Strategic Human Resource Management

This assignment explores the concept of strategic human resource management (SHRM) and its influence on organizational success. Students are required to research and critically evaluate different SHRM practices, such as recruitment, training, performance management, and employee relations, examining their impact on key organizational outcomes like productivity, innovation, and profitability. The analysis should be grounded in academic literature and supported by relevant examples.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1) The purpose and functions of Human Resource Management.............................................1
P2) Strength and weaknesses of different approaches to recruitment and selection...................2
TASK 2............................................................................................................................................4
P3) Benefits of HRM practices within an organisation...............................................................4
P4) Effectiveness of HRM in increasing productivity and growth..............................................5
TASK 3............................................................................................................................................6
P5) Importance of employee relation in decision making...........................................................6
P6) Key elements of legislation act of employees.......................................................................7
P7) Different application of HRM practices................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Human resource can be considered as the key essential element of an organisation which
is concern on managing human’s resources at work place. It is the most essential function of
each business organisation as to maximising the efficiency of employees at work place. Proper
human resource management procedure helps in handling the all organisational operations and
function in effective and efficient manner (Armstrong and Taylor, 2014). It consists as the
process of recruiting well educated and skilled people at work place as to developing their
performance and productivity at market place. Human resource management is described as the
process of finding, recruiting, screening and training programs for various job applicants as to
attaining growth and success. Every small as well as large business organisations are concern on
hire a HR manager who is responsible for each and every activity of firm. HR is concern on
managing and controlling employees and having focus on system or policies. ALDI is a chosen
company for this particular report as it is the most leading grocery and general retail company in
United Kingdom. The major purpose of firm is to satisfying the needs and wants of people at
market place through offering variety of products and services. This report contents the study
about functions and purpose of HRM, Strength and weaknesses of various approaches that are
applied by firm in recruitment process, benefits of HRM within an organisation, importance of
employees retention in decision making and many other elements regarding to employment
legislations will be discussed.
TASK 1
P1) The purpose and functions of Human Resource Management.
Human Resource management is refers as the key tool of firm which helps in developing
the knowledge and skills of workers at work place as to attaining high growth and success at
market place. In an organisation employees plays vast role in contributing their vast efforts in
growth and development activities of firm (Batt and Colvin, 2011). The basic objective of
human resource management is to controlling available human resources at work place in respect
to implement in appropriate manner. In the modern era organisations are concern on preparing
their image stand out in the mind set of people so they hire well educated and skilled people at
work place as to effectively managing all business operation in appropriate manner. The major
purpose of HR department is to enhancing the performance and productivity of firm through
1

encouraging employees at work place so that they can contribute their significant efforts in the
development activity of firm. HRM is significantly based on identifying educated and skilled
people at work place as to developing and improving their core skills and knowledge or motivate
them in each and every level or providing assurance that they have to hold up their allegiance
towards continuity of work for firm.
The major functions of HRM are described as below:
Recruitment and selection: This can be described as the most essential function of firm as a HR
manager is responsible for hiring well skilled and educated people at work place. Recruitment is
consist to be an effective process of gathering, screening, analysing and selecting appropriate
candidate among the number of applicants (Beardwell and Thompson, 2014). As a large business
organisations it is required for Aldi to maintain their image at market place so the company hire
well educated and experienced people at work place. The company set a criteria for their
applicants and select the most appropriate people at work place.
Maintaining good working condition: The another major responsibility of manager is to
maintain good working environment at work place in respect to providing an effective growth
and development of firm. It is effective for new employees as it is easy for them to adjust in a
friendly working environment. As a leading retailer company Aldi provide various financial and
non financial benefits to their workers.
Training and development: It is the fundamental duty of HR departments is to provide training
session to their new and existing employees as to developing their skills and ability to perform
various activities at work place. Training helps in rendering the proper job description of an
individual at work place.
P2) Strength and weaknesses of different approaches to recruitment and selection
Human resource management refers as the management of human resource at work place,
it consist to be an essential process which helps in attaining high growth and success at market
place. Human resource management take an effective participation in each and every operation
of firm that are held at work place (Boxall and Purcell, 2011). In the modern and competitive
business era organisation and its HR departments are concern on hiring skilled people at work
place through conducting an effective recruitments process at work place. Recruitment is the
process of motivating and encouraging people to apply for existing or new job opportunities that
2

