Introduction to Business
Chapter 8: Managing Human Resources and Labor Relations
8.1 Achieving High Performance through Human Resources Management
The human resource management process consists of a sequence of activities that begins with
the job analysis and HR planning; progresses to employee recruitment and selection; then
focuses on employee training, performance appraisal, and compensation; and ends when the
employee leaves the organization.
Creating a strategy for meeting human resource needs is called human resource planning,
which begins with the job analysis. Job analysis is a process of studying a job to determine its
tasks and duties for setting pay, determining employee job performance, specifying hiring
requirements, and designing training programs. Information from the job analysis is used to
prepare a job description, which lists the tasks and responsibilities of the job. A job specification
describes the skills, knowledge, and abilities a person needs to fill the job described in the job
description. By examining the human resource demand forecast and the internal supply
forecast, human resource professionals can determine if the company faces a personnel surplus
or shortage.
Human Resource Management Process
(Attribution: Copyright Rice University, OpenStax, under CC BY 4.0 license.)
For more free, peer-reviewed, openly licensed resources visit OpenStax.org.
, 2
Human Resource Planning Process
(Attribution: Copyright Rice University, OpenStax, under CC BY 4.0 license.)
8.1Review Questions
1. What activities are involved in the human resource process?
2. Why is the process in sequenced activities?
3. What are two important and somewhat parallel aspects of the process?
4. What is the purpose of human resource planning?
5. What is a job analysis, and what is the purpose of this information?
6. Where are the tasks and responsibilities of a job listed?
7. What is contained in the job specification?
8. What is an HR demand forecast, and what two processes are involved in this process?
9. Why is the internal supply forecast important to know?
10. What is succession planning?
11. How can organizations utilize contingent workers?
8.2 Employee Recruitment
When a job vacancy occurs, most firms begin by trying to fill the job from within the ranks of
their own employees, known as the internal labor market. If a suitable internal candidate is not
available, the firm turns to the external labor market. Firms use local media to recruit
For more free, peer-reviewed, openly licensed resources visit OpenStax.org.