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A-level Business (new) > 1.4- Managing People > Flashcards

1.4- Managing People Flashcards

1
Q

What is the definition of staff/ staffing

A

Staff is the employees in a business

Staffing is the process of hiring, training and supervising employees in an business.

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2
Q

What advantages of treating staff as an asset in a business

A

Staff are allowed to participate more in decision making

The business is more able to respond quickly to market changes

Staff have more control over their work, which is more motivating for the staff and will increase retention rates and reduce absenteeism

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3
Q

What are the factors that cause staff to be seen as a cost

A

1.Cost of recruitment
2. Cost of training
3. Cost of paying minimum wages
4. Cost of paying staff salaries and wages
5. Cost of staff welfare
6. Cost of redundancy

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4
Q

What is multi skilling

A

This means having a workforce that can be moved around from one job to another

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5
Q

What are advantages of multiskilling

A

Less staff are needed, those that are employed are used to capacity not standing around

More interesting jobs for the workers as there are a variety of tasks

This can increase efficiency, quality and productivity while reducing costs

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6
Q

Disadvantages of having a multiskilling workforce

A

Workers become a “Jack of all trades master of none”

Businesses lose the benefits of having specialist staff

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7
Q

What are advantages of full time work

A

May be more highly paid per hour than part-time

Access to more holiday entitlement

Employees are committed to the business and may be more productive

Loyalty to the business

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8
Q

Disadvantages of full time work

A

Less flexible than part-timers, no-one to cover late nights and weekends

Increase cost to a business

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9
Q

Advantages of having part time work

A

Good way to keep costs down while a business is growing

Part-time jobs attract a wide pool of applicants with experience and skills who might not want a full-time job

Flexible to respond to seasonal changes in demand

Part-time employees have the same employment rights as full-time employees

The availability of part-time work can attract skilled workers who are unable to work full-time

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10
Q

Disadvantages of having part time work

A

Employees might not give the business the commitment and loyalty that a full-time worker would

Employee may work more than one job which would make them inflexible

Employee might leave if they find a full-time job

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11
Q

Advantages of temporary work

A

Ideal for a business that needs extra workers for a special project

Useful to meet seasonal demands, and work fluctuations

Useful to meet employee shortages

Agencies may complete all the paperwork

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12
Q

Disadvantages of offering temporary work

A

Agency staff may be expensive but it may be cheaper than hiring permanent staff

• Injury rates are higher in temp workers

• All staff will need some kind of training to get them started, this costs time and money

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13
Q

What is temporary work

A

This is work where the employee only needs extra staff to cover a seasonal period

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14
Q

Advantages of permanent work

A

Staff will be very focussed on the business, they will look to the long- term to build up their professional development profile with the business.

• Higher staff morale as they know they have a secure job

• Employees have loyalty to the business which reduces absenteeism and increases produtivity

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15
Q

Disadvantages of permanent work

A

Permanent staff can develop negative attitudes to work, or get involved in office politics and so may become lazy, uncooperative or disinterested in the business

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16
Q

Advantages of flexible hours contracts

A

From a business perspective flexible working can keep valuable staff from leaving and can also cover busy periods

Can accommodate the work life balance needs of employees with busy lives and families

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17
Q

Disadvantages of flexible hours contract

A

Can sometimes confuse suppliers or customers who may want to speak to the same member of staff

The business may need extra staff to cover unmanned periods

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18
Q

Advantages of zero hour contracts

A

Great for a business where work can be unpredictable

Ideal where staff are needed at short notice

Gives the employer great flexibility, no staff standing around with nothing to do

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19
Q

Disadvantages of a zero hour contract

A

Employees might not give the business the commitment and loyalty that a full-time worker would

Employees may become unhappy with the zero hours and leave to find more permanent work

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20
Q

Advantages of working from home

A
  1. Fit a business round a family, gives a good work-life balance
  2. The owner can work hours that suit their lifestyle
  3. No commute, so reduction in costs of travelling
  4. No expensive premises to pay for, so a reduction in fixed costs
  5. Less stress from travelling and tension with colleagues
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21
Q

Disadvantages of working from home

A

No socialisation with other workers, so business owner may not have anyone to bounce ideas off

  1. Work is all around the business person so they may find it hard to switch off
  2. The business owner may find that they work more hours than a regular job as they don’t keep track of the time that they work
  3. Needs lots of self discipline to avoid distractions
  4. Too easy to be lazy and not work
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22
Q

What is outsourcing

A

This is a third party company that specialises in the role and can be hired on a contract (rather than permanent basis).

