INTRODUCTION Human resource management is referred as an umbrella term which is used to define the development and management of workers within a company. This aspect includes all those activities which are related with the management of a business firm(Alfes and et. al., 2013). MainareasonwhichHRMfocusesincludestaffing,recruitment,training,benefits, compensation etc. Thisreport is prepared on the basis ofALDI which is a renowned German based supermarket chains offeringproducts & servicesto customers at discounted rates. At present,companyhasmorethan11,000storesin20nations.Thisorganisationisco- headquartered in Essen and Mulheim, Germany. This assignment is going to coverabout purposes & functionalitiesof HRM along with various merits and demerits of recruitment & selection approaches. Benefits of HRM practices for employees and employers along with their effectiveness is organisational productivity is mentioned. Valueof relation in workersin HRM decision making and key legislations impacts decision making of HRM are discussed. At last, applications of HRM practices in work related context are mentioned briefly. TASK 1 P1 Mention the purpose and function of HR in context with resourcing a business firmand workforce planning Humanresourcemanagementofanorganisationplaysamajorroleinachieving organisational goals and objectives. This is because it is the duty of HRdepartment to manage all the issues and information related with employees. There are different purposes and function of HRM in context with ALDI which are stated below: Functions of HRM There are different operational and managerial functions of HRM which are discussed beneath in context with ALDI: ï‚·Planning:It is one of the main function of HRM in which HR manager determines the type and number of employees which are required by a company so that their goals can be accomplished in a proper manner. This function of HRM in ALDI helps management in collecting, analysing and identifying current & future needs of company. Due to this, manager in ALDI will be able to do workforce planning in an efficient manner by resourcing only required candidates(Boon and et. al., 2018). 1
ï‚·Recruitment:It is an important HR function in which pools of desired candidate which are capable to perform business operations of company are selected. This function of HRM will help ALDI in hiring only capable candidates which will be able to perform well even in complex situations. With the help of these HR functions like recruitment and selection HR manager in ALDI will be able to resource only those employees into company which are capable to perform activities in effective manner. This will benefits in appropriate workforce planning. ï‚·Job analysis & design:It is the function of HRM in a business firm to specify required work experience, skill, qualification and nature of a specific job to employees. This allows ALDI to select only capable employees for a specific activity so that high profitability can be earned(Daley, 2012). Due to functions like job designing and analysing, ALDI will be able to resourcing only skilled workers so that high productivity can be achieved. ï‚·Training and development:This is another important function of HRM in which HR manager of company provide appropriate training to employees so that they can develop in a proper manner. This will help ALDI in attaining competitive advantage over rival companies. Training and development for employees will help the company in planning about job roles of new workforce so that only beneficial outcomes can be attained by company. Purpose of HRM There are various purposes of human resource management due to which a company is able to perform their activities appropriately. In case of ALDI, purposes of HRM are discussed beneath: ï‚·Staffing needs:Main purpose of human resource management is to recruit talented workforce which involves formulation of position announcements like identification of job duties and determination of skill level for a particular job. Beside this, other staffing needs such as termination of employees for violating polices, interacting with employees to acknowledge their issues is the purpose of HRM in ALDI. Due to this, HR department is able to do workforce planning such as supervision and organising of activities and 2
