Human Resource Management in Perspective

Transcription

1 EDITION 1 PRINCIPLES OF HUMAN RESOURCE MANAGEMENT Scott SnelL Professor of Business Administration, University of Virginia Professor Emeritus of Management, Arizona State University SOUTH-WESTERN CENGAGE Learning- Australia Brazil 'Japan Korea Mexico Singapore Spain United Kingdom United States

2 PART Human Resource Management in Perspective Chapter 1 The Challenge of Human Resources Management 2 Why Study Human Resources Management? 4 Competitive Challenges and Human Resources Management 5 Challenge 1: Competing, Recruiting, and Staffing Globally 5 Challenge 2: Embracing New Technology 7 Highlights in HRM 1: A Guide to HR Internet Sites 8 Highlights in HRM 2: Automation of Talent Management Functions 11 Challenge 3: Managing Change 12 Challenge 4: Managing Talent, or Human Capital 13 Challenge 5: Responding to the Market 15 Challenge 6: Containing Costs 17 Demographic and Employee Concerns 22 Demographic Changes 22 Highlights in HRM 3: Social Issues in HRM 23 Cultural Changes 28 Highlights in HRM 4: Why Diversity? 30 The Partnership of Line Managers and HR Departments 31 Responsibilities of the Human Resources Manager 32 Competencies of the Human Resources Manager 33 Highlights in HRM 5: SHRM Code of Ethical and Professional Standards in Human Resource Management 35 Role of the Line Manager 38 Summary 39 Key Terms 40 Discussion Questions 41 HRM Experience: Balancing Competitive Challenges and Employee Concerns 41 vii

3 Case Study 1: A Chip off the Rock: Outsourcing HR at Prudential 42 Case Study 2: Managing "Daddy Stress" at Baxter Healthcare 43 Notes and References 45 Chapter 2 Strategy and Human Resources Planning 48 Strategic Planning and Human Resources 50 Strategic Planning and HR Planning: Linking the Processes 51 Step One: Mission, Vision, and Values 51 Step Two: Environmental Analysis 53 Competitive Environment 53 Step Three: Internal Analysis 57 The Three Cs: Culture, Capabilities, and Composition 57 Forecasting: A Critical Element of Planning 61 Highlights in HRM 1: HR Planning and Strategy Questions to Ask Business Managers 64 Assessing a Firm's Human Capital Readiness: Gap Analysis 67 Highlights in HRM 2: Succession-Planning Checklist 68 Step Four: Formulating Strategy 70 Corporate Strategy 70 Business Strategy 72 Highlights in HRM 3: Key HR Activities Associated with Merger or Acquisition Phases 73 Functional Strategy: Ensuring Alignment 75 Step Five: Strategy Implementation 76 Taking Action: Reconciling Supply and Demand 77 Step Six: Evaluation and Assessment 79 Evaluation and Assessment Issues 79 Highlights in HRM 4: Ten Measures of Human Capital 80 Measuring a Firm's Strategic Alignment 81 Ensuring Strategic Flexibility for the Future 82 Summary 84 Key Terms 85 Discussion Questions 85 HRM Experience: Customizing HR for Different Types of Human Capital 86

4 IX Case Study 1: Misplaced Affections: Discharge for Sexual Harassment 87 Case Study 2: A "Bad Hair Day" or Religious Custom? 89 Notes and References 90 Appendix: Calculating Turnover and Absenteeism 93 Employee Turnover Rates 93 Computing the Turnover Rate 93 Determining the Costs of Turnover 94 Employee Absenteeism Rates 94 Computing Absenteeism Rates 94 Highlights in HRM 5: Costs Associated with the Turnover of One Computer Programmer 95 Comparing Absenteeism Data 96 Costs of Absenteeism 96 Absenteeism and HR Planning 96 Notes and References 97 PART Meeting Human Resources Requirements Chapter 3 Equal Employment Opportunity and Human Resources Management 98 Historical Perspective of EEO Legislation 101 Changing National Values 101 Economic Disparity 102 Early Legal Developments 102 Government Regulation of Equal Employment Opportunity 102 Major Federal Laws 103 Highlights in HRM 1: Test Your Knowledge of Equal Employment Opportunity Law 104 Other Federal Laws and Executive Orders 114 Fair Employment Practice Laws 115 Other Equal Employment Opportunity Issues 116 Sexual Harassment 116 Highlights in HRM 2: Questions Used in Auditing Sexual Harassment 118

