SHRM Module 3
SHRM Module 3
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Module 3: HR Service Delivery
Acknowledgements ................................................................................................................... vii
Welcome to the SHRM HRMP™ Learning System ................................................................... ix
Getting Started ........................................................................................................................ ix
SHRM HRMP™ Learning System Structure ........................................................................... x
Learning System Development ............................................................................................ xiii
Information About Certification ........................................................................................... xiv
HR Certification Institute HRMP™ Knowledge Base ........................................................... xv
The SHRM HRMP Learning System is intended to cover the Knowledge Base assessed by the
HR Certification Institute examination. The system’s contents may not compare exactly to the
exam and there will be some content tested in the exam that is not included in the learning
system. SHRM makes no claim that the use of this material guarantees passage of the HR
Certification Institute certification examination.
Getting Started
You have already purchased and obtained this module through the Online
Learning Center. Note that the complete SHRM HRMP Learning System
is comprised of four modules.
Be sure to familiarize yourself with the Online Learning Center
(https://www.epathcampus.com/SHRM/onlinelearningcenter/login/), where
you can find all modules purchased to date, as well as additional learning
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aids, practice tests, E-flashcards and case studies. If you have not already
done so, take the Online Learning Center Orientation by clicking on the
corresponding link.
First, go to the Practice Tests on the Online Learning Center and take the
Test Your Knowledge – Readiness Test. This will help you determine
how to focus your study.
Next, carefully read and study this module, Module 3: HR Service
Delivery. Return to the Online Learning Center as directed in the module.
When finished with this module, take the Module 3 Practice Test on the
Online Learning Center, and use the flash cards and case studies for
additional practice.
When ready, take the HRMP Certification Practice Test on the Online
Learning Center.
Purchase and study additional SHRM HRMP Learning System modules
as needed.
The learning system offers many features that allow you to learn in the way that
you feel most comfortable.
The learning system consists of a set of modules that are based on the four
domains in the HR Certification Institute’s HRMP Knowledge Base. In the
following table, the percentages represent the proportion of HRMP certification
test questions that are based on the domains.
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Module 3: HR Service Delivery
Each section in the SHRM HRMP Learning System modules begins by stating
the behaviors, skills and knowledge from the Knowledge Base that are addressed
in that section.
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Module 3: HR Service Delivery
Directs you to other portions of the SHRM HRMP Learning System (such
as other modules and sections).
https://www.epathcampus.com/SHRM/onlinelearningcenter/login/
Be sure that you use all of the components of the SHRM HRMP Learning
System. Together, the components will help you learn and retain key content
and prepare for the certification exam.
Each team member brought a special perspective and talent to the development
effort.
Revisions to the materials are regularly scheduled to ensure that the learning
system content is updated as the HR profession changes.
Below are the behaviors, skills and knowledge required for mastery of content
related to Module 3: HR Delivery Service. The percentage after the heading
represents the percentage of questions on the HRMP exam based on the
Knowledge Base domain defined by the HR Certification Institute on this module.
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01. Develop and implement effective HR marketing, branding, recruiting, and hiring processes
02. Establish programs that support a balance between employees’ professional and personal
lives (work/life balance)
03. Conduct research to analyze the workforce (for example, skills available locally, salary
requirements)
04. Use HR technology and tools to deliver HR services (for example, payroll, employee self-
service, social networking and human resource information systems [HRIS])
06. Develop and implement salary and bonus programs (compensation plans) and other forms of
employee recognition
07. Plan for and integrate new employees into the organization (for example, new-hire
orientation and training [on-boarding])
08. Manage programs to meet employees’ needs (for example, expatriates, disability challenges,
family care, employee health and safety)
09. Manage employees who are returning to the organization (for example, people returning
from maternity leave, expatriates returning home, people ending sabbaticals, or employees
returning from layoffs)
10. Manage employees leaving the organization (for example, dismissals, layoffs and retirement)
01. Industry trends in HR (for example, population statistics, economics, sources of talent)
02. Industry benchmarks for compensation (for example, salary surveys, benefit packages)
03. Local labor conditions, including laws, legislation and international practices
04. Organizational needs and practices (for example, organizational vision, mission, ethics and
values)
06. Forecasting techniques (for example, determining staffing needs for the future)
10. Evaluation of HR information systems (HRIS) and technology (for example, their use for
payroll, talent development, and personnel data)
11. Project management (for example, goals, timetables, deliverables and procedures)
14. Effective communication practices, locally and globally (for example, interpersonal skills,
listening, speaking and cross-cultural communication)
15. Persuasion
18. Analysis and assessment (for example, analyses of trends in the labor market, evaluating
salary surveys)
20. Outsourcing effectively (for example, analysis of organization’s staff capacity and capability,
and managing outsourced services)
Skills & Knowledge: 01. Industry trends in HR (for example, population statistics,
economics, sources of talent)
Introduction
Human resource (HR) service delivery is a priority for HR executives.
―Essentially, the HR function provides the advice and services that enable
organizations to get things done through people. It is in the delivery business.‖
(Armstrong 2006). Human resource management (HRM) is a core function of
business which provides a vital service to employees.
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This topic will explore HR’s roles as an administration expert and as an employee
advocate or champion.
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HR can use common criteria such as age, gender, geographic location and other
relevant factors to classify employees in terms of the services that are most
applicable. Having an effective relationship with the internal customer helps HR
predict customer needs and improve credibility (Lockwood 2006), (Han, et al.
2006).
Once the program or process has been developed, HR must communicate its
existence to customers and motivate them to embrace the new program or
process. According to Shel Holtz, author of Corporate Conversations: A Guide
to Crafting Effective and Appropriate Internal Communications: ―No one
changes unless they are motivated. Motivation requires a compelling reason to
change.‖ (Holtz 2003) Therefore, it is important to communicate the reason that
the new program or process was developed and how customers’ acceptance can
help contribute to the organization’s success (Lockwood 2010), (Society for
Human Resource Management, 2007 Change Management Survey Report 2007).
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This section will outline a four-step service delivery model that consists of the
following phases:
Phase 1: Service delivery formulation
Phase 2: Service delivery communication
Phase 3: Service delivery implementation
Phase 4: Evaluation of services
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Customer needs
The market environment
Current and emerging trends
The result will be an initiative that supports the organization’s overall business
strategy and creates a new culture that improves organizational performance
(Deloitte Touche Tohmatsu 2008), (Power, Desouza and Bonifazi 2006), (Towers
Watson 2009).
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Once these steps are completed, it is important to review the data and analyze the
results. The findings should be used to identify objectives that align with the
organization’s goals, strategies and needs. Next, strategies and tactics that support
the objectives should be developed. HR leaders may then use the identified
strategies and tactics to develop an HR program or process that aligns with the
organization’s strategy (Society for Human Resource Management, Aligning
Workforce Strategies With Business Objectives 2009), (Armstrong 2006).
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To review the report describing the results of the Towers Watson survey, please
review: http://www.towerswatson.com/assets/pdf/2494/2494.pdf.
This model divides HR tasks and expertise into three discrete components shown
in Figure 1-3:
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Forms of Communication
Communication Channels
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For more information about forms of communication, see the following sections:
Section 1.4: Core Functions and Relevance to HR provides information
on the different types of communication platforms.
Section 1.5: The Influence of Organizational or Corporate Culture
provides information about intercultural communication and accent
clarity.
Communication Skills
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To learn more about International English and cross-cultural factors that affect HR,
please review: http://www.shrm.org/Research/Articles/Documents/September 2008
Research Quarterly - Selected Cross-Cultural Factors in Human Resource
Management.pdf.
Nonverbal Cues
There are numerous ways that people communicate without words; through
gestures, facial expressions, dress, silence, touch and amount of personal space. It
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One member of the Society for Human Resource Management (SHRM) Global
HR Expertise Panel has extensive experience in HR management and global roles
in the Middle East and Africa. The following are his observations on developing
intercultural communication skills:
Leadership Theories
Several different theories have developed over the years to describe the
characteristics that make an effective leader. Figure 1-4 presents these theories in
chronological order to show how they have progressed over time.
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Theory Description
Leaders are born and not made.
Trait
Leaders possess different traits than average people.
theories
There are identified personal traits common to effective
leaders.
Leadership can be learned.
Behavioral
How a person behaves determines leadership effectiveness.
theories
Two dimensions of leadership behavior emerged from studies:
o Consideration (employee-centered behavior)
o Initiating structure (job-oriented behavior)
One popular theory is Blake-Mouton’s theory.
The theory is known as Situational Leadership II.
Situational
Managers must use different leadership styles depending on
leadership theory
the situation.
One popular theory is Hersey-Blanchard’s theory.
Similar to situational leadership theory.
Contingency
Leadership ability depends on leadership style and situational
theories
factors.
Leaders don’t change leadership style, but rather the factors
surrounding a situation.
Fred Fiedler's theory identifies three factors that help create a
positive leadership environment:
o Leader-member relations
o Task structure
o Position power (authority)
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Theory Description
Good leaders inspire others to follow them.
Transformational
Characteristics of transformational leaders include:
leadership
o Charisma
o Inspiration
o Stimulation
o Individualism
For more background on situational leadership and the current tools available to
organizations and HR professionals, refer to the following Ken Blanchard Companies
website: http://www.kenblanchard.com.
While it is important to recognize these issues and how they affect an organization,
it is equally important to avoid making generalizations based on them.
