CCEA GCSE Business Studies Human Resources: a complete Unit 2 section overview

What this section demands

Human Resources is the first section of Unit 2 Developing a Business, examined in the 1 hour 30 minute written paper. It looks at how a business finds, develops and keeps its people: recruitment and selection, training and appraisal, and motivation. The exam rewards precise terms, accurate examples and, above all, the ability to recommend and justify an approach for the business in the stimulus. This overview ties the dot-point pages together.

Recruitment and selection

Recruitment finds and attracts suitable people through stages: identify the vacancy, write a job description (the job) and person specification (the person), advertise, receive applications, shortlist, select and appoint. Internal recruitment fills a post with an existing employee (cheaper, quicker, motivating, but no new ideas); external recruitment brings in someone from outside (wider choice and fresh ideas, but costlier and slower). Selection methods include interviews, tests, practical tasks, assessment centres and references, and using more than one reduces the risk of a poor choice.

Training and appraisal

Induction training settles new starters. On-the-job training happens at work while doing the job (cheap, relevant, but bad habits can spread); off-the-job training happens away from the work position (teaches new skills, but costs more and takes staff away from work). Training benefits the business (productivity, quality, retention) and the employee (skills, confidence, promotion), against a cost in fees, time and the risk staff leave. Appraisal is a regular review of performance to give feedback, set targets and identify training needs.

Motivation

Motivation is the willingness to work hard, and a motivated workforce is more productive, gives better service and is less likely to leave. Financial methods reward with money: wages and salaries, bonuses, commission, piece rate and profit sharing. Non-financial methods make work satisfying: job enrichment, job rotation, teamwork, fringe benefits, praise, training and promotion. Financial methods give a clear immediate reward but their effect can fade; non-financial methods often cost little and last longer, so the best approach usually combines both once pay is fair.

Check your knowledge

A mix of recall questions covering the whole section. Attempt them, then check the solutions.

1. Define a job description. (2 marks)
2. State one advantage of internal recruitment. (1 mark)
3. State two methods used to select candidates. (2 marks)
4. Define induction training. (2 marks)
5. Explain the difference between on-the-job and off-the-job training. (2 marks)
6. State one purpose of appraisal. (1 mark)
7. State two financial methods of motivation. (2 marks)
8. Give one non-financial method of motivation. (1 mark)