CHAPTER12

*humancapital=theeconomicvalueofpeople
withjobrelevantabilities,knowledge,ideas
andenergiesandcommitments.
*humanresourcemanagement=aprocessof
attracting,developingandmaintaininga
talentedworkforce.
*personjobfit=theextenttowhichan
individualsskills,interestsandpersonal
characteristicsareconsistentwiththe
requirementsoftheirwork.
*personorganizationfit=theextentto
whichaninvididualsvalues,interestand
behaviourareconsistentwiththecultureof
anorganization.
*3majortasksinHRM:
1.attractingaqualityworkforce=human
resourceplanning,employeedevelopmentand
performancemanagement.
2.developingaqualityworkforce=employee
orientation,training,developmentand
performancemanagement.
3.maintainingaqualityworkforce=career
development,worklifebalance,compensation
andbenefitsretentionandturnoverandlabor
managementrelations.
*strategicHRM=mobilzeshumancapitablto
implementorganizationalstrategies.
*discrimination=occurswhensomonedenieda
joborjobassignmentforreasonsthatarenot
jobrelevant.

*americanswithdisabilitiesact(1990)=
prohibitsdiscriminationagainstaqualified
individualonthebasisofdiasbilities.
*agediscriminationinemployementact(1967)
=prohibitsdiscriminationagainst40+.
restrictsmandatoyretirement.
*Pregnancydiscriminationact(1978)=
prohibitsdiscriminationagainstpregant
workers.
*familyandmedicalleaveact(1993)=allows
employeesupto12weeksofunpaid,leavewith
jobguaranteesforchildbirth,adoptionand
otherfamilyillness.
*equalemployementopportunity=the
recruitmentthatemploymentdecisionsbemade
withoutregardtorace,colour,national
origin,religion,gender,ageordisability
status.
*affirmativeaction=anefforttogive
preferenceinemploymenttowomenandminority
groupmemberswhohavetraditionallybeen
underrepresented.
*bonafideocupationalqualitifications=
employmentcriteriajustifiedbycapacityto
performajob.
*sexualharrasment=behaviourofsexual
naturethataffectsapersonssemployment
situation.
*comparableworth=holdsthatperfons

performingjobsofsimilarimportanceshould
bepaidatcomparablelevels.
*independentcontractors=arehiredas
neededandarenotpartoftheorganizations
permanentworkforce.
*workplaceprivacy=therightofprivacy
whileworking.
*humanresourcesplanning=analysesneeds
andidentifiesactionstofulfilltheseneeds.
*jobanalysis=studiesexactlywhatisdone
inajobandwhy.
*jobdescription=detailsthedutiesand
responsabilitiesofajobholder.
*jobspecification=listthequalificiations
requiredfromajobholder.
*recruiment=setofactivitiesdesignedto
attractaqualifiedpoolofjobapplicants.
*STEPSINSTRATEGICHRPLANNING
1.revieworganizationsmission,objectives
andstrategies.
2.reviewHRobjectivesandstrategies
3.assesthecurrentHR
4.forecasttheHRsneeds.
5.developandimplementHRplanstomatch
peopleandjobopenings.
*externalrecruiment=seeksjobsapplicants
fromoutsidetheorganisation.
*internalrecruitment=seeksjobapplicants

frominsidetheorganization,
*traditionalrecruitment=focusseson
sellingthejobandtheorganizationto
applicants.
*realisticjobpreviews=providejob
candidateswithallpertinentinformation
aboutajobandanorganization,bothpositive
andnegative.
*selection=choosingindividualstohire
fromapoolofqualifiedjobapplicants.
*SELECTIONPROCESS
1.screeningapplicantinformation:deficient
qualificationsorpoorreferences
2.intervieworsitevisit:overallpotential
isloworpoorinterpersonalskills
3.employmenttesting:poortestscores
4.preeemploymentchecks:physicallyunfit
forjoborfaileddrugtestorbackground
check.
*reliability=meansthataselectiondevice
givesconsistentresultsoverrepeated
measures.
*validity=meansthatscoresonaselection
devicehavedemonstratedlinkswithfuturejob
performance.
*unstructuredinterviews=theinterviewer
doesnotworkfromaformalandpreestablished
listofquestionsthatisaskedofall
interviewees.
*behavioralinterviews=askjobapplicants

