Literature review:
The role of a Human Resource department is ever changing in today’s volatile business environment. Over the years HR have become strong strategic partners within an organization by providing functions such as recruitment, training and development and retention. Human Resources in order to be strategic works directly with all levels of management in an effort to help with strategy and the growth of the company to meet their vision. One very important aspect is talent acquisition. Having the right people in key roles within the company is vital to the success and growth of any company. Performing this function includes preparing a job description, recruiting, and then setting compensation.
A crucial tool used by many HR departments is the process of job evaluations and performance review. These aspects of the HR Department makes sure that the employees are performing the specific task for their job description proficiently and per the companies guidelines, as well as being able to determine whether the employees deserve a raise or any other compensation to award their performance. Human resources is a critical part of an organization in order to keep the company functioning and profitable they are an important part of finding the right employees, with the right skills and qualifications to fit into open positions.
METHOD OF JOB ANALYSIS:
When a new job is created or a vacancy occurs, it is the role of a HR representative to fill that void. In order to perform this function they need to first understand what role they are trying fill is and what skills and responsibilities this new role would require. By conducting a job analysis they are able to further define important elements of any job and then search for the person or people that are the most qualified and would be a good fit for the company. As important as it is to perform a job analysis before looking for that new candidate, it is equally as important to select the correct job analysis method. Some popular job analysis methods are Observation, Individual Interview and Structured Questionnaires.
Organizations choose methods based on various guidelines that are all linked to the job responsibilities of a position, company culture and size of the organization. Each organization must select which methods are the best match for their candidate search. The Observation method includes studying someone while they perform their job in an effort to better understand the tasks and duties necessary to this particular job. The advantages are the observer can obtain first-hand knowledge and information about the job being analyzed. This can provide an accurate picture of the candidate ability to do the job at hand. Other Job Analysis methods such as the interview or questionnaire only allow HR to indirectly obtain this information. With other methods there is a risk of omissions or exaggerations are introduced either by the incumbent being interviewed or by items on the questionnaire.
The next method is the Interview method; this method involves conducting interviews of the person leaving this position to gain insights into what duties they perform. Interviews can also be conducted on other employees performing the same job but in most cases start with the HR manager. The advantages are that it allows the incumbent to describe tasks and duties that are not observable by anyone else and for the incumbent to give an overview of what their job entailed while they were in that position. The disadvantage is the candidate can exaggerate or omit tasks and duties that the new employee will need/have to perform to be successful in this position. The interviewer must be skilled and ask the proper questions in order to get the appropriate answers in order to get the full scope of the job duties of this position and to effectively do the appropriate job analysis.
The Structured Questionnaire method uses a standardized list of work activities, called a task inventory, then jobholders or supervisors may identify as related to the job. It must cover all job related to tasks and behavior. Each task or behavior should be described in terms of features such as difficulty, importance, frequency, time spent and relationship to performance. The disadvantage is that responses may be difficult to interpret and are open-ended. Combining these methods will provide HR with a well-rounded description and analysis for the candidates. Furthermore this allows you to get the perspective from a few different angles. These methods help the HR managers find the ideal candidate for the position.
IMPORTANCE OF TASK STATEMENTS AND KSA STATEMENTS:
A task is an action designed to contribute a specified result to the accomplishment of an objective. It has an identifiable beginning and end that is a measurable component of the duties and responsibilities of a specific job. Knowing the tasks that have to be performed, helps you to identify the KSA that the candidate must possess in order to perform to the companies standards. In some cases you will train someone of the required KSA. Knowledge statements refer to an organized body of information usually of a factual or procedural nature which, if applied, makes adequate performance on the job possible. A body of information applied directly to the performance of a job function.
Skill statements refer to the proficient manual, verbal or mental manipulation of data or things. Skills can be readily measured by a performance test where quantity and quality of performance are tested, usually within an established time limit. Ability statements refer to the power to perform an observable activity at the present time. This means that abilities have been evidenced through activities or behaviors that are similar to those required on the job. The creation of these statements will take considerable thought and insight. However, the rewards of conducting this due diligence before taking on the task of hiring a new employee, makes the process very simple and less stressful. Everything is clearly defined and above all, measurable in the future.
