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505 Cards in this Set
- Front
- Back
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Mission
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The basic purpose of the organization as well as its scope of operations
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Mixed-standard scale method
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A trait approach to performance appraisal similar to other scale methods but based on comparison with (better than, equal to, or worse than) a standard
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Mobile recruiting
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The process of recruiting candidates via their mobile devices
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Multinational Corporation (MNC)
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A firm with independent business units operating in multiple countries
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Multiple cut-off model
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A selection decision model that requires an applicant to achieve a minimum level of proficiency on all selection dimensions
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Multiple hurdle model
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A sequential strategy in which only the applicants with the highest scores at an initial test stage to go on to subsequence stages
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Nearshoring
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The process of moving jobs closer to one's home country
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Nepotism
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Preference for hiring relatives of current employees
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Non-contributory plan
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A pension plan in which contributions are made solely by the employer
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Nondirective interview
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An interview in which the applicant is allowed the maximum amount of freedom in determining the course of the discussion, while the interviewer carefully refrains from influencing the applicant’s remarks
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Non-financial compensation
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Includes employee recognition programs, rewarding jobs, organizational support, work environment, and flexible work hours to accommodate personal needs
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Occupational illness
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Any abnormal condition or disorder, other than one resulting from an occupational injury, caused by exposure to environmental factors associated with employment
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Occupational injury
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Any cut, fracture, sprain, or amputation resulting from a workplace accident or from an exposure involving an accident in the work environment
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Offshoring
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The business practice of sending jobs to other countries
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Ombudsperson
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A designated individual from whom employees may seek council for resolution of their complaints
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Onboarding
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The process of systematically socializing new employees to help them go 'on board' with an organization
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On-the-job training (OJT)
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A method by which employees are given hands-on experience with instructions from their supervisor or other trainer
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Open-door policy
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A policy of settling grievances that identifies various levels of management above the immediate supervisor for employee contact
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Organization analysis
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Examination of the environment, strategies, and resources of the organization to determine where training emphasis should be placed
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Organizational Capability
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The capacity of the organization to act and change in pursuit of sustainable competitive advantage
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Organizational Climate
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Perceptions of organizational practices reported by people who work there
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Organizational Culture
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Values, norms, and ways of behaving (which organization members share) that reflect the way members think about and interpret their work setting
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Organizational Politics
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Includes a firm's culture, orientation of its managers, history, current competitive conditions
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Orientation
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The formal process of familiarizing new employees with the organization, their jobs, and their work units
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Outplacement services
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Services provided by organizations to help terminated employees find a new job
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Outsourcing
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Contracting out work that was formerly done by employees
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Panel interview
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An interview in which a board of interviewers questions and observes a single candidate
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Partners and Complementary Skills
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Individuals having skills that are unique but frequently are not directly related to the company’s core strategy (lawyer, accountant)
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Passive job seekers
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People who are not looking for jobs but could be persuaded to take new ones given the right opportunity
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Pay equity
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Equal pay for work of equal value
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Pay equity
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Equal pay for work of equal value
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Pay for Performance Practice
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Basing employees pay on their achievements
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Pay grades
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Groups of jobs within a particular class that are paid the same rate
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Peer ranking
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A system whereby employees in a workgroup are ranked against one another from best to worst
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Peer-review system
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a system for reviewing employee complaints that utilizes a group composed of equal numbers of employee representatives and management appointees, which functions as a jury because its members way evidence, consider arguments, and, after deliberation, vote independently to render a final decision
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Performance appraisals
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the result of an annual or biannual process in which a manager evaluates and employees performance relative to the requirements of his or her job and uses the information to show the person where improvements are needed and why
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Performance management
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The process of creating a work environment in which people can perform to the best of their abilities
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Perquisites (perks)
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Special nonmonetary benefits given to executives
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Peter Principle
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A common problem in organizations that promotes primarily on past performance and seniority
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Piecework
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Work paid according to the number of units produced
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Plateau
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A fairly straight horizontal line on the learning curve that shows the times when progress does not occur
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Point manual
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A handbook that contains a description of the compensable factors and the degrees to which these factors may exist within the jobs
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Point system
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A quantitative job evaluation procedure that determines the relative value of a job by the total points assigned to it
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Position analysis questionnaire (PAQ)
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A quantifiable data questionnaire covering 194 different tasks that, by means of a five-point scale, seeks to determine the degree to which different tasks are involved in performing a particular job
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Position
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The different duties and responsibilities performed by only one employee
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Positive (or nonpunitive) discipline
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A system of discipline that focuses on early correction of employee misconduct, with the employee taking total responsibility for correcting the problem
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Predictive validity
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The extent to which applicants' test scores match criterion data obtained from those applicants/employees after they've been on the job for an indefinite
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Proactive Change
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Change initiated to take advantage of targeted opportunities
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Profit sharing
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Any procedure by which an employer pays, or makes available to all regular employees, in addition to base pay, special current or deferred sums based on the profits of the enterprise
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Programmed instruction or self-directed learning
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Involves the use of books, manuals, or computers to break down subject matter content in a highly organized, logical sequences the demand a continual response on the part of the trainee
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Progressive discipline
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Application of corrective measures by increasing degrees
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Promotion
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A change of assignment to a job at a higher level in the organization
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Psychological harassment
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Any repeated, hostile, or unwanted conduct; verbal comments; actions; or gestures that effect and employees dignity or psychological or physical integrity
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Quality of Fill
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A metric designed to assess how well new hires are performing on the job
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Quantitative Approach
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Use of statistical or mathematical techniques for forecasting
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Reactive Change
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Change occurs after external forces have already affected performance
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Real wages
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Wage increases larger than rises in the consumer price index, that is, the real earning power of wages
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Realistic job preview (RJP)
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Informing applicants about all aspects of the job including both its desirable and undesirable facets
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Reasonable accommodation
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Attempt by employers to adjust the working conditions or schedules of employees with disabilities or religious preferences
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Recency error
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A performance rating error in which the appraisals based largely on the employee's most recent behavior rather than on behavior throughout the appraisal
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Recognition
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A conduit that shows employees that the company appreciate their efforts, their unique gifts, and their contributions
