Professional Documents
Culture Documents
Hendra Kusnoto
Advisor of GCG & Change Management
PT ANTAM Tbk
Agenda
• Increase productivity.
2. External focus
– Redistribute H.R. budget and time allocation.
– Look at your calendar.
– Prioritize customers.
– Add, decrease, eliminate H.R. programs based
on ROI.
– Track shifts in external environment.
5. Fact-based decisions
– Utilize metrics.
– Proactively identify potential problems.
– Discount opinions.
6. Business focus
– Ensure programs and efforts focus on the business
rather than (Internal) H.R. issues.
“The most effective H.R. programs are those not seen as H.R.
Programs”.
(Lee Hecht Harrison – “Leadership at the Core and on the Edge”, Newsletter, 2003)
Corporate Strategy
Business Strategy
HR Strategy
Appeal Performance
Measurement
Coaching
• Knowledge of
• Obtain and
• Strong focus on the market
maintain No. 1
Strategic Intent: added value of and
position in
“To become the customers competitors
telecom
leading telecom sophisticated
services provision
provider information • Understanding
in Egypt” system. of the customer.
• Accelerate
network
• Customer
expansion
focused
attitude.
Stakeholder Involvement
Best Practices
Credible methodologies
STRATEGIC JOURNEY
2. Develop Unique HRD Model
Business Company
Strategy Superior and
Sustainable
Business
Performance
Values
PROCESS STATE
Human Enhanced
Resources Human
Measurable
Resources
Processes Competencies
Development
Desired Values
Skills
Availability
Individual
Self-actualisation
Legislation Empowerment
Portable skills
3. Creating the Future: Integrated HRD Strategy
• Workplace Transformation
Committees
• Provide input with respect to HRD Project Plans
developed by Strategic Initiative Owners
HR Metrics
• Organizational: added value per employee, profit per employee,
sales value per employee, costs per employee and added value per
US$ of employment costs.
• Ethnocentric Approach
– Top management and key positions filled by people from
home country
• Polycentric Approach
– International subsidiaries managed/staffed by personnel
from host country
• Geocentric Approach
– Nationality deliberately downplayed
– Firm searches worldwide or regionally to hire best people
to fill key positions
04/06/2021 Hendra Kusnoto 17 - 45
Advantages of Using Local Employees to Staff
International Subsidiaries
• Career blockage
• Culture shock
• Lack of pre-departure cross-cultural training
• Overemphasis on technical qualifications
• Getting rid of a troublesome employee
• Family problems
• Power distance
• Individualism
• Uncertainty avoidance
• Masculinity/femininity
• Long-term/short-term orientation
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
Vision
Core Ideology
Captures what you stand for and why you exist. Envisioned Future
Role is to guide and inspire those inside, Aspirations
not to differentiate.
Key Strategies
How will we achieve the BHAG within the context of our core ideology?
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
Competencies
Succession Interviewing
Stallers &
Planning Stoppers & Selection
Universal
Performance
Performance Dimensions Feedback
Management
Career
Learning Development
18-81
Overview about HR Dept. Functions & Roles
• The activities an organization carries out to use its human
resources effectively
Consultant
O.D., marketing
& teaming
Relationships
– Credible Activist: Credible (respected, admired, listened to) and active (offers a
point of view, takes a position, challenges assumptions). “HR with an attitude.”
HR professionals who are credible but not activists are admired but do not have
much impact. Those who are activists but not credible may have ideas but will
not be listened to.
Organization Development
• Defining organization’s vision and mission
Mission Statements
•Enduring statement of purpose
•Distinguishes one firm from another
•Declares the firm’s reason for being
04/06/2021 Hendra Kusnoto 87
Importance of Mission
Unanimity of Purpose
Resource Allocation
Mission
Organizational Climate
• Core competencies
Competency-based Strategy
•Manage organizations using a competency-based strategic design to attract (recruit), develop, and retain the best workfo
Human Capital Strategy
• Oganization value
• Company Values:
- Something that is important to your company, ex. Intel
values risk taking, discipline, & results orientation
- Affects how employees do their work in the short term
(day-to-day) or long term
- Affects decision making processes, company decisions
and/or employee decisions
• Organization structure
• Job Analysis
– The procedure used to determine the duties of particular
jobs and the kinds of people (in terms of skills and
experience) who should be hired for them.
