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Principles of Human Resources Management
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Training Agenda Training Agenda
1.1. HR Management : An OverviewHR Management : An Overview
2.2. HR Planning and RecruitmentHR Planning and Recruitment
3.3. Employee SelectionEmployee Selection
4.4. Training and DevelopmentTraining and Development
5.5. Performance ManagementPerformance Management
6.6. Career Management Career Management
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Human Resource Human Resource Management : An OverviewManagement : An Overview
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HR Management CycleHR Management Cycle
Recruitment &Selection
Training & Development
PerformanceManagement
RewardManagement
CareerManagement
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HR Strategy and Business ResultHR Strategy and Business Result
Recruitment &Selection
Training & Development
Performance Management
Reward Management
Career Management
HR STRATEGY
BusinessBusinessStrategyStrategy
BusinessBusinessResultResult
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Manpower Planning & Employee Recruitment
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Manpower PlanningManpower Planning
Company Strategy Company Strategy
What staff do we need to do the
job?
What staff is available within
our organization?
Is there a match?
If not, what type of people do we need, and how
should we recruit them?
Job Analysis
• Performance appraisal• Company data banks• Training• Employee management and developmentWhat is impact
on wage and salary program?
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Manpower PlanningManpower Planning
The financial The financial resources resources
available to available to your your
organizationorganization
Factors in Forecasting Personnel Factors in Forecasting Personnel
Requirements Requirements
Projected Projected turnover (as a turnover (as a
result of result of resignation and resignation and terminations)terminations)
Quality and nature of Quality and nature of your employees (in your employees (in relation to what you relation to what you see as the changing see as the changing
need of your need of your organization)organization)
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Technique to Determine Number of RecruitsTechnique to Determine Number of Recruits
• Study of a firm’s past employment needs
over a period of years to predict future
needs
Trend Analysis
RatioAnalysis
• A forecasting technique for
determining future staff needs by using
ratios between sales volume and
number of employees needed
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Recruitment from External Resources Recruitment from External Resources
• Recruiting new staff from external sources will be influenced
by several factors, namely :
When the economic conditions are
relatively difficult, there will usually be
an oversupply, or the number of
applicants will much higher than the
demand. In such a case, the company
will find it relatively easier to select new
employees from the large number of
applicants.
Macro-
Economic
Conditions
of a Nation
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When the sector is one that is
considered a ‘rare’ sector, the company
will have more difficulty in recruiting
staff for this sector. For example,
computer technology, or cellular
engineering.
Availability
of Manpower
in Desired
Sectors
Recruitment from External Resources Recruitment from External Resources
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It will tend to be easier for a company
to find and recruit the best people if
the company has a good reputation,
therefore the best fresh graduates will
flock to apply to the company.
Example : Google, McKinsey or
Microsoft.
Company
Reputation
Recruitment from External Resources Recruitment from External Resources
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• Some employers use a recruiting yield pyramid to
determine the number of applicants they must generate
to hire the required number of new employees.
• Example of Recruitment Curve:
• 1200 - Leads generated
• 200 - Candidates invited
• 150 - Candidates interviewed
• 100 - Offers made
• 50 - New hires
Recruitment Yield PyramidRecruitment Yield Pyramid
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Recruitment SourcesRecruitment Sources
Advertising (newspaper, magazine, internet)
College Recruitment
Recruitment Agent (headhunter)
Recruitment Recruitment SourcesSources
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Employee Selection
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Basic Concept of Selection TestsBasic Concept of Selection Tests
The quality of an employee selection test is determined by
three main factors, namely :
1.1. Criterion Validity : Criterion Validity : A type of validity based on showing
that scores on the test (“predictors”) are related to job
performance (“criterion”).
2.2. Content Validity :Content Validity : A test that is “content valid” is one in
which the test contains a fair sample of the tasks and
skills actually needed for the job in question.
3.3. Reliability Reliability : The consistency of scores obtained by the
same person when retested with identical or equivalent
test.
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Some Types of Selection TestSome Types of Selection Test
1. Cognitive Ability Test
2. Personality Test
3. Interview
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Cognitive Ability TestCognitive Ability Test
• Cognitive Abilities Tests: Paper and pencil or
individualized assessment measures of an
individual's general mental ability or intelligence.
