Students should consider the following throughout this section of the specification:
- how developments in technology are affecting decision making and activities in relation to human resources (eg changing the nature of work, the skills that are required and ways of working such as remote working)
- ethical and environmental influences on human resources decisions
- market conditions (including the labour market) and competition
- how human resource decisions help improve the competitiveness of a business
- the interrelationship between human resource decisions and other functions.
3.6.1 Setting human resource objectives
Content | Additional information |
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The value of setting human resource objectives | Human resource objectives include: - employee engagement
- talent development
- training
- diversity
- alignment of employee and employer values
- number, skills and location of employees.
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Methods of achieving human resource objectives | Methods should include soft and hard human resource management (HRM) approaches. |
3.6.2 Analysing human resource performance
Content | Additional information |
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Calculating and interpreting human resource data | Students should be able to calculate and interpret: - labour turnover
- labour productivity
- employee costs as percentage of turnover
- labour cost per unit.
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The use of data for human resource decision making and planning | |
3.6.3 Making human resource decisions: improving organisational design and managing the human resource flow
Content | Additional information |
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Models of organisational structure | Organisational structures to include:- functional
- product-based
- regional
- matrix structure.
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Influences on organisational design | Decisions relating to organisational design include: - authority
- span
- hierarchy
- delegation
- centralisation and decentralisation.
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The value of changing organisational design | |
How managing the human resource flow helps meet human resource objectives | Human resource flow to include: - human resource plan
- recruitment
- training
- redeployment
- redundancy.
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3.6.4 Making human resource decisions: improving motivation and engagement
Content | Additional information |
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The benefits of motivated and engaged employees | Theories of motivation should include Taylor, Maslow and Herzberg. |
How to improve employee engagement and motivation | Financial methods of motivation should include:- piece rate
- commission
- salary schemes
- performance-related pay.
Non-financial methods of motivation should include:- empowerment
- team working
- flexible working
- job enrichment
- job rotation.
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Influences on the choice and assessment of the effectiveness of financial and non-financial methods of motivating employees | |
3.6.5 Making human resource decisions: improving employer-employee relations
Content | Additional information |
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Influences on the extent and methods of employee involvement in decision making | Employee representation methods to include trade unions and works councils. |
How to manage and improve employer-employee communications and relations | |
Value of good employer-employee relations | |