Chapter 20- Training

Quote
You have to expect things of
yourself before you can do them.
 Training
Reasons for not Investing In Training
• Fear employees will be taken by competitors who
will then benefit
• Minimise short term costs
• Training takes time to have the desired effect
Training • Don’t think that training works
Process of increasing the • Takes up time when more useful things can be done
knowledge and skills of the
workforce to enable them to
perform their jobs effectively. Induction Training
Reasons For Training Training given to new employees when they
• New employees (induction first start a job.
training) Features of induction training
• Improve productivity • A complete tour of the workplace
• Support higher standards • Introduction to job and direct work
• New technology/products colleagues
• Support employee • Introduction to senior staff
promotion/progression • Company history, aims and objectives
• Retraining • Health and safety training
•Company policies such a dress, code,
disciplinary procedures, holidays.
Significance of induction training
• Helps new recruit settle in and become familiar with their new
sorroundings.
•This will improve their productivity by eliminating anxiousness
 On The Job Training Off The Job Training

Training
Training that takes place place Training that takes place
while doing the job. Include way from the work area.
watching another worker, Advantages
mentoring, job & rotating. • Output is not affected if
Advantages mistakes are made
• Output is being produced • Learning cannot be
• Can be easy to organise distracted by work
• Cheaper than other forms of • Training could tak
training. place outside work hours
• Relevant because trainees if necessary
learn by actually training. •Customers and others
Disadvantages are not put at risk
• Output may be lost if workers Disadvantages
make mistakes and through • More expensive if
the time diverted to showing provided by specialists
the new recruit how to do • No output because
things employees do not
• May be stressful for the contribute to work.
worker especially working with •Some aspects of work
others cannot be taught off-the
• Trainer may be frustrated if job.
not paid • It may take time to
• Could be a danger to others organise
e.g. surgeon.
 Training
Effective Training
• Employees feel more loyal to the business
• Shows business is taking an interest in its workers
• Employees benefit from better promotion opportunities
• Employees achieve more at work
Benefits Of Training
The limitations Of Training
• Keeping the workers up to date
• High cost of training courses and
• Better productivity & higher
other resources.
quality • Stresses and distractions cannot
• Improved motivation and job be easily taught through simulation
satisfaction • Loss of output e.g. if workers are
• More flexibility through better skills involved in off-the-training during
• Iess supervision required work time
• Easier to implement changes • Employees leaving as they are
targets of rivals after being better
trained.
Keep workers up to date involves:
• New health and safety procedures
• New technology
• New takeover
• New working practices
• New legislation
 The importance of
Chapter 21- motivation in the
workplace

Quote

Strive for progress, not perfection.

 The importance of Herzberg Two-Factor theory
motivation in the •Certain factors at work willl give employees
workplace satisfaction they called Motivators while
would leave workers diassatisfied they are
Motivation
called Hygiene factors
The desire to achieve a goal
Motivators
Employee motivation importance in a
Achieve aims
business
change of promotion
• To attract the best possible workers
Responsibility
available.
Interesting work
•It is easier to retain employees.
Recognition
• It will lead to higher productivity.
Personal development
Hygiene factors
How can businesses influence motivation? Pay
• They can provide the human needs of the job security
workers. These needs include physiological, quality of supervision
social, or concern safety and security. staff realtionships
•Theories suggesting how to satisfy human Companypolicy
needs. They include:
Herzberg Suggestions
Herzberg Two-Factor theory,
• Find ways of giving workers job
Maslow's Hierarchy of needs
satisfaction to motivate them e.g. job
Taylor's theory of scientific management
enrichment.
•Hygiene factors if they are insuffficient
workers would develop poor motivation.
 The importance of
motivation in the Need Work can provide
workplace Physiological Adequate pay -subsidised meals
Maslow's Hierarchy of needs and accommodation
The needs of employees but arranged
Safety and Job security and safe working
them into a hierarchy showing that some
security conditions
needs are more important than others.The
needs include: Love and Team working, good
Physiological needs belonging communication systems and social
Safety and security needs facilities
Social needs Esteem Praise for doing good job; awards
Esteem needs and rewards for achievement
Self-actualisation Self- Opportunities to be challenged, be
actualisation creative, solve problems and make
decisions.

Note
• Once one set of needs have been satisfied
they are no longer no longer a motivator.
• If lower needs are not met, workers cannot
be motivated if a businss tries to meet
higher needs
•If business fails to meet a particular need,
workers are not likely to be motivated.
 Page 97
5 (a) (i) State one benefit to an employer of
motivating employees. (1)
 Less absenteeism
 Lower turnover
 Work harder/high labour productivity
 Page 97
5. (ii) Using Maslow’s Hierarchy of Needs, suggest
how the social needs of those now out of work
could be affected. (4)
 If they only have friends at work they they
would not socialise once employed. Employees
would not be happy as they are concerned on
how they are going to meet their basic needs
such as food.
 The importance of
motivation in the
workplace
Taylor's Theory of Scientific Management Taylor's recommendations
•He said that workers are motivated by • Use specialist tools and equipment
money •Follow a strict working precedure
•He also thought systems were not •Receive proper training
motivating. Therefore, they should be paid •Get breaksto recover from the physical
in piece rates i.e. according to what they strain of work.
produce. •Be paid according to what they produce.

