CHAP 11: HUMAN RESOURCE MANAGEMENT

“Successful HRM is based on a company’s ability to attract and hire the best employee,
equip them with knowledge and skills they need to excel, and motivate them to reach
their full potential and perform at high best level.”.

One reason the role of HRM has grow is that the shif from traditional manuafacturing
industtry to service and high-tech jobs requiring compa must hire workers with highlly
trained and technical job skills.. That shift mean that workers have to change themselve
to adapt and flexible, retained for new and more challenging jobs

1. What is the human resource management process, and how are human
resource needs determine?

- HRM: the process of determining the human resource needs then

Recruiting  selecting  developing  motivating  evaluating  compensating

 scheduling employees.  in order to achieve orgarnization goals.

- 6 steps of HRM process:

{ Stp1: Job analysis and design }

Stp2: Planing and forecasting

Stp3: Recruitment

Stp4: Selection

Spt5: Training and development

Spt6: performance planning and evaluation

Spt7: Compensating and benefits

 Services and high-tech/ high-skilled manuafactuaring require employees with

highly technical job skills. So that com. may find it difficult and important to
recruit and retend workers who are scarce and well-specialized/ high-level
workers.

 Challenges in finding workers:

- A shortage of trained employees

- Changes in labour’s attitude about work.

- A declining economy with fewer full-time jobs

- Low-wage costs
 - A decreasing loyalty.

LAWS AFFECTING HUMAN RESOURCE MANAGEMENT

 EEOC- Equal Emplotment Opportunity Commission given the right to tackle

workplace guilines for acceptable employer conduct

- Controversial Procedures of the EEOC

Affirmative Action: hanh dong khang dinh disadvantage

Reverse Discrimination

+ a govt policy is designed to help minorities + is the notion that instead of

and disadvantage people in finding a job, promoting anti-discri, AA leads

accquiring admission at unive & obtaining to pre-discrimate against individu

housing who came from non- disadven

+ result: boost diversity in community, the groups such as whites or mans in

workplace and learnig institution hiring and promoting

 Resulting talented workers may not be given equal opp simply because they’re not a
part of the minority group

 OFCCP: Office of Federal Contract Compliance Programs: gurantee to do

bussiness with the federal govt comply with the nondiscrimination and affirmative
action.

 ADA – Americans with Disabilities Act

 ADEA – Age Discriminateion Employment Act: protects 40-year-old worker or

over from workplace discrimination.

2. HR planing and job design and analysis

Two imperative or parallel factor of human resource management process are

deteminig employee needs

- Having the right number for people, with the right training, in the right job to meet
its sale goals by accesing the skill to see whether new people must be hired and
current people can be trained
Strategies/ goals/ job analysis and design: Recruitment
Selection

Market position HR planing and forecasting

- 6 steps of PLANNING.

- Think about the human resource need that

are most likely to develop in futu

- Prepare human resource intentory, including ages, names, education, specialized

skills , etc

- Make an job analysis by making a job description & specitification

- Assesing the future demand: due to the

- Assesing the future supply

- Create a strategy plan to obtain the right employees.

Job analysis Job Description Job Specification

(ab the job) (about the person)

Including tasks required to Where the tasks and The skills, knowlegde and
do a job well in general. responsibilities are list like abilities person must have

The result of jo analysis the type of work, the to fulfil a job

are two written statements duties, working conditions

and relationship to other
jobs

 Difficulties in hiring talent workers: policy, union regulation, low wage

3. Employee Recruitment.: buoc tuyen dung

- Means gathering as much people as possible with the acquiring needed skills

- Two sources of jop applicants are internal and external labour market :

+ Internal labour market: employees currently employed by the firm previously

+ External labour market: looking for people who work outside its orgarnization
instead of giving the job to so who is already working for the com at a lower place

 Case study: in small enterprise.

