Human Resource Mgmt 11th Ed. ENTIRE BOOK
Terms
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- Collaborative HR
- The process of HR professionals from several different organizations working jointly to address shared business problems.
- Core competency
- A unique capability that creates high value and differentiates an organization from its competition.
- HR Generalist
- A person who has responsibility for performing a variety of HR activities.
- HR Specialist
- A person who has in-depth knowledge and expertise in a limited area of HR.
- Human capital
- The collective value of the capabilities, knowledge, skills, life experiences, and motivation of an organizational workforce.
- Human Resource (HR) management
- The direction of organizational systems to ensure that human talent is used effectively and efficiently to accomplish organizational goals.
- Human resource management system (HRMS)
- An integrated system providing information used by HR management in decision making.
- Organizational culture
- The shared values and beliefs of a workforce.
- Benchmarking
- Comparing specific measures of performance against data on those measures in other organizations.
- Culture
- Societal forces affecting the values, beliefs, and actions of a distinct group of people.
- Economic value added (EVA)
- Net operating profit of a firm after the cost of capital is deducted.
- Effectiveness
- The extent to which goals have been met.
- Efficiency
- The degree to which operations are done in an economical manner.
- Environmental scanning
- Process of studying the environment of the organization to pinpoint opportunities and threats.
- Forecasting
- Using information from the past and the present to identify expected future conditions.
- Global organization
- Firm that has corporate units in a number of countries that are integrated to operate worldwide.
- HR audit
- Formal research effort that evaluates the current state of HR management in an organization.
- HR metrics
- Specific measures tied to HR performance indicators.
- HR Strategies
- Means used to anticipate and manage the supply of and demand for human resources.
- Human resource (HR) planning
- Process of analyzing and identifying the need for and availability of human resources so that the organization can meet its objectives.
- Importing and exporting
- Buying and selling goods and services with organizations in other countries.
- Individualism
- Dimension of culture that refers to the extent to which people in a country prefer to act as individuals instead of members of groups.
- Long-term orientation
- Dimension of culture that refers to the preference of people in a country for long-term values as opposed to short-term values.
- Masculinity/femininity
- Dimension of culture that refers to the degree to which “masculine†values prevail over “feminine†values.
- Multi-national enterprise (MNE)
- Organization that has operating units located in foreign countries.
- Power distance
- Dimension of culture that refers to the inequality among the people of a nation.
- Productivity
- Measure of the quantity and quality of work done, considering the cost of the resources used.
- Return on investment (ROI)
- Calculation showing the value of expenditures for HR activities.
- Strategic HR management
- Use of employees to gain or keep a competitive advantage, resulting in greater organizational effectiveness.
- Succession planning
- Process of identifying a longer-term plan for the orderly replacement of key employees.
- Uncertainty avoidance
- Dimension of culture that refers to the preference of people in a country for structured rather than unstructured situations.
- Unit labor cost
- Computed by dividing the average cost of workers by their average levels of output.
- Attitude survey
- A survey that focuses on employees’ feelings and beliefs about their jobs and the organization.
- Exit interview
- An interview in which individuals are asked to give their reasons for leaving the organization.
- Job satisfaction
- A positive emotional state resulting from evaluating one’s job experiences.
- Motivation
- The desire within a person causing that person to act.
- Organizational commitment
- The degree to which employees believe in and accept organizational goals and desire to remain with the organization.
- Psychological contract
- The unwritten expectations employees and employers have about the nature of their work relationships.
- Turnover
- The process in which employees leave an organization and have to be replaced.
- 4/5ths rule
- Discrimination exists if the selection rate for a protected group is less than 80% (4/5ths) of the selection rate for the majority group or less than 80% of the majority group’s representation in the relevant labor market.
- Affirmative action
- Employers are urged to hire groups of people based on their race, age, gender, or national origin, to make up for historical discrimination.
- Blind to differences
- Differences among people should be ignored and everyone should be treated equally.
- Bona fide occupational qualification (BFOQ)
- Characteristic providing a legitimate reason why an employer can exclude persons on otherwise illegal bases of consideration.
- Burden of proof
- What individuals who file suit against employers must prove in order to establish that illegal discrimination has occurred.
- Business necessity
- Practice necessary for safe and efficient organizational operations.
- Concurrent validity
- Measured when an employer tests current employees and correlates the scores with their performance ratings.