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―Every leader also is telling a story about what he or she values through
their actions and behaviors,‖ said Disney Institute’s Scott Milligan, SPHR.
―We judge ourselves by our intentions, but others judge us by our
behaviors.‖ (Society for Human Resource Management, Service Excellence
Isn't Magic; It's Hard Work 2009)
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Expert Implementation
The implementation phase is essential. Successful implementation can affect how
the HR department is viewed in the organization. For example, an HR department
that is perceived as an overhead department by organizational members can
improve its status and be recognized as a strategic business leader through expert
implementation (Stevens 2005).
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and minimize liabilities. The following are some tools HR might use to
effectively implement services (Johnson and Gueutal 2011),
(Wright 2008):
Training programs
Handbooks
Web portals
Webinars
Job aids
Forms
Decision support tools
Coaching and mentoring
For more information about tools for implementing services, see the following
sections:
Section 2.5: Talent Management and Facilitating Groups provides
information about coaching and mentoring techniques.
Section 2.6: Training and Educational Programs provides information
about developing and promoting learning opportunities for employees.
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Plan: Identify the quality goals and policies, and then design the quality
plans. This phase identifies the problems and generates solutions to deliver
desired results.
Do: Communicate the quality plan and educate employees on the new
quality system. When implementing the solutions, starting on a small scale
if possible, to determine if it is viable.
Check: Execute a design review and total quality audit. The design review
checks product and service development at various points in the process.
The total quality audit validates quality plans and quality results to identify
future opportunities for improvements. The total quality audit is dependent
upon a measurement system being in place.
Act: Implement changes on a larger scale based on the results of the
previous step. This phase has two elements—motivation and suggestions.
(Dahlgaard, Kristensen and Khanji 2002)
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See Section 2.2: Sustaining Organizational Culture and Managing Change for
more information about organizational development and change management
disciplines.
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The following are some examples of highly regarded organizational core values
and goals:
Prioritizing the customer or constituent
Treating employees as you would treat your customers or constituents
Conducting business fairly and ethically
Fostering creativity
Collaborating as a team to achieve goals
Demonstrating innovation
Valuing safety and security
See Section 1.2: Values and Ethics for more information about organizational
values and goals.
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The following list describes these project phases including the roles for service
delivery of HR initiatives:
Conception:
Typically, the organization’s executive team selects and prioritizes the
projects to be developed. It is important for HR executives to be an active
part of that team. Once an HR project is established, HR leaders are
responsible for establishing project goals and objectives that support the
strategic needs of the organization.
Selection of manager and team:
HR leaders select a project manager with the organizational and
interpersonal skills required to oversee the project. The project manager
has overall responsibility for the project, manages day-to-day tasks and
oversees the project from beginning to completion. The HR manager
decides which roles are required and defines the special knowledge or
skills individual team members must possess (Grossman 2009). The
project manager assigns the appropriate HR resource.
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Organizational Concerns
Communication Strategy
There must be communication outside of the project team as well. The project
manager should identify the project stakeholders and implement early and
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While the project manager has the most responsibility for communication, all
team members can participate by talking positively about the project. Some other
methods for communicating information about a project include organization-
wide e-mails, video conferences, podcasts, posters, blogs and websites (Finney
2008).
Project managers use a variety of tools to schedule, organize and coordinate tasks
during a project. Figure 1-7 lists and describes some popular tools.
Tool Description
Gantt chart A horizontal bar chart that graphically displays project activities in sequential
order and plots them against time. It helps managers plan, coordinate and track
specific tasks in a project. Also called a milestone or an activity chart.
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Tool Description
Fishbone A chart that visually illustrates the root causes of problems and their potential
diagram effect on the project. It can be used by the project team to stimulate
brainstorming and problem solving. Also called the cause and effect or
Ishikawa diagram.
PERT chart PERT stands for program evaluation and review technique. A graphical
illustration is used to manage very large complex projects with a high degree of
task dependency. It uses shapes and arrows to depict the relationship and
sequence of activities. Also called critical path method (CPM or PERT/CPM).
The relationship of tasks to time is not as immediately obvious as with Gantt
charts.
RACI chart RACI stands for responsible, accountable, consulted and informed. It is a chart
that supports the effective allocation of roles and responsibilities among
different members of the project team. It lists activities and the name of the
person associated with each activity; it also identifies if that person is
responsible, accountable, consulted and informed.
Event chain Like the Gantt chart, this model uses horizontal bars to depict the sequence of
activities. It also includes red arrows to identify risks associated with a specific
task or time interval.
Run chart A line graph used to visually depict high and low points in activity over a
specified period of time. Frequently used to illustrate trends and cycles.
Figure 1-7. Project Management Tools (Melton 2007), (Bartlet II, Ph. D. and Bartlet, M.S.
2008), (Six Sigma 2010-2011) (concluded)
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Review McKinsey & Company’s report ―Building the Web 2.0 Enterprise:
McKinsey Global Survey Results‖ for more information about how organizations are
using Web 2.0 tools: http://www.mckinseyquarterly.com.
Project Management
To summarize, effective project management requires the following:
Knowledge of the organization and its strategic goals.
Familiarity with project phases and service delivery roles.
An understanding of organizational behavior.
Knowledge of project management skills.
Effective communication skills.
Project planning and tracking skills (Kerzner, Ph.D. 2009).
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Work/life balance The balance between an employees work life and personal life.
―Give me a manager who truly has the ability to stretch my potential, who
recognizes my contributions, and who isn’t afraid to deliver bad news or give me
constructive feedback. Enhance the experience with great communications and
good work/life balance and I’m hooked.‖
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Practice Questions
1. A project manager would be more inclined to use a PERT chart rather than a Gantt chart
when the manager needs to
a. assign particular tasks to team members.
b. monitor the exact time each step of a project takes.
c. plan the details of a project.
d. show the crucial path of a project.
A warehouse distribution organization has been concentrating on coaching and developing its
employees. The manager of the distribution department adjusts his leadership style to what is
necessary for each employee, depending on the employee’s level of job development and
maturity. The manager of the marketing department does not change his leadership style, but
rather changes the factors surrounding a situation to manage the marketing department
employees.
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5. A company surveyed its customers to determine their satisfaction levels with various
operations in the organization. Findings show that there have been numerous delays in
response to customer inquiries, and that the delays were the result of reporting structures
limiting communication to proper channels. Which organizational development approach
should be evaluated to avoid future delays?
a. Interpersonal
b. Procedural
c. Structural
d. Technological
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07. Plan for and integrate new employees into the organization (for
example, new-hire orientation and training [on-boarding])
Skills & Knowledge: 01. Industry trends in HR (for example, population statistics,
economics, sources of talent)
15. Persuasion
Introduction
This section examines the techniques human resource (HR) professionals use to
provide service delivery of recruiting and hiring processes in an organization. These
techniques include:
Developing and implementing effective HR branding, marketing, recruiting
and hiring processes for the organization.
Supporting the recruitment and hiring processes and integrating new
employees into the organization.
Using forecasting techniques and an understanding of industry trends to
improve HR branding, marketing, recruiting and hiring processes in the
organization.
Analyzing the organization's staff capacity and capability, and managing
outsourced services.
Recruiting-Related Activities
Figure 2-1 illustrates the three components of recruiting quality.
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An effective employment brand generates the notion that the organization is a great
place to work among current employees and essential external stakeholders. At the
core of the employment brand is the value proposition which reflects the
organization’s culture, structure, viewpoints and employee affiliations (Society for
Human Resource Management, the Employer Brand: A Strategic Tool to Attract,
Recruit and Retain Talent 2008).
Manmohan Bhutani
Vice President, People and Operations, Fiserv India
(Society for Human Resource Management, The Employer Brand: A
Strategic Tool to Attract, Recruit and Retain Talent 2008)
See Section 1.7: HR—A Cornerstone of the Business to learn more about how
to build a brand.
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Brand Management
Once in place, organizations must manage their brand. This includes periodically
evaluating the brand to ensure that it continues to portray the desired image of the
company. The Bernard Hodes Group developed the Hodes 360 Process for brand
management:
1. Assess:
o Determine the strength of the existing employer brand.
o Evaluate the competition.
2. Strategize:
o Create a distinct, appropriate and believable brand message.
o Identify methods for communicating that message to target audiences
(specific groups of people).
3. Implement:
o Communicate the brand to target audiences.
4. Measure:
o Monitor progress to determine which strategies work, which strategies
don’t work, and areas for improvement (Hornung 2007).
Brand management and marketing are essential factors in increasing brand strength
and improvement in the organization’s long-term financial performance (Martin and
Hetrick 2006).
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In 2008, Society for Human Resource Management published its first iteration of
the Global Diversity Readiness Index, or G-DRI. The tool ranks and rates 47
countries along 39 separate indicators in five broad categories: national diversity,
workplace diversity, social inclusion, government inclusion, and legal
framework. To download this tool, visit: http://www.shrm.org/gdri.
Forecasting A tool used to plan for the future needs of a business or other
operation. In HR, it is usually focused on predicting future
employment needs. Also defined as identifying expected future
conditions based on information about the past and the present;
predicting.