  To survive, they have to recruit
and maintain high-qualified
workers. Unavoidablely, the
lack of resource of big firm are
now given more competitive
recruitment market for
employees

4. Employee Selection:buoc chon

loc

- Definition: the process of gathering all of information and deciding who should be
hired, and fit the demand for achieving the sales goals to be successful on the job.

- 6 steps in selection process:

a. Intinial screening: complete an application form and has a brief interview on 30

min or less, including in4 about educational background, previous work
experience and job duties performed.

b. Employment testing: applicant could be asked to take one or more task to test your
ability, motivation potential or knowledge or skill

c. Selection interview: level-up test to evaluate in-depth an applicant’s work

experience, skill and abilities. Be designed and interview by several persons, line
manager for the position to be filled  determining communication skill and
intention.

d. Background and reference check: their legal history, reason why they leave
previous job.

e. Physical exams and drug testing: require an applicant to have a medical check and
healthy mental to ensure that he/she is physically available for perform job tasks.

f. Decision to hire: final step which make recruiter’s decision as to whether or not
they should hire or object their applicants. In some case, the job maybe offer a
contigent workers for some reason*

5. Employee training and development.

a. Employee training

- Definition: all attempts to improve productivity by increasing an employee’s

ability to perform.
- Training: focusing on short-term

- Development: focusing on long-term

- Including 3 steps:

(1) Assessing orgarnization needs and labor skills to determine training process

(2) Designing training activities to meet identified needs

(3) Evaluating the training’s effectiveness ( due to the the innovation of technology,
many workers have to immerse themselve into training programs that are quite
sophisticated)

- Some common training and development activites

 Orientation: the acti that initiate people into orgarnization via technology form
such as Gg Form, … to collect nonsensitive in4 quickly. Orientation range from
informal talks to formal act providing in4 about that firm to be recruited like
history, com value and expectations, polycies as well as an overview of products
and services

 On-the job training: lets people learning by doing or watching other experienced
people for a while and then imitating them ( often called “shadowing” , right at the
workplace  is the easiest kind of training ( simple job or easily to shadowing)
dao tao tai cho

 Apprentice programs: training programs involving a period during which a

learner works alongside a skilled employee to master the skills and procedures of
a craft. This type of training requires workers for several year to reach their full
potential, ensure excellence as wel as to limit entry to the union.

 Off-the-job training: occurs far way from the workplace, apart from job courses,
instead of that focusing on developing any of varety of skill or to foster personal
development ( time management, stress mangement, health and wellness, physical
education, nutrious diet or even art and languages ) hoc hoi nhung cai lien quan

 Online training: illustrates how technology can impact on the efficiency of may
off-the-job training programs. It is the key to provide a widening training range to
a large number of employees at convenient time without busy schedule
 Vestibule training: course takes place in classroom with the equipment similar to
that used on the job to learn proper methods and safety procedures before
assumimg a specific job assignment_moi truojng gia lap

 Job simulation: mo phong cong viec – the use of equipment that duplicates job
conditions and tasks so that trainees can learn how to exactly attemp them on the
job. ( # vertibule training in that it duplicates the exact combination of conditions
that will occur on the jobs { virtual reality }

b. Management development.

- Definition: the process of training and educating participants to become good

qualified managers and monitoring the progress of ther skill over time.

- MD is increasing being used as a tool to accomplish bussiness objectives:

+ On-the-job coaching

+ Understudy positions

+ Job rotation

+ Off-the-job course and training

c. Networking and Mentoring

 Networking: establishing and maintaining contacts with key managers in and out
of the organi and using these contacts to develop relaitionship.

 Mentoring: managers who supervise, coach and guide selected lower-level

employees by acting as corparate sponsors

6. Appraising performance on the job: bang danh gia ket qua hoan thanh

 Performance appraisal – danh gia ket qua hoan thanh cong viec

An evaluation that measure employee performance to make decision about

promotion, compensate, training or termination, concluding 6 steps:

(1) Estabishing performance standards: must be understandable, subject to

measurement and reasonable

(2) Communicating those standards.

