HRM Flashcards
Digital Transformation (Video)
+ Industry Examples
Digital Transformatin
Digital transformation is the process by which companies/organizations/institutions go from being analog and happening in the ‘real world’ to being not only adapted for but optimized and designed for the digital and online world.
Examples:
- Axel Springer: Today 70% of revenues are made by digital products and services (Before zero)
- BMW/Tesla: High one-to-one relationship due to interactive software that is built into the cars (e.g. via updates)
- Telecommunications: Today also entertainment
-> Overall digital transformation adds value for the customer
Digital Transformation - changing work atmosphere and attitudes
Digital Tranformation
Areas that are changing:
- Talent
- Work with, not for
- Teamwork
- Cooperation
- Diverse workforce
- Empathy
- Work-Life-balance
Technology
- Digital
- Artificial Intelligence
What does digital really mean/
Examples and Areas of digitality
Three different possibilities to create new value
Digital Transformation
- Creating Value at new frontiers
Examples:
- Uber. Airbnb-> don’t own cars, or apartments but adds value through a shared economy, due to technology -> they own an application
- Creating Value at core business
- Due to tehnology and higher interaction companies are able to gain a deeper undertsanding of their customers and hence they can built better products
- Building foundational capabilities
- Employees need to undestand digital tools in order to benefit from them, human factor + digital products
Global Trends affecting the way work is done
Technology
Globalization
Carbon resources
Demographic Challenges
Social Trends
Future of Work
1.Accelarting Technology
* Cloud Technology
* AI (allows work to be done vertically, e.g. self driven cars, SIRI, ALEXA)
-> prone to lead to increased productivitiy and to substitute human tasks
2.Accelerating Globalization
* Emerging Markets
-> Global Partnerships
3.Accelerating Carbon Resources
* Sustainability (Global Warming)
* Adoption energy effiecient ways of working
* Environmental records
-> energy effiecient building, environmental footptint becomes also relevant for employees
4.Accelarting Demographic Challenges
* Ageing in specific regions
* Generation Y - positions of authority
-> Gen Y values work-life balance strongly
5.Accelerating Social Trends
* Urbanization of the population
* ‘Balanced man’ (felxibility is values for women and man)
-> People live in poor suburbs
What is the impact the four trends in the future of work have on companies?
Future of work
1.Leadership
* shaping values and behaviors, transparent, authentic
2.Company Structure
* project teams, matrix, joint ventures, virtual teams
3.Culture
* Focus on collabiration, sustainability, cross-business, networks, relationships with partners, consumers and entrepreneurs
4.Acquisition of specific skills
* Analytics, building networks, working in virtual teams
What impact have new trends in the workplace on the Managment of People/HRM?
Future of Work
- Work collaboration across boundaries
- Toilerance of failure
- Skill development (network creation, data analysis, customization of processes, building, monitoring virtual teams)
Agile HR
Future of Work
- Working easy moving and flexible
- mindset and culture at core
s. next card
Agile HR Principles
Future of Work
1.Psychological Safety (everyone dares to be themself)
2.Purpose (create an actual value to customer or user)
3.Value creating activity (no policy and documentation trap)
4.Probe, sense and respond (finding humble solutions by exploring and learning out of it)
Agile HR Def
Future of Work
People and interactions over processes and tools, without eliminating the required regulations and the structures and policies that enhance culture within the firm.
Probe, sense and respond to the complex and changing environment.
Three most important things about HR
Intro HR
Human Ressource Management
Intro HR
Guarantee the entry of high-quality individuals; Develop them;
Retain them,
Through:
Recruitment and Selection Appraisal, Training and Development, Management of Rewards
That is:
Choose the best resources and make the best use of these resources.
How to attract Talent (EVP)
Intro HR
Employee value proposition
1. Company culture
2. Type of Jobs offered
3. Type of Compensation
Different employee segments need different value propositions
Intro HR
Examples:
Process for attracting talent
Intro HR
HR Planning
Intro HR
Eliminate gaps between supply and demand
Job Analysis
Intro HR
Process to obtain detailed information about the job.
