Establishing Effective HRM Practices for Employee and Employer Benefits

The assignment provides a detailed case study on establishing effective Human Resource Management (HRM) practices for the benefits of both employees and employers. It focuses on a real-life scenario, analyzing the importance of HR functions in a company like Mas Holdings, where a proper HR department was established to prevent trade union commencement and improve employee well-being and productivity.

Human Resource Management
Contents
Introduction
01 INTRODUCTION TO THE ORGANIZATION 4
1.1 Present company situation in relation to HRM functions at MAS Holdings 5
02 Key roles and responsibilities and function of HR 6
2.1 How it applicable in workforce planning and resourcing 7
03 strengths and weaknesses of recruitments and selection, with examples. 8
04 Functions of HRM support to provide & retain talented and skilled employees to fulfil the
business objectives. 14
05 Explore the different methods of HRM practices in relation to the selected organization. 16
Various HRM practices within an organization for employees’ benefit 17
Various different HRM practices within an organization for employer’s benefit 17
06 Effective HRM practices and application in terms of raising productivity and profit of the
organisation considering a range with examples 18
Conclusion 19
References 20
Introduction
This report created as aJunior Human Resources Manager recently joined. Human
Resource Management is currently operating under the authority of Managing Director
(MD) and no clear HR policies and procedures are being enforced as the MD will
concentrate more on business growth. Although their core business is growing well, the
organization is currently facing many HR issues, including high labour turnover, and it has
been found to have a direct impact on market competition.
The author has therefore been given a special task to properly grow the HR Department as t

he company has not concentrated on it for the last 15 years and the Managing Director has
recognized the need for a separate HR Department and the value of implementing best HR
practices to build a healthier working atmosphere. As the first task of the author is to assess
the efficacy of the HR function within the organization, examine the position and nature
of HR and review and evaluate the organization’s key HR functions.
.
01 INTRODUCTION TO THE ORGANIZATION
WELCOME TO MAS
In 1987, Mr Mahesh, Ajay and Mr Sharad Amalean introduced lingerie manufacturing to
South Asia and that is where the MAS legacy began. Something that began as a venture
down an unusual path has resulted in MAS being at the forefront of garment manufacture.
(Overview | MAS - Change Is Courage, 2020)
MAS’s portfolio includes businesses with a revenue of USD 2bn and is on the position of one
of the world’s most recognized design to delivery solution providers in the realm of the
apparel and textile manufacturing. In South Asia, it is the largest apparel and textile
manufacturer. The organization’s headquarter is in Sri Lanka and 53 manufacturing facilities
placed across 16 countries, with design locations placed in key style centres across the
globe and over 99,000 people involved in its operation. The seamlessly integrated supply
chain that is balanced to perfection with the organizations strategically placed design houses
gives MAS the knowledge, the means and the speed to deliver what is demanded by the
industry. (Overview | MAS - Change Is Courage, 2020)
There are some HR functions practiced by the company defined by the author as Training
and Development, Safe, Healthy and Happy Workplace, Performance Management and Em
employee Engagement according to the Annual Report 2019.
1.1 Present company situation in relation to HRM functions at
MAS Holdings
There are several HR problems at MAS Holdings, including high labor turnover, and it has
been observed that it would impact market competition directly. And also the manager
discovered that the worker stringed to develop an unpleasant trade union situation.
There are still huge amounts of good HR practices that are actually starting within the
organization
Training and development
Safe, healthy and happy workplace
Performance Appraisal and Management
Employee Engagement

Women go beyond the concepts designed to promote career advancement by skills learning
and knowledge development practices, Employees receiving training such as computer skills,
English languages, leadership development and there is an award for empowerment women of
the year.
MAS Holdings Designed an Accelerated Learning Program (ALP) to be online and in-person
program, comprehensive
hybrid solution. MAS was looking to provide new approaches and applications of such inventive
practices like design thinking to help participants lead, navigate, innovate, and creatively deal
with the fast-paced, increasingly challenging global business landscape. (Overview | MAS -
Change Is Courage, 2020)
By going through each HR practices currently available at MAS Holdings, there is a
significant improvement after taking the business.
Mas holdings improve employee engagement by social engagement such as organized
events, CSR activities, special project and Work engagement such as Empowerment
employee, suggestion team, problem solving. (Overview | MAS - Change Is Courage, 2020)
Although excelling in the production and involvement of people in an creative way, the
company also places emphasis on supporting and elevating workers, with a vision that
extends into society and their future careers well beyond the workplace. (Overview | MAS -
Change Is Courage, 2020)
02 Key roles and responsibilities and functions of HR
From the question above, we address the HR function currently available at the company.
They are Health and Safety, Training and Development, Reward Management, Employee
engagement, Human Resource Planning Here we see the purpose of those roles and
responsibilities and how they apply in the workforce.
The purpose of the human resource management function is to ensure the recruitment,
training and development, reward management, employee engagement. Organization
culture, health and safety workplace.
• The purpose of the Training and development is to ensure to do the things effectively,
improve employee attitude, skills and knowledge.
AT Mas Holdings there are Staff including those with expertise and qualifications, need
training at a specific stage since each company varies from each other. When part of their
own boarding process, protocols and practices need to be communicated to all employees
thus getting everybody on the same wavelength
HR management is responsible for evaluating performance of workers, continuing growth of
the workers, identify the required training. This continuing education keeps the expertise of
workers up to date so that they bring original and innovations to the organization. (Ariana
Smith, 2015)

