Managing Human Resources
Chapter 9
9
Chapter
THE FUTURE OF BUSINESS
Gitman & McDaniel
5th Edition
Prepared by
Deborah Baker
Texas Christian University
Learning Goals
1 What is the human resource management process and
how are human resource needs determined?
2 How do human resource managers recruit and select
qualified applicants?
3 What types of training and development do organizations
offer their employees?
4 How are performance appraisals used to evaluate
employees’ performance?
Chapter 9
5 What are the different methods for compensating
employees?
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2
Learning Goals
6 What is organizational career management?
7 Why does a diverse workforce lead to stronger
performance in the marketplace?
8 What are the key laws and federal agencies affecting
human resource management?
Chapter 9
9 What trends are affecting human resource management?
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3
Human Resource Success Factors
 Attracting and hiring the best
employees
 Equipping employees with the skills
needed to excel
 Compensating employees fairly
Chapter 9
 Motivating employees to reach their
full potential
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4
Human Resource Challenges
 Competition for a limited number of employees
 Employees are struggling to balance their home and
work lives
 Managers are challenged to manage and
communicate with employees around the globe
 A diverse and multicultural workforce requires better
workplace communication and training
 Technology is impacting decision making,
communication, and business operation
Chapter 9
 Human resource laws are dictating many aspects of
the employee-employer relationship
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5
1
Learning Goal 1
Chapter 9
What is the human resource
management process and how are
human resource needs determined?
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6
1
Human Resource Management
Chapter 9
Human Resource
Management
The process of hiring,
developing, motivation,
and evaluating
employees to achieve
organizational goals
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7
1
Human Resource Management Process
Strategies and
objectives of
the organization
Job analysis
& design
HR planning &
forecasting
Chapter 9
Training and
development
Employee
recruitment
Performance planning
and evaluation
Employee
selection
Compensation
and benefits
Organizational career management:
Employee job changes and
disengagement
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8
Human Resource Planning
1
Job analysis
& design
HR planning &
forecasting
Chapter 9
Job Analysis
Employee
recruitment
Employee
selection
A study of the tasks required
to do a particular job well
Job Description
The tasks and responsibilities
of a job.
Job Specification
A list of the skills, knowledge,
and abilities a person must
have to fill the job.
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9
Human Resource Planning
1
Job analysis
& design
HR planning &
forecasting
Employee
recruitment
Employee
selection
Determine the number of people
needed by some future time
Chapter 9
The HR
Demand
Forecast
Estimate the number of people
currently involved who will be
available to fill jobs at
some future time
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10
Human Resource Planning Process
1
Corporate strategy
and policy
HR objectives and
policies
HR demand
forecast
Compare
HR supply
forecast
No difference:
requirement = supply
Differences
Chapter 9
HR surplus
1.
2.
3.
4.
Reassign
Layoff
Terminate
Retire
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HR shortage
1. Hire
2. Pay overtime
3. Subcontract
11
2
Learning Goal 2
Chapter 9
How do human resource
managers recruit and
select qualified applicants?
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12
Employee Recruitment
2
Job analysis
& design
HR planning &
forecasting
Internal
Labor Market
Chapter 9
External
Labor Market
Employee
recruitment
Employee
selection
Follow a policy of promotion
from within
Find and attract qualified applicants
from the external sources
Advertising
Search
Firms
Job Fairs
Open
Houses
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13
Employee Selection
2
Job analysis
& design
HR planning &
forecasting
Employee
recruitment
Employee
selection
1. Initial screening: application and interview
2. Employment testing
3. Selection interview
4. Background and reference checks
Employment
Selection
Process
Steps
5. Physical examination
Chapter 9
6. Decision to hire
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3
Learning Goal 3
Chapter 9
What types of training and
development do organizations
offer their employees?
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15
3
Employee Training and Development
Training Needs
Assessment
Training
Objective
Design of
Training Program
Chapter 9
Feedback for
Training
Improvement
Conduct
Training Program
Training
Program Evaluation
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16
4
Learning Goal 4
Chapter 9
How are performance
appraisals used to evaluate
employees’ performance?
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17
4
Performance Planning and Evaluation
Performance Planning:
Setting standards
and expectations
Chapter 9
Employee job
task behavior
Performance
evaluation
Rewards and
job changes
Performance
Feedback
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18
5
Learning Goal 5
Chapter 9
What are the different methods
for compensating employees?
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19
5
Employee Compensation and Benefits
Hourly wages
Salaries
Types of
Compensation
Piecework & commission
Accelerated commission schedule
Bonus
Chapter 9
Profit sharing
Fringe benefits
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20
6
Learning Goal 6
Chapter 9
What is organizational
career management?
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21
Chapter 9
6
Job Changes within the Organization
Promotion
An upward move to a position with
more authority, responsibility, and pay.
Transfer
A horizontal move to a position with
about the same salary and
organizational level.
Demotion
The downgrading or reassignment
of an employee to a position
with less responsibility.
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22
Separations
Chapter 9
6
Layoff
Temporary separation of an employee
Arranged by employer
Termination
Permanent separation of an employee
Arranged by employer
Resignation
Permanent separation of an employee
Arranged by employee
Retirement
Separation of an employee at the end of
his or her career
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23
7
Learning Goal 7
Chapter 9
Why does a diverse workforce
lead to stronger performance
in the marketplace?
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24
Cultural Diversity
Chapter 9
7
1.
Lower costs
2.
Better hiring
3.
More effective marketing
4.
Greater employee creativity
5.
More effective problem-solving
6.
Quicker adaptation to change
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Competitive
Advantages
25
Chapter 9
7
Cultural Diversity
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26
8
Learning Goal 8
Chapter 9
What are the key laws and
federal agencies affecting
human resource management?
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27
8
Laws Affecting HR Management
1. Fair Labor Standards Act (1938)
2. Equal Pay Act (1963)
3. Occupational Safety & Health Act (1970)
4. Americans with Disabilities Act (1990)
Chapter 9
5. Family and Medical Leave Act (1993)
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28
The EEOC Process
8

Investigation

Conciliation

Litigation
Chapter 9
http://www.eeoc.gov
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29
9
Learning Goal 9
Chapter 9
What trends are affecting
human resource management?
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30
9
Trends in Human Resource Management
Protecting whistleblowers
Growth of minority recruiting
Proactive management of diversity
Advancing technology
Chapter 9
Global competition
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31