(3) Evaluating performance

(4) Discussing results with employee

(5) Taking corrective action

(6) Using the result to make decisions

 Mistakes:

- Constrast effect – comparing one employee to another

- Halo/Horn Effect – radically make evaluatation via one mistake during large tasks

- Similar-to-me effect : bias so who is similar to them

7. Compensating employees: attracting and keeping the best:

- A manager and competitive compensation help:

+ attracted the kinds of employee

+ build incentive to work efficiently and productively

+ keep valued employees from going to competitor or starting competing firms

+ maintaing a com position in the market place by keeping cost low

+ sense of security through benefits such as insurance and retirement benefits

 Pay systems: knowledge, problem solving and accountability.

 The most commomly used pay structure today is market-based, depending on their
high skill instead of their level or position in organization. ( technology workers
should be receive a higher salary than their managers because workers have to
make more effort to perform complex task and there is high deamand and short
supply of skilled tech workers)

 Types of pay systems:

- Salary – hourly wage or daywork – piecework system – commission plans

 Five alternative compensation:

- Commission plan – bonus plans – profits sharing plan – gain sharing plan- stock
option.

8. Fringe benefits:

- Including sick-leave pay, vacation pay, pension plans, and health plans that
provide add compensation beyond base wages.

- Healthcare has been the most significant increase in fringe benefit cost.
- Flexible scheduling plans:

+ Flexible plan : gives employees some freedom to choose which hours to work as
long as they work the required number

+ Compressed work week: instead of working 10 day for 10 hours, worker perform
enough 10 hours just 3 days ( enjoy long weekend after working long days,
productivity is a concern, ex: nurses and firefighters)

+ Job sharing: lets two or more part time employees share on a fulltime job

+ Core time: most flexible time where all empl are expected to be at their job stations.

CHAP 13: MARKETING: Helping buyers buy

1. Define marketing.

- Marketing: the actuvity, set of institutions and processes for creating,

communication, delivering, and exchanging offerings that have valu for
customers, clients partners and society as well. More simply, as the activities
buyers and sellers perform to facilitate satisfying exchanges.

- Past and temporary marketing strategies:

+ In the past, marketing focused almost entirely on helping the seller sell  why
people think of it as mostly selling, advertising and contribution from sellers to
buyes

+ Nowadays, marketing focused more on helping buyer buy

 Websites can help the buyers to find out the most affordable price, identify
product features and deal to sellers. Consumers today spend several hours
searching website online for good deals.

 A wise marketers is someone who provide a wealth of in4 online and then
stimulating customers using their social network and online platform, cultivating
the customers relationship

2. The evolution of marketing.

 Four era of US marketing:

a. The production era, up to the 1930s

- Many companies concentrated on producing a single item and give the limited
production capability.
- That meant ads were all about the product, they needed to produce as much as
possible, so their goals centered on production

b. The sale era, 1930s to the 1950s, after mass production

- The customer’s wants and needs became important and distribution networks were
developed. Most company realized that sometimes products didn’t have to sell
themselves.

- By many ways, they are struggling to make their products more memorable.

c. The marketing concept era

- By the time the 80s rolled around, bussinessed were letting the ads do the talking,
stm not mentioning the product at all

- They needed to be responsive to consumers if they wanted their business.

- The marketing concept has 3 parts :

A customer orientation: find out what customers want and provide it for them

A service orientation: make sure that all the president of the company have the
same objective: customers satisfaction

A profit orientation: focused on goods and service that can earn most profit

d. The realationship era (CRM)

- Customer relationship management – CRM: learning as much as you can about

your cus and doing what you can to sastify and exceed their expectations.

