The Significance of Human Resource Management

This assignment delves into the crucial role of Human Resource Management (HRM) in a workplace setting. By analyzing various studies and research papers, it is evident that HRM practices have a significant impact on employee behavior, attitudes, and overall organizational outcomes. The assignment supports understanding the importance of HRM in achieving business objectives and desired goals.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Purpose of Human Resource Management......................................................................1
P2. Strengths and weaknesses of various approaches with recruitment and selection...........2
TASK 2............................................................................................................................................4
P3 Benefits of HRM with respect to employees and employer..............................................4
P4 Various HRM practices in enhancing profit and productivity..........................................5
TASK 3............................................................................................................................................7
P5 Importance of employee relation in decision making.......................................................7
P6. Key elements of employment legislation and their impact on HRM decision making....8
P7. HRM practices in work related context............................................................................9
CONCLUSION..............................................................................................................................12
REFERENCES................................................................................................................................1

INTRODUCTION
Every company has various kinds of assets in organisation but human resources are
considered to be the most important one. HR division of a firm is responsible for recruiting the
best person for a vacant position. BT (British Telecom) is a successful enterprise in
communication industry of the UK that is being chosen for the present study. This assignment
will discuss about purpose and scope of HRM at the time of moving forward towards business
objectives. Different selection approaches as well as their strengths and weaknesses will become
a significant part of this file (Alfes and et. al., 2013). Benefits of human resource management
practices for both employees and employer along with their advantages will be covered in this
report as well. Main components of employee’s legislation and their effect on decision making
will be included in here as well. Job specification, advertisement and CV will be made at the end
of this project that are used in selection procedure.
TASK 1
1.1 Purpose of Human Resource Management
British Telecom is one of the popular organizations in European marketplace which is
expanded across almost 180 countries for acquiring maximum revenue by satisfying needs or
demands of maximum clients. It is not easy to manage a large association due to availability of
number of employees, customers, suppliers and other stakeholders. Therefore, in order to
manage entire business operations, management team needs to implement several number of
methods or techniques to run their business entity in an appropriate manner. However, HR
department is playing a crucial role in managing employees as well as entire operations by
considering necessary facts or figures (Armstrong and Taylor, 2014). Along with this they are
responsible for planning an effective strategy for assisting staff members towards success or
development. It means HR team is performing number of functions for attaining company’s
goals or objectives in defined time frame. Some of the essential functions of personnel
department are described as follows: Recruitment and selection: - BT is a very famous association which is involved in
telecommunication process and introduced various products for acquiring maximum
revenue. Thus, for proper functioning of an association, managers need to hire skilled,
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talented or knowledgeable employees in order to fill the vacant position of business
entity. Maintaining positive working environment: - As per this factor, HR leaders are also
liable for creating an effective surrounding at workplace so that staff members can easily
perform their business activities in the most appropriate manner.
 Orientation: - After hiring a talented employee, it is the time to introduce newly
appointed candidates in front of overall staff members in order to make them comfortable
in new environment. Thus, HR team needs to ensure that welcome of a hired person must
be conducted in the most appropriate manner.
Hence, all the above functions are performed by HR department while planning an
effective strategy for company’s success or development.
Therefore, some purposes are also there of human resource management which help
company to manage their working scenario in a better manner. Some of those are as follows:
Internal customer management: Productivity of company is mainly increased by the
quality working of employees in organisation. HR management is such which includes executing
several policies and procedures which help to attract, recruit and somewhere retain the best
quality people. Moreover, human resources have a direct relationship with the increase of profit
and financial performance of company (Bratton and Gold, 2017).
Laws: The BT telecommunication company works according to the “Employment and
Labour Law”. However, it is required by the firm to follow policy and procedure of laws related
to employees. Equal opportunity should be there with safety measurement at workplace so that
no single person would get hurt.
Cultural sensitivity: - Human resource management has the responsibility to maintain
cultural awareness in organisation. Whether human resource management is that which responds
with needs and with multiple divisions, although HR management is something which is being
called up for making a routine cultural differences.