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Recruiting process outsourcing (RPO)
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The practice of outsourcing organizations recruiting function to an outside firm
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Red circle rates
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Payments made to individuals that are above the maximum in the pay range; generally paid when employees have high seniority or promotional opportunities are scarce - and results in a rate 'freeze' until all ranges shift upwards
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Reengineering
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The fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in cost, quality, service, and speed
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Reliability
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The degree to which interviews, tests, and other selection procedures yield comparable data over time
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Reliability
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Measures that are consistent across raters and over time
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Relocation services
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Services provided to an employee who is transferred to a new location, which might include help in moving in the real world, selling home, orienting to a new culture, and/or learning a new language
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Repatriation
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The process of employee transition home from an international assignment
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Replacement Charts
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Listings of current jobholders and people who are potential replacements if an opening occurs
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Rerecruiting
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The process of keeping track of and maintaining relationships with former employees to see if they would be willing to return to the firm
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Resource Flexibility
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Having people who can do many different things in different ways
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Results method
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Evaluating employee accomplishments, the results they achieve through work, to provide performance appraisals
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Resume padding
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When applicants misrepresent their information on their resume, to make themselves appear more qualified
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Resume stripping
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When candidates lie on their resume by dropping experience and educational qualifications
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Rights arbitration
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Arbitration over interpretation of the meaning of contract terms or employee work grievances
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Sabbatical
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An extended period of time in which an employee leaves an organization to pursue other activities and later returns to his or her job
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Salaried employees
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Employees who are compensated on the basis of a weekly, biweekly, or monthly pay period
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Salary draw
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A cash advance that must be paid back as commissions are earned
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Salary plus bonus plan
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A compensation plan that pays a salary plus a bonus achieved by reaching targeted sales goals
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Sandwich technique
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The use of taking positive statements and following them up with negative ones which is followed again by positive statements
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Scanlon plan
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Emphasizes participative management and encourages cost reduction by sharing with employees any savings resulting from those reductions
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Selection ratio
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The number of applicants compared to the number of people to be hired
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Selection
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The process of choosing individuals who have relevant qualifications to fill existing or projected job openings
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Self-appraisal
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A performance appraisal done by the employee being evaluated, generally on an appraisal form completed by the employee prior to the performance interview
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Self-directed teams (aka autonomous work groups, self-managed teams, or high-performance teams)
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Groups of employees who are accountable for a "whole" work process or segment that delivers a product or service to an internal or external customer
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Sequential interview
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The format in which a candidate is interviewed by multiple people, one right after another
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Severance Pay
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A lump sum payment given to terminated employees, calculation based on years of service and salary
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Severance pay
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A lump sum payment given to terminated employees by an employer at the time of an employer-initiated termination
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Sexual-harassment
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Unwelcome advances, requests for sexual favors, and other verbal or physical contact of a sexual nature in the working environment
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Silver handshake
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An early retirement incentive in the form of increased pension benefits for several years or a cash bonus
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Similar-to-me error
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A performance rating error in which an appraiser inflates the evaluation of an employee because of a mutual personal connection
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Situational interview
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An interview in which an applicant is given a hypothetical incident and asked how he or she would respond to it
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Six Sigma
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A set of principles and practices whose core ideas include understanding customer needs, doing things right the first time, and striving for continuous improvement
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Skill Inventories
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Files of personnel education, experience, interests, and skills that allow managers to quickly matched job openings with employee backgrounds; when data is gathered on managers, it's called management inventories
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Skill variety
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The degree to which a job entails a variety of different activities, which demand the use of a number of different skills and talents by the jobholder
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Skywalkers
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Employees working in white-collar jobs, in high-rise buildings, well educated, knowledge workers, well-trained, earn good incomes, jobs are secure, and receive full benefits
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Split pay
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a system whereby expatriates are given a portion of their pay in the local currency to cover their day-to-day expenses and a portion of their pay in their home currency to safeguard their earnings from changes in inflation or foreign exchange rates
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Spot bonus
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An unplanned bonus given for employee effort unrelated to an established performance measure
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Spot rewards
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Programs that award employees 'on the spot' when they do something particularly well during training or on the job
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Staffing Tables
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Graphic representations of all organizational jobs, along with the numbers of employees currently occupying those jobs and future (monthly or yearly) employment requirements
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Standard hour plan
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An incentive plan that sets rates based on the completion of the job in a predetermined standard time
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Statistical approach
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Involves identifying the most valid predictors and weighting them using statistical methods
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Statutory rights
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Legal entitlements that derive from government legislation
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Step-review system
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A system for reviewing employee complaints and disputes by successfully higher levels of management
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Stock data
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Data showing the status of designated groups in occupational categories and compensation levels
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Straight commission plan
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A compensation plan based on a percentage of sales
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Straight piecework
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An incentive plan under which employees receive a certain rate for each unit produced
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Straight salary plan
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A compensation plan that permits salespeople to be paid for performing various duties that are not reflected immediately in their sales volume
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Strategic compensation
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The compensation of employees in ways that enhance motivation and growth while at the same time aligning their efforts with the objectives, philosophies, and culture of the organization
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Strategic Formulation Process
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Provides a set of input in terms of what is possible whether firm has a types and number of people available to pursue a given strategy
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Strategic Human Resources Management (SHRM)
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The pattern of human resources deployments and activities that enable an organization to achieve its strategic goals
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Strategic Knowledge Workers
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Employees who tend to have unique skills that are directly linked to the company strategy and are difficult to replace (R&D, managers)
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Strategic Planning
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Procedures for making decisions about the organization's long-term goals and strategies
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Strategic relevance
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Performance standards linked to organizational goals and competencies
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Strategic Vision
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A statement about where the company is going and what it can become in the future; clarifies the long-term direction of the company and its strategic intent
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Strategy Implementation
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Once the firm has devised its strategy executives must make a resource allocation decisions to implement that strategy
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Stress
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Any adjustive demand caused by physical, mental, or emotional factors that require coping behaviours
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Strike
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The refusal of a group of employees to perform the jobs
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Structural plateau
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Marks the end of promotions
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Structured interview
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An interview in which a set of standardized questions with an established set of answers is used
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Subordinate appraisal
