Chapter 1: Staffing Models and Strategy

What are organizations?
Combinations of physical, financial, and human capital.
Human Capital
Knowledge, Skills, and Abilities of people (KSAOs)
Scope of Human Capital
An average organization’s employee cost (wages and benefits) is over 25% of its total revenue (Higher in service industry than goods-producing industries)
Organizations that capitalize on human captical have a strategic advantage over their competition
Employment Systems
High Performance Work Systems(HPWS)
Empls are key asset to company (Ex: SAS, Google, Southwest Airlines)
Low wage employers
Empls are interchangable (Ex: McD’s, Walmart)
The process of acquiring, deploying, and retaining a workforce sufficient quantity and quality to create positive impacts on the organization’s effectiveness.
Implications of Staffing Definition
1. Acquire, deploy, retain
2. Quantity and quality issues
3. Organization effectiveness
Activities involve external staffing systems that govern the initial intake of applicants into the organization.
Refers to the placement of new hires in the actual jobs they will hold. Also encompasses guiding the movement of current employees throughout the organization.
Seeks to manage the inevitable flow of employees out of the organization. Outflow can be involuntary on the part of the employee (layoff) or voluntary – initiated by the employee, such as leaving the organization to take another job.
The Four Staffing Models
1. Staffing Quantity (Levels)
2. Staffing Quality (Person/Job Match – Person/Organization Match)
3. Staffing System Components
4. Staffing Organizations
Staffing Quantity: Levels Model
The head-count portion of the staffing. It is projected staffing requirements compared to projected staffing availability. It can lead to over staffing, under staffing, and full staffing.
Over staffing
When availabilities exceed requirements; Signals the need to slow down or even halt recruitment, as well as to take steps that will actually reduce head count, such as reduced workweeks, early retirement plans, or layoffs.
Under staffing
When requirements exceed availabilities; The organization will have to gear up its staffing efforts, starting with accelerated recruitment and carrying on through the rest of the staffing system. It may also require development of retention programs that will slow the outflow of people, thus avoiding costly “turnstile” or “revolving door” staffing.
Fully staffing
When requirements match availabilities
Staffing Quality: Person/Organization Match Model
When organizations seek to determine how well the person fits or matches not only the job but also the organization and when applicants assess how well they might fit into the organization in addition to how well they match the specific job’s requirements and rewards.
Staffing Quality: Person/Job Match Model
The job has certain requirements and
rewards associated with it. The person has certain qualifications, referred to as
KSAOs, and motivations. There is a need for a match between the person and the
job. To the extent that the match is good, it will likely have a positive impact on
HR outcomes, particularly attraction of job applicants, job performance, retention,
attendance, and satisfaction.
Four important points about person/job match:
1. Jobs are characterized by their requirements
2. Individuals are characterized by their level of qualifications
3. The likely degree of fit or match between the characteristics of the job and the person is important
4. There are implied consequences for every match
Staffing System Components Model
1. Recruitment
2. Selection
3. Employment
Staffing System Component: Recruitment
A system which involves the identification and
attraction activities by both the organization and the applicant. The organization seeks to identify and attract individuals so that they become job applicants and the applicant attempts to identify organizations with job opportunities through activities such as reading advertisements.
Staffing System Component: Selection
Assessment and evaluation of talent by the organizations though various selection techniques (interviews, application
blanks, and so on) to assess applicant KSAOs and motivation to determine if a good person/job match is likely.
Staffing System Component: Employment
Involves decision making and final match activities by the organization and the applicant. At that point, the organization must decide to whom it will make the job offer, what the content of the offer will be, and how it will be drawn up and
presented to the applicant. Upon the applicant’s acceptance of the offer, the final
match is complete.
Staffing Organizations Model
1. Organizational Strategy
2. HR Strategy
3. Staffing Strategy
4. Support Activities
5. Core Staffing Activities
6. Staffing and Retention System Management
Staffing Organizations Component: Organizational Strategy
-Mission and Vision
-Goals and objectives
Staffing Organizations Component: HR Strategy
-Involves key decisions about size and type of workforce to be
1. Acquired
2. Trained
3. Managed
4. Rewarded
5. Retained
-May flow from organizational strategy
-May directly influence formulation of organization strategy
Staffing Organizations Component: Staffing Strategy
-An outgrowth of the interplay between organization and HR strategy
-Involves key decisions regarding acquisition, deployment, and retention of organization’s workforce
-Guide development of recruitment, selection, and employment programs.
Staffing Organizations Component: Support Activities
Serve as foundation for conduct of core staffing activites
Staffing Organizations Component: Core Staffing Activities
Focus on recruitment, selection, and employment of workforce
Staffing Organization Component: Staffing and Retention System Management
Staffing Strategy
An outgrowth of the interplay between organization and HR strategy Involves key decisions regarding acquisition, deployment, and retention of organization’s workforce
Guide development of recruitment, selection, and employment program
Strategic Staffing Decisions: Staffing Levels
1. Acquire or Develop Talent
2. Hire Yourself or Outsource
3. External or Internal Hiring
4. Core or Flexible Workforce
5. Hire or Retain
6. National or Global
7. Attract or Relocate
8. Overstaff or Understaff
9. Short- or Long-term Focus
Strategic Staffing Decisions: Staffing Quality
1. Person/Job or Person/Org Match
2. Specific or General KSAOs
3. Exceptional or Acceptable Workforce
4. Active or Passive Diversity

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