Video resource: Do bonuses work as an incentive for better performance?
A timely short video here from the BBC looks at the way that a simple activity-related bonus improves productivity in a small drilling business. Employees and management seem happy at D-Drill. But, can the use of much larger-scale bonuses in financial services be justified in the same way? A great starting point for discussion with students…
read more...»Happiness in the workplace still proving elusive
60 years ago we worked 30% longer and took half as many holidays. For most, pay was poor. Discrimination in the workplace was widespread, and permitted by law. Work was often hard, and for working class men it was often dangerous too. So it’s a sobering thought to think that several decades later, measures of anxiety in the workplace have risen, to the point that stress has replaced back pain as the most common cause of long-term sick leave, according to The Guardian. What’s going wrong?
read more...»Leadership in a multinational business - what leadership style works best?
This is an interesting blog entry from Pekka Viljakainen, an entrepreneur from Finland who sold his IT consulting business to a multinational Tieto. Some useful insights here for students wanting to develop their understanding of how the challenge of leadership changes as a leader’s responsibilities become more complex and cross-border.
read more...»Who has what it takes for this job description?
Here is a real job description for a job vacancy currently being handled by head hunters. The job? Head Coach for the England Rugby Team. A great example of how the functional areas of a business (in this case HRM) link through the the corporate (or strategic) objectives of an organisation.
read more...»Strategy Lessons from the Tesco Downfall
A highlight for me and many business teachers was the superb presentation given at the Business Teacher National Conference 2011 by Sir Terry Leahy who, just weeks earlier, had retired as CEO of Tesco leaving behind a stunning record of profitable growth.
Who would have thought that less than a year later, the shares of Tesco would fall by 16% in just one day (nicknamed “Tesco Thursday”) wiping £5bn off the value of Tesco shares. The sudden downturn in Tesco’s fortunes will be a rich source of business lesson material for months, perhaps years to come.
read more...»The cost of recruitment
The average cost of hiring a new employee in the UK is around £5,300 according to a new survey. That compares to just £2,200 in the US, suggesting that UK businesses are at a cost disadvantage when it comes to the costs of recruiting staff…
read more...»Why is productivity rising in the US?
Productivity – usually expressed in terms of output per worker – is a really important term in business. In fact, it’s up there near the top of the list of the most important measures of business efficiency. So is it good news that productivity continues to rise (at least in the US)? And what forces are driving this improvement?
read more...»Keeping the ageing workforce healthy
If we are all to work until our late 60’s, or beyond, how much will the workplace need to be adapted to ensure that older workers can continue to contribute fully to the bottom line of their employers profits? The World at One today carried a 4-minute report from a BMW factory in Germany where works councils, unions and employers are collaborating to ensure that the factory is a healthy place that allows employees of all ages to work at the optimum rate, without holding up the production line and with as little physical and psychological stress as possible.
Sadly I cannot find this as a stand-alone report on i-player. However, the full programme is available here for the next 7 days - this report starts 37 minutes into the programme.
Would you work harder - for nothing? The hidden costs of employment fear
In one sense, employers have never had it so good. Not only do they have a vast and growing pool of unemployed people from which to select. But, their employees are also likely to be working harder, putting in unpaid overtime and keeping their heads down in times of great uncertainty for those in work. That is the conclusion of a new survey reported here in the Telegraph.
read more...»BUSS3 Quiz on Human Resource Strategies
Here is a ten question revision multiple choice quiz on some key terms in BUSS3 Human Resource Strategies created using Zondle
read more...»Unemployment and motivation
What a bleak picture for the job prospects of millions of people in the UK in 2012. Two separate surveys - one from the CPID and another from totaljobs.com - both predict a dire 2012 for employment in the UK. Unemployment is predicted to move towards 3.0 million as further public sector job cuts are not matched by employment growth in the private sector.
The CIPD (the professional organisation representing HR directors and managers) makes a link between rising unemployment and worsening employee motivation. Their logic is pretty simple. The doom and gloom surrounding prospects for the economy feeds directly into greater uncertainty amongst those in work. The pressure of lower demand rising costs forces employers to squeeze pay, resulting in employees experiencing a continued squeeze on their take-home pay, with the cost of living still set to outpace wages, despite expected falls in inflation.
Those out of work face a desperate challenge to find employment. Those in work face uncertainty about their job prospects and pay. A miserable situation in which to enter a new year.
Investment in People - Google and Human Capital
Here is a link to a recent article on Google’s approach to investment in people. Written from a Google perspective inevitably there are none of the criticisms that others have made of human resource management in the Googleplexes around the world.
However, the article is useful in explaining the huge emphasis that Google places on being transparent with their workforce and in giving employees freedom, autonomy and purposes in their jobs. I am sure A2 students will be able to draw some useful insights from reading through it.
read more...»Revision Presentation - Workforce Planning
This revision presentation examines the task and role of workforce planning. It considers the internal and external influences affecting the workforce planning activities of a business. It also looks at how a business might respond to a labour shortage or to an excess of labour.
read more...»German works councils enforce VW’s work-life balance!
Germany has long been noted for the strength of its trade unions, and the power of the works councils in manufacturing industries. Concerned about the blurring of the divide between work and home life, Volkswagen’s powerful works council has struck an agreement with management that most employees who use a company BlackBerry will be subject to new email restrictions. The company’s email server will cease routing messages 30 minutes after the end of an employee’s shift and will only begin sending mails again half an hour before the next working day begins.
read more...»It takes 20 years to build a reputation and five minutes to ruin it
“It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently.” Warren Buffett
When delivery firms are busy and drivers have a tight schedule to meet, there is a danger that corners are cut. A FedEx driver’s unorthodox actions, may cost him his job and damaged the firm’s reputation for reliability, after a disgruntled customer uploaded footage of the delivery of a computer monitor.
