SlideShare a Scribd company logo
1 of 134
Introduction for
Human Resource
Management
Ahmad Thanin
Outline
Module 1: Human Resource Management
Module 2: HR Management Strategy and Analysis
Module 3: Job Analysis and the Talent Management Process
Module 4: Recruitment, Interviewing and Selection
Module 5: Employee Training and Development
Module 6: Performance Management
Module 7: Employee Engagement and Retention
Module 8: Total Rewards
Module 9: Ethics and Employee Relations
Module 10: Managing Global Human Resources
Objective
Explain and Define What is Human Resource Management (HRM)
Explain Strategic Planning, Human Resource Planning, and Job Analysis
Explain how the functions of human resource management contribute to business success
Describe Performance Management and Training
Explain Role of Training and Development in Performance Management
Explain the Compensation
Learn about Labor Relations, Employee Relations, Safety and Health
Human Resource Management
Human Resource Management
Human Resource
Management has come to be
recognized as an inherent
part of management, which
is concerned with the people
side of an organization.
Its objective is the
maintenance of better
human relations in the
organization by the
development, application
and evaluation of policies,
procedures and programs
relating to human resources
to optimize their contribution
towards the realization of
organizational objectives.
Human Resource Management
HR Management is
concerned with
getting better results
with the
collaboration of
people.
HR Management is a
process of bringing
people and
organizations
together so that the
goals of each are met
HR Management – Core Activities
JOB ANALYSIS HR PLANNING RECRUITMENT
& SELECTION
EMPLOYEE
DEVELOPMENT
PERFORMANCE
MANAGEMENT
COMPENSATION
& BENEFITS
EMPLOYEE
RELATIONS
SAFETY &
HEALTH
HR Categories of Work
Strategic:
Work that supports one or
more courses of action
developed by the organization’s
leaders. Examples:
• Long term (2+ years)
• Linked to one or more business goals
• Requires multiple solutions or tactics
• Benefits business units and perhaps the
entire enterprise.
Tactical:
Solutions focused. Benefits
workgroups Examples
• Restructuring departments
• Training programs
• Recruitment initiatives
• Succession Planning
Transactional
Administrative, benefits
individuals. Examples
• Updating HR records
• Filling a vacant position
• Locating training program for employee
Partnering with Human Resources
Since managers represent front-line supervision, they have the day-to-day
responsibilities to implement HR initiatives
The primary reason human resources and line managers should work
together is because both parties have a vested interest in ensuring the
organization achieves success
Through working together, line management becomes more proficient in
tactical human resources functions. This frees up time for human resources
professionals to devote more time to strategic HR management
Four Roles of HR (Ulrich)
Strategic
Partner
Change Agent
Administrative
Expert
Employee
Champion
Future/Strategic Focus
Day-to-Day/Operational Focus
P
R
O
C
E
S
S
E
S
P
E
O
P
L
E
Defining & Executing
Strategy
Creating a renewed
organization
Building an effective and
efficient infrastructure
Increasing employee
commitment & capability
Evolving Roles of HR
11
Global and Strategic
Domestic and Tactical
Current Trends in Human Resource
Globalization
of Business
and the
Labor Market
More High-
Tech Jobs and
Skill Needs
Generational
Differences in
the
Workplace
Changing
Societal
Norms
Increase of
Contingent
Workers
Evolving Role
of Virtual
Employees
Increasing
Diversity and
Cultural
Issues
HR as a Profit Center
Human Resources can
no longer afford to be
considered “an
overhead
department” and
must find ways of
creating value for
their organizations
Link HR Practices to
Bottom Line
Measure HR Performance
Get Close to Finance
Work with a Budget
The Nine HR Competencies
Global & Cultural
Effectiveness
Critical Evaluation Ethical Practice
Organizational
Leadership &
Navigation
HR Technical
Expertise &
Practice
Relationship
Management
Consultation Communication
Business Acumen
• Most critical strategic
competency
The Main Cycles in Human Resources (HR)
Management
HR Strategy Cycle
Recruitment and
Selection Cycle
Training and
Development Cycle
Performance
Management Cycle
Compensation and
Benefits Cycle
HR Management Strategy and
Analysis
Strategic
Human
Resource
Management
Strategic human resource management is the
proactive management of people. It requires
proactive thinking, and planning ways for a
company to better meet the needs of its
employees, and for the employees to better meet
the needs of the company.
This can affect the way things are done at a
business site, improving everything from hiring
practices and employee training programs to
assessment techniques and discipline.
Strategy and Workforce Planning
What are the organization’s strategic aims and goals?
What employee behaviors and skills do we need to
achieve our strategic aims?
What employee behaviors and skills do we need to
achieve our strategic aims?
Strategy and Workforce Planning
Management formulates a strategic plan and measurable strategic goals or aims. These plans and
aims imply certain workforce requirements, in terms of the employee skills and behaviors required
to achieve the firm’s strategic goals.
Strategic Workforce Planning
Supply
Analysis
Demand
Analysis
Gap Analysis
• What KSA gaps do we have?
• What competencies exist now?
• Where are we now?
• What do we have?
• What KSA’s are lacking?
• How do we meet supply needs?
• Where we need to be?
• What do we need?
• How many employees are needed?
• Are we growing or retrenching?
• Do we have KSA’s to meet needs?
Solutions
• What can we afford?
• How will we get what we need?
Levels of Strategy in the Organization
•Broadest strategy level
•Where to compete
•What to develop
Corporate
Level Strategy
•How to compete in a specific
market
•Competitive advantage over rivals
in chosen market
Business Unit
Level Strategy •Resources to support other levels
•Includes people, skills, knowledge,
process, etc.
Functional
Level Strategy
Strategic Alignment
- Identifies business
- Provides guidance
- Identifies competitive advantage
- Provides a plan
- Functional units’ strategies should align with business strategy
Strategic
HR
Management
Tools
HR Scorecard
• A process for managing employee performance and
for aligning all employees with key objectives, by
assigning financial and nonfinancial goals,
monitoring and assessing performance, and quickly
taking corrective action.
Digital Dashboard
• Presents the manager with desktop graphs and
charts, so he or she gets a picture of where the
company has been and where it s going, in terms of
each activity in the strategy map.
Strategy Map
• Graphical tool that summarizes the chain of
activities that contribute to a company’s success,
and so shows employees the big picture of how
their performance contributes to achieving the
company s overall strategic goals.
HR Computerized Dashboards
A user interface that organizes and presents information in a way that is easy
to read and interpret
A dashboard arranges information in a visual fashion that allows the viewer to
view and compare data.
Also referred to as “HR Scorecards”
Information is presented using a variety of charts and graphics such as bar
charts, pie charts, line chart and area charts.
HR DashboardH U M A N R E S O U R C E S
E m p l o y e e R y an K e n n e d y
D e p a r t m e n t C u s t o m e r S upport
H ire Date 12/24/01
Salary $81,000
B o n u s $4,860
O v e r t i m e $0
Sick Days 4
P e r f o r m a n c e S core 2
0
2 0
4 0
6 0
8 0
1 0 0
1 2 0
2 0 00 2 0 01 2 0 02 2 0 03 2 0 04 2 0 05 2 0 06 2 0 07 2 0 08
N u m b e r o f E m p l o y e e s b y Year
0 5 1 0 1 5 2 0
> $1 0 0 ,0 0 0
$90,000 - $100,00 0
$80,000 - $90,000
$70,000 - $80,000
$60,000 - $70,000
$50,000 - $60,000
$40,000 - $50,000
$30,000 - $40,000
< $3 0 ,0 0 0
N u m b e r o f E m p l o y e e s b y S a la r y
0 5 1 0 1 5
S a les
R & D
M a rke t in g
IT
H u m a n R e s o u rces
Fin a n ce
C u s t o m e r S uppo r t
A d m in i str at io n
A cc o u n t in g
H e ad co u n t
$ 0 $ 5 00 ,0 0 0 $ 1 ,0 00 ,0 0 0 $ 1 ,5 00 ,0 0 0
S a les
R & D
M a rke t in g
IT
H u m a n R e s o u rces
Fin a n ce
C u s t o m e r S uppo r t
A d m in i str at io n
A cc o u n t in g
Payroll B r e a k d o w n
S a la ry
B o n u s
O v er t im e
$80,000
$60,000
$40,000
$20,000
$ 0
$100,00 0
S a la r y D ist r ib u t io n
$160,00 0
$140,00 0
$120,00 0
Human Resource Metrics
Absence rate (Lost
workdays/Avg Employees x
days of work available)
Cost per hire (External Costs)
+ (Internal Costs) / Total
Number of Hires)
Health costs per employee
(Total Health costs/Total
Employees)
Time to fill (Total days
elapsed to fill jobs / Number
hired)
Turnover costs (Costs of
separation + vacancy +
replacement + training)
Vacancy costs (costs of
temporary workers +
independent contractors +
other outsourcing + overtime
- wages and benefits not paid
to vacant position)
Benefit costs vs. total payroll
(Benefit Costs/ Total Payroll)
Annual training costs per
employee (Total Training
Costs/Employees)
Annual training hours per
employee (Total
hours/Employees)
Strategic HR Management tools
Situation Analysis SWOT
PEST Analysis
(political,
economic, social
and technological)
HR Visions and
Missions
HR Strategic Goals
Critical Success
Factors in HR
Key Result Areas
and Key
Performance
Indicators
Core
Competencies and
Core Values
Job Analysis and the Talent
Management Process
What is Talent?
Talent consists of those individuals who can
make a difference to organizational
performance, either through their immediate
contribution or, in the longer-term, by
demonstrating the highest levels of potential.
Individuals who have the capability to make a
significant difference to the current and future
performance of the company
What is Talent Management?
“the implementation of integrated
strategies or systems designed to
increase workplace productivity by
developing improved processes for
attracting, developing, retaining and
utilizing people with the required skills
and aptitude to meet current and
future business needs”
“the systematic attraction, identification,
development, engagement/retention and
deployment of those individuals who are of
particular value to an organization”
Talent Management Strategic Focus Areas
Attracting
Selecting
Engaging
Developing
Retaining
HR’s Role in Talent Management
Develop an integrated,
proactive TM strategy
Balance talent
attraction & retention
with management
accountability
Know the company’s
business environment
and plans
Know what factors
contribute to difficulties
in attracting and
retaining employees
Balance retention
factors between pay
and benefits
Identify employee
turnover patterns
Market the company
and brand to employees
and potential
candidates
Manager’s Role in Talent Management
Recognize the diversity of
talent within their
department
Understand that employees
have individual needs and
expectations
Realize that employees
have different motivational
levers
Accept the fact that not all
employees are looking for
promotional opportunities
or additional responsibility
Demonstrate the ability to
utilize employee talent in
ways that best benefits the
employee, the department
and the organization
Organize departments into
A, B, and C players
Job Analysis
The systematic process of gathering and examining and
interpreting data regarding the specific tasks comprising a job.
Job analysis is the process of studying jobs to gather, analyze,
synthesize and report information about job responsibilities and
requirements and the conditions under which work is performed.
Components of Job Analysis
Job Content
Duties &
responsibilities
Tasks &
procedures
Job
Requirements
Qualifications
Knowledge
Skills
Abilities
Job Context
Fit in
organization
Degree of
supervision
needed
Work & culture
setting
Physical
demands
/conditions
Gathering Data for Job Analysis
Job Incumbent
Manager
Former Job Holders
Job Analyst
Subject Matter Experts
Professional Organizations
Methods of Gathering Data for Job Analysis
Observation Interview
Questionnaires Work diary or log
Employee
Recordings
Job Analysis Outputs
Job Analysis
Job Description
• Job Title
• Job Location
• Job Summary
• Essential Functions
• Reporting Responsibilities
• Working Conditions
• Machines to be Used
• Hazards
Job Specification
• Qualifications
• Experience
• Training
• Skills
• Responsibilities
• Emotional Characteristics
• Sensory Demands
Job Description and Job Specification
A job description is a written
description of a job which includes
information regarding the general
nature of the work to be performed,
specific responsibilities and duties,
essential functions, and the
employee characteristics required to
perform the job
A job specification is a written
statement of educational
qualifications, specific qualities,
level of experience, physical,
emotional, and technical skills
required to perform a job.
Elements of a Job Description
Job Element Description
Job identification Job title, department or location, date description was completed, approvals,
who the person reports to.
Summary Primary responsibilities, expected results, degree of autonomy (independent
work)
Essential functions Tasks, duties and responsibilities
Nonessential functions Desirable but not essential aspects of job
KSAs Minimum knowledge, skills and abilities required to perform the job
satisfactorily
Supervisory responsibilities Extent of authority, including a list of who
reports to this position
Working conditions Environment in which the job is performed, especially hazardous or difficult
physical conditions
Importance of Job Descriptions for HRM
JOB
ANALYSIS
HR Planning
Recruitment
& Selection
Training
Performance
Management
Safety
&
Health
Pay and
Rewards
Employee
Relations
Legal
Compliance
Updating Job Descriptions
•Critical to successful talent management integration, ensuring accuracy of job tasks, skills, knowledge, and
specifications
Why?
•Job descriptions should be reviewed and revised at least every two years, more frequently in some industries
When?
•Verification of changes or needs in current positions, recognizing that many positions will experience “job drift”
over time.
What?
•Updates should be facilitated by HR in collaboration with line managers, however, others sources may also be
utilized such as incumbent employees, former job holders, etc.
Who?
Recruitment, Interviewing and
Selection
Workforce
Planning A core process of human resource management that is
shaped by organizational strategy and ensures the
right number of people with the right skills are in the
right place at the right time.
Workforce planning is the systematic process for
identifying and addressing the gaps between the
workforce of today and the human capital needs of
tomorrow. Effective workforce planning enables the
organization to:
• Align workforce requirements to the organization’s strategic &
annual business plans
