CAIE A-Level Business AS: Human Resource Management

[Maximum number: 20]

(a)

Analyse two benefits to a business of using external recruitment to employ a manager.

[ 8 ]

Analyse two benefits to a business of using external recruitment to employ a manager.

Figure for Answer to Question (a) — CAIE A-Level Business AS

2 marks for □

2 marks for

4 marks for

6(a)

Indicative content

Responses may include:

AO1 Knowledge and understanding

- Bring new ideas

- Broader choice of candidates

- Standards of applicants may be higher

- Able to access a large talent pool

- Gain a more diverse workforce

- A wider range of skills and experience

- A benefit of external recruitment of a manager may be the opportunity to recruit from a large talent pool (1 mark $\times 1$ ).

- A benefit of external recruitment of a manager is that it may offer the business a wider range of skills and experience. (1 mark × 1)

AO2 Application

- External applicants will bring new ideas - as they may have worked in different environments.

- A broader choice of candidates - compared to the limited amount if you only recruit internally.

- Standards of applicants may be higher - as you may recruit via specialist recruitment agencies.

- Able to access a large talent pool - due to the number of candidates who you might potentially reach.

- Gain a more diverse workforce - as you are searching a broader pool of candidates.

- A wider range of skills and experience - as candidates may have worked in different environments possibly even abroad.

- External recruitment may allow a business to gain a more diverse workforce as they are searching a broader pool of candidates. (1 mark □ × )

- Standards of applicants may be higher as they may recruit via specialist recruitment agencies. (1 mark ± × 1)

6(a)

AO3 Analysis

- Getting the right candidate could ensure future business success - as new ideas may lead to the business becoming market leader.

- Could inspire workers to be more productive and efficient - which could give the business a competitive edge or reduce costs.

- New ideas could help grow the business, give the business a competitive edge - which could lead to higher sales revenue or market share.

- An externally recruited manager could have wider range of skills and experience - leading to increased market share and profits.

- Stops the business doing what it's always done and gain a fresh approach to problems - which could enable it to become more innovative in the market.

There are 4 marks for Analysis in this question. Possible 2 analysis marks for an identified and applied first benefit and 2 marks for 2 possible analysis marks for an identified and applied second benefit. The examples below indicate how the 2 analysis marks should be allocated to each benefit.

Benefit 1 - assuming that this benefit is 'broader choice of candidates.'

The application might be 'compared to the limited amount if you only recruit internally.' " .

Then the 2 analysis marks should be allocated in the following way:

If the analysis of this benefit is developed analysis, eg - 'have wider range of skills and experience,' □ which may lead to the business increasing its market share and likely increasing its level of profitability.' □ . then 2 analysis marks should be awarded.

If the analysis of this benefit is limited analysis, - 'have wider range of skills and experience.' □ then 1 analysis mark should be awarded.

Benefit 2 - assuming that this benefit is 'The business might gain a more diverse workforce.

The application might be 'which enables a variety of different perspectives,'

Then the 2 analysis marks should be allocated in the following way:

If the analysis of this benefit is developed analysis, - 'many businesses strive for a diverse workforce as it promotes inclusion and can give the business a competitive advantage,' 'and this could help attract the best candidates in future which could lead to innovation and greater sales. ' then 2 analysis marks should be awarded.

If the analysis of this benefit is limited analysis, - 'a more diverse workforce brings more ideas which could give the business an advantage over its competitors,' □ then 1 analysis mark should be awarded.

Accept all valid responses.

(b)

'A motivated workforce is the most important factor for the success of a low-price airline.'

Evaluate this view.

[ 12 ]

'
Evaluate this view.

&

6(b)

Level AO1 Knowledge and

AO4 Evaluation understanding

6 marks 2 marks

11 mark Limited knowledge Limited application

1 mark 1-2 marks Limited analysis that identifies connections

- A judgement/ between causes, impacts and/or consequences. with limited

Limited evaluation of relevant key term(s) and/or factor(s) is used to conclusion is made answer the question. supporting comment/ evidence.

- An attempt is made to balance the arguments.

0 marks

No creditable response.

2 marks for

2 marks for

2 marks for

6 marks for

Indicative content

Responses may include:

AO1 Knowledge and understanding

- Motivation is about the factors that encourage individuals to be committed and interested in their job.

