Flashcards · A Level Business · AS Topic 4

Human resources (AS Level) flashcards

27 cards on AS Topic 4, subtopics 3.2.2.1 to 3.2.2.5. Pick a subtopic or study them all.

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The three HR objectives named in the specification: The number and skill level of employees, employee engagement and employee retention.
HR planning: tools and purpose: Tools: recruitment, training, redeployment, retention and redundancies. Purpose: match the workforce to the business’s future needs, avoiding skill gaps and overstaffing. It is only as good as the sales forecast behind it.
The recruitment stages, in order: Job analysis (what the role involves) → job description (tasks, duties, responsibilities) → person specification (skills, qualifications and qualities needed, used to shortlist fairly).
Internal vs external recruitment: Internal: cheaper, quicker, a known candidate, motivates through promotion; but no new ideas and it creates another vacancy. External: a bigger pool with new ideas and skills; but costlier, slower, riskier and needs a longer induction.
Induction, on-the-job and off-the-job training: Induction: for new starters. On the job: while working; cheap and relevant. Off the job: away from work; wider skills but costlier. Risk of all training: trained staff may leave.
Zero hours contract: the trade-off: The business gains flexibility and lower cost, but staff with no guaranteed hours may feel less committed and leave, raising recruitment costs.

Labour turnover: formula and example (average 48 staff, 6 leave in a year): Labour turnover (%) = leavers in a year ÷ average number of total employees × 100. 6 ÷ 48 × 100 = 12.5%.
Percentage of employees still at the business one year after recruitment (60 recruited, 48 still there): Recruits still there after one year ÷ number recruited × 100 = 48 ÷ 60 × 100 = 80%.
Labour cost per unit, and employee costs as % of turnover: formulas: Labour cost per unit = total labour costs ÷ units of output (for example £84,000 ÷ 12,000 = £7). Employee costs as % of turnover = total employee costs ÷ total revenue × 100 (for example 1.5 ÷ 5 × 100 = 30%).
Sales per employee and profit per employee (revenue £16m, profit £2m, average 250 employees): Sales per employee = total sales revenue ÷ average employees = £64,000. Profit per employee = total profit ÷ average employees = £8,000.
Why must HR data be compared with care?: Measures such as labour productivity vary by context: labour-intensive services produce less output per employee than automated production. Compare like with like (last year, competitors, a target), and use the average number of employees.

Span of control and levels of hierarchy; tall vs flat structures: Span of control: the number of people a manager directly supervises. Levels of hierarchy: the number of management layers. Tall: many levels, narrow spans. Flat: few levels, wide spans.
Delegation; centralisation vs decentralisation: Delegation: passing authority down; accountability stays with the manager. Centralisation: decisions made at the top. Decentralisation: decisions passed to branches or lower levels.
Delayering: for and against: For: lower salary costs, faster communication, more responsibility lower down. Against: fewer promotion steps, overloaded managers, lost experience, insecurity among remaining staff.
Employee representation rate: The share of the workforce represented by a trade union or other employee body.
Influences on organisational design: The size of the business, staff skills, the nature of the work, culture, the cost of managers, and the need for consistency versus local responsiveness.

Taylor’s view of motivation: Money motivates, and there is one best way to do a job: piece rate, close supervision and simple tasks. Weakness: it ignores social and esteem needs.
Maslow’s hierarchy of needs, lowest to highest: Basic (physiological), safety, social, esteem, self-actualisation. Meet lower needs first, then higher. Weakness: people do not all move up in the same order.
Herzberg: hygiene factors vs motivators. Is a pay rise a motivator?: Hygiene factors prevent dissatisfaction; motivators (such as responsibility and recognition) create motivation. A pay rise is a hygiene factor: it removes dissatisfaction but does not give lasting motivation.
Job enlargement vs job enrichment vs job rotation: Enlargement: more tasks at the same level. Enrichment: more responsibility and more challenging work. Rotation: moving staff between tasks.
Delegation vs empowerment: Delegation passes a task with the authority to do it. Empowerment gives staff the power to decide how to do their work.
Financial methods of motivation, and how to choose: Wages, piece rate, commission, salaries, performance-related pay and fringe benefits. Ask whether the method links reward to the output that matters, whether output can be measured, and what it costs.

Methods of employee involvement, and what affects how much is used: Consultation, trade unions and employee forums. The extent depends on management style, size, urgency, legislation and staff skills.
Causes of employer–employee conflict: Pay, working conditions, job losses, changes to working practices and poor communication.
Forms of employee action in a dispute: Withdrawing cooperation, work to rule (obeying every rule to slow work), overtime ban (refusing extra hours), leaving, and strike.
Bargaining vs arbitration: Bargaining: the two sides negotiate an agreement themselves. Arbitration: an independent third party hears both sides and recommends or decides the outcome.
Consultation vs bargaining: Consultation: asking employees for their views before deciding. Bargaining: negotiating an agreement between the two sides.