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Advantages of Cognitive Ability TestAdvantages of Cognitive Ability Test
• highly reliable • verbal reasoning and numerical tests have shown high
validity for a wide range of jobs • the validity rises with increasing complexity of the job • may be administered in group settings where many
applicants can be tested at the same time • scoring of the tests may be completed by computer
scanning equipment • lower cost than personality tests
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Disadvantages of Cognitive Ability TestDisadvantages of Cognitive Ability Test
• non-minorities typically score one standard deviation
above minorities which may result in adverse impact
depending on how the scores are used in the selection
process • differences between males and females in abilities (e.g.,
knowledge of mathematics) may negatively impact the
scores of female applicants
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Personality TestPersonality Test
• Personality Tests: A selection procedure measure
the personality characteristics of applicants that are
related to future job performance.
• Personality tests typically measure one or more of
five personality dimensions: extroversion, extroversion,
emotional stability, agreeableness, emotional stability, agreeableness,
conscientiousness, and openness to experience. conscientiousness, and openness to experience.
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Advantages of Personality TestAdvantages of Personality Test
• can result in lower turnover due if applicants are
selected for traits that are highly correlated with
employees who have high longevity within the
organization
• can reveal more information about applicant's abilities
and interests
• can identify interpersonal traits that may be needed for
certain jobs
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Disadvantages of Personality TestDisadvantages of Personality Test
• difficult to measure personality traits that may not be well
defined
• responses by applicant may be altered by applicant's
desire to respond in a way they feel would result in their
selection
• lack of diversity if all selected applicants have same
personality traits
• lack of evidence to support validity of use of personality
tests
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InterviewInterview
• Interviews: A selection procedure designed to predict
future job performance on the basis of applicants'
oral responses to oral inquiries.
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Advantages of InterviewAdvantages of Interview
• useful for determining if the applicant has requisite
communicative or social skills which may be necessary for
the job
• can assess the applicant's job knowledge
• can be used for selection among equally qualified
applicants
• enables the supervisor and/or co-workers to determine if
there is compatibility between the applicant and the
employees
• allows the applicant to ask questions that may reveal
additional information useful for making a selection
decision
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Disadvantages of InterviewDisadvantages of Interview
• subjective evaluations are made • decisions tend to be made within the first few minutes of
the interview with the remainder of the interview used to
validate or justify the original decision • interviewers form stereotypes concerning the
characteristics required for success on the job • research has shown disproportionate rates of selection
between minority and non-minority members using
interviews • negative information seems to be given more weight • not as reliable as tests
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Training & Development
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Training Need Analysis
Training Objectives
Training Delivery
Training Evaluation
Training Process Training Process
What are the training needs for this person and/or job?
Objective should be measurable and observable
Techniques include on-the-job-training, action learning, etc.
Measure reaction, learning, behavior, and results
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Assessing Training NeedsAssessing Training Needs
Task Analysis
A detailed analysis of a job to
identify the skills required, so
that an appropriate training
program can be instituted
Competency
Analysis
Careful study of competency level
to identify a deficiency and then
correct it with a training program, or
some other development
intervention.
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Competency AnalysisCompetency Analysis
Required competency
level for certain position
Competency Gap
Competency Assessment
Current competency level of the employee
Training and Training and Development Development
Program Program
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Competency Profile Per PositionCompetency Profile Per Position
1 2 3 4 5
Communication Skills
Public Speaking
Leadership
Training Need Analysis
Material Development
Training Evaluation
Communication Skills
Interview Skills
Analytical Thinking
Understand Selection Tools
Teamwork
Customer Orientation
Recruitment Supervisor
Required Level
Required CompetencyPosition
Training & Development
Manager
Score Required
Competency Type
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Position
Competency Requirements
Relevant Training Modules
Leadership
Leadership I
Communication Skills I
The Art of Motivating Employees
Providing Effective Feedback
SUPERVISOR
Achievement Orientation
Goal Setting Technique
Work Motivation
Planning & Organizing
Continuous Self Improevement
Managerial competency 1 2 3 4
Leadership Required Level
Actual Level
Achievement Orientation
Teamwork
Planning & Organizing
Functional competency 1 2 3 4
Mechanical Engineering
Mechanical Equipment Maintenance
Competency Profile Per PositionCompetency Profile Per Position
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Training Matrix for Competency DevelopmentTraining Matrix for Competency Development
Communication Skills V
Leadership V
Teamwork V
Achievement Orientation V
Customer Focus V
Job Functional Skills V
Communication Skills V
Leadership V
Teamwork V
Achievement Orientation V
Customer Focus V
Strategic Thinking V
Problem Solving & Decision Making V
Job Functional Skills V
Position Managerial Competency
Supervisor
Manager
Pro
duct
ive
Com
mun
icat
ion
Ser
ies
On
Bec
omin
g E
ffec
tive
Lead
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On
Bec
omin
g E
ffec
tive
Lead
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Ser
vice
Exc
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nce
for
Cus
tom
er
Pro
fess
iona
l S
emin
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erie
s
Ach
ieve
men
t M
otiv
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rain
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Cre
ativ
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robl
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Sol
ving
Str
ateg
ic
Man
agem
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Bui
ldin
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eam
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k
V = compulsory training
Training Title
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Enhance Training EffectivenessEnhance Training Effectiveness
Make the Make the material material
meaningfulmeaningful
Provide for Provide for transfer to transfer to learninglearning
Motivate Motivate the traineethe trainee
Training Training EffectivenessEffectiveness
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Enhance Training EffectivenessEnhance Training Effectiveness
Make the Make the material material
meaningfulmeaningful
• At the start of training, provide the
trainees with a bird’s-eye view of the
material to be presented. Knowing the
overall picture facilitates learning.