- Content validity
- Validity measured by a logical, non-statistical method to identify the KSAs and other characteristics necessary to perform a job.
- Correlation coefficient
- Index number giving the relationship between a predictor and a criterion variable.
- Criterion-related validity
- Validity measured by a procedure that uses a test as the predictor of how well an individual will perform on the job.
- Disabled person
- Someone who has a physical or mental impairment that substantially limits life activities, who has a record of such an impairment, or who is regarded as having such an impairment.
- Disparate impact
- Occurs when members of a protected class are substantially under-represented as a result of employment decisions that work to their disadvantage.
- Disparate treatment
- Occurs when members of a protected class are treated differently from others.
- Employment “testâ€
- Any employment procedure used as the basis for making an employment-related decision.
- Equal employment
- Employment that is not affected by illegal discrimination.
- Essential job functions
- Fundamental duties of a job.
- Mediation
- Dispute resolution process by which a third party helps negotiators reach a settlement.
- Pay equity
- Similarity in pay for all jobs requiring comparable knowledge, skills, and abilities, even if actual duties and market rates differ significantly.
- Predictive validity
- Measured when test results of applicants are compared with subsequent job performance.
- Protected class
- Individuals within a group identified for protection under equal employment laws and regulations.
- Reasonable accommodation
- A modification or adjustment to a job or work environment for a qualified individual with a disability.
- Reliability
- Consistency with which a test measures an item.
- Retaliation
- Punitive actions taken by employers against individuals who exercise their legal rights.
- Sexual harassment
- Actions that are sexually directed, are unwanted, and subject the worker to adverse employment conditions or create a hostile work environment.
- Undue hardship
- Significant difficulty or expense imposed on an employer in making an accommodation for individuals with disabilities.
- Validity
- Extent to which a test actually measures what it says it measures.
- Affirmative action plan (AAP)
- Formal document that an employer compiles annually for submission to enforcement agencies.
- Availability analysis
- Identifies the number of protected-class members available to work in the appropriate labor markets for given jobs.
- Glass ceiling
- Discriminatory practices that have prevented women and other protected-class members from advancing to executive-level jobs.
- Hostile environment
- Sexual harassment in which an individual’s work performance or psychological well-being is unreasonably affected by intimidating or offensive working conditions.
- Nepotism
- Practice of allowing relatives to work for the same employer.
- Phased retirement
- Approach in which employees gradually reduce their workloads and pay.
- Quid pro quo
- Sexual harassment in which employment outcomes are linked to the individual granting sexual favors.
- Reverse discrimination
- When a person is denied an opportunity because of preferences given to protected-class individuals who may be less qualified.
- Utilization analysis
- Identifies the number of protected-class members employed in the organization and the types of jobs they hold.
- Autonomy
- Extent of individual freedom and discretion in the work and its scheduling.
- Business process re-engineering (BPR)
- Measures for improving such activities as product development, customer service, and service delivery.
- Competencies
- Individual capabilities that can be linked to enhanced performance by individuals or teams.
- Compressed workweek
- Schedule in which a full week’s work is accomplished in fewer than 5 8-hour days.
- Duty
- Larger work segment composed of several tasks that are performed by an individual.
- Feedback
- Amount of information employees receive about how well or how poorly they have performed.
- Flextime
- Scheduling arrangement in which employees work a set number of hours a day but vary starting and ending times.
- Job
- Grouping of tasks, duties, and responsibilities that constitutes the total work assignment for employees.
- Job analysis
- Systematic way of gathering and analyzing information about the content, context, and human requirements of jobs.
- Job description
- Identification of the tasks, duties, and responsibilities of a job.
- Job design
- Organizing tasks, duties, and responsibilities into a productive unit of work.
- Job enlargement
- Broadening the scope of a job by expanding the number of different tasks to be performed.
- Job enrichment
- Increasing the depth of a job by adding responsibility for planning, organizing, controlling, or evaluating the job.
- Job rotation
- Process of shifting a person from job to job.
- Job sharing
- Scheduling arrangement in which two employees perform the work of one full-time job.
- Job specifications
- The knowledge, skills, and abilities (KSAs) an individual needs to perform a job satisfactorily.
- Marginal job functions
- Duties that are part of a job but are incidental or ancillary to the purpose and nature of the job.
- Performance standards
- Indicators of what the job accomplishes and how performance is measured in key areas of the job description.
