Mira owns GreenCrust, a small bakery chain with four shops. She plans to open two more shops next year and is worried that current staff do not have enough supervisory skills. She has asked the human resource manager to prepare for the expansion.
Define the term human resource management.
Explain one role of human resource management at GreenCrust.
Sunvale Care operates residential homes for elderly people. Many experienced nurses are approaching retirement and new immigration rules may reduce the number of qualified overseas applicants. Sunvale is reviewing its human resource planning.
Define the term human resource planning.
Explain one external factor that may influence Sunvale’s human resource planning.
MetroFit, a chain of gyms, is introducing a new online booking and automated reception system. Some reception staff have complained that they were not consulted and are worried that the system may reduce their hours.
Explain two reasons why MetroFit’s reception staff may resist the change.
LumaPrint, a printing business, is replacing its manual order forms with a digital workflow system. The change should reduce errors, but several older employees are anxious and some supervisors say the change is being introduced too quickly during a busy period.
Explain two human resource strategies LumaPrint could use to reduce resistance to the new digital workflow system.
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HarbourSleep is a hotel on a small island. Demand is high in the summer but low in winter. The hotel is considering offering flexitime to some staff and using more part-time employees. The finance manager has also warned that profits have fallen.
Describe one internal factor and one external factor that may influence HarbourSleep’s human resource planning.
MeadowCare Clinics (MC) is a private healthcare business. Its strategic objective is to improve customer service while increasing the number of appointments handled by each employee. The HR manager introduced additional training for reception and nursing assistants.
The following information is available.
Year | Number of employees | Patient appointments | Customer complaints | Training hours provided |
|---|---|---|---|---|
2024 | 42 | 2940 | 84 | 0 |
2025 | 45 | 3330 | 54 | 360 |
Calculate MC's labour productivity, measured as patient appointments per employee, for 2024 and 2025. Show all your working.
Comment on whether MC's HRM activities appear to support its strategic objective.
CityLink Buses (CLB) introduced a new digital scheduling system for its drivers. Some drivers complained that they had not been trained properly and that the new system changed their normal routines.
The following information is available for two comparable four-week periods.
Period | Planned driver-days | Driver absence days | Overtime cost / USD |
|---|---|---|---|
Before the new system | 2400 | 96 | 7200 |
After the new system | 2400 | 168 | 12600 |
Calculate the absenteeism rate for drivers before and after the new scheduling system. Show all your working.
Comment on one possible reason for resistance to change at CLB.
SolarLoop (SLP) manufactures home solar panels. SLP plans to increase production next year. The HR manager is preparing a human resource plan for production employees and has collected the following data.
| Item for next year | Number of production employees |
|---|---|
| Current production employees | 80 |
| Production employees required after expansion | 96 |
| Expected retirements | 6 |
| Expected voluntary resignations | 4 |
| Existing warehouse employees retrained for production | 5 |
| Graduate recruits already accepted | 8 |
Item for next year | Number of production employees |
|---|---|
Current production employees | 80 |
Expected retirements | 6 |
Expected voluntary resignations | 4 |
Existing warehouse employees retrained for production | 5 |
Graduate recruits already accepted | 8 |
Production employees required after expansion | 96 |
Calculate SLP's forecast staffing surplus or shortfall for production employees next year. Show all your working.
Comment on one HR action SLP could take in response to this forecast.
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FreshBite (FB) prepares meal kits for online orders. Demand varies significantly each week. The HR manager is comparing the current permanent staffing arrangement with using gig economy workers for some packing tasks.
The following weekly data is available.
Cost item | Current permanent staffing | Proposed gig economy staffing |
|---|---|---|
Permanent employees (number) | 12 | 0 |
Paid hours per permanent employee (hours/week) | 30 | 0 |
Hourly wage for permanent employees (USD/hour) | 15 | 0 |
Overtime hours (hours/week) | 60 | 0 |
Overtime hourly wage (USD/hour) | 22 | 0 |
Employee benefits cost (USD/week) | 1200 | 0 |
Gig worker task-hours (hours/week) | 0 | 420 |
Gig worker hourly cost (USD/hour) | 0 | 14 |
Platform fee (USD/week) | 0 | 450 |
Weekly supervision and quality-checking cost (USD/week) | 0 | 300 |
Calculate the weekly cost saving or additional cost from using the proposed gig economy staffing arrangement. Show all your working.
