Glossary Unit 6

Question 1

Alignment of Values

Answer 1

Linking of organizational goals with the employees’ personal goals so the employees conduct themselves in a way that fits the corporate culture.

Question 2

Authority

Answer 2

the power or right to give orders, make decisions, control events or people and enforce obedience.

Question 3

Autonomy

Answer 3

freedom e.g. ability to decide how to carry out a task and its scheduling.

Question 4

Centralisation

Answer 4

When organisations senior managers at the firm’s headquarters take most of the decisions

Question 5

Commission

Answer 5

Monetary reward for selling an item on behalf of a company usually a percentage of the sale price. It is used as an incentive for sale personnel.

Question 6

DECENTRALISATION

Answer 6

Decisions are made by lower grade staff and away from the organisation’s head quarters. Staff are empowered to make decisions.

Question 7

Diversity

Answer 7

In an employment context diversity means recognising the benefits of employing different types of employees and different groups of employees.

Question 8

Employee engagement

Answer 8

is the connection between a business’s employees and the business’s missions, goals and objectives.

Question 9

Employee Representation

Answer 9

workers views are presented by a third party e.g. a union, employee group, or works council for the purpose of negotiating with management on such issues as wages, hours, benefits and working conditions.

Question 10

Employee retention rates (Labour retention)

Answer 10

The proportion of a workforce staying in their jobs at a business over a year.

Question 11

Labour Retention Equation

Answer 11

Labour Retention Rate (%) = Number of employees at end of period - number of leavers x 100

Question 12

Employer-Employee Relations

Answer 12

the way management and workers interact. Poor employee-employer relations may result in strikes and low productivity.

Question 13

Empowerment

Answer 13

workers are given a degree of self regulation and power to decide what to do and how to do it.

Question 14

Esteem

Answer 14

being accepted and valued by others, including managers. The second highest level of Maslow’s hierarchy of needs.

Question 15

Hard HR Management

Answer 15

treating employees inhumanely as a resource, just like machines or raw materials to be used as efficiently as possible. Workers are controlled and disposed of if not needed. This fits in with Taylor’s views i.e. scientific management.

Question 16

Hierarchy

Answer 16

treating employees inhumanely as a resource, just like machines or raw materials to be used as efficiently as possible. Workers are controlled and disposed of if not needed. This fits in with Taylor’s views i.e. scientific management.

Question 17

Human Resource Flow

Answer 17

the movement of employees through an organisation, starting with recruitment, then covering training, promotion or demotion and release.

Question 18

Human Resource Plan

Answer 18

a process that identifies current and future human resource needs for an organization to achieve its goals and sets out actions to meet these needs.

Question 19

Hygiene Factors

Answer 19

things that cause dis-satisfaction in the workplace such as company rules, low pay, working conditions etc. Sorting these factors does not lead to motivation but should prevent de-motivation.

Question 20

Induction

Answer 20

Initial training when a new worker starts a job. This includes health and safety briefings and introduction to the company culture.

Question 21

Job Design

Answer 21

deciding how tasks within a production process should be allocated.

Question 22

Labour Cost per Unit

Answer 22

the amount spent on workers per item produced. Labour costs include wages, perks and labour taxes such as employers National Insurance Contributions.

Question 23

Labour cost per unit equation

Answer 23

Labour cost per unit = Total Labour Cost /
Units of output

Question 24

Labour Productivity

Answer 24

The average output produced by each worker.

Question 25

Output per employee equation

Answer 25

Output per employee = Output per time period /
Total number of employees

Question 26

Labour Turnover

Answer 26

the proportion of a workforce leaving their employment at a business over a year.

Question 27

Labour turnover equation

Answer 27

Labour Turnover (%) =
Number of staff leaving during the year x100 /
Average number of staff

Question 28

Motivation

Answer 28

the will to work or take action. Motivation is the factors within individuals that cause them to try and achieve a goal. Intrinsic motivators come from within the individual and extrinsic motivation comes from external factors such as rewards or punishments that create a desire to do something.

Question 29

Motivators

Answer 29

factors that spur workers to achieve higher productivity. Often distinguished from hygiene factors which may prevent de-motivation according to Herzberg.

Question 30

Non-Financial Motivation Methods

Answer 30

Things that encourage high productivity that are not income related such as job enlargement, job enrichment, team working, esteem, flexitime, job security.

Question 31

Organisational Design

Answer 31

the process of aligning the structure of an organisation
with its objectives, with the ultimate aim of improving efficiency and effectiveness.

Question 32

Organisational Structure

Answer 32

the way the business is arranged to carry out its
activities. It consists of explicit and implicit institutional rules and policies designed to
outline how various work roles and responsibilities are delegated, controlled and coordinated.
This may be functional, matrix, divisional or project structures

Question 33

Physiological Needs

Answer 33

Basic survival requirements such as the need for sleep, food
and air. Working for money in order to attain these. Lowest level of Maslow’s hierarchy.

Question 34

Piece rate

Answer 34

Performance related pay in which the worker is paid for each unit of production at a fixed rate.

Question 35

Performance Related pay

Answer 35

Wages or salaries are varied according to how well set objectives are achieved.

Question 36

Recruitment

Answer 36

hiring of workers

Question 37

Redundancy

Answer 37

losing one’s job because the employer is no longer in business or no longer has a need for the skills formerly offered.

Question 38

Redeployment

Answer 38

moving a worker into a different job within the organisation.

Question 39

Self-Actualisation

Answer 39

fulfilment of the highest needs; those for meaning in work. Enjoyment of the job for its own sake. The highest level of Maslow’s hierarchy.

Question 40

Soft Hr Management

Answer 40

treating employees as valuable assets who need to be led rather than managed. Soft HR management approach focuses on communication, dialogue and motivation. It fits with the human relations school of motivation.

Question 41

Span of control

Answer 41

is the number of subordinates that report to a superior

Question 42

Talent Development

Answer 42

to attract, develop, motivate, and retain productive, engaged
employees. Often involves on-the job and off-the job training.

Question 43

Trade Union

Answer 43

an organisation representing the interest of a group of workers often with a common skill. E.g. National Union of Teachers. (NUT)

Question 44

Works Council

Answer 44

a regular forum for discussion between workers and management. It covers strategic plans, but excludes pay and productivity issues.