Chapter 1 - Basic Concepts

Question 1

strategic plan

Answer 1

The company’s plan for how it will match its internal strengths and weaknesses with external opportunities and threats in order to maintain a competitive advantage.

Question 2

evidence-based HRM

Answer 2

Use of data, facts, analytics, scientific rigor, critical evaluation, and critically evaluated research/case studies to support human resources management proposals, decisions, practices, and conclusions.

Question 3

human resources management (HRM)

Answer 3

The management of people in organizations to drive successful organizational performance and achievement of the organization’s strategic goals.

Question 4

secondary sector

Answer 4

Jobs in manufacturing and construction.

Question 5

globalization

Answer 5

The emergence** of a **single global market for most products and services.

Question 6

manager

Answer 6

Someone who is responsible for accomplishing the organization’s goals, and who does so by managing the efforts of the organization’s people.

Question 7

digital dashboard

Answer 7

Presents the manager with desktop graphs and charts, a computerized picture of where the company stands on all those metrics from the HR scorecard process.

Question 8

management process

Answer 8

The five basic functions of planning, organizing, staffing, leading, and controlling.

POSLC

Question 9

outsourcing

Answer 9

The practice of contracting with outside vendors to handle specified business functions on a permanent basis.

Question 10

tertiary or service sector

Answer 10

Jobs in public administration, personal and business services, finance, trade, public utilities, and transportation/ communications.

Question 11

empowerment

Answer 11

Providing workers with the skills and authority to make decisions that would traditionally be made by managers.

Question 12

managing

Answer 12

To perform five basic functions: planning, organizing, staffing, leading, and controlling.

PLanning

Organizing

Staffing

Leading

Controlling

Question 13

contingent/non-standard workers

Answer 13

Workers who do not have regular full-time employment status.

Question 14

organizational climate

Answer 14

The prevailing atmosphere that exists in an organization and its impact on employees .

Question 15

primary sector

Answer 15

Jobs in a_griculture, fishing and trapping, forestry, and mining._

Question 16

certification

Answer 16

Recognition for having met certain professional standards.

Question 17

human capital

Answer 17

The knowledge, education, training, skills, and expertise of an organization’s workforce.

Question 18

organization

Answer 18

A group consisting of people with formally assigned roles who work together to achieve the organization’s goals.

Question 19

metrics

Answer 19

Statistics used to measure activities and results.

Question 20

organizational culture

Answer 20

The core values, beliefs, and assumptions that are widely shared by members of an organization.

Question 21

productivity

Answer 21

The ratio of an organization’s outputs** (goods and services) **to** its **inputs (people, capital, energy, and materials).

Question 22

balanced scorecard

Answer 22

A measurement system that translates an organization’s strategy into a comprehensive set of performance measures.

Question 23

strategic management

Answer 23

The process of identifying and executing the organization’s strategic plan by matching the company’s capabilities with the demands of its environment.

Question 24

strategy map

Answer 24

A strategic planning tool that shows the “big picture” of how each department’s performance contributes to achieving the company’s overall strategic goals.

Question 25

strategy

Answer 25

A course of action the company can pursue to achieve its strategic aims.

Question 26

1.1. Define what human resources management is and analyze how it relates to the management process.

Answer 26

Management is a process of planning, organizing, staffing, leading, and controlling organizational resources. HRM refers to the management of people in organizations. Strategic HRM involves linking HRM with strategic goals and objectives to improve business performance. Increasingly, HR professionals are becoming strategic partners in strategy formulation and execution.

Question 27

1.2. Describe the value of HR expertise to non-HR managers and entrepreneurs.

Answer 27

Activities of employee management, empowerment, training, and guidance are often shared between managers in the organization (executive and line managers) and HR professionals. Therefore, line managers, executives, and HR managers are all influential in and influenced by effective human resources management.

Question 28

1.3. Explain how HRM has changed over recent years to include a higher-level advisory role.

Answer 28

Human resources activities involve using the best-available evidence in making decisions about the human resources management practices that the organization is focused on. This includes the ability to collect, interpret and communicate relevant metrics while aligning decisions, policies, and practices to the organizational strategy. Tools used to achieve this include the strategy map, the HR scorecard, and the digital dashboard

Question 29

1.4. Identify tools to help make evidence-based HRM decisions.

Answer 29

Evidence-based human resources management means using the best available evidence in making decisions (from actual measurements, existing data, or research studies) about human resources management practices. Tools include the strategic map, balanced scorecard, and digital dashboard.

