Section 6 - Human Resources Flashcards
Define human resource objectives
targets that the functional area of a business that is responsible for all employee related issues want to achieve in a given period of time
State 5 human resource objectives
- diversity
- employee engagement and involvement
- talent development
- training
- number and location of staff
Define diversity as a human resource objectives
- recognising that all employees are unique and creating an inclusive environment
- more diversity = competitive advantage – more creativity
- more representative of customers
Define employee engagement and involvement as a human resource objective
- extent to which employees can have a say in decisions that impact their work
- more engaged employees = more motivated, higher labour productivity and retention
Define talent development as a human resource objective
- development of star employees who have potential to make major contribution to business’ success
- keeping highflyers = more competitive, profitable and efficient.
Define training as a human resource objective
- the process of increasing the knowledge and skills of an employee for doing a particular job.
- increases productivity, quality of work and production and increases health and safety
Define number and location of staff as a human resource objective
- having the right # of staff = maximised efficiency
Define CSR
where companies integrate social and environmental concerns in business operations and interactions with stakeholders
Define ethics
- responsibility to act morally and ethically
– competitive advantage: employees more likely to be motivated, stay with company, better reputation
Define philanthopic
giving back to society eg. Charitable donations, volunteer work
What external influences can affect human resources?
- PESTLE
- Market changes – link to differentiation
- Economic changes (eg. Recession)
- Technological change (eg. Social media, communication)
- Social change (eg. How people live (working from home)
Define hard management
- staff are resources (low skilled workers who require more management)
- minimal communication
- little employee empowerment
- taller organisational structure
- autocratic
- leads to faster decision making
Define soft management
- focused on the needs of employees
- better, two-way communication
- increased empowerment and responsibility
- flatter organisational structures
- democratic
- likely to be paid more
Define piece rate
where employees are paid per piece sold
What are the advantages of piece rate
- efficiency pays better
- easier to work from home
What are disadvantages of piece rate
- corner cutting likely
- quality can suffer
- slow work = potential to fall under MW (link to Maslow)
Define commission
being paid a % of sales on top of a regular salary/wage - may be dependent on base pay rate (link to type of job/skill level and Maslow)
What are advantages of commission
- higher skilled workers get paid better
- value of business is increased with skill rather than just output
What are disadvantages of commission
- sales may become a priority over customer needs
- may need to pressure/oversell to consumers
- less income security
Define salary schemes (bonus)
lump sum paid on top of a salary (usually around Xmas or when target tasks completed)
What are the advantages of bonuses?
- can be used as an incentive to meet goals
- makes employees feel valued
What are the disadvantages of bonuses?
- can be costly for an employer
- taxes have to be paid on bonus (becomes part of total income)
Define performance related pay
paid based on an employees ability to fulfill goals/criteria or for hard work
What are advantages of performance related pay
- direct link between performance and pay
- easy to rank staff
- good way to monitor staff