Human Resource Management - Management function of using and developing people within a business to meet its organisational objectives. It involves workforce planning, recruitment and induction, training and development, appraisals and welfare of employees.

Workforce Planning - The management process of anticipating and meeting an organisation’s current and future staffing needs. Businesses forecast expected periods of growing and falling demands, and employ the appropriate number of staff to ensure they can meet that demand.
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Importance of Workforce Planning
‍Ageing Population - An ageing workforce poses a number of different problems: a lack of in-demand skills, reskilling challenges, and mass-retirement (high labour turnover).

‍Immigration Policies - A global rise in immigration policies will affect the quality and quantity of the working population a business can employ.

‍Cost Reduction - Increasing global competition forces organisations to maximise efficiency in order to reduce unit production costs. Organisations will want as productive and motivated of a workforce as possible.

‍Flexibility - The highly competitive landscape required faster innovation and quicker adaptation to market changes. A lean and flexible workforce is required to be able to adapt as quickly as possible.

Demographic Changes - Management will need to consider how to treat a diversified workforce equally, such as offering flexible working schedules, parental leave offers, and retirement assistance plans. A comprehensive understanding of the needs of different employees will be expected of management to avoid potential conflicts in the workplace over unfair working practices.
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Ageing Population - Adequate recruitment and training programs must be planned with a rising number of retirees and high labour turnover. An increased dependent population may require businesses to offer more flexible working schedules so that employees will be able to look after their retired parents.
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Changes in Consumption Patterns - Businesses must adapt to trending consumer preferences such as an inclination towards sustainable, environmentally friendly, and socially responsible businesses.
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Changes in Labour Mobility - Flexibility of workforce to relocate geographically or change jobs or occupations; affects the quantity and quality of the working population available to the business.
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New Communication Technologies - The rise of communications technologies, such as email, e-commerce, video conferencing, improve the efficiencies of human resource practices such as recruitment, training, meetings with clients or suppliers, and coordination with other offices of the organisation.
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Government Regulations - Human resources department is under constant pressure to operate within the law with continual introduction of new legislation that affect workplace compliance standards and trade union negotiations. Without adhering to regulations, the organisation will face legal punishment and may be forced to completely shut down.

Job Analysis and Person Specification - Determining the skills, qualifications and personal qualities required for competency in the vacant job post, as well as adequate financial and non-financial rewards for the potential employee who is hired.

‍Job Description - Outline the roles, duties and responsibilities of the job.

‍Advertise Vacant Post - Generally businesses have postings on social media platforms such as LinkedIn, local press and industry blogs. Other methods of recruitment include gathering employee referrals, or even scouting the employees of competitors.

‍Interview Shortlisted Applicants - Interviewing candidates provides the business an opportunity to learn more of the personal characteristics and traits, and perform a general qualitative analysis of applicants.

‍Induct New Employees - Introducing new employees to the corporate culture and general business practices to welcome them to the organisation.

Internal Recruitment - Hiring people already employed by the organisation to fill a vacant post. Usually occurs during either restructuring, where roles of middle management are divided amongst subordinates, or when an employee has earned a promotion.

Advantages
‍Less Down-Time - Employees are already familiar with the culture and operations of the business, and would require less time to adapt to their environment.

‍Lower Costs - Costs for recruitment agencies and advertising, as well as time spent interviewing and shortlisting candidates, will be saved.

‍Motivational - Employees will see the potential for career development within the organisation and will be motivated to increase productivity and performance to earn promotions as well. The prospect of career development will also enhance the reputation of the organisation to potential employees in the future, allowing the business to attract greater talent.

Disadvantages
‍Internal Politics - conflict could ignite among co-workers who feel unjust for not being rewarded the promotion ahead of their peers. This may result in a hostile work environment with less collaboration and support, as well as unengaged and unproductive employees who felt deserved of the promotion.

‍Smaller Pool - Promoting internally limits the talent pool available. Recruiting externally will enable access to a wider range of candidates who may potentially add more value to the organisation. Additionally, any promotion of internal staff is unlikely to stir significant change to operational efficiency, the business will only experience more of the same.

External Recruitment - Searching outside of an organisation’s current employee pool to fill job vacancies.

Advantages
‍New perspectives - people hired straight from schooling or from other firms/industries may bring with them a foreign mindset that could allow them to find areas for improvements for the organisation that could potentially increase productivity and operational efficiency.

‍Larger pool of applicants - public advertising will increase the exposure of the vacancy listing and draw a larger pool of potential employees to choose the ideal candidate from.

