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Business: Theme 1 & 4 > Approaches to staffing 1.4.1 > Flashcards

Approaches to staffing 1.4.1 Flashcards

1
Q

What are HR Approaches?

A

The overall way in which a business treats its staff.

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2
Q

What are the 2 opposing HRM approaches?

A

HARD HRM (Staff as a cost)
SOFT HRM (Staff as an asset)

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3
Q

What is Hard HRM?

A

Staff are treated as a resource that must be managed in order for the business to control costs and output.

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4
Q

What is Soft HRM?

A

Staff are treated as an asset to the business that can contribute and help the business achieve its objectives.

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5
Q

What is a flexible workforce

A

HR strategy that uses temporary and part time workers to respond to fluctuations in demand.

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6
Q

What are 8 ways to achieve a flexible workforce?

A
  • Multi skilling
  • Outsourcing
  • Part time
  • Temporary
  • Flexible hours
  • Home working
  • Dismissal
  • Redundancy
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7
Q

What are Part-time employees?

A

Part-time employees are contracted to work less hours than a full time employee e.g. 3 days a week.

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8
Q

What are Temporary employees?

A

A person who is contracted to work for a business for a specified period of time e.g. 6 months to cover maternity leave.

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9
Q

What is multi skilling?

A

When employees train to become experts in more than one task/function so they can adapt more quickly to changes in the company.

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10
Q

What is outsourcing?

A

Another example of flexible working, where a business will find a person/other firm to take on a particular business process, often used by large businesses and done overseas.

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11
Q

What are the benefits of using temporary and part-time employees?

A
  • Flexible workforce.
  • Better able to match supply to demand.
  • Not tied into paying workers when they are not being used to their full potential.
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12
Q

What are the Disadvantages of using temporary and part-time employees?

A
  • Recruitment and training costs may be high and not seen as value for money when employees are only with the business for a short period of time.
  • May be more transient.
  • May lack commitment.
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13
Q

Why are flexible hours are the beneficial?

A

Reduce absence rates and allows employees to manage disability and long-term health conditions, as well as supporting their mental health and stress.

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14
Q

What are the disadvantages of flexible hours?

A
  • Can lead to less productivity.
  • Can lead to procrastination.
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15
Q

What are the benefits of multi-skilling?

A
  • Motivation and development of staff.
  • Improved staff retention.
  • Encouragement of teamwork.
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16
Q

What are the disadvantages of multi-skilling?

A

Can be costly to train employees and requires time away from productivity.

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17
Q

What are the benefits of Outsourcing?

A
  • Provides flexibility in supply.
  • Can increase capacity without high capital expenditure.
  • Can buy in expertise.
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18
Q

What are the disadvantages of outsourcing?

A
  • You Lose Some Control.
  • There are Hidden Costs.
  • There are Security Risks.
  • You Reduce Quality Control.
  • You Share Financial Burdens.
19
Q

What is Dismissal?

A

Dismissal is when an employee’s contract is terminated due to a breach of the terms of that contract by the employee.

This means a worker is told to leave the job because their behaviour is unsatisfactory or they have repeatedly failed to work to the required standard. In everyday language, they are sacked.

Disciplinary matter e.g. theft or behaviour.

20
Q

What is Redundancy?

A

Redundancy is a form of dismissal when an employee’s contract of employment is terminated because the job no longer exists.

Occurs when a worker is told to leave the job because their skills are no longer of use to the organisation.

21
Q

What can cause Redundancy?

A
  • Closure
  • Restructuring
  • Relocation
  • New technology
  • Rationalisation
22
Q

What are trade unions?

A

Exists to represent employees in situations where group action is more effective than any individual can be. Typically trade unions represent specific occupations e.g. RMT, which includes many people working on the railways and London Underground, or certain types of work - Unison represents mostly public sector employees.

23
Q

What are the key objectives of Trade Unions?

A
  • Protect and improve the real incomes of their members
  • Provide or improve job security
  • Protect workers against unfair dismissal and other issues relating to employment legislation
  • Lobby for better working conditions
  • Offer a range of another work-related service including support for people claiming compensation for injuries sustained in a job.
24
Q

What are the 2 functions of a trade union?

A

REPRESENT - Represent and protect the interests of employees.
NEGOTIATE - Negotiate on behalf of employees with the employer.

  • Although the employer-trade union relationship is often viewed as being confrontational, there are some sound business reasons to pursue a good working relationship between the two:
  • Negotiating with trade unions (ideally a single union) saves time and cost rather than dealing with all employees individually.
  • Unions are a part of the communication process between the business and employees.
  • Employee morale and motivation may be improved if they know that their interests are being protected by a union.
    The trade union can be a supportive partner in helping a business to undergo significant change.
25
Q

What is collective bargaining?

A

Collective bargaining is the official process by which trade unions negotiate with employers, on behalf of their members.

26
Q

What is the individual approach?

A

Employees try to develop an individual relationship with employers and terms of employment and disagreements are settled through negotiations between the employee and employer. Meaning the employee will directly address issues with the employer. However, many believe that this is just a way for employees to pick a favourite.