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A performance appraisal of a superior by an employee, which is more appropriate for developmental and for administrative purposes
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Succession Planning
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The process of identifying, developing, and tracking key individuals for executive positions
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Summary dismissal
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When a non-union employer terminates an employee without notice because the employee has committed a serious breach of contract
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Supply Considerations
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Determining where and how candidates with the required qualifications can be found to fill firms' vacancies
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Supporting Workers
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Employees with skills that are of less strategic value to the firm and are generally available in the labor market (cleaners, clerical/admin)
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Sustainability
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A company's ability to produce a good or service without damaging the environment or depleting a resource
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SWOT Analysis
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A comparison of strengths, weaknesses, opportunities, and threats for strategy formulation purposes
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Synergy
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Occurs when the interaction an outcome of team members are greater than the sum of the individual effort
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Systemic discrimination
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The exclusion of members of certain groups through the application of employment policies or practices based on criteria that are neither job-related nor required for the safe and efficient operation of the business
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Task analysis
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The process of determining what the content of the training program should be on the basis of the study of the tasks and duties involved in the job
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Task identity
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The degree to which the job requires completion of a whole and identifiable piece of work that is, getting a job from beginning to end with a visible outcome
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Task inventory analysis
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An organization-specific list of tasks and their descriptions used as a basis to identify components of jobs
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Task significance
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The degree to which the job has a substantial impact on the lives or work of other people, whether in the immediate organization or in the external environment
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Team appraisal
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A performance appraisal, based on total quality management concepts, that recognizes team accomplishment rather than individual performance
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Team incentive plan
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A compensation plan in which all team members receive an incentive bonus payment when production or service standards are met or exceeded
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Telecommuting
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Use of personal computers, networks, and other communications technology to do work in the home that is traditionally done in the workplace
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Temporal rating
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Errors where the performance review is biased either favourably or unfavourably, depending on the way performance information is selected, evaluated, and organized by the rater over time
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Termination
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Practice initiated by an employer to separate an employee from the organization permanently
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The Personal Information Protection and Electronic Documents Act (PIPEDA)
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A federal law that deals with the collection, use, and disclosure of personal information
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Third country nationals
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Employees who are natives of a country other than the home country or the host country
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Time-to-fill metric
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The number of days from when a job opening is approved to the date the candidate is selected
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Total quality management (TQM)
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A control system that involves setting standards, measuring the firm's performance against those standards, and identifying opportunities for continuous improvement
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Trainee motivation
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Making employees understand the link between the efforts they put into training and the payoff
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Trainee readiness
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Refers to whether or not the experience of trainees has made them receptive to the training that they will receive
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Training
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Any effort initiated by an organization to foster learning among it’s' members, which tends to be more narrowly focused and oriented toward short-term performance concerns
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Trait approach
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Designed to measure the extent to which employee possesses certain characteristics - such as dependability, creativity, initiative, and leadership - that are viewed as important for the job and the organization in general
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Transfer of training
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Effective application of principles learned to what is required on the job
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Transfer
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Placement of the individual in another job for which the duties, responsibilities, status, and remuneration are approximately equal to those of the previous job
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Transnational Corporation
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A firm that attempts to balance local responsiveness and global scale via a network of specialized operating units
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Transnational teams
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Teams composed of members of multiple nationalities working on projects that span multiple countries
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Trend Analysis
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A quantitative approach to forecasting labor demand based on an organizational index, such a sale
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Underutilization
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Term applied to designate groups that are not utilized to represent in the employer's workforce proportional to their numbers in the labor market
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Unfair labor practices (ULPs)
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Specific employer and Union illegal practices that deny employees their rights and benefits under federal and provincial labour law
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Union (shop) steward
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Employee who as a nonpaid union official represents the interests of members in their relations with management
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Union shop
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Provision of the collective agreement that requires employees to join the union as a condition of their employment
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Validity
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The degree to which a test or selection procedure measures a person's attributes
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Value Creation
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What the firm adds to a product or service by virtue of making it; the amount of benefits provided by the product or service once the costs of making it are subtracted
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Values-Based Hiring
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Process of outlining the behaviors that exemplify a firm's corporate culture and then hiring people who are fit for them
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Variable pay
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Tying pay to some measure of individual, group, or organizational performance
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Verbal learners
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Individuals who absorb information best through spoken or written works
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Vertical Fit (or Alignment)
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Focuses on the connection between the business objectives and the major initiatives in HR
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Vesting
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A guarantee of accrued benefits to participants at retirement age, regardless of their employment status at the time
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Video resumes
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Short video clips that highlight applicants' qualifications beyond what they can communicate on their resume
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Virtual office
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A variant of telecommuting where employees are in the field helping customers or are stationed at other remote locations working as if they were in the home-office
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Virtual team
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A team with widely dispersed members linked together through computer and telecommunications technology; extensive attention must be given to training team members has the move through the four stages of team development: forming, storming, forming, and performing
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Visual learners
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Individuals who absorb information best through pictures, diagrams, and demonstrations
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Wage and salary survey
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A survey of the wages paid to employees of other employers in the serving organizations relevant labor market
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Wage curve
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A curve in the scattergram representing the relationship between the relative worth of jobs and wage rates
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Wage rate compression
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Compression of differentials between job classes, particularly the differential between hourly workers and their managers
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Weighted application blank (WAB)
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The use of a common standardized employment application that is designed to distinguish between successful and unsuccessful employees
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Work permit or Visa
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A government document granting a foreign individual the right to seek employment
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Work valuation
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A job evaluation system that seeks to measure a job's worth through its value to the organization
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Work/job sample tests
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Tests that require the applicant to perform tasks that are actually part of the work required on the job
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Workers' Compensation insurance
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Insurance provided to workers to defray the loss of income and cost of treatment resulting from work-related injuries or illness
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Workplace emergency
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An unforeseen situation that threatens employees, customers, or the public; disrupts or shuts down operations; or causes physical or environmental damages
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Wrongful dismissal
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A lawsuit filed in the court by an employee alleging that he or she was dismissed without proper contractual or reasonable notice
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Yield ratio
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The percentage of applicants from a recruitment source that make it to the next stage of the selection process
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Alternate work arrangements
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Nontraditional schedules that provide flexibility to employees.
