LECTURE-Handout of Slide-Dr Bahaudin Mujtaba PDF

Slide HANDOUT
“Human Resources Management” /

“Contemporary People Management”
Dr. Bahaudin G. Mujtaba, Nova Southeastern University

Email: [email protected]
Dr. Bahaudin G. Mujtaba
Professor of Management
Huizenga College of Business and Entrepreneurship
Nova Southeastern University
3301 College Avenue
Fort Lauderdale FL 33314-7796. USA.
Phone: (954) 262-5045
Email: [email protected]
COURSE DESCRIPTION
 The course serves as an introduction to human

resource management concepts and practices for
those who will have people management
responsibilities.
≈ HR processes and practices are studied in contexts and
with a consideration of stakeholders’ interests, leading to
an appreciation of the contribution of human resource
management to organizational success.
≈ Students will study various topics and evaluate particular
approaches to human resource management through
analyzing real-world cases and practical activities.
@ Bahaudin G. Mujtaba, 1-3

Competencies Covered
1. Describe and explain the key functions and practices

associated with HRM and industrial relations; additionally,
advocate improvements to practice.
2. Describe the various ways that HRM can be pursued in a
range of organizations.
3. Explain the contribution of strategic HRM to organizations,
and analyze why effective HRM is difficult.
4. Outline the historical development of HRM and make
useful predictions about the future of human resource
management.
5. Develop graduate level analytical and communication
skills appropriate for personnel management in modern
organizations.
Chapters / Topics
Sessions Required Readings for each 3-Hour Session
1. Chapter 1
Introductions, Expectations
Managing Human Resources Today
2 Chapters 2 and 3
Managing Equal Opportunity and Diversity
Human Resource Strategy and Performance
3 Chapters 4, 5 and 6
Job Analysis and Talent Management
Personnel Planning and Recruiting
Selecting Employees
4 Chapters 7, 8 and 9
Training and Developing Employees
Performance Management and Appraisals Today
Managing Careers
5 Chapters 10 and 11
Developing Compensation Plans
Pay for Performance and Employee Benefits
6 Chapters 12 and 13
Maintaining Positive Employee Relations
Labor Relations and Collective Bargaining
7/8 Chapters 14
Improving Occupational Safety, Health and Risk Management
8 - 10 Appendix
Managing HR Globally / Managing Human Resources in Entrepreneurial Firms
1-6
 Dressler, G. (2019). Fundamentals of Human
Resources Management (5th edition). Prentice
Hall: New York.

Bahaudin’s life philosophy and goals are to
live, love, learn, and laugh often!
Pygmalion Effect
(self-fulfilling Prophecy)
The enhanced learning or

performance that results
from others having positive
expectations of us.
The Theory of Execution Philosophy
 Execution is about learning and knowing

how to get things done
 It is based on Larry Bossidy’s book
“Execution: The Disciplines of Getting
Things Done”, 2001.
 The execution theory focuses on the
building blocks of execution based on the
seven essential behaviors for leaders.

 The execution theory focuses on the

building blocks of execution based on the
seven essential behaviors for leaders:
1. Know your business - understanding what is going on.
2. Insist on Realism - let the elephant in the room.
3. Set Clear Goals and priorities - have structure.
4. Follow through - make good on your word.
5. Reward the Doers - acknowledge the performers.
6. Administer Coaching - to Develop your team.
7. Know Yourself - identify your strengths and weakness.

 As per the execution theory, once the

essentials behaviors are in place, create the
framework for your work. Understand your vision
so it can be attainable.
 One of the most important qualities of execution
is put the right individuals in the right positions.
This style of management takes control of the
business while empowering the right people to
make decisions.

Student Responsibilities for Success
1. Set specific and deadline-driven goals for your
assignments and courses.
2. Proactively read the assigned chapters and
additional materials before the deadlines.
3. Schedule your class time. Come to each session
on time and set at the “front seat”.
4. Participate: get involved and provide examples.
Ask “leading” questions and contribute to the
learning environment.
5. Have fun and network.

Managing Human Resources Today
Chapter 1
1-14
When you finish studying this chapter, you should
be able to:
1. Answer the question “What is human resource

management?”
2. Explain why “knowing HR management concepts and
techniques is important to any supervisor or manager.”
3. Explain what is meant by “the changing environment of
human resource management.”
4. Give examples of how the HR manager’s duties today
are different from 30 years ago.
5. List the main implications of these trends for human
resource managers.

What is Human Resource Management?
 Organization Manager
≈ Consists of people with ≈ Someone who is
formally assigned roles responsible for
who work together to accomplishing the
achieve its goals organization’s goals,
and who does so by
managing the efforts of
the organization’s
people
1-16
Managers
≈ The people
responsible for
supervising the use
of an organization’s
resources to meet
its goals
1-17
Controlling Planning
Management
Functions
Influencing Organizing
1-18
ESSENTIAL MANAGERIAL SKILLS
CONCEPTUAL SKILLS
The ability to solve complex problems
HUMAN SKILLS
The ability to work well with people
TECHNICAL SKILLS
The ability to perform specific tasks
Lower-level Middle-level Upper-level

Managers Managers Managers
1-19
Management Skills Inventory
Exercise
What is your strongest management

skill?
 Does this align with your career goals? If not,
what you can you do enhance your scores in the
right areas?
≈ Skills Inventory Survey Online:

http://www.huizenga.nova.edu/survey/SIS

What is Human Resource Management?
 Human resource management is the

process of acquiring, training,
appraising, and compensating
employees, and of attending to their
labor relations, health and safety, and
fairness concerns.

Human Resource Management
Practices and Policies
To perform the “people” part of an organization’s

management, you need to learn human resource
management practices, which include:
 Conducting job analyses
 Planning labor needs and recruiting job candidates
 Selecting job candidates
 Orienting and training new employees
 Managing wages and salaries
 Providing incentives and benefits
 Appraising performance
 Communicating
 Training employees and developing managers
 Building employee commitment

What a Manager Should Know
All managers should know the policies

ensuring good employee relations and
protection of workers’ rights, such as:
 Equal opportunity, ethics, and
affirmative action
 Employee health and safety and
ethical treatment
 Grievance and labor relations
Why Study HR?
 To help ensure that you get results—

through people
 Many managers have been
successful because they had the
knack for hiring the right people for
the right jobs and motivating,
appraising, and developing them.

Line Versus Staff Authority
Authority
≈ The right to make
decisions
≈ The right to direct the
work of others
≈ The right to give orders

Line versus Staff Authority
 Line managers
≈ are authorized to direct the work of
subordinates and are responsible
for accomplishing the
organization’s tasks
≈ are associated with managing functions
(like sales or production) that the
company needs to exist.

Line versus Staff Authority
 Staff managers
≈ Assist and advise line managers in
accomplishing these goals
≈ Staff managers generally run
departments that are advisory or
supportive, like purchasing, human
resource management, and quality
control.
Line Managers’ HR Responsibilities
1. Placing the right person in the right job

2. Starting new employees in the organization
3. Training employees for jobs that are new to
them
4. Improving the job performance of each
employee
5. Gaining creative cooperation and developing
smooth working relationships

Line Managers’ HR Responsibilities (cont.)
6. Interpreting the company’s policies and

procedures
7. Controlling labor costs
8. Developing the abilities of each employee
9. Creating and maintaining departmental morale
10. Protecting employees’ health and physical
conditions

Management in the Movies: Fast Times at
Ridgemont High
1. How you would you handle this

situation as a manager?
2. What could Brad (employee) have
done differently to make the
situation better?
3. Is it ethical to fire Brad? Discuss
implications.
 Assign a spokesperson for your team (starting with

team 1)
1-30
Typical Job Duties in HR
 Recruiters
 Equal employment opportunity (EEO)
representatives or affirmative action
coordinators
 Job analysts
 Compensation managers
 Training specialists
 Labor relations specialists

HR in Small Business
 Small firms (e.g., those with less

than 100 employees) generally
can’t afford a full-time human
resource manager.
 Their human resource
management tends to be ad hoc
and informal.
Some Human Resources
organizations have been evolving
from a “one size fits all” set of
recruitment, testing, and other
services for all the firm’s employees
to tailoring their services to different
types of employees.

The New Human Resources Organization
Transactional HR Corporate HR
group group
≈ Focuses on using ≈ Focuses on
centralized call assisting top
centers and vendors management in
to provide “top-level” issues
specialized support
in day-to-day
transactional HR
activities
1-34
The New Human Resources Organization (cont.)
Embedded HR Centers of
group expertise groups
≈Assigns HR ≈Provide specialized
generalists to assistance in areas
departments like such as
sales and organizational
production to change
provide the
assistance the
departments need
1-35
Trends Influencing HRM
 Globalization
≈ Firms’ tendency to
extend their sales,
ownership, and/or
manufacturing to new
markets abroad

 Technological advances are radically changing
what businesses do.
≈ For example, how can The Gap, which has to
maintain expensive inventories, compete with
the Spanish clothing retailer Zara?
≈ Zara’s Internet-based distribution network links
to its checkout registers worldwide and, as an
item sells out in one of its stores, alerts its
computerized manufacturing system to
manufacture and speed new garments to that
store within days.

Even the nature of work is
changing due to technology.
Knowledge-intensive, high-tech
manufacturing jobs are replacing
traditional factory jobs, so HR
departments need to provide
employees with new skills and
training to excel at more complex,
technology-based jobs.
 Growing emphasis on
“knowledge workers” and human
capital
 Human capital
≈ The knowledge, education,
training, skills, and expertise of a
firm’s workers


Technology & Workforce Trends
Service Jobs:
• Today, two-thirds of the U.S.

workforce is employed in
producing and delivering services,
not products.
• By 2020, service-providing
industries are expected to account
for 131 million of our 150 million
(87%) wage and salary jobs
overall.
Technology & Workforce Trends
Human Capital:
• Because of the demographic and
technological trends facing
companies, “human capital”
(workers’ knowledge, education,
training, skills, and expertise) is
growing in emphasis.
• Tomorrow’s employees will
additionally need to have
innovative characteristics for jobs,
such as those found at Google.
Trends in How People Work
“Gig” Workers:
 Workers who are part
of a vast workforce of
contract, temp,
freelance, or
independent workers.
 Much of this work is
“on-demand” (like
Uber).
Technology Trends
Talent analytics:
Many employers use talent
analytics to sift through
large amounts of employee
data to identify the skills
that excel on particular
jobs.

Globalization & Competition Trade
Today
$5 Trillion
1980
$562 Billion
1960
$47 Billion

Economic & Workforce Projections
 Unemployment rate
 Slow-growing labor force
 Aging population
 Unbalanced labor force

Demographic Trends
 Generation Y
 Retirees
 Nontraditional
workers
 Workers from abroad

Generation Y - Millennials
(1977-2002)
 May be the most high-

maintenance workforce in the
history of the world.
 This generation’s capacity for
using information technology will
also make it the most high-
performing.

Economic Challenges and Trends
 All these trends are occurring

within the context of economic
upheaval.
 Challenging times mean that
employers will have to be more
frugal and creative in managing
their human resources.
 Talent management
≈ The end-to-end process of
planning, recruiting, developing,
managing, and compensating
employees throughout the
organization.

 High-performance work
system
≈ An integrated set of human
resource management policies
and practices that together
produce superior employee
performance
The HR Manager Today
Human resource managers today use the best

available evidence in making decisions about
human resource management practices using data,
facts, analytics, critical evaluation, and critically
evaluated research and case studies.
≈ Uses evidence-based human resource management
≈ Measures HR performance
≈ Measures ethics
≈ Has new proficiencies
≈ HR certification

Consequences for Today’s HRM
Sustainability &
HR & Performance
Strategic HRM
HR & Employee
HR & HR Competencies
Engagement
HR & Performance
HR & Manager’s Skills
Sustainability
The HRM
HR & Strategy
Competencies
HR & Manager’s HR
HR & Ethics
Philosophy
HRCI Certification

Leaders and managers
of a diverse work
environment require
human resources
management skills.

