HRM & Finance

Question 0

Recruitment and selection of staff

Answer 0

Investigating trends in the current labour market. Forecasting future staffing needs & identifying future skills required, providing induction training

Question 1

Role of Human Resources

Answer 1

Recruitment and selection of staff, promoting a corporate culture, managing staff welfare, managing employee relations

Question 2

Promoting a corporate culture

Answer 2

Sharing the mission and vision, facilitating communication systems, providing CPD (continuing professional development)

Question 3

Managing staff welfare

Answer 3

Team-building
providing fringe benefits
work-life balance & health skills

Question 4

Managing employee relations

Answer 4

Designing, implementing & managing appraisals, dealing with discipline & grievances, managing redundancy

Question 5

Objectives of HR

Answer 5

See sheet

Question 6

Role of HR department

Answer 6

FACES

Facilitator, Auditor, Consultancy, Executive, Service

Question 7

HRM: Facilitator role

Answer 7

HR staff must provide or facilitate training to other members of staff in the organisation

Question 8

HRM: Auditor role

Answer 8

HR staff must monitor and report on how effectively individual staff and departments are following HR polices and procedures

Question 9

HRM: Consultancy role

Answer 9

HR staff must provide specialist guidance and information to managers on how to deal with particular staffing situations

Question 10

HRM: Executive role

Answer 10

In this role, HR staff assume the role of ‘resident expert’ in all staffing matters

Question 11

HRM: Service role

Answer 11

HR staff must provide useful information and to be able to do so must keep up with current legislation and other changes that may affect staff

Question 12

Role of Finance

Answer 12

See sheet

Question 13

Uses of financial information to an organisation

Answer 13

To: control costs & expenditure, monitor cash flow, forecast trends, monitor performance, inform decision making

Question 14

Finance: to control costs & expenditure

Answer 14

Financial info allows managers to identify where costs/expenses have increased in order to help them take corrective action

Question 15

Finance: to monitor cash flow

Answer 15

A business will pay close attention to cash flow to ensure that it has enough funds coming in to pay bills as they arrive. Producing cash budgets assists with this

Question 16

Finance: to forecast trends

Answer 16

Managers analyse the firm’s annual accounts over several years to help them plan likely future costs, revenue and profits

Question 17

Finance: to monitor performance

Answer 17

Managers use the firm’s annual accounts to asses how the firm had performed compared to previous years & competitors. This allows corrective action to be take if problems are found

Question 18

Finance: to inform decision making

Answer 18

Financial info allows budgets to be prepared for internal uses to assist with decision making & planning. Using ratio analysis allows an organisation to decide where improvements need to be made

Question 19

Users of financial information

Answer 19

Managers, owners, creditors, employees/trade unions, citizens, banks/lenders, inland revenue, financial journalists

Question 20

How managers use financial info

Answer 20

See sheet

Question 21

How owners use financial info

Answer 21

See sheet

Question 22

How creditors use financial info

Answer 22

See sheet

Question 23

How employees/trade unions use financial info

Answer 23

See sheet

Question 24

How citizens use financial info

Answer 24

See sheet

Question 25

How banks/lenders use financial info

Answer 25

See sheet

Question 26

How inland revenue use financial info

Answer 26

See sheet

Question 27

How financial journalists use financial info

Answer 27

See sheet

Question 28

Who wants to use financial information?

Answer 28

Shareholders, management, employees, customers, competitors, government, analysts, creditors/lenders

Question 29

Why Shareholders want to use financial info:

Answer 29

See sheet

Question 30

Why management want to use financial info:

Answer 30

See sheet

Question 31

Why employees want to use financial info:

Answer 31

Interested in viability of business & ability to pay their salaries, want to monitor cash flow

Question 32

Why customers want to use financial info:

Answer 32

May have ethical/environmental issues, may simply want to know if the company will continue to trade

Question 33

Why competitors want to use financial info:

Answer 33

Interested in plans for expansion, want to know if business has increased/decreased market share

Question 34

Why Government want to use financial info:

Answer 34

Want to know future plans for business and how much it is making in order to collects taxes

Question 35

Why analysts want to use financial info:

Answer 35

Collate information and make comparisons with other business in same industry/research sector for research and statistical purposes

Question 36

Why creditors/lenders want to use financial info:

Answer 36

Assess the viability of the business and whether it is in a good position to pay back any loans & meet it's commitments

Question 37

Effects of ICT on staff

Answer 37

See sheet

Question 38

Effects of ICT on organisation

Answer 38

See sheet

Question 39

Data Protection Act (1998)

Answer 39

Controls the way organisations can use the data they hold and give certain legal rights to people whose information is stored

Question 40

The eight data protection principles are:

Answer 40

See sheet

Question 41

Computer Misuse Act (1990) makes it an offence to:

Answer 41

See sheet