Homework . Complete prior to next class

Read Chapter 2 in text. Consider the following questions and be

prepared to discuss in class:

“What profession and industry will be the ‘hottest ‘ job market for employees?”

“What employee skills will be necessary to be successful in such assignments?”

Team Configuration List

TEAM ONE Nicole Mary Paris Chris Rob Tatyana

TEAM TWO A Lauren Branard Sarah Carter Lauren Toalson Elizabeth S. Nu’uve’a Eshelman

Team configuration List

Team 2 B Bailey Stump Kari Wan Derek Mason Jessica Ross Blair Warner Courtney Ball

Team 2 C Brett Hunter Chase D’Arnaud Denny Duron Nick gaudi Matt Aidem Robert “the dickster”

sample group presentation topics

Women in the workforce The Glass ceiling Title IX Working overseas Wellness programs Abusive work environments Illegal immigration Outsourcing Is Wal-Mart a fair employer? Workplace violence

Group topics

American Apparel Co. or any other interesting employer

Compare a union and non-union operation Should you hire ex convicts? Did 9/11 change the workplace? Workplace motivation techniques Workplace horror stories Romance at work HRM in the major leagues Here come the millennial's

More topics

Age discrimination in Europe and Asia Generational differences HRM in the Major Leagues Is diversity good for business?

“Blue Light Special” For Group Presentations

First group up to 18 pointsSecond group up to 17 pointsThird group up to 16 points

Outsourcing

Merve AsimgilMatthew Steffen Marcel StricklerAdam Taki

Outsourcing

• The practice subcontracting manufacturing work to outside and especially foreign or nonunion companies.

• Since the 1990’s outsourcing has become a standard business tactic in today’s American organizations.

• Outsourcing typically takes place when a company decides that it can progress its overall efficiency by giving a third-party service supplier responsibility for certain progress within the company.

Outsourcing Continue

• Companies are driven by maximizing their profits, which is resulted by increasing its productivity and profitability.

• When an organization turns towards outsourcing they are looking to contract out their work that needs to be done to a company who can produce the goods or services more efficiently.

Dell Outsourcing to India

• Dell has dominated the U.S. market, accounting for almost a third of all the computers sold in 2005.

• Dell is cutting costs by outsourcing to India.

• Dell opened the first facility in India in 2001.

• Expect to double its employees to 20000 in the next three years.

• Jobs will come in a wide range of categories-from hardware engineers to line workers.

Global Component Network

18-15

Types of Outsourcing

• IT Outsourcing •BPO ( Business

Process Outsourcing) –Accounting, HR, Benefits, Payroll, Finance functions and activities

Outsourcing Statistics• % 28 of IT Outsourcing • % 15 of HR Outsourcing• % 14 of Marketing and Sales

Outsourcing• % 11 of Finance Outsourcing • % 32 Administrative Outsourcing • China, India, Philippines, Mexico

Reasons for Global Outsourcing

• Reduce costs due to less expensive labor• Improve quality• Increase exposure to worldwide technology• Improve delivery of supplies• Strengthen reliability of supply by

supplementing domestic with foreign suppliers (2nd sourcing)

• Gain access to materials available only abroad

• Establish presence in a foreign market• Share risks

Disadvantages of Outsourcing

• Loss of the managerial control • Hidden costs • Threat to the security and

confidentiality of the issues of a company

• Loss of flexibility • Long term Dependency

• %20 - 35 of IT outsourcing is not revived after the contract expires

Responsibilities of the HR Management

• Recognize that outsourcing is growing rapidly • Pick the right location • Must consider when the company will utilize or

already utilizes• Implement training programs• Creating linkages between the organization and the

supplier at various strategic levels • Implement a formal performance review process and

a system of incentives and penalties • Must seek creative managers have excellent

negotiating skills • Getting the best of the labor pool

Outsourcing and the U.S Economy • Global sourcing contributed $5.1 billion to US exports in 2005 and is

expected to grow to $9.7 billion by 2010

• Outsourcing contributed $68.7 billion in real US GDP

• Every $1 spent on foreign outsourcing creates $1.12 to $1.14 of

additional economic activity in the U.S. economy.

• Reduces cost of IT and other services by 60 percent

• Increases jobs in the U.S and increases spending

• Helps to keep inflation and interest rates low and productivity high. • Global Insights estimates the US economy will be $124 billion larger

in 2008 because of outsourcing compared to an economy where the practice was restricted.

