A3 Human Resources and Business Decisions
Human resources are the people who work for an organisation. Their knowledge and skills are a key asset and contribute to the production, quality and efficiency of the business. The human resources department of an organisation are responsible for ensuring there are the right amount of staff with the right knowledge and skills to support the production of high quality goods and services in a profitable manner.
Recruitment refers to the process of analysing the skills requirements of an organisation, advertising a job position, interviewing and selecting an appropriate candidate to offer a position
Training is the methods used to develop the skills of existing staff in order to perform their roles to the highest stabdard. HR will manage the training needs for staff from their initial induction to training on new skill needs that emerge as the environment changes. This may include training on using new machinery or improving IT literacy.
Contract management is a HR role where company representatives and employers agree to an exchange of work for remuneration in a legal document. This may involve some form of negotiation over remuneration and other benefits.
Remuneration is the money given to workers in exchange for the work they do. This usually comes in the form of wages or salaries but cab also include commission, bonuses, share issue and overtime. Remuneration strategies match the amount of money paid with the level of skill, responsibility and workload being exchanged. Good remuneration packages will attract high levels of talent which supports recruitment strategies. However, staffing is often the highest cost in an organisation so overgenerous remuneration can reduce the companies profitability.
Managing flexibility in the workforce may involve analyzing the workforce needs of the organisation and planning a combination of full time, part time and contract staff.
