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360-degree appraisal Sometimes called multisource evaluation.
Involves an individual being evaluated by their superiors, peers,
subordinates and others (for example, customers).
absenteeism Failure of employees to report to work when they
are scheduled to do so.
access Concerned with who will have access to the HRIS.
For example, will there be decentralised access and data entry capability
or will access and data entry be centralised and tightly controlled?
accident-prone The proposition that certain employees have
specific characteristics that make them more likely to have accidents,
and that these same employees cause or are involved in most accidents.
accreditation (HR) The process of certifying the professional
competence of HR specialists.
achievement motivation The desire to be successful in competitive
situations or to perform in terms of a standard of excellence.
acquisition Purchase of a firm or company by another firm
or company.
across-the-board increases General pay increases awarded
to all employees irrespective of performance.
action learning Based on learning by experience. Uses real
problems from the work situation for trainees to solve.
active listening Asking lots of questions and carefully
listening to the answers.
activity phase (training) Concerned with selecting the training
methods and learning principles to be employed in a training program.
adaptability Relates to the extent that HRM policies foster
employee and organisational readiness for, and acceptance of, change.
administrative expert Refers to the efficiency of HR managers
and the effective management of HR activities (such as selection,
etc.) so that they create value.
adventure training Adventure or wilderness training presents
managers with physical and mental challenges such as abseiling,
canoeing and bushwalking. The aim is to promote self-awareness,
confidence and teamwork.
advertised recruitment Communicating to the public an organisations
HR requirements using the media (such as newspaper advertisements).
advocates Employer or union representatives who argue a case
before an industrial tribunal or court.
affirmative action (AA) Programs that require firms to make
special efforts to recruit, hire and promote women and members of
minority groups.
ageing population Occurs when the number of older people increases
relative to the number of young people in the population.
AIDS (acquired immune deficiency syndrome) A disease that undermines
the bodys immune system, leaving the person susceptible to
a wide range of fatal diseases.
air rage Offensive and violent behaviour by commercial
airline passengers. Examples include food throwing, sexual harassment,
indecent behaviour, insulting language, abusive conduct and physical
assault.
alcoholism A treatable disease characterised by uncontrolled
and compulsive drinking that interferes with normal living patterns.
allowable matters These are provisions allowed to remain
in awards by the Workplace Relations Act. No other items can be
covered by an award.
anti-discrimination Elimination of any practice that makes
distinctions between different groups based on age, sex, etc. and
that results in one group being advantaged and the other group disadvantaged.
application form Basic source of employment information
covering qualifications, experience and other job-related data.
apprenticeship training A combination of classroom and on-the-job
training.
aptitude tests Tests of special abilities (such as clerical,
linguistic, musical and artistic abilities) that are required in
specific jobs.
arbitration The submission of a dispute to a third party
for a binding decision.
assessment centre Technique that uses interviews, tests, simulations,
games and observations to evaluate an individuals potential.
assessment phase (training) Establishes what training is
needed, by whom, when and where so that training objectives can
be established.
at-risk compensation Rewards that are payable only
when a performance target is met.
attitude survey Systematic method of determining what employees
think about their job, supervision and the organisation.
Australian Council of Trade Unions (ACTU) National trade
union organisation which represents the Australian trade union movement.
Australian Workplace Agreements (AWA) Agreements made directly
between an employer and an employee.
automatic progression Sometimes called incremental salary
scales. Salary increases occur automatically each year on a specified
date, irrespective of performance.
autonomous work teams Represents job enrichment at the
group level. This is achieved by creating self-managed work teams
responsible for accomplishing defined performance objectives.
autonomy The extent to which the job provides the employee
freedom to plan, schedule and decide about work procedures.
avoidable turnover A standard method of computing employee
turnover that focuses on that part of employee turnover that can
be reduced.
awards Written determinations setting out the legally enforceable
terms and conditions of employment in a firm or industry.
award restructuring Process designed to simplify, update
and remove anomalies from industrial awards.
background investigation Process of checking job applicant
information prior to an employment offer being made.
bargaining Another term for negotiation.
bargaining zone The parameters between which the union
and management are prepared to negotiate comprises the bargaining
zone.
base salary Standard salary that an employee receives for
doing a job. It is used as the basis for calculating other allowances
and benefits.
behaviour modelling Process of learning from other peoples
experience by simulating (copying) their behaviour.
behaviour observation scale (BOS) Performance appraisal
system that uses critical incidents to develop a list of desired
behaviours needed to perform a specific job successfully.
behaviourally anchored rating scale (BARS) A performance
appraisal method that combines elements of the traditional rating
scale and critical incidents method.
benchmark job or key job A job that is similar or comparable
in content across firms.
benchmark The identification of best practices among competitors
and non-competitors that make them superior performers.
benefits All financial rewards that are not paid directly
in cash to the employee; for example, annual and maternity leave,
life insurance.
biographical information blank (BIB) A specially designed
application form that is used to obtain comprehensive information
about an employees background, attitudes, hobbies, sports,
early life experiences, and so on.
blue circle salaries Salaries that are below the range
minimum for the job.
body language Non-verbal signals (such as facial expressions)
that can indicate what a person is really thinking or feeling.
bonus A discretionary reward provided after the achievement
of a goal.
bottom line Refers to a final result, such as the net profit
after taxes.
boundaryless careers Careers that involve switching jobs,
specialisations, companies, industries and location. They may involve
upwards, downwards and sideways moves.
broadbanding Collapses numerous job grades with narrow
salary bands in a salary structure into a few broad job grades with
wide salary bands.
bullying Examples of workplace bullying include persecuting
or ganging up on an individual; making unreasonable demands or setting
impossible work targets; restrictive and petty work rules; constant,
intrusive surveillance; abusive language; physical assault; and
open or implied threats of dismissal or demotion.
burnout A state of mental, emotional and physical exhaustion
that results from substantial and prolonged stress.
business game Simulation that represents actual business
situations.
cafeteria benefits Employees choose their own benefits
up to a certain cost per employee.
career All the jobs that an employee has held in their
working life.
career counselling Involves the giving of information and
advice to employees to facilitate their career planning and development.
career path Flexible line of progression through which
an employee moves during their employment with an organisation.
career planning and development Giving employees assistance
to develop realistic career goals and the opportunities to realise
them.
career plateau Point in an individuals career where
the probability of further advancement is negligible.
career transition Involves a significant change in an employees
career via transfer, demotion, promotion, overseas assignment or
switch from one occupation to another.
central processing unit (CPU) The brain of the computer.
