Chapter 3

Question 1

Environmental scanning

Answer 1

Systematic monitoring of major factors influencing the org to identify trends that might affect the formulation of org and HR strategies

Question 2

What are the stages if analyzing the external environment?

Answer 2

1. Scanning
2. Monitoring
3. Forecasting
4. Assessing

Question 3

Analyzing external environment: stage 1

Answer 3

Scanning: attempt to identify early signals of changes and trends in the environment

Question 4

Analyzing external environment: stage 2

Answer 4

Monitoring: systematic approach to following key indicators that may affect org

Question 5

Analyzing external environment: stage 3

Answer 5

Forecasting: attempt to project possible impact on org

Question 6

Analyzing external environment: stage 4

Answer 6

Assessing: describe the impact of trend on org and judge the probable outcomes

Question 7

Competitive intelligence

Answer 7

Formal approach to obtaining information about competitors

Question 8

What questions should you ask when obtaining information through competitive intelligence?

Answer 8

1. Is the source reliable?
2. What is the likelihood of the information be correct?

Question 9

What are the challenges to environmental scanning?

Answer 9

-inability to accurately predict the future
- how to isolate what is really important to HR

Question 10

What are the four criteria for identifying significant trends?

Answer 10

1. Are there ripple effects?
2. How profound are the impacts on peoples priorities, roles, and expectations?
3. How large is the impact scope (ie the number of people impacted)?
4. Will the changes endure over time?

Question 11

What are the major factors strategists typically scan?

Answer 11

-environmental factors
-political and legislative factors
-technological factors
-demographic factors
- social and cultural factors

Question 12

Scanning for environmental factors:

Answer 12

-economic climate
-globalization

Question 13

Economic climate examples

Answer 13

Cost of fuel, unemployment rate, change in interest rates

Question 14

Globalization

Answer 14

Growth in flows of trade and financial capital across borders that affect sovereignty, prosperity, jobs, wages, etc.

Question 15

Political and legislative factor examples

Answer 15

-changes in business law
-changes in common law, constitutional law and contract law (effect employee-employer relationship)

Question 16

Main demographic factor issues

Answer 16

-labour market: number of people available from the area which org uses to recruit employees
-diversity: ability for an org to tap into under utilized areas of the workforce
-generational differences: how does the org engage with different generations in the workplace effectively

Question 17

Social and cultural factors

Answer 17

-right to privacy
-work-life balance
-contingent workers

Question 18

Contingent workers and what an org needs to consider about them

Answer 18

Part-time, seasonal or contract workers
-can an org use them competitively? They are often considered costs rather than assets

Question 19

Stakeholders

Answer 19

(Constituent groups) groups of people who have vested interest in an org’s decisions

Question 20

Types of stakeholders

Answer 20

Board of directors and senior executives

Senior management

Supervisors

Employees

Unions

Question 21

Board of directors and senior executives

Answer 21

Develop mission, vision, objectives and strategy
-HR issues of interest: workforce impacts on strategic options

Question 22

Senior management

Answer 22

Report to execs for execution of strategy and org performance
-interested in workforce planning and utilization, incentive compensation, training and development, performance management

Question 23

Supervisors

Answer 23

Responsible for management of employees and their role in meeting org goals

Question 24

Employees

Answer 24

Interested in work satisfaction, skill development, job security

Question 25

Unions - restrictive influence

Answer 25

Limits org’s ability to make drastic change

Question 26

Unions - non-restrictive influence

Answer 26

Effect profit sharing plans, selection procedures, where new locations occur, etc.