Human Resource Management and Organizational Performance

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This assignment involves analyzing the performance of human resource management systems in various industries, including healthcare and hospitality. It explores how high-performance work systems influence employee reactions, service quality, and customer loyalty. Additionally, it examines the role of knowledge resources and innovation in driving organizational success.

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Human Resource Management
for Service Industries
Table of Contents
INTRODUCTION...........................................................................................................................3

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TASK 1............................................................................................................................................3
1.1 Role and purpose of human resource management..........................................................3
1.2 Human resources plan based on an analysis of supply and demand service industry .....4
TASK 2............................................................................................................................................6
2.1 Current state of employment relations.............................................................................6
2.2 Employment law affects the management of human resources service industry.............7
TASK 3............................................................................................................................................8
3.1 Job description and person specification for service industry job....................................8
3.2 Compare the selection process of different service industries businesses.......................9
TASK 4..........................................................................................................................................11
4.1 Contribution of training and development activities to the effective operation.............11
CONCLUSION..............................................................................................................................12
REFERENCES .............................................................................................................................14
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INTRODUCTION
Human resource management is defined as procedure of selecting, orientation, inducting
employees, recruiting, training and development, providing compensation and benefits,
motivating and maintaining relationship with them for achievement of goals and objectives
(Baum, 2016). It is also regarded as strategic approach for obtaining competitive advantage with
help of teams and individuals. It is very important to have effective HRM in service industry.
Here, given report is based on British Airways (BA) which deals in airline sector and established
in 1974 at United Kingdom. This report highlights about human resource management and effect
of employee relations and employment law on service industries businesses. It also covers
recruitment, selection process, training and development of service sector.
TASK 1
1.1 Role and purpose of human resource management
Concept of Human Resource Management
Human resource management is procedures that binds people with firms and helping both
organisation and individuals for achievement of each other goal. The procedures, policies, plans
help employer and employee to achieve goals. The various roles and purposes of HRM are:
Role
Planning and Forecasting- The HR manager of BA should plan and forecast
requirement of employees in organisation. It is important role which is played by HR for doing
proper planning and forecasting. This can help business in better work performance.
Recruitment Process- This is important role of HR manager where recruitment is
conducted by them and best candidates is selected in order to achieve goal and objectives of
business. They identify potential candidate for given profile and select capable one.
Deployment and Monitoring of Employees- The HR manager of BA need to deploy
each and every employees as per their skills and knowledge and assign them work. After that
they need to monitor their work performance and correction should be done accordingly. It is
role which is performed by every HR manager of organisation (Calabrese, 2012).
Purpose
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Training and Development- The main purpose of conducting training and development
at BA is to enhance skills and capabilities of employees for better work performance. This can
help staff to perform any type of work and achieve business goals and objectives.
Contract of Employment- The main purpose of making contract of employment at BA
is to make their employees aware regarding work policies, working hours, salary, appraisals and
others. This can help them to know more about organisation and their activities.
There are different types of HRM which are described below:
Soft HRM
It is HRM where employees are treated as important resource and source of competitive
advantage in business (Cho and Hwang, 2012). BA can use such approach in their organisation
for maintaining long term sustainability of work force and providing rewards, motivation and
others to employees. There is two ways communication for sharing of information and
competitive pay structure for better performer. The main purpose is to retain employees for
longer period of time.
Hard HRM
It is approach where employees are treated as resources of business in terms of building
and machinery. If BA adopt such HRM in their firm then there is high labour turnover due to
hiring, moving and firing. Also there is minimum communication among each others.
1.2 Human resources plan based on an analysis of supply and demand service industry
Human Resource Plan
It is regarded as plan or document which represent vision, mission, objectives of
business. This helps in providing information to HR manager for making proper strategies for
organisation (Guest, 2017). Here, British Airways has made successful agreement for flights
from Madeira to Heathrow. It is new flights so it need to consider following steps such as:
Identify future HR requirements- BA has started new flights so there are more
requirement of individual having skill and capabilities for serving their clients.
