WEEK 3 CHAPTER 2

KEY TERMS
ageing population Occurs when the number of older people increases relative to the number
of young people in the population.

contingent workers Temporary or part-time employees.

distributed workforce Is any workforce of a particular organisation that is geographically

separated.

fly-in, fly-out (FIFO) workers Employees who reside in a regional centre or capital city and
fly to a remote work site where they live and work for a pre-arranged period of time.

global city A city where international airlines consider it essential to fly to, Fortune 500
companies are present, international hotel groups have a five-star property and high value-
adding knowledge workers drive business growth.179

human resource planning The process of systematically reviewing HR requirements to

ensure that the required number of people, with the required knowledge, skills and abilities,
are availablewhen needed.

labour market The geographical area from which employees are recruited for a particular
job.

Markov analysis A mathematical technique used to forecast the availability of internal job
candidates.

offshoring The transfer of a specific activity (e.g. manufacturing) to an overseas company

which specialises in that activity.

outsourcing Subcontracting work to an outside company that specialises in and is more

efficient at doing that kind of work. International outsourcing is called offshoring.

participation rate Refers to the numbers of a particular group in the workforce. For

example, the increased participation rate of women in the workforce is one of the most
significant demographic changes to occur in recent times.
qualitative HR forecasting The use of the opinions of experts to predict future HR
requirements.

quantitative HR forecasting The use of statistical and mathematical techniques to forecast

the demand for and supply of labour.

replacement chart A visual representation of which employee will replace the existing
incumbent in a designated position when it becomes vacant.

skills inventory A company-maintained record of employees’ knowledge, skills and abilities

and education.

succession planning A systematic, long-term career development activity that focuses on

preparing high-potential employees to fill key professional and management positions so that
the organisation can achieve its strategic objectives.

talent management A strategic and integrated approach to the identification, development,

appraisal, allocation and retention of high-performing and/or high-potential employees.

turnover analysis Involves an examination of why employees leave an organisation.