Importance of HRM Practices for Employer and Employee

This article discusses the function and purpose of HRM, strengths and weaknesses of recruitment and selection approaches, benefits of HRM practices for employers and employees, usefulness of HRM practices in enhancing efficiency, importance of employee relations, and the impact of employment legislations on HRM decisions. The content focuses on TESCO, a leading British retailer.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
P1. Function & Purpose of HRM...........................................................................................1
P2. Strengths and weaknesses of Recruitment and Selection approaches..............................2
P3. Benefits of HRM Practices for Employer and Employee................................................3
P4. Usefulness of HRM practices in enhancing efficiency....................................................5
P5. Importance of employee relations....................................................................................6
P6. Impact of employment legislations on HRM decisions...................................................6
P7. Application of HRM practices in TESCO........................................................................7
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
HR is considered as the most crucial aspect of any corporation as this involves
individuals who are engaged in carrying out the business activities and practices. It is important
for an entity to effectively manage the human resource so as to timely achieve the corporate
goals and objectives (Boella and Goss-Turner, 2019). The following project is based on TESCO
which is the leading British retailer dealing in an array of product categories.
P1. Function & Purpose of HRM
HRM is defined as the composite of activities and practices encompassing recruitments,
selection, hiring, dismissals, trainings, compensation, reward management and many more. This
is seen as an effective business function which is engaged in enhancement of staff productivity.
Within the confines of TESCO, HRM holds a crucial role in terms of encouraging the workforce
and providing them with a positive working culture.
WORKFORCE PLANNING
It is a comprehensive procedure which aims at alignment of organisational requirements
and priorities with those possessed by its staff. Workforce planning seeks to hire the right
candidate at the right time so that they can be placed at right position within the respective retail
corporation (Hamilton and Sodeman, 2020).
PURPOSES OF HRM
HRM holds several purposes in light of TESCO and these are briefly discussed as under:-
 To ensure that staff is provided with positive and motivating working culture at all times.
 To make sure that personnel get access to secure operating scenario so that they do not
feel unsafe at any point of time.
 To stipulate a corporate culture whereby discrimination, illegal practices and unethical
activities are firmly forbidden.
 To empower the employees so that they work to the fullest of their potential for the
achievement of organisational objectives.
FUNCTIONS OF HRM
HRM is a complex procedure holding several functions. With respect to TESCO, these
functions are categorised into Managerial, Operative and Advisory.
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Operative Functions: These are acknowledged as being the most complex as well as
challenging function of HR within an enterprise. To effectively execute these functions, several
resources are required by a company. It involves recruitment whereby the deserving candidate is
hired and placed at the vacant position. It is then that this candidate is provided with orientation
sessions whereby they are acquainted with organisational culture. Staff within TESCO is given
benefit like flexible working arrangement, maternity leave, paternity leave and many more
(Primecz, 2020). Performance assessment also belongs to operative functions and helps in
recognising the most and least productive employee.
Managerial Functions: These are also significant for HR within a company and
encompass several activities or practices. The first activity which constitutes managerial function
of HR is planning whereby an organisation stipulates plans for effective workforce planning
(Moses and Sharma, 2020). The next activity is organising whereby the operational structure is
created. It is followed by directing whereby the performance of workforce is aligned with goals
and objectives of TESCO. The last activity hereby is controlling in which manager of TESCO is
required to apprehend operational activities in accordance with the stipulated plans.
Advisory Functions: These functions are associated with providence of advice to
management of a company by the HR team in accordance with policy formulation. Further,
another function hereby for HR department is to render advice to functional or departmental
heads regarding working patterns or procedures.
P2. Strengths and weaknesses of Recruitment and Selection approaches
Recruitment can be referred to as the procedure through which a relationship is
developed within the applicant and the employer.
SOURCES OF RECRUITMENT
There are mainly 2 sources of recruitment named external as well as internal. A
discussion over the same is given underneath:-
Internal: Hereby, recruitment process occurs through transfers and promotion. This is
acknowledged as being cost effective way of placing the right candidate at right place, also
subsequently motivating the personnel in TESCO.
External: Even though external source of recruitment is acknowledged to be a
cumbersome procedure, yet the scope of finding a suitable candidate for TESCO is relatively
higher here.
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METHODS OF SELECTION
There are several methods through which a company selects a prospective candidate.
Some of these methods used by TESCO are explained beneath:-
Job Analysis: It is defined as the method whereby data associated with human and
content requirements of a job, is collected and analysed. This serves as an effective way of
determining job placement (Moses and Sharma, 2020).
