SUMMARY TO GROUP 1

Group 1

OVERVIEW:

Human work is concerned with production and distribution of the goods and services.

*Industrial Psychology: Its Premises

          There are three premises which may view as desirable objectives of industry.

          *should produce goods and services

          *desirable to increase

          *maintain or enhance the certain human values

*The Development of Industrial Psychology

          Industrial Psychologies grew its present maturity were concerned particularly with problems of personnel selection.

          One of the first major books in the area was Hugo Munsterberg’s Psychology of Industrial Efficiency (1913).  

*Changes in Emphasis in Industrial Psychology

          They discuss the early years in 1930’s and 1940’s through continuing the personnel selection and placement. This has continued to be important to industrial psychology and probably will continue to be in the years to come.

*Modus Operandi of Industrial Psychology

          The Modus Operandi of Industrial Psychology have four phases of stages:

          1. Identification of the problems to be treated.

          2. Use of various methods of collection and analysis of relevant data.

          3. The findings resulting from these methods and associated analyses.

          4. The applications of such findings to the problems at hand.

 *Identification of the Problems

          The problems relevant to Industrial Psychology are manifests in various ways and at various levels of abstraction – most of them being manifestations­­­_­ of the disparities between the objectives referred to above and the reasonable fulfillment of these in practice.

*Two Faces of Industrial Psychology

          Industrial psychologies become involved in a variety of activities, but in a sense their responsibilities can be viewed as relating either to science of psychology or to the profession of psychology.

          *Science of Psychology

                   -discovery through research

                   -some psychological research aim to determine reasons for the behavior of people – at explaining such behaviors in terms of theories

          *Profession of psychology

                   -with an emphasis on the application of knowledge and insight to practical problems

                    -this can include consulting, program development, individual evaluation

BENEFITS AND COMPENSATION

                                                               BENEFITS

Employee benefits typically refers to retirement plans, health life insurance, life insurance, disability insurance, vacation, employee stock ownership plans, etc. Benefits are increasingly expensive for businesses to provide to employees, so the range and options of benefits are changing rapidly to include, for example, flexible benefit plans.

EMPLOYEE BENEFITS


Employee benefits typically refers to retirement plans, health life insurance, life insurance, disability insurance, vacation, employee stock ownership plans, etc. Benefits are increasingly expensive for businesses to provide to employees, so the range and options of benefits are changing rapidly to include, for example, flexible benefit plans.

Benefits are forms of value, other than payment, that are provided to the employee in return for their contribution to the organization, that is, for doing their job. Some benefits, such as unemployment and worker's compensation, are federally required. (Worker's compensation is really a worker's right, rather than a benefit.)Prominent examples of benefits are insurance (medical, life, dental, disability, unemployment and worker's compensation), vacation pay, holiday pay, and maternity leave, contribution to retirement (pension pay), profit sharing, stock options, and bonuses. (Some people would consider profit sharing, stock options and bonuses as forms of compensation.)

You might think of benefits as being tangible or intangible. The benefits listed previously are tangible benefits. Intangible benefits are less direct, for example, appreciation from a boss, likelihood for promotion, nice office, etc. People sometimes talk of fringe benefits, usually referring to tangible benefits, but sometimes meaning both kinds of benefits.You might also think of benefits as company-paid and employee-paid. While the company usually pays for most types of benefits (holiday pay, vacation pay, etc.), some benefits, such as medical insurance, are often paid, at least in part, by employees because of the high costs of medical insurance.

                                               COMPENSATION
Compensation includes topics in regard to wage and/or salary programs and structures, for example, salary ranges for job descriptions, merit-based programs, bonus-based programs, commission-based programs.


Employee Compensation

Compensation includes topics in regard to wage and/or salary programs and structures, for example, salary ranges for job descriptions, merit-based programs, bonus-based programs, commission-based programs, etc. (Also see the Related Info (including Benefits).

