Importance of Human Resource Management

The report emphasizes the importance of human resource management (HRM) in a business unit, focusing on its ability to retain skilled labor for longer durations. HR managers provide training and review staff performances, encouraging employees and developing healthy relationships with them. This helps the firm enhance worker performance and gain a competitive advantage.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Purpose and functions of HRM applicable to workforce planning...................................1
M1...........................................................................................................................................3
P2 Strength and weakness of recruitment approaches...........................................................3
M2 & D1.................................................................................................................................5
P3 Benefits of HRM practices................................................................................................5
M3 & D2.................................................................................................................................7
P4 Effectiveness of HRM practices in order to raise profit and productivity of the firm......7
P5 Importance of employee relations in respect to influence HRM decision making...........8
P6 Elements of employment legislation and its impact on HRM decision making.............10
M4.........................................................................................................................................11
TASK 2..........................................................................................................................................11
A) Job specification..............................................................................................................11
B) Interview questions..........................................................................................................12
C) Candidate selection criteria.............................................................................................12
D) Job offer...........................................................................................................................12
P7 Application of HRM practices with relevant examples..................................................13
M5.........................................................................................................................................14
D3.........................................................................................................................................14
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Human resources are considered as one of the essential assets in the organization. Their
efforts and contribution assist the firm in gaining competitive advantage. Company recruit
candidates by looking at their skills and abilities so that they can perform well in the organization
(Hendry, 2012). Human resource management (HRM) practices involve recruitment, training,
conflict resolution, performance management etc. All these activities of HR managers support
the firm in retaining skilled people in the workplace for longer duration and performing well in
the market. Present study is based on Hilton hotel which is the private limited firm. It provides
high quality services top consumers as per their requirements. Current study will involve purpose
and functions of HRM in the organization. It will explain strength and weakness of recruitment
approaches. Furthermore, study will discuss benefit of HRM practices for employees and
employers both. It will describe importance of employee relations. In addition, assignment will
present application of HRM practices with reference to Hilton hotel.
TASK 1
P1 Purpose and functions of HRM applicable to workforce planning
Hilton hotel is the international hotel and the leading brand in hotel industry. Company
gives importance to its workforce and try to retain skilled labour in the workplace for longer
duration (Armstrong and Taylor, 2014).
 The main purpose of Hilton hotel to apply HRM practices in the workplace planning is to
enhance contribution of employees so that they feel motivated and perform their duties
well. HR manager of entity always try to manage people and retain skilled people in
workplace for longer duration. Human resource manager recruit skilled people as per
requirement of particular post and accordingly they give training to staff members. This
helps in developing skills of them and enhancing their work based performance.
 Company implement HRM practices in the cited firm with the aim to resolve conflict
situation so that healthy workplace environment can get created. By this way entity
become able to fulfil its common goal of enhancing profitability objective. The main
agenda of HRM of Hilton hotel is to resolve conflict and create healthy workplace
environment. For that HR manager plan to resolve conflict so that skilled employees feel
confident and they perform well in organization.
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 Another purpose of HRM in workforce planning is to minimize skill gap and raise
abilities of workers so that they perform well in the cited firm (Ployhart and Moliterno,
2011).
 Objective of HRM practices is to retain skilled people in the workplace for longer
duration.
Functions of HRM in the Hilton hotel are as following:
Recruitment
It is the major function of HRM of Hilton hotel. Company aims to enhance satisfaction
level of its customers for that it concentrates on hiring skills labour those who can provide
satisfactory services to customers (Jackson, Schuler and Jiang, 2014). In the workforce planning
HR manager of the cited firm focuses on gap in required workforce and actual employees and
accordingly it recruits the deserving candidates so that this gap can be filled. Selection process in
the entity is done through interview process. It hires experienced people in the workplace those
who can deal with clients well. Company plans to hire people as per the requirement of particular
post. It conducts interview and examine skills of the person. On the bases of interview their
capabilities are being judged. This helps in hiring talented people in the Hilton hotel. By this way
right number of people can get enrolled in business and they put their hard efforts to accomplish
goal of business.
