- Book Options and Supplements
- About the Author
- Acknowledgments
- Dedications
- Preface
- Chapter 1: The Foundations of BusinessPrint Chapter|
Chapter 1 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 1 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 1 Study Aid Package has been added to your cart for $2.49.
- Section 1: Getting Down to Business
- Section 2: What Is Economics?
- Section 3: Perfect Competition and Supply and Demand
- Section 4: Monopolistic Competition, Oligopoly, and Monopoly
- Section 5: Measuring the Health of the Economy
- Section 6: Government’s Role in Managing the Economy
- Section 7: Cases and Problems
- Chapter 2: Business Ethics and Social ResponsibilityPrint Chapter|
Chapter 2 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 2 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 2 Study Aid Package has been added to your cart for $2.49.
- Section 1: Misgoverning Corporations: An Overview
- Section 2: The Individual Approach to Ethics
- Section 3: Identifying Ethical Issues
- Section 4: The Organizational Approach to Ethics
- Section 5: Corporate Social Responsibility
- Section 6: Environmentalism
- Section 7: Stages of Corporate Responsibility
- Section 8: Cases and Problems
- Chapter 3: Business in a Global EnvironmentPrint Chapter|
Chapter 3 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 3 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 3 Study Aid Package has been added to your cart for $2.49.
- Chapter 4: Selecting a Form of Business OwnershipPrint Chapter|
Chapter 4 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 4 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 4 Study Aid Package has been added to your cart for $2.49.
- Chapter 5: The Challenges of Starting a BusinessPrint Chapter|
Chapter 5 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 5 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 5 Study Aid Package has been added to your cart for $2.49.
- Section 1: What Is an Entrepreneur?
- Section 2: The Place of Small Business in the Business Landscape
- Section 3: What Industries Are Small Businesses In?
- Section 4: Advantages and Disadvantages of Business Ownership
- Section 5: Starting a Business
- Section 6: The Business Plan
- Section 7: How to Succeed in Managing a Business
- Section 8: Cases and Problems
- Chapter 6: Managing for Business SuccessPrint Chapter|
Chapter 6 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 6 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 6 Study Aid Package has been added to your cart for $2.49.
- Chapter 7: Recruiting, Motivating, and Keeping Quality EmployeesPrint Chapter|
Chapter 7 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 7 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 7 Study Aid Package has been added to your cart for $2.49.
- Chapter 8: Teamwork and CommunicationsPrint Chapter|
Chapter 8 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 8 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 8 Study Aid Package has been added to your cart for $2.49.
- Chapter 9: Marketing: Providing Value to CustomersPrint Chapter|
Chapter 9 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 9 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 9 Study Aid Package has been added to your cart for $2.49.
- Chapter 10: Product Design and DevelopmentPrint Chapter|
Chapter 10 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 10 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 10 Study Aid Package has been added to your cart for $2.49.
- Section 1: What Is a Product?
- Section 2: Where Do Product Ideas Come From?
- Section 3: Identifying Business Opportunities
- Section 4: Understand Your Industry
- Section 5: Forecasting Demand
- Section 6: Breakeven Analysis
- Section 7: Product Development
- Section 8: Protecting Your Idea
- Section 9: Cases and Problems
- Chapter 11: Operations Management in Manufacturing and Service IndustriesPrint Chapter|
Chapter 11 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 11 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 11 Study Aid Package has been added to your cart for $2.49.
- Section 1: Operations Management in Manufacturing
- Section 2: Facility Layouts
- Section 3: Managing the Production Process in a Manufacturing Company
- Section 4: Graphical Tools: PERT and Gantt Charts
- Section 5: The Technology of Goods Production
- Section 6: Operations Management for Service Providers
- Section 7: Producing for Quality
- Section 8: Cases and Problems
- Chapter 12: The Role of Accounting in BusinessPrint Chapter|
Chapter 12 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 12 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 12 Study Aid Package has been added to your cart for $2.49.
- Chapter 13: Managing Financial ResourcesPrint Chapter|
Chapter 13 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 13 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 13 Study Aid Package has been added to your cart for $2.49.
- Chapter 14: Personal FinancesPrint Chapter|
Chapter 14 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 14 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 14 Study Aid Package has been added to your cart for $2.49.