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Balanced scorecard
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A framework used to report a diverse set of performance measures.
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Benchmarking
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Comparing the business results to industry standards.
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Due diligence
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A comprehensive assessment of all aspects of the business being acquired.
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Effectiveness
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The ability to produce a specific desired effect or result that can be measured.
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Efficiency
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The degree to which operations are done in an economical manner.
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Environmental scanning
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The assessment of external and internal environmental conditions that affect the organization.
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Forecasting
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Using information from the past and the present to identify expected future conditions.
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HR analytics
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An evidence-based approach to making HR decisions on the basis of quantitative tools and models.
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HR audit
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A formal research effort to assess the current state of HR practices.
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HR metrics
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Specific measures of HR performance indicators.
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Human capital returnon investment (HCROI)
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Directly shows the operating profit derived from investments in human capital.
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Human capital valueadded (HCVA)
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Calculated by subtracting all operating expenses except for labor expenses from revenue and dividing by the total full-time head count.
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Human economicvalue added (HEVA)
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Wealth created per employee
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Human Resource planning
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The process of analyzing and identifying the need for and availability of people so that the organization can meet its strategic objectives.
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Multinationa lcorporation (MNC)
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A corporation that has facilities and other assets in at least one country other than its home country.
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Offshoring
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The relocation of a business process or operation by a company from one country to another.
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Organizational mission
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The core reason for the existence of the organization and what makes it unique.
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Outsourcing
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Transferring the management and performance of a business function to an external service provider.
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Return on investment (ROI)
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Calculation showing the value of an investment.
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Severance benefits
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Temporary payments made to laid-off employees to ease the financial burden of unemployment.
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Strategic HR management
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Entails providing input into organizational strategic planning and appropriate use of HR management practices to gain competitive advantage.
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Strategic Planning
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The process of defining organizational strategy and allocating resources toward its achievement.
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Strategy
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A plan an organization follows for how to compete successfully, survive, and grow.
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Succession planning
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The process of identifying a plan for the orderly replacement of key employees.
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Affirmative action
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Proactive employment practices to make up for historical discrimination against women and minorities.
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Affirmative action program (AAP)
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A document reporting on the composition of an employer’s workforce, required for federal contractors.
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Bonafide occupational qualification (BFOQ)
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Characteristic providing a legitimate reason why an employer can exclude persons on otherwise illegal bases of consideration.
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Burden of proof
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What individuals who file suit against employers must prove to establish that illegal discrimination has occurred.
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Business necessity
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A practice necessary for safe and efficient organizational operations.
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Disabled person
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Someone who has a physical or mental impairment that substantially limits life activities, who has a record of such an impairment, or who is regarded as having such an impairment.
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Disparate impact
|
Occurs when members of a protected category are substantially underrepresented as a result of employment decisions that work to their disadvantage.
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Disparate treatment
|
Occurs when members of a group are treated differently from others.
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Equal employment opportunity
|
Employment that is not affected by illegal discrimination.
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Essential job functions
|
Fundamental job duties.
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Glass ceiling
|
Discriminatory practices that have prevented women and minorities from advancing to executive-level jobs.
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Hostile environment
|
Sexual harassment in which an individual’s work performance or psychological well-being is unreasonably affected by intimidating or offensive working conditions.
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Islamaphobia
|
Hatred or fear of Muslims.
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Nepotism
|
Practice of allowing relatives to work for the same employer.
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Pay equity
|
The idea that pay for jobs requiring comparable levels of knowledge, skill, and ability should be similar, even if actual duties differ significantly.
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Phased retirement
|
Approach in which employees gradually reduce their workloads and pay level.
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Protected characteristic
|
An attribute about an individual that is protected under EEO laws and regulations.
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Quid pro quo
|
Sexual harassment in which employment outcomes are linked to the individual granting sexual favors.
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Reasonable accommodation
|
A modification to a job or work environment that gives a qualified individual an equal employment opportunity to perform.
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Retaliation
|
Punitive actions taken by employers against individuals who exercise their legal rights.
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Sexual harassment
|
Actions that are sexually directed, are unwanted, and subject the worker to adverse employment conditions or create a hostile work environment.
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Status blind
|
A concept that emphasizes that differences among people should be ignored and everyone should be treated equally.
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Undue hardship
|
Significant difficulty or expense imposed on an employer in making an accommodation for individuals with disabilities.
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Autonomy
|
Extent of individual freedom and discretion in the work and its scheduling.
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Competencies
|
Individual capabilities that can be linked to enhanced performance by individuals or teams.
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Compressed workweek
|
A workweek in which a full week’s work is accomplished in fewer than five 8-hour days.
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Contingent worker
|
Someone who is not an employee, but a temporary or part-time worker for a specific period of time and type of work.
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Duty
|
Work segment composed of several tasks that are performed by an individual.
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Feedback
|
The amount of information employees receive about how well or how poorly they have performed.
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Job
|
Grouping of tasks, duties, and responsibilities that constitutes the total work assignment for an employee.
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Job analysis
|
Systematic way of gathering and analyzing information about the content, context, and human requirements of jobs.
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Job description
|
Identification of the tasks, duties, and responsibilities of a job.
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Job design
|
Organizing tasks, duties, responsibilities, and other elements into a productive unit of work.
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Job enlargement
|
Broadening the scope of a job by expanding the number of different tasks to be performed.
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Job enrichment
|
Increasing the depth of a job by adding responsibility for planning, organizing, controlling, or evaluating the job.
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Job redesign
|
Taking an existing job and changing it to improve it.
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Job rotation
|
Process of shifting a person from job to job.
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Job sharing
|
Scheduling arrangement in which two employees perform the work of one full-time job.
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Job specifications
|
The knowledge, skills, and abilities (KSAs) an individual needs to perform a job satisfactorily.
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Labor force participation rate
|
The percentage of the population working or seeking work.
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Marginal job functions
|
Duties that are part of a job but are incidental or ancillary to the purpose and nature of the job.
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Performance standards
|
Indicators of what the job accomplishes and how performance is measured in key areas of the job description.