Competitive Challenges
Influencing HRM
Technology
Sustainability
1-55
1-55
The Sustainability Challenge
Sustainability is the ability of a

company to survive and succeed in a
dynamic competitive environment.
Stakeholders include shareholders,

the community, customers and all
other parties that have an interest in
seeing that the company succeeds.
1-56
The Sustainability Challenge
Psychological Alternative
Contract Work
Arrangements
Changes in
Employment
Expectations
1-57
The balanced scorecard provides a view
of the company from the perspective of
internal and external customers,
employees and shareholders.
The balanced scorecard should be used
to:
≈ Link HRM activities to the company’s business
strategy.
≈ Evaluate the extent to which HR is helping
meet the company’s strategic objectives.
1-58
The Balanced Scorecard
To show that HRM activities contribute to a

company’s competitive advantage, managers need
to consider these questions and be able to identify
critical indicators or metrics related to HR.
 How do customers see us?
 What must we excel at?
 Can we continuously improve and create
value?
 How do we look to shareholders?
1-59
Common Themes of Employee Engagement
 Pride and satisfaction with employer and job

 Opportunity to perform challenging work
 Recognition and positive feedback from
contributions
 Personal support from manager
 Effort above and beyond the minimum
 Understanding link between one’s job and
company’s mission
 Prospects for future growth with the company
 Intention to stay with the company
1-60
The HRM Profession
HR salaries vary according to position,

experience, education, training,
location and firm size.
The primary professional organization

for HRM is the Society for Human
Resource Management (SHRM)
(www.shrm.org)
1-61
The Human Resources Department
Compensation
Job analysts
Managers
Recruiters Training Specialists
EEO Labor Relations

Representatives Specialists

Plan of this Book
I. Introduction
II. Staffing: Workforce Planning &
Employment
III. Training & HR Development
IV.Compensation & Total Rewards
V. Employee & Labor Relations
VI.Special Issues in HRM

Organizing Teams – Portfolio Planning
 Complete your team portfolio:

≈ Team name (Terminators, Hiring Gurus, HRM “R” Us, etc.)
≈ Team logo (People come first) / Team motto / slogan
≈ Add a team photo
 Determine your HR research focus.
 Assign a spokesperson to present your team portfolio to the class in 1
minute in a future session.
 Create a Power Point file with your team name, class number and date
such as: HR Experts – March 16 - 2019
 Email professor within 12 hours and copy your teammates :
[email protected]
1-64
Sample Portfolio
1-65
Duong Dinh Thuan Vuong Khac Huy Huynh Thi Yen Linh
Business Finance Finance
Administration
Make a
difference!
Le Phan Thuy Nhan Tran Binh Dai Pham Duy Son
Finance Finance Marketing
Managing Equal Opportunity and Diversity
Chapter 2
1-67
Selected Equal Employment Opportunity
Laws
 Fifth Amendment in the USA

≈ States that “no person shall . . .
be deprived of life, liberty, or
property, without due process
of the law.”
≈ By the early 1900s,
discrimination against
minorities was illegal—at least
in theory—but equal
employment wasn’t
implemented until the early
1960s.

Selected Equal Employment Opportunity
Laws
 The Equal Pay Act of 1963

≈ Employers cannot discriminate in
pay on the basis of sex when jobs
involve equal work—equivalent
skills, effort, and responsibility—and
are performed under similar working
conditions.

Equal Employment Opportunity
Commission (EEOC)
 Equal Employment Opportunity

Commission (EEOC)
≈ The commission is empowered to
investigate job discrimination
complaints and sue on behalf of
complainants.

Selected Equal Employment Opportunity Laws
 Age Discrimination in
Employment Act
≈ Makes it unlawful to
discriminate against employees
or applicants for employment
who are 40 years of age or
older
Selected Equal Employment Opportunity Laws
 Pregnancy Discrimination Act

≈ Prohibits using pregnancy, childbirth, and
related medical conditions for discrimination in
hiring, promotion, discharge, or any other term
or condition of employment.
≈ If an employer offers its employees disability
coverage, then pregnancy and childbirth must
be treated like any other disability.

 Sexual Harassment
≈ Harassment on the basis of sex
that has the purpose or effect of
substantially interfering with an
employee’s work performance or
creating an intimidating, hostile, or
offensive work environment

Proving Sexual Harassment
 Sexual harassment can be proved in a number

of ways, including the following:
• Quid pro quo is the most direct way to prove that
rejecting a supervisor’s advances negatively affected a
hire, fire, promotion, or compensation.
• If a hostile environment is created by supervisors so
that the advances interfere with job performance and
create an offensive work environment, that’s adequate
evidence that sexual harassment has occurred.
• A hostile environment created by coworkers or
nonemployees, such as customers, can also cause
the employer to be held responsible for sexual
harassment if the employer was somehow responsible
for the sexually harassing behavior.

Causes
 Permissive social climate

≈ Employees conclude there’s a risk to victims
for complaining, that complaints won't be
taken seriously, and that there’s a lack of
sanctions against offenders
 Gender harassment
 Most sexual harassment victims don’t sue
or complain – Does this have a positive
or negative impact on the company?

 Adverse impact
≈ Total employment process that
results in a significantly higher
percentage of a protected group
being rejected for employment,
placement, or promotion

Civil Rights Act of 1991
Disparate impact Disparate treatment

≈ An unintentional ≈ An intentional
disparity between the disparity between the
proportion of a proportion of a
protected group protected group
applying for a position applying for a position
and the proportion and the proportion
getting the job getting the job.
1-77
Reasonable Accommodation
 Redesigning the job

 Modifying work
schedules
 Modifying or acquiring
equipment to assist
the employee in
performing the job

Americans with Disabilities Act (ADA)
Prohibits employers from

discriminating against qualified
individuals with a disability
Employers must make “reasonable
accommodations” for physical or
mental limitations

 Bona fide occupational
qualification (BFOQ)
≈ Requirement that an employee be of a
certain religion, sex, or national origin
where that is reasonably necessary to
the organization’s normal operation
≈ Specified by the 1964 Civil Rights Act

 Business necessity
≈ Justification for an otherwise
discriminatory employment
practice, provided there is an
overriding legitimate business
purpose

How to Respond to Employment Discrimination
Charges
1. Be methodical
2. Investigators aren’t judges
3. Meet with employee who made the complaint
4. Give the EEOC a position statement
5. Ensure there is information demonstrating lack of
merit
6. Limit information to only those issues in the charge
itself
7. Seek as much information as possible
8. Prepare for the EEOC’s fact-finding conference
9. Remember that preventing claims is usually better
than litigating them

Diversity’s Potential Pros and Cons
Stereotyping Discrimination Tokenism
Gender-role
Ethnocentrism
stereotypes
1-83
“We are led to
believe a lie - When
we see with and not
through the eye.”
Perception
Overt Discrimination
≈ Knowingly and willingly denying diverse
individuals access to opportunities and
outcomes in an organization
≈ Unethical and illegal
1-85
Steps in Developing Diversity Consciousness
1-86
 Affirmative Action
≈ Requires the employer to
make an extra effort to
hire and promote those in
a protected group
≈ Specific actions to
eliminate the present
effects of past
discrimination

 Growing emphasis on
“knowledge workers” and human
capital
 Human capital
≈ The knowledge, education,
training, skills, and expertise of a
firm’s workers

Common Themes of Employee Engagement
 Pride and satisfaction with employer and job

 Opportunity to perform challenging work
 Recognition and positive feedback from
contributions
 Personal support from manager
 Effort above and beyond the minimum
 Understanding link between one’s job and
company’s mission
 Prospects for future growth with the company
 Intention to stay with the company
1-89
Employee engagement is Needed!
About 70-85% of workers

often not engaged in their
work, department, company,
and/or industry.

Employee engagement
Employee engagement -
degree to which employees
are fully involved in their
work and strength of their
commitment.
Engage Everyone!
“Employee Engagement - Who's Sinking Your Boat?”
Engaged leaders know who

are their paddlers,
passengers (52%) and those
who are sinking (18%) the
company to bankruptcy.

Employee engagement
Employees who are engaged in their work

and committed to the company they work
for give companies competitive advantage
including higher productivity, better
customer service, and lower turnover
Companies measure employees’
engagement levels with attitude or opinion
surveys.
Human Resource Strategy
and Performance
Chapter 3
1-94
 Strategic human resource
management
≈ Formulating and executing human
resource policies and practices that
produce the employee
competencies and behaviors that
the company needs to achieve its
strategic aims
What is Strategic Human Resource
Management?
1. Decide what the strategic goals are

2. Identify the employee skills and
behaviors that are required to
achieve these goals
3. Formulate human resource
management policies and practices
that will produce these required
employee skills and behaviors
The Planning Process
1. Set an objective
2. Make forecasts
3. Determine your alternatives for getting from
where you are now to where you want to be
4. Evaluate your alternatives
5. Implement and evaluate your plan

The Strategic Management Process
 Strategic plan
≈ The company’s plan for
how it will match its
internal strengths and
weaknesses with external
opportunities and threats
in order to maintain a
competitive advantage

The Strategic Management Process
 Strategic planning
≈ The manager formulates
specific strategies to take the
company from where it is now
to where he or she wants it to
be

Types of Strategies
 Corporate strategy
≈ Identifies the sorts of
businesses that will comprise
the company and the ways in
which these businesses relate
to each other

Generic Corporate Strategy Options
• A diversification corporate strategy implies that the firm

will expand by adding new product lines.
• A vertical integration strategy means that the firm will
expand by, for example, producing its own raw materials or
selling its products direct.
• A consolidation strategy means reducing the company’s
size.
• Geographic expansion means expanding the firm into
new locations, domestically or internationally.
• A concentration strategy means the firm limits itself to one
line of business—McDonald’s is an example of such a “one
business” business.
 Competitive strategy
≈ Identifies how to build and strengthen the
company’s long-term competitive position in
the marketplace
 Competitive advantage
≈ Any factors that allow a company to
differentiate its product or service from those
of its competitors to increase market share

Generic Competitive Strategies
 One strategy, cost leadership, means that the enterprise aims to

become the low-cost leader in an industry.
• Dell, for example, maintains its competitive advantage through an Internet-based
sales processing and distribution system and by selling direct.
 Differentiation, another competitive strategy, means that a
company seeks to be unique in its industry along dimensions that
are widely valued by buyers.
• In practice, Papa John’s Pizza stresses fresh ingredients, Target sells somewhat
more upscale brands than Wal-mart does, and Mercedes-Benz emphasizes
reliability and quality.
• Firms, like Mercedes-Benz, can charge a premium if they are substantially
different from competitors in a coveted way.
 Focusers carve out a market niche (like Ferrari). They compete by
providing a product or service customers can’t get otherwise.

Evidence-Based HR
 Evidence-based human resource management means using data, facts, analytics,

scientific rigor, critical evaluation, and critically evaluated research case studies to support
human resource management proposals, decisions, practices, and conclusions.
 In a way, management must think like a scientist and be objective when looking at the
current status of the organization. This is also like being realistic as to what the data
values reveal.
 The manager must also experiment as a scientist would. This means that the manager
must implement a plan on a much smaller scale (with a few employees) to make sure the
plan will work, prior to the plan being implemented company-wide.
 Taking these steps will help the manager predict outcomes. Metrics help with future
predictions.
 For managers in companies such as Sears and Home Depot, the point of being “scientific”
is to make better decisions by forcing the managers to gather the facts. For example, “Is
our employee sales incentive plan really boosting appliance sales?”

 Digital dashboard
≈ Presents the manager with desktop graphs
and charts, so he or she gets a computerized
picture of where the company
stands on all the
metrics from the HR
Scorecard process

Building High-Performance Work
Systems
 High-performance work systems are sets of human
resource management policies and practices that promote
organizational effectiveness.
 High Performance work practices involve looking at best
practices of high-performance work systems (sort of like
benchmarking).
 The chosen “best practices” high-performance work system has paid

their employees more, trained their employees more, and used more
sophisticated recruitment and hiring practices than others, and uses more
self-managed work teams.
 Human resource metrics are the quantitative gauge of a human resource
management activity such as hours of training per employee, or qualified
applicants per position.
Why Should Human Resource Managers Be
Involved in Mergers and Acquisitions?
 A recent survey concluded that almost

80% of recent mergers and acquisitions
had satisfactory results.
 The reason, in part, “is that HR functions
now have far greater involvement in the
process than in the past—at earlier stages
as well” and that HR is increasingly well-
prepared to identify and address the
many issues that might derail a merger.

