Employee Relations

Front 1

4 points to define strategic human resource management (SHRM)

Back 1

1) Pattern of planned HR activities and deployments intended to enable an organization to achieve its goals.
2) Goal of strategic management is to deploy and allocate resources in a way that gives an organization competitive advantage.
3) HR strategies need to be consistent with organizational priorities.
4) Linked to and consistent with the strategic needs of an organization at corporate and functional levels

Front 2

Two common ways to view SHRM as a competitive advantage

Back 2

1. HRM practices impact performance – type, amount, patterns of HR practices provides competitive advantage

2. People are our most important assets – i.e. Human capital provides the competitive advantage.

Front 3

Universalistic

Back 3

Certain HR practices will always lead to high performance. Linear relationship.

Front 4

Contingent

Back 4

Depends on contingency variables (size, technology, power, etc.), which moderate link from HR to firm performance. Certain HR practices fit with org. strategy

Front 5

Configurational

Back 5

Depends on integration, pattern, or set of HR practices. Different patterns represent different ‘ideal possibilities’ for orgs.

Front 6

Contextual

Back 6

Depends on the environment of the organization. Context impacts and is impacted by SHRM of organization.

Front 7

For resources to be a competitive advantage, they need to... (4)

Back 7

1.Add Value
2.Be Rare / Scarce
3.Be Difficult to Copy
4.Not be Substitutable / Changeable

Front 8

6 steps in SHRM

Back 8

1) Environmental Scan
2) Organizational Mission and Goals Analysis
3) Analysis of Organizational Character and Culture
4) Analysis of Organizational Strategies
5) Choice and Implementation of HR Strategies
6) Review and Evaluation of Human Resource Strategies

Front 9

Step 1: Environmental Scan
(2 main points)

Back 9

1) Continuous monitoring of economic, technological, demographic, and cultural forces (Noting changes in governmental policies, legislation, and statements)
2) Includes the following economic forces: Economic cycles, global trade, productivity improvement, global competitiveness

Front 10

External Environment factors

Back 10

Socio Economic Factors
o Size of labor force
o Degree of unemployment
o Supply and demand forces

Socio Demographic Factors
o Age of population
o Level of income
• Industry Attractiveness
o Trans-generation appeal
o Cool jobs
o Seasonality

Industry Attractiveness
o Trans-generation appeal
o Cool jobs
o Seasonality

Competitive Climate
o High/Low
o Wage levels

Front 11

Step 2: Organizational Mission and Goals Analysis
(2 main points)

Back 11

1) Strategic choice describes the ways the organization will attempt to fulfill its mission and achieve its long term goals.
o Where will we compete?
o How do we compete?
o What do we need to compete?
2) Goals such as productivity, organizational growth, employee satisfaction, efficiency, and ability to adapt will help to identify HR strategies

Front 12

Step 3: Analysis of Organizational Character and Culture
(3 main points)

Back 12

1) Human resource strategies should be formulated only after a careful look at the organization’s character (employees, objectives, technology, size, age, unions, policies, successes, failures)
2) Character reflects the past and shapes the future
3) Each organization has a unique culture

Front 13

Step 4: Analysis of Organizational Strategies
(3 strategies)

Back 13

Cost Leadership strategy
Differentiation strategy(product)
Focus strategy(segment)

Front 14

Other Potential Strategies (4)

Back 14

Internal growth strategy: focus on new market and product development, innovation and joint ventures.

External growth strategy: focus on mergers and acquisitions, acquiring vendors and suppliers or buying businesses that allow a company to expand into new markets.

Divestment strategy: focus on downsizing, retrenchment, divestitures or liquidation.

Downsizing: planned elimination of large numbers of personnel, designed to enhance organizational effectiveness

Front 15

Step 5: Choice and Implementation of HR Strategies
(5 groups of activities)

Back 15

There should be a clear line of sight between HR strategy and corporate goals

HR must continuously focus on 5 groups of activities:
o Planning Human Resources
o Recruiting Human Resources
o Placing, Developing, & Evaluating Human Resources
o Motivating Employees
o Maintaining High Performance

Front 16

Strategy Implementation HRM Practices
(5 things that need to be implemented)

Back 16

1) Organizational structure (HRM influence)
2) Task/Job design (HRM direct responsibility)
3) Selection, training and development of people (HRM direct responsibility)
4) Performance Management and Reward systems (HRM direct responsibility)
5) Types of information and information systems (HRM influence)

Front 17

Step 6: Review and Evaluation of Human Resource Strategies
(3 points)

Back 17

Strategies should be examined periodically in consideration of changing factors e.g. technology, environment, etc.

HR Audit (Holistic examination of the HR policies, practices, and systems of a firm)

HR departments must focus on looking to the future i.e. proactive

Front 18

5 levels of Human Resource planning

Back 18

Level 1: No formal planning. (Recruitment and training are considered an afterthought. Ex) family owned business.)