• Use a variety of familiar examples when
presenting material
• Organize the material so that it is
presented in a logical manner and in
meaningful units
• Try to use terms and concepts that are
already familiar to trainees
• Use as many visual aids as possible
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Enhance Training EffectivenessEnhance Training Effectiveness
Provide for Provide for transfer to transfer to learninglearning
• Maximize similarity between the training
situation and the work situation
• Provide adequate training practice
• Identify each feature of the step in the
process
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Enhance Training EffectivenessEnhance Training Effectiveness
Motivate Motivate the traineethe trainee
• People learn best by doing. Try to
provide as much realistic practice as
possible
• Trainees learn best when correct
response on their part are immediately
reinforced.
• Trainees learn best when they learn at
their own pace. If possible, let trainees
pace themselves.
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Type of Training ProgramType of Training Program
Formal courseFormal course
OFF THE JOBOFF THE JOB
SimulationSimulation
Wilderness TripWilderness Trip
• Does not interfere with job
• Provides for fact learning
• Helps transfer of learning
• Creates lifelike situations
• Builds teams
• Builds self-esteem
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Type of Training ProgramType of Training Program
Job instruction Job instruction trainingtraining
ON THE JOBON THE JOB
Apprenticeship Apprenticeship trainingtraining
Job rotationJob rotation
MentoringMentoring
• Facilitates transfer of learning
• Does not require separate facilities
• Does not interfere with real job performance
• Provides extensive training
• Gives exposure to many jobs
• Allows real learning
• Is informal
• Is integrated into job
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Evaluation of Training EffectivenessEvaluation of Training Effectiveness
Level 1 - Reaction
Level 2 - Learning
Level 3 – Behavior Application
Level 4 – Business Impact
Four Levels Four Levels of Training of Training
EffectivenessEffectiveness
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Evaluation of Training EffectivenessEvaluation of Training Effectiveness
Test the trainees to determine if
they learned the principles,
skills, and facts they were to
learn.
Evaluate trainees’ reactions to
the program. Did they like the
program? Did they think it
worthwhile?
Level 1 - Level 1 -
ReactionReaction
Level 2 - Level 2 -
LearningLearning
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Evaluation of Training EffectivenessEvaluation of Training Effectiveness
What final results were achieved in terms of the
training objectives previously set? Did the number
of customer complaints about employee drop? Did
the reject rate improve? Was turnover reduced,
and so forth.
Ask whether the trainees’ behavior on the job
changed because of the training program. For
example, are employees in the store’s complaint
department more courteous toward disgruntled
customers than previously?
Level 3 – Level 3 –
Behavior Behavior
ApplicationApplication
Level 4 – Level 4 –
Business Business
ImpactImpact
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Employee Performance Management
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Why Performance Appraisal?Why Performance Appraisal?
• Appraisal provide information upon which promotion and
salary decision can be made.
• Appraisal provide an opportunity for a manager and
his/her subordinates to sit down and review the
subordinate’s work-related behavior, and then develop a
plan for corrective action.
• Appraisal provide a good opportunity to review the
person’s career plans in light of his/her exhibited
strengths and weaknesses.
