bus man unit 3 aos 2

fricking skibidi

human resource management

• the area of a business that is responsible for managing the relationship between the employees and the business in order to achieve objectives of both

HR strategies

• recruitment

• induction

• training

• performance management

• resolving disputes

• termination

aim of HRM

• to ensure the best staff are hired

• make sure they are motivated and have the skills to performance their job to a high standard

responsibilities of HRM

• before the employee starts working:

  • creating job descriptions

  • recruiting and selecting new employees

• while the employee is working in the business

  • inducting employees

  • training employees

  • motivating employees

  • managing workplace disputes

  • when the employee leaves the business

    • managing termination

connection between HRM and business objectives

employees are the human resources used to achieve business objectives

motivation

the drive that a person has to work hard towards the achievement of business or personal goals

theories of motivation

• maslow’s hierarchy of needs

• locke and latham’s goal setting theory

• lawrence and nohria’s four drive theory

maslow’s hierarchy of needs

• 5 level of needs:

  • physiological

  • safety

  • social

  • self-esteem

  • self-actualization

• lower needs must be satisfied before an individual can move to the next level of needs

• once a need is met, it no longer motivates

advantages of maslow’s

• tailored to each employee’s individual needs

• social and esteem needs emphasize good relationship and corporate culture

• physiological eneds can be easily provided by the business

disadvantages of maslow’s

• needs of all employees are not uniform

• time consuming and difficult to work out where each employee is on the hierarchy

• difficult to assess when a level has been ‘satisfied’

locke and latham’s goal setting theory

• a theory of motivation that focuses on the process of setting and attaining goals that lead to increased effort and task focus

• clarity, challenge, commitment, feedback, task complexity

advantages of locke and latham

• goals align with organizational objectives, increased effectiveness

• feedback improves relationship between employee and manager

disadvantages of locke and latham

• time consuming to periodically meet with employees to set goals and provide feedback

• it may be difficult to align personal goals with organizational goals

lawrence and nohria’s four drive theory

• the four drives:

  • acquire

    • the desire to own basic and complex needs

  • bond

    • desire to seek strong working relationships

  • defend

    • not desirable in workplace

  • learn

    • desire to explore and develop understanding, learn new skills

• the drives drives act independently but are present in each individual

strategies for drive to acquire

• praise

• recongiition

• performance related pay

strategies for drive to bond

• collaborative tassk

• culture of openness

• managers are people-oriented

strategies for drive to learn

• set meaningful, interesting, challenging work

• set variety of tasks

strategies to avoid drive to defend

• create fair and trustworthy processes

• provide job secuity and safe workplace

advantages of lawrence and nohria

• drive to bond emphasizes teamwork and good relationships, improving corporate culture

• drive to learn offers opportunities for training and development

• drive to learn motivates employees as they are given chance to challenge themselves

disadvantages of lawrence and nohria

• teamwork and culture of openness in drive ot bond can create conflict

• desire to learn can be expensive because of training

• purpose isn’t addressed in this theory (like self-actualization)

• the relative strength of each drive varies in individuals and varies over time, so hard to guage which is most motivating

motivational strategies

• performance related pay

• career advancement

• investment in training

• support

• sanction

performance-related pay

• A financial reward to employees whose work has reached or exceeded a set standard

• can be a:

  • ongoing pay rise

  • bonus (one off)

  • commissions

  • share plans

  • profit sharing

• performance appraisal is conducted to determine if employees will receive PRP

• primarily short term motivator

adv of PRP

• targets are normally clear so employees know what they need to achieve

• can improve productivity levels as staff knows their work will be financially rewarded

disadv of PRP

• generates a competitive culture where team members don’t work together

• can cause conflict amongst employees if they feel the assessment is unfair

• difficult to emasure prodictivity levels in some types of jobs

• businesses may not be able to afford extra cost

career advancement

• promoting employees to positions that include more responsibility and more pay

• motivation provided through:

  • remuneration

  • job experience

  • ambition and status

• strategies to support career advancement:

  • job enlargement

  • job enrichment

  • job rotation

• long term motivator

adv of career advancement

• helps the business retain its talented employees

• employees may work hard for several years in anticipation of getting a promotion