It causes data to be read, stored, written or otherwise processed.
central tendency A common error that occurs when every
employee is incorrectly rated near the average or middle of the
scale.
certified agreements (CA) Agreements that are the product
of negotiations between an employer and a union(s) and that are
subsequently registered by an industrial tribunal.
change agents People who act as catalysts for change.
charter of professional standards Statement of an organisations
ethical values and standards that guides the professional conduct
of its employees.
classification method A job evaluation method by which
classes or grades are defined to describe a group of jobs.
closed shop Exists when a job applicant cannot be hired
by an employer unless he or she is a member of a designated union.
coaching On-the-job approach to management development
in which the manager is given an opportunity to teach on a one-to-one
basis.
collective bargaining The process through which representatives
of management and the union meet to negotiate a labour agreement.
commission An individual incentive system whereby an employee
is paid either a percentage or flat sum amount on the revenue of
sales volume they generate.
commitment Relates to the extent that HRM policies enhance
employee identification with and attachment to their job and the
organisation.
common law Case law developed in the court
system. It is the body of previous judgements that guides how the
other sources of legal obligations should be interpreted.
communication The process of transferring meanings from
a sender to a receiver.
compa ratio (salary index) The ratio between the average
salary for a particular job point or grade and the midpoint of the
salary range for that point or grade.
compensation What employees receive in exchange for their
work. Includes pay and benefits (total compensation) or just pay
(cash compensation).
compensatory approach Involves considering all the selection
data (favourable and unfavourable) before a selection decision is
made.
competence Relates to the extent that HRM policies attract,
retain, motivate and develop employees with the abilities, skills,
knowledge and competence to achieve the organisations strategic
business objectives.
competencies Demonstrable and assessable skills that distinguish
effective from ineffective job performance.
competency-based training (CBT) Skills approach to employee
development. Focus is on performing specific tasks to a predetermined
standard.
competency profiling Job analysis method that focuses on
the skills and behaviours needed to successfully perform a job.
competitive advantage A special edge that allows organisations
to better deal with business challenges.
competitive analysis Review of the competitive forces in
an industry, including the threat of new entrants, bargaining power
of buyers and suppliers and the threat of substitute products or
services.
compulsory unionism An arrangement whereby union membership
is a necessary condition of employment.
computer-based training Uses computers as a learning vehicle
to provide interactive drills, problem solving, simulations and
gaming. The emphasis is on self-managed learning.
conciliation Occurs when a dispute involves a third party
(a conciliator) who tries to facilitate agreement between unions
and management.
conduct guide A formal statement of expected professional
conduct and ethical rules.
congruence Relates to the extent that HRM policies generate
(or sustain) and promote the simultaneous achievement of employee
goals and the organisations strategic business objectives.
conscript mindset Employees are externally motivated (that
is, they are coerced by management) to perform.
consent agreement Occurs when the parties to an industrial
dispute reach agreement without third party involvement. If ratified
by an industrial tribunal, it becomes a consent award and is binding
on the parties in the same way as an arbitrated award.
consent awards These occur when the parties to an industrial
dispute reach agreement without third party involvement, and the
agreement is then ratified by an industrial tribunal. A consent
award is binding on the parties in the same way as an abitrated
award.
content theories Attempt to explain motivation in terms
of factors that initiate employee behaviour.
contingent worker Temporary or part-time employee.
continuous reinforcement Occurs when rewards are given after each
desired behaviour.
contract Legal agreement, enforceable by law, that sets
forth the relationship between parties regarding the performance
of a specific action.
contribution-based pay Pay plan designed to directly link
rewards to the contributions made by an individual employee.
contributory superannuation Scheme where the employee (along
with the company) is required to make a regular contribution (typically
5 per cent of monthly base salary) to their retirement plan.
corporate culture The values, beliefs, assumptions and
symbols that define the way in which the organisation conducts its
business.
correlation coefficient A statistical procedure showing
the strength of the relationship between two variables; for example,
between an employees test score and on-the-job performance.
corruption Includes fraud, bribery, graft and the payment
of secret commissions and kickbacks.
cost centre A unit in which managers are held responsible
for all associated costs; for example, administrative and service
departments where inputs are measured in financial terms, but outputs
are not.
cost-effectiveness Relates to the extent that HRM policies
reduce personnel-related costs, help correctly size the organisation,
eliminate unnecessary work, reduce compensation and benefit costs,
reduce labour turnover, etc.
costbenefit analysis Involves an evaluation of the
tangible and intangible costs and benefits resulting from a decision.
cost-of-living allowance (COLA) Designed to protect the
expatriates standard of living from cost-of-living differences
between the host country and the home country and to offer some
protection against exchange rate fluctuations.
craft unions Unions that include workers who have a common
skill; for example, carpenters or plumbers.
criterion validity A type of validity based on showing
that scores on the test (predictors) are related to job performance
(criterion).
critical incidents Examples of employee behaviour that
illustrate effective or ineffective job performance.
critical incident method A performance appraisal technique
that requires a written record of highly favourable and highly unfavourable
employee work behaviour.
cross-cultural communications Occur when a person from
one culture (for example, an Australian) communicates with a person
from another culture (for example, a Korean). Misunderstandings
may occur because of differences in language, values, attitudes
and beliefs.
culture shock The inability to adjust to a different cultural
environment.
cut-off score The score on a test below which an applicant
will not be considered for employment.
data Numerous facts that are part of an information system.
databanks Stored collection of raw, unanalysed facts.
database A collection of information specific to an operation,
business or enterprise.
database management Systematic approach to storing, updating
and retrieving information stored as data items.
deadline The time limit set for the completion of the negotiation.
deadlock Occurs when neither side in a negotiation will
make a concession.
decision making Choosing from alternatives.
defined benefit plans Retirement plans that specify the
actual benefit payable upon retirement.
defined contribution plans Retirement plans that specify
employer and employee contributions, but do not specify what the
actual benefit at retirement will be.
delegation Giving decision-making responsibilities to subordinates.
Delphi technique Obtains predictions from a panel of experts
about some specific future occurrence. The collective estimates
are fed back to individual panel members until general agreement
is reached.
demarcation An exclusive right that restricts a specific
type of work to members of a particular union. In practice, it operates
as a form of job protection.
demotion The process of moving a worker to a lower level
of duties and responsibilities, which typically involves a pay cut.
desk rage Offensive and/or violent employee behaviour occurring
in an office environment.
development Involves those activities that prepare an employee
for future responsibilities.
diary/log The employee keeps a written record of the duties
they perform.
direct discrimination Refers to any overt bias towards
a person based on characteristics such as age, sex, race, etc. Direct
discrimination is often the product of stereotypes about a particular
group. It can be expressed through a refusal to hire, dismissal,
providing unfavourable working conditions or limited opportunities.
disability insurance Insurance designed to protect employees
during long-term disablement (and loss of income) through illness
or injury.
disciplinary action Invoking a penalty against an employee
who fails to meet organisational standards or comply with organisational
rules.
discrimination Any practice that makes distinctions between
different groups based on characteristics such as sex, race, age,
religion and so on, which results in particular individuals or groups
being advantaged and others disadvantaged.
disk storage Determines how much data can be kept in a
computer for access and processing.
distribution of learning Relates to the scheduling of training
activities. In most cases, spacing out training produces more rapid
learning and better retention.
diversity Human characteristics that make people different
from one another.
diversity management Activities involved in integrating
non-traditional employees (such as women and minorities) into the
work force and using their diversity to the firms competitive
advantage, as well as considering other work force characteristics
that need to be addressed to ensure fair and effective utilisation
of employees.
divestiture Selling selected operating units for either
strategic or financial reasons.
division of labour Process of dividing work and assigning
tasks to workers.
domestic HRM HRM as practised within the geographical boundaries
of one country. Its focus is the management of people in a single-country
context.
