HRM Practices and Organizational Performance

The provided document is a solved assignment that delves into the world of Human Resource Management (HRM). It discusses different ways of recruiting people within an organization, such as internal and external recruitment processes. The document also highlights various HRM practices that contribute to increased profitability and efficiency in business operations. Additionally, it mentions key legislations that provide rights to workers in a company. The assignment references multiple books, journals, and online sources for its information.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1 ...........................................................................................................................................1
P1 Explain the purpose and functions of HRM, applicable to workforce planning and
resourcing an organisation .....................................................................................................1
Function of HRM in workforce planning and resourcing for an organisation................................2
P2 Explain the strengths and weaknesses of different approaches to recruitment and selection
................................................................................................................................................3
M1 Assess how the functions of HRM can provide talent and skills appropriate to fulfil
business objectives ................................................................................................................5
M2 Evaluate the strength and weakness of different approaches to recruitment and selection 6
TASK 2 ...........................................................................................................................................7
P3 Explain the benefits of different HRM practices within an organisation for both employer
and employees .......................................................................................................................7
P4 Evaluate the effectiveness of different HRM practices in terms of raising organisational
profit and productivity ...........................................................................................................8
M3 Explore the different methods used in HRM practices....................................................8
TASK 3 ...........................................................................................................................................8
P5 Analyse the importance of employee relation in influencing HRM decision making .....8
P6 Identify the elements of employee legislation and the impact of employment legislation
and the impact it has upon HRM decision making................................................................9
M4 Evaluate the key aspects of employee relation management and employee legislation .9
M5 Provide a rationale for application of specific HRM practices .....................................10
TASK 4 .........................................................................................................................................10
P7 Illustrate the application of HRM practices in a work related context ...........................10
CONCLUSION .............................................................................................................................13
REFERENCES .............................................................................................................................14

INTRODUCTION
Human resource management is a term that is used for describing formal systems which
are devised for management of people within a company (Alfes and et. al., 2013.). There are
several responsibilities of a human resource manager which includes staffing, employee
compensation and benefits, designing and defining work. The purpose of HRM is to maximise
the productivity of an organisation by the optimisation of effectiveness of employees. In this
report a company is chosen for analysing different role of human resource management in an
organisation which is Tesco. This is a British multinational company founded in 1919 which is
involved in multinational groceries and general merchandise retailer. This company has
headquarters in England, United Kingdom. Tesco is the third largest retailer of the world and it is
the market leader of groceries in UK. This report consists of purpose, scope and functions of
HRM which are applicable to workforce planning and resourcing. This report describes strengths
and weaknesses of different approaches to recruitment and selection of an organisation and
benefits of different HRM practices within an organisation for both employer and employees.
This report explains effectiveness of different HRM practices in terms of raising organisational
profit and productivity. This includes the importance of employee relation in influencing HRM
decision making and elements of employee legislation and the impact of employment legislation
and the impact it has upon HRM decision making.
TASK 1
P1 Explain the purpose and functions of HRM, applicable to workforce planning and resourcing
an organisation
Purpose of HRM which are applicable to workforce planning and resourcing an
organisation.
The main purpose of HRM in TESCO company is hiring, promoting, motivating, and
giving training session for improving workforce skill in the firm. The HR manager have to
implement a culture, which are healthy and safe environment for the employee and satisfy them
in order to retain potential staff in the company. When hiring a new applicant for a vacant job
requirement. The manager plays a important role in hiring procedure for choosing right candidate
at right time for right job.
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Function of HRM in workforce planning and resourcing for an organisation.
The TESCO HR manager uses two function in handling workforce of the company.
Mentioned below are the function of HRM, which are given underneath: Managerial Function: These functions include planning, organising, directing,
controlling. The management of TESCO firm, uses planning and organizing function the
decision-making process: Planning: This is the basic function of HRM as human resource forecasting is proceed
with deep analysis of requirement of human resource in the TESCO company (Budhwar,
and Debrah, eds., 2013). The firm HR managers, broadly focuses on investing in research
and development department, where the estimation of current and future workforce need
is decided by involving other department managers in decision-making process. Organizing: This is very important task in any organisation, industry or firms. The
TESCO HR managers, perform this task very effectively by allocating right work to right
workforce on the basis of skill requirements in handling workforce resources to achieve
organisational goals. Directing: This function involves engaging and authorising employee's at every level in
the work culture. The TESCO HR manager uses this managerial function very effectively
by involving staff members, through different task allocations and giving responsibilities
in fulfilling the allotted work.