• Job Specification
– The human qualifications in terms of traits, skills, and
experiences required to accomplish a job.
• Job Description
– A document that identifies a particular job, provides a
brief job summary, and lists specific responsibilities and
duties of the job.
G.Dessler, 2003
Job Summary
• Brief overview of the reason the position exists
• Written in broad terms identifying functions of job, but not
the specifics
• Easier to write after the essential functions are determined
• Think of as an essay question: “Describe the essence of the
job in 30 words or less
EX 5.2
04/06/2021 Hendra Kusnoto 5–120
Basic Terminology (cont’d)
• Job Analysis (JA)
– A systematic process of describing and recording
information about job behaviors, activities, and work
specifications.
• Purposes of a job
• Major duties or activities
• Conditions under which the job is performed
• Competencies (skills, knowledge, abilities, and other
attributes) that enable and enhance performance in a job
• There are at least 15 major JA approaches
04/06/2021 Hendra Kusnoto 5–121
Basic Terminology (cont’d)
• Task-Oriented Job Analysis
– Focus on what the job involves
• Activities
• Outcomes
• Worker-Oriented Job Analysis
– Focus on required characteristics of job
incumbents
– Focus on who can do the job
• Competency modeling is a worker-focused approach
Subject
SubjectMatter
Matter
Experts
Experts
Trained
TrainedJob
JobAnalysts
Analysts Customers
Customers
Use
Usediverse
diversesources,
sources,don’t
don’t May
Mayhave
havestrategic
strategic
see
seeall
allaspects
aspects information
information
Date the job was analyzed • Indicates when the description was prepared and
perhaps whether it should be updated. A job description
based on a job analysis conducted prior to any major changes
in the job is of little use.
Work performed • Identifies the duties and underlying tasks that make up a job.
A task is something that workers perform or an action they
take to produce a product or service. A duty is a collection of
related, recurring tasks. Duties should be ranked in terms of the
time spent on them as well as their importance. Specified duties are
used to determine whether job accommodations for individuals
protected under the Americans with Disabilities Act are reasonable,
whether the job is exempt from overtime provisions of the Fair Labor
Standards Act, and whether two jobs with different titles should be
treated as equal for purposes of compliance with the Equal Pay Act.
EX 5.4 cont’d
04/06/2021 Hendra Kusnoto 5–126
Elements of a Job Description and
What They Should Specify
ELEMENT WHAT SHOULD BE SPECIFIED
Job context • Describes the physical environment that surrounds the job
(e.g., outdoors, in close quarters, in remote areas, in extremely
high or low temperatures, exposed to dangerous conditions
such as fumes and diseases) as well as the social environment
in which work is performed (e.g., teamwork, flexibility, and
continuous learning). Increasingly, the degree of change and
uncertainty associated with the job, the corporate culture, and
elements of the organizational mission or vision statement are
specified.
EX 5.4 cont’d
04/06/2021 Hendra Kusnoto 5–127
Job Analysis Inaccuracy
EX 5.5
04/06/2021 Hendra Kusnoto 5–128
Methods of Collecting Information
• Observations
– Work Sampling
– May be intrusive
• Individual and Group
Interviews
• Questionnaires
EX 5.6
04/06/2021 Hendra Kusnoto 5–136
Standardized Job Analysis Questionnaires
EX 5.7
04/06/2021 Hendra Kusnoto 5–138
Components of Managerial Jobs Assessed by the
Managerial Position Description Questionnaire
EX 5.8
04/06/2021 Hendra Kusnoto 5–139
Job Analysis Techniques
Customized
Customizedtask
taskand
andwork
work
behavior
behaviorinventories
inventories
Observation Critical
and Incident
interviews Technique
(CIT)
EX 5.11
04/06/2021 Hendra Kusnoto 5–143
Simplified Example
of
Job Analysis Results
from a
Customized
Inventory
Competency-based
Competency-basedapproaches
approachesmay
maybe
be
more
morerelevant
relevanttoday.
today.