5 Highlights in HRM 3: Basic Components of an Effective Sexual Harassment Policy 119 Sexual Orientation 120 Immigration Reform and Control 120 Uniform Guidelines on Employee Selection Procedures 121 Enforcing Equal Employment Opportunity Legislation 124 The Equal Employment Opportunity Commission 124 Record-Keeping and Posting Requirements 125 Highlights in HRM 4: 2007 EEO-1 Survey 127 Processing Discrimination Charges 128 Highlights in HRM 5: EEOC Poster 129 Highlights in HRM 6: EEOC Guidelines on Retaliation 131 Preventing Discrimination Charges 132 Diversity Management: Affirmative Action 133 Establishing Affirmative Action Programs 133 Highlights in HRM 7: Basic Steps in Developing an Effective Affirmative Action Program 134 Managing Diversity: Affirmative Action 135 Summary 137 Key Terms 138 Discussion Questions 138 HRM Experience: Sexual Harassment: A Frank Discussion 139 Case Study 1: Building a Stealth Fighter with Virtual Teams 140 Case Study 2: Empty Cubicles: How Would You Manage the Vacancy? 141 Appendix: Determining Adverse Impact 143 Notes and References 144 Chapter 4 Job Analysis, Employee Involvement, and Flexible Work Schedules 148 Relationship of Job Requirements and HRM Functions 150 Recruitment 150 Selection 151 Training and Development 151 Performance Appraisal 151 Compensation Management 151

6 XI Job Analysis 152 Job Analysis and Essential Job Functions 152 Gathering Job Information 153 Controlling the Accuracy of Job Information 154 Approaches to Job Analysis 155 Job Descriptions 158 Highlights in HRM 1: Job Description for an Employment Assistant 159 Problems with Job Descriptions 161 Writing Clear and Specific Job Descriptions 161, Job Design 162 Behavioral Concerns 162 Highlights in HRM 2: Empowered Employees Achieve Results 165 Industrial Engineering Considerations 166 Ergonomic Considerations 167 Designing Work for Group/Team Contributions 168 Flexible Work Schedules 174 Highlights in HRM 3: How to Request a Flexible Work Schedule 175 Summary 179 Key Terms 180 Discussion Questions 180 HRM Experience: Establishing Ground Rules for Team Success 180 Case Study 1: Human Resources Planning at Donna Karan International 182 Case Study 2: Moen's Recruiting Faucet 183 Notes and References 184 PART Developing Effectiveness in Human Resources Chapter 5 Expanding the Talent Pool: Recruitment and Careers 186 Recruiting Talent Externally 188 Highlights in HRM 1: Marriott's Recruitment Principles Outside Sources for Recruitment 190 The Global Labor Market 198 Improving the Effectiveness of External Recruitment 198 Recruiting Talent Internally