dominant or traditional employees/group Employees who come
from the majority group. In Australia, the dominant racial/ethnic
group are people, particulary men, of Anglo-Celtic ancestry.
downsizing A reduction in a companys work force to
improve its bottom line.
dual career Situation where both spouses or partners have
career responsibilities and aspirations.
early retirement Occurs when an employee retires from an
organisation before normal retirement age.
economy class syndrome Blood clots caused by cramped airline
seating.
education Activities designed to improve the knowledge,
skills and abilities of an individual.
effectiveness Determining appropriate objectives; doing
the right things.
efficiency Minimum use of resources to achieve the organisations
objectives; doing things right.
electronic recruiting Recruiting via the Internet (external)
and intranet (internal). Sometimes called cybercruiting.
employability Having marketable skills (skills that are attractive
to employers).
employee assistance programs (EAPs) Company-sponsored programs
that help employees to cope with personal problems that are interfering
with their job performance.
employee champion Requires the HR manager to be the employees
voice in management decisions.
employee motivation See motivation.
employee obligations Those duties and obligations defined
in law that an employee must fulfil.
employee relations (ER) Concerned with the relationship
between an organisation and its employees. Sometimes ER is regarded
as the same as industrial relations (IR). The focus of ER is more
on workplace relations than the traditional IR emphasis on institutions
and the making of rules governing the employeremployee relationship.
employee turnover See turnover.
employer associations Represent employer interests at industrial
tribunals and provide a range of IR advisory services, including
award interpretation, dispute handling and how to counter union
activity.
employer obligations Those duties and obligations defined
in law that an employer must fulfil.
employment contract An informal (oral) or formal (written)
agreement between an employer and employee specifying the legal
obligations of each.
employment relations Attempt to integrate HR and IR. Views
industrial relations and HRM as its constituent parts.
employment tests Attempt to assess the match between the
application and the job requirements. Examples include typing, welding
and driving tests.
empowerment Giving employees a reasonable amount of authority
and the means and decision guidelines for exercising it.
enterprise award An award that applies to a single employer
or enterprise and its employees.
enterprise bargaining Direct negotiation that takes place
between an employer or enterprise and its employees and/or its nominated
representatives.
enterprise flexibility agreements (EFAs) Collective non-union
agreements directly negotiated between employers and their award
employees.
enterprise unions Unions that only represent the interests
of employees working for a single employer or enterprise.
environmental influences Refers to opportunities and threats
that may be present in the organisations external and internal
environments.
equal employment opportunity (EEO) Means giving people
a fair chance to succeed by avoiding discrimination based on unrelated
job factors such as age, race, sex or nationality.
equal opportunity Concept that all individuals should have
equal consideration and treatment in employment regardless of their
sex, race, religion or other non-job-related factors.
equity theory of motivation A theory that assumes that
people have a strong need to balance their inputs of labour and
their rewards.
essay description A written statement describing an employees
strengths, weaknesses, past performance and future development prepared
by the rater.
ethics Deals with what is good and bad or right and wrong,
or with moral duty and obligation. Ethical behaviour may require
higher standards than that established by law.
evaluation phase (training) Concerned with measuring how
well a training activity met its objectives.
executive leasing Similar to temporary help except that
the focus is on supplying management and professional personnel.
executive recruiters Firms specialising in locating qualified
candidates for top management jobs.
executive search Sometimes called head-hunting.
Executive search firms specialise in identifying top-level executives
for key positions and approaching them directly.
exit interview An employees final interview following
separation. The purpose of the interview is to find out the reasons
why the employee is leaving (if the separation is voluntary) or
to provide counselling and/or assistance in finding a new job.
expatriate Someone who lives and works in a foreign country.
expatriate packages Total compensation and benefits given
to personnel on a foreign assignment. Include base salary, foreign
service premium, hardship allowance, housing assistance, education
allowance, relocation allowance and other special allowances and
benefits associated with a foreign assignment.
expectancy Employees perceived probability that exerting
a given amount of effort will lead to performance.
exposure Employee behaviour designed to make management
aware of the employees abilities and achievements.
external equity Payment of employees at rates comparable
with those paid for similar jobs elsewhere.
extinction Withdrawal of a positive reinforcer so that
the undesired behaviour gets weaker and eventually disappears.
factor comparison system Job evaluation technique that
involves comparing (ranking) jobs on a range of factors such as
know-how, responsibility, etc. Each factor ranking for each job
is converted to points. The total number of points for the factors
equals the job size.
featherbedding A type of restrictive work practice that
involves the use of too many employees for the actual work to be
performed.
feedback The extent to which the job permits the employee
to obtain clear and direct knowledge about how well they are doing.
fixed interval schedule Frequency of reinforcement is determined
by an interval of time (for example, hour, day, week, month, year).
fixed ratio schedule Occurs when an employee is rewarded
after producing a fixed number of items or performing an activity
a fixed number of times.
flat organisation structure Organisation structure with
a wide span of control, few managerial levels and a short chain
of command.
flexitime System that allows employees to choose their
own starting and finishing times within a broad range of available
hours.
focus groups Groups of employees who are brought together
to confidentially discuss specific HR topics such as a companys
pay-for-performance program, restructuring, quality of management,
and so on.
foreign service premium Paid to the expatriate as compensation
for being located outside of their home country.
fringe benefits Indirect or non-cash compensation items
such as life insurance, medical benefits, sick leave and the like.
fringe benefits tax Australian federal government tax designed
to tax organisations on the benefits provided by them to their employees.
functional competency Concerned with job-specific competencies.
For example, can the person satisfy the skills, knowledge and experience
requirements of the job to perform at a satisfactory level?
Functional Job Analysis Job analysis method that uses standardised
statements and terminology to describe the nature of jobs and to
prepare job descriptions and job specifications.
gainsharing An incentive system that shares the gains from
productivity improvements with the employees who made the improvements.
gender The social construction of males and females. It
describes what is seen as appropriate rules and behaviour for men
and women.
general union A union that represents workers without regard
to their skill, qualifications, occupation or industry (for example,
the Australian Workers Union).
genetic screening Biological testing that can determine
whether a job applicant is genetically susceptible to certain diseases,
such as cancer and heart disease or to specific chemical substances.
glass ceiling Occurs when people can see higher-level positions
but are blocked by an unseen barrier, such as discrimination.
glass walls A hypothetical barrier that faces women (and
minorities) in moving across functions in an organisation.
goal Also called an objective or target. A goal is a desired
result. It may be quantitative or qualitative. A goal should be
measurable and have a deadline.
goal setting The process of defining an objective or target
to achieve. Gives a sense of purpose or direction to an action.
go slows Occur when workers refuse to work at their normal
pace in order to pressure management into making a concession. Often
implemented by working strictly according to the rules.
government employment agencies Sometimes called personnel
consultants. Typically specialise in the recruitment of clerical
and secretarial personnel.
grading Employees performance is matched with a specific
grade definition such as superior, good, acceptable, marginal and
unsatisfactory.
graphic scales Rating scale that evaluates employee performance
using specific employee behaviour or characteristics (for example,
quality and quantity of output, reliability, etc.).
