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PSYCH 339 (3)
Chapter 1


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University of Waterloo
Richard Ennis

CHAPTER 1- STAFFING MODELS AND STRATEGY • Staffing is a critical organizational function concerned with the acquisition, deployment and retention of the organization’s workforce THE NATURE OF STAFFING The Big Picture • The organization’s workforce is made up of human capital o Human Capital: refers to the knowledge, skills, and ability of people, and their motivation to use them successfully on the job • Canada’s workforce totals approximately 17,125,800 ppl  Statistics Canada Jan. 2009 • xA workforce is an expensive proposition and a cost of doing business o 25% of organization’s total revenue o Much greater for organizations in labour intensive industries • Shift from viewing employees as just a cost of doing business to valuing employees as human capital o Creates competitive advantage o This has important financial implications o Human capital is an intangible asset for an org. • Dr. Mark Huselid defines HR effectiveness as the contribution of the organization’s workforce or human capital to business o Associate professor of HR strategy at the Rutgers Definition of Staffing • Staffing: the process of acquiring, deploying, and retaining a workforce of sufficient quantity and quality to create positive impacts on the organization’s effectiveness Implications of Definition • Any organization must have staffing systems that guide the acquisition, deployment, and retention of its workforce • Acquisition activities: external staffing systems that govern the initial intake of applicants into the organization o Planning for the numbers and types of ppl needed o Establishing job requirements in the form of the qualifications or KSAOs o Establishing the types of rewards the job will provide o Conducting external recruitment campaigns o Using selection tools to evaluate the KSAOs that applicants possess o Deciding which applicants are the most qualified and will receive job offers o Putting together job offers that applicants will hopefully accept • Deployment: the placement of new hires on the actual job they will hold o Also guides the movement of current employees o internal staffing systems; promotions, transfers, and new project assignments • Retention: systems that seek to manage the inevitable flow of employees out of the organization o Outflows are involuntary and voluntary o Organizations should try to minimize the types of turnover in which value employees leave for “greener pastures”; voluntary- avoidable turnover STAFFING SYSTEMS • Staffing is a process that establishes and governs the flow of people into the organization, within the organization and out of • Multiple, interconnected systems that organizations use to manage the staffing process • The impact of and inter-relationship between staffing/orientation, training/development, career management, performance management, health/safety, labour relations, and compensation/benefits need to be constantly reviewed and analyzed Quantity and Quality • Staffing the organization requires attention to both the numbers and types of people brought in • Quantity: refers to having enough head count to conduct business • Quality: entails having people with the requisite KSAOs Organization Effectiveness • Staffing systems exist to contribute to attaining organizational goals; survival, profitability, growth o This macro view is required • Leadership talent is at a premium, with large stakes associated with new leader acquisition o Flip side is leadership retention o Unexpected loss of a key leader, especially to a competitor, is a looming fear for orgs. o Loss of knowledge and skill and possibly other employees • Talent hunts and loading up on talent are ways to expand organizational value and provide protection from competitors o This strategy is effective if the talent is unique/rare, valuable, difficult to imitate o This type of talent can serve as competitive advantage • Talent acquisition is essential for growth o Even when it does not have such competitive advantage characteristics • Sufficient numbers and types of employees on board is necessary for the smooth, efficient operation of work unit STAFFING MODELS • 5 models depict various elements of staffing 1. Staffing Quantity: Levels • Organizations must be concerned about staffing levels and their adequacy • Organization as a whole, and each units, forecasts workforce quantity requirements (needed head count) and compares it to the forecasted workforce availabilities (likely employee head count o Could be overstaffed, fully staffed, or understaffed • Making such forecasts to determine staffing levels and then developing specific plans on how to cope with them are the essence of planning 2. Staffing Quality: Person/Job Match • Person/job match: an alignment of the characteristics of individuals and jobs in ways that will result in desired HR outcomes • Four important points about the person/job match: o Jobs are characterized by their requirements o Individuals are characterized by their level of qualification o The issue is usually b/w the likely degree of fit or match between the characteristics of the job and the person o Implied consequences for every match • Each job has certain requirements and rewards associated with it o KSAOs: job qualifications including Knowledge, Skills, Abilities, and Other characteristics, to look for when considering potential candidates • Need for a dual match to occur: job requirements to KSAOs & job rewards to individual motivation o Matching Process: a process that matches both job requirements to KSAOs and job rewards to individual motivation • Several points pertaining to staffing need to be made about the person/job matching model o Concepts shown in the model are not new  Been used for decades  Each individual must be assessed relative to the requirements and rewards of the job being filled o The model emphasizes that the matching process involves a dual match of KSAOs to requirements and motivation to rewards  Both matches require attention in staffing  It does little good to be able to identify the likely high performers if they cannot be induced to accept job offers or to remain with the org. o Job requirements should usually be expressed in terms of both the tasks involved and the KSAOs thought necessary for performance of those tasks  Job Requirements: tasks involved in the job and the KSAOs that are necessary to perform those tasks  First need to establish job tasks to find needed KSAOs -> except generic KSAOs (literacy) o Job requirements often extend beyond task and KSAOs requirements  E.g.: attendance, safety o Matching process can yield only so much by way of impacts on the HR outcomes  These outcomes are influenced by factors outside the realm person/job match  Retention depends not only on how close a match there is b/w job rewards and individual motivation but also on the availability of suitable job opportunities in other orgs. and labour markets 3. Staffing Quality: Person/Organization Match • Focal point of staffing is the person/job match; but four other matching concerns arise in staffing o Other concerns: organizational values, new job duties, multiple jobs, and future jobs • Organizational values are norms of desirable attitudes and behaviours for the organization’s employees o E.g.: honesty, integrity, hard work o Matching these values as well as the job description has to be assessed during the staffing process • New job duties represent tasks that may be added to the target job over time o New hires might be needed for these o Job description often have the catchphrase “ and other duties as assigned” • Flexibility concerns in terms of hiring persons who could perform multiple jobs o Small businesses and orgs. experiencing rapid growth maybe experience this o Require assessment of person/organization fit • Future jobs represent forward thinking by the org. and person as to what job assignments the person might assume beyond the initial job o Long term matches 4. Staffing System Components • Staffing encompasses managing the flows of people into and within the org. as well as retaining them • The core staffing process has several components that represent steps and activities that occur over the course of these flows • Staffing begins with the joint interaction between the applicant and the organization o Balance b/w applicant and org. is determined by economic circumstances, demographic evolution, increasing global competition and the applicant • Stage 1: recruitment o Identification and attraction activities by both the organization and the applicants • Stage 2: selection o Emphasis is on assessment and evaluation o Org assessing applicant’s KSAOs and motivation o Applicant assessing org and job • Stage 3: employment o Decision making and final match activities by the org and applicant o Involves self-selection for the applicant  Self-selection: decision that an applicant makes about whether to continue in or drop out of the staffing process  Can happen from the selection stage to the final decision time 5. Staffing Organizations • Org’s mission and goals and objectives drive both organization strategy and HR an
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