Ch4. HR Planning and Staffing Flashcards
Societal trends and events affect employers through
- consumer markets
- labor markets
Keys to effectively utilizing labor markets (sử dụng hiệu quả) (current vs. future)
- clear idea of current configuration of human resources (ý tưởng rõ ràng về cấu hình nguồn nhân lực hiện tại)
- know where the organization is going in the future, how the present configuration of human resources relates to the configuration that will be needed (biết tổ chức sẽ đi về đâu trong tương lai, cấu hình nguồn nhân lực hiện tại liên quan như thế nào đến cấu hình sẽ cần)
- address discrepancies (sự khác biệt về địa chỉ)
The HR Planning Process (current -> desired)
HR Planning is a process by which an organization should move from its current manpower position to its desired manpower position
Through planning, management strives to have the right number and right kind of people at the right places at the right time
Human Resource Planning at Different Levels
- National Level
- Sector Level
- Industry Level
- Unit Level
- Department Level
- Job Level
- National Level:
Generally, the central government plans for human resources for the entire nation. It anticipates the demand for and supply of human requirements at the national level. - Sectoral Level:
Central and state governments also plan human resource requirements at sectoral level. It tries to satisfy needs of some particular sectors like Agriculture Sector, Industrial Sector and Service Sector. - Industry Level:
This level of planning is done to suit manpower needs of a particular industry such as Engineering, Heavy Industries, Paper Industry, Consumer Goods Industries. Public Utility Industries, Textile, Cement/Chemical Industries etc. - Departmental Level:
This level of planning is done to suit the manpower needs of a particular department in a company e.g. Marketing Department, Production Department. Finance Department, etc. - Job Level:
This level of planning fulfills the human resource needs of a particular job family within department. For example, the requirement of number of sales executes in the marketing department.
HR Planning Process
Forecasts of labor demand
Forecasts of labor supply
- > Forecasts of labor surplus or shortage
- > Goal setting and strategic planning
- > Program implementation and evaluation
Forecasting (ascertain supply and demand, -> predict shortage/surplus)
- The attempts to ascertain the supply of and demand for various types of human resources (ascertain: xác minh)
- HR will predict areas within the organization where there will be future labour shortages or surpluses
Forecasting methods include (statistical -> large org, long and stable history) (judgmental -> unexpected)
- statistical methods for large organization with long, stable history
- judgmental methods unstable industry with unexpected events
Forecast:
Determining labour demand (quality, skills in future)
Determining labour supply (quality in current)
Determining labour demand: is developed around specific job categories or skill areas relevant to the organization’s current and future state
Determining labour supply: analyses how many people are currently in various job categories within the company
Forecast: Transitional matrices
show the proportion (or number) of employees in different job categories at different times
Forecast: What effects HR Planning
External factors: \+ Government Policies \+ Level of Economic Development \+ Business Environment \+ Level of Technology \+ International Factors \+ Outsourcing
Internal factors: \+ Company policies and strategies \+ Human resource policies \+ Job analysis \+ Time horizons \+ Company’s production operations policy \+ Trade unions
Forecast: Determining labour surplus or shortage
- ascertain whether there will be a labour shortage or labour surplus for the respective job categories
- determine what to do about these potential problems
Goal Setting and Strategic Planning
- Focus attention on the problem and provide a benchmark for determining the relative success of any programs aimed at redressing a pending labour shortage or surplus
- Analyse labour supply and demand and include a figure for what should happen with the job category or skill area and a timetable
Downsizing
Downsizing: the planned elimination of large numbers of personnel designed to enhance organizational effectiveness
+ Reduce labour costs
+ Technological changes reduce need for labour
+ Mergers and acquisitions
+ Organizations change business location for economic reasons (?)
Downsizing: has negative effects on long term organizational effectiveness
+ Leads to a loss of talent, disrupts the social networks needed to promote creativity and flexibility
+ Lets go of irreplaceable assets
+ Motivation levels drop off
Reducing hours
cutting work hours, generally with a corresponding reduction in pay
+ equitable way to weather a slump in demand
+ less costly than layoffs
+ easier to restore the work hours than to hire new employees
Early Retirement Programs
Baby Boomers delaying retirement: improved health of older people, jobs becoming less physically demanding, insufficient savings, high levels of debt, lack of pensions, enjoyment of work
Older workers block advancement of younger workers
-> older workers are encouraged to leave voluntarily through early retirement incentive programs
Early Retirement Programs
Employers concerned about losing the experience, implicit knowledge of older workers
-> Phased retirement program: to reduce working hours and the cost of older workers
(A phased retirement includes a broad range of employment arrangements that allow an employee who is approaching retirement age to continue working with a reduced workload, and eventually transition from full-time work to full-time retirement.)
Employing Temporary and Contract Workers (short term)
(A contractor is an independent worker who has autonomy and flexibility but does not receive benefits such as health insurance and paid time off.)
- Hiring workers through agencies
- Frees the firm from administrative tasks and financial burdens associated with being the “employer of record” (a company or organization that is legally responsible for paying employees, including dealing with employee taxes, benefits, insurance, etc.)