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resourcingofworkersappreciablywhichbenefitsinsustainingahealthywork environment(Gatewood, Feild and Barrick, 2015). ï‚·Law compliances:It is another purpose of HRM in which manager assures that each operation or activity which is performed by company must be carried out under legal regulations and rules. This will help the company in avoiding fines and penalties which they have to pay if laws created by government will not be followed. If HR manager in ALDI have appropriate knowledge of legal policies and laws, then effective workforce planning can be adopted by firm by considering all legislations of UK government. P2 Recruitment is defined as a procedure of searching and hiring most capable or qualified individuals for a job position, in a cost friendly and timely manner. Recruiting is a whole process which involves a life cycle including all the expectations of company from new employee. With thehelpofrecruitment,ALDIcanhireskilledemployeeswhichwillperformdifferent organisational work with full efficiency(Jabbour and de Sousa Jabbour,2016). There are different approaches to recruitment which are mentioned below along with their weaknesses and strengths: Approaches of recruitment Internal recruitment:It is a recruiting approach in which a business fills its vacant job position from already existing workforce of company. Hiring employee within company will help ALDI in maintaining their productivity as selected individual will be already familiar with the policies and customer of firm. ï‚·Advantage:It will reduce the time to hire employee for job position as selected person will already a part of company. On-boarding time will reduce as existing employing will have idea about operations of company along with policies & procedures followed there. ï‚·Disadvantage:This approach to recruit employees can develop resentments among managers and employees as only one person is going to be promoted out of entire team or department. This process will limits the applicant pool due to which external qualified candidates will not be able to preform for ALDI. External recruitment:This is an approach in which people from outside company are assessed for the vacant job position to acknowledge if there is any qualified person which can 3
perform complex work in efficient manner. In this procedure, manager in ALDI will search employee from outside company(Jabbour and de Sousa Jabbour, 2016). ï‚·Advantage:This method opens up very large pool of candidates for vacant job due to which chances of hiring suitable person is more. ï‚·Disadvantage:This approach to recruit is time consuming and needs high investment for promotingaboutjobinvestment,conductinginterviews,orientationsofselected employee etc. Selection is defined as the procedure where right candidate is picked or choose for vacant job position so that high advantage over rival companies can be attained properly.Various approaches for selections are discussed beneath: Approaches of selection Interviews:This test is the most common way to select an desired candidate out of the pool of thousand candidates. Interviews consists of some questions which are associated with firm. This approach to selection will help manager of ALDI in acknowledging the ability of a person to perform organisational work(Messersmith and et. al., 2011). ï‚·Advantage:This selection approach benefits in obtaining detail information about opinion and perception of people about work. In this method, various ambiguities are clarified and knowledge of person is acknowledged. ï‚·Disadvantage:Process is very time taking and opinion of different interviewers can create clashes while hiring candidate for job role. Situational tests:With the help of this selection approach, ability of an individual in performingcomplexsituationscanbeacknowledgedproperly.ItwillbenefitALDIin acknowledging the professionalism of a person while handing different situations. ï‚·Advantage:Specialscenariosinitiatedbyselectionpanelwillassure overlapin judgements of applicant and requirements of job. This method is more beneficial for high volume screen assessment(Shen and Benson, 2016). ï‚·Disadvantage:Due to nervousness, some candidates may not be able to give their best performance due to which company will loose a capable and talented employee. 4
TASK 2 P3 Human resources management posses various advantages to employers and employees in an organisation due to their functions and purposes. It plays a vital role in the management of workers. There are various practices which are performed by HRM in ALDI which benefits in attainment of organisational goals. Other than this, these practices individually benefits both employees and employers of company in a specific manner which is listed below: HRM practicesEmployeeEmployer Recruitment and selectionRecruitment & selection when carriedoutinternallyoffers different growth opportunities to an employee.In order to gainpromotion,employee showcase their best efforts due towhichtheirabilityto perform work improves in a considerable manner. This will benefits in sustaining a strong career(Stone and et. al., 2015). Duetorecruitmentand selectionofacapable employeeforthevacantjob position,employerinALDI will be assured by the work quality. Due to which, burden of employers is decreased and theyareabletoachieve expectedoutcomesand productivityasper expectations. Training & DevelopmentWith the help of development andtrainingactivities, employees in ALDI will feel comfortable while performing businessoperations.Also, theirworkingpotentialwill rise which will enhance value of their work in organisational context(Ambergand Duetotrainingand developmentsessionsfor existing&newemployees, employer in ALDI assures that skilled employees are working forcompany.Duetothis, achieving targets and goals of company became easy. Skilled employeeswillbenefits 5
