1.4 Managing People Flashcards
what does it mean if staff is an asset?
this means that employers will value their staff and have concern for their welfare, they will often provide things like maternity/paternity leave and training
what does it mean if staff is a cost?
when employers don’t value employees, and they minimise investment in employees, this can be things like paying minimum wage, minimal investment in training etc
what is a flexible workforce?
when a workforce is able to respond to changes in the market
how can a business improve the flexibility of their workforce?
- multiskilling
- part time and temporary staff
- flexible hours and home working
what is multiskilling?
the process of enhancing skills of employees by training them in multiple areas in order for them to respond quickly to changes
why is part time and temporary staff good for flexibility?
it would allow for more staff to be employed during peak times, like weekends and summer
what are 2 advantages of having a flexible workforce?
- allows a business to expand and respond to changes in demand, as they would be able to easily delayer if needed
- temporary staff can be cheaper to employ than permanent staff, as they wouldn’t need to provide as many fringe benefits
state 2 disadvantages of having a flexible workforce
- temporary workers will have less loyalty, and won’t be as productive as they are more financially motivated
- outsourced work can often be of poor quality, which can damage the company’s reputation
what is outsourcing (staff)
when you get another business to carry out tasks, it is usually specialists in that field that are employed
what is the difference between dismissal and redundancy?
redundancy is done when there is insufficient work to be done within the business, and when the employee is lawfully dismissed, whereas dismissal is when an employee is dismissed under the circumstances of misconduct
what is an individual approach ?
this is when the employee and employer settle disagreements over wages, working conditions etc directly and negotiate until both sides are happy
what is collective bargaining?
when disagreements over wages, conditions of work etc are settled through a trade unions
what is a job descrpition
a document that clearly outline the tasks, duties and responsibilities expected of a worker for a particular job
what is a person specification?
provides the details, of the qualifications, experience, skills and other characteristics needed to do a particular job
what is internal recruitment?
recruitment that happens from within the business, for example, a current employee would fill the vacant role
give 3 advantages of internal recruitment
- already know the employees’ strengths and weaknesses, they also have experienced knowledge of the business
- internal recruitment can motivate staff as they know they can grow within the business
- cheap as no advertisement is needed online
give 2 disadvantages of internal recruitment
- you have to fill the previous role of the person who took the job
- can create employee tension as there would be competition for that role
what is external recruitment?
when someone is employed from outside the business, this can be through an online ad for the job
give 2 advantages of external recruitment
- the employer would gain someone with new fresh ideas into the business
- it can attract a large number of applicants, meaning the employer would have more choice
give 2 disadvantages of external recruitment
- it is expensive to advertise the job online through platforms like indeed
- the employee will not be experienced in the business
what are some recruitment costs?
- advertisement costs
- interview process: involves highly paid senior staff to conduct the interviews
- updating job descriptions
what is training?
the process of increasing the knowledge and skills of workers so they can better perform their jobs
what is induction training?
training for people starting a job, this would help employees become more familiar with the business and settle in better
what is induction training?
training for people starting a job, this would help employees become more familiar with the business and settle in better
what is on the job training?
when training is given by the employer in the workplace, this can be through learning from other workers, job rotation or mentoring
give 3 adv and 3 disadv of on the job training
(+) cheap and easy to organise
(+) employee is learning first hand how to actually do the job
(+) output is being produced
(-) output may be faulty if employee makes mistakes
(-) could be a danger to others, e.g for a surgeon
(-) may be stressful for the worker
what is off the job training?
training taking place outside the work place by an external training provider, e.g at a university for a course
2 adv and 2 disadv of off the job training
(+) output is not affected if mistakes are made
(+) training could take place outside of work hours if necessary
(-) can be expensive as it is provided by specialists
(-) some aspects of the job cannot be taught off the job/ may not be effectively taught
what is an organisational structure?
the way in which positions are arranged within the business, it defines the workforce roles of employees and their job titles etc
what is a hierarchy?
it organises the different powers and responsibilities employees have
what are directors?
appointed to run the business in the interests of the owners
what are managers?
responsible for controlling or organising within the business, they often have departments, like marketing/HR
what are team leaders?
their role is to resolve issues and co-ordinate team efforts so that the team performs effectively
what are supervisors?
monitor and regulate work in their delegated area, e.g payroll supervisor
what is a chain of command?
the levels of management within the business, and how power is organised within a business
what is span of control?
the number of subordinates a person is directly responsible for/controls e.g having 10 subordinates gives you a span of control of 10
what is centralisation
when power lies within those higher up, and subordinates have no power
decentralisation
subordinates having the power to make decisions
3 advantages, 2 disavantages of centralisation
- senior management are more experienced to make decisions e.g budgets
- communication can improve if there are fewer decision makers
- in times of crisis, strong leadership may be needed by a central group of senior managers
HOWEVER
- subordinates can feel demotivated and less valued
- large burden for senior managers
3 advantages 2 disadvantages of decentralisation
- empowers and motivates workers: more job satisfaction
- reduces stress and burdens of senior management
- subordinates may know more about ‘local’ conditions affecting area of work
HOWEVER
- subordinates may not have the right expertise to make informed decisions
- subordinates may feel too much pressure
what is a tall structure?
when there is a long chain of command, but a narrow span of control
what is a flat structure?
less layers of hierarchy. short chain of command but a wide span of control
what is a matrix structure?
