EDITION PRINCIPLES OF HUMAN RESOURCE MANAGEMENT Scott SnelL Professor of Business Administration, University of Virginia Professor Emeritus of Management, Arizona State University SOUTH-WESTERN CENGAGE LearningAustralia • Brazil 'Japan • Korea • Mexico • Singapore • Spain • United Kingdom • United States PART Human Resource Management in Perspective Chapter The Challenge of Human Resources Management Why Study Human Resources Management? Competitive Challenges and Human Resources Management Challenge 1: Competing, Recruiting, and Staffing Globally Challenge 2: Embracing New Technology 5 Highlights in HRM 1: A Guide to HR Internet Sites Highlights in HRM 2: Automation of Talent Management Functions Challenge 3: Managing Change Challenge 5: Responding to the Market 15 22 22 Highlights in HRM 3: Social Issues in HRM Cultural Changes 13 17 Demographic and Employee Concerns Demographic Changes 11 12 Challenge 4: Managing Talent, or Human Capital Challenge 6: Containing Costs 23 28 Highlights in HRM 4: Why Diversity? 30 The Partnership of Line Managers and HR Departments Responsibilities of the Human Resources Manager Competencies of the Human Resources Manager 31 32 33 Highlights in HRM 5: SHRM Code of Ethical and Professional Standards in Human Resource Management 35 Role of the Line Manager Summary Key Terms 38 39 40 Discussion Questions 41 HRM Experience: Balancing Competitive Challenges and Employee Concerns 41 vii Contents Case Study 1: A Chip off the Rock: Outsourcing HR at Prudential 42 Case Study 2: Managing "Daddy Stress" at Baxter Healthcare 43 Notes and References 45 Chapter Strategy and Human Resources Planning Strategic Planning and Human Resources 50 Strategic Planning and HR Planning: Linking the Processes Step One: Mission, Vision, and Values Step Two: Environmental Analysis Competitive Environment 48 51 51 53 53 Step Three: Internal Analysis 57 The Three Cs: Culture, Capabilities, and Composition Forecasting: A Critical Element of Planning 57 61 Highlights in HRM 1: HR Planning and Strategy Questions to Ask Business Managers 64 Assessing a Firm's Human Capital Readiness: Gap Analysis 67 Highlights in HRM 2: Succession-Planning Checklist Step Four: Formulating Strategy Corporate Strategy Business Strategy 68 70 70 72 Highlights in HRM 3: Key HR Activities Associated with Merger or Acquisition Phases 73 Functional Strategy: Ensuring Alignment Step Five: Strategy Implementation 75 76 Taking Action: Reconciling Supply and Demand 77 Step Six: Evaluation and Assessment 79 Evaluation and Assessment Issues 79 Highlights in HRM 4: Ten Measures of Human Capital Measuring a Firm's Strategic Alignment 81 Ensuring Strategic Flexibility for the Future Summary Key Terms 82 84 85 Discussion Questions 85 HRM Experience: Customizing HR for Different Types of Human Capital 86 80 Contents IX Case Study 1: Misplaced Affections: Discharge for Sexual Harassment 87 Case Study 2: A "Bad Hair Day" or Religious Custom? Notes and References 89 90 Appendix: Calculating Turnover and Absenteeism Employee Turnover Rates 93 93 Computing the Turnover Rate 93 Determining the Costs of Turnover Employee Absenteeism Rates 94 94 Computing Absenteeism Rates 94 Highlights in HRM 5: Costs Associated with the Turnover of One Computer Programmer 95 Comparing Absenteeism Data Costs of Absenteeism 96 96 Absenteeism and HR Planning Notes and References PART 96 97 Meeting Human Resources Requirements Chapter Equal Employment Opportunity and Human Resources Management 98 Historical Perspective of EEO Legislation Changing National Values Economic Disparity 101 101 102 Early Legal Developments 102 Government Regulation of Equal Employment Opportunity 102 Major Federal