Effective People Management
Remuneration
Motivation Theorys
Organisational structure
Payment Systems - methods of organising the payments of workers, such as piece rates or salaries
Communication
Chain of Command
Passing messages between people or organisation. These messages take place through a medium.
organisation charts
Centralisation
decenturalisation
One way communication: receiver cannot respond to the message
a type of business organisation where decisions are made at the centre or core of the organisation and then passed down the chain of command.
a type of business organisation where decision making is pushed down the hierarchy and away form the centre of the organisation.
Fax
Adverts
Time based system
Manual or blue collar workers - workers who do mainly physical work like an assembly line worker
Problems with centralisation -
it can take long periods of time to make decisions and respond to the needs of the market
Wages - tend to be paid to manual workers for working a fixed number of hours per week plus overtime
Leaflets
Two way communication: receiver can respond to the message.
UK workers tend to be paid wages on a time based system
benefits to decentralisation -
encourages workers to change quickly according to the business making changes to the environment.
it gives power to those who are closest to customer, suppliers and to the market.
Text messages
Emails
Phone calls
Talking
Paid 'so much' per hour worker
Written, visual, verbal
Overtime - time worked over and above the basic working week
usually a higher rate
a diagram which shows the internal structure of an organisation
Vertical communication - communication between staff of different levels in the organisational hierarchy.
Salaries - pay, usually of non-manual workers, expressed as a yearly figure but paid monthly
White Collar or Non manual workers - workers who do non-physical work, like an office worker or teacher
Horizontal communication - communication between staff of the same level in the organisational hierarchy.
it shows the hierarchy which is the structure of different levels of authority in a business organisation, one on top of the other. The most senior members of the company are at the top.
The person immediately above the worker to whom her or she reports to is called the line manager.
Channel of communication -
path taken by a message
Results-based system
paid per how much they produce
Importance of Communication
Piece rate - are paid for every item they produce; they get paid more if they produce more
Commission
Sales staff
payment system usually operated for sales staff where their earnings are determined by how much they sell
Customers - enjoy if they are able to communicate with the business.
Bonuses - addition to the basic wage or salary, for instance, for achieving a target
reward for doing well
Staff - understand what they need to do and when the deadlines are.
Either set by the company or agreed with the workers as part of the performance review
workers specialise in the jobs the do. Each is given a job to do and they need to know
What job they are supposed to do;
Who is in charge of them;
Who they are in charge of;
How they relate to the wider organisation
all of this can be shown in an organisational chart.
Staff motivation - improves when manages listen to suggestions.
group bonus may be given if a department performs well
Temporary and Freelance Work
Part-time - employees who work only for a fraction of the working week
the path (or chain) down which orders (or commands) are passed. In a company, this goes form the board of directors down to other workers in the organisation.
Full -time -employees who work the whole of the working week
The person at the top of the organisational pyramid is in a position of authority over workers lower down the pyramid. They can give orders to workers down the hierarchy their subordinates.
Therefore there is a chain of command form the top to the bottom.
Monetary tactics
Temporary Workers - workers who have no permanent contract of employment with a business and so tend to work only for a short period of time for an employer
- Piece rate, payer workers for everything they make.
- Higher wages
- Commission
Temporary contract; maybe daily, weekly or monthly
Non monetary tactics
used to cover emergencies and peaks in work
Span of contol
Sales director will supervise some workers (sales managers) then each of the sales managers controls other workers in their department. The number of people that a worker directly controls is called a span of control.
Freelance Work - workers who tend to be self employed and do particular pieces of work for a business as a supplier
paid to perform a particular task
- Holliday
The extent to which an individual gives their best at all times.
- Healthcare
- charity work
- Sabbaticals
they submit invoices to business
- Fringe benefits
Fridge Benefits - payments in kind over and above the wage or salary, such as a company car
not in the form of money
Importance of motivation:
Increase output - extra effort from workers
Groups, Teams and delayering
Improved quality - staff take a greater pride in their work.
some businesses have very long chains of command they try to solve their problem by delayering which is when the business changes the way it is organised by removing some of the levels of management and Changing job roles. They cut out large numbers of middle managers, pushing responsibility and decision making down the line.
A higher level of staff retention - staff want to stay with the business and don't take unnecessary days off work.
- Bonuses
Which Payment System?
- Time rate, paid of number of hours worked
what is possible?
cannot do piece rate for store manager
have to think of the role being done
Tradition
Workers do not like a change in payment system as they are worried they will get paid less
it varies how big it is depending on circumstances.
With a more complex supervision task there will be a smaller span of control
someone who produces a lot would not like to change from piece rate to time based system
Maslows hierarchy of needs
- Self Actualisation
- Self Esteem
Tax and other employment costs
- Social needs
Some payments systems are used because they reduce tax bill
- Safety
Fridge benefits
- Basic needs
Motivation
(most important)
(least important)
e.g. piece rate engourage people to produce more