Unit 3 Human Resource Management - The Role of HRM and Organisational Development (Part 1)

This report covers the core areas of HRM that are supporting to creating sustainable performance and also evaluates the effects of changing nature of company on human resources skills & knowledge. It includes a comparison of different HRM areas, examination of strategic HRM, critical evaluation of recruiting and retaining employees, analysis of strengths and weaknesses of HRM, and investigation into internal and external factors that influence HRM decisions.

Unit 3 Human Resource Management
The Role of HRM and Organisational
Development (Part 1)
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Table of Content
Part 1: Report
1.0 Introduction 3
2.0 A comparison of the different HRM areas and their
contribution to organisational performance
3
3.0 An examination of strategic HRM in relation to the changing
effects on organisations and its business environment 5
4.0 A critical evaluation of the role of recruiting and retaining
appropriate employees from the available labour markets 6
5.0 An analysis of the strengths and weaknesses of HRM in terms
of its contribution to business success 8
6.0 An investigation into the internal and external factors that
influence HRM decisions in the workplace 8
7.0 Discussion and evaluation of these factors and how they
support organisational development 9
8.0 Conclusions 9
References 11
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1.0 Introduction
Human resource management is the department which is concerned for recruiting &
hiring the potential employee so that they can perform their job role in well-defined manner.
This ensures the training and development, compensation, leaves of the workforce by which
they can retain in the venture for longer period of time (Turulja and Bajgoric, 2018). This is
the business unit which ensures the workforce planning within the organisation so that better
results can be gain. This respective report is based on Aston Martin, It is the British
manufacturing of luxury sports cars. The organisation is founded in 1913 by Lionel Martin &
Robert Bamford. The headquarter of the organisation is in Gaydon, Warwickshire, England,
United Kingdom. This particular report cover the core areas of HRM that are supporting to
creating sustainable performance and also evaluates the effects of changing nature of
company on human resources skills & knowledge. Moreover, It will analyse the relevant
HRM practices in context to recruitment & retention of workers for the growth of the venture.
Lastly, it will analyse the internal and external aspects that are affecting the HRM decision-
making for supporting business development.
Mission: Aston Martin is having the mission to have the predictable growth and high
margins.
Vision: Aston Martin working to be the world's most desirable, ultra-luxury British
brand which is creating the most exquisitely addictive performance cars.
Objectives: The main objective is to design the luxurious products with a modern
style and elegance.
Strategies: Aston Martin is offering a high-end products and ensures the better
quality they deliver.
2.0 A comparison of the different HRM areas and their
contribution to organisational performance
Human resource is the wider areas which includes various factors and the main aim of
HRM is to attract the potential candidate who is having integrated set of skills and
knowledge in the given field so that they can full-fill the vacant position within the
organisation with the deserving employees (Raut and et. al., 2020). In context to Aston
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Martin, there are certain activities which are being done by the employees are explained
below:
 Recruitment and the on boarding of new employees: As the human resource
department majorly concern for attracting the interest candidate who can perform
their job role in an appropriate manner. In context to Aston Martin, this also helps in
motivating the existing employees to perform better and contributing the effective
performance of the company by hiring the expertise candidate in establish the
professionalism and creativity.
 Training and development: when the new employees is being hiring or the new
technology is being introducing within the organisation then it is vital for the
employees to provide effective training sessions to them for their overall
development (Piatak and et. al., 2020). Effective training to them helps in sharpening
the overall capabilities of the employees and they can be effective in their given field.
Alteration basically leads to supply the message to the employees that also helps in
knowing the overall productivity and the economical mode. There are various
methods of training such as on-board training and off-board training to be used for
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Illustration 1: The 12 Key Functions of Human Resources,2022

excellence of the employees. These are the methods which also helps in giving ideas
and the overall functionality so that all the measures can be operated in an
appropriate manner. These are the factors which make expert to the individual in
order to perform their job in an appropriate manner. In context to Aston Martin, they
are organising various training sessions to the employees for their development.
