1 BUSINESS MANAGEMENT 3.2 How do people Contribute to Business?

2 Why do people Work? To make money Be creative For job satisfaction The social element of work Job security To make progress or use their talents

3 How do you choose the right person for the job? –Qualifications –Ability –Personality –Appearance –Attitude –Talents –Experience –Team Player Qualities

4

5 Types of Worker Manual workers –unskilled labour Blue collar workers –semi-skilled labour who carry out repetitive tasks White collar workers –Non-manual workers, eg civil servants, bank clerks. Professionals –Doctors, lawyers, teachers

6 Working Hours Full-time –Normally working Monday – Friday 9.00 am to 5.00 pm. Part-time –Working for part of the week, certain hours to suit the individual and organisation Permanent –This is where the employee works for as long as the organisation is in business, provided they have not been “sacked”. Can be full-time or part-time. Temporary –Where work lasts only for a fixed or limited time, eg 2 weeks, 2 years or 3 days for one year. Casual –Workers are taken on when needed – no contract

7 Working Hours cont Flexi-time –Working to your contractual hours, eg 35 per week and being in the “office” at core times. You can choose when you work outwith the core time. –Employees have more control over their time. Can also plan “personal appointments” without time off. –Core time, everyone works as a team. Shift work –Usually seen in the secondary sector where machinery is used for production. Also seen in public services, eg Police, Nurses, Fire Brigade. Work can be day shift, back shift, night shift or might involve two weeks on, one week off. Job Share –Where 2 employees share the same resources and work space to carry out a full-time job.

8 Types of Job Training On-the-job training Being trained while you work, eg as a chef Off-the-job training Going to college or training centre

9 Types of Training oInduction – training given to someone starting a new job, eg health and safety, introductions, learning about the organisation oUpgrading Skills – Receiving further training for your job to learn how to do something new oRe-training – training for a completely new job oApprenticeship – training occurs in the workplace mainly but some external training at college or training centre eg 1 day a week.

10 Recruiting – Getting people to apply for a Job Job AnalysisJob Description Person Specification Application Forms sent out Place Job Advert

11 Job Description/ Specification – all about the job Job Description: Job Title Salary Conditions Holidays Duties/Respons Location

12 Person Specification – Essential and Desirable Qualities and Qualifications Person Specification: Skills and Qualities  Qualifications  Skills required Experience Essential/Desirable

13 Job Advert Job Advert: Name Duties Salary Type of contract

14 Application Form Application Form: Used to collect comparable information from all Applicants. Can be done on-line

15 Selection – Choosing the right person from among the Applicants Business receives application forms or CVs Forms studied and checked against Job and Person Specifications Short-list of applicants is drawn up Interviews and Proficiency tests are carried out Final candidate is chosen and offered the job Contract of Employment is issued

16 Contract of Employment A written agreement between an employer and an employee, which must be received within 13 weeks of starting work. The Contract should include: oJob title oDate job starts oHours of work oRate and method of payment oHoliday arrangements oPeriod of notice (if terminated by either party) oPension scheme arrangements oRights to Trade Union representation oDetails of the organisation’s disciplinary procedure

17 Methods of Recruitment - Internal Internal (within the organisation) Memos Staff Bulletins Notice Boards Intranet Staff announcements AdvantagesDisadvantages Cheap – no cost involved Staff will know the procedures Increase staff morale Quicker than advertising outside No new blood coming into the organisation Limited applicants

18 Methods of Recruitment - External External (outwith the organisation ICT – on company website Newspapers and magazines (eg Nursing Times) Agencies – Job Centre or Employment Agencies AdvantagesDisadvantages New blood coming into the organisation with new ideas Wide variety of applicants Agencies may carry out interviews as well saving time Time consuming Can be expensive – cost of adverts New staff will need lots of training in company procedures

19 APPRAISAL The Appraisal Interview: –This is carried out annually usually by your Supervisor or Line Manager –Should be positive –Will set achievable targets and target dates –Identifies strengths –Identifies areas where training may be required –Praises good work

20 Appraisal AdvantagesDisadvantages Helps to identify training needs If feedback is given in a negative way, this may discourage employees and may reduce output or increase staff turnover Helps to identify employees onto the “promotion ladder” May cause the Job Specification to be altered, thus increasing the workload Positive feedback is used to increase motivation May cause “friction” between the appraisor and the appraisee Encourages employees to build on their strengths Encourages self-actualisation

21 Inter-relationship between employers and employees Needs to be 2-way communication Accountability on both sides (rights and duties) Teamwork Training courses Role and responsibility of each other’s job Sometimes, however, there are disputes, leading to the need for …

22 TRADE UNIONS This is an organisation which represents employees. The main aid is to improve the working terms and conditions of its members eg Wages Annual leave Sickness benefits Dismissal

23 WHAT IS INDUSTRIAL ACTION? If relations break down, sometimes employees and unions decide to take industrial action

24 Picketing This is when Union members who are on “strike” stand outside their place of work and try to persuade other employees not to cross the picket line.