Job Description: This is defined as an informative piece of paper providing an overview
of roles & responsibility for a particular position vacant in TESCO. Also, it consists of an outline
of skills set and qualifications required in the applicants.
Person Specification: It is an informative document containing heads such as
experience, skills, knowledge, competency, attributes to be present within the applicants
applying for vacancies at TESCO.
APPROACHES TO RECRUITMENT AND SELECTION
There are mainly 2 approaches to recruitment and selection within the confines of
TESCO. These are discussed beneath:-
Competency approach: This can be defined as an approach in which candidates are
recruited in accordance with their abilities to develop an anecdote in relation to their experiences
being used as evidence. The applicants demonstrate their competency and qualifications over the
application form. After this competency dependent interviews take place with the candidates.
This is acknowledged to be an effectual approach as the intent of each and every company is to
hire competent and talented individuals for the accomplishment of corporate goals and
objectives. It decreased the turnover of staff in the premises of TESCO by eliminating the
element of biasness but it is still considered to be a reliable approach.
Contingency: This is defined as the recruitment and selection approach wherein
recruitment agency gathers fees from an organisation only in an instance whereby the entity is
able to place a deserving candidate at a vacant position within the confines of TESCO. This
approach is used for selecting individuals for senior posts. This approach is relatively better and
is considered as reliable method to recruit and select candidates.
P3. Benefits of HRM Practices for Employer and Employee
Human resource management consists of several business practices and activities which
are used for a number of purposes. In this regard, some of the crucial HRM practices which take
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place within the premises of TESCO, the market leading retail corporation, are discussed as
underneath:-
HRM PRACTICES
Training & Development: The development of workforce is the secondary aim of every
organisation besides earning huge revenues and profits. For this purpose, organisations across the
globe conduct training and development sessions which provide assistance to the entity in
inflating the existent level of knowledge, skill set, competencies and abilities. This implies
enhanced capacity of individuals to complete the tasks and activities of TESCO so that the retail
corporation can attain its objectives and goals within due course of time. In this relation, it is
identified that TESCO makes use of on the job trainings in order to provide adequate knowledge
to employees regarding their roles and responsibilities.
Recruitment & Selection: This is yet another important HRM practice through which a
firm is able to select and hire deserving candidates for vacant positions within the company. In
this relation, it is identified that strong HR policies support HR team in recruiting qualified and
competent individuals for performing the activities and practices of business. In light of TESCO,
it is identified that the retailer leverages the usage of several approaches, sources or methods for
hiring candidates. It has been acknowledged that TESCO uses 360 degrees appraisal system for
ensuring that the recruitment and selection processes are optimally taking place and competent
employees are being selected for vacant positions.
BENEFITS FOR EMPLOYER
Timely realisation of corporate goal: HRM practices when executed in an effective
manner by the organisation results in inflating the scope of achieving the goals and objectives of
TESCO in predefined course of time. With this, the retailer is able to enhance its market
positioning and gain an edge over rival firms within same corporate sector.
Inflated revenues and profits: Through the utilisation of strong HRM practices, an entity
such as TESCO is able to instil a sense of motivation among the employees. This makes them
work in a more productive manner for achieving the corporate goals. As a result of this, the
revenue and profitability of the respective retail corporation enhances.
BENEFITS FOR EMPLOYEES
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Increased level of output: HRM practices such as training and development enhance the
knowledge and skills of individuals pertaining to TESCO. This leads to increment in the level of
output delivered by them at present.
Learning: The execution of various HRM practices enable employees to undergo
learning and development on a constant basis. With this, they are able to enrich their professional
personality and pave way for career progression in future course of time.
P4. Usefulness of HRM practices in enhancing efficiency
Human Resource Management practices are quite handy for a business to enhance its
efficiency. This takes place as a result of execution of sound practices and activities within the
confines of TESCO that motivate the employees to put their best foot forward for the
achievement of organisational goals and objectives. Thus, the various types of practices which
take place within the confines of TESCO are discussed as under:-
Development of an innovative working culture
Through the creation of a positive working culture whereby innovation is considered as the most
important aspect, an entity aims at facilitating emergence of uniqueness and creativity among the
employees. As a result of this, TESCO is able to come up with market disruptive ideas of
sustaining its top position in British retail market. Further, innovation also enables the firm to
inflate its existing efficiency so as to accomplish the corporate goals in due course of time.
Effectual reward management system
Reward is considered as an effective way of influencing the behavioural pattern of employees
and output delivered by them in a positive manner. Through this, the organisation is able to
recognise the deserving candidates to be placed at vacant positions within the confines of
TESCO. With this, the firm is able to enhance its operational efficiency as the employees get
motivated as a result of receiving recognition or rewards.
