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CHAPTER
OBJECTIVESOBJECTIVES
EMPLOYEE AND ORGANIZATIONAL DEVELOPMENT
Define organizational development and discuss the two important components of an organizational development program.
Explain the components of a career development program. Describe the value of performance reviews and training and
development to businesses and employees. Describe the variety of career opportunities in business,
including international business careers. Outline the steps in preparing a career plan.
25252525
Employment Environment
Companies forced to downsize by cutting no. of E’ees or reduce product offerings E’ees who lost job - unable to find another
satisfying job; uncertain of job security Accept lower-level jobs Fewer benefits
Some companies restructure their operations or use resources more efficiently
New Employment Environment
21st century focus is on developing a whole new generation of businesses
Internet has caused businesses to look quite different - non-traditional Few E’ees; E’ees may not even work in same
bldg. or same city Owners have more exp. with technology than
organizing and managing a business
Today much of the pressure to maintain a strong org. falls on the HR Dept.
HR Dept
Two major responsibilities Organizational development
Careful planned changes in the structure and operation of business to adjust to competitive business environment
Career Development Program that matches the career plans of E’ees
w/ the employment needs of the business
Organizational Development
Co.’s paying a great deal of attention to the way in which they structure an org., how work flows through the business, how E’ees work together and with the mgr.
E’ees play a major role in product quality, customer satisfaction, equipment maintenance, and efficient use of materials
Two important elements of an effective organizational development are…
1)Making improvements in work processes Improving the way work is accomplished in a
business Goals is to eliminate errors, improve quality
and reduce costs
2)Build effective working relationships Studies show E’ees who believe they are an
important part of the org. will be committed to its success and will work to achieve the co.’s goals
Improving Work Processes
Most of the emphasis is directed inside the company
Improving work may include new technologies, rearranging work space, changing relationships between dept.s and work groups, modifying procedures
Not easy for company to make these changes
Identifying the need for change Inability to change = failure External changes that are most likely to
result in problems for an org. Workforce demographics, nature of competition,
customer expectations and technology
Internal changes - similar Makeup of workforce, E’ee expectations,
outdated work processes and technology, ineffective organizational structure and poor management practices
Organizational development programs must ID and resolve underlying operational problems in order to fix the orig. problem
Planning an organizational development program Affirm the mission and goals of the org. ID the important markets that will be the
primary focus Determine the org. changes required to
achieve the co.’s mission, goals, customer service standards, and prepare a plan for implementing the changes Take months or even year to see results
Build commitment w/i the org. for the changes E’ees need to be fully informed of
The change The reason for change Likely results if the changes are made How they will be affected by the change How the org. and E’ee will benefit if the change is
successful
Follow through on the org. development plans Make the process part of the org.’s culture
Improving the work environment $$$ earned is NOT always the most
important thing Concerned about work schedule, working
conditions, vacations, insurance, pensions Want a job that is interesting and challenging Recognition for their work Mgrs. must recognize these needs
Satisfied E’ees are more productive and more likely to want to stay with the company and contribute to its success
Improving the work environment Job design - refers to the kinds of tasks that
make up a job and the way workers perform these tasks in doing the jobs
Job enlargement - making a job more interesting by adding variety to the tasks; E’ees should be involved in making decision to change the job and redesign the job
Cross training - E’ees are trained to perform more than one job; rotated to other jobs; E’ee more valuable to the Co. since they can perform a broader set of work tasks
Job enrichment - giving E’ees the authority to make meaningful decisions about their work; mgrs. May ask for advice on how to improve performance
Career Development Requirements for a career development
program Long-term plans
Determine what jobs will be available in the future, how many people will be needed in each job, knowledge/skills those E’ees will require
Career paths Co. should ID a variety of career paths
Mgm’t and non-mgm’t - pg 670
Entry-level to advance positions
Performance review E’ees need to know how well they are
performing in order to determine what skills they need to improve to meet current job requirements
Regularly review the info Determine what training is needed to either
improve or advance
Career counseling - ??? Part of E’ee performance review Career centers - facilities where HR E’ees
manage career development activities
Training and development Train E’ees in skills needed for
changing job requirements and new jobs
Develop training programs and other educational opportunities
Implementing a career development program Doesn’t just happen Assigned to HR Dept. - responsible for
organizing and managing the program Everyone in business must be educated
about the program Available to all
Special career development programs Not available to all Specialized according to position
Improving E’ee Performance
Performance review procedures Assess how well E’ees are doing their jobs Reviews provide career planning and training
programs, increases in wages/salaries Review should focus on duties and expectations Should be easy and objective One or twice a year E’ee should complete self-eval Discuss performance and not E’ee Discuss strengths as well as areas of improvement Ways the E’ee can develop needed skills to improve
Planning training and development $50-60 billion each year on formal training $200 billion on informal Can be justified if the result is E’ees who are
able to perform more and produce higher quality work
Companies need to recognize the value of training
Get new equipment - need training New operations - need training New E’ee - need training
Career Opportunities in Business
Not limited to one career path, one type of business, or one geographic area
Career paths in business are usually very flexible
Career Opportunities in Business
Levels of employment Entry - routine activities, little training,
education or previous experience Career - more complex duties; authority to
control some of the work and make decisions Specialist - extensive knowledge of the
operations of a specific co. or industry; variety of skills in one or more business functions
Management - effective decision-makers; leadership; make decisions about operations and personnel
Executive - performs all mgm’t tasks associated with owning a business; responsible for success of business
Careers in international business Offers add’l job choices; new skills, travel,
interact with a wide variety of people from other cultures
Preparing for a business career Require a great deal of knowledge and
skill in a number of areas Need to match personal qualities,
education and experience with a career path
Developing a career plan Study business careers in depth and find a
job that most interests you Complete a self-assessment of knowledge,
skills, and attitudes ID the education and experience
requirements for the business career that interests you
Discuss education and experience you will need with people who are familiar with business careers
Choose a business career and develop a career plan to achieve the degree
Preparing a career portfolio Organized collection of info. and materials
developed to represent yourself, your preparation, your accomplishments
Should provide clear descriptions of your preparation, skills, and experience
Examples of projects Prepare so that you can add and remove
items easily--no glue Should obviously include your best work and
most recent
Review Qs 2, 4, 5, 7, 10, 13,
Discussion Qs 1
Study Guide You are the HR manager for a school district
and you’ve been asked by the principal to draft an orientation session for new students. Outline the info. that should be included in the orientation session. Also develop a list of potential questions for a follow-up interview that will be given 4 to 6 weeks after the orientation.