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Recruiting
process of generating a pool of qualified applicants for organizational jobs
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Labor markets
external supply pool from which employers attract employees
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Labor market componenets
labor force population -> applicant population -> applicant pool -> individuals selected
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Labor force population
all individuals who are available for selection if all possible recruitment strategies are used
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Applicant population
a subset of the labor force population that is available for selection using a particular recruiting approach
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Applicant pool
all persons who are actually evaluated for selection
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Considerations for determining applicant popoulations
- number and type of recruits needed, - timing of recruiting to ensure timely placement, - external and internal messages on job details, - qualifications of competent applicants to be considered, - sources for obtaining qualified applicants, - outsides and inside recruiting means to be used, - administrative recruiting and application review activities
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Continuous recruiting
efforts to recruit offer the advantage of keeping theemployer in the recruiting market. ex:college campus recruiter
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Intensive recruiting
may take the form of vigorous recruiting campaign aimed at hiring a given number of employees, usually within a short period of time
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RPO (recruitment process outsourcing)
can be done to improve the number and quality of recruiting candidates, as well as to reduce recruiting costs
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PEO (professional employer organizations)
has its own workforce, which it supplies by contract to employers with jobs (outsourcing)
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Recruiting diversity
- persons with different racial/ethnic backgrounds, - older workers over 40 years of age, - single parents, - workers with disabilities, -welfare-to-work workers, - homeless/substance abuse workers
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Advantages of external recruiting
- new sources bring new perspectives, - training new hires may be cheaper and faster because of prior external experience, - new hires are likely to have fewer internal political supporters in the firm, - new hires may bring new industry insights and expertise
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Disadvantages of external recruiting
- the firm may not select someone who will fit well with the job and the organization, - the process may cause morale problems for internal candidates not selected, - new employees may require longer adjustment periods as well as orientation efforts
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External recruiting sources
media sources, newspapers, magazines, television, radio and billboards
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Headhunters
the size of the fees and the aggressiveness with which some firms puruse candidates for executive and other openings have led to such firms being called headhunters
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Employment agency search firms are split in two
(1) contigency firms that charge a fee only after a candidate has been hired by a client company and a (2) retainer firmst hat charge a client a set fee whether or not the contracted search is successful
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Internal recruiting methods
organizational databases, job postings, promotions and transfers, current employe referrals
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Advantages of internal recruiting
- the morale of a promotee is usually high , - the firm can better assess a candidate's abilities due to prior work actions, - recruiting costs are lower for some jobs, - the process is a motivator for good performances by employees, - the process can aid succession planning future promotions, and career development, - the firm may have to hire only at the entry level and then move employees up based on experience and performance
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Disadvantages of internal recruiting
- inbreeding of employees may result in a less diverse workforce, as well as a lack of new ideas, - those persons not promoted may experience morale problems, - employees may engage in political infighting for promotions, - a development program often is needed to transfer employees into supervisory and management jobs, - some managers may resist having employees promoted into their departments
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Job posting
system in which the employer provides notices of job openings and employees respond by applying for specific openings
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Yield ratio
comparison of the number of applilants at one stage of recruting process with the number at the next stage
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Selection rate
percentage hired from a given group of candidates
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Acceptance rate
percent of applicants hired divided by total number of applicants offered jobs
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Selection
the process of choosing individuals with the correct qualifications needed to fill jobs in an organization
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Placement
fitting a person to the right job
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Person/job fit
matching the KSAs of individuals with the characteristics of jobs
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5 mismatch situations of person/job fit
- skills/job qualifications, - geography/job location, - time/amount of work, - earnings/expectations, - work/family
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Person/organization fit
the congruence between individuals and organizationa factors
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Selection criterion
characteristic that a person must possess to successfully perform work
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Predictors of selection criteria
measurage or visible indicators of selection criteria
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Elements of good job performance
- quantity of work, - quality of work, - compatibility with others, - presence at work, - length of service, - flexibility
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Selection criteria
- ability, - motivation, - intelligence, - conscientiousness, - appropriate risk for employer, - appropriate permanence
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Predictors of selection criteria
