Human Resource Management at ALDI

The assignment analyzes various aspects of Human Resource Management (HRM) within the ALDI organization. It delves into recruitment methods, selection processes, problem-solving approaches, training programs, and the creation of a flexible working environment. The focus is on understanding how ALDI leverages HRM practices to achieve its goals and objectives effectively.

Human Resource Management

INTRODUCTION
Human resource management is considered to be a discipline that assist companies in
managing their workforce in an effective manner. It is one of the most vital department that
enhances organisation capability in maximising its output and productivity. The human resource
department is mainly focused on people who are working within company (Alfes and et. al.,
2013). They prepare various policies and procedures for managing them in a effective manner.
To achieve its goals and objectives in a efficient way organisation needs to utilise its manpower
in an optimum manner. HR assist managers in aligning individual objectives with company
goals. This report is based on ALDI, it is a multinational discount grocery and merchandise
retailing giant that is basically based in Germany. It is present in more than 18 countries and
currently has 10,000 outlets. In this report various issues related to HR will be addressed that are
faced by company. Also different approaches used by management for enhancing employee
productivity will be stated.
TASK 1
P1. Functions and purpose of HRM
The HR department in ALDI is performing very crucial task of managing manpower in
different regions. It has to prepare various strategies for directing all resources and efforts in a
right direction (Batt and Colvin, 2011). They make sure that all the employees are placed on
right job at right time. The functions performed by HR department is as follows: Planning: This is an activity that assures that there is no vacant post within organisation.
The HR department and managers are engaged in planning pro0cess as to ensure that they
have a set path to follow as to hire workforce in future. Staffing and organising: This is a function where HR managers are involved in hiring
people who matches the job profile (Boxall and Purcell, 2011). Also they are engaged in
organising various events for informing new individuals about organisation.
 Employee development: This is a prime functioning of this department. The HR
managers make sure that the existing force is ready to face future uncertainties. They
prepares various plans for training individuals with consultation of the respective
department head.
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 Orientation- At the time of making a person to start working at his/her work place and it
is required for introducing job role in the work place. It is another location where
individual can perform with the help of HRM department where new candidates are
familiar with new work place so that they can feel comfortable for identifying different
strategies and policies of vision of the firm.
 Job analysis- This is the major function of HRM department which analysing the
requirements of various types of jobs which should be perform by several individual.
This is another essential function in which skills are identified as per the placement of
distinct candidates which can be done. It assist in selecting right person at right place to
do work at right job so utilise the appropriate resources. This can help in analysing
outcome which are possible for working people that has to be needed knowledge.
Purpose of HRM Internal consumer management: The HR is responsible for managing people working
inside company. They need to make policies that supports them and enhances their
capabilities. Matrices: The HR manager has to prepare communication channels by which he can
interact with each and every personnel working in organisation (Bratton and Gold, 2012).
He needs to sort out their grievances which will ensure that their effectiveness and
efficiency is improved. Employee relations: It is every important for an organisation to form a better employee
relations as this assist them in reducing any grievance or issues that people have. The hR
manager act as a mediator in forming as well as maintaining employee - management
relations at par with requirement.
 Policy and procedures: There is a requirement of various plans and policies for making
sure that all the efforts are directed in a right direction. Also there are different
legislations which need to be followed for making stable process.
The Human resource department in ALDI is engaged in various other task as well. It
evaluates employee performance for finding out the improvement level and variances (Brewster
and Hegewisch, 2017). Today, it is extremely difficult for organisations to maintain human
resource at par with requirement. It is very important for an human resource manager to analyse
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various legislations and make polices according to them. It assist organisation in avoiding any
legal issues in future.
P2 The strengths and weakness of different approaches to recruitment and selection
ALDI uses different types of approaches for recruiting capable candidates in
organisation. There are various methods that can be employed by company for making an
effective approach towards the pool of talent. The HR manager needs to analyse the need of job
as to ensure that he adopts right techniques and chooses right candidate for right job. He needs to
derive an effective strategy that will aid organisation in recruiting a capable candidate for vacant
post (Chelladurai and Kerwin, 2017). The approaches stated below are for recruiting and
selecting individual within organisation:
Internal recruitment: It is an approach that assist managers in utilising existing
employees for filing up vacant post. It is considered to be an efficient and more effective method
that is used for boosting employee motivation. It is usually adopted by HR manager at the time
when there is vacancy that requires similar proficiency that exist within individual in
organisation. The department tends to use this method when there is requirement of enriching a
person profile or when there is lack of resources (Daley, 2012). There are certain advantages and
disadvantages of this method that are stated below:
Advantages Disadvantage
There are different benefits of this techniques
that boost ALDI productivity.