Training and development
It is another major function of HRM of Hilton hotel. Company gives training to the
employees as per their requirements so that they can develop their skills and can perform in the
organization well (Arulrajah, Opatha and Nawaratne, 2016). Training is given through off the job
and on the job both methods. HR managers involves theoretical and practical both aspects in the
training and development sessions. Human resource manager of Hilton hotel makes plan to
enhance knowledge of employees, for that they arrange training programs for them. This is the
way that supports the firm in raising abilities of the person and making them able to perform
well.
Employee motivation
It is another most important function of HRM. Human resource manager of cited firm
encourage people by giving them reward and recognition (Cascio, 2018). Salary appraisal,
incentives, rewards, promotions etc. are several strategies that are implemented by Hilton hotel
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to motivate its staff members. It is another function of human resource manager in which HR
manager motivate employees. They review their performance and give them rewards and
recognitions. This supports in making effective planning for workforce and making them
positive towards the brand.
Conflict resolution
It is another major function of HRM in workforce planning where entity tries to resolve
conflict between employees and employers soon. This helps the firm in developing positive
environment and enhancing satisfaction level of workers (Armstrong and Taylor, 2014). HR
manager of Hilton hotel always work to resolve issues in business. This supports in creating
healthy workplace environment. By this way people perform well and they become positive
towards the brand. This workforce planning helps in enhancing confidence of the people and
retaining them in the firm.
M1
These functions of HRM are effective and helpful in accomplishing goal of the company.
As main objective of Hilton hotel is to enhance revenues of the company. If HR manager hire
skilled people and retain them in the organization for longer duration. Then it will be helpful in
enhancing productivity and profitability of the company because skilled people will perform well
and will provide amazing services to consumers. Motivation of staff members will help in
retaining skilled people. By this way entity will not have to spend much amount to recruit new
candidate because talented people will perform tin the firm for longer duration.
P2 Strength and weakness of recruitment approaches
Hilton is the global brand that provides high quality products and services to mass
audience. Company always hire skilled labour those who have great knowledge about market
and have experience to deal with consumers (Cascio, 2018). For that it adopts various
recruitment practices. Internal and external are two main recruitment approaches:
Internal recruitment
It is the type of method in which entity recruit the persons from inside of the workplace.
There are various methods thorough which vacant post can be field by existing workers. These
are such as job transfer, promotion, job rotation etc. Promotion and job rotation are the strategy
that are adopted by Hilton hotel in the workplace in order to fill the vacant post. In this entity
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promote deserving candidate for the vacant post (Armstrong and Taylor, 2014). There is internal
recruitment committee that take decision of selection and promotion.
Strength
 It is fast recruitment process in which entity became able to fill the empty post soon. For
example if Hilton hotel is required to fill manager post immediately then it would be
better for the company to promote person who is already working in organization. This
will help in filling the post in less time with skilled person.
 It is cost effective process because existing employee is getting promoted or transferred.
Individual already well aware with company policies and procedure so entity need not to
arrange training for them (Marchington and et.al, 2016). Promotion and job rotation encourage the people and make them satisfy towards the
brand. For example if demand is high in season time and Hilton needs immediate staff
those who can perform well and can satisfy consumers. In such condition HR manager
can promote person or can apply job rotation. This will help in filling vacant post from
right person. When individual gets promotion then it motivates them and they perform
well.
Weaknesses
 In the internal recruitment process Hilton hotel fails to bring new talent in the
organization. But if Hilton requires to make changes in business practices in order to
attract more consumers then it will require innovative ideas. In such condition this
requirement of company cannot be fulfilled because it can get failed to hire new talent in
business unit.
 Sometimes promoting one candidate cause resentments among other people. That creates
negative workplace environment (Hamori and Koyuncu, 2015).
 Internal recruitment fails to provide employment opportunities to external candidates.
External recruitment
It is the process in which entire hires people from external sources. There are various
techniques of external recruitment such as job portal, social media, advertisement, recruitment
agencies etc. Hilton hotel takes support of recruitment agencies in order to fill the vacant post
with deserving candidates (Salas and et.al, 2015). This process has some strength and weakness
these are as below maintained:
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Strength
 New talent enter into the organization that generates new ideas and entity gets innovative
ideas to enhance its performance. For example if Hilton is required manager who can
deal with family well then it will have to hire experienced person who have good
experience of working in hotel industry. By hiring new talent it will be able to deal with
consumers well. By this way consumers will like company’s services and they will come
to the place frequently. Pool of fresh talent support the cited firm in accomplishing its objective soon.
