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A-Level · Human Resources

BUS.AL28 Analysing Human Resource Performance: Productivity and Turnover

AQA 7132 · Calculator allowed · about 50 minutes

Total Marks

Name: _______________________________ Date: ____ / ____ / ______

Answer ALL questions in the spaces provided. Show your working for every calculation. Greenleaf Cafe, used throughout this pack, is a fictional business.

Which one of the following best describes 'labour productivity' as used by Greenleaf Cafe when analysing its workforce performance?

A) The number of employees a business has on its payroll
B) Output per employee per period
C) The rate at which employees leave the business
D) The number of days employees are absent

(Total for Question 1 is 1 mark)

State the formula Greenleaf Cafe would use to calculate labour productivity (output per employee per period).

(Total for Question 2 is 1 mark)

State the formula Greenleaf Cafe would use to calculate labour turnover rate, expressed as a percentage for a given period.

(Total for Question 3 is 1 mark)

State the formula Greenleaf Cafe would use to calculate the absenteeism rate as a percentage, using days lost, number employed and working days.

(Total for Question 4 is 1 mark)

Greenleaf Cafe, a fictional small chain of cafes, produced 12 000 food and drink items in Year 1 and employed 30 staff during that year.
Calculate the labour productivity for Year 1 (output per employee per year). Show your working.

(Total for Question 5 is 2 marks)

In Year 2 Greenleaf Cafe produced 13 500 items and employed 27 staff.
Calculate the labour productivity for Year 2 (output per employee per year). Show your working.

(Total for Question 6 is 2 marks)

Labour turnover for Greenleaf Cafe in Year 1: 6 staff left during the year. The number employed at the start of Year 1 was 30 and at the end of Year 1 was 28. Calculate the labour turnover rate for Year 1 to one decimal place. Show your working.

(Total for Question 7 is 3 marks)

Labour turnover for Greenleaf Cafe in Year 2: 3 staff left. The number employed at the start of Year 2 was 28 and at the end of Year 2 was 27. Calculate the labour turnover rate for Year 2 to one decimal place. Show your working.

(Total for Question 8 is 3 marks)

Absenteeism for Greenleaf Cafe in Year 1: total days lost to sickness were 450 days. Use 30 employees and 250 working days per year.
Calculate the absenteeism rate for Year 1 as a percentage to one decimal place. Show your working.

(Total for Question 9 is 3 marks)

Absenteeism for Greenleaf Cafe in Year 2: total days lost to sickness were 270 days. Use 27 employees and 250 working days per year.
Calculate the absenteeism rate for Year 2 as a percentage to one decimal place. Show your working.

(Total for Question 10 is 3 marks)

Calculate the percentage change in labour productivity from Year 1 (400 units per employee) to Year 2 (500 units per employee). Show your working and give the answer to one decimal place if needed.

(Total for Question 11 is 2 marks)

Table for Greenleaf Cafe summarising key HR metrics.
Year 1: Output 12 000; Employees start 30 end 28; Staff leaving 6; Days lost 450.
Year 2: Output 13 500; Employees start 28 end 27; Staff leaving 3; Days lost 270.
Analyse the changes in Greenleaf Cafe's HR performance between Year 1 and Year 2 and explain two possible business consequences of these changes. Use the table figures in your answer.

(Total for Question 12 is 6 marks)

State two formal methods Greenleaf Cafe could use to manage workplace conflict between staff and management.

(Total for Question 13 is 2 marks)

Explain one advantage to employees if Greenleaf Cafe recognises and negotiates with a trade union. Give one developed point.

(Total for Question 14 is 3 marks)

Explain one advantage to Greenleaf Cafe as an employer of using collective bargaining with staff representatives. Give one developed point.

(Total for Question 15 is 3 marks)

Using the HR metrics given for Greenleaf Cafe (productivity, turnover and absenteeism for Year 1 and Year 2), assess how effective the business's workforce management appears to be. In your answer evaluate the likely causes and consequences of the changes in the figures and give a justified conclusion.

(Total for Question 16 is 9 marks)

Mark scheme · BUS.AL28 Analysing Human Resource Performance: Productivity and Turnover

Question 1

B1 B cao
Answer: B

Question 2

B1 Output (units) divided by number of employees, oe
Answer: Labour productivity = total output (units) / number of employees.

Question 3

B1 number of staff leaving divided by average number employed, multiplied by 100
Answer: Labour turnover rate = (number of staff leaving / average number employed) x 100.

Question 4

B1 absent days divided by (number employed x working days) multiplied by 100
Answer: Absenteeism rate = (days lost / (number employed x working days)) x 100.