• Develop a comprehensive picture of where competency gaps exist
• Identify and implement gap reduction strategies
• Make decisions how best to structure the organization & deploy the
workforce
• Address internal & external barriers affecting strategic workforce
execution
Stages of Workforce Planning
• Operations plan,
people strategy,
organizational
strategy
Determine
Business Strategy
• Input resourcing
information from HR
business partners
and business
managers
Analyze Available
Data • Review labor supply
data, both internal
and external, review
workforce capability
to deliver the plan.
Determine Actions
& Implement
• Agree on assessment
and evaluation
criteria, regularly
review & evaluate
outcomes.
Agree on
Objectives
Six B’s of Workforce Planning (Ulrich)
Buy
• Hiring talent from outside the
organization
Build
• Developing talent within the
organization
Borrow
• Obtaining outside talent
through consulting,
outsourcing or contingent
labor to access skills and ideas
needed
Bind
• Retention of critical employees
Bounce
• Removing your bottom
performers, eliminating
unproductive roles, or re-
skilling employees with “old”
skill sets
Balance
• Developing an appropriate
combination and balance of all
other previous approaches
Recruitment
and Selection
Internal Recruitment Methods
External Recruiting Methods
Community
Awareness
Educational
Recruiting
Government
Agencies
Media
Advertising
Online Social
Networks
Open House Outplacement
Personal
Networking
Referrals Internet
3rd Party
Recruiters
Trade &
Professional
Organizations
Selection Process
The right fit can
energize the
environment and
lead to a more
engaged
employee,
manager and team
The final decision
should also include
which candidate
offers the best
personality fit.
The winning
candidate should
be the one who
scores highest in
the most
consequential
categories
Selection of the
most qualified
candidate is based
on the results of
interviews,
evaluations and
tests
Applicant Testing
• Match between applicant & job requirements
• Accurate & objective predictors of skills
Employment Test
• Measure applicant interest with interest patterns of successful job incumbents
• Not always accurate predictors
Interest Test
• Measure special abilities required in specific jobs
• Can be used to predict trainability
Aptitude Test
• Measure applicant’s IQ
• Good predictors of managerial job success
Intelligence Test
• Measure specific aspects of personality (introversion/extroversion, emotional stability & motivation, honesty, etc.
• Not always accurate predictors of job performance
Personality Test
Realistic Job Previews (RJP)
A realistic job preview that informs candidates about all aspects of the job and work environment.
May include the following:
• Tours of the workplace
• Interviews with incumbents
• Job simulations
• Video presentation
Effective RJPs
• Dispel unrealistic expectations of the job
• Promotes informative exchange between candidate and the organization
• Helps increase job satisfaction
• Helps prevent disappointments
• Reduce post-entry stress
• Reduces employee turnover
Interviewing
Types of Interviews
Structured
• Pre-determined questions,
• Same for all applicants
Non-Structured
• Flexible, no pre-planned
questions, or follow-up
questions.
Behavioral
• Applicants respond to
questions that relate to specific
experiences
• Also referred to as
“competency-based”
Situational
• Applicants respond to
questions with hypothetical
experiences
Stress
• Measures applicant’s reaction
to stressful situation
Group
• Panel or multi-rater interview
Employee Training and
Development
Orientation / Induction
Orientation, aka induction, is the first step in the formal process of training
employees.
Employees become familiar with the organization, their department, their
coworkers and their job
Orientation programs usually span one to two days and include three types
of information:
• Organizational information
• Policies, procedures and benefits
• Work context (including job procedures)
Conducting Orientation
General
Orientation
Department
Orientation
Conducted by
HR
• Introduce employee to coworkers
• Explain how the employee’s job fits into
the organizational structure
• Reinforce how the department contributes
to the goals/values of the organization
• Explain how the employee’s role
contributes to the success of the
department
Conducted by
Line Manager
• Explain hours, benefits, vacations, etc.
• Complete necessary paperwork
• Explain organizational structure
• Begin discussion of organization’s goals
and values
• Introduce employee to line manager
Onboarding: Evolved Orientation
• A stronger employee welcome
• Affirmation that the employee made the right choice
• Affirmation that the employee fits into the organization
• Enhancing the long-term relationship building
Onboarding
Focuses on:
• Organizational culture and norms.
• Specific departments and functions.
• Support systems (e.g., mentoring, work/life balance)
Onboarding
promotes
assimilation into:
On-Boarding Process
Prior to First Day
•Extend personal
welcome
•Communicate
logistics
•Send information
via online or
company portal
•Prepare office &
equipment for
employee
First Day
•Focus on mission
and values
•Meet senior
leadership
•Orient to office and
organizational
norms
•Introduce mentor
•Discuss immediate
job requirements
First Week
•Ensure managerial
involvement
•Set performance
expectations
•Assign meaningful
work
•Communicate
resources or
networks required
for work
First 90 Days
•Provide essential
training
•Monitor
performance &
provide feedback
•Obtain feedback
from employees
through new hire
surveys or other
processes
First 6 Months
•Recognize employee
contributions
•Provide formal and
informal feedback
on performance
•Create employee
development plan
Training and Development
Training activities focus on
knowledge, skills and abilities that
enable employees to meet or
exceed current job requirements
Development activities focus on the
acquisition of the knowledge, skills,
and abilities required for employees
to perform future job requirements
based on promotional
opportunities, career advancement,
and changing strategic needs of the
organization.
ADDIE Model of Training
Assessment
Design
Development
Implementation
Evaluation
A cyclical model used to create
employee learning that aligns
with strategic goals
Assessment Phase
Purpose of
Assessment
Needs Analysis
Find
Performance
Gaps
Identify
Programs and
Target Audience
Form basis for
evaluation
Design Phase
• Course content and structure
• Course goals and objectives
• Delivery methods and implementation
The design phase, HR needs to decide on:
• Composing goals (who is the training for, what is it about, why is it being conducted)
• Objectives (intended result of instruction)
• Defining the target audience (KSAs, talents, prior knowledge, motivation, perceptions and
resources)
• Deciding how to develop the training program (in-house, off-the-shelf, customized)
• Utilizing the SMART process
Design of training includes the following tasks:
Development Phase - Delivery Methods
Classroom
training
Self-
directed
study
E-learning
On-the-job
training
Blended
learning
• Presentations & lectures
• Case studies
• Demonstrations
• Group discussions
• Simulations
• Workbooks
• Web-based materials
• Job aids
• Web-based learning
• Computer-based
learning
• MOOCS
• Virtual classrooms
• Synchronous
• Asynchronous
Demonstration and actual
performance of job tasks
used to train employees
Combination of:
• Classroom
• E-learning
• Self-paced study
• Job aids
• Coaching
• OJT
Implementation Phase - Steps
Pilot
Program
• Present in a controlled
environment
• Sample target audience
Revise
Content
• Make adjustments prior to
final delivery
Schedule
Program
• Ensure program is
challenging
• Time aligns with maximum
attention/ learning ability
Select
Trainer
• Align with methods used &
target audience
Logistics
• Location
• Equipment & environment
• Space requirements
• Seating arrangements
Announce &
Implement
• Promote & advertise
• Give preview of topics
• Analyze culture and potential
resistance
Evaluation
Phase -
Effectiveness
Indicators
Participant
reactions
Retention of new
information
Application of new
procedures
Changes in
behavior on the
job
Changes in
organizational
performance
Performance Management
Needs
Improvement
Below
Expectations
Meets
Expectations
Above
Expectations
Exceptional
Performance Management
What is Performance Management?
Performance Management means
systematically managing all the
people in an organization, for
innovation, goal focus, productivity
and satisfaction
Hence, Performance Management is
the approach to the management of
people using performance, planned
goals and objectives, measurement,
feedback and recognition to
motivate people to realize their
maximum potential
Why Performance Management?
Performance management enables organizations to increase
workforce productivity, improve employee performance and
reduce costs by providing an integrated approach to developing
and managing critical talent. This process results in:
• Improved workforce productivity increasing employee development and goal
achievement
• Improved employee performance with clearly defined goals and targeted learning
activities
• Reduced costs by improving organizational readiness and alignment
What is the performance management cycle
The performance management cycle is a model that allows management and employees to better
achieve organizational goals through a structured process of employee development.
The performance management cycle is a part of the performance management process or
strategy, it is shorter and utilizes a continuous four-step procedure of planning, monitoring,
reviewing and rewarding.
Benefits of utilizing this method include increased competitiveness, more structural flexibility, and
higher employee motivation
Performance
Management
Cycle
SMART Goals
Specific
The goal is clearly
outlined, with
detailed
information such
as what is to be
achieved, how
well it must be
done, and why it
is important.
Measurable
The goal must
have a definite
and measurable
indicator to tell if
it has been
achieved.
Achievable
While the goal
should stretch
the employee, it
should not be so
lofty as to not be
realistically
achievable at all.
Relevant
The goal is in line
with both the
employee’s job
and the overall
goals of the
organization.
Time-bound
There should be
a definite
timeline as to
when this goal
should be
completed.
Evaluation should include questions such as:
Was the original goal realistic?
Was the goal in line with the organization’s objectives?
Did the employee gain useful experience or skills?
How well did the employee complete their tasks?
Did the organization offer the proper support to achieve the goal?
In what ways could future goals be set differently to ensure success?
What aspects of this process could be streamlined or improved?
Some rewards that might be offered are:
An increase in
compensation
A one-time
bonus
Increased
vacation time
Special projects
A promotion
A positive
written review
Company-wide
acknowledgment
Management By Objectives (MBO)
A performance method where the manager and the employee
mutually identify common goals (objectives) and the skills
necessary to accomplish them during the performance period.
Objectives align with department goals and organizational
strategy
Most common and effective assessment methods of
performance management programs
Employee Ownership of Objectives
Employees need to
participate in the design
of their yearly objectives.
This process ensures
ownership and buy-in.
Employees now have full
accountability for their
performance and
deliverables. The steps:
Manager meets with employees to discuss
department goals for the year
Employees create their own objectives, tying them to
job responsibilities and department goals
Employees than meet and collaborate with their
manager to review objectives for adjustment,
agreement and final approval
Employees now have agreement on key objectives
that need to be accomplished for the year.
Employee Performance Appraisal
Frequency of Performance Appraisal
Varies by
Company
& Industry
Annual
Bi-Annual
Quarterly
Most common
Considered most effective
Uncommon in
most sectors
Why Appraise
Performance?
Assess completion of job objectives
Measure competencies
Provide backward & forward look of employee performance
Identify performance gaps and training needs
Validate reward systems
Determine development opportunities
Identify high performing employees (Succession Planning)
Performance
Review
Discussion
All performance reviews should have a face-to-face component between
employee and manager
Uninterrupted time should be reserved for discussion
Employee should be given sufficient notice of meeting
Both parties should prepare for the meeting to document performance and
defend positions
Manager should use both praise and criticism
Discuss & document both past & future performance
Development activities should be planned
An appeal system for employees should be provided
Common Errors in Assessing Performance
Halo
Effect
•Higher than deserved ratings based on general
feelings of admiration
Horn
Effect
•Lower than deserved ratings based on general
feelings of dislike
Central
Tendency
•Rating all employees as “satisfactory” to avoid
disputes
Personal
Bias
•Higher or lower ratings based on personal prejudice
Leniency
• Consistently rating all employees higher than
deserved
Strictness
• Consistently rating all employees lower than
deserved
Recency
• Overemphasizing most recent behavior (good or
bad) in the rating
Similar
to me
• Rating employees higher because they reflect
similar characteristics to the rater
Employee Engagement and
Retention
Retention
Involves strategic
actions to keep high
performers motivated,
focused and engaged.
Preserves and
develops an
organization’s
human capital and
intellectual
knowledge.
Significantly
reduces turnover
costs.
RETENTION
• The ability to keep talented
employees in the organization.
Employee Replacement Costs
Costs to replace employees can easily reach 150% of the employee's annual
compensation figure.
• The cost will be significantly higher (200% to 250% of annual compensation) for managerial and
sales positions.
To put this into perspective, let's assume the average salary of employees in a
given company is $50,000 per year.
• Taking the cost of turnover at 150% of salary, the cost of turnover is then $75,000 per employee
who leaves the company.
• For a mid-sized company of 1,000 employees who has a 10% annual rate of turnover, the annual
cost of turnover is $7.5 million!
Costs of Employee Turnover
Hiring Costs
•Advertising
•Interviewing
•Screening
•Hiring
Onboarding
Costs
•Training
•Management
time
Lost
productivity
•a new person
may take 1-2
years to
reach the
productivity
level of an
incumbent
person
Temporary
labor costs
•a temporary
worker to fill
in during
recruitment
period
Lost
engagement
•other
employees
who see high
turnover
disengage
and lose
productivity
Error Costs
•new
employees
take longer
and are often
less adept at
