CHAPTER

OBJECTIVESOBJECTIVES

EMPLOYEE AND ORGANIZATIONAL DEVELOPMENT

Define organizational development and discuss the two important components of an organizational development program.

Explain the components of a career development program. Describe the value of performance reviews and training and

development to businesses and employees. Describe the variety of career opportunities in business,

including international business careers. Outline the steps in preparing a career plan.

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Employment Environment

Companies forced to downsize by cutting no. of E’ees or reduce product offerings E’ees who lost job - unable to find another

satisfying job; uncertain of job security Accept lower-level jobs Fewer benefits

Some companies restructure their operations or use resources more efficiently

New Employment Environment

21st century focus is on developing a whole new generation of businesses

Internet has caused businesses to look quite different - non-traditional Few E’ees; E’ees may not even work in same

bldg. or same city Owners have more exp. with technology than

organizing and managing a business

Today much of the pressure to maintain a strong org. falls on the HR Dept.

HR Dept

Two major responsibilities Organizational development

Careful planned changes in the structure and operation of business to adjust to competitive business environment

Career Development Program that matches the career plans of E’ees

w/ the employment needs of the business

Organizational Development

Co.’s paying a great deal of attention to the way in which they structure an org., how work flows through the business, how E’ees work together and with the mgr.

E’ees play a major role in product quality, customer satisfaction, equipment maintenance, and efficient use of materials

Two important elements of an effective organizational development are…

1)Making improvements in work processes Improving the way work is accomplished in a

business Goals is to eliminate errors, improve quality

and reduce costs

2)Build effective working relationships Studies show E’ees who believe they are an

important part of the org. will be committed to its success and will work to achieve the co.’s goals

Improving Work Processes

Most of the emphasis is directed inside the company

Improving work may include new technologies, rearranging work space, changing relationships between dept.s and work groups, modifying procedures

Not easy for company to make these changes

Identifying the need for change Inability to change = failure External changes that are most likely to

result in problems for an org. Workforce demographics, nature of competition,

customer expectations and technology

Internal changes - similar Makeup of workforce, E’ee expectations,

outdated work processes and technology, ineffective organizational structure and poor management practices

Organizational development programs must ID and resolve underlying operational problems in order to fix the orig. problem

Planning an organizational development program Affirm the mission and goals of the org. ID the important markets that will be the

primary focus Determine the org. changes required to

achieve the co.’s mission, goals, customer service standards, and prepare a plan for implementing the changes Take months or even year to see results

Build commitment w/i the org. for the changes E’ees need to be fully informed of

The change The reason for change Likely results if the changes are made How they will be affected by the change How the org. and E’ee will benefit if the change is

successful

Follow through on the org. development plans Make the process part of the org.’s culture

Improving the work environment $$$ earned is NOT always the most

important thing Concerned about work schedule, working

conditions, vacations, insurance, pensions Want a job that is interesting and challenging Recognition for their work Mgrs. must recognize these needs

Satisfied E’ees are more productive and more likely to want to stay with the company and contribute to its success

Improving the work environment Job design - refers to the kinds of tasks that

make up a job and the way workers perform these tasks in doing the jobs

Job enlargement - making a job more interesting by adding variety to the tasks; E’ees should be involved in making decision to change the job and redesign the job

Cross training - E’ees are trained to perform more than one job; rotated to other jobs; E’ee more valuable to the Co. since they can perform a broader set of work tasks

Job enrichment - giving E’ees the authority to make meaningful decisions about their work; mgrs. May ask for advice on how to improve performance

Career Development Requirements for a career development

program Long-term plans

Determine what jobs will be available in the future, how many people will be needed in each job, knowledge/skills those E’ees will require

Career paths Co. should ID a variety of career paths

Mgm’t and non-mgm’t - pg 670

Entry-level to advance positions

Performance review E’ees need to know how well they are

performing in order to determine what skills they need to improve to meet current job requirements

Regularly review the info Determine what training is needed to either

improve or advance

Career counseling - ??? Part of E’ee performance review Career centers - facilities where HR E’ees

manage career development activities

Training and development Train E’ees in skills needed for

changing job requirements and new jobs

Develop training programs and other educational opportunities

Implementing a career development program Doesn’t just happen Assigned to HR Dept. - responsible for

organizing and managing the program Everyone in business must be educated

about the program Available to all

Special career development programs Not available to all Specialized according to position

Improving E’ee Performance

Performance review procedures Assess how well E’ees are doing their jobs Reviews provide career planning and training

programs, increases in wages/salaries Review should focus on duties and expectations Should be easy and objective One or twice a year E’ee should complete self-eval Discuss performance and not E’ee Discuss strengths as well as areas of improvement Ways the E’ee can develop needed skills to improve

Planning training and development $50-60 billion each year on formal training $200 billion on informal Can be justified if the result is E’ees who are

able to perform more and produce higher quality work

Companies need to recognize the value of training

Get new equipment - need training New operations - need training New E’ee - need training

Career Opportunities in Business

Not limited to one career path, one type of business, or one geographic area

Career paths in business are usually very flexible

Career Opportunities in Business

Levels of employment Entry - routine activities, little training,

education or previous experience Career - more complex duties; authority to

control some of the work and make decisions Specialist - extensive knowledge of the

operations of a specific co. or industry; variety of skills in one or more business functions

Management - effective decision-makers; leadership; make decisions about operations and personnel

Executive - performs all mgm’t tasks associated with owning a business; responsible for success of business

Careers in international business Offers add’l job choices; new skills, travel,

interact with a wide variety of people from other cultures

Preparing for a business career Require a great deal of knowledge and

skill in a number of areas Need to match personal qualities,

education and experience with a career path

Developing a career plan Study business careers in depth and find a

job that most interests you Complete a self-assessment of knowledge,

skills, and attitudes ID the education and experience

requirements for the business career that interests you

Discuss education and experience you will need with people who are familiar with business careers

Choose a business career and develop a career plan to achieve the degree

Preparing a career portfolio Organized collection of info. and materials

developed to represent yourself, your preparation, your accomplishments

Should provide clear descriptions of your preparation, skills, and experience

Examples of projects Prepare so that you can add and remove

items easily--no glue Should obviously include your best work and

most recent

Review Qs 2, 4, 5, 7, 10, 13,

Discussion Qs 1

Study Guide You are the HR manager for a school district

and you’ve been asked by the principal to draft an orientation session for new students. Outline the info. that should be included in the orientation session. Also develop a list of potential questions for a follow-up interview that will be given 4 to 6 weeks after the orientation.