Chapter 10 Developing Employees and Their Careers Employee development are activities that influence personal and professional growth Career development are activities that help people manage the progression of their work experiences across Training is concerned with ensuring that employees have KSA to ensure job performance Bargain laborer focus on development to attract employees from external labor market uses low cost their lives development options Loyal soldier focus on developing skills of existing employees uses low cost development options Free agent focus on development to attract employees from the external labor market uses development Committed expert focus on developing existing employees uses development for high level service and for high level service and innovation innovation Formal Education is a category of development that includes formal learning experiences they can be single events or a series with the goal to learn particular skills Used by organizations with a differentiated HR strategy Courses are designed for employees offered by consultants part of a degree program used to help achieve an organizational goal License is a required designation of competence within a professional field Certification is an optional designation of competence to offer value to an employee For example some HR certifications are Professional HR Senior PHR and Global PHR Assessment and feedback involves collecting information and providing feedback to employees about their interests personality behaviors skills and preferences Career assessments Holland typology identifies personality types based on realistic investigative artistic social enterprising and conventional It is self directed to align personal interests values and skills with a job environment Multisource assessments and feedback is a process in which peers answer questions about an employee Responses are combined and provide developmental feedback It is becoming a more frequent practice Manager View 360 measures 20 managerial competencies in task leadership problem solving communication and interpersonal skills This identifies strengths and weaknesses and trainging needs Work experiences knowledge and skills Job enrichment is the addition of challenges or new responsibilities to jobs Job rotation is a time limited lateral work assignment for the purpose of helping employees develop new Job transfer is a permanent lateral work assignment for the purpose of helping employeeS develop KSA Upward move results in an increase in responsibility pay and status Known as a promotion Downward move results in a decrease in responsibility pay and status Developmental relationships Coaching is when a person works with others to equip them with the tools knowledge and opportunities they need to become more effective at work Contracting and opening a preliminary phase setting clear understandings of the nature and duration of the relationship Practicing and planning core learning processes in which the coach and employees try out new Evaluating involves verifying that expectations have been met and that the relationship has worked behaviors out as planned Mentoring is when an experienced person helps a less experienced person learn and grow Mentors may provide career benefits by offering challenging work experiences providing advice offering political protection and sponsoring the employee in contests for promotions Mentors may provide psychological and social benefits such as building a sense of identity and personal competence A career is a pattern of work experiences that people have over a lifetime In previous generations careers involved schooling joining a company and staying until retirement Career ladder is characterized by step by step hierarchical transitions from jobs with lower pay and responsibilities to jobs with higher pay this is a typical progression Protean career is characterized by personal responsibility continuous and self directed development and Traditional career is characterized by organizational responsibility and commitment values power and a an emphasis on psychological success need for flexibility Career development process is a series of steps that people can use to identify and pursue their long term career goals Self assessment employees determine their interests values personalities and skills Reality check employees gather information to determine whether their self assessments are realistics and how they fit with opportunities in the labor market Goal setting setting milestones or achievements for the future Action planning employees make plans for how they will accomplish their goals Chapter 11 Motivating Employees through Compensation Employee compensation is a broad term in which includes pay and benefits such as insurance retirement savings and paid time off from work It is the total package of rewards both monetary and nonmonetary Encourage employees to put forth their best effort and perform in ways that help the company product its particular goods and services Equity External equity is concerned with the fairness of what the company is paying compared with others Organizations with an external labor orientation must assess how their compensation compares with that offered by other organizations Internal equity is concerned with the fairness based on how much they are paid relative to their coworkers Organizations with an internal labor orientation spend time and effort comparing and analyzing pay differences among their own employers Pay practices tend to be less secretive Use long term incentives Differentiation strategy Variable rewards system pays some employees substantially more than others in order to emphasize differences between high and low performers Variable transactional compensation is a rewards package that uses money to build commitment and emphasizes differences in the pay of high and low performers Free agent High pay levels with short term incentives Salary compression is a situation created when new employees receive higher pay than employees who have been with an organization for a long time even though they perform the same job Variable relational compensation develops long term loyalty and emphasizes differences in the pay of high and low performers Committed expert High performers rewarded with long term incentives For this strategy performance increases with pay because variable compensation gives rewards contingent on achieving goals Cost leadership Uniform