HR

• 4.1 Workforce Planning

  Workforce planning is used to identify the future staffing requirements of an organisation (1). It includes:

  - Analysis of skills required in an organisation.

  - Expanding/contracting staffing to match demand

  - Approach to replacing staff who have vacated current positions.
• 4.1 Importance of Workforce Planning

  - Skill gaps can be identified and filled by hiring new staff or training existing staff

  
  

  - Avoids overstaffing and reduces costs.

  
  

  - Allows production to continue uninterrupted.

  
  

  - Managers develop strategies to replace staff who are leaving.
• 4.1 Internal Recruitment

  - Internal recruitment involves filling a vacancy using an existing employee. This can be done using internal communication methods such as email or noticeboards.

  
  

  A - Employees can be motivated at the chance of promotion.

  - No induction training is needed as the employee is familiar with the business.

  - Less expensive to advertise internally than using job sites or recruitment firms.

  
  

  D - Relationships become strained as a previous peer is now line manager.

  - Unlikely to get fresh ideas as the employee is experienced in current organisational processes.

  - Draws from a narrow pool of employees, so less likely to get best candidate
• 4.1 External Recruitment

  External recruitment involves filling a vacancy using a candidate from outside of the organisation. This must be done using job websites and recruitment firms.

  
  

  A - Avoids workplace jealousy as employees aren't promoted over one another.

  - Fresh ideas as employee has experience of different processes

  - Likely to get the best candidates by drawing from a wide pool.

  
  

  D - Employees can be demotivated as they notice lack of internal progression

  - Adjustment time and induction needed as an employee gets to understand processes.

  - More expensive to advertise on job boards than using internal communications.
• 4.1 MoS - CV

  A document created by the applicant showing their skills, experiences, qualifications, and references.

  
  

  A - Can view IT skills of candidates

  - Cover letter can be a good judge of a candidate's writing ability.

  
  

  D - May be biased/untruthful

  - Different CVs may contain slightly different information, making comparison difficult.
• 4.1 Methods of Selection - Application Form

  A standardised document created by the business where candidates must answer questions on their suitability for the job.

  
  

  A - Easy to compare between candidates due to identical format

  
  

  D - Candidates can be discouraged from applying if information asked for is contained on CV

  - Takes time for an organisation to produce and update
• 4.1 MoS - Interview

  These can be done 1-to-1 or in front of a panel; candidates must give an in-depth response to questions.

  
  

  A - Can observe body language and tone

  - Can ask follow-up questions and gain in-depth responses

  
  

  D - Time-consuming for all employees involved in interview process

  - Can disadvantage candidates who are skilled but do not excel under interview pressure or vice-versa.
• 4.1 MoS - References

  Former employers give a report on the performance of a candidate when they worked for them.

  
  

  A - Can verify information presented in CV, application, and interview.

  - Detailed information on how they performed in their previous role.

  
  

  D - Referees could be reluctant to be too positive if they don't want to lose a good employee

  - Candidate may given details of a friend within company
• 4.1 MoS - Testing

  Applicants complete a standardised test that tests their aptitude, skills, and suitability for the job.

  
  

  A - Can directly assess skills of candidates to make sure they are competent for the role.

  - Allows easy filtering for those who scored below a certain amount; important if there are a large pool of applicants.

  
  

  D - Can be costly as the testing company will likely have to be paid.

  - Candidates may not perform well under test pressure, meaning missing out on skilled employees.
• 4.2 Advantages and Disadvantages of Training

  A - Skilled employees will deliver better quality

  - Employees will be more productive, reducing labour cost per unit

  - Employee will be motivated as the business is investing in them

  - Can reduce the number of accidents that occur in work, making people feel safer.

  
  

  D - Employees may expect higher wages now they are more skilled

  - Initial cost of training

  - Temporary reduction in output as workers not doing normal jobs

  - They may leave for a promotion elsewhere due to their new skills
• 4.2 Methods of Training - Apprenticeship

  Paid on-the-job training where employees learn from qualified professionals while working. This may also include time spent at college.

  
  

  A - Training is tailored specifically to the business needs, meaning work is done to business standards

  - Less costly as training is done on-the-job

  
  

  D - Apprentices may mistakes during training which damages reputation

  - Apprentices are paid a wage while training, adding to costs.
• 4.2 MoT - Graduate Training Schemes

  Employees hired straight from university who are given intensive training in all aspects of business, for up to three years.

  
  

  A - Training is tailored specifically to the business needs, meaning work is done to business standards

  - Acts like work trial so organisation can decide where best to employ graduates at the end of training

  
  

  D - Graduates might leave once training is completed, meaning investment is wasted.

