People in organisations (human resources)- BUSINESS A LEVEL P1

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Explain the functions of the human resource department

Human resources (HR) = the management of an organisation's employees to ensure it has the right number of people with the right skills, at the right time, while motivating, developing and retaining them.

Functions of HR: Recruitment: attract/select suitable employees., Training & development: develop employee skills, Motivation: improve employee commitment/performance, Appraisal: assess performance and identify development needs, Planning: forecast future workforce requirements, Compliance/employee relations: contracts, employment law, disputes, health & safety, equality.

Explain what is meant by the flexible workforce including flexible hours, home working, part time, temporary, job sharing, multiskilling, zero hours contracts and hot-desking

Flexible workforce = employees whose hours, location, employment status or range of skills can be changed to meet business needs.

Method	Meaning	Key evaluation
Flexible hours	Employees vary when they work	Improves work-life balance; helps business match staffing to demand
Home working	Employee works remotely	Lower premises costs; may reduce communication/control
Part-time	Works fewer hours than full-time	Flexible/cheaper; less availability/commitment possible
Temporary	Employed for a limited period	Useful for seasonal demand; less continuity
Job sharing	Two people share one full-time job	Flexible and broad skills; communication/handover issues
Multi-skilling	Employee trained to perform several jobs	Greater flexibility/productivity; training costs
Zero-hours contract	No guaranteed hours; work offered when needed	Very flexible for employer; income insecurity for worker
Hot-desking	Employees do not have permanently allocated desks	Saves office space/costs; can reduce employee attachment

why might a business or employee value flexibility

Why businesses want flexibility

• Match labour to demand.

• Reduce labour costs.

• Cover peaks/seasons.

• Respond quickly to change.

• Access wider talent pool.

• Improve productivity.

Why employees may value flexibility

• Better work-life balance.

• Easier childcare/other commitments.

• Greater autonomy.

• Potentially higher job satisfaction.

Explain the impact of new technology on working practices

Technology can:

• Enable home/remote working.

• Allow communication through video conferencing/messaging.

• Automate routine tasks.

• Create demand for new digital skills.

• Make employees more productive.

• Allow 24/7/global working.

• Enable flexible scheduling.

• Reduce need for some jobs.

• Create new jobs.

Explain what is meant by workforce planning and what is the impact and importance to a business of having the correct numbers of employees with appropriate skills and experience

Workforce planning = forecasting the number and type of employees a business will need in the future and planning how to obtain them.

Why correct workforce matters Too few employees

→ excessive workload
→ stress/absenteeism
→ lower quality/service
→ lost sales
→ lower profit.

Too many employees

→ unnecessary wage costs
→ lower productivity
→ reduced profit.

Correct skills/experience

→ higher productivity
→ better quality
→ innovation
→ fewer mistakes
→ improved customer satisfaction.

Ultimately: importance depends on the cost of labour, availability of skills and predictability of demand.

explain what is meant by the recruitment process and Explain what is meant by internal and external recruitment

Recruitment = process of attracting and selecting suitable candidates for a vacancy.

Typical process

Identify vacancy → job analysis → job description/person specification → advertise → applications → shortlist → selection → references → appointment.

Internal: Recruiting someone already working for the business.

Advantages: Cheaper/faster, Employee already knows business, Motivates existing employees, Lower recruitment risk.

Disadvantages: Creates another vacancy, May cause resentment, No new ideas/skills.

External: Recruiting from outside the organisation.

Advantages: Larger pool, New ideas/skills, Can find specialist expertise.

Disadvantages: More expensive/time-consuming, Longer induction, Existing employees may feel overlooked.

Explain what is meant by job analysis, job description and person specification

Job analysis: Systematic investigation of what a job involves, including tasks, responsibilities and skills required.

Job description: Written document stating what the job involves.

Usually includes: job title; duties; responsibilities; reporting relationships; working conditions.

Person specification; States the characteristics the candidate should have.

Includes: qualifications; skills; experience; knowledge; personal qualities

what are the methods of selecting different types of employee for different types of job including interviews, work trials, testing, selection exercises and telephone interviews

Interviews: Assess candidate through questioning.

