Contemporary Management Chapter 12: HRM

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Questions and Answers

Which law was enacted first to address equal pay for men and women performing equal work?

Title VII of the Civil Rights Act

Pregnancy Discrimination Act

Equal Pay Act (correct)

Americans with Disabilities Act

What does the Age Discrimination in Employment Act prohibit?

Discrimination based on national origin

Mandatory retirement for workers under 40

Employment discrimination against pregnant women

Discrimination against workers over the age of 40 (correct)

Which of the following laws requires accommodations for individuals with disabilities?

Equal Pay Act

Civil Rights Act

Pregnancy Discrimination Act

Americans with Disabilities Act (correct)

Which law prohibits employment discrimination based on race, religion, and sex?

Title VII of the Civil Rights Act (A) Signup and view all the answers

What year was the Pregnancy Discrimination Act enacted?

1978 (C) Signup and view all the answers

Which law allows the awarding of punitive and compensatory damages in cases of intentional discrimination?

Civil Rights Act of 1991 (A) Signup and view all the answers

The Immigration Reform and Control Act prohibits discrimination on the basis of which factor?

Natural origin (D) Signup and view all the answers

What does the Equal Employment Opportunity Commission (EEOC) primarily enforce?

Employment laws (D) Signup and view all the answers

What is the primary purpose of supply forecasts in human resource planning?

To assess current and future employee qualifications and availability. (C) Signup and view all the answers

What is a major advantage of outsourcing for a firm?

Lower costs associated with human capital. (D) Signup and view all the answers

Which component is NOT part of job analysis?

Job modification. (D) Signup and view all the answers

What is the primary goal of the Position Analysis Questionnaire (PAQ)?

To gather comprehensive information about job roles and responsibilities. (C) Signup and view all the answers

Which is NOT a common method of external recruiting?

Referral programs among current employees. (B) Signup and view all the answers

Which of the following is a disadvantage of external recruiting?

Potentially high costs involved. (D) Signup and view all the answers

What does internal recruiting primarily involve?

Promoting existing employees to fill vacant positions. (C) Signup and view all the answers

Which is a benefit derived from external recruiting?

Gaining access to up-to-date skills and knowledge. (B) Signup and view all the answers

What is one main advantage of internal recruiting?

It keeps managers familiar with their candidates. (D) Signup and view all the answers

What is a key disadvantage of relying on internal recruiting?

It may limit the pool of potential candidates. (B) Signup and view all the answers

The purpose of a realistic job preview (RJP) is primarily to:

Provide a balanced view of the job's pros and cons. (D) Signup and view all the answers

Reliability in testing refers to:

The consistency of the measurement taken over time. (A) Signup and view all the answers

What is the primary focus of performance training in organizations?

Ensuring employees perform their current jobs efficiently. (C) Signup and view all the answers

When assessing training needs, what is the primary goal of a needs assessment?

To identify which employees need training and what skills they require. (B) Signup and view all the answers

What is considered a negative implication of not using external recruiting?

Stagnation of ideas and processes in the organization. (C) Signup and view all the answers

What aspect does validity measure in the context of recruitment tools?

Whether a tool accurately measures what it claims to assess. (D) Signup and view all the answers

What is the primary focus of performance appraisal?

Evaluation of employees’ job performance and contributions (B) Signup and view all the answers

In the context of performance feedback, which component is least likely included in the process?

Mandatory employee training sessions (C) Signup and view all the answers

Which of the following best describes informal appraisals?

Unscheduled assessments of ongoing performance (D) Signup and view all the answers

What is an essential tip for effective performance feedback?

Highlight specific behaviors that can be improved (A) Signup and view all the answers

What should be avoided to maintain effective performance feedback?

Providing personal criticisms (C) Signup and view all the answers

Which of the following statements is true regarding formal appraisals?

They are conducted at predetermined times with specified performance dimensions (D) Signup and view all the answers

What is the primary goal of strategic human resource management?

To foster competitive advantage through HR alignment with organizational goals (C) Signup and view all the answers

What role does a manager play in the performance feedback process?

They share appraisal information and plan for performance improvements with employees (C) Signup and view all the answers

Which of the following best describes the term 'human resource management' (HRM)?

