Human Resource Management Fourteenth Edition Global ...

[Pages:20]Human Resource Management Fourteenth Edition Global Edition GARY DESSLER Florida International University

PEARSON Boston Columbus Indianapolis New York San Francisco Upper Saddle River Amsterdam Cape Town Dubai London Madrid Milan Munich Paris Montreal Toronto Delhi Mexico City S?o Paulo Sydney Hong Kong Seoul Singapore Taipei Tokyo

CONTEN TS

Preface 28

PART ONE INTRODUCTION 34

1 Introduction to Human Resource Management 34

WHAT IS HUMAN RESOURCE MANAGEMENT, AND WHY IS IT IMPORTANT? 36 What Is Human Resource Management? 36 Why Is Human Resource Management Important to All Managers? 36 Line and Staff Aspects of Human Resource Management 38 Line Managers' Human Resource Duties 38 Human Resource Manager'; Duties 39 Organizing the Human Resource Departments Responsibilities 39 Cooperative Line and Staff HR Management: An Example 41

THE TRENDS SHARING HUMAN RESOURCE MANAGEMENT 41 Tecbnological Advances 42 Improving Performance Through HRIS: The HR Portal 42 Globalization and Competition Trends 42 Indebtedness ("Leverage") and Deregulation 42 Trends in the Nature of Work 43

? IMPROVING PERFORMANCE: HR AS A PROFIT CENTER: Improving a Bank s Customer Service 44

Demographic and Workforce Trends 44 Economic Challenges and Trends 45 THE NEW HUMAN RESOURCE MANAGER 46 They Focus More on Strategie, Big-Picture Issues 46 They Focus on Improving Performance 46 They Measure HR Performance and Results 47 They Use Evidence-Based Human Resource Management 47 They Add Value 48 They Use New Ways to Provide HR Services 48 They Take a Talent Management Approach to Managing Human Resources 48 They Manage Employee Engagement 48 They Manage Ethics 48 They Understand Their Human Resource Philosophy 49 They Have New Competencies 49 THE HUMAN RESOURCE MANAGER S COMPETENCIES 49 HRCI Certification 50 The HRCI Knowledge Base 50 THE PLAN OF THIS BOOK 51 The Basic Themes and Features 51 CHAPTER CONTENTS OVERVIEW 51 Part 1: Introduction 51 Part 2: Recruitment, Placement, and Talent Management 51 Part 3: Training and Development 52 Part 4: Compensation 52 Part 5: Enrichment Topics in Human Resource Management 52 The Topics Are Interrelated 52 CHAPTER SECTION SUMMARIES 52 DISCUSSION QUESTIONS 53 INDIVIDUAL AND GROUP ACTIVITIES 53

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10 CONTENTS

EXPERIENTIAL EXERCISE 54 VIDEO CASE: VIDEO TITLE: HUMAN RESOURCE MANAGEMENT (PATAGONIA) 54 APPLICATION CASE: JACK NELSON S PROBLEM 55 CONTINUING CASE: CARTER CLEANING COMPANY 55 KEY TERMS 56 ENDNOTES 56

2 Equal Opportunity and the Law 58

EQUAL OPPORTUNITY LAWS ENACTED FROM 1964 TO 1991 60 Title VII of the 1964 Civil Rights Act 60 Executive Orders 60 Equal Pay Act of 1963 60 Age Discrimination in Employment Act of 1967 61 Vocational Rehabilitation Act of 1973 61 Pregnancy Discrimination Act of 1978 61 Federal Agency Guidelines 61 Early Court Decisions Regarding Equal Employment Opportunity 61

THE LAWS ENACTED FROM 1991 TO THE PRESENT 62 The Civil Rights Act of 1991 62 The Americans with Disabilities Act 63 Uniformed Services Employment and Reemployment Rights Act 65 Genetic Information Nondiscrimination Act of 2008 (GlNA) 65 State and Local Equal Employment Opportunity Laws 65