• helps build a positive culture where employees are valued

disadv of career advancement

• may demotivate employees that are overlooked for promotion

• can cause competition and rivalry amongst staff

• there may be a lack of outside perspective if only promoting from within

investment in training (strategy)

• the process of enhancing employees’ knowledge and skills to help them perform bettter in their job

• can be short or long term motivator

  • employees perform their job better immediately

  • shows them that the business is investing in them

adv of training (strategy)

• indicates the business values its employees and the contribution they make

• creates a sense of loyalty and attachment to business

• better trained employees feel more confident and can perform role better

disadv of training (strategy)

• expensive

• if up-skilled employees are not given the opportunity to use the skills, they may be disappointed

• well-trained employees might resign and take their new skills to another business

support

• designed to show care, encouragement. and acknowledgement for employees’ work

• support strategies:

  • counselling services

  • mentoring

  • general mangement support

• can be short term and long term motivation

adv of support

• can improve mental wellbeing of employees and reduce absenteeism

• can reduce staff turnover as employees know they are supported

• it can help build relationships within business

disadv of support

• needs a positive culture to work effectively

• relies on amanger exercising good communication and interpersoanl skills

sanction

• penalities for poor performance or disobeying a policy

• examples:

  • reprimand

  • disciplinary counselling

  • dismissal

  • loss of benefits

  • written warnings

• only a short term motivator, cuz in the long term it impacts relationships and create negative culture

adv of sanction

• can stop undesirable behaviours

• quick to implement

disadv of sanction

• can create a culture of fear

• can cause resentment in employees

• negatively impact relationships

• can cause disputes and union involvement

training

• the process of improving an employee’s skills and knowledge so they are able to perform their job more fficiently and effectively

analysis for when and what training is needed

• organisational analysis

  • training that everyone needs to achieve the strategic objectives

• task analysis

  • training for specific skills needed for a specific job to be perform

• person analysis

  • training for an individual employees to perform their role

on the job training

• training that occurs at the workplace and often involves completing a task

• e.g. coaching, mentoring

adv of on the job training

• employee is being trained on the specific tools ot equipment they will be using in their role

• employees practice under the supervision of more experienced staff

• training is tailored to meet specific needs of the business

• cost effective - not paying for outside course provider

disadv of on the job training

• quality of trainer may vary if mentor/coach is not trained in how to act in this role

• training may not be adequately planned, making it hard for employee to grasp some concepts

• trainer may pass on bad habits to trainee

• trainer may have to leave their own duties to carry out the trianing

off the job training

• training that occurs away from the workplace in a more formal environment

• e.g. lectures, conferences, online training

adv of off the job training

• learning from specialists and experts

• less opportunity to be interrupted by workplace issues, therefore able to focus on training

• provides opporutnity for networking and information-sharing between employees of different businesses

• employee may receive a formal qualification

disadv of off the job training

• more expensive if paying course fees, transport, and accomodation

• lost working time and potential output from employees who are attending training

• employees with these new skills/qualifications may leave the business to gain a job elsework

• skills acquired may not directly relate to the workplace

employee objectives

• earning a higher wage or income

• getting a promotion

• improving job-related skills

• achieving work life balance

• job security

performance management

• the process used to evaluate and improve individual and business performance

performance management strategies

• MASE

• management by objectives

• appraisals

• self-evaluation

• employee observation

management by objectives

• where managers and employees establish, measure and monitor goals together for a specific period

• participative

• at the end of the review process, feedback is provided

adv of management by objectives

• a reward based system and improves motivation

• helps build relationship and communication between management and employees

• employees feel more connected with the direction of the business

disadv of management by objectives

• time consuming to do the negotiation and review stages

• relies on goals being achievement

• may create a competitive environment

performance appraisals

• measures how well an employee has perfromed their job, provides feebdack to employees and establishes plans to improve performance

• usually done annually

adv of performance appraisals

• outcome helps management make important decisions such as promotions and terminations

• identifies employee’s needs for training and development

• helps business identify how functional areas such as recruitment and selection are performing

