Workplace Flashcards
What is managing a global workforce?
Managing a Global Workforce focuses on the role of the HR professional in managing global and mobile workforces to achieve organizational objectives.
Key Concepts:
⊲ HR structures that support global work
⊲ Examples include immigration and mobility specialists; geographic centers of excellence; global job classifications; international business travel policies
⊲ Immigration and mobility
⊲ Examples include laws; visa processes and requirements; sponsorship expenses
⊲ Best practices for international assignments
⊲ Examples include performance expectations and evaluations; health and safety; compensation adjustments;
socialization; assessing employee and family readiness; training on culture and resources; language training; education travel grants; rental subsidies; transition plans; repatriation
⊲ Methods for moving work
⊲ Examples include offshoring; onshoring; nearshoring; remote teams
PROFICIENCY INDICATORS FOR ALL HR PROFESSIONALS
⊲ Maintains up-to-date knowledge of political, economic, social, technological, legal and environmental (PESTLE)
factors and their influence on an organization’s universal workforce.
⊲ Administers and supports HR activities associated with a global and mobile workforce.
⊲ Balances the organization’s desire for standardization of cross-border HR programs, practices and policies with
local needs.
⊲ Manages and supports the organization’s immigration and mobility program in accordance with regulatory or compliance requirements.
⊲ Manages the day-to-day activities associated with international (i.e., expatriate) assignments.
FOR ADVANCED HR PROFESSIONALS
⊲ Recognizes and responds to global PESTLE issues that influence the organization’s strategy and workforce.
⊲ Develops a comprehensive organizational strategy that addresses global workforce issues.
⊲ Consults with business leaders to define global competencies and embed them throughout the organization.
⊲ Establishes and oversees the organization’s immigration and mobility policy and program in accordance with
regulatory or compliance requirements.
⊲ Identifies opportunities to achieve efficiencies and cost savings by moving work across borders.
⊲ Designs and oversees programs for international (i.e., expatriate) assignments that support the organizational strategy and workforce.
What is repatriation?
The act or process of restoring or returning someone or something to the country of origin, allegiance, or citizenship.
What is PESTLE analysis?
this concept is used as a tool by companies to track the environment they’re operating in or are planning to launch a new project/product/service, etc.
A PESTLE analysis studies these key external factors :
Political
Economic
Sociological
Technological
Legal
Environmental
What is the difference between offshoring; onshoring; nearshoring; and farshoring
Offshoring, the practice of outsourcing operations overseas, usually by companies from industrialized countries to less-developed countries, with the intention of reducing the cost of doing business.
Onshoring is a business strategy that involves setting up production within national borders. It involves keeping production or operational processes in the same country where the products are consumed or services are provided, regardless of the country’s location.
Nearshoring is a business strategy that involves companies shifting their manufacturing and production operations closer to their main markets, allowing them to reduce transportation costs and deliver their products faster to customers.
Example: USA plants having parts made in Mexico or Canada
Farshoring is the act of bringing a company function (or multiple) to a country that is far from the companies’ host country.
For example, a company bringing their information technology services from Greece to India, or from Canada to Chile, would be farshoring.
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What is risk management?
Risk Management is the identification, assessment and prioritization of risks, and the application of resources to minimize, monitor and control the probability and impact of those risks accordingly.
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Key Concepts:
⊲ Enterprise risk management processes and best practices, and risk treatments
⊲ Examples of enterprise risk management processes and best practices include understanding context;
identifying risks; analyzing risks; prioritizing risks
⊲ Examples of risk treatments include avoidance; reduction; sharing; retention
⊲ Approaches to qualitative and quantitative risk assessment
⊲ Examples include single loss expectancy; annualized loss expectancy
⊲ Risk sources and types
⊲ Examples of risk sources include project failures; insufficient resources
⊲ Examples of risk types include hazard; financial; operational; strategic
⊲ Legal and regulatory compliance auditing and investigation techniques
⊲ Examples include audit or investigation plan; corrective actions
⊲ Quality assurance techniques and methods
⊲ Examples include after-action analysis; industry-specific standards
⊲ Business recovery and continuity-of-operations planning
⊲ Examples include business continuity and disaster recovery plan; evacuation procedures and simulations
⊲ Emergency and disaster preparation and response planning
⊲ Examples of emergencies and disasters include communicable disease; natural disaster; severe weather; terrorism; man-made disaster
⊲ Examples of preparation and response planning include communication mechanisms; evacuation plans
⊲ Safety and security concerns and prevention
⊲ Examples include workplace violence; active shooter; theft; fraud; corporate espionage; sabotage; kidnapping and ransom; insider threat; data breach
⊲ Workplace/occupational injury and illness prevention, investigations and workspace solutions
⊲ Examples include identification of hazards; safety training
⊲ Approaches to a drug-free workplace
⊲ Examples include drug testing; treatment of substance abuse
PROFICIENCY INDICATORS FOR ALL HR PROFESSIONALS
⊲ Monitors PESTLE factors and their influence on the organization.
