Staffing Chapter 12 MANAGEMENT Meeting and Exceeding Customer Expectations EIGHTH EDITION Prepared by Deborah Baker Texas Christian University Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved learning objectives Explain the importance of the staffing function List and explain the eight elements of the staffing process Describe the three primary staffing environments Describe the four activities related to human resource planning List and describe the primary screening devices Chapter 12 used in the selection process Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved learning objectives (continued) Explain the differences and similarities between training and development Explain the purpose of a performance appraisal Describe the four primary employment decisions Explain the purposes and components Chapter 12 of compensation Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved Staffing 11 Staffing Staffing Attract, hire, train, develop, reward, and retain the right number of good people, helping them meet their needs while they help the organization meet its needs Attract Attract Chapter 12 Hire Hire Develop Develop Train Train Reward Reward Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved Retain Retain 22 The Staffing Process 1 Human Human resource resource planning planning 2 Recruiting Recruiting 3 Selection Selection 4 Orientation Orientation 5 Training Training and and development development 6 Performance Performance appraisal appraisal Chapter 12 7 Compensation Compensation 8 Employment Employment decisions decisions Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 33 Staffing Environments Equal Employment Opportunity Legal Legal Environment Environment Topics Topics Affirmative Action Chapter 12 Sexual Harassment Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 33 Equal Employment Opportunity It is unlawful… To fail or refuse to hire or to discharge an individual solely on the basis of race, color, religion, sex, age, national origin, or handicap Chapter 12 To limit, segregate, or classify employees or applicants for employment in any way that would tend to deprive the individual of employment opportunities solely on the basis of race, color, religion, sex, age, national origin, or handicap Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 33 Equal Employment Opportunity Company Defenses Against Discrimination Accusations  It is job related  It is a business necessity  It acknowledges a bona fide occupational qualification Chapter 12  It honors a bona fide seniority system Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 33 Equal Employment Opportunity Protected Groups  Women  Disabled or differently abled  Minorities – Hispanic-surnamed Americans – Asians and Pacific Islanders – African Americans not of Hispanic origin Chapter 12 – Native Americans – Native Alaskans Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 33 Equal Employment Opportunity Disparate Disparate Impact Impact The result of using employment criteria that have a significantly greater negative effect on some groups than on others Remedies: Reinstatement and recovery of lost pay Chapter 12 Affirmative Affirmative Action Action A plan to give members of specific groups priority in hiring or promotion Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 10 Performance Appraisal 77 Purposes Purposes  Success of previous training and need for additional training Chapter 12      Performance improvement plans Rewards or warning Additional growth Relationship enhancement with supervisor Understanding of expectations Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 32 Components of Appraisal Systems 77  The criteria against which the employee’s performance is measured  The rating that summarizes how well the employee is doing Chapter 12  The methods used to determine the ratings Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 33 77 Subjective Appraisal Systems Excellent Attitude  Communication Chapter 12 Fair   Time Management Knowledge of Job Good Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved  34 Poor 77 Objective Appraisal Systems Performance Aspect Rating Chapter 12 Self-Improvement Consider the desire to expand present capabilities in both depth and breadth  No opportunity to observe Has no interest in learning additional duties Has limited interest in expanding job assignments Has little interest in preparing for advancement Has demonstrated interest in additional assignments Has shown some interest in and preparation for advancement Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved Has shown extra effort to learn additional duties Has undertaken advancement preparation 35 Is very inquisitive concerning all phases of jobrelated assignments Has undertaken advancement preparation Legality of Appraisals Chapter 12 77    The instruments used are invalid   The scoring method is not standardized  Evaluative criteria are not developed according to EEOC guidelines  Employees are not warned of declining or substandard performance  The evaluation is not based on the employee’s current duties Standards are not job related and objective The results of the process have a disparate impact on women, the disabled, or minorities People who are performing similar jobs are evaluated differently Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 36 88 Implementation of Employment Decisions Promotions Promotions Transfers Transfers Demotions Demotions Chapter 12 Separations Separations Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 37 88 Separations Resignations Resignations Voluntary Voluntary Retirements Retirements Layoffs Layoffs Involuntary Involuntary Chapter 12 Firings Firings Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 38 88 Alternatives to Layoffs Hiring Hiring freezes freezes Job Job sharing sharing Restricting Restricting overtime overtime Retraining Retraining and and redeploying redeploying Reducing Reducing hours hours Chapter 12 Converting Converting managers managers to to consultants consultants Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 39 88 The Cost of Layoffs Processing Processing paperwork paperwork Closing Closing facilities facilities Severance Severance costs costs Unemployment-insurance Unemployment-insurance premiums premiums Chapter 12 Psychological Psychological costs costs Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 40 Compensation 99 Salaries Salaries Wages Wages Benefits Benefits Gain Gain sharing sharing Bonuses Bonuses Profit Profit sharing sharing Chapter 12 Awards Awards Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 41 99 Purposes of Compensation Attract Attract Talented Talented Performer Performer ss Chapter 12 Retain Retain Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved Develop Develop 42 99 Purposes of Compensation  Encourage workers to improve their performance  Anchor valued employees to the company Chapter 12  Give employees a sense of security Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 43 99 Job Compensation Determinations  When designing a compensation package for employees, managers should be concerned about: – being equitable – meeting legal and strategic requirements Chapter 12 – linking compensation philosophy to various market factors Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 44 Benefits 99 Legally Legallyrequired required  Social Security  Unemployment compensation  Worker’s compensation insurance Chapter 12 Voluntary Voluntary        Variable work schedules Life & health insurance Pension & savings plans Sick days Leaves of absence Profit sharing & bonuses EAPs Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 45 Executive Compensation 99 Perk Perk Chapter 12         A payment or benefit received in addition to a regular wage or salary Shares of company’s stock Stock options Bonuses Use of airplane and suites Generous travel and lodging Paid-for housing No-interest loans Club and association memberships Copyright ©2005 by South-Western, a division of Thomson Learning All rights reserved 46 ... EmploymentServices Servicesand andAgencies Agencies Advertisements Advertisements Current CurrentEmployee EmployeeRecommendations Recommendations Job JobFairs Fairs Community Communityand andProfessional... the differences and similarities between training and development Explain the purpose of a performance appraisal Describe the four primary employment decisions Explain the purposes and components... knowledge and and skills skills Increase Increase motivation motivation to to succeed succeed Improve Improve chances chances for for advancement advancement Chapter 12 Improve Improve morale morale and