CH-1 The Strategic Role of Human Resources Management – Human Resources Management in Canada : Chapter Notes

This document contains Chapters 1 to 3 PART ONE: HUMAN RESOURCES MANAGEMENT IN PERSPECTIVE CHAPTER 1 THE STRATEGIC ROLE OF HUMAN RESOURCES MANAGEMENT LEARNING OUTCOMES • Define human resources management and analyze the strategic significance of human resources management. • Describe the two categories of activities required of HR managers and discuss examples of each. • Discuss the internal and external environmental factors affecting human resources management policies and practices and explain their impact. • Describe the three stages in the evolution of HRM. • Explain how HRM has taken on the four characteristics of a profession. CHAPTER SUMMARY This chapter focuses on the strategic role of Human Resources in today’s business context. What are the major responsibilities of an HR department? How can HR add value so that it contributes directly to the bottom line of an organization? What does being a strategic business partner mean? How can organizations measure this value? The chapter describes how a number of internal and external influences have significantly impacted HR Management policies, procedures and practices. It discusses the importance that organizations place on managing its most valuable asset – its people – and how effective human resources policies and practices enable organizations to sustain their competitive advantage. It discusses the evolution of the field of HR management and the growing professionalism of the HR discipline. Current standards relating to the certification of HR professionals and the role that HR plays in ethics and social responsibility are discussed. LECTURE OUTLINE • This chapter introduces the field of human resources management and, in particular, the increasingly strategic role of human resources management. • Human Resources Management (HRM) refers to the management of people in organizations. The goal of HRM is to ensure that the organization finds and hires the best individuals available; develops and nurtures their talent; creates a sustaining, productive work environment; and continually builds and monitors these human assets. • It involves formulating and implementing HRM systems that are aligned with the organization’s strategy in order to produce a workforce with the competencies and behaviours that are required to achieve the organization’s strategic objectives. • HR professionals need to be able to measure the value and impact of their organization’s human capital and HRM practices. • Balanced Scorecard is a measurement system that translates an organization's strategy into a comprehensive set of performance measures. It includes long-term and short-term actions, and balances measures of success in relation to financial results, customers, internal business processes, and human capital management. • Human Capital Index outlines 30 key HR practices and indicates their contributions to shareholder value. The 30 practices were summarized into five categories as per Table 1.1: o recruiting excellence o clear rewards and accountability o collegial and flexible workplaces o communications integrity o prudent use of resources HRM responsibilities fall into two categories: Operational & Strategic. • Operational (administrative): HR professionals hire and maintain employees, manage employee separations. o Administrative expert and employee champion Maintenance of HR records; ensuring fair treatment; appraising performance; ensuring employee health and safety; managing labour relations and relationships with unions; handling complaints and grievances; and ensuring compliance with legislation affecting the workplace. o Manage human capital life cycle Selection and assimilation into the organization, development of capabilities while working in the organization, and transition out of the organization. o Consulting and offering advice Members of the HR department are expected to be completely familiar with employment legislation, HR policies and procedures, collective agreements, past practices, and the outcome of recent arbitration hearings and court decisions, in order to provide sound guidance and suggested solutions. o Formulating policies and procedures HR policies and procedures must be compatible with current economic conditions, collective bargaining trends, and applicable employment legislation, and consistent with overall organizational objectives. A policy is a statement defining the organization’s position on a given issue that is established to provide direction in decision-making. Procedures specify a prescribed sequence of steps to be followed when implementing a policy. HR policies should be in writing to maximize effectiveness. o Providing services Analyzing jobs, planning future workforce requirements, selecting employees, orienting and training employees, managing compensation and reward plans, and communicating with employees (including counselling and disciplining). • Outsourcing In recent years, most operational activities have been outsourced, where outside vendors are used to handle specified functions on a permanent basis. • Strategic: HR professionals ensure that the organization is staffed with the most effective human capital to achieve its strategic goals. o Strategic partner and change agent Assist the organization to achieve its strategic objectives. HR professionals also lead the organization and its employees through organizational change. o Strategy formulation HR is viewed as an equal partner in the strategic planning process. HR professionals, together with line managers, play a role in environmental scanning, which involves identifying and analyzing external opportunities and threats that may be crucial to the organization’s success. o Strategy execution This is typically where HR makes the biggest strategic contribution. For example, HR professionals are heavily involved in the execution of downsizing and restructuring strategies through establishing training and retraining programs, arranging for outplacement services, instituting pay-for-performance plans, and helping to redesign jobs. • Employee engagement is the emotional and intellectual involvement of employees in their work. • Organizational Culture consists of the core values, beliefs, and assumptions that are widely shared by members of an organization. The culture is often conveyed through an organization's mission statement, as well as through stories, myths, symbols, and ceremonies. It serves a variety of purposes: o communicates "what the organization believes in" and "stands for” o provides employees with a sense of direction and expected behaviour (norms) o shapes employees' attitudes about themselves, the organization, and their roles o creates a sense of identity, orderliness, and consistency o fosters employee loyalty and commitment • All managers with HR responsibilities play an important role in creating and maintaining the type of organizational culture desired. It is HR responsibility to help maintain a positive culture so that it can meet its objectives. HR does this by developing policies, procedures and practices that are in alignment with the culture. • Organizational Climate refers to the prevailing atmosphere that exists in an organization and its impact on employees. The major factors influencing the climate are management's leadership style, HR policies and practices, and amount and style of communication. The type of climate that exists is generally reflected in the level of employee motivation, job satisfaction, performance, and productivity, and thus has a direct impact on organizational profits and/or ongoing viability. • Management Practices Traditional bureaucratic structures with many levels of management is being replaced by flatter organizational forms using cross-functional teams and improved communication. Managers provide more empowerment to their employees, since they have more people reporting to them in a flat organizational structure. Boundaryless organizations are also emerging. • Economic Conditions They affect supply and demand for products and services, which in turn affect the number and types of employees required, as well as an employer’s ability to pay wages and provide benefits. o Unemployment levels When unemployment rates fall, there is more competition for qualified employees, and training and retention strategies increase in importance. Conversely, during a downturn, some firms reduce pay and benefits in order to retain workers whereas other downsize staff, by offering attractive early retirement and early leave programs or by laying off and terminating employees. o Productivity levels Refers to the ratio of an organization’s outputs (goods and services) to its inputs (people, capital, energy, and materials). Productivity improvement is essential for long-term success. To improve productivity, managers must find ways to produce more outputs with current input levels or to use fewer resources to produce current output levels. o Growth of the service sector The primary sector, which includes agriculture, fishing and trapping, forestry, and mining, now represents only four percent of jobs, and the secondary sector, which includes manufacturing and construction, has decreased to 20 percent of jobs. The tertiary or service sector, which includes public