P2. Strengths and weaknesses of various approaches with recruitment and selection
Recruitment and selection is such which helps company to receive the best people for
right job in organisation. It helps company to have a better working environment because new
employees will bring new ideas and thoughts for completing tasks in a correct format. The
different methods for recruitment and selection are as follows:
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Internal method: Selection can be done with internal method as well, this is that which
make HR manager to choose the right people for the right place within organisation. Internal
recruitment and selection can be done with making promotion and job rotation. However, this
can help in minimising cost of recruitment and selection from outside the firm. Moreover,
choosing employees from internal environment can also help in reduction of having training and
development too. Therefore with this method a time which was required to spend with other
method can also be used in organisation for improving the environment in entity.
Strengths
 Consumer minimum cost because it may occur within an enterprise.
 Promote employees to higher position.
 Acts as a motivational factor for other staff members.
 Requires less time.
 Safeguards other or extra cost which might incurred during recruitment and selection
such as advertisement, selection process, training or development cost and so on.
Weaknesses
 It may create a conflicting situation due to promotion of an employee.
 Vacant the existing position of a person whomsoever is promoted towards higher
authority.
 Requires active participation of managers in order to consider all necessary factors while
making judgement.
External recruitment – When new employees are selected from outside the organisation
then it means that company is using external source of recruitment for hiring. Walk-in and
campus placement are some of the most popular methods which are used at the time of using this
approach (Brewster and Hegewisch, 2017). Below are the advantages and limitations of this
method:
Advantages
More options – If BT will try to fill a vacant post from promoting existing employees or
using referrals then they would not have much options. More pool of talent eases the work of HR
manager and it also assist them in finding right person for a job.
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Get right set of skills – Methods like Walk in and campus place support HR team in
finding exact set of skills which is needed for a job profile. Most of the organisation try to fail to
find all the skills and knowledge in a single candidate but if they opt this option then they may
identify best man for a job.
TASK 2
P3 Benefits of HRM with respect to employees and employer
Various HRM practices include planning, selection, training and development. These are
all primary activities which are combined with other secondary activities in order to maintain
healthy organisation culture. BT telecommunication practises all these actions to achieve
organisation goal. But it focuses majorly upon following two activities: Controlling employee performance: Organisation require dedicated employees that are
committed towards their job. Primary motive of employee must be to achieve
organisation goal. This helps company to grow in right direction. Having capable
workforce helps in acquiring competitive advantage of business. HRM must evaluate and
control every employee performance in an adequate record (Buller and McEvoy, 2012).
Monitoring employees help in identifying gaps between employee's actual skill and
desired skill. Manager must be aware of his employees competency of better performance
appraisal.
 Training and development programs: Company must focus upon regular training and
development programs of its employees. This helps in improving their knowledge and
skills. Using these programs creativity of employees are enhanced which again modify
their efficiency. To maintain employee satisfaction it is important for company to
conduct training and development programmes in regular manner. Monetary satisfaction
is not the only thing an employee demands for but also internal satisfaction for
performing job. This target is fulfilled with the help of training and development
programmes. This practise provide overall development to employees. Whether its
personally or professionally.
These practises have their benefits for employee as well as employer. Both parties can
gain certain advantages of these practices that can be understood from following points:
Benefits to employees:
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 Motivation: This is a crucial element that helps in achieving satisfaction from job. BT
consider its employees as valuable asset to company. Therefore, believes in motivating
them to have success in their work profile. Motivation helps in increasing profit with
increase in productivity. Also, it fulfils discrepancy of employee performance by
increasing willingness to work. Hence, this factor impacts a lot to employee in one way
or the other. Training: After evaluation of employee's performance HRM discover requirements of
business along with requirement of employee skills. To overcome these problems
effective training is conducted. It only develop employee's skill but also helps in
acquiring new techniques for completion of job. BT conduct training and development
programs to reduce gap in employee's actual and desired skills. This helps in increasing
employee satisfaction.