solving
problems
Training costs
•over 2-3
years you
likely invest
10-20% of an
employee's
salary or
more in
training, that
is now gone
Top 8 Reasons Why People Leave Jobs
No opportunity to learn new skills (on-the-job-training)
Lack of coaching and feedback from manager
Nature of work
Inability of top management to lead the company successfully in the future
Lack of recognition for a job well done
Disrespectful treatment by supervisors or managers
Lack of training and development opportunities
Non-competitive compensation and benefit plans
What Makes Employees Want to Leave?
Confidence
in Leadership
Room for
Growth
A Fair
Exchange
Environment
for Success
Authority &
Influence
Five Retention Factors Identified by the Hay Group
Employees like certainty. They need
assurance that their firm has solid
leadership and is headed in a
positive direction
Employees need to know
there are opportunities
to learn, grow and
progress
Employees need to feel
valued, especially when
needed to deliver more
with less
Employees need to work
smarter, not harder, in a
collaborative environment
Engaged employees want to
be empowered and
contribute positively to the
success of the company
Employee Engagement
• Engagement refers to the degree
to which employees are
committed to their jobs and the
organization, their willingness to
remain with the organization,
their hard work to make it
succeed, and their enthusiasm in
completing their own work and
helping their co-workers.
Engaged and Disengaged
Workers
Engaged
• employees are those who work with passion, dedication, and
absorption
Non-engaged
• employees are those putting in their time and doing their work
with little energy or passion, but not interfering with others
Actively disengaged
• employees are those who are unhappy about their work, actively
complain about their job and the company, and undermine what
their engaged colleagues are trying to achieve.
Communication Strategies for Engagement
Employee
Action
Committees
Two-Way
Communication
Training
Cross-
Generational
Strategies
Communication
Competencies
in Performance
Management
• Select trusted
peers to build trust
among employees
• Build manager
communication
competencies
through training &
development
• Utilize
communication skills
in competency
profiles
• Help managers to
bridge generation gap
with employees
Career
Development
and
Retention
Providing opportunities for people to
develop their abilities and careers to satisfy
their aspirations as well as ensure the
organization has the flow of talent it needs.
Career Development links Career Planning
with Career Management
The integration of organization needs with
the needs of the individual
Why Career Development?
In times of rapid change and obsolescence in occupation fields, employees must
remain flexible to meet organizational needs and changing technologies
Employee individual needs, interests and goals change over time
The "one-job, one-career work-life" phenomenon of a generation ago has been
replaced by expanded learning models and advancement opportunities that are
offered through multiple job experiences
Career Development
Career
Management
Career
Planning
Employee Focus
Organization Focus
Career development occurs
when the needs of the
organization and the employee
are integrated
Key Players in Career Development
Employees Managers
Organizational
Leaders
HR
Professionals
• Primary responsibility
for own career
• Need to be proactive
• Utilize organization
support
• Coaching employees
• Appraise performance
• Provide feedback
• Act as adviser
• Referral agent for
organizational resources
• Design career paths
• Enrichment and
enlargement programs
• Provide training &
development programs
• Link development
to mission & vision
• Communicate goals
• Reward managers
who participate
• Define metrics
Total Rewards
Types of Compensation
Direct
Compensat
ion
Indirect
Compensat
ion
Total
Rewards
Pay in the form of wages,
salary, bonus, and
commission
All financial rewards that
are not considered part of
direct compensation but
have value
Strategic Elements of Total Rewards
Strategic
Elements
Cost-
benefit
effective
Secure
Equitable Legal
Motivating
Adequate
Equity Issues
Internal Equity (Hierarchy)
Pay Strategies (Competition
for Labor)
External Equity (Market)
Job
Evaluation
The systematic approach of determining the
relative worth or value of each job in an
organization
The purpose of job evaluation is to
eliminate pay inequities and create a wage
structure that identifies appropriate pay
ranges for different jobs.
The relative worth of each job is established
by identifying factors that define “worth”
and by comparing the requirements of each
job with these factors.
Non-
Quantitative
Evaluation
Methods
• Simplest method of job
evaluation
• Places jobs in order, ranging
from highest to lowest in value
to the organization
Job Ranking
• Writes descriptions for each
class of jobs
• Jobs are put into grades that
best match its class description
• Process is subjective
Job
Classification
Non-quantitative methods evaluate the whole job and try to
place jobs in order of value to the organization
Quantitative
Evaluation
Methods
• Most common method of job evaluation
• Also called “Hay” Plan using 3 primary factors for evaluation to
determine job worth:
• Know-How
• Problem Solving
• Accountability
Point Factor
• A set of 4 or 5 compensable factors are identified as
determinants of job worth:
• Skill
• Responsibility
• Effort
• Working Conditions
• Supervision of Others
Factor Comparison
Incentive Pay
Pay for performance – incentives are tied specifically to
individual, group or organization performance goals or
standards
• Encourages employees to perform above expectations
• Motivates employees to perform at higher levels
• Rewards employees for exceeding targets or goals
• Provides a balance between base pay and incentive pay
• Enhances linkage of strategic alignment and performance
Incentives
Provide extra cash
compensation
based on
performance
Examples: lump-
sum awards, piece
rates, commissions
Cash
awards Merit awards used
to recognize
performance,
special
contributions,
length of service
Examples: gifts,
awards, trips, prizes
Noncash
award
programs
 Improve individual performance.
 Kept separate from base pay.
Group
Incentive
Programs
Gainsharing
• Organization shares portion of
profits (gains) realized from the
efforts of work group or team
Team Bonuses
• Work group is rewarded for
meeting or exceeding
performance standards i.e. Safety
or Quality Team
Organization-
Wide Incentive
Plans
• Allow employees to share in profits.
• Include cash and deferred profit sharing.
Profit-sharing plans
• Use predetermined criteria and
standards to measure results.
• Create a fund for incentive awards.
• Can be based on factors such as
customer satisfaction and quality.
Performance-sharing plans
Deciding What Benefits to Offer
Which benefits
provide
creative
choices?
Which benefits
do employees
prefer?
Which benefits
are cost-
effective to
purchase and
to administer?
Which benefits
enable an
employer to
compete for
employees?
Which benefits
are required by
law?
Government Mandated Benefits
Retirement or
Disability
Health
Work-Related
Accidents/Injuries
Unemployment
• Retirement
• Disability
• Death
• Survivor benefits
• Universal (single payer)
• Private or self-insured
• Unemployment insurance
• Employment insurance
• Job seekers allowance
• Redundancy funds
• Workers’ compensation
• Employers’ liability
insurance
Ethics and Employee Relations
Definition of Ethics
The basic concepts and
fundamental principles
of decent human
conduct.
Ethics includes study of
universal values such as
the essential equality of
all men and women,
human or natural
rights, obedience to the
law of land, concern for
health and safety and,
increasingly, also for the
natural environment.
What is Business Ethics?
The system of laws and
guidelines by which
business professionals and
corporations operate in a
fair, legal and moral fashion
The study of proper
business policies and
practices regarding
potentially controversial
issues, such as corporate
governance, insider trading,
bribery, discrimination,
corporate social
responsibility and fiduciary
responsibilities.
Business ethics are often
guided by law, while other
times provide a basic
framework that businesses
may choose to follow in
order to gain public
acceptance.
Business Ethics Considerations
Globalization
Fiduciary Responsibilities
Corporate Social Responsibility
Intellectual Property
Unionization
Health and Safety
Human Resource Management
Executive Pay
Political Contributions
Bribery
Tax Avoidance
Insider Trading
Corruption
Discrimination
Product Safety
Consumer Protection
Managing Employee
Behaviors
Discipline process
Processes for complaint review
Performance problems
Methods for managing employee conflicts
Handling employee terminations
Progressive
Discipline
Discipline is not punishment. Discipline refers to the
methodology used to enforce appropriate workplace
behavior.
A progressive discipline procedure consists of a series of
disciplinary steps that increase in severity from a verbal
warning to a verbal reprimand to a written reprimand to
suspension to discharge.
Such a system is called progressive because each successive
step is progressively severe. The most severe action is
termination or discharge; however, employees are not
terminated unless they fail to respond to earlier disciplinary
actions that have attempted to correct the problem
Progressive Discipline Model
Verbal
Warning
1st Written
Warning
2nd
Written
Warning
Suspension
Discharge
Performance Problems Corrective Steps
Investigate
the Issue
Conduct
Performance
Meeting
Document
Results
Take
Corrective
Action
• Gather facts
• Interview witnesses
• Review files & documents
• Maintain confidentiality
• Straightforward
presentation of facts
• Clarify issue and impact
on organization
• Give employee chance to
explain their position
• Use corrective action
plan or PIP
• Include provisions for
follow-up & monitoring
• Advise employee of
appeal process
• Outline expectations
• Specify changes needed
• Include employee’s position
• Document corrective plan
• List consequences of non-
compliance
• Establish a time frame
• Follow up on documentation
Complaint Review & Investigation
Investigation of complaints should begin as soon as received
Steps of a thorough investigation are:
• Ensure confidentiality
• Provide interim protection (if necessary)
• Select the investigator (usually HR if skills exist)
• Create a plan for the investigation (witnesses, documentation, etc.)
• Develop interview questions (open-ended)
• Conduct interviews
• Make a decision
• Close the investigation
• Develop written summary of investigation results
Employee Terminations
• For cause (legal cause) or legal reason for termination (misconduct,
theft, threat, fighting, repeated rule infractions)
• No fault (M&A, economic issues, close of business, relocation,
reorganization, financial difficulties, etc.)
Involuntary Terminations
• Resignation (employee leaves for their own reason)
• Job abandonment (employee fails to call in or report)
Voluntary Terminations
Constructive Discharge
When working conditions become so unpleasant
that a reasonable person would find them
intolerable, the employee is compelled or
“forced” to resign.
Causing an employee to quit by creating
unpleasant working conditions may violate the
law in some countries when it is used to
discriminate based on disability, age, race,
religion, sex, and other protected classifications.
Exit Interviews - Benefits
Identification of key areas creating turnover
Tracking of employee perception of the company across a wide
number of variables
Retention of key knowledge within the organization
Improving the quality hiring of new staff, drawing on the feedback
from departing employees
Creating a more positive view of the employer in the eyes of the
departing employee
The departing employee is made to feel valued for his/her
feedback and opinions
Managing Global Human
Resources
International HR Influencers
Global HR
Differences
Culture
Labor
Relations
Economic
Legal
Political
Global Integration
• Global integration strategy enables an
organization to pursue a global strategy
and meet the needs for coordination and
centralization
• HR’s goal is to apply policies, practices and
organizational culture so the strategy is
meaningful to all stakeholders
• This application requires integrating
company culture and local culture by
“Glocalization”
Global Workforces (International Assignees)
Parent country
nationals (PCNs)
• Used to
describe
persons who
move to one
country and
are employed
by an
organization
based in
another
country.
Inpatriates
• Employees
who transfer
from foreign
subsidiary to
headquarter
country for
assignment
Host country
nationals (HCNs)
• Employee’s
nationality is
the same as
the location of
the subsidiary.
Third-country
national (TCNs)
• Citizen of one
country,
working in a
second
country, and
employed by
an
organization
headquartered
in a third
country
Repatriation
• Employees
who have
returned home
from
international
assignments.
International Workforce Planning
Global staffing is the HR
function that identifies
staffing needs
throughout a global
enterprise and then
recruits, selects, and
deploys worldwide
talent resources to meet
those requirements
Global Staffing Models
Ethnocentric
Polycentric
Regiocentric
Geocentric
Leveraging Resources
Offshoring
• Transferring service or manufacturing operations to a foreign country
Outsourcing
• A contract with a third-party vendor for the supply of products, services or parts.
Co-sourcing
• The outsourcing of only one part of a function (i.e. benefit data management, payroll)
Insourcing
• Contracting a function to another entity that performs the work on-site
• Transferring a previously outsourced function back in-house
• Hiring local nationals by a foreign-based company subsidiary
Objectives of Global Compensation
Objectives of
Global
Compensation
Management
Recruit & Retain
Competent Employees
Simplify
Collective
Bargaining
Employee
mobility
Organizational
Performance
Competitive &
Comparable
Rates Cost of staff/
ability to pay
Adaptability to
Cultures
Consistency &
Equity
Complexities of Global Compensation
Complexities of
Compensation
Management
Exchange Rate
Fluctuations
Varying Cost of
Living Varying
Inflation Rate
Varying
Requirements
for Facilities
Employee
Expectations
Country
Perspectives
Varying Local
Conditions
Varying Tax
Rates
Consistency &
Equity
International Assignee Support
Supporting
Employees
on Int’l
Assignment
Managing
Culture Shock
Communication
Abroad
HR Support for
Daily Living
Repatriation
• Maximize host country activities
• Provide spousal/family support
• Help manage change
• Intranet
• Website
• Virtual meetings
• Teleconferences
• E-mail
• Housing
• Banking
• Driver’s license
• Tax requirements
• Visa & work permits
• Begin 6 months prior to return
• Provide counseling, reverse
culture training & career coaching
www.mygbs.ch 133
Thank you
Ahmad Thanin