The first benefit is that it boost employee
motivation level as they get more opportunity
to learn and explore new fields.
It enhances employee interest and dedication
level which is very useful for organisation.
Other workers are more motivated as they are
also eager to achieve their career goals.
There are certain negative impact that has to be
managed by ALDI management in a effective
manner.
The company is not able to get new innovation
and creativity.
There is limited pool of talent that has to be
used for this process.
This approach sometimes causes conflicts
within employee and management.
Sources: Present employees, Referrals, Former workers, Past applications.
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External Recruitment: The managers in ALDI mostly use this approach as a way to
recruit new individual for vacant post. This is a little expensive method but it assist organisation
in finding out a candidate from a bigger pool of talent (Flamholtz, 2012). It is a technique that
brings in more innovation and creativity and challenges current employees in working more
effectively. There are certain disadvantages and advantages of this technique that are stated
below:
Advantages Disadvantage
This techniques assist organisation in getting
more innovative and capable candidate for
vacant job.
The selected candidate is more capable and
efficient in performing certain task.
It also assist managers in getting a pool of
talent from where they can select the best.
There is no way except a theoretical approach
which can be used by manager for assessing
candidates.
New employees are required to be trained and
their mental framework needs to be changed as
per the organisation goals and objectives. This
reduces any confusion that might hinder their
performance.
Sources: Employee exchanges, Advertisements, Agencies, Associations, Campus recruitment.
Deputation.
TASK 2
P3. Advantages of different HRM practices in ALDI for both the employer and employee
The organisation is benefited by various practices that are conducted by management.
Human resource department in ALDI uses different methods and techniques to manage people as
per the criteria. It is not limited to just directing and recruiting new candidates in company, it
also has to prepare plans and organise resources for maintaining current workforce (Guest,
2011). The HR department practices functions such as, payroll and compensation management,
hiring and training individual, performance appraisal, employee relations, etc. there are certain
benefits of these practices to employer that is stated below:
 Conflict Resolution: This is an activity that assist organisation in addressing various
issues that can hamper its productivity in long term. This is important as it assist
employer in maintaining good environment within company. There are various issues that
exist within organisation and proper conflict resolution assist in minimising the level of
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these issues. It boost satisfaction of employees and effectiveness in achieve goals. The
process followed by ALDI managers for resolving issues is as follows:
 Training and development: The employer is benefited by this activity as he is able to
develop a workforce that is capable of working at par with standards and ensure higher
level of productivity and satisfaction. This assist in developing skills and knowledge in
individual who are working for organisation as to prepare them for future. Employee engagement and relations: The employer is benefited by this activity in a
major way. He is able to get hundred percent out of employees if they engaged with
management (Hendry, 2012). In ALDI, HR management ensure that the relationship
between management and employees is at par with requirement so that there is no
minimisation in productivity. Compensation and payroll: If employer is paying employees as per their performance
and position than the workers will be motivated to perform even better. It assist in
boosting organisation efficiency and productivity. Also the satisfaction level is improved
when employees are compensated for their losses and paid for the performance.
 Performance appraisal of employees: This is a very important practice that assist
employer in evaluating employees and find out variances that are hindering better
performance.
These activities are beneficial for employees too:
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Source 1: Effective Communication for Resolving Conflict, 2013

 Improvement in skill set: With proper training and development workers knowledge and
skills tend to be improved. Identification of opportunities: There are many chances that can boost employees
productiveness and boost career growth (Jabbour and et. al., 2013). The stated activities
assist in identification of those opportunities in a proper manner. Positive environment: The employees get a positive and supportive environment that is
very important for individuals productiveness and satisfaction level. Effectiveness and efficiency: The right environment and training enables employees in
performing every task as per requirement.
 Flexibility: Individual working within organisation are able to grasp more changes in a
very effective manner.