• effectiveness of training and development programs can be determined

disadv of performance appraisals

• can be biased, and may cause conflict and resentment

• time consuming for both manager and employee

self-evaluation

• an employee self-assesses both their performance related to criteria and their contribution to the team

• often the first step in the performance management process

• employees may keep documentary evidence of their achievements

adv of self-evaluation

• helps improve communication between managers and employees

• allows employees to play an active role in performance management

• can highlight the need for training that the employee feels would be helpful

disadv of performance management

• can be difficult for employee to give themselves a fair assessment without seeming conceited

• employee may find it difficult to know how to measure their own performance obectively

employee observation

• feedback is received from a variety of sources that witness an employee during their daily work

• 360 degree feedback → collected from a range of people that the employee deals with

adv of employee observation

• training needs can be identified via feedback given

• the perspectives of a range of people are considered - increases fairness

disadv of employee observation

• feedback provided may not be accurate or effective as reviewer may not have full or enough information regarding employee’s performance

• time consumign to gather feedback

entitement

• benefits a business must legally provide an employee upon termination

transition

• benefits which are not legally enforceable but may and should be provided to employees upon termination as a form of corporate social responsibility

voluntary termination

• resignation

• retirement

involuntary termination

• redundancy (can be voluntary or involuntary)

• dismissal

resignation

• voluntary termination that occurs when an employee leaves the workplace, usuaslly to go to another job

• entitlement considerations:

  • payment for completed work and accrued benefits (annual leave, long service leave etc)

  • business is entitled to notice

• transition considerations:

  • business tends not to offer transitional benefits

  • an exit interview is recommended to find out why the employee is leaving

retirement

• voluntary termintaion where an employee decides to leave the paid workforce

• entitlement considerations:

  • payment for accrued benefits

  • employee must notify business of their intention to retire

• transition considerations:

  • allow older employees to reduce the number of working hours leading up to retirement

  • assistance to organise finances such as pension and superannuation

  • support employees to find volunteering or community activites

redundancy

• voluntary or involuntary termination of employment by an employer because it no longer needs a particular job to be done by anyone or needs fewer people to do a particular type of job

• entitlement considerations:

  • employees are entitled to a redundancy package, notice, pay and accrued benefits, and time off to attend interviews

• transition considerations:

  • outplacement services are specialised assistance given to redundant employees to assist them to find new job

    • conselling, resume writing, interview techniques

  • offer employees training in new areas to help them find a new job

dismissal

• involuntary termination of an employement contract due to an unacceptable behaviour or performance

• entitlement considerations:

  • payment for accrued benefits

• transition considerations

  • some businesses may use career transition services

workplace relations

• the relationship between employers and employees in determining wages, conditions, and methods of resolving disputes should they arise

• aims to create optimum working relationships, increased business productivity, and greater business competitiveness

causes of disputes

• differing views on how profits generated should be distributed

participants in workplace relations

• on the side of employees:

  • employees

  • trade unions

• on the side of employers:

  • employers

  • human resources managers

  • employer associations

• government:

  • fair work commission

  • fair work ombudsman

  • fair work division of federal court and federal circuit court

employee

• a person working for another person or business for wages or salary

• negotiate and vote on new agreements about pay and conditions

• vote on new agreements about pay and conditions

• participate in dispute resolution

union

• organisation formed to represent and protect the rights of workers in a particular industry

• employees join a union have to pay an annual fee, and in return the union:

  • represents employees when negotaiting pay and conditions

  • provide advice to employees

  • acts as spokesperson to the media

  • support and represent employees during dispute

  • organise indsutrial action by applying tot he FWC

employer association

• organisation that provides a range of advice to businesses and represent their interests in workplace relation issues

• acts as a spokeperson to the media

HR manager

• manages the overall relationship the business has with employees in order to increase the efficiency of both employees and business

• participate in the resolution of disputes and may act as a mediator to resolve disputes internally

• liaise with employer associations, unions, and FWC

how can HR managers promote good workplace relations

• create a common purpose

• participative management

• treat employees and their complaints seriously

• provide fair pay and working conditions

• use effective communication

fair work commission

• australia’s national workplace relations tribunal

• its role is to assist employees and employers to maintain fair and productive workplaces