Note Note:
• Taylor felt that employees Advantages Of Well Motivated Workforce
should get a 'fair day's pay for a • Better productivity
fair day's work. This meant that • Better quality
pay should be linked to output in • Lower levels of absenteeism
order to motivate workers. • Lower levels of employees leaving business
• Lower training and recruitment costs
Chapter 22- Methods of Motivation

Quote
The expert in everything was once a
beginner.
 Methods of Motivation
Why People Go To Work
• To earn money/ a living Time rates
• For job satisfaction Payment system based on the amount of time
• To belong to a group employees spend at work.
• Gross pay -pay before deductions such as tax
• For a sense of security
• Net pay-take home pay, that is,pay after
• To have a feeling of self worth
deductions, such as income tax pension
contributions or student loan repayments.
Remuneration is the money paid to • Overtime rate of pay above the normal rate to
an employee for providing their compensate employees for working extra hours.
services.There are different Note:
methods of remuneration which • Time rates are suitable payment method when
include time rates, piece rates e.t.c it is difficult to measure output per worker.
• Salary pay, usually to non-manual workers,
It aims to: expressed as a yearly figure but paid monthly.
• Help recruit and retain quality Wages Salaries
labour • paid weekly • paid monthly
• Motivate individuals and team • weekly/hourly rate • agreed annual amount
performances • based on skill or • based on grade
• Support organisational structure by experience structure
aligning it with roles and • extra pay made for • overtime not usually
responsibilities overtime paid
 Piece rates
Methods of Motivation • A payment system where workers receive an
amount of money for eah unit produced.
Probelms of Piece rates
Performance Pay Cannot be used if work cannot be measured
Payment system where workers receive The quality of work may suffer if people work too
designed for non-manual workers fast
• PRP works best if byusinesses use Workers might use dangerous parctices trying to
appraisal. This involves meeting with work too fast.
individual workers every year to:
Discuss progress at work Bonus payments
Assess whether targets have been • Payment in addition to the basic wage for reaching
achieved targets or in recognition for services.
Set new targets for the next year
Problems of Performance Pay
Some workers feel that it is unfair Commission
because appraisers may be inconsistent • Payment based on the value of sales, usually a
The financial incentives may not be high percentage of slaes made.
to motivate workers to improve
performance.
Some workers may feel that the Promotion
performance targets set are too •The business can reward workers if there is a
demanding clear route to the top which should always come
Some workers may blame other factors if with higher pay.
targets are missed.
 Methods of Motivation

Fringe Benefits Non Financial Methods Of

They are 'perks' over and above the normal Motivation
wage or salary. They include: • Businesses use non-financial
Use of company's facilities such as gym rewards for a number of reasons.
Company car They include:
Free counselling service Some people are not motivated by
Discounts when buying the employer's product money
Subsidised meals Some workers attach more
Free or subsidised accommodation importance to non-financial rewards
Free private health insurance Since more and more people work
Employee motivation in teams, individual financial
Reasons for rewarding fringe benefits rewards are less appropriate
 It may be cheaper rather than giving cash Some of the motivational theories
 Productivity may improve because there is suggest that non-finacial rewards
less staff absence are valuable means of motivation at
 some benefits help attract and retain better- work
qualified employees for a business
 some fringe benefits are performance related
Methods of Motivation

Non Financial Methods Of Motivation

• Empowerment/Autonomy: Giving
workers the authority to make choices
and decisions about the way they work.
• Praise: recognition for good work
• Promotion: promoting staff to a position
of higher responsibility
• Job enrichment: giving staff more
challenging and interesting tasks
• Job enlargement: giving employees
more tasks of a similar level of complexity
• Working environment: provide a safe,
clean, comfortable environment to work in
• Team working: provide opportunities to
work in teams
• Job rotation: movement of employees
through a range of jobs in order to
increase interest
 Page 65
5. The directors of Covers-up Ltd want to
increase the motivation of the workers.
They are considering the following two options.
• Option 1 – offer workers financial incentives
• Option 2 – offer workers non-financial
incentives
Select one of these options..........................
(c) Justify why you have selected this option and
rejected the other. (10)
 Possible answers
 (financial incentives)-e.g. share ownership, bonus, commission,
promotion, employee discounts.
 Share ownership will make employees work harder for the
business , as they feel that they are being rewarded for their
efforts. Having a share in the business gives them a feeling of
pride and satisfaction and the more the business makes the
higher the share price will increase and the value of the share
for the employee. Employees are more likely to remain with the
business as they feel the sens of belonging and value.
 Whereas non financial doesn’t always benefit the employee
they may not want to use the other incentives such as gym
membership. It may not be convenient to where they live or fit
in with their lifestyle and is therefore of no value to them. It
could cause problems within the work place with those who use
the facilities and those who don’t.
 Possible answers
 (non-financial incentives)- e.g. job rotation, team work,
medical insurance, sports facilities, business car
 Job rotation enables employees to gain experience of
different jobs within the business, this will give them variety
in the workplace. This helps employee retention within the
business which benefits the business as there is a lower
turnover of staff. The skills gained may enable the employees
to gain promotion.
 However some employees may prefer financial incentives, as
they receive benefits straight away such as being given a
bonus, because they may prefer money in their pay packet.
Motivation increases as they see an immediate gain. Some
people are only motivated by financial gain, and are not
interested in furthering their career or skills and knowledge.