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McGaughey,2019). Training andacknowledging organisationalwork will help ingeneratingconfidencein workers due to which they will feelconfidentwhile performing difficult tasks. employersbygivingtough competitiontorival organisationsinaneffective manner.Thiswillresultsin timelyachievementof organisational objectives. P4 With the help of human resource practices, capability and efficiency of workers in an organisation can be increased in a considerable manner. HRM practices in a business firm posses high benefits to the employees by resolving their issues and offering them good working environment. But the role of HRM do not limits to welfare of employees only. These practices will also assists in increasing profits and productivity of ALDIin a considerable manner by guiding employees the right manner to do work. There are various HRM practices whose effectiveness results in attainment of organisational goals and expected profits in a simple manner. Some of these practices are stated below: ï‚·Recruitment and selection:This is referred as the procedure of finding, attracting, analysing and hiring an appropriate person for the vacant job role in a business firm. Selection and recruitment of employees is considered as the most essential function of human resource department in a company. If this department is not going to recruit desired employees, organisational productivity will became very low due to which earning high sales and revenues will not be possible for company(Brunstein, 2016). This HRM practice assures that right person will be given right work due to which targets are completed on time and overall productivity of a department or organisation enhances in a considerable manner. Hiring skilled employee will help ALDI in tough competition to rivals due to which company will be able to earn high revenues and profits against rivals. ï‚·Training & Development:-It is depicted as a procedure in which capabilities and skills of a person are improved by giving them guidance and direction. This results in improvingtheirworkingpotentialduetowhichtheywillbeabletoperform 6
organisational work in appropriate way. This will help the company in performing business activities more appropriately due to which high profits and revenues will be generated by ALDI. Also, training will improve those skills of a person which require modification. In this way, entire team and departments will became more capable to achieve goals and target. This will results in enhancing organisational productivity of company(Chukwuka, 2015). TASK 3 P5 HR department of a firm is responsible to take influential decisions in case of business activities, operations, employee compensation etc. but in order to take right decision, manager in ALDI is needed to maintain effective relation and interaction with the workforce. Appropriate employerandemployeerelationinALDIwillbenefittheminimprovingtheiroverall productivity due to which achieving organisational goals will became an easy task. Having good relation will help manager in taking appropriate decision related with culture andactivities performing procedure of employees. Thus, it is vital for manager in ALDI to formulate good relation with their staff members so that employees can adopt changes made by management in a positive manner. If employers and managers in ALDI have bad relation with employees then they will not be able to accepts the changes taken by management in a positive manner. They will retaliate against change due to which overall productivity of company can reduce and employee turnover rate can enhance. For instance, management in ALDI have decided to increase working hours of employees form 8 hours to 9 hours due to peak load. If employees have bad relation with management and employers then they will not agree to this. This can create a conflicted environment in workplace(Huselid and Becker, 2011). But on the other hand, if company have positive relation with workers they will understand reason behind this decision and follows it properly so that organisation can attain their targets. This shows that relationship of employees with organisation impacts decision making in a considerable manner. Below are stated some ways by which HR manager in ALDI can sustain strong relation with workforce: ï‚·HR manager of ALDI is required to give fair treatment to workers by providing them same working environment and avoiding aspects of partiality(Khan and Jahur, 2016). 7
