Human resource management flashcards

Topic 6: Human resource management

HR objectives named in the specification

Employee engagement and involvement; talent development; training; diversity; alignment of values; the number, skills and location of employees.

Hard vs soft HRM

Hard: staff as a cost to control; flexible contracts, output pay, tight supervision. Soft: staff as an asset to develop; training, involvement, communication.

Labour turnover and retention rate

Labour turnover = leavers ÷ average number employed × 100 (6 of an average 40 = 15%). Retention rate = staff who stayed all period ÷ staff at start × 100 (44 of 50 = 88%).

Employee costs as % of turnover, and labour cost per unit

Employee costs ÷ turnover × 100 (£210,000 ÷ £1,400,000 = 15%). Labour cost per unit = total labour cost ÷ units produced (£210,000 ÷ 84,000 = £2.50).

Hackman and Oldham: core job characteristics and psychological states

Skill variety, task identity and task significance → experienced meaningfulness. Autonomy → experienced responsibility for outcomes. Feedback → knowledge of results.

Delegation vs decentralisation

Delegation: passing authority for a task down; accountability stays above. Decentralisation: a structure where decisions are taken lower down, by branches or teams.

90 staff with a span of control of 6: how many layers of management?

90 ÷ 6 = 15 supervisors; 15 ÷ 6 = 2.5, round up to 3 managers; then 1 director. Three layers above the staff.

The human resource flow

Human resource plan (forecast need, compare with supply, plan the gap), recruitment, training, redeployment, redundancy.

Taylor, Maslow and Herzberg in one line each

Taylor: people work mainly for pay; simple tasks, supervision, output-based pay. Maslow: satisfy whichever of the five levels is still unmet. Herzberg: hygiene factors prevent dissatisfaction; motivators create satisfaction.

Financial methods of motivation and the main risk of each

Piece rate: quality falls. Commission: pressure on customers. Salary: weak link to effort. Performance-related pay: unfair or poorly set targets.

Trade union vs works council

Trade union: independent of the employer; represents members and bargains on pay and conditions. Works council: employee and management representatives inside the business who share information and consult.