2.1 – functions and evolution human resource management

Human resource management (HRM)
The strategic approach to the effective management of an organization’s workers so that they help the business achieve its objectives and gain a competitive advantage
Human resource or workforce planning
Analyzing and forecasting the numbers of workers and skills of those workers that will be required by the organization to achieve its objectives
Human resource or workforce plan
Numbers of workers and skills of those workers required over a future time period
Workforce audit
A check on the skills and qualifications of all existing employees
Labour turnover
Measures the rate at which employees are leaving an organization-measured by number of employees leaving in one year/average number of people employed multiplied by 100
Occupational mobility of labour
Extent to which workers are willing and able to move to different jobs requiring different skills
Geographical mobility of labour
Extent to which workers are willing and able to move geographical region to take up new jobs
The process of identifying the need of a new employee, defining the job to be filled and the type of person needed to fill it, attracting suitable candidates for the job and selecting the best one
Job description
A detailed list of the key points about the job to be filled, stating all the key tasks and responsibilities of it
Person specification
A detailed list of the qualities, skills and qualifications that a successful applicant will need to have
Work-related education to increase workforce skills and efficiency
On-the-job training
Instruction at the place of work on how a job should be carried out
Introduction training
Introductory training program to familiarize new recruits with the system used in the business and the layout of the business site; this form of training is usually on-the-job
off-the-job training
All training undertaken away from the business
Cognitive training
Exercises designed to improve a person’s ability to understand and learn information
Behavioral skills training
Designed to improve an individual’s ability to communicate and interact with others both inside and external to the organization
Employee appraisal
The process of assessing the effectiveness of an employee judged against preset objectives
Contract of employment
A legal document that sets out the terms and conditions governing a worker’s job
Being removed from a job due to incompetence or breach of discipline
Unfair dismissal
Ending a worker’s employment contract for a reason that the law regards as being unfair
When a job is no longer required so the employee doing it becomes redundant through no fault of his or her own
Staff working from home but keeping contact with the office by means of modern IT communications
Portfolio working
the working pattern of following several simultaneous employments at any one time
Using another business to undertake a part of the production process rather than doing it within the business using the firm’s own employees
Flexi-time contract
Employment contract that allows staff to be called in at times most convenient to employers and employees
Temporary employment
Employment contract that lasts for a fixed time period
Part-time employment
Employment contract that lasts for a fixed time period
The relocation of a business process done in one country to the same or another company in another country
Reversal of offshoring; the transfer of a business process or operation back to its country of orgin
Hard HRM
An approach to managing staff that focuses on cutting costs
Soft HRM
An approach to managing stuff that focuses on developing staff so that they reach self-fulfillment and are motivated to work hard and stay with the business

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