The Strategic Context of Human Resource Management: Case Study Analysis

This report analyzes the strategic context of human resource management for Coolco, a preprepared food company in the UK. It covers STEEPLE analysis, social culture and socio-economic factors, stakeholder analysis, and HRM recommendations. The report suggests that HR managers should focus on maintaining a healthy work environment, implementing motivational factors, keeping stakeholders informed, and providing training and development opportunities for employees.

The Strategic Context of
Human Resource
Management
Assignment 2 Case
study

Table of Contents
INTRODUCTION ............................................................................................................................3
STEEPLE analysis establishing key drivers for organisational changes......................................3
Social culture and social economic factors that impact choice of HRM intervention .................5
Analysis of stakeholder interest and recommendation about HRM practices ..............................7
CONCLUSION .................................................................................................................................8
REFERENCES.................................................................................................................................10

INTRODUCTION
The human resources management is refer to an effective management of the
organisational people and bridge a gap between organisational strategies and employee's
performance. It give company an edge over its competition. The HRM show an exemplary
leadership by enhancing credibility of the business. This function make sure that the company lead
by example and organisation's actions fall in line with their vision. It is an effective approach to
the efficient management of individuals in a organisation or company in such a manner that help
to gain the competitive advantage. The human resources management mainly deals in those issue
which are faced by the employees in organisation. Main responsibility of HRM department is to
hire, evaluate, training and compensation to the employees (Anderson, 2019). The organisation
selected in this report is Coolco that is specialised in preprepared food both meals and single
items. It is established during 1978 in United Kingdom. This study will cover the STEEPLE
analysis, social culture and social economic factors in business, evaluation of stakeholders interest
and recommendation for the organisation.
STEEPLE analysis establishing key drivers for organisational changes
This analysis help the organisation to make planning for marketing strategies. By using
this tool a business can evaluate the macro environmental factors and give a brief description
about various outsider factors of a company. The STEEPLE stand for social, technological,
economic, environmental, political, legal and ethical (Bernard, 2020).This framework is helpful in
providing the particular applicable insights of these components that affect the operational
activities of a company. In context of Coolco, the STEEPLE analysis is discussed below:
 Social factors- This components taken in to consideration the market research and
cultural changes. This aspect is very helpful in judging the trend and pattern for a specific
nation. This framework identifies mistakes in marketing strategies and help the company
to generate new ideas. This factors involve demographic and the cultural attributes
regarding external factors. In relation to the Coolco, it provide the convenience food at a
low price and do not compromise with quality. They also serve to the local community and
support charities by offering food to them.

 Technological factor– This element in STEEPLE analysis is advanced and trend of
technologies activities for, technical incentives, research and development, automation
and rate of the changing technology. The new technology lead to change in production
method that offer an opportunity to improve profit margin of a company (Castaño-Rosa
and et. al. 2019). In case of Coolco, their sale increased by the E commerce, it boost their
food business in home country and in order to render more profit or income the company
should concentrate in automation's process.
 Economic factors- The national economic situation can be analysed by weighing the
unemployment, present inflation level, rate of growth and international trade. Economic
factor in STEEPLE analysis include the exchange and interest rate, stock quotes,
unemployment level etc. this factor has an great impact on the buying power of potential
customers and the capital cost of company. In relation to Coolco, during the COVID 19,
it become very difficult for them to keep its sales up to mark as the whole country faces the
situation of lock down.
 Environmental factors- This aspect help the company to assess positive and negative
affect a business is having on environment. This factor influence that firm which is related
to agriculture sector. It consider the legislation for environmental protection, air and water
pollution, management and disposal of wastes etc.(Cox, 2018). in context of Coolco, they
need to conduct different campaigns according to the work on ecological elements that will
support them to gain more brand awareness.
 Political factor- In this, there are different government policies related business impact the
organisation. The government make and interference in business in term of the increase or
change in interest rate may impact on demand patters of company. T include the trade
agreement, law clarity, stability of ruling party, interference of state etc. in relation to
Coolco, after the execution of Brexit law, it it treat its business deal negatively and mostly
norms are not applicative on the respective company.
 Legal factor- This element deals with the official complications, in order to avid the legal
issues, it is essential to check new legal policies and regulations to ensure a complete
compliance. It identifies that how an action or decision of the organisation can negatively
or positively impact functioning of that business in a country. The international business
organisation should analyse or determine the legal factor for each of states where they

