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Human Resource Development

     This chapter has examined some of the latest tools and techniques for managing the firm's human assets. After the chapter described the staffing process, where human resource development efforts first begin, it noted that these efforts are designed to change things. The change process has three phases: unfreezing the old ways, introducing new behaviors, and refreezing the new equilibrium.

     The remainder of the chapter was devoted to the study of some of the human resource development programs currently being used in modern organizations. Job enrichment is one that has been getting a great deal of attention. It is currently employed in a number of firms, including TI, AT&T, GM's Cadillac division, and overseas in Volvo plants. In essence, job enrichment places primary emphasis on Herzberg's motivators: advancement growth, and responsibility. Yet despite wide acceptance, the technique has a number of vociferous critics who claim that it does not always work Three of the primary reasons cited are that some workers do not find satisfaction in the work place; some people prefer boring, unpleasant jobs with good social interaction to enriched jobs that reduce the opportunity or such interaction; and some workers react to the technique with feelings of inadequacy and fears of failure.

     One of the primary ways of redesigning jobs is by building core job dimensions into them. It has been found that these dimensions are frequently correlated with such outcomes as high work motivation, high quality performance, high satisfaction, low turnover, and low absenteeism.

     Another technique that has also gained a great deal of popularity because of its potential for helping the manager carry out decision-making. communication, and control functions is management by objectives. In essence, MBO entails a meeting of superior and subordinate for deciding: (a) what the subordinate will do, (b) length of time needed, and (c) how performance will be evaluated. In addition to its participative decision making feature, subordinates like the technique because it tells them what is expected of them, thereby reducing ambiguity and anxiety.

     Sensitivity training is designed to make managers more aware off their own actions and their effect on others, in addition to obtaining better insight into what makes subordinates tick. Another approach, which is less emotive but just as valuable to managers who need help communicating with their people, is transactional analysis. A number of companies, including American Airlines, have used this technique to help their managers communicate more effectively with their subordinates.

     The last technique examined was human resources accounting. This technique suggests that the company evaluate its personnel and that this evaluation be reflected in the firm's financial statements. Well-trained, well-motivated people are an asset. Another approach is to evaluate personnel on a periodic basis by measuring causal, intervening, and end-result variables. This technique gives management a reading on the kind of performance it can expect from its people in the near future.