2.1
Human resources.
Human resources management?
What is Human resources management?
Human resources is the process of using and developing staff to meet the business’s objectives.
What are the role of human resources management?
• Workforce planning
• Recruitment of new staff
• Training and developing the staff
• Observing the performance of staff
• Reviewing salaries and bonuses of the staff
• Disciplinary procedures
• Looking after the Wellbeing of employees
Human Resources Planning
workforce planning
What is Human Resources Planning ?
It is a process used by management to forecast the current and future need for staff.
How can we forecast the current and future needs of the staff?
Historical data : the change in workforce size over the past few year.
Sales and income levels - higher levels sales in the economy will lead to create more jobs.
Labor turnover rates - The higher the staff turnover rate, the morE will need to recruit.
The flexibility and workload of staff : skilled workforce will cover sudden shortage of staff but if there is
a high load of work , more staff need to be hired
Demographic changes: changes in the number of female workers or the number of graduates, can help
managers TO FORECAST their human resource needs.
What are the factors that affect workforce planning?
Factors affecting workforce plan:
, 1. Demographic changes:
i. Net birth rate: high birth rate high number of labor force
o In some countries, such as France and Britain, the retirement age has been raised
due to the longer life expectancy of workers.
o The combination of lower birth rates & reduced death rates
Increased life expectancy in many economically developed countries has led to an ageing population (an
increase in the average age of the population).
o Net migration rate high migration rate high number of labor force
o Life expectancy and retirement age high retirement age high number of labor force
o Workforce flexibility, skills, and education: Flexible working practices that enable
people to work beyond retirement age.
Women in workforce: induction of women in work increase the number labor force
o In many countries, there has been an increased number of women in the workforce.
More females are choosing to have children at a later stage in their lives, opting instead
to participate in the workforce and pursue their professional aspirations.
2. Mobility of labor (geographic and occupational):
• Occupational mobility refers to the ease and flexibility of workers in moving from one job to another
due to their ability and willingness to switch.
• By contrast, occupational immobility is the inability of workers to move from one job to another, due
to a lack of skills, expertise or qualifications. •
Geographical mobility refers to the extent to which workers are able and willing to relocate to another
area for employment purposes. •
Geographical immobility is the reluctance of workers to move to another location. This might be due to
personal reasons (such as family ties) or financial factors (such as relocation costs, property prices, or
the higher costs of living in new locations).
• International mobility is even more difficult to achieve.
Expatriate workers are often highly paid as an incentive for them to relocate overseas.
• Labor mobility can be improved by the business offering training and development programs to its
employees.
3-New communications technologies
• New communications technologies make it easier for larger businesses to recruit
globally through their websites and video-conferencing facilities, resulting in
reduced costs of online advertising, recruitment and interviews.
, • Improved computer and mobile technologies also mean that flexitime,
homeworking and teleworking become more attractive and accessible to workers.
• The technologies make it possible to train and develop employees in a more
efficient manner, eg online training courses or webinars. A large number of
employees can be trained very quickly at the same time.
• The use of computerized testing programs helps firms to assess the understanding
and progress of trainees.
• New communications technologies reduce the costs of business meetings and
seminars due to the growing use of high-quality video conferencing.
Explain two threats created by the demographic changes on workforce planning:
Reduced labor: high death rate and raising the retirement age can lead to decrease in the
workforce
Lower productivity levels: . overpopulation has negative impact on businesses because it can cause
Inflation due to rising levels of demand/spending in the economy.
Explain two business opportunities provided by the demographic changes in workforce
planning
Increased Birth rate: A larger population means a greater number of consumers for
businesses
'The demographic changes due to women induction in workforce creates opportunities
for workforce planning because there will be a greater pool of workers to choose from.
immigrant rates: Much of the population growth is due to migrants; therefore, there will
be business opportunities to accommodate these groups
Greater opportunities for flexible working practices in ageing workforce.