Disadvantages
‍Greater degree of uncertainty - The recruitment process does not make time for understanding the full personality of an applicant to measure whether they would be an adequate fit for the organisation. The potential employee may also fail to adapt to the organisation’s culture or have polarising views that will cause conflict in the workplace.

‍Time-Consuming - Gathering applicants and running through a large pool will consume valuable management time.

Training - Providing opportunities for employees to acquire performance-enhancing skills and knowledge. Human resources is the most valuable asset of an organisation, so investing in talent and skill is vital to business growth through improved productivity and operational efficiency.
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Benefits
‍Enhanced Reputation - Investing in professional development of staff will grow a positive reputation of talent recognition and career development for an organisation. This will increase staff retention, especially as they grow more skilled and competent, and gives the organisation a competitive edge when it comes to recruiting top talent. The higher morale as employees feel valued and recognised will increase their loyalty to the business and their productivity.

Lowers Unit Production Costs - Employees whose skills and knowledge have a marked improvement after training will be more productive and efficient for the business, and may bring in new insights that improve business operations. This increases the output the business receives for the same salaries of the employees, thereby reducing its unit production costs.

‍Flexibility - Multi-skilled employees will enable the business to easily adapt to changing market trends and conditions, giving the business a competitive edge over bigger competitors who are not able to adapt as quickly. Having a multi-skilled workforce will also open opportunities to job enlargement and enrichment that will allow the business to reap greater productivity from each employee.

Drawbacks
‍Costs - Other than financial costs associated with training, which may never be recouped by the business, there is also the opportunity cost for what the employees could have been doing for the business in the time that they are in training.

Induction Training - A type of on-the-job training primarily aimed at introducing new employees to the organisation, to help them settle in and acclimatise to their new environment quicker.

‍Mentoring - A type of on-the-job training involving a partnership between the new employee and a senior colleague who can help the new employee gain and develop specific skills and knowledge for the job.

Advantages
‍Cost Effective - Business saves money from not paying for external specialist trainers, and the fact that staff members remain on-site means the business will not lose out on as much productivity as external training.
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Quicker Adaptation - Unlike off-site learning, where knowledge and skills taught are general, on-the-job training will teach employees strictly work-related skills and how they are applied to the job and the business.
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‍Morale Boost - New employees who are assimilated to the culture and working environment of the business will have a morale boost after feeling welcomed and valued in the organisation. This helps them adapt sooner, meaning they will be able to contribute to the organisation sooner.

Disadvantages
‍Incompetent Trainers - Internal trainers are not usually qualified to teach new employees, and their training may hence be incomplete. The domino effect of employees not having proper training on how to conduct their jobs properly can be costly for the business; they may have efficiency issues or make mistakes that could sabotage entire operations.

Reduced Productivity - Both trainers and trainees will not be able to devote all their time and effort to their responsibilities as a result of the training.

Cognitive Training - developing mental skills to improve work performance. Cognitive training usually focuses on organisation skills, problem-solving skills and communication skills to improve the mental health and capabilities of employees.

‍Behavioural Training - Deals with identifying functional issues that could improve performance in the workplace by developing behavioural change in the workforce. An improved behaviour from all employees will enhance cooperation and a sense of belonging in the organisation, thereby boosting staff morale.

Advantages
‍Reduced Distraction - Employees undergoing training can remain focused on honing their skills and gathering knowledge without the burden of job-related troubles. This will enhance the effectiveness of their training, allowing the business to reap more rewards.

Specialist Training - Specialist trainers will be more able to instruct and pass on information and skills more effectively. This reduces the time required for employees to learn, and improves the depth of the knowledge they gain from the training.

Disadvantages
‍Detachment from Workplace - Although the employee benefits from reduced distractions, the business will endure the loss in productivity and gap in operations with the employee gone. This may result in a loss of output, and could prove costly if the employee sent for training is in middle or upper management.

Appraisal - a formal assessment of an employee’s performance in fulfilling his/her job based on the tasks and responsibilities set out in their job description. Appraisals are used to assess an employee's performance so as to identify areas for improvement.

Advantages
‍Training - Managers have an objective overview of the strengths and weaknesses of the staff, allowing the manager to identify potential training programs for employees or rewards for performance.

Reward Evaluation - Appraisals can be used as part of performance evaluation to assess adequate pay levels for employees, based on their abilities to fulfil the tasks and responsibilities of their job.

‍Clarify Expectations - Employees will gain an understanding of the demands of their job, and what it takes to earn a bonus or a promotion.

