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84 Cards in this Set

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Recruitment:


Define Recruitment

Seeking and attracting a pool of qualified applicants from which candidates for job vacancies can be selected.

Recruitment:


Define Employment Branding

Promoting an image of the company as a good employer, to create a favourable impression with potential applicants.

Recruitment:


Define Strategic Recruitment

Linking recruiting activities to the organisation's strategic business objectives and culture.

Recruitment:


Steps of Strategic Recruitment

1. Strategic business objectives


2. Human resource planning


3. Job analysis


4. a) Job description b) Job specification


5. Recruitment

Recruitment:


Recruitment Activities

- Determine & categorise long/short range HR needs


- Keep alert to changes in the labour market


- Develop appropriate recruitment advertisements/literature/methods to be used


- Record the no. & quantity of applicants from each recruiting source


- Follow-up on applicants and evaluate

Recruitment:


Stages of the Recruitment Process

1. Vacancy identified


2. Review of position


3. Update or develop position specification


4. Develop selection criteria


5. Advertising


6. Shortlisting

Recruitment:


Define Realistic Job Previews

A method of conveying job information to an applicant in an unbiased manner, including both positive and negative factors.

Recruitment:


Explain Employer Branding

Involves promoting an image of the company:


- competitive tool in the war for talent


- want to be employer of choice


- better able to attract & retain talent than comp.


- human wellbeing is at the centre of HRM



65% of companies are planning to increase or maintain their investment in employer branding initiative next year.

Recruitment:


Internal Recruitment Methods

1. Computerised record system: HR manager can quickly locate potential candidates with the organisation's workforce.



2. Job posting: used to inform employees about job vacancies.

Recruitment:


Advantages of Internal Recruiting

- Knowledge of candidates weak. & strengths


- Candidate knows the organisation


- Employee morale/motivation enhanced


- Return on investment in training/development


- Can generate succession of promotions


- Organisation needs only to hire at entry-level

Recruitment:


Disadvantages of Internal Recruiting

- May be promoted beyond competence level


- Infighting for promotion affects moral


- Inbreeding stifles creativity/innovation


- System can become bureaucratic


- Excellent T&D programs are necessary

Recruitment:


External Recruitment Methods

- International recruitment


- Advertising


- Employment agencies/consultants/search firms


- Outplacement firms


- University recruiting


- Employee referrals


- Professional associations


- Unsolicited applications


- Trade unions

Recruitment:


Advantages of External Recruiting

- Pool of talent is bigger


- New insights/skills introduced


- Cheaper/easier to hire from outside


- Not members of existing cliques

Recruitment:


Disadvantages of External Recruiting

- More difficult to attract/select new employees


- Adjustment & orientation needed


- Morale suffers amongst existing employees


- Performance is below required


- Personality does not suit company culture

Recruitment:


Define Vacancy Shelf Life

If a role goes unfilled for three months, people start to assume there's something wrong with it.

Recruitment:


How to create advertisements that enhance the image of the organisation

AIDA


Attention: attract attention


Interest: gain interest


Desire: appealing to personal needs/wants


Action: make clear the necessary action

Recruitment:


Define Web-Recruiting

- Via the internet (external)


- Via the intranet (internal)


- Social networking

Recruitment:


Evaluation of Recruiting

- Productivity


- Quality


- Costs


- Time


- Soft data

Selection:


Define Selection


The process of choosing the best qualified candidate/s from a group of applicants.

Selection:


Define Strategic Selection

Linking of selection activities to organisation's strategic business objectives and culture.

Selection:


Define Selection Criteria

Key factors in making a decision to hire or not to hire a person. May include qualifications, experience, special skills, abilities or aptitudes. They should be job-related.

Selection:


Selection Policy

- Equal employment opportunity (EEO)


- Quality of people


- Source of people


- Management roles


- Selection techniques


- Employment consultants


- Industrial relations


- Legal issues


- Organisational strategic business objectives


- Costs

Selection:


Candidate Fit

- Cultural fit (will fit in)


- Qualification fit (can do the job)


- Motivational fit (will do the job)


- Ability fit (can do the job)


- Experience fit (can do the job)

Selection:


Benefits of good selection for the organisation

- Higher productivity


- Lower labour turnover


- High morale & motivation


- Lower incident rates


- Reduced absenteeism


- Less industrial conflict


- Better organisational performance

Selection:


Benefits of good selection for the manager

- Can delegate more


- Able to concentrate on strategic aspects


- Able to focus on rewards

Selection:


Define Validity

The ability of a test or other research technique to measure what it sets out to measure.