Comment on one HR planning issue FB should consider before using more gig economy workers.
KairoTech (KT) is introducing employee participation teams in two overseas subsidiaries. The same change message was sent to both countries. The HR director is reviewing Hofstede-related data and initial employee reactions.
Country | Power distance index | Uncertainty avoidance index | Employees affected | Formal complaints during pilot |
|---|---|---|---|---|
Country A | 80 | 72 | 140 | 42 |
Country B | 35 | 44 | 90 | 9 |
Calculate the number of formal complaints per 100 employees affected in Country A and Country B. Show all your working.
Comment on why KT may need different HR strategies for the two countries when introducing employee participation teams.
AltoWear (AW) is a family-owned clothing business with eight shops in one city. AW’s objective is to increase online sales while maintaining its reputation for personalized customer service in its shops. AW has recently hired a marketing manager to develop its website, but the owner, Lena, has not involved the human resource manager in the planning. Many shop assistants have strong relationships with customers, but few have experience using online order systems or social media selling. Some employees are worried that online sales will reduce the need for shop staff. Labour turnover has increased, and several creative employees have left to work for larger fashion retailers that offer career development and flexible working arrangements. Lena believes that HRM is mainly concerned with recruitment and payroll, and that marketing decisions are more important for AW’s future.
Discuss the importance of human resource management to AW in achieving its objective of increasing online sales while maintaining personalized customer service.
CodeNest develops apps for small businesses. Demand for projects changes sharply from month to month. The operations director wants to use more freelance programmers from the gig economy rather than recruiting permanent employees. The HR manager is concerned about training, loyalty and quality control.
Analyse the impact on CodeNest’s human resource planning of using more workers from the gig economy.
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Riverside Clinic is introducing electronic patient records across all departments. Doctors support the long-term aim, but nurses say the training sessions are too short and administrative staff are worried that the system will be used to monitor their performance more closely. The change must be completed within six months.
Analyse two human resource strategies Riverside Clinic could use to reduce the impact of resistance to this change.
NorthStar Outdoor, a manufacturer of specialist camping equipment, wants to become more innovative and sustainable. Its product designers have suggested using recycled materials, but production employees say targets are already too demanding. Staff turnover among designers has increased and exit interviews mention limited career development.
Analyse how human resource management could support NorthStar Outdoor’s business objectives.
PurePack (PP) is introducing new machinery to produce biodegradable packaging. Some machine operators are resisting the change because they fear they do not have the skills to use the machinery. The HR manager is considering a training programme.
The following estimates are available for the first year.
| Item | Figure |
|---|---|
| Number of machine operators | 30 |
| Training cost per operator in USD | 420 |
| Expected leavers without training | 9 |
| Expected leavers with training | 3 |
| Recruitment and induction cost per replacement in USD | 1900 |
Item | Value | Unit |
|---|---|---|
Number of machine operators | 30 | operators |
Training cost per operator | 420 | USD |
Expected leavers without training | 9 | operators |
Expected leavers with training | 3 | operators |
Recruitment and induction cost per replacement | 1900 | USD |
Calculate the net financial effect of providing the training programme compared with not providing it. Show all your working.
Comment on whether PP should provide the training programme as an HR strategy to reduce resistance to change.
Nexa Insurance (NI) plans to move of customer service enquiries to an artificial intelligence chat system. The HR director has prepared a force field analysis. The weight shows the importance of each force and the score shows its current strength.
Force | Type of force | Weight | Score |
|---|---|---|---|
Customers want faster replies | Driving | 3 | 4 |
Expected cost savings | Driving | 2 | 5 |
Competitors already use chat systems | Driving | 3 | 3 |
Employee anxiety about job losses | Restraining | 3 | 5 |
Lack of digital skills among staff | Restraining | 3 | 4 |
Union concern about monitoring | Restraining | 2 | 3 |
Calculate the total weighted driving force, the total weighted restraining force and the net force for NI's proposed change. Show all your working.
Comment on one HR strategy NI could use to improve the chance of successful change.
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BentoBox (BB) prepares fresh lunches for offices. BB has grown quickly because more employees in the city are returning to work in offices three days a week. BB’s directors want to open a second kitchen next year and offer evening delivery. The HR manager has identified several influences on human resource planning. Internally, BB has limited cash flow after purchasing new kitchen equipment, and supervisors say the existing kitchen teams are already working at full capacity. BB’s food safety standards require careful training. Externally, unemployment in the city is low, immigration rules for hospitality workers have become stricter, and many potential employees prefer flexitime or gig economy delivery work rather than permanent kitchen jobs. BB is considering using more part-time workers and freelance delivery riders to meet fluctuating demand.