 Performance management: It is the corporate management tool which helps in
managing and monitoring the employee's working. It is the tool which create the
positive working environment by continuously monitoring the overall performance of
the company. The manager of Aston Martin must give the feedback by review the
overall performance of the employees by which they can improve their working on
day to day basis.
 Organisational structure: There are various factors which reflect the overall
functionality of the business but also ensures the better performance of the employees
and they can assigned the job to take care of employees and meet out their
requirement by which they can be familiar and feel happy at the workplace. This
reflects in the overall working of Aston Martin.
 Employees compensation and benefits: As the individual did not join the job for
fun but they join the particular venture with the aim of earning money and enhancing
their living standards by which they feel motivated and rewarded by organisation as
they are providing appraisal for the better performance of the company(Lasisi and et.
Al., 2020). In context to Aston Martin, they are giving appraisal and compensation to
the employees so that they can be dedicated towards their given job role.
From the above point it can be said that activities increases the productivity within the
organisation and also affects the entire productivity and profitability. These are the points
which directly affects the overall performance of the company. These are the basis functional
areas in Aston Martin that plays the major role in enhancing the overall customer satisfaction
that results in rising the fruitfulness with profit of the company. This gives the clear sight to
the structure which helps the employees in attaining the goals and moving forward to the
welfare of the company.
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3.0An examination of strategic HRM in relation to the
changing effects on organisations and its business
environment
In order to achieve the goal and the objectives, it is vital for the organisation to have
the effective business operations which could be in effectual & economic way. Strategic
human resource management is analysed as the procedure that is the arrangement of using
various working patterns at the workplace. Along with this, it also have the significant role in
analysing and presenting the future requirement of the company that also focuses on the
achievement of the company's objectives. Basically, Aston Martin focuses on preparing the
plans for the effective working.
 The approach of strategic HRM plays significant role is affecting the job satisfaction
of the employees and they also influenced the sincerity for the occurrence of the
structure(Poór and et. Al., 2019). Thus, it is evaluated that significant HRM
proposition that bring effectual and modify.
 In current time, the venture is facing huge competitive issues & the situation of the
market place is flexible in the nature. Aston Martin is focuses on the skills & the
power of the current market and its trends. In context to trusting volume approaches,
these are the aspects which are impacting the strategic HRM.
 Strategic human resource management focuses on the motivation of the employees,
concern of society, style, sincerity and construction to execute the occurrence of
concern by attaining the desired goal. Strategic human resource management plays significant role that majorly influence
the overall working with regards to attain the company goals and objectives. This also
helps in gaining the competition as this also get the techniques constantly in the
performance of the organisation.
The performance of Aston Martin can be
improve in certain ways. Some of them are
given below:
Description
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Analyse techniques that is needed by
employees:
when the structure is known related to the
power sets and also required by the top level
management and they use the instruments of
HR and the management can understand the
necessary ability to their employees so that
they can work as er the company's structure.
Understanding the business strategies: It is the procedure which is used by the
company so that they can concentrate for the
better research and development with the
new affiliation to the market mix in relation
to the products (Sirisha, 2019).The
development of new better strategies that also
leads to growth of arrangement across the
world.
Evaluate effectiveness of practices: The Human resource have to procure the
various practices that is being analyse the
powerfulness of the task that is being done by
the employees within the organisation. This
also helps in the constant pursuant about the
worker at the workplace.
Match HR function to strategies: After conducting the judgement of booming
business plan, the top level management
focuses on deciding the ability that is being
used as a competitive border to the major
concern. This is being evaluate that there are
certain ability that is used for conducting the
HR process such as recruitment and these are
the strategies which is being used for having
the successful business plan.
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4.0A critical evaluation of the role of recruiting and
retaining appropriate employees from the available labour
markets
There is the critical connection among the hiring and the retention of the employees as
these both are necessary for the overall enhancement of the business growth. This includes
the procedure that is given below:
 Working class in recruitment: It is the process that is vital for the company as this
helps in processing the better recruitment process. Getting the deserving candidate
who can perform the given job role. This tends to have the various advantages to the
workers, there are roles and duties of the recruiter.
