Principles of Management Chapter 12 (Final Exam)

Human Resources Management (HRM)
Refers to the design and application of formal systems in an organization to ensure the effective and efficient use of human talent to accomplish organizational goals.
Includes activit├ęs undertaken to attract, select, develop, and maintain an effective workforce.
Human Capital
Refers to the economic value of the combined knowledge, experience, skills, and capabilities of employees.
Some current strategic issues of particular concern to managers include the following:
-Hiring the right people to become more competitive on a global basis.
-Hiring the right people for improving quality, innovation, and customer service.
-Knowing the right people to retain after mergers, acquisitions, or downsizing
-Hiring the right people to apply new information technology for e-business
Occurs when hiring and promotion decisions are made based on criteria that are not job-relevant; for example, refusing to hire a black applicant for a job he is qualified to fill and paying a woman a lower wage than a man for the same work are discriminatory acts.
Affirmative Action
Requires that an employer take positive steps to guarantee equal employment opportunities for people within protected groups.
Sexual Harassment
A violation of Title VII of the Civil Rights Act, a behavior such as unwelcome advances requests for sexual favors, and other verbal and physical conduct of a sexual nature becomes sexual harassment when submission to the conduct is tied to continued employment or advancement or when the behavior creates an intimidating, hostile, or offensive work environment.
Employer Brand
Is a similar to a product brand except that it promotes the organization as a great place to work, rather than promoting a specific product or service.
Contingent workers
Are people who work for an organization, but not on a permanent or full-time basis, including temporary placements, independent contractors, freelancers, and part-time employees.
Means using computers and telecommunications equipment to perform work from home or another remote location.
Social Contract
Based on the notion of employability and personal responsibility rather than lifelong employment by an organization
Matching Model
Is a human resources approach in which the organization and the individual attempt to match each other’s needs interests, and values.
Human Resource Planning
Is the forecasting of HR needs and the projected matching of individuals with expected vacancies.
Activities or practices that define the characteristics of applicants to whom selection procedures are ultimately applied.
Job Analysis
A systematic process of gathering and interpreting information about the essential duties, tasks, and responsibilities of a job, as well as about the context within which the job is performed.
Job Description
A concise summary of the specific tasks and responsibilities of that job.
Job specification
Outlines the knowledge, skills, education, physical abilities, and other characteristics needed to perform a specific job adequately.
Realistic Job Previews
Managers use this in recruiting to give applicants all pertinent and realistic information, both positive and negative, about a job and the organization.
Is an arrangement whereby an intern usually a high school or college student, exchanges free or low-cost labor for the opportunity to explore whether a particular career is appealing or to gain valuable work experience in a particular field.
Is the process of assessing the skills, abilities, and other attributes of applicants in an attempt to determine the fit between the job and each applicant’s characteristics.
Application Form
Is used to collect information about the applicant’s education, previous job experience, and other background characteristics.
Structured Interviews
Use a set of standardized questions that are asked of every applicant so comparisons can easily be made.
Biographical Interviews
Ask about the person’s previous life and work experiences.
Behavioral Interviews
Which ask people to describe how they have performed a certain task or handled a particular problem.
Situational Interviews
Which require people to describe how they might handle a hypothetical situation.
Non-directive Interview
The interviewer asks broad, open-ended questions and permits the applicant to talk freely, with minimal interruption.
Panel Interviews
The candidate meets with several interviewers who take turns asking questions.
Employment Tests
Include cognitive ability test, physical ability tests, personality inventories, and other assessments.
Cognitive Ability Tests
Measure an applicant’s thinking, reasoning, verbal, and mathematical abilities.
Physical Ability Tests
Measure qualities such as strength, energy and endurance may be used for jobs such as delivery drivers who must lift heavy packages, electric line workers who must climb ladders and carry equipment, and other positions that involve physical tasks.
Personality Tests
Assess such characteristics as openness to learning, agreeableness, conscientiousness, creativity, and emotional stability.
Assessment Centers
Present a series of managerial situations to groups of applicants over a two- or three-day period.
Requires the applicant to play the role of a manager who must decide how to respond to ten memos in his or her in-basket within a two hour period.
Work Sample Tests
Require an applicant to complete simulated tasks that are part of the desired job.
Extreme Interviewing
Used to test job candidates’ ability to handle problems, cope with change, and work well with others.
Training and Development Programs
Represent a planned effort by an organization to facilitate employees’ learning of job-related skills and behaviors.
Sometimes distinguished from the general term training.
On-The-Job Training (OTJ)
An experienced employee is asked to take a new employee “under his or her wing” and show the newcomer how to perform job duties.
Social Learning
Basically means learning informally from others by using social media tools, including mobile technologies, social networking, wikis and blogs, virtual games, and so forth.
Corporate University
Is an in-house training and education facility that offers broad-based learning opportunities for employees-and frequently for customers, suppliers, and strategic partners as well-throughout their careers.
Performance Appraisal
Refers to observing and assessing employee performance, recording the assessment, and providing feedback to the employee.
360-Degree Feedback
A process that uses multiple raters, including self-rating, as a way to increases awareness of strengths and weaknesses and guide employee development.
Is a performance evaluation error that occurs when a manager places an employee into a class or category based on one or a few traits or characteristics.
Halo Effect
Occurs when a manager gives an employee the same rating on all dimensions of the job, even though performance may be good on some dimensions and poor on others.
Behaviorally Anchored Rating Scale (BARS)
Which is a performance evaluation technique that relates an employee’s performance to specific job related incidents.
Performance Review Ranking Systems
Are increasingly being criticized because they tend to pit employees against one another rather than promoting cooperation and teamwork.
Refers to all monetary payments and all non monetary goods or benefits used to reward employees.
Job-Based Pay
Which means linking compensation to the specific tasks an employe performs.
Skill-Based Pay Systems
Are increasingly popular in both large and small companies, Employees with higher skill levels receive higher pay than those with lower skill levels.
Competency-Based Pay
Skill based pay systems encourage people to develop their skills and competencies, thus making them more valuable to the organization, as well as more employable if they leave their current jobs.
Job Evaluation
Refers to the process of determining the value or worth of jobs within an organization through an examination of job content.
Wage and Salary Surveys
Show what other organizations pay incumbents in jobs that match a sample of key jobs selected by the organization.
Pay-for-Performance (Incentive Pay)
Means tying at least part of compensation to employee effort and performance, whether it be through merit-based pay, bonuses, team incentives, or various gain-sharing or profit-sharing plans.
Rightsizing (Downsizing)
Refers to reducing the company’s workforce intentionally to the point were the number of employees is deemed to be right for the company’s current situation.
Exit Interview
An interview conducted with departing employees to determine why they are leaving the company.