Human Resource Management, Chapter 12

1. ninth edition ninth edition STEPHEN P. ROBBINS STEPHEN P. ROBBINS PowerPoint Presentation by Charlie Cook The University of West Alabama PowerPoint Presentation by Charlie Cook The University of West Alabama MARY COULTER MARY COULTER © 2007 Prentice Hall, Inc. All rights reserved. © 2007 Prentice Hall, Inc. All rights reserved. Human Resource Management Human Resource Management Chapter 12 Chapter 12

2. © 2007 Prentice Hall, Inc. All rights reserved. 12–2 L E A R N I N G O U T L I N E Follow this Learning Outline as you read and study this chapter. L E A R N I N G O U T L I N E Follow this Learning Outline as you read and study this chapter. Why Human Resources Is Important: The HRM Process Why Human Resources Is Important: The HRM Process • Explain how an organization’s human resources can be a significant source of competitive advantage. • Explain how an organization’s human resources can be a significant source of competitive advantage. • List eight activities necessary for staffing the organization and sustaining high employee performance. • List eight activities necessary for staffing the organization and sustaining high employee performance. • Discuss the environmental factors that most directly affect the HRM process. • Discuss the environmental factors that most directly affect the HRM process.

3. © 2007 Prentice Hall, Inc. All rights reserved. 12–3 L E A R N I N G O U T L I N E (cont’d) Follow this Learning Outline as you read and study this chapter. L E A R N I N G O U T L I N E (cont’d) Follow this Learning Outline as you read and study this chapter. Human Resource Planning; Recruitment/ Decruitment; Selection; Orientation; Training Human Resource Planning; Recruitment/ Decruitment; Selection; Orientation; Training • Contrast job analysis, job description, and job specification. • Contrast job analysis, job description, and job specification. • Discuss the major sources of potential job candidates. • Discuss the major sources of potential job candidates. • Describe the different selection devices and which work best for different jobs. • Describe the different selection devices and which work best for different jobs. • Tell what a realistic job preview is and why it’s important. • Tell what a realistic job preview is and why it’s important. • Explain why orientation is so important. • Explain why orientation is so important. • Describe the different types of training and how that training can be provided. • Describe the different types of training and how that training can be provided.

4. © 2007 Prentice Hall, Inc. All rights reserved. 12–4 L E A R N I N G O U T L I N E (cont’d) Follow this Learning Outline as you read and study this chapter. L E A R N I N G O U T L I N E (cont’d) Follow this Learning Outline as you read and study this chapter. Employee Performance Management; Compensation/Benefits; Career Development Employee Performance Management; Compensation/Benefits; Career Development • Describe the different performance appraisal methods. • Describe the different performance appraisal methods. • Discuss the factors that influence employee compensation and benefits. • Discuss the factors that influence employee compensation and benefits. • Describe skill-based and variable pay systems. • Describe skill-based and variable pay systems. • Describe career development for today’s employees. • Describe career development for today’s employees. Current Issues in Human Resource Management Current Issues in Human Resource Management • Explain how managers can manage downsizing. • Explain how managers can manage downsizing. • Discuss how managers can manage workforce diversity. • Discuss how managers can manage workforce diversity.

5. © 2007 Prentice Hall, Inc. All rights reserved. 12–5 L E A R N I N G O U T L I N E (cont’d) Follow this Learning Outline as you read and study this chapter. L E A R N I N G O U T L I N E (cont’d) Follow this Learning Outline as you read and study this chapter. Current Issues in Human Resource Management (cont’d) Current Issues in Human Resource Management (cont’d) • Explain what sexual harassment is and what managers need to know about it. • Explain what sexual harassment is and what managers need to know about it. • Describe how organizations are dealing with work-life balances. • Describe how organizations are dealing with work-life balances.

6. © 2007 Prentice Hall, Inc. All rights reserved. 12–6 The Importance of Human Resource Management (HRM) The Importance of Human Resource Management (HRM) • As a necessary part of the organizing function of management • As a necessary part of the organizing function of management  Selecting, training, and evaluating the work force  Selecting, training, and evaluating the work force • As an important strategic tool • As an important strategic tool  HRM helps establish an organization’s sustainable competitive advantage.  HRM helps establish an organization’s sustainable competitive advantage. • Adds value to the firm • Adds value to the firm  High performance work practices lead to both high individual and high organizational performance.  High performance work practices lead to both high individual and high organizational performance.