administration, personal and business services, finance, trade, public utilities, and transportation/communications, now represents 76 percent of jobs. • Labour Market Issues Two important labour market issues are labour unions and the increasing numbers of contingent employees doing non-standard work. o Labour union movement A labour union is an officially recognized association of employees who have joined together to present a united front and collective voice in dealing with management, with the aim of securing and furthering the social and economic interests and well-being of their membership. Labour unions tend to decrease management flexibility and discretion in implementing and administering HR policies and practices. They also influence HR policies and practices in non-unionized organizations. o Use of contingent employees Contingent workers do not have regular full-time or regular part-time employment status. Non-standard jobs include contract work, self-employment without employees, temporary work and part-year work, or work with multiple jobs and a series of employers. This type of work now accounts for about 41 percent of women’s paid jobs and 29 percent of men’s jobs. Non-standard work is often poorly paid, offers little or no job security, and is generally not covered by employment legislation. Demographic trends include: o Population growth The single most important factor governing the size and composition of the labour force is population growth. Since the population growth has slowed to less than one percent per year, the average age of the workforce is increasing. Canada admits more immigrants per capita than any other country, which has created a very diverse labour force. o Age According to Statistics Canada, the proportion of senior citizens will increase rapidly over the next few decades, from 13 percent in 2005 to 25 percent in 2031. The baby boomers born between 1946 and 1965 are just beginning to retire. The ratio of children and seniors to the working population is also expected to increase rapidly, from 44 in 2005 to 61 in 2031. HR specialists must remember that many HR policies, benefits plans, and reward systems that attract and motivate employees in one age group may not appeal to those in another due to differing values and priorities. For example, Generation X individuals are more motivated by flexible work arrangements and a balance between work and personal life. Generation Y individuals born since 1980 are just beginning to enter the workforce. o Education The level of education of the Canadian labour force is increasing at a significant rate. Given the higher expectations of the better-educated labour force, managers are expected to try to ensure that the talents and capabilities of employees are fully utilized and that opportunities are provided for career growth. In today's economic climate, this is not always possible. Improving the quality of work life is therefore more important than ever. o Visible and Ethnic Minorities The proportion of visible and ethnic minorities entering the Canadian labour market is expected to continue growing at a faster pace than the rest of the population. About two-thirds of visible minorities are immigrants, and approximately 20 percent of the Canadian population could be visible minorities by 2017. o Women Between 1946 and 2003, the employment rate for women has steadily increased, while that for men has gradually decreasedMany organizations are accommodating working women and shared parenting responsibilities by offering onsite daycare, emergency childcare support, and flexible work arrangements. o Aboriginal Peoples The Aboriginal population is young and growing at a rate almost twice that of the Canadian population. These young Aboriginal people represent an untapped source of employees who are still facing considerable difficulty in obtaining jobs and advancing in the workplace. o Persons with Disabilities Despite the fact that human rights legislation in every Canadian jurisdiction prohibits discrimination against individuals with disabilities, Canadians with disabilities continue to confront physical barriers to equality. Their unemployment rate is 50 percent higher than that for the able-bodied population, and their average income is 17 percent lower. • Technology o Manufacturing advances have eliminated many blue-collar jobs, replacing them with fewer but more highly skilled jobs. Similar changes have been occurring in the nature of office work. The overall impact is that labour-intensive blue-collar and clerical jobs have been decreasing, while technical, managerial, and professional jobs are on the increase. o While much of the impact of information technology has been positive, it has also led to some organizational problems. For many employees, it has created anxiety, tension, resentment, and alienation. Unions have consistently expressed concerns about job displacement and health hazards, such as those related to visual display terminals. o Use of technology at the workplace also creates ethical and privacy-related issues, which need to be addressed through effective HRM practices. • All of these issues must be addressed through effective HRM practices such as information sharing, counselling, ergonomic refitting, job redesign, and training. Government Employment law in Canada is challenging due to the fact that there are 14 different jurisdictions involved. While there is some commonality across jurisdictions, there is also considerable variation. In addition, about 10 percent of the workforce (including employees of the federal government and Crown corporations, chartered banks, airlines, national railways, and the Canadian armed forces) is covered by federal employment legislation. • Some of the employment-related legislation is aimed at prohibiting discrimination in various aspects and terms and conditions of employment, such as human rights, employment equity, and pay equity. Other laws require employers to meet certain obligations, such as occupational health and safety, employment standards, and labour relations. Still others make various payments mandatory, such as Workers' Compensation, Employment Insurance, and the Canada/Quebec Pension Plans. • Globalization refers to the tendency of firms to extend their sales or manufacturing to new markets abroad. For businesses everywhere, the rate of globalization in the past few years has been nothing short of phenomenal. There are an increasing number of multinational corporations, firms that conduct a large part of business outside the country in which they are headquartered and locate a significant percentage of their physical facilities and human resources in other countries. Many organizations are locating new plants in areas where wages and other operating costs are lower. • Globalization means that HR professionals may need to become familiar with employment legislation in other countries and manage ethical dilemmas where labour standards are substantially lower than in Canada. • History of HRM – Scientific Management: Concern for Production. Frederick Taylor was the driving force behind scientific management, the process of "scientifically" analyzing manufacturing processes, reducing production costs, and compensating employees based on their performance. The scientific management movement had a significant impact on management and the employee-management relationship in the late 1800s and early 1900s. Taylor emphasized systematic job design, task simplification, performance-based pay, selection of workers with the skills required to become superior performers, and fit between person and job. Scientific management, which helped to shape the view that money was the primary motivator for workers, was widely accepted. • The Human Relations Movement: Concern for People. The primary aim of the human relations movement, which emerged in the 1920s and 1930s, but was not fully embraced until the 1940s, was to consider jobs from an employee’s perspective. Advocates of this model believed that worker attitudes and feelings were important and deserved more attention. They criticized managers who treated workers as machines. This management philosophy was based on the results of the Hawthorne Studies, a series of experiments that examined factors influencing worker morale and productivity. • The Human Resources Movement: Concern for People and Productivity. HRM is currently based on the theoretical assumptions of the human resources movement, which included the belief that employees want to contribute to meaningful goals that they have helped to establish, and can exercise self-direction and self-control to reach the organization's objectives. • Professionalism of HRM Today, senior HR practitioners must be professionals, in terms of both performance and qualifications. Every profession has four major characteristics: o a common body of knowledge o certification of members (CHRP) o self-regulation o code of ethics, social responsibility • Professional Associations and Certification Nearly every province has an association of HR practitioners that manages these 4 areas, ensures information exchange, and provides HR training and skills updating and services as a voice for HR practitioners regarding proposed legislation. The Canadian Council of Human Resources Associations (CCHRA) is the national body through