OCR GCSE (9-1) Business (J204) · Spec 3.1, 3.2, 3.3, 3.4, 3.5, 3.6 and 3.7
People in business
Read the notes, then try the questions. Each one is marked the moment you press Check, and shows the right answer and why.
Key ideas
- The human resources (HR) function identifies and meets the business's need for staff. It handles recruitment, training, retention and keeping to the law.
- A structure shows who is in charge of whom. Chain of command is the line of authority from top to bottom. Span of control is the number of people a manager is directly responsible for.
- The best communication method depends on the message. A text suits a quick reminder. A meeting suits a group discussion. A letter suits formal notice. Digital methods are fast but can be less private.
- Selection methods include interviews, tests, group activities and references. A practical task that measures skill is a test.
- Financial motivation includes pay and profit sharing. Non-financial motivation includes praise and award schemes. Retention means keeping good staff.
- Training includes induction, on-the-job training (at the workstation) and off-the-job training (away from it). Apprenticeships are paid jobs that include training towards a qualification.
- Employment law gives workers rights such as a contract, equal chances when applying (no discrimination), paid holiday and limits on working hours.
- Structures can be tall (many levels) or flat (few levels). Delegation means passing authority for a task to someone below you. Ways of working include full-time, part-time, flexible, temporary and self-employed.
- Businesses recruit to replace leavers, to grow, or to fill skill gaps. Recruitment can be internal or external. Fringe benefits, such as a staff discount, are financial motivation. A good working environment is non-financial.
Key terms
- Human resources (HR)
- The business function that finds, trains and looks after staff.
- Span of control
- The number of workers a manager is directly responsible for.
- Chain of command
- The line of authority from the top of a business down to the workers.
- Profit sharing
- Giving employees a share of the profit as a reward.
- Apprenticeship
- A paid job that includes training towards a qualification.
- Discrimination
- Treating someone unfairly because of a personal feature, such as gender. It is against the law in recruitment.
- Delegation
- Passing authority for a task to someone below you.
Common mistakes
- Putting HR tasks in the wrong function. Recruiting is HR, pricing is marketing, accounts are finance, and making the product is operations.
- Calling an apprenticeship unpaid work experience. Apprentices are employed and paid while they learn.
- Writing "morale" or "happy staff" as the whole analysis. You must go on to say what that means for the business, such as lower staff turnover or better service.
- Saying part-time workers have no right to holiday. Employment law protects them too.
Exam tip
A 3-mark "Analyse" has marks that depend on each other: show you understand the idea, apply it to the business in the text, then give an impact on the business. Do not aim your impact only at employees or customers. A "Recommend" for 3 marks needs a decision and a comparison that says why it is better than the alternative.
Free practice questions
7 questions, 16 marks. Answer, then press Check. The marking guide explains how the marks are worked out. Nothing is saved.
- Question 1 · Multiple choice[1 mark]
What is the main purpose of the human resources (HR) function in a business?
- Question 2 · Matching[4 marks]
Match each human resources task to the example that shows it.
- Question 3 · Matching[4 marks]
Match each method of communication to the situation it suits best.
- Question 4 · Multiple choice[1 mark]
A garage asks applicants for a mechanic's job to find a fault on a real engine while a manager watches. This is a selection:
- Question 5 · Multiple choice[1 mark]
A building firm gives every employee 2% of its yearly profit, shared out equally. This is an example of:
- Question 6 · Multiple choice[1 mark]
What is an apprenticeship?
- Question 7 · True or false[4 marks]
Decide whether each statement is True or False.
1. An employer can refuse to employ someone because of their gender.
2. A contract sets out terms such as pay and hours of work.
3. Part-time workers have no legal right to holiday.
4. The law can limit the length of the working week.