Chapter 2 Flashcards
An organization follows its plan for how to complete successfully, survive, and grow.
Strategy
The process of defining organizational strategy or direction, and allowing resources towards its achievement
Strategic planning
The core reason for the existence of the organization and what makes it unique
Organizational mission
The appropriate use of HR management practices to gain or keep a competitive advantage.
Strategic HR management
Sometimes called a transnational corporation, is an organization that has facilities and other assets in at least one country other than it’s home country.
Multinational corporation (MNC)
Occurs when a company reloucates a business process or operation from one country to another.
Offshoring
The process of analyzing and identifying the need for and availability of people so that the organization can meet its strategic objectives.
Human Resource planning
Involves the assessment of external and internal environment conditions that affect the organization.
Environmental scanning
The process of identifying a plan for the orderly replacement of key employees
Succession planning
Using information from the past and present to predict future conditions.
Forecasting
Temporary payments made to laid off employees to ease the financial burden of unemployment.
Severance benefit
Involves transferring the management and performance of a business function to an external service provider.
Outsourcing
Are nontraditional schedules that provide flexibility to employees.
Alternat work arrangements
A comprehensive assessment of all aspects of the business being acquired.
Due diligence
A measure of the ability of a program, project, or task to produce a specific desired effect or result that can be measured.
Effectiveness for organizations
The degree to which operations are carried out in an economical manner.
Efficiency
Specific measures of HR practices
HR metrics
An evidence - based approach to making HR decisions on the basis of quantitative tools and models.
HR analytics
The process of comparing an organizations business results to industry standards or best practices.
Benchmarking
A framework organizations use to report on diverse set of performance measures.
Balanced scorecard
A calculation showing the value of investment in human capital
Return on investment (ROI)
An adjusted operating profitability figure calculated by subtracting all operating expenses except labor expenses from revenue and dividing by the total full-time head count.
Human capital value added (HCVA)
Directly shows the amount of profit derived from investments in labor
Human capital return on investment (HCROI)
Shows the wealth created per employee.
Human economic value added (HEVA)
A formal research effort to assess the current state of an organizations HR practices.
HR audit
