2.5 Making Human Resource Decisions

hierarchical structure

advantages	disadvantages
- lots of opportunity for promotion - supervisors have small span of control so they can get to subordinate really well	-communication within business can be slow - expensive as there are more managers and supervisors

flat structure

advantages	disadvantages
- communications can be faster because of fewer layers of hierarchy - lots of delegation, staff are given grater responsibility	- staff overworked and lack of supervision - can create power struggle if manager is rarely around

centralised management structure

where business decisions are made at the top of the business distributed down the chain of command

advantages	disadvantages
- consistency across the business - business has clear direction	- can demotivate employees - may lower productivity

decentralised management structure

where business allows decisions made by managers and subordinates

advantages	disadvantages
- improved employee motivation - more responsibility for employees	- consistency is not achieved across the business - managers can make ineffective decisions

insufficient communication

can negatively impact efficiency and motivation as employers may not fully understand what is expected of them

excessive communication

can cause employees to become confused, stressed or overworked

types of work hours

• full time

• part time

• flexible hours

  • zero-hours contract = an employee has no specified number of hrs per week and are given work when required

types of contracts

• permanent contracts = no fixed end date

• temporary contracts = has a specified end date

• freelance contracts

working home

advantages	disadvantages
- gives good work life balance - can work hours that suit their lifestyle - no commute so saves money	- no socialisation so they may not have anyone to balance ideas off of - needs a lot of self-discipline to avoid distractions

internal recruitment

advantages	disadvantages
- quick process - cheaper to recruit - applicants already know the business	- small applicant pool - more experience externally - lack of fresh ideas

external recruitment

advantages	disadvantages
- may bring new ideas, enthusiasm and skills - larger pool of applicants	- expensive to recruit - takes more time - doesn’t previously know the business