Week 6-10 Flashcards
What Determines Performance?
Distinction between task and contextual performance
Job performance is a function of ability, motivation and opportunity (Boxall and Purcell, 2003)
- Deficit in any of these areas results in poor performance, irrespective of the value of the other two
- What are my abilities, am I motivated and how do I get the opportunities. Do we need to motivate people? Why? Don’t they get paid?
Worker-side factors
- Personal characteristics, experience in previous job roles, personal relationships, commitment, engagement, coherence of values
- Engagement: are people paying attention? – companies offer yoga and mindfulness classes to engage the employees. –> It gives higher profit, higher performance. The thought is that the work will affect you in your daily life.
Organisation-side factors
- Job design, person–job fit, reward, psychological contract
- Great person but does the person fit to the job
Who is Responsible for Performance Management?
• Senior managers
○ Establishing strategy, mission and values and approach to PM
• HRM specialists
○ Ensuring the vertical and horizontal integration of PM
• Line managers
○ Responsibility for the various elements of PM
• All employees
○ Responsibility for their own performance
Performance management is the hole process. Performance review is the interviews with the manager and employee.
Bonuses to the employees – how large? Other methods – ownership programs =buy stocks in the company.
Understand the performance system.
Line managers: hiring, makes reviews and so on. Important in this. Strategy of PM
How can we measure and understand employee engagement?
Engaged employees:
• Want to continue working for their employer
• Feel pride and motivation working for their employer
• Are willing to exert extra energy at work for their employer
Maslow’s needs hierarchy pyramid
• When the lower level is satisfied you can move up to the higher levels.
• The levels should be satisfied by the employees.
Vroom: expectation theory
• Effort –> performance –> outcome
○ How much effort should you put into it
○ Do the outcome fit with your effort and performance – if not you would be disappointed
○ You compare what you have with people around you –
○ Expectation: You expect to get the same yearly bonus, if you always gets it and you have put the same effort and performance as every year.
• Expectation you have – they are different
Herzberg: Two kind of functions: 1. Motivators • Challenging job – something that gives you a fulfillment • Recognition • Responsibility • This is about the job satisfaction 2. Hygiene factors • Salary • Benefits • (job security) – not all include these • Never give you a job satisfaction – research says that you can only reach a certain level with this you need the motivators as well
Goal setting theory SMART: • In this theory the goal have to be: ○ Specific ○ Measurable ○ Achievable ○ Realistic ○ Time target • Going through these SMART punkter you get an idea of the goals. • Employees can set their own goals – getting more popular
Porter and Lawler
• Effort –> performance –> intrinsic (motivate) or extrinsic (money and bonus – recognition for the performance of a job) you need both to increase job satisfaction
What is performance management (PM)?
• Goal-oriented process ensuring processes are in place to maximize productivity at employee, team and organizational levels.
• Close relationship between incentives and performance.
• Performance management is a dynamic, ongoing, continuous process.
• Each part of the system, such as training, appraisal, and rewards, is integrated and linked for the purpose of continuous organizational effectiveness.
• Goals are related to the mission of the organization
• Link between what you going to do to get the bonus and the performance you have to do
• You can also recruit from motivation (even though the person doesn’t have the right skills yet)
○ Not only knowledge, ability and skills (KAs)
What characterize the use of performance appraisals?
- Human resource planning: Used in making decisions such as promotion, demotion, termination, layoff, and transfer
- Recruitment and selection: Helpful in predicting the performance of job applicants.
- Training and development: Points out employees’ specific needs
- Career planning and development: Assesses employee’s strengths and weaknesses and determines employee’s potential
- Compensation programs: Provide basis for rational decisions regarding pay adjustments
- Internal employee relations: Promotion, demotion, termination, layoff and transfer
- Assessment of Employee potential: assessing and employee´s potential
The process of performance appraisals (five steps)
- Start with identify the specific goals – have to be realistic and achievable
- Criteria’s: how are we going to measure the new goal (ex from 58% to 60% customer satisfaction next week) – could be the smiley faces when walking out a shop
- Work performance: How it is done
- Appraise the results: how to motivate the employees (move forward all the time, or reward the process is going the right way). Make the employees make their own goals. Or motivate by giving bonuses to people scoring higher than ex 60%.
- Discuss appraisal with employee and the circle can start again from Establish Performance Criteria.
What is the difference in organizational and corporate culture?
Organisational culture
- Develops unconsciously and organically
- Can develop where social group has sufficient shared experience (Schein, 2004)
Corporate culture
- Deliberately constructed
- Reflects the espoused values and expectations of the dominant management group
- Diffusion of these values throughout the firm as part of a specific competitive strategy
Three form of discrimination
Individual discrimination:
* Directly towards the individ – age, gender
Institutional discrimination:
Rules the company have about only hire for certain reasons – e.g. only girls with blond hair or young persons.
