How to build human capital the knowledge, skills, and capabilities of individuals that
have economic value to an organization. –managers must continue to develop superior
knowledge, skills, and experience within their workforce and retain and promote top
performers. In the best way to utilize the knowledge of their workers . People are the
essential resource of a company . Managers must develop strategies for identifying,
recruiting, and hiring the best talent available in order to develop this employees in ways
that are firm specific, help them generate new ideas, encourage information sharing and
reward collaboration and teem work.
The impact of globalization on HR professionals Anything, anytime, anywhere”
markets/Partnerships with foreign firms/Lower trade and tariff barriers/Different
geographies, cultures, employment laws, and business practices. The challenge is to
manage people working under different business conditions and geographies, cultures,
and legal environment. Because of globalization companies should focus on corporate
social responsibility and sustainability.
HR Planning – process of anticipating and providing for the movement of people into,
within, and out of an organization.
Strategic Planning – procedures for making decisions about the organization’s longterm
goals and strategies. It has 4 steps:
1Mission, Vision, and Values first step in strategic planning. 1the basic purpose of the
organization as well as its scope of operation.2 a statement about whether the company
is going and what it can become in the future; clarifies the long term direction of the
company. 3 the strong beliefs and principles that the company uses as a foundation for
2 Environmental analysis(The systematic monitoring of the major external forces
influencing the organization)
3 Internal analysis 3C Culture, Capabilities, Composition.
4 HR forecasting 1)forecasting the demand for labour. Forecasting is predicting the
number and types of people an organization needs to meet its objectives. Many factors
can affect the demand of labour: internalcompetitive strategies, technology, productivity.
External business cycleseconomic and seasonal trends. There are two approaches: 1
Quantitative approach( trend analysisquantitative approach to forecast labour demand
based on an organizational index such as sales)2 Qualitative approach(Management
forecastingthe opinions of the managers, experts about the future organizations
employment needs. Delphi technique)
2) forecasting the supply of labour –the process involves tracking current employee
levels and making future projections about those levels. 1Staffing tablesgraphic
representation of all organizational jobs with the numbers of employee current occupying
this jobs. 2Markov analysis a method for tracking the pattern of employee movements
through various jobs 3Skill inventories files of personal education, skills, performance,
interests that allow managers to quickly match job openongs. 4Replacement charts
listings of current job holders and people who are potential replacements if an opening occurs. 5Succesion planning the process of identifying, developing, and tracking key
individuals for executive positions.
3) balancing supply and demand
5 Formulating strategy SWOT analysisA comparison of strengths, weaknesses,
opportunities, and threats for strategy formulation purposes.Use the strengths of the
organization to capitalize on opportunities, counteract threats, and alleviate internal
Balanced Scorecarda measurement framework that helps managers translate strategic
goals into operational objectives( the model has 4 related cells1financial,2customer,3
6 Implementation and Assessment.
The Charter of Rights and FreedomsPart of the Constitution Act, 1982/Provides a range
of fundamental rights to Canadians/Freedom of conscience and religion /thought, belief,
opinion, and expression, including freedom of the press and other media of
communication/Freedom of association/Freedom of peaceful assembly/ Section 15:
Principle of equalityFreedom from discriminationrace, national or ethnic origin, colour,
religion, sex, age, mental or physical disabilities.
Employment Equity the employment of individuals in a fair and nonbiased manner.
Bona Fide Occupational Qualificationa justifiable reason for discrimination based on
business reasons of safety or effectiveness.
Pay Equity equal pay for work of equal value(same knowledge, skills, effort, working
conditions should value same)
Pay Equality equal pay for equal work (men = woman)
Reasonable Accommodation are designed to accelerate, the entry, development, and
promotion of members of designated groups. Attempt by employers to adjust the working
conditions or schedules of employees from designated groups.(flexible work schedules,
technical, financial, and social support.)
Sexual Harassment unwelcome advances, requests for sexual favors, and other verbal or
physical conduct of a sexual nature in the working environment.
Diversity Management voluntary optimization of an organizational multicultural
workforce in order to reach business objectives.
Job versus positiona group of related activities and duties.. Same job may contain
several positions the different duties and responsibilities performed by only one
Job Specification a statement of needed knowledge, skills, and abilities of the person
who is to perform the job.
Job Description a statement of the tasks, duties, and responsibilities of a job to be
Critical Incident Methoda job analysis method by which important job tasks are
identified for job success. Developed by Flanagan by Aviation Psychology Program of
US Air Force and Identifies behaviours that are: critical – for success or failure on the job
and are observable. Interview with people familiar with the job( supervisors, subordinates, customers) Ask them to describe specific incidents of effective / ineffective
behaviour by incumbents of target job. Incident context – What led up to the incident
(background)? What was the situation? Behaviour – What exactly did the person do that
was effective / ineffective? Consequence What was the outcome of the behaviour?
Job Enrichment any effort that makes work more rewarding or satisfying by adding
more meaningful tasks to an employee’s job (selffulfillment, selfesteem, increasing the
autonomy, responsibilities). 4 factors to enrich the job:1increase the level of difficulty
and responsibility. 2allow employees to retain more authority and control over work. 3
provide unit or individual job performance reports directly to employee. 4add new tasks
to the job which require training and growth. .
Job Characteristics (e.g., autonomy, skill variety) 1skill variety The opportunity to do a
variety of job activities using various skills and talents. 2 tasks identity doing the job
from the beginning to the end with visible outcome. 3 task significance The impact that
a job has on other people. 4 Autonomy The freedom to schedule one’s own work
activities and decide work procedures. 5 feedback Information about the effectiveness
of one’s work performance.
Drawbacks of telecommuting 1the loss of creativity as the employees do not interact
with each other 2 the difficulty of developing appropriate performance standards and
evolution system for telecommuters. 3 the need to formulate an appropriate technology
strategy for allocating necessary equipment. 4 negatively effects employeesupervisors
relationships through loss of knowledge or information, training or development, and
sense of connectedness.
Reasons to promote from within/Tight/loose labour market 1Low unemployment (tight
labour market) a lot of advertisement/Broaden recruitment efforts – to other groups,
geographic areas/Improve compensation/Hire temporary workers, outsource, employee
agencies. 2High unemployment (loose labour market)
Specific, targeted recruitment efforts/Consider overhiring
Advantages of external recruitment1.Can acquire skills that are not available within the
organization 2.Newer ideas may emerge, new methods 3.souce of creativity and
innovations acquired from pervious employers.
Sources of recruitment 1Internal RecruitingCurrent employees (promotions,skill
inventories, replacement charts)
External Recruiting Referrals (from current employees, former employees, customers),
Advertisements(websites, newspapers, trade journals, Employment agencies