Showing posts with label Education. Show all posts
Showing posts with label Education. Show all posts

Advantages Of Cooperative Organization

Main advantages or benefits of cooperative organization can be studied as follows:

1. Easy To Establish

Cooperatives can be easily established when compared to joint stock company. It requires ten members, simple registration process and few legal formalities to form cooperative organization.

2. Limited liability

Members are not personally liable for the debt and loss of the organization. Their liability is limited to the extent of their share contributed. So, members' personal property will not be used to pay the debt of the cooperative society.

3. Open Membership

Cooperatives are voluntary organizations where any person can become a member or leave the organization without any barrier. There is no discrimination among the members of the society.

4. Democratic

Cooperatives are operated in democratic management style. All the members have voting right and there is no restriction to express opinions and to give suggestions. 


5. Perpetual Life

Cooperative organizations are long-lasting and stable form of organization like a joint stock company. Single or few members cannot dissolve the organization as per their wish. Bankruptcy, death or insolvency of any member does not affect the continuity of the business.
advantages cooperative organization
6. Government Assistant

Cooperatives are fully supported by the government of the country. Government provides financial support and protection to this type of organization.

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7. Tax Benefit

Cooperative societies enjoy tax benefit because of tax concession and exemptions provided by the government.

8. Social Welfare

Cooperative societies are established with the aim to provide quality goods at low price to the members at low price. So, there is very low profit margin in this type of business. The profit of the society is used for social welfare.

9. Elimination Of Intermediaries 

Middlemen or business intermediaries are totally eliminated because products are supplied directly from producers to final customers.

Advantages And Disadvantages Of Group Incentives

Group incentives are reward (may be financial or non-financial) given to the group of employees for their collective effort to meet or exceed predetermined standard. Main advantages and disadvantages of group incentives can be expressed as follows:

Advantages Or Benefits Of Group Incentives

1. Suitable For Interdependent Jobs

Group incentive plan is very suitable when the job is interrelated and the output of individual cannot be measured separately.

2. Equal Share

This plan does not discriminate employees while distributing rewards. All employees get bonus or incentive equally in the same proportion. 

3. Promotes Group Work

It encourages the employees to work together for achieving the common goal. It leads to better performance and higher level of output. 

4. Encourages Team Spirit

Group incentives promotes cooperation and collaboration at the workplace. It helps to develop team spirit while doing the job. 

advantages disadvantages group incentives
5. Cost Reduction

It inspires employees for higher level of performance and increases willingness towards the job. It increases productivity and reduces production costs. 

6. Higher Satisfaction

It helps to increase employees' quality of work life and also increase job satisfaction.

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Disadvantages Or Drawbacks Of Group Incentives

1.Chance Of Resentment

It gives emphasis on group work and ignores individual's effort. So, high performing employees may not be satisfied with this incentive plan and may lead to resentment. 

2. Chance Of Rejection

It distributes reward equally to all the employees which may not be accepted by hard-working and top-performing employees.

3. Self Deception

Group incentive may create the problem of self-deception among the employees.

4. Decrease Performance

Group Incentive focuses on team work which may lead to decrease in the performance of individual employee.

Advantages And Disadvantages Of Individual Incentives

Individual incentives are financial or non-financial rewards given to individual workers on the basis of performance standards like quantity, quality, attendance etc. 

Advantages Or Benefits Of Individual Incentives

1. Helps To Inspire Employees

Individual incentives motivate the employees to do their best and inspires them to learn from top performers.

2. Increased Productivity

Employees are motivated to exceed the given target. It helps to increase productivity.

3. Job Satisfaction

Individual incentives help to achieve higher level of job satisfaction among employees.

4. Cost Minimization

It helps to increase employees performance which leads to decrease idle time and increase productivity. Increased productivity helps to reduce production costs.


5. Low Staff Turnover

It helps to retain top performing employees in the organization. It results in low employee turnover.

6. Healthy Competition

It creates healthy competition among the employees at the workplace. 
advantages disadvantages individual incentives
7. Clarity

Individual incentives can be structured and applied easily. It is easy to determine outcomes and tracking employees performance.

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Disadvantages Or Drawbacks Of Individual Incentives

1. Lack Of Team

It inspires individual employees for better performance. So, it lacks team work at the work station. 

2. Decreased Quality

Employees may be motivated to increase output and focus on the quantity only. It may reduce the quality of the product.

3. High Employee Turnover

Individual incentive plan discourages low performing employees. So, they may decide to leave the organization which results in high employee turnover.

