Business studies
Grade 12
PaPer 1: summaries
Table of content
Business operations
1. Human Resources Page 2-8
2. Quality of performance Page 9-13
Business environments
3. Impact of recent legislation on businesses Page 14-24
4. Business Strategies Page 25-30
5. Business sectors and their environments Page 31-32
1
, Business oPerations
HUMAN RESOURCES
1. RECRUITMENT
1.1 Meaning of recruitment
• Recruitment is the process used by businesses to identify vacancies in the
business and attract suitable candidates for it.
• Businesses may choose to use an internal or external method of recruitment
depending on the requirements of the vacancy.
1.2 Recruitment procedure
• HRM should indicate the job specification, description and key performance
areas to attract suitable candidates.
• Choose the method of recruitment, e.g. internal or external, to reach the
suitable applicants.
• Vacancies can be internally advertised via internal email/word of mouth/
posters/staffnotices.
• If internal recruitment is unsuccessful, external recruitment should be
considered.
1.3 Job analysis
The term “job analysis” refers to the components of job description and job specification
as it relates to employees within an organisation.
Components of Job analysis: Job description and Job analysis
1.4 Difference between job description and job analysis
JOB DESCRIPTION JOB SPECIFICATION
• Describes duties and • Describes the minimum acceptable
responsibilities of a specific job. qualifications needed for the job.
• Written description of the job and • Written description of specific
its requirements qualifications/ skills/ experience
needed for the job.
2
, 1.4 TYPES/METHODS OF RECRUITMENT
INTERNAL RECRUITMENT AND EXTERNAL RECRUITMENT
Internal recruitment External recruitment
Meaning Meaning
Refers to the use of internal sources to Refers to the use of external sources to
advertise vacancies inside the business. advertise vacancies outside the business.
Sources of Internal recruitment Sources of external recruitment
• Internal e-mails/Intranet/web sites • Recruitment agencies
to staff • Bill boards
• Word of mouth/ Staff meetings • Printed media, e.g. newspapers
• Office notice board • Business websites
• Internal bulletins
Impact of internal recruitment Impact of external recruitment
Advantages Advantages
• Cheaper/Quicker to fill the post. • New candidates bring new ideas and
• The employee already has an skills into the business.
• There is a larger pool of candidates to
understanding of how the business
choose from.
operates
Disadvantages Disadvantages
• Information on CV's/referees may not
• It may close the door to new ideas
from outsiders. be reliable.
• Many unsuitable applications can
• Employees who are not promoted
slow down the selection process.
may feel demotivated
2 SELECTION
2.1 Selection procedure
• Evaluate CVs and create a shortlist
• Check information in the CVs and contact references.
• Conduct interviews with shortlisted candidates.
• Offer employment in writing to the selected candidate(s).
2.2 Screening as part of the selection procedure
• Check application documents against the requirements of the job.
• Candidates who meet the minimum requirements are separated from others.
• Do background/reference checks of applicants who qualify for the job.
• Prepare a shortlist of suitable candidates after screening.
3
, 2.3 Purpose of an interview
• To determine a candidate's suitability for the job.
• Obtains information about the strengths and weaknesses of each candidate.
• Evaluate the skills and personal characteristics of the applicant
• Matches information provided by the applicant to the job requirements.
2.4 Role of the interviewer when PREPARING/BEFORE the interview
• Book and prepare the venue for the interview.
• Inform all shortlisted candidates about the date and place of the interview.
• The interviewer should develop a core set of questions based on the skills
required.
• Allocate the same amount of time to interview each candidate on the program.
2.5 Role of the interviewer and interviewee DURING the interview
Role of the INTERVIEWER during Role of the INTERVIEWEE during the
the Interview
Interview
• Allocate the same amount of time to • Greet the interviewer by name with a
each interviewee solid handshake and a friendly smile.
• Make the interviewee feel at ease. • Listen carefully to the questions
• Do not mislead the interviewee. before responding.
• Provide an opportunity for the • Make eye contact and have good
interviewee to ask questions. posture/body language.
• Ask clarity seeking questions.
3 EMPLOYMENT CONTRACT
3.1 Meaning of an employment contract
• Employment contract is an agreement between the employer and the
employee andis legally binding.
3.2 Aspects that should be included in an employment contract
• Job title/Position
• Job description e.g. duties
• Job specification e.g. formal qualifications
• Remuneration, e.g. weekly or monthly pay.
• Period of contract
• Probation period.
• Signatures of both the employer and employee.