? IMPROVING PERFORMANCE: HR PRACTICES AROUND THE GLOBE 65

In Summary: Religious and Other Types of Discrimination 65 Sexual Harassment 66 Social Media and HR 69 OEFENSES AGAINST DISCRIMINATION ALLEGATIONS 69 The Central Role of Adverse Impact 69 Bona Fide Occupational Qualification 72 Business Necessity 72

? KNOW YOUR EMPLOYMENT LAW: Examples of What You Can and Cannot Do 73

THE EEOC ENFORCEMENT PROCESS 75 Voluntary Mediation 77 Mandatory Arbitration of Discrimination Claims 77

DIVERSITY MANAGEMENT 78 Potential Threats to Diversity 78 Some Diversity Benefits 79 Diversity Counts 79 Managing Diversity 79 Implementing the Affirmative Action Program 80 Reverse Discrimination 81

? IMPROVING PERFORMANCE: HR TOOLS FOR LINE MANAGERS AND ENTREPRENEURS 82

CHARTER SECTION SUMMARIES 83 DISCUSSION QUESTIONS 84 INDIVIDUAL AND GROUP ACTIVITIES 84 EXPERIENTIAL EXERCISE 84 VIDEO CASE: VIDEO TITLE: EQUAL EMPLOYMENT (UPS) 85 APPLICATION CASE: THE EMIRATIZATION OF HRM PRACTICES AT A PETROLEUM COMPANY 85 CONTINUING CASE: CARTER CLEANING COMPANY 86 KEY TERMS 87 ENDNOTES 87

3 Human Resource Management Strategy and Analysis 92

THE STRATEGIC MANAGEMENT PROCESS 94 The Management Flanning Process 94 Strategie Flanning 95

CONTENTS 11

Improving Performance Through HRIS: Using Computerized Business Flanning Software 98 TYPES OF STRATEGIES 98 Corporate Strategy 98 Competitive Strategy 99 Functional Strategy 99 Managers' Roles in Strategie Flanning 99 STRATEGIC HUMAN RESOURCE MANAGEMENT 100 What Is Strategie Human Resource Management? 100

? IMPROVING PERFORMANCE: HR PRACTICES AROUND THE GLOBE 100

Human Resource Strategies in Action 101 Diversity Counts: Longo Builds Its Strategy on Diversity 102 Translating Strategy into Human Resource Policies and Practices: An Example 102 Strategie Human Resource Management Tools 103 HR METRICS AND BENCHMARKING 105 Types of Metrics 105 Improving Performance Through HRIS: Tracking Applicant Metrics for Improved Talent Management 105 Benchmarking and Needs Analysis 105 Strategy and Strategy-Based Metrics 106 Improving Performance Through HRIS: Workforce/Talent Analytics 107 What Are HR Audits? 108 Evidence-Based HR and the Scientific Way of D?ing Things 108

? IMPROVING PERFORMANCE: HR TOOLS FOR LINE MANAGERS AND ENTREPRENEURS 109

HIGH-PERFORMANCE WORK SYSTEMS 109 High-Performance Human Resource Policies and Practices 110

CHARTER SECTION SUMMARIES 111 DISCUSSION QUESTIONS 112 INDIVIDUAL AND GROUP ACTIVITIES 112 EXPERIENTIAL EXERCISE 112 VIDEO CASE: VIDEO TITLE: STRATEGIC MANAGEMENT (JOIE DE VIVRE HOSPITALITY) 113 APPLICATION CASE: SIEMENS BUILDS A STRATEGY ORIENTED HR SYSTEM 113 CONTINUING CASE: CARTER CLEANING COMPANY 114 TRANSLATING STRATEGY INTO HR POLICIES AND PRACTICES CASE: IMPROVING PERFORMANCE AT THE HOTEL PARIS 114 KEY TERMS 116 ENDNOTES 116

PART TWO RECRUITMENT, PLACEMENT, AND TALENT MANAGEMENT 118

4 Job Analysis and the Talent Management Process 118

THE TALENT MANAGEMENT PROCESS 120 Improving Performance Through HRIS: Talent Management Software 121