⊲ Administers and supports HR programs, practices and policies that identify and/or mitigate workplace risk.
⊲ Implements crisis management, contingency and business continuity plans for the HR function and
the organization.
⊲ Communicates critical information about risks and risk mitigation to employees at all levels.
⊲ Conducts due diligence investigations to evaluate risks and ensure legal and regulatory compliance.
⊲ Conducts workplace safety- and health-related investigations.
⊲ Audits risk management activities and plans.
⊲ Maintains and ensures accurate reporting of internationally accepted workplace health and safety standards.
⊲ Incorporates anticipated level of risk into business cases.
FOR ADVANCED HR PROFESSIONALS
⊲ Develops, implements and oversees formal and routinized processes for monitoring the organization’s internal and external environments to identify potential risks.
⊲ Monitors and evaluates labor market, industry and global trends at the macro level for their impact on the organization.
⊲ Examines potential threats to the organization and guides leadership accordingly.
⊲ Develops, implements and oversees a comprehensive enterprise risk management strategy.
⊲ Develops crisis management, contingency and business continuity plans for the HR function and the organization.
⊲ Communicates critical information about risks and risk mitigation to senior-level employees and external stakeholders.
⊲ Ensures that risk management activities and plans are audited and the results are used to improve risk
mitigation strategies.
⊲ Oversees workplace safety- and health-related investigations and reporting.
⊲ Establishes strategies to address workplace retaliation and violence.
⊲ Leads after-action debriefs following significant workplace incidents.
⊲ Evaluates the anticipated level of risk associated with strategic opportunities.
What is corporate social responsibility (CSR)?
Corporate Social Responsibility (CSR) represents the organization’s commitment to operate ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local and global community.
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Key Concepts:
⊲ HR-related activities that support sustainability
⊲ Examples include human rights; safety practices; labor standards; performance development; diversity, equity and inclusion; compensation; supply chain management
⊲ Organizational philosophies and policies
⊲ Examples include development; integration; shared value
⊲ Steps to implement CSR strategy
⊲ Examples include developing a business case; obtaining executive approval; selecting recipients; identifying and analyzing performance indicators; recruiting and organizing participants
⊲ Approaches to community inclusion and engagement
⊲ Examples include representation on community boards; joint community projects; employee volunteerism
PROFICIENCY INDICATORS FOR ALL HR PROFESSIONALS
⊲ Acts as a professional role model and representative of the organization when interacting with the community.
⊲ Identifies and promotes opportunities for HR and the organization to engage in CSR activities that align with the organization’s CSR strategy.
⊲ Identifies opportunities to incorporate environmentally and socially responsible business practices and shares them
with leadership.
⊲ Helps staff at all levels understand the societal impact of business decisions and the role of the organization’s CSR
strategy in improving the community.
⊲ Maintains transparency of HR programs, practices and policies, where appropriate.
⊲ Coaches managers to achieve an appropriate level of transparency in organizational practices
and decisions.
FOR ADVANCED HR PROFESSIONALS
⊲ Develops a CSR strategy that reflects the organization’s mission and values.
⊲ Coordinates with business leaders to integrate CSR objectives throughout the organization.
⊲ Coordinates with business leaders to develop and implement appropriate levels of corporate self-governance and transparency.
⊲ Partners with business leaders to develop strategies that encourage and support environmentally and socially
responsible business decisions.
⊲ Aligns CSR activities with the organization’s CSR strategy and engages the organization’s workforce
and the community at large.