 Controlling: The controlling is done after planning, organising and directing. The
performance is been analysed and compared with the set objectives. The TESCO HR
department, give overall assessment of employee's and if they found the work is not been
done in appropriate manner, then control measures is been taken by the managers.
Operative Functions: These functions include hiring/recruitment, job analysis and
design, performance appraisal, training and development. The TESCO management, uses two
important functions which are described below: Recruitment/hiring: This is the process, where the manager drive the recruitment
process where the candidates are been attracted and from the pool the potential
applicants with the adequate skills are been hired. Job Analysis and Design: It is very important function of TESCO HR manager,
whenever the recruitment procedures are been scheduled, there should be job
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specification and candidate skills requirement (Chelladurai, and Kerwin, 2017). along
with this, it should be mentioned in the mail, before proceeding to the next step of
interview and selection process. Performance Appraisal: This is the necessary process, which include overall assessment
of performance of the employee's. The TESCO managers, uses this approach for
evaluating their employee's on weekly basis and motivate them to achieve short term and
long terms goals planned by the company.
 Employee Welfare: This function involves the benefits which an employer are providing
to their staff members and how fruitfully they are managing them to increase the
satisfaction level. The TESCO company, should provide all the benefits to their
workforce in retaining them to the firm as mentioned by Workers of England Union.
P2 Explain the strengths and weaknesses of different approaches to recruitment and selection
Recruitment ans selection methods are done in an organisation for hiring new talented
employees that can work in the organisation and increase the profits of the company.
Recruitment is defined as a process of attracting individuals for working in the organisation. This
process sources the candidates having abilities and attitude that is required for achieving the
goals and objectives of the company. This is a process of identification of job vacancy,
reviewing of applications, analysing the job requirements, short listing and selection of right
candidate for working in the company. For increasing the efficiency of hiring individuals, the
human resource manager should follow HRM practices. There are different approaches of HRM
in the organisation. These are mentioned below-
Approaches to workforce planning – It is important for the organisation to manage it's
workforce properly and make them achieve goals and objectives of the company in less time.
The HR managers of the company take initiatives for developing effective workforce which can
perform better and achieve targets in given time. The HR managers of Tecso takes several
initiatives for improving the workforce. These managers assign work to employees on the basis
of their capabilities and skills.
Approaches to training and development- Trainings are beneficial for employees of the
company (Huselid, and Becker, 2011). It enhances skills and abilities of people who are working
in the company. There are basically two types of trainings which are provided to employees of
Tesco. These include on the job training and off the job training. On the job training is defined as
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a hands on method of teaching the skills, competencies and knowledge to an individual. In such
case, employees learn and develop skills at workplace. On the other hand, off the job training is a
kind of training that is taught to employees where employees learn their jobs outside workplace.
Off the job training consists of a place that is allotted for training purpose and this place is near
to workplace. Off the job training consists of different ways by which learning is provided to
employees such as lectures, management games, vestibule training, case studies, role playing and
stimulation.
Approaches to rewards - The reward management is defined as an approach which
focuses on providing rewards and incentives to employees. The training give to employees are
based on the abilities at which the individual is not good. Rewards are a good factor that allows
an individual for doing good job and meet goals and objectives of the company in given time.
The tangible training includes financial training, luxury if employees, lifestyle development.
Approaches to performance management – The HR managers of Tesco analyses and
evaluates the performance of individuals for improving them. An employee must be skilled and
have proper knowledge if he wants to attain his targets given by the managers. Evaluation of
employees should be done on regular basis so that managers have information about the skills
which lacks in a person. This helps managers to provide training and development sessions to
employees on the basis of the analysis.
Recruitment and selection method of Tesco
The recruitment of Tesco involves attracting the right standard of applicants for applying
in the organisation if there is a vacancy. Tesco advertises it's products in various ways. There are
basically two types of recruitment process in this company i.e. internal recruitment and external
recruitment.
Internal recruitment
Tesco analyses the internal talent plan to fill different vacancies of the company. This is a
process that includes a list of current employees who are looking for a job. All employees who
can be moved to another field in the organisation or can be promoted in the same department are
known in this process (López-Nicolás, and Meroño-Cerdán, 2011). If the talent plan of Tesco
does not have name of any eligible candidate for filling the position, then Tesco goes for other
alternative. This includes developing of internal management development programs and Tesco
advertises the vacant post details on intranet for about two weeks.
