Chapter 5, 6, 7, 8 - staffing


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Chapter 5, 6, 7, 8 - staffing

  1. 1. STAFFING 1
  2. 2. Human Resource Management The integration of all processes, programs, and systems in an organization that ensure staff are acquired and used in an effective way 2
  3. 3. Human Resource Management (Contd.) HR is multidisciplinary: It applies the disciplines of Economics (wages, markets, resources), Psychology (motivation, satisfaction), Sociology (organization structure, culture) and Law (min. wage, labor contracts) What HR Professionals Do? HR planning Recruitment & Selection Training and development Compensation & Performance review Labor relations 3
  4. 4. Human Resource Planning Assessing Current Human Resources Assessing Future Human Resource Needs Developing a Program to Meet Needs 4
  5. 5. Human Resource Planning The process of systematically reviewing HR requirements to ensure that the required number of employees, with the required skills, are available when they are needed 5
  6. 6. HR Planning We have found the gap, how do we fill this void? Internal Labour Supply Skill Inventory Succession Planning Replacement Planning – Inventory Chart • Present & Future staffing situations • Helps in retention & expulsion strategy External Labour Supply 6
  7. 7. Job Analysis (Functional Job Analysis, Position analysis questionnaire) A Basic Human Resource Management Tool Tasks Responsibilities Duties Human Resource Planning Recruitment Selection Training and Development Job Descriptions Job Analysis Performance Appraisal Compensation and Benefits Job Specifications Safety and Health Employee and Labor Relations Knowledge Skills Abilities Legal Considerations 7 Job Analysis for Teams
  8. 8. Definitions Job - Consists of a group of tasks that must be performed for an organization to achieve its goals Position - Collection of tasks and responsibilities performed by one person; there is a position for every individual in an organization Job analysis - Systematic process of determining the skills, duties, and knowledge required for performing jobs in an organization (functional job analysis , position analysis questionnaire) Job description – document providing information regarding tasks, duties, and responsibilities of job Job specification – minimum qualifications to perform a particular job 8
  9. 9. Recruitment Process of locating, identifying, and attracting capable candidates Can be for current or future needs Critical activity for some corporations. What sources do we use for recruitment 9
  10. 10. Sources of Recruitment 10
  11. 11. School Placement Internal Searches Employee Referrals Recruitment Sources Employment Agencies Voluntary Applicants Advertisements 11
  12. 12. SELECTION A series of steps from initial applicant screening to final hiring of the new employee. Selection process. Step 1 Completing application materials. Step 2 Conducting an interview. Step 3 Completing any necessary tests. Step 4 Doing a background investigation. Step 5 Deciding to hire or not to hire. 12
  13. 13. Selection process Step 1 Completing application materials. Gathering information regarding an applicant’s background and experiences. Typical application materials. Traditional application forms. Résumés. Sometimes tests may be included with application materials. Step 2 Conducting an interview. Typically used though they are subject to perceptual distortions. Interviews can provide rough ideas concerning the person’s fit with the job and the organization. 13
  14. 14. Selection process Step 3 Completing any necessary tests. Administered before or after the interview. Common examples of employment tests. Cognitive, clerical, or mechanical aptitudes or abilities. Personality. Step 4 Doing a background investigation. Can be used early or late in selection process. Background investigations include: Basic level checks. Reference checks. 14
  15. 15. Selection process Step 5 Deciding to hire or not to hire. Draws on information produced in preceding selection steps. A job offer is made. A physical examination may be required if it is relevant to job performance. Negotiation of salary and/or benefits for some jobs. Step 6 Socialization. The final step in the staffing process. Involves orienting new employees to: The firm. The work units in which they will be working. The firm’s policies and procedures. The firm’s organizational culture. 15
  16. 16. Performance Appraisal 16
  17. 17. Performance Appraisal The identification, measurement, and management of human performance in organizations. 17
  18. 18. Why Conduct Performance Appraisals? Make decisions about that person's future with the organization Identify training requirements Employee improvement Pay, promotion, and other personnel decisions Research Validation of selection techniques and criteria 18