Consider present HR capabilities- It is the HR manager responsibility to make proper
plans for capabilities such as to work on time, communication and interpersonal skills.
Identify gaps between current and future capability- The gap between current and
future capability should be identify and accordingly plan should be made. In current scenario of

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BA, staffs are potential but possess less skills. Similarly, for future requirements of BA is to hire
skilled and capable worker to deal with consumers and clients.
Develop gap strategies- After gap finding, strategies should be formulated and provide
employees of BA with training and development programs and others.
Execution- In this HR plan should be implemented by business. The made strategies
should be implemented in company by conducting training to employees, change of procedures
and others (Gunasekaran and Ngai, 2012).
Share and monitor plan- It is last stage where work performed are monitored by planner
to check whether goals and objectives are achieved. Therefore, work should be shared and
monitor properly on regular basis to communicate and make improvement.
Analysis of Demand and Supply
BA has initiate new flights which requires large number of staff which should be hired by
them and training and development should be conducted. They need to improve their hiring
tactics in order to fulfils gaps properly.
Internal and External Factors influencing HR planning
Internal Factors
Budget- BA should make proper budget so that each and every activities can be carried
in effective and efficient manner.
Organisational Structure- BA should identify their structure and planning for HR
should be made accordingly.
External Factors
Legislation- BA planner should comply legislation while doing HR planning to operate it
in effective manner.
Competition- BA should make plan on basis of competition so that if any changes occur
then they can easily adopt it.
HR Planning in Dynamic Environment
Due to change in dynamic environment, HR planning should be made accordingly. With
change in different factors such as restructuring, globalisation planning is made (Hoque, 2013).
Thus, British Airways should consider such factors and implement plan.
The employees required in different department along with their roles, hours and
numbers of work required for delivering new flight service are:
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Department Staff Roles Number of Staffs Hours of Work
Required
Enquiry
Department
They perform role to assist their
guests and consumers and solve
their queries and problems.
12 10
Cabin Crew They perform various roles such as
checking ticket, boarding passes
and others.
20 10
TASK 2
2.1 Current state of employment relations
Employee Relation
Employee relation is an important aspect and every employee shares a relationship with
other colleagues at workplace. That relationship can be warm or bad, it should be in between co
workers, employee and employer that helps in deliver right kind of value and information with
one another so that they perform well (Jiang and et. al., 2012).
Unionisation- Trade unions also known as labour unions and very much significant to
achieving organisational goal and objectives by maintaining healthy culture, by negotiate with
them and consult with them about major attributes and resolve conflicts. Unions are very much
beneficial to resolve conflicts and acts as an intermediary between employee and employers to
resolve various issues or concerns in effective manner. With the help of collective bargaining
that helps in secure wages in secure manner, working hours and other major benefits and
provides necessary standards for the wages so that motivation level should be maintained for
employees. Hence in case of British Airways they build an effective trade union that works in
self interest of their employees so that employees can contributes in organisational enhancement
and growth.
Employee participation- Employee participation is an important attribute and it is an
tool that used to motivate employee by involving subordinates in taking decision making (Cho
and Hwang, 2012). In case of British Airways they follow an organised organisational structure
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in which everyone can share their views and opinions that helps to organisation in enhance
motivation level of employees.
Grievances procedures- It is an internal dispute resolution that helps to employees in
addressing their problems or grievances. It is an kind of dissatisfaction or discontentment that
happens due to employees think about that it is unfair. In case of British Airways they follow an
prescribed structure to record complains and solve it in systematic way.
2.2 Employment law affects the management of human resources service industry
Employment Law
Employee legislation is defined as laws and regulations which are formulated by
government for running business and their activities in effective and efficient manner (Lee, Lee
and Kang, 2012). In order to protect staff and their rights such laws are formed. It is important
for BA to follows such legislations for success of their business. The employment laws are as
follows:
Employment Relations Act 1999- The employment law system should depends on
flexibility, fairness and partnership. BA should follow this act for their employees to provide
them flexibility, effectiveness and fairness. It leads to facilitates unions and framework for
negotiating and entering into collective agreements for work force.