THE BASICS OF JOB ANALYSIS 121 Uses of Job Analysis Information 122 Conducting a Job Analysis 122

? IMPROVING PERFORMANCE: HR AS A PROFIT CENTER: Boosting Productivity Through Work Redesign 123

METHODS FOR COLLECT!NG JOB ANALYSIS INFORMATION 125 The Interview 125 Questionnaires 126 Observation 129 Participant Diary/Logs 129

Quantitative Job Analysis Techniques 129 Electronic Job Analysis Methods 131 WRITING JOB DESCRIPTIONS 133 Diversity Counts 133 Job Identification 134 JobSummary 134 Relationships 134 Responsibilities and Duties 134

? KNOW YOUR EMPLOYMENT LAW: Writing Job Descriptions That Comply with the ADA 137

Standards of Performance and Working Conditions 138

? IMPROVING PERFORMANCE: HR TOOLS FOR LINE MANAGERS AND ENTREPRENEURS: Using 0*NET 138

Social Media and HR 141 WRITING JOB SPECIFICATIONS 141

Specifications for Trained versus Untrained Personnel 141 Specifications Based on Judgment 141 Job Specifications Based on Statistical Analysis 142 The Job Requirements Matrix 143 USING MODELS AND PROFILES IN TALENT MANAGEMENT 143

? IMPROVING PERFORMANCE: HR PRACTICES AROUND THE GLOBE: Daimler Alabama Example 144

A Closer Look at Competencies 145 How to Write Competencies Statements 145 CHAPTER SECTION SUMMARIES 146 DISCUSSION QUESTIONS 147 INDIVIDUAL AND GROUP ACTIVITIES 147 EXPERIENTIAL EXERCISE 148 VIDEO CASE: VIDEO TITLE: TALENT MANAGEMENT (THE WEATHER CHANNEL) 148 APPLICATION CASE: RECRUITING IN EUROPE 148 CONTINUING CASE: CARTER CLEANING COMPANY 149 TRANSLATING STRATEGY INTO HR POLICIES AND PRACTICES CASE: IMPROVING PERFORMANCE AT THE HOTEL PARIS 149 KEY TERMS 150 ENDNOTES 150

Personnel Flanning and Recruiting 152

INTRODUCTION 154 WORKFORCE FLANNING AND FORECASTING 154

Improving Performance Through HRIS: Workforce Flanning 154 Strategy and Workforce Flanning 155 Forecasting Personnel Needs (Labor Demand) 155 Improving Performance Through HRIS 157 Forecasting the Supply of Inside Candidates 158 Forecasting the Supply of Outside Candidates 159 Predictive Workforce Monitoring's Role in Talent Management 159

? IMPROVING PERFORMANCE: HR PRACTICES AROUND THE GLOBE: Predicting Labor Needs 160

Developing an Action Plan to Match Projected Labor Supply and Labor Demand 160 Succession Flanning 160 Improving Performance Through HRIS: Succession Systems 161 WHY EFFECTIVE RECRUITING IS IMPORTANT 161 The Recruiting Yield Pyramid 161

? KNOW YOUR EMPLOYMENT LAW: Preemployment Activities 162

Organizing How You Recruit 162 INTERNAL SOURCES OF CANDIDATES 162

Finding Internal Candidates 163

CONTENTS 13

OUTSIDE SOURCES OF CANDIDATES 163 Informal Recruiting and the Hidden Job Market 163 Recruiting via the Internet 163 Social Media and HR 164 Improving Performance Through HRIS: Using Applicant Tracking 165 Advertising 166 Employment Agencies 167 Temporary Workers and Alternative Staffing 169

? KNOW YOUR EMPLOYMENT LAW: Contract Employees 170

Offshoring and Outsourcing Jobs 170 Executive Recruiters 171

? IMPROVING PERFORMANCE: HR TOOLS FOR LINE MANAGERS AND ENTREPRENEURS: Recruiting 101 172

Referrals and Walk-Ins 172 On-Demand Recruiting Services 173 College Recruiting 173 Telecommuters 174 Military Personnel 174 Evidence-Based HR: Measuring Recruiting Effectiveness and Reducing Recruitment Costs 174

