Human Resource management
The strategic approach to the effective management of employees so they help the business gain competitive advantage
Workforce planning
Forecasting the numbers of workers and the skills that will be required for an organisation to meet it objectives.
Labour turnover
Measures the rate at which employees are leaving an organisation
No. of employees leaving in 1 year
—————————————— X 100
Avg no. of people employed
Benefits and limiations of high labour turnover
Benefits
-Low skilled and unproductive workers may leave who can be replaced by more competent ones
-New ideas and practices brought into the business by new recruits
-Labour turnover can help business reduce employee numbers and costs
Limitations
-Costs of recruiting, training, and selecting new staff are expensive
-Poor output levels due to staff vacancies before new recruits are appointed
-Difficult to establish customer loyalty due to lack of familiar contact
Recruitment
Process of identifying the need for new employee, defining job and type of person needed to fill it and attracting suitable candidates for job
Stages of Recruiting and Selecting Employees.
-Establishing the nature of the job and making a job description
-Making a person specification
-Preparing job advertisement
-Shortlisting applications
-Selecting between applicants
Job description and person specification
-A detailed list of the key points about the job, stating its key tasks and responsibilities
-A detailed list of the qualities, skills, and qualifications a successful candidate must have
CV and resume
-Curriculum vitae is a detailed document containing personal and academic achievements, work experience, and awards
-Résumé is a less detailed document than the CV, which includes work experience, educational background, and specific skills for the job
Assessment centre
A place where a range if tests is used to judge job applicants on their potential ability to perform a particular role
Internal recruitment
When a vacancy is filled by someone in the existing organisation
Benefits
-Applicants are already known
-No need for induction training
-Culture of the organisation is understood
-Quicker and easier
External recruitment
When. vacancy is filled by someone outside the organisation
Benefits
-New ideas enter the business
-Wider choice of applicants
-Higher standard of applicants
-Avoids resentment between employees
Employee contract
A legal document that sets out the terms and conditions governing a workers job
-Employees work and responsibility
-Working hours
-Temporary or permanent
-Holiday entitlement
Redundancy
When a job is no longer required by the organisation
Dismissal
Being fired due to incompetence or breach of discipline
Fair and unfair dismissal
Fair
-Inability to do the job
-Negative attitude at work
-Disregard of required health and safety
-Deliberate destruction of property
-Bullying of other employees
Unfair
-Pregnancy
-Discriminatory reason
-Being a part of a union
Equality policy and its impact
Practices and processes aimed at achieving a fair organisation where everyone is treated the same way
Impacts of equality policy
-High morale and motivation
-Developing good reputation
-Measuring employees performance by achievements
Diversity policy and its impact
Practices and processes aimed at creating a mixed workforce
Impact
-Consumers attracted by a diverse sales force
-Employing more qualified workforce based on merit
-Increasing creativity as individuals from different backgrounds
-Achieving cultural awareness
-Promoting diverse language skills
Types of training
Induction- Introductory tannin programmes to familiarise new recruits with business systems and layout
On-the-job- Instruction at the work place on how the job should be carried out
Off-the-job- Training undertaken away from the workplace
Employee appraisal
The process of assessing the effectiveness of an employee judged against preset objectives
Benefits of cooperation between employer and employees
-Fewer days lost due to industrial action
-Easier for management to bring change
-Agreement in effective operations will increase the business’s competitiveness
-Workers insights lead to more successful decisions
Reasons to join a trade union
-To engage in collective bargaining
-Collective industrial action to influence employers
-Legal support for unfair dismissal
-For all legal requirements to be met
Collective bargaining
The process of negotiating terms of employment between employer and a group of workers who are represented by trade union official
Benefits of collective bargaining
-Easier for employers to negotiate w one trade union officer
-Union officials act as a useful channel of communication for workers
-Unions can impose discipline on this who take hasty industrial action
-These discussions led to increased productivity
Industrial action and types of it
Measures taken by workforce or trade union to put pressure on management to settle an industrial dispute
-Collective bargaining
-Go slow
-Work to rule
-Overtime bans
-Strike action