Essential Business and HR Terms for Management

Essential Business and HR Terms for Management

Key Terms and Definitions

Clear, concise definitions of common business, HR, and management concepts to improve understanding and decision-making.

Quality:

A measure of excellence or the state of being free from defect.

Perishable goods:

Goods such as food products that must be used within a short period of time.

Consumer:

A person or organization that uses a commodity or service.

Tariffs:

A tax imposed on imported goods and services.

Planning regulations:

A basic management function involving the formulation of one or more detailed plans to achieve an optimum balance of needs or demands with the available resources.

Capital:

Wealth, especially in the form of financial or physical assets.

Remuneration:

Payment or reward for services.

Stakeholders:

A person or group that has an investment, share, or interest in something, such as a business or industry.

Output:

The quantity or amount produced in a given time.

Motivational theories:

Concepts that describe the activation of goal-oriented behaviors in humans.

Physiological needs:

Physical requirements needed for human survival and proper functioning of the body.

Self-actualization:

The achievement of one's full potential through creativity, independence, spontaneity, and a grasp of the real world.

Subordinates:

Individuals belonging to a lower order or rank.

Hygiene factors:

Conditions that serve to preserve health, including fair pay and respect from other workers.

Time rate:

A pay rate calculated as money per hour or per week.

Piece rate:

Payment by results (employee paid for each unit produced).

Wages:

A regular payment to a worker because of services provided or products produced.

Commission:

Has several meanings, but the one studied here is: an amount of money given to an employee for sales in addition to salary.

Bonus:

Something given or paid to someone in addition to what is usual.

Appraisal:

The process of estimating the value of something.

Share ownership:

A way of part-owning a property, designed for people who cannot afford it by themselves.

Fringe benefits:

Various benefits given, such as free health care, paid holidays, a pension, etc.

Job satisfaction:

The level of happiness that employees have about their work.

Job rotation:

Technique in which employees are moved between two or more jobs.

Job enlargement:

Technique in which the number of tasks in the job increases.

Quick Tips

• Use these terms in reports, job descriptions, and training materials to ensure consistent understanding across teams.
• Reference motivational theories and hygiene factors when designing compensation and workplace policies.
• Consider stakeholders and capital when planning organizational strategy or investments.