Disadvantages
‍Negative Work Environment - Critiques may offend employees and create a hostile work environment that damages staff morale and hence productivity.

Formative - A planned and ongoing process of monitoring to provide feedback that employers can use to inform employees about what to do to improve their work practices. The goal of formative appraisal is to monitor the performances of employees in order to help employees identify their strengths and weaknesses, and help managers recognise employees' areas for improvement.
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Summative - A written description of an employee’s performance at work, summarising personal performance and achievements during the year. The goal of summative appraisal is to evaluate the performance and contribution of employees by comparing this with a predetermined standard or benchmark.
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360-degree feedback - Gathering evidence about an employee’s job performance from different levels of authority: peers, subordinates, line managers, and other parties the employee is in direct contact with (suppliers, customers, etc.). It allows people to understand their effectiveness in their role as an employee, a line manager, a colleague, etc.
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Self-Appraisal - Employees appraising themselves according to predetermined criteria. This gives employees an opportunity to express their strengths and identify their own weaknesses, which will make addressing their weaknesses much more of a personal endeavour.

Dismissal - Termination of a worker’s employment due to incompetence or a breach of contract. Unfair dismissals can be protested if they are not due to clear incompetence, gross misconduct, or legal issues.
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Redundancies - When a business can no longer afford to employ the worker or when the job ceases to exist. Businesses must prove that the job or role of the employee no longer exists if they want to avoid legal action for wrongful dismissal.

Outsourcing - The practice of transferring internal business activities to an external firm as a method of reducing costs. Outsourcing non-essential operations is an opportunity for businesses to gain a cost advantage in the face of intensified competition as a result of globalisation.
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Advantages
‍High Quality - Outsourced organisations hire specialists to complete tasks with a high quality standard. Businesses are also able to choose from a variety of subcontractors, this competition will drive outsourced subcontractors to offer competitive rates and higher quality service.

Labour Costs - Reduces labour costs as outsourced workers are not employed by the organisation. This means the business does not have to cover insurance, sick leave, pension, or bonuses for surpassing expectations.

‍Efficiency - Businesses typically outsource non-essential operations, allowing businesses to focus resources on core activities.

Disadvantages
‍Quality Management - Businesses do not oversee operations of subcontractors. If the subcontractors are revealed to have conducted unethical practices, that would implicate the businesses involved. The quality of the work produced by the subcontractors is ultimately unknown until the business receives the finished product from them. If the subcontractor fails to meet quality standards set by the business, or fails to meet the deadline, an organisation’s entire operations could be delayed.

‍Redundancies - Outsourcing will initially cause redundancies in the organisation. The reduction in job security will negatively impact staff morale and hence productive efficiency.

Offshoring - Involves relocating business activities and operations abroad, either through relocating offices or outsourcing to external organisations. Offshoring allows businesses to maneuver protectionist measures of certain governments, such as environmental and labour protection laws, or higher taxes and trade restrictions of a certain country.

Reshoring - Returning business operations and practices back to the organisation’s country of origin. Reshoring may be financially detrimental for businesses, but government incentives such as tax benefits or changes in social opportunities such as the promotion of local employment may help the business in the long run.

Accountability - Shows who is held responsible for each particular job or task.

‍Responsibility - Shows who oversees who, and in what role or capacity.

Delegation - Passing on of control and authority to others. As operations grow in scale and managers are tasks with greater roles and responsibilities, they have to begin relinquishing non-essential tasks to maximise productivity in the essential operations.

Advantages
Manager saves time and effort, which can be expended on more essential tasks and responsibilities.

Delegation can motivate and develop employees, and boosts the morale of those that feel trusted and that their talents have been recognised.

Disadvantage
Poor delegation to staff who are not competent will cause confusion and a feeling of inadequacy.

Span of Control - Refers to the number of people who are directly accountable to a manager. A span of control is either wide or narrow:
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‍Wide Spans of Control - Few layers in the hierarchy, hence less middle management and lower costs. A flat structure also means that communications between different levels of the hierarchy is more efficient.
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‍Narrow Spans of Control - Managers are responsible for fewer subordinates, thereby making it easier to control smaller teams working on specific tasks.

Hierarchy - An organisational structure based on a ranking system of authority and responsibility. A person directly above an employee on the following hierarchical level is known as a line manager. A hierarchical structure delineates clear lines of communication and chains of command within the organisation, and provides a clear path for career development that could motivate employees.

