AQA GCSE Business Unit 4 - Human resources

Layers within a staff hierachy

1. Directors - decide business strategy

2. Managers - carry out directors strategy

3. Supervisors - look after specific projects

4. Operatives - not responsible for any other staff

Tall Organisational structures

• Long chain of command

• Each manager only has a narrow span of control

  • (less employees to manage)

  • can make a firm more effective as each manager can focus more on subordinates

• slower communication

Flat organisational structures

• short chain of command

• Each manager only has a wide span of control

  • must manage many employees at once

    • can be difficult

• Faster communication

Centralised Organisations

• all major descisions made at the top

• people at the top tend to be experienced

• uniform policies throughout the business

• slower descision making

Decentralised Organisations

• Authority to make descisions is shared out

  • power may be delegated to regional managers

• Employees can use expert knowledge of their sector

• inconsistensies may develop between departments or regions

Businesses organised by Function

• common in limited companies

• each Functional area does one part of the business

• specialists can concentrate on their particular job

• different departments may not be coherent

Businesses organised by Product

• Common with lareg manufacturer

• product based structures split the organisation into sectors

• Managers can makedescisions that are relevant to each product sector

• could be a wasteful duplication of resources between sectors

Businesses organised by Region

• common for MNC’s

• divisions may be regional or national

• spreading management between regions makes day-to-day controll easier

• could be a wasteful duplication of resources between regions

Part time employees

• usually 10 to 30 hours a week

• earn less pay than full time employees

• good for businesses which are only busy during certain periods

Full-Time employees

• 35 to 40 hours a week

• earn more than Part-Time employees

• Good if there is always enough work for them to do

Job share

• two people share the pay and hours of a Full-Time job

• good for employees who only want to work part time Hours

• Good for employers if the two people have different strengths

• Responsibilities of each employee in a job share need to be very clear

Zero Hour Contract

• employer doesnt have to offer any work

• employee doesnt need to accept any work

• good in businesses with fluctuating demands

• cheap form of labour - only paid when doing work

• appeal to people who want extra cash but are restricted by time, e.g. students

Recruitnment

the process of finding the best person to do a job using three processes

• job analysis - firm thinks in depth about the details of the job

• advertisement - Job description and Person Specification posted

• selection - The business goes through the cabdudates that apply and select the best one

Internal recruitment

• recruiting current employees into new roles

• much cheaper and the post can be filled faster

• no new idea and the employees old vacancy wil have to be filled

External recruitment

• rcruiting from outside the business

• more likely to find someone really suited to the job

• advertising externally can be expensive

On-The-Job training

• most common form of training, employee learns by being shown

• most suitable when practical skills are being taught

• cost effective - working and learning go on at the same time

• training given by colleagues so bad working practices can be passed on

Off-The-Job Training

• staff learn away from their workplace

• happen when an employee needs to know general information or are learning a new skill that isnt related to a specific task

Benefits of training for employers

• trained staff should be better at their jobs

• training cn help staff stay up to date with changes in the business

• training is likely to make staff feel motivated

Benefits of training for employees

• employees with up to date knowledge / skills often have higher job satisfaction and motivation

• gainng new skills may mean they can be promoted and get better pay

Payment methods - Wages

• Wages - paid weekly or monthly, calculated using either a time rate or number of units produced (piece rate

Payment methods - Salary

• Salary - fixed amount paid every month, doesnt change based on hours worked or output

• doesnt link pay to performance so employees arent encouraged to work harder

Financial Methods Of Boosting Motivation

• Comission - paid to sales staff for ever item they sell ontop of a basic salary

• Profit Sharing - a percentage of the company’s profits is divided between employers

Non-Financial Methods Of Boosting Motivation

• training

  • being good at a job may increase self esteem

• Management styles

  • higher motivation if workers can give their input on descisions

• Fringe benefits

  • small perk that come with the job

Styles of management

• Authoritarian - managers make descisions alone

• Paternalistic - managers make descisions after consulting workers

• Democratic - workforce is allowed some influence over descisions

• Laissez-faire - managers allow workers to perform tasks as they see fit, offering help if needed

Fringe benefit

• any reward that isnt part of a worker’s main income

• e.g. staff discount, health insurance or a gym membership