Operations explains the value of production. Many of the business principles address how to maximize production for the least cost which in turn provides the best opportunity to generate a profit in business.
Similar to documentation required for hiring an employee, companies must acquire certain documentation from their subcontractors. Without this documentation, most likely the hiring business entity will face stiff penalties and expose their company to unnecessary risk.
Labor burden refers to the additional costs an employer pays to have employees. The labor burden rate is a value added onto direct wages to understand the actual cost per unit of wages paid for an employee.
Job descriptions act as the framework for the relationship between the employer and employee. It is the starting point for the human resources officer in addressing proper matching of needs and resources. If properly written, the description acts as reference material for recruiting the best candidate, gauges job performance, identifies the career path and reduces risk of discrimination and unfair labor practices.
The terms ‘Front’ and ‘Back Office’ are used in business to refer to the form of office work conducted. In general the front office interacts with customers/clients and handles the day-to-day activity. The back office is where management leads the organization and handles the underlying financial affairs.
Every small business has a physical spot to process paperwork, whether it’s a notebook in a truck for a contractor or a large building complex with tens of employees for a multi-million dollar operation, the paperwork has to get processed somewhere. But there is more to this than the physical facility, it is more about the people and process involved that define the office.
Just like a manufacturing assembly line, the human resources department uses a process to find potential candidates, recruit qualified applicants, interview, hire and train the best person for the respected position.
When an employee travels for the company the question often arises as to how to best take care of the associated costs. By far the easiest and most efficient tool is using one of the accepted per diem methods advocated by the Internal Revenue Service.
To ensure that only individuals that are legally allowed to work get to work, the federal government mandates completing a Form I-9 for every new hire. The Immigration Reform and Control Act of 1986 (IRCA) requires employers to verify that the potential hire is allowed to work in the United States.
The Fair Labor Standards Act of 1938 (FLSA) promulgates rules related to minimum wages, compensation related to overtime, and recordkeeping requirements. The Act also defines the terms ‘Exempt’ and ‘Non-Exempt’ employees related to overtime.
There are basically three groups of financial based project reports. Each set has its own priorities and purposes. Project reports are a function of production reporting with the exception of the balance sheet set (commonly used for cash flow purposes).
