Importance of HRM in Organizational Decision Making

Human Resource
Management

Contents
INTRODUCTION.................................................................................................................................3
MAIN BODY........................................................................................................................................3
TASK 1.................................................................................................................................................3
P1 Explain the purpose and the functions of HRM, applicable to workforce planning and resourcing
an organisation..................................................................................................................................3
P2 Explain the strengths and weaknesses of different approaches to recruitment and selection........4
TASK 2.................................................................................................................................................6
P3 Explain the benefits of different HRM practices within an organisation for both the employer
and employee.....................................................................................................................................6
P4 Evaluate the effectiveness of different HRM practices in terms of raising organisational profit
and productivity.................................................................................................................................7
TASK 3.................................................................................................................................................8
P5 Analyze the importance of employee relations in respect to influencing HRM decision making. 8
P6 Identify the key elements of employment legislation and the impact it has upon HRM decision
making...............................................................................................................................................8
TASK 4.................................................................................................................................................9
P7 Illustrate the application of HRM practices in a work-related context, using specific examples.. 9
CONCLUSION...................................................................................................................................11
REFERENCES....................................................................................................................................12

INTRODUCTION
Human resource management refers to managing the human resources say personnel’s
into an organization. The human resource is considered as an important part of any
organization as they take it to the very next level (Albrech, 2011). The task of human
resource organization is to hire the talented candidates for organization and also placing them
at the right place so that the objectives for both, organization and employee, should get
complete. For reference purpose this report has taken an example of a company, Marks and
Spencer. Marks and Spencer is a British retail company which is specializes in high quality
clothing, home products and food products. The company was founded in the year 1884 and
has successfully opened 1463 stores at various locations serving worldwide.
This report discusses about the roles and function played by HRM department into an
organization along with the strength and weaknesses of different approaches to recruitment
and selection process. Apart from it the report also includes the importance of employee
relation in respect to influencing HRM decision- making.
MAIN BODY
TASK 1
P1 Explain the purpose and the functions of HRM, applicable to workforce planning
and resourcing an organisation.
Human resource management can be describe as the process of organisation which
helps in hiring employees, training, managing performance as well as providing right
compensation. This is one of the crucial process of organisation as this helps in conducting
business task and activities in more accurate and effective manner. Human resource
management will support in managing all employees and workforce of respective company in
such as manner that it will lead to achieve set goals and objectives (Armstrong and Taylor,
2014). Human resource management process is developed with the purpose of conducting
effective workforce plan as well as managing resources of Marks and Spencer company in
more accurate manner. Workforce planning refers as the planning done by company in order
to meet with the human resource needs of company as well as have accurate number of
employees working to achieve common goal of business.

Purpose of human resource management
Human resource management of Marks and Spencer company is working in order to
achive several purpose. Main purpose of HRM function are mention below in detail.
Meet with staffing needs – This is the essential purpose of human resource management to
full will the staffing requirement of Marks and Spencer company. This function is responsible
to hiring and selecting most suitable candidate at right place. HRM department purpose is to
develop effective workforce plan to attain objectives.
Provide appropriate compensation – Human resource management of respective company is
developed with the purpose of offering right and correct compensation to employees
(Campbell, Coff and Kryscynski, 2012). There are number of staff member working with
their full potential and skills in order to attain set goals of business. So Marks and Spencer
organisation HRM department will provide compensation and other benefits to its employees.
Functions of human resource management
There are different functions of human resource management that is supportive in enhancing
productivity and performance of organisation. Various functions of HRM department are
describe below.
Recruitment and selection – This function of organisation is responsible to finding and
hiring highly capable employees that is able to conduct business activities in effective
manner. Human resource management department of respective company focus on hiring and
selecting employee with right skill set and place them in right job role.
Maintaining good working environment – Human resource department function is to create
and develop positive working environment for employees. This will help in conducting
business activities smoothly as well as resolving organisation conflict issues.
P2 Explain the strengths and weaknesses of different approaches to recruitment and
selection.
Recruitment and selection are crucial activities of organisation and it is very important
for human resource management team to conduct these activities in better and effective
manner (Collings and Mellahi, 2011). There are different approaches through which
recruitment and selection activities can be smoothly perform. Strength and weakness of
recruitment and selection approaches are mention below in detail.