RECRUITMENT AND SELECTION:
Once the Job analysis, Task statements, KSA statements and the job description are completed, the next step is to search for candidates. I believe the best place to begin the job search is from within the organization. My reason for this is that the employees are already indoctrinated into the organization culture. Internal job postings are a great start to the process of recruiting new employees. They have a great familiarity with the company and may be able to attract potential job candidates. The benefits of internal recruiting can be the cost which tends to be less costly because you are not using an outside service or source. Internal recruiting can promote growth from within the organization. Many large companies encourage internal promotion as a source of friendly corporate culture.
External sources can also be beneficial if the company is looking for a fresh start or someone with some new ideas. External recruiting can help to diversify an organization while bringing in needed competencies. Hiring externally can be done through various ways such as Internet job boards, and staffing agencies. External hiring might be more costly but may provide more outstanding candidates. Whichever the organization decide internal or external, the position needed to be filled will determine the order of the search. Once you have started recruiting it is time to view your potential qualified candidates.
The key in the selection process is to choose a strategy for screening your candidates so that you are able to view the people that or most qualified for the position. Organizations also make use of many outside agencies when completing the selection process. Drug screening and reference checks are often done by a third party. Many companies are beginning to incorporate assessment tests and activities into the selection process to insure additional training is not necessary for potential candidates. These screenings can be very important in weeding out the wrong candidates and keeping potential good fits for the position in place for the interview/hiring process.
PERFORMANCE EVALUATIONS:
Performance evaluations need to be in place to support decisions made by management and the HR department. When annual reviews come up it is imperative to be able to look back at documentation created throughout the year in order to document areas that need improvement as well as back up reasons for raises and demotions. These evaluations can also be used to teach as they may show areas that need improvement as well as provide backup for recognition of a job well done. The performance evaluations need to be structured and performed in a timely manner as well and managers need to be trained appropriately has to how to conduct these evaluations.
Companies might also want to consider individual and peer evaluations as well as another source of employee evaluations just to see how the employee rates themselves compared to their managers as well as to what their peers have to say as well using these evaluations can give the HR department a better comparison on how each employee is doing by allowing others in the department to evaluate each other and to compare them to the managers evaluation of each employee. Although there can be some disadvantages to individual and peer evaluations is that the employee might over state him/herself and with peer evaluations you might get some bad evaluations because someone doesn’t like you. Although they are still good to have and or try in order to get a better review of the employee.
COMPENSATION:
Compensation is a tool used by management for a variety of purposes to help reach organization goals. Compensation is a systematic approach to providing monetary value to employees in exchange for work performed. Compensation may achieve several purposes assisting in recruitment, job performance, and job satisfaction. Compensation may be adjusted according the business needs, goals, and available resources. Compensation strategies have to be designed to meet the objectives of the company. Many people associate compensation with money but when looking for a job, many compensation packages are designed with a package of products in mind Its not always about the money aspect which a lot of employees tend to think they are which needs to be explained in great detail when hiring new employees.
Salary is just one key to total compensation. Benefits and some intangible items help to complete these packages and make many jobs more enticing. Benefits packages that include:
• a good health plan might attract some employee while stock options entice others.
• Non-monetary compensation strategies such as company recognition for performance, fair treatment and safe and healthy work environments and dress codes might attract or retain employees.
• Organizations must provide the right balance to attract and retain employees. The balance must also encourage great performance and productivity.
These steps need to be maintained in order to keep turnover down and employee moral up. I know of a lot of companies do things for their employees to show their appreciation which could be another great incentive. For example Christmas bonuses if employers can afford them, employee appreciation lunches/dinners, employee of the month etc.