7. © 2007 Prentice Hall, Inc. All rights reserved. 12–7 Exhibit 12–1 Examples of High-Performance Work Practices Exhibit 12–1 Examples of High-Performance Work Practices • Self-managed teams • Self-managed teams • Decentralized decision making • Decentralized decision making • Training programs to develop knowledge, skills, and abilities • Training programs to develop knowledge, skills, and abilities • Flexible job assignments • Flexible job assignments • Open communication • Open communication • Performance-based compensation • Performance-based compensation • Staffing based on person–job and person– organization fit • Staffing based on person–job and person– organization fit Source: Based on W. R. Evans and W. D. Davis, “High-Performance Work Systems and Organizational Performance: The Mediating Role of Internal Social Structure,” Journal of Management, October 2005, p. 760.

8. © 2007 Prentice Hall, Inc. All rights reserved. 12–8 The HRM Process The HRM Process • Functions of the HRM Process • Functions of the HRM Process  Ensuring that competent employees are identified and selected.  Ensuring that competent employees are identified and selected.  Providing employees with up-to-date knowledge and skills to do their jobs.  Providing employees with up-to-date knowledge and skills to do their jobs.  Ensuring that the organization retains competent and high-performing employees who are capable of high performance.  Ensuring that the organization retains competent and high-performing employees who are capable of high performance.

9. © 2007 Prentice Hall, Inc. All rights reserved. 12–9 Exhibit 12–2 Human Resource Management Process Exhibit 12–2 Human Resource Management Process

10. © 2007 Prentice Hall, Inc. All rights reserved. 12–10 Environmental Factors Affecting HRM Environmental Factors Affecting HRM • Employee Labor Unions • Employee Labor Unions  Organizations that represent workers and seek to protect their interests through collective bargaining.  Organizations that represent workers and seek to protect their interests through collective bargaining.  Collective bargaining agreement  Collective bargaining agreement – A contractual agreement between a firm and a union elected to represent a bargaining unit of employees of the firm in bargaining for wage, hours, and working conditions. – A contractual agreement between a firm and a union elected to represent a bargaining unit of employees of the firm in bargaining for wage, hours, and working conditions. • Governmental Laws and Regulations • Governmental Laws and Regulations  Limit managerial discretion in hiring, promoting, and discharging employees.  Limit managerial discretion in hiring, promoting, and discharging employees.  Affirmative Action: the requirement that organizations take proactive steps to ensure the full participation of protected groups in its workforce.  Affirmative Action: the requirement that organizations take proactive steps to ensure the full participation of protected groups in its workforce.

11. © 2007 Prentice Hall, Inc. All rights reserved. 12–11 Exhibit 12–3 Major U.S. Federal Laws and Regulations Related to HRM Exhibit 12–3 Major U.S. Federal Laws and Regulations Related to HRM 1963 Equal Pay Act 1963 Equal Pay Act 1964 Civil Rights Act, Title VII (amended in 1972) 1964 Civil Rights Act, Title VII (amended in 1972) 1967 Age Discrimination in Employment Act 1967 Age Discrimination in Employment Act 1973 Vocational Rehabilitation Act 1973 Vocational Rehabilitation Act 1974 Privacy Act 1974 Privacy Act 1978 Mandatory Retirement Act 1978 Mandatory Retirement Act 1986 Immigration Reform and Control Act 1986 Immigration Reform and Control Act 1988 Worker Adjustment and Retraining Notification Act 1988 Worker Adjustment and Retraining Notification Act 1990 Americans with Disabilities Act 1990 Americans with Disabilities Act 1991 Civil Rights Act of 1991 1991 Civil Rights Act of 1991 1993 Family and Medical Leave Act of 1993 1993 Family and Medical Leave Act of 1993 1996 Health Insurance Portability and Accountability Act of 1996 1996 Health Insurance Portability and Accountability Act of 1996 2003 Fair and Accurate Credit Transactions Act 2003 Fair and Accurate Credit Transactions Act 2004 FairPay Overtime Initiative 2004 FairPay Overtime Initiative