Compensation is payment to an employee in return for their contribution to the organization, that is, for doing their job. The most common forms of compensation are wages, salaries and tips.Compensation is usually provided as base pay and/or variable pay. Base pay is based on the role in the organization and the market for the expertise required to conduct that role. Variable pay is based on the performance of the person in that role, for example, for how well that person achieved his or her goals for the year. Incentive plans, for example, bonus plans, are a form of variable pay. (Some people might consider bonuses as a benefit, rather than a form of compensation.) Some programs include a base pay and a variable pay.

Organizations usually associate compensation/pay ranges with job descriptions in the organization. The ranges include the minimum and the maximum amount of money that can be earned per year in that role.

Employees have certain monies withheld from their payroll checks, usually including federal income tax, state income tax, FICA (social security) contributions, and employee contributions to the costs of certain benefits (often medical insurance and retirement).

Exempt and Non-Exempt

Jobs in organizations have two classifications, exempt and non-exempt.Professional, management and other types of skilled jobs are classified as exempt. Exempt jobs get a salary, that is, a fixed amount of money per time interval, usually a fixed amount per month. It's not uncommon for exempt positions to receive higher compensation and benefits than non-exempt jobs, although non-exempt jobs often can make more money than exempt jobs simply by working more hours.Unskilled or entry-level jobs are usually classified as non-exempt. Non-exempt jobs usually get a wage, or an amount of money per hour. Non-exempt jobs also get paid over-time, that is, extra pay for hours worked over 40 hours a week or on certain days of the week or on holidays.

Each job must have the same pay range for anyone performing that job, that is, one person can't have a higher maximum pay than someone else doing that same job.

CHAPTER 7: GENERAL PRACTICES IN PERSONNEL SELECTION

TYPES OF PERSONNEL ACTIONS

     Personnel selection refers to choosing, from a number of available candidates, who are to be employed.

* Placement - focuses on choosing from a number of possible jobs the one presumable best suited to a given candidate.

* Classification - applies to a situation in which there is a pool of individuals and a pool of jobs and refers to the assignment of the individuals to the jobs in order to optimize, collectively, the matches between the two.

* Promotions - advancement of individuals to higher-level jobs.

PERSONNEL SPECIFICATIONS

     The objective of setting up personnel specifications is to state those items of personal data that are "valid" for selecting individuals for the job.

 TWO CLASSES:

1. Specifications that are reasonably intrinsic to the job (aptitudes and sensory and physical abilities)
2. Other specific requirements associated with labor market conditions

TYPES:

1. Work experience
2. Education
3. Training
4. Biographical data
5. Physical data
6. Information on various abilities, personality, interests, and other characteristics

SPECIFICATIONS FOR TRAINED VS UNTRAINED PERSONNEL

     Trained personnel's focus of specifications is on the nature, length, and quality of any relevant training, education, or experience required for the job. On the other hand, untrained personnel's focus of specifications is on those qualities presumed to reflect their potentialities for the job.

SOURCES OF RELEVANT PERSONNEL DATA

1. Personnel tests and inventories
2. Application forms and other personal data questionnaires
3. Physical examinations
4. Interviews
5. Letters of reference

TYPES OF RELIABILITY COEFFICIENTS

1. Coefficient of Stability - based on the use of the same type of measurement instrument administered at two points in time to a sample of people, the results of these two administrations usually being correlated.
2. Coefficient of Equivalence - based on data from two samples of the "universe" of the behaviors or events being measured.
3. Coefficient of Internal Consistency - various parts or items of a test of some behavior or attribute all should measure essentially the same thing.

VALIDITY

     Validity is the appropriateness of inferences from test scores or other forms of assessment.

TYPES:

1. Criterion Related Validity - determined by comparing test scores with one or more independent criteria.
2. Construct Validity - evaluated by investigating what psychological qualities a test measures.
3. Content Validity - applies to various types of achievement tests, job knowledge tests or job performance tests
4. Job Component Validity - predicated on the assumption that the human requirements of any given job activity or "component" would be comparable in any job in which that activity or component occurred in equal degree.