- Person/job fit
- Matching the KSAs of people with the characteristics of jobs.
- Responsibilities
- Obligations to perform certain tasks and duties.
- Self-directed team
- Organizational team composed of individuals who are assigned a cluster of tasks, duties and responsibilities to be accomplished.
- Skill variety
- Extent to which the work requires several different activities for successful completion.
- Special-purpose team
- Organizational team formed to address specific problems, improve work processes, and enhance product and service quality.
- Task
- Distinct, identifiable work activity composed of motions.
- Task identity
- Extent to which the job includes a “whole†identifiable unit of work that is carried out from start to finish and that results in a visible outcome.
- Task significance
- Impact the job has on other people.
- Virtual team
- Organizational team composed of individuals who are geographically separated but linked by communications technology.
- Work
- Effort directed toward accomplishing results.
- Workflow analysis
- Study of the way work (inputs, activities, and outputs) moves through an organization.
- Acceptance rate
- Percent of applicants hired divided by total number of applicants.
- Applicant pool
- All persons who are actually evaluated for selection.
- Applicant population
- A subset of the labor force population that is available for selection using a particular recruiting approach.
- Flexible staffing
- Use of workers who are not traditional employees.
- Independent contractors
- Workers who perform specific services on a contract basis.
- Job posting
- System in which the employer provides notices of job openings and employees respond by applying.
- Labor force population
- All individuals who are available for selection if all possible recruitment strategies are used.
- Labor markets
- External supply pool from which organizations attract employees.
- Recruiting
- Process of generating a pool of qualified applicants for organizational jobs.
- Selection rate
- Percentage hired from a given group of candidates.
- Yield ratios
- Comparisons of the number of applicants at one stage of the recruiting process with the number at the next stage.
- Behavioral interview
- Interview in which applicants give specific examples of how they have performed a certain task or handled a problem in the past.
- Cognitive ability tests
- Tests that measure an individual’s thinking, memory, reasoning, verbal, and mathematical abilities.
- Expatriate
- Citizen of one country who is working in a second country and employed by an organization headquartered in the first country.
- Host-country national
- Citizen of one country who is working in that country and employed by an organization headquartered in a second country.
- Negligent hiring
- Occurs when an employer fails to check an employee’s background and the employee injures someone.
- Negligent retention
- Occurs when an employer becomes aware that an employee may be unfit for employment, continues to employ the person, and the person injures someone.
- Non-directive interview
- Interview that uses questions developed from the answers to previous questions.
- Panel interview
- Interview in which several interviewers meet with the candidate at the same time.
- Person-organization fit
- The congruence between individuals and organizational factors.
- Physical ability tests
- Tests that measure an individual’s abilities such as strength, endurance, and muscular movement.
- Placement
- Fitting a person to the right job.
- Predictors
- Measurable or visible indicators of a selection criterion.
- Psychomotor tests
- Tests that measure dexterity, hand-eye coordination, arm-hand steadiness, and other factors.
- Realistic job preview (RJP)
- Process through which a job applicant receives an accurate picture of a job.
- Selection
- Process of choosing individuals with qualifications needed to fill jobs in an organization.
- Selection criterion
- Characteristic that a person must have to do a job successfully.
- Situational interview
- Structured interview composed of questions about how applicants might handle specific job situations.
- Situational judgment tests
- Tests that measure a person’s judgment in work settings.
- Stress interview
- Interview designed to create anxiety and put pressure on applicants to see how they respond.
- Structured interview
- Interview that uses a set of standardized questions asked of all job applicants.
- Team interview
- Interview in which applicants are interviewed by the team members with whom they will work.
- Third-country national
- Citizen of one country who is working in a second country and employed by an organization headquartered in a third country.
- Work sample tests
- Tests that require an applicant to perform a simulated job task.
- Active practice
- Performance of job-related tasks and duties by trainees during training.
- Behavior modeling
- Copying someone else’s behavior.
- Cost-benefit analysis
- Comparison of costs and benefits associated with training.
- Cross training
- Training people to do more than one job.
- E-learning
- Use of the Internet or an organizational intranet to conduct training on-line.
- Immediate confirmation
- Based on the idea that people learn best if reinforcement and feedback are given after training.
- Informal training
- Training that occurs through interactions and feedback among employees.
- Knowledge management
- The way an organization identifies and leverages knowledge in order to be competitive.
