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HRM
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PSYCH 364 OP

TermDefinition
HRM constellation of decisions and actions associated with managing individuals to maximize organizational effectiveness
Selection filled out job application or been interviewed for a job which is major function within HRM
A-S-A (attraction-selection-attrition) framework influence from who is attracted to join the organization, who selected to join the organization, who decides to remain or leave the organization / organizations vary in terms o human capital they have access to based on whom they attract, hire, retain
Organizational culture shared, taken for granted assumptions that members of an organization have that affect the way they act, think, perceive their environment / influences how decisions are made within organizations / it is also influenced by those decisions
Clan culture collaboration oriented and are characterized by valuing cohesiveness, being people oriented, being team players, and empowering employees
Adhocracy culture focus on creating and emphasize being entrepreneurial, being flexible, taking risks, and being creative
Market culture characterized by competition and value being aggressive, competitive, and customer oriented
Hierarchy culture focus on controlling and value being efficient, timely, and consistent. (i.e. Walmart)
Gig economy characterized by prevalence of temporary employment positions/ single project that a worker is hired to do on demand
Gig single project or task that a worker is hired to do on demand
Business ethics system of principles that govern how businesses operate, how decisions are made, and how people are treated
Bias types of favoritism or prejudice
Availability bias tendency to rely more on info that is more readily available than alternative info
Anchoring bias tendency to make judgement to rely on first piece of info that one receives
Overconfidence bias tendency for individual to be more confident in their own beliefs than reality would suggest
5 Criteria for Good decision making 1. Is there evidence / data to back up the decision 2. The course action/ time/ resource efficient 3. Action legal, ethical, fair 4. Help make organization healthier 5. Systematic perspective/ consider various stakeholders
Attraction= recruiting
Selection= job selection process
Attrition= people quitting/ leaving organization
Systems perspective how all pieces of the HR puzzle fit together
Strategic human resource management (SHRM) process of aligning HR policies / practices w/ the objectives of the organization, including employee, operational, stakeholder, financial outcomes
Strategy as a well-devised/ thoughtful plan for achieving an objecti
Strategy formulation involves planning what to do to achieve organizational objectives / the development or refinement of a strategy
Mission core need that an organization strives to fulfill / organization's purpose
Vision what the organization will do or look like at some point in the future
Values organization parameters + guidelines for decision making + bringing its vision to fruition
SWOT strength, weakness, opportunity, threat
Resource-based view proposes that a resource holds value to the extent that it is rare where example resources include physical, financial, organizational, HR
RARE Resource are scarce/ relatively few (if any) competitors have the resource
INIMITABLE Resource difficult (if not impossible) for competitors to reproduce, attain, or deploy
Strategy type provides a general approach for how an organization will bring its mission, vision, values to life, while at the same time leveraging its strengths + improving its weaknesses
Differentiation creates a product, service, or customer experience that is different from those provided by competitors
Cost leadership create a product or service at a lower cost compared with competitors
Focus narrow consumer base / trying to appeal to a specific product or service type that might not be sold by competitors
Stakeholder diff groups that an organization must appeal to such as customers, investors, shareholders, employee, communities
Finalize strategy once an organization defines its mission, vision, and values; analyzes the internal and external environments; chooses a general strategy type; and defines its strategic objectives, it is ready to finalize the strategy
Strategy implementation organization follows through on its strategic plan
Human capital collection of knowledge, skills, abilities that ppl embody acorss an organization
Changing demographics 1. aging workforce 2. more diversity 3. average age is higher
Pandemic work impacts 1. shifted to remote work 2. workers experience diffiiculites/ qutting 3. high levels of burnout
Increasing globalization 1. challenges include culture/ laws 2. regulations/ more diversity on a broader scale 3. international presence