Evaluate the importance of internal and external factors in influencing BB’s human resource planning for its proposed expansion.
Orbis Hotels (OH) is planning to introduce self-service check-in kiosks after a merger. The HR director has prepared a weighted force field analysis. Two HR strategies are being considered: training employees and negotiating with the union.
Force | Type of force | Weight | Current score | Score after proposed HR strategies |
|---|---|---|---|---|
Annual wage cost savings | Driving | 4 | 5 | 5 |
Shorter customer queues | Driving | 3 | 4 | 4 |
Competitors using kiosks | Driving | 2 | 4 | 4 |
Fear of redundancies | Restraining | 4 | 5 | 5 |
Lack of employee kiosk skills | Restraining | 3 | 4 | 2 |
Mistrust after the merger | Restraining | 3 | 3 | 3 |
Union opposition to job redesign | Restraining | 2 | 4 | 2 |
Calculate the current net force for OH's proposed change. Show all your working.
Calculate the net force after the proposed HR strategies. Show all your working.
Comment on whether the proposed HR strategies are likely to be sufficient for OH.
SwiftServe Logistics (SSL) is a private limited company providing same-day delivery services for online retailers. SSL has won two new grocery delivery contracts starting next year. The operations director wants SSL to keep its promise of 98 % on-time deliveries. The HR manager is preparing a human resource plan and is considering two options.
Option 1: Recruit 25 additional permanent drivers and introduce flexitime for evening and weekend shifts. All new drivers would receive two days of induction and customer service training.
Option 2: Recruit 5 permanent driver-supervisors and use gig economy drivers for peak demand. Gig economy drivers would use their own vehicles and would receive only online instructions.
The following information is available.
| Item | Current situation or estimate |
|---|---|
| Current permanent drivers | 75 |
| Current deliveries per day | 4800 |
| Forecast deliveries per day next year | 6300 |
| Average deliveries per permanent driver per day | 64 |
| Voluntary labour turnover of permanent drivers | 18 % |
| Average absence days per permanent driver per year | 8.2 |
| Recruitment and induction cost per permanent driver | USD 1100 |
| Average labour cost per permanent driver hour, including benefits | USD 17 |
| Gig economy platform cost per completed delivery | USD 3.90 |
| Customer complaint rate in permanent-driver teams | 1.6 % of deliveries |
| Customer complaint rate in a recent gig-driver pilot | 3.4 % of deliveries |
The local unemployment rate is low and new immigration rules are expected to reduce the supply of experienced delivery drivers.
Recommend whether SSL should choose Option 1 or Option 2 to meet its forecast growth.
Novelle Cinemas (NC) operates 18 cinemas in large cities. NC has experienced falling profits because more customers are using streaming services at home. To reduce queues and labour costs, NC plans to introduce self-service ticket gates and a new mobile ordering system for snacks. Many ticket-office employees are resisting the change. They fear job losses, loss of status and not having the skills to use the new system.
NC is considering two HR strategies for implementing the change.
Option A: Rapid implementation in all cinemas within six weeks. Employees would complete a one-hour online training module. Ten ticket-office employees would be made redundant immediately and 30 would be redeployed as customer hosts.
Option B: Phased implementation over six months. Employees would be involved in planning the new customer-host role. Each affected employee would receive six hours of face-to-face training. NC would negotiate with employee representatives about voluntary redundancy and flexible working.
The following estimates are available for assessing the first year. The wage-cost-saving figures are annualized amounts expected once each option is fully implemented, rather than actual cash savings received in the first year.
| Item | Option A: rapid implementation | Option B: phased implementation |
|---|---|---|
| Training and consultation cost | USD 12000 | USD 54000 |
| Expected annualized wage cost saving after full implementation | USD 374400 | USD 255000 |
| Expected voluntary resignations among affected employees | 18 | 7 |
| Replacement recruitment cost per resignation | USD 900 | USD 900 |
| Expected average employee satisfaction score after change | 49 out of 100 | 64 out of 100 |
| Expected average customer queue time | 5 minutes | 6 minutes |
| Current average customer queue time | 11 minutes | 11 minutes |
NC's brand is positioned as a premium cinema experience, not a low-cost cinema chain.