• The purpose of Maintaining Safe, healthy and happy workplace is provision of safe
workplace, safe equipment and safe procedures in workplace to ensure workers Health and
safety.
At Mas Holdings there are some heavy machinery and equipment in the workplace it can
result in significant injury to human life or even death.
Therefore, HR Management needs to play a major role here to ensure the health of
everybody by ensuring a check on the equipment and machinery.
• The purpose of the Performance Appraisal and Management is to deals with the planning and
execution of strategies and policies aimed at giving rewards to the employees efficiently,
equally and regularly in line with their importance to the company.
At Mas Holdings more than 1000 employees are working so sometime they might get
demotivate in work. Therefore, HR Management needs to play a major role here to Motivate
employees attracts new employees, encourage positive attitude (Ariana Smith, 2015)
The purpose of the Employee Engagement is to improve employee satisfaction in work,
improve job performance, prevent work absences and leaves.
The Department of Human Resources ensures that good working relations between workers
are established. They are responsible for holding meetings, seminars and all official gatherings
on behalf of the management. In addition to that the department also helps the organization in
the creation of business and marketing strategies if necessary. (Ariana Smith, 2015)
2.1 How it applicable in workforce planning and resourcing
Workforce planning is an ongoing process of evaluating the organizations
requirements in terms of what an organization may need in reference to scale, form,
experience and knowledge of its employees to achieve strategic planning goals and objectives.
The corporate world is quickly shifting. Technology is continually evolving and being
changed, the staff is moving all the time and the company’s revenues are varying from time
to time. It is the most important responsibility of the human resource development department to
help the organization be equipped for continuing transition. Transition preparation includes
helping staff to understand their roles by taking into account the company’s viewpoint. (Peter
Louch, 2014)
03 strengths and weaknesses of recruitments and
selection, with examples.
Recruitments
Recruitment is a method of recruiting candidates and getting them interested in the needs of

the company. Selecting is part of the recruiting process focused on determining which of the
applicants or candidates will be employed in the company (Armstrong & Tylor,2014).
Internal recruitments
Internal recruitment is a process of hiring someone from within the companies to fill the
vacant position and the major forms of internal recruiting include promotions, transfers,
referrals to workers and the relocation of temporary staff to full time employment. It
Works to encourage current employees of the MAS Holdings to be more efficient and
improve work satisfaction and a sense of safety. (Nikoletta Bika, n.d)
• Internal Recruitment Sources - Notice board, Circulars, E-mail, News letters
Advantages and Disadvantages of internal recruitments
Advantages
• Reduced Time to Hire
we have direct access to the applicants and their past performance, which means we are
going to spend less time for advertising the job, sorting out CVs, interviewing applicants and
all those other time-wasting tasks
.
• Cost effectiveness
It is easy to inform the applicants about new job openings through email or the internal
newsletter from which we cut back on the capital used for stuff like using employers from
outside, attending career fairs and running background checks.
• Improve Productivity
We have first-hand knowledge of how they work, how they evolve into the culture of the
organization, how they manage issues and difficulties from that we can improve our
productivity and also When a person believes that they are being recognized for commitment
and dedication, they are far more likely to take control of their role and give it their best
efforts.
• Reducing the turnover of employees
Matching internal candidates with positions that fit the personality and skills mean staying in
the company longer and increasing retention.
When internal recruiting is easier, quicker and less risky, why can’t organizations do it more
often successfully because there are several disadvantages as well.
Disadvantages
• No new ideas can be introduced from outside
If the organization chooses to have the same employee in a newly designed place, there is a
greater risk that the employee will be a negative part of innovative ideas generation.
For example, if the company has a position that is relatively new, the staff may have other
specialties and may not be able to fill the ability gap. Only depending on internal recruiting