Activities conducted by managers to enhance employee retention and performance (A) Signup and view all the answers

Which of the following is a misconception about effective feedback?

All feedback should focus solely on past performance (C) Signup and view all the answers

What is a crucial aspect to consider when designing performance appraisal and feedback procedures?

Balancing subjective and objective measures of performance (C) Signup and view all the answers

When managing levels of pay and benefits, which issue is commonly faced by managers?

Determining appropriate benchmarks that ensure market competitiveness (C) Signup and view all the answers

Which factor is essential in ensuring effective training and development of organizational members?

Customization of training programs based on job requirements (C) Signup and view all the answers

What does equal employment opportunity (EEO) primarily focus on?

Ensuring all citizens have the right to employment regardless of personal attributes (D) Signup and view all the answers

In strategic human resource management, which component is essential for achieving organizational goals?

Ensuring synergy between HRM systems and organizational architecture (B) Signup and view all the answers

When faced with labor relations issues, which strategy should managers employ?

Foster open dialogue to address employees' concerns (D) Signup and view all the answers

Which of the following accurately defines 'pay' in an organization?

Comprises base salaries, pay raises, and bonuses. (C) Signup and view all the answers

What does 'pay level' refer to in an organization?

The position of an organization's pay compared to others in the same industry. (B) Signup and view all the answers

Which of the following is NOT a component of 'benefits' in an organization?

Health insurance for companies with fewer than 50 employees. (A) Signup and view all the answers

What is the primary purpose of labor relations?

To ensure effective working relationships with labor unions. (D) Signup and view all the answers

Which statement best describes 'unions' in the context of labor relations?

They represent the interests of a collective group of workers to management. (C) Signup and view all the answers

What does 'collective bargaining' primarily involve?

Negotiation between labor unions and management regarding employee conditions. (B) Signup and view all the answers

Which of the following is true about cafeteria-style benefits plans?

They allow employees to select benefits tailored to their needs. (B) Signup and view all the answers

Which of the following laws was enacted to ensure fair labor standards?

Fair Labor Standards Act of 1938 (A) Signup and view all the answers

Study Notes

Contemporary Management - Chapter 12: Human Resource Management

Human resource management (HRM) encompasses the activities managers undertake to attract, retain, and ensure high-performing employees who contribute to organizational goals.

Learning Objectives

Strategic human resource management enhances organizational competitive advantage.
Recruitment and selection processes are described and analyzed.
Training and development methods are reviewed for effective job performance.
Performance appraisal, feedback, choices involved, issues, and procedures are detailed.
Factors impacting pay and benefits are discussed.
Labor relations' role in effective human resource management is defined.

Strategic Human Resource Management

Strategic HRM involves designing HRM components to align with organizational architecture, strategy, and goals.
This is a critical element in strategic agendas.

Components of a Human Resource Management System

HRM components include recruitment and selection, training and development, labor relations, pay and benefits, and performance appraisal and feedback.
Each component influences the others, and they must be aligned to function effectively.

The Legal Environment of HRM

Equal Employment Opportunity (EEO) ensures all citizens have equal employment opportunities regardless of gender, age, race, country of origin, religion, or disabilities.
The Equal Employment Opportunity Commission (EEOC) enforces employment laws.

Major Equal Employment Opportunity Laws

1963: Equal Pay Act: Equal pay for equal work.
1964: Title VII of the Civil Rights Act: Prohibits discrimination based on race, color, religion, sex, or national origin.
1967: Age Discrimination in Employment Act: Prohibits discrimination against workers over 40 and restricts mandatory retirement.
1978: Pregnancy Discrimination Act: Prohibits discrimination based on pregnancy.
1986: Immigration Reform and Control Act: Prohibits discrimination based on national origin or citizenship (except for illegal immigrants).
1990: Americans with Disabilities Act: Prohibits discrimination against individuals with disabilities and requires accommodations.
1991: Civil Rights Act: Prohibits discrimination and allows punitive and compensatory damages.
1993: Family and Medical Leave Act: Allows 12 weeks of unpaid leave for medical and family reasons.
1994: Uniformed Services Employment and Reemployment Rights Act: Requires rehiring of employees returning from military service.
2009: Lilly Ledbetter Fair Pay Act: Allows employees to claim compensation for discriminatory pay within a certain time frame.

