ch13 Human Resource Management

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JOHN R. SCHERMERHORN, JR.

MANAGEMENT
12 Edition
th
Chapter 13
Human Resource
Management
©2013 John Wiley & Sons, Inc. All rights reserved. 13-1
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Planning Title —
Ahead Text Here 13 Study Questions
Chapter
1. What is human resource management?

2. How do organizations attract a quality
workforce?
3. How do organizations develop a quality
workforce?
4. How do organizations maintain a quality
workforce?
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Learning
1. Human Resource Management

1. Human resource management process
2. Strategic human resource management
3. Legal environment of human resource management
2. Attracting a Quality Workforce
1. Human resource planning
2. Recruiting techniques
3. Selection techniques
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Learning
3. Developing a Quality Workforce

1. Orientation and socialization
2. Training and development
3. Performance management
4. Maintaining a Quality Workforce
1. Flexibility and work-life balance
2. Compensation and benefits
3. Retention and turnover
4. Labor-management relations
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1: Human resource management
• Human capital is the economic value of people with

job-relevant knowledge, abilities, ideas, energies, an
commitments
• Human Resource Management is a process of
attracting, developing, and maintaining a talented
work force
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• Major human resource management

responsibilities:
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• Person-job fit
• The individual’s skills, interests, and personal
characteristics are consistent with the
requirements of work
• Person-organization fit
• The individual’s values, interests, and behavior
are consistent with the culture of the
organization
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• Strategic human resource management

mobilizes human capital to implement
organizational strategies
• Indicator that HRM is truly strategic: When it
is headed by a senior executive reporting
directly to the chief executive officer.
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Takeaway Text Here
• Equal employment opportunity

• The right to employment without regard to race,
color, national origin, religion, gender, age, or
disability status
• Title VII of the Civil Rights Act of 1964
• Equal Employment Opportunity Act of 1972
• Civil Rights Act (EEOA) of 1991
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• Affirmative action
• an effort to give preference in employment to
women and minority group members, who have
traditionally been underrepresented.
• Bona fide occupational qualifications
• employment criteria justified by capacity to
perform a job
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• Discrimination in employment
– Occurs when someone is denied a job or job
assignment for reasons that are not job relevant
Figure 13.1 A sample of U.S. laws against employment
discrimination
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Takeaway Text Here
• Current legal issues in HRM

– Sexual harassment
– Equal pay and comparable worth
– Legal status of independent contractors
– Workplace privacy
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Takeaway Text Herea Quality Workforce
2: Attracting
• Human resource planning analyzes an

organization’s staffing needs and determines
how to best fill them
Figure 13.2 Steps in strategic human resource planning
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2: Attracting
• The foundation of human resource planning

is job analysis
• the orderly study of job facets to determine what is done
when, where, how, why, and by whom.
• Job analysis provides information for
developing:
• Job descriptions
• Job specifications
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2: Attracting
• Recruitment
• Activities designed to attract a qualified pool of
job applicants to an organization
• Steps in the recruitment process:
• Advertisement of a job vacancy
• Preliminary contact with potential job candidates
• Initial screening to create a pool of qualified
applicants
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2: Attracting
Figure 13.3 Steps in the selection process: the case of a
rejected job applicant
Selection:
Choosing individuals to hire from a pool of qualified job
applicants
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2: Attracting
• Reliability means that a selection device

gives consistent results time after time
• Validity means that there is a clear
relationship between what the selection
device measures and job performance
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2: Attracting
• Interviews
• Unstructured interviews do not follow a formal
and pre-established of questions
• Behavioral interviews ask job applicants about
past behaviors that relate to the job
• Situational interviews ask job applicants how
they would react in specific situations
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2: Attracting
• Employment Tests
• Used to further screen applicants by gathering
additional job-relevant information
• Assessment centers examine how job candidates
handle simulated work situations
• Work sampling involves observing applicants
performing actual work tasks
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2: Attracting
• Employment Tests
• Biodata methods collect biographical information
that has been proven to correlate with good job
performance
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Takeaway Title Text Herea Quality Workforce
Developing
• Socialization
• a process of learning and adapting to the
organizational culture
• Orientation
• familiarizes new employees with jobs, coworkers,
and organizational policies and services
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Developing
• Training
• Activities that provide the opportunity to
acquire and improve job-related skills
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Developing
• Performance management systems

ensure that
• Performance standards and objectives are
set
• Performance results are assessed regularly
• Actions are taken to improve future
performance
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Developing
• Performance appraisal
• Formally assessing someone’s work
accomplishments and providing feedback
• Purposes of performance appraisal:
• Evaluation — lets people know where they stand
relative to objectives and standards
• Development — assists in training and continued
personal development of people
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Developing
• Graphic rating scales