More Related Content

What's hot

Human Resource Information System - HRIS
Human Resource Information System - HRIS Human Resource Information System - HRIS
Human Resource Information System - HRIS
antonyjosephtharayil
 

What's hot (20)

Human Resources Planning (BBA-III, Sambalpur University)
Human Resources Planning (BBA-III, Sambalpur University)Human Resources Planning (BBA-III, Sambalpur University)
Human Resources Planning (BBA-III, Sambalpur University)
 
Human resource management ppt
Human resource management ppt Human resource management ppt
Human resource management ppt
 
Strategic HRM Planning PowerPoint Presentation Slides
Strategic HRM Planning PowerPoint Presentation SlidesStrategic HRM Planning PowerPoint Presentation Slides
Strategic HRM Planning PowerPoint Presentation Slides
 
Presentation on Total Reward Management Model
Presentation on Total Reward Management ModelPresentation on Total Reward Management Model
Presentation on Total Reward Management Model
 
Techniques for Forecasting Human Resources
 Techniques  for Forecasting   Human Resources Techniques  for Forecasting   Human Resources
Techniques for Forecasting Human Resources
 
Hr With Business Strategy 1
Hr With Business Strategy 1Hr With Business Strategy 1
Hr With Business Strategy 1
 
Employee retention strategies trends and challenges
Employee retention strategies  trends and challengesEmployee retention strategies  trends and challenges
Employee retention strategies trends and challenges
 
Unit 4 employee retention
Unit 4   employee retentionUnit 4   employee retention
Unit 4 employee retention
 
Recruitment Strategy.pptx
Recruitment Strategy.pptxRecruitment Strategy.pptx
Recruitment Strategy.pptx
 
Employee retention
Employee retentionEmployee retention
Employee retention
 
Human resources (hr) management for non hr managers
Human resources (hr) management for non hr managersHuman resources (hr) management for non hr managers
Human resources (hr) management for non hr managers
 
Intro to hr audit
Intro to hr auditIntro to hr audit
Intro to hr audit
 
Employee retention (HR topic)
Employee retention (HR topic)Employee retention (HR topic)
Employee retention (HR topic)
 
Workforce Planning
Workforce PlanningWorkforce Planning
Workforce Planning
 
Human Resource Information System - HRIS
Human Resource Information System - HRIS Human Resource Information System - HRIS
Human Resource Information System - HRIS
 
HR functions
HR functionsHR functions
HR functions
 
HR Transformation
HR TransformationHR Transformation
HR Transformation
 
Define HRM? Why it is important for an organization.
Define HRM? Why it is important for an organization.Define HRM? Why it is important for an organization.
Define HRM? Why it is important for an organization.
 
Human resource management ppt
Human resource management ppt Human resource management ppt
Human resource management ppt
 
Personnel Audit: Hr audit
Personnel Audit: Hr auditPersonnel Audit: Hr audit
Personnel Audit: Hr audit
 

Similar to Introduction for Human Resource Management

HR analytics mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm
HR analytics mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmHR analytics mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm
HR analytics mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm
onalijayathilaka
 
Abc Of Hr Metrics 144
Abc Of Hr Metrics 144Abc Of Hr Metrics 144
Abc Of Hr Metrics 144
adeelbukhari
 
The New Hr &amp; Strategic Impact
The New Hr &amp; Strategic ImpactThe New Hr &amp; Strategic Impact
The New Hr &amp; Strategic Impact
Sal LoDico
 
HR Metrics - BLR Webinar - Rick Buchman - 4-7-2015
HR Metrics -  BLR Webinar - Rick Buchman - 4-7-2015HR Metrics -  BLR Webinar - Rick Buchman - 4-7-2015
HR Metrics - BLR Webinar - Rick Buchman - 4-7-2015
Frederick 'Rick' Buchman
 
Human resource planning
Human resource planningHuman resource planning
Human resource planning
Aamera Khan
 

Similar to Introduction for Human Resource Management (20)

Joanna Harrop, HR Expert Speaker at HR Summit and Expo 2017 "Efficient and co...
Joanna Harrop, HR Expert Speaker at HR Summit and Expo 2017 "Efficient and co...Joanna Harrop, HR Expert Speaker at HR Summit and Expo 2017 "Efficient and co...
Joanna Harrop, HR Expert Speaker at HR Summit and Expo 2017 "Efficient and co...
 
