Ch 2 -_hr_planning

Copyright © 2010 Pearson
Education, Inc. publishing as
4-1
Human Resource Management
11th
Edition
Chapter 4
JOB ANALYSIS, STRATEGIC
PLANNING, AND HUMAN
RESOURCE PLANNING

4-2
HRM in Action: Social Networking: Getting
to Know Each Other
• Web site serves as virtual community, where
group of people use Internet to communicate
with each other about anything and everything
• Because of rapid growth of sites, companies
are having to determine if they should permit
employees to use public sites at work such as
MySpace and Facebook to communicate with
coworkers or does company want to control
access

4-3
Definitions
• Job analysis - Systematic process of
determining skills, duties, and knowledge
required for performing jobs in organization
• Job - Consists of group of tasks that must be
performed for organization to achieve its goals
• Position - Collection of tasks and responsibilities
performed by one person; there is a position for
every individual in organization

4-4
Definitions (Cont.)
• A work group consisting of a supervisor,
two senior clerks, and four word
processing operators has 3 jobs and 7
positions.

4-5
Questions Job Analysis Should
Answer
• What physical and mental tasks does
worker accomplish?
• When is job to be completed?
• Where is job to be accomplished?
• How does worker do job?
• Why is job done?
• What qualifications are needed to perform
job?

4-6
Job Analysis: A Basic Human Resource Management Tool
Tasks Responsibilities Duties
Job
Analysis
Job
Descriptions
Job
Specifications
Knowledge Skills Abilities
Staffing
Training and
Development
Performance Appraisal
Compensation
Safety and Health
Employee and Labor
Relations
Legal Considerations

4-7
Reasons For Conducting
Job Analysis
• Staffing - Haphazard if recruiter does not know
qualifications needed for job
• Training and Development - If specification lists
particular knowledge, skill, or ability, and person filling
position does not possess all necessary qualifications,
training and/or development is needed
• Performance Appraisal - Employees should be evaluated
in terms of how well they accomplish duties specified in
their job descriptions and any other specific goals that
may have been established
• Compensation - Value of job must be known before
dollar value can be placed on it

4-8
Reasons For Conducting
Job Analysis (Cont.)
• Safety and Health - Helps identify safety and
health considerations
• Employee and Labor Relations - Leads to more
objective human resource decisions
• Legal Considerations - Having done job analysis
important for supporting legality of employment
practices

4-9
Summary of Types of Data Collected
Through Job Analysis
• Work Activities - Work activities and
processes; activity records (in film form,
for example); procedures used; personal
responsibility
• Worker-oriented activities - Human
behaviors, such as physical actions and
communicating on job; elemental motions
for methods analysis; personal job
demands, such as energy expenditure

4-10
Through Job Analysis (Cont.)
• Machines, tools, equipment, and work aids
used
• Job-related tangibles and intangibles -
Knowledge dealt with or applied (as in
accounting); materials processed;
products made or services performed
• Work performance - Error analysis; work
standards; work measurements, such as
time taken for a task

4-11
Through Job Analysis (Cont.)
• Job context - Work schedule; financial and
nonfinancial incentives; physical working
conditions; organizational and social
contexts
• Personal requirements for job - Personal
attributes such as personality and
interests; education and training required;
work experience

4-12
Job Analysis Methods
• Questionnaires
• Observation
• Interviews
• Employee recording
• Combination of
methods

4-13
Questionnaires
• Typically quick and economical to use
• Structured questionnaire to employees
• Problem: Employees may lack verbal skills
• Some employees tend to exaggerate
significance of their tasks

4-14
Observation
• Job analyst watches worker perform job
tasks and records observations
• Used primarily to gather information on
jobs emphasizing manual skills
• Used alone is often insufficient
• Difficulty: When mental skills are dominant
in a job

4-15
Interviews
• Interview both employee
and supervisor
• Interview employee first,
helping him or her describe
duties performed
• Then, analyst normally
contacts supervisor for
additional information