Question 30

1.5. Describe the core HR competencies and professionalism of the HRM function.

Answer 30

There are professional designations in Canada that may be influential in building expertise and careers in management or human resources management. However, more specific designations are important to indicate specialized skillsets

Question 31

1.6. Discuss the internal and external environmental factors affecting human resources management policies and practices, and explain their impact.

Answer 31

A number of external factors have an impact on HRM, including economic factors, labour market issues, technology, government, globalization, and environmental concerns. Internal factors impacting HRM include organizational culture, organizational climate, and management practices.

Question 32

Who implements HR activities?

Answer 32

HR professionals > Formulate policies, procedures > Legal compliance > Internal consultant/change agent > Attract, engage, retain talented employees > Supporting employees Managers > E.g., Inform HR about the competencies needed to > implement the organization’s strategy Employees > E.g., Help select and train coworkers, provide feedback, manage their own careers

Everyone = HR, Managers, Employees

Question 33

What are 8 HR activities?

Answer 33

Legal compliance Job analysis Recruitment Selection Training and development Performance management and compensation Health and safety Supporting employees Disciplining employees Strategic HRM

Legal compliance

Job analysis

Recruitment

Selection

Health and Safety

Performance management

Compensation and Benefits

Statregic HRM

Question 34

What is “fit” in relation to HR?

Answer 34

HR activities are interrelated and must fit together HR activities should also fit with company strategy HR activities must also fit with environment

Examples Compensation and training fit Compensation (rewarding a certain behaviour), train a different behaviour Management style fit and skills of team

A practice must fit with culture E.g., reward behaviour that is leads to company success E.g., technological change, population trends

Question 35

What are external HR influences?

Answer 35

External influences: Economic conditions Labour market issues Technology Government Globalization Environmental concerns

Economic Factors

Environmental Factors

Government

Technology

Labour Market

Globalization

Question 36

What are internal HR influences?

Answer 36

Internal influences Company culture and climate (beliefs, atmosphere of organization) Management practices (e.g., empowering the worker vs bureaucratic organization)

Organizational Climate = the prevaiing atmostphere of an org and how it impacts employees

Organizational Culture = Core values and beliefs

Management practices = felxible, bureaucratic

Question 37

What are administrative HR roles?

Answer 37

Administrative (most common outsourced functions) EAP Pension / retirement planning Benefits Administration Training Payroll Services

retirement benefit planning

payroll services

administration training

Question 38

What are operational HR roles?

Answer 38

Operational Role Requires HR Professionals to identify and implement needed programs and policies Tactical in nature, i.e. legislative compliance / job application processing Sometimes creates conflict between HR and front-line managers Employee advocate – making the company a better place to work

Question 39

What is strategic HR management?

Answer 39

links the HR functions to the strategic objectives of the organization.

For instance, HR Managers will ensure that compensation is equitable in comparison to what is occurring with their competitors. Practicing strategic hr provides a competitive advantage to an organization. Furthermore, organizations use HR metrics (specific measures) that are tied to performance indicators

Question 40

What is Human capital?

Answer 40

Human capital (AKA) intellectual capital is not the employees themselves but rather what these employees bring to the organization in terms of knowledge, skills, life experiences, motivation, etc. Aside from Human Capital, which is described as an asset to the organization, organizations also manage their physical, i.e. Buildings and infrastructure, financial and intangible i.e. Patents, information systems, etc. assets.

Question 41

How is a sustainable competitive HR advantage formed?

Answer 41

Core Employees Who Are a Source of Added Value mix with Employees Who Are Rare to Using HRM to Gain Sustainable Competitive Advantage to be Inimitable. Example: A Culture That Can’t Be Copied

Core value employees + Rare employees = inimitable and competetive advantage.

Question 42

How can workers be identified by quadrants?

Answer 42

A B C D

Example for quadrant c (contract workers – transactional relationship) Example for quadrant D (traditional employees – market-based relationship) Example for quadrant B ( knowledge workers – key employee group – organization commits substantial resources to these individuals)