Presentation on theme: "Human Resource Management"— Presentation transcript:
1 Human Resource Management Exploring ManagementChapter 10Human Resource Management
2 Chapter 10What are the purpose and legal context of human resource management?What are the essential human resource management practices?What are some of the current issues in human resource management?Human resource management is not just for human resource managers. Managers, supervisors and all employees benefit from understanding HR.
3 10.1 HRM Purpose and Legal Context Human resource management attracts, develops, and maintains a talented workforceStrategic human resource management aligns human capital with organizational strategiesGovernment legislation is supposed to protect workers against employment discriminationLaws can’t guarantee that employment discrimination will never happenGood HR policies and skills are essential. HRM is one of the areas where being proactive is necessary.
4 HRM Purpose and Legal Context Maintaining a Talented Workforce Major responsibilities of Human Resource Management (HRM) include:Attracting a quality workforceDeveloping a quality workforceMaintaining a quality workforceThere should be as much emphasis on keeping good employees as there is in finding them. Recruiting is very expensive.
5 HRM Purpose and Legal Context Strategic HR Strategic human resource managementaligns human capital with organizational strategies.Human capitalskills, knowledge, innovation, creativity, energy and commitment to offer to the organization.HR professionals are increasingly involved in top management and organizational strategic planning.
6 HRM Purpose and Legal Context Discrimination Laws Job discriminationEmployment decisions made for reasons that are not relevant to the jobEqual employment opportunity (EEO)The right to employment without regard to race, religion, color, national origin, genderTitle VII of the Civil Rights Act of 1964 is an important law that guarantees equal employment opportunityDiscrimination not only hurts workers, it hurts organizations. It makes sense to hire and promote the best person for the job regardless of race, color, gender, religion…
7 HRM Purpose and Legal Context Discrimination Laws Affirmative ActionEffort to give employment preference to women and minority group membersAffirmative Action plansAttempt to ensure that percentage of minorities within the organization are a similar proportion to the labor market availabilityReverse discriminationClaims of discrimination by majority populationsAffirmative action has been the subject of much controversy since its inception. The basic principle behind it is that organizations should make every effort to have a workforce that resembles the community if possible.
8 HRM Purpose and Legal Context Discrimination Laws Bona fide occupational qualificationsCriteria for employment is justified for ability to perform a jobMay seem discriminatoryExample – female locker room attendantBona fide occupational qualifications are exceptions to equal employment law because of a business necessity. They are rarely recognized as a defense against discrimination claims.
9 HRM Purpose and Legal Context Selected Discrimination Laws The Equal Pay Act of 1963 requires equal pay for women and men doing equal work. It describes equal work in terms of skills, responsibilities, and working conditions.The Age Discrimination in Employment Act of 1967 as amended in 1978 and 1986 protects workers against mandatory retirement ages. Age discrimination occurs when a qualified individual is adversely affected by a job action that replaces him or her with a younger worker.The Pregnancy Discrimination Act of 1978 protects female workers from discrimination because of pregnancy. A pregnant employee is protected against termination or adverse job action because of the pregnancy and is entitled to reasonable time off work.The Americans with Disabilities Act of 1990 as amended in 2008 prevents discrimination against people with disabilities. The law requires employment decisions be based on a person’s abilities and what he or she can do.The Family and Medical Leave Act of 1993 protects workers who take unpaid leaves for family matters from losing their jobs or employment status. Workers are allowed up to 12 weeks of leave for childbirth, adoption, personal illness, or illness of a family member.These are just a few of the laws protecting workers from discrimination. The basic principals behind them are fairness and equality.
10 HRM Purpose and Legal Context Employee Rights Workplace privacyRight to privacy on the jobTechnology creates issues with employer and employee rights: social media, , internet useEmployers need to have well-thought-out privacy policies and communicate them clearly to employees. Employees need to refrain from non-essential internet use during work hours. Online privacy is not protected by law.
11 HRM Purpose and Legal Context Employee Rights Pay discrimination and comparable worthPeople with similar jobs should receive comparable payLillie Ledbetter Fair Pay ActLengthened the time frame to file claims of pay discriminationComparable worth is still a problem, especially for women.Lillie Ledbetter is pictured directly above President Obama. The act is one of the first he signed after becoming president in 2009.
12 HRM Purpose and Legal Context Employee Rights Pregnancy discriminationPenalizes women as applicants or employees for being pregnantHiringPromotionsLeavesJob assignmentsPregnancy is treated very similar to a short term disability under the Americans with Disabilities Act.
13 HRM Purpose and Legal Context Employee Rights Age discriminationPenalizes employees 40 and over as applicants or employeesAverage age in the workforce is increasing and so are claims of discriminationOlder workers are finding it harder to find work after a layoff than younger workers. Age discrimination claims are harder to prove than other forms of discrimination.
14 Recruitment attracts qualified job applicants 10.2 HRM PracticesRecruitment attracts qualified job applicantsSelection makes decisions to hire qualified job applicantsSocialization and orientation integrate new employees into the organizationTraining continually develops employees skills and capabilitiesPerformance management appraises and rewards accomplishmentsRetention and career development provide career pathsGood hiring policies not only increase the chances that an employee will be productive, but it also decreases turnover, which is expensive.
15 HRM PRACTICES Recruiting Person-job fitMatch of an individual’s skills, interests and abilities with the requirements of the jobPerson-organization fitMatch of an individual’s values, interests and behavior with organization’s cultureEffective recruitment and selection increase the chances that a large pool of qualified candidates will apply.