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To learn more about the top trends in HR and hiring, please review:
http://www.shrm.org/Research/FutureWorkplaceTrends/Documents/09-0700
Workplace panel_trends_sympFINAL Upd.pdf
Once the organization’s future needs are determined, HR can begin recruiting. As
mentioned earlier, recruiting is the process of identifying potential employees and
encouraging them to apply for job openings. Recruiting can be done internally,
externally or be a combination of both. Once the organization identifies an acceptable
candidate, the hiring process can begin. HR may also consider outsourcing
specifically identified positions or job functions.
Recruiting
The recruiting and hiring process is a reciprocal relationship between the hiring
organization and the candidate. It is important for both parties to establish a
foundation of value, mutual commitment and trust (Prichard 2007).
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Once an organization understands the type of candidate they are trying to recruit, the
next step is to select appropriate sources to identify prospective candidates. The
organization can choose either to consider looking within the organization or to seek
them from the general labor pool.
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Method Description
Inside moonlighting Moonlighting refers to an employee who holds a second job outside
of normal working hours. Inside moonlighting occurs when a
worker is enticed to take on a second job in the organization. Inside
moonlighting is ideal when there is a short-term need and the
amount of additional work is minimal. Moonlighting is so common
in some organizations that HR departments have had to establish
moonlighting policies.
Nominations This is the process by which managers are asked to nominate high
performing individuals as candidates for internal roles.
Skill banks and skill These are computerized systems of talent or skill inventories that
tracking systems can furnish a list of qualified people.
Employee referrals The process where current employees supply prospects from among
their families and friends to fill job openings.
Figure 2-2. Internal Recruitment Methods (Laroche and Rutherford 2006), (Society for Human
Resource Management, Recruiting Internally and Externally 2009), (Arthur 2005)
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Method Description
Government agencies Online and on-site services between employers and job seekers
Job boards (bulletin Websites that allows employers to post job openings and prospective
boards) employees to apply for positions online. Examples include:
www.monster.ca, www.canadajobs.com, and
www.workopolis.com in Canada
www.monsterindia.com, www.naukri.com, and
www.clickitjobs.com in India
www.bumeran.com for Latin America in general, with
separate sites for some countries
www.monster.com, www.jobster.com, www.latpro.com,
www.yahoo.com, www.indeed.com and
www.theladders.com in the United States
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Method Description
Job fairs Events where employers can meet potential applicants. Job fairs:
Can reduce recruiting costs by up to 80 percent.
May be scheduled on holidays or weekends to reach college
students and the currently employed.
Are especially useful for smaller, less well-known
employers.
Appeal to job seekers who wish to locate to a particular area
and those wanting to minimize travel and interview time.
Media advertising Newspapers, trade journals and magazines.or radio and television
spots that focus on the position and the image of the employer
Online social Online sites such as Facebook, LinkedIn, MySpace and ZoomInfo
networks and blogs used to expand an organization’s talent database, extend the
employment brand and acquire top talent
Open house An event where walk-in applicants are invited to visit and learn
about an organization directly
Outplacement Services that maintain job sites or job boards for individuals
services displaced due to layoffs
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Method Description
The Internet Using online technology for recruiting to a wide audience; includes
electronic résumé and job-listing banks
Third-party recruiters Agencies contracted to seek out candidates (even those not actively
seeking alternate employment) possessing required qualifications
Figure 2-3. External Recruiting Sources (Laroche and Rutherford 2006), (Society for Human Resource
Management, Variety of Strategies Used To Attract Diverse Applicants 2008), (Taleo 2008), (Prichard
2007), (Society for Human Resource Management, Recruiting Internally and Externally 2009),
(Arthur 2005) (concluded)
―In 2009, one out of four HR professionals said their organization used social
networking sites like Facebook and Twitter to look up candidates before inviting
them for an interview. In 2008, only 3 percent of organizations said they used
social networking sites for recruitment.‖
For specific examples of the recruiting methods used in China, Singapore, India,
Latin America, United Kingdom and Western Europe, please review:
http://www.shrm.org/Publications/StaffingManagementMagazine/EditorialConte
nt/Pages/0704_overman_global.aspx.
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Recruitment Effectiveness
One way an organization helps ensure that an employee understands his or her role in
the organization is through formal documentation. Good job documentation serves as
a common reference point for both the employer and the employee or perspective
employee (WorldatWork 2007).
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Organizations must first analyze the job in order create a job description. A thorough
job analysis begins with a review of job data including duties, responsibilities,
requirements, work environment and other factors (Arthur 2005).
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The final product from a job analysis is a thorough understanding of the job’s
essential functions that includes:
A comprehensive list of all duties and responsibilities
A percentage of time spent for each group of tasks
The job’s relative importance in comparison with other jobs
The knowledge, skills, abilities (KSAs) needed to perform the job
The conditions under which the work is completed
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Click the following links to view sample job analysis forms available from
Society for Human Resource Management:
Job Analysis: Template #1:
http://www.shrm.org/TemplatesTools/Samples/HRForms/Articles/Pages/C
MS_001973.aspx
Job Analysis: Template #2:
http://www.shrm.org/TemplatesTools/Samples/HRForms/Pages/JobAnalysi
sForm.aspx
Job Description
It is vital for organizations to create written job descriptions that accurately reflect
current job duties and responsibilities (Society for Human Resource Management,
Job Analysis: How do I Conduct a Job Analysis to Ensure the Job Description
Actually Matches the Duties Performed by the Employee in the Job? 2010).
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Click the following links for information about job descriptions available from
Society for Human Resource Management:
Instructions for developing a job description:
http://www.shrm.org/TemplatesTools/HowtoGuides/Pages/DevelopaJobDe
scription.aspx
A job description database:
http://www.shrm.org/TEMPLATESTOOLS/SAMPLES/JOBDESCRIPTIO
NS/Pages/default.aspx
A job description template:
http://www.shrm.org/TemplatesTools/Samples/HRForms/Articles/Pages/C
MS_011001.aspx
Job Specifications
Once the job analysis has been completed, formal job descriptions and specifications
must be developed based on the duties and responsibilities identified.
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Job Competencies
Job competencies The knowledge, skills and behaviors (KSAs) that will help an
employee succeed in a specific job.
Job competencies list the KSAs an employee must possess in order to complete a
particular job. They are the crucial success factors needed to perform in a particular
job or specific functional area. Job competencies typically correlate with job
performance (Society for Human Resource Management, Practitioner Competencies,
n.d.), (Stevens 2005). Specific job competencies vary from organization to
organization.
Once HR has identified a pool (group) of qualified applicants (based on the job
analysis and job description), it is time to gather the remaining information required
to make a selection decision.
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It is important to note that this is just an example of a selection process used by some
organizations. Not all organizations conduct all of the steps in the order indicated. An
overview of each step follows.
The first step after recruitment has occurred is to review candidates’ résumés, also
called curricula vitae (CV), and compare them against the job specifications. This
step allows organizations to identify applicants who fit the minimum selection
criteria. Efficient prescreening by HR professionals during this step helps the
organization save time by interviewing only qualified candidates.
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Step 2: Interviewing
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Click the following links to view additional information located on the Society
for Human Resource Management website:
Employment reference check forms (phone):
o http://www.shrm.org/TemplatesTools/Samples/HRForms/Articles/Pag
es/1CMS_002175.aspx
o http://www.shrm.org/TemplatesTools/Samples/HRForms/Articles/Pag
es/1CMS_002173.aspx
o http://www.shrm.org/TemplatesTools/Samples/HRForms/Articles/Pag
es/CMS_019909.aspx
Employment reference check forms (mail):
o http://www.shrm.org/TemplatesTools/Samples/HRForms/Articles/Pag
es/1CMS_002144.aspx
o http://www.shrm.org/TemplatesTools/Samples/HRForms/Articles/Pag
es/1CMS_022521.aspx
Tools for performing background investigations:
o http://www.shrm.org/
hrdisciplines/staffingmanagement/Pages/background.aspx
Step 4: Offering
Once the employer has determined the most qualified candidate for the position, an
employment offer is made. An employment offer is an oral or written communication
that formally offers the applicant the job. If the employer did not conduct pre-
employment testing, the applicant may receive a contingent offer. This means that the
offer is contingent on the candidate passing a test or other requirements (Gatewood,
Feild and Barrick 2011).
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Negotiation
Some candidates attempt to negotiate salary, bonuses and/or benefits when offered a
position by a potential employer. HR professionals should be prepared to negotiate
(Society for Human Resource Management, What Salary Are You Seeking? 2007).
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Source: Adapted from Adler, Nancy J. International Dimensions of Organizational Behavior. 2nd
Edition. Boston, Massachusetts: PWS-Kent Publishing, 1991, p187, and from material provided by
Professor John Graham, School of Business Administration, University of Southern California, 1983
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Retention
Once the organization has spent time and effort recruiting an employee, it is
important to focus attention on post-hire results such as the initial job performance of
new hires and their retention rates (Breaugh 2009). Without effective retention
strategies and practices, organizations may risk losing talented individuals which will
have negative consequences on the organization (including lost work time and the
additional time required to rehire and retrain).
Work/life balance The balance between an employee’s work life and personal life.
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Obviously, balancing work and family is a vital factor in employee satisfaction. In the
book, Managing Employee Retention, Jack Phillips and Adele Connell note that
―fewer employees are willing to work an excessive number of hours, cope with
unusual working conditions, or tolerate highly stressful or demanding situations
(Phillips, Ph. D. and Connell, Ph.D. 2003).‖ Organizations typically implement
work/life programs for one or more of the following reasons:
To attract and retain talent
To retain female employees (especially those of child-bearing age)
To increase morale and job satisfaction
To increase productivity
To increase commitment and engagement
To reduce health care costs
To combat employment-related depression and stress-related illnesses
To attract investors
To be a good corporate citizen
The challenge for HR is that work/life balance has different meanings for different
employees. Thus, it is important to understand the organization’s culture and to
determine which work/life balance initiatives will be valued most by employees.