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Person–job fit
|
Matching characteristics of people with characteristics of jobs.
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Responsibilities
|
Obligations to perform certain tasks and duties.
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Self-directed team
|
Organizational team composed of individuals who are assigned a cluster of tasks, duties, and responsibilities to be accomplished.
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Skill variety
|
Extent to which the work requires several activities for successful completion.
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Special-purpose team
|
Organizational team formed to address specific problems, improve work processes, and enhance the overall quality of products and services.
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Task
|
Distinct, identifiable work activity composed of motions.
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Task identity
|
Extent to which the job includes a “whole” identifiable unit of work that is carried out from start to finish and that results in a visible outcome.
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Task significance
|
Impact the job has on other people.
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Virtual team
|
Organizational team includes individuals who are separated geographically but who are linked by communications technology.
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Work
|
Effort directed toward accomplishing results.
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Work–life balance
|
Employer-sponsored programs designed to help employees balance work and personal life.
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Workflow analysis
|
Study of the way work (inputs, activities, and outputs) moves through an organization.
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Absenteeism
|
Any failure by an employee to report for work as scheduled or to stay at work when scheduled.
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Attitude survey
|
A survey that focuses on employees’ feelings and beliefs about their jobs and the organization.
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Churn
|
Hiring new workers while laying off others.
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Employee engagement
|
The extent to which an employee’s thoughts and behaviors are focused on the employer’s success.
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Equity
|
The perceived fairness of what the person does compared with what the person receives.
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Exit interview
|
An interview in which individuals who are leaving an organization are asked to give their reasons.
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Job satisfaction
|
A positive emotional state resulting from evaluating one’s job experiences.
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Loyalty
|
Being faithful to an institution or employer.
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Motivation
|
The desire within a person causing that person to act.
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Organizational commitment
|
The degree to which employees believe in and accept organizational goals and desire to remain with the organization.
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Psychological contract
|
The unwritten expectations employees and employers have about the nature of their work relationships.
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Acceptance rate
|
Percent of applicants hired divided by total number of applicants offered jobs.
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Applicant pool
|
All persons who are actually evaluated for selection.
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Applicant population
|
A subset of the labor force population that is available for selection using a particular recruiting approach.
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Employment brand
|
Image of the organization that is held by both employees and outsiders.
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Headhunters
|
Employment agencies that focus their efforts on executive, managerial, and professional positions.
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Job posting
|
System in which the employer provides notices of job openings and employees respond by applying for specific openings.
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Labor force population
|
All individuals who are available for selection if all possible recruitment strategies are used.
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Labor markets
|
The supply pool from which employers attract employees.
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Recruiting
|
Process of generating a pool of qualified applicants for organizational jobs.
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Rerecruiting
|
Seeking out former employees and recruiting them again to work for an organization.
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Selection rate
|
Percentage hired from a given group of candidates.
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|
Yield ratio
|
Comparison of the number of applicants at one stage of the recruiting process with the number at the next stage.
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|
|
Attraction selection-attrition(ASA) theory
|
Job candidates are attracted to and selected by firms where similar types of individuals are employed and individuals who are different quit their jobs to work elsewhere.
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|
Behavioral interview
|
Interview in which applicants give specific examples of how they have performed a certain task or handled a problem in the past.
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|
|
Cognitive ability tests
|
Tests that measure an individual’s thinking, memory, reasoning, verbal, and mathematical abilities.
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Concurrent validity
|
Measured when an employer tests current employees and correlates the scores with their performance ratings.
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Correlation coefficient
|
Index number that gives the relationship between a predictor variable and a criterion variable.
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|
Negligent hiring
|
Occurs when an employer fails to check an employee’s background and the employee injures someone on the job.
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Negligent retention
|
Occurs when an employer becomes aware that an employee may be unfit for work but continues to employ the person, and the person injures someone.
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Nondirective interview
|
Interview that uses questions developed from the answers to previous questions.
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Panel interview
|
Interview in which several interviewers meet with candidate at the same time.
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Person/job fit
|
Matching the KSAs of individuals with the characteristics of jobs.
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|
Person/organization fit
|
The congruence between individuals and organizational factors.
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|
Physical ability tests
|
Tests that measure an individual’s abilities such as strength, endurance, and muscular movement.
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Placement
|
Fitting a person to the right job.
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Predictive validity
|
Measured when test results of applicants are compared with subsequent job performance.
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Predictors of selection criteria
|
Measurable or visible indicators of selection criteria.
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|
Psychomotor tests
|
Tests that measure dexterity, hand–eye coordination, arm–hand steadiness, and other factors.
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Realistic job preview
|
Process through which a job applicant receives an accurate picture of a job.
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Selection
|
The process of choosing individuals with the correct qualifications needed to fill jobs in an organization.
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|
Selection criterion
|
Characteristic that a person must possess to successfully perform work.
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|
|
Situational interview
|
Structured interview that contains questions about how applicants might handle specific job situations.
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|
Situational judgment tests
|
Tests that measure a person’s judgment in work settings.
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|
Stress interview
|
Interview designed to create anxiety and put pressure on applicants to see how they respond.
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|
Structured interview
|
Interview that uses a set of prepared, job-related questions that are asked of all applicants.
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Team interview
|
Interview in which applicants are interviewed by the team members with whom they will work.
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|
Work sample tests
|
Tests that require an applicant to perform a simulated task that is a specified part of the target job.
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|
|
Active practice
|
Performance of job-related tasks and duties by trainees during training.
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|
|
Adult learning
|
Ways in which adults learn differently than younger people.
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|
Behavioral modeling
|
Copying someone else’s behavior.
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|
|
Blended learning
|
Learning approach that combines methods, such as short, fast-paced, interactive computerbased lessons and teleconferencing with traditional classroom instruction and simulation.
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|
|
Cost–Benefit Analysis
|
Comparison of costs and benefits associated with training.
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|
|
Cross training
|
Training people to do more than one job.
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|
Games
|
Exercises that entertain and engage.
|
|
|
Immediate confirmation
|
Based on the idea that people learn best if reinforcement and feedback are given as soon as possible after training.
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|
|
Informal training
|
Training that occurs through interactions and feedback among employees.
