-Knowledge Questions
3.43.4
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31
Developing Qualified Workers
After reading these sections, you should be able to:
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.
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32
Training
Training Needs
Training Needs
TrainingMethods
TrainingMethods
TrainingEvaluation
TrainingEvaluation
44
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33
Determining Training Needs
ConductingNeeds
Assessments
ConductingNeeds
Assessments
IdentifyPerformanceDeficiencies
IdentifyPerformanceDeficiencies
Test EmployeeSkills and
Knowledge
Test EmployeeSkills and
Knowledge
SurveyEmployees
and Managers
SurveyEmployees
and Managers
Listen toCustomer
Complaints
Listen toCustomer
Complaints
4.14.1
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34
Training Methods
Impart Informationand Knowledge
Impart Informationand Knowledge
Develop Analyticaland Problem-SolvingSkills
Develop Analyticaland Problem-SolvingSkills
Practice, Learn, orChange Job Behaviors
Practice, Learn, orChange Job Behaviors
All of the above
All of the above
• films and videos• lecture• planned readings
• films and videos• lecture• planned readings
• case studies• coaching and mentoring• group discussions
• case studies• coaching and mentoring• group discussions
• on-the-job training• role-playing• simulations and games• vestibule training
• on-the-job training• role-playing• simulations and games• vestibule training
• Computer-based learning• Computer-based learning
4.24.2
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35
Evaluating Training
ReactionsReactions
LearningLearning
BehaviorBehavior
ResultsResults
how satisfied trainees were with the program
how satisfied trainees were with the program
how much employees improvedtheir knowledge or skills
how much employees improvedtheir knowledge or skills
how much employees actually changedtheir on-the-job behavior
how much employees actually changedtheir on-the-job behavior
how much training improvedjob performance
how much training improvedjob performance
4.34.3
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36
Performance Appraisal
MeasuringJob
Performance
MeasuringJob
Performance
SharingPerformance
Feedback
SharingPerformance
Feedback
55
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37
Measuring Job Performance: Common Rating Errors
• Central tendency– all workers are rated as being average
• Halo error– all workers are rated as performing at the same
level in all parts of their jobs
• Leniency error– all workers are rated as performing at a high level
5.15.1
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Measuring Job Performance
Improving Job Performance Measurements Improving Job Performance Measurements
Improve Performance Appraisal Measures
Improve Performance Appraisal Measures
TrainPerformance Raters
TrainPerformance Raters
5.15.1
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Improving Performance Appraisal Measures
• Objective performance measures– quantifiable outcomes (output, scrap, waste, sales,
customer complaints, or rejection rates)
• Subjective performance measures– trait rating scales– behavioral observation scales (BOS)
5.15.1
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Subjective Performance Appraisal Scales
5.15.1
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Rater Training
• Teach raters how to avoid errors
• Improve rating accuracy
• Video training and role playing often used
5.15.1
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42
Sharing Performance Feedback
• Managers often fail to effectively give employees performance feedback
• 360-degree feedback– boss, subordinates, peers, and the employee– best for employee development
5.25.2
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Performance Feedback
• Overall progress
• Problems encountered in meeting job requirements
• Opportunities to improve performance
• Long-range plans and opportunities
• General discussion of possible plans andgoals for the coming year
• Overall progress
• Problems encountered in meeting job requirements
• Opportunities to improve performance
• Long-range plans and opportunities
• General discussion of possible plans andgoals for the coming year
What to Discuss in Performance Appraisal Feedback Sessions
5.25.2
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44
Keeping Qualified Workers
After reading this section, you should be able to:
6. describe basic compensation strategies and discuss the four kinds of employee separations.
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45
Compensation
CompensationDecisions
CompensationDecisions
EmploymentBenefits
EmploymentBenefits
66
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46
Compensation Decisions
• Job evaluation
• Piecework
• Commission
• Profit sharing
• Employee stock ownership plans
• Stock options
• Hierarchical
• Compressed
PayPayLevelLevel
PayPayVariabilityVariability
PayPayStructureStructure
• Cafeteria plans
• Flexible plans
• Payroll deductions
EmploymentEmploymentBenefitsBenefits
6.16.1
Beyond the Book
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Pay-Level Decisions• Job evaluation is used to determine the worth of jobs
– pay the “going rate”
• Should workers be paid at, below, or above current market wage?– attracts a larger, more qualified pool of applicants
– increases the rate of job acceptance
– decreases the time it takes to fill positions
– increases the time that employees stay
6.16.1
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Pay-Variability Decisions
• Piecework
• Commission
• Profit sharing
• Employee stock ownership plans (ESOPs)
• Stock options
6.16.1
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Pay-Structure Decisions
Hierarchical pay structures big differences from one pay level to another work best for independent work
Compressed pay structures fewer pay levels with smaller differences in pay
between pay levels work best for interdependent work
6.16.1
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Employment Benefits• Compensation other than direct wages• Employee benefits are legally mandated:
– Social Security– worker’s compensation– unemployment insurance
• Cafeteria benefit plans– employees can select from optional benefits
• Payroll deductions
Beyond the Book
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51
Employee Separations
TerminationsTerminations DownsizingDownsizing
TurnoverTurnoverRetirementsRetirements
6.26.2
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Terminating Employees
• Often mismanaged
• Minimize problems in firing employees• firing should not be the first option• firing should be for a good reason
• “employment at will”
• wrongful discharge
• firing should be done in private
6.26.2
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53
Downsizing
1. Provide clear reasons for the layoffs.
2. Get information to avoid laying off employees with critical skills.
3. Train managers how to tell employees.
4. Give employees the bad news early in the day.
5. Provide outplacement services and counseling.
6. Communicate with survivors.
6.36.3
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54
Retirement
• offer financial benefits to encourage employees to retire.
• are attractive to many employees.
• are difficult to predict which or how many employees will use the program.
• may cause the company to lose valuable employees.
Early Retirement Incentive Programs…
6.46.4
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Voluntary Employee Turnover
Loss of employees who voluntarily choose to leave the company
Functional turnover (encouraged)• the loss of poor-performing employees
Dysfunctional turnover (discouraged)
• the loss of high performing employees
6.56.5
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56
Human Resource Information Systems
• Computerized employee information systems use:
• transaction processing• employee self-service• decision support
Beyond the Book
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57
Human Resource Information Systems
HRISHRISWork HistoryWork History
PerformanceAppraisal
PerformanceAppraisal
Personal DataPersonal Data
EducationalData
EducationalData
CompanyEmployment
History
CompanyEmployment
History
Promotion DataPromotion Data
Beyond the Book