Chapter 1 Flashcards
two branches of economics
microeconomics and macroeconomics
The former only deals with individuals, households, and specific companies.
microeconomics
The latter deals with the society as whole and its dynamic relationship with the rest of the world.
macroeconomics
Economics seeks to answer the question of
what, how, and for whom a good or service is produced.
_ of resources leads one to explore the economics of things.
Scarcity
It refers to the existence of limited resources that are not enough to address unlimited human needs or demands.
Scarcity
refers to a market occurrence whereby the demand is more than the supply available at a given time.
shortage
_is the study of how to manage money and the financial status of an individual, an enterprise, an organization, or a country.
Economics
2 types of needs
Primary needs & secondary needs
_ _ are those that are essential for one’s survival, these are resources that an individual cannot live without.
Primary needs
Meanwhile, _ __are those that are directly associated with one’s happiness, or a person’s elevated
secondary needs
The loss from setting aside the value of pursuing other alternatives with the same amount is referred to as the _ _
opportunity cost.
_allows one to evaluate the value of the goods being obtained based on the cost that must be expended for its exchange.
Rationalization
___ involves the monitoring of the culture of the organization, and is responsible for the recruitment of appropriate workforce, in the recommendation of market-based compensation and benefits that are in accordance with the company’s current and potential resources and in the crafting of an overall strategic employee development plan.
Human resources management
It is also the management function that conducts research and makes policies and recommendations, which are implemented to benefit, attract, and retain the best employees.
Human resources management
HRM covers five functional areas: organizational design;
staffing;
rewards,
benefits, and
compensation system;
training and development;
and performance management and
appraisal system.
__ is about ensuring that there is an employee-job fit for all the positions in an organization to fulfill its mission. This is done through the corollary functions of planning and job analysis.
Organizational design
__deals with the recruitment of individuals whose skills, abilities, knowledge, and experiences are deemed appropriate for the jobs in the organization that needs to be filled. Corollary functions to staffing are recruitment and selection.
Staffing
__ that includes compliance, rewards based on job evaluation, and direct and indirect employee benefits and compensation. Its compliance component includes the legal aspects of human resource management.
design of rewards, benefits, and compensation system
__ seek to ensure that employees have the necessary knowledge and skills that will allow them to satisfactorily perform their jobs and steer the company toward its advancement in its sector.
Employee and organizational training and development
__ uses performance evaluation tools developed or adopted by the organization to help identify interventions to enhance work efficiency. This lesson will help students
Performance management and appraisal
A __ outlines the human resource management plan.
job analysis
__ is the process of collecting and studying various factors that are related to the operation and responsibilities of a specific job.
Job analysis
Its immediate products of job analysis
are job description and job specification.
contains the job title, location, summary of duties, machines, tools, equipment needed to perform the job, and materials and forms that will be used to perform the job, including the supervision that is expected to be given or received, as well as working conditions and possible risks.
Job description
contains the statement of manpower qualification for a specific job. This includes the required minimum education, experience, training, judgment, initiative, physical effort, skills, responsibilities, communication level, and emotional and social characteristics.
Job specification,
__ refer to production, distribution, and consumption of goods and services.
Economic activities
would refer to the movement of both goods and services in a production, consumption, and distribution process to satisfy human needs and wants.
Economic activities
An _ _ is a means by which an individual’s needs and wants may be directly or indirectly satisfied. For example, a cup of rice is an economic resource as it provides the food requirement of an individual, just as a rice plantation
economic resource
The goods that go around these economic activities are classified as to either__ or
tangible or intangible.
are what we refer to as wants.
secondary needs
_is the degree of satisfaction derived from the consumption of a good or service. When satisfaction is gained from any of the economic activities, other principles come into play.
Utility
It is no longer rational to continue the use and spending for a product when its degree of usefulness or utility has been maximized, or saturation point has been reached.
diminishing marginal utility
When the consumption of a product is lower than the amount of energy spent on it, diminishing returns happen.
principle of diminishing marginal returns.
_ is required in human resource planning, recruitment and selection, training and development, job evaluation and performance appraisal, the creation of a compensation and rewards system, and the establishment of health and safety policies.
Job analysis
is an essential process of allocation of tasks amongst members of a specific structure, with identified relationships, responsibilities, and accountabilities within an integrated activity toward the achievement of a common goal.
organizing
is a function that allows for the activation of people at various levels of skills and tasks, and ensures that each one is able to maximize his or her contribution to organizational goals.
directing
comes after planning, organizing, and directing, and necessitates the review of the employees’ actual performance. It also includes verifying deviations and comparing results from identified plans, and offering corrective actions for improvement.
Controlling
__comes after job analysis and human resource planning. It includes recruitment, selection, placement, and orientation.
Staffing
__is the process of searching for prospective employees and providing an encouraging environment for them to pursue their job application in the organization.
Recruitment
Recruitment may be both _and __ to the organization.
internal & external
__ can be in any of the following forms: promotion, transfer, job posting, or employee referrals.
Internal recruitment
can be in the form of advertisement, through direct recruitment, via employment exchanges, using employment agencies, networking with professional associations, campus recruitment, or even word of mouth announcements.
External recruitment
is the process of determining the qualifications, knowledge, skills, attitude, experiences, and values of an applicant with the purpose of ascertaining job suitability
Selection
is the process of giving the selected candidate the most suitable job in terms of the organizational requirement and the prospective employees’ qualifications after the formalities of screening.
Placement
A _ _ _is critical in improving employee morale in reducing employee turnover, in curtailing absences, in lessening work accidents, and in avoiding industrial strife.
good orientation program
_ _ _ defines the direction and movements of the careers of people in the organization.
Performance management and appraisal
Examples of curated evaluation models would include
Management by Objectives by Drucker,
the Behavioral Anchored Rating Scale or BARS,
the trait-based appraisal, human resource audit, and the
360-degree performance appraisal.
_is a direct reward for the work done, _ emanate from a defined company incentive program.
compensation ; benefits
_are indirect payments for working beyond what a job requires.
Benefits
_ & _ are the process of creating avenues for employee improvement, reskilling and up-skilling for managerial development, career planning, and transfer or promotion.
Training and development
__is the imparting of technical and operational skills that are needed for the current job.
Training
Meanwhile, _is the process of conducting suitable programs to improve one’s human and managerial capability to handle a more expansive role in the organization.
development
Having the__ __ __ is an emphasis in the task of human resource management, a climate that celebrates and rewards the advancement of people in their education, exposure, and training because these steps ultimately contribute to a happier work force and a more efficient organization.
right organizational climate
