Analyse two benefits to UBH of its approach to human resource management (HRM).

Mark scheme

Marking points from the official mark scheme (Feb/Mar 2022). The mark or mark type is shown in brackets.

1. [1] (Knowledge) Definition of HRM: the strategic approach to the effective management of employees (to help the business gain competitive advantage).
2. [1] (Knowledge) HRM strategy may be hard or soft.
3. [1] (Knowledge) Hard HRM: an approach to managing employees that focuses on cutting costs.
4. [1] (Knowledge) Soft HRM: approach focusing on employee development to motivate employees.
5. [1] (Knowledge) Max 1 mark for definition of HRM and/or soft/hard HRM.
6. [1] (Benefit) Easier recruitment of employees.
7. [1] (Benefit) Motivation of employees.
8. [1] (Benefit) Lower labour turnover.
9. [1] (Benefit) Impact on customers.
10. [1] (Benefit) Benefit of delegation – decision making reflecting local needs.
11. [1] (Benefit) More skilled workforce.
12. [1] (Benefit) Lower labour costs.
13. [1] (Application) UBH takes a soft approach to HRM.
14. [1] (Application) Linking UBH approach to benefits.
15. [1] (Application) Flexible employment contracts can help with labour retention.
16. [1] (Application) Flexible employment contracts can help reduce labour costs.
17. [1] (Application) Matching labour demand to demand from customers using flexible employment contracts (could link to 50% capacity utilisation in recession).
18. [1] (Application) Extensive training can improve motivation and increase efficiency.
19. [1] (Application) Training for new recruits provides effective induction.
20. [1] (Application) Use of UBH's vision and statement on staff – team is energetic and entrepreneurial.
21. [1] (Application) UBH faces international competition.
22. [1] (Analysis) Building of chains of arguments linked to Knowledge and Application points raised above.
23. [1] (Analysis) Training results in better customer service and therefore satisfied customers helping to build sales and branding.
24. [1] (Analysis) Delegation allows decisions to be taken that are more appropriate to local circumstances resulting in more responsive customer service.
25. [1] (Analysis) Flexible hours and time allowed to follow own interests results in lower labour turnover and therefore lower recruitment costs.
26. [1] (Analysis) Better training improves customer service better enabling UBH to compete against the two new international coworking businesses.
27. [1] (Analysis) Flexible employment contracts can help match need for employees with demand from customers thus reducing labour costs when UBH is not busy.
28. [1] (Analysis) ARA