graphology The study of handwriting for the purpose of
measuring personality.
grievance Any dispute or difference arising between the
employer and an employee or the union.
grievance procedure A formal, systematic process that permits
employees to complain about matters affecting them and their work.
group incentives Incentives designed to recognise group
as opposed to individual performance.
group interviews Meetings in which several job applicants
interact in the presence of one or more company representatives.
halo effect A problem that occurs during performance appraisal,
when a supervisors rating of a subordinate on one factor biases
the rating of that person on other factors.
harassment Behaviour designed to make a person feel unwelcome,
offended, humiliated and/or intimidated.
hardship allowance Paid to compensate the expatriate for
hardship resulting from physical isolation, cultural and language
differences, extremes of climate, political instability and other
inconveniences.
hardware Physical parts of a computer; for example, the
hard drive.
health and safety committee Joint employeremployee
committee responsible for examining OHS matters in the workplace.
health and safety representative (HSR) Employee charged with
representing the OHS interests of a work group.
high-context cultures Cultures where non-verbal communications
(such as body language and gestures) and indirect language are used
to transfer meaning. China and Japan are examples of high-context
cultures.
HIV/AIDS Human immunodeficiency virus that causes a breakdown
in the bodys immune system and can lead to the development
of AIDS.
HIV/AIDS testing Medical tests designed to determine the
presence of AIDS in job applicants or existing employees.
home-country national An expatriate who is a citizen of
the country where a multinational company is headquartered; for
example, an American working for a company with its headquarters
in the United States.
homosocial reproduction Sometimes called comfort
cloning. Occurs when existing groups of people replicate themselves
through selecting people like themselves to join their group.
honesty tests Tests designed to evaluate a candidates
honesty and integrity.
horizontal loading Job enrichment through the addition
of tasks of a similar nature.
host-country national A local employee of the foreign location
working for a multinational; for example, a Singaporean working
in Singapore for a US multinational.
hostile work environment Occurs when an employee is subjected
to unwanted harassment in the workplace.
HR audit Involves a systematic analysis and evaluation
of the efficiency and effectiveness of the HRM function and its
contribution to the achievement of the organisations strategic
business objectives.
HRIS security Concerned with the protection of HRIS data
from invasion and abuse by unauthorised parties.
HRM activities Refers to HR activities such as job analysis,
HR planning, recruitment, etc.
human capital The knowledge, skills and abilities of an
organisations employees.
human relations movement Recognises that employees seek
more than financial rewards from their jobs. Focus is on group norms
and behaviour.
human resource development (HRD) Includes training and
development, career planning and performance appraisal. Its focus
is on the acquisition of the required attitudes and knowledge to
facilitate the achievement of employee career goals and organisational
strategic business objectives.
human resource information system (HRIS) Use of computers
to systematically generate relevant and timely information for the
making of HRM decisions.
human resource planning The process of systematically reviewing
human resource requirements to ensure that the required number of
employees, with the required skills, are available when they are
needed.
human resource management (HRM) Involves the productive
use of people in achieving the organisations strategic business
objectives and the satisfaction of individual employee needs.
human resource strategy A firms deliberate use of
human resources to help it to gain or maintain an edge against its
competitors in the marketplace.
humanistic (soft) HRM Recognises the need for the integration
of HR policies and practices with the organisations strategic
business objectives, but places emphasis on employee development,
collaboration, participation, trust and informed choice.
hygiene factors Lower-order employee needs that are met
by pay, working conditions, interpersonal relations, supervision,
company policy and administration.
in-basket exercises See in-basket training.
in-basket training A simulation in which the participant
is asked to establish priorities for handling a number of business
papers, such as memoranda, reports and telephone messages, that
would typically cross a managers desk.
incentive A reward to be given if a specified goal is achieved.
incentive compensation Compensation that is linked to performance
by rewarding employees for actual results achieved instead of seniority
or hours worked.
indirect discrimination Occurs when policies, procedures
and practices that appear to be neutral (that is, non-discriminatory)
produce adverse outcomes for people with specific characteristics.
individual incentives Incentives directly linked to individual
(as opposed to group or team) performance.
industrial democracy Type of employee participation that
involves a redistribution of decision-making power from management
to employees (often via a trade union).
industrial relations Involves employees and their unions,
employers and their associations and governments and the industrial
tribunals that make regulations governing the employment relationship.
Industrial Relations Commission (IRC) Federal industrial
tribunal charged with preventing and settling industrial disputes.
industrial tribunal Refers to government tribunals charged
with preventing and settling industrial disputes.
industrial unions Sometimes called general unions. Include
all types of workers ranging from unskilled to skilled.
information Data that have been analysed and processed.
instrumental (hard) HRM Stresses the rational, quantitative
aspects of managing human resources. Performance improvement and
improved competitive advantage are highlighted.
instrumentality The degree to which an employee believes
that performing at a specific level will bring about a desired result.
intellectual capital The knowledge that exists within an
organisation.
intellectual disability Refers to an impairment of a persons
mental functioning. A person is determined to have an intellectual
disability if they have an IQ score of less than 705 and have
difficulties with adaptive skills (e.g. following and understanding
directions). Intellectual disabilities may result from genetic factors
(e.g. Down Syndrome), physical factors (e.g. injuries, accident,
infection) or environmental factors (e.g. inadequate nutrition).
intelligence tests Measure an individuals intelligence
(IQ) (that is, ability to reason).
interest tests Aim to measure how an applicants interest
patterns compare with the interest patterns of successful people
in a specific job.
internal equity Payment to employees according to the relative
values of their jobs within an organisation.
international HRM HRM as practised by multinational organisations.
Its focus is the management of people in a multi-country context.
Internet A global network of electronic information sources.
It enables people to send mail, access reference material, share
documents electronically and send computer software directly from
one computer to another.
interviews The job analyst interviews the job holder about
the duties performed.
intranet A system of computers that enables employees within
an organisation to communicate with each other.
IT (information technology) department Responsible for the
methods and equipment that provide information about all aspects
of the operation of an organisation.
job A group of tasks that must be performed if an organisation
is to achieve its objectives.
job analysis A systematic investigation of the tasks, duties
and responsibilities of a job and the necessary knowledge, skills
and abilities a person needs to perform the job adequately.
job analysis questionnaire Questionnaire specially designed
to collect information about job content, how the job is done and
the personal requirements needed to do the job successfully.
job analysts People who collect information about job content,
how the job is done and the personal requirements needed to do the
job successfully.
Job Characteristics Model An example of comprehensive job
enrichment. It combines both horizontal and vertical loading to
stimulate employee motivation and satisfaction.
