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AIM

To develop knowledge and understanding

of the techniques, processes and

procedures which are required to ensure

the efficient and effective use and

deployment of human resources, and to

use the human resource to the greatest

possible benefit of the organisation.

OBJECTIVES

On completion of this paper candidates

should be able to:

identify, understand and explain the

complex interpersonal relationships that

exist within organisations

appreciate the relationship between

theory and practice

understand the nature, processes and

procedures of people management

explain the principles of successful team

performance and the need to plan,

monitor and evaluate team based work

activities

investigate future personnel

requirements and describe recruitment

and selection procedures

understand and describe the principles

of motivation

understand and describe the role and

process of employee development

understand the need for clear and

precise communication

explain the principles of effective

counselling

describe the elements of disciplinary

and grievance procedures.

POSITION OF THE PAPER IN THE

OVERALL SYLLABUS

The paper is concerned with an understandingof people management and the techniques

involved. The paper is constructed in such

a way that it provides a broad introduction

to the problems and opportunities involved

in managing people. It is intended to cultivate

an understanding of the importance of good

practice in human resource management.

The professional accountant is often in a

management position and thus fulfils

another role, that of the management of the

human resource. It is important therefore

that the professional accountant understands

issues of management and human resources.

Whilst there are no pre-requisites for this

paper, candidates will be expected to

demonstrate an understanding of the theory

and issues involved in human resource

management and to display appropriate

writing skills in answering the examination

paper.

Managing People is a pre-requisite for

paper 3.5 Strategic Business Planning and

Development, where many of the ideasintroduced are developed further.

It should also be noted that although the

course is divided into five topic areas, the

nature of the syllabus means that there will

often be overlap between the individual

topics.

SYLLABUS CONTENT

1 Management and team development

(a) The organisation of work

(i) the need for formal organisations

(ii) organisational types and

differences.

(b) The role of management

(i) modern management writers

(ii) classical theories of management.

(c) The role of the manager

(i) the role of the manager in the

organisation of work

(ii) the responsibilities of the manager.

Managing People

Paper 1.3

3.5 Strategic Business Planning and Development

1.3 Managing People

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Paper 1.3: Managing People (Continued)

(d) Individual and group behaviour

(i) organisational culture

(ii) groups and teams

(iii) perception and role theory.

(e) Team management

(i) the need for teams

(ii) team construction

(iii) team and group differences.

(f) Objective setting

(i) the need for objectives

(ii) profit and other objectives.

(g) Authority, responsibility and delegation

(i) organisational structure

(ii) classical and modern approaches

to structure

(iii) authority, responsibility and

delegation.

(h)Standard setting and performance

management

(i) work standards and indicators

(ii) performance related pay.

2 Recruitment and selection

(a) The recruitment and selection process

(i) process, roles and responsibilities

(ii) assessment criteria.

(b)Effective recruitment

(i) recruitment and selection plan

(ii) process of recruitment

(iii) use of media.

(c) The job description and personnel

specification

(i) job description

(ii) personnel specification.

(d)Job analysis

(i) purpose of analysis

(ii) methods of analysis.

(e) Selection methods

(i) appropriate methods

(ii) usefulness of methods.

(f) The selection interview

(i) purpose

(ii) skills involved

(iii) importance of the selection process.

(g)Equal opportunities and the

management of diversity

(i) equal opportunity issues

(ii) managing diversity.

3 Training and development

(a) The learning process

(i) the learning process

(ii) the role of management.

(b)Retention, training and development

(i) duties of the training manager

(ii) methods for individual

development.

(c) Effective training and development

(i) benefits of training

(ii) training needs analysis

(iii) staff evaluation methods

(iv) management development

(v) in-house and external training.

(d) Competence assessment

(i) process and barriers

(ii) staff appraisal

(iii) measures of effectiveness.

(e) Conducting the appraisal interview

(i) management skills involved

(ii) key communication skills.

(f) Individual skills and development

(i) appraisal process and employee

development.

(ii) the role of management

(iii) the skills development programme

(iv) the mentoring process.

(h) The management of health and safety

(i) health and safety awareness

(ii) the obligation of management.

4 Motivation and leadership

(a) Motivation, concepts, models and

practices

(i) the key theories of motivation

(ii) classical theories

(iii) modern theories

(iv) reward schemes.

