Staffing a business

On completion of this unit the student should be able to analyse and evaluate practices and processes related to

human resource management.

Business Management Unit 2 AOS 3 1

Unit 2 Business Management-Area of Study 3

Key Knowledge KK1- The relationship between the performance of staff and achieving business

objectives KK2- The effects that developments in technology may have on staffing needs KK3-Job analysis and its relationship to job design and related documentation, job

descriptions and job specifications KK4-Recruitment methods and the advantages and disadvantages of each method:

–  internal such as intranet and word-of-mouth –  external such as websites, online recruitment agencies, social media

KK5-Selection methods such as interview, psychological testing, work testing, online selection, and the advantages and disadvantages of each

KK6-Employment arrangements such as full time, part time, contractual and casual KK7-Employer expectations such as contracts of employment, business loyalty and terms

of notice KK8-Employee expectations such as conditions of employment, remuneration, job

security and work–life balance KK9-The purpose and common methods of employee induction KK10-Corporate social responsibility management issues regarding establishing the

staffing of a business.

KK1- The relationship between the performance of staff and achieving business objectives

Human resource management is the active and competent management of people who work within an organisation.

All businesses have objectives or goals that the organisation hopes to achieve and strategies are

put in place to achieve these goals. It is the human resource manager’s job to study the business objectives and ensure they have

the right people in the right place at the right time with the right skills so objectives can be achieved.

Without employees to perform the tasks of making a good or performing a service, the organisation would not be able to continue its operations.

It is therefore very important that the human resources department ensures that people with the necessary skills, competencies and abilities are employed and that employees are motivated.

POSSIBLE BUSINESS OBJECTIVE

HOW STAFF CAN HELP ACHIEVE THIS OBJECTIVE

Business Management Unit 2 AOS 3 2

Business Objectives HR Manager Incentives for Staff

Motivated Employees

Increased Productivity

and Business Competitiven

ess

Business Objectives

KEY BUSINESS TERMDEFINITION

e-business

Staffing needs

ACTIVITY 2a: Explain how a business owner might solve each of the following staffing issues that have arisen from changes in technology.

a)  Older employees have very little experience of using computers, but the employer wishes to expand the online presence of the business.

(b)  The introduction of a new computerised accounting system requires three fewer staff members to work in the accounts department of the business.

(c)  A number staff have upgraded their skills by attending TAFE courses in programming, and are able to set up new programs to improve business efficiency.

(d)  Some employees are using work computersto send personal emails and check their Facebook pages.

ACTIVITY 2b: “Technology is changing the way businesses and their staff operate for the better.

Analyse this quote and evaluate the impact technology is having on staff. (5 marks)

Business Management Unit 2 AOS 3 3

KK2- The effects that developments in technology may have on staffing needs

KK3- Job analysis and its relationship to job design and related documentation, job descriptions and job specifications

Activity 3: Are the following part of a job description or job specification?

Hours to be worked Description Specification Number of years of experience Description Specification The need for negotiation skills Description Specification Prepare weekly customer invoices Description Specification Conduct team meetings Description Specification Ability to relate to others in the workplace Description Specification

Activity 4: Create a diagram showing the relationship between job analysis, job design, job descriptions and job specification

Activity 5: From the following job advertisement, identify which aspects are the job description and which aspects are the job specifications.

Business Management Unit 2 AOS 3 4

Job Analysis: is determining the duties and tasks and responsibilities required to meet the objectives.

Job Design: details the number, kind and variety of tasks that employees perform in their jobs.

Job description: A written description of a job, including the tasks and responsibilities related to the job within the context of a business

Job specification: The personal attributes required for the job, such as skills, knowledge, abilities and experience

Include your annotations here:

Recruitment: The process of attracting qualified job applicants from which to select the most appropriate candidate.

Recruitment methods: Job seeking website advertising Word-of-mouth Intranet Referrals Head hunting Employment agencies Advertisements in the newspaper Social media

Activity 6: Evaluate each type of recruitment method by completing the table below: *Use p.211 of the textbook to help you

Business Management Unit 2 AOS 3 5

KK4-Recruitment methods and the advantages and disadvantages of each method

There are many methods that could be used for recruitment, including:

Include your annotations here:

Recruitment Method ADVANTAGES DISADVANTAGES

INTERNAL EXAMPLE:

EXTERNAL EXAMPLE:

INTERNAL EXAMPLE:

EXTERNAL EXAMPLE:

Activity 7: ‘External recruitment is always better than internal recruitment’ Discuss this statement by evaluating internal and external recruitment (5 marks)

Business Management Unit 2 AOS 3 6

KK5-Selection methods such as interview, psychological testing, work testing, online selection

Activity 8: Use pg.210 of the textbook to complete the following:

SELECTION METHOD-definition

ADVANTAGES DISADVANTAGES

Interview:

Psychological testing:

Work testing:

Online selection:

Full time employee: A full-time employee has ongoing employment and works, on average, around 38 hours each week. The actual hours of work for an employee in a particular job or

Business Management Unit 2 AOS 3 7

KK6-Employment arrangements such as full time, part time, contractual and casual.

industry are agreed between the employer and the employee and/or set by an award or registered agreement.