Weakness
 It is time consuming process because entity has to give new about the vacancy and then
have to conduct interview of each candidate that consumes too much time of the HR
manager ( Mayhew, R., 2012). Hilton hotel will have to spend huge amount in arranging
interview for large number of people. Furthermore, it will have to check eligibility of
each candidate which is time consuming process.
 It is quite expensive process because company has to invest in conducting interview for
all applications. Furthermore, HR manager has to give training to them so that they get
familiar with the workplace environment this enhances expenses of the entity (Hamori
and Koyuncu, 2015).
M2 & D1
Internal recruitment is the best method because it helps in filling vacant post with existing
people. These employees are well aware with organizational policies thus, entity will not
have to give additional training. Promotion can motivate these workers and they will perform
even much better. On other hand If Hilton recruits people from internal environment then it
would get failed to bring new talent in the firm. External recruitment is beneficial tool
because this helps in bringing new talent in the firm. By this way entity can get innovative
ideas for the growth of the organization. But it is costly process and time consuming too.
P3 Benefits of HRM practices
Human resource management practices are beneficial for employees and employers both.
It assists in improving performance of workers and gaining high profit to business unit as well.
HRM practices are as following:
Training and development
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 Benefits for employees: Training and development is the most important aspect of
business unit. That assists the firm in raising skills of employees and minimizing gap
between required skills and desired skills (Ployhart and Moliterno, 2011). This helps the
employees in enhancing their performance level and they get more career opportunities.
Apart from this, training is better for employees because it gives them chance to get more
monitory benefits. Benefits for employer: Training is beneficial for employer as well. If people are
performing well then employer will be able to get more revenues and that will enhance
performance of Hilton hotel to great extent (Hendry, 2012).
Performance Appraisal
Motivation is considered as one of the effective model that can help business unit in
retaining its skilled people in organization for longer duration. This is the way that helps
employees in identifying their performance and raising their performance as well. 360 degree is
the main model that helps in monitoring performance of person in organization. Hilton hotel can
take support of this strategy by this way it will be able to identify strength and weakness of the
person. This will help in giving appraisal to people on the bases of their performance.
 Benefits for employees: It is another important practice of HRM. Management review
performance of each individual in the organization and on the bases of their performance
they provide them benefits. Salary increment. Promotions, incentives encourages
employees and make them feel satisfied. This fulfil needs of workers. This gives them
energy to perform much better in organization. Benefit for employers: Apart from this, it is beneficial for employer as well. It helps in
retaining skilled labour of the hotel for longer duration (Armstrong and Taylor, 2014).
This is profitable for the employer because by this way they will be able to motivate
people and enhancing their overall performance. That will support in raising profit of
business unit.
Recruitment and selection
 Benefits for employees: It is another essential HRM practice in which company hires
skilled candidates those who can perform well in the organization. Recruiting skilled
labour is beneficial for employees because it minimizes their burden and they get time to
get relax.
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 Benefit for employers: Apart from this hiring fresh labour is beneficial for company as
well because by this way Hilton hotel get chance to bring skilled employee in the
workplace those who can contribute well in increasing performance of the firm (Jackson,
Schuler and Jiang, 2014). This will help in raising profit of entity and it will be able to
gain competitive advantage.
M3 & D2
HR manager is responsible for managing people well. It is responsibility of HR manager
that to motivate people. Performance appraisals effective HRM practice .For Example Company
can measure performance of people and accordingly it can provide them reward and recognition.
This is effective tool and help in motivating people. On other hand sometimes it creates
negatively in the mind of other employees those who do not receive rewards. In such condition
they make others also negative. Recruitment is another important HRM practice. For example if
Hilton wants to bring new talent in the company then it might take support of external
recruitment agencies but this might enhance cost of business and it is not sure that it can get
people as per the vacant post requirement.
