3.6 - HR Managment

Question 1

What is organisational structure?

Answer 1

Shows how people and management are organised in business

Question 2

What is Authority and Responsibility?

Answer 2

Indicates who is responsible for whom and who is in charge

Question 3

What are Job Roles and Titles?

Answer 3

Specific positions and designations within the organisation

Question 4

What are Formal Communication Routes?

Answer 4

Official pathways for information flow in the business

Question 5

What are Layers of Hierarchy?

Answer 5

Levels of authority and supervision within the organisation

Question 6

What is a Span of Control?

Answer 6

Number of employees a manager supervises

Question 7

What is a narrow span of control?

Answer 7

Allows for closer supervision of employees

More layers in the hierarchy may be required - promotion opportunities

Helps more effective communication in small team

Question 8

What is a wide span of control?

Answer 8

Gives subordinates the chance for more independence

More appropriate if labour costs are
significant - reduce number of managers

Communication has to go through layers

Question 9

What is a centralised structure?

Answer 9

Decision-making authority rests with senior management at the centre

Question 10

What are advantages of a centralised control?

Answer 10

Easier to implement common policies and practices for the whole business

Prevents other parts of the business from becoming too independent

Easier to coordinate and control from the centre (budgets)

Economies of scale and overhead savings easier to achieve

Quicker decision making - easier to show strong leadership

Question 11

What are the disadvantages of a centralised structure?

Answer 11

More bureaucratic - often extra layers in the hierarchy

Local or junior managers are likely to be much closer to customer needs

Lack of authority down the hierarchy may reduce manager motivation

Customer service misses flexibility and speed of local decision-making

Lack of training and developing junior management

Question 12

What is a decentralised structure?

Answer 12

Authority is delegated down the hierarchy away from the centre

Question 13

What is a skills audit?

Answer 13

Assessment of organisation employees’ skills and competencies

Question 14

What are recruitment methods?

Answer 14

Various ways to attract and hire new employees

Question 15

What is a job description?

Answer 15

Detailed explanation of roles and responsibilities for a specific position

Question 16

What is a person specification?

Answer 16

Qualifications, skills, and attributes a successful candidate should possess

Question 17

What is training?

Answer 17

Process of increasing knowledge and skills of the workforce to enable them to perform their job effectively

Question 18

What is induction training?

Answer 18

Introducing new employees to job, premises, and values of the business

Question 19

What are the benefits of training?

Answer 19

Improved productivity, quality, flexibility, and motivation in employees

Question 20

What are business issues that training can’t solve?

Answer 20

Challenges like poor management or ineffective equipment not addressed by training

Question 21

What are reasons for neglecting training?

Answer 21

Fears of employee poaching, short-term cost concerns, or intangible benefits

Question 22

What is off-the-job training?

Answer 22

Training conducted away from the workplace, like self-study or evening classes

Question 23

What is on-the-job training?

Answer 23

Training provided while employees are at work, through demonstrations or job rotation

Question 24

What are reasons to recruit staff?

Answer 24

• Business expansion due to increasing sales of existing products
• Developing new products
• Entering new markets

Existing employees leave:
- To work with competitors or other local employers
- Due to factors such as retirement, sick leave, maternity leave

• Business needs employees with new skills
• Business is relocating - and not all of existing workforce want to move to new location

Question 25

What is internal recruitment?

Answer 25

Filling job vacancies with existing employees

Question 26

What are the advantages of internal recruitment?

Answer 26

• Cheaper and quicker to recruit
• People are already familiar with business and how it operates
• Provides opportunities for promotion within a business
• Business already knows strengths and weaknesses of candidates

Question 27

What are disadvantages of internal recruitment?

Answer 27

• Limits number of potential applicants
• No new ideas can be introduced from the outside
• May cause resentment amongst candidates not appointed
• Creates another vacancy with needs to be filled

Question 28

What is external recruitment?

Answer 28

Hiring new employees from outside the organisation

Question 29

What are the advantages of external recruitment?

Answer 29

Outside people bring in new ideas
Larger pool of workers from which to find the best candidate
People have a wider range of experience

Question 30

What are the disadvantages of external recruitment?

Answer 30

• Longer process
• More expensive process due to advertisements and interviews required
• Selection process may not be effective to reveal best candidate