Presentation is loading. Please wait.

Presentation is loading. Please wait.

Business Essentials, 7th Edition Ebert/Griffin

Similar presentations

Presentation on theme: "Business Essentials, 7th Edition Ebert/Griffin"— Presentation transcript:

1 Business Essentials, 7th Edition Ebert/Griffin
Human Resource Management and Labor Relations Business Essentials, 7th Edition Ebert/Griffin Instructor Lecture PowerPoints PowerPoint Presentation prepared by Carol Vollmer Pope Alverno College

2 Homework Page 119 chapter 8 Answer the first 8 questions. One week fro today. We need some to prepare a presentation in 5-10 minutes.

3 © 2009 Pearson Education, Inc.
What’s in It for Me? Why does effectively managing human resources matter to you? By understanding the material in this chapter, you’ll be better able to understand: The importance of properly managing human resources in a unit or business you own or supervise Why and how your employer provides the working arrangements that most directly affect you © 2009 Pearson Education, Inc.

4 The Foundations of Human Resource Management
Human Resource Management (HRM) Activities directed at attracting, developing, and maintaining an effective workforce The Strategic Importance of HRM Human resources has a substantial impact on a firm’s bottom-line performance Many firms are developing strategic HR plans Chief officer reports to CEO © 2009 Pearson Education, Inc.

5 Who is responsible for HRD?

6 Figure 10.1 The HR Planning Process
© 2009 Pearson Education, Inc.

7 HR planning process First the HR department will conduct a job analysis. Second, they will forecast a demand for labor. This forecast will address the internal and external supplies of labor. Finally they will develop a plan to match demand with supply.

8 © 2009 Pearson Education, Inc.
HR Planning Job Analysis A systematic analysis of jobs within an organization Job Description Lists the duties and responsibilities of a job; its working conditions; and the tools, materials equipment, and information used to perform it Job Specification Lists the skills, abilities, and other credentials and qualifications needed to perform the job effectively © 2009 Pearson Education, Inc.

9 discussion Why job description is necessary?

10 Forecasting Labor Supply
Forecasting the internal labor supply means determining the number and type of employees who will be in the firm at some future date. management tools:

11 Forecasting Labor Supply
management tools: Replacement charts: List each key management position, who occupies it, how long that person will likely stay in the job, and who (by name) is qualified as a replacement. Skills inventories: Computerized information systems containing information about each employee’s education, work experience, and career aspirations.

12 © 2009 Pearson Education, Inc.
HR Planning (cont’d) Forecasting HR Demand and Supply Forecasting external supply (number/type of people who will be available for hiring from the labor market at large) State employment commissions e.g. job centers. Government reports College information regarding enrollment and graduates in various majors © 2009 Pearson Education, Inc.

13 © 2009 Pearson Education, Inc.
HR Planning (cont’d) Matching HR Supply and Demand Alleviating Shortfalls by taking the following steps: Seeking new hires Retraining and transferring present employees Retaining retirees Installing more productive systems © 2009 Pearson Education, Inc.

14 Managing a Projected Shortfall how?
Hire new employees, if people are indeed available in the external market. Retrain and transfer current employees into understaffed areas, providing a morale boost to strong employees. Consider hiring temporary workers, especially if the shortfall appears short-term or uncertain. Convince older workers not to retire, which usually requires strong financial incentives. The creative solution: Develop and install productivity enhancing systems

15 © 2009 Pearson Education, Inc.
HR Planning (cont’d) Matching HR Supply and Demand Managing Overstaffing Transferring extra employees Not replacing employees who quit (attrition) Encouraging early retirement Laying off personnel © 2009 Pearson Education, Inc.

16 Staffing the Organization
Recruiting Attracting qualified persons to apply for the jobs that are open Internal Recruiting Considering present employees as candidates for openings Promotion from within Union contracts and job bidding inside the organization. © 2009 Pearson Education, Inc.

17 Staffing the Organization
External Recruiting Attracting people outside of the organization to apply for jobs State employment agencies Private employment agencies Advertisements © 2009 Pearson Education, Inc.

18 Discussion Faculty of Commerce is looking to recruit a manager to the faculty. Think in internal and external recruiting.

