people in business

communication definition

sending and receiving information

communication channels definition

routes along which information might travel in a business

downwards communication

passing messages from the top of the organization to those at the bottom

upwards communication

passing messages from the bottom of the organization to those at the top

horizontal communication

exchange of information between parties on the same level in an organizations hierarchy

internal communication

communication between people inside the business

external communication

communication between the business and those outside

eg customers or investors

formal communication

use of recognized channels when communicating

informal communication

use of non-approved channels when communicating

effects of poor communication

mistakes occur, which rises costs as they have to do it all over again

decision making slows down, which leads to businesses missing out on important opportunities

can frustrate employees and could result in higher absenteeism and staff turnover

methods of communication

face to face

written

electronic

advantages of face to face communication

immediate feedback

saves time

new ideas can be generated

disadvantages of face to face communication

negative body language can create a barrier

record of message may not be kept

types of written communication

letters

reports

noticeboards

advantages of written communication

record of message kept

can be revisited multiple times, so better understood

disadvantages of written communication

lack of immediate feedback

time-consuming

types of electronic communication

email

social media

electronic noticeboards

advantages of electronic communication

cost efficient

time efficient

disadvantages of electronic communication

lack of security can put personal details at risk of theft

can be distracting

communication barriers

obstacles that prevent effective communication between sender and receiver

types of communication barriers

lack of clarity

poor communication skills

technological breakdown

long chain of command

jargon

problems with ineffective communications in businesses

higher staff turnover

poor customer service

higher legal costs

lower profits

how can barriers to communication be removed

train staff for communication,,, but can be costly

social events provide opportunities for different workers to come together

recruit people with good communication skills

types of employment

full time

part time

job share

seasonal

casual

temporary

advantages of full time employment

access to benefits and rights (like health insurance)

job security

for businesses - employee loyalty and retention

high productivity

disadvantages of full time employment

less flexibility, which can result in loss of motivation

for businesses - higher costs

pay regardless of workload the employee produces

advantages of part time employment

flexibility, leads to more motivation

for businesses - lower labour costs

flexibility in staffing based on demand

disadvantages of part time employment

job insecurity

for businesses - reduced employee loyalty

reduced productivity

advantages of job share employment

increased collaboration, can lead to more motivation

coverage across more hours

increased flexibility

disadvantages of job share employment

higher cost for employers

limited consistency, if the employees have different working styles that can clash, which can affect the quality of the work and the overall productivity

advantages of seasonal employment

saves costs

provides more employment opportunities in the process

disadvantages of seasonal employment

high turnover rate, which leads to higher costs because the business constantly needs to train and hire new people

employees may not feel committed because they are temporary, affecting productivity

advantages of casual employment

flexibility for both employer and employee

reduces extra costs for employers for benefits and additions

access to broader talent pool

disadvantages of casual employment

high turnover and lower loyalty to business, which will increase training and recruitment costs

some employers may exploit this and not pay accordingly for the employees work

advantages of temporary employment

cost efficient, pay what is needed without benefits

no long term commitment

time efficient

disadvantages of temporary employment

potential for lower productivity

usually hired from agencies, higher costs for higher skilled employees

stages of recruitment and selection process

identify the number and type of staff needed

prepare a job description and person specification

advertise using appropriate media

evaluate applicants and select a shortlist for interview

carry out interviews

evaluate interviews and appoint best candidate

provide feedback for unsuccessful applicants

job description

document that shows the tasks, duties and responsibilities expected of a worker for a particular job

person specification

personal profile showing the qualities, qualifications and skills required of a person to do a particular job

curriculum vitae

document used by a job seeker that lists personal details, qualification, work experience, referees, etc

internal recruitment

appointing workers from inside the business

external recruitment

appointing workers from outside the business

advantages of internal recruitment

cheaper

staff are more motivated if they know there is a chance of promotion

staff are already familiar with policies and practices

disadvantages of internal recruitment

limited pool of talent

creates gaps in positions

miss potential opportunities / ideas from outside the business

advantages of external recruitment

large pool of potential employees

new and fresh ideas

access to specialized employees

disadvantages of external recruitment

costly

low employee morale

time-consuming

shortlist

list of the most suitable candidates for a job chosen from all people who were first considered

equal opportunities (DRAG)