Laws 103 Highlights in HRM 1: Test Your Knowledge of Equal Employment Opportunity Law 104 Other Federal Laws and Executive Orders Fair Employment Practice Laws 114 115 Other Equal Employment Opportunity Issues Sexual Harassment 116 116 Highlights in HRM 2: Questions Used in Auditing Sexual Harassment 118 Contents Highlights in HRM 3: Basic Components of an Effective Sexual Harassment Policy 119 Sexual Orientation 120 Immigration Reform and Control 120 Uniform Guidelines on Employee Selection Procedures Enforcing Equal Employment Opportunity Legislation The Equal Employment Opportunity Commission Record-Keeping and Posting Requirements 124 124 125 Highlights in HRM 4: 2007 EEO-1 Survey Processing Discrimination Charges 121 127 128 Highlights in HRM 5: EEOC Poster 129 Highlights in HRM 6: EEOC Guidelines on Retaliation Preventing Discrimination Charges 131 132 Diversity Management: Affirmative Action 133 Establishing Affirmative Action Programs 133 Highlights in HRM 7: Basic Steps in Developing an Effective Affirmative Action Program 134 Managing Diversity: Affirmative Action Summary Key Terms 135 137 138 Discussion Questions 138 HRM Experience: Sexual Harassment: A Frank Discussion 139 Case Study 1: Building a Stealth Fighter with Virtual Teams 140 Case Study 2: Empty Cubicles: How Would You Manage the Vacancy? 141 Appendix: Determining Adverse Impact Notes and References 143 144 Chapter Job Analysis, Employee Involvement, and Flexible Work Schedules 148 Relationship of Job Requirements and HRM Functions Recruitment Selection 150 151 Training and Development Performance Appraisal 151 151 Compensation Management 151 150 Contents XI Job Analysis 152 Job Analysis and Essential Job Functions Gathering Job Information 152 153 Controlling the Accuracy of Job Information Approaches to Job Analysis Job Descriptions 154 155 158 Highlights in HRM 1: Job Description for an Employment Assistant Problems with Job Descriptions 161 Writing Clear and Specific Job Descriptions Job Design 161 , 162 Behavioral Concerns 162 Highlights in HRM 2: Empowered Employees Achieve Results Industrial Engineering Considerations Ergonomic Considerations Flexible Work Schedules 165 166 167 Designing Work for Group/Team Contributions 168 174 Highlights in HRM 3: How to Request a Flexible Work Schedule Summary Key Terms 179 180 Discussion Questions 180 HRM Experience: Establishing Ground Rules for Team Success 180 Case Study 1: Human Resources Planning at Donna Karan International 182 Case Study 2: Moen's Recruiting Faucet Notes and References PART 159 183 184 Developing Effectiveness in Human Resources Chapter Expanding the Talent Pool: Recruitment and Careers 186 Recruiting Talent Externally 188 Highlights in HRM 1: Marriott's Recruitment Principles Outside Sources for Recruitment The Global Labor Market 190 198 Improving the Effectiveness of External Recruitment Recruiting Talent Internally 200 198 189 175 Xii Contents Advantages and Limitations of Recruiting from Within Methods for Identifying Qualified Candidates 201 202 Career Management: Developing Talent over Time 205 The Goal: Matching Individual and Organizational Needs Identifying Career Opportunities and Requirements 206 207 Highlights in HRM 2: Career Path of Jeffrey Immelt, CEO, General Electric 210 Career Development Initiatives 214 Developing a Diverse Talent Pool 220 Recruiting and Developing Women 221 Eliminating Women's Barriers to Advancement Glass Ceiling Audits 221 223 Preparing Women for Management Accommodating Families 223 224 Recruiting and Developing Minorities Providing Minority Internships 224 225 Advancing Minorities to Management 225 Highlights in HRM'3: Diversity Recruitment That