Case EX. 1
04/06/2021 Hendra Kusnoto 5–147
The Structure of the Human Resource Department at
HITEK
Case EX. 2
04/06/2021 Hendra Kusnoto 5–148
An Old Job Description
Case EX. 3
04/06/2021 Hendra Kusnoto 5–149
A New Job Description
Case EX. 4
04/06/2021 Hendra Kusnoto 5–150
A New Job Description (cont’d)
Case EX. 5
04/06/2021 Hendra Kusnoto 5–151
TERMS TO REMEMBER
Broadbanding Methods analysis
Competency Occupation
Competency modeling O*NET
Customized task inventory Position
Functional job analysis (FJA) Position Analysis Questionnaire
(PAQ)
Future-oriented job analysis
Standardized job analysis
Human factors approach
questionnaire
Job
Subject matter experts (SMEs)
Job analysis
Task-oriented job analysis
Job description
Time-and-motion study
Job incumbents
Worker-oriented job analysis
Management Position Description
Work sampling
Questionnaire (MPDQ)
EX 5.1
04/06/2021 Hendra Kusnoto 5–154
Competency Model
• Competency model: integrated set of competencies required
for excellent performance
• Can be used:
• Generically (role or position description)
• For a specific position
• A third way…focus on a person (strengths,
weaknesses)
The knowledge
skills and
motivations
needed for this
role
OBJECTIVES RESPONSIBILITIES
•
Specific objectives that focus •
the role on what is important in The core definition of a
the short term particular job: purpose,
responsibilities,
performance measures
• Core
– Personal Attributes; Management Skills
• Career Level-Specific Leadership
– Executive Leader; General Manager; CFO; CIO; COO; Middle
Manager; Team Leader
• Topic-Related
– Change Leadership; Team Leadership; High Involvement
Work teams; Influence Skills; Interpersonal Skills; Facilitation
Skills; Team Leader; Culture Assessment
• Functional
– Human Resources; Finance; Marketing; Product
Management; Customer Service; Sales; Information Systems;
Engineering; Manufacturing; Environmental; Health, and
Safety; Sourcing; Consulting; Administrative Support
• While the database's models are generally organized by core,
leadership levels, or function, there is significant data available
on competency models and behaviors linked to specific
industry-segments.
Advanced Mastery
Basic Manages portfolio of products and brands, Provides significant value to company and the
Uses fundamental understanding of applying knowledge of category specific customer through extensive knowledge of the
products, brands and categories in day-to- insights to business situations. tire industry, categories, brands and products.
day work.
Pay
Paylevel
level11
Pay
Paylevel
level22 Pay
Pay
Pay
Paylevel
level33 Range
Range 11
Pay
Paylevel
level44
Employee Relations
• What is Employee Relations?
• Analysis of Employee Relations: Content and History
• The Employment Relationship in Employee Relations
• Challenges to the ‘System’ - Crisis and De-regulation
Hendra Kusnoto
04/06/2021 179
What is Employee Relations?
Event-driven: Structure-driven:
Feedback
Shared Ideology
Operation Substance
Employment •Individual:
• Level
Relationship
reward, job,
• Process
career
• Style •Collective:
Structure
joint
• Formal rules agreements
•Informal
understandings (Kessler and Undy 1997)
Psychometric Assessment
Second / Technical
Testing Centres /
Interview
Simulations
– Roles
– Key Questions
– Hiring Profile & Selection Criteria
– Job Posting
– Recruitment Channels
– Interview & Evaluation
– Essential Elements of a Successful
Recruitment Process
04/06/2021 Hendra Kusnoto 206
Developing Selection Criteria
Here is an example of a set of Selection Criteria for the position of
Administrative Assistant:
Performance Management
• The importance of good performance management
• The principle of performance management
• Performance evaluation cycle
Objectives
Performance Agreement
Performance Review
* Informal – daily
* Formal – dedicated period
Evaluative Developmental
* Compensation * Feedback
* Staffing decisions * Direction for future
* Evaluate selection * Identify T & D needs
Benefits to Managers:
• Opportunity to hear employees hopes, fears etc.