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Performance Management CyclePerformance Management Cycle
Performance Planning(Setting Performance Targets)
Regular Review and Monitoring
Feed backFeed back
Corrective Corrective ActionAction
Performance Appraisal and Evaluation
• Training & Development Plan• Salary/Bonus Adjustment• Career Development
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Performance Management CyclePerformance Management Cycle
Defining Defining Performance Performance
Standard/ Standard/ TargetsTargets
Appraising Appraising PerformancePerformance
Providing Providing Feedback for Feedback for DevelopmentDevelopment
1.1. Defining the performanceDefining the performance standards
means making sure that you and your
subordinate agree on his/her duties and
targets that you expect
2.2. Appraising performance Appraising performance means
comparing your subordinate’s actual
performance to the standard/targets set
in step one.
3.3. Providing feedback Providing feedback means discussing
plans for any development that is
required.
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Problems in Performance AppraisalProblems in Performance Appraisal
Lack of Lack of standardsstandards
Irrelevant or Irrelevant or subjective subjective standardsstandards
Poor Poor measures of measures of performanceperformance
Poor Poor feedback to feedback to employeeemployee
Negative Negative communicationcommunication
Failure to Failure to apply apply
evaluation evaluation datadata
Common Performance Evaluation ProblemsCommon Performance Evaluation Problems
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Bias in the Appraisal ProcessBias in the Appraisal Process
HaloHaloEffectEffect
The "halo" effect occurs when a supervisor’s
rating of a subordinates on one trait biases the
rating of that person on other traits
Central Central TendencyTendency
A tendency to rate all employees the same
way, such as rating them all average
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LeniencyLeniencyThe problem that occurs when a supervisory
has a tendency to rate all subordinates either
high or low
BiasBiasThe tendency to allow individual differences
such as age, race, and sec affect the appraisal
rates these employees receives.
Bias in the Appraisal ProcessBias in the Appraisal Process
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Performance
appraisal
elements
has two main
categories: 2. Performance Result:
Hard or quantitative aspects
of performance (result)
1. Competencies: It
represents soft or qualitative
aspects of performance
(process)
Performance Appraisal ElementPerformance Appraisal Element
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1.1. Competencies ScoreCompetencies Score
2. Performance Result 2. Performance Result
ScoreScore
Overall ScoreOverall Score
Will determine the employee’s
career movement, and also
the reward to be earned
Performance Appraisal ElementPerformance Appraisal Element
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Element # 1 : Competencies Element # 1 : Competencies
Basic Intermediate Advanced Expert
Actively listens, and clarifies understanding where required, in order to learn from others.
Actively listens, and clarifies understanding where required, in order to learn from others.
Actively listens, and clarifies understanding where required, in order to learn from others.
Actively listens, and clarifies understanding where required, in order to learn from others.
Empathise with audience and formulates messages accordingly.
Empathise with audience and formulates messages accordingly.
Empathise with audience and formulates messages accordingly.
Empathise with audience and formulates messages accordingly.
Shares resources and information. Shares resources and information. Shares resources and information. Shares resources and information.
Responds promptly to other team members’ needs.
Balances complementary strengths in teams and seeks diverse contributions and perspectives.
Actively builds internal and external networks.
Builds internal and external networks and uses them to efficiently to create value.
Involves teams in decisions that effect them.
Uses cross functional teams to draw upon skills and knowledge throughout the organization.
Uses cross functional teams to draw upon skills and knowledge throughout the organization.
Encourages co-operation rather than competition within the team and with key stakeholders.
Builds and maintains relationships across The company.
Drives and leads key relationship groups across The company.
Manages alliance relationships through complex issues such as points of competing interest.
Ensures events and systems, eg IT, for collaboration are in place and used.
Draws upon the full range of relationships (internal, external, cross The company) at critical points in marketing and negotiations.
Competency : CollaborationCompetency : Collaboration
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No. Main Performance Target Target to beAchieved
1 Conduct an assessment of the All employees submit their performance assessment formemployee's performance on time
2 Improve the system for Target : completed 100 % performance assessment in November 2008
3 Conduct training activities Target : to conduct 6 training modules in one year
4 Carry out on the job training Target : 90 % of the total employees activities who attend the training
experience an increase in skill and knowledge
Element # 2 : Performance ResultsElement # 2 : Performance Results
Target should be measurable and Target should be measurable and specificspecific
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Employee Career Management
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Career Planning and DevelopmentCareer Planning and Development
Providing employees Providing employees
the assistance to form the assistance to form
realistic career goals realistic career goals
and the opportunities and the opportunities
to realize themto realize them
Career Career Planning & Planning & DevelopmentDevelopment
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Entry LevelEntry Level
First Line First Line
Middle Middle ManagementManagement
Senior Senior ManagementManagement
Top Top ManagementManagement
Join Company 22 years old
Supervisor/Ass. Manager 26 - 29 years old
Managers 29 - 35 years old
GM/Senior Managers 35 - 45 years old
CEO/BOD 45 - 55 years old
Typical Career movement Typical Career movement
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Career StageCareer Stage
Trial Stage The period from about age 25 to 30 during
which the person determines whether or
not the chosen field is suitable and if it is
not, attempts to change it.