Works Other Important Talent Concerns Recruiting the Disabled 226 227 227 Less Publicized Disadvantages 229 Highlights in HRM 4: Resources and Tips for Hiring and Retaining Employees with Disabilities 229 Employing the Older Workforce 231 Employing Dual Career Couples 232 Summary Key Terms 233 234 Discussion Questions 234 HRM Experience: Career Management 235 Case Study 1: Nike: Hiring Gets Off on the Right Foot Case Study 2: Small Companies Need Diversity Too Notes and References 237 238 Appendix: Personal Career Development Developing Personal Skills and Competencies Choosing a Career 235 241 241 241 Highlights in HRM 5: Career Competencies at Caterpillar 242 Contents Use of Available Resources 242 Accuracy of Self-Evaluation 243 The Significance of Interest Inventories 243 Highlights in HRM 6: Campbell Interest and Skill Survey: Individual Profile 244 Evaluating Long-Term Employment Opportunities Choosing an Employer 246 246 Questions to Ask Yourself Before You Accept a Job Offer Becoming an Entrepreneur 247 247 Keeping a Career in Perspective 248 Developing Off-the-Job Interests 248 Balancing Marital and/or Family Life Planning for Retirement Key Term 249 249 250 Notes and References 250 Chapter Employee Selection Matching People and Jobs 252 254 Person-Job Fit: Beginning with Job Analysis Person-Organization Fit The Selection Process 255 255 Obtaining Reliable and Valid Information 256 Sources of Information about Job Candidates Application Forms 255 259 260 Online Applications 262 Biographical Information Blanks Background Checks 262 263 Highlights in HRM 1: Sample Reference-Checking Questions Polygraph Tests 267 Honesty and Integrity Tests Graphology 268 Medical Examinations Drug Testing 267 269 269 Employment Tests 271 Nature of Employment Tests 271 Highlights in HRM 2: Best Practices for Employee Testing and Selection 272 Classification of Employment Tests 272 265 Contents The Employment Interview Interviewing Methods 277 277 Highlights in HRM 3: Sample Situational Interview Question 279 Highlights in HRM 4: iring Managers Reveal Top Five Biggest Mistakes Candidates Make During Job Interviews in CareerBuilder com Survey 280 Guidelines for Employment Interviewers 283 Diversity Management: Are Your Questions Legal? 286 Highlights in HRM 5: Appropriate and Inappropriate Interview Questions 287 Reaching a Selection Decision 288 Summarizing Information about Applicants Decision-Making Strategy Final Decision Summary Key Terms 288 288 291 292 293 Discussion Questions 293 HRM Experience: Designing Selection Criteria and Methods Case Study 1: Tapping Unused Resources in Lean Times 294 295 Case Study 2: Kodak Gets the Picture in Executive Education 297 Notes and References 299 Chapter Training and Development The Scope of Training 304 306 Investments in Training 306 A Systems Approach to Training 307 Phase 1: Conducting the Needs Assessment Organization Analysis 308 309 Highlights in HRM 1: Notes on Rapid Needs Assessment Task Analysis 310 311 Highlights in HRM 2: A Competency Assessment for a Managerial Position 312 Person Analysis 314 Phase 2: Designing the Training Program Instructional Objectives 315 Trainee Readiness and Motivation 315 314 Contents XV Principles of Learning 316 Characteristics of Instructors 319 Phase 3: Implementing the Training Program 320 Training Methods for Nonmanagerial Employees Methods for Management Development 328 Phase 4: Evaluating the Training Program Criterion 1: Reactions 320 333 333 Criterion 2: Learning 334 Criterion 3: Behavior 334 Criterion 4: Results, or Return on Investment (ROI) 335 Highlights in HRM 3: Calculating Training ROI: Examples Highlights in HRM 4: Benchmarking HR Training Special