- Motivation is the internal and external factors that stimulate people to take actions that lead to achieving a goal.

- Business success can be measured in a number of ways - maximising shareholder returns, market share, profits, goodwill created, labour turnover, liquidity, sales growth, stakeholder engagement.

6(b)

- Developed knowledge - a motivated workforce is important for a business which aims for high levels of customer satisfaction provided by committed employees. (2 marks ± 2 )

- Limited knowledge - another factor for business success is financial stability. (1 mark × 1)

AO2 Application

- Customer service agents and cabin crew deal directly with customers - therefore need to have a professional and friendly attitude.

- Motivated staff can better handle difficult passengers - if, for example, flights are delayed.

- Pilots need to be motivated to handle pressure - as they are responsible for potentially hundreds of passengers.

- Staff often get large discounts on flights as a fringe benefit - which means cheap holidays or city breaks.

- Demotivated baggage handlers may damage luggage when loading and unloading airplanes.

- Developed application - a successful business model for a low price airline will include a motivated workforce which makes travel fun and exciting to complement the aim of providing safe and punctual journeys. (2 marks ± ± )

- Limited application - a successful business model for a low price airline will include a motivated workforce which makes travel fun and exciting. (1 mark -r )

AO3 Analysis

- Motivated staff can have a direct impact on productivity and business efficiency - which might reduce business costs.

- Potentially lower labour turnover and absenteeism if staff are motivated in their jobs - which reduces the costs of recruitment.

- Employees are more likely to accept responsibility and take an active role in the workplace - which may lead to improved business practices and a better customer experience.

- Demotivated staff may be rude or not deal very well with customers- which might lead to customers leaving bad reviews and not using the business again in the future.

- Improved industrial relations with trade unions - therefore less chance of industrial action and disgruntled employees.

- Developed analysis - a motivated workforce is likely to engage more directly with customers and provide excellent customer service which encourages customer loyalty therefore they will continue to use this business rather than a competitor. (2 marks $\square \times 2$ )

- Limited analysis - a motivated workforce is likely to engage more directly with customers and provides excellent customer service which encourages customer loyalty. (1 mark □ × 1)

6(b)

AO4 Evaluation
Eval 6 - developed judgement/conclusion is made in context (low price airline) (6 marks )
Eval 5- developed evaluative comments given in context (low price airline) (5 marks )
Eval 4 - developed judgement/conclusion is made, not in the context of a low price airline. (4 marks)
Eval 3 - developed evaluative comments made, not in the context of a low price airline. (3 marks )
Eval 2 - judgement/conclusion is made but with little supporting evidence, again not in context. ( 2 marks )
Eval 1 - an attempt is made to balance arguments. (1 marks )
Eval 0 - no evaluation is attempted. (0 marks)
- It can be concluded that what motivates one employee might be different to another employee. One person might be
only motivated by money whereas another person seeks promotion or a more stimulating challenge.
- It might be concluded that highly motivated staff might be powerless to prevent angry passengers using a different
airline if flights are constantly late or unreliable.
- A judgement as to the reasons why the airline is competitive. For example, do they offer similar prices and destinations
to competitors? Is the booking system reliable? Do people use the airline because of the customer service?
- A judgement as to how important the customer experience is when customer's main reason for using the airline is its
cheap prices.
- It might be concluded that other elements are more important such as if the airline has been marketed effectively.
- It might be concluded that the business does not have a reliable fleet of airplanes which leads to cancelled flights-
something motivated staff may have no control over.
- It might be concluded that business success can be subject to external conditions. The worldwide pandemic has had a
major impact on the airline industry.
Accept all valid responses.

[Maximum number: 1]

Samira's Whiteboards (SW)

Samira left school at the age of 18 in country H . She had a small amount of savings and an idea to create a flexible, removable and reusable whiteboard. Samira created a prototype and received small orders from local retailers.

A local manufacturer batch produces stock when required. There is a two-week lead time for a minimum order of 500 units. Samira started to sell her whiteboards on her website and at trade shows. She has been trading for seven months. She has good cashflow but little working capital as production costs are high.

Samira has heard that OS, a large business that sells office equipment, is planning to sell their own version of Samira's whiteboard. She is keen to increase production quickly to take advantage of being first to market. However, Samira's manufacturer cannot supply enough product to meet the growth in potential demand for whiteboards.

Fig. 1.1 shows an inventory control chart for the first seven months of trade.

