Contents Contents...........................................................................................................................................2 INTRODUCTION...........................................................................................................................4 PART 1............................................................................................................................................4 P1Explanation of main objective and functions of HRM and its usefulness of workforce planning withinMcDonald’s.......................................................................................................4 P2 Description of strength and weakness of different approaches of recruitment and selection6 M1ExplanationofhowHRMfunctionsarehelpinprovedtalentandskillstothe organization.................................................................................................................................9 M2 Evaluation of strength and weakness of recruitment approaches.........................................9 D1 Critically evaluation of recruitment approaches with examples............................................9 TASK 2..........................................................................................................................................10 P3 Benefits of HRM approaches for employer as well as organization....................................10 P4 Effectiveness of HRM practices for raising organization profit ad productivity.................11 M3 Explanation of different method used in HRM practice.....................................................12 D2 Evaluate HRM practices and application regarding McDonald’s......................................12 TASK 3..........................................................................................................................................12 P5: Analyse the importance of employee relations in respect to influencing HRM decision making.......................................................................................................................................12 P6: Identify the key elements of employment legislation and the impact it has upon HRM decision making.........................................................................................................................14 M4: Evaluate the key aspects of employee relation management and employment legislations that affect HRM decision making in an organization context...................................................15 D3: Critically evaluate employee relations and the application of HRM practices that inform and influence decision making in an organization context........................................................15 TASK 4..........................................................................................................................................15 P7&M5: Illustrate the application of HRM practices in a work related context, using specific examples....................................................................................................................................15 CONCLUSION..............................................................................................................................17 References......................................................................................................................................19 2
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INTRODUCTION Every business organization run their business by using various types of resource, human resource are play major role for run business corporation, the process of managing human recourse is known as human resource management. HRM encompasses those business activities which are designed to provide for and coordinate human resource of the business organization. To understand this concept,McDonald’s has been take, which is based on America, it was founded in 1940, it is the biggest, restaurant chain of the world which serve, French fries, soft drinks, desserts, burger, and breakfast items. This report has 2 part, in first part, importance of HRM approaches, practices, role function of HRM define in brief manner it also includes, the benefits of training development, recruitment approach on the organization as well as employee. In the second part relation of employees and ethical and legal rules affect HRM practices has been define in brief manner. PART 1 P1Explanation of main objective and functions of HRM and its usefulness of workforce planning withinMcDonald’s. HRM:Businessorganizationsaresocialsystemwhicharemadeofroles,interactions, relationship among people occupying different place in organization structure. Human resource are most vital part of the organization a its is essential for managing all resource by using certain systematic process this process is earlier known as staffing and personal management but now in present time it is refers as Human resource management. In other words, HRM is a procedure through which organization use their human recourse in most effect way to achieve their business goals. Human resource management is a series of integrated decision which form employ relationship their quality contribute to the ability of the organization. Following are the main objective of HRM Achievement of goals of business organization:It will help in achieving business organization goals by providing best class of workforce to the organization (Saks and Gruman, 2014). Toassistemployeeinachievinggoals:Managementdepartmentofhumanresourceof McDonald’s influence their workfare they motivate them towards achievement of goal and object of their organization. 4