means they may miss the opportunity to recruit people with new skills and ideas. (Eight
advantages and disadvantages of internal recruitment | Workable,2020)
• Leave a gap in existing workforce
when you are recruiting someone to fill an open position, their old position will become
empty. This means that a series of moves and promotions will result in that could interfere
with the operations of the company. In addition to the internal recruiting, they can potentially
need to turn to external recruitment.
• Limits the potential applicants number
When we go for internal recruitment we only have few candidates and sometimes their
background isn’t necessarily what we want.
• May cause resentment amongst candidates not appointed
When a current employee receives an approach or promotion to take on a different role in
the same organization, it may invite professional envy to colleagues who may be equally
skilled, talented and deserving.
External Recruitments
External recruitment is a hiring process from people from outside of the company to occupy the
vacant position.
• External recruitments sources - online recruitment, educational institute, job fairs,
walk interviews
Advantages
• Attracts New Skills and ideas
Bringing someone from outside brings fresh ideas, new skills and new ways to do things that
can take the company to the next stage.
• Better Experience Candidates
Recruiting individuals who have acquired experience by working with different organizations
will mean having insight into new and creative market strategies, and understanding certain
facets of the companies of the competitor.
• Might reduce training costs and training time
Recruiting the well trained and experienced individual will reduce the training cost and time.
• Large number of workers to choose the best candidates from
When we go for external recruitment we have a lot of candidates in the market so we can
find the most perfect candidate to our organization.
Disadvantages
• Time consuming
one of the major disadvantages of external recruiting is that it takes a huge amount of time
because the organization has to notify the vacancies and wait for applications to initiate the

selection process then do backgrounds check on selected individuals it takes a lot of time
and the individual might give a notice period to his current workplace.
• Costly process
It is expensive because the organization has to spend on advertisement and application
process and also it has to provide the applicant with a wage scale that would reflect his/her
abilities and experience.
• Demotivating for Existing Employees
when talented individuals work in the organization and the organization goes out for hiring, it
can demotivate existing employees as they feel that even after working for the company for
so many years they don't get the opportunity and people who are younger and have less
experience come to the company as their superiors. (4 advantages of internal recruitment over
external recruitment | Hacker Earth Blog, 2020)
• An external hire may perform well at interview and fail to deliver once in the door
They performed well in the interview but it unknown whether or not they fit with the
organization cultures.
Selection methods
This recruitment method is to identify the interested candidates who have submitted their
profiles for a certain position, and now the process the right and most appropriate candidates
among them are to be chosen and selected. The process of shortlisting and selecting the right
candidates with the required qualifications and skills set to fill the positions in the
organization. The selection methods vary from sector to sector, business to business and
even inside the same company divisions.
Interviews
Structured interviews
A structured interview is a type of interview where the interviewer asks a few structured
questions. Here the questions are pre-planned and produced. In structured interviews, ensuring
all applicants are asked the same questions in the same way the answers scored can be
obtained via the rating system. (Zojceska, 2020).
Unstructured interviews
An unstructured interview is a type of interview where the interviewer poses un-planned
questions. In unstructured interviews there is a free-flowing conversation that means that
questions occur naturally,
which ensures that different individuals are being asked various questions. (Zojceska, 2020)
Competency based interviews
A competency-based interview is a structured interview that is focused on the behavioural

competencies needed as set out in the individual specification. The question will be
structured to assess the candidates normal conduct in work circumstances and each
question will address a particular skill or competency. Candidates have to provide clear
sources to back up their responses (Amstrong, p231)
Selecting test
A selection test is a systematic and structured screening method for human activity to
acquire eligible individuals for organizational activities. It is used to determine prospective
candidates ‘level of ability, intelligence, personality, characteristics, aptitudes and
attainments.
Selection test is conducted to find the right person for the right position, who will be able to
carry out organizational tasks if recruited. Selection test is a tool which exposes applicant
information not obtained through other selection steps. It screens the skill, knowledge of the
individual and determines whether he / she will perform well in the organization. (Rina H,
n.d)
Types of employee selection tests are generally categorized into five groups as defined in.
• Intelligence test-
This test is used to evaluate the intellectual capacity and judgment capabilities of the
applicant. These tests analyse the verbal understanding, word fluency, vocabulary,
backward knowledge and awareness. (Bora, n.d)
• Aptitude test-
These tests are designed to determine whether a person has the ability or latent capacity to
learn a work, if appropriate training is provided.
• Ability Tests
Skill tests or aptitude tests are structured methods of assessing the performance of employees
in various tasks and circumstances related to the job. They assess ability instead of pure
academic success, and managers then use it as measures of how people will do in a work
environment. (Bora, n.d)
• Personality Tests:
These test is used to measure the basic characteristics of the Applicant like his emotional
responses, maturity and characteristic mood.
Strengths & weaknesses of the selection process
It is cost effective and saves a lot of time and energy, when hiring the right applicant, it helps
prevent any biases. This helps remove those candidates who lack awareness, expertise and
abilities It offers a guideline for further assessment of applicants through strict verification
and reference checking, it helps to compare the multiple candidates in terms of their abilities,