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―Although many business leaders are not convinced that the worst of the
global economic crisis is over, there is no better time than the present for
top executives to ramp up their recruiting of top talent, launch new in-
house programs for training future leaders, and map out a formal
succession plan covering the CEO or other top officials.‖ (Wharton
School of the University of Pennsylvania 2010)
A basic tenet in talent acquisition (staffing) is that what works for one organization
may not work for another. As a result, there are many approaches available from
which to choose. An organization must carefully select an approach that aligns with
its strategy, vision and mission.
This approach reflects the actions an organization takes to locate talent to fulfill
current and future operational needs. Talent is managed as a single resource across
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The ―war for talent‖ principles are based on a 1997 study by McKinsey & Company
that projected that talent would be the most important business resource over the next
two decades. Under this approach, the following five talent management principles
are essential for organizations to attract and retain top talent:
Build a belief that people are valuable assets.
Design a competitive employee value proposition.
Redesign the organization’s recruiting strategies with a focus on talent.
Cultivate employee leadership and talent development throughout the
organization.
Acknowledge and reward high-potential performers (McKinsey & Company
2001), (Scullion and Collings 2006).
To learn more about the ―war for talent‖ principles, please review:
http://autoassembly.mckinsey.com/html/downloads/articles/War_For_Talent.pdf.
Talentship
Talentship is a decision science created by John Boudreau and Peter Ramstad in 2004
that helps managers make better talent management decisions. The decision making
framework is based on three main measures:
Influence: Identify pivotal roles where replacing talent will provide the most
organizational benefit.
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Talent on Demand
Workforce Mobility
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New hires:
Organizations may choose to recruit and relocate an individual with
appropriate skills for the job. HR can help new hires in their transition by
offering services such as home sale assistance, home purchase assistance,
moving allowances and household goods shipping (Blumenberg 2010).
Transfers:
Organizations may choose to relocate a current employee with the appropriate
knowledge and skills to a new location. This type of transfer can be
temporary, long term (more than a year) or permanent. HR’s role in
supporting transfers is to provide appropriate training (language or
intercultural communication), assistance with housing, and making the
appropriate remuneration and benefit adjustments for the new location.
Support for transferred employees will be discussed in more detail later in this
section.
Temporary assignments:
Organizations may also choose to temporarily relocate an employee.
Temporary assignments typically last between six months and one year. HR
supports temporary transfers by providing appropriate training (language,
cross-cultural or intercultural communication) and assistance with housing.
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Strategic alliance:
o Depending on the type of alliance, this could either have no influence or
considerable staffing influence.
o In many strategic alliances, employees remain with their own
organizations.
o If a new venture is formed as a result of the alliance, then talent acquisition
plans are directly affected.
External Factors
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Social Responsibility
Today, organizations are becoming more aware of some of the ramifications of their
own social practices. They are also becoming more aware of how practices of other
organizations affect the environment, societal issues and sustainable practices. Many
organizations are now including social responsibility as one of their core
organizational strategies.
See Section 1.2: Values and Ethics to learn more about social responsibility.
Information Technology
While technology does not necessarily affect the number and types of jobs or the
sources of labor, it does greatly facilitate communication across geographically
dispersed locations and helps to ensure the proper deployment of talent. The
following technologies are commonly used in organizations and influence talent
acquisition.
Intranet: Web-based communication available only within the organization
o Allows collaboration among geographically dispersed sites
o Creates awareness of how centralized decisions affect subsidiaries
Internet: Web-based communication between the organization and the outside
world
o Facilitates informed decisions about potential assignments through access
to cultural and practical information about a country
o Assists employees to proactively address the logistical issues of
international assignments, such as school enrollment, transportation and
housing
E-mail: Electronic text messages via the Internet or intranet
o Facilitates the establishment and maintenance of professional relationships
across locations
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Phases
The overall recruitment planning process consists of several distinct phases:
Analyzing the organization’s workforce (conducting a needs analysis)
Formulating a strategy (including tactical objectives) that aligns with the
organization’s strategic objectives
Implementing the strategy
Monitoring to ensure successful implementation (Society for Human Resource
Management, Engaging in Strategic Planning 2010)
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Needs analysis Assessing the present situation to determine the steps necessary
to reach a desired future goal.
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Formulating a Strategy
Tactical objectives Objectives focused on closing high-priority gaps in the short-term
(as opposed to the long-term) strategic HR objectives; they
specify in concrete and measurable terms which gaps must be
closed and when.
Tactical objectives are created to address high-priority gaps identified during the
needs analysis process.
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Staffing and recruiting systems and tools exist that can help HR leaders measure the
effectiveness of the recruitment strategy (Society for Human Resource Management,
Engaging in Strategic Planning 2010).
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See Section 4.2: HR Measurement and Evaluation to learn more about the
systems and tools available to help HR leaders measure effectiveness.
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Outsourcing
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Stages of Outsourcing
Steps Description
Define the budget Plan for the use of outsourcing resources in the
annual budget by defining how the services will be
paid for and determining the expected financial
ROI.
Send out/publish the RFP The RFP, including submission instructions and
deadline, is distributed; distribution must provide
open and free opportunity unless there are special
conditions.
Figure 2-9. Example Process for Selecting an Outsourcing Partner (continued to next page)
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Steps Description
A team systematically evaluates the proposals.
Choose a vendor
Vendor presentations may be requested.
A vendor is selected who best meets
organizational needs.
Communicate the outcome to both the winners
and losers.
Provide losers with feedback.
Negotiate a contract Work with legal counsel to create a written contract which
outlines the contractor’s services such as essential
deliverables, schedule, payment terms, performance
standards and training expectations.
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Once the outsourcing partner is selected and the contract is approved, the final step is
to deploy the solution. Deployment is a team effort between the organization and the
vendor. Effective communication and project management are essential to the success
of the solution.
Even the best outsourcing partner needs careful management, support and guidance.
It is the organization’s responsibility to communicate expectations, define project
roles, and monitor and manage the outsourcing partner for the life cycle of the project
(Society for Human Resource Management, A Governance Approach to Managing
HR Vendors 2010). Figure 2-10 lists some common project activities that must be
managed.
Initial project planning Stakeholder meeting to review the contract and establish
meeting priorities
Sign-off and acceptance Formal checks and balances required for payment
procedures
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Upon completion of the project, the organization will evaluate the effectiveness of the
outsourcing initiative. Most organizations use metrics to evaluate whether or not the
outsourcing initiative fulfilled the established goals. Metrics also help organizations
identify areas of success and areas for future improvement (Hayes 2009).
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Onboarding The process to help new employees learn about the organization's
policies, procedures, and culture in addition to their job
responsibilities. Also known as new employee orientation.
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While it is important to provide new hires with an orientation to the organization and
their employment benefits, organizations have learned that onboarding is more than a
one-day interaction where new employees sit and complete their new-hire paperwork
(Society for Human Resource Management, Managing the Employee Onboarding and
Assimilation Process 2009).
Orientations are more than just a chance to process paperwork and procedures quickly
(Bauer 2010). Successful orientation programs deliver value by incorporating the
following elements:
New hires are active participants.
Orientation is more than just a one-day process.
Information is communicated on an ongoing basis to avoid overburdening the
new hire.
An orientation checklist is provided to help ensure that all important
information is communicated.
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HR must prepare for the employee’s arrival before the first day of employment. HR
must also plan to support the employee all the way through assimilation. The content
that follows provides some examples of actions HR professionals can take throughout
the stages of the orientation process to ensure that it is effective.
Before first day: Begin the process after the employee accepts the offer but
before the employee’s actual start date. Examples of advance strategies
include:
o Inviting the employee for a tour of the facility (or community in the case of
relocation)
o Sending benefits information, organizational charts and other company
literature to the new hire for pre-reading
o Sending a welcome gift (such as flowers, a coffee mug or a shirt with the
company logo) to the new hire
o Assigning a mentor to contact the new hire before the first day to answer
basic questions (Society for Human Resource Management, Managing the
Employee Onboarding and Assimilation Process 2009)
First day: ―Studies conducted by the Corporate Leadership Council indicate
that it's important for new employees to quickly acclimate to their new work
environment. It's also important for these employees to start building rapport
with colleagues so they can begin to assimilate into existing workgroups. By
doing so, new employees experience a sense of purpose within their new
organization, and the transition into this organization is less disruptive
(Money-Zine.com 2007-2010).‖ In addition to delivering basic information
and completing the necessary paperwork, HR should strive to incorporate the
following strategies into the employee’s first day:
o Greet the employee warmly.
o Have the employee’s workstation or office ready.
o Provide the employee with an agenda (an overview of what to expect on
the first day).
o Provide essential supplies.
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o Provide a tour of the facility as well as a map or floor plan to help the
employee navigate.
o Introduce essential staff members and provide organizational or
departmental charts.
o Supply the employee with company literature and required documents.
o Supply access materials (such as keys or access passes).
o Invite the employee to lunch.
o Provide a functioning workstation.
o Avoid inundating the employee with too much information.
o Identify an employee who can assist the new hire as needed (Bauer 2010),
(Arthur 2005).