Topics in Training and Development Orientation Training 338 Basic Skills Training 339 336 337 338 Highlights in HRM 5: Checklist for Orienting New Employees Team Training and Cross-Training Ethics Training 343 Diversity Training 344 Highlights in HRM 6: Additional Ethics Training Resources Summary Key Terms 340 341 347 348 Discussion Questions 348 HRM Experience: Training and Learning Principles Case Study 1: UPS Delivers the Goods 349 350 Case Study 2: Preparing a Career Development Plan 351 Case Study 3: Kodak Gets the Picture in Executive Education 352 Notes and References 355 Chapter Appraising and Improving Performance Performance Appraisal Programs 362 The Purposes of Performance Appraisal 363 Why Appraisal Programs Sometimes Fail 364 Developing an Effective Appraisal Program What Are the Performance Standards? 367 366 360 345 XVI Contents Are You Complying with the Law? 369 Who Should Appraise Performance? 370 Putting It All Together: 360-Degree Appraisal Training Appraisers 374 376 Highlights in HRM 1: Supervisor's Checklist for the Performance Appraisal 379 Performance Appraisal Methods Trait Methods 379 380 Highlights in HRM 2: Graphic Rating Scale with Provision for Comments 381 Highlights in HRM 3: Example of a Mixed-Standard Scale Behavioral Methods 383 Highlights in HRM 4: BARS and BOS Examples Results Methods 386 Highlights in HRM 5: Personal Scorecard 389 Which Performance Appraisal Method to Use? Appraisal Interviews 391 Conducting the Appraisal Interview 392 Improving Performance Key Terms 390 391 Three Types of Appraisal Interviews Summary 385 395 398 399 Discussion Questions 400 HRM Experience: Performance Diagnosis 401 Case Study 1: Goodyear Ends Ratings System Ahead of Discrimination Suit 402 Case Study 2: 360-Degree Appraisal at Johnson & Johnson Notes and References PART 406 Implementing Compensation and Security Chapter Managing Compensation Strategic Compensation Planning 410 412 Linking Compensation to Organizational Objectives The Pay-for-Performance Standard The Bases for Compensation 414 418 Determining Compensation—The Wage Mix Internal Factors 419 418 413 404 382 Contents XVli Highlights in HRM 1: Comparison of Compensation Strategies External Factors 422 Job Evaluation Systems Job Ranking System 423 424 Job Classification System Point System 421 424 424 Highlights in HRM 2: Point Values for Job Factors of the American Association of Industrial Management 426 Work Valuation 426 Highlights in HRM 3: Description of Education Factor and Degrees of the American Association of Industrial Management 427 Job Evaluation for Management Positions The Compensation Structure Wage and Salary Surveys 428 428 428 Highlights in HRM 4: Bureau of Labor Statistics National Compensation Survey 430 The Wage Curve Pay Grades 431 431 Rate Ranges 432 Competence-Based Pay 434 Government Regulation of Compensation 435 Highlights in HRM 5: Minimum Wage Laws in the States Davis-Bacon Act of 1931 437 Walsh-Healy Act of 1936 437 Fair Labor Standards Act of 1938 (as Amended) 437 Highlights in HRM 6: The Federal Wage Poster Significant Compensation Issues Key Terms 442 442 The Issue of Wage Rate Compression Summary 439 441 The Issue of Equal Pay for Comparable Worth The Issue of Low Salary Budgets 436 442 444 445 Discussion Questions 445 HRM Experience: Why This Salary? 