⊲ Uses metrics to measure and report how the organization’s CSR programs enhance the employee value
proposition, positively impact HR programs or contribute to the organization’s competitive advantage.
What is U.S. Employment Law & Regulations?
U.S. Employment Law & Regulations refers to the knowledge and application of all relevant laws and regulations in the United States relating to employment—provisions that set the parameters and limitations for each HR functional area and for organizations overall.
Key Concepts:
⊲ Employment and Authorization to Work
⊲ Examples include Immigration Reform and Control Act of 1986; Form I-9 and E-Verify; green cards and visa
types (examples include H-1B, F-1); employment at will; background checks; Fair Credit Reporting Act of 1970
(FCRA); Deferred Action for Childhood Arrivals policy
⊲ Compensation
⊲ Examples include Davis-Bacon Act of 1931; Walsh-Healey Public Contracts Act of 1936; Fair Labor Standards
Act of 1938 (FLSA; Wage-Hour Bill; Wagner-Connery Wages and Hours Act) and amendments, including the
2020 overtime rule; Equal Pay Act of 1963 (amending FLSA); McNamara-O’Hara Service Contract Act of 1965;
Employee Retirement Income Security Act of 1974 (ERISA); Affordable Care Act’s Break Time for Nursing Mothers (2010); Lilly Ledbetter Fair Pay Act of 2009; Ledbetter v. Goodyear Tire & Rubber Co. (2007)
⊲ Employee Relations
⊲ Examples include National Labor Relations Act of 1935 (NLRA; Wagner Act; Wagner-Connery Labor Relations
Act); Labor Management Relations Act of 1947 (LMRA; Taft-Hartley Act); Labor-Management Reporting and Disclosure Act of 1959 and amendments; Electronic Communications Privacy Act of 1986; Worker Adjustment and Retraining Notification Act (WARN) of 1988; Employee Polygraph Protection Act of 1988; NLRB v. Weingarten (1975); Lechmere, Inc. v. NLRB (1992)
⊲ Job Safety and Health
⊲ Examples include Occupational Safety and Health Act of 1970; Drug-Free Workplace Act of 1988; Health Insurance Portability and Accountability Act of 1996 (HIPAA); guidelines on sexual harassment; workers’ compensation
⊲ Equal Employment Opportunity
⊲ Examples include Civil Rights Acts of 1964, including Title VII; Executive Order 11246 (1965); Age Discrimination
in Employment Act of 1967 (ADEA) and amendments; Equal Employment Opportunity Act of 1972; Rehabilitation
Act of 1973, including sections 501 and 503; Vietnam Era Veterans’ Readjustment Assistance Act of 1974;
Uniform Guidelines on Employee Selection Procedures (29 CFR Part 1607) (1978); Pregnancy Discrimination Act
of 1978; Americans with Disabilities Act of 1990 (ADA) and amendments; Genetic Information Nondiscrimination
Act of 2008 (GINA); Executive Order 13672 (2014); Griggs v. Duke Power Co. (1971); Phillips v. Martin Marietta
Corp. (1971); McDonnell Douglas Corp. v. Green (1973).
⊲ Leave and Benefits
⊲ Examples include Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA); Family and Medical
Leave Act of 1993 (FMLA; expanded 2008, 2010); Uniformed Services Employment and Reemployment Rights
Act of 1994 (USERRA); Patient Protection and Affordable Care Act, including rules for breaks and lactation rooms for nursing mothers; Americans with Disabilities Act of 1990 (ADA) and amendments, including leave as
a reasonable accommodation; Defense of Marriage Act (overruled in 2013); EEOC v. Verizon (2011); National
Federation of Independent Business v. Sebelius (2012)
⊲ Miscellaneous
⊲ Examples include drug screening; medical marijuana
PROFICIENCY INDICATORS FOR ALL HR PROFESSIONALS
⊲ Maintains a current working knowledge of relevant domestic and global employment laws.
⊲ Ensures that HR programs, practices and policies align and comply with laws and regulations.
⊲ Coaches employees at all levels in understanding and avoiding illegal and noncompliant HR-related behaviors
(examples include illegal terminations or discipline, unfair labor practices).
⊲ Brokers internal or external legal services for interpretation of employment laws.
