1.4 Flashcards
(49 cards)
Seeing employees as assets vs costs
Assets
- Provide good remuneration package
- Good holiday and sick pay
- Invest in working conditions
- Provide job security
- See training as a good investment
- Delegate responsibility
Costs
- Pay minimum wage
- Provide legal requirements, sick pay and holiday
- Provide basic working conditions
- Find ways to increase output and decrease cost
- Training seen as unnecessary cost- cut during financial crisis
- Centralised decision
What is flexible working
A way of working which suits employees needs
Approches of flexible working
- Multi-skilling: Employees trained in multiple roles, increasing adaptability.
-Part-time & Temporary Workers: Used to manage seasonal demand or short-term needs.
-Flexible Hours & Home Working: Allows employees to work at different times or remotely, improving work-life balance.
-Outsourcing: Hiring external firms to handle certain tasks (e.g., customer service, manufacturing) to reduce costs.
ADV of flexible working
- Allows firms to respond to short term changed in demand
- Specialist jobs done by people who dont need a permanent contract
- Easier to manage staff cost
DIS of flexible working
- Communication reduced
- Outsourced may be low quality
- Employees may not be committed to firm if they dont have permanent job/contract
Difference between dismissed and redundancy
Dismissed- When an employee is fired due to poor performance or misconduct
Redundancy- when there is no work, not enough work or position no longer applies
What is collective and individual bargaining
Collective Bargaining: Unions negotiate with employers on behalf of employees, ensuring fair pay and conditions.
Individual bargaining - individuals negotiate their own pay and conditions
What is recruitment and selection
Recruitment is the process of attracting and identifying potential candidates for a role and selection is choosing the right employees
Types of recruitment
- External- Hiring from outside the company
- Internal - Hiring from within the company
ADV of internal recruitment and dis
- Cheaper than external
- Decreased risk as managers know employees, while unable to see how external act
- May require less training as already understand business to some extent
- Promotion opportunity= good as increases motivation and retention
> However may limit new ideas and fresh talent
A further vacancy is created when an employee is promoted
ADV of external recruitment
- Attract wider number of applicants
- Bring new skills and ideas
- Help increase capacity of firm
> However may be expensive and takes longer
Costs of Recruitment, Selection, and Training
-Recruitment Costs: Advertising, recruitment agency fees, job fair costs.
-Selection Costs: Time spent reviewing applications, conducting interviews, testing candidates.
-Training Costs:
>Financial costs (hiring trainers, materials).
>Lost productivity (time away from work for training).
>Risk of employees leaving after training
What is training
process of developing employees by improving their skills and knowledge so they can perform better
Types of training:
- Induction- new employees are trained up to do their role efficienctly
- On-the job training
- Off the job training
Define on the job and off the job
On-the-Job Training – Employees learn while working, guided by experienced staff e.g., shadowing
Off the job- Training that takes place away from the workplace eg courses
ADV of on the job
- Easier and cheaper to organise
- Output doesnt fall as work is done and learning at same time
-employees learn while working
-training is tailored to specific job role
DIS of on the job
- Increased mistakes = decreased productivity and quality
- Disruptive for others
ADV of off the job
- Decreased mistakes as not on site
- Safer
- More motivating
-bring new skills
DIS of off the job
- Costly
- May not be relevant to job
-employees may miss work = decreased productivity
ADV of induction training
-provides staff with info to settle in
-helps staff understand bsuiness and their role
DIS of induction training
-more costs as employees not producing output while training
- can be overwhelming
Define:
-hierarchy
-chain of command
-span of control
Hierarchy– a system in an organisation where people are ranked
according to the authority that they have.
Chain of command refers to levels in the hierarchy eg tall structure = large chain of command
Span of control- number of employees that a manager is directly responsible for eg flat structure = large span of control
Define centralised and decentralised
Centralised structure- decision making process whereby the majority of decisions are led by senior managers/ head offices
> (Decisions are made at the top of the hierarchy)
Decentralised structure- decision-making process whereby the majority of decisions are delegated to managers in charge of regions, functions or product categories
> (Decision-making is spread out to lower levels)
Centralised ADV
- Good when managers have knowledge and workers are low skilled
- Suitable in time of crisis
- Good for cost minimisation and achieving EOS