Chapter 6 Flashcards
Strategy
How an organization seeks to accomplish its goals, its the basis for how much is spent on human resources
examples include: strategic planning, performance management, employee development, innovation adaption
What are the 3 phases of hiring and retention?
Attraction, selection, and attrition
Attraction
Drawing in people to candidate pool
What are some ways companies draw people to the candidate pool?
By:
-employee branching
-Job postings and advertising
-employee referral programs
-recruitment events and career fairs
-internship and co-op programs
-competitive compensation and benefits
-diversity and inclusion initiatives
Selection
Choosing qualified applicants from the candidate pool
Attrition
expected/unexpected turnover
Recruitment
process by which individuals are solicited to apply for jobs
Examples of recruitment
job postings
employee referral programs
networking
recruitment agencies
campus recruitment
target advertising
recruitment events
Prospecting Theory
times of high employment
Mating Theory
Both the organization and the candidate determine that they are a good match for each other
Social Validity
The quality of a selection process that acceptable to job candidates is social validity that is:
-Job related (relevancy)
opportunity to demonstrate validity
-prompt feedback from -organization on their performance
Personnel Selection
Work Analysis: suggest predictors to be used
Validation Study: tells us whether the predictor is related to performance on the job.
Majors factors impacting predictor’s value:
Predictor validity
Selection Ratio
Base Rate
Predictor validity
Predictor cutoff- what separates applicants who are accepted from those who are rejected.
Selection Ratio
number of job openings divided by the number of job applicants
Base Rate
percentage of employees who would be successful if individuals were randomly hired
Selection Decisions
Predictor Cutoff
Criterion Cutoff
Multiple correlation
Predictor Cutoff
What separates applicants from those who are rejected
Criterion Cutoff
A standard that separates successful from unsuccessful job performance
Multiple Correlation
Statistical measurement of 2 or more predictors combined
True Positives
We did hire, and they did perform successfully (correctly accepted)
True Negatives
We did not hire, they would not have performed successfully (correctly rejected)
False Negatives
We did not hire, but they would have performed successfully
(incorrectly rejected)
False Positives
We did hire, but they did not perform successfully (incorrectly accepted)
Banding
“banding” typically refers to a compensation strategy used in organizations to group employees’ salaries or pay levels into broad bands or ranges rather than specific individual salaries.
Banding allows organizations to have more flexibility in managing compensation.
However, banding may also pose challenges, particularly if the salary ranges are too broad or not regularly reviewed and adjusted to account for market trends, inflation, or changes in organizational needs.
Overall, banding is a compensation strategy that aims to balance the need for flexibility, transparency, and fairness in determining employee salaries within organizations.
Utility
How economically valuable a test is
Placement
The process of assigning individuals to jobs based on one test score
Classification
The process of assigning
individuals to jobs based on two or more test
scores.
