1.4 - Managing People Flashcards
What is Taylor’s approach?
- scientific
- breaking down tasks
- manufacturing businesses use this method
- perform only 1 task (skilled)
- paid for completed work
What is Mayo’s relation Theory?
- importance of social factors
- relationships improve job satisfaction
- empowers
- positive environment
- encourages development
What is Maslow’s hierarchy of needs?
- 5 tiers of needs
- help reach full potential
What is Herzberg’s 2 factor theory?
- hygiene factors - absence can cause dissatisfaction
- motivators - lead to job satisfaction
Staff as an asset
Means they are developed and seen as a benefit to the business
- Will have training and experience relevant to business needs
- Allowed to participate more in decision making
- Business is more able to respond quickly to marlet changes
- Staff have more autonomy over their work
Staff as a cost
When staff viewed as a cost rather than adding value
- Cost of wages, sickness & holidays need to be budgeted for
- Staff need to be recruited, costly due to advertising, recruitment companies
& interview process - Training costs to improve productivity
- Mistakes could be costly
- Workers may be inefficient
Multi-skilling
Means having a workforce that can be moved around from one job to another
- Fewer staff needed as staff can fill many roles
- Variety gives workers more interesting jobs
- Costs reduced while increasing efficiency, quality & productivity
Part-time workers
Worker who works less than full-time hours
- No specific set amount of hours
- Allows the firm to be flexible with hours to meet the planned workload
- Many businesses use these workers to fill evening and weekend hours not covered by full-time workers
- Some workers may only be available part-time e.g. students/parent etc
Temporary workers
- Workers employed for a fixed time such as 6 months/a year
- Employed on a seasonal basis to cover busy periods of the year
- Can be used to fill posts that will be phased out due to business reorganisation
- Usually receive fewer benefits than permanent workers
- Sometimes temporary staff are paid more when post is essential
Flexible working
Involves allowing some flexibility in the hours workers need to at work, or allowing some work to be done at home
- Staff can be scheduled to fit peak times for the business
- Can increase productivity and attract more qualified workers
- Makes commuting easier
- Can complicate the daily schedule for a business
Home working
When staff work from home or other premises other than the workplace
- Lower overheads (reduces need for office space)
- Travel-related problems reduced (less time waste)
- May tempt better staff to come and work for the company
Benefits of a flexible workforce
- Business can expand/contract their workforce quickly in response to rise/fall in demand
- Temporary staff and subcontractors cheaper to employ as unlikely to get benefits that may be available to permanent staff
- Temp workers have acquired skills elsewhere at no cost to the business
- Business more efficient with lower costs and so is more competitive
Cons of flexible workforce
- Less likely to have same commitment compared to permanent workers
- Staff will take short-term view and may not carry work out to same standard as those who see long-term
- Communicating can be an issue and benefits of teamwork may be lost
Zero hours contract
Employment contract with no guaranteed hours
Not guaranteed work (therefore pay)
Dismissal
Fired from a job;
- Absenteeism/long-term illness
- Gross misconduct
- Theft of company money/property
- Loss of driving license or refusal to complete training (if relevant to job)
Not entitled to pay-out
Redundancy
Workers job no longer exists due to lack of business/restructuring
- Could be voluntary - retire to receive pay-out
- Compulsory redundancy - forced to leave
Changes in UK jobs market
- Decline in manufacturing jobs
- Rise in part-time/temp jobs
- Decline in trade unions
- Rise in self-employment
- Ageing population
- Net migration
- Growth in female participation
Individual approach
Worker meets manager for face to face discussion about terms and conditions of contract
+ No compromise as it’s just one worker
- Manager may not take action as it’s just one worker
Collective bargaining
Representative of all workers meets with manager to discuss terms & conditions (usually pay)
- Union rep
+ Greater power to get action
- May lead to strikes or industrial action
On the job training
(Pros & cons)
Coaching/mentoring while doing a job.
