Recruiting, Motivating,

And Keeping Quality Employees

Exploring Business

Chapter 5
© 2007 Prentice-Hall, Inc. 5-1
 Chapter Objectives
Exploring Business

1. Define/explain human resource

management
2. Explain training and developing
employees and the need for a diverse
workforce
3. Define/describe motivation
4. Identify factors of a good workplace
5. Explain performance evaluation and
retention
6. Explain unionization, its structure and
collective bargaining
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 Human
Resource Management
Exploring Business

“…all actions that an

organization takes to
attract, develop, and
retain quality
employees.”
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 HR Process
Exploring Business

Strategic Plan Develop

Job Analysis Select

Forecast Recruit

5-4
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 Strategic Human
Resource Planning
Exploring Business

“…developing a plan for

satisfying an
organization’s HR
needs.”

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© 2007 Prentice-Hall, Inc.
Exploring Business
Job Analysis
“…identify the tasks and
responsibilities and skills that it
entails, as well as the knowledge
and abilities needed to perform it.”

Job Description
Job Specification
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 HR Forecasting
Exploring Business

5-7
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 HR Supply &
Demand Forecasting
Exploring Business

Demand > Supply Supply > Demand

• Hire more workers
• Extra hours • Not replace
• Subcontract/
outsource • Encourage early
• Labor-saving initiatives retirement
• Layoffs
• Fire

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 Recruiting
Exploring Business

“…identifying suitable
candidates and
encouraging them to apply
for openings...”

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 Discrimination
Exploring Business

“…a person is treated

unfairly on the basis of a
characteristic unrelated to
ability.”

5-10
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 Equal Employment
Opportunity Commission
Exploring Business

Enforces:
Title VII of the Civil Rights Act of
1964
Equal Pay Act of 1963
Age Discrimination in
Employment Act of 1964
Title I & Title V of the Americans
with Disabilities Act of 1990
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 Sources Of Qualified
Candidates—Internal
Exploring Business

oBulletin Board
oOnline
oNewsletter
oDirect Recommendation

5-12
© 2007 Prentice-Hall, Inc.
 Sources Of Qualified
Candidates—External
Exploring Business

Classified Ads
Local Job Fairs
Corporate Web Site
3rd Party Web Sites
In-Store Recruiting Posters
“Business Cards”
College-Campus Recruiting
Internships
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© 2007 Prentice-Hall, Inc.
 Selection
Exploring Business

“…gathering information
on candidates, evaluating
their qualifications, and
choosing the right one.”

5-14
© 2007 Prentice-Hall, Inc.
 Selection Process
Exploring Business

Application Testing

Decision

Exam/Checks Interview
5-15
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 Contingent Workers
Exploring Business

“…hired to supplement
a company’s
permanent workforce.”

5-16
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 Types Of
Contingent Workers
Exploring Business

Independent Contractors
Consultants
Freelancers
On-Call
Temps

5-17
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 Employer’s Benefits Of
Using Contingent Workers
Exploring Business

Hired/Fired Easily
More Control of
Labor Costs
Often Cheaper/No
Benefits
Specialized Skills/Talents
“Try Out” 5-18
© 2007 Prentice-Hall, Inc.
 Developing Employees
Exploring Business

New Employee
Orientation

Training &
Development
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 Orientation
Exploring Business

“…the way (the employer)

introduces new
employees to the
organization and
their jobs.”

5-20
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 Training And
Development
Exploring Business

Off-The-Job

On-The-Job

5-21
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 Motivation
Exploring Business

“…internally generated
drive to achieve a goal or
follow a particular course
of action.”

5-22
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 Hierarchy-Of-Needs
Theory
Exploring Business

5-23
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 Two-Factor Theory
Exploring Business

5-24
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 Expectancy Theory
Exploring Business

5-25
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 Equity Theory
Exploring Business

“…motivation…which
focuses on our
perceptions of how
fairly we’re treated
relative to others.”
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 Equity Theory
Comparisons
Exploring Business

➳ Similar Position
➳ Different Position—
Same Organization
➳ Similar Occupation
➳ Shared Characteristics
➳ Self At Different Time
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 Job Design
Exploring Business

Job Rotation—Systematic
Job Enlargement—
Enhancement
Job Enrichment—Increased
responsibility/opportunity for
growth
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 Job Enlargement/Enrichment
Exploring Business

5-29
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 Alternative Work
Arrangements
Exploring Business

❽ Flextime
❽Compressed
Workweeks
❽Part-Time Work
❽Job Sharing
❽Telecommuting 5-30
© 2007 Prentice-Hall, Inc.
 Family-Friendly
Programs
Exploring Business

Dependent Care
Paid Parental
Leave
Caring For Yourself
Unmarried…Without
Children?
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 Performance
Appraisal Process
Exploring Business

1) Set Goals/Expectations
2) Complete Written
Evaluation

3) Discuss Evaluation
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 Appraisal
Exploring Business

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 Benefits Of Appraisal
Exploring Business

A. Opportunity to
discuss performance
and set goals
B. Chance to identify/discuss
appropriate training
C. Documentation for salary,
promotion, demotion, or
dismissal
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 Feedback
Exploring Business

360-Degree – Employees
from all directions
participate

Upward – Manager’s
subordinates participate

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© 2007 Prentice-Hall, Inc.
 Retaining Employees
Exploring Business

Create Positive
Work Environment –
Employee-friendly
workplace
Recognize Contributions
Involve In Decision Making
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© 2007 Prentice-Hall, Inc.
 Why People Quit
Exploring Business

Unreasonable Demands
Opinion Not
Valued
No Clear
Expectations
Work Rejection
Favoritism
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 Involuntary Termination
Exploring Business

Downsize
Employment-at-Will – Both
employee and employer can
terminate at
anytime, just
cause

5-38
© 2007 Prentice-Hall, Inc.
 Wages And Salaries
Exploring Business

Wages—Hourly rate X hours

worked
Salary—Paid for
fulfilling responsibilities
Piecework—Paid according
to quantity produced
Commission—Paid according
to quantity sold
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 Incentive Programs
Exploring Business

Bonus Plans—Annual income

in addition to salary
Profit-Sharing—Distribution of
company profits
Stock Option—Right to buy
shares at set price on
specified date

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© 2007 Prentice-Hall, Inc.
 Benefits
Exploring Business

Legally Required
• Social Security/Medicare
• Unemployment Insurance
• Workers’ Compensation
Paid time off
• Vacations
• Holidays
• Sick Leave
Insurance
• Health/Life
• Disability
Retirement
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 Diversity
Exploring Business

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 Labor Union
Exploring Business

“…an organized group of

workers that bargains
with employers to
improve its members’
pay, job security, and
working conditions.”
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 Labor Union Density
Exploring Business

5-44
© 2007 Prentice-Hall, Inc.
 Union Structure
Exploring Business

Labor
Federation

National Union

Local Union

Shop Steward Shop Steward

5-45
© 2007 Prentice-Hall, Inc.
 Collective Bargaining
Exploring Business

“The process of settling

differences and
establishing mutually
agreeable conditions
under which employees
will work…”
5-46
© 2007 Prentice-Hall, Inc.
 Negotiation Process
Exploring Business

Negotiations

Mediation Arbitration

Grievance
5-47
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 Negotiation Breakdown
Exploring Business

Union
Tactics

Mgmt.
Strike Picket Boycott Tactics

Strike
Lockout
Breakers

5-48
© 2007 Prentice-Hall, Inc.