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External recruitment
The external recruitment of Tesco includes advertising of vacancies on website of Tesco
i.e. www.tescocareers.com . This can also be done through vacancy boards in stores. The
applications for job are made online and applicants can apply through registering themselves for
the job. The applicant who is selected for the job will have an interview and this interview will
help to analyse the skills or abilities of an individual. The selected applicant has interview that is
followed by attendance at an assessment centre for the final stage of selection process.
Individuals who are interested in store based jobs in Tesco can easily approach stores and apply
there for the post. The interested applicant must submit his CV or resume directly at store or he
can register through Jobcenter Plus (Marchington and et. al., 2016). The store prepares a waiting
list of applicants whio have applied in this way and selected individuals are called when jobs are
available.
Other ways used by Tesco to recruit employees are websites, offline media, television,
radio, placing of advertisement on Google or in magazine such as Appointment Journal. Tesco
have the most effective way of attracting perfect candidates who can work in the company. It is
expensive for Tesco to advertise job positions and vacancy on television an radios, magazines, it
is necessary for the organisation to ensure that right candidates are hired who can achieve the
goals and objective of the company in less time. Tesco makes it easy for applicants in finding
jobs as it has a simple application process. Any applicant can access website of Tesco and for
finding local jobs, head office positions and management posts positions. The website of Tesco
has an online application form that can be submitted directly to the company.
M1 Assess how the functions of HRM can provide talent and skills appropriate to fulfil business
objectives
Human Resource Management is broadly explained as an method, which each and every
organisation, adapt to manage, develop, motivate and retain their workforce resources which
result in maximum output. The human resource are the important and essential ingredient in the
work culture of TESCO company.
M2 Evaluate the strength and weakness of different approaches to recruitment and selection
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Strength and weakness of internal recruitment
STRENGTH WEAKNESS
 The internal recruitment is a fast and
cheaper way if recruiting right
candidates.
 Management of Tesco does not have to
explain operations of business as these
people are already familiar with
business operations.
 Employees are motivated as promotion
is given to employees to a higher
position.
 Tesco already knows the weakness and
strength of that employee.
 It limits Tesco for reaching other
potential individuals who can p[reform
job role effectively.
 The present post in the company is
vacant as individuals are given higher
designations.
 New innovative and creative ideas of
potential individuals or candidates
from outside cannot be used.
Strength and weakness of external recruitment
STRENGTH WEAKNESS
 Individuals who are hired from outside
the organisation bring new and
innovative ideas for the organisation.
 In external recruitment, HR department
of Tesco grabs an opportunity for
selecting perfect and best candidate
from a wide variety of individuals.
 It is an expensive process and it costs
high to the organisation for advertising
and interviews.
 It may not always be able to select the
best candidate for job.
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TASK 2
P3 Explain the benefits of different HRM practices within an organisation for both employer and
employees
HRM practices are set of activities performed by human resource managers for providing
benefits to both employees and employers. The main objective of human resource management
includes aligning the HR strategy with the goals and objectives of the company. The best human
resource practise is one in which employees are satisfied by the practices offered by the company
on workforce (Messersmith, J. G. and et. al., 2011). Various HRM approaches are listed below-
Recruitment and selection – Tesco has adopted a proper structure for recruiting and
selecting the best candidate who cane work effectively in the company. Tesco follows both
internal and external way of recruitment for hiring individuals who can increase the productivity
and efficiency of the company. External recruiting process is expensive but it helps in hiring new
talented people and individuals who have creative thinking.
Training and development programs- The human resource management of Tesco
provides trainings and career development sessions to employees for enhancing the skills and
knowledge of an individual. The different kind of trainings provided to workers of Tesco are
apprenticeship training, health and safety trainings, mentoring and coaching, employee
orientation program, etc. There are various motivational lectures and sessions provided to
employees for increasing their efficiency and productivity.
Benefits to employees Benefits to employers
 Training and development programs
develops skills and abilities of an
individual for improving the
performance of individuals. .
 HRM practices followed in Tesco helps
the management for establishing
positive environment at workplace.
 The efficiency and profits of the
company are increased by adopting
HRM practices in the company. Tesco
manager also provide some career
training to employers.
 Recruiting and selecting right
candidates in Tesco will help in
achieving goals and objectives in lesser
time.