Driving Hr Transformation With Metrics V7
Driving Hr Transformation With Metrics V7Driving Hr Transformation With Metrics V7
Driving Hr Transformation With Metrics V7
 
Driving Hr Transformation With Metrics V7
Driving Hr Transformation With Metrics V7Driving Hr Transformation With Metrics V7
Driving Hr Transformation With Metrics V7
 
Developing a winning strategy for hr in 2021 final
Developing a winning strategy for hr in 2021 finalDeveloping a winning strategy for hr in 2021 final
Developing a winning strategy for hr in 2021 final
 
HR analytics mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm
HR analytics mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmHR analytics mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm
HR analytics mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm
 
HR Metrics
HR MetricsHR Metrics
HR Metrics
 
Human resource management introduction power point
Human resource management introduction power pointHuman resource management introduction power point
Human resource management introduction power point
 
Abc Of Hr Metrics 144
Abc Of Hr Metrics 144Abc Of Hr Metrics 144
Abc Of Hr Metrics 144
 
An introduction to workforce planning
An introduction to workforce planningAn introduction to workforce planning
An introduction to workforce planning
 
3a 8 Human Resources Audit
3a   8   Human Resources Audit3a   8   Human Resources Audit
3a 8 Human Resources Audit
 
HR Scorecard
HR Scorecard HR Scorecard
HR Scorecard
 
The New Hr &amp; Strategic Impact
The New Hr &amp; Strategic ImpactThe New Hr &amp; Strategic Impact
The New Hr &amp; Strategic Impact
 
HRAnalyticsstarting2october262021.pptx
HRAnalyticsstarting2october262021.pptxHRAnalyticsstarting2october262021.pptx
HRAnalyticsstarting2october262021.pptx
 
Human resources management metrics analytics
Human resources management metrics analyticsHuman resources management metrics analytics
Human resources management metrics analytics
 
HR Metrics - BLR Webinar - Rick Buchman - 4-7-2015
HR Metrics -  BLR Webinar - Rick Buchman - 4-7-2015HR Metrics -  BLR Webinar - Rick Buchman - 4-7-2015
HR Metrics - BLR Webinar - Rick Buchman - 4-7-2015
 
Hr metrics blr webinar - rick buchman - 4-7-2015
Hr metrics    blr webinar - rick buchman - 4-7-2015Hr metrics    blr webinar - rick buchman - 4-7-2015
Hr metrics blr webinar - rick buchman - 4-7-2015
 
Strategic HR Planning anf Talent Mgt 3
Strategic HR Planning anf Talent Mgt 3Strategic HR Planning anf Talent Mgt 3
Strategic HR Planning anf Talent Mgt 3
 
HR Analytics Design, Implementation and Measurement of HR Strategy
HR Analytics Design, Implementation and Measurement of HR StrategyHR Analytics Design, Implementation and Measurement of HR Strategy
HR Analytics Design, Implementation and Measurement of HR Strategy
 
Human resource planning
Human resource planningHuman resource planning
Human resource planning
 
humanresourceplanning-130601094900-phpapp01.pdf
humanresourceplanning-130601094900-phpapp01.pdfhumanresourceplanning-130601094900-phpapp01.pdf
humanresourceplanning-130601094900-phpapp01.pdf
 

More from Ahmad Thanin

More from Ahmad Thanin (20)

Abdominal Paracentesis - Nursing Role
Abdominal Paracentesis - Nursing RoleAbdominal Paracentesis - Nursing Role
Abdominal Paracentesis - Nursing Role
 
Methicillin-resistant Staphylococcus Aureus (MRSA)
Methicillin-resistant Staphylococcus Aureus (MRSA)Methicillin-resistant Staphylococcus Aureus (MRSA)
Methicillin-resistant Staphylococcus Aureus (MRSA)
 
Latex Allergy
Latex AllergyLatex Allergy
Latex Allergy
 
Electrical Safety in healthcare.
Electrical Safety in healthcare.Electrical Safety in healthcare.
Electrical Safety in healthcare.
 
H1N1 flu (swine flu) overview
H1N1 flu (swine flu) overviewH1N1 flu (swine flu) overview
H1N1 flu (swine flu) overview
 
Patient Safety and Quality in Home Health Care
Patient Safety and Quality in Home Health CarePatient Safety and Quality in Home Health Care
Patient Safety and Quality in Home Health Care
 
cardiovascular disease.pptx
cardiovascular disease.pptxcardiovascular disease.pptx
cardiovascular disease.pptx
 
DIABETES MELLITUS
DIABETES MELLITUSDIABETES MELLITUS
DIABETES MELLITUS
 
ABG.pptx
ABG.pptxABG.pptx
ABG.pptx
 
Safety Data Sheet ( SDS )
Safety Data Sheet ( SDS ) Safety Data Sheet ( SDS )
Safety Data Sheet ( SDS )
 
Reduce the Risk of Patient Harm Resulting from Falls.pptx
Reduce the Risk of Patient Harm Resulting from Falls.pptxReduce the Risk of Patient Harm Resulting from Falls.pptx
Reduce the Risk of Patient Harm Resulting from Falls.pptx
 
Respiratory Hygiene and Cough Etiquette.pptx
Respiratory Hygiene and Cough Etiquette.pptxRespiratory Hygiene and Cough Etiquette.pptx
Respiratory Hygiene and Cough Etiquette.pptx
 
Cleaning and Decontamination in Hospitals.pptx
Cleaning and Decontamination in Hospitals.pptxCleaning and Decontamination in Hospitals.pptx
Cleaning and Decontamination in Hospitals.pptx
 
The Safe Handling and Disposal of Sharps.pptx
The Safe Handling and Disposal of Sharps.pptxThe Safe Handling and Disposal of Sharps.pptx
The Safe Handling and Disposal of Sharps.pptx
 
Hand hygiene.pptx
Hand hygiene.pptxHand hygiene.pptx
Hand hygiene.pptx
 
Monkeypox Virus
Monkeypox Virus Monkeypox Virus
Monkeypox Virus
 
Basic Microbiology.
Basic Microbiology.Basic Microbiology.
Basic Microbiology.
 
Business Models in Strategic Management.PPTX
Business Models in Strategic Management.PPTXBusiness Models in Strategic Management.PPTX
Business Models in Strategic Management.PPTX
 
Foreign market analysis
Foreign market analysisForeign market analysis
Foreign market analysis
 
Bedsores (pressure ulcers)
Bedsores (pressure ulcers)Bedsores (pressure ulcers)
Bedsores (pressure ulcers)
 

Recently uploaded

AI+Labor Markets Presentation to CSM-16-may-2024
AI+Labor Markets Presentation to CSM-16-may-2024AI+Labor Markets Presentation to CSM-16-may-2024
AI+Labor Markets Presentation to CSM-16-may-2024
Joaquim Jorge
 

Recently uploaded (17)

CI or FS Poly Cleared Job Fair Handbook | May 22
CI or FS Poly Cleared Job Fair Handbook | May 22CI or FS Poly Cleared Job Fair Handbook | May 22
CI or FS Poly Cleared Job Fair Handbook | May 22
 
Data Security Matters: Ensure Confidentiality with Human Resources Management...
Data Security Matters: Ensure Confidentiality with Human Resources Management...Data Security Matters: Ensure Confidentiality with Human Resources Management...
Data Security Matters: Ensure Confidentiality with Human Resources Management...
 
Webinar - Fundamentals of Compensation
Webinar  -  Fundamentals of CompensationWebinar  -  Fundamentals of Compensation
Webinar - Fundamentals of Compensation
 
Paterson Framework of Job Evaluation at Workplace
Paterson Framework of Job Evaluation at WorkplacePaterson Framework of Job Evaluation at Workplace
Paterson Framework of Job Evaluation at Workplace
 
Describing major approaches to job design
Describing major approaches to job designDescribing major approaches to job design
Describing major approaches to job design
 
Your Office Showstopper OR Eyesore: Make your office a place people want to b...
Your Office Showstopper OR Eyesore: Make your office a place people want to b...Your Office Showstopper OR Eyesore: Make your office a place people want to b...
Your Office Showstopper OR Eyesore: Make your office a place people want to b...
 
6 Common Mistakes to Avoid When Creating a Performance Appraisal Dashboard in...
6 Common Mistakes to Avoid When Creating a Performance Appraisal Dashboard in...6 Common Mistakes to Avoid When Creating a Performance Appraisal Dashboard in...
6 Common Mistakes to Avoid When Creating a Performance Appraisal Dashboard in...
 
Webinar - How to Implement a Data-Driven Compensation Strategy
Webinar - How to Implement a Data-Driven Compensation StrategyWebinar - How to Implement a Data-Driven Compensation Strategy
Webinar - How to Implement a Data-Driven Compensation Strategy
 
BHOLENDRA SINGH RESUME - Sr. Software Engineer at India Today Group
BHOLENDRA SINGH RESUME - Sr. Software Engineer at India Today GroupBHOLENDRA SINGH RESUME - Sr. Software Engineer at India Today Group
BHOLENDRA SINGH RESUME - Sr. Software Engineer at India Today Group
 
Unlocking Employee Potential with the Power of Continuous Feedback
Unlocking Employee Potential with the Power of Continuous FeedbackUnlocking Employee Potential with the Power of Continuous Feedback
Unlocking Employee Potential with the Power of Continuous Feedback
 
Module 3 - Onboarding Course Outline.pptx
Module 3 - Onboarding Course Outline.pptxModule 3 - Onboarding Course Outline.pptx
Module 3 - Onboarding Course Outline.pptx
 
Truck Driver Recruiting Deck 2023 MASTER.pptx
Truck Driver Recruiting Deck  2023 MASTER.pptxTruck Driver Recruiting Deck  2023 MASTER.pptx
Truck Driver Recruiting Deck 2023 MASTER.pptx
 
Market Signals – Global Job Market Trends – April 2024 summarized!
Market Signals – Global Job Market Trends – April 2024 summarized!Market Signals – Global Job Market Trends – April 2024 summarized!
Market Signals – Global Job Market Trends – April 2024 summarized!
 
Emotional Intelligence and You - Gauri Das
Emotional Intelligence and You - Gauri DasEmotional Intelligence and You - Gauri Das
Emotional Intelligence and You - Gauri Das
 
Acing Performance Management - Harjeet Khanduja
Acing Performance Management - Harjeet KhandujaAcing Performance Management - Harjeet Khanduja
Acing Performance Management - Harjeet Khanduja
 
Employee Journey Map Metrics That Matter.pptx
Employee Journey Map Metrics That Matter.pptxEmployee Journey Map Metrics That Matter.pptx
Employee Journey Map Metrics That Matter.pptx
 
AI+Labor Markets Presentation to CSM-16-may-2024
AI+Labor Markets Presentation to CSM-16-may-2024AI+Labor Markets Presentation to CSM-16-may-2024
AI+Labor Markets Presentation to CSM-16-may-2024
 