Flexible working practices
It is a type of working arrangement whereby employers enable workers to work in
accordance with their ease and comfort. This may take place by way of flex time, job sharing,
part time, telecommuting and many more such ways. This allows individuals to maintain a
balance between their personal and professional responsibilities as well as priorities. It is
beneficial for employees as it provides them with convenience of working as well as comfort. In
addition to this, employers benefit from the satisfaction derived by employees owing to the
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flexible working practices. Such types of practices motivate individuals to work with increased
productivity and thus this works in favour of both the parties, employee as well as employer.
P5. Importance of employee relations
Within the confines of any company, maintenance of healthy relations between employer
and employees is considered supreme. This raises the organisational efficiency and facilitates
timely achievement of corporate goals and objectives. TESCO is an entity that realises the
significance of maintaining employee relations and some of the reasons why it gives due
emphasis to that aspect, are given underneath:-
Productivity: The development of healthy employee relations gives a boost to the
individual productivity of employees as well as the productivity of company as a whole. TESCO
leverages employee relations to encourage staff to give their best performance for the realisation
of goals and objectives in due course of time.
Teamwork: When employer and employees maintain positive and healthy relations with
each other, it gives a boost to the behavioural conduct and performance of employees. As a result
of this, they get encouraged to work in a collaborative manner for the timely completion of
organisational tasks and activities. When all the business activities and practices take place in
accordance with the requirements of TESCO, it enables the retailer to duly accomplish the
predefined targets.
Conflict resolution: Through the creation of effective employee relations, an entity is able
to reduce the chances of emergence of a conflict. This happens as the employees get comfortable
with their working scenario and whereby they are not satisfied, they communicate the same to
the top authorities so that improvisation can be done. Further, it enables the development of
collaborative working atmosphere whereby coordination and cooperation are considered as the
key to goal achievement.
P6. Impact of employment legislations on HRM decisions
Laws and legislation are essential to be followed by an organisation in order to avoid any
legal consequences out of the same. Looking upon the same, TESCO also follows certain laws
by acquainting the employees about the same. Some of these laws are briefly described as
follows:-
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Sex discrimination Act, 1975: The HR manager of TESCO is using this law to ensure its
employees that they are giving equivalent opportunities to its employees at the time of taking
decisions at workplace which helps them in growing faster.
Minimum wages Act, 1998: The pay role section of human resource department of
TESCO ensures that all workers at workplace are getting wages according to the consideration of
this law. This directly improves morale and satisfaction level of employees which results in
improved performance of employees.
Anti discrimination Act: It has been analysed that human resource department of
TESCO is following this law at the time of performance of appraisal of employees. At this time,
all employees are treated fairly and given promotions according to their hard work.
P7. Application of HRM practices in TESCO
JOB DESCRIPTION
Organisation Name: Tesco
Department: Finance
Job title: Finance Assistant
Job Type: Full Time
Salary: £53,000
Location: London, United Kingdom
Job Purpose:
 Providing assistance to the finance department
 Capability of carrying out team management
 Setting coordination with the finance unit
Responsibilities:
 Dealing with financial transactions of the company and recording the same on regular
basis
 Preparing reconciliation statements at the end of every 15 days
 Providing guidance to other members within the finance team
 Giving end of the day reports to the Head of Finance Department
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Interested candidate can send their resumes over [e-mail] or call on the number : 033-
333-4444.
Thanks & Regards
Senior Human Resource Manager
TESCO UK
Contact no. + 33 (0) 1826 825245
Curriculum Vitae
A curriculum vitae (CV) is defined as fundamentally the synopsis of academic in addition to
expert background of job interviewee together with other indispensable information associated
with an individual. It is acknowledged to be very similar to an individual’s resume, nonetheless it
is put to use on a regular basis by the individuals who have got their works published in journal.
In this relation it can be duly comprehended that it is the brief overview of schooling, colleging,
professional qualifications and other necessary aspects related to a person that are typically
adjoined along with a job application. With respect to this, the CV for an individual who is
applying for the designation of Finance Assistance is presented as follows:-
Curriculum Vitae
Name: CDE
Contact No.: 044-125-4644
Email Id: [e-mail]
Address: ABC Street, BCD City, United Kingdom
Position: Finance Assistant
Professional Summary:
Exceptional interpersonal along with management skill will assist in budding as well as
sustaining well-built relationships at the same time as motivating team to conduct the project
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effectively.