Data & Processing 1. rapidly evolving technology 2. processing of big data
Gig Economy criteria 1. legal environment unclear 2. new class of employment 3. 2-3 smaller jobs
Ethical & Corporate Social Responsbility Challenges 1. operations, decisions, treatment 2. shifted from organization to individual
Role day to day operations
Line involved in money making (finance)
Staff HR traditionally staff/ support role (keeping track of paper work)
Strategic human resource management process of aligning HR policies / practices w/ the objectives of the organization, including employee, operational
SWOT analysis Internal= strengths/ weaknesses of organization External= opportunity / threats to that organization
Actions to take as a manager to bring organization's strategy to life (3) 1. know what your organization's strategy is 2. align own goals w/ your organization's strategic objectives 3. communicate strategy to employees
Balanced scorecard evaluation of organizational performance based on the extent to which the organization satisfies different stakeholder needs (e.g customer, investor, shareholder needs)
Identifying best practices Pfeffer’s 7 practices of high-performance work that are instrumental for developing human capital capabilities across diff contexts
Universal best practices implementing them often leads to improved organizational performance, regardless of the organization
Pfeffer's practices (1-4) 1. Create employment security policies to encourage employee involvement 2. Selectively hire new employees 3. Organize employees into self-managed teams to achieve higher-performing 4. Compensate employees based on performance to attract/ motivate
Pfeffer's practices (5-7) 5. Train employees to enhance the knowledge and skills 6. Reduce status differences between employees to leverage ideas, skills, and effort 7. Share information on strategy and performance to motivate employees to contribute to the organization
High-performance work practices bundles of HR universal best practices, such as promoting within the organization/ offering training
Paired data analytics/ technology
top down processing perceiving things based on your prior experiences/ knowledge Emerge from pattern
bottom-up processing brain processes sensory info / uses clues to understand stimuli
Objectives (stakeholder needs) needs of stakeholders (customers, employees, investors, community, shareholders)
Synergy interaction of two or more organizations to produce a combined effect greater than the sum of their separate effects
Performance ability x motivation x opportunity
Ability-motivation-opportunity model proposes a system of HR practices that influence employee outcomes/ ultimately operational
HR practices organizational outcomes (3) 1. ability to perform 2. motivation 3. opportunity
1. Ability to perform (HR practices organizational outcomes ) employees’ knowledge / skills
2. Motivation (HR practices organizational outcomes ) work-related effort that employees exert toward goal completion / what employees will do on the job
3. Opportunity (HR practices organizational outcomes ) employees have a chance to perform on job
Data-informed decisions decisions that are made based on the analysis / interpretation of relevant, accurate, timely data
Data retain talent, drive outcomes, reduce cost
Human Resource (HR) analytics process of analyzing, collecting, reporting people-related data for the purpose of improving decision-making, achieving strategic objectives, sustaining a competitive advantage
HR Analytic Competencies (7) 1. theory 2. business 3. data management 4. measurement 5. data analysis 6. employment law 7. ethics
Descriptive analytics provide snapshot / focuses on understanding what has already happened, which implies a focus on the past
Predictive analytics focus on future / focuses on predicting what is likely to happen in the future given what is already known
Prescriptive analytics focus actions to be taken (benchingmakring/ visioning) → focuses on what actions should be taken in the future based on what is known/ what is predicted to happen in the future
Big data large amounts of unstrucutued / messy streaming data / sometimes from sources that we did not originally intend to use for analytical purposes
Diversity, equity, inclusion (DEI) policies/ programs that promote representation/ fair treatmnt of employees from diff backgrounds
Equity ensuring organizational policies / practices are impartial + fair
Inclusion treatment of individuals of all backgrounds w/ dignity / respect, including in decision making / valuing them for what they bring
Equal Pay Act COVERS... all aspects of employee compensation / rewards, including salary, benefits, commissions, stock options, allowances
DEI challenging to achieve? 1. similarlity-attraction 2. stereotypes/ unconscious biases 3. microagressions
