Manage a small team


This unit describes the skills and knowledge required to select, induct, train and develop staff members to enhance business operations within the parameters of all relevant legislative requirements.

It applies to individuals who operate a small business that stands alone, or is part of a department within a larger organisation. Individuals in this role have a good knowledge of industrial relations and team management and use effective, responsive and supportive communication in workplace interactions.

No licensing, legislative or certification requirements apply to this unit at the time of publication.

Elements and Performance Criteria



Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Develop staffing plan

1.1 Determine staffing requirements to allow the business to run effectively, in accordance with requirements outlined in the business plan

1.2 Identify and compare existing skills of owner/s and staff with business requirements to identify any gaps

1.3 Develop policies and procedures for owner/s and staff, in accordance with the business plan

2. Recruit, induct, train and retain team

2.1 Develop job or position descriptions, competencies required and selection criteria to meet business’ needs

2.2 Judge information obtained from each candidate against specified selection criteria, and select according to business needs and legal requirements

2.3 Induct new staff members in accordance with policies and procedures of the business

2.4 Make team members aware of their responsibilities and performance requirements as soon as practicable, and take opportunities to coach team members who are unfamiliar with procedures of the business

2.5 Develop and implement a staff development program and career paths based on requirements of business and staff competencies

2.6 Advertise staff vacancies appropriately in accordance with staffing plan

3. Comply with industrial relations obligations

3.1 Clarify workplace rights and obligations of employers and employees, in accordance with legal requirements and codes of practice

3.2 Counsel staff, if required, in a positive and constructive manner and record outcomes accurately

4. Maintain staff records

4.1 Develop staff records system to provide timely and accurate information, in accordance with confidentiality, legal and taxation requirements

4.2 Monitor and accurately maintain system for recording and retrieving personnel and payroll information, and seek specialist advice where required

5. Manage staff

5.1 Regularly review contribution and skills of self and other team members to ensure performance is in line with agreed performance measures

5.2 Monitor and adjust staffing requirements to respond to any changes in tasks and functions required by the business

5.3 Support and encourage staff, and acknowledge and reward their contribution

5.4 Regularly provide opportunities for staff to discuss work related issues

5.5 Develop contingency plans to cope with unexpected or extreme situations and take appropriate corrective action as required

6. Review team performance

6.1 Develop positive and constructive relationships with and between team members

6.2 Review and update team objectives in support of business goals on a regular basis in consultation with team members

6.3 Identify strengths and weaknesses of team against current and expected work requirements

6.4 Schedule time, on a regular basis, for team members to review work operations to maintain and improve operational efficiency

6.5 Encourage team members to monitor their own performance, suggest improvements and identify professional development needs, in accordance with personal and business requirements

6.6 Monitor and review staff turnover rate

Evidence of Performance

Evidence of the ability to:

use the business plan to:

determine staffing requirements

coordinate skill-gap training where required

develop human resource policies and procedures

develop job descriptions and selection criteria

determine induction processes

implement staff development program

adhere to legal requirements and codes of practice

develop staff records system

conduct ongoing performance measures

communicate effectively with staff members

develop contingency plans

develop strategies to review team performance

monitor and review staff.

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.

Evidence of Knowledge

To complete the unit requirements safely and effectively, the individual must:

discuss all government legislative requirements relating to staffing the business operation

explain work health and safety (WHS) responsibilities and procedures for managing hazards

summarise relevant industry awards or enterprise agreements

outline staff development pathways

identify training course options for staff development

summarise staff counselling, grievance and disciplinary procedures

identify unfair dismissal legislation and procedures.

Assessment Conditions

Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the Management and Leadership – Small and Micro Business field of work and include access to:

business equipment and resources

relevant legislation, regulations, standards and codes

relevant workplace documentation and resources

case studies or where possible, real situations

interaction with others.

Assessors of this unit must satisfy the requirements for assessors in applicable vocational education and training legislation, frameworks and/or standards.

Foundation Skills

This section describes language, literacy, numeracy and employment skills incorporated in the performance criteria that are required for competent performance.






1.1-1.3, 2.2, 2.3, 2.5, 2.6, 3.1, 4.1, 5.1, 6.3, 6.5, 6.6

Evaluates complex text to determine legislative, regulatory and workplace documentation


1.3, 2.1-2.6, 3.1, 3.2, 4.1, 4.2, 5.5, 6.1-6.3, 6.5

Prepares written reports and workplace documentation that communicate complex information clearly and effectively

Oral Communication

1.2, 2.2-2.4, 3.1, 3.2, 4.2, 5.3, 5.4, 6.1, 6.2, 6.4, 6.5

Articulates clearly using specific and relevant language suitable to audience to convey requirements, and employs listening and questioning techniques to confirm understanding

Participates in verbal negotiations and coaching using tone and language suitable to audience



Uses basic mathematical formulas to review staff performances within available work schedules

Navigate the world of work

1.3, 2.2. 3.1, 4.1

Understands own legal rights and responsibilities and is extending understanding of general legal principles across work contexts

Monitors adherence to organisational policies and procedures and considers own role for its contribution to broader goals of the work environment

Interact with others

2.4, 2.6, 5.3, 6.1, 6.5

Collaborates with others to achieve joint outcomes, playing an active role in facilitating effective group interaction, influencing direction and taking a leadership role on occasion

Looks for ways of establishing connections and building genuine understanding with a diverse range of people

Actively identifies important communication exchanges, selecting appropriate channels, format, tone and context to suit purpose and audience, and monitors impact

Get the work done

1.1, 1.2, 2.2, 2.3, 2.5, 4.2, 5.1, 5.2, 5.5, 6.3, 6.6

Uses digital technologies and systems safely, legally and ethically when gathering, storing, accessing and sharing information

Develops plans to manage relatively complex, non-routine tasks with an awareness of how they may contribute to longer-term operational and strategic goals

Makes a range of critical and non-critical decisions in relatively complex situations, taking a range of constraints into account

Uses formal and informal processes to monitor implementation of ideas and reflect on outcomes

Recognises and anticipates an increasing range of familiar problems, their symptoms and causes, actively looking for early warning signs and implementing contingency plans


Management and Leadership – Small and Micro Business