 Hiring talented candidates: It is the duty of the human resource that they emphasis
on the skilled and talented employees so that Aston Martin can ensures the better idea
to work and job responsibility to the organization and also not require any sort of
training to train them for their better work as they are already expert in their given
field.
 Improving competitive advantage: when the employees are expertise in their given
job role which make them more efficient to move towards attaining the organization
goal and the competitive edges in the marketplace (Lee, 2019). In context to Aston
Martin, they are having skills and professional candidate which rightly meet the
competitive advantage within the organization.
 Developing motivation: It is vital for the company to influence its employees by
offering rewards to them and they can rightly perform the overall functionality of the
business. Aston Martin must influence their employees by which they can rightly
conduct the overall functionality of the business in the given job role. Mas low
hierarchy of Need they is being used to motivate their employees as it is basically
concern with the influence and the motivation of them within the organization. There
are basically five needs of the individual as per this theory which are physiological
needs, safety needs, love and belonging, esteem needs and self-actualization needs.
 Improving the policy: It is the process that includes the policies such as employees
welfare that are meant for the employees that they must feel safe and centralized
within the workplace by which they can rightly work in their job role with the
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consideration of attaining higher success and growth in the business. This also helps
in the long term sustainability of the employees in long term in the market.
Organization is providing reward on the basis of quality and also effect and even
advance commanding so that they can rightly ensures the better working within the
organization. The quality of the employees is being evaluated on the foundation for analysis
so that they also helps in the betterment of the company. The main aim is to enhance the
satisfaction level of employees and the dedication level of the employees for the higher
productivity if the employees. This is the
system which helps in measuring and supporting the employees in order to create the balance
in the professional and personal life. They also offering housing support, consolation,
payments systems, welfare plan, health promotion etc. further, they are offering corporate
pension plan by which they can support the planning management. These are the efforts that
benefits both the employees and the organization. Employees feel motivated and rewarded
which influence them for their better working and also fulfill the creativeness level within the
organization. They also help in providing the cognition wit the revised strength which assist
the modifications which is necessary for the development of the employees. It also cut down
the ration of the employees. Reduction is the turnover cost also assist in helping the overall
profitability of the company.
5.0An analysis of the strengths and weaknesses of HRM in
terms of its contribution to business success
Human resource management is the unit which ensures the effective workforce
planning by which they ensures the employees development by accessing the coaching,
training and its mentoring(Chaudhary, 2019). All such techniques helps them to become
successful within the operational departments. They also ensures the advocacy to the
employees as they build the gap between the employer and the employees. As when the
workers is having the issues with their co-workers they can directly talk to HR where they
can get the guidance and advice. On other hand, weakness of HRM is they are having lack
strategic of foundation which also garnered the reputation and a bit slow in adopting the new
processes. HRM is not customer focused as they are related to the hiring, retention and
productivity of the employees.
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6.0An investigation into the internal and external factors
that influence HRM decisions in the workplace
In an organization, there are certain factors which also helps the HR team to develop
the strength and opportunities of the company by which they can easily grow in the target
market. There are basically two factors that has impacted the organizational growth. These
are the major aspects which impact the overall growth of the business.
Illustration 2: HRM IN A DYNAMIC ENVIRONMENT,2019
These are the aspects which are impacting the overall HRM decision-making of the company
and these are given as follows:
External factors: Internal factors:
 Technology: These are the factors
which includes the change in existing
technology or can say that the use of
new technology(Berman and et. al.,
2021).As these helps in the easy
working of the company and they can
rightly attains the organizational
objectives for say Aston Martin is the
leading company and they are using
the advance technology which helps
them to save time time of the
employees in manufacturing the cars.
 HR system: This is being found that
sustainability and the working of the
company is on the basis of quality of
its employees. Aston Martin also
enhanced their human resource and
also introducing the active
management and the quality areas
with better communication channels
within the organization. It also helps
in practicing on the growth of the
employee's standards.