4
Grade 12
PaPer 1: summaries
Table of content
Business operations
1. Human Resources Page 2-8
2. Quality of performance Page 9-13
Business environments
3. Impact of recent legislation on businesses Page 14-24
4. Business Strategies Page 25-30
5. Business sectors and their environments Page 31-32
1
, Business oPerations
HUMAN RESOURCES
1. RECRUITMENT
1.1 Meaning of recruitment
• Recruitment is the process used by businesses to identify vacancies in the
business and attract suitable candidates for it.
• Businesses may choose to use an internal or external method of recruitment
depending on the requirements of the vacancy.
1.2 Recruitment procedure
• HRM should indicate the job specification, description and key performance
areas to attract suitable candidates.
• Choose the method of recruitment, e.g. internal or external, to reach the
suitable applicants.
• Vacancies can be internally advertised via internal email/word of mouth/
posters/staffnotices.
• If internal recruitment is unsuccessful, external recruitment should be
considered.
1.3 Job analysis
The term “job analysis” refers to the components of job description and job specification
as it relates to employees within an organisation.
Components of Job analysis: Job description and Job analysis
1.4 Difference between job description and job analysis
JOB DESCRIPTION JOB SPECIFICATION
• Describes duties and • Describes the minimum acceptable
responsibilities of a specific job. qualifications needed for the job.
• Written description of the job and • Written description of specific
its requirements qualifications/ skills/ experience
needed for the job.
2
, 1.4 TYPES/METHODS OF RECRUITMENT
INTERNAL RECRUITMENT AND EXTERNAL RECRUITMENT
Internal recruitment External recruitment
Meaning Meaning
Refers to the use of internal sources to Refers to the use of external sources to
advertise vacancies inside the business. advertise vacancies outside the business.
Sources of Internal recruitment Sources of external recruitment
• Internal e-mails/Intranet/web sites • Recruitment agencies
to staff • Bill boards
• Word of mouth/ Staff meetings • Printed media, e.g. newspapers
• Office notice board • Business websites
• Internal bulletins
Impact of internal recruitment Impact of external recruitment
Advantages Advantages
• Cheaper/Quicker to fill the post. • New candidates bring new ideas and
• The employee already has an skills into the business.
• There is a larger pool of candidates to
understanding of how the business
choose from.
operates
Disadvantages Disadvantages
• Information on CV's/referees may not
• It may close the door to new ideas
from outsiders. be reliable.
• Many unsuitable applications can
• Employees who are not promoted
slow down the selection process.
may feel demotivated
2 SELECTION
2.1 Selection procedure
• Evaluate CVs and create a shortlist
• Check information in the CVs and contact references.
• Conduct interviews with shortlisted candidates.
• Offer employment in writing to the selected candidate(s).
2.2 Screening as part of the selection procedure
• Check application documents against the requirements of the job.
• Candidates who meet the minimum requirements are separated from others.
• Do background/reference checks of applicants who qualify for the job.
• Prepare a shortlist of suitable candidates after screening.
3
, 2.3 Purpose of an interview
• To determine a candidate's suitability for the job.
• Obtains information about the strengths and weaknesses of each candidate.
• Evaluate the skills and personal characteristics of the applicant
• Matches information provided by the applicant to the job requirements.
2.4 Role of the interviewer when PREPARING/BEFORE the interview
• Book and prepare the venue for the interview.
• Inform all shortlisted candidates about the date and place of the interview.
• The interviewer should develop a core set of questions based on the skills
required.
• Allocate the same amount of time to interview each candidate on the program.
2.5 Role of the interviewer and interviewee DURING the interview
Role of the INTERVIEWER during Role of the INTERVIEWEE during the
the Interview
Interview
• Allocate the same amount of time to • Greet the interviewer by name with a
each interviewee solid handshake and a friendly smile.
• Make the interviewee feel at ease. • Listen carefully to the questions
• Do not mislead the interviewee. before responding.
• Provide an opportunity for the • Make eye contact and have good
interviewee to ask questions. posture/body language.
• Ask clarity seeking questions.
3 EMPLOYMENT CONTRACT
3.1 Meaning of an employment contract
• Employment contract is an agreement between the employer and the
employee andis legally binding.
3.2 Aspects that should be included in an employment contract
• Job title/Position
• Job description e.g. duties
• Job specification e.g. formal qualifications
• Remuneration, e.g. weekly or monthly pay.
• Period of contract
• Probation period.
• Signatures of both the employer and employee.
4
