What is transitional matrix (determining labor supply)?
shows the proportion or number, of employees in different job categories at different times and how people move from one job to another in the organization and how many people enter and leave the organization
What are the 3 strategies to deal with the current HR levels and needs?
employing temporary workers
outsourcing and offshoring (special case of outsourcing where the jobs that move actually leave one country and go to another)
What are the 6 sources of recruitment?
1.Internal vs External: employees are well known and are knowledgeable about the organization and jobs. (not enough)
2. Direct Applicants and Referrals: apply for a vacancy without prompting from an organization (low cost)
3. Advertisements in newspapers and periodicals: large volume, low quality recruits and is more expensive.
4. Electronic Recruiting
5. Public and Private Employment Agencies: Agencies will
search their computerized inventory of individuals searching for work for an organization at no charge.
6. Colleges and universities: increase effectiveness, internship programs.
What are the 6 standards for selection methods?
1. reliability: the degree to which a measure of physical or cognitive abilities, or traits, is free from random error
2. validity: the extent to which a performance measure assesses all the relevant—and only the relevant—aspects of job performance.
3.content: test demonstrating that the items, questions, or problems posed by a test are a representative sample
of what occur on the job.
4. generalizability: the degree to which the validity of a selection method established in one context extends to other contexts.
5. utility: is the degree to which the information provided by selection methods enhances the effectiveness of selecting personnel in organizations.
6. legality: conform to existing laws and legal precedents
What are the 3 contexts for generalizability?
–different samples of people
–different time periods
What is the correlation coefficient (reliability)?
measure of the degree to which two sets of numbers are related
What is criterion-related validation?
a method used for validity.
2types: predictive (prior) & concurrent (already on job)
What are the majority of suits filed by job applicants (legality)?
ADA, Cival rights act 1991, Age discrimination (over 40)
What are the 6 types of selecting methods?
2. References, Biographical data, and Application Blanks: gather background information on candidates.
3. physical ability tests
4. cognitive ability: mental rather than physical capacities.
5. personal inventories: personality characteristics
6. work samples: simulate the job in miniaturized form.
What are 3 types of cognitive ability tests?
verbal, quantitative (speed), reasoning
What are the 3 organizational needs assessment?
1. organizational analysis: determining the business appropiateness of training
2. personal analysis: who needs training and if ready
3. task analysis: tasks, knowledge, skills, and behaivor for training
What are the 2 types of training methods?
hands-on methods: On-the-job training, Self-directed learning, Simulations, Business games and case studies, Behavior modeling, Interactive video, E-learning
What are the 5 training evaluation designs?
Posttest only: (low cost, time, &strength)
Pretest/Posttes: (low cost & time, med strength)
Posttest only with comparison Group: (med cost, time, & strength)
Pretest/Posttest with Comparison Group: (low cost, time & high strength)
Time series: med
What are the 5 approaches to performance management?
comparative: ranking, forced distribution (ranked in groups), paired comparison
behavioral: critical incidents (keep record of specific effective and ineffective performance), BARS (specific levels of performance), Behaivor Observation Scale (rate of frequency/more scales), Organizational Behavior Modification (behavioral feedback and reinforcement), Assessment centers( multiple raters evaluate employees’ performance on a number of exercises)
result: management by objectives (top management pass down goals), ProMES (motivate to higher productivity)
quality: Process-flow analysis (idntifies action/decision necessary), Cause-and-effect diagrams, Pareto chart (highlights cause of problem), Control chart (multiple points in time), Histogram (large sets of data), Scattergram (shows relationship)
What are the 4 sources of performance info?
managers, peers, subordinates, self, customers
What are the 4 forms of rater errors?
similar to me: judge those who are similar to us more highly
distributional errors: result of using only one part of the rating scale
Training vs. Development
development: formal education, job experiences, relationships, and assesment of personality and abilities that help in future
What are the 4 steps of alternative dispute resolutions?