Introduction for Human Resource Management

  • 2. Outline Module 1: Human Resource Management Module 2: HR Management Strategy and Analysis Module 3: Job Analysis and the Talent Management Process Module 4: Recruitment, Interviewing and Selection Module 5: Employee Training and Development Module 6: Performance Management Module 7: Employee Engagement and Retention Module 8: Total Rewards Module 9: Ethics and Employee Relations Module 10: Managing Global Human Resources
  • 3. Objective Explain and Define What is Human Resource Management (HRM) Explain Strategic Planning, Human Resource Planning, and Job Analysis Explain how the functions of human resource management contribute to business success Describe Performance Management and Training Explain Role of Training and Development in Performance Management Explain the Compensation Learn about Labor Relations, Employee Relations, Safety and Health
  • 5. Human Resource Management Human Resource Management has come to be recognized as an inherent part of management, which is concerned with the people side of an organization. Its objective is the maintenance of better human relations in the organization by the development, application and evaluation of policies, procedures and programs relating to human resources to optimize their contribution towards the realization of organizational objectives.
  • 6. Human Resource Management HR Management is concerned with getting better results with the collaboration of people. HR Management is a process of bringing people and organizations together so that the goals of each are met
  • 7. HR Management – Core Activities JOB ANALYSIS HR PLANNING RECRUITMENT & SELECTION EMPLOYEE DEVELOPMENT PERFORMANCE MANAGEMENT COMPENSATION & BENEFITS EMPLOYEE RELATIONS SAFETY & HEALTH
  • 8. HR Categories of Work Strategic: Work that supports one or more courses of action developed by the organization’s leaders. Examples: • Long term (2+ years) • Linked to one or more business goals • Requires multiple solutions or tactics • Benefits business units and perhaps the entire enterprise. Tactical: Solutions focused. Benefits workgroups Examples • Restructuring departments • Training programs • Recruitment initiatives • Succession Planning Transactional Administrative, benefits individuals. Examples • Updating HR records • Filling a vacant position • Locating training program for employee
  • 9. Partnering with Human Resources Since managers represent front-line supervision, they have the day-to-day responsibilities to implement HR initiatives The primary reason human resources and line managers should work together is because both parties have a vested interest in ensuring the organization achieves success Through working together, line management becomes more proficient in tactical human resources functions. This frees up time for human resources professionals to devote more time to strategic HR management
  • 10. Four Roles of HR (Ulrich) Strategic Partner Change Agent Administrative Expert Employee Champion Future/Strategic Focus Day-to-Day/Operational Focus P R O C E S S E S P E O P L E Defining & Executing Strategy Creating a renewed organization Building an effective and efficient infrastructure Increasing employee commitment & capability
  • 11. Evolving Roles of HR 11 Global and Strategic Domestic and Tactical
  • 12. Current Trends in Human Resource Globalization of Business and the Labor Market More High- Tech Jobs and Skill Needs Generational Differences in the Workplace Changing Societal Norms Increase of Contingent Workers Evolving Role of Virtual Employees Increasing Diversity and Cultural Issues
  • 13. HR as a Profit Center Human Resources can no longer afford to be considered “an overhead department” and must find ways of creating value for their organizations Link HR Practices to Bottom Line Measure HR Performance Get Close to Finance Work with a Budget
  • 14. The Nine HR Competencies Global & Cultural Effectiveness Critical Evaluation Ethical Practice Organizational Leadership & Navigation HR Technical Expertise & Practice Relationship Management Consultation Communication Business Acumen • Most critical strategic competency
  • 15. The Main Cycles in Human Resources (HR) Management HR Strategy Cycle Recruitment and Selection Cycle Training and Development Cycle Performance Management Cycle Compensation and Benefits Cycle
  • 16. HR Management Strategy and Analysis
  • 17. Strategic Human Resource Management Strategic human resource management is the proactive management of people. It requires proactive thinking, and planning ways for a company to better meet the needs of its employees, and for the employees to better meet the needs of the company. This can affect the way things are done at a business site, improving everything from hiring practices and employee training programs to assessment techniques and discipline.
  • 18. Strategy and Workforce Planning What are the organization’s strategic aims and goals? What employee behaviors and skills do we need to achieve our strategic aims? What employee behaviors and skills do we need to achieve our strategic aims?
  • 19. Strategy and Workforce Planning Management formulates a strategic plan and measurable strategic goals or aims. These plans and aims imply certain workforce requirements, in terms of the employee skills and behaviors required to achieve the firm’s strategic goals.
  • 20. Strategic Workforce Planning Supply Analysis Demand Analysis Gap Analysis • What KSA gaps do we have? • What competencies exist now? • Where are we now? • What do we have? • What KSA’s are lacking? • How do we meet supply needs? • Where we need to be? • What do we need? • How many employees are needed? • Are we growing or retrenching? • Do we have KSA’s to meet needs? Solutions • What can we afford? • How will we get what we need?
  • 21. Levels of Strategy in the Organization •Broadest strategy level •Where to compete •What to develop Corporate Level Strategy •How to compete in a specific market •Competitive advantage over rivals in chosen market Business Unit Level Strategy •Resources to support other levels •Includes people, skills, knowledge, process, etc. Functional Level Strategy
  • 22. Strategic Alignment - Identifies business - Provides guidance - Identifies competitive advantage - Provides a plan - Functional units’ strategies should align with business strategy
  • 23. Strategic HR Management Tools HR Scorecard • A process for managing employee performance and for aligning all employees with key objectives, by assigning financial and nonfinancial goals, monitoring and assessing performance, and quickly taking corrective action. Digital Dashboard • Presents the manager with desktop graphs and charts, so he or she gets a picture of where the company has been and where it s going, in terms of each activity in the strategy map. Strategy Map • Graphical tool that summarizes the chain of activities that contribute to a company’s success, and so shows employees the big picture of how their performance contributes to achieving the company s overall strategic goals.
  • 24. HR Computerized Dashboards A user interface that organizes and presents information in a way that is easy to read and interpret A dashboard arranges information in a visual fashion that allows the viewer to view and compare data. Also referred to as “HR Scorecards” Information is presented using a variety of charts and graphics such as bar charts, pie charts, line chart and area charts.
  • 25. HR DashboardH U M A N R E S O U R C E S E m p l o y e e R y an K e n n e d y D e p a r t m e n t C u s t o m e r S upport H ire Date 12/24/01 Salary $81,000 B o n u s $4,860 O v e r t i m e $0 Sick Days 4 P e r f o r m a n c e S core 2 0 2 0 4 0 6 0 8 0 1 0 0 1 2 0 2 0 00 2 0 01 2 0 02 2 0 03 2 0 04 2 0 05 2 0 06 2 0 07 2 0 08 N u m b e r o f E m p l o y e e s b y Year 0 5 1 0 1 5 2 0 > $1 0 0 ,0 0 0 $90,000 - $100,00 0 $80,000 - $90,000 $70,000 - $80,000 $60,000 - $70,000 $50,000 - $60,000 $40,000 - $50,000 $30,000 - $40,000 < $3 0 ,0 0 0 N u m b e r o f E m p l o y e e s b y S a la r y 0 5 1 0 1 5 S a les R & D M a rke t in g IT H u m a n R e s o u rces Fin a n ce C u s t o m e r S uppo r t A d m in i str at io n A cc o u n t in g H e ad co u n t $ 0 $ 5 00 ,0 0 0 $ 1 ,0 00 ,0 0 0 $ 1 ,5 00 ,0 0 0 S a les R & D M a rke t in g IT H u m a n R e s o u rces Fin a n ce C u s t o m e r S uppo r t A d m in i str at io n A cc o u n t in g Payroll B r e a k d o w n S a la ry B o n u s O v er t im e $80,000 $60,000 $40,000 $20,000 $ 0 $100,00 0 S a la r y D ist r ib u t io n $160,00 0 $140,00 0 $120,00 0
  • 26. Human Resource Metrics Absence rate (Lost workdays/Avg Employees x days of work available) Cost per hire (External Costs) + (Internal Costs) / Total Number of Hires) Health costs per employee (Total Health costs/Total Employees) Time to fill (Total days elapsed to fill jobs / Number hired) Turnover costs (Costs of separation + vacancy + replacement + training) Vacancy costs (costs of temporary workers + independent contractors + other outsourcing + overtime - wages and benefits not paid to vacant position) Benefit costs vs. total payroll (Benefit Costs/ Total Payroll) Annual training costs per employee (Total Training Costs/Employees) Annual training hours per employee (Total hours/Employees)
  • 27.
  • 28. Strategic HR Management tools Situation Analysis SWOT PEST Analysis (political, economic, social and technological) HR Visions and Missions HR Strategic Goals Critical Success Factors in HR Key Result Areas and Key Performance Indicators Core Competencies and Core Values
  • 29. Job Analysis and the Talent Management Process
  • 30. What is Talent? Talent consists of those individuals who can make a difference to organizational performance, either through their immediate contribution or, in the longer-term, by demonstrating the highest levels of potential. Individuals who have the capability to make a significant difference to the current and future performance of the company
  • 31. What is Talent Management? “the implementation of integrated strategies or systems designed to increase workplace productivity by developing improved processes for attracting, developing, retaining and utilizing people with the required skills and aptitude to meet current and future business needs” “the systematic attraction, identification, development, engagement/retention and deployment of those individuals who are of particular value to an organization”
  • 32. Talent Management Strategic Focus Areas Attracting Selecting Engaging Developing Retaining
  • 33. HR’s Role in Talent Management Develop an integrated, proactive TM strategy Balance talent attraction & retention with management accountability Know the company’s business environment and plans Know what factors contribute to difficulties in attracting and retaining employees Balance retention factors between pay and benefits Identify employee turnover patterns Market the company and brand to employees and potential candidates
  • 34. Manager’s Role in Talent Management Recognize the diversity of talent within their department Understand that employees have individual needs and expectations Realize that employees have different motivational levers Accept the fact that not all employees are looking for promotional opportunities or additional responsibility Demonstrate the ability to utilize employee talent in ways that best benefits the employee, the department and the organization Organize departments into A, B, and C players
  • 35. Job Analysis The systematic process of gathering and examining and interpreting data regarding the specific tasks comprising a job. Job analysis is the process of studying jobs to gather, analyze, synthesize and report information about job responsibilities and requirements and the conditions under which work is performed.
  • 36. Components of Job Analysis Job Content Duties & responsibilities Tasks & procedures Job Requirements Qualifications Knowledge Skills Abilities Job Context Fit in organization Degree of supervision needed Work & culture setting Physical demands /conditions
  • 37. Gathering Data for Job Analysis Job Incumbent Manager Former Job Holders Job Analyst Subject Matter Experts Professional Organizations
  • 38. Methods of Gathering Data for Job Analysis Observation Interview Questionnaires Work diary or log Employee Recordings
  • 39. Job Analysis Outputs Job Analysis Job Description • Job Title • Job Location • Job Summary • Essential Functions • Reporting Responsibilities • Working Conditions • Machines to be Used • Hazards Job Specification • Qualifications • Experience • Training • Skills • Responsibilities • Emotional Characteristics • Sensory Demands
  • 40. Job Description and Job Specification A job description is a written description of a job which includes information regarding the general nature of the work to be performed, specific responsibilities and duties, essential functions, and the employee characteristics required to perform the job A job specification is a written statement of educational qualifications, specific qualities, level of experience, physical, emotional, and technical skills required to perform a job.
  • 41. Elements of a Job Description Job Element Description Job identification Job title, department or location, date description was completed, approvals, who the person reports to. Summary Primary responsibilities, expected results, degree of autonomy (independent work) Essential functions Tasks, duties and responsibilities Nonessential functions Desirable but not essential aspects of job KSAs Minimum knowledge, skills and abilities required to perform the job satisfactorily Supervisory responsibilities Extent of authority, including a list of who reports to this position Working conditions Environment in which the job is performed, especially hazardous or difficult physical conditions
  • 42. Importance of Job Descriptions for HRM JOB ANALYSIS HR Planning Recruitment & Selection Training Performance Management Safety & Health Pay and Rewards Employee Relations Legal Compliance
  • 43. Updating Job Descriptions •Critical to successful talent management integration, ensuring accuracy of job tasks, skills, knowledge, and specifications Why? •Job descriptions should be reviewed and revised at least every two years, more frequently in some industries When? •Verification of changes or needs in current positions, recognizing that many positions will experience “job drift” over time. What? •Updates should be facilitated by HR in collaboration with line managers, however, others sources may also be utilized such as incumbent employees, former job holders, etc. Who?
  • 45. Workforce Planning A core process of human resource management that is shaped by organizational strategy and ensures the right number of people with the right skills are in the right place at the right time. Workforce planning is the systematic process for identifying and addressing the gaps between the workforce of today and the human capital needs of tomorrow. Effective workforce planning enables the organization to: • Align workforce requirements to the organization’s strategic & annual business plans • Develop a comprehensive picture of where competency gaps exist • Identify and implement gap reduction strategies • Make decisions how best to structure the organization & deploy the workforce • Address internal & external barriers affecting strategic workforce execution
