Page 72 - Cambridge IGCSE Business Studies

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Section 2:

People in business

Business of all sizes are organisations which need people. They may be owners,
managers or other workers; full-time or part-time; skilled or unskilled. People
are the most valuable asset of any business. The way that they work will

have a direct effect on the success or failure of the business. The recruitment,
selection and training of workers is an important function of human resource
management. You will learn the importance of having a well-trained workforce
and how managers might use theories of motivation to ensure that workers
produce maximum output of the highest quality.
As a business grows it will need to have a clear organisational structure

with effective managers and leaders. You will learn about the functions of
management and the importance of different leadership styles. In many

countries workers benefit from membership of a trade union who will
negotiate on their behalf with management to achieve better pay and working
conditions.