BUSINESS ADMINISTRATION 2 – SAMPLE ANSWERS TO PAST EXAM PAPER QUESTIONS. Question 1 (2007) a) Discuss three different types of interview techniques available to assist a HR Manager when selecting candidates. b) Discuss why selection tests might be used in conjunction with interviews. Sample Answer for Part (a) Selection tools range from traditional methods of interviewing and references to more sophisticated techniques such as aptitude tests and psychological tests. The three main types of interviews are as follows: One-to-one Interview – this is an interview used to select candidates that consists of one interviewer and one interviewee. The key advantages associated with a one-to-one interview are as follows: Less formal than a panel interview, Facilitates development of rapport between interviewee and interviewer, Low demand on management time. However, they main disadvantage associated with this form of interview is the potential for subjectivity and bias. As there is only one interviewer, their own personal preferences and biases could cloud their judgment. Panel Interview – this is an interview used to select candidates that comprises a number of interviewers (possibly 7) and one interviewee. The key advantage is that it is more objective than the one-to-one and reduces the opportunity for bias due to the presence of the 7 different interviewers. The main disadvantage is that it may prove difficult to co-ordinate from the organisation’s perspective and puts heavy demand on management time and resources Group Interview / Assessment – this is a type of interview technique that attempts to assess a group of candidates together. It is a relatively informal process and attempts to observe and assess the individual’s behaviour in a group situation. The group are usually assigned a certain task to complete, for example, create a business plan for a certain company. The group members are then observed in terms of their contribution to the task and key players such as leaders / idea generators / organisers etc are identified. This type of interview technique is often used as a preliminary selection tool. Sample Answer for Part (b) Due to the subjective nature of interviewing and the possibility of bias, HR Managers may often use selection tests in conjunction with interviews to assist in making selection decisions. A number of selection tests are available that give a more objective rating of the candidate such as the following: a) Intelligence Tests b) Personality Tests c) Aptitude Tests d) Proficiency Tests Question 1 (2009) (a) Describe the steps involved in the Human Resource Planning process. (60 marks) (b) Outline four errors that could occur in the interviewing process while selecting employees. (40 marks) Sample Answer for Part (a) Planning is the first key area to be considered in Human Resource Management. It affects every aspect of human resource management (recruitment, selection etc, etc…). HR planning must be aligned with the corporate objectives / mission and strategic plans of the organisation. The four major steps involved in HR planning are as follows: STEP ONE Demand Analysis – this step is concerned with estimating the quantity and quality of human resources that the company need. It is based upon a thorough understanding of the following: organisation’s strategy and its implications for the workforce Planned technological changes Detailed inventory of employee characteristics (age, sex, skill level, qualifications etc) The attrition rate among current resources The Most common estimate techniques employed when conducting a demand analysis are as follows: Managerial Estimates Statistical Techniques Work Study STEP TWO Supply Analysis – this step is concerned with estimating the quantity and quality of manpower that is likely to be available to the organisation. The two major sources of staff that affect supply of candidates are the internal and external labour market The supply of staff internally is affected by: Planned losses - this may relate to retirement, Unplanned losses (employee leaves of their own accord) – these are more difficult to deal with. The supply of staff externally is affected by the following: nature of the competition for labour, population trends, education / training opportunities, Government policies. STEP THREE Estimating Deficits / Surpluses - After carrying out demand and supply analysis, it is now possible to compare the results in order to determine if labour supply matches the demand for labour. It is possible that the supply of labour exceeds or falls short of the estimates required. Depending on the result achieved, an action plan will be prepared. STEP FOUR Developing action plans – This last stage is based on the information that the preceding stages have yielded. Plans resulting from the process will cover what the organisation must do, and how it will manage recruitment, selection, training and development, promotions etc. For e.g.; if company has a labour deficit then company will have to plan for recruitment and selection. Sample Answer for Part (b) – your answer should include four from the following options with the relevant detail for your chosen four errors as listed below. QUESTION 2 (2007) (Total 100 marks) Sample Answer for Part (a) CRAFT UNIONS – They cater for workers who possess a particular skill in a trade where entry is restricted through apprenticeship or otherwise. E.g. Electrical Trade Union (ETU), National Union of Sheet Metal Workers of Ireland (NUSMW). There has been a reduction in membership of craft unions in Ireland due to increased mechanisation and consequent de-skilling. GENERAL UNIONS – They cater for all workers, regardless of skill or industry. The largest general union in Ireland is SIPTU (Services, Industrial, professional, Technical Union) which represents over 100,000 workers. WHITE COLLAR UNIONS – They cater for professional, supervisory, clerical and managerial grades. Examples of white collar unions would be theTeachers Union of Ireland (TUI) of the Irish Nurses Organisation (INO). Sample Answer for Part (b) The Labour Relations Commission was formerly established in January 1991 by the then Minister for Labour. It is a tripartite body with employer, trade union and independent representation. It has been charged with the general responsibility for promoting good industrial relations practice. The Labour Relations Commission provides a comprehensive range of services designed to prevent the occurrence of disputes, and where they do, some mechanisms for resolution. The key services provided by the Labour Relations Commission are: 1. A conciliation service - The service can be seen as a proactive measure to resolve disputes before they require full Labour Court Investigation. An independent industrial relations officer meets with both parties in an informal setting and listens to both parties story separately and then reconvenes with both parties present to issue a recommendation. The conciliation service is free of charge and will only be provided if both parties are agreeing to it. 2. Industrial relations advisory service - The Role of the Advisory service is broader than that of the conciliation service and has as its central brief, the task of preventing industrial disputes by encouraging good industrial relations policies, practices and procedures in organisations. 