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Summary Chapter 4 - Managing people: AS level edexcel business studies revision summaries

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These notes/summaries were made by me personally during the course of Y12, referring to the following book: 9781292239170. These are spectacular notes, which I complete using the indicated book together with other platforms in order to finish the entire syllabus in detail. Finally using these documents, I managed to get an A (maximum grade) in business as a final grade in my AS.

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Borja Jimenez AS Business Revision Summaries



MANAGING PEOPLE (4)
Contents
MANAGING PEOPLE (4).........................................................................................................................1
APPROACHES TO STAFFING (14)........................................................................................................1
FLEXIBLE WORKFORCE...................................................................................................................1
EMPLOYER/EMPLOYEE RELATIONSHIPS........................................................................................3
RECRUITMENT, SELECTION AND TRAINING (15)................................................................................4
JOB DESCRIPTION...........................................................................................................................4
PERSON SPECIFICATION.................................................................................................................4
INTERNAL AND EXTERNAL RECRUITMENT.....................................................................................5
TRAINING.......................................................................................................................................7
ORGANISATIONAL DESIGN (16).........................................................................................................8
MOTIVATION IN THEORY AND PRACTICE (17).................................................................................10
LEADERSHIP (18)..............................................................................................................................13
APPROACHES TO STAFFING (14)
As businesses grow there is usually a need to employ people to share the workload. Different
businesses have different approaches to their staff
 Staff as an asset: employers who view their staff as assets will value their employees and
have concerns for their welfare; they invest time and money into their workforce. Staff will
be valued as employers will recognize their efforts and so help the business perform more
effectively. Such employers will therefore try to meet and fulfill the need and want of
employees. This approach is likely to help recruit, retain and motivate high-quality staff. The
business might be able to develop constructive reputation.
 Staff as a cost: for this approach, employers will try to minimize costs where possible. This
approach might lower employment costs, but it may also be a ‘false economy’. This is
because productivity might be lower due to poor motivation. Staff turnover and rates of
absence may also be higher. Treating staff as costs may leave workers feeling exploited,
neglected, stressed and unhappy in their work. Here financial objectives, budgets, and total
costs will all be taken into consideration.

FLEXIBLE WORKFORCE
Most businesses prefer to employ a flexible workforce. This helps a business to adapt to change
more easily.
 Multiskilling: this is a term used to describe the process of enhancing the skills of employees.
Giving individuals the skills and responsibilities to deal with a greater variety of issues will
allow a business to respond more quickly and effectively to problems.




1

, Borja Jimenez AS Business Revision Summaries


 Part-time and temporary staff: Form of employment that carries fewer hours per week than
a full-time job (<30 hours a week). Some people prefer his method as it suits their particular
lifestyle. It might also mean that a business can stay open for longer hours by shifting staff.
Furthermore, by employing part-time, businesses are able to combine a variety of skills.
Temporary workers are those employed for a limited period only




 Zero-hour contracts (casual employment): these do not get any guarantee of work from their
employers. Their hours of work are often variable and uncertain. This provides a great deal
of flexibility for businesses. However, this is illegal in some countries as they are considered
exploitative. In addition, such workers may lack commitment.




  Flexible hours and home working: This is when employees choose when and how
long they work for during a time period. However, they must comply with a minimum
amount.
Home workers are individuals who undertake their regular work from home. This will help
employees suit their particular lifestyle and reduce work hours. Business will also be able to
lower costs, absence rates and disruption. However, communication problems may arise, as
well as it becomes more difficult to monitor the quality and quantity of the work
undertaken. Employer-employee relations may also suffer

 Outsourcing: this involves getting other people or businesses to conduct tasks that were
originally carried out by employees.




DIFFERENCE BETWEEN DISMISSAL AND REDUNDANCY
- Dismissal: employers may dismiss employees because of legal reasons such as incapable of
doing a job or misconduct. A period of notice is required, but the length will vary depending

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