Strategic Human Resource Management - Analysis of HRM Practices

0Running head: SHRM
Strategic Human Resource Management

1SHRM
Table of Contents
Introduction................................................................................................................................2
Analysis of HRM Practices........................................................................................................3
PureGym................................................................................................................................3
Toyota (GB) PLC...................................................................................................................3
Effect of External Forces on Company’s HR Strategies............................................................4
Comparision Between Organisation and Delivery of HR Functions.........................................6
Approach to strategy..............................................................................................................6
High Commitment HRM........................................................................................................6
Best Fit HRM.........................................................................................................................7
HRM Practice.........................................................................................................................7
Ulrich’s Three Legged Model................................................................................................7
Role and Barriers for Line Manager..........................................................................................8
Recommendations......................................................................................................................8
Conclusion................................................................................................................................10
References................................................................................................................................11

2SHRM
Introduction
Human resource is a core part the organizational body that plays a critical role in its
operations and functionalities. The effectiveness of an HR model has a significant influence
on organisation’s success. Strategic human resource management is defined as the activity of
developing, attracting, retaining and rewarding the employees to benefit both workers and the
corporation. Modern companies adopt various model of HRM to ensure employees work at
highest capacity to fulfill the organisational objectives. This report will compare the HR
policies and practices of ‘PureGym’ and ‘Toyota (GB)’ and analyse the impact of external
forces on the corporations. Further, the report will evaluate the method of delivering the HR
functions in both companies and examine the challenges faced by the line manager.

3SHRM
Analysis of HRM Practices
PureGym
PureGym limited in a fitness chain situated in the United Kingdom; the company is Britain’s
largest gym chain with more than 450,000 members. The corporation has more than 172
gyms situated throughout the United Kingdom (Morrison, 2017). The key stakeholders of the
firm include employees, customers, shareholders, directors, suppliers, and investors. The
employees of PureGym include trainers, management staff, supervisors, and cleaning staff.
The company has adopted a Soft HRM policy to ensure they provide high-quality services to
its members and achieve organisation objectives. The trainers are highly skilled workers with
knowledge in the fitness field and the management staffs also include skilled employees. The
cleaning staffs are low skilled workers who perform repetitive tasks (PureGym, 2017).
The company hires local people who live near the gym; it allows employees to maintain
effective work-life balance; there are two shifts in the gym and employees for both shifts are
different which equally distributes the workload. In Britain, the national minimum wage for
25 years or above people is £7.50, for 21 to 24 its £7.05, for 18 to 20 its £5.60 and under 18
its £4.05, and the cleaning staffs receive such salary (Gov.UK, 2017). PureGym also ensures
that they comply with various other labour laws regarding health and protection of the
workers. Significant political changes, such as Brexit, affect the company because it creates
barriers for Europe expansion strategy. The climate in Britain also influences the business of
PureGym because, in snow storms or heavy rains, people did not prefer to go to the gym
(Shapland, 2015).
Toyota (GB) PLC
Toyota (GB) PLC is the corporation that focuses on marketing, sales, customer relations and
after sales relations between Lexus and Toyota in the United Kingdom. The company has
more than 400 employees, and its head office is situated in Great Burgh, Surrey (Toyota,
2017). The key stakeholders of the company include customers, employees, management,
government, business partners, shareholders, global society/local communities and business
partners (Toyota, 2017). The company has adopted a Soft HRM policy because it considers
employees as valuable assets that assist in the business growth. The company concentrate on
providing excellent customer service and its HRM policy strive to employ best talents from
the industry.