Benefits to employer:
 Effective work culture: To have harmonious working environment HRM takes effective
steps and implement them to their work culture. Employer aims at having calm working
environment for its employees that will help them to maintain concentration in task
accomplishment (Daley, 2012). BT has involved diverse workforce in its business
environment and therefore require smooth work culture. This could be achieved using
fair implementation of HRM practices such as compensation management. Happy work
culture increases willingness of work in employees. Also improves communication
practices in every level of management.
 Improves decision making process: Fair decisions are expected from employer which
can be achieved only if management team is unbiased towards employees. Having
effective decision making requires maintenance of work record of every employees.
These records helps in justifying decisions that are taken against employees or in favour
of employees. BT uses HRM practices to record its employee performance in order to
support manager at the time of decision making.
P4 Various HRM practices in enhancing profit and productivity
Internal business environment completely depends upon HRM and its practices. It is duty
of manager to use these concept in order to manage its employees. Implementation of practices
not only provide healthy working environment but also increases employee efficiency.
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Management team is responsible for polishing skill of their employees as per the need of job.
Improving knowledge and skill helps in achieving competency in business world. In order to do
so manager must introduce effective training programs that will increase potentiality of its
employees. HRM consists of multiple activities that influence every policy and procedure. These
activities are conducted for accomplishment of individual, group and organisational objectives.
Company's success is determined using evaluation of performance of its workers.
HRM in BT telecommunications is used in internal as well as external environment to
have resource allocation in effectual manner. Manager monitors activity and then take decisions.
For example, management of financial budget for training programmes will help in better
planning and utilisation. Company also works upon understanding capability of its employees.
BT has involved flexible working hours for employees to increase their efficiency. It is
important to understand potential and behaviour of employees to improve their conditions.
Another major HRM practise is to keep right pace and strategy for competitive world.
Company must recognize possible technologies and trends present in marketplace. They must
incorporate these changes in their work environment in order to increase competitiveness. It
helps in achieving long-run sustainability (Dries, 2013). For example, BT telecommunications
uses advance RFID technology in their electronic products to gain competitive advantage in
market. It is important to analyse competitor market in order to know possible threats that can
affect HRM practices of the company.
Lastly, company must work upon welfare of its employees. Various benefits can be
provided to them such as monetary or non-monetary benefits, effective compensation packages.
This will not only motivate them but will also have positive impact upon their perception. BT
implements welfare programmes to increase dedication of employees towards company.
Every HRM practise require constant evaluation form manager. This helps to identify if
investments made are in right direction or not. Various tools can be used in order to evaluate
employee's performance and working capability. Also certain surveys and study can be
conducted to analyse potential of employees.
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TASK 3
P5 Importance of employee relation in decision making
Employee relation is his connection towards other employees, management or
organisation. Employees are key element for a company and their contribution is essential for
growth of enterprise. Therefore effective relationship is to be maintained in workplace in order to
have smooth functioning of it. For example, BT is expanding its business because of its
dedicated workforce. They have goal orientated mindset and company helps them by planning
effective strategies for them.
 Contribution of of employee and employer must be in equal proportion. Using this
strategy chances of disputes are minimized. It also helps manager to control employees at
the time of changes that are made in operation process. Following are the practices to
improve employee relation that HRM of BT telecommunications must understand:
 Every employee must treat its subordinate and peer members with respect and in friendly
manner. This will create better coordination and employees will adopt learning attribute.
Also, friendly relation reduces hesitation level among employees.
 Discrimination must be restricted from workplace. This practise arises when company
have diverse workforce. Discrimination can be due to caste, colour, creed, sex or religion.
HR of BT must evaluate every employee using same criteria. This help in increasing
employee trust towards organisation (Hendry, 2012).
 Equal importance must be given to every employee present in workplace. Respecting
their opinions, involving them in decision making process will encourage them. They will
increase their dedication level towards job.
