2. BM Unit 2 - LO41 Higher Business Management Unit 2 Learning Outcome 4 Human Resource Management

3. BM Unit 2 - LO42 The Role of People in Organisations n People are probably the most valuable “resource” that an organisation possesses. n In the same way that machinery must be maintained, staff have to be looked after in such a way that they can produce their best effort. n This involves their welfare, training, safety and motivation. n A happy workforce is likely to be an efficient workforce.

4. BM Unit 2 - LO43 Changing Patterns of Employment n Structural changes - movement away from primary and secondary industries to tertiary sector - provision of services n Decline in full-time employment n Increase in part-time and short-term contracts n Increase in home working and tele-working n Greater flexibility of the workforce n Many more women in employment n Increase in self-employment

5. BM Unit 2 - LO44 The Modern Workforce The Core Workers n Essential workers - managers, skilled workers - permanent and well-paid The Contractual Fringe n Sub-contractors - suppliers of components or services - cheaper (no pensions, holidays etc) The Flexible Labour Force n Part-time, temporary - help core workers at peak times - low rates of pay

6. BM Unit 2 - LO45 The New Employment Pattern Advantages n Core employees can focus on core activities only n Saves on salaries and space n No need to pay for pensions, holidays or redundancy n Reduced NI contributions n Allows flexibility and can respond quickly to change Disadvantages n Frequent recruitment and selection n Occasional staff shortages n Less commitment from staff n Increased need for training due to high staff turnover n Lack of continuity of staff - customers may become unhappy

7. BM Unit 2 - LO46 HRM Activities n Preparing job descriptions n Recruiting and selecting new staff n Training - induction and skills n Performance appraisal n Planning future staff requirements (coping with change) n Handling grievances n Safety at work (Health & Safety) n Complying with the law - equal opportunities, discrimination, etc

8. BM Unit 2 - LO47 HRM Roles Executive - experts in the HRM area - policies developed in line with legal requirements Audit - policies properly implemented Facilitator - training of staff to respond to HRM issues Consultancy - advice and guidance to managers on HRM problems Service - providing up-to-date information on legislation

9. BM Unit 2 - LO48 HRM - Strategic Level n Formulate personnel policies for the organisation as a whole n Devise guidelines for implementation of policies n Working towards corporate goals - defining corporate culture

10. BM Unit 2 - LO49 HRM - Tactical Level n Human Resource planning n Recruitment of specialised staff n Staff training and development n Promoting effective industrial relations

11. BM Unit 2 - LO410 HRM - Operational Level n Identifying training needs n Encourage staff to accept training n Arrange the training n Deal with day-to-day issues such as absenteeism, grievances, welfare, etc

12. BM Unit 2 - LO411 HRM Elements n Human Resource Planning n Recruitment and Selection n Training and Development n Employee Relations n Development and Monitoring of HR Policies and Procedures n Routine record-keeping of staff details - names, addresses, courses completed, etc

13. BM Unit 2 - LO412 Recruitment and Selection Terminology n Job analysis n Job description/specification n Person specification n Internal/external recruitment n Application forms/CVs n Selection n Interviews n Psychological tests n Aptitude tests

14. BM Unit 2 - LO413 Training and Development Terminology n Flexibility of staff (multi-skilling) n Coping with change n Job satisfaction n Staff motivation n Induction training n On and off-the-job training n Retraining n Skills upgrading n Appraisal n Health and Safety

15. BM Unit 2 - LO414 Employee Relations Terminology n Trade Unions n Collective bargaining n Procedures – discipline, grievances n Terms and conditions n Worker participation n ACAS n Employers’ Associations (CBI) n Employee Legislation n Health and Safety