PHR key terms
PHR · Get comfortable with the vocabulary.
- Strategic planning
- Related: SWOT analysis, Balanced scorecard, Key performance indicator
The process of setting long-term goals for the organization, analyzing internal and external conditions, and deciding how people, money, and other resources will be allocated to reach those goals.
- SWOT analysis
- Related: Strategic planning, Benchmarking
A structured review of an organization's internal strengths and weaknesses plus its external opportunities and threats, used to focus strategy, priorities, and resource decisions.
- Balanced scorecard
- Related: Strategic planning, Key performance indicator
A measurement framework that tracks results across financial, customer, internal process, and learning and growth perspectives so leaders monitor strategy execution rather than financial results alone.
- Key performance indicator
- Related: Balanced scorecard, Benchmarking
A quantifiable measure selected because it signals how well the organization or a function is achieving a critical objective; good indicators are few in number and tied directly to strategy.
- Benchmarking
- Related: Key performance indicator, Market pricing
Comparing an organization's practices, processes, or results against peers or recognized leaders in order to spot gaps and set improvement targets.
- Human resource information system
- Related: Key performance indicator
Software that stores and processes employee data such as personnel records, payroll inputs, benefits enrollment, and compliance reporting, giving HR one source for workforce information.
- Change management
- Related: Transfer of training, Strategic planning
A planned approach to moving people from current practices to a desired future state through communication, stakeholder support, training, and reinforcement so the change holds over time.
- Job analysis
- Related: Job description, Competency model, Job evaluation
The systematic gathering of information about a job's duties, tasks, working conditions, and required worker characteristics; it underpins job descriptions, pay decisions, and selection criteria.
- Job description
- Related: Job analysis, Competency model
A written summary of a job's essential duties, reporting relationships, and minimum qualifications, usually derived from job analysis and used in recruiting, screening, and accommodation decisions.
- Competency model
- Related: Job analysis, Structured interview, Workforce planning
A defined set of knowledge, skills, abilities, and behaviors that predict success in a role or organization, used to structure hiring, development, and performance management.
- Workforce planning
- Related: Competency model, Succession planning
Forecasting how many employees and which capabilities the organization will need, then comparing that demand with the supply of talent available internally and in the external labor market.
- Succession planning
- Related: Workforce planning, Competency model, Mentoring
Identifying and preparing internal candidates for key roles so replacements are ready when vacancies occur, typically through competency assessment, mentoring, and developmental assignments.
- Structured interview
- Related: Criterion validity, Adverse impact
A selection interview in which every candidate receives the same predetermined questions and is scored on a consistent rating scale, reducing bias and improving the accuracy of hiring decisions.
- Adverse impact
- Related: Four-fifths rule, Structured interview
A substantially lower selection, promotion, or retention rate for a protected group compared with a reference group; it can trigger legal scrutiny even when no discriminatory intent exists.
- Four-fifths rule
- Related: Adverse impact
An enforcement guideline stating that a protected group's selection rate falling below 80 percent of the highest group's rate is evidence of adverse impact and warrants employer justification.
- Criterion validity
- Related: Structured interview, Job analysis
The degree to which scores on a selection tool correspond to a measure of job performance, such as supervisor ratings or output, showing the tool predicts who will succeed.
- Training needs assessment
- Related: Learning objective, Competency model
A review of organizational, task, and individual factors to determine whether a performance gap is best addressed by training and, if so, what content learners actually require.
- Learning objective
- Related: Training needs assessment, Kirkpatrick's four levels
A specific, measurable statement of what participants should be able to do after training, describing observable behavior along with the conditions and standard of acceptable performance.
- ADDIE model
- Related: Training needs assessment, Learning objective
A five-phase instructional design process - analysis, design, development, implementation, and evaluation - used to build training that addresses a clearly identified performance need.
- Kirkpatrick's four levels
- Related: Transfer of training, Learning objective
An evaluation framework that measures training through participant reactions, learning gained, behavior change on the job, and results such as productivity, quality, or retention improvement.
- Transfer of training
- Related: Kirkpatrick's four levels, Coaching
The extent to which learners actually apply what they learned in training back on the job; it depends on manager support, practice, and real opportunities to use the new skills.
- Mentoring
- Related: Coaching, Succession planning
A developmental relationship in which a more experienced person advises, guides, and advocates for a less experienced colleague over time, supporting career growth and knowledge transfer.