knowledge, skills, experience, attitude to work, etc. (Andra Picincu, 2018).
However, this method has its drawbacks. First, it rarely gives the whole picture. Second,
candidates may not be honest. Some tests may be ambiguous, which further impacts the
results. To identify the best candidates, consider using pre-employment tests along with
face-to-face interviews, group interviews, collaborative hiring and other selection methods.
(Andra Picincu, 2018).
04 Functions of HRM support to provide & retain talented and
skilled employees to fulfil the business objectives.
We have discussed the functions currently at MAS Holding from the previous question.
Getting good HR functions means keeping the workplace Safety, Healthy and
Knowledgeably and also satisfied.
At MAS Holding Employees are the strength to drive progress for the organization.
Therefore, we offer Training to improve their skills, encouragement, and incentives to
enhance self-confidence and safety to fulfil the job, and above all to promote an
empowerment environment.
The MAS Holdings currently deliver the following HR feature as discussed earlier.
• Training and development
• Reward Management
• Health and safety
• Employee Engagement
• At Mas Holdings Training and Development help to developing the staff by the skills
base objective.
HR Management develop their learning objectives, design training material, evaluate the
interactive methods, hands-on training, computer-based or e-learning training, video
Training, etc. Mentoring and coaching to ensure this is where workers learn and develop their
skills. Knowledge to bring original and innovations to the organization and how to prevent
Mistakes.
There for employees can increase the productivity, improve the quality, ensure the safety,
effective management, save time, etc. From this we fulfil the developing the staff by the
skills bas objective
• Reward Management helps to motivate the employees and keep their morale high.
HR management make sure to do employees award system as fair, recognized small and
large compliments, ensure employee see the rewards as worth the effort, make sure that
employees understand how to earn the reward, use long term reward programed from this
employee earn appreciation and recognition, salary increment, promotion
Therefore, they can maximize employee satisfaction, reduce recruiting costs of train new

workers, develop loyalty, etc. from this they fulfil the motivate the employees and keep
their morale high
objective.
• To provide safety, healthy hygienic working conditions to the employees are the another
key objective at Mas holding and Health and safety HRM function helps for this.
HR Management inspect the workplace, train the employees, maintain records, investigate
accidents, Therefore, employees ensure their work place, ensure their health, improve staff
morale, increased job satisfaction.
Also Organization can increase the productivity, reduce staff turnover, absenteeism and
health care/insurance costs from that they can fulfil the safety healthy, hygienic workplace.
( Shawkat Jahan , n.d).
• Mas holdings Employee Engagement helps to increase the employee satisfaction and self-
actualization.
HR management promote giving breaks, asking for feedback, encourage flexibility, provide a
nice environment
Therefore, employee get motivate, increase the productivity, from this they can fulfil the
increase the employee satisfaction and self-actualization.
05 Explore the different methods of HRM practices in relation to the selected organization.
Safe, healthy and happy workplace.
A safe and healthy working is necessary for bringing positive results in an atmosphere of
tension. It is very important factor because it affects the satisfaction and moral of workers and
how effective and successful they will be in their working atmosphere.
Safe working atmosphere is good for any organization because it boosts productivity and
employee satisfaction. A safe workplace environment increases efficiency and decreases
The costs associated with absenteeism, turnover, workers and insurance claims and
compensation.
Performance linked bonuses
Performance bonus is a type of compensation paid to an employee or department as
a reward for achieving or reaching the predetermined goals. It is a compensation above regular
wages and is usually given after performance evaluation and review of tasks performed by the
individual for a given time period.
At Mas Holdings They granted to a whole team or division if certain revenue targets have
been achieved, for example, or if that group’s activities have been considered exemplary.
( Heryati R , 2020)

