Importance of Employee Relations in HRM Decision-Making

Human Resource
Management

Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
P1 Purpose and functions of HRM applicable to workforce planning and resourcing..............3
P2. Strengths and weaknesses of different approaches to recruitment and selection..................4
P3. Explain the benefits of different HRM practices within an organisation for both the
employer and employee...............................................................................................................6
P4. Evaluate the effectiveness of various HRM practices in terms of increasing organisational
productivity and profit.................................................................................................................8
P5. Analyse importance of employee relations in respect to influencing a HRM decision-
making..........................................................................................................................................8
P6. Identify the key elements of employment legislation and impact on HRM decision making
......................................................................................................................................................9
P7. Illustrate the application of HRM practices in a work-related context................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Human Resource Management refers to the process that is associated with effective
management of people within an organisation. It is an strategic approach which involves
recruitment, selection, orientation, performance management, training and development of
individuals who are working within the firm. This report is based on Marks & Spencer Group plc
which is a multinational retailer of Britain. The firm was established in year 1884 and is
headquartered in London, United Kingdom. The assignment covers different functions of HRM
and its purpose, merits and demerits of recruitment and selection approaches, benefits of distinct
human resource practices for employees and employer and its effectiveness in improving profits
and productivity of company. Apart from this, report covers significance of employee relations
and different employment legislations that impacts on HRM decision making. At last, application
of different practices of human resource management in work related context is mentioned in
report.
MAIN BODY
P1 Purpose and functions of HRM applicable to workforce planning and resourcing
Human Resource Management is defined as the term used to manage and develop
employees within an organisation. It involves human capital management by emphasizing on
various areas including compensation and benefits, training and development, staffing,
recruitment, orientation, induction, employee relations etc. HRM plays crucial role in an
organisation. It is responsible for overseeing activities and policies that are associated with
human resources as per the executives level direction.
Hard and Soft model of HRM:
Hard HRM: In this approach, organisations are treated its employees as resource. It
mainly emphasize on identifying the needs of workforce and recruit and hire them accordingly.
Organisations follow this approach provides less empowerment to employees and delegate them
little responsibilities.
Soft HRM: As per this approach, employees are crucial asset of business and are the
major source of competitive advantage for business. Organisations follow this approach mainly

focus on employee's needs, their roles, motivation, rewards etc. Marks & Spencer follow this
approach as it helps in motivating employees by empowering and encouraging them to seek
deputation and take responsibility.
Workforce planning and resourcing: It is the process of analysing, anticipating and
planning manpower supply and demand by assessing gaps and filling them with right number of
candidates with appropriate skills and knowledge. This process is used within organisation to
align priorities and needs of company with those of employees to ensure accomplishment of
organisational objectives. In Marks & Spencer, HR manager anticipates manpower needs of
organisation and fulfil those by hiring skilled candidates.
Purpose of HRM: The main purpose of human resource management is to ensure hiring
of right candidate to appropriate position at right time. It also aims to develop skills and
competencies of employees so that they enable to perform their duties well and accomplish set
goals and objectives of company.
Main functions of HRM:
Recruitment and Selection: It is the process in which human resource manager recruit
best suitable candidate within firm. It is the process of attracting, screening, selecting and hiring
right candidate so that objectives of firm can be achieved. Selection is the process of selecting
individual who possess adequate knowledge and capabilities to attain goals of firm. In Marks &
Spencer, it is the responsibility of HR manager to recruit and select best candidate within firm so
that goals and objectives of firm can be achieved effectively.
Training and Development: It is the another function of human resource administration
in which training and development is provided to employees so that their skills and knowledge
can be improved. Its main purpose is to provide development to employees so that their
individual and organisational goals can be fulfilled. In Marks & Spencer, human resource
manager provide training to employees so that their potential can be increased and they are able
to attain objectives of company efficiently.
P2. Strengths and weaknesses of different approaches to recruitment and selection
Recruitment is a process by which best qualified candidates are found and hired for job
vacancies in an organisation. It includes different types of activities which starts from analysing