Selection:


Define the Correlation Coefficient

- Positive, negative, high and low


- Typical range 0.20 - 0.50


- 1.0 is a perfect score


- 0 is no relationship

Selection:


Approaches

1. Concurrent validity


2. Predictive validity

Selection:


Concurrent Validity

Concurrent validity is identifying a criterion predictor and giving it to a group of existing employees and correlating their scores with their job performance. If an acceptable correlation exists, the criterion predictor can be used in the selection of new employees.


- regarded as convenient and efficient


- may not be representative - challenge from EEO authorities

Selection:


Predictive Validity

The criterion predictor is administered to all applicants, but the test scores are ignored when making the selection decision. After a specified period of time, the results are reviewed and correlated with a criterion such as job performance. If the validity coefficient is satisfactory, the predictor can be used in the selection process in the future.


- Most scientific


- Time-consuming


- Expensive


- Increased risk of incompetent personnel being hired

Selection:


Define Reliability

The extent to which a measure (for example a test) is consistent and dependable.

Selection:


Types of Reliability

1. Test-retest


2. Split halves


3. Parallel forms

Selection:


Steps in the Selection Process

1. Reception of applicants


2. Preliminary interview


3. Application form


4. Tests


5. Interview


6. Background investigations


7. Preliminary screening by the human resource department


8. First selection by line managers


9. Medical examination


10. Placement on the job

Selection:


Application Forms & EEO Requirements

Do not include:


- Marital status


- Residency status


- Ethnic origin


- Organisations


- Photographs


- Race or colour


- Relatives

Selection:


Selection Tests

- Interest: compares interest patterns to those of successful employees


- Employment: assess the match between the applicant & the job requirements


- Aptitude: special abilities (clerical, linguistic)


- Intelligence: IQ


- Physical: physical characteristics


- Personality: Measures personality/temperam.

Selection:


Type of Interviews

- Unstructured


- Structured


- Behavioural


- Panel


- Group


- Computer screening


- Video interviewing


- Assessment centres


- Polygraph


- Honesty test


- Graphology

Selection:


Assessment Centre

- In-basket exercises


- Group discussions


- Psychological tests


- Interviews


- Business games

Selection:


How to Interview Successfully

1. Know the job


2. Know the personal characteristics, skills, qualifications


3. Set specific objective


4. Provide the proper setting for the interview


5. Review the applicant form or resume


6. Beware of prejudices


7. Don't make snap decisions


8. Put the applicant at ease


9. Watch the body language


10. Encourage the applicant to talk a lot


11. Keep control of the interview


12. Explain the job


13. Close the interview


14. Write up the interview


15. Check references


16. Evaluate the interview process

Selection:


Behavioural Interviewing

- Past behaviour is a predictor of future


- Predicts more accurately how a candidate will behave in the position


- The aim is to match up the right attributes to the requirements of the job

Selection:


