Chapter 2 - Strategy and Human Resources Planning Flashcards
Strategic planning
Procedures for making decisions about the organization’s long-term goals and strategies.
Human resources planning (HRP)
The process of anticipating and providing for the movement of people, into, within, and out of an organization.
Strategic human resources management (SHRM)
The pattern of human resources deployments and activities that enable an organization to achieve its strategic goals.
Mission
The basic purpose of the organization as well as its scope of operations.
- a statement of the organization’s reason for existing and the shared purpose of the people in the organization.
Strategic vision
A statement about where the company is going and what it can become in the future; clarifies the long-term direction of the company and its strategic intent.
Core values
The strong and enduring beliefs and principles that the company uses as a foundation for its decisions.
- underlying parameters for how the company will act toward customers, employees, and the public in general.
Environmental scanning
Systematic monitoring of the major external forces influencing the organization.
Stakeholders
Key people and groups that have an interest in a firm’s activities and that can either affect them or be affected by them.
Core capabilities
Integrated knowledge sets within an organization that distinguish it from its competitors and deliver value to customers.
- core capabilities can consist of a combination of three resources (1) processes, (2) systems (technologies), and (3) people.
Value creation
What the firm adds to a product or service by virtue of making it; the amount of benefits provided by the product or service once the costs of making it are subtracted.
Strategic knowledge workers
This group of employees tends to have unique skills that are directly linked to the company’s strategy and are difficult to replace.
- High value and high uniqueness
Core employees
This group of employees has skills that are quite valuable to a company but are not particularly unique or difficult to replace.
- High value and low uniqueness
Supporting workers
This group of employees typically has skills that are of less strategic value to the firm and are generally available in the labour market.
- low value and low uniqueness
External partners
This group of individuals has skills that are unique but frequently are not directly related to a company’s core strategy.
- low value and high uniqueness
Cultural audits
Audits of the culture and quality of work life in an organization.
Clan culture (Organization Culture Assessment Instrument)
Employees are closely knit and exhibit great concern for one another and their customers, and loyalty and cohesion are highly valued.
Adhocracy culture (Organization Culture Assessment Instrument)
Culture is characterized by risk taking, innovation, and a spirit of entrepreneurship.
Market culture (Organization Culture Assessment Instrument)
Encourages competitive, result-orientated behaviours.
Hierarchical culture (Organization Culture Assessment Instrument)
characterized by formal structures and procedures and in which efficiency and stability are greatly valued.
Trend analysis
A quantitative approach to forecasting labour demand based on an organizational index such as sale.
Management forecasts
The opinions (judgements) of supervisors, department managers, experts, or others knowledgeable about the organization’s future employment needs.
Staffing tables
Graphic representations of all organizational jobs, along with the numbers of employees currently occupying those jobs and future (monthly or yearly) employment requirements.
Markov analysis
A method for tracking the pattern of employee movements through various jobs.
- shows the percentage of employees who remain in each of the firm’s jobs from one year to the next, as well as the proportions of those who are promoted, demoted, or transferred or exit the organization.
Quality of fill
A metric designed to assess how well new hires are performing on the job.
Skill inventories
Files of personnel education, experience, interests, and skills that allow managers to quickly match job openings with employee backgrounds.
Replacement charts
Listings of current jobholders and people who are potential replacements if an opening occurs.
Succession planning
The process of identifying, developing, and tracking key individuals for executive positions.
Human capital readiness
The process of evaluating the availability of critical talent in a company and comparing it to the firm’s supply.
SWOT analysis
A comparison of strengths, weaknesses, opportunities, and threats for strategy formulation purposes.
Low-cost strategy
Means keeping your costs low enough that you can offer and attractive price to customers.
- ex. McDonald’s and Walmart
Attrition
A natural departure of employees from organizations through quits, retirements, and deaths.
Hiring freeze
A practice whereby new workers are not hired as planned or workers who have left the organization are not replaced.
Termination
Practice initiated by an employer to separate and employee from the organization permanently.
Severance pay
A lump-sum payment given to terminated employees by an employer at the time of an employer-initiated termination.
Benchmarking
The process of measuring one’s own services and practice against the recognized leaders to identify areas for improvement.
Balanced scorecard (BSC)
A measurement framework that helps managers translate strategic goals into operational objectives.
Organizational capability
The capacity of the organization to act and change in pursuit of sustainable competitive advantage.