Key skills:
 Excellent correspondence skill
 Imaginative and excellent at trouble solving
 Enduring and well-mannered in nature
Professional Experience:
Company Name: GHI Ltd.
Duration: 2 years
Position: Finance Associate
Educational Qualification:
Post Graduation: MBA (HR)
XXXX University, UK
Year: 2017
Preparatory notes for interviews
Preparatory notes can be comprehensibly defined as the preparation done by a person for
the interview that will consist of a wide array of enquiries for the sound evaluation of a
candidate. The HR manager of Tesco has prepared certain preparatory notes prior to conducting
an interview with the candidate. Such notes are presented beneath:-
Applicant Name:
Panel Number:
Vital Criteria
Educated to degree level or equivalent
Notes
Extensive senior managerial familiarity in a verified working
environment
Pertinent experience in finance profile
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Excellent in communiqué skills
Well-built interpersonal skill with the ability to show the way,
direct change and construct team
Well-built organisational skills with the ability to prioritise and
hand over the duty effectively
Capable to converse equally verbally and in writing with a broad
audience
Well versed in finance background and have the capacity to
administer as well as react to financial issues and other essential
needs.
Desirable Criteria Notes
Skilled in higher education, public service or any other big size
establishment.
Familiarity with terms of finance and accounting.
Consciousness of the concepts of accounts and basic terminology
related to a company’s financial statement.
Above mentioned are acknowledged to be some of the most crucial requirements that
must be fulfilled by a candidate while the interview panel makes enquiries from them to evaluate
their knowledge as well as overall personality.
Job offer for selected candidate
A job offer can be comprehensibly defined as the invitation sent by an entity to a
potential and competent candidate with a proposal to make them the employee of the
organisation. It consists of the details of an offer of employment given to an individual. It is
usually acknowledged to be a composite of some terms as well as conditions that are stipulated
in accordance with the offer of employment provided to the candidate selected via the interview
and other procedures. In addition to this, it is inclusive of some important details like the
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reporting authority, salary, job role, employee benefits, incentives, leaves and many other
aspects. A draft for the candidate who has been selected for the post of Finance Assistant in
TESCO has been presented as follows:-
Job Offer Letter
TESCO PLC
XXX Street, London,
United Kingdom.
May 20, 2020
Mr. XXXX
I am glad to inform you that you have been selected for the designation of Finance Assistant
within TESCO PLC. It will be a full time job where you will have to work for 6 days in a
week. The annual salary package offered to you is $600,000. Being a full time employee, you
will get access to the compensation package composite of the salary along with other benefits.
The principal features related to the employment offer as well as the related benefits are
contained in the document along with the job letter.
If this offer is accepted by you, we would require the documents confirming your academic as
well as professional qualifications. In case you have any queries regarding the employment
offer or any of the terms and conditions mentioned, do not hesitate to give me a call on +004-
411-3334.
Thanks and Regards,
YYY
HR Head
TESCO PLC
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CONCLUSION
It can be summarised that HR is one of the most crucial functions of an organisation that
is engaged in activities such as reward management, recruitment, selection, diversity, inclusion,
training and development and many more. Further, it is analysed that there are several
approaches to workplace planning, reward management, training and development.
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REFERENCES
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industry: A guide to best practice. Routledge.
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for using big data analytics to strategically manage human capital resources. Business
Horizons, 63(1), pp.85-95.
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performance work systems: Insights from consulting practice for academic
researchers. Human Resource Management Review, p.100749.
Liu, Y., Vrontis, D., Visser, M., Stokes, P., Smith, S., Moore, N., Thrassou, A. and Ashta, A.,
2020. Talent management and the HR function in cross-cultural mergers and acquisitions:
The role and impact of bi-cultural identity. Human Resource Management Review,
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Morgeson, F.P., Brannick, M.T. and Levine, E.L., 2019. Job and work analysis: Methods,
research, and applications for human resource management. Sage Publications.
Moses, A. and Sharma, A., 2020. What drives human resource acquisition and retention in social
enterprises? An empirical investigation in the healthcare industry in an emerging
market. Journal of Business Research, 107, pp.76-88.
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resource management and some future directions. German Journal of Human Resource
Management, p.2397002220909069.
Santana, M., Morales-Sánchez, R. and Pasamar, S., 2020. Mapping the Link between Corporate
Social Responsibility (CSR) and Human Resource Management (HRM): How Is This
Relationship Measured?. Sustainability, 12(4), p.1678.
Stewart, G.L. and Brown, K.G., 2019. Human resource management. John Wiley & Sons.
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