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|
|
Knowledge management
|
The way an organization identifies and leverages knowledge to be competitive.
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|
|
Massed practice
|
Practice performed all at once.
|
|
|
On-the-job training
|
The most common training because it is flexible and relevant.
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|
|
Orientation
|
Planned introduction of new employees to their jobs, coworkers, and the organization.
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|
Reinforcement
|
Based on the idea that people tend to repeat responses that give them some type of positive reward and to avoid actions associated with negative consequences.
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|
|
Self-efficacy
|
People’s belief that they can successfully learn the training program content.
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|
|
Simulations
|
Reproduce parts of the real world so they can be experienced, manipulated, and learning can occur.
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|
|
Spaced practice
|
Practice performed in several sessions spaced over a period of hours or days.
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|
|
Training
|
Process whereby people acquire capabilities to perform jobs.
|
|
|
Assessment centers
|
Collections of instruments and exercises designed to diagnose individuals’ development needs.
|
|
|
Career
|
Series of work-related positions a person occupies throughout life.
|
|
|
Career paths
|
Represent employees’ movements through opportunities over time.
|
|
|
Coaching
|
Observation with suggestion.
|
|
|
Development
|
Efforts to improve employees’ abilities to handle a variety of assignments and to cultivate employees’ capabilities beyond those required by the current job.
|
|
|
Dual-career ladder
|
System that allows a person to advance up either a management or a technical/professional ladder.
|
|
|
Glass ceiling
|
Situation in which women fail to progress into top and senior management positions.
|
|
|
High-pos
|
Individuals who show high promise for advancement in the organization.
|
|
|
Individual-centered career planning
|
Career planning that focuses on an individual’s responsibility for a career rather than on organizational needs.
|
|
|
Job rotation
|
Process of moving a person from job to job.
|
|
|
Make-or-buy
|
Develop competitive Human Resources or hire individuals who are already developed from somewhere else.
|
|
|
Management mentoring
|
A relationship in which experienced managers aid individuals in the earlier stages of their careers.
|
|
|
Organization-centered career planning
|
Career planning that focuses on identifying career paths that provide for the logical progression of people between jobs in an organization.
|
|
|
Repatriation
|
Planning, training, and reassignment of global employees back to their home countries.
|
|
|
Sabbatical
|
Time off the job to develop and rejuvenate oneself.
|
|
|
Strategic talent management
|
The process of identifying the most important jobs in a company that provide a long-term competitive advantage, and then creating appropriate HR policies to develop employees so that they can effectively work in these jobs.
|
|
|
Succession planning
|
Preparing for the inevitable movements of personnel that creates holes in the hierarchy that need to be filled by other qualified individuals.
|
|
|
Behaviorally Anchored Rating Scale
|
Scales describe specific examples of job behavior, which are then measured against a performance scale.
|
|
|
Central tendency error
|
Occurs when a rater gives all employees a score within a narrow range in the middle of the scale.
|
|
|
Contrast error
|
Tendency to rate people relative to others rather than against performance standards.
|
|
|
Forced distribution
|
Performance appraisal method in which ratings of employees’ performance levels are distributed along a bell-shaped curve.
|
|
|
Graphic rating scale
|
Scale that allows the rater to mark an employee’s performance on a continuum.
|
|
|
Halo effect
|
Occurs when a rater scores an employee high on all job criteria because of performance in one area.
|
|
|
Horns effect
|
Occurs when a low rating on one characteristic leads to an overall low rating.
|
|
|
Job duties
|
Identify the important elements in a given job.
|
|
|
Leniency error
|
Occurs when ratings of all employees fall at the high end of the scale.
|
|
|
Management by objectives (MBO)
|
Performance appraisal method that specifies the performance goals that an individual and manager identify together.
|
|
|
Performance appraisal
|
Process of determining how well employees do their jobs relative to a standard and communicating that information to them.
|
|
|
Performance management
|
Series of activities designed to ensure that the organization gets the performance it needs from its employees.
|
|
|
Performance standards
|
Define the expected levels of employee performance.
|
|
|
Primacy effect
|
Occurs when a rater gives greater weight to information received first when appraising an individual’s performance.
|
|
|
Ranking
|
Performance appraisal method in which all employees are listed from highest to lowest in performance.
|
|
|
Rater bias
|
Occurs when a rater’s values or prejudices distort the rating.
|
|
|
Recency effect
|
Occurs when a rater gives greater weight to recent events when appraising an individual’s performance.
|
|
|
Strictness error
|
Occurs when ratings of all employees fall at the low end of the scale.
|
|
|
Base pay
|
Basic compensation that an employee receives, usually as a wage or salary.
|
|
|
Benchmark jobs
|
Jobs found in many organizations that can be used for the purposes of comparison.
|
|
|
Benefit
|
Indirect reward given to an employee or group of employees as part of membership in the organization.
|
|
|
Broadbanding
|
Practice of using fewer pay grades with much broader ranges than in traditional compensation systems.
|
|
|
Compa-ratio
|
Pay level divided by the midpoint of the pay range.
|
|
|
Compensable factor
|
Job value commonly present throughout a group of jobs within an organization.
|
|
|
Competency-based pay
|
Rewards individuals for the capabilities they demonstrate and acquire.
|
|
|
Distributive justice
|
Perceived fairness in the distribution of outcomes.
|
|
|
Entitlement philosophy
|
Assumes that individuals who have worked another year are entitled to pay increases, with little regard for performance differences.
|
|
|
Equity theory
|
Individuals judge fairness (equity) in compensation by comparing their inputs and outcomes against the inputs and outcomes of referent others.
|
|
|
Exempt employees
|
Employees who are not paid overtime.
|
|
|
Expectancy theory
|
An employee’s motivation is based on the probability that his or her efforts will lead to an expected level of performance that is linked to a valued reward.
|
|
|
Garnishment
|
A court order that directs an employer to set aside a portion of an employee’s wages to pay a debt owed to a creditor.
|
|
|
Green-circled employee
|
Incumbent who is paid below the range set for a job.
|
|
|
Home-country-based approach
|
Maintain an expatriate’s standard of living in the home country.
|
|
|
Host-country-based approach
|
Compensate the expatriate at the same level as workers from the host country.
