Theme 1.4 Flashcards
What does it mean by treating staff as a cost?
Seeing an employee as a recourse of the business
What does it mean by treating staff as an asset?
Employees are treated as individuals and their needs are planned accordingly
What is a pro and con of treating staff as a cost?
+More cost-effective workforce where decision-making is quicker and focused on senior managers
-could lead to higher absenteeism and labour turnover
What is a pro and con of treating staff as an asset?
+Motivates staff more effectively
-Cost of workforce may leave a business at a competitive disadvantage
What are two benefits of a flexible workforce?
+Savings of overheads as the business do not need to provide an office or accommodation
+Flexible working results in high job satisfaction and high motivation
What is one drawback of a flexible workforce?
-Potentially lower productivity
What is multi-skilling?
Where employees are able to carry out multiple tasks rather than just specialise in one
What is outsourcing?
Delegating one or more business processes to an external provider
What are three evaluation point of outsourcing?++-
+Supplier may be a specialist with greater experience and equipment
+Motivated to keep costs low to make a profit
-Extra costs of communication
What is employee representation?
When employees are involved in the decision-making process of the business
What are three evaluation points of employee representation?++-
+increased empowerment and employee motivation
+Better decision-making as employee experience and insights are taken into account
-Conflicts between employer and employee ideas may be a block to essential change
What are the two main functions of a trade union?
- Represent and protect interest of employees
- Negotiate on behalf of the employees to the employers
What are two advantages of a good relationship between employers and trade union?
- Saves time and cost rather than dealing with employees individually
- Employee morale may be improved if they know that their interests are being protected by a union
What is mediation?
Involves an independent person helping two or more individuals or groups reach a solution that is acceptable by everybody
What is conciliation?
Used when an employee is making a specific complaint against their employer
What is Arbitration?
An alternative to a court of law involving an impartial outsider being asked to make a decision on a dispute
What are two advantages and one disadvantage of internal recruitment?
+Cheaper and quicker
+Employer already understands the business
-No new ideas coming from outside the business
What are two advantages and one disadvantage of external recruitment?
+Outside people bringing in new ideas
-Longer process
-More expensive as business has to pay for advertisement
What is on the job training?
An employee receives training whilst remaining in the workplace
What are three evaluation points of on the job training?
+More cost effective
+Training along side actual employees
-Bad habits might be passed on
What is off the job training?
Employee training that takes place away from the work place
What are three evaluation points of off the job training?
+Can learn from outside specialists
-New employee may need induction training
-Employee may have new skills and want to leave the job
What is the span of control?
How many employees a manager is in charge of
What are two advantages of a narrow span of control?
+Allows closer supervision on employees
+Helps more effective communication
What are two advantage of a wide span of control?
+Gives employees more chance for independence
+More appropriate if labour costs are significant - reduce number of managers
What is a chain of command?
Describes the lines of authority within a business
What are three evaluation points of a tall hierarchy structure?
+Allows tighter control
+More opportunities for promotion
-Takes longer for communication to reach through layers
What are three evaluation points of a flat hierarchy structure?
+Lower costs as less staff
+Vertical communication is improved
-Less direct control
What is a matrix structure?
Individuals work across teams and projects as well as within their own departments or function
What are three evaluation points of a matrix structure?
+Likely to lead to greater motivation within the team
+Helps breakdown traditional department barriers, improving communication
-Takes time to get used to working in a matrix structure
What is delayering?
Removing layers of management from the hierarchy of the organisation
What are three evaluation points of delayering?
+Lower labour costs
+Shorter communication paths
-Could be demotivating
What is delegation?
The assignment to others of the authority for particular functions, tasks and decisions
What are three evaluation points of delegation?
+Reduces managers stress and workload
+Employees are empowered and motivated
-Harder in smaller firms
What is employee empowerment?
Giving employees power to do their job
What is centralised decision-making?
Keeping decision-making firmly at the top of the hierarchy
What are three evaluation points of Centralisation?
+Economies of scale and overhead savings are easier to achieve
+Quicker decision-making (Usually) - easier to show strong leadership
What is decentralised decision-making?
Including junior managers in the decision making of the business
What are three evaluation points of Decentralisation?
+More likely to meet customer needs
+Should improve staff motivation
-May be diseconomies of scale - duplicate jobs
What was Taylors theory of motivation?
The belief that managers should maintain close control and supervision on employees. And employees should be motivated by being paid for how much they produce
What was Maslow’s theory of motivation?
That there are 5 levels of human needs which each employee needs to fulfil at work. Therefore a business needs to offer different incentives to workers in order to help them fulfill each need in turn and progress up the hierarchy
What was Herzberg’s theory of motivation?
The two factor theory. Hygiene factors and motivators. And by using job enrichment and empowerment, employees are more likely to be motivated
What are some examples of a motivator in the aspect Herzberg’s theory
Responsibility at work and achievement and recognition
What are some examples of a Hygiene factor in the aspect of Herzberg’s theory?
Pay and other financial rewards, working conditions and appropriate working conditions and supervision
How does Mayo’s theory motivate employees?
Better communication between employees, working in groups and more involvement from mangers in employees working lives
What does Mayo’s theory believe?
That worker are not just motivated by money but by having their human/ social needs met
What are the top and bottom factors of Maslow’s hierarchy of needs?
Self actualisation (top)
Physical needs (bottom)
who’s theory can be used to show that money motivates employees?
Taylor
What are 6 non-financial techniques of motivation?
Delegation
Empowerment
Consultation
Team-working
Job enrichment
Job rotation
What are 5 financial ways to motivate employees?
performance-related pay
Commission
Piecework
Bonus
Profit-sharing
What is an autocratic leadership style?
An autocratic leaders issue instructions and expect these to be done. They know exactly what they want done and pay little attention to what the workers have to say
What is a paternalistic leadership style?
Paternalistic leaders care about the best interests of staff and listen to their views however the leader makes the decisions
What is a democratic leadership style?
Managers will expect their staff to be involved in decision making. They will delegate authority to subordinates, believing that this is the best way to get the job done
What is a laissez-faire leadership style
Where manager will leave employees to carry out tasks and decision making themselves