Approaches to the Selection Decision

1. Compensatory: manager considers all predictor information at the end.



2. Successive hurdle: manager considers each predictor at each successive stage.

Training & Development


The Need for Human Resource Development

- Business & economic changes


- Technological changes


- Organisational changes


- Social, legal and other changes

Training & Development


Principles of Learning

- Motivation


- Delivery


- Relevance


- Application


- Feedback


- Reinforcement


- Culture

Training & Development


Significance of Training & Development

- Skills shortages & gaps


- Rapidly changing environment


- Positive effects on business performance


- HR outcomes


- Organisational performance

Training & Development


A Systematic Approach

1. Assessment


2. Activity


3. Evaluation

Training & Development


A Systematic Approach: Assessment

Identify training needs


- Organisational variables


- Task variables


- Person variables



Establish training objectives

Training & Development


A Systematic Approach: Activity

Select and design programs


- location


- timing


- presenters



Conduct program

Training & Development


A Systematic Approach: Evaluation

Develop evaluation criteria


- Reaction


- Learning


- Behaviour


- Results



Evaluate outcomes against criteria

Training & Development


Methods of Training

- classroom


- simulation


- management


- on-the-job


- action learning

Training & Development


Competency-Based Learning

1. Profile the capabilities required


- identify competencies needed


- rank the importance


-evaluate the job-holder against competencies


- identify strengths & areas of remedial attention


2. Select training programs or other learning events that can develop the desired skills


3. Produce a personal training plan for each employee


4. Assess each competency in turn

Training & Development


Measures of Training Effectiveness

- Reactions


- Learning


- Behaviour


- Results

Training & Development


Core Concepts in Learning

- Relevance


- Transfer of training


- Knowledge of results


- Distribution of learning


- Whole versus part learning


- Practice and learning


- Activity versus passivity


- Learning styles

Training & Development


Learner-Centred Learning

- The need to know


- The need to be self-directing


- Greater volume and quality of experiences


- Readiness to learn


- Orientation to learning

Training & Development


Training Needs Analysis

What is the organisational context for T&D?


- Consider goals, resource, environment


- Helps determine T&D priorities


What needs to be taught?


- Determine skills/knowledge necessary


- Links back to job analysis


- Determine content/suitable methods


Who needs training? Why?


- Gaps between skills required & those available


- Links back to performance review


Training & Development


On-the-Job Training

Instruction by colleague or supervisor


Benefits


- hands on experience


- relationship-building


- cost and logistics


Common problems


- lack of structure


- deficiencies in instructor skills


- wastage or customer dissatisfaction

Training & Development


Off-the-Job Training

Benefits


- economical


- forum for exchange


- immediate feedback


Criticisms


- passive


- disconnect between theory & practice


- generic

Training & Development


Off-the-Job Learning: E-Learning

Benefits


- Flexibility


- Self-paced


- Consistency



Criticisms


- Cost


- Unsuited to certain content

Training & Development


Evaluation

- Determine effectiveness of T&D


- Demonstrate contribution of HR to organisation


- Learning: acquisition of skill or knowledge


- Behaviour: change in attitude/job behaviour


- Results: Sales, productivity, absenteeism


- Basic principles: Pre/post test, Control groups

Reward Management


Define Remuneration

What employees receive in exchange for their work. Includes pay and benefits (total remuneration) or just pay (cash remuneration).

Reward Management


Define Strategic Remuneration

Involves remuneration practices being aligned with the achievement of the organisation's strategic business objective

Reward Management


Financial Rewards

Direct


- Base pay


- Incentive pay


- bonuses


- commissions


- Allowances


- overtime


- shiftwork



Indirect


- Insurance


- Superannuation


- Medical and healthcare


- Childcare


- Employee assistance


- Flexible work schedule


- Holidays

Reward Management


Non-Financial Rewards

Job


-Interesting work


- Challenge


- Responsibility


- Recognition


- Advancement


- Performance feedback



Environment


- Good HR practices/policies


- Competent supervision


- Congenial colleagues


- Safe/healthy work environment


- Fair treatment


- Opportunities for learning & development


- Open communication


- Career security

Reward Management


Remuneration Policy

A policy should:


- reflect the organisation's strategic business objectives and culture


- articulate the objectives that the organisation wants to achieve


- be communicated to all employees


- provide the foundation for designing and implementing remuneration & benefit programs

Reward Management


Remuneration Program Objectives: Organisation

- Attract and keep desired quality/mix of employ.


- Ensure equitable treatment


- Motivate employees to improve


- Reinforce key values & desired culture


- Drive/reinforce desires employee behaviour


- Ensure remuneration is maintained at level


- Control remuneration costs


- Ensure optimum value for each dollar spent


- Comply with legal requirements

Reward Management


Remuneration Program Objectives: Employee

- Ensure suitable treatment


- Accurately measure and appropriately reward performance & contribution to the achievement of the organisation's SBOs


- Provide appropriate remuneration changes based on performance, promotion, transfer or changing conditions


- Provide regular remuneration reviews

Reward Management


What should a good reward system do?