Beyond the first day: Over the next month or two, HR should continue to
reinforce essential information. Gradually introduce the employee to all staff.
Determine if the employee has any unanswered questions or concerns.
First year: HR should ensure that all necessary information has been shared
with the employee. Address any remaining unanswered questions or concerns
(Society for Human Resource Management, Managing the Employee
Onboarding and Assimilation Process 2009).
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Practice Questions
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Behavior: 03. Conduct research to analyze the workforce (for example, skills
available locally, salary requirements)
Skills & Knowledge: 03. Local labor conditions, including laws, legislation and
international practices
Introduction
The legal systems in an organization’s home country and in the countries and regions
in which it operates affect human resource (HR) service delivery. The legal and
regulatory environment is complex. How and where an organization does business
affects the HR department, and HR professionals are challenged to deliver services
that comply with multiple legal systems.
The complexities of legal and regulatory issues are also reflected in the legal
profession. Lawyers are able to practice law within pre-determined geographies and
specialties. HR professionals may seek advice from more than one lawyer. Or, the
organization’s legal counsel may engage additional experts.
In addition to your organization’s legal counsel, other sources for information about
local laws and regulations include:
Chambers of commerce
Law schools (both the school’s library and faculty)
Consultants
Legal firms
Industry associations
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and Practices
This section will provide an overview of how local and international laws and
practices affect the HR service delivery in the following areas:
Remuneration and benefits
Employment terms and conditions
Working conditions
Industrial relations
Employee legal rights
Electronic service delivery
Intellectual property
must comply. Thus, the legal environment for an organization may encompass many
sets of laws and regulations.
Figure 3-1 illustrates one potential situation where the laws associated with employee
relations may originate from multiple sources. This example assumes that the
organization has operations in three countries and participates in a single industry. In
this example, there are nine potential origination points for laws or regulations.
Complying with all applicable laws and regulations represents the minimum
requirements for service delivery.
There are numerous online sources about labor law and social security programs.
The websites listed below provide some examples:
The International Social Security Association:
http://www.issa.int/
Social Security Programs Throughout the World:
http://www.ssa.gov/policy/docs/progdesc/index.html
Salary Ranges
Salary range The lowest and highest wages paid to employees who work in the
same or similar jobs.
HR uses market data from surveys to establish the maximum, minimum and midpoint
of the pay range. Pay ranges vary depending on the organization’s promotion policy,
pay increase policy and other administrative and legal considerations.
To calculate the range spread for a job, subtract the minimum amount from the
maximum and then divide that figure by the minimum. Figure 3-2 illustrates the
formula for calculating the range spread for a job.
Figure 3-3 illustrates the calculation of the range spread for a job with a minimum
annual salary of $45,000 and a maximum of $65,000.
In general, lower-level jobs typically have a narrow range between minimum and
maximum salaries while the salary ranges for higher-level jobs will be wider.
Because people in entry-level jobs have more promotion possibilities, they tend to
stay in entry-level positions for shorter periods of time, narrowing their pay range.
People at higher-level jobs tend to stay in their jobs and therefore range for a longer
period of time. Also, the learning time to achieve midpoint competence is less for
lower-level jobs.
Compa-ratios
Assuming that pay ranges are based on the market average, compa-ratios are an
indicator as to how actual wages match, lead or lag behind the market.
Figure 3-5 illustrates the compa-ratio calculation where the employee’s pay rate is
$30,000 and the midpoint of the pay range is $28,000.
Compa-ratio Meaning
Wages fall below the midpoint.
Below 100%
Occurs when:
o Employee is new to organization or position
o Employee is performing poorly
o Organization adopts a lag strategy with regard to pay
Wages exceed the midpoint.
Above 100%
Occurs when:
o Organization adopts a lead strategy with regard to pay
o Managers are not following salary-increase policies
o Employee is long-tenured and/or a high performer
Base Pay
Most employees receive some type of base pay, either in the form of an hourly
wage (for each hour worked) or a salary (a uniform amount no matter how
many hours are worked).
Hourly employees are classified as non-exempt and are subject to overtime premiums
(WorldatWork 2007).
Minimum Wage
Minimum wage The lowest hourly, daily or monthly salary employers must
legally pay to employees or workers.
Governments typically set a minimum wage for a country or economic region and
adjust it annually. Setting a minimum wage is intended to provide employees with
decent minimum standards and fairness in the workplace.
The following items typically are not included in minimum wage calculations:
Overtime
Subsidy for working under extreme conditions (including night shift, high
temperature or hazardous or remote environments)
Statutory insurance and benefits
HR leaders should be thoroughly familiar with the legal and regulatory environment
associated with benefit programs (both benefits accorded to employees through
government-sponsored programs and those offered through the organization).
There are numerous online sources for legal information regarding benefits. The
websites listed below provide some examples:
International Federation of Pension Funds Administrators:
http://www.fiap.cl/p4_fiap_eng/site/edic/base/port/front_cover.html
Towers Watson Benefits Reports (by country):
http://www.watsonwyatt.com/wwdsemea/default.asp?ID=21165&search=on
&country=all_countries
Employment Contracts
Implied Contracts
Implied contracts have terms derived from statutory or common law, from collective
agreements, or from local norms for the job, employer and country. The terms of
implied contracts vary by country.
Amending Contracts
Employment terms are defined by contract. Therefore, an employer must amend the
contract to change employment terms (for example, pay, hours and duties). In certain
situations--under a collective bargaining agreement, for example--an employer’s
options for changing contracts may be limited.
Organizations typically have a set of rules that define the expectations and conduct of
managers and employees. While laws and regulations define minimum expectations,
organizations write their own rules. These rules can be written policies or handbooks.
The HR function is often responsible for writing the policies and handbooks, and
understanding the informal practices. Organizational HR policies, practices and
procedures influence:
Employment conditions (including attendance, dress/appearance and conduct)
Work events (transactions including hiring, leaves of absence, termination and
redundancy)
Please review the Towers Watson website for reports that provide a practical and
comprehensive overview of individual and collective employment relationships,
and employment terms and conditions by country: http://www.watsonwyatt.com/
wwdsemea/default.asp?ID=21172&search=on&country=all_countries.
In the International Labour Organization (ILO) health, safety and environment (HSE)
guidelines, every employee has a right to a safe workplace, environment and competent
supervision, among others. Due to the nature of HSE regulations and the need to ensure
strict compliance, HR plays a primary role in managing the accountability process.
Industrial Relations
Richard Hyman offers the following definition of industrial relations:
"…the study of the processes of control over work relations; and among
these processes, those involving collective worker organisation and
action are of particular concern." (Eurofound 2009)
According to Dowling, Festing and Engle, trade unions may limit an organization’s
strategic choices in the following three ways:
1. Influencing wages to the extent that cost structures may become uncompetitive
2. Constraining the ability to vary employment levels at will
3. Hindering or preventing global integration of operations
Trade unions are concerned about the implications from the following MNE
characteristics:
Formidable financial resources
Alternative sources of supply
The ability to move production facilities to other countries
An opaque decision making structure and an obscured division of authority
Production facilities in many industries
Superior knowledge and expertise in industrial relations
The capacity to withhold investment in plants or facilities, thus making them
obsolete or economically non-competitive
Industrial labor groups have many names. The scope of these labor organizations
varies from country to country. Here are a few possibilities:
Labor inion
Trade inion
Works council
Worker committee
Efforts have been made by international institutions such as the ILO and the
Organisation for Economic Co-operation and Development (OECD), to address
employee rights through international laws and standards. The ILO standards, in
particular, serve as the foundation for the vast majority of employment laws and
acceptable leadership practices throughout the world, and they should, therefore, play
an essential role in HR service delivery. It is important for HR professionals to
understand the evolution of these labor principles and, more importantly, their
influence across an enterprise’s worldwide operations.
Human rights standards promulgated by the ILO, many of which relate directly to
worker rights, provide the foundation of many of the employment-related laws with
which global HR organizations must comply. The ILO has adopted more than 180
conventions and more than 190 recommendations. They cover such topics as basic
worker rights, industrial relations and conditions of work.
Berne Convention, This convention was the first to establish recognition of copyrights
1886 among sovereign nations.
Universal Copyright This convention was developed by UNESCO (the United Nations
Convention, 1952 Educational, Scientific and Cultural Organization) as an alternative
to the Berne Convention for those entities that disagreed with
aspects of the Berne Convention but still wished to participate in
some form of multilateral copyright protection.
World Intellectual This treaty was signed and ratified by more than 90 countries. It
Property Organization ensures that computer programs are protected as literary works;
Copyright Treaty, creates copyright protection for databases, and; prohibits
1996 circumvention of protections.
Figure 3-8. Key Copyright and Intellectual Property Conventions and Treaties
As part of the initial offer to the preferred candidate, signing a confidentiality or non-
disclosure agreement is required to protect the organization’s proprietary information.
HR is often involved in implementing training programs to address the protection of
trade secrets (Society for Human Resource Management, Type of Intellectual
Property Dictates Protection Needed 2008).
For additional information on this topic, please review the World Intellectual
Property Organization (WIPO) website: www.wipo.int.
