BUSINESS
STUDIES
NOTES
TERM ONE
STUDY NOTES TERM 1 GRADE 12
, Human resources/ human capital management:
HR: (human resources/capital) refers to all the activities and decisions that are intended to
improve the effectiveness of the human resources (employees) and of the enterprise as a
whole.
Importance and aim:
• The work performance of employees is important, thus the aim is to bridge the gap
between management goals and the needs of the workforce
• The task of the HR function is to manage human resources in order to maximize their
potential, enabling the business to achieve its goals and objectives
• The following should be the focus of the HR function:
o Interpretation of employer/employee needs
o Coordination of management and staff requirements
o Implementation of various HR activities, such as:
§ Manpower planning
§ Recruitment
§ Selection
§ Employee contracts
§ Placement of staff
§ Remuneration and employee benefits
§ Induction
§ Training of staff and skills development
§ Evaluation and retention
HR Activities:
• Manpower/ Human resources planning:
o HR dept always needs a contingency plan in case of emergencies (e.g. High
level of resignations)
o Growth for a business requires adaptable planning to remain up to date and
relevant
o Purpose of manpower planning:
§ Determine how many employees the business needs
§ What skills the employees require
§ When these employees will be needed
o In order to answer these questions, the following techniques are applied:
§ Work load analysis: done to determine the number of employees
needed in terms of overall workload
§ Job analysis: A systematic method of obtaining all relevant info about
the tasks related to a job in order to make a decision
• Involves the job description and job specification
• Involves ensuring:
1. The job is completely and accurately described
2. All tasks must be fully and accurately described
3. The demand of the job on the employee must be
determined
1
, • Job description: (about the job) summarises the job analysis to
show duties responsibilities and authority the worker has
• Job specification: (about the worker) specifies minimum
requirements and abilities the worker needs to have (e.g.
Experience, qualifications, education, physical requirements,
etc)
§ Manning table: after the previous steps, HR constructs a manning
table, which states the number of people required and skills they
must possess.
§ Determining employee requirements: the manning table shows the
number of employees needed, but the recruiting plan will be based
on the difference between needed employees and current employees
(recruitment table)
focuses on the job
Job description
states everything about
the job, e.g. authority,
wages, responsibilities
Job analysis
focuses on the employee,
states physical and
Job specification
educational requirements
etc
2
STUDIES
NOTES
TERM ONE
STUDY NOTES TERM 1 GRADE 12
, Human resources/ human capital management:
HR: (human resources/capital) refers to all the activities and decisions that are intended to
improve the effectiveness of the human resources (employees) and of the enterprise as a
whole.
Importance and aim:
• The work performance of employees is important, thus the aim is to bridge the gap
between management goals and the needs of the workforce
• The task of the HR function is to manage human resources in order to maximize their
potential, enabling the business to achieve its goals and objectives
• The following should be the focus of the HR function:
o Interpretation of employer/employee needs
o Coordination of management and staff requirements
o Implementation of various HR activities, such as:
§ Manpower planning
§ Recruitment
§ Selection
§ Employee contracts
§ Placement of staff
§ Remuneration and employee benefits
§ Induction
§ Training of staff and skills development
§ Evaluation and retention
HR Activities:
• Manpower/ Human resources planning:
o HR dept always needs a contingency plan in case of emergencies (e.g. High
level of resignations)
o Growth for a business requires adaptable planning to remain up to date and
relevant
o Purpose of manpower planning:
§ Determine how many employees the business needs
§ What skills the employees require
§ When these employees will be needed
o In order to answer these questions, the following techniques are applied:
§ Work load analysis: done to determine the number of employees
needed in terms of overall workload
§ Job analysis: A systematic method of obtaining all relevant info about
the tasks related to a job in order to make a decision
• Involves the job description and job specification
• Involves ensuring:
1. The job is completely and accurately described
2. All tasks must be fully and accurately described
3. The demand of the job on the employee must be
determined
1
, • Job description: (about the job) summarises the job analysis to
show duties responsibilities and authority the worker has
• Job specification: (about the worker) specifies minimum
requirements and abilities the worker needs to have (e.g.
Experience, qualifications, education, physical requirements,
etc)
§ Manning table: after the previous steps, HR constructs a manning
table, which states the number of people required and skills they
must possess.
§ Determining employee requirements: the manning table shows the
number of employees needed, but the recruiting plan will be based
on the difference between needed employees and current employees
(recruitment table)
focuses on the job
Job description
states everything about
the job, e.g. authority,
wages, responsibilities
Job analysis
focuses on the employee,
states physical and
Job specification
educational requirements
etc
2