getting people from different areas (HR, marketing, accounting and production) and creating a project
what is 1 adv and 2 disadv of tall structure
(+) managers have tighter control over their subordinates, meaning employees can be more closely supervised
(-) management costs are higher as there are more managers
(-) communication through the structure is poor, information can be distorted and it can slow down decision making
2 adv and 2 disadv of flat structure
(+) communication is good as the chain of command is shorter - quicker communication
(+) employees are more motivated as they feel less controlled and have more say in decision making
(-) managers may lose control of the workforce as their span of control is too wide
(-) managers would struggle with co-ordination due to the wide span of control
1 adv and disadv of matrix structure
(+) due to wide range of skills, employees can use talents effectively (e.g. a manager can use the expertise of different employees for projects)
(-) could be problems with co-ordination as there are many different departments
why is motivation important for a business?
good motivation = more productivity and output
how does training benefit employees?
they would be able to do their job more effectively, they will also feel more like an asset as their employer is investing money in them
how does training benefit owners?
productivity would increase, meaning costs would decrease (cost per unit decreases), leading to them gaining a competitive edge
better quality output
how does training benefit customers?
better quality products and improvements in customer service, like better responses to complaints
what is Friedrick Taylors theory of scientific management?
he used quick methods of carrying out work, so he would make each person do a quick sequence and they would repeatedly do it (e.g. Ford)
2 advantages of Taylors theory
(+) it would lead to more output in quicker time, leading to a decrease in cost per unit
(+) you can easily train workers to fill in vacancies as it is not complex movements
2 disadvantages of Taylors theory
(-) he views workers as machines with the only desire to make money
(-) workers get demotivated carrying out the same task every day- less productivity - less output
what is Mayos theory of human relations?
Hawthorne study: workers productivity was affected by work conditions
he focused on the importance of personal satisfactions being met and to include their wellbeing in the business goals
2 advantages of Mayos theory
(+) more motivated employees=more output
(+) employees feel more valued
2 disadvantages of Mayos theory
(-) it can be seen that workers are ‘manipulated’ by managers into being productive
(-) can be more expensive to set up new conditions
what is Maslow’s hierarchy of needs?
- self actualisation: being promoted and given more responsibility
- esteem needs: being given recognition
- love and belonging: colleagues that support you
- safety needs: job security, safe working conditions
- psychological needs: wages good enough for food, bills
an advantage of Maslows hierarchy of needs
(+) good criteria to improve worker motivation
2 disadvantages of Maslows hierarchy of needs
(-) subjective as it is hard to tell when each level is ‘satisfied’
(-) not all levels exist in all individuals as some workers are more money motivated
Herzbergs two factor theory
motivators: job satisfaction, like recognition for their effort
hygiene/maintenance factors: simple expectations that don’t lead to motivation, like a hygienic environment or good canteen facilities
2 advantages of Herzbergs two factor theory
(+) direct focus on employee motivation rather than monetary benefits
(+) companies can solve problems faced by employees
2 disadvantages of Herzbergs two factor theory
(-) external factors are not considered, like higher salaries
(-) job satisfaction and work efficiency are not directly related - not a direct guide on how to make employees more productive
what is a financial incentive?
financial rewards given to employees to motivate them
what is piecework? 1 adv 1 disadv
payments given for each unit produced e.g 50p
- this would motivate workers to produce more output
- however, it could rush production which can affect the quality of products
what is commission?
a percentage payment on a sale made to the salesperson
what is a bonus?
paid in addition to wage or salary, only paid if targets are met, helps motivate employees
what is profit sharing? 1 adv 1 disadv
when profits are distributed to employees as well as shareholders
(+) shows staff they are appreciated
(-) unlikely to motivate employees if the amount received is small
what is performance related pay?
gives non manual (white collar) workers extra pay for achieving targets
what is delegation?
when a manager hands a complex task to a subordinate
what is consultation?
when employers come to workers when changes are imposed, this makes them feel more valued. e.g consulting staff about a change in the number of working days
what is empowerment?
giving official authority to employees to make decisions and control their own work activities
what is job enrichment?
giving employees greater responsibility, ‘vertically’ extending their role like planning a task/quality control
what is job rotation? (non financial incentive)
involves an employee changing jobs or tasks time to time, like tescos workers shifting from tills to stock
what is job enlargement? (non financial incentive)
giving an employee more work to do of a similar nature, ‘horizontally’ extending their work role
what is the difference between a manager and a leader?
managers plan to achieve their objectives, organise resources, command those lower in the hierarchy and co-ordinate day to day tasks, whereas leaders are good at motivating those around them, leaders create strategies, whereas managers implement them
what are 5 characteristics of leaders?
- positive self image
- confident
- vision
- ability to motivate others
- creative/innovative
autocratic leadership
the manager sets objectives and allocates tasks and insists on obedience, so the group becomes dependent on them
paternalistic leadership
similar to autocratic leaders. they make all the decisions and expect subordinates to obey, but they care more about welfare than an autocratic leader
democratic leadership
encourages participation in decision making, they can be persuasive (already made a decision and tries to persuade others its a good idea) or consultive (consults others about these views before making a decision)
laisez-faire leadership
more of a ‘hands off’ approach to leadership. provides workers with tools and resources to complete the task and lets them get on with it
adv and disadv laissez faire leadership
(+) no dependence on leader and group members feel trusted
(-) workers can lack experience and the ability to set their own deadlines
adv and disadv democratic leadership
(+) employees feel valued as they feel more included in decision making
(-) decision making becomes time consuming
adv and disadv paternalistic leadership
(+) leaders get what they want while caring for welfare
(-) workers feel dependent on leader
adv and disadv autocratic leadership
(+) workers obey and get work done
(-) not a good relationship between leader and workers as they feel too supervised leading to a loss of motivation