- Chapter 15: Managing Information and TechnologyPrint Chapter|
Chapter 15 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 15 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 15 Study Aid Package has been added to your cart for $2.49.
- Chapter 16: The Legal and Regulatory Environment of BusinessPrint Chapter|
Chapter 16 Print–It–Yourself has been added to your cart for $1.99.
Chapter Audio|Chapter 16 Audio has been added to your cart for $2.49.
Chapter Study AidsChapter 16 Study Aid Package has been added to your cart for $2.49.
There are no key terms for this page.
Developing Employees
Learning Objective
Explain how companies train and develop employees, and discuss the importance of a diverse workforce.
Because companies can’t survive unless employees do their jobs well, it makes economic sense to train them and develop their skills. This type of support begins when an individual enters the organization and continues as long as he or she stays there.
Have you ever started your first day at a new job feeling upbeat and optimistic only to walk out at the end of the day thinking that maybe you’ve taken the wrong job? If this happens too often, your employer may need to revise its approach to orientationorientationActivities involved in introducing new employees to the organization and their jobs.—the way it introduces new employees to the organization and their jobs. Starting a new job is a little like beginning college; at the outset, you may be experiencing any of the following feelings:
Somewhat nervous but enthusiastic
Eager to impress but not wanting to attract too much attention
Interested in learning but fearful of being overwhelmed with information
Hoping to fit in and worried about looking new or inexperienced[187]
The employer who understands how common such feelings are is more likely not only to help newcomers get over them but also to avoid the pitfalls often associated with new-employee orientation:
Failing to have a workspace set up for you
Ignoring you or failing to supervise you
Neglecting to introduce you to coworkers (or introducing you to so many people that you have no chance of remembering anybody’s name)
Assigning you no work or giving you busywork unrelated to your actual job
Swamping you with facts about the company[188]
A good employer will take things slowly, providing you with information about the company and your job on a need-to-know basis while making you feel as comfortable as possible. You’ll get to know the company’s history, traditions, policies, and culture over time. You’ll learn more about salary and benefits and how your performance will be evaluated. Most importantly, you’ll find out how your job fits into overall operations and what’s expected of you.
It would be nice if employees came preprogrammed with all the skills they need to do their jobs. It would also be nice if job requirements stayed the same: once you’ve learned how to do a job (or been preprogrammed), you’d know how to do it forever. In reality, new employees must be trained; moreover, as they grow in their jobs or as their jobs change, they’ll need additional training. Unfortunately, training is costly and time-consuming.
How costly? For every $1 in payroll that it spends, the consulting firm Booz Allen Hamilton invests almost $0.08 in employee training and development. At Pfizer, the world’s largest pharmaceutical company, the total is $0.14 out of every payroll dollar.[189] What’s the payoff? Why are such companies willing to spend so much money on their employees? Pfizer, whose motto is “Succeed through People,” regards employee growth and development as its top priority. At Booz Allen Hamilton, consultants specialize in finding innovative solutions to client problems, and their employer makes sure that they’re up-to-date on all the new technologies by maintaining a “technology petting zoo” at its training headquarters. It’s called a “petting zoo” because employees get to see, touch, and interact with new technologies such as the Segway Human Transporter (a battery-operated vehicle that responds to the rider’s movements) even before they hit the market.[190]
At Booz Allen Hamilton’s technology “petting zoo,” employees are receiving off-the-job trainingoff-the-job trainingFormal employee training that occurs in a location away from the office.. This approach allows them to focus on learning without the distractions that would occur in the office. More common, however, is informal on-the-job trainingon-the-job trainingEmployee training (often informal) that occurs while the employee is on the job., which may be supplemented with formal training programs. This is the method, for example, by which you’d move up from mere coffee maker to a full-fledged “barista” if you worked at Starbucks.[191] You’d begin by reading a large spiral book (titled Starbucks University) on the responsibilities of the barista. After you’ve passed a series of tests on the reading material, you’ll move behind the coffee bar, where a manager or assistant manager will give you hands-on experience in making drinks. According to the rules, you can’t advance to a new drink until you’ve mastered the one you’re working on; the process, therefore, may take a few days (or even weeks). Next, you have to learn enough about different types of coffee to be able to describe them to customers. (Because this course involves drinking a lot of coffee, you don’t have to worry about staying awake.) Eventually, you’ll be declared a coffee connoisseur, but there’s still one more set of skills to master: you must complete a customer-service course, which trains you in making eye contact with customers, anticipating their needs, and making them feel welcome.[192]
The makeup of the U.S. workforce has changed dramatically over the past 50 years. In the 1950s, more than 60 percent was composed of white males.[193] Today’s workforce, however, reflects the broad range of differences in the population—differences in gender, race, ethnicity, age, physical ability, religion, education, and lifestyle. As you can see in Table 7.1, “Employment by Gender and Ethnic Group”, more women and minorities have entered the workforce, and white males now make up only 37 percent of the workforce.[194] Their percentage representation diminished as more women and minorities entered the workforce.
