UNIT 2

AS Chapter- 1

1. Analyse two reasons why Alcatel-Lucent planned to make 10 000 workers redundant. [8]

[2k, 2App, 4An]

= Redundancy refers to when a job is no longer required and the employee loses the job
through no fault of their own. [K]

Firstly, increased competition and market changes played a significant role in planning to
make workers redundant. [K] Alcatel-Lucent faced increased competition from other
telecoms businesses, which likely led to decreased market share and revenue. [App] As
competition intensified, the company may have experienced declining profitability and a
need to align its workforce with the reduced demand for its products and services. In an
effort to remain competitive and financially viable, the company would have find ways to
reduce operational costs, including labor expenses. Reducing the workforce can be a
strategic response to adjust the company's cost structure and increase its competitiveness in
a challenging market environment. [An]

In addition, the economic recession also contributed to the decision made by Alcatel-Lucent.
[K] For instance, the recession had a significant impact on the demand for telecom
equipment, especially in Europe. [App] Economic downturns typically result in reduced
consumer spending and business investments, which affects demand for technology
products like telecoms equipment. With recession decreasing the economic activity,
businesses might have cut costs due to decreased demand for Alcatel-Lucent's products. To
align with the reduced market demand, the company needed to downsize its workforce to
avoid overcapacity and excessive costs. This was necessary for the business to stay
competitive. [An]
 An effective workforce planning strategy ensures that Alcatel-Lucent can attract, retain, and
develop the right talent to meet its business goals. [K] For example, In response to the
growing demand for advanced innovation in technologies, Alcatel-Lucent's workforce
planning identifies the need for more skilled engineers with expertise in this field. [App] The
company targets to recruit top-tier talent and invests in training programs to develop
existing employees' skills. In a highly competitive industry, attracting skilled engineers and
technology professionals is crucial for innovation and staying ahead of the competition. By
identifying the skills and expertise required for the company's growth and investing in talent
acquisition and development, Alcatel-Lucent can maintain a competitive advantage. [An]
However,

2. Evaluate the importance of effective workforce planning to the success of this business.
[12]

[2k, 2App, 2An, 6Ev]

= Workforce planning refers to the assessment and forecasting of the numbers of workers
and the skills of those workers that will be required by a business organisation to achieve its
objectives. [K]

Effective workforce planning enables Alcatel-Lucent to allocate its resources, including labor,
in an efficient manner. [K] For example, during a period of increased demand for certain
telecommunications equipment, effective workforce planning ensures that Alcatel-Lucent
has the right number of engineers and technicians available to fulfill the orders. [App] This
prevents delays in production and customer dissatisfaction. By accurately forecasting the
company's workforce needs based on market demand and business strategies, the company
can avoid overstaffing or understaffing situations. This optimization ensures that the right
number of employees with the necessary skills are available to support the company's
operations, reducing unnecessary costs and maintaining productivity. However, Alcatel-
Lucent operates in a dynamic business environment where customer preferences and needs
can change regularly. Adapting to such needs can be challenging and expensive. They would
have to build a strong workforce that is flexible towards change. This would give them a
competitive advantage over other companies. [Ev] While workforce planning aims to attract
and retain the right talent, in a competitive industry, skilled engineers and technology
professionals might be pursued by multiple companies. Alcatel-Lucent could struggle to
retain its top talent if competitors offer better compensation packages or growth
opportunities. [Ev]

In conclusion, effective workforce planning is essential for Alcatel-Lucent's success. It

enables the company to allocate resources efficiently, manage costs, and attract and retain
talent. In a competitive and rapidly changing industry, a well-executed workforce planning
strategy ensures that Alcatel-Lucent can thrive in both favorable and challenging market
conditions. However, workforce planning doesn’t ensure success if not implemented
properly. There might be certain challenges the business might face while implementing
these strategies. Overcoming these challenges will allow Alcatel-Lucent to thrive in the
market and gain competitive advantage.
1. Analyse why the measures taken by Furniture@ Work succeeded in reducing labour
turnover. [8]

[2k, 2App, 4An]

= Labour turnover measures the rate at which employees are leaving an organisation. [K]

Training increases employee motivation as it makes employees feel more valued and
improves self-esteem. [K] In this case, Furniture@Work gave training to their employees to
improve customer service and sales skills which led to massive cost savings in recruitment.
[App] The introduction of training programs to improve customer service and sales skills
directly addresses employees' needs for professional growth and advancement. Providing
employees with the opportunity to enhance their skills not only equips them with better job
performance but also increases their confidence and job satisfaction. This is a motivator in
Herzberg’s two-factor theory which led to a decrease in labor turnover. [An]

Secondly, the introduction of job appraisals and the emphasis on two-way communication
played a vital role in the success of reducing labor turnover. [K] For instance, job appraisals
provided a structured platform for employees to communicate their achievements,
concerns, and aspirations. [App] This open channel of communication allowed employees to
feel heard and understood by management. It also created an opportunity for employees to
 receive feedback on their performance, which is crucial for their professional growth. The
improved communication developed a sense of transparency, trust, and mutual respect
between employees and managers. Therefore, increased job satisfaction led to a decrease in
labor turnover. [An]

2. Evaluate whether the HR departments of all businesses should aim to achieve the lowest
labour turnover rates possible. [12]

[2k, 2App, 2An, 6Ev]