Assistance and advice provided by more experienced staff
+ Cost effective
productive staff
Can learn
- Quality dependent on available staff
Bad habits may be passed on
Potential disruption to production
Off the job training
(Pros & cons)
Work at home/courses at company. Learning through demonstration talks/lectures etc
+ Wider range of skills/qualifications obtained
Learn from specialists
More confidence
- More expensive
Lost working time and output
May still need induction
May leave for better jobs with new skills/qualifications
Induction training
(Pros & cons)
Introduction for new starters to enable to do their work
+ Provides all info needed to start
Reduces employee turnover
Helps understand company culture and see where they’ll fit in
- Need to be planned to show right impression of the business
Requires time set aside for employee starting
Heirarchy
Describes structure of the management of the business, from top of the company (managing director) through to the shop floor worker
Chain of command
The order in which authority and power in an organisation is weided and delegated from top management to every employee at every level of the organisation
Pros and cons of flat structure
+ Greater communication between management and workers
Less bureaucracy and easier decision making
- May limit/hinder growth of organisation
Limited to small organisations
Pros and cons of tall structures
+ Clear progression and promotion ladder
Narrow span of control so employees can be closely supervised
- High management costs because managers are generally paid more than subordinates
Decision making could be slowed as approval needed by each layer
Span of control
The number of people who report to one manager in a hierarchy. Wide or narrow.
Narrow adv - feedback more effective, allows close supervision
Wide adv - Given more independence, reduces number of managers required
Matrix structure
Relationships are set up as a grid, or matrix, rather than traditional hierarchy
Combines traditional departments
Individuals work across teams and projects as well as within their own department or function
Adv and disadv of matrix structure
+/ - Helps break down traditional barriers and improves communication
- Allows individuals to use particular skills within a variety of contexts
- Avoid needing several departments to meet regularly, reduces cost and improves coordination
- Likely greater motivation
-/ - Not a clear line of accountability for project teams given the complex nature of matrix structures
- Difficult to co-ordinate
- Takes time to get used to this structure
- May neglect their functional responsibilities
Centralised organisation definition (+ and -)
Decision making power is held firmly at top of the heirarchy amongst senior management
+/ - Ensures consistency
- Easier to co-ordinate activities
- Economies of scale
- Easier to make changes
-/ -Less flexibility
- Doesn’t take into account local differences
- Reduces manager motivation
- More bureaucratic
Decentralised definition (+ and -)
Decision making power is spread out to include managers lower down in the hierarchy and in different locations
+/ - Decisions made closer to customers
- Improved customer care
- Local managers more authority - good for motivation
-/ - Harder to keep financial control
- Levels of service differ and less consistency
- Diseconomies of scale
Financial incenticves and examples
- Pay systems designed to motivate employees (extrinsic rewards)
- Better performance = monetary reward
- Piecework
- Commission
- Bonus
- Profit share
- Performance-related pay
Non-financial incentives and examples
- Workers need intrinsic rewards to boost motivation
- Money has limited influence on motivation
- Delegation
- Consultation
- Empowerment
- Team working
- Flexible working
- Job enrichment
- Job rotation
- Job enlargement
Leadership vs Management
- Leadership - deciding on a direction for a company in relation to its objectives and inspiring staff to achieve those objectives. They elevate and give vision to their followers
- Management - getting things done by organising other people to do it. Concerned with day-to-day activities of a firm
4 leadership styles
- Autocratic
- Democratic
- Paternalistic
- Laissez-faire
Autocratic leader
- Full control of decision making
- Employees have little or no input
- Good in crisis situations
- Motivation through rewards
Democratic leader
- Encourages participation in decision making
- Strong coaching, listening and motivating skills
- Teamwork and communication is important
- Prepared to make final decisions when agreement can’t be reached
Paternalistic leader
- Decisions made in a ‘father like’ style with the best interest of workers in mind
- Workers will feel supported at part of the ‘family’
- Leader doesn’t expect decisions to be questioned
Laissez-faire leader
- Gives employees as much freedom as possible
- Managers communicate goals to employees but allow them to choose how to complete objectives, make decisions and resolve problems on their own