(does not rely on legal system)
1. open-door policy: attempt at settlement together
2. peer review: same level peers attempt to help arrive at a settlement
3. mediation: 3rd party outside of organization, non binding process, helps arrive at settlement
4. arbitration: pro resolves unilaterally by rendering a specific decision or award
What is are the 3 processes of job withdrawal?
1. behavioral change (whistle-blowing - making grievances public by going to the media or government)
2. physical job withdrawal
3. psychological job withdrawal
What are the 5 causes of job dissatisfaction?
unsafe work conditions (link financial bonuses)
personal dispositions (negative affectivity)
tasks and roles (job rotation)
supervisors and coworkers
pay and benefit
product market vs. labor market
Product-market comparisons will be more important when: Labor costs represent a large share of total costs, Product demand is elastic, The supply of labor is inelastic, Employee skills are specific to the product market
Labor-market comparisons will be more important when: Attracting and retaining employees is difficult, The costs of recruiting are high.
What is rate rages?
different employees in the same job that may have different pay rates
key jobs vs. non key jobs
Key jobs are benchmark jobs that have relatively stable content and are common to many organizations so that market-pay survey data can be obtained.
Nonkey jobs are unique to organizations and cannot be directly valued or compared through the use of market surveys.
What is job structure?
relative worth of various jobs in the organization, based on internal comparisons.
job evaluation (composed of compensable factors)
What is pay structure?
market survey approach
pay-policy line (relationship between a job’s pay and its job evaluation points)
pay grades (Grouping jobs of similar worth or content together for pay administration purposes)
What are the 3 employee motivational theories?
reinforcement theory: a response followed by a reward is more likely to recur in the future
expentancy theory: motivation is a function of valence, instrumentality, and expectancy
agency theory: the interests of the principals (owners) and their agents (managers) may no longer converge.
What are 3 types of cost of agency theory?
•attitudes towards risk
What are 6 forms of employee compensation?
1. merit pay: annual pay increase
2. individual incentitives: performance is usually measured as physical output rather than by subjective ratings
3. profit sharing: payments are based on a measure of organization profits.
4. ownership: stock options, ESOPs
5. gain sharing: sharing productivity gains with employees
6. skill based
What is ESOPs?
employee ownership plans that give employers certain tax and financial advantages when stock is granted to employees
What are the various forms of employee benefits? (5)
1. social security: old-age insurance, unemployment insurance, survivors' insurance, disability insurance, hospital insurance, and supplementary medical insurance.
2.private group insurance: medical insurance (COBRA), disability insurance (long/short term plans)
3. retirement: defined benefit (guarantees specific; PBGC, ERISA), defined contribution (no gurantee; small companies), cash balance plans, funding/communication/vesting requirements
4. pay for time not worked: sick leave no more than 26 wks
5. family-friendly policies: family and medical leave act, child care
What are the 4 major objectives of unemployemnt insurance?
1. offset lost income
2. help find new job
3. provide incentive for employers to stabilize employment
4. perserve investment
What does COBRA require?
requires employers to permit employees to extend their health insurance coverage at group rates for up to 36 months following a qualifying event, such as termination
What are 3 types of defined contribution plan?
money purchase plan
employee stock ownership plan
What are 6 forms of union security?
1. checkoff provision: automatic deduction of union dues from an employee's paycheck
2. closed shop: person must be a union member
3. union shop: requires certain length of time after beginning employment
4. agency shop: requires pay but not to join
5. maintenance of membership: must remain members through the life of the current contract
6. right-to-work law: states may decide to make mandatory union membership/fees illegal
What are the 4 forms of negotiation (of labor management process)?
1.Distributive bargaining: focuses on dividing a fixed economic "pie".
2.Integrative bargaining: has a win‑win focus; it seeks solutions beneficial to both sides.
3.Attitudinal structuring: refers to the relationship between labor and management negotiators.
4.Intraorganizational bargaining: focuses on the conflicting objectives of factions within labor and management
What are the 4 factors of HRM international market?
2. education/human capital
3. economic system
4. political/legal system
What are the levels of globalization?
domestic, international, multinational, and global