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Human resources, Culture, and Diversity Intro to Business Chapter 8.

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Presentation on theme: "Human resources, Culture, and Diversity Intro to Business Chapter 8."— Presentation transcript:

1 Human resources, Culture, and Diversity Intro to Business Chapter 8

2 Changing Workforce Workforce: all people 16 years & older who are employed or looking for a job. Workforce: all people 16 years & older who are employed or looking for a job. Bureau of Labor Statistics – publishes many useful materials about the workforce. Bureau of Labor Statistics – publishes many useful materials about the workforce. Occupational Outlook Handbook – published by BLS offers up-to-date information re: U.S. workforce. Occupational Outlook Handbook – published by BLS offers up-to-date information re: U.S. workforce.

3 Occupational Outlook Handbook Analyzes 2 major types of industries Analyzes 2 major types of industries Service Producing Industries – business that perform services that satisfy the needs of other businesses and consumers. Service Producing Industries – business that perform services that satisfy the needs of other businesses and consumers. Goods producing industries – produce or manufacture products used by other businesses or purchased by final comsumers. Goods producing industries – produce or manufacture products used by other businesses or purchased by final comsumers.

4 Jobs ins U.S Economy U.S. moving from emphasis on goods-producing to service- producing businesses. U.S. moving from emphasis on goods-producing to service- producing businesses. Nearly all job growth from 2002- 2012 is in service-producing businesses. Nearly all job growth from 2002- 2012 is in service-producing businesses. Four out of five workers will be employed in a service industry by 2012. Four out of five workers will be employed in a service industry by 2012.

5 Grouping Occupations White Collar – more mental than physical, involves handling and processing of information. White Collar – more mental than physical, involves handling and processing of information. Blue Collar – a great deal of manual work, includes operation of machinery and equipment. Blue Collar – a great deal of manual work, includes operation of machinery and equipment. BLS breaks down jobs into 12 categories. BLS breaks down jobs into 12 categories.

6 EMPLOYMENT PROJECTIONS FOR OCCUPATIONAL CATEGORIES

7 Changing Job Requirements Consumer Preferences – consumer demand influences the job market Consumer Preferences – consumer demand influences the job market Business Cycles – cycle effects number and types of jobs available. Business Cycles – cycle effects number and types of jobs available. New Technologies – manual labor replaced by tech. New jobs to manage tech. New Technologies – manual labor replaced by tech. New jobs to manage tech. Business Competition – Downsizing and outsourcing are 2 steps businesses take to stay competitive. Business Competition – Downsizing and outsourcing are 2 steps businesses take to stay competitive.

8 Human Resources Human resources are people who work for a business. Human resources are people who work for a business. One of the most important responsibilities of a business. One of the most important responsibilities of a business. Most medium – large businesses have a department dedicated to human resources. Most medium – large businesses have a department dedicated to human resources.

9 HUMAN RESOURCES OVERVIEW Human resources are the people who work for a business Human resources are the people who work for a business Management and employeesManagement and employees Full-time and part-time workersFull-time and part-time workers Temporary workers and long-time employeesTemporary workers and long-time employees Human resources department Human resources department Human resources management in small businesses Human resources management in small businesses

10 Human Resources Goals 1.Identify the personnel needs of the company. 2.Maintain an adequate supply of people to fill those needs. 3.Match abilities and interests with specific jobs. 4.Provide training and development to prepare people for their jobs and to improve their capabilities as job requirements change.

11 Human Resources Goals 5.Develop plans to compensate personnel for their work. 6.Protect the health and well-being of employees. 7.Maintain a satisfying work environment. (continued)

12 Human Resources Activities Planning and staffing Planning and staffing Job analysisJob analysis Recruitment and selectionRecruitment and selection Job placementJob placement Performance management Performance management Performance assessmentPerformance assessment Performance improvementPerformance improvement Managing promotions, transfers, and terminationsManaging promotions, transfers, and terminations

13 Human Resources Activities Compensation and benefits Compensation and benefits Wage and salary planningWage and salary planning Benefits planningBenefits planning Payroll, benefits, and personnel records managementPayroll, benefits, and personnel records management Employee relations Employee relations Health and safety planningHealth and safety planning Labor relationsLabor relations Employment law and policy enforcementEmployment law and policy enforcement Organizational developmentOrganizational development (continued)

14 Planning and Job Analysis Classifying Employees – will person hired be permanent (company makes a long- term commitment) or temporary (hired for specific time or assignment). Classifying Employees – will person hired be permanent (company makes a long- term commitment) or temporary (hired for specific time or assignment). Determining Job Requirements – HR studies the work that must be done in a specific job. Determining Job Requirements – HR studies the work that must be done in a specific job. Job analysis identifies job duties and skill requirements.Job analysis identifies job duties and skill requirements.

15 Recruiting and Hiring Imperative that businesses hire the right employee for the job. Imperative that businesses hire the right employee for the job. Application Process – used to screen candidates to choose appropriate interviews. Employees are chosen from interviews. Application Process – used to screen candidates to choose appropriate interviews. Employees are chosen from interviews. New Employee Orientation – Training given to new hires to acclimate them to their new job. New Employee Orientation – Training given to new hires to acclimate them to their new job.

16 LOCATING PROSPECTIVE EMPLOYEES

17 Compensation & Benefits Compensation – amount of money paid to an employee for work performed. Compensation – amount of money paid to an employee for work performed. Salary and wages – direct payment of money to an employee.Salary and wages – direct payment of money to an employee. Benefits – compensation other than direct payment. Includes insurance, vacations, low-cost food service, and health and fitness programs.Benefits – compensation other than direct payment. Includes insurance, vacations, low-cost food service, and health and fitness programs.