446 Case Study 1: Pay Decisions at Performance Sports 447 Case Study 2: Mission Possible: A Competency-Based Compensation Program for BestSource and SCE Federal Credit Unions 448 Notes and References 449 XVlii Contents Chapter 10 Pay-for-Performance: Incentive Rewards Strategic Reasons for Incentive Plans 454 Incentive Plans as Links to Organizational Objectives Requirements for a Successful Incentive Plan Setting Performance Measures 457 Administering Incentive Plans 457 452 454 456 Highlights in HRM 1: Setting Performance Measures—The Keys Individual Incentive Plans Piecework 459 Standard Hour Plan Bonuses Merit Pay 459 460 460 461 Lump Sum Merit Pay 462 Incentive Awards and Recognition Sales Incentives 462 463 Highlights in HRM 2: Customize Your Noncash Incentive Awards 464 Incentives for Professional Employees The Executive Pay Package 465 466 Executive Compensation: Ethics and Accountability 469 Highlights in HRM 3: The "Sweetness" of Executive Perks Executive Compensation Reform Group Incentive Plans Team Compensation 470 471 471 Gainsharing Incentive Plans 472 Highlights in HRM 4: Lessons Learned: Designing Effective Team Incentives 473 Enterprise Incentive Plans 476 Profit Sharing Plans 476 Employee Stock Options Plans 477 Highlights in HRM 5: Employee Stock Option Plans Employee Stock Ownership Plans (ESOPs) Advantages of ESOPs Summary Key Terms 479 479 480 481 Discussion Questions 481 HRM Experience: Awarding Salary Increases 482 478 470 458 Contents Case Study 1: Pay-for-Performance: The Merit Question 483 Case Study 2: Team-Based Incentive Rewards: It's Not All Roses 484 Notes and References 485 Chapter 11 Employee Benefits 488 Employee Benefits Programs 490 HRIS and Employee Benefits 490 Requirements for a Sound Benefits Program 491 Communicating Employee Benefits Information Concerns of Management 493 495 Highlights in HRM 1: Crafting an Effective Benefits Communication Program 495 Highlights in HRM 2: A Personalized Statement of Benefits Costs 496 Highlights in HRM 3: U.S Chamber of Commerce Employee Benefits Survey—2007 497 Employee Benefits Required by Law Social Security Insurance 499 Unemployment Insurance 500 Workers' Compensation Insurance 499 501 Consolidated Omnibus Budget Reconciliation Act (COBRA) Family and Medical Leave Act 502 Older Workers Benefit Protection Act Discretionary Major Employee Benefits Health Care Benefits 501 503 503 503 Highlights in HRM 4: 'Your Rights": Another Federally Required Poster 504 Highlights in HRM 5: Employers Methods for Containing Health Care Costs 506 Payment for Time Not Worked 508 Supplemental Unemployment Benefits Life Insurance 509 Long-Term Care Insurance Retirement Programs Pension Plans 509 509 510 511 Employee Services: Creating a Work/Life Setting Employee Assistance Programs Counseling Services 516 Child and Elder Care 516 Other Benefits and Services 515 517 514 XX Contents Summary Key Terms 518 519 HRM Experience: Understanding Employer Benefit Programs Discussion Questions 519 520 Case Study 1: Using "Sticky" Awards: KFC Does It Right 521 Case Study 2: Adobe's Family-Friendly Benefits: An Unexpected Backlash Notes and References 523 Chapter 12 Promoting Safety and Health Safety and Health: It's the Law 528 Highlights in HRM 1: Test Your Safety Smarts OSHA's Coverage 530 OSHA Standards 530 Enforcing OSHA Standards 526 529 530 OSHA Consultation Assistance 532 Responsibilities and Rights under OSHA 533 Highlights in HRM 2: What Are My Responsibilities under the OSH Act? 534 Right-to-Know Laws 535 OSHA's Enforcement Record 536 Promoting a Safe Work Environment Creating a Culture of Safety Enforcing Safety Rules 536 537 538 Investigating and Recording Accidents Creating a Healthy Work Environment Health Hazards and Issues 539 539 540 Highlights in HRM 3: Job Safety and Health Protection Poster 541 Highlights in HRM 4: Holsum Bakery's Workplace Smoking Policy 543 Workplace Violence 546 Building Better Health 549 Employee Assistance Programs 551 Highlights in HRM 5: Selected Items from Salt River Project's Substance Abuse Policy 554 The Management of Stress What Is Stress? 