FOR ADVANCED HR PROFESSIONALS
⊲ Maintains current, expert knowledge of relevant domestic and global employment laws.
⊲ Establishes and monitors criteria for organizational compliance with laws and regulations.
⊲ Educates and advises leadership on HR-related legal and regulatory compliance issues.
⊲ Oversees fulfillment of compliance requirements for HR programs, practices and policies.
⊲ Ensures that HR technologies facilitate compliance and reporting requirements (examples include tracking employee
accidents, safety reports).
What is the Political factor?
These factors determine the extent to which a government may influence the economy or a certain industry. For example, a government may impose a new tax or duty, which might cause the entire revenue-generating structures of organizations to change. Political factors include tax policies, Fiscal policy, trade tariffs, etc. that a government may levy around the fiscal year and it may affect the business environment (economic environment) to a great extent.
What is the Economic factor?
These factors are determinants of an economy’s performance that directly impact a company and have resonating long-term effects. For example, a rise in any economy’s inflation rate would affect how companies price their products and services. Adding to that, it would affect the purchasing power of a consumer and change demand/supply models for that economy. Economic factors include inflation rates, interest rates, foreign exchange rates, economic growth patterns, etc. It also accounts for the FDI (foreign direct investment) depending on certain specific industries undergoing this analysis.
What is the Social factor?
These factors scrutinize the social environment of the market and gauge determinants like cultural trends, demographics, population analytics, etc.
An example of this can be buying trends for Western countries like the USA, where there is high demand during the Holiday season.
What is the Technological factor?
These factors pertain to innovations in technology that may affect the operations of the industry and the market favorably or unfavorably. This refers to automation, research and development, and the amount of technological awareness that a market possesses.
What is the Environmental factor?
These factors include all those that influence or are determined by the surrounding environment. This aspect of the PESTLE is crucial for specific industries, particularly tourism, farming, agriculture, etc. Factors of a business environmental analysis include but are not limited to climate, weather, geographical location, global changes in climate, environmental offsets, etc.
What is the Legal factor?
These factors have both external and internal sides. There are specific laws that affect the business environment in a particular country, and there are certain policies that companies maintain for themselves. The Legal analysis takes into account both of these angles and then charts out the strategies in light of these legislations. For example, consumer laws, safety standards, labor laws, etc.
What is socialization?
Socialization in the workplace embodies multiple components necessary for growth and success; personal development, learning and skills mastery, and clear, positive communication all factor into employee engagement in the socialization process.
What is globalization?
Globalization is the trend of increasing interaction between people on a worldwide scale because of advances in transportation. And communication technology. Business and governmental requirements are also contributing factors in the new definitely if globalization.
It also describes how trade and technology have made the world into a more connected and interdependent place. Globalization also captures in its scope the economic and social changes that have come about as a result.
Examples include A manufacturer assembling a product for a distant market or a country submitting to international law.
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What is offshoring?
Offshoring is the relocation of a business process from one country to another—typically an operational process, such as manufacturing, or supporting processes, such as accounting.
example, a company manufacturing iron-rich machinery may offshore its manufacturing to a country where iron is abundant and labour cost is cheap.
What are the 3 types of validity?
- Criterion related validation
- Content related violation
- Construct related validation
What is criterion related validation?
In criterion-related validation, we want to determine if we can make accurate inferences (or predictions) about candidates’ expected job performance based on the scores they obtain on pre-employment tests.
In other words, individuals who score high on the test tend to perform better on the job than those who score low on the test.
The purpose of a criterion-related validation study is to provide validity evidence to support the effectiveness of a selection tool in the form of a statistical correlation between the test (predictor) and job performance (criterion).
What is content related validation?
Content related violation: you have to show that the content on the test are related to specific behaviors on the job.
Evidence of content validity generally “consists of a demonstration of a strong linkage between the content of the selection procedure and important work behaviors, activities, worker requirements, or outcomes of the job”
Example: One way to validate a pre-employment test is to measure its content validity, which reflects how well a test is measuring a quality or skill that is related to a certain job.
What is Construct related validation?
Construct validity refers to the degree to which a test or other measure assesses the underlying theoretical construct it is supposed to measure (i.e., the test is measuring what it is purported to measure).