= If the HR departments of all businesses aim to achieve the lowest labor turnover rate,
there would be higher cost savings. [K] For example, high turnover can be expensive due to
recruitment, and training costs for new employees. [App] High turnover rates lead to
frequent recruitment efforts. Each recruitment cycle incurs costs related to advertising,
background checks, and administrative work. By reducing turnover, companies can avoid
these recurring expenses and allocate resources more effectively. Moreover, bringing new
employees up to speed requires training. Low turnover reduces the need for frequent
training, which reduces the cost of training. [An] However, a certain level of turnover can
bring new ideas, creativity, and skills into the company which can give them a competitive
advantage. An overly low turnover rate might restrict the introduction of new thinking and
innovations. [Ev]

Secondly, low turnover rates can lead to a stable workforce. [K] For instance, due to a high
labor turnover of 69%, Furniture@Work would face frequent disruptions in the workforce
due to the need to hire new employees. [App] High employee turnover can disrupt daily
operations. Frequent departures and replacements can lead to inefficiencies as new
employees need time to learn their responsibilities and adapt to the company culture. Low
turnover minimizes these disruptions, allowing the business to maintain its focus on core
operations. Moreover, organizations can invest more in thorough and comprehensive
training programs when they anticipate that employees will remain in their roles for an
extended period. This investment results in a skilled workforce that is better equipped to
handle challenges. [An] However, in rapidly changing industries, maintaining a certain level
of flexibility through controlled turnover can help the organization adapt to evolving market
conditions and technological advancements. Additionally, low turnover might mean
retaining underperforming employees who are not contributing to the company's success.
[Ev]

In conclusion, instead of aiming solely for the lowest labor turnover rates, HR departments
should aim for an optimal turnover rate that aligns with the organization's goals, industry
dynamics, and employee needs. This could mean implementing strategies to retain high-
performing and valuable employees while allowing for controlled turnover to bring in fresh
talent and adapt to changing environments. Moreover, while achieving low labor turnover
rates can have several advantages, it's essential to consider the specific context of each
business. As some turnover can be healthy for innovation, adaptability, and maintaining a
diverse workforce. The key is to maintain a balance that supports the organization's long-
term success and employee well-being.
1. Analyse one advantage and one disadvantage to SugarCo of outsourcing recruitment for
this post to an external agency. [8]

[2k, 2App, 4An]

= Outsourcing recruitment refers to when an employer turns the responsibility of finding

potential job candidates over to a third-party service provider. [K]
 One advantage of outsourcing recruitment to an external agency is that the agency typically
has expertise in recruiting employees. [K] In the case of SugarCo, the agency received 365
applications and produced a shortlist of 10, which indicates their ability to efficiently manage
the initial stages of the recruitment process and filter candidates based on the company's
requirements. [App] This expertise saves SugarCo's HR department time and effort, ensuring
that only the most suitable candidates are considered for the position. Additionally, they
usually have a broader network and resources to attract a diverse pool of candidates which
might not be possible for SugarCo. [An]

One disadvantage of outsourcing recruitment is that it can lead to a loss of control over the
hiring process. [k] For instance, the recruitment agency provides a shortlist of ten applicants
from which SugarCo makes a choice for an interview, which indicates less control over the
recruitment process for SugarCo. [App] The HR department might not have complete
visibility into the agency's screening and selection processes, potentially resulting in
candidates being included or excluded based on factors that might not align perfectly with
SugarCo's needs. This lack of control can impact the quality of candidates presented to the
company and the overall fit with the organization's requirements. [An]

2. Recommend, using the information provided, which candidate should be selected. Justify
your recommendation. [12]

[2k, 2App, 2An, 6Ev]

= If the business chooses Julien, they can benefit from her quick decision and problem-
solving skills. [k] As the shortlisting suggests, her main strengths are quick decision-making
and problem-solving. [App] The skill to make quick decisions is particularly crucial in dynamic
business environments where circumstances can change rapidly. An operations Manager
often faces unexpected challenges that require immediate responses. Julien's ability to
assess situations swiftly and make decisions can help the company navigate through
uncertainties effectively. [An] However, Julien's current job as an operations Manager in a
large retail business for only 6 months might not provide the depth of experience required
for the position at SugarCo, especially considering the company's introduction of computer-
controlled machinery. Moreover, while Julien's aspiration to develop a career in food
production is admirable, it may not align closely with the specific challenges and
responsibilities of the Operations Manager role at SugarCo.

If the business chooses Bill, they can benefit from his extensive experience in the role of
operations manager. [K] For instance, he was the operations manager of the largest sugar
producer in France for 7 years. [App] Bill’s extensive experience as an operations manager
and the ability to control large groups of workers indicates his expertise in this role and his
knowledge of the industry. This expertise would allow him to tackle challenges more
efficiently. Moreover, the ability to control large groups of workers noted as one of Bill's
strengths, can significantly benefit the Operations Manager role. His prior experience
suggests that he can manage and lead teams effectively, ensuring smooth coordination and
operational efficiency. [An] However, the fact that Bill asked no questions during the
interview might indicate a lack of curiosity or interest in the position and the company. This
lack of engagement could raise concerns about his genuine enthusiasm for the role. [Ev]
Lastly, if the business chooses Aurelie, it can benefit from loyalty and commitment toward
the company. [K] For instance, she has been working at SugarCo for 15 years in the
operations supervisor role. [App] This work experience in the sugar industry, specifically as
an operations Manager in a large sugar producer, gives her valuable insights and knowledge
about the challenges of the industry. This background is likely to enable a smooth transition
and understanding of SugarCo's operations. Moreover, Aurelie's loyalty is evident from
spending her entire working life in SugarCo, spanning 15 years. This commitment indicates
that she is familiar with the company's culture, operations, and values. Her long-term
association with SugarCo can contribute to stability and continuity during the transition
period. [Ev] However, with the introduction of new computer-controlled machinery, the role
of the Operations Manager would likely involve managing and integrating advanced
technologies. Aurelie's experience does not mention familiarity with such technologies, so
her adaptability to these changes could be a concern. [Ev]