1. Similarity-attraction hypothesis theory that individual prefer other who are similar to them
2. Stereotypes overly simplified / generalized assumptions abt particular group that may not reflect reality
2. Unconscious (or implicit) bias stereotypes individuals hold that reside beyond their conscious awareness
3. Microaggressions indirect/ unintentional discrimination against members of a marginalized group
2 factors to make diversity-related legal issues complicated 1. legal landscape is dynamic and constantly changing 2. This book covers only federal laws relating to diversity
Executive orders presidential orders that carry the force of law - directing federal agencies to act in certain way) (federal/ state)
Equal Employment Opportunity (EEO) federal law prohibits discrimination in employment decisions based on protected characteristics
Equal Employment Opportunity Commission (EEOC) independent federal agency that ensures compliance w/ the law / provides outreach activities designed to prevent discrimination
Office of Federal Contract Compliance Programs (OFCCP) a division of the Department of Labor; monitors EEO compliance of federal contractors
Retaliate taking adverse action against an employee who complains abt discrimination or files a discrimination claim
Equal Pay Act of 1963 (EPA) in cases in which employees perform similar jobs requiring similar skills and under similar conditions, employees cannot be paid differently based on their sex
Title VII of Civil Rights Protected classes= Cannot make job decisions based on these classes - harassment as part of discriminatory practices/ prohibits retaliation against those who complain about discrimination
Protected classes are: Sex Race Color Religion National origin
Reverse discrimination (civil rights act) discriminating against majority or historically privilege groups such as white or male employees
Equitable relief (civil rights act) payments made to a plaintiff to bring them back to the position they would have had if they weren’t discriminated against
Compensatory damages (civil rights act) financial relief to the complainant for damages incurred, such as mental / emotional stress suffered as a result of discrimination
Punitive damages (civil rights act) damages that are awarded if it is demonstrated that the company had engaged in reckless discrimination/ failed to act in good faith
Class action lawsuit (civil rights act) when individual who have similar claims sue as a group
What is discrimination under Title VII? 1. Disparate treatment 2. Disparate impact
Disparate treatment refusal based on protected characteristics / made a decision based on membership of a protected class -treating different groups of applicants or employees differently bc of their race, color, religion, sex, or national origin
Factors of Disparate treatment 1. Prima facie evidence 2. burden of proof shifts to employer 3. employer presents nondiscriminatory reason 4. applicant shows pretext (excuse) / the test has to have validity
Prima facie evidence at first glance or preliminary evidence
Pretext an excuse given for a decision that is not the real reason
Organizations do to proactively defend themselves against disparate treatment claims 1. Show nondiscriminatory reason 2. Bona fide occupational qualification (BFOQ) 3. establish test as business necessity 4. tests need to have validity
Bona fide occupational qualification (BFOQ) very narrow defense that claims that a protected characteristic for the business is essential necessity of the job
Disparate impact (or adverse impact) critiera has a discriminatory effect / legally at fault as an employer - when employers use seemingly neutral criteria that have a discriminatory effect on a protected group
Uniform Guidelines on Employee Selection Procedures guidelines adopted by EEOC,department of labor, department of justice, which outline how selection systems can be designed to comply w/ EEO laws
Reasons for pay inequity intended to close the pay gap between men/ women for jobs that are substantially equal, pay inequity persists bc gender bias, unpaid work, lack of protections, gender stereotypes
Harassment unwelcome behaviors based on sex, race, religion, national origin, other protected characteristics
Sexual Harassment unwanted advances / other harassment that is sexual in nature
Quid pro quo harassment involves making employment decisions contingent on sexual favors ex: if u want this job, you have to go on a date w/ me
Hostile work environment unwelcome behavior that contributes to an environment someone would find offensive
Reasonable accommodation provided to employees to help them perform their jobs that is reasonable given a firm’s resources
Title VII & Harassment (based on membership to protected class) Severity: how bad is it? Persistence: does it keep going even if you say no? Frequency: how often? Duration: over what amount of time?