ï‚·Employees which are working hard than other employees must be given some benefits, appreciation and rewards. This will motivate them to perform best in future also. ï‚·Training and development sessions must be started for employees so that they can overcome their weaknesses and lacking while performing business activities in a proper manner . This will benefits ALDI in giving tough competition to rival firms. ï‚·Manager of company is needed to include employees in decision making so that they can feel more valued and adopts the decisions which are taken by ALDI for attaining high profits. P6 Employee legislation are defined as the policies and rules that are needed to be followed by business firms so that organisation can perform their activities and operations without compromising with the welfare of workers. Various elements of employee legislations in context with ALDI are stated below: ï‚·Sex discrimination Act, 1975:This Act is formulated by the government in UK so that both male and female workforce in business firms can be given same treatment. This will resolve the issue of gender harassment in companies. In this context, the manager of ALDI is required to be impartial on sexual grounds while recruiting and promoting employees(Longoni,Luzzini and Guerci, 2018). In context with this, HR manager in company will have to take decisions without any gender biasing i.e. policies which will be made will favour each and every employee irrespective of gender. If decisions will not be taken in this context, victim employees can feel grievance due to which they can file a law suit against company. This will results in payment of high penalties and fines along with image tarnishing of company. ï‚·Equal pay Act, 1970:In accordance with this Act, each employee offering same services is required to be paid equally to other employees. If some employee will be given more salary than other, it will create dissatisfaction among the staff member of ALDI. In this context, manager in ALDI is needed to pay same amount to employees for their same work. In this case, company is require to take decisions about salaries of employees in impartial way. If company is going to differentiate among staff members in terms of salaries then reputation of company will reduce. This can results in loss of employees and 8
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customers trust which will decrease popularity of ALDI(Renwick, Redman and Maguire, 2013). ï‚·Health and safety Law, 1974: This law states that it is the responsibility of an employer in a company to assure than all the staff is safe during working hours and must be protected from possible threats. In this context, HR manager in ALDI is required to take only those decisions which do not harm the life and health of employees. If companytakes some decisions which can act as a disadvantage for the health of employees, government or victim employee can sue company. This will reduce the image of company in a negative manner. Due to this, company can also face issues like employee turnover or lower productivity. In case of ALDI, decision making of company must assure that job environment is positive and posses no health risks. TASK 4 P7 There are different HRM practices that benefits a firm in selecting desired candidates which are able to perform appreciable work even in difficult and complex situations. In context with ALDI, some applications of HRM practice in relation with the firm so that capable employee for the position of customer service assistant can be hired are discussed below: JOB SPECIFICATION Company:ALDI Job title:Customer service assistant Educational Qualification:-MBA in business administration Essential Criteria: ï‚·Mustbeabletomanagehighcoordinationwithcustomerstoperformbusiness operations effectively. ï‚·Must posses high knowledge of governmental legislations and market concept. ï‚·Capable to deal with complexities in an efficient manner. Desirable Criteria: ï‚·3-years of experience in offering services to customers. ï‚·Good communicational skill 9
ï‚·Hard working JOB DESCRIPTION Name of Organisation:ALDI WorkingDepartment:customer service department Job Title:-Customer service assistant Job location:London Job summary Company is finding a suitable employee which posses sufficient knowledge and skills to perform business activities ofcustomer service assistantin efficient manner. Role: Developingstrategies and policies for performing business operations and interacting with customers systematically Behaving with customers in ethical manner Compliance with different legal laws formulated by UK government during conversation with customers. CURRICULUM VITAE Name of applicant:John Lewis Address:19thlane, Birmingham,England Phone No:142523456 Career objective:I want to work in an organisation where my skills and capabilities can further increase so that I can sustain high growth in career. Educational Qualification:- ï‚·BBA ï‚·MBA Experience:4 year work experience incustomer service department of Tesco Declaration: I hereby, declare that information listed about me is accurate as per my knowledge. 10