(b)Effective leadership

(i) the nature and importance of

leadership

(ii) classical theories

(iii) modern theories.

5 Effective communication practices

(a) Working with people interpersonal

skills

(i) interpersonal skills

(ii) effective management practice

(iii) verbal and non verbal

communication.

(b)Communication

(i) the need for communication

(ii) communication patterns.

(c) The role of counselling

(i) the role of management

(ii) skills of effective counselling.

(d)Controlling conflict, grievance and

discipline

(i) causes of conflict

(ii) managing conflict

(iii) appropriate procedures

Managing People (Continued)

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(iv) process understanding

(v) the role of management

(vi) appeals.

EXCLUDED TOPICS

The syllabus content outlines the area for

assessment. No areas of knowledge are

specifically excluded from the syllabus.

KEY AREAS OF THE SYLLABUS

The key topic areas are as follows:

an understanding of the theory,

techniques, processes, procedures and

practice of people management and

team development

rules, procedures and processes of

people management

training and development, the trained

workforce, employee assessment

the theories of motivation and

leadership and their application

effective communication practices.

APPROACH TO THE EXAMINING THE

SYLLABUS

The examination is a three hour paper

constructed in two sections. Section A

consists of a brief scenario with a range of

5 to 10 mark requirements related to it,

worth 40 marks in total. The scenario is

generally devised to test the application

and understanding of a particular topic,

although candidates should be aware that

more than one topic may form part of the

scenario.

Section B consists of five essay type

questions, with one question usually taken

from each of the five topics in the syllabus.

Each question carries 15 marks and

candidates must attempt four questions.

There are no calculations involved, and

candidates should note that the answers in

Section B must be presented in essay form.

Candidates need to show an understanding

of the detail of the topic. Candidates

should be aware that although the course

is made up of a number of discrete topics,

individual examination questions may well

require a knowledge of more than one of

these topics.

Number

of Marks

Section A: Compulsory scenario

question 40

Section B: Choice of 4 from 5

essay questions (15 marks each) 60

100

ADDITIONAL INFORMATION

The Study Guide provides more detailed

guidance on the syllabus.

RELEVANT TEXTS

There are a number of sources from which

you can obtain a series of materials written

for the ACCA examinations. These are

listed below:

ACCA's approved publishers:

BPP Professional Education

Contact number: +44(0)20 8740 2222

Website: www.bpp.com

Kaplan Publishing Foulks Lynch

Contact number: +44(0)118 989 0629

Website: www.kaplanfoulkslynch.com

Additional reading:

Accountancy Tuition Centre (ATC)

International

Contact number: +44(0)141 880 6469

Website: www.atc-global.com

International Financial Publishing (IFP)

Contact number: +44(0)148 322 5746

Website: www.ifpbooks.com

Candidates may also find the following

texts useful:

Beardwell I, Holden L, Claydon T.

Human Resource Management A

Contemporary Perspective (4th Edition)

Prentice Hall ISBN 0273622307

Bratton J and Gold J Human Resource

Management (3rd Edition) Palgrave

Macmillan ISBN 0333 993268

Mullins L J Management and

Organisational Behaviour (6th Edition)

Pitman ISBN 0273 651471

Handy C Understanding Organisations

(5th Edition) Penguin

Wider reading is also desirable, especially

regular study of relevant articles in

ACCA's student accountant.

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STUDY SESSIONS

MANAGEMENT AND TEAM

DEVELOPMENT

1 The organisation of work

(a) Explain the need for formal

organisations

(b) Identify organisational types and

differences.

2 The role of management

(a) Identify and explain the contribution

made by modern writers on

management: Drucker, Kanter,

Mintzberg, Ouchi, Peters

(b) Identify and explain the contributionmade by classical writers on

management: Fayol, Stewart, Taylor,

Mayo, Weber

(c) Identify the differences between

classical and modern theories of

management

(d) Identify the difference between

individual and group contribution to

work performance: Schein

(e) Outline areas of management

authority and responsibility

(f) List the systems of performance

reward for individual and group

contribution.

3 The role of the manager

(a) Explain the role of the manager in

the organisation of work

(b)List the management tasks involved

in organising the work of others

(c) Illustrate the role of the manager in

achieving tasks

(d) Identify the responsibilities of the

supervisor.