4. Chance Of Conflict

There will be a chance of conflict between employees' individual goals and organizational goals which leads to mistrust between management and employees. 

Advantages And Disadvantages Of Off The Job Training

What Is Off The Job Training ?

Off the job training is conducted outside the company or workplace. In this method, trainees learn through lectures, case studies, conferences, demonstration, modeling, computer, role play etc. 

Benefits Or Advantages Of Off The Job Training

The main advantages of off the job training can be described as follows:

1. Effective Method

Off the job training is well organized and conducted by experts and specialists which makes the training program more effective.

2. High Productivity

It is conducted out side the organization or workstation and trainees are not involved in the production process. Only trained and skilled workers are placed at the work place. So, productivity will be higher.

3. Minimize Errors

Under this method, newly appointed employees are trained outside the production area and skilled and trained manpower perform the job. So, it lowers the production errors.
advantages and disadvantages of off the job training
4. Economical

In this method, a large number of employees can be participated and orientation can be provided at a time. It helps to reduce training costs. So, it is a cost effective method.

5. No Disturbance 

Trainees are not allowed to work in the actual work place. So, production process will not be disturbed and existing employees can do their jobs smoothly.


Disadvantages Or Drawbacks Of Off The Job Training

Some of the major drawbacks of off the job training are as follows:

1. More Expensive

This method of training may be very expensive due to extra space, accommodation and transportation costs and experts' fees etc.

2. Less Effective

Off the job training is less effective than on the job training method because it is conducted outside the working environment. Employees need extra induction training to handle their job.

3. Dissatisfaction

Training is conducted artificially outside the work place. So, employees cannot learn properly in this training method. Dissatisfaction may arise among the employees.

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4. No Production

Trainees cannot take part in the production process. So, potential output and time is lost in this method of training.

Advantages And Disadvantages Of On The Job Training

What Is On The Job Training ?

On the job training is conducted at the actual work place which helps the newly appointed employees to learn by performing the job. Simplicity, economical, time saving, quick learning etc, are some advantages of this training method. On the other hand, it has some drawbacks such as possibility or production error, low productivity,disturbance etc.

Advantages Or Benefits Of On The Job Training (OJT)

Some of the notable advantages of on the job training can be highlighted as follows:

1. Simple Method

OJT is very simple and easy method of providing training. So, it is the most common and widely used method to train the fresh employees.

2. Economical Method

Under OJT method, training is conducted in the workplace by actually performing the jobs. It does not need extra space, materials, resources and time for training. So, it is cost effective method of learning.

3. Time Saving

Employees learn their jobs and duties by performing at the workplace. So, they can gain more knowledge in the short period of time. So, on the job training is time saving method of conducting training.

4. Quick Learning

OJT helps new employees to learn at the actual workplace with actual materials and equipment. Hence, it helps them to learn quickly.

5. Immediate Productivity

On the job training follows the principle of "Learning By Doing". So, employees are actually working at the time of training. Therefore, immediate productivity is possible while conducting training within the workstation. 


Disadvantages Or Drawbacks Of On The Job Training (OJT)

The main disadvantages of on the job training can be highlighted as follows: 

1. Low Productivity

Rate of production and quality of product may be affected while conducting training at the workplace.

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2. Production Errors

There will be a high chance of errors in production process because newly appointed workers are not skilled and experienced. 
advantages disadvantages on the job training
3. Disturbance

Learning process of trainees may disturb the work process of existing employees in the workplace.

4. Chance Of Accident

Under on the job training, trainees are required to work with different machines and equipment. It maximizes the chance of accident (especially in the manufacturing industries). 

Pros And Cons Of On The Job Training In Short

Pros:
- It is simple and commonly used training method
- It is economical and time saving
- It helps employees to learn quickly
- It can be conducted in short period
- Trainees can get immediate feedback

Cons:
- It may create disturbance at the workplace
- It may lower productivity and quality
- It increases the chance of errors in the production process
- It maximizes the possibility of accident

Benefits Of Employee Training

Main advantages or benefits of employee training can be expressed as follows:

1. Higher Performance

Training helps to upskill employees by enhancing their skills and knowledge. So, they show high performance at the workplace. Training also helps the employees to develop decision making and problem solving skills.

2. Higher Productivity

Well trained employees are more committed and motivated towards the job. So, they make proper utilization of resources and minimize wastage. This definitely leads to higher productivity. 

3. Quality Of Work

Properly trained employees are aware of faults and operational errors. So, training helps to maintain quality of work by minimizing faults and errors.
benefits employee training
4. Less Supervision

Well trained employees can perform their job effectively and efficiently because they are motivated and devoted towards their job. So, self-reliant employees need less supervision.