Stabilization Stage
The period, roughly from age 30 to 40,
during which occupational goals are set
and more explicit career planning is made
to determine the sequence for
accomplishing goals
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Mid career Crisis Stage
The period occurring between the mid-
thirties and mid-forties during which people
often make a major reassessment of their
progress relative to their original career
ambitions and goals
Maintenance Stage
The period form about ages 45 to 65 during
which the person secures his or her place
in the world of work
Career StageCareer Stage
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Decline Stage The period during which many people are
faced with the prospect of having to accept
reduced levels of power and responsibility.
Career StageCareer Stage
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Career AnchorsCareer Anchors
Career Anchor :
A concern or value that someone will not give up if
choice has to be made
Career anchors, as their name implies, are the
pivots around which a person’s career swings; a
person becomes conscious of them as a result of
learning about his or her talents and abilities.
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Five Career AnchorsFive Career Anchors
Technical/ Technical/ Functional Functional
Career AnchorCareer Anchor
Managerial Managerial Competence as a Competence as a
Career AnchorCareer Anchor
Creativity as a Creativity as a Career AnchorCareer Anchor
Autonomy and Autonomy and Independence as Independence as
Career AnchorCareer Anchor
Security as a Security as a Career AnchorCareer Anchor
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Five Career AnchorsFive Career Anchors
Technical/ Technical/ Functional Functional
Career AnchorCareer Anchor
• People who have a strong
technical/functional career anchor
tend to avoid decisions that would
drive them toward general
management.
• Instead, they make decisions that will
enable them to remain and grow in
their chosen technical or functional
field
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Five Career AnchorsFive Career Anchors
Managerial Managerial CompetenceCompetence
• People who show strong motivation
to become managers
• Their career experience enables
them to believe that they have the
skills and values necessary to rise to
such general management position
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Five Career AnchorsFive Career Anchors
CreativityCreativity• People who go on to become
successful entrepreneurs
• These people seem to have a need to
build or create something that is
entirely their own product – a product
or process that bears their name, a
company of their own, or a personal
fortune that reflects their
accomplishments.
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Five Career AnchorsFive Career Anchors
Autonomy and Autonomy and IndependenceIndependence
• People who are driven by the need to
be on their own, free from the
dependence that can arise when a
person elects to work in a large
organization.
• Some of these people decide to
become consultants, working either
alone or as part of relatively small
firm. Others choose to become
professors, free-lance writers, or
proprietors of a small retail business.
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Five Career AnchorsFive Career Anchors
SecuritySecurity• People who are mostly concern with
long-run career stability and job
security.
• They seem willing to do what is
required to maintain job security, a
decent income, and a stable future in
the form of a good retirement
program and benefits.
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Career Management and the First Career Management and the First AssignmentAssignment
• Factors to keep in mind about the important first
assignment, include :
1. Avoid reality shock (reality shock refers to the result
of a period that may occur at the initial career entry
when the new employee’s high job expectations
confront the reality of boring, unchallenging jobs.
2. Provide challenging initial jobs
3. Provide realistic job preview in recruiting
4. Be demanding
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Career Management and the First Career Management and the First AssignmentAssignment
5. Provide periodic job rotation
6. Provide career-oriented performance appraisals
7. Encourage career-planning activities
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References/Recommended Further ReadingsReferences/Recommended Further Readings
1. Gary Dessler, Human Resource Management, Prentice Hall. You can
obtain this excellent book at this link : http://www.amazon.com/Framework-Human-Resource-Management-5th/dp/0136041531/ref=sr_1_6?ie=UTF8&s=books&qid=1219801564&sr=1-6
2. Susan Jackson and Randall Schuler, Managing Human Resource : A
Partnership Perspective, South-Western College Publishing
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