Human Resource Development

Human Resource Strategic Planning

Is the process of providing capable and motivated people who will carry out the organizations mission and strategy Key processes include:

Staffing Training and career development Performance appraisal

Rewards

Staffing

Begins with job analysis to understand the positions for which people are needed

Process of job analysis yields information to define a job, how it relates to other jobs, and what characteristics are needed by incumbents Used for:

job descriptions job evaluation and classification (how much is it worth) performance appraisal determining training & development needs

Used to create job specifications: job requirements and minimum qualifications

Staffing Three Key Parts

1. Recruiting 2. Selection 3. Socialization

Recruitment
Recruitment = attracting qualified applicants

Three steps
1. Advertise vacancy 2. Initial contact with potential candidates 3. First screening

Internal versus external Use of realistic job preview

Selection
1. Application materials
E.g., resumes, application forms Commonly used yet open to perceptual distortions

2. Employment interviews
3. Tests

E.g., intelligence, honesty, mechanical, performance tests, assessment centres Must be valid in terms of job requirements E.g., reference check, verification of education

4. Background investigation

5. Decision to hire

Socialization
Socialization = orienting new employees to the organization and its work units E.g., get to know policies and procedures, meet co-workers, learn companys history

Training
Training = activities aimed at providing opportunity to acquire and improve job-related skills

On-the-job training:

Internships Apprenticeships Job rotation Lectures Videos Simulations E-training

Off-the-job training:

Career Planning and Development

Five-step process in formal career planning:

1. 2. 3. 4. 5. Personal assessment Analysis of opportunities Selection of career objectives Selection and implementation of plan Evaluation of results and revision of plan as necessary

Career Stages Linked with Sheehys Adult Life Cycle

In traditional career path:

Entry and establishment is like provisional adulthood

Development of skills, socialization, mentoring Seek growth and responsibility

Advancement is like first adulthood

Maintenance, withdrawal, retirement similar to second adult stage

May change or stabilize, reach career plateau

But traditional route no longer typical

Performance Appraisal
Performance appraisal = process of systematically evaluating an employees performance and providing feedback on which performance adjustments can be made Why do it? Define specific criteria against which performance measured Accurate measurement of past performance Justify rewards Determine development needed to improve performance

Performance Appraisal (contd)

Uses

Evaluative decisions Feedback and development decisions

Done by:

Traditionally - supervisor Potentially - anyone in a position to observe the persons performance

E.g., 360 degree evaluation

Appraisal dimensions

Output measures Activity measures

Performance Appraisal Methods

Comparative methods

Ranking

Rank order employees from best to worst Each employee directly compared to each other

Paired comparison

Forced distribution

Forces certain proportion of employees into each performance category

Performance Appraisal Methods

Absolute methods

Graphic rating scales

Dimensions thought relevant to performance are scored Incidents of unusual success or failure are tracked Observable job behaviours evaluated Joint goal-setting between supervisor and subordinate focused on subordinates job

Critical incident diaries

Behaviourally anchored rating scales

Management by objectives

Measurement Errors in Appraisals

Halo error Leniency/strictness error Central tendency error Recency error Personal bias error Cultural bias error

Improving Performance Appraisals

For improved usefulness

Train raters Regular ongoing observation of employees Limit number appraised by one supervisor Clear standards Avoid ambiguous terms like average

Improving Performance Appraisals

For legal defensibility

Dimensions based on accurate job analysis Expectations clearly understood by employees Based on observable evidence and documentation, avoiding abstract concepts open to interpretation System validated Appeal process in place

Rewards

Extrinsic or intrinsic Pay is the most common extrinsic reward Pay can attract people to organization and motivate high performance But dissatisfaction with pay can lead to major problems

Rewards

Merit pay can motivate high performance if:

Based on accurate measures of individual performance It clearly discriminates between high and low performers in terms of pay received Merit is handled separately from cost-of-living adjustments

Creative Pay Practices

Skill-based pay Gain-sharing plans Profit-sharing plans Employee stock ownership plans Lump-sum pay increases Flexible benefit plans