• Chance to clarify and reinforce priorities
• Mechanism for measuring change in employees
Performance
• Recognise achievement motivation
• Overlap/ambiguities
Benefits to Company:
• Improved performance
• Succession planning
• HRP – competence analysis
• Link employee performance to business objectives
• Communication
Benefits to Employee:
• Feedback give/take
• Discuss career options
• Training & development
• See “ big picture”
Specific
Measurable
Achievable
Results-focused
Time-bound
• Varying standards
• Recency/Primacy
• Bias
• Evaluation patterns
• Halo/Horns effects
• Contrast error
• Proximity bias, or assigning similar scores to items that are near each other
on a questionnaire, can result in misleading appraisals.
– If the supervisor is uncertain about specific questions or wants to adjust
a low score, he or she may resort to making random choices.
– This should be avoided by trying to apply objective criteria.
• Similarity Bias: The tendency to judge others more positively when they
are like oneself.
• The halo effect refers to the tendency to generalize one positive or
negative aspect of a person to the person’s entire performance, resulting
in either a higher or lower rating than the employee deserves.
• Finally, the supervisor’s prejudices about various types of people can
unfairly influence a performance appraisal.
– The supervisor must remember that each employee is an individual, not just
a representative of a group.
– This is especially important in light of the EEOC guidelines discussed earlier
in the chapter.
People Development
• Strategic role of people development functions
TNA is a tool to
Existing identify the gap Required
• Skills • Skills
• Knowledge • Knowledge
• Attitudes • Attitudes
Hendra Kusnoto
04/06/2021 257
TNA (Step 1): Future performance
What Are The Goals For The Future Performance Of Our
organization?
• Profit?
• Growth?
• Customer Base?
• New Products or others?
Existing Future
performance performance
Existing Future
challenges challenges
Existing Future
performance Performance
Existing Required
•Skills • Skills
•Knowledge • Knowledge
•Attitudes • Attitudes
Existing Required
•Skills • Skills
•Knowledge • Knowledge
•Attitudes • Attitudes
• Skills
• Knowledge
• Abilities
• Key Behaviors
04/06/2021 269
Hendra Kusnoto
Step 2 – Define Expectations
Description of
Description: This position ensures all work meets and/or exceeds
desired
applicable carpentry codes and standards. Checks and re-checks
competency
work prior to, during, and after completion. Ensures that all parts
demonstration
of a project/task are completed. Uses appropriate record keeping
– Attention to
methods.
Detail (Journey
Level)
Competency Description: This position ensures all work meets and/or exceeds
Requirement applicable carpentry codes and standards. Checks and re-checks work
prior to, during, and after completion. Ensures that all parts of a
project/task are completed. Uses appropriate record keeping
methods.
Assessment of
Occupant Jim Smith is responsible for quality control for his own work as well as
the work of all other carpenters due to his extensive knowledge of
standards and building codes. Within the scope of finish carpentry, Jim
considers details that are not obvious and exhibits superior levels of
craftsmanship.
Indicate
demonstrated
competency level.
Attention to Follows instructions through Ensures all work meets and/or Checks and re-checks work of others
Detail standard work-orders for assigned exceeds applicable codes and considering accuracy with respect to
tasks. Performs routine or standards. Checks and re-checks standards and codes. Considers options
repetitious tasks completely and work prior to, during, and after and details that are not obvious.
accurately. Checks work for completion. Ensures that all parts Troubleshoots total systems. Integrates
mistakes before completion of of a project/task are completed. highest quality control standards into
tasks. Compares finished work to Uses appropriate record keeping work.
what is expected. Seeks approval methods.
of supervisor based upon
04/06/2021 complexity of task completed. Hendra Kusnoto 277
Agenda (con’t)
Employment Websites
Newspaper Ads
Trade Associations
Employment Centers
Colleges/Universities
Application
Interviews
Testing
Increase innovation
Increase technology adoption
Increase productivity
Increase motivation
Decrease liability
• Off-the-Job Training – training that takes place away from the job
setting
Vestibule Training
Classroom
Job Simulations
Performance Appraisals
• Formal feedback
• Compare actual to expected results
• May impact compensations, incentives, promotions,
transfers and terminations
Global Accountability
Becoming Comfortable
Flexibility/Adaptability
with Unpredictability Controlled
Becoming Other Accountability
Customer Service
Oriented
Dealing with
Interpersonal Effectiveness
Others
Dealing
with Personal Mastery Technical Skills
Self
• Organizational Stewardship
• System Thinking
• Creative Thinking
• Flexibility/Adaptability
• Customer Service
• Interpersonal Effectiveness
• Personal Mastery
• Technical Skills
• Demonstrates resilience,
remains calm in high-
pressure situations, accepts
new assignments and
challenges, & responds
productively to change.