12. © 2007 Prentice Hall, Inc. All rights reserved. 12–12 Managing Human Resources Managing Human Resources • Human Resource (HR) Planning • Human Resource (HR) Planning  The process by which managers ensure that they have the right number and kinds of people in the right places, and at the right times, who are capable of effectively and efficiently performing their tasks.  The process by which managers ensure that they have the right number and kinds of people in the right places, and at the right times, who are capable of effectively and efficiently performing their tasks.  Helps avoid sudden talent shortages and surpluses.  Helps avoid sudden talent shortages and surpluses.  Steps in HR planning:  Steps in HR planning:  Assessing current human resources  Assessing current human resources  Assessing future needs for human resources  Assessing future needs for human resources  Developing a program to meet those future needs  Developing a program to meet those future needs

13. © 2007 Prentice Hall, Inc. All rights reserved. 12–13 Current Assessment Current Assessment • Human Resource Inventory • Human Resource Inventory  A review of the current make-up of the organization’s current resource status  A review of the current make-up of the organization’s current resource status  Job Analysis  Job Analysis  An assessment that defines a job and the behaviors necessary to perform the job  An assessment that defines a job and the behaviors necessary to perform the job – Knowledge, skills, and abilities (KSAs) – Knowledge, skills, and abilities (KSAs)  Requires conducting interviews, engaging in direct observation, and collecting the self-reports of employees and their managers.  Requires conducting interviews, engaging in direct observation, and collecting the self-reports of employees and their managers.

14. © 2007 Prentice Hall, Inc. All rights reserved. 12–14 Current Assessment (cont’d) Current Assessment (cont’d) • Job Description • Job Description  A written statement of what the job holder does, how it is done, and why it is done.  A written statement of what the job holder does, how it is done, and why it is done. • Job Specification • Job Specification  A written statement of the minimum qualifications that a person must possess to perform a given job successfully.  A written statement of the minimum qualifications that a person must possess to perform a given job successfully.

15. © 2007 Prentice Hall, Inc. All rights reserved. 12–15 Meeting Future Human Resource Needs Meeting Future Human Resource Needs Supply of Employees Demand for Employees Factors Affecting Staffing Strategic Goals Forecast demand for products and services Availability of knowledge, skills, and abilities

16. © 2007 Prentice Hall, Inc. All rights reserved. 12–16 Recruitment and Decruitment Recruitment and Decruitment • Recruitment • Recruitment  The process of locating, identifying, and attracting capable applicants to an organization  The process of locating, identifying, and attracting capable applicants to an organization • Decruitment • Decruitment  The process of reducing a surplus of employees in the workforce of an organization  The process of reducing a surplus of employees in the workforce of an organization • E-recruiting • E-recruiting  Recruitment of employees through the Internet  Recruitment of employees through the Internet  Organizational web sites  Organizational web sites  Online recruiters  Online recruiters

17. © 2007 Prentice Hall, Inc. All rights reserved. 12–17 Exhibit 12–4 Major Sources of Potential Job Candidates Exhibit 12–4 Major Sources of Potential Job Candidates

18. © 2007 Prentice Hall, Inc. All rights reserved. 12–18 Exhibit 12–5 Decruitment Options Exhibit 12–5 Decruitment Options

19. © 2007 Prentice Hall, Inc. All rights reserved. 12–19 Selection Selection • Selection Process • Selection Process  The process of screening job applicants to ensure that the most appropriate candidates are hired.  The process of screening job applicants to ensure that the most appropriate candidates are hired. • What is Selection? • What is Selection?  An exercise in predicting which applicants, if hired, will be (or will not be) successful in performing well on the criteria the organization uses to evaluate performance.  An exercise in predicting which applicants, if hired, will be (or will not be) successful in performing well on the criteria the organization uses to evaluate performance.  Selection errors:  Selection errors:  Reject errors for potentially successful applicants  Reject errors for potentially successful applicants  Accept errors for ultimately poor performers  Accept errors for ultimately poor performers

20. © 2007 Prentice Hall, Inc. All rights reserved. 12–20 Exhibit 12–6 Selection Decision Outcomes Exhibit 12–6 Selection Decision Outcomes

21. © 2007 Prentice Hall, Inc. All rights reserved. 12–21 Validity and Reliability Validity and Reliability • Validity (of Prediction) • Validity (of Prediction)  A proven relationship between the selection device used and some relevant criterion for successful performance in an organization.  A proven relationship between the selection device used and some relevant criterion for successful performance in an organization.  High tests scores equate to high job performance; low scores to poor performance.  High tests scores equate to high job performance; low scores to poor performance. • Reliability (of Prediction) • Reliability (of Prediction)  The degree of consistency with which a selection device measures the same thing.  The degree of consistency with which a selection device measures the same thing.  Individual test scores obtained with a selection device are consistent over multiple testing instances.  Individual test scores obtained with a selection device are consistent over multiple testing instances.