|
|
|
Intangible rewards
|
Elements of compensation that cannot be as easily measured or calculated.
|
|
|
Job evaluation
|
Formal, systematic means to identify the relative worth of jobs within an organization.
|
|
|
Lump-sum increase (LSI)
|
One-time payment of all or part of a yearly pay increase.
|
|
|
Market banding
|
Grouping jobs into pay grades based on similar market survey amounts.
|
|
|
Market line
|
Graph line that shows the relationship between job value as determined by job evaluation points and job value as determined pay survey rates.
|
|
|
Market pricing
|
Use of market pay data to identify the relative value of jobs based on what other employers pay for similar jobs.
|
|
|
Nonexempt employees
|
Employees who must be paid overtime.
|
|
|
Offshoring
|
Moving jobs to lowerwage countries.
|
|
|
Pay compression
|
Occurs when the pay differences among individuals with different levels of experience and performance become small.
|
|
|
Pay grades
|
Groupings of individual jobs having approximately the same job worth.
|
|
|
Pay survey
|
Collection of data on compensation rates for workers performing similar jobs in other organizations.
|
|
|
Pay-for-performance philosophy
|
Assumes that compensation changes reflect performance differences.
|
|
|
Prevailing wage
|
An hourly wage determined by a formula that considers the rate paid for a job by a majority of the employers in the appropriate geographic area.
|
|
|
Procedural justice
|
Perceived fairness of the process and procedures used to make decisions about employees.
|
|
|
Red-circled employee
|
Incumbent who is paid above the range set for a job.
|
|
|
Salary
|
Consistent payments made each period regardless of the number of hours worked.
|
|
|
Seniority
|
Time spent in an organization or on a particular job.
|
|
|
Tangible rewards
|
Elements of compensation that can be quantitatively measured and compared between organizations.
|
|
|
Total rewards
|
Monetary and nonmonetary rewards provided by companies to attract, motivate, and retain employees.
|
|
|
Variable pay
|
Compensation linked directly to individual, team, or organizational performance.
|
|
|
Wages
|
Payments calculated directly from the amount of time worked by employees.
|
|
|
Bonus
|
One-time payment that does not become part of the employee’s base pay.
|
|
|
Commission
|
Compensation computed as a percentage of sales in units or dollars.
|
|
|
Compensation committee
|
Subgroup of the board of directors that is composed of directors who are not officers of the firm.
|
|
|
Draw
|
Amount advanced against, and repaid from, future commissions earned by the employee.
|
|
|
Employee stock ownership plan (ESOP)
|
Plan designed to give employees significant stock ownership in their employers.
|
|
|
Free rider
|
A free rider is a member of the group who contributes little.
|
|
|
Gainsharing
|
System of sharing with employees greater-than-expected gains in profits and/or productivity.
|
|
|
Golden parachute
|
Compensation given to an executive if he or she is forced to leave the organization.
|
|
|
Incentives
|
Tangible rewards that encourage or motivate action.
|
|
|
Perquisites (Perks)
|
Special benefits—usually noncash items—for executives.
|
|
|
Piece-rate system
|
Pay system in which wages are determined by multiplying the number of units produced by the piece rate for one unit.
|
|
|
Profit sharing
|
System to distribute a portion of the profits of an organization to employees.
|
|
|
Restricted stock option
|
Option that indicates that company stock shares will be paid as a grant of shares to individuals, usually linked to achieving specific performance criteria.
|
|
|
Salary-Plus-Commission
|
Combines the stability of a salary with a commission.
|
|
|
Stock option
|
Option that gives individuals the right to buy stock in a company, usually at an advantageous price.
|
|
|
Stock option plan
|
Plan that gives employees the right to purchase a fixed number of shares of company stock at a specified price for a limited period of time.
|
|
|
Variable pay
|
Compensation that is tied to performance.
|
|
|
01(k) plan
|
Agreement in which a percentage of an employee’s pay is withheld and invested in a tax-deferred account.
|
|
|
Adverse selection
|
Situation in which only higher-risk employees select and use certain benefits.
|
|
|
Auto-enrollment
|
Employee contributions to a 401(k) plan are started automatically when an employee is eligible to join the plan.
|
|
|
Benefit
|
An indirect reward given to an employee or group of employees for organizational membership.
|
|
|
Cafeteria benefit plan
|
Employees are given a budget and can purchase the bundle of benefits most important to them from the “menu” of options offered by the employer.
|
|
|
Cash balance plan
|
Retirement program in which benefits are determined on the basis of accumulation of annual company contributions plus interest credited each year.
|
|
|
Consumer-driven health (CDH) plan
|
Health plan that provides employer financial contributions to employees to help cover their health-related expenses.
|
|
|
Copayment
|
The portion of medical expenses paid by the insured individual.
|
|
|
Deductible
|
Money paid by an insured individual before a health plan pays for any medical expenses.
|
|
|
Defined benefit (DB) plan
|
Retirement program in which employees are promised a pension amount based on age and service.
|
|
|
Defined contribution (DC) plan
|
Retirement program in which the employer makes an annual payment to an employee’s pension account.
|
|
|
Exclusive remedy
|
Workers’ compensation benefits are the only benefits injured workers may receive to compensate for a work-related injury.
|
|
|
Flexible benefits plan
|
Program that allows employees to select the benefits they prefer from groups of benefits established by the employer.
|
|
|
Gross-up
|
To increase the net amount of what the employee receives to include the taxes owed on the amount.
|
|
|
Managed care
|
Approaches that monitor and reduce medical costs through restrictions and market system alternatives.
|
|
|
No-fault insurance
|
Injured workers receive benefits even if the accident was their fault.
|
|
|
Open enrollment
|
A time when employees can change their participation level in various benefit plans and switch between benefit options.
|
|
|
Paid-time-off (PTO) plan
|
Plan that combines all sick leave, vacation time, and holidays into a total number of hours or days that employees can take off with pay.
|
|
|
Portability
|
A pension plan feature that allows employees to move their pension benefits from one employer to another.
|
|
|
Qualifying event
|
An event that causes a plan participant to lose group health benefits.
|
|
|
Retirement plan
|
Retirement program established and funded by the employer and employees.
|
|
|
Self-service
|
Technology that allows employees to change their benefits choices, track their benefits balances, and submit questions to HR staff members and external benefits providers.
|
|
|
Serious health condition
|
Health condition requiring in-patient, hospital, hospice, or residential medical care or continuing physician care.
|
|
|
Third-party administrator (TPA)
|
A vendor that provides administrative services to an organization.
|
|
|
Three-legged stool
|
A model showing the three sources of income to fund an employee’s retirement.
|
|
|
Vesting
|
Right of employees to receive certain benefits from their pension plans.
|
|
|
Workers’ compensation
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Security benefits provided to workers who are injured on the job.