  19. 19. A Model of Performance Appraisal Skills/Activities/Output Performance Appraisal System Reward/Training/Punishment 19
  20. 20. Techniques for Evaluating Managers Evaluation by superiors Evaluation by colleagues Peer ratings tend to be more favorable for career development than for promotion decisions Self-evaluation Self-ratings suffer from leniency Subordinate evaluation Effective in developing leadership Leads to improved performance 360 degree feedback (multi-source) 20
  21. 21. 360 Feedback The combination of peer, subordinate, and self-review 21
  22. 22. Key Steps in Implementing 360° Appraisal Top management communicates the goals Employees and managers are involved in the development of the appraisal criteria and process. Employees are trained in giving & receiving feedback. Employees are informed of the nature of the 360 appraisal instrument and process. The 360 system undergoes pilot testing Management continuously reinforces the goals of the 360 appraisal and is ready to change the process when necessary. 22
  23. 23. Measurement Tools 23
  24. 24. Relative and Absolute Judgment Relative Judgment An appraisal format that asks supervisors to compare an employee's performance to the performance of other employees doing the same job. Absolute Judgment An appraisal format that asks supervisors to make judgments about an employee’s performance based solely on performance standards. 24
  25. 25. Rating Methods Performance rating scales Supervisors indicate how or to what degree a worker possesses a relevant job characteristic Ranking technique Supervisors list the workers in order from highest to lowest Paired-comparison technique Compares the performance of each worker with that of every other person in the group Forced choice technique Raters are presented with groups of descriptive statements and are asked to select the phrase in each group that is most descriptive of the worker being evaluated 25
  26. 26. Rating Methods Behaviorally anchored rating scales (BARS) Appraisers rate critical employee behavior Critical-incident behaviors are established These behaviors are used as standards for appraising effectiveness The BARS items can be scored objectively by indicating whether the employee displays that behavior Behavioral observation scales (BOS) Appraisers rate the frequency of critical employee behaviors The ratings are assigned on a five point scale The evaluation yields a total score Management by objectives (MBO) 26
  27. 27. Appraising Managers as Managers 27
  28. 28. Organizational Change 28
  29. 29. Concept of Organizational Change Defined as adoption of a new idea or behavior by an organization. Organizations need to continuously adapt to new situations if they are to survive and prosper 29
  30. 30. Planned and Unplanned Organizational Changes Organizational Change Planned Changes • Changes in products and services • Changes in administrative systems • Changes in organizational size or structure • Introduction of new technologies • Advances in information processing and communication Unplanned Changes • Changing employee demographics • Performance gaps • Governmental regulations • Economic competition in the global arena 30
  31. 31. Workforce World Politics Technology Forces For Change Economic Shocks Social Trends Competition 31
  32. 32. Resistance to Change - Forms Overt and immediate Voicing complaints, engaging in job actions Implicit and deferred Loss of employee loyalty and motivation, increased errors or mistakes, increased absenteeism 32
  33. 33. Resistance to Change Selective Information Processing Force of Habit Individual Fear of the Unknown Need for Security Economic Factors 33
  34. 34. Resistance to Change Structural & Group Inertia Threat to establish resource allocation Organization Limited Focus Threat to Expertise Threat to establish power relationship 34
  35. 35. Overcoming Resistance to Change Education and Communication Participation Negotiation Facilitation and Support Manipulation and Cooptation Coercion 35
  36. 36. Organizational Change Unfreezing Changing Refreezing Lewin’s Three-Step Process 36
  37. 37. Unfreezing the Status Quo Desired State Restraining Forces Status Quo Driving Forces Time 37
  38. 38. Definition of OD OD is a planned process of change in an organization’s culture through the utilization of behavioral science technology, research, and theory. 38
  39. 39. Organization Development is... a systemwide application and transfer of behavioral science knowledge to the planned development, improvement, and reinforcement of the strategies, structures, and processes that lead to organization effectiveness. 39
  40. 40. Organizational Development - The Premises Respect for people Trust and support Power equalization Confrontation Participation 40
  41. 41. OD Process Diagnosis Intervention Evaluation 41 .