 Regular feedbacks must be recorded to see if employees are facing any issue in
organisation. This action will help in improving employee relation at various level of
management. It also increases bonding factor.
 In order to improve employee relation job rotation can be used. Using this employee can
perform multiple job roles that will enhance their skills and knowledge. Also, they will
learn about every employee work criteria and job pressure which will help to understand
each other more. This will again benefit organisation in multiple ways by maintaining
healthy employee relation.
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 To resolve negative perception of employee towards company will promote healthy
employee relation. This can be achieved by providing benefits to employees. These
benefits can be monetary or non-monetary. It will increase employee satisfaction which
again is a product of healthy employee relation. This practise will not only boost their
morale but will also increase productivity.
 Employee relation require satisfaction of employee towards their job. Offering workers
with career development opportunity will help to develop in right track with right actions.
Workers join an organisation to evolve themselves. Therefore they plan a target strategy
for it. Managers must recognise these strategies of employees and help them to
accomplish their target by providing providing effective career plans. This will have
positive impact upon their perception and they will feel more dedicated towards their
company (Jackson, Schuler and Jiang, 2014).
 Increasing competency of employees is a major task for HRM. This is achieved using
training programmes where workers are made aware about latest technology that will
increase their efficiency and knowledge. For example, BT must incorporate cloud storage
in their services to increase knowledge of their employees about latest trends and
technology in market.
P6. Key elements of employment legislation and their impact on HRM decision making
An employee relation plays an significant role in overall growth and development of
business operations. It help the manager in achieving the objective and goals in effective manner.
In order to run the organisation in appropriate manner it is important that all the workforce work
in cooperative and coordinate way which reduces all the chances of conflicts and disputes in
overall operation of business. British telecommunication plc which is UK based company
comprises of large employees engaged in telecommunication services located at different places.
This company management team comprises of professional workforce share strong relationship
at the time of performing mutual work so that harmony maintain in company. Along with that
company need to include all the HRM practices in order to maintain ethical operation which
reduces all the chances of unfair trade practices at the time of enforcing laws in organisation.
British telecommunication PLC need to formulate such practices which ensure all the
compliances related to rules and regulation which protect the interest of employees.
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Their are different types of legal legislation which include in HRM practices in order to enhance
employee growth and it described below:- Anti discrimination act:- This act state that HR manger does not discriminate on the
basis of caste, creed, religion and gender inequality. It is foremost responsibility of
manager to ensure that every individual must be treated in equal manner at the time of
promotion, demotion, compensation policy and transfer. Organisation work in
appropriate manner only when HR manager formulate ethical HRM practices in
organisation. Minimum wages act:- This act states that every individual must be treated equally at the
time of making payment related to wages so it is responsibility of HR manager to
formulate such policies and procedures which ensure maintain minimum salary for all the
new employees without any discrimination. For example Bt PLC must maintain
minimum wages for their employees so they satisfy their needs and wants. Age discrimination:- Under this act it clearly states that HR manager at the time of
recruiting employees must ensure the age factor that mean minimum age is define for
employment so they include this laws and compliances in their strategic policies so that
unexploited of employees must be minimised (Jiang and et. al. 2012). For example
British telecommunication PLC comprises of large employees so it is duty of
management team to ensure that unfair trade practices are not arises in organisation that
will leads to better productivity and efficiency in company. Apart from it this laws says
that employer have no right to fire employees which accomplish the age of 40 years.
 Disability act:- This law states that those employees who working are physically disable
must be facilitates by appropriate facilities which help them in achieving their targets in
effective manner. UK government enforced this compliance for the betterment and career
advancement of employees which are not physically well which leads to increase in
goodwill and good brand image of company. For example BT plc if having disable
person must ensure of providing appropriate services for the development of employees.
