5–1

Supervision in Organizations

Chapter 5

Acquiring the Right People

5–2

Learning OutcomesAfter reading this chapter, I will be able to:1. Describe the human resource management

process.

2. Discuss the influence of government regulations on human resource decisions.

3. Contrast recruitment and downsizing options.

4. Explain the importance of validity and reliability in selection.

5. Describe the selection devices that work best with various kinds of jobs.

6. Identify various training methods.

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Human Resources Management (HRM)

• The management function that is concerned with getting, training, motivating, and keeping competent employees.

Balancing the supply of employees with the demand for employees.

Matching the talents and skills of employees with those required by the organization.

Creating a working environment that fosters high employee performance.

Meeting the pay and benefits needs of employees.

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The Strategic Human Resources Management Process

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The Legal Environment Of HRM

• The impact of federal, state and local laws on HRM practicesAffirmative action programs

Programs that ensure that decisions and practices enhance the employment, upgrading, and retention of members of protected groups

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Major U.S. Federal Laws and Regulations Related

to HRMYEAR LAW OR REGULATION

1963 Equal Pay Act

1964 Civil Rights Act, Title VII (amended in 1972)

1967 Age Discrimination in Employment Act (amended in 1978)

1973 Vocational Rehabilitation Act

1974 Privacy Act

1978 Pregnancy Discrimination Act, Title VII

1978 Mandatory Retirement Act

1986 Immigration Reform and Control Act

1988 Polygraph Protection Act

1988 Worker Adjustment and Retraining Notification Act

1990 Americans with Disabilities Act

1991 Civil Rights Act

1993 Family and Medical Leave Act

2002 Sarbanes-Oxley Act

5–7

Employment Planning

• Employment planning The process by which management ensures

it has the right number and kinds of people in the right places at the right time, who are capable of helping the organization achieve its goals

• Steps in the planning process:1. Assessing current human resources.2. Assessing future human resources needs

and developing a program to meet those needs.

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How Does a Supervisor Conduct an Employee Assessment

• Human resource inventory reportA report listing the name, education, training,

prior employer, languages spoken, and other information about each employee in the organization

• Job analysisAn assessment of the kinds of skills,

knowledge, and abilities needed to successfully perform each job in an organization

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Job Analysis Components

• Job descriptionA written statement of what a job holder does,

how it is done, and why it is done Tasks, duties and responsibilities that the job entails

• Job specificationA statement of the minimum acceptable

qualifications that an incumbent must possess to perform a given job successfully Knowledge, skills, and abilities required of the job

holder

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Recruitment And Selection

• RecruitmentThe process of locating, identifying, and

attracting capable applicants

• Selection processThe process of screening job applicants to

ensure that the most appropriate candidates are hired

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Recruiting Sources for Organizations

• Internal searches

• Advertisements (Newspaper ads are near extinction)

• Employee referrals (most effective)

• Public employment agencies

• Private employment agencies

• School placement (excellent source for entry-level positions)

• Temporary help services

• Employee leasing and independent contractors

• Internet (4 out of 5 companies)

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Downsizing Options

• Firing• Layoffs• Attrition• Transfers• Reduced workweeks• Early retirements• Job sharing

5–13

How Does A Supervisor Handle Layoffs?

• Dealing with the “Downsizing Survivors”

Provide opportunities for employees to talk to counselors about their guilt, anger, and anxiety.

Provide group discussions for the survivors to vent their feelings.

Implement employee participation programs such as empowerment and self-managed work teams.

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How Does A Supervisor Handle Layoffs?

• For the downsized employee:

Offering a variety of job-help services

Psychological counseling

Support groups

Severance pay

Extended health insurance benefits

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Selection Terms

• ReliabilityThe degree to which a selection device

measures the same thing consistently (stability) Example: an individual consistently achieves nearly

identical scores on the same exam.

• ValidityThe proven relationship between a selection

device and some relevant criterion (a measure of job success) Example: superior job performance and high

employment test scores

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Selection Devices

• Written tests

Intelligence, aptitude, ability, and interest test batteries

• Performance-simulation tests

Selection devices that are based on actual job behaviors; work sampling and assessment centers

• Interviews

Effective if conducted correctly

• Realistic job preview (RJP)

Providing positive and negative information about the job and the company during the job interview

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Interviews

• The interview method of selection is most valid at determining:Professionalism IntelligenceLevel of motivation Interpersonal skills

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Potential Biases in Interviews

• Prior knowledge about the applicant will bias the interviewer’s evaluation.

• The interviewer tends to hold a stereotype of what represents a good applicant.

• The interviewer tends to favor applicants who share his or her own attitudes.

• The order in which applicants are interviewed will influence evaluations.

• The order in which information is elicited during the interview will influence evaluations.

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Potential Biases in Interviews (cont’d)

• Negative information is given unduly high weight.

• The interviewer may make a decision concerning the applicant’s suitability within the first four or five minutes of the interview.

• The interviewer may forget much of the interview’s content within minutes after its conclusion.

• The interview is most valid in determining an applicant’s intelligence, level of motivation, and interpersonal skills.

• Structured and well-organized interviews are more reliable than unstructured and unorganized ones.

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Making Interviews More Effective

• Behavioral (Situation) InterviewAn interview in which candidates are observed

not only for what they say, but how behave to determine how they might behave under stress. Candidates are presented a complex situation and

asked to “deal with” it.

Research indicates that behavioral interviews are nearly eight times more effective than other interview formats.

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Introducing Employee to the Organization

• Employee OrientationThe introduction of a new employee to the job

and the organization

• Objectives of orientationTo reduce the initial anxiety all new employees

feel as they begin a new job

To familiarize new employees with the job, the work unit, and the organization as a whole

To facilitate the outsider–insider transition

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Training

• Employee trainingA learning experience in that it seeks a

relatively permanent change in employees such that their ability to perform on the job improves.

Changing skills, knowledge, attitudes, or behavior

Changing what employees know, how they work; or their attitudes toward their jobs, co-workers, managers, and the organization

Fact: U.S. business firms spend over $30 billion a year on formal training

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Determining if Training Is Needed

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Typical Training Methods

• On-the-Job Training Methods

Job rotation

Understudy assignments

• Off-the-Job Training Methods

Classroom lectures

Films and videos

Simulation exercises

Vestibule trainingExhibit 6.7

5–25

Compensation And Benefits

• Compensation administrationDetermining a cost-effective pay structure that

will attract and retain competent employees, provide an incentive for them to work hard, and ensure that pay levels will be perceived as fair.

• Factors influencing pay levelsEmployee’s jobKind of businessEnvironment surrounding the jobGeographic locationEmployee performance levels and seniority.

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Benefits

• Employee benefitsNonfinancial rewards designed to enrich

employees’ lives

• Types of benefitsSocial SecurityWorkers’ and unemployment compensationsPaid time off from workLife and disability insuranceRetirement programshealth insurance