As a recommendation, I’d suggest Bill as the new Operations manager. This is because of his
experience of working for 7 years in the industry and his skills to control large groups of
workers. Despite his lack of curiosity indicated by the interview and his high salary indicated
by his current salary range, he would be a perfect fit. He can manage the business more
efficiently and improve coordination and communication between the employees.
Moreover, his experience as a research scientist in food processing can benefit SugarCo, i.e.
he might develop a new product that can be used as an USP. However, it is also important to
look at the financial aspect, for example, will paying a large salary cause liquidity issues for
SugarCo?
1. Analyse the benefits to LC of extensive employee training. [8]

[2k, 2App, 4An]

= Employee training refers to work-related education to employees to increase workforce

skills and efficiency. [K]

LC can benefit from increased customer satisfaction due to extensive employee training. [K]
For example, LC's emphasis on extensive employee training, such as the Barista Stars and
Barista Experts programs, ensures that all employees are highly experienced in the
company's standards and routines. This consistency in training translates to a consistent
customer experience across all cafes and locations. [App] When customers visit any LC cafe,
they can expect the same level of quality, and service, which builds trust and loyalty. A well-
trained staff ensures that customers receive their orders, and any complaints are addressed
efficiently and in line with the CAFÉ approach. This consistent experience contributes to the
positive perception of the LC brand and helps increase customer satisfaction, leading to
increased sales and profits. [An]

Moreover, training will reduce labor turnover. [K] For example, by providing complete
training programs like Barista Stars and Barista Experts, LC equips its employees with the
necessary skills and knowledge to excel in their roles. [App] As a result, employees are more
likely to feel valued and motivated to stay with the company, leading to lower turnover
rates. This will lead to lower recruitment and training costs, which will help keep Lunar
Cafés competitive. [An]
2. Evaluate whether the extensive training programme at LC is sufficient to ensure a
motivated and loyal workforce. [12]

[2k, 2App, 2An, 6Ev]

= Firstly, an extensive training programme would improve motivation levels for their
employees. [K] For instance, the training programmes focus on skill enhancement, making
employees more confident and competent in their roles. [App] This can boost their
motivation by giving them a sense of accomplishment and the ability to provide excellent
customer service. Moreover, LC's recognition of employees' training efforts and providing
qualifications that can earn college credits can make employees feel valued and appreciated.
Additionally, the opportunity for career progression through training can motivate
employees leading to increased efficiency and productivity. [An] However, they may use
their new skills to gain higher-paid employment elsewhere. Other companies might offer
other needs, such as social and security needs. This would disrupt LC’s operations as they
would have to start from scratch to build a new workforce. [Ev]

Secondly, the training programs have a significant impact on loyalty building. [K] LC's
significant investment in barista training, as evidenced by the $50 million spent,
demonstrates a commitment to employee growth and development. [App] Such investment
can develop a sense of loyalty among employees who feel valued by the company.
Moreover, the low rates of labor turnover in LC indicate that the training efforts have
positively impacted employee loyalty. Therefore, a stable workforce would contribute to
team cohesion and consistent customer experience. [An] However, while training
contributes to loyalty, other factors, such as work culture, compensation, and opportunities
for advancement, also influence loyalty. LC should ensure that these aspects are well-aligned
with its training efforts. [Ev]

In conclusion, LC's extensive training programme is a step toward motivating and building
loyalty among its workforce. However, the program’s sufficiency depends on the company's
ability to address basic motivation factors and create a comprehensive work environment
that aligns with employees' values and aspirations. The training program should be
complemented by broader strategies that consider individual needs and holistic approaches
to employee satisfaction, engagement, and career growth.
1. Analyse why a strike would have been harmful to both the business and employees. [8]

[2k, 2App, 4An]

= Firstly, strikes disrupt regular business operations, leading to flight cancellations, delays,
and interruptions in services. [k] For instance, a strike by cabin crew would have resulted in
flight cancellations and delays, disrupting Cathay Pacific's regular flight schedules. [App] This
would lead to negative feedback and potentially lost customers. The disruption caused to
passengers would damage the airline’s reputation, leading to a long-term loss of sales and
profit. Customers would travel with other airlines and might never return to Cathay Pacific.
It would also lead to financial losses due to cancelled flights which would put Cathay Pacific
in a disadvantageous situation. [An]

Secondly, during a strike, employees participating in the strike lose wages and financial
stability. In this case, the cabin crew would’ve been affected. [App] This loss of income can
have immediate and long-term financial implications for employees and their families.
Moreover, strikes can strain relationships between employees and management. This can
persist even after the strike is resolved, affecting the work environment and team cohesion
negatively. [An]

2. Evaluate the importance of workforce–management cooperation in an airline business.

[12]

[2k, 2App, 2An, 6Ev]

