1.4 - Managing people

1.4 - Managing people

1. Appropoaches to staffing

   • Businesses either view staff as assets or costs
     • Asset - value their employees and have concern for their welfare. They make an effort to retain them.
     • Cost - Minimise it whenever possible - zero hour contracts, minimum wage
   • Flexible workforce - Helps a business to adapt more easily
     • Multi-skilling - enhancing skills of employees - means the business can respond to problems more quickly and effectively
     • Part-time/temporary staff - gives businesses flexibility - during peak hours
     • Flexible hours - workforce is more flexible/home workers - saves the business money
     • Outsourcing - allows a business to focus on its core capabilities/ generally its cheaper and more efficient as they're experts
   • Dismissal - Employee is incapable of doing a job - employment tribunal has the power to reinstate the job
   • Redundancy - No work for the employee to do - you get payed - most likely during a recession
   • Size of a business
     • Small business 1-49 people
     • Medium business 50-249 people
     • Large - 250 +

2. Recruitment, selection and training

   • Stages in the recruitment process
     • Identify staff needed
       • Job description
         • Advertise
           • Evaluate applicants
             • Interviews
               • Make appointment
                 • Postive feedback unsuccessful
                   • The recruitment process ends when a job offer has been made and accepted
   • Why a business needs new staff
     • Expanding
     • People leaving
     • People have promotions
     • Temporary cover
   • Internal recruitment - from within the business
     • Cheaper
     • Familiar with the business
     • Motivate staff
   • External recruitment
     • Someone new - brings in fresh ideas/experince
     • More choice
   • Training
     • On-the-job
       • Advantages
         • Output is made
         • Relevant
         • Cheaper
         • Easy to organise
       • Disadvantages
         • Mistakes on output
         • Stressful for the worker
         • Trainers may get frustrated
         • Dangerous
     • Off-the-job
       • Disadvantages
         • No output
         • Expensive
       • Advantages
         • Output not affected by mistakes
         • Customers not at risk
     • Induction training

3. Organisational design

   • The way in which positions within the business are arranged
   • Roles within hierarchy
     • Directors - run the business in the interest of its owners
     • Managers - Responsible for controlling or organising within the business
     • Team leaders - resolve issues between team members
     • Supervisor - Monitor and regulate the work
     • Professionals - Positions of staff with high levels of qualifications
   • Span of control - number of people a person directly controls
   • Authority is delegated
     • Centralisation - Higher up, managers
     • Decentralisation - workers have power
   • Organisational structure
     • Tall structures - narrow span of controls
     • Flat structure - Fewer levels of hierarchy
     • Matrix structures - work across teams

4. Motivation in theory and practice

   • Taylor's theiory
     • Scientific management
     • Focused on efficiency and productivity
       • Work study - identify most efficient methods of production
       • Identify - spot most efficient workers
       • Train the remaining workers
       • Paid for productivity - Piece rate
     • Money - what drives motivation
   • Mayo's theory
     • Not just motivated by money, but by having social/human needs met
       • Motivated by better communication with managers and workers
         • Management involved in employees working lives
   • Maslow's theory
     • Classification of needs
       • How they are related to each other
     • 5 needs
       • Physiological needs
       • Safety
       • Esteem
       • Self-actualisation
         • Love
   • Herzberg theory
     • Two-factor theory
       • Motivators
       • Hygiene factors
   • Financial incentives
     • Piece work
     • Performance related pay
     • Bonus
     • Commission
     • Profit share
   • Non-financial incentives
     • Job Enlargement
     • Empowerment
     • Consultation
     • Job enrichment
     • Delegation
     • Job rotation
     • Flexible working
     • Team working

5. Leadership

   • Autocratic leadership
     • Leader makes all of the decisions
   • Paternalistic
     • Leader makes decisions but takes employees point of view into consideration
   • Democratic
     • Leaders encourage participation in decision making
   • Laissez-faire
     • Leaders allow employees to make their own decisions
   • Leadership traits
     • Ability to motivate others
     • Change direction
     • Responsible
     • Self-motivated
     • Vision