  42. 42. OD Interventions Intergroup development Process consultation Sensitivity training Third Party Intervention Survey feedback Team building Culture Change 42
  43. 43. Manager Development On the Job Training Planned Progression Job Rotation Creation of “assistant-to” Temporary promotion Committees Off the Job Training Conference MDPs Business Simulations 43
  44. 44. Organizational Conflicts 44
  45. 45. Sources of Conflict Competition for scarce resources Time pressure Unreasonable standards, policies, rules or procedures Communication breakdowns Personality clashes Ambiguous or overlapping jurisdictions Unrealized expectations 45
  46. 46. Managing Conflicts Avoidance Problem solving Compromise Forcing Smoothing Structural change 46
  47. 47. Training & Development 47
  48. 48. Training and Development (T&D)  Training - Designed to provide learners with the knowledge and skills needed for their present jobs – formal and informal  Development - Involves learning that goes beyond today's job – more long-term focus  Learning Organization – firms that recognize critical importance of continuous performance-related training and development an take appropriate action 48
  49. 49. Factors Influencing T&D      Top management support Commitment from specialists and generalists Technological advances Organizational complexity Learning style 49
  50. 50. The Training and Development (T&D) Process Determine T&D Needs Establish Specific Objectives Select T&D Method(s) Implement T&D Programs Evaluate T&D Programs 50
  51. 51. Determining Training and Development Needs In order to compete effectively, firms must keep employees well trained. 51
  52. 52. Establishing Training and Development Objectives  Desired end results  Clear and concise objectives must be formulated 52
  53. 53. T&D Methods  Classroom Programs  Distance Learning  Mentoring  Coaching  Role Playing  Simulations     and Videoconferencing E-learning On-the-Job Training Job Rotation Internships 53
  54. 54. Classroom Programs  Continue to be effective for many types of employee training  May incorporate some of other methods 54
  55. 55. Mentoring  Approach to advising, coaching, and nurturing, for creating practical relationship to enhance individual career, personal, and professional growth and development  Mentor may be located elsewhere in organization or in another firm  Relationship may be formal or informal 55
  56. 56. Coaching  Often considered responsibility of immediate boss  Provides assistance much as a mentor 56
  57. 57. Role Playing  Respond to specific problems they may actually encounter in jobs  Used to teach such skills as:  interviewing  grievance handling  performance appraisal reviews conference leadership  team problem solving  communication 57
  58. 58. Simulations Training devices that model the real world or programs replicating tasks away from the job site 58
  59. 59. Distance Learning and Videoconferencing  Interactive training  Used to: increase access to training ensure consistency of instruction reduce cost of delivering T&D programs 59
  60. 60. E-Learning Umbrella term describing online instruction 60
  61. 61. On-the-Job Training Informal approach that permits employee to learn job tasks by actually performing them  Most commonly used T&D method  No problem transferring what has been learned to the task  61
  62. 62. Job Rotation   Employees move from one job to another to broaden experience Helps new employees understand variety of jobs 62
  63. 63. Internships Training approach where university students divide their time between attending classes and working for an organization  Excellent means of viewing potential permanent employee at work  Students are enabled to integrate theory with practice  63
  64. 64. Management Development  All learning experiences resulting in upgrading of skills and knowledge needed in current and future managerial positions  Imperative managers keep up with latest developments in their fields while managing everchanging workforce in a dynamic environment  Requires personal commitment of individual manager 64
  65. 65. Reasons to Conduct Management Training Outside of the Company  An outside perspective  New viewpoints  Possibility of taking executives out of work environment  Exposure to faculty experts and research  Broader vision 65
  66. 66. Reasons to Conduct Management Training Inside of the Company  Training more specific to     needs Lower costs Less time Consistent, relevant material More control of content and faculty 66
  67. 67. Orientation  Initial T&D effort designed for employees  Strives to inform them about company, job and workgroup  On-boarding 67
  68. 68. Organization Development Survey feedback process  Quality circles  Team building  Sensitivity training  68
  69. 69. Survey Feedback Description  Process of collecting data from organizational unit through use of questionnaires, interviews and other objective data  Can create working environments that lead to better working relationships, greater productivity and increased profitability 69
  70. 70. Quality Circles  Groups of employees who voluntarily meet regularly with their supervisors to discuss problems  Investigate causes  Recommend solutions 70
  71. 71. Team Building  Conscious effort to develop effective workgroups  Uses self-directed teams  Small group of employees responsible for an entire work process  Members work together to improve their operation 71
  72. 72. Laboratory/ Sensitivity / T-Group Training  Participants learn about themselves and     how others perceive them No agenda, leaders, authority, power positions People learn through dialogue Participants encouraged to learn about themselves and others in group Also called T-group training 72
  73. 73. Evaluating Human Resource Development  Ask participant’s opinions  Determine extent of learning  Will training change behavior?  Have T&D objectives been accomplished?  Benchmarking  Evaluation difficult, but necessary 73
  74. 74. Directing & Controlling 74