Chain of Command - The formal line of authority through which orders are passed down in an organisation. The more layers there are in an organisation’s structure, the longer the chain of command.

Bureaucracy - The execution of tasks governed by official administrative and formal rules of an organisation. It is a means of administratively organising large numbers of employees, tasks, and objectives.

Delayering - the process of removing one or more levels in the hierarchy to flatten or restructure the organisational structure.
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Advantages
‍Cost Reduction - The purpose of delayering is to remove middle-management, leaving the business with fewer employees while maintaining productivity.

‍Communication - A shorter chain of command with a flatter structure will improve the speed of communication through layers of the organisation, and coordination between layers.

‍Motivation - A flatter structure encourages delegation and empowerment as wider spans of control and more tasks for line managers will encourage delegation to subordinates.
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Disadvantages
‍Job Security - Decrease in job security increases anxiety and reduces staff morale and productivity.

‍Increase in Workload - An increase in workload with greater roles and responsibilities will decrease morale if staff are not adequately compensated.

Centralised Structure - Decision-making power is concentrated within higher management, who hold onto greatest authority and responsibility.

Advantages
‍Decision-making - Faster decision-making as there are less people to consult.

‍Control - Greater control and coordination by upper-management to steer the direction of the organisation’s growth.

Disadvantages
Incontinuity - The organisation becomes over-reliant on the upper-management for decision-making and direction, which leaves the business vulnerable if the upper-management are unable to fulfil their tasks.

Demotivating - A lack of delegation and opportunities for employees to have decision-making authority will make them feel under-valued and unappreciated.

Decentralised Structure - Decision-making authority and responsibility is shared among layers of management.

Advantages
‍Improved Morale - This structure encourages delegation and empowerment, which motivates employees who feel trusted and that their talents are recognised by the organisation.
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‍Improved Collaboration - Collaboration across teams and departments are common among decentralised organisations, who can synergise to generate innovative ideas.

Disadvantage
‍Chance of Mistakes - Trusting employees with roles and responsibilities related to operations is a risk that must be monitored closely to avoid mistakes that may delay production.

Tall organisational chart - Many levels in organisational hierarchy with a narrow span of control. Tall organisational charts will have more effective coordination and collaboration within its small teams, and motivates employees with a clear path for career development.

Flat organisational chart - Fewer levels in organisational hierarchy with wide spans of control. Flat organisational charts will have faster communication through the chain of command for decision-making, encourages delegation to subordinates, and is cheaper to operate with fewer middle management roles.

Organisation by Product - Large organisations commonly divide workforce by their responsibilities within the product portfolio of the business.

‍Organisation by Function - Most organisations are divided into the separate functions, such as human resources, marketing, operations and finance.

‍Organisation by Region - Multinational companies may divide itself by geographical region, with different head offices in different regions.
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Project-based Organisation - Organisation divided around particular projects, with each project led by a project manager supported by a team of workers. It is common in firms that use projects as the dominant form of business, such as engineering and construction firms.

Handy’s Shamrock Organisation - Believes that employees are the most valuable resource of any organisation, and that their needs must be met through methods such as job enrichment and flexible working practices. It also emphasises a dynamic organisational structure that changes according to the fluctuating operational scale of the business.
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Three Groups of Workers
‍Core Staff - full-time professional workers, usually upper and middle management, that oversee the daily operations of the business and are crucial to its survival and growth.

‍Peripheral Workers - part-time, temporary and portfolio workers who are employed as and when they are needed. This group forms the flexible workforce for the organisation, allowing it to adapt to changing market demands.

‍Outsourced Workers - Non-essential or specialised operations of the organisations are outsourced to external subcontractors, reducing the workforce of the organisation.

Planning - Managers are responsible for setting the course of action to achieve organisational objectives, by setting tactical and strategic objectives.
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Communication - Managers must instruct and coordinate their teams and subordinates to maximise efficiency and achieve objectives, and build motivation and morale among the workforce.
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Coordinating - Managers have the responsibility for ensuring that the different functional departments strive to achieve the goals of the organisation.
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Controlling - Managers are responsible for the performance, health and safety of their teams.
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Organising - Managers must organise and allocate resources to different functions of operations, and delegate tasks to workers to maximise productive efficiency.

Risk-Taking
‍Managers focus on the completion of tasks, and follow predetermined rules and policies set by the organisation to keep order and control over their team.

‍Leaders focus on motivating followers to achieve goals and challenge the status quo in order to move themselves and the organisation forward. They foster a culture of change and independence.

