To manage people well, companies should . . . elevate HR to a position of power and primacy in the organization. — Jack Welch BUILDINGANDMANAGING HUMANRESOURCES OVERVIEW JUSTINE JAY C. ALDERITE 1. Explain why strategic human resource management can help an organization gain a competitive advantage. 2. Describe the steps managers take to recruit and select organizational members. 3. Discuss the training and development options that ensure organization members can effectively perform their jobs. 4. Explain why performance appraisal and feedback is such a crucial activity, and list the choices managers must make in designing effective performance appraisal and feedback procedures. 5. Explain the issues managers face in determining levels of pay and benefits 6. Understand the role that labor relations play in the effective management of human resources. Learning Objectives Building And Managing Human Resources NT ERMESUY research 2 • Human Resource Management (HRM) Activities that managers engage in to attract and retain employees and to ensure that they perform at a high level and contribute to the accomplishment of organizational goals. • Strategic Human Resource Management The process by which managers design the components of a HRM system to be consistent with each other, with other elements of organizational architecture, and with the organization’s strategy and goals. Strategic Human Resource Management NT ERMESUY research 3 Components of a HumanResource Management System NT ERMESUY research 4 Components of a Human Resource Management System RSEUY NT E M research 5 Equal Employment Opportunity (EEO) • The equal right of all citizens to the opportunity to obtain employment regardless of their gender, race, family status, or disability. Contemporary challenges for managers How to eliminate sexual harassment How to make accommodations for employees with disabilities How to deal with employees who have substance abuse problems How to manage HIV-positive employees and employees with AIDs The Legal Environment of HRM How to manage people during pandemic RRSESUPYMS ARCNLTEErM esearch 7 • is concerned with the flow of people into, through, and out of an organization. It involves forecasting the need for labor and the supply of labor, then planning the programs necessary to ensure the need for organization will have the right mix of employees and skills when and where they are needed. Human Resources Planning RRSESUPYMS ARCNLTEErM esearch 8 Recruitment • Activities that managers engage in to develop a pool of candidates for open positions. Selection • The process that managers use to determine the relative qualifications of job applicants and their potential for performing well in a particular job. Recruitment andSelection RRSESUPYMS ARCNLTEErM esearch 9 External Recruiting Recruiting employees from outside the organization Newspapers advertisements, employment agencies, open houses, on-campus recruiting, employee referrals, recruitment fairs, and the Internet Advantages: • Access to a potentially large applicant pool Recruitment • Able to attract people with required skills, & knowledge, etc. • Able to bring in new comers and fresh approach • Be up to date with latest technology Disadvantages: • High costs • Externally recruited employees lack knowledge about the inner workings and may need more training • Uncertainty about the performance of those employees Add a footer RRSESUPYMS ARCNLTEErM esearch 9 Internal Recruiting Recruiting employees from within the organization Promotion, transfer Advantages: • Internal applicants are already familiar with the organization • Managers already know candidates • Can help boost levels of employee motivation and morale Disadvantages: • Limited pool of candidates • Tendency among those candidates to be set in the organization's ways Add a footer Recruitment RRSESUPYMS ARCNLTEErM esearch 10 • Managers find out whether each applicant is qualified for the position and likely to be a good performer. Selection Process and Selection Tools ) RRSESUPYMS ARCNLTEErM esearch 11 Background information Obtained from resumes Educational background, working experience, languages Used to screen out unqualified applicants and identify more promising applicants Background check to verify background information Selection Tools ) RRSESUPYMS ARCNLTEErM esearch 11 Interview Structured interview: same standard questions, e.g “What are your unique qualifications for this position?” Situational interview: present scenario and ask interviewees to indicate how they would handle it. Unstructured interview: interviewer feels free to ask probing questions. Selection Tools ) RRSESUPYMS ARCNLTEErM esearch 11 Paper-and-pencil tests Ability tests: assess skill level, e.g. verbal comprehension, numerical