AQA AS-Level Business: People management (7137) – Practice Questions

These are original questions written for Marlbridge, for revision and practice on this content. They are not reproduced past-paper questions, and they do not replicate the exam’s exact structure, question count or mark tariffs – examination boards hold copyright in their own papers. Use these alongside the official past papers from your board or school.

These questions cover AQA AS Business (7137), for first teaching from September 2026, section 3.2.1 People management. Read the study guide first or use the revision notes alongside. See also the AQA AS Business hub, the checklist and the free diagnostics. All businesses and figures are invented.

Questions

1. Define ‘flexible employment’. [2]

2. Ashgrove Pantry, a food producer, had an average of 36 employees in Year 1. Revenue was £648,000, employee costs were £194,400 and 9 employees left.

(a) Calculate employee turnover for Year 1. [2] (b) Calculate employee costs as a percentage of revenue for Year 1. [2]

3. In Year 2 Ashgrove Pantry had an average of 40 employees and revenue of £712,800. Employee costs were £228,096 and 6 employees left.

(a) Calculate sales per employee in Year 2, and the index number with Year 1 as 100. Use Question 2 for the Year 1 figure. [3] (b) Analyse what the Year 2 data suggest about the Ashgrove Pantry’s HR performance. [2]

4. Analyse one advantage and one disadvantage to a restaurant of using zero-hours contracts. [4]

5. Thornecroft Joinery has 60 workshop staff supervised by 10 supervisors, each with a span of control of 6. The owner proposes widening the span to 12. Analyse the likely effects of this change. [6]

6. At Ellerby Glass, the production manager gives orders and does not ask for opinions. Skilled glaziers have started to leave. Analyse how this leadership style may be affecting the business. [6]

7. Ellerby Glass pays packers £1.80 for each unit packed.

(a) Calculate the pay of a packer who packs 455 units. [2] (b) Explain one disadvantage of piece rate for Ellerby Glass. [2] (c) Explain, using Herzberg’s theory, why raising the piece rate may not motivate packers for long. [2]

8. Fieldgate Dental has a team of five staff who cover reception and billing. Members are swapped between rotas each week. Nobody has explained what the team is meant to achieve, and training money is not available. Analyse these problems using Hackman’s model of team effectiveness. [6]

9. (a) Explain the purpose of employee appraisal. [2] (b) Explain one challenge of retaining talent. [2]

10. (a) Explain one consequence of poor employer-employee relations. [2] (b) Fieldgate Dental is considering an employee forum rather than only individual meetings. Analyse one advantage and one disadvantage of the forum. [4]

11. Osprey Bay Hotel introduced a wellbeing and flexible rota package in Year 2. Each leaver costs about £3,000 to replace.

	Year 1	Year 2
Average employees	72	70
Revenue	£3,150,000	£3,402,000
Employee costs	£1,008,000	£1,156,680
Leavers	18	7

Evaluate whether Osprey Bay Hotel should keep the package. [9]

Answers

1. Using a mix of employment types and working patterns [1] so the workforce can expand or contract with demand [1]. [2] Examiner insight: A definition earns credit for what the term means, so an example alone, such as ‘part-time workers’, is a weaker answer than a clear statement of purpose.

2. (a) 9 ÷ 36 × 100 [1] = 25% [1] (b) 194,400 ÷ 648,000 × 100 [1] = 30% [1] Examiner insight: Show the formula and substitution first. Working lets an examiner see your method even if the final figure slips, whereas a bare wrong answer shows nothing.

3. (a) Sales per employee = 712,800 ÷ 40 = £17,820 [1]. Year 1 = 648,000 ÷ 36 = £18,000 [1]. Index = 17,820 ÷ 18,000 × 100 = 99 [1] (b) Revenue per employee fell slightly (index 99) although revenue rose 10%, because staff rose faster [1]. Turnover improved from 25% to 15%, but employee costs rose from 30% to 32% of revenue, so productivity gains have not yet paid for the extra staff [1]. Examiner insight: Analysis needs a comparison and a reason. Writing ‘turnover fell’ scores less than saying it fell from 25% to 15% and what that means.

4. Advantage: hours can follow bookings, so the restaurant pays only for hours needed [1], which cuts idle labour cost in quiet periods [1]. Disadvantage: staff have insecure income and may leave for stable work [1], which raises recruitment and training costs and lowers service consistency [1]. [4] Examiner insight: Each point needs a developed link from cause to effect. A bare ‘it is cheaper’ or ‘staff dislike it’ is a statement, not analysis.

5. Fewer supervisors needed: 60 ÷ 12 = 5, so 5 fewer supervisors [1] and lower management cost [1]. Fewer levels or shorter chains may speed communication and decisions [1]. Each supervisor oversees twice as many workers, so less close supervision [1] and quality or safety problems may be missed [1]. Judgement: it saves cost but workload and supervision risks may outweigh this if the work is skilled or hazardous [1]. [6] Examiner insight: Use the figures given. Strong answers show the arithmetic and then give both effects, rather than listing flat-structure points from memory.