- Massed practice
- Practice performed all at once.
- Orientation
- Planned introduction of new employees to their jobs, co-workers, and the organization.
- Performance consulting
- Process in which a trainer and the organizational client work together to determine what needs to be done to improve results.
- Reinforcement
- Based on the idea that people tend to repeat responses that give them some type of positive reward and avoid actions associated with negative consequences.
- Self-efficacy
- Person’s belief that he or she can successfully learn the training program content.
- Spaced practice
- Practice performed in several sessions spaced over a period of hours or days.
- Training
- Process whereby people acquire capabilities to perform jobs.
- Assessment centers
- Collections of instruments and exercises designed to diagnose individuals’ development needs.
- Career
- Series of work-related positions a person occupies throughout life.
- Career paths
- Represent employees’ movements through opportunities over time.
- Coaching
- Training and feedback given to employees by immediate supervisors.
- Development
- Efforts to improve employees’ abilities to handle a variety of assignments and to cultivate employees’ capabilities beyond those required by the current job.
- Dual-career ladder
- System that allows a person to advance up either a management ladder or a corresponding ladder on the technical/professional side of a career.
- Encapsulated development
- Situation in which an individual learns new methods and ideas in a development course and returns to a work unit that is still bound by old attitudes and methods.
- Individual-centered career planning
- Career planning focusing on an individual’s career rather than on organizational needs.
- Management mentoring
- Relationship in which experienced managers aid individuals in the earlier stages of their careers.
- Organization-centered career planning
- Career planning that focuses on identifying career paths that provide for the logical progression of people between jobs in an organization.
- Repatriation
- Planning, training, and reassignment of global employees to their home countries.
- Sabbatical
- Paid time off the job to develop and rejuvenate oneself.
- Simulation
- Technique that requires participants to analyze a situation and decide the best course of action according to data given.
- Central tendency error
- Occurs when a rater gives all employees a score within a narrow range in the middle of the scale.
- Contrast error
- Tendency to rate people relative to others rather than against performance standards.
- Forced distribution
- Performance appraisal method in which ratings of employees’ performance are distributed along a bell-shaped curve.
- Graphic rating scale
- Scale that allows the rater to mark an employee’s performance on a continuum.
- Halo effect
- Occurs when a rater scores an employee high on all job criteria because of performance in one area.
- Job criteria
- Important elements in a given job.
- Leniency error
- Occurs when ratings of all employees fall at the high end of the scale.
- Management by objectives (MBO)
- Performance appraisal method that specifies the performance goals that an individual and manager mutually identify.
- Performance appraisal
- Process of evaluating how well employees perform their jobs and then communicating that information to the employees.
- Performance management
- Composed of the processes used to identify, measure, communicate, develop, and reward employee performance.
- Primacy effect
- Occurs when a rater gives greater weight to information received first when appraising an individual’s performance.
- Ranking
- Performance appraisal method in which all employees are listed from highest to lowest in performance.
- Rater bias
- Occurs when a rater’s values or prejudices distort the rating.
- Recency effect
- Occurs when a rater gives greater weight to recent events when appraising an individual’s performance.
- Strictness error
- Occurs when ratings of all employees fall at the low end of the scale.
- Balance-sheet approach
- Compensation plan that equalizes cost differences between identical international and home-country assignments.
- Base pay
- Basic compensation that an employee receives, usually as a wage or a salary.
- Benchmark jobs
- Jobs found in many organizations.
- Benefit
- Indirect reward given to an employee or a group of employees for organizational membership.
- Broadbanding
- Practice of using fewer pay grades with much broader ranges than in traditional compensation systems.
- Compa-ratio
- Pay level divided by the midpoint of the pay range.
- Compensable factor
- Factor that identifies a job value commonly present throughout a group of jobs.
- Compensatory time off
- Hours given to an employee in lieu of payment for extra time worked.
- Competency-based pay
- Rewards individuals for the capabilities they demonstrate and acquire.
- Distributive justice
- Perceived fairness in the distribution of outcomes.
- Entitlement philosophy
- Assumes that individuals who have worked another year are entitled to pay increases, with little regard for performance differences.
- Equity
- Perceived fairness between what a person does and what the person receives.
- Exempt employees
- Employees to whom employers are not required to pay overtime under the Fair Labor Standards Act.