     In personnel selection, the most approved validity is criterion-related validity.

JOB STATUS METHOD OF TEST VALIDATION

     When this method is used, the test scores of employees on each of two or several jobs are compared to ascertain whether there are significant differences.

FACTORS DETERMINING THE FUNCTIONAL VALUE OF PERSONNEL TESTS

1. Reliability
2. Validity
3. Percentage of present employees who are "satisfactory" on the job.

CHAPTER 6: ORGANIZATIONAL STRUCTURE

  There are four problems facing the understanding of behavior:

1. Diversity of reasons
2. Stereotypes 
3.   Different reasons for behaviors at different times    
4.  Different behaviors in the work setting that are of interest

        Theories of  Work Motivation

1. Need Theories

• Need Hierarchy Theory (Maslow) - as lower needs were satisfied, the individual shifted his or her concern to higher order needs.

          -Physiological Needs (basic needs)

          -Safety Needs (protection)

          -Social Needs (needs for belonging)

          -Ego Needs (self-esteem)

          -Self-Actualization (need for realizing one's own potentialities)

• ERG Theory (Alderfer) - more than one need may operate at one time and satisfaction of a need may or may not lead to a progression to the next higher need.

          *Existence Needs (physical existence)

          *Relatedness Needs (interpersonal needs)

          *Growth Needs (needs for personal development and improvement)

• Need for Achievement (McClelland and Atkinson) - addressed achievement-oriented activity.  This is influenced by the result of a conflict between two opposing tendencies, the tendency to achieve success (n-Ach) and the tendency to avoid failure (n-AF).

2. Balance Theories

• Equity Theory (J. Stacy Adams) - if a comparison is equitable, no tension exists; the individual is satisfied and should have little desire to change the outcome/input ratio. Inequity creates tension and, with it, a desire by the individual to reduce the tension by altering one or more elements of the ratios to bring the comparison back to equality. Examples of inequality are underpayment and overpayment.
• Consistency Theory (Korman)

        -Balance Notion (states that individuals will engage in and find satisfying those behaviors which  maximize their sense of cognitive balance or consistency. They will be motivated to perform in a manner consistent with their self-image).

        -Consistency Notion (predicts that high self-esteem people tend to perform better than those with low self-esteem which prefer to behave in a manner consistent with their low self-image).

3. Two-Factor Theory (Herzberg) - proposed a theory of job satisfaction. Motivator factors that are associated with high job attitudes and Hygiene factors that are associated with low job attitudes.

4. Behavior Modification (Skinner) - behavior is controlled by its consequences. The consequences of interest are reinforcers (anything that follows a behavior and influences the probability that behavior will be repeated in the future).

5. Expectancy Theory (Vroom) - based upon a rational-economic view of people. It is assumed that people are decision makers who choose among alternative courses of actions by selecting the action that appears most advantageous.

6. Intrinsic Motivation (Deci)

• White's Notion of Competence Motivation - assumes that in performance settings, people are motivated to do well in order to experience a sense of competence.

LEVELS OF CONSIDERATION FOR WORK BEHAVIOR

1. Motivational Theories of Work Behavior
2. General Practices for Influencing Behavior in Organization

• Goal Setting - goals provide as a basis for motivation and they guide behaviors
• Participatory Decision Making - employees who participate in making decisions will be more committed to their decisions and will work harder to accomplish them
• Incentive Systems - items given to individuals that are designed to influence future behavior
• Job Design

     3. Specific Practices (MBO, Pay Schedules, Leadership Styles)

Chapter 5 Behavioral Measurement General Considerations

  There are six classes of criteria that need to be considered in measuring the job-related behavior. The following are:


                       1.) Performance Criteria – work of the individuals

      2 dimensions

                  -          Quantity  - based on the number of units produced

                  -          Quality - usually is more difficult to measure or judge. Very frequently quality is related to some type of human error.