Most companies today strive for diverse workforces. HR managers work hard to recruit, hire, develop, and retain a workforce that’s representative of the general population. In part, these efforts are motivated by legal concerns: discrimination in recruiting, hiring, advancement, and firing is illegal under federal law and is prosecuted by the EEOC.[195] Companies that violate antidiscrimination laws not only are subject to severe financial penalties but also risk damage to their reputations. In November 2004, for example, the EEOC charged that recruiting policies at Abercrombie & Fitch, a national chain of retail clothing stores, had discriminated against minority and female job applicants between 1999 and 2004. The employer, charged the EEOC, had hired a disproportionate number of white salespeople, placed minorities and women in less visible positions, and promoted a virtually all-white image in its marketing efforts. Six days after the EEOC filed a lawsuit, the company settled the case at a cost of $50 million, but the negative publicity will hamper both recruitment and sales for some time to come.[196]
Table 7.1. Employment by Gender and Ethnic Group
| Group | Total (%) | Males (%) | Females (%) |
|---|---|---|---|
| All employees | 100 | 52 | 48 |
| White | 70 | 37 | 33 |
| African American | 14 | 6 | 8 |
| Hispanic or Latino | 11 | 6 | 5 |
| Asian/Pacific Islander/Other | 5 | 3 | 2 |
There’s good reason for building a diverse workforce that goes well beyond mere compliance with legal standards. It even goes beyond commitment to ethical standards. It’s good business. People with diverse backgrounds bring fresh points of view that can be invaluable in generating ideas and solving problems. In addition, they can be the key to connecting with an ethnically diverse customer base. If a large percentage of your customers are Hispanic, it might make sense to have a Hispanic marketing manager. In short, capitalizing on the benefits of a diverse workforce means that employers should view differences as assets rather than liabilities.
Key Takeaways
The process of introducing new employees to their jobs and to the company is called orientation.
An effective approach is to take things slowly, providing new employees with information on a need-to-know basis while making them feel as comfortable as possible.
New employees will need initial training to start their jobs, and they’ll need additional training as they grow in or change their jobs.
Off-the-job training allows them to focus on learning without the distractions that would occur in the office, but on-the-job training is more common.
In addition to having well-trained employees, it’s important that a workforce reflects the broad range of differences in the population.
The efforts of HR managers to build a workforce that’s representative of the general population are driven in part by legal concerns: discrimination is illegal, and companies that violate antidiscrimination laws are subject to prosecution.
But ensuring a diverse workforce goes well beyond both legal compliance and ethical commitment. It’s good business, because a diverse group of employees can bring fresh points of view that may be valuable in generating ideas and solving problems.
Additionally, people from varied backgrounds can help an organization connect with an ethnically diverse customer base.
Exercises
-
Think about a full-time or part-time job that you’ve held. Was your orientation to the job satisfactory? If not, how would you have improved the process? Did you receive any training? Was it useful? What additional training would have helped you do a better job? How would it have benefited the company?
-
While visiting a mall in Los Angeles, you noticed two stores located side by side selling electronic-entertainment products—CDs, DVDs, and so on. All the employees in one store were white males. The mix of workers in the other store—which happened to be more profitable—was more diverse. Why do you think the store with the diverse workforce did more business? In terms of diversity, what would be your ideal workforce in a store similar to these in Los Angeles?
[187] “Induction: Orienting the New Employee,” HRM Guide Network, http://www.bestbooks.biz/learning/induction.html (accessed May 6, 2006).
[188] Susan Heathfield, “Top Ten Ways to Turn Off a New Employee,” About, Inc., http://humanresources.about.com/library/weekly/aa022601a.htm (accessed May 6, 2006).