7 Xii Contents Advantages and Limitations of Recruiting from Within 201 Methods for Identifying Qualified Candidates 202 Career Management: Developing Talent over Time 205 The Goal: Matching Individual and Organizational Needs 206 Identifying Career Opportunities and Requirements 207 Highlights in HRM 2: Career Path of Jeffrey Immelt, CEO, General Electric 210 Career Development Initiatives 214 Developing a Diverse Talent Pool 220 Recruiting and Developing Women 221 Eliminating Women's Barriers to Advancement 221 Glass Ceiling Audits 223 Preparing Women for Management 223 Accommodating Families 224 Recruiting and Developing Minorities 224 Providing Minority Internships 225 Advancing Minorities to Management 225 Highlights in HRM'3: Diversity Recruitment That Works 226 Other Important Talent Concerns 227 Recruiting the Disabled 227 Less Publicized Disadvantages 229 Highlights in HRM 4: Resources and Tips for Hiring and Retaining Employees with Disabilities 229 Employing the Older Workforce 231 Employing Dual Career Couples 232 Summary 233 Key Terms 234 Discussion Questions 234 HRM Experience: Career Management 235 Case Study 1: Nike: Hiring Gets Off on the Right Foot 235 Case Study 2: Small Companies Need Diversity Too 237 Notes and References 238 Appendix: Personal Career Development 241 Developing Personal Skills and Competencies 241 Choosing a Career 241 Highlights in HRM 5: Career Competencies at Caterpillar 242

8 Use of Available Resources 242 Accuracy of Self-Evaluation 243 The Significance of Interest Inventories 243 Highlights in HRM 6: Campbell Interest and Skill Survey: Individual Profile 244 Evaluating Long-Term Employment Opportunities 246 Choosing an Employer 246 Questions to Ask Yourself Before You Accept a Job Offer 247 Becoming an Entrepreneur 247 Keeping a Career in Perspective 248 Developing Off-the-Job Interests 248 Balancing Marital and/or Family Life 249 Planning for Retirement 249 Key Term 250 Notes and References 250 Chapter 6 Employee Selection 252 Matching People and Jobs 254 Person-Job Fit: Beginning with Job Analysis 255 Person-Organization Fit 255 The Selection Process 255 Obtaining Reliable and Valid Information 256 Sources of Information about Job Candidates 259 Application Forms 260 Online Applications 262 Biographical Information Blanks 262 Background Checks 263 Highlights in HRM 1: Sample Reference-Checking Questions 265 Polygraph Tests 267 Honesty and Integrity Tests 267 Graphology 268 Medical Examinations 269 Drug Testing 269 Employment Tests 271 Nature of Employment Tests 271 Highlights in HRM 2: Best Practices for Employee Testing and Selection 272 Classification of Employment Tests 272

9 The Employment Interview 277 Interviewing Methods 277 Highlights in HRM 3: Sample Situational Interview Question 279 Highlights in HRM 4: iring Managers Reveal Top Five Biggest Mistakes Candidates Make During Job Interviews in CareerBuilder. com Survey 280 Guidelines for Employment Interviewers 283 Diversity Management: Are Your Questions Legal? 286 Highlights in HRM 5: Appropriate and Inappropriate Interview Questions 287 Reaching a Selection Decision 288 Summarizing Information about Applicants 288 Decision-Making Strategy 288 Final Decision 291 Summary 292 Key Terms 293 Discussion Questions 293 HRM Experience: Designing Selection Criteria and Methods 294 Case Study 1: Tapping Unused Resources in Lean Times 295 Case Study 2: Kodak Gets the Picture in Executive Education 297 Notes and References 299 Chapter 7 Training and Development 304 The Scope of Training 306 Investments in Training 306 A Systems Approach to Training 307 Phase 1: Conducting the Needs Assessment 308 Organization Analysis 309 Highlights in HRM 1: Notes on Rapid Needs Assessment 310 Task Analysis 311 Highlights in HRM 2: A Competency Assessment for a Managerial Position 312 Person Analysis 314 Phase 2: Designing the Training Program 314 Instructional Objectives 315 Trainee Readiness and Motivation 315