operates (Liu, and et. al. 2017). In case of Coolco, its management have to follow the
government's rules and norms to smoothing the business operational activities. They
should follow the employment law and policies to maintain a positive working
environment to avoid the legal issues.
 Ethical- In this aspect, the social values are integral part within the organisation that
govern its behaviour. The ethical factors analyse what is correct or what is not correct.
Common ethical component for STEEPLE analysis are the cultural value of people,
tendency of people, integrity, duties, morality and employee's behaviour toward society. In
context of Coolco, for the long term growth of company they need to fulfilled their
corporate social responsibility toward environmental welfare.
Change in drivers of the factors
The change in driver factors is the transformation or an adjustment in the way of business
function. In context of Coolco, there are some change in key driver of factors.
 Dynamic trends- By this analysis it is identified that the success and growth of a business
can be impacted by the different preference and taste. In this situation, the organisation
should focus on different desire and need of consumers and work according to the
customer's or social trend (Nuttall, M., 2019).
 E commerce- It is determined that the E commerce is a key driver of the changes as the
company initially works in physical outlets but after the e commerce technology it become
very easy for them to enhance their sales even in pandemic situation. It lead to increasing
their strong customer base. Thus, is id identified as a main key driver of company's
changes.
Social culture and social economic factors that impact choice of HRM intervention
Socio culture include the social and cultural aspects. This term is related to the tradition,
beliefs, pattern, habits etc. that are present in population group. It is mostly used in the marketing
context and defined as the most remarkable drivers behind that way which is made by the people
in order to make decision in society. In context of Coolco, there are three main socio culture
which are given below:

 Expectation of society- The society's expectation impact the HRM decision making
process. As a society expect from a business to provide conducive environment for the
company to flourish. Then it is the responsibility of business organisation to fulfil their
social responsibility as it can provide employment to them and make stra6tgies in order to
keep the environment pollution free (Park, E., Choi, and Lee, T.J., 2019).
 Changing behaviour- Today the behaviour of customer are changing toward lifestyle.
Due the continue changing behaviour in customer the organisation have to remain update
with new changes and trend in the organisation. This factor affect the company mostly as
the society's preferences is very essential for the company's sales.
 Motivation- It is very important factor of the socio culture as the manger need to know the
importance of employee's motivation at workplace. It is an essential task for HR
management that the workers can trust them and work to generate more revenue for the
organisation. They should be encouraged in such a manner that it make enable to to work
with a positive mindset.
Socio economic elements are those factor that impact choice of the HRM intervention. It is used in
order to describe difference between the group of people that are related to their financial situation
and social class. In context of Coolco, there are some socio economic factor which are given
below:
 Inflation rate- After COVID 19, there was a rise in inflation rate due to which, the
business organisation impacted vastly. Each and every sector had to face the affect of
inflation rate. Especially, the food retaining sector impacted mostly due to the pandemic
situation and socio economic factors. These element affect the company in such a manner
that the people want average labour cost but because of the CPVID 19, the business
organisation had to minimize their labour cost that made a dissatisfaction among people. It
affect the HRM practices as the respective company wan not able to identify right talent
and in case, if they fine then it was very difficult for them to pay high wages.
 Unemployment- This component is very significant and helpful for the company in
respect of HRM intervention. In the pandemic situation, many companies fire their
employees without any reason. In this situation the was a rise in the unemployment and
people were ready to work at low wages because they need to earn money for their living