  75. 75. Introduction Directing/Direction is a function of management performed by top level management in order to achieve organizational goals. It is very important and necessary function of management. Management has to undertake various activities like, guide people, inspired and lead them as well as supervision of their activity is required in order to achieve desired results. 75
  76. 76. Meaning and Definition Direction consists of the process and techniques utilized in issuing instructions and making certain that operations are carried as originally planned. “Directing involves determining the course, giving order and instruction and providing dynamic leadership” – Marshall “Activating means and moving into actionsupplying simulative power to the group”- G.R Terry 76
  77. 77. Directing involves….. Telling people what is to be done and explaining how to do it. Issuing instructions and orders to subordinates. Inspiring them to contribute towards the achievement of objectives, Supervising their activities; Providing leadership and motivation 77
  78. 78. ELEMENTS OF DIRECTION Communication Leading Motivation Supervision Coordination 78
  79. 79. PRINCIPLES OF DIRECTION Harmony of Objectives Unity of Command / Direction Direct Supervision Democratic Managerial Style Follow Through 79
  80. 80. TECHNIQUES OF DIRECTION Consultative Direction Free Rein Direction Autocratic Direction 80
  81. 81. SUPERVISION 81
  82. 82. Supervision implies expert overseeing of subor-dinates -at work in order to guide and regulate their efforts. Every manager has to supervise the work of his subordinates to see that they do their work as desired. But supervision is particularly important at the operat-ing level of management or at the low-level management. The supervisor is in direct personal contact with the workers and he acts as the link between workers and manage-ment. He communicates the policies, plans and orders of management to the workers. He also brings workers' grievances, suggestions and appeals to the notice of management. Effective supervision is essential for the accomplishment of desired goals. 82
  83. 83. The direction of people at work is the most difficult of all production related tasks. Supervision means constantly functioning in a state of flux and ambiguity and few people feel satisfaction from being a supervisor. The reason this is worth mentioning is because many new supervisors feel that something is "wrong" when they are constantly faced with problems relating to their workforce. This state of flux and ambiguity is normal to supervision and success is measured in percentages rather than absolutes. 83
  84. 84. All work requires the coordination of effort. We accomplish this by giving workers assigned tasks and assigned time in which they are to accomplish these tasks. But just giving instructions is not enough. You must give clear, specific instructions on what is to be done, monitor the worker in the course of their efforts and hold them accountable for specific results. These three elements; specific instructions on what is to be done, monitoring them periodically to make sure it is being done, and making the employee accountable for the results are the core of the supervisory process. It is the responsibility of the supervisor to do this. Workers who do not receive good instruction and direction; who are allowed to do work incorrectly without correction and who do not have a review of their performance have not had proper supervision and hence have not been allowed to perform properly. The purpose of supervision is to ensure that subordinates perform their tasks according to prescribed procedures and as efficiently as possible. 84
  85. 85. In Supervising 1. Set realistic expectations. The expectations that are often left unstated need to be openly discussed. 2. Establish clear goals. Goal setting gives purpose and direction to the work of the individual subordinates as well as to the manager. It ensures alignment to corporate strategy. 3. Communicate. Successful communication is a learned process that must accommodate individual needs. As the boss, you establish the norms. Solicit feedback, encourage discussion (especially alternate points of view), and be accessible. 85
  86. 86. 4. Support. A manager is not made by title alone. Anyone new to a supervisory position needs to develop certain professional skills. Your mentoring will be the key to success. 5. Be the Model Manager . Lead the way! Have others do as you say and do. 86
  87. 87. COORDINATION 87
  88. 88. What's Coordination? Co-ordination is the unification, integration, synchronization of the efforts of group members so as to provide unity of action in the pursuit of common goals. It is a hidden force which binds all the other functions of management. According to Mooney and Reelay, “Co-ordination is orderly arrangement of group efforts to provide unity of action in the pursuit of common goals”. According to Charles Worth, “Coordination is the integration of several parts into an orderly hole to achieve the purpose of understanding”. 88
  89. 89. Management seeks to achieve co-ordination through its basic functions of planning, organizing, staffing, directing and controlling. That is why, co-ordination is not a separate function of management because achieving of harmony between individuals efforts towards achievement of group goals is a key to success of management. Co-ordination is the essence of management and is implicit and inherent in all functions of management. A manager can be compared to an orchestra conductor since both of them have to create rhythm and unity in the activities of group members. 89
  90. 90. CONTROL 90
  91. 91. Organizational Control Organizational Control Managers monitor and regulate how efficiently and effectively an organization and its members are performing the activities necessary to achieve organizational goals 91
  92. 92. Organizational Control Managers must monitor and evaluate: Is the firm efficiently converting inputs into outputs? Are units of inputs and outputs measured accurately? Is product quality improving? Is the firm’s quality competitive with other firms? Are employees responsive to customers? Are customers satisfied with the services offered? Are our managers innovative in outlook? Does the control system encourage risktaking? 92
