Sub: Principles of Management

CHAPTER 9
STAFFING AND HUMAN
RESOURCE MANAGEMENT

Lecturer: Mr. Ali Mohamed Alim (Ali Yare)

@2021, Mr. Ali Mohamed Alim (Ali Yare)

Learning Objectives:
Chapter Check-In
❑ Understanding the constraints on
human resource management practices
❑ Determining an organization’s staffing
needs
❑ Finding, hiring, and training
employees
❑ Evaluating and compensating
employee performance
@2021, Mr. Ali Mohamed Alim (Ali Yare)
 Introduction
After an organization’s structural design is in place, it needs
people with the right skills, knowledge, and abilities to fill
in that structure. People are an organization’s most
important resource, because people either create or
undermine an organization’s reputation for quality in both
products and service.
In addition, an organization must respond to change
effectively in order to remain competitive. The right staff
can carry an organization through a period of change and
ensure its future success. Because of the importance of
hiring and maintaining a committed and competent staff,
effective human resource management is crucial to the
success of all organizations.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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Attracting, developing, rewarding, and
retraining the people needed to reach
organizational goals are the activities
that make up the staffing
function. This chapter discusses each
of these activities, as well as the laws
that impact all areas of staffing.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
Staffing as a Management Function
Human resource management (HRM), or staffing,
is the management function devoted to acquiring,
training, appraising, and compensating employees.
In effect, all managers are human resource
managers, although human resource specialists
may perform some of these activities in large
organizations .
Understanding the fundamentals of HRM can help
any manager lead more effectively. Every manager
should understand the following three principles:
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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All managers are human resource managers.
Employees are much more important assets
than buildings or equipment; good
employees give a company the competitive
edge.
Human resource management is a matching
process; it must match the needs of the
organization with the needs of the employee.

@2021, Mr. Ali Mohamed Alim (Ali Yare)

Laws and Regulations Affecting HRM
Laws and regulations at the federal, state, and
local levels regulate how companies conduct
staffing. Title VII of the 1964 Civil Rights Act
banned most discriminatory hiring practices.
Three sensitive areas of legal concern that
managers must comply with are equal
opportunity, affirmative action, and sexual
harassment, described in the following
sections. These areas, as well as other laws,
impact all human resource practices.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
 Equal Employment Opportunity (EEO)
Individuals covered under Equal Employment Opportunity (EEO) laws
are protected from illegal discrimination, which occurs when people
who share a certain characteristic, such as race, age, or gender, are
discriminated against because of that characteristic. People who have
the designated characteristics are called the protected class. Federal
laws have identified the following characteristics for protection:
 Race, ethnic origin, color (for example, African American, Hispanic,
Native American, Asian)
 Gender (women, including those who are pregnant)
 Age (individuals over 40) Individuals with disabilities (physical and
mental).
The main purpose of the EEO laws is to ensure that everyone
has an equal opportunity of getting a job or being promoted
at work. @2021, Mr. Ali Mohamed Alim (Ali Yare)
 Affirmative action
While EEO laws aim to ensure equal treatment at work,
affirmative action requires the employer to make an extra
effort to hire and promote people who belong to a
protected group. Affirmative action includes taking
specific actions designed to eliminate the present effects
of past discriminations. Employees are also protected by
the Equal Employment Opportunity Commission
(EEOC), which was established through the 1964 Civil
Rights Act, Title VII. The scope of authority of the EEOC
has been expanded so that today it carries the major
enforcement authority for the following laws
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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 Civil Rights Act of 1964. Prohibits discrimination on the
basis of race, color, religion, national origin, or sex.
 Civil Rights Act of 1991. Reaffirms and tightens
prohibition of discrimination. Permits individuals to sue
for punitive damages in cases of intentional discrimination
and shifts the burden of proof to the employer.
Equal Pay Act of 1963. Prohibits pay differences based on
sex for equal work.
Pregnancy Discrimination Act of 1978. Prohibits
discrimination or dismissal of women because of pregnancy
alone, and protects job security during maternity leaves.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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Americans with Disabilities Act. Prohibits
discrimination against individuals with physical or
mental disabilities or the chronically ill, and
requires that “reasonable accommodations” be
provided for the disabled.
 Vocational (professional) Rehabilitation Act.
Prohibits discrimination on the basis of physical
or mental disabilities and requires that employees
be informed about affirmative action plans
@2021, Mr. Ali Mohamed Alim (Ali Yare)
 Sexual Harassment
Sexual harassment is defined as
“unwelcome sexual advances for sexual
favors, and other verbal or physical conduct
of a sexual nature.” Sexual harassment may
include sexually suggestive remarks,
unwanted touching, sexual advances,
requests for sexual favors, and other verbal
and physical conduct of a sexual nature
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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Employers can take the following steps to help
minimize liability for sexual harassment suits:
Offer a sexual harassment policy statement. This
statement should address where employees can report
complaints, assure confidentiality, and promise that
disciplinary action will be taken against sexual
harassers.
Provide communication and training programs for
supervisors and managers. These programs should
emphasize that sexual harassment will not be
tolerated.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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Conduct fair, impartial
investigations and base actions
on objectively gathered facts.
The complainant must be
insulated (protect) from the
kinds of behavior that prompted
the complaint.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
Continue…..