Part time employee: A part-time employee: works, on average, less than 38 hours per week, usually works regular hours each week, is entitled to the same benefits as a full-time employee, but on a pro rata basis, is a permanent employee or on a fixed-term contract.

Contractual employee: Or those employees on a fixed-term contract is where employment is offered for a specific period.

Casual employee: has no guaranteed hours of work, usually works irregular hours, doesn't get paid sick or annual leave can end employment without notice, unless notice is required by a registered agreement, award or employment contract.

Activity 9: Use pg.216 of the textbook to complete the following:EMPLOYMENT ARRANGEMENT

ADVANTAGES DISADVANTAGES

Full time:

Part-time:

Contractual:

Casual:

There are a number of ways an employee can have their wages and working conditions determined. These include:

INDIVIDUAL CONTRACTS: They are made between the employer and individual employee and pay and working conditions for individuals.

Business Management Unit 2 AOS 3 8

KK7-Employer expectations such as contracts of employment, business loyalty and terms of notice

ENTERPRISE BARGAINING AGREEMENTS: a negotiated agreement between an employer and a union or group of employees which determine wages and working conditions for all employees in the organisation.

AWARDS: a legally binding agreement that sets out minimum wages and conditions for a group of employees. Industry wide awards combine with the 10 National Employment Standards to provide the safety net of basic employment conditions for all employees.

Activity 10: Complete the following questions-

a. Outline three ways in which an employer might expect an employee to demonstrate loyalty to the business.

b. Why is it appropriate that an employee provide adequate notice of his or her intention to leave the business?

DESCRIPTION STRATEGIES Conditions of Employment What kinds of strategies could a

business implement to address these expectations?

To be paid a fair and reasonable remuneration package for the labour supplied.

Have a work place free from harassment Employees are able to conduct their work

without interference To be trained on an ongoing basis to

ensure continued learning and increased knowledge and skills

Avenues are provided for promotion

Business Management Unit 2 AOS 3 9

Remuneration The money an employee receives in

exchange for their labour

Job Security The belief that the employee will not lose

their job.

Work-life Balance The possibility of achieving the right

amount of time for work and for personal life.

To have an employer respect the right of employees to a life outside of work

Business Management Unit 2 AOS 3 10

KK8-Employee expectations such as conditions of employment, remuneration, job security and work-life balance

Induction: is a process of acquainting new employees with the organisation, its corporate culture and the jobs they will perform.

A well-prepared induction process can help an employee through the employment cycle, if an LSO gets it wrong it may lead to HIGH staff turnover.

Induction process shows employees where they can find the basics they need for a job. An effective induction program is carefully planned to introduce new employees to the job, their co-workers, the organisation, and how it operates.

Supervisors, co-workers and the human resources department may be involved in the induction process, also a mentor program will often help with new or graduate employees.

A well-prepared induction program will:-Reduce stress and anxiety associated with starting a new job-Build new employee’s confidence-Ensure awareness of safety policies and procedures

INDUCTION METHOD

EXPLANATION OF INDUCTION METHOD

Activity 12: Complete the following table by identifying and explaining four types of induction methods:

Business Management Unit 2 ASO 3 11

KK9-The purpose and common methods of employee induction

Businesses need to ensure that their human resources, their employees, are looked after as they often provide the business with a competitive advantage. Within this functional area, there are many opportunities available to a business to develop socially responsible practices. Just as employees can be the main competitive advantage, they can also become a liability or lead to the downfall of an inefficient business.

Activity 13: Complete the following questions, using p.235 to help you: How should the following situations be dealt with in an ethical and socially responsible manner?

(a)  Of two applicants for an office administration position, one is clearly better qualified and more experienced, but the other is in a wheelchair.

(b)  During a selection process, one member of the selection panel points out that he knows one of the applicants from a previous place of employment, and has a very high opinion of that person’s ability.

(c)A young person approaches a business offering to work for nothing for two weeks to learn the job, in the hope of gaining ongoing employment after that.

Business Management Unit 2 AOS 3 12

KK10- Corporate social responsibility management issues regarding establishing the staffing of a business.