18 Compensation Methods Time wage - $/hour Time wage - $/hour Straight Salary - $/week, month, year Straight Salary - $/week, month, year Incentive systems – commissions and/or bonuses paid based upon amount of work completed by the employee. Incentive systems – commissions and/or bonuses paid based upon amount of work completed by the employee. Some companies use base plus incentive. Some companies use base plus incentive.

19 Employee Benefits Mandated Benefits – compensation for overtime; social security, Medicare; workers compensation; and unemployment. Mandated Benefits – compensation for overtime; social security, Medicare; workers compensation; and unemployment. Optional benefits – health insurance; vacation; retirement plans; sick days; flexible work schedules. Optional benefits – health insurance; vacation; retirement plans; sick days; flexible work schedules. Benefit cost are Skyrocketing! Benefit cost are Skyrocketing!

20 Employee Evaluation Evaluation Process – focus on the specific duties of the employee as well as qualities expected of all employees. Evaluation Process – focus on the specific duties of the employee as well as qualities expected of all employees. Evaluation Conference – meeting between manager and employee to discuss the evaluation as well as steps that may be taken in the future to improve work performance. Evaluation Conference – meeting between manager and employee to discuss the evaluation as well as steps that may be taken in the future to improve work performance.

21 Promotions, Transfers, Termination Promotion – advancement of employee to a position with greater responsibility. Promotion – advancement of employee to a position with greater responsibility. Transfer – assignment of an employee to another position in the company with similar responsibilities. Transfer – assignment of an employee to another position in the company with similar responsibilities. Termination – ends the relationship between employee and company. Termination – ends the relationship between employee and company.

22 Organizational Culture The environment in which people work, made up of the atmosphere, behaviors, beliefs, and relationships. The environment in which people work, made up of the atmosphere, behaviors, beliefs, and relationships. It shows people how they are to be treated as well as how they are to treat others. It shows people how they are to be treated as well as how they are to treat others. Helps motivate people to do a good job for the company. Helps motivate people to do a good job for the company.

23 Work Environment The physical conditions and the psychological environment in which employees work. The physical conditions and the psychological environment in which employees work. Physical conditions – every thing included in the work environment that one can touch. Must be safe and healthy. Physical conditions – every thing included in the work environment that one can touch. Must be safe and healthy. Psychological conditions – how employees are treated by other employees. This includes peers as well as supervisors. Psychological conditions – how employees are treated by other employees. This includes peers as well as supervisors.

24 Work-Life Relationships Personal Time – employees allowed to complete personal tasks on company time. Personal Time – employees allowed to complete personal tasks on company time. Family Leave – employees take time off to attend to family needs. Family Leave – employees take time off to attend to family needs. Flextime – employees choose how their work day is organized. Flextime – employees choose how their work day is organized.

25 Employer-Employee Relations In the past the boss/manager made all decisions regarding the company. In the past the boss/manager made all decisions regarding the company. Effective managers involve employees in decision-making process whenever possible. Effective managers involve employees in decision-making process whenever possible. In return, employees are expected to cooperate with management to do what is best for the business. In return, employees are expected to cooperate with management to do what is best for the business.

26 Labor Unions Organized group of employees who negotiate with employers about issues, such as wages and working conditions. Organized group of employees who negotiate with employers about issues, such as wages and working conditions. 1940s and 1950s 33% of work force was unionized. Now it is less than 15%. 1940s and 1950s 33% of work force was unionized. Now it is less than 15%. Collective Bargaining – formal negotiations between labor and management. Collective Bargaining – formal negotiations between labor and management. Relationship is more collaborative than in the past. Relationship is more collaborative than in the past.

27 Workforce Diversity Diversity – comprehensive inclusion of people with differences in personal characteristics and attributes. Diversity – comprehensive inclusion of people with differences in personal characteristics and attributes. Diversity promotes a work place conducive to satisfied employees bringing different ideas together. Diversity promotes a work place conducive to satisfied employees bringing different ideas together.

28 Organizational Benefits Prospective Employees and managers are drawn from the broadest possible employment pool. Prospective Employees and managers are drawn from the broadest possible employment pool. Company will have a broader base of knowledge and understanding. Company will have a broader base of knowledge and understanding. Prospective customers will have a more positive image of the company. Prospective customers will have a more positive image of the company. Company will be better at serving diverse markets. Company will be better at serving diverse markets.

29 Individual Benefits Each employee will have the opportunity to develop to their full ability. Each employee will have the opportunity to develop to their full ability. Eliminates Glass Ceilings Eliminates Glass Ceilings Individuals will feel they are respected and supported despite their differences. Individuals will feel they are respected and supported despite their differences.

30 Societal Benefits Prejudice and discrimination will be reduced as societal problems. Prejudice and discrimination will be reduced as societal problems. The country has a more talented, experienced, economically successful workforce. The country has a more talented, experienced, economically successful workforce.

31 DEVELOPING A DIVERSE ORGANIZATION 1.Develop a written commitment to diversity. 2.Have the full support of top executives. 3.Review evidence of diversity in the company. 4.Update policies and procedures. 5.Provide continuing diversity education. 6.Recognize and celebrate diversity.

32 DEVELOPING A DIVERSE ORGANIZATION 1.Develop a written commitment to diversity. 2.Have the full support of top executives. 3.Review evidence of diversity in the company. 4.Update policies and procedures. 5.Provide continuing diversity education. 6.Recognize and celebrate diversity.

33 FEDERAL LAWS REGULATING DISCRIMINATION The Civil Rights Act of 1964 The Civil Rights Act of 1964 The Age Discrimination and Employment Act of 1967 The Age Discrimination and Employment Act of 1967 The Americans with Disabilities Act The Americans with Disabilities Act


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