  - Can be time consuming to carry out the on-the-job training required
• 4.2 MoT - Corporate Training Schemes

  Employees of a business participate in training courses to develop specific skills. This can be on-the-job or off-the-job and may include qualifications.

  
  

  A - Standard of work can improve through training

  - Employees will be more motivated due to business investment in them

  
  

  D - Can be time consuming to carry out the training required

  - Can be costly for the organisation to provide training and subsequent wage rises
• 4.2 MoT - Work Based Qualifications

  Employees gain a formal qualification through their training, while also working.

  
  

  A - Training is specifically tailored to suit the firms

  - Training takes place in the workplace so less expensive than off-the-job

  - Standard of work can improve as employee develop skills

  
  

  D - Employee may leave the organisation once qualification is gained

  - Costly to pay for people to carry out the training
• 4.2 MoT - Continuing Professional Development

  Training that takes place throughout a career to ensure learners stay up-to-date with required skills. This can be online, on-the-job, at conferences, or events.

  
  

  A - Improves the skills of staff which can lead to better quality

  - Motivates staff as they feel the company is investing in them

  
  

  D - May take people away from their work which reduces output

  - Can cost the organisation money to send workers on training courses
• 4.2 Methods of Appraisal - One-to-One

  Formal review of employee performance by their line manager to review performance and identify areas of improvement. Usually takes place annually.

  
  

  A - Improves the skills of staff which can lead to better quality

  - Motivates staff as they feel the company is investing in them

  
  

  D - May take people away from their work which reduces output

  - Can cost the organisation money to send workers on training courses
• 4.2 MoA - Peer-to-Peer

  An employee is reviewed by another employee who works in a similar position (both heads of department, etc.). They provide feedback on their performance and identify areas for improvement.

  
  

  A - May be more relaxed and lead to more honest review

  - Employee relations between employee and line manager are not damaged

  
  

  D - Personal relations between peers could be damaged

  - Peers who lack skills/experience may highlight wrong training needs.
• 4.2 MoA - 360 Appraisal

  Managers, peers, subordinates, and the employee themselves complete an identical questionnaire to analyse employee performance and identify areas for improvement.

  
  

  A - A complete profile of an employee is gained from all people they interact with.

  - Numerous views increase the chance of accurate areas for development being identified.

  
  

  D - Some employees may find it difficult to be critical of employees

  - Time constraints can limit quality of feedback.
• 4.3 Importance of Motivation

  - Improved productivity reduces unit costs so the firm can reduce prices and maintain profit margins.

  
  

  - Improved quality means the firm could justify premium pricing

  
  

  - Improved customer service means the business develops a good reputation.

  
  

  - Reduced absenteeism prevents delays or disruptions to production.

  
  

  - Reduced labour turnover reduces costs of recruitment

  
  

  - Improved employee relations leads to a better workplace culture that attracts new, skilled workers.
• 4.3 Methods of Motivation (Financial) - Bonus

  A financial reward above normal pay for meeting agreed targets.

  
  

  A - It can make employees work harder to achieve targets

  
  

  D - it can make employees prioritise targets above other elements of the job
• 4.3 MoM (F) - Commision

  Employees are paid a percentage of the value of their sales.

  
  

  A - This can motivate employees to always be trying to sell expensive products.

  
  

  D - it can come across as pushy to customers.
• 4.3 MoM (F) - Profit Sharing

  Employees receive a percentage of the profit an organisation makes.

  
  

  A - This can make employees commit to all aspects of the business.

  
  

  D - employees may be demotivated by the idea that their reward depends on the performance of others.
• 4.3 MoM (F) - Time Rate

  Employees are paid a set amount by hour.

  
  

  A - This will make employees more willing to work long hours

  
  

  D - it can mean employees work slowly to maximise their reward.
• 4.3 MoM (F) - Piece Rate

  Employees are paid per item they produce.

  
  

  A - This can increase productivity as employees strive to make more units

  
  

  D - quality could suffer as employees rush.
• 4.3 MoM (F) - Overtime

  Employees are paid more than their hourly rate - such as double time - for working beyond their usual hours.

  
  

  A - This can motivate employees to work longer hours when the firm is busy.

  
  

  D - can mean employees create more jobs so they can earn double time.
• 4.3 MoM (Non-Financial) - Job Enrichment

  Employees are given management responsibilities to give them more responsibility and challenge.

  
  

  A - This can develop the skills of employees.

  
  

  D - it may mean they demand more money.
• 4.3 MoM (NF) - Job Rotation

  Employees work different roles within the organisation to prevent boredom.

  
  

  A - This can make the employee multi-skilled.

  
  

  D - it can also mean they are less productive as they adapt to new roles.
• 4.3 MoM (NF) - Training

  Employees develop their skills as the business invests in their development.

