Professional Documents
Culture Documents
Midterm Reviewer For HRM
Midterm Reviewer For HRM
Once the organizations’ goal/s and structure are established. The HR is now ready to
identify and fill in the different areas in the organization to operate. Let us look at how
the previous chapters are important to the functions of HR . Our first stop is the function
of staffing.
Recruitment
● The process of discovering the potential for actual or anticipated organization vacancies. –
DeCenzo and Robbins
● The process of searching for prospective employees and stimulating them to apply for jobs in
the organization- E.B. Flippo
● This function requires the HR to market the company and the position to the qualified
applicants in the labor market. We want to attract applicants who are qualified for the job and
fit in the organization
Elements of a Recruiting Strategy
Brand
● Branding: Company’s efforts to help existing and prospective workers understand why it is a
desirable place to work.
● Think of applicants as consumers and focus on what they want in terms of jobs and careers
● Companies should listen to and reach out to applicants
● Reaching out to people via social networks
● Writing blogs and articles for industry publications
● Philanthropic activities
Focus
● Internal labor markets: Markets in which workers are hired into entry-level jobs and
higher-level jobs are filled from within.
● Actual labor market a company faces depends on:
○ The industry in which the firm operates
○ The types of position the company is seeking to fill
Location
Timing
● HR managers have to consider which jobs have the biggest impact on the firm's financial
results and prioritize filling them.
Decision
● Advertising
○ Advertising job openings on websites, social media, newspapers, and trade journals
● Walk-in, unsolicited applications, and résumés
○ Walk-in applicants and individuals who send unsolicited résumés may or may not be
good prospects for employment
External Recruiting Methods
● Internet and social media
○ Companies and individuals find the Internet cheaper, faster, and more effective
○ Social media is used to create company websites and advertise jobs
Job fairs
● Recruiters set up booths, meet prospective candidates, and exchange employment
information
● Virtual job fair: Conducted online
● Philippines: DoLE every June 12 or May 1
● Schools: every before graduation month
Employee Mobile recruiting
● Process of recruiting candidates via their mobile devices
Employee referrals
● Recommendations about prospective candidates from current employees
Drawback
● Nepotism: Preference for hiring relatives of current employees
Work study programs and internships
● Firms offer work study programs and offer low interest loans for promising recruits,
scholarships and internships
Professional associations and labor unions
● Placement centers are included in the meeting of professional associations
● Labor unions are principal source of applicants for blue collar and some professional jobs
Public and private employment agencies
● Public employment agencies work with recruiters to post their openings in online job banks
○ PESO (Philippine Employment Service Office)
● Private employment agencies , for a fee, match people with full-time jobs
Staffing agencies
● Firms that hire and place workers in temporary jobs
Independent contractors
● Workers who are self-employed and do project work on a contract basis for different
organizations
Employee leasing
● Process of dismissing employees who are then hired by a leasing company and contracting
with that company to lease back the employees
● Internal job posting - Quick way to find qualified employees interested in a position
○ Company intranet
○ Company bulletin boards
○ Promotion
○ Reassignment
○ Transfer
Identifying talent through performance appraisals
● 9-box grid: Comparative diagram that includes appraisal and assessment data to allow
managers to easily see an employee’s actual and potential performance
● Surveys - Surveying managers about how satisfied they are with the recruitment process
○ To help recruit the right kinds of candidates, firms develop employee profiles
○ Employee profile: Profile of a worker developed by studying an organization’s top
performers in order to recruit similar types of people
● Survey
○ New hires are surveyed to check on their satisfaction level
○ Candidates who turned down jobs can provide valuable information about why they
did not accept the firm’s offer
● Recruiting metrics
○ Helps understand which recruiting sources work best for different employees
○ Allows recruiters to find better employees faster and at a lower cost
● Time-to-fill
○ Metric that refers to the number of days from when a job opening is approved to the
date a person is chosen for the job
○ Lower time-to-fill statistics are better