4-16
Employee Recording
• Describe daily work
activities in diary or log
• Problem: Employees
exaggerating job
importance
• Valuable in
understanding highly
specialized jobs

4-17
Combination of Methods
• Usually use more than one method
• Clerical and administrative jobs:
questionnaires supported by interviews
and limited observation
• Production jobs: interviews supplemented
by extensive work observations may
provide necessary data

4-18
Other Methods Available for
Conducting Job Analysis
• Department of Labor Job Analysis
Schedule
• Functional Job Analysis
• Position Analysis Questionnaire
• Management Position Description
Questionnaire
• Guidelines-Oriented Job Analysis

4-19
Department of Labor Job Analysis
Schedule
• Structured job analysis questionnaire that
uses a checklist approach to identify job
elements
• Focuses on general worker behaviors
instead of tasks
• Some 194 job descriptors relate to job-
oriented elements

4-20
Functional Job Analysis
• Concentrates on the interactions among
the work, the worker, and the organization
• Modification of the job analysis schedule
• Assesses specific job outputs and
identifies job tasks in terms of task
statements

4-21
Position Analysis Questionnaire
• Uses a checklist approach to identify job
elements
• Focuses on general worker behaviors
instead of tasks
• 194 job descriptors relate to job-oriented
elements
• Each job being studied is scored relative
to the 32 job dimensions

4-22
Management Position Description
Questionnaire
• Designed for management positions
• Uses checklist to analyze jobs
• Has been used to determine training
needs of individuals who are slated to
move into managerial positions
• Has been used to evaluate and set
compensation rates for managerial jobs
and to assign jobs to job families

4-23
Guidelines-Oriented Job Analysis
• Step-by-step procedure for describing the
work of a particular job classification
• Obtains the following types of information:
(1) machines, tools, and equipment; (2)
supervision; (3) contacts; (4) duties; (5)
knowledge, skills, and abilities; (6)
physical and other requirements; and (7)
differentiating requirements

4-24
Conducting Job Analysis
People who participate
in job analysis should
include, at a minimum:
• Employee
• Employee’s immediate
supervisor

4-25
Job Description
• Document that states
tasks, duties, and
responsibilities of job
• Vitally important job
descriptions are both
relevant and accurate

4-26
Items Frequently Included In a Job
Description
• Major duties performed
• Percentage of time devoted to each duty
• Performance standards to be achieved
• Working conditions and possible hazards
• Number of employees performing the job,
and to whom they report
• The machines and equipment used on job

4-27
Content of a Job Description
• Job Identification - Job title, department,
reporting relationship, and job number or
code
• Job Analysis Date - Aids in identifying job
changes that would make description
obsolete
• Job Summary - Concise overview of job
• Duties Performed - Major duties

4-28
O*NET, the Occupational
Information Network
• Comprehensive government-developed
database of worker attributes and job
characteristics
• Primary source of occupational
information
• Replaces Dictionary of Occupational
Titles (DOT)

4-29
Job Specification
• Job Specification - Minimum
qualifications person should
possess to perform particular job
• Should reflect minimum, not ideal
qualifications for particular job
• Job specifications are often
included as major section of job
descriptions

4-30
Problems If Job Specifications
Are Inflated
• May systematically eliminate
minorities or women from
consideration
• Compensation costs will
increase
• Job vacancies will be harder
to fill

4-31
Timeliness of Job Analysis
Rapid pace of
technological
change makes
need for accurate
job analysis even
more important
now and in the
future.

4-32
Job Analysis for Team Members
• With team design, there are no narrow
jobs
• Work departments do is often bundled into
teams
• Last duty shown on proverbial job
description, “And any other duty that may
be assigned,” is increasingly becoming
THE job description.