disability

race and religion

age

gender

what can businesses do to ensure that people have equal opportunities despite their disabilities

improve access to workplace by widening doors and providing ramps

allow workers to attend medical appointments

what can businesses do to ensure that people have equal opportunities despite their race and religion

businesses cannot prevent employees from wearing ethnic or religious clothing

workers must receive awareness training to encourage equality of treatment and prevent racial harassment

what can businesses do to ensure that people have equal opportunities despite their age

businesses cannot refuse promotion or training on the grounds of age

businesses should take measure to prevent older workers from being harassed in the workplace

what can businesses do to ensure that people have equal opportunities despite their gender

wages for staff occupying the same position must be the same for both men and women

promotions must not be made on the basis of gender and people cannot be dismissed because they are male or female

minimum wage

minimum amount per hour which most workers are entitled to be paid

why does the government set up minimum wage laws

to reduce poverty

to benefit disadvantaged workers

to help businesses = workers will be more motivated

benefits of minimum wages to businesses

businesses may experience lower rates of staff absenteeism and better reliability

better motivated and more productive workers

training

process of increasing knowledge and skills of a worker to enable them to do their job more effectively

types of training

induction training

on the job training

off the job training

induction training

training given to new employees when they first start a job

features of induction training

tour of the workplace

health and safety training

company history and policies

introduction to senior staff

introduction to job and work colleagues

on the job training

training that takes place while doing the job

features of on the job training

watching another worker

job rotation

mentoring

advantages of on the job training

output is being produced

easy to organize

cheaper than other forms

disadvantages of on the job training

may be stressful to workers

output may be lost when workers make mistakes

off the job training

training that takes place away from the work area

advantages of off the job training

output is not affected when workers make mistakes

customers and others not put at risk

disadvantages of off the job training

no output is made

may take time to organize

expensive when provided by specialists

training in health and safety

training given to employees to work safely, avoid accidents, and follow workplace safety procedures

why is health and safety training important

increases productivity

improves employee morale

reputation protection

consequences of poor health and safety training

high absenteeism

legal issues

damage to reputation

benefits to training

training for promotion

improving job satisfaction and motivation

limitations to training

high cost of training courses

loss of output

employees leaving

motivation

desire to achieve a goal

why is employee motivation important in business

attracting employees

retaining employees

what are the examples of motivators in herzbergs two factor theory of motivation

achieving aims

chance of promotion

responsibility

interesting work

what are the examples of hygiene factors in herzbergs two factor theory of motivation

pay

working conditions

job security

staff relationships

maslows hierarchy of needs (from bottom to top)

physiological needs

safety and security

love and belonging

esteem needs

self-actualization

taylors theory of scientific management

break work into smaller parts

pay workers based on output

financial methods of motivation

time rates

piece rates

performance related pay

bonus

promotion

fringe benefits

time rates

payment system based on the amount of time employees spend at work

advantages of time rates

easy to calculate

motivates attendance

disadvantages of time rates

rewards lazy employees

overtime can be costly

piece rates

payment system where workers receive an amount of money for each unit produced

advantages of piece rates

more output

motivates workers to work faster and be more productive

disadvantages of piece rates

mistakes and poor quality

unfair pay if machinery break down

performance related pay (prp)

payment system designed for non manual workers where pay increases are given if performance target are met

advantages of performance related pay

clear targets

boosts productivity

disadvantages of performance related pay

financial incentives may not be high enough to motivate workers

some workers may feel that performance targets set are too demanding

advantages of bonuses

improves loyalty

reduces turnover

disadvantages of bonuses

can cause disagreements between workers

short-term motivation

advantages of promotions

retains the better working staff

saves recruitment costs

disadvantages of promotions

depends on superiors which can cause bias

costly

fringe benefits

perks over and above the normal wage or salary

types of fringe benefits

free counselling service

free private health insurance

discounts when buying the employer’s products

non financial methods of motivation

job rotation

job enrichment

autonomy

job rotation

regularly transitioning all employees between different jobs

job enrichment

making a job more interesting and challenging

autonomy

giving workers the authority to make choices and decisions about the way they work

advantages of job rotation

increases skills in other fields

helps identify strengths for employers

disadvantages of job rotation

training costs can rise

benefit of specialization may be lost

advantages of job enrichment

encourages creativity and problem solving

develop new skills