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Part 2. Acquisition and Preparation of Human Resources. Stages in Human Resource Planning. 5-2. Forecasting Labor Demand Labor Supply Goal Setting and Strategic Planning Program Implementation and Evaluation. Irwin/McGraw-Hill. Forecasting Stage of Human Resource Planning. 5-3.
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Part 2 Acquisition and Preparation of Human Resources
Stages in Human Resource Planning 5-2 • Forecasting • Labor Demand • Labor Supply • Goal Setting and Strategic Planning • Program Implementation and Evaluation Irwin/McGraw-Hill
Forecasting Stage of Human Resource Planning 5-3 • Determining Labor Demand • derived from product / service demand • external in nature • Determining Labor Supply • internal movements caused by transfers, promotions, turnover, retirements,etc. • transitional matrices identify employee movements over time • useful for AA / EEO purposes • Determining Labor Surplus or Shortage Irwin/McGraw-Hill
Strategies for Reducing an Expected Labor Surplus 5-4 Extent of Human Suffering Strategy Speed 1. Downsizing 2. Pay reductions 3. Demotions Fast Fast Fast High High High Irwin/McGraw-Hill
Strategies for Reducing an Expected Labor Surplus 5-5 Extent of Human Suffering Strategy Speed High High High Moderate Moderate 1. Downsizing 2. Pay reductions 3. Demotions 4. Transfers 5. Worksharing Fast Fast Fast Fast Fast Irwin/McGraw-Hill
Strategies for Reducing an Expected Labor Surplus 5-6 Extent of Human Suffering Strategy Speed 1. Downsizing 2. Pay reductions 3. Demotions 4. Transfers 5. Worksharing 6. Retirement 7. Natural attrition 8. Retraining Fast Fast Fast Fast Fast Slow Slow Slow High High High Moderate Moderate Low Low Low Irwin/McGraw-Hill
Strategies for Avoiding an Expected Labor Shortage 5-7 Reversibility Strategy Speed 1. Overtime 2. Temporary employees 3. Outsourcing 4. Retrained transfers 5. Turnover reductions 6. New external hires 7. Technological innovations Fast Fast Fast Slow Slow Slow Slow High High High High Moderate Low Low Irwin/McGraw-Hill
Reasons for Downsizing 5-8 • Need to reduce labor costs • Reduced need for labor due to technology • Reduced need for professional staff due to mergers • Changes in facility locations Irwin/McGraw-Hill
Reasons for Downsizing NOT Living Up to Expectations 5-9 • Long-term negative effect when improperly managed • Loss of valued human assets • Survivors become narrow-minded and risk-adverse Irwin/McGraw-Hill
AdvantagesofEmploying Temporary Workers 5-10 • Increases organizational flexibility • Acts as a source of permanent hires • Reduces training and orientation costs • Brings objective (outside) perspective to firm Irwin/McGraw-Hill
DisadvantagesofEmploying Temporary Workers 5-11 • Tension between “temps” and full-timers • Outsourcing can have long-term negative consequences Irwin/McGraw-Hill
Recruitment Activities 5-12 Are designed to affect : • Number of applicants • Type of applicant • Those likely to accept position if offered Irwin/McGraw-Hill
The Human Resource Recruitment Process 5-13 Decisions are made in 3 areas : • Personnel Policies • Recruitment Sources • Recruiter Characteristics Irwin/McGraw-Hill
Overview of the Individual Job Choice-Organizational Recruitment Process 5-14 JOB CHOICE Vacancy Characteristics Applicant Characteristics Personnel Policies Recruiter Characteristics Recruitment Sources Irwin/McGraw-Hill
Personnel Policies 5-15 • Can affect the nature of Job Vacancy characteristics Specific features include : • Internal vs. External recruiting • opportunity for advancement • Market Leader Pay strategy • Employment-at-Will policy • Image Advertising Irwin/McGraw-Hill
Internal sources faster, cheaper, more certainty External sources new ideas & approaches Direct applicants & referrals self-selection, low cost Newspaper advertising Recruitment Sources 5-16 • Public employment agencies • blue-collar jobs • Private employment agencies • white-collar jobs • Colleges & Universities • Electronic recruiting - the Internet Irwin/McGraw-Hill
Recruiter Characteristics 5-17 • Functional Area • HR specialist v. operating area • Traits • warmth, informative • Realism • realistic job preview Irwin/McGraw-Hill
Steps to Enhance Recruiter Impact 5-18 • Provide timely feedback • Avoid rude behavior • Recruit in teams Irwin/McGraw-Hill