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Human Resource Objectives and Management

Setting Core HR Objectives

HR objectives aim to ensure sufficient skilled, motivated, and engaged staff. Key areas include:

1

Employee Engagement

Commitment to organization’s goals.
2

Talent Development

Training and career progression.
3

Diversity & Values

Inclusive workforce and alignment of values between employee and employer.
4

Staffing

Numbers, skill sets, and geographic distribution.

HR Management Approaches

✅
Soft HRM Focus on employee development and involvement.
❌
Hard HRM Focus on workforce planning and cost control.

HR Performance Metrics

Analyzing HR performance requires tracking specific metrics for workforce efficiency and cost control.

📉

Labour Turnover

Percentage of staff leaving over time.
⚙️

Labour Productivity

Output per employee.
💲

Cost as % of Turnover

Measures cost efficiency.
⚖️

Labour Cost per Unit

Direct cost per output.

Organisational Design Structures

1

Functional

Divided by job function.
2

Product-based

Divided by product lines.
3

Regional

Divided by geography.
4

Matrix

Combines multiple structures.

Impact of Design Decisions

Changing organizational design improves communication, efficiency, or adaptability. Key elements affected include:

Decisions affect:
  • Authority levels.
  • Span of control (number of direct reports).
  • Hierarchy layers.
  • Delegation extent.
  • Centralisation vs decentralisation.

Managing Human Resource Flow

This crucial process governs the movement of personnel within the organization.

HR Flow Includes: recruitment, training, redeployment, and redundancy. The primary goal is to ensure the right people are in the right roles at the right time.

Core Motivation Theories

Motivated employees are productive, reduce absenteeism, and stay longer. Core theories guide strategy:

  • Taylor: Payment by piece rate to increase output.
  • Maslow: Hierarchy of needs from basic to self-actualization.
  • Herzberg: Motivators vs hygiene factors.

Financial vs Non-Financial Methods

💰
Financial Methods Piece rate, commission, salary, performance-related pay.
🤝
Non-Financial Methods Empowerment, team working, flexible hours, job enrichment/rotation.

The choice depends on workforce and business culture.

Improving Employer-Employee Relations

🌟

Key Strategy: Employee involvement through trade unions or works councils leads to better communication and cooperation.

Good relations reduce conflict, improve morale, and enhance productivity.

Setting Human Resource Objectives
Term
Primary Aim of HR Objectives

What is the primary aim of HR objectives?

Answer
Definition

To ensure sufficient skilled, motivated, and engaged staff.

Term
Employee Engagement

What does employee engagement involve?

Answer
Definition

Commitment to the organization’s goals.

Term
Talent Development

What is talent development in HR?

Answer
Definition

Training and career progression opportunities.

Term
Workforce Diversity

Why is workforce diversity important?

Answer
Definition

It creates an inclusive workforce.

Term
Soft HRM vs Hard HRM

What is the difference between Soft HRM and Hard HRM?

Answer
Definition

Soft HRM focuses on employee development and involvement; Hard HRM emphasizes workforce planning and cost control.

Term
HR Performance Metrics

Name two key metrics used to analyze HR performance.

Answer
Examples

Labour turnover and labour productivity.

Term
Labour Turnover

What does labour turnover measure?

Answer
Definition

The percentage of staff leaving over time.

Term
Organizational Design Structures

What are the four main organizational design structures?

Answer
Examples

Functional, product-based, regional, and matrix.

Term
HR Flow Activities

What HR flow activities ensure the right people are in the right roles?

Answer
Examples

Recruitment, training, redeployment, and redundancy.

Term
Herzberg's Motivation Theory

According to Herzberg, what are motivators and hygiene factors?

Answer
Definition

Motivators increase job satisfaction; hygiene factors prevent dissatisfaction.

Term
Financial Motivation Methods

Name a financial method to improve employee motivation.

Answer
Examples

Piece rate, commission, salary, or performance-related pay.

Term
Role of Trade Unions

What roles do trade unions play in employer-employee relations?

Answer
Functions

They promote communication, cooperation, and reduce conflict.

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🌸 Setting Human Resource Objectives Quiz

1. Which of the following best describes Soft HRM?

Soft HRM prioritizes treating employees as valuable assets and focusing on their growth.

2. What is labour turnover?

Labour turnover measures staff attrition, indicating retention levels.

3. Which organizational structure combines multiple structures in HR design?

Matrix structure combines functional, product, or regional structures to improve flexibility.

4. According to Herzberg’s theory, which factor is considered a motivator?

Motivators like achievement enhance job satisfaction, whereas hygiene factors prevent dissatisfaction.

5. Which of the following is NOT a method to improve employee motivation?

Organizational structure relates to HR design, not direct motivation methods.

📊 Results

  • Notes and Quiz
  • Business
  • AS & A Level
  • Human Resources
  • AQA