skills Personality tests: measure personality traits and characteristics relevant to job performance Physical ability tests For jobs requiring physical ability, e.g. firefighting, garbage collecting, and package delivery For autoworkers, test for mechanical dexterity Selection Tools ) RRSESUPYMS ARCNLTEErM esearch 11 Training • teaching organizational members how to perform current jobs and helping them to acquire the knowledge and skills they need to be effective performers. Development • Building the knowledge and skills of organizational members to enable them to take on new responsibilities and challenges. Training and Development ) RRSESUPYMS ARCNLTEErM esearch 11 Classroom Instruction • Employees acquire skills in a classroom setting • Includes use of videos, roleplaying, and simulations On-the-Job Training • Training that takes place in the work setting as • employees perform their job tasks • Can be provided by coworkers or supervisors Types of Training & Development RRSESUPYMS ARCNLTEErM esearch 12 Varied Work Experiences • Top managers have need to and build expertise in many areas. • E.g. one-to three-year stint overseas Formal Education • Tuition reimbursement is common for managers taking classes for MBA or job-related degrees. Types of Training & Development RRSESUPYMS ARCNLTEErM esearch 12 Performance Appraisal • The evaluation of employees’ job performance and contributions to their organization. Traits appraisal • Assess employees on personal characteristics that are relevant to the job performance. Behavior appraisals • Assess how employees perform their jobs-the actual actions that employees exhibit on the job. Results appraisals • Assess actual behaviors. outcomes of work Performance Appraisal and Feedback ) RRSESUPYMS ARCNLTEErM esearch 13 WhoAppraises Performance? 360-Degree Performance Appraisal A performance appraisal by peers, subordinates, superiors, clients, and oneself ) RRSESUPYMS ARCNLTEErM esearch 14 The process through which managers: • Share performance appraisal information with subordinates • Give subordinates an opportunity to reflect on their own performance • Develop, with subordinates, plans for the future Formal appraisals • An appraisal conducted at a set time during the year and • based on performance dimensions that were specified in • advance Informal appraisals • An unscheduled appraisal of ongoing progress and areas for improvement Effective Performance Feedback ) RRSESUPYMS ARCNLTEErM esearch 15 • Be specific and focus on behaviors or outcomes that are correctable and within a worker’s ability to improve. • Approach performance appraisal as an exercise in problem solving and solution finding, not criticizing. • Express confidence in a subordinate’s ability to improve. • Provide performance feedback both formally and informally. • Praise instances of high performance and areas of a job in which a worker excels. • Avoid personal criticisms and treat subordinates with respect. • Agree to a timetable for performance improvements. Effective FeedbackTips RRSESUPYMS ARCNLTEErM esearch 16 Pay • Includes employees’ base salaries, pay raises, and bonuses. • Determined by characteristics of the organization and the job and levels of performance. Pay level • The relative position of an organization’s pay incentives in comparison with those of other organizations in the same industry employing similar kinds of workers. Pay structure • The arrangement of jobs into categories based on their relative importance to the organization and its goals, level of skills, and other characteristics. Pay and Benefits RRSESUPYMS ARCNLTEErM esearch 16 Benefits • Benefits are based on membership in an organization • Legally required: MPF, statutory holidays and sick leave • Voluntary: Health insurance, retirement, day care • Cafeteria-style benefits plans allow employees to choose the best mix of benefits for them; can be hard to manage. Pay and Benefits RRSESUPYMS ARCNLTEErM esearch 16 Benefits • the activities managers engage in to ensure they have effective working relationships with the labor unions that represent their employees’ interests. Labor Relations RRSESUPYMS ARCNLTEErM esearch 16 Unions • Represents worker’s interest to management in organizations. • The power that a manager has over an individual worker causes workers to join together in unions to try to prevent this. Unions RRSESUPYMS ARCNLTEErM esearch 16 Collective Bargaining • Negotiation between labor and management to resolve conflicts and disputes about issues as working hours, wages, benefits, working conditions, and job security. Unions RRSESUPYMS ARCNLTEErM esearch 16 ThankYou Justine Jay C. Alderite +639709808782 jjalderite@gmail.com ARCLER Builders & Construction Supply RRSESUPYMS ARCNLTEErM esearch 27