3. Preparation of codes of practice relevant to industrial relations 4. Providing guidance on codes of practice 5. Appointment of equality officers and the provision of an equality service 6. Selection and nomination of persons for appointment as rights commissioners 7. Commissioning of research into matters relevant to industrial relations Question 2 (2009) (a) Discuss the role of the shop steward at the workplace level. (50 marks) (b) Outline the role of the Equality Officer in Employee relations. (50 marks) (Total 100 marks) Sample Answer for Part (a) The Workplace level is made up of a shop steward and a section committee. The Shop steward is the main trade union representative acting on the memberships’ behalf on industrial relations matters in the organisation. They are elected by fellow trade union members at annual elections. They must perform their job like all other employees as well as acting as steward but they are given reasonable time off from work for union business. Their key responsibilities include: Recruit new members into the union Collect union subscriptions from members Negotiate with management on behalf of the members Liaise with the union’s central office Represent workers in grievance and disciplinary situations Sample Answer for Part (b) Under the 1998 Employment Equality Act discrimination occurs where a person is treated less favourably than another person. Discrimination is forbidden on the grounds of gender, marital status, family status, sexual orientation, religious belief, age, disability, race and membership of the travelling community. Equality officers deal with cases of discrimination under any of the above headings. They operate within the Office of the Director of Equality Investigations. Equality Officers deal with disputes in a wide range of employments in both the public and private sectors. Examples of cases dealt with by equality officers include disputes concerning: access to employment, access to job-sharing, transfers, victimisation, promotion, and conditions of employment. Question 3 (2007) Products can be classified as a physical / manufactured good or a more intangible service product. In reality most products possess a combination of physical and service elements. In terms of quality, the manner in which quality is managed and perceived for a physical good is very different to the management of quality for a service good. There are eight dimensions (i.e. factors which determine quality) to product quality as follows: 1. Performance – if product performs as expected or better then consumer’s rating of quality is high. E.G. how well a car handles or its petrol mileage. 2. Features – generally the greater the variety of features, the more highly rated the product is on quality. “Extra” items added to basic features, such as an inbuilt SatNav or a leather interior in a car. 3. Conformance – adherence to quality standards is something a consumer will look for in order to make an assessment of product quality. e.g. Toyota conformance or lack of to quality standards and subsequent recalls. 4. Reliability – reliability is a big factor in product quality evaluation particularly for frequently used products. E.G Your new car runs smoothly without any technical problems each time you drive it. 5. Durability – product longevity is another criterion which determines quality particularly for high costs goods. E.G. L.L.Bean boots may last a lifetime or Duracell batteries claiming to last longer. 6. Serviceability - ease of servicing a product is another contributing factor to quality determination . E.G. ease of getting repairs, speed of repairs, courtesy and competence of repair person 7. Aesthetics – how the product looks and feels is also a very important quality determinant. E.G Sleek, sophisticated design of a BMW car. 8. Perceived quality – as well as actual quality, a product’s quality is also made up of perceived quality – i.e. what the consumer believes / thinks the quality of the product is. e.g: perceived quality is a major contributing factor to the purchase of a €95 face cream by Clarins as opposed to paying €6 for a pot of Nivea cream. Question 4 (2007) Whistleblowing occurs when an employee / former employee / member of an organisation reports misconduct to people or entities that have the power to take corrective action. Generally the misconduct is a violation of laws or rules, health/safety violations or corruption.The whistleblower may be motivated by: moral reasons. personal grievances (e.g: passed over for promotion or some other work related injustice). aspirations to rectify wrongdoings. attempts to improve professional standards. attempts to increase safety / standards for staff. The Consequences of whistleblowing can be extreme such as loss of job and or income, ostracism by peers, personal isolation. Examples of Whisltleblowers include: Cynthia Cooper of Worldcom and Shermon Watkins of Enron (who exposed corporate financial scandals) and Coleen Rowley of the FBI (who outlined the agency's slow action prior to the September 11, 2001 attacks The three were selected as Times People of the Year in 2002. Probably the most famous Irish whistleblower is Eugene McErlean of AIB who warned in 2001 about a major overcharging in the bank. Question 3 (2006) Discuss the role of the following state agencies in promoting business in Ireland: (a) Enterprise Ireland (b) FAS (100 marks) There are many state agencies that provide assistance to entrepreneurs in Ireland. Two of the key agencies are Enterprise Ireland and Fas. (a) Enterprise Ireland Enterprise Ireland is the government organisation responsible for the development and growth of Irish enterprises in world markets. They work in partnership with Irish enterprises to help them start, grow, innovate and win export sales on global markets. In this way, they support sustainable economic growth, regional development and secure employment. Their priority is the achievement of export sales growth from Irish-owned companies. All Enterprise Ireland’s services are geared toward helping Irish companies win international sales. Their range of services is extensive, from funding, to making introductions in key international markets. Key services provided include: Funding supports - a range of supports, for start-ups, expansion plans, and R&D business plans. Export assistance - including the provision of local market information and the facilities of E.I’s international office network. Supports to develop competitiveness - helping companies to become leaner to make them more competitive in international markets. Incentives to stimulate in-company R&D – new product, service and process development to ensure sustainability, and growth through the evolution of products and services. Assistance with R&D collaboration - with research institutions, to develop and bring to market new technologies, products or processes. Connections and introductions to customers overseas - we provide access to a global network of contacts - from heads of government to end customers. b FÁS Fas is the National Training and Employment Authority. Through a regional network of 66 offices and 20 training centres, FÁS assists Irish business by providing: a. training and employment programmes, b. a recruitment service to jobseekers and employers, c. an advisory service for industry, d. apprenticeship grants to some sectors to assist with the cost of training craftspeople.