- To be enhance satisfaction and stimulate long-term loyalty

3. Nonprofit organization and Marketing.

- Included: Fundraising, public relations, special campaigns, …

- Strategies:

+ Determine the firm’s goal and objective

+ focus on long-term marketing

+ find a contemporary board of diretors

+ strategies planning

+ train and develop long-term volunteers

+ segment target
4. Marketing mix: 4Ps of marketing: Product – price- place-promotion

a. Product – designing a product to meet customer needs

- Developing a product: a good, service or idea that satisfies a consumer’s want or

need

- Test marketing: testing product among potential product users

- Brand name: enhence the product in the cus eyes

b. Pricing and placing

- Pricing product depends on many factor: outcomes, # of sellers, cost of

production…

- Putting the product in a place where are available for customers

c. Promoting the product

- Promotion: all the techniques seller uses to attract more customer to purchasing
their product, including advertising, personal selling, public relations, viral
marketing, sale promotions.

5. Providing marketers with information

- Marketing research: the analysis of marketers to determine the opportunities and

challenges and find the needed information to make wise decision.

- Results: identify products consumers have used in the past and what alternative
resource they want to buy in the future.

- 4 steps: defined – collect research data – analysis – choose the best solution

 Colleting data:

- Secondary data: existing data that has previously been collected by sources like
the govt, meaning you aren’t the first one to gather them. Characteristics: no much
expense, get easy to access, do not always provide the needed in4

- Primary data: in-depth information gathered by maketers from their own

research

- A focus group: a small group of people who meet under the direction of a
discusstion leader to communicate their opinions about an or, its product

 Analyzing the DATA and Implementing the decision.

- Turning data into useful information

- Using their analysis to plan strategies and make recommendations

- Valuating their actions and dertermine if futher in4 is needed

6. The marketing environment

 Environmental scanning: is the process of identifying factors that can effect on

marketing success, including global, technological. Cocipcultural, competitive and
economic influences

 The consumer and B2B market

- Consumer market: all the individual or household that want goods and services
for personal use and have the ability to buy them

- B2B-bus to bus: Individual and organ that buy goods and services to use in
production or to sell, rent, or suply to others.

7. Marketing to consumers

Because consumers group differ by age, gender, education rate, income, taste, a firm
can not fill the needs of all group. It must decide which group to serve and then
develop product and service

- Market segmentation _ phan khuc thi truong: the process of dividing the total
market into groups who member has the same characteristics.

- Target marketing: marketing directed toward those group or segment a firm can
fully serve profitably.

a. Segmenting the CM:

- Geographic segmentation_phan khuc dia ly: cities, countries, states, region

- Dempgraphy segmentation_phan khuc nhan khau hoc: age, gender, race, religion,
occupation, income  most widely variable but not the best.

- Psycholographic_phan khuc gia tri: group’s value, attitudes and interest, lifestyle

- Benefit segm_phan khuc loi ich: determining which benefits of the product to talk
about

- Volume/ usage segm: dividing the market by usage

b. Reaching smaller market segments.

- Niche market_thi truong ngach: mot phan khuc thi truong cu the ma o do chi tap
trung vao mot nhom doi tuong nhat dinh: The process of finding small but
profitable market segments and designing or finding products for them

- One to one marketing_personalized marketing: developing a unique mix of

goods and service for each individual.

c. Building relationship
- Mass marketing: developing products and promotions to please large group of
people

- Relationship marketing: strategy with the goal of keeping customer over long
period and build up cus’s loyalty by offering them products that exactly meet their
requirements

8. The consumer decision-making process

Consumer’s behaviour:

 Problem recognition: when your computer may break down and you realized you
need a new one.

 Information research: you’re looking forward to searching ads about computers 

access SECONDARY data or maybe seek advice from other people who are have
bought a new device before

 Evaluate alternative to make decision

 Purchased decision

 Postpurchasing evaluation: you spoke previously how well their computer perform
and make comparision to your new com

Key factors that affect behavious include

 Learning: creates changes in cus mind resulting from previous bad experience and
in4

 Reference group

 Culture

 Subculture: van hoa nhom

 Cognitive dissnonace: su bat dong nhan thuc

Difference in B2B:

 Very few customers, firm is less than household

 Big size customers

 Geographically centered

 Rational than emotional

 Be direct

 Based on personal selling, not on advertising

CHAP 14: DEVELOPING AND PRICING GOODS AND SERVICES

1. Product development and the total product offer

 Product development

- Value: good quality at a fair price

- The value of a product is examinated by looking at the benefits and then minus the
cost to see whether the profit exceed the costs

- Adapting products to new market day by day is nessecary.