helps in providing growth and development in their career. Aldi apply various sources of
recruitments in which some are evaluated as below:
Internal Sources: This can be described as the most essential sources of recruitment which plays
vast role in growth and development of firm. It is the effective procedure of fulfilling the vacant
place at work place. It is also an effective process of providing job opportunities to their
available employees within working environment. Most of the organisations are concern on
providing good and beneficial opportunities to their existing employees rather than new and
unknown people. Aldi apply this source as to implementing sustainability of employees at work
place. Internal recruitment procedure provide chance to their skilled employees for change and
promote their job profile and position this helps in creating growth and development in
individuals career (Brewster and Hegewisch, 2017). Firm design a notice give it to their workers
and employees in regards to vacant positions. If employees found good and advantageous for
their career than they apply for the same and the major advantage of internal recruitment is that it
is less cost effective in nature as in this implementation of expanses are less. The major demerit
is that people with significant skills are not getting job opportunities in well established
companies.
External Sources: This is also another essential source of recruitment. This performs a vital role
in hiring most talented people at work place. This method is widely applied by each small as well
as large business enterprises as to hire new and fresh talent within an organisation and attain high
growth through implementing freshers in various operations. This source of recruitment helps in
emerging new talent, skills, ability and mind set in a firm. As a large business organisation Aldi
conduct external source of recruitment as to rendering large area of employer to hire fresh talent
at work place. The major merit of this source is that wide range of educated and skilled people
get change to explore their knowledge and attain growth in their career (Choi, 2011). On the
other side the major weakness of this method is that it is cost consuming in nature as in this
organisations have to spend a huge amount in selecting appropriate candidate for work profile.
3

TASK 2
P3) Benefits of HRM practices within an organisation.
In the competitive world the major purpose of each business enterprise is to attaining high
growth and success through implementing proper flow of data and resources at right place.
Human resource management consist to be an effective process which plays vital role in
handling all resources and organisational activities in well planned way. As a reputed business
organisation Aldi is concern on emerging HR practices in appropriate action as to attaining high
growth and success in a specified of time. The process of performance management included in
HRM practices (Daley, 2012). It is not easy for an organisation to complete a work without
implementing coordination among employees. There are various benefits of implementing HRM
practices at work place in which some are described as under:
Developing employees working efficiency: Human resource can be described as the key sources
of firm and plays vast role in achieving organisational desired goals and objectives in effective
way. The key responsibility of human recourse department is to providing training and
development process as to enhancing their working ability and skills at work place. Well skilled
and talented employees are able to perform various activities together in respect to completing
the organisational activities. Aldi is concern on providing effective training session to their new
and existing employees in respect to developing their working ability which create value in
increasing performance and productivity of firm.
Promoting positive behaviour: The behaviour of an individual has a huge influence on growth
and development of firm as organisations and its higher authorities are concern on promoting
unique ides, talent and thoughts in order to reaching at higher growth. It is required for HR
manager to handle the behaviour of employees with their performance. The management
department of Aldi is concern on analysing the performance of employees in respect to
promoting them towards growth and success (Van Dooren, De Caluwe and Lonti, 2012).
Managers are focused on implementing good relationship among employees as to establish an
effective and friendly working environment.
Sustainability among employees: The another major benefit of human resource management is
the it helps in implementing sustainability among people through motivating them at work place.
Aldi is providing various growth opportunities to their employees and encourage them towards
4