Test (legally) Anything you use to make a decision Establish test as business necessity Does that score on a certain test predict your behavior/ this with correlation Tests need to have validity
EPA (1963) Claims (employee would need to show) 1. they/ an employee of the other sex are working in the same place, doing equal work 2. they are paid differently for the same work
EPA (1963) Defenses Employer would need to show there is a reason other than sex for the pay different (such as seniority, merit, quality or quantity of production)
Civil Rights Act of 1964 (protected classes) Sex Race Color Religion National Origin
Business necessity legal defense used by employers to justify an employment practice that may have a disparate impact on a protected group, arguing the practice is essential for successful operation of the business/ directly related to job performance
Validity Types 1. construct 2. content 3. criterion-related 4. face 5. validity generalization
1. Construct validity are u measuring what u think your measuring
2. Content validity content of the job match content of the test
3. Criterion-related validity predictive validity, can use test to predict future performance
4. Face validity does it look valid
5. Validity generalization idea that a good valid test for one job we can generalize/ assume its valid for other similar jobs
4 standards for hostile work environment 1. severity 2. persistence 3. frequency 4. duration
1. Severity Severity of the behavior (how bad is it?)
2. Persistence Does it keep going on even if you say no?
3. Frequency Pervasivness of the conduct (frequency) (how often?)
4. Duration Over what amount of time?
1. Theory (HR analytic competence) knowledge psychological / social scientific theory is critical bc findings from ppl data should be interpreted through lens of human behavior, cognition, emotion
2. Business (HR analytic competence) business knowledge/ skills ensure the activities of HR analytics team are in service of HR/ organizational strategies
3. Data Management (HR analytic competence) ensure data are acquired, manipulated, stored in a way that facilitates subsequent analysis while maintaining data privacy/ security
4. Measurement (HR analytic competence) provide basis for developing sound HR metrics/ measures that demonstrate sufficient reliability / validity
5. Data analysis (HR analytic competence) related to math, statistics, data analysis are critical, especially when it comes to identifying an appropriate analysis technique to address a given hypothesis or question
6. Employment law (HR analytic competence) employment law/ HR legal issues separates an HR analytics team from general business analytics team; lacking this knowledge might violate laws
7. Ethics (HR analytic competence) helps team navigate legally gray areas while also answering the question: Just because we can, should we?
Qualitative data nonnumeric info that includes text or narrative data, such as interview transcript
Quantitative data numeric data that can be counted or measured in some way
Little data structured data that are gathered in small volumes, usually for previously planned purposes
4 Categories (balanced scorecard/ organizational performance) 1. Financial 2. Internal Processes 3. Customer 4. Innovation/ Learning
1. Financial financial health of the organization, measuring metrics (revenue, profitabiliy, cost management)
2. Internal Processes evaluates the efficiency/ effectiveness of interal operations that directly impact value delivery to customers (e.g. quality control / operational effectiveness)
3. Customer assesses how well organization meets customer needs (e.g. customer satisfaction, loyalty, market share)
4. Innovation & Learning examines the organization’s ability to innovate, learn, develop its employees/ systems, including employee training, skill development, knowledge management
KSAOs knowledge, skills, avabilities, other characteristics
Protected Class: Sex Prohibits use of one’s sex in employment decisions More comprehensive (all types of employment decision) → trying to make clear any of these categories of HR decisions
Protected Class: Race + Color Prohibits discrimination based on race Prohibits policies/ procedures based on race Racial harassment is prohibited Restricting postions due to race violates law
Protected Class: Religion Allowances unless imposes an undue hardship Law defines as sincerely held belief Training managers key first step of legal compliance → focus on whether employees are able to perform the job
Protected: National Origin Taking adverse action due to nationality prohibited Adverse action due to nationality of relative prohibited Seeking to hire US citizen, unless necessitated by a government contract or other special reason is prohibited