which ten provincial and specialist HR Associations are affiliated. The International Personnel Management Association – Canada (IPMA) is the national association for public sector and quasi public sector HR professionals. There are also a number of other important associations for HR professionals specializing in specific areas. The Certified Human Resources Professional (CHRP) designation is a national recognized certification for Canadian HR professionals. See the requirements for certification in Figure 1.4. • Ethics The professionalism of HRM has necessitated the need to develop a uniform code of ethics that all HR professionals must adhere to. See Figure 1.5 for The Code of Ethics. • HR professionals are not only concerned with monitoring their own ethics. More and more Canadian firms are stressing ethical conduct in all aspects of business, and many have established a code of ethics to govern corporate relations with employees, clients/customers, and the public. Increasingly, HR departments are being given a greater role in communicating the organization's values and standards, providing ethics training, and monitoring to ensure compliance with the code of ethics. • The most prevalent ethical issues confronting Canadian firms today pertain to security of information, employee and client privacy, environment issues, governance, and conflicts of interest. • In recent years, the concept of social responsibility has frequently been discussed as a complement to ethics. A company that exercises social responsibility attempts to balance its commitments – not only to its investors, but also to its employees and customers, other businesses, and the community or communities in which it operates. • Instructors may consider discussing the role of HR today. Excellent articles can be found in such publications as Canadian HR Reporter. Consider asking the students if any of them have had any interactions with HR departments and what their experience has been. • First half of the class – lecture and then engage the students by working on a case – Jack Nelson’s Problem or introduce the LearnInMotion.com case on page 21. • Latter half of the class – complete lecture and consider discussing some of the critical thinking questions found on page 21. DISCUSSION BOX SUMMARIES STRATEGIC HR: The Most Valuable Car Part? Human Capital (page 2) The stamping team at the Honda Canada Manufacturing plant in Alliston, Ontario, repaired a crack in a die used to stamp out steel body panels of cars. Though it seemed a minor issue, the die would have had to be shipped to Japan for analysis, and the plant would have had to be closed down for 2 or more weeks if not for the stamping team that put their heads together to come up with a solution. This highlights the value and importance of human capital within an organization. ======================================================================================== WORKFORCE DIVERSITY: BMO Financial Group Values Diversity (page 13) Creating and maintaining a diverse and equitable workplace – Bank of Montreal “walks the talk.” It opened up the search for people from diverse backgrounds and injected them into the existing workforce to create a more diverse workplace. The Bank has built into its core values a solid appreciation for diversity and has linked these activities to business objectives. ======================================================================================== ETHICAL DILEMMAS The maintenance department supervisor has just come to you, the HR manager, voicing concern about the safety of two of her reporting employees whom she recently discovered are functionally illiterate. What are your responsibilities to these employees, if any? (page 11) Unless the two employees revealed this information to the maintenance department supervisor personally, caution must be exercised to ensure that there is no violation of their privacy rights, and that the dignity and respect of these individuals are not undermined. The firm has a legal obligation to take every possible precaution to protect the health and safety of its employees. This means that the supervisor must keep in mind, at all times, the fact that these employees may not be able to read hazard warnings, operating instructions, etc., and must be prepared to provide verbal instructions, when necessary. Firing these employees or moving them to a lower-risk job is not an option. If we do this, our actions will likely result in a union grievance, a constructive dismissal suit, or unjust discharge suit. If the functional illiteracy of one or both of these individuals is associated with a learning disability, human rights protection may also come into play. Firms have a legal obligation to accommodate individuals with a disability (physical or mental) to the point of undue hardship. While not required to do so, the firm’s code of ethics may suggest that this matter be addressed in a more comprehensive way and thus choose to offer an on-site literacy program, as Syncrude Canada Ltd. has done. Although such programs are aimed at refreshing and improving basic reading, writing, math, and problem-solving skills, they also improve listening, oral communication, teamwork, leadership, and computer skills, among other things. How much responsibility does a firm have towards employees whose skills will soon become obsolete due to changing technology? (page 13) The responsibility rests with both the organization and the employee. From an organizational perspective, providing training and development opportunities to meet a changing environment is critical. Assuming the organization is aware that the technology will replace skills of employees, notifying these employees in advance and discussing with these employees the impact this change will have on their skills and possibly how they will carry out their existing job would be an important first step. The organization can then establish a training and development plan so these employees can be prepared, and review and discuss any changes to the job description. From an employee perspective, employees are responsible for managing their own careers and, in today’s fast changing environment, being aware of the technological challenges associated with their industries. Employees will need to consider their existing skills and experience and how best to translate these skills utilizing the new technology. As employees, it’s important that they utilize any opportunities provided by the organization to enhance their technology-related skills. Can or should an employee reveal information about a troubled co-worker that was disclosed in confidence, and if so, under what circumstances? (page 18) It is important to ascertain the severity of this information prior to acting. Is there an immediate danger to the safety of other employees or the person himself? If so, the employee first needs to tell the co-worker that this information must be shared. However, it is important to give that employee the choice to come forward. Assuming there is no immediate danger the employee can suggest to the troubled worker to utilize the company benefit programs – perhaps there is an EAP program – or to go to the HR dept to discuss how best to handle these issues. KEY TERMS Baby Boomers Individuals born between 1946 and 1965. (page 11) Balanced Scorecard A measurement system that translates an organization's strategy into a comprehensive set of performance measures. (page 4) Boundaryless Organization Structure A structure in which relationships (typically joint ventures) are formed with customers, suppliers, and/or competitors to pool resources for mutual benefit or encourage cooperation in an uncertain environment. (page 9) Certification Recognition for having met certain professional standards. (page 17) Contingent Employees Workers who do not have regular full-time or part-time employment status. (page 10) Demographics The characteristics of the workforce, which include age, sex, marital status, and education level. (page 11) Diversity Any attribute that humans are likely to use to tell themselves "that person is different from me,” and thus includes such factors as race, gender, age, values, and cultural norms. (page 11) Employment Engagement The emotional and intellectual involvement of employees in their work. (page 7) Empowerment Providing workers with the skills and authority to make decisions that would traditionally be made by managers. (page 9) Environmental Scanning Identifying and analyzing external opportunities and threats that may be crucial to an organization’s success. (page 7) Generation X Individuals born between 1966 and 1980. (page 11) Generation Y Individuals born since 1980. (page 11) Globalization The tendency of firms to extend their sales or manufacturing to new markets abroad. (page 14) Human Capital The knowledge, education, training, skills, and expertise of a firm's workers. (page 2) Human Relations Movement A management philosophy based on the belief that the attitudes and feelings of workers are important and deserve more attention. (page 15) Human Resources Management (HRM) The activities, policies, and practices involved in obtaining, developing, utilizing, evaluating, maintaining, and retaining the appropriate number and skill mix of employees to accomplish the organization's objectives. (page 2) Human Resources Movement