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Organizational Behavior

Eighteenth Edition, Global Edition

Chapter 16
Human Resource Policies
and Practices

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Learning Objectives
16.1 Describe the value of recruitment methods.
16.2 Specify initial selection methods.
16.3 Identify the most useful substantive selection methods.
16.4 Compare the main types of training.
16.5 List the methods of performance evaluation.
16.6 Describe the leadership role of HR in organizations.

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Describe the Value of Recruitment
Methods
• Strategic recruiting has become a cornerstone for many
companies, in which recruiting practices are developed in
alignment with long-term strategic goals.
• The most effective recruiters—internal or external—are
well informed about the job, are efficient in communicating
with potential recruits, and treat recruits with consideration
and respect. They also use a variety of online tools,
including job boards and social media.

16.1
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Specify Initial Selection Methods
Exhibit 16-1 Model of
Selection Process in
Organizations

16.1
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Identify the Most Useful Substantive
Selection Methods (1 of 5)
• Substantive Selection
– Written tests
– Performance simulation tests
– Interviews

16.2
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Identify the Most Useful Substantive
Selection Methods (2 of 5)
• Written Tests
– Typically tests of intelligence or cognitive ability,
personality, and integrity.
– Intelligence tests are particularly good predictors for
jobs that require cognitive complexity.
– Evidence shows that these tests are good predictors,
but care should be taken to use the “right” test.

16.3
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Identify the Most Useful Substantive
Selection Methods (3 of 5)
• Performance-Simulation Tests
– Have higher face validity and their popularity has
increased.
– Work sample tests: hands-on simulations of part or
all of the job that must be performed by applicants.
– Assessment centers: evaluate managerial potential.
– Situational judgment tests
– Realistic Job Previews

16.3
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Identify the Most Useful Substantive
Selection Methods (4 of 5)
• Interviews
– The most frequently used selection device.
 It carries a great deal of weight.
– Unstructured interviews are not as effective as
structured ones, particularly behavioral structured
interviews.
– Panel interviews minimize the influence of individual
biases and have higher validity.

16.3
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Identify the Most Useful Substantive
Selection Methods (5 of 5)
• Contingent Selection
– Applicants that pass the substantive selection process
are ready to be hired, contingent on final checks.
 A common contingent method is a drug test.
– Drug testing is controversial.
 Under the Americans with Disabilities Act, firms may
not require employees to pass a medical exam
before a job offer is made.

16.3
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Compare the Main Types of
Training (1 of 3)
• Types of Training
– Basic skills
– Technical skills
– Problem-solving skills
– Interpersonal skills
• In addition, we consider:
– Civility training
– Ethics training

16.4
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Compare the Main Types of
Training (2 of 3)
• Basic Skills
– Many employers believe that high school graduates
lack basic skills in reading comprehension, writing,
and math.
 As work has become more sophisticated, the
need for these basic skills has grown significantly.
– It’s a worldwide problem, from the most developed
countries to the least.

16.4
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Compare the Main Types of
Training (3 of 3)
• Technical Skills
– Technical training is important for:
 New technology
 New structural designs
– As organizations flatten their structures, expand their
use of teams, and break down traditional departmental
barriers, employees need mastery of a wider variety of
tasks and increased knowledge of how their
organization operates.

16.4
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Compare the Four Main Types
of Training (1 of 4)
• Problem-Solving Skills
– Problem-solving training for managers and other
employees can include:
 Activities to sharpen their logic, reasoning, and
problem defining skills.
 Activities to improve their abilities to assess
causation, develop and analyze alternatives,
and select solutions.

16.4
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Compare the Four Main Types
of Training (2 of 4)
• Interpersonal Skills
– Almost all employees belong to a work unit where their
work performance depends on their ability to interact
with coworkers and bosses.

16.4
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Compare the Four Main Types
of Training (3 of 4)
• Civility Training
– As HR managers have become more aware of the
effects of social behavior in the workplace, they have
paid more attention to incivility, bullying, and abusive
supervision in organizations.
– To minimize incivility, use training targeted to building
civility.

16.4
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Compare the Four Main Types
of Training (4 of 4)
• Ethics Training
– Many U.S. workers receive ethics training.
– Can ethics be taught?
 Critics argue that ethics are based on values, and
value systems are fixed at an early age.
– Ethics cannot be formally “taught” but must be
learned by example.
 Supporters say values can be learned, and that
training is helpful for recognizing ethical dilemmas
and ethical issues.

16.4
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Contrast Formal and Informal
Training Methods (1 of 3)
• Training Methods
– Historically, training meant “formal training”.
– Organizations are increasingly relying on informal
training.
 Unstructured, unplanned, and easily adapted to
situations and individuals.

16.4
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Contrast Formal and Informal
Training Methods (2 of 3)
• Job Training
– On-the-job training includes job rotation,
apprenticeships, understudy assignments, and formal
mentoring programs.
– Off-the-job training includes live classroom lectures,
videotapes, public seminars, self-study, Internet and
satellite television courses, group activities, and e-
training.
• Computer-Based Training

16.4
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Contrast Formal and Informal
Training Methods (3 of 3)
• Evaluating Effectiveness
– The effectiveness of a training program can refer to
the level of student satisfaction, the amount students
learn, the extent to which they transfer the material
from training to their jobs, or the financial return on
investments in training.
– An effective training program requires not just teaching
the skills, but also changing the work environment to
support the trainees.