19 Selecting Human Resources
Tools used. - Application forms; however, make sure the forms do not ask illegal questions such as one’s age, marital status, etc. - Tests —ability, skills, aptitude /fitness, knowledge, attitude

20 Selecting Human Resources
Tools used. - Interviews — interview people through a committee. validity is increased by: Training interviewers to reduce individual bias Using a structured interview format with job-related questions to improve consistency, reduce bias, and eliminate illegal questioning of applicants

21 Selecting Human Resources
Other techniques that can be used: Polygraph, or lie detector test. These are not used that frequently anymore. Physical exams, but employers must be aware with Disabilities Act, which forbids denying someone employment based on physical disability alone. Drug tests. Reference checks.

22 Developing the Workforce
Training On-the-job training: Working side-by-side as the employee learns the tasks required of the position. Off-the-job training: training them away from their jobs. Vestibule/entrance training: Also called “the teachable moment,” vestibule training occurs when a supervisor or manager discusses a training issue with an employee while they are walking in the office after encountering a specific situation. © 2009 Pearson Education, Inc.

23 Developing the Workforce (cont’d)
Performance Appraisal Defining performance standards Observing performance Writing up the assessment Discussing the appraisal Performance Appraisal Evaluating job performance © 2009 Pearson Education, Inc.

24 FIGURE 10.2 Sample Performance Evaluation Form
© 2009 Pearson Education, Inc.

25 Compensation and Benefits
Compensation System The total package of rewards that a company offers employees in return for their labor Wages —money paid for time worked Salary —money paid to perform a job © 2009 Pearson Education, Inc.

26 Compensation and Benefits
Factors affecting compensation Competitors’ wage offerings Internal wage and salary structure—includes: job value, performance, and longevity © 2009 Pearson Education, Inc.

27 Example of Salary Structure in PA
Basic Salary Wife & children Supervision specialization qualification Annual increase.

28 Compensation and Benefits (cont’d)
Incentive programs: are Special pay programs designed to motivate high performance Individual incentives: Bonuses Merit /advantage salary systems: pay rise linked to performance in non-sales jobs. Pay for performance (variable pay) © 2009 Pearson Education, Inc.

29 Compensation and Benefits (cont’d)
Incentive programs Company-wide incentives: to all employees (group incentives) Profit-sharing plans Gain sharing plans, which reward groups for their performance in reducing cost. Pay-for-knowledge plans, which encourage employees to gain new knowledge or skills. E.g, extra payment for certain training hours. © 2009 Pearson Education, Inc.

30 Compensation and Benefits (cont’d)
Benefits Programs: can be mandatory or discretionary. Mandatory (required by law) Social Security retirement benefits Workers’ compensation insurance © 2009 Pearson Education, Inc.

31 Compensation and Benefits (cont’d)
Discretionary (optional) Health, life, and disability insurance Vacations and holidays Employee assistance programs Retirement (pension) plans © 2009 Pearson Education, Inc.

32 Compensation and Benefits (cont’d)
Cafeteria benefits plans. These plans set aside a certain amount of money for benefits for each employee, and those employees choose how they wish to spend those funds © 2009 Pearson Education, Inc.

33 The Legal Context of HRM
Equal Employment Opportunity Laws Protect workers from unfair or inappropriate (non-job-related) discrimination in the workplace, e.g, manager bias to employee’s friend. © 2009 Pearson Education, Inc.

34 The Legal Context of HRM
Protected Classes in the Workplace Individuals sharing common characteristics as defined by law Race, color, religion, gender, age, national origin, disability status, and status as a military veteran © 2009 Pearson Education, Inc.

35 The Legal Context of HRM (cont’d)
Contemporary Legal Issues in HRM Employee safety and health: was addressed with Occupational Safety and Health Act of 1970 (OSHA): work place free from hazard. © 2009 Pearson Education, Inc.

36 The Legal Context of HRM (cont’d)
Emerging areas of discrimination law include areas: AIDS in the workplace Sexual harassment Hostile work environment (a subtler /indirect form of sexual harassment, such as off-color jokes, but has been expanded to include age, ethnicity and religion as well). © 2009 Pearson Education, Inc.

