1. Explain why using valid selection procedures is important.
2. Describe four (4) criteria commonly used to evaluate the effectiveness of training efforts. For each criterion, give an example of how effectiveness could be measured.
3. Who else besides an employee’s immediate supervisor could serve as a rater for performance appraisal purposes? Give three (3) examples and explain why their input could be useful.
4. Why should managers be concerned about employees’ perceptions of the fairness of a firm’s compensation system? What tools or mechanisms do organizations use to help ensure internal and external equity?
5. What are the pros and cons of high executive pay?
1. It is highly essential to use a valid selection procedure in the field of human resource because selection process is a crucial requisite for every production or performance value firms that aim at operating successfully. A valid selection process is crucially important because it enhances transparency and confidence of corporate firms to grow firmly from the very root. By means of valid selection process along with effective hires, companies gain immense values. On the other hand, invalid or faulty selection process leads to bad hires and consequently overall corporate loss (McLean and DeMars).
2. The most practiced approach of evaluating effectiveness of training has been the Four Level Evaluation Model of Kirkpatrick. The key steps of this model are: reaction, learning, behaviour and results.
Reaction – This first level is said to solicit views of learning experience that follows training. The scope concerns the extent to which experience proved valuable or relevance of training.
Learning – This level measures the extent to which participants receive the required skills, knowledge and values as training outcomes (Manoharan, Muralidharan and Deshmukh).
Behaviour – This level measures the extent to which behaviours of participants alter due to training. For instance, improper behavioural change may have caused for other circumstances like individual reluctance.
Results – This level determines tangible outcomes of training like improved quality and efficiency, reduced, enhanced productivity, increased sales and employee morale, and employee retention.
3. In the process of performance appraisal, various approaches may be used. One of the most effective approaches is 360 degree performance appraisal. This process signifies that an individual’s performance may be rated by not only his immediate supervisor but also other individuals like his subordinates, peers, separate departmental managers, and the employee himself (Goksoy and Alayoglu). For any employee, his subordinates and peers are some of the best individuals who may rate his performance effectively. It is because these individuals are ones who closely observe his performance, attitude, behaviours, etc.
4. Managers should be concerned about employees’ perceptions of the fairness of a firm’s compensation system because pay as well as benefits are highly significant to both existing as well as new employees. The compensation that they receive from the work happens to be the major cause behind seeking employment. Compensation not only acts as a source of their sustenance by allowing people to satisfy their materialistic or recreational needs, but also serves their needs for self-esteem (Manoharan, Muralidharan and Deshmukh). When the compensation system of any organization is perceived as inadequate, effective and deserving applicants may reject its employment offers, and also current effective employees may leave the organization at once.
Organizations may ensure internal and external equity by performing job analysis and then recruiting most suitable individuals with required job specifications to justify the post.
5. High executive pay possesses both merits and demerits. The merits is that high pay means higher quality of life and social recognition (Schultz). It attaches lot of prestige and ensures professional success. On the other hand, the demerit states that these individuals with fat salaries involve intense public scrutiny. They always remain in the limelight and so they need to be highly aware all the time.
Goksoy, Asli, and Nihat Alayoglu. 'The Impact Of Perception Of Performance Appraisal And Distributive Justice Fairness On Employees' Ethical Decision Making In Paternalist Organizational Culture'. Perf. Improvement Qrtly 26.1 (2013): 57-79. Web.
Manoharan, T. R., C. Muralidharan, and S. G. Deshmukh. 'Analyzing The Interaction Of Performance Appraisal Factors Using Interpretive Structural Modeling'. Perf. Improv. 49.6 (2010): 25-35. Web.
McLean, Gary N., and Shane K. DeMars. 'Organization Development: Principles, Process, Performance'. Perf. Improv. 45.8 (2006): 41-43. Web.
Schultz, John R. 'Performance Improvement: The Means To Process Improvement'. Perf. Improv. 46.7 (2007): 27-32. Web.