P7. HRM practices in work related context
Their are different application used in HRM practices so that organisation objectives can
be achieved in effective manner. These practices allow organisation to implement all the changes
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in better manner so that employee work in good way. The two main practices that are applied by
British telecommunication PLC are stated below:-
 Job Specification:- It is consider as statement that prescribe the detail about all the task
and targets that have to be accomplish by individual in specified time period related to
job profile they handling. It also described set of competencies that required in that job so
that person who interview for that profile already known their responsibilities. For this
proper examination is conducted in which different task has be performed by individual.
JOB SPECIFICATION
Organisation- British Telecommunication PLC
Job title:- Assistant Human resource manager
Qualification:- BBA and MBA in Human resources
Essential Criteria:
 Must posses adequate knowledge about management skills.
 Capability of handling employee relation among employees.
 Maintaining coordination and harmony between different function of management.
 Able to deal with all problems in calm manner
Desirable criteria:
 3years experience
 Good communication skills
 Adequate knowledge about the HR plans and policies
 Good physique
Job description: It is another official document that contain all the details related to job profile
the person required to work. Therefore it give brief summary regarding all the roles and
responsibilities person need to accomplish at the time of working in this place or it other word
their duty, responsibilities and challenges faces at the time of performing task.
Job Description
Organisation: British telecommunication PLC
Division: Human Resource department
Job title: Assistant Human resource management
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Job location: New castle
Job Summary:
Organisation is looking for able candidates who has adequate knowledge about all HRM
practices and knowing all the techniques related to handling employee relation and reduce all
the conflicts in proper manner.
Role:
 Compliance of all rules and regulation
 able to maintain harmony and peace in environment
 Recruitment and training programmes
So, at the the time when British telecommunication carry out their recruitment process
then they need to reach to maximum numbers of employees from these they choose best
candidate who fitted for job and full-fill the requirement of current profile in effective manner.
When their will be large pool of candidates they have to select best person for vacant job
position. Under this situation they have to consider CV of candidate in following manner:
CURICULAM VITAE
Curriculum Vitae
Name: Jon Snow
Address: 24 Street, High street lane, Birmingham
Phone No: 24658974
Profile summary:
Require an MBA in Human resource with 3 years of experience and want to be part of
organisation that leads to growth and career advancement in that organisation. Maintain
effective communication having full knowledge of management theories and topics.
Specialisation:
 Recruitment
 Managing human relations
 Training development events
Educational Qualification:
 Bachelor in commerce(B.COM)
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CONCLUSION
Above mentioned report is going to summarized that various practices can help every
employees of BT to maintain healthy employee relation. This strategy will promote healthy
working environment along with competent workforce. Because better coordination and team
work is essential for achieving organisation goal. It is analysed that effective HRM practices
increases employee performance which again influence profitability and productivity of business
in positive manner. Thus, overall assignment supports in understanding the significant role of
human resource department at workplace in order to attain objectives goals or desired.
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REFERENCES
Books and Journals
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practice. Kogan Page Publishers.
Bratton, J. and Gold, J., 2017. Human resource management: theory and practice. Palgrave.
Brewster, C. and Hegewisch, A. eds., 2017. Policy and practice in European human resource
management: The Price Waterhouse Cranfield survey. Taylor & Francis.
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Daley, D. M., 2012. Strategic human resources management. Public Personnel Management,
pp.120-125.
Dries, N., 2013. The psychology of talent management: A review and research agenda. Human
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Hendry, C., 2012. Human resource management. Routledge.
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outcomes? A meta-analytic investigation of mediating mechanisms. Academy of
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Kehoe, R. R. and Wright, P. M., 2013. The impact of high-performance human resource
practices on employees’ attitudes and behaviors. Journal of management. 39(2). pp.366-
391.
McCauley, S., 2012. Introduction. In The Dilemma of Boundaries (pp. 117-121). Springer,
Tokyo.
Pichler, S., 2012. The social context of performance appraisal and appraisal reactions: A meta‐
analysis. Human Resource Management. 51(5). pp.709-732.
Renwick, D. W., Redman, T. and Maguire, S., 2013. Green human resource management: A
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