Evaluate the two HR strategies that NC is considering for introducing self-service ticket gates and mobile ordering.
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PrecisionMed Components (PMC) manufactures small parts for medical devices. Its customers are demanding shorter delivery times and fewer defects. To remain competitive, PMC’s operations director proposes reorganizing production into multi-skilled teams and introducing a new quality-tracking system. The change would require machine operators to learn new tasks, share responsibility for quality, and record production data throughout each shift. Some experienced operators believe the new system will be used to blame them for defects. Others worry that multi-skilled teams will remove their specialist status. A trade union representative says employees were informed too late and that the change is being introduced during PMC’s busiest season. The HR manager has proposed three strategies: early two-way communication meetings, paid training with mentoring, and a phased implementation starting with one production line.
Recommend whether PMC should use the HR manager’s proposed strategies to reduce resistance to the planned change.
HelioPharm (HP) manufactures wearable health monitors and provides online technical support in two overseas subsidiaries, Country X and Country Y. HP wants to introduce an AI-based scheduling and performance analytics system for its technical support employees. The system would allocate tasks automatically, monitor response times and recommend staffing levels. Senior management wants to use one global HR strategy: an email announcement, a two-hour online training session and full implementation in four weeks.
The HR director is concerned that employees in the two countries may respond differently. A previous software change at HP was poorly communicated and employees were promised training that was not fully delivered.
The following force field analysis has been prepared for the proposed change across both countries.
| Force | Type of force | Weight | Score |
|---|---|---|---|
| Expected annual labour cost saving of USD 1.4 million | Driving | 4 | 5 |
| Faster customer response times | Driving | 3 | 4 |
| Competitors already using AI support systems | Driving | 2 | 4 |
| Employee anxiety about job losses and monitoring | Restraining | 4 | 4 |
| Opposition from employee representatives | Restraining | 3 | 3 |
| Low trust after the previous failed software change | Restraining | 2 | 4 |
The following additional information is available.
| Item | Country X | Country Y |
|---|---|---|
| Technical support employees affected | 120 | 140 |
| Hofstede power distance index | 32 | 78 |
| Hofstede uncertainty avoidance index | 38 | 82 |
| Current annual labour turnover in technical support | 9 % | 16 % |
| Formal complaints during a two-week AI scheduling pilot | 6 | 34 |
An alternative HR strategy would adapt implementation by country. It would use employee participation workshops in Country X, formal negotiation with employee representatives in Country Y, additional face-to-face training in both countries and a three-month phased implementation. This alternative would cost an additional USD 180000 in the first year.
Evaluate whether HP should use one global HR strategy to implement the AI-based scheduling and performance analytics system in both countries.
Read the resources and answer the questions that follow.
CycleWorks Community (CWC) repairs donated bicycles and sells them at low prices to students and low-income commuters. It also provides paid apprenticeships for unemployed young adults. CWC’s mission is to reduce transport inequality, reduce waste and help apprentices develop employability skills. CWC currently employs 18 permanent staff and 24 apprentices across two workshops.
CWC’s board wants to open a third workshop next year and introduce an online booking system for repairs. The operations manager believes this will increase revenue and reduce customer waiting times. However, the HR manager is concerned that the expansion will fail unless CWC develops a clearer human resource plan.
“Our social mission depends on people. Some workshop supervisors are excellent mechanics but have never managed apprentices before. If we grow too quickly, we may damage both service quality and apprentice outcomes.”
A short video showing an apprentice learning to repair an electric bicycle received 420 000 views and 18 600 shares in one week. Several local employers commented that they would consider offering placements to CWC apprentices.
Indicator | Current year | Previous year |
|---|---|---|
Staff turnover rate | 22% | 13% |
Average training hours per employee | 9 | 16 |
Vacant mechanic posts at year end | 5 | 1 |
Customer complaints about repair delays | 118 | 64 |
Apprentices completing the programme | 58% | 71% |
Using Resource 1, describe one role of human resource management at CWC.
Using Resource 2 and Resource 3, analyse two ways in which human resource management could support CWC’s organizational objectives.
Using all the resources provided and your knowledge of business management tools and theories, recommend a human resource plan of action for CWC’s proposed expansion.
Read the resources and answer the questions that follow.
CareConnect Rural (CCR) is a social enterprise that provides affordable home-care visits for elderly and disabled people in remote villages. CCR charges clients according to income and reinvests any surplus into subsidised care hours. It employs care assistants, nurses, schedulers and volunteer coordinators.
