Chapter 4

Question 1

Explain the strategic importance of HR planning for alignment and change

Answer 1

As the environment changes, HR activities need to be correctly aligned with these changing conditions

Question 2

strategic alignment

Answer 2

The state where an organization’s HRM system supports and facilitates the behaviors and competencies needed for organizational success

Question 3

Vertical alignment

Answer 3

Exists when the HRM system fits with all other elements of the organizational environment - the culture, strategy, technology, etc

Question 4

Horizontal alignment

Answer 4

Exists when all of the HR policies and practices that comprise the HRM system are consistent with each other and so present a coherent message to employees concerning how they should behave while at work

Question 5

radical change

Answer 5

May be required when organizations make major adjustments in the ways they do business

Question 6

incremental change

Answer 6

an ongoing process of gradual evolution, during which many small changes occur routinely

Question 7

Reactive change

Answer 7

occurs when an organization is forced to change in response to an unanticipated event in the external or organizational environment

Question 8

anticipatory change

Answer 8

when an organization takes action in anticipation of upcoming events or early in the cycle of a new trend

Question 9

learning organization

Answer 9

continually finds new ways to satisfy customers and other stakeholders by skillfully integrating the resources of information, technology, and people to produce and the effectively use new knowledge

Question 10

State the roles and responsibilities of the HR triad in HR planning

Answer 10

Responsibility for the planning process typically rests in the hands of line managers and HR professionals

Question 11

Describe three major HR planning activities and their typical sequence

Answer 11

The HR planning phases include assessing the global and organizational environment, specifying HR objectives and metrics for change, and developing specific HR plans and timetables

Question 12

HR planning

Answer 12

refers to the activities associated with scanning and assessing the environment; specifying the objectives to be achieved by HR activities, along with the measures to be used to asses thee achievement of those objectives and developing specific plans for HR policies and practices along with timetables for implementing the plans

Question 13

HR objectives

Answer 13

state in quantitative or qualitative terms what is to be achieved with regard to the firm’s human resources

Question 14

HR metrics

Answer 14

the measurements that are used to assess progress against HR objectives

Question 15

HR plans

Answer 15

can the thought of as blueprints for action; they specify who needs to do what, where, and how.

Question 16

Timetables

Answer 16

specify when each planned activity will be completed

Question 17

Discuss how to scan and assess the external and organizational environments

Answer 17

To make sure the HR actions for change/alignment are appropriate, it is necessary to determine what needs to be done. Essential in this determination is scanning and assessing the qualities of the external and organizational environments

Question 18

organizational analysis

Answer 18

An assessment of the external and internal environments

Question 19

HR forecasts

Answer 19

estimates the firm’s future HR needs

Question 20

Judgemental forecasts

Answer 20

rely on the opinions of informed experts (usually managers), who provide their estimates of current and projected productivity levels, market demand, and sales, as well as current staffing levels and mobility information

Question 21

statistical forecasts

Answer 21

rely heavily on objective data and formal models

Question 22

scenario planning

Answer 22

begins with information about the changes likely to occur in the external environment, such as the characteristics an size of the labor force, new government regulations, and competitors’ actions

Question 23

Give several examples of HR objectives and metrics used to guide and monitor change

Answer 23

Organizations must keep two things in mind when determining HR objectives and metrics:

1) The HR objectives must be tied to strategic business objectives
2) The metrics must match the specified HR objective

Question 24

HR ROI

Answer 24

Revenue - (Operating expense - [Compensation cost + Benefit cost])
__________________________
Compensation Cost + Benefit Cost

Question 25

HR Value added

Answer 25

Revenue - (Operating expense - [Compensation cost + Benefit Cost])
__________________________
Total number of full-time equivalent employees (FTEs)

Question 26

HR expense ratio

Answer 26

Total of all HR expenses
___________________
Total operating expenses

Question 27

HR revenue ratio

Answer 27

Total revenue
___________
Total number of FTEs

Question 28

Explain how to develop HR plans and timetables

Answer 28

If an organization is structured along functional departments, then each department develops a strategic plan; if it is organized by region, then plans for each region are developed

Question 29

succession planning

Answer 29

to ensure that the organization is prepared to fill key positions when the incumbents leave for any reason

Question 30

talent pool

Answer 30

a list of employees who have been identified as having high potential for advancement , usually because they are top performers in their current positions

Question 31

replacement chart

Answer 31

the titles of key jobs in the organization are displayed along with the names of both the incumbents and the employees who might be used to fill potential vacancies (i.e: the most appropriate employees from the talent pool)

Question 32

Describe how to implement HR action plans

Answer 32

Organizations can do a number of things when implementing HR action plans to improve their effectiveness. These include involving employees, establishing accountability, managing resistance to change and showing respect in difficult times

Question 33

Explain the importance of reviewing, revising, and refocusing change efforts

Answer 33

Tracking progress in creating change is essential to success. Metrics that reflect the objectives of change should be monitored. If the initiatives undertaken to create change do not have the desired results, new plans and new change initiatives may be needed

Question 34

Discuss two current issues in HR planning

Answer 34

Two current issues of increasing concern today are global talent management and socially responsible corporations. Both reflect the reality of the global environment for organizations and employees, and we all have a stake in how well they are managed