developing their skills and knowledge. Growth implement sustainability among people at work
place.
P4) Effectiveness of HRM in increasing productivity and growth
In the modern era the basic purpose of each business organisation is to implement an effective
procedure of human resource management as to managing organisational all functions and
operations in effective manner. HRM plays a vast role in growth and development of firm at
market area. Management department of firm implement their significant effort in implementing
effective plan and policy as to making proper utilisation of resources at work place. A well
planned function helps in reaching at higher growth and productivity (Demo and et. al., 2012).
There are various factors that are essential for developing organisational performance and
productivity in which some are described as below:
Information system: This consist to be an essential system which plays effective role in
implementing proper flow of data and information within work place. This system helps in
transforming data and information form one department to another where it is required the most.
In this system HR manager performance vast role in rendering proper flow of data and
information to their lower department and upper department as to conducting all business
operations in appropriate manner. Employer and management department of Aldi are concern on
appointing skilled and educated people at work place and assign them in various departments as
per their skills and ability. This creates value in proper utilisation of resources which create high
benefits for firm or their customers as well. Company implement an effective communication
process as to managing proper flow of data and information from one department to another.
Clear and effective communication channel helps in providing proper information without any
kind of risk of misunderstanding. This system helps an individual in properly understanding the
role and responsibility at work place.
Talent Management: organisation mainly recruits well skilled and talented people at work place
for maintaining a proper flow of talent and human efforts. Organisation conduct an effective and
well planned hiring procedure as to recruiting skilled people for the available profile. As a
reputed and well established company Aldi is concern on hiring extra ordinary and talented
people at work place as to taking proper utilisation of their idea and thoughts into growth and
development procedure of firm. Manager of firm are concern on marinating the performance
measures of employees at work place as to sustaining talented people at work place for long run
5

of business activities (Guest, 2011). Each individual has some set of skills and knowledge which
are needs to be analysed by management department as to implement them in appropriate
manner. Aldi apply various measuring techniques as to analysing the performance and growth of
employees at work place. Firm provide various opportunities and advantages to their employees
as to motivate them at work place.
TASK 3
P5) Importance of employee relation in decision making
In the business era small as well as large business enterprises are concern on implementing
effective and friendly relationship with the employees as to establishing their proper efforts at
work place. It is important for an organisation to maintain effective relationship as to reaching at
higher growth and profitability (Hendry, 2012). As a well established company Aldi is focused
on maintaining effective relationship among employees as to establishing coordination and
collaboration at work place in regards to gaining high development and growth of firm. excellent
relationship is based on different elements and factors such as safe and healthy work area, where
it is good for firm to carry out business operation in effective and efficient manner. A good
participation and commitment of employees in different processes are cooperative in cheering
employees through reward, price and incentives. Good relationship of employees helps in
creating good decision for organisational benefits and profitability. There is various importance
of employee’s relationship in which some are described as under:
 A better and effective relationship among employees helps in implementing proper flow
of data and information without facing any kind of misunderstanding or wrong flow of
data. As a well known company Aldi focused on establishing formal relation with
workers which provide a positive presence of organisational formal activities and
operations.
 Good relationship helps in providing satisfaction as employees work with more
coordination and passion which create satisfaction at work place.
Friendly environment helps in encouraging employees at work place through setting up the
example of their other staff people (Huselid and Becker, 2011).
 It also builds cooperation among higher authority and lower level management which
helps in analysing the issue of employees in appropriate manner. Through this
6

organisation is able to taking effective decision in regards to companies’ profitability and
growth.
P6) Key elements of legislation act of employees
It is necessary for each business organisation to implement their organisational activity and
operation under laws and legislations. Organisation needs to follow some rules and regulations in
respect to gaining growth at wide area. In any situation company is not following the legal laws
and legislations than they will have to face various issues and conflicts (Jackson, Schuler and
Werner, 2011). There are various legislative policies in which some essentials are followed by
Aldi in respect to gaining growth in right manner are associated as below:
Age Discrimination act: This is an important legislation which is widely applied by
organisations as to reducing the factors of discrimination. This act is based on a specific criteria
of age as it encompasses that it is essential for each business firm to do not hire people less than
the age of 21 , so it is required for firm to recruit more than the age of 21 which is a legal age of
pursuing a job profile.
Anti Discrimination act: This is also an another essential act which provide various benefits to
organisation as well as their employees. This act is mainly advantageous for the people who are
facing various kind of issues and conflicts at work place in regards to discrimination that are
based on their sex, religion, colour etc. This is applicable in small as well as large business
enterprises which are having more than 20 employees to be working.
Minimum wages act: This is an important legislation which create value for employees in terms
of getting wages and incentives (Meredith Belbin, 2011). Wages are helpful in providing growth
in individuals career and under this act organisations have to provide wages to their employees
and they are even not able to denied to give wages. The organisation which is having more than
15 employees needs to follow this legislation as to providing effective working environment to
employees.
P7) Different application of HRM practices
Employees are the key assets of firm as they are helpful in developing organisational
performance and productivity through implementing their significant efforts at work place.
Effective management of human resource helps in enhancing the scope of human resource
practices. The management practices are effective in creating proper solution for the issues that
7