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Integrated individual and organization goal: For achieving objects an mission of organisation, HRM is helpful in integrating organization goals with individual goal by analysis requirement and need of their employers. Increase employee’s job satisfaction rate:McDonald’s HRM department’s work of providing full satisfaction and positive atmosphere of working environment through which employer turnover rate reduces. Communicate HR policies:The main purpose of HRM is o community all the essential policies to employers. Developed and maintain quality of work life: Human resource management is work on increasing the balance life and improving standard of personals. Increase efficiency of employer:By motivation and an influencing workforce, HRM improved performance and capabilities of employers Optimum utilization of resource: The main objective of this department is to achieve goals with proper utilization and allocation of resource. Functions of HRM use in workforce planning: Following are the functions McDonald’s HRM departments done to improve workforce planning Managerial function: Theses functions are related with management procedure which are help in workforce planning (Gürbüz and Albayrak, 2014). Planning:HRM help in planning related to department policies and allocation of human resources. Organizing:They are work for organising all the employer and workforce according to their skills in the department. Directing:The department work on directing and motivating workforce towards completion of takes of the organization. Controlling:HRM, main function is to control any conflict and issue aeries between employers and labours and also control illegal or wastage activities which incurred cost . HR Operational: These are related with day to day functions of the HRM . Employment: Human resources management, focus on recruiting best skilled workers for workforce planning. 5
HR development: After selection they focus on providing training and start campaign of development programme and enhance skills of employers. Compensation: They also work for providing compensating to those employers who suffered from financial or physical problems Human relations: HRM main function is to build strong connection between workforce of the organization so that organization will get their objective. P2 Description of strength and weakness of different approaches of recruitment and selection Recruitment is the process of searching best personal for specific job designate of the business organization and selection is the process of taking decision regarding hiring and not hiring of each job applicant .There will be 2 types of approves are used in recruitment process, internal method of recruitment, Following are the strength and weakness of each approach , in context with McDonald’s ApproachedDefinitionStrengthWeakness Internal approachInthisapproach, organization hire those personalswhichare alreadyon the payroll ofthecompanyand those who worked for the organizing in past. Theyarerelatedwith organization,it includes,transfer, promotion, job position, employregretsand selectionofformal employers(Desa, Asaari and Yim, 2020). IfMcDonald’suse thisapproachof recruitment that they haveadvantageof familiarityThe management departmentknow about the skills and capabilitiesof personals. Itusefulinbetter utilizationof internalresources, some employers are suchhave capabilities that they deservepromotions itwillhelpin Itrestrictthe pertainsfor recruitment. Iforganization depend too much on the internal sources itshowthat companydeniesto take fresh talent with the organization. Itreduces competition. Theremaybe chanceofconflict arisesamongthose whogetpromotion andthosewhodid 6
reducingturnover rateandincreases goodwillofthe organization. Byrecruitment thoughinternal sourcethecostof trainingand development is also safe. It help in motivating personalsaswit promotion, employergetmore influentand motivatedtowed achievementof goals of business. Itusefulinsaving timeof recruitment processoffinding perfect job seeker. not get any reward. External approachWhenorganization recruitpersonafrom outside the company it s callexternalapproach. Inthisapproach mangers, use direct and indirectmethod, campusselection,by adverting,scouting, IfMcDonald’suse thismethodthen they have wider and morechoicefor select best personal for the job position. People with special skillsand knowledge could be Hiringpersonals frometernal approachis expansiveand time consuming process. It de motivation the existingemployers astheydon’tget promotionaltheir 7
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throughthirdpartto hirepersonalsfor company(Martínez- JuradoandMoyano- Fuentes, 2014). hired to stare up the existing employees. Italsousefulin motivating employersby increasing competition rate. Talentedpersonal joinbytheirrank they give new idea andsuggestion whichhelpin improving qualitativethe company. hard work. Thereare that the organization will be abletohirethe servicesofsuitable be candid on time. Selection Methods BASISSTRENGTHSWEAKNESS Skill/aptitude tests . This is procedure in whichPERSONALS abilityandskillare resoluteaswellas evaluatewhichare connectedtoexact job roles. Itincreaseworkers informationtothink significantlyand deeply. Then, every so often itdemotivates candidate’sincentive ifnotpassed successfully Also, due to anxiety, workers are unable to obvious the test. Interview It is move towards in whichcandidateare being asked question andindividualwith mostapposite answered is selected. Thisisconductto checkthe Sometimes BUSINESSand inequity is also done by the interviewers. 8