Job Analysis and Talent
Management
Chapter 4
1-108
What Is Talent Management?
Talent management
≈ The end-to-end process of
planning, recruiting, developing,
managing, and compensating
employees throughout an
organization

What Is Talent Management?
1. Talent management is goal-directed.

2. Viewing talent management tasks as parts of a single
process helps ensure that managers consciously think
through and focus on all the tasks required for
managing the company’s talent.
3. You should consistently use the same profile of
competencies, traits, knowledge, and experience for
formulating recruitment plans that you use for making
selection, training, appraisal, and payment decisions for
an employee.

What Is Talent Management? (cont.)
4. Employers actively manage their employees’

recruitment, selection, development, and
rewards.
5. The process should integrate the underlying
talent management activities such as
workforce planning, recruiting, developing, and
compensating employees.

Building Blocks of the Talent
Management Process
1-112
Talent
management
is…
Anticipating the
need of human
capital and then
setting out a plan
to meet it.
Talent Management (2010)
Jobs change as conditions
do, so most companies
have to constantly update
their plans
Talent Management (2010)
 Talent Management refers to the process of
developing and integrating new workers,
developing and retaining current workers and
attracting highly competent workers.
 TM involves people and organizational

development responses to competitive and
changing work environment. It can include the
creation and maintenance of training programs as
well as a supportive, people oriented
organizational culture.

Female Business Managers
“As a step towards empowering female employees of

NBP (National Bank of Pakistan), deserving female
employees were given opportunity to take up
challenging assignment of managing specified NBP
branches as Branch Managers in all the regions.”
65 females were entrusted with the responsible

position of heading the high value branches of NBP.
(Abrar Baig, 2009)

Female Business Managers
Of all the branches headed by Females:
In 90% of the branches profit
increased by an average of over
150% .
In 85% of the branches Advances
have gone up by an average of
200%.
In 80% of the branches deposits have
gone up by an average of 60% .
@ Bahaudin G. Mujtaba,
(Abrar Baig, 2009) 1-117
“Talent Management is now
central to NBP’s people
strategy and will remain in
future as well.”
-Dick Parsons: CEO, Time Warner
@ Bahaudin G. Mujtaba,
(Abrar Baig, 2009) 1-118
Dell’s Talent Management
Framework AND TOOLS
ASSESS
• Organization & Talent Review
• Tell Dell
• Performance reviews
• Development Dialogues
PLAN
• Organization Level: People Planning
• Individual Level
DEVELOP
• Leadership Development Curriculum
• Key Talent Development
• Job rotations / on the job learning
• Cross functional projects
(Atkinson, 2009) 1-119

Dell’s Approach to Development Plans
through • Core Development Program

Formal • Key Talent Programs
Training
Programs
• Executive coaching
Through Others – • 3600 Feedback process
Mentors and co-
workers • Mentoring
• Development Interviews
through • Planned job moves – based on IDP

discussion
On-the-Job
Experiences & • Special projects or assignments
Career Moves
(Atkinson, 2009) 1-120

What is Job Analysis?
Job analysis
≈ Procedure through which you
determine the duties of jobs
and the characteristics of the
people who should perform
them

Uses of Job Analysis Information

Uses of Job Analysis Information
The information produced by the job analysis is the basis for several interrelated HR
activities that managers engage in almost every day. Specifically:
1. Recruitment and Selection: The job analysis produces information about what duties the
job entails and what human characteristics are required to perform these activities, and
thus, helps managers decide what sort of people to recruit and hire.
2. EEO Compliance: For example, to comply with the Americans with Disabilities Act,
employers should know each job’s essential job functions—which in turn requires a job
analysis.
3. Training: The job description lists the job’s specific duties and requisite skills—thus,
pinpointing what training the job requires.
4. Performance Appraisal: A performance appraisal compares each employee’s actual
performance with his or her duties and performance standards. Managers use job analysis
to learn what these duties and standards are.
5. Compensation: Compensation levels usually depend on the job’s required skill and
education level, safety hazards, degree of responsibility, and so on—all factors you assess
through job analysis.

Position Analysis Questionnaire (PAQ)
One popular quantitative analysis tool is the Position Analysis

Questionnaire (PAQ).
 A PAQ is a questionnaire used to collect quantifiable data

concerning the duties and responsibilities of various jobs.
≈ Sometimes collecting quantifying data is more appropriate than
qualitative methods such as interviews and questionnaires in which
discussions are captured.
≈ A PAQ score can be added up and shows the rating on each of the
job’s activities.
≈ The PAQ’s strength is in assigning jobs to job classes to clarify for pay
purposes.

Methods of Collecting Job Analysis
Information
Interviews Questionnaires
Participant
Observation
Diary/Logs
1-125
Interviews
 Most widely used method

 Lets workers report activities and behavior that
might not otherwise surface
 Major problem is distortion of information

Writing Job Descriptions
Job description
≈ Written statement
of what the
jobholder does,
how he or she does
it, and under what
conditions the job is
performed
Job Redesign
Methods of job redesign include:

1.Job enlargement means assigning workers additional
same-level activities. This means more duties within the job
position that may contribute toward an employee feeling a
sense of pride that his or her responsibilities have increased.
2.Job rotation is systematically moving workers from one job
to another. This job redesign strategy is helpful in adding to
or building on to employee competencies, if an organization
requires broader knowledge of the organization skills.
3.Job enrichment is redesigning jobs in a way that increases
the opportunities for the worker to experience feelings of
responsibility, achievement, growth, and recognition.

Strategy and Workforce Planning
The heart of personnel

planning involves thinking
through the skills and
competencies the firm needs
to execute its overall strategy.

How to Forecast Personnel Needs
Forecast revenues first

Estimate the size of the
staff required to achieve this
volume

Trend analysis Ratio analysis

≈Studying your ≈Making forecasts
firm’s based on the ratio
employment between some
levels over the causal factor and
past five years to the number of
predict future employees
needs required
1-131
 Scatter plot
≈ A graphical method used to help identify the
relationship between two variables
1-132
Forecasting
Its strategic
Its financial
Its important
Its either quantitative or
qualitative or both
Its always wrong

Simple Moving Average
Forecast – uses historical
data to generate a forecast.
Works well when demand is
stable over time.

Moving Average Example
Actual 3-Month
Month Shed Sales Moving Average
January 10
February 12
March 13
April 16 (10 + 12 + 13)/3 = 11 2/3
May 19 (12 + 13 + 16)/3 = 13 2/3
June 23 (13 + 16 + 19)/3 = 16
July 26 (16 + 19 + 23)/3 = 19 1/3
1-135
Graph of Moving Average
Moving
Average
30 – Forecast
28 – Actual
Shed Sales
26 – Sales
24 –
22 –
20 –
18 –
16 –
14 – | | | | | | | | | | | |
12 –J F M A M J J A S O N D
10 – 1-136
Succession Planning
 Succession planning
≈ The process of ensuring a suitable supply of
successors for current and future key jobs arising
from business strategy
≈ Careers of individuals can be planned and managed
to optimize the organization’s needs and the
individuals’ aspirations
 Question: How is succession planning and

development (SP&D) handled in family
businesses?

Succession Planning (cont.)
 Analysis of demand for managers

 Audit of existing executives
 Planning of individual career paths
 Accelerated promotions
 Performance-related training and development
 Planning strategic retirement

Recruiting via the Internet
Home pages
Job boards
Dot-jobs domain
Virtual job fairs
1-139
Advertising for Candidates
 The local newspaper or the web is usually the

best source of blue-collar, clerical, and lower-
level administrative employees.
 For professionals, you can advertise in trade
and professional journals.

Constructing the Ad
Attention
Interest
Desire
Action
1-141
Recruiting a More Diverse Workforce
Single Minorities
Parents and Women
Those with
Disabilities
1-142
Chapter 5 / 6
Personnel Planning and Recruiting

Selecting Employees
1-143
Why Careful Selection Is Important
 Leads to improved employee and

organizational performance.
 Your own performance always depends partly
on the performance of your subordinates.
 Can help reduce dysfunctional behaviors at
work.
 It’s costly to recruit and hire employees.

Why Recruiting Is Important
 Recruiting Yield Pyramid

 Improving Recruitment Effectiveness
 Pre-employment Activities

 The recruiting yield pyramid is the historical arithmetic

relationships between recruitment leads and invitees,
invitees and interviews, interviews and offers made, and
offers made and offers accepted. Filling even a few
positions might require recruiting dozens or hundreds of
candidates.
 The quality of the firm’s recruiting process had a big impact

on what candidates thought of the firm. Many candidates
have stated that the recruiter was the reason many were
impressed with the job and company. Having qualified and
effective recruiters are essential to the recruitment process.

 Recruitment sourcing is also important to

improving recruitment effectiveness. Recruitment
sourcing involves determining what your
recruitment options are, and then assessing which
are best for the job in question.
 Employers should also build its brand or reputation
amongst potential applicants. The branding often
focuses on what it’s like to work at the company,
including company values, and the work
environment the employer fosters.

 Numerous federal, state, and local laws and court

decisions restrict what employers can and cannot
do when recruiting job applicants. The key
question in all recruitment procedures is whether
the method limits qualified applicants from
applying.
 The line and supervisor’s roles are very important
and essential. Because these people understand
the position and what’s entailed, they should be
included in the recruitment process.

Legal Implications and Negligent Hiring
 Negligent hiring
≈ Hiring workers
with criminal
records or other
such problems
without proper
safeguards

 Reliability
≈ Consistency of scores obtained by the
same person when the person is
retested with the identical test or with
an equivalent form of a test
≈ Retest estimate
≈ Equivalent-form estimate
≈ Internal comparison estimate

 Test validity
≈ The accuracy with which a test,
interview, etc. measures what it
purports to measure or fulfills
the function it was designed to
fulfill

Using Tests at Work
 Outback is looking for employees who are

highly social, meticulous, sympathetic, and
adaptable.
 Outback uses a special personality
assessment test as part of a three-step pre-
employment interview process.
 The company compares the candidate’s test
results to the profile for Outback Steakhouse
employees.

Tests of Cognitive Abilities
 Intelligence tests (IQ tests)

≈ Tests of general intellectual
abilities including memory,
vocabulary, verbal fluency, and
numeric ability
www.wonderlic.com
Tests of Motor and Physical Abilities
 Measure finger dexterity,

strength, manual dexterity, and
reaction time
 Stromberg Dexterity Test
≈ Measures the speed and accuracy
of simple judgment as well as the
speed of finger, hand, and arm
movements
Personality Tests
 Emphasize the “big five” personality

dimensions as they apply to personnel
testing
 Extroversion, Emotional stability,
Agreeableness, Conscientiousness,
Openness to experience
 Most difficult tests to evaluate and use

Personality Tests
 Conscientiousness shows a consistent

relationship with all job performance criteria.
 Extroversion is a valid predictor of performance
for managers and sales employees.
 Openness to experience and extroversion
predicts training proficiency for all occupations.

Measure of Negative Affectivity
1-157
Management Assessment Centers
 Management assessment
center
≈ A facility in which management
candidates are asked to make
decisions in hypothetical situations
and are scored on their
performance

Management Assessment Centers
In-basket Leaderless group

≈ The candidate is discussion
faced with an ≈ A leaderless group
accumulation of is given a
reports, memos, discussion question
notes of incoming and told to arrive at
phone calls, letters, a group decision.
and other materials.
1-159
Management Assessment –
Publix Presentations
 Managers were given time

to prepare for a three-five
minute presentation
 Presentations were video-
recorded, reviewed with
expert presenters, and
development decisions
were made.

Common Interviewing Mistakes
 Snap judgments Influence of nonverbal

 Negative emphasis behavior
 Not knowing the job Attractiveness
 Pressure to hire Ingratiation
 Candidate order Nonverbal
(contrast) error implications
1-161
Checking Social Networking Sites
 More employers are checking candidates’

social networking sites’ postings.
 Recruiters found that 31% of applicants had
lied about their qualifications and 19% had
posted information about their drinking or drug
use.