- experience, - past performance, - physical skills, - education, - interests, - salary requirements, - certificates/degrees, - test scores, - personality measures, - work references, - previous jobs and tenure
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Correlation coefficient
index number that gives the relationship between a predictor variable and a criterion variable
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Concurrent validity
measured when an employer tests current employees and correlates the scores with their performance ratings
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Predictive validity
measured whe ntest results of applicants are compared with subsequent job performance
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Selection responsibilties
- HR unit, - managers
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HR unit
- provides intial reception for applicants, - conducts initial screening internview, - administers appropriate employment tests, - obtains background and reference information and sets up a physical examination if used, - refers top candidates to managers for final selection, - evaluates success of selection process
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Manager
- requisition employees with specific qualifications to fill jobs, - participate in selection process as appropriate, - interview final candidates, - make final selection decision, subject to advice of HR specialist, - provide follow-up information on the suitability of slected individuals
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Realistic job preview
process through which a job applicant receives an accurate picture of a job
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Application form serves 4 purposes
1. it is a record of the applicants desire to obtain a position, 2. it provides the interviewer with a profile of the applicant that can be used during the interview, 3.it is a basic employee record for applicants who are hired, 4.it can be used for research on the effectiveness of the selection process
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Application disclaimers
- employment at will, - reference contacts, - employment testing, - application time limit, - information falsification
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Employment at will
indicates the right of the employer or the applicant to terminate employment at any time with or without notice or cause
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Reference contacts
- requests permission to contact previous employers listed by the applicant on the application form or resume
- - phone or written
- - negligent hiring
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Employment testing
notifies applicants of required drug tests, pencil and paper tests, phsycial exams, or electronic or other tests that will be used in employment decision
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Application time limit
indicates how long application forms are active and that persons must reapply or reactive their applications after that period
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Information falsification
conveys to an applicant that falsification of application information can be grounds for serious reprimand or termination
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Illegal questions to ask on application forms
- marital status , - height/weight, - number and ages of dependents, - information on spouse, -date of high school graduation, - contact in case of emergency
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Cognitive ability test
test that measure an individuals thinking, memory, reasoning, verbal, and mathematical abilities
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Physical ability tests
tests that measure an individuals abilities such as strength, endurance, and muscular movement
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Psychomotor tests
tests that measure desterity, hand-eye coordination, arm-hand steadiness and other factors
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Work sample tests
test that require an applicant to perform a simulated taskt hat is specified part of the target job
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Situational judgement tests
tests that measure a person's judgment in work settings
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Big 5 personality characteristics
- conscientousness, - openness to experience, - emotional stability, - extroversion, - agreeableness
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Conscientousness
- achievement oriented, careful, hardworking , organized, responsible
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Openness to experience
- flexible in thought, - open to new ideas, - broad-minded, - curious, - original
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Emotional stability
- neurosis, - depression, - anger, - worry, - insecurity
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Extroversion
- sociable, - gregarious, - talkative
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Agreeableness
- cooperative, - good natured, - softhearted, - tolerant, - trusting
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Structured interview
interview that uses a set of standardized questions asked of all applicants
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Type of interview
- biographical, - behavioral, - competency, - situational, - stress, - nondirective
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Biographical interview
focuses on a chronological assessment of the candidate's past experience
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Behavioral interview
interview in which applicants give specific examples of how they ahve performed a certain task or handled a problem in the past
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Situational interview
structured interview that contains questions about how applicants might handle specific job situations
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Nondirective interview
interview that uses questions developed from the answers to previous questions
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Stress interview
interview designed to create anxiety and put pressure on applicants to see how they respond
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Panel interview
interview in which several interviewers meet with candidate at the same time
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Team interview
interview in which applicants are interviewed by the team members with whom they will work
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Negligent hiring
occurs when an employer fails to check an employee's background and the employee injures someone on the job
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Negligent retention
occurs when an employer becomes aware that an employee may be unfit for work but continues to employ the person and the person injures someone
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Selection process for global assignments