  
  

  A - Employees will be more skilled

  
  

  D - there is a significant cost upfront to the business.
• 4.3 MoM (NF) - Fringe Benefits

  Employees are given gym memberships, food discounts, or childcare.

  
  

  A - These may satisfy some basic needs of employees

  
  

  D - the business will bear a significant cost.
• 4.3 MoM - Team Working

  Employees are given the chance to work from home or complete work when they choose to.

  
  

  A - This can create better work-life balance.

  
  

  D - makes it difficult to supervise employees.
• 4.3 Maslow's Hierarchy of Needs

  - Classifies human needs into different categories; physiological, safety, love/belonging, esteem, self-actualisation

  - The need below must be met before the next becomes motivational. (A person will not be motivated by 'love and belonging' if they do not feel 'safety'.)

  - Once a need is met, it no longer motivates.

  - Managers can use this to identify how to motivate each employee once they know which stage they are at.
• 4.3 Maslow's Hierarchy

  Bottom - Physiological

  - Safety

  - Love and Belonging

  - Esteem

  Top - Self Actualisation


  Physiological - The initial step is ensuring basic needs are met. Met through fair wage/salary

  
  

  Safety - The next step is making sure people feel safe and secure at work. This is met through health and safety adherence and job security

  
  

  L&B - People now want to feel part of a group and develop relationships. This can be met through Team working and flexible working

  
  

  Esteem - Then, people want their successes to be recognised. This can be met through Bonuses, recognising achievement in appraisal and promotion

  
  

  SA - Finally, people want to realise their potential and grow. This can be achieved by job enrichment and training
• 4.3 Herzberg Two Factor Theory

  - Herberg split motivation into two elements; job satisfaction and job dissatisfaction.

  - If hygiene factors are not met, employees will be demotivated. However, employees will not be motivated by hygiene factors; they are an expectation.

  - Motivating factors are concepts which give employees more job satisfaction. However, the absence of these will not lead to employees being dissatisfied with their jobs.
• 4.3 Herzberg Theory - Motivators

  - Recognition

  - Promotion

  - Status

  - Autonomy
• 4.3 Herzberg Theory - Hygiene

  - Wages/Salary

  - Safety

  - Relationships

  - Working Conditions
• 4.3 Role of a Manager in Motivation

  - Planning - Plan appraisals so that managers can meet with staff

  
  

  - Organising - Organise training to make staff feel as though business is investing in them

  
  

  - Commanding - Command employees engage with appraisal process if unwilling

  
  

  - Co-ordinating - Coordinate job rotation opportunities to develop multi-skilled staff

  
  

  - Control - Sacrifice control to give employees autonomy in their work

  
  

  - Delegating - Delegate responsibilities to provide enrichment opportunities for subordinates

  
  

  - Motivating - Motivate staff to use team working/flexible working to meet relationship needs.
• 4.3 Leadership Styles - Autocratic

  - Managers make all the decisions with no employee consultations. Employees are told what to do, with all decisions made from the top.

  
  

  A - Clear expectations of employees

  - Quick decisions (can be particularly crucial in emergencies in any business)

  - Effective with highly skilled managers but unskilled workers

  
  

  D - Employees can become demotivated at lack of autonomy

  - Decision-making resting with senior managers could exclude valuable employee input
• 4.3 Leadership Styles - Democratic

  - Management and employees discuss ideas before reaching a conclusion. Employees are encouraged to share their ideas, recognising their expertise in certain areas. This style will encourage discussion, however, final decisions are still taken by management.

  
  

  A - Employees involved in decision-making can motivate

  - The manager has final say but employee input can lead to creative solutions

  
  

  D - Poor decisions could be made if employees who have input are not skilled/experience enough

  - Some employees may be less productive that if they had clear instructions (as in autocratic)
• 4.3 Leadership Styles - Laissez-Faire

  Management gives a task and a timeframe to employees, however, they are then left to their jobs with little instructions from management. This is generally done when employees are experts in their field. Management will offer support when asked for.

  
  

  A - High degree of autonomy can motivate employees

  - Can create a relaxed work environment

  
  

  D - Lack of input could mean objectives/timescales are not met

  - Only effective in environments where workers are self-motivated and highly-skilled
• 4.4 Employee Relationships - Benefits and Costs

  This describes the relationship between an organisation and the people who work for it. This can refer to individual employees or employees collectively.

  
  

  B - The business will gain a good image among potential candidates

  - Employees will be more motivated

  - Employees will feel more secure/safe at work as they are confident grievances will be addressed

  - Easier to introduce changes to organisation as employees will have been consulted

  
  

  C - Workers could become demotivated = poor quality/productivity & more absenteeism/staff turnover

  - More chance of industrial actions

  The business will gain a poor image among potential candidates

  - Employees will be resistant to change and make improving organisation difficult