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Human Resource Management (HRM)

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Consists of all activities involved with aquiring, developing, and compensating the people who do the company's work

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360-degree feedback

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Uses performance feedback gathered from a broad range of people with whom the employee works rather than from just the employee's manager

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Employee assistance programs

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Provide confidential personal problem-solving, counseling, and support services for employees

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Job description

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A list of the basic tasks that make up a job

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Job specification

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A list of the qualifications a worker needs to d that job

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Promotion

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The advancement of an employee within a company to a position with more authority and responsibility

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Transfer

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The assignment of an employee to another job in the company that, in general, involves the same level of responsibility and authority as the person's current work

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Discharge

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The release of an employee from the company due to inappropriate work behavior

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Layoff

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A temporary or permanent reduction in the number of employees because of a change in business conditions

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Employee turnover

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The rate at which people enter and leave employment in a business during a year

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Method 1 of Calculating the Rate of Employee Turnover

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# of employees who have terminated employment with the business / average # of employees = % of employee turnover

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Method 2 of Calculating the Rate of Employee Turnover

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# of employees hired to replace employees who have terminated employment with the business / average # of employees = % of employee turnover

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Exit interview

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A formal interview with an employee who is leaving the company to determine his or her attitudes about the company and suggestions for improvement

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Americans with Disabilities Act (ADA)

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Prohibits employments discrimination against individuals with physical and mental handicaps or chronic illnesses if they are able to perform the basic functions under the job

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Fair Labor Standards Act (FLSA)

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Prescribes standards for wages and overtime pay

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Occupational Safety and Health Act (OSHA)

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Regulates safety and health conditions in most businesses

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Social Security

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A social insurance program funded through payroll contributions

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Medicare

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Provides supplemental health insurance for retirement-age people as well as others with specified disabilities

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Workers' compensation

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Requires all employers to provide insurance for the death, injury, or illness of employees that result from their work

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Unemployment insurance

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A state-mandated program that provides temporary income to individuals who have been laid off from their jobs

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Family And Medical Leave Act (FMLA)

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Requires that employers covered by the law must allow an eligible employee up to a total of 12 weeks of leave during a year for new child, immediate family member's health, or medical leave

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Laws that expand employment opportunities

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The Civil Rights Act, Equal Pay Act, Age Discrimination in Employment Act, Immigration Reform and Control Act, and the Americans with Disabilities Act

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Adverse Impact

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Occurs if women and minorities are not hired at the rate of at least 80% of the best achieving group

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Affirmative Action

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Requires employers to take positive steps to ensure employment of applicants and treatment of employees

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Availability Forecast

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Process of determining whether a firm will be able to secure employees with the necessary skills from within the company

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Bargaining Unit

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Group of employees not necessarily union members recognized by an employer or certified by an administrative agency as appropriate for represemtation

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Beachhead demands

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demands that the union does not expect management to meet when they are first made

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Behaviour modeling

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training method that utilizes videotapes to illustrate effective interpersonal skills and the ways managers function in various situations

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Benchmark job

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training method that utilizes videotapes to illustrate effective interpersonal skills and the ways managers function in various situations

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Biofeedback

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Method of learning to control involuntary bodily processes

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Bottom-up approach

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forecasting method beginning with the lowest organizational units and progressing upward through an organization ultimately to provide an aggregate forecast of employment needs

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Broadbanding

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compensation technique that collapses many pay grades into a few wide bands in order to improve organizational effectiveness

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Burnout

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A gradual tearing down, a depletion of one's physical and mental resources

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Classification method

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Job evaluation method in which classes or grades are defined to describe a group of jobs

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Comparable worth

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Determination of the values of dissimilar jobs by comparing them under some form of job evaluation, and the assignment of pay rates according to their evaluated worth

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Compressed work week

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any arrangement of work hours that permits employees to fulfill their work obligation in fewer days than typical 5 day work week

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Cutoff score

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score below which an applicant will not be considered further for employment

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Disciplinary Action

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Invoking a penalty against an employee who fails to meet organizational standards or comply with organizational needs

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Expatriate

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an employee working in a firm who is not a citizen of the country in which the firm is located but is a citizen of the country in which the organization is headquartered

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Flextime

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Practice of permitting employees to choose, with certain limitations, their own working hours

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Glass Geiling

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invisibile barrier that prevents woman and minorities from achieving top level procedures

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Job Enrichment

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restructuring of the content and level of responsibility of a job to make it more challenging, meaningful, and interesting to a worker

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Job Sharing

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Filling of a job by two part-time people who split the duties of one full-time job in some agreed-on manner and are paid according to their contributions

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Pay compression

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situation that occurs when workers perceive that the pay differential between their pay and that of employees in jobs above or below them is too small

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Corporate Social Responsibility

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The responsibility of the firm to act in the best interests of the people and communities affected by its activities.

