Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. ChapterChapter11 Human Resource Management 11.1 Identify Your Staffing Needs 11.2 Staff Your Business 11.3 Direct and Control Human Resources

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 2 Lesson 11.1 Identify Your Staffing Needs Goals Explain how to determine staffing needs for a business. Describe options for recruiting employees. Identify alternatives to hiring permanent employees.

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 3 Vocabulary staffing job description job analysis chain of command recruit freelancers interns

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 4 Staffing staffing determining the number of employees you need defining a process for hiring them What kinds of employees do I need? What skills am I missing? What skills do I need daily? What skills do I need occasionally?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 5 Job Descriptions job description a written statement listing the tasks and responsibilities of a position job analysis the process of determining the tasks and sequence of tasks necessary to perform a job

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 6

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 7 Organizational Structure organizational structure a plan that shows how the various jobs in a company relate to one another chain of command a description of who reports to whom

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 8

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 9 How do you determine staffing needs for your business?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 10 Recruiting recruit look for people to hire attract them to the business

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 11 Most online employment services allow you to post a job and then search the resumes that are sent in response to the posting. Online recruiting can be very expensive. Employment Agencies firms that match people looking for jobs with businesses looking for employees A fee is charged when a match is made. Online Career and Employment Sites

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 12 In-Store Advertising Classified Advertisements want ad Referrals one of the best ways to find employees Hiring friends or relatives of current employees can create problems. College Placement Centers

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 13 What resources can you use for recruiting employees?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 14 Alternatives to Adding Staff freelancers people who provide specialty services to businesses on an as needed basis compensated either hourly or by the project the business does not have control over the actions of the freelancer

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 15 students who work for little or no pay to gain experience in a particular field temporary workers a business pays a fee to an employment agency the agency pays the workers interns

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 16 What are some alternatives to hiring permanent employees?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 17 Lesson 11.2 Staff Your Business Goals List and describe the steps in the hiring process. Describe compensation packages for employees. Identify laws protecting employee rights.

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 18 Vocabulary wages salary bonus profit sharing commission benefits

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 19 The Hiring Process Screen Candidates remove candidates who are not right for the job Match the job candidate’s experience and skills with the job description.

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 20 confirm accuracy of information check references Review and Verify Information on Job Applications

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 21 Sell your business. Share your values and plans for the business. Talk about the significance of working in a new business. Explain the atmosphere at work. Describe your bonus system. Interview the Best Candidates

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 22 Be prepared. Be courteous. Avoid dominating the interview. Take notes. Look for warning signs. Don’t make snap judgments. Remain pleasant and positive. Summarize your impressions of the candidate. Make the interview effective.

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 23 Make a Job Offer

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 24 What are the four steps in the hiring process?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 25 Compensation Package Types of Pay wages payments for labor or services that are made on an hourly, daily, or per-unit basis compensation varies based either on hours worked or units produced salary an amount of money paid annually for a job position payment is not dependent on the number of hours worked

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 26 a financial reward made in addition to a regular wage or salary usually hinges on reaching an established goal profit sharing employees are paid a portion of the company’s profits bonus

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 27 a percentage of a sale paid to a salesperson compensation varies based on sales commission

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 28 when an employee receives all of their salary in commission good for employers provides an uncertain salary level for employees Amount of commission = Amount sold × Percent of commission Commission-Only Plan

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 29 Total Pay = Base Pay + Commission Pay Competitively to attract the best workers Offer compensation that is better than your local average compensation. Combination Plan

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 30 rewards, other than cash, given to employees Paid Leave vacation sick time Benefits

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 31 health dental life accident and disability Retirement Plans 401k some employers will match employee contributions by as much as 50 cents pension plans Insurance

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 32 What may be included in a compensation package for employees?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 33 Regulations that Protect Employees National Labor Relations Act (NLRA) of 1935 Fair Labor Standards Act (FLSA) of 1938 Civil Rights Act of 1964 Age Discrimination in Employment Act of 1967

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 34 Immigration Reform and Control Act of 1986 Americans with Disabilities Act (ADA) of 1990 Family Medical Leave Act of 1993 Occupational Safety and Health Act (OSH Act) of 1970

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 35 Why do we need laws to help protect the rights of employees?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 36 Lesson 11.3 Direct and Control Human Resources Goals Explain how to implement your staffing plan. Discuss ways to motivate your employees. Describe the control function of management as it applies to human resources.

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 37 Vocabulary delegate performance evaluation

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 38 Implement Your Staffing Plan implementing directing and leading people to accomplish organizational goals Understand the Levels of Management supervisory middle top

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 39 Theory X managers authoritative Theory Y managers democratic Theory Z managers group decision making and teams Enforce Employee Policies employee handbook Apply Leadership Styles

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 40 On-the-job training Coaching Mentoring Conferences and seminars Train Your Employees

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 41 What should be included in the implementation of a staffing plan?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 42 Motivate Your Employees Pay employees well. Treat employees fairly. Recognize employees for the work they do. Give employees adequate responsibility.

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 43 delegate letting other people share workloads and responsibilities Listen to Employees may help you come up with new, creative solutions Delegate Responsibility

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 44 How can you motivate employees?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 45 Control Human Resources Evaluate Employees performance evaluation a management tool that helps determine whether the objectives for a particular job are being met

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 46

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 47 Make all decisions fairly. Dismiss Employees Review problems with employees as soon as the problem is noticed. Issue a written warning if the situation does not improve. If improvement does not occur, dismiss the employee. Promote Employees

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 1 Slide 48 Why is it important to conduct employee performance evaluations at regular intervals?

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 49 PERFORMANCE COMPENTENCIES Demonstrate good verbal communication skills Articulate the need for the proposed business Explain the process of preparing a business plan

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 50 Explain the lessons learned Answer questions effectively Identify obstacles for the owner or business

Entrepreneurship: Ideas in Action 5e © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 11 Slide 51 GIVE IT A TRY Using the FBLA competitive event guidelines for the Business Plan event, prepare a business plan that contains all of the required components for the business proposed in the Build Your Business Plan Project or another business venture you would like to pursue. Prepare a seven-minute presentation describing the business plan. Make the presentation to your class. Visual aids and samples specifically related to the project may be used in the presentation. Be prepared to answer questions about your business plan.