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Chapter 6
Chapter Summary
• Employees are among a company’s most valuable assets. Without qualified and motivated
employees, a company cannot succeed.
• The human resources department has responsibility for ensuring the company can attract,
assess, and, hire the right employees—those that will allow it to achieve its goals. Human
resources is also responsible for employee compensation, evaluations, training and
development, succession planning, and termination.
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• Managing, sharing, controlling, and evaluating the data required to manage a company’s
human capital are simplified by an integrated information system.
• Some of the advanced features of the SAP Human Resources module include tools to
facilitate time management, payroll processing, travel management, and training and
development coordination (including succession planning).
• Additional features of the SAP Human Resources system address the rapidly changing
social, technological, and legislative developments that affect the corporate world.

Key Terms

error log remuneration element
human capital management (HCM) requirement
job short list
payroll run statutory and voluntary deduction
person succession planning
position task
qualification

Exercises

1. Go to your school’s career and jobs Web site and find a position you would like to have.
What type of information must be collected by the hiring company to determine if a
candidate is appropriate for this job? List the skills that you think would be required for this
position. Do you have those skills? If not, how can you acquire them?
2. Suppose you are designing a system to summarize information from résumés submitted to
a company’s human resources department. Create a list of the information that you think
would be useful to collect from the résumés.
3. Using the Internet to do your research, describe a position in a company that you would like
to have after five years of work experience. List the requirements that you think would be
necessary to hold this position.
4. Suppose you are a manager of Fitter’s Accounting and Finance department. What human
resources information do you think you would need to effectively manage your Accounting
and Finance employees?
5. List the steps in a typical recruiting process. Highlight the steps that involve interaction with
the potential job candidate. Identify problems in the process that might lead a candidate to
develop a negative opinion of the company. How might an effective information system

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