2.)JOB ATTENDANCE CRITERIA

·         3  kinds of criteria

-          Job tenure

-          Absenteeism (Purcell  propose to change it into attendance )

-          Tardiness

3.) ACCIDENT AND INJURY CRITERIA

-          Concerned with matters of safety

4.) PHYSIOLOGICAL CRITERIA

-           Used in studying the effects of environmental variables, physical work, periods, methods of work and so forth.

5.) STATUS CRITERIA

-          Based on relevant recorded information about individuals.

6.) SUBJECTIVE CRITERIA

-          Based on subjective judgments of raters (ex. Measures of attitudes)

SELECTION OF CRITERIA

·         RELEVANCE CRITERIA – refers to the extent to which criterion measures of different individuals are meaningful in terms of the objectives for which such measures are derived.

-          The more closely any actual criterion approximates theoretical ultimate standard, the more relevant it is.

·         FREEDOM FROM CRITERION – the behavior of individual is a function of both individual and situational variables..

-          Any influence of differences in situational variables can contaminate criterion measures of individuals.

-          Possible contamination might include the extent of training or experience different individuals have had.

·         RELIABILITY OF THE CRITERION – can be viewed as applying to the measurement of virtually any type of variable, such as criteria, tests, and ratings. Unfortunately there is no simple, pat definition of such reliability , but in a very general sense we can think of it as the stability or consistency of measures of whatever variables we are using.

PROBLEMS IN OBTAINING CRITERION DATA

-          They don’t know who can hold their personal data

-          Only the authorized personnel can hold the confidential data of one personnel.

POSSIBLE TREATMENT OF MULTIDIMENSIONAL JOB CRITERIA

-          It is used when your data is highly intercorrelated.

-           ARGUMENTS FOR MULTIPLE CRITERIA (used independently, combine the criteria if it is possible to each other).

-          ARGUMENTS FOR COMPOSITE OR OVERALL CRITERIA (it is not always the bases to do your own task or the criteria’s. you have your own criteria to do your responsibility.)

CHAPTER 4: JOBS AND JOBS ANALYSIS

Jobs  are the means by which people earn their daily bread and represent how they spend a major portion of their lives.Usually developed by conducting a job analysis, which includes examining the tasks and sequences of tasks necessary to perform the job.A job usually includes several roles. The job description might be broadened to form a person specification or may be known as Terms Of Reference.

A job analysis is the process used to collect information about the duties, responsibilities, necessary skills, outcomes, and work environment of a particular job. You need as much data as possible to put together a job description, which is the frequent outcome of the job analysis. Additional outcomes include recruiting plans, position postings and advertisements, and performance development planning within your performance management system. Reviewing the job responsibilities of current employees,doing Internet research and viewing sample job descriptions online or offline highlighting similar jobs,analyzing the work duties, tasks, and responsibilities that need to be accomplished by the employee filling the position,researching and sharing with other companies that have similar jobs, and articulation of the most important outcomes or contributions needed from the position.

CHAPTER 3 BEHAVIORAL RESEARCH

In Behavioral research is aimed to making predictions of connecting .behavior.There are two types of variables.One type  is criterion which being predicted  and also called the dependent variable ( measured variable )and the other one type is predictor and also called the independent variable ( controlled variable )the one used in predicting the criterion.


Virtually any type of behavioral research requires that the variables,both the predictors and the criteria be measured.There are four basic types of measurement.


1. Nominal Scale or categorical
2. Ordinal Scale - used to characterized the rank order.
3. Interval Scale -  has no absolute zero
4. Ratio Scale - has absolute zero


and also  there are six treatment of variables in research:

I.  Do not measure:

     1. Ignore

     2. Randomization

II. Measure under the following conditions:

     1. With no manipulation

     2. Manipulated by:

          a. Holding constant

          b. Matching

          c. Creating specific levels or categories

In research strategies there sometimes is a distinction between experimental and correlational strategies.The  experimental approach usually involves some form of manipulation of the predictor.In the  correlational strategy,data are obtained on the predictor and criterion variables for each case in the sample.