UNIT 2 IGCSE PEOPLE IN BUSINESS REVISION

UNIT 2 IGCSE REVISION

• Comprehensive overview of essential content.

2.1 COMMUNICATION

• Definition: The process of transferring information from sender to receiver.

• Types:

  • Internal Communication: Information shared within a business.

  • External Communication: Information shared outside a business.

• Methods of Communication:

  • Verbal: Listening-based communication.

  • Non-verbal: Observational communication.

  • Written: Reading-based communication.

VERBAL COMMUNICATION

• Formal Methods:

  • Meetings

  • Interviews

  • Presentations

  • Lectures

• Informal Methods:

  • Face-to-face conversations

NON-VERBAL COMMUNICATION

• Formal Methods:

  • Presentations

  • Displays & notice boards

  • Maps & diagrams

• Informal Methods:

  • Gestures

WRITTEN COMMUNICATION

• Formal Methods:

  • Reports

  • Letters & emails

  • Press releases

  • Brochures

• Informal Methods:

  • Text messages

  • Conversations

  • Telephone calls

  • Body language

Benefits and Limitations of Different Methods

• Verbal Communication:

  • Benefits: Quick information transfer, immediate feedback, reinforced message through body language.

  • Limitations: Potential misunderstanding, lack of permanent records.

• Non-verbal Communication:

  • Benefits: Enhances clarity of message with visual aids.

  • Limitations: Possible complexity in understanding charts and graphs, lack of direct feedback.

• Written Communication:

  • Benefits: Hard evidence of message, clarity in detailed information transfer.

  • Limitations: Language barriers, lack of opportunity for body language.

IT in Communication

• Digital Communication: Involves electronic methods.

• Examples: Video conferencing, email, instant messaging.

Benefits and Drawbacks of IT in Communication

• Benefits:

  • Video conferencing eliminates travel costs.

  • Email allows instant messaging with attachments.

  • Instant messaging allows for rapid communication.

• Drawbacks:

  • Technical issues may hinder effectiveness.

  • Spam can prevent access to important emails.

  • Miscommunication risks due to lack of non-verbal cues.

Benefits of Effective Communication

• Reduces costs

• Increases worker motivation

• Improves efficiency

• Promotes customer satisfaction

• Builds positive company culture

• Encourages innovation

Effects of Poor Communication

• Decreased employee motivation leading to low morale.

• Increased costs due to inefficiencies.

• Mistakes and inaccuracies in work processes.

• Missed opportunities leading to potential losses.

Communication Barriers

• Types:

  • Hierarchical/structural barriers

  • Noise and distractions

  • Language and jargon issues

  • Cultural differences

  • Lack of time

  • Technological barriers

• Solutions:

  • Regular feedback session

  • Effective communication methods tailored to the workplace

  • Training for cultural awareness

2.2 RECRUITMENT AND SELECTION PROCESS

• Types of Employment:

  • Full-time: Works standard hours (e.g., 35 hours/week in the UK).

  • Part-time: Flexible working hours based on availability.

  • Job Sharing: Two part-time contracts for one role.

  • Temporary/Casual: Work based on need (e.g., seasonal jobs).

Recruitment Process Steps

1. Define the role (job description/specification).

2. Decide on internal or external recruitment.

3. Advertise using cost-effective methods.

4. Receive applications.

5. Shortlist candidates.

6. Interview and assess.

Recruitment Documents

• Person Specification: Essential characteristics of an ideal candidate.

• Job Description: Key responsibilities of the role.

• Curriculum Vitae (CV): Applicant's educational and work history.

• Application Form: Standardized document for applicants.

Comparing Application Forms and CVs

• Application Forms: Standardized for easy comparison.

• CVs: Customized, more flexibility but may vary inconsistent formats.

Internal vs. External Recruitment

• Internal: Hiring from within the organization, quicker adaptation.

• External: Hiring from outside, bringing in new skills and ideas.

Shortlisting and Interviews

• Shortlisting: Candidates meeting job criteria selected for interviews.

• Interviews: Assess candidates using standardized questions for fairness.

Legal Controls Over Employment

• Regulations that govern employer-employee relationships (e.g., pay, safety, discrimination).

Benefits of Complying with Employment Laws

• Improved reputation and employee satisfaction.

• Mitigation against legal issues.

Minimum Wage Laws

• Legal lowest wage requirement.

• Variability in minimum wage systems across countries.

Impacts of National Minimum Wage

• Increased costs for employers but raises living standards for workers.

• Motivates higher productivity due to better pay.

TRAINING

• Definition: Teaching new skills and improving existing ones.

• Types:

  • Induction Training: Introduces new employees to the company.

  • On-the-job Training: Learning in the work environment.

  • Off-the-job Training: External education for skill development.

Importance of Well-trained Employees

• Boosts productivity and retention.

• Enhances employee engagement and satisfaction.

Motivation Theories

• Taylor's Scientific Management: Focus on pay and close supervision.

• Maslow's Hierarchy of Needs: Motivation is need-based progression.

• Herzberg's Two Factor Theory: Job satisfaction is influenced by hygiene and motivator factors.

Organizational Structures

• Definitions:

  • Chain of Command: Flow of information.

  • Span of Control: Number of subordinates.

  • Delegation: Assignment of tasks to subordinates.

Advantages of Delegation

• Frees up managerial time and empowers employees.

• Provides training and development opportunities for staff.

Functional Areas in a Business

• Roles:

  • Human Resources: Handles recruitment and employee welfare.

  • Finance: Manages funds and financial planning.

  • Marketing: Understands customer needs and promotes products.

  • Production: Manages manufacturing and quality control.

Collaboration Between Functional Areas

• Cooperation among areas enhances overall efficiency and performance.

Case Examples

• Discussion of business practices and examples, including recruitment processes and internal operations.