Employee Rights Act 1996- It is agreement in written form which is given to employee
which consists of rights of employees working in organisation. BA need to follow such act in
order to protect their staff from discrimination on basis of caste, gender, religious and others.
Equal Opportunities 1972- According to this act all employees working in organisation
should be treated equal. BA should follow such act to provide equality to all working force in
terms of race, colour, sex, religious and others.
Ill health retirements, retirements, dismissal, maternity and paternity rights- This
act should be followed in airline sector. Under this sector, ill health requirements is regarded as
scheme which pays pension to their staff in case if they suffer from illness or disease ( Mangia
and et. al., 2013). Retirement is defined as age when individual decide to leave organisation.
Maternity leave is given to pregnant women which is given after maternity and paternity leave is
provided to father when their baby is born which can be taken after paternity. Thus, all BA staff
should be provide with such benefits.

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Advisory Conciliation and Arbitration Service (ACAS)- It is regarded as non-
department public body which has an aim for developing firm and work life balance in order to
promote and provide effective relationship. BA need to perform ACAS for solving issues and
problems of their employee for better work performance.
TASK 3
3.1 Job description and person specification for service industry job
Job Description
It is a well written informative documentation of works or job to be done by employee for
a particular job. Job description includes duties, tasks, responsibilities, scope, and working
conditions of a job for which candidate will be selected (Nieves and Haller, 2014). It also consist
of job title, name and designation of a person. This is used in recruitment process as it informs
candidate or applicants about job profile and requirement of work. Components of job
description that should be include are roles and duties to be performed by employee, skills
needed for job, organisation goals to be achieved, salary range offer by company (job
specification, 2019). The job description of Cabin Crew in BA are as follows:
candidate should perform security, health and safety responsibilities with highest
standards
Responsible to ensure operational safety
candidate should be compliant with EASA, British Airways City Flyer requirement and
other relevant legislations.
Delivering world class services with excellence and our service standards and behaviours.
Perform services with enthusiasm and passion to act as British Airways city flyer role
model.
Ensure corporate policies and procedure compliances with relevant rules and legislations.
Person Specification
It is a detailed description requirement by company in a candidate. Purpose of written
person specification is that it provide outline basic requirement in candidate that must be possess.
It includes educational qualification, skills, experience, knowledge and other attributes that is
required for selection of candidate and to perform job duties (Nieves, Quintana and Osorio,
2014). This will be used in recruitment and selection of employee in organisation to full vacant
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position with right skill set employee. By using person specification in selection criteria, it will
enable interviewer to ensure selection candidate have attributes that are required to carry out job.
The person specification for job of Cabin Crew in British Airways are:
Candidate age should be above 18 and hold a valid passport with unrestricted rights to
work and live in UK
Candidate should have good communication skills and genuinely enjoy interaction with
customers.
Able to deal with challenging and difficult circumstances with confidence and be resilient
throughout.
Candidate should not do any kind of discrimination and have respect for different
cultures and backgrounds of individuals.
Fluency in spoken and written English. Candidate should be able to effective
communicator to deliver difficult messages with confidence.
Should be quick learner to understand new information easily and quickly apply it
correctly.
3.2 Compare the selection process of different service industries businesses
Recruitment
It is a positive process of finding and attracting more candidates to apply for vacant
position in organisation. In this recruiter search for prospective candidates and stimulates them to
apply for job. When more person apply to particular job then it will leads to increase scope of
recruiting better candidate in organisation (Santamaría, Nieto and Miles, 2012). In this process,
human resource team will identify requirement of job and evaluate candidates. After evaluation
attract potential candidates to full fill vacant job.