5. Cost Minimization

Because of higher productivity, regular production, minimization of wastage and less supervision costs, training helps to reduce overall production and administrative costs of the business.

6. Customer Satisfaction

Employee training ensures productivity improvement and better customer service. So, it helps to improve customer satisfaction.

7. High Morale

Training and development programs provide opportunity for employees to learn and improve their skills and potential. It helps to reduce absenteeism and dissatisfaction. So, training helps to increase employee morale.


8. Adjust The Change

Proper training helps the employees to cope up with the situation and adjust themselves according to the environment.

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9. Job Satisfaction

Employee training and development programs helps to increase job satisfaction among the staffs.

10. Advantages Of New Technology

Training helps the employees to adopt and take advantage of latest technologies. It helps them to be updated with cutting-edge technology. 

11. Increase Goodwill

Proper training ensures productivity improvement, customer satisfaction and lower labor turnover. It helps to increase the goodwill and image of the firm.

Advantages And Disadvantages Of External Recruitment

Advantages Of External Recruitment

Main benefits or advantages of external recruitment method and sources can be expressed as follows:

1. Highly Qualified Candidates

External recruitment increases the chance of finding highly skilled, experienced and qualified personnel because of the large pool of applicants.

2. Wider Choice

It provides wider choice to find a suitable staff because of the large number of candidates. A company can select most talented and capable candidate for its vacant position.

3. Arrival Of Fresh Talent

External recruitment encourages to bring fresh talents with new skills and creative ideas for better performance of the job.

4. Better Competition

Recruiting from outside helps to face the competition because of the capability and risk taking ability of the candidate.

     
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5. Improved Diversity

It hires the people of different race, religion, gender, age etc on the basis of their skills and capabilities. So, it helps to improve diversity requirements.


6. Less Training And Development Cost

Recruiting from outside minimizes the training and development costs because it hires well trained and experienced candidates according to the requirement of the job.

Disadvantages Of External Recruitment

Major drawbacks or disadvantages of external recruitment method and sources can be highlighted as follows:

1. Expensive Process

External recruitment is a costly process of hiring employees. A lot of money is required for vacancy announcement (advertisement), shortlisting, conducting interview and for final selection.

2. Time Consuming

It is time consuming and lengthy process to recruit staff from outside the company. Various steps such as advertising, applications processing, shortlisting, interview, and selection should be performed to complete external recruitment. 

3. Poor Employee Morale

It may decrease the morale of current employees because of highly qualified new candidates which leads to decrease in performance, productivity and quality. 
advantages disadvantages of external recruitment
4. Adaptability Problem

It requires longer adjustment period for new candidates. They may have to face several challenges to adopt themselves in the new environment.

5. Risky

External recruitment is riskier than recruiting from inside the organization because of little information and unknown nature of fresh candidate. 

Pros And Cons Of External Recruitment In Short

Pros:
- It increases the chance of finding skilled and qualified employees
- It encourages fresh talent
- It minimizes training and development costs
- It helps to enhance diversity
- New ideas and skills of new personnel can increase organizational efficiency

Cons:
- It is costly and time consuming
- It may discourage existing employees in the organization
- There may be a adaptability problem for fresh employees

Disadvantages Of Internal Recruitment

Major drawbacks or disadvantages of internal recruitment method or sources can be highlighted as follows:

1. Internal Conflict

There is a high chance of favourism while hiring employees through internal recruitment method. So, it can create conflict among the employees in the organization.

2. Lack Of Fresh Perspective

Internal recruitment hires employees from within the organization. So, it lacks new ideas, talents, values and freshness in the work.
disadvantages internal recruitment
3. Limited Choice

Recruiting internally limits the pool of applicants by avoiding the arrival of skilled and talented candidates outside the organization.

4. Increased Training Costs

Internal recruitment may increase the training and development costs of promoted employees.


5. Overstaffing

There may be a chance of overstaffing because of the tendency of referring friends and relatives in the organization.

   
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6. Lack Of Diversity

Recruiting internally fails to bring new perspective and diversity in the organization.

7. Resentment

Internal recruitment may create resentment among workers who are not recruited or appointed. 

Advantages Of Job Evaluation

Main benefits or advantages of job evaluation can be studied as follows:

1. Rating Of Jobs

Job evaluation helps to determine the worth or value of different types of jobs in the organization. So, it is a scientific technique to rate the jobs according to their importance and nature.

2. Rational Wage Structure

Job evaluation helps to develop sound wage policy in the organization. It helps to establish rational wage policy according to the nature and value of the jobs. 