10 XV Principles of Learning 316 Characteristics of Instructors 319 Phase 3: Implementing the Training Program 320 Training Methods for Nonmanagerial Employees 320 Methods for Management Development 328 Phase 4: Evaluating the Training Program 333 Criterion 1: Reactions 333 Criterion 2: Learning 334 Criterion 3: Behavior 334 Criterion 4: Results, or Return on Investment (ROI) 335 Highlights in HRM 3: Calculating Training ROI: Examples 336 Highlights in HRM 4: Benchmarking HR Training 337 Special Topics in Training and Development 338 Orientation Training 338 Basic Skills Training 339 Highlights in HRM 5: Checklist for Orienting New Employees 340 Team Training and Cross-Training 341 Ethics Training 343 Diversity Training 344 Highlights in HRM 6: Additional Ethics Training Resources 345 Summary 347 Key Terms 348 Discussion Questions 348 HRM Experience: Training and Learning Principles 349 Case Study 1: UPS Delivers the Goods 350 Case Study 2: Preparing a Career Development Plan 351 Case Study 3: Kodak Gets the Picture in Executive Education 352 Notes and References 355 Chapter 8 Appraising and Improving Performance 360 Performance Appraisal Programs 362 The Purposes of Performance Appraisal 363 Why Appraisal Programs Sometimes Fail 364 Developing an Effective Appraisal Program 366 What Are the Performance Standards? 367

11 XVI Contents Are You Complying with the Law? 369 Who Should Appraise Performance? 370 Putting It All Together: 360-Degree Appraisal 374 Training Appraisers 376 Highlights in HRM 1: Supervisor's Checklist for the Performance Appraisal 379 Performance Appraisal Methods 379 Trait Methods 380 Highlights in HRM 2: Graphic Rating Scale with Provision for Comments 381 Highlights in HRM 3: Example of a Mixed-Standard Scale Behavioral Methods 383 Highlights in HRM 4: BARS and BOS Examples 385 Results Methods 386 Highlights in HRM 5: Personal Scorecard 389 Which Performance Appraisal Method to Use? 390 Appraisal Interviews 391 Three Types of Appraisal Interviews 391 Conducting the Appraisal Interview 392 Improving Performance 395 Summary 398 Key Terms 399 Discussion Questions 400 HRM Experience: Performance Diagnosis 401 Case Study 1: Goodyear Ends Ratings System Ahead of Discrimination Suit 402 Case Study 2: 360-Degree Appraisal at Johnson & Johnson Notes and References PART Implementing Compensation and Security Chapter 9 Managing Compensation 410 Strategic Compensation Planning 412 Linking Compensation to Organizational Objectives 413 The Pay-for-Performance Standard 414 The Bases for Compensation 418 Determining Compensation The Wage Mix 418 Internal Factors 419

12 XVli Highlights in HRM 1: Comparison of Compensation Strategies 421 External Factors 422 Job Evaluation Systems 423 Job Ranking System 424 Job Classification System 424 Point System 424 Highlights in HRM 2: Point Values for Job Factors of the American Association of Industrial Management 426 Work Valuation 426 Highlights in HRM 3: Description of Education Factor and Degrees of the American Association of Industrial Management 427 Job Evaluation for Management Positions 428 The Compensation Structure 428 Wage and Salary Surveys 428 Highlights in HRM 4: Bureau of Labor Statistics National Compensation Survey 430 The Wage Curve 431 Pay Grades 431 Rate Ranges 432 Competence-Based Pay 434 Government Regulation of Compensation 435 Highlights in HRM 5: Minimum Wage Laws in the States 436 Davis-Bacon Act of Walsh-Healy Act of Fair Labor Standards Act of 1938 (as Amended) 437 Highlights in HRM 6: The Federal Wage Poster 439 Significant Compensation Issues 441 The Issue of Equal Pay for Comparable Worth 442 The Issue of Low Salary Budgets 442 The Issue of Wage Rate Compression 442 Summary 444 Key Terms 445 Discussion Questions 445 HRM Experience: Why This Salary? 446 Case Study 1: Pay Decisions at Performance Sports 447 Case Study 2: Mission Possible: A Competency-Based Compensation Program for BestSource and SCE Federal Credit Unions 448 Notes and References 449

