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Fundamentals of Human Resource

Management
Fifth Edition

Chapter 3
Human Resource
Strategy and
Performance

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Writing Activity (p. 84-85) - Part 1
• Siemens Builds a Strategy-Oriented HR System
• For now, since we have yet to completely finish
Ch. 3, answer 3-18
• 3-18: provide a brief illustrative outline of a
strategy map for Siemens
• You can be as creative as you want, or you can
make it as simple as possible
• Example is in businesscacc.weebly.com

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HR as a Profit Center (p. 74)
• Analytical HR: collecting
data for improvements
• Human capital investment
analysis
• Talent value model
• Talent supply chain: using
special analytical models
to predict store volume

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Using HR Audits (p. 75)
• HR audit: an analysis by which an organization
measures where it currently stands and
determines what it has to accomplish to improve
its HR function
• In other words, it finds out how effective HR is,
and what needs to be done to improve it

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• Roles and head count
• Compliance with federal, state, local employment–
related legislation
• Recruitment and selection (e.g., background checks)
• Compensation (e.g., policies, incentives, benefits))
• Employee relations (e.g., employee recognition)
• Mandated benefits (e.g., Canadian Pension Plan,
unemployment insurance, workers’ compensation)

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• Group benefits (insurance, time off, flexible benefits,
and so on)
• Payroll
• Documentation and record keeping
• Training and development (e.g., new employee
orientation, workforce development, technical and
safety, career planning)
• Employee communications (e.g., employee handbook,
newsletter, meetings)
• Termination and transition policies and practices

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Evidence-Based HR
• Using data, facts,
analytics, scientific
rigor & evaluation
• Objective: logical
• Experimentation: testing how the manager can
understand the reasons for results, by using an
“experimental” group and a “control” group
• Predict: forecast; see what might happen later

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Building High-Performance Work Systems
• HPWS: a set of HRM policies and practices that
promote organizational effectiveness
• High Performance Work Practices (p. 77)
– Pay more
– Train more
– Sophisticated recruitment
– More self-managing work teams
• Human Resource Metrics in Table 3.1

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Comparison of High-Performance vs. Low-
Performance (1 of 2)
TABLE 3.1 Examples Selected from Several Studies of How Recruitment, Selection, Training,
Appraisal, Pay, and Other Practices Differ in High-Performance and Low-Performance Companies
Higher-Performance Companies’
Lower-Performance Companies’ HR Practice Averages
HR Practice Averages (e.g., (e.g.,company performance in
company performance in terms of terms of sales/employee,
sales/employee, innovation, and innovation, and employee
blank employee retention)* retention)*
Recruitment: Average number of qualified 8 37
applicants per position
Selection: Average percentage of employees 4% 30%
hired based on a validated selection test
Training: Average number of hours of training for 35 Hours 117 Hours
new employees
Appraisal: Average percentage of employees 41% 95%
receiving a regular performance appraisal
Pay Practices: Average percentage of the 28% 84%
workforce eligible for incentive pay
Use of Teams: Average percentage of the 11% 42%
workforce routinely working in all teams,
semiautonomous, cross functional, or project
teams

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Comparison of High-Performance vs. Low-
Performance (2 of 2)
TABLE 3.1 Examples Selected from Several Studies of How Recruitment, Selection, Training,
Appraisal, Pay, and Other Practices Differ in High-Performance and Low-Performance Companies
Lower-Performance Companies’ Higher-Performance Companies’
HR Practice Averages HR Practice Averages
(e.g.,company performance in (e.g.,company performance in
terms of sales/employee, terms of sales/employee,
innovation, and employee innovation, and employee
blank retention)* retention)*
Self-Directed Teams: Percent of companies with 9% 70%
semiautonomous or autonomous work teams
Operational Information Sharing: Employees 62% 82%
receive relevant operating performance
information
Financial Information Sharing: Employees 43% 66%
receive relevant financial performance information
*Findings rounded.