○ Trade-off has to be made between the time to fill a position and the quality of the
candidates needed for the position
● Quality-of-fill
○ Metric that measures how well new hires have gotten up to speed are performing,
and their retention levels
● Yield ratio: Percentage of applicants from a particular source that make it to the next stage
in the selection process
○ Helps indicate which recruitment sources are most effective at producing qualified
job candidates
○ Used to determine how many total applicants a firm needs to attract and advance to
different stages in the hiring process to fill different jobs
● Acceptance rate: Percentage of applicants who accept a firm's jobs after being offered them
○ Lower acceptance rates will require a firm and its HR personnel to determine why
employees are declining offers
● Cost of recruitment
○ Applicant tracking system (ATS): Software application recruiters use to post job
openings, screen résumés and uploaded profiles, contact via email potential
candidates for interviews, and track the time, costs, and other metrics related to
hiring people
Steps in Career Management Process
● Career counseling
○ Talking to employees about their current job activities and performance
● Mentoring programs
○ Reverse mentoring: Program whereby younger employees are called on to mentor
older employees and executives about social media trends, new technology and
marketplace trends
● Tuition assistance programs
○ Large corporations offer their employees tuition assistance to help them further their
careers
● Career plateau: Situation in which for either organizational or personal reasons the
probability of moving up the career ladder is low
● Structural plateau - Marks the end of promotions
● Content plateau - Occurs when a person has learned a job too well and is bored with
day-to-day activities
● Life plateau - More profound and may feel like a midlife crisis
EMPLOYEE SELECTION
● Selection
○ Process of choosing individuals who have relevant qualifications to fill existing or
projected job openings Goal is to maximize hits and avoid misses
● Hits - Accurate predictions
● Misses - Inaccurate predictions
The Goal of Selection: Maximize Hits
Challenges of Employee Selection
● Use of appropriate screening tool that predicts SUCCESS on the job
● Select an applicant that best FIT in the ORGANIZATION and on the JOB
To do this we go back to the cornerstone of recruitment and selection: JOB ANALYSIS
● Job Analysis
○ Job specifications help identify the competencies employees need for success
○ Knowledge, skills, abilities, and other factors (KSAOs)
○ Applicants whose KSAOs are well matched to the job are hired
○ Firms need to be cautious about hiring too many of the same type
Once we have the information necessary to match jobs and applicants we can proceed with
our function
● Reliability:
○ Degree to which interviews, tests, and other selection procedures yield comparable
data over time and alternative measures
○ Interrater reliability - Agreement among two or more raters
● Validity:
○ Degree to which a test or selection procedure measures a person’s attributes
Initial Screening Methods
● Phone screening- is used to narrow down the field and save managers time
● Video resumes: Short video clips that highlight applicants’ qualifications beyond what they
can communicate on their résumés
Application forms
● Provide quick and systematic means of obtaining a variety of information about the applicant
● Weighted application blank (WAB) or scored application form
● Designed to distinguish between successful and unsuccessful employees
Interviews
Types of Interviews
Variables in the Employment Interview
Diversity Management
● Avoid questions related to race, color, age, religion, sex, or national origin
● Questions are acceptable if job-related, and do not discriminate against a protected class
● Consult the Equal Employment Opportunities Law, and DoLE Department Order for
information when constructing guidelines for interviewers
Post-Interview Screening
● Reference Checks Background Checks
○ Negligent hiring: Failure of an organization to discover, via due diligence, that an
employee it hired had the propensity to do harm to others
○ Criminal records checks
○ Credit checks
Pre-Employment Tests
● Objective and standardized measure of a sample of behavior that is used to gauge a
person’s KSAOs relative to other individuals
● Process of evaluating individuals
● Has the potential for legal challenges by applicants
○ K-knowledge
○ S-skills
○ A-abilities
○ O-other attributes
Types of Tests
Criterion-Related Validity
Correlation Scatterplots
ORGANIZATIONAL ANALYSIS
● Business Strategy: Technological Change
○ Ask: Can you access the technology? Do you have the resources to implement the
change? Are the employees skilled to use the new technology?