Structural discrimination:
Set policy that is intented to make everybody equal, but in the end it discriminate some people/ a group of people.
E.g. a special ID in US which the etnitic people apparently did not have.
Examples of managing diversity
If managing diversity does not come from the CEO it will not have any impact.
Starbucks video about diversity
• Inclusion is a way of thinking,
• Diversity sparks innovation -
• Reflect the needs of the customers if having a diverse workforce
• Starbuck use diversity as a way to brand themselves – put it in the news and on YouTube
• Some say that it is not a good profit for Starbucks to have this diversity. - Hireing an autistic person is not effective enought according to a Tayloristic HRM (hard HRM)
Iceland have strict rules for foreigners to work here. Need a contract with an Icelandic company. –> homogeneous country
Equal rights based on what?
• Culture, religion, gender
• China often stay out of debates about discrimination, they don’t want to interfere with others rules.
International Labour Organization
United Emirates
• Diversity is huge here.
• Two major airlines – Emirates and Etiat.
• Also Kvadrate – policy about if women got pregnant or go married while working for them, they would get led off (fired). Today it is illegal. They had no policy of men but for women.
What are the benefits of managing diversity (MD)?
HRM outcomes
• Ability to recruit, retain and motivate the best available talent
• Reduction in the incidence and cost of negative ER outcomes
• Reduction in recruitment costs
• Employer branding – ‘employers of choice’
• Creation of a ‘culture of inclusion’ (CBI, 2008)
• Source of employment flexibility through creation of policies and practices that are innovative and adaptable
Wider business benefits
• Enhanced creativity and innovation
• Responsive to the needs of a wider and more diverse range of clients, customers and their needs
• Improved public image
* Enhanced ability to respond to changing market demography and to identify and take advantage of new opportunities
Which characteristics show The Changing Context of Careers?
Need for organisational and labour flexibility
Increasing diversity in contractual arrangements with workers
Changing extent to which firms provide both the infrastructure and support for career development
Changing employee demands and expectations of employment and careers
Social trends and demographic changes redefining the career proposition
What is talent management?
• Talent: ‘those individuals who can make a difference to organisational performance, either through their immediate contribution or in the longer term by demonstrating the highest level of potential’ (CIPD, 2006)
• Talent management: ‘a comprehensive and integrated set of activities to ensure that the organisation attracts, retains, motivates and develops the talented people it needs now and in the future’ (Baron and Armstrong, 2007)
• ‘Talent’ differently delineated across organisations
• Reflects approach to TM adopted:
○ exclusive (e.g. talent defined as only high-flyers at top of firm)
○ inclusive (e.g. includes talent wherever in the firm it exists)
○ hybrid (combines both inclusive and exclusive approaches)
What is career management?
Career management (King, 2004: 45) is ‘a critical challenge for HR professionals in the twenty-first century ... It is essential for developing and sustaining organisations in the long-term and for giving each individual within the organisation a meaningful focus for the future’
It involves a range of activities involving several core HR processes
What is career self-management?
- Importance of self-reliance and ‘ownership’ of career development
- Individual responsibility for determining and satisfying learning needs
- Importance of employability and development of marketable skill
- ‘Continuous construction and maintenance of a healthy self-concept, congruent with individuals’ changing strengths and weaknesses, shifting beliefs and attitudes and future aspirations’ (Adamson et al., 1998: 257)
What are the ways that ‘Expression of workplace conflict’ can be seen from the perspective of employee and employer?
Expression of employee dissatisfaction can be either:
○ formal or informal
○ individual or collective
Informal and collective:
E.g. from Iceland: women got together in 2015 because of a believe in unfair payment for women compared to men. They protested downtown.
Informal and individual:
E.g. insience according to the psycological contract. Can lead to theifts – taking envelopes, pens, starting taking sickdays and withdrawal in behaviour and knowledge sharing.
Formal and collective:
Strike – very formal.
E.g. traffic controllers in Iceland that was uhappy with their payment. They couldn’t go on strike so they called in sick flights can’t takeoff, hurt economy and people that need to move around.
Formal and individual
Grievance procedures: I believe I’m payed unfair and therefore go to my union. Go to play my rights and they will provide a lawyer.
A written notice – “if it happens aging we need to let you go”
Employers’ expressions of conflict:
○ In collective industrial disputes, management can impose a lockout, mass sackings or permanently close the operation
○ For individual employees, managers can instigate incapability or disciplinary procedures which can result in demotion, suspension or dismissal