? IMPROVING PERFORMANCE: HR AS A PROFIT CENTER: Cutting Recruitment Costs 175

RECRUITING A MORE DIVERSE WORKFORCE 176 Recruiting Women 176 Recruiting Single Parents 176 Older Workers 176 Diversity Counts 177 Recruiting Minorities 177 The Disabled 178

DEVELOPING AND USING APPLICATION FORMS 178 Purpose of Application Forms 178

? IMPROVING PERFORMANCE: HR TOOLS FOR LINE MANAGERS AND ENTREPRENEURS: Application Guidelines 178

? KNOW YOUR EMPLOYMENT LAW: Application Forms and EEO Law 179

Using Application Forms to Predict Job Performance 180

? KNOW YOUR EMPLOYMENT LAW: Mandatory Arbitration 180

CHAPTER SECTION SUMMARIES 181 DISCUSSION QUESTIONS 181 INDIVIDUAL AND GROUP ACTIVITIES 182 EXPERIENTIAL EXERCISE 182 VIDEO CASE: VIDEO TITLE: RECRUITING (HAUTELOOK) 182 VIDEO CASE: VIDEO TITLE: PERSONNEL FLANNING AND RECRUITING (GAWKER MEDIA) 183 APPLICATION CASE: YA KUN KAYA INTERNATIONAL 183 CONTINUING CASE: CARTER CLEANING COMPANY 183 TRANSLATING STRATEGY INTO HR POLICIES AND PRACTICES CASE: IMPROVING PERFORMANCE AT THE HOTEL PARIS 184 KEY TERMS 184 ENDNOTES 185

Employee Testing and Selection 188

WHY EMPLOYEE SELECTION IS IMPORTANT 190 THE BASICS OF TESTING AND SELECTING EMPLOYEES 190

Reliability 190 Validity 191 Evidence-Based HR: How to Validate a Test 192

14 CONTENTS

Bias 194 Utility Analysis 194

? IMPROVING PERFORMANCE: HR AS A PROFIT CENTER: Using Tests to Cut Costs and Boost Profits 194

Validity Generalization 195

? KNOW YOUR EMPLOYMENT LAW: Testing and Equal Employment Opportunity 196

Test Takers' Individual Rights and Test Security 196 Diversity Counts: Gender Issues in Testing 196 How Do Employers Use Tests at Work? 197

TYPES OF TESTS 197 Tests of Cognitive Abilities 197 Tests of Motor and Physical Abilities 198 Measuring Personality and Interests 198 Achievement Tests 200 Improving Performance Through HRIS: Computerization, Online Testing, and Data Analytics 200

WORK SAMPLES AND SIMULATIONS 201 Using Work Sampling for Employee Selection 201 Situational Judgment Tests 202 Management Assessment Centers 202

? IMPROVING PERFORMANCE: HR PRACTICES AROUND THE GLOBE: Testing in China 203

Situational Testing and Video-Based Situational Testing 203 The Miniature Job Training and Evaluation Approach 203 Realistic Job Previews 204 Choosing a Selection Method 204

? IMPROVING PERFORMANCE: HR TOOLS FOR LINE MANAGERS AND ENTREPRENEURS Employee Testing and Selection 205

BACKGROUND INVESTIGATIONS AND OTHER SELECTION METHODS 205 Why Perform Background Investigations and Reference Checks? 205

? KNOW YOUR EMPLOYMENT LAW: Giving References 206

How to Check a Candidate's Background 207 Social Media and HR 207 Using Preemployment Information Services 207

? IMPROVING PERFORMANCE: HR TOOLS FOR LINE MANAGERS AND ENTREPRENEURS: Making the Background Check More Valuable 209

The Polygraph and Honesty Testing 210

? IMPROVING PERFORMANCE: HR TOOLS FOR LINE MANAGERS AND ENTREPRENEURS: Testing for Honesty 211

Graphology 211 "Human Lie Detectors" 211 Physical Exams 211 Substance Abuse Screening 212