- cultural adjustment, - personal characterisitics, - organizational requirements, - communication skills, - personal/family concerns
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Cultural adjustment
individuals who accept foreign job assignments need to succesfully adjust to cultural differences; - cultural awareness, - cultural adaptability, - diversity acceptance, - global experiences
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Personal characteristics
the experiences of many global firms demonstrate that the best employees in the home country may not be the best employees in a global assignment, primarily because of personal characteristics of individuals; - emotional stability, - ambiguity tolerance, - flexibility and risk taking, - physical stress coping
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Organizational requirements
may global employers find that knowledge of the organization and how it operates is important; - organizational knowledge, - technical abilities, - job-related skills
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Communication skills
expatriate employees should be able to communicate in the host country language both orally and in writing; - language capabilities, - nonverbal awareness, - coaching and listening skills, - conflict resolution abilities
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Personal/family concerns
the preference and attitudes of spouses and other family members can influene the success of expatriate assignments; - personal life demands, - family considerations, - financial/economic concerns, - career development
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Training
process whereby people acquire capabilities to gain the achievement of organizational goals
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Types of training
- required and regular, - job and technical, - interpersonal problem solving, - developmental and career
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Knowledge management
the way an organization identifies and leverages knowledge in order to be competitive
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Performance consultin
process in which a trainer and an organization work together to deide how to improve organizational and individual results
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4 Training process phases
- assessment phase, - design phase, - delivery phase, - evaluation phase
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Assessment phase
- organizational analysis, - job/task analysis, - individual analysis, - develop training objectives
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Organizational analysis
training needs can be diagnosed by analyzing organizational outcomes and lookin at future organizational needs
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Job/task analysis
review the jobs involved and the tasks performed in those jobs; KSAs
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Individual analysis
diagnosing training needs focuses on individuals and how they perform their jobs. sources: - performance appraisals, - skill tests, - individual assessment tests, - records of critical incidents, - assessment cetner exercises, - questionnaires and surveys, - job knowledge tools, - internet input
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Develop training objectives
established by gap analysis which indicates the distance between where an organization is with its employee capabilities and where it needs to be
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3 types of training objectives
- attitutde, - knowledge, - skill
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Attitude
creating interest in and awareness of the importance of something (sexual harassment training)
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Knowledge
imparting cognitive information and details to trainees (understanding how a product works)
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Skill
developing behavioral changes in how jobs and various task requirements are performed (improving speed on an installation)
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Design phase
- - learning readiness
- - learning styles
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Learner readiness
means that individuals have the ability to learn, which many people certainly have
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Learner characteristics
- ability to learn, - motivation, - self-efficacy
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Ability to learn
learners must possess basic skills, such as fundamental reading and math proficiecy and sufficient cognitive abilities
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Motivation
a persons desire to learn training content, referred to as "motivation to learn" is influenced by multiple factors
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Self-Efficacy
which refers to people's belief that hey can succesfully learn the training program content. (must have the ability to believe they can learn a subject) ex: college students who are in math classes have drops in their self-efficacy because they do not believe they can learn the subject
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Learning styles
- vark system, - behavior modeling, - reinforcement
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Vark system
4 distinct learning styles: Visual, Aural/Aduitory, Read/Write and Kinesthetic
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Visual
learners learn best whe ninformation is presented in the visual form such as graphs, charts, and maps
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Aural/Auditory
learner prefer attending lectures, class discussions and group discussions and recall information presented in stories and anecdotes
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Readin/Writing
learners work best with the written word they prefer to learn with lits, dates, essays and books
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Kinesthetic
learners prefer interacting with their information ex;hands on activities
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Behavior modeling
the most elementary way in whic hpeople learn and of the best is through behavioral modeling or copying someone else's behavior. Used extensively as the primary means for training supervisors and managers in interpersonal skills
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Reinforcement
based on the law of effect, which states that people tend to repeat responses that give them some type of positive rewrad and to avoid actions actions associated with negative consequences
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Immediate confirmation
(related to reinforcement) which is based on the idea that people learn best if reinforcement and feedbck are given as soon as possible after training
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Transfer of training
meets two conditions: (1) trainees take the material learned in training and apply it to the job conext in whic hthey work (2) employees maintain their use of theleraned material over time.