Information about the process of the job and the individual requirements for performance of that job.
Difference between Job Description and Job Specification
Intro HR
Recruitment
Intro HR
Examples of recruitment channels
Intro HR
Examples of recruitment channels
Intro HR
Examples of recruitment channels
Intro HR
Selection Process Stages
Intro HR
Difference Selection Criteria and selection methods
Intro HR
Ways to manage Performance
Intro HR
- Performance Appraisal
- Training anf Development
- Compensation
Performance Appraisal:
Objectives
Intro HR
Appraisal Criteria
Intro HR
Appraisal Instruments
Intro HR
Reasons for Traning and Development
Intro HR
Career Management
Intro HR
(Reasons for) Compensation
Intro HR
Equity
Intro HR
Mission of HRM
Intro HR
Peter Principle
Intro HR
→ The Peter Principle is an observation that the tendency in most organizational hierarchies, such as that of a corporation, is for every employee to rise in the hierarchy through promotion until they reach a level of respective incompetence.
Goals of Selection
Employee Selection
Fit/Match
- Selection Criteria
- Selection Methods
- Decision Making Strategy
Methods
Employee Selection
Digital Interviews (Example: Wade and Wendy)
Employee Selection
What IBM Watson can do (Example for AI in HR)
Employee Selection
- Accelerate talent decisions (Uses workforse analytics to get fact-based answers)
- Uncover hidden patterns (providing deeper insights by discovering hidden patterns and relationships in talent data)
- Influence decisions (Leverage built-in cognitive capabilities to make better organizational decisions based on talent data)
Gamification
Employee Selection
How does Cybervetting work, Method, Research Questions
Cybervetting
What is cybervetting? And why is it common in HR?
Cybervetting
When and how do companies use cybervetting?
Cybervetting
Cybervetting Pros
Cybervetting
Problems with Cybervetting
Cybervetting
Security Reasons, some applicants have private accounts and prefer to not show all their data (some companies are therefore trying to get informations elsewhere e.g. by APIs, GNIP or Datasift who analyze data.
BUT: More than half of participants are not comfortable with companies analyzing their private information
* Further problem is discrimination
* Hence ethics needs to be included in the hiring process -> more transparency
Key aspects about face-to-face and digital recruitment processes
Goal of Gamification
Employee Selection
Training def (Talent Development)
Talent Development
Training – focused on current performance, short-term improvements;
* Needs analysis;
* Implementation;
* Evaluation.
Development def
Talent Development
Development – focused on competencies, strategic talent needs, longer-term skills and attitudes;
* Defining relevant competencies;
* Development policies.
Reskilling vs. Upskilling
Talent Development
Reskilling (learning sth. new)
Upskilling (Broad-based digital training in essential skills
* Focused upskilling rooted in changing work - e.g. after the Covid-19 pandemic
* Leadership development - e.g. for more agile processes)
Trends in the near future in Training and Development
Talent Development
- Increase inpersonalized learning
- The tech industry will take the lead in training
- Tech upskilling will reduce displacement
- Continuous professional learning will outpace one-off training
- Gamification
- Power/Behavioural skills will be critical
- Training as an employee benefit
Future of learning
Talent Development
Just enough / just-in-time / just for me
Speed, Flexibility, and Innovation
1. Technology-supported learning
2. Technological and data analytics competences
3. Team-based learning
4. Bringing customers and providers together
5. Investment in the whole team, even the freelancer, part-time, and contract workers,…
6. Development-motivated learning, particularly for Millennials and Gen. Z. Development support is more important than other benefits
Development of Competencies, Challenges and Conditions for Success
Talent Development
1.Challenge:
* Being appointed to projects
* Job rotation - mobility
* Higher responsibilities
* International exchange
2.Create conditions for success
*Coaching (formal or informal) Training
*Goal clarification
3.Emotional toughness
* Learning from errors
* emotional shield, becoming tougher and more resilient
The Icarus Syndrome
Talent Development
The saying “don’t fly too close to the sun” is a reference to Icarus’ recklessness and defiance of limitations. In organisations, the Icarus syndrome characterises leaders who initiate overly ambitious projects that come to naught, causing harm to themselves and others in the process
Ethical Marginality
Talent Development
How to ensure a company with High-Fliers, motivated and creative people
Guidelines for e-recruitment
EVP, Employer Brand, Employer Branding
Components of EVP
Evolution of e-Recruitment
Challenges of AI Recruitment
Other Recruitment sources
Social recruiting is a proactive process for
job seekers and recruiters to search, converse, share, engage, and refer each other using social media, web-based and mobile platforms.
