People in Business Flashcards
Motivation
The factors that influence the behavior of workers towards achieving business goals
What are some factors that motivation people?
Increased pay Chance of promotion Option to work from home Option to work flexible hours Increased variety of tasks
What are the benefits of having a motivated workforce
More competitive Improved productivity Low absence rate Better quality goods and services Low rate of labour turnover
Labour productivity
A measure of the efficiency of workers by calculating output per worker
Labour turnover
The rate at which workers leave a business
What is Maslow’s hierarchy
Maslow believed that humans have five levels of need
What are the five levels of human needs
Physical needs Safety needs Social needs Esteem needs Self-actualisation
Financial rewards
Cash and non cash rewards are paid to workers which are often used to motivate workers to increase their efforts
Non-financial rewards
Methods used to motivate workers that do not involve giving financial rewards
Hourly wage rate
Payment based on how many hours are worked
Salary
Fixed annual payments not based on output
Piece-rate
Payments to workers based on the number of units produced
Commission
Payment to sales staff based on the value of the items they sell
Bonus
Additional rewards paid to workers for achieving targets set by managers
Job rotation
Increasing variety in the workplace by allowing workers to switch from one task to another
Job enlargement
Increasing or widening tasks to increase variety for workers
Job enrichment
Organizing work so that the workers are encouraged to use their full abilities
Quality circles
Groups of workers who meet regularly to discuss work related issues. They suggest improvements which are presented to the managers and good ideas are introduced into the workplace.
Hierarchy
the number of levels in an organizational structure
Chain of command
The route through which authority is passed down through an organization
Delegation
Passing authority down through the organizational hierarchy to a subordinate
Span of control
The number of subordinates reporting to each supervisor or manager
Delayering
Removing levels from the hierarchy e.g middle management
What is an advantage of delayering
It reduces the chain of command so communication and decision making should be quicker and more effective
What is a disadvantage of delayering
Increases the workload for managers
Centralized organization
One where all the important decision making power is held at corporate
Decentralized organization
One where the decision making powers are passed down the organization to lower levels
Adv of centralized organization
Decision making is often quicker
Dis of centralized organization
Unable to respond quickly to changes in local markets
Adv of decentralized organization
Decisions are made on local needs
Dis of decentralized organizations
Decisions taken might not be in the interests of the whole business
Autocratic leadership
A leadership style where the leader makes all the decisions
Democratic leadership
A leadership style where workers take part in decision making
Laissez-faire leadership
A leadership style where most of the decisions are left to the workers
Trade union
An organization of workers aimed at improving pay and working conditions and providing other services such as legal advice for members
Benefits of trade unions
Strength in numbers
Legal advice
Internal recruitment
Filling a vacancy with someone already employed in the business
External recruitment
Filling a vacant post with someone not already employed in the business
Induction training
Help new recruits become familiar with their workplace, the people they work with and the procedures they need to follow
On the job training
Training at the place of work. Watching or following an experienced worker
Off the job training
Training that takes place away from the workplace, for example at college, uni or specialist training places
Resignation
The worker no longer wants to be employed with the business
Retirement
The worker is too old to stay employed with the business
Redundancy
The worker is no longer needed by the business
Dismissal
The worker has broken a rule or has not been working to the expected standards so is no longer welcome as an employee at the business
Legal controls over employment issues
Contracts Discrimination Health and safety Minimum wage Unfair dismissal
Types of communication
Oral
Written
Electronic
Visual
