Effective Evaluation

Creating and implementing an HRM strategy is an important first step, but whether or not the strategy was a success cannot be determined without conducting an evaluation of the strategy and the effectiveness of HRM overall. Evaluations of the effectiveness of HRM provide accountability and evidence that the function is meeting its objectives and staying within budget when carrying out strategic initiatives. Although several approaches to evaluating HRM effectiveness exist, two are used most commonly: the audit approach and the analytic approach.

In this exercise, please read the mini-case and answer the questions that follow.

Robert Soolah is director of HR for a company that creates IT products and solutions. Recently, the company acquired a mid-sized software manufacturer. After the acquisition, Robert realized that there was competition among the "old" and "new" employees, and that the friction was negatively impacting the company's financial results. Robert decided to implement a series of HR initiatives aimed at increasing the collaboration among all employees and creating a culture of team building and respect. He designed an interpersonal skills training course that focused on positive communication and working with others. He also created an internal website where employees could voice their concerns about the acquisition and ask questions about future roles and direction of the organization. He produced a 360-degree performance feedback system that gave both old and new employees an opportunity to evaluate their colleagues. Finally, he added a team-based incentive to the compensation program to reward employees based on meeting group goals.

Robert will need to evaluate the effectiveness of his initiatives, including financial costs and benefits. He will most likely do this using a(n) _______ approach.

Options: audit; accountability; analytic; balanced scorecard or; process analysis