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Transfer occurs.
when trainees actually use the knowledge and information they learned in training on the job
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Types of training
- required, - technical, - interpersonal, - problem solving, - orientation
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Delivery phase
- informal, - OJT, - role playing-simulations, - E-learning
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Informal (internal source)
which occurs thorough interactions and feedback among employees
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On-the-Job (OJT) training
most common type of training at all levels in an organization because it is flexible and relevant to what employees do
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Stages of OJT
- prepare the trainees, - present the information, - provide the trainees with practice, - do follow-up
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Prepare the trainees
- put them at ease, - find out what they know, - get them interested
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Present the information
- tell, show, question, - preset one point at at ime, - make sure the trainees know
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Provide the trainees with practice
- have the trainees perform the tasks, - ask questions, - observe and correct, - evaluate mastery
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Do-follow up
- put the trainees on their own, - check frequently, - reduce follow-up as performance improves
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Role playing- Simulation
computer-supported simulations iwthin e-learning can replicate the psychological and behavioral reuquirements of a task often in addition to providing some amount of physical resemblance to the trainee's work environment. ex: pilots and air simulation programs
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E-learning
is the use of the Internet or an organizational intranet to conduct training online. popular with employers and major advantages are cost savings and access to more employees
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Advantages of E-learning
- is self-paced; trainees can proceed on their own time, - is interactive, tapping multiple trainee senses, - enables scoring of exercise/assessments and the appropriate feedback, - incorporates built in guidance and help for trainees to use when needed, - allows trainers to update content relaively easily, - can enhance instructor led training, - is good for presenting simple facts and concepts, - canbe paired with simulation
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Disadvantages of E-learning
- may cause trainee anxiety, - some trainers may not be interested in how it is used, - requires easy and uninterrupted access to computers, - is not appropriate for some training (leadership,cultural changes), - requires significant upfront investment both in time and cost, - requires significant support from top managemetn to be successful, - some choose not to do it even if it is available
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Evaluation phase
- reaction, - learning, - behavior, - results
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Reaction
organizations evaluate the reaction levels of trainees by conducting interviews with or administering questionnaires to the trainees. ex: ask managers to survey and rate the value of training from attending an workshop
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Learning
- learning levels can be evaluated by measuring how well trainees have learned facts, ideas, concepts, theories and attitudes. ex: Tests
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Behavior
- evaluating training at the behavioral level means measuring the effect of training on job performance through observing job performance. ex: managers that attended the workshop will be evaluated as they give actual interviews
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Results
- employers evaluate results by measuring the effect of training on the achievement of organiztional objectives. ex:done by comparing records before and after training
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Talent management
having the right number of people with the right KSAs at the right place and time
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Adult learning
ways in which adults learn differently than younger people
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Active practice
performance of job-related tasks and duties by trainees during training
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Spaced practice
- practice performed ins several sessions spaced over a period of hours or days
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Massed practice
- practice performed all at once
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Cross training
training people to do more than one job
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Blended learning
learning approach that combines methods, such as short, fast-paced, interactive computer-based lessos and teleconferencing with traditional classroom instruction and simulation
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Cost-benefit analysi
comparison of costs and benefits associated with training
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Talent Management
having the right number of people with the right KSAs at the right place and time
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Talent management system
- acquisition, - steps, - results
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Acquisition
recruiting, selection
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Steps
training, career planning, succession planning, development, performance management
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Results
management talent, key job talent, retention
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Career
series of work related positions a person occupies throughout life
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Career influencing factors
- - flatter organizations = more horizontal moves, - growth of project based and team assignments, - mergers, acquisitions & restructuring, -emphasis on self-reliance & lifelong learning,
- - organizational vs. individual perspective
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Organization centered career planning
career planning that focuses on identifying career paths that provide for the logical progression of people between jobs in an organization
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Career paths
represent employee movments through opportunities over time
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Individual centered career planning
career planning that focuses on an individuals responsibilitiy for a career rather than on organization needs
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Career stages
- early, - mid, - late
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Early
- 20 years +/-, - needs include identifying interests and exploring several jobs, - concerns: external rewards, acquiring more capabilities
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Mid