= Workforce refers to the total number of workers employed by a company on a specific job.
[K]
Workforce-management cooperation is important as it allows the business to achieve
operational efficiency. [K] For instance, the potential strike by cabin crew threatened to
disrupt Cathay Pacific's flight schedules and operations, leading to cancellations and delays.
[App] Cooperation between the workforce and management ensures smooth and efficient
operations. Timely communication, effective coordination, and a shared sense of purpose
help prevent disruptions, reduce delays, and enhance overall operational performance. This
is crucial in an industry where punctuality is critical. [An] However, while workforce-
management cooperation is essential for operational efficiency, the complex nature of
airline operations can pose challenges. Airlines have complex processes involving various
departments and safety protocols. Ensuring effective cooperation across all these aspects
can be challenging, particularly in larger organizations like Cathay Pacific with diverse teams.
[Ev]

Secondly, the cooperation between employees and management would increase customer
satisfaction. [K] In this case, Cathay Pacific is an airline company where customer service is
important. [App] Airlines operate in a highly competitive market where customer experience
is a major differentiator. When the workforce and management collaborate to deliver
excellent service, the passengers benefit from consistent service quality, better
communication, and improved assistance in case of disruptions. This positive experience
leads to higher customer satisfaction and loyalty. [An] However, despite the best intentions
for cooperation, communication gaps and misunderstandings between employees and
management can occur. These gaps can lead to misinformation, delays, or confusion in
service delivery. For instance, if critical information about flight changes or operational
updates is not effectively communicated to frontline staff, it can result in a poor customer
experience. [Ev]

In summary, workforce-management cooperation in the airline business plays an important

role in achieving operational excellence, and customer satisfaction. Airlines that prioritize
collaboration between the workforce and management are better equipped to navigate
challenges and seize opportunities. However, there are potential limitations that can arise.
These limitations need to be addressed to ensure that customer experience improvements
are sustained and effective.
1. Explain one important role of an HR department. [3]

= One important role of an HR department is to facilitate employee training and

development. For instance, the HR department could organize training programs to help
machine operators become proficient in using the new computer-controlled machinery.

2. Analyse one reason why the recruitment of appropriate employees is important to a

business. [5]

= Recruitment refers to the process of identifying the need for a new employee, defining the
job to be filled and the type of person needed to fill it and attracting suitable candidate for
the job. [K]

Recruitment of appropriate employees is crucial for businesses because it directly impacts

the company's performance, culture, and long-term success. [K] For instance, a tech
company seeking a skilled software developer must recruit someone with expertise in the
required programming languages and a track record of successful projects. [App] Hiring
individuals with the right skills, experience, and values ensures a positive contribution to the
 team and the organization as a whole. A wrong hire could lead to inefficiencies, project
delays, and increased turnover, ultimately affecting the company's competitiveness and
reputation. [An]

3. Explain one difference between a job description and a person specification. [3]

= Job description refers to a detailed list of the key points about the job to be filled-stating
all of its key tasks and responsibilities. For example, title, roles, responsibilities, place in the
hierarchy
Person specification refers to a detailed list of the qualities, skills, and qualifications that a
successful applicant will need to have. For example, their skills, experience, qualifications,
and personality traits.

4. Analyse one reason why the costs of training employees should be weighed against the
costs of not training them. [5]

= One reason why the costs of training employees should be weighed against the costs of
not training them is the potential impact on productivity and performance. [K] For example,
if employees aren't trained properly on using new machinery, they might make mistakes
that lead to defective products or equipment breakdowns. These issues could result in
production delays, increased scrap rates, and potential customer dissatisfaction. [App] While
training incurs immediate expenses, not providing adequate training can lead to
inefficiencies, errors, and reduced output, ultimately costing the business more in the long
run. The costs of rectifying these problems, along with potential reputational damage, could
far exceed the initial investment in training. [An]

5. Analyse one benefit of employee training and development programmes for the business
and the employee. [5]

= One benefit of employee training and development programs is increased job satisfaction
and employee retention. [K] For example, when a customer service representative
undergoes a comprehensive training program to improve skills. The employee gains
confidence and becomes capable of handling challenges, leading to higher customer
satisfaction and retention. For the business, this results in improved customer loyalty and
positive word-of-mouth, ultimately boosting its reputation and bottom line. [App] Therefore,
engaging employees in training and development demonstrates a commitment to their
growth. This develops a positive work environment, enhances morale, and boosts loyalty.
Satisfied employees are more likely to stay with the company, reducing turnover costs and
maintaining a skilled workforce.
For the employee, training equips them with new skills, making them feel valued and
empowered. This improves job satisfaction, as individuals see opportunities for growth
within the organization. The enhanced skills lead to increased career advancement and
increased earning potential.

6. Define the term ‘employee appraisal’. [2]

= Employee appraisal refers to the process of evaluating and documenting how well an
employee is carrying out their job.
7. Analyse one reason why it is important to the business and the employee to have a
contract of employment between them. [5]

= Having a contract of employment provides clarity and protection for both the business and
the employee. As these contracts are legally binding, they protect the rights of both parties
by clarifying the responsibilities of both parties. [k] For example, it includes the hours
expected to be worked by an employee and the number of weeks’ holiday they are allowed.
[App] Therefore, the contract offers legal protection by defining rights and obligations,
safeguarding both parties in case of disputes or breaches. This ensures a fair and transparent
working relationship. [An]

8. Explain one difference between dismissal and redundancy. [3]

= Dismissal refers to being dismissed or sacked from a job due to incompetence of breach or
discipline. Whereas redundancy refers to when a job is no longer required, and the
employee doing this job becomes is dismissed through no fault of their own. For example, an
employee is dismissed from their job due to repeated violations of company policies despite
receiving warnings. On the other hand, a company downsizes its workforce due to
technological advancements, leading to the redundancy of several employees in a specific
department.