Nike Case Study

• Nike has Contracts with over 500 factories in 45 Countries

• Nike is the largest producer of sportswear in the world

• Outsourcing can be a danger to a company’s reputation

Social and Employee Responsibilities

• When companies outsource, they rely on the suppliers to have acceptable employment practices

• Nike had a very difficult experience in this area

Lawsuit• In 1996 Nike was accused of slave

labor with young Asians working in “sweatshops”

• Also human rights abuses, violence to laborers, and hideous working conditions

Nike Reacted with a campaign focusing on their corporate policy

• New Labor Codes• Press Releases to the

Publications• Personal Letters from

the executives• Campus Visits to

Colleges

Lawsuit• Nike was sued for false

advertising by a San Francisco Resident

Nike’s Reply

• First Amendment Freedom of Speech

• US Supreme Court postponed the ruling

• And Nike donated $1.5 million to the Fair Labor Association

Recommendations for Outsourcing

•Although Nike has had some trouble with outsourcing benefits of outsourcing far outweigh the disadvantages

•American companies need to work closely with the suppliers overseas

Conclusion• Companies have to pay close

attention to what is taking place overseas

• The advantages can be great• Outsourcing is a corporate trend that

is not going away

Video Clips

• Outsourcing: Costing Americans their jobs?

http://www.cbsnews.com/htdocs/videoplayer/newVid/small_player/vplayer2.shtml?clip=/media/2004/03/15/video606484.rm&sec=&

vidId=&title=Jobs$@$Sent$@$Overseas&hitboxMLC=

• Outsourcing: Leads to Child Labor Violations

http://www.ifilm.com/ifilmdetail/2671448?refsite=7063&ns=1

• What can be done?

http://video.broadcastconnect.com/videos/broadband/sweat_shop_response_rvp_hi.wmv

Class Discussion

• What are the pros and cons of outsourcing?

Class Discussion

• Is the U.S. economy dependent on outsourcing?

Class Discussion

• Check the tags of the clothing you are wearing to see where it was made… raise your hand if you are 100% sure that you are not wearing something made by a child in a sweatshop.

Share your work experiences

Just tie on some protective gear

How to make “snake & pigmy pie”

Pop down the hole

Use the latest available torch

Watch the birdie (or flame in this case)

Make sure the protective gear is the first thing to be bitten

Drag out the snake

Drag out the

hunter

Show off the catch

Just another day at

the office

P.S - Africa is not for

“sissy’s”

DescribeBest JobWorst BossBest Boss

Can you predict behavior?

DrivingIn elevatorIn a doctor’s officeAt Duke’s on Friday nightAt Church on Sunday morning

What makes you qualified to understand human behavior?

The Molly Maguires

How has HRM Changed?

48

Human Resource Management

1-2

Human Resource Management is the function performed in

organizations that facilitates the most effective use of people

(employees) to achieve organizational and individual goals.

49

Human Resource Activities

Equal Employment Opportunity (EEO) Compliance Job Analysis Human Resource Planning Employee Recruitment, Selection, Motivation, and

Orientation Performance Evaluation and Compensation Training and Development Labor Relations Safety, Health, and Wellness

1-3

HRM Practice Is:

ACTIONORIENTED

PEOPLEORIENTED

GLOBALLYORIENTED

FUTUREORIENTED

1-4

From Welfare Secretaries to HRM Professionals

Guilds To Improve Work Conditions forerunners of trade unions

Industrial Revolution altered working conditions

and social patterns

Scientific Management focused on the job and

efficiencies

1-5

Human Relations Movement focused on the worker and

individual differences

Identity Crisis record-keeping image

Strategic HRM competitive importance links to the bottom-line

Key Concepts of HRM

Analyzing and solving problemsAssessing and interpreting costs or

benefits of HRMUsing planning modelsPreparing reports on HRM solutionsTraining the HR staff

1-6

HRM Contributions to Organizational Effectiveness Help organization reach goals Use skills and abilities of employees

efficiently Provide well-trained and well-motivated

employees Increase job satisfaction and self-

actualization Communicate HRM policies Maintain ethical policies and socially

responsible behavior Manage the increasing pace of change

1-7

Quality of Work Life (QWL)

Management and Supervisory Style Freedom and Autonomy to Make

Decisions Satisfactory Physical Surroundings Job Safety Satisfactory Working Hours Meaningful Tasks

1-8

QWL is a general concept referring to several aspects of the job experience, including:

HRM Policies and Programs

1-10

EmployeeBenefit

Program

Sample HRM Policies & Programs

(guidelines)

EMPLOYEE PAYAND BENEFITS

EMPLOYEE SAFETYAND HEALTH

EMPLOYEE BEHAVIOR

Safety FirstProgram

Zero-TolerancePolicy onSexual

Harassment

HRM Procedures and Rules

1-11

EligibilityDetermination

Sample HRM Procedures & Rules

(direction, action)

EMPLOYEE PAYAND BENEFITS

EMPLOYEE SAFETYAND HEALTH

EMPLOYEE BEHAVIOR

AccidentPrevention

ComplaintInvestigation