Date:08-08-2019 Place:Birmingham, England Preparatory document for selection criteria Preparatory document for selection criteria involves details about various selection procedures that is required by the employers in ALDI to hire the right and deserving candidate (Schalk,Timmerman and Van den Heuvel, 2013). In context with selecting employees, preparatorynoteswillinvolvevariousstagessuchaspreliminaryinterview,receiving applications of candidates, screening of applications, different interviews and written tests etc. In context with selection procedure in ALDI, a chart is mentioned below: Source: (Selection process, 2019) 11 Illustration1: Selection process, 2019
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JOB OFFER LETTER Mr. Nick Jones 28thstreet, London, UK Dear Mr. John Lewis, We are very much pleased to share with youthat company has selected you for thejob position ofcustomer service assistant Job duties and responsibilities: ï‚·You will be needed to interact with customers of company in ethical and pleasant manner ï‚·You are required to resolve issues which are faced by customers while using products and services of company Reporting to: Board of Directors Offered salary:15,000 pounds/ month Work time: 9:30 AM to 6:30 PM. Vacations: 1 day leave per week Benefits:Compensation provided by firm to their employeesinvolve disability,health and life insurance and other employee benefits as per performance. We are delighted to offer you this letter and you can initiate your job from 15-08- 2019. Sincerely Nick Jones CONCLUSION Asperabovediscusseddocument,itcanbecomprehendedthathumanresource department of a company plays a major role in its success. There are some purpose and functions of HRM whichbenefits company in attaining business goals efficiently.Different recruitment and selection approaches like interview, skills test, internal and external recruitment helps in hiring capable candidates but possess some weaknesses and strengths. Different HRM practices 12
like orientation and training to employees benefits employees, employer and profits of company in a proper manner. Legislation of government and company impacts decision making of HRM department in a considerable manner. With the help of interview questions,CV, person specification and job description, skilled and capable candidates can be hired for vacant positions. 13
REFERENCES Books and Journals Alfes and et. al., 2013. The link between perceived human resource management practices, engagement and employee behaviour: a moderated mediation model. The international journal of human resource management. 24(2). pp.330-351. Amberg, J. J. and McGaughey, S. L., 2019. Strategic human resource management and inertia in the corporate entrepreneurship of a multinational enterprise.The International Journal of Human Resource Management.30(5). pp.759-793. Boon, C. and et. al., 2018. Integrating strategic human capital and strategic human resource management.The InternationalJournal ofHuman Resource Management.29(1). pp.34-67. Brunstein, I. ed., 2016.Human resource management in Western Europe(Vol. 68).Walter de Gruyter GmbH & Co KG. Chukwuka, E., 2015. Communication as a Veritable Tool for Effective Human Resource ManagementinOrganization.ReviewofPublicAdministrationand Management.400(3617). pp.1-13. Daley, D.M., 2012. Strategic human resources management.Public Personnel Management, pp.120-125.Fulton, E.A. and et. al.,2011. Human behaviour: the key source of uncertainty in fisheries management. Gatewood, R., Feild, H. S. and Barrick, M., 2015.Human resource selection. Nelson Education. Huselid, M. A. and Becker, B.E., 2011. Bridging micro and macro domains: Workforce differentiation and strategic human resource management. Jabbour, C. J. C. and de Sousa Jabbour, A. B. L., 2016. Green human resource management and green supply chain management: Linking two emerging agendas.Journal of Cleaner Production.112.pp.1824-1833. Khan, M. A. and Jahur, S., 2016. Human resource development practices in some selected business enterprises in Bangladesh: an explanatory study.Indonesian Management and Accounting Research (IMAR).6(1). pp.16-32. Longoni, A., Luzzini, D. and Guerci, M., 2018. Deploying environmental management across functions: the relationship between green human resource management and green supply chain management.Journal of Business Ethics.151(4). pp.1081-1095. Messersmith, J. G. and et. al., 2011. Unlocking the black box: exploring the link between high- performance work systems and performance. Journal of Applied Psychology. 96(6). pp.1105. Renwick, D. W., Redman, T. and Maguire, S., 2013. Green human resource management: A review and research agenda.International Journal of Management Reviews. 15(1). pp.1- 14. Schalk, R., Timmerman, V. and Van den Heuvel, S., 2013. How strategic considerations influence decision making on e-HRM applications.Human Resource Management Review. 23(1). pp.84-92. Shen, J. and Benson, J., 2016. When CSR is a social norm: How socially responsible human resource management affects employee work behavior.Journal of Management.42(6). pp.1723-1746. Stone, D. L. and et. al., 2015. The influence of technology on the future of human resource management.Human Resource Management Review.25(2). pp.216-231. 14
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