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Building High-Performance Work Systems
• Table 3.1 summary:
1. It shows examples of HR metrics, such as
hours of training per employee and qualified
applicants per position
2. It shows what employers must do to have
high-performance systems; e.g., training
employees
3. It encourages employee involvement and
self-management

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Employee Engagement (p. 78-79)
• Employee engagement: being psychologically
involved in, connected to, and committed to
getting one’s job done
• Engaged employees experience a high level of
connectivity with their work tasks, and therefore
work hard to accomplish their task-related goals
• Engaged employees do their jobs as if they own
the company

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Employee Engagement (p. 78-79)
• Why is employee engagement important?
• Businesses with the highest levels of employee
engagement have an 83% chance of performing
above the company median; lowest levels have
only 17% chance at performing above average
• Employee engagement is correlated with
employees’ productivity, sales, product quality and
revenue growth (26% higher)
• Engaged employees only lose 7.5 days per year,
but disengaged employees lost about 14 days
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Employee Engagement (p. 78-79)
• About 30% employees are engages, 50% were
not engaged, and 20% are actively disengaged
• So what can managers do to improve employee
engagement?
– Provide supportive supervision
– Ensure employees understand their roles
– Ensure employees know their efforts
– Provide a sense of accomplishment
– Hold managers responsible

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Employee Engagement (p. 78-79)
• How can we measure employee engagement?
– Send out employee engagement surveys
– Monitoring employee engagement
• 3-part shorthand method: “say, stay & strive”
1. Accenture assesses how positively the
employee speaks about the company and
recommends it to others
2. They look at who stay with the company & why
3. They also look at how employees strive
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Summary
1. Strategic planning is important to all managers
2. Each function or department needs its own
functional strategy
3. The manager will want to gather and analyze
data prior to making decisions
4. High-performance work system is a set of HRM
policies
5. Employee engagement is important
6. HR Strategy involves six steps
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Writing Activity (p. 84-85) – Part 2
• Siemens Builds a Strategy-Oriented HR System
• Since we have completed Ch. 3, answer 3-16 and
3-17; you can use the videos to guide you again
• Also, make sure you complete 3-18, if you haven’t
done so yet

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Fundamentals of Human Resource
Management
Fifth Edition

Chapter 4
Job Analysis and
Talent
Management

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Learning Objectives (1 of 2)
1. Define talent management, and explain why it is
important.
2. Discuss the process of job analysis, including
why it is important.
3. Explain how to use at least three methods of
collecting job analysis information, including
interviews, questionnaires, and observations.

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Learning Objectives (2 of 2)
4. Explain how you would write a job description.

5. Explain how to write a job specification.

6. List some human traits and behaviors you would


want an employee to bring to a job if employee
engagement is important to doing the job well.

7. Explain how to write competency-based models.

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Define talent management and explain
why it is important

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Introduction (p. 88)
Meg was pleased when her boss
promoted her to accounting
supervisor. However, a month into
the job, she found out the the past
month’s payroll reports were
wrong.
How could the payroll clerk not
know how to do this properly?
The president simply tells her,
“You’d better get your people
organized.” So we’ll be looking
into what she did to fix this
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The Talent Management Process (p. 89)
• Talent management: the holistic, integrated and
result and goal-oriented process of planning,
recruiting, selecting, developing, managing and
compensating employees
1. HR should begin with goals and desired results
2. HR should have holistic and interrelated training
3. HR should focus on talent management
4. HR should use special talent management
software; e.g., Oracle & SilkRoad Technology
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Discuss the process of job analysis,
including why it is important

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The Basics of Job Analysis
• Organizational Chart: p. 90, Figure 4.1
• Job Analysis: procedure for determining the duties
and skill requirements of a job and the kind of
person who should be hired for it
• Job Descriptions: a list of what the job entails
• Job Specifications: what kind of people to hire for
the job
• The job analysis looks at 6 types of information

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Types of Information in Job Analysis (p. 90)
1. Work activities; e.g., selling, teaching, cleaning
2. Human behaviors; e.g., communicating, walking
3. Machines, tools, equipment and work aids
4. Performance standards; e.g., work quality
5. Job context; e.g., physical working conditions,
work schedule, incentives
6. Human requirements; e.g., education, work
experience, personality and interests

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Uses of Job Analysis Information

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Steps in Job Analysis
1. Identify the use of the information and how to
collect it
2. Review relevant background information about
the job
3. Select a sample of positions to focus on
4. Analyze the job
5. Verify information with worker and supervisors
6. Develop a job description and job specification

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Workflow Analysis

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Business Process Reengineering (p. 92)
• Redesigning processes by combining steps
1. Identify a business process to be redesigned
2. Measure the performance of the existing processes
3. Identify opportunities to improve these processes
4. Redesign and implement a new way of doing the
work
5. Assign ownership of sets to an individual or a team
to support the new arrangement
For example: having new equipment or new policy
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Job Redesign (p. 93)
• Job enlargement: assigning workers additional
same-level activities; e.g., making an employee do
similar tasks
• Job rotation: systematically moving workers from
one job to another, or one work schedule to
another sometimes
• Job enrichment: redesigning jobs in a way that
increases the opportunities for the worker to
experience feelings of responsibility, achievement,
growth and recognition
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Steps in Job Analysis
1. Identify the use of the information and how to
collect it
2. Review relevant background information about
the job
3. Select a sample of positions to focus on
4. Analyze the job
5. Verify information with worker and supervisors
6. Develop a job description and job specification