557 556 522 Contents XXI Job-Related Stress 558 Coping with Stress 558 Summary Key Terms 559 560 Discussion Questions 561 HRM Experience: Reducing Employee Stress 562 Case Study 1: Safety Training at Pro's Choice: It's Not Working 563 Case Study 2: Coping with Stress at U.S Customs Notes and References PART 564 565 Enhancing Employee-Management Relations Chapter 13 Employee Rights and Discipline Employee Rights and Privacy 570 Employee Rights vs Employer Responsibilities Negligent Hiring 568 571 571 Job Protection Rights 571 Highlights in HRM 1: Examples of Employment-at-Will Statements 576 Privacy Rights 578 Electronic Surveillance and Monitoring Disciplinary Policies and Procedures The Results of Inaction 587 588 Setting Organizational Rules Defining Discipline 581 589 590 Investigating the Disciplinary Problem Approaches to Disciplinary Action Discharging Employees 591 593 594 Highlights in HRM 2: Banner Health System Corrective Action Process 595 Alternative Dispute Resolution Procedures Managerial Ethics in Employee Relations Summary Key Terms 602 604 Discussion Questions 604 598 601 XXii Contents HRM Experience: Learning about Employee Rights Case Study 1: Discharged for Off-Duty Behavior 605 606 Case Study 2: "You Can't Fire Me! I Passed the Test" Notes and References 607 608 Chapter 14 The Dynamics of Labor Relations 612 Highlights in HRM 1: Test Your Labor Relations Know-How Government Regulation of Labor Relations Railway Labor Act 616 616 Norris-LaGuardia Act Wagner Act 615 616 616 Taft-Hartley Act 618 Landrum-Griffin Act 619 The Labor Relations Process Why Employees Unionize Organizing Campaigns 619 619 621 Highlights in HRM 2: United Food and Commercial Workers International Union Authorization Card 623 Employer Tactics Opposing Unionization 624 Highlights in HRM 3: Employer "Don'ts" during Union Organizing Campaigns 625 How Employees Become Unionized NLRB Representation Election 625 625 Impact of Unionization on Managers 626 Highlights in HRM 4: NLRB Election Poster 627 Structures, Functions, and Leadership of Labor Unions Structure and Functions of the AFL-CIO 629 Structure and Functions of National Unions Structure and Functions of Local Unions 629 630 Union Leadership Commitment and Philosophies Labor Relations in the Public Sector The Bargaining Process 631 632 Preparing for Negotiations 633 Gathering Bargaining Data 634 Developing Bargaining Strategies and Tactics Negotiating the Labor Agreement Good Faith Bargaining 631 635 Interest-Based Bargaining 637 635 634 628 Contents xxii Management and Union Power in Collective Bargaining Resolving Bargaining Deadlocks The Labor Agreement 637 639 639 The Issue of Management Rights Union Security Agreements 640 641 H i g h l i g h t s in HRM 5: I t e m s in a Labor Agreement Administration of the Labor Agreement Negotiated Grievance Procedures 641 641 The Grievance Procedure in Action Grievance Arbitration 642 643 Contemporary Challenges to Labor Organizations Foreign Competition and Technological Change Decrease in Union Membership 645 645 645 Employers' Focus on Maintaining Nonunion Status Summary Key Terms 640 646 647 648 Discussion Questions 648 HRM Experience: Learn about Unions 649 Case Study 1: The Union Drive at Apollo Corporation: ULPs and Organizing Tactics 650 Case Study 2: The Arbitration Case of Jesse Stansky Notes and References PART 651 652 Expanding Human Resources Management Horizons Chapter 15 International Human Resources Management Managing across Borders 658 How Does the Global Environment Influence Management? Domestic versus International HRM International Staffing 660 663 664 Recruiting Internationally 