human resources key words

Question 1

HR management

Answer 1

the process of organising the labour employed within an organisation.

Question 2

hard HRM

Answer 2

treats employees simply as resources of the business

Question 3

soft HRM

Answer 3

treats employees as the most important resource in the business and a source of competitive advantage

Question 4

labour turnover

Answer 4

the percentage of the work force (employees) that leave a business within a given period (usually a year)

Question 5

labour turnover formula

Answer 5

number of employees leaving during a period / average number employed during period x100

Question 6

employee retention

Answer 6

the ability of an employer to convince its employees to remain with the business

Question 7

retention rate formula

Answer 7

number of staff remaining / average number of staff x100

Question 8

labour productivity

Answer 8

is concerned with the amount (volume) of output that is obtained from each employee

Question 9

labour productivity formula

Answer 9

output per period (units) / number of employees at work

Question 10

labour cost per unit

Answer 10

total labour costs / total output

low number = good / good profit margin

Question 11

employee costs as a percentage of turnover

Answer 11

employee costs / sales revenue x100

Question 12

job design

Answer 12

is the way in which individuals roles are arranged in the workplace, deciding on the content of the job

Question 13

authority

Answer 13

the right of power assigned to a particular role in an organisation in order to achieve its organisational objectives

Question 14

delegation

Answer 14

the process of passing authority down the hierarchy from a manager to a subordinate

Question 15

matrix organisational structure

Answer 15

is a company structure in which the reporting relationships are set up as a grid, or matrix, rather than in the traditional hierarchy. In other words, employees have dual reporting relationships

Question 16

HR flow

Answer 16

is the movement of employees through an organisation starting with recruitment

Question 17

HR plan

Answer 17

assesses the current and future capacity of a business’s workforce and sets out the actions necessary to meet the business’s future HR needs

Question 18

recruitment

Answer 18

is the process of finding people to work for a company or become a new member of an organisation

Question 19

redeployment

Answer 19

the process of moving employees to a different job or of sending them to work in a different place

Question 20

redundancy

Answer 20

an employee loses their job because their role no longer exists

Question 21

employee engagement

Answer 21

is the relationship between an organisation and it’s employees, an engaged employee is absorbed and enthusiastic about work

Question 22

remuneration

Answer 22

are the methods that a business uses to pay their workforce

Question 23

piece rate

Answer 23

paid depending on the quantity of products made

Question 24

profit sharing

Answer 24

is a system whereby a proportion of the company’s profits is paid out to employees

Question 25

shared ownership

Answer 25

is where shares in the company are given to employees so that they become part owners in the company

Question 26

employee relations

Answer 26

the extent to which there is a positive working relationship between the management of a business and it’s employees

Question 27

trade unions

Answer 27

are organisations workers that workers seek through collective bargaining with employees to : - protect and improve the real incomes of their members - provide or improve job security - workers against unfair dismissal and other issues relating to employment legislation - lobby for better working conditions

Question 28

benefits to firms of trade unions

Answer 28

- negotiating with trade unions saves time and costs rather than dealing with all employees individually - unions are apart of the communication process between the business and employees - employee morale and motivation may be improved if they know that their interests are being protected by a union - the trade union can be a supportive partner in helping a business undergo significant change

Question 29

improving employee relations

Answer 29

- organisational size - external environment - styles of leadership - quality of communication

Question 30

methods of employee representation

Answer 30

- workers directive - employee groups - suggestions games - trade unions - work councils - open house staff consolation programmes - democratic elections for worker positions