Construct validity refers to how well a test measures what it’s supposed to. For instance, if you’re using a test to assess a candidate’s leadership abilities, construct validity is the extent to which your test accurately gauges this skill.
What is risk transfer?
Transferring risk is done by our cashing insurance policies. Employees are able to reduce their exposure to employee liability through the purchase of employment liability insurance.
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Risk transfer: risk management and control strategy and involves the contractual shifting of a pure risk from one party to another.
Example, purchase of an insurance policy by which a specified risk of loss is passed from the policy holder to the insurer.
What is the purpose of an HR audit?
- Improves employee morale
- Analyzes HR policies, programs and procedures for compliance
- Improve HR efficiency
What is the process of filing an EEOC Charge?
EEOC charge:
1. Employee will contact EEOC to file a charge through the EEOC website
2. Once EEOC receives the charge they will have a conversation with the employee then they will notify the company with a letter.
3. HR will work with company’s general counsel on next steps
4. Info will be send directly to EEOC and they will review the info and conduct an interview with the person that was charged
5. Does not automatically become a lawsuit, EEOC prefers a peaceful reconciliation before it goes to court
6. Looking for reasonable cause that discrimination under one of the protected classes has occurred
3 different outcomes as a result of the investigation once the EEOC has concluded:
1. Reasonable cause has been found
If reasonable cause is found, HR will work with a mediator to find out what needs to happen to move forward. If a peaceful decision is not found, employee can move forward in private court. If EEOC does not make a determination, the charging party can request a right to sue letter AFTER 180 days after the charge was filed. Employee has 90 days from receiving the right to sue letter to make a determination if they are going to move forward.
2. No determination
3. Reasonable cause has not been found
EEOC will issue the employer and employee a letter letting them know a reasonable cause has not been found. the charging party can request a right to sue letter AFTER 180 days after the charge was filed. Employee has 90 days from receiving the right to sue letter to make a determination if they are going to move forward.
What is PESTEL Analysis?
Technique for sorting out the important from the unimportant.
Political factors
Economic factors
Social factors
Technological factors
Environmental factors
Legal factors
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What is gap analysis?
Gap analysis analyzes where you are versus where you want to be. Can relate to strategic planning issues.
- Listing of attributes, competencies, and/or performance levels of present situation…“what is”
- Cross listing factors required to achieve future objectives…”what should be”
- Highlighting the gaps that exist and need to be filled…”where you want to be”
What are push and pull factors?
These are factors that imitate and influence the decision to immigrate or migrate. Either by attracting those candidates to another country or encouraging them relocate and by stimulating immigration.
A Pull factor originates externally as a motivating force toward globalization such as economic opportunities created by new trade agreements. Pull factors describe the reasons that an individual might settle in a particular country. Something that attracts people to a place or an activity: Warm weather and a low living costs are two of the pull factors drawing retirees to Texas.
Push factors describe the reasons that individuals might emigrate from their homes, including poverty, lack of social mobility, violence, or persecution. Push factors are commonly supposed to include higher wages, social services such as education or health care, or more nebulous concepts like equality or freedom.
What is a globalist?
Someone who believe that economy and foreign policy should be planned in an international way, rather than what’s best for just one country.
What are the 4 layers of diversity?
- Personality - (1st layer/center) represents how a person interacts with others and what his/her characteristics are, whether s/he is an introvert or extrovert, active or passive, a fast and dynamic doer or a silent and reflective thinker etc., and how all these aspects together affect the way the person is treated by others.
- Internal dimensions - (2nd layer) are based on six aspects that an individual can’t choose or control him/herself. They are given: age, gender, sexual orientation, physical ability, ethnicity and race. These aspects influence how the person is treated when s/he is dealing with diversity in communication and interaction with others. Ironically, these are the very attributes we think we can see, when we look at someone - and unfortunately, the sources from which most discrimination arises.
- External dimensions - (3rd layer) depict the outcomes of life experiences and decisions/choices taken. Altogether there are ten different areas (such as education, work experience, income, marital status, … ) through which people can be appreciated or degraded, connected or disconnected depending on how exactly these aspects are seen and applied.
- Organizational dimensions - (4th layer) include elements that are integrated into work and social interaction in an organization/school/ workplace. They contain a number of hierarchical as well as functional aspects of working life and how a person relates to them in the context of diversity.