13 XVlii Contents Chapter 10 Pay-for-Performance: Incentive Rewards 452 Strategic Reasons for Incentive Plans 454 Incentive Plans as Links to Organizational Objectives 454 Requirements for a Successful Incentive Plan 456 Setting Performance Measures 457 Administering Incentive Plans 457 Highlights in HRM 1: Setting Performance Measures The Keys 458 Individual Incentive Plans 459 Piecework 459 Standard Hour Plan 460 Bonuses 460 Merit Pay 461 Lump Sum Merit Pay 462 Incentive Awards and Recognition 462 Sales Incentives 463 Highlights in HRM 2: Customize Your Noncash Incentive Awards 464 Incentives for Professional Employees 465 The Executive Pay Package 466 Executive Compensation: Ethics and Accountability 469 Highlights in HRM 3: The "Sweetness" of Executive Perks 470 Executive Compensation Reform 470 Group Incentive Plans 471 Team Compensation 471 Gainsharing Incentive Plans 472 Highlights in HRM 4: Lessons Learned: Designing Effective Team Incentives 473 Enterprise Incentive Plans 476 Profit Sharing Plans 476 Employee Stock Options Plans 477 Highlights in HRM 5: Employee Stock Option Plans 478 Employee Stock Ownership Plans (ESOPs) 479 Advantages of ESOPs 479 Summary 480 Key Terms 481 Discussion Questions 481 HRM Experience: Awarding Salary Increases 482

14 Case Study 1: Pay-for-Performance: The Merit Question 483 Case Study 2: Team-Based Incentive Rewards: It's Not All Roses 484 Notes and References 485 Chapter 11 Employee Benefits 488 Employee Benefits Programs 490 HRIS and Employee Benefits 490 Requirements for a Sound Benefits Program 491 Communicating Employee Benefits Information 493 Concerns of Management 495 Highlights in HRM 1: Crafting an Effective Benefits Communication Program 495 Highlights in HRM 2: A Personalized Statement of Benefits Costs 496 Highlights in HRM 3: U.S. Chamber of Commerce Employee Benefits Survey Employee Benefits Required by Law 499 Social Security Insurance 499 Unemployment Insurance 500 Workers' Compensation Insurance 501 Consolidated Omnibus Budget Reconciliation Act (COBRA) 501 Family and Medical Leave Act 502 Older Workers Benefit Protection Act 503 Discretionary Major Employee Benefits 503 Health Care Benefits 503 Highlights in HRM 4: 'Your Rights": Another Federally Required Poster 504 Highlights in HRM 5: Employers Methods for Containing Health Care Costs 506 Payment for Time Not Worked 508 Supplemental Unemployment Benefits 509 Life Insurance 509 Long-Term Care Insurance 509 Retirement Programs 510 Pension Plans 511 Employee Services: Creating a Work/Life Setting 514 Employee Assistance Programs 515 Counseling Services 516 Child and Elder Care 516 Other Benefits and Services 517

15 XX Contents Summary 518 Key Terms 519 HRM Experience: Understanding Employer Benefit Programs 519 Discussion Questions 520 Case Study 1: Using "Sticky" Awards: KFC Does It Right 521 Case Study 2: Adobe's Family-Friendly Benefits: An Unexpected Backlash 522 Notes and References 523 Chapter 12 Promoting Safety and Health 526 Safety and Health: It's the Law 528 Highlights in HRM 1: Test Your Safety Smarts 529 OSHA's Coverage 530 OSHA Standards 530 Enforcing OSHA Standards 530 OSHA Consultation Assistance 532 Responsibilities and Rights under OSHA 533 Highlights in HRM 2: What Are My Responsibilities under the OSH Act? 534 Right-to-Know Laws 535 OSHA's Enforcement Record 536 Promoting a Safe Work Environment 536 Creating a Culture of Safety 537 Enforcing Safety Rules 538 Investigating and Recording Accidents 539 Creating a Healthy Work Environment 539 Health Hazards and Issues 540 Highlights in HRM 3: Job Safety and Health Protection Poster 541 Highlights in HRM 4: Holsum Bakery's Workplace Smoking Policy 543 Workplace Violence 546 Building Better Health 549 Employee Assistance Programs 551 Highlights in HRM 5: Selected Items from Salt River Project's Substance Abuse Policy 554 The Management of Stress 556 What Is Stress? 557