[189] “Top 100: Top Five Profile and Rank,” Training Magazine, March 2004, 42.
[190] Tammy Galvin, “The 2003 Training Top 100,” Training Magazine, March 2003, 2.
[191] Brooke Locascio, “Working at Starbucks: More Than Just Pouring Coffee,” Tea and Coffee, January/February 2004, http://www.teaandcoffee.net/0104/coffee.htm (accessed May 6, 2006).
[192] Howard Schultz and Dori Jones Yang, Pour Your Heart into It: How Starbucks Built a Company One Cup at a Time (New York: Hyperion, 1997), 250–51.
[193] Judith Lindenberger and Marian Stoltz-Loike, “Diversity in the Workplace,” The Economics and Policy Resource Center, http://www.advertisingknowhow.com/article-archives/Business/Diversity-In-The-Workplace.html (accessed May 6, 2006).
[194] U.S. Equal Employment Opportunity Commission, “Occupational Employment in Private Industry by Race/Ethnic Group/Sex, and by Industry, United States, 2002,” http://www.eeoc.gov/stats/jobpat/2002/us.html (accessed May 6, 2006).
[195] U.S. Equal Employment Opportunity Commission, “Federal Laws Prohibiting Job Discrimination: Questions and Answers,” Federal Equal Employment Opportunity (EEO) Laws, http://www.eeoc.gov/facts/qanda.html (accessed May 6, 2006).
[196] U.S. Equal Employment Opportunity Commission, “EEOC Agrees to Landmark Resolution of Discrimination Case Against Abercrombie & Fitch,” http://www.eeoc.gov/press/11-18-04.html (accessed May 6, 2006).

Citation Information
APA Format:Collins, Karen., Exploring Business. Retrieved Sep 2, 2010 from http://www.flatworldknowledge.com/node/27984 .
MLA Format:Collins, Karen. Exploring Business. 1969 . Flat World Knowledge. 2 Sep, 2010. <http://www.flatworldknowledge.com/node/27984> .
Chapter 7 Print–It–Yourself has been added to your cart for $1.99.
This book is not available for adoption
Adopt this book for your course
We are happy you want to adopt this Flat World Knowledge textbook for your course! You'll need to register as a user to get started.
Why? Registering allows you to post your course's information on our website so students can find their book, and gives you access to My(flat)World where you can keep track of all the books you adopt.
Are you a new user? Sign up here for free.
Adopt this book for your course
Thank you for your interest in adopting this book for your class. It is NOT YET PUBLISHED. When it is, you will click this button and:
Fill out a short adoption form. When you submit it, we will generate (and send to you) a URL that is unique to your class. That is where your students will go to get their free online book, or to purchase affordable alternatives.
You will also be able to print out this adoption form and bring it to the bookstore so that they can order and sell copies locally of the softcover print version.
This book is not available for customization
You must log in to customize textbooks.
New user? Sign up here for free, and give it a try.
Features:
Drag-and-drop chapters into a new table of contents that suits your syllabus. Resequence and delete down to the section level!
Even better: Annotate content at the paragraph level, giving you fine grained control over the content to suit your exact needs.
Another benefit: No more being forced to switch to new editions. Ever. You move to new editions when you have time and when you see merit. Not when we do.
We have more to do: More cool features in the works, like adding your own authored content, as well as editing existing content all the way to the sentence level. Stay tuned.
This book is not yet published. When it does, our customization features let you:
Drag-and-drop chapters into a new table of contents that suits your syllabus. Resequence and delete down to the section level!
Even better: Annotate content at the paragraph level, giving you fine grained control over the content to suit your exact needs.
Another benefit: No more being forced to switch to new editions. Ever. You move to new editions when you have time and when you see merit. Not when we do.
We have more to do: More cool features in the works, like adding your own authored content, as well as editing existing content all the way to the sentence level. Stay tuned.
Your book has already been saved for print.
You typically should not customize your book further. If your bookstore or students have already ordered the book they will not see your future changes.
If you choose to make further customizations you can do so by choosing 'customize' for this book from My Flatworld
This book does not have any Educator Supplements
Only approved educators have access to the supplements for this textbook. Please note: Educator access is manually approved within approximately 48 business hours after your registration.
If you already have an account and have been approved as an educator, then please login.
Are you a new user? Sign up for free.
You can also feel free to contact us regarding this matter.