Now FedEx is under pressure from the customer and the media who will be watching how it limits the damage to its reputation.
The clip although it may emphasize the importance of training, and corporate culture, the actions of individuals who work for a firm have a bearing on its reputation, sales, profits and market share. A firm is only as good as the people it employs, discuss.
Managing an ageing workforce
2011 has certainly raised a number of Business issues right to the top of the political and social agenda. One is the gradual realisation that our society is definitely ageing. It’s a cause for great celebration, but one obvious consequence is that we can’t really afford to fund generous pensions for a huge group who may be drawing that pension for thirty years. This means that it’s likely that we will have longer working lives than our parents.
As firms recognise this fact, they too are having to adjust their human resource plans.
read more...»Functional recipes (strategies) for success at McDonalds UK
Love them or loathe them, it’s hard to deny that McDonalds has really got its act together in the UK and is thriving in a tough environment for consumer spending. This excellent article from the Independent features an interview with Jill McDonald (no relation to the original founder!) describes some of the key functional strategies that the business has adopted which are credited with improved business performance.
Lots for business students (and their teachers) to get their teeth into here. Among the key strategies adopted are:
- Redesign and renovation of location interiors, with renewed focus on families (marketing & ops)
- Wider menu choice, including some healthier options (marketing & ops)
- Free WIFI (marketing)
- High level of training, including extended apprentice programmes
- Increased proportion of locations which are franchises (up from 40% in 2006 to 65% now)
Well worth a read.
Is this CSR Champion Acting Like Scrooge?
Unilever has a terrific reputation for its CSR activities. So some students might be a little surprised that it has hit the headlines for perhaps the wrong reasons?
read more...»Ho! Ho! Ho? No No No! Motivation and the Xmas Party
Bah humbug! Scrooge is alive and well - he is working in senior management for over half of the UK’s small and medium-sized businesses. A festive press release from Sage Accounting has reached me which reports that less than half of UK firms are planning on holding a Christmas party this festive season, despite a widespread recognition of the boost for staff morale they can provide.
read more...»Stakeholders argue over executive pay
It seems that this debate isn’t going to go away, which will surprise few of you. At a time when the economy is struggling, unemployment is rising and living standards are stagnant, why is one group in society getting so much wealthier? One pressure group, calling itself the ‘High Pay Commission’ (they are obviously trying to draw parallels with the government’s own Low Pay Commission) is in the news for publishing a report describing high executive pay as ‘corrosive’.
read more...»Recruitment Law - Don’t get caught on the hop
Here is an absolute gem of a clip from the comedy archives that works a treat in generating discussion about recruitment laws, in particular those regarding disability discrimination. Dudley Moore decides to audition for the part of Tarzan, but should he be considered for the role?
Workforce planning and the risk of excessive cutbacks
As part of their workforce planning, firms try to anticipate their future labour requirements and undertake an analysis of their existing workforce. This helps them see where there are gaps in their human resources and where training priorities need to be addressed.
My students have been going through this using the example of the HR implications of business expansion in the UK supermarket sector.
Of course, workforce planning for growth is one thing. Maybe more current is the depressing necessity for many firms to cut back on staffing. But this can go too far, as I read in a piece on Kellogg’s.
read more...»How flat should the organisational structure be?
An autumnal hat tip to Jill McAloon for recommending this superb edition of The Bottom Line (first broadcast on 3 Nov 2011) which spends the last 10 minutes considering the value of businesses having flat organisational structures.
read more...»Illustrate statistical concepts with salary trackers
I came across this useful website whilst researching the UK retail sector - though it can be used to gather data from any industry or sector in the UK…
read more...»The Simpsons and Financial Motivation
A big Homer hat tip to Richard Ackroyd for this lesson suggestion which neatly merges The Simpsons with financial motivation
read more...»De-layering: do firms need middle managers?
Middle managers have had a tough couple of decades. Many large firms sought to cut costs by removing levels of hierarchy from their organisational structure. Often it was the middle management ranks that felt the squeeze the hardest. Academics praised ‘flatter’ organisations and people like David Brent (from comedy TV series The Office) became the butt of jokes.
read more...»Industrial disputes - the UK data
The Timetric site is a terrific resource for business and economics teachers who want to call up some latest data onto the screen or whiteboard to generate some student discussion. I wanted to take a look at the extent of lost days arising from industrial dispute and found this chart which enables you to illustrate the long-term trend in industrial disputes…
read more...»Strategies for success on the beleaguered high street
This is a gem! A terrific article that is packed full of materials which students can use to develop their understanding of the strategic options open to high street retailers who are struggling with a significant downturn (once again) in consumer spending.
read more...»Who is hiring – and who is firing?
Sometimes averages can conceal the bigger picture. We all know that the business environment is tough, and the firms experiencing the most difficult trading conditions are likely to be those that have to cut back on the numbers that they employ. Here’s some international data to show which firms have cut their payrolls, and which are still expanding employment.
Of course, other factors may be at work, beyond the current levels of demand firms enjoy. Changing employment patterns often reflect other forces at work, especially technological and organisational change.
read more...»Corporate culture meets recruitment
A fascinating article here in the Telegraph which makes an interesting link between corporate culture and the recruitment process.
read more...»