○ Thus the need for training.
● Business Strategy: A Change in the Environment Condition (Expand or Crisis)
○ Ask: Do you have the capacity to adapt to the change/s? Is the change/s necessary?
Can the members adapt?
○ Thus the need for training.
● TASKS ANALYSIS
○ A star employee is now promoted as department supervisor.
■ We ask: Is the newly promoted employee competent?
■ How: Evaluate behavior important for a supervisor. If the newly promoted
supervisor lacks a characteristic/s of a supervisor, such as: leadership skill.
■ Thus the need for training.
PERSON ANALYSIS
● Performance Appraisal is a tool use to determine who needs the training.
● Poor performance appraisal or deficiency due to ABILITY PROBLEMS may require
TRAINING.
Phase 2: Designing the Training Program
● Issues to be focused on
○ Training’s instructional objectives
○ Readiness of trainees and their motivation
○ Principles of learning
○ Characteristics of instructors
Developing Instructional Objectives
● Information collected through needs assessment, can help state the desired outcomes of
training through written instructional objectives
○ Instructional objectives: Desired outcomes of a training program
■ Describe skills or knowledge to be acquired and attitudes to be changed
■ Are performance centered
Assessing the Readiness and Motivation of Trainees
● Preconditions for learning that affect success
○ Trainee readiness
■ Whether or not the experience and knowledge of trainees have made them
ready to absorb the training
○ Trainee motivation
■ Organization needs to help employees understand the link between the
effort they put into training and the payoff
Incorporating the Principles of Learning
● Goal setting
○ Description of the training program, its objectives, and learning points
● Meaningfulness of presentation
○ Use of simple and understandable terminology during training
● Modeling
○ Increases salience of behavioral training
● Individual learning differences
○ Hands on activities and breaking large groups to smaller groups can help trainers
accommodate different learning styles
● Active practice and repetition
○ Trainees should be given opportunities to practice their job tasks that they will need
to perform
● Whole-versus-part learning
○ Self-paced learning - Tasks can be broken down into parts that lend themselves into
further analysis
● Massed-versus-distributed learning
○ Distributed learning – Spacing out training will result in faster learning and longer
retention
○ Learning curve can be used to track an individual’s progress
■ Plateau - Learning situation when progress does not occur
● Feedback and reinforcement
○ Help individuals assess their strengths and weaknesses
○ Behavior modification: Operates on the principle that behavior that is rewarded will
be exhibited more frequently
○ Spot rewards: Programs that award employees on the spot when they do something
particularly well during training or on the job
A Typical Learning Curve
Training Methods
● On-the-job training (OJT)
○ Method by which employees are given hands-on experience with instructions from
their supervisor or other trainer
● Apprenticeship training
○ System in which a worker entering the skilled trades is given thorough instruction and
experience in the practical and theoretical aspects of the work
The PROPER Way to Do On-the-Job Training
Training Methods
● Special assignments
○ Involve assigning trainees who are often but not always on managerial tracks, to
different jobs in different areas of a firm
● Cooperative training, internships & governmental training
○ Programs combine practical on-the-job experience with formal classes
● Simulation
○ Emphasizes realism in equipment and its operation at minimum cost and maximum
safety
○ Used when it is either impractical to train employees on the actual equipment used
on the job
● E-learning
○ Learning that takes place via web and computer based training (CBT)
○ Learning management systems (LMS): Online system that provides a variety of
assessment, communication, teaching, and learning opportunities
Training Methods: E-Learning
● Just in time training: Delivered to trainees when and where they need it to do their jobs, via
computer or the Internet
Training Methods
● Behavior modeling
○ Approach that demonstrates desired behavior and gives trainees the chance to
practice and role-play those behaviors and receive feedback
■ Feedback and reinforcement
Training Methods: Behavior Modeling
● Components
○ Learning points
○ Model
○ Practice and role play
Training Methods
● Role playing
○ Involves playing the roles of others, often a supervisor and a subordinate who are
facing a particular problem
● Coaching
○ Involves a continuing flow of instructions, comments, and suggestions from the
manager to a subordinate
● Seminars and conferences
