Workforce Performance Flashcards
Define workforce performance
Measuring the effectiveness of the
workforce. When managers examine workforce performance they are examining the effectiveness of human resource management (HRM) policies.
Define absenteeism rates
Measures how many employees miss work as a percentage of the total number of employees.
* staff absent / total staff x100
Causes of absenteeism
- poor working conditions
- over supervision
- lack of respect for a team member
- stress
- low pay
Costs of absenteeism
☒ lost production
☒ paying overtime to others
☒ people copying
Measures to reduce absenteeism
- introducing flexible working hours
- job enrichment
- improved working conditions
- improved human relations
- bonuses for good attendance
Define labour turnover
Measures the rate at which employees leave a firm.
*staff leaving per year / average no of staff x 100
Reasons for high labour turnover
- low morale
- low wages
- the wrong people were appointed
- difficult location and bad working conditions.
Negatives of high labour turnover
☒ cost of recruitment
☒ cost of training
☒ fall in efficiency
☒ length of the learning curve.
Positives of high labour turnover
☑ new ideas
☑ new talented staff
☑ it avoids complacency.
Define 360 appraisal
360-degree appraisals involve the
appraised staff member receiving feedback from people whose views are considered helpful and
relevant.
Further explanation of 360 appraisal
- This could come from staff or other stakeholders who are in a position to make judgements on performance – fellow employees, line managers, team members, customers and suppliers.
- It could also include self assessment to give a complete appraisal of the individual.
The method should provide a full (360-degree) picture of performance and may help a business when making decisions related to the promotion of individuals
Define labour productivity
Labour productivity is a measurement of the output per employees. It is an important measure of the efficiency of the workforce
*output / no of employees
The higher the productivity of the workforce, the better it is performing.
Ways to improve labour productivity
- improving the capital equipment with which they work
- change employment methods, e.g. moving from assembly line production to cell production
- training may be needed for employees to help them deal with new machinery or methods
- increase motivation by changing the reward system
- change the structure of the business by devolving decision making.
