Business Unit 3 AOS2 - Human Resource Management

Human resource management

the responsibility of maintaining an effective relationship between employees and the business

establishment phase

planning staffing needs, recruitment and selection of staff, determining employee remuneration

maintenance phase

covers period of time where employee works for the business, induction, training and development and performance management

termination phase

involves employee leaving the business, managing the termination of employee relationships, dealing with entitlement and transition considerations

motivation

what drives a person to apply individual effort over a period of time

maslow’s hierarchy of needs

all people have personal requiremnets to be satisfied, that can be arranged in a hierarchy in order of importance, with most basic needs at the bottom, progressing to higher level needs at the top, once a need is met it is no longer relevant

physiological, safety, social, esteem, self-actualisation

lawrence and nohrias - four drive theory

identified the four main drives that shape the way humans think and behave, that are independent and can be achieved simultaneously

acquire, bond, learn, defend

locke and lathams - goal setting theory

proposed that employees are motivated to achieve goals they have helped to set, these goals should be clear and specific, challenging but no so overwhelming they are impossible to achieve, with constant feedback on progress and recognition for effort being made

clarity, commitment, challenge, task complexity, feedback

extrinsic rewards

tanglible/physical rewards given to someone for achieving something

intrinsic rewards

sense of satisfaction or fulfilment that someone feels when they have accomplished something

performance related pay

employees rewarded through financial compensation such as commissions, bonuses or pay increase when they exceed goals or standards set by the business

career advancement

employee is promoted to a position with greater responsibilities, higher status and increased wages when they have exceeded goals.

investment in training

the business allocates resources such as time and money into developing their employees skills

support

business provides assistance or services such as counselling/mentoring to help employees cope with difficulties that may impede their work performance

sanction

a form of penalty or punishment imposed on employees for poor performance or behaviour eg. demotion or reduction in salary

training

the process of teaching staff how to do their job more efficiently and effectively by boosting their knowledge and skills

on the job training

employee learns a specific set of skills to perform particular tasks within the workplace

off the job training

employee learns a specific set of skills in a location away from the workplace

management by objectives

process where managers and employees agree on a set of goals for each employee that contribute to the businesses objectives, based on set criteria

self-evalutation

process where employee personally assesses their own skills, ability to meet goals and contribution to the business, using a set criteria

employee observation

strategy where a variety of opinions on the performance of an employee is sought, they are assessed and given feedback from colleagues and superiors using a set criteria, to gain a comprehensive picture

appraisal

a formal assessment of an employees skills and ability to meet goals using a set criteria, typically occurring annually or in six monthly cycles

employers

responsible for workplace relation issues in small/medium businesses

employee

involved in developing new or changed agreements

HR manager

negotiating employment agreements, training other manager/supervisors, dealing with disputes and conflict

Trade Unions

organisations formed by employees in a specific industry to represent them to help improve wages, working conditions and resolve disputes

peak union bodies

state and federal bodies affiliated with most unions, forms and coordinates union policies, represents union movement in court, campaigns politically on behalf of unions. eg. Australian Council of Trade Unions ACTU

peak employer bodies

most employer associations are represented by/affiliated with one eg. Australian Chamber of Commerce + Industry ACCI

employer associations

organisations that represent and assist employer groups

fair work commission

australia’s national workplace tribunal that has the power to carry out a range of functions under the fair work act 2009.

industry-wide awards

legally binding document determined by the fwc, reviewed every four years, outlining a minimum working conditions and wages in a specific industry

enterprise agreement

a collective agreement on pay and work conditions, made at the workplace level, negotiated between employer and union, must be approved by the fwc and be better than the award

individual contract

negotiated between single employee and employer, covers those employees who are not under any award or enterprise agreement, better than relevant award

retirement

employee voluntarily leaves workplace and workforce altogether, no mandatory age in australia, based on if an employee can afford to, age and health

redundancy

occurs when an employee’s job no longer exists due to technological changes, restructuring, a merger or acquisition and they are asked to leave the workplace, voluntary when employee is given opportunity to nominate themselves, involuntary when against employees will

resignation

the voluntary ending of the employment relationship by the employee, can be for promotion at another job, boredom, to start own business

dismissal

business terminates employment contract due to unacceptable behaviour, usually given warnings prior, notice is given unless a summary dismissal. unfair dismissal when fired for discriminatory reasons - lodge claim with fwc

entitlement considerations

rights required by law that employee has when leaving the business provided by the hr manager, eg. owing wages, notice period, redundancy payment

transition considerations

support provided by business that goes above and beyond the law and maintains positive CC, eg. gradual reduction in days work, financial advisor, exit interview, reference, outplacement services

DR process

listening to staff, negotiation, mediation, conciliation, arbitration

negotiation

last formal method of DR, involving direct discussions between parties without the involvement of a third party, results in a compromise

mediation

an neutral third party facilitates a discussion, does not offer any advice or decisions, encourages party to examine all issues and come to decision themselves, not legally binding

arbitration

formal process in a court like setting. an independent 3rd party the arbitrator hears from both parties who present their evidence and makes a legally binding decision, time consuming and expensive