Good for online realistic job previews!
Social networking platforms:
LinkedIn, Xing, Facebook, Twitter, Google Profile, Flickr, WeChat…
* Other Resources: Employee Referral
Diversity enhancing factors
Globalization + Technological Development + Demographic Changes
Diversity Def.
Difficulties in managing and defining Diversity
- People belong to different identities and move in and out of different groups
What are the benefits of diversity?
Talent recruiting
customer orientation
employee satisfaction
Better decision making and innovation
Definition of motive(s) behind diversity
Def Generations
Gen Y
Gen X (definitions may vary)
Baby Boomers
(1946-1964)
Age discrimination
*intergroup contact
Gender - Women
*70% oft the people living in poverty are women
*Women’s participation in the job market follows an M-Shaped curve (due to returning to work after having children)
Gender Pay Gap
Weight and Payment differences between men and women
Ethnicity def.
Example of Discrimination in recruiting
Diversity Training
- Work-life balance/ family-friendly policies
- Creating a culture of inclusiveness
- Preventing harassment and bullying
Performance Management
Consists of Appraisal
Development
Compensation
What is performance management and why is it so challenging
- “Performance Management is hugely challenging. I think of it as being a really powerful tool … to my mind it’s the lynchpin, the missing link that can transform the vision and mission statement into action – if it’s done well.
- If it’s done badly – and so many are – it’s like any power tool and can rip off legs and arms and mangle bodies”
Melanie O’Connor, WorkplaceInfo consultant
Performance Appraisal
- Criteria
- Methods
- Evaluatos
- Review and Feedback
Traditional vs. Current Performance Appraisals
10 Attributes of great managers(Google)
- Good coaches
- Delegate
- Create inclusiveness in team, concerned with success and well-being of team members
- Productive and results-oriented
- Good communicators – listen and share information
- Support career development and discuss performance
- Clear team strategy
- Technically competent to provide team orientation
- Collaborate with other Google departments
- Good decision-makers
Some practice example for good performance appraisal
GE’s Approach
Another way for performance appraisal
What is employee engagement?
Employee engagement def. nach (Schaufeli and Bakker)
Persistent and positive affective-motivational state of fulfillment in employees (Schaufeli & Bakker, 2014), characterized by:
Vigor - high levels of energy and mental resilience while working, willingness to invest effort in one’s work, ability to not be easily fatigued, and persistence in face of difficulties.
Dedication - strong involvement in one’s work, with feelings of enthusiasm and significance, and a sense of pride and challenge at work.
Absorption - state in which individuals are fully concentrated on and happily engrossed in their work, whereby time passes quickly and they have difficulties in detaching themselves from work.