4-33
Job Analysis and the Law
• Equal Pay Act - Similar
pay must be provided if
jobs are not substantially
different as shown in job
descriptions
• Fair Labor Standards Act
- Employees categorized
as exempt or nonexempt

4-34
Job Analysis and the Law (Cont.)
• Civil Rights Act - Basis for adequate defenses
against unfair discriminations charges in
selection, promotion, and other areas of HR
administration
• Occupational Safety and Health Act - Specify job
elements that endanger health or are considered
unsatisfactory or distasteful by most people
• Americans with Disabilities Act - Make
reasonable accommodations for disabled
workers

4-35
Trends & Innovations:
Talent Management
• Process of anticipating workforce needs,
managing current workers, attracting highly
skilled workers and integrating and developing
them to achieve maximum workforce productivity
• Basically talent management exists to support
company objectives
• Companies are going to have to be innovative
as they attempt to recruit highly talented
individuals

4-36
Strategic Planning
• Strategic Planning - Process by
which top management
determines overall organizational
purposes and objectives and how
they are to be achieved
• Strategic planning at all levels
can be divided into four steps

4-37
Strategic Planning and Implementation Process
MISSION DETERMINATION
Decide what is to be accomplished (purpose)
Determine principles that will guide the effort
ENVIRONMENTAL ASSESSMENT
Determining external conditions, threats, and opportunities Determining
competencies, strengths, and weaknesses within the organization
External
Internal
OBJECTIVE SETTING
Specifying corporate-level objectives that are:
• Challenging, but attainable
• Measurable
• Time-specific
• Documented (written)
STRATEGY SETTING
Specifying and documenting corporate-level strategies and planning
STRATEGY IMPLEMENTATION

4-38
Strategy Implementation
• Leadership
• Organizational
Structure
• Information and
Control Systems
• Technology
• Human Resources

4-39
Human Resource Planning
Systematic process of
matching internal and
external supply of people
with job openings
anticipated in the
organization over a
specified period of time

4-40
Human Resource Planning Process
External Environment
Internal Environment
Strategic Planning
Human Resource Planning
Forecasting
Human
Resource
Requirements
Comparing
Requirements
and Availability
Forecasting
Human Resource
Availability
Surplus of
Workers
Demand =
Supply
No Action
Shortage of
Workers
Recruitment
Selection
Restricted Hiring,
Reduced Hours, Early
Retirement, Layoffs,
Downsizing

4-41
Definitions
• Requirements forecast - Determining
number, skill, and location of employees
organization will need at future dates in
order to meet goals
• Availability forecast - Determination of
whether firm will be able to secure
employees with necessary skills, and from
what sources

4-42
Forecasting Human Resource
Requirements
• Zero-based forecasting -
Uses current level as
starting point for
determining future staffing
needs
• Bottom-up approach - Each
level of organization,
starting with lowest,
forecasts its requirements to
provide aggregate of
employment needs.

4-43
Forecasting Human Resource
Requirements (Cont.)
• Relationship between Volume of Sales
and Number of Workers Required
• Simulation Models - Simulation is a
forecasting technique for experimenting
with real-world situation through
mathematical model representing that
situation. A model is abstraction of the real
world.

4-44
The Relationship of Sales Volume to
Number of Employees
Number of
Employees
500
400
300
200
100
0 10 20 30 40 50 60
Sales (thousands)

4-45
Forecasting HR Availability
• Determining whether firm will be able
to secure employees with necessary
skills, and from what sources
• Show whether needed employees
may be obtained within company,
from outside organization, or from
combination of these sources

4-46
Use of HR Databases
• Many workers needed for future positions may
already work for firm.
• Databases include information on all managerial
and nonmanagerial employees.
• Companies search databases within company to
see if employees with needed qualifications
already exist. Growing trend: Automatically notify
qualified employees of new positions.