aboutpastbehaviors.
*situationalinterviews=askjobapplicants
howtheywouldreactinspecificsituations
*biodatamethods=collectcertain
biographicalinformationthathasbeenproven
tocorrelatewithgoodjobperformance.
*assessesmentcentre=examineshowjob
candidateshandlesimulatedworksituations.
*worksampling=applicantsareevaluated
whileperformingactualworkskills.
*orientation=familiarizesnewemployees
withjobs,coworkersandorganizational
policiesandservices.
*socialization=aprocessoflearningand
adaptingtotheorganizationalculture.
*training=provideslearningopportunities
toacquireandimprovejobrelatedskills.
*jobrotation=peopleswitchtaskstolearn
multiplejobs.
*coaching=occursasanexperiencedperson
offersperformanceadvicetolessexperienced
person.
*mentoring=assignsearlycareeremployesas
protgstomoreseniorones.
*modeling=usespersonalbehaviorto
demonstrateperformanceexpectedofothers.

*managementdevelopment=istrainingto
improveknowledgeandskillsinthemanagement
process.
*performancemanagementsystem=sets
standards,assessesresultsandplansfor
performanceimprovements.
*performanceappraisal=istheprocessof
formallyevaluatingperformanceandproviding
feedbacktoajobholder.
*graphicratingscale=usesachecklistof
traitsorcharacteristicstoevaluate
performance.
*behaviorallyanchoredratingscale=uses
specificdescriptionsofactualbehaviorsto
ratevariouslevelsofperformance.
*recencybias=overemphasizesthemost
recentbehaviorswhenevaluatingindividual
performance.
*criticalincidenttechnique=keepsalogof
someoneseffectiveandineffectivejob
behaviors.
*BEHAVIORALLYANCHOREDRATINGSCALE
Outstandingperformance
5.ifacustomerhasdefectivemerchandise
thatisnottheresponsabilityofthestore,
youcanexpectthisrepresentativetohelpthe
customertoarrangefortheneededrepairs
elsewhere.
4.youcanexpectthisrepresentativetohelp
acustomerbysharingcompleteinformationon
thestorespoliciesonreturns.

3.afterfinishingwitharequest,youcan
expectthisrepresentativetopleasantly
encourageacusgtomertoshopagaininthe
store.
2.youcanexpectthisrepresentativetodelay
acustomerwithoutexplanationwhileworking
onotherthings.
1.youcanexpectthisrepresentativetotreat
acustomerrudelyandwithdisrespect.
Unsatisfactoryperformance.
*multipersoncomparison=comparesone
personssperformancewiththatofothers.
*rankordering=allpersonsbeingratedare
arrangedintheorderofperformance
achievement.
*forceddistribution=eachpersonisplaved
intoafrequencydistribution,whichrequires
thatacertainpercentageofemployeesfall
intospecificperformanceclassifications.
*360degreeappraisals=includesuperios,
subordinates,peersandevencustomersinthe
appraisalprocess.
*worklifebalance=involvesbalacingcareer
demandswithpersonalandfamilyneeds.
*basecompensation=isasalaryonhourly
wagepaidtoanindiviual
*meritpay=awardspayincreasesin
proportiontoperformancecontributions.
*bonuspay=plansprovideonetimepayments
basedonperformanceaccomplishments.

*profitsharing=plansdistributeto
employeesaproportionofnetprofitsearned
bytheorganization.
*gainsharing=plansallowemployeesto
shareincostsavingsorproductivitygains
realizedbytheirefforts,
*employeestockownership=helpemployees
purchasestockintheiremployingcompanies.
*stockoptions=givetherighttopurchase
sharesatafixedpriceinthefuture.
*employeebenefits=arenonmonetaryformsof
compensationssuchashealthinsuranceand
retirementplans.
*flexiblebenefits=programsallowemployees
tochoosefromarangeofbenefitoptions.
*familyfriendlybenefits=helpemployees
achievebetterworklifebalance.
*employeeassistanceprograms=help
employeescopewithpersonalstressesand
problems.
*earlyretirementincentiveprograms=offers
workersfinancialincentivestoretireearly.
*termination=theinvoluntarydismissalof
anemployee.
*employmentatwill=meansthatemployees
canbeterminatedatanytimeforanyreason.

*wrongfulldischarge=adoctrinegiving
workerslegalprotectionsagainst
discriminatoryfirings.
*laborunion=anorganizationthatdeals
withemployersontheworkerscollective
behalf.
*laborcontract=formalagreementbetweenan
unionandanemployeraboutthtermsofwork
ofunionmembers.
*collectivebargaining=theprocessof
negotiating,administratingandinterpretinga
laborcontract.