HRM textbook

98 PART 1 INTRODUCTION
TABLE 3-2 Examples of HR System Activities the Hotel Paris Can Measure as Related
to Each Chapter in This Book
Chapter
Strategic Activities Metrics
2. EEOC Number EEOC claims/year; cost of HR-related litigation; % minority/women promotions
3. Strategy % employees who can quote company strategy/vision
4. Job Analysis % employees with updated job descriptions
5. Recruiting Number applicants per recruiting source; number qualified applicants/position
6. Testing % employees hired based on validated employment test
7. Interview % applicants receiving structured interview
8. Training Number hours training/employee/year; number hours training new employee
9. Appraisal Number employees getting feedback; % appraisals completed on time
10. Career Management % employees with formal career/development plan
11. Compensation Target percentile for total compensation (pay in top 25%)
12. Incentives % workforce eligible for merit pay
13. Benefits % employees 80% satisfied with benefits
14. Ethics Number grievances/year; % employees able to quote ethics code
15. Labor Relations % workforce in unions
16. Health and Safety Number safety training programs/year; $ accident costs/year; hours lost time due to accidents
17. Global % expatriates receiving predeparture screening, counseling
18. Entrepreneurship Employee turnover
Overall HR Metrics
HR cost/employee; HR expense/total expenses; turnover costs
Similarly, she may recommend to management that they
change the firm s pay policies (see Chapter 11, Pay Plans) so
that the target percentile for total compensation is in the
top 25%. She could then show that doing so improves
employee morale, employee service behavior, customer satisfaction,
and the hotel chain s performance. In practice, all
the HR activities we discuss in this book influence employee
competencies and behaviors, and, thereby, organizational
outcomes and performance.
Questions
1. Draw a simple strategy map for the Hotel Paris. Specifically,
summarize in your own words an example of the
hierarchy of links among the hotel s HR practices,
necessary workforce competencies and behaviors, and
required organizational outcomes.
2. Using Table 3-1 (page 92), list at least five metrics the
Hotel Paris could use to measure its HR practices.
KEY TERMS
strategic plan, 73
strategy, 73
strategic management, 73
vision statement, 75
mission statement, 75
corporate-level strategy, 77
competitive strategy, 77
competitive advantage, 77
functional strategies, 78
strategic human resource
management, 80
strategy map, 82
HR Scorecard, 82
digital dashboard, 83
strategy-based metrics, 87
HR audit, 89
high-performance work system, 91
human resource metric, 92