4-47
Shortage of Workers Forecasted
• Creative recruiting
• Compensation incentives –
Premium pay is one method
• Training programs – Prepare
previously unemployable
people for positions
• Different selection standards

4-48
Surplus of Employees
• Restricted hiring –
Employees who leave
are not replaced
• Reduced hours
• Early retirement
• Downsizing - Layoffs

4-49
Downsizing
• Also known as restructuring and
rightsizing
• Reverse of company growing and
suggests one-time change in organization
and number of people employed
• Typically, both organizational structure
and number of people in the organization
shrink for purpose of improving
organizational performance

4-50
System Used In the Event of
Downsizing
• Unionized - Seniority usually is the basis
• Union-free - Productivity and needs of the
organization
• Retention bonuses are used to entice
terminated employees to remain for short
periods of time to ensure continued
services

4-51
Negative Aspects of Downsizing
• Cost associated with low
morale of those remaining
• Layers removed, making
advancement in
organization more difficult
• Workers may seek better
opportunities, fearing they
may be in line for layoffs

4-52
Negative Aspects of
Downsizing (Cont.)
• Employee loyalty significantly reduced
• Institutional memory lost
• Remaining workers required to do more
• When demand for products/services
returns, firm may realize it has cut too
deep
• May be an increase in number of
discrimination lawsuits

4-53
Outplacement
• Laid-off employees given
assistance in finding
employment elsewhere
• Companies use outplacement
to take care of employees by
moving them successfully out
of company rather than
having to do it on their own

4-54
Succession Planning
• Process of ensuring that qualified
persons are available to assume
key managerial positions once the
positions are vacant
• Goal is to help ensure a smooth
transition and operational
efficiency

4-55
Disaster Planning
• Should focus on catastrophes that range
from natural calamities such as
hurricanes, earthquakes, and floods to
man-made crises such as 9/11
• Always significant human resource issues
to address
• Hurricanes Katrina, Rita, Gustav, and Ike

4-56
Human Resource Information
Systems (HRIS)
Any organized approach
for obtaining relevant
and timely information on
which to base HR
decisions

4-57
HUMAN RESOURCE INFORMATION SYSTEM
Goal: Integrate Core Processes into Seamless System
Input Data Types
Job Analysis
Recruitment
Selection/Job Posting/
Employee Referral
T&D
Performance Appraisal
Compensation
Benefits
Safety
Health
Labor Relations
Employee Relations
Output Data Uses*
Employee Tracking
Diversity Programs
Hiring Decisions
Training Programs/E-
learning/Management Succession
Compensation Programs
Benefit Programs (e.g.,
prescription drug programs)
Health Programs (e.g., Employee
Assistance Programs)
Bargaining Strategies
Employee Services
Organizational
Strategic Plans
Human
Resource
Management
Plans
Contribute Toward Achievement of:
Human
Resource
Information
System
*Manager and employee self-service is available.

4-58
Manager Self-Service
• Use of software and corporate network to
automate paper-based processes
requiring manager’s approval, record-
keeping or input, and processes that
support manager’s job
• MSS can help managers develop and
grow staff and assist employees in
determining their career paths and
developing required competencies

4-59
Employee Self-Service (ESS)
• Processes that automate
transactions formerly labor-
intensive for employees and
HR professionals
• ESS applications can free
up valuable HR staff time,
reducing administrative time
and costs

4-60
Job Design
• Process of determining specific tasks to
be performed, methods used in
performing these tasks, and how job
relates to other work in organization
• Job enrichment - Basic changes in content
and level of responsibility of job, to provide
greater challenge to worker

4-61
Job Design (Cont.)
• Job enlargement - Changes in scope of
job to provide greater variety to worker
• Reengineering - Fundamental rethinking
and radical redesign of business
processes to achieve dramatic
improvements in critical measures of
performance, such as cost, quality, service
and speed

4-62
A Global Perspective: India Getting the
Job Done, but Differently
• Indian companies invested $6 billion in
U.S., which created jobs for Americans
• Most Indian companies going global have
adopted strategy of ‘not rocking the boat’
at their newly acquired foreign operations
• Gaining an appreciation of local laws and
customs is important
• Language and food choices often present
challenges

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means, electronic, mechanical, photocopying, recording, or otherwise,
without the prior written permission of the publisher. Printed in the
United States of America.
Copyright © 2010 Pearson Education, Inc.
publishing as Prentice Hall

Ch 2 -_hr_planning

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