25 Go-slow This is when employees deliberately slow down their work rate, ie produce less.

26 Work-to-rule This is when employees follow exactly what they are supposed to do in their contract of employment – this can slow down production.

27 Overtime ban This is when employees only work the hours stated in their contract of employment

28 Strike Official Strike – When employees do not come into work, ie withdraw their labour as directed by their Union. Unofficial Strike – As above, but without the approval of their Union.

29 Advantages And Disadvantages Of Industrial Action Difficulties With Industrial Action Industrial action creates several difficulties for businesses: Production is lost sales are lost and business might fail The businesses reputation is damaged Employer, employees relationships become strained Benefits Of Industrial Action Industrial action can be useful in the long run: Grievances are 'out in the open' so the employer, employee relationship has an opportunity to improve New procedures can be introduce that avoids conflict in the future Management objectives can be altered to include consultation and participation by the work force

30 What is ACAS Strike action is damaging to businesses. The Advisory Conciliation and Arbitration Services (ACAS) was set up in 1979 to offer impartial advice to groups involved in industrial disputes. ACAS provides: –Advice to employers and unions on employee matters –Conciliation to bring the parties of a dispute to a fair settlement –Arbitration to resolve a dispute

31 To Promote Good Relationships … Employees feel more secure if they feel they can participate in decision- making: Team Working - Here employees are responsible for achieving targets they helped to establish and for which they get recognition. Employees are participating in the decision making process while working in a team. Quality Circles - Here employees pool their experience and expertise to examine problems and suggest solution. This will create a feeling of worth in the employee. Works Councils – employees and managers work together to discuss working conditions Employees will feel secure and part of the business if management: Treats them as people Involves them in the decision making Consults them about future plans Recognises good performance Encourages training

32 LEGISLATION Why do we need legislation?

33 Legislation at work The Factories Act The Equal Pay Act Contract of Employment Act Health and Work Act The Sex Discrimination Act The Race Relations Act Disability Discrimination Act The National Minimum Wage Act

34 The Factories Act, 1961 This act governs businesses that use machinery. However the act ONLY included businesses that came under the term “factory”.

35 The Equal Pay Act 1970 Equal Pay for both men and women who are doing exactly the same work or work that is equivalent or of an equal value.

36 Contract of Employment Act 1972 A written agreement between an employer and an employee, which must be received within 13 weeks of starting work. The Contract should include: –Job title –Date job starts –Hours of work –Rate and method of payment –Holiday arrangements –Period of notice (if terminated by either party) –Pension scheme arrangements –Rights to Trade Union representation –Details of the organisation’s disciplinary procedure

37 Health and Safety at Work Act, 1974 The Act puts responsibility on both the employer and the employee The employer has a duty to keep the workplace safe and secure The employee has a duty to keep it safe and follow safety rules

38 The Sex Discrimination Act 1975 and 1985 Ensures that both men and women are treated equally in the workplace irrespective of gender or marital status. Employers cannot discriminate on: –Selection procedure –Terms of employment –Opportunities for training and personal development –Benefits –Redundancy

39 The Race Relations Act 1976 This is similar to the Sex Discrimination Act and set out to ensure that both men and women are treated equally in the workplace irrespective of their ethnic minority.

40 Disability Discrimination Act 1995 This is similar to the Sex Discrimination Act and set out to ensure that both men and women are treated equally in the workplace irrespective of their disability.

41 The National Minimum Wage Act 1998 This act was brought out to protect employees between the ages of 18 to 21 and to ensure that they received a “fair day’s pay for a fair day’s work”, and were not being exploited. It also states what amount of money this age groups should receive per hour they work.

42 CHANGING EMPLOYMENT PATTERNS Increase in temporary staff Decline in manufacturing industry eg shipbuilding Increase in service sector (decrease in secondary sector) which may involve re-training. Increase use of Information Technology resulting in job losses.

43 Due to new developments of IT, more people working from home –Homeworking: decreases office space required and suits many workers –Teleworking: employees can communicate with the office using ICT More female workers in employment More opportunities for working: –Core workers: full-time, permanent –Casual workers: temporary staff –Job sharing: 2 workers sharing the same job, work space, resources and tasks –Flexi-time: working within a set time and choosing remaining hours to suit CHANGING EMPLOYMENT PATTERNS