P4 Effectiveness of HRM practices in order to raise profit and productivity of the firm
Human resource is the essential part of business unit, their contribution supports the firm
in gaining competitive advantage and enhancing its performance as well. Hilton hotel try to meet
with the needs of employees so that they feel satisfy and perform their duties well. It is beneficial
tool that assist the entity in expanding its business across the world and gaining positive brand
image. HRM practices are effective in order to raise profit and productivity of Hilton hotel.
HRM practices of Hilton hotel and their effectiveness are described as below:
Training and development
As training and development practice of HRM in the organization supports the firm in
enhancing skills of labour. By this way people perform their work effectively (Hamori and
Koyuncu, 2015). They deal with consumers well. That increase satisfaction level of consumers
as well. This is the best way through which company becomes able to attract more buyers. This
enhances its revenues to great extent. Training supports in improving skills and capabilities of
person. By this way they put their hard efforts and contribute well in enhancing productivity. By
getting training they do not make mistake and continuously try to raise profit of business unit.
Performance appraisal
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It is essential HRM practice of organization. It is responsibility of Hr manager that to
appraise their performance. By this way they can feel motivated and fell confident as well. This
makes them positive towards brand and they perform their duties well. This motivation helps the
organization in retaining skilled people in workplace for longer duration and raising profit of
business unit. Because talented people will deal with consumers well this will help in increasing
profitability of Hilton hotel. Employee appraisal is another important practice of HRM. Hilton
hotel give appraisal to each workers on the bases of their performance. They enhance their
salaries and provide them incentives as well. By this way workers feel motivated and they retain
in the workplace for longer duration. When skill people are retaining in the organization then
they will perform their duties well (Marchington and et.al, 2016). This will help the organization
in providing high quality products, service and resolving their issues soon. This aids the cited
firm in gaining competitive advantage and enhancing its productivity as well.
Conflict resolution
It is another HRM practice in which entity always try to resolve issues soon. This
supports in creating healthy environment where all people feel happy. This enhances their
productivity and they perform well in organization.
Human resource manger of Hilton hotel takes feedback from staff members. With the
help of this company find out issues in the workplace and try to resolve these problems soon so
that healthy workplace environment can be developed. Furthermore, if any issue take place or
conflict arise then HR manager immediately resolve these problems through negotiation process.
This enhances trust of employees on the organization and they put their best efforts for raising
profitability and productivity of the business unit (Armstrong and Taylor, 2014). Flexible HR
policies of Hilton hotel support the firm in making balance in personal and professional life of
employees. By this way workers feel encouraged and they put their best efforts top raise
productivity and profitability of the entity.
P5 Importance of employee relations in respect to influence HRM decision making
Employee relation can be defined as relationship between employees and employers in
the organization. Employee relationship plays significant role in the workplace. It influences
decision making process of HRM significantly. In order to develop healthy relationship with
workers company takes feedback from the employees ( Mayhew, R., 2012). On the bases of their
feedback comment HR managers of Hilton hotel make changes in the policies and work based
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practices. Thus, employee relationships significantly influence the HRM decision making
process. Employee relationship is considered as essential aspect for Hilton Hotel, it always tries
to develop healthy bonding with all staff member. Strong relationship helps in making changes
in HRM decision making process. For example if Hilton hotel wants to makes technological
changes in workplace and it has poor relations with employees. Then in such condition company
will have to change its decision, it is because people will not accept changes easily and they will
resist changes. Good relation can help in making them aware with benefits of this modification
so that they can accept new environment.
On other hand if company wants to make modification in its policies and flexible
working hours in seasonal time. Then in such condition if Hilton has strong relation with
employees then they will support the firm and will accept these decisions. But poor relation can
create consequence for the firm and it will not be able to make decision of changes in working
hours.
Employee relation is very important because this helps in making sound judgment for the
growth of company. If entity has strong relation with workers then people will support the firm
in its all decision.
In the modern era each firm is implementing the latest technologies in the workplace so
that performance of the company can be improved. In such condition it becomes essential for
Hilton hotel as well to implement these technologies so that workers can perform better. But
many of the employees do not accept this change because they feel under confident as they do
not have knowledge about these techniques (Hendry, 2012). In such condition HRM makes
changes in its decision and arranges training programs for the people. This enhances knowledge
of workers about the new technique and they get to know about benefits for them if they use such
machines. This helps in making them loyal towards the firm and they accept changes easily.
