HR Flashcards
Features of soft HR
Employees are treated as the most valuable resource of the business -> source of competitive advantage
E.g how can we get the best out of our employees
Managers consult with employees
Emphasis on training and developing employees
Employees are promoted from within a business
What is the function of HR
The part of an organisation that’s responsible for managing human resources
There are specific functions for the HR. What are they
Training
Compliance
Maintenance
Attention and retention
Customer service
Leadership
Features of Hard HR
- Employees paid as little as possible
- Employees have limited control over working lives
- Employees are treated as a resource of the business
E.g: What resources do I need from them
E.g: How can I get money from them
Leadership style: Autocratic -> All orders followed with little or no rejection
Leadership style of hard HR
Autocratic -> All orders are followed with little or no objection
Employees are seen as a resource to the business
Leadership style of soft HR
Demogratic -> Orders can be seen with some rejection
Employees are the most important resources to the business
What is labour productivity
Labour productivity is comparing the number of workers with the output they make in the business
Labour productivity formula calculation
Output/Number of employees
Fill in the gaps
As labour productivity increases, the labour cost per unit [1.]
The higher the productivity of a business, the [2.] the workforce
- Falls
- Better
Labour cost per unit definition
The average cost of labour required to produce a single unit of a product or service
Labour cost per unit formula
Labour cost/Output
Labour turnover definition
The rate of change of a firm
Looks at how many people are left over a period of time
Labour turnover formula
(Number of staff leaving per unit/Aversge number of staff) x100
Added value definition
Increasing the worth of resources by modifying them
Added value formula
Sales Revenue - Cost of bought in materials
Unit costs formula
Total Costs / Total Output
The Capacity of the business measures the [1.] it can produce given its [2.]
- Maximum
- Existing resources
Capacity utilisation
Measures the extent to which the company’s maximum possible output is reached
Capacity utilisation formula
(Actual Output/Maximum Possible output) x 100