- Hiring and training program are provided by agency
- Only for supplemented positions (vị trí bổ sung)
- Disadvantages: less committed, negatively affect customer loyalty, not reliable
Outsourcing (long term)
- Contracting with another organization to perform a broad set of services for a long period of time
- The objectives is to operate more efficiently and save money
- Challenges: quality control problems, security violations, and poor customer service (security violation: vi phạm bảo mật)
Overtime and expended hours
- Garner more hours from the existing labour force, asking them to go from part time to full time status or to work overtime
- Overtime payment is less than the cost of hiring and training new employees
- Disadvantage of the potential stress, less productive and more frustration
- Suitable for short term labour shortages
Implementing and Evaluating
- Make sure that some individual is held accountable for achieving the stated goals and has the necessary authority and resources to accomplish them
- Regular progress reports
- Evaluate the results
Recruiting
- Recruiting consists of any practice or activity carried on by the organization to identify and attract potential employees:
+ build a supply of potential new hires that the organization can draw on
+ encourage qualified people to apply for jobs - Organizations have different degrees of importance of recruitment
- Recruitment decision is decided in three areas:
+ Personnel policies
+ Recruiter traits and behaviors
+ Recruitment sources
Personnel policies
- Decisions about how it will carry out HRM
- Influence the characteristics of the positions to be filled
- The most important factor in predicting job choice
Personnel policies (Internal recruitment, External recruitment)
- Internal recruitment a company fills upper level vacancies by recruiting candidates who are already working there
- External recruitment a company hires employees outside of the organization that are not currently working there
Personnel policies: Lead the market pay strategies
- Pay higher salaries than the industry
- Create recruiting advantage
- Make up for less desirable features
- Compete on wages and salaries, bonus, incentive, stock options, etc
Personnel policies (Employment at will policies, Due process policies) (?)
- Employment at will policies: employment principle that if there is no specific employment contract saying otherwise, the employer or employee may end the relationship at any time, regardless of cause
- Due process policies: policies that formally lay out the steps an employee may take to appeal the employer’s decision to terminate that employee
(Employment at will is the doctrine that employment may be ended, by either party, for good, bad or no cause at all.
Due process, on the other hand, is the employment practice in which a person may appeal a decision as a means of receiving an explanation and the opportunity to argue against it.)
Personnel policies: Social presence and reputation (promote, image ad, social media)
- Organization promotes itself to help draw applicants
- Image advertising influence the degree to which the person feels attracted to the organization
- Social media plays a critical role
Recruitment source (where, vacancy, labour needs, internal/external)
- Focus on the decisions about where to look for applicants
- Different based on the nature of the vacancy and the labour needs (vacancy: vị trí còn trống)
- Can be internal or external sources
Recruitment source (Internal source)
- Employees who currently hold other positions in the organization
- Through job posting, or communicating information about the vacancy on company bulletin boards, in employee publications, on corporate intranets, etc
Recruitment source (External sources)
- Employees who are not working in the organization
- More suitable with entry level positions and perhaps for specialized upper level positions
Recruitment source (External sources)
- Employees who are not working in the organization
- More suitable with entry-level positions and perhaps for specialized upper-level positions
Recruitment source (External sources)
- Direct applicants: people who apply for a vacancy without prompting from an organization
- Referrals people: who apply for a vacancy with prompting from an organization
- Electronic recruiting:
+ Organization’s web page
+ Job search and networking platforms: LinkedIn, Craigslist, Indeed
+ Social media - Public employment agencies:
+ Primarily serve the blue collar market
+ Low cost or no charge
+ Sources for meeting certain diversity objectives - Private employment agencies:
+ Primarily serve the white-collar market
+ Charge the employer for referrals
+ Source for certain kinds of applicants
+ Executive search firm (head hunters) for managers and professionals vacancy
(The primary purpose of executive search firms is to locate highly talented candidates from different parts of the world. They then vet these candidates to ensure that they present the strongest and most viable options to clients. Executive search firms have many perks.)
- Colleges and universities: \+ Placement services (a service offered or advertised by a private career school for the purpose of assisting the student in obtaining employment./means professional activities involved in assisting individuals to seek, obtain and maintain appropriate employment) \+ Internship programs \+ Job fair \+ High school recruiting
Evaluating the quality of a source
- Yield Ratio: a ratio that expresses the percentage of applicants who successfully move from one stage of the recruitment and selection process to the next
- Cost per Hire: the total amount of money spent to fill a vacancy, computed by dividing the cost of using a particular recruitment source by the number of people hired to fill that type of vacancy
Recruiter traits
- Recruiters as HR specialists are less credible and less attracted than recruiters as job experts
- “Warm”: care about the applicant and to be enthusiastic about the applicant’s potential to contribute to the organization
- “Informative”: provides the kind of information the applicant is seeking
Recruiter behaviours
- Realism: avoid exaggerating the positive features and downplaying the negative features
- Realistic job previews” the background information about jobs’ positive and negative qualities
Enhancing the recruiter’s impact
- provide timely feedback
- avoid offensive behaviour
- recruit with team rather than individual recruiters.