@2021, Mr. Ali Mohamed Alim (Ali Yare)

Determining Human Resource Needs
Staffing is an ongoing process that begins with
finding the right people through proper
planning, recruiting, and selecting. But
staffing doesn't end once employees are
hired; management must keep and nurture
(look after) its people via training,
appraising, compensating, and implementing
employment decisions that determine such
things as promotions, transfers, and layoffs
@2021, Mr. Ali Mohamed Alim (Ali Yare)
 Human Resource Planning
The first step in the staffing process involves
human resource planning. Human resource
planning begins with a job analysis in which
descriptions of all jobs (tasks) and the
qualifications needed for each position are
developed. A job description is a written
statement of what a jobholder does, how it's
done, and why it's done. It typically portrays
job content, environment, and conditions of
employment.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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The job specification states the minimum acceptable
qualifications an incumbent (current) must possess
to perform a given job successfully. It identifies the
knowledge, skills, and abilities needed to do the job
effectively
Job analysis is then followed by a human resource
inventory, which catalogs qualifications and
interests. Next, a human resource forecast is
developed to predict the organization's future needs
for jobs and people based on its strategic plans and
normal attrition.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
 Recruiting strategies
Recruitment includes all the activities an organization may use to
attract a pool of viable (possible) candidates.
Keep in mind that recruiting strategies differ among organizations.
Although one may instantly think of campus recruiting as a typical
recruiting activity, many organizations use internal recruiting, or
promote‐from‐within policies, to fill their high ‐level positions.
Open positions are posted, and current employees are given
preferences when these positions become available. Internal
recruitment is less costly than an external search. It also generates
higher employee commitment, development, and satisfaction because
it offers opportunities for career advancement to employees rather
than outsiders.

@2021, Mr. Ali Mohamed Alim (Ali Yare)

If internal sources do not produce an acceptable candidate,
many external recruiting strategies are available, including
the following:
Newspaper advertising
Employment agencies (private, public, or temporary
agencies)
Executive recruiters
Unions
Employee referrals (transfer)
Internship programs
Internet employment sites
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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But there's more to recruiting than just attracting employees; managers
need to be able to weed out (tidy) the top candidates. Once a manger
has a pool of applicants, the selection process can begin.

Employee Selection Process

The Employee selection Process takes place in following order-
Preliminary Interviews
Application blanks
Written Tests
Employment Interviews
Medical examination
Appointment Letter

@2021, Mr. Ali Mohamed Alim (Ali Yare)

Selecting the Best Person for the Job

Having the right people on staff is crucial to the

success of an organization. Various selection devices
help employers predict which applicants will be
successful if hired. These devices aim to be not only
valid, but also reliable. Validity is proof that the
relationship between the selection device and some
relevant job criterion exists.
Reliability is an indicator that the device measures the
same thing consistently.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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For example, it would be appropriate to give a
keyboarding test to a candidate applying for a job as
an administrative assistant. However, it would not
be valid to give a keyboarding test to a candidate for
a job as a physical education teacher. If a
keyboarding test is given to the same individual on
two separate occasions, the results should be similar.
To be effective predictors, a selection device must
possess an acceptable level of consistency.