Job characteristics theory See Job Characteristics Model.
job description A written statement explaining what a job
holder does, how the work is performed and where and when it is
performed.
job design Specification of the content of a job, the material
and equipment required to do the job, and the relation of the job
to other jobs.
job dissatisfaction Employee dissatisfaction caused by
poor pay, working conditions, supervision and/or company policy
and administration.
job enlargement The horizontal expansion of a job by adding
similar level responsibilities.
job enrichment The vertical expansion of a job by adding
planning and decision-making responsibilities.
job evaluation The systematic determination of the relative
worth of jobs within an organisation.
job grading Job evaluation method that sizes jobs using
a series of written classifications.
job hierarchy A list of jobs in order of their importance
to the organisation, from lowest to highest.
job posting Advertising of job openings to current employees
via bulletin boards, newsletters or personal letters.
job pricing Placing a dollar value on the worth of a job.
job ranking Job evaluation method that sizes jobs by placing
them in rank order.
job rotation Increases task variety by moving employees
from one task to another.
job satisfaction The degree to which employees have positive
attitudes about their jobs.
job sharing A concept that allows two or more people to
share a single full-time job.
job specialisation Involves the use of standardised work
procedures and having employees perform repetitive, precisely defined
and simplified tasks.
job specification A written statement of the qualifications,
skills and know-how a person needs to perform a given job successfully.
knowledge management Deals with an organisations
ability to collect, store, share and apply knowledge in order to
enhance its survival and success.
knowledge worker A worker who transforms information into
a product or service.
labour market The geographical area from which employees
are recruited for a particular job.
large-group incentives Designed to cover large groups of
employees. Typically use broad achievement measures such as profit
or sales.
lateral career Career path where an employee undertakes
a series of lateral moves (often in different functions) instead
of moving upward within the organisation.
lay off Separation of the employee from the organisation
because of economic or business reasons.
lean organisation Organisation with relatively few managers
overall and a low ratio of staff managers to line managers.
learning curve A graphical representation of the rate at
which a person learns something over time.
learning organisations Organisations where the focus is
on the acquisition, sharing and utilisation of knowledge to survive
and prosper.
leniency bias Occurs when employees are rated more highly
than their performance warrants.
lifelong employment Situation where an employee is guaranteed
a job for their entire working life.
line manager A manager who is authorised to direct the
work of subordinates and is responsible for accomplishing the organisations
objectives.
line of sight The relationship between employee control
and influence over the end result. The more direct the relationship,
the stronger the line of sight.
local area network (LAN) Computer network connecting a
group of computers within one work site, allowing them to exchange
data and share hardware and software.
local employee Someone who lives and works in their home
country.
local nationals Citizens of the host country in which the
business is located; for example, a Singaporean working for an Australian
company in Singapore.
lockout Refusal by management to let workers enter a plant
or building to work.
log of claims A list of demands covering pay and conditions
of work typically made by a union on an employer.
lost-time injury A severe job-related injury that causes
an employee to be absent from the job.
low-context cultures Cultures where verbal communications
are explicit and direct. What is said is what is meant. Australia
and the United States are examples of low-context cultures.
mainframes Biggest, fastest and most expensive class of
computer.
management Art of getting things done through people.
management by objectives (MBO) Involves setting specific
measurable goals with each employee and then periodically reviewing
the progress made.
management development Any attempt to improve current or
future management performance by imparting knowledge, changing attitudes
or increasing skills.
Management Position Description Questionnaire Job analysis
method that uses a behaviourally oriented, structured questionnaire
to describe, compare, classify and evaluate management positions.
management recruitment consultants Concentrate on advertised recruiting
for professional and managerial positions.
management style Reflects the particular approach used
by a manager to achieve goals through other people.
managerial prerogatives The decision-making rights considered
by management as essential for the efficient and effective operation
of the organisation.
managing diversity See diversity management.
mandatory retirement Designated age at which all employees
must retire from the organisation (usually 65 years).
market postures Determine where an organisation seeks to
be in the pay market above market, market average or below
market.
Markov analysis A mathematical technique used to forecast
the availability of internal job candidates.
Marxist approach Sees industrial conflict as an aspect
of class conflict. The solution to worker alienation and exploitation
is the overthrow of the capitalist system.
medical examination Examination to determine whether an
applicant is physically fit to perform a job.
mentor A person (generally an experienced manager) who
helps a younger employee to advance his or her career by offering
advice, giving instruction and opening up career opportunities.
mentoring A developmentally oriented relationship between
senior and junior colleagues or peers that involves advising, role
modelling, sharing contacts and giving general support.
merger Combination of two or more firms to form one new
company, which often has a new corporate identity.
merit Concerned with excellence, superiority and/or being
the best qualified.
merit grid Technique used to allocate rewards linked to
performance.
merit pay Any salary increase awarded to an employee based
on their individual performance.
microcomputer Smallest and least expensive class of computer.
Generally called a personal computer (PC).
microprocessor The logic, mathematic and central functions
contained in a computer chip.
middle managers Managers who are concerned with implementing
the plans and policies of top managers.
minicomputers Computers that are more powerful than a microcomputer
but less powerful than a mainframe computer.
mission General purpose or reason for an organisations
existence.
mission statements The operational, ethical and financial
reasons for an organisations existence.
motivation That which energises, directs and sustains employee
behaviour.
motivators Job-centred factors such as achievement and
responsibility which, when present in a job, moderate employees.
motivator factors Higher-order employee needs for achievement,
recognition, an interesting job, responsibility and advancement.
multimedia training Training that combines audiovisual
training methods with computer-based training.
multisource evaluations (360-degree appraisals) Seek performance
feedback on employees from their colleagues, superiors, customers
and subordinates. Popular in companies with teams, TQM and employee
involvement programs.
needs hierarchy Sequence of five human needs, as proposed
by Maslow physiological, safety, social, esteem, and self-actualisation
needs.
negative reinforcement Also called avoidance learning.
Involves the withdrawal or withholding of punishment when the desired
behaviour occurs.
negotiation The process by which one party (for example,
a union) seeks to get something it wants (for example, a pay increase)
from another party (for example, an employer) through persuasion.
networking Using informed contacts inside and outside an
organisation.
non-contributory superannuation Scheme where all contributions
to the retirement plan are made by the organisation.
non-traditional employees Employees who are not part of
the dominant group because of sex, race/ethnicity, disability or
some other characteristic.
objective (bargaining) The goal or target solution. It
gives a sense of direction or purpose to the negotiation.
objectives Measurable targets to be achieved within a certain
time frame.
observation The job analyst observes an employee working
and records the duties performed.
occupational health and safety (OHS) Concerned with the
provision of a safe and healthy work environment.
occupational union A union that represents workers from
one occupation (for example, nurses or teachers).
off-the-job training Employment training that takes place
away from the workplace.
off-the-shelf Commercially available HRIS software.
on-the-job training Employment training that takes place
at the job site and tends to be directly related to the job.
operant conditioning Also called learning by reinforcement
or behaviour modification. Focuses on rewards and punishments and
the effect that they have on employee behaviour.
optimal turnover Employee turnover that sees unwanted (i.e.
low performing) employees depart and valued (i.e. high performing)
employees stay.
options Provide the opportunity for employees to be given
shares, or to buy a specified number of shares at or below current
market price.
organisation chart Shows the relationships between jobs
and those given authority to do those jobs.
organisation incentives Cover all employees in an organisation
and can take the form of a bonus, standard incentive or at-risk
incentive.
organisational competency Concerned with what and how a
person can contribute to the achievement of the organisations
objectives.
organisational culture See corporate culture.
organisational structure Refers to the organisations
framework or design.