  • 46. Stages of Workforce Planning • Operations plan, people strategy, organizational strategy Determine Business Strategy • Input resourcing information from HR business partners and business managers Analyze Available Data • Review labor supply data, both internal and external, review workforce capability to deliver the plan. Determine Actions & Implement • Agree on assessment and evaluation criteria, regularly review & evaluate outcomes. Agree on Objectives
  • 47. Six B’s of Workforce Planning (Ulrich) Buy • Hiring talent from outside the organization Build • Developing talent within the organization Borrow • Obtaining outside talent through consulting, outsourcing or contingent labor to access skills and ideas needed Bind • Retention of critical employees Bounce • Removing your bottom performers, eliminating unproductive roles, or re- skilling employees with “old” skill sets Balance • Developing an appropriate combination and balance of all other previous approaches
  • 50. External Recruiting Methods Community Awareness Educational Recruiting Government Agencies Media Advertising Online Social Networks Open House Outplacement Personal Networking Referrals Internet 3rd Party Recruiters Trade & Professional Organizations
  • 51. Selection Process The right fit can energize the environment and lead to a more engaged employee, manager and team The final decision should also include which candidate offers the best personality fit. The winning candidate should be the one who scores highest in the most consequential categories Selection of the most qualified candidate is based on the results of interviews, evaluations and tests
  • 52. Applicant Testing • Match between applicant & job requirements • Accurate & objective predictors of skills Employment Test • Measure applicant interest with interest patterns of successful job incumbents • Not always accurate predictors Interest Test • Measure special abilities required in specific jobs • Can be used to predict trainability Aptitude Test • Measure applicant’s IQ • Good predictors of managerial job success Intelligence Test • Measure specific aspects of personality (introversion/extroversion, emotional stability & motivation, honesty, etc. • Not always accurate predictors of job performance Personality Test
  • 53. Realistic Job Previews (RJP) A realistic job preview that informs candidates about all aspects of the job and work environment. May include the following: • Tours of the workplace • Interviews with incumbents • Job simulations • Video presentation Effective RJPs • Dispel unrealistic expectations of the job • Promotes informative exchange between candidate and the organization • Helps increase job satisfaction • Helps prevent disappointments • Reduce post-entry stress • Reduces employee turnover
  • 55. Types of Interviews Structured • Pre-determined questions, • Same for all applicants Non-Structured • Flexible, no pre-planned questions, or follow-up questions. Behavioral • Applicants respond to questions that relate to specific experiences • Also referred to as “competency-based” Situational • Applicants respond to questions with hypothetical experiences Stress • Measures applicant’s reaction to stressful situation Group • Panel or multi-rater interview
  • 57. Orientation / Induction Orientation, aka induction, is the first step in the formal process of training employees. Employees become familiar with the organization, their department, their coworkers and their job Orientation programs usually span one to two days and include three types of information: • Organizational information • Policies, procedures and benefits • Work context (including job procedures)
  • 58. Conducting Orientation General Orientation Department Orientation Conducted by HR • Introduce employee to coworkers • Explain how the employee’s job fits into the organizational structure • Reinforce how the department contributes to the goals/values of the organization • Explain how the employee’s role contributes to the success of the department Conducted by Line Manager • Explain hours, benefits, vacations, etc. • Complete necessary paperwork • Explain organizational structure • Begin discussion of organization’s goals and values • Introduce employee to line manager
  • 59. Onboarding: Evolved Orientation • A stronger employee welcome • Affirmation that the employee made the right choice • Affirmation that the employee fits into the organization • Enhancing the long-term relationship building Onboarding Focuses on: • Organizational culture and norms. • Specific departments and functions. • Support systems (e.g., mentoring, work/life balance) Onboarding promotes assimilation into:
  • 60. On-Boarding Process Prior to First Day •Extend personal welcome •Communicate logistics •Send information via online or company portal •Prepare office & equipment for employee First Day •Focus on mission and values •Meet senior leadership •Orient to office and organizational norms •Introduce mentor •Discuss immediate job requirements First Week •Ensure managerial involvement •Set performance expectations •Assign meaningful work •Communicate resources or networks required for work First 90 Days •Provide essential training •Monitor performance & provide feedback •Obtain feedback from employees through new hire surveys or other processes First 6 Months •Recognize employee contributions •Provide formal and informal feedback on performance •Create employee development plan
  • 61. Training and Development Training activities focus on knowledge, skills and abilities that enable employees to meet or exceed current job requirements Development activities focus on the acquisition of the knowledge, skills, and abilities required for employees to perform future job requirements based on promotional opportunities, career advancement, and changing strategic needs of the organization.
  • 62. ADDIE Model of Training Assessment Design Development Implementation Evaluation A cyclical model used to create employee learning that aligns with strategic goals
  • 63. Assessment Phase Purpose of Assessment Needs Analysis Find Performance Gaps Identify Programs and Target Audience Form basis for evaluation
  • 64. Design Phase • Course content and structure • Course goals and objectives • Delivery methods and implementation The design phase, HR needs to decide on: • Composing goals (who is the training for, what is it about, why is it being conducted) • Objectives (intended result of instruction) • Defining the target audience (KSAs, talents, prior knowledge, motivation, perceptions and resources) • Deciding how to develop the training program (in-house, off-the-shelf, customized) • Utilizing the SMART process Design of training includes the following tasks:
  • 65. Development Phase - Delivery Methods Classroom training Self- directed study E-learning On-the-job training Blended learning • Presentations & lectures • Case studies • Demonstrations • Group discussions • Simulations • Workbooks • Web-based materials • Job aids • Web-based learning • Computer-based learning • MOOCS • Virtual classrooms • Synchronous • Asynchronous Demonstration and actual performance of job tasks used to train employees Combination of: • Classroom • E-learning • Self-paced study • Job aids • Coaching • OJT
  • 66. Implementation Phase - Steps Pilot Program • Present in a controlled environment • Sample target audience Revise Content • Make adjustments prior to final delivery Schedule Program • Ensure program is challenging • Time aligns with maximum attention/ learning ability Select Trainer • Align with methods used & target audience Logistics • Location • Equipment & environment • Space requirements • Seating arrangements Announce & Implement • Promote & advertise • Give preview of topics • Analyze culture and potential resistance
  • 67. Evaluation Phase - Effectiveness Indicators Participant reactions Retention of new information Application of new procedures Changes in behavior on the job Changes in organizational performance
  • 70. What is Performance Management? Performance Management means systematically managing all the people in an organization, for innovation, goal focus, productivity and satisfaction Hence, Performance Management is the approach to the management of people using performance, planned goals and objectives, measurement, feedback and recognition to motivate people to realize their maximum potential
  • 71. Why Performance Management? Performance management enables organizations to increase workforce productivity, improve employee performance and reduce costs by providing an integrated approach to developing and managing critical talent. This process results in: • Improved workforce productivity increasing employee development and goal achievement • Improved employee performance with clearly defined goals and targeted learning activities • Reduced costs by improving organizational readiness and alignment
  • 72. What is the performance management cycle The performance management cycle is a model that allows management and employees to better achieve organizational goals through a structured process of employee development. The performance management cycle is a part of the performance management process or strategy, it is shorter and utilizes a continuous four-step procedure of planning, monitoring, reviewing and rewarding. Benefits of utilizing this method include increased competitiveness, more structural flexibility, and higher employee motivation
  • 74. SMART Goals Specific The goal is clearly outlined, with detailed information such as what is to be achieved, how well it must be done, and why it is important. Measurable The goal must have a definite and measurable indicator to tell if it has been achieved. Achievable While the goal should stretch the employee, it should not be so lofty as to not be realistically achievable at all. Relevant The goal is in line with both the employee’s job and the overall goals of the organization. Time-bound There should be a definite timeline as to when this goal should be completed.
  • 75. Evaluation should include questions such as: Was the original goal realistic? Was the goal in line with the organization’s objectives? Did the employee gain useful experience or skills? How well did the employee complete their tasks? Did the organization offer the proper support to achieve the goal? In what ways could future goals be set differently to ensure success? What aspects of this process could be streamlined or improved?
  • 76. Some rewards that might be offered are: An increase in compensation A one-time bonus Increased vacation time Special projects A promotion A positive written review Company-wide acknowledgment
  • 77. Management By Objectives (MBO) A performance method where the manager and the employee mutually identify common goals (objectives) and the skills necessary to accomplish them during the performance period. Objectives align with department goals and organizational strategy Most common and effective assessment methods of performance management programs
  • 78. Employee Ownership of Objectives Employees need to participate in the design of their yearly objectives. This process ensures ownership and buy-in. Employees now have full accountability for their performance and deliverables. The steps: Manager meets with employees to discuss department goals for the year Employees create their own objectives, tying them to job responsibilities and department goals Employees than meet and collaborate with their manager to review objectives for adjustment, agreement and final approval Employees now have agreement on key objectives that need to be accomplished for the year.
  • 80. Frequency of Performance Appraisal Varies by Company & Industry Annual Bi-Annual Quarterly Most common Considered most effective Uncommon in most sectors
  • 81. Why Appraise Performance? Assess completion of job objectives Measure competencies Provide backward & forward look of employee performance Identify performance gaps and training needs Validate reward systems Determine development opportunities Identify high performing employees (Succession Planning)
  • 82. Performance Review Discussion All performance reviews should have a face-to-face component between employee and manager Uninterrupted time should be reserved for discussion Employee should be given sufficient notice of meeting Both parties should prepare for the meeting to document performance and defend positions Manager should use both praise and criticism Discuss & document both past & future performance Development activities should be planned An appeal system for employees should be provided
  • 83. Common Errors in Assessing Performance Halo Effect •Higher than deserved ratings based on general feelings of admiration Horn Effect •Lower than deserved ratings based on general feelings of dislike Central Tendency •Rating all employees as “satisfactory” to avoid disputes Personal Bias •Higher or lower ratings based on personal prejudice Leniency • Consistently rating all employees higher than deserved Strictness • Consistently rating all employees lower than deserved Recency • Overemphasizing most recent behavior (good or bad) in the rating Similar to me • Rating employees higher because they reflect similar characteristics to the rater
  • 85. Retention Involves strategic actions to keep high performers motivated, focused and engaged. Preserves and develops an organization’s human capital and intellectual knowledge. Significantly reduces turnover costs.
  • 86. RETENTION • The ability to keep talented employees in the organization.
  • 87. Employee Replacement Costs Costs to replace employees can easily reach 150% of the employee's annual compensation figure. • The cost will be significantly higher (200% to 250% of annual compensation) for managerial and sales positions. To put this into perspective, let's assume the average salary of employees in a given company is $50,000 per year. • Taking the cost of turnover at 150% of salary, the cost of turnover is then $75,000 per employee who leaves the company. • For a mid-sized company of 1,000 employees who has a 10% annual rate of turnover, the annual cost of turnover is $7.5 million!
  • 88. Costs of Employee Turnover Hiring Costs •Advertising •Interviewing •Screening •Hiring Onboarding Costs •Training •Management time Lost productivity •a new person may take 1-2 years to reach the productivity level of an incumbent person Temporary labor costs •a temporary worker to fill in during recruitment period Lost engagement •other employees who see high turnover disengage and lose productivity Error Costs •new employees take longer and are often less adept at solving problems Training costs •over 2-3 years you likely invest 10-20% of an employee's salary or more in training, that is now gone