Making the Selection Decision
1. Whichever approach you use, use it

systematically.
2. It is very helpful to create, using the multiple
regression statistical approach, a formula that
relates your criterion score with scores on
several weighted predictor scores.
3. A more informal approach is still usually better
than nothing.

Training and Developing
Employees
1-164
Orienting Employees
Employee
orientation
≈ Provides new
employees with basic
background
information needed to
perform their jobs
satisfactorily

Orienting Employees
Socialization
≈ The continuing process of
instilling in all employees the
attitudes, standards, values and
behavior patterns expected by
the company

Orientation Programs
Covers:
 Employee benefits
 Personnel policies
 The employee’s daily routine
 Company organization and operations
 Safety measures and regulations

Orienting Employees
The new employee should:

 Feel welcome
 Understand the organization in a broad sense
 Be clear about what the firm expects in terms of
work and behavior
 Begin the process of socialization

Training’s Purpose and Process
Training
≈ Methods used to
give employees
the skills they
need to perform
their jobs

Training and Development
 The term training is associated with skills that are used for
short-term application. Large firms follow this process:
≈ Research and development creates new practices,
≈ Headquarter pilots the new practice in several locations,
≈ New practices is integrated into the process,
≈ Selected regional trainers are trained,
≈ Managers are trained,
≈ Employees are trained, and
≈ Train new employees when needed and adjust as necessary.
 The term development usually implies the acquisition of
qualities and attributes that help an employee become
more competent in the long-term.

Training Steps
(Development Triad = _____, _____ and _____)
1. ____them
2. ____ them
3. Let them ____ you
4. Let them ____ you
5. Give ____.

Training Today
1. Training is increasingly technology

based.
2. Trainers tend to focus more on
improving organizational
performance.
3. Training’s focus is broader today
than it was years ago.

Training and Development Process
Needs Analysis
Instructional
Evaluation
Design
Implementation
1-173
Training Needs Analysis
First step: Determine what

training, if any, is required
≈ “Skills gapping”
≈ Employers determine the skills
each job requires, and the skills of
the job’s current or prospective
employees.

Training Needs Analysis (cont.)
Task analysis
≈ Detailed study of the job to
determine what specific skills are
required

Identifying Training Needs
 Supervisor, peer, self-, and 360-degree

performance reviews
 Job-related performance data
 Observation by supervisors or other specialists
 Interviews with the employee or his or her
supervisor
 Tests of things like job knowledge, skills, and
attendance
 Attitude surveys
 Assessment centers

Competency Models
Competency
≈ Consolidates, usually in one
diagram, a precise overview of
the competencies (the
knowledge, skills, and
behaviors) someone would
need to do a job well
Setting Training Objectives
Training objectives
≈ Specify the employee and
organizational outcomes that should be
achieved as a result of the training
≈ Should specify what the trainee should
be able to accomplish after successfully
completing the training program

Training Techniques
 On-the-job training Computer-based

 Informal learning training
 Apprenticeship DVD-based training
training Simulated learning
 Behavioral modeling Learning portals
 Audiovisual and Mobile training
traditional distance
learning techniques
1-179
On-the-Job Training
 Effective coaching
 Preparing to coach
 Planning
 Active coaching
 Follow-up

Behavioral Modeling
Behavior modeling
≈ Involves showing trainees the right
(or model) way of doing something,
letting each person practice the
right way to do it, and providing
feedback regarding performance

Behavioral Modeling
Modeling
Role Playing
Social Reinforcement
Transfer of Training
1-182
Computer-Based Training
Computer-based training
≈ Trainee uses a computer-based
system to interactively increase
knowledge or skills

Simulated Learning
 Virtual reality-type games

 Step-by-step animated guide
 Scenarios with questions and decision trees
overlaying animation
 Online role-play with photos and videos
 Software training, including screenshots with
interactive requests

Learning Portals
Learning portal
≈A section of an employer’s
website that offers employees
online access to many or all of
the training courses they need to
succeed at their jobs

Virtual Classroom
Virtual classroom
≈ Uses special collaboration software
to enable multiple remote learners,
using their PCs or laptops, to
participate in live audio and visual
discussions, communicate via
written text, and learn via content
such as PowerPoint slides
Mobile Learning
Mobile learning
≈ Delivering learning content on
demand via mobile devices like cell
phones, laptops, and iPhones,
wherever and whenever the learner
wants to access it
≈ “On-demand learning”

Mobile Learning
 Capital One Bank purchased 3,000 iPods for

trainees who had enrolled in one of instructor-led
courses at its Capital One University.
 The training department then had an Internet
audio book provider create an audio learning site
within Capital One’s firewall.
 Employees used it to download the instructor-
requested books and other materials to their
iPods.

Training for Special Purposes
Lifelong learning
≈ Providing employees with
continuing learning experiences
over their tenure with the firm, with
the aims of ensuring they have the
opportunity to learn the skills they
need to do their jobs and to expand
their horizons
Managerial Development and Training
Managerial development
≈ Attempt to improve managerial
performance by imparting
knowledge, changing attitudes,
or increasing skills

Principles for Designing Leadership
Development Programs
1. Make sure the program flows from and advances the

company’s strategy and goals.
2. Involve top management in formulating the program’s goals.
3. Design the program to improve the managers’ deficiencies
and needs that you identify ahead of time.
4. Aim for practicality rather than just theory.
5. Specify concrete competencies and skills outcomes using
realistic learning methods, like action learning projects where
trainees solve real company problems.
6. Aim for short, high-involvement, 3- to 4-day programs rather
than longer immersion programs.
1-191
Managerial On-the-Job Training
Job rotation Coaching/understu

≈ Moving dy method
management ≈ The new manager
trainees from receives ongoing
department to advice from the
department to person he or she is
broaden their scheduled to replace
understanding of all
parts of the
business
1-192
Action Learning
Action learning
≈ Giving groups of managers
released time to work full-time
analyzing and solving problems
in departments other than their
own

Lewin’s Process for Overcoming
Resistance
 Unfreezing
≈ Reducing the forces that are striving to maintain
the status quo
 Moving
≈ Developing new behaviors, values, and attitudes
 Refreezing
≈ Building in the reinforcement to make sure the
organization doesn’t slide back into its former ways
of doing things

Organizational Development
Survey Team
feedback building
Sensitivity
training
1-195
Four Level Model of Evaluating Training Programs
(Kirkpatrick and Kirkpatrick, 2006)
 Level 1 - Reaction. Identify and describe reaction as a process where

evaluation at this stage measures how well those who participate in the
program react to it. This reiterates the need to ascertain levels of
organizational resistance, adaptability to change and the change process.
 Level 2 – Learning. Learning, is defined as the extent which participants
change their attitudes, improve knowledge, and/or increase skill as a
result of attending the program.
 Level 3 – Behavior. Behavior is simply the extent to which behavior
change occurred because the participants attended the training program.
In order for change to occur, the following four conditions must be met:
1. Persons must have a desire to change;
2. Persons must know what to do and how to do it;
3. Persons must work in the right climate; and
4. Persons must be rewarded for change, that is, positive change.
 Level 4 – Results. Results is the final results such as increased
production, improved quality, decreased costs, reduced frequency and/or
severity of accidents, increased sales, reduced turnover, and higher
profits that occurred because the participants or employees attended the
training program.

Master the Basics and Adjust as Needed
Remember the basics:

≈ Tell them what you are going to tell them,
≈ Tell them,
≈ Tell them what you told them.
Use on-ground, computer-based, and
online training as appropriate for your
audience.
Involve their thoughts (head), feelings
(heart) and actions (habits).
1-197
Performance Management
and Appraisals
1-198
Performance Appraisal
Evaluating an employee’s current

and/or past performance relative to
his or her performance standards

Performance Appraisal
 Requires that supervisors set

performance standards
 Requires that the employee receives
the training, feedback, and incentives
needed to eliminate performance
deficiencies

The Performance Appraisal Cycle
1-201
Why Appraise Performance?
1. Most employers still base pay, promotion, and

retention decisions on the employee’s appraisal.
2. Appraisals play a central role in the employer’s
performance management process.
3. An appraisal lets you and the subordinate
develop a plan for correcting any deficiencies.
4. Appraisals provide an opportunity to review the
employee’s career plans in light of his or her
exhibited strengths and weaknesses.
5. Supervisors use appraisals to identify
employees’ training and development needs.
Performance Management
 Performance management
≈ The continuous process of
identifying, measuring, and
developing the performance of
individuals and teams, and aligning
their performance with the
organization’s goals

Performance Management Programs
The successful implementation of a

comprehensive performance
management system can provide
everyone the direction and support
they need to enhance and improve
their productivity and standards on a
regular basis.

Performance Management Framework:
Balancing People and System Orientations
Systems People
Orientation Orientation
• Assessment of existing • Recruiting and selecting
systems, the best candidates,
• Creation of performance • Hiring and orienting,
management systems, • Growing and developing,
• Evaluation of tasks and jobs, • Assessing and evaluating,
• Creation of appraisal systems, • Recognizing and
• Executing the performance rewarding,
management systems, and • Coaching and disciplining,
• Assessment and enhancement • Training, promoting and
of performance standards. sustaining.
1-205
Performance Management:
Balancing People and System Orientations
(People are the link between a firm’s mission and organizational systems)
High Vision and Mission
Goals and Objectives

Leading Coaching
People Orientation
Training and Development
Balanced Development
2 3 for New Managers

Budget
1 4
Facilitating Managing
LR
System Orientation
Low Level of Complexity High
1-206
Performance Management: Responsibilities
and Skills
Management Responsibilities Skills Needed

Interpersonal
and Performance
Requires Skills
Coaching
Evaluation
Performance and Job
Requires Skills
Assessment and Appraisals
Performance Management Requires Systems Thinking

Strategy, Plan, Design and Development Skills
Who Should Do the Appraising?
 The supervisor
 Peer
 Rating Committee
 Self-Ratings
 Subordinates
 360-Degree Feedback

Peer Appraisal
Peer appraisals have a positive impact on

improving perception of:
 Open communication
 Task motivation
 Social loafing
 Group viability
 Cohesion
 Satisfaction

• The Graphic Rating Scale Method lists a number of traits and a range of performance
standards for each.
• The Alternation Ranking Method specifies the employee who is highest on the trait being
measured and the employee who is the lowest, and then ranks all the employees in
between.
• With the Paired Comparison Method, every subordinate to be rated is paired with and
compared to every other subordinate on each trait.
• The Forced Distribution Method places predetermined percentages of subordinates in
performance categories, as if “grading on a curve.”
• The Critical Incident Method involves keeping an anecdotal record of good or
undesirable examples of an employee’s work-related behavior.
• A Behaviorally Anchored Rating Scale (BARS) combines critical incidents with
quantitative ratings by anchoring a quantified scale with specific narrative examples of
good and poor performance.
• The Management by Objectives Method (MBO) refers to a multistep appraisal program
that requires the manager to set specific, measurable, organizationally relevant goals with
each employee, and discuss progress.

Graphic Rating Form with Behavioral Examples
1-211
Forced Distribution Method
 At Sun Microsystems, managers appraise

employees in groups of about 30.
 There is a top 20%, a middle 70%, and a
bottom 10%.
 The bottom 10% can either take a quick
exit package or embark on a 90-day
performance improvement action plan.

Electronic Performance Monitoring
 Electronic Performance
Monitoring (EPM)
≈ Uses computer technology to allow
managers to monitor their employees’
rate, accuracy, and time spent working
online or just on their computers

Dealing with Appraisal Problems
Ensure fairness
Clarify standards
Avoid halo effect ratings
Avoid the middle
Don’t be lenient or strict
Avoid bias
1-214
Common Appraisal Problems
 Halo effect
≈ The rating of a subordinate on one trait
influences the way you rate the subordinate
on other traits
 Central tendency
≈ The tendency to rate all employees about average
 Leniency or strictness
≈ Rating all subordinates consistently high or low

Performance Appraisal Quotations
 The following quotes are actual statements made on

employee performance evaluations. Such statements,
verbally or in a written format, should be avoided as they
do not lead to effective development of performance
because they are derogatory, sarcastic and not behavior
or performance based.
≈ Works well only when under constant supervision and when
cornered like a rat in a trap.
≈ His men would follow him anywhere but only out of morbid
curiosity.
≈ This employee is not so much of a has-been, but more of a
definite won’t be.
≈ Since my last report, he has reached rock bottom and has started
to dig.
≈ He would be out of his depth in a parking lot puddle.