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Risk equation
Risk is the combination of the probability of an event and its consequence. In general, this can be explained as: Risk = Likelihood × Impact.
Probability of occurrence times the magnitude of impact
What is a risk register?
Acts as a central repository for all risks identified by the organization and for each risk includes information such as source, nature, treatment option, existing countermeasures, recommended countermeasures and so on.
A record of information about identified risks. It can sometimes be referred to as a risk log.
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A risk register can be used to incrementally identify risk exposure and assign ownership.
It chronologically documents the information about and responsibility for managing specific risk. This information increases the transparency and watching in an organization’s risk management process.
is a document used as a risk management tool and to fulfill regulatory compliance acting as a repository for all risks identified and includes additional information about each risk, e.g., nature of the risk, reference and owner, mitigation measures. It can be displayed as a scatterplot or as a table.
What is a risk scorecard?
AKA reliability scorecard. It uses 8 critical areas to evaluate a given program’s reliability progress. Each element within a category can be given a risk rating if high, medium, or low (red, yellow, or green) or not evaluated (gray). 100-point scale.
- Risk assessment
- Reliability requirements and planning
- Training and development
- Reliability analysis
- Reliability testing
- Supply chain management
- Failure tracking and reporting
- Verification and validation
- Reliability improvements
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A Risk-based Scorecard gathers individual assessments of various risk characteristics.
It allows you to gather and structure the relevant information, find data gaps and generate a risk score. A customer can be “re-scored” over time to refresh the risk calculation.
Risk prioritization matrix (PAPA model)
A risk prioritization matrix (also referred to as an impact matrix or a probability matrix) is a useful technique that, by focusing on the likelihood of prospective risks, can aid in risk evaluation. Using a risk assessment matrix, you can quickly determine the risk of your project.
The Park, Adapt, Prepare, Act (PAPA) model is used when looking at these scenarios.
Park: The slow things that have a low probability of happening. It is important not to overlook these.
Adapt: The slow things that we know will happen or are highly likely to happen.
Prepare: The things that have a low probability of happening, but, if they do, they materialize fast
Act: Finally, these are the high probability and fast-moving things that the company needs to act on now in order to make sure the strategy will be relevant.
The United Nations Global Compact 10 Principes
Introduced in 2000.
Human Rights
Principle 1: business should support and respect the protection of internationally proclaimed human rights.
Principle 2: make sure they are not complicit in human rights abuses.
Labor
Principle 3: businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining.
Principle 4: eliminate all forms of forced and compulsory labor.
Principle 5: abolish child labor
Principle 6: eliminate discrimination in respect to employment and occupation.
Environment
Principle 7: businesses are asked to support a precautionary approach to environmental challenges.
Principle 8: undertake initiatives to promote greater environmental responsibility
Principle 9: encourage the development and diffusion of environmentally friendly technologies.
Anti-corruption
Principle 10: businesses should work against corruption in all its forms, including extortion and bribery.
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The UN Global Compact is a call to companies to align their strategies and operations with ten universal principles related to human rights, labour, environment and anti-corruption, and take actions that advance societal goals and the implementation of the SDGs. It also agrees to annually report on the progress, including specific actions taken.
The Sustainable Development Goals (SDGs) aim to transform our world. They are a call to action to end poverty and inequality, protect the planet, and ensure that all people enjoy health, justice and prosperity. It is critical that no one is left behind.
What are the 7 Caux principles?
The Caux Round Table (CRT) principles believe that the world business community should play an important in improving economic and social conditions.
Principle 1: Respect stakeholders beyond shareholders. A responsible business has responsibilities beyond its investors and managers.
Principle 2: Contribute to economic, social, and environmental development.
Principle 3: Build trust by going beyond the letter of the law.
Principle 4: Respect rules and conventions (respect local cultures and traditions everywhere the organization operates)
Principle 5: Support responsible globalization (supports open and fair multilateral trade).
Principle 6: Respect the environment
Principle 7: Avoid illicit activities (corruption, bribery, human/drug trafficking, etc).
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What is meant by SA 8000?