Practice Questions
1. As an HR professional, what is the best approach for handling legal concerns and issues?
a. Stay informed about new laws concerning HR issues.
b. Use law school and professional association sources to formulate new
organizational policies and procedures.
c. Use impartial third parties (such as mediators and arbitrators) as often as possible
to negotiate employee disagreements.
d. Consult with your organization’s legal counsel both proactively and reactively.
2. Which aspect of the legal environment assures an employee’s right to a safe workplace
and environment?
a. Anti-discrimination, harassment and fair work laws
b. Compensation and benefits laws
c. Employment laws
d. Occupational safety and health (OSH) laws
3. Which aspect of the legal environment addresses minimum wage and overtime pay
issues?
a. Anti-discrimination, harassment and fair work laws
b. Remuneration laws
c. Employment laws
d. Occupational health and safety laws
Skills & Knowledge: 02. Industry benchmarks for compensation (for example, salary
surveys, benefit packages)
Introduction
Remuneration Money paid for work including wages, commissions, bonuses,
overtime and pay for holidays, vacations and sickness.
Compensation and benefits laws describe the conditions for how employees are
remunerated and the benefits provided to employees as part of their employment.
These laws vary greatly by country. Examples of laws that fall under this category
include:
Minimum wage requirements
Application of overtime pay rates
Protection from wage discrimination
Description Examples
Benefits that are These benefits are administered Typically health care and
government and provided directly by the retirement benefits
provided government, usually paid for May also include life
through taxes. insurance, disability insurance
or unemployment insurance
Benefits that are These benefits are provided by Specific types of leave
government employers by law. A certain amount of annual
mandated vacation
Statutory holidays
Benefits that are Benefits provided voluntarily by Additional health care benefits
voluntary the employer may not be totally Additional annual vacation
(discretionary) discretionary because days
competitive practice or employee
relations may exert pressure on
the employer.
Figure 4-1. General Benefit Variations Across Countries (continued next page)
Description Examples
Benefits that are These benefits are offered and Car or car/transportation
market practice adjusted compared to the external allowance
market. Child care vouchers
Meal vouchers
Tax treatment of Benefits are taxed differently by Examples include varied taxes for:
benefits country. Cash and non-cash
compensation
Benefits
Perquisites
There are numerous online sources for legal information regarding remuneration
and benefits. The websites listed below provide some examples:
The Global Legal Information Network (GLIN) is a public database of official
texts of laws, regulations, judicial decisions and other complementary legal
sources contributed by governmental agencies and international organizations:
http://www.glin.gov
NATLEX, the database of national labour, social security and related human
rights laws and legislation is maintained by the International Labour
Organization’s (ILO's) International Labour Standards Department:
http://www.ilo.org
Leave Entitlements
Law and regulations for time off with pay vary by country. Figure 4-2 provides
examples of the statutory time off with pay (paid vacation days and mandated paid
holidays) for 21 of the richest countries around the world.
Figure 4-2. Examples of Time Off with Pay by Country (Ray and Schmidt 2007)
As you can see, France is the most generous, with 30 days, and the United States is
least generous with zero mandated days. Note that Figure 4-2 shows the minimum
days mandated by law. The average number of paid vacation days may actually be
higher due to factors such as additional bank holidays in a specific region or state, or
the number of year’s seniority an employee has earned.
Discriminatory Actions
Anti-discrimination, harassment and fair work laws vary by country. These laws are
influenced by cultural and societal norms. HR professionals must have a thorough
understanding of all laws related to discriminatory actions for all jurisdictions where
an organization has a presence.
Section 3.3: Local and International Labor Laws and Practices describes
minimum wage and overtime laws and considerations.
The pressures exerted by family issues directly affect an employee’s productivity and
morale. An organization’s total rewards program assists with these issues by creating
an environment that helps employees balance their family needs with organization’s
operational needs. Examples of methods for facilitating work/life balance include:
Non-traditional scheduling options (including compressed workweeks,
flextime, job sharing and telecommuting)
Child care facilities in the workplace
Child care referral programs
Flexible hours for working parents
Flexible spending accounts for child care and medical expenses
Adoption assistance
Elder care referral program
Employee assistance programs
A concierge service for employee errands (for example, dry cleaning picked up
and delivered to the workplace)
Wellness and fitness programs (Heneman and Coyne 2007), (Gamlem 2007),
(Pacific Bridge, Inc. 2007), (Long 2008), (WorldatWork 2007)
Data Protection
There are international, regional and country specific laws pertaining to personal data
security and accessibility. HR leaders should work closely with legal counsel to
comply with these requirements.
To learn more about data privacy and security, review the International Data
Protection Legislation Matrix:
http://www.accurateinformationsystems.com/docs/International_Data_Protection
_Laws.pdf
Local nationals Employees or other people who are citizens of the country where
a person is working on an expatriate assignment. Also referred to
as host country nationals.
Considerations such as determining pay and benefits for expatriates and international
assignees and employees from different countries (including inpatriates and local
nationals) also affect total rewards programs. In these situations, HR must incorporate
varying country approaches and differing levels of pay and benefits; manage
problems including multiple currencies, exchange rates, inflation rates, tax systems
and rates, and consider different local standards and costs of living (Briscoe, Schuler
and Claus 2008).
An organization may need to pay an employee under a new system that is competitive
with local practices (Neijzen and DeBruyker 2010). Before implementation, HR must
make practical tactical decisions that will support the strategy, including:
Determining the best mix of employees in the new location—balancing local
nationals, short- and long-term international assignees, outsourcing and
independent contractors
Designing appropriate rewards programs
Establishing policies, practices and guidelines, and deciding an approach to
standardization and localization
Please review the Society for Human Resource Management website to learn
more about these four approaches to compensation:
http://www.shrm.org/TemplatesTools/hrqa/Pages/ CMS_024253.aspx.
Methods
Pay Surveys
Once an organization has decided that a pay survey is needed, HR leaders must
decide how to design and conduct the survey. Figure 4-3 illustrates the continuum of
pay survey choices.
Please review the Society for Human Resource Management website to learn
more about salary surveys:
http://www.shrm.org/hrdisciplines/compensation/Pages/salsurvey.aspx.
Pay Ranges
Pay ranges The upper and lower bounds of possible compensation for
employees whose jobs fall in a pay grade. Pay ranges are created
for each pay grade.
Pay grade Used to group jobs that have approximately the same relative
internal worth and are paid at the same rate or within the same
pay range.
The data gathered from pay surveys are used to establish the minimum, maximum,
and midpoint of the pay range. Once ranges are established, calculating compa-ratios
helps HR leaders determine if compensation policies are being implemented as
intended.
Section 3.3: Local and International Labor Laws and Practices describes
ranges and compa-ratios in more detail.
Figure 4-4 shows a typical pay structure using monthly salary figures.
Range Midpoint
Grade Minimum Midpoint Maximum
Spread Difference
Broadbanding
Some organizations use broadbanding to simplify pay ranges and pay grades and
make them more manageable. In this approach, the spread of the pay ranges is
greater and there is less overlap with other pay ranges. Broadbanding evolved
because organizations wanted to reduce the levels in their hierarchies and move
decision-making closer to the point where necessity and knowledge exist in
organizations. Although this approach may include fewer level-promotion
opportunities, it allows more flexibility for pay increases and career growth
without specific job promotion.
Figure 4-5 shows an example of broadbanding with minimums and maximums for
each band.
HR leaders work with leaders and employees to create the organization’s total
rewards approach. It is important for organizational leaders to support this strategy in
order to be successful.
Figure 4-6. Total Rewards Strategy Development Process (Heneman and Coyne 2007)
Design: Leaders work with the project team to identify which reward strategies
best align with the organization’s vision, mission, values and objectives.
Strategies can include:
o Remuneration for achievement of goals
o Benefits
o Flexible work schedule
o Additional time off
o Personal and professional development opportunities
Execution: Once the total rewards system has been designed and approved by
senior leadership, the HR department implements the strategy and
communicates it to all employees.
Please review the Society for Human Resource Management website for tips to
upgrade total rewards communications:
http://www.shrm.org/hrdisciplines/compensation/Articles/
Pages/TotalRewardsCommunications.aspx.
Types of Compensation
Most organizations offer employees two basic types of compensation.
Externally competitive
Internally equitable
Organizational Culture
Workforce Contexts
The rewards program must also align with the workforce. An organization with entry-
level or unskilled workers will have a very different rewards package than one with
experienced, highly educated professionals.
One way to keep in touch with the employees’ needs and preferences is by
conducting employee surveys to assess satisfaction, attitudes, and current and long-
term needs. Analyzing the workforce and its characteristics helps an organization
understand the needs it must satisfy.
External Competitiveness
Internal Equity
Retirement plans differ widely by country. Many retirement programs are mandated
by the government and paid for through employee and employer contributions.
Supplemental government support is sometimes provided. Tax codes, local statutory
or government regulations, cultural perspectives, external competitiveness and
customary practices within the country also affect how and which retirement benefits
are provided by an organization (Frauenheim and Hua 2008). As a result, many
different models for retirement benefits exist by country. This topic will provide
fundamental information about retirement benefits and links to resources that can
help determine which model(s) apply to an organization.
Defined benefit A retirement plan that tells participants exactly how much money
plan (DB Plan) they will receive on a specific future date (usually the day they
retire).
Defined benefit (DB) plans and Defined contribution (DC) plans are two common
types of qualified retirement plans (Bhatia 2010). Figure 4-8 provides a side-by-side
comparison of DB and DC plans.