Question 5

M1 12,000 / 30 seen
A1 400 units per employee cao
Answer: 400 units per employee per year.

Question 6

M1 13,500 / 27 seen
A1 500 units per employee cao
Answer: 500 units per employee per year.

Question 7

M1 average employed = (30 + 28) / 2 seen
M1 6 / 29 x 100 seen (ft average employed)
A1 20.7% cao
Answer: 20.7% labour turnover.

Question 8

M1 average employed = (28 + 27) / 2 seen
M1 3 / 27.5 x 100 seen (ft average employed)
A1 10.9% cao
Answer: 10.9% labour turnover.

Question 9

M1 denominator = 30 x 250 = 7,500 seen
M1 450 / 7,500 x 100 seen
A1 6.0% cao
Answer: 6.0% absenteeism rate.

Question 10

M1 denominator = 27 x 250 = 6,750 seen
M1 270 / 6,750 x 100 seen
A1 4.0% cao
Answer: 4.0% absenteeism rate.

Question 11

M1 (500 - 400) / 400 x 100 seen
A1 25% cao
Answer: 25% increase in productivity.

Question 12

B1 identifies that productivity increased from 400 to 500 units per employee
B1 identifies that turnover fell from 20.7% to 10.9% and absenteeism fell from 6.0% to 4.0%
B1 explains a positive consequence: higher productivity could reduce unit labour cost and increase output per staff member, improving profitability or allowing growth
B1 explains a consequence of lower turnover: reduced recruitment and training costs and greater workforce stability, improving customer service continuity
B1 explains a consequence of lower absenteeism: more reliable staffing levels, better service and lower overtime or temporary staff costs
B1 applies to Greenleaf Cafe by linking the changes to the provided figures, for example noting exact numeric improvements and their likely effect on costs or customer experience

Question 13

B1 collective bargaining/trade union recognition
B1 conciliation or arbitration (third party mediation) or formal grievance procedures
Answer: Any two, e.g. collective bargaining and conciliation or arbitration.

Question 14

B1 identifies an advantage, e.g. stronger collective voice in pay and conditions
B1 develops the point, e.g. negotiations can secure better pay, hours or safer working conditions
B1 links to an outcome, e.g. this gives employees greater security and may reduce anger or absence
Answer: Employees gain a stronger collective voice leading to better pay or conditions, which gives greater security and can reduce conflict or absence.

Question 15

B1 identifies an advantage, e.g. it can lead to more predictable negotiations and fewer individual disputes
B1 develops the point, e.g. negotiating with a single representative body can save management time and lead to consistent agreements
B1 links to an outcome, e.g. this can reduce the risk of strikes or grievances and improve operational stability
Answer: Collective bargaining gives predictable negotiations and consistent agreements, saving management time and reducing the risk of strikes or grievances, improving stability.

Question 16

Level 1 (1-3): Makes basic statements about the HR metrics with limited use of the table figures and little or no evaluation or judgement.
Level 2 (4-6): Gives a developed analysis using the provided figures, considers one or two causes or consequences, and offers a partially justified judgement.
Level 3 (7-9): Provides a balanced assessment that uses the figures to analyse causes and consequences, evaluates alternative explanations, and reaches a clear, justified conclusion about workforce management effectiveness.
Indicative content:
- Use the calculated figures: productivity rose from 400 to 500 units per employee, turnover fell from 20.7% to 10.9%, absenteeism fell from 6.0% to 4.0%.
- Possible causes: improved training or better shift scheduling raising productivity; redundancy or restructuring reducing staff numbers and increasing average output per employee; improved HR policies or better morale reducing turnover and absenteeism; recruitment of more skilled staff raising output.
- Consequences: higher productivity can lower unit labour cost and increase profitability or capacity to serve more customers; lower turnover reduces recruitment and training costs and supports service consistency; lower absenteeism reduces disruption and overtime costs.
- Evaluate alternative explanations: productivity rise might partly reflect reduced headcount rather than genuine efficiency gains; lower turnover could result from fewer recruits being hired rather than better retention; falling absenteeism may reflect short-term incentives that are not sustainable.
- Consider risks and recommendations: monitor whether productivity gains are sustainable, check staff workload and well-being to avoid burn-out, complement numeric metrics with staff surveys and customer service measures.
- Judgement: a reasoned conclusion weighing numerical improvements against potential caveats, for example that Greenleaf Cafe's workforce management appears to be improving but should be checked for sustainability and employee welfare before declaring it wholly effective.

Analysing Human Resource Performance: Productivity and Turnover - Worksheets, Questions and Revision