P4. Evaluate the effectiveness of different HRM practices
ALDI understands the value of human resource management and that is why it has
developed a department that specifically focuses on the development of internal consumers. The
prime activity of this function is to enable organisation in maximising the productivity of human
resources while the investment level remains optimum. The HR department has to make sure that
all the employee's are placed on the various jobs as per their capabilities (Kehoe and Wright,
2013). If employees are not given task as per their capabilities than they will fail to achieve the
desired level of efficiency and effectiveness level. ALDI is currently in a phase of expansion
where it requires ma-power for filling up vacant post. That makes human resource department
even more important. There are various practices that will assist organisation in managing
workforce in a desired manner as to attain set objectives.
There are various activities and practices which are undertaken by HR managers. They
assist organisation in in aligning different resources as to gain consistency in the productivity
levels. Managers uses various methods and techniques for evaluating employee performance and
engage them in activities that will improve their level. The utilisation of various auditing and
appraisal tools allow management in gaining better understanding with organisational objectives
and employee capabilities. The HRM practices assist mangers in analysing and assessing
different market trends and changes that might impact human resource of organisation.
The human resource management assist organisation in enhancing employee relations
that leads to increased level of productivity. They utilise different tool related to conflict
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resolution, training and development and compensation, for improving their relationship with
employees (Messersmith and et. al., 2011). It is very essential for ALDI to ensure that all the
policies and procedures are based on legislation enacted by government so that company can
provide a standardised environment to employees. With the introduction of new technology and
methods, managers are able to direct manpower working within organisation in a proper manner.
This is enbali8ng employees in giving their best performance that is at par with standards.
Concluding this, it can be stated that HRM activities assist organisation in engaging
individual in a very interactive manner which leads to better satisfaction and commitment levels.
All the policies and procedures are made on the basis of legislations and legal laws which are
enacted by the government for safeguarding both employer and employee. HRM is vital for
company productivity and profitability, it assigns individual on right job at right time which
results in effective and efficient results.
There are various points which has to be demonstrate HRM department is contributing in
achieving high profitability and productivity.
Innovative and high performing workers- HRM department refers to that organisation
which puts all efforts to increasing capacity of production of existing employees by encouraging
them in appropriate manner.
Effective direction setting and implementation- Management and leaders will take great
efforts for formulating accurate code of conduct for the business operation. Human resource
management make sure that such policies and plans which are executed within an organisation.
Update individual ability to maintain financial condition- ALDI has to make lot of
changes in their present code of behaviour. HR identifies various area of business which require
to increased and provide necessary learning concepts.
TASK 3
P5. Analyse the importance of employee relations
It is very vital for organisation as to establish a good positive environment within the
premises. The managers ensures that the relationship between management and employees stay
at par with requirements (Moutinho, 2011). The managers guide and direct workers in a right
direction which leads them on the path of desired efficiency and effectiveness level. The HR
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department is responsible for maintaining and enhancing employee relations. It promotes higher
level of co-ordination and co-operation between individual as well as departments.
Good employee relations boost the workers commitment level and performance. They
tend to learn more as to improve their KSA (knowledge, skills and abilities) as per their KRA
(key responsibilities area's). There are various decisions that are taken by the HR manager for
managing individual as per their capabilities. Strong relationship between management and
employees can be developed by improving the level of interaction and address-al of various
issues faced by individuals working within organising (Ployhart and Moliterno, 2011). A good
level of relationship will assist managers In formulating different plans as well as in their
implementation.
Good employee relations boost creativity and innovation within organisation. ALDI aims
and objectives requires a interactive approach. It assist in reducing the level of confusion related
to strategy and other issues. Following are the benefits that are there due to employee relations to
ALDI: Higher productivity: The employee are able to deliver a higher level of productivity
(Renwick, Redman and Maguire, 2013). There are different types of conflicts and issues
that take place within organisation and had to be managed by managers for ensuring
better retain-ship.
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Source 2:
Building Good Employee Relations through Communication, 2013

 Employee loyalty: Strong employee relations boost the commitment level of employees
and also it is unconditional. When workers issues are addressed in a set period of time
then they tend to have a positive mindset which leads to unconditional loyalty. Team building and working: Employees are ready to co-ordinate and co-operate more if
they are satisfied and ready to face challenge. Strong employee relations boost team
building and working as people tend to initiate and assist others in achieving goals.