9. Explain one benefit of work–life balance. [3]

= Work-life balance refers to a situation in which employee are able to give the right amount
of time and effort to work and to their personal life outside work, for example to family or
other interests. One benefit is that it allows employees to be more satisfied at work, less
tired and more productive. For instance, there would be a balance between hours and stress
of work and the time spent with friends and family on leisure time.

10. Analyse one benefit to a business of an employee diversity policy. [5]

= Diversity policy refers to the practices and processes aimed at creating a mixed workforce
and placing positive value on diversity in the workplace. [K]

It enhances innovation and creativity. [K] For instance, a tech company with a diverse team
may develop products that cater to a wider range of user needs, reflecting the diverse
customer base. [App] An employee diversity policy develops a workplace where individuals
from different backgrounds, cultures, and perspectives collaborate. This diversity of thought
and experience brings innovative ideas and creative problem-solving. This innovative edge
can lead to increased market share, customer loyalty, and a reputation ultimately increasing
the company's competitive advantage. [An]

11. Explain one benefit of a person specification to the selection process for a hospital nurse.
[3]

= Person specification refers to a detailed list of the qualities, skills, and qualifications that a
successful applicant will need to have. It helps select the best candidate for the position as it
Outlines the key qualifications (e.g. nursing degree); characteristics (e.g. able to work under
 pressure); and skills (e.g. care of the elderly). This prevents applicants who don’t have
qualities from applying and saves both time and resources.

12. Explain one reason for recruiting an external candidate. [3]

= An external candidate will bring new ideas and practices to the business. This may help
identify improvements that need to be made in the business’s procedures and operations,
especially as the post is for a senior manager. For example, a technology company seeking to
revamp its user interface might benefit from hiring a designer from the gaming industry. The
designer could introduce creative elements and interaction concepts not previously
considered, enhancing the overall user experience of the company's products

13. Explain one difference between on-the-job training and off-the-job training. [3]

= On-the-job training takes place within the business itself, often as the worker performs the
actual work. In contrast, off-the-job training takes place away from the business, either
through a specialist training provider or at a college or training institute.

14. Explain one benefit of aiming for equality when recruiting employees. [3]

= Aiming for equality in the recruitment process ensures that all individuals, regardless of
their background, have an equal opportunity to join the organization. This approach widens
the talent pool and allows the business to attract candidates with diverse skills, experiences,
and perspectives. For instance, by promoting equality and diversity, a financial firm can tap
into a broader range of potential employees, including those from underrepresented groups.
This enriched talent pool can contribute to more improved problem-solving, and a better
understanding of diverse customer needs, ultimately leading to enhanced innovation and
competitive advantage for the organization.

15. Analyse one benefit of management–worker cooperation for a business. [5]

= Workforce refers to the total number of workers employed by a company on a specific job.
[K]

Workforce-management cooperation is important as it allows the business to achieve

operational efficiency. [K] For instance, in a manufacturing business, when managers actively
involve workers in process improvement discussions, they may receive valuable insights on
how to optimize operations, reduce constraints, and enhance overall workflow. [App] This
collaboration not only boosts employee morale but also results in operational improvements
that lead to cost savings and increased output for the business. Cooperation between the
workforce and management ensures smooth and efficient operations. [An]
1. a) Analyse two roles of human resource management. [8]

[2k, 2App, 4An]

= Human resource management refers to the strategic approach to the effective

management of an organization’s workers so that they help the business gain a competitive
advantage. [K]

Human resource management plays a crucial role in identifying, attracting, and hiring the
right individuals for the organization. [K] For example, the HRM department of a digital
marketing agency uses targeted job postings to hire skilled social media managers. [App] The
process involves developing job descriptions, evaluating applicants, and ultimately selecting
the most suitable candidates for various positions. The HR team ensures that the
organization's workforce aligns with its strategic goals and values, helping to build a skilled
and diverse team that contributes to the company's success. Effective talent acquisition
leads to reduced turnover, improved employee performance, and a positive impact on the
company's overall culture. [An]

Secondly, HRM is responsible for creating and implementing training and development
programs that enhance the skills, knowledge, and capabilities of employees. [K] For instance,
training initiatives might include onboarding for new hires, technical skill development,
leadership training, and workshops focused on soft skills like communication and teamwork.
[App] This ensures that employees have the necessary tools to excel in their current roles
and grow within the organization. By investing in employee development, HR helps develop
a culture of continuous learning and improvement, leading to higher employee engagement,
increased job satisfaction, and a flexible workforce that can adapt to a rapidly changing
business environment. [An]
 b) Evaluate the importance of effective recruitment and selection of employees to a
restaurant business. [12]

[2k, 2App, 2An, 6Ev]

= Recruitment refers to the process of identifying the need for a new employee, defining the
job to be filled and the type of person needed to fill it, and attracting suitable candidates for
the job. Selection involves a series of steps by which the candidates are interviewed, tested,
and screened to choose the most suitable person for the vacant post. [K]
Effective recruitment and selection allow the restaurant have increased customer
satisfaction. [K] For example, if a restaurant hires servers who provide attentive service,
making diners feel welcome and enhancing their overall enjoyment. This develops loyal
customers who appreciate the positive interactions. [App] Restaurant success depends on
providing a positive dining experience. Recruiting employees with the right attitude, skills
ensures that customers receive quality service. Well-selected staff can enhance the
ambience and address customer concerns effectively, increasing customer satisfaction and
loyalty. [An] However, while effective recruitment can lead to staff members who enhance
the customer experience, there might be inconsistencies in the execution of service. Not all
employees may consistently deliver the same level of quality service. [Ev]

