The phrase appropriate human resources refers to the individuals within the organization who make valuable contributions to management system goal attainment. These contributions result from their productivity in the positions they hold. The phrase inappropriate human resources refers to organization members who do not make valuable contributions to the attainment of management system objectives. For one reason or another, these individuals are ineffective in their jobs.

Productivity in all organizations is determined by how well human resources interact and work together to use all other management system resources. Such factors as background, age, job-related experience, and level of formal education all play a role in determining how appropriate an individual is for the organization. Although the process of providing appropriate human resources for the organization is involved and is somewhat subjective, the following sections offer insights on how to increase the success of this process.

To provide appropriate human resources to fill both managerial and nonmanagerial openings, managers follow four sequential steps:³

1. Recruitment

2. Selection

3. Training

4. Performance appraisal

Figure 10.1 illustrates these steps.