 Competitive advantage: Organisation is able to gain competitive advantage as people are
more productive and ready to over come uncertainties.
P6. Key elements of employment legislation and the impact it has upon HRM decision- making
ALDI HR department uses different laws for forming a standardised environment. These
legislations are formed for safeguarding employers and employees against any threat (Storey,
2014). The legal statements or laws have certain impact on company that is stated below: Health and Safety Act 1974: This is a legislation that states about employer and
employee responsibilities. It describes certain activities that has to be undertaken as to
ensure that all employees are safe and sound at their workplace. They need to be aware
about the probable exist and points which can be used at the time of emergency. Equal pay Act 1970: This is a law that states about removal of variances between salary
of male and female. It states that no one should be discriminated on the grounds of race,
gender, colour, etc, when it comes to salary and wages. RIDDOR 2013: Reporting of injuries, diseases and dangerous occurrences regulation
2013, is a law that was enacted by UK parliament for safeguarding worker who are
engaged in the field that requires special ability as to handle substances that can harm
them. Basically the main aim of this law was to let government know about each and
every issue that has caused a causality in industries.
 Equality Act 2010: This law was enacted on the basis of various anti discrimination
legislation. It binds all of them together and ensures that no one gets discriminated on the
basis of race, colour, caste, creed, background, religion, etc.
There is a certain level of impact that is there on the decision making of organisation
(Moutinho, 2011). These laws need to be followed as to ensure that various activities are based
on standards. The level of impact on decision making is high as these legislations slows down
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whole process. The expenditure of organisation also increases but it is limited to a certain level.
The organisation can manage it by implementing long term plans and procedures.
TASK 4
P7.Illustrate the application of HRM practices in a work related context
There are various practices that are undertaken by HR department within ALDI.
Currently company is in a phase of expansion and growth that requires more individuals. It will
assist organisation in gaining higher level of productivity and profitability (Renwick, Redman
and Maguire, 2013). For doing so, company needs to hire more people as to accommodate and
fill vacant positions. Also it will be required to invest more into business as to gain better
outlook.
There is requirement of a strategy that will be formulated by the managers in
organisation. It will assist in achieving various goals and objectives in a set period of time. The
first activity that will be done by HR manager is that he will conduct analysis of vacant position
and evaluation of job as to understand the value of concerned vacancy. After this step, the
company can float advertisement regarding stated job and shortlist candidates from the pool of
talent. Once a HR manager selects a candidate then he need to be given induction training as to
make him familiar with the whole process.
Whenever there is requirement of workforce, this process will be followed as this is a
more effective method (Wright and McMahan, 2011). Other department has to inform HR
manager for future requirements and ensure that they communicate all the information to them so
that they can recruit right person for the job. Also they have to provide them training that will be
only possible when HR manager have all information related to the the job.
There are several practices which has been perform by ALDI organisation that are as follows:
 Talent acquisition- Firstly, with the help of recruitment various candidates who have
skills and ability to manage and handle all work which should be perform within an
organisation.
 Recruitment and selection- This is the major function which which has to be perform by
company manager in proper manner. ADLI manager are specialised in ability and
knowledge and they mainly select those candidates who have excellent skills for manage
different type of job profiles.
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 Solve problems- The main responsibility of HR manager is to resolve all major issues or
problems of workers which has to be developed conflicts and disputes. Personnel
evaluate and measure all issues and problems of their employees and try to resolve such
conflicts.
 Training and development- The major duty and responsibility of HR manager is to give
appropriate training and development programmes to their new employees that can assist
in improving skills and knowledge in proper manner.
 Provide adaptability in working- It is necessary to human resource manager is to provide
flexibility in working to all their employees so that they can easily control and manage all
required functions of the company.
CONCLUSION
In this report various aspect of human resource management were covered. It stated about
various methods that are used by ALDI management for directing manpower in right direction.
The company has well established goals and objectives that has to be achieved by workers
effectively and efficiently. This is where human resource department gains importance as they
have special tools and techniques to control and direct manpower in right direction. The HRM
polices and procedures are required for ensuring that all existing individuals are able to develop
right set of capabilities and abilities in themselves. The HR manager has to ensure that
environment within organisation is positive and it do not impact company.
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REFERENCES
Books and online
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