○ Useful for bringing groups of people together for training and development
● Blended learning
○ Use of multiple training methods to achieve optimal learning on the part of trainees
● Classroom instruction
○ Aids in motivating employees and decrease absenteeism
Case Studies
Criteria for Evaluating Training
Training Appraisers
● Improves the performance evaluation process
● Establishing an evaluation plan
● Provide an explanation of the performance evaluation system’s objectives
● Explain the mechanics of the rating system
● How managers should keep performance records and review them
● How frequently the evaluations are to be conducted
● Who will conduct them
● What are the standards of performance
● How to go about preparing for evaluations
● Alert raters to the weaknesses and problems of appraisal systems so that they can be
avoided
Distributional Errors
● Error of central tendency: Performance rating error in which all employees are rated about
average
● Leniency or strictness error: Appraiser gives employees either unusually high or unusually
low ratings
● Forced distribution: Raters are required to place a percentage of employees into various
performance categories
Temporal Errors
● Performance review is biased favorably or unfavorably
● Depending on the way performance information is selected, evaluated, and organized by the
rater over time
● Recency error: Evaluation is based on the employee’s most recent behavior rather than on
behavior throughout the evaluation period
Other Rater Errors
● Contrast error: Evaluation is biased upward or downward because of comparison with
another employee just previously evaluated
● Similar-to-me error: Appraiser inflates the evaluation of an employee because of a mutual
personal connection
Feedback Training
● For raters which provides them some pointers they can use while providing performance
feedback to the employees
● Basic areas
○ Communicating effectively
○ Diagnosing the root causes of performance problems
○ Setting goals and objectives
Performance Evaluation Methods
● Trait approaches - Based on people’s characteristics continue to be used despite their
subjectivity
● Behavioral approaches - Provide more action-oriented information to employees
● Results methods - Focuses on the measurable contributions that employees make to the
organization
Trait Methods
● Graphic rating-scale method: Each employee is rated according to a scale of characteristics
● Mixed-standard scale method: Similar to other scale methods but based on comparison
with a standard
● Forced-choice method: Requires the rater to choose from statements designed to
distinguish between successful and unsuccessful performance
● Essay method: Requires the rater to compose a statement describing employee behavior
Behavioral Methods
● Critical incident: Unusual event that denotes superior or inferior employee performance in
some part of the job
● Manager keeps a log or diary for each employee throughout the appraisal period and notes
specific critical incidents related to how well they perform
● Behavioral checklist method - Rater checks statements on a list that the rater believes are
characteristic of the employee’s behavior
● Behaviorally anchored rating scale (BARS): Consists of a series of vertical scales, one
for each important dimension of job performance
● Behavior observation scale (BOS): Measures the frequency of observed behavior
● Preferred over BARS for:
○ Maintaining objectivity
○ Distinguishing good performers from poor performers
○ Providing feedback
○ Identifying training needs
Results Methods
● Productivity measures - Directly links what employees accomplish to results that benefit
the organization
● Management by objectives (MBO): Philosophy of management that rates employees
based on the achievement of goals set mutually by them and their manager
Figure 8.7 - Performance Appraisal Under an MBO Program
Balanced Scorecard(BSC)
● Evaluation takes into account
○ Financial measures
○ Customer measures
○ Process measures
○ Learning measures
● Allows each individual to see how his or her performance ties into the overall performance of
the firm
● Recommendations for the method’s success
○ Translate the firm’s strategy into a scorecard of clear objectives
○ Attach measures to each objective
○ Provide performance feedback based on measures
○ Empower employees to make performance improvements
○ Reassess the strategy
Figure 8.8 - Summary of Evaluation Methods
● Courses of action
○ Provide training to increase skills and abilities
○ Transfer employee to another job or department
○ Attention of actions to motivate employee
○ Corrective measures needed to improve employee’s performance
● Cautions
○ Actions taken must be objective and fair
○ Do not treat underperformer differently, setting the employee up to fail