• Committed to
exceeding the
customer’s needs,
understands the
customer’s perspective,
& uses customer
feedback to improve
individual performance.
• Assumes responsibility to
assess one’s strengths and
needs, plans continued
growth and learning,
balances competing
priorities and demands, &
actively seeks feedback from
others.
• Talent Management
• Career Management
Assessment
Assessment&&
Development
Development
EVP
EVP&& Centres
Centres
Surveys
Surveys Hudson
Talent Management
Leadership
Leadership
Graduate Development
Graduate
Recruitment Development&&
Recruitment Coaching
Coaching
Performance
Performance Competency
Competency
Management
Management Modeling
Modeling
Key Findings:
• There has been a clear shift from talent attraction to talent
engagement, organizational development and people
development.
• Employees with the most potential will take care of the high
impact roles and high value specialists to fulfill their complex jobs.
A key question is: Do companies know where their high potentials
are and what roles they can fit?
04/06/2021 Hendra Kusnoto 309
The Importance Of Career
Source : Hudson / Vlerick Hipo Research Study
Retention Factors
Career
Rewarding hipo's
Company culture
Impact / Change
Salary
Degree of importance
Career
Rewarding hipo's
Impact / Change
Company Culture
Salary
Abilities Knowledge
& Aptitudes & Skills
Personality Preferences
& Work Style & Values
• Assessment is often equated and confused with evaluation, but the two concepts
are different. Assessment is used to determine what a person knows or can do,
while evaluation is used to determine the worth or value of a course or program.
Assessment data effects employee advancement, success and development (
Herman & Knuth, 1991).
Assessment:
• Online Psychometric Assessments
• Leadership/Management Assessment Batteries
• Assessment and Development Centers
• 360 degree feedback surveys and business assessments
• Competency model profiling, behavioral based interviews,
multi-rater assessment tools
Match employees
performance data with
their assessment data
Statistically analyze data
to determine which
assessment(s) scale(s)
predict on-the-job
Develop recommendations
performance
and plans regarding future
assessment and selection
Discipline Understanding
Trainable
Drivers
Resume Screening
Technical Skills Technical Tests
Capability behavioral
Demonstrated competencies Interviewing
Attributes
Psych Assessment
behaviors that infer potential
Untrainable
Advantage Disadvantage
• Most powerful tool to predict • Time investment required
profile employee hire – saves
money over time from candidate – though
• Hiring managers can be they get more in-depth
involved and refresh their own feedback in return and can
assessment/coaching skills also make an informed
• Performance and potential decision
• Broad range of competences, • Relatively expensive in short
individually or in group
• Wealth of information term – though saves money
available to feedback to all in the long run
involved
• Offers great opportunity to
seal psychological contract
Results
• Hudson provided comprehensive reports about the candidates’ aptitude for
performing effectively in future leadership roles. Our guidance for the client
throughout the process provided the company with useful information about
tailoring their development efforts to ensure their high-potential employees can
continue to progress throughout their careers.
• Candidates – many of whom had never been through an assessment program
before – came away with a better understanding of their strengths, weaknesses
and opportunities for personal development. Even those who did not make it
into the leadership program found the experience valuable.
• The client was highly satisfied.