22. © 2007 Prentice Hall, Inc. All rights reserved. 12–22 Exhibit 12–7 Selection Devices Exhibit 12–7 Selection Devices • Application Forms • Application Forms • Written Tests • Written Tests • Performance Simulations • Performance Simulations • Interviews • Interviews • Background Investigations • Background Investigations • Physical examinations • Physical examinations

23. © 2007 Prentice Hall, Inc. All rights reserved. 12–23 Written Tests Written Tests • Types of Tests • Types of Tests  Intelligence: how smart are you?  Intelligence: how smart are you?  Aptitude: can you learn to do it?  Aptitude: can you learn to do it?  Attitude: how do you feel about it?  Attitude: how do you feel about it?  Ability: can you do it now?  Ability: can you do it now?  Interest: do you want to do it?  Interest: do you want to do it? • Legal Challenges to Tests • Legal Challenges to Tests  Lack of job-relatedness of test items or interview questions to job requirements  Lack of job-relatedness of test items or interview questions to job requirements  Discrimination in equal employment opportunity against members of protected classes  Discrimination in equal employment opportunity against members of protected classes

24. © 2007 Prentice Hall, Inc. All rights reserved. 12–24 Performance Simulation Tests Performance Simulation Tests • Testing an applicant’s ability to perform actual job behaviors, use required skills, and demonstrate specific knowledge of the job. • Testing an applicant’s ability to perform actual job behaviors, use required skills, and demonstrate specific knowledge of the job.  Work sampling  Work sampling  Requiring applicants to actually perform a task or set of tasks that are central to successful job performance.  Requiring applicants to actually perform a task or set of tasks that are central to successful job performance.  Assessment centers  Assessment centers  Dedicated facilities in which job candidates undergo a series of performance simulation tests to evaluate their managerial potential.  Dedicated facilities in which job candidates undergo a series of performance simulation tests to evaluate their managerial potential.

25. © 2007 Prentice Hall, Inc. All rights reserved. 12–25 Other Selection Approaches Other Selection Approaches • Interviews • Interviews  Although used almost universally, managers need to approach interviews carefully.  Although used almost universally, managers need to approach interviews carefully. • Background Investigations • Background Investigations  Verification of application data  Verification of application data  Reference checks:  Reference checks:  Lack validity because self-selection of references ensures only positive outcomes.  Lack validity because self-selection of references ensures only positive outcomes. • Physical Examinations • Physical Examinations  Useful for physical requirements and for insurance purposes related to pre-existing conditions.  Useful for physical requirements and for insurance purposes related to pre-existing conditions.

26. © 2007 Prentice Hall, Inc. All rights reserved. 12–26 Exhibit 12–8 Suggestions for Interviewing Exhibit 12–8 Suggestions for Interviewing 1. Structure a fixed set of questions for all applicants. 1. Structure a fixed set of questions for all applicants. 2. Have detailed information about the job for which applicants are interviewing. 2. Have detailed information about the job for which applicants are interviewing. 3. Minimize any prior knowledge of applicants’ background, experience, interests, test scores, or other characteristics. 3. Minimize any prior knowledge of applicants’ background, experience, interests, test scores, or other characteristics. 4. Ask behavioral questions that require applicants to give detailed accounts of actual job behaviors. 4. Ask behavioral questions that require applicants to give detailed accounts of actual job behaviors. 5. Use a standardized evaluation form . 5. Use a standardized evaluation form . 6. Take notes during the interview. 6. Take notes during the interview. 7. Avoid short interviews that encourage premature decision making. 7. Avoid short interviews that encourage premature decision making. Source: Based on D.A. DeCenzo and S.P. Robbins, Human Resource Management, 7th ed. (New York Wiley: 2002, p. 200)