has a huge influence on organisational growth and performance (Jiang and et. al., 2012). At the
time of establishing new venture of Aldi the management of firm have to analyse the needs and
wants of people at market place as to providing them beneficial products and services. Various
kind of issues and conflicts are faces by company which are having a direct impact on growth
and development of firm. In order to resolving the issues in appropriate manner company apply
some human resource management practices in which some are described as below:
Planning of manpower required: This is the most essential element for an organisation or its
higher authority to take an appropriate decision in regards to implementing proper flow of
employees in a single task or duty. Appropriate requirement of workers helps the firm in
maintain proper flow of work and quality in completion of task.
Decision making: This can be described as the most essential component of each business
organisation as in this higher authority and management department of firm taking effective part
in creating appropriate decision in respect to attaining growth and success. The manager of Aldi
taking effective decision after analysing the situation in respect to resolving the issue in
appropriate manner (Lengnick-Hall, Beck and Lengnick-Hall, 2011).
Training of employees: This is also an effective practise for contributing significant efforts in
resolving various kinds of issues and conflicts at work place. A well trained and skilled
employee is able to analyse the situation and provide possible solutions as to improving the
conflicts situation of firm.
CONCLUSION
As per the above mentioned report it has been concluded that it is required for each business
organisation to implement various business operations at market place through proper managing
resources within work place. Organisation needs to hire well skilled and educated people at work
place in respect to effectively managing all operation and attain high growth and success.
Organisations are concern on spending a huge amount in hiring talented people at work place
which create benefit for firm through developing their performance and productivity.
8

REFERENCES
Books and Journals
Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Batt, R. and Colvin, A. J., 2011. An employment systems approach to turnover: Human
resources practices, quits, dismissals, and performance. Academy of management
Journal. 54(4). pp.695-717.
Beardwell, J. and Thompson, A., 2014. Human resource management: a contemporary
approach. Pearson Education.
Boxall, P. and Purcell, J., 2011. Strategy and human resource management. Palgrave Macmillan.
Brewster, C. and Hegewisch, A. eds., 2017. Policy and Practice in European Human Resource
Management: The Price Waterhouse Cranfield Survey. Taylor & Francis.
Choi, M., 2011. Employees' attitudes toward organizational change: A literature review. Human
Resource Management. 50(4). pp.479-500.
Daley, D. M., 2012. Strategic human resources management. Public Personnel Management,
pp.120-125.
Demo, G., and et. al., 2012. Human resources management policies and practices scale
(HRMPPS): Exploratory and confirmatory factor analysis. BAR-Brazilian
Administration Review. 9(4). pp.395-420.
Guest, D. E., 2011. Human resource management and performance: still searching for some
answers. Human resource management journal. 21(1). pp.3-13.
Hendry, C., 2012. Human resource management. Routledge.
Huselid, M. A. and Becker, B. E., 2011. Bridging micro and macro domains: Workforce
differentiation and strategic human resource management.
Jackson, S., Schuler, R. and Werner, S., 2011. Managing human resources. Cengage Learning.
Jiang, K., and et. al., 2012. How does human resource management influence organizational
outcomes? A meta-analytic investigation of mediating mechanisms. Academy of
management Journal. 55(6). pp.1264-1294.
Lengnick-Hall, C. A., Beck, T. E. and Lengnick-Hall, M. L., 2011. Developing a capacity for
organizational resilience through strategic human resource management. Human
Resource Management Review. 21(3). pp.243-255.
Meredith Belbin, R., 2011. Management teams: Why they succeed or fail. Human Resource
Management International Digest. 19(3).
Van Dooren, W., De Caluwe, C. and Lonti, Z., 2012. How to measure public administration
performance: A conceptual model with applications for budgeting, human resources
management, and open government. Public Performance & Management Review. 35(3).
pp.489-508.
Online
what is human resource management. 2015. [Online]. Available through:
<http://www.whatishumanresource.com/human-resource-management>. [Accessed on
7th July. 2017]
9

10