Personnel Selection
- The process through which organizations make decisions about who will or will not be invited to join the organization
- Organizations must take the utmost care with how it chooses employees
- These decisions impact the organization’s competiveness, and every aspect of the job applicant’s life
- Organizations make sure the selection decisions promote the best interests of the company and are fair to all parties involved
- Selection process should be developed in the support of job description and job specification
Job applications forms
- Low cost way to gather basic data of applicants
- Can be done in both offline online form
- Information include: contact information, work experience, educational background, signature, etc
- HR personnel can identify candidates who meet minimum requirements for education and experience
Résumés
- Inexpensive way to decide which candidates to investigate further
- Provide insights how candidate communicate and present themselves
- Is most valid when being evaluated in the presence of job specification
- Drawback: content might be biased in favour of application and lack of accuracy
References
- Only done if candidates are determined as finalists for the job
- Drawback: time consuming, biased information, invalid information, burden to people contacted, etc
- HR specialists need to contact many references, speak directly, be specific about job related skills and behaviours
Physical ability test
- muscular tension, muscular power, muscular endurance, cardiovascular endurance, flexibility, balance, and coordination
- less important with the use of automation and modern technology
- essential with job that requires physical ability or to avoid work injury
Cognitive ability tests
- verbal skills (skill in using written and spoken language)
- quantitative skills (skill in working with numbers)
- reasoning ability (skill in thinking through the answer to a problem)
Job performance tests and work samples
- Attempt to simulate the job in a pre-hiring context to observe how the applicant performs in the simulated job
- Effective for jobs requires specialized tasks
- May include role-play, interactive videos, simulations, or competitions
- Since tests are job-specific, generalizability is low
- Tests are expensive to develop
Personality inventories: Big 5 Personality
- Extroversion: Sociable,
gregarious, assertive, talkative, expressive - Adjustment: Emotionally
stable, non depressed, secure, content - Agreeableness: Courteous,
trusting, good natured, tolerant, cooperative, forgiving - Conscientiousness: Dependable,
organized, persevering, thorough, achievement oriented - Openness to Experience: Curious,
imaginative, artistically sensitive, broad minded, playful
Personality inventories: Emotional intelligence
- Self-awareness: Knowledge of one’s strengths and weaknesses
- Self-regulation: Ability to keep disruptive emotions in check
- Self-motivation: How to motivate oneself and persevere in the face of obstacles
- Empathy: Ability to sense and read emotions in others
- Social skills: Ability to manage the emotions of other people
Personality inventories
- High score on conscientiousness tend to excel at work
- Also related to job specification
- People tend to lack insight into their own personalities
- Personalities vary across contexts
- It is easy to fake traits on tests
- Trained interviewers are better than survey and questionnaires
other
- Honesty tests
- Drug tests
- Medical examinations
Interviews
- A dialogue initiated by one or more persons to gather information and evaluate the qualifications of an applicant for employment
- Should be structured standardized, and focused on goals oriented to skills and observable behaviours
- Should be able to quantitatively rate each interview
Selection interviews (types)
- Nondirective interview: the interviewer has great discretion in choosing questions to ask each candidate
- Structured interview: consists of a predetermined set of questions for the interviewer to ask
- Panel interview: several members of the organization meet to interview each candidate
- Situational interview: interviewer describes a situation likely to arise on the job, then asks the candidate what he or she would do in that situation
- Behavioural interview: the interviewer asks the candidate to describe how he or she handled a type of situation in the past
Selection interviews (prepare)
- Prepare interview room without interruption and distraction
- Train interviewers how to ask questions, what should avoid, who to eliminate personal bias, how to evaluate
- Review the job description, specification, organizational policies
- Prepare questions and the assessment criteria in advance
- Keep a copy of the application documents
Compensatory mode
process of arriving at a selection decision n which a very high score on one type of assessment can make up for a low score on another
Multiple hurdle model
process of arriving at a selection decision by eliminating some candidates at each stage of the selection process
Selection method standard: Reliability
- The extent to which a measurement is free from random error
+ Ex a reliable test of intelligence should generate consistent results if the same person takes the test several times
- “Are you measuring something accurately?”
Selection method standard: Validity (hiệu lực)
- The extent to which performance on a measure (such as a test score) is related to what the measure is designed to assess (such as job performance)
Mức độ mà hiệu suất trên một thước đo (chẳng hạn như điểm kiểm tra) có liên quan đến những gì thước đo được thiết kế để đánh giá (chẳng hạn như hiệu suất công việc)
- “Are you measuring something that matters?”
+ Ex a reliable measure of weight and height does not provide valid selection criteria
Selection method standard: Ability to Generalize
Valid in other contexts beyond the context in which the selection method was developed
+ Ex: different organizations, different candidates, different time, etc
Selection method standard: Practical value
Utility: the extent to which the method provides economic value greater than its cost (tính thiết thực)
+ Ex: fast food restaurants don’t need to invest much on selecting employees. High tech organizations can spend more on finding top performers
Selection method standard: Legal standards
All selection methods should adhere to existing laws and legal precedents (Tất cả các phương pháp lựa chọn phải tuân thủ luật hiện hành và tiền lệ pháp)
+ Ex interview questions should not interfere with the candidate’s privacy