Micro level-Economics of Human Resources: Productivity And Efficiency

Question 1

What is system approach?

Answer 1

looking in a problem as a whole rather than focusing in individual parts, puzzle, example is supply chain how everything is interdependent, A system approach in HR involves viewing an organization as a complex system with interrelated parts, rather than a collection of individual functions. This approach recognizes that HR functions are interconnected and that changes in one area can impact other areas.

For example, let’s say that a company wants to implement a new performance management system. The system approach in HR would involve considering how this change would impact other areas of the organization, such as employee training and development, compensation and benefits, and employee relations.

Question 2

What is situational approach?

Answer 2

There is no size for fit all, you really need to look at situation, crucial, HR may focus on recruiting employees with a high level of creativity and adaptability. In a more stable industry, HR may prioritize hiring employees with strong technical skills and experience

Question 3

The Economics of Full Time vs. Contract Hiring

Answer 3

Full time involves offering employees a regular, salaried position, health care insurance, retirements plans, paid time off, can be expensive for employer to hire this kind of person

Contract hiring - temporary basis, project, typucally without offering benefits , more cost efficient for employs, drawback less stable workforce