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23
Q

Examples where a business outsources

A

Production

Payroll

Purchasing

Delivery

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24
Q

Why might a worker get dismissed - fired

A

• Absenteeism
• Gross misconduct (showing up
drunk)
• Theft of company money or property

Worker is not entitled to a pay- out from the business if dismissed

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25
Q

What is being made redundant

A

Worker’s job no longer exists possibly due to lack of business or restructuring

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26
Q

What’s a trade union and what do they do

A

A trade union is an organisation with members who are usually workers or employees. It looks after their interests at work by doing things like:

negotiating agreements with employers on pay and conditions

discussing big changes like large scale redundancy

discussing members’ concerns with employers

going with members to disciplinary and grievance meetings

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27
Q

What is the definition of recruitment

A

Recruitment is the process of finding people to work for a company or become a new member of an organisation

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28
Q

What’s the 9 stages of recruitment

A

Stage 1: Identify the vacancy
• Stage 2: Write a job description
• Stage 3: Write a person specification
• Stage 4: Advertise the vacancy
• Stage 5: Candidates apply
• Stage 6: Candidates shortlisted
• Stage 7: Shortlisted candidates interviewed
• Stage 8: Other recruitment activities
• Stage 9: Successful candidate is offered the job

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29
Q

What’s examples for costs of recruitment

A

Advertising

Agency fees

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30
Q

What are the different types of training

A

Induction

On the job

Off the job

31
Q

Advantages of induction training

A

Many employees make their mind up if they are staying – the first week of employment

• Induction training will help to inspire the employees and integrate them with the company culture

• Good induction training will help reduce the numbers of employees that leave – thus increasing retention numbers

32
Q

Disadvantages of induction training

A

Induction training can cause information overload for an employee trying to find their feet in a new organisation

33
Q

Advantages of on the job training

A

Specific training needed for the job (a full time trainer may not know all jobs methods to an up to date standard)

Less expensive than off-the-job training

Learning can be put in to practise immediately

Trainees can see relevance to job more clearly when skills are taught in the workplace

34
Q

Disadvantages of on the job training

A

Taking time away from employees job to be trained

Reduces efficiency of both teaching worker and new employee

Some workers have bad habits they could pass on to the trainee

The new worker may not pick up the skills straight away/misunderstand/not ask for help

Workers which are badly trained may make expensive mistakes or be a safety hazard

35
Q

Advantages of off the job training

A

More focused environment with less distractions

Increases a workers motivation as they feel valued by the company to have money spent on their improvement

Less stressful compared with on the job (don’t have to learn skills and do tasks as going along)

Individuals teaching the courses are trained to train

• More chance to gather specialist skills

36
Q

Disadvantages of off the job training

A

More expensive than on-the-job training

Employees may fail to see link between training and workplace

Employees are taken away from production so the business loses their productivity for that day

37
Q

Definition of organisational design

A

Organisational design refers to a diagram or chart which shows the lines of authority and layers in the hierarchy of the business.

38
Q

What is a chain of command

A

The chain of command in a business is the flow of information power and authority through the organisation

39
Q

What is a span of control

A

This is the number of subordinates that they can delegate to

40
Q

What is decentralisation

A

where a business divides up the organisation of its business into areas for example: north, south, east, west or UK, Europe, and Africa. The business will have separate budgets for each area

41
Q

What is centralisation

A

where a business has its organisation of management and administration at one central head office. The business has one central shared budget

42
Q

What are the different types of organisational structures

A

Tall
Flat
Matrix

43
Q

What are advantages of a tall structure

A

Lots of opportunity for promotion

Work is shared among more people so less stress

Supervisors normally have a small span of control so they can get to know their subordinates really well

Knowing subordinates means they can delegate the right tasks and make sure their team is well trained

44
Q

Disadvantages of a tall hierarchical structure

A

Lots of layers and a long chain of command can mean that the business is very inflexible

It can also mean that communications within the organisation are slow

This is expensive as there are more managers and supervisors

45
Q

Advantages of a flat structure

A

Fewer layers of hierarchy between the bottom and the top of the organisation may mean that communication is fast

• Lots of delegation means that staff are given greater responsibility, which might mean more opportunities to use their abilities

46
Q

Disadvantages of a flat structure

A

Staff can be overstretched or overworked in a flat structure as there is less supervision, this can cause stress and demotivation

• Can create a power struggle if the manager is rarely around as subordinates jostle for roles and responsibilities

• Wide span of control means managers have too many staff to manage and may lose touch with them

47
Q

What is a matrix structure

A

In a business where there are more than one product or more then one project running at a time a matrix structure is more suitable than a standard hierarchy

48
Q

Advantages of the matrix structure

A

Matrix structure is ideal for a business that works on a project-by-project basis

• Very flexible structure means that staff from different departments can jump in and out of different job roles

• Perfect to exploit the specific skills of staff

49
Q

Disadvantages of a matrix structure

A

Possible co-ordination problems between departments

• Conflict of interest across projects

• Staff stretched across different projects, not spending time in their own departments

50
Q

What are the motivation theories

A

Taylor - scientific management .

Mayo - human relations theory
Maslow - hierachy of needs
Herzberg -two factor theory

51
Q

What is Taylor’s scientific management

A

You should be paid for what you do - piece rate

Workers must be supervised at all times

Managers need to tell them what to do

Main motivators were high wages

52
Q

What is mayo’s human relations theory

A

He changed the working conditions such as break times and duration of the ladies who worked in the relay assembly room at the factory

• Found that just by being studied - the employee’s levels of motivation increased

• Working in teams was more important than money

• Non-financial motivators were the most important

• Boring and repetitive work can be a demotivator

53
Q

What’s Maslow hierarchy of needs

A

Maslow’s theory was that we all have a pyramid of needs.

