Topic 2 of 6 · Form 3
People in business
Why people work; motivation theories – Taylor (money), Maslow (hierarchy of needs), Herzberg (hygiene factors and motivators). Financial rewards (wages, salaries, bonuses, commission, profit sharing) and non-financial methods (job rotation, job enrichment, teamwork, training, opportunities for promotion).
Notes for this topic 1 file, in order
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Motivating employees
Why people work; motivation theories – Taylor (money), Maslow (hierarchy of needs), Herzberg (hygiene factors and motivators). Financial rewards (wages, salaries, bonuses, commission, profit sharing) and non-financial methods (job rotation, job enrichment, teamwork, training, opportunities for promotion).
Organisation and management
Organisational charts, hierarchy, span of control, chain of command, delegation; roles of management (planning, organising, coordinating, commanding, controlling); leadership styles (autocratic, democratic, laissez-faire); trade unions.
Recruitment, selection and training
Job analysis, job description and person specification; internal and external recruitment; selection by interviews and tests; induction, on-the-job and off-the-job training; workforce planning, dismissal and redundancy; legal controls over employment.
Internal and external communication
Methods (verbal, written, electronic), barriers to communication and how to reduce them.
Worked example: A firm has 12 workers leaving in a year from an average workforce of 150. Find labour turnover.
12 ÷ 150 × 100 = 8%
Check yourself
- According to Maslow, which need is at the top of the hierarchy?
- What is a span of control?
- Give one advantage of internal recruitment.
Show answers
- Self-actualisation.
- The number of subordinates directly controlled by one manager.
- Any one: cheaper and quicker, the person knows the business, motivates staff.
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