A management philosophy focusing on concern for people and productivity. (page 15) Organizational Climate The prevailing atmosphere that exists in an organization and its impact on employees. (page 9) Organizational Culture The core values, beliefs, and assumptions that are widely shared by members of an organization. (page 8) Outsourcing The practice of contracting with outside vendors to handle specified functions on a permanent basis. (page 6) Primary Sector Agriculture, fishing and trapping, forestry, and mining. (page 9) Productivity The ratio of an organization's outputs (goods and services) to its inputs (people, capital, energy, and materials). (page 9) Sandwich Generation A term referring to individuals who have responsibilities for rearing young dependents as well as assisting elderly relatives who are no longer capable of functioning totally independently. (page 11) Scientific Management The process of scientifically analyzing manufacturing processes, reducing production costs, and compensating employees based on their performance levels. (page 15) Secondary Sector Manufacturing and construction. (page 9) Social Responsibility The implied, enforced, or felt obligation of managers acting in their official capacities to serve or protect the interests of groups other than themselves. (page 19) Strategy The company’s plan for how it will balance its internal strengths and weaknesses with external opportunities and threats in order to maintain a competitive advantage. (page 6) Tertiary or Service Sector Public sector administration, personal and business services, finance, trade, public utilities, and transportation/ communications. (page 9) PART ONE: HUMAN RESOURCES MANAGEMENT IN PERSPECTIVE CHAPTER 2 THE CHANGING LEGAL EMPHASIS: FROM COMPLIANCE TO VALUING DIVERSITY LEARNING OUTCOMES • Explain how employment-related issues are governed in Canada. • Discuss at least five prohibited grounds for discrimination under human rights legislation and describe the requirements for reasonable accommodation. • Describe behaviour that could constitute harassment and describe employers’ responsibilities regarding harassment. • Describe the six steps involved in implementing an employment equity program. • Discuss the seven characteristics of successful diversity management initiatives. CHAPTER SUMMARY This chapter focuses on the legal environment in Canada. It discusses legal frameworks for employment laws in Canada. It details the laws relating to employee treatment in the workplace and the impact that changing social values and expectations have had on the evolution of these laws and on Human Resources Management. Finally, the chapter discusses how proactive organizations have moved beyond legal compliance to valuing and capitalizing on workplace diversity. LECTURE OUTLINE • This chapter introduces the legal framework for human resources management and focuses on the changing legal emphasis from compliance to valuing diversity. • The laws in Canada have been written to ensure all members of society and the workforce have equality, equal opportunity and are treated equitably. • There are 14 jurisdictions – 10 provinces, three territories, and federal – for employment law. • Legal framework for employment laws in Canada: o Constitutional law – Charter of Rights and Freedoms o Legislated Acts of Parliament – Income Tax Act o Regulations (for legislated Acts) – rules to aid interpretation of laws o Common law – judicial precedent o Contract law – collective agreements/employment contracts • Ninety percent of all workers are covered under provincial/territorial laws. • Federal law governs 10 percent of the workers – crown corporations and agencies, transportation, banking, and communications. • Employment Standards Act: All employers and employees in Canada are covered by employment (labour) standards legislation. Those under federal jurisdiction are covered by The Canada Labour Code; the ten provinces and three territories each have an employment (or labour) standards act. • These laws establish minimum employee entitlements pertaining to such issues as: wages; paid holidays and vacations; leave for some mix of maternity, parenting, and adoption; bereavement leave; termination notice; and overtime pay. • They also set a limit on the maximum number of hours of work permitted per day or week. • Every jurisdiction in Canada has legislation incorporating the principle of equal pay for equal work. In most jurisdictions, this entitlement is found in the employment (labour) standards legislation; otherwise, it is in the human rights legislation. • The Charter of Rights and Freedoms applies directly only to the actions of all levels of government (federal, provincial/territorial, and municipal), and agencies under their jurisdiction. • It guarantees fundamental freedoms to all Canadians and provides the following fundamental freedoms: o Conscience and religion o Freedom of thought, belief, opinion, and expression o Peaceful assembly o Association • Equality rights Section 15 of the Charter of Rights and Freedoms, which guarantees the right to equal protection and equal benefit of the law without discrimination. • Human Rights Legislation Every employer in Canada is affected by human rights legislation, which prohibits intentional and unintentional discrimination in its dealings with the public and in its policies pertaining to all aspects and terms and conditions of employment. • Human rights legislation is very broad in scope, affecting virtually every aspect of HRM. • An important feature of human rights legislation is that it supersedes the terms of any employment contract or collective agreement. • Discrimination A distinction, exclusion, or preference, based on one of the prohibited grounds. Both intentional and unintentional discrimination is prohibited. • Discrimination has the effect of nullifying or impairing the right of a person to full and equal recognition and exercise of his or her human rights and freedoms. • Prohibited grounds of discrimination o These grounds of discrimination can vary across jurisdictions. o Race, Colour, Age, Sex, Marital/family status, Religion/creed, Physical and mental handicap, Ethnic/national origin. • Discrimination can be Intentional or Unintentional • Intentional Discrimination: o Direct – An employer deliberately refusing to hire, train, or promote an individual. It is important to realize that deliberate discrimination is not necessarily overt. o Differential/unequal treatment – For example, it is illegal for an employer to request that only female applicants for a factory job demonstrate their lifting skills, or to insist that any candidates with a physical disability undergo a preemployment medical, unless all applicants are being asked to do so. o Indirect – An employer may not ask someone else to discriminate on his or her behalf. o Based on association – It involves the denial of rights because of friendship or other relationship with a protected group member. An example would be the refusal of a firm to promote a highly qualified white male into senior management on the basis of the assumption that his wife, recently diagnosed with multiple sclerosis, will require too much of his time and attention, and that her needs may restrict his willingness to travel on company business. • Unintentional Discrimination is also known as constructive/systemic discrimination, and is the most difficult to detect and combat. Typically, it is embedded in policies and practices that, although appearing neutral on the surface and being implemented impartially, have adverse impact on specific groups of people for reasons that are not job related or required for the safe and efficient operation of the business. • Reasonable Accommodation o Requires the adjustment of employment policies and practices so that no individual is denied benefits, disadvantaged in employment, or prevented from carrying out the essential components of a job on the basis of prohibited grounds of discrimination. o Adjustments to schedules to accommodate religious beliefs or workstation redesign to enable an individual with a physical disability to perform a particular task are examples. • Undue Hardship The point to which employers are expected to accommodate under human rights legislative requirements. • Employers are expected to accommodate to the point of undue hardship. • The point where cost or health and safety risks make accommodation possible. • This is a term for which there is no definitive definition. • Bona Fide Occupational Requirements Employers are permitted to discriminate if employment preferences are based on a bona fide occupational requirement (BFOR), defined as a justifiable reason for discrimination based on business necessity (i.e., required for the safe and efficient operation of the organization) or a requirement that can be clearly defended as intrinsically required by the tasks an employee is expected to perform. • There are some settings in which a BFOR exception to human rights protection is fairly obvious. For example, if a boutique handling ladies' apparel requires its salespersons to model the merchandise, sex is clearly a BFOR. When casting in the theatre, there may be specific roles that justify using age, sex, or national origin as a recruitment and selection criterion. The issue of BFORs gets more complicated in situations