16 HRM PRACTICES Recruiting RecruitmentAttracting a pool of qualified applicants to the organizationEffective recruitment increases the chances that a large pool of qualified candidates will apply.
17 HRM PRACTICES Recruiting Realistic job previewGives the candidate both the good and bad points of the job and organizationOften highlight rewards and challenges of the positionMany organizations offer realistic job previews. They can decrease turnover by creating realistic expectations of new hires in occupations such as telemarketing, healthcare and law enforcement.
18 HRM PRACTICES Selection Choosing applicants with the greatest potential from the poolEffective selection increase the chances that new hires will be qualified for the position and remain with the employer.
19 HRM PRACTICES Selecting ReliabilityEmployment test or selection device provides consistent measurement of applicant skills, time after time.ValidityEmployment test or selection device is a good predictor of future job performance.It’s important to use reliable and valid screening to avoid discrimination.
20 HRM PRACTICES Selecting Assessment centersEvaluates applicant abilities by observing performance in simulated work activitiesWork samplingActual work is graded by observers
21 HRM PRACTICES Socialization and Orientation Process of influencing the expectations, behavior and attitudes of new employees in a positive wayOrientationActivities that familiarize new employees with the new job and the organizationSocialization and orientation are also referred to as “onboarding”.
22 HRM PRACTICES Training Improves employee skills and capabilitiesCoachingExperienced employees provide advice and motivationLarge organization with lots of resources usually have strong training programs. Training in small organizations is often very incomplete.
23 HRM PRACTICES Training MentoringExperienced employees share expertise with newer employeesReverse mentoringNewer employees share expertise with experienced employeesTechnologySocial mediaSome organizations have formal mentoring programs, but often it is a very informal process.
24 HRM PRACTICES Performance Management Performance AppraisalProcess of assessing and providing feedback on employee work accomplishmentDocument performanceCommunicate performanceIdentify how to improve performanceMost large organizations have formal performance management systems, but many small organizations have very limited systems for performance appraisal.
25 HRM PRACTICES Performance Management Graphic rating scaleChecklist or score card for rating employee traits or performance characteristicsQuality of workQuantity of workAttendancePunctualityGraphic rating scales should be combined with specific comments and an appraisal interview.
26 HRM PRACTICES Performance Management Behaviorally Anchored Rating Scale (BARS)Describes actual behaviors that indicate various levels of performanceBehaviorally anchored rating scales have clear descriptions of specific performance under certain circumstances. They are time-consuming to create, but easy to use.
27 HRM PRACTICES Performance Management Critical incident techniqueKeeps an actual record of employee behavior in certain circumstancesMulti-person comparisonEmployees are rated relative to other employeesMulti person comparisons allow employers to actually rank employees.
28 HRM PRACTICES Performance Management 360 degree feedbackInput from those who work with the employeeDirect report employeesDirect supervisorPeersSometimes customers and vendors are also involved.
29 HRM PRACTICES Retention and Career Development Process of career growth and progressCareer PlanningMatching career goals and individual abilities with opportunitiesCareer planning is the responsibility of the employee, although some organizations offer assistance.
30 Compensation plans influence employee recruitment and retention 10.3 Current Issues in HRMToday’s lifestyles increase demands for flexibility and work-life balanceOrganizations are using more independent contractors and part-time workersCompensation plans influence employee recruitment and retentionFringe benefits are an important part of employee compensation packagesLabor relations and collective bargaining are closely governed by lawHR needs to keep on top of constantly changing laws, benefit costs and trends, effective compensation plans and employee needs.
31 CURRENT ISSUES Work-life balance Balancing career demands with personal and family needsMany organizations have undergone massive layoffs, requiring more work from surviving employees. Balancing work and personal life become increasingly difficult with the increased work demands.
32 CURRENT ISSUES Employment Trends Independent contractorsHired with temporary contractsNot permanent employeesContingency workersSometimes called permatempsWork regular or part-time hours on long term basisOrganizations have been reluctant to hire permanent employees as the economy slowly recovers from the recession. Independent contractors and contingency workers are a couple of solutions to their needs.
33 CURRENT ISSUES Compensation Merit payPay increase for good job performanceBonus payOne-time payment for performance or accomplishmentsAgain, increased motivation is the goal.
34 CURRENT ISSUES Compensation Profit sharingDistributes portion of profits to employeesGain sharingDistributes portion of cost savings to employeesStock optionsRight to purchase stock at a fixed price in the futureAgain, increased motivation is the goal.
35 CURRENT ISSUES Benefits Fringe benefitsNon-monetary compensationHealth insurance, retirement plans, paid time offFamily friendly benefitsHelp employees balance work, personal and family lifeFlexible benefitsEmployees personalize benefits within a set allowance or dollar amountEmployee assistance programsHelp employees cope with personal stress and problemsBenefits rank high in worker satisfaction, but the cost of many benefits, especially healthcare, are increasing.
36 Labor unions Labor contracts Deal with employers on worker’s behalf CURRENT ISSUES LaborLabor unionsDeal with employers on worker’s behalfLabor contractsAgreement between employees and employerWagesHoursBenefitsWorking conditionsSeniorityUnion membership as a whole has been decreasing for many years.
37 Collective bargaining CURRENT ISSUES LaborCollective bargainingProcess that brings management and union representatives together for negotiating, administering and interpreting labor contractsWorker’s rights to join a union without fear of reprisal by employers was established by the National Labor Relations Act of 1935, also called the Wagner Act.Many labor laws regulate the tactics that are used by management and labor.