Employee relations help the HR manager in minimizing absenteeism in the workplace.
HR manager of Hilton hotel make effective HR policies and provide flexible workplace
environment to the employees. By this way workers feel happy and become able to make balance
between personal and professional life (Cascio, 2018). This enhance satisfaction level of them
and they become loyal towards the firm. It is effective for the HR manager in retaining skilled
labour in the workplace for longer duration. Employee relation is beneficial for the entity in
making changes in the workplace. Whenever government makes modification in the legislation
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then it becomes essential for the business unit to make modification in workplace as well. In
such condition many people resist the changes and do not accept it (Hamori and Koyuncu, 2015).
But if employer has healthy relations with its employees then people will communicate with the
managers rather than taking hard actions etc. By this way managers will make them understand
with the necessity of changes and workers will accept these changes. This supports the Hilton
hotel in conducting operations smoothly and legally.
P6 Elements of employment legislation and its impact on HRM decision making
There are various legislation that are related with employment. It is essential for the
company to follow these laws in order to conduct operations legally ( Mayhew, R., 2012).
Elements of employment legislation are as following: Employment right act: It law ensures that employer take care of the rights of employees
and provide them all resource that are essential to perform in the organization well. Sex discrimination act 1975: It is another legislation made by the company. Government
ensures that no firm discriminate the workers on the bases of sex. Each person whether it
is men or women get equal opportunities in the business unit (Hendry, 2012). Hilton hotel
follow this legislation effectively and provide equal development opportunities all
people. That is why workers of the firm are highly satisfied and they are retaining in the
firm since longer duration. Minimum wages act 1998: It is another major employment legislation that have been
made by the government to provide minimum wages to employees. Earlier to this act
many firms were not providing clear salaries to the workers. In such condition People of
the firm feel demotivated and they do not like to work in the organization. But this act
ensures that all people get minimum wages (Marchington and et.al, 2016). Hilton hotel
follows this law and provide salaries to workers as per the norms.
 Equal pay act 1970: It is another most important element of employment legislation. The
main purpose of making this law is to provide equal pay opportunities to all candidates.
Hilton hotel implement this law in the workplace strictly. It offers salaries to the
candidates as per their abilities and designation in the workplace (Salas and et.al, 2015).
This helps the firm enhancing satisfaction level of employees and creating equal
atmospheres in the organization where people can perform their duties well.
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All these employment law elements impact on HRM decision making in Hilton
hotel. Cited firm always ensure that it follows all rules and regulation in order to avoid
consequences. Employment rights act impact on decision making of HRM because if
people have poor skill and have poor capability to perform well then also entity has to
give them wages as per other employees those who are performing well. It is essential for
the Hilton hotel that to provide necessary safety to employees in workplace. If Company
fails to provide such environment then it might get penalised. In such condition entity has
to make changes in current practices and have to make new HRM decision in order to
enhance overall environment in the company.
M4
Pay role policies of the firm needs to be as per employment law.HR decision needs to be
made in such manner so that it can meet these requirements and can create fairness in
organization. Thus, employment law makes changes in HRM decision making process of Hilton
Hotel.
TASK 2
A) Job specification
Being a Human resource manager it is responsibility of HR manager that to prepare all
documents. Individual have to hire deserving candidate for the post of marketing manager. Job
description of this post is as below maintained:
Organization Tesco Plc
Job designation Marketing manager
Location London
Reporting authority Head of Marketing
Responsibilities Convert sales lead, generate business, keep
records of customers, handle team
Salary range 21000-37000
Age Between 25-35
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Qualification Master degree in marketing, Graduation
Experience Minimum 2 year experience of working as
marketing person.
Skills require Candidate must have good marketing skills,
communication skill, team working skill,
technical skills
B) Interview questions
Do you have experience of working in the retail store?
Why you want to join our firm?
How you will convert the prospect into real business?
What is your strategy to enhance business of Tesco?
How will you handle your team members?
