Human Resource Management Chapter Ten Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.

Learning Objectives LO 1 Discuss how companies use human resources management to gain competitive advantage. LO 2 Give reasons companies recruit both internally and externally for new hires. LO 3 Identify various methods for selecting new employees. LO 4 Evaluate the importance of spending on training and development. 10-2

Learning Objectives (cont.) LO 5 Explain alternatives for who appraises an employee’s performance. LO 6 Describe the fundamental aspects of a reward system. LO 7 Summarize how unions and labor laws influence human resources management. 10-3

Human Resource Management  Human resources management (HRM)  Formal systems for the management of people within an organization. 10-4

Strategic Human Resources Management  Human capital  The knowledge, skills, and abilities of employees that have economic value. 10-5

An Overview of the HR Planning Process 10-6 Figure 10.1

The HR Planning Process  Job analysis  A tool for determining what is done on a given job and what should be done on that job. 10-7

Advice on Termination 10-8 Table 10.1

Training and Development  Training  Teaching lower-level employees how to perform their present jobs.  Development  Helping managers and professional employees learn the broad skills needed for their present and future jobs. 10-9

Training and Development  Needs assessment  An analysis identifying the jobs, people, and departments for which training is necessary

Types of Training  Orientation training  Training designed to introduce new employees to the company and familiarize them with policies, procedures, culture, and the like  Team training  Training that provides employees with the skills and perspectives they need to collaborate with others

Performance Appraisal  Management by objectives (MBO)  A process in which objectives set by a subordinate and a supervisor must be reached within a given time period

Performance Appraisal  360-degree appraisal  Process of using multiple sources of appraisal to gain a comprehensive perspective on one’s performance 10-13

Factors Affecting the Wage Mix Figure 10.6

Determinants of Union Voting Behavior Figure 10.8