Demand for home-care visits is forecast to increase because the local population is ageing. At the same time, CCR is finding it harder to recruit care assistants. The chief executive is considering a new HR plan that includes flexitime, more part-time contracts, retraining volunteers as paid care assistants and using a digital scheduling app.
“I joined CCR because of its mission, but the rota changes too often and travel time is exhausting. Some colleagues are leaving for hospitals that offer more predictable shifts.”
A post thanking CCR workers during a winter storm reached 95 000 people locally and resulted in 140 enquiries about volunteering, but only 12 enquiries about paid care assistant jobs.
Indicator | Current year | Forecast in 3 years |
|---|---|---|
Residents aged over 70 | 18,400 | 22,900 |
Qualified care assistants available locally | 310 | 260 |
Average travel time between client visits | 24 minutes | 29 minutes |
Immigration work visas available for care workers | 45 | 20 |
Employees requesting flexible working | 19% | 37% |
Using Resource 2, describe one external factor that may influence CCR’s human resource planning.
Using Resource 2 and Resource 3, analyse two human resource planning issues facing CCR.
Using all the resources provided and your knowledge of business management tools and theories, recommend a human resource plan of action for CCR to meet forecast demand while maintaining its social mission.
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Read the resources and answer the questions that follow.
BrightBytes Access (BBA) is a social enterprise that refurbishes donated laptops and provides low-cost digital skills courses for adults who are unemployed or socially isolated. BBA employs 42 people in three centres and works with local charities to identify learners. Its social objectives are to improve digital inclusion, reduce electronic waste and provide meaningful employment for people who have faced long-term unemployment.
BBA plans to introduce a new customer relationship management (CRM) system and online learner platform. The change should allow learners to book courses online, track progress and receive remote support. The chief operating officer wants to introduce the system in all three centres within eight weeks. Several employees are resisting the change.
| Survey statement | Percentage agreeing / % |
|---|---|
| I understand why BBA is introducing the new system | 46 |
| I feel confident using the new system after initial training | 31 |
| I believe the system may reduce some administrative jobs | 62 |
| I trust senior managers to listen to employee concerns | 38 |
| I think learners will benefit from the new platform | 74 |
“The idea is good, but the timing is poor. We are already preparing for our largest community training event of the year. Some staff fear they will look incompetent in front of learners.”
BBA’s announcement about the learner platform received 2 800 positive reactions from former learners, but employee comments on the internal forum were mostly questions about training, job security and workload.
| Force | Type of force | Force strength / 5 |
|---|---|---|
| Learners want remote support | Driving | 5 |
| Opportunity to expand social impact | Driving | 4 |
| Possible administrative cost savings | Driving | 3 |
| Employees fear job losses | Restraining | 5 |
| Lack of confidence with the system | Restraining | 4 |
| Poor timing during major event preparation | Restraining | 4 |
| Mistrust of senior managers | Restraining | 3 |
Resource | Item | Category | Percentage agreeing / % | Force strength / 5 |
|---|---|---|---|---|
Resource 2 | I understand why BBA is introducing the new system | Survey statement | 46 | — |
Resource 2 | I feel confident using the new system after initial training | Survey statement | 31 | — |
Resource 2 | I believe the system may reduce some administrative jobs | Survey statement | 62 | — |
Resource 2 | I trust senior managers to listen to employee concerns | Survey statement | 38 | — |
Resource 2 | I think learners will benefit from the new platform | Survey statement | 74 | — |
Resource 5 | Learners want remote support | Driving force | — | 5 |
Resource 5 | Opportunity to expand social impact | Driving force | — | 4 |
Resource 5 | Possible administrative cost savings | Driving force | — | 3 |
Resource 5 | Employees fear job losses | Restraining force | — | 5 |
Resource 5 | Lack of confidence with the system | Restraining force | — | 4 |
Resource 5 | Poor timing during major event preparation | Restraining force | — | 4 |
Resource 5 | Mistrust of senior managers | Restraining force | — | 3 |
Using Resource 2, describe one reason why BBA’s employees may resist the proposed change.
Using Resource 2, Resource 3 and Resource 5, analyse two human resource strategies BBA could use to reduce resistance to the proposed change.
Using all the resources provided and your knowledge of business management tools and theories, recommend a change management plan of action for BBA’s new CRM system and online learner platform.