I don’t think that I would change anything about my paper because I did do extensive research on a HR Receptionist position to determining the skills, qualifications and experience needed for this type of positions. I think that maybe after seeing Cathy at work I would have hired someone more experienced than she apparently was who has worked in an office environment and possess the skills needed to perform the task at hand more efficiently. Other than that I think I did a pretty decent job at performing the job analysis as well as the recruitment and selection process considering that this is something that I have never done before it was a great learning experience in case I ever have to be put in a position of this magnitude.
Being in HR is not an easy job from what I have experienced in this class and it definitely takes a person with skill to be effective in this position and to do it right there is so much information a person in human resources needs to know. I honestly didn’t realize how much actually went into this type of role in a company I always assumed human resources had the easiest job ever and I guess I was definitely wrong on that part and this class has shown me how wrong I was. This class was a great learning experience as far as the field of human resource management and as far as my paper is concerned I wouldn’t change much of anything except for what I had stated above about Cathy.
RESOURCES:
Achieved on June 11, 2012 “Managers’ benefits: compensation or perks?”
http://www.bworldonline.com/content.php?section=Economy&title=Managers’-benefits:-compensation-or-perks?&id=53577
Achieved on June 12, 2012 “Without Salary Increases, Will I Lose Top Employees?”
http://resources.hrbrainbank.com/without-salary-increases-will-i-lose-top-employees.html
Achieved on June 12, 2012 “Paying for Performance” http://www.inc.com/magazine/20041101/benefits.html
Achieved on June 12, 2012 “The Power of Base Pay” http://www.inc.com/articles/1999/10/19037.html
Achieved on May 28, 2012 “Management: Performance Management” http://www.nd.gov/hrms/managers/guide/perfeval.htmlperson-105678.html
Achieved on May 28, 2012 “External vs. Internal Recruiting” http://www.ere.net/2007/06/13/external-vs-internal-recruiting-who-does-it-better/
Achieved on May 30, 2012 “Personal Selection” http://www.hr-guide.com/data/G311.htm
Achieved on May 16, 2012 “Job Analysis and Hiring the Right Person” http://www.articlesbase.com/management-articles/job-analysis-and-hiring-the-right-person-105678.html
Achieved on May 17, 2012 “Zeroing In on What Your Job’s About”
http://www.mindtools.com/pages/article/newTCS_02.htm
Achieved on May 17, 2012 http://www.doi.gov/hrm/pmanager/st12d.html
HRM590: Compensation Decisions
Your job now is to pull together all the information you’ve completed so far in class and make salary decisions for your team. You have completed Cathy’s evaluation and received assignment feedback. This is the first year that you’ve made salary decisions for this team. Be sure to carefully review the information provided. You may simply type in the cells as the text will automatically wrap. You are required to:
1. Enter Cathy’s appraisal rating (she is last on the list);
2. Within your budget dollars, make your salary decisions based on performance for your team taking into consideration their Salary Grade and the Pay Ranges identified for the Salary Grades (fill in the Salary Decision Column);
3. Within your budget dollars award bonus money (fill in the Bonus Dollars Column);
4. In the green line areas, provide your substantiation and risk analysis for the salary decisions made; and
5. Identify any items from this scenario in whole you may want to address.
Evaluation ratings are 1 = Needs Improvement to 5 = Exceeds Expectations
Salary Budget: $9,000
Bonus Budget: $5,000
Company Designated Salary Pay Ranges
A2 = $12,750 – 17,000
A3 = 16,500 – 22,000
A4 = 21,000 – 28,000
Employee Information Salary Grade Current Salary % at Pay Scale* Appraisal Rating Salary Decision Bonus Dollars
John is a white male, 58YO, with 31 years’ service. John is a good worker and you like him. You don’t want to lose his skills and experience as he’s been talking about retiring, but you realize his skills are too valuable to lose. A4 $27,900 99.6% 5 $2232 $1000
Substantiation and Risk Analysis: He is experience person and will utilize skills to uplift the position in organizations. Less risk to provide good compensation
Alice is a Hispanic female, 42YO with 17 years’ service. Alice is a good worker. She has a lot of potential, which netted her the higher rating. She needs some more skills and experience at this level though. A4 $22,500 80.4% 3 $675 $300
Substantiation and Risk Analysis: She hasn’t been with the company long enough to earn a higher rating, but his work is outstanding, high skill set and is looking to stay with our company for a career.