  93. 93. Control Systems Control Systems Formal, target-setting, monitoring, evaluation and feedback systems that provide managers with information about whether the organization’s strategy and structure are working efficiently and effectively. 93 11-93
  94. 94. Control Systems A good control system should: be flexible so managers can respond as needed. provide accurate information about the organization. provide information in a timely manner. 94
  95. 95. Three Types of Control 95
  96. 96. Types of Control Feedforward Controls Used to anticipate problems before they arise so that problems do not occur later during the conversion process Giving stringent product specifications to suppliers in advance IT can be used to keep in contact with suppliers and to monitor their progress 96
  97. 97. Types of Control Concurrent Controls Give managers immediate feedback on how efficiently inputs are being transformed into outputs Allows managers to correct problems as they arise 97 11-97
  98. 98. Types of Control Feedback Controls Used to provide information at the output stage about customers’ reactions to goods and services so that corrective action can be taken if necessary 98 11-98
  99. 99. Control Process Steps 99
  100. 100. The Control Process 1. Establish standards of performance, goals, or targets against which performance is to be evaluated. Managers at each organizational level need to set their own standards. 100
  101. 101. The Control Process 2. Measure actual performance Managers can measure outputs resulting from worker behavior or they can measure the behavior themselves. The more non-routine the task, the harder it is to measure behavior or outputs 101
  102. 102. The Control Process 3. Compare actual performance against chosen standards of performance Managers evaluate whether – and to what extent – performance deviates from the standards of performance chosen in step 1 102
  103. 103. The Control Process 4. Evaluate result and initiate corrective action if the standard is not being achieved If managers decide that the level of performance is unacceptable, they must try to change the way work activities are performed to solve the problem 103
  104. 104. Three Organizational Control Systems 104
  105. 105. Financial Measures of Performance Profit Ratios – measure how efficiently managers are using the organization’s resources to generate profits Return on Investment (ROI) – most commonly used financial performance measure organization’s net income before taxes divided by its total assets 105 11-105
  106. 106. Financial Measures of Performance Operating margin calculated by dividing a companies operating profit by sales revenue Provides managers with information about how efficiently an organization is utilizing its resources 106
  107. 107. Financial Measures of Performance Liquidity ratios measure how well managers have protected organizational resources to be able to meet short-term obligations Leverage ratios measure the degree to which managers use debt or equity to finance ongoing operations 107
  108. 108. Financial Measures of Performance Activity ratios provide measures of how well managers are creating value from organizational assets 108
  109. 109. Output Control Organizational Goals Each division within the firm is given specific goals that must be met in order to attain overall organizational goals. Goals should be set appropriately so that managers are motivated to accomplish them 109
  110. 110. Organization-Wide Goal Setting 110
  111. 111. Output Control Operating Budgets Blueprint that states how managers intend to use organizational resources to achieve organizational goals efficiently. 111
  112. 112. Effective Output Control 1. 2. 3. Objective financial measures Challenging goals and performance standards Appropriate operating budgets 112
  113. 113. Problems with Output Control Managers must create output standards that motivate at all levels Should not cause managers to behave in inappropriate ways to achieve organizational goals 113
  114. 114. Behavior Control Direct supervision managers who actively monitor and observe the behavior of their subordinates Teach subordinates appropriate behaviors Intervene to take corrective action Most immediate and potent form of behavioral control Can be an effective way of motivating employees 114
  115. 115. Problems with Direct Supervision Very expensive because a manager can personally manage only a relatively small number of subordinates effectively Can demotivate subordinates if they feel that they are under such close scrutiny that they are not free to make their own decisions 115
  116. 116. MBO 116
  117. 117. Management by Objectives Management by Objectives (MBO) formal system of evaluating subordinates for their ability to achieve specific organizational goals or performance standards and to meet operating budgets 117
  118. 118. Management by Objectives 1. 2. 3. Specific goals and objectives are established at each level of the organization Managers and their subordinates together determine the subordinates’ goals Managers and their subordinates periodically review the subordinates’ progress toward meeting goals 118
  119. 119. Bureaucratic Control Bureaucratic Control Control through a system of rules and standard operating procedures (SOPs) that shapes and regulates the behavior of divisions, functions, and individuals. 119 11-119
  120. 120. Bureaucratic Control Problems with Bureaucratic Control Rules easier to make than than discarding them, leading to bureaucratic “red tape” and slowing organizational reaction times to problems. Firms become too standardized and lose flexibility to learn, to create new ideas, and solve to new problems. 120
  121. 121. Clan Control Clan Control The control exerted on individuals and groups in an organization by shared values, norms, standards of behavior, and expectations. 121