in which the occupational requirement is less obvious; the onus of proof is then placed on the employer. • Harassment Unwelcome behaviour that demeans, humiliates or embarrasses a person, and which a reasonable person should have known would be unwelcome; however, it also encompasses actions and activities that were once tolerated, ignored, and considered horseplay or innocent flirtation, provided the individual who feels that he or she is being harassed makes it clear that such behaviour is unwelcome and inappropriate and asks that it be discontinued. • What are typical behaviours? o Physical assault o Unnecessary physical contact o Verbal abuse/threats o Unwelcome invitation/requests o Unwelcome remarks, jokes, innuendo o Leering o Displaying pornographic/racist pictures o Practical jokes causing embarrassment o Condescension/paternalism undermining self-respect • Employer Responsibility Employers and managers have a responsibility to provide a safe and healthy working environment. If harassment is occurring, of which they are aware or ought to have been aware, they can be charged, as well as the alleged harasser. • To reduce liability, employers should establish sound corporate harassment policies, communicate such policies to all employees, enforce the policies in a fair and consistent manner, and take an active role in maintaining a working environment that is free of harassment. • Sexual harassment Offensive or humiliating behaviour that is related to a person’s sex, as well as behaviour of a sexual nature that creates an intimidating, unwelcome, hostile, or offensive work environment, or that could reasonably be thought to put sexual conditions on a person’s job or employment opportunities. • It can be divided into two categories: sexual coercion, harassment of a sexual nature that results in some direct consequence to the worker's employment status or some gain in or loss of tangible job benefits; and sexual annoyance, sexually-related conduct that is hostile, intimidating, or offensive to the employee, but has no direct link to tangible job benefits or loss thereof. (The latter type of harassment involves creating a “poisoned” work environment.) • Harassment Policies To reduce liability, employers need to communicate harassment policies, enforce these policies, and take an active role in maintaining a working environment free of harassment. • Guidelines to effective polices are: • Develop a harassment procedure. • Provide training. • Require each employee to sign and return a document indicating that he or she has received harassment training, is now aware of the types of behaviour that may constitute harassment, and is familiar with the company harassment policy and procedure. • Conduct a thorough, unbiased investigation whenever a complaint is filed. Do not assume that the alleged harasser is guilty. • When harassment is proven, before deciding upon an appropriate course of action, consider all relevant factors, such as the complainant’s wishes, the nature and frequency of the conduct, the position and length of service of the harasser, and the potential adverse effects on the corporate culture, client/customer relations, viability of the business, and so on. • Offer harassment victims access to counselling and support through the firm’s employee assistance program. • State that it is a criminal offence to retaliate in any way against those who exercise their rights under human rights legislation. Individuals who file charges, testify, or otherwise participate in any human rights action are protected by law. • Remedies for Violations If discrimination is found, there are a number of remedies that can be imposed: o Compensation for lost wages. o Compensation for general damages, complainant expenses, and pain and humiliation. The violator is generally asked to restore the rights, opportunities, and privileges denied the victim, such as employment or promotion. o A written letter of apology may be required. o If a pattern of discrimination is detected, the employer will be ordered to cease such practices and may be required to attend a training session or hold regular human rights workshops, and may even be ordered to develop and implement an employment equity program. • Employment equity legislation The Charter of Rights and Freedoms and human rights legislation focus on prohibiting various kinds of discrimination, thereby attempting to create a level playing field in the employment relationship. • However, over time it became obvious that there were certain groups for whom this complaints-based, reactive approach was insufficient. Investigation revealed that four identifiable groups – women, Aboriginal people, persons with disabilities, and visible minorities – had been subjected to pervasive patterns of differential treatment by employers. • Employment Equity Designated Groups o Women o Visible minorities o Persons with disabilities o Aboriginal people • Differential treatment experienced by designated groups: o Lower pay. o Occupational segregation – The existence of certain occupations that have traditionally been male-dominated and others that have been femaledominated. o Glass ceiling – An invisible barrier, caused by attitudinal or organizational bias, which limits the advancement opportunities of qualified designated group members. o Underutilisation – Having a smaller proportion of designated group members in particular jobs, occupations, departments, or levels of the organization than is found in the labour market. Concentration in low-status jobs with little potential for career growth. Being employed in a job that does not fully utilize one’s knowledge, skills, and abilities. o Higher rates of unemployment. o Underemployment – Many immigrants are highly educated visible minorities and are unable to obtain employment that takes full advantage of their knowledge, skills and abilities. o Low-status jobs with little career growth potential. • The Implementation of Employment Equity An employment equity program is designed to identify and correct existing discrimination, redress past discrimination, and achieve a balanced representation of designated group members in the organization. There are 6 major steps: o Step One: Obtaining Senior-Management Commitment and Support – A written policy, endorsed by senior management and strategically posted throughout the organization or distributed to every employee, is an essential first step. o Step Two: Data Collection and Analysis – The development of an internal workforce profile is necessary in order to compare internal representation with external workforce availability data, to set reasonable goals, or to measure progress. Stock data provide a snapshot of the organization at a particular point in time, in terms of how many designated group members are employed, in what occupations, and at what levels and salaries. Flow data track designated group members by employment transactions and outcomes. o Step Three: Employment Systems Review – A comprehensive employment systems review of corporate policies and procedures manuals, collective agreements, and informal practices to determine their impact on designated group members so that existing intentional or systemic barriers can be eliminated. o Step Four: Plan Development – Once the workforce profile and systems reviews have been completed, the employment equity plan can be prepared. o Step Five: Implementation o Step Six: Monitoring, Evaluating, and Revising • Pay Equity Providing equal pay to male-dominated job classes and female-dominated job classes of equal value to the employer. Also known as equal pay for work of equal value. • Pay equity requires an employer to provide equal pay to male-dominated job classes and female-dominated job classes of equal value, on the basis of skill, effort, responsibility, and working conditions, which may require comparing jobs that are quite different, such as nurses and firefighters. • The focus is on eliminating the historical income gap between male-dominated and female-dominated jobs attributable to the undervaluing of work traditionally performed by women. • Diversity Management Activities designed to integrate all members of an organization’s multicultural workforce, and using their diversity to enhance a firm’s effectiveness. Managing diversity goes far beyond legal compliance or even implementing an employment equity plan voluntarily. • Common characteristics of an effective diversity program: o Top Management Commitment o Diversity Training Programs provide awareness of diversity issues and educate employees about specific gender and cultural differences and appropriate ways to handle them. Supervisors must be taught strategies to effectively manage and motivate a diverse group of employees. It is appropriate to bring in an outside consulting firm with the requisite expertise to provide the training, at least initially. To be successful, diversity training must be ongoing, not a one-day workshop. Elements of diversity must be incorporated into all core training programs, based on the needs of specific business units or employee groups. o Inclusive and Representative Communications Organizations must ensure that all of their internal communications and external publications convey this message. Inclusive language, such as gender-neutral terms, and broad representation in terms of