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Introduction to Management LECTURE 22: Introduction to Management MGT 101 1 Introduction to Management In lecture 21 we discussed Topics from Chapter 10: • Importance of HRM • HRM Process • Managing Human Resource • Selection 2 Introduction to Management Today in Chapter 10 we will discuss • • • • Selection Employee needed knowledge & skills Employee performance management Contemporary issues in HRM 3 Introduction to Management (Chapter 10) Chapter 10: Managing Human Resource 4 Introduction to Management (Chapter 10) Selection 5 Introduction to Management (Chapter 10) Application Forms Strengths and weaknesses: Almost universally used Relevant biographical data and facts that can be verified Can predict job performance Weighted-item applications are difficult and expensive to create and maintain 6 Introduction to Management (Chapter 10) Written Tests Types of Tests Intelligence : how smart are you? Aptitude : can you learn to do it? Attitude : how do you feel about it? Ability : can you do it now? Interest : do you want to do it? 7 Introduction to Management (Chapter 10) Legal Challenges to Tests Lack of job-relatedness of test items or interview questions to job requirements Discrimination in equal employment opportunity against members of protected classes 8 Introduction to Management (Chapter 10) Performance Simulation Tests Testing an applicant’s ability to perform actual job behaviors, use required skills, and demonstrate specific knowledge of the job. 9 Introduction to Management (Chapter 10) Performance Simulation Tests Work sampling Requiring applicants to actually perform a task or set of tasks that are central to successful job performance. Assessment centers Dedicated facilities in which job candidates undergo a series of performance simulation tests to evaluate their managerial potential. 10 Introduction to Management (Chapter 10) Other Selection Approaches Interviews Although used almost universally, managers need to approach interviews carefully. Background Investigations Verification of application data Reference checks: Lack validity because self-selection of references ensures only positive outcomes. 11 Introduction to Management (Chapter 10) Other Selection Approaches Physical Examinations Useful for physical requirements and for insurance purposes related to preexisting conditions. 12 Introduction to Management (Chapter 10) Other Selection Approaches Realistic Job Preview (RJP) The process of relating to an applicant both the positive and the negative aspects of the job. Encourages mismatched applicants to withdraw. Aligns successful applicants’ expectations with actual job conditions, reducing turnover. 13 Introduction to Management (Chapter 10) Employee Needed Skills & Knowledge 14 Introduction to Management (Chapter 10) Orientation Education that introduces a new employee to his or her job and the organization. Work unit orientation Organization orientation Employee Training 15 Introduction to Management (Chapter 10) Types of Training Type Includes General Communication skills, computer systems application and programming, customer service, executive development, management skills and development, personal growth, sales, supervisory skills, and technological skills and knowledge Specific Basic life/work skills, creativity, customer education, diversity/cultural awareness, remedial writing, managing change, leadership, product knowledge, public speaking/presentation skills, safety, ethics, sexual harassment, team building, wellness, and others 16 Introduction to Management (Chapter 10) Training Methods • Traditional Training Methods  On-the-job  Job rotation • Technology-Based Training Methods  CD-ROM/DVD/videotapes/ audiotapes  Experiential exercises  Videoconferencing/ teleconferencing/ satellite TV  Workbooks/manuals  E-learning  Mentoring and coaching  Classroom lectures 17 Introduction to Management (Chapter 10) Employee Performance Management 18 Introduction to Management (Chapter 10) Performance Management System A process of establishing performance standards and appraising employee performance. 19 Introduction to Management (Chapter 10) Performance Appraisal Methods Method Advantage Disadvantage Written essays Simple to use More a measure of evaluator’s writing ability than of employee’s actual performance Critical incidents Rich examples; behaviorally based Time-consuming; lack quantification Graphic rating scales Provide quantitative data; less time-consuming than others Do not provide depth of job behavior assessed BARS Focus on specific and measurable job behaviors Time-consuming; difficult to develop Multiperson comparisons Compares employees with one another Unwieldy with large number of employees; legal concerns MBO Focuses on end goals; results oriented Time-consuming 360-degree appraisals Thorough Time-consuming 20 Introduction to Management (Chapter 10) Compensation & Benefits Benefits of a Fair, Effective, and Appropriate Compensation System Helps attract and retain high-performance employees Impacts the strategic performance of the firm 21 Introduction to Management (Chapter 10) Compensation & Benefits Types of Compensation Base wage or salary Wage and salary add-ons Incentive payments Skill-based pay Variable pay 22 Introduction to Management (Chapter 10) Factors That Influence Compensation and Benefits 23 Introduction to Management (Chapter 10) Contemporary Issues in Managing Human Resource 24 Introduction to Management (Chapter 10) Managing Downsizing The planned elimination of jobs in an organization Provide open and honest communication. Provide assistance to employees being downsized. Reassure and counseling to surviving employees. 25 Introduction to Management (Chapter 10) Managing Workforce Diversity Widen the recruitment net for diversity Ensure selection without discrimination Provide orientation and training that is effective 26 Introduction to Management (Chapter 10) Work-Life Balance Employees have personal lives that they don’t leave behind when they come to work. 27 Introduction to Management (Chapter 10) Work-Life Balance Organizations have become more attuned to their employees by offering family-friendly benefits: On-site child care Summer day camps Flextime Job sharing Leave for personal matters Flexible job hours 28