4 Individual and group behaviour

(a) Explain the concept of organisational

culture: Anthony, Handy

(b)Discuss the differences between

individual and group behaviour

(c) outline the contribution of

individuals and teams to

organisational success

(d) Identify individual and team

approaches to work

(e) Understand perception and role

theory.

5 Team management

(a) Explain the role of the manager in

building the team and developing

individuals

(b)Define the purpose of a team

(c) Outline the composition of

successful teams: Belbin, Peters and

Waterman

(d) Explain the development of a team:

Tuckman

(e) List team building tools

(f) Examine ways of rewarding a team

(g) Identify methods to evaluate team

performance.

6 Objective setting

(a) Explain the importance of objective

setting

(b)Compare and contrast profit and

other objectives: Drucker, Cyert and

March, Marginalist Theories, Simon

(c) Explain the behaviourial theories of

objective setting

(d)Explain the importance of

understanding ethics and social

responsibility

(e) Compare and contrast the difference

between corporate objectives and

personal objectives

(f) Illustrate the difference between

quantitative and qualitative target

setting

(g)Outline the management role in

identifying performance standards

and accountability

(h) Identify methods to measure

achievement of objectives.

7 Authority, responsibility and delegation

(a) Describe, recognise and understand

the importance of organisational

structure

(b)Compare classical and modern

approaches to organisational

structure: Burns and Stalker,

Contingency Theory, Fayol,

Mintzberg, Trist and Bamforth,

Urwick, Weber, Woodward

(c) Define the terms authority,

responsibility and delegation

(d)Explain the term legitimized power:

Weber

(e) Describe the process of determining

authority and responsibility

(f) Examine the case of responsibility

without authority.

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8 Standard setting and performance

management

(a) Define the term performance

management

(b) Identify a process for establishing

work standards and performance

management

(c) Outline a method to establish

performance indicators

(d) Illustrate ways of applying

performance management

(e) Describe management contribution

to personal development planning

(f) Explain the term performance related

pay.

RECRUITMENT AND SELECTION

9 The recruitment and selection process

(a)Explain the importance of effective

recruitment and selection to the

organisation

(b)Define the recruitment and selection

process

(c) Outline the roles and responsibilities

of those involved in the recruitment

and selection process

(d)List the most common reasons for

ineffective recruitment and selection

(e) List and describe criteria against which

to assess successful recruitment and

selection practices.

10Effective recruitment

(a) Outline a plan for an effective

recruitment process

(b) Identify the stages in the recruitment

process

(c) Compare and contrast the

choice of media for job advertising

(d)Analyse the purpose and

effectiveness of the job application

form

(e) Explain the purpose and usefulness

of applicant references.

11The job description and personnel

specification

(a) Outline the purpose and use of a job

description and person specification

(b)Explain how to devise a job

description and personnel

specification: Rodgers, Fraser

(c) Compare and contrast the purpose of

the job description and the person

specification.

12Job analysis

(a) Define the purpose of job analysis

(b) Identify methods of job analysis

(c) Outline the skills involved in carrying

out job analysis

(d)Justify the use of job analysis.

13Selection methods

(a) List alternative methods of selection

(b Evaluate the usefulness of selection

methods

(c) Identify those involved in the process

of selection

(d) Establish the skills involved in

successful decision making

(e) Explain the importance to the

organisation of good selection

decisions.

14The selection interview

(a) Outline the purpose of the selection

interview

(b) Identify who should be involved in

selection interviewing

(c) Identify the key skills required for

selection interviewing

(d) List the most common reasons for

ineffective interviewing

(e) Explain the importance of the

selection interview in the selection

process.

15Equal opportunities and the

management of diversity

(a) Understanding equal opportunities

(b)Measuring equal value

(c) Appreciate the legal position

(d)Explain the appropriateness of

managing diversity in the workplace

(e) Identify individual circumstances

and differences.

TRAINING AND DEVELOPMENT

16The learning process

(a) Explain the process of learning in

the workplace

(b) Describe the ways in which

individuals learn: Honey and

Mumford, Kolb

(c) Explain the effect on learning of

individual differences

(d)Outline the barriers to learning

(e) Describe the role of management

and the organisation in the learning

process.