665 Selecting Employees Internationally 668 Highlights in HRM 1: Global Laws and Pacts Prohibiting Discrimination 669 Highlights in HRM 2: Skills of Expatriate Managers Training and Development 673 Content of Training Programs 674 671 656 Contents Highlights in HRM 3: Nonverbal Communications in Different Cultures 677 Highlights in HRM 4: Repatriation Checklist Compensation 682 683 Compensation of Host-Country Employees Compensation of Host-Country Managers Compensation of Expatriate Managers Performance Appraisal 685 686 688 Who Should Appraise Performance? 688 Home versus Host-Country Evaluations Performance Criteria Providing Feedback 683 689 689 690 The Labor Environment Worldwide 691 Collective Bargaining in Other Countries 691 International Labor Organizations 692 Labor Participation in Management Summary Key Terms 693 694 695 Discussion Questions 695 HRM Experience: An American (Expatriate) in Paris Case Study 1: International HRM at Molex, Inc 697 Case Study 2: How Deloitte Builds Global Expertise Notes and References 696 699 703 Chapter 16 Creating High-Performance Work Systems 708 Fundamental Principles 710 Egalitarianism and Engagement Shared Information 711 713 Knowledge Development 714 Performance-Reward Linkage 714 Anatomy of High-Performance Work Systems Work-Flow Design and Teamwork 715 716 Complementary Human Resources Policies and Practices Management Processes and Leadership 718 716 Contents XXV Supportive Information Technologies Fitting It All Together 719 Ensuring Internal Fit 719 Establishing External Fit 719 720 Assessing Strategic Alignment: The HR Scorecard Implementing the System 721 721 Highlights in HRM 1A: Diagnosing Internal Fit 722 Highlights in HRM IB: Testing the Alignment of the HR System with HR Deliverables 723 Highlights in HRM 1C: Testing the Alignment of HR Deliverables 724 Building a Business Case for Change 724 Establishing a Communications Plan 725 Involving Unions 726 Navigating the Transition to High-Performance Work Systems Evaluating the Success of the System and Sustaining It 728 730 Outcomes of High-Performance Work Systems 731 Employee Outcomes and Quality of Work Life 731 Organizational Outcomes and Competitive Advantage 732 Highlights in HRM 2: The Impact of High-Performance Work Systems 733 Summary 734 Key Terms 734 Discussion Questions 735 HRM Experience: Assessing the Strategic Fit of High-Performance Work Systems 735 Case Study 1: HPWS at Tomex Incorporated Case Study 2: HPWS at Xerox Corporation Notes and References Cases 737 738 740 745 Case 1: United Technologies Seeks Intangibles with Education Plan 745 Case 2: Running the Global Recruiting Machine: ClientLogic Case 3: Job Analysis and Hiring Decisions at Ovania Chemical Case 4: Ill-Fated Love at Centrex Electronics 757 749 752 XXVI* Contents Case 5: Returning Ethics to Putnam 758 Case 6: Realigning HR Practices at Egan's Clothiers Case 7: A Performance Appraisal Snafu 765 Case 8: The Last Straw for Aero Engine 769 763 Case 9: I.B.M.: Take as Much Vacation Time as You Want To? 771 Case 10: Newell's Decision to Downsize: An Ethical Dilemma 774 Case 1 : Someone Has to Go: A Tough Layoff Decision Glossary 778 Name Index 789 Organization Index Subjet Index 801 791 776 [...]