27. © 2007 Prentice Hall, Inc. All rights reserved. 12–27 Exhibit 12–9 Examples of “Can’t Ask and Can Ask” Interview Questions for Managers* Exhibit 12–9 Examples of “Can’t Ask and Can Ask” Interview Questions for Managers* Can’t Ask Can’t Ask • What’s your birth date? or How old are you? • What’s your birth date? or How old are you? • What’s your marital status? or Do you plan to have a family? • What’s your marital status? or Do you plan to have a family? • What’s your native language? • What’s your native language? • Have you ever been arrested? • Have you ever been arrested? Can Ask Can Ask • Are you over 18? • Are you over 18? • Would you relocate? • Would you relocate? • Are you authorized to work in the United States? • Are you authorized to work in the United States? • Have you ever been convicted of [fill in the blank]?—The crime must be reasonably related to the performance of the job. • Have you ever been convicted of [fill in the blank]?—The crime must be reasonably related to the performance of the job. * Note: Managers should be aware that there are numerous other “can and can’t ask” questions. Be sure to always check with your HR department for specific guidance.

28. © 2007 Prentice Hall, Inc. All rights reserved. 12–28 Exhibit 12–10 Quality of Selection Devices as Predictors Exhibit 12–10 Quality of Selection Devices as Predictors

29. © 2007 Prentice Hall, Inc. All rights reserved. 12–29 Other Selection Approaches (cont’d) Other Selection Approaches (cont’d) • Realistic Job Preview (RJP) • Realistic Job Preview (RJP)  The process of relating to an applicant both the positive and the negative aspects of the job.  The process of relating to an applicant both the positive and the negative aspects of the job.  Encourages mismatched applicants to withdraw.  Encourages mismatched applicants to withdraw.  Aligns successful applicants’ expectations with actual job conditions; reducing turnover.  Aligns successful applicants’ expectations with actual job conditions; reducing turnover.

30. © 2007 Prentice Hall, Inc. All rights reserved. 12–30 Orientation Orientation • Transitioning a new employee into the organization. • Transitioning a new employee into the organization.  Work-unit orientation  Work-unit orientation  Familiarizes new employee with work-unit goals  Familiarizes new employee with work-unit goals  Clarifies how his or her job contributes to unit goals  Clarifies how his or her job contributes to unit goals  Introduces he or she to his or her coworkers  Introduces he or she to his or her coworkers  Organization orientation  Organization orientation  Informs new employee about the organization’s objectives, history, philosophy, procedures, and rules.  Informs new employee about the organization’s objectives, history, philosophy, procedures, and rules.  Includes a tour of the entire facility  Includes a tour of the entire facility

31. © 2007 Prentice Hall, Inc. All rights reserved. 12–31 Exhibit 12–11 Types of Training Exhibit 12–11 Types of Training Type Type Includes Includes General General Communication skills, computer systems application and programming, customer service, executive development, management skills and development, personal growth, sales, supervisory skills, and technological skills and knowledge Communication skills, computer systems application and programming, customer service, executive development, management skills and development, personal growth, sales, supervisory skills, and technological skills and knowledge Specific Specific Basic life/work skills, creativity, customer education, diversity/cultural awareness, remedial writing, managing change, leadership, product knowledge, public speaking/presentation skills, safety, ethics, sexual harassment, team building, wellness, and others Basic life/work skills, creativity, customer education, diversity/cultural awareness, remedial writing, managing change, leadership, product knowledge, public speaking/presentation skills, safety, ethics, sexual harassment, team building, wellness, and others Source: Based on “2005 Industry Report—Types of Training,” Training, December 2005, p. 22.

32. © 2007 Prentice Hall, Inc. All rights reserved. 12–32 Exhibit 12–12 Employee Training Methods Exhibit 12–12 Employee Training Methods • Traditional Training Methods • Traditional Training Methods  On-the-job  On-the-job  Job rotation  Job rotation  Mentoring and coaching  Mentoring and coaching  Experiential exercises  Experiential exercises  Workbooks/manuals  Workbooks/manuals  Classroom lectures  Classroom lectures • Technology-Based Training Methods • Technology-Based Training Methods  CD-ROM/DVD/videotapes/ audiotapes  CD-ROM/DVD/videotapes/ audiotapes  Videoconferencing/ teleconferencing/ satellite TV  Videoconferencing/ teleconferencing/ satellite TV  E-learning  E-learning

33. © 2007 Prentice Hall, Inc. All rights reserved. 12–33 Employee Performance Management Employee Performance Management • Performance Management System • Performance Management System  A process of establishing performance standards and appraising employee performance in order to arrive at objective HR decisions and to provide documentation in support of those decisions.  A process of establishing performance standards and appraising employee performance in order to arrive at objective HR decisions and to provide documentation in support of those decisions.