DB plans in some jurisdictions (including Australia, the United Kingdom and New
Zealand) have been overwhelmed by ongoing funding problems. In the early 1990s,
employers in these jurisdictions converted to an accumulation fund model. DC plans
are also having funding problems, generally linked to their formulation, which has
become obsolete and unaffordable by employers. These challenges are due, in large
part, to people living longer.
There are numerous online sources for information about retirement benefits.
Read Society for Human Resource Management articles about retirement plans:
o DB Plans: http://www.shrm.org/hrdisciplines/benefits/Pages/dbp.aspx
o DC Plans: http://www.shrm.org/hrdisciplines/benefits/Pages/dcp.aspx
Review common questions and answers on the Society for Human Resource
Management website:
o DB Plans: http://www.shrm.org/TemplatesTools/hrqa/benefits/Pages/dbp.aspx
o DC Plans: http://www.shrm.org/TemplatesTools/hrqa/benefits/Pages/dcp.aspx
Access a global database of labor, social security and human rights related laws and
legislation maintained and kept current by the ILO on the NATLEX website:
http://www.ilo.org/dyn/natlex/natlex_browse.home
Perquisites
Perquisites Special non-monetary privileges (for example, a car or club
membership) that come with senior-level job positions; also
called executive perks or fringe benefits.
Figure 4-9 presents some perquisites that organizations may offer their employees by
region.
Country/
Common Perquisites
Region
Lunches
Asia/Pacific
Transportation
region
Uniforms
Manager allowance
Family allowance
Housing allowance
Company cars (provided to senior executives and direct sales
Australia
employees) with a business use requirement including the
provision of fuel, maintenance, insurance and licensing expenses
Discounts on company products
Company cars (provided to senior executives, and in some cases
Brazil
middle management) with a business use requirement including the
provision of fuel, maintenance, insurance and licensing expenses
Meal tickets (which provide tax advantages for an organization)
are intended to provide proper employee nutrition for organizations
that do not have their own restaurant or canteen
Lunch vouchers
Perquisites that support family interests (such as drivers or
housekeepers) are common
Country/
Common Perquisites
Region
Company car or car allowance (provided to management staff)
China
Manufacturing companies outside downtown areas provide
transportation/shuttle buses to and from work for employees
Meal subsidies
Free meals may be provided on-site in manufacturing facilities
located in remote areas
Company cars (provided to senior executives, direct sales and
Denmark
employees) with a business use requirement
Organizations have car-only policies or offer a choice between a
car and a cash allowance
Company cars (provided to most managerial employees, sales and
France
other employees) with a business use requirement
Company cars (provided to senior executives and in some cases
India
middle management) and drivers
Free or subsidized meals are typical, depending on the employee’s
Poland
job level
Company car or car/cash alternative (provided to senior executives,
United
middle managers and other employees) with a business use
Kingdom
requirement
Company cars or car allowances (provided to senior executives and
United States
employees with a business use requirement)
Personal use of company cars is taxable based on a schedule of
values related to purchase price
Club memberships
Figure 4-9. Common Perquisites by Country or Region (Reynolds 2001), (Society for Human
Resource Management, Fewer U.S. Companies Offered Executive Perks in 2010, 2010) (concluded)
Phased Retirement
Some organizations allow employees who are approaching normal retirement age to
reduce the number of hours worked or to work in a different capacity. HR must
understand all aspects of an employee’s retirement package and advise the employee
on related details. For example, an employee who has reached retirement age but has
decided to keep working may begin receiving benefit payments under some plans.
Termination
When an employee returns from maternity leave, their employer may offer several
options:
Full-time work
Work in graduated steps
Part-time work
HR works with the employee based on the organization’s policies and legal
requirements to determine a working arrangement that will meet the needs of both the
employee and the organization. HR’s goal is to help the employee transition back to
work efficiently and facilitate development of work/life balance (University of
Cambridge 2010).
Another one of HR’s roles in the repatriation process is remuneration and benefits
adjustment. This can be a challenge. For example, if the assignee’s compensation
package was set too high, the employee will be reluctant to lose this additional source
of income.
In some cases, an organization may reward the returning employee with a re-hire
bonus. These monetary bonuses are provided to employees who return to an
organization within a designated time period after a layoff. HR must be aware of any
such bonuses and communicate any related policies and conditions to the employee
(Society for Human Resource Management, Take Steps to Reduce Legal Risks When
Hiring After Layoffs 2010).
Practice Questions
Skills & Knowledge: 10. Evaluation of HR information systems (HRIS) and technology
(for example, their use for payroll, talent development, and
personnel data)
Introduction
The role of human resources (HR) is changing rapidly due to advances in technology
that are dramatically transforming the practice of human resource management
(HRM). Many organizations now deliver HR services using technology and web-
based applications. This practice is commonly referred to as e-HR. Research shows
that organizations that implement HR technology tools are more effective than those
that do not. HR professionals must have the ability to deliver HR services using
technology in addition to mastering traditional HR skills and knowledge. (Johnson
and Gueutal 2011)
Technological Factors
The following factors influence the use of technology to deliver HR services:
Advances in technology
Technological skills
Technology access issues
Process changes
Advances in Technology
Technological changes not only affect the HR department but also the organization’s
employees and structure.
Allow organizations to provide service 24 hours a day, 7 days a week to
accommodate customers worldwide
Provide employees with the tools to perform their jobs more efficiently and
accurately
Permit employees to work anytime, anywhere
Influence the way in which organizations solve problems
Facilitate instantaneous and global communication
Increase concerns about data privacy, identity theft and the vulnerability of
essential technological infrastructures
Technological Skills
Because the need to learn new technological skills emerges quickly, organizations
must monitor technological changes to identify needs and provide employees with the
necessary training. Organizations need to recognize that retraining workers is an
ongoing effort necessary to build a skilled workforce. Organizations can use e-
learning to quickly and efficiently address training needs as they emerge.
Digital divide The gap between individuals with and without access to
technology.
As the world has become increasingly dependent on technology and the Internet, a
digital divide has emerged between those organizations and economies with access to
technology and those without access. For example, this gap can impede the sharing of
information in organizations with subsidiaries that operate in regions or communities
without high-speed Internet access.
Process Changes
Managing Technology
HR’s role in managing technology includes:
Helping identify new technologies that aid in the achievement of the
organization’s strategic HR goals
Facilitating the change caused by the rapid growth of new technologies
Managing cultural and strategic changes resulting from the introduction of new
technologies
Trends in Technology
As technology changes the way organizations do business, HR professionals must be
aware of technology trends, capabilities and issues in order to lead their
organizations, be effective strategic partners, and ensure their organizations remain
viable and competitive. Many organizations are now revising essential HR processes
to include HR technology and effectively deliver HR services that support the
organization’s strategic plan. HR technologies are becoming more advanced and are
no longer limited to basic HR transactions (Towers Watson 2010).
HR should carefully examine the possible risks and benefits before implementing
new technologies in an organization. Once implemented, HR should assess, evaluate
and monitor the effects of these technological innovations.
Technology Integration
HR leaders should carefully analyze and determine their HR needs and align them
with organizational strategy before making implementation decisions (Towers
Watson 2010). While new technologies can potentially save organizations time and
money, implementation of these new technologies may be met with resistance. For
example, employees might be intimidated by the new system or be resistant to
change. Additionally, employees may fear that the new system will make them
redundant. Leaders must be prepared to address employee concerns and support them
during the changes that technology brings.
It is important to note that when an organization has already deployed an HRIS, other
new technologies tend to be more readily accepted (Society for Human Resource
Management, Growth Opportunities Seen in Benefits Administration Market 2007),
(Society for Human Resource Management, Case Study: Knowledge Applications —
ATK Uses Authoria for Shared Services and Sel 2007).
Self-service Implementation
Employee self- An HRM trend that allows employees to handle many job-related
service (ESS) tasks (such as updates to their personnel data) using technology.
Manager self- A technology system that allows leaders to access data and
service (MSS) complete administrative HR tasks online without the help of HR.
Another tool HR can use is phased implementation. With phased implementation, the
system is introduced in phases (for example, first to leaders and then employees or by
department). A phased implementation allows HR time to market the system to
specific employee groups. It also allows HR to customize the communication and
training to suit the needs of the audience for each phase (Anheier and Doherty 2005).
There are many variations of technology for organizations that fit between these two
extremes (Johnson and Gueutal 2011).
Application suites are available from multiple sources; some may be part of a broader
enterprise resource planning (ERP) system used by the entire organization.
HRIS can help organizations improve service and quality, and save time and money.
However, setting up an HRIS is a complicated task. Organizations should seek input
from stakeholders, technical experts and vendors to select or develop an effective
product.
Applications of HRIS
Strategic Management
An HRIS also provides project management tools that can support virtual teams
working in geographically dispersed locations. These tools facilitate communication
and coordination, and provide a conduit for sharing information and experiences.
Skill banks and skill Computerized talent or skill inventories that can
tracking systems provide a list of qualified people.
HRIS skill banks and skill tracking systems can be robust tools for internal
recruitment. These systems contain a complete database of employee records that
include the specific qualifications for each employee. Organizations can quickly and
efficiently scan these records to locate qualified candidates to fill vacancies.
An HRIS assists organizations with the human resource development (HRD) process.
An HRIS allow HR professionals to:
Define employee career path development.