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Downsizing

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Planned elimination of jobs.

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Employee Leasing

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The process of dismissing employees who are then hired by a leasing company (which handles all HR-related activities) and contracting with that company to lease back the employees.

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Globalization

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The trend toward opening up foreign markets to international trade and investment.

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Human Capital

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The knowledge, skills, and capabilities of individuals that have economic value to an organization.

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Human Resource Information System (HRIS)

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A computerized system that provides current and accurate data for purposes of control and decision-making.

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Human Resources Management (HRM)

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The process of managing human talent to achieve an organization's objectives.

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Knowledge Workers

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Workers whose responsibilities extend beyond the physical execution of work to include planning, decision-making, and problem-solving.

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Managing Diversity

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Being aware of characteristics common to employees, while also managing employees as individuals.

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Offshoring

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The business practice of sending jobs to other countries.

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Outsourcing

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Contracting outside the organization to have work done that formerly was done by internal employees.

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Proactive Change

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Change initiated to take advantage of targeted opportunities.

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Reactive Change

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Change that occurs after external forces have already affected performances.

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Reengineering

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Fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in costs, quality, service, and speed.

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Six Sigma

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A process used to translate customer needs into a set of optimal tasks that are performed in concert with one another.

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Total Quality Management (TQM)

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A set of principles and practices whose core ideas include understanding customer needs, doing things right the first time, and striving for continuous improvement.

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Balanced Scorecard (BSC)

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A measurement framework that helps managers translate strategic goals into operational objectives.

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Benchmarking

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The process of measuring one's own services and practices against the recognized leaders in order to identify areas for improvement.

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Core Capabilities

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Integrated knowledge sets within an organization that distinguish it from its competitors and deliver value to customers.

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Core Values

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The strong and enduring beliefs and principles that the company uses as a foundation for its decisions.

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Cultural Audits

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Audits of the culture and quality of work life in an organization.

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Environmental Scanning

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Systematic monitoring of the major external forces influencing the organization.

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Human Resource Planning (HRP)

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The process of anticipating and providing for the movement of people into, within, and out of an organization.

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Management Forecasts

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The opinions (judgments) of supervisors, department managers, experts, or others knowledgeable about the organization's future employment needs.

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Markov Analysis

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A method for tracking the pattern of employee movements through various jobs.

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Mission

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The basic purpose of the organization as well as its scope of operations.

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Organizational Capabilities

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The capacity of the organization to act and change in pursuit of sustainable competitive advantage.

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Replacement Charts

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Listings of current jobholders and people who are potential replacements if an opening occurs.

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Skill Inventories

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Files of personnel education, experience, interests, skills, and so on that allow managers to quickly match job openings with employee backgrounds.

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Staffing Tables

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Graphic representations of all organizational jobs, along with the numbers of employees currently occupying those jobs and future (monthly or yearly) employment requirements.

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Strategic Human Resources Management (SHRM)

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The pattern of human resources deployments and activities that enable an organization to achieve its strategic goals.

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Strategic Planning

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Procedures for making decisions about the organization's long-term goals and strategies.

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Strategic Vision

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A statement about where the company is going and what it can become in the future; clarifies the long-term direction of the company and its strategic intent.

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Succession Planning

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The process of identifying, developing, and tracking key individuals for executive positions.

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SWOT Analysis

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A comparison of strengths, weakness, opportunities, and threats for strategy formulation proposes.

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Trend Analysis

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A quantities approach to forecasting labor demand based on an organizational index such as sales.

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Value Creation

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What the firm adds to a product or services by virtue of making it; the amount of benefits provided by the product or service once the costs of making it are subtracted.

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Adverse Impact

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A concept that refers to the rejection of a significantly higher percentage of a protected class for employment, placements, or promotion when compared with the successful, non-protected class.

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Affirmative Action

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A policy that goes beyond equal employment opportunity by requiring organizations to comply with the law and correct past discriminatory practices by increasing the number of minorities and women in specific positions.

