Human Resources & Organisation
⏱ ~3-min readAceMark Guide
What this topic is really about
A flat organisational structure is characterised by a wide span of control and few layers of hierarchy.. A flat structure has few hierarchical layers, meaning each manager supervises many subordinates, producing a wide span of control.
Herzberg's two-factor theory distinguishes between hygiene factors and motivators in the workplace, with pay and working conditions being hygiene factors.. In Herzberg's two-factor theory, hygiene factors such as pay and working conditions prevent dissatisfaction but do not actively motivate.
See the mechanism
It is calculated by dividing the number of leavers by the average number of employees, then multiplying by 100. Trace the diagram above to fix how the pieces of Human Resources & Organisation fit together.
An exam-style question, fully explained
A workforce of 200 employees had 30 leavers over a year. What is the annual labour turnover rate?
- Identify what the question tests: A workforce of 200 employees had 30 leavers over a year..
- Labour turnover is the number of leavers divided by the average number employed, multiplied by 100.
- With 30 leavers from 200 staff, the calculation gives 15%, indicating the proportion of the workforce replaced over the year.
- Why it matters: It is calculated by dividing the number of leavers by the average number of employees, then multiplying by 100.
Traps the examiner sets
- People often fail to consider the average number of employees, instead just dividing the number of leavers by the total headcount.
- Some students may confuse a flat structure with a tall structure, which has many layers of hierarchy and a narrow span of control. Others may think that a flat structure is the same as a centralised structure, but centralisation refers to the concentration of decision-making authority, not the number of hierarchical layers.
- Many people confuse hygiene factors with motivators, assuming that factors like pay and working conditions can motivate employees, when in fact they only prevent dissatisfaction. This confusion can lead to ineffective human resource strategies.
- In Herzberg's two-factor theory, hygiene factors such as pay and working conditions prevent dissatisfaction but do not actively motivate.
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