Notesale: Turn your study into money

Document Preview

Extracts from the notes are below, to see the PDF you'll receive please use the links above

---

BUSINESS STUDIES
REVISION BOOKLET
INDUS INTERNATIONAL SCHOOL
2014-15

2
...
1 Motivating Workers
2
...
3 Recruitment, selection and training of workers
2
...
What is Motivation
Motivation is the reason behind a specific behavior particularly human behavior
...
Motivation
for behaving in a certain way could also be due to morality
Importance of motivation in a business environment
A positive motivation philosophy and practice should improve productivity, quality, and
service
...
Motivation Theories
F
...
Taylor 'Scientific Management'
People work for personal gain
...

Break down workers job into simple processes and calculate how much output they should
produce in one day
...

Maslow’s Hierarchy of needs
Human beings has five types of needs
Physiological needs or basic needs which relates to food, shelter, warmth and sleep
Security needs or Safety needs i
...
to protect against danger and poverty
Social needs is having friendship, a sense of belonging
Esteem needs involves having status and recognition, achievement and independence
Self-actualisation involves succeeding to your full potential
Herzberg’s motivation-hygiene theory
Frederick Herzberg, contributed to human relations and motivation two theories of
motivation as follows:
Hygiene Theory
19 | P a g e

BUSINESS STUDIES
REVISION BOOKLET
INDUS INTERNATIONAL SCHOOL
2014-15
Motivation
Herzbergs' first component in his approach to motivation theory involves what are known as
the hygiene factors and includes the work and organizational environment
...

The second component in Herzbergs' motivation theory involves what people actually do on
the job and should be engineered into the jobs employees do in order to develop intrinsic
motivation with the workforce
...

Both these approaches (hygiene and motivation) must be done simultaneously
...
Use people so they get
achievement, recognition for achievement, interest, and responsibility and they can grow and
advance in their work
...
Financial motivators
Pay
Pay can be given in two ways
Wages
Often paid every week, sometimes in cash or sometimes into a bank account
...
It can
be calculated in two ways:
Piece Rate: this is where the workers are paid depending on the quantity of products made
...
This system of wages is followed where the
output can be counted
...
The longer you work the more you get paid
...

Salaries
Salaries are paid monthly
...

Additional methods of financial motivation:
Commission: It is often paid to sales staff
...
It motivates the sales staff to sell more
...

Bonus: Extra amount is paid to workers once a year or at intervals during the year as an
appreciation of their hard work
...

An Appraisal is carried out for the employee and they get paid according to their appraisal
...
This motivates them to worker even
harder because they are also the owners of the company
...
Non-financial Motivators
Fringe benfits
Fringe benefits are accurately named, as they are meant to be additional compensation for
work performed or for services rendered
...

Examples of fringe benefits include:
Free Children education
21 | P a g e

BUSINESS STUDIES
REVISION BOOKLET
INDUS INTERNATIONAL SCHOOL
2014-15
Discount on firms products
Health care facilities
Company vehicle
Free accommodation
Expense for clothing and food
Leave travel allowance
Pension facilities
Ways of improving job satisfaction
Job rotation
Where workers switch from one job to another
...
Usually these jobs are of the same type and do not involve any extra
responsibility or skills
...

Additional reading click here
Job enlargement
It involves increasing the scope of a job or broadening the task assigned to the worker
...

Job enrichment
Where employees are given greater depth to their range of tasks rather than simply a wider
variety of tasks of a similar level
...

They help set targets and accept responsibility for the organisation and the quality of their
own work
...
The group is free to decide the way the job is done and how to organise the job
...
This creates a
sense of purpose and commitment to the job at hand thus leading to greater job satisfaction
...
What is Delegation?
Delegation is the assignment of authority and responsibility to another person (normally from
a manager to a subordinate) to carry out specific activities
...
Delegation
empowers a subordinate to make decisions
...

Authority and responsibility of each subordinate must be clearly defined
...

Workers should be given adequate training for carrying out the task delegated
...


Benefits for the manager
can concentrate on more important job and improve their productivity
...
These activities might
include project planning, monitoring team members, and handling personnel problems as
they arise
...

Manager can also gauge the efficiency of the subordinates
...

Through delegation subordinates can be trained to handle responsibilities and future growth
...
Proper delegation encourages team members to
understand and influence the work the department does
...

Delegation improves a healthy relationship among the manager and the subordinate and thus
fewer conflicts
...
Functions of a manager
Functions of the manager
There are basically four management concepts that allow any organization to handle the
tactical, planned and set decisions
...

These Functions can be summarized below:
Planning
Planning is the first tool of the four functions in the management process
...
Planning
is the logical thinking through goals and making the decision as to what needs to be
accomplished in order to reach the organizations’ objectives
...

