19
Management
:
Principles and
Practices
Griffin
© 2010 South-Western, Cengage Learning, Inc.
All rights reserved.
Student Version
PowerPoint Presentation by Charlie Cook
The University of West Alabama
The Environmental Context of HRM
• Human Resource Management (HRM)
 The set of organizational activities directed at
attracting, developing, and maintaining an effective
work force.
• The Strategic Importance of HRM
 HRM is increasingly important as firms realize the
value of their human capital in improving productivity.
 HRM is critical to bottom-line performance of the firm.
 HR planning is now part of the strategic planning
process.
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19–2
The Legal Environment of HRM
Equal Employment
Opportunity
Compensation
and Benefits
Labor
Relations
Health
and Safety
Title VII of Civil
Rights Act of 1964
Fair Labor
Standards Act of
1938 (FLSA)
National Labor
Relations Act of
1935 (Wagner Act)
Occupational
Safety and Health
Act of 1970 (OSHA)
Equal Pay Act
of 1963
Labor Management
Relations Act
of 1947
(Taft-Hartley Act)
Pregnancy
Discrimination Act
Age Discrimination
in Employment Act
Americans with
Disabilities Act
Civil Rights Act
of 1991
Employee
Retirement Income
Security Act of
1974 (ERISA)
Family and Medical
Leave Act of 1993
(FMLA)
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19–3
The Legal Environment of HRM (cont’d)
Emerging Legal Issues
Sexual
harassment
Alcohol
and drug
dependencies
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
AIDS in
the workplace
19–4
Attracting Human Resources
Job Analysis
A systematic analysis of jobs within
an organization.
Job Description
A listing of the job’s duties; its working
conditions; and the tools, materials, and
equipment use to perform the job.
Job Specification
A listing of the knowledge, skills, abilities,
and other credentials the incumbent
jobholder will need to do a job.
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19–5
Recruiting Human Resources (cont’d)
Advertising
Campus interviews
Executive search firms
Sources of
External Recruits
Union halls
Employee referrals
Employment agencies
Walk-ins
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19–6
Selecting Human Resources
• Validation:
 Determining the extent to which a selection device is
predictive of future job performance.
 Predictive validation

Correlating previously collected test scores of employees
with the employees’ actual job performance.
 Content validation


The use of logic and job analysis to determine that selection
techniques measure the exact skills needed for job
performance.
Used to establish the job relatedness of a selection device.
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19-7
Selecting Human Resources (cont’d)
Selection Methods
and Tools
Application
Blanks
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
Tests
Interviews
19–8
Developing Human Resources
• Training and Development
 Training

Teaching operational or technical employees how to do the
job for which they were hired.
 Development

Teaching managers and professionals the skills need for
both present and future jobs.
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19–9
Developing Human Resources (cont’d)
Rater Errors in
Performance Appraisal
Recency
error
Errors of
leniency and
strictness
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
Halo
error
19–10
Maintaining Human Resources
• Determining Compensation
 Compensation

The financial remuneration given by the organization to its
employees in exchange for their work.
– Wages
– Salary
– Incentives
 Purposes of compensation


Provide means to maintain a reasonable standard of living.
Provide a tangible measure of the value of the individual to
the organization.
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19–11
Maintaining Human Resources (cont’d)
Managing Benefits
Effectively
Shop carefully for best-cost providers
Avoid redundant coverage
Provide only benefits that employees want
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19–12
Managing Labor Relations
Avoiding Unionization
Provide fair
treatment with
clear standards
Provide a
complaint and
appeal system
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
Avoid
favoritism
19–13
Managing Knowledge Workers
• Knowledge Workers
 Contribute to an organization based on what they
know (e.g., computer scientists, engineers, and
physical scientists).
• Characteristics of Knowledge Workers
 Tend to work in high-technology areas.
 Are abstract knowledge experts.
 Like to work independently and identify strongly with
their professions.
 Have skills that require continual updating and
additional training.
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19–14
Key Terms
• human resource management
• Equal Pay Act of 1963
• human capital
• Employee Retirement Income
Security Act of 1974
• Title VII of the Civil Rights Act
of 1964
• adverse impact
• Family and Medical Leave Act
of 1933
• Equal Employment Opportunity
Commission
• National Labor Relations
(Wagner) Act
• Age Discrimination in
Employment Act
• National Labor Relations Board
(NLRB)
• affirmative action
• Labor-Management Relations
(Taft-Hartley) Act
• Americans with Disabilities Act
• Civil Rights Act of 1991
• Fair Labor Standards Act
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
• Occupational Safety and
Health Act of 1970 (OSHA)
19-15
Key Terms (cont’d)
• employment-at-will
• development
• job analysis
• Behaviorally Anchored Rating
Scale (BARS)
• replacement chart
• employee information system
(skills inventory)
• 360-degree feedback
• recruiting
• performance appraisal
• internal recruiting
• job evaluation
• external recruiting
• benefits
• realistic job preview (RJP)
• labor relations
• validation
• collective bargaining
• training
• grievance procedure
• compensation
• knowledge workers
© 2010 South-Western, Cengage Learning, Inc. All rights reserved.
19–16