+ Two-way communication; assess communication/personality.
− Subjective; interviewer bias; expensive/time-consuming.

Work trial: Candidate performs the actual job/tasks.

+ Real evidence of ability; reduces uncertainty.
− Time-consuming; unsuitable for some jobs.

Testing Skills test: Tests ability to perform a specific task.

Aptitude test: Measures potential ability to learn/perform something.

+ Objective/comparable.
− Can be stressful; may not reflect real performance.

Selection exercises: Examples: group tasks; role play; presentations; assessment-centre exercises.

+ Tests teamwork, leadership, communication/problem solving.
− Expensive; some candidates may dominate.

Telephone interview: Initial interview by phone.

+ Cheap, fast, filters applicants.
− Limited non-verbal information.

Evaluate the importance of recruitment to a business and its stakeholders

Effective recruitment → right employee → higher productivity/quality → lower labour turnover → lower recruitment costs → greater profitability.

Poor recruitment can cause:

• low productivity;

• mistakes;

• poor customer service;

• conflict;

• training costs;

• labour turnover;

• reputational damage.

Stakeholders :

• Employees: career opportunities/fairness.

• Customers: better service.

• Owners/shareholders: profitability.

• Managers: effective workforce.

• Government: employment/tax revenue

Explain what is meant by training and the role of training in developing appropriate skills

Training = process of developing employees' knowledge, skills and abilities to improve current/future performance.

Why training?

• Fill skills gaps.

• Improve productivity.

• Improve quality.

• Reduce mistakes/accidents.

• Introduce technology.

• Prepare for promotion.

• Improve motivation.

• Meet legal requirements.

• Retain employees.

Explain the different methods of training including induction, on the-job, off-the-job and apprenticeships

Induction: Training given to new employees when they join.

Covers: business rules; procedures; health & safety; role; culture.

On-the-job: Training while doing the job.

Examples: coaching; mentoring; job shadowing.

+ Relevant/practical; cheaper; immediate application.
− Disrupts experienced worker; mistakes may affect customers; trainer may lack expertise.

Off-the-job: Training away from normal job duties, e.g. courses/external trainers.

+ Specialist expertise; fewer workplace distractions.
− Expensive; employee not producing while training.

Apprenticeship: Employee combines paid employment with structured training/study, usually working towards a recognised qualification.

+ Develops skilled workers; earns while learning; can improve retention.
− Long-term investment; training costs; apprentice may leave.

Training vs development

Training: improves skills for current/immediate role.
Development: prepares employee for future responsibilities/career progression

Evaluate the importance and impact of training for a business and its stakeholders

Training can: skills ↑ → productivity ↑ → quality ↑ → waste/errors ↓ → costs ↓ → profit ↑

Also: improves flexibility; supports technological change; motivates staff; reduces turnover.

But: expensive; time-consuming; employee may leave after training; benefits may be difficult to measure.

Explain what is meant by appraisal and the different methods of appraisal including superior’s assessment, peer assessment, self-assessment and 360 degree feedback

Appraisal = formal assessment/review of an employee's performance, progress and development needs.

Methods

Superior's assessment : Manager assesses employee.

+ Manager understands objectives/performance.
− Personal bias possible.

Peer assessment : Colleagues assess the employee.

+ Peers observe teamwork closely.
− Personal relationships/bias.

Self-assessment: Employee assesses own performance.

+ Encourages reflection/ownership.
− Over/under-estimation possible.

360° feedback : Feedback from manager + peers + subordinates + self (and sometimes customers).

+ Broad, balanced perspective.
− Complex, costly, potentially biased/confidentiality concerns.

how can appraisal benefit both the business and its employees

Employee

• Feedback.

• Recognition.

• Identifies training needs.

• Career development.

• Clear objectives.

• Motivation.

Business

• Identifies poor performance.

• Identifies training needs.

• Aligns employee objectives with business objectives.

• Supports promotion/reward decisions.

• Improves productivity.

Possible problems

• Cost/time.

• Stress.

• Bias.

• Can damage motivation if poorly managed.