Human resource management looks at the best way to use a businesses personnel
Hard Human Resource Managment (HRM) – employees are treated as a resource, aim to pay them as low as possible, they need to be controlled
Soft HRM – Employees are the most valuable asset of the business and they need to be developed to ensure they are being used optimally
- Businesses need to look at future labour needs
- They have to ensure they have the right amount of workers with the right skills and experience
- Managers draw up plans looking at the number and type of workers who they want to recruit
- Also conduct a skills audit so they are able to establish skills and experience of current workers
When planning the workforce managers need to know:
- Sales forecasts for at least the next year
- Employee turnover figures
- Projected wage levels
- Technological developments
- Changes to laws impacting the working week