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P4 Evaluate the effectiveness of different HRM practices in terms of raising organisational profit
and productivity
Different HRM practices followed in Tesco which help in increasing the efficiency of
company operations are given below-
Manpower planning- This is a necessary function of HR management. In this process, an
action plan is developed that includes a clear plan for providing solutions and evaluating supply
and demand gap, competency gap and succession gap. A regular evaluation of employees of
Tesco is done for enhancing skills and abilities of employees.
Performance management system- This is a process used by managers of Tesco for
analysing performance of employees. The job role of HR manager of Tesco includes alignment
of the vision, mission and goals of the company with HR strategy. The performance
management system calculates different competencies of workers and on this basis the HR
managers provide effective trainings to them.
M3 Explore the different methods used in HRM practices
The human resource management is responsible for controlling and managing various
functions that are related for increasing the efficiency of employees (Renwick, Redman, and
Maguire, 2013). The HR manager of Tesco provides trainings and career development sessions
for improving the performance of employees. There are different HRM practices adopted by
Tesco's managemnet. The main objective of human resource practise is to hire the best candidate
who fits in the organisation and will perform better for the company.
TASK 3
P5 Analyse the importance of employee relation in influencing HRM decision making
Employee relation is the bond or relation that is shared among employees of a company.
If there is good relation among employees then there are less conflicts and fights among
employees and this helps in enhancing the workplace environment. The decision making of
HRM depends upon employee relation. This is mentioned below-
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 A healthy relationship between managers and employees of Tesco is helpful for HR
managers to establish positive workplace. When all employees share a good bond then
they can collaborate with each other and make effective decisions.
 A healthy relationship between HR managers and employees helps in reducing conflicts
in the business environment.
 The HR team and managers of Tesco ensures in providing positive environment to its
employees for increasing the efficiency and productivity of company.
P6 Identify the elements of employee legislation and the impact of employment legislation and
the impact it has upon HRM decision making
Some common laws that affects decision making of HRM are listed below -
Occupational Health and Safety Act, 1970: According to this law, organisations have to
ensure that employees working in the company are healthy and having no issue or problem of
health because of the workplace environment (.Schermerhorn and et. al., 2014). In Tesco,
employees are provided positive work environment and it is duty of HRM to manage workers are
working in a feasible condition.
Fair Labor Standards Act, 1938: According to this act, a fixed minimum wage is given
to workers. Every organisation has to provide that much amount to employees in any condition.
Moreover, there is overtime payment which is given to employees who work more than 40 hours
in a week. The workers of Tesco are given fair wages and compensation so that workers can
work properly.
The Equal Pay Act, 1970: According to the Equal Pay act, it is commenced that all
employees and workers should be treated equally at workplace. They cannot be discriminated on
the basis of gender, colour or race. Tesco enhances gender equality at workplace by treating all
men and women equally.
M4 Evaluate the key aspects of employee relation management and employee legislation
Every organisation has to adopt and follow certain laws that are useful for company like
Tesco as this helps in treating employees equally and reducing conflicts and fights among
employees.
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M5 Provide a rationale for application of specific HRM practices
The human resource management of an organisation is involved in developing and
administrating programs which are designed for increasing the effectiveness of the company or
business. This involves various functions like creating, managing and cultivating the relationship
between employer and employee. The HR of Tesco has to take care that it is providing effective
benefits to employees so that it is able to attract more number of individuals to work withing the
organisation (Rubery and Urwin, 2011). There are some HRM practices followed in Tesco for
for the improvement of employee's performance and capabilities. The HRM practices of Tesco
are helpful to create value and image of the company in front of people. The management of
HRM aligns the vision, mission and goals of the company with strategies of HRM to increase the
effectiveness of employees as well as organisations. Employees working in Tesco are given
trainings and career development sessions after knowing what are the abilities and skills they
have to develop. A job description contains all the information about requirement of company in
an individual who can apply for job. In case of Tesco they want to have a skilled and
knowledgable person who can manage all activities of employees benefits and welfare.
TASK 4
P7 Illustrate the application of HRM practices in a work related context
Application of HRM practices in Tesco
Job Description
Job Details
Post : HR Manager
Company : Tesco
Job Purpose
Confident and effective candidates are invited for the position of HR manager in this firm.
The individuals applying for the job position must have good communication skills and
interpersonal relationship skills. The applicants must be able to develop and implement HR
strategies for aligning overall business strategy. Effective trainings and sessions are organised
by HR manager for increasing the performance of organisation as well as employees.