Contemporary Challenges for Managers

Eliminating sexual harassment
Accommodating employees with disabilities
Ensuring equal treatment for LGBT employees
Addressing religious rights
Minimizing the wage gap between men and women
Dealing with employees with substance abuse/mental health issues
Ensuring inclusion for all employees

Recruitment and Selection

Recruitment: The process of developing a pool of job candidates.
Selection: Evaluating applicant qualifications and potential for job performance.

Recruitment and Selection Processes

Internal recruiting: Selecting existing employees for open positions (Advantages: Known candidates, familiarity with organization, possibly increased employee motivation; Disadvantages: Limited pool of candidates potentially stuck in existing organizational approaches).
External recruiting: Finding candidates from outside the organization (Advantages: Variety of skills & experiences, fresh perspective, large candidate pool; Disadvantages: Higher costs, potential need for training, uncertain job performance).
Realistic job previews (RJP): Providing honest assessments of job and organization advantages and disadvantages, to reduce unrealistic expectations and employee turnover.

Human Resource Planning

Human resource planning (HRP): Forecasting current and future human resources needs.
Demand forecasts: Estimating the number and qualifications of future employees needed.
Supply forecasts: Estimating the availability and qualifications of current and external workers.
Outsourcing: Using external vendors for goods/services, contract workers, flexibility, cost-effectiveness.

Job Analysis

Job analysis: Understanding tasks, duties, and responsibilities of a job; knowledge, skills, and abilities (KSAs) required.

Job Analysis Methods

Direct observation of current workers
Questionnaires for both employees and managers

Selection Process

Identifying qualified candidates
Gathering background information (checking references, conducting interviews)
Using tests (e.g. written, cognitive, personality, physical ability).

Reliability and Validity

Reliability: Consistency of a measurement tool (e.g. test).
Validity: Accuracy of a measurement tool (e.g. test) in assessing what it intends to measure.

Training and Development

Training: Improving current job performance, knowledge, and skills.
Development: Enhancing skills for future responsibilities.
Needs assessment: Identifying training and development needs for employees.
Training methods: Classroom instruction, on-the-job training, apprenticeships, varied work experiences, formal education.

Performance Appraisal and Feedback

Performance appraisal: Evaluating employee job performance and contributions.
Methods of appraisal: Objective assessment (e.g., metrics), Subjective assessment (e.g., Rating scales – Graphic Rating Scale, Behaviorally Anchored Rating Scale (BARS), Behavioral Observation Scale (BOS)).
Performance feedback: Sharing performance appraisal information with employees, enabling self-reflection, and developing plans for improvement.
Formal appraisals: Scheduled evaluations based on pre-defined criteria.
Informal appraisals: Ongoing evaluations of performance and areas for improvement.
Effective feedback tips: Be specific, focus on correctable behaviors, encourage improvement, praise strengths, avoid personal criticism, develop a timeline for improvements.

Pay and Benefits

Pay: Base salaries, raises, and bonuses, determined by organizational structure, job characteristics, and performance.
Compensation levels: Relative position of an organization's incentives compared to competitors in the same industry.
Benefits: Legal requirements (e.g., Social Security, Workers' Compensation, health insurance for large employers) plus voluntary ones (e.g., retirement, day care, flexible hours) or "Cafeteria style" benefit plans where employees choose benefits.

Pay Structure

Categorizing and arranging jobs based on relative importance, skill level, and organizational goals.

Labor Relations

Establishing and maintaining positive relationships between employers and labor unions.
Governmental efforts: Enact laws like the Fair Labor Standards Act, Equal Pay Act, and Occupational Safety and Health Act to guide labor-management relations.

Unions

Representing worker interests.

Collective Bargaining

Negotiation between labor and management to resolve issues like working hours, wages, benefits, and job security.
Grievance procedures for resolving workplace issues.
Wonderlic: Example of a pre-employment screening tool, cognitive and personality tests, and using example website.

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Description

This quiz on Chapter 12 of Contemporary Management focuses on Human Resource Management (HRM) principles and practices. It covers key topics such as strategic HRM, recruitment processes, training methods, performance appraisals, and labor relations, aiming to enhance organizational performance and competitive advantage.