Coordination
‍Managers direct and control subordinates, keeping an eye on them as they complete their tasks. Subordinates listen because of the manager’s authority.

‍Leaders inspire followers to act with their own actions, advocate a more laissez-faire approach as they trust subordinates to complete tasks to the best of their abilities. Leaders are listened to because of mutual respect and admiration.

Autocratic Leadership - A leader who retains all decision-making power and prefers to not delegate any responsibilities to subordinates. Autocratic leaders lack trust in subordinates’ ability to align themselves with the organisation’s vision, and hence prefer to govern all tasks.

Paternalistic Leadership - A leader who treats their employees as if they were family; focusing on nurture and development of employees and guiding them through consultation. Paternalistic leaders have immense trust in the abilities of subordinates, and act in the best interest of all employees.

Democratic - A leader who involves employees in the decision-making process, entrusting them to make informed decisions that are aligned with the vision and core values of the organisation. Democratic leaders place heavy emphasis on delegation, and organisations usually enjoy high staff morale as employees feel appreciated.

Laissez-Faire Leadership - A leader who has minimal direct input in the work of employees, allowing subordinates autonomy to make decisions and complete tasks on their own. Laissez-Faire leaders avoid micro-management, and are satisfied as long as employees complete all tasks and fulfil responsibilities entrusted to them.

Situational Leadership - A leader who does not adopt a single ideology, and tends to vary their leadership style according to the conditions of the situation at hand. For example, they may adopt a more autocratic style for major decisions and tasks that have a direct impact in operations, while adopting a laissez-faire approach to non-essential tasks and responsibilities.

Assumes that employees are primarily motivated by money, and that productivity is improved by setting output and efficiency targets related to pay, otherwise known as a piece-rate payment system.
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Advocates an autocratic leadership style, whereby all tasks are micromanaged by managers and workers have no input into how operations are conducted. The theory promotes the division of labour to specialise all operations in order to maximise efficiency.

Maslow believed that people are motivated by psychological needs, rather than by just money. People have to satisfy lower level needs, such as food and water, before progressing to higher level needs, such as societal status.
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Physiological Needs - Needs that must be met for survival. Workers need to minimally earn enough to guarantee survival.

‍Security Needs - Demands necessary for people to feel safe and stable, such as predictability and order. After workers have guaranteed their basic needs for survival, job security and retirement security.

‍Social Needs - Human social desire to be accepted into a group or family. Once security is guaranteed, workers will need to feel part of a community, to feel valued and appreciated in the organisation.

‍Esteem Needs - The desire for social recognition and respect. When workers feel comfortable with their standard of living and sense of social belonging, the need to feel a sense of personal significance is next. The respect gained by authority and rank in organisational hierarchy can fulfil these needs for social gratification.

‍Self-Actualisation - The need to reach self-fulfilment through personal development, in order to reach their full potential. The highest level in Maslow’s hierarchy; once people are confident of their situation and who they are, they begin to yearn for personal growth in order to reach their full potential. Businesses can fulfil these needs by providing opportunities for development, through training, promotions, and offering autonomy.

All factors affecting motivation in the workplace can be categorised into either hygiene factors and motivators, which refer to needs that prevent dissatisfaction, and needs that increase satisfaction respectfully.

‍Hygiene Factors are aspects of work that do not motivate, but must be met to prevent dissatisfaction. Essentially, they are factors that fulfil basic human needs, such as physiological and security needs. Hygiene factors include organisational rules, regulations, policies, adequate working conditions, job security and adequate pay.

‍Motivators are factors that lead to growth and development of workers, and hence increase morale and performance. The theory believes that workers must feel fulfilled and valued, and have a sense of purpose within the organisation to feel motivated.
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Three Key Motivators
‍Job Enlargement - Offering variety in workload to make a jobscope more interesting.

‍Job Enrichment - Offering complex and challenging tasks to enable employees to push themselves to unlock their potential and feel a sense of achievement.

‍Job Empowerment - Offering autonomy and delegating responsibilities and decision-making authority.

Workers will naturally compare their efforts and rewards to those of others in the workplace, hence each worker should receive remuneration that justifies their efforts. The theory argues that workers will only be motivated if they receive adequate compensation for their output, in comparison to colleagues.
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Three Factors of Equity
‍Equity Norm - Workers expect an equitable remuneration for their contributions to the organisation.

‍Social Comparison - Workers determine what is fair based on comparisons to their colleagues.

‍Cognitive Distortion - Workers who feel under-compensated will alter their inputs, usually by putting in less effort, to seek a balance.