6. The style is autocratic [1]. Skilled staff want a say in how work is done, so being ignored reduces motivation [1]. This is shown by the glaziers leaving, which raises employee turnover [1] and costs for recruitment and training [1]. Lost experience may reduce quality and productivity [1]. A more democratic style, or consulting skilled staff, may suit this team better, although decisions would be slower [1]. [6] Examiner insight: Naming the style gains little by itself. The marks come from applying it to the skilled glaziers and the evidence of leavers.

7. (a) 455 × 1.80 [1] = £819 [1] (b) Staff may rush and reduce quality [1], so Ellerby Glass faces more breakages and rework [1]. (Any valid disadvantage developed.) (c) In Herzberg’s theory pay is a hygiene factor [1], which prevents dissatisfaction but does not create lasting motivation, which needs motivators such as achievement and recognition [1]. Examiner insight: A two-mark ‘explain’ needs a point and its reason. Say what pay is in the theory, not just that people want more.

8. Not a ‘real team’: swapping members each week means no stable membership [1] and weak interdependence [1]. No compelling direction because nobody has been told the team’s purpose [1], so effort is unfocused [1]. The supportive context is weak because no money is available for training [1]. Overall, the team will struggle to deliver quality work or work well together; the manager should fix membership and direction first [1]. [6] Examiner insight: Match each condition to a detail in the case. Listing all five conditions with no application earns little.

9. (a) To review performance against agreed targets [1] and give feedback and identify training needs [1]. (b) Competitors may offer higher pay or better prospects [1], so trained staff leave and the training investment is lost [1]. (Any valid challenge.) Examiner insight: Pick one challenge and develop it, because the question asks for one and a second adds little.

10. (a) Poor relations can lead to strikes or absence [1], which reduces output and revenue [1]. (Any valid consequence.) (b) Advantage: a forum gives staff a collective voice, so shared concerns reach managers together [1], improving ideas and commitment [1]. Disadvantage: forum meetings and consultation take time, so decisions slow down [1] and disagreement between representatives and managers may harden [1]. [4] Examiner insight: Part (b) asks for both sides, so an answer that develops only one side leaves part of the question unanswered.

11. Data (1 mark each): turnover fell from 25% to 10% [1]. Revenue rose 8% [1] while employee costs rose 14.75% [1], so employee costs rose from 32% to 34% of revenue [1]. Revenue per employee rose from £43,750 to £48,600, up 11.1% [1]. Employee cost per head rose from £14,000 to £16,524 [1]. For: 11 fewer leavers saves about £33,000 in replacement cost [1] and keeps experience and service quality. Against: extra employee costs of £148,680 are far above £33,000 [1]. Judgement with justification: keep it if the extra revenue and service gains are linked to the package, and review its cost, because the data alone do not prove it pays for itself [1]. [9] Examiner insight: An evaluation needs a judgement that depends on something: here, whether the rise in revenue is caused by the package. Quote the figures from the table and weigh them.

Where marks are usually lost

• Dividing by the wrong employee figure in a turnover calculation.
• Giving a percentage without the percentage sign or a ratio without units.
• Stating a result and not saying what it means for the business.
• Writing generic points about a tall or flat structure with no use of the case numbers.
• Naming a leadership style without linking it to staff behaviour in the case.
• Treating pay as a motivator in Herzberg’s theory.
• Listing Hackman’s conditions without matching them to the case.
• Evaluating one side only, or ending with a verdict that the case figures do not support.

Next steps

• Review the revision notes and the study guide.
• Check coverage on the AQA AS Business hub and the checklist.
• Try the free diagnostics.
• Book a free trial class.

Frequently asked questions

Are these AQA AS-Level Business past paper questions? No. They are original questions on section 3.2.1 People management of AQA AS Business (7137), written for practice and not reproduced from AQA papers.

How do you calculate employee turnover? Divide the number of leavers by the average number of employees and multiply by 100. A common mistake is dividing by the wrong employee figure, such as the starting number when an average is given.

Is pay a motivator in Herzberg’s theory? No. In Herzberg’s theory pay is a hygiene factor: it can prevent dissatisfaction but does not by itself create lasting motivation. Treating pay as a motivator is a frequent way to lose marks.

How should I use Hackman’s model in an answer? Match each condition, such as a real team or a compelling direction, to a detail in the case. Listing all five conditions without applying them to the business earns little.

What does a 9-mark evaluate question in people management need? Use the case data on both sides, then reach a judgement that depends on a stated factor. Evaluating only one side, or giving a verdict the figures do not support, loses marks.

Official syllabus

AQA AS and A-level Business specification (7137, 7138), for first teaching from September 2026, section 3.2.1 People management.