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Human Capital
- The knowledge education,
- training, skills and
- expertise of a firm’s workers
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Organizational Culture
– core values, beliefs and assumptions shared by members of an organization
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Organizational Climate
– prevailing atmosphere
– its impact on employees
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Internal Environmental Influences
- Organizational Culture
- Organizational Climate
- Bureaucratic Culture
- Empowerment
- Boundaryless Organization Structure
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External Environmental Influences
- Labour Force
- Productivity
- Labour Unions
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History of HRM
Scientific Management --> Human Relations Movement --> Human Resources Movement
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Scientific Management
- – FrederickTaylor
- – concern for production
- – emphasis on efficiency
- – performance-based pay
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- impersonal, dehumanizing
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Human Relations Movement
- – Hawthorne studies
- – concern for people
- – emphasis on communication
- – treat employees with dignity and respect
- – over simplified view of motivation
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Human Resources Movement
- – joint focus on people and productivity
- – motivation through job design
- – acknowledges individual differences
- – employees seen as a competitive advantage
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Role of HR as a Strategic Partner
- Role in Formulating Strategy
- – environmental scanning
- – competitive intelligence
Role in Executing Strategy
- –formulate effective HR procedures
- – execute downsizing and estructuring
- – create effective employee-management
- relationships
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Bona Fide Occupational Requirement (BFOR)
- – a justifiable reason for discrimination
- – based on business necessity for safe and efficient operations
- – intrinsically required by job tasks; eg. must have sight to drive a truck
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Reasonable Accommodation
- – adjustment of employment policies/practices so that no individual is:
- • denied benefits
- • disadvantaged in employment
- • prevented from carrying out a job
- • based on prohibited grounds; eg. work station redesign for wheelchair
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Sexual Harassment
- – sexual annoyance
- • harassment with no direct link to job benefits
- – sexual coercion
- • harassment with direct consequences to job benefits
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Harassment Policies
- Have a clear workplace harassment policy
- Provide company-wide harassment training
- Require signed documentation
- of:
- ----receipt of harassment training
- ---- familiarity with harassment policy
- Investigate all harassment complaints thoroughly
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Characteristics of Effective Diversity Programs
- – Top management commitment
- – Diversity training
- – Inclusive and representative communications
- – Celebrate diversity
- – Support groups/ mentoring programs
- – Diversity audits
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Behavioural Considerations
- – job enlargement (giving more skills for the same job ie. Washing floors and cleaning carpets)
- – job rotation
- – job enrichment (allow people to do other things and give freedom)
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Job Analysis
- procedure for determining:
- • tasks - what is done on the job
- • behaviors – how the job is done
- • environment – under what conditions
- • knowledge, skills & abilities (KSAs) – required to do the job
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Methods of Collecting Job Analysis Information
- Interviews
- Questionnaires
- Observation
- Participant Diary/Log
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Functional Job Analysis
- – responsibility for people, data, things
- -- instructions,reasoning and judgment required
- – mathematical ability requirements
- – verbal/language facility required
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National Occupational Classification (NOC)
– reference tool for writing job descriptions/specifications
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The HR Planning Process
- 1. Forecast Future HR Needs (Demand)
- 2. Forecast Future Internal/External Candidates (Supply)
- 3. Balance Supply and Demand
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Forecasting Future HR Demand
- Quantitative Approaches
- Qualitative Approaches
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Quantitative Approaches
- Trend analysis: review past employment levels
- Ratio analysis: ratio of business activity/employees
- Scatter plot: graph of business activity/employees
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Qualitative Approaches
- Nominal Group Technique
- – experts meet face-to-face
- Delphi Technique
- – experts work independently
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Replacement Charts
– visual representations of likely internal replacement employees for each position
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Succession Planning
– plans to fill key executive positions
– maintains a supply of successors for current and future jobs
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Balancing Supply and Demand: Dealing with a Labour Surplus
- – hiring freeze
- – attrition
- – buy-out and early retirement programs
- reducing hours (job sharing, reduced workweek, part-time work, work
- sharing)
- – layoffs
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Balancing Supply and Demand: Dealing with a Labour Shortage
- – overtime
- – hiring temporary employees
- – subcontracting work
- – external recruitment
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The Recruitment Process
Identifying job openings --> Specify job requirements --> Select methods of recruitment --> Generate pool of qualified candidates
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Recruiting Within the Organization: Advantages
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- enhanced morale if competence is rewarded
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- more commitment to company goals
- –
- longer-term perspective on business decisions
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- more accurate assessment of candidate’s skills
- –
- less orientation required
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Recruiting Within the Organization: Disadvantages
- – discontent ofunsuccessful candidates
- – time consuming to post and interview all candidates if one is already preferred
- employee dissatisfaction with insider as new boss
- possibility of “inbreeding”
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Recruiting Outside the Organization: Advantages
- larger, more diverse pool of qualified candidates
- acquisition of new skills and knowledge for creative problem solving
- elimination of rivalry for transfers/promotions
- cost savings from hiring skilled individuals with no need for training
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Recruiting Outside the Organization: Methods
- online recruiting
- print advertising
- private employment agencies
- executive search firms
- educational institutions
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Steps in the Selection Process
- Prescreening applicants
- Initial selection interview
- Selection testing
- Background investigation and
- reference checking
- Supervisory interview
- Making the hiring decision and offering the job
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Steps in Conducting an Effective Interview
- 1. Planning the interview
- 2. Establishing rapport
- 3. Asking questions and taking notes
- 4. Giving information
- 5. Closing the interview
- 6. Reviewing notes and evaluating the candidate
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The Importance of Reliability and Validity
- Reliability:
- – degree to which selection procedures yield comparable data over time
- Validity:
- – accuracy with which predictor measures what it is intended to measure
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