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Bona Fide Occupational Qualifications (BFOQ)

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Suitable defense against a discrimination charge only when age, religion, sex, or national origin is an actual qualification for performing the job.

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Business Necessity

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A work-related practice that is necessary to the safe and efficient operation of an organization.

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Charge Form

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A discrimination complaint filed with the EEOC by employees or job applicants.

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Disabled Individual

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Any person who 1) has a physical or mental impairment that substantially limits one or more of the person's major life activities 2) has a record of such impairment, or 3) is regarded as having such impairment.

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Disparate Treatment

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A situation in which protected class members received unequal treatment or are evaluated by different standards.

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EEO-1 Report

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An employer information report that must be filed annually by employers of 100 or more employees (except state and local government employers) and government contractors and sub-contractors to determine an employer's workforce composition.

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Equal Employment Opportunity (EEO)

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The treatment of individuals in all aspects of employment -hiring, promotion, training, ect.- in a fair and nonbiased manner.

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Fair Employment Practices (FEP)

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State and local laws governing equal employment opportunity that are often more comprehensive than federal laws and apply small employers.

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Four-fifths Rule

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A rule of thumb followed by the EEOC in determining adverse impact for use in enforcement proceedings.

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Protected Classes

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Individuals of a minority race, women, older people and those with disabilities who are covered by federal laws on equal employment opportunity.

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Reasonable Accommodation

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An attempt by employers to adjust, without undue hard-ship, the working conditions or schedules of employees with disabilities or religious preferences.

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Reverse Discrimination

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The act of giving preference to members of protected classes to the extent that unprotected individuals believe they are suffering discrimination.

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Sexual Harassment

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Unwelcome advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature in the working environment.

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Uniform Guidelines on Employee Selection Procedures

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A procedural document published in the Federal Register to help employers comply with federal regulations against discriminatory actions.

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Workforce Utilization Analysis

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A process of classifying protected-class members by number and by the type of job they hold within the organization.

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Critical Incident Method

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A job analysis method by which important jobs tasks are identified for job success.

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Employee Empowerment

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Granting employees power to initiate change, thereby encouraging them to take charge of what they do.

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Employee Involvement Groups (EIs)

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Groups of employees who meet to resolve problems or offer suggestions for organizational improvement.

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Employee Teams

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An employee contributions technique whereby work functions are structured for groups rather than for individuals and team members are given discretion in matters traditionally considered management prerogatives, such as process improvement, product or service development, and individual work assignments.

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Ergonomics

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An interdisciplinary approach to designing equipment and systems that can be easily and efficiently used by human beings.

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Flextime

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Flexible working hours that permit employees the option of choosing daily starting and quitting times, provided that they work a set number of hours per day or week.

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Industrial Engineering

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A field of study concerned with analyzing work methods and establishing time standards.

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Job

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A group of related activities and duties.

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Job Analysis

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The process of obtaining information about jobs by determining the duties, tasks, or activities of jobs.

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Job Characteristics Model

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A job design theory that purports that three psychological states (experiencing meaningfulness of the work performed, responsibility for work outcomes, and knowledge of the results of the work performed) of a job holder result in improved work performance, internal motivation, and lower absenteeism and turnover.

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Job Description

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A statement of the tasks, duties, and responsibilities of a job to be performed.

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Job Design

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An outgrowth of job analysis that improves jobs through technological and human considerations in order to enhance organization efficiency and employee job satisfaction.

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Job Enrichment

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Enhancing a job by adding more meaningful tasks and duties to make the work more rewarding or satisfying.

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Job Family

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A group of individual jobs with similar characteristics.

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Job Specification

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A statement of the needed knowledge, skills and abilities of person who is to perform the job.

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Position

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The different duties and responsibilities performed by only one employee.

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Position Analysis Questionnaire (PAQ)

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A questionnaire covering 194 different tasks that, by means of a five-point scale, seeks to determine the degree to which different tasks are involved in performing a particular job.

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Task Inventory Analysis

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An organization-specific list of tasks and their descriptions used as a basis to identify components of jobs.

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Telecommuting

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Use of personal computers, networks, and other communications technology such fax machines to do work in the home that is traditionally done in the workplace.

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Virtual Team

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A team with widely dispersed members linked together through computer and telecommunications technology.

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