 Government policies: As it is known  Marketing strategy: These are the
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that the government pass any of the
polices or the rules that is helping the
entrepreneurs and company. There
are some of the factors which are
affecting the overall operational
activity for the growth. This also
helps in the human resource planning
so that they can get the better
functionality of the business. The
rules and regulation of the company
affects the overall functionality of the
business and includes training, hiring
and compensation and so on.
strategies that is being planned for the
consideration of reaching to their
target masses & also change over the
period of time to their possible
customized of the
construction(Armstrong and Taylor,
2020). In relation to Aston Martin,
HRM can make the decision-making
that also helps in the administration in
taking better decisions to the people
who are concerned to the particular
structure.
7.0Discussion and evaluation of these factors and how
they support organisational development
Internal and external factors have the major impact on the overall profitability as
when the Aston Martin is comply with the legal environment and launching the cars with its
upgraded version by using the innovative and advance technology. These factors helps them
to support the organisational development in the market. Where as internal factors includes
appropriate marketing strategy such as social media marketing or can be direct market in
order to attract large customer base in order to support the organisational development.
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8.0 Conclusions
It is concluded from the above report that human resource management is the process
that plays significant role in recruiting & selecting the deserving candidate who can conduct
their job role in well-define manner. There are different areas of HRM which is contributing
to the overall better performance of the company and these are performance management,
Recruitment, section, training and development and reward and other benefits so that they
can ensures the retention of the employees for the success of the company. Furthermore, there
are various HRM practices which helps in the overall performance of the company.
Technology, government policies are the external factors which is impacting the overall
profitability of the company. It is recommended to the company to give the better training
techniques and methods to the employees so that they can be efficient in their job role.
Moreover, it is also human resource manager also adopt the appropriate strategy of HRM
such as fair wages to the employees and their retention so that they can contribute to the
higher productivity of the company. They also ensures the effective methods of recruitment
and training so that they can hire the deserving candidate who can perform their job role in
well-defined manner.
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References
Books and Journals
Berman, E.M.,and et., al,. 2021. Human resource management in public service: Paradoxes,
processes, and problems. CQ Press.
Armstrong, M. and Taylor, S., 2020. Armstrong's handbook of human resource management
practice.
Chaudhary, R., 2019. Effects of green human resource management: testing a moderated
mediation model. International Journal of Productivity and Performance
Management.
Lee, H.W., 2019. How does sustainability-oriented human resource management work?:
Examining mediators on organizational performance. International Journal of
Public Administration, 42(11), pp.974-984.
North-Samardzic, A. and de Witt, M., 2019. Designing a human resource management
simulation to engage students. Journal of Management Education, 43(4), pp.359-
395.
Sirisha, K., 2019. Impact of Artificial Ntelligence on Human Resource Management.
Complexity International Journal, 23 (03), 388, 395.
Poór, J., and et,. al,. 2019. Internationalisation of human resource management: focus on
Central and Eastern Europe. Nova Science Publishers.
Lasisi, T.T., and et,. Al, 2020. Explanatory investigation of the moderating role of employee
proactivity on the causal relationship between innovation‐based human resource
management and employee satisfaction. Journal of Public Affairs, 20(2), p.e2051.
Moustaghfir, K., El Fatihi, S. and Benouarrek, M., 2020. Human resource management
practices, entrepreneurial orientation and firm performance: what is the link?.
Measuring Business Excellence.
Piatak, J.S.,,and et., al,. 2020. Infusing public service motivation (PSM) throughout the
employment relationship: A review of PSM and the human resource management
process. International Public Management Journal, 24(1), pp.86-105.
Raut, R.D.,,and et., al,. 2020. Analysing green human resource management indicators of
automotive service sector. International Journal of Manpower.
Turulja, L. and Bajgoric, N., 2018. Information technology, knowledge management and
human resource management: Investigating mutual interactions towards better
organizational performance. VINE Journal of Information and Knowledge
Management Systems.
Cantoni, F. and Mangia, G. eds., 2018. Human resource management and digitalization.
Routledge.
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