BM 02 HRM

• McClelland's acquired-needs theory

  3 needs that must be satisfied to boost motivation & productivity: Need for Achievement (n-Ach)Need for Power (n-Pow), Need for Affiliation (n-Aff)
• Need for Achievement (n-Ach)

  • Moderate risk takers as they feel a sense of achievement if a task isn't not too hard
  • Personal success > extrinsic rewards
• Need for Power (n-Pow)


  • N-Pow people tend to be strong-willed as they like to influence the behaviour of others
  • People who seek institutional power (instead of personal power) bring the best out in their teams to achieve organizational objectives
• Need for Affiliation (n-Aff)

  • Seek to have good social & working relationship with colleagues
  • Motivated by working in teams/customer relations > alone
• Deci and Ryan's self-determination theory


  The drive to flourish relies on 1) Autonomy 2) Competence 3) Relatedness
• Adam's Equity theory

  Employees are motivated when they feel outputs are equal/relative to their inputs. (is the workplace and/or remuneration equitable)
• Expectancy theory by Vroom

  Suggests that people only put in the effort to do a task if they expect they will achieve the required result, consisting of three parts: Expectancy, Instrumentality, Valence
• Labour turnover


  Measures the percentage of the workforce that leaves the organization in a given time period (usually one year)
• Types of appraisal


  • Formative
  • Summative
  • 360-degree feedback
  • Self-appraisal
• Formative appraisal


  A planned, ongoing process where appraisal evidence is used by employees to inform them on how to improve their work practices
• Summative appraisal


  Written description of an employee's performance at work, summarising performance & achievements during the year
• 360-degree feedback


  Collecting evidence about the employee's performance from peers, subordinates, managers/others with direct contact
• Self-appraisal


  Employees appraise themselves based on predetermined criteria
• Recruitment process


  • Vacancies become available
  • Advertise the vacant post
  • Check applications and create a shortlist
  • Conduct interviews
  • Perform aptitude testing (if required)
  • Check references
  • Offer job to best candidate
  • Issue and sign employment contract
  • Carry out new employee induction
• Where job vacancies are advertised

  • Newspapers
  • Specialist trade publications
  • Company websites and social media platforms
  • Online recruitment websites
  • Employment agencies
  • Job centres
  • University career fairs
• Internal recruitment


  Hiring people who already work for the business to fill a vacant post
• External recruitment


  The process of hiring people from outside the business
• Methods used to recruit externally

  • Newspaper advertising
  • Specialist trade publications
  • Employment agencies
  • Job centres
  • Headhunting
• Gantt charts can be used in the recruitment and selection process
• Delegation


  The assignment of authority and responsibility to another person to carry out specific activities
• Span of control


  The number of subordinates a manager can effectively manage
• Levels of hierarchy


  The number of layers of management in an organization
• Chain of command


  The line of authority and communication in an organization, from the top to the bottom
• Bureaucracy


  A highly structured, formalized, and impersonal organization
• Centralization


  Decision-making power is concentrated at the top of the organization
• Decentralization


  Decision-making power is delegated to lower levels of the organization
• Delayering


  Reducing the number of levels in the hierarchy of an organization
• Matrix structure


  An organizational structure where employees report to two or more managers
• Types of organization charts

  • Flat or horizontal
  • Tall or vertical
  • By product
  • By function
  • By region
• Changes in external factors

  Appropriateness of different organizational structures
• Changes in organizational structures

  1. Project-based organization

  2. Charles Handy's "Shamrock Organization"
• Archy


  Chain of command
• Bureaucracy


  Execution of tasks governed by official administrative and formal rules of a firm
• Centralization


  Organizational structures have a very small number of people at the top who control the decision-making
• Decentralization


  Organizational structures have decision-making authority and responsibility shared with a greater number of people
• Delayering


  Process of removing one or more levels in the hierarchy
• Matrix structure


  Organizes employees from different departments to temporarily work together on a particular project
• Types of organization charts

  • Flat or horizontal
  • Tall or vertical
  • By product
  • By function
  • By region
• Flat organizational structures


  Fewer levels in the hierarchy, managers tend to have a wider span of control
• Tall organizational structures


  Many levels in the hierarchy, managers tend to have a narrower span of control