- 30-40 years, - needs include advancing in career; lifestyle may limit options, growth opportunities, - concerns: values, contribution, integrtity and well being
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Late
- 50 years +/-, - needs include updating skills; individual is settled in; individual is a leader whose opinions are valued, - concern: mentoring, disengaging, organizational continuance
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Career plateaus
those who do not change jobs and only move laterally instead of up, - can get off career plateaus by attending seminars and university courses
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Technical & professional workers
include engineer, scientist, and IT systems experts present a special challenge for organizations
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Dual-career ladder
is a system that allows a person to advance up either a mangement or technical/professional ladder. ex: given special titles if they do not want to move up into the management role
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Dual-career couples
marriages in which both mates are managers , professionals, or technicians have doubled over the past two decades
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Recruitment & relocation
- relocation - must be absolutely necessary because it can upset the couples relationships,
- recruitment - recruiting an individual to a new location may cause a HR specialist to also look for another job for their couple
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Training
possible to train people new abilities and services; customer service questions, enter data, drive a truck
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Development
efforts to improve employees abilities to handle a variety of assignments and to cultivate employees capabilties beyond those required by current job
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Training VS Development
- focus, - time frame, - effective measures
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Training focus
- learn specific behaviors and actions, - demonstrates techniques and processes
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Effectivess measures
- - performance appraisals, - cost benefit analysis, - passing tests,
- - certification
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Development focus
- - understand information concepts and context,
- - develop judgements, - expand capacities for assignments
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Effectiveness measures
- availability of qualified people when needed, - possibility of promotion from within, - HR based ocmpetitive advantage
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Development approaches
- job site methods, - off site methods
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Job site methods
- coaching, - commmittees, - job rotations, - assistant to position
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Coaching
- oldest technique, - which is training and feedback given to employees by immediate supervisors
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Committee assignmetns
- assigning promising employees to importatnt committes may broaden their experiences and help them understand the personalities, issues, and processes governing the organization. ex: employees on safety committee can gain a greater understanding of safety management
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Job rotation
- process of moving a person from job to job used as adevelopment technique. ex: a promising young manager may spend 3 months in a plant, 3 months in corporate planning and 3 months in purchasing
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Assistant to positions
- firms create assistant positions which are staff directly under a manager, meets managers they might have not met
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Off-site methods
- classroom courses, - seminars, - outdoor training, - sabbatical/leave
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Classroom courses / Seminars
- widely acceptable but can be passive, - also send employees to externally sponsored seminars or professional courses
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Outdoor training
- send employees outdoor in the wilderness which can last one day or even seven days or longer is that such experiences can increase self-confidence and help individuals reevaluate personal goals and efforts
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Sabbaticals and leave of absence
- a sabbatical is time of fthe job to develop and rejuvenate onself, some employers provide paid sabbbaticals for socialy desirable projects including leading training programs in ghettos, providing technical assistance in foreign countries and particiapting in corporate volunteer program
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Management development
- experience plays a central role in management development
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Management mentoring
relationship in which experienced managers aid individuals in the earlier stages of their careers
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Succession planning
the process of identifying aplan for hte orderly replacement of key employees
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Total Rewards
all monetary and nonmonetary rewards provided by an organization to attract, motivate and retain valued employees
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Types of compensation
- base pay, - variable pay, - benefits
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Base pay
the basic compensation that an employee receives, usually as a wage or a salary
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Variable pay
compensation linked directly to individual, team, or organizational performance
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Benefits
indirect reward given to an employee or gorup of employees as a part of membership in the organization ex:health insurance
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Compensation philosophies
- entitlement orientation, - performance orientation
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Entitlement
assumes that individuals who have worked anohter year are entitles to pay increases with little regard for performance differences; - seniority-based compensation, - across the board raises, - pay scales increased annually, - industry comparisons of compensation only - holiday bonuses given to all employees
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Performance
requires that compensation changes reflect performance differences; - no raises for length of service or job tenure, - no raises for poor performing employees, - market adjusted pay structures, - broader industry comparisons, - pay linked to performance targets
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Economic factors
- strength or weakness of job market, - ability to pay based on business results
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Compensation approach
- base pay - competency/skill based pay , - base and variable pay, - team based pay
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Competency / Skill based pay
rewards individuals for the capabilties they demonstrate and acquire; start at base level pay and and receive increases as they learn