Secondly, it reduces labor turnover for the business. [K] For instance, when a restaurant
hires staff members who align with its values and offers a thorough training program. As a
result, turnover rates decrease, leading to a stable workforce. [App] Therefore, thorough
selection processes that match candidates to the restaurant's culture and values can reduce
employee turnover. This saves the costs and time associated with frequent recruitment and
training. Moreover, a stable workforce leads to consistent service quality leading to
increased sales and profits. [An] However, focusing too much on reducing turnover by
retaining the same employees can limit the introduction of fresh skills and perspectives.
While a stable workforce can provide consistent service, it might lack the diversity of skills
and ideas that new employees could bring. [Ev]

In conclusion, effective recruitment and selection of employees hold significant importance

for a restaurant business, offering a balance of benefits and limitations that shape its overall
success. The careful selection of staff members would contribute to a positive customer
experience. However, it's crucial to acknowledge the limitations. Inconsistent execution of
service, even with well-selected staff, can occur during busy periods. Moreover, a singular
focus on reducing turnover might restrict the introduction of diverse skills and fresh
perspectives, limiting the restaurant's adaptability and innovation potential. By recognizing
and addressing these limitations, restaurant owners and managers can utilize the benefits of
effective recruitment and selection while reducing potential drawbacks.

2. a) Analyse two benefits of employee training to a business. [8]

[2k, 2App, 4An]

= Employee training refers to work-related education to increase workforce skill and

efficiency. [K]
Employee training allow the business to improve operational efficiency. [K] For example,
training a sales team in effective communication techniques can lead to improved customer
interactions, increased sales conversions. [App] This leads to increased efficiency, as
employees become more expert in their roles and can complete tasks with greater accuracy
and speed. This also reduces defects and errors and as a result costs decrease, ultimately
leading to higher profit for the business. [An]

Moreover, training can lead to increased employee retention and morale. [K] For instance,
offering training opportunities demonstrates to employees that the company is invested in
their professional growth. [App] This, in turn, boosts employee morale, engagement, and job
satisfaction. When employees feel valued and see a path for career advancement within the
organization, they are more likely to remain loyal and committed. Moreover, businesses that
prioritize employee development are often viewed as attractive employers, helping to
attract and retain top talent in a competitive job market. [An]

b) Evaluate whether improving employee morale and welfare is the most important role of
the human resource department of a large manufacturing business. [12]

[2k, 2App, 2An, 6Ev]

= Staff morale refers to the level of confidence and enthusiasm that employees feel towards
their place of work. Welfare refers to the health and happiness of employees. [K]

Improving employee morale and welfare is definitely an important role for the HR
department as it improves productivity and performance of the business [K] For example, HR
departments can offer advice, counselling and other service to employees who are in need
of support. [App] Developing high employee morale and well-being lead to increased
motivation and job satisfaction, which results in higher productivity and better overall
performance. When employees feel valued and supported, they are more likely to put in
extra effort and engage in their tasks. [An] However, focusing solely on employee morale
and welfare can cause other factors to be overlooked, i.e. building a skilful workforce etc
which is crucial for operating in a dynamic market. [Ev]

Secondly, it would reduce labor turnover and recruitment costs. [K] For example, employees
are more likely to stay with the company if they feel their needs are met and their well-being
is prioritized. [App] Therefore, an HR department that focuses on employee morale and
welfare can contribute to higher employee retention rates. This reduces costs for the
business and allows them to stay competitive in the market. [An] However, HR department
has other important roles as well. For example, Workforce planning is necessary to ensure
that the business has the necessary human resources to achieve their goals. Moreover,
focusing on recruitment and selection is necessary to ensure that the business has qualified
workers. If employees are recruited effectively, they will be more valuable to the business
and their skills are more likely to match the needs of the business. [Ev]
 In conclusion, while improving employee morale and welfare is important it isn’t the most
important role for HRM. The department should balance priorities to ensure maximum
effectiveness. For example, ensuring proper workforce and retaining top talent as well as
providing training and development programs to existing employees. Maintaining a balance
will allow the business to stay competitive and grow rapidly in the future.

3. a) Analyse two ways a school or college might help teachers achieve a better work–life
balance. [8]

[2k, 2App, 4An]

= Work-life balance refers to a situation in which employee are able to give the right amount
of time and effort to work and to their personal life outside work, for example to family or
other interests. [K]

Implementing flexible working arrangements can significantly contribute to a better work-

life balance for teachers. This approach involves offering various options such as lower
workweeks, part-time schedules, or remote work for certain tasks. By allowing teachers to
adjust their work hours to accommodate personal needs or responsibilities, schools and
colleges empower them to better manage their time. [An] For instance, teachers with family
commitments might benefit from being able to start and finish their workday at slightly
different times, helping them balance their professional and personal obligations more
effectively. [App]

Secondly, introducing job sharing programs can also enhance work-life balance for teachers.
For example, dividing a full-time position into two or more part-time roles, with each
teacher responsible for specific days or tasks. [App] Job sharing allows teachers to maintain
their professional roles while having dedicated time for personal pursuits. It can be
particularly beneficial for teachers who want to reduce their workload but still contribute to
the education system. By sharing responsibilities with a colleague, teachers can avoid
burnout, reduce stress, and maintain their enthusiasm for teaching. [An]

b) Evaluate how a human resource management department can help to make a retailing
business more competitive. [12]