- Product development is a key activity in any modern buss

 Developing a total product

- Total product offer: everything consumers evaluate when deciding whether to

buy sth or not

- Evaluating and comparing TPO on many dimensions that are tangible or

intangible (reputation, gurantee, speed of delivery, the image created by
advertising)

- It is wise to talk with consumers to see which features and benefits are most
important to them.

 For example:

- Sometime seller can use a level of low price to create an attractive total product
offer like outlets store when often sell the well-known brand product for less.
Shopers like getting the high quality goods with low price. Be careful with the
outlets goods as they are similar to ones in regular store but with a little low-
quality.

2. Product lines and the product mix

  Product line: dong san pham_la mot nhom cac san pham co lien quan den
nhau va cung mot loai va duoc ban tren cung mot thuong hieu co the la
thuong hieu me hoac con : is a group of products that are physically similar or
intended for a similar market so they are usually face more competitive because in
one product line, there maybe several competing brands.

 Product mix: combination of product line offered by a manuafacturer

3. Identify the various kinds of consumer and industrial goods

a. Product differatiation: the creation of real and perceived product difference

- Maketers use a mix of pricing, advertising and packaging to create different

images like bottle water, …

b. Classes of CONSUMER GOODS ( HOW PEOPLE PERCEIVE THESE

PRODUCTS): has 4 common categories

 Convenience G&S:

- Are products the consumer wants to purchase immediately and put a minimun
effort to make decision: candy, gum, milk, drink, snack.

- Location, brand awareness, image are important for makerters

- The Internet has take Convenience of GaS to a whole new level.

 The best way to promote this type is to make them readily available

 Shopping G&S:

- Are products the consumer buys only after they take consider to think about price,
quality, value,… from other variety sellers.

- Is the most important target that sell as much items as possible.

 The combination of price and value is best appeal for this type

 Specialty G&S:

- Consumers product that have unique characteristics and brand identity. Because
comsumers realize that specialty goods have no reasonable substitute, they make a
special effort to purchase them

- E.g: wine, designed clothes, jewelry

 Attracting on special segments through advertising.

  Unsought G&S:

- Unawareness of product, or suddenly find they need to solve an unexpected

problem: insurance, car-maintaining.

 Rely on personal selling

c. Classes of INDUSTRIAL GOODS: in the production of other products

- Many goods can be classified as consumer goods or industrial goods based on

their uses: for personal use or in comercial setting.

 Industrial goods ( Bussiness goods or B2B goods )

- Used in the production of other goods.

- Few advertising when selling industrial goods

- Have three main catogories:

+ Installation: consist of capital equipmet like new factories and machinery.

+ Capital items are expensive product that last a long time.

+ Accessory equipment: capital items that are not quite long-lasting or capital items
or expensive as installation: computer, equipment.

4. Summarize the function of packaging.

 Packaging changes the product.

- Many companies use their packaging to change and improve their basic product as
innovative packaging can make a great product look even better.

- Some function of packaging:

+ Attract attention

+ Product inside quality

+ Be opened and used easily

+ conclude brife introduction about products.

+ Explain the benefit inside

+ Give some indication of price, value and uses.

5. Brading and brand Equity.

a. Understanding branding

- Brand: name, symbol, or design that identifies the goods or services and differ
them from others.

- Trademark: a brand that has exclusive leagal protection for both its brand name
and design.

- For buyer, a brand name gurantee quality, reduces search time, and adds truth to
purchase.