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Equity considerations
- internal equity, - external equity, - pay openness/secrecy
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Equity
perceived fairness between what aperson does and what the person receives
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Internal equity
employees receive compensation in relation to the knowledge, skills and abiilties they use in their jobs as well as their responsibilities and accomplishments. 2 key issues: procedural and distributive justice
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Procedural justice
perceived fairness of the process and procedures used to make deciisions about emplyees
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Distributive justice
perceived fairness in the distribution of outcomes
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External equity
- employer experiences high turnover, - stuck with less skilled workers due to uncompetitivess, - orgs track external equity by using pay surveys
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Pay secrecy
anohter issue concerns the degree of secrecy that organizations have regarding their payo systems - nondisclosure of compensation
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Legal constraints
fair labor standards act, - lilly ledbetter fair pay act, - equal pay act,- state laws
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Fair labor standards act (FLSA)
- establishes a minimum wage, - child labor provisions, - exempt/non-exempt status, - overtime provisions
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Minimum wage
establishes a minimum wage and can only be changed by congressional action
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Child labor provisions
sets the minimum age for employment with unlimited hours at 16 yrs. - for hazardous minimum is 18, - 14-15 may work outside oschool hours with certain limitations
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Exempt employees
hold positions for which employers are not required to pay overtime; executive, administrative, professional, computer employees, outside sales
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Non exempt employees
must be paid overtime
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Overtime
FLSA established, - pay at one and one-half times the regular pay rate for all hours over 10 a week does not apply to farm workers
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Lilly ledbetter fair pay act
as a result of limited time allowd under law for claiming pay discrimination based on sex, religion, color, disability and othe protected characteristics the lily ledbetter fair pay act was signed by president obama in january 2009
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Equal pay act
of 1963, applies to both men and women and prohibits using different wage scales for men and wome nperforming substiantially the same job
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State laws
garnishment laws occurs when a creditor obtains a court order that decirects an emplyer to set aside a portion of an employees wages to pay a debt owed passed by consumer credit protection act
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Developing a base pay system
- job analysis, job evaluation and pay surveys
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Job analysis
developed using current job descriptions and job specificiations
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Job evaluation
formal systematic means to identify the relative worth of jobs within an organization
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Point mehod
most widely used job evaluation method looks at compensabl efactors in a group of simlar jobs and places weights or ponts on them.
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Compensable factor
identifies a job value commonly present throughout a group of jobs
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Hay point system
uses 3 factors : know-how, problem-solving ability, and accountability
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Ranking method
is a simple system that places jobs in order, from highest to lowest by their value to the organization. - the entire job is considered than individual components generally more appropriate in small organizations with fewer jobs
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Pay surveys
- prepared surveys, - developing a pay survey
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Develop pay structure
- develop a market line, - establish pay grades and ranges
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Develop a market line
process ties pay survey information to job evaluation by plotting a market line that shows the relationship between job value as determined by job evaluation points and job value as determined by pay survey rates
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Establish pay grades and ranges
- minimum, - midpoint, - maximum, - broadbanding
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Minimum
20% below market line
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Midpoint
direclty on the market line
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Maximum
20% above the market line
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Broadbanding
practice of using fewer pay grades with much broader ranges than in traditional compensation systems
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Individual pay
- rates out of range, - pay compression
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Rats out of range
- red-circled , - greed-circled
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Red circled employee
is an incumbent who is paid above the range set for the job. ex: employee is paid hgher than everyone in his pay range they would either cut his pay or freeze it until everone catches up
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Green circled employee
is an incumbent who is paid below the range set for a job ex:employee is paid below pay grade so promotions, rapid pay increases, are available to reach pay grade
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Pay compression
which occurs when the pay differences among individuals with defferent levels of experience and performance become small. ex:managers will occasionally pay more for scarce skills
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Pay increases
- pay for performance (merit) matrix, - seniority, - lump sum, - COLA
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Matrix
a system for integrating appraisal ratings and pay changes must be developed and applied equally
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Seniority
the time spent in an organization or on a partivular job can be used as the basis for pay increases. ex:have policies or ar eautomatic for required lengths
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Lump sum
is a one time payment of all or part of a yearly pay increase
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Cost of living adjustments (COLA)
a common pay-raise practice is the use of a cost of living adjustment. ex: are tied to changes in the consumer price index or other general economic measure
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