• Talent Management
• Career Management
Career Identity
• Traditional Career
– Sequence of positions held within an occupation
– Context of mobility is within an organization
– Characteristic of the employee
• Adjustable Career
– Frequently changing based on changes in the person and
changes in the work environment
– Employees take major responsibility for managing their
careers
– Based on self-direction with the goal of psychological
success in one’s work
Generation X
Millennium
(mid-20s to
(0 to early 20s)
early 40s)
• Self-assessment
– Use of information by employees to determine their career
interests, values, aptitudes, and behavioral tendencies
– Often involves psychological tests
• Reality check
– Information employees receive about how the company
evaluates their skills and knowledge and where they fit into
company plans
• Goal setting
– The process of employees developing short- and long-term
career objectives
– Usually discussed with the manager and written into a
development plan
• Action planning
– Employees determining how they will achieve their short-
and long-term career goals
Employees
Manager Company
HR Manager
04/06/2021 Hendra Kusnoto 342
Managers’ Role in Career Management
Roles Responsibilities
Coach Probe problems, interests, values, needs
Listen
Clarify concerns
Define concerns
Appraiser Give feedback
Clarify company standards
Clarify job responsibilities
Clarify company needs
Advisor Generate options, experiences, and relationships
Assist in goal setting
Provide recommendations
Referral agent Link to career management resources
Follow up on career management plan
• Succession planning
• Having the right people in the right place at the right time
• An ongoing process of identifying and developing talent as
well as future leaders
• An opportunity to create standards for qualifications and
competencies for future leaders
• Providing understanding to members of the potential
developmental/leadership paths available as well as
development needs
Succession planning should not and must not stand alone. It must be
paired with succession management which creates a more dynamic
environment.
Evaluate &
Reward
Assess the
Present
Leadership Support
Gain Buy-in from Senior 3. Identify High Potential
Management
2. HR Audit Successors
Identify Top Leadership Experience,
Develop a Pool of High Education, and Job Experience Establish nomination criteria.
Potential Candidates Experience, Education, Manager/Mentor
Recommendation
Monitor and Evaluate Progress and Results
Make Adjustments
Integrated Leadership
Development 4. Identify Successor
1. Replacement Developmental Needs
Planning Identify skills gap, set goals, create
development plan
Identify Readiness of
Successors for Key Positions
5. Create Development Determine measurable goals and
outcomes
Review Performance and Opportunities
Development with Key Developmental Activities/Projects
Management Staff
Mentoring/Coaching
Create a Leadership Succession Plan
Leaders need to
VI RA
Long term
ST
S I TE
demonstrate these
ON G Y
L
VE
qualities to be effective in
&
Vision, Strategy,
LE
Systems Thinking our district
Ability to Prioritize
M
Ability to allocate resources
CH GE
AN
2
Process-centric
L
AN ME
A
VE
GE NT
Measurement-focus
LE
Brilliant Communicator
Gains “Buy-in”
Subject Matter Expertise
Team Player
PE
1
Good Communicator
RF
L
Short term
HI RMA
VE
O
Customer Service Orientation
GH N
LE
CE
Results Oriented
Delivers against high expectations
Workhorse or Stars or
Keepers Growers
Performance
Underperformer Question
or Deadwood Marks
Future Potential
LOW HIGH
• How can we move people between groups?
• Where do the non-performers fit in the organization?
• Should they be forced out?
• Are our resources allocated properly?
04/06/2021 Hendra Kusnoto 365
Understanding your District’s HIPO Leaders:
The Talent Matrix
“Diamond in the “Consistent Star”
rough” “Future All- Fully Developed
- Loose Cannon round Star” Excellent in role
- Problem Child Need new
Doing the Right Things
opportunities
(4) Developmental
Activities (3) Assessment
Objectives Worksheet
Goal Short- Long- Objective Action Step
Term Term
State how employee Identify whether Specify at least 3 steps Specify the performance or
will explore an aspect the goal is short- employee will take to achieve data-based measure by
of employeer career term or long term. the goal. which employee will
field, or move forward accomplish it.
toward employeer
career goal.
Build new account X X 1. Prioritize account sales. Plan a sales penetration
sales/develop new strategy to allocate 20% of
business 2. Acquire two new accounts sales calls to new accounts.
each month.
Take courses to refresh
3. Meet or exceed sales goals. telephone sales,
presentation skills and
written communication
skills.
Short-Term Goals
Action Step Time Frame Notes
Specify the performance or data- Specify the short-term date by Write notes to self.
based measure by which which employee will accomplish
employee will accomplish it listed the objective listed on
on employeer Objectives employeer Objectives
Worksheet. Worksheet.