16 XXI Job-Related Stress 558 Coping with Stress 558 Summary 559 Key Terms 560 Discussion Questions 561 HRM Experience: Reducing Employee Stress 562 Case Study 1: Safety Training at Pro's Choice: It's Not Working 563 Case Study 2: Coping with Stress at U.S. Customs 564 Notes and References 565 PART Enhancing Employee-Management Relations Chapter 13 Employee Rights and Discipline 568 Employee Rights and Privacy 570 Employee Rights vs. Employer Responsibilities 571 Negligent Hiring 571 Job Protection Rights 571 Highlights in HRM 1: Examples of Employment-at-Will Statements 576 Privacy Rights 578 Electronic Surveillance and Monitoring 581 Disciplinary Policies and Procedures 587 The Results of Inaction 588 Setting Organizational Rules 589 Defining Discipline 590 Investigating the Disciplinary Problem 591 Approaches to Disciplinary Action 593 Discharging Employees 594 Highlights in HRM 2: Banner Health System Corrective Action Process 595 Alternative Dispute Resolution Procedures 598 Managerial Ethics in Employee Relations 601 Summary 602 Key Terms 604 Discussion Questions 604

17 XXii Contents HRM Experience: Learning about Employee Rights 605 Case Study 1: Discharged for Off-Duty Behavior 606 Case Study 2: "You Can't Fire Me! I Passed the Test" 607 Notes and References 608 Chapter 14 The Dynamics of Labor Relations 612 Highlights in HRM 1: Test Your Labor Relations Know-How 615 Government Regulation of Labor Relations 616 Railway Labor Act 616 Norris-LaGuardia Act 616 Wagner Act 616 Taft-Hartley Act 618 Landrum-Griffin Act 619 The Labor Relations Process 619 Why Employees Unionize 619 Organizing Campaigns 621 Highlights in HRM 2: United Food and Commercial Workers International Union Authorization Card 623 Employer Tactics Opposing Unionization 624 Highlights in HRM 3: Employer "Don'ts" during Union Organizing Campaigns 625 How Employees Become Unionized 625 NLRB Representation Election 625 Impact of Unionization on Managers 626 Highlights in HRM 4: NLRB Election Poster 627 Structures, Functions, and Leadership of Labor Unions 628 Structure and Functions of the AFL-CIO 629 Structure and Functions of National Unions 629 Structure and Functions of Local Unions 630 Union Leadership Commitment and Philosophies 631 Labor Relations in the Public Sector 631 The Bargaining Process 632 Preparing for Negotiations 633 Gathering Bargaining Data 634 Developing Bargaining Strategies and Tactics 634 Negotiating the Labor Agreement 635 Good Faith Bargaining 635 Interest-Based Bargaining 637

18 xxii Management and Union Power in Collective Bargaining 637 Resolving Bargaining Deadlocks 639 The Labor Agreement 639 The Issue of Management Rights 640 Union Security Agreements 641 Highlights in HRM 5: Items in a Labor Agreement 640 Administration of the Labor Agreement 641 Negotiated Grievance Procedures 641 The Grievance Procedure in Action 642 Grievance Arbitration 643 Contemporary Challenges to Labor Organizations 645 Foreign Competition and Technological Change 645 Decrease in Union Membership 645 Employers' Focus on Maintaining Nonunion Status 646 Summary 647 Key Terms 648 Discussion Questions 648 HRM Experience: Learn about Unions 649 Case Study 1: The Union Drive at Apollo Corporation: ULPs and Organizing Tactics 650 Case Study 2: The Arbitration Case of Jesse Stansky 651 Notes and References 652 PART Expanding Human Resources Management Horizons Chapter 15 International Human Resources Management 656 Managing across Borders 658 How Does the Global Environment Influence Management? 660 Domestic versus International HRM 663 International Staffing 664 Recruiting Internationally 665 Selecting Employees Internationally 668 Highlights in HRM 1: Global Laws and Pacts Prohibiting Discrimination 669 Highlights in HRM 2: Skills of Expatriate Managers 671 Training and Development 673 Content of Training Programs 674