37 The Legal Context of HRM (cont’d)
Contemporary Legal Issues in HRM Employment-at-will This concept holds that an employee or employer can terminate an employment contract at any time for any reason. In recent years, increasing numbers of employees have challenged their dismissals, citing wrongful discharge. © 2009 Pearson Education, Inc.

38 The Legal Context of HRM (cont’d)
Contemporary Legal Issues in HRM The Patriot Act Developed in response to 9/11/2001 Grants government investigators rights to what was privileged/ confidential information. Bars certain “restricted” individuals (i.e., ex convicts, aliens/ foreign) from working with restricted biological agents © 2009 Pearson Education, Inc.

39 New Challenges in the Changing Workplace
Managing Workforce Diversity Workforce diversity: includes, The range of workers’ attitudes, values, beliefs, and behaviors that differ by gender, race, age, ethnicity, physical ability, and other relevant characteristics Organizations are recognizing that diversity can be a competitive advantage © 2009 Pearson Education, Inc.

40 © 2009 Pearson Education, Inc.
FIGURE 10.3a Distribution of the Labor Force by Race – 2050 in USA FIGURE 10.3b Hispanic Share of Civilian Labor © 2009 Pearson Education, Inc.

41 New Challenges in the Changing Workplace (cont’d)
Managing Knowledge Workers Knowledge workers add value because of what they know, they include: Computer scientists Physical scientists Engineers Hiring and retaining knowledge workers is a critical HR challenge © 2009 Pearson Education, Inc.

42 Discussion please give two examples of knowledge workers who might be employed by a large ice-cream manufacturer.

43 New Challenges in the Changing Workplace (cont’d)
Contingent Workers A person who works for an organization on something other than a permanent or full-time basis. These can include: Independent contractors On-call workers Temporary employees, e.g, employing through agencies. Contract and leased employees Part-time workers © 2009 Pearson Education, Inc.

44 New Challenges in the Changing Workplace (cont’d)
Managing Contingent and Temporary Workers. Some of these challenges include: Careful planning for coordinated use of temporary workers Understanding the advantages and disadvantages of contingent workers Assessing the true cost of using contingent workers Developing a strategy for integrating contingent workers into the organization © 2009 Pearson Education, Inc.

45 Dealing with Organized Labor
Labor Union A group of individuals working together to achieve shared job-related goals, such as higher pay, shorter working hours, more job security, greater benefits, or better working conditions Labor Relations The process of dealing with employees who are represented by a union. Collective Bargaining The process by which union leaders and managers negotiate common terms and conditions of employment for the workers represented by unions © 2009 Pearson Education, Inc.

46 Collective Bargaining
An ongoing process involving both the drafting and the administering of the terms of a labor contract. Contract Issues, include: Compensation Cost-of-living adjustment (COLA) clauses Wage reopener clauses/sections Benefits Job security Management rights © 2009 Pearson Education, Inc.

47 Collective Bargaining (cont’d)
Union Tactics When Bargaining sometimes Fails. What they use? Strike Picketing/ protest, e.g., go on the media Boycott: Union members will not buy products from a specific firm. Work slowdown e.g., call in sick © 2009 Pearson Education, Inc.

48 Collective Bargaining (cont’d)
Management Tactics When Bargaining Fails Lockouts: Workers are locked out of company facilities. Hiring strikebreakers who cross the picket/ strike lines. © 2009 Pearson Education, Inc.

49 Collective Bargaining (cont’d)
Resolving Disputes Mediation Voluntary Arbitration Compulsory Arbitration © 2009 Pearson Education, Inc.

50 Resolving Disputes Resolving union disputes includes:
Mediation, where the parties sit down at the bargaining table to try to work things out with a mediator or a third party. Arbitration, either voluntary or compulsory, which calls for a third party to judge the situation and make a decision on the appropriate solution. Some arbitration is binding, which means that both sides agree to abide by the arbitrator’s decision as law.

51 Homework Answer questions 1-5 in page 147

Download ppt "Business Essentials, 7th Edition Ebert/Griffin"

Similar presentations

Ads by Google