Performance Appraisal Quotations
 She sets low personal standards and consistently fails

to achieve them.
 This employee should go far, and the sooner he gets
started, the better.
 This employee is depriving the village of an idiot.
 Not the sharpest knife in the drawer.
 He has a room temperature IQ.
 He has a photographic memory but with the lens cover
glued on.
 She is a prime candidate for natural deselection.
 Bright as Alaska in December.
 Donated his brain to science before he was done using
it.

Handling the Appraisal Interview
 Appraisal interview
≈ Supervisor and
subordinate review
the appraisal and
formulate plans to
remedy deficiencies
and reinforce
strengths.

Preparing for the Appraisal Interview
1. Give the subordinate at least a week’s notice to

review his or her work
2. Compare the employee’s performance to his or
her standards
3. Find a private area for the interview
4. Find a mutually agreeable time for the interview
and leave enough time

Conducting the Interview
1.Talk in terms of objective work data

2.Get agreement before the
subordinate leaves on how things will
improve and in what time frame
3.Ensure that the process is fair
4.Know how to deal with defensiveness

Managing Careers
Chapter 9
Career Management
 A career is the occupational positions a

person has had over many years.
 Career management is the process for

enabling employees to better understand
and develop their career skills and interests,
and to use these skills and interests more
effectively.

Career Management
 Career development is the lifelong series of

activities that contribute to a person’s career
exploration, establishment, success, and
fulfillment.
 Career planning is the deliberate process
through which someone becomes aware of
personal skills, interests, knowledge,
motivations, and other characteristics and
establishes action plans to attain specific
goals.
Employer Career Management Methods
Career planning
workshop
Lifelong
learning
accounts
Career coaches

A career planning workshop is a

planned learning event in which
participants are expected to be actively
involved, completing career planning
exercises and inventories and
participating in career skills practice
sessions.

 Most employers do not provide a wide range of

expensive career development options. Career
development systems needn’t be complicated.
 Receiving performance feedback from supervisors,
having individual development plans, and having
access to training is enough for many employees.
Beyond that, job postings, formal career-oriented
performance appraisals, formal counseling and
mentoring with managers, and individual
succession planning for high-potential employees
are valuable.

Career coaches generally help

employees create five-year plans
showing where their careers with the
firm may lead.
The employer and employee base the
development plan on the employee’s
needs.

Improving Mentoring and Coaching
Skills
 Coaching means educating, instructing, and training

subordinates, focusing on shorter-term job-related skills.
 Mentoring means advising, counseling, and guiding,

focusing on helping employees navigate longer-term
career-type hazards..
Coaching and mentoring require both analytical and

interpersonal skills. They require analysis because it’s futile
to advise someone if you don’t know what the problem is.

Improving Mentoring and Coaching
Skills
 Coaching does not mean just telling someone what to

do.
 We can best think of coaching in terms of a four-step
process: preparation, planning, active coaching, and
follow-up.
1. Preparation means understanding the problem.
2. Planning involves reaching an agreement on what needs to
change.
3. Actual “active” coaching means that you are the teacher and
provide the “toolkit” to help the employee.
4. Follow-up is important and involves re-observing the person’s
progress periodically.

Executive Coaches
Executive coaches
≈ Outside consultants who question
the executive’s boss, peers, and
subordinates to identify strengths
and weaknesses
≈ Counsel the executive

Video: The Practical Coaching
 Discussion Question:
≈ What are the main coaching

principles that they
mentioned in the video? Can
it be used in the workplace?

Being a Better Mentor
Mentoring traditionally means having

experienced senior people advising,
counseling, and guiding employees’ longer-
term career development.
Most employees need good mentors. Either
formal or informal, studies show that having a
mentor can significantly enhance one’s career
satisfaction and success.

Mentoring can be both valuable and

dangerous.
 It’s valuable in that it is a positive force, if it is truly
in alignment with the employee’s career goals.
 It can be dangerous in that mentoring touches on
another person’s psychological needs, aptitudes,
and motives.
 Thus, mentors need to be cautious.

 Effective mentors set high standards and

are willing to invest the time and effort to
build a relationship to actively steer the
“protégé” into important projects, teams,
and jobs.
 Effective mentoring requires trust, and the
level of trust reflects the mentor’s
professional competence, consistency,
ability to communicate, and readiness to
share control.
 A protégé’s responsibilities include making the

mentoring relationship work.
 Choosing an appropriate mentor who is objective
yet helpful is important. Make it easier for a
potential mentor to agree to your request, by
making it clear what you expect in terms of time
and advice.
 Be selective about the work-related issues that
you ask about.
 Another note is that the mentoring relationship
generally should not involve personal problems.
Improving Performance Through HRIS
Various talent management systems enable employers to

integrate data from appraisals, career development, training,
and succession planning.
A Sum-Total Succession Planning supports a holistic end-to-
end talent management strategy including:
 360 Feedback
 Career Development
 Compensation Management
 Career Progression
 Learning Management
 Performance Management
 Recruiting and Hiring
Employee Engagement Guide for
Managers
 The New Psychological Contract

 Commitment-Oriented Career Development
Efforts
 Career-Oriented Appraisals

Managers
 Psychological contracts of today are more like a mutual
understanding between employee and organization of
providing the best efforts of the employee and staying loyal
only as long as the employee is there. Loyalty is not
permanent. Globalization and dislocation of jobs overseas,
to mention one workplace change, is why the “new”
understanding is that employees are not permanently loyal.
So, for an organization to keep employees engaged, it will
need to ensure understanding and communicate with the
employee regarding training and development
opportunities to help the employee move through his/her
career either there or elsewhere. With the newer
generation, it’s expected.

Managers
 Commitment-Oriented Career Development Efforts: the
employer’s career planning and development process can
play a role in achieving this.
 Progressive firms recognize the importance to employees
of their need to reach a “self-actualizing or self-fulfillment”
goal and are providing those opportunities.
 Firms can provide this through workshops, mentoring
programs, promotion-from-within programs, and career-
oriented appraisal tools.
 With career-oriented appraisals, the supervisor and
employee jointly merge the latter’s past performance,
career preferences, and developmental needs into a formal
career plan.
Managing Employee Retention and
Turnover
 Turnover
 Managing Voluntary Turnover

Managing Employee Retention
and Turnover
 Turnover is the rate at which employees leave a
firm—it varies widely.
 Depending on the industry, the turnover numbers
can be large (about half employees a year in the
hotel and food services industry) to very small
(12% for the education industry).
 However, this turnover number includes “voluntary
turnover” and not “involuntary turnover.”
Involuntary turnover involves termination for
performance failures, for example.

and Turnover
 Managing voluntary turnover requires
identifying its causes and then addressing
them. Unfortunately, identifying why
employees voluntarily leave is easier said
than done.
 People who are dissatisfied with their jobs

are more likely to leave, but the sources of
dissatisfaction are many and varied.

 Managers should understand that retaining

employees is a talent management issue
and that the best retention strategies are
multifunctional.
 Adequate training, career development
programs, effective selection systems, and
equitable pay all play a big role in retention.

 A Comprehensive Approach to Retaining

Employees can involve getting research
findings on the topic through employment
research data firms.
 Additionally, periodically tracking the
number of employees and identifying top
performers and high potentials who leave
the company and finding out the reasons for
departure is important.

 Having hotlines and exit interviews is one

way to find out reasons.
 Reasons for leaving include low pay, career
prospects, unclear expectations, and
political environments.
≈ Self-directed teams and high-performance
teams result in lower turnover rates.
≈ Flexible work arrangements is one way to attract
talent and prevent turnover.

 Digital and social media tools can vastly improve

the employee engagement/retention process.
≈ Software company SAS’s employee retention program
sifts through employee data on traits like skills, tenure,
performance, education, and friendships.
≈ It can predict which high-value employees are more
likely to quit in the near future (allowing SAS to try to
head that off).
≈ Another company discovered that employees with two
social media accounts perform much better than those
with more or less.

Job Withdrawal
 Job withdrawal refers to actions intended to place

physical or psychological distance between
employees and their work environments.
 Poor attendance and voluntary turnover are two
ways employees withdraw.
 Other examples include employees spending time
gossiping with colleagues, taking many informal
breaks, and simply not doing parts of the job. Job
withdrawal process tends to be incremental, and
evolving from daydreaming to absences to quitting.

Job Withdrawal
 Dealing with job withdrawal can include managers

thinking of withdrawal-reducing strategies in terms
of reducing the job’s negative effects and/or raising
its positive effects.
 Potential positives include job enrichment,
supportive supervision, equitable pay/family-friendly
benefits, disciplinary/appeals processes, career
development opportunities, safe and healthy
working conditions, and high-morale colleagues.
 Interviews, surveys, and observation can help
identify issues to address.
Managing Promotions and Transfers
 Career planning and mentoring often precede promotion

decisions. Additionally, an employer’s promotion processes
must comply with all the same anti-discrimination laws as
do procedures for recruiting and selection. Moreover, the
employer should establish safeguards to ensure that the
promotion decision doesn’t prompt a discrimination claim.
 The only way to prevent this is to make sure procedures
are clear and objective. The Eighth U.S. Circuit Court of
Appeals held that a company’s failure to set objective
guidelines and procedures for promoting current
employees may suggest employment discrimination.

Managing Promotions and Transfers
 Guidelines should cover the following areas:

1. Decision 1: Is Seniority or Competence the
Rule?
2. Decision 2: How Should We Measure
Competence?
3. Decision 3: Is the Process Formal or Informal?
4. Decision 4: Vertical, Horizontal, or Other?
Promotions can be in any direction and not just
upward.

Diversity Counts
The Gender Gap

 Eliminate Institutional Barriers
 Improve Networking and Mentoring
 Break the Glass Ceiling
 Adopt Flexible Career Tracks

Diversity Counts
 Women still don’t reach the top of the career

ladder in numbers proportionate to their numbers
in U.S. industry. Women constitute more than
40% of the workforce, but hold less than 2% of
top management positions. Many women report
great barriers such as not having the same
access or knowing about developmental
opportunities.

Diversity Counts
 Specific steps will help with mitigating the

gender gap issues:
1. Eliminate Institutional Barriers
2. Improve Networking and Mentoring
3. Break the Glass Ceiling: This starts at
the top, with top management’s buy-in
4. Adopt a Flexible Career Track

Diversity Counts
 While the situation is improving, women and men

still face different challenges as they advance
through their careers.
 In one study, promoted women had to receive
higher performance ratings than promoted men to
get promoted.
 Women report more difficulty getting
developmental assignments and geographic
mobility opportunities.
 Women have to be more proactive than men just
to be considered for an assignment.
Managing Transfers
A transfer is a reassignment to similar

positions in other parts of the firm.
Employers may transfer a worker to
vacate a position where he/she is no
longer needed in order to fill a vacant
position in which he/she is needed.

Managing Transfers
Many firms boost productivity by

consolidating positions. Transfers are a
way to give displaced employees a
chance for another assignment or for
some personal growth.
Employees seek transfers for many
reasons—better hours, location of work,
or better advancement opportunities.

Managing Retirements
Managing Retirement:
 Retirement planning is a significant long-term
issue for employers. Some see, that with the
retirement of many Baby Boomers, there will
be a shortage of talent.
 Retirement planning involves strategies in
which the employer will enable the employee
to stay in some capacity and prevent the
skills from leaving the firm.

Managing Retirements
 Numeric computations are done to figure

potential retiring employees. This may also
include demographic analysis.
 Human resources personnel are involved in
establishing policies in which the
organization will attract and retain retirees.
Some of these strategies and policies involve
part-time work opportunities, consultant work,
and flexible work schedule arrangements.