Level 2: Minimal; focus on headcount forecasts. (Some long-term planning, minimal HR planning. “Manpower planning”)

Level 3: Long term forecasts. 3-5 years ahead

Levels 4 & 5: HRP is a core strategic process. Becomes SHRP

Front 19

5 steps to the HRP process

Back 19

Step 1: Forcast Demand for resources
Step 2: Assess internal and external supply of resources
Step 3: Develop HR objectives
Step 4: Design and Implement HR programs
Step 5: Establish Program Evaluation

Front 20

Step 1: Forecast Demand for resources

Back 20

How many human reources will we need, when will we need them, and where will we need them? Forcasts by looking at factors that cause a labor need to exists and uses various forms of forecasting techniques

Front 21

Step 2: Assess internal and external supply of resources

Back 21

What resources do we have available and what skills and competencies do these resources possess?

Front 22

Step 3: Develop HR objectives

Back 22

Identifies what the planners expect to accomplish as a result of their actions

Front 23

Step 4: Design and Implement HR programs

Back 23

Balance supply and demand

Front 24

Step 5: Establish Program Evaluation

Back 24

Is there a tangible link between investments in HR programs and organizational sustainability.

Front 25

Causes of Demand for Human Resources (3)

Back 25

External
organizational
Workforce

Front 26

External causes (4)

Back 26

Economic developments
Social-political-legal challenges
Technological changes
Competitors

Front 27

Organizational causes (5)

Back 27

Strategic plan
Budgets
Sales & production forecasts
New ventures
Organizational & job design

Front 28

Workforce causes (5)

Back 28

Retirements
Resignations
Terminations
Death
Leave of absence

Front 29

Forecasting HR needs
(3 main ways)

Back 29

Informal and instant forecast

Formal expert surveys

Delphi technique

Front 30

Informal and instant forecast

Back 30

Manager believes workload justifies another employee

Front 31

Formal expert surveys

Back 31

Planners survey managers. May use questionnaires or focused discussions

Front 32

Delphi technique

Back 32

Solicits estimates from a group of experts, usually managers—until opinions converge

Front 33

Other Forecasting Methods
(3)

Back 33

Budget & Planning Analysis (Organizations that need HR planning generally have detailed budgets and long-range plans)

New Venture Analysis (Planners estimate human resource needs by making comparisons with similar operations)

Computer-Based Simulation Models

Front 34

The Supply of Human Resources: Internal Supply Estimates
(3)

Back 34

Skills Inventories

Management Inventories

Replacement Charts

Front 35

Skills Inventories

Back 35

Summary of worker skills and abilities

Front 36

Management Inventories

Back 36

Reports of management capabilities

Front 37

Replacement Charts

Back 37

Lists of likely replacements for each job

Front 38

The Supply of Human Resources: External Supply Estimates
(3 ways to estimate)

Back 38

Labor Market Analysis

Community Attitudes

Demographic Trends

Front 39

Two trend projection forecasts

Back 39

Extrapolation and indexation

Front 40

Extrapolation

Back 40

Extending past rates of change into the future

Front 41

Indexation

Back 41

Matching employment growth with an index e.g. ratio of production employees to sales

Front 42

Succession Planning
(Description and 3 benefits)

Back 42

The process of identifying and tracking high-potential employees who will be able to fill top management positions or other key positions when they become vacant

Benefits
o Forces senior management to regularly review company’s leadership talent
o Development experiences help to ensure talent is ready for promotion
o Helps attract and retain ambitious employees

Front 43

Human resource planning

Back 43

is a process used to determine future human resource requirements by anticipating future business demands, analyzing the impacts of these demands on the organization, and making decisions on how to effectively acquire and utilize firms’ human resources.

Front 44

Nominal group technique

Back 44

presents a group of managers with a problems statement, then each of the 5 -15 participants writes down as many answers as they can imagine. Then shared and discussed and ranked.

Front 45

Attrition

Back 45

is the normal separation of employess from an organization as a result of resignation,retirement, or death

Front 46

Work flow design

Back 46

The process of analyzing the tasks necessary for the production of a product or service

Front 47

Job

Back 47

A set of related duties

Front 48

Position

Back 48

The set of duties (job) performed by a particular person

Front 49

Job Analysis
(7 types of info)

Back 49

Almost every HRM process requires some type of information from job analysis

Work re-design
Workforce planning
selection
training and development
performance management
career planning
job evaluation

Front 50

Job descriptions

Back 50

A list of the tasks, duties, and responsibilities (TDRs) that a particular job entails. TDRs are observable actions

Front 51

Job specifications

Back 51

A list of the competencies an individual must have to perform a particular job. Competencies are observed only when individuals are carrying out the TDRs of the job

Front 52

Sources of job information
(3)

Back 52

Incumbents
Observers
Federal Gov.

Front 53

Incumbents

Back 53

People who currently hold that position in the organization. Provide accurate estimates of time.