34. © 2007 Prentice Hall, Inc. All rights reserved. 12–34 Exhibit 12–13 Advantages and Disadvantages of Performance Appraisal Methods Exhibit 12–13 Advantages and Disadvantages of Performance Appraisal Methods Method Method Advantage Advantage Disadvantage Disadvantage Written essays Written essays Simple to use Simple to use More a measure of evaluator’s writing ability than of employee’s actual performance More a measure of evaluator’s writing ability than of employee’s actual performance Critical incidents Critical incidents Rich examples; behaviorally based Rich examples; behaviorally based Time-consuming; lack quantification Time-consuming; lack quantification Graphic rating scales Graphic rating scales Provide quantitative data; less time-consuming than others Provide quantitative data; less time-consuming than others Do not provide depth of job behavior assessed Do not provide depth of job behavior assessed BARS BARS Focus on specific and measurable job behaviors Focus on specific and measurable job behaviors Time-consuming; difficult to develop Time-consuming; difficult to develop Multiperson comparisons Multiperson comparisons Compares employees with one another Compares employees with one another Unwieldy with large number of employees; legal concerns Unwieldy with large number of employees; legal concerns MBO MBO Focuses on end goals; results oriented Focuses on end goals; results oriented Time-consuming Time-consuming 360-degree appraisals 360-degree appraisals Thorough Thorough Time-consuming Time-consuming

35. © 2007 Prentice Hall, Inc. All rights reserved. 12–35 Compensation and Benefits Compensation and Benefits • Benefits of a Fair, Effective, and Appropriate Compensation System • Benefits of a Fair, Effective, and Appropriate Compensation System  Helps attract and retain high-performance employees  Helps attract and retain high-performance employees  Impacts on the strategic performance of the firm  Impacts on the strategic performance of the firm • Types of Compensation • Types of Compensation  Base wage or salary  Base wage or salary  Wage and salary add-ons  Wage and salary add-ons  Incentive payments  Incentive payments  Skill-based pay  Skill-based pay  Variable pay  Variable pay

36. © 2007 Prentice Hall, Inc. All rights reserved. 12–36 Exhibit 12–14 Factors That Influence Compensation and Benefits Exhibit 12–14 Factors That Influence Compensation and Benefits Sources: Based on R.I. Henderson, Compensation Management, 6 th ed. (Upper Saddle River, NJ: Prentice Hall, 1994), pp. 3–24; and A. Murray, “Mom, Apple Pie, and Small Business,” Wall Street Journal, August 15, 1994, p. A1

37. © 2007 Prentice Hall, Inc. All rights reserved. 12–37 Career Development Career Development • Career Defined • Career Defined  The sequence of positions held by a person during his or her lifetime.  The sequence of positions held by a person during his or her lifetime.  The Way It Was  The Way It Was  Career Development  Career Development – Provided for information, assessment, and training – Provided for information, assessment, and training – Helped attract and retain highly talented people – Helped attract and retain highly talented people  Now  Now – Individuals—not the organization—are responsible for designing, guiding, and developing their own careers. – Individuals—not the organization—are responsible for designing, guiding, and developing their own careers.  Boundaryless Career  Boundaryless Career  A career in which individuals, not organizations, define career progression and organizational loyalty  A career in which individuals, not organizations, define career progression and organizational loyalty

38. © 2007 Prentice Hall, Inc. All rights reserved. 12–38 Exhibit 12–15 What College Graduates Want From Jobs Exhibit 12–15 What College Graduates Want From Jobs Top Factors for U.S. Students Top Factors for U.S. Students  Work–life balance  Work–life balance  Annual base salary  Annual base salary  Job stability and security  Job stability and security  Recognition for a job done well  Recognition for a job done well  Increasingly challenging tasks  Increasingly challenging tasks  Rotational programs  Rotational programs Top Factors for U.K. Students Top Factors for U.K. Students  International career opportunities  International career opportunities  Flexible working hours  Flexible working hours  Variety of assignments  Variety of assignments  Paid overtime  Paid overtime Sources: Based on S. Shellenbarger, “Avoiding the Next Enron: Today’s Crop of Soon-to-Be Grads Seeks Job Security,” Wall Street Journal Online, February 16, 2006; “MBAs Eye Financial Services and Management Consulting,” HRMarketer.com, June 7, 2005; and J. Boone, “Students Set Tighter Terms for Work,” FinancialTimes.com, May 21, 2005.