Pink distinguishes between Type X and Type I people: Type X people are motivated by extrinsic factors like money, whereas Type I people are motivated by intrinsic factors affecting their psychological needs.
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Pink’s theory delineates the intrinsic factors driving the success of Type I people, who are argued to outperform Type X people.

Intrinsic Factors
‍Autonomy - Offering decision-making authority to employees in the completion of tasks and responsibilities.
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‍Mastery - Offering opportunities for employees to grow and develop in the direction they wish.
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‍Purpose - Purpose maximisation is emphasised as the most important factor in Pink’s theory. Managers must clearly communicate the purpose of an employee’s efforts, and how they impact the organisation’s pursuit of its goals and objectives.

Pink’s theory acknowledges that without adequate baseline extrinsic rewards, like pay bonuses and perks, people cannot satisfy their basic human needs. But emphasises that financial remuneration and rewards are not and should not be the primary way of motivating personnel.

Salary - Financial rewards set at a fixed annual rate but paid on a monthly basis.

Wages - Rewards for labour services scaled against a measurable quantity of output, such as hours worked.

Commission - Payment to workers based on a proportion of sales or output contributed by a worker.Benefit: Creates an incentive to produce greater output.
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Profit-Related Pay - Usually an annual bonus to supplement a regular salary that is directly proportional to the profits of the organisation within the same time period.
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Performance-Related Pay - A reward for meeting performance-related goals, such as sales targets or success in a task.
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Employee Share Ownership Schemes - Rewarding employees with free or discounted shares in the company, allowing businesses to provide monetary rewards without sacrificing cash flow.
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Fringe Payments (Perks) - Guaranteed financial benefits for employees in addition to their wage or salary, such as health insurance, contribution to retirement fund, staff discounts, paid holidays and paid sick leave.

Job Enrichment - Offering complex and challenging tasks to enable employees to push themselves to unlock their potential and feel a sense of achievement. However, if employees are handed inexorable tasks, it may squash confidence and reduce staff morale.
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Job Rotation - A type of job enlargement that involves workers performing different tasks at the same level of complexity in a systematic way, usually rotating with colleagues. The intention is to provide more variety and avoid repetition and monotony for employees.

Job Enlargement - Broadening the number of tasks and responsibilities of an employee, although the job itself remains essentially unchanged. The intention is to reduce monotony and boredom by adding more miniscule tasks to keep the employee busy. However, burdening employees with too much of a workload will cause dissatisfaction if they are not compensated with financial remuneration or other rewards.

Empowerment - Giving decision-making authority to employees, allowing them the autonomy to execute their own ideas in the completion of tasks. Empowerment boosts motivation as workers gain accountability over the quality of their work, and is achieved through delegation.

‍Purpose - Inspiring employees with the vision and mission of the organisation, and communicating how their individual efforts can have an impact on the organisation’s direction, achievements, and the greater community, will make them feel valued and have a strong sense of belonging within the organisation. This feeds their morale and leads to greater productivity.

Organisational Culture - What is considered “normal” to an organisation, such as the way that workers behave within the business. Culture is based on the beliefs, values and attitudes of the management of the employees, and represents the personality of an organisation.

Nature of the business - Culture is shaped by the purpose and direction of the business, derived from its mission, aims and objectives. For example, a cut-throat business chasing profits will have a different culture from a philanthropic NGO.

‍Organisational structure - Firms with flat structures have more collaboration and generally greater camaraderie among the workforce, whereas taller structures tend to be more bureaucratic.

‍Rewards - The tendency for employees to be rewarded for their efforts will decide the unity and sense of belonging within the organisation, which in turn influences the culture of motivation and productivity.

‍Management styles - Organisational culture is heavily dependent on management and how they lead the company. With an autocratic management, there is likely to be clear division between subordinates and managers, but with a democratic or paternalistic management, there will be strong cohesion among all employees.

Artefacts - Superficial and behavioural aspects of an organisation that can easily be seen, but that are not incorporated in the daily lives of employees. Examples include the dress code, an organisation’s history, etc.

‍Espoused values - The written core values that define an organisation. They are usually derived from the vision and mission statement, brands, and slogans.

‍Shared basic assumptions - The culture that is not explicitly stated but is very much integrated in the organisation. They are the actual values demonstrated by the actions of management and employees.

The belief that different cultures are required for different business functions. He categorised the types of cultures into 4 genres.

‍Power Cultures - When there is a dominant individual or group holding decision-making power, reminiscent of a centralised organisational structure and autocratic leadership.