acquaintanceof person. Presentations/ GD’sStrengthisthatit analysisindividual confidentto verbalizeinpublic andalsotheir transportation skills. In this, alteration is more by interviewersandspectators whichmakesbroadcaster anxious and hesitate. M1 Explanation of how HRM functions are help in proved talent and skills to the organization. With the use of managerial and operational function HRM of McDonald’s help in identifying the best personals for the organization and they provide training to their employers though which they increase their capabilities which help in attain goal of business organization by using effective planning organizing and directly HRM function in day to day business life cycle (Findik and et.al. 2017). M2 Evaluation of strength and weakness of recruitment approaches Recruitment process helpin identifying best job seeker for the job position, internal approach useful in reducing cost and provide best job applicant with the organization , on the other side, external source are useful in find out skilled personal for the job designation help in increasing the competition. Both approaches has be benefitinternal approach reduce the competition rate and external source are highly cost incurred source to hire personals. D1 Critically evaluation of recruitment approaches with examples For recruitment basis McDonald’s management department use advertisement and campus recruitment process, to hire personals it will any help in getting best personal but it adversely affect on the organization as the cost of advertisement and searching campus and taking job interview will take high cost and time. TASK 2 P3 Benefits of HRM approaches for employer as well as organization In HRM there are many approaches are applied by organization which play major role in achieving the goals of business organization. Rewards, promotion help in enhancing motivation 9
of the employers. Following are the benefits of approaches used by HRM department of McDonald’s . Training and development: It is one of the most useful approach and process of HRM. In context with McDonald’s , the organization is one of the biggest corporation in hospitality sector in the world its market area is across the whole market. They are famous for service , to maintain the quality HRM approaches training to their employers. Benefits to organization: With the use of training and development campaign, the case related to conflict and issue decrease and training process help in improving the relation between workforce and organization and build positive goodwill of the organization towards employees. Benefits to employees: Training help in identify weakness of the employees and increase capabilities and skills bin them (Ployhart, Schmitt and Tippins, 2017). Flexible working hour: This useful in attain the objective and min goal of business entity. In relation with McDonald’s, the organization always proves freedom to their employer regarding taking decision and given suggestion during decision taking process. Benefits to organization:Flexibility in working hour and proceeding better working facilities with positive environment help in improving qualify of production and service and save time as well as cost also. Benefit for employee:Flexible time help employee to reduce their working stress and tension they work according to their way help in building performance level of the employees. Job and workplace design: HRM practice decide and help in chose the workplace and job potion for sleeted employee. McDonald’s always allocated personals on the basis of their skills and capabilities. Benefit to organization:Allocating right job for right personal help in building trust problems toward the organization and it also help in achieving the goals of the organization by selecting effective workplace design. Benefits to employees:With the suitable job position ad workplace design employers are able to learn so many thinks their level of knowledge is increase and their experience is also increase. Employees are able to enhance their capabilities by using approaches of HRM. With all of these approaches and [reacted of HRM, McDonald’s able to attain their vision. 10
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P4 Effectiveness of HRM practices for raising organization profit ad productivity. HRMpractice,includeshumanresourceplanning,motivation,enhancingthework environment, satisfaction to employees and providing compensation to employers. All these practices play vital role in the organization, they are help in decision making process . McDonald’s use these approaches to increase their productivity and profitably level Effectiveness of HRM practices Motivational reward: It is the most useful factor for workforce of any organization. According to Maslow‘s theory, organization will able to lead success when their workforce is fully motivate towards the organisation and it is possible only when organization able to fulfil basis and social need of the orkforce.HRM use in analysis they want and desire of employer and work on fulfilling McDonald’s provide motivating to their employees by providing intrinsic and extrinsic rewards, They give pleasure, achievement, recoganization incentive promotion to motivate employers. Advantage:Motivation approach help in increasing the productivity and profitablyas if workface is motivation then they do their work with full of potential without wasting time on politics and conflicts (Mallén, Chiva, Alegre and Guinot, 2016). Disadvantage:Giving reward of promotion and incentive sometimes becomes the reason of conflict. Flexibility: HRM follow the rules that the more workforces get flexibility the more they attract toward organization and work in effect manner. McDonald’s proved flexibility and give power of decision making which help in build trust and mind strong relation and connection with employers and organization. Advantage: Employers have right to take decision regarding specific area and they also enjoy from of work. They get motivated and stress less toward organization. Disadvantage:Employers take negative advantage and engaged in unethical or illegal business activities. Performance and reward: In business organization performance and reward and positively connectedwitheachthen,organizationabletoachievetheirmissiontheirdepartment performances with high rate. Manager always five reward to the employers who’s performance is extra ordinary. 11