Lara, a venture capitalist with experience of manufacturing, has approached Samira about making an investment. She would invest $ 100000 to build a local mass production facility for SW. The facility would have a maximum output of 50000 units per month. Lara wants to own 40% of the business.

Identify one traditional function of a manager.

[Maximum number: 20]

(a)

Analyse two benefits to a business of low labour turnover.

[ 8 ]

(b)

'Work-life balance is the most important human resource management (HRM) factor for employee welfare in a local bus service.'

Evaluate this view.

[ 12 ]

There are 12 marks for 6(b):

2 marks for □

2 marks for □

2 marks for □

6 marks for □

Indicative content

Responses may include:

AO1 Knowledge and understanding

2 marks for developed knowledge L2

1 mark for limited knowledge L1

- Work-life balance is about creating and maintaining supportive and healthy work environments that enable employees to have balance between work and other aspects of life - family, friends, community, personal growth.

- Employee welfare is overseen by HRM departments who may offer counselling and other services to staff who are in need of support, perhaps because of family or financial problems.

- HRM is the strategic approach to the effective management of organisations workers so that they help the business gain a competitive advantage.

6(b)

AO2 Application

2 marks for developed application L2

1 mark for limited application L1

- Bus drivers and conductors have stressful jobs

- Bus drivers are required to drive safely

- They need to be alert and not over tired

- Bus drivers and conductors are close to passengers

- They need to be work regularly to guarantee a bus timetable

AO3 Analysis

2 marks for developed analysis L2

1 mark for limited analysis L1

- WLB could lead to bus drivers feeling more optimistic about responsibilities - better able to meet timetable targets

- Potentially lower labour turnover and absenteeism reduced if staff feel they have a good WLB

- Bus drivers might have more energy and be less tired with good WLB - leading to better customer experience

- Stressed and overworked bus staff may be rude or not deal very well with angry passengers - which might lead to customer complaints and demotivated/demoralised drivers

- WLB could reduce negative effects of work-life conflict - such as health risks - smoking, drinking, weight gain, depression - on employees - business will build good image for business as a caring employer - leading to healthier drivers

- Strengthen employee loyalty and productivity - which means buses might run on time - increase reputation and esteem for drivers

- Duty of care to employees - means it will reduce likelihood of paying compensation to employees/customers if accidents occur to elderly passengers due to speeding drivers.

6(b)

AO4 Evaluation

6 marks for Evaluation

Figure for Answer to Question (b) — CAIE A-Level Business AS

A judgement/decision as to whether WLB is the most important HRM factor for employee welfare in a local bus service. These judgements/decisions may be made at any point in an essay, not just in the concluding section of an essay.

- A judgement is made as to the importance of HR concern for WLB for the welfare of those working for a local bus service.

- How might WLB be an important HRM factor for employee welfare? - improve performance, improve morale of staff, prevent over tiredness, signal concern for and confidence in staff

- Might other HRM factors be equally/more important than WLB fir welfare of bus service staff such as training, shorter work hours, more pay, or better quality management/supervision, better canteen facilities, better holiday entitlements?

Accept all valid responses.

[Maximum number: 3]

Explain one of Jake's human needs that may be satisfied by operating JC.

Figure for Answer to Question 4 — CAIE A-Level Business AS

Indicative content:

AO1 Knowledge and understanding

Knowledge of a factor that may satisy a human need.

- Social connections

- Challenge

- Significance

- Certainty

- Maslow's hierarchy of needs

AO2 Application

Limited application $\Delta^{\mathrm{s} F}$ , applies knowledge of one factor that satisfies Jakes needs once.

Developed application $\sqrt{\Delta^{\mathrm{Fe}}}+\left[\Delta^{\mathrm{Fe}}\right.$ applies knowledge of one factor that satisfies Jakes needs twice.

- via followers on social media

- unique cakes

- creating customer designed unique cakes/orders

- sole business owner/sole trader/owns 100% of business

- of praise from local celebrity (sharing JC social media posts

- garage conversion plan

- he is an entrepreneur

1(b)(ii)

Accept all valid responses.

CAIE A-Level Business AS 2 Human Resource Management Questions

Covered syllabus points

Covered syllabus points

Question 1

Question (a)

Question (b)

Question 2

Question 3

Question (a)

Question (b)

Question 4