HR Flashcards
What is HR
the coordination of all issues relating to the people a business employs
What does the HR department deal with
the recruitment of new staff
the induction, training and development of staff
staff performance systems
disciplinary procedures
ending employment
complying with relevant government legislation
Examples of HR objectives
employee engagement
talent development
training
diversity
alignment of employer employee values
number, skills and location of employees
Internal influences on HR objectives
Corporate objectives
Operational strategies
Marketing strategies
Financial strategies
External influences on HR objectives
Market changes
Economic changes
Technological changes
Social changes
Political and legal changes
What is human research management
the design, implementation and maintenance of strategies to manage people for optimum business performance
Aspects of HRM
workforce planning
recruitment and selection
training
talent development
Employee engagement and involvement
managing diversity
developing corporate culture
What is hard HRM
treats employees simply as a resource of the business
strong link with corporate business planning : what resources do we need, how do we get them, how much will they cost
What is soft HRM
treats employees as the most important in the business
a competitive advantage
employees are treated as individuals and their needs are planned accordingly
Benefits of hard HRM
cost effective workforce
quicker decision making
a focus on senior management
Drawbacks of hard HRM
high staff turnover
less successful recruitment
Benefits of soft HRM
motivated staff
Drawbacks of soft HRM
cost of workforce may be a competitive disadvantage
What is an appraisal
an assessment of an employee’s performance and is part of the performance management process
involves a formal meeting between the employee and the line manager
Different measures of workforce performance
Labour productivity
Labour turnover
Retention
Absenteeism
Labour cost per unit
Employee costs as a percentage of turnover
How do you calculate labour productivity
Total output (per period) / average number of employees
Why does labour productivity matter
labour costs are usually a significant part of total costs
business efficiency and profitability are closely linked to use of labour
to remain competitive a business needs to keep their unit costs down
Factors influencing labour productivity
extent and quality of fixed assets
skills, ability and motivation of workers
method of production organisation
extent to which the workforce is trained and supported
external factors
Ways to improve labour productivity
measure performance and set targets
streamline the production process
invest in capital equipment
invest in employee training
improve the working conditions
Potential problems when trying to increase productivity
trade off with quality
employee resistance depending on the new methods used
employees may demand higher pay for their improved productivity
How to calculate labour turnover
number of staff leaving (per period) / number of employees x 100
How to calculate labour retention
number of staff not left (per period) / average number of employees x 100
What is employee retention
the ability of a business to convince its employees to remain with the business
Problems with high staff turnover
higher costs (more training and recruitment)
increased pressure on remaining staff
disruption to productivity and production
harder to maintain the required quality and customer service standards