Managing Dismissals
Dismissal is the involuntary termination

of an employee’s employment with the
firm.
Termination at will is the idea, based in
law, that the employment relationship
can be terminated at will by either the
employer or the employee for any
reason.

Managing Dismissals
Termination-at-Will Exceptions have several

protections against wrongful discharge:
1)Statutory exceptions include federal and state equal employment and
workplace laws that prohibit certain dismissals, especially regarding
and dismissals that violate Title VII of the Civil Rights Act.
2)Numerous common law exceptions exist. The courts create these
exceptions based on precedents. For example, courts have held that
employee handbooks promising termination only “for just cause” may
create an exception to the at-will rule.
3)Under the public policy exception, courts have held a discharge to be
wrongful when it was against a well-established public policy.

Grounds for Dismissal
There are four basic grounds for termination:

1.Unsatisfactory performance refers to a persistent failure to
perform assigned duties or to meet prescribed standards on
the job.
2.Misconduct is deliberate and willful violation of the
employer’s rules and may include stealing, rowdy behavior,
and insubordination.
3.Lack of qualifications for the job is an employee’s inability to
do the assigned work, even if hard-working at the job.
4.Changed requirements of the job is an employee’s
incapability of doing the job after the nature of the job has
changed.

Insubordination
Insubordination is a form of misconduct and can be an

employee’s unwillingness to take orders or
disrespectfulness of the manager.
1. Direct disregard of the boss’s authority
2. Direct disobedience of, or refusal to obey, the boss’s orders, particularly
in front of others
3. Deliberate defiance of clearly stated company policies, rules, regulations,
and procedures
4. Public criticism of the boss
5. Blatant disregard of reasonable instructions
6. Contemptuous display of disrespect
7. Disregard for the chain of command
8. Attempt to undermine and remove the boss from power

Avoiding Wrongful Discharge Suits
Wrongful discharge is when an

employee’s dismissal does not comply
with the law or does not comply with
the contractual arrangement stated or
implied by the firm via its employment
application forms, employee manuals,
or other promises.

Specific steps to take to avoid personal liability

would be to:
1. Follow company policies and procedures
2. Administer the discipline in a manner that
does not add to an employee’s emotional
hardship
3. Do not act in anger
4. Utilize the HR department for advice

Sometimes, outplacement counseling

is offered for the individual being
discharged.
Outplacement counseling is a
systematic process by which a
terminated person is trained and
counseled in the techniques of self-
appraisal and securing a new position.
Exit interviews are interviews

conducted by the employer
immediately prior to the employee
leaving the firm with the aim of better
understanding what the employee
thinks about the company.

The exit process should include a

checklist.
Items such as securing company keys
and locking passwords are a way to
protect company assets.
Security should be well thought out
prior to a termination.

Termination Interview
1. Plan the interview carefully

2. Get to the point
3. Describe the situation
4. Listen
5. Review all elements of the
severance package
6. Identify the next step

Building Your Management Skills

Managing the Termination Interview
 Dismissing an employee is one of the most
difficult tasks you can face at work.
 The dismissed employee, even if warned
many times in the past, may still react with
disbelief or even violence.

Building Your Management Skills

Managing the Termination Interview
Guidelines for the termination interview itself are as follows:
1. Plan the interview carefully. According to experts at Hay Associates, this includes:
• Make sure the employee keeps the appointment time.
• Never inform an employee over the phone.
• Allow 10 minutes as sufficient time for the interview.
• Use a neutral site, not your own office.
• Have employee agreements, the human resource file, and a release announcement prepared in advance.
• Be available at a time after the interview in case questions or problems arise.
• Have phone numbers ready for medical or security emergencies.
2. Get to the point. As soon as the employee enters your office, give the person a moment to get comfortable and then inform
him or her of your decision.
3. Describe the situation. Briefly, in three or four sentences, explain why the person is being let go. For instance, “Production
in your area is down 4%, and we are continuing to have quality problems. We have talked about these problems several
times in the past three months, and the solutions are not being followed through on. We have to make a change. Don’t
personalize the situation by saying things like “Your production is just not up to par.” Also, emphasize that the decision is
final and irrevocable. Preserving the employee’s dignity is crucial.
4. Listen. Continue the interview until the person appears to be talking freely and reasonably calmly.
5. Review the severance package. Describe severance payments, benefits, access to office support people, and the way
references will be handled. However, under no conditions make any promises or benefits beyond those already in the
support package.
6. Identify the next step. The terminated employee may be disoriented and unsure what to do next. Explain where the
employee should go next, upon leaving the interview.

Layoffs
 A layoff is a situation in which employees are told

there is no work for them but that management
intends to recall them when work is again
available.
 The layoff process should start with senior
management first making strategic decisions about
the timing and size of the layoff.
 Supervisors assess their subordinates, rating their
nonunion employees. Supervisors then inform
subordinates about their layoff choices.

Layoffs and the Plant Closing Law
The Worker Adjustment and

Retraining Notification Act
(WARN) requires employers of
100 or more employees to give a
60 days’ notice before closing a
facility or starting a layoff of 50 or
more people.

Layoffs and the Plant Closing Law
Downsizing refers to the process of reducing,

usually dramatically, the number of people
employed by the firm. This decision requires
careful consideration. For example:
 The right people to let go
 Compliance with applicable laws
 Process is just and fair
 Security
 Managing employees’ uncertainty respectfully.

Managing Dismissals
 Dismissal should be fair, warranted, and

just
 Manager should ensure that immediate
dismissals are humane

Outplacement counseling
≈ A systematic process by which
a terminated person is trained
and counseled in the
techniques of self-appraisal and
securing a new position

Exit interviews
≈ Interviews conducted by the
employer immediately prior to the
employee leaving the firm, with the
aim of better understanding what
the employee thinks about the
company

Compensation / Employee Benefits
Chapter 10 and 11
1-277
Introduction
Employee compensation
≈ All forms of pay or rewards going to
employees and arising from their
employment
≈ Direct financial payments
≈ Indirect payments

Employee Compensation
Direct financial Indirect payments

payments ≈ Payments in the
≈ Payments in the form of financial
form of wages, benefits like
salaries, incentives, employer-paid
commissions, and insurance and
bonuses vacations
1-279
Basic Pay Factors
Legal
Union
Policy
Equity
1-280
Compensation Policies
A hospital might have a policy of

starting nurses at a wage at least
10% above the prevailing market
wage.
The compensation plan should
support the employer’s strategic aims.

Equity and its Impact on Pay Rates
External equity Internal equity

≈ Pay must compare ≈ Each employee
favorably with rates should view his or
in other companies, her pay as
or an employer will equitable, given
find it hard to attract other employees’
and retain qualified pay in the
employees. organization.
1-282
Equity Theory of Motivation
 Individual equity refers to the fairness of an

individual’s pay as compared with what his or
her coworkers are earning for the same or
very similar jobs within the company, based
on performance.
 Procedural equity refers to the perceived
fairness of the process and procedures used
to make decisions regarding the allocation of
pay.
Equity Theory of Motivation
Managers use various means to

address the equity issues.
Salary surveys, job analysis and job
comparisons, performance appraisals,
and incentive pay strategies, for
example, are ways in which managers
address equity issues.

How Employers Establish Pay Rates
1. Conduct a salary survey

2. Employee committee determines the worth of
each job
3. Group similar jobs into pay grades
4. Price each pay grade by using wage curves
5. Develop rate ranges

Step 3: Group Similar Jobs into Pay
Grades
Pay grade
≈ Comprises jobs
of approximately
equal difficulty or
importance as
determined by
job evaluation

Executive Compensation Variance
Job Ability to
complexity pay
Human
capital
1-287
Incentive Plans
 Individual incentive Variable pay

programs ≈ Group pay plans
≈ Give performance- that tie payments to
based pay to productivity
individual
employees who
meet their individual
performance
standards
1-288
Incentives for Salespeople
Most companies pay their

salespeople a combination of
salary and commissions.
Typically a 70% base salary /
30% incentive mix.

Recognition-Based Awards
 Recognition has a Employee recognition

positive impact on Gift certificates
performance, either Cash rewards
alone or in
conjunction with Merchandise
financial rewards incentives
Training programs
Work/life benefits
Individual travel
Sweepstakes
1-290
Work-Life/Family-Friendly Benefits
 Workplace flexibility
≈ Arming employees with the information technology
tools they need to get their jobs done, wherever the
employees are
 Flexible benefits plans

≈ Initially called “cafeteria plans” because employees
could spend their benefits allowances on a choice of
benefits options

Benefits and Employee Leasing
Employee leasing
≈ Leasing firm becomes the legal
employer and handles all employee-
related paperwork
≈ Also known as professional employer
organizations

Is Money a Motivator?
Does money
motivate?
If you had to spend a
large amount of
money for fun within
24 hours, how can
you use an amount of
$64,000?

Motivation
 The term “motivate” comes from the Latin verb,

movere, which means to cause movement.
 Motivation is about causing others, such as
employees, to move toward some predetermined
objective or goal.
 Psychologically, motivation deals with others’
(employees') needs.

Motivation
Motivation is the psychological forces

within a person that determine:
1. direction of behavior in an organization;
2. the persistence displayed in meeting
goals;
3. the intensity and effort or how hard
people work.

Maintaining Positive Employee
Relations
Chapter 12
1-296
The Meaning of Ethics
Ethics
≈ The principles of conduct governing
an individual or a group
≈ Standards you use to decide what
your conduct should be

The Meaning of Ethics
 It involves morality,
society’s accepted
standards of behavior
 Morality involves basic
questions of right and
wrong and how to treat
other people

Ethics and the Law
The law is not the best guide about

what is ethical.
Something may be legal, but not right.
Ethics means “making decisions that
represent what you stand for, not just
what the laws are.”

Ethics Across Cultures
Cultural Relativism Ethical Imperialism

No culture’s ethics Certain absolute
are superior. truths apply
The values and everywhere.
practices of the local Universal values
setting determine transcend cultures in
what is right or determining what is
wrong. right or wrong.
“When in Rome, do “Don’t do anything
as the Romans do.” you wouldn’t do at
home.”
1-300
Culture & Conditioning
CULTURE is defined as
“The collective programming of the mind which
distinguishes the members of one human group
from another. ... Culture, in this sense, includes
systems of values; and values are among the
building blocks of culture.”
Gert Hofstede (1984), Academician and Consultant

Globalization: Fons Trompenaars
It is difficult, even impossible, for firms to fully

understand every aspect of other cultures in a
short period of time but the differences can be
managed.
Universalism versus Particularism

≈ Universalists believe what is good and right
applies everywhere regardless of the situation or
extenuating circumstances.
≈ Particularists emphasize obligations and
relationships.

Be Ethical and you will sleep well!
The values and Universal values

practices of the transcend cultures
local setting in determining
determine what is what is right or
right or wrong. wrong.
“When in Rome, “Don’t do anything
do as the Romans you wouldn’t do at
do.” home.”
1-303
Corruption of Visa in Vietnam
 Embassy Officer Admits Taking $3M in Bribes for

Visas (November 6, 2013): http://abcnews.go.com/Blotter/embassy-
officer-admits-taking-3m-bribes-visas/story?id=20807987
 “U.S. Diplomat Gets Five Years for Vietnam-U.S. Visa Scheme” (Aug
15, 2015 ): YouTube link https://www.youtube.com/watch?v=cJselZBaTnc

Workplace Unfairness
 Workplace unfairness can be blatant.

 Employees of abusive supervisors
are more likely to quit their jobs, and
to report lower job and life
satisfaction and higher stress.

What Shapes Ethical Behavior at Work?
1. Individual characteristics: Who are

the bad apples?
2. Which ethical situations make for
bad (ethically dangerous) situations?
3. What are the “bad barrels”? What
outside factors mold ethical choices?