  • 89. Top 8 Reasons Why People Leave Jobs No opportunity to learn new skills (on-the-job-training) Lack of coaching and feedback from manager Nature of work Inability of top management to lead the company successfully in the future Lack of recognition for a job well done Disrespectful treatment by supervisors or managers Lack of training and development opportunities Non-competitive compensation and benefit plans
  • 90.
  • 91. What Makes Employees Want to Leave? Confidence in Leadership Room for Growth A Fair Exchange Environment for Success Authority & Influence Five Retention Factors Identified by the Hay Group Employees like certainty. They need assurance that their firm has solid leadership and is headed in a positive direction Employees need to know there are opportunities to learn, grow and progress Employees need to feel valued, especially when needed to deliver more with less Employees need to work smarter, not harder, in a collaborative environment Engaged employees want to be empowered and contribute positively to the success of the company
  • 92. Employee Engagement • Engagement refers to the degree to which employees are committed to their jobs and the organization, their willingness to remain with the organization, their hard work to make it succeed, and their enthusiasm in completing their own work and helping their co-workers.
  • 93. Engaged and Disengaged Workers Engaged • employees are those who work with passion, dedication, and absorption Non-engaged • employees are those putting in their time and doing their work with little energy or passion, but not interfering with others Actively disengaged • employees are those who are unhappy about their work, actively complain about their job and the company, and undermine what their engaged colleagues are trying to achieve.
  • 94. Communication Strategies for Engagement Employee Action Committees Two-Way Communication Training Cross- Generational Strategies Communication Competencies in Performance Management • Select trusted peers to build trust among employees • Build manager communication competencies through training & development • Utilize communication skills in competency profiles • Help managers to bridge generation gap with employees
  • 95. Career Development and Retention Providing opportunities for people to develop their abilities and careers to satisfy their aspirations as well as ensure the organization has the flow of talent it needs. Career Development links Career Planning with Career Management The integration of organization needs with the needs of the individual
  • 96. Why Career Development? In times of rapid change and obsolescence in occupation fields, employees must remain flexible to meet organizational needs and changing technologies Employee individual needs, interests and goals change over time The "one-job, one-career work-life" phenomenon of a generation ago has been replaced by expanded learning models and advancement opportunities that are offered through multiple job experiences
  • 97. Career Development Career Management Career Planning Employee Focus Organization Focus Career development occurs when the needs of the organization and the employee are integrated
  • 98. Key Players in Career Development Employees Managers Organizational Leaders HR Professionals • Primary responsibility for own career • Need to be proactive • Utilize organization support • Coaching employees • Appraise performance • Provide feedback • Act as adviser • Referral agent for organizational resources • Design career paths • Enrichment and enlargement programs • Provide training & development programs • Link development to mission & vision • Communicate goals • Reward managers who participate • Define metrics
  • 100. Types of Compensation Direct Compensat ion Indirect Compensat ion Total Rewards Pay in the form of wages, salary, bonus, and commission All financial rewards that are not considered part of direct compensation but have value
  • 101. Strategic Elements of Total Rewards Strategic Elements Cost- benefit effective Secure Equitable Legal Motivating Adequate
  • 102. Equity Issues Internal Equity (Hierarchy) Pay Strategies (Competition for Labor) External Equity (Market)
  • 103. Job Evaluation The systematic approach of determining the relative worth or value of each job in an organization The purpose of job evaluation is to eliminate pay inequities and create a wage structure that identifies appropriate pay ranges for different jobs. The relative worth of each job is established by identifying factors that define “worth” and by comparing the requirements of each job with these factors.
  • 104. Non- Quantitative Evaluation Methods • Simplest method of job evaluation • Places jobs in order, ranging from highest to lowest in value to the organization Job Ranking • Writes descriptions for each class of jobs • Jobs are put into grades that best match its class description • Process is subjective Job Classification Non-quantitative methods evaluate the whole job and try to place jobs in order of value to the organization
  • 105. Quantitative Evaluation Methods • Most common method of job evaluation • Also called “Hay” Plan using 3 primary factors for evaluation to determine job worth: • Know-How • Problem Solving • Accountability Point Factor • A set of 4 or 5 compensable factors are identified as determinants of job worth: • Skill • Responsibility • Effort • Working Conditions • Supervision of Others Factor Comparison
  • 106. Incentive Pay Pay for performance – incentives are tied specifically to individual, group or organization performance goals or standards • Encourages employees to perform above expectations • Motivates employees to perform at higher levels • Rewards employees for exceeding targets or goals • Provides a balance between base pay and incentive pay • Enhances linkage of strategic alignment and performance
  • 107. Incentives Provide extra cash compensation based on performance Examples: lump- sum awards, piece rates, commissions Cash awards Merit awards used to recognize performance, special contributions, length of service Examples: gifts, awards, trips, prizes Noncash award programs  Improve individual performance.  Kept separate from base pay.
  • 108. Group Incentive Programs Gainsharing • Organization shares portion of profits (gains) realized from the efforts of work group or team Team Bonuses • Work group is rewarded for meeting or exceeding performance standards i.e. Safety or Quality Team
  • 109. Organization- Wide Incentive Plans • Allow employees to share in profits. • Include cash and deferred profit sharing. Profit-sharing plans • Use predetermined criteria and standards to measure results. • Create a fund for incentive awards. • Can be based on factors such as customer satisfaction and quality. Performance-sharing plans
  • 110. Deciding What Benefits to Offer Which benefits provide creative choices? Which benefits do employees prefer? Which benefits are cost- effective to purchase and to administer? Which benefits enable an employer to compete for employees? Which benefits are required by law?
  • 111. Government Mandated Benefits Retirement or Disability Health Work-Related Accidents/Injuries Unemployment • Retirement • Disability • Death • Survivor benefits • Universal (single payer) • Private or self-insured • Unemployment insurance • Employment insurance • Job seekers allowance • Redundancy funds • Workers’ compensation • Employers’ liability insurance
  • 112. Ethics and Employee Relations
  • 113. Definition of Ethics The basic concepts and fundamental principles of decent human conduct. Ethics includes study of universal values such as the essential equality of all men and women, human or natural rights, obedience to the law of land, concern for health and safety and, increasingly, also for the natural environment.
  • 114. What is Business Ethics? The system of laws and guidelines by which business professionals and corporations operate in a fair, legal and moral fashion The study of proper business policies and practices regarding potentially controversial issues, such as corporate governance, insider trading, bribery, discrimination, corporate social responsibility and fiduciary responsibilities. Business ethics are often guided by law, while other times provide a basic framework that businesses may choose to follow in order to gain public acceptance.
  • 115. Business Ethics Considerations Globalization Fiduciary Responsibilities Corporate Social Responsibility Intellectual Property Unionization Health and Safety Human Resource Management Executive Pay Political Contributions Bribery Tax Avoidance Insider Trading Corruption Discrimination Product Safety Consumer Protection
  • 116. Managing Employee Behaviors Discipline process Processes for complaint review Performance problems Methods for managing employee conflicts Handling employee terminations
  • 117. Progressive Discipline Discipline is not punishment. Discipline refers to the methodology used to enforce appropriate workplace behavior. A progressive discipline procedure consists of a series of disciplinary steps that increase in severity from a verbal warning to a verbal reprimand to a written reprimand to suspension to discharge. Such a system is called progressive because each successive step is progressively severe. The most severe action is termination or discharge; however, employees are not terminated unless they fail to respond to earlier disciplinary actions that have attempted to correct the problem
  • 118. Progressive Discipline Model Verbal Warning 1st Written Warning 2nd Written Warning Suspension Discharge
  • 119. Performance Problems Corrective Steps Investigate the Issue Conduct Performance Meeting Document Results Take Corrective Action • Gather facts • Interview witnesses • Review files & documents • Maintain confidentiality • Straightforward presentation of facts • Clarify issue and impact on organization • Give employee chance to explain their position • Use corrective action plan or PIP • Include provisions for follow-up & monitoring • Advise employee of appeal process • Outline expectations • Specify changes needed • Include employee’s position • Document corrective plan • List consequences of non- compliance • Establish a time frame • Follow up on documentation
  • 120. Complaint Review & Investigation Investigation of complaints should begin as soon as received Steps of a thorough investigation are: • Ensure confidentiality • Provide interim protection (if necessary) • Select the investigator (usually HR if skills exist) • Create a plan for the investigation (witnesses, documentation, etc.) • Develop interview questions (open-ended) • Conduct interviews • Make a decision • Close the investigation • Develop written summary of investigation results
  • 121. Employee Terminations • For cause (legal cause) or legal reason for termination (misconduct, theft, threat, fighting, repeated rule infractions) • No fault (M&A, economic issues, close of business, relocation, reorganization, financial difficulties, etc.) Involuntary Terminations • Resignation (employee leaves for their own reason) • Job abandonment (employee fails to call in or report) Voluntary Terminations
  • 122. Constructive Discharge When working conditions become so unpleasant that a reasonable person would find them intolerable, the employee is compelled or “forced” to resign. Causing an employee to quit by creating unpleasant working conditions may violate the law in some countries when it is used to discriminate based on disability, age, race, religion, sex, and other protected classifications.
  • 123. Exit Interviews - Benefits Identification of key areas creating turnover Tracking of employee perception of the company across a wide number of variables Retention of key knowledge within the organization Improving the quality hiring of new staff, drawing on the feedback from departing employees Creating a more positive view of the employer in the eyes of the departing employee The departing employee is made to feel valued for his/her feedback and opinions
  • 125. International HR Influencers Global HR Differences Culture Labor Relations Economic Legal Political
  • 126. Global Integration • Global integration strategy enables an organization to pursue a global strategy and meet the needs for coordination and centralization • HR’s goal is to apply policies, practices and organizational culture so the strategy is meaningful to all stakeholders • This application requires integrating company culture and local culture by “Glocalization”
  • 127. Global Workforces (International Assignees) Parent country nationals (PCNs) • Used to describe persons who move to one country and are employed by an organization based in another country. Inpatriates • Employees who transfer from foreign subsidiary to headquarter country for assignment Host country nationals (HCNs) • Employee’s nationality is the same as the location of the subsidiary. Third-country national (TCNs) • Citizen of one country, working in a second country, and employed by an organization headquartered in a third country Repatriation • Employees who have returned home from international assignments.
  • 128. International Workforce Planning Global staffing is the HR function that identifies staffing needs throughout a global enterprise and then recruits, selects, and deploys worldwide talent resources to meet those requirements
  • 130. Leveraging Resources Offshoring • Transferring service or manufacturing operations to a foreign country Outsourcing • A contract with a third-party vendor for the supply of products, services or parts. Co-sourcing • The outsourcing of only one part of a function (i.e. benefit data management, payroll) Insourcing • Contracting a function to another entity that performs the work on-site • Transferring a previously outsourced function back in-house • Hiring local nationals by a foreign-based company subsidiary
  • 131. Objectives of Global Compensation Objectives of Global Compensation Management Recruit & Retain Competent Employees Simplify Collective Bargaining Employee mobility Organizational Performance Competitive & Comparable Rates Cost of staff/ ability to pay Adaptability to Cultures Consistency & Equity
  • 132. Complexities of Global Compensation Complexities of Compensation Management Exchange Rate Fluctuations Varying Cost of Living Varying Inflation Rate Varying Requirements for Facilities Employee Expectations Country Perspectives Varying Local Conditions Varying Tax Rates Consistency & Equity
  • 133. International Assignee Support Supporting Employees on Int’l Assignment Managing Culture Shock Communication Abroad HR Support for Daily Living Repatriation • Maximize host country activities • Provide spousal/family support • Help manage change • Intranet • Website • Virtual meetings • Teleconferences • E-mail • Housing • Banking • Driver’s license • Tax requirements • Visa & work permits • Begin 6 months prior to return • Provide counseling, reverse culture training & career coaching www.mygbs.ch 133