- Garnishment
- A court action in which a portion of an employee’s wages is set aside to pay a debt owed a creditor.
- Global market approach
- Compensation plan that attempts to be more comprehensive in providing base pay, incentives, benefits, and relocation expenses regardless of the country to which the employee is assigned.
- Green-circled employee
- Incumbent who is paid below the range set for the job.
- Job evaluation
- Formal, systematic means to identify the relative worth of jobs within an organization.
- Job family
- Group of jobs having common organizational characteristics.
- Living wage
- One that is supposed to meet the basic needs of a worker’s family.
- Lump-sum increase (LSI)
- One-time payment of all or part of a yearly pay increase.
- Market banding
- Grouping jobs into pay grades based on similar market survey amounts.
- Market line
- Graph line that shows the relationship between job value as determined by job evaluation points and job value as determined by pay survey rates.
- Market pricing
- Use of pay survey data to identify the relative value of jobs based on what other employers pay for similar jobs.
- Non-exempt employees
- Employees who must be paid overtime under the Fair Labor Standards Act.
- Pay compression
- Occurs when the pay differences among individuals with different levels of experience and performance become small.
- Pay grades
- Groupings of individual jobs having approximately the same job worth.
- Pay survey
- Collection of data on compensation rates for workers performing similar jobs in other organizations.
- Pay-for-performance philosophy
- Requires that compensation changes reflect individual performance differences.
- Procedural justice
- Perceived fairness of the process and procedures used to make decisions about employees.
- Red-circled employee
- Incumbent who is paid above the range set for the job.
- Salaries
- Consistent payments made each period regardless of the number of hours worked.
- Seniority
- Time spent in the organization or on a particular job.
- Tax equalization plan
- Compensation plan used to protect expatriates from negative tax consequences.
- Variable pay
- Compensation linked to individual, group/team, and/or organizational performance.
- Wages
- Payments directly calculated on the amount of time worked.
- Bonus
- One-time payment that does not become part of the employee’s base pay.
- Commission
- Compensation computed as a percentage of sales in units or dollars.
- Compensation committee
- Subgroup of the board of directors, composed of directors who are not officers of the firm.
- Draw
- Amount advanced from and repaid to future commissions earned by the employee.
- Employee stock ownership plan (ESOP)
- Plan whereby employees have significant stock ownership in their employers.
- Gainsharing
- System of sharing with employees greater-than-expected gains in profits and/or productivity.
- Perquisites (perks)
- Special benefits—usually non-cash items—for executives.
- Profit sharing
- System to distribute a portion of the profits of the organization to employees.
- Straight piece-rate system
- Pay system in which wages are determined by multiplying the number of units produced by the piece rate for one unit.
- 401(k) plan
- Agreement in which a percentage of an employee’s pay is withheld and invested in a tax-deferred account.
- Adverse selection
- Situation in which only higher-risk employees select and use certain benefits.
- Cash balance plan
- Retirement program in which benefits are based on an accumulation of annual company contributions, expressed as a percentage of pay, plus interest credited each year.
- Co-payment
- Strategy requiring employees to pay a portion of the cost of insurance premiums, medical care, and prescription drugs.
- Consumer-driven health (CDH) plan
- One that provides employer financial contributions to employees to cover their own health-related expenses.
- Contributory plan
- Pension plan in which the money for pension benefits is paid in by both employees and employers.
- Defined-benefit plan
- Retirement program in which an employee is promised a pension amount based on age and service.
- Defined-contribution plan
- Retirement program in which the employer makes an annual payment to an employee’s pension account.
- Flexible benefits plan
- Program that allows employees to select the benefits they prefer from groups of benefits established by the employer.
- Health maintenance organization (HMO)
- Plan that provides services for a fixed period on a pre-paid basis.
- Managed care
- Approaches that monitor and reduce medical costs through restrictions and market system alternatives.
- Non-contributory plan
- Pension plan in which all the funds for pension benefits are provided by the employer.
- Paid-time-off (PTO) plans
- Plans that combine all sick leave, vacation time, and holidays into a total number of hours or days that employees can take off with pay.
- Pension plan
- Retirement program established and funded by the employer and employees.
- Portability
- A pension plan feature that allows employees to move their pension benefits from one employer to another.
- Preferred provider organization (PPO)
- A health-care provider that contracts with an employer group to supply health-care services to employees at a competitive rate.