Record and store employee information including education, skills, and
completion of training programs.
Manage training including registering employees for courses, monitoring the
training budget, and scheduling trainers and facilities.
Automate the employee performance management process (Johnson and
Gueutal 2011)
Risk Management
Setting up an HRIS can be a complicated task. HR leaders should seek advice from
stakeholders, technical experts and vendors before selecting or developing an HRIS.
While the HRIS applications discussed earlier can provide organizations with
valuable, consistent information, challenges frequently arise. These systems can be
time-consuming and expensive to implement and require frequent maintenance. Some
additional challenges include:
Affordability
Accessibility
Attitudes and regulations toward employee data and privacy
Different technology platforms used in various locations in which the
organization operates
Cultural acceptance of the technology system (such as employees’ emotional
responses to technology)
Figure 5-1 presents the different types of knowledge and their implications for
management.
Type of
Characteristics Implications
Knowledge
Simple and inexpensive to Easy to exploit within the
Explicit:
transfer organization
knowing about
Non-exclusive Difficult to protect from rivals
A weak basis for sustainable
advantage
Difficult to articulate or Sound basis for sustainable
Tacit: knowing
codify competitive advantage
how
Transfer is expensive and Challenge is to replicate it
difficult internally
Requires observation and
practice
Figure 5-1. Types of Knowledge and Their Implications for Management (Grant 2010)
Organizations utilize a system to gather, store, and share knowledge and insights.
These systems help prevent knowledge loss that can occur through layoffs,
retirements, reassignments and voluntary resignations.
formal procedures for capturing information and a specific repository for the
information that is gathered.
Activity Description
Inventory knowledge assets Catalog the tangible assets of the company (such as
white papers, presentations and articles), best
practices and areas of employee expertise.
Create a knowledge base Enter the information into a system for easy access
and directory and retrieval. The directory is a listing of employee
skill banks and areas of expertise (building
connections), whereas the knowledge base is all the
tangible assets (building collections).
Update the system Maintain and update the system as people, projects
and information change.
There are two distinct behaviors with respect to knowledge management systems:
Knowledge-contributing: The willingness of employees to contribute
knowledge to the system and share it with others.
Knowledge-seeking: The willingness of employees to seek information from
the system.
Challenges
Many organizations have deployed knowledge management systems but are
disappointed with the investment because the systems are not being actively used by
employees for knowledge sharing. The premise for a knowledge management system
is logical and compelling, but as companies get bigger and more geographically
dispersed, knowledge management becomes more challenging.
Communication Platforms
Employees want to be kept informed, but many organizations fail to communicate
and keep employees involved, especially over distances, across time zones, in
different languages and among multiple cultures. HR plays a fundamental role in
providing employees with better access to relevant information through regular
communication with employees.
Figure 5-3 presents some common communication platforms and how they are used
by HR to communicate and deliver services to the organization.
Podcasting Members of the organization can HR can create podcasts that inform
download digital media files (for employees about new or changes to
example, speeches, PowerPoint existing policies and programs
presentations, video
demonstrations) at any time of day,
anywhere in the organization, from
a desktop. Or, content could be
streamed (delivered live over the
Internet).
Practice Questions
2. Of the technologies listed below, which one has the primary mission of sharing
information in meaningful ways to promote employee learning?
a. Communication platforms (such as web conferencing and video teleconferencing)
b. Human resource information systems (HRIS)
c. Knowledge management systems
d. Project management systems
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Index
@Task ....................................................... 38 Berne Convention, 1886 ......................... 116
activity chart.......................... See Gantt chart blogs .................................. 36, 159, 171, 172
and recruitment ...................................... 55
Adoption assistance ................................ 129
body language ..................................... 18, 19
Africa ........................................................ 19
Bolivia ..................................................... 145
application service providers (ASPs) ...... 158
Boudreau, John ......................................... 72
Argentina................................................. 145
brand ............................................. 46, 47–51
Asia ......................................................... 142 management .......................................... 49
strength .................................................. 49
ASPs..........See application service providers
branding, employment ........................ 47–51
Assessment centers ................................... 65
Brazil ................................................. 68, 142
assimilation ................................... 89–90, 92
broadbanding................................... 133–134
Australia .................................. 108, 141, 142
Brockbank, Wayne .................................... 14
background investigation .................... 65–66
Business-to-business (B2B) e-commerce 158
base pay................................... 105, 132, 136
Canada....................................................... 54
Base pay .................................................. 137
Cappelli, Peter ........................................... 73
Basecamp .................................................. 38
Cause and Effect diagram ........ See Fishbone
Behavioral Theories of leadership ............ 20 diagram
benefits .. 25, 33, 67, 70, 83, 91, 92, 121–148 centralization ............................................. 31
and HRIS ....................................... 164–65
as part of a Total Rewards strategy ... 134– change agent.............................................. 30
136
indirect compensation ................. 136–137 child care ................................................. 129
legal aspects of HR's service delivery
responsibilities ................................. 107 China ........................................... 56, 68, 143
legislation affecting ......... 106–7, 125–130
variations across countries .......... 126–127 Colombia ................................................. 145
employee referrals, and recruitment ......... 53 feedback ................ 8, 22, 27, 39, 57, 86, 160
employee rights legislation ............... 113–14 Festing, Marion ............................... 111, 112
enterprise resource planning (ERP) ........ 162 geocentric approach to talent acquisition .. 76
human resource management (HRM) . 5, 155 international trade secretariats (ITSs) ..... 112
motivation ............................... 9, 18, 22, 134 pay ...... 105–6, 108, 109, 124, 125, 130–131,
136, 137, 139, 145
multinational enterprises (MNEs) ........... 111 ranges .......................................... 133, 134
structure ............................................... 133
NATLEX......................................... 127, 141 surveys ................................................. 132
needs analysis.......................... 11, 80–81, 81 pay grades ............................................... 134
negotiation........................................... 67–68 pay ranges ....................................... 103, 104
cross-cultural ................................... 67–68
PDCA . See Plan, Do, Check, Act Leadership
New Zealand ........................................... 141 Model
nominations, and recruitment.................... 53 perquisites ....................... 127, 137, 142–143
Occupational Safety and Health (OSH) .. 110 personal networking, and recruitment....... 55
OD .............. See organizational development PERT chart ................................................ 37
offer letter.................................................. 66 PERT/CPM .......................... See PERT chart
online social networks, and recruitment ... 55 phased retirement .................................... 144
open house, and recruitment ..................... 55 Phillips, Jack ............................................. 70
organizational culture.................... 5, 25, 138 pilot programs ......................................... 160
organizational development (OD)............. 30 Plan, Do, Check, Act (PDCA) Leadership
implementing initiatives .................. 30–31 Model .............................................. 28–29
organizational goals ........ 12, 26, 32, 82, 161 podcasting ....................................... 159, 172
organizational strategy ............................ 160 Poland ..................................................... 143
alignment to ..................................... 11–12
polycentric approach to talent acquisition 75
organizational values ................................ 32
procedural interventions............................ 31
orientation ........................................... 89–93
as an HR service delivery process ......... 91 professional associations, and recruitment 56
timeline ............................................ 92–93
Project Insight ........................................... 38
outplacement services, and recruitment .... 55
project management ............................ 33–39
outsourcing .......................... 5, 24, 51, 84–88 organizational concerns ......................... 35
deploying a solution ........................ 87–88 project phases .................................. 34–35
measuring effectiveness ........................ 88 service delivery roles ....................... 34–35
stages of ........................................... 85–86 software ................................................. 38
project planning tools .......................... 36–37 sabbaticals, employees returning from ... 147
psychometric tests ..................................... 65 salary ............. 67, 103–6, 132, 133, 137, 145
legal wage parameters ......................... 129
RACI chart ................................................ 37 range spread ......................................... 103
recruitment .......... 47, 50, 52–57, 79–83, 163 selection .................................. 52, 57, 62–68
documentation ................................. 57–62 analyzing the résumé/curricula vitae (CV)
effectiveness .......................................... 57 ........................................................... 63
objectives ............................................... 52 background checks .......................... 65–66
strategies ................................................ 81 criteria.............................................. 52, 63
employment offers ................................. 66
reference checks .................................. 65–66 interviews .............................................. 64
job offers, contingent ............................. 66
referrals, and recruitment .................... 53, 56 process ................................................... 63
tests ........................................................ 65
regiocentric approach to talent acquisition 76
self-service technologies ........... 158, 160–61
remuneration 25, 33, 60, 74, 83, 102–7, 121– employee ............................... 158, 160–61
148, 164–65 manager ......................... 158, 160–61, 162
legal aspects of HR’s service delivery
responsibilities ................................. 102 service delivery model .................... 7, 10–27
legislation affecting ......................... 102–6 Phase 1
Service Delivery Formulation ..... 10–14
repatriation ...................................... 146–147 Phase 2
Service Delivery Communication 14–24
response mechanisms ................................ 27
Phase 3
résumés ..................................................... 63 Service Delivery Implementation 24–26
Phase 4
retention ........................................ 69–71, 91 Evaluation of Services ................. 26–27
of employees ................................... 69–71
service delivery roles .......................... 34–35
retirement plans ................... 25, 33, 140–141
defined benefit versus defined service mark ............................See trademark
contribution plans ............................ 141
shared services .................................... 13–14
retirement, phased ................................... 144 considerations .................................. 13–14
model ..................................................... 13