hr objectives a2 business studies. aims and objectives aim: understand hr objectives. objectives:...

HR Objectives

A2 Business Studies

Aims and Objectives

Aim:• Understand HR objectives.Objectives:• Define Human Resource Management.• Explain what human resource objectives are.• Analyse human resource objective case

studies.• Evaluate conflicts which exist surrounding HR

objectives.

MCS & HR

• What is MCS’ main HR objective?

• Why is it important for MCS to retain the graduate engineers they recruit?

• How might MCS’ HR objective support their corporate objectives?

Human Resource Management (HRM)

Making the best use of all employees to achieve the

corporate goals.

HR Objectives

Targets the HR management hopes to achieve by

implementing HR strategies so that the business can achieve

its corporate objectives.

Ob1: Matching Workforce Skills to Business Needs

• Identifying future business needs so that recruitment, selection and training programmes reflect these requirements.

• http://www.bbc.co.uk/news/business-19265988

Loss of Contract = Job Losses

Virgin Trains

New Contract = Job Creation

First Group

Ob2: Matching Workforce Size to Business Needs

• New production techniques, expansion or cost saving can all lead to a change in workforce size.

• Key is being able to have a flexible workforce which can be tailored to suit the businesses needs.

• http://www.youtube.com/watch?v=UQb-juLq_ww

Ob2: Matching Workforce Size to Business Needs

• Can making job losses result in a more efficient business?

• Is there a short run and a long run perspective?

Ob3: Matching Workforce Location to Business Needs

• Many businesses now operate globally.

• Due to cheaper labour, land, less laws, lower corp. tax.

• Labour either has to relocate or loose jobs.

• Business cuts labour costs.

Ob4: Minimising Labour Costs

• Firms can cut costs, become more efficient and productive by moving production abroad.

• Although the supply chain must be well planned and efficient!

Country Minimum Wage ($)

UK 10.29

USA 5.15

France 9.35

Country Minimum Wage ($)

Vietnam 0.13

China 0.20

Bangladesh 0.05

Ob4: Minimising Labour Costs

• Apple and Foxconn• Workers working more

than 60hrs+ a week• Working 7 days.• Being paid on average

$360 a month.• $1.50 per hour.• Roughly £1 per hour.

Ob4: Minimising Labour Costs

Total Cost of Producing

iPhone 4s = £112.89

Labour Costs = 1.8%

= £2.03

Ob5: Making Full Use of Workforce’s Potential

• Workforce audit/appraisals.• May involve offering employees more flexible hours to

reduce labour turnover/absenteeism.

Ob6: Maintaining Good Employee/Employer Relations

• HR function maintaining good relations between management, workers and industrial unions.

Minimising Labour Costs Debate: UK Labour or Far East Labour?

UK Labour Far East Labour

Depends on……

Minimising Labour Costs Debate: UK Labour or Far East Labour?

UK Labour• Costs• Productivity• Holidays• Labour rights• Laws• Efficiency

Far East Labour• Costs• Productivity• Holidays• Labour rights• Laws• Efficiency

Depends on……

http://www.youtube.com/watch?v=9jOgRpO5i94