Making Human Resource Decisions

Question 1

Advantage of Hierarchical Structures

Answer 1

-Each manager only has a narrow span of control.

-This can make a firm more effective as managers can monitor the employees they are responsible for more closely.

Question 2

Disadvantage of Hierarchical Structures

Answer 2

-The long chain of command and multiple layers can make communication between the top and bottom of the structure more difficult and slow.

-This is because more people need to pass the message on resulting in instructions and change taking longer to carry out.

Question 3

Advantage of Flat Structures

Answer 3

-There is a short chain of command.

-This means messages can be passed on more quickly.

Question 4

Disadvantage of Flat Structures

Answer 4

-Each manager has a wide span of control.

-This means that each manager has a lot of employees to handle at once.

-However, it can be difficult to manage a ot of employees effectively.

Question 5

Advantage of Centralised Structures

Answer 5

-Senior managers tend to have plenty of experience and can get an overview of the whole business.

-Therefore, policies will be uniform throughout the business.

Question 6

Disadvantage of Centralised Structures

Answer 6

-All decisions being made by a couple of people can slow down decision making.

-In turn communication will take a long time to reach many employees.

-This means the organisation will react slowly to change.

Question 7

Advantage of Decentralised Structures

Answer 7

-Employees can use their expert knowledge of their sector to make decisions. This is because they don’t always need to communicate with managers above them for approval. Therefore, changes can be made more quickly.

-Senior managers at the top are not responsible for making as many decisions. this means there is less need for a central office where decisions are made. In turn, the business can decrease their fixed costs and overheads.

Question 8

Disadvantage of Decentralised Structures

Answer 8

-Inconsistencies may develop between departments.

-This is because decision making is not uniform throughout the business but is separate for each sector.

-Therefore, it may become more difficult for a business to carry out a uniform change throughout the whole business.

Question 9

Barriers to Communication.

Answer 9

-Jargon is technical language making it difficult for information to be understood by many people.

-Many layers in a hierarchy will mean it takes longer for a message to be communicated.

Question 10

Impact of Insufficient Communication

Answer 10

-Can lead to inefficiency. This is because people may be slow to receive important messages about what they should be doing. This means time and money is wasted on them doing things incorrectly.

-Information may not be passed on between teams or departments meaning tasks may be done more than once or are not done in the ways best for the business.

-It can also demotivate staff. This is because they may feel frustrated if a lack of communication is preventing them from doing their job properly. This may mean they don’t feel valued as they are not being told about things going on in the firm.

Question 11

Impact of Excessive Communication

Answer 11

-Can lead to inefficiency. This is because it takes time to pass on and receive messages. Therefore, if people are frequently involved in communication about things that don’t directly affect them, it can waste valuable time.

-Tt may also mean the same message is being passed on. This may cause conflicting information from different sources which can lead to confusion over which info is correct.

-This can lead to time being wasted while finding the right info or mistakes being made from following the wrong info. Both of these reduce efficiency and productivity which can reduce output.

-Can cause demotivation. This is because some may be overwhelmed by the amount of information they are receiving and become annoyed if it is affecting their ability to perform their task.

Question 12

Advantage of Full Time Work

Answer 12

-Workers employed on permanent contracts are more
likely to be feel secure in their job. Therefore, motivation may be higher, which may increase the productivity of the business. This will reduce the cost per unit.

-Workers employed on permanent contracts are less likely to leave the business. Therefore, the business may save money on recruiting and training new workers. This may allow money to be spent in other areas of the business to improve competitiveness

Question 13

Disadvantage of Full Time Work

Answer 13

-It may be more expensive than part time work.

-This is especially the case if the business is only really busy during certain periods

Question 14

Advantage of Part Time Work

Answer 14

-This can be more motivating for staff as it makes it easier to fit other commitments around their working life.

-Zero hour contracts are a cheap form of labour. this is because the business does not waste money paying staff when they are not needed.

-Temporary and freelance contracts make it easier for a business to employ people wit particular skills and for a particular period they are needed.

-This can make it easier to adjust the number of staff according to the business and save them money.

Question 15

Advantage of Internal Recruitment

Answer 15

-Cheaper as there will be lower advertising costs

-The post can be filled quickly so can be more productive quicker.

-The candidate will already know the business well and bosses may know the candidate well

Question 16

Disadvantage of Internal Recruitment

Answer 16

-No new ideas will enter the business.

-The employee’s move will cause another vacancy to fill

Question 17

Advantage of External Recruitment

Answer 17

-The job advert will be seen by ore people so it will be easier to find the person best suited to the job.

-New ideas and enthusiasm will be brought as the candidate isn’t already tired from previously working in the business. therefore may work harder.

Question 18

Informal Training

Answer 18

-The training is often done on the job. This means the employee learns to do their job better by being shown how to do it and practising.

-There is no strict plan to the training and is usually given by other workers.

-It is cost effective for the employer works and learns at the same time.

-However, bad practices may be [assed on.

Question 19

Formal Training

Answer 19

-Often involves a set plan with learning objectives and a schedule.

-It can involve learning in a training department or away from the workplace.

-It is more expensive but often higher quality as it is taught by other people who are better qualified to train others.

Question 20

Advantage of Training and Development

Answer 20

-Can make staff more productive. this is because staff become better at their jobs so can work faster. This could lower the business’ unit costs.

-Training can help staff stay up to date and development informs them and the manager of their output which may help them improve or work towards a reward.

-Staff are likely to feel more motivated. This is because it shows the firm is interested in how well staff are doing their jobs and are willing to help them to improve.

-It also makes staff feel like they are progressing in the firm. This might increase staff retention.