[2k, 2App, 2An, 6Ev]

= Human resource management refers to the strategic approach to the effective

management of an organisation’s workers so that they help the business gain a competitive
advantage. [K]

HRM can attract top talent that aligns with the company's goals and customer-centric
values. [k] For instance, a retail business aiming to provide exceptional customer service can
hire employees with strong communication skills and a customer-focused mindset. [App]
Hiring skilled and motivated individuals can improve customer satisfaction and drive repeat
business. This would increase sales for the business and increase profits which would make
it more competitive. [An] However, the effectiveness of HRM initiatives can vary based on
how well they are executed. Inconsistent execution, especially across different store
locations, can lead to poor customer service quality and employee experiences. Without
consistency and proper execution, the business might not benefit at all. [Ev]

Secondly, providing training and development programs can help ensure that the employees
have the necessary skills to perform their roles optimally. [K] For instance, a retail store who
invests in training its staff can benefit from improved inventory management, better
customer service etc. [App] Training and development initiatives empower retail employees
to perform their roles effectively and provide excellent customer service. HRM can design
comprehensive training programs that focus on improving employee skills such as
communication and problem-solving. As a result, customer satisfaction increased leading to
repeat sales as customers build a sense of trust with the business. Moreover, training also
leads to increased motivation for the employees which leads to increased efficiency and
productivity and increases the overall competitiveness of the retail business. [An] However,
HRM alone cannot increase the competitiveness of the retail business as they are just one of
the functional areas of the business. To be more competitive, there must be effective
coordination and communication between all functional departments. [Ev]

In conclusion, while a well-executed HRM department can undoubtedly contribute to a

retailing business's competitiveness, there are limitations to consider. Overcoming these
limitations requires a balanced approach that integrates HRM strategies with broader
business goals and acknowledges the complexities of the retail industry. Improved
communication and coordination between all the functional departments is key to ensure
business success.
1. a)i Identify one benefit of external recruitment. [1]

= External recruitment can bring candidates with diverse skill sets and fresh perspectives,
contributing to improved operational efficiency and effectiveness.

ii. Explain the term ‘employment contract’. [3]

= Employment contract refers to a legal document that sets out the terms and conditions
governing a worker’s job. In this case, Harryo considers offering new workers a short-term
employment contract to manage the situation arising from the unexpected customer order.
b) i. Calculate the labor turnover for E&B’s machine operators. [3]

= 15/60 ×100 = 25%

ii. Explain one reason why the rate of labor turnover is a problem for E&B. [3]

= High labor turnover can lead to a lack of experienced and skilled employees. Has to recruit
new employees to replace those who have left. It then takes time to discover whether the
new recruits are suitable. This disrupts production, making it difficult to fulfill customer
orders. As seen in E&B where 15 machine operators left over the past year, potentially
impacting operational efficiency and productivity.

c) Analyse two reasons why the recruitment and selection policies used for the new
machine operators might be ineffective. [8]

[2k, 2App, 4An]

= Recruitment refers to the process of identifying the need for a new employee, defining the
job to be filled and the type of person needed to fill it and attracting suitable candidate for
the job. Selection refers to the series of steps by which the candidates are interviewed,
tested and screened for choosing the most suitable person for the vacant post. [K]

One key reason for the ineffectiveness of recruitment and selection policies is the potential
misalignment between the skills, qualifications, and experience looked for the machine
operator roles and the candidates being sourced. [K] The passage suggests that the
government job centre might not fully understand E&B's specific requirements. [App] As a
result, candidates sent by the job centre may not possess the necessary skills for operating
the computer-controlled machinery. This mismatch between job requirements and
candidate qualifications could lead to a high rate of unsuitable hires, resulting in increased
turnover and inefficiency. [An]

Secondly, the process might be ineffective due to insufficient training. [K] The passage
mentions the challenge of training new hires on the computer-controlled machinery, which
is time-consuming and complex. [App] If the recruitment and selection process does not
consider candidates' potential to adapt to such technology, the new hires might struggle to
perform their tasks effectively. Therefore, without proper training and a supportive work
environment, the new machine operators are less likely to succeed and integrate into the
company's operations. [An]

d) Evaluate whether labor turnover could be reduced at E&B by more effective HR

management. [12]

[2k, 2App, 2An, 6Ev]

= Human resource management refers to the strategic approach to the effective

management of an organisation’s workers so that they help the business gain a competitive
advantage. Labor turnover measures the rate at which employees are leaving an
organisation. [K]

Yes, effective HR management can help reduce labor turnover at E&B by improving
recruitment and selection process. [K] For example, Effective HR management can closely
collaborate with the marketing department to anticipate and plan for sudden increases in
demand, such as the new customer order. By being informed in advance, HR could initiate
recruitment efforts ahead of time, ensuring that suitable candidates are identified and hired
to meet the increased workload. [App] Therefore, by aligning recruitment efforts with the
specific requirements of machine operator roles, E&B can attract candidates who are better
suited for the job. This can reduce the chances of hiring mismatched or unqualified
candidates who are more likely to leave quickly. As a result, labor turnover would decrease
and save costs for the business. [An] However, labor turnover can also be influenced by
external factors such as economic conditions, industry trends, and competition for talent.
Even with effective HR management, some turnover might be unavoidable due to external
influences. [Ev]