Exercise: Southland Corporation and the
“No Resistance” Dilemma
Mr. Wiley has worked for a 7-11 Store in the past eight
years and knows many of his customers by name. One
day, several teenagers came in to the 7-11 Store and
were stealing beer by putting the bottles into their pockets
and bags. Teenagers stealing products from the
convenience store has become normal in this area, and
people do it every week. Mr. Wiley is the store manager
who noticed what these teenagers were doing. He had
an elderly customer at the counter and wanted to solve
this dilemma without putting her in any danger. So, he
went close to the boys, and quietly asked the teenagers
to leave the beer back on the shelf and leave the store.
The teenagers started a fist-fight and started hitting Wiley
with bottles. Almost all the teenagers escaped; however,
Wiley was able to catch and hold one of the thieves until
the police arrived.
1-307
Exercise: Southland Corporation and the
“No Resistance” Dilemma
Mr. Wiley is considered to be a hero in his community

because he was concerned about the safety of his
customers and the value of his stockholders. So, he put
his own life in danger, and caught the thief at the front of
a witness. However, the company has a policy that
explicitly states, “Non-resistance should be taken during a
robbery situation and employees who violate this policy
will be terminated.” Wiley had read, understood, and
signed this written policy. You are the district manager
and in charge of this situation.
Questions for Discussion:
 As the boss, district manager, do you terminate
Wiley? Why or why not?
1-308
Company Pressures
 A judge sentenced major company’s former CFO

to 5 years in jail, allegedly for helping the firm’s
former chairman mask company’s deteriorating
financial situation.
 The government accused him of instructing
underlings to fraudulently book accounting
entries, and of filing false statements with the
SEC.

Pressure from the Boss
Level of misconduct at work dropped

dramatically when employees said
their supervisors exhibited ethical
behavior.
Only about 27% of employees
strongly agreed that their
organizations’ leadership is ethical.

Pressure from the Boss
How supervisors lead subordinates astray:

 Tell staffers to do whatever is necessary to
achieve results
 Overload top performers to ensure work gets
done
 Look the other way when wrongdoing occurs
 Take credit for others’ work or shift blame

Quick Ethics Test
 Is the action legal?

 Is it right?
 Who will be affected?
 Does it fit the company’s values?
 How will it “feel” afterward?
 How will it look in the newspaper?
 Will it reflect poorly on the company?

Training
 Showing employees:
≈ How to recognize ethical dilemmas
≈ How to apply codes of conduct to
resolve problems
 Using personnel activities in
ethical ways

Pillars of the Discipline Process
Set of clear rules and

regulations
System of progressive
penalties
Appeals process
1-314
Labor Relations and Collective
Bargaining
Chapter 13
1-315
The Labor Movement
 12.4% of workers in the U.S. belong to a union.

 About 40% of America’s 20 million federal,
state, and municipal public employees belong
to unions.
 For the first time in many years, union
membership in America actually rose in 2008–
2009.

Why Do Workers Organize?
 Employer unfairness
 To seek protection against the employer’s whims

What Do Unions Want?
 Union security
 Improved wages, hours, working conditions, and
benefits for their members

Union Security
Closed shop Union shop

≈Company can ≈Company can
hire only union hire nonunion
members people, but they
must join the
union
1-319
Union Security
Agency shop Preferential shop

≈Employees who ≈Union members
do not belong to get preference in
the union must hiring, but the
still pay union employer can still
dues hire nonunion
members
1-320
Union Security
Maintenance of membership
arrangement
≈ Employees do not have to belong
to the union, but union members
employed by the firm must maintain
membership in the union for the
contract period

Unfair Employer Labor Practices
1. Interfere with, restrain, or coerce employees

2. Dominate or interfere with the formation of
labor unions
3. Discriminate against employees for their
legal union activities
4. Discharge or discriminate against employees
simply because they file unfair practice
charges
5. Refuse to bargain collectively
Union Drive and Election
Initial contact
Authorization
Election
cards
Campaign Hearing
1-323
Union salting
≈ A union organizing tactic by
which workers who are
employed by a union as
undercover union organizers
are hired by unwitting
employers
Example: Starbucks
 As a company that provides excellent benefits

and working conditions, Starbucks executives
were surprised that some employees may have
expressed a desire to unionize.
 The allegations that some local managers may
have tried to retaliate against employees who
favored the union underscore why all employers
must carefully train supervisors in how to react to
organizing efforts.

Strikes
Economic strike Unfair labor

≈Results from a practice strike
failure to agree ≈protests illegal
on the terms of a conduct by the
contract employer
1-326
Supervisor’s Role
Supervisors must be
knowledgeable about what
they can do to legally hamper
organizing activities, lest they
commit unfair labor practices.

Picketing
Purpose is to inform the public

about the existence of the labor
dispute
Encourages others to refrain from
doing business with employer

Effective Dispute Resolution Practices
 Emphasize fairness
 Cultivate trust
 Manage interpersonal conflict

Why the Union Decline?
 Proportion of blue-collar jobs has been

decreasing
 Intense international competition
 Permanent layoff of thousands of union
members
 Deregulation of trucking, airlines, and
communications; outdated equipment and
factories; technology; mismanagement; and
government regulations
How Unions are Changing
Change to Win
 Very aggressive about trying to organize
workers
 Focused on organizing women and minority
workers
 Focused on organizing temporary or contingent
workers
 Targeting specific multinational companies for
international campaigns

New Union Tactics
Employee Free Choice Act
Class Action Lawsuits
Coordination
Cooperative agreements
Global campaigns
1-332
Improving Occupational Safety,
Health, and Risk Management
Chapter 14
1-333
A Manager’s Briefing on
Occupational Law
Occupational Safety and Health Act

1970
≈ Passed to assure, as far as possible,
every working man and woman in the
nation has safe and healthful working
conditions and to preserve our human
resources

A Manager’s Briefing on
Occupational Law
Occupational Safety and Health

Administration (OSHA)
≈ Basic purpose is to administer the act
and to set and enforce the safety and
health standards
≈ Responsible for promulgating legally
enforceable standards

OSHA Record-Keeping Procedures
 Employers with 11 or
more employees must
maintain records of
occupational injuries
and illnesses, and report
both occupational
injuries and
occupational illnesses

OSHA Record-Keeping Procedures
 Occupational illness
≈ Any abnormal condition or disorder caused by
exposure to environmental factors associated with
employment
≈ Includes acute and chronic illnesses caused by
inhalation, absorption, ingestion, or direct contact with
toxic substances or harmful agents

Inspections and Citations
 OSHA standards are enforced through

inspections and citations.
 OSHA takes a “worst-first” approach in setting
inspection priorities.

Inspection Priorities
1. Imminent dangers
2. Catastrophes and fatal
accidents
3. Employee complaints
4. Specific high-hazard
industries
5. Follow-up inspections

What Causes Accidents?
Chance
occurrences
Unsafe Unsafe
acts by working
employees conditions
1-340
Checklist of Accident-Causing
Conditions
1-341
High-Danger Zones
 About one third of industrial accidents occur

around forklift trucks, wheelbarrows, and other
handling and lifting areas.
 The most serious accidents usually occur near
metal and woodworking machines and saws, or
around transmission machinery, such as gears,
pulleys, and flywheels.

Working Condition-Related
Causes of Accidents
 Strong pressure to complete work as quickly as

possible
 Employees under stress
 Poor safety climate
 Work schedules and fatigue
 Hostility among employees
 Plants with a high seasonal layoff rate
 Blighted living conditions

Working Condition-Related Causes of
Accidents
 The subjects of one safety climate study were

1,127 nurses working in 42 large acute-care
hospitals in the United States.
 The researchers measured safety climate using
items like, “job duties on this unit often prevent
nurses from acting as safely as they would like.”
 Results revealed that safety climate predicted
medication errors, nurse back injuries, patient
urinary tract infections, and patient satisfaction.

What Traits Characterize “Accident-
Prone” People?
Impulsive
Sensation-
seeking
Extremely
extroverted
Less
conscientious
1-345
Steps to Take to Reduce
Workplace Accidents
1-346
Safety Training for Foreigners
1. Teach the program in employees’ native

language
2. Recruit instructors who are from the ethnic
groups they are training
3. Provide some multilingual cross-training for
specific phrases
4. Address cultural differences
5. Don’t skimp on training

Top Management Commitment
 Each morning at the DuPont Polyester and

Nylon Plant, the director and his/her assistants
meet to review the past 24 hours.
 The first matter they discuss is safety.
 Only after they have examined reports of
accidents and near misses, and satisfied
themselves that corrective action has been
taken, do they move on to look at output, quality,
and cost matters.

Foster a Culture of Safety
1. Teamwork
2. Communication and collaboration
3. Shared vision of safety
prevention ADIB KOUTEILI HOANG MINH THANG
4. Assignment of critical safety

functions
NGUYEN THE HANH LE ANH DAO
5. Continuous process of identifying

and correcting hazards

Hot Coffee at McDonalds
1. Let us review the actual facts?

2. Documentary video link:
http://www.youtube.com/watch?v=hXLxu
mvFnBw

Drug-Free Workplace Program
Drug Drug-free
testing workplace
policy
Employee Supervisor
assistance training
Employee
education
1-351
Problems of Job Stress and Burnout
 Work schedule Workplace noise

 Pace of work Number and nature of
 Job security customers or clients
 Route to and from
work
• Workaholic
 A person who feels driven to always be on time and
meet deadlines, and so normally places himself
under greater stress than others do.
1-352
Observable Behavior Patterns Indicating
Possible Alcohol-Related Problems
1-353
Consequences of Job Stress
 Anxiety
 Depression
 Anger
 Physical consequences
≈ Cardiovascular disease, headaches

What the Employer
Can Do to Reduce Stress
 Primary prevention
≈ Focuses on ensuring that job designs and workflows
are correct
 Intervention
≈ Individual employee assessment and attitude surveys
 Rehabilitation
≈ Employee assistance programs and counseling

Burnout
Burnout
≈ Total depletion of physical and
mental resources caused by
excessive striving to reach an
unrealistic work-related goal
≈ Manifested in symptoms such as
irritability, discouragement,
entrapment, and resentment
Computer Monitor Health Problems and
How to Avoid Them
1. Give employees rest breaks

2. Design the maximum flexibility into
the workstation
3. Reduce glare
4. Give workers a complete pre-
placement vision exam

Workplace Smoking
 A policy of not hiring smokers is legal as long as

the rules apply to all applicants and employees

Dealing with Violence at Work
Heighten security measures:

 Improve external lighting
 Use drop safes
 Install silent alarms and surveillance cameras
 Increase the number of staff on duty
 Issue a “no weapons” policy

Enterprise Risk Management
 Instituting a basic
security program
requires analyzing the
current level of risk and
then installing
mechanical, natural, and
organizational security
systems

Setting Up a Basic Security Program
Natural security
≈ Taking advantage of the facility’s
natural or architectural features to
minimize security problems

Setting Up a Basic Security Program
 Mechanical security
≈ The utilization of security systems such as
locks, intrusion alarms, access control
systems, and surveillance systems in a cost-
effective manner that will reduce the need for
continuous human surveillance
 Organizational security
≈ Using good management to improve security

Terrorism
 Check mail carefully

 Identify a lean “crisis organization”
 Identify the shutdown process
 Prepare evacuation plans
 Designate an employee who will communicate
with families
 Specify a staging area for all evacuated
personnel
 Select employees who will do headcounts

Risk Management through Training
Risk mitigation for possible

accidents can take place when you
create awareness and provide
training to reduce it and to prepare
everyone for effectively dealing
with it.

Risk of Viruses from Sick Employees -
Exercise
What is the purpose of the following

sign?

Managing Human
Resources in
Entrepreneurial
Firms
1-366
Why Entrepreneurship Is Important
 Small businesses, which are described as

having less than 200 employees, account for
more than half the people working in the United
States—about 68 million people—and create
about three-quarters of the new jobs.
 Anyone interested in human resource
management needs to understand how
managing human resources in small firms is
different from doing so in huge multinationals.

How Small Business Human Resource
Management Is Different
Size Priorities
The
Informality
Entrepreneur
1-368
Implications
1. Small business owners run the risk that their relatively

rudimentary human resource practices will put them at a
competitive disadvantage.
2. Lack of specialized HR expertise.
3. Small firms often don’t have the time or specialized
expertise to really understand the legal implications.

Implications
4. Small business owners

may not be fully
complying with
compensation
regulations and laws.
5. Paperwork duplication
leads to inefficiencies
and data entry errors.