- Coaching
- Related: Mentoring, Transfer of training
A short-term, goal-focused process in which a coach helps an employee build specific skills or improve performance through observation, feedback, and structured practice.
- Total rewards
- Related: Variable pay, Market pricing
The combined value employees receive from pay, benefits, recognition, and development opportunities, managed as one package intended to attract, retain, and engage talent.
- Job evaluation
- Related: Pay range, Market pricing, Job analysis
A systematic method for determining the relative internal worth of jobs using factors such as skill, effort, responsibility, and working conditions, producing a defensible pay structure.
- Market pricing
- Related: Job evaluation, Pay range, Benchmarking
Setting pay levels by collecting and analyzing compensation data for comparable jobs in relevant labor markets, then positioning the organization's pay relative to that market data.
- Pay range
- Related: Compa-ratio, Job evaluation
The minimum, midpoint, and maximum pay established for a job or grade, allowing differences in experience and performance while controlling internal equity and cost.
- Compa-ratio
- Related: Pay range, Market pricing
An employee's or group's salary divided by the midpoint of the applicable pay range, expressed as a percentage, showing how actual pay compares with the structure's target.
- Variable pay
- Related: Total rewards, Compa-ratio
Compensation that changes with performance or results, such as bonuses, commissions, and gainsharing, rather than being guaranteed as part of an employee's base wages.
- Defined contribution plan
- Related: Total rewards, Vesting
A retirement plan such as a 401(k) in which the employer contributes a set amount and the employee bears investment risk; the retirement benefit depends on the account's value.
- Vesting
- Related: Defined contribution plan
The process by which an employee earns a nonforfeitable right to employer-provided retirement or benefit contributions, usually according to a schedule based on years of service.
- Exempt employee
- Related: Job analysis
An employee who meets federal salary and duties tests and is therefore not entitled to overtime pay under the Fair Labor Standards Act.
- Employee engagement
- Related: Total rewards, Progressive discipline
The degree to which employees are committed to the organization and invest discretionary effort in their work; engagement is linked to retention, productivity, and customer outcomes.
- Progressive discipline
- Related: Just cause, Grievance procedure
A graduated response to performance or conduct problems - typically verbal warning, written warning, suspension, then termination - giving the employee notice and a chance to correct.
- Just cause
- Related: Progressive discipline, Collective bargaining
A standard requiring that discipline rest on sufficient evidence, be applied consistently, fit the seriousness of the offense, and follow fair notice and an opportunity to respond.
- Grievance procedure
- Related: Just cause, Collective bargaining
A formal, step-by-step process through which employees or their union raise complaints about contract or policy violations and seek resolution, often ending in binding arbitration.
- Collective bargaining
- Related: Grievance procedure, Just cause
Negotiation between an employer and a union over wages, hours, and other terms and conditions of employment, producing a contract that governs the represented bargaining unit.
- At-will employment
- Related: Progressive discipline, Just cause
An employment relationship either party may end at any time for any lawful reason, subject to contracts, collective agreements, and laws prohibiting unlawful discrimination or retaliation.
- Occupational Safety and Health Administration
- Related: Recordable incident rate, Risk assessment
The federal agency that sets and enforces workplace safety and health standards and requires most employers to record certain work-related injuries and illnesses.
- Workers' compensation
- Related: Return-to-work program, Occupational Safety and Health Administration
A no-fault insurance system providing medical care and partial wage replacement to employees injured on the job, in exchange for limits on their ability to sue the employer.
- Risk assessment
- Related: Hierarchy of controls, Occupational Safety and Health Administration
The process of identifying workplace conditions or practices that could cause harm and estimating how likely and how severe the resulting injury or loss would be.
- Hierarchy of controls
- Related: Risk assessment, Occupational Safety and Health Administration
A ranked approach to reducing hazards: eliminate the hazard, substitute something safer, apply engineering controls, then administrative controls and personal protective equipment.
- Return-to-work program
- Related: Workers' compensation, Employee assistance program
A structured plan that brings injured or ill employees back to productive work as soon as medically appropriate, often with modified duties, shortening disability duration and controlling costs.
- Employee assistance program
- Related: Return-to-work program, Employee engagement
A confidential employer-sponsored benefit offering short-term counseling, referral, and support services for personal problems that may affect attendance, safety, or job performance.