– A trait-based performance appraisal that includes
checklists of traits or characteristics to evaluate
performance
– Relatively quick and easy to use
– Questionable reliability and validity
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Developing
• Behaviorally anchored rating scales (BARS)

• A behavior-based performance appraisal that
describes actual behaviors that exemplify various
levels of performance achievement in a job
• More reliable and valid than graphic rating scales
• Helpful in training people to master important
job skills
Figure 13.4 Sample behaviorally anchored rating scale for
performance appraisal
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Developing
Recency bias is the tendency for

evaluators to focus on recent
behaviors instead of behavior that
occurred throughout the evaluation
period
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Developing
• Critical-incident techniques
• Keeping a running log or inventory of
effective and ineffective behaviors
• Documents success or failure patterns
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Developing
• Results-based performance appraisals

focus on accomplishments
• Usually qualitative and objective
• Determining what to measure may be
difficult
• May create ethical problems
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Developing
• Leniency error:
• the tendency for supervisors to rate employees more
favorably than they deserve in order to avoid the
unpleasant task of giving negative feedback
• Multiperson comparisons
• Formally compare one person’s performance with that of
one or more others
• Types of multiperson comparisons:
• Rank ordering
• Forced distributions
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Developing
360° feedback
• Occurs when superiors, subordinates,
peers, and even internal and even
customers are involved in the appraisal of a
jobholder’s performance
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Takeaway Title Text Here a Quality Workforce
Maintaining
• Work-life balance
• How people balance career demands with
personal and family needs
• Progressive employers support a healthy
work-life balance
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Maintaining
Contemporary work-life balance issues:

• Single parent concerns
• Dual-career couples concerns
• Family-friendliness as screening
criterion used by candidates
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Maintaining
• Compensation and benefits

– Base compensation
• Salary or hourly wages
– Flexible benefits
• Employees can select a set of benefits within a
certain dollar amount
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Maintaining
Merit pay
• Awards a pay increase in proportion to
individual performance contributions
• Provides performance contingent
reinforcement
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Maintaining
• Bonus pay plans

• One-time payments based on the accomplishment of
specific performance targets or some extraordinary
contribution
• Profit-sharing plans
• Some or all employees receive a proportion of net profits
earned by the organization
• Gain-sharing plans
• Groups of employees share in any savings realized
through their efforts to reduce costs and increase
productivity
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Maintaining
• Employee stock ownership plans

• Employees purchase company stock directly
through employer, sometimes at a discount
• Stock options
• Employees have the right to purchase company
stock at a fixed price in the future as a
performance incentive
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Maintaining
Benefits
• Non-monetary forms of compensation
• Required
– Social security
– Unemployment insurance
– Worker’s compensation
• Not required
– Health insurance
– Retirement plans
– Paid time off
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Maintaining
• Flexible benefits
• Allow employees to choose from a set of benefits
• Family-friendly benefits
• Help in balancing work and nonwork
responsibilities
• Employee assistance programs
• Help employees deal with troublesome personal
problems
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Maintaining
• Early retirement
• Financial incentive offered to employees who retire
early
• Termination
• Involuntary dismissal of an employee
• Employment-at-will
• Employees can be terminated at any time for any
reason
• Wrongful discharge
• Workers have legal protection from discriminatory
firings
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Maintaining
Labor-management relations
• Labor unions deal with employers on the
workers’ behalf
• A labor contract is a formal agreement
between a union and an employer about
the terms of work for union members
• Collective bargaining
• Process of negotiating, administering and
interpreting a labor contract
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Maintaining

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Place Slide Title Text Here

JOHN R. SCHERMERHORN, JR.

1. What is human resource management?

1. Human Resource Management

3. Developing a Quality Workforce

• Human capital is the economic value of people with

• Major human resource management

• Strategic human resource management

• Equal employment opportunity

• Current legal issues in HRM

• Human resource planning analyzes an

• The foundation of human resource planning

• Reliability means that a selection device

• Performance management systems

• Graphic rating scales

• Behaviorally anchored rating scales (BARS)

Recency bias is the tendency for

• Results-based performance appraisals

Contemporary work-life balance issues:

• Compensation and benefits

• Bonus pay plans

• Employee stock ownership plans

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