- For seller, brand name facilitate their goods introduction, help promotion effort.

b. Key brand categories:

- Manufacturers’brand: the brand names of manuafactures that distribute product

nationally_thuong hieu cua nha san xuat

- Dealer/ private label brand: products that don’t carry manuafacter’s name but
carry a distribution or retailer name instead_ thuong hieu cua nha ban le chu khong
phai cua nha san xuat

- Generic Goods: non-branded products that sell at a discount compared to

mannuafactures or dealer with poor quality

- Knockoff brands: an illegal copies of national brand-name products

c. Brand equity and loyalty:

- Brand equity_tai san thuong hieu: is the value of the brand and associated
symbols, the element included:

- Brand loyalty: the degree to which consumers are sastified and are committed to
further purchases  the core

- Brand awareness: nhan thuc thuong hieu- how quickly or easily a given brand
comes to mind when someone mentions a product category.

+ Consumers reach a point of brand preferance when they prefer one brand over
another

+ When consumers reach brand insistence, they will not accept substitute brand

- Brand Association:linking a brand to other favourable images, like celeb or a

geographic area

- Brand manager: person responsible for a brand

6. The steps in the new-product development process.

- New-product development for producers consists of six stages

+ Idea generation: based on

consumers want and needs

+ Product Screening: sang lọc ý tưởng

– reduce the number of new-product
ideas a firm, selecting a best one

+ Product Analysis: making cost

estimates and sale forecasts to get a
feeling for profitability of new-
product ideas

+ Product Development and testing:

takes a products idea to consumers to

test their reaction.—phat trine va thu
nghiem

+ Comercialization – promoting the

product to distribute and develop the promotional campaign like advertisings or
sale campaign

7. The product life cycle:

- a theoretical model of what happens to sale and profits for a product classed over
time, has 4 stages: intro, growth, maturity and decline.

- Once a product has been developed and tested, it goes to market and then passing
through PRODUCT LIFE CYCLE having all 4 stages

 Using the product life cycle:

- Different stage in PLC is called different marketing strategies, you’ll see that each
stage calls for multiple marketing mix changes

8. Various pricing objectives and strategies.

“ in this section, we’ll explore price both as an ingredient of the total product offer
and as a strategy marketing tool”

a. Pricing objectives

- High price can achieve a certain profit and recover your investment

- Low price may also discourage competition as it reduces the profit potential but it
may help us capture a larger share of the market.

- Popolar objectives:

+ Achieving a target return on investment or profit: ultimatly, the goals of marketing

is to maximine profit by providing g&s to others

+ Building traffic: loss leaders: product is advertised at or below cost to attract more
buyers. The long-run objectives os to make profits by following the short-run the
building of customer base.

+ Achieving greater market share: offer a low price, low finance rates

+ Creating an image: give them an image of exclusive and status

+ Futhering social objectives: a firm wants to low price in order to people with a little
money can afford it, remaining basic necessities affordable.

- Short-run ob differ long run ob

b. Pricing strategies.

 Cost-based pricing: Using cost as a primary basic for setting price

- Measured cost of production including materials, labor and overhead

 Target costing- demand

- Estimating the selling price willing to pay

 Competion-based pricing

- Based on what the competition is charging for its products.

c. Using break-even analysis: fixed cost + variable cost

d. Pricing alternatives

 Skimming price strategy:  là một chiến lược định giá sản phẩm mà theo đó một
công ty định giá sản phẩm ở mức cao và sau đó giảm dần xuống mức thấp hơn
theo thời gian.

 Penetration pricing: dinh gia tham nhap thi truong: mua sản phẩm/ dịch vụ mới
bằng cách đưa ra mức giá thấp hơn giá thị trường, đặc biệt đối với những sản
phẩm khó tạo sự khác biệt như nước uống đóng chai.

 Everyday Low Pricing (EDLP) -- Setting prices lower than competitors with no
special sales.

e. Pricing strategies of retailers:

 High-low pricing: Using regular prices that are higher than EDLP except during
special sales when they are lower.

 Psychological Pricing -- Pricing products at price points that make a product seem
less expensive than it is.