C) Candidate selection criteria
Section criteria will be based on the qualification and skills of the person. As marketing
manager needs to have strong communication skill thus, HR manager will identify skills in the
person, their experience and confidence (Hendry, 2012). On the bases of these criteria candidate
will be selected in the workplace.
D) Job offer
Employee offer letter
Daniel White
585, London
United Kingdom, 11458
Dear Mr. Daniel
Ref- Application no 458/Dated 28/03/2018
With the reference to your application you have been appointed for the marketing manage post
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in Tesco Plc. We have gone through your profile and we have found you the deserving
candidate for the post.
I hope you will perform better as per the expectations.
Thank You
Sincerely
P7 Application of HRM practices with relevant examples
HRM is the essential department that is responsible to manage employees well and retain
them in the workplace for longer duration. HRM practices in work related aspect in Hilton hotel
are as following:
Training and development: It is most important function or practice of human resource
department, HR manager provides training to employees so that they can develop their
knowledge and can perform well in the workplace (Ployhart and Moliterno, 2011). For example
whenever new technology came into market then Hilton hotel has to arrange training programs
for its workers so that they can get to know about these machines and can handle these
equipments swell. This helps the workers in improving their knowledge and working
performance as well. For example Hr manager of company gives training to staff members. It
asks questions with them in order to identify their training needs. Accordingly manager arranges
training for them. This helps in improving skills of employees in Hilton hotel.
Conflict resolution: It is another essential HRM practice that helps the HR manager in
resolving conflict in the workplace effectively (Cascio, 2018). For example if Hilton hotel
provides reward to one candidate then it may create negative thoughts in other employees. In
such condition conflict can get arisen. In order to resolve this situation HR manager negotiate
with them and reach to the solution where both can be in win-win position. This helps in
increasing satisfaction level of employees and retaining them in the workplace for longer
duration (Salas and et.al, 2015). For example if there is conflict between employees and
management for incentives. Then HR manager takes action and arrange negotiating session. In
this negotiation both parties share their views and reach to common decision. This create win -
win situation for both because the decision taken by firm is both the benefit of both.
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M5
HRM practices are helpful in resolving conflict situation in the organization. It supports
in hiring skilled people in the firm and retaining them in workplace for longer duration. With the
help of HRM Practices Company can be able to identify needs of market and it will be able to
make changes in HRM practices so that it can match with these expectations. Skilled people are
assets of the company with the assistance of effective HRM practices Hilton hotel can motivate
people and can make them feel satisfied.
D3
Employee relation plays significant role in the fir,. If company has strong relations then it
helps the firm in making sudden changes in the organization for the growth of business. If
government makes changes in working hours and company does not have healthy relations with
people then people will resist this modification and they will not work for lengthy working
hours. But in the situation of healthy relations they will understand the facts and they will
support the organization.
CONCLUSION
From the above report it can be concluded that human resource management is the
essential part of business unit that continuously work to retain skilled labour in the workplace for
longer duration. HR manager gives training to the staff members and review their performance.
This helps the firm in encouraging employees and developing healthy relationship with them. It
is the best tool through which entity can enhance performance of the workers and can gain
competitive advantage.
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REFERENCES
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management practices: a review. Sri Lankan Journal of Human Resource Management.
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Cascio, W., 2018. Managing human resources. McGraw-Hill Education.
Hamori, M. and Koyuncu, B., 2015. Experience matters? The impact of prior CEO experience on
firm performance. Human Resource Management. 54(1). pp.23-44.
Hendry, C., 2012. Human resource management. Routledge.
Jackson, S. E., Schuler, R. S. and Jiang, K., 2014. An aspirational framework for strategic human
resource management. The Academy of Management Annals. 8(1). pp.1-56.
Marchington, M. and et.al., 2016. Human resource management at work. Kogan Page
Publishers.
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multilevel model. Academy of Management Review. 36(1). pp.127-150.
Salas, E. and et.al., 2015. Understanding and improving teamwork in organizations: A
scientifically based practical guide. Human Resource Management. 54(4). pp.599-622.
Storey, J., 2014. New Perspectives on Human Resource Management (Routledge Revivals).
Routledge.
Online
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