- attract


- retain


- motivate


- develop


- satisfy needs


- be fair


- be legal


- be affordable


- strategically aligned

Reward Management


CEO Pay Components

1. Base pay


2. Benefits


3. Short term incentives


4. Long term incentives


5. Termination & post-employment benefits

Reward Management


Gender

- Gender stereotypes


- Implicit leadership theories


- Gender differences in risk-taking


- Internal vs. external recruitment


- Bargaining power


- Performance related pay


- Outsider is risky

Reward Management


Types of Job Evaluation

1. Ranking


2. Job grading or classification


3. Point system


4. Factor comparison system

Reward Management


Which Job Evaluation System Should Be Used?

Should consider:


- Objectives


- Size of the organisation


- Organisational resources


- Plan users


- Corporate culture


- Employee attitudes

Reward Management


The Pay Survey

1. To establish appropriate pay level


2. Pay relationships among competitors


3. Control labour costs


4. Attract and retain employees


5. Information on pay mix

Reward Management


Benchmark Jobs

- Content, stable & well-known


- Stable supply & demand


- Represent the entire structure


- A sizeable proportion of the workforce is employed in these jobs

Reward Management


Market Pay Line

Company's benchmark jobs on horizontal axis with the market rates paid by competitors in the vertical axis



External Equity


- Occurs when the organisation's pay rates are at least equal to market rates



Internal Equity


- Occurs when people feel that performance or job differences result in corresponding differences in pay rates

Reward Management


Pay Grades

Pay Grades


- group different jobs that are the same for pay purposes


- enhance the organisation's ability to move people among jobs with no change in pay


- each pay grade will have a pay range


Reward Management


Pay Ranges

1. External pressures


- Quality variations


- Productivity variations


2. Internal pressures


- Recognition of individual performance


- Employee pay expectations

Reward Management


Skill-Based Pay

Advantages


- Fits the strategic business focus on core competencies


- Gives management greater flexibility


- Gives employees greater job security


- Allows for multi-tasking


- Better trained workforce



Disadvantages


- Increased pay & training costs


- Employees may become restless


- Could become to complex to administer


- Broad employees - decreased efficiency


- Employees may not want new skills


- Some companies now willing to discard traditional objectives

Reward Management


Reasons for Performance-Based Pay

- Employee motivation


- Clear performance expectations


- Attraction & retention


- Good corporate image

Reward Management


Reasons Against Performance-Based Pay

- Poor performance management system


- Rewarding counterproductive behaviour


- Rewards are not considered significant


- Managers are not accountable


- Extrinsic vs. intrinsic motivation


- Disproportionately large rewards for CEOs

International HRM


Define Multinational Companies

A means of coordinating production from one centre of strategic decision-making where this coordination takes a firm across national boundaries.

International HRM


Define Culture

A distinct way of life shared by members of a group or society with common values, attitudes and behaviours that are transmitted over time in gradual, yet dynamic process.

International HRM


Hofestede's Cultural Dimensions

Power distance


- Degree to which inequality accepted in society


Uncertainty avoidance


- Tolerance for uncertainty & ambiguity


Individualism/Collectivism


- Extent to which individuals are integrated into groups


Masculinity/Femininity


- Distribution of emotional roles


Time orientation


- LTO, STO

International HRM


Cross-Cultural Challenges

- Compatibility of management style


- High/low power distance


- Adjust style to situation


- Communication


- Low/high text cultures


- Ethics


- Labour & OHS standards


- Nepotism


- Bribery & corruption


- HR role in corporate governance


- Core set of values


- Training

International HRM


Expatriates

When:


- new venture


- development opportunity


- lack of local expertise


- HQ control


- short-term


- prevent local problems

International HRM


Managing International Assignment

- Selection choices are critical


- Predictors of expat success


- Minimise risk of culture shock


- Training & development


- Spouse and family


- Risk of 'corporate isolation'


- Performance management


- Clarify


- Consideration of local influences


- Compensation management


- Pay: traditionally balance sheet approach


- Increasingly localised compensation


- Repatriation


- Preparation/support


-Turnover risk


International HRM


Helpful Initiatives for Expatriation

- Tax assistance


- Career advice


- Networking opportunities


- Stress management counselling