MHR 523 Lecture Notes - Lecture 3: Succession Planning, Walmart, Markov Chain
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MHR 523 Lecture 3
Systematic study of a job to discover its specifications and skill requirements
Gathering information tells HR about the job roles, tasks, and responsibilities
Usually done for companies that are just starting up or currently non-existent
Helps identify jobs that are required and how many employees are required
Important to know that jobs change a lot becoming enlarged. Employees often find themselves
doing tasks that weren’t included in the job description
If employees are doing more work that they have agreed to do, their wages should also go up
because the job has become more difficult
o Wage-setting, recruitment, training, or job-simplification
****HR Activities Relying on Job Analysis (Define 5 HR activities that influence job analysis)
Improve productivity: high performers identified and analysed to be better than others
Avoid discrimination in employment
Person-job matching: characteristics required of employees required for job
Planning : better suited jobs are given to another department’s employees. Other department many not
require as many employees in the other department
Training: methods of training that will help low performers become high performing.
Compensation: same as wage setting
Quality of work life: enjoying work.
Performance standards: what makes employees work well? Set goals and standards to help people
reach these goals.
Re-design of jobs: Redesigning jobs as a result of job analysis.
Performance appraisal : decisions made on subjectivity, whether or not the supervisor likes you.
Steps in Job Analysis
• Phase 1 Preparation for Job Analysis
o Step 1: Familiarize with the organization and its job
• How each job role helps the organization meet its goals and
o Step 2: Determine uses of job analysis information
• Communicate to employees the uses of job analysis (e.g.
compensation: employees telling employer the jobs they do
that deserves a wage increase)
o Step 3: Identify jobs to be analysed
• Not all jobs need to be analyzed. (e.g. janitor at Ryerson not
helping organization meet its goals, therefore it does not need
to be analyzed).
• Phase 2 Collection of Job Analysis Information
o Step 4: Determine sources of job data
• Human and nonhuman
o Step 5: Data collection instrument design
• Questionaries used to collect information about each job.
• We want consistency so that we can compare results
• Job analysis schedules
o Step 6: Choice of method for data collection
• Interviews: require most time and company resources, but
provide most in-depth answers
• Mailed questionnaires
• Employee log
• Observation: require most time and company resources, but
provide most in-depth answers
• Phase 3 Use of Job Analysis Information
o HR Systems & Change: how should we train and select employees?
o Job Descriptions and Specification: requirement of employee to perform
job (e.g. high school diploma)
o Job Performance Standards: high performers from low performers
o Job Design
A recognized list of functions, tasks, accountabilities, working conditions, and competencies for
a particular occupation or job
o Job identity e.g job title, location, grade
o Job summary and duties e.g. what the job is
o Working conditions e.g. hours of work, travel
Job Description vs. Specifications
Defines what the job does
What tasks are required of the job
Describes what the job demands of employees and the human factors required
What skills are required for the job
Human Resource Planning
Human Resource Planning systematically forecasts an organization’s future demand for and supply of
employees and matches supply with demand
Relationship to Strategic Planning
Effective Human Resource Planning enables strategic success
o Different organizational strategies require varying human resource plans
o Facilitates proactive response to environmental and legal challenges
o Needs to be matched to tactical plans
Refers to projects already started(e.g. after 1 month, we need 2-3
employees, in 2 months sales will pick up, we need 10 employees)
o Organizations with projects need to ensure they are staffed accordingly.
o The HR needs will be related to the success of the project
o Projects staffed poorly might fail
Causes of Demand for Human Resources
o Economy not doing well, we require less employees
o Minimum wage increases may cause some organizations to employ fewer people
o Able to do jobs humans did before
o Small businesses who pay their employees more than minimum wage are hurt by
o To cut costs they reduce number of hours given to employees or let go of them
o Eventually they are forced to shut down
o Growth, when we open new ventures we need more employees
o Decrease in budget means less employees
Sales & production forecasts
o Forecast higher production for next year, we will need more employees
Organizational & job design
o Design jobs more efficiently, we need less employees in one department and more
in another (E.G. more in admin and less in production line)
o When everyone retires, we need increase in demand of employees to replace them.
Leaves of absence
Supply of Human Resources
Internal Supply Estimates
o Education, experience
o Succession planning: identify replacement charts to resemble management
inventories hierarchy (e.g. Ted Rogers died, son was too young to take over.
Someone else was hired until son was old enough)
Replacement charts and summaries
o Potential replacements for job
Transition matrices & Markov Analysis
o Identify the movements of job roles in the last year. (e.g. 60% of engineers
remain, 10% quite, 5% switched to other jobs)
o Based on future hiring needs.
Systematic study of a job to discover its specifications and skill requirements. Gathering information tells hr about the job roles, tasks, and responsibilities. Usually done for companies that are just starting up or currently non-existent. Helps identify jobs that are required and how many employees are required. Important to know that jobs change a lot becoming enlarged. Employees often find themselves doing tasks that weren"t included in the job description. If employees are doing more work that they have agreed to do, their wages should also go up because the job has become more difficult. Used for: wage-setting, recruitment, training, or job-simplification. ****hr activities relying on job analysis (define 5 hr activities that influence job analysis) Improve productivity: high performers identified and analysed to be better than others. Person-job matching: characteristics required of employees required for job. Planning : better suited jobs are given to another department"s employees. Other department many not require as many employees in the other department.