An auditable certification standard that encourages organizations to develop, maintain, and apply socially acceptable practices in the workplace. One of the first certification standards (1997) focusing on human rights and labor relationship, that provides process and performance criteria. Based on both UN and International Labor Organization (ILO) standards.
10 key areas are the focus:
1. Human rights and labor relations
2. Child labor
3. Forced or compulsory labor
4. Health and safety
5. Freedom of association and right to collective bargaining
6. Discrimination
7. Disciplinary practices
8. Working hours
9. Remuneration
10. Management systems
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SA 8000 is a global social accountability standard for decent working conditions developed by Social Accountability International in New York.
Addresses issues including forced and child labor, occupational health and safety, freedom of association and collective bargaining, discrimination, disciplinary practices, working hours, compensation, and management systems.
What is ISO 26000
ISO 26000 is defined as the international standard developed to help organizations effectively assess and address social responsibilities that are relevant and significant to their mission and vision; operations and processes; customers, employees, communities, and other stakeholders; and environmental impact.
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What is outsourcing?
Outsourcing is a process where business contracts work with a third-party provider, which can be in their own home country or across borders.
Example: having your call center operations in another country.
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What is single loss expectancy (SLE)?
Single-loss expectancy is the monetary value expected from the occurrence of a risk on an asset. It is related to risk management and risk assessment. Single-loss expectancy is mathematically expressed as: Where the exposure factor is represented in the impact of the risk over the asset, or percentage of asset lost.
The formula for the SLE is:
SLE = asset value × exposure factor
While the SLE is a valuable starting point it only represents the single loss an organization would suffer.
What is annualized loss expectancy (ALE)?
Annualized loss expectancy method provides a comprehensive and objective basis for organizations to make informed decisions about risk management and allocate resources effectively to minimize financial losses. It provides organizations with the information they need to make decisions about resource allocation, investment in new technologies, and implementing policies and procedures.
ALE = SLE x ARO
Now we can combine the monetary loss of a single incident (SLE) with the likelihood of an incident (ARO) to get the annualized loss expectancy (ALE). The ALE represents the yearly average loss over many years for a given threat to a particular asset, and is computed as follows: ALE = SLE x ARO.
What is Annualized Rate of Occurrence (ARO)?
Annualized Rate of Occurrence, also known as ARO, refers to the expected frequency with which a risk or a threat is expected to occur. ARO is also commonly referred to as Probability Determination.
To accurately come up with an ARO figure, you’ll need to have a figure for the predicted number of occurrences of an incident and the number of years in question. Divide the first figure by the second figure, and you’ll be left with your ARO. Essentially, Annual Rate of Occurrence is a ratio of incidents to years.
The probability that a risk will occur in a particular year. For example, if insurance data suggests that a serious fire is likely to occur once in 25 years, then the annualized rate of ocurrence is 1/25 = 0.04
What is the relationship shop between global integration and local responsiveness.
International strategy: all products/services, processes, and strategy at LL levels are developed in the home country even though the organization may export products or services to other countries.
Multidomestic strategy: headquarters has little influence over remote subsidiary units. They develop their own strategies and goals.
Global strategy: headquarters develops and disseminates strategies, products, and services. All offerings are the same worldwide. Local entities can influence global image or products very little. Customizable elements are kept to a minimum.
Transnational strategy: remote locations are chosen for their access to supplies, vendors, and local markets. Subsidiaries are permitted to make adaptations to global products for appeal to local markets. Knowledge and practices are shared among all units in the organization. HQ assumes responsibility for certain factors such as advertising and strategies.
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Types of organizational risks
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What are the Global Reporting Initiative (GRI) G4 Sustainability Reporting Guidelines?
What are the Global Reporting Initiative (GRI) G4 Sustainability Guidelines are the universally accepted standards for global reporting or a company’s sustainability effort and progress.
Divided into 2 parts:
1. Reporting principles and dyandard disclosures (criteria for preparing the sustainability reporting)
2. Implementation manual (explanations for applying the principles for the reporting)
GRIs other supplementary guidelines:
1. Assistance with G4 efforts
2. Guidelines for sped of business sectors such as oil and gas, financial services, food processing, media, and so on
3. Interactive business that are online for assisting with specific concerns and issues such as risk Management and supply chain
4. A sustainability disclosure database or visit g URL links to corporate CSR reports and scorecards.
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