Human resource management

Workforce planning

Recruitment (internal and external), selection (interviews, tests), induction and training (on-the-job and off-the-job), appraisal, and dismissal or redundancy following the Labour Act.

Motivation theories

• Taylor (scientific management): money motivates; piece-rate pay.
• Mayo (Hawthorne studies): social needs and attention matter.
• Maslow: hierarchy of needs – physiological, safety, social, esteem, self-actualisation.
• Herzberg: hygiene factors (pay, conditions) prevent dissatisfaction; motivators (achievement, recognition, responsibility) create satisfaction.
• McGregor: Theory X (workers need control) and Theory Y (workers are self-motivated).

Financial and non-financial rewards

Salary, wages, commission, bonuses, profit sharing; job enrichment, job rotation, empowerment, teamwork.

Leadership styles

Autocratic, democratic, laissez-faire, paternalistic. The best style depends on the situation and the team.

Organisational structure

Hierarchy, span of control, chain of command, delegation, centralisation and decentralisation; tall versus flat structures.

Industrial relations

Trade unions and employer organisations; collective bargaining; National Employment Councils; conciliation and arbitration to settle disputes.

HR performance measures

Labour turnover = leavers ÷ average number employed × 100; absenteeism rate.

Check yourself

1. According to Herzberg, is pay a motivator or a hygiene factor?
2. 15 workers left in a year; the average workforce was 120. Find labour turnover.
3. Give one advantage of a flat organisational structure.