CAIE IGCSE Business Studies 2.1 human resource management
Use this HRM page to compare recruitment routes, define employment terms, explain legal controls and judge training methods in context.
- Syllabus
- 2027–2029
- Course
- Business 0264
Exam points
- Compare internal and external recruitment for a vacancy using business size and role needs.
- Define employment terms such as dismissal and link legal controls to profit effects.
- Justify training choices by weighing cost, output loss and skill improvement.
Covered syllabus points
2.1. Human resource management (HRM) question 1
[Maximum number: 6]
TCH is a small bakery producing pastries and cakes. It operates in the secondary sector. The added value of TCH's products has increased since it opened 3 years ago. TCH uses non-financial methods to motivate its 6 employees. TCH's business objectives have changed since it started up. One of its new objectives is to expand. Many businesses use external recruitment when they expand.
Explain two methods of external recruitment a business could use. Which is likely to be the best method to use? Justify your answer.
Award up to 2 marks for identification of relevant points.
Award up to 2 marks for relevant development of points.
Award up to 2 marks for a justified decision as to which method of external recruitment a business should use.
Points might include:
- Specialist magazines [k] can target potential employees interested in this industry/type of work [an]
- Online recruitment sites / social media / website [k] which can reach large numbers of people / include detailed information [an] but not everyone has access to the internet [an]
- Recruitment agencies [k] which saves administration time [an] but recruitment agencies charge a fee for their services [an]
- (Government-run) job centres [k] as no cost to the business [an] but only reach those people who are actively looking for a job [an]
- Local newspapers [k] which people could ignore [an]
- National newspapers [k] but must pay to advertise [an] which increases costs [an]
Other appropriate responses should be credited.
Justification might include:
Recruitment agencies [k] which saves administration time [an]. Another method is online recruitment sites [k] which can reach many people [an]. An online recruitment site is the best method because having access to a wider pool of people can make it easier to find the right person for the role [eval] which may reduce the need to readvertise in future [eval].
This is a general question so there are no marks for application.
The same analysis can be used for different points, but only award once e.g. many people will see / not many people will see.
Do not award:
- Methods of selection e.g. interviews
2.1. Human resource management (HRM) question 2
[Maximum number: 4]
DLT manufactures cups and plates in country X. Its factory uses flow production and has 75 employees. The Human Resources Director is aware that there are many legal controls over employment. DLT exports 30% of its products to country Y where it benefits from lower rates of taxation and no import quotas. DLT's Managing Director is considering relocating its factory to another part of country X to meet the increased demand for its exports.
Identify four legal controls over employment.
Legal control 1:
Legal control 2:
Legal control 3:
Legal control 4:
Award 1 mark per legal control (max 4).
Points might include:
- Unfair dismissal
- Discrimination/equal opportunities
- (Health and) safety/working conditions/working environment
- Minimum wage
- Contract of employment or examples such as sickness policy / holiday entitlement / notice period / rate of pay/salary / pension entitlement
- Redundancy
- Working hours/provide breaks
- Legal working age/child labour
Other appropriate responses should be credited.
Only award the first four responses given.
Allow examples of discrimination only once.
Do not award:
- Ethical points such as fair pay.
2.1. Human resource management (HRM) question 3
[Maximum number: 2]
RWB manufactures buses. 1200 people work in its factory. All employees receive off-the-job training. RWB uses financial rewards to motivate its employees. Last year RWB made a $ 1.7 million loss. The Managing Director said: 'There are many external influences affecting our business, including changes in the level of unemployment and new legal controls over business activities which affect the environment.'
Define 'off-the-job training'.
Award 2 marks for a full definition. Award 1 mark for a partial definition.
Training that takes place away from the workplace usually by a specialist trainer(s) [2]
OR
Training that takes place away from the workplace, for example at college, university or a specialist training providers premises [2]
OR
Training that takes place away from the place of work using methods such as courses/conferences/online learning [2]
Partial definition e.g. training away from the workplace [1]
Do not award examples on own as this does not define the term.
First mark is for understanding it is away from workplace.
2nd mark is [+1] for stating by whom or providing example of where e.g. in a training centre.
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