• provides a safety net of minimum pay and work conditions by creating awards

• approve collective/enterprise agreements

• hearing unfair dismissal applications

• approving applications to take indsutrial action

• resolving workplace disputes through mediation, concciliation, and arbitration

methods of detemrining wages and conditions

• awards

• enterprise agreements

• individual contracts

• these are underpinned by the national employment standards (NES)

awards

• sets out the minimum pay rates and conditions for those in a particular industry

• FWC makes awards

• reviewed every 4 years

• applies to employees in an industry

• businesses must meet or exceed NES standards

adv of awards

• reduces costs for business

• no time spent negotiating an agremeent with employee

• stability and predictability beacuse a single set of rules apply across the industry

disadv of awards

• inflexible for the business as same rules apply regardless of size or location of business

• harder to link productivity gains to wages and conditions

• less incentive for a participative approach, decreasing employee empowerment

enterprise agreement

• results from negotiations bewteen an employer and union and is ratified bt the FWC, setting out the terms and conditions of employment at a workplace

• created via the process of enterprise bargaining, and is submitted to FWC for approval

• lasts up to 4 years

• applies to an individual workplace

• must be better off overall than the award

adv of enterprise agreement

• increased flexibility because business can tailor pay and conditions

• easier

disadv of enterprise agreement

• can be time consuming to negotiate conditions of enterprise agreements

• can cause conflict between employer of employee due to ongoing negotiation

• increases the costs to the business because of higher wages and better conditions

individual contract

• sets out wages and conditions agreed between a single employee and a business

• negotiated between the employer and employee

• it lasts for however long it has been determined to be during negotiation

• applies to individual employee

• conditions must be better off overall than award and enterprise agreement

adv of individual contract

• promotes hard work and higher productivity

• other employees may use other employees to benchmark their performance

• employees may feel more valued/appreciated if they can bargain for higher pay

disadv of individual contract

• may create tension and/or competition in workplace

• greater time needed to negotiate contracts with specific employees

• increased costs to business when offering higher pay and conditions

role of human resources and FWC

disputes

• a workplace disagreement bewteen employees or between employees and employer

dispute resolution

• a formal systematic procedure that permits employees to complain about matters that affect them and their work

• effective dispute resolution helps employers maintain good relationships with employees through dealing with disputes at an early stage

protected industrial action

• strike → employees withdraw from work for a period of time

• work to rule → workers only perform bare minimum required

• stop-work meeting → employees stop work to hold a meeting during work hours

• picket line → employees physically demonstrate outside premises and prevent labour and deliveries entering

• lockout → employer doesn’t let employees into the workplace

methods od dispute resolution

• mediation

• arbitration

mediation

• an independent third party dacilitates discussion between two parties to help them reach their own agreement

• mediator does not provide advice

• mediator can be HR manager, extenral private mediator or member of FWC

• outcome is decided by parties and can be informal or formal (legally binding)

adv of mediation

• parties more likely to be satisfied with the decision as they have made decisions themselves

• less formal than arbitration so more likely to maintain relationships

• can be cheap as FWC provides this service for free

disadv of mediation

• may take a long time to reach a decision beacuse parties must come to agreement by themselves

• if a contract is not signed then the decision is not legally binding

arbitration

• both parties put their case forward to an independent third party who then makes the final decision which is legally binding

• FWC can act as the independent tribunal

adv of arbitration

• a decision will be made because the arbitrator makes a decision

• parties must abide by the decision because it is legally binding

disadv of arbitration

• occurs in a formal environemnt which may be intimidating and negative to relationship of parties

• the parties do not have a say in the decision so they may be dissatisfied with the outcome

dispute resolution procedure

1. employee or representative meet with manager to discuss and try to resolve problem

2. employee or rep meet with senior manager to discuss and try resolve the problem

3. dispute referred to an independent mediator

4. disputer referred to FWC for conciliation

5. dispute is arbitrated by FWC and a legally binding decision is made