16.4
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List the Methods of Performance
Evaluation (1 of 9)
• What is Performance?
– Three major types of behavior to consider:
 Task performance
 Citizenship
 Counterproductivity
– Most managers believe good performance means
doing well on the first two dimensions and avoiding
the third.

16.5
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List the Methods of Performance
Evaluation (2 of 9)
• Purposes of Performance Evaluation
– Make general human resource decisions.
– Identify training and development needs.
 Pinpoint employee skills and competencies needing
development.
– Provide feedback to employees.
 Can be the basis for reward allocations.

16.5
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List the Methods of Performance
Evaluation (3 of 9)
• What Do We Evaluate?
– Individual task outcomes
– Behaviors
– Traits
• Who Should Do the Evaluating?
– Traditionally, the manager, but today that is changing.
 Now peers, subordinates, and the employee can be
involved.

16.5
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List the Methods of Performance
Evaluation (4 of 9)
Exhibit 16-2 360-Degree Evaluations

16.5
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List the Methods of Performance
Evaluation (5 of 9)
• Methods of Performance Evaluation
– Written Essays
– Critical Incidents
– Graphic Ratings Scales
– Behaviorally Anchored Rating Scales (BARS)
– Forced Comparisons
 Group order ranking
 Individual ranking

16.5
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List the Methods of Performance
Evaluation (6 of 9)
Exhibit 16-3 Median Grade Point
Average (GPA ) by Academic
Year and Degree Level

* Note: Study of GPA from 1,683 courses, 28 departments, and 3,176 instructors at a large public university.
Source: Based on R. Todd Jewell, M. A. McPherson, and M. A. Tieslau, “Whose Fault Is It? Assigning Blame for Grade
Inflation in Higher Education,” Applied Economics 45 (2013): 1185–200. 16.5
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List the Methods of Performance
Evaluation (7 of 9)
• Improving Performance Evaluations:
– Use multiple evaluators.
– Evaluate selectively.
– Train evaluators.
– Provide employees with due process.
 Three features of due process.
 Post appraisals online.

16.5
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List the Methods of Performance
Evaluation (8 of 9)
• Providing Performance Feedback
– Managers are often uncomfortable discussing
weaknesses with employees.
 In fact, unless pressured by organizational policies
and controls, managers are likely to ignore this
responsibility.
– The solution to the problem is not to ignore it but to
train managers to conduct constructive feedback
sessions.

16.5
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List the Methods of Performance
Evaluation (9 of 9)
• International Variations in Performance Appraisal
– Individual-oriented cultures emphasize formal
performance evaluation systems more than informal
systems.

16.5
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Describe the Leadership Role of HR
in Organizations (1 of 5)
• Communicating HR Practices
– Leadership by HR begins with informing employees
about HR practices and explaining the implications of
decisions that might be made around these practices.
– It is not enough to simply have a practice in place; HR
needs to let employees know about it.

16.6
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Describe the Leadership Role of HR
in Organizations (2 of 5)
• Designing and Administering Benefit Programs
– A benefit program should:
 Be suited to the organizational culture.
 Reflect the values of the organization.
 Demonstrate economic feasibility.
 Be sustainable in the long term.
– Benefits will likely improve employees’ psychological
well-being and therefore increase organizational
performance.

16.6
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Describe the Leadership Role of HR
in Organizations (3 of 5)
• Drafting and Enforcing Employment Policies
– Employment policies that are informed by current laws
but go beyond minimum requirements will help define a
positive organizational culture and set high standards
for performance.
 Policies differ from benefits in that they provide the
guidelines for behavior, not just the working
conditions.
– Any policy must have enforcement to be effective.

16.6
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Describe the Leadership Role of HR
in Organizations (4 of 5)
• Managing Work-Life Conflicts
– Gained momentum in the 1980s as a result of the
increased entry of women in the workforce.
– Keeping workloads reasonable, reducing work-
related travel, and offering on-site quality childcare
are examples of practices that can help manage
work-life conflicts.
– Different people prefer different solutions.

16.6
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Describe the Leadership Role of HR
in Organizations (5 of 5)
• Mediations, Terminations, and Layoffs
– Human resource departments often take center
stage when unpleasant events such as disputes,
substandard performance, and downsizing occur.
– Employees need to be able to trust their human
resource professionals to maintain appropriate
confidentiality and a balanced perspective.
– Managers need to be able to trust HR, too, to know
the laws and represent the company’s perspective.

16.6
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Implications for Managers (1 of 3)
• An organization’s selection practices can identify
competent candidates and accurately match them to the
job and the organization. Consider assessment methods
that are most likely to evaluate the skills directly needed
for jobs you are looking to fill.
• Use training programs for your employees to achieve
direct improvement in the skills necessary to successfully
complete the job. Employees who are motivated will use
those skills for their greater productivity.

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Implications for Managers (2 of 3)
• Training and development programs offer ways to achieve
new skill levels and thus add value to your organization.
Successful training and development programs include an
ethical component.
• Use performance evaluations to assess an individual’s
performance accurately and as a basis for allocating
rewards. Make sure the performance evaluations are as
fair as possible. Evaluations perceived as unfair can
result in reduced effort, increases in absenteeism, or a
search for another job.

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Implications for Managers (3 of 3)
• Give employees the opportunity to participate in their
evaluations so they understand the performance criteria
and engage with the improvement process.

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