Labor Turnover
Human resources.
Human resources management?
What is Human resources management?
Human resources is the process of using and developing staff to meet the business’s objectives.
What are the role of human resources management?
• Workforce planning
• Recruitment of new staff
• Training and developing the staff
• Observing the performance of staff
• Reviewing salaries and bonuses of the staff
• Disciplinary procedures
• Looking after the Wellbeing of employees
Human Resources Planning
workforce planning
What is Human Resources Planning ?
It is a process used by management to forecast the current and future need for staff.
How can we forecast the current and future needs of the staff?
Historical data : the change in workforce size over the past few year.
Sales and income levels - higher levels sales in the economy will lead to create more jobs.
Labor turnover rates - The higher the staff turnover rate, the morE will need to recruit.
The flexibility and workload of staff : skilled workforce will cover sudden shortage of staff but if there is
a high load of work , more staff need to be hired
Demographic changes: changes in the number of female workers or the number of graduates, can help
managers TO FORECAST their human resource needs.
What are the factors that affect workforce planning?
Factors affecting workforce plan:
, 1. Demographic changes:
i. Net birth rate: high birth rate high number of labor force
o In some countries, such as France and Britain, the retirement age has been raised
due to the longer life expectancy of workers.
o The combination of lower birth rates & reduced death rates
Increased life expectancy in many economically developed countries has led to an ageing population (an
increase in the average age of the population).
o Net migration rate high migration rate high number of labor force
o Life expectancy and retirement age high retirement age high number of labor force
o Workforce flexibility, skills, and education: Flexible working practices that enable
people to work beyond retirement age.
Women in workforce: induction of women in work increase the number labor force
o In many countries, there has been an increased number of women in the workforce.
More females are choosing to have children at a later stage in their lives, opting instead
to participate in the workforce and pursue their professional aspirations.
2. Mobility of labor (geographic and occupational):
• Occupational mobility refers to the ease and flexibility of workers in moving from one job to another
due to their ability and willingness to switch.
• By contrast, occupational immobility is the inability of workers to move from one job to another, due
to a lack of skills, expertise or qualifications. •
Geographical mobility refers to the extent to which workers are able and willing to relocate to another
area for employment purposes. •
Geographical immobility is the reluctance of workers to move to another location. This might be due to
personal reasons (such as family ties) or financial factors (such as relocation costs, property prices, or
the higher costs of living in new locations).
• International mobility is even more difficult to achieve.
Expatriate workers are often highly paid as an incentive for them to relocate overseas.
• Labor mobility can be improved by the business offering training and development programs to its
employees.
3-New communications technologies
• New communications technologies make it easier for larger businesses to recruit
globally through their websites and video-conferencing facilities, resulting in
reduced costs of online advertising, recruitment and interviews.
, • Improved computer and mobile technologies also mean that flexitime,
homeworking and teleworking become more attractive and accessible to workers.
• The technologies make it possible to train and develop employees in a more
efficient manner, eg online training courses or webinars. A large number of
employees can be trained very quickly at the same time.
• The use of computerized testing programs helps firms to assess the understanding
and progress of trainees.
• New communications technologies reduce the costs of business meetings and
seminars due to the growing use of high-quality video conferencing.
Explain two threats created by the demographic changes on workforce planning:
Reduced labor: high death rate and raising the retirement age can lead to decrease in the
workforce
Lower productivity levels: . overpopulation has negative impact on businesses because it can cause
Inflation due to rising levels of demand/spending in the economy.
Explain two business opportunities provided by the demographic changes in workforce
planning
Increased Birth rate: A larger population means a greater number of consumers for
businesses
'The demographic changes due to women induction in workforce creates opportunities
for workforce planning because there will be a greater pool of workers to choose from.
immigrant rates: Much of the population growth is due to migrants; therefore, there will
be business opportunities to accommodate these groups
Greater opportunities for flexible working practices in ageing workforce.
Labor Turnover