3. Specialization

Job evaluation promotes division of labor and specialization by defining the job in terms of nature and complexity.

4. Harmonious Relationship

Job evaluation helps to establish harmonious relationship between manager and employees by eliminating wages controversies. It also helps to maintain good labor relation in the organization.

5. Training And Development

Job evaluation helps the management to identify the training and development needs of different jobs by ranking them according to their importance.
advantages job evaluation

6. Cost Minimization

Job evaluation helps to reduce labor turnover rate by fixing proper pay structure and by maintaining good labor relation. It helps to improve production rate which minimizes the cost of production. 

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7. High Employee Morale

Proper placement, uniform pay structure and job classification is possible because of job evaluation. It helps to motivate and maintain high employee morale in the organization.

Benefits Of Job Analysis

Major  advantages or benefits of job analysis can be highlighted as follows:

1. Manpower Planning

Job analysis provides job-related information to the management which helps to determine the job, prepare human resource information system and human resource inventory. So, it is the foundation of manpower planning in the organization.

2. Recruitment And Selection

Job analysis helps to recruit and select competent manpower for the job according to the job description and job specification. So, it helps to establish effective hiring policy in the organization. 

3. Proper Placement

Job analysis ensures proper placement of employees according to their knowledge, skill and capacity. It helps to improve the performance.

4. Training And Development

Job analysis helps to design effective training and development program by identifying the needs of the jobs and employees. It helps to enhance employee performance.
advantages job analysis

5. Job Evaluation

Job evaluation is conducted with the help of job-related information provided by job analysis.

   
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6. Performance Appraisal

Job analysis helps the management to evaluate employees' performance by comparing their performance with the set standards. It helps to determine the variations and take appropriate steps to improve their performance. 

7. Job Design

Job-related information received from job analysis helps the management in designing or redesigning the jobs.

8. Organizational Structure And Design

Job analysis helps to maintain proper balance between responsibility and authority in the organization. So, it ensures effective organizational design and structure.

9. Safety And Health

Jon analysis always gives emphasis on the safety and health of the employees. It helps to maintain safety and healthy working environment by eliminating unsafe environment at the workplace.

10. Compensation Management

Job analysis helps in designing compensation package for each job. It helps the management to make compensation decisions.

Benefits Of Human Resource Planning

Major benefits or advantages of HR planning can be highlighted as follows:

1. Forecasting Human Resource Need

Human resource planning helps to determine the future needs of human resource in the organization. It helps the organization to fulfill the manpower requirements for smooth operation.

2. Recruitment And Selection

Human resource planning helps to recruit and select the most desirable and competent manpower to fulfill the vacant positions of the organization.

3. Meet Expansion And Diversification

Human resource planning helps the organization to cope with the future changes. It helps to meet future expansion and diversification needs of the company.

4. Training And Development

HR planning helps to enhance the efficiency of the employees by giving suitable training and organizing development campaigns.

5. Formulate Policy

HR planning helps to formulate different policies in the organization. employee transfer policy and promotion policy are designed with the help of HR planning.
benefits of HR planning
6. Optimum Use Of Manpower

Human resource planning ensures optimum use of human resource in the organization. It maintains balance between distribution and allocation of manpower.

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7. Cost Minimization

HR planning ensures higher productivity through effective use of human resource in the organization. Higher level of productivity reduces the cost of production. So, HR planning is helpful in overall cost minimization.

Benefits Of Human Resource Management (HRM)

Main benefits or advantages of human resource management (HRM) can be expressed as follows:

1. Improves Performance

Human resource management is concerned with the proper utilization of human resource in the organization. It follows the principle of "the right man for the right job" according to the skill and knowledge of employees. It helps to increase employee performance.

2. Reduces Employee Turnover

Human resource management helps to reduce employee turnover rate in the organization by providing growth opportunities and maintaining good working environment in the organization. 

3. Training And Development

Human resource management helps to enhance employee's skills and qualities by providing training programs and organizing development campaigns. Training and development programs helps to develop potentiality of the human resources in the organization.

4. Conflict Management 

Human resource management helps to manage conflict between the employees and the company. HRM plays the role of mediator and takes the appropriate step to handle the misunderstanding or conflict in the organization.

Human resource management (HRM) provides career development opportunities to the employees. It helps to enhance potentiality and provide growth opportunity through training and development programs. HRM helps to address employees' dissatisfaction by solving their problems. 

6. High Employee Moral

Human resource management helps to maintain high employee moral by creating healthy working condition, proper work design and motivating them towards their job.