Organising
The second function of the management is getting prepared, getting organized
...
Through this process, management will

23 | P a g e

BUSINESS STUDIES
REVISION BOOKLET
INDUS INTERNATIONAL SCHOOL
2014-15
now determine the inside directorial configuration; establish and maintain relationships, and
also assign required resources
...
Directing may be defined as the
process of activating the efforts of employees towards the achievement of organisational
objectives
...
Through the
controlling function, management can keep the organisation o its chosen track
...

What is a Leadership Style?
The motivation level of the workers is very much affected by the Leadership style followed
in an organisation
...

7
...
They set the objectives, give instructions to
workers to achieve those objectives and supervise closely to see whether their instructions
are implemented
...

These types of managers can be categories as Theory X managers
...

Democratic
Democratic managers trust their employees
...
They believe in delegation and encourage
their subordinates to take decisions
...
Organizations following democratic
style usually have high motivation level among their staff
...
Communication may be a problem as the manager may not be closely monitoring the
progress of the employee
...

8
...
It is a type of pressure group
...

To negotiate a better pay, more holidays and less hours of work
...

Improved benefits for retrenched workers
To get the benefits of advice, financial support and welfare activities carried out by Trade
Unions
...

Closed Shop
It is where all employees must be a member of the same trade union
...

Collective bargaining
It means the negotiations between one or more trade unions and one or more employers on
pay and conditions of employment
...

9
...

Job analysis and description
Once a vacancy arises the human resource manager will first identify and record the
responsibilities and tasks which are related to the job
...
It includes:
A job title
Department of the business in which the new employee would work
Details of the tasks to be performed
Responsibilities involved
Place in the hierarchical structure
Methods of assessing the performance
Job Specification
On the basis of Job description, a job specification is made
...
It is
also known as person specification
...
It can
be advertised internally (on the company notice board or newsletter) or may be advertised
externally in a newspaper or magazine
...

Applications received and shortlisted
Once a job is advertised, there might be hundreds of application received
...
Thus a short listing of the applications
will be done
...

Interview
The shortlisted candidates will be called for an interview to verify their qualifications,
personal qualities and aptitude for the job
...
The firm may also conduct skill test, aptitude tests or
personality test if it deems fit so
...

10
...
Usually, it includes
introduction to colleagues,
explaining the firm’s activities,
procedures followed in the organisation,
explaining the organisational structure,
place of working etc
...
It iscommon
for unskilled and semi-skilled jobs
...

Off the job training
This is when a worker goes away from the place of work to attend a special course
...
Off the job training is
usually conducted for managerial level employees
...
What is Dismissal?
Dismissal means when a worker is told to leave the job because of his behaviour is
unsatisfactory or he has repeatedly failed to carry out his duties
...
This may happen due to many reason, for example,
A merger between two firms results in surplus job
...

It is also known as retrenchment
...
Communication
Communication is the transfer of information from the sender to the receiver with the
information being understood by both the sender and the receiver
...

The communication process
Sender of the message: Communication begins with the sender who has a thought or and
idea which is then encoded in a way that can be understood by both the sender and the
receiver
...
The message may be oral, written or visual
...
Accurate communication can only occur when both the sender and the receiver
attach the same meaning to the message
...

Types of Communication
Written Communication
It includes letters, memos, reports, notices, faxes and e-mails
...

Disadvantages
It may create mountains of papers
...

May provide no immediate feedback
...

Oral Communication
Oral communication includes one to one conversations, interviews, appraisal sessions, group
meetings or team briefings
...

It encourages motivation
...

The message can be reinforced with the proper use of body language
...

It may be unsuitable for information which is technical in nature
...

Advantages
Easy to understand and retain the information
...

Disadvantages
It is not always clear and the may be misinterpreted by the receiver
...
Barriers to Effective Communication
Barriers to effective communication mean the reasons for a breakdown in communication
...

The sender may speak too quickly which makes it difficult to interpret what he is saying
...

The message send by the sender may be too long and due to this the main point to be
emphasized may get lost
...

Problem with the medium
The message may be lost while transmitting
...

A longer channel of communication will result in distortion of the message and it may lose its
original meaning
...

Problem with the receiver
The receiver might not be paying attention and thus the message may lose its impact
...

The receiver may not have the necessary skills to understand the message
...

14
...

Main points of the message should be highlighted
...

Avoid using technical jargons
...

Medium
Select appropriate channel for communication
...

Use the shortest possible channel in order to avoid distortion
...

Trust between the sender and receiver is an important requirement
...

15
...
The method of communication may be chosen
after considering the following factors:
How much does it costs?
Electronic media cost a lot and may not be afforded by an organization whereas face to face
discussion does not involve any cost
...
Moreover, with the advent
of electronic media large message can be transmitted over large geographical areas in the
minimum of time
...

What is the importance of feedback?
In organizations where employees’ feedback is an integral part of decision making, Oral
communication may be the most important form of communication
...
For example, an employee contract records the terms of
employment

---