@2021, Mr. Ali Mohamed Alim (Ali Yare)

 Testing
 Integrity tests measure factors such as dependability, carefulness,
responsibility, and honesty. These tests are used to learn about the
attitudes of applicants toward a variety of job‐related subjects
 Personality tests measure personality or temperament. These
tests are among the least reliable. Personality tests are problematic
and not very valid, because little or no relationship exists between
personality and performance.
 Knowledge tests are more reliable than personality tests because
they measure an applicant's comprehension or knowledge of a
subject. A math test for an accountant and a weather test for a
pilot are examples

@2021, Mr. Ali Mohamed Alim (Ali Yare)

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Performance simulation tests are increasing in
popularity. Based on job analysis data, they more easily
meet the requirement of job relatedness than written tests.
Performance simulation tests are made up of actual job
behaviors.
An assessment is a selection technique that examines
candidates' handling of simulated job situations and
evaluates a candidate's potential by observing his or her
performance in experiential activities designed to simulate
daily work.

@2021, Mr. Ali Mohamed Alim (Ali Yare)

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Work sampling is an effort to create a miniature replica (Small copy) of a
job, giving applicants the chance to demonstrate that they possess the
necessary talents by actually doing the tasks.

Interviews
Another widely used selection technique is the interview, a formal, in‐depth
conversation conducted to evaluate an applicant's acceptability. In general,
the interviewer seeks to answer three broad questions:
Can the applicant do the job?
Will the applicant do the job?
How does the applicant compare with others who are being considered for
the job?
@2021, Mr. Ali Mohamed Alim (Ali Yare)
 Other selection techniques
Reference checking and health exams are two other
important selection techniques that help in the staffing
decision.
1. Reference checking allows employers to verify
information supplied by the candidate. However,
obtaining information about potential candidates is often
difficult because of privacy laws and employer concerns
about defamation (offense) lawsuits.
2. Health exams identify health problems that increase
absenteeism and accidents, as well as detecting diseases
that may be unknown to the applicant.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
Orientation and Training Programs
Once employees are selected, they must be
prepared to do their jobs, which is when
orientation and training come in. Orientation
means providing new employees with basic
information about the employer. Training
programs are used to ensure that the new
employee has the basic knowledge required to
perform the job satisfactorily.

@2021, Mr. Ali Mohamed Alim (Ali Yare)

 Orientation
Orientation programs not only improve the rate at which
employees are able to perform their jobs but also help
employees satisfy their personal desires to feel they
are part of the organization’s social fabric. The HR
department generally orients newcomers to broad
organizational issues and fringe benefits. Supervisors
complete the orientation process by introducing new
employees to coworkers and others involved in the
job.

@2021, Mr. Ali Mohamed Alim (Ali Yare)

 Training needs
Simply hiring and placing employees in jobs does not
ensure their success. In fact, even tenured employees
may need training, because of changes in the business
environment. Here are some changes that may signal
that current employees need training:
Introduction of new equipment or processes
 A change in the employee’s job responsibilities
A drop in an employee’s productivity or in the quality
of output

@2021, Mr. Ali Mohamed Alim (Ali Yare)