Reasonable accommodation accommodation provided to employees to help them perform their jobs that is reasonable given a firm’s resources - whats considered reasonable / how much of accommodation
Pregnancy Discrimination Act (PDA) of 1978: amends Title VII/ prohibits employers from discriminating against employees due to a pregnancy or related conditions
Pregnant Workers Fairness Act (PWFA) requires employers to provide reasonable accommodations to employees due to pregnancy/ childbirth
PDA applies to 15 or more employees
PDA prohibits discriminating against employees due to pregnancy or related conditions
Age Discrimination in Employment Act of 1967 (ADEA) prohibits employers from discriminating against an applicant or employee due to their age - Protected individuals 40/ older - Forced retirement or eliminating position
ADEA applies to employers w/ 20 or more workers
ADEA prohibits age discrimination
Americans with Disabilities Act (ADA) of 1990 (Amend to ADAAA) prohibits discrimination against individuals with disabilities who are able to perform the major functions of the job with or without accommodations
ADA defines a disability... physical or mental impairment that affects one’s major life activities - perceived disability= assuming they can’t do something bc of appearance, which is NOT legal
Essential functions job tasks or goals that every incumbent needs to perform
Marginal functions job tasks or goal that can be assigned to others
ADA applies to organizations w/ 15 or more employees
ADA prohibits discrimination against individuals w/ disabilities
ADA of 1990: Creating Inclusive Environments for Neurodiversity Providing workplace environments where these individuals are supported and thrive remains important and is a key part of creating inclusive environments - 15-20% world pop neurodivergent
Neurodiversity differences in brain functioning (e.g. autism, ADHD, dyslexia)
Neurotypical describes people who process info in ways that are similar to general population/ considered neurodivergent (cognitive functioning falls outside what is typical)
Genetic Information Nondiscrimination Act (GINA) of 2008 prohibits discrimination against applicants or employees in employment decisions (and in health insurance) based on genetic info (results of genetic tests + family health history)
GINA includes - Family history - Health info kept separate from emloyment decisions
GINA applies to Covers organizations with 15 or more employees (not cover federal employees or members of the military)
GINA prohibits discriminating against applicants based on genetic info
Protections for LGBTQ + Workers EEOC includes gender identity / sexual orientation as part of Title VII’s sex discrimination clause, taking the view that Title VII provides protections to LGBTQ+ workers
LGBTQ+ protections.. Unlawful to discriminate or create hostile work environment Unlawful to discriminate against someone in employment decisions due to sexual orientation
Protections for LGBTQ applies to Organizations are advised to be proactive with respect to adding protections for LGBTQ+ worker/ - these protections apply to: hiring, firing, other employment practices
Protections for LGBTQ prohibits sex discrimination/ workplace discrimination based on sexual orientation
Vietnman Era Veterans’ Readjustment Assistance Act (VEVRAA) of 1974: prohibits discrimination against job applicants / employees based on their status as a veteran
More characteristics- Laws Protecting Military Personnel/ Veterans (VEVRAA) Provides for reasonable accommdations to veterans w/ disabilities Law is adminstered by the OFCCP
VEVRAA applies to covers employers doing business w/ the federal government
VEVRAA prohibits discrimination based on veteran status/ harassment
Uniformed Services Employment / Reemployment Rights Act (USERRA) guarantees that active duty military personnel have the right to be re-employed when they return from military service or active training
Transactional (Strategic HRM) personnel management professionals tended to focus mostly on transactional (e.g. recordkeeping/ compliance)/ employee relations activities
Transformational (strategic HRM) amount of time spent on transactional activities has decreased over the past century as more process have become automated - help leverage its human resources to achieve strategic objectives
HRM Functions (3) 1. analyzing/ designing jobs, managing diversity, recruiting, training, selecting 2. design systems that prevent systemic biases 3. help overcome biases that can be inherent
Created by: lils33
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