Advantage: HRM practices, according to these practices, employers get incentive and reward if their performance is outstanding and they fulfil their target with give time period. It helps them to achieve the target on. Improve efficacy and skills of the business organization as well as employers. Employees towards attain individual as well as organization goal Disadvantage: Employee of the McDonald’s expected more rewards according to their perform but when organization not promote them ad not given sufficed reward then it will adversely affect the behaviour of the workforce of the organization which negatively reduce the profit rate of the organization (de Zubielqui, Fryges and Jones, 2019). M3 Explanation of different method used in HRM practice McDonald’s use motivation ‘s intrinsic and extrinsic method, they provide, incentive, promotion, through which the workforce of the business organisation influence and attract towards achievement of the goal of the organization by giving their best performance. D2 Evaluate HRM practices and application regarding McDonald’s Various HRM practices are used by McDonald’s in order to get their mission. They use recruitment approachselect best employers also they proofed promotion to maintain trust and build strong connection by motivating an providing best facilities through using training and development practices to the work. TASK 3 P5: Analyse the importance of employee relations in respect to influencing HRM decision making Employees are the most essential asset of an organisation that helps in carrying out the reaction with the aim to attain predetermined objective. Most of the organisation tries to enable desirable interrelationship between the employee as well as employer so that they feel as a desirable part of entity and remain motivated to carry out desirable performances. It has been overviewed that better employee relationship helps to improve the productivity of organisation as it encourages innovative decision making that helps to cope up with the external challenges successfully(Sanders and Lin, 2016). Along with that the chances of internal conflict, clashes as well as grievances are common in an organisation that somewhat leads to existence of poor performance. So it is the responsibility of internal manager of McDonald’s Company to focus on 12
the well-being of their personnel due to which they will remain competitive to carry out successfully performance. Theskillorientedjobapproach:Basedonskillorientedapproachemployee relationship can be maintained by offering adequate training and development session that focuses to enhance the existing skill, talent, knowledge as well as capabilities of staff. This promotes them to put forward desirable effort and remain competitive in terms to wipe out the competition. The manager of McDonald’s company based on this approach can promote employee engagement under which they effectively understand their responsibilities. Along with that inner staffs remain competent to prepare better decision which promote adoption of new technology and bring out favourable changes. Thus, it is significant for respected entity to promote employer of choice as employees get opportunity to function as per their abilities. Human relation approach: Based on this approach the staffs are considered as desirable financialinstrumentswithwhichgoodrelationshipsaresustainedtopromotethebetter functioning of entity. Human relation approach is successfully adopted by the McDonald’s company as staff directly contact with customer due to which based on effective interpersonal relationship efforts are taken to improve their existing performance. So that they can effectively communicate with customers and understand their requirement as it helps in building viable image within global market. It even encourages the interaction between employees with their superior so that they can put forward their opinion on the basis of their experiences. All constructive suggestion is entertained by top executive in order to make effective decision. McDonald manager get the advantage to promote employer of choice as it maintain successive relation based on which employees feels job security and can effectively work for long tenure. Thus, application of all these approaches immensely helps McDonald’s company to promote secured relationship between employer and employee in order to carry out uniform task. Along with that to become employer of choice helps to maximising the overall engagement, long term profitability and productivity. P6: Identify the key elements of employment legislation and the impact it has upon HRM decision making Employment legislation comprises of the laws which is necessary for the enterprises to adopt successful as they are planned and implemented by the local authorities to sustain the interestofdifferentstakeholders(ShenandZhang,2019).Explanationsofsomeofthe 13
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legislation which are adopted by McDonald’s company that positively impact HRM decision- making process are discussed below: Employment Relations Act 1999:This act was passed with the objective to sustain relationship between the employee as well as employee working in the particular work place. As desirable relationship helps to enhance the performance of employees in order to carry out better performance successfully(Turulja and Bajgoric, 2018). Following this legislation assist the internal manager of McDonald's company to conduct group discussion through face-to-face interaction or video conference that helps both employee as well as employer to make the significant decision as per the circumstances. It basically promote innovated decision making that is the desirable way to engage the efforts of an employee as they consider themselves as a essential part of the entity due to which they carry out best possible efforts to maintain significant