‍Role Cultures - When job roles and titles are paramount, such as in a hierarchical organisational structure.

‍Task Cultures - Where the focus is on getting results from the work done no matter how it is done, reminiscent of a laissez-faire leadership style where micromanagement of tasks is minimised and delegation is common.
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‍Person Cultures - When staff in similar positions with similar expertise form groups to synergise their knowledge and skills. Commonly found in organisations that advocate collaboration and community spirit.

Factors Defining Organisational Culture
Feedback and Reward - The speed of feedback and level of rewards within an organisation. If feedback is immediate, any unproductive or improper conduct is addressed and a negative culture will be avoided.

‍Risk - The degree of uncertainty and level of risk-taking in the organisation. High-risk organisations include emergency services and stock brokerage firms, where a single mistake could prove costly.

Possible Organisational Cultures
Tough-guy macho - High risk, rapid feedback. Fast-paced and highly stressful organisations.

Work-hard, play-hard - Low risk, rapid feedback. Large and fast-paced customer orientated businesses such as restaurants and hotels. Stress is more likely to come from scope of work than risk.

‍Bet-the-company - High risk, slow feedback. Stressful as rewards do not manifest immediately after taking risks, thereby increasing uncertainties (pharmaceutical companies, oil exploration, R&D, etc.). Organisation is forced into focusing on long-term

‍Process - Low risk, slow feedback. Typically highly bureaucratic organisations where people get caught up in how things are done rather than focusing on the completion of tasks (government, insurance companies, etc.).

Adaptive Cultures - Organisations that are open and receptive to changes; a trait of organisations who prioritise innovation and risk-taking. Adaptive cultures are associated with a focus on growth and development of both the business itself and its employees. Organisations tend to constantly seek improvement in operations and invest in training employees, leading to a community-driven and collaborative culture.

‍Inert Cultures - Organisations that are resistant to change and are inward looking. Inert cultures are associated with authoritarian leadership styles and strictly top-down communication, with little focus on employee relations and the development of employees, leading to a toxic culture with higher turnover rates.

Sociability - The extent to which people have concerns for their colleagues. High-sociability is attributed to people-oriented organisations who promote delegation and the development of employees, whereas low-sociability is attributed to task-oriented organisations where productivity and maximising efficiency is prioritised.

‍Solidarity - The degree of unity in an organisation, such as whether people share the same values and are aligned in the vision of the organisation. High-solidarity aids harmony and collaboration in the workplace, whereas low-solidarity implies self-interest and survival take priority.

Power Distance - The extent to which subordinates expect and accept unequal power distribution within the organisation. A low power-distance reflects a culture of equality, whereas high power-distance usually reflects organisations with highly centralised decision-making.

‍Individualism vs Collectivism - The extent to which people feel they should care for themselves or should be cared for by others. It considers the extent to which people feel their situation is their responsibility to improve, or the responsibility of society and the government.

‍Masculinity vs Femininity - The extent to which a culture conforms to traditional gender values. Masculinity refers to values such as aggressiveness, competitiveness, ambition and selfishness. Femininity refers to values such as community, collaboration, and developing positive relationships.

‍Uncertainty Avoidance - The extent to which people in an organisation prefer predictable structured routines over flexible structures. It is an indicator for risk-aversion within an organisation, and willingness to adapt to changes.

‍Long-term vs Short-term Orientation - The extent to which an organisation is willing to make sacrifices in the present to reap benefits in the future. Long-term orientation is associated with larger organisations that are more financially stable.

Change in Leadership - Leadership styles have a significant influence on corporate culture, hence a change in leadership threatens the entire culture of daily life in the organisation.

‍Mergers and Acquisitions - Cultural clashes between integrating businesses are inevitable due to innate differences, such as the vision and mission of the businesses, as well as the traditions and practices of its employees.

Trade Union - an organisation whose members unite to protect their rights and welfare; members of a union tend to be united by either their place of work or occupation. The intent of unions is to strengthen employees in negotiations through collective bargaining, whereby the union is able to pressure employers with its overwhelming support.

Slowdowns - Employees agree to work at the minimum pace allowable and complete the minimum required of them under their contract. The intention is to reduce productivity as much as possible so that the business will face rising unit costs of production; this forces the hand of organisations unless they are willing to bear the financial costs of a slowdown. It is particularly effective during times of high seasonal demands or imminent deadlines.