City Garage
 City Garage’s managers knew they would never

implement their firm’s growth strategy without
changing how they tested and hired employees.
 Old hiring process consisted of a paper-and-
pencil application and one interview.
 City Garage’s solution was to purchase the
Personality Profile Analysis (PPA) online test
from Thomas International USA.
≈ After the 10-minute, 24-question PPA, they can tell
whether the applicant was high or low in four
personality characteristics.

Why HRM Is Important to Small Businesses
 For small firms,

effective human
resource management
is a competitive
necessity.
 Mandatory for getting
and keeping big
customers.

Employment Selection
 Keep it in the industry

 Automate the process
 Test online
 Poll your inner circle
 Send a recording

Employment Training Organizations
 Private vendors
≈ American Management Association, SHRM,
PureSafety, SkillSoft
 SBA
≈ Provides a virtual campus that offers online courses,
workshops, publications, and learning tools aimed
toward supporting entrepreneurs
 NAM Virtual University (www.namvu.com)
≈ Helps employees maintain and upgrade their work
skills and continue their professional development

Flexibility in Training
Step 1 – Write a job description

Step 2 – Develop a task analysis record form
Step 3 – Develop a job instruction sheet
Step 4 – Prepare a training program for the job

Sample Job Instruction Sheet
1-376
Work-Life Benefits
 Extra time off Help employees

 Compressed better themselves
workweeks Feed employees
 Bonuses at critical Make employees feel
times like owners
 Flexibility Make sure employees
 Sensitivity to have what they need
employees’ strengths to do their jobs
and weaknesses Recognize a job well
done
1-377
Work-Life Benefits
Make sure the employee sees

your offerings as a benefit to
them.
The employee’s perception and
perspective is important for their
continued motivation.
1-378
Where is “THE HIDDEN TIGER”?
1-379
Recognition
 Challenging work Note of thanks

assignments Employee-of-the-
 Freedom to choose month award
own work activity Special commendation
 Having fun built into Bigger desk
work Bigger office or cubicle
 More of preferred task
1-380
Informal Training Methods
 Offer to cover the tuition for special classes

 Identify online training opportunities
 Provide a library of tapes and DVDs for systematic,
disciplined learning during commute times
 Encourage the sharing of best practices among
associates
 When possible, send people to special seminars and
association meetings for learning and networking
 Create a learning ethic by having everyone teach each
other what they are learning

Managing HR Globally
1-382
HR and the Internationalization of
Business
Managers should formulate and

execute their market, product, and
production plans on a worldwide
basis.
Even employees who never leave the
home office may need to be
“internationalized.”

The HR Challenges of International
Business
Identifying and
developing talent
on a global basis
≈ Identifying the firm’s
top talent, and
developing
employees’ abilities

What Is International HRM?
The human resource

management concepts and
techniques employers use to
manage the human resource
challenges of their international
operations

Focus of International HR Management
1. Managing human
resources in global
companies
2. Managing expatriate
employees
3. Comparing human
resource management
practices in a variety of
different countries

How Intercountry Differences
Affect HR Management
 The need to adapt personnel policies and

procedures to the differences among countries
complicates human resource management in
multinational companies.
 For example, minimum mandated holidays
range from none in the United Kingdom to five
weeks per year in Luxembourg.

Cultural Factors
Assertiveness Future
≈How much people orientation
in a society are ≈The level of
expected to be importance a
tough, society attaches
confrontational, to future-oriented
and competitive behaviors, such
as planning and
investing in the
future
1-388
Legal and Political Factors Example
After spending billions expanding

into Germany, Wal-Mart
discovered that Germany’s
commercial laws discourage ads
based on price comparisons.
It soon left Germany.

Economic Systems: Europe
 Most EU countries have minimum wage

systems in place.
 The EU sets the workweek at 48 hours, but
most countries set it at 40 hours a week, and
France has implemented a 35-hour
workweek.
 The U.S. practice of employment-at-will does
not exist in Europe, where firing and laying off
workers is usually time-consuming and
expensive.
Economic Systems: China
China’s labor contract law adds

numerous new employment
protections for employees, and makes
it correspondingly more expensive for
employers in China to implement
personnel actions, such as layoffs.

International Staffing: Home or Local?
Expatriates Host country

≈Employees a nationals
company posts ≈Citizens of the
abroad who are country in which
not citizens of the the multinational
country in which company has its
they are working headquarters
1-392
International Staffing: Home or Local?
Locals Third-country
≈ Employees that nationals
work for the ≈ Citizens of a country
company abroad other than the
and are citizens of parent or host
the countries in country
which they are
working; also known
as host country
nationals
1-393
Why Local?
Necessity
Politics Cost
1-394
Why Expats?
Employers often can’t find local

candidates with the required
technical qualifications.
Companies also view a
successful stint abroad as a
required step in developing top
managers.
Values and International Staffing Policy
 Ethnocentric
≈ A management philosophy that leads to the creation of
home market-oriented staffing decisions
 Polycentric
≈ A management philosophy oriented toward staffing
positions with local talent
 Geocentric
≈ A staffing policy that seeks the best people for key jobs
throughout the organization, regardless of nationality

Values and International Staffing Policy
Geocentric
≈ A staffing policy
that seeks the
best people for
key jobs
throughout the
organization,
regardless of
nationality
Cross-Cultural Training
 Level 1
≈ Focuses on the impact of cultural differences and on
raising trainees’ awareness of such differences and
their impact on business outcomes
 Level 2
≈ Aims to get participants to understand how attitudes
form and influence behavior
 Level 3
≈ Provides factual knowledge about the target country
 Level 4
≈ Provides skill building in areas like language and
adjustment and adaptation skills
Performance Appraisal of International
Managers
1. Adapt the performance criteria to the local

job and situation.
2. Weigh the evaluation more toward the on-
site manager’s appraisal than toward the
home-site manager’s.
3. If the home-office manager does the actual
written appraisal, have him or her use a
former expatriate from the same overseas
location for advice.

Steps in Repatriation
1. The firm matches the expat and his/her

family with a psychologist trained in
repatriation issues.
2. The program makes sure that the employee
always feels that he or she is still “in the
loop” with what’s happening back at the
home office.
3. Once it’s time for the expat employee and
his or her family to return home, there’s a
formal repatriation service.
What Are High-Performance Work
Systems?
High-performance
work system
≈ An integrated set of
human resources
policies and practices
that together produce
superior employee
performance

High-Performance HR Policies and
Practices
Human resource metric

≈ The quantitative measure of some
human resource management
yardstick, such as employee
turnover, hours of training per
employee, or qualified applicants
per position

Evidence-Based Human Resource
Management
The use of data, facts, analytics,

scientific rigor, critical evaluation,
and critically evaluated research and
case studies to support human
resource management proposals,
decisions, practices, and
conclusions

What Are HR Audits?
An analysis by which an

organization measures where
it currently stands and
determines what it has to
accomplish to improve its HR
function

What Areas Should the HR Audit Cover?
 Roles and head count Payroll

 Legal issues Documentation and
 Recruitment and record-keeping
selection Training and
 Diversity development
 Compensation Employee and internal
 Employee relations communication
 Mandated benefits Termination and
transition policies
 Group benefits
1-405
Types of Audits
 Compliance audits
≈ How well is our company complying with
current laws and regulations?
 Best practices audits
≈ Are our recruitment practices, hiring practices,
performance evaluation practices, and so on
comparable to those of companies with
exceptional practices?

Types of Audits
 Strategic audits
≈ Are our human resource management
practices helping our company achieve its
strategic goals by fostering the required
employee behaviors and organizational
outcomes?
 Function-specific audits
≈ Audits of one or more specific human
resource management areas, such as
compensation or training and development.

When to Audit?
 New head of human resource

management arrives
 Employee morale, turnover, attendance, or
excessive discipline problems seem to
signal the need to evaluate HR practices
 Company becomes a government
contractor or a subcontractor

The HR Audit Process
1. Decide on the scope of

the audit
2. Draft an audit team
3. Compile the checklists
and other tools that are
available
4. Know your budget
5. Consider the legalities
6. Get top management
support
The HR Audit Process
7. Develop the audit

checklist
8. Collect the data about
the company and its HR
practices
9. Benchmark the findings
10. Provide feedback to
your firm’s HR
professionals and
senior management
11. Create action plans
1. Exclusive organizational culture. People are homogenous and outsiders are
easily distinguished from insiders due to the group’s socialization process and
expected norms.
2. Tolerance culture. This is the “melting pot” mindset and assimilation is the
norm. Assimilation requires people to lose their cultural differences and blend
into the group or wider society.
3. Awareness and sensitive culture. Managers and employees receive some
basic training about diversity, cultural sensitivity, and the importance of
respecting each other and professionalism.
4. Pluralistic culture. Pluralism takes place when cultural differences are
acknowledged and preserved.
5. Inclusive organizational culture. Groups can be heterogeneous and together
they create a distinctive competitive advantage through teamwork and their
unique cultural knowledge.

Inclusivity and Diversity Consciousness
An inclusive culture encourages

diversity consciousness.
≈ Diversity consciousness means that
everyone must be able to function in a
workplace that is comfortable with
pluralism.
≈ Diversity consciousness is an effective
approach to personal success in managing
workplace diversity.

Grading Criteria
 A (Excellent): An Inclusive Workplace

≈ Displays excellent ability of hiring diverse employees,
with a balanced distribution of diverse staff in all
departments
≈ Cultural differences are preserved. Fairness, equality of
treatment, zero tolerance of discrimination, and
opportunity for all staff and applicants are practiced on a
daily basis
≈ Every staff member is being respected and valued
≈ Opportunities are available to develop and demonstrate
individual skills and potential
≈ Guidance, support, and constructive feedback is provided
for developmental purposes
≈ Success depends upon individual effort and team
performance, not a manager’s “biased” preferences.
Grading Criteria
D (Poor): An Exclusive Workplace

≈ Displays low ability to hire diverse employees
≈ Denies opportunities for certain minority groups or
individuals with different beliefs
≈ Employees are not treated with respect or appreciated
for their diversity
≈ There is little orno opportunity to excel or demonstrate
individual skills

Management is a privilege, not
a job.
Police, evaluate and improve your management
skills!
Manage and guide effectively!
1-415
Textbook(s) Resources
 Dressler, G. (2019). Fundamentals of Human Resources Management

(5th edition). Prentice Hall: New York.
 Gomez-Mejia, L.R., Balkin, D.B., & Cardy, R.L. (2012). Managing
human resources (7th ed.). Upper Saddle River, NJ: Pearson
Education Inc.
 Mujtaba, B. G. (2014). Managerial Skills and Practices for Global
Leadership. ILEAD Academy: Davie, Florida.
 Mujtaba, B. G. (2010). Workplace Diversity Management: Challenges,
Competencies and Strategies. Florida: ILEAD Academy.
 Noe, R. A., Hollenbeck, J. R., Gerhart, B. and Wright, P. M. (2010).
Human Resource Management: Gaining a Competitive Advantage -
7th.Edition. McGraw-Hill: New York. ISBN: 978-0-07-353047-5.
 Pfeffer, J. (1998). The human equation: Building profits by putting
people first. Boston, MA: Harvard Business School Press.

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“Human Resources Management” /

Dr. Bahaudin G. Mujtaba, Nova Southeastern University

 The course serves as an introduction to human

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1. Describe and explain the key functions and practices

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The enhanced learning or

 Execution is about learning and knowing

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 The execution theory focuses on the

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 As per the execution theory, once the

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1. Answer the question “What is human resource

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Lower-level Middle-level Upper-level

What is your strongest management

≈ Skills Inventory Survey Online:

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 Human resource management is the

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To perform the “people” part of an organization’s

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All managers should know the policies

 To help ensure that you get results—

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1. Placing the right person in the right job

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6. Interpreting the company’s policies and

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1. How you would you handle this

 Assign a spokesperson for your team (starting with

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 Small firms (e.g., those with less

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• Today, two-thirds of the U.S.

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 May be the most high-

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 All these trends are occurring

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Human resource managers today use the best

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Sustainability is the ability of a

Stakeholders include shareholders,

To show that HRM activities contribute to a

 Pride and satisfaction with employer and job

HR salaries vary according to position,

The primary professional organization