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Functional areas and human resources
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Larger businesses are split into departments, each with its own job. Human resources looks after the workforce.
The functional areas
Human resources (HR): looks after people.
Finance: wages and salaries, cash-flow forecasting, budgets and accounting.
Marketing: market research, product planning, pricing, promotion, advertising, customer service, public relations, packaging and distribution.
Production: manufacturing, product design, quality control and stock control.
Finance: wages and salaries, cash-flow forecasting, budgets and accounting.
Marketing: market research, product planning, pricing, promotion, advertising, customer service, public relations, packaging and distribution.
Production: manufacturing, product design, quality control and stock control.
What HR does
Workforce planning: how many staff, with what skills, will be needed.
Recruitment, selection and training.
Health and safety and staff welfare.
Industrial relations: relations between managers and workers or trade unions.
Grievance procedures: how an employee complains about the employer. Disciplinary procedures: how the employer deals with an employee's poor conduct.
Recruitment, selection and training.
Health and safety and staff welfare.
Industrial relations: relations between managers and workers or trade unions.
Grievance procedures: how an employee complains about the employer. Disciplinary procedures: how the employer deals with an employee's poor conduct.
Dismissal and redundancy
Dismissal: an employee is sacked, for example for serious misconduct or not being able to do the job after warnings.
Unfair dismissal: sacking for a reason the law does not allow, such as discrimination or being pregnant.
Redundancy: the job is no longer needed, for example after a factory closes. It is not the employee's fault, and they may receive redundancy pay.
Unfair dismissal: sacking for a reason the law does not allow, such as discrimination or being pregnant.
Redundancy: the job is no longer needed, for example after a factory closes. It is not the employee's fault, and they may receive redundancy pay.
A shop closes a branch and its 12 staff lose their jobs. Is this dismissal or redundancy?
- The jobs no longer exist.
- It is not because of the staff's conduct.
Answer: Redundancy
Functional areas: HR, finance, marketing and production. HR covers workforce planning, recruitment, training, health and safety, welfare, industrial relations, grievance and disciplinary procedures, dismissal and redundancy.
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