Starts with:
Physiological needs
Safety needs
Love/belonging needs
Esteem needs
Self actualisation needs

54
Q

What’s Herzberg - two factor theory

A

His theory was that employees have motivating factors; interesting work, recognition and personal achievement, responsibility and scope to develop

there were hygiene factors which if not met would dissatisfy the employees, but if they were met did not motivate them any more than they were already. These were; good working conditions, pay, relationships with other employees

55
Q

What are financial motivation methods

A
  1. piecework
  2. commission
  3. bonus
  4. profit share
  5. performance-related pay
56
Q

What are advantages of piece work

A

Experienced and efficient workers can earn more

Incentive to complete the work

Employees may work more hours to get the job done

Home workers can start and finish when they want which means the work fits round a family

57
Q

Disadvantages of piece work

A

As workers speed up they may cut corners

Quality may suffer

Slower workers may fall under the national minimum wage

58
Q

Advantages of commission

A

Skilled salespeople can make very good money

Employer is not paying for down time when the employee is not selling

Motivates employees to sell more

59
Q

Disadvantages of commission

A

Salespeople on commission only could earn no money at all

Not a steady income

Risky in a recession

Employees are selling rather than meeting needs of customers

Temptation to pressure sell or oversell

60
Q

Advantages of pay bonuses

A

A bonus payment to an employee can be used as an incentive, especially in a field where employees must make sales or meet specific goals.

• A bonus payment can also be used as a means of appreciation for an employee’s hard work throughout the year or in a specified amount of time in the year.

61
Q

Disadvantages of pay bonuses

A

A cash bonus can be costly for any company, so a business may offer gift cards instead

• When an employee receives a bonus, it becomes part of his total income at the end of the year, the employee will also be paying taxes on the bonus they receive

62
Q

Advantages of profit sharing

A

Brings employees together to work towards a common goal. Their sole aim will be the success of the company

• Motivation levels will be high and it encourages teamwork

• The employee focus will be on profitability

• Increases commitment to the organisation
among the employees

• Employee can identify with the company. He or she will feel part of it

• Bridges the gap between the employee and employer

63
Q

Disadvantages of profit sharing

A

The salaries of the individual employees go up equally, not on the basis of merit or promotion, this does not necessarily motivate individuals

• The focus of the employee may be on the profit share rather than on quality customer service

64
Q

What are advantages to performance related pay

A

Advantage is there is a direct link between the performance of an employee and how much they are paid

• Easy for the business to rank their staff when look at who to promote

65
Q

Disadvantages to performance related pay

A

Critics say it causes jealousy and unrest

Those that don’t meet the targets blame the line manager and can become demotivated. Bonuses are often too low to act as an incentive to work towards targets

66
Q

What are non financial motivation methods

A
  1. delegation
  2. consultation
  3. empowerment
  4. team working
  5. flexible working
  6. job enrichment
  7. job rotation
  8. job enlargement
67
Q

Advantages of delegation

A

Gives managers self confidence, empowers managers to make decisions and allocate tasks to the most appropriate member of staff

• Makes sure the team’s potential is maximised

• Builds trust between the manager and the employees

68
Q

Disadvantages of delegation

A

Managers sometimes allocate tasks when overloaded with work and not when they want to motivate an employee

• Managers may not always choose the most suitable employee to delegate to

69
Q

Advantages of consultation

A

Effective consultation can help avoid any minor issues in the business becoming larger e.g. lack of air conditioning

• Consultation can help avoid a union action

• Consultation can help the employees feel motivated as their views are asked for on certain matters

• Quality circles are a useful way to motivate workers in a production environment

70
Q

Disadvantages of consultation

A

Employees may not know what it needs o run a successful business, keeping costs low

• Employees may come up with grudges against the company or amongst themselves

71
Q

Advantages of empowerment

A

• Staff that are recognised for their ability, trusted and given control over decisions, therefore are less frustrated with the business and have increased productivity levels

• Empowered employees are close to issues and problems, may be more effective at problems solving at that level

• Great involvement means greater loyalty to the business

72
Q

Disadvantages of empowerment

A

Sometimes regarded as a cost cutting, a way of delayering, making management redundancies, makes managers insecure and has an associated cost of training

• Some see this as giving employees more to do for the same pay, so that mangers can be made redundant

• Lack of experience in the job can increase risk of mistakes being made

73
Q

Advantages of flexible working

A

Greater cost effectiveness and efficiency, such as savings on overheads when employees work from home or less downtime for machinery when 24- hour shifts are worked

• The chance to have extended operating hours

• More job satisfaction and better staff motivation

• Reduced levels of sickness absence

74
Q

Disadvantages of flexible working

A

It can be difficult to to fit shifts and schedules to suit everyone

• Some staff may take advantage of the flexible system and not work as hard or when they should e.g. working from home the temptation may be to do something else

A-level Business (new) (19 decks)

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