Calvin, 28YO black male with 9 months service. Calvin is a real go getter. He hasn’t been with the company long enough to earn a higher rating, but his work is outstanding, high skill set and is looking to stay with our company for a career. A4 $26,500 94.6% 4 $1833 $800
Substantiation and Risk Analysis: He can work properly but less experienced in organization and risk that he may be switch in other company when he will get good opportunity for his career.
Jane is a 32YO white female with 12 years’ service. Jane joined the company as an A3. Her work is satisfactory, nothing to brag about, but she’s been with the company awhile and can be dependable. A3 $19,100 86.8% 3 $764 $300
Substantiation and Risk Analysis: She is experience and motivated employees and may be dependable on company. No risk involved when she will get good salary.
Beth is a 64YO Asian female with 41 years’ service. Beth stated she would probably retire this year, but has yet to turn in her paperwork. She’s had a history of higher ratings, but her ratings have slipped over the last 6 years. A3 $19,700 89.5% 3 $788 $400
Substantiation and Risk Analysis: Beth stated she would probably retire this year, but has yet to turn in her paperwork. She’s had a history of higher ratings, but her ratings have slipped over the last 6 years.
Ben is a 47YO white male with 27 years’ service. He’s a good worker, been with your group for a couple years. Hasn’t yet expanded his skills, which you thought he’d do even though hired for a specific job. What he does, he does outstandingly. A3 21,000 95.5% 4 $840 $700
Substantiation and Risk Analysis: He has good skills that can be enhanced but risk may be the over confidence in working environments.
Alex is a 30YO white male with 9 years’ service. He’s quite a guy, performs well at his job. Started as an occupational worker and has worked his way into management. A2 $15,800 92.9% 5 $948 $700
Substantiation and Risk Analysis: He is working more than expectation and chance to achieve the given assignment success. He also has management skills that will also be utilized as per the organization requirements.
Ken is a 20YO Hispanic male with 1 year service. Ken is young and fresh. You think he should have been hired at a higher level because his skills are so good. You don’t want to lose him because he adds value to the business. You’ll probably jump him to an A4 position soon. A2 $17,000 100% 4 $680 $700
Substantiation and Risk Analysis: His skills can be utilized for longer period and he is energetic young employees. He has skills to work in management and may be proof valuable.
Cathy is your 19YO (ethnicity unknown) female HR Receptionist. She has been with the company for 1 year. You recently completed her performance evaluation. A2 $12,000 70.6% 2 $240
$300
Substantiation and Risk Analysis: She has only one year experience and risk is involved to move somewhere else when she will get new opportunity.
*This shows the pay scale range for each employee by percentage. Formula is current salary ÷ top salary range. This percentage range should be between 75% – 100%.
Overall Comments:
Over all of the Salary Decisions and Bonus Dollars are based on each of the employees quality of work not necessarily based on seniority because you can have some seasoned employees but there quality of work is lacking as you can see with a prime example of Calvin who has only been with the company for 9 months and he’s pretty much up in the same bracket with John as far as salary decision and bonuses. You may not have quality work from a lot of your employees but may be very dependable, experienced and do an overall good job but some of them have satisfactory job performance and they have the opportunity to improve with the proper training.
The ones who do an overall good/outstanding job are looking to possibly have some increases in the near future like Ken and possibly been once he gets the skills down needed for his position.
Cathy she still needs a lot of work that’s why she is rated with the lowest based salary and bonus, I believe that once she can show that she has the skills perfected for her position we will reevaluate her again and maybe jump her to an A3.