Front 54

Observers

Back 54

Supervisors should review the information provided by incumbents. Identify importance of job duties

Front 55

Federal Government

Back 55

National Occupational Classification (NOC) provides standardized sources of info about jobs

Front 56

Job design

Back 56

the process of defining the way work will be performed and tasks that a given job requires

Front 57

Job redesign

Back 57

Similar process that involves changing an existing job design

Front 58

To design jobs effectively

Back 58

Thoroughly understand the job and its place in the work unit’s work flow process

Front 59

4 Approaches to Job Design

Back 59

1) Design for efficiency
2) Design for mental capacity
3) Design for Safety and health
4) Design for motivation

Front 60

Designing jobs that meet mental capabilities
(3 points )

Back 60

Filtering information

Clear displays and instructions

Memory aids

Front 61

Design for safety and health

Back 61

ergonomics

Front 62

Design for motivation

Back 62

job enlargement

job enrichment

teamwork

flexibility

Front 63

The Unexpectedly High Cost of a Bad Hire

Back 63

- a single bad hire with an annual income of $50,000 can equal a potential $15,000 loss for the employer.
- This loss is compounded by the impact of a bad hire on productivity and team morale

Front 64

3 Preventing Hiring Mishaps:

Back 64

1. Over-prepare: A job candidate isn’t the only one who should cram before the interview.
2. The secretary test: Great collaborators don’t pull rank. (see how candidates treat the secretary and others of lower rank)
3. The curveball: Hide an unexpected question in the fine print. (o throw a small, unconventional request into a job application. Candidates who overlook this question or don’t provide a full answer aren’t worth interviewing.)

Front 65

Cognitive ergonomics
(3 points)

Back 65

o Recognizes the mind has capabilities & limitations
o Hire people with certain mental skills
o Reduce information processing requirements

Front 66

Simplify a job’s mental demands
(2 points)

Back 66

o Limit information and memorization requirements
o Clear instructions; use of checklists; easy to understand gauges

Front 67

Human Resource Recruitment
(5 points)

Back 67

• Any practice or activity carried on by the organizations with the primary purpose of identifying and attracting potential employees.
• Goal is to ensure a number of reasonably qualified applicants who would accept the job, from which to choose.
o Neither too many nor too few applicants
• Must be strategic and efficient in getting the message out about job vacancy in order to attract best candidates.
• Then must separate the best from all candidates and get an offer out to the right person.
• Systematic processes

Front 68

Recruitment activities affect (3)

Back 68

• Number of people who apply for vacancies.
• Type of people who apply and/or
• Likelihood that those applying will accept positions offered.

Front 69

How to be seen as a desirable place to work

Back 69

• Define the target audience.
• Develop a set of reasons why the organization is more attractive to the audience than other organizations.
• Incorporate those reasons into all recruitment efforts and the organization’s career website.

Front 70

Selection

Back 70

Process by which an organization attempts to identify applicants with the necessary knowledge, skills, abilities and other characteristics that will help it achieve its goals.
Some basic standards of selection methods include: reliability, validity and generalizability.

Front 71

Reliability

Back 71

The consistency of a performance measure; the degree to which a performance measure is free from random error.

Front 72

Validity

Back 72

The extent to which a performance measure assesses all of the relevant – and only the relevant – aspects of job performance

Front 73

Content Validation

Back 73

A test-validation strategy performed by demonstrating that the items questions or problems posed by a test are a representative sample of the kinds of situations or problems that occur on the job.

Front 74

Concurrent Validation

Back 74

A criterion-related validity study in which a test is administered to all of the people currently in a job and then incumbents’ scores are correlated with existing measures of their performance on the job.

Front 75

Predictive Validation

Back 75

A criterion-related validity study that seeks to establish an empirical relationship between applicants’ test scores and their eventual performance on the job.

Front 76

Evaluating the Quality of a Source (2)

Back 76

• Develop and compare yield ratios for each source.
• Cost per hire data.

Front 77

Estimating the Reliability of Measurement (3)

Back 77

• Refers to the measuring instrument rather than the characteristic itself
• Usually indicated by Cronbach’s Alpha (α)„
• Best between over 0.70 and under 0.95

Front 78

Generalizability

Back 78

The degree to which the validity of a selection method established in one context extends to other contexts
• Different situations (jobs, organizations, regions)
• Different samples of people
• Different time periods

Front 79

Work-Sample Tests
(def and 4 examples)

Back 79

Attempt to simulate the job in a pre-hiring context to observe how the applicant performs in the simulated job.

Front 80

Problems with work-sample tests
(2)

Back 80

• Tests are job specific, so generalizability is low.
• Expensive to develop and administer.

Front 81

Concrete steps to increase utility (2)

Back 81

1. Keep interview structured, standardized and focused on accomplishing a small number of goals i.e. come out of the interview with quantitative ratings on a small number of dimensions.
2. Have a structured note-taking system that will aid recall to justify ratings.