Engagement is more than job involvement
Antecedents (Prerequirements) of Work Engagement
1. Job Resources
Antecedents (Prerequirements) of Work Engagement
2. Personal Resources: positive self-evaluations
- Self-efficacy -> the awareness that you can overcome a challenge if you put into the required efforts
- Hope -> find alternatives for the desired outcome of traditional ways have been blocked
- Optimism -> failures are only temporarily
- self-esteem -> employee is valued
- Emotional intelligence
Antecedents (Prerequirements) of Work Engagement
3. Organizational environment: HR practices
Difference between Employee Satisfaction and Engagement
Some Facts about employee engagement
Engagement employees
are 480% more committed to helping the company to succeed.
370% more likely to recommend their company as an employer
250% more likely to recommend improvements
On the other hand:
* Less engaged employees are four times more likely to leave the company
* Disengaged managers are three times more likely to have disengaged employees
* Bad managers are creating active disengagement costing the U.S. 450 Billion annually
* 35% of employees would forgo a pay rise to see their supervisor fired
* 7 out of 10 are (actively) disengaged
* 75% of employees say that their boss is the worst and most stressful part of their jobs.
Ways leaders built trust
- Care about employees
- Have integrity
- Demonstrate Competence
(and empathy)
Main outcomes of employee engagement for Businesses
strong reduction of
Safety incidents
Turnover
What are the main drivers that make employee engagement have such a good impact on business performances 1/2
What are the main drivers that make employee engagement have such a good impact on business performance 2/2
Def employee engagement general
Mutual commitment between the organization and the employee
The Three Types of (engaged) Employees
Employee engagement facts
* Large Companies
* Empowerment
* Career opportunities
* Strong Employee Value Propositions
Employee engagement facts
* Large Companies
* Empowerment
* Career opportunities
* Strong Employee Value Propositions
Negative Impact of Disengaged Employees Overall
+ example Germany
In the US, Gallup estimates that active disengagement costs the U.S.A. $450 billion to $550 billion per year. Only 32% of U.S. employees are engaged and thriving. When employees are engaged and thriving in their overall lives, they are more likely to maintain strong work performance — even during difficult times.
Diversity and Engagement
- Gender: more women engaged
- Age: Millenials show the lowest engagement, they know what they want, overwhelming desire
- Disability: Higher engaged group
- Manufacturing: Least engaged employees
Disadvantages of Employee engagement
- Costs
- Higher opportunities for leaving the company–training that provides engagement also
opens more opportunities to leave the company
Def. Employee Retention
What are predictive analytics for in employee retention?
Workaholism def. versus Engagement
“Workaholism” - compulsion or uncontrollable need to work incessantly:
* working excessively hard
* existence of a strong, irresistible inner drive.
Workaholics persistently and frequently think about work, even when not working, which suggests that workaholics are “obsessed” with their work.
Engaged employees are not addicted to work.
They enjoy doing things outside of work,
do not feel guilty when not working, and
do not work hard because of a strong and irresistible inner drive but because, for engaged employees, work is fun.
Consequences of Workaholism
Consequences of Workaholism
Main Trends in Compensation 1/2
Job evaluation - Internal equity
Example Compensation Package
Compensation: Enhancing Motivation
Objective Development of Human Capital 1/2
Objective Development of Human Capital 2/2
Trends in Compensation 2/2
Goals for HRM/ HRM must:
Requirements for HRM to make informed decisions:
Three categories of indicators for HRM to make informed decisions and to gain more recogniztion within the company
Impact:
- Relationship between changes in the quality of the talent pools and competitive success
- “What difference does it make to have top performers vs. simply average performers in this role”
- Doweapply HR programs and practices to the talent pools where they have the greatest effect on our strategic and organizational effectiveness?
Effectiveness:
- Effect of HR policies and practices on
talent pools and organization structures to which they are directed
- How do HR programs affect capability (can employees contribute?), opportunity (do employees get the chance to contribute?),motivation(do employees want to contribute?
Efficiency
- Level and quality of HR
practices for the resources that are spent. What resources are used to deliver HR practices?
- Are HR programs and practices delivered through the frugal use of resources,suchastime,money and labor?
What factors influence the quality of the selection decisions?