39. © 2007 Prentice Hall, Inc. All rights reserved. 12–39 Exhibit 12–16 Some Suggestions for a Successful Management Career Exhibit 12–16 Some Suggestions for a Successful Management Career

40. © 2007 Prentice Hall, Inc. All rights reserved. 12–40 Current Issues in HRM Current Issues in HRM • Managing Downsizing • Managing Downsizing  The planned elimination of jobs in an organization  The planned elimination of jobs in an organization  Provide open and honest communication.  Provide open and honest communication.  Provide assistance to employees being downsized.  Provide assistance to employees being downsized.  Reassure and counseling to surviving employees.  Reassure and counseling to surviving employees. • Managing Work Force Diversity • Managing Work Force Diversity  Widen the recruitment net for diversity  Widen the recruitment net for diversity  Ensure selection without discrimination  Ensure selection without discrimination  Provide orientation and training that is effective  Provide orientation and training that is effective

41. © 2007 Prentice Hall, Inc. All rights reserved. 12–41 Current Issues in HRM (cont’d) Current Issues in HRM (cont’d) • Sexual Harassment • Sexual Harassment  An unwanted activity of a sexual nature that affects an individual’s employment.  An unwanted activity of a sexual nature that affects an individual’s employment.  Unwanted sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature when submission or rejection of this conduct explicitly or implicitly affects an individual’s employment.  Unwanted sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature when submission or rejection of this conduct explicitly or implicitly affects an individual’s employment.  An offensive or hostile environment  An offensive or hostile environment  An environment in which a person is affected by elements of a sexual nature.  An environment in which a person is affected by elements of a sexual nature. • Workplace Romances • Workplace Romances  Potential liability for harassment  Potential liability for harassment

42. © 2007 Prentice Hall, Inc. All rights reserved. 12–42 Current Issues in HRM (cont’d) Current Issues in HRM (cont’d) • Work-Life Balance • Work-Life Balance  Employees have personal lives that they don’t leave behind when they come to work.  Employees have personal lives that they don’t leave behind when they come to work.  Organizations have become more attuned to their employees by offering family-friendly benefits :  Organizations have become more attuned to their employees by offering family-friendly benefits :  On-site child care  On-site child care  Summer day camps  Summer day camps  Flextime  Flextime  Job sharing  Job sharing  Leave for personal matters  Leave for personal matters  Flexible job hours  Flexible job hours

43. © 2007 Prentice Hall, Inc. All rights reserved. 12–43 Current Issues in HRM (cont’d) Current Issues in HRM (cont’d) • Controlling HR Costs • Controlling HR Costs  Employee health-care  Employee health-care  Encouraging healthy lifestyles  Encouraging healthy lifestyles – Financial incentives – Financial incentives – Wellness programs – Wellness programs – Charging employees with poor health habits more for benefits – Charging employees with poor health habits more for benefits  Employee pension plans  Employee pension plans  Reducing pension benefits  Reducing pension benefits  No longer providing pension plans  No longer providing pension plans

44. © 2007 Prentice Hall, Inc. All rights reserved. 12–44 Terms to Know Terms to Know • high-performance work practices • high-performance work practices • human resource management process • human resource management process • labor union • labor union • affirmative action • affirmative action • human resource planning • human resource planning • job analysis • job analysis • job description • job description • job specification • job specification • recruitment • recruitment • decruitment • decruitment • selection • selection • validity • validity • reliability • reliability • work sampling • work sampling • assessment centers • assessment centers • realistic job preview (RJP) • realistic job preview (RJP) • orientation • orientation • performance management system • performance management system • written essay • written essay • critical incidents • critical incidents • graphic rating scales • graphic rating scales

45. © 2007 Prentice Hall, Inc. All rights reserved. 12–45 Terms to Know (cont’d) Terms to Know (cont’d) • behaviorally anchored rating scales (BARS) • behaviorally anchored rating scales (BARS) • multiperson comparisons • multiperson comparisons • 360 degree feedback • 360 degree feedback • skill-based pay • skill-based pay • variable pay • variable pay • career • career • downsizing • downsizing • sexual harassment • sexual harassment • family-friendly benefits • family-friendly benefits