... Grades 4 31 4 31 Rate Ranges 432 Competence-Based Pay 434 Government Regulation of Compensation 435 Highlights in HRM 5: Minimum Wage Laws in the States Davis-Bacon Act of 19 31 437 Walsh-Healy Act of 19 36 437 Fair Labor Standards Act of 19 38 (as Amended) 437 Highlights in HRM 6: The Federal Wage Poster Significant Compensation Issues Key Terms 442 442 The Issue of Wage Rate Compression Summary 439 4 41 The... Study 1: International HRM at Molex, Inc 697 Case Study 2: How Deloitte Builds Global Expertise Notes and References 696 699 703 Chapter 16 Creating High-Performance Work Systems 708 Fundamental Principles 710 Egalitarianism and Engagement Shared Information 711 713 Knowledge Development 714 Performance-Reward Linkage 714 Anatomy of High-Performance Work Systems Work-Flow Design and Teamwork 715 716 Complementary... Complementary Human Resources Policies and Practices Management Processes and Leadership 718 716 Contents XXV Supportive Information Technologies Fitting It All Together 719 Ensuring Internal Fit 719 Establishing External Fit 719 720 Assessing Strategic Alignment: The HR Scorecard Implementing the System 7 21 7 21 Highlights in HRM 1A: Diagnosing Internal Fit 722 Highlights in HRM IB: Testing the Alignment of the... Programs Counseling Services 516 Child and Elder Care 516 Other Benefits and Services 515 517 514 XX Contents Summary Key Terms 518 519 HRM Experience: Understanding Employer Benefit Programs Discussion Questions 519 520 Case Study 1: Using "Sticky" Awards: KFC Does It Right 5 21 Case Study 2: Adobe's Family-Friendly Benefits: An Unexpected Backlash Notes and References 523 Chapter 12 Promoting Safety and... Experience: Learn about Unions 649 Case Study 1: The Union Drive at Apollo Corporation: ULPs and Organizing Tactics 650 Case Study 2: The Arbitration Case of Jesse Stansky Notes and References PART 6 51 652 Expanding Human Resources Management Horizons Chapter 15 International Human Resources Management Managing across Borders 658 How Does the Global Environment Influence Management? Domestic versus International... Questions 604 598 6 01 XXii Contents HRM Experience: Learning about Employee Rights Case Study 1: Discharged for Off-Duty Behavior 605 606 Case Study 2: "You Can't Fire Me! I Passed the Test" Notes and References 607 608 Chapter 14 The Dynamics of Labor Relations 612 Highlights in HRM 1: Test Your Labor Relations Know-How Government Regulation of Labor Relations Railway Labor Act 616 616 Norris-LaGuardia... Planning 410 412 Linking Compensation to Organizational Objectives The Pay-for-Performance Standard The Bases for Compensation 414 418 Determining Compensation—The Wage Mix Internal Factors 419 418 413 404 382 Contents XVli Highlights in HRM 1: Comparison of Compensation Strategies External Factors 422 Job Evaluation Systems Job Ranking System 423 424 Job Classification System Point System 4 21 424 424... HRM 2: Point Values for Job Factors of the American Association of Industrial Management 426 Work Valuation 426 Highlights in HRM 3: Description of Education Factor and Degrees of the American Association of Industrial Management 427 Job Evaluation for Management Positions The Compensation Structure Wage and Salary Surveys 428 428 428 Highlights in HRM 4: Bureau of Labor Statistics National Compensation... Bargaining 6 31 635 Interest-Based Bargaining 637 635 634 628 Contents xxii Management and Union Power in Collective Bargaining Resolving Bargaining Deadlocks The Labor Agreement 637 639 639 The Issue of Management Rights Union Security Agreements 640 6 41 H i g h l i g h t s in HRM 5: I t e m s in a Labor Agreement Administration of the Labor Agreement Negotiated Grievance Procedures 6 41 6 41 The Grievance... Test Your Labor Relations Know-How Government Regulation of Labor Relations Railway Labor Act 616 616 Norris-LaGuardia Act Wagner Act 615 616 616 Taft-Hartley Act 618 Landrum-Griffin Act 619 The Labor Relations Process Why Employees Unionize Organizing Campaigns 619 619 6 21 Highlights in HRM 2: United Food and Commercial Workers International Union Authorization Card 623 Employer Tactics Opposing Unionization