‍Work-to-Rule - Similar to slowdowns, employees agree to withdraw any goodwill and do the absolute minimum they are legally required to do to avoid dismissal. Workers adhere strictly to all rules and regulations but reduce productivity and output as much as possible. Employers will not be able to legally discipline staff who are following contractual agreements, and could be forced into negotiations if they are unable to bear the financial costs of the drop in productivity.

‍Overtime bans - Employees agree to disengage in any overtime activity. Businesses often require employees to work overtime during periods of rising seasonal demands and imminent deadlines, so the refusal to work overtime could force the business into negotiations.

‍Strike action - Collective refusal from employees to work at all. Strike actions are usually reserved for major industrial unrest, and can only proceed when there is a guarantee of majority participation. Unions must legally submit a notice of intent to management before conducting the strike, but it is still nevertheless a very powerful tool, especially in fast-paced industries where a day of zero output could have a domino effect on the entire operations of the business (i.e. aviation, medical services).

Threats of Redundancies - Intimidate employees into giving up on fighting together with the union for fear of losing their jobs. Employers need not convince all employees, but convince enough such that the momentum of the union’s protests will be hampered.

‍Changes of Contract - Organisations can legally change people’s contracts of employment, if administered fairly. This could be seen as coercion as those who do not accept the new terms and conditions of the contract may simply be denied the opportunity to extend their employment.

‍Closure - Organisations may temporarily close the business as an extreme method of forcing the hand of unions. Employees will not receive wages if the business is closed, so it hands employees an ultimatum of whether the improved conditions they are fighting for is worth the risk of losing their job.

‍Lock-outs - Similar to a closure, but the business continues to operate, just without the employees involved in the dispute. The lock-out will eventually pressure employees to turn their backs on the dispute in order to return to their jobs and receive pay.

Conciliation - The parties involved agree to use the services of an independent mediator to settle the dispute. The mediator meets with the parties separately and negotiates with each party as a representative of the other party in an attempt to reach a mutual compromise. Conciliators usually get the parties to commit to the compromise in writing, making the resolution legally binding.

‍Arbitration - The parties involved agree to use the services of an independent arbitrator. The arbitrator judges and examines the arguments put forward by the two parties before deciding on an appropriate compromise that will be legally binding.

‍Industrial Democracy - Employees are given responsibilities and authority to complete tasks and become involved in the decision-making processes of an organisation. Employers benefit from a more cooperative workforce who will feel more engaged with the businesses and hence have an incentive to increase productivity.

‍No-Strike Agreements - Trade unions and employer associations could agree upon an agreement whereby neither party will take abrasive action during negotiation processes.

‍Single-Union Agreements - Occurs when an organisation agrees to participate in negotiation but only with a single labour union that represents all its workers. The benefit for the employer is that there will be fewer parties to negotiate with, and the decision reached with the union must be followed by all employees involved in the dispute regardless of their agreement with the union.

Self-interest takes priority over organisational objectives. Risk-averse employees will only care about the possible implications of change for themselves rather than the benefits it may bring to others and to the organisation.

Preference for familiarity will cause employees to resist new practices as they feel safe and secure with their current situation. The fear of being made redundant or failing to adapt to changes is justifiable in the uncertainty that change implicates. Businesses can only combat this fear by assuring employees of their value, and offering employees training and other opportunities to adapt to changes.

Education and communication - Comprehensive education of the details and possible ramifications of the change in question can quash the doubts and fears of employees who were resistant to the change. The earlier the organisation communicates and clarifies its plans with its stakeholders, the sooner they will understand the rationale, and the sooner they will get behind the idea and support the change rather than oppose it.

‍Participation and Involvement - Involving employees in decision-making will make them feel responsible for the direction and growth of the organisation, and enables them the opportunity to see management’s perspectives when it comes to change. Employees will also be less resistant to a decision that they had a direct hand in making.

‍Facilitation and support - Assuring employees that the business will facilitate their adaptation to the changes being implemented will reduce the fear factor that causes resistance. Facilitation can be done through training, or providing support systems for those who will be made redundant, or providing counselling services to those feeling anxious about how the change will affect their standard of living.

‍Manipulation and co-option - This approach involves appointing a representative to those resistant to change who the business will negotiate with. This allows the business to focus on converting the single representative’s perspective on the change, which will be much easier than convincing numbers of employees.

‍Explicit and implicit coercion - Managers who do not want to deal with employees resistant to change could resort to coercion to force staff into either accepting the change or leaving the organisation. Managers could resort to threatening employees with disciplinary action, dismissal, lock-out, or refusal of promotion.