Chapter 11 Human Resource Management

11.1 Identify your Staffing Needs

• The people who work for your business are your human resources.

• Good employees and a well-run human resource management program are as important to your business as are capital, equipment, and inventory.  

• Staffing-involves determining the number of employees you need and defining a process for hiring them.

Questions to ask yourself when hiring:

1. What kinds of employees do I need? 

2. What skills am I missing? 

3. What skills do I need daily? 

4. What skills do I need occasionally?

Questions

*To answer all these questions make a list of all your duties in your business and how much time is needed to perform these duties. Your list should include if you need part-time, full-time or temporary workers. You can determine whether you need managers or assistants and how many employees you need.

Job Descriptions

-A written statement listing the tasks and responsibilities of a position

-Include:

-To whom the position reports

-Educational and professional experience

-Salary

Job Analysis

Job descriptions are written after conducting a job analysis.

Job analysis-is the process of determining the tasks and sequence of tasks necessary to perform a job.

  You need to determine what the job entails so you are able to pay the employee accordingly.

 Organizational

Structure

-Is a plan that shows how the various jobs in a company relate to one another

-Helps analyze your staffing needs

-Help identify the number and type of employee you need

-When planning you can list positions and responsibilities of each

Chain of Command

The organizational chart also shows the chain of command.

Chain of command-who reports to whom in the company 

Recruiting-to look for people to hire and attract them to the business

A variety of resources are used for recruiting:

1. Online Career and Employment Sites

2. Employment Agencies

3. College Placement Centers

4. In-store Advertising

5. Classified Advertisements

6. Referrals

Alternatives to Adding Staff

• Adding employees to your payroll is costly. It takes time and money to recruit staff and track, report, and pay their salaries, benefits, and tax withholdings. In many cases, you may need help but not have sufficient work to keep a permanent full-time employee busy. For these reasons, you may want to consider alternatives to permanent employees, such as hiring freelancers, interns, and temporary workers.

Freelancers

• Freelancers-people how provide specialty services to a number of different businesses on an hourly basis or by the job (independent contractors)

Examples of freelancers:

1. Bookkeepers

2. Accountants

3. Graphic designers

4. Window display artists

5. Lawyers

Interns

Interns-students who work for little or no pay in order to gain experience in a particular field

Temporary Workers-seasonal employees

i.e. Retail during Christmas  

11.2 Staff Your Business

The four steps in the hiring process involves:

1. Screening candidates

2. Reviewing and verifying information on job applications

3. Interviewing the best candidates

4. Making a job offer

Continued

1. Screening candidates

-Remove people who are not right for the job, focus on the most qualified

2. Reviewing and verifying information on job applications

-Verify information is correct, call references, call previous employers

3. Interviewing the best candidates

-The job interview is as important for you as it is them you have to make your business appealing

You want to do the following:

-Sell Your Business

-Make the Interview Effective

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4. Making a job offer

-Contact the person by phone, let the person know you were impressed by them, let them know how much you would like them to join your company

-Clearly state the salary, benefits, and terms of employment

-If the applicant declines your offer, extend the offer to your second choice and then to your third choice

-Once the candidate accepts your offer let the other candidates know and be polite

 

Compensation Package

Types of Pay 

• Wages-are payments for labor or services that are made on an hourly, daily, or per-unit basis (paycheck will vary depending upon the hours they work)

• Salary-an amount paid for a job position stated on an annual basis. Regardless of the number of hours the person filling the position works, the amount of money the salaried employee is paid does not vary

Benefits

• Benefits-rewards, other than cash, given to employees. They may include paid leave, insurance, and a retirement plan

11.3 Direct and Control Human

Resources Once you have people working for you, you become a manager. This means that you will no longer focus all of your efforts on doing your own job. You will be implementing-which involves directing and leading people to accomplish the goals of the organization.

Need to establish goals and motivate.

1. Understand the Levels of Management

2. Apply Leadership Styles

3. Enforce Employee Policies

4. Train Your Employees

5. Motivate Your Employees

Need to establish goals and motivate.

6. Delegate Responsibility

7. Listen to Employees

8. Control Human Resources

9. Evaluate Employees

10. Promote Employees

11. Dismiss Employees