27
Q

What are the advantages of collective bargaining?

A
  • Agreements are transparent and binding.
  • More cost-effective.
  • Rules and terms more respected.
  • More equitable because power between both parties is equal.
  • Favouritism and victimisation may be reduced at work.
  • Employee representatives are democratically elected.
28
Q

What are the disadvantages of collective bargaining?

A
  • Negotiations can take longer.
  • Views of individuals may not be reflected by unions.
  • Negotiation costs can be high.
  • A failure to agree can have consequences.
  • Owners may feel their freedom to manage is compromised.
29
Q

What is industrial action?

A

Industrial action arises when workers do something that is intended to force an employer to agree to something, especially by stopping work.

30
Q

What are the most common methods of industrial action?

A
  1. WORK TO RULE - Employees follow the strict conditions of their employment contract - no voluntary overtime, and no participation in supporting activities. Staff still get their basic pay.
  2. OVERTIME BAN - Employees refuse to work overtime. Can have a significant effect on production capacity during periods of peak demand, but is ineffective as a bargaining tool during quieter periods!
  3. GO-SLOW - Employees work at the slowest or least productive pace that is allowable under their employment contracts
  4. STRIKE - The action of last resort; fraught with danger for both employer and employee and strictly policed by legislation on industrial action.
31
Q

How does industrial action damage the business?

A
  • Lost sales and profits from the lost output
  • An internal distraction for management and the business (worse if competitors are not affected)
  • A damaged relationship with staff may adversely affect motivation, productivity etc.
32
Q

How does industrial action damage the employees?

A
  • Lost pay
  • Potential loss of jobs if the action results in action to cut costs
  • Possible loss of customer and public support (depending on the reasons for the action)
  • Risk that illegal activities will result in legal proceedings.
33
Q

What is work council?

A

If a business has more than 5 employees, they can elect a works council. This person represents the interest of all workers. Trustful co-operation between the employer and the works council is expected and essential.

34
Q

What does the typical agenda for a works council include?

A
  • Business objectives and performance
  • Workforce planning issues (e.g. recruitment, staffing levels)
  • Employee welfare issues (working conditions, health and safety)
  • Training and development programmes
  • Compliance with legislation e.g. discrimination
35
Q

What are 3 methods to settle an industrial dispute?

A
  1. Conciliation
  2. Arbitration
  3. Mediation
36
Q

What is conciliation in settling industrial disputes?

A

Used when an employee is making, or could make, a specific complaint against their employer to an employment tribunal.

  • Conciliator has no authority to seek evidence or call witnesses, or make decisions or awards.
  • Conciliator discusses the issues with both parties in order to help them reach a better understanding of each other’s position.
  • Conciliator encourages the parties in dispute to come to an agreement between themselves, and so avoid the stress and expense of contesting the issue at an employment tribunal.
37
Q

What is arbitration in settling industrial disputes?

A

An alternative to a court of law, held in private rather than in public. It involves an impartial outsider being asked to make a decision on a dispute.

  • An arbitrator makes a firm decision on a case based on the evidence presented by the parties
  • Arbitration is voluntary, so both sides must agree to go to arbitration; they should also agree in advance that they will abide by the arbitrator’s decision
  • Often used in disputes between employers and trade unions over collective bargaining issues (e.g. pay awards)
38
Q

What is mediation in settling industrial disputes?

A

Involves an independent, impartial person helping two or more individuals or groups reach a solution that’s acceptable to everyone.

  • The aim is to restore and maintain the employment relationship wherever possible - not put blame on one party
  • Best used early on in an industrial dispute
    Agreements are not legally binding but are usually carried out.
39
Q

What is employee representation?

A

Employee representation arises when employees are part of a formal structure for involving them in the decision-making process of a business.

40
Q

Employment law in the UK requires employers to involve employees in the following;

A
  1. Proposed redundancy schemes
  2. When employees are transferred from one employer to another (e.g. the sale of the business)
  3. On changes to pension arrangements
  4. Proposed changes to working time arrangements.
41
Q

A formal system of employee representation helps:

A
  • Make employees’ views known to management.
  • Strengthen both employers and employees understanding of workplace issues and other matters affecting the business.
  • Create an atmosphere of mutual trust between employees and management and therefore improve workplace relations.
42
Q

What are the advantages of employee representation?

A
  • Increased empowerment and motivation of the workforce
  • Employees become more committed to the objectives of the business
  • Better decision-making because employee experience and insights are taken into account.
  • Lower risk of industrial disputes
  • Effective 2-way communication
  • Reduces feelings of them and us
  • Employees become more informed
43
Q

What are the disadvantages of employee representation?

A
  • Time-consuming - potentially slows decision-making (OPPORTUNITY COST).
  • Conflicts between employer and employee interests may be a block to essential change.
  • Managers may feel their authority is being undermined.
  • Slows down decision-making.

Business: Theme 1 & 4 (40 decks)

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