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This chapter explores the importance of human resource management (hrm) as a strategic tool for organizations. It discusses high-performance work practices, including self-directed teams, job rotation, skills training, and employee involvement. The chapter also covers the human resource management process, environmental factors affecting hrm, and recruitment and selection. It explains the importance of hr planning, assessing current human resources, and meeting future needs. The selection process is discussed, including validity and reliability of selection devices and types of selection devices.
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Selecting, training, and evaluating the work force z^
HRM helps establish an organisation’s sustainablecompetitive advantage. z^
High performance work practices lead to both highindividual and high organisational performance. 3
^ Self-directed work teams ^ Job rotation ^ High levels of skillstraining ^ Problem-solving groups ^ Total quality managementprocedures and processes ^ Encouragement ofinnovative and creativebehavior ^ Extensive employeeinvolvement and training ^ Implementation ofemployee suggestions ^ Contingent pay based onperformance ^ Coaching and mentoring ^ Significant amounts ofinformation sharing ^ Use of employee attitudesurveys ^ Cross-functionalintegration ^ Comprehensive employeerecruitment and selectionprocedures 4
Figure 11.
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An organisation that represents workers and seeks toprotect their interests through collective bargaining.
A contractual agreement between a firm and a unionelected to represent a bargaining unit of employees ofthe firm in bargaining for:^ Wage, hours, and working conditions. 6
The requirement that organisations take proactive stepsto ensure the full participation of protected groups in itsworkforce.
Limit managerial discretion in hiring, promoting, anddischarging employees. 7
The process by which managers ensure that they havethe right number and kinds of people in the right places,and at the right times, who are capable of effectively andefficiently performing their tasks. Helps avoid sudden talent shortages and surpluses. Steps in HR planning:^ Assessing current human resources ^ Assessing future needs for human resources ^ Developing a program to meet those future needs 8
A review of the current make-up of the organisation’scurrent resource status Job Analysis^ An assessment that defines a job and the behaviorsnecessary to perform the job^ Knowledge, skills, and abilities (KSAs) ^ Requires conducting interviews, engaging in directobservation, and collecting the self-reports of employeesand their managers.
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The process of screening job applicants to ensure thatthe most appropriate candidates are hired.
An exercise in predicting which applicants, if hired, willbe (or will not be) successful in performing well on thecriteria the organisation uses to evaluate performance. Selection errors:^ Reject errors for potentially successful applicants ^ Accept errors for ultimately poor performers 14
Figure 11. 15
A proven relationship between the selection device usedand some relevant criterion for successful performancein an organisation.^ High tests scores equate to high job performance; lowscores to poor performance.
The degree of consistency with which a selection devicemeasures the same thing.^ Individual test scores obtained with a selection device areconsistent over multiple testing instances. 16