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Explain how to use at least three methods
of collecting job analysis information,
including interviews, questionnaires, and
observations

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Interviewing (1 of 2)
The Interview (typical questions asked)
• What is the job being performed?
• What exactly are the major duties of your position?
• What physical locations do you work in?
• What are the education, experience, skill, and (where
applicable) certification and licensing requirements?
• What are the job’s responsibilities and duties?

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Interviewing (2 of 2)
The Interview (typical questions asked)
• What are the basic accountabilities or performance
standards that typify your work?
• What are your responsibilities?
• What are the environmental and working conditions
involved?
• What are the job’s physical demands? The emotional and
mental demands?
• Are you exposed to any hazards or unusual working
conditions?
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Methods for Collecting Job Analysis
Information (p. 95-99)
• Questionnaires (p. 96-97, Figure 4.4)
• Observation: might cause reactivity (change)
• Participant diary/logs: listings made by workers
• Quantitative job analysis techniques: a
questionnaire used to collect data concerning jobs
• Electronic job analysis methods: companies such
as Accenture, SilkRoad Technology and Oracle to
send out online surveys/questionnaires and
interviews through FaceTime and Skype

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Explain how you would write a job
description

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Writing Job Descriptions (p. 99-102)
1. Job Identification (p. 100, Figure 4.5)
2. Job Summary
3. Responsibilities and Duties (p. 101)
4. Authority of Incumbent: lead/manager/supervisor
5. Standards of Performance
6. Working Conditions
7. Job Specification

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Sample Job Description

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Knowing the Employment Law (p. 104-105)
• ADA Considerations
• Reasonable Accommodations
• Standards of Performance and Working Conditions

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Writing Job Specifications (p. 109)
• Specifications for Trained vs. Untrained Personnel
– Experienced employees: do not need much
training; hiring them is straightforward
▪ Ask about length & quality of previous work
– Inexperienced employees:
▪ Ask about traits, personalities, interests and
sensory skills; e.g., dexterity and vision
• Specifications Based on Judgment
– Educated guesses, common sense
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Writing Job Specifications (p. 110)
• Job Specifications Based on Statistical Analysis
– A better but more difficult approach compared
to using judgment
– Has 5 steps:
1. Analyze the job
2. Select personal traits
3. Test candidates for these traits
4. Measure job performance
5. Analyze the trait and job performance
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List some human traits and behaviors you
would want an employee to bring to a job
if employee engagement is important to
doing the job well

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Employee Engagement Guide (p. 110-112)
• Employee engagement comes from traits such as
adaptability, passion for work, emotion maturity,
positive attitude, self-representation &
motivation (achievement orientation)
• The employee engagement manager’s job
description (p. 111, Figure 4.8)
– Key responsibilities
– Education and experience
– Preferred experience

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Explain how to write competency-based
models

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Using Competencies Models
• Competency models (or profiles): guides for
hiring and training employees; e.g., a manager is
in charge of recruiting, developing and
appraising subordinates

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Example Competency Model (p. 113)

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How to Write Competencies Statements
• Answer open-ended questions (not yes/no)
• Statement: “In order to perform this job
competently, the employee should be able to…”
• Three elements:
– Name and brief description
– Observable behaviors
– Proficiency levels (skills level)

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Summary
1. The talent management process
2. The basics of job analysis
3. The various methods for collecting job analysis
information
4. Writing job descriptions
5. Writing job specifications
6. Human traits and behaviors that predict employee
engagement
7. Competency-based job analysis

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Writing Activity (p. 84-85) – Part 2
• Siemens Builds a Strategy-Oriented HR System
• Since we have completed Ch. 3, answer 3-16 and
3-17; you can use the videos to guide you again

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2nd ePortfolio submission (out of 7)
Writing Activity (p. 118)
• Answer questions 4-17 to 4-19
• For 4-19, you can write or make an
example of a job posting for a store
manager’s job (examples: 100-101,
108 & 111-112)
• You can also use templates online or
Word
• Send it to mariakasuncion@gmail.com

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Copyright

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