Roles & Responsibilities
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 Maintains the work structure by updating hob requirements and job description for
different positions of the company.
 Maintaining a pay plan by conducting periodic pay surveys and scheduling and
conducting job evaluations.
 Maintaining staff of organisation by establishing a recruiting, testing and interviewing
program and counselling managers on candidate selection
 Conducting and organising exit interviews and recommending changes
 Initiating programs related to employee engagement and employee involvement
towards the organisation.
Person Specification
 Post: HR Manager
 Department: HR department
 Key: This shows what is required as an evidence:
 (A): Application form, (I): Interview, (R): Role
Attributes Essential Desirable
 Qualification &
Experience
 Post graduate degree
in specialisation of
Human resource
management
 3-4 years of
experience in field of
human resource in a
reputed firm
 Graduate in any
specialisation
 The applicant must
have experience of
managing human
resource management
and providing positive
environment at
workplace.
 Skills or knowledge  Good communication  Ability for
understanding the
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skills
 Interpersonal skills
 Team work
 Coordinate and
cooperate with
employees
competency of business
and increasing
performance of
employees. This can be
done by
implementation of new
systems and strategies
that increase the
performance of
workers.
Creation of structured interview- The human resource mangers of Tesco company
develops an advertisement for inviting applicants for job role. This advertisement is sent to
different job portals, newspapers, magazines, websites, newspapers, social networking sites, etc.
The HR manager of Tesco takes face to face interview with eligible candidates and they are
asked to all applicants who for analysing the skills and capabilities of people (Sheehan, 2014).
Some general questions asked by human resource managers are mentioned below-
 What are the roles of HR Manager in development and growth of organisation?
 Why there is an need to develop positive relationship among employees at workplace?
 How can trainings affect the performance of employee?
 Why our company should hire you?
 Where do you see yourself after 5 years and what are your future plans?
Job Offer Letter
Mr./Ms,Last-Name
Address
City, State Zip Code
Dear Mr./Ms. Last Name,
Our organisation Tesco is fortunate to inform you that you are hired for the position of HR
manager in our company. Our company thinks you have all the qualities and skills required by
our company. As per the rules you will be provide all facilities and perks. Proper leaves are
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given to the employee and you will be provided incentives and benefits according to your
performance.
Sincerely,
First-name,Last-Name
Director,Human-Resources
Tesco
CONCLUSION
From the above report, it has been concluded that human resource management is an
essential part of any organisation. It is important for every organisation to have effective
strategies made by human resource management so that employees and their benefits can be
easily handled in the company. There are different ways of recruiting people in the organisation
such as internal and external recruitment process. Different HRM practices helps an organisation
to increase profitability and efficiency of business operations. There are some key legislations
followed by company to provide rights to workers of the company.
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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.
Budhwar, P. S. and Debrah, Y. A. eds., 2013. Human resource management in developing
countries. Routledge.
Chelladurai, P. and Kerwin, S., 2017. Human resource management in sport and recreation.
Human Kinetics.
Huselid, M. A. and Becker, B. E., 2011. Bridging micro and macro domains: Workforce
differentiation and strategic human resource management.
López-Nicolás, C. and Meroño-Cerdán, Á. L., 2011. Strategic knowledge management,
innovation and performance. International journal of information management. 31(6).
pp.502-509.
Marchington and et. al., 2016. Human resource management at work. Kogan Page Publishers.
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.
Rubery, J. and Urwin, P., 2011. Bringing the employer back in: why social care needs a standard
employment relationship. Human Resource Management Journal. 21(2). pp.122-137.
Schermerhorn and et. al., 2014. Management: Foundations and Applications (2nd Asia-Pacific
Edition). John Wiley & Sons.
Sheehan, M., 2014. Human resource management and performance: Evidence from small and
medium-sized firms. International Small Business Journal. 32(5). pp.545-570.
Sparrow, P., Brewster, C. and Chung, C., 2016. Globalizing human resource management.
Routledge.
Storey, J., 2014. New Perspectives on Human Resource Management (Routledge Revivals).
Routledge.
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Unger, J. M. and et. al., 2011. Human capital and entrepreneurial success: A meta-analytical
review. Journal of business venturing. 26(3). pp.341-358.
Welch, C. and et. al., 2011. Theorising from case studies: Towards a pluralist future for
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Online
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