Methods of recruitment
There are various methods of hiring and recruiting candidates to job. This methods are
majorly classified into two sources that is internal sources and external sources.
Internal Sources
These are sources through which candidate can be attracted and recruited within
organisation. Internal employees of company have a chance to full fill vacant position by seeking
application (Talib, Rahman and Qureshi, 2013). Internal sources of recruitment can be done by
promotion, transfer, internal job posting, employee recommendations.
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External Sources
This includes vast range of methods to attract more and more candidates for job in
organisation. This consist of management consultant, employment agency, campus recruitment,
news paper advertisements, online and internet advertisement, walk in interview.
Selection
It is the process of choosing most suitable for vacant position in organisation. Selection
of employee is done by evaluating qualities of applicants by various employment test and
interview (Zhou, Hong and Liu, 2013). It is a negative process of eliminating not suitable
candidates for organisation.
Comparison of selection process of British Airways (Cabin Crew) and Transport for
London (Customer Services Assistant)
STEP 1: British Airways selection methods(Cabin Crew)(Online mode) whereas
Transport for London selection methods (Customer service assistant)(Offline mode). The major
similarity between them are both of them recruit new skilled employees who have appropriate
knowledge in travel and tourism industry.
STEP 2: Posting of job vacancies on BA career webpage on the other hand Vacancies
are placed on websites and recruitment agency. They both use convenient methods for placing
job vacancy.
STEP 3: Applicants have to fill set of question for applying. This will help in
understanding requirement of job whereas login and apply for vacancy on TfL site. They both
requires some questions which need to be fulfilled by participants.
STEP 4: If applicant is okay or yes with all question asked than they required to
complete an interest form on the other hand select vacancy and fill online application. They both
have to fill questions and if they are ok they accept job profile.
STEP 5: Applicants have to complete on-line applicants form on BA website whereas
some selected candidates will require to complete online Situational judgement test. Both firm
requires some online procedure for completing form in effective manner.
STEP 6: Applicants who meet basic requirement of job, will have to complete series of
online psychometric test. This test includes numeracy, verbal reasoning, spatial reasoning and
situation judgement test. On other hand, after clearing online test, candidates have to attend

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written assessment session. Both of them conduct online test for their candidates in effective
manner.
STEP 7: Those who clear these employment test, will have to go for Assessment day.
This includes situation based multiple choice questions, group exercise and role play and
interview whereas candidates who successful clear this will have to give role play and interview.
As candidates clear test they both conduct assessment day for their people.
STEP 8: After clearing all rounds, background check and medical check up of employee.
On the other hand references are checked and medical test is conducted. In this stage, both
organisation need to conduct various test of their candidates.
STEP 9: Offer of cabin crew training course whereas offer letter is given to selected
candidate. This both firm offer training and letter to their candidates for given job profile.
STEP 10: After successful completion of training, start cabin crew job
TASK 4
4.1 Contribution of training and development activities to the effective operation
Training
This concept refers to teaching and developing skills required for particular job. British
Airways provide various training to their employees to increase skill set and ability of employees
(Baum, 2016). Training will leads to effective and efficient completion and performance or job
that helps in achieving organisation goals.
Development
This is process of continuous development or addition improvement in an individual.
This is done with the support of British Airways employer or leader to enhance ability and
acquire new skills and knowledge.
Methods of training
There are various methods used by British Airways to train their employees. Two major
classification of training are on the job training and off the job training.
On the job training – This type of training is provide while employee is working on job.
This trainings part of working and employee can learn new skill also. On the job training
methods are job rotation, coaching, job instruction, internship training (Calabrese, 2012).
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Off the job training – These are the way by which British Airways train employees
when they are not on job or not working. This method will help employees by only focusing on
training. This methods includes case study, role play, lectures, conferences, management
education.
Difference between training and development
Training Development
Training program should be commence to
compensating present needs of personnel.
While Development program should be
compensated for future needs of employees.
It is for short period of time. It is for long and continuous process.