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Cumulative trauma disorders (CTDs)
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Muscle and skeletal injuries that occur when workers repetitively use the same muscles to perform tasks.
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Employee assistance program (EAP)
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Program that provides counseling and other help to employees having emotional, physical, or other personal problems.
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Ergonomics
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Study and design of the work environment to address physical demands placed on individuals.
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Health
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General state of physical, mental, and emotional well-being.
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Health promotion
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Supportive approach of facilitating and encouraging healthy actions and lifestyles among employees.
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Risk management
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Involves responsibilities to consider physical, human, and financial factors to protect organizational and individual interests.
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Safety
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Condition in which the physical well-being of people is protected.
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Security
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Protection of employees and organizational facilities.
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Security audit
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Comprehensive review of organizational security.
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Substance abuse
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Use of illicit substances or misuse of controlled substances, alcohol, or other drugs.
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Wellness programs
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Programs designed to maintain or improve employee health before problems arise.
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Workplace Incivility
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Rude behavior that offends other employees.
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Arbitration
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Process that uses a neutral third party to make a decision.
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Constructive discharge
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Process of deliberately making conditions intolerable to get an employee to quit.
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Contractual rights
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Rights based on a specific contract between an employer and an employee.
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Discharge
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When an employee is removed from a job at an employer.
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Discipline
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Form of training that enforces organizational rules.
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Distributive justice
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Perceived fairness in the distribution of outcomes.
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Due process
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Requirement that the employer use a fair process to determine employee wrongdoing and that the employee have an opportunity to explain and defend his or her actions.
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Employment contract
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Formal agreement that outlines the details of employment.
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Employment-at-will (EAW)
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A common-law doctrine stating that employers have the right to hire, fire, demote, or promote whomever they choose, unless there is a law or a contract to the contrary.
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Interactional justice
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Perceived fairness about how a person interacts with others.
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Just cause
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Reasonable justification for taking employment-related action.
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Noncompete agreements
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Agreements that prohibit individuals who leave an organization from working with an employer in the same line of business for a specified period of time.
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Ombuds
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Individuals outside the normal chain of command who act as problem solvers for both management and employees.
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Open-door policy
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A policy in which anyone with a complaint can talk with a manager, an HR representative, or an executive.
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Policies
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General guidelines that focus organizational actions.
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Procedural justice
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Perceived fairness of the processes used to make decisions about employees.
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Procedures
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Customary methods of handling activities.
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Responsibilities
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Obligations to perform certain tasks and duties.
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Right to privacy
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An individual’s freedom from unauthorized and unreasonable intrusion into personal affairs.
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Rights
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Powers, privileges, or interests derived from law, nature, or tradition.
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Rules
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Specific guidelines that regulate and restrict the behavior of individuals.
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Separation agreement
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Agreement in which a terminated employee agrees not to sue the employer in exchange for specified benefits.
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Statutory rights
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Rights based on laws or statutes passed by federal, state, or local governments.
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Whistle-blowers
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Individuals who report real or perceived wrongs committed by their employers.
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Wrongful discharge
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Termination of an individual’s employment for reasons that are illegal or improper.
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Arbitration
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Process that uses a neutral third party to make a decision.
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Bargaining unit
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Employees eligible to select a single union to represent and bargain collectively for them.
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Business agent
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A full-time union official who operates the union office and assists union members.
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Closed shop
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Firm that requires individuals to join a union before they can be hired.
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Codetermination
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Practice whereby union or worker representatives are given positions on a company’s board of directors.
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Collective bargaining
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Process whereby representatives of management and workers negotiate over wages, hours, and other terms and conditions of employment.
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Complaint
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Indication of employee dissatisfaction.
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Conciliation
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Process by which a third party assists union and management negotiators to reach a voluntary settlement.
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Craft union
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Union whose members do one type of work, often using specialized skills and training.
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Decertification
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Process whereby a union is removed as the representative of a group of employees.
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Federation
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Group of autonomous unions.
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Grievance
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Complaint formally stated in writing.
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Grievance arbitration
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Means by which a third party settles disputes arising from different interpretations of a labor contract.
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Grievance procedures
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Formal channels of communication used to resolve grievances.
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Illegal issues
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Collective bargaining issues that would require either party to take illegal action.
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Industrial union
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Union that includes many persons working in the same industry or company, regardless of jobs held.
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Lockout
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Shutdown of company operations undertaken by management to prevent union members from working.
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Management rights
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Rights reserved so that the employer can manage, direct, and control its business.
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Mandatory issues
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Collective bargaining issues identified specifically by labor laws or court decisions as subject to bargaining.
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Mediation
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Process by which a third party helps the negotiators reach a settlement.
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Open shop
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Firm in which workers are not required to join or pay dues to a union.
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Permissive issues
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Collective bargaining issues that are not mandatory and that relate to certain jobs.
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Ratification
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Process by which union members vote to accept the terms of a negotiated labor agreement.
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Right-to-work laws
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State laws that prohibit requiring employees to join unions as a condition of obtaining or continuing employment.
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Salting
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Practice in which unions hire and pay people to apply for jobs at certain companies to begin organizing efforts.
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Strike
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Work stoppage in which union members refuse to work in order to put pressure on an employer.
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Union
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Formal association of workers that promotes the interests of its members through collective action.
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Union authorization card
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Card signed by employees to designate a union as their collective bargaining agent.
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Union security provisions
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Contract clauses to help the union obtain and retain members.
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Union steward
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Employee elected to serve as the first-line representative of unionized workers.
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