1.4 Flashcards
Define - staff as an asset
Treats employees as the most important resource in the business and a source of competitive advantage. ▪ Employees are treated as individuals and then needs our plan accordingly.
Define staff as a cost
Treats employees simply as a resource of the business.
▪ Strong links with corporate business planning - what resources do we need, how do we get them and how much will they costs
How businesses treat staff as an asset
Permanent contracts
Develeop staff skills with training
Pay staff a salary
Builds loyalty from staff
How businesses treat staff as a cost
Flexible contracts, perhaps 0 hours
Minimal training offered
Low pay, often a hourly rate
Often leads to a high staff turnover rate
Define Flexible workforces
The ability a business to adapt its operations to changes in patterns of demmand
Pros and Cons of multi skilled staff
Definition - Training employees in more than one skill set
Pros-
Flexibility: can adapt to changes in demand, cover sickness or provide more resource (immediately) on project critical issues.
Cost efficiency: You can use your resource more efficiently and productively by utilising their paid hours to suit the needs and demands of the project. Where a requirement may be two workers for a few hours you can cover the project needs with one worker over the course of a day.
Reliability: It removes the need to rely on sub-contractors who you wouldn’t normally work with. Being able to use the workers you know and trust on your projects as opposed to outsourcing to specific skill sets.
Cons-
Loss of production as employees switch between jobs
Increased training budget required
Define part time and temporary staff
Temporary staff are employes on short-term contracts, meaning that if the employer no longer needs them, the contract is not renewed
Part time - someone who works fewer hours that a full-time worker
Define outsourcing
Contracting another business to perform certain business functions, allowing significant increases in capacity when needed
Pros and cons of outsourcing
Pros - Ongoing fixed costs can be kept low level within the business
Sudden surges in demand can be dealt with quickly
Companies to whom work in outsourcing can offer high quality services
Cons- Company to whom work is being outsourced from will charge
Arrangements may be time consuming
Work may not reach quality standards
Explain the difference between a dismissal and a reduncancy
Law requires businesses to have to compensate those made redundant according to how long theyve worked for the business and occurs because you no longer need anyone to do their job.
Dismissals occurs when an employee is deemed ‘not fit fot their job’ or when they have commited a major breach of their terms of employment (e.g. theft). In the case of the employee being fairly dismissed, no payments are made.
Define indervidual and collective bargaining
Indervidual employment agreements are negotiated between an indervidual and their employer and only bind to their parties
Collective bargaining occurs when an employer deals with of or a few representatives for the whole workforce when discussing problems, or negotiating pay rises or changes to working conditions. Usually representation is a trade union
3 adv and dis of collective bargaining
Av
Workers get representation on issues like health and safety and workplace bullying.
Employees benefit as acting together gives them more power in their relationship with the employer.
Prevents employees going on strike as they have representation with them who will work for their benefits
Dis
Trade unions cause increased wages and so less jobs in the economy+increase inflation
Can lead to inequality if one side of the negotiation is weaker than the other.
Can widen the gap between employers+employees.
What’s the difference between rectuitment and selection
Recruitment is as process which entails searching for candidates.
Selection is a process of picking the candidates from the shortlisted ones.
Adv and Dis of External recruitment
Av
Brings new ideas and innovation
Busness can cast a wider net to recruit the best workers with the most suitable skills which increases your chances of recruiting experienced and qualified candidates.
Dis
New recruits have little knowledge of the company + culture.
Greater risk than internal employment
More expensive+ time consuming than internal.
adv and dis of Internal recruitment
Adv
Cheaper and faster than external
Saves time and money on training as internal applicant will have knowledge of the organisation + culture
Promotes loyalty which may improve employee morale.
Dis
Limits the chances of innovation which may lead to a stagnant culture
Leaves a gap in the workforce which you will need to find a replacement for.
On the job training + methords
Training whilst the employee remains in the workforce
Coaching for an experienced member of staff
Role play- acting out a scenario to see how employee would react
Rob rotation
Adv and dis of on the job training
Adv
Training is specific to the companys needs
Employees may feel more at ease
May be cheaper as internal training doesnt need to be paid for
dis
Quality of training may be worse than off the job
May pick up bad habits from other workers
Concentration may be poor due to work interruptions
Adv and dis of off the job training
Adv
Higher quality training usually delived by experts
Higher levels of concentration as less interruptions
Dis
Cost of external training courses may be high
Productivity decreases due to time being spent away from place of work
Employees may learn skills not relevant to the business
Advantages of providing training
Higher skill levels can boost productivity and innovation
A wider range of skills can enhance the businesses flexibility
Motivates staff who feel they’re been invested in by the business
Possible consequences of not providing training
Lack of productivity
Business quality may decrease
Customers may recieve lower quality of customer service as workers are not as knowledge to answer questions