Skills Monitoring and Training
Employee Skills monitoring and training includes a system in which workers are provided
with new knowledge, techniques and skills in order to increase their level of success in their
current positions and to provide them with learning opportunities to further their
development.
At Mas Holdings they have a process of improving the knowledge, skills and competences of
a person when a worker enters the company new because he requires work-related training
to ensure the roles and responsibilities assigned are done satisfactorily, so that the worker
can contribute more to the company. (What is Training and Development? definition, importance
and inputs - Business Jargons, 2020)
Employee and Labour Relations
Employee and Labour Relations are concerned with avoiding and addressing issues
affecting workers that occur out of job conditions or harm them. Furthermore, Workplace
Relations rewards workers for contribution given to the Pace community and helps with
professional development.
At Mas Holdings supervisors and staff experiencing problems in their workplace are
encouraged to contact their assigned Workplace Relations Manager or Labor and Employee
Relations Manager. ( Heryati R , 2020
5.1 Various HRM practices within an organization for employee
• Skills Monitoring and Training skills help employees to adopt new methods, technologies,
improve their productivity, improve their performance job satisfaction. (Arte Nathan, 2016)
• Employee and Labour Relations help employees to work happy, work satisfaction, fewer
injuries, encourages others to develop Workers will perform well, and are likely to achieve
faster high performance. Easily get promotion.
• Performance linked bonuses help employees to get incentives, cash rewards,
promotions for their hard work
Safe, healthy and happy workplace increase the employee awareness, reduce the
accidents, injuries, reduce stress Performance linked bonuses get promotions, bonus,
rewards, reputation.
5.2 Various HRM practices within an organization for employer’s
benefit
• Skills Monitoring and Training skills help employers to reduce employee turnover,
accidents, improve the product quality, built more skill full workforce
• Employee and Labour Relations organization make employee to increase employee
loyalty, less absenteeism, Higher productivity / profitability.
• The Performance linked bonuses makes employees boost morale, motivation and
efficiency
• Safe, healthy and happy workplace save the money from unwanted accidents, protect us
from Litigation, Will Be Compliant with Safety Laws Will Make Your Team More Productive.

06 EffectiveHRM practices and application in terms of
raising productivity and profit of the organisation using a range
with examples
Author defined about Employee and Labour Relations above, how it supports the
organization. This is very necessary as this is where they get approach which creates the
right environment for the employees of an organization so that they offer their best every day,
here, HRM management will be able to find the employee trust, commitment towards the goals
and ideals of their organization, and inspiration to contribute to corporate progress, with an
improved sense of well-being of their own. Once they fulfil their needs and expectations they get
satisfaction in work and the work environment will be changed. A happy place from which HR
management expects to increase productivity and it automatically increases the profit as well.
Employee engagement is a great workplace strategy that creates right conditions for all
employees of an organization to give their best everyday, be committed to the goals and ideals
of their company, be inspired to contribute to organizational progress, while also considering
their own well-being and the main objectives of the employee engagement are to
enhancing employee satisfaction, improve goal and job alignment, enhance job
performance, prevent work absences and leaves. At Mas Holdings they do a survey which
conducted the employee engagement annually and the results continues more efficiently so
it is a good news to the organization and from this they can increase the productivity and
profit as well. (Web master, 2018)
At Mas holdings they have Performance linked bonuses activity from that they ensure to give
rewards, bonuses, promotions at the correct moment to the employees for their hard work
and efforts it inspire them to work harder than before and the other employees would also
work harder than before to get the reward from the company so it makes the quality in
productivity as well as increase in productivity.
Recruitment and retention is one of the main and difficult aspect of HRM Function. This is
where management find the right skills and knowledgeable person to the open position
Therefore, ensure company mission and vision, Increases Efficiency and Productivity to find
and employ the best-qualified person for each job Creation of a wide pool of applicants to
ensure that the company can recruit the best employee.
Conclusion
So as a newly jointed Junior HR manager for the current HR functions which controlled by
the managing director. Since no proper HR function is handled in the organization where MD
is focused on business development. Even though the core business going they still lack in
HR functions and practises.
So I have done the case study for a proper HR department to be established for the wellness
of the employee and employer. Where now the MD can prevent the commencement of trade
union. I have reviewed the importance and effectiveness of HR functions for a company.
Overall this case study has addressed the HR function in the popular organization called

MAS HOLDINGS by denoting health and safety management, employees management,
training and development, rewards and management. The functions above stated are
interconnected and needed for the organization at the moment.
I believe that the above case study and functions will help the reader to understand and
implement in such a situation or work place.