The main objectives behind commencing
training to develop potential skills and
knowledge according to the need.
The major objective behind development is to
build overall personality of an individual.
Role and need of training
It helps in enhance working condition in many spheres that are as follows:
Improve performance and competency- The major role of training and development in
enhancing the overall performance of an employee by giving adequate knowledge and
information as per organisational needs.
Employee engagement- The another main advantage that it helps in enhance motivation
level of employees and they share information to each other that helps in enhance profitability of
British airways.
Overall contribution of training and development for effective operations
Enhance motivation- The major advantage of T&D that it enhance motivation level of
employees when employees are proficient in major needed spheres then they able to give their
best and profitability of an organisation (Cho and Hwang, 2012).
Quality of Work- It also helps in enhance quality of work of employees because they are
very much professional and proficient after training.
CONCLUSION
From mentioned assignment, it can be summarised that HRM is the important function of
organisation to hire skilled and talented staff for work performance. The purpose and role of
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HRM helps in achieving business profits in better manner. HR plan should be made by firm for
hiring effective staff and make them to work as per plans and policies. Training and development
session should be conducted on regular basis for enhancement of skills and knowledge of
employees which helps in maximum production and profitability of business.

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REFERENCES
Books and Journals
Baum, T. ed., 2016. Human resource issues in international tourism. Elsevier.
Calabrese, A., 2012. Service productivity and service quality: A necessary trade-
off?. International Journal of Production Economics. 135(2). pp.800-812.
Cho, D. W. and Hwang, M. K., 2012. A framework for measuring the performance of service
supply chain management. Computers & Industrial Engineering. 62(3). pp.801-818.
Guest, D. E., 2017. Human resource management and employee well‐being: Towards a new
analytic framework. Human Resource Management Journal. 27(1). pp.22-38.
Gunasekaran, A. and Ngai, E. W., 2012. The future of operations management: an outlook and
analysis. International Journal of Production Economics. 135(2). pp.687-701.
Hoque, K., 2013. Human resource management in the hotel industry: Strategy, innovation and
performance. Routledge.
Jiang, K. and et. al., 2012. Clarifying the construct of human resource systems: Relating human
resource management to employee performance. Human Resource Management
Review. 22(2). pp.73-85.
Jiang, K. and et. al., 2012. How does human resource management influence organizational
outcomes? A meta-analytic investigation of mediating mechanisms. Academy of
management Journal. 55(6). pp.1264-1294.
Lee, S. M., Lee, D. and Kang, C. Y., 2012. The impact of high-performance work systems in the
health-care industry: employee reactions, service quality, customer satisfaction, and
customer loyalty. The Service Industries Journal. 32(1). pp.17-36.
Mangia, G. and et. al., 2013. The human side of organizational change: Compliance and
management control systems in Italian public utilities. Human Factors and Ergonomics
in Manufacturing & Service Industries. 23(1). pp.47-57.
Nieves, J. and Haller, S., 2014. Building dynamic capabilities through knowledge
resources. Tourism Management. 40. pp.224-232.
Nieves, J., Quintana, A. and Osorio, J., 2014. Knowledge-based resources and innovation in the
hotel industry. International Journal of Hospitality Management, 38, pp.65-73.
Santamaría, L., Nieto, M. J. and Miles, I., 2012. Service innovation in manufacturing firms:
Evidence from Spain. Technovation. 32(2). pp.144-155.
Talib, F., Rahman, Z. and Qureshi, M. N., 2013. An empirical investigation of relationship
between total quality management practices and quality performance in Indian service
companies. International journal of quality & reliability management, 30(3), pp.280-
318.
Zhou, Y., Hong, Y. and Liu, J., 2013. Internal commitment or external collaboration? The impact
of human resource management systems on firm innovation and performance. Human
Resource Management. 52(2). pp.263-288.
Online
job specification. 2019. [Online]. Available through:
<http://www.businessdictionary.com/definition/job-specification.html>.
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