age, gender, race, etc. in company publications are strategies used. o Celebrate Diversity o Support Groups or Mentoring Programs To ensure that no one experiences feelings of alienation, isolation, or tokenism, support groups have been established in some firms to provide a nurturing climate and a means for employees who share the same background to find one another. o Diversity Audit To assess the effectiveness of an organization's diversity initiatives, diversity audits should be conducted. Recommended evaluation criteria include representation, competency, progress, and results. o Management Responsibility and Accountability Just as with employment equity, diversity management initiatives will not receive high priority unless managers and supervisors are held accountable, and results are part of their formal assessment. • Instructor may want to research some recent harassment and or employment law cases to discuss in class at the beginning of the lecture. Consider asking the students if any of them have had any issues related to hours of work, overtime, etc. • First half of the class – lecture and then engage the students by working on a case – Incident Harassment on page 46. • Latter half of the class – complete lecture and consider discussing with the class some of the critical thinking questions found on page 45. DISCUSSION BOX SUMMARIES WORKFORCE DIVERSITY: RBC – A Leader in Diversity (page 37) RBC has a strong reputation in the industry for being a leader in promoting diversity in the workplace. RBC has undertaken a number of initiatives to facilitate this and has received awards and recognition for its achievements. ===================================================================================== STRATEGIC HR: Diversity at Canada’s Weather Network (page 38) Diversity is a priority at Pelmorex, the parent company of The Weather Network and MétéoMedia, where it has been embraced as an integral component of the corporate philosophy and culture. The company has achieved this by putting equity at the forefront of people management processes, decisions, and hiring practices. ===================================================================================== GLOBAL HRM: Europe Discovers Diversity Business Case (page 42) European firms are reporting positive business results from diversity initiatives. Eighty-three percent of 800 companies that have diversity programs reported seeing business benefits. ===================================================================================== ETHICAL DILEMMAS 1. Your company president tells you not to hire any gay or lesbian employees to work as part of his office staff because it would make him uncomfortable. What would you do? (page 31) The human rights legislation clearly states that an organization cannot discriminate based on sexual orientation. It would be important for the HR department to provide education to the organization so that management and employees become sensitized to what constitutes discrimination and how best to handle it. Additionally, it would be important to discuss with the President the value of diversity in the workplace, and assure him/her that HR will find the best match for the job. 2. Your executive team has just selected a white male for a senior manager position in your company instead of a similarly qualified visible minority candidate. How would you handle this situation? (page 40) I would have a discussion with the senior management to make them aware of employment legislation that the company is governed by. I would make sure that both candidates have been sourced in a manner that does not question any discrimination based on sourcing of candidates – i.e. the white candidate being sourced through word of mouth. I would also ensure that both candidates have been treated similarly during the selection process. Further I would inform management that they should consider having a diversity program and should incorporate people with diverse backgrounds into the organization. KEY TERMS Accommodation Measures Strategies to assist designated group members. (page 40) Bona Fide Occupational Requirement (BFOR) A justifiable reason for discrimination based on business necessity (that is, required for the safe and efficient operation of the organization) or a requirement that can be clearly defended as intrinsically required by the tasks an employee is expected to perform. (page 30) Charter of Rights and Freedoms Federal law enacted in 1982 that guarantees fundamental freedoms to all Canadians. (page 26) Common Law The accumulation of judicial precedents that do not derive from specific pieces of legislation. (page 25) Contract Law Legislation that governs collective agreements and individual employment contracts. (page 25) Discrimination As used in the context of human rights in employment, a distinction, exclusion, or preference, based on one of the prohibited grounds, that has the effect of nullifying or impairing the right of a person to full and equal recognition and exercise of his or her human rights and freedoms. (page 27) Diversity Management Activities designed to integrate all members of an organization's multicultural workforce and to use their diversity to enhance the firm's effectiveness. (page 42) Employment (Labour) Standards Legislation Laws present in every Canadian jurisdiction that establishes minimum employee entitlements and a limit on the maximum number of hours of work permitted per day and/or per week. (page 25) Employment Equity Program A detailed plan designed to identify and correct existing discrimination, redress past discrimination, and achieve a balanced representation of designated group members in the organization. (page 37) Employment Systems Review A thorough examination of corporate policies and procedures, manuals, collective agreements, and informal practices to determine their impact on designated group members so that existing intentional or systemic barriers can be eliminated. (page 39) Equality Rights Section 15 of the Charter of Rights and Freedoms, which guarantees the right to equal protection and equal benefit of the law without discrimination. (page 27) Flow Data Data tracking designated group members by employment transactions and outcomes. (page 39) Glass Ceiling An invisible barrier, caused by attitudinal or organizational bias, which limits the advancement opportunities of qualified designated group members. (page 35) Harassment Unwelcome behaviour that demeans, humiliates, or embarrasses a person, and which a reasonable person should have known would be unwelcome. (page 32) Occupational Segregation The existence of certain occupations that have traditionally been male-dominated and others that have been female-dominated. (page 35) Positive Measures Initiatives designed to accelerate the entry, development, and promotion of designated group members, aimed at overcoming the residual effects of past discrimination. (page 40) Reasonable Accommodation The adjustment of employment policies and practices that an employer may be expected to make so that no individual is denied benefits, disadvantaged in employment, or prevented from carrying out the essential components of a job because of grounds prohibited in human rights legislation. (page 29) Regulations Legally binding rules established by the special regulatory bodies created to enforce compliance with the law and aid in its interpretation. (page 25) Reverse Discrimination Giving preference to designated group members to the extent that non-members believe they are being discriminated against. (page 40) Sexual Annoyance Sexually-related conduct that is hostile, intimidating, or offensive to the employee, but has no direct link to tangible job benefits or loss thereof. (page 33) Sexual Coercion Harassment of a sexual nature that results in some direct consequence to the worker's employment status or some gain in or loss of tangible job benefits. (page 33) Sexual Harassment Offensive or humiliating behaviour that is related to a person’s sex, as well as behaviour of a sexual nature that creates an intimidating, unwelcome, hostile, or offensive work environment, or that could reasonably be thought to put sexual conditions on a person’s job or employment opportunities. (page 32) Stock Data Data that provide a snapshot of the organization at a particular point in time, in terms of how many designated group members are employed, in what occupations, and at what levels and salaries. (page 39) Supportive Measures Strategies that enable all employees to achieve better balance between work and other responsibilities. (page 40) Underemployment Being employed in a job that does not fully utilize one’s knowledge, skills, and abilities (KSAs). (page 36) Undue Hardship The point to which employers are expected to accommodate under human rights legislative requirements. (page 29) Unintentional/Constructive/Systemic Discrimination Discrimination that is embedded in policies and practices that appear neutral on the surface, and are implemented impartially, but have adverse impact on specific groups of people for reasons that are not job related or required for the safe and efficient operation of the business. (page 29) Utilization Analysis The comparison of the internal workforce profile with external workforce availability. (page 39) PART ONE: HUMAN RESOURCES MANAGEMENT IN PERSPECTIVE