? KNOW YOUR EMPLOYMENT LAW Drug Testing 213 Complying with Immigration Law 213

CHAPTER SECTION SUMMARIES 214 DISCUSSION QUESTIONS 215 INDIVIDUAL AND GROUP ACTIVITIES 215 EXPERIENTIAL EXERCISE 215 VIDEO CASE: VIDEO TITLE: EMPLOYEE TESTING AND SELECTION (PATAGONIA) 216 APPLICATION CASE: KPMG RECRUITS 216 CONTINUING CASE: CARTER CLEANING COMPANY 216 TRANSLATING STRATEGY INTO HR POLICIES AND PRACTICES CASE: IMPROVING PERFORMANCE AT THE HOTEL PARIS 217 KEY TERMS 218 ENDNOTES 218

CONTENTS 15

7 Interviewing Candidates 222

BASIC TYPES OF INTERVIEWS 224 Structured versus Unstructured Interviews 224 Interview Content (What Types of Questions to Ask) 224 How Should We Conduct the Interview? 227 Improving Performance Through HRIS: Web-Based Interviews 228

? IMPROVING PERFORMANCE: HR AS A PROFIT CENTER: Great Western Bank 229 Three Ways to Make the Interview More Useful 230

? KNOW YOUR EMPLOYMENT LAW: Interviewing Candidates 230 ERRORS THAT CAN UNDERMINE AN INTERVIEWS USEFULNESS 230

First Impressions (Snap Judgments) 230 Not Clarifying What the Job Requires 231 Candidate-Order (Contrast) Error and Pressure to Hire 231 Nonverbal Behaviorand Impression Management 231 Effect of Personal Characteristics: Attractiveness, Gender, Race 232 Diversity Counts: Applicant Disability and the Employment Interview 232 ? IMPROVING PERFORMANCE: HR PRACTICES AROUND THE GLOBE: Selection Practices Abroad 233 Interviewer Behavior 233 Social Media and HR 234 HOW TO DESIGN AND CONDUCT AN EFFECTIVE INTERVIEW 234 Designing a Structured Situational Interview 234

? IMPROVING PERFORMANCE: HR TOOLS FOR LINE MANAGERS AND ENTREPRENEURS: How to Conduct an Effective Interview 235

Talent Management: Profiles and Employee Interviews 236 DEVELOPING AND EXTENDING THE JOB OFFER 238 CHAPTER SECTION SUMMARIES 239 DISCUSSION QUESTIONS 240 INDIVIDUAL AND GROUP ACTIVITIES 240 EXPERIENTIAL EXERCISE 241 VIDEO CASE: VIDEO TITLE: INTERVIEWING CANDIDATES (ZIPCAR) 241 APPLICATION CASE: NURSE RECRUITMENT AT GULF HOSPITAL 241 CONTINUING CASE: CARTER CLEANING COMPANY 242 TRANSLATING STRATEGY INTO HR POLICIES AND PRACTICES CASE: IMPROVING PERFORMANCE AT THE HOTEL PARIS 242 KEY TERMS 243 ENDNOTES 243 APPENDIX 1 FOR CHAPTER 7 STRUCTURED INTERVIEW GUIDE 246 APPENDIX 2 FOR CHAPTER 7 INTERVIEW GUIDE FOR INTERVIEWEES 249

PART THREE TRAINING AND DEVELOPMENT 250

8 Training and Developing Employees 250

ORIENTING AND ONBOARDING NEW EMPLOYEES 252 The Purposes of Employee Orientation/Onboarding 252 The Orientation Process 252

? KNOW YOUR EMPLOYMENT LAW: The Employee Handbook 252 OVERVIEW OF THE TRAINING PROCESS 254 ? KNOW YOUR EMPLOYMENT LAW: Training and the Law 254

Aligning Strategy and Training 255 Training and Performance 255

? IMPROVING PERFORMANCE: HR AS A PROFIT CENTER: The Training Program That Turned Macy's Around 255

The ADDIE Five-Step Training Process 255 Conductinq the Training Needs Analysis 256

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