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 An increase in safety violations or accidents
 An increased number of questions
 Complaints by customers or coworkers
Once managers decide that their employees need
training, these managers need to develop clear
training goals that outline anticipated results.
These managers must also be able to clearly
communicate these goals to employees.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
 Types of Training
After specific training goals have been established, training
sessions should be scheduled to provide the employee an
opportunity to meet his or her goals. The following are
typical training programs provided by employers:
Basic literacy training. Ninety million American adults
have limited literacy skills, and about 40 million can read
little or not at all.
 Technical training. New technology and structural
designs have increased the need to upgrade and improve
employees’ technical skills in both white-collar and blue-
collar jobs.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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 Interpersonal skills training. Most employees belong to a
work team, and their work performance depends on their
abilities to effectively interact with their coworkers.
Interpersonal skills training helps employees build
communication skills.
Problem-solving training. Today’s employees often work
as members of self-managed teams who are responsible for
solving their own problems.
Diversity training. As one of the fastest growing areas of
training, diversity training increases awareness and builds
cultural sensitivity skills.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
 Training methods
Most training takes place on the job due to the simplicity and
lower cost of on-the-job training methods. Two popular
types of on-the-job training include the following:
 Job rotation. By assigning people to different jobs or tasks
to different people on a temporary basis, employers can add
variety and expose people to the dependence that one job
has on others.
 Mentoring programs (assistant). A new employee
frequently learns his or her job under the guidance of a
seasoned veteran (expert). In the trades, this type of training
is usually called an apprenticeship
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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Sometimes, training goals cannot be met through on-
the-job training; the employer needs to look to other
resources. Off-the-job training can rely on outside
consultants, local college faculty,
. The more popular off-the-job training methods are
classroom lectures, videos, and simulation exercises.
Thanks to new technologies, employers can now
facilitate some training, such as tutorials (discussion
group), on the employees’ own computers, reducing
the overall costs.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
Evaluating Employee Performance
Employee performance should be evaluated regularly.
Employees want feedback—they want to know what their
supervisors think about their work. Regular performance
evaluations not only provide feedback to employees, but
also provide employees with an opportunity to correct
deficiencies. Evaluations or reviews also help in making key
personnel decisions, such as the following:
 Justifying promotions, transfers, and terminations
 Identifying training needs
 Providing feedback to employees on their performance
 Determining necessary pay adjustments
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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Most organizations utilize employee evaluation
systems; one such system is known as a performance
appraisal. A performance appraisal is a formal,
structured system designed to measure the actual job
performance of an employee against designated
performance standards. Although performance
appraisals systems vary by organizations, all
employee evaluations should have the following three
components:

@2021, Mr. Ali Mohamed Alim (Ali Yare)

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Specific, job-related criteria against which performance can
be compared
A rating scale that lets employees know how well they’re
meeting the criteria
Objective methods, forms, and procedures to determine the
rating
Traditionally, an employee’s immediate boss conducts his or
her performance appraisal. However, some organizations
use other devices, such as peer evaluations (examine), self-
appraisals, and even customer evaluations, for conducting
this important task.
@2021, Mr. Ali Mohamed Alim (Ali Yare)
Compensating Employees
Employee compensation refers to all work-related payments,
including wages, commissions, insurance, and time off. Wages
and salaries are the most obvious forms of compensation and
are based on job evaluations that determine the relative values
of jobs to the organization. Under the hourly wage system,
employees are paid a fixed amount for each hour they work.
The system is generally used for lower skilled occupations.
Salaried employees receive a fixed sum per week or month, no
matter how many hours they work. Most professional
positions are salaried; the reality is that these jobholders
typically work in excess of a “minimum” 40-hour workweek.

@2021, Mr. Ali Mohamed Alim (Ali Yare)

Benefits
Employee benefits are supplements to wages or pay. Some
benefits, such as unemployment and worker’s compensation,
are legally mandated. Other benefits are optional and help
build employee loyalty to an organization, including the
following:
 Health insurance
 Pension plans
 Employee discounts
 Vacation, sick, and personal days
 Bonuses (incentive money paid to employees in addition to
their regular compensation)
@2021, Mr. Ali Mohamed Alim (Ali Yare)
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Profit-sharing (money from a portion of the
company profits used to supplement regular
compensation)
 Stock options (a plan that permits employees
to buy shares of stock in the employee’s firm at
or below the present market value)

@2021, Mr. Ali Mohamed Alim (Ali Yare)

THE END

@2021, Mr. Ali Mohamed Alim (Ali Yare)

Questions and Comments

@2021, Mr. Ali Mohamed Alim (Ali Yare)