1.4 managing people Flashcards
staff as ASSESTS
- increase productivity
- driving innovation
- enhance consumer service
- help build positive relationships with customers, suppliers and stakeholders
staff as a COST
costs associated with:
- hiring and training workers
- paying the salaries of full time workers
- paying wages of hourly staff
- additional benefits
- letting workers go on redundancy payments
imapct of national minimum wage on staffing costs
- gov introduces or rises a national minimum wage
- businesses with a wage basis will face higher labour costs but businesses on a salary basis wont bc they already pay a fixed amount regardless of hours
what’s a zero hour contract
- a contract where the employer does not guarantee the worker any hours of work
- but the employee has to be on call in case needed
4 ways of developing a FLEXIBLE working force
- multiskilling
- flexible working hours and home working
- outsourcing
- part time and temporary
flexible working - OUTSCOURING
- Training worker to do multiple different jobs
PROS: increase productivity, boarder range of skills which improves customer outcome eg in healthcare
CONS: lots of training and development needed, some jobs need high expertise - too difficult to know lots of different jobs
flexible working - OUTSOURCING
- When a business processes is contracted out to another company eg apple outsources its manufacturing to Foxconn in china, so it can produce products and lower cost.
PROS: access to specialised skills, reduce labour costs
CONS: loss of control over quality and delivery, workers can be exploited
home working pros and cons for business and employees
- BUSINESS
pros - reduces costs of rent, attracts higher quality workers, more productive hours
cons: less collaboration, hard to monitor - EMPLOYEE
pros - no commuting costs, reduced stress, can have other commitments like family/ hobbies
cons: feel isolated, household wifi must be sufficient and own tech assests needed, division between work and home harder.
dismissal
- the termination of employment by an employer against to will of the employee
- due to misconduct
- poor performance
- no notice necessary
redundancy
- happens when the job is no longer available and therefore the business reduces the size of its workforce
- this is not due to any fault of the employee
the employer must follow procedures - notice and pay out
individual approach relationship
collective bargaining relationship
recruitment and selection
RECRUITMENT
- attracting and identifying potential job candidates who are suitable for a role
- job advertising
- job fairs
- social media outreach and referrals
- the goal is to create a pool of qualified candidates who are considered for the role
SELECTION
- choosing best candidate
- reviewing CVs and interviews
- finding the most suitable candidate and
process of selection
- define the role
- determine the best source of candidates
- advertise - social media
- receive applications - CV, shortlists
- selection - interviews and assessment tasks
pros and cons of internal recruitment
PROS
- familiar with business
- know the persons strengths and weaknesses - less risky
- cheaper and faster
CONS
- lead to conflict and resentment
- could negatively effect motivation and relationships
external recruitment methods
- recommendations
- online advertising
- newspaper advertising
- trade publications - magazines
- employment agencies - advertise roles on behalf
of business - headhunting - approaches to highly qualified specialists in a particular industry
- job centres - gov funded
- career fairs
3 different types of training provided by a business
- induction training
- on the job training
- off the job training
induction training
- for new employees when they start working for a company
PROS - understand their role and job
- it introduces them to the culture, policies and responsibilities of their job
- makes them more productive faster
CONS
- expensive to organise
- might not cover all aspects of their role
on the job training
- happens when employees are working on their job
PROS - learn new skills and knowledge whilst doing their new job
- the training is basically tailored to their exact job - no surprises
- more practical and relevant
- can be cost effective - happens during working hours
CONS - less productive - still learning
- lead to employee dissatisfaction
off the job training
- happens outside the workplace
- like workshops, conferences, seminars
PROS - learn new skills and bring fresh ideas and perspectives
- training can be tailored to specific role
- cost effective if online etc
CONS - £££ - travel and accommodation
- employees may miss work while attending/ learning
- might not be directly related to job
hierarchy
- levels of authority in an organisation
- ranking positions from top to bottom
- higher the level the more authority
chain of demand
- the formal line authority that flows down from the top to bottom
- it defines who reports to who and who is responsible for decision making
span of control
- the number of employees that a manager or supervisor can effectively manage
- a manager can only effectively manage a certain number of people
- NARROW SPAN OF CONTROL - more layers of managers
- WIDER SPAN OF CONTROL - fewer layers of managers
centralised and decentralised structures
CENTRALISED
- decision making and authority is concentrated at the top - senior management makes all decisions
- consistent and controlled
DECENTRALISED
- decisions making and authority is distributed throughout and lower level employees have decision making power
- more flexible and innovative
3 different types of organisational structures
- tall
- flat
- matrix
TALL organisation structure pros and cons
- multiple levels of management, centralised decision making process
- long chain of command and used for complex operations eg government agencies and universities
PROS - clear hierarchy - responsibilities
- promotes specialisation and expertise in each section
- opportunities for career advancements
- increases efficiency and motivation
CONS - communication barriers between levels
- slow decision making - info pass through dif layers etc
FLAT organisation structure pros and cons
- fewer levels of management and decentralised decision making process
- short chain of command used in start ups like small businesses
PROS - collaboration - creativity and innovation
- faster and more efficient
CONS - ambiguity and unclear hierarchy
- less opportunities for promotion
- employees may have to take on multiple roles - burnout/ inefficient
MATRIX organisation structure pros and cons
- structure built around specific products
- they combine functional areas of a businesses like marketing, finance and sales with a specialist team that operates inside the business
PROS - promotes cross functional collaboration and communication
- expertise in each area
- coordination of diff projects
CONS - conflict over priorities bc no clear hierarchy
- confusion over roles and responsibilities
- challenging to coordinate communication between projects
the 3 impacts of motivation
- productivity - efficient, higher levels of quality and out put, higher profits
- reliability of workers - more dependable and reliable, meet deadlines, fewer sick days
- turnover rates reduce - reduce the need for costly recruitment and training
turnover rates
the number of staff leaving over a given period of time in relation to the workforce as a whole
leadership vs management
vision vs execution
influence vs control
people vs processes
long term goals vs short term goals
creativity vs efficiency
4 different types of leadership
autocratic
laissez faire
democratic
paternalistic
autocratic leadership
- Leader makes all decisions with little input from employees.
- Strict control and one-way communication.
- crisis situations or with unskilled workers.
laissez-faire leadership
- leader gives minimal guidance - employees make decisions
- encourages creativity but lack of direction
- best for experienced and self motivated teams
democratic leadership
- employees are involved in decision making
- promotes motivation and creativity through 2 way communication
- decisions might take longer
paternalistic leadership
- Leader makes decisions in employees’ best interest, like a parent.
- Employees feel valued but have limited input.
- Common in family businesses.