Moreover, effective induction training by the HR department will help new recruits to settle
at E&B. [K] In this case, the challenge of training new machine operators on computer-
controlled machinery is a clear example. Effective HR management can design a complete
training program that not only introduces the new hires to the equipment but also provides
ongoing training and support as they learn to operate the machinery effectively. [App] A
well-structured training program can ensure that new hires are equipped with the necessary
skills and knowledge to succeed in their roles. Effective HR management includes providing
ongoing support and mentorship to new employees, which can enhance their confidence
and job satisfaction, ultimately reducing turnover. Moreover, developing skills may help
employees achieve their esteem needs within Maslow’s hierarchy of needs. [An] However,
employees might look for better employment opportunities after completing their training.
Other companies might offer attractive job offers which can cause employees to leave E&B
despite the training provided. [Ev]

In conclusion, while more effective HR management can contribute positively to reducing

labor turnover at E&B by addressing issues related to recruitment, work environment,
development, and recognition. It's also important to recognize that turnover is influenced by
a combination of internal and external factors. Effective HR management can certainly lower
turnover to a significant extent, but it might not eliminate it entirely as other external factors
would also play a significant role.
1. a) i Identify one reason for the dismissal of an employee. [1]

= Theft

ii. Explain the term ‘multi-skilling’. [3]

= Multiskilling refers to acquiring employees with different skills to complete different tasks. For
example, CS’s employees needed multi-skills training to be able to operate the different
machines needed for the wide range of sweets.

b) Explain two benefits to CS of workforce planning. [6]

= Workforce Planning refers to the assessment and forecasting of the numbers of workers and
the skills of those workers that will be required by a business organization to achieve its
objectives. [K]

Workforce planning, as employed by Roman, allows CS to anticipate seasonal demand

fluctuations and prepare accordingly. For instance, the plan assists in ensuring that the right
number of skilled employees are available during peak production times, like holidays, to meet
increased demand for sweets. This allows them to increase sales as sales opportunities are not
lost.

Moreover, workforce planning enables CS to efficiently respond to unexpected events, such as

the dismissal of production-line workers. Roman's plan didn't account for this incident, but the
planning quickly identified replacement needs and hired new employees who required multi-skill
training to operate various machines effectively.

c) Analyse two benefits to CS of adopting a policy of diversity and equality in the workplace.
[8]

[2k, 2App, 4An]

= Diversity policy refers to practices and processes aimed at creating a mixed workforce and
placing positive value on diversity in the workplace. Equality policy refers to practices and
processes aimed at achieving a fair organisation where everyone is treated in the same way and
has the opportunity to fulfil their potential. [K]

It improves the businesses problem solving ability and creativity. [K] For example, CS's diverse
workforce reflects various backgrounds which can lead to innovative sweet ideas catering to
different cultural preferences. [App] Collaborative brainstorming from employees with unique
perspective can result in the creation of new and appealing products. When employees with
different viewpoints collaborate, they are more likely to generate creative ideas and solutions.
This improves the efficiency of the business due to increased problem solving and increases sales
due to the new creative ideas and products that attract customers. As a result, the overall profit
of the business would increase. [An]

Secondly, it improves brand reputation and image for CS. [K] For instance, customers often
prioritize companies with diversity and equality in their workforce. [App] Therefore, CS can use
this as an USP to attract new customers who are conscious of such acts. This would give them a
competitive advantage over their rivals and allow them to grow rapidly in the market. Moreover,
the increased brand reputation would also allow them to attract skilful workers. This would
increase efficiency of the business leading to improved quality of the product. [An]

d) Evaluate the impact on CS of cooperation between management and the trade union. [12]

[2k, 2App, 2An, 6Ev]

= Firstly, it had positive impacts on CS, i.e. negotiating pay and conditions is easier and less likely
to result in conflict. [K] For instance, CS introduced flexible working with the support of trade
union officials. [App] This change helps CS control costs and remain competitive. Cooperation
resulted in improvements being made to employee welfare and this helped improve morale,
which should lead to an increase in productivity. Lastly, a culture of cooperation between
management and the trade union was significant in ensuring that the dismissal of the three
workers did not result in industrial action. [An] However, despite cooperation, differing priorities
and interests between management and the trade union can lead to conflicts. Disagreements
over pay increases, benefits, or organizational changes may still emerge, potentially disrupting
operations. [Ev]

On the other hand, the cooperation also has some pros for CS, i.e. their dependency on Union
cooperation and a potential resistance to change. [K] For example, CS’s majority of the worker
belong to a trade union. If the relationship with the trade union deteriorates, it can hinder the
ability to manage the employees and negotiate. [App] This would make it difficult for CS to
implement change which is crucial for them. They operate in a dynamic environment where
changing and adapting to certain market changes is necessary to stay competitive. Therefore,
overreliance on the trade union’s cooperation might limit the management’s policies. [An]
However, the improved working conditions and employee welfare initiatives resulting from the
cooperation have likely contributed to a considerable increase in employee morale, as noted by
Roman. When employees see that their concerns are taken seriously and addressed, they are
more likely to feel valued and engaged in their work, leading to increased productivity and
commitment. [Ev]

In conclusion, the cooperation between management and the trade union at CS has positively
impacted the company's working environment and employee morale contributing to a more
productive workplace. However, CS should also consider the potential challenges that might
occur due to this cooperation and build a contingency plan to prepare for unlikely events. This
would allow CS to make the most out of this cooperation.