Read one business book or listen Quarterly. Consider reading 365 Sales Tips
to one business audio tape on for Winning Business or Tough
problem-solving capabilities in Calls: Selling Strategies to Win
selling. over employeer Most Difficult
Customers
Long-Term Goals
Employee
Compensation
Workers’ Compensation
Forms of Equity
Communications, Grievance
Mechanisms, and Employees’
Participation
Employer Self-
Consulting Professional Government The
Conducted
Firms Associations Agencies Internet
Surveys
Effort
Step 2. Job Evaluation:
Identifying Compensable
Factors
Responsibility
Working Conditions
Point Method
Step 3. Group
Similar Jobs into Ranking Method
Pay Grades
Classification Methods
Executive
Base Short-term Long-Term
Benefits and
Pay Incentives Incentives
Perks
• Salary compression
– A salary inequity problem, generally caused by inflation, resulting in
longer-term employees in a position earning less than workers
entering the firm today.
• Geographic costs of living differences
• Indirect Financial
– Benefits
– Non cash recognition
– Perquisites
• Work content
– Variety
– Challenge
– Autonomy
– Meaningfulness
– Feedback
* As a percent of base
– – Base:
Base: modhigh
– – Incentive:mod
Incentive: low
– – Long
Long term:
term: low
high
– – Perquisites:
Perquisites: lowlow
– – Benefits: lowhigh
Benefits:
This is a summary chart of the key grade level criteria for the GS-7 level of
clerical and assistance work. Do not use this chart alone for classification
purposes; additional grade level criteria are in the Web-based chart.
Position Evaluation
Job content and/or Market pay rate analysis
Job Value $
Pay rate & grade assignment
Position Evaluation Goals
Questions to Ask:
1. What are our company’s key success factors?
What must our company do to be successful in fulfilling its mission or achieving its
desired competitive position?
Source: Jack Dolmat-Connell, “Developing a Reward Strategy that Delivers Shareholder and
Employee Value,” Compensation and Benefits Review, March–April 1999, p. 51.
Table 11–1
04/06/2021 Hendra Kusnoto 11–444
Pay Factors:
1. Financial Resources
2. Appropriate Market Rate
3. Internal Pay Alignment
4. Required Competencies
• Compensation
• Wages
• Salary
• Benefits
Competition
Contribution
Ability to Pay
Cost of Living
Legislation
*An alliance between recruiters Korn/Ferry International and the Wall Street Journal.
Table 11–2
04/06/2021 Hendra Kusnoto 11–454
Establishing Pay Rates (cont’d)
• Step 2. Job evaluation
– A systematic comparison done in order to determine the worth of
one job relative to another.
• Compensable factor
– A fundamental, compensable element of a job, such as skills, effort,
responsibility, and working conditions.
• Equal Pay Act focuses on these four elements
• Hay consulting firm focuses on know-how, problem solving and
accountability
• Job Evaluation
Scope and Level of Job Responsibility
Skill and Ability
Supervision
Qualifications
Figure 11–4
04/06/2021 Hendra Kusnoto 11–462
Establishing Pay Rates (cont’d)
• Step 5. Fine-tune pay rates
– Developing pay ranges
• Flexibility in meeting external job market rates
• Easier for employees to move into higher pay grades
• Allows for rewarding performance differences and seniority
– Correcting out-of-line rates
• Raising underpaid jobs to the minimum of the rate range for their pay
grade.
• Freezing rates or cutting pay rates for overpaid (“red circle”) jobs to
maximum in the pay range for their pay grade.
– What are some reasons women may make less than men in the
workplace?
04/06/2021 Hendra Kusnoto 11–469
Performance Related Pay
The principle of paying people according to
their contribution appeals to a sense of
fairness in all of us however…
Stock
Equivalency
Rights & Plans
Options
1) Appreciation
Incentive stock
right,
option
2) Phantom
Nonqualified
stockstock
plans,
option,
3) Stock
Bonusequivalency
stock, plans.
4) Restricted stock
hendra.kusnoto@antam.com
Hendra.koesnoto@yahoo.co.id
HP: 0815 1902 8097