hood and families (Yang, Zhibin and Fu, 2020). This factor is helpful for the Coolco as it
hire the workers at low salary and wages.
 Technology- The HRM activities get impacted by this factor as it is identified that before
the COVID 19, the business organisation were completely depend on manual processes.
But, after the pandemic situation, the technology rise and reach at the next level and it
become a trend to work with innovative technology. The business organisation need to
recruit talented and skilled workforce who is enable to work on technology system. The
people with having good software knowledge are very beneficial for the companies. Thus,
this element impact the HRM practices and the HR manger new require an employees with
skill and knowledge which can deal in retail sector (Wang, J He and Lin, 2018).
Analysis of stakeholder interest and recommendation about HRM practices
Stake holder analysis is an activity in which the qualitative information are gathered and
analysed in order to identified that whose interest should be consider at the time of a plan or
program development within the organisation. In this, a best way is adopted to communicate with
all stakeholders throughout the entire project of the organisation. The stakeholder analysis contain
four strategies which are mentioned below:
 High power and high interest- These stakeholders are decision makers and affect the
company's project vastly (Vintilă, and et. al., 2019). The Coolco need to closely mange the
expectation of these shareholders.
 High power and low interest- These stakeholders are kept in a loop and they need to keep
satisfied as they hold a high power. In context of Coolco, its financiers are come under
this category.
 Lower power and high interest- These stakeholders are very helpful in future for detailed
project. Such stakeholder need to be keep informed about every information and major
issues which are raising within organisation. The Coolco's employees are lies under this
category of stakeholders.
 Low power and low interest- These type of stakeholders are monitored by the
organisation but do not bore them with an excessive communication. In relation to
Coolco, the creditor and social groups has low power and interest according to this
category.

Recommendations
Different HRM practises help the business organisation to get success and move forward.
So, the HR manager of a company need to understand the significance of motivation and other
several factors. They should undertake different strategies and action plan in order to improve the
employee's performance and work productivity. In context of Coolco, there are some
recommendation which are advised to the are given below:
 It is very essential for the HR manger to maintain the organisational environment healthy,
because the business atmosphere influence its employees a lot and also effect their
working performance. The workplace must be in such a manner that encourage the
workers to work with their culture. It should be consider that there should not be any
discriminant among the employees based on age, religion, gender and many more.
 The company should consider motivational factors that are responsible for the employee's
efficiency and effectiveness. It is very significant that the HR manager of company such
program or scheme in order to keep their workers satisfied and happy.
 By the analysis of stakeholders, it is suggested to the company that they should make
practise to keep its stakeholders happy and informed so that the respective company can
attain a high level growth. Therefore, it is very essential that the organisation take care of
its customers, employees and other. It will lead to increasing in their brand value and make
enable the company to generate more revenue by enhancing their sales.
 It is suggested to the HRM department that they make facility of training and other
development plan which are very helpful to improve the employee's skill and ability. It
make enable them to achieve the organisation objective in an effective manner. Because
due to the changing technology, it is very essential that every organisation educate their
employees and make able them to use new or latest technology so that they do not face any
problem to perform the organisational functions.
CONCLUSION
From this report it is find out that the STEEPLE analysis is very helpful for the business
organisation as it help the HRM department to manage people at workplace. An appropriate HRM
practices make enable the employees to perform according to the organisational guidelines in

order to the accomplishment of business's goals or objectives. The STEEPLE framework is a
planning tool used by the organisation in making marketing strategies and evaluate the macro
environmental factors that can influence a business. There are different socio economic and socio
cultural factors that affect intervention of HRM department. These factors affect the choice of
HRM intervention in term of customer's changing behaviour, inflation rate, unemployment and
many more. It motivate them to enhancing the employee's performance and productivity. It is
suggested to the company's stakeholder to take care of the employees and make feel them being
valued.

REFERENCES
Books and Journals
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