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17Retention, Training and development

(a) Explain the importance of training and

development to the organisation and

the individual

(b)Explain the roles and responsibilities

of a training manager

(c) Compare and contrast the various

methods used in developing

individuals in the workplace.

18Effective training and development

(a) List the benefits to the organisation

and the individual of effective

training and development

(b)Explain the methods used to analyse

training needs

(c) Suggest ways in which training

needs can be met

(d)Describe methods of staff evaluation

and follow-up

(e) Describe the skills involved in

developing staff

(f) Explain the development methods

available to management

(g)Evaluate the effectiveness of

in-house and external training

courses.

19 Competence assessment

(a) Explain the process of competence

assessment

(b)Outline the purposes and benefits of

staff appraisal in the process

(c) Describe the barriers to effective

staff appraisal

(d) Suggest ways to measure the

effectiveness of staff appraisal and

the process of assessment.

20Conducting the appraisal process

(a) Identify the benefits of the appraisal

process

(b) Identify the management skills

involved in the appraisal process

(c) Describe the process of preparation

of an appraisal interview, including

location of interview and pre

interview correspondence

(d) Identify the key communication skills

required to conduct an effective

appraisal interview

(e) Explain the importance of feedback

from the appraisal interview.

21Individual skills and development

(a) Explain the link between the

appraisal process and effective

employee development

(b)Describe the role of the appraisee in

the process

(c) Suggest ways in which

self-development can be part of the

process.

(d)Describe the role of the manager in

work based skills development

(e) Identify the methods used to develop

skills

(f) Outline how to plan a skills

development programme

(g)Explain the role of mentoring in the

process of skills development.

22 The management of health and safety

(a) Identify preventative and protective

measures

(b) Describe safety awareness and training

(c) Outline working conditions and

hazards

(d)Explain the legal context and the

obligation of management.

MOTIVATION AND LEADERSHIP

23Motivation, concepts, models and

practices

(a) Outline the key theories of

motivation

(b)Outline classical and modern

theories of motivation: Argyris,

Equity Theory, Handy, Herzberg,

Maslow, McClelland, McGregor,

Vroom

(c) Outline the difference between

content and process theories of

motivation

(d)Describe ways in which

management can motivate staff

(e) Explain the importance of the reward

system in the process of motivation

(f) Explain the importance of

constructive feedback in motivation.

24Effective leadership

(a) Define the term leadership

(b)Describe the nature and importance

of leadership

(c) Outline classical and modern

theories of leadership: Blake and

Mouton, Contingency Theory, Fiedler,

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Handy, Hersey and Blanchard,

Likert, Tannenbaum, Trait Theory,

White and Lippit

(d) Compare and contrast the terms

leadership and management

(e) Identify the skills of a leader.

EFFECTIVE COMMUNICATION

PRACTICES

25Working with people interpersonal

skills

(a) Define the term interpersonal skills

(b)Explain the importance of developing

effective working relationships

(c) Distinguish between verbal and

non-verbal forms of communication

(d)Compare and contrast the difference

between aggressive and assertive

behaviour

(e) Illustrate the link between

interpersonal skills and effective

management practice.

26Communication

(a) Explain the importance of formal

and informal communication in the

workplace

(b)Explain communication models

(c) List and describe barriers to

communication

(d)Outline the importance to the

manager of effective communication

(e) Describe the effects of poor

communication

(f) List and describe the attributes of

effective communication

(g) List the main methods and patterns

of communication

(h)Explain the importance of the

process of consultation.

27The role of counselling

(a) Define counselling in the

management context

(b)Outline the role of the manager

when counselling staff

(c) Explain the importance of effective

counselling

(d) Identify the skills used in the process

of effective counselling

(e) Suggest reasons why the need to

counsel a member of staff may arise.

28Controlling conflict, grievance and

discipline

(a) Identify the main causes of conflict

within an organisation

(b)Outline procedures for managing

conflict

(c) Outline a suitable framework (both

internal and external to the

organisation) for dealing with

grievance and disciplinary matters

(d)Explain the need for effective

organisational procedures

(e) Explain the role of management in

respect of disciplinary matters

(f) Suggest ways in which the outcome

of the disciplinary process should be

communicated to the individual

concerned

(g)Outline the features of an appeals

procedure.

Managing People (Continued)