Syllabus: International Baccalaureate - Individuals and Societies - Business management (Higher Level)
Module: Unit 2: Human Resource Management
Lesson: 2.1 Introduction to Human Resource Management

Introduction

This article aligns with IB Business Management (Higher Level) – Unit 2: Human Resource Management, focusing on Topic 2.1: Introduction to Human Resource Management (HRM). It supports curriculum-aligned delivery while linking learning to workplace realities and career readiness.

This unit forms the foundation for understanding how organisations manage their workforce. It introduces students to the strategic role of HRM in achieving business objectives, beyond basic administrative functions.

Given the cross-curricular nature of commercial awareness and its relevance across Gatsby Benchmarks 4, 5 and 6, this topic provides a strong opportunity to deliver both academic and careers learning outcomes simultaneously.

Key Concepts

The IB specification outlines the following learning outcomes for 2.1 Introduction to Human Resource Management:

• Definition and purpose of human resource management – strategic and operational roles in recruitment, training, motivation, and performance.

• Workforce planning – internal and external factors affecting HR planning, including demographic changes and labour market trends.

• Labour turnover and retention – interpreting and evaluating turnover data and its implications for organisational strategy.

• Recruitment, selection, and induction – stages, methods, and implications of hiring processes.

• Training and development – types of training (on-the-job, off-the-job, cognitive, behavioural), importance of lifelong learning.

• Appraisal – purpose, types, and effectiveness of performance reviews.

• Dismissal, redundancy, and legal considerations – understanding causes, processes, and legal frameworks.

These concepts should be taught with emphasis on critical analysis and real-life application, especially around the impact of HRM on business performance and culture.

Real-World Relevance

The strategic value of HRM has never been more visible than in the post-COVID workplace transformation. For example:

• PwC UK restructured its hybrid working policy after internal surveys showed younger employees were disengaged from company culture. The HR function led a workforce planning response to boost retention and belonging.

• John Lewis Partnership implemented an employee ownership model that relies heavily on employee engagement, appraisals, and training, demonstrating HRM as a cultural cornerstone.

• Amazon UK has been in the spotlight for high turnover and controversial performance appraisals, sparking debate around ethics, working conditions, and long-term workforce planning.

Integrating these examples into lessons helps students grasp the strategic and ethical dimensions of HRM.

How It’s Assessed

In IB Business Management HL, students are assessed through Paper 1, Paper 2, and the Internal Assessment. Topic 2.1 can feature in all components, particularly:

• Paper 1 – often includes HRM decisions in the case study provided. Expect command terms such as evaluate, discuss, examine, or recommend.

• Paper 2 – Section C – focused extended response questions where students apply concepts like recruitment strategy or workforce planning to new business contexts.

• Internal Assessment (IA) – where students analyse real business issues; HRM topics like retention strategies or training effectiveness are common.

Teachers should emphasise the distinction between descriptive and evaluative responses, and help students practice structuring answers around real-world data and strategic consequences.

Enterprise Skills Integration

This topic integrates naturally with commercial awareness, workplace readiness, and decision-making – all core to the Enterprise Skills thematic framework:

• Decision-Making & Problem-Solving: Students can assess recruitment strategies using data (e.g. turnover rates), and make HR recommendations considering cost-benefit trade-offs.

• Workplace Readiness: Understanding recruitment, training, and induction processes prepares students for entry into professional environments.

• Commercial Awareness: HR decisions directly influence business outcomes – students explore the links between employee engagement, customer satisfaction, and profitability.

Incorporating simulation-based scenarios, such as designing a recruitment plan for a scaling tech firm, deepens this applied learning. Tools like the Skills Hub Business or Skills Hub Futures are designed to deliver this integration with zero-prep sessions.

Careers Links

This topic is ideal for meeting Gatsby Benchmarks 4, 5 and 6:

• Benchmark 4 (Curriculum to Careers): HRM clearly connects to roles such as HR Officer, Talent Acquisition Specialist, Organisational Development Manager.

• Benchmark 5 (Employer Encounters): Use real employer case studies or virtual Q&A sessions with HR professionals.

• Benchmark 6 (Experiences of Workplaces): Students can role-play job interviews, conduct mock performance appraisals, or analyse live job descriptions.

Enterprise Skills’ partnerships with employer networks also enable students to explore career paths validated by real businesses.

Teaching Notes

Top Tips:

• Use real job adverts to explore selection criteria.

• Compare staff training strategies across industries (e.g. hospitality vs fintech).

• Encourage students to calculate labour turnover and interpret its causes.

• Set up mock interviews with students playing HR and candidate roles.

Common Pitfalls:

• Over-focusing on definitions without applying concepts to business strategy.

• Treating HRM as purely administrative – miss the strategic role it plays.

• Students confusing dismissal (disciplinary) with redundancy (economic/structural).

Extension Activities:

• Debate: “Should employee surveillance be allowed for performance appraisal?”

• Research Task: Compare HR approaches in private vs public sector organisations.

• IA Support: Guide students in identifying real businesses experiencing HR challenges for their Internal Assessment.