CHAPTER 3 HUMAN RESOURCES MANAGEMENT AND TECHNOLOGY LEARNING OUTCOMES • Describe how HR technology has evolved. • Explain what a human resources information system (HRIS) does and identify its main components. • Describe the key functions of an HRIS system and the different types of HRIS systems. • Explain the process that organizations use to choose an HRIS system. • Discuss the impact that HR technology has on the role of HR professionals and describe the five core competencies that have emerged. • Discuss what is meant by e-HR and the benefits of Web-enabled service applications. • Identify key trends in technology. CHAPTER SUMMARY The chapter begins with a discussion of the evolution of HR technology. It then explores HRIS systems – the HR components that make up a system and the process in which organizations engage to implement an appropriate system. Next, electronic HR (e-HR) and how organizations are using Web-based technologies to enhance their delivery of service are explained. The core competencies required to manage in today’s technology-driven marketplace in order to meet the expectations of HR stakeholders will then be highlighted. To conclude, some IT-HR trends, and how these trends will impact human resources management (HRM), will be discussed. LECTURE OUTLINE • This chapter explores the relationship of information technology (IT) to HR, and how HR leverages technology to manage a firm’s human capital. • HR Technology – technology that is used to attract, hire, retain, and maintain human resources, support HR administration and optimize human resources management. • This technology can be resident in different types of HRIS systems, can be used by various stakeholders such as managers, employees, and HR professionals, and can be accessed in different ways. • Technology has made it easier and faster to gather, collate, and deliver information and communicate with employees. • It has reduced the administrative burden on HR departments so they are better able to focus on more meaningful HR activities, such as providing managers with the expertise they need to make more effective HR-related decisions. • Research shows that companies who use technology effectively to manage their HR functions will have a significant advantage over those that do not. • Stages in the development of HR technology: o Paper-based systems – systems operated independently and did not integrate with any other business-related functions. HR was the sole custodian of the data and owned the data. o Early personal computer technology – migration of the information resident in these paper-based systems to PCs and local area network (LAN) systems. These systems stored basic employee information or “tombstone data.” HR data was stored on a client server – a network architecture in which each computer on the network is either a client or a server. o Electronic database systems – relational database technology emerged at this stage. Relational database enables data to be stored in more than one file, each one containing different types of data. The different files can be linked so that information from the separate files can be used together. This provides the ability to develop more complex reports that integrates several data elements. o Web-based technology – Web-based applications use a Web browser as a user interface. Users can access the application from any computer connected to the internet via a secure password-protected login page. The focus has shifted to automating as many transactions as possible to achieve effectiveness and efficiencies. Interactive voice response (IVR) is a telephone technology in which a touch-tone phone is used to interact with a database to acquire information from it or enter data into it. • Human Resources Information Systems (HRIS) – integrated systems used to gather, store, and analyze information regarding an organization’s human resources. • There are different components called subsystems that comprise an HRIS. o Employee Administration – includes information such as hire date, name, address, telephone, e-mail, birth date, sex, and much more. o Recruitment – all recruitment-related information can be found in this system. o Time and attendance – includes the information necessary to calculate vacation time, such as hire date, any leaves of absences paid or unpaid, and termination date. o Training and Development – includes data on an employee’s skills and competencies, training courses taken, costs of courses, developmental activities. o Pension administration o Employment equity – includes information on the number of employees in the four designated groups, type of industry, and geographic region. o Performance evaluation – includes information regarding performance ratings, the date these ratings were received, the type of appraisals that were used, comments about the appraisal, as well as performance objectives and goals. o Compensation/benefits administration – information regarding the company’s compensation and benefits plans, and the policies relating to these plans. o Organizational management – includes the organizational structure and job descriptions. o Health and safety – includes data on the number of accidents, types of accidents, health and safety complaints, resolutions, Workers’ Compensation claims, and related forms. o Labour relations – information such as seniority lists, union membership, grievances, and resolutions of these grievances o Payroll interface • Key functions of an HRIS: o Create and maintain employee records o Ensure legal compliance – information on employment equity o Forecasting and planning future HR requirements o Manage knowledge and talent o Align HR activity with strategic plan o Provide relevant data for decision-making – data warehouse acts as a primary data storage repository for all data collected by an organization’s business systems • Workforce analytics – use of HRIS data to assess the performance of an organization’s workforce using statistics and research design techniques. • analyzes factors contributing to effective HR contribution to the achievement of strategic goals. • this has enabled HR professionals to demonstrate that effective HR management can have a significant and measurable impact on a company’s bottom line. • Selecting and implementing an HRIS: o Adoption phase – organizations typically engage in a needs analysis to determine what type of system they will purchase. Key areas to consider are company background, management considerations, technical considerations, HR considerations and pricing. Once the needs analysis is completed, companies send out a request for proposal (RFP) requesting vendors to schedule demonstrations of the various systems and ultimately choose one that most closely aligns with their needs analysis, budgets and management requirements. o Implementation phase – activities involved in this phase focus on getting the system “up and running” within a controlled environment so that the system can be tested to ensure that it is functioning in the way the organization requires. o Institutional phase – train the users on the system. People typically have difficulties in transitioning to an HRIS. Employees need to be trained but even after training they may not feel fully competent and might not use the system. With any new system, stakeholders typically underestimate the complexity of the system. • Electronic Human Resources (e-HR) o e-HR – a term that identifies a form of technology that enables HR professionals to integrate an organization’s human resources strategies and processes in order to improve overall HR service delivery o intranet – a network that is interconnected within one organization, using Web technologies for the sharing of information internally. • Web-based self-service trends • There are two types of self services: Employee self-service Management self-service • Employee self-service – enables employees to access and manage their personal information directly without having to go through their HR departments or their managers. • Portals are used to make access to such services seamless. A portal is a single site that can be accessed within an existing Internet site. • Some functions employees can perform include: o updating their personal information o enrolling in benefit programs o viewing payroll information o recording vacation time and sick days, etc • Management self-service – allows managers to access a range of information not only about themselves, but also about the employees who report to them. • gives managers the opportunity to process HR-related paperwork that pertains to their staff. • MSS systems reduce overall company workloads. • Managers report significant reduction in administrative costs and process steps, a reduction in entry errors, and an overall streamlining of their reporting process. • Not as popular as ESS, though MSS is a valuable tool. • Enterprise-wide system (ERP) – a system that supports enterprise-wide or crossfunctional requirements rather than a single department or group within the organization. • The most popular high-end enterprise-wide systems are SAP, People Soft, and Oracle. • One database serves the entire company. • Stand-alone HR systems • Not all organizations require or can afford a sophisticated system. • The decision to purchase which systems can be based on cost, the number