19 Highlights in HRM 3: Nonverbal Communications in Different Cultures 677 Highlights in HRM 4: Repatriation Checklist 682 Compensation 683 Compensation of Host-Country Employees 683 Compensation of Host-Country Managers 685 Compensation of Expatriate Managers 686 Performance Appraisal 688 Who Should Appraise Performance? 688 Home versus Host-Country Evaluations 689 Performance Criteria 689 Providing Feedback 690 The Labor Environment Worldwide 691 Collective Bargaining in Other Countries 691 International Labor Organizations 692 Labor Participation in Management 693 Summary 694 Key Terms 695 Discussion Questions 695 HRM Experience: An American (Expatriate) in Paris 696 Case Study 1: International HRM at Molex, Inc. 697 Case Study 2: How Deloitte Builds Global Expertise 699 Notes and References 703 Chapter 16 Creating High-Performance Work Systems 708 Fundamental Principles 710 Egalitarianism and Engagement 711 Shared Information 713 Knowledge Development 714 Performance-Reward Linkage 714 Anatomy of High-Performance Work Systems 715 Work-Flow Design and Teamwork 716 Complementary Human Resources Policies and Practices 716 Management Processes and Leadership 718

20 XXV Supportive Information Technologies 719 Fitting It All Together 719 Ensuring Internal Fit 719 Establishing External Fit 720 Assessing Strategic Alignment: The HR Scorecard 721 Implementing the System 721 Highlights in HRM 1A: Diagnosing Internal Fit 722 Highlights in HRM IB: Testing the Alignment of the HR System with HR Deliverables 723 Highlights in HRM 1C: Testing the Alignment of HR Deliverables 724 Building a Business Case for Change 724 Establishing a Communications Plan 725 Involving Unions 726 Navigating the Transition to High-Performance Work Systems 728 Evaluating the Success of the System and Sustaining It 730 Outcomes of High-Performance Work Systems 731 Employee Outcomes and Quality of Work Life 731 Organizational Outcomes and Competitive Advantage 732 Highlights in HRM 2: The Impact of High-Performance Work Systems 733 Summary 734 Key Terms 734 Discussion Questions 735 HRM Experience: Assessing the Strategic Fit of High-Performance Work Systems 735 Case Study 1: HPWS at Tomex Incorporated 737 Case Study 2: HPWS at Xerox Corporation 738 Notes and References 740 Cases 745 Case 1: United Technologies Seeks Intangibles with Education Plan 745 Case 2: Running the Global Recruiting Machine: ClientLogic 749 Case 3: Job Analysis and Hiring Decisions at Ovania Chemical 752 Case 4: Ill-Fated Love at Centrex Electronics 757

21 XXVI* Contents Case 5: Returning Ethics to Putnam 758 Case 6: Realigning HR Practices at Egan's Clothiers 763 Case 7: A Performance Appraisal Snafu 765 Case 8: The Last Straw for Aero Engine 769 Case 9: I.B.M.: Take as Much Vacation Time as You Want To? 771 Case 10: Newell's Decision to Downsize: An Ethical Dilemma 774 Case 11: Someone Has to Go: A Tough Layoff Decision 776 Glossary 778 Name Index 789 Organization Index 791 Subjet Index 801