position. Further, the chances of lack of transparency and inadequate flow of communication breaks the interpersonal relation which further leads to high possibility of absenteeism and turnover rate. Minimumwageact,1998:Accordingtothisactitistheresponsibilityofan organisation to prepare the desirable remuneration structure after maintain minimum wage rate structure. This is designed by the government with objective to safeguard the interest of each and every worker working in the organisation and get this benefit out of their performances Trappmann, 2017). For instance, people who are currently of 25 years old and more than that should get at least 7.83 pounds each hour. Workers fall under the age group of 21 to 24 as well as 18 years to 20 years are announced to get minimum wages that is 7.38 and 5.90 pound each working hour respectively. As McDonald’s operate in various parts of countries so before carrying out the operations manager of food outlet examine the rules and accordingly design the salary criteria. This process helps in effective allocation of work and carries out significant decision in terms to delivering the wages or salary. This is the better way to retain the interest of the customer for long tenure (National Minimum wage act 1998,2016). M4: Evaluate the key aspects of employee relation management and employment legislations that affect HRM decision making in an organization context As an organisation function in competitive environment that keeps on changing so to maintain updated performance it is prominent for an entity to liaison the relation between employer and employee. Coordination between the internal staffs helps in taking informed 14
decision successfully. As to maintain employee relation, human relation approach is promoted that focuses on developing competitive team that is desirable enough to bring transition and take effective decision(Para-González, Jiménez-Jiménez and Martínez-Lorente, 2016). Along with that McDonald's promote employment legislation that offer them fair condition and remuneration to work significantly. D3: Critically evaluate employee relations and the application of HRM practices that inform and influence decision making in an organization context Employee relation supports an organization's functioning as it favorably affects the decision-making process as a whole. In case McDonald’ employer does not share a productive relationship with workers, they may remain unwilling to develop their skills and function appropriately. Effective employee relationships help an organization to boost up profitability by maintaining a healthy employee relationship.Therefore, all theseHRM activities probably helps in effective decision making and need to be implemented depending on changing situation (Zeuch, 2016) TASK 4 P7&M5: Illustrate the application of HRM practices in a work related context, using specific examples Application of HRM practices in an organisation PersonSpecification Position: Restaurant manager Company: McDonad’s AttributesEssentialDesirable Qualification & ExperienceItisessentialthatapplicant need to successfully complete theirgraduationaswellas postgraduationfromwell approveduniversity. Throughout their career they It is preferable that potential candidateneedstohaveat leasttwoyearsofworking experience. 15
need to approximately get 60 % percentile. Skills or KnowledgeToeffectivelydealwith customer company encourages thecandidatethathave effectivelistening, communicationand persuasion skill to better deal with end user. Betterknowledgeof technologyandcustomer dealing experience are highly entertained. Questions from a business manager Q 1) Demonstrate the role performed by restaurant manager? Q 2) How well restaurant manager can recognise changing preferences of customer? Q 3) What are your strengths and how it can help in enhancing overall performance of an organisation? Q 4) How implementation of changes can improve functioning of entity? JOB DESCRIPTION Organisation: McDonald’s Designation: Restaurant manager Job Address: Job summary The organisation are keen to recruit the candidate that can effectively understand the changing dynamics and promote favourable changes to promote the interest of ultimate user. Role: To maintain coordination with other kitchen staff Systematically maintain the records or orders of customer and place them on time To carry out multiple tasks appropriately 16
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Selection criteria Promote team work and encourage staff to bring out better transition in their performance. Effective listening and time management skills to carry out better operations. Excellent communication skill to mitigate the chances of dissonance. Job offer letter 20thFebruary 2019 Critina Jones McDonalds company Dear ma’am, We are glad to inform you that on the basis of your evaluation process our team is quite impressed with your existing skill and knowledge. HR manger offers you the opportunity to join the vacant pots of Restaurant manager on 20thJuly’ 2020. Kindly forward all your documents and we are looking forward to see you as a responsible candidate of our organisation. Best regards, HR manager CONCLUSION From the above report it has been concluded that human resource management is a prominent part of the organisation that helps in maintaining the performance of employees by transforming plans into desirable actions. The purpose of department is to promote desirable employees and motivates then to flourish the operation of entity. There are various approaches of the recruitment and selection process it is the responsibility to use diverse evaluation process for different post in order to select the most suitable candidate amongst the large pool of audience. Therefore, employment legislation needs to be effectively followed to achieve sustainable performance significantly. 17
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