of employees, the degree of efficiency, and the company’s existing hardware and software. • Smaller companies might use applications such as MS Excel and Access. • Midsize firms require greater data integration and might use Spectrum, Genesys, Best Software Inc., Ultimate Software, People Track Inc., and Organization Plus • Large organizations might use SAP, PeopleSoft, or Oracle ERP systems • Speciality software • Organizations can purchase these applications as stand-alone systems: o Halogen software for e-appraisal – uses a Web-based system for employee performance appraisal where forms can be created, appraisals can be rolled out electronically and it has the ability to facilitate 360-degree feedback information. o ExecuTRACK creates succession-planning matrices, establishes career paths, creates candidate placement scenarios o Org Plus creates organizational charts. o Ergowatch conducts a physical demand analysis based on a checklist required by workers’ compensation boards to determine what an injured employee can safely do when returning to work. o E-recruiting. • Role of HR in an IT-enabled organization: o decrease its involvement in transactional activities – reduction of the administrative burden resulting in lowering basic transaction costs. o increase its focus on the customer – information from systems can be used as a decision support tool to help managers become more competent in their jobs. o increase its delivery of strategic services. • As a result, several core competencies have emerged that are critical to the development of the HR professional: o Mastery of HR technology o Strategic contribution o Personal credibility o HR delivery o Business knowledge • Trends in HR and technology: o Technology trends o Outsourcing o Determining HR’s effectiveness • Technology trends o The increased use of portals and intranets and a greater focus on the use of virtual tools. o Greater access to technology – ensures security measures are in place, and being highly diligent in terms of the types of access and who gets access. o Continued optimization of current systems – HR continues to be “technologically educated.” o Enhanced focus on workforce analytics – requires HR to evolve as a “decision science” providing managers with value-added decision-making tools. o Increased focus on reducing costs – requires HR to optimize the functionality of HR technology. o Increased use of standards for data exchange and processes – HR needs to ensure that the vendors they work with comply with this “standard.” o Contingency planning – ensuring that plans are in place to deal with disasters, including getting employees back to work and providing them with the appropriate emotional support. o Heightened awareness of HR data privacy. • HR Outsourcing is the subcontracting of work that is not considered part of a company’s core business. • It has grown exponentially over the past decade. • Most large companies outsource some HR activity. • The main benefits of HR outsourcing are cost reduction and increased ability for HR professionals to focus on core business objectives. • Determining HR effectiveness • With the ability to outsource administrative tasks, the focus now is on the strategic management of human capital and those activities that HR undertakes to add value to the organization. • HR is expected to demonstrate a measurable impact on business results. • HR professionals must be technically savvy and be able to speak the language of business. They must understand the business environment and the major drivers relating to workforce productivity as determined by management. Techniques such as benchmarking and the use of balanced scorecards will be increasingly important for HR. • HR using technology to evaluate its own effectiveness, and how HR decides to leverage emerging technologies to drive productivity and the management of human capital, will make the difference between a mediocre HR department and one that is truly a business partner. • Instructor may want to discuss the role of technology as it relates to HR. Some of the discussion boxes and the ethical dilemma question can be used for this purpose. • First half of the class – lecture and then focus on discussing LearnInMotion.com on page 75 and related questions. Question 2 on experiential exercises can be discussed at this stage as well. • Latter half of the class – complete lecture and consider discussing with the class some of the critical thinking questions found on page 74. The case incident can be discussed at the end of the lecture. DISCUSSION BOX SUMMARIES ENTREPRENEURS AND HR: Cronus Technologies (page 69) The box describes the success story of two brothers who were awarded the Young Entrepreneur Award. The brothers founded Cronus Technologies, which specializes in custom HRIS software development and project management. ===================================================================================== GLOBAL HRM: Outsourcing HR Functions (page 72) Unilever has decided to outsource its administrative HR functions to Accenture. This agreement covers Europe, the Americas, and Asia. The arrangement will change the way Unilever manages and delivers its HR services across the company. ============================================================================= ETHICAL DILEMMAS 1. You are the HR administrator at a large firm. Your company has just completed its formal appraisal process and has decided on the employee bonuses for the fiscal year. The employees will receive this communication by the end of the fiscal year in approximately three weeks. You are responsible for inputting the data into the HRIS system. A senior manager, who happens to be a very good friend of your parents, approaches you and asks if you could possibly tell him what his rating is and how much his bonus will be. It turns out that this person has some serious financial problems and may have to take out a loan today if the bonus is not high enough. What would you do? (page 62) Providing such information, despite the fact that he is a friend and he is in financial problems, would be a breach of confidentiality and code of ethics policies. The company has entrusted me with the responsibility of inputting confidential information, and divulging information contained in the system would be a breach of trust. It is important to stress this upon the senior manager and refrain from providing any information in the system. If the situation persists, and the senior manager insists that the information be provided, it should be brought to the attention of Human Resources professionals. KEY TERMS Client server A network architecture in which each computer or process on the network is either a client or a server. (page 51) Data warehouse Primary data storage repository for all data collected by an organization’s business systems. (page 57) e-HR A form of technology that enables HR professionals to integrate an organization’s human resources strategies, processes, and human resources capital to improve overall HR service delivery. (page 62) Enterprise-wide system A system that supports enterprise-wide or cross-functional requirements rather than a single department or group within the organization. (page 59) Human resources information system (HRIS) Integrated systems used to gather, store, and analyze information regarding an organization’s human resources. (page 52) Human resources (HR) technology Any technology that is used to attract, hire, retain, and maintain human resources, support HR administration, and optimize human resources management. This technology can be resident in different types of HRIS systems, can be used by various stakeholders such as managers, employees, and HR professionals, and can be accessed in different ways. (page 49) Interactive voice response (IVR) A telephone technology in which a touch-tone phone is used to interact with a database to either acquire information from or enter data into the database. (page 51) Intranet A network that is interconnected within one organization, using Web technologies for the sharing of information internally. (page 62) Outsourcing The subcontracting of work that is not considered part of a company’s core business. (page 72) Portal A single site that can be accessed within an existing Internet site. (page 63) Relational database Data can be stored in more than one file, each one containing different types of data. The different files can be linked so that information from the separate files can be used together. (page 51) Request for proposal (RFP) Request to vendors to schedule demonstrations of the various systems and ultimately choose one that most closely aligns with their needs analysis, budgets, and management requirements. (page 61) Tombstone data List of basic employee information. (page 50) Web-based applications Web-based applications use a Web browser as a user interface (i.e. the “front-end”). Users can access the applications from any computer connected to the Internet via a secure, password-protected login page, and from that point forward all the data is encrypted. (page 52) Workforce analytics The use of HRIS data to assess the performance of an organization’s workforce using statistics and research design techniques. (page 58) Instructor Manual for Human Resources Management in Canada Gary Dessler, Nina D. Cole 9780132270878, 9780134005447