orientation (expatriate) The introduction of the expatriate
and their family to the culture, living conditions, etc. of the
host country.
orientation (new hire) The introduction of new employees
to their job, their colleagues and the organisation.
outplacement Special assistance given to terminated employees
to help them to find jobs with other organisations.
outsourcing Subcontracting work to an outside company that
specialises in and is more efficient at doing that kind of work.
panel interview An interview in which a group of interviewers
question the applicant.
partial reinforcement Occurs when rewards are given occasionally
after each desired behaviour; that is, the desired behaviour is
not rewarded each and every time.
participation rate Refers to the numbers of a particular
group in the work force. For example, the increased participation
rate of women in the work force is one of the most significant demographic
changes to occur in recent times.
pattern bargaining Occurs when the same (or essentially
the same) pay and conditions are negotiated for several firms (often
in the same industry).
patterned interview An interview using a set sequence of
questions that every candidate is asked.
pay compression Occurs when workers perceive that the pay
differential between their pay and that of employees in jobs above
or below them is too small.
pay for performance Pay system that rewards employees on
the basis of their performance.
pay policy A firms decision to pay above, below or
at the market rate for its jobs.
pay secrecy Occurs where salaries are kept confidential
between the employer and the employee.
peer review A performance appraisal system in which workers
at the same level in the organisation rate one another.
performance Relates to the achievement or non-achievement
of specific results designated to be accomplished.
performance appraisal Concerned with determining how well
employees are doing their jobs, communicating that information to
employees and establishing a plan for performance improvement.
performance appraisal record Document used to record the
performance ratings and supervisor comments on an employees
performance.
performance management Aims to improve organisational,
functional, unit and individual performance by linking the objectives
of each. Incorporates job design, recruitment and selection, training
and development, career planning and compensation and benefits,
in addition to performance appraisal.
performance range Salary administration technique used
to better align performance with rewards.
performance review discussion Where the manager and subordinate
mutually review the employees job responsibilities, performance
improvement and career goals.
performance standards The benchmarks against which performance
is measured.
personality tests Measure basic aspects of a persons
personality or temperament (such as level of motivation, assertiveness,
sociability, etc.).
personnel consultancies Privately owned employment agencies.
personnel management (PM) Emphasis is on the administration
of activities such as selection, training, welfare and industrial
relations. As such, it is regarded as reactive and non-strategic.
physical disability Refers to an impairment of the body
(e.g. someone who is missing a limb or who is paralysed). It can
also include impairments to physical abilities resulting from diseases
or conditions such as arthritis, back injuries and muscular dystrophy.
Sometimes, people also refer to sensory disabilities (e.g. visual
or hearing impairments) as physical disabilities.
piecerate Incentive system in which compensation is based
on the number of units produced or sold. Employees are paid according
to their level of output as opposed to a fixed amount per day, week
or month.
placement Assignment of an employee to a new or different
job.
plan Action step that identifies how an objective or goal
is to be achieved.
plateauing A career condition that occurs when job functions
and work content remain the same because of a lack of promotional
opportunities within the firm.
pluralist approach Regards conflict as inevitable because
employers and employees have conflicting interests. Trade unions
are seen as a legitimate counter to management authority.
point system An approach to job evaluation in which numerical
values are assigned to specific job factors and the sum of those
values provides a quantitative assessment of a jobs relative
worth.
policy A general statement that guides decision making.
polygraph Lie detector that records changes in a persons
physiology (such as heart rate, blood pressure) in response to a
structured set of questions.
portability The ability of an employee to transfer without
penalty their accrued retirement benefits from one superannuation
plan to another superannuation plan.
Position Analysis Questionnaire Job analysis method that
uses a structured questionnaire for quantitatively assessing jobs.
Position Classification Inventory Job analysis inventory
that can be used to classify occupations and assess personjob
fit.
positive reinforcement Encourages a desired behaviour by
repeatedly pairing the desired behaviour with rewards.
post-exit questionnaire Survey questionnaire used with
departed employees to find out why they left the organisation, their
feelings about the company, their supervision, and so on.
predictor A selection criterion, such as the level of education
or scores in an intelligence test.
prejudice Where a manager demonstrates a positive or negative
bias.
preventive health programs Programs designed to promote
employee health and fitness. Examples include physical fitness,
stress reduction, weight loss and smoking cessation.
pro-active When managers anticipate problems and take corrective
measures to minimise their effect.
process theories Attempt to explain motivation in terms
of the thought processes that employees go through in choosing their
behaviour.
processing speed Speed at which a computer can process
information and produce a report.
productivity The overall output of goods and services produced,
divided by the inputs needed to generate that output.
profession An occupation having a common body of knowledge,
a code of ethics and a procedure for certifying its practitioners.
professional association Group of specialists who join
together to advance their profession and enhance their own personal
development.
professional ethics Rules and principles that define right
and wrong professional conduct.
professional literature Literature relating to a particular
academic discipline or professional occupation.
profit centre A unit where performance is measured by the
difference between revenues and expenditures.
profit share Reward program that gives employees additional
income based on the profitability of a work unit division or the
entire organisation.
profit sharing A plan whereby employees share in the companys
profits.
programmed instruction Based on the principles of operant
conditioning. It involves presenting questions or facts, getting
the trainee to respond, and then giving the trainee immediate feedback
on the correctness of their answer.
promotion The movement of a person to a higher level position
in the company.
promotion from within Policy that gives preference to existing
employees when filling a job vacancy.
psychological contract Unwritten expectations of an employee
or an employer.
punishment Occurs when negative consequences are experienced
after the undesired behaviour is demonstrated.
qualitative HR planning The use of the opinions of experts
to predict future HR requirements.
quality circles Small groups of employees who meet regularly
to identify and solve work-related problems.
quality of work life Involves the quality of supervision,
working conditions, pay and benefits and the nature of the job.
quantitative HR planning Use of statistical and mathematical
techniques to forecast demand and supply of labour.
quid pro quo Involves a negotiator requesting a trade-off
for every concession asked for; that is, something is always demanded
for something.
racial vilification A particular form of discrimination
sometimes called racial harassment.
ranking The manager compares their subordinates performance
then ranks each in order from best to worst.
rater errors Errors in the evaluation of an employees
performance resulting from leniency, strictness, bias, central tendency,
prejudice, recency effect and the like.
reactive When managers wait until a problem occurs before
taking action.
realistic job preview A method of conveying job information
to an applicant in an unbiased manner, including both positive and
negative factors.
reasonable notice The amount of notice to be given to an
employee before actual termination. What constitutes reasonable
or sufficient notice is dependent on the particular circumstances
of each case.
recency effect The use of most recent events to evaluate
employee performance instead of using a longer, more comprehensive
time frame.
recognition programs Make use of various rewards such as
cash, merchandise, travel, certificates and the like.
recruitment The process of seeking and attracting a pool
of qualified applicants from which candidates for job vacancies
can be selected.
recruitment methods The specific means by which potential
employees are attracted to an organisation.
recruitment sources Where qualified individuals are located.
red circle salaries Salaries that are above the range maximum for
a job.
redundancy Employee termination resulting from the permanent
elimination of some jobs because organisational or technological
change has removed the need for those particular skills.
re-entry The repatriation or return of an expatriate to
their home country after an international assignment.
re-entry shock The reverse culture shock experienced when
the expatriate returns to their home country.
reference check (background investigation) Investigation
of the background of job candidates. Includes contacting previous
employers, verifying dates of employment, salary and job title,
as well as reports from credit agencies, letters of reference, and
so on.
reinforcement The strengthening or weakening of a behaviour
through the use of rewards or punishments.
relationship capital The value of an organisations
relationships with its suppliers, customers and competitors.
relationship effect This occurs where the nature of the
superior/subordinate relationship influences a performance rating.
reliability The extent to which a measure (for example,
a test) is consistent and dependable.
renewal capital The intellectual property (patents, trademarks,
copyrights, licences) of an organisation that have marketable value.
repatriation The return of the expatriates to their home
country on the completion of an overseas assignment.
replacement chart A visual representation of which employee
will replace the existing incumbent in a designated position when
it becomes vacant.
resignation Voluntary departure of an employee from a job.
resignation rate A standard method of computing employee turnover
that focuses on that part of employee turnover due to resignations.
restrictive work practices Any practice designed to restrict
the efficient and effective operation of an organisation. Examples
include featherbedding, demarcations and limits placed on output.
restructuring Involves a major change to an organisation
via downsizing, flattening, elimination of departments, and so on.
retirement Permanent separation of an employee from the
company (usually at a specified age; for example, age 60).
retrenchment Employee termination because of changing business,
financial, technological or organisational circumstances.
reverse discrimination Occurs when a more qualified candidate
from the majority group is denied an opportunity in preference to
a less qualified candidate from a minority group.
role ambiguity Occurs when employees are uncertain of what
they are expected to do in a job.
role conflict A condition that occurs when an individual
is expected to achieve opposing goals.
role-playing A training technique where the trainee assumes
a role in order to learn how others feel and think.
role-plays Training activities in which participants assume
the roles of specific people in situations (such as the roles of
interviewer and job applicant), act out the event and then review
the implications of their behaviour.
Rucker plans Gainsharing plans that calculate employee
gains using a value-added formula.
rust-out Stress produced from having too little to do.
salaried operations Involves all employees being treated
equally as staff rather than as staff and wages (or union) personnel.
salary Compensation that is consistent from period to period
and is not directly related to the number of hours worked by the
employee.
salary formula The straight line (least squares) formula
used to calculate the organisations salary line.
salary line Graphically depicts the salaries currently
being paid for jobs, related to job size.
salary policy line A graphical representation of the organisations
predicted salary mid points.
salary range Sets the minimum and maximum scheduled amounts
paid for a job at a particular job size.
salary reviews Management reviews of present salaries to
determine if an increase is to be given and, if so, how much and
when.
salary structure Presents all salary ranges over the whole
spectrum of job sizes.
salary survey The vehicle for relating an organisations
salaries to those for similar jobs in other organisations.
Scanlon plan A gainsharing plan designed to link employee
rewards to the firms performance.
scientific management Explanation of employee motivation
based on the work of Frederick Taylor. Emphasises the division of
labour, task specialisation, time measurement and the use of monetary
rewards.
secondary boycott The practice of a union attempting to
encourage third parties (such as suppliers and customers) to stop
doing business with a firm.
selection The process of choosing from a group of applicants
those individuals best suited for a particular position.
selection criteria Key factors in making a decision to
hire or not to hire a person. May include qualifications, experience,
special skills, abilities or aptitudes. Selection criteria should
be job-related.
self-actualisation Becoming what one is capable of becoming.
self-evaluation Occurs where the employees evaluate their
own performance.
self-fulfilling prophecy Occurs when expectations about
someone cause them to behave in a way consistent with the expectations.
self-regulation (OHS) Applies where employers are held
responsible for providing a safe and healthy work environment. Emphasis
is placed on education and information rather than detailed government
regulation.
seniority The length of an employees service with
the organisation in relation to other employees.
seniority-based pay Occurs where pay levels and increases
are determined by length of time on the job and not performance.
seniority system Where the length of time that an employee
has worked with an organisation is given recognition and priority
for promotions and salary increases.
separation rate A standard method of computing employee
turnover. Includes both avoidable and unavoidable separations.
sex Relates to having male or female physical characteristics.
sex discrimination Occurs when an individual is disadvantaged
in employment because of sexual prejudice.
sexual harassment Behaviour involving sexually suggestive
remarks, unwanted touching and sexual advances, requests for sexual
favours, or other verbal or physical conduct of a sexual nature.
shop stewards Elected union officials who represent union
members to management when workers have complaints.
sick leave Provides pay for an employee when they are absent
from work because of illness.
simulation A training device designed to reproduce a real-world
situation in a risk-controlled learning environment.
skill-based pay A system that compensates employees on
the basis of job-related skills and the knowledge they possess.
skills inventory A company-maintained record of employees
abilities, skills, knowledge and education.
skills variety The degree to which a job holder requires
a variety of activities, skills and talents to perform the job.
small-group incentives Incentives designed to reward work
teams, project groups or departments.
social loafing Occurs when an employee expends less effort
and performs at a lower level when working in a group than when
working alone.
socio-technical enrichment Focuses on the relationship
between technology and groups of workers. The aim is to integrate
people with technology.
software Program of instructions that makes computers perform.
specialisation Occurs when a very limited number of tasks
are grouped into one job.
split halves method A method of determining the reliability
of a test by dividing the results into two parts and then correlating
the results of the two parts.
sponsor A sponsor is a person who creates career development
opportunities for others.
staff personnel People in an organisation who provide advice
and specialised support services to line personnel.
stakeholder Any individual group or organisation that is
affected by or has a vested interest in an organisations policies
and decisions.
statutes Acts of parliament that legislate the minimum
conditions of employment that must apply in any employeremployee
relationship.
stock option plan The opportunity for employees to buy
a specified amount of stock (shares) in the company in the future
at or below the current market price.
strategic choice Refers to managers being pro-active (as
opposed to reactive) in facilitating the organisations successful
adaptation to changes in its environment.
strategic compensation Involves compensation practices
being aligned with the achievement of the organisations strategic
business objectives.
strategic HRM Focuses on the linking of all HR activities
with the organisations strategic business objectives.
strategic intent Sustained obsession to achieve a challenging
long-term objective.
strategic partner Refers to HR managers being an essential
part of the management team running an organisation and contributing
to the achievement of the organisations objectives by translating
business strategy into action.
strategic planning The determination of overall organisational
purposes and goals and how they are to be achieved.
strategic recruitment The linking of recruiting activities
to the organisations strategic business objectives and culture.
strategic selection The linking of selection activities
to the organisations strategic business objectives and culture.
strategy Defines the direction in which an organisation
intends to move and establishes the framework for action by which
it intends to get there.
strategy (negotiating) The overall game plan designed to
achieve the negotiating objectives.
strategy formulation Involves selecting an organisations
mission, key objectives and business strategies.
strategy implementation Involves designing an organisations
structure and control systems and evaluating the selected strategies
in achieving the organisations key objectives.
stress A condition of strain that affects ones emotions,
thought processes and physical condition.
stressors Stressors are conditions that cause stress.
strictness bias Occurs when employees are rated lower than
their performance justifies.
strike Refusal by employees to work until their demands
are met by the employer.
strikebreakers Non-union employees hired to replace striking
union workers; also called scabs.
structural capital The knowledge that is captured and retained
in an organisations systems and structures.
structural or systemic discrimination A form of hidden
or indirect discrimination that is the product of social conditioning
and that has become embedded within the system; for example, the
view that it is natural for women to be secretaries
and men to be engineers.
structured interview Uses a predetermined checklist of
questions that usually are asked of all applicants.
subordinate evaluations Sometimes called upward appraisals.
Involve the subordinate evaluating the performance of their superior.
substance abuse Concerned with alcohol, tobacco and other
drug addiction.
succession planning A career development activity that
focuses on preparing high-potential employees to fill management
positions.
successive hurdles approach Involves the screening out
of candidates at each stage of the selection process.
summary dismissal Dismissal based on an employees
serious breach of the employment contract (for example, physical
and verbal abuse, drunkenness, neglect of duties and dishonesty).
superannuation Benefit paid as a pension and/or lump sum
to help employees to meet their financial needs in retirement.
supervisors Lowest level of managers, responsible for managing
operating employees.
SWOT analysis Review of an organisations strengths
and weaknesses and the opportunities and threats in its environment.
sympathy strike Strike mounted by workers not directly
involved in an industrial dispute to support strikers who are directly
involved.
systematic approach to training Three-step approach to
training that involves: (a) assessment of training needs; (b) conduct
of the training activity; and (c) evaluation of the training activity.
tactics (negotiating) Moves or ploys used to facilitate
the successful negotiating strategy.
tall organisation structure Organisation structure with
a narrow span of control, many managerial levels and a long chain
of command.
task identity Means doing an identifiable piece of work,
thus enabling the worker to have a sense of responsibility and pride.
task significance Means knowing that the work one does
is important to others in the organisation and outside it.
tax equalisation Ensures that the expatriate does not suffer
a loss or windfall gain because of differences between home-country
tax and the host-country tax obligations. This is achieved by the
expatriate being taxed at the home-country tax rate irrespective
of the host-country tax rate.
tax protection Ensures that the expatriate does not suffer
a loss in spendable income because of higher host-country taxes
(by reimbursing the expatriate if the actual host-country taxes
exceed the hypothetical home-country tax obligation).
team appraisals Appraisals that are specially designed
to evaluate how well a team has performed.
testretest method Determines selection test reliability
by giving the test twice to the same group of individuals and correlating
the two sets of scores.
Theory X The assumption that employees dislike work, are
lazy, seek to avoid responsibility and must be coerced to perform.
Theory Y The assumption that employees are creative, seek
responsibility and can exercise self-direction.
third-country national A citizen of a country differing
from the home or host country; for example, a Singaporean working
for an Australian company in Hong Kong.
total compensation The package of quantifiable rewards
an employee receives for their labour; includes three components:
base compensation, incentives and indirect compensation/benefits.
total quality management (TQM) Involves an organisation-wide
commitment to continuous improvement and satisfying customer needs.
trade unions Formal organisations that represent individuals
employed in one organisation, throughout an industry or in an occupation.
traditional career path A vertical line of career progression
from one specific job to the next, more senior job.
training Represents activities that teach employees how
to better perform their present jobs.
training needs analysis Identifies training needs and translates
them into training objectives.
transaction processing Discrete actions undertaken by a
computer that are common and repetitive; for example, payroll calculation.
transfers Occur when an employee is moved from one job
to another that is relatively equal in pay, responsibility and organisational
level.
transfer of training Relates to the transfer of training
to the work situation. The greater the transfer, the more effective
the training.
transformational research An information-gathering approach
designed to help organisations to create an improved employment
relationship.
tripartite approach (OHS) Approach to OHS involving the
active participation of employers, unions and government.
trust A measure of how willing employees are to share information,
cooperate with one another and not take advantage of each other.
turnover The loss of employees by the organisation. It
represents those employees who depart for a variety of reasons.
turnover analysis Involves an examination of why employees
leave an organisation.
unfair dismissal Occurs where a dismissal is harsh, unjust
or unreasonable, but need not involve a fundamental breach of the
employment relationship.
union preference Situation where job applicants who are
union members have to be given preference in employment over non-union
members.
unitarist approach Industrial relations is grounded in
mutual cooperation, individual treatment, teamwork and the sharing
of common objectives. Trade unions are regarded as competitors for
the employees commitment and cooperation.
unstructured interview Uses few, if any, planned questions.
It enables the interviewer to pursue, in depth, the applicants
responses.
upward appraisals Appraisals where the subordinate evaluates
the performance of a superior.
valence The value or importance that an employee places
on a potential result or reward that can be achieved.
validity The extent to which something measures what it
claims to measure.
value-added Activity that increases worth or utility.
vapourware Occurs when there is a discrepancy between what
software claims to do and what it can actually accomplish.
variable interval schedule Rewards are administered at
varied intervals.
variable pay component That part of pay that is not guaranteed
and is at risk; that is, it is paid only if the performance target
is met.
variable ratio schedule Rewards are administered only after
an employee has performed the desired behaviour a number of times.
vertical career Traditional career path where an employee
enters the organisation at a junior level and progresses upward
to more senior positions over a period of time.
vertical loading Job enrichment through increased opportunities
for responsibility, decision making, recognition, personal growth
and achievement.
vestibule training Training that takes place away from
the production area on equipment that closely resembles the actual
equipment used on the job.
vesting Provision in a retirement plan that gives employees
a right to specific benefits after a stated number of years of service.
volunteer mindset Employees are internally motivated (that
is, they are self-motivated) to perform.
wage Pay directly calculated on the basis of time worked.
wage and salary surveys Studies made by an organisation
to discover what other employers in the same labour market are paying
for specific key jobs.
Web site The Web address or location of an organisation;
for example, the Web site for the Australian Human Resources Institute
is www.ahri.com.au.
Web-based training Refers to training that is delivered via
the Internet.
wildcat strikes Spontaneous work stoppages that take place
in violation of the labour contract and are officially against the
wishes of the union leaders.
winlose bargaining Sees the negotiation as a competitive
conflict with one party winning and the other party losing.
winwin bargaining Sees the negotiation as a cooperative
problem-solving exercise that will benefit both parties.
work climate Refers to the overall feeling
of the work environment as conveyed by the physical layout and surroundings,
employee social interaction and employeemanagement relationships.
workers compensation A legally required benefit that provides
medical care, income continuation and rehabilitation expenses for
people who sustain job-related injuries or sicknesses.
workfamily conflict The conflicting demands made
on an individual by home and work.
workplace relations Refers to employeremployee relations
in a specific workplace (for example, at a factory site or branch
office) as distinct from the total organisation or industry.
workplace violence Violent behaviour occurring in the workplace.
Worksafe Australia Peak Australian occupational health and
safety organisation.
wrongful dismissal Occurs when an employees employment
is terminated by an employer for reasons that are in breach of the
employment contract.
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