Chapter 9 Notes

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Arjun Nigam

Chapter 9 Notes – Human Resource Management

- Human Resource Management; process of determining human resource needs and then recruiting,
selecting, developing, motivating, evaluating, compensating, and scheduling employees to achieve
organizational goals
- To create people advantage
o Understand external environment
o Understand internal environment
o Select most critical HR topics and set priorities
o Initiate projects with teams
o Secure support from top management

Human Resources Planning Process


- Preparing human resources inventory of organization’s employees
o Include age, name, education, training, skills
- Preparing Job Analysis
o Job Analysis; study of what is done by employees who hold various job titles
o Necessary to recruit and train employees with necessary skills to do the job
o Job Description; summary of objectives of a job, type of work to be done, responsibilities
and duties, working conditions, and other functions
 Statements about the job
o Job Specification; written summary of minimum qualifications required of workers
 Statements about the person who does the job
- Assessing future HR demands
o Ensure people are available when needed
- Assessing future HR supply
- Establishing strategic plan
o Address recruitment, selection, training, and development
o Must have upper management support
- Recruitment; set of activities used to obtain sufficient number of right people at right time

Selection
- Selection; process of gathering info and deciding who should be hired, under legal guidelines, for
best interests of individual and organization
o Extremely expensive process
- Process involves 5 steps
o Obtaining complete application forms
o Conducting interviews
o Giving employment tests
o Confirming background information
o Establishing trial periods

Contingent Workers
- Contingent workers; workers who do not have regular, full-time employment
o Anyone that works less than 30 hours a week
Arjun Nigam

Training and Developing Employees


- Training and Developing; all attempts to improve productivity by increasing employees ability to
perform, focus on short-term skills
- Employment Orientation; activity that introduces new employees to organization; to fellow
employees, to their supervisors, and to the policies, practices, values, and objectives of firm
- On-the-job Training; training in which employee immediately begins his tasks and learns by doing,
or watching others for a while
- Apprentice programs; training programs involving period during which a learner works alongside
experienced employee to master skills and procedures of craft
- Off-the-job Training; training occurs away from workplace and consist of internal or external
programs to develop any of a variety of skills or to foster personal development
- Online training; training programs in which employees “attend” classes via internet
- Vestibule training; training done in schools where employees are taught on equipment similar to
that used on the job
- Job simulation; use of equipment that duplicates job conditions and tasks so that trainees can learn
skills before attempting them on the job

Management Development
- Management Development; process of training and educating employees to become good
managers and then monitoring progress of their managerial skills over time
- Programs include
o On-the-job coaching
o Understudy positions
o Job rotation
o Off-the-job courses and training
- Enabling; giving workers education and tools they need to make decisions

Networking
- Networking; process of establishing and maintaining contacts with key managers in one’s own
organization and other organizations and using those contacts to weave strong relationships
- Mentor; experienced employee who supervises, coaches, and guides lower-level employees by
introducing them to right people and generally being their organizational sponsor

Pay Equity
- Pay Equity; equal pay for work of equal value
- Women are usually paid less than men in all categories

Fringe Benefits